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HomeMy Public PortalAboutLTC 153-2017 Proposed Operating Budget & Capital Plan Fiscal Year 2017-18BAL HARBOUR - VILLAGE - OFFICE OF THE VILLAGE MANAGER LETTER TO COUNCIL NO. 153-2017 To: Mayor Gabriel Groisman and Members of the Village Council From: Jorge M. Gonzalez, Village Manager Date: September 1, 2017 Subject: Proposed Operating Budget & Capital Plan Fiscal Year 2017-18 The purpose of this Letter to Council (LTC) is to transmit to you the Proposed Operating Budget & Capital Plan Fiscal Year 2017-18 for your review. As you know, the First Budget reading is scheduled for Tuesday, September 12, 2017 at 7:00 pm. The Second Budget reading take place on Monday, September 18, 2017 at 7:00 pm; along with your regularly scheduled Council meeting for this month. A hard copy of the budget book, along with the Agenda and supporting material for the September 12, 2017 meeting, will be provided to you next week. However, the electronic version of the book has been attached to this LTC (see email). Link is also provided here: http://www.balharbourfl.gov/docs/default-source/general-documents/1-1-bh_cover- report-2017-18-v3-hor.pdf?sfvrsn=d4094694_4 Finally, I have asked my assistant, Alex Cardelle, to schedule budget briefings with each of you should you wish, at a date and time that is convenient for you. Please feel free to contact me should you need further information. JMG BAL HARBOUR VILLAGE, FLORIDA COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2016 PROPOSED OPERATING BUDGET & CAPITAL PLAN FISCAL YEAR 2017-18 MAYOR Gabriel Groisman ASSISTANT MAYOR Seth E. Salver COUNCIL MEMBERS David Albaum Patricia Cohen Jeffrey P. Freimark VILLAGE MANAGER Jorge M. Gonzalez VILLAGE CLERK Dwight S. Danie FINANCE DIRECTOR Amber Riviere CONTROLLER Tom Pham BUDGET ADVISORY COMMITTEE MEMBERS Jose Biton, Chair Gerald Rosen Joel Mesznik Raj Singh Raymond Slate TABLE OF CONTENTS VILLAGE MANAGER MESSAGE ………………………………………………………….…… 1 OVERVIEW …………………………………………………………………………………… 19 FUNCTIONAL TABLE OF ORGANIZATION ………………………………………………...….. 25 FINANCIAL SUMMARY ……………………………………………………………………..…. 27 DEPARTMENTAL NARRATIVES LEGISLATIVE …………………………………………………………………………………. 51 ADMINISTRATIVE SUPPORT ADMINISTRATION ………………………………………………………..… 53 INFORMATION TECHNOLOGY……………………………………………… 57 LEGAL SUPPORT ………………………………………………………… . 60 GENERAL GOVERNMENT…………………………………………………. 61 FINANCE & BUDGET ………………………………………………………………………… 63 POLICE ……………………………………………………………………………….…...…. 67 BUILDING …………………………………………………………………………………….. 71 PARKS AND PUBLIC SPACES ………………………………………………………………... 75 WATER AND WASTEWATER UTILITY FUND …………………………………………………. 83 RESORT TAX FUND …………………………………………………………………….….... 85 CAPITAL OUTLAY ……………………………………………………………………………. 91 POSITION DETAIL ………………………………………………………………………….... 95 VILLAGE MANAGER’S FY 2017-18 BUDGET MESSAGE September 12, 2017 Honorable Mayor and Members of the Village Council: I am pleased to present to you the Proposed Operating and Capital Budget for Fiscal Year (FY) 2017-18 which commences on October 1, 2017 and ends on September 30, 2018 for Bal Harbour Village. This document outlines the fourth budget I have developed since becoming your Village Manager and, as in years past, provides you and our community as much information as possible about our Village’s plans and expected accomplishments during the next fiscal year. Reviewed together with our Comprehensive Annual Financial Reports (CAFR’s), one can get a very good and clear understanding of our financial position as well as past accomplishments and future plans for our community. As you know, Bal Harbour Village has three (3) primary funds used to operate the Village: (1) General Fund (GF), (2) Resort Tax (RTF), and (3) Water and Wastewater Utility Fund (WWUF). The total Proposed Budget for all funds is $ 26,133,000 (including a Capital Improvement Program allocation of $3,866,400). In addition, we continue to provide management and operational services to the Gated Community Area. You will recall that last year, the Village Council agreed to extend this arrangement for three (3) additional years. The allocation of approximately $570,000 for next fiscal year (year two of the extension), is not included in the above total, but is part of our overall activity. Through careful management practices and conservative financial policies, the Village continues to maintain a very strong financial position in all of our funds. The FY 2017-18 Proposed Budget includes my recommendation to keep the current millage rate of 1.9654 unchanged. This would be the third consecutive year with our millage at this historically low level, which is a reduction of 4.6% since 2014 and a cumulative reduction of 32.27% since 2004. This year, our assessed property values grew substantially as a result of the completion of the new Oceana Bal Harbour condominium project. This infusion of value is reflected in the projected ad valorem revenues for next year. Another significant accomplishment, which affects our finances going forward, is the approval of the Development Agreement between the Village and the Bal Harbour Shops. This Development Agreement includes various elements of public and financial benefits to the Village which will come on line over the next several years. This Proposed Budget accounts for those activities and their corresponding financial impacts. You will see, however, that we have attempted to limit growth in the recurring expenses of the Village to those of standard inflationary costs and/or personnel expenses. The most significant investments of new funding for FY 2017-18 are found in various capital improvement investments to our public spaces and infrastructure with nearly $1.6 million in the 1 General Fund and a total of approximately $3.9 million allocated across all funds. BUDGET DEVELOPMENT GOALS In developing the proposed budget, we continue to focus on the following five (5) key goals, which have guided my Administration since I became your Village Manager: • Enhance community policing strategies and accountability; • Improve and beautify our public spaces; • Invest in our Information Technology; • Enhance community engagement through public events and expanded communications with our residents and visitors (this goal was formerly titled: Expand our communication with our residents and visitors); and, • Establish sustainable fiscal policies and plan for future capital investments. In the recent past, and moving forward, the fourth goal above has evolved to include public events and programming for our residents and visitors, in addition to expanded communications. This includes events such as the 70th Anniversary celebrations; the expanded July 4th fireworks festivities; the Museum Access program; the Bal Harbour Unscripted art events; and the movies on the beach, just to name a few. We continue to receive outstanding feedback and are encouraged with the positive response from our community regarding these events. Therefore, we have amended the goal to more properly reflect our comprehensive community engagement efforts. In addition, the Proposed Budget is the culmination of an evaluation and assessment process we undertake each year. We carefully evaluate the existing programs, determine where the Village would benefit from additional investment and ensure that we establish appropriate levels of service and identify efficiencies or enhancements for each operational activity. It remains my goal to provide you as much information as possible for you to make informed decisions. The following is a breakdown of the allocations proposed for FY 2017-18 for each distinct Fund: • General Fund $16,106,600 • Resort Tax Fund $3,442,900 • Water and Wastewater Fund $6,013,500 • Security & Landscape Fund $570,000 These funds combined total $26,133,000. Upon becoming your Village Manager in November of 2013, our initial efforts and ultimate accomplishments were as much about working to remediate past deficiencies in order to create a solid foundation to build upon, as they were looking forward with a new team of professionals conducting organizational assessments to identify and prioritize projects for future years. There were many outstanding and unresolved issues that the Village was facing at the time and the Village was in need of focus and leadership to “right the ship and set its new course.” With the guidance of our Village Council and the infusion of new talent into the organization, we have been able to accomplish a great deal since then. The Village is on a sound financial footing, the organization is filled with talented and committed individuals who are professional and capable. We have worked to develop good government practices and prudent policies. We have attempted to resolve 2 many of the past lingering issues and have set a good foundation for the future. Together we have advanced improvements to pedestrian safety, increased our police visibility through our implementation of community oriented policing strategies, we have improved the appearance of the Village through increased landscaping and a hardscape cleaning programs; we have implemented beach sand raking and lighting improvements, new village-wide directional signage has been installed, and we purchased a new bus and upgraded the new Bal Harbour Express Shuttle, through enhanced technology. Direct communication to our residents has increased through our Village newsletter, the My Bal Harbour mobile application, the Bal Harbour Express Shuttle mobile application, Wireless Emergency Notification System (WENS), emails, improved signage, expanded social media, and a brand new village website. The adoption of and consistent use of the Village’s brand has worked to bring together all means of communication and advance a readily identifiable positive image for the Village, through advertising campaigns and imagery promoting our community’s assets the world over. Internally, Information Technology improvements have advanced system-wide. We have enhanced our security and backup protocols, we have invested in new server hardware, improved audio capabilities in the Council Chamber. We completed the redesign and launched the completely renewed Village and Tourism websites. And, we completed the implementation of two new software system upgrades, in our financial management and Building permitting platforms, as well as our financial transparency features on our website. Finance improvements began with the resolution of historical pending issues with outside agencies, payroll practices which were modified to pay employees in arrears, and a comprehensive inventory and assessments of capital assets was conducted. We transitioned to a new auditing firm to ensure a “fresh set of eyes” were reviewing our financial operations and ensuring proper controls were in place. Finally, substantial progress has been made on our capital program, namely Phase 1 of our Utility Master Plan, which reached substantial completion and was put into service earlier this year. You will recall that this phase was completely funded through the $6.5 million negotiated grant from the Miami-Dade County General Obligation (GO) Bond program, $950,000 negotiated contribution from the developer of the Oceana project and $600,000 grant from the State of Florida. While in design for Phase 2, we are reevaluating our overall strategy for the Master Plan to focus on opportunities to repair and reuse existing infrastructure rather than wholesale replacement. We are completing a comprehensive video inspection of the entire sewer system and have already completed a water pressure and leak test on the water system. Where we can re-line and reseal our pipes and manholes we will do so. Where damaged stretches are identified we will complete repairs and continue to reuse. Ultimately, this will result on project savings, but more importantly, will avoid costly capital projects with messy and lengthy construction periods. Our experience during Phase 1 has led us to look for alternatives which will help prevent long and intrusive disruptions to our residents. The FY 2017-18 Proposed Operating and Capital Budget builds upon these past accomplishments and continues the existing level of service our residents and visitors have grown 3 accustomed to accompanied by continued capital investments in our community. The single largest source of revenue for the Village is our ad valorem or “property tax.” In many residential communities, such as ours, this revenue line alone can account for 75% or even 80% of all general fund revenue. Financial policy best practices would encourage communities to diversify their revenue sources, so as to not be overly reliant on ad valorem property tax – especially given the fluctuation in assessed values that have been experienced in the South Florida real estate market over the past several years. In Bal Harbour, ad valorem represents approximately 61% of total general fund revenue. If one were to consider the beautification and special events allocations included in the Resort Tax Fund, the Village’s reliance on property taxes is even less at approximately 53%. This is a great value to our residents and means that they are carrying a proportionately lower share of the overall cost of their government services. While the recommended millage rate remains at its current level, we are recommending certain enhancements, mostly of a capital project nature. As we turn our attention to developing a vision for our public spaces (Park, Jetty, 96th Street-end), it is prudent to allocate funding levels to ensure that the resources will be available when we complete the basis of design and are ready to award construction contracts, $1.6 million is allocated for General Fund capital improvements and is further specified later in this message. In addition to the above mentioned capital allocations, I am recommending the establishment of a Budget Stabilization Fund in the amount of $250,000. This allocation is not an expenditure, but instead will be used to offset any loss of anticipated general fund revenue particularly, Ad Valorem revenue. In recent years, the Village has experienced significant variances between budgeted and actual ad valorem tax revenue, largely due to successful property appeals at the Value Adjustment Board. While the state limits our discretion in budgeting this revenue line, we have found that significant reductions can adversely affect our overall budget performance. Given the infusion of revenue due to the inclusion of the Oceana Bal Harbour condominium in the property roll, I anticipate that there may be greater property appeal activity in the coming years. A stabilization fund will help ensure that this increased activity will not materially affect our ability to close the fiscal year in balance. PROGRESS TO DATE ON OUR GOALS: ENHANCE COMMUNITY POLICING AND ACCOUNTABILITY The Bal Harbour Police Department (BHPD) remains dedicated to a community-oriented policing model, focused on increasing police visibility through innovative directed patrol activities, and improved readiness for extreme events. The realization of the vision and hard work of our Police Department in restoring the public’s trust and the continued expansion of community policing efforts, is very evident and has netted results in reduced crime rates. Uniformed Crime report (UCR) rates showed a decrease in crime in the last two years and an increase in arrests and closures rates. Arrests and closure rates are two good indicators of police performance and effectiveness. Increases in these indicators are positive, and reflects the efforts of our command staff, supervisors and officers. The Police Department continues to proactively fight crime, instituting crime prevention strategies while enhancing their capabilities through training. 4 Illuminated crosswalks, with motion-activated signalization improves pedestrian safety, and enhanced patrol during special events and high holy days enhances the sense of community within the Village. The Police Department ensured the safety and security of all guests to the Village’s 70th Anniversary Celebration, Movies on the Beach as well as the High Holy Days through enhanced security measures, presence and visibility. The FY 2017-18 Proposed Budget includes continued community policing efforts, simulation- training equipment ($15,000), the purchase of a new LED message board to communicate events and information to our residents ($30,000), and increase in police off-duty costs (offset by corresponding revenue), and additional police overtime totaling ($191,000), to ensure sustained level of service. IMPROVE AND BEAUTIFY OUR PUBLIC SPACES Presenting an aesthetically beautiful setting to our residents and visitors is key to our Bal Harbour brand. The Parks and Public Spaces Department has consistently improved the appearance of the Village for residents and visitors through increased routine maintenance and cleaning of our public areas. Our linear park along the beach includes all new directional and informational signage consistent with Village branding, and rotating art installations adding visual appeal for our residents and guests. Our Village Hall presents a professional appearance with updates to our conference and chamber areas with our new brand while paying homage to Bal Harbour’s past. The FY 2017-18 Proposed Budget continues investment in our public spaces with funding allocations toward our Village’s beach jogging path, park, jetty, and for improvements to the end of 96th Street. The existing Jogging Path along Bal Harbour Beach requires recurring maintenance and investment to combat the depletion of surface material and to maintain an even surface. Funding for concrete edge repairs, re-grading, removal of unwanted material, and re-installation of the appropriate material will restore the walking surface to the original 2001 design ($100,000). Further enhancements to the jogging path are proposed through the replacement of all furniture and trash receptacles, to include custom seating unique to Bal Harbour using wood and stone materials. This introduces natural materials, which do not rust, designed to withstand the salt spray environment of the beach reducing future maintenance, and adding four to five seating areas under the existing Sea Grape Canopy ($75,000). The end of 96th Street entrance to Bal Harbour Beach, should be a focal point of our community, presently it falls flat. Funding to design and construct the end of 96th Street, to be matched by our neighbors in Surfside, will create a pedestrian plaza to enhance the appearance of the street end and create a defined entrance to the Bal Harbour Beach ($100,000). The redevelopment of the Bal Harbour Park site is a part of the approved Development agreement between the Village and the Bal Harbour Shops which includes a pledged contribution of $3,500,000 toward the project. The Proposed Budget includes funding toward the design and construction of a waterfront community park after the community design, charrette process with $884,400 toward architectural and engineering work and the development of the project. 5 INVEST IN INFORMATION TECHNOLOGY Implementation of the Information Technology Master Plan, adopted in September 2014 is now substantially complete. What began as a system held hostage by a crypto locker attack has evolved to include advanced system-wide security and backups, new server hardware, the launch of the new Village and Tourism websites. A number of improvements were undertaken and include: • Launched Phase 1 of e-government website, redesigned to incorporate new Village branding and provide greater access to Village information and services. Mobile-responsive website features a new government transparency portal allowing residents to access Open Gov Village budget data, public records, Village Manager issued Letters to Council (LTC), and Village Clerk reports; • Provided project management for the new Smart Gov building and permitting system design, planning and implementation; • Upgraded audio-visual technology in Council Chamber to enhance room acoustics and resolution quality of live meeting website and television broadcasts to include cameras, mixers, and transmitters; • Developed and operationalized a technology-based Emergency Back-up Plan to ensure continuity of information system services during and after an emergency or disaster; and • Implemented various business continuity and redundancy protocols to ensure reliable access to e- mail, internet, VoIP phone system and network resources during unexpected emergencies and outages. The IT Master Plan is based on a needs assessment of IT infrastructure necessary to implement future enhancements to the Village’s e-government capabilities. The launch of the My Bal Harbour Mobile App, making it easier for residents and visitors to pay for parking, submit service requests, and explore the Village; and the Bal Harbour Express Bus Tracker function giving residents access to real-time shuttle bus location and arrival information are examples of the resulting improvements. The coming fiscal year will provide an opportunity for reassessment and determining the next steps on the planning horizon. Implementation of the Computer Aided Dispatch and Communication (CAD) system within our Police Department is the most significant technology initiative planned for the coming fiscal year. ENHANCE COMMUNITY ENGAGEMENT THROUGH PUBLIC EVENTS AND EXPANDED COMMUNICATIONS WITH OUR RESIDENTS AND VISITORS We continue to focus on enhancing our communication with our residents and visitors to ensure that it is clear and continuous and that our community is as connected as possible with their government. The proposed budget continues to fund and enhance these efforts. The primary method of communication with our residents includes the mailing of a monthly newsletter as well as customized postcards for all upcoming special and important events. Our electronic communication efforts includes the My Bal Harbour mobile Application (App), the Wireless Emergency Notification System (WENS), e-mails, our social media (Facebook, Instagram and Twitter) for both residents and tourists, and our new government and tourism websites. 6 The Village newsletter remains a popular way to keep the community connected. Each edition includes a cover story highlighting an important initiative taking place in Bal Harbour Village, a general message from the Village, recent Village Council actions, a summary of recent events which have taken place in the Village, notice of upcoming special events, a calendar of all upcoming meetings taking place in the Village, public safety information, as well as other general information beneficial to our residents. The newsletter is mailed to all Bal Harbour Village residents using a delivery method through the United States Postal Service which has greatly improved the delivery of all mailed items from the Village. Individual and customized postcards also remain a popular way to notice upcoming special events for our residents. Postcards are created for all upcoming events – particularly our Unscripted Bal Harbour Art Access Program events - and mailed to all residents providing greater detail about the event. This is in addition to the information about these special events which are also included in the newsletter, but the postcards reinforce the message which has already been communicated previously and serves as a reminder about the event. Since it was launched in January 2016, the My Bal Harbour Application (App) enables users to make service requests and access Village information anywhere and at any time, seven days a week and 24 hours a day. Easily downloaded to a smart phone, the My Bal Harbour app allows users to submit requests and photos, track previous requests, receive notifications and important alerts, find local stores and restaurants, and even pay for parking. Additional services include listings of scheduled events, accessing Village meetings and posted agendas and sending emails to Village officials. The Wireless Emergency Notification System (WENS) remains a fast and reliable web-based system that allows us to send emergency notices as well as provide public interest and awareness notifications to the nearly 700 subscribers who are currently enrolled. In the event of an emergency, Village personnel may promptly communicate advisories and directions to all residents who have opted to receive the messages. WENS has the capability to send messages via telephone landlines, voice and SMS alerts to cellphones and emails accounts. Aside from emergency notifications, other alerts sent via WENS are traffic alerts, severe weather alerts via the National Oceanic and Atmospheric Administration (NOAA), special events and public meeting notifications. Our e-mail distribution list continues to grow every day. E- mail messages are sent to provide public notices about upcoming meetings and special events as well as meeting agendas for all Village Council and Committee meetings. In addition, the number of subscribers to our social media outlets (Facebook, Instagram and Twitter) continues to grow and serves as yet another tool in allowing us to deliver our message to an even broader audience. Our communication efforts with our visitors continues to grow and evolve as well. Through our advertising, marketing and public relations efforts, our focus is to position Bal Harbour Village as the premier luxury and lifestyle destination worldwide. All of these efforts are geared toward generating more news worthy attention and media hits for the destination and to help build brand equity for Bal Harbour Village. In doing so, we continue to re-invest and support the Village by 7 attracting tourism, generating business, creating awareness and building equity for the destination. The goal being that this investment will translate into continued and incremental Resort Tax Funds, to be used to increase tourism to our area, improve the quality of life for all in Bal Harbour Village, improve the beautification maintenance and enhancements on the beach and Collins Avenue, and the ongoing creation and hosting of special programs and events in Bal Harbour Village for our visitors and residents. In conjunction with the Village’s rebranding efforts finalized in 2015, our new logo and collaterals have replaced all the former images and a style manual is in place which serves as a guide for all communication tools and materials used by the Village. This includes updating and replacing all of the Village-wide informational and directional signage located throughout the Village and on our beach. Over the years, informational and directional signage had been placed along the beach, the jetty and in other public areas of Bal Harbour Village. As a result, there were a number of signs which were outdated and/or whose look and design were inconsistent and not unifying. Early in this fiscal year, the Village Council approved a Resolution approving the design and replacement of all signage throughout the Village. All signs have been replaced over the past several months. Given that this signage is all mostly located outdoors and most of the signage is on or near the beach, the beach paths, and the jetty, the materials used to create the signage, frames and poles are of the highest quality aluminum that is then powder- coated to protect against the elements. In total, there are approximately 150 signs which have already been replaced. These include signs announcing: Beach Rules, Jogging/Walking/Bicycle Paths, Bicycle Path Rules, Rip Currents Warning, Beach Warning Flags, Swim At Your Own Risk, No Fishing Along Wall on the Jetty, Address signs for Residential Buildings (on the Beach path), Park signs (in Bal Harbour Park), Pooper Scooper signage, and Village Hall signage. As the current fiscal year began, plans were underway to celebrate the Village’s 70th anniversary of incorporation as a municipality. In November 2016, the Village got into the celebratory spirit with a two-part, historical photography exhibit which was curated by Dr. Paul George, a professor of history and lead historian for History Miami Museum. These exhibits provided a historical overview of the Village in both an indoor exhibition at the Sea View Hotel as well as an outdoor exhibition along the beach walk. Both exhibits were up from November through January 2017 and the indoor exhibit was then moved to Village Hall where it currently remains on view. In addition, a community-wide celebration was initially planned for December 2016 but rescheduled due to the weather to February 2017. Well over 2,000 residents and visitors attended this very special event which featured seating, food and refreshments and spectacular performances by the Palm Beach Symphony as well as Carlos Oliva with his Los Sobrinos del Juez band and Latin dancers. Feedback from the community on both the historical exhibitions and the community concert were overwhelmingly very positive and served as excellent opportunities to bring members of our community together to celebrate. A number of other public events were held throughout the past year as well. These included two family-friendly movies on the beach – one held in November 2016 and the other in June 2017 – each included seating, food, refreshments and entertainment for children. Well over 300 people attended each of these events and feedback regarding both events was very positive. For a second year in a row, a special event was 8 held in late November to kick-off the holiday season with the lighting of the holiday décor on Founders Circle and along Collins Avenue. This event included performances by local school children, a champagne sabering by the St. Regis Hotel, music and entertainment as well as seating, hors d’oeuvres, and refreshments. And also for the second year in row, a special Independence Day celebration was held for our residents and guests to accompany our traditional fireworks display. This year, on July 4, families and friends gathered on the beach where seating was provided along with refreshments and desserts. The fireworks display was accompanied by a musical medley of patriotic music. The proposed budget includes funding for the continuation of these events in the next fiscal year. Another way of bringing the community together is through our Unscripted Art Access Program, which continues to grow each year. The Museum Access card now includes sixteen cultural institutions, having added several this current year, including the recently opened Frost Museum of Science. The proposed budget includes adding History Miami Museum and the Jewish Museum of Florida. In addition, nine art chats and tours were held this past year, including: a private director-led tour of the NSU Art Museum Fort Lauderdale in October; a private tour of the Isabel Kowal and Francois Odermatt collection of public artwork in the lobby of the Kenilworth Bal Harbour as well as their private residence in November; a private tour of the Edge Collections Exhibition on the Island Gardens Deep Harbour on Biscayne Bay in January; a private tour with the New World School of the Arts at the Cisneros Fontanals Art Foundation in March; a private tour of the National Young Arts Foundation in May; a private family-friendly tour of the Perez Art Museum Miami (PAMM) in June; and finally, a private tour of the soon to be opened Bass Museum of Art which will take place this September prior to the museum’s official reopening in October 2017. Also, our programming around Art Basel / Miami Beach continues to grow and include more opportunities for access to events for our residents and guests. For the 2016 fair, we held a private brunch at the Art Miami pavilion’s VIP Lounge. This event was exclusively for Bal Harbour residents and guests and included brunch and a tour led by Art Miami curators. With the Unscripted Art Access Card, complimentary VIP access was provided to four top partner art fairs as well as exclusive VIP event access to select museum and collection events. The proposed budget includes the continuation and expansion of the Unscripted Bal Harbour Art Access Program. The historical exhibit which was installed on the beach walk to commemorate the Village’s 70th anniversary proved to be so popular that it led the way for a new public art program in the Village. Using the same space, two other exhibitions were planned and installed this year. In February, Sartorial Anarchy, an exhibition curated by the Museum of Contemporary Photography featuring the visually vibrant work of Ike Ude’s homage to fashion, was installed. The exhibit was kicked off by a private tour, cocktails and a talk with the artist at the Artisan Beach House at the Ritz-Carlton, Bal Harbour. In June, the Village partnered with O, Miami – an organization committed to building community through literature and poetry, to curate a fun, summer-themed exhibition, Post Haste. Inspired by pre-war marketing for the Burman Shave Company – famous for its advertising campaigns featuring humorous rhyming poems on small sequential highway signs. Four poems are presented according to the speed of the beach walk’s usage as thoroughfare for biking, jogging, and walking. In September, a tour of the exhibition took place followed by cocktails and a 9 live poetry reading at the Sea View Hotel. The proposed budget includes funding for the programming of this public art exhibition along the beach walk with three new exhibits in the new fiscal year. ESTABLISH SUSTAINABLE FISCAL POLICIES AND PLAN FOR FUTURE CAPITAL INVESTMENTS Safeguarding the fiscal integrity of the Village and ensuring the functionality of our infrastructure is a daily priority - one that is not so noticeable when all is going right - but typically engenders unfavorable attention when it goes wrong. To this end, we continue our efforts to establish appropriate controls and further improve the processes of the pasts. We continue to improve the financial control environment surrounding Village finances. In the past fiscal year, we focused on two areas which merited review and adjustments: receivable accounts with little to no activity in the last several years and capital assets. A complete inventory and assessment of Villagewide capital assets was conducted, resulting in the addition and disposal of assets amounting to a net decrease of $5.1million in capital assets within the Village’s financials statements. As a result of this internal effort, proper controls to maintain accurate tracking and recording of capital assets on an annual basis were established and implemented to ensure the consistent and accurate reflection of capital assets going forward. Receivable accounts with little or no activity in the past several years, were evaluated and balances which grew and were not cleared through proper prior use of the accounts receivable module were addressed creating a more accurate representation of our financial landscape. We completed our annual external audit with new auditors for the first time since 1998, selected through the State of Florida mandated request for proposal and Audit Committee Process. The longstanding matters addressed above were brought to their attention for review and through a restatement; we worked with them to bring these issues to closure. Phase 1 of the Utility Master Plan was substantially completed, leading to the removal of the permitting moratorium imposed by Miami-Dade County due to pump station capacity. The remaining $156,100 in State Appropriation reimbursements totaling $600,000, and $2.359 million of the $6.5 million in Miami-Dade County General Obligation Bond (G.O.B) reimbursements for the Utility Master Plan project were completed, allowing the return of these expensed amounts to the Utility fund balance. As your Village Manager, I charge all of my staff to constantly evaluate how we can function and complete projects in a more efficient and effective manner, this includes the implementation of the Utility Master Plan which will continue in the coming fiscal year incorporating strategies to reduce the overall cost of this project. As such, the FY 2017-18 Proposed Budget incorporates funding to clean and video sewer lines within the residential gated community and the Collins Avenue corridor, to identify cracks or broken sections which can be repaired with minimal disturbance to the surface area. These improvements budgeted at $295,000, inclusive of sewer manhole repairs will reduce sewer stoppages by identifying slow flow areas before stoppages occur and reduce sewer cost to the City of Miami Beach by reducing Inflow and Infiltration into our system. Additional funding toward the completion of Phase 2A of the Utility Master Plan Project are allocated in the amount of $1.7 million for FY 2017- 18. 10 In the past year, Utility operational improvements continued, increasing radio read meter capabilities to 92-percent of devices in the system from a low of 60-percent, resulting in reduced human error with manual reads. The timeliness of meter readings coinciding with those of the wholesale service providers has improved the accuracy of utility compliance reporting, and the ability to understand consumption patterns. To further enhance these improvements the FY 2017-18 Proposed Budget incorporates funding for residential Automated Metering Infrastructure (AMI). The installation of new meters and advanced metering analytics software, will increase accuracy, and allow real time reading of meters from a desk pc-monitor providing both billing and improved customer service ($250,000). When added to recent prior year appropriations, this year’s proposals will total more than $5.8 million in Village capital improvements for our parks, facilities and infrastructure, and $12.6 million toward utility infrastructure improvements. To help fund these investments, we continue to allocate funds to the Capital Reserve fund ($200,000) and the renewal and replacement fund for technology ($100,000). In addition, we continue our fiscal policy of allocating fifty percent of excess revenue over expenditure at the close of each fiscal year to assigned fund balance for Capital Projects Reserve (projected at approximately $900,000 by fiscal year end). FACTORS AFFECTING FY 2017-18 BUDGET In developing a budget, we must look at available revenues, expected expenses, potential enhancements, and opportunities for cost savings or efficiencies. By setting an appropriate millage ceiling, we established the first parameter in the development of the FY 2017-18 Operating Budget. It is important to set a level that offers appropriate opportunities to make prudent choices leading to the adoption of the final budget. The Miami-Dade County Property Appraiser provides municipalities with a certification of Assessment Roll Values for the upcoming fiscal year on July 1 of each year. Pursuant to Florida Statutes (F.S.) 200.065, within thirty-five (35) days of certification of value, each taxing authority shall advise the Property Appraiser of its proposed millage rate, of its rolled- back rate, and of the date, time, and place at which its first public budget hearing will be held to consider the proposed millage rate and tentative budget. This requires the setting of the preliminary millage rate, and establishing the date and time for the budget hearing at the July Village Council meeting. It should be noted that setting the preliminary millage rate is simply an initial step in our budget process. At the July 18, 2017 Village Council meeting, the Council set the tentative millage rate, the first step to formally adopting a budget, at 1.9654 mills, consistent with the current fiscal year rate. The Public Budget Hearing Dates were set for Tuesday, September 12, 2017 and the second public hearing for Monday, September 18, 2017. The setting of the tentative millage rate, provided for budget development, which incorporated $1,447,300 in increased expenses, and $1,053,800 in decreased budgeted expenses from FY 2017, and the inclusion of capital enhancements in the amount of $1,589,400. TAX ROLL, MILLAGE RATE, AND AD VALOREM REVENUE The tax roll certified by the Miami-Dade County Property Appraiser on July 1, 2017 was $5,314,206,510, which includes an addition of $810,208,807 in new construction and 11 improvements. At the current and proposed tentative millage rate of 1.9654 mills, and calculated at 95% of the adjusted taxable value certified as required per F.S. 200.065(1)(a)1, the ad valorem revenue generated is $9,922,314, resulting in an increase of approximately $1,643,900, of tax revenue village wide over current year ad valorem budgeted revenue. The rolled-back rate for FY 2017-18 would be 1.8933 mills. The rolled-back rate, calculated as required by the Florida State Department of Revenue will provide the same ad valorem tax revenue as levied during the prior year exclusive of new construction and improvements. The preliminary proposed millage rate of 1.9654 mills is 3.81% higher than the current year aggregate roll-back rate. The state required methodology for calculating the rolled back rate requires the use of the current year gross roll value. Proposed Millage Rate History & Analysis Since FY 2007 the millage rate for the Village has dropped significantly, by 32.27% from 2.9020 mills to 1.9654 mills for the current and proposed tentative millage rate for FY 2017- 18. The following chart reflects the millage rates from FY 2006 through FY 2017, and the continuation of the existing rate for FY 2018: Currently, the FY 2016-17 adopted millage rate for Bal Harbour Village is the third lowest millage rate in Miami-Dade County as compared to other municipal rates. It is the only long established municipality within the grouping of the lowest eight millage rates for Miami-Dade County cities. The following chart reflects the 2017 adopted millage rates for Miami-Dade County municipalities: 12 It is recommended that Village Council re-affirm their action taken at the July 18, 2017 Council meeting and set the millage rate for FY 2017-18, at 1.9654 mills, a rate which is $1.9654 per $1,000 of assessed property value. The proposed tentative millage rate, calculated at 95% for budget purposes, and based upon the July 1, 2017 estimated adjusted Taxable Value as provided by the Miami-Dade County Property Appraiser is anticipated to yield $9.922 million, respectively for FY 2017-18. The recommended FY 2017-18 proposed tentative millage rate outlined for consideration by the Village Council allows the Village to retain a historically very low rate, while providing for funding of inflationary impacts to maintain existing service levels, reduced budgeted expenses in key activities, and enhancements toward Village capital projects as summarized below. By setting an appropriate millage rate we establish the primary parameter in the development of the FY 2017-18 Operating Budget. It is important to set a millage rate that allows for the continued advancement of our five (5) budget development goals and allocating resources in a strategic manner with an emphasis on results-oriented management practices. The FY 2017-18 Proposed Operating and Capital Budget does just that, by building on the foundation we established together in the last few years. IMPACT OF PROPOSED MILLAGE TO VILLAGE HOMESTEAD EXEMPT PROPERTY OWNERS For the 2017 Tax Roll, the median assessed homestead exempt property value for the Village is $624,553. This is a value at which there are as many properties with an assessed value above this amount as there are below it. The impact of the preliminary proposed millage rate of 1.9654 mills to the median assessed property value for the Village is approximately $1,229 per year per homeowner. For the Village, the value of the average homestead exempt property is approximately $1,017,079; the impact of the proposed millage rate is approximately $1,999 per year per home with the average assessed value. 13 OTHER FACTORS AFFECTING FY 2017-18 BUDGET: GENERAL FUND EXPENSE In developing the Proposed Budget, we assessed available revenues, expected expenses, potential enhancements, and opportunities for cost savings or efficiencies. The Proposed General Fund Budget incorporates the funding for operating departments and activities within the proposed FY 2017-18 Base Budget expenditures of $14,517,200, after expense reductions of $1,054,000, at the proposed millage rate of 1.9654 mills. This provides funding for existing service levels the Village residents have become accustomed to and enhanced investments toward Village capital projects of $1,589,400 totaling $16,106,600. INFLATIONARY IMPACTS The Proposed Budget incorporates cost escalations for employee and retirement expenses based on the actuarial valuations of our two retirement (pension) plans, anticipated payouts for retiring employees, and salary shifts inclusive of a cost of living adjustment within the FY 2017-18 Proposed Budget. In addition, the Proposed Budget includes increased expenses for retirement $257,500, police off-duty and overtime $190,975, and increased costs associated with improved maintenance $104,000. In addition, additional expense was added for special events $71,500. The impact of these increases were offset by reductions resulting in a total net change from the FY 2016-17 Adopted Budget to the FY 2017-18 Proposed Base Budget is $443,500, as summarized in the table to the right: The Proposed Enhancements to the FY 2017-18 Base Budget include the budget stabilization reserve ($250,000) to protect against potential adverse effects from property tax appeals as FY 2017-18 total Revenue with Tentative Millage @ (1.9654 mills )$16,106,550 FY 2016-17 Adopted General Fund Budget (1.9654 mills)$13,823,676 CHANGES IN PROPOSED BUDGET FROM FY 2016-17 ADOPTED BUDGET Increases Retirement Increase (ARC) PD Off-Duty & Overtime Maintenance Special Events Less Reductions Net Change to FY 2017-18 Budget 443,514 FY 2017-18 General Fund Preliminary Base Budget $14,267,190 PROPOSED ENHANCEMENTS to the FY 2017-18 BASE BUDGET Operating Budget Stabilization Reserve $250,000 subtotal operating $250,000 Capital Waterfront Park $884,360 Jetty Restoration $332,000 96th Street Plaza $100,000 Jogging Path $100,000 Beach Furniture $75,000 Haulover Skate Park $50,000 Skid Loader $48,000 subtotal capital $1,589,360 Total Proposed Enhancements $1,839,360 FY 2017-18 Proposed General Fund Budget $16,106,550 Revenue Less Expense $0 FY 2017-18 PROPOSED GENERAL FUND OPERATING BUDGET 14 the Oceana Bal Harbour project is occupied by owners and our significant investment toward future year, capital projects totaling $1,589,400. These investments will build upon the more than $6.5 million in recent years toward capital projects that improved the aesthetics, safety, and image of the Village and will put us on the path toward achieving the physical improvements for our community. WATER & WASTEWATER UTILITY FUND AND RATES Water and Wastewater services within the Village are provided as an enterprise operation, services are funded as payments for measurable water and wastewater services are consumed. Rates established as charges for services should sustain its operations and satisfy any related debt. For the Village utility operations, water is purchased at a wholesale rate from the Miami-Dade County Water and Sewer Department (Miami-Dade WASD) and the City of Miami Beach (CMB) applies a wholesale rate for Wastewater or sewer services which travels through their system for treatment at to the Miami-Dade WASD Virginia Key plant. Wholesale water service is paid directly to Miami-Dade WASD, and wholesale sewer services are paid directly to the City of Miami Beach by the Village, for this reason their rates directly affect the rates the Village charges to our customers. The MDWASD has incorporated a rate increase in their proposed FY 2018 Budget, due to projected operating expenses, increased reserve requirements, and debt service payments for necessary capital projects. The FY 2018 proposed budget Miami-Dade WASD increases are 5.77%, or $0.1000 cent for Water, and 4.95%, or $0.1460 cent for Wastewater rates, per 1,000 gallons. The wholesale service rates and proposed changes for sewer services incorporate both a dry season rate and a wet season rate, the two are blended to derive a rate for the fiscal year. The City of Miami Beach has incorporated Miami-Dade WASD’s sewer rate increase and added a $0.0014 cent increase to their proposed FY 2018 rate charged to the Village. For the Village to pass-through the proposed rate increases of our wholesale service providers, the rates to our utility customers would increase by 2.09% to $4.88 per 1,000 gallons of consumed for Water and 1.79% to $8.38 per 1,000 gallons consumed for Sewer services, both with a minimum consumption of 3,000 gallons, as summarized below. The pass-through Water and Wastewater rate increases from our wholesale service providers to Village customers result in a rate of $4.88 per 1,000 gallons for water and $8.38 per 1,000 gallons for sewer with a minimum consumption of 3,000 gallons per month. The Village Budget Advisory Committee reviewed the proposed pass-through utility rate increases and reached consensus on the recommended rates at their July 24 meeting. These rates as proposed provide for the annual proprietary operations of the Village Utility, coverage of bond payments, and funds toward the advancement of pay-as-you- 2016-17 2017-18 Percent Change Rate Per 1,000 gallons $1.7341 $1.8341 5.77% Miami-Dade Water & Sewer Wholesale Water Rates Water rate per 1,000 gallons $4.78 $4.88 2.09% Wastewater rate per 1,000 gallons $8.23 $8.38 1.79% Percentage Increase Proposed Bal Harbour Utility Pass-through Rate Changes FY 2017 Rates FY 2018 Rates 15 go improvements to operating capital for the Water and Wastewater Utility and are incorporated into the Proposed Budget. The FY 2017-18 Proposed Operating and Capital Budget for the Utility Fund is $6.013 million, $3.768 million, for operating expense, and $2.245 million for proposed capital projects. RESORT TAX Bal Harbour Village is one of only three (3) Miami-Dade County municipalities, along with the City of Miami Beach and the Town of Surfside, to levy a resort tax, and in doing so takes advantage of the benefits derived from this revenue source. This includes the reinvestment in the promotion of tourism and enhancing tourist eligible activities throughout the Village as well as efforts related to the beautification and maintenance of the Village in areas visited by tourists. Bal Harbour Village levies a Resort Tax of four (4) percent of the amount received on the occupancy of a room in any hotel, motel, or apartment house. In addition, it levies a two (2) percent of such retail sales of all items of food or beverages, alcoholic or otherwise, sold at retail for consumption on the premises, at any place of business within the Village. Both these levies are consistent with Part I, Chapter 212, of Florida Statutes. The FY 2017-18 Proposed Budget for Resort Tax includes $1.989 (57.77%) for Tourism related activities, $296,000 for Special Events and Community Activities (8.60%), and $1,454,100 (42.23%) for Beautification and Greenspace Maintenance and other Resort Tax Eligible expenses. The total proposed fund allocation is $3,442,880, which includes Tourism and Marketing Services, and Landscape and Beautification activities within the public areas of the Village. For the FY 2017-18 Proposed Budget, the Resort Tax Funding allocated for the Beautification Greenspace, and other resort tax eligible activities, such as Special Events and Community Activities is equivalent to approximately 0.35 mills or for the fund as a whole 0.68 mills, if the services and activities were funded within the General Fund through ad valorem revenue. BUDGET ADVISORY COMMITTEE REVIEW PROCESS & RECOMMENDATION The Bal Harbour Village Budget Advisory Committee (BAC) was established to assist with the development of the budget and fiscal policy. The new composition of the BAC as appointed by Village Council, began meeting earlier this year to review the development of the Proposed Budget for FY 2017-18, and to provide recommendations for the Village Council’s consideration. The Budget Advisory Committee met on several occasions to review and advise during the budget development process. In addition to carefully reviewing at a “line item” level, the Village’s two largest cost centers; Police and Parks and Public Spaces Departments; the Committee reviewed the recommended millage rate and the proposed capital enhancements. The Committee reached unanimous consensus to recommend the millage rate, proposed operating budget, water and sewer rates, solid waste assessment, and the proposed enhancements as included the recommended operating and capital budget. ACKNOWLEDGMENTS I would like to thank Mayor Gabriel Groisman, Assistant Mayor Seth Salver and the Members of the Village Council for their 16 continued guidance, support and leadership with our budget process and in helping to accomplish so much on behalf of our residents and the entire Bal Harbour Village community. In addition, I would like to thank the Village’s Budget Advisory Committee (BAC) Chaired by Jose Biton and Members Raj Singh, Joel Mesznik, Gerald Rosen, and Raymond Slate for their time, efforts and thoughtful guidance in the preparation and input to the FY 2017-18 Proposed Operating and Capital Budget, as well as to the residents who participated in these public meetings. I would also like to thank Village staff, particularly our Chief Financial Officer Amber Riviere and all our department directors, who worked so hard to identify every opportunity for improved service delivery. I appreciate all of us working together to accomplish our goals and continue making Bal Harbour Village an even better place to live, work, play-in and visit. Respectfully submitted, Jorge M. Gonzalez Village Manager 17 18 OVERVIEW Bal Harbour Village remains a pristine community, a carefully designed haven for the very best in residential living and upscale tourism. With elegant homes and condominiums, elite shops and exquisitely manicured roadways, the Village is widely recognized as the jewel in the crown of South Florida's communities - a model for the good life. The "dream village" that was envisioned so many years ago continues to prosper and thrive today. The vision for this subtropical paradise began in 1929 when Miami Beach Heights, a Detroit-based real estate development corporation purchased the raw land. Headed by industrialist Robert C. Graham with associates Carl Fisher and Walter O. Briggs, Miami Beach Heights began the task of crafting a new community. Perhaps most significantly, they hired one of the leading urban planning firms of the twentieth century - Harland Bartholomew & Associates - to design the Village. Bal Harbour is one of only a few Miami-Dade County municipalities that were built with a fully conceived master plan in place. From the beginning, the Village was envisioned as a modern community that would maintain exceptionally high standards, provide superior services and foster civic pride. Village founders thoughtfully master-planned this model community and it has evolved into an internationally renowned place to live and visit. Their goal was to make this Village, with its unusual advantages of ocean and bay and South Florida climate, a lovely place to live. Government Structure The Village of Bal Harbour has a “council-manager” form of government. The Bal Harbour Village Council is made up of the Mayor, Assistant Mayor and three Councilmembers. The Mayor presides over Council meetings and is considered the Village’s representative locally, nationally, and internationally. The Council sets policy for the village. Setting policy means making decisions about what is allowed and 19 OVERVIEW what is not allowed in the Village, about what services need to be provided to the residents, businesses and visitors, and about how to solve problems that concern citizens. The Village Council appoints the Village Manager to manage the day-to-day operations of the Village. The Village Manager works closely with the Mayor and Councilmembers to provide Village services and pass ordinances that are important to residents. With the assistance of his executive management team and Village staff, the Village Manager oversees the Village’s departments and major Village functions. FINANCIAL STRUCTURE The following details the Bal Harbour Village Fund Structure, describing the various funds and providing information regarding appropriations, or spending authority, within those funds. A fund is a set of self-balancing accounts that are segregated for the purpose of carrying on specific activities or attaining certain objectives, as required by special regulations, restrictions, or limitations. Bal Harbour Village’s funds can be divided into three categories: governmental funds, proprietary funds, and fiduciary funds. Only governmental funds and proprietary funds are appropriated as part of the annual budget. The budget resolution that is presented to the Council in September for the two public budget hearings follows this fund structure. Governmental Funds Governmental funds account for most of the Village’s basic services. Taxes, intergovernmental revenues, and charges for services, principally support the activities reported in this fund. The General Fund is the Village’s primary operating fund. It is used to account for the financial resources of the general government and operating departments except those required to be accounted for in another fund. Within the general fund, the operating budget separates expenditures by departments and operational activities. The separation provides accountability for directors to manage and monitor their departmental expenditures and also to track expenditures at the more discrete activity level. The General Fund Base Budget for FY 2017-18, reflects a decrease of 7.57% over the current fiscal year budget, inclusive of capital enhancements, the FY 2017-18 Proposed Budget reflects an increase of 3.69% over the current fiscal year budget. These expenditures include public safety, parks and open space, building and permitting, and administrative activities. Proprietary Funds Proprietary funds are those funds where the Village charges a user fee in order to recover costs; they are used to finance and account for the acquisition, operation, and maintenance of facilities and services that are intended to be entirely or predominantly self-supporting through the collection of charges from external customers. The Village has two proprietary funds, the Water & Wastewater Utility Fund and the Security and Landscape Assessment Fund. The Water & Wastewater Utility Fund captures the fees for service and expense, related debt, and capital projects associated with operations of the utility. The FY 2017-18 Proposed Budget for the Water & Wastewater Utility Fund includes a pass-through rate increase for sewer as a result of increases from our wholesale service providers and the continuation of the Utility Master Plan capital project. The 20 OVERVIEW Security and Landscape Assessment Fund, includes an assessment rate sufficient to provide for all planned service expenses in the coming fiscal year. Fiduciary Funds Fiduciary funds are used to report assets held in a trust for a specific purpose. The Village currently has forfeiture moneys from prior fiscal years held in restricted funds. The use of these funds must follow an approval process required by State Statute with subsequent approval by the Village Council. In addition, the Village has two pension related fiduciary funds for the General Employee and Police Pensions. WHAT IS A BUDGET? An annual budget is a financial, operating, and capital plan for the coming fiscal year. It provides an outline of service levels provided to the citizen, and public capital investments in the community, for use by both our customers and the village. Bal Harbour Village’s Proposed Budget for FY 2017- 18 is a tool that serves five purposes: • Planning: The budget process is an annual plan for management of the Village to coordinate and schedule program and services to address the Village’s priorities. • Prioritization: Village resources that address needs identified by the Mayor, Councilmembers, and residents, are prioritized through this process. • Information: The Proposed Budget document is the primary way for the Village to explain to the public what it intends to do with the taxes and fees it collects. Through the document, the public can see how and where tax dollars and other revenues raised by the Village will be spent. • Evaluation: The budget is used to help determine how well services are provided and how successful the Village is in meeting the community’s needs. • Accountability: The budget is a tool for legally authorizing public expenditures and to account for and control the use of public resources. The Fiscal Year 2017-18 Proposed Operating and Capital Budget for Bal Harbour Village, Florida is intended to serve as a policy guide, a financial plan, and a means of communication. The annual budget is determined for a fiscal year, which is the twelve-month cycle that comprises the jurisdiction’s reporting period. The State of Florida and certain Federal programs have different fiscal years than the Village. The Village's fiscal year starts on October 1 and ends September 30 of the following year. This Proposed Budget is for the period October 01, 2017 to September 30, 2018 and is shown as either ‘FY 2017-18’ or ‘FY 2018’. Property Taxes Millage Rates The millage rate is the tax rate that is applied to property values to generate the revenue needed to pay for services proposed and adopted in the budget. A mill is a rate of tax 21 OVERVIEW equal to $1 for each $1,000 of assessed taxable property value. If a piece of property has a taxable value of $100,000 and the millage rate is 1, the property owner would pay $100 in taxes. The rolled-back rate, calculated as required by the State Department of Revenue will provide the same ad valorem tax revenue as levied during the prior year exclusive of new construction and improvements. Overall, the proposed millage rate is 3.81 percent above the state defined aggregate rolled-back rate. The tentative operating millage rate for FY 2017-18 is 1.9654 mills, is the same as the current year millage rate and still among the three lowest of Miami-Dade County municipalities. Setting the Millage Rate Each year, the Proposed Budget is developed with millage rates necessary to fund the property tax supported portion of the budget. At its July meeting, the Council must determine the millage rates that will be used for the tax notices mailed to all property owners in August. The tax notices also referred to as TRIM notices; TRIM stands for Truth In Millage. The tax rates that are on the notices property owners receive in August represent the ceiling of the rates that can be approved by the Council at the September budget hearings, unless additional notices are sent to all property tax payers. Because re-noticing all taxpayers is difficult and expensive, the tax rates included in the TRIM notices are considered the ceiling. Several years ago, the State Legislature approved legislation intended to provide tax relief to the citizens of Florida. In addition to requirements to lower the tax rates themselves for one fiscal year, it instituted new definition and voting requirements that apply to governing boards when setting millage rates. Already established was the State defined rolled-back millage rate which is the millage rate that, when applied to the tax roll for the new year, excluding the value of new construction and any dedicated increment value, would allow the taxing authority to raise the same amount of property tax revenue for the new budget as it estimates to receive in the current year. Section 200.065 of State Statutes outlines this rate, known as the “no tax increase” rate because it allows the entity to generate the same property tax revenue from year to year, adjusted only by any new properties that may have been placed on the property tax roll. Because it does not take into account value adjustments for properties already on the property tax roll, the rolled-back rate does not take into account inflationary growth in the Village. The current year rolled-back rate for the Village is 1.8933. The State has defined the highest millage rate that may be levied with a simple majority vote of the governing body known as the maximum millage rate. This rate is the rolled- back rate, adjusted for the growth in per capita personal income in Florida (1.0311). Beginning in FY 2009-10, the maximum millage rate is based on the rolled-back rate (the rate that generates the same property tax revenue) assuming the maximum millage rate had been adopted for the prior year and then adjusted for growth in per capita Florida personal income, whether or not the maximum millage rate had been adopted in the prior year. In other words, if the millage rate that was adopted was higher than the calculated maximum millage rate, that rate is the cap. If a millage rate below the maximum millage rate is adopted, an adjustment is made to credit the revenue that was lost because a rate below the maximum millage rate was adopted. The formulas 22 OVERVIEW used to calculate the various millage rates is promulgated by the Florida Department of Revenue. The Council may adopt a rate that is higher than the state- defined maximum millage rate. State law provides that a millage rate of up to 110 percent of the calculated maximum millage rate may be adopted if approved by a two-thirds vote of the governing body of the Village. A millage rate higher than 110 percent may be adopted by unanimous vote or a three-fourths vote if the governing body has nine or more members. The penalty for violating these standards is the loss of state revenue from the local government half-cent sales tax for a period of twelve months. 23 OVERVIEW Additional Property Tax Legislation Amendment 10 to the State Constitution from 1992, also known as Save Our Homes limits the growth in assessed value of residential properties with a homestead exemption to the lesser of the growth in the Consumer Price Index or three percent. Adjustments for Amendment 10 have resulted in a disparity for assessed values among homestead exempt properties with long standing owners and non-homestead exempt properties or those which have changed hands in recent years. The State Constitution allows an exemption of up to $50,000 for homesteaded properties and caps the assessment value increase for non-homestead properties at ten percent. There is also an exemption of $25,000 for tangible personal property (TPP), which is usually the equipment and other assets of a business. Calculation of Property Taxes There are four factors for calculating the amount of property tax assessed on property: 1. The assessed value of the property; 2. Adjustments for Amendment 10 of the Florida Constitution, if applicable this amendment limits the growth in assessed value of residential properties with a homestead exemption to the lesser of the growth in the Consumer Price Index (CPI) or three percent; 3. The amount of value that is not subject to taxes (e.g., the $50,000 homestead exemption and the additional homestead exemption for senior citizens who meet income criteria, the $25,000 exemption for personal property); and 4. The millage rate, established according to state law restrictions. According to state law, the County Property Appraiser determines the market value of each property in Bal Harbour Village as of January 1 each year. Then Amendment 10 adjustments are applied to find the assessed value. Finally, appropriate exemptions are applied to reach the taxable value. The taxable value is then multiplied by the millage rates set by the Council in September to determine the amount of property taxes that must be paid for the property in November. The Village levies a municipal millage rate and a solid waste assessment, and security and landscape assessment, these items appear on the tax notice for the Village along with County, School Board, and Special District taxes. 24 FUNCTIONAL TABLE OF ORGANIZATION FISCAL YEAR 2017-18 Citizens Village Council Village Attorney Village Manager Finance & Budget Police Code Compliance Building Planning & Zoning Tourism Parks & Public Spaces Recreation Greenspace Management Public Works Property Management Village Clerk 25 26 FY 2017-18 Proposed Operating & Capital Budget FY 2014 Actual FY 2015 Actual FY 2016 Actual FY 2017 Adopted Budget FY 2018 Proposed Budget % Change from FY 2017 Budget GENERAL FUND REVENUE Ad Valorem Taxes 6,705,250 7,370,090 7,190,101 8,278,353 9,922,314 19.86% Delinquent Ad Valorem Taxes 76,387 221,412 3,662 0 0 Utility Service Tax 890,629 863,401 860,407 865,000 787,980 -8.90% Franchise Fee 890,629 696,928 668,494 698,576 670,000 -4.09% Intergovernmental Revenue 1,057,524 768,865 750,423 719,178 732,298 1.82% Permits & Licenses 1,610,080 1,772,860 1,296,318 1,415,188 1,840,000 30.02% Fines & Forfeitures 587,810 612,607 759,921 558,330 597,000 6.93% Miscellaneous 611,204 595,902 791,196 633,561 710,273 12.11% Solid Waste Assessments 629,838 630,305 622,465 652,077 671,685 3.01% Subtotal Operating Revenue 13,059,351 13,532,372 12,942,987 13,820,263 15,931,550 15.28% Fund Balance-Capital Projects Reserve 1,078,000 1,595,627 1,712,800 175,000 -89.78% TOTAL GENERAL FUND REVENUE 13,059,351 14,610,372 14,538,614 15,533,063 16,106,550 3.69% 27 FY 2017-18 Proposed Operating & Capital Budget FY 2014 Actual FY 2015 Actual FY 2016 Actual FY 2017 Budget FY 2018 Proposed Budget % Change from FY 2017 Budget GENERAL FUND LEGISLATIVE Salaries & Benefits 49,250 41,229 51,645 68,044 69,986 2.85% Other Operating 21,181 34,317 642,905 320,200 100,600 -68.58% Operating Capital 0 0 0 0 0 TOTAL LEGISLATIVE 70,431 75,546 694,549 388,244 170,586 -56.06% ADMINSTRATION Salaries & Benefits 812,942 850,399 912,084 1,020,606 1,055,592 3.43% Other Operating 69,290 79,465 60,788 131,400 113,400 -13.70% Operating Capital 0 0 0 0 0 TOTAL ADMINISTRATION 882,232 929,863 972,872 1,152,006 1,168,992 1.47% FINANCE Salaries & Benefits 349,905 436,630 408,683 491,412 492,080 0.14% Other Operating 163,345 82,176 99,746 156,895 160,305 2.17% Operating Capital 0 0 0 0 0 TOTAL FINANCE 513,249 518,806 508,430 648,307 652,385 0.63% GENERAL GOVERNMENT Salaries & Benefits 163,948 228,221 173,834 191,000 283,483 48.42% Other Operating 682,397 459,940 645,745 966,661 1,375,673 42.31% Operating Capital 0 1,050,000 1,109,302 200,000 200,000 0.00% TOTAL GENERAL GOVERNMENT 846,344 1,738,162 1,928,881 1,357,661 1,859,156 36.94% LAW ENFORCEMENT Salaries & Benefits 4,625,376 5,000,129 5,718,065 5,552,751 5,871,014 5.73% Other Operating 921,001 1,042,947 932,640 953,445 878,108 -7.90% Operating Capital 0 0 0 116,000 55,000 -52.59% TOTAL LAW ENFORCEMENT 5,546,377 6,043,076 6,650,705 6,622,196 6,804,122 2.75% 28 FY 2017-18 Proposed Operating & Capital Budget FY 2014 Actual FY 2015 Actual FY 2016 Actual FY 2017 Budget FY 2018 Proposed Budget % Change from FY 2017 Budget GENERAL FUND BUILDING Salaries & Benefits 164,166 93,451 227,633 429,319 628,040 46.29% Other Operating 737,538 920,801 562,074 393,000 364,300 -7.30% Operating Capital 0 0 0 0 0 TOTAL BUILDING 901,704 1,014,252 789,707 822,319 992,340 20.68% PUBLIC WORKS Salaries & Benefits 450,575 350,918 215,983 230,401 320,880 39.27% Other Operating 1,158,877 1,242,108 1,519,518 2,272,625 1,899,761 -16.41% Operating Capital 0 0 0 0 0 TOTAL PUBLIC WORKS 1,609,452 1,593,026 1,735,501 2,503,026 2,220,641 -11.28% PARKS & RECREATION Salaries & Benefits 282,200 247,932 243,499 264,749 250,230 -5.48% Other Operating 107,460 99,129 85,462 200,550 178,250 -11.12% Operating Capital 0 0 0 0 934,360 TOTAL PARKS & RECREATION 389,660 347,061 328,961 465,299 1,362,840 192.90% INFORMATION TECHNOLOGY Salaries & Benefits 0 0 0 0 0 Other Operating 0 128,109 180,886 226,982 256,247 12.89% Operating Capital 0 170,603 177,847 741,845 189,064 -74.51% TOTAL INFORMATION TECHNOLOGY 0 298,713 358,734 968,827 445,311 -54.04% LEGAL SUPPORT SERVICES (General Fund only) Salaries & Benefits 0 0 0 0 0 Other Operating 381,619 399,013 554,324 605,179 430,179 -28.92% Operating Capital 0 0 0 0 0 TOTAL LEGAL SUPPORT SERVICES 381,619 399,013 554,324 605,179 430,179 -28.92% GENERAL FUND TOTAL 11,141,068 12,957,518 14,522,664 15,533,064 16,106,550 3.69% 29 FY 2017-18 Proposed Operating & Capital Budget FY 2014 Actual FY 2015 Actual FY 2016 Actual FY 2017 Budget FY 2018 Proposed Budget % Change from FY 2017 Budget RESORT TAX FUND REVENUE Operating Revenue 3,558,593 3,530,930 3,449,032 3,393,357 3,442,883 1.46% Carryforward/ Fund Balance 0 212,583 223,107 488,267 0 -100.00% Capital & Operating Revenue 3,558,593 3,743,513 3,672,139 3,881,624 3,442,883 -11.30% TOURISM Salaries & Benefits 251,548 191,457 159,100 259,072 259,921 0.33% Other Operating 1,362,560 1,370,351 1,723,951 1,796,889 1,728,910 -3.78% Operating Capital 0 189,900 0 0 0 TOURISM TOTAL 1,614,108 1,751,708 1,883,051 2,055,961 1,988,831 -3.27% BEAUTIFICATION/ GREENSPACE /OTHER RESORT TAX ELIGIBLE Salaries & Benefits 279,079 323,327 357,867 361,475 247,052 -31.65% Other Operating 1,033,577 1,478,578 1,431,221 1,464,189 1,207,000 -17.57% Operating Capital 0 189,900 0 0 0 TOTAL BEAUTIFICATION/GREENSPACE 1,312,656 1,991,805 1,789,088 1,825,663 1,454,052 -20.35% RESORT TAX FUND TOTAL 2,926,764 3,743,513 3,672,139 3,881,624 3,442,883 -11.30% 30 FY 2017-18 Proposed Operating & Capital Budget FY 2014 Actual FY 2015 Actual FY 2016 Actual FY 2017 Budget FY 2018 Proposed Budget % Change from FY 2017 Budget WATER & WASTEWATER UTILITY FUND REVENUE Operating Revenue 3,552,719 3,805,864 4,457,890 5,180,680 4,816,610 -7.03% Debt Proceeds (Capital)1,675,000 0 0 4,000,000 0 -100.00% Inergovernmental Revenue/ CO 0 540,303 534,698 1,713,381 2,245,000 31.03% Carryforward/ Contributions 0 0 475,000 0 2,277,000 Capital & Operating Revenue 5,227,719 4,346,166 5,467,588 10,894,061 9,338,610 -14.28% WATER & WASTEWATER UTILITY Salaries & Benefits 104,975 204,971 397,786 494,249 538,219 8.90% Other Operating 3,097,877 3,624,561 3,148,190 3,310,231 3,230,240 -2.42% UTILITY OPERATIONS TOTAL 3,202,852 3,829,532 3,545,976 3,804,479 3,768,460 -0.95% Capital Projects 939,451 276,832 1,689,628 4,000,000 2,245,000 -43.88% UTILITY FUND TOTAL 4,142,303 4,106,364 5,235,604 7,804,479 6,013,460 -22.95% 31 FY 2017-18 Proposed Operating & Capital Budget FY 2014 Actual FY 2015 Actual FY 2016 Actual FY 2017 Budget FY 2018 Proposed Budget % Change from FY 2017 Budget LANDSCAPE & SECURITY ASSESSMENT FUND REVENUE Operating Revenue 665,668 523,421 443,434 426,921 569,988 33.51% Fund Balance 0 11,796 11,718 175,918 0 -100.00% Capital & Operating Revenue 665,668 535,217 455,152 602,839 569,988 -5.45% LANDSCAPE & SECURITY ASSESSMENT AREA EXPENSE Salaries & Benefits 7,761 15,342 20,083 33,410 40,430 21.01% Other Operating 376,646 519,875 435,070 569,429 529,558 -7.00% L & S ASSESSMENT TOTAL 384,407 535,217 455,152 602,838 569,988 -5.45% TOTAL PARKS AND PUBLIC SPACES DEPART 7,838,477 8,573,473 9,544,306 13,176,755 11,620,979 -11.97% TOTAL ALL FUNDS 18,594,542 21,342,612 23,885,560 26,880,305 26,132,881 -6.07% 32 FISCAL YEAR 2017-18 PROPOSED OPERATING & CAPITAL BUDGET FY 2017-18 total Revenue with Tentative Millage @ (1.9654 mills )$16,106,550 FY 2016-17 Adopted General Fund Budget (1.9654 mills)$13,823,676 CHANGES IN PROPOSED BUDGET FROM FY 2016-17 ADOPTED BUDGET Increases Retirement Increase (ARC) PD Off-Duty & Overtime Maintenance Special Events Less Reductions Net Change to FY 2017-18 Budget 443,514 FY 2017-18 General Fund Preliminary Base Budget $14,267,190 PROPOSED ENHANCEMENTS to the FY 2017-18 BASE BUDGET Operating Budget Stabilization Reserve $250,000 subtotal operating $250,000 Capital Waterfront Park $884,360 Jetty Restoration $332,000 96th Street Plaza $100,000 Jogging Path $100,000 Beach Furniture $75,000 Haulover Skate Park $50,000 Skid Loader $48,000 subtotal capital $1,589,360 Total Proposed Enhancements $1,839,360 FY 2017-18 Proposed General Fund Budget $16,106,550 Revenue Less Expense $0 FY 2017-18 PROPOSED GENERAL FUND OPERATING BUDGET 33 FY 2017-18 PROPOSED OPERATING & CAPITAL BUDGET The Millage and Budget Resolutions are the legislation approved by the Village Council to adopt the annual budget. The attachment to the Resolutions, which establishes the expenditure authority by department and by fund, are included in this document. There are seven (7) pieces of legislation associated with the adoption of the Proposed Budget. The following are presented to the Village Council for adoption: • Resolutions delineating the millage rate, revenues and expenditures for the Village departments and funds; • Resolution establishing solid waste service assessments; • Resolution establishing the assessment rate for security and landscape services within the gated residential section; • Resolution establishing Water & Wastewater rates for the Village Utility; • Resolution adopting a comprehensive fee schedule for the Village. Discussion of the millage rate must be the first substantive action taken at the public hearings. As you know, Bal Harbour Village has three (3) primary funds used for Village operations – the General Fund, the Resort Tax Fund, and the Water and Wastewater Utility Fund. By way of process, budget development begins with an evaluation of anticipated revenue, an evaluation of reductions or savings that can be derived over the prior year, and a determination of the cost associated with the current level of service delivered to residents; this generates the development of the Base Budget for the fiscal year. Revenue permitting, an evaluation of additional service enhancements or capital projects may be evaluated for inclusion to comprise the Proposed Budget. The Proposed General Fund Base Budget for FY 2017-18 is $14,267,200, which is a decrease of 7.57% over the FY 2016-17 Budget, largely due to reduction in legal related and capital expense, inclusive of proposed enhancements the General Fund budget is $16,160,600. The Resort Tax Fund Proposed Budget is $3,442,900, which is a decrease of 11.30% over the current FY 2016-17 Budget, primarily due to reductions in contractual services and special event expense. The Water and Wastewater Utility Fund is $6,013,500 which is a 22.95% decrease over the FY 2016-17 Budget, as a result of programming of less capital expenditures than the prior fiscal year. REVENUES Municipalities within the State of Florida are entitled by law to collect revenues for eligible public purposes. Municipalities generate their revenue from a combination of sources including fees and charges, property taxes, state shared revenue and specifically authorized taxes. A summary of primary General Fund revenue sources is provided below. AD VALOREM TAXES Ad valorem tax or “property tax” is a major source of revenue for local governments in Florida. “Ad valorem” is Latin for “the value of.” Ad valorem taxes constituted 30 percent of total 34 FY 2017-18 PROPOSED OPERATING & CAPITAL BUDGET county revenue, and 15 percent of total municipal revenues. This makes it by far the largest single source of general revenue for general-purpose governments in Florida. The property tax is a limited revenue source. The Florida Constitution caps the millage rate assessed against the value of property at 10 mills per taxing entity. That is, taxing units are prohibited from levying more than $10 in taxes per $1,000 of taxable value on properties they tax, without obtaining voter approval. The proposed millage rate for FY 2017-18 is 1.9654 mills, this rate is consistent with the last two fiscal years, and equates to $1.9654 per $1,000 of assessed value to generate ad valorem revenue. FY 2016-17 projected current year ad valorem revenue is $7,856,600, an amount that is $421,800, less than budgeted as a result of Value Adjustment Board action. Delinquent ad valorem revenue collected in the current year, is projected at $271,000, bringing total FY 2017 collections to $8,128,264, or $150,000 less than budgeted. Similarly, FY 2015 experienced $372,900 less ad valorem revenue collected than budgeted, and FY 2016 experienced $744,900 less collected than budgeted. The results, which began in FY 2015, grew significantly in FY 2016. Although the multi-year backlog of appeals have now been cleared by the Miami-Dade County Property Appraiser’s Office a new influx of appeals is anticipated associated with the Oceana development, and we know appeals are ongoing related to the St. Regis Bal Harbour. The budgeting of ad valorem revenue is governed by the Truth in Millage (TRIM) process required by the State of Florida, with the intent to inform the public about the legislative process determining local property taxes. The TRIM process commencing in July with the certification of taxable values by the property appraiser, and the establishment of a proposed millage rate by the governing body, a public hearing date is established for the first September budget hearing where the tentative millage rate will be set by the governing body. The tentative budget presented is required to include at least 95% of ad valorem proceeds as a revenue source, computed as required by F.S. 200.065, multiplying the tentative millage rate to the certified taxable value provided by the property appraiser. The five-percent (5%) is intended to allow for value adjustments and discounts up to four-percent (4%), offered for early tax payments. This does not allow local governments to budget anticipated revenue collected based upon recent trends, latitude we have will all other revenue sources. If we had this ability, we could reasonable estimate a reduction of $250,000 in ad valorem collections due to value adjustment board appeals; to mitigate this impact the Proposed Budget incorporates a budget stabilization line item in the amount of $250,000. The TRIM process incorporates a very prescriptive timeframe, providing for specific advertising placements, timeframes and notification to taxpayers commencing in July and concluding in September. However, in contrast, the tax year runs from January to December, with the Value Adjustment Board appeal window for taxpayers believing their property value is incorrectly assessed running through September; in short, a process is commencing which can result in an adjusted taxable value as municipalities are adopting their budgets and millage rates for the following fiscal year. The budget stabilization line item will minimize or prevent the swings we have experiences in the last two fiscal years with ad valorem proceeds. To mitigate comparable Value Adjustment Board impacts to FY 2017-18, we have incorporated a budget stabilization reserve in the amount of $250,000 into the Proposed Budget. 35 FY 2017-18 PROPOSED OPERATING & CAPITAL BUDGET The ad valorem revenue for the FY 2017-18 Proposed Budget, derived from a tentative millage rate of 1.9654 mills are $9,922,314. While it is likely additional impacts resulting from future Value Adjustment Board action will result in FY 2017, the State Statutes require ad valorem revenue are budgeted at 95%, a budget stabilization reserve is incorporated into the Proposed Budget to offset revenue decreases anticipated in the coming fiscal year. At 1.9654 mills, Bal Harbour Village’s millage rate is the third lowest in Miami-Dade County out of all 34 municipalities, and the lowest municipality that is not newly-incorporated. This means that Bal Harbour Village is the only municipality within the seven with the lowest millage rates, that is a full service municipality with legacy related expenses such as pensions; all others were incorporated in 2000 or later. PRELIMINARY TAX ROLL By law, the Property Appraiser is required to give a “preliminary certification” of the tax roll by June 1 of each year. The “final” certification by the Property Appraiser is due by July 1 of each year. Each jurisdiction is then required to set a “tentative” millage no later than July 31 of each year. Finally, a “final” millage is set by the Village Council after two public meetings held in September of each year. The tax roll certified by the Miami-Dade County Property Appraiser on July 01, 2017 is $5,314,206,510, which includes an addition of $810,208,807 in new construction and improvements. At the current and proposed tentative millage rate of 1.9654 mills, and calculated at 95% of the adjusted taxable value certified as required per F.S. 200.065(1)(a)1, the ad valorem revenue generated is $9,922,314, resulting in an increase of approximately $1,643,900, of tax revenue Villagewide over current year ad valorem budgeted revenue of $8,278,400. STATE PASS THROUGH REVENUE Sales and Option Taxes, State Revenue Sharing, and Communications Service Taxes are received by the Village through the State of Florida, overall these revenues showed a slight decline in the last few years, but are projected to stabilize in FY 2017-18. Estimates for these revenues are provided by the Florida Department of Revenue, budgeted values are derived from State projections based upon prior year actual Bal Harbour FY 2017-18 Proposed Millage Rate 1.9654 36 FY 2017-18 PROPOSED OPERATING & CAPITAL BUDGET collections, combined with current market trends within key industries. LOCAL GOVERNMENT HALF-CENT SALES TAX PROGRAM Authorized in 1982, the program generates the largest amount of revenue for local governments among the state-shared revenue sources currently authorized by the Legislature. It distributes a portion of state sales tax revenue via three separate distributions to eligible county or municipal governments. Additionally, the program distributes a portion of communications services tax revenue to eligible fiscally constrained counties. Allocation formulas serve as the basis for these separate distributions. The program’s primary purpose is to provide relief from ad valorem and utility taxes in addition to providing counties and municipalities with revenues for local programs. FY 2016 revenues for the Village were $218,300, and FY 2017 revenue projections are $199,400, FY 2018 budgeted revenues are $212,700. LOCAL OPTION SALES TAX Seven different types of local discretionary sales surtaxes (also referred to as local option sales taxes) are currently authorized in law and represent potential revenue sources for county and municipal governments and school districts. The local discretionary sales surtaxes apply to all transactions subject to the state tax imposed on sales, use, services, rentals, admissions, and other authorized transactions, and communications. FY 2016 revenues for the Village were $143,100, FY 2017 revenue is projected at $142,700, and FY 2018 budgeted revenue is anticipated at $144,700. REVENUE SHARING The Florida Revenue Sharing Act of 1972, codified as Part II of Chapter 218, Florida Statutes, was an attempt by the Florida Legislature to ensure a minimum level of revenue parity across municipalities and counties. Provisions in the enacting legislation created separate revenue sharing trust funds for municipalities and counties, identified appropriate revenue sources, specified formulas for redistribution and listed eligibility requirements. Subsequent changes have not resulted in major revisions to the overall program. Changes have centered on the expansion of county bonding capacity and changes in the revenue sources and tax rates. The current Municipal Revenue Sharing Trust Fund includes three sources for municipalities: 1.3409 percent of net sales and use tax collections, the state-levied one-cent municipal gas tax collections, and 12.5 percent of the state alternative fuel user decal fee collections. FY 2016 revenues for the Village were $71,400, FY 2017 projections are $70,400, and FY 2018 budgeted revenue is anticipated at $71,900. PUBLIC SERVICE OR UTILITY TAX Section 166.231(1)(a), Florida Statutes, provides that a municipality may levy a tax, not to exceed 10 percent, on the purchase of electricity, metered or bottled gas (natural liquefied petroleum gas or manufactured), and water service. This tax is often referred to as a “utility tax.” The tax shall be levied only upon purchases within the municipality. FY 2016 revenues for the Village were $860,400, FY 2017 projections are $774,000, and FY 2018 budgeted revenue is anticipated at $788,000. 37 FY 2017-18 PROPOSED OPERATING & CAPITAL BUDGET COMMUNICATIONS SERVICES TAX In 2000, the Florida Legislature created the Communications Services Tax. This legislation created a new simplified tax structure for communications services which is codified in Chapter 202, Florida Statutes. Municipalities and charter counties are authorized to levy a tax up to 5.1 percent on the transmission of voice, data, audio, video or other information services, including cable services. In addition, municipalities are authorized to levy an additional surcharge up to 0.12 percent to cover the costs of permitting activity within public rights of way. Some cities’ rates are higher due to a revenue-neutral conversion rate enacted by the Legislature for this law FY 2016 revenue collections for the Village were $311,500, FY 2016 projections are $285,700, and FY 2018 budgeted revenue is anticipated at $298,600. FRANCHISE FEES A “franchise fee” is often confused with a public service or utility tax. There is, however, a very clear distinction. A franchise fee is a negotiated fee to a company or utility for the use of municipal rights of way (for their poles, lines, pipes, etc.), and could include the value of the right for the utility to be the exclusive provider of its services within a specified area. It is charged directly to the utility and payable to the municipal governing body by the utility as a cost of doing business. It cannot be a direct charge to the customers of the utility, but it appears to be done so due to a Florida Public Service Commission rule. FY 2016 revenues to the Village were $668,500, FY 2017 projections are $660,000, and FY 2018 budgeted revenue is anticipated at $670,000. BEVERAGE LICENSE TAX Various alcoholic beverage license taxes are levied on manufacturers, distributors, vendors, and sales agents of alcoholic beverages in Florida. The tax is administered, collected, enforced, and distributed back to the local governments by the Division of Alcoholic Beverages and Tobacco within the Florida Department of Business and Professional Regulation. Proceeds from the license tax fees are deposited into the Alcoholic Beverage and Tobacco Trust Fund, which is subject to the 7.3 percent General Revenue Service Charge. From the alcoholic beverage license tax proceeds collected within an incorporated municipality, 38 percent is returned to the appropriate municipal officer. An authorized use of the proceeds is not specified in the statutes. FY 2016 revenue distributed to the Village was $6,100, FY 2017 projections are $5,432, and FY 2018 budgeted revenue is anticipated at $5,400. FINES AND FORFEITURES This revenue source includes receipts from fines and penalties imposed for the commission of statutory offenses, violation of legal administrative rules and regulations, and for neglect of official duty. Fines include, but are not limited to, court fines, violations of municipal ordinances, pollution control violations, animal control fines and library fines. Forfeitures include revenues resulting from confiscation of deposits or bonds held as performance guarantees, and proceeds from the sale of contraband property seized by law enforcement agencies. Eighty-seven percent of this revenue for the Village is derived from the Village’s red light camera program, traffic, and code 38 FY 2017-18 PROPOSED OPERATING & CAPITAL BUDGET enforcement fines comprise the balance. FY 2016 revenues collections for the Village were $759,900, $597,200 of which is red light camera revenue, FY 2017 projection is $275,900, $198,000 is red light camera revenue, which is reduced by the construction activities on Collins Avenue which necessitate the temporary removal of cameras, and FY 2018 budgeted revenue is anticipated at $597,000, $520,000 of which is red light camera related. INVESTMENT INCOME Revenues derived from the investment of cash receipts and idle funds are an important source of revenue. Many local governments in Florida are recognizing the importance of establishing effective investment policies and cash management programs. The 1995 Florida Legislature, also recognizing this critical need of state and local governments, enacted Chapter 95-194, Laws of Florida. This act creates the state investment policy for public funds and provides its applicability to the state, local governments, and public officers. This act also creates the “State Investment Policy Committee” and provides for its duties in recommending changes to the state investment policy and its duties in reviewing investments and vendors of investments eligible for receiving public funds. Section 166.261, Florida Statutes, is amended by this legislation to prescribe the duties of municipalities with respect to investment funds: “The governing body of each municipality shall invest and reinvest any surplus funds in its control or possession in accordance with the state investment policy for public funds.” The term “surplus funds” is redefined as “funds in any general or special account or fund of the municipality, held or controlled by the governing body of the municipality, which funds are not reasonably contemplated to be needed to meet current expenses”. This law further requires that all municipalities shall adopt written investment policies by October 1, 1995 or a municipality’s investments must be limited to certain categories of investments authorized by statute. FY 2016 revenue is $39,500, FY 2017 projections are $67,500, and FY 2018 budgeted revenue is anticipated at $72,800, due to increased basis point earnings at the State Board of Administration. REVENUE SUMMARY ALL FUNDS All operating revenues by Fund are summarized in the chart below for five fiscal years. Total FY 2017-18 proposed operating revenue for the three primary funds is $24,191,100. The General Fund comprises sixty-five percent of revenue, nine-teen percent is the Water and Wastewater Utility Fund revenue, and fourteen percent is the Resort Tax Fund revenue. The Security and Landscape Assessment Fund is over two percent of revenue at $560,000. Operating Revenue Summary by Fund FY 2014 Actual FY 2015 Actual FY 2016 Actual FY 2017 Budget FY 2018 Proposed Budget General Fund $13,059,351 $13,532,372 $12,942,987 $13,820,263 $15,931,550 Resort Tax Fund 3,558,593 3,743,513 3,672,139 3,881,624 3,442,883 Water and Wastewater Fund 3,552,719 3,805,864 4,457,890 5,180,680 4,816,610 Security & Landscape Assessment Fund $665,668 $535,217 $455,152 $602,839 $569,988 39 FY 2017-18 PROPOSED OPERATING & CAPITAL BUDGET The largest source of General Fund Revenues is property taxes at sixty-two percent, followed by State pass through revenue, Utility Tax, Franchise Fees, and Intergovernmental revenue comprising a total of fourteen percent at $2,190,000. All other revenue sources comprise single digit percentages, with Licenses and Permits as the next highest percentage at eleven and one-half percent. These include Local Business Tax and Building Permit revenue, anticipated at $1.840 million for FY 2017-18. Assessments include revenue collected for residential solid waste collection services at four percent of total General Fund revenue at $671,700 for FY 2017-18. Miscellaneous revenue are those which are not otherwise categorized for financial reporting purposes, these include interest earnings, lobbyist registration fees, parking meter collections, and administrative service charges, for the Village these comprise over four percent of total General Fund revenue at $710,273 largely due to the collection of police off- duty and retiree health pass through revenue within this category ($418,000). Fine and Forfeitures include traffic related fines and judgments, code enforcement, false alarm, and red light camera fines, these comprise over three percent of General Fund revenue at $597,000 for FY 2017-18. General Fund Revenue by Type FY 2016 Actual FY 2017 Adopted Budget FY 2018 Proposed Budget Percentage of General Fund Revenue GENERAL FUND REVENUE Ad Valorem Taxes 7,190,101$ 8,278,353$ 9,922,314$ 61.60% Delinquent Ad Valorem Taxes 3,662 0 0 0.00% Utility Service Tax 860,407 865,000 787,980 4.89% Franchise Fee 668,494 698,576 670,000 4.16% Intergovernmental Revenue 750,423 719,178 732,298 4.55% Permits & Licenses 1,296,318 1,415,188 1,840,000 11.42% Fines & Forfeitures 759,921 558,330 597,000 3.71% Miscellaneous 791,196 630,148 710,273 4.41% Solid Waste Assessments 622,465 655,490 671,685 4.17% Contributions from Fund Balance 1,595,627 1,712,800 175,000 1.09% Subtotal Operating Revenue 14,538,614 15,533,063 16,106,550 100% 40 FY 2017-18 PROPOSED OPERATING & CAPITAL BUDGET Recurring and non-recurring are two broad classifications applied to revenue. Recurring revenue, are from sources which can be anticipated year over year, examples of these are ad valorem taxes, state revenue sources, and fees or charges for service. Non-recurring revenue are those which cannot be anticipated in future years, examples of these for the Village are proceeds from developer agreements, the programming of prior year fund balance, single year funding allocations from other agencies, and debt proceeds. These are typically used for capital projects and non-operating purposes. The FY 2017-18 Proposed Budget includes $175,000 of non- recurring revenue within the General Fund from prior year developer contributions, for use toward beach path capital improvements. Within the Utility Fund $2,277,000, derived from prior year allocations toward the Utility Master Plan capital project will serve to continue these capital improvements and fund the capital purchase of a mini excavator mitigating recurring rental expenses. Of the capital allocation within the Utility Fund, $2,245,000 of the planned expense is reimbursable through Miami-Dade County General Obligation Bond Funds. The FY 2017-18 Proposed Budget for the Resort Tax Fund and Security and Landscape Assessment Fund does not include any non-recurring revenue in the coming fiscal year. Fees and Charges The evaluation of fees and service charges, provides an opportunity to ensure those that use services pay for the cost of service provision. An annual evaluation of existing fees for service within the Village is a part of each year’s budget development process. A comprehensive fee schedule accompanies the proposed budget for adoption by the Village Council to provide a singular reference point for all Village fees, so they are clearly identified for customers and staff alike. The annual evaluation of fees provides an opportunity, if so desired, to limit the proportionate share of revenue generated from property taxes. No fee changes are proposed for the coming fiscal year, however significant changes were made to the building and permitting fees in the current fiscal year, which are incorporated into the comprehensive fee schedule. Water & Wastewater Utility Fund Rates and Adjustments Water and Wastewater services within the Village are provided as an enterprise operation, through the Utility within the Parks and Public Spaces Department. Services are funded as payments for measurable water and wastewater services are 41 FY 2017-18 PROPOSED OPERATING & CAPITAL BUDGET consumed. Pursuant to Chapter 180, Florida Statutes, municipalities are authorized to establish just and equitable rates to be paid for the use of the utility. Rates established as charges for services should sustain its operations and satisfy any related debt. Water & Wastewater Utility Rates For the Village utility operations, water is purchased at a wholesale rate from the Miami-Dade County Water and Sewer Department (Miami-Dade WASD), and the City of Miami Beach applies a wholesale rate for wastewater or sewer services which travels through their system for treatment at to the Miami-Dade WASD Virginia Key plant. Wholesale water service is paid directly to Miami-Dade WASD, and wholesale sewer services are paid directly to the City of Miami Beach by the Village, for this reason their rates directly affect the rates the Village charges to our customers. The Miami-Dade WASD has incorporated a rate increase in their proposed FY 2018 Budget, due to projected operating expenses, increased reserve requirements, and debt service payments for necessary capital projects. The FY 2017-18 proposed budget Miami-Dade WASD increases are 5.77%, or $0.1000 cent for Water, and 4.95%, or $0.1460 cent for Wastewater rates, per 1,000 gallons. The wholesale service rates and proposed changes for sewer services incorporate both a dry season rate and a wet season rate, the two are blended to derive a rate for the fiscal year. The City of Miami Beach has incorporated Miami-Dade WASD’s sewer rate increase and added a $0.0014 cent increase to their proposed FY 2017-18 rate charged to the Village. The sewer rates for Miami-Dade WASD and the City of Miami Beach are summarized below. A surcharge is included within the City of Miami Beach wholesale sewer rate as an administrative fee and a renewal and replacement infrastructure fee. Miami-Dade County requires a Service Fee of $8.00 per each one hundred $100.00 of the receipts of the utility, this 8.0% is collected on each bill as Utility Tax and is remitted to the County at the conclusion of each fiscal year; this rate has remained unchanged since FY 2015. For the Village to absorb or pass-through the proposed rate increases of our wholesale service providers, the rates to our utility customers would increase by 2.09% to $4.88 per 1,000 gallons of consumed for Water and 1.79% to $8.38 per 1,000 gallons consumed for Sewer services, both with a minimum consumption of 3,000 gallons, as summarized below. 2016-17 2017-18 Percent Change Rate Per 1,000 gallons $1.7341 $1.8341 5.77% Miami-Dade Water & Sewer Wholesale Water Rates 2016-17 2017-18 Percent Change Blended Rate per 1,000 gallons $2.9477 $3.0937 4.95% Wet Rate per 1,000 gallons $3.3162 $3.4804 4.95% Dry Rate per 1,000 gallons $2.5793 $2.7070 4.95% Blended Rate per 1,000 gallons $3.2705 $3.4179 4.51% Wet Rate per 1,000 gallons $3.3162 $3.4804 4.95% wet season surcharge $0.3227 $0.3496 8.34% Dry Rate per 1,000 gallons $2.5793 $2.7070 4.95% dry seaon surcharge $0.3227 $0.2987 -7.44% Miami-Dade County Wastewater Wholesale Rates City of Miami Beach Wastewater Wholesale Rates 42 FY 2017-18 PROPOSED OPERATING & CAPITAL BUDGET The pass-through Water and Wastewater rate increases from our wholesale service providers to Village customers result in a rate of $4.88 per 1,000 gallons for water and $8.38 per 1,000 gallons for sewer with a minimum consumption of 3,000 gallons per month. The Village Budget Advisory Committee reviewed the proposed pass-through utility rate increases and reached consensus on the recommended rates at their July 24th meeting. The incremental impact of the rate adjustments compared to countywide consumption averages are nominal. As applied to countywide monthly consumption averages of 3,740 gallons, 6,750 gallons, and 10,000 gallo ns the monthly impact of these increases are $0.94, $1.69, and $2.50 respectively. These rates as proposed provide for the annual proprietary operations of the Village Utility, coverage of bond payments, and funds toward the advancement of pay-as-you- go improvements to operating capital for the Water and Wastewater Utility. Water rate per 1,000 gallons $4.78 $4.88 2.09% Wastewater rate per 1,000 gallons $8.23 $8.38 1.79% Percentage Increase Proposed Bal Harbour Utility Pass-through Rate Changes FY 2017 Rates FY 2018 Rates 43 FY 2017-18 PROPOSED OPERATING & CAPITAL BUDGET EXPENDITURES EXPENDITURE SUMMARY FY 2017-18 proposed expenditure by Department or Activity for all funds inclusive of enhancements totals $26,132,900, or six percent less than the FY 2017 Budget. Forty-five percent, or $11,621,000 is within the Parks and Public Spaces Department, which is comprised of the Public Works, Parks & Recreation, Utility, Beautification, and Security & Landscape activities for the Village, across all funds. Law Enforcement comprises twenty-six percent or $6,804,150 of expenditures followed by single digit allocations for the remainder of departments and activities. In contrast, the General Fund FY 2017-18 proposed expenditures are allocated as follows: forty-two percent are Law Enforcement, twenty-two percent for Parks and Public Spaces including the Public Works and Parks & Recreation activities, eleven and one-half percent for General Government, followed by single digit percentages for the remaining activities. Percentage of Total Expenditure Legislative $170,586 0.65% Administration 1,168,992 4.47% Finance 652,385 2.50% General Government 1,859,156 7.11% Law Enforcement 6,804,122 26.04% Building 992,340 3.80% Information Technology 445,311 1.70% Legal Support Services 430,179 1.65% Tourism 1,988,831 7.61% Parks and Public Spaces 11,620,979 44.47% TOTAL ALL FUNDS $26,132,881 100.00% All Funds FY 2017-18 Proposed Expenditure by Department/ Activity 44 FY 2017-18 PROPOSED OPERATING & CAPITAL BUDGET GENERAL FUND The FY 2017-18 Proposed Budget incorporates additional expenditures for retirement resulting from actuarial valuations of the Village pension plans ($257,500), increases to Police Department overtime and off-duty assignments ($191,000), increased maintenance expense due to improved routine maintenance schedules Villagewide ($104,000), additional expense for special events ($71,500). The impact of these increases were offset by reductions to expense order to balance the proposed base budget within in existing resources. These changes bring the General Fund FY 2017-18 Base Budget to $14,267,200, excluding proposed capital enhancements. Complementary to the evaluation of available revenue resources, the incorporation of inflationary expenditures, costs associated with existing levels of service, and opportunities for budgetary reductions, proposed operating and capital Percentage of Total Expenditure Legislative $170,586 1.06% Administration 1,168,992 7.26% Finance 652,385 4.05% General Government 1,859,156 11.54% Law Enforcement 6,804,122 42.24% Building 992,340 6.16% Public Works 2,220,641 13.79% Parks & Recreation 1,362,840 8.46% Information Technology 445,311 2.76% Legal Support Services 430,179 2.67% TOTAL GENERAL FUND $16,106,550 100.00% General Fund FY 2017-18 Proposed Expenditure by Department/ Activity FY 2017-18 total Revenue with Tentative Millage @ (1.9654 mills )$16,106,550 FY 2016-17 Adopted General Fund Budget (1.9654 mills)$13,823,676 CHANGES IN PROPOSED BUDGET FROM FY 2016-17 ADOPTED BUDGET Increases Retirement Increase (ARC) PD Off-Duty & Overtime Maintenance Special Events Less Reductions Net Change to FY 2017-18 Budget 443,514 FY 2017-18 General Fund Preliminary Base Budget $14,267,190 FY 2017-18 PROPOSED GENERAL FUND OPERATING BUDGET 45 FY 2017-18 PROPOSED OPERATING & CAPITAL BUDGET enhancements were identified for inclusion in the FY 2017-18 Proposed Budget. The proposed enhancements summarized above provide for the establishment of budget stabilization reserve of $250,000, and $1,589,400 in Villagewide capital improvements resulting in a total proposed General Fund expenditure of $16,106,600. PROPOSED ENHANCEMENTS to the FY 2017-18 BASE BUDGET Operating Budget Stabilization Reserve $250,000 subtotal operating $250,000 Capital Waterfront Park $884,360 Jetty Restoration $332,000 96th Street Plaza $100,000 Jogging Path $100,000 Beach Furniture $75,000 Haulover Skate Park $50,000 Skid Loader $48,000 subtotal capital $1,589,360 Total Proposed Enhancements $1,839,360 FY 2017-18 Proposed General Fund Budget $16,106,550 Revenue Less Expense $0 46 FY 2017-18 PROPOSED OPERATING & CAPITAL BUDGET CAPITAL AND CAPITAL PROJECTS The FY 2017-18 Proposed Operating and Capital Budget includes capital improvements Villagewide as summarized below. General Fund Capital The FY 2017-18 Proposed Operating and Capital General Fund Budget includes advancement of capital investment toward the restoration of the Jetty and Bal Harbour Park improvements, the construction of a 96th Street Plaza, improvements to the Jogging Path, the purchase of a mini-skid loader for use on the beach and jogging path, and the purchase and installation of beach furniture along our linear beach park totaling $1,589,400. Bal Harbour Jetty: The Jetty surface is degraded and requires significant restoration. This project will create a stable pedestrian walking surface and enhance the aesthetic of the Beach Jetty that will allow for enhanced features such as railing, seating, an Art in Public Spaces component such as a custom navigational lighting feature and custom walking surface. The base restoration of the surface has a cost $325,000, this is added to the FY 2017 allocation of the same amount totaling $664,000 toward the jetty improvement project. Waterfront Park Development: This project is part of the approved Development agreement between the Village and The Bal Harbour Shops, providing funding toward the design and redevelop the Bal Harbour Park after the charrette and plan approval. In concept the project will redesign the site for a waterfront community park, the proposed FY 2017-18 allocation of $300,000 toward the architectural and engineering design, and $584,360 toward the park improvements, is in addition to the FY 2017 allocation of $51,700 toward necessary seawall improvements for the site and a $3,500,000 contribution from the Shops toward the completion of this project. 96th Street Sunset Park: The design and construction of a Beach entrance plaza feature at the terminus of 96 Street and the Public entrance to the Beach in fifty-percent cooperation with the Town of Surfside, will create a pedestrian plaza to enhance the appearance of the street end and create a defined entrance to the Bal Harbour Beach at this street terminus. The proposed FY 2017-18 allocation of $100,000, is for the Village’s share of the proposed project. CAPITAL PROJECT FY 2018 Proposed Appropriation Total Capital Appropriation GENERAL FUND Jetty 332,000 664,000 Waterfront Park 884,360 884,360 Haulover Skate Park 50,000 50,000 Skid Loader 48,000 48,000 96th Street Plaza 100,000 100,000 Jogging Path 100,000 100,000 Beach Furniture 75,000 75,000 TOTAL CAPTIAL APPROPRIATION 1,589,360 WATER & WASTEWATER UTILITY FUND Utility Master Plan 2,245,000 14,885,000 Mini Excavator 32,000 32,000 TOTAL CAPTIAL APPROPRIATION 2,277,000 47 FY 2017-18 PROPOSED OPERATING & CAPITAL BUDGET Jogging Path: The existing Jogging Path along Bal Harbour Beach is uneven, depleted of surface materiel and contains sections of broken concrete edging and allocation of $100,000 is proposed in FY 2017-18 toward these improvements. The re- grading, removal of unwanted materiel, edge repair and re- installation of the appropriate material will provide a walking surface for users as intended when originally designed in 2001. Rehabilitation will also allow for the full implementation of the path dressing program funded in FY 2017. The purchase of a skid loader with tracks that enable navigation on the beach and beach path will assist with enhancing the maintenance and improvements to this area. Jogging Path Furniture: Replacement of the existing jogging path furniture with custom seating unique to Bal Harbour using natural wood and stone materials designed to withstand the salt spray environment of the beach will reduce future maintenance costs for repainting the metal seating and receptacles. An allocation of $75,000, toward these improvement is proposed in FY 2017-18, the proposed project replaces all receptacles, existing benches, and also adds (5) additional seating areas situated under the existing Sea Grape canopy providing additional seating opportunities. Haulover Skate Park: Contributions toward the development and construction of a Skate Park within Miami-Dade County’s Haulover Regional Park, were requested from the five neighboring municipalities. The Proposed Budget includes $50,000 in funding toward this initiative, for the Village’s contribution up to this amount in partnership with the cities of Sunny Isles, Surfside, Bay Harbour, and the City of Miami Beach. Utility Fund Capital The FY 2017-18 Proposed Operating and Capital Utility Fund Budget continues progression on the Utility Master Plan and provides funding for the purchase of a mini-excavator to mitigate recurring rental expenses. The Proposed Budget incorporates funding to clean and video sewer lines within the residential gated community and the Collins Avenue corridor, to identify cracks or broken sections which can be repaired with minimal disturbance to the surface area. These improvements budgeted at $295,000, inclusive of sewer manhole repairs will reduce sewer stoppages by identifying slow flow areas before stoppages occur and reduce sewer cost to the City of Miami Beach by reducing Inflow and Infiltration into our system. The Proposed Budget includes funding toward the completion of Phase IIA of the Utility Master Plan Project in the amount of $1.7 million for FY 2017-18. Additional funding for residential Automated Metering Infrastructure along with the installation of new meters and advanced metering analytics software, will increase accuracy, and allow real time reading of meters from a desk pc-monitor providing both billing and improved customer service ($250,000). These proposed appropriations add to recent year Capital Outlay appropriations in excess of $5.8 million toward general Villagewide improvements and more than $14 million appropriated toward improvements to Village utility infrastructure. 48 FY 2017-18 PROPOSED OPERATING & CAPITAL BUDGET SUMMARY OF ALL FUNDS Bal Harbour has three primary Funds used for operating the Village; the General Fund, the Resort Tax Fund, and the Water & Wastewater Utility Fund. The FY 2017-18 Proposed Operating and Capital Budget for all funds includes an overall decrease of six percent over the FY 2016-17 Budget. The General Fund inclusive of proposed capital enhancements reflects just under a four percent increase from the current year budget with an expense of $16,106,550, the Resort Tax Fund reflects an eleven percent decrease for Tourism and Beautification and Greenspace maintenance at an amount of $3,442,900, and the Water and Wastewater Utility Fund reflects a twenty-three percent decrease from the FY 2017 budget at $6,013,500. In addition, there is also a Security and Landscape Assessment Fund, and a Forfeiture Fund, which are restricted in use. The Security and Landscape Assessment Fund includes a slight decrease with funding at $570,000. Water & Wastewater Utility Fund The Proposed FY 2017-18 Operating and Capital Budget for the Utility Fund includes $3,768,500 in operating expense, and $2,245,000 toward the continuation of the Utility Master Plan capital project. Operating expenses reflect work performed for the proprietary fund inclusive of personnel expenses, absent a General Fund subsidy which occurred prior to FY 2015. Resort Tax Fund FY 2017-18 proposed expenditures for the Resort Tax Fund reflect an overall decrease of eleven percent from the FY 2016- 17 budget. The Proposed Budget provides for both Tourism and Beautification activities within the anticipated Resort Tax collections for FY 2017-18, absent an allocation of fund balance for non-recurring projects. Tourism, Marketing, and Beautification efforts to enhance the overall appeal of the Village as premier destination continue at the current level of service in the current fiscal year. Expense Summary for All Funds FY 2016 Actual FY 2017 Budget FY 2018 Proposed Budget % Change from FY 2017 Budget to Proposed FY 2018 Budget General Fund 14,522,664$ 15,533,064$ 16,106,550$ 3.69% Resort Tax Fund 3,672,139 3,881,624 3,442,883 -11.30% Utility Fund 5,235,604 7,804,479 6,013,460 -22.95% Landscape & Security Fund 455,152 602,838 569,988 -5.45% TOTAL ALL FUNDS 23,885,560$ 27,822,005$ 26,132,881$ -6.07% Expense Summary FY 2016 Actual FY 2017 Budget FY 2018 Proposed Budget % Change from FY 2017 Budget as Amended WATER & WASTEWATER UTILITY FUND Salaries & Benefits 397,786 494,249 538,219 8.90% Other Operating 3,148,190 3,310,231 3,230,240 -2.42% UTILITY OPERATIONS TOTAL 3,545,976 3,804,479 3,768,460 -0.95% Capital Projects 1,689,628 4,000,000 2,245,000 -43.88% UTILITY FUND TOTAL 5,235,604$ 7,804,479$ 6,013,460$ -22.95% 49 FY 2017-18 PROPOSED OPERATING & CAPITAL BUDGET Security & Landscape Assessment Fund The FY 2017-18 Proposed Budget for the Security and landscape Assessment Fund reflects a slight reduction over the current year, and for the second consecutive year does not include the security improvement fee on building permits with the gated area. The Proposed Budget was prepared based on the rates of $2,639.53 for each Single Family Residential Unit, half that number, $1,319.76, for each Unimproved Property and $10,557.12 for each Private Recreational Facility. The assessment rate reflects an increase from $1,802, the rate for the prior three fiscal years, which was not sufficient to provide complete coverage for annual operating expense without the use of fund balance. The FY 2017-18 proposed operating expense for the fund reflects a five percent decrease over the current fiscal year. Expense Summary FY 2016 Actual FY 2017 Budget FY 2018 Proposed Budget % Change from FY 2017 Budget as Amended RESORT TAX FUND TOURISM Salaries & Benefits 159,100 259,072 259,921 0.33% Other Operating 1,723,951 1,796,889 1,728,910 -3.78% Operating Capital 0 0 0 0.00% TOURISM TOTAL 1,883,051$ 2,055,961$ 1,988,831$ -3.27% BEAUTIFICATION/ GREENSPACE /OTHER RESORT TAX ELIGIBLE Salaries & Benefits 357,867 361,475 247,052 -31.65% Other Operating 1,431,221 1,464,189 1,207,000 -17.57% Operating Capital 0 0 0 0.00% TOTAL BEAUTIFICATION/GREENSPACE 1,789,088 1,825,663 1,454,052 -20.35% RESORT TAX FUND TOTAL 3,672,139$ 3,881,624$ 3,442,883$ -11.30% Expense Summary FY 2016 Actual FY 2017 Budget FY 2018 Proposed Budget % Change from FY 2017 Budget as Amended LANDSCAPE & SECURITY ASSESSMENT FUND Salaries & Benefits 20,083 33,410 40,430 21% Other Operating 435,070 569,429 529,558 -7% L & S ASSESSMENT TOTAL 455,152$ 602,838$ 569,988$ -5% 50 LEGISLATIVE DESCRIPTION The Bal Harbour Village Council is made up of the Mayor and four Councilmembers. The Mayor presides over Council meetings and is considered the Village’s representative locally, nationally and internationally. The Mayor and Councilmembers set policy for the Village. Setting policy means making decisions about what is allowed and what is not allowed in the Village, about what services need to be provided to the residents, businesses and visitors, and about how to solve problems that concern citizens. As elected officials, the Mayor and Councilmembers respond to citizens who seek their assistance in matters involving the governance and operation of the Bal Harbour Village. Through the enactment of ordinances and resolutions, the review and approval of contracts, and proclamations, the Village Council works to improve the quality of life, economic development, and enhanced communication between Village government and the community. BUDGET HIGHLIGHTS • The Proposed Budget includes full funding of health insurance coverage for the five elected officials at Point of Service level coverage; if officials opt not to avail themselves of the insurance, funds will not be spent. • The Proposed Budget does not include funding for Outside Legal Services, however the actual expenses for FY 2016 and the FY 2017 Budget do reflect the impacts of these unplanned expenditures. FUNCTIONAL TABLE OF ORGANIZATION FINANCIAL SUMMARY Citizens Village Council FY 2014 Actual FY 2015 Actual FY 2016 Actual FY 2017 Budget FY 2018 Proposed Budget GENERAL FUND LEGISLATIVE Salaries & Benefits 49,250 41,229 51,645 68,044 69,986 Other Operating 21,181 34,317 642,905 320,200 100,600 Operating Capital 0 0 0 0 0 TOTAL LEGISLATIVE 70,431 75,546 694,549 388,244 170,586 51 52 ADMINISTRATION DESCRIPTION The Village Manager is appointed by the Village Council, and vested with the responsibility to ensure that policies, directives, resolutions, and ordinances adopted by the Village Council are enforced and implemented. As the Village Chief Executive Officer, the Village Manager is responsible for providing executive-level leadership, vision, and guidance to the organization, providing recommendations to the Village Council and implementing policy directives in an efficient and effective manner. In addition, the Village Manager is responsible for the daily operations of the Village, preparing and administering the budget, planning the development of the Village, supervising Village employees, interacting with citizen groups and businesses, and is otherwise responsible for the health, safety, and welfare of the residents, members of the business community, and the visitors to the Village. The Administration operating budget includes the following functions: • Human Resources, which is responsible for personnel, recruitment, benefits, compensation, risk management and labor relations. • General Administration, which encompasses activities related to the coordination and supervision of day-to- day operations of the Village administration, including contract management, records management, agenda coordination, and information technology, among others. • The Village Clerk is appointed by the Village Council and serves as the secretary and custodian of the Village Seal, compiling official Village Council committee agendas and minutes, and serving as the facilitator in providing public records and information expeditiously to the Village Council, the public, Village staff and other governmental agencies. 53 ADMINISTRATION FUNCTIONAL TABLE OF ORGANIZATION FINANCIAL SUMMARY SIGNIFCANT ACCOMPLISHMENTS • Coordinated the updating of the Village’s wayfinding system on the beach to reflect the new style guidelines of our marketing and design identity. • Conducted a series of 70th Anniversary celebrations which culminated in a spectacular symphony concert and fireworks display on the beach. • Curated a tour and permanent exhibit with renowned South Florida historian, Dr. Paul George on the history of Bal Harbour Village and its ascendency as a premier lifestyle destination. • Developed detailed items for a potential settlement of the Yacht Club and Flamingo Way Enterprises lawsuits against the Village. • Selected a new Police Chief to administer public safety in the Village. • Awarded the International City/County Management Association (ICMA) Credentialed Manager Certification, a high professional standard in the field of public administration. • Appointed to several leadership positions, including to the ICMA Strategic Planning Task Force and as a Florida City/County Management Association District Representative. • Completed the drafting and implementation of the Local Planning Agency recommendation and transmittal of the EAR-based Amendment to the Comprehensive Plan of the Village to the State of Florida. Village Council Village Manager Human Resources Information Technology General Administration Village Clerk FY 2014 Actual FY 2015 Actual FY 2016 Actual FY 2017 Budget FY 2018 Proposed Budget GENERAL FUND ADMINSTRATION Salaries & Benefits 812,942 850,399 912,084 1,020,606 1,055,592 Other Operating 69,290 79,465 60,788 131,400 113,400 Operating Capital 0 0 0 0 0 TOTAL ADMINISTRATION 882,232 929,863 972,872 1,152,006 1,168,992 54 ADMINISTRATION • Obtained title to the “gate park” subject to recorded interests of the residents of the Gated Residential Section. • Awarded a Certificate of Occupancy to the Oceana, allowing the condominium’s contribution to the tax roll to be included in the FY 2017-18 budget process. • Programmed the installation of a revolving series of public art exhibitions on the beachpath to accentuate the Village’s Unscripted program. • The Bal Harbour Museum Pass program was expanded to include the Frost Museum of Science to coincide with the opening of the new facility. • Achieved the Government Finance Officer Association (GFOA) Certificate of Achievement for Excellence in Financial Reporting for the Village’s Comprehensive Annual Financial Report. • Implemented a reorganization of the Building and Permitting Department and completed a comprehensive rate study. • Conducted a complete inventory and assessment of Villagewide capital assets. • Transitioned and successfully completed the FY 2016 audit with the new External auditor. • Implemented improved controls over the FY 2018 Business Tax Receipt renewal process. • Installed pedestrian safety crosswalk with high intensity flashing lights system at the 9900 block of Collins Avenue. • Initiated hurricane emergency table top exercises, development and training for all department heads, to ensure proper protocol of the Bal Harbour Village Critical Incident Operations Plan during such incidents • Enhanced patrol presence during special events and high holy days to ensure the safety of all residents and guests through enhanced security measures, presence and visibility. • Uniformed Crime report (UCR) rates showed a decrease in crime in the last two years and an increase in arrests and closures rates. • Completed Phase 1 Sewer Infrastructure Project. Moratorium of the old station removed by DERM. • Produced two seasonal Special Events (Movies on the Beach) with average attendance of over three-hundred fifty (350) participants. Village Clerk • Conducted, supervised and successfully completed the qualification and election processes for the November 2016 General Municipal Elections. All elections-related documents, including candidate qualification papers, campaign finance reports, and certified election results, were promptly made available for public access on the Village’s website. • Supervised the submission of a resident-driven Charter amendment petition while maintaining the integrity of the Village’s petition process. • Continued refining the Village’s public records request policy and request tracking system and processed 158 public records requests and 164 lien searches. 55 ADMINISTRATION • Initiated the process of transferring the Village’s offsite records to a more cost-effective and accessible storage option. • Publically noticed and prepared agenda packets and minutes for 43 Council/Board/Committee meetings and workshops. • Prepared 21 proclamations, awards, and certificates. • Purchased, installed and implemented an agenda and minute management and video streaming system. • Contributed to Village Government transparency by updating new Clerk’s Page making it easier to access the Village archives, meeting agendas and minutes, elections documents, and information regarding public records requests, business tax receipts, and lobbyist registration; and by transmitting regular email blasts and web-site announcements for all Village-related public meeting and events. 56 INFORMATION TECHNOLOGY DESCRIPTION As a part of Administration, Information Technology provides support services to both internal and external customers to enhance operational effectiveness and continuity through technology. Through a contracted service delivery model information technology provides sound, secure and stable infrastructure allowing for the smooth flow of communications and information. FINANCIAL SUMMARY SIGNIFICANT ACCOMPLISHMENTS • Implemented a complete upgrade and redesign of Village network infrastructure based on the strategic goals and recommendations outlined in the 2014 IT Master Plan. • Goal #1 – Security (Ensure a Secure and Reliable Technical Environment) o Reconfigured Cisco ASA firewall with additional licensing and configuration to prevent unauthorized intrusion, malware ransomware and virus attacks. o Implemented Cisco SSL VPN to ensure remote connection will be secured and encrypted at all times. o Network-wide implementation of Symantec Endpoint protection network to allow IT staff to manage the protection of software and hardware attacks. o Implemented e-mail security to filter out spam, virus and malware to internal e-mail system. • Goal #2 – Website (Increase Accessibility to Government) o Launched Phase 1 of e-government website, redesigned to incorporate new Village branding and provide greater access to Village information and services. Mobile-responsive website features a new government transparency portal which allows residents to access budget performance data, public records, City Manager memos to Council and Village Clerk reports. o Launched My Bal Harbour Mobile App, making it easier for residents and visitors to pay for parking, submit service requests, and explore the Village. FY 2014 Actual FY 2015 Actual FY 2016 Actual FY 2017 Budget FY 2018 Proposed Budget GENERAL FUND INFORMATION TECHNOLOGY Salaries & Benefits 0 0 0 0 0 Other Operating 0 128,109 180,886 226,982 256,247 Operating Capital 0 170,603 177,847 741,845 189,064 TOTAL INFORMATION TECHNOLOGY 298,713 358,734 968,827 445,311 57 INFORMATION TECHNOLOGY o Launched Bal Harbour Express Bus Tracker and mobile app giving residents access to real-time shuttle bus location and arrival information. • Goal #3 - Provide Continuous Improvement Technology (Network Infrastructure, Backups, Computers and Phone System) o Replaced Village Hall and Police Department servers with new generation Dell PowerEdge series server. Multiple servers were consolidated into a primary server equipped with 16 times faster processing speeds, 20 times more storage space, and virtualization capability. Server running Windows 2012 R2 operating system and Exchange 2013 e-mail exchange system. o Implemented sequel database licensing, which allows for future database expansion (e.g., Up to 10 databases at 100GB each). o Implemented additional PowerEdge series backup server to run Symantec Backup Exec and to execute the recommended backup retention schedule (daily, weekly, and monthly) o Consolidated the Village’s multiple e-mail domains by transitioning to new .GOV domain, which is the federally approved e-mail domain for government entities. o Replaced 27 obsolete Village PCs (Windows XP Pentium 1GB RAM) with better performing Dell OptiPlex 7020 i7 desktops and laptops (8GB RAM); replaced 25 – 2011 MacBook Police officer laptops with rugged Dell laptops to meet and exceed FDLE security and Computer-aided Dispatch (CAD) system compatibility requirements. All Village PCs now operating Windows 7 or higher. o Completed full transition to voice-over-internet- protocol (VoIP) telecommunications system, resulting in a significant reduction (more than 50% decrease) in recurring communications expenses. Replaced 50 legacy AVAYA phone systems with Polycom VVX 400 Color LCD display VoIP handsets. o Realized cost-savings in recurring mobile carrier expenses ($6,000 per year) by switching to a more cost-effective and reliable cell phone carrier for Police and Parks personnel. • Goal #4 – Increase Workforce Productivity o Provided technical support for financial management system upgrade. o Provided project management for building permitting and code enforcement system design, planning and implementation. The self-service web portal will allow residents and contractors to review plans status, schedule inspections and submit code compliance concerns. o Provided technical support for implementation of agenda management software. Web-based platform allows Village Clerk to streamline the agenda production process. • Goal #5 – Technology Based Backup Plan o Developed and operationalized a technology- based Emergency Back-up Plan to ensure continuity of information system services during and after an emergency or disaster. 58 INFORMATION TECHNOLOGY • Goal #6 – Channel 77 and Commission Chamber Upgrade o Upgraded audio-visual technology (e.g., cameras, mixers, transmitters) in Council Chamber to enhance room acoustics and resolution quality of live meeting website and television broadcasts. • Goal #7 – Security Door Entrance and Security Camera Upgrade o This project has been put on hold. • Goal #8 – Provide Results Oriented Technology in an Open, Accountable, and Responsive Manner • Established an automated ticketing system allowing for a significantly faster response times to helpdesk tickets, of 1-2 hours as opposed to waiting multiple days to receive a response from an offsite technician due to full- time presence of contracted technician. • Drafted Information Technology Security Policy (adoption in progress) • Implemented various business continuity and redundancy protocols to ensure reliable access to e- mail, internet, VoIP phone system and network resources during unexpected emergencies and outages. • Upgraded main internet circuit from an offsite wireless signal connection to a direct wired fiber connection, providing more stability and reliability to the network. • Replaced main VoIP internet circuit with more reliable, locally-based vendor • Police laptop hard drives encrypted with FIPS 140-2 government security compliancy via Windows BitLocker. Laptops upgraded to multi-factor authentication to comply with FDLE security requirements. • Police laptops have been equipped with geolocation software which allows remote wiping of hard drives in the event equipment is lost or stolen • Completed external IT audit as a requirement of financial audit procedure. Submitted and implemented management plans to mitigate two (2) identified control deficiencies. • Updated Bal Harbour Police Criminal Justice Information System Compliance policy to include implementation guidance on how the VoIP phone system was implemented and is currently operating. • Updated Bal Harbour Police Criminal Justice Information System Compliance policy to include the addition of multi-factor authentication for the police laptops by utilizing a USB key during the boot-up process. • Discontinued use of Teamviewer software for remote access to police laptops and Voyager server onsite. IT support team will utilize built-in Windows remote assistance capabilities through the Village’s existing VPN in order to meet FIPS 140-2 compliance. A separate VPN policy has been configured for use by Voyager vendor, with a unique username linked to the domain, which allows IT to enable/disable the user access for virtual escorting and controlled access to the network. • Configured Police virtual machines to store audit logs outside of the virtual environment onto the backup server, where they can be reviewed on a weekly basis to meet FDLE audit requirements. 59 LEGAL SUPPORT SERVICES DESCRIPTION Village legal services are provided by Weiss Serota Helfman, Pastoriza, Cole and Boniske, P.L., a full service municipal law firm (the “Firm”). The Firm has served as Village Attorney for more than 20 years, providing guidance to the Village Council, its advisory committees and Village staff on a wide array of legal matters in order to ensure that the various laws, rules and requirements of the local, state and federal governments are understood and followed by the Village. While the legal services required by the Village vary slightly from time to time, the Firm employs attorneys with expertise in each area of the law that has been or may be required. FINANCIAL SUMMARY BUDGET HIGHLIGHTS • Funding for legal support services is shared by all funds based upon the nature of the work performed, at $430,200 the General Fund has the largest share of the total annual expense. Base legal fees are $480,000, for FY 2017-18, additional fees are incurred for cost recovery, litigation activities, and at times outside legal services which are not incorporated in the FY 2017-18 Proposed Budget. • Litigation related expenses are reflected in the prior fiscal year actual expenses, outside of base legal services. FY 2014 Actual FY 2015 Actual FY 2016 Actual FY 2017 Budget FY 2018 Proposed Budget LEGAL SUPPORT SERVICES (All Funds) Salaries & Benefits 0 0 0 0 0 Other Operating 446,836 511,040 634,478 655,000 480,000 Operating Capital 0 0 0 0 0 TOTAL LEGAL SUPPORT SERVICES (ALL FUNDS)446,836 511,040 634,478 655,000 480,000 60 GENERAL GOVERNMENT DESCRIPTION The General Government activity has historically included expenses which were not uniquely attributable to a specific operating department. Beginning with fiscal year 2015, this activity was refined to exclude facility maintenance and transit operating related expenses, which are now reflected within the Parks and Public Spaces Department. The Village Receptionist, was historically located within this activity, but has been included as a part of Administration. In addition, expense related to liability insurance, debt service, payouts for retiring employees, excess benefit plan expenses, cost of living adjustment (COLA) for employees, and the establishment of a capital projects reserve are included within this activity. FINANCIAL SUMMARY BUDGET HIGHLIGHTS • The Proposed Budget includes funding for Excess Benefit Plan expenses for former Village Manager ($81,950). • The Proposed Budget includes funding for potential payouts for the separation of tenured employees during the coming fiscal year ($147,000), and COBRA related insurance expense for retirees, which are offset by participant payments ($67,000). • The Proposed Budget includes a three percent cost of living adjustment for employees for allocation in October ($160,000), a Capital Projects Reserve ($200,000) for use toward future capital projects, a general contingency line item at two percent ($282,000), and budget stabilization reserve to mitigate the impacts resulting from Value Adjustment Board action ($250,000). FY 2014 Actual FY 2015 Actual FY 2016 Actual FY 2017 Budget FY 2018 Proposed Budget GENERAL FUND GENERAL GOVERNMENT Salaries & Benefits 163,948 228,221 173,834 191,000 283,483 Other Operating 682,397 459,940 645,745 966,661 1,375,673 Operating Capital 0 1,050,000 1,109,302 200,000 200,000 TOTAL GENERAL GOVERNMENT 846,344 1,738,162 1,928,881 1,357,661 1,859,156 61 62 FINANCE & BUDGET DESCRIPTION As a part of Village Administration, the Finance Department delivers financial services for sound management decision- making and is responsible for centralized accounting, cash management, financial and debt management, tax and utility collections, and preparation of the annual budget. The Finance Department provides fiscal and accounting controls over financial resources by processing vendor payments, and payroll, maintaining the Village’s financial management and utility billing system, and issuing annual of financial reports. The Finance Department serves both internal and external customers, including those entities conducting financial transactions with the Village including Water and Wastewater Utility customers, Local Business Tax and Resort Tax customers, and vendors providing Village services. The Department prepares non-ad valorem special assessment rolls, issues and collects local business tax receipts, and resort taxes, issues timely financial statements and quarterly and annual compliance documents for funding partners, in addition to managing and monitoring all fiduciary assets and related debt. FUNCTIONAL TABLE OF ORGANIZATION FINANCIAL SUMMARY SIGNIFICANT ACCOMPLISHMENTS • Conducted a complete inventory and assessment of Villagewide capital assets, resulting in the addition and disposal of assets reflecting a net decrease of $5.1million in capital assets within the Village’s financials statements. Finance Director Centralized Accounting & Cash Management Financial Reporting and Account Monitoring Budget Development Tax and Utility Administration & Collections FY 2014 Actual FY 2015 Actual FY 2016 Actual FY 2017 Budget FY 2018 Proposed Budget GENERAL FUND FINANCE Salaries & Benefits 349,905 436,630 408,683 491,412 492,080 Operating Capital TOTAL FINANCE 513,249 518,806 508,430 648,307 652,385 63 FINANCE & BUDGET • Established and implemented proper controls to maintain accurate tracking and recording of capital assets on an annual basis. • Issued a Request for Proposals for External Auditor, established an Ad Hoc Audit Committee as required by State Statutes, leading to the selection of a new External Audit Firm. • Transitioned and successfully completed the FY 2016 audit with the new External auditor. • Implemented improved controls over the FY 2018 Business Tax Receipt renewal process further enhancing the segregation of duties between license renewals, accounts receivable and cash receipts processing. • Increased billed utility services by 15-percent and receipted utility services by 12-percent over the prior fiscal year resulting from improved procedures and the upgrade of the financial management system. • Improved the timeliness of meter readings to coincide with those of the wholesale service providers to improve the accuracy of utility compliance reporting and utility billing through better coordinated schedules and an increase of automated meter readings to ninety-two-percent of devices in the system from sixty-percent, accomplished in cooperation with field operations staff. • Proactively provide notification to residential Utility customers of potential leaks through the use of improved system data. • Drew down the remaining $156,100 in State Appropriation reimbursements totaling $600,000, and $2.35 million of the $6.5 million in Miami-Dade County General Obligation Bond (G.O.B) reimbursements for the Utility Master Plan project. • Timely submitted quarterly reports to funding agencies, and issued Comprehensive Annual Financial Statements. • Issued 267 Business Tax Receipts, generating $721,400 in general revenue to the Village. • Conducted 484 Lien searches generating $30,280 in general revenue to the Village. • Created the base reports and structure for the launch of the OpenGov financial transparency portal, update and provide quarterly data, and upload the information to the web portal for public use. • Awarded the Government Finance Officer Association (GFOA) Certificate of Achievement for Excellence in Financial Reporting for the Village’s FY 2014-15 Comprehensive Annual Financial Report, and submitted for FY 2015-16. • Completed timely filing of the FY 2015-16 Annual Financial Report with the State of Florida Department of Finance. • Completed the timely filing of the FY 2015-16 Annual Audit Report with the State of Florida Auditor General’s Office. • Issued monthly check by date reports which allows the public to view all vendor payments, and wire transfers. 64 FINANCE & BUDGET • Prepared the annual operating and capital budget in compliance with State Laws, and monitors progress throughout the year reacting to emergency revenue and expenditure trends. • Prepared the non-ad valorem assessment rolls in compliance with State Laws to facilitate the collection by Miami-Dade County. BUDGET HIGHLIGHT • The Proposed Budget includes the proportionate split of employee costs for direct work performed on the Water and Wastewater Utility system within the Utility Fund. 65 66 POLICE DEPARTMENT DESCRIPTION The Bal Harbour Police Department (BHPD) came into existence in 1946 when the Village was incorporated. The BHPD provides public safety services to Village residents, visitors and businesses based on a community policing philosophy. The BHPD is comprised of two main functions – Operations and Administration. Operations Division The Operations Division is the most visible representative of Village services, with 24 full-time sworn personnel and 3 civilian staff members. This Division is responsible for high profile, proactive public safety and crime prevention patrol functions including: • Directed Patrol (including bike patrol, golf cart, ATV, and beach patrol) • Marine Patrol • Traffic Enforcement • Code Enforcement In addition, this Division is responsible for reactive public safety services, such as responding to calls for service, as well as the investigation of any crimes, which occur within the Bal Harbour Village jurisdiction. A summary of primary activities includes: • Criminal incident investigative follow up • Prosecution of cases via the Criminal Justice System • Tracking crime trends and Uniform Crime Reporting (UCR) to the State of Florida • Arrest and Search Warrant Affidavit Coordination and Verification Administration The Police Administration, which includes the Office of the Chief of Police, is responsible for the fulfillment of the mission of the BHPD by providing leadership, and the establishment of the managerial functions of planning, organizing, motivating, controlling, disciplining and coordinating the subordinate members of the police department, inclusive of: • Budget monitoring and fiscal management • Personnel management consistent with Fair Labor Standards/Collective Bargaining Agreement/State Law Enforcement Standards • Media Relations • Mutual aid coordination with local, state and federal law enforcement agencies • Establishment of policies, protocols and regulations to complete the Police Department’s service mission within the guidelines of State procedural law and substantive law. Support functions and departmental logistics also form part of the Police Administration functions, including: • Emergency Communications (9-1-1 radio communications service) 67 POLICE DEPARTMENT • Sworn mandatory training, such as firearms and tactics, as well as ensuring that sworn officers receive necessary legal updates (i.e., new State statues, procedural law updates and changes, etc.) • Fleet Management • Equipment inventory and maintenance • Property and Evidence Management • Off Duty and Special Event Police Service Coordination • Internal Affairs and Personnel Compliance • Major Event Coordination and Operational Response • Beach Access Permitting FUNCTIONAL TABLE OF ORGANIZATION FINANCIAL SUMMARY SIGNIFICANT ACCOMPLISHMENTS • Expanded critical incident management training to include sergeants, acting sergeants and dispatchers. The training centers on the law enforcement response to mitigate critical incidents by placing participants in a real time emergency scenario. • Implemented RIPP™ Hobble restraint tool to avoid injury to officers and the arrestee. Restraining device was deployed to all patrol officers in the uniform patrol division. This restraint device would only be applied in the event an arrestee is being physically violent and non- compliant. • Implemented BHPD rifle program to train and properly prepare officers to respond more effectively to active shooter incidents and other tactical situations. • Purchased thermal imaging devices to assist officers in locating subjects during tactical perimeter setups, specifically in low-light situations and water rescue incidents. Office of the Chief Administrative Services Public Safety Communications Code Compliance Operations Patrol Marine Patrol Criminal Investigations FY 2014 Actual FY 2015 Actual FY 2016 Actual FY 2017 Budget FY 2018 Proposed Budget GENERAL FUND LAW ENFORCEMENT Salaries & Benefits $4,625,376 $5,000,129 $5,718,065 $5,552,751 $5,871,014 Other Operating 921,001 1,042,947 932,640 953,445 878,108 Operating Capital 0 0 0 116,000 55,000 TOTAL LAW ENFORCEMENT $5,546,377 $6,043,076 $6,650,705 $6,622,196 $6,804,122 68 POLICE DEPARTMENT • Purchased and issued spit hoods to be deployed when arrestees are attempting to bite or spit at responding officers. These hoods help prevent injury to the subject and officer, as well as help prevent exposure to potential communicable diseases. • BHPD conducted scenario-based active shooter preparedness training for civilian Village employees. The training provided alternative techniques and life saving strategies to utilize in the event of an active shooter situation. • Re-instituted Officer of the Year award in addition to departmental commendation and ribbon program. The Nominations Committee selects the award recipient based on their exemplary performance throughout the year. • To promote continuous leadership development, several supervisors attended various first line supervision and command officer development courses. These training courses will enhance the supervisors’ knowledge of their leadership role. • Implemented video conferencing to conduct pre-file interviews in a more efficient manner. Communicating with the State Attorney’s Office through video conference technology allows the department to keep officers on-duty, reduce vehicle costs and minimize overtime expenditures. • Conducted in-service driving instruction course focused on vehicle control and awareness in an effort to maintain a safe work environment. • Installed pedestrian safety crosswalk with high intensity flashing lights system at the 9900 block of Collins Avenue. The lighted crosswalk signals increase the visibility and usability of the crosswalk for our residents. The signalization is activated as the pedestrian enters the crosswalk eliminating the need for a manual activation of the signal. • Initiated hurricane emergency table top exercises, development and training for all department heads, to ensure proper protocol of the Bal Harbour Village Critical Incident Operations Plan during such incidents. Department heads were put through several decision making scenarios which present the individual with real life challenges in the event the Village were to be impacted by a hurricane. • Enhanced patrol during special events and high holy days to ensure the safety of all residents and guests. Bal Harbour police officers ensured the safety and security of all guests to 70th Anniversary Celebration, Movies on the Beach as well as the High Holy Days through enhanced security measures, presence and visibility. • Uniformed Crime report (UCR) rates showed a decrease in crime in the last two years and an increase in arrests and closures rates. Arrests and closure rates are two good indicators of police performance and effectiveness. Increases in these indicators are positive, but does not necessarily mean there is an increase in crime, and reflects the efforts of our command staff, supervisors and officers. The BHPD continues to proactively fight crime, instituting crime prevention strategies while utilizing all available resources through a community oriented policing philosophy. 69 POLICE DEPARTMENT • Revised Bal Harbour Police Department Criminal Information Security policy to reflect FDLE latest security requirements. BUDGET HIGHLIGHTS • The Proposed Budget includes required collective bargain related expenses including Supervisor Pay, Night Differential, and Education Pay ($72,400). • The Proposed Budget includes life scans for health screening of employees for $380 each. • The Proposed Budget includes $55,000 for equipment replacement for police operations including surface gel coat repairs for the boat, training supplies ($15,000), and a new LED message board for communicating with our residents ($30,000). • The Proposed Budget includes additional funding for police off-duty expenses, which are directly offset by corresponding revenue for services ($350,400). • The Proposed Budget includes a $200,200 increase in retirement expenses as a result of the actuarial valuation of our pension plans. 70 BUILDING DEPARTMENT DESCRIPTION The Building Department is responsible for Enforcing the Florida Building Code, Village Ordinances, and Miami-Dade County Ordinances. A combination of Village and contractual employees work together to provide permitting and inspections to Village residents as governed by the Florida Building Code. The Building Department is self-funded through permit fees, and is specifically, per the Florida Building Code required to: • Enforce the Florida Building Code; • Coordinate with outside departments including Fire, DERM, Public Works, and Utilities; • Perform Building, Mechanical, Electrical, Plumbing and Structural plan review; • Performs inspections for all Building Code disciplines; and • Issue Certificates of Completion and Occupancy. The unique needs of the Village’s Building Department necessitates additional responsibilities. Some of the additional work unique to this Village includes: • Review of all plans prior to submittal to Architectural Review Board (ARB); • Verification of compliance with the Zoning and appearance ordinances; • Writing recommendations and presents monthly to the ARB; • Enforcing ARB Certificates of Appropriateness through construction completion; • Performing Zoning reviews; • Administering the Community Rating System to ensure residents receive maximum discount for flood insurance; • Representing the Village in Local Mitigation Strategy Groups; • Participating in ISO’s Building Code Effectiveness Grading Schedule which is used to develop insurance rates for individual properties; and • Implementing a standardized permitting system through development of a standard operating manual and standardization of forms and letters. FUNCTION TABLE OF ORGANIZATION Building Official Permitting Inspections FEMA Flood Regulation Building and Records Routing Architectural Review Board 71 BUILDING DEPARTMENT FINANCIAL SUMMARY SIGNIFICANT ACCOMPLISHMENTS • Completed a comprehensive evaluation of building and permitting activity and fees, resulting in options to end the General Fund subsidy to the Department and create a self-sustaining Building and Permitting function for the Village. • Recommended a system for the Village permitting software and implemented the new permitting system on February 1, 2017. • Trained clerks, plan reviewers and inspectors on new permitting software. • Cleaned up hundreds of files in the historical electronic permitting system, continue to close out Energov through the transition to new software. • Updated building department operations manual and standardized all forms. • Created fillable forms which are now published on the Village web portal. • Reviewed all Village properties for compliance with 40/10/10 year re-certifications. Created a spreadsheet to track and notice overdue properties and noticed 25 properties due for recertification, achieving compliance from about 25% of the properties and followed-up on remaining properties with final notices, as required by statutes. • Prepared five-year recertification report for participation in the Community Rating System. • Achieved the Federal Emergency Management Agency (FEMA) award which has led to lower flood insurance renewal rates for residents. • Created an Excel database in order to facilitate sorting and finding archived, electronic documents. BUDGET HIGHLIGHTS • The Proposed Budget incorporates funding for an in- house Building Official, two permit Clerks, and a part- time Clerical position, a Chief for Building and Roofing, an Electrical Inspector, a Plumbing Inspector, and contracted expenditures for other professional trade services as an optimal model for service delivery. • The Proposed Budget aggregates all building and permitting related expenses into the singular department, inclusive of engineering, planning, and zoning contractual permitting related expenses. FY 2014 Actual FY 2015 Actual FY 2016 Actual FY 2017 Budget FY 2018 Proposed Budget GENERAL FUND BUILDING Salaries & Benefits 164,166 93,451 227,633 429,319 628,040 Other Operating 737,538 920,801 562,074 393,000 364,300 Operating Capital 0 0 0 0 0 TOTAL BUILDING 901,704 1,014,252 789,707 822,319 992,340 72 BUILDING DEPARTMENT • The Proposed Budget incorporates the revised fee structure for the permitting functions of the Village, presenting a self-sustaining Building and Permitting Department, increased operating expenses are a direct result of increased demand for services, directly offset by fees for service. 73 74 PARKS AND PUBLIC SPACES DEPARTMENT DESCRIPTION The Parks and Public Spaces Department, is comprised of four (4) areas of focus; Public Works, Facilities, Recreation and Greenspace Management. Each unit provides services in support of the Department’s areas of responsibility. The Department provides public right-of-way and infrastructure maintenance services; utility and solid waste management, landscape design and maintenance, as well as recreation program management. These activities are conducted by a small team of in-house staff, along with various contracted service providers. Additionally, the Department provides management and support for all Village conducted capital improvement projects, supports the Building Department’s permitting activities, operates the community shuttle service and supports the enforcement activities of the Bal Harbour Police Department’s Code Compliance Division. Public Works The Public Works Unit provides services related to the repair, maintenance, and operation of Village infrastructure, and other services including: • Water, sewer and storm water utility system maintenance and operation • Solid waste collection, disposal and recycling services • Capital Project management • Plan reviews* • Code enforcement support • Pedestrian walkways and surfaces maintenance • Curb, gutter and roadway maintenance • Community shuttle services • Park maintenance *The Public Works Unit supports the Building Department with the review of all utility and landscape related plans submitted for permitting to the Building Department and post construction utility and landscape installation inspections prior to permit closures. Facilities The Facilities Unit is responsible for the maintenance, repair, and operation of Village buildings and equipment at the following sites: • Village Hall • The Police Department Administration and Annex • The Recreation Center • Bal Harbour Park • The Public Works Operations Warehouse The Facilities Unit also provides services in the following areas: • Village wide cleanliness • Street and landscape up lighting maintenance • Street furniture and signage maintenance Recreation The Recreation Unit provides recreational and leisure programs and services for children, adults and seniors in our community utilizing Bal Harbour Park, the Recreation Center and Bal 75 PARKS AND PUBLIC SPACES DEPARTMENT Harbour Beach. The Recreation unit also provides resident park access management services and maintains the cleanliness of Bal Harbour Park. Additionally, recreation staff develop, produce and support several community focused special events during the year to provide additional recreational opportunities for our residents such as: • Movie Night on the Beach Events • Holiday Tree Lighting Event support • New Year’s Eve Event support • Fourth of July Event support • Seasonal Monthly Excursion Trips to local area attractions Greenspace Management Program The Greenspace Management Program is responsible for the grounds maintenance and appearance of the Village, including: • All building grounds • Bal Harbour Park • Village-controlled medians, swales, and landscape areas • Bal Harbour Beach and adjacent areas • The Gated Residential Section common areas • Management of the Village urban forestry program FISCAL ENVIRONMENT Services provided by the Parks and Public Spaces Department are supported through several funding sources, including the General Fund, for Public Works and Parks and Recreation activities, the Water & Sewer Fund for Utility activities, the Resort Tax Fund for greenspace and beautification activities, and dollars from the Gated Residential Section Special Assessment. A breakdown of services funded through each fund is provided below: General Fund Facilities Maintenance This provides funds for the operation of all Village-owned buildings, such as Village Hall and the Public Works Facility. Expenditures include on-going contractual services, such as air conditioning, pest control, elevator and copier services, along with the janitorial contract. In addition, other operational supplies used to maintain Village Hall, Police Department Administration and Public Works buildings are supported through this fund. Additionally, the Pooper Scooper (Dog Waste) Bag Program and landscape maintenance contract for Village Hall and the adjacent parking lot is budgeted within this fund. Public Works This unit performs activities such as the maintenance of the storm drains, solid waste and recycling collection contract, equipment and vehicle rentals/leases and repairs, maintenance of the street sweeper and grapple truck, maintenance of street lights, storm drainage pump station in the residential area, transit services, management of residential solid waste service, and the maintenance of Florida Department of Transportation (FDOT) storm pumps for 96th Street. Operating supplies, signs and posts are also budgeted as part of this fund. 76 PARKS AND PUBLIC SPACES DEPARTMENT Recreation This unit performs the operations and maintenance of Bal Harbour Park and Recreation Center. All staffing and operational costs including the two (2) full-time, five (5) part- time employees, the grounds, play equipment and water feature included within the unit. The Water & Wastewater Utility Fund This fund supports the operation and maintenance of the infrastructure, which distributes potable water to residents and businesses; collects, pumps, and transmits wastewater to the County treatment facilities. The activities funded in this area include: • Professional engineering services • Utility locates • Water testing • Maintenance of sewer station pumps • Wet wells and generators • Meter installation and service • Fire hydrant and water/sewer mains service • Capital projects relating to the Utility • Regulatory compliance • Staff training for utility operations Resort Tax Fund/ Beautification and Maintenance This fund, through Resort Tax Collections, supports the operations for greenspace, beautification, and other Resort Tax eligible activities. All operations related to the purchasing and maintenance of landscaping and irrigation systems on Collins Avenue, 96th Street, and on the Beach. The costs for the maintenance of the bus stops, landscaping lights, signs, buoys, emergency life rings, warning flags, holiday decorations, bollard lights along the jogging path, benches/trash receptacles are also budgeted within this fund. Landscape & Security Assessment Fund The assessment provides the funding necessary for landscape maintenance services through a contracted provider for all the green space within the gated community, which is not privately maintained. 77 PARKS AND PUBLIC SPACES DEPARTMENT FUNCTIONAL TABLE OF ORGANIZATION FINANCIAL SUMMARY FY 2014 Actual FY 2015 Actual FY 2016 Actual FY 2017 Budget FY 2018 Proposed Budget GENERAL FUND PARKS AND PUBLIC SPACES DEPARTMENT PUBLIC WORKS Salaries & Benefits 450,575 350,918 215,983 230,401 320,880 Other Operating 1,158,877 1,242,108 1,519,518 2,272,625 1,899,761 Operating Capital 0 0 0 0 0 TOTAL PUBLIC WORKS 1,609,452 1,593,026 1,735,501 2,503,026 2,220,641 PARKS & RECREATION Salaries & Benefits 282,200 247,932 243,499 264,749 250,230 Other Operating 107,460 99,129 85,462 200,550 178,250 Operating Capital 0 0 0 934,360 TOTAL PARKS & RECREATION 389,660 347,061 328,961 465,299 1,362,840 RESORT TAX FUND BEAUTIFICATION/ GREENSPACE /OTHER RESORT TAX ELIGIBLE Salaries & Benefits 279,079 323,327 357,867 361,475 247,052 Other Operating 1,033,577 1,478,578 1,431,221 1,464,189 1,207,000 Operating Capital 0 189,900 0 0 0 TOTAL BEAUTIFICATION/GREENSPACE 1,312,656 1,991,805 1,789,088 1,825,663 1,454,052 WATER & WASTEWATER UTILITY FUND REVENUE Operating Revenue 3,552,719 3,805,864 4,457,890 5,180,680 4,816,610 Debt Proceeds (Capital)1,675,000 0 0 4,000,000 0 Inergovernmental Revenue/ CO 0 540,303 534,698 1,713,381 2,245,000 Carryforward/ Contributions 0 0 475,000 0 2,277,000 Capital & Operating Revenue 5,227,719 4,346,166 5,467,588 10,894,061 9,338,610 WATER & WASTEWATER UTILITY Salaries & Benefits 104,975 204,971 397,786 494,249 538,219 Other Operating 3,097,877 3,624,561 3,148,190 3,310,231 3,230,240 UTILITY OPERATIONS TOTAL 3,202,852 3,829,532 3,545,976 3,804,479 3,768,460 Capital Projects 939,451 276,832 1,689,628 4,000,000 2,245,000 UTILITY FUND TOTAL 4,142,303 4,106,364 5,235,604 7,804,479 6,013,460 78 PARKS AND PUBLIC SPACES DEPARTMENT SIGNIFICANT ACCOMPLISHMENTS Public Works • Improved mobile water usage meter reads to 92% first time read capture. • Obtained ability to perform in-house locates for valves, meters, and water mains with newly purchased equipment. • Installed smart rain devices that operate according to reported rain data reports and forecasts specific to our location to save water on irrigation. • Conducted water mainline leak detection testing throughout the Village. • Continued to meet all water quality requirements by the Department of Environmental Protection (DEP) and the Department of Health (DOH). • Outsourced the maintenance of the motors, pumps, valves, and control panel to Pump Station Maintenance. Obtained a company with a 2-hour emergency response time. • Secured the Sanitary Sewer Station PS # 2 with a security picket fence. • Completed Phase 1 Sewer Infrastructure Project. • Decreased SSO’s (Sanitary Sewer Overflows) by designating staff to work almost exclusively with the Sanitary Sewer system. • Continued to meet annually the Sanitary Sewer Evaluation System (SSES) requirements by EPA and DERM. • Cleaned and video 5,000 linear feet of sanitary sewer mains. Total remaining line to be video inspected in future years, is 21,000 linear feet. • Repaired and returned to operation (after several years), the Storm water Station on Harbour Way and secured station with a security picket fence. • Outsourced the maintenance of the Storm Water motors, pumps, valves, and control panel to Pump Station Maintenance. Obtained a company with a 2-hour emergency response time. • Implemented a Zeka mosquito control program to reduce standing water and prevent mosquito reproduction thru the use of environmentally approved bio tablets. • Installed a new catch basin with new French drain, street and curb repairs at the end of 96th Street to eliminate puddling. • Continue to meet annually the National Pollutant Discharge Elimination System (NPDES) permit requirements. • Successfully bid and secured a new community shuttle service provider at a savings over the old agreement cost. • Increased recycling awareness and decreased contaminated recycling by 50%. LANDSCAPE & SECURITY ASSESSMENT FUND REVENUE Operating Revenue 665,668 523,421 443,434 426,921 569,988 Fund Balance 0 11,796 11,718 175,918 0 Capital & Operating Revenue 665,668 535,217 455,152 602,839 569,988 LANDSCAPE & SECURITY ASSESSMENT AREA EXPENSE Salaries & Benefits 7,761 15,342 20,083 33,410 40,430 Other Operating 376,646 519,875 435,070 569,429 529,558 L & S ASSESSMENT TOTAL 384,407 535,217 455,152 602,838 569,988 TOTAL PARKS AND PUBLIC SPACES DEPART 7,838,477 8,573,473 9,544,306 13,201,306 11,620,979 79 PARKS AND PUBLIC SPACES DEPARTMENT • Held two (2) Household Hazardous Waste/Electronic Recycling Events. • Initiated ROW permit for anyone performing work in the right-of-way • Installed seventy-four (74), “rain catcher” devices to prevent rain water from entering the sanitary sewer system. Beautification: • Replaced turf in the gated residential area that is lower growing with a neater appearance. • Irrigated and replaced turf along 96 Street East of Collins Avenue. • Replaced the flowers on the end caps of the Collins Avenue medians with a sustainable landscape. • Replaced the Jasmine in the center median of the 10200 block of Collins Avenue with Zoysia turf. • Replaced the flowers on the end caps of the Collins Avenue medians and the 96 Street medians with a sustainable landscape. • Replenished the coquina sand on the bike path / service path. • Installed water line for new shower placed on 96 Street Facilities: • Permitted and Rebuilt the PPS office space. Added additional office for Operations and Compliance. • Installed a new Air Conditioning system at Village Hall. • Replaced the flooring at Village Hall. • Replaced the windows in Village Hall and Police Administration with Impact Storm windows. • Performed renovations within the Building Department to enhance their storage capabilities and appearance. • Completed the 40-year recertification work for Village Hall. • Increased operational capabilities by purchasing dumpsters on wheels to service the Beach Areas. Recreation: • Produced four (4) seasonal Special Events at Bal Harbour Park and the Beach with an average attendance of over one hundred and fifty (150) participants • Participated with Tourism “4th of July 2017 Celebration and Village Birthday Bash. • Conducted seasonal basketball skill clinics for children thirteen (13) years of age and younger averaging 30 participants, 4 days per week during the program. Totaling 839 participants from the start of the program in October 2016 ended on June 15 2017 • Scheduled eight (8) excursion and produced five (5) excursion day trips for residents, averaging ten (10) participants per trip. • Facilitated sixteen (16) Bal Harbour Park space rentals for resident parties. • Implemented additional rental services to rent tables, chair and provide staff for a fee to for setup and break down of Bal Harbour Village rented equipment. • Managed the Bal Harbour Express shuttle service with an average monthly ridership of over five hundred (500) users. • Implemented the Pronto Form visitor sign-in log with photo taking capability. Converted over one hundred 80 PARKS AND PUBLIC SPACES DEPARTMENT and fifty (150) residents to the new swipe card system for quick park/playground access. • Hosted# 8197 residents and their guests at Bal Harbour Park. Staff Training • Obtained Florida Water and Pollution Control Operators Association (FWPCOA) Water Distribution certification for one staff and one pending • Obtained FWPCOA Wastewater Collection certification for one staff and one pending • Provided all Water & Sewer employees with 24 hours of onsite fire hydrant repair and maintenance training. • Instituted Sanitary Sewer Pump Station preventive maintenance procedures and staff training. • Provided all Water and Sewer Employees with American Water Works Association (AWWA) training in water distribution maintenance. • Obtained Confined Space Training Certificate for one employee. • Completed Staff Training for all Department employees in the use of Pronto forms data base system. 81 82 WATER & WASTEWATER UTILITY FUND DESCRIPTION Water and Wastewater services within the Village are provided as an enterprise operation, through the Utility within the Parks and Public Spaces Department. Services are funded as payments for measurable water and wastewater services are consumed. Pursuant to Chapter 180, Florida Statutes, municipalities are authorized to establish just and equitable rates to be paid for the use of the utility. Rates established as charges for services should sustain its operations and satisfy any related debt. This fund supports the operation and maintenance of the infrastructure, which distributes potable water to residents and businesses; collects, pumps, and transmits wastewater to the County treatment facilities. The activities funded in this area include: • Professional engineering services • Utility locates • Water testing • Maintenance of sewer station pumps • Wet wells and generators • Meter installation and service; • Fire hydrant and water/sewer mains service • Capital projects relating to the Utility The FY 2017-18 Proposed Operating and Capital Budget for the Water and Wastewater Utility Fund is $6,013,500 which reflects a significant reduction from the FY 2016-17 Budget, as a direct result of the timing and funding allocation for the construction of the capital improvements included in the Utility Master Plan for the Village. Progress on this project will continue in FY 2018 with a proposed allocation of $2,245,000 toward the capital improvements. This allocation is subject to reimbursement with General Obligation Bond Funds from Miami-Dade County for the sewer portion of the project. FY 2014 Actual FY 2015 Actual FY 2016 Actual FY 2017 Budget FY 2018 Proposed Budget WATER & WASTEWATER UTILITY FUND REVENUE Operating Revenue 3,552,719 3,805,864 4,457,890 5,180,680 4,816,610 Debt Proceeds (Capital)1,675,000 0 0 4,000,000 0 Inergovernmental Revenue/ CO 0 540,303 534,698 1,713,381 2,245,000 Prior year Capital Allocation 0 0 475,000 0 2,277,000 Capital & Operating Revenue 5,227,719 4,346,166 5,467,588 10,894,061 9,338,610 WATER & WASTEWATER UTILITY Salaries & Benefits 104,975 204,971 397,786 494,249 538,219 Other Operating 3,097,877 3,624,561 3,148,190 3,310,231 3,230,240 UTILITY OPERATIONS TOTAL 3,202,852 3,829,532 3,545,976 3,804,479 3,768,460 Capital Projects 939,451 276,832 1,689,628 4,000,000 2,245,000 UTILITY FUND TOTAL 4,142,303 4,106,364 5,235,604 7,804,479 6,013,460 83 WATER & WASTEWATER UTILITY FUND BUDGET HIGHLIGHTS • The Water and Wastewater Utility Proposed Budget includes the continuation of the Utility Master Plan project with an allocation of $2,245,000 in funds toward the project, and $32,000 for the purchase of a mini-excavator to mitigate recurring rental expenses. • The wholesale services are purchased from the Miami-Dade County Water and Sewer Department for water and the City of Miami Beach for sewer services, as such the Village’s Utility is subject to rate increases driven by the rate adjustments of our service providers. • The Proposed Budget includes the appropriate allocation of salary and fringe expenses associate with work performed for the Utility by operating departments, services are delivered in collaboration between the Village Parks and Public Spaces and Finance Departments. 84 RESORT TAX DESCRIPTION Bal Harbour Village levies a Resort Tax of four percent of the rent received on the occupancy of a room in any hotel, motel, or apartment house, and two percent of such retail sales of all items of food or beverages, alcoholic or otherwise, sold at retail for consumption on the premises, at any place of business within the Village. This levy is consistent with Part I, Chapter 212, of Florida Statutes. Bal Harbour Village is one of only three Miami-Dade County municipalities to levy such a tax (the other two are the City of Miami Beach and the Town of Surfside), and in doing so has enjoyed the benefits derived from this revenue source for beautification and maintenance of the Village in the beach and Collins corridor areas and reinvesting in the promotion of tourism and enhancing tourist eligible activities throughout the Village. For the FY 2017-18 Proposed Budget, the Resort Tax Funding allocated for beautification, greenspace, and other resort tax eligible activities such as special events and community activities is equivalent to 0.68 mills, if the services and activities were funded within the General Fund through ad valorem revenue. FINANCIAL SUMMARY The FY 2016-17 Proposed Budget for the Resort Tax Fund includes $1,988,850 or fifty-eight percent for Tourism related activities, Special Events and Community Activities that are also a part of Tourism, comprises eight percent at $296,000, and fourty-two percent for Beautification and Greenspace Maintenance and other Resort Tax Eligible activities at $1,454,100. Further detail regarding Beautification and Greenspace Maintenance activities are included in the Parks and Public Spaces Departmental Narrative, as these activities are managed within that department. FY 2014 Actual FY 2015 Actual FY 2016 Actual FY 2017 Budget FY 2018 Proposed Budget RESORT TAX FUND REVENUE Operating Revenue 3,558,593 3,530,930 3,449,032 3,393,357 3,442,883 Carryforward/ Fund Balance 0 212,583 223,107 488,267 0 Capital & Operating Revenue 3,558,593 3,743,513 3,672,139 3,881,624 3,442,883 TOURISM Salaries & Benefits 251,548 191,457 159,100 259,072 259,921 Other Operating 1,362,560 1,370,351 1,723,951 1,796,889 1,728,910 Operating Capital 0 189,900 0 0 0 TOURISM TOTAL 1,614,108 1,751,708 1,883,051 2,055,961 1,988,831 BEAUTIFICATION/ GREENSPACE /OTHER RESORT TAX ELIGIBLE Salaries & Benefits 279,079 323,327 357,867 361,475 247,052 Other Operating 1,033,577 1,478,578 1,431,221 1,464,189 1,207,000 Operating Capital 0 189,900 0 0 0 TOTAL BEAUTIFICATION/GREENSPACE 1,312,656 1,991,805 1,789,088 1,825,663 1,454,052 RESORT TAX FUND TOTAL 2,926,764 3,743,513 3,672,139 3,881,624 3,442,883 85 RESORT TAX TOURISM DEPARTMENT The Tourism Department’s focus is to position Bal Harbour Village as a premier luxury and lifestyle destination worldwide. To continue to re-invest and support the Village by attracting tourism, generating business, creating awareness and building equity for the destination. The goal being that this investment will translate into continued and incremental funds, to be used for increasing the quality of life, beautification maintenance and enhancements, and the ongoing creation of programs and events. FINANCIAL SUMMARY Representation In Key Strategic Markets Bal Harbour Village has several contracts strategically located globally for Sales, Marketing, and Public Relations (PR) services to further position Bal Harbour Village as a tourist destination. Each office is charged with continuing to develop specific and strategic sales, marketing and PR efforts in each of the these markets which have been identified as important to Bal Harbour including: United States, Argentina, Brazil, Canada, Chile, Mexico, and Russia. These markets are intended to offer incremental support, resulting in incremental resort tax revenue from each of those areas. They have been chosen based on a series of indicators, including: in-country economic indicators, existing Bal Harbour business volumes, historical business volumes, and airlift into the greater Miami area. The focus for the Sales and Marketing teams is to maximize relationships with the top travel trade communities, select end- consumers, and luxury travel distribution channels promoting Bal Harbour as a destination. These targeted direct sales efforts assist in increased production and provide critical support for our partners in each market. Our Public Relations efforts are geared toward generating more news worthy attention and media hits for Bal Harbour and to help build brand equity in each region. Efforts are tracked weekly, monthly and yearly, based on Bal Harbour media hits generated by each office. FY 2014 Actual FY 2015 Actual FY 2016 Actual FY 2017 Budget FY 2018 Proposed Budget RESORT TAX FUND TOURISM Salaries & Benefits 251,548 191,457 159,100 259,072 259,921 Other Operating 1,362,560 1,370,351 1,723,951 1,796,889 1,728,910 Operating Capital 0 189,900 0 0 0 TOURISM TOTAL 1,614,108 1,751,708 1,883,051 2,055,961 1,988,831 86 RESORT TAX Travel In Key Strategic Markets The Respective sales and marketing professionals employed by the Village travel in their respective markets to promote Bal Harbour. The travel trade (travel agents, tour operators, and consortia) is a very important channel for business production in the luxury travel segment. Through our global network that we have established, and direct sales efforts, we have been able to strategically target this community. Some sales actions initiated during include: sales calls; hosting educational events for key clients from different sectors; sales trainings for front-line agents; and leveraging key travel agent marketing channels Familiarization (FAM) Trips Familiarization (FAM) Trips refers to all visiting media and travel trade which comes to Bal Harbour Village. Our sales and marketing and PR professionals organize a series of media familiarization trips throughout the year to Bal Harbour. These trips result in subsequent media coverage for Bal Harbour from the visiting journalists and bloggers, which in turn creates media hits and PR for Bal Harbour. These FAM trips are an important component and complement to our advertising efforts. Advertising Our advertising efforts are critical in brining attention to Bal Harbour and in promoting and attracting tourism to our destination. In 2015, Chandelier Creative, which had been selected by the Village to create and design a new creative adverting campaign and brand assets for the Village, finalized the new Village logo and all accompanying creatives and collaterals. As a result, as part of the Village’s rebranding efforts, all new and expanded creative and collateral materials have been developed. The Village’s all new and rebranded tourism related advertising campaign was approved by the Resort Tax Committee and launched in the Fall 2015 with an updated international media strategy plan. In conjunction with the rebranding efforts, the new Village logo has replaced the old and a style guide is in place and serves as a guide for all communication tools and materials used by the Village. This advertising campaign remained in place in FY 2016-17 and will again remain in place for FY 2017-18. Website The existence of a completely functional and engaging website and platform is crucial in today’s world. The new, updated and enhanced Bal Harbour tourism website Was launched in October 2016. Additionally, given the social media climate and the consumer’s desire for new content, in addition to the newly configured site, our social media efforts continue to be enhanced and expanded. Greater Miami Convention Visitors Bureau (GMCVB) The Greater Miami Convention and Visitors Bureau (GMCVB) is an accredited destination tourism and marketing organization. Its mission is to promote the Greater Miami area for leisure travel, conventions, business travel and tourism to our area. Bal Harbour is an important area for the GMCVB to promote, specifically in the luxury market. Bal Harbour Village will continue to partner with the GMCVB on joint marketing efforts. 87 RESORT TAX Advertising Placements In 2015 in conjunction with the campaign created by Chandelier Creative, the Village partnered with Criterion Global, a leading international media buying consultancy, to develop a strategic and coordinated media plan. Our partnership with Criterion will continue in the next fiscal year. The advertising plan is comprised of a local, national, and international media buys. The intention is to work with key publications that are closely aligned with Bal Harbour’s pillars and represent our targeted demographic and to further target our desired population of visitors and tourists. The timing of placements is based on Bal Harbour’s need periods and average booking windows. Bal Harbour’s high season (which command highest rates and are at the highest demand) is typically from late November to late April. Special Events Bal Harbour’s intention is to build programming and events within the community to benefit our visitors while at the same time providing an added benefit to our residents. The programs recommended this year include the continuation of an expanded Unscripted Bal Harbour Art Access Program, and events associated with major regional events taking place in South Florida such as the Miami International Book Fair, Art Basel / Miami Beach, and the South Beach Wine and Food Festival. This past FY, a number of special events were held to commemorate the Village’s 70th anniversary of our incorporation as a municipality. These included a historical 70th anniversary exhibition and tour led by Dr. Paul George, a professor of history and local historian, in collaboration with Claire Breukel, head curator of the Unscripted Bal Harbour Art Program. This exhibit of historic photographs was displayed in the Florida Room of the Sea View Hotel and also included an outdoor companion exhibit along the beach walk that was on display from November through the end of December, 2016. As a result of this very successful and popular exhibit, a permanent series was created in an effort to expand art in public places throughout Bal Harbour. Since then, two other exhibitions have been displayed along the beach path and has created very positive feedback from the community. For the next FY, it is proposed that this program be funded and expanded to include a total of three exhibits during the FY. Also as part of the 70th Anniversary celebration, a family friendly concert featuring the Palm Beach Symphony took place on Bal Harbour Beach in February 2017 and attracted over 2,000 people to this event. The Unscripted Bal Harbour Art Program The Unscripted Bal Harbour Art Program has evolved each year, since it was launched in 2012. The intention is to support and provide access to the arts by connecting our visitors and residents to curated programs and special access to cultural events and museums throughout the year. The Unscripted Bal Harbour Museum Access Program provides Bal Harbour visitors and residents free access to the finest and most dynamic art museums and institutions in South Florida. The program began in the Fall of 2013 and incorporated four of the most important visual arts museums in the Miami area. The program has grown from 12 institutions to the current 16 88 RESORT TAX with 2 more institutions being proposed for the new FY which would bring the total to 18 cultural institutions participating in the program. . A museum guide and Bal Harbour Access card describing the program and each institution was created and sent to all Bal Harbour residents and is offered to Bal Harbour hotel guests as well. An updated guide and card will be created in the new FY to reflect the updates to the program. Unscripted Bal Harbour Art Access Tours offers unique access to, and private tours of, some of the Miami areas most sought after art experiences. Tours include visits to collectors’ homes, galleries, museums, private collections and art fairs, for a personal and distinctive Unscripted Bal Harbour experience. The Access Tours are complimentary and exclusive for Bal Harbour’s visitors and residents. Unscripted Bal Harbour Art Chats are a series of complimentary art talks held throughout the year that explore topics pertinent to commissioning public art projects and exhibiting in the public sphere. The program brings art experts—including curators, artists, architects and designers from around the world to Bal Harbour with the aim of fostering critical dialogue that is both timely and accessible to members of the art community, residents of and guests to Bal Harbour Village The Fourth of July Fireworks - Each year Bal Harbour hosts fireworks on the 4th of July, the event is highly anticipated and well attended by residents and visitors. This past fiscal year the celebration was enhanced and included seating, entertainment and refreshments for residents and visitors and the same is proposed for next FY. This event is coordinated in conjunction with the Village’s Parks and Open Spaces Department. SIGNIFICANT ACCOMPLISHMENTS • Through our advertising, marketing and public relations efforts, our focus is to continue to position Bal Harbour Village as the premier luxury and lifestyle destination worldwide – in FY 2017, streamlined advertising budgets called for a greater digital emphasis with 85% of budget allocated to digital campaigns • In conjunction with the Village’s rebranding efforts, our new logo and collaterals have now replaced all the former images and a style manual has been developed and is in place which serves as a guide for all communication tools and materials used by the Village. • Launched the all new Bal Harbour Village Tourism website with vibrant and appealing graphics and designs and easy to use capabilities. • Coordinated the design and replacement of all of the Village-wide informational and directional signage located throughout the Village and on our beach. In total, there are approximately 150 signs which have already been replaced. These include signs announcing: Beach Rules, Jogging/Walking/Bicycle Paths, Bicycle Path Rules, Rip Currents Warning, Beach Warning Flags, Swim At Your Own Risk, No Fishing Along Wall on the Jetty, Address signs for Residential Buildings (on the Beach path), Park signs (in Bal Harbour Park), Pooper Scooper signage, and Village Hall signage. • Coordinated all Village 70th Anniversary events, including a two-part, historical photography exhibit curated by Dr. Paul George, a professor of history and 89 RESORT TAX lead historian for History Miami Museum which provided a historical overview of the Village in both an indoor exhibition at the Sea View Hotel as well as an outdoor exhibition along the beach walk as well as a community- wide celebration held in February 2017 with over 2,000 residents and visitors in attendance. • Coordinated a number of other public events including two family-friendly movies on the beach; an event in late November to kick-off the holiday season with the lighting of the holiday décor on Founders Circle and along Collins Avenue; and a special Independence Day celebration was held for our residents and guests to accompany our traditional fireworks display. • The Unscripted Art Access Program now includes sixteen cultural institutions, having added several this current year, including the recently opened Frost Museum of Science. • Held nine art chats and tours, including: a private director-led tour of the NSU Art Museum Fort Lauderdale in October; a private tour of the Isabel Kowal and Francois Odermatt collection of public artwork in the lobby of the Kenilworth Bal Harbour as well as their private residence in November; a private brunch and tour of the Art Miami Pavilion as well as complimentary VIP access was provided to four top partner art fairs as well as exclusive VIP event access to select museum and collection events during Art Basel / Miami Beach in December; a private tour of the Edge Collections Exhibition on the Island Gardens Deep Harbour on Biscayne Bay in January; a private tour with the New World School of the Arts at the Cisneros Fontanals Art Foundation in March; a private tour of the National Young Arts Foundation in May; a private family-friendly tour of the Perez Art Museum Miami (PAMM) in June; and finally, and in September, a private tour of the soon to be opened Bass Museum of Art. • Introduced the new public art project along the beach walk, initially with the 70th anniversary historical exhibit which ran from November 2016 – January 2017. In February, Sartorial Anarchy, an exhibition curated by the Museum of Contemporary Photography featuring the visually vibrant work of Ike Ude’s homage to fashion, was installed. The exhibit was kicked off by a private tour, cocktails and a talk with the artist at the Artisan Beach House at the Ritz-Carlton, Bal Harbour. In June, the Village partnered with O, Miami – an organization committed to building community through literature and poetry, to curate a fun, summer-themed exhibition, Post Haste. Inspired by pre-war marketing for the Burman Shave Company – famous for its advertising campaigns featuring humorous rhyming poems on small sequential highway signs. Four poems are presented according to the speed of the beach walk’s usage as thoroughfare for biking, jogging, and walking. In September, a tour of the exhibition took place followed by cocktails and a live poetry reading at the Sea View Hotel. 90 CAPITAL OUTLAY Local governments prepare and adopt comprehensive, fiscally sustainable, and multi -year capital plans to ensure effective management of capital assets. A prudent multi-year capital plan identifies and prioritizes expected needs based on a strategic plan. Historically, the Village has had only one major capital project, the Utility Master Plan, allocations for this and smaller projects were provided on an incremental fiscal year basis in spite of the multi-year nature of their duration. Now that the Village looks toward a long-term vision for the future, the beginning of a true multi-year capital plan emerges with the addition of funding toward the Bal Harbour Park, 96th Street Plaza, improvements to the Jogging Path, and the Bal Harbour Jetty. As the full design and scope of these projects emerge future years and corresponding funding allocations will emerge. 91 CAPITAL OUTLAY CAPITAL PROJECT Prior Year Appropriations FY 2018 Proposed Appropriation Total Capital Appropriation Actual Prior Year Expense / 2017 Projection Remaining Appropriation GENERAL FUND Bus Shelters 1,027,227 1,027,227 1,027,227 - Bus Purchase 66,200 - 66,200 66,200 - Croswalk Installation 86,325 - 86,325 86,325 - Park Shade Structure 12,000 - 12,000 12,000 - Park Bathroom 50,000 - 50,000 - 50,000 Village Hall Improvements 563,000 - 563,000 45,000 518,000 Sea Wall 51,700 - 51,700 - 51,700 Jetty 332,000 332,000 664,000 - 664,000 Boat Engines 59,000 - 59,000 59,000 - Waterfront Park - 884,360 884,360 - 884,360 Haulover Skate Park - 50,000 50,000 Skid Loader - 48,000 48,000 - 48,000 96th Street Plaza - 100,000 100,000 - 100,000 Jogging Path - 100,000 100,000 - 100,000 Beach Furniture - 75,000 75,000 - 75,000 Fleet 1,411,393 - 1,411,393 479,159 932,234 Information Technology 227,000 - 227,000 165,459 61,541 CADD 380,000 - 380,000 - 380,000 TOTAL CAPTIAL APPROPRIATION 4,265,845 1,589,360 5,855,205 1,940,370 3,864,835 92 CAPITAL OUTLAY SIGNIFICANT ACCOMPLISHMENTS • Completed Phase 1 Sewer Infrastructure Project, resulting in the removal of the construction moratorium of the related to the old pump station by Miami-Dade County’s Environmental Permitting Department; began Phase 2 of the Sewer System Utility Master Plan project. CAPITAL PROJECT Prior Year Appropriations FY 2018 Proposed Appropriation Total Capital Appropriation Actual Prior Year Expense / 2017 Projection Remaining Appropriation WATER & WASTEWATER UTILITY FUND Utility Master Plan 12,640,000 2,245,000 14,885,000 3,590,729 9,049,271 Mini Excavator - 32,000 32,000 - 32,000 TOTAL CAPTIAL APPROPRIATION 2,277,000 14,917,000 3,590,729 11,326,271 93 94 Position Detail FT PT FTEs PT FTEs PT FTEs PT GENERAL FUND Legislative 5.00 - 5.00 - 5.00 - 5.00 - Administration 6.00 - 6.00 - 6.00 - 6.00 - Finance 4.00 - 4.00 - 4.00 - 4.00 - General Government - - - - - - - - Law Enforcement 38.00 1.00 39.00 1.00 39.00 1.00 39.00 1.00 Building 2.00 2.00 4.00 - 4.00 3.00 4.00 4.00 Parks and Recreation 2.15 5.00 2.39 5.00 2.39 5.00 2.58 5.00 Public Works 5.35 - 1.94 - 1.94 - 3.74 - Total General Fund 62.50 8.00 62.33 6.00 62.33 9.00 64.32 10.00 WATER AND SEWER FUND Water and Sewer 1.50 - 3.46 - 4.46 - 5.88 - Total Water and Sewer Fund 1.50 - 3.46 - 4.46 - 5.88 - RESORT TAX FUND Marketing 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 Beautification and Maintenance 4.00 - 4.21 - 4.21 - 2.49 - Total Resort Tax Fund 5.00 1.00 5.21 1.00 5.21 1.00 3.49 1.00 LANDSCAPE & SECURITY FUND Public Works - - - - - - 0.31 - Total Landscape & Security Fund - - - - - - 0.31 - TOTAL VILLAGE 69.00 9.00 71.00 7.00 72.00 10.00 74.00 11.00 FY 2017-18 Proposed Budget FY 2016-17 Adopted Budget FY 2015-16 Adopted Budget FY 2014-15 Adopted Budget 95 Position Detail FY 2017-18 Proposed Budget FY 2016-17 Adopted Budget FY 2015-16 Adopted Budget FY 2014-15 Adopted Budget GENERAL FUND Legislative FT PT FTEs PT FTEs PT FTEs PT Mayor 1.00 - 1.00 - 1.00 - 1.00 - Councilmember 4.00 - 4.00 - 4.00 - 4.00 - Total Legislative 5.00 0.00 5.00 0.00 5.00 0.00 5.00 0.00 Administration FT PT FTEs PT FTEs PT FTEs PT Village Manager 1.00 - 1.00 - 1.00 - 1.00 - Village Clerk 1.00 - 1.00 - 1.00 - 1.00 - AVM / Human Resources Director 1.00 - 1.00 - 1.00 - 1.00 - Executive Assistant 1.00 - 1.00 - 1.00 - 1.00 - Records Liason 1.00 - 1.00 - 1.00 - 1.00 - Receptionist 1.00 - 1.00 - 1.00 - 1.00 - Total Administration 6.00 0.00 6.00 0.00 6.00 0.00 6.00 0.00 Finance FT PT FTEs PT FTEs PT FTEs PT Finance Director 1.00 - 1.00 - 1.00 - 1.00 - Accounting Clerk 3.00 - 3.00 - 2.00 - 2.00 - Controller 1.00 1.00 Total Finance 4.00 0.00 4.00 0.00 4.00 0.00 4.00 0.00 General Government FT PT FTEs PT FTEs PT FTEs PT Receptionist - - - - - - - - Total General Government 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 96 Position Detail FY 2017-18 Proposed Budget FY 2016-17 Adopted Budget FY 2015-16 Adopted Budget FY 2014-15 Adopted Budget Law Enforcement FT PT FTEs PT FTEs PT FTEs PT Police Chief 1.00 - 1.00 - 1.00 - 1.00 - Executive Secretary 1.00 - 1.00 - 1.00 - 1.00 - Captain 1.00 - 1.00 - 1.00 - 1.00 - Management Services Administrator 1.00 - 1.00 - 1.00 - 1.00 - Quality Assurance Coordinator - 1.00 - 1.00 - 1.00 - 1.00 Commander - - - - - - - - Lieutenant 2.00 - 2.00 - 2.00 - 2.00 - Sergeant 5.00 - 6.00 6.00 5.00 Detective 2.00 - 2.00 - 2.00 - 2.00 - Corporal - - 1.00 - 1.00 - 1.00 - Motorcycle Officer - - - - - - - - Canine Officer/Handler 1.00 - 1.00 - 1.00 - 2.00 - Officer 13.00 - 12.00 - 12.00 - 11.00 - Code Enforcement Officer 2.00 - 2.00 - 2.00 - 2.00 - Public Service Aide 1.00 - 1.00 - 1.00 - 1.00 - Public Safety Beach Ranger (Resort Tax Funde 1.00 - 1.00 1.00 1.00 Dispatcher 6.00 - 6.00 - 6.00 - 6.00 - Records Administrator 1.00 - 1.00 - 1.00 - 1.00 - Mechanic - - - - - - - - Communications Administrator & Code Compliance 1.00 Total Law Enforcement 38.00 1.00 39.00 1.00 39.00 1.00 39.00 1.00 97 Position Detail FY 2017-18 Proposed Budget FY 2016-17 Adopted Budget FY 2015-16 Adopted Budget FY 2014-15 Adopted Budget Building FT PT FTEs PT FTEs PT FTEs PT Building Official/ Director*- 1.00 1.00 - 1.00 - 1.00 - Chief Building 1.00 Permit Clerks 2.00 - 2.00 - 2.00 - 2.00 - Clerical Assistant - 1.00 1.00 - 1.00 - - 1.00 Inspectors - - - - - 3.00 - 3.00 Total Building 2.00 2.00 4.00 0.00 4.00 3.00 4.00 4.00 *Building Official became a full-time employee Recreation FT PT FTEs PT FTEs PT FTEs PT Parks & Public Spaces Director 0.15 - 0.10 - 0.10 - 0.10 - Parks and Rec. Director - - - - - - - - Park Attendants 2.00 5.00 2.29 5.00 2.29 5.00 2.48 5.00 Total Recreation 2.15 5.00 2.39 5.00 2.39 5.00 2.58 5.00 Public Works FT PT FTEs PT FTEs PT FTEs PT Parks & Public Spaces Director 0.35 - 0.24 - 0.24 - 0.30 - Operations Coordinator 0.15 - 0.15 - 0.15 - 0.12 - Maintenance Staff 2.00 - 0.70 - 0.70 - 2.52 - Management Analyst 0.30 - 0.30 - 0.30 - 0.25 - Secretary - - - - - - - - Facilities Coordinator 1.00 - 0.55 - 0.55 - 0.55 - Total Public Works 3.80 0.00 1.94 0.00 1.94 0.00 3.74 0.00 TOTAL GENERAL FUND 55.95 8.00 57.33 6.00 57.33 9.00 59.32 10.00 98 Position Detail FY 2017-18 Proposed Budget FY 2016-17 Adopted Budget FY 2015-16 Adopted Budget FY 2014-15 Adopted Budget WATER AND SEWER FUND Water and Sewer FT PT FTEs PT FTEs PT FTEs PT Parks & Public Spaces Director 0.30 - 0.33 - 0.33 - 0.40 - Maintenance & Administrative Staff 1.20 - 3.13 - 3.13 - 4.73 - Utility Compliance Officer 1.00 - 0.75 - Total Water and Sewer 1.50 0.00 3.46 0.00 4.46 0.00 5.88 0.00 TOTAL WATER AND SEWER FUND 1.50 0.00 3.46 0.00 4.46 0.00 5.88 0.00 RESORT TAX FUND Marketing FT PT FTEs PT FTEs PT FTEs PT Tourism/Marketing Director 1.00 - 1.00 - 1.00 - 1.00 - Assistant - 1.00 - 1.00 - 1.00 - 1.00 Total Marketing 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 Beautification and Maintenance FT PT FTEs PT FTEs PT FTEs PT Parks & Public Spaces Director 0.20 - 0.33 - 0.33 - 0.19 - Maintenance Staff 4.35 - 3.88 - 3.88 - 2.30 - Total Beautification and Maintenance 4.55 0.00 4.21 0.00 4.21 0.00 2.49 0.00 TOTAL RESORT TAX FUND 5.55 1.00 5.21 1.00 5.21 1.00 3.49 1.00 SECURITY & LANDSCAPE FUND Beautification and Maintenance FT PT FTEs PT FTEs PT FTEs PT Parks & Public Spaces Director 0.10 - Maintenance Staff 0.21 - Total Beautification and Maintenance 0.00 0.00 0.00 0.00 0.00 0.00 0.31 0.00 TOTAL SECURITY & LANDSCAPE FUND 0.00 0.00 0.00 0.00 0.00 0.00 0.31 0.00 99 100