MINUTES OF THE MEETING OF THE BOARD OF COUNTY COMMISSIONERS

BREVARD COUNTY, FLORIDA

 

 

September 8, 2009

 

 

 

The Board of County Commissioners of Brevard County, Florida, met in special session on September 8, 2009 at 5:30 p.m. in the Government Center Florida Room, Building C, 2725 Judge Fran Jamieson Way, Viera, Florida.  Present were:  Chairman Chuck Nelson, Commissioners Robin Fisher, Trudie Infantini, Mary Bolin, and Andy Anderson, and Interim County Manager Stockton Whitten and County Attorney Scott Knox. 

 

 

The Invocation was given by Dave Dingley, District 4 Commission Aide.

 

Chairman Nelson led the assembly in the Pledge of Allegiance. 

 

 

Commissioner Fisher advised he would like to appoint Shawn Harris to the Community Action Board, which meets tomorrow.  Chairman Nelson stated the appointment does not require Board action, but it will be reflected as Commissioner Fisher’s appointment.

 

 

 

Commissioner Fisher noted he had a crime/task force workshop in his office last week, which consisted of Sheriff Jack Parker, Phil Archer, State Attorney’s Office, Tony Bolinger, Titusville Chief of Police, and others; a lot of information came out of that workshop; he would like to request the Board hold a Crime Workshop in the near future, as crime is a problem Countywide; and a Crime Workshop could be educational for the Board and others.  He stated he does not have a tentative date yet; but he would like the Board to agree to hold a workshop sometime in the next couple of months.

 

Chairman Nelson stated the Board has a Workshop scheduled for September 17^th, which does not yet have a topic associated with it; and stated there will be a date assigned for the Crime Workshop at the next Regular Commission meeting.

 

 

 

Commissioner Infantini stated on July 28, 2009 the Board approved the millages, but at that time she had some reservations about using reserves for non-emergency types of events for recurring operating expenses; she had said at the time that she had millions of dollars worth of savings that could be had; and when she gained access to the accounting software, she did research and was able to put together a PowerPoint presentation, which will show the Board does  not  need  to dip  into County  reserves,  but rather  just look closer at the fine lines on  the

County budget where it is spending money.  She stated she has prepared a presentation that represents hours of research; the presentation highlights where there is operating expenses that the Board has budgeted for increases over current year rates at approximately 100 percent or 50 percent; and often times, there is a lot of savings if the Board got into the details of it.  She stated she looked at four different funds; one fund was the South Area Parks and Recreation; two were a Fire Department funds; and one was a General Fund.  She explained $2.7 million has been spent year-to-date for operating; $5 million was budgeted; and the Board is only one month away from its ending year-to-date balances.  She stated what is showing is a 75 percent increase over what the Board has spent year-to-date for operating expenses in certain funds; she is not saying all of the savings can be had by every fund, but when she took the time to go through just four separate funds, she was able to find a lot of places where there were huge increases in expenditures; in one category of repairs and maintenance, the Board has spent $91,000; yet the Board is expecting to spend $255,000 next year; that represents a 177 percent increase; and she thinks there is a lot of opportunities for the Board to investigate and look at the huge budgetary increases being anticipated next year, some of which may not be justified.  She stated she would like to go on record as not supporting any use of the reserves going forward for this budgetary year.

 

Chairman Nelson inquired if Commissioner Infantini has run any of her numbers by the County’s Budget staff.  Commissioner Infantini replied no, she prepared the numbers from SAP five days ago; but she would be happy to turn over all of her research to staff.  

 

Commissioner Fisher stated one of the items on Commissioner Infantini’s presentation is Budget versus actuals; and inquired which fund is that.  Commissioner Infantini replied it is one of the fire fighting fees; and stated line 1351 is the Fire Rescue EMS.  Commissioner Fisher inquired if the salaries were budgeted for $10 million; stated the actual year-to-date is $8.6 million; and this year it is budgeted for $10 million again.  He inquired if there is a $1.6 million increase over the salaries for this year versus last year.  Commissioner Infantini responded affirmatively.  Commissioner Fisher stated the Fire Chief’s salaries are $1.6 million less than he anticipated; inquired if Commissioner Infantini is saying the Chief is moving it back to $10.2 million; and inquired if Commissioner Infantini thinks the  Fire Chief can operate on $8.6 million.  Commissioner Infantini stated if the Board looks at line 1350, it will see in the line item for operating supplies, the actual year-to-date number is $64,000; however, the current budget for FY 09-10 is $936,000; that represents a 1,300 percent increase; and she does not know why the operating supplies would go from $64,000 to $936,000; but she has not consulted with staff. 

 

Stockton Whitten, Interim County Manager, advised the Board is in the 08-09 fiscal year; the actuals to date are $8.6 million; he does not know how many pay periods are left in this fiscal year, but the Board has to take that into consideration when looking at the acutals; last year’s actuals were $10.4 million; and it stands to reason that in next year’s budget, the Fire Chief is going to have at least $10.2 million in salaries, which is what he has budgeted.  He stated if comparing last year’s actuals of $10.4 to next year’s budget of $10.2, he is actually down in salaries; the number of pay periods remaining for this fiscal year may come out to be something above the $10.2 that he has budgeted for the current fiscal year; and that is the analysis that he would undertake in looking at these numbers. 

 

Commissioner Infantini stated in Fund Group 1350, when she came to the actuals, it shows there  were  $12  million  in  actual  expenditures year-to-date, but   the  Board  has  $27  million budgeted for next year; the amount collected from the Fire Assessment is $19 million year-to-date; and if the Board has collected $19 million and spent $12 million, then that leaves approximately $7 million in excess from last year’s collections.  She stated it almost looks like the Board is collected $7 million more in its Special Assessment than it needed to collect.

 

Mr. Whitten stated if the Board will recall, in January it had the Fire Assessment Workshop; staff explained the five-year plan for disposing of those fund balances, or reserves, that had built up in that account; part of what the Board is going to see until those are exhausted in the Fire Assessment Budget will be fund balances that are in excess of what is needed to operate annually; those are being spent down over time; and the Board will recall that in four to five fiscal years, that money will be exhausted and the Board will have to come back to the table and decide what it is going to do in terms of the Fire Assessment.  He stated there is a plan to spend down these fund balances within this particular fund group over time; and that is why the Board will see what appears to be a differential between what is coming in annually, and what is going out.  He stated if the Board looks at the annual recurring revenues and matches those against the annual recurring expenditures, it will get closer to a match. 

 

Commissioner Infantini stated last year’s restricted fund balance was $7.2 million; and this year’s is going to be $11 million; rather than spending it down, it looks like it has been increased by $4 million; and that allows for transfers out of the department. 

 

Ashley Hepburn, Fire Rescue Director of Administrative Services, stated in looking at the submittal, the total reserves are $11 million; stated Commissioner Infantini is looking specifically at one fund; and Fire Operations include several funds that roll up to that program area.  Commissioner Infantini stated she was not certain about the disbursement of the Special Assessment.

 

Mr. Whitten inquired what differences are between fund balances this year and next year.  Mr. Hepburn replied they are flat; when looking at reserves from the previous year, Fire Rescue’s reserve balance in FY08-09 was $12.9 million; the proposed budget reserve level in that same program area is $12.7 million; and so it is relatively flat.

 

Commissioner Fisher inquired if Commissioner Infantini believes there is $11.2 million extra in the fire fund; with Commissioner Infantini responding affirmatively.

 

Chairman Nelson stated when the Board established the rate for fire, to keep a flat rate over  period of five years, it had to have money up front; the Board identified there was extra money that had been collected, and it was spending that down; to expend that and keep the rate flat over a five-year period, the Board is going to be spending that down each year until year five, when it will be close to zero; and so the Board is going to see some numbers in reserve accounts as a source of keeping that rate flat.  He stated after five years, the Board is going to have to go back and see how close it got, and then it will have to adjust the rate accordingly; there was a conscious decision; the money is there for that particular purpose; and it is a similar concept that the Board used in Solid Waste.

 

Commissioner Fisher inquired if Commissioner Infantini is suggesting the Board not keep flat the $11.2 million.  Commissioner Infantini replied no, she was trying to highlight the differences in expenditures where there are huge increases;  in that specific budget there was $9,500 spent for Professional Services in 2008-2009; the Board is budgeting to spend $234,000 in 09-10; and she is wondering why it increased by $200,000.  She stated if she can save $7,500 on one line item, and $250,000 on another line item, she can save a few jobs and make people happy.  Chairman Nelson stated the Board approved building two community centers, and he assumes those centers are going to have operating expenses.  Commissioner Infantini stated she believes the citizens would want to the Board to be well informed.

 

Chairman Nelson stated to bring up her presentation at such a late date, in a budget that has hundreds of thousands of line items, is too late; and now is not the time to do that.  He inquired if Commissioner Infantini is going to go back and give money in those areas that over extended their budget.  Commissioner Infantini stated Chairman Nelson has had years to look at the line items, but she just learned how to navigate the SAP software on Thursday; stated she apologizes getting it to the Board at such a late date; but when she found a way to reference prior years’ budgets, she thought it was important to bring it forward; but if the public does not want the information exposed, then she will throw it away.

 

Commissioner Fisher inquired of the difference in cost from 9577 and 234, on Professional Services.  Denis Neterer, Interim Fire Chief, advised, going back to the earlier comment about the $1 million to 1351, which is EMS, the reason for that transfer is that the folks who ride on the County’s ambulances are fire certified; anything related to fire certification is funded by Fire Rescue; and that is why the Board sees that transfer to that particular line item. 

 

Mr. Hepburn advised Professional Services covers NFPA physicals for all Fire Rescue staff that are required by NFPA to have those physicals, whether or not they are in EMS or Fire Operations; and in addition, there are other physical requirements such as stress tests, hepatitis B, x-rays, and baseline physicals, which all total $212,649 within the proposed budget line item.  Commissioner Fisher inquired if that is an annual cost; with Mr. Hepburn responding affirmatively.  Mr. Hepburn stated in the current fiscal year, staff identified that Fire Operations should be where those dollars are maintained; in past years, those expenses were allocated throughout the various funds, but in reality, the Fire Operations is the place to charge those because they are related solely to supporting Fire Operations. 

 

Mr. Whitten stated the Board is not yet at the end of the fiscal year, so it has to be determined what expenses are still out there; also, staff would be happy to be able to sit down with Commissioner Infantini and walk her through all of the changes in the budget.  Commissioner Infantini stated the budget books given to the Board by staff do not provide the line item detail that sometimes the Commissioners might want to see, to see where it might want to make improvements; over all, she thinks the Board is doing a good job; but she thought there might be some areas where it can improve.

 

Commissioner Anderson suggested the Board hold a Workshop at the beginning of the year to talk about the format of the budget.

 

 

 

Commissioner Anderson stated the Board only budgets 95 percent of its revenues by State law; that means,  this  year  the  Board has $13 million that it cannot  budget or allocate; even though the Board is dipping into $11 million of the reserves, it needs to be remembered there is 95 percent of the budget allocated; and so if there is a natural disaster, there is money available.

 

Chairman Nelson stated not all of that were reserves, as some of it was cash budget forward; and the true reserves were related to the Sheriff’s pay raises and the First Responders.

 

Commissioner Fisher stated the Board is not approving a 2,300 percent increase in Professional Services; and it bothers him that it is implied that that is what the Board is doing.  Mr. Whitten stated that percentage increase is from the current actual, which is not the end of year actual; stated Mr. Hepburn had said there was a re-classification and he itemized what Fire Rescue expects to spend next year on the physicals on the health exams.

 

Mr. Hepburn advised the actual expenditures in the current year are in Fund 1360; in Fire Rescue’s proposed budget for FY 09-10, it is re-classifying those within Fund 1350; and in all actuality, the Department is incurring those expenditure this year, they are just housed in a different fund this year.  Commissioner Infantini inquired how much was spent for physicals in Fund 1360; with Mr. Hepburn responding $210,000.  Commissioner Infantini stated that would be in line with what staff projected.

 

 

Chairman Nelson called for the public hearing to consider an announcement of percentage increase in tentative aggregate millage over the aggregate rolled back rate.

 

Tom Rosenberg, Budget Director, advised the aggregate rolled back rate is 6.3389 mills, the aggregate tentative rate is 5.4720 mills, and the percentage decrease is 13.68 percent, including voted millages. 

 

 

Chairman Nelson called for the public hearing to hear public comment on revised tentative County Budget for FY 2009-2010. 

 

Ron Bartcher stated he spoke to the Board two weeks ago about not cutting the budget as drastically as it is planning to do, primarily because of Library Services.  He advised the Board’s budget for 2010 is based on property values that do not exist in 2010, but in 2009; the Board’s problem is that it is always behind the curve; being bound by the property values, the Board does not have the flexibility that ordinary businesses have, because when their growth goes up, they can increase their prices and revenue; and businesses can deal with increases in costs and salaries, whereas the Board does not have that luxury.  He stated the recession makes things worse; by the end of 2010, the growth rate will probably be in the range of one to two percent; and yet, the Board’s budget is based on what has happened in the past, which has a direct effect on the employees and the Board’s expenses.  He noted because of Amendment One that  was  passed  last  year,  the  Board’s hands are tied;  and as growth goes up, the only thing the Board can do is equal the growth.  He stated Library Services has been cut; the Mims Library is reduced to 32 hours, which is significant; stated he is sorry to see the Board approve the budget; but next year he will be back to tell the Board, “I told you so.”

 

Mike Zocchi stated he is a taxpayer, a voter, and a resident of District 4; he has represented other groups in the past; but today, he speaks on behalf of his family.  He stated as residents, they depend on the Board to provide basic services, protections, and regulations that make living in Brevard County palatable for raising a family; and as the elected leaders, the Board must provide that for citizens, and at the same time, use fiscal responsibility and good judgment in its decision making processes.  He stated residents have a responsibility to ensure the elected officials are following the will of the people, and doing so in a fair and legal manner; and these levels of checks and balances are what make the government one of the most revered in the world.  He stated there are some who abuse the system; there are special interests with goals to bring government to its knees and dismantle what has taken so long to achieve in the community; these interests use many avenues to discredit elected officials in order to achieve their ultimate goals; and if these goals are ever actually realized, everyone will have to drink the kool-aid and live with the fall out that was once a promising and thriving community.  He stated government must exist for a society to progress and remain viable in the modern world; there is only so much that can be taken away; and a good example would be the Fire Assessment issue.  He stated there are factions out there that seem to be using the Fire Assessment as their tool to discredit and undermine leaders; everyone has listened to countless arguments from those opposed to the Fire Assessment; and have seen hundreds of man hours wasted in gathering redundant information, all in an attempt to manipulate the public opinion against County officials.  He stated as a citizen, he says to those who question the Assessment, that it has been reviewed by the County Attorney; the taxpayers are paying the County Attorney to protect their legal rights and must have faith in his abilities; and if legal documentation exists that proves the Assessment to be wrong, then those people need to stop wasting tax dollars with countless redundant requests and take the issue to court and put it to rest.  He stated he understands the Board has to listen to citizens who wish to air their grievances; and inquired when people will be stopped from using the democratic system to further their dictated agendas and wasting taxpayer money in the process. 

 

James Teele stated he is in front of the Board to find out if the County is on track for the budget to be able to produce the drainage clearance problems; and he does not yet know if money has been set aside in the budget for next year.

 

Ernie Brown, Natural Resources Management Director, advised regarding the Kingsmill Improvement Project, there are monies set aside for that; some of the money has been reallocated from other portions of District 4 to get these projects started as soon as the study is complete and as soon as the permits are in place; there is not enough money set aside right now for completion of the entire project; as the Board is aware, the County accumulates money over the years and put it into a savings account until there is enough money to build the project; and that is the way the stormwater program has been set up.  He stated there are some grants that have been applied for; the City of Melbourne has committed to partnering with the County once the project study comes back and it can be defined which best management practices need to be put in as far as timing, and then staff can sit down with the City of Melbourne to lay it out. 

 

Mr. Teele stated he is asking the County to see if there is any funds available so that when all the funds come together and it knows what the total cost will be, if there is some way to get it jump started sooner.  Chairman Nelson stated the Board is in a similar situation with Lamplighter Village; and he is going to be bringing to the Board a request for legislative intent to be able to change that in its Ordinance. 

 

Mr. Teele stated he owns property in Mims that is on the edge of a swamp off of S.R. 46, east of Spruce Hills; the property fell into disrepair to the point where it was unfeasible to fix it; he pulled a permit to demolish it; there was an existing garage left on the property; and he recently received a letter telling him it is illegal to have an accessory structure without a main structure.  He stated it is going to be two or three years before he can built another house; and he has saved approximately 90 percent of the brickwork.   He stated he recently put up a fence, but he is not sure what he needs to do to be able to keep the garage on the property.

 

Chairman Nelson suggested Mr. Teele speak with Assistant County Manager Mel Scott.

 

Marlene Adams stated she hates illegal fire assessments; she has no hidden agenda except to get rid of an illegal tax disguised as a special assessment; stated she is not against the Fire Rescue Department; but she has a problem with a budget that includes an illegal, or invalid, assessment; and stated she will pursue the issues until it is fixed.  She stated in looking at the Board’s past budgets from 2002 and 2003 to present, it is still $5 million over 02-03; but home values went down to 2003 levels. 

 

She stated she would like to go back in history and read part of some minutes that addresses the 1,800 properties that were not charged in 08-09; and it was clearly stated they would not be corrected for 08-09, but they would be corrected for 2010.  She advised on “August 21, 2007, Chairman Nelson stated, “Communities that were not paying for fire services were receiving services for free, and the rest of the County was subsidizing those communities”; and Fire Rescue Chief Bill Farmer replied, “That is the circumstances, but the cities did not like the phrase ‘free’ because the next four years, they are paying the backup.”  She stated that was added into the next four years.  She stated she would like to fast forward to the budget hearing held last week; Commissioner Nelson stated, “I don’t see any fault with what we have done, and I will tell you that in the tax bills that go out this fall, you are going to find that there are mistakes peppered throughout this, because you are expecting 100 percent accuracy and it does not always happen that way for a variety of issues.”  She stated the issue has not been rectified; the errors she has found in the past two years have not been charged back; but the cities were charged back because they were getting it for free.  She stated she played a major role in Chairman Nelson’s election, but she intends to correct that mistake.

 

Chairman Nelson stated there was part of that conversation that Ms. Adams left out when Chief Farmer also indicated that there had been conversations prior to the bills being formulated that the cities did not have time to catch up with the County in terms of putting the assessment together, and that they had agreed to do that.  Ms. Adams stated the MSBU that was created in February 2006 did not address those cities; it was the County’s error; those cites were left out; but the County provided the service, so then they went back and asked the cities if they would agree to pay.  Chairman Nelson stated his recollection is that Chief Farmer had that conversation.  Ms. Adams  stated her  point is  that the cities received the  service  for  free  and then had to pay 25 percent over the next four years. Chairman Nelson stated that was before he was on the Commission. 

 

Buddy Spakes stated the hidden agenda is for the Board to get it right and do what it is supposed to do legally.  He stated he asked this same question 10 days ago and was assured by the County Manager that he would get answers, but as usual, the answers did not come; and he is here to ask again.  He advised RV Parks must be charged like a motel; it includes the campsites; every RV Park in the County that he could find would have to pay the maximum rate of the fire assessment; the Board exempted its own County-owned RV parks; the definition includes the governmental unit; and the Board has to assess its own RV parks in the same manner as a hotel.  He stated mobile home parks that have five or more RV sites must be treated as RV parks for those sites; that means each individual site has to be assessed separately from the motel, or the mobile home park; and that is a major error the taxpayers are subsidizing.  He stated he has three questions for the County Attorney; inquired what law authorizes the Board to override FS 125.0168 that regulates how an RV park is to be charged special assessments, what law authorizes the Board to override FS 513.01 that clearly defines what a government-owned campground can be charged for special assessments, and what law authorizes the Board to override FS 513.014, which clearly mandates that mobile home parks that also contain at least five RV lots, must comply with FS 125.0168 as well, and charge those lots in the same manner as a motel.  He stated he has asked these three questions before and has never received an answer; but he is expecting the answers today.

 

County Attorney Scott Knox stated Mr. Spakes’ questions have been answered several times; but he would be willing to give Mr. Spakes another answer at the end of the week, in writing, and copied to all of the Commissioners.

 

Jim Rosasco stated he was before the Board on July 28^th when three of the Commissioners recognized the economic reality the residents of Brevard County are experiencing; today he is present to comment on a budget that reflects that cap on revenue; there is much public angst about the service cuts to Central Services and Public Safety that this budget may force the County to make; and he believes there is still much more that can be done to reduce expenditures that will balance the budget without affecting Central Services, Public Safety, or using reserves.  He noted at the July 28^th meeting Chairman Nelson chastised the Citizens Budget Review Committee for making suggestions without an accompanying identified dollar savings; and he is a member of that Committee, but his comments today are his own and not that of the Committee.  He stated he understands that to balance the budget, County staff has chosen to use approximately $10 million in reserves; and he is confident there are more than $10 million in spending cuts that can be made that would eliminate the need for using reserves. 

 

He stated he knows the developmental summary for Parks and Recreation indicates 441 full-time equivalent employees for this year, and 447 proposed in the budget; and it does not look like there is a hiring freeze in Parks and Recreation.  He stated in the South Area Parks Operation Program Profile, there is a comment about the elimination of 24 positions, which in fact is only 10.5 full-time equivalents; however, seven full-time equivalents were added to the south beaches community center, which is one of the Referendum projects.  He noted the Parks and Recreation Capital Outlay Summary itemized capital items such as computers, grounds equipment, and  utility  vehicles;  for  the south area  alone, the list  includes 13 utility vehicles at $15,000 each, and three lawnmowers at $28,000 each; and that does not sound like there are any funding problems.  He stated the total for the Parks and Recreation Department, for just equipment in the proposed budget is $534,000; and that does not reflect any Referendum projects or funds.  He stated in the Parks and Recreation Department’s Capital Improvements Program, the north, central, and south areas have programs totaling $2.5 million, $1.2 million, and $1.6 million respectively, for a total of $5.4 million; and that does not represent any Referendum projects.  He noted the Parks and Recreation Department continues to construct Referendum projects that will generate recurring operating expenses at a time when there is not enough operating revenue to staff existing facilities; at the CBRC meeting of August 20^th, Mr. Lusk discussed the use of operating reserves to balance the budget, and read, “We have two and a half years to learn how to earn more revenues and hope and pray that the economy turns around”; and stated, to the average taxpayer, burning through reserves with a strategic plan of hoping and praying that the economy turns around in two years is absurd.  He stated Space Coast Stadium projects include cabinet replacements in the owner’s suite for a cost of $250,000; and he is sure that gives the laid off County employees great comfort to know that there are new cabinets in the owner’s suite at the stadium. 

 

Commissioner Bolin noted the money for the cabinets in the owner’s suite at the Space Coast Stadium, and other repairs, is from the four cent tourist tax, and not out of the County’s General Fund.  Mr. Rosasco stated it is all taxpayer dollars; and no matter what fund it comes out of, he wants it to be spent prudently. 

 

 

                         

Chairman Nelson called for the public hearing to consider adoption of the County’s FY 2009-2010 tentative millages.

 

There being no objection heard, motion by Commissioner Anderson, seconded by Commissioner Bolin, to tentatively adopt the FY 2009-2010 millages.  Motion carried and ordered; Commissioner Fisher voted nay.

 

 

Chairman Nelson called for the public hearing of the announcement of recomputed tentative aggregate millage and percentage of deviation from the aggregate rolled back rate.

 

Budget staff stated the recomputed FY 2009-2010 aggregate rolled back rate is 6.3389 mills, the aggregate tentative rate is 5.4720 mills, and the percentage change is 13.68 percent, including voted millages. 

 

 

PUBLIC     HEARING,   RE:   ADOPTION   OF   FY   2009-2010   TENTATIVE   MILLAGES

 

Marlene Adams inquired if the Board can increase the Fire MSTU in order to fund the Fire Department, other than with the Fire Assessment; the Assessment Roll has to be free of errors and omissions; and it is the Board’s responsibility that the Assessment be free of error and omissions.  She stated she attended a Zoning meeting in 2007; a property was approved to go from a church to a business; the Fire Assessment on the property had not been paid for two years; yet it was paying regular ad valorem taxes because it was not a church any more, and did not get non-profit status; but because the Board exempted Use Code 7100, it was still listed as a church on the Property Appraiser site, allowing it to not pay the Fire Assessment; and she has asked that it be corrected.  She stated she has a letter from Interim Fire Chief Denis Neterer that states, “Thank you for identifying the Use Code issue for the property located at 4725 Fay Boulevard.  We have initiated our error and insolvency process.  We have also notified the Property Appraiser and the Tax Collector, and the property owner will be receiving a bill.”  She stated 4725 Fay Boulevard is still listed as Use Code 7100; the property owner was notified in 2008 of the new Assessment; and the Assessment levied against the property is zero.  She stated the problem is still with churches, houses, and various uses on one single property; the First United Methodist Church in Port St. John owns two houses two blocks away; those people received no ad valorem, but are paying the Fire Assessment because it is two blocks way; another church in Mims has a single family home on the property, but has two Use Codes; and that property was not charged anything for fire. 

 

Commissioner Infantini inquired if the Property Appraiser can correct the errors in the Use Codes, or if it is something the Board can address.  Scott Knox, County Attorney, advised the Use Codes are controlled by the Property Appraiser’s Office; and the Board would have to work with the Property Appraiser to get the Use Codes corrected.  Commissioner Infantini inquired if that is elective on the part of the Property Appraiser.  Attorney Knox replied the Property Appraiser is making a diligent effort to correct the Use Codes.

 

Commissioner Infantini inquired if Commissioner Fisher would be willing to speak to the Property Appraiser to see if he is working diligently on correcting the Use Codes.  Commissioner Fisher stated yes, he will, if the Board would like him to.  He inquired if the County Manager’s Office has had any conversation with the Property Appraiser’s Office on the Use Codes.  Stockton Whitten, Interim County Manager, replied no, but Attorney Knox is correct in that the Property Appraiser is responsible for the Use Codes and updating the property roll; as properties are classified on the Property Appraiser’s roll, that is how the County has to charge it; and he is not aware of any issues the Property Appraiser has, but staff can ask the question.

 

Commissioner Fisher stated churches that are non-profit do not pay taxes; and inquired what it will mean to churches if the Use Code is changed.  Mr. Whitten replied churches are exempt from the Fire Assessment; stated Ms. Adams made the comment that some churches have changed their use; and the Property Appraiser would actually have to change the Code for the Fire Assessment to be assessed properly; but as long as the Use Code is 7100 on the Property Appraiser’s tax roll, then the assessment for churches is going to be zero.  He stated according to Ms. Adams, the properties were once churches, and no they are no longer churches, but they exist as churches on the Property Appraiser’s database. 

 

Ms. Adams stated it is the Board’s problem, not the Property Appraiser’s problem.  She stated the horrible thing about the issue is that Mr. Neterer tried to get the problem fixed; but someone sent a letter out to the property owners notifying them that their Assessment has changed from zero to zero; and there is a problem with that. 

 

 

 

Chairman Nelson called for the public hearing to consider a resolution certifying, ratifying, and confirming the Annual Stormwater Utility assessment Special Assessment Rolls.

 

There being no objection heard, motion was made by Commissioner Anderson, seconded by Commissioner Infantini, to adopt Resolution No. 09-173, ratifying, confirming, and certifying the Rate and Annual Stormwater Utility Assessment Rolls for Fiscal Year beginning October 1, 2009.  Motion carried and ordered unanimously. 

 

 

 

Chairman Nelson called for the public hearing to consider adoption of resolution certifying Municipal Service Benefit Unit Assessment Rolls to Tax Collector.

 

There being no objection heard, motion was made by Commissioner Anderson, seconded by Commissioner Bolin, to adopt Resolution No. 09-174 adopting, ratifying, and certifying the Municipal Service Benefit Unit (MSBU) Assessment Rolls for Fiscal Year 2009-2010.  Motion carried and ordered unanimously. 

 

 

Chairman Nelson called for the public hearing to consider adoption of schedule of rates, assessments and charges for Fire Service Operations, Hazardous Materials Special Operations Team, Fire Prevention and Inspection Fees; and ratification, confirmation and certification of the annual fire services non ad valorem assessment roll. 

 

Marlene Adams stated at a recent budget meeting, Interim County Manager Stockton Whitten claimed there was no action taken by the current Board or previous Board to correct the errors of the 1,800 properties; an email was sent by Attorney Knox in January 2009, stating, “Attached, please find a copy  of the  memo  setting  forth  the  suggested  method  for  correcting  the  Fire Assessment Roll in regard to the 1,800 property owners that received a notice of zero.”  She stated Chairman Nelson asked Attorney Knox is the Board needed to take actions, to which Attorney Knox replied yes, it should have the County Manager file the form with the Tax Collector.  She stated no action was taken and the same 1,800 people have not been notified of any increase in their zero-notified Assessment last year; the Board cannot assess those people and put an amount on their tax bill without notifying them by U.S. Mail; property owners must have 20 days to be able to attend a meeting to address the situation; and stated she believes the 1,800 property owners should be back-charged, just as the cities were.  She noted if there is a large overage in the Fire Department, then obviously the citizens are paying too much.  She stated she expects her government to follow State law, and she does not know what it is going to take; and stated she will be in front of the Board for the next year discussing the same thing.  She advised she does not like a Special Assessment being used for Fire, when the budget is way over what it was in 2003; there are overages every year; people are not getting charged; and it is just wrong.

 

Commissioner Fisher stated going back to the issue Ms. Adams brought up earlier regarding the church on Fay Boulevard in Port St. John, he would like clarification on if Ms. Adams stated the church is paying nothing.  Ms. Adams stated he point is that the church is paying taxes, but is not paying for the Fire Assessment, because it is no longer a church in the Use Codes.

 

Buddy Spakes stated he has nothing against churches; but the problem is the way the Board has assessed for fire, and broken many laws.  He stated everyone receiving the benefit of Fire Rescue must pay their proportionate share.  He stated Article I, Section III, of the Constitution of the State of Florida states, “No revenue of the State, or political subdivision, shall ever go to a church.”  He stated he hears the Board says frequently that it funded exempted properties from the Fire MSTU; the Board has said it funded exempted properties from the General Fund; and inquired if those are not public treasuries.  He stated the Board cannot take any money and pay for a benefit for an exempted property. 

 

Ashley Hepburn, Fire Rescue, advised in FY 2008-2009, Ordinance 08-035, was amended and included language that stipulated that funding for exemptions shall come from the Fire MSTU; and that was approved by the Board in September 2008, which covers the current budget year.  He stated in FY 2007-2008, the Fire Assessment Ordinance did not include that language, nor did the FY 2006-2007 Ordinance. 

 

Commissioner Infantini inquired if it is correct that it is not lawful to exclude properties, yet the prior Commission adopted an Ordinance to do so.  Attorney Knox advised it is lawful to exclude churches and non-profits; and noted two other attorneys looked at the same issue and came to the same conclusion.

 

There being no further comments or objections, motion was made by Commissioner Bolin, seconded by Commissioner Fisher, to adopt the Annual Fire Services Special Assessment Rate Resolution, the Fire Prevention and Inspection Special Rates, and the Hazardous Materials Special  Operations  Team Schedule of  Rates effective October 1, 2009 through September 30, 2010; and the Resolution ratifying, confirming, and certifying the Annual Fire Services Non-Ad Valorem Special Assessment Roll for the County Fiscal Year beginning October 1, 2009 through September 30, 2010, and forwarding same to the Tax Collector’s Office for collection in the same manner as ad valorem taxes are collected.  Motion carried and ordered; Commissioner Anderson voted nay.

 

 

Chairman Nelson called for the public hearing to consider adopting a resolution establishing user fees for FY 2009-2010 Melbourne-Tillman Water Control District.

 

There being no objections heard, motion was made by Commissioner Anderson, seconded by Commissioner Bolin, to adopt Resolution No. 09-176 establishing user fees for the Melbourne-Tillman Water Control District for Fiscal Year 2009-2010.  Motion carried and ordered unanimously. 

 

 

 

Chairman Nelson called for the public hearing to consider adoption of the final FY 2009-2010 budgets.

 

Marlene Adams stated she would like to know why the budget number is $27 million, when the letter she received stated $22 million would be collected, according to the Statute; stated citizens are not supposed to be paying more than the Benefit share; and if the Board is collecting more on a Special Assessment, it is collecting too much.

 

Chairman Nelson stated the budget reflects all sources, including dollars collected; and there are dollars in the budget that go beyond and carry money forward.  He stated it was determined there was funds that could be used to buy-down the rate and keep it steady over a five-year period; and those dollars are reflected in the budget.

 

Ms. Adams stated she would like to comment on the opinion by Attorney Alan Watts on churches; stated Attorney Watts opined churches could be exempt, but they would have to be paid for by some other way and some other encumbered revenue. 

 

Commissioner Infantini stated on the Fire Rescue Operations Assessment she is not comfortable with the $27 million budget, because the Board is going to be collecting $21 million in assessments; and she does not feel there needs to be a $27 million budget. 

 

Commissioner Fisher inquired what is the $6 million difference.  Commissioner Infantini stated it is reserves; currently, the Board has $7.2 million in the adopted budget for reserves that would increase.  Chairman Nelson stated the Board is buying down the rate; the actual cost of operation is greater than the amount the Board is collecting currently because it is using those dollars to buy down the rate and it will be a balanced rate over the period of five years; and the Board is in the second year of that rate.  Chairman Nelson stated the Board can change to where it is very inexpensive, but it will have to have a rate hearing next year to set the assessment, which would be higher than it currently is.  Commissioner Infantini stated she would prefer to face it as it come; and she does not think the Board should be setting aside so much extra. 

 

Stockton Whitten, Interim County Manager, advised a large part of what Fire Rescue does is devoted to the capital equipment; with the assessment, the planned disposition of those dollars were for capital replacement and new capital equipment over the next five years; and the Board cannot budget them, but the money is in the bank.  He stated the Board can reduce the budget down to $21 million and staff will bring back an item next year that adjust the budget to properly account for what is in that fund.  He noted the current Board approved the disposition of those assessments that were there prior to the new assessment methodology. 

 

Chairman Nelson stated he believes there is a value to having a rate that does not change over a period of time, because people can plan for it, and it does not increase wildly up or down; and knowing what an expenditure is for four or five years has some value.

 

There being no further comments or objections, motion was made by Commissioner Bolin, seconded by Commissioner Nelson, to adopt the final budget for the Districts and Programs as follows:  Solid Waste Management at $115,982,254; Stormwater Utility at $14,062,165; Fire Rescue Operations Assessment at $27,610,245; Municipal Service Benefit Units at $104,095; and Melbourne-Tillman Water Control District at $2,587,864; and adopted Resolution No. 09-177 adopting final operating budget for Melbourne-Tillman Water Control District.  Motion carried and ordered; Commissioner Infantini voted nay. 

 

 

Chairman Nelson called for the public hearing to tentatively approve a resolution adopting the FY 2009-2010 Brevard County Budget.

 

Jim Rosasco stated the Board does not have the ability to look at the line items on the operating expenses; it is $160 million out of $733 million that the Board is not getting an opportunity to look at; and without having the detailed itemization of operating expenses, it is impossible to have any meaningful budget analysis or identification of potential spending cuts.  He stated he has shown it is not necessary to use reserves to balance the budget; what is takes if for the Board to start assigning priorities; there are cuts in spending that could, and should, be made; and the Board should get started now.

 

Commissioner Anderson stated he agrees with Mr. Rosasco on a lot of items; stated the Board of County Commissioners is the only taxing authority in Brevard County that did not raise the millage rate; it is the only taxing authority that made the percentage of cuts that it made; and he would like to go further, but he will not get the Board to go where he wants to go.

 

Chairman Nelson stated he did not support the original tentative millages because there were some important projects in his District related to drainage that he wanted to deal with, but the Board saw fit not to approve those; stated he was accused of wanting to raise taxes, when actually what was being discussed was a reduction between $30 million and $40 million; but in the end he is going to support the budget because it is a $40 million reduction, 199 position reductions, and that comes on the heels of two years where there were other reductions of almost $40 million and another almost 200 employees.  He stated he does not want to diminish the fact that it is a huge cut; and the Board is to be commended.

 

Commissioner Fisher stated the reason he did not support the millage is because he has a concern when looking at the amount of roads in the community that cannot be properly maintained; stated he believes services are being cut, such as libraries, and that is not what the majority of citizens want to see; but his real concern is that knowing the Board is nine months into the year, and knowing that the property values are going to be less this year than last year, that the Board is going to have less dollars to deal with next year than it had this year; and there will be another $20 million cut, which will seriously strap the County with serious funding issues.

 

Commissioner Infantini stated there is no way she can vote for a budget that will use the reserves and make the County insolvent in two years when she knows that next year it is going to be worse; and she would rather save the reserves for next year when there may not be the opportunity for cuts.  She stated she would like to work with the Budget Office to find out why the libraries hours are being cut if the Board is budgeting to spend the same amount next year that it is spending this year. 

 

Commissioner Fisher stated the CBRC dived into the budget line-by-line and tried to come up with some ideas for the Board to cut; and at the end of the day, a representative of the CBRC came to the mindset that the County government is very wasteful.  He stated other than the Sheriff’s Office, everyone else has been steadily reducing their expenditures; there have been some serious cuts over the years; every year, Brevard County has always used balance forward to balance; and that is how the County has operated for years. 

 

Commissioner Anderson stated he is going to support the budget because the Board did not raise taxes and it cut the size and scope of government; he has a different theory on the reserves; but he will discuss that with the Board another day.

 

Chairman Nelson stated he can recall Governor Crist criticizing local government for having reserves that were too large; and so he is not sure what the magic number is.  Commissioner Anderson stated the Board has a built-in reserve every year because it only budgets 95 percent of the projected revenue; and there is an automatic safeguard in place by the State Legislature.  Commissioner Nelson stated the 95 percent comes down to the collection rate. 

 

Mr. Whitten stated with regards to libraries, the Library Services Director has lost operating tax revenue; the libraries are going from $17 million projected collection of taxes this year, to $15.1 million; and that is why the library hours were cut.  He stated when the Board looks at SAP, it has to make sure that SAP is current because a lot of times the actuals are sitting on someone’s desk and not in the system.  Commissioner Infantini stated she called County Finance this morning to verify that the actuals were current. 

 

There being no further comments or objections, motion was made by Commissioner Bolin, seconded by Commissioner Anderson, to grant tentative approval of Resolution adopting the County’s Total Budget for FY 2009-2010, which includes $886,790,942 for County agencies; $124,562,541 for Charter Offices; and $82,189,545 for Dependent Special Districts.  Motion carried and ordered; Commissioner Infantini voted nay. 

 

 

 

Motion by Commissioner Infantini, seconded by Commissioner Anderson, to authorize the Chairman to sign the State of Florida, Department of Agriculture and Consumer Services, Mosquito Control District’s Annual Certified Budget for Arthropod Control for fiscal year October 1, 2009 through September 30, 2010.  Motion carried and ordered unanimously. 

 

 

 

The Board reached consensus to appoint Judith Weaver to serve on the Animal Welfare Working Group, replacing Nicholas Stack, with term expiring December 31, 2010.

 

 

Upon motion and vote, the meeting adjourned at 7:59 p.m.

 

 

 

 

ATTEST:                                                                     ___________________________________

                                                                                    CHUCK NELSON, CHAIRMAN

                                                                                    BOARD OF COUNTY COMMISSIONERS

                                                                                    BREVARD COUNTY, FLORIDA

_____________________

SCOTT ELLIS, CLERK

      

          (S E A L)