Minutes 07/14/2016 PELICAN BAY SERVICES DIVISION
AD HOC COST SAVING STRATEGIES COMMITTEE MEETING
JULY 14, 2016
The Ad Hoc Cost Saving Strategies Committee of the Pelican Bay Services Division met on
Thursday, July 14 at 2:00 p.m. at the SunTrust Bank Building, 801 Laurel Oak Drive, Suite 302,
Naples, Florida 34108. The following members attended.
Ad Hoc Cost Saving Strategies Committee Bohdan Hirniak
Mike Shepherd, Chairman Gary Ventress
Pelican Bay Services Division Staff Mary McCaughtry, Operations Analyst
Neil Dorrill, Administrator Lisa Jacob, Associate Project Manager
Marion Bolick, Operations Manager Barbara Shea, Recording Secretary
Also Present
Joe Chicurel, PBSD Board
Dave Trecker, PBSD Board
APPROVED AGENDA (AS AMENDED)
1. Pledge of Allegiance
2. Roll call
3. Agenda approval
4. Approval of June 14 meeting minutes
5. Audience comments
6. Review running list of identified cost-reduction/performance improvement options
7. LED bulb replacement for existing metal halide bulbs— street lights
8. Sub-contracting options—comprehensive, partial, potential for trial
a. Landscape services for the Pelican Bay Foundation (add-on)
9. Forward Plan—contrast"dependent"vs. "independent" district organization
10. Review and prep for Final Report
11. Adjournment
ROLL CALL
All members were present and a quorum was established
AGENDA APPROVAL
Mr. Hirniak motioned, Mr. Ventress seconded to approve the agenda as amended
with the addition of Item #8a. The motion carried unanimously.
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Pelican Bay Services Division Ad Hoc Cost Saving Strategies Committee Meeting
July 14,2016
APPROVAL OF JUNE 14 MEETING MINUTES
FMr. Ventress motioned, Mr. Hirniak seconded to approve the 06/14/16 meeting
minutes as amended. The motion carried unanimously.
AUDIENCE COMMENTS
Dr. Trecker commended the Cost Saving Strategies Committee for their exemplary
efforts. He also commented on his view of two distinct issues being studied by the committee,
(1) identification of specific cost saving measures/improvements, and (2)possible savings to be
achieved as a result of changing the organizational structure of the PBSD to an independent
district.
REVIEW RUNNING LIST OF IDENTIFIED COST REDUCTION/PERFORMANCE
IMPROVEMENT OPTIONS
By consensus,the committee expressed continued agreement with all of the items on the
"running list of identified cost reduction/performance improvement options"resulting from the
last two committee meeting discussions.
LED BULB REPLACEMENT FOR EXISTING METAL HALIDE BULBS - STREET
LIGHTS
Mr. Shepherd summarized recent comments by our lighting consultant, including his
conclusion that Pelican Bay street light poles and fixtures are in good condition and therefore, do
not need to be replaced. Mr. Shepherd commented on the current trial of the replacement of four
metal halide bulbs with LED bulbs on the street lights at the intersection of Pelican Bay Blvd.
and Gulf Park Dr., and stated that if all Pelican Bay bulbs were replaced with LED lights, a
savings of$11,000/year may be achieved.
Mr. Dorrill commented on Pelican Bay street light fixtures being out of production. Staff
is in the process of researching the availability of similar fixtures.
SUB-CONTRACTING OPTIONS—COMPREHENSIVE, PARTIAL, POTENTIAL FOR
TRIAL
Mr. Shepherd commented on the possibility of outsourcing landscape services along the
Gulf Park Dr. corridor, as a trial, to one private contractor, estimated to be 3.67% of the total
Pelican Bay area. Mr. Shepherd prepared a pro-forma budget under this scenario which did not
include any"extras"to be charged by the contractor, which showed that potential savings may be
$17,850.
Dr. Chicurel commented that any savings achieved from outsourcing the Gulf Park
corridor cannot be extrapolated to the entire Pelican Bay community which contains many areas
requiring much more complicated landscaping work. The committee agreed.
Mr. Shepherd summarized conversations with Mr. Bolick which identified reasons why it
would not be in the best interest of the PBSD to subcontract all Pelican Bay landscaping as (1)
the possible loss of uniformity of landscaping throughout the community, (2)the possible loss of
the ability to handle emergencies, (3) seasonal growth patterns, and (4) the possible loss of the
ability to handle sporadic special landscaping needs/projects that require unplanned for attention.
Dr. Trecker commented that one cannot assume County contracted landscapers are
unable to provide quality work.
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Pelican Bay Services Division Ad Hoc Cost Saving Strategies Committee Meeting
July 14,2016
By consensus, the committee agreed to pass on the option of outsourcing landscaping
along with the potential negatives and possible savings identified to the PBSD Board.
LANDSCAPE SERVICES FOR PELICAN BAY FOUNDATION (ADD-ON)
Mr. Shepherd commented on achieving significant cost savings by discontinuing
landscaping services on Pelican Bay Foundation property. By consensus, the committee agreed
not to recommend further study of this option, as this option would transfer landscaping
expenses to the Pelican Bay Foundation who would in turn increase annual resident assessments,
and result in no net cost savings to Pelican Bay residents.
FORWARD PLAN: CONTRAST "DEPENDENT" VS. "INDEPENDENT" DISTRICT
ORGANIZATION
Mr. Shepherd commented on his estimation of approximately $300,000 being charged to
the PBSD by the County, which includes approximately $80,000 by the Tax Collector for
assessment collection processing. After discussion, the committee was in favor of future
exploration of the "independent district option" for the organization, which must include
analyzing the political ramifications of Pelican Bay's continued responsibility for the Clam Bay
NRPA.
Mr. Dorrill reviewed Chapter 189 under Florida Statutes which discusses special districts.
He commented on the requirements of a possible formation of an independent special district
which would include, (1) an enabling charter, (2) a fully developed agreement between Pelican
Bay and the County, and (3) a complete pro-forma budget to include all expenses currently being
provided for by the county such as payroll, accounting/general ledger system, all types of
insurance, fleet maintenance/services, audit fees, legal fees, and computer/IT expenses.
REVIEW AND PREP FOR FINAL REPORT
Dr. Trecker commented on three options explored by this committee, requiring future
discussion by the PBSD Board: (1) a shopping list of cost cutting measures, (2) a change of the
organizational structure of the PBSD to an independent district, (3) outsourcing part or all of the
landscaping function.
By consensus,the committee agreed to provide a palate of cost saving strategy options to
the PBSD Board in the form of a report to be prepared by Mr. Shepherd. No specific
recommendations would be made by the committee. The committee agreed that a"single topic"
PBSD Board meeting would be an appropriate venue to discuss all of the issues explored by this
ad hoc committee.
ADJOURNMENT
IThe meeting was adjourned at 3:02 p.m.
\L.
'ke Shepherd, Chairman
Minutes approved [7,1 as presented OR [ 1 as amended ON [ 7 /� 1 date
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