City Commission Budget Workshop - via Zoom/Hybrid

Workshop Re: Proposed FY 2021/22 Budget -1- 07/12/21 MINUTES OF THE SARASOTA CITY COMMISSION WORKSHOP MEETING OF JULY 12, 2021 PRESENT: Mayor Hagen Brody, Vice Mayor Erik Arroyo, Commissioners Liz Alpert, Kyle Scott Battie (arrived at 9:06 A.M.), and Jen Ahearn-Koch, City Manager Marlon Brown, City Attorney Robert Fournier and City Auditor and Clerk Shayla Griggs (Zoom/Hybrid) ABSENT: None The meeting was called to order by Mayor Brody at 9:05 A.M. 9:05:19 A.M. City Manager Brown stated that this is the City’s Annual Budget Workshop to review the proposed fiscal year (FY) 2021-2022 Budget, and thanked the Commission, Charter Officials, Staff, and Department Directors. 9:06:26 A.M. Budget Manager Dawn Murray, Financial Administration Department, distributed to the Commission and for the record a printed copy of the PowerPoint presentation entitled “Budget Workshops - Fiscal Year 2022-21.” Mayor Brody left and returned to his seat at 9:07 A.M. 9:07:43 A.M. Mayor Brody requested the Commission to withhold any substantive questions until Ms. Strickland finishes the presentation. 9:07:52 A.M. In response to a question from Commissioner Ahearn-Koch to the Mayor asking if the “Request to Speak Button” works and should it be used, Mayor Brody stated yes. 9:08:01 A.M. 1. PRESENTATION AND DISCUSSION RE: PROPOSED FISCAL YEAR 2021-2022 BUDGET BY DEPARTMENT AND FUND (AGENDA ITEM I.1) Financial Administration Director Kelly Strickland, and Budget Manager Dawn Murray, Financial Administration Department, came before the Commission. 9:08:09 A.M. Ms. Strickland referred from a PowerPoint presentation entitled “Budget Workshops - Fiscal Year 2022-21” and the slide entitled “Total Proposed Budget – Expenditures” displayed on the Chambers monitors as follows and provided a brief overview of each: FY 2020-21 Adopted Budget FY 2021-22 Proposed Budget Increase (Decrease) Percent Inc,/(Dec.) General Fund $75,769,212 $75,364,674 (404,538) -0.53% Special Revenue 39,503,286 44,283,607 4,780,321 12.1% Debt Service 4,686,541 4,686,803 262 0.01% Enterprise 88,026,408 89,811,544 1,785,136 2.03% Internal Service 20,241,069 20,560,466 319,397 1.58% Trust Funds 6,186,257 6,759,091 572,834 -9.26% Total Expenditures $234,412,773 $241,466,185 $7,053,412 3.01%

Workshop Re: Proposed FY 2021/22 Budget -2- 07/12/21 9:11:08 A.M. Ms. Strickland continued and referred from and provided a brief overview of slides entitled “Property Taxes,” and “Estimated Taxable Value for FY 2021-22 - (June 1st Estimate)” displayed on the Chambers monitors as follows: Taxable Value of the City $11,770,011,069 $12,526,803,940 6.43% Newtown CRA (1) $187,184,296 $201,303,815 7.54% The Bay (2) $884,365,387 $1,032,508,083 16.75% (1) The Newtown CRA base year is 2017 with a valuation of $143,659,391 (2) The Bay TIF base year is 2019 with a valuation of $850,422,231 The Value of 1 mill = $11,864,263 *Proposed use of rollback rate 3.1341 9:15:02 A.M. Ms. Strickland referred from a slide entitled “Ad Valorem Changes” displayed on the Chambers monitors and stated that these are the Ad Valorem changes which are being proposed for this fiscal year (FY) without an increase; that the current millage is 3.2632. 9:15:32 A.M. City Manager Brown referred to the slide entitled “ Ad Valorem Changes” displayed on the Chambers monitors and spoke briefly about utilizing a rollback rate of 3.1341 mills. 9:16:52 A.M. Ms. Strickland referred from slides entitled “Dept. of Revenue (FDOR) Truth in Millage (TRIM) Rules for Setting the Millage” and “FDOR – TRIM Vote Required” displayed on the Chambers monitors and stated that should the Commission decide to move forward with the .6406 mills for the Parks and Recreation District, an unanimous vote is required; however, the St. Armands Improvement, Golden Gate Point Streetscape, and Downtown Improvement Districts would only require a 3-2 vote. 9:18:23 A.M. Ms. Strickland referred from and provided a brief overviews of slides entitled “General Fund Ad Valorem – FY 2021-22 or 2021 Tax Year,” “Property Values and Tax Revenue – General, CRA, The Bay*, and Debt Services,” City Millage Rates – 1972 thru the Present,” and “Proposed Millage Rates” displayed on the Chambers monitors. 9:21:47 A.M. Ms. Strickland referred from and provided a brief overview of the slide entitled “How Your 2020 Tax Year Property Taxes are Divided by Jurisdiction Based on Current Millage Rates” displayed on the Chambers monitors and stated that Sarasota County School Board receives $.48 cents of the City’s dollar, $.24 cents of the City’s dollar goes to Sarasota County, the City receives $.20 cents of its own dollar, and other authorities receive $.08 cents of the City’s dollar. 9:22:09 A.M. Ms. Strickland referred from and provided a brief overview of the slide entitled “Full-Time Budgeted Positions” displayed on the Chambers monitors, and stated that the chart does not include part-time employees.

Workshop Re: Proposed FY 2021/22 Budget -3- 07/12/21 9:22:44 A.M. Ms. Strickland referred from and provided a brief overview of the slide entitled “What is the General Fund?” displayed on the Chambers monitors as follows: • The General Fund is the main operating fund used to account for and report all financial resources not accounted for and reported in other funds. • Revenues such as Ad Valorem Taxes, Other General Revenue Taxes, Licenses and Permits, Charges for Services, Fines and Forfeitures and Interest Income are accounted for in the General Fund. • Expenditures that are paid from the General Fund include: Police, Landscaping, Streets and Highways, Code Enforcement, Planning, and Central Services of the City such as Facilities, Human Resources, Financial Administration, etc. 9:23:52 A.M. Ms. Strickland continued and referred from the slide entitled “General Fund Revenues and Expenditure Summary – Budget Comparison” and stated that the General Fund Revenue Budget for FY 2022 is $10,000 more than FY 2021, which indicates how the Coronavirus (COVID-19) is affecting the City. 9:26:05 A.M. Ms. Strickland continued further and referred from and provided a brief overview of the slide entitled “General Fund Revenues – Taxes other than Ad Valorem Taxes” as follows: • Franchise Fees • Utility Excise Taxes • Communication Service Taxes • ½ Cent Sales Tax • State Shared Revenues These tax proceeds are considered General Revenue for the Local Government and are not tied to specific expenditures. 9:26:29 A.M. Ms. Strickland referred from and provided a brief overview of the slide entitled “General Fund Revenue Projections FY 2021-22” displayed on the Chambers monitors. 9:29:11 A.M. Ms. Strickland continued, referred from and provided a brief overview of the slide entitled “General Fund Expenditures - which includes Budgeted Expenditures by Departments Comparison of FY 2019/20 Adopted Budget and FY 2021/22 Proposed Budget” displayed on the Chambers monitors as follows, and stated that there are no ‘Budget Issues’ included in the proposed FY 2021-22 Budget: FY 2021 Adopted Budget FY 2022 Proposed Budget Variance City Commission $ 404,453 $ 418,452 $ 13,999 City Manager’s Office 2,603,320 2,243,174 (360,146) Human Resources 1,434,997 1,698,762 263,765 Financial Administration 2,128,127 2,493,091 364,964 City Auditor and Clerk 2,528,692 2,442,956 (85,736) City Attorney 1,705,359 1,725,359 20,000 Planning 2,511,188 2,156,491 (354,697) Special Events 66,553 239,416 172,863

Workshop Re: Proposed FY 2021/22 Budget -4- 07/12/21 9:30:47 A.M. Ms. Strickland concluded the Budget Summary Overview referred from and provided a brief overview of the slides entitled “Historical Budget Considerations – General Fund - % Unassigned Fund Balance to Expenditures” and “Revenue Stabilization Fund,” and stated that the term GFOA stands for Governmental Finance Officers Association. 9:34:25 A.M. Ms. Strickland stated that the General Fund by Departments will be presented next and Staff is available to address questions. 9:34:53 A.M. Questions posed were addressed by Ms. Strickland, and Human Resources Director Stacie Mason, Human Resources Department, who came before the Commission, and the City Manager. 9:50:47 A.M. 1) Unclassified Administration Ms. Strickland provided a brief overview of Unclassified Administration and referred from a slide entitled “Unclassified Administration” as follows: FY 2020-21 Adopted Budget: $4,191,136 FY 2021-22 Proposed Budget: $3,807,889 Variance (Dollars) $(383,247) Variance (Percent) -9.1% 9:53:18 A.M. Questions posed were addressed by Ms. Strickland and the City Manager. 9:55:05 A.M. 2) Sarasota Police Department Ms. Strickland provided a brief overview of the proposed SPD Fund Summary and referred from the slide entitled “Sarasota Police Department” as follows: FY 2020-21 Adopted Budget: $36,998,119 FY 2021-22 Proposed Budget: $37,831,340 Variance (Dollars) $833,221 Variance (Percent) 2.3% Development Services 1,990,067 2,175,613 185,546 Insurance, Property & Other 1,936,257 2,048,099 111,842 Fire Pension, Retiree Medical, and OPEB 5,449,637 3,428,818 (2,020,819) Police 37,653,869 38,501,340 847,471 Code Compliance 938,745 740,628 (198,117) Landscape Maintenance (Non-Park) 1,993,906 2,583,296 589,390 Transportation 4,627,362 4,673,449 46,087 Transfers*/Subsidies 7,796,680 7,795,730 (950) Total $75,769,212 $75,364,674 $(404,538)

Workshop Re: Proposed FY 2021/22 Budget -5- 07/12/21 Questions posed were addressed by the City Manager, Deputy City Manager Patrick “Pat” Robinson, City Manager’s Office, Chief James “Jim” Reiser, Manager Finance Department Shana Meadows, and Deputy Chief Rex Troche, Sarasota Police Department (SPD), who came before the Commission. 10:09:01 A.M. 3) City Commission Ms. Strickland provided a brief overview of the proposed City Commission Fund Summary and referred from the slide entitled “City Commission” as follows: FY 2020-21 Adopted Budget: $404,453 FY 2021-22 Proposed Budget: $418,452 Variance (Dollars) $13,999 Variance (Percent) 3.5% 10:09:50 A.M. 4) City Manager’s Office Ms. Strickland provided a brief overview of the proposed City Manager’s Office Fund Summary and referred from the slide entitled “City Manager’s Office” as follows: FY 2020-21 Adopted Budget: $1,314,328 FY 2021-22 Proposed Budget: $863,836 Variance (Dollars) $(450,492) Variance (Percent) -34.3% 10:10:38 A.M. 5) Public Information Office Ms. Strickland provided a brief overview of the proposed Budget and Budget Issues for the Office of Public Information and referred from the slide entitled “Public Information Office” as follows: • FY 2020-21 Adopted Budget: $288,911 • FY 2021-22 Proposed Budget: $308,097 • Variance (Dollars) $19,186 • Variance (Percent) 6.6% This department is funded by: • 25% General Fund • 25% Solid Waste • 25% Water • 25% Sewer Questions posed were addressed by Ms. Strickland and the City Manager. 10:12:49 A.M. 6) Human Resources

Workshop Re: Proposed FY 2021/22 Budget -6- 07/12/21 Financial Administration Director Kelly Strickland provided a brief overview of the proposed Human Resources Department Fund Summary and referred from the slide entitled “Human Resources” as follows: • FY 2020-21 Adopted Budget: $1,434,997 • FY 2021-22 Proposed Budget: $1,698,762 • Variance (Dollars) $263,765 • Variance (Percent) 18.4% 10:13:18 A.M. Human Resources Director Stacie Mason, Human Resources (HR) Department, came before the Commission, provided a brief overview of the proposed HR Budget, and stated that Staff is proposing to have all Advisory Board Meetings closed-captioned per the Americans with Disabilities Act (ADA), and addressed questions posed along with the City Manager. 10:20:53 A.M. 7) Development Services* Ms. Strickland provided a brief overview of the proposed Development Services Department Fund Summary and referred from the slide entitled “Development Services” as follows: • FY 2020-21 Adopted Budget: $2,928,812 • FY 2021-22 Proposed Budget: $2,916,241 • Variance (Dollars) $(12,571) • Variance (Percent) -0.4% *Includes Code Compliance and Facility Management Questions posed were addressed by Director Lucia Panica, Development Services Department, who came before the Commission, and the City Manager. 10:27:00 A.M. 8) Financial Administration Ms. Strickland provided a brief overview of Financial Administration Fund Summary which she oversees and referred from a slide entitled “Financial Administration” as follows: • FY 2020-21 Adopted Budget: $2,128,127 • FY 2021-22 Proposed Budget: $2,493,091 • Variance (Dollars) $364,964 • Variance (Percent) 17.1% 10:28:03 A.M. Questions posed were addressed by Ms. Strickland and the City Manager. 10:30:25 A.M. 9) City Auditor and Clerk Ms. Strickland provided a brief overview of the Office of the City Auditor and Clerk Fund Summary and referred from a slide entitled “City Auditor and Clerk” as follows:

Workshop Re: Proposed FY 2021/22 Budget -7- 07/12/21 • FY 2020-21 Adopted Budget: $2,528,692 • FY 2021-22 Proposed Budget: $2,442,956 • Variance (Dollars) $(85,736) • Variance (Percent) -3.4% 10:30:47 A.M. 10) City Attorney’s Office Ms. Strickland provided a brief overview of the City Attorney’s Office Fund Summary and referred from a slide entitled “City Attorney” as follows: FY 2021-22 Proposed Budget: • General Fund :$1,500,359 • Other Funds $522,000 Outside Legal Counsel: • General Fund :$ 523,400 • Other Funds : $45,000 Total Legal Fees Budget for all Funds: $2,590,759 10:31:41 A.M. City Attorney Fournier stated that the proposed increase request is just under $20,000 which is equivalent to 1%. 10:31:57 A.M. Questions posed were addressed by the City Attorney and Ms. Strickland. The Commission recessed at 10:34 A.M. and reconvened at 10:47 A.M. 10:47:50 A.M. Ms. Strickland stated that a review of each department’s proposed budget will continue; that the Commission was provided a schedule to continue until 5:00 P.M., and the goal is to have all the departments reviewed by 11:00 A.M. tomorrow. City Auditor and Clerk Griggs returned to the Chambers at 10:49 A.M. Commissioner Battie returned to the Chambers 10:50 A.M. Vice Mayor Arroyo returned to the Chambers at 10:52 A.M. 10:48:33 A.M. 11) Planning* Ms. Strickland provided a brief overview of the proposed Planning Department Fund Summary and referred from the slide entitled “Planning” as follows: • FY 2020-21 Adopted Budget: $2,511,188 • FY 2021-22 Proposed Budget: $2,156,491 • Variance (Dollars) $(354, 697) • Variance (Percent) -14.1%

Workshop Re: Proposed FY 2021/22 Budget -8- 07/12/21 *Includes Sustainability which is funded 50% from Water and Sewer and 50% from Solid Waste, and also includes Economic Development. 10:49:47 A.M. Questions posed were addressed by Director Steven Cover, Planning Department, who came before the Commission, the City Manager and City Attorney. 10:56:14 A.M. 12) Streets and Highway Ms. Strickland provided a brief overview of Streets and Highway Fund Summary and referred from a slide entitled “Streets & Highway” as follows: • FY 2020-21 Adopted Budget: $3,301,875 • FY 2021-22 Proposed Budget: $3,575,850 • Variance (Dollars) $273,975 • Variance (Percent) 8.3% 10:56:56 A.M. Director Douglas “Doug” Jeffcoat, Public Works Department, came before the Commission and provided a brief overview of what the departmental duties entail and addressed questions. 10:57:58 A.M. 13) Engineering Ms. Strickland provided a brief overview of the Engineering Services Fund Summary and referred from a slide entitled “Engineering” as follows: • FY 2020-21 Adopted Budget: $1,325,487 • FY 2021-22 Proposed Budget: $1,297,599 • Variance (Dollars) $(27,888) • Variance (Percent) -2.1% Director Douglas “Doug” Jeffcoat, Public Works Department, came before the Commission. 10:58:36 A.M. 14) Homelessness Response Ms. Strickland provided a brief overview of the proposed Homelessness Response Fund Summary and referred from the slide entitled “Homelessness Response” as follows: • FY 2020-21 Adopted Budget: $1,000,081 • FY 2021-22 Proposed Budget: $1,071,241 • Variance (Dollars) $71,160 • Variance (Percent) 7.1% Coordinator Homeless/Housing Joseph “Kevin” Stiff, Homelessness Response, came before the Commission.

Workshop Re: Proposed FY 2021/22 Budget -9- 07/12/21 10:59:25 A.M. 15) Special Events Office Ms. Strickland provided a brief overview of the Special Events Office Fund Summary and referred from a slide entitled “Special Events” as follows: • FY 2020-21 Adopted Budget: $66,553 • FY 2021-22 Proposed Budget :$239,416 • Variance (Dollars) $172,863 • Variance (Percent) 259.7% 11:00:09 A.M. Questions posed were addressed by Parks and Recreation Director Jerry Fogle, Public Works Department, who came before the Commission and the City Manager. 11:05:11 A.M. 16) Non-Park Maintenance Ms. Strickland provided a brief overview of the Non-Park Maintenance Fund Summary and referred from a slide entitled “Non-Park Maintenance” as follows: • FY 2020-21 Adopted Budget: $1,993,906 • FY 2021-22 Proposed Budget :$2,583,296 • Variance (Dollars) $589,390 • Variance (Percent) 29.6% 11:05:43 A.M. Questions posed were addressed by Ms. Strickland and Parks and Recreation Director Jerry Fogle, Public Works Department, who came before the Commission. 11:10:16 A.M. Ms. Strickland concluded the General Fund Budget Summary section and referred to the slide entitled “General Fund Summary of Expenditures by Function” as follows: FY 2020-21 Adopted Budget FY 2021-22 Proposed Budget Variance (Dollars) Variance (Percent) General Government $18,563,811 $18,358,607 ($205,204) -1.1% Public Safety 41,787,372 40,882,351 (905,021) -2.2% Physical Environment 1,993,906 2,583,296 589,390 29.6% Transportation 4,627,362 4,673,449 46,087 1.0% Human Services 1,000,081 1,071,241 71,160 7.1% Other Financing* 7,796,680 7,795,730 (905) 0.0% Total Expenditures $75,769,212 $75,364,674 (404,538) -0.5% 11:11:01 A.M. Ms. Strickland referred from the slide entitled “Special Revenue Funds” displayed on the Chambers monitors, which showed a listing of all the Special Revenue Funds, provided a brief overview, and

Workshop Re: Proposed FY 2021/22 Budget -10- 07/12/21 stated that these funds are used to account for and report the proceeds of specific revenue sources that are restricted or committed to expenditures for specific purposes. 11:11:58 A.M. Ms. Strickland referred from the slide entitled “Total Proposed City Budget - Expenditures” as follows: FY 2020-21 Adopted Budget FY 2021-22 Proposed Budget Increase (Decrease) Percent Inc,/(Dec.) General Fund $75,769,212 $75,364,674 (404,538) -0.53% Special Revenue 39,503,286 44,283,607 4,780,321 12.1% Debt Service 4,686,541 4,686,803 262 0.01% Enterprise 88,026,408 89,811,544 1,785,136 2.03% Internal Service 20,241,069 20,560,466 319,397 1.58% Trust Funds 6,186,257 6,759,091 572,834 9.26% Total Expenditures $234,412,773 $241,466,185 $7,053,412 3.01% 11:12:24 A.M. Ms. Strickland referred from and provided a brief overview of the slides entitled “Parks & Recreation Special District” displayed on the Chambers monitors, and stated that the fund was created by Ordinance and is currently an “Independent District.” 11:15:59 A.M. Parks and Recreation Director Jerry Fogle, and Manager of Auditoriums Deborah “Debbie” Perez, Sarasota Municipal Auditorium and Special Events Office, Public Works Department, came before the Commission to address questions posed, along with the City Manager and Ms. Strickland, and Mr. Fogle displayed slides on the Chambers monitors of the various renovated City Parks. 11:37:09 A.M. 17) Golden Gate Point Streetscape Ms. Strickland provided a brief overview of the Fund Summary for the Golden Gate Point (GGP) Streetscape Special District and referred from a slide entitled “Golden Gate Point Streetscape Special District” as follows: Beginning Fund Balance: $179,097 Ending Fund Balance: $181,775 11:38:14 A.M. Questions posed were addressed by Ms. Strickland and Parks and Recreation Director Jerry Fogle, Public Works Department, who came before the Commission to address a question regarding the status of the Fredd “Glossie” Atkins Park. 11:42:05 A.M. 18) Economic Development Ms. Strickland provided a brief overview of the Economic Development Fund Summary and referred from a slide entitled “Economic Development” as follows: Expenditure Budget for FY 2021-22: $2,716,368

Workshop Re: Proposed FY 2021/22 Budget -11- 07/12/21 Programs: Projects: • $750,000 City-Wide Trolley • $75,000 Blvd. of the Arts Streetscape • $200,000 Water Taxi • $600,000 Main Street Streetscape Improvements • $150,000 Public Art Installation • $750,000 North Sarasota Legacy Trail (other than CRA) • $5,000 Associated Legal Fees 11:42:11 A.M. Ms. Strickland continued and stated that the Economic Development Fund was created and adopted by a Resolution in 2017; that the funding source is the City’s Local Business Tax Receipts (LBTR). 11:43:45 A.M. Questions posed were addressed by Ms. Strickland, the City Manager, Director Steven Cover, and Redevelopment Manager Susan Dodd, Planning Department, who came before the Commission. 11:52:13 A.M. 19) Community Redevelopment Agency Ms. Strickland provided a brief overview of the Community Redevelopment Agency (CRA) Fund Summary and referred from a slide entitled “Community Redevelopment Agency” as follows: Expenditure Budget for FY 2021‐22: $2,015,976 Downtown (remaining funding): • $26,092 Main Street Streetscape • $75,000 Blvd. of the Arts Streetscape Newtown: • $421,000 Legacy Trail – North Expansion • $699,696 Newtown Sidewalk/Lighting/Landscaping • $200,000 Public Art Installation • $400,000 Miss Susie’s Support • $ 40,000 Salvation Army • $153,311 Homeowner/Title Clearance Program • $ 24,000 Robert L. Taylor Community Complex (RLTCC) Program Funding Director Steven Cover, and Redevelopment Manager Susan Dodd, Planning Department, came before the Commission. 11:53:21 A.M. City Manager Brown stated that usually with a CRA, both the City and County’s increment is included; however, the County made the decision not to participate in the Newtown CRA and they never did. 11:55:11 A.M. Commissioner Battie stated that discussion regarding Miss Susie’s Restaurant is known, but the status is unknown, and removing the allocated $400,000 from the budget would not be problematic for him, City Manager Brown stated that would be up to the Commission to decide, and Vice Mayor Arroyo stated that the suggestion is supported.

Workshop Re: Proposed FY 2021/22 Budget -12- 07/12/21 11:56:15 A.M. Ms. Dodd stated that the item is awaiting Commission’s direction at a future date. 11:57:31 A.M. Governmental Relations Manager Stephanie “Stevie” Brianne Freeman-Montes, came before the Commission and stated that item was placed in the budget for the following two reasons: 1) The Commission directed Staff at a January 2021 Meeting to come back with ideas for ways to support the completion of Miss Susie’s Restaurant, and 2) Six priorities were adopted and approved at a CRA Meeting for the two-year CRA priorities of which included: 1. Legacy Trail North Trail Expansion 2. Newtown Sidewalks Projects 3. Lighting Projects 4. Miss Susie’s Restaurant 5. Janie’s Garden Build -Out . 6. Dr. Martin Luther King, Jr, Way and Orange Avenue Redevelopment The Commission recessed at 12:00 P.M. and reconvened at 1:31 P.M. 1:31:53 P.M. 20) St. Armands Business Improvement District Ms. Strickland provided a brief overview of the St. Armands Business Improvement District (BID) Fund Summary and referred from a slide entitled “St. Armands Business Improvement District” as follows: Beginning Fund Balance Expenditure Budget for FY 2021‐22: $398,478 Ending Fund Balance: $54,419 Director Steven Cover and Operations Manager Brandy Smith, St. Armands BID, Planning Department, came before the Commission. 1:33:00 P.M. Ms. Smith stated that her understanding from the County is the decrease was due for the following reasons: 1) Impact of the Coronavirus (COVID-19) on the many restaurants and bars on St. Armands Circle, and 2) The high vacancy rate of the second floor space. 1:33:41 P.M. Questions posed were addressed by Ms. Smith and the City Manager. Vice Mayor Arroyo returned to the Chambers at 1:37 P.M. 1:44:34 P.M. 21) Downtown Improvement District (DID) Ms. Strickland provided a brief overview of the Downtown Improvement District (DID) Fund Summary and referred from a slide entitled “Downtown Improvement District” as follows: Beginning Fund Balance Expenditure Budget for FY 2021‐22: $863,096 Ending Fund Balance: $100,832

Workshop Re: Proposed FY 2021/22 Budget -13- 07/12/21 1:45:01 P.M. Ms. Strickland continued and stated that the DID was created in November 2008 by City Ordinance at the request of an Ad Hoc Committee of Downtown commercial property owners; that the DID Fund accounts for the revenues and expenditures of the DID. Director Steven Cover, Planning Department, and Operations Manager John Moran, DID, came before the Commission. 1:45:22 P.M. Mr. Moran stated that the DID has funded approximately $7 million in six major capital improvements and their subsequent maintenance in the 12 years since inception in 2009. 1:46:04 P.M. Questions posed were addressed by Mr. Moran, Ms. Strickland, the City Manager, and City Attorney. 2:32:56 P.M. 22) Development Application System Ms. Strickland provided a brief overview of the Development Application System Fund Summary and referred from a slide entitled “Development Application System” as follows: Beginning Fund Balance Expenditure Budget for FY 2021‐22: $598,931 Ending Fund Balance: $501,431 2:33:02 P.M. Ms. Strickland continued and stated that the Development Application System is to account for and collect charges incurred in the review and approval of Development Applications. 2:33:37 P.M. Questions posed were addressed by Ms. Strickland, the City Manager, and the City Auditor and Clerk. 2:45:00 P.M. 23) Housing and Community Development Ms. Strickland provided a brief overview of the Office of Housing and Community Development (OHCD) Fund Summary and referred from a slide entitled “Housing and Community Development” as follows: Beginning Fund Balance Expenditure Budget for FY 2021‐22: $1,498,577 Ending Fund Balance: $1,498,577 2:45:23 P.M. Interim General Manager Cynthia “Cindy” Emshoff, OHCD, Planning Department, came before the Commission and provided a brief overview of what the department entails.

Workshop Re: Proposed FY 2021/22 Budget -14- 07/12/21 2:46:34 P.M. Questions posed were addressed by the City Manager and Ms. Emshoff. 2:48:18 P.M. 24) Public Art Ms. Strickland provided a brief overview of the Public Art Fund Summary and referred from a slide entitled “Public Art” as follows: Beginning Fund Balance Expenditure Budget for FY 2021‐22: $360,730 Ending Fund Balance: $327,537 2:48:29 P.M. Ms. Strickland stated that the City did not budget any revenues nor any expenditures other than the maintenance of the current Public Art Projects. Director Steven Cover, Manager of Long-Range Planning David Smith, and Senior Planner Mary Davis Wallace, Planning Department, came before the Commission, and City Manager Brown introduced Ms. Wallace to the Commission. 2:49:37 P.M. 25) Building Services Ms. Strickland provided a brief overview of the Building Services Fund Summary and referred from a slide entitled “Building Services” as follows: Beginning Fund Balance Expenditure Budget for FY 2021‐22: $4,908,775 Ending Fund Balance: $3,053,093 2:51:07 P.M. Questions posed were addressed by Director Lucia Panica, Development Services Department, who came before the Commission. 2:51:53 P.M. 26) Stadium Grant Ms. Strickland provided a brief overview of the Stadium Grant Fund summary and referred from a slide entitled “Stadium Grant” as follows: Beginning Fund Balance Expenditure Budget for FY 2021‐22: $2,973 Ending Fund Balance: $2,993 • 2020 Stadium Bonds Outstanding at 9/30/2022 ‐ $6,869,000 Ms. Strickland continued and stated that on December 31, 2006, Sarasota County’s application was approved for certification as a Facility for Retained Spring Training Franchise; that in March 2007, the Florida Department of Revenue agreed to make Pro Sports payments in the amount of $15 million over the next 30 years of $41,667 a month; that the $41,667 monthly payment the City receives is used to pay the Debt Service on the 2020 Refunding Stadium Bonds.

Workshop Re: Proposed FY 2021/22 Budget -15- 07/12/21 2:52:22 P.M. Ms. Strickland continued and stated that either in November or December 2021, the City refunded the Build America Bond 2010 to get approximately a million dollars in saving which the City was able to give to the County to do some improvements on the Ed Smith Stadium. 2:52:49 P.M. Questions posed were addressed by the City Manager and Ms. Strickland. 2:53:43 P.M. 27) The Bay Tax Increment Financing (TIF) Ms. Strickland provided a brief overview of The Bay Tax Increment Financing (TIF) Fund Summary and referred from a slide entitled “The Bay Tax Increment Financing (TIF)” as follows: Beginning Fund Balance Expenditure Budget for FY 2021‐22: $0 Ending Fund Balance: $1,268,978 • FY 20 Base Year Assessed Value • FY 21 City Contribution ‐ $99,614 • FY 22 City Contribution ‐ $534,375 2:55:25 P.M. 28) Tree Replacement Fund Ms. Strickland provided a brief overview of the Tree Replacement Fund Fund Summary and referred from a slide entitled “Tree Replacement Fund” as follows: Beginning Fund Balance Expenditure Budget for FY 2021‐22: $531,538 Ending Fund Balance: $513,538 2:55:43 P.M. Ms. Strickland continued and stated that the Tree Replacement Fund accounts for revenues collected to fund a tree inventory and other urban canopy protection programs, subject to any future action of the Commission to allocate additional funds for affordable housing upgrades. 2:56:16 P.M. Questions posed were addressed by the City Manager, Ms. Strickland, and Director Lucia Panica, Development Services Department, who came before the Commission. City Auditor and Clerk Griggs left the Dais at 3:20 P.M. and returned at 3:22 P.M. The Commission recessed at 3:22P.M. and reconvened at 3:36 P.M. 3:37:04 P.M. 29) Citizens with Disabilities Ms. Strickland provided a brief overview of the Citizens with Disabilities Fund Summary and referred from a slide entitled “Citizens with Disabilities” as follows: Beginning Fund Balance Expenditure Budget for FY 2021‐22: $91,843

Workshop Re: Proposed FY 2021/22 Budget -16- 07/12/21 Ending Fund Balance: $80,103 3:37:09 P.M. Ms. Strickland concluded the Special Revenues Fund section with the exception of the ones funding the Capital Improvement Plan and stated that per Section 33‐167 of the City of Sarasota Code a fine of $250 is issued to anyone parking in spaces designated for disabled persons without a State issued Handicap Sticker; that 1/3 or $83 is deposited into the Parking Fund, and 2/3 or $167 is deposited into the Citizens with Disabilities Fund. 3:38:07 P.M. Questions posed were addressed by Ms. Strickland. Commissioner Battie returned to the Chambers at 3:38 P.M. 3:42:30 P.M. Ms. Strickland commenced with the Internal Revenue Fund section, referred to the slide entitled “Internal Service Funds” and stated that these funds are used to report activity which provides goods or services to other funds/departments of the City such as: • Vehicle and Equipment Maintenance • Information Technology • Equipment Replacement • Self -Insurance • Workers’ Compensation • General Fleet and Liability • Law Enforcement Death Benefit • Group Medical and Dental • Law Enforcement Liability • Long- and Long-Term Disability 3:43:16 P.M. Ms. Strickland continued, provided a brief overview and referred to slides entitled “Total Proposed City Budget - Expenditures” and “Vehicle and Equipment Maintenance as follows: 30) Vehicle and Equipment Maintenance Ms. Strickland provided a brief overview of the Vehicle and Equipment Maintenance Fund Summary and referred to a slide entitled “Vehicle and Equipment Maintenance” as follows: Beginning Fund Balance Expenditure Budget for FY 2021‐22: $243,228 Ending Fund Balance: $203,103 3:45:19 P.M. City Manager Brown stated that the City vehicles are leased and under warranty with Sunset Chevrolet who performs preventive maintenance until the warranties expires, then the vehicles are serviced in the City Garage, and Deputy City Manager Patrick “Pat” Robinson, City Manager’s Office, who came before the Commission stated for clarity that City vehicles purchased prior to 2014 are rolled back to the City Garage for preventive maintenance; however, any vehicles purchased moving forward would remain warrantied through Sunset Chevrolet, unless there was some change in the Agreement.

Workshop Re: Proposed FY 2021/22 Budget -17- 07/12/21 3:46:26 P.M. 31) Information Technology Department Ms. Strickland provided a brief overview of the proposed Information Technology (IT) Department Fund Summary and referred to the slide entitled “Information Technology” as follows: Beginning Fund Balance Expenditure Budget for FY 2021‐22: $447,867 Ending Fund Balance: $165,333 3:47:47 P.M. 32) Equipment Replacement Fund Ms. Strickland provided a brief overview of the proposed Equipment Replacement Fund Summary and referred to the slide entitled “Equipment Replacement Fund” as follows: Beginning Fund Balance Expenditure Budget for FY 2021‐22: $3,571,990 Ending Fund Balance: $5,372,367 3:49:45 P.M. 33) Self-Insurance Funds Combined Ms. Strickland provided a brief overview of the proposed Self-Insurance Funds Combined Fund Summary, referred to the slide entitled “Self-Insurance Funds Combined” as follows and stated that the fund is to accumulate resources to finance losses as they occur in the City’s six Self‐Insurance Programs: 1) Worker’s Compensation, 2) General and Fleet Liability, 3) Law Enforcement Death Benefit, 4) Group Medical and Dental, 5) Law Enforcement Liability, and 6) Life and Long‐term Disability Insurance: Beginning Fund Balance Expenditure Budget for FY 2021‐22: $9,253,000 Ending Fund Balance: $9,456,527 3:49:45 P.M. Ms. Strickland stated that Human Resources Director Stacie Mason, Human Resources (HR) Department will present the City’s six Self-Insurance Programs, and Ms. Mason and Risk Manager Matt Ardell, HR Department, came before the Commission. 3:50:36 P.M. 34) Workers’ Compensation Ms. Mason provided a brief overview of the proposed Workers’ Compensation Fund Summary and referred from the slide entitled “Workers’ Compensation” as follows: Beginning Fund Balance Expenditure Budget for FY 2021‐22: $422,071 Ending Fund Balance: $322,976 3:51:29 P.M. 35) General and Fleet Liability Ms. Mason provided a brief overview of the proposed General and Fleet Liability Fund Summary and referred to the slide entitled “General and Fleet Liability” as follows:

Workshop Re: Proposed FY 2021/22 Budget -18- 07/12/21 Beginning Fund Balance Expenditure Budget for FY 2021‐22: $1,273,480 Ending Fund Balance: $972,719 3:52:47 P.M. 36) Law Enforcement Death Benefit Ms. Mason provided a brief overview of the proposed Law Enforcement Death Benefit Fund Summary and referred to the slide entitled “Law Enforcement Death Benefit” as follows: Beginning Fund Balance Expenditure Budget for FY 2021‐22: $533,050 Ending Fund Balance: $542,000 3:53:30 P.M. 37) Group Medical and Dental Ms. Mason provided a brief overview of the proposed Group Medical and Dental Fund Summary and referred to the slide entitled “Group Medical and Dental” as follows: Beginning Fund Balance Expenditure Budget for FY 2021‐22: $6,828,704 Ending Fund Balance: $7,390,720 Questions posed were addressed by Ms. Mason, Ms. Strickland and the City Manager. 4:00:38 P.M. 38) Law Enforcement Liability Ms. Mason provided a brief overview of the proposed Law Enforcement Liability Fund Summary and referred to the slide entitled “Law Enforcement Liability” as follows: Beginning Fund Balance Expenditure Budget for FY 2021‐22: $185,229 Ending Fund Balance: $217,646 4:01:03 P.M. 39) Life and Long-Term Disability Ms. Mason concluded the Internal Service Fund section, provided a brief overview of the proposed Life and Long-Term Disability Fund Summary, and referred to the slide entitled “Life and Long-Term Disability” as follows: Beginning Fund Balance Expenditure Budget for FY 2021‐22: $185,229 Ending Fund Balance: $217,646 4:01:44 P.M. Ms. Strickland apologized and stated that the figures on the slide are not correct. 4:02:41 P.M. Ms. Strickland presented the Trust Fund section, referred to the slide entitled “Total Proposed City Budget - Expenditures” and stated that these funds are used to report resources which are required

Workshop Re: Proposed FY 2021/22 Budget -19- 07/12/21 to be held in Trust Funds, such as: Other Post-Employment Benefits (OPEB) and 401(a) Defined Contribution Plan as follows: FY 2020-21 Adopted Budget FY 2021-22 Proposed Budget Increase (Decrease) Percent Inc,/(Dec.) General Fund $75,769,212 $75,364,674 (404,538) -0.53% Special Revenue 39,503,286 44,283,607 4,780,321 12.1% Debt Service 4,686,541 4,686,803 262 0.01% Enterprise 88,026,408 89,811,544 1,785,136 2.03% Internal Service 20,241,069 20,560,466 319,397 1.58% Trust Funds 6,186,257 6,759,091 572,834 -9.26% Total Expenditures $234,412,773 $241,466,185 $7,053,412 3.01% 4:03:04 P.M. 40) Other Post-Employment Benefits (OPEB) Ms. Strickland provided a brief overview of the proposed Other Post-Employment Benefits (OPEB) Fund Summary and referred to the slide entitled “Other Post-Employment Benefits (OPEB)” as follows: Beginning Fund Balance Expenditure Budget for FY 2021‐22: $50,623,617 Ending Fund Balance: $49,008,406 4:06:03 P.M. Ms. Strickland stated that Human Resources Director Stacie Mason, Human Resources (HR) Department will present, and Ms. Mason and Risk Manager Matt Ardell, HR Department, came before the Commission. 4:04:11 P.M. Ms. Mason provided a brief overview of the proposed OPEB Fund Summary. 4:06:27 P.M. Ms. Strickland stated that the investment for the OPEB Plan is different from the City’s Governmental Investments. 4:06:58 P.M. Questions posed were addressed by Ms. Mason. 4:07:26 P.M. 41) 401(a) Defined Contribution Plan ‐ General Employees Ms. Strickland concluded the Trust Fund section, provided a brief overview of the proposed the 401(a) Defined Contribution Plan ‐ General Employees Fund Summary, referred to the slide entitled “401(a) Defined Contribution Plan ‐ General Employees” as follows and stated that the fund is used to account for administrative costs associated with but not limited to, fiduciary risk consulting services, insurance, legal fees, travel, and advertising expenses of the 401(a) Defined Contribution Retirement Plan: Beginning Fund Balance Expenditure Budget for FY 2021‐22: $131,076 Ending Fund Balance: $139,399

Workshop Re: Proposed FY 2021/22 Budget -20- 07/12/21 4:07:53 P.M. Ms. Strickland presented the Enterprise Fund section, referred to the slide entitled “Water and Wastewater Utility System” and stated that the following four funds makes up the entire fund: 1) Revenue Account, 2) Renewal, Replacement and Improvement Account, 3) General Utility Account, and 4) Interest and Sinking Account. 4:09:15 P.M. Ms. Strickland stated that Director William “Bill” Riebe will present and Mr. Riebe and Manager Department of Finance Mark Nicholas, Utilities Department, came before the Commission. 42) Water and Wastewater Utility System Ms. Strickland provided a brief overview of the proposed Water and Wastewater Utility System Fund Summary and referred to a slide entitled “Water and Wastewater Utility System” as follows: Beginning Fund Balance Expenditure Budget for FY 2021‐22: $22,481,775 Ending Fund Balance: $16,141,078 4:09:19 P.M. Mr. Riebe provided a brief overview and referred to the slides entitled “Production & Customers FY 2019/20,” “Projects to be Completed or Ongoing in FY 20/21,” and “Major Initiatives FY 2021/22,” and “Rate Comparison – FY 2021/22.” 4:13:23 P.M. Ms. Strickland stated that the Water and Sewer Departments are managed under the Financial Administration Department. 4:13:38 P.M. 43) Solid Waste Management with Equipment Replacement Ms. Strickland provided a brief overview of the proposed Solid Waste Management with Equipment Replacement Fund Summary and referred to a slide entitled “Solid Waste Management with Equipment Replacement” as follows: Beginning Fund Balance Expenditure Budget for FY 2021‐22: $1,945,948 Ending Fund Balance: $1,562,703 4:14:25 P.M. Ms. Strickland stated that this fund keeps their Equipment Replacement Program within their fund; however, they are shown separated out in the “Proposed Financial Plan – Fiscal Year Ending September 2022” Budget Book, but added together on the slide. 4:15:12 P.M. Ms. Strickland stated that Director Douglas “Doug” Jeffcoat, Public Works Department will present and Mr. Jeffcoat came before the Commission.

Workshop Re: Proposed FY 2021/22 Budget -21- 07/12/21 4:15:20 P.M. Mr. Jeffcoat provided a brief overview of the proposed Solid Waste Management with Equipment Replacement Fund Summary and referred to a slide entitled “Solid Waste Management with Equipment Replacement” and stated that what is being presented does not have a rate increase. 4:17:38 P.M. Questions posed were addressed by Mr. Jeffcoat. 4:25:32 P.M. Ms. Strickland stated for the record that the HR Director looked up and advised her that the OPEB fund ratio is 76.4%. 4:25:48 P.M. 44) Van Wezel Performing Arts Hall Ms. Strickland provided a brief overview of the Van Wezel Performing Arts Hall Fund Summary and referred to a slide entitled “Van Wezel Performing Arts Hall” as follows: Beginning Fund Balance Expenditure Budget for FY 2021‐22: $4,100,711 Ending Fund Balance: $2,441,634 4:28:18 P.M. 45) Van Wezel Equipment Surcharge Ms. Strickland concluded the Enterprise Fund section, provided a brief overview of the Van Wezel Equipment Surcharge Fund Summary, and referred to a slide entitled “Van Wezel Equipment Surcharge” as follows: Beginning Fund Balance Expenditure Budget for FY 2021‐22: $275,768 Ending Fund Balance: $234,799 4:28:50 P.M. Questions posed were addressed by Ms. Strickland and the City Manager. 4:31:26 P.M. Ms. Strickland presented the Debt Service Fund section, provided a brief overview, referred to the slides entitled “Total Proposed City Budget – Expenditures,” “Bond Ratings,” Debt Services Funds-Governmental,” “Governmental Debt Service Funds Funding Source & Purpose,” “Debt Service – Ad Valorem,” “Debt Service General Obligation Bonds,” “Debt Service Special Obligation Bonds and Other Debt,” “Debt Service Water and Sewer Revenue Bonds,” “Debt Service Water & Sewer State Revolving Fund Loan,” “Debt Service St. Armands Revenue Bonds,” and “Debt Service Solid Waste Vehicles Capital Lease, and stated that these funds are used to account for accumulations of resources that are restricted, committed, or assigned to expenditure for principal and interest. 4:45:50 P.M. Ms. Strickland concluded the Debt Service Fund section and day one of the Budget Workshops for Fiscal Year 2022-21.

Workshop Re: Proposed FY 2021/22 Budget -22- 07/12/21 4:48:01 P.M. 2. ADJOURN (AGENDA ITEM II) Mayor Brody adjourned the Sarasota City Commission Budget Workshop of July 12, 2020, at 4:48 P.M.

file:///sarasotagov.net/...word/CITY%20COMMISSION%20MINUTES/CAPTIONING%20TEXT/2021/21-07-12-CommissionWorkshop.txt[7/13/2021 7:28:20 AM] SARASOTA CITY COMMISSION WORKSHOP MEETING MONDAY, JULY 12, 2021, 9:00 A.M. DISCLAIMER: THIS FILE REPRESENTS AN UNEDITED VERSION OF REALTIME CAPTIONING WHICH SHOULD NEITHER BE RELIED UPON FOR COMPLETE ACCURACY NOR USED AS A VERBATIM TRANSCRIPT. ANY PERSON WHO NEEDS A VERBATIM TRANSCRIPT OF THE PROCEEDINGS MAY NEED TO HIRE A COURT REPORTER. 09:05:07 [ SOUNDING GAVEL ] 09:05:07 >>Mayor Brody: GOOD MORNING, EVERYBODY. 09:05:09 I'M GOING TO CALL THIS WORKSHOP, CITY COMMISSION WORKSHOP TO 09:05:13 ORDER. 09:05:13 BUDGET WORKSHOP. 09:05:14 IT'S JULY 12, 2021. 09:05:16 LET'S GET STARTED, MR. BROWN. 09:05:19 >>Marlon Brown: THANK YOU, MAYOR AND COMMISSIONERS, AND GOOD 09:05:21 MORNING TO YOU ALL. 09:05:22 THIS IS OUR ANNUAL BUDGET WORKSHOPS THAT WE HAVE TO GO OVER 09:05:29 THE PROPOSED BUDGET. 09:05:30 MAYOR AND COMMISSIONERS, I, FIRST OF ALL, WOULD LIKE TO 09:05:33 THANK MY FELLOW CHARTER OFFICIALS, MS. GRIGGS AND MR. 09:05:37 FOURNIER. 09:05:39 YOU KNOW, THEIR BUDGETS ARE ALSO PART OF THIS BUDGET. 09:05:42 I WOULD ALSO LIKE TO THANK THE STAFF, THE DEPARTMENT 09:05:45 DIRECTORS AND EVERYONE WHO ADHERED TO MY BUDGET MESSAGE IN 09:05:50 TERMS OF ATTEMPTING TO HOLD THE LINE. 09:05:53 IN THIS BUDGET, YOU WILL NOT SEE ANY NEW PERSONNEL NOR WOULD 09:05:57 YOU SEE ANY NEW BUDGET ISSUES. 09:06:01 EVERYTHING YOU SEE IN THIS BUDGET IS HOLDING THE LINE FROM 09:06:03 OUR PREVIOUS YEAR. 09:06:05 WE DID INCLUDE ALL THE POSITIONS THAT WERE PREVIOUSLY FROZEN 09:06:08 IN THE BUDGET AS WELL AS ALL TRAVEL AND OTHER PROGRAMS THAT 09:06:14 WERE PRE-COVID. 09:06:15 OVER THE NEXT TWO DAYS, YOU'LL HEAR FROM MS. STRICKLAND AS 09:06:20 WELL AS ALL OF THE DEPARTMENT DIRECTORS ON THEIR BUDGETS. 09:06:23 AT THE END OF THIS PROCESS, YOU WILL HAVE A SPECIAL MEETING 09:06:27 WHERE YOU WILL ADOPT THE TENTATIVE MILLAGE. 09:06:29 I AM PROPOSING THAT WE GO BACK TO THE ROLLED-BACK RATE. 09:06:33 WE'LL EXPLAIN TO YOU THE REASONS FOR DOING THAT. 09:06:35 BUT GIVEN THE SITUATION THAT THE NATION WENT THROUGH, OUR 09:06:40 LOCAL ECONOMY WENT THROUGH, MY HOPE, COMMISSIONERS, IS THAT 09:06:44 YOU WILL ADOPT THE RECOMMENDATION TO GO TO THE ROLLED-BACK 09:06:47 RATE, HOLDING TAXES AT THE SAME LEVEL THAT THEY WERE IN OUR 09:06:53 PREVIOUS YEAR. 09:06:54 WITH THAT, I'M GOING TO PASS IT ON TO MS. STRICKLAND AS SHE 09:06:58 GOES THROUGH WHAT THE BUDGET ENTAILS. 09:07:02 MY HOPE IS THAT IF YOU HAVE ANY QUESTIONS, MAYOR, I DON'T 09:07:05 KNOW IF YOU WANT TO HAVE COMMISSIONERS STOP MS. STRICKLAND 09:07:10 DURING THE PRESENTATION OR IF YOU WANT TO HOLD ALL QUESTIONS

file:///sarasotagov.net/...word/CITY%20COMMISSION%20MINUTES/CAPTIONING%20TEXT/2021/21-07-12-CommissionWorkshop.txt[7/13/2021 7:28:20 AM] 09:07:14 TO THE END. 09:07:16 BUT ANY DIRECTION ON THAT WE WILL ACCOMMODATE YOU. 09:07:20 >>Mayor Brody: YEAH, LET'S HOLD QUESTIONS UNTIL THERE'S A 09:07:29 SENSIBLE STOPPING POINT, I GUESS. 09:07:31 I GUESS THE ONLY CAVEAT TO THAT IS, IF THERE ARE QUESTIONS 09:07:35 ABOUT UNDERSTANDING THE BUDGET, IF YOU JUST NEED 09:07:39 CLARIFICATION OR SOMETHING, THEN WE CAN KIND OF JUMP IN AND 09:07:42 TAKE THOSE. 09:07:43 BUT SUBSTANTIVE QUESTIONS, LET'S HOLD AND LET HER GET 09:07:48 THROUGH THE PRESENTATION. 09:07:49 ALL RIGHT? 09:07:52 >>Jen Ahearn-Koch: MR. MAYOR, I HAVE A QUESTION. 09:07:54 DOES OUR REQUEST TO SPEAK BUTTON WORK? 09:07:57 SHOULD WE USE THAT? 09:07:58 >>Mayor Brody: YES. 09:08:01 >>Kelly Strickland: CAN I HAVE THE PRESENTATION UP ON THE 09:08:02 SLIDES, PLEASE? 09:08:03 GOOD MORNING. 09:08:09 MY NAME IS KELLY STRICKLAND, DIRECTOR OF FINANCIAL 09:08:12 ADMINISTRATION. 09:08:12 AND I'M VERY HAPPY TO BE HERE TO PRESENT THE PROPOSED FISCAL 09:08:16 YEAR 2022 BUDGET TO YOU. 09:08:20 IF YOU HAVE ANY QUESTIONS, AS THE MAYOR SAID, IF YOU CAN 09:08:24 HOLD THEM UNTIL THE END OR IF YOU WANT TO REFERENCE A 09:08:27 PARTICULAR SLIDE, PLEASE LET ME KNOW. 09:08:30 TO START OUT, THE FIRST SLIDE THAT WE HAVE IS OUR ENTIRE 09:08:35 CITY BUDGET. 09:08:36 AND AS YOU LOOK AT THE COLUMNS, WE COMPARED LAST YEAR'S 09:08:39 BUDGET TO THIS YEAR'S BUDGET. 09:08:42 AND THEN YOU CAN SEE WE HAVE AN INCREASE OF $7 MILLION. 09:08:45 BUT TO GO THROUGH THAT A LITTLE BIT, LET'S START WITH THE 09:08:49 GENERAL FUND. 09:08:50 THE GENERAL FUND IS OUR OPERATING FUND. 09:08:52 THIS IS THE FUND WHERE WE HAVE OUR POLICE OFFICERS, OUR CITY 09:08:56 COMMISSION, OUR CITY MANAGER'S OFFICE, FINANCE, HR, 09:09:01 ET CETERA. 09:09:03 THIS IS WHAT OPERATES THE CITY. 09:09:04 AND AS YOU CAN SEE, THE GENERAL FUND HAS A DECREASE OF 09:09:09 $367,000. 09:09:11 AND THAT IS THE GENERAL FUND IS PRIMARILY SUPPORTED BY YOUR 09:09:15 AD VALOREM REVENUES AND OTHER MAJOR REVENUES THAT WE'RE 09:09:18 GOING TO TALK ABOUT LATER IN THE PRESENTATION. 09:09:21 THE SPECIAL REVENUE FUND, YOU CAN SEE THAT THOSE HAVE WENT 09:09:25 UP 4.7. 09:09:26 NOW, SPECIAL REVENUE FUNDS ARE FUNDS THAT HAVE A RESTRICTED 09:09:32 FUNDING SOURCE, MEANING THE REVENUES THAT COME IN FOR THOSE 09:09:35 FUNDS CAN ONLY BE USED FOR A SPECIFIC SERVICE. 09:09:39 A MAJORITY OF THOSE ARE ATTACHED TO OUR C.I.P., AND THAT'S 09:09:44 LIKE OUR PENNY SALES TAX, OUR GAS TAXES, OUR MULTIMODAL. 09:09:49 WE ALSO HAVE TOURIST DEVELOPMENT, AND THAT'S JUST A FEW OF 09:09:53 SOME THAT YOU'RE GOING TO SEE THROUGHOUT THIS PRESENTATION. 09:09:55 OUR DEBT SERVICE FUNDS, NOT MUCH OF A CHANGE THERE, AND THIS

file:///sarasotagov.net/...word/CITY%20COMMISSION%20MINUTES/CAPTIONING%20TEXT/2021/21-07-12-CommissionWorkshop.txt[7/13/2021 7:28:20 AM] 09:10:00 IS SIMPLY A HOLDING PLACE WHERE WE PUT ONE YEAR OF PRINCIPAL 09:10:04 AND INTEREST. 09:10:06 THE ENTERPRISE FUNDS, WHICH INCLUDE YOUR WATER AND SEWER, 09:10:10 YOUR SOLID WASTE, YOUR PARKING, AND YOUR VAN WEZEL WENT UP 09:10:16 $1.7 MILLION. 09:10:19 THE INTERNAL SERVICE FUNDS. 09:10:23 INTERNAL SERVICE FUNDS ARE THE FUNDS THAT SERVE OTHER 09:10:25 DEPARTMENTS OF THE CITY SUCH AS YOUR INSURANCE, YOUR GARAGE 09:10:31 FOR THE MAINTENANCE OF OUR VEHICLES, THE I.T. DEPARTMENT, 09:10:35 WHICH SERVICES THE ENTIRE CITY. 09:10:37 SO THE PURPOSE OF INTERNAL SERVICE FUNDS ARE BASICALLY TO 09:10:41 SERVE DEPARTMENTS AND YET TO COME OUT AS A NEUTRAL. 09:10:45 YOU'RE NOT LOOKING FOR A PROFIT OR LOSS ON THOSE. 09:10:48 AND THEN WE HAVE OUR TRUST FUNDS, WHICH IS THE OPEB TRUST 09:10:51 FUND AND THE DEFINED CONTRIBUTION FUND. 09:10:57 THAT IS A SLIGHT INCREASE OF 572,000. 09:11:00 OVERALL, THAT IS THE PROPOSED BUDGET THAT WE WILL BE 09:11:04 BRINGING TO YOU OR THAT WE ARE BRINGING TO YOU. 09:11:08 THE FIRST SUBJECT THAT I'M GOING TO TALK ABOUT IS OUR 09:11:11 PROPERTY TAXES AND HOW THE CITY IS DOING ECONOMICALLY. 09:11:15 THIS SLIDE SHOWS THE CHANGE IN OUR TAXABLE VALUE. 09:11:23 OUR TAXABLE VALUE FOR THE CITY AS A WHOLE WENT UP 6.43%. 09:11:28 THIS IS VERY NICE CONSIDERING WE DIDN'T KNOW WHAT COVID WAS 09:11:33 GOING TO DO FOR OUR ECONOMY AND HOW THAT WAS GOING TO 09:11:37 EVENTUALLY AFFECT OUR ASSESSED VALUES. 09:11:39 THE NEWTOWN CRA ALSO WENT UP 7.54%. 09:11:44 A NEW THING THAT WE HAVE NOW IS THE BAY. 09:11:49 THE BAY WENT UP 16.75%. 09:11:52 WHICH IS AMAZING. 09:11:56 WHEN WE TAKE A LOOK LATER AT OUR MILLAGE RATE, WE'RE GOING 09:11:59 TO SEE THAT THE ONLY INCREASES WE HAVE IN REVENUE ARE NEW 09:12:02 CONSTRUCTION. 09:12:03 MOST OF THE NEW CONSTRUCTION HAPPENED IN THE BAY AREA. 09:12:07 JUST TO GO OVER NEWTOWN AND THE BAY TO TALK ABOUT TIF, THEIR 09:12:15 REVENUES ARE CALCULATED BY A TIF. 09:12:17 TIF IS A TAX INCREMENT FINANCE METHOD WHICH MEANS YOU PICK A 09:12:23 YEAR. 09:12:24 YOU SET THE BASE, AND THAT VALUE STAYS IN THE GENERAL FUND. 09:12:28 THEN THE NEXT YEAR, IF THAT BASE IS INCREASED, THE 09:12:32 DIFFERENCE GOES TO THAT AREA. 09:12:37 IF THE BAY KEEPS INCREASING LIKE IT DOES, THAT'S A NICE WAY 09:12:41 TO GET STARTED WITH THAT DISTRICT. 09:12:43 AS YOU KNOW, THE DISTRICT WAS SET UP TO FINANCE FUTURE 09:12:48 IMPROVEMENTS. 09:12:50 THIS IS A HISTORY OF THE TAXABLE VALUES IN THE CITY OF 09:12:56 SARASOTA. 09:12:57 FOR TAX YEAR '21, THE YEAR THAT WE'RE WORKING ON RIGHT NOW 09:13:02 FOR THE '22 BUDGET, WE'VE HAD THE HIGHEST VALUE TO DATE, AND 09:13:07 THAT'S $12.5 MILLION. 09:13:10 AS YOU CAN SEE IN 2008, WE WERE DOING VERY WELL. 09:13:14 A LITTLE BIT OVER 10 MILLION.

file:///sarasotagov.net/...word/CITY%20COMMISSION%20MINUTES/CAPTIONING%20TEXT/2021/21-07-12-CommissionWorkshop.txt[7/13/2021 7:28:20 AM] 09:13:16 2012, THAT WAS WHEN WE STARTED COMING TO YOU AND OUR MILLAGE 09:13:22 WAS PRODUCING LESS REVENUE THAN IT WAS MORE. 09:13:25 SO THOSE WERE VERY DIFFICULT TIMES, AND WE WERE HAPPY TO SEE 09:13:32 EVER SINCE 2012, THE ASSESSED VALUES HAVE BEEN GOING UP. 09:13:37 THIS IS THE CHANGES IN THE TAXABLE VALUE BY TAX YEAR. 09:13:46 SO IF YOU LOOK IN THE MIDDLE OF THE GRAPH, YOU'LL SEE A 0%. 09:13:51 I APOLOGIZE. 09:13:53 I HAVE THE YEARS LEFT OFF OF HERE, WHICH DOESN'T HELP US 09:13:58 VERY MUCH. 09:13:59 YOU CAN SEE THAT THOSE YEARS WERE THE YEARS WHEN THE CHANGE 09:14:02 WENT DOWN, WENT INTO NEGATIVE. 09:14:04 AND THEN AS WE GO FORWARD -- OH, I'M SORRY. 09:14:08 THE FIRST TWO YEARS YOU CAN'T SEE. 09:14:11 AS WE GO FORWARD, WE CAN SEE THAT IN 13, 14, 15 THAT WE 09:14:15 STARTED MOVING UP. 09:14:18 EVEN LAST YEAR WHERE WE HAD A 4.67%, WE WERE STILL GOING UP. 09:14:24 SO THAT'S GOOD. 09:14:25 AND THE 6.43 IS FANTASTIC. 09:14:28 JUST KEEP IN MIND A TAX YEAR IS JANUARY 1st THROUGH 09:14:33 DECEMBER 31st. 09:14:34 SO WE'RE WORKING ON THE FISCAL YEAR '22 BUDGET, BUT THE TAX 09:14:40 YEAR THAT WE'RE USING IS TAX YEAR '21. 09:14:43 WE COLLECT TAXES IN ARREARS. 09:14:45 AND WE START COLLECTING THOSE TAXES NOVEMBER, DECEMBER, 09:14:50 JANUARY, ALL THE WAY THROUGH APRIL. 09:14:52 OKAY. 09:14:57 THIS SLIDE. 09:14:58 I'M GOING TO TALK A MINUTE AND THEN I'LL PASS IT OVER TO OUR 09:15:02 CITY MANAGER. 09:15:02 THESE ARE THE AD VALOREM CHANGES THAT WE'RE PROPOSING FOR 09:15:04 THIS FISCAL YEAR. 09:15:06 WE'RE PROPOSING THAT WE NOT HAVE AN INCREASE. 09:15:11 THE CURRENT MILLAGE IS 3.2632. 09:15:14 HOWEVER, AS THE MANAGER MENTIONED EARLIER, WE ARE 09:15:20 RECOMMENDING THAT WE HAVE A BUDGET WITH A ROLLED-BACK RATE 09:15:23 OF 3.1372. 09:15:26 MARLON, I WILL PASS THAT OVER TO YOU IF YOU WANT TO TALK A 09:15:31 LITTLE BIT ABOUT THAT. 09:15:32 >>Marlon Brown: THANK YOU, MS. STRICKLAND. 09:15:34 AGAIN, MAYOR AND COMMISSIONERS, AS I HAD ALLUDED TO AT THE 09:15:40 BEGINNING OF THIS DISCUSSION, OUR RECOMMENDATION IS TO GO TO 09:15:42 THE ROLLED-BACK RATE, WHICH WILL HOLD TAXES STEADY FROM THE 09:15:49 PREVIOUS YEAR. 09:15:50 AS PART OF THIS MILLAGE, WE'VE HAD SOME DISCUSSIONS IN THE 09:15:52 PAST ABOUT PARKS AND REC INDEPENDENT DISTRICT. 09:15:56 AND PART OF THIS MILLAGE INCLUDES CARVING OUT THE PARKS AND 09:16:01 REC INDEPENDENT DISTRICT. 09:16:06 THIS IS BASICALLY OUR THIRD YEAR IN TRYING TO GET THAT 09:16:08 INDEPENDENT DISTRICT ESTABLISHED. 09:16:09 IT IS REQUIRED BY UNANIMOUS VOTE OF THE CITY COMMISSION. 09:16:12 IN ORDER FOR US TO REALLY DO THIS BUDGET, TO INCLUDE THIS 09:16:17 PARKS AND REC DISTRICT, WE WOULD NEED THAT VOTE OF THE

file:///sarasotagov.net/...word/CITY%20COMMISSION%20MINUTES/CAPTIONING%20TEXT/2021/21-07-12-CommissionWorkshop.txt[7/13/2021 7:28:20 AM] 09:16:19 COMMISSION. 09:16:22 AND, COMMISSIONERS, I'LL HAVE TO BE FRANK WITH YOU THAT IF 09:16:25 INDEED WE DO NOT GET THAT UNANIMOUS VOTE THIS YEAR, I'M 09:16:29 GOING TO RECOMMEND THAT THE COMMISSION DO AWAY WITH THAT 09:16:32 DISTRICT. 09:16:32 WE HAVE TRIED TWICE BEFORE AND WE HAVE ALWAYS COME UP SHORT, 09:16:37 AND I DON'T THINK IT MAKES ANY SENSE CONTINUING THAT PROCESS 09:16:40 OF TRYING TO ESTABLISH THAT DISTRICT WITHOUT A UNANIMOUS 09:16:44 VOTE OF THE CITY COMMISSION. 09:16:52 >>Kelly Strickland: TO MOVE FORWARD, THIS IS TO BACK UP WHAT 09:16:55 MARLON HAS SAID. 09:16:57 IF WE DID GO WITH THE PARKS AND REC DISTRICT. 09:17:01 ACCORDING TO THE TRIM FORMS, WHICH MEANS TRUTH IN MILLAGE, 09:17:05 WE WOULD HAVE TO HAVE THE UNANIMOUS VOTE. 09:17:08 TO THE OTHER DISTRICTS THAT WE HAVE IN THE CITY, WE ONLY 09:17:14 NEED A 3-2 VOTE. 09:17:20 >>Marlon Brown: AGAIN, MAYOR AND COMMISSIONERS, I WANT TO 09:17:22 STRESS THAT THE INDEPENDENT DISTRICT TO ESTABLISH THE 09:17:26 MILLAGE FOR THE PARKS AND REC COMES OUT OF OUR OVERALL 09:17:29 MILLAGE. 09:17:30 THIS IS NOT IN ADDITION TO THE 3.1 ROLLED-BACK RATE THAT WE 09:17:33 ARE RECOMMENDING. 09:17:34 IT IS CARVED OUT OF OUR EXISTING MILLAGE, SO YOU WOULD STILL 09:17:40 -- OUR RESIDENTS OR PROPERTY OWNERS WILL STILL SEE THE SAME 09:17:44 TAX ASSESSMENT. 09:17:45 THEY WOULD NOT SEE AN INCREASE. 09:17:50 >>Kelly Strickland: I JUST WANT TO REITERATE, TOO, THAT 09:17:52 YOU'LL HAVE THREE OPPORTUNITIES TO VOTE FOR THE MILLAGE. 09:17:55 THE FIRST IS GOING TO BE TOMORROW NIGHT TO SET A PRELIMINARY 09:17:58 MILLAGE. 09:17:59 AND WHEN YOU SET THAT PRELIMINARY MILLAGE, YOU CANNOT GO ANY 09:18:05 HIGHER THAN THAT. 09:18:07 YOU CAN GO LOWER IN THE NEXT TWO MEETINGS, WHICH ARE IN 09:18:11 SEPTEMBER. 09:18:12 YOU'LL HAVE TWO PUBLIC HEARINGS WHERE YOU'LL VOTE ON THE 09:18:15 BUDGET. 09:18:15 BUT YOU CANNOT GO HIGHER. 09:18:18 SO TOMORROW NIGHT IS VERY IMPORTANT ON THE MILLAGE THAT YOU 09:18:23 SELECT. 09:18:23 OUR GENERAL FUND, LET'S TALK ABOUT THAT A LITTLE BIT. 09:18:30 AS I MENTIONED PREVIOUSLY, OUR TAXABLE VALUE IS 12.5 09:18:33 MILLION. 09:18:33 WENT UP 6.43%. 09:18:37 THAT IS GOING TO YIELD $37.2 MILLION IN TAX REVENUE. 09:18:42 NOW THAT'S THE GENERAL FUND EXCLUSIVELY. 09:18:47 THAT DOES NOT INCLUDE THE TIF THAT IS GOING TO THE CRA AND 09:18:50 THE BAY. 09:18:51 THE PROPOSED ROLLED-BACK RATE OF 3.1372 MILLS IS USED 09:18:58 THROUGHOUT THIS BUDGET. 09:18:59 THIS IS A SUMMARY OF OUR MILLAGES OVER THE PAST TEN YEARS. 09:19:08 AS YOU CAN SEE, WE HAVE STEADILY FROM '13 UP, WE'VE 09:19:13 INCREASED AND '22 WILL BE THE FIRST TIME THAT WE'VE OFFERED

file:///sarasotagov.net/...word/CITY%20COMMISSION%20MINUTES/CAPTIONING%20TEXT/2021/21-07-12-CommissionWorkshop.txt[7/13/2021 7:28:20 AM] 09:19:17 A DECREASE IN A LONG WHILE. 09:19:20 I'LL TALK MORE ABOUT THAT IN A FEW MINUTES. 09:19:22 THE DEBT MILLAGE THAT WE'RE PROPOSING IN THIS BUDGET IS 09:19:25 .2100, AND THAT IS THE MILLAGE NEEDED TO PAY THE PRINCIPAL 09:19:31 AND INTEREST ON THE 2015 G.O. BOND. 09:19:39 I'LL MOVE ON TO THE NEXT. 09:19:46 THIS GRAPH WAS INCLUDED TO GIVE YOU A HISTORY OF THE CITY'S 09:19:51 ADOPTED MILLAGE RATE. 09:19:52 AND THE FARTHEST BACK THAT I COULD GET WAS 1972, AND YOU SEE 09:19:58 WE WERE AT 10 MILLS. 09:20:00 THAT'S THE MAXIMUM THAT WE CAN GET. 09:20:03 AND I IMAGINE BACK AT THAT TIME WE DIDN'T HAVE OTHER REVENUE 09:20:07 SOURCES, SUCH AS THE SALES TAX OR COMMUNICATION SERVICE TAX 09:20:12 OR UTILITY TAX. 09:20:13 I DON'T KNOW. 09:20:13 I WAS A CHILD THEN. 09:20:17 [ LAUGHTER ] 09:20:17 THE NEXT TIME THAT WE DID A DECREASE WAS IN THE 1997 AND 09:20:24 2000 AREA. 09:20:25 AND THAT WAS WHEN THE FIRE SERVICES WERE MOVED TO THE 09:20:29 COUNTY, AND WE PHASED IN THAT AS WE WENT DOWN. 09:20:33 AND YOU CAN SEE THAT ALSO ANOTHER MAJOR INCREASE THAT WE 09:20:38 HAD, OR ANOTHER DECREASE, SO THESE ARE TWO PERIODS, 2008, 09:20:44 WHEN STATE LEGISLATURE PENALIZED GOVERNMENTS FOR NOT USING 09:20:49 THE ROLLED-BACK RATE DURING A PERIOD OF AN ECONOMIC BOOM. 09:20:53 UNFORTUNATELY, THAT BOOM DIDN'T LAST. 09:20:56 AS WE ALL KNOW WHAT HAPPENED IN 2010, '11, '12. 09:21:02 OUR CITY MANAGER IS PROPOSING THAT THE CITY UTILIZE A 09:21:04 ROLLED-BACK RATE FOR THE '22 BUDGET OF 3.1372. 09:21:09 THIS IS A SUMMARY OF OUR PROPOSED MILLAGE RATES. 09:21:18 THE CITY MILLAGE IS PROPOSED TO DECREASE OF .1291. 09:21:25 THE DEBT SERVICES DECREASE OF .0134. 09:21:30 GOLDEN GATE HAS A DECREASE OF .0030. 09:21:34 AND THEN THE ST. ARMANDS BUSINESS IMPROVEMENT DISTRICT AND 09:21:37 THE DOWNTOWN IMPROVEMENT DISTRICT BOTH ARE 2 MILLS. 09:21:41 AS YOU CAN SEE ON GOLDEN GATE, THEY HAVE AN OPERATING AND A 09:21:46 DEBT SERVICE MILLAGE. 09:21:47 THIS IS HOW OUR TAX BILL IS -- LOOKS TO A CITIZEN OF 09:21:56 SARASOTA. 09:21:57 SO 48 CENTS OF A DOLLAR IS GOING TO THE SCHOOL BOARD. 09:22:01 24 CENTS IS GOING TO THE COUNTY. 09:22:04 20 CENTS IS GOING TO THE CITY. 09:22:06 AND 8 CENTS IS GOING TO OTHER AUTHORITIES. 09:22:09 IN FISCAL YEAR '07, THE CITY'S HIGHEST EMPLOYMENT WAS 777. 09:22:22 WE'RE PROPOSING A BUDGET FOR FISCAL YEAR '22 WITH 765 09:22:27 EMPLOYEES. 09:22:27 13 POSITIONS WERE UNFROZEN FROM THE PREVIOUS YEAR. 09:22:32 FIVE OF THOSE HAVE BEEN ELIMINATED FOR A NET OF EIGHT 09:22:36 POSITIONS BEING REINSTATED. 09:22:39 THIS CHART, KEEP IN MIND, DOES NOT INCLUDE PART-TIME 09:22:43 EMPLOYEES. 09:22:44 NOW WE'RE GOING TO START ON SPECIFICALLY THE GENERAL FUND.

file:///sarasotagov.net/...word/CITY%20COMMISSION%20MINUTES/CAPTIONING%20TEXT/2021/21-07-12-CommissionWorkshop.txt[7/13/2021 7:28:20 AM] 09:22:51 SO WHAT I'M GOING TO TALK ABOUT IS SPECIFIC TO THE GENERAL 09:22:54 FUND. 09:22:55 AND WHAT IS THAT GENERAL FUND? 09:22:57 THAT'S OUR OPERATING FUND. 09:22:58 WE COLLECT REVENUES THAT ARE USED TO RUN THE SERVICE, SUCH 09:23:04 AS OUR AD VALOREM TAXES WE'VE TALKED ABOUT. 09:23:08 OTHER REVENUE TAXES LIKE CST AND THE COMMUNICATION SERVICE 09:23:15 TAX, EXCUSE ME, UTILITIES, FRANCHISE FEES, LICENSE AND 09:23:19 PERMITS, CHARGES FOR SERVICES, FINES AND FORFEITURES, 09:23:25 INTEREST INCOME, THAT'S WHAT WE PUT IN THE GENERAL FUND. 09:23:27 OUR EXPENDITURES, OUR DEPARTMENTS INCLUDE THE POLICE, OUR 09:23:32 LANDSCAPING, OUR STREETS AND HIGHWAYS, CODE ENFORCEMENT, 09:23:36 PLANNING, AND CENTRAL SERVICES OF THE CITY, SUCH AS 09:23:40 FACILITIES, HUMAN RESOURCES, FINANCE AND CITY MANAGER'S 09:23:45 OFFICE, ET CETERA. 09:23:46 THIS IS A SUMMARY OF THE GENERAL FUND. 09:23:52 THE SLIDE POINTS OUT THE PROPOSED GENERAL FUND REVENUE 09:23:56 BUDGET FOR FISCAL YEAR '22 IS $10,000 MORE THAN FISCAL YEAR 09:24:02 2021. FROM THOSE NUMBERS, YOU CAN TELL HOW COVID IS 09:24:08 AFFECTING OUR CITY, WHERE OUR AD VALOREM -- WELL, WE WENT TO 09:24:13 THE ROLLED-BACK RATE SO WE HAVE NO INCREASE IN AD VALOREM. 09:24:16 OUR SALES TAXES IS DOING VERY WELL. 09:24:20 HOWEVER, LAST YEAR, WE WERE VERY FORTUNATE WITH INTEREST 09:24:24 INCOME, WHICH IS NOT A PREDICTABLE TYPE OF INCOME, AND ALSO 09:24:28 OUR RIGHT-OF-WAY FEES FOR SOME REASON, WE HAD A LOT OF 09:24:31 RIGHT-OF-WAY FEES LAST YEAR. 09:24:33 WE'RE NOT SEEING THAT THIS YEAR. 09:24:35 AS A MATTER OF FACT, FROM OUR INVESTMENT COMMITTEES AND 09:24:37 TALKING TO OUR INVESTMENT ADVISORS, A FIXED INCOME PORTFOLIO 09:24:41 FOR INTEREST ISN'T DOING VERY WELL AT ALL RIGHT NOW. 09:24:45 HOWEVER, EQUITIES ARE DOING MUCH BETTER WHICH WE'LL SEE IN 09:24:48 OUR PENSION PLANS. 09:24:51 IF YOU TAKE A LOOK AT THE EXPENDITURES, YOU CAN SEE THAT OUR 09:24:58 EXPENDITURES ARE ACTUALLY $367,781 LESS THAN THEY WERE LAST 09:25:05 YEAR. 09:25:05 THIS IS PRIMARILY DUE TO OUR PENSION CONTRIBUTIONS. 09:25:11 BY STATE LAW, WE'RE REQUIRED TO MAKE OUR ANNUAL CONTRIBUTION 09:25:16 FOR GENERAL EMPLOYEE PENSION, FIRE PENSION, AND THE POLICE 09:25:22 PENSION. 09:25:22 ALSO, THE OPEB, WHICH IS OTHER POST-EMPLOYMENT BENEFITS. 09:25:28 ALL FOUR OF THOSE ITEMS WENT DOWN THIS YEAR, WHICH WAS VERY 09:25:35 FORTUNATE IN THE FACT BECAUSE WE HAD INCREASE, WE REINSTATED 09:25:40 OUR POSITIONS THAT WE HAD PREVIOUSLY UNFUNDED LAST YEAR. 09:25:43 WE REINSTATED OUR EQUIPMENT REPLACEMENT PROGRAM. 09:25:48 WE REINSTATED OUR TRAVEL AND A FEW CAPITAL PURCHASES, BUT 09:25:58 NOT TOO MUCH THERE. 09:25:59 AND THEN WE HAVE THE MANDATED INCREASES FROM THE BARGAINING 09:26:04 UNITS THAT WE HAVE. 09:26:05 JUST TO TALK ABOUT SPECIFICALLY REVENUES, I MENTIONED THAT 09:26:13 AD VALOREM IS OUR MAJOR REVENUE IN THE GENERAL FUND. 09:26:16 HOWEVER, WE ALSO HAVE FRANCHISE FEES, UTILITY EXCISE TAXES, 09:26:24 COMMUNICATION SERVICE TAXES, HALF-CENT SALES TAX AND OUR

file:///sarasotagov.net/...word/CITY%20COMMISSION%20MINUTES/CAPTIONING%20TEXT/2021/21-07-12-CommissionWorkshop.txt[7/13/2021 7:28:20 AM] 09:26:28 STATE SHARED REVENUES. 09:26:29 THESE ARE OTHER ITEMS, OTHER REVENUES THAT WE DEPEND ON FOR 09:26:34 THE OPERATION OF THE CITY. 09:26:36 THIS BREAKS DOWN OUR REVENUES A LITTLE BIT MORE SO YOU CAN 09:26:42 SEE MORE SPECIFICALLY WHERE WE HAVE INCREASES AND DECREASES. 09:26:48 AS I MENTIONED PREVIOUSLY, OUR REVENUES, WE'VE ONLY 09:26:50 PROJECTED AN INCREASE OF $10 MILLION. 09:26:53 OUR AD VALOREM REVENUES APPEAR TO HAVE INCREASED .46 09:27:00 PERCENT. 09:27:01 THAT'S USING THE ROLLED-BACK RATE. 09:27:03 THIS INCREASE IS DUE TO OUR NEW CONSTRUCTION IN THE CITY. 09:27:08 AND, ALSO, WE HAVE TO TAKE INTO CONSIDERATION THAT WE HAVE 09:27:14 THE NEW BAY THAT WE ARE TAKING -- WE ARE PLACING THE TIF IN 09:27:19 THE NEW BAY, AND WE HAVE TO GO BACK TO LAST YEAR'S INCREMENT 09:27:24 IN THE BAY, TOO, BECAUSE THE BASE FOR THE BAY WAS FISCAL 09:27:27 YEAR '19 OR TAX YEAR '19. 09:27:30 SO THEY HAD A GROWTH LAST YEAR THAT RESULTED IN 99,000 OF 09:27:36 TIF, PLUS THIS YEAR 534,000. 09:27:39 THAT WILL BE TAKEN OUT OF OUR GENERAL FUND BECAUSE THAT'S 09:27:44 THE TIF THAT IS DUE TO THAT FOR THOSE TWO YEARS. 09:27:48 THE NEWTOWN AD VALOREM IS 171,000. 09:27:52 THIS SLIDE GIVES YOU MORE DETAIL ON REVENUES THAT ARE 09:27:56 PROJECTED WITH INCREASES AND DECREASES. 09:28:00 WHERE MOST OF OUR TAXES ARE INCREASING, FINES, TRANSFERS IN 09:28:05 FROM OTHER FUNDS AND INTEREST INCOME ARE PROJECTED TO 09:28:07 DECREASE. 09:28:09 THIS IS PRIMARILY DUE TO THE REDUCTION OF THE CHARGE BACK 09:28:13 FOR SUSTAINABILITY. 09:28:16 THAT WAS CHARGED OUT TO OTHER FUNDS AND WITH THE REDUCTION 09:28:19 IN STAFFING IN THAT AREA, THEN WE ARE NOT PULLING FROM OTHER 09:28:24 FUNDS TO SUPPORT IT. 09:28:25 REDUCTION IN RIGHT-OF-WAY FEES THAT I MENTIONED. 09:28:29 WE HAVE A REDUCTION IN RED LIGHT CAMERA FEE REVENUES WHICH 09:28:33 WE HAVE ANTICIPATED AS PEOPLE GET USED TO THE RED LIGHTS 09:28:38 BEING THERE. 09:28:38 A REDUCTION IN OUR GAS TAX TRANSFER FOR THE STREET LIGHTING. 09:28:42 THIS IS DUE TO OUR GAS TAX REVENUE SHORTAGES. 09:28:46 AND THIS IS SOMETHING WE NEED TO PAY ATTENTION TO BECAUSE 09:28:49 GAS TAXES HAVE ALWAYS SUPPORTED OUR OPERATIONS OF OUR 09:28:55 STREETS AND HIGHWAYS FOR A LARGE PART. 09:28:59 SO THIS IS GOING TO PUT MORE OF A BURDEN ON THE GENERAL FUND 09:29:02 IN THE FUTURE IF THE TREND CONTINUES. 09:29:06 WE ALSO HAVE A REDUCTION IN OUR INTEREST INCOME. 09:29:11 NOW I'LL TALK A LITTLE BIT ABOUT OUR EXPENDITURES. 09:29:18 WE HAVE NO BUDGET ISSUES INCLUDED IN THE PROPOSED FISCAL 09:29:21 YEAR '22 BUDGET. 09:29:23 IF YOU'LL REMEMBER, BUDGET ISSUES ARE INCREASES IN SERVICES, 09:29:32 NEW STAFFING. 09:29:33 THE TOTAL FISCAL YEAR '22 PROPOSED EXPENDITURE BUDGET IS 09:29:38 75,401,431. 09:29:43 A DECREASE OF 367,781 FROM THE CURRENT FISCAL YEAR. 09:29:50 AS MENTIONED PREVIOUSLY, THIS IS DUE TO REDUCTIONS IN OUR

file:///sarasotagov.net/...word/CITY%20COMMISSION%20MINUTES/CAPTIONING%20TEXT/2021/21-07-12-CommissionWorkshop.txt[7/13/2021 7:28:20 AM] 09:29:55 PENSION EXPENSES. 09:29:56 THE EQUIPMENT REPLACEMENT PROGRAM WAS REINSTATED AS WELL AS 09:30:01 THE UNFUNDED POSITIONS FROM PREVIOUS YEAR BUDGET CUTS. 09:30:06 IN ADDITION, WE'VE GOT YEAR THREE OF THREE IN SALARY 09:30:10 INCREASES INCLUDED FOR BOTH BARGAINING AND NON-BARGAINING 09:30:14 EMPLOYEES. 09:30:14 I WILL CAVEAT THAT THE NON-BARGAINING EMPLOYEES, THE AMOUNT 09:30:19 THAT IS PUT IN THE BUDGET IS THE SAME AS THE TEAMSTERS, 09:30:23 HOWEVER, THE ULTIMATE RESULT IS UP TO THE CITY MANAGER. 09:30:28 FRS HAS BEEN ADDED TO THE FISCAL YEAR '22 BUDGET BEGINNING 09:30:34 DECEMBER 1st, 2021. 09:30:37 AND ONE THING THAT'S GOING TO BE DIFFERENT ABOUT FRS IS THAT 09:30:42 PART-TIME EMPLOYEES THAT ARE PERMANENT PART-TIME WILL BE 09:30:46 INCLUDED. 09:30:47 THIS CHART JUST GIVES YOU A HISTORICAL LOOK AT OUR GENERAL 09:30:56 FUND OF WHERE WE'VE HAD OUR UNASSIGNED FUND BALANCE. 09:31:00 AND WHAT UNASSIGNED FUND BALANCE TO EXPENDITURES, THE 09:31:04 PERCENT IS, IS HOW LONG COULD WE OPERATE THE CITY IF ALL 09:31:10 REVENUES STOPPED? 09:31:12 AND THE GFOA RECOMMEN