Productivity Committee Minutes 02/19/2003 /)-22.-)03,
COLLIER COUNTY GOVERNMENT
PRODUCTIVITY COMMITTEE
Minutes
February 19, 2003; 2:00 pm.
Members Present: James Gibson, James Horner, Jean Ross-Franklin, Joseph Swaja, Joseph Mumaw,
Albin Kozel, Stephen Price, James Ray, and Richard Schmidt
Members Absent (Excused): Janet Vasey and Dexter Groose
BCC Liaison Present: Commissioner Donna Fiala
Staff Present: Norman Feder, Transportation Division Administrator; Gregg Strakaluse, Transportation
Engineering & Construction Management (TE&CM), Director; Donald Scott, Transportation Planning
Department Director; Dale Bathon, Principal Project Manager(TE&CM); Gary Putaansuu, Senior
Project Manager(TE&CM); Connie Deane, Transportation Division Community Liaison; Tom Wides,
Public Utilities Operations Director; Mike Smykowski, Office of Management&Budget(OMB)
Director; Jim Mudd, County Manager; Leo Ochs, Deputy County Manager; Winona Stone, Assistant to
the County Manager; and Pat Lehnhard, Administrative Assistant OMB.
I. Introduction: Jim Gibson called the meeting to order at 2:00 p.m., noting that a quorum was
present. Jim welcomed new members, Albin A. Kozel, Jr., Stephen L. Price, James C. Ray, Jr. and
Richard Schmidt.
A motion was made by Jim Horner to accept the January 15, 2003 minutes as presented; seconded by
Joe Mumaw, and unanimously approved.
II. Old Business:
A. Presentation on the Proposed Golden Gate Parkway/Airport Road Flyover—Norman Feder
introduced members of his staff, and distributed a copy of the Golden Gate Parkway/Airport Road Grade
Separated Overpass Highlights, together with a copy of an Executive Summary giving the Board of
County Commissioners and Naples City Council an update on this project.
Norman stated that this project, upon approval by the BCC, is scheduled to begin in 2004 and be
completed in approximately two years at an estimated construction cost of$30 million. We will be able
to recover Collier County's costs associated with the GSO in less than 3 years. Take $30 million minus
$7.45 million (TOPS funding), and divide the result by$8.7 million (approximately 31 months).
Improvements on Golden Gate Parkway will begin just east of the intersection with Bears Paw/Estuary
and end just west of the intersection with Livingston Road. Improvements on Airport Road will begin
just north of the Golden Gate Main Canal and end a quarter mile north of the intersection with Golden
Gate Parkway.
Norman said he has been asked many times "Why do this?" "Why have Golden Gate Parkway fly over
Airport Road?" The reason for the improvement is to improve the flow of east-west traffic on Golden
Gate Parkway. Although Airport Road has a higher traffic volume at present, this will change with the
construction of the new I-75 interchange at Golden Gate Parkway. This will make Golden Gate
Parkway the higher volume roadway.
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Also, the Development of Regional Impacts (DRI) of Grey Oaks and Estuary were structured to reserve
right-of-way for interchange. The right-of-way going north and south is not reserved. This overpass
will reduce intersection delay, improve safety, aid in evacuation, relieve traffic on Pine Ridge Road, and
complement traffic circulation associated with the upcoming I-75 interchange on Golden Gate Parkway.
The apex of this overpass will be 28 feet.
There will be issues to address at the Goodlette-Frank Road and U.S. 41 intersections with Golden Gate
Parkway. The building of this overpass does not solve the problems at these intersections, but it doesn't
make them worse. At this time,Norman is working with the City of Naples and the State on the
problems at Goodlette-Frank. Nothing has been addressed yet regarding U.S. 41. Not all of the traffic
coming off of the interchange will be going westbound.
At this time, Gregg Strakaluse, Senior Project Manager(TE&CM), conducted a video presentation
showing the overpass and the aesthetics going both east/west and north/south and how traffic will move.
Traffic (six lanes) on Golden Gate Parkway will pass over Airport Road, and will not be impeded by a
traffic signal. Traffic on Golden Gate Parkway wanting to turn onto Airport Road will exit off the
Parkway to the right(whether eastbound or westbound) and will make these movements (northbound or
southbound) at-grade (underneath the overpass). There will be provisions for U-turn movement on
Golden Gate Parkway under the structure. All movements on Airport Road will occur at-grade. The at-
grade movements for Golden Gate Parkway and Airport Road will be controlled by signals.
Greg also presented and explained a visual of traffic flow during morning and evening peak hours in
2025 prepared by Kimley-Horn.
Norman and his staff then answered a few questions raised by the committee members relative to the
survey conducted and the traffic flow patterns, i.e. off-season and peak season.
B. Further Discussion on Proposed Water and Wastewater Impact Fees—Joe Mumaw advised after the
presentation on proposed water and wastewater impact fees, he had a concern that the proposed impact
fees were not high enough to cover the cost. Afterwards, Joe met with Tom Wides, Director of
Operations for Public Utilities. In the discussion with Tom and the consultants, Joe acknowledged a
much better understanding of the impact fee setting process. Tom prepared a Summary Presentation of
Impact Fees, which was included in the agenda packet. Joe feels we are spending more than is being
collected.
Tom Wides explained the timeframe from time of acquiring property to building a plant takes
approximately eight years. A ten-year planning cycle is looked at for impact fees. Joe's question is why
are we only collecting 30%to recapture the capital expenditures in the 10-year time frame? We can't
legally charge for something that isn't going to be fully utilized in that same time frame. How do we
fund capital projects? Impact fees accumulated to date, credits, and primarily from commercial paper
loan and state revolving fund loans. The commercial paper short-term nature will necessitate it be rolled
into funding by bonds as the construction activities are being completed. As prior and present impact
fees come in after the 10-year cycle, you start paying off the debt service.
Tom advised they will keep looking at impact fees annually to see if the County is collecting enough or
too much. Population estimates are the basis for the Master Plan. Projected capital expenditures for
plants, transmission and collection mains are calculated based on the population and dispersion of the
population. The current unutilized capacity during non-peak periods shows on average basis about 14%
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on water side, and 20%on wastewater side. Peaks are defined by seasonal periods, holidays, rain
events, etc.
Tom was asked to explain what ERC means. He advised it stands for Equivalent Residential
Connections. It is estimated that each person uses 185 gallons of water per day. There are
approximately 2.4 individuals per household (2,500 sq. ft.). It represents the average use of an average
size household. The cost is $2,570 for water, and $2,950 for wastewater.
Tom advised Golden Gate, Marco Island and City of Naples are excluded from our water district.
Tom invited members of the committee to attend the February 25 Board Meeting at which time Public
Utilities will be presenting their impact fee and user fee proposals.
C. Continuing Discussion on Reserves and Fund Balances with Mike Smykowski–As previously
stated, Moody's Investor Services recommends that we have a minimum 10%reserve. Fitch noted that
fund balance levels had increased to approximately 15%, which is up from 11.3% in 2001. Bond ratings
improve as percentage increases. This lends itself to adopting a policy for the County in establishing
fund balance levels. Mike advised that the County's policy has been not to borrow on a short-term
basis. Due to the timeframe of when property taxes are collected, the County pays out significant
amounts to the Constitutional Officers before the County starts receiving tax money. This is another
reason for the high reserve. Jim Gibson suggested that a formal fund balance policy adopted by the
Board would give additional comfort to the rating agencies.
Jim Gibson asked Mike about fund consolidation. Mike said he has a draft plan, which would eliminate
10% of the funds. - Mike was asked to make this available to the Productivity Committee when
it is completed.
D. Discussion with Jim Mudd, County Manager–The County Manager advised that he is going to
bring up to the Commissioners at their Strategic Planning Workshop February 28, the idea of creating a
chairman's group to include the Fire District Chiefs and a member of the BCC. The purpose is to
research potential efficiencies.
1. Commissioner Henning's Request for the Committee to consider conducting Performance
Assessments on various departments under the Board's jurisdiction–Jim Mudd advised he had
previously asked the Clerk of Courts to do this. The Clerk said he was not staffed for this. Jim agrees
that there is a need for someone to take a look at some of the departments to determine their
performance. He has received requests for this from both the Transportation and Community
Development Divisions. There are three things Jim is looking at: (1) is this Committee qualified?
(2)Need to take into consideration the Sunshine Laws. (3) The significant amount of time it would take
for lay people to do this. Any particular project could take up to four months to conduct. Because of
these things, Jim feels this would be a difficult job for the Productivity Committee to do. The
Committee agrees and Jim Gibson will draft a letter to Commissioner Henning on their response to his
request.
2. Outstanding issues raised by the Committee in their listing of significant observations, findings
and recommendations for future action dated August 23, 2002–Before discussing the committee's
findings, Jim Mudd advised that the County's Self-Insurance Fund is $3 million over budget. There is
no contingency fund to fall back on. On January 1st employees' portion of health insurance costs were
raised. Jim has spoken with his administrators and advised them he may be looking to their budgets to
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make up this deficit. Employees could also receive a mid-year increase in costs. The County is bearing
86% of the costs—employees 14%, and health costs continue to skyrocket.
As to the Productivity Committee's observations, etc., Jim Mudd remarked as follows:
a. Barry Axelrod, Director of our IT Department, has set up a committee composed of a cross-section
of County top management to assess and prioritize countywide information systems development
requirements. They meet quarterly.
b. Outside consultants are looking at the Solid Waste Landfill Closure Fund. The Committee will need
to speak with the Sheriff regarding the reserve build-up in his Self-Insurance Fund. Staff is continuing
to review Emergency Services response times and staffing requirements.
c. Regarding the budget process, Jim advised that the County is now a member of the International
City/County Management Association's Center for Performance Measurement (ICMA) database. We
are looking into the HR system and trying to remedy a number of problems with their lack of a reliable
database. With our new SAP Integrated Financial System, we will be able to have accurate position
counts and current status, which will be maintained on a continuous basis. Jim is also looking into
changing our current leave program into Universal Leave. This will consist of regular leave accrual and
two days personal leave, with the sick leave portion being limited. Two years ago when changes were
being anticipated in the health plan, an employee focus group was formed to take a look at various
scenarios. Jim has asked Leo to reestablish this group.
d. Major areas of concern for future review—Jim advised the transportation issue is a priority with the
Board. The backlog of transportation projects should be completed in 2005. Water requirements
(supply and quality) will continue to be a challenge. —*Jim Mudd directed Tom Wides to solicit the
Productivity Committee's comments on the annual publication of water status prior to release to
homeowners.
Regarding the Stormwater Management project, Jim had been talking to Big Cypress to see if we could
combine ours with theirs. SFWMD was going to take all of our employees. When the Governor's
budget came out, SFWMD was told to cut staff, not take on new people. Therefore, this plan has been
cancelled. They will help leverage money to help us improve our primary and secondary systems.
The County Manager directed all departments to present Master Plan, Impact Fees and User Fees
proposals to the Productivity Committee for review prior to submitting them to the Board.
3. FY 04 Budget Policy—The County Manager proposes the following:
a. Limit on expanded position count (Board Agency)—Severely limit (none is better) new hires for a
couple of years. This will force departments to utilize their present employees to their fullest. When an
Administrator complains he can't get the job done with the staff he has, then Jim will take a look at
hiring. He has never had anyone come to him yet saying they can't do the job with the employees
available.
The limitation on new hires will minimize immediate facility space requirements. We are also
taking a look at the facilities master plan. It will be amended to keep track of changing needs. As an
example, the County Manager had the law books moved to a trailer because the Clerk needed additional
space. Six months later the Clerk still has not moved into this new space. A facilities committee would
have had that completed by now. A facilities committee is being established.
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b. Proposed Fund Consolidation—The County Manager would like to simplify the budget by collecting
a franchise fee for utilities instead of creating MSTU's. The Board does not want to do this. Every time
an MSTU is formed, this creates another fund. Jim's goal for Mike Smykowski is to reduce funds by
10%. Mike is close but is still working on that goal. Mike advised that we have at least 130 separate
funds. We are trying to limit this in order to make it easier to do business. Jim Gibson offered his help
outside of his position on the Productivity Committee.
c. Limitations on Current Service Discretionary Operating Expenses—There will be limitations. There
will be fixed costs exceptions such as medical and fuel costs due to increases. The County Manager is
going to hold budget at CPI, with the exception of fixed costs. County Manager will be looking at
departments making position shifts due to new technology coming on board.
d. Potential State Budget Impacts—With regard to Article V, the State will fund the Court System by
this July. It is predicted that the State will try to offset these costs in reduced revenue sharing with the
Counties. In the Governor's budget there is a discernible Medicaid shift. Transportation for the elderly
will now be a County responsibility. Funds for Juvenile Justice will not be there from the State. The
County portion of retirement rates is going to be raised; however the rate has not yet been determined.
e. Reserves—The County Manager needs to have enough in reserves in anticipation of insurance and
retirement increases, as well as for Bond ratings. A 10 percent reserve is being discussed.
-+ Staff will solicit the Productivity Committee's comments on the proposed budget policy prior to
presentation to the Board.
III. New Business:
A. Election of Chair and Vice-Chair—Jim Gibson nominated Joe Mumaw as Chair and Joe Swaja as
Vice Chair; seconded by Jean Ross-Franklin, and passed unanimously.
Next Meeting: The next meeting of the Productivity Committee is scheduled for Wednesday, March
19, 2003, 2:00 p.m. in the County Manager's front conference room, 2nd floor of the W. Harmon Turner
Building (Building F, Administration Building).
Meeting adjourned at 5:15 p.m.
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