City Commission

Tuesday, June 10, 2025 4:00 PM City of Delray Beach 100 NW 1st Avenue - Delray Beach, Florida 33444 Phone: (561) 243-7000 www.delraybeachfl.gov Delray Beach City Hall or Watch on YouTube: https://www.youtube.com/channel/UCc2j0JhnR8Hx0Hj13RhCJag/s treams City Commission Mayor Thomas F. Carney, Jr. Vice Mayor Rob Long Deputy Vice Mayor Angela Burns Commissioner Tom Markert Commissioner Juli Casale Minutes - Final Budget Workshop Meeting at 4:00 PM

June 10, 2025City Commission Minutes - Final Pursuant to Section 3.12 of the Charter of the City of Delray Beach, the Mayor has instructed me to announce a Workshop Meeting of the City Commission to be held for the following purposes: WS.1. REQUEST FOR SPONSORSHIP OF AN AMENDMENT TO THE LAND DEVELOPMENT REGULATIONS, SECTION 4.4.26, “LIGHT INDUSTRIAL (LI) DISTRICT,” TO INCLUDE THE SERVICE INDUSTRY USES IDENTIFIED IN LDR SECTION 4.4.20(B)(5) OF THE INDUSTRIAL (I) ZONING DISTRICT REGULATIONS ZONING DISTRICT REGULATIONS AS PRINCIPAL USES IN LI ZONING. Sponsors: Development Services Department Sponsorship Request Letter Justification Statement Draft Amendment to LDR Section 4.4.26, Light Industrial (LI) District Attachments: The June 10, 2025 Budget Workshop Meeting was called to order at 4:00 p.m. Alexis Givings, City Clerk, called the roll, and the following were present: Present 5 - Commissioner Tom Markert , Mayor Thomas F. Carney Jr., Deputy Vice Mayor Angela Burns, Commissioner Juli Casale, and Vice-Mayor Rob Long Others present were: Terrence Moore, City Manager Lynn Gelin, City Attorney Alexis Givings, City Clerk Ms. Gelin informed the Commission that Jeff Costello, representing his client, Wallace Drive, LLC, was present to request a Land Development Regulation (LDR) Text Amendment. She stated that at least 3 Commissioners must support this request for Mr. Costello to be able to move his application forward. Mr. Costello, with JC Planning Solutions, provided a presentation to amend the Light Industrial (LI) District within the Wallace Drive Redevelopment Overlay District, allowing for more flexibility. He mentioned that this amendment aligns with the City’s Comprehensive Plan and supports the retention of commercial land uses, employment opportunities, and the diversification of the City’s economy. Anthea Gianniotes, Development Services Director, presented a staff report on this matter. She explained that the request aimed to expand the allowable uses within Light Industrial Zoning Districts. She noted this area was eligible for the Live Local Act. Page 2City of Delray Beach Printed on 7/11/2025

June 10, 2025City Commission Minutes - Final A discussion ensued amongst the Commission about the types of businesses Mr. Costello’s client intended to establish in the area. They mentioned the need to incorporate the few remaining parcels to accommodate Light Industrial use. The Commission briefly discussed this item and unanimously agreed to advance this item. Mr. Costello thanked the Commission. WS.2. PRELIMINARY PROPOSED BUDGET CONSIDERATIONS FOR FY 2025-2026 Sponsors: Finance Department Mr. Moore discussed the collaborative efforts between his office and that of Henry Dachowitz, Chief Financial Officer, which were aimed at achieving a balanced budget. He outlined the steps that could be taken to reach this goal. Additionally, he briefly addressed the Fire Department's transition from a 24/48-hour shift schedule to a 24/72-hour shift schedule and the financial implications this change would have on the City’s budget. Mr. Dachowitz presented the amended budget for 2025, which totals $189,220,303 as of May. He noted that, through workshops, individual meetings, and other interactions with departments, the proposed budget for 2026 revenues is estimated to be $177,895,910. This resulted in a shortfall of $11,324,393, primarily due to a $10 million drawdown from reserves. He stated that the 2026 budget does not include the drawdown, which was included in the amended budget from the previous year. He compared the departmental expenses for 2025 with those proposed for 2026. He also provided the City Manager’s recommendations for balancing the budget, which included not filling all vacancies across departments in a single year. He then discussed the expenses, which totaled $189,220,303 in 2025. The projected revenues for 2026 were $201,832,744, representing a shortfall of $12,612,441. He stated that once the Commission sets the millage rate, it will affect the revenue for the City. Mr. Moore discussed the Fire Department's 3/3 staffing model and mentioned potential revenue sources that the City could utilize to fund this additional expenditure, which will begin on October 1, 2025. He asked Fire Chief Martin to present the next items regarding the Fire Department and strategies to fund the budget. Ronald Martin, Fire Chief, noted that the SAFER Grant is a program administered by the Federal Emergency Management Agency (FEMA), designed to enhance or maintain the number of firefighters in local Page 3City of Delray Beach Printed on 7/11/2025

June 10, 2025City Commission Minutes - Final communities. He emphasized that the program is highly competitive, and the application process typically begins in January. Chief Martin pointed out that the SAFER Grant application has specific guidelines regarding staffing requirements. During the discussion, he shared the funding and payout schedule related to the grant. He highlighted that the City has two weeks left to submit the application, pending approval from the City Commission, and indicated that there was less than a 9% chance of securing funds. There was consensus among the Commission to proceed with the application for the SAFER Grant. Mr. Moore stated he would add this item to the agenda for the June 17th Commission Meeting for consideration. Discussion ensued among the Commission regarding the City's delay in applying for the grant. Mayor Carney stated that not all fire emergency calls require advanced life support. In many cases, basic life support was sufficient. He also mentioned that other counties are contracting with private ambulance services to alleviate the burden on firefighters who would otherwise respond to basic life support calls. Chief Martin presented information on fire suppression coverage, indicating that this is a risk-based recommendation. The proposal involves shutting down a fire suppression unit, which would enable the reallocation of those resources to the rescue unit. This approach would maintain minimum fire services by having at least a two-person search-and-rescue crew with limited to no suppression capabilities in one zone of the city. However, it would ensure that the City remains in a constant state of readiness for emergencies in other areas. He addressed the potential risks linked to this decision. The Commission discussed the importance of being adequately staffed when responding to fire or emergency calls. They noted that the City is experiencing significant growth, highlighting the need for long-term budget solutions rather than year-to-year planning. The Commission acknowledged that the City relies heavily on its property taxes to fund its operations, as Delray Beach does not assess its residents for other services like neighboring municipalities do. Mr. Moore proposed holding meetings with each Commissioner over the next two weeks to discuss the possibility of converting more parking lots into paid ones, in an effort to generate revenue for the City and to gather their thoughts. He then presented a detailed schedule outlining the budget topics to be Page 4City of Delray Beach Printed on 7/11/2025

June 10, 2025City Commission Minutes - Final discussed each month in preparation for finalizing the fiscal year 2025-2026 budget, which will be presented at the Regular Meeting on September 16th. He mentioned hosting a live-streamed Town Hall Meeting on July 24th to keep residents informed about ongoing budget considerations and parking considerations at the July 8th Regular City Commission Meeting. Mr. Moore requested the Commission's consensus to develop a proposal with a 3/3 staffing model aimed at securing $1.4 million. This funding would ensure that fire response trucks remain staffed with three personnel, ready to respond to emergencies. He noted that, according to the firefighters' collective bargaining agreement negotiated in 2023 and approved by the Commission, their hours would follow a 24/72 schedule, as outlined in the contract. WS.3. PUBLIC COMMENTS Mayor Carney opened the floor to anyone who wished to speak. Charles Stravikno, 3631 Lowson Blvd, Delray Beach Discussed the importance of having a fire truck staffed with three professionals and expressed his gratitude to the Commission for their recognition of this need. Seeing no one else present, Mayor Carney closed public comments. City Commission Comments Commissioner Casale: Thanked Mr. Darrell Hunter for taking on the role of Interim Chief of Police. Deputy Vice Mayor Burns: Inquired about the process for selecting the new Chief of Police. Congratulated Coco Gauff and proposed declaring a Coco Gauff Day in her honor, along with a proclamation for her. Commissioner Markert: Expressed his gratitude to Darrell Hunter for taking on the Interim Chief of Police position. Congratulated Fire Chief Martin, Mr. Moore, and Mr. Dachowitz for their work on the budget. Page 5City of Delray Beach Printed on 7/11/2025

June 10, 2025City Commission Minutes - Final Vice Mayor Long: Thanked his colleagues for recognizing the need for a three-person team when dispatching a fire truck. Acknowledged Chief of Police, Russ Mager, for his excellent 29 years of exceptional service, and recognized Mr. Hunter as the Interim Chief of Police. Mayor Carney: Proposed to begin the process of selecting the five individuals who will serve on the Vision 2035 Steering Committee. Mr. Moore suggested adding the above item to the July 15th Regular Commission Meeting. There was consensus to add the item. Mayor Carney expressed concern that the Downtown Development Authority (DDA) has adopted its millage rate without meeting the statutory legal requirements of holding two publicly noticed meetings and presenting its recommendations to the City Commission for consideration. He stated that the City would not adopt a millage rate for the DDA that the Commission had not approved. Vice Mayor Long also added that the administrative policy has changed, allowing applicants for advisory boards to apply without having to appear before the DDA. He recognized that the DDA had functioned as a quasi-advisory board for the Commission. He proposed that the Commission engage in a discussion on this matter at a later date. Commissioner Casale recommended that the City send a polite letter to the DDA, informing them that their actions were improper. City Manager: Mentioned that no formal presentation will be made by staff at the June 17th Workshop Meeting regarding the Education Board; however, the meeting will provide the Commission with an opportunity to give their input on the matter. There being no further business to discuss, Mayor Carney adjourned the meeting at 6:13 p.m. The City shall furnish appropriate auxiliary aids and services where necessary to afford an individual with a disability an equal opportunity to participate in and enjoy the benefits of a service, program, or activity conducted by the City. Please contact the Human Resources Department at (561) 243-7125 at least 24 hours prior to the program or activity for the City to reasonably accommodate your request. Adaptive listening devices are available for meetings in the Commission Chambers. Page 6City of Delray Beach Printed on 7/11/2025