20140814 Min Finance Budget Hearings 3 and 4

OFFICE OF THE CITY COUNCIL
CHERYL L. BROWN

117 WEST DUVAL STREET, SUITE 425
4TH FLOOR, CITY HALL
JACKSONVILLE, FLORIDA 32202

DIRECTOR
OFFICE (904) 630-1452
FAX (904) 630-2906
E-MAIL:

Finance Committee Budget Hearings #3 & #4 Minutes
August 14, 2014
9:00 a.m.
Location: City Council Chamber, 1st floor, City Hall – St. James Building; 117 West Duval Street,
Suite 425
In attendance: Council Members Richard Clark (Chair), Lori Boyer, Reginald Brown, Doyle Carter (arr.
11:52), John Crescimbeni, Kimberly Daniels (arr. 10:04), Bill Gulliford, Ray Holt and Matt Schellenberg
Also: Council Members Jim Love, Robin Lumb (arr. 2:40) and President Clay Yarborough (arr. 3:09);
Kirk Sherman, Kim Taylor, Brian Parks, Trista Straits, – Council Auditor’s Office; Paula Shoup –
Legislative Services Division; Peggy Sidman – Office of General Counsel; Jeff Clements – Council
Research Division; Teresa Eichner and Margo Klosterman – Mayor’s Office; Glenn Hansen and Angela
Moyer - Budget Office
Meeting Convened: 9:02 a.m.
Chairman Clark convened the meeting and asked committee members for any outstanding issues from the
last meeting. Council Member Crescimbeni asked for an update on his requests for information on
Mayor’s travel expenses and food and beverages expenses for Military Affairs for quarterly base
meetings. Theresa Eichner will follow up with that data. Council Member Boyer reported that she has met
with representatives of the Intragovernmental Services Department and Fleet Management Division and
learned that the department employee cap is down by 11 positions from the current year, although they are

going to request restoration of 2 of those slots.
Kirk Sherman reported that the Special Council Reserve account stands at $1,219,342 due to the
considerable reductions made in the first two budget meetings. The committee discussed how to deal with
the Sheriff’s Office $7.5 million authorized savings retention and the fact that the Sheriff can spend those
funds before the end of the fiscal year if he so desires, leaving no carry-over to feed into the FY14/15
budget. If Council wants to ensure that those funds are available for carry-over, then legislation will need
to be passed to capture it before it is spent.
Page references from this point refer to Council Auditor’s Meeting #3 Handout

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Tax Collector
Motion: on p. 2 recommend approval of Council Auditor’s recommendation to reduce computer system
maintenance allocation by $53,000 – unanimously approved.
Tax Collector Michael Corrigan explained the pay increases for 150 employees being made for pay equity
purposes pursuant to civil service requirements due to the hiring of a specially qualified bilingual
employee at a rate above the minimum salary.
Property Appraiser
Property Appraiser Jim Overton discussed the Property Appraiser’s budget for $75,000 for merit-based
pay increases based on employee performance, with Council Member Crescimbeni pointing out that City
employees took a 2% pay cut in 2010 and have had no raises since, unlike employees of some
constitutional officers.
Motion: on p. 5 recommend approval of the Property Appraiser’s request for two betterments – addition
of $15,176 for OGC legal expenses and addition of $22,832 for employee benefits associated with the
merit pool increase – unanimously approved.
Clerk of the Courts
Motion: on p. 8 recommend approval of Council Auditor’s recommendation #1 to decrease cost and fee
revenue by $200,000 – unanimously approved.
Motion: on p. 8 recommend approval of Council Auditor’s recommendation #2 to review the office’s IT

billing allocation and to reduce the Time & Attendance System allocation to the Clerk’s office by $15,610
– unanimously approved.
Clerk of the Courts Ronnie Fussell gave an update on the customer queuing system implementation,
which should be operational by the end of the year, and the relocation of traffic court from the former
location on Beach Boulevard to the new courthouse.
Court Administration
Motion: on p. 14 recommend approval of Council Auditor’s recommendation #1 to increase contractual
services by $20,000 – unanimously approved.
Motion: on p. 14 recommend approval of Council Auditor’s recommendation #2 to cease using “allyears” budgeting for the juvenile drug court sub-fund - unanimously approved.
Motion: on p. 16 recommend approval of Council Auditor’s recommendation to cease using “all-years”
budgeting for the court innovations/judicial support sub-fund - unanimously approved.
Motion: on p. 19 recommend approval of Council Auditor’s recommendation to cease using “all-years”
budgeting for the courthouse trust sub-fund - unanimously approved.
Motion: on p. 23 recommend approval of Council Auditor’s recommendation #1 to shift funding for
several expenditures from the General Fund to the Recording Fees Technology fund - unanimously
approved.
Motion: on p. 23 recommend approval of Council Auditor’s recommendation #2 to ensure that all three
participants in the recording fee technology use sign the Memorandum of Understanding - unanimously
approved.

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State Attorney’s Office
Since no representative of the State Attorney’s Office was present to discuss the budget request, the
committee discussed what budgetary items could be withheld until the State Attorney appears before the
committee.
Motion: on p. 25 place the State Attorney’s Office internal service budget request and the SAO’s 15-U
account allocation “below the line” until such time as a signed MOU for the recording fee technology
fund is signed by the State Attorney – unanimously approved.

Parks, Recreation and Community Services Department
Department Acting Director Daryl Joseph and Beth Meyer, Chief of the Disabled Services Division,
answered questions from Council Member Crescimbeni about the location of the Sexual Assault
Response Center, which is currently located in the Victim Services Center on 10 th Street but has been
suggested for relocation to Baptist Hospital, with the rest of the Victim Services functions moving to the
Social Service Division office on Art Museum Drive. Mr. Crescimbeni has heard that the City is
negotiating with the Women’s Resource Center and may already have signed an agreement for that
agency to relocate into the current Victim Services Center on 10 th Street. Ms. Meyer said that the
relocation to that site would be temporary until the SARC program fully transitions to the Baptist Hospital
campus downtown. Ms. Meyers explained that the growth in crime victim-serving agencies (Justice
Coalition, Compassionate Parents, etc.) has reduced the use of the Victim Services Center and has led to
the exploration of relocation out of that facility. Council Member Brown questioned why the SARC
contract was directed to the Women’s Center and Baptist Hospital rather than to UF Health Jacksonville.
Motion (Gulliford): recommend reduction of the Parks, Recreation and Community Services Department
employee cap by 3 employees – unanimously approved.
Motion (Crescimbeni): place the Parks, Recreation and Community Services Department subfund 011
“below the line” until the Council Auditor and the department reach agreement on what positions are
actually being eliminated – unanimously approved.
Council Member Boyer requested information about the remaining lease term of the Social Services
Division office space on Art Museum Drive and asked the department to meet with the Council Auditor’s
Office after the meeting to make a determination of whether the out-sourcing of the SARC program does
or does not produce a cost savings. She also requested clarification of the number of employee slots being
reduced. Council Member Gulliford questioned how contracts could be entered into by the administration
that commit the City to future appropriations without any knowledge or approval by City Council. He
recommended that Council receive a list each year of all the contracts entered into via administrative
processes without Council approval. Council Member Boyer asked for a listing of all the grant match
allocations that have been assigned to departmental budgets this year rather than budgeted centrally in a
grant match account as was the prior practice.
Motion (Schellenberg): recommend elimination of the salary and benefits ($441,000) associated with the
elimination of 6 departmental positions

Motion (Schellenberg): recommend elimination of a seventh employee cap position in the department –
unanimously approved.

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Huguenot Park
Waterfront and Conservation Division Chief Tera Meeks answered questions about how the division
estimated park attendance and admission revenue for the upcoming year given the implementation of a
fee increase.
Motion: on p. 32 recommend approval of the Council Auditor’s recommendation to reduce projected
revenues – unanimously approved.
Parks, Recreation and Community Services
Council Member Daniels asked the committee to return to a discussion of the elimination of employee
cap positions and there appeared to be confusion over the number and which particular positions were
going to be eliminated.
Motion (Crescimbeni): repeal all actions taken since the adoption of the motion to put Subfund 011
“below the line” that affect that subfund and take up the department’s budget at a future meeting when the
administration and Council Auditor have reconciled the employee cap questions - unanimously
approved.
Hanna Park
Motion: on p. 35, recommend approval of Council Auditor’s recommendation to reduce revenue
projections - unanimously approved.
Council Member Boyer asked for additional information on the division’s costs and how those affect the
admission fee pursuant to the ordinance that requires the admission fees to cover 85% of operating costs.
Council Member Gulliford asked the Council Auditor for information on fee increases across all City
functions. Council Member Crescimbeni explained the history of the ordinance that requires the 85%
coverage ratio of fees and the rationale behind making small annual changes rather than periodic large
jumps. He asked the Council Auditor to examine the Special Events Division budget to see if there is a
corresponding decrease in their costs to match the increase in the costs to Hanna and Huguenot Parks to

take over all processing of event permits for events in those parks, and asked the administration to justify
the proposed large percentage fee increases when the fee ordinance was supposed to prevent that.
Metropolitan Park
Motion: on pp. 36-37, recommend approval of Council Auditor’s recommendation to correct an
accounting error by changing the sub-objects of several revenues and decreasing use of fund balance –
approved unanimously.
In response to a question from Council Member Boyer for clarification of the $250,000 appropriation for
capital projects and whether it reflected a portion of or an addition to the $11 million plan for
Metropolitan Park improvements approved previously by the Council, Director Joseph stated that it is the
first allocation within the $11 million toward design of replacement of the stage canopy. Council Member
Crescimbeni requested additional detail on Metro Park’s projected revenues. Budget officer Angela
Moyer explained that the Metro Park fund is an all-years fund that accumulates revenues until a project
for its use is determined, at which point the funds are appropriated for that purpose. The revenue does not
show up in the annual budget until a use is proposed. Kirk Sherman said that this example illustrates the
problems inherent in all-year funds and said that he will meet with the Accounting and Budget Divisions
to come up with a proposal for how better to deal with budgeting for such funds. Council Member Boyer
gave background information on the findings of the Metropolitan Park Special Committee with regard to
Metro Park fees and charges. Ms. Boyer wants further information on how many all-years funds exist and
how much they have accumulated.

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Cecil Commerce Center Athletic Complex
Motion: on p. 42, recommend approval of Council Auditor’s recommendation to increase the transfer
from fund balance by an additional $75,000 – unanimously approved.
Council Member Carter explained the on-going process of the RFP process for a private company to
maintain the athletic complex facilities now that SMG is no longer responsible for maintenance, which
was part of the Equestrian Center operations contract.
Equestrian Center

Motion: on p. 43, recommend approval of Council Auditor’s recommendation to establish an operating
budget for the Equestrian Center utilizing operating revenues and a $287,000 subsidy from the Taye
Brown Regional Trust Fund - unanimously approved.
The committee was in recess from 12:20 to 1:13
Planning and Development Department
Department Director Calvin Burney answered questions from Council Member Gulliford about the
department’s proposed fee increases and relative costs in adjoining counties. Council Member Boyer
asked questions about the department’s professional services line, including the annual manatee
monitoring contract which was budgeted in the City’s non-departmental expenditures rather than the
department’s budget and elimination of the Mayport CRA expense. Mr. Burney said that the professional
services line includes the cost for an update of the mobility plan that is due in 2016.
Mr. Burney explained that the department has been told by bond counsel that the City cannot utilize the
bond proceeds in the Northwest Economic Development Fund for administrative purposes so another
source of funding needs to be found. The department has proposed a new General Fund-funded position
to handle administration of that fund, which was transferred to the Planning Department from the City’s
housing division.
Motion (Schellenberg): recommend deletion of the proposed new position for the Northwest Economic
Development Fund – approved unanimously.
Motion (Holt): recommend deletion of the $15,000 salary increase for the department director –
approved unanimously.
Jody McDaniel of the Planning Department explained the difference between the manatee “plan” and
manatee “protective actions”. The City has negotiated with the state and agreed on a slate of actions the
City will undertake to protect manatees, including boater education, law enforcement and other protective
actions, to prevent state restrictions on waterfront development permitting. $70,000 of the $90,000
appropriated last year has been expended on the City’s contract with Jacksonville University, and there
may be an invoice remaining to be paid. Mr. Crescimbeni and Ms. Boyer noted that Council just approved
the manatee agreement with the state at its last meeting and committed to take the actions that this
appropriation is intended to pay for.
Motion (Schellenberg): recommend deletion the $90,000 appropriation for manatee protective actions
until such time as a firm dollar figure has been calculated for the protective actions to which the City has

committed – approved 5-4
Council Member Brown advocated for restoring resources to administer the Northwest Economic
Development Fund and suggested the possibility of contracting out the management function.

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Motion (Schellenberg): recommend deleting funding in the amount $154,334 for the 3 new
transportation planning-related positions eliminated from the department’s employee cap earlier in the
budget process – approved unanimously.
Mr. Burney explained that the CPAC coordinator positions were being paid 50/50 by the General Fund
and by grant funds when they were in the Neighborhoods Department but cannot now be grant funded
following their transfer to the Planning Department because they are no longer working on CDBG
projects. The Council Auditor’s Office confirmed that those positions are completely City-funded in the
proposed budget.
Community Development Division
Motion: on p. 53, recommend approval of Council Auditor’s recommendation to reduce HUD grant
revenue by $1,212 – approved unanimously.
Building Inspection Division
Motion: on p. 57, recommend approval of Council Auditor’s recommendation #1 to adjust supervision
allocation distribution within the subfund – approved unanimously.
Motion: on p. 57, recommend approval of Council Auditor’s recommendation #2 to increase supervision
allocation by $67,482, distributed according to the distribution method approved in recommendation #1 –
approved unanimously.
Motion: on p. 57, recommend approval of Council Auditor’s recommendation #3 to transfer all residual
cash carryover to pay down Banking Fund debt - approved unanimously.
In response to a question from Council Member Boyer, Budget Director Glenn Hansen confirmed that
there was nothing in the covenants of the recent bond financings that would prevent the use of the funds
for Banking Fund repayment. Tom Goldsbury, Chief of Building Inspections, answered questions about
the permitting system developed by the Information Technology Division.

Military Affairs and Veterans Services
Department Director Admiral Guillory reported that 1,300 new sailors will arrive in Jacksonville this
weekend with the arrival of several new ships at Naval Station Mayport. He answered questions from
Council Member Crescimbeni about the quarterly military base commanders meetings, explaining that the
meetings are intended to be quarterly but may not happen every quarter, depending on the availability of
the commanders and the timing of specific events that are of interest to the military.
Page references from this point refer to Council Auditor’s Meeting #4 Handout
Office of General Counsel
Council Member Gulliford expressed the Council’s appreciation for the work of legislative counsels
Peggy Sidman and Paige Johnston.
Office of Ethics, Compliance and Oversight
Council Member Crescimbeni said that he would likely be offering amendments to the pending ordinance
to create an Inspector General’s Office (2014-519) to recognize potential contributions from the State
Attorney’s Office to an Inspector General’s office, which may impact the amount of money being
contemplated today for the office’s budget in the FY14/15 budget. Council Member Lumb said that he
may propose an amendment to provide funding for the Inspector General via a small percentage holdback on City contracts.

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Motion: on p. 5 recommend approval of Council Auditor’s recommendation #1 to reduce employer
contributions for pension and disability – approved unanimously
Motion: on p. 5 recommend approval of Council Auditor’s recommendation #2 to reduce group
hospitalization allocation, as amended to change the reduction from $5,000 to $3,000 - approved
unanimously.
Medical Examiner’s Office
Mr. Sherman reported that Lafayette and Suwanee Counties no longer contract with the Medical
Examiner’s Office for autopsy services.
Motion: on p. 8 recommend approval of Council Auditor’s recommendation to reduce professional
services by $28,635 - approved unanimously.

Housing Finance Authority
Ms. Boyer asked for confirmation from the Council Auditor about whether the entire amount of grantfunded salary and benefits is being removed commensurate with position eliminations or whether some
grant funds are being reallocated to other positions.
General Employees Pension Trust
Motion: on p. 13 recommend approval of Council Auditor’s recommendation to remove 1,080 part-time
hours that are not funded – approved unanimously.
In response to a question from Ms. Boyer, City Treasurer Joey Greive reported that the increase in money
manager fees is due to the growth in the assets being managed, not an increase in the compensation rate to
any of the managers. Mr. Greive answered questions from Council Member Schellenberg about how the
asset managers are chose and why none are local companies. Mr. Schellenberg expressed the belief that a
better rate of return can be achieved on the invested assets.
Police and Fire Pension Fund administration
Council Member Boyer asked for clarification from the General Counsel’s Office regarding whether or
not the City Council can make changes in the PFPF’s administrative budget. Mr. Crescimbeni read from a
legal opinion by former General Counsel Cindy Laquidara that said the City Council does have the ability
to
Motion: on p. 20 recommend approval of Council Auditor’s recommendation #1 to reduce budgeted
amounts for various internal service allocations by a net of $58,322 – approved unanimously.
Motion: on p. 20 recommend approval of Council Auditor’s recommendation #2 to split estimated
revenue and appropriations for the building and parking garage operations to separate schedules approved unanimously.
Motion: on p. 20 recommend approval of Council Auditor’s recommendation #3 to remove the words
“Exhibit A” from proposed schedules AB and AC and to make formatting changes – approved
unanimously.
In response to a question from Council Member Crescimbeni about whether the PFPF administration met
the $650,000 lapse imposed by the City Council last year, Fund Administrator John Keane indicated that,
although the fiscal year is not yet complete, it does not appear that the fund will be able to meet any of
that lapse because money management fees are increasing as the asset base increases, utilizing all
available revenue. Committee members discussed whether the committee should or should not attempt to

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remove funding for new positions, attempt to change allocations for money management fees, etc. and
what, if anything, can be done if the agency ignores Council’s directives.
Motion (Crescimbeni): put the PFPF administrative budget “below the line” to a future meeting –
approved 6-3.
Council President Yarborough asked for a response from the General Counsel’s Office about the status of
the Senior Voluntary Retirement Plan and whether it is being funded in the proposed budget. He said the
General Counsel has opined that the plan is improper and unauthorized and questioned how it continues
to operate given that ruling. Committee members questioned what, if anything, the Council can do to
control the PFPF’s administrative expenditures. Angela Moyer said that Council’s ultimate control over
the PFPF’s administrative positions is that the City could refuse to enter a new position into the Oracle
human resources system so that no position would exist and could not be paid.
Deputy General Counsel Derrel Chatmon reported that the Senior Voluntary Retirement Plan was part of
the City’s negotiations with the Police and Fire Pension Fund over pension reform and that the proposal
agreed upon was that the plan would be converted to a legal retirement mechanism for the current
participants who would become eligible for membership in the General Employees Pension Plan. Mr.
Gulliford characterized the ratification of the accrued benefits for the current plan participants as a
bargaining chip in the on-going pension negotiations.
Chairman Clark reported that the committee has reduced another $834,000 in expenditures through
today’s actions.
Meeting Adjourned: 3:46 p.m.
Minutes: Jeff Clements, Council Research Division
8.14.14 Posted 4:00 p.m.
Tapes:
Finance Budget Hearings #3 and #4 – LSD
8.14.14
Materials: Auditor’s Budget Hearing #3 and #4 handouts
8.14.14

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