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Agenda 09/28/2021 Item #2B (BCC Budget Meeting Minutes from September 9, 2021)09/28/2021 COLLIER COUNTY Board of County Commissioners Item Number: 2.B Item Summary: September 9, 2021 - BCC Budget Hearing Meeting Minutes Meeting Date: 09/28/2021 Prepared by: Title: Sr. Operations Analyst – County Manager's Office Name: Geoffrey Willig 09/21/2021 9:31 AM Submitted by: Title: Division Director - Corp Fin & Mgmt Svc – County Manager's Office Name: Mark Isackson 09/21/2021 9:31 AM Approved By: Review: County Manager's Office Geoffrey Willig County Manager Review Completed 09/21/2021 9:32 AM Board of County Commissioners Geoffrey Willig Meeting Pending 09/28/2021 9:00 AM 2.B Packet Pg. 15 September 9, 2021 Page 1 TRANSCRIPT OF THE MEETING OF THE BOARD OF COUNTY COMMISSIONERS Naples, Florida September 9, 2021 LET IT BE REMEMBERED, that the Board of County Commissioners, in and for the County of Collier, and also acting as the Board of Zoning Appeals and as the governing board(s) of such special districts as have been created according to law and having conducted business herein, met on this date at 5:05 p.m., in BUDGET SESSION in Building "F" of the Government Complex, East Naples, Florida, with the following members present: Chairman: Penny Taylor William L. McDaniel, Jr. Rick LoCastro (telephonically) Burt L. Saunders Andy Solis ALSO PRESENT: Sean Callahan, Deputy County Manager Edward Finn, OMB Director Jeffrey A. Klatzkow, County Attorney Troy Miller, Communications & Customer Relations September 9, 2021 Page 2 PELICAN BAY SERVICES DIVISION BUDGET HEARING CHAIRMAN TAYLOR: We're at the first budget meeting of 2021. And I think what we'll do is call the roll. I believe Commissioner LoCastro would like to appear telephonically, and so we're going to need a motion to allow him to do that. So I don't think we need to call the roll, correct? MR. CALLAHAN: No. CHAIRMAN TAYLOR: Okay. MOTION TO ALLOW COMMISSIONER LOCASTRO TO PARTICIPATE TELELPHONICALLY – APPROVED COMMISSIONER SAUNDERS: I'll make the motion to permit the appearance -- COMMISSIONER LoCASTRO: Hey, Commissioner LoCastro's on the line here. COMMISSIONER SAUNDERS: -- remotely. CHAIRMAN TAYLOR: Okay. COMMISSIONER SOLIS: Second. CHAIRMAN TAYLOR: All right. There's a motion on the floor and a second. All those in favor, say aye. COMMISSIONER SOLIS: Aye. CHAIRMAN TAYLOR: Aye. COMMISSIONER SAUNDERS: Aye. COMMISSIONER McDANIEL: Aye. CHAIRMAN TAYLOR: Those opposed, like sign. COMMISSIONER LoCASTRO: Am I on the conference call? This is Rick LoCastro. Can anybody hear me? CHAIRMAN TAYLOR: Yes, we can, and we just agreed that you can continue to participate in this meeting telephonically. September 9, 2021 Page 3 COMMISSIONER LoCASTRO: Oh, perfect. Okay. I can hear you-all now. It's not as loud, but I can hear. Thank you. CHAIRMAN TAYLOR: Okay. You're welcome. So I think we'll stand and say the Pledge. And, Commissioner Solis, would you lead us in the Pledge of Allegiance, please. Item #1A PLEDGE OF ALLEGIANCE RECITED (The Pledge of Allegiance was recited in unison.) CHAIRMAN TAYLOR: As we're here today -- I think my colleagues, we notice that County Manager Isackson is not with us this evening. He does have a temporary absence from the county. And we have a little housekeeping items we need to take care of, and so I'm going to turn this over to County Attorney Klatzkow. MR. KLATZKOW: I sent each of you an e-mail yesterday advising that we'd be having this discussion. My understanding is that Mr. Isackson's temporarily out of the office. We don't know when he's coming back for certainty. It would be my recommendation, given that uncertainty, that for the reasons I put forth in the communication to you, that the Board consider appointing an acting county manager until Mr. Isackson's return. CHAIRMAN TAYLOR: Thank you very much. Commissioner Saunders? COMMISSIONER SAUNDERS: Just a quick question. No compact on salaries or anything? It's just temporary. MR. KLATZKOW: No. It's very temporary. COMMISSIONER McDANIEL: All right. CHAIRMAN TAYLOR: So I think our duty this September 9, 2021 Page 4 morning -- this evening, before we go forward, is to appoint an acting county manager. COMMISSIONER McDANIEL: No, no. I'm lit up. Do you have your board? COMMISSIONER SAUNDERS: Commissioner McDaniel, what are you doing for the next three weeks. You would be a natural for this. COMMISSIONER McDANIEL: Yeah. As long as there's no increase in salary, I'll be all right. It would be my preference, there is -- there is extenuating circumstances. I don't think we need to appoint an interim manager. Our county's been going along just fine. Our current staff has been getting along just fine. All of the legalities that travel along with signatures and so on and so forth all require -- say "County Manager or designee." Mr. Isackson's been, relatively speaking, in constant communication with our staff, and I don't think it's necessary for us to do this at this time. I think it's -- I don't think it's necessary. CHAIRMAN TAYLOR: Okay. Thank you very much. Commissioner Saunders. COMMISSIONER SAUNDERS: Yeah. I guess I'd just ask the County Attorney a question. I mean, obviously, this is purely -- from my perspective is purely a legal issue. We understand that Mark will be back in a few weeks, and everything's running very smoothly. And Commissioner McDaniel makes a good point. But I understand that there may be some potential legal problems down the road if we don't at least make that appointment for a temporary -- MR. KLATZKOW: Appointing an acting County Manager eliminates any issues. It eliminates whether there was a delegation of authority, whether it was a proper delegation of a uthority. It eliminates any issues as to who's running the county. It eliminates September 9, 2021 Page 5 any and all issues. My understanding is Mr. Isackson is very comfortable with an appointment of an acting county manager until he's able to return. Commissioner Solis. COMMISSIONER SOLIS: I was just going to say that everything has been running very, very well. And -- but I, on the other hand, have no problem wearing a belt and suspenders, which is what I think this would be, so... CHAIRMAN TAYLOR: Commissioner LoCastro, do you have any comments? COMMISSIONER LoCASTRO: I agree with Commissioner McDaniel. I mean, I understand the legal protection. So my question for the County Manager is, is this a "nice to do" or "a must do"? And I realize -- I just heard what he had to say, which is this would prevent us from possibly having any issues. My understanding was, talking to the two deputies, was that they are empowered to act on behalf of the County Manager. But I'm not an attorney, so I do default to Mr. Klatzkow as far as if he -- if he feels strongly that there is a possibility that this extra protection, although maybe never needed, is smart to do. I certainly don't want to increase a long conversation tonight about it, so I do just defer to the legal aspects here. But when I heard Commissioner McDaniel speak, he literally took the words out of my mouth. I would have said a similar thing, that I didn't think it was a requirement. It might be a "nice to do." But if we think it's more than that, I'm not against appointing an interim. I just don't think it's necessary but, you know, I'm listening to what you-all are saying as well. So I'm -- I'd like him to maybe have the final word and give us his direction. I don't want to hold back anything legally that he might be concerned about. September 9, 2021 Page 6 COMMISSIONER SAUNDERS: Madam Chair? CHAIRMAN TAYLOR: Yes. COMMISSIONER SAUNDERS: If I might, I want to read one sentence from the county's memo to the Board, and he says -- and this is a quote -- a core reason for appointing an acting county manager during the County Manager's absence is to eliminate any questions as to the legality of any actions taken by the County Manager's Office in his or her absence. I don't see any reason why we wouldn't do that. MOTION APPOINTING SEAN CALLAHAN ACTING COUNTY MANAGER – APPROVED So I'm going to make a motion to appoint Sean Callahan to serve as the acting county manager. That doesn't mean that Mark Isackson isn't going to be consulted constantly, obviously, but just to avoid any legal potential problems down the road. So I'll make that motion. CHAIRMAN TAYLOR: I'll second that motion. I think -- I think this is very prudent. It is belt and suspenders. We need -- we are the face of government to the public, and I think that when there is an irregularity, we need to shore it up legally, and I think this does it, a temporary irregularity. So there's a motion on the floor. Anyone else like to comment? (No response.) CHAIRMAN TAYLOR: Motion on the floor and a second. All those in favor, say aye. COMMISSIONER SOLIS: Aye. CHAIRMAN TAYLOR: Aye. COMMISSIONER SAUNDERS: Aye. COMMISSIONER LoCASTRO: Aye. September 9, 2021 Page 7 CHAIRMAN TAYLOR: Those opposed, like sign. COMMISSIONER McDANIEL: Aye. CHAIRMAN TAYLOR: It carries 4-1. Thank you very much. And so now I'm going to turn it over to Deputy County Manager Sean Callahan. COMMISSIONER McDANIEL: Acting County Manager Sean Callahan. MR. CALLAHAN: Thank you, Madam Chair. That will take us to our advertised public hearings today. I'm going to turn it over to Mr. Ed Finn, who's our director of the Office of Management and Budget, who will take you through the Pelican Bay Services Divisions budget hearing, then followed by our BCC Fiscal Year 2022 tentative millage rates and tentative budget. Mr. Finn. MR. FINN: Very good. Thank you, Sean. Edward Finn, OMB director, for the record. The first item is the Pelican Bay Services Division. You're going to find that today's meeting is largely scripted. There's a lot of technical things that are required, so just bear with me. If it sounds scripted, it's because it is. COMMISSIONER SAUNDERS: It is. MR. FINN: In any event, Commissioners, the first item on our docket is a discussion of the Pelican Bay budget as well as a resolution which establishes the assessment and the spreading of the assessment over the Pelican Bay properties. I'll note that the Pelican Bay budget is -- totals about $22 million, 7 of which is operating, 15 million of which is capital. I think Mr. Dorrill should be on a Zoom call. And I'll just call out the couple of items here that are -- that consist on the agenda. Item 2A is to review the Pelican Bay Services Division budget. September 9, 2021 Page 8 2B is to entertain public comment. 2C is to approve a resolution approving the special assessment role and levying the special assessment against the benefited properties within the Pelican Bay MSTBU. If Mr. Dorrill's there, perhaps he could take over. MR. MILLER: Yeah. Oscar, if you haven't yet, please prompt Neil to unmute himself. Just a second, Ed. And waiting for Neil. There's Neil. Go ahead, Neil. Item #2A RESOLUTION 2021-162: FISCAL YEAR 2022 PERLICAN BAY SERVICES DIVISION BUDGET – ADOPTED MR. DORRILL: Good afternoon, everyone, and thank you very much for the opportunity to be here. This, as Mr. Finn has indicated, is a two-part hearing to consider the Pelican Bay Services budget for Fiscal '22. I'm proud to be able to say that the total budget this year, $7,336,300, represents an overall 21 percent decrease over the prior year. This budget consists of two major funding elements, the first of which is a non-ad valorem assessment that is split between operating and capital. The operating assessment for the coming year is $3,971,000. That equates to an individual assessment rate of $518.48 on the operating and maintenance side, and then on the capital side, the total capital assessment, $2,153,200, or an individual assessment rate of $281.14. The overall combined assessment is $799.62. And, again, the operating side represents a modest decrease over the prior year. The number of equivalent residential units remains the same for September 9, 2021 Page 9 the second year in a row, 7,658.9 ERUs. Approximately 10 percent of that is represented by commercial or institutional property owners within the district. The second element is the ad valorem source that funds our Streetlight Fund and associated revenue stream. The ad valorem millage rate, again, remains unchanged from the prior year. .0857 mills will reflect $660,900 in ad valorem revenue against a somewhat astounding assessed value of $7.8 billion in value. I should tell you that since we last saw you at the budget workshop, this budget has been approved to you by your advisory board there who is very diligent and has a separate budget and finance committee that who has devoted considerable man-hours in the review and evaluation of the budget for this year. Staff recommendation, as part of the opening the public comment, as Mr. Finn outlined, would be for you to adopt the enclosed resolution to accomplish three tasks: The first of which would be to adopt the Fiscal Year '22 budget, the second task is to approve the assessment role of benefiting properties, and then No. 3 is actually levying that assessment against those properties within the Municipal Services Taxing and Benefit Unit at Pelican Bay. And with that, I'd be happy to answer any questions, or you can consider any public comment. MR. CALLAHAN: Troy, we have some registered speakers. Are there any on this item? Item #2B PUBLIC SPEAKERS – NONE MR. MILLER: No one has indicated they wanted to speak on the Pelican Bay item, no. September 9, 2021 Page 10 CHAIRMAN TAYLOR: Okay. So any other comments up here? (No response.) CHAIRMAN TAYLOR: Do we have a motion to accept? COMMISSIONER SOLIS: Motion to accept. COMMISSIONER McDANIEL: Second. CHAIRMAN TAYLOR: Motion on the floor and a second. All those in favor, say aye? COMMISSIONER SOLIS: Aye. CHAIRMAN TAYLOR: Aye. COMMISSIONER SAUNDERS: Aye. COMMISSIONER McDANIEL: Aye. COMMISSIONER LoCASTRO: Aye. CHAIRMAN TAYLOR: Those opposed, like sign. (No response.) CHAIRMAN TAYLOR: It carries unanimously. September 9, 2021 Page 11 BOARD OF COUNTY COMMISSIONER’S BUDGET HEARING MR. CALLAHAN: Madam Chair, that takes us to our next item, which is a resolution to adopt the BCC Fiscal Year 2022 tentative millage rates and tentative budget. Mr. Finn. MR. FINN: Very good. Thank you, Sean. Commissioners, that brings us to the overall county budget public hearing, today being September 9, 2021. This presentation, as I noted before, is scripted, so just indulge me while I get through some things in the record that we normally have to do. There will be a time for public comment as we go through this. So I'll just commence, if that's with everybody's approval. Welcome to the first of two public hearings on the Collier County Government Fiscal Year 2022 -- 2022 budget which begins on October 1, '21, and runs through September 30, '22. The public budget hearings in September must follow a format pursuant to the state of Florida truth in millage guidelines. Your agenda contains the specific sequence of agenda items to be covered. Pursuant to statute, this hearing was advertised as part of the TRIM notice mailed to all Collier County property owners on or about August 16th. The final budget hearing is two weeks from tonight on September 23rd, 2021. This final hearing will be noticed as part of the statutory advertising requirement contained in the truth in millage statute. The final hearing notice will be a notice of proposed tax increase advertisement that will appear in the Naples Daily News on or about September 20, '21. This type of advertisement is necessary since the county's tentative adopted aggregate millage rate is greater than the current year aggregate rolled-back rate. Final tax rate and budget decisions will be made at September 9, 2021 Page 12 this final hearing on September 23rd, 2021. Agenda and speaker slips are available in the hallway. If you're interested in that, please fill out a slip and give it to Mr. Miller. He'll collect the slips and call you. Following some introductory remarks regarding tax rate and changes to the tentative budget released in mid-July, there will be an opportunity at Agenda Item 1C for public comment. Speakers will be called by name. The TRIM notice mailed to all property owners indicated that September 10 is the deadline for property owners to contact the Property Appraiser and file a petition for market value adjustments with the Value Adjustment Board. Item #1A DISCUSSION OF TENTATIVE MILLAGE RATES AND INCREASES OVER THE ROLLED BACK MILLAGE RATES – PRESENTED I'm going to move to Item 1A, which is a discussion of the tentative millage rates and increases over the rolled-back millage rates. The first substantive issue to be discussed is the percentage increase in millage over the rolled-back rate needed to fund the budget and, two, the reason ad valorem tax revenues above the rolled-back rate as calculated on the state-required forms are being increased. The rolled-back rate is defined as the tax rate necessary to generate prior year tax revenues, and this tax rate is calculated not including taxable values associated with new construction, additions, deletions, and rehabilitative improvements. The Board-adopted budget guidance for FY 2022 included a September 9, 2021 Page 13 millage-neutral operating level at levy position. That is the same tax rate as last year, and it has been that way since FY 2010 for the General Fund and for the Unincorporated Area General Fund. The millage rate in the budget you're looking at was, once again, set the -- I'm sorry. The unincorporated area millage rate is set at .8069, same as the prior year with -- the additional marginal ad valorem dollars above the millage-neutral operating levy of .7161 is devoted to maintaining landscape medians. That's a little internal split that we do relative to that millage. Levies for the General Fund in the Unincorporated Area General Fund together represent over 97 percent of the total aggregate taxes levied across Collier County by all our taxing authorities for '22. The FY'22 General Fund and Unincorporated Area General Fund operating, and capital budgets as presented are based on the Board-approved budget policy. Both the General Fund and the Unincorporated Area General Fund proposed tax rates are higher than the rolled-back rate. Collier County taxable values increased over the past 10 years, and the increase for FY'22 is 5.64 percent for the General Fund and 5.75 for the Unincorporated Area General Fund. Within an increasing taxable value environment under millage-rate neutral operating and capital policy guidance that we've adopted, the rolled-back rate will be calculated lower than the millage-neutral rate that this budget is based on. And this is typical and it does, in fact, occur for the FY'22 budget. General Fund budget model places a premium on fiscal flexibility, preserving and protecting required cash balances, maintaining adequate reserves for a coastal location, ensuring that the county's excellent investment quality credit rat ing is maintained, and allocates resources to maintain our substantial public safety, capital infrastructure, and operational investment. September 9, 2021 Page 14 Mindful of this model and fiscal philosophy, the Board each year decides on a tax rate policy and budget decisions t hat are crafted around and incorporated in the budget we're looking at. Referring to Exhibit 1A, Page 1, millage rates for each Collier County taxing authority have been established pursuant to Board guidance. The roster of tax rates adopted by the Board on July 13th, 2021, represents the maximum property tax rates that can be levied for FY'22. The cumulative aggregate rolled-back rate for all Collier County taxing authorities, exclusive of debt service, totals 4.0655 per thousand dollars of taxable value. The proposed aggregate tax rate for all Collier County taxing authorities, exclusive of debt service, totals 4.4407 per thousand dollars of taxable value. This represents an increase of 9.23 percent over the aggregate rolled-back rate and necessitates a notice of proposed tax increase advertisement for TRIM purposes and not simply a budget summary advertisement. Final millage rates will be adopted by the Board on the September 23rd, 2021, meeting. Item #1B REVIEW AND DISCUSSION OF CHANGES TO THE TENTATIVE BUDGET – DISCUSSED 1B, review and discussion of changes to the tentative budget. For tonight's hearing, changes from the FY'22 July tentative budget, as noted within Exhibit 1B, pertain to receipt of the customary Tax Collector's budget which was received in August. That adjustment to the Property Appraiser's budget reflecting final approval by the Florida Department of Revenue, realigning the infrastructure sales tax revenue budget to reflect state estimates, Board-approved changes September 9, 2021 Page 15 from the July 13th board meeting, adjustments to ascertain impact fee adjustments to -- sorry -- adjustments to certain impact fee trust funds, reflecting revenue actually received above the level forecast in July, and other customary and routine revenue or expense adjustments required to support capital projects or operations as the FY'22 fiscal year begins. These fund-level adjustments occur as a matter of normal operations or are necessary in accordance with previous Board action or direction. Detailed budgetary resolution changes are found within Exhibit 1B, Pages 4 through 23, or Packet Pages 45 through 64. A summary of these actions is described within Exhibit 1B, Page 1.3, or Packet Pages 42 to 44. The total gross budget changes amount to 45.8 million, of which 26.2 is the customary submittal of the Tax Collector's total commission budget to the Department of Revenue, which occurs on August 1. Other changes totaling 19.6 rounding that total change out, and of this amount, a most noteworthy adjustment was an $8 million transfer within Solid Waste funds just to realign funding where it needs to be. According to the Tax Collector's statement of commissions and expenditures, the FY'22 budgets total $26,209,300 and is offset by service commissions. The Tax Collector is a fee-based operation and provide collection services for all county taxing authorities. This years' Tax Collector total commission budget represents a decrease of 14.5 percent from FY'21. This decrease is primarily associated with the additional funding included in the '21 budget for capital improvements at the Heritage Bay government center. Turnback from the Tax Collector as well as all the constitutional officers is significant each year and represents excess com missions over actual expenses to run operations. Year-ending turnback by the September 9, 2021 Page 16 Tax Collector to the General Fund for the past two years, '19 and '20, previous two years, total 8.1 million and 8.7 million respectively. Turnback from all constitutional officers to the General Fund the same periods total 10.1 and 10.3 for the entire group. There are no proposed changes to the maximum millage rates set by the Board on July 13th. Madam Chair, the next item on the agenda is public comments and questions. CHAIRMAN TAYLOR: So why don't we start with some comments or questions up here. And do we have any speakers? Item #1C PUBLIC SPEAKERS MR. MILLER: Yeah. I don't have anyone here in the room. I have two registered speakers online at this time. Would you like to hear the speakers first, or do you want to -- COMMISSIONER SAUNDERS: Sure. CHAIRMAN TAYLOR: Okay. So we're going to -- MR. MILLER: All right, Madam Chair. Your first speaker will be Bradley Cornell, and he will be followed by Meredith Budd. Mr. Cornell, I -- you're being prompted to unmute. There you are. Brad, you have three minutes. MR. CORNELL: Thanks, Troy. Thank you, Madam Chair. This is Brad Cornell, and I'm here on behalf of Audubon Western Everglades and Audubon Florida, and I appreciate the opportunity to address you on this tentative budget tonight. I just want to be brief and address one part of the budget, which September 9, 2021 Page 17 is Conservation Collier. Audubon fully supports the proposed budget and the millage rates for Conservation Collier's program. This is one of the few programs and budget items on which you actually received considerable input from the voters of Collier County. As you know, in November of 2020, 77 percent voted -- of voters supported restarting 10 years of conservation land acquisition at the proposed millage rate through the Conservation Collier Program. So Audubon thanks you for supporting that mandate from Collier County citizens. Audubon looks forward to working with you, your excellent staff, and your dedicated Land Acquisition Advisory Committee in the coming year. Thanks very much. CHAIRMAN TAYLOR: Thank you. MR. MILLER: Your next and final registered speaker is Meredith Budd. And, Meredith, you're being prompted -- there you are. You have three minutes, Meredith. MS. BUDD: Thank you, Troy. Meredith Budd on behalf of the Florida Wildlife Federation. I, too, will be brief. Than k you for the opportunity to address you this evening on the proposed tentative budget. I, too, wanted to just thank you for including the millage for Conservation Collier. As Brad had noted, it was overwhelmingly supported by the public, and we are very, very excited to be able to be working with your staff and being able to effectuate getting conversation on the ground here in our county that people can access and re-create and enjoy all the benefits that we see from having conservation lands in our region. We have -- you had recently approved those target protection area letters, and we have an overwhelming response -- the county had an overwhelming response. I believe there were over 45 responses September 9, 2021 Page 18 to those letters that came in -- or, excuse me. There were 45 applications total, and over 35 of those came from the target protection area letters that you-all approved. So I just wanted to thank you again and echo the same sentiments as Brad and say that we are looking forward to seeing this program get off the ground again and see how we're able to get more conservation land for our county and our region. Thank you so very much. CHAIRMAN TAYLOR: Thank you very much. MR. MILLER: Madam Chair, that is all our registered speakers. CHAIRMAN TAYLOR: Thank you. Commissioner Saunders. COMMISSIONER McDANIEL: Thank you, Madam Chair. I actually had two areas I wanted to address. One of them is Conservation Collier, and I wanted to get an explanation from staff as to how that quarter mill kind of plays into the tax increase that you were talking about because, obviously, whenever there's a tax increase, that's of concern. But I want to know how much of that increase is due to the .25 mills for Conservation Collier. MR. FINN: Okay. The 2-point -- so the -- there are three countywide tax millages: The General Fund, of course, and that millage rate is the same this year as it was last year; the Water Pollution Control Fund, which I know is Fund 114, is also countywide. That's a relatively small millage. But that, again, is the exact same millage rate as the prior year. So when we look at all of the countywide millages together, we now need to include the Conservation Collier millage in that group. So that added .25 mills to the group of countywide millag es. As a percentage, that represents a 7 percent increase in the tax rate and, dollars and cents, that is going to generate approximately $26 million September 9, 2021 Page 19 for the Conservation Collier Program. COMMISSIONER SAUNDERS: Okay. And I think the public needed to hear that more detailed explanation. The second area I wanted to address is the issue of reserves for catastrophic storm damage. MR. FINN: Yes. COMMISSIONER SAUNDERS: When Hurricane Irma came through, I think the county must have funded somewhere north of a hundred million dollars in expenses. MR. FINN: Yes, sir. COMMISSIONER SAUNDERS: And a large amount of that was reimbursed through FEMA for collection of debris and that sort of thing. And the county was able to move funds around and kind of play a little bit of a shell game with other reserves to make that happen. I'd like to know what our current situation is with reserves specifically for storm damage. We're kind of in an era now where there's nothing that looks like it's going to impact Collier County next week, but that could happen any day now. COMMISSIONER McDANIEL: Two weeks. COMMISSIONER SAUNDERS: Two weeks, okay. And so, you know, you could imagine another Hurricane Charley, for example, coming ashore 30 or 40 or 50 miles south of where it did back in the old days, and that would be catastrophic. So what's the status of our reserves? And is there a strategy to make sure that we are really prepared to deal with the type of things that we had to deal with, with Hurricane Irma? MR. FINN: Very good question. I've worked with Mark for 10 years now. And one of his key -- key things that he focuses on at all times is ensuring there's sufficient reserves to provide for both disasters, as we're discussing, but other -- other needs to have flexible capacity in the budget. September 9, 2021 Page 20 The Hurricane Irma -- I did take a quick look at that. The total outflow for Hurricane Irma order of magnitude was $104 million. Twelve months out from that event, the county was still funding up approximately $76 million of that amount, two years out we were still funding up 26 million, and right at the moment we're still funding up about 11 million in that outflow. So that was handled through a combination of reserves that were available but largely also delaying capital projects both in the solid waste and in the utilities side of the house and using those funds to supplement the reserves that were available. When we look at the total reserve picture, it's quite substantial. We just talked briefly about Conservation Collier. Conservation Collier has in excess itself of $30 million in reserves. Now, we wouldn't go to that reserve as a first call, but if need be, we would go there knowing that it would eventually be paid back through a combination of FEMA and reimbursements from other funding sources. So, generally speaking, I think we're in good shape. The last thing I'll mention is some of the reserves, particularly in the General Fund, are absolutely necessary to fund operations for the first two months of the year. The Sheriff -- the constitutionals and other outflow that occurs before taxes come in are in excess of $30 million a year. That cash needs to be right there and on hand that day. That doesn't include kind of the normally accounts payable things that are going on in the General Fund. So order of magnitude , that need for cash is about 30, $35 million. COMMISSIONER SAUNDERS: Okay. So in your opinion, we're in good shape if we had another storm similar to Hurricane Irma, that type of damage; we have the funds available to react positively? MR. FINN: Yes, sir. We are in better shape today than we were when Hurricane Irma hit, and we were able to weather September 9, 2021 Page 21 Hurricane Irma. That is with some impact to capital programs but nothing that was fatal to any capital program. COMMISSIONER SAUNDERS: All right. Thank you. MR. FINN: You're welcome. CHAIRMAN TAYLOR: Any other questions? Commissioner McDaniel. COMMISSIONER McDANIEL: Yeah. I had a question for Commissioner Saunders because you had made mention about Conservation Collier. And the last time you spoke about it you weren't quite sure what rate you were interested in doing. Do you have an interest in making an adjustment in that proposed rate? Because the language said "up to." COMMISSIONER SAUNDERS: Exactly. COMMISSIONER McDANIEL: It's at our discretion. And, personally -- of course, you know I haven't ever been an advocate of raising taxes for Conservation Collier in the first place, but I -- again, this -- folks are still suffering from this virus. There's enumerable circumstances that are going on, and I just -- I wanted to ask your -- COMMISSIONER SAUNDERS: A very good question. I think I'm going to have to answer that kind of in the negative, and I'll explain why. We had a 77 percent approval of the ballot question which did say up to .25 mills. COMMISSIONER McDANIEL: Right. COMMISSIONER SAUNDERS: And I think anybody reading that, knowing government, assumed it was going to be .25 and not something less than that. So I think that sticking with the .25 -- and I had some conversations with our staff earlier about that very issue, about should it be .25, and that's a pretty substantial tax increase. I think staff said it's about a 7 percent increase. But I think that we need to stick with that. We can always lower it if that becomes problematic in the future, because I assume that this is an issue that September 9, 2021 Page 22 we will discuss every budget cycle. But I think -- for this cycle, I think, we -- I think we have an obligation to stick with the .25. COMMISSIONER McDANIEL: Okay. CHAIRMAN TAYLOR: All right. So seeing no other comments, I think we can sort of announce the tentative millage rates and percentage changes. Item #1D ANNOUNCEMENT OF TENTATIVE MILLAGE RATES AND PERCENTAGE CHANGES IN PROPERTY TAX RATES MR. FINN: Thank you, Madam Chairman. Do you have any interest in reading those, or would you like me to do it? CHAIRMAN TAYLOR: No, no. I think, sir, you'll do a fine job of that. MR. FINN: I appreciate the confidence. Thank you so much. Okay. This is -- I apologize, but pursuant to the requirements, we are obligated to read these or announce the tentative millage rates, the percentage change in the property rates, the tax rates, and the rolled-back rate. This refers to Tab 1E, the millage resolution tab, where you find the resolution provided for the tentative millage rates. Florida TRIM statutes require that the rolled-back millage rates, tentative millage rates, and percentage change from rolled-back rate be read into the record prior to the adoption of the tentative millage rates under Agenda Item 1E. The General Fund, 001, proposed millage rate 3.5645; the rolled-back rate of 3.4577; percentage changed from rolled-back rate, 3.09 percent. Water Pollution Control, Fund 114, proposed millage rate September 9, 2021 Page 23 0.0293; the rolled-back rate, 0.0284; the percentage change from rollback, 3.17 percent. Conservation Collier Program, Fund 172, proposed millage rate, 0.2500; rolled-back rate is 0. There is no -- there's no calculated change from rollback. Unincorporated County Area MSTU General Fund, proposed millage rate, 0.8069; the rolled-back rate, 0.7864; the percentage change from rollback, 2.61 percent. Golden Gate Community Center, Fund 130, proposed millage rate, 0.3814; rolled-back rate, 0.0293 -- I beg your pardon. I'll start over. Golden Gate Community Center, 130, proposed millage rate, 0.1862; rolled-back rate, 0.1766; percentage change, 5.44 percent. Victoria Park Drainage MSTU, Fund 134, proposed millage rate, 0.3814; rolled-back rate, 0.0293; percentage change, 1,201.7 percent. Naples Park Drainage MST&BU, Fund 139, proposed millage rate, 0.0049; rolled-back rate, 0.0049; change from rollback, 0 percent. Vanderbilt Drive MSTU, Fund 143, proposed millage rate, 0.5000; rolled-back rate, 0.4869; percentage change, 2.69 percent. Ochopee Fire Control District, Fund 146, proposed millage rate, 4.0000; rolled-back rate, 3.8738; percentage change from rollback, 3.26 percent. Goodland Fire Control District, Fund 149, proposed millage rate, 1.2760; rolled-back rate, 1.1764; percentage change from rollback, 8.47 percent. Lely Golf Estates Beautification MSTU, Fund 152, proposed millage rate, 2.0000; rolled-back rate, 1.9497; percentage change from rollback, 2.58 percent. Golden Gate Parkway Beautification MSTU, Fund 153, proposed millage rate, 0.5000; rolled-back rate, 0.4654; percentage September 9, 2021 Page 24 change from rollback, 7.43 percent. Hawksridge Stormwater Pumping MSTU, Fund 154, proposed millage rate, 0.0354; rolled-back rate, 0.0354; percentage change from rollback, zero. Very good. I'll reread Hawksridge Stormwater Pumping MSTU, Fund 154. Proposed tax rate, 0.0354; rolled-back rate, 0.0354; change from rollback is zero. Forest Lakes Roadway and Drainage MSTU, Fund 159, proposed millage rate, 4.0000; rolled-back rate, 1.3294; percentage change, 200.9 percent. Immokalee Beautification MSTU, Fund 162, proposed millage rate, 1.0000; rolled-back rate, 0.9596; percentage change from rollback, 4.21 percent. Bayshore Beautification MSTU, 163, proposed millage rate, 2.3604; rolled-back rate, 2.2085; percentage change from rollback, 6.88. Haldeman Creek Dredging MSTU, Fund 164, proposed millage rate is 1.0000; rolled-back rate is 0.9414; percentage change is 6.22 percent. Rock Road Improvement MSTU, Fund 165, the proposed millage rate is 1.3413; the rolled-back rate is 3.4763; the percentage change from rollback is minus 61.4 percent. Vanderbilt Waterways MSTU, Fund 168, the proposed millage rate is 0.3000; rolled-back rate is 0.2884; the percentage change from rollback is 4.02 percent. Forest Lakes MSTU Debt Service, Fund 259, has 0 millage for next year. You may have noted that when I read Forest Lakes MSTU operating that that millage had increased to 4. The debt service has been paid off, and the portion of the millage attributable to that was shifted up into the operating category pursuant to the advisory board's recommendation. So that is -- the rollback for the September 9, 2021 Page 25 Forest Lakes Debt Service is 2.5293. That is a 100 percent reduction from rollback in that case. Blue Sage Drive MSTU, Fund 341, the proposed millage is 3.0000; the rolled-back rate is 3.0287. That is a 0.95 percentage reduction. Collier County Lighting District, Fund 1 -- Fund 760; proposed millage is 0.1315; the rollback is 0.1315. That is a 0 percent increase from rollback. And the Pelican Bay MST&BU, Fund 778, the proposed millage is 0.0857; the rolled-back rate is 0.0856. That is 0.12 percentage increase. The aggregate millage rate proposed is 4.4407. The rolled -back rate is 4.0655. The aggregate change from rollback is 9.23 percent. I know you're all as excited as I am that we're through that. Item #1E RESOLUTION 2021-163: ADOPTEDF THE TENTATIVE MILLAGE RATES – ADOPTED Item 1E, resolution to adopt the tentative millage rates. Commissioners, a motion to adopt the tentative millage rates for FY 2022 as contained within the resolution would be in order at this time. Millage rates can be adopted by a single majority vote. We could go from there. CHAIRMAN TAYLOR: All right. Do I hear a motion to adopt the millage rates as presented? COMMISSIONER SAUNDERS: I'll make that motion, Madam Chair. CHAIRMAN TAYLOR: I'll second it. Oh, excuse me. COMMISSIONER SOLIS: Just one quick question. I just September 9, 2021 Page 26 want to confirm that the millage rate, the 4.4407, that's the proposed millage rate? MR. FINN: I'm sorry, sir? COMMISSIONER SOLIS: The proposed millage rate of 4.4407 is what we're being asked to approve? MR. FINN: You're approving the individual rates as well as -- COMMISSIONER SOLIS: Right. MR. FINN: -- as well as that conceptual aggregate rate. COMMISSIONER SOLIS: Right. Again, I'm just wanting to clarify this for those listening out there. Of that 4.4407, .25 mills was what was approved for Conservation Collier? MR. FINN: Yes, sir. That includes the additional millage of .25 for Conservation Collier that was approved by the electors by a 77 percent margin in November 2020. COMMISSIONER SOLIS: Okay. I just wanted to make that clear. Okay. CHAIRMAN TAYLOR: Commissioner LoCastro, any comments? COMMISSIONER LoCASTRO: No, ma'am. But, you know, the questions that you-all have asked, I appreciated the answers. And I had a pre-brief the other day from the team, so I don't have any additional questions. They answered all mine. CHAIRMAN TAYLOR: Thank you. So there's a motion on the floor and a second. All those in favor, say aye. COMMISSIONER SOLIS: Aye. CHAIRMAN TAYLOR: Aye. COMMISSIONER SAUNDERS: Aye. COMMISSIONER McDANIEL: Aye. COMMISSIONER LoCASTRO: Aye. CHAIRMAN TAYLOR: Those opposed -- those opposed, like September 9, 2021 Page 27 sign. (No response.) CHAIRMAN TAYLOR: It carries unanimously. MR. FINN: Very good. Thank you so much. Item #1F RESOLUTION 2021-164: ADOPTING THE AMENDED TENTATIVE BUDGET – ADOPTED Item No. 1F, resolution to adopt the amended tentative budget. Commissioners, this refers to Tab 1F, a budget resolution tab, where you'll find the resolution providing for adoption of the '22 amended tentative budget. Your action on this item will include the changes discussed under Agenda Item 1B. The amended tentative budget can be adopted by a single majority vote. COMMISSIONER McDANIEL: Move for approval. COMMISSIONER SAUNDERS: Second. CHAIRMAN TAYLOR: There's a motion on the floor and a second to adopt the budget as presented under 1F. All those in favor, say aye. COMMISSIONER SOLIS: Aye. CHAIRMAN TAYLOR: Aye. COMMISSIONER SAUNDERS: Aye. COMMISSIONER McDANIEL: Aye. COMMISSIONER LoCASTRO: Aye. CHAIRMAN TAYLOR: Those opposed, like sign. (No response.) CHAIRMAN TAYLOR: It carries unanimously. Item #1G September 9, 2021 Page 28 ANNOUNCEMENT OF FINAL PUBLIC HEARING – THURSDAY SEPTEMBER 23, 2021 5:05 P.M. MR. FINN: Very good. Thank you, ma'am. The last item is announcement of the final hearing public hearing. The final public hearing on the FY'21/'22 Collier County budget will be held on Thursday, September 23rd, 2021, at 5:05 p.m. here in the Collier County Government Center, the Harmon Turner Building, Building F, third floor boardroom, Naples, Florida. That is all I have, ma'am. CHAIRMAN TAYLOR: All right. Any other comments? (No response.) CHAIRMAN TAYLOR: Thank you very much. The meeting is adjourned. ******* September 9, 2021 Page 29 There being no further business for the good of the County, the meeting was adjourned by order of the Chair at 5:52 p.m. BOARD OF COUNTY COMMISSIONERS BOARD OF ZONING APPEALS/EX OFFICIO GOVERNING BOARD(S) OF SPECIAL DISTRICTS UNDER ITS CONTROL _______________________________________ PENNY TAYLOR, CHAIRMAN ATTEST: CRYSTAL K. KINZEL, CLERK ___________________________ These minutes approved by the Board on ____________, as presented ______________ or as corrected _____________. TRANSCRIPT PREPARED ON BEHALF OF FORT MYERS COURT REPORTING BY TERRI L. LEWIS, RPR, FPR-C, COURT REPORTER AND NOTARY PUBLIC.