The Town Manager's FY 2018-19 Budget Message presented at the First Budget Hearing on September 4, 2018 is attached for reference.
CHANGES FROM FIRST READING
There are three modifications made to the Proposed Fiscal Year 2018-19 Budget as directed by Town Council at the First Budget Hearing held on September 4, 2018. These modifications include 1) reducing the millage rate, 2) restoring the Dunnwoody Lake developer's contribution for education to the full amount, and 3) provide for a cost of living adjustment. Staff was also directed to provide recommendations to accommodate these changes in the FY 2018-19 Operating Budget.
In addition to the above modifications, the Budget was also adjusted for the increase in General Liability and Public Officials and Employment Practices Liability insurance, as well as a reallocation of fundsfor eventswithin the Committees' Budgets.
The changes are described below and summarized in the attachment to this memorandum.
1)Reduction of Millage Rate – $69,000
Staff was directed to reduce the millage rate by $69,000 from 2.3353 mills to 2.3127 mills, which is $2.3127 per $1,000 of assessed property value. This millage rate of 2.3127 is 4.22% higher than the rolled-back rate of 2.2190 and is expected to generateproperty tax revenues or ad valorem in the amount of $7,061,200 calculated at 95% for budget purposes.
The rolled-back rate would generate $286,183 less in ad valorem revenue as compared to the proposedmillage rate of 2.3127.
2)Restore Developer's Contribution – $59,824
The FY 2018-19 Proposed Budget includes $130,000 for enhanced police presence at Bob Graham Educational Center and Miami Lakes K-8 public schools. This was initially funded by Miami-Dade County School Board ($70,176) and a transfer from the Dunnwoody developer's contribution for education purposes ($59,824) to supplement the cost of police security.
However, at the first Budget Hearing, staff was directed to reverse the $59,824 and restore the Developer's Contribution to the full amount of $300,000, as it was intended to be spent for educational purposes for improvements to impacted schools in the Town, as well as youth related educational prog
3)Cost ofLiving Adjustment (COLA) – 2.3%
Presently, the FY 2018-19 Proposed Budget does not include a cost of living adjustment for employees. Staff was directed to include a 2.3% COLA across the board effective October 1, 2018. This equates to $62,067 for the General Fund, $2,094 for Transit /Transportation, $32,037 for Building Department employees, $4,376 for Stormwater and $1,577 for Facilities Maintenance Fund.
4)Insurance Adjustment - $45,200
The Property, Casualty and Liability Insurance for FY2018-19 increased 15.3% for a totalannual premium of $334,891. This includes property ($75,574), general liability ($95,236), public officials ($106,250), workers compensation ($18,565),automobile ($14,875), and other ($24,391). The Budget as proposed on Second Reading has been adjusted for the increase in premium in the amount of $45,200and apportioned among the General Fund ($16,083), Transit-PTP 20% ($3,296),Building Department Fund ($19,427) and Stormwater Utility Fund($6,394).
5)Committees' Budget Reallocation - $0
The Elderly Affairs Committee, Public Safety Committee and Youth Activity Task Force have requested to reallocate funds for events and activities within their respective budgets. This redistribution of funds has no impact to the Committees' budgets and is reflected in the attachment to the Ordinance – Exhibit A.
The above items represent a net decrease of $40,799 to the FY 2018-19 Proposed General Fund Operating Budget to $17,694,201. Theline items impacted are highlighted in Attachment 1 – Summary of Changes.