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HomeMy WebLinkAboutCC 2008-09-11 MinutesCity of Miami City Hall 3500 Pan American Drive Miami, FL 33133 www.miamigov.com Meeting Minutes Thursday, September 11, 2008 5:05 PM FIRST BUDGET HEARING City Hall Commission Chambers City Commission Manuel A. Diaz, Mayor Joe Sanchez, Chair Michelle Spence -Jones, Vice -Chair Angel Gonzalez, Commissioner District One Marc David Sarnoff, Commissioner District Two Tomas Regalado, Commissioner District Four Pedro G. Hernandez, City Manager Julie 0 Bru, City Attorney Priscilla A. Thompson, City Clerk City Commission Meeting Minutes September 11, 2008 5:05 P.M. CONTENTS BH-FIRST BUDGET PUBLIC HEARING TO DISCUSS FISCAL YEAR YEAR 2008-2009 TENTATIVE BUDGET BEGINNING AT 5:05 P.M. BH.1 THROUGH BH.9 FIRST BUDGET HEARING Present: Commissioner Gonzalez, Commissioner Sarnoff, Chair Sanchez, Commissioner Regalado and Vice Chair Spence -Jones On the 11 th day of September 2008, the City Commission of the City ofMiami, Florida, met at its regular meeting place in City Hall, 3500 Pan American Drive, Miami, Florida, for its first budget hearing session. The meeting was called to order by Chair Sanchez at 5: 38 p.m. and adjourned at 8:41 p.m. ALSO PRESENT: Julie O. Bru, City Attorney Pedro G. Hernandez, City Manager Pamela E. Burns, Assistant City Clerk Order of the Day Chair Sanchez: Good evening, ladies and gentlemen. The City ofMiami Commission is back in order. Earlier today, we had the regular Commission meeting, with one PZ (Planning & Zoning) item. We have taken care of all those items on the agenda, and now we're moving forward with the first budget hearing that was properly advertised for 5:05. Pamela E. Burns (Assistant City Clerk): That is correct. Chair Sanchez: We took a little recess after the regular meeting, and now we'll address this. Madam Attorney, can we just address the public as to the procedures to be followed during the meeting? Julie O. Bru (City Attorney): Yes, Mr. Chairman. Thank you. Members of the Commission and Mr. Mayor, this is the first of two public hearings that you're going to have, pursuant to State law. At this hearing, you will adopt a tentative -- fix a tentative millage rate, and subsequent to that, then you will adopt a tentative budget. On the 25th, you will then have the final millage rate adopted and also the final budget. Chair Sanchez: All right. But, you know, please ask the public that, you know -- to keep their voices down and -- It's budget. It's budget hearing, you know. We -- Bru: Okay. Well, this is a public hearing. Anyone who wishes to speak can please give your name to the City Clerk, but you are asked to turn off all your cell phones, your beepers. And anyone who becomes unruly or makes any kind of slanderous or offensive remarks will be precluded from speaking and addressing this Commission. Chair Sanchez: All right. Thank you. Those present at the meeting today, of course, we have the Mayor, Manny Diaz, who will be making his address and budget proposal to this legislative body, followed by myself as your Chair, Vice Chair Michelle Spence Jones; Commissioner of City ofMiami Page 2 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 BH.1 08-01005 Office of Strategic Planning, Budgeting, and Performance District 1, Angel Gonzalez, Commissioner of Disfrict 2, Marc David Sarnoff, Commissioner of Disfrict 4, Tomas Regalado, the City Manager, Pedro Hernandez, City Attorney, Julie O. Bru, and sitting in, Pamela, for the City Clerk, here at the City. All right. This is the first budget hearing. DISCUSSION ITEM FIRST PUBLIC HEARING TO DISCUSS THE PROPOSED MILLAGE RATE AND TENTATIVE BUDGET FOR FISCAL YEAR 2008-2009 THE PROPOSED GENERAL OPERATING MILLAGE RATE OF 7.6740 FOR THE CITY OF MIAMI FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2008 AND ENDING SEPTEMBER 30, 2009 IS 3.8% HIGHER THAN ROLLED -BACK RATE OF 7.3933. SPECIFIC PURPOSE FOR WHICH AD VALOREM TAX REVENUES ARE BEING INCREASED. RESPONSE: TO ELIMINATE THE ANNUAL STRUCTURAL DEFICIT MATCHING RECURRING ANNUAL EXPENSES WITH RECURRING ANNUAL REVENUES. PURPOSE: TO FUND ANNUAL MUNICIPAL SERVICES INCLUDING BUT NOT LIMITED TO POLICE, FIRE, AND SOLID WASTE. COST $11,139,505 100% CITY COMMISSION LISTENS AND RESPONDS TO CITIZENS' COMMENTS REGARDING THE PROPOSED MILLAGE RATE. ACTIONS BY THE CITY COMMISSION: 1. AMEND THE TENTATIVE BUDGET, IF NECESSARY 2. RECOMPUTE THE PROPOSED MILLAGE RATE, IF NECESSARY 3. ADOPT THE TENTATIVE MILLAGE RATE 4. ADOPT THE TENTATIVE BUDGET OR THE AMENDED TENTATIVE BUDGET AS NECESSARY 08-01005 Discussion Page.pdf DISCUSSED Chair Sanchez: And at this time, what we'll do is we'll turn it over to the City Mayor to address the Commission. Mayor Manuel A. Diaz: Thank you, Mr. Chairman. Fellow residents of the City ofMiami, Mr. Chair, Madam Vice Chair, Commissioners, City Manager, and City employees, let me begin again by proudly pointing out that although I am here to deliver my annual budget address, this process not only included our City staff including our award -winning Budget Department, but as we have done for the past seven years, it has included all of you as well, making this a truly collaborative effort and budget, and I want to thank you for all your help during the past few weeks. City ofMiami Page 3 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Chair Sanchez: Mr. Mayor, could I interrupt you for one minute please? Mayor Diaz: Sure. "[Later... J" Chair Sanchez: For the record, following the procedures, we need to adjourn the regular Commission meeting. We did not adjourn it for the record. Need a motion to adjourn. Commissioner Gonzalez: Move it. Chair Sanchez: There's -- need a second. Commissioner Regalado: Second. Chair Sanchez: All in favor, say "aye." The Commission (Collectively): Aye. Chair Sanchez: Okay, so the regular Commission meeting is adjourned. "[Later... J" Chair Sanchez: Mr. Mayor, I fruly apologize for interrupting you -- Mayor Diaz: No, no. It's okay. Commissioner Sanchez: -- during the address, but we need to follow the procedures. So you're recognized for the record, sir. Mayor Diaz: So was that comment part of your regular Commission meeting or part of the budget meeting? Commissioner Sarnoff That means you actually attended a regular meeting. Commissioner Sanchez: It's a clean-up language. Mayor Diaz: During the past couple of years, we have been faced with tax reform at the state level, decreasing assessed and taxable values due to the declining housing market, as well as a general decline in the national economy. In fact, as a direct result of the statewide tax reform, our City's gross taxable value for the current year declined by $1.2 billion, and this factor alone has represented an almost $10 million savings to the taxpayers in Miami, and of course, a loss of revenues to the City in the same amount. And just like all of us individually in our private lives, rising fuel prices are having a huge effect on our operations, requiring us to budget an additional $5 million in fuel and utility services for the coming year. Now despite these market conditions not within our control, we have acted responsibly and responsively, achieving a prudent and balanced approach between reducing the tax burden on our residents, while, at the same time, continuing to invest in the services that make our city worth living in. Last year, you approved a budget that included 54 -- almost $55 million in budget cuts. This year's budget includes an additional almost 49 million in cuts, thus representing over $100 million over a two-year budget cycle. I want to thank all of our department directors who, once again, were asked and delivered on cuts of almost $14 million. I would also point out that although we have eliminated and frozen 176 positions over the past two years, we have been able to achieve a balanced budget without requiring that any employee be laid off. Our revenues have also decreased in other areas. For example, this year, our State revenue share is down $2 million, City ofMiami Page 4 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 and remember that this is money that we send every year to Tallahassee that is supposed to come back to us; it did not. The balanced budget reflects an overall increase of just $1.4 million compared to last year's adopted budget. This is a mere one-third of one percent increase. Nevertheless, while our revenues may fail to keep up with demand for services, all of us know that the needs of our residents continue to grow. We recognize the need to continue investing in our neighborhoods and in our people, rebuilding our streets and sidewalks, providing the necessary tools so that our first responders can continue to save lives and keep our streets safe, mitigating flooding problems that have plagued many of our neighborhoods for decades, protecting our environment and building great parks and enhancing our green spaces in the public realm. We also recognize our dedicated employees and their commitment to improving the quality of life for all of our residents. Last year, you showed your support for our employees by approving contracts that paid them a competitive wage. Most importantly, we have also recognized that in order to foster continued economic growth, in order to safeguard our City's fiscal solvency, in order to give a hand up to those in need, in order for us to effectively compete in the global community, we must continue to invest in our future. Finally, in order to maintain our fiscal solvency and protect our favorable bond ratings, we are not tapping our reserves, except as required by our Charter for contingency purposes. Our -- as such, our reserves currently exceed $100 million. We are all very proud of this, and you deserve great credit for your fiscal discipline and your targeted investments. And speaking of targeted investments, we continue to invest in our parks. The budget adds an additional $2 million, reflects an increase of 37 new positions from last year's adopted budget, and preserves our popular, and may I add free, afterschool programs and summer programs. Almost 4,000 children and their families depend on us for this service. This past year we opened the Grapeland baseball fields, our Grapeland water park, the Little Haiti soccer fields and the Little Haiti cultural park. Very soon, we will officially open a new state-of-the-art gym at Jose Marti Park. We also continue to invest in the safety of our residents. The budget provides for an additional 25 new police officers to complement the 145 new law enforcement personnel that we have added over the last two years. The budget also reflects your commitment to pay our employees, especially a -- our first responders, a competitive wage. As a result of your approval of new employee contracts, this budget provides an additional $15 million for our first responders. Let us not forget that just last year we were all extremely concerned about the very real prospect of losing our first responders to other jurisdictions. Last month, as many of you know, the City received almost 800 new applications for police officers, a record recruitment effort in our city. This budget also includes our continued investments in green space enhancement and acquisition, the arts, technology, infrastructure, revenue collections, internal financial controls and, of course, our senior citizens. And while we continue to develop a fiscally -sensible method to comply with new requirements to fund our long-term post -retirement health benefits, we have once again, as we did last year, set aside $5 million in anticipation of this plan. Finally, the budget provides $3 million for the acquisition of new equipment for our Solid Waste Department. This additional capital, not operating, will need to be raised through a slight increase to our Solid Waste fee of $40 per year, or 11 cents per day. I repeat, $40 per year or 11 cents per day. While we can all agree that our costs have increased, since 2001, we have not increased this fee during that period. In fact, this service is subsidized annually by us in the amount of $13 million. Our current fee is the lowest fee charged by any local government in Miami -Dade County. I repeat, our fee is the lowest charged by any other local government in Miami -Dade County. In addition, the budget recommends that beginning early next year, our weekly crane operation for bulk trash be changed to a monthly service. Not only will this save the City in excess of $100, 000 per month, it will also help to rid our city of the recurring damage to our streets, swales, and sidewalks, damage that all too often leaves behind unsightly and dangerous holes, which we are then constantly having to refill. The Clean Up Miami effort that we started just a few short years ago has borne fruit. As all of you know, our city was recently recognized by Forrest Magazine as the cleanest large city in America. However, our efforts continue to be frustrated by the furniture, the refrigerators, and the mattresses that are dumped on our streets and our swales. Several years ago, we opened up a mini dump so as to provide our residents with a free alternative. I do not want to live in a city where sofas and mattresses take the place of grass and trees. This is not City ofMiami Page 5 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 the city that we want, and this is not the city that we deserve. It is time that we took back our streets and our neighborhoods from those who used them as their private dumping grounds. Two final points. First, other local governments in Dade -- Miami -Dade County that provide weekly bulk trash pickup, for the most part, also include limitations on the quantity that they pick up without an additional charge. And there is no other local government with weekly bulk frash pickup charges that charges less than $467 annually. In fact, all but one of them charge more than $500 per year. And in fact, Miami Shores, which is the highest, charges $750 annually. It is really a matter of simple mathematics. With declining revenues and ever-increasing costs, there is just no way that we can continue, nor should we be expected to continue, to subsidize this service at a rate of $13 million a year. In fact, to continue our fiscal solvency, we must continue to look at all City subsidies and expenditures, making sure that they align with our shared priorities, focusing on directing our resources towards the things and services that make our city worth living in. The budget before you does exactly that. It reflects a prudent and a balanced approach that continues to cut back on expenses, reduce the tax burden on our residents, invest their money wisely, and create a city worth living in, a city people care about, the city we now have. I thank you for your time and for your favorable consideration of the proposed budget. Thank you, Mr. Chairman. Chair Sanchez: Thank you, Mr. Mayor. Pedro G. Hernandez (City Manager): Mr. Chairman, if you allow me a quick one -minute -- Chair Sanchez: You're recognized for the record -- Mr. Hernandez: Over the last -- Chair Sanchez: -- Mr. City Manager. Mr. Hernandez: -- I would say, two or three weeks since the budget workshop on August 25, myself and staff have met with each one of you at least a couple of times to better understand the priorities of your district and the concerns of your areas and tried to incorporate that into the budget. I want to thank you for your collaboration in helping us craft this budget that we're presenting tonight. We have worked extremely hard in using or maintaining a revenue at about the same level as the last year, while maintaining level of service and while incorporating targeted improvements in public safety, parks, and maintenance of the City assets. Our Budget director, Michael Boudreaux, will now go over the budget, and he'll present how we got to a balanced budget in this year. Michael. Chair Sanchez: All right. Hold on. We go to BH.1, which is just a discussion item. But that's -- you want -- we'll do the presentation. Mr. Hernandez: If -- Chair Sanchez: Let's go ahead and do the presentation. You're recognized for the record. Michael Boudreaux (Director, Management & Budget): Are we going to go straight to BH.3 with the presentation? Chair Sanchez: Well, we could do that -- Julie O. Bru (City Attorney): No. Chair Sanchez: -- or we could go to B -- I wish we could just go to -- Mr. Boudreaux: I need to -- City ofMiami Page 6 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Chair Sanchez: -- BH.1. Mr. Boudreaux: -- read the millage rate -- Ms. Bru: Yeah. Actually -- Mr. Boudreaux: -- proposal first. Ms. Bru: -- the state law requires -- Chair Sanchez: Yeah. Ms. Bru: -- that you first adopt -- Chair Sanchez: Exactly. Ms. Bru: -- the tentative millage rate before you adopt the tentative budget. Chair Sanchez: And all you're doing here is, you're basically setting the cap where you can't go any higher, correct, Madam Attorney? Ms. Bru: The -- whatever millage rate you fix today cannot be exceeded at the final hearing on the 25th without additional notice to the residents. Chair Sanchez: And the proposed general operating millage rate is 7.6740. Ms. Bru: Okay. At this time, you should read what is published in your agenda, this discussion item. That should be -- Mr. Boudreaux: That's correct. Ms. Bru: -- read into the record. Mr. Boudreaux: I need to read into the record the millage rate that's being proposed tonight. Chair Sanchez: Okay. Mr. Boudreaux: First of all, Mike Boudreaux, director, Management & Budget. The first public budget hearing to discuss the proposed millage rate and tentative budget for fiscal year 2008-2009. The proposed general operating millage rate of 7.6740 for the City ofMiami for the fiscal year beginning October 1, 2008 and ending September 30, 2009 is 3.8 percent higher than the rollback rate of 7.3933. Specific purpose for which ad valorem tax revenues are being increased; to eliminate the annual structural deficit, matching recurring annual expenses with recurring annual revenues; to fund annual municipal services, including, but not limited to, police, fire, and solid waste. The cost, 11.2 million, at 100 percent. City Commission -- the actions of the City Commission tonight is to amend the tentative budget, if necessary, to recompute the proposed millage rate, if necessary, adopt a tentative millage rate, and then finally, to adopt the tentative budget or the amended tentative budget, as necessary. BH.2 is your action -- Chair Sanchez: No, no, no. Mr. Boudreaux: -- on that millage rate. I'm sorry. City ofMiami Page 7 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Chair Sanchez: Before we move to that one, are there any questions on BH.1 ? Any questions? Let me just ask you a question here. Clearly, the 35 million in budget cuts needed to get down to the 7.6740. That's -- we got to get to those numbers based on Tallahassee legislation. Mr. Boudreaux: Yes, and I will explain that in my presentation -- my budget presentation. Chair Sanchez: And let me just ask another question. If we will be tempted to cut all the way back to the 7.3 rollback rate, how much additional would that be to the 35 million? Mr. Boudreaux: That will be approximately eight more million dollars in cuts that we have to face. Commissioner Regalado: Question, Mr. Chairman. Chair Sanchez: Yes, sir. Commissioner Regalado: Michael, on this millage, the average residential property owner would save $16. Mr. Boudreaux: Sixteen dollars. Commissioner Regalado: Sixteen dollars a year in the -- that is with the assessed value now. Mr. Boudreaux: That's with the taxable value right now, Commissioner. Commissioner Regalado: With the taxable value now. It's important that we say that because, you know, the people in the state of Florida did vote to reduce property taxes. And I have many, many people call asking where is that relief that we voted for, so they need to understand that they will have a small savings; that if the County does not assess the incorporated area with a new tax. If they do, then they will be paying more -- we will be paying more. However, that saving has been offset by the proposed increase in garbage fee that is incorporated to the bill. So to the regular residents, a bill is a bill, and the total is what you have to write the check. So, in fact, a residential property owner in the City ofMiami, who is being served by the City Solid Waste, will be paying this year more than last year. Is that correct? Mr. Boudreaux: That is correct. Commissioner Regalado: Okay. I just want to establish that, and I will have more comments on the solid waste, but it is important that we understand that the people was [sic] hoping for a bigger cut and they don't seem to find it. The service, 311, had been flooded with calls in the past month since the people in Miami -Dade County got the trim notice. And as you know, there was certain exceptions that we voted on, and it's -- it kicked off today. As of today, there is no applications for those exemption in the property appraisals, and people are coming back to the City to request that. So I think that we do have to deal with representing our residents, but we need to deal also with the will of the people, and the will of the people was to reduce. And on this budget, the total bill, we are increasing, and everybody understand that gas is up and electricity is up; FPL (Florida Power & Light) is asking for new increases. But people are the same like governments; everybody have to do what they have to do, drive less or work a little harder, a third job. So I just want to say that it's very difficult for me to approve this budget with the increase in the solid waste fee. And I got to tell you something. When we discussed the solid waste, I think that there is something that needs to be put in the record by the Administration, but it's part of the millage since it's all in the same bill. And I just want to ask the Manager one thing. Mr. Manager, the money that we get from the franchise fee for commercial solid waste goes to the general budget? City ofMiami Page 8 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 BH.2 08-01006 Office of Strategic Planning, Budgeting, and Performance Mr. Hernandez: Yes. Commissioner Regalado: Okay. Mayor Diaz just said that we have a deficit of $13 million in the -- with the operation of the Solid Waste Department, and he's right because that's the right number. The problem is that the Solid Waste Department is charged with monitoring, sending the bills, sending inspectors to all the commercial solid waste operation in the City ofMiami, and yet, on fiscal year 2006 through September 30, 2007, the 25 franchises that operate in the City ofMiami paid the City $12, 800, 000, exactly the deficit of the operations of the Solid Waste Department. Now, garbage is garbage and trash is trash. In a perfect world, that money that is generated by the commercial solid waste should and is used to operate the other arm of the Solid Waste because if we do want a clean city, we need to have, as we have a first-class Solid Waste Department, and that same Solid Waste Department is the one that sweep the streets and clean the swales in commercial areas of the City. So I don't -- I cannot understand why do we keep saying that the residents are getting a free ride with the cheapest fee in all the County and because of that, we have a -- to subsidize on 13 mill -- with $13 million the solid waste operation if we are getting $13 million for letting commercial solid waste companies operate within the City ofMiami. Mind you, this figure is much bigger now because it grows $50 a year, and it will be more next year. It is true that in other municipalities or the County the solid waste fee is higher, but the millage is lower, and to the people, the bottom line is the amount that they have to write in the checks. And this is what we need to discuss here, not the details about this is higher, this is lower. The bottom line is the check that the residents ofMiami write. So I still don't understand, Mr. Manager, and maybe you could help me, why we don't use the fees from the solid waste that are allowed to pick up garbage in the commercial areas of the City to stabilize the service that also serves the commercial areas of the City. Mr. Hernandez: Commissioner, in essence, the franchise fee is not free net and clear to be able to cover deficits on the solid waste operation that we conduct. In essence, the franchise fee is to cover the monitoring, the enforcement, and the use and abuse of the infrasfructure in the City of Miami. And so it's not that that money is just free and available to do other things. That money, in essence, is consumed through the City. Commissioner Regalado: What is use and abuse? Mr. Hernandez: Use and abuse is basically you have all those (rucks on our highways, across our sidewalks, and that causes wear, tear, and damage on the infrasfructure that we then are responsible to repair and maintain in good condition. And that's the reason that, in essence, they have to pay a franchise fee to be able to operate those type of heavy equipment within our public infrasfructure. Commissioner Regalado: Well, but they do that everywhere in the world. Mr. Hernandez: And we have the franchise fee to be able to protect our investment in our public right-of-way. Commissioner Regalado: Well, I don't want to take more time, butt still have more comments and more questions. Thank you, Mr. Chairman. Chair Sanchez: All right. Let's set the millage. Let's go down the items. We have different items. Different items do different things, so let's go and -- discussion 1 was on the millage. ORDINANCE First Reading AN ORDINANCE OF THE MIAMI CITY COMMISSION DEFINING AND DESIGNATING THE TERRITORIAL LIMITS FOR THE CITY OF MIAMI FOR THE PURPOSE OF TAXATION; FIXING THE TENTATIVE MILLAGE AND LEVYING TAXES IN THE CITY OF MIAMI, FLORIDA, FOR THE FISCAL City ofMiami Page 9 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 YEAR BEGINNING OCTOBER 1, 2008 AND ENDING SEPTEMBER 30, 2009; CONTAINING A SEVERABILITY CLAUSE AND PROVIDING FOR AN EFFECTIVE DATE. 08-01006 Ordinance Legislation SR.pdf 08-01006 Summary Form SR.pdf Motion by Commissioner Sarnoff, seconded by Vice Chair Spence -Jones, that this matter be PASSED ON FIRST READING WITH MODIFICATIONS PASSED by the following vote. Votes: Ayes: 5 - Commissioner Gonzalez, Sarnoff, Sanchez, Regalado and Spence -Jones Chair Sanchez: So now we go to BH.2, which is we set the millage. Michael Boudreaux (Director, Management & Budget): You set the millage. Chair Sanchez: All right. So we need a motion to set the millage at 7.674, and that's -- all we're doing is setting the millage. It means we can't go any higher than that. We need a motion for that. Commissioner Sarnoff So moved. Chair Sanchez: There's a motion by -- Commissioner Gonzalez: Second. Chair Sanchez: -- Commissioner Sarnoff, second by Commiss -- Vice Chair Spence -Jones. All right. It is an ordinance on first reading. It requires two readings, so it's just in front of us for first reading. The item is under discussion. Does anybody wish to discuss the item? Commissioner Sarnoff Yeah. I would like to say one thing. Chair Sanchez: Sarnoff, you're recognized. Commissioner Sarnoff With regard to the franchise fee, the City is not a taxing organization, correct, Mr. Manager? Pedro G. Hernandez (City Manager): The City's not. Commissioner Sarnoff Right. We cannot -- we can only do ad valorem taxes -- Mr. Hernandez: Yes. Commissioner Sarnoff -- that's it. We can only set taxes that Tallahassee, the state, allows us to set. Mr. Hernandez: I believe so. You're correct. Commissioner Sarnoff The purpose and the point of the franchise fee, as you said, is to theoretically reimburse the City for the damage done by the use of many -ton trucks in and about our neighborhoods. Mr. Hernandez: Yes. Commissioner Sarnoff Equally, the franchise fee is borne by those entities that use a commercial solid waste facility, correct? City ofMiami Page 10 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Mr. Hernandez: Yes. Commissioner Sarnoff Now when the Mayor says that we're subsidizing by $13 million the general -- by using the general fund for 13 million on the fire -- I'm sorry, the solid waste fee, that means that it's -- that we're paying, based on our ad valorem taxes, an additional $13 million to -- up -- over and above whatever we set, what you anticipate the sanitation fee will be. Mr. Hernandez: Right, Commissioner. Today, we charge a fee of $325 per unit, and if you were to do it -- the costing of what the actual value of that service is, it would be in excess of at least $500 per unit easily. Commissioner Sarnoff So if one of the districts were to pay a disproportionate amount of ad valorem tax, that district is actually subsidizing the whole city's sanitation? Mr. Hernandez: In essence, Commissioner, the general fund -- to be more specific, the general fund's -- Commissioner Sarnoff Right. Mr. Hernandez: -- providing additional monies to subsidize the solid waste operation that we have in our residential units up to three -- up to a triplex. Commissioner Sarnoff Right. So if we were transparent and completely honest, we would be charging our citizens exactly what their services cost with regard to the -- Mr. Hernandez: That -- Commissioner Sarnoff -- sanitation fee. Mr. Hernandez: In essence, that's a decision of-- and a discussion and a domain of the City Commission, but if you were to charge exactly your cost, it would be another $200 above what we're charging today. Commissioner Sarnoff Okay. Thank you. Chair Sanchez: All right. Any more solid waste discussion, please, that's BH.9, which we could address that. All right. BH.2 is an ordinance on first reading to establish the millage. We've done that. There's a motion and a second. Before we vote on it, it requires a public hearing. Anyone from the public wishing to address this item, please step forward and be recognized. We are discussing BH.2, which is setting of the millage, not the budget. The budget is BH.3. Okay, you -- why don't you wait for the budget, BH.3. Okay. All right. The public meeting is open. Anyone wants to speak? If not, the public hearing is closed, and it comes back to the Commission. Read the ordinance into the record, followed by a roll call. Julie O. Bru (City Attorney): Okay. Mr. Chairman, I'm going to make a slight modification to this title, and I'm going to refer to this as the tentative millage. Chair Sanchez: All right. Ms. Bru: Okay. Chair Sanchez: The ten -- and it requires a four fifth vote setting the millage at 7.6740. And all we do is it can't go any higher than that. All right. City ofMiami Page 11 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 BH.3 08-01007 Office of Strategic Planning, Budgeting, and Performance Ms. Bru: Correct. Chair Sanchez: Okay. Read the ordinance into the record, followed by a roll call. The Ordinance was read by title into the public record by the City Attorney. Chair Sanchez: Roll call. Pamela E. Burns (Assistant City Clerk): Roll call. A roll call was taken, the result of which is stated above. Ms. Burns: This item has passed on first reading, as modified, 5/0. DISCUSSION ITEM DRAFT FORM PROPOSED RESOLUTION A DISCUSSION OF THE MIAMI CITY COMMISSION REGARDING A RESOLUTION OF THE MIAMI CITY COMMISSION MAKING APPROPRIATIONS RELATING TO OPERATIONAL AND BUDGETARY REQUIREMENTS FOR FISCAL YEAR ENDING SEPTEMBER 30, 2009. 08-01007 Discussion Legislation.pdf 08-01007-Submittal-FY'09 General Fund Proposed Budget.pdf 08-01007-Submittal-FY'09 1st Hearing Presentation Speech.pdf 08-01 007-Submittal-PowerPoint Presentation FY'09 Proposed Budget.pdf 08-01007-FY'09 Budget Presentation E-mail.pdf 08-01007-Submittal-FY'09 Proposed Budget.pdf DISCUSSED Discussion on the item resulted in the resolution below. 08-01007a RESOLUTION A RESOLUTION OF THE MIAMI CITY COMMISSION ADOPTING A TENTATIVE BUDGET FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2008 THROUGH SEPTEMBER 30, 2009. Motion by Commissioner Gonzalez, seconded by Vice Chair Spence -Jones, that this matter be ADOPTED WITH MODIFICATIONS PASSED by the following vote. Votes: Ayes: 3 - Commissioner Gonzalez, Sarnoff and Spence -Jones Noes: 2 - Commissioner Sanchez and Regalado R-08-0525 Chair Sanchez: All right. Ladies and gentlemen, BH.3 is a discussion item, and it is a discussion item regarding the resolution of the Miami City Commission making appropriations relating to operating and budgetary requirements for the fiscal year ending September 30, 209 [sic]. So this is the budget. All right. You're recognized for the record. Michael Boudreaux: Once again, Mike Boudreaux, director, Management & Budget. Good evening, Commissioners, Mr. Mayor, Mr. City Manager, and residents of the City ofMiami. This evening before I present to you the fiscal year 2009 proposed budget for the City ofMiami, I need to first provide you with a floor amendment detailing the fiscal year 2009 proposed budget. The fiscal year 2008-2009 budget is currently in your package that we just handed out to you at $525.1 million, and the total budget for all funds is at $775.6 million, and of course, City ofMiami Page 12 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 the millage rate set at 7.6740. The major source of revenues for the general fund is derived from the category identified as property taxes, in the amount of $267.2 million, and this, of course, is the budget for the -- beginning October 1, 2008 and ending September 30, 2009 period. And the subsequent pages list down the respective budgets for each department. I'd first like to go over the focus of the budget for fiscal year 2009. The focus of the fiscal year 2009 proposed budget was to prepare a structurally balanced general operating budget with recurring revenues supporting recurring expenditures, to provide a budget which conforms to GAP as applicable to local governments, to present a budget using current financial resources and providing allocations based on a modified accrual basis of accounting, as reported in the City gill/Pamirs Comprehensive Annual Financial Report, and most importantly, to receive citizen feedback to ensure the proposed budget is consistent with the needs of our citizens. Major budget issues in preparing the fiscal year 2009 proposed budget were the continued effects of property tax reform from State of Florida House Bill 1B, the adoption ofAmendment 1, the restrictions related to Senate Bill 1588, also known as the Glitch Bill, and the increasing impact of fuel and utility costs. As presented to you during the budget workshop, once again in fiscal year 2009, the operating millage rate approved by the City Commission will be limited by the type of vote required under House Bill 1B. In fiscal year 2009, House Bill IB will limit the growth in the City's millage rate to the change in statewide per capita personal income with a majority vote of the City Commission. The change in per capita personal income provided by the Department of Revenue is currently at 4.15 percent. This millage rate can be increased up to ten percent with a four fifths vote of the City Commission and can be increased greater than ten percent with either a unanimous vote of the City Commission or voter referendum. In October of 2007, the City of Miami was removed from the List ofMunicipalities Under Special Financial Concern as a result of a special session of the State Legislature. The removal of the City from the List of Municipalities Under Special Financial Concern reduced the maximum allowable millage rate in fiscal year 2008 from 7.2999 mills to 6.6429 mills. Although the millage rate approved by the City Commission was the maximum allowable at the time of the vote, the removal of the City from the List ofMunicipalities Under Special Financial Concern changed the calculation of the majority vote and four fifths vote millage rate in fiscal year 2009. The maximum allowable millage rate with a majority vote was set at 6.9764 mills, and the four fifths vote at 7.6740 mills. The 7.6740 millage rate was used in the formulation of the fiscal year 2009 proposed budget. The overall impact of removing the City from the List represents a 9.4 percent reduction in both the majority vote and four fifths vote millage rate. Additional relief to property owners were provided on January 29, 2008, when the voters approved Amendment 1. Amendment 1, in fiscal year 2009, will provide homestead property owners with an additional 25,000 in exemption on the -- up to the third 25,000 assessed value; provide a 25,000 exemption on personal business property, and provide portability of Save Our Homes up to 500, 000. The impact ofAmendment 1 on the City's preliminary gross taxable values reduced it by 1.2 billion, from 40.9 billion to 39.7 billion in tax year 2008. This made the overall year-to-year change in the City's preliminary gross taxable values 1.6 percent, compared to 14.5 percent in tax year 2007. To limit the impact Amendment 1 will have on the City's rollback rate and calculation of the majority vote millage rate, the State Legislature passed Senate Bill 1588, also known as the Glitch Bill. The Glitch Bill removed the effects ofAmendment 1 from the calculation of the City's rollback rate and reduced the majority vote millage rate by 0.2251 mills, from 6.9764 mills to 6.7513 mills. The 6.7513 mill would have been the majority vote millage rate established for fiscal year 2009. However, the effects of the Glitch Bill does not affect the maximum -- the calculation of the maximum millage rate at a four fifths vote. The City ofMiami, like other cities, is forecast to pay more for fuel in fiscal year 2009. The weekly price of regular grade gasoline, which peaked at an average of $4.11 per gallon on July 14, is forecast to average $3.82 per gallon in fiscal year 2008-2009, compared to $2.81 per gallon at the start of fiscal year 2008. Diesel fuel, which fell from an average of $4.76 per gallon to $4.35 per gallon on August 11, is forecast to average $4.27 per gallon in fiscal year 2009, compared to $2.88 per gallon at the start of fiscal year 2008. Based on the forecast changes in fuel prices per gallon and the City's current motor fuel expense trend, fuel expenses are forecast to increase over 40 percent from 5 million at the start of fiscal year 2008 to 8 million in fiscal year 2009. On July 1, City ofMiami Page 13 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 the Florida Public Service Commission approved Florida Power & Light request to adjust the pass -through fuel surcharge on customers' bills in order to recover 746 million in anticipated fuel costs. FPL (Florida Power & Light) is expected to recover 50 percent of this cost between August and December of this year, and the remaining 50 percent in 2009. Additional consumption of electricity is expected to increase by an average of 1.2 percent between 2008 and 2009, and electricity prices in the South Atlantic region of the United States, which includes the City ofMiami, is anticipated to increase 15 percent, from 8.6 cents per kilowatt hour at the start of fiscal year 2008 to 10.1 cents per kilowatt hour in fiscal year 2009. Based on the uncertainty in fuel prices, the possibility ofwater-related events and the City's current utility cost trend, utility costs are forecast to increase 20 percent, from 10.5 million in fiscal year 2008 to 12.6 million in fiscal year 2009. I would like -- I would now like to present you the general fund proposed budget for fiscal year 2008-2009. The fiscal year 2009 proposed revenues and other sources is currently at 525.1 million. The largest source of funds for the City ofMiami is in the area of property tax revenues at 51 percent. This category is anticipated to increase from fiscal year 2008-2009 by $6.2 million. The primary reasons for the increases are due to increases in ad valorem real property based on the proposed millage rate of 7.6740 at a 95 percent collection rate. It also includes anticipating increases in delinquent ad valorem taxes on real property based on the current trend and expectations in fiscal year 2009. The next largest category is in the area of charges for services at 16 percent. This category is expected to increase by $1.4 million or 1.6 percent over the prior year, primarily due to the proposed change in the solid waste residential fee, which will offset lower anticipated collections in this category. As you can see on the bar graph illustrated, the City ofMiami revenues in other financing sources are anticipated to be relatively constant or flat at 0.3 percent from fiscal year 2008 to fiscal year 2009. This is compared to actual increases of 8.6 percent in fiscal year 2004, 3.65 percent in fiscal year 2005, 14 percent in fiscal year 2006, and 10 percent in fiscal year 2007. As I previously mentioned, the year-to-year change is relatively flat, at 0.3 percent over the fiscal year 2008 adopted budget. The primary increases are due to, of course, property tax revenue, the three million from the proposed change in the solid waste fee, and then it also includes two million from the new mural revenues approved for collection in fiscal year 2008. General fund expenditures and other uses total also 525.1 million. The City ofMiami fiscal year 2009 general fund proposed budget is balanced at $525.1 million. The largest functional expenditure occurs in the area of public safety, at 228 million, or 43 percent of the total general fund budget, with the area -- or functional area of Public Works next at 61 million, or 12 percent. The functional area -- and let me clarify that -- of Public Works includes the departments of Solid Waste, GSA (General Services Administration), and the Public Works Department. As you can see, total expenditures and other uses actually increased 10 percent in fiscal year 2004, 7 percent in fiscal year 2005, 7 percent in fiscal year 2006, and 17 percent in fiscal year 2007. The City ofMiami reduced total expenditures and other uses by 9.5 percent in fiscal year's 2008 adopted budget and will remain relatively constant in fiscal year 2009 proposed budget. Some of the key points that are in the budget. Of course, the overall total proposed expenditure will increase 1.4 million over the FY (Fiscal Year) '08 adopted budget. It supports the across-the-board -- excuse me -- increases provided to all union employees on October 1, 2008. It provides one million dollars towards the pension stabilization fund, $300, 000 for the elderly feeding program, $200, 000 for the Accion Community Center. It reduces the number of general fleet replacement vehicles from 91 to 58. One million dollars from mural revenues will be used for the new parkland acquisition green space and public realm enhancements. Additional $2 million will be provided to the Parks and Recreation Department. It will provide 14 new positions to the Finance Department to help improve revenue collections in the areas of occupational licenses and certificates of use, and provide stability in financial reporting; three million for additional fuel increases and two million for additional utility costs; one point three million for PC (Personal Computer) hardware and software replacement. Of course, the most important point is that it limits the use of fund balance to only $5 million for contingency purposes. It dedicates three million in additional solid waste fee revenues for the purchase of new solid waste vehicles. And then, of course, some of the key points in this budget is that it utilizes more storm water utility fund distribution in support of eligible general fund storm water fund projects and street City ofMiami Page 14 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 cleaning operations. It will also reserve outstanding litigated claims at September 30, 2008 in the general fund balance. And then finally, it will modify the solid waste service delivery plan. At this time, I open it to any question the Commission may have. Chair Sanchez: All right. Any questions on BH.3? If not, what we could do, as always, open it up to the public and let the public speak on this item. This is the budget item. Excuse me? Pamela E. Burns (Assistant City Clerk): Were you going to grant a certain limit in the number of minutes? Chair Sanchez: Oh, yes, absolutely. Two minutes. Anyone from the public wishing to address - _? Unidentified Speaker: (INAUDIBLE) three in the County. Chair Sanchez: It's three in the County? They're more -- they're generous over there. They're too generous over there. All right. Anyone wishing to address this Commission? Mariano Cruz: Mariano Cruz, 1227 Northwest 26th Street, Miami, Florida. I come representing a new group that we formed in Allapattah, called the UTA, United Taxpayers of Allapattah. Okay, and our motto is we're looking for parity of services, meaning we want to be treated no worse, no better than any other neighborhood, same; same treatment that Coconut Grove get, Upper Eastside, we want to get it there. Same police response, that's the way we want to get it there, okay, whatever. But I'm going -- first, I'm going to do some accolades. Police Department, fine. No complaints there. And Allapattah Commander (UNINTELLIGIBLE) and the Sergeant (UNINTELLIGIBLE), the Problem Solver team, they working fine. I would say something a little about the police, but -- on the Fire Department, I got to use -- we got to use the rescue once for me. They took me to the VA (Veterans Administration) because I fell down in the bathroom. Fine. A few minutes. They took me there, very professional, very good. I congratulate the Fire Department on that. Very good. I'm glad that live six blocks away from the fire station. That's something that not the people in the County can say. Now Public Works, good, but the only thing Public Works -- we fix -- they fix the drains, everything there. And you know what happened? The County don't take care of the major arterials drain. So all the drains on 26th, 27th Street, they fix. Then the water comes to 12th Avenue, a pool there. It's a pool there because they don't treat Allapattah or the City ofMiami the way they freat Coral Gables (UNINTELLIGIBLE). They wait 'til the street are flooded to come and clean the drain. Why they don't do a schedule maintenance before the rain and before everything? I told them that to the County, we pay 10.50 every water bill; 10.50 is $42 a year in storm sewer charge, so I want services for that money that we pay there, okay? Oh, now I'm going to the jugular now. People -- the Code Enforcement team, Code Enforcement. Basically, when I mention here, I give fair warning. When I call a department head by phone, I want them to call me back. I don't call them to ask if the Marlins are playing today, if the Dolphins get a new quarterback or something. I want -- I'm calling for a complaint, a specific complaint, something. And I call Mr. Loret de Mola twice; never called me back. I talked to Bill Burgess, he said, no, he's not here. Called twice; never called me back. And you know -- and that shouldn't be. Why? I tell you examples what they do. Mr. (UNINTELLIGIBLE) people with a badge. People from my neighborhood, those people come from countries that they (UNINTELLIGIBLE) anybody with a badge have power of life and death (UNINTELLIGIBLE), right? So they very careful with that. They come with a badge in there, they charge them with all kinds of things, whatever. They do that. Officer -- I mean, (UNINTELLIGIBLE) or the Code Enforcement, and other people too. Martinez, Sanitation; go to 214411 th Street and see a little -- trim the tree, give a $500 ticket to the house in (UNINTELLIGIBLE). Why they don't get -- tell them that there is a mini dump -- (UNINTELLIGIBLE) the mini dump there (UNINTELLIGIBLE). No. It's easy to -- and then what they do, they take it to the (UNINTELLIGIBLE) court, and Mr. (UNINTELLIGIBLE), he say, oh, I don't give you $500; I give you just $200. That person make $800 Social Security. City ofMiami Page 15 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Two hundred dollars is a quarter of his Social Security pension. That shouldn't be. That's obscene to do that. That's abuse of power, people that bully. Then the other (UNINTELLIGIBLE) inspector, Lourdes Medina, he [sic] come there, a building, 1744 33rd Street (UNINTELLIGIBLE), he write the ticket too. Why? Why doesn't she go and tell the people -- or find out who dump that garbage or that trash there? Just (UNINTELLIGIBLE) -- I mean, that's a -- I don't see that. They don't come here, but come here and say like it is 'cause I am not scared of anybody because there is no important people, just positions. You are good (UNINTELLIGIBLE) this is an institution. I've been coming here since 1968. You know who was there sitting there? (UNINTELLIGIBLE) Clark was sitting there. So he's gone, but Miami's still here. Ms. Burns: I'm sorry. You need to speak into the microphone, please. Mr. Cruz: Yeah. Miami -- Chair Sanchez: Mariano -- Mr. Cruz: -- is still here, so -- Chair Sanchez: -- we were kind enough to match the County on three minutes -- Mr. Cruz: No. I went to the County -- Chair Sanchez: -- so in conclusion. Mr. Cruz: -- and told them the same thing. Chair Sanchez: I thought the doctor told you to take it easy. Mr. Cruz: I don't pay many taxes here in the City. (UNINTELLIGIBLE) I lived in the house for over 40 years, so you know I get the Save Florida [sic] Homes, three percent only, so I don't pay (UNINTELLIGIBLE), but I pay taxes in a home I own in Miami Lakes, an investment property I got because I don't live just off the post office. I got my investment, you know, 401k, deferred payment, blah, blah, blah, veterans disability. You know, I get along. Now I'm getting compensation from (UNINTELLIGIBLE), labor department, but not everybody in my neighborhood got that. You know, it's funny. I got three medical insurance, the VA, Medicare, Medicaid, and Blue Cross/Blue Shield too, I have. You know, and other people -- Chair Sanchez: You should be lucky. Mr. Cruz: -- don't have anything. Chair Sanchez: Some people don't even have health insurance. Mr. Cruz: Nothing. It shouldn't be. Maybe now when we change government, maybe there will be a change now coming soon. Who knows? And everybody will soon have medical insurance. A pity a country that got the best medical care not everybody got -- like I say, everybody is equal under the law. No. You got more money, you are more equal. No. That's the way they go here. Chair Sanchez: Thank you, and welcome back. Mr. Cruz: Huh? Chair Sanchez: Welcome back. City ofMiami Page 16 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Mr. Cruz: Yeah. Chair Sanchez: Good to have you back. Mr. Cruz: Now one thing about -- I'm going to say about the police. The police is good, but sometimes people give me complaints, 7th Street northwest between 22 and 27Avenue. They running their drag races late at night, Wednesday night, Thursday night, Friday night, Saturday night -- northwest -- the south part of Fern Isle Park, they doing drag racing there at nighttime, four or five times a week. You should put a watch around there. And people told me that the street there is not fixed, it's no sidewalk or anything. Commissioner, you -- District 1, south of Fern Isle Park there, 11 th Street there. Chair Sanchez: Okay, Mariano. Mr. Cruz: They are part too -- they are part of my group too. Chair Sanchez: I understand. Mr. Cruz: But remember -- Chair Sanchez: In conclusion -- Mr. Cruz: -- and we're going to be -- because we incorporate as a 501(c)3, so you get -- contribute some money too, you know -- Chair Sanchez: Okay. All right, thank you so much, Mariano. Mr. Cruz: We're doing -- Chair Sanchez: Good to have you back. Mr. Cruz: -- everything legally, by the book. Chair Sanchez: I'm glad to see you have your health back. Mr. Cruz: Okay. Thank you. Chair Sanchez: Next speaker. You're welcome. Next speaker. Those that are going to speak, please just come on up. You know, two minutes, two and a half minutes. We got to get going. How many will be speaking on the budget, just out of curiosity? Okay. All right, so that's four -- all right. You got three minutes. Come on. Albio Castillo: Wow. Thank you. I'm grandfather in then. Chair Sanchez: You're grandfathered in. Mr. Castillo: My name is Albio Castillo. I live in 2386 Southwest 5th Street. I'd like to thank all of the departments, from the Commissioners down to Police, Fire and Rescue and other departments for the job that are done. I also like to know is how is the City going to handle with the municipal with the County that they want to take the Fire Department. I have a suggestion for whoever's going to take this to remind them of the squandering of the money of the airport and the squandering money of our Mefrobuses. And I will tell you that the County -- Chair Sanchez: Whoa, whoa, whoa, whoa -- City ofMiami Page 17 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Mr. Castillo: Yes, sir? Chair Sanchez: -- whoa, whoa, whoa, whoa, whoa. Let me inter -- I think you're at the wrong place. Mr. Castillo: No, sir. Chair Sanchez: You got to go to the County to complain about the airport, the seaport -- Mr. Castillo: No, because it is -- the thing is that I'm going to say is because if the County wants to take the Fire Department, you don't have -- Chair Sanchez: Oh. Mr. Castillo: -- we're going to have a major problem with the City. Commissioner Gonzalez: But that's already -- Chair Sanchez: But that's not going to happen. Mr. Castillo: That's what I was going -- Chair Sanchez: That's not going to happen. Commissioner Gonzalez: That didn't happen. That was already -- Chair Sanchez: They pulled back. Commissioner Gonzalez: They already pulled back. Chair Sanchez: You know, they saw Shorty, and they said, forget it. Mr. Castillo: Good. I'm glad to hear that. So then that will be scratched then from my -- but at least I brought it up. I also like to know is how is the City going to handle with Comcast on the poor service that you Commissioners get a lot of call and it's under the City Charter, complaints about Comcast of poor service. And you get a lot of calls from that. Chair Sanchez: You know, I've been here ten years. In ten years, he comes here and he complains about Comcast every year. And all I pray is, every year, that somehow you get good service from Comcast for just one year. Mr. Castillo: I do. In a way, I do because I -- sometimes I have to go literally to the Commissioner's office and get it done, and they already know me because of that. I also like to know is how is the City going to handle the proposed with the Marlin [sic], if it's not going to be built. I know most of it has been approved, but we're waiting for the big one. How is the City going to handle if it's -- that one is not going to be approved? Chair Sanchez: Mr. City Manager, could you respond to that? I think he's asking with the litigation -- Mr. Castillo: Exactly. Chair Sanchez: -- going on that the court has ruled in our favor six times. There is another -- Mr. Castillo: The big one. City ofMiami Page 18 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Chair Sanchez: -- one that they have not ruled, but -- need to explain to him that the whole thing was -- Pedro G. Hernandez (City Manager): Well, this -- Chair Sanchez: -- a public purpose. Mr. Hernandez: The main issue or the main case that remained in the path of proceeding with a baseball stadium is the issue of paramount public purpose, and the court ruled in favor of the City and the County on that respect. So what that means is that the City and the County can proceed in working with the team and developing the stadium. The issue that is pending is an issue that deals with the CRA (Community Redevelopment Agency) funds and the ability of those funds to support the Performing Arts Center, so it's not related to the baseball stadium. Mr. Castillo: Thank you for clearing that. I'd also like to know is -- I'd like to thank fire station number 7 for providing the service that they did. And I live a block away from that station and my father got injured. That is the only thing I have for now, and I'll have some more questions, topics on my -- the second reading. Thank you. Any other questions from the Commission -- Chair Sanchez: No. Mr. Castillo: -- or from --? Chair Sanchez: Thank you. No questions to you, my friend. Mr. Castillo: You're welcome. Chair Sanchez: Thank you, though. Pleasure to see you. Yes, ma'am. Hattie Lomax: Thank you. Good afternoon, everyone. Chair Sanchez: Good afternoon, ma'am. Ms. Lomax: My name is Hattie Lomax. I live at 125 Northwest 15th Street, in Overtown. My concerns are the street curbs, the sidewalks. They're not accessible for the handicapped to come up off -- to come up on the sidewalk. Basically, there's a lot of disabled people that live in the community of Overtown, okay. The second thing is the drugs that's on the street. Chief Timothy [sic], please, we need to clean that sfreet up. The drugs are infested, absolutely infested. I call the police. They come out very casual and nonchalant, and really don't do anything. There is a lady on the sfreet, she is the queen bee. She's about seventy -something years old, and she comes on the sfreet everyday and sell crack. The second thing, if possible, if the City can put some program -- excuse me, I'm sorry, put some kind of program into the City ofMiami, Overtown, to clean up the streets or to put some kind of program there to educate these young people that have three and four babies and their only income is selling crack, you know, and it's just bizarre. And I'm sitting there looking at this every day. I'm seeing these acts going on in which the police comes out and, basically, they want to take me to jail, butl always have a way out 'cause I always motion to strike and they never show up in court, okay. So that's my issue. That's my issue. Please, we need some kind of programs in Overtown because our youth there are just perishing, absolutely perishing, okay, and that's all I have to say. Chair Sanchez: Thank you, ma'am. Next speaker. Do we have a next speaker? All right. At this time, what I'll do is I'll close the public hearing for the budget, and it comes back to the Commission. All right. BH.3. Ladies and gentlemen, as always, it's time to fish or cut bait on the budget. Commissioner Regalado. City ofMiami Page 19 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Commissioner Regalado: Thank you, Mr. Chairman. Chair Sanchez: This is the budget. We'll get to Solid Waste in BH.9. Commissioner Regalado: Madam City Attorney, the -- you were asked that the City cannot impose any taxes other than the property taxes, but we can impose fees, right? Julie O. Bru (City Attorney): Under your home rule powers, you can levy taxes, as authorized by State law. You can impose special assessments. You can -- you have impact fees that are tied into the additional facilities that new construction will require. You have fees that you charge for things, such as solid waste pickup. So you've got fees and assessments and taxes. Those are the three things -- the three ways that you can raise revenue. Commissioner Regalado: Right. And the Manager was very clear, very direct in saying that this $13 million are for wear and tear. Now the question is, can we charge fees for frucks entering commercial areas, commercial frucks? Ms. Bru: That would be something that we would have to look at, first of all, to see if it's authorized under state law. You have to deal with issues of federal preemption under interstate commerce, so you'd have -- we'd have to look at a specific program for a specific purpose and then look at federal preemption and state preemption. Commissioner Regalado: And I understand that, but my point is that the alleged deficit that we have cannot be cover because we have to use $13 million for wear and tear. Now we have Metro Transit buses that are serving a public purpose, but they are commercial, and these buses are creating a bigger wear and tear in the streets. We also have UPS (United Parcel Service), FDL that go into the sidewalks and into the curbs. That creates wear and tear. So, you know, recently Mayor Blumberg, in New York, was trying to impose a fee to go into New York, and I think that they will. They sort of abandoned that issue, but they're reviving the issue, and they will impose a fee to enter Manhattan in, I think, the next year. So if this is about wear and tear, all heavy vehicles could and should pay for the reconstructions of the street, if this is the case. So I just -- and I know that you're overwhelmed with all these thing going on, but New York is doing it. And if we want to be a big city and if we want to keep our infrastructure to a par of a big international city, then we need to start considering a user's fee to County buses, you know, everything that creates wear and tear, at least in the core of the City and the biggest area. So I would appreciate if you look into that. Ms. Bru: We will certainly look at a program that could be established such as what you are describing and see whether or not we have the constitutional authority to do that. Commissioner Regalado: Thank you. Chair Sanchez: All right. Let's get a motion and a second on this draft form proposal resolution. Commissioner Gonzalez: I make a motion to approve. Vice Chair Spence -Jones: Second. Chair Sanchez: There is a motion by Commissioner Gonzalez, a second by Vice Chair Spence -Jones. The item is still under discussion as to the budget. Anyone wishing to discuss the budget at itself? Vice Chair Spence Jones, you're recognized for the record. Vice Chair Spence -Jones: First of all -- thank you, Mr. Chairman -- I want to first publicly City ofMiami Page 20 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 acknowledge Mr. Manager, his team, Larry, Mike, all of you guys for really putting together, I think, a great budget. Considering all of the issues that we have to deal with, I just wanted to at least publicly acknowledge your hard work -- your whole -- your team's hard work with trying to make things work. And I know sometimes it can be difficult with all of us because we all have initiatives and things that we want to see happen within our districts and throughout the city. But as you know, we are faced with these conditions that have really affected the City. And one of the things that I really wanted to bring up as an issue was, you know, even -- despite everything that we're having to kind of deal with now, you know, from the standpoint of having to make these kind of cuts, our citizens still expect for us to pick up the garbage, to provide public safety, and to provide elderly support to small businesses in the area and to make sure that we have great parks and programs. And when I looked at this particular budget -- you know, I had some issues and concerns in the very beginning because I did not -- I was not at the budget workshop, the first one, but after we sat down and went through the key issues -- and I just wanted to make sure those were addressed, immediately you guys came to the aid to make sure that they were addressed. I just want to just touch on a couple of departments that I just want to make sure that we are on the same page within -- and to make sure I'm not -- we're not going to have any issues around projects, major projects that we all have happening in our district. And this is probably, more or less -- I'm going to start with CIP (Capital Improvements Program) first, if you don't mind. I just wanted to make -- Ola, I guess you got to say your name. Ola Aluko: Ola Aluko, director of CIP, City ofMiami. Thank you. Vice Chair Spence -Jones: I just wanted to make sure that the budget for CIP, Ola, is inclusive of all the CIP administration and management costs for the year, and that, as far as the scope of work that was, you know, a part of the whole bond -related issues regarding a lot of these projects, all of these things were included. Because one of the things I wanted to make sure -- 'cause I want to make sure, whether or not it be a park or a street or something you're building in your area, those costs were actually built into the budget so that we don't have an issue of a shortfall in your department to actually deliver on projects. I just want to make sure that this number is a number that you're comfortable with. Mr. Aluko: Okay. Just to clarify your statement. I think I know where you're going. Vice Chair Spence -Jones: Sure. Mr. Aluko: The project budgets is not require the administration budgets, two different -- two separate budgets. My administration budget, the way it is now and at least the way we have discussed it with the Budget Department, my -- our project managers and construction managers, our staff in general, will be project reimbursed, meaning that we will seek their salaries from the actual project. The way we have it now, we do feel comfortable that the administration budget will suffice. Again, we will work with the Budget Department in the event that the projects cannot support the administration. Once we complete the projects, we'll work with the Budget Department, and I'm sure the Budget Department will -- if there's a gap to be bridged, I'm sure the Budget Department will work with us. Vice Chair Spence -Jones: So you feel pretty confident that you're going to be able to deliver all of our projects without having any issues? Mr. Aluko: Not -- no issues with the staff. We do have enough funding for our projects, and we should be able to do that. Vice Chair Spence -Jones: Okay. That was one. Thank -- that was it. Mr. Aluko: You're welcome. City ofMiami Page 21 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Vice Chair Spence -Jones: I just wanted you to put it on the record because when our projects, for whatever reason, start slowing up because you don't have enough staffing to accommodate them for whatever reason, I just want to make sure that it was actually put on the record that we'll still be able to get some of the projects done. Mr. Aluko: Yes. Again, we -- we're comfortable. We met with the Budget Department, and those items, if we do run into that problem, the Budget Department will work with us. Vice Chair Spence -Jones: Okay. The other -- Thank you, Ola. Mr. Aluko: You're welcome. Vice Chair Spence -Jones: -- Mike, thing that I just wanted to make sure was addressed was the living wage issue, making sure that, especially our working-class people, you know, the folks that are in Public Works and Solid Waste and the GSA, the folks that are making that $8 an hour that have been temporary employees for God knows how long, I really had a concern with, you know, the amount of increases that they were getting per year. I just want you to put on the record because not just for us to know, but the concerns that some of the City employees had about their living wage increases. Andl know we passed this about, what, two and a halfyears ago, about the living wage increase. I just want to make sure that this was also accounted for in the budget. Mr. Boudreaux: Yes, it has. Vice Chair Spence -Jones: Okay. Mr. Boudreaux: Yes, it has been accounted for in the '09 budget. Vice Chair Spence -Jones: Can you just make sure you just elaborate on the fact that it's done -- how you guys are addressing the living wage ordinance that we passed? Every three years -- can you at least put that on the record for us? Mr. Boudreaux: Of course. The City has to be in compliance with the living wage ordinance, effective -- correct me if I'm wrong, Mr. Spring -- October of 2009, for which the City has to adjust its living wages for not only its temporary personnel, but for its contracts that it also has. We would -- the budget includes that anticipation of these increases, and I would -- we had phased in the increases over a period of time, and we are scheduled to be in full compliance in October of 2009 or 10 -- 9. Vice Chair Spence -Jones: I just want to make sure we're clear on it because it's -- Larry Spring (Chief Financial Officer): Yeah, 9. Vice Chair Spence -Jones: -- the small people that are working and picking up garbage that are doing all of the work that nobody else wants to do in the City are the last ones to be thought about, so I just want to make sure that that is also included 'cause we pushed very hard and the Mayor pushed very hard to make sure this living wage ordinance was really adopted. So I just want to make sure that that is, you know, being addressed. Mr. Spring: Commissioner -- Larry Spring, chief financial officer -- the living wage protocol, like Mike said, is due to be fully implemented -- that means not only for contracting purposes, but for our own City employees' purposes -- by October 2009. We have been doing some increases -- some minor increases over the years, but by the end of this upcoming fiscal year, we will have to be fully compliant. So that is in the -- and I know another increase is in the works for this fiscal year also -- City ofMiami Page 22 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Vice Chair Spence -Jones: Okay. Mr. Spring: -- along that same path. Just for the record also, any of the employees who are covered under contracts -- Vice Chair Spence -Jones: Yeah. Mr. Spring: -- 'cause I don't want the public to think -- 'cause you said, you know, GSA, Solid Waste workers, anyone who is covered under the CBA does make living wage right now. It is that group of temporaries that we're trying to address -- Vice Chair Spence -Jones: Accommodate. Mr. Spring: -- per this Commission. Vice Chair Spence -Jones: Okay. Then my next one was NET (Neighborhood Enhancement Team). David. Once again -- most of my stuff is all neighborhood -driven and people -driven. I really just wanted to make sure -- and we had a conversation with the Manager. I saw that the budget -- the number was lower, and I was concerned with, you know, at first there being the thought of additional offices being closed, but I just wanted you to physically put that on the record that that is being addressed, that no off -- no NET offices will be closed so that every community will be serviced. Because for most people in the community, that is a one -stop shop for them, and when City Hall and MRC (Miami Riverside Center) is very intimidating for them to come through the doors, they feel very comfortable with coming to their own neighborhoods. So I just wanted to make sure that that was being handled. And once again, it's the little people that I'm always concerned about, which is the Litter Busters. Those folks, any time we call them for anything in any one of our districts, they're always there. So I just wanted to make sure that -- some of them have been part-time, temporary employees for ten, twelve years. I just wanted to make sure that in your budget this year you're addressing them. David Rosemond: Yes. Good afternoon, David Rosemond, director of NET. Yes, Madam Vice Chair, my understanding is that our NET budget is going to remain whole. I just wanted to alert you, however, that with regards to our homeless program, we're going to be losing about $130, 000, which is usually destined for beds, so we may have a problem with regards to the ability for us to be able to get people from off the street and into shelters. Commissioner Regalado: Can I just say one second --? David, you sit there with me. You sit at the Homeless Trust with me. David, how much money does the Homeless Trust receive every year, Miami -Dade County Homeless Trust? Is it 24? Mr. Rosemond: Right. Commissioner Regalado: Twenty-four million dollars, and yet, you and we have the responsibility of paying our employees to go out to the County building, to the Art Museum, to the County -- Mr. Rosemond: All of the County properties. Commissioner Regalado: -- facilities and get the homeless out of there because they complain. And I was talking to the Manager the other day and I think you were there, or Larry, or Roger. Anyway, it's about time that we demand that the homeless program of the City ofMiami should be financed by those $24 million because, I mean, it's very nice and it's very humane to vote yes on a project in Naranja and in the Homestead Air Force Base, and we do because it's about people. It's about persons. It's about persons that will become persons after that. But it's about time that the City ofMiami start getting tough and saying, well, you know what? My friends, your friends, chairman of the -- all these nice peoples [sic], David Raymond, you need to help us City ofMiami Page 23 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 out here 'cause it's $24 million. And mind you, every day when those restaurants in Brickell and in downtown, in Coconut Grove, be the Cheesecake Factory or anyone, feel and people pay, people are paying for the homeless in the City ofMiami. Restaurants are getting, so there is no - - it doesn't make sense that we need to be telling, you know, we have to cut and we have to cut on services and it's not even making sense that we have to take money from the general fund to operate the homeless program of the City ofMiami. And I just hope that we will be -- I mean, ifI have to resign as your appointee in the Homeless Trust, I'm doing this right now, so I can start working with the Administration to demand that the Homeless Trust pay for the homeless program in the City ofMiami because we resolve their problem. And you know very well that because you understand the issue, so I'm sorry -- Vice Chair Spence -Jones: It's okay. Commissioner Regalado: -- Vice Chair, but I'm telling you, I'm willing to resign right now as your appointee and to start working with the Administration to go before this board, not as a member, but as a resident and as a City Commissioner because they need to pay. They need to pay, and we don't have to pay to do the service that we do for the County. Thank you. Thank you, Madam -- Vice Chair Spence -Jones: No problem. Commissioner Regalado: -- Vice Chair. Vice Chair Spence -Jones: And I'm -- and I just thank you for bringing that to my attention. I think that Commissioner Regalado's recommendation about really having a united effort going over to the Homeless Trust to get funding to assist us with any shortfalls is definitely needed. I just know how long things take to get done, and in the meantime, the district that's being inundated with homeless people is Commissioner Spence -Jones district, which is, you know, Overtown at this particular point, and now -- Rosemond: And this is the reason why I brought it up. Vice Chair Spence -Jones: -- moving to Liberty City and Little Haiti and Allapattah. Mr. Rosemond: Right. Vice Chair Spence -Jones: So, you know, I guess this is an issue we can kind of discuss, you know, before the next hearing, but clearly, you know, the homeless issue, if that is something that's being cut or reduced, we need to have a plan to kind of address it from the long-term standpoint. Mr. Rosemond: I just want to make sure that the record reflects that we do get some monies from the Homeless Trust. And in fact, coming for this year, we're getting an increase in the amount of allocation -- Vice Chair Spence -Jones: Okay. Mr. Rosemond: -- to do some specific projects. But I just wanted to make sure that the Board understood that we are getting a reduction on the amount of monies that we have allocated for beds, and that's -- it's usually one of our greatest challenge, having a place in which to place these individuals that we get off the streets. Vice Chair Spence -Jones: And most of these facilities are all full? Mr. Rosemond: Um -hum. City ofMiami Page 24 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Vice Chair Spence -Jones: I mean, we get countless numbers of phone calls -- I mean, the country's in such a bad state, the City's in such a bad state, the County's in such a bad state that people are -- families are homeless now. You have three and four people that are homeless, you know, living on the street, so by all means, we can talk about that, Mr. Manager, before the next budget hearing as to what the solution's going to be to address it, butt just wanted to make sure no NET offices were closing and the Litter Busters was addressed, but thank you, David. Mr. Rosemond: Thank you. Vice Chair Spence -Jones: And -- Commissioner Regalado: But before you go, ifI may, that cut in allocation for rooms hurts twice because that money, Madam Vice Chair, is used to pay motels within the City ofMiami. It's not that they have a bed available at the HAC (Homeless Assistance Center) or -- it's that they get a homeless and they go to a motel in the Civic Center and said rent this room, and they pay the motel. So if we do not use that money, we are hurting the homeless that has to stay outdoor and the business in the City ofMiami that is not making business. So that's my point. We do get funds from the Homeless -- Vice Chair Spence -Jones: Homeless Trust. Commissioner Regalado: -- Trust, but we don't get the funds that we need to do the job. And mind you, the majority of the homeless population is within the core of the City ofMiami, in Miami -Dade County, the last census showed that. Vice Chair Spence -Jones: Okay. Thank you, David. Mr. Rosemond: Thank you. Vice Chair Spence -Jones: And then my last comment was really on parks, and it's really more of a statement than anything else. One of the concerns I had -- and I'm glad that the -- Ernest -- I don't know where Ernest is -- was able to clear it up in our briefing. As you know, many of the children in our city rely on these summer jobs and -- during the summer. And you know, for some reason there was -- there's been a decrease of -- or at least appeared to be a decrease of kids being able to work in our summer parks during the summer -- during our park -- in our parks during the summer. But Ernest was able to explain to me that actually we still have the 900 positions that are available that are, you know, part-time, temporary summer employment, not just for children but for also young adults, so that is being addressed -- or is being addressed. I think the one thing that I do -- we did discover in the midst of it, Mr. Manager, that it was more of a systems issue than a Parks issue. The money's sitting there, but because of the time period in which kids can apply or people can apply, the cutoff point does not allow for them to, perhaps, use all the money that's necessary, correct? Ernest, if you can clear that up so that at least Mr. Man -- going into this summer, especially since kids, at least in a lot of our districts, they become -- they provide extra income to many of the families, so I just want to make sure that that's not going to be -- Ernest Burkeen: Ernest Burkeen, director of Parks & Recreation. That's correct. Jobs are posted. There's a period of time in which they post it, and when that ends, then they cannot apply. As an example, jobs open in February; they may close in March. If at that time the job is closed, while we still may have openings, it's closed and no one else can apply. That's just a part of the process. Vice Chair Spence -Jones: And then some people get dropped off -- I mean, in the middle of that, they disappear -- City ofMiami Page 25 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Mr. Burkeen: People always leave. Vice Chair Spence -Jones: -- or no long -- and that -- there's no space open to even replace the ones that are there. Mr. Burkeen: Yes. Vice Chair Spence -Jones: So I just wanted to really make sure that, Mr. Manager -- we don't want to have money sitting there that can go into, you know, the hands of young people, you know, that could be working over the summer for the summer jobs. We want to make sure that system is addressed through Personnel. Mr. Hernandez: We should be able to resolve that. You're talking about maybe having a longer application period. Hector. Hector Mirabile: Dr. Hector Mirabile, director of Employee Relations. Commissioner, yes, we could have a longer waiting -- longer period of openings. What happens is that we request how many openings there are and then we estimate the number of people that would be applying, and then we put out an estimate of between 35 and 45 days and we leave those open. If we need it for a greater period, we can continue leaving it open. That is not an -- that's no an issue. Mr. Hernandez: That would be fine, Hector. We can just leave it open, that way we don't have that problem. Mr. Mirabile: Correct. But at one point, we have to close it -- Vice Chair Spence -Jones: No, no. That's fine. Mr. Mirabile: -- so that we can go ahead and allow that -- the register -- for me to certify the register and send it over to the director so that he can actually start doing the process of hiring. Vice Chair Spence -Jones: Okay. Thank you, Hector. And as far as the parks are concerned, I just want to make sure, Mr. Manager, we do have -- at least three of us have three mega parks that just got built this year. I think that it's extremely important -- and I understand the Administration is addressing it to make sure that we have dedicated staff to make sure those facilities are ran and operated properly. I think it's extremely -- doesn't make sense for us to spend all this money on them and not have them have the dedicated staff to really make sure that they run accordingly in each one of the area, and that applies for our new facilities that we have coming online, making sure that we have the resources to actually program them. And that was my only question on the budget. Mr. Hernandez: Thank you.. Chair Sanchez: All right. Anyone else? If not, you know, I was thinking here saying, you know, can it be any worse? And I said to myself, well, we could be members of the School Board, and they got some tough choices to make. But you know what, every year we go through this budget process. We're required by law to have a balanced budget, and when we put together this -- these budgets, you know -- any time you put a budget together, I think it's important that we understand the plight of the working families and the tough economic times. I think people need to understand that, and I think we understand that. We understand times are tough out there. And a budget, you know, it -- any budget that you put together, the first thing you have to say is it good for the people and can the people afford it. You've got to ask yourself that 'cause it all boils down to economics. It's -- you know, my revenues coming in and my expenses. You know, you have a bank account at home with your wife, you can't spend more than what you make or City ofMiami Page 26 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 else you end up in trouble. Same thing here. Commissioner Gonzalez: It doesn't involve any magic. Chair Sanchez: It does -- there is no magic and there is no voodoo economics, but the bottom line is that, you know, we have to make a decision here that any time that we raise any fees or any time that we come up with any creative increases in our budget, we have to make sure that that is the last resort. In other words, we have nowhere else to take from. We've got to be creative and we've got to come up with that amount of money. And you know, people just got their trim notice not too long ago, and based on legislations that was approved, people got an additional $25, 000 homestead exemption, so you would anticipate I'm going to be receiving a savings. And when it's all said and done, basically, if there is a savings, it's a very significant savings. Commissioner Sarnoff Insignificant. Chair Sanchez: Huh? Commissioner Sarnoff Insignificant. Chair Sanchez: Insignificant savings. And if you're lucky, maybe you got a savings, but it's very insignificant savings. Last year's millage was 7.29; this millage is 7.6. That's .62 more. Of course, taking into consideration the Glitch Bill and Amendment 1, those are things we have no control over, so we have to face that, and that, we could thank the Florida's Legislation [sic] for. But still, the people that pay taxes want to see their taxes lowered. You know, people are still waiting to see their taxes drop like a rock. They are. And you know, it was a statement made -- you know, I'll take it another step further. People are still waiting to see their insurance lowered, and they haven't been lowered. Commissioner Gonzalez: No. They were expecting not to pay any taxes this year. Chair Sanchez: Well, yeah. Well, no. That's -- listen, that's impossible. Commissioner Gonzalez: That would have been -- Chair Sanchez: You got to pay taxes, and we all understand that. People in Miami pay taxes, just like anyone else in the state. But in today's economy, which is a bad economy -- inflation is the highest in 17 years in our country; unemployment is the highest in the last five years on a 6.1. If you look at all these statistics, they're very alarming, and they still say we're not in a recession. We're not in a recession, but things are pretty tough. So we need to come forth with a budget that is going to keep this city afloat. And let me tell you something. I think the Adminisfration did a heck of a job in this budget. Based on the budget in itself it's only an increase of 1.4, okay, so it's not a budget that's out of scale and out of whack and every year it's increased by three, seven, ten percent in our budget. But if you look at the budget in itself -- and we've had plenty opportunities to sit down with the Administration and work out some type of agreement -- my issue is with the solid waste, and I'll deal with that when we get to HB.9 [sic], okay. That's the only issue that I have on this budget. This is not a bad budget, folks. It is not a bad budget, but still, when you take HB.9 [sic] into consideration, it is attached to this budget, and that's where I have a problem. I have not been able to work out that problem with the Adminisfration. I look forward to sitting down and frying to work that issue with the Adminisfration, but that's where I stand on that. Commissioner Regalado: Mr. Chairman. Chair Sanchez: Yes, sir. You're recognized. I'll yield to you, and then I'll take the floor back. City ofMiami Page 27 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Commissioner Regalado: Thank you very much. Just to agree with the Chairman, I fried, but have not been able to work with the Adminisfration on the solid waste issue. And you know, he's right. We have to take a hit, we have to take a hit. The reason I voted for the millage is because it has a modest reduction for the people ofMiami. The reason I won't vote for the budget is because it has an increase, and we're not being creative enough. We still have, each of us Commissioners, the same budget that we had last year for special events. And in tough time, we have to live by example. We should have reduced that by half and be more careful in awarding special events money. That would have saved $50, 000. The $40, 000 allocated for the Mayor's State of the City address, maybe in half it would be modest. That's close to $100, 000. The festivals award that we need to support this, but you know what? One thousand dollar out of twenty-five thousand dollar won't hurt a festival. One thousand dollar out of forty five thousand dollars won't hurt the Three Kings Parade, and we have almost $50, 000 more. So the issue is we need to find $3 million, and that's -- I'm sure that's the issue that the Chairman has that have; $3 million to buy new equipment. Well, we still are in litigation. And only three days ago, two new brand -- brand-new (rucks burned again, and you know what? They keep blaming the employees and the routes and all that. Well, we need to be more proactive in this litigation with the companies that provided the trucks. We need to listen to the union about the overtime. We need to listen to the workers about what we can do to solve the routes and to streamline the route, and we haven't done that. So I'm sorry, Mr. Chairman, thatl took the floor, butl thought that need to say that can't vote for this budget because the increase on the Solid Waste. And the rest, Michael is -- he has the magic touch because he was able to convert $35 million deficit in one million surplus, so you got the magic touch, but it's important that we do get creative. There is still area to cut that won't hurt nor the City, nor the people, and that's -- and I think -- I hope that the Adminisfration would do that. Thank you, Mr. Chairman -- Chair Sanchez: All right. Commissioner Regalado: -- back to you. Chair Sanchez: I think you've said enough. I'm not going to say any more. Let's just go ahead and vote on the issue. All right. Call the question. It's a resolution, but let's go ahead and have a roll call on it. Ms. Burns: Excuse me. This was a -- Vice Chair Spence -Jones: We had a motion? Ms. Burns: -- discussion item, and there were several items submitted into the public record today from the Budget Department, and I don't know if the City Attorney would like to make a statement. Ms. Bru: Okay. Let me just suggest the following. You were handed a resolution -- Chair Sanchez: Right. Ms. Bru: -- prior to this discussion right now, and what lsuggest is that you adopt the resolution -- Chair Sanchez: Could you vote -- could you read the resolution into the record -- Ms. Bru: Yeah. Chair Sanchez: -- and we'll vote on it? Follow the resolution, just go ahead and call a roll call. City ofMiami Page 28 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Ms. Bru: Okay. I'm going to modify slightly the resolution that was handed out to you, and the title will be a resolution of the Miami City Commission adopting a tentative budget for the fiscal year beginning October 31, 2008 through September 30, 2009. And we will indicate in the body of the resolution that this budget will become final at the second reading, just to make it clear that this is a tentative budget that's being adopted today. Chair Sanchez: All right. Roll call. Commissioner Gonzalez: All right. Ms. Burns: For BH.3, roll call. Commissioner Regalado? Commissioner Regalado: No. Ms. Burns: Commissioner Sarnoff? Commissioner Sarnoff Yes. Ms. Burns: Vice Chair Spence -Jones? Vice Chair Spence -Jones: Yes. Ms. Burns: Commissioner Gonzalez? Commissioner Gonzalez: Yes. Ms. Burns: Chair Sanchez? Chair Sanchez: No. Ms. Burns: The resolution has passed, 3/2. Chair Sanchez: First reading. Ms. Burns: As modified. Chair Sanchez: As modified. Mr. City Manager, I would like to sit down with you and whoever you want to bring to my office to focus on ad valorem tax in our city. Based on the growth that we've had in our city with all these condos, and thank God, because of this development, today we're able to pass this budget because it's brought in millions of dollars into our city. My greatest concern -- and I have not been yet convinced -- is that a lot of these buildings -- and I believe the City has not done yet an audit of its inventory pertaining to condos that were supposed to be homeownership -- in other (UNINTELLIGIBLE), they were supposed to be sold. A lot of them have converted, because of the market, to rental. I want an assurance from this Adminisfration that we are getting our fair share of that ad valorem tax. I don't know if it's going to take us having people go out there and check these buildings because there's a loophole, where they will hold back on closing and getting their CO (Certificate of Occupancy) not to pay ad valorem tax this year. So this Adminisfration, asked by this Commission, your department was asked to go out there and make sure that you checked up -- check up on licenses, make sure you went out there and looked at every stream of revenue that could be brought into this city, and as of that, I don't know all the details. As a matter of fact, I have not gotten -- well, I did get -- I shouldn't say -- but did everybody get the overtime in our City? Well -- Commissioner Sarnoff Well -- City ofMiami Page 29 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Chair Sanchez: -- I got it, and I wasn't satisfied with it. So that's just on first reading. It passed on first reading, 3/2. I'm just saying that I'm open to getting it -- more educated as to the City's revenue sources. Mr. Hernandez: Commissioner, we'll look into that concern that you expressed, and I understand that the trigger mechanism that is used for a new property to be added to the tax roll is the TCO (Temporary Certificate of Occupancy). Commissioner Sarnoff Right. Mr. Hernandez: That when we TCO a building in the City ofMiami, there is a communication to the County. Also, I understand that the County has their own personnel that keep an eye on ongoing construction once they -- once it has substantial completion. However, I'll talk and work with our Building Department and Zoning and so forth to fry to give you a better level of comfort and in reference to the audit that you mentioned. Chair Sanchez: That focused on condos that were for sale, and now they've turned them over and now they're rental. Mr. Hernandez: To rental. Chair Sanchez: All right. Commissioner Sarnoff Mr. Chair. Chair Sanchez: Yes, sir. Commissioner Sarnoff Mr. Manager, I was made to understand that to understand and to really analyze and come up with any fair conclusions with regard to overtime, that that would take about a three- to four -month study. Obviously, we would not have that study before the second reading. Mr. Hernandez: No. Commissioner Sarnoff Am I correct in that understanding? That we're learning the behavior patterns of some of our departments, and in order for us to look correctly at overtime, we have to look at their behavior patterns. Mr. Hernandez: I do agree with that, Commissioner. It's something that, you know, we have discussed with the Budget Department and our CFO (Chief Financial Officer), that you actually have to look at the behavioral patterns to be able to have an effect. It's not just an issue of having additional personnel. You also have to look at the behavior pattern and you have to correct that pattern in order to trim back overtime. Commissioner Sarnoff Well, I approved this and understand that I'll probably have to approve this without that study. I also understand that our fiscal year '010 [sic] is going to be worse than fiscal year '09. I want to impress upon you that unless I understand our use of overtime before -- and I know we have a year, obviously, to do this, but I'd like to know it much in advance of that. I mean, the reason I'm voting for this is that you're telling me fairly and honestly that you cannot evaluate the use of overtime without a long-term look at patterns and behavior, and I'm taking you at your word for that. But understand something, the Fair Labor Standard Act that's passed by the United States Government is not intended to compensate the employee for working over 40 hours a week. It is intended to penalize the employer. Now in penalizing the employer, you're penalizing the citizens ofMiami. And the reason I'm passing this right now is 'cause you're telling me -- and we were very honest with each other in these meetings -- that you City ofMiami Page 30 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 couldn't give me a fair analysis of overtime prior to first or second reading. And I know Michael, more or less, said that to me as well, but he did agree to me that you would look in depth at the behavior patterns of every department in the City ofMiami with regard to patternisitic [sic] use of overtime so that by the time a very tough '010 [sic] comes around, you said that you would understand it and be able to give some -- draw some conclusions from the use of overtime. Mr. Hernandez: That's correct, Commissioner. And I see this as a two-year process. We're now working through, you know, the '09 budget, butl don't think that -- once we get this one done, I anticipate continuing to work with the Budget Department to put into place measures now early that will help us when we get to this time in next year, in 2009, because, yes, it's going to be worse and we have to plan over the whole year, not wait 'til the summer. Commissioner Sarnoff All right. I just -- you know, I didn't say much in the budget process because my biggest concern with the City ofMiami budget has been overtime. You're pen -- you are penalizing the citizens ofMiami by theoretically -- this is just my theory, not been proven yet. But theoretically, you don't have adequate personnel because you're having to work people over 40 hours a week, and the federal government is penalizing you -- and I mean "you" euphemistically as the City Manager -- for failing to have adequately staffed the City ofMiami. Mr. Hernandez: Commissioner, the area that requires most of the overtime, I would say, the majority of it, is the Police Department. And over the last few years, we have been understaffed in Police, and we have been, in essence, in a catch-up mode. The problem with Police is that when you do recruitment, you have to wait 18 months until that officer's out on the street. We began to turn that tide this time last year when we approved the new contracts. And in August, we were quite successful in having a large number -- I don't know if it's the largest -- of applicants that we've had for Miami police officers. So now we have turned the tide, but it takes a while to place them out on the street. That will help us. I don't know to what degree, but that should be helping us, plus the analysis of the behavioral patterns. And working with Police, we tried to address that the best possible way. Commissioner Sarnoff And the only reason I'm putting this on the record, Mr. Manager, is 'cause obviously what you and I do in private is not really a public -- not known to the public. But my analysis of the budget was a problem of overtime, and I agree that you -- we're both in agreement that Police and Fire, to some degree, are a necessary overtime -- we have to use them, in a manner of speaking, overtime to some degree. However, I want to make sure that at least you and I both agree that we're going to look in depth at this to fry to reduce those overtime hours and create actually more employment opportunities for people in the City ofMiami. Mr. Hernandez: Yes, Commissioner. Chair Sanchez: All right. Commissioner Regalado: Chairman, ifI may. Question. Now that we have the -- all the directors here, I have four e-mails (electronic) here, plus my two neighbors, plus me, plus two other people that went by yesterday in my home and drop a note on the -- they all live in Shenandoah. These e-mails are from Shenandoah. We all got a letter from the Building Department two days ago addressed to the owners of the property, and the letter from the Building Department says, Hector, that we are in a flood zone; that we, in Shenandoah -- Chair Sanchez: Commissioner, with all due respect, what does this have to do with the budget? Commissioner Regalado: It has to do a lot with the budget, a lot. The reason that it has to do a lot with the budget is because we use money to mail -- I'm sure that thousands of those letters were mailed, but the question that the people are asking is this is the first time ever that we, the City ofMiami Page 31 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 BH.4 08-01008 Downtown Development Authority people living north of Coral Way, are being told that we are in the flood zone and that we require special needs and special insurances. So is this some new designation? Should we have --? Because if it is, then we need to get worry and instruct the people, and then this will mean more money in term -- because the people are seeking more information. Hector Lima: Hector Lima, Building director. Every year, we send out letters -- it's related to our participation in the Community -- FEIVIA's (Federal Emergency Management Agency), what do you call it, CRS (Community Rating System). Unfortunately, this year -- there are two letters that go out; one goes out to every citizen informing them about flood conditions, et cetera, and one that it specifically goes to the properties that are within the flood. Unfortunately, this year the mailing was sent incorrectly, and we are addressing that. There has been no changes in the designation. It's just a mistake that the letters that actually state that you are within went improperly to the wrong parties. I apologize for that. Commissioner Regalado: No. It has to do with the budget because now you have to send another letter that says you are not on a flood zone. And -- but you know, it's all about information. We are in the business of information to the people ofMiami and I just thank you very much for that clarification. Thank you. DISCUSSION ITEM DISCUSSION OF PROPOSED MILLAGE RATE AND TENTATIVE BUDGET FOR THE DOWNTOWN DEVELOPMENT AUTHORITY PERCENTAGE INCREASE IN MILLAGE OVER ROLLED BACK RATE. RESPONSE FOUR POINT ZERO FOUR PERCENT (4.04%) SPECIFIC PURPOSE FOR WHICH AD VALOREM TAX REVENUES ARE BEING INCREASED. RESPONSE: PURPOSE: DOWNTOWN ECONOMIC DEVELOPMENT PROGRAMS COST $ 188,453.20 100 CITY COMMISSION LISTENS AND RESPONDS TO CITIZENS COMMENTS REGARDING THE PROPOSED MILLAGE INCREASE AND EXPLAINS THE REASONS FOR THE INCREASE OVER THE ROLLED BACK RATE. ACTIONS BY THE CITY COMMISSION: 1. AMEND THE BUDGET, IF NECESSARY 2. RECOMPUTE THE PROPOSED MILLAGE RATE, IF NECESSARY 3. PUBLICLY ANNOUNCE THE PERCENT BY WHICH THE RECOMPUTED PROPOSED MILLAGE RATE EXCEEDS THE ROLLED BACK RATE. 4. ADOPT THE TENTATIVE MILLAGE RATE 5. ADOPT THE AMENDED TENTATIVE BUDGET City ofMiami Page 32 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 BH.5 08-01009 Downtown Development Authority 08-01008 Discussion Page.pdf DISCUSSED Chair Sanchez: All right. BH.4. It's a discussion item. It's a discussion, proposal millage rate of the Downtown Development Authority. This is just a discussion item. We don't need to vote on it? Julie O. Bru (City Attorney): Mr. Chairman, we're going to follow the same procedure that -- Chair Sanchez: Yes. We got to vote. Ms. Bru: -- we followed of the DDA (Downtown Development Authority). It's another taxing authority, so you'd have to adopt a tentative millage rate and also adopt a tentative budget today. Chair Sanchez: All right. Ms. Bru: And into the record, they should also read the statement that has been set forth here on the agenda about the rollback rate. Chair Sanchez: Okay. Let's ahead and do that, put it on the record, and then we'll just go ahead and take everything up at once. Can we do that? Can we take setting of the millage --? Ms. Bru: First, you vote on the millage -- Chair Sanchez: Okay. Ms. Bru: -- then you vote on the budget, and it is a public hearing. Chair Sanchez: All right. So, Madam Interim Director, you're recognized for the record. Alyce Robertson: Alyce Robertson, interim director of the Miami Downtown Development Authority. The proposed millage of .5 for the Miami Downtown Development Authority for the fiscal year October 1, 2008, and ending September 30, 2009, is 4.04 percent higher than the rollback rate of .4806. The funding is used to -- the -- for the annual operating expenses of the Miami Downtown Development Authority, including economic development programs, enhanced services, capital improvements, marketing, and events. The action of the Commission today is to amend the budget, if necessary, recompute the proposed millage rate, if necessary, publicly announce the percent which the recomputed proposed millage rate exceeds the rollback rate, adopt the tentative millage rate, and adopt the amended tentative budget. This millage rate has been the rate of the Miami Downtown Development Authority since its inception in 1965. Chair Sanchez: Which is .5 mills. Ms. Robertson: Point five. Chair Sanchez: All right. Listen, BH.4 is just a discussion. ORDINANCE AN ORDINANCE OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S), RELATED TO TAXATION, DEFINING AND DESIGNATING THE TERRITORIAL LIMITS OF THE DOWNTOWN DEVELOPMENT DISTRICT OF THE CITY OF MIAMI, FLORIDA; FIXING THE TENTATIVE First Reading City ofMiami Page 33 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 MILLAGE AND LEVYING TAXES IN SAID DOWNTOWN DEVELOPMENT DISTRICT FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2008 AND ENDING SEPTEMBER 30, 2009, AT FIVE -TENTHS (.5) MILLS ON THE DOLLAR OF NONEXEMPT ASSESSED VALUE OF ALL REAL AND PERSONAL PROPERTY IN SAID DISTRICT; PROVIDING THAT SAID MILLAGE AND THE LEVYING OF TAXES WITHIN THE TERRITORIAL LIMITS OF THE CITY OF MIAMI ("CITY") AS REFLECTED IN THE CITY'S MILLAGE LEVY ORDINANCE FOR THE AFORESAID FISCAL YEAR WHICH IS REQUIRED BY CITY CHARTER SECTION 27; PROVIDING THAT THE FIXING OF THE MILLAGE AND THE LEVYING OF TAXES HEREIN SHALL BE IN ADDITION TO SPECIAL ASSESSMENTS; PROVIDING THAT THIS ORDINANCE SHALL NOT BE DEEMED AS REPEALING OR AMENDING ANY OTHER ORDINANCE FIXING MILLAGE OR LEVYING TAXES, BUT SHALL BE DEEMED SUPPLEMENTAL AND IN ADDITION THERETO; CONTAINING A REPEALER PROVISION, SEVERABILITY CLAUSE AND PROVIDING FOR AN EFFECTIVE DATE. 08-01009 Ordinance SR.pdf 08-01009 Exhibit SR.pdf 08-01009 Memo SR.pdf 08-01009 Pre Legislation SR.pdf 08-01009 Pre Legislation 2 SR.pdf Motion by Commissioner Gonzalez, seconded by Commissioner Sarnoff, that this matter be PASSED ON FIRST READING WITH MODIFICATIONS PASSED by the following vote. Votes: Ayes: 5 - Commissioner Gonzalez, Samoff, Sanchez, Regalado and Spence -Jones BH.6 08-01010 Downtown Development Authority Chair Sanchez: Well go up to BH.5. That's an ordinance. We need a motion, and all that does is sets the DDA (Downtown Development Authority) millage. There's a motion by Commissioner Gonzalez. Is there a second? Commissioner Sarnoff Second. Chair Sanchez: Second by Commissioner Sarnoff. Any discussion on the item? It is a public hearing. Anyone from the public wishing to address this item, please step forward and be recognized. It is an ordinance on first reading. It'll be back in front of us for second reading. The public hearing is closed, coming back to the Commission. Madam Attorney, read the ordinance into the record, followed by a roll call. The Ordinance was read by title into the public record by the City Attorney. Chair Sanchez: Roll call. Pamela E. Burns (Assistant City Clerk): Roll call for BH.5. A roll call was taken, the result of which is stated above. Ms. Burns: This ordinance has been passed on first reading, 5/0. DISCUSSION ITEM A DISCUSSION OF THE MIAMI CITY COMMISSION REGARDING A RESOLUTION OF THE MIAMI CITY COMMISSION WITH ATTACHMENTS MAKING APPROPRIATIONS FROM THE DOWNTOWN DEVELOPMENT DISTRICT AD VALOREM TAX LEVY AND OTHER MISCELLANEOUS City ofMiami Page 34 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 INCOME FOR THE DOWNTOWN DEVELOPMENT AUTHORITY ('DDA") OF THE CITY OF MIAMI, FLORIDA (CITY") FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2008 AND ENDING SEPTEMBER 30, 2009; AUTHORIZING THE DDA TO INVITE AND ADVERTISE REQUIRED BIDS; PROVIDING FOR BUDGETARY FLEXIBILITY: PROVIDING THAT THIS RESOLUTION BE DEEMED SUPPLEMENTAL AND IN ADDITION TO THE RESOLUTION MAKING APPROPRIATIONS FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2008 AND ENDING SEPTEMBER 30, 2009 FOR THE OPERATIONS OF THE CITY. 08-01010 Legislation.pdf 08-01010 Appropriations Memo.pdf 08-01010 Appropriations Pre Legislation.pdf 08-01010 Application.pdf 08-01010 Certification.pdf DISCUSSED Discussion on the item resulted in the resolution below. 08-01010a RESOLUTION A RESOLUTION OF THE MIAMI CITY COMMISSION MAKING TENTATIVE APPROPRIATIONS FROM THE DOWNTOWN DEVELOPMENT DISTRICT AD VALOREM TAX LEVY AND OTHER MISCELLANEOUS INCOME FOR THE DOWNTOWN DEVELOPMENT AUTHORITY ("DDA") OF THE CITY OF MIAMI, FLORIDA ("CITY"), FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2008 AND ENDING SEPTEMBER 30, 2009; AUTHORIZING THE DDA TO INVITE AND ADVERTISE REQUIRED BIDS; PROVIDING FOR BUDGETARY FLEXIBILITY: PROVIDING THAT THIS RESOLUTION BE DEEMED SUPPLEMENTAL AND IN ADDITION TO THE RESOLUTION MAKING APPROPRIATIONS FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2008 AND ENDING SEPTEMBER 30, 2009 FOR THE OPERATIONS OF THE CITY. Motion by Commissioner Gonzalez, seconded by Commissioner Sarnoff, that this matter be ADOPTED PASSED by the following vote. Votes: Ayes: 5 - Commissioner Gonzalez, Samoff, Sanchez, Regalado and Spence -Jones R-08-0526 Chair Sanchez: All right. We go to BH.6. This is a discussion item pertaining to the budget, and then on BH.7 -- well, no. We need -- this is when we -- this is the budget -- Julie O. Bru (City Attorney): BH.6, you'll adopt the tentative budget -- Chair Sanchez: Right. Ms. Bru: -- for the DDA (Downtown Development Authority). Chair Sanchez: Yeah. Commissioner Gonzalez: I'll move BH.6. Chair Sanchez: Okay. There's a motion by Commissioner Gonzalez. Commissioner Sarnoff Second. City ofMiami Page 35 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Chair Sanchez: Second by Commissioner Sarnoff. That is the DDA budget. It is a discussion item. Anyone from the public wishing to address this item? Seeing no one, the public hearing is closed, coming back to the Commission. It is a -- we would pass it as a resolution, right? Ms. Bru: Do you have a budget? Alyce Robertson: Yes. Chair Sanchez: Yes. Ms. Robertson: It's included in the item. Chair Sanchez: It's included in the item. (UNINTELLIGIBLE) -- Ms. Robertson: It's a total of 8.874743 million, that is. Ms. Bru: Okay. So I will make the same revisions, and the title of this will reflect that this is adopting the tentative budget. Chair Sanchez: All right. Ms. Bru: It doesn't have to be read. It's just this will be adopting a tentative budget for fiscal year '08-'09 for the DDA. Chair Sanchez: All right. All in favor, say "aye." The Commission (Collectively): Aye. Chair Sanchez: Anyone in opposition, having the same right, say "nay." Motion carries. Ms. Robertson: Thank you. Pamela E. Burns (Assistant City Clerk): Madam City Attorney, does this -- does that make this modified? Chair Sanchez: No, it does not. Ms. Bru: The only revision is that it's referred to as a tentative budget, and we will just revise the resolution to reflect that. Okay. BH.7 08-01011 DISCUSSION ITEM BayfrontPark A DISCUSSION OF THE MIAMI CITY COMMISSION REGARDING A Management Trust RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S), APPROVING AND ADOPTING THE ANNUAL BUDGET OF THE BAYFRONT PARK MANAGEMENT TRUST, IN THE AMOUNT OF $7,610,000, TO PROVIDE FOR THE OPERATIONS, MAINTENANCE AND CAPITAL IMPROVEMENTS OF MILDRED AND CLAUDE PEPPER BAYFRONT PARK, FOR THE FISCAL YEAR COMMENCING OCTOBER 1, 2008, AND ENDING SEPTEMBER 30, 2009. 08-01011 Legislation.pdf 08-01011 Exhibit.pdf 08-01011 Memo.pdf City ofMiami Page 36 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 DISCUSSED Chair Sanchez: Bayfront Park is next, BH.7. Tim Schmand: Good evening, Commissioner. Tim Schmand, Bayfront Park Management Trust, 301 North Biscayne Boulevard, Miami, Florida. I want to begin by thanking you all for your past support, which has allowed Bayfront Park to get to the state that it has arrived in, and I would like to ask you for your future support by approving our budget, our operating and capital budget next year, in the amount of $7, 610, 000. Chair Sanchez: So move. Commissioner Sarnoff Second. Commissioner Gonzalez: Second. Vice Chair Spence -Jones: All in -- do I "all in favor" on this? 'Cause it says discuss -- Pamela E. Burns (Assistant City Clerk): I'm sorry, but I'm showing BH.7 as a discussion -- Commissioner Gonzalez: Discussion. Ms. Bru: -- item. Vice Chair Spence -Jones: Yeah. Mr. Schmand: And then -- and fur -- deeper into it, it also says approving, so I don't know. Vice Chair Spence -Jones: Madam -- Commissioner Gonzalez: BH.7 is a discussion item. BH.8 is the actual budget. Ms. Bru: Right. Commissioner Sarnoff Right. You don't set a mill rate with these -- Ms. Bru: Yeah. Commissioner Sarnoff -- guys so -- Ms. Bru: Yeah, Bayfront Park is really just an instrumentality of the City, and they're not a taxing authority so -- Commissioner Sarnoff Right. Ms. Bru: -- their budget runs with the City's budget. This is just a discussion item at this point. Vice Chair Spence -Jones: Is there any discussion on this item at all? Commissioner Gonzalez: And it is a resolution, Vice Chair? Vice Chair Spence -Jones: Okay. I'm sorry. You're -- I didn't know if they had any discussion. I know we had a motion and a second, but you have anything you want to add, Tim? Mr. Schmand: No. If there's no questions, I just want to make note that this is. I need you to pass this as a resolution. And if the copy here says a discussion of the Miami City Commission City ofMiami Page 37 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 regarding a resolution of the Miami City Commission, with attachments, approving and adopting the annual budget of the Bayfront Park Management Trust. Vice Chair Spence -Jones: So we -- Commissioner Sarnoff We're going to -- are we going to pass this then? Are we going to vote on this? Ms. Bru: You don't vote on this at this time. You will vote on it when you adopt your final budget on the 25th. Commissioner Sarnoff We hope she's right, gosh. Vice Chair Spence -Jones: I know, right. Mr. Schmand: Okay. Thank you (UNINTELLIGIBLE) -- Commissioner Sarnoff Let me just say to everybody that Tim is probably the picture perfect director, and in the dictionary, it should be Tim Schmand's name for what a director does and how he acts. Mr. Schmand: Thank you very much, Commissioner. Ms. Burns: So -- excuse me. Commissioner Regalado: Stay there. Hey, stay there. Vice Chair Spence -Jones: Madam Clerk. Mr. Schmand: I was just going to -- Commissioner Regalado: No. It's coming -- MSEA (Miami Sports & Exhibition Authority) is coming. Commissioner Gonzalez: BKB. Vice Chair Spence -Jones: Madam Clerk. Ms. Burns: For clarity of the record, there -- we did have a mover and a seconder, so does that mean --? Commissioner Sarnoff Well, I'm not the mover. Ms. Burns: Are you -- anyone withdrawing that motion? Vice Chair Spence -Jones: I guess we have -- Commissioner Gonzalez: I withdraw the motion. Ms. Burns: Thank you. Commissioner Gonzalez: And Commissioner Sarnoff withdraw the -- Commissioner Sarnoff I accept. City ofMiami Page 38 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 BH.8 08-01012 Miami Sports & Exhibition Authority Commissioner Gonzalez: -- the second and -- Commissioner Sarnoff Right. Commissioner Gonzalez: -- that's it. RESOLUTION A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S), APPROVING AND ADOPTING THE ANNUAL BUDGET OF THE MIAMI SPORTS AND EXHIBITION AUTHORITY ("MSEA"), ATTACHED AND INCORPORATED, IN THE AMOUNT OF $244,400, TO PROVIDE FOR THE OPERATIONS AND MAINTENANCE OF MSEA, FOR THE FISCAL YEAR COMMENCING OCTOBER 1, 2008, AND ENDING SEPTEMBER 30, 2009. 08-01012 Legislation.pdf 08-01012 Exhibit.pdf 08-01012 Memo.pdf Motion by Commissioner Gonzalez, seconded by Commissioner Sarnoff, that this matter be ADOPTED PASSED by the following vote. Votes: Ayes: 4 - Commissioner Gonzalez, Sarnoff, Regalado and Spence -Jones Absent: 1 - Commissioner Sanchez R-08-0527 Vice Chair Spence -Jones: Okay, so I guess we've already had discussion. We're moving on to BH.8. Commissioner Gonzalez: BH.8. Tim Schmand: Tim Schmand, executive director ofMiami Sports & Exhibition Authority, 301 North Biscayne Boulevard, Miami, Florida. I'm here today, Commissioners, to ask you to approve the budget for the Miami Sports & Exhibition Authority, in the amount of $244,400. Commissioner Gonzalez: Move it. Commissioner Sarnoff Second. Vice Chair Spence -Jones: All in favor? Well, this is a resolution, so you're right. Commissioner Gonzalez: It's a resolution. Commissioner Sarnoff It is a resolution. Vice Chair Spence -Jones: Okay. All in favor? The Commission (Collectively): Aye. Chair Spence -Jones: This item passes. Commissioner Regalado: Okay. Now that you're -- Mr. Schmand: Thank you very much. Commissioner Regalado: -- here on the MSEA (Miami Sports & Exhibition Authority) budget -- City ofMiami Page 39 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Vice Chair Spence -Jones: Discussion. Commissioner Regalado: Discussion. There are several issues pending with MSEA. Madam City Attorney, don't we need to meet because there is the issue of the museums, the agreement? Julie O. Bru (City Attorney): Okay. Well, what I've discussed with your counsel, Olga Ramirez-Seijas, is that, in my opinion, the Office of the City Attorney cannot represent both the City ofMiami and MSEA in the negotiations of the lease that's being anticipated pursuant -- Commissioner Regalado: Right, so -- Ms. Bru: -- to the memo of understanding. Commissioner Regalado: -- we need to meet to find a special counsel -- Ms. Bru: Yeah. Commissioner Regalado: -- outside counsel for MSEA. Ms. Bru: MSEA's ordinance provides thatMSEA, the MSEA Board selects their general counsel and special counsel, which then has to be approved by the City Commission by a four fifth vote. So MSEA will have to meet to designate special counsel, and then it'll have to be brought to this body for approval by a four fifth vote. Commissioner Regalado: Okay. Commissioner Sarnoff Don't be spending too much time on MSEA, you know. You got to keep Bayfront -- Mr. Schmand: Yes. Commissioner Sarnoff All right. Commissioner Regalado: No, but he's making a lot of money in MSEA. Commissioner Sarnoff I noticed that too. I caught that too. I can't say what kind of job he does for MSEA, but he does a great job for Bayfront. Chair Sanchez: No. Commissioner Regalado: But it's easier. They only meet once every three month. BH.9 08-01013 RESOLUTION Department of Solid A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH Waste ATTACHMENT(S), RELATING TO THE PROVISION OF 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, 2008; APPROVING THE RATE OF ASSESSMENT; APPROVING THE ASSESSMENT ROLL; AND PROVIDING FOR AN EFFECTIVE DATE. City ofMiami Page 40 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 08-01013 Legislation.pdf 08-01013 Exhibit.pdf 08-01013 Summary Form.pdf 08-01013 Pre Legislation.pdf Motion by Commissioner Sarnoff, seconded by Vice Chair Spence -Jones, that this matter be ADOPTED FAILED by the following vote. Votes: Ayes: 2 - Commissioner Gonzalez and Spence -Jones Noes: 3 - Commissioner Sarnoff, Sanchez and Regalado R-08-0528 Motion by Commissioner Sarnoff, seconded by Commissioner Gonzalez, to RECONSIDERED PASSED by the following vote. Votes: Ayes: 5 - Commissioner Gonzalez, Sarnoff, Sanchez, Regalado and Spence -Jones 08-01013 RESOLUTION Department of Solid A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH Waste ATTACHMENT(S), RELATING TO THE PROVISION OF 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, 2008; APPROVING THE RATE OF ASSESSMENT; APPROVING THE ASSESSMENT ROLL; AND PROVIDING FOR AN EFFECTIVE DATE. 08-01013 Legislation.pdf 08-01013 Exhibit.pdf 08-01013 Summary Form.pdf 08-01013 Pre Legislation.pdf Motion by Commissioner Sarnoff, seconded by Commissioner Gonzalez, that this matter be ADOPTED WITH MODIFICATIONS PASSED by the following vote. Votes: Ayes: 3 - Commissioner Gonzalez, Sarnoff and Spence -Jones Noes: 2 - Commissioner Sanchez and Regalado R-08-0528 Direction by Commissioner Gonzalez to the Administration to provide a written report on the financial contribution to the City from District 1, to include sources such as property taxes, occupational licenses, and certificates of use. Chair Sanchez: We voted on Bayfront Park? Vice Chair Spence -Jones: Yes. We're on BH.9. Commissioner Regalado: We voted on MSEA. Vice Chair Spence -Jones: Now we're on BH.9. Chair Sanchez: All right. Now we're on BH.9, which is the solid waste increase. Okay, and that is the last item on the agenda, BH.9. City ofMiami Page 41 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Mario Soldevilla (Director, Solid Waste): Commissioner, Mario Sol -- Chair Sanchez: Sir, you're recognized for the record. Mr. Soldevilla: Mario Soldevilla, director of Solid Waste. This is the final assessment fee for solid waste services for the City ofMiami for beginning October 1, 2008. On the last Commission meeting, you approved a cap of $419 per household. You've just heard about the budget, how -- where we are at, and I want to stress the fact that equipment is one of my very basic necessities. As we stand right now, the equipment that have have been failing because it has been overused. We do not have sufficient spares to keep the fleet running. It is imperative that we purchase the equipment that is necessary to be able to provide the service that we have always provided. One of the things that, of course, this also brings when we do not have sufficient equipment is incurring overtime. As equipment is off the line, then individuals are sitting around waiting until the equipment is repaired so that they can start their route. They starts [sic] their route late. In starting their routes late, they need assistance in being able to complete it, so this creates an entire issue of problems in being able to do our pickups on a timely and -- basis, and we are very much in need of this equipment, Commissioners. Chair Sanchez: All right. Commissioner Gonzalez: And if you allow me, Mr. Chairman, let me add something to that -- Chair Sanchez: Yes, sir. You're -- Commissioner Gonzalez: -- okay. Chair Sanchez: -- recognized for the record. Commissioner Gonzalez: Most people don't want to pay taxes. I don't mind paying taxes, and I pay taxes on four properties in the City ofMiami, so I pay taxes four times, and I pay solid waste four times, and I pay everything four times in the City ofMiami. But let me tell you what. People don't want to pay taxes, people don't want to pay fees, people don't want to pay anything, but they want to demand, to demand they're in the first place, first time in the morning. When the solid waste fruck is not in my neighborhood at 7 o'clock in the morning, at 8:30 in the morning when we open this office, phones start ringing off the walls. Where is the solid waste pickup truck? We don't see them. They're not picking up, and people start complaining for an hour delay, for two hours delay, okay, so imagine when they don't have the necessary equipment -- and I remember -- and I wasn't a Commissioner back then, but was a City resident, and I was paying taxes at the time, okay. I remember back in 1997 when this City, the firefighters didn't have enough hose on their trucks to put water out of 36th Street, okay, when we had a flooding, and I remember when we don't had any -- when the trucks were all falling apart in Solid Waste. I remember all the problems that this City -- I -- they weren't my problems as a Commissioner because I was not a Commissioner. You were Commissioners back then, and you worked pretty hard to solve the situation and you worked pretty hard to stabilize the City, butl was a resident and a taxpayer of this City, and I suffered the consequences as a property owner and as a resident of the City ofMiami. So you know, we're talking serious problems here. We can't demand the employees to pick up the garbage if they don't have the equipment. Mr. Soldevilla: Absolutely. Commissioner Gonzalez: And we can't ask them to work 24 hours because we don't have enough trucks to cover the area. So, you know, those are realities, and people -- let me tell you. People love to hear truth. People want to hear the truth. You can tell people histories and, you know, paint things blue and gray and white and all kind of colors to make it beautiful. No, no, no, no. City ofMiami Page 42 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Speak with the truth and people will take the truth and accept the truth and accept the reality, okay. That is my comment in reference to Solid Waste. Mr. Soldevilla: Commissioner, I want to piggyback on one thing that the Commissioner said, and that's -- that is is that our employees, the -- especially garbage collection, comes in at 6 o'clock in the morning to start their job, and when you ask an employee to come in at 6 o'clock and they do not have a fruck to be able to go out on the routes to do it and have to wait until 11 o'clock or 12 o'clock to start their route, it creates a terrible morale problem, and that is -- that's also an issue that we need to consider. Chair Sanchez: Commissioner Regalado. Commissioner Regalado: Thank you very much. And I agree with Commissioner Gonzalez that people do want to listen to the fruth. Well, the fruth is that back in 1997, we didn't have equipment, and yet, the people ofMiami, by 90 percent, voted to keep the City and not abolish the City when a group of people wanted to make Miami part of unincorporated Miami -Dade County. Then on 2001, the people ofMiami took a bigger responsibility and approved $255 million in bonds that we will be paying as taxpayers for many, many years. We do pay one of the highest millage in the County, but we have great services, and you know that always we been saying to you Solid Waste is one of the best services that the City can offer, and of course, throughout the City ofMiami. But we have been having issues with the Solid Waste and GSA (General Services Administration). You keep talking about frucks being out of commissions [sic]. Trucks keep burning, and you know that. I know that. I like to investigate. I like to find out. I -- that's my hobby. In fact, Igo by your place very frequently, and I see the lines of trucks waiting to be fixed in GSA. Look, the two trucks that burned the other day is 2006 and 2007s, right? Mr. Soldevilla: That's correct. Can I address that for a second? Commissioner Regalado: No, no. I mean, I'm just saying that frucks keep burning. We have litigation with the old firm, the new firm, or whatever. It is true that the people demand service, but the people pay for -- we won't -- probably won't pay the highest amount of fees in the County, but we pay a lot of money in ad valorem taxes, which is supposed to cover basic services, fire, police, and solid waste. The people are used to get their service four times a week, and there was a talk that we should reduce that, you know, so you can streamline the department and use more people to clean more street, and that is fine. I don't have any complaint about the service. I do not complain. Sometimes my garbage is not pick up in front of my house until like noon. Most of the days, it's pick up around between 7 and 8, butl don't complain if it's not pick up at noon. Even if it's not pick up, I guess I'll say, well, something happened. Maybe there was a truck in front of the -- of my container and they couldn't pick it up because I trust the service that you guys do. But raising the fees to buy equipment is not the right thing to do. We need to keep shining as a city that can deliver the best service to the resident. And you know, maybe I'm speaking in behalf of the residential, but remember, residentials [sic] are one of the poorest pockets that we have in most of the City, and people do not have the money to pay taxes and fees and insurance and all that. And I was in Tallahassee next to him when Governor Charlie Crist said taxes are going to drop like a rock. They didn't, or at least that the people don't know that they did. So I don't see -- I don't have a problem with you asking for new equipment, but do have a problem that we have not been able to take money from some other areas -- and going back -- I'm going back to the luxuries that we have here, and we do, and get the money so they can get -- I have a problem with the situation that we have in GSA that we have -- we are not able to fix all the equipment. I have a problem with that because we could switch probably a shift and work Saturday and Sunday and fix that for Monday and people don't have to wait. I have a problem that the union keeps saying that they have ideas to reduce the workload and the routes and all that and it seems not to be put in effect. And I do have a problem and I have a major problem -- and Mario, we discussed this -- that the inspectors keep issuing $500 tickets in City ofMiami Page 43 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 areas where people have not been told that if they do this or that, they will get a $500 fine. And you know that in my area, part of my area, people never got the information. Still, today, three month after we spoke, there are areas in my district that people have not gotten the information from Solid Waste that they will be cited for $500. And if they send it, I don't know, because I haven't got it in my home, and I live on 24th Avenue and 20th Street southwest. None of my neighbors in my whole block -- I've gone house by house -- have gotten ever a letter from Solid Waste saying if you put that the day before, you will be cited. Mr. Soldevilla: I'll check that with the Commissioner, absolutely. Commissioner Regalado: But you do know -- Mr. Soldevilla: Yes, I know. Commissioner Regalado: -- that in my district -- Mr. Soldevilla: I know that in your district we haven't done as much as in the others. You're correct. Commissioner Regalado: Okay. Mr. Soldevilla: Okay. Commissioner Regalado: No. We haven't done -- Mr. Soldevilla: I want to address one thing. Commissioner, in terms of the routes, the routes don't need to be decreased, quite the contrary. My routes need to be increased. I have some routes where we pick up over 2,000 households in -- from -- with one truck. That needs to be balanced. Our routes need to be balanced and increased from 23 that have right now to at a minimum of 25, which means that need more trucks to be -- in order to be able to do that. In addition to just needing the trucks, which to do the basic number of routes, we have to have an adequate supply of trucks that are -- as spares so that if something happens, that it goes -- that one goes down, there is no lost time in an individual going out and completing their routes, which is what creates the problems. I know that, you know, GSA probably spends, you know, 80 percent of the time that they spend in fixing equipment is probably ours, you know, and I -- you know, Kelly could probably -- could address that. Commissioner Gonzalez: I was going to ask you -- Mr. Soldevilla: But you know -- Commissioner Gonzalez: -- specifically about that and not only the trucks that you need for the route, but you need spare trucks. Mr. Soldevilla: Absolutely. Commissioner Gonzalez: But want to ask you another question. What really happened with those two trucks that caught on fire? Chair Sanchez: No. There's more than two. How many in -- Mr. Soldevilla: Well, this happened -- Chair Sanchez: -- total have burned? City ofMiami Page 44 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Commissioner Gonzalez: Is that the same --? Mr. Soldevilla: It was two frucks. Commissioner Gonzalez: No, no, no. Mr. Soldevilla: This happened -- Commissioner Gonzalez: The last two trucks. Mr. Soldevilla: -- in the wake of -- Commissioner Gonzalez: I'm referring to the last two frucks. Mr. Soldevilla: -- Hurricane Ike, and here's what happened. We have a cage that was built behind the cab of the fruck where the muffler is that was -- that we had noticed that when debris fell on top of it, the debris would catch fire, so the vendor put a cage to avoid that. However, because of the hurricane that -- you know, because of the winds that the hurricane was bringing, some of the debris went in underneath it, and that's what caught fire, burning the wiring underneath the harness. That happened on -- that happened to one truck. The other truck apparently was a clip that also holds the wiring which was rubbing together and it sparked the thing. Both fires were contained immediately. There wasn't any extensive -- there was no extensive damage to the fruck. The damage was specifically to the wiring, which is now at the vendors to be repaired. That's -- I mean, that's what happened. It was a -- Commissioner Gonzalez: So, actually, what you're telling me is that maybe with a minor repair, those two trucks will go back in service. Mr. Soldevilla: Yes. Commissioner Gonzalez: They were not a total loss. They were not -- Mr. Soldevilla: No, no, no, no. Absolutely not. Commissioner Gonzalez: All right. Thank you. Mr. Soldevilla: They'll go back to service. Commissioner Gonzalez: Thank you. Chair Sanchez: All right. Commissioner Sarnoff. Commissioner Sarnoff You know, I've sat reasonably quiet during this whole budget process, predominantly because it's a tough budget and I think District 2 understands the role that it plays with the City ofMiami. District 2 shoulders 78 percent of the tax burden for ad valorem taxes in the City ofMiami. It understands its social responsibility that it has to every district Commissioner here. It also understands that it's not going to get any kind of tax relief. I was hoping that Commissioner Regalado was going to go a little further and explain what the County did so that we would not get any of our County dollars back. As any of us know, we simply look at our tax bills. We know we pay a third to the School Board, a third to the County, and a third to the City, and forgive me for being not exact. What happened with the County -- and I think it's worth explaining -- is that the County had a fire assessment that it used to assess unincorporated Dade. They used to pay approximately 80 percent of their fire services with that assessment. The County did a reversal, and now they put that in the general fund, so that means that we are now paying for their fire services throughout the County. That means that 2 to $300 -- and I'm City ofMiami Page 45 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 just using a gross average -- of tax savings that we would have seen to the citizens of the City of Miami -- I could suggest to you Hialeah; I could suggest to you Key Biscayne, choose your city that has a fire department -- will not see any reduction in County taxes and could actually see a slight increase. So the way they balanced their budget was on the backs of the City. But we're about to do something a little bit similar. I've been pressing --I think I have a friend in Commissioner Gonzalez, but we'll find out in a moment -- for honest, just fair assessments. Fire. What does Fire cost the citizens of the City ofMiami? I know it's more than $419. IfI heard the Mayor correctly, it's $419, plus there's a $13 million subsidy. We set, this past Commission, the highest rate we could set for our sanitation fee. IfI said fire, I apologize. So if you now lower that, here's what you do. You up the amount that goes to the general budget -- general fund. Okay, what's the big deal, another three or four or five million dollars? But who's going to pay that mostly? Well, 78 percent of that's going to be paid by Disfrict 2. I'll suggest to you that some of the biggest tax relief complaints have come from those who pay 20, $30, 000 a year in taxes. Some of those people, believe it or not, are not making the money they used to make to pay those kinds of taxes. District 2 understands its social responsibility to the City ofMiami. Miamians live here by choice. Trust me, the folks that make 250 and 300,000 a year would do much better in North Carolina, would do much better in Jupiter, Florida, would do much better in Melbourne with the tax structure and tax rate they have, but they choose to live in the City of Miami because they love this city and they know their social responsibility. However, if this Commission continues to press and push those who pay the ad valorem taxes -- and I'm proud to say Disfrict 2 pays at what rate? Ninety-nine percent. Ninety-nine percent of Disfrict 2's taxes are paid. I won't even get into anyone else's. There -- they shoulder their responsibility like true admirals. But now you're faced with saying to them -- and they're not going to see any reduction in taxes. Now you're going to say to them, we have a little bit of artistry here, a little bit of sophistry. We're going to be Mayor Carlos Alvarez, and what we're going to do is we're going to lower the sanitation fee and what we're going to do is put it in the general fund budget so that no one really sees it and we know it's really about $500 or $550, but hey, we're going to lower it, and it's going to go in the general fund, and everyone has to pay it, but we all know that District 2 will pay about 78 percent of it. You all are up here, I would hope and I would think, for a government that I think should be honest and frank with its citizens. I don't think -- that's the second thing I've heard out of Commissioner Gonzalez's mouth; first was, today I matter. And the second thing I've ever heard up here that made the most sense to me is people like honesty. I mean, I think you could deliver to a person any news you need to provide to them as long as you don't [expletive] them. Commissioner Gonzalez: Exactly. Commissioner Sarnoff And forgive me for being so brash with that word. If you lower this fee, if you lower this sanitation fee, all you're doing is a little bit of BS. All you're doing is doing what was done to us by the County. I didn't come here to be anything like the County. I came here because this is the most democratic government I've ever seen. You could literally reach out, grab your Commissioner by the neck -- and sometimes it feels like you do -- and you get representation. I just think we need to be honest and frank with that representation. District 2 understands its responsibilities. Just be careful because you continue to put more straws on the camel's back, you'll break it, and you don't want to see a bunch of "For Sale" signs -- I said this to you when I firstgot on the dais. There's actually -- there used to be three billboards, one on Bird Road, one on Biscayne Boulevard, and two of them were in Spanish, one in English, and it said "North Carolina for a Better Way of Life." Now who would have thought in the City of Miami somebody would have had the absolute chutzpah to put "North Carolina for a Better Way of Life"? Just be careful. People don't miss those signs. People don't miss the message. Everybody is hurting, but trust me, even those that made money, even some of the lawyers you've seen come in front of you, the ones that you like to despise or you like to mock, frust me, they are making half to a third of what they used to make, and that's called the marketplace. It will correct, but it won't correct tomorrow, and it probably won't correct next year. All I ask is that we remain a transparent government 'cause I think that's what we are. I think this Manager has City ofMiami Page 46 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 demonstrated himself to be one of the most transparent managers in all of the City ofMiami, and I just think we should be honest with the electorate and say to them this is what it cost, as opposed to rolling it into the general fund and saying to someone someone else can shoulder this. Thank you for my indulgence. Commissioner Gonzalez: I -- may I, Mr. Chairman? Commissioner Regalado: Can I --? Commissioner Gonzalez: I want to respond to you, with all due respect, and I also consider you my friend. But I believe every community in this City assume their responsibility, and your disfrict or the residents of your district may -- I'm not going to deny that they may be the highest tax base of the City, but I'm proud to say that -- and that is something that is not taken ever into consideration -- my district is the second tax base to the City ofMiami. And by the way, Mr. Manager, and Finance people, I want a computation of the contribution of my district to the coffers of the City ofMiami on property taxes, on occupational license, on certificate of use. But let me tell you, there is always a win and -- a take and give. Your residents may pay more taxes, but they don't have any jails in your district. Commissioner Sarnoff We do, but it's the federal jail. Commissioner Gonzalez: They don't have any hospitals. They have one, and they almost got rid of it two years ago. They don't have any drug addict clinics. They don't have any alcoholic clinics. They don't have a Dade County Jail in the middle of your disfrict where every prisoner from the entire Dade County goes to that jail and when they get released, they get released in your district. Commissioner Sarnoff That's true. Commissioner Gonzalez: You don't have a Camillus House, which Commissioner Spence -Jones and myself accepted in our district. People in your district didn't want that, okay? So, yeah, the people in your district pay more taxes, but they also have a better quality of life and they have a privileged area where they live. I have been rebuilding streets in my disfrict that, for your knowledge, haven't been touched in the last 45 years, and I invite you to walk with me, and I'll let you knock on the doors and ask the people, those people, when was the last time that your street was fixed or taken care of. There were areas in my district that didn't have sidewalks, not because people didn't want sidewalks, because they weren't built for them, okay. And that takes me back to prior governments and prior administrations in this City that their only concern was precisely your district, Coconut Grove, downtown, and Upper Eastside because their mentality was that those were the areas that produced taxes and those were the people that they have to be concerned about and they had to worry about. The rest of the citizens of this city, they were a third-class citizens for those administrations. Thanks God to all of us sitting in there today that have a different mentality. We have seen a different and we have seen improvement throughout the entire City ofMiami. Thank you. Commissioner Regalado: Mr. Chairman, just a brief comment. California is the fifth economy in the world, right? Commissioner Sarnoff I think that's correct. Commissioner Regalado: That's right. Chair Sanchez: California. Commissioner Regalado: But Tennessee is really poor, and West Virginia, really downhill. So if City ofMiami Page 47 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 we follow this criteria that, you know, don't mess with the rich because they pay our way, then California should probably become the Republic of California, and we in Florida -- actually, we, in Florida, in Dade County, should become the 51 st state because we send more money to Tallahassee than the rest of the state of Florida. We send, every year, $390 million in lottery tickets to Tallahassee, and you know what we got last year? Thirty-five million dollars for K-2. Commissioner Gonzalez: And pardon me for interrupting you, but -- and we -- that was supposed to go to education, and our school system is in bankrupt. Commissioner Regalado: Yeah, but -- and now the lottery says, well, we don't have that much lottery because the tickets are (UNINTELLIGIBLE). But we have been buying at the tune of $300 million, and we have gotten at the tune of $35 million every year. And I -- you understand and you understand that, you know, there is a social issue. I mean, that's the way it is. That's the way it is in the world. That's the way it is in New York. You know, Manhattan pays for the Bronx; that's the way it is. And in Chicago -- in --I remember that I visited with President Reagan, one of those complex housing units in Detroit. And he said we are standing at the gates of hell because so bad this was the situation, but Detroit pays for that. So I am telling you, if we raise the fees -- and this is not about Carlos Alvarez. This -- because Carlos Alvarez wanted to shift the brunt on the cities, and he did it on purpose. And what we're trying to do is to keep alive poor neighborhoods because most of the residential in the City ofMiami are poor people that have their homes for so many years. And I'm telling you, if we do raise this fees to whatever, with the people expecting that they were going to get a reduction, a drastic reduction, those people are not going to go to North Carolina. They cannot afford it. They cannot even reach Hialeah because of the high price of gas. I'm telling you, we have to do this for the people, not for us. We have to do this to keep the City on a very difficult social balance that we have, and yes, you know, there is a lot of people that pay more, a lot of people that may not pay the solid waste fee because they live in condo. But all the services of the City are here to serve everyone. We cannot shift the burden to one or another just because we pay more or we pay less. So, I still say we could get more creative and buy the (rucks. I still say we can take a cut in other places, not departments, not employees. There are certain areas in this budget that we can still cut. We can cut the dessert and still have a meal in this budget and not increase -- What I'm saying, I'm stilling going to vote no, so you know, I will keep voting no on this issue because I think it's unfair. Thank you, Mr. Chairman. That would -- Commissioner Gonzalez: Tomas, I really appreciate the fact that you're going to vote no. But let me tell you, talking about what people expected, people had expectations that were created by some politicians that may have had in their mind to run for president or to run for County mayor or to run for, you know -- and they promised the world. They promised they were going to eliminate taxes. They promised that they were going to give a house to each resident, and they promised the world. And then what happened? They couldn't deliver. And you know, listen, I'm sorry for them, that they -- you know, they had false hopes and expectations that were not achievable. But that doesn't mean that we have to, you know -- we have to face our responsibility and we have a responsibility. And saying that take -- listen, you know, I don't have a problem giving away the money that I have for festivals or whatever, but let me -- you're telling me that $50, 000 from each of us is going to buy a truck? I don't think so. I don't think it's even going to buy, you know, one suit for the -- Commissioner Regalado: They say -- Commissioner Gonzalez: -- drivers. Commissioner Regalado: -- three million. They said the only thing they need to buy equipment is three million. Mr. Soldevilla: No. That's what we -- you know -- City ofMiami Page 48 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Commissioner Gonzalez: No. That's -- Mr. Soldevilla: -- we really need -- Commissioner Regalado: That's what the Manager told me -- Mr. Soldevilla: No, no. Commissioner Regalado: -- that the only thing you need -- Mr. Soldevilla: For -- Commissioner Regalado: -- is three million. Mr. Soldevilla: -- this year. Pedro G. Hernandez (City Manager): Commissioner, if you were to ask Mario, he will say that he needs six million. But, in essence, three million, I would say, is the bare minimum. Chair Sanchez: Just remember -- Commissioner Gonzalez: It's the bare minimum -- Vice Chair Spence -Jones: Mr. Chairman. Commissioner Gonzalez: -- three million dollars. Chair Sanchez: Hello. Just remember, it doesn't matter how bad it gets here, it can't get any worse than the School Board. Commissioner Gonzalez: Right. Chair Sanchez: All right -- Vice Chair Spence -Jones: I just -- Mr. Chairman -- Chair Sanchez: -- so -- hold on, hold on. Commissioner Gonzalez, you had -- Vice Chair Spence -Jones: I'm sorry. Chair Sanchez: -- the floor -- Commissioner Gonzalez: Yeah. Three -- Chair Sanchez: -- and then we'll turn it over to -- Commissioner Gonzalez: -- million is the bare -- Chair Sanchez: -- the Vice Chair. Commissioner Gonzalez: -- the bare minimum is $3 million, and it's like saying take $3 million now, and next September we're going to be in the hole again, okay? And that is not even going to cover for the spare trucks and for the things that we really need to have to keep providing the kind of service that our residents are used to, okay? And let me tell you, when you compare -- I own properties in Hialeah, and next meeting, I'm going to bring my tax bill from Hialeah and my City ofMiami Page 49 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 tax bills from the City ofMiami, my solid waste fee in Hialeah and my solid waste fee in Miami. Yeah, Hialeah, here it is, okay. Hialeah, one frash pickup a month, and if you dare to put frash out on the street any day other than the day that corresponds to your pickup, you get a $250 fine. No question asked, no nothing, no arbitration. No, it's a ticket that you have to pay or they lien your property. That's the game that they play -- but you know what? Go to Hialeah any day of the week, any time of the day, and see if you see any pile of trash anywhere? I'm telling you. I own property in that city. Commissioner Regalado: And I agree with you. I agree with you, and I agree with the Manager. I agree with him that we could educate the people and pick up less -- Chair Sanchez: All right. Commissioner Regalado: -- but that's not the point. The point that we're discussing is the price, not the -- Vice Chair Spence -Jones: Can I make -- Commissioner Regalado: -- pickup. Vice Chair Spence -Jones: -- one point? I've been trying to say something. Commissioner Regalado: Oh, I'm sorry. Chair Sanchez: Let's fry to have -- Commissioner Gonzalez: Thank you very much. Commissioner Sanchez: -- some order here, some decorum. Commissioner Gonzalez: Thank you very much. Commissioner Sanchez: When somebody has -- Vice Chair Spence -Jones: What -- Commissioner Sanchez: -- the floor -- Vice Chair, you have the floor. Vice Chair Spence -Jones: Okay, no problem. Commissioner Sanchez: Let's just have respect -- Vice Chair Spence -Jones: I really -- Commissioner Sanchez: -- for our colleagues. Vice Chair Spence -Jones: You're right. You're right, Mr. Chairman. I really -- I mean, I've been listening to the discussion, you know, backwards and forwards, even sitting in my office watching it, and I do hear both points, and I do understand both points, but I just have to ask this one question because, you know, ifI did not ask the question or the people watching did not ask the question, they would really be under the impression that this was a lot of money for an individual. So I just want you to put on the record for me, per household, what are we talking about? What is the increase -- Chair Sanchez: Forty dollars. City ofMiami Page 50 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Vice Chair Spence -Jones: -- dollar amount? I just want to make -- Chair Sanchez: Forty dollars. Vice Chair Spence -Jones: -- I want -- Mr. Hernandez: Forty dollars a month -- Chair Sanchez: A year. Mr. Hernandez: -- Commissioner. Vice Chair Spence -Jones: No, no. Chair Sanchez: A year. Mr. Hernandez: A year, $40 a year. Vice Chair Spence -Jones: Forty dollars -- Mr. Hernandez: From 325 -- Vice Chair Spence -Jones: -- a year. Mr. Hernandez: -- to 365. Vice Chair Spence -Jones: So $40 a year is what we're asking our residents to pay for the increase, correct? Mr. Soldevilla: That's correct. Vice Chair Spence -Jones: Now I can't brag about being, you know, the district that has the most wealth. I can't brag about the district that has the most small businesses, you know. I can say, however, my disfrict has had the most challenges and has also been the most underserved more so than any one of y'all districts. And I can tell you this, that if my -- the residents in my disfrict had to make a choice to pay $40 a year for the service, it wouldn't be an issue. They would prefer to have the service than not have the service because my particular community is the community that does have all of the additional issues going on, you know, in their lives that any kind of thing that could increase or improve their quality of life, that's what they want to see happen. Forty dollars a year, which is -- equates to how much, Mr. Manager? Chair Sanchez: Three million. Vice Chair Spence -Jones: No. Forty dollars a year equates to how much per -- what did you say? How did you break it down? Roger, how did you break it down? Roger, can you put it on the record? Mr. Hernandez: Well, the -- it would be 365 a year -- Vice Chair Spence -Jones: No, no, but -- Mr. Hernandez: -- which is a dollar -- Vice Chair Spence -Jones: -- I want Roger to break -- City ofMiami Page 51 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Mr. Hernandez: It's a dollar a day. Vice Chair Spence -Jones: Okay, a dollar a day. Mr. Hernandez: That's what it is. Vice Chair Spence -Jones: So, I mean, it's just very hard -- ifI had to make a choice between a dollar a day in my district, even though my district has had the most challenges out of all of you guys, I'm sure my residents won't have a problem with a dollar a day. And then not only that, ifI had to make a choice to take away every year senior programs to provide them -- that provide them with hurricane kits, you know, for those that, you know, can't afford to have them, park events, that at least if nothing else is going great in their life, at least the City ofMiami can provide them with some sort of positive outlook. IfI could provide my youth with additional programs, like PAL (Police Athletic League) and other programs that are taking place within -- ifI had to make a choice between a dollar a day -- Commissioner Gonzalez: No. Vice Chair Spence -Jones: -- and these things, every single time, I'm going to choose that dollar a day. Commissioner Gonzalez: I'm sorry. It's eleven -- Vice Chair Spence -Jones: So I don't really understand what we're arguing about. Commissioner Gonzalez: Commissioner, it's 11 cents a day. Vice Chair Spence -Jones: Oh, excuse me -- Commissioner Sarnoff That's what I said, 11 cents a day. Vice Chair Spence -Jones: -- 11 cents -- Mr. Hernandez: Yeah, the -- Vice Chair Spence -Jones: -- a day. Commissioner Gonzalez: Eleven cents -- Mr. Hernandez: -- increase -- Commissioner Gonzalez: -- a day, not a dollar -- Vice Chair Spence -Jones: Okay. Commissioner Gonzalez: --11 cents. Mr. Hernandez: -- is 11 cents. Vice Chair Spence -Jones: Eleven -- Commissioner Gonzalez: The increase. Vice Chair Spence -Jones: -- right. Eleven cents. I mean, what are we arguing about, guys? I City ofMiami Page 52 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 mean, out of all y'all, all y'all sitting up here on this dais -- Chair Sanchez: All right. Vice Chair Spence -Jones: -- no one could ever compare District 5 to any one of y'all districts. Chair Sanchez: Right. Vice Chair Spence -Jones: And I'm telling you, the residents of my district would not have a problem with 11 cents, and not -- and then you turn around and tell them they're not going to be able to have park activities, they're not going to be able to have community street festivals, they're notgoing to be able to, you know, provide -- we're notgoing to be able to provide them with hurricane kits. Come on. Chair Sanchez: Yeah. Vice Chair Spence -Jones: It's the little things that improve people's lives. Those little bitty things go so far away -- far with them when they're losing their jobs, losing their homes or all these other things that are going on in their lives, and we're having an issue with 11 cents a day. We're talking about this for two hours. What is this about? Chair Sanchez: All right. Vice Chair Spence -Jones: Now I didn't say anything, Mr. Chairman. I sat -- Chair Sanchez: No, no. Vice Chair Spence -Jones: -- up and let everybody talk for 30 minutes. Now when I got to talk, you want to cut me off. Now what is that about? Chair Sanchez: I just said all right. I didn't cut you off. I just said all right. Vice Chair Spence -Jones: Okay, I'm done. Chair Sanchez: Most of the time I said all right; whatever you say, all right. Vice Chair Spence -Jones: I'm done. Chair Sanchez: All right. You know what? I'm going to look at this from a different point of view. I'm going to look at this as an incentive to live in the City, which is 325 the cheapest and the Cadillac service, but no. That's not the issue. The issue, let me tell you whatl think it is. It's not the 325; it's also that we are going to be reducing services to one pickup a month on trash, and this is a stickler for me, okay? We -- if there's one thing that we could take credit for, it's that we are the cleanest city in the nation, and we have done that, and it's not been easy. It has not been easy to do that. And one pickup a month, my concern is that all the improvements that Commissioner Gonzalez has made in Allapattah with his efforts to clean up Allapattah and all the efforts that Vice Chair has done in Overtown with her community to clean up her community and all the Commissioners here, we may end up losing that. And let me just tell you why, and I'll be very brief on this, okay. Right now, we pick up the trash, and you're right. You know, I've sat with you and you tell me, hey, you know, people come in and they dump illegal because, yeah, we pick it up and yeah, yeah -- and you know what? Even if we stopped, people are still going to come in our city and dump that illegal trash. Commissioner Gonzalez: But it's going to be more difficult -- City ofMiami Page 53 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Mr. Soldevilla: Yes. Chair Sanchez: Well -- okay. Commissioner Gonzalez: -- because it's going to be once a month. Now they know that every week, on every Wednesday -- Chair Sanchez: Commissioner -- Commissioner Gonzalez: -- they go by my house -- Commissioner Sanchez: -- fine. Commissioner Gonzalez: -- and dump. Chair Sanchez: And you know what? It's going to be -- you're going to get more calls than ever to your office saying, hey, there's trash in front of my house, and that's where the problem comes. So, you know, I'm open-minded on the issue, but when you're telling people, hey, listen, we're going to increase your fee and reduce your service, that's where I have a problem at. Mr. Soldevilla: Well, actually, we're going to do a little bit more than that, Commissioner. We are, in fact, going to pickup once a month. I can tell you that by picking up once a month, you are going to have a cleaner city. What we are doing is that we are localizing -- you are localizing the placement of frash into smaller areas as we break it down and we do the pickup throughout the month. But in addition to that, we're also going to be going in behind the days that we do the pickup, and we're going to be doing street sweeping, which we're not doing right now. So we're going to be adding the street sweeping operation, and eventually, the entire month -- through the -- throughout the entire month, we will have the gar -- the trash pickup, plus the whole city would have been swept. Commissioner Gonzalez: You're going to sweep the -- Commissioner Sarnoff Can I just say something then? Commissioner Gonzalez: -- neighborhoods too? Mr. Soldevilla: Yes, sir. Commissioner Sarnoff But here's the issue -- and here's the issue for District 2 because District 2 has most of the foliage. You have people who have incredible -- take south Grove, they have incredible amounts of refuse, you know, not refrigerators, not sofas. And you -- and I agree -- and I'm not objecting to this because I think you can retrain people to some degree, and I've been assured by the City that you can have six pickups, if you call it in, per year. I think it's 30 days -- not within 30 days of each other, but that stipulation could be worked through, and I'm willing to try it. But here you are, once again, going to the people who pay the taxes and saying -- and, you know, we're going to increase your fee, but reducing your services. I mean, to some degree, it's contrary -- I'm willing to try it for a six-month basis to see if you're right because inherently, I happen to think Commissioner Gonzalez is right. I happen to think people are a little bit Pavlovian. You frain 'em [sic] it's every week, they'll do it every week. If you can get 'em [sic] to do it once a month, it can be done once a month. And you know, one of the greatest things before I became a Commissioner, you know the only thing I ever thought the City ever gave me and I didn't realize I paid $50 for it was that great, big trash bin. And I realized I could put all sorts of things in that great, big trash bin. And everybody was -- you should have seen the smile on everybody's face when suddenly we got into a uniform system and the City, overnight, looked better. So I think we can all rethink -- and I'm willing to try this out, but I City ofMiami Page 54 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 think we all need to rethink the use of those frash bins. You know, spending an exfra half an hour gardening, cleaning up our place, and maybe acquiring from the City one more of those trash bins 'cause I think you can put all the refuse you want in the world in there. That's okay with you guys, right? Mr. Soldevilla: Yes, it is. Commissioner Sarnoff In other words, clippings, cuttings, palm fronds, you know. Mr. Soldevilla: But, obviously, there is a cost associated -- that would be associated with that. Each bin costs us $50. Commissioner Sarnoff Right. I -- Mr. Soldevilla: So -- Commissioner Sarnoff -- well, I'm suggesting that -- I'm not suggesting you pay for them. I'm not suggesting you give them out, but people in my neighborhood should know that they can acquire one more trash bin, I think for $50. Is that --? Mr. Soldevilla: That's correct. Commissioner Sarnoff And I know that I have three of them. You know, we use three of them because we don't use any refuse. We don't have any kind of holes, and that we have to put all of our trash in these various receptacles. So I'm willing to try it. I just -- with the stipulation that there could be six pickups per year if it's called in, I'm willing to fry it. Mr. Soldevilla: We -- Chair Sanchez: All right. Mr. Soldevilla: -- can we limit the amount, the cubic yardage? Because, you know, when you say six pickups a year and it's unlimited, then we're not going to see any kind of savings where we might otherwise see it. But if you say, okay, we will go with special pickups so we'll do six special pickups a year, but we'll limit it to three cubic yards. Commissioner Sarnoff Yeah. I'm trying -- I thought the advent of this whole idea was to save gas and manpower, and I'm willing to go along with that, and I'm willing to go along with your stipulations as to the 30-day period and the amount of refuse you can pick up. I mean, I think we may need to revisit it -- Mr. Soldevilla: Okay. Commissioner Sarnoff -- because maybe -- you know, maybe Commissioner Sanchez is right. You know, maybe he's dead right that people won't get used to it. Mr. Soldevilla: Okay. Commissioner Sarnoff But I think Commissioner Gonzalez is going to be right. I think we're going to be like Hialeah. Commissioner Gonzalez: I agree with you with the special pickups, on the special pickup issue. But also -- and I want to emphasize this -- if we're going to go this route, which is -- what is very, very important is that from now -- this will take effect in January next year. We're talking about -- what is this, September? October, November, December, January. For the next four month, City ofMiami Page 55 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 we have to do an intensive campaign -- Vice Chair Spence -Jones: Education campaign. That's what I was going to bring up. Commissioner Gonzalez: -- okay. Mr. Soldevilla: Absolutely. Commissioner Gonzalez: An intensive -- Chair Sanchez: All right. Commissioner Gonzalez: -- campaign -- Mr. Soldevilla: Absolutely. Commissioner Gonzalez: -- to let the people know what we're doing because we don't want -- you know, we don't want to get the people confused out there, and we don't want to create a nightmare. Mr. Soldevilla: No. We're going to develop flyers, and we will provide -- Commissioner Gonzalez: All right. Mr. Soldevilla: --flyers to every single resident. Commissioner Gonzalez: Very good. Vice Chair Spence -Jones: Okay. Let me just add -- because that was going to be the two main points that I had. And I do agree with Commissioner Sanchez on the issue of the number of pickups, and I liked Commissioner Sarnoffs -- you know, he kind of hinted around it maybe we should do it as a pilot to see how well it works over the next six months to see whether or not it is -- you know, we don't see an increase or an issue going on, you know, with the decrease of pickups. Maybe that's where we need to start first instead of it being such a drastic change because it is going to take time for it to catch on in all of our communities. So I don't know if that's actually an option, but I think that that's something maybe we should consider. Mr. Soldevilla: Well, we need -- we will need nine months because we're not going to start until three months. Commissioner Gonzalez: Right. Vice Chair Spence -Jones: Okay, well, nine months. Whatever the time -- you know what I'm saying, doing it as a pilot program. I do think -- and I'm just going to say this -- the flyer thing that we normally do, Mariano [sic], that doesn't -- you know, to put flyer -- it -- I totally agree it needs to be a very strong campaign, like really out there in a big kind of way so the residents really know that things are changing, so -- Mr. Soldevilla: Yeah. The mailing is just one -- Vice Chair Spence -Jones: -- that little flyer thing -- Mr. Soldevilla: -- aspect of it. Vice Chair Spence -Jones: -- that we always do, that never really works. City ofMiami Page 56 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Mr. Soldevilla: No, no. The mailing will be one aspect of it. We will follow up -- I know that we will -- Vice Chair Spence -Jones: I know, but I'm saying it needs to be -- and I don't know if you have that written within your budget to make sure there's a strong -- Mr. Soldevilla: Yes, we do. Vice Chair Spence -Jones: -- educational campaign. Mr. Soldevilla: Yes, we do. Commissioner Gonzalez: He needs to take advantage of the media and do -- Vice Chair Spence -Jones: Yeah. It needs to be -- Commissioner Gonzalez: -- public service -- Vice Chair Spence -Jones: -- a big thing. Commissioner Gonzalez: -- announcements, you know, through radio, TV (Television) -- Vice Chair Spence -Jones: Yeah. Commissioner Gonzalez: -- news -- Mr. Soldevilla: Yes. Commissioner Gonzalez: -- broadcasts, you know, every -- Mr. Soldevilla: Absolutely. Commissioner Gonzalez: -- way that we can to make sure that people know what we're doing. Chair Sanchez: All right. Call the question. It's a resolution. Read the resolution into the record, followed by a roll call vote. Pamela E. Burns (Assistant City Clerk): I'm sorry. We don't have a motion yet on that. Chair Sanchez: Okay. Commissioner Sarnoff So moved. Chair Sanchez: There's a motion by Commissioner -- Vice Chair Spence -Jones: Second. Chair Sanchez: -- Sarnoff, second, for the record, by the Vice Chair. It is a resolution. Read the resolution into the record, and then we'll go ahead and have a roll call on it. The Resolution was read by title into the public record by the City Attorney. Commissioner Gonzalez: The rate of the assessment will be -- Chair Sanchez: Roll call. City ofMiami Page 57 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Commissioner Gonzalez: -- 365. Mr. Soldevilla: Three sixty-five. Commissioner Gonzalez: The rate of the assessment will be 365. Commissioner Sarnoff I thought it was 419. Chair Sanchez: Yeah. That was -- Commissioner Gonzalez: No, 365. We're increasing $40, right? Chair Sanchez: That's -- Mr. Soldevilla: Correct, 365. Chair Sanchez: -- the resolution. Roll call. Ms. Burns: Roll call. Commissioner Gonzalez? Commissioner Gonzalez: Yes, ma'am. Ms. Burns: Commissioner Regalado? Commissioner Regalado: No. Ms. Burns: Vice Chair Spence -Jones? Vice Chair Spence -Jones: Yes. Just want to make sure that it's on the record for the campaign, the community campaign and to pilot the project first, to pilot it first. Ms. Burns: Commissioner Sarnoff? Commissioner Sarnoff No. Ms. Burns: Chairman Sanchez? Chair Sanchez: No. Ms. Burns: The motion to pass the resolution has failed on a 2/3 vote. Chair Sanchez: All right. Commissioner Gonzalez: All right. We don't have a budget in Solid Waste. Julie O. Bru (City Attorney): Chairman, this assessment has to be certified to Miami -Dade County by September 15. If you don't, then you will have to go through the expense of mailing it instead of having it assessed with the tax bill. Chair Sanchez: All right. Commissioner Regalado: Mr. Chairman, I make a motion that we approve the budget -- the assessment of the Solid Waste with the rate of last year and with the different plans that the Administration has to reduce pickup and change personnel to do cleaning in other areas of the City ofMiami Page 58 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 City. Chair Sanchez: Well, if you do that, then we got to have a motion to reconsider on the budget because it affects the budget, if I'm not mistaken on it. Commissioner Regalado: It does affect the budget. That's what I said. Ms. Bru: Well, your budget was tentative, so -- Chair Sanchez: Okay. Ms. Bru: -- if -- you'd have to adjust it at final. Commissioner Regalado: Yeah. Chair Sanchez: Okay. And on that motion, we need to come up with $3 million. Commissioner Regalado: Yes, and they can do that -- Chair Sanchez: No, no, no, no, no, no. But if we're going to do that, then we, as the Commission Commissioner Regalado: Yeah. Chair Sanchez: -- are going to sit here now -- Commissioner Regalado: Sure. Chair Sanchez: -- and come up with $3 million. Commissioner Regalado: Right. Chair Sanchez: So open up that budget of yours and come up with $3 million. Commissioner Regalado: I am -- I had a hundred -- Chair Sanchez: Okay. Commissioner Regalado: -- thousand. Chair Sanchez: Where do you have a hundred thousand from? You may have 20, 000 from your office account. Commissioner Regalado: No, no, no, no, no, no. I suggested -- we have 20, 000 for each district for special event, discretionary fund. I suggested that we cut that in half not me, all the members of the Commission, and that we will have 10,000 in order to help different activities through the fiscal year. Chair Sanchez: Well, listen -- Commissioner Regalado: I suggested that the Administration will go with the different members of the Commission to look at the permanent allocations for special events -- there are like 40 of them that are out of the range of this 20,000 -- and reduce 1,000, maybe 2,000 -- Vice Chair Spence -Jones: It's not enough money to do that. City ofMiami Page 59 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Commissioner Regalado: -- in -- one that has $45, 000 allocation, you can reduce 2,000. I suggested that they would be looking at the Mayor's State of the City that $40, 000 were allocated. Actually, Mr. Manager -- I don't know where he is -- there is an amount of money that is budgeted for the Mayor's International Conference that was held this year, and the reason that that was budgeted and the money was placed there is because, as you told me and your staff told me, you need to discuss with the Mayor if there is an activity. This was like $300, 000 or something like that? Mr. Hernandez: No. It was more like seventy -some thousand dollars. Commissioner Regalado: Seventy-six thousand dollars. Mr. Hernandez: Seventy-six thousand. Commissioner Regalado: So we are -- I mean, these are suggestions. I cannot say they should be what -- but these are suggestion. I still say if we come out with some cuts in the special events, in the activities, we have some money, not all the $3 million. I would suggest to you that they -- the figure budgeted for the franchise fees of the solid waste is, in reality, more than the actual number budgeted because if you lookIgwe's audit, you understand what we're talking about in terms of the audit. So, Mr. Chairman, I'm just offering ideas. I think -- Commissioner Gonzalez: Call the question, Mr. Chairman. Chair Sanchez: Wait, wait, whoa, whoa, whoa, whoa. But he -- I haven't understand [sic] a word he said. Commissioner Regalado: Because you weren't paying attention. Chair Sanchez: No, I am paying attention. You're nickel-and-diming, 10,000 here, 20,000 here. You got to come up with three million. Either you come up with three million or, you know -- simple as that. Commissioner Regalado: Oh, so you want -- Chair Sanchez: You know what? Commissioner Regalado: -- three million out of here -- Chair Sanchez: No, no. Commissioner Regalado: -- and not spread the pain. You don't want to spread the pain? That's -- you want to get three million out of Public Works or Police -- Chair Sanchez: And -- Commissioner Regalado: -- or Fire? Chair Sanchez: -- apparently, with all due respect, you don't have a plan. Commissioner Regalado: I'm sorry? Chair Sanchez: You don't have a plan. You don't have suggestions. Commissioner Regalado: I did, and the Manager knows about it. I -- they met with him twice. I City ofMiami Page 60 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 met with him twice. Mr. Hernandez: What the Commissioner is proposing is the 325, which is the present rate. If you were to approve that, I will have to go back and, in essence, you know -- Chair Sanchez: No, no, no. Mr. Hernandez: -- find -- Commissioner Gonzalez: Increase the millage. Chair Sanchez: Just a minute. Let's -- I'm going to propose something, okay? And as it is right now, while this was going on, I have a shortfall of $400, 000. But just listen to me, okay? We got to come up with three million in the increase to offset the increase of the garbage, okay. Listen to me carefully, 1.5 -- and I'm open to suggestion. This is just my -- I'm putting a suggestion on the table. One point five of the reserve outstanding litigation claims allocation. Let me tell you why. That leave -- it's leaving a balance there of $6.2 million. Correct me if I'm wrong. Come on up because, you know, you could shake your head, butt want you to come up. Come on up, Larry. Okay. And that, every year -- even last year, where we settled a lot of claims, we didn't get close to $3 million. Larry Spring (Chief Financial Officer): That's correct. Chair Sanchez: Okay. Mr. Spring: That -- based on the budget you have. Chair Sanchez: Just say it I'm right or wrong. Mr. Spring: Yes. That number budgeted, if you reduced it, will get you that sum. Chair Sanchez: Okay. That is 1.5 million. We're halfway home, okay. Twenty thousand out of each Commissioner's office -- no Commissioner took any cut this year -- okay, out of the operational account of each Commissioner's office; it's 100, 000, okay. The festival account for the City is a million. The festival account is a million. Let's take half a million out of there. So that leaves us right now with 1.5, 100, 000, and 500, 000, okay. Mr. Spring: Two point one. Chair Sanchez: Information Technology. We could take half a million from there. That still leaves a balanced budget of $13.7 million. Hey, you know what? I would love to upgrade computers at my house and I would love to do things in my house, but ifI don't have the money, I can't do it. And we put close to -- Mr. Spring: But Commissioner -- Chair Sanchez: -- $12 million into IT (Information Technology). I'm just going to put these suggestions on the floor. Mr. Spring: Okay. I -- Chair Sanchez: No, no, no, no, no. Okay, so far that's $2.6 million. We need to come up with $400, 000. If we could come up with $4, 000 -- $400, 000, that's $3 million. Vice Chair Spence -Jones: Mr. Chairman, I think that some of your suggestions were great City ofMiami Page 61 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 suggestions; some of them, I don't agree with. I mean, we could -- all of us can sit here and go through things that aren't important to us in our districts. I mean, clearly, I mean, I see some things that we can also cut out too, a million dollars here, and five hundred thousand -- I think that this is the wrong way to do the budget. And I really do feel this is the wrong way to do the budget. This is not going to get us anywhere. Commissioner Regalado: This is the way that Washington does the budget. This is the way that Tallahassee does the budget. Vice Chair Spence -Jones: With all due respect -- Commissioner Regalado: So everybody -- Vice Chair Spence -Jones: -- this is not Washington. This is -- Commissioner Regalado: -- does it wrong. Vice Chair Spence -Jones: -- the City ofMiami. Commissioner Regalado: I mean, look, I agree with the Chairman. I think -- Commissioner Gonzalez: Mr. Chairman -- Commissioner Regalado: -- it's -- Commissioner Gonzalez: -- may I allow --? Commissioner Regalado: -- some ideas. He used some of the things that I suggested and added some, and I think they're intelligent, and I think we should consider it. Commissioner Gonzalez: Is there a motion on the table now? Commissioner Sarnoff There's a pending motion without a -- Commissioner Gonzalez: Let's call the question. Commissioner Sarnoff -- that needs a second. Chair Sanchez: Okay. Hey, listen -- Commissioner Regalado: No. There's -- Chair Sanchez: -- you want to chair? Commissioner Regalado: -- no motion. Commissioner Sarnoff I don't. I -- Chair Sanchez: You want to chair? Commissioner Sarnoff -- you do a great job. Chair Sanchez: All right. Ms. Burns: Excuse me. We have one motion on the floor by Commissioner Regalado. City ofMiami Page 62 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Chair Sanchez: He never got a second on that. Ms. Burns: That's correct. Commissioner Gonzalez: All right. Commissioner Regalado: It never got a second. Chair Sanchez: Okay. I'm going to pass the gavel. Commissioner Gonzalez: So that motion died. Chair Sanchez: Okay, and I'm -- Commissioner Gonzalez: All right. Chair Sanchez: -- okay. And I'm going to pass the gavel. Commissioner Gonzalez: Okay. Chair Sanchez: And I'm going to make a motion on my motion -- Commissioner Gonzalez: All right. Chair Sanchez: -- which already has identified -- it hasn't touch -- doesn't touch any district. It has -- Vice Chair Spence -Jones: Yes, it does. Commissioner Gonzalez: No, it does. Vice Chair Spence -Jones: Yes, it does. Commissioner Gonzalez: It does because you're taking away money -- Vice Chair Spence -Jones: (INAUDIBLE) district. Commissioner Gonzalez: -- from the special events and the -- and let me tell you Chair Sanchez: Well, I'll make a motion. If there's no second, it's fine. Commissioner Gonzalez: -- I don't know what any -- let me finish -- of you do with your money for special events, but the -- my money in special events goes dedicated every year, ever since I'm a Commissioner, to the League Against Cancer -- Vice Chair Spence -Jones: Against Cancer. I mean -- Commissioner Gonzalez: -- to people sick with cancer. And I'm not going to take that money away from the people that are sick with cancer with no other remedies to avoid people paying ten cents a day on solid waste. Vice Chair Spence -Jones: Eleven cents a day. Chair Sanchez: Commissioner, with all due respect -- City ofMiami Page 63 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Commissioner Gonzalez: I won't do that. Chair Sanchez: -- I'm not suggesting that, but there's a million dollars there, leaving a half a million dollars. There's money. How much do you give the Liga Contra Cancer, which I support every year? Vice Chair Spence -Jones: Yeah, but that's not the point. We can go through -- I can go all down my whole entire list -- Chair Sanchez: Hey, tough times call for tough decisions. Vice Chair Spence -Jones: Right. So then I can say the same thing about -- well, at this -- Commissioner Gonzalez: Yeah. That is the problem. Vice Chair Spence -Jones: -- point -- at this -- Commissioner Gonzalez: That is the problem. Everybody wants to heaven, but nobody wants to die. Vice Chair Spence -Jones: I could say the same thing about -- Commissioner Gonzalez: That is the problem. Vice Chair Spence -Jones: -- us getting parkland right now. We need to hold off on that, if that's the case. Chair Sanchez: All right. Listen, I'll entertain a motion for reconsideration. Commissioner Sarnoff I'll move to reconsider the previous motion. Commissioner Gonzalez: I'll -- Chair Sanchez: All right. There's a motion -- Commissioner Gonzalez: -- second. Chair Sanchez: -- by Commissioner Sarnofffor reconsideration. Commissioner Gonzalez: Second. Chair Sanchez: It has been second by Commissioner Gonzalez. The motion -- Commissioner Regalado: Why we reconsider? Chair Sanchez: We're going back to the original recommendation from the Administration, which Julie, read the resolution back into the record -- Ms. Bru: Okay. Chair Sanchez: -- to be voted on. Ms. Bru: This would be a resolution adopting the solid waste assessment at the rate -- City ofMiami Page 64 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Commissioner Gonzalez: Three sixty-five. Ms. Bru: -- at 365. Ms. Burns: Excuse me. We don't have a vote on the reconsideration. Commissioner Gonzalez: All right. Chair Sanchez: We do have a -- Commissioner Gonzalez: Let's vote. Chair Sanchez: -- motion for reconsideration. The motion was made by Commissioner Sarnoff, second by Commissioner Gonzalez for consideration [sic]. Ms. Burns: But we don't have a vote to reconsider yet. Commissioner Gonzalez: We need to vote. Chair Sanchez: All in favor, say "aye." The Commission (Collectively): Aye. Chair Sanchez: Anyone in opposition? All right. I stand corrected -- Commissioner Gonzalez: All right. Chair Sanchez: -- and I do apologize, Madam Clerk. Commissioner Gonzalez: Now you can make a motion. Commissioner Sarnoff I'll make a motion to accept the three point -- what is it, 3.65? Commissioner Gonzalez: Three sixty-five. Commissioner Sarnoff Three sixty-five mill rate. Commissioner Gonzalez: With the -- what was it, six pickups a year? One pickup a month and six special pickups? Mr. Soldevilla: One pickup plus -- Commissioner Gonzalez: I already forgot. Mr. Soldevilla: -- six special pickups. Commissioner Gonzalez: Six special pickups. Chair Sanchez: All right. As amended, with the six special pickups. Commissioner Gonzalez: I'll second the motion. Chair Sanchez: The motion has been second. Any discussion on the item? I don't think so. Okay, roll call. City ofMiami Page 65 Printed on 10/3/2008 City Commission Meeting Minutes September 11, 2008 Ms. Burns: Roll call on BH.9. Commissioner Regalado? Commissioner Regalado: No. Ms. Burns: Vice Chair Spence -Jones? Vice Chair Spence -Jones: Yes. Ms. Burns: Commissioner Gonzalez? Commissioner Gonzalez: Yes. Ms. Burns: Commissioner Sarnoff? Commissioner Sarnoff Yes. Ms. Burns: Chair Sanchez? Chair Sanchez: No. All right. That con -- Ms. Burns: The resolution, as amended, has passed, 3/2. Chair Sanchez: All right. That takes care of BH.9, and I think there are no pending budget matters on the first reading. MOTION A motion was made by Commissioner Gonzalez, seconded by Commissioner Sarnoff, and was passed unanimously, to adjourn today's meeting. Chair Sanchez: Need a motion to adjourn. Commissioner Gonzalez: Motion to -- Commissioner Sarnoff So move. Commissioner Gonzalez: -- adjourn. Commissioner Sarnoff Second. Chair Sanchez: Motion to adjourn is always accepted. There's a motion and a second. All in favor, say "aye." The Commission (Collectively): Aye. Chair Sanchez: Anyone in opposition, having the same right, say "nay." Motion carries. City ofMiami Page 66 Printed on 10/3/2008