The Board of County Commissioners of Brevard County, Florida, met in Special/Workshop Session on July 25, 1997, at 10:05 a.m. in the Government Center Florida Room, Building C, 2725 Judge Fran Jamieson Way, Melbourne, Florida. Present were: Chairman Randy O'Brien, Commissioners Truman Scarborough, Nancy Higgs, Mark Cook, and Helen Voltz, County Manager Tom Jenkins, and County Attorney Scott Knox.

REPORT FROM COUNTY MANAGER

County Manager Tom Jenkins advised Budget Director Kathy Wall provided additional information to the Board; one is the copy of the Citizens Budget Review Committee Report, and the other is a summary of changes since the preliminary budget was presented to the Board. He noted most of the changes are a direct result of discussions on payment in lieu of taxes (PILT) and the direct charge approach. He stated the first item is a presentation from the Budget Review Committee, and after that, the Board will get into agency budgets.

Commissioner Cook advised of memos from Ms. Wall on PILT; and inquired if the Board will get an opinion from the County Attorney and recommendations from the Financial Advisor.

PRESENTATION, RE: CITIZEN BUDGET REVIEW COMMITTEE REPORT

Dale Young, Chairman of the Citizen Budget Review Committee, advised the Budget Report represents the items all members agreed on; there were other items that were tabled for discussion and inclusion in the final report; and there were items discussed that all members did not agree on. He stated his intention is to add a section to the final report to include those issues of special importance to individual Committee members, but not necessarily agreed to by all members. Mr. Young advised as CEO's of a half-a-billion-dollar operation, the Board needs to have information that is clear and easy to understand; the Report is only useful as a generalized summary of the County's operation; and as a step towards deciphering those generalizations, a chart of the County listing the fund numbers of various programs should be added at the end of each section, but without the itemized individual department budget breakdowns, the budget is a meaningless summary of total figures. He stated to find the cost associated with the operation of any department or division, it is necessary to track the fund numbers of programs comprising that department or division; he was told all Commissioners have that information available on the County's mainframe which contains itemized breakdowns; and if they do, then they have everything they need to fully digest the budget. Mr. Young stated the Budget Committee would like to have access to the mainframe; and it recommends further clarification for the reading of the budget and inclusion of the fund numbers in the organizational chart of at least the departments, or at the head of the page for each department, which will assist in tracking programs. He stated it is important because of the way the budget is being done now; the County adopted a program-based budgeting system; and it is necessary for everyone to understand what the program consists of and what the expectations are. Mr. Young advised the Budget Committee found in some cases that the program mission may not be sufficiently set forth to fully define what they are trying to accomplish; it is a departure from the old line item budget and lacks criteria on which to judge the degree of accomplishments of those missions or how the money was spent; and that area is touched on in the Committee's first item, the reorganization of County Finance. He stated until they develop such criteria, the only evaluation comes from within the Department, so the Board is still tied to making line-item comparisons with last year's budget and its own evaluation of just how much was accomplished. He expressed appreciation to everyone on behalf of the Committee, and offered to answer any questions.

Commissioner Voltz inquired if the Committee has specific recommendations; with Mr. Young responding each Commissioner should have copies of the recommendations, and some are repeats from years past. Commissioner Cook thanked the Committee for its hard work; and suggested adding the fund numbers to budget summaries as recommended by the Committee. Mr. Young suggested all the information be put on-line and available to everyone as there are people outside of County government who would like to have that information; and it is something that can be accomplished right now. Commissioner Cook inquired if Mr. Young has any recommendations on making it easier for the average citizen to read the budget; with Mr. Young responding if each Department is broken down by programs and has fund numbers and itemized breakdowns, there would be a track to follow, and people will know how much was spent on postage, salaries, etc. and what makes up a program.

Chairman O'Brien advised the Committee's recommendations say, "It is recommended the Board require a copy of itemized budgets of all Constitutional Officers be on file in the Budget Office, complete with revenues and expenses"; and indicated the Board cannot make that happen. Mr. Young stated they asked the Sheriff for his itemized budget, and he is providing that; it is necessary, if the Board is to get a handle on things, that it have those itemized budgets.

The Board discussed public records requests, formats of Constitutional Officers' budgets, funding of the Supervisor of Elections Office, and looking at programs to determine whether they should be continued.

Chairman O'Brien advised the Committee also suggested the County consider the sale of unnecessary or unsuitable park properties; and inquired if there were specifics discussed; with Mr. Young responding no particular property was discussed; however, the general feeling is that the public would like to have more active parks rather than passive parks. Mr. Young advised the County is overloaded with passive parks and is well ahead of the Comprehensive Plan; so some of that property should be utilized by the public for active sports. He stated a lot of County property is sitting undeveloped; and park space should be made more suitable for use.

PRESENTATION, RE: ECONOMIC DEVELOPMENT COMMISSION REPORT

Economic Development Commission Executive Director Lynda Weatherman advised Chas Hoyman, Gil Russell, and Marilyn Waters, are here to present a three-year overview of the Economic Development Commission and outline their request.

Chas Hoyman, Past Chairman of the Economic Development Commission, advised Gil Russell, current Chairman, and Marilyn Waters, immediate Past Chairman, will also address the Board. He advised over three years Economic Development Commission has met or exceeded all the goals and expectations, was instrumental in creating over 2,500 new manufacturing-type jobs, and directly assisted 348 existing Brevard County businesses and manufacturers. He stated the new jobs have added in excess of $67,000,000 of payroll to Brevard County, which also has a tax impact; and for every dollar the County invested in economic development, there has been a $90 return in payroll.

Gil Russell advised they committed to come up with 400 new jobs, and have come up with 1,012 new jobs; they added four new municipalities, and increased their business membership with 50 additional new businesses; and they completed the Economic Development Commission office relocation from Corplex to Rockledge, which reduced the overhead by at least $10,000. He stated they developed and completed an economic profile which is in distribution; and they completed eight outreaches or trade and recruitment missions, and have two in process. He stated to date they have visited 133 existing industries; their focus is to continue to provide the Board with a return on its investment; and the return this year is $83 based on new payroll additions.

Mr. Hoyman advised Economic Development Commission is willing to make a commitment to bring in at least 500 new jobs in the next year, increase the business and municipal memberships, and update and enhance their publications to promote Brevard County. He stated they will conduct at least eight industrial outreach and trade show missions, sell Brevard County to targeted groups that have a high likelihood of wanting to relocate to Brevard County, and provide at least four seminars to existing manufacturers to enhance their ability to be more competitive throughout the country and the world. Mr. Hoyman advised it will take a County commitment of $450,000; and the County will get enhancement of the existing industry program and dedication of one full-time person involved with existing industries, because a significant portion of the growth in Brevard County is from existing industries expanding and developing. He stated they will expand the outreach program in excess of 100 this year, provide additional service in the sales and export business, and do a better job in selling products and services internationally; and they will also create additional new industry publications. Mr. Hoyman stated the second area of enhancement will be in commercial space, software deployment development, and high-tech outreach. He stated they have begun programs in flat panel display; and there is a wealth of information, knowledge, and opportunity in the high-tech area which they want to expand upon. He advised of the CD Rom that sells Brevard County to manufacturing space-type businesses; and stated they will work to distribute that, and develop a flat panel display publication. He stated the flat panel display is going to blossom in the next few years, and Economic Development Commission wants to be at the forefront; and with additional funds they will be able to do independent trade shows and get in front of people who are making decisions rather than compete with other areas of the State.

Marilyn Waters advised the most significant thing that has happened the past year is they made it to the big leagues with the industrial relocation project; and they have five major site relocations right now, with each project valued at over $200,000,000 of potential investment in the community. She stated they have a semi-conductor project, flat panel display multi-year effort, an aviation project, and one aerospace project, the Delta IV. She stated local industry has been very supportive of Economic Development Commission in working, attracting, and relocating those companies. She noted all of those projects required massive effort on the part of their resources, staff time, and support from the community. Ms. Waters advised the McDonnell Douglas effort is the largest site location in the country; Brevard County is one of four communities targeted for that project; and what it means is Brevard County is now on the map and in the arena, and site relocation people and manufacturers, nationally and internationally, are hearing about Brevard County and finding out about its resources. She stated to participate and get to the dais required a lot from them; the number of staff hours has been incredible; and it is in addition to their continued support of existing industries and other prospects which must be maintained at a high level. Ms. Waters advised correspondence generating information, data, and reports, and site tours have required a lot of time and energy and coordination; community involvement has been crucial; the formation of Team Brevard has been very powerful for Economic Development Commission; and they initiated that concept with the State, and the State liked it so much it adopted it as Team Florida. She stated Team Brevard continues to assist the Economic Development Commission as they are asked for more information from McDonnell Douglas; they are still asking questions which means they are still interested; and they estimate the effort to date has cost approximately $25,000 to $30,000 that was not budgeted. She stated they did not anticipate having the opportunity, but once it was there, they grabbed it and ran with it and do not want to let it escape. Ms. Waters advised the Commission looked at public fund comparisons of other economic development organizations in comparable communities they will be competing with; Broward County gets a million dollars in public funds; Polk County gets $900,000 for economic development efforts and $1.2 million for tourism efforts; Chattanooga, Tennessee gets $800,000; and Tuscaloosa, Alabama gets $500,000. She stated those are the kinds of groups they are competing with for site and relocations and economic efforts; so they feel comfortable coming to the Board today with the figure they requested. She stated the National Economic Development Association research tells them economic development organizations that serve communities the size of Brevard County have average budgets of 1.1 million dollars; last year the Economic Development Commission's budget was $550,000; so they are lean, and have created some phenomenal results with that budget. She stated they have a number of people here who have directly benefited and participated in those efforts; and asked them to stand. She stated economic development happens by design and focus; they have a great team with the community; and they can continue to broaden the base of economics so that Brevard County is positioned for continued appropriate growth throughout the future.

Chairman O'Brien inquired how else can the Board enhance Economic Development Commission's capabilities, besides the funding; with Mr. Hoyman responding the Board has done an excellent job over the last three to four years, and they have been able to achieve results by incentives such as the ad valorem tax abatement, permitting of significant projects, and a lot of other support.

Ms. Weatherman advised most profoundly highlighted is the Delta IV project, when they came to the Board on permit fees and asked for staff support. She stated staff created visual maps of the transportation system that will go to each site where the roll on and roll off ramp will be; and waiving of or addressing permit and building fees has had an overall impact that is hard to measure. She stated an acknowledgment that industry runs the tax base and creates the wealth base, and recognizing what Economic Development Commission can do to better make a pro-business environment, is hard to put in dollar figures; but it has made them significantly more competitive with the Delta project. Ms. Waters advised what she hears from companies frequently is anything that can be done on any government level to speed the permitting process and make it easier and more convenient for them is very significant because that saves them their most important asset which is time. Ms. Weatherman advised it is a profit and loss issue; if they cannot come in and make a profit that is reliable, they are not going to come; the cost factors in Mississippi are competitive right now; and the cost factors in Huntsville are pretty keen; so it is going to be a bottom line driven issue, in addition to having information ready and committing to the permitting, which made Brevard County a more competitive place that did not have impact fees.

Discussion ensued on streamlining the permitting process, requesting legislative support for other agencies to speed up that process, elimination of impact fees on commercial and industrial properties, coordinating with St. Johns River Water Management District and Department of Environmental Protection on permits, and reduction of duplication.

County Manager Tom Jenkins advised he discussed the permitting process with Henry Dean and offered rental space for their permitting section with the County's permitting people; they have taken that under consideration; and there has been discussion to try and avoid duplication, but their functions are different than the County's functions.

Discussion continued on having people devoted to a project of a certain size to save time, municipal building departments, and communicating with cities on processing of permits.

Commissioner Scarborough stated the County is competing in a global market; if people in Brevard County are high-tech and better educated, it will make for a richer more powerful community; the fastest growing area has been technology; and Brevard County has the labor base for that. He stated with the Economic Development Commission the County was able to re-direct with new relationships rather than die; the Delta IV project and flat panel display are exciting prospects; Brevard County could be one of four or five locations in the entire world where flat panel displays are considered if the Board continues to support the Economic Development Commission; and a commitment of up to $450,000 is minimal when competing to be one of the premiere communities for location of high technology. He stated the danger is a short-term bottom line year-to-year budget rather than looking for a dollar spent now creating an increased tax base in the future; and recommended the County Manager research the budget to determine if the request can be fully funded. Commissioner Voltz advised in the last two years the Economic Development Commission has been a tremendous benefit to the community and not just an expense; it has been an investment in the community; and supported full funding of the request.

Chairman O'Brien gave a scenario of the general fund offsetting costs of the golf courses which are used by certain people; and inquired if it would be fair for the Board to fund economic development, which impacts the entire County, and increase it by $100,000, because golf is spending money without making money and economic development is investing money to make money.

Commissioner Higgs advised she supports economic development, but finds the request lacks specificity on outcomes; she wants to know what the $100,000 will produce in more detail than enhance existing industry; and the County's investment in golf may make money instead of lose it someday. She stated she will support the Economic Development Commission's request, depending on where the money will come from and what they will give the County.

Commissioner Scarborough stated there are very few things that can increase the tax base in the future; it is the only way to give what every politician promises, lower taxes and higher quality of life; and an increased tax base comes from high-paying jobs. He stated Brevard County is at the apex of the biggest project in the United States; it is going to get publicity from it; and the Board should not short-change the Economic Development Commission by $100,000 if it wants Brevard County to be what it envisions it to be.

Commissioner Cook advised what the Board deferred in impact fees and gave the Economic Development Commission increases its budget; however, the key to economic development is regulatory reform; and the tax abatement was a big help. He stated he does not object to looking at an increase, but wants to know where it will come from.

Mr. Jenkins advised, because of frugal efforts on the part of the Library staffs throughout the County, a significantly larger cash forward than initially anticipated may result; Ms. Wall did an assessment of current commitments of the Library System, including Mims, Scottsmoor, Suntree, and South Beaches, and indicated the Board could implement a 1.5% decrease in the Library millage which would generate sufficient funds to cover the Economic Development Commission by raising the General Fund millage enough to generate $125,000 with no increase in taxes.

Commissioner Cook stated there should be $100,000 in the budget that can be cut. He stated he wants to look at Constitutional Officers budgets because he is not convinced there is not some fat there. Mr. Jenkins stated they would reduce the Library budget; with Commissioner Cook responding but it would raise the General Fund, and he would rather do it without raising the General Fund. Commissioner Higgs stated the Board needs to determine its priorities. Commissioner Voltz stated almost all the departments had decreases in their budgets with the same money coming in. Chairman O'Brien stated Property Appraiser Jim Ford increased his budget by 5.6%. Commissioner Cook stated the Sheriff's budget increased by $3 million.

Discussion ensued on what makes up the tax base, increased wages, purchase of homes instead of trailers or multi-family units, better jobs increasing community standards, services and products, crime being a drain on the economy, quality of life, and jobs for students.

DISCUSSION, RE: PUBLIC SAFETY PROPOSED FY 1997-98 BUDGET

Budget Director Kathy Wall advised the preliminary budget for Public Safety has an overall decrease of 3.76%; and it was achieved with no millage increase and funded program changes.

County Manager Tom Jenkins advised the opening of Viera East Fire Station has been postponed to October, 1998 due to an eagle living on the site, but after a certain period they can build on the site and it will no longer be an issue.

Commissioner Cook recommended a second opinion rather than taking an opinion from one expert who says the County has to wait six months. Commissioner Higgs requested information if it is the same eagle talked about during the DRI process.

Mr. Jenkins advised they are proposing to place three-person stations in several locations on a selective basis and within existing resources in order to avoid operating additional stations; and there were discussions with some cities where the County was told to bring the level of service up to the same level as the cities so there can be an automatic aid agreement with them, where they will respond in unincorporated areas and the County will respond in incorporated areas. He noted as they can afford to do it within the existing rolled-back rate, they propose to go to three-man crews. Mr. Jenkins advised they are also looking at cost-effective innovative ways of doing things such as establishing an auxiliary fire fighters position as a volunteer reserve fire fighter and EMT where they will get training and not be paid a salary, but perhaps a stipend. He stated they also changed battalion chiefs to district chiefs and put them in fire stations in their districts where they will be able to respond to calls, but not just in one fire station, as they will move around within their districts. Mr. Jenkins proposed a phased-in approach to compensate cities that are providing aid in advance as first responders; first responders are extremely important because they can get to the scene quicker than an ambulance in many instances; and staff is considering a phased-in approach to reimburse cities for direct costs incurred in providing that first response, as they have to be either ALS certified paramedics or can operate the defibrillator and other things. He noted they received favorable responses from the cities; fire chiefs from the County and cities have been working on ways to improve cooperation and maximize use of fire fighters; and the only way to do that is through a cooperative effort with the cities.

Commissioner Cook inquired if they requested to be paid; with Mr. Jenkins responding in the first year the County is proposing to pay for their expenses for medical supplies and their medical director expenses; and it is an important step to hold together a Countywide coordinated emergency medical system. Mr. Jenkins advised in Fire Prevention, they eliminated two fire inspector positions because of the decrease in workload as a result of some actions taken this current year; there were some changes in training for personnel; and Court Alternatives has some modest acquisitions and received one position from his office who did the jail population oversight and other criminal justice activities. Commissioner Cook inquired if the quarter of a million dollars for first responders is new money; with Mr. Jenkins responding it is from the existing EMS assessment rates.

Discussion ensued on requirements for first responders, the enclave between Cocoa Beach and Patrick Air Force Base being a problem area, extraordinary cooperation from city fire chiefs, unfunded third person for Suntree, Mims and Windover, automatic aid agreements with cities providing long-term savings, providing three-man crews on incremental basis, service standards, and budget proposed at 3.76% decrease but with about a million dollars from the General Fund.

Commissioner Scarborough advised of an incident when trying to buy a computer for his office where the State contract price was higher than a local store's price; and stated purchase of little things could be scrutinized by department heads. Commissioner Cook advised of a similar situation with a speaker phone for his office; and Commissioner Voltz noted inability to buy things locally and save money. Mr. Jenkins advised of requests to departments to downsize fleets, transfer computers to other users with purchase of new computers, streamlining of operations, and providing flexibility to buy items at a cheaper price with some level of controls.

The meeting recessed at 11:35 a.m. and reconvened at 11:50 a.m.

DISCUSSION, RE: SHERIFF'S PROPOSED FY 1997-98 BUDGET

County Manager Tom Jenkins advised the Board asked staff to meet with the Sheriff to resolve budget issues; Ms. Wall, the Sheriff, and his staff worked together diligently to accomplish that; and they got the Sheriff's General Fund increase down to approximately 1.8 million dollars, and of that approximately $900,000 are items the Board committed to such as the step plan, opening the rest of the minimum security facility, and several grants and programs approved during the year. He stated they went through the Sheriff's budget and pulled out items identified as long-term capital items with a life of ten years or more and used a one-time funding mechanism for those items; the theory is some of those costs would not be recurring; and it helped to come to a compromise with the Sheriff. He stated the law enforcement MSTU millage is at roll back.

Commissioner Cook inquired if the budget is $2.7 million over last year's budget, including what the Board already committed to; with Budget Director Kathy Wall responding yes, because they have additional revenues they are maximizing which were not used in previous years. She stated the second dollar money or $2 fee added to traffic tickets is $15,561, and must be used for training personnel of the Sheriff's Department; the School Board transferred $93,000 to support the SRO Program; the inmate welfare fund for sale of goods through the commissary is $15,000 and is used for the welfare and benefit of inmates; and the use of inmate telephone charge is $157,895 collected from inmates. She noted that helped to supplement the Detention Center's budget to fund operations of Quads 3 and 4 of the minimum security facility. She noted the forensic contract is $20,000 with Circles of Care for inmate evaluation; inmate medical reimbursement is $14,400 from the State; social security contract is $5,000, sale of goods and services is $9,100, fingerprinting charges are $4,000, and administrative charges for some contracts are $74,000 for a total of $576,890 in new revenues for next fiscal year. She stated it helped to supplement the Sheriff's budget and reduce the general fund request.

Commissioner Cook inquired if the request is for 80 new cars; with Sheriff Phil Williams responding it is for 99 vehicles. Commissioner Cook inquired about personnel; with Sheriff Williams responding 4 agents, 1 aviation mechanic, and 6 correctional officers. Commissioner Cook inquired about the new DARE officers; with Sheriff Williams responding they are not new positions, but transferred from Special Law Enforcement Trust Fund to the General Fund on a legal opinion from the Florida Sheriff's Association.

Chairman O'Brien inquired about the effectiveness of the DARE Program; with Sheriff Williams responding there are recent nay sayers on the effectiveness of the program on a national level; however, his office has not qualified that although the program has been in effect for at least six years. He explained the program, what the officers do, and the possible qualifying measures over time, noting there are a lot of drug users and criminals they are dealing with now who did not have that exposure. Chairman O'Brien inquired what does it cost per year; with Sheriff Williams responding $148,000 for three salaries in 1997 and $133,000 proposed for 1998; and some program costs are funded by seized drug money.

Discussion ensued on the DARE program, duties of officers, contributions, funding, seizures on I-95, the K-nine unit, operations with Florida Highway Patrol, personnel, programs to improve vehicle usage and reduce mileage, purchase of boats with seized drug money, and downsizing of vehicles.

Commissioner Cook inquired if the request next year will include a lot of new personnel; with Sheriff Williams responding he was asked by the Board to break down his original request for 4.6 million dollars and 29 personnel over three years; they are at 1.87 deputies per 1,000 residents now; with the additional deputies they will be at 1.90; but as the population increases over the next three years, it could be 1.76 deputies per 1,000 residents. He stated hopefully Economic Development Commission will bring in new growth to offset the services that would be required. Commissioner Cook inquired if 1.90 include city officers; with Sheriff Williams responding no, the cities have 2.13 officers per 1,000 residents.

Commissioner Higgs advised she would like to have real results of what the increase in funding and personnel means in terms of crime; and suggested the Sheriff commit to providing the Board with those statistics, violent and non-violent crimes, from today to next year and break it down in terms of areas of the County. Sheriff Williams advised they are doing that and moving towards each precinct submitting quarterly reports by zones. He stated he would need until January 8, 1998 to determine what happened in each precinct and zone for last year by the number of calls, number of crimes, and solve rate. Commissioner Higgs inquired if there is a way to give the Board information on successful prosecution of people arrested by the Sheriff's Office; with Sheriff Williams responding the State Attorney's Office may file 66% of the cases, but improved quality of investigations should improve that percentage and conviction rate. Commissioner Higgs requested information on filings and a report on revenues, citations, arrests, etc. by January, 1998.

Commissioner Scarborough advised one of the goals is to have the best investigative forces in Brevard County; convictions go back to the original officer who put the paperwork together; and he hopes the Board does not stop here and goes forward toward those ultimate goals. Sheriff Williams noted large corporations that move in here want to know the statistics on burglaries, solve rate average, etc.

Commissioner Cook inquired about storefronts in malls and evaluation of that program, and if uniform deputies are used at those locations; with Sheriff Williams responding it uses staff volunteers; the Uniform Division is in and out of Merritt Square Mall but not assigned there; the COP Program on Merritt Island is going well; the deputy in the window is a mannequin; and deputies in the South Tropical Trail and East Merritt Island areas can plug computers into the phone line and enter their reports at the Mall without having to drive to Titusville. He stated the deputies are not assigned to the malls, but are there from time to time answering questions and handing out materials.

The meeting recessed for lunch at 12:25 p.m., and reconvened at 1:35 p.m.

DISCUSSION, RE: DIRECT SERVICE CHARGES TO SOLID WASTE MANAGEMENT

Commissioner Cook advised of a letter from Finance Director Stephen Burdett on the costs for providing Solid Waste services, and that he requested Ms. Wall provide the formula used to determine those costs.

Budget Director Kathy Wall advised the calculation of the direct charges for services is based on legitimate costs associated with providing services to Solid Waste from the General Fund; and they based it on the ratio of operating expenditures of Solid Waste to the adjusted operating expenditures of the entire County for general government services. She stated for Human Resources, they based it on the number of full-time equivalences the Department has; and Information System charges were based on the usage by the Department. She stated they do have a legitimate way that they used to develop those direct charges.

County Manager Tom Jenkins advised Mr. Burdett used "indirect costs"; these are not indirect costs and are direct charges; and he used a different title than what staff is proposing. He stated another standard or benchmark the Board could consider is what the other 18 jurisdictions are doing in terms of what is in the proposed budget; and it is very comparable to what those 18 counties are doing and have been doing.

Commissioner Voltz inquired why the County did not do it before; with Mr. Jenkins responding the County has been charging PILT, but not near the proposed amount, and seized the opportunity this year when they became aware of it.

Commissioner Cook advised Mr. Burdett said there was a significantly less cost in the Budget Manual which was not anticipated; with Mr. Jenkins responding he used $3.7 million number as indirect costs, and it is direct costs. Commissioner Higgs stated he is also talking about PILT. Commissioner Cook recommended the Board ensure those costs are fully justifiable and that it is not just transferring funds in order not to scale down and face the problem. He stated the Board needs an opinion from the County Attorney and comments from the Financial Advisor because it is a huge increase.

Commissioner Higgs advised the proposal Mr. Burdett looked at is different from what Ms. Wall presented today in terms of dollars, source of those dollars, and title of it; PILT is different from direct charges as presented in the memo today; Mr. Burdett is not evaluating what the proposal really is; and the Board should send him what it is all based on if it wants a meaningful comment from him. Commissioner Cook agreed; and Commissioner Scarborough stated there may be a legal question, but it is primarily how it is calculated. Chairman O'Brien advised the memo says, "Your calculation of the direct/indirect cost of general government functions which support solid waste fund. . ."; so Mr. Burdett is not talking about PILT.

Discussion ensued on direct and indirect costs, funding mandated services only, County Departments taking the majority of cuts each year, other branches of government not reducing their personnel or vehicle and equipment needs, and an outside authority to certify the proposed costs.

Commissioner Scarborough inquired if there is an authority that can come in and certify the costs as legitimate; with County Attorney Scott Knox responding if the Board needs an authoritative opinion from someone who has the ability to make that determination, it can ask for a declaratory statement from the Department of Banking and Finance which passes the rules that authorize those kinds of things. Commissioner Scarborough stated the Board will set the tentative millage on Tuesday; and he would like to have it resolved by then; with Mr. Knox responding the Board will have his opinion which is fairly clear that direct charges are allowed. Commissioner Cook stated the Board needs someone authoritative on the outside to look at the costs being proposed and provide an opinion that those are legitimate costs rather than the County saying they are legitimate. Mr. Knox advised it is legal to do, but there are parameters under which the Board can do that; with PILT the Board needs a formula that is used by similar businesses in the community; the alternative is to charge costs for services provided by Departments; but it has to be a legitimate cost based on actual services provided. Discussion continued on obtaining an outside consultant to analyze the costs, and alternative options if the direct charges proposal is not legal.

Motion by Commissioner Cook, seconded by Commissioner Scarborough, to authorize staff to hire an independent financial person to review direct and indirect costs of general government services provided to Solid Waste Management Department. Motion carried and ordered unanimously.

Motion by Commissioner Cook, seconded by Commissioner Voltz, to send the information on direct charges to Solid Waste Management to the Clerk of the Circuit and County Courts for review and comment. Motion carried and ordered unanimously.

DISCUSSION, RE: LIBRARY SERVICES FY 1997-98 PROPOSED BUDGET

Chairman O'Brien advised last year the Board was told it should anticipate 1.1% increase in Library Budget once the libraries were all done.

County Manager Tom Jenkins advised people have said the Board would have to increase taxes for libraries, but it has not had to increase it yet; they did a two-year budget analysis to see if it would increase; and the Board does not have to raise library taxes for the foreseeable future.

Chairman O'Brien advised the reason he brought it up this year is because of his concern with what may happen in the future if the Sheriff wants an additional million dollars and the Fire Department needs more money for three-man crews per truck. Mr. Jenkins stated they do not see an increase in the library services budget for the next year or the year after because they have done an excellent job managing what they have and have been very conservative and frugal while absorbing a significantly amount of growth.

DISCUSSION, RE: MANAGEMENT SERVICES FY 1997-98 PROPOSED BUDGET

Senior Budget Analyst Neil Boynton advised the Management Services Department combined budget reflects an approximate 14% reduction from the current budget due to elimination of 12 positions. He stated Fleet Services combined programs and reduced positions from 34 to 27; Purchasing and Property Control eliminated six positions; and transferring the agenda preparation to Management Services from the County Manager's Office added an equivalent of one position. Mr. Boynton advised a number of changes were made to conserve funding, including decentralization of purchasing, contracting some of property control services, right-sizing fleet services repair and maintenance functions, and combining fleet service auto and equipment parts with the former fuel systems program. He stated those changes resulted in an overall reduction of $798,000; and the only program change that added money to the budget is the request to acquire new diagnostic equipment which is necessary to provide diagnostic services on modern vehicles that have a lot of computer chips and cannot be diagnosed with older equipment.

Commissioner Voltz inquired if employees are being laid off or positions not filled; with Mr. Jenkins responding they are existing filled positions; in most cases they are able to place employees in other vacant positions in other Departments; and the Tax Collector is looking at a few employees to fill vacancies; however, he cannot say absolutely that every employee will get placed, because there may be unusual circumstances or sometimes it is a mutual decision. He stated most employees with good performance records get placed unless there is a unique circumstance. Mr. Jenkins advised historically they have not laid off anyone, but he cannot say they will not lay off one or two people; and if they do, it is because of circumstances that suggest it is the best course of action for both parties. Mr. Boynton advised there are four retirees in the group of positions eliminated.

DISCUSSION, RE: MOSQUITO CONTROL FY 1997-98 PROPOSED BUDGET

Budget Analyst Mary Brant advised the Mosquito Control Department's focus for the upcoming year, in addition to normal mosquito control efforts, will be on the cleanup of old Mosquito Control complexes located at Melbourne and Merritt Island Airports; and the preliminary budget increase of approximately 5% is attributed to an increase in balance forward and corresponding increase in Capital Reserves necessary to fund the cleanups. She stated the Department has no program changes.

Commissioner Scarborough advised Brevard County had a warm winter and wet summer, and inquired if Mosquito Control will have particular problems this fall; with Mosquito Control Director Jim Hunt responding they already have problems with encephalitis; they have one chicken who tested positive from the Lake Washington area; and they had another one in Valkaria and a second in Lake Washington that are tentative and have to be confirmed. Commissioner Scarborough inquired how is the Department's funding in the event of an emergency; with Mr. Hunt responding the entire reserve fund is geared to cleanups at Merritt Island and Melbourne Airports, so they have no reserves.

Commissioner Higgs inquired how much would a breakout of encephalitis cost; with Mr. Hunt responding he could not give a figure, but it would be tremendous. He stated in the first week since they had the one case at Lake Washington, their aerial spraying has cost $69,000 in one week; and if they have to continue for the rest of the year, they would absorb the entire insecticide budget of $500,000 in the first three months. He stated it has never started this early before; they will still be into it in October and November and will use a lot of the reserve fund; however, it will not hurt this year's budget because they have a large reserve, but it will next year. Commissioner Scarborough requested Mr. Hunt keep the Board posted on the problem.

Commissioner Higgs inquired when will the information be released to the public; with Mr. Hunt responding that is done by the Health Department. He stated if the results come back positive again, the State will release the information, but it will not do it without confirmation.

DISCUSSION, RE: SUPERVISOR OF ELECTIONS FY 1997-98 BUDGET

Budget Analyst Mary Brant advised the preliminary budget for the Supervisor of Elections reflects an overall decrease of 7.6%; a substantial part of the decrease is the $120,000 attributed to the identification of a one-time funding source for the request of software upgrades; and the software is included in the FY 1997-98 General Capital portion of the General Government Services. She stated there are two unfunded program changes requested--the electronic voter counting machines at $250,000, and a contingency of $50,000.

Supervisor of Elections Fred Galey advised the electronic counting machines will save money in the long term and make it easier for voters to not accidentally lose their votes. He stated as the County continues to grow it will eventually have to purchase those machines; but if the Board does not want to do it, that is fine; and he will continue to buy more cards than any other county in the State.

Commissioner Cook advised Marge Stump said they returned $120,000 because they did not have a runoff election; and inquired where that is included; with Mr. Galey responding it is not in this budget; that $120,000 was taken and put in a separate account where he does not have signature authority, but that is not the same $120,000. Ms. Wall advised the $120,000 that will be returned DISCUSSION, RE: SUPERVISOR OF ELECTIONS FY 1997-98 BUDGET (CONTINUED)

to the County this fiscal year is in the General Fund as cash forward. Commissioner Cook advised the Board is told the cost of a primary election is $239,000 and a special election is $240,000; but for the runoff election, only $120,000 is being returned; and inquired what is the disparity; with Mr. Galey responding the difference in printing, reduced number of poll workers, less cards, etc. Mr. Galey stated he always estimates high because he never knows what will happen, and it is easier to give money back than to request a shortfall.

Discussion ensued on the number of elections in the budget, the list maintenance conducted in off years, mailing costs, advertising, absentee ballots, special district elections, start up costs, payroll, city elections, additional precincts, IRCC Election, Suntree Election by mail, no mail elections for candidates, $50,000 difference in off year and election year budgets, and purchase of Gateway 2000 personal computers and printers.

Commissioner Cook requested a breakdown on the $120,000 versus the $240,000 costs for special and runoff elections, a breakdown on the computer upgrades, and a breakdown on the costs for services provided and/or performed in off years. Mr. Galey noted Ms. Stump will provide the information.

DISCUSSION, RE: CLERK OF THE COURTS FY 1997-98 BUDGET

Budget Analyst Mary Brant advised the Clerk of the Courts budget increase is 1.57% including increase in the General Fund support of about 2%; the primary cause is for purchase of computer equipment and software; and the County reduced the Clerk's capital outlay request by $79,000. She stated during the year, the County entered into an Agreement with a private company to collect outstanding debts; in an effort to increase those collections, the County Manager recommended offering an incentive to the Clerk that would permit the Clerk to retain a percentage of the collections; that arrangement would benefit the County and the Clerk and would result in increased revenues generated through collection of the debts. She stated it would also provide a mechanism for the Clerk to generate funds needed to purchase capital equipment.

Clerk of the Circuit and County Courts Sandy Crawford advised there is not that much money available in those debts; most are uncollectible; his staff is working with the County to send those to a collection agency and made agreements with that agency; and they went out with the Public Defender's fees and animal control fees, but will work on traffic citations. He stated it would be giving him something he cannot collect on; he is not a collection agency; and it would not add much to what the County reduced. Mr. Crawford advised about $200,000 was cut from his requested budget; $79,000 was the reduction in capital and $120,000 was a reduction in pay increases; and inquired if the Board is not planning to allow pay increases next fiscal year; with Ms. Wall responding no, they have a reserve fund in the General Fund where those funds are. Mr. Crawford advised last year they did the same thing, but he did not get any of those funds; what was promised him in pay increases last year he did not receive; and he needs something to assure that he can at least give his people increases even with the cost of living increase. Ms. Wall advised last year the pay arrangement was if a Department needed the money they would ask for it. Mr. Jenkins advised he asked Departments to try and fund the increases themselves, and many Departments did. Mr. Crawford stated that word did not get back to him. Commissioner Cook inquired if the Clerk gave pay increases last year; with Mr. Crawford responding he gave 1 to 2% increases by judicious operation and reduction of personnel. He stated they went from 300 to 294 employees last year with increased tasks; moved to the Justice Center and had one more judge and two special masters; and they took on the maintenance of the network system for the Public Defender, connected the State Attorney's Office, and have all the judicial system and judges connected to the network, and through the County Library System, to the Internet. Mr. Crawford advised access to the Internet has helped his Office with minutes and records and getting information out; however, he had a lot of problems with power fluctuations in the Justice Center, which caused replacement of equipment last year at about $7,000. Commissioner Voltz inquired if there was insurance for that; with Mr. Crawford responding he did not get a recovery, but the County may have. Commissioner Higgs inquired if it was a Florida Power & Light Company problem; with Mr. Crawford responding no, he put more people and equipment in the Justice Center to move files down there, as well as EDP operators, so they do not have to bring the files to Titusville for data entry; but with the consolidation of judges and files, he was able to bring people together and use them better than when they were spread all over the County. Mr. Jenkins advised Mr. Muller is working with the Clerk to add power to that facility; they are finalizing the volume the Clerk will bring to the building; and Mr. Muller will upgrade the electrical system to accommodate the demand.

Mr. Crawford advised he combined operations at the Justice Center and was able to reduce personnel to give increases without getting funds from the Board; however, it gets tighter and tighter; and he is between a rock and a hard place on what he can do for his employees. He stated they should get at least a 3% increase because the cost of living is about 3%; and if he does not give them that, then they would get a decrease.

Commissioner Scarborough advised last year the Board asked the Departments to do what Mr. Crawford did so it was not out of line; however, those Departments that are too small to effect cost savings had money set aside for salary increases; so he hopes Mr. Crawford does not feel slighted. Mr. Crawford stated he is not concerned about last year. Commissioner Scarborough stated one thing that concerns him is the degree of equity among all County employees including those who work for Constitutional Officers; it concerns him when a uniform message does not go out to everyone because it is unfair for a person working in one part of the County to get a raise and another does not; and he hopes that whatever comes forth will be a uniform communication and understanding with all Constitutional Officers. He noted in the past there was a freeze on raises and the Clerk at that time proceeded to give increases; and that is fundamentally wrong. Mr. Crawford advised he heard the same thing, but he is at the point where he cannot absorb those costs and still have funds to give people deserved increases; and requested the Board decide what it will do before September 30, 1997. Commissioner Scarborough stated he would like to discuss coordination with all Constitutional Officers the salary philosophy of the Board.

Discussion ensued on salary increases on anniversary dates, implementation later in the year, other options that were considered by the Board including lump sum payment, and being uniform with implementation of salary increases for all employees.

Mr. Jenkins advised the proposal this year is to provide a portion of the funding for salary increases, not all, but a significant portion.

Mr. Crawford advised he has equipment problems; and if the Board keeps cutting back on upgrading and putting in new equipment, his office will not be able to operate efficiently. He stated some of the equipment in County Finance is old with old scopes; he cannot keep using the 286's and speed up payments as the Board suggested; and unless he can speed up the way the data is processed, those operations will not improve.

Commissioner Scarborough advised the unfunded program changes says none; and inquired if Mr. Crawford requested computers; with Mr. Crawford responding they were in the budget he gave to the Budget Office. Mr. Jenkins advised a portion was funded and a portion was not. Mr. Crawford stated $79,000 was not funded. Mr. Jenkins advised there were hardware and software requested; and the County funded components of each one of the requests by an equal amount so each of his agencies got the same amount on a pro rata basis for their hardware and software. Mr. Jenkins stated the Clerk's Office is the prime generator of information needed to collect bad debts; the Clerk is the provider of information in the two or three areas he previously mentioned; the County cannot collect those debts if it does not have that information; so the concept was designed to give the Clerk's staff an incentive to generate the information and turn it over to the collection agency, and if successful, the Clerk would participate in the rewards. Mr. Crawford stated his staff is moving as fast as possible to get that data out to the collection agency, but whether or not those are valid debts that will be paid is highly improbable.

Commissioner Cook questioned the $48,000 funded for additional computer equipment and software, and an additional $78,000 for an increased allotted cost for the Public Response Center. Mr. Crawford advised the costs of the Public Response Center were reallocated to offices that use the service; 17 people answer the phones all day and provide the public with information; and those costs are being reallocated across the operations where the questions come in as he gets more analysis on how the operations take place. Chief Deputy Clerk Jim Giles advised it has shifted to the County Courts from County Finance as more inquiries are made about the courts, but it is close to a wash.

Mr. Jenkins advised the reductions in the Clerk's budget are shown in parentheses; for County Court the reduction is $39,567; and there are others under Finance, Minutes and Records, and Internal Audit. He noted they reduced each a pro-rated amount and gave some to each area. Mr. Crawford advised he did not ask for more than he needed, and what he is not getting will have to be absorbed; and his office would probably work less efficiently with the use of 286's. Commissioner Scarborough offered to allow Mr. Crawford to have the computer ordered for his office in exchange for a 286 from Finance; and recommended a cooperative effort to exchange computers where possible, providing the more powerful equipment where needed and the older equipment to those who primarily do word processing. He stated if it is usable it should not be discarded, but moved to a function that does not require a more powerful computer. Mr. Crawford advised he does that within his office, but not with County Departments; the speed requirements and data transfer requirements are increasing rapidly; and the older machines cannot do the job. He stated he is in the process of putting imaging in the court system so they can enter documents and people can key in and look at them, but he cannot do it with slow machines. Mr. Jenkins advised Commissioner Scarborough was not asking the Clerk to do with less, but suggesting his office do with less and give the Clerk the bigger computer. Commissioner Voltz advised the 286 is outdated. Mr. Crawford noted the minutes, agendas and audit reports are on the Internet, and anybody can access those 24 hours a day.

DISCUSSION, RE: NATURAL RESOURCES MANAGEMENT FY 1997-98 BUDGET

Budget Analyst Mary Brant advised the preliminary budget for the Office of Natural Resources Management increased by 1.2% due to reduction in grant revenue; Environmental Regulation and Compliance Section decreased by 6.5% due to anticipated reduction in State funding; Environmental Permitting Section is projecting an increase in revenue for services due to growth and is not requesting federal fund support; and the EEL Program increased 3.5% primarily due to the addition of three full-time positions which were included in the budget pending Board approval of the Sanctuary Management Plan, and assuming responsibilities associated with the operation of Erna Nixon Park which was previously part of Parks and Recreation Department's budget.

Chairman O'Brien inquired why is Erna Nixon Park being moved from Recreation; with County Manager Tom Jenkins responding because it is a natural preserve and almost identical to the type of properties being acquired under the EEL Program. He stated the use of the park is Identical to the use of EEL properties; and it seemed logical to tap into the expertise of EEL staff to manage it. Commissioner Cook stated Erna Nixon Park was not bought under the EEL Program; and he would like to have an opinion on that, because when the people voted on the referendum, it was for acquisition and management of properties bought under the program and not to encumber other properties from another program. Commissioner Scarborough requested a legal opinion; with County Attorney Scott Knox responding the Board can use EEL funds to maintain a project. Commissioner Higgs indicated it is dangerous to expand the program for properties acquired in other ways, but there are CARL funds. She noted it is the same nature as other EEL property, but the Board needs to be careful when it starts doing that.

Chairman O'Brien inquired what are the grants the County is not getting; with Conrad White responding the Beach Renourishment feasibility project, as that task is completed; and the Manatee Protection grant was dropped by the State. Mr. White stated there were also reductions in Scrub Jay Habitat Conservation Plan (HCP) funding from $100,000 to approximately $30,000; and the budget reflects those grant funds. Chairman O'Brien inquired if someone was hired for the HCP task; with Mr. White responding a consultant from F.I.T. did the majority of the field work, and they had an economic advisor who did some work to determine if it is feasible. Commissioner Higgs advised they also had a person who wrote the plan. Chairman O'Brien stated it does not affect the budget; with Mr. White responding it reflects reductions in revenues and expenditures. Chairman O'Brien stated if it is over, then it can be taken out of the budget and is not an excuse to increase the budget; with Mr. White responding it is not an increase, but a decrease in the budget of 28%.

Commissioner Cook inquired if the three positions are for the Nature and Education Centers; with Mr. White responding yes. Chairman O'Brien stated there are seven positions under the EEL Program, four people at four locations, two secretaries, and one coordinator. Commissioner Voltz inquired if there is a percentage of the funds that can be used for administration; with Environmental Services Administrator Stephen Peffer responding the first thing they must do is pay the debt service, and beyond that the funds can be used to support the program which includes additional capital improvements, operation, and maintenance. Mr. Jenkins advised the percentage would be a policy decision of the Board. Commissioner Cook stated the Board could cap administration at a certain percentage. Commissioner Voltz indicated staff could come up with a percentage they will need. Mr. Peffer advised it is part of the Sanctuary Management Manual which has a long-term financial plan and attempts to show the Board what the operation and management expenses intend to be over the long term. He stated a number of decisions that reflect on the budget have yet to be finalized by the Board, so it is a preliminary budget based on staff's recommendations and what is provided in that Manual, which has yet to be decided upon by the Board. Commissioner Higgs inquired if the Board will discuss the manual before finalizing the budget; with EELS Coordinator Duane DeFreese responding it is proposed to come to the Board on September 9, 1997.

DISCUSSION, RE: PARKS AND RECREATION FY 1997-98 BUDGET

Budget Analyst Shai Francis advised the preliminary budget for Parks and Recreation has an overall decrease of 9.92%; no tax increase is requested except in District 1 which has an increase of 13.84% from the rolled back rate for operation and maintenance of athletic fields at the Off Road Vehicle Park and a community center. She stated there are several unfunded program changes being requested, such as the 800 MHZ radios, mowers, tractors, replacement playground equipment at Rotary Park on Merritt Island, replacement lighting and fencing at Kiwanis Island Park, replacement pickup trucks, and improvements at Taylor Park in Rockledge.

Commissioner Cook inquired about equity in distribution of General Fund support for Recreation Districts; with Parks and Recreation Director Charles Nelson responding at this point the budget is prepared at status quo, so there has not been any movement towards that; the Board discussed it several times, but the problem is it is a difficult policy question; and there is nothing in the works that they are currently doing to equalize distribution. He stated they can update their information on where those numbers would fall based on previous reports if the Board would like to discuss it further. Commissioner Cook recommended staff do an update for discussion by the Board.

Commissioner Higgs advised the budget includes converting 21 volunteers at the golf courses to part-time positions at a cost of $152,000. Mr. Nelson advised staff is proposing to do that as the audit finding raised the issue of whether or not those are considered employees and should be compensated or treated as employees under IRS Rules. He stated they had problems with the numbers and whether they were getting their money's worth out of the volunteers, as they were receiving free rounds of golf for services provided, but were not being held to the same standards as employees. He stated the perspective was the County was not getting its money's worth; it is a hard program to manage and created greater problems than having employees they could control and schedule accordingly; and for that reason it was proposed to go with paid staff for a higher quality of work and control. Commissioner Higgs inquired about the issue with IRS; with Mr. Nelson responding the indication from the County Attorney's Office is they would need to do the 1099 form and report it as income. Commissioner Higgs inquired if the County has to pay FICA and other associated costs. Chairman O'Brien inquired if the County could give them free rounds as gifts for their volunteer services; with Mr. Nelson responding he is not sure the County could grant gifts in the same fashion as an individual can to a child or relative. Commissioner Cook recommended staff check out the gift option, as those people will become permanent with benefits, retirement, and other recurring costs each year. Commissioner Voltz stated those people who volunteer at the golf courses love what they do. Commissioner Higgs advised it is a management issue; and staff needs to emphasize how to manage those people as opposed to getting rid of them. Mr. Nelson advised an issue in the audit stated there was an indebtedness to the course for the hours worked and earned by employees; and the County was giving away a higher value than it was getting. Commissioner Higgs indicated it could be a problem with the structure of the system as opposed to using volunteers; it is hard for her to consider transferring $152,000 from the General Fund to the Golf Operations when the County can use volunteers, even though she understands the problem.

Golf Operations Director Gene Burress advised what is given away with rounds of golf is far greater than $152,000. Commissioner Cook requested a study and follow up of the gift option or another mechanism to satisfy the audit criticism. Mr. Nelson stated the value of time earned and what they are receiving is probably the biggest issue because that is what makes it a large deficit for the County and indebtedness for the golf course. Commissioner Higgs noted it would be painful to change the way those volunteers perform if the County goes to a system where they do not get compensated as much as they have been. Mr. Nelson stated they did a value to value transition and that is when the volunteers went to Commissioners; and even though they would transition any time already earned at the old rate and the new time would be value for value, it was not well received. Commissioner Higgs suggested a value for value program rather than eliminating volunteers. Mr. Burress stated it is a difficult thing to manage; some volunteers refuse to do certain things and say they can walk if they do not like it; and it takes a full-time person at each course to manage the volunteers. He noted managing a part-time staff would be easier because they would have a schedule. Commissioner Voltz suggested getting a volunteer to manage the program; with Mr. Burress responding they tried that and there was extreme abuse. He stated the backlash from trying to put controls, restraints, and guidelines on it was awesome. Mr. Nelson stated they have to do something, so there may be more willingness to reconsider the program. Commissioner Higgs stated change of any kind causes anxieties, but the Board needs to look at that.

The meeting recessed at 3:00 p.m., and reconvened at 3:20 p.m.

DISCUSSION, RE: PUBLIC WORKS FY 1997-98 BUDGET

Budget Analyst Alicia Kahn advised the Public Works budget includes a reduction in General Fund support of 2.52% or $302,168; and other operating revenues decreased due to a reduction in grant revenue and a decrease in charges for services for city-related projects. She stated non-operating revenues have a decrease in balance forward because of anticipated project completions and lower transfers from impact fees. She stated there are several program changes; the Department requested a six-person new construction crew for Road and Bridge to generate excess revenues of approximately $423,000, allowing for reduction in General Fund support. She stated Road and Bridge is also requesting a three-person dredging crew, as approved by the Board earlier this fiscal year, and for additional capital equipment. Ms. Kahn advised Engineering Services transferred a position to Facilities Construction Management; Road Construction Services transferred a position to Internal Support Services, and is requesting purchase of a VCR camera to record projects through all construction phases; Surface Water is requesting a new position for the Countywide Drainage Services; Facilities Construction Management transferred a position from Engineering Services, and is requesting a part-time secretary; Building Services is requesting additional funding of $30,000 for utilities cost at the Medium Security Facility expansion; and Building Maintenance is requesting a new position which will be partially offset by reduced overtime, additional funding for repairs associated with the Health Department Facilities, and maintenance at the Animal Shelter, for a total cost of approximately $92,000. She stated Road Construction Services increased its LOGT revenue projection based on historical data, and is able to increase its transfer to Road and Bridge, thereby lowering its General Fund support by approximately $417,000. She stated an unfunded program change for Facilities Construction Management is to add a new position, and Building Maintenance to institute Phase I to demolish the old Titusville Jail. She noted the total unfunded program changes are approximately $87,000.

Commissioner Cook inquired why Road and Bridge assumed responsibility for Housing and Human Services for the North Brevard Animal Shelter; with Mr. Jenkins responding Facilities Management Maintenance will maintain it; and it moved from one budget to another.

Commissioner Higgs expressed concerned about the operation specialist for Facilities Construction, because if the County does not properly manage its facilities construction, it has bigger problems than $30,000; and requested a memo on that position and the cost of not funding it.

DISCUSSION, RE: SOLID WASTE MANAGEMENT FY 1997-98 BUDGET

Budget Analyst Mary Brant advised the Solid Waste Management Department's budget reflects an increase of 2.67% attributed to an increase in service fee revenues associated with customer growth; the budget for recycling decreased significantly due to a decrease in grant revenues; and there are no program changes.

Commissioner Cook commented the 2.7% increase is because of growth and not an increase in fees.

DISCUSSION, RE: TOURISM DEVELOPMENT FY 1997-98 BUDGET

Budget Analyst Shai Francis advised the budget for the Office of Tourism Development has an overall decrease of 2.6% due to reduction in estimated balance forward; the Office projected an increase in the tourist tax based on anticipated increase in hotel occupancy and average daily rates; and there are no program changes requested.

There was no discussion by the Board.

DISCUSSION, RE: TRANSIT SERVICES FY 1997-98 BUDGET

Budget Analyst Shai Francis advised the Transit Services Department has an overall decrease of 12.84% due to reduction in anticipated balance forward of grant funds; it anticipates an overall 2% growth; and there are no program changes requested.

There was no discussion by the Board.

DISCUSSION, RE: SHARPS PROGRAM

Commissioner Cook advised the County does not have an exchange program for collection of needles, called the "Sharps Program", for diabetics or people dependent on using syringes; and if they turn in the used sharp products in red boxes, the County is not supplying boxes back to them. He stated some counties are doing that; the entire cost of the program is about $9,000 a year; and inquired if the Board wants to implement the Sharps Program for exchanging boxes.

Commissioner Voltz advised they put them in boxes, tin cans, and plastic bottles and throw them out in their regular garbage. Commissioner Cook stated if they were given boxes without charge, it would stop that practice. Chairman O'Brien recommended Mr. Jenkins contact local hospitals to participate financially in the program; with Commissioner Scarborough responding it is a waste of time and effort for only $9,000. Commissioner Voltz stated Tri-Co used to do it and put boxes in homes, but it had a potential liability if children were to play with the needles and get hurt, so it no longer does that. She noted hospitals and home health agencies do not do it either.

Solid Waste Management Director Richard Rabon advised the additional cost would be marginal; they have approximately 20 drop-off sites and have them in all hospitals, public health units, fire stations, Solid Waste facilities, and at the Government Center; and Public Health has been giving boxes primarily to those who cannot afford to buy them. He noted the policy has been not to supply the boxes, but the overall increase would not be that much.

Motion by Commissioner Cook, seconded by Commissioner Scarborough, to implement the Sharps Program and provide exchange boxes at no charge to customers, with costs to be absorbed by the Solid Waste Management Budget. Motion carried and ordered unanimously.

Commissioner Scarborough stated it is a matter of public health. Mr. Rabon stated it is also a safety issue for his employees.

DISCUSSION, RE: WATER RESOURCES FY 1997-98 BUDGET

Budget Analyst Mary Brant advised the preliminary budget for Water Resources Department reflects an increase of 1.78% primarily due to growth; no change in service fee rate structure is anticipated during the five-year planning period; and in an effort to increase efficiency, the Department eliminated three full-time positions which are shown as funded program changes. She stated there are also other funded program changes requested for capital purchase, and no unfunded program changes.

Commissioner Voltz inquired if the three positions are current or on paper.

Commissioner Higgs advised the Board encouraged employees to work on cost-saving measures; Water Resources has done an outstanding job in controlling costs and keeping the Board from having to consider rate increases; it is now looking at reductions; and they should be congratulated.

DISCUSSION, RE: GENERAL GOVERNMENT SERVICES FY 1997-98 BUDGET

Senior Budget Analyst Neil Boynton advised the General Government Services budget increased 7.2% entirely because of the addition of a general capital improvements component at $2.6 million for one-time funding of one-time expenses.

Commissioner Voltz inquired what is General Government Services; with Mr. Boynton responding there are three components, Countywide general revenue, unincorporated general revenue, and Florida Power & Light Company franchise fees; monies received in those funds are distributed to areas of the budget as necessary; there is a second component of approximately $2.4 million of non-departmental type of expenditures that are not under the responsibility of any particular department; and the general capital improvements is part of this budget because there is no place else to put it.

Commissioner Cook inquired why was the capital improvements added to the budget; with Mr. Jenkins responding staff pulled out items that were capital items that could be funded from that source so the County does not continue to pay for them out of operating budgets; the other advantage is not artificially inflating operating budgets for the next year. Mr. Boynton advised it was done in previous years, but was passed through operating budgets and created spikes and valleys.

DISCUSSION, RE: SPACEPORT COMMERCE PARK FY 1997-98 BUDGET

Senior Budget Analyst Neil Boynton advised the budget for Spaceport Commerce Park is unchanged; any revenues generated by land sales and not used for debt service will be used for maintenance and small improvements; and that $20,000 is something of a contingency and does not include the debt service which is in the General Government Services budget.

County Manager Tom Jenkins advised it will be used for cutting grass, fixing signs, etc.

DISCUSSION, RE: PROPERTY APPRAISER'S FY 1997-98 BUDGET

Budget Analyst Mary Brant advised the preliminary budget increase is 3.90% primarily due to increases in compensation and benefits attributed to anticipated payment of benefits for several long-term employees expected to retire during the year. She stated the Property Appraiser's Office budget is reviewed and approved by the Florida Department of Revenue.

Commissioner Scarborough inquired why a long-term employee who retires negatively impacts the budget when the replacement of that employee would be paid substantially less; with County Manager Tom Jenkins responding the accrued benefit payout can be significant and will affect the budget. Commissioner Scarborough inquired if the position being filled by someone receiving less compensation is factored in; with Mr. Boynton responding to a certain extent it is. Mr. Boynton stated the Property Appraiser is looking at a lot of people that are going to retire next summer. Commissioner Scarborough stated some constitutional officers leave positions open and leave a slush fund that the Board does not know about.

Discussion ensued regarding accrued annual and sick leave, tangible property, vested rights, retirement, and negative impacts on the budget.

Commissioner Cook stated the County could not take away anyone's accrued annual leave that they already have, but it can start from this point forward and incorporate it into a policy. Commissioner Higgs stated the County could not say to the employee who has served 30 years and has accrued leave that it is gone. Chairman O'Brien stated the Board could approve a policy this year that beginning January 1, 1998 all employees across the board use their annual leave or lose it; and employees required to use their annual leave may create healthier employees. Commissioner Higgs inquired if the County Manager will be reviewing it and coming back to the Board; with Chairman O'Brien responding affirmatively.

DISCUSSION, RE: TAX COLLECTOR'S FY 1997-98 BUDGET

Budget Analyst Mary Brant stated the Tax Collector's budget is due August 1st; the budget as presented here represents the Budget Office's estimate of the 1997-98 budget; this estimate includes an increase of nearly 3% or $104,640 over the current fiscal year; and the Tax Collector's budget is reviewed and approved by the Florida Department of Revenue.

Commissioner Scarborough stated he had a discussion with the County Manager that the Board needs to know how the Constitutional Offices are operating; he is referring to the concept of what is a constitutional officer to a charter officer; the Charter recognizes these people in the Charter; and inquired why the Constitutional Officers under the Charter should not be required to give the Board certain breakdowns. He noted it may be a legal issue; Paul Gougelman indicated to the County Manager that it is within the purview of the Charter to give the Board further budgetary planning tools; and the data would be received in time for the Board's review.

Mr. Jenkins stated the Charter changed the name from Constitutional Officers to Department of the Charter with an elected official as the head of that Department; the Charter also states they shall be administered or operated in conformance with the requirements of the Constitutional Officer's status, unless the Charter provides otherwise; and if the Board wanted to change any of the Constitutional Officer prerogatives that they had previously as Constitutional Officers, it would have to get a Charter amendment to exercise those changes.

Commissioner Scarborough stated if the Charter Revision Committee recognizes the Board's budgetary needs for information, it is not much of an imposition on a Constitutional Officer whose impacted the General Fund to have to provide information before August 1st.

Mr. Jenkins stated the Tax Collector's budget is totally based on a percentage of the taxes he collects; and he returns approximately $2 million a year; and he has retained that constitutional status by doing his budget that way because the Charter does not say anything to the contrary.

Motion by Commissioner Scarborough, seconded by Commissioner Cook, to request the Charter Revision Committee consider the Board's need to have timely and complete information from Constitutional Officers on the budgetary process. Motion carried and ordered unanimously.

DISCUSSION, RE: OTHER JUDICIAL SERVICES FY 1997-98 BUDGET

Budget Director Kathy Wall advised Other Judicial Services costs for the County continue to rise annually as population increases and economic factors create increased activities within Court Operations; and both the Court Directed Payments and Transfers and the Conflict Public Defender's Programs reflect this trend.

Discussion ensued regarding the court system, criminal trials, current funding, and General Fund transfers.

Motion by Commissioner Cook, seconded by Commissioner Voltz, to direct staff to send a letter to the State Attorney and Public Defender requesting ways to lower the impact on taxpayers regarding the General Fund transfers. Motion carried and ordered unanimously.

DISCUSSION, RE: TITUSVILLE-COCOA AIRPORT AUTHORITY FY 1997-98 BUDGET

County Manager Tom Jenkins stated the Titusville-Cocoa Airport Authority's millage has decreased.

Commissioner Higgs stated the Board had meetings with the TiCo Board; and inquired is this millage consistent with the plan that was worked out and is TiCo on track to get off of the tax roll.

Bill Hutto, Titusville-Cocoa Airport Authority Executive Director, stated the TiCo Board has reduced the millage consistently; it is down to the $150,000; it has additional increases, but it is raising the rents on the Airport to compensate for it; and it is attempting to do capital improvements on the Airport. He noted it is the Authority's intention to come off of the tax roll.

Mr. Jenkins stated the Authority was ahead of schedule in the last two years.

Commissioner Cook noted the commitment is still to come off the tax roll; with Mr. Hutto responding affirmatively.

Chairman O'Brien stated the TiCo Board has been very aggressive.

DISCUSSION, RE: CERTIFICATES OF PARTICIPATION (COP) REFUNDING

Commissioner Cook stated perhaps the Board can come up with some mechanism to satisfy the public's knowledge of what it was doing regarding the Certificates of Participation (COP) refunding.

Chairman O'Brien noted Commissioner Cook can put the issue on the agenda for reconsideration; he has had time to think about the item again; he is about to reverse his position after listening to the tapes; and the reason the public turned it down was because the referendum called for an ad valorem tax to replace the COP. He noted the proposal before the Board was not for an ad valorem tax, but for the sales tax to guarantee the payment which would not create a tax increase; and it would put $373,138 back in the County's pocket on an annual basis or pay down the debt. He stated the County is looking at a solution that will save the taxpayers approximately $8 million over a long period of time. Chairman O'Brien stated staff can develop a letter to the editor to be signed by all five Commissioners that the Board wants to bring this issue back for discussion.

Commissioner Higgs suggested the County send a direct mail postcard and do a random sample similar to one for an election. Commissioner Cook stated a quarter-page newspaper ad would be better. Commissioner Scarborough suggested the County put something in every free newspaper; and requested the County Manager report back to the Board on the options.

Mr. Jenkins inquired if the Board agrees that it needs to explain why it is considering the issue; with the Board responding affirmatively.

Upon motion and vote, the meeting adjourned at 4:30 p.m.

RANDY O'BRIEN, CHAIRMAN
BOARD OF COUNTY COMMISSIONERS
BREVARD COUNTY, FLORIDA

ATTEST:
SANDY CRAWFORD, CLERK
(S E A L)