City Council Special (Budget) Meeting

City of Naples City Council Chamber 735 Eighth Street South Naples, Florida 34102 City Council Special (Budget) Meeting – September 4, 2024 – 5:05 p.m. It is noted for the record that all documentation electronically appended hereto is also contained in the file for this meeting with the City Clerk’s Office. 1) CALL TO ORDER AND ROLL CALL City Council Members Present Teresa Heitmann, Mayor Terry Hutchison, Vice Mayor Staff Present: Jay Boodheshwar, City Manager Matthew McConnell, City Attorney Gary Young, Deputy City Manager/CFO Patricia Rambosk, City Clerk Berne Barton Ray Christman Bill Kramer Linda Penniman Beth Petrunoff 2) PLEDGE OF ALLEGIANCE Mayor Heitmann led in the Pledge of Allegiance. 3) PUBLIC COMMENTS None. 4) PUBLIC HEARINGS 4.A) A Public Hearing and Adoption of Final Millage Rates and the Final Budgets Will be Held in Naples City Council Chambers on September 18, 2024, at 5:05 P.M. Deputy City Manager/CFO Gary Young stated the hearings that day were the first of two public hearings for adoption of the proposed millage rate and the tentative budget of the City for the fiscal year 2024-2025, noting the meeting was properly noticed and the second public hearings would be on September 18, 2024. Deputy City Manager/CFO Young utilized an electronic presentation to overview the following: purpose of procedures for that day’s hearing; the budget hearing requirement; budget highlights including the General Fund recommended millage rate at 1.2300, the East Naples Bay Taxing District millage rate of 0.5000, the same as the prior year, and the Moorings Bay Taxing District millage rate of 0.0125, the same as the prior year; definitions of rolled back rate, aggregate rolled back rate at 1.1126, and aggregate millage rate at 1.2473, 12.11 percent higher than the rolled back rate; millage rate as advertised at 1.2700 with the proposed millage rate at 1.2300; millage rate of 1.2300 versus rolled back rate of 1.0954 to fund salaries with negotiated increases and corresponding benefits, increased personnel count related to anticipated enhanced level of service for Police, Fire, Parks and Recreation and Planning, provide resources necessary to keep pace with costs of goods and services required to operate at current service levels, maintain sufficient fund balance reserves to accommodate future economic conditions, enhanced level of service and continued emphasis on street repaving and infrastructure. Deputy City Manager/CFO Young further stated that the changes made from the proposed budget for public safety and quality of life enhancement initiatives increased in the total amount of $2,162,216; regarding changes made to the total overall budget, the total revenue increased by $2,202,780; total

City Council Special (Budget) Meeting – September 4, 2024 – 5:05 p.m. 2 Roll call votes by Council Members are recorded in random order, pursuant to City Council policy. expenses to the budget increased $2,162,216. Deputy City Manager/CFO Young then overviewed the taxable value trend back to 2006; budget highlights including increases in personnel services, operating expenses and capital expenses; pension funding; position changes; General Fund millage comparison; overview of revenue and expenses, noting one-time expenses. Following the conclusion of Deputy City Manager/CFO Young’s presentation, no questions were proffered. Agenda Memorandum 2024-25 Budget - 1st Public Hearing Agenda Memorandum 2024-25 Taxing Districts FY24-25 Proposed Budget Changes to Proposed Budget FY 2024-25 Certified DR-420 on 8-1-24 TRIM at 1.27 Max Mills Draft DR-420 at Millage Rate of 1.23 Mills Presentation 5) TENTATIVE MILLAGE RATES AND PROPOSED BUDGETS 5.A) RESOLUTION 2024-15445 – A Resolution Determining and Fixing the 2024 Tax Levy and Tentative Millage Rate for the City of Naples, Exclusive of Dependent Taxing Districts, and for Providing Sufficient Funds for the General Fund Operations; Providing a Severability Clause, a Repealer Provision, and an Effective Date. Title read by City Attorney Matthew McConnell. Public Comment: None. MOTION by Christman to APPROVE RESOLUTION 2024-15445; seconded by Barton and carried 6-1, all members present and voting (Hutchison-no, Penniman-yes, Christman-yes, Barton-yes, Kramer-yes, Petrunoff-yes, Heitmann-yes). Resolution 2024-25 General Fund Millage Rate 5.B) RESOLUTION 2024-15446 – A Resolution Adopting the Tentative Budget for the City of Naples, Florida Exclusive of Dependent Taxing Districts, for Fiscal Year Commencing October 1, 2024 and Ending September 30, 2025; Appropriating Funds for Operating Expenses of the City of Naples Florida for the General Operation of the Departments of the City, Including Utilities, and for the Interest and Principal on the Outstanding Bonds and Other Fixed Obligations of the City For and During the Fiscal Year; Providing a Severability Clause, a Repealer Provision, and an Effective Date. Title read by City Attorney Matthew McConnell. Public Comment: None. MOTION by Penniman to APPROVE RESOLUTION 2024-15446; seconded by Kramer and unanimously carried, all members present and voting (Penniman-yes, Kramer-yes, Hutchison-yes, Christman-yes, Barton-yes, Petrunoff-yes, Heitmann-yes). 2024-25 Budget Resolution Excluding Dependent Taxing Districts 5.C) RESOLUTION 2024-15447 - A Resolution Determining and Fixing the 2024 Tax Levy and Tentative Millage Rate for the East Naples Bay Special Taxing District to Provide Sufficient Funds for the Operations of the Special Taxing District; Providing a Severability Clause, a Repealer Provision, and an Effective Date. Title read by City Attorney Matthew McConnell. Public Comment: None. MOTION by Hutchison to APPROVE RESOLUTION 2024-15447; seconded by Barton and unanimously carried, all members present and voting (Petrunoff- yes, Kramer-yes, Hutchison-yes, Penniman-yes, Christman-yes, Barton-yes, Heitmann-yes). Resolution 2024-25 East Naples Bay Taxing District Millage Rate 5.D) RESOLUTION 2024-15448 – A Resolution Determining and Fixing the 2024 Tax Levy and Tentative Millage Rate for the Moorings Bay Special Taxing District to Provide

City Council Special (Budget) Meeting – September 4, 2024 – 5:05 p.m. 3 Roll call votes by Council Members are recorded in random order, pursuant to City Council policy. Sufficient Funds for the Operations of the Special Taxing District; Providing a Severability Clause, a Repealer Provision, and an Effective Date. Title read by City Attorney Matthew McConnell. Public Comment: None. MOTION by Penniman to APPROVE RESOLUTION 2024-15448; seconded by Petrunoff and unanimously carried, all members present and voting (Kramer- yes, Christman-yes, Petrunoff-yes, Barton-yes, Hutchison-yes, Penniman- yes, Heitmann-yes). Resolution 2024-25 Moorings Bay Taxing District Millage Rate 5.E) RESOLUTION 2024-15449 – A Resolution Adopting the Tentative Budget for the East Naples Bay Special Taxing District for Fiscal Year Commencing October 1, 2024 and Ending September 30, 2025; Appropriating Funds for the General Operation of the East Naples Bay Special Taxing District, For and During Fiscal Year Commencing October 1, 2024 and Ending September 30, 2025; Providing a Severability Clause, a Repealer Provision, and an Effective Date. Title read by City Attorney Matthew McConnell. Public Comment: None. MOTION by Penniman to APPROVE RESOLUTION 2024-15449; seconded by Christman and unanimously carried, all members present and voting (Kramer-yes, Barton-yes, Penniman-yes, Hutchison-yes, Petrunoff-yes, Christman-yes, Heitmann-yes). Resolution 2024-25 East Naples Bay Taxing District Budget 5.F) RESOLUTION 2024-15450 – A Resolution Adopting the Tentative Budget for the Moorings Bay Special Taxing District for Fiscal Year Commencing October 1, 2024 and Ending September 30, 2025; Appropriating Funds for the General Operation of the Moorings Bay Special Taxing District for and During Fiscal Year Commencing October 1, 2024 and Ending September 30, 2025; Providing a Severability Clause, a Repealer Provision, and an Effective Date. Title read by City Attorney Matthew McConnell. Public Comment: None. MOTION by Penniman to APPROVE RESOLUTION 2024-15450; seconded by Petrunoff and unanimously carried, all members present and voting (Barton- yes, Christman-yes, Hutchison-yes, Petrunoff-yes, Penniman-yes, Kramer- yes, Heitmann-yes). Resolution 2024-25 Moorings Bay Taxing District Budget Deputy City Manager/CFO Young thanked the Council and the staff for the many months of hard work and announced that the next step would be the second and final public hearing on the budget and millage rate, scheduled for Wednesday, September 18, 2024, at 5:05 p.m. Mayor Heitmann thanked Deputy City Manager/CFO Young for his responsibility and commitment to ensure the City has a fiscally responsible budget for the community, noting that all department directors have been very responsible for each department’s budget. Mayor Heitmann emphasized that this year’s budget was a budget based on increasing public safety and quality of life in the City. CORRESPONDENCE continued from the City Council Regular Meeting of September 4, 2024, held earlier that day. Council Member Penniman suggested a practice be developed by the Chairs of each advisory board or committee as to the purpose and function of the advisory board or committee and be read into the record at each meeting to help the community understand why the advisory boards or committees are meeting. Mayor Heitmann said she supports the idea and that a workshop will be held on September 16, 2024 on the topic of boards and committees.

City Council Special (Budget) Meeting – September 4, 2024 – 5:05 p.m. 4 Roll call votes by Council Members are recorded in random order, pursuant to City Council policy. City Manager Jay Boodheshwar said that there were some inconsistencies with boards and committees and suggested a more informative onboarding process, so each member fully understands the roles and responsibilities of the position. He further overviewed the upcoming workshop on the topic of boards and committees including annual refreshers for members. Council Member Petrunoff asked about the status of the creation of an Environmental and Resiliency Board that was previously discussed by Council. City Manager Boodheshwar reminded Council that this item was on the list, but this item did not make the top priorities list of Council, and it would be a matter of timing. Following discussion of Council, Mayor Heitmann suggested Council be provided with additional interaction with Natural Resources on the topic of resiliency. City Manager Boodheshwar said that the 2025 budget will approve the human infrastructure needed for additional work on resiliency, but right now the City is not properly staffed or organized and suggested a future workshop meeting regarding this as well as the adaptation plan. Council Member Petrunoff noted a land use item from the meeting earlier that day and acknowledged the thorough work of staff but noted items presented by the petitioner that Council was not aware of and may have deflected against the good work of staff. She emphasized the good and thorough job staff did and does not want them to be discouraged. Regarding the resiliency efforts, Vice Mayor Hutchison agreed that the City needs to build the infrastructure first and asked that Council understand, identify, and commit to its current top ten priorities. Regarding the valet program, he reminded Council of the concern he had about security and asked for consensus to have the City Manager work with staff to create the best template for a service agreement for valet services. City Attorney Matthew McConnell said there was previously no agreement, and the service was approved though a right-of-way agreement. City Manager Boodheshwar recommended that the agreement template be strengthened for future petitions. Mayor Heitmann suggested that each department review its policies and procedures. In response to Mayor Heitmann, City Manager Boodheshwar said he would coordinate a joint meeting with the Naples Airport Authority and develop an agenda tentatively to be held in October. City Attorney McConnell asked Council for direction in responding to citizens for legal interpretations and opinions, noting it is not a good practice to give legal advice to citizens. CONSENSUS that the City Attorney politely decline any requests for legal opinions as it would be inappropriate and costly for the City. 6) ADJOURNMENT 6:07 p.m. ____________________________ Teresa Lee Heitmann, Mayor ______________________________ Patricia L. Rambosk, City Clerk Minutes prepared by: ________________________________ Patricia Rambosk, City Clerk Minutes Approved: 9/18/2024.