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BCC Minutes 06/23/1997 B (Budget Workshop)BUDGET WORKSHOP MEETING OF JUNE 23, 1997 OF THE BOARD OF COUNTY COHMISSIONERS LET IT BE REHEHBERED, 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 9:05 a.m. in BUDGET WORKSHOP SESSION in Building "F" of the Government Complex, East Naples, Florida, with the following members present: ALSO PRESENT: CHAIRMAN: VICE-CHAIRMAN: Timothy L. Hancock Barbara B. Berry Pamela S. Hac'Kie John C. Norris Timothy J. Constantine Robert Fernandez, County Administrator Mike HcNees, Asst. County Administrator Michael Smykowski, Budget Director CHAIRMAN HANCOCK: Good morning. Going to call to order the final day of the budget workshop. We've got wrap-up. Before getting to those, let's go ahead and have a Pledge to the -- Pledge of Allegiance to the flag, please. (The Pledge of Allegiance was recited in unison). CHAIRMAN HANCOCK: I'm sorry. I didn't mean to misspeak. We, obviously, have some items before we get to wrap-up this morning, but -- MR. SMYKOWSKI: I feel better now. CHAIRMAN HANCOCK: Yeah. Don't worry, Mr. Smykowski, I wasn't leaving any out. MR. SMYKOWSKI: Okay. We have a pretty full agenda. We will deal with wrap-up. For the benefit of those who might be here for wrap-up already, wrap-up will probably not be for a couple of hours. We have to get through the enterprise fund, the internal service funds and the trust funds first. So, for the benefit of all -- and then there is a wrap-up list. We'll walk through those. If there are wrap-up items that come up today, Mr. Chairman, just because of timing logistics, we may just have to tag those onto the end of the board meeting tomorrow if possible just because there are -- there are no other times prior to your vacation that the board will be meeting to resolve any issues, and the tentative budget would have to be released prior to that. CHAIRMAN HANCOCK: Well, I think there's -- it's going to move a little quicker than you think because not all these things are things that I remember specifically the board saying we wanted information on. Wrap-up is not a time for departments who don't like what they got or didn't get to come back and make a new pitch. So, if the board, at the -- at the outset of any wrap-up item doesn't recall really requesting that we hear more information on that item, then we will just move through it and go to the next one. So, hopefully, those won't bog us down to a lengthy discussion. MR. SMYKOWSKI: In certain cases, we did -- there was questions, and we erred on the side of putting it on the list at this point. Obviously, it's your discretion over what items you would like to discuss again. CHAIRMAN HANCOCK: Agreed. For the rest of the board, I have a doctor's appointment today. I have to take a lunch at noon or right at noon. So, if we're in the middle of something, I'll just turn the meeting over and boogie on out of here. Let's go ahead and get started, Mr. Smykowski. MR. SMYKOWSKI: Okay. I'm going to turn it over to Mr. Tindall, the senior budget analyst, and we are going to begin with our utility fund. MR. TINDALL: Good morning, Mr. Chairman and commissioners. For the record, Phil Tindall from the budget office. Can you hear me okay? CHAIRMAN HANCOCK: Yes. MR. TINDALL: We're going to start off with Fund 408 which is the county water sewer district, and as you can see, it's in total of -- COMMISSIONER CONSTANTINE: Page and a book, please. MR. TINDALL: -- a fifty million dollar bond. COMMISSIONER MAC'KIE: Page. MR. TINDALL: I'm sorry. We're going to start out on Page E-2 in the detail book and E-2 in the summary book. COHHISSIONER HAC'KIE: That was easy. CHAIRMAN HANCOCK: Mr. Tindall, please continue. MR. TINDALL: Yes, sir. If you'll note from Page E-2 of the summary book, we have a total of 21.3 million dollars in operating expenses for the total request of FY '98 which includes 256,500 of expanded service requests which are broken out for you here on Page E-5. Just as -- for the purpose of perspective, total expanded service requests a year ago were almost 1.2 million, so the departments have shown quite a bit of restraint this year, and I can tell you, I've worked real closely with Mr. Newman and Mr. Clemons, and they took a pretty jaundiced eye towards any new requests, and they did a lot of cutting before bringing the budget to us, but as you can see, overall in operating expenses, we are talking about a, approximately, 1.4 percent decrease between the total request for '98 and the adopted budget for '97. Host of that is attributable to decreases in the wastewater operating fund primarily because of the fact that the consultant's estimate of the operating costs for operating the north county plant were -- turned out to be somewhat high, and basically, these adjustments are just bringing it more in line with realistic operating costs. That's about all I have to point out on that page unless there are any additional questions. CHAIRMAN HANCOCK: Questions from the board? COHMISSIONER HAC'KIE: I -- I have just some general overall questions. Is this the right place for those? MR. TINDALL: Yes, ma'am. COHMISSIONER HAC'KIE: When -- when I -- when I was looking at this budget, I was harkening back to when we were talking about privatization or the possibility of privatizing and the county manager, Neil, told us at the time, no, no, no, this is not my bid. Do you remember that, that he told us, you know, if we were to go out to bid, I said, well, surely your budget is your bid, and he said, no, no, that wouldn't be my bid. So, I took this budget and just did some comparing with other counties, frankly called some folks in Lee County, and, you know, they privatize lately and they're -- they reduced employees by about 30 percent. They moved them to other places. There's just a whole lot of general overall basic questions I have about whether or not we couldn't do a whole lot more efficient job in here, and I can point out some of them that I was able to get a handle on and tell you about those of those if you would like to hear them. For one that seemed pretty easy to me is on Page E-10 of the detail. We are talking about water operations here. On the business about flushing the system, we have four and a half FTEs. We have six FTEs on new meter installation. I had asked, you know, how many -- how many meters per day should a person be able to install, and then how many -- you know, what would be the resulting FTEs from that. I was told that, you know, ten per day would be a pretty good standard, maybe eight, maybe ten, including driving time and that kind of stuff which made me ask, you know, how many new meters do we install. I mean, how do we get to six because that would mean we have a whole lot of new meters being installed? I wonder if that number couldn't be lower. I wonder if on the system flushing number, the FTE is four and a half. You know, basically what that is is they go to the -- CHAIRMAN HANCOCK: It's opening up the end of the line. COHMISSIONER HAC'KIE: Yeah, blow out some water. In Lee County, they are doing that with one person, and they say that they ought to be able to do 50 of those a day per person or, frankly, that meter readers could do that while they are out on their route. So, there's another four and a half. We've got three in administration on that page. I'll stop with that page, but you kind of get the theme here as, in general, number one, we know that this is not the best deal we can get from our own staff because Neil told us that, that this was not his bid. Number two, you know, with some comparisons to other counties, it looks like there's maybe a 30 percent fluff in there of -- you know, that a private company, anyway, could do it for 30 percent less, so -- MR. McNEES: Mr. Chairman, let me clarify the Neil quote, and then I'll let Mike and Tim deal with the specifics. What Neil was saying when he was saying no, this is not our privatization bid was we haven't first designed any specifications for what services or what level of service in particular we would be asking for from a privatization vendor -- COMMISSIONER MAC'KIE: The same. MR. McNEES: -- against what's in this budget. In other words, a privatization vendor would not do some of the maintenance type of things, would not do the level of flushing, would not provide the level of service that you have come to expect from your utility. What he is saying is, if we were to design specifications for a privatization vendor, then we would provide a bid to meet those specifications which would not be the same as the level of service you're providing to your utility customers today. COMMISSIONER MAC'KIE: But Mike, that really enforces the point that if -- that -- from what I've learned a little bit just from a tiny bit of research, and I acknowledge that it isn't a significant amount of research, but that flushing the system more than necessary is just wasting water. MR. McNEES: I think Mr. Newman ought to address that one. MR. NEWMAN: Good morning, commissioners. For the record, Mike Newman, your water director. Just kind of start at the top of the list there. As far as meter installations go, I can assure you there are no crews in the State of Florida that are doing ten full meter installations a day. What you probably are comparing back to, and it's an apples to oranges type of comparison, is there are utilities where the underground contractor at the time of installation, he installs the service line and all the apparatus other than just screwing the meter on. That's not the case in this system. Our people have to actually excavate the line, make the tap. Developers have that option here. They can either put in the services themselves, in which case we do the meter hangs, in which case we meet that ten or better installs a day -- COMMISSIONER MAC'KIE: Why wouldn't we make developers do all of that preliminary work? Why would we, you know, charge the general rate payer to do that when the developer could be required to do that? MR. NEWMAN: The cost, ultimately, is born by the customer. Either the developer has the work done and then charges it as part of the lot cost or that cost is born by the customer. I can assure, you based on the conversations we've had with the developers that are doing this themselves, they are paying more per that unit of work than what we are charging our customers directly. Some of them take the advantage and move forward on that simply because they don't want us to come back and tear up their grass to do the installation after the fact. COHMISSIONER HAC'KIE: You see, that's the general system, is paying for that work if you do it. MR. NEWMAN: No, it's not. That's a user fee that the user pays at the time they make application. They pay a specific fee when you come in and apply for service that only that user pays that bears that cost. It's not borne by the general rate payer. COHMISSIONER HAC'KIE: So -- so, the developer can pay you to do it or he can do it himself, and it's cheaper if he pays you? MR. NEWMAN: Pretty much. It's cheaper for the customer, and the developer -- the only reason they do it is because they want the advantage of timing or they don't want us to come back and disturb the landscape that they put into some of the projects. As far as the flushing goes -- COHMISSIONER HAC'KIE: Uh-huh. MR. NEWMAN: -- we -- we are fairly aggressive. We have the type of community here that the type of development that's going on in this community is typically a cul-de-sac type community. What you will see through Lee County is that's more of a grid system there. It's an older type community, and grid systems were popular in the old days. Grid systems are all interconnected. They do not have the amount of dead end lines that we have in this community. Almost every project that goes in is almost exclusively dead end systems. I can assure you right now, with the number of people that we have on the flushing crews, we are not meeting all of our obligations under the law right now. Now -- MR. HcNEES: Let me tie this to something. Excuse me, Hike, if I can interrupt you for just a second. You'll recall when we talked about utility standards, you may have heard from your developer friends' conversations about looping and how important Mr. Newman felt like looping was in the design of utility systems. Well, the builders, frankly, hate looping because it increases their cost, and it increases the number of feet of utility pipe they have to put in the ground. Well, the compromise is, okay, we won't require that you loop your system to maintain the circulation of the water and the chlorine residuals, the trade-off is -- in fact, this is something Hike and I have talked about a lot of times over the years -- the tradeoff is, we'll hire more people -- rather than require the builder or the developer to do more looping, we'll hire more people to do flushing, so that he can maintain his chlorine residual in those dead end lines, particularly here where you have people who aren't here all summer who may be on the cul-de-sacs, and not only is a cul-de- sac, but there's nobody using water at the end of the system, and if Hike falls out of compliance for his residuals in that dead end part of the system, then he's got problems with DEP and notification issues. So, that, frankly, is a trade-off. You don't do looping, and you don't make those connections. You hire more people to do flushing in order to remain compliant with the DEP regulations. COHMISSIONER CONSTANTINE: When was the last time we had a general rate increase? MR. CLEHONS: I think it was 1989. Tim Clemons, wastewater director. I believe it was 1989. Ed Finn could speak better to that, commissioners, than I can, but -- MR. FINN: Thank you, Tim. Mr. Chairman, Edward Finn, public works operations director. The last rate study was conducted in '91. There was a rate revision at that point in time. Those rates have been the same since 1991. COHMISSIONER CONSTANTINE: And we are clearly not operating at a loss now? MR. FINN: Actually, the -- whether the utility operates at a surplus or a loss is contingent upon the amount of annual pays. You've got capital used to fund capital projects. MR. HcNEES: That's a no -- COHMISSIONER CONSTANTINE: Thank you. MR. HcNEES: -- we are not operating at a loss. MR. FINN: That is correct. COHMISSIONER CONSTANTINE: My point is, obviously, we want to run as efficiently as we can, but if in seven years, we haven't had to have any rate increase and those rates are considerably lower than the competing systems such as SSU or whatever their new name or Florida Cities, we are doing something right, and I don't blame you if we want to trim it even more, and if we can, great, but I don't want anyone to get the impression that we're not running an efficient ship. COHMISSIONER HAC'KIE: We are running an efficient ship from the revenue side. I mean, I don't think that the rates are -- are extraordinarily high. I just think that we can't lose sight of the fact that they can be lower, and it's our responsibility to make them as low as possible -- CHAIRMAN HANCOCK: I would -- COHMISSIONER HAC'KIE: -- or if some of those -- you know, some other sort of general questions I have is what kind of -- what -- what kind of fees do you guys pay -- does this department pay to the county attorney's office? Is there -- are there ways to get money from this into the general fund through -- MR. FINN: Mr. Chairman, if I could -- COHMISSIONER HAC'KIE: -- rents and county attorney fees and OCPH, and are those high enough? MR. FINN: Yes, ma'am. If I may address that, Edward Finn. There is a charge back to the general fund. It's called an indirect service charge where the payment from the utilities department, Collier County Water Sewer District, if you will, to fund internal general fund operations in excess of 1.2 million dollars. The payment to OCPH occurs through capital projects. Typically, that fee is 5 to 10 percent of the capital project's total. That is, again, paid by the water sewer district. In looking at the overall rate structure of the water sewer district, you'll find that in excess of 33 percent of the rates is required to support the debt service on the infrastructure that's currently in place leaving relatively limited flexibility in what the rates can be. COHMISSIONER HAC'KIE: Understood, and I'm not going to beat this to death, but just because I'm going to -- I want to give you one more example. On page E-16, just to pick on sewers since I picked on water, we have 95 employees. We have five supervisors. One -- one that seems sort of obvious to me is that we have 19 people in maintenance. You know, in Lee County, that number is 11. In the camera and vector with -- you know, what they do is send the camera through and check the utility lines. I'm told the industry standard is that one employee should be able to do 500,000 feet. That would mean we are doing two million with these four employees. We've got five supervisors, which, I guess, we would need since we've got 95 employees. I just think that there's a whole lot of activity here that a private company would do a lot more efficiently, and I would like to think that we could do it more efficiently as opposed to a private company doing it. COMMISSIONER CONSTANTINE: Commissioner Mac'Kie, can I ask you a question? You mentioned a minute ago that you've been told that flushing is a waste of water and -- COHMISSIONER HAC'KIE: No, if you overdo it, it's a waste of water. COHMISSIONER CONSTANTINE: Okay. I was going to say, because what I heard Mr. HcNees say is to make sure we maintain some requirements. COHMISSIONER HAC'KIE: Oh, yeah. CHAIRMAN HANCOCK: Your points are very well taken. I think they are appropriate. They are all areas we need to look at. I received the same presentation from representatives of ST Environmental Services, apparently, that you did, and as much as they are a private vendor, and they are going to look through an area and determine where they can be more efficient than maybe we are, I think we have the responsibility throughout the year to take a look at those individual areas, and if we can begin looking at either specific areas that we, as a county, cannot do as well as a private sector group, that's a privatization discussion, and we need to have it piece by piece, bit by bit rather than maybe a system-wide approach. I don't know if we are ready for that. The one thing I explained to them, and I feel a need to remind everyone, is we just began what I'll call a long-term maintenance program with some authority last year. It was the first year that we started putting real dollars into maintenance because we have a 12 year old system that when it dies, it's going to die in whole. We are not going to see a piece over here and a piece over there. We put a lot of infrastructure in in a short period of time which means when that infrastructure starts to go bad, the amortization is not going to be section by section. It's going to be grid piece by grid -- I mean, it's going to be on a larger scale. So, we are a little different in that respect. So, I think there are some service areas, and you mentioned the vector side, they have new equipment that they have actually got a patent on that does cleaning and this and that and the other. I agree 100 percent. Let's look at those things throughout the year and see if, in fact, we can take what is being looked at as operation and turn it maybe into capital so that we can do better system expansion and so forth and so on. Unfortunately, I don't have enough of a foothold on that information to do -- to really move forward on this budget cycle, and I don't know if you do. I didn't get into it deep enough to accomplish that. COHMISSIONER HAC'KIE: Well, frankly, I -- I had sought that information out. I did get the pitch on that irrigation thing or whatever it was too, but I had been talking to them some over the year, them and others, frankly, about -- you know, it just stuck in my mind that comment of Neil's that no, this isn't my bid. This is not my bid, and I don't think that I'm prepared today to say here are all the cuts that I think we ought to make and list them out. I wanted to bring all that to your attention and, hopefully, we'll look at it through the year on a piece by piece basis. I -- I had hoped, frankly, that if I brought some of this up today, some of you would have heard the same things and might also be able to join in and have some ideas. CHAIRMAN HANCOCK: In some ways, water and sewer, I look at it in a similar light that we look at EHS. We can have a cheaper EHS system. We can have advanced life support cheaper than we provide as a county. I don't think we can have it better. When you're dealing with water and wastewater. I think that type of quality argument has to enter the picture, and that's the problem with privatization is it's very difficult to put quality versus quality in some of that. COHMISSIONER HAC'KIE: I'll tell you to talk to some of your counterparts in Lee County, and even the ones who were very negative are, as I've talked to them, very, very positive about how -- you know, the turn of events up there overall. MR. HcNEES: Mr. Chairman, if I could offer maybe a solution here. We are looking at some specific variables kind of in a vacuum. We are looking at "X" employees in Collier County, "Y" employees in Lee County for a specific function. Well, there's a whole lot of other variables that come into play, and, you know, how many linear feet of line in a particular area and how many lift stations, which is one of the huge numbers in Mr. Clemons' system, and how far spread they are, perhaps if you can provide to us the information you're looking at, I expect probably already in their files in their offices, these two fellows have comparable information and have already done a considerable amount of research. In fact, they are intimately familiar with the status of things in Lee County. They keep up with that as a way to keep themselves honest and to make sure that they can answer legitimately the kind of questions you're asking, which they'll be happy to do. So, if you can provide to us some of that information, then maybe we can do a better job of explaining to you what the variables are that affect our system, why we are doing things the way we are and, you know, if you're not satisfied with that, we'll be happy to go back to work on it, but they -- COHMISSIONER HAC'KIE: My last comment is sort of along those same lines, and that is, a couple of years ago when I first came on the board, there was talk about an audit; maybe that the clerk's office was doing an audit of utilities, and I don't ever remember getting it. Was it ever completed? MR. NEWMAN: Yes, ma'am. MR. FINN: Yes, ma'am. COHMISSIONER HAC'KIE: Is it something -- I mean, was it -- did we discuss it as a board or -- COHMISSIONER CONSTANTINE: Mr. HcNees or Mr. Fernandez, perhaps you can pass a copy of the audit on to her and -- COHMISSIONER HAC'KIE: Let's go from there. CHAIRMAN HANCOCK: There's -- the points you've raised are things, I think, we're going to be discussing from an operational standpoint as the coming year -- there are no sacred cows, and just because we haven't had an increase in six or seven years doesn't mean we're not going to take a hard look at something if someone waves a red flag. So, let's turn our focus to doing that over the next year a piece at a time, and maybe next budget year, a lot of these things will come together under a single discussion. COMMISSIONER MACwKIE: That makes sense to me. CHAIRMAN HANCOCK: Any further questions on water or wastewater utilities? Seeing none, thank you, gentlemen. That was almost a workshop discussion on utilities. Next, Mr. Smykowski. MR. TINDALL: Mr. Chairman, we also have some other utilities funds to discuss. CHAIRNLAN HANCOCK: Okay. MR. TINDALL: If you look on Page E-7 of the summary book, notice there are several other smaller funds that two utility districts, the Marco Water Sewer District and Goodland Water District as well as a couple of inactive funds and the county debt service, the utilities debt service Fund 410. You may want to talk about Fund 410 first. Thatws the utility debt service, and Mr. Finn is here. CHAIRNLAN HANCOCK: Actually, I want to talk about 431. MR. FINN: Yes, sir. CHAIRMAN HANCOCK: Marco Water and Sewer has a 12 percent increase. Can someone tell me why? MR. FINN: Yes, sir. That 12 percent increase is primarily driven by the increase in reserves there. There was a two tiered rate adjustment. The second tier went into effect this fiscal year. That brings that fund current with its, essentially, operating costs. As you may recall, we essentially buy service from SSU to treat the sewage in that area. SSUws costs have gone up dramatically over the last several years. The board approved rate increases recently to bring that up on par. That should provide some funds to allow Mr. Clemons to do some critical maintenance activities that need to be done desperately. CHAIRMAN HANCOCK: Basically, an aging system. MR. FINN: Yes, sir. MR. CLEMONS: Yes, sir. COMMISSIONER NORRIS: It is, and what the story is, as Mr. Finn says, we -- we have to pay SSU for whatever they charge us. We donwt have any control over really what they charge us. So, instead of making a -- I donwt recall the figure, but it was a -- 60 percent was it? MR. FINN: It was substantial, yes, sir. COMMISSIONER NORRIS: We went two years of 30 percent increase instead of one year of 60 or something to that effect. So, we did -- we split it over two years instead of -- CHAIRMAN HANCOCK: Like several shots with a small needle instead of one with a big needle. COMMISSIONER MACIKIE: Yeah. COMMISSIONER NORRIS: And thatls -- thatls why itls up. CHAIRMAN HANCOCK: Okay. I just -- when I see that kind of a jump, it just catches my eye. Letls go back to 410 unless therels any questions on 431, because that actual to adopted to forecast is a little bit confusing when you look at going from ten to twenty million from actual to adopted and then forecast back down to ten million. Somebody tell me about that roller coaster. COMMISSIONER MACIKIE: Uh-huh. MR. FINN: Yes, sir. When you look at the actual, the debt service -- typically, bonds have a substantial -- a reserve requirement. The reserve requirement in this case is close to ten million dollars. When the budget office actually shows you the actual number, of course, the reserves are not expended, so what you are seeing there is nothing more than the money that actually went out to debt service. When you look at the budget, the adopted budget in the next column, you'll see that ten million dollars, roughly speaking, put back in there. CHAIRMAN HANCOCK: So, basically, that's reserves plus what's anticipated to be expended. MR. FINN: Yes, sir. That's correct. MR. SMYKOWSKI: And those reserves are established by a bond covenant. There is no latitude to change those. CHAIRMAN HANCOCK: No padding of the budget there then. MR. FINN: No, sir. COMMISSIONER MAC'KIE: I had questions on 421 and 433, just that they both appear to be inactive. One is East Naples fire hydrants that it was decided in '82/'83 to delay it indefinitely. There's just, you know, $10,000 in there, but how long does that continue to be carried before it's refunded or -- MR. FINN: If -- if I may address that. COMMISSIONER MAC'KIE: Please. MR. FINN: We have requested the county attorney's office to look into a way to either refund that or expend the money. I believe their verbal recommendation to me is, it probably would be most cost effective to find a way to simply use it in the same intent that the money was levied. COMMISSIONER MAC'KIE: The same sort of question with 443 which is sewer service area B, whatever that is, no longer active. It's got about 6,000 bucks in it. MR. FINN: And the same applies there, ma'am. COMMISSIONER MAC'KIE: Thanks. CHAIRMAN HANCOCK: Can we ask that sometime in the next fiscal year we see both of those funds come back for improvements to expend those dollars and take these off the books rather than looking at them? I think it's a good point. MR. FINN: Yes, sir. CHAIRMAN HANCOCK: Not -- great. COMMISSIONER NORRIS: Harry Hall will be here to talk to us about area B. COMMISSIONER MAC'KIE: Who will? COMMISSIONER NORRIS: Harold Hall. CHAIRMAN NORRIS: That's what area B is. Okay. COMMISSIONER MAC'KIE: I don't know who Harry is. CHAIRMAN HANCOCK: Well, just count your lucky chickens. COMMISSIONER MAC'KIE: Okay. CHAIRMAN HANCOCK: Any other questions on miscellaneous enterprise funds, 410 through 433? And Commissioner Berry, we have greatly overlooked the fact that this is your first budget. Through many of this, the enterprise funds were probably the most confusing to me as we went through them, but if you have any questions, I'm sure Mr. Finn and these gentlemen will be happy to -- it took me two years just to figure out half of them. COMMISSIONER MAC'KIE: Isn't it fun this year to finally get it, you know. CHAIRMAN HANCOCK: Yeah. COMMISSIONER MAC'KIE: This is my third budget, and I think I'm getting all of it this time. CHAIRMAN HANCOCK: I told John I thought this was an easier budget, and he said, no, I was just getting used to it, so -- COHMISSIONER HAC'KIE: He's just getting it. CHAIRMAN HANCOCK: That may be it. Any other questions on enterprise funds? Seeing none, Mr. Constantine, if you're done with Mr. Smykowski, we could probably use him. MR. TINDALL: Mr. Chairman, if there are no more questions on the utilities operating funds, Mr. Vincent will cover the solid waste operating. CHAIRMAN HANCOCK: Okay. Never mind, Tim, you can keep him. Let's go to solid waste then. COHMISSIONER HAC'KIE: Not that he wasn't going to anyway, but -- MR. VINCENT: For the record, my name is Gary Vincent, analyst in the budget office. The solid waste funds are on Page E-8 in the summary book and E-28 in the detail book. CHAIRMAN HANCOCK: You said E-28 in the detail? MR. VINCENT: Yes, sir. CHAIRMAN HANCOCK: Thank you. Folks, we are on solid waste. It's E-8 in your summary, E-28 in your detail. Mr. Vincent, please go ahead. MR. VINCENT: On Page E-8, probably the largest thing there to notice is that the grant funds are reflecting a decrease, and that is because the grants from the State of Florida are, in fact, decreasing. On the following page, E-9, they have two expanded requests. One is for a truck to help pick up illegal dump sites, and that will be paid from a grant fund. COHMISSIONER NORRIS: Understand as a matter of interest that we are now officially the lowest cost residential solid waste in the state. MR. RUSSELL: Yes, sir, we are about tied with Hanatee County as having the lowest rate, that is correct. David Russell, solid waste director. COHMISSIONER NORRIS: Don't we beat them by a few cents or something? MR. RUSSELL: Well, it's very close. If we hadn't increased by the CPI to keep pace with our contracts, we probably would have been. CHAIRMAN HANCOCK: With the exception of grants, we're not seeing any real material changes in the budget, anything of -- other than mandatory collections going up which is a function of growth rate. Any questions on solid waste? COHMISSIONER NORRIS: I'm persuaded by the captivating presentation that we had on that. CHAIRMAN HANCOCK: I for one am overwhelmed. COHMISSIONER HAC'KIE: I'm underwhelmed but ready to move on. Nothing personal. Just kidding. CHAIRMAN HANCOCK: Thank you. COHMISSIONER NORRIS: Next. MR. SHYKOWSKI: Mr. Chairman, we need to discuss the utilities capital funding. We neglected to run through that. Mr. Tindall and Mr. Newman and Clemons. CHAIRMAN HANCOCK: Pages. MR. TINDALL: I have to apologize, Mr. Chairman. I got a little caught up in the momentum there. We have the water and wastewater utilities capital funds. CHAIRMAN HANCOCK: Pages. MR. TINDALL: We will need to go to the detail book starting out on Page H-12. This should be fairly straightforward. We didn't want to skip this, so -- CHAIRMAN HANCOCK: Substantial increase exists in the area of accumulation of reserves and the purpose for each is -- while we are accumulating reserves at a much higher level than last year. MR. FINN: Mr. Chairman, if I may, Edward Finn. You're on page -- the page you're looking at, sir. COHMISSIONER NORRIS: Page 12. CHAIRMAN HANCOCK: Page 12. MR. FINN: Page 12. On Page H-12, you'll see there are two funds listed there. The first fund, Fund 411 is the water system impact fee fund. That is supported by impact fees generated on new construction. That money is earmarked to fund new construction related projects. The other fund, Fund 412 is the water capital fund that is supported by a component of user fees. That fund is essentially earmarked for renewal, replacement and enhancement of capital projects. The reserves you're referring to is in Fund 412. Those reserves essentially are being accumulated in part to fund capital projects, renewal and replacement capital projects that will be needed in the future. COHMISSIONER HAC'KIE: And we've got big reserve numbers because we don't have any pressing need for spending right now? MR. FINN: Yes, ma'am. For instance, Mr. Newman's north water plant will require new membranes in about two years. That's estimated to cost 1.8 million dollars, for example. CHAIRMAN HANCOCK: Everyone needs a new membrane now and then. COHMISSIONER HAC'KIE: Lord knows I do. COHMISSIONER BERRY: And this will come out of which one, Mr. Finn? MR. FINN: That would be renewal or replacement. That would come out of Fund 412. That would be a component of what the utility users pay. If the board were to look at Page H-13, there's a detailed listing of the projects that are actually forecast for this year and proposed for next fiscal year. Page H-13 is the water capital projects summary. Again, Fund 411 is the impact fee fund. Fund 412 is the user fee fund. The single largest project on this page is seven zero eight five nine which is a water plant expansion project. COHMISSIONER HAC'KIE: Where, which one and for what? MR. FINN: Mr. Newman. MR. NEWMAN: Hike Newman, water director. Commissioner, that's for the north county membrane plant. That's to increase that plant's capacity by eight million gallons using brackish water. COHMISSIONER HAC'KIE: Is that because of growth or -- MR. NEWMAN: Yes, ma'am. COHMISSIONER HAC'KIE: Is that some formula that "X" number of population requires -- MR. FINN: Yes, ma'am. Your growth management plan outlines the level of service standard in terms of population. COMMISSIONER MAC'KIE: Thank you. MR. FINN: If I may direct the board's attention to Page H-14. This is set up similar to the previous page. Fund 413 is the sewer system impact fee fund. Fund 414 is the sewer system, pay as you go, renewal, replacement and enhancement fund. You will note that the '98 budget has a substantial amount of loan proceeds coming in to support it. It is staff's intent to pursue an SRF loan to fund an expansion of the north sewage treatment plants. COMMISSIONER MAC'KIE: What's SRF? MR. FINN: SRF is a state program that provides low interest loans for utility projects. COMMISSIONER MAC'KIE: It's a what kind of program -- state program? MR. FINN: Yes, ma'am. MR. McNEES: State revolving fund is what SRF stands for. MR. FINN: And on Page H-15, the board will be able to see a detailed listing of the projects forecast to be expended this year and proposed for next fiscal year. Again, I'll address the board's attention to two substantial projects. The first one being project 73053. That is the south plant improvements phase two project at 12 million dollars. The other project essentially occurring in FY '98 would be project 73031. That is that expansion project I mentioned a moment ago. COMMISSIONER MAC'KIE: Where are the scrubbers? MR. FINN: Mr. Clemons. MR. CLEMONS: Tim Clemons, wastewater director. We have scrubbers at both of our wastewater plants. COMMISSIONER MAC'KIE: But the project that we've been talking about a lot that's associated with the smell at the landfill -- MR. CLEMONS: That's at one of your water plants. COHHISSIONER HAC'KIE: Sorry. Wrong guy. Where are the scrubbers? MR. GONZALEZ: Adolfo Gonzalez, capital projects director. The scrubbers are at the south water plant. COHMISSIONER HAC'KIE: Oh, I know that's where they need to go, but are they in this budget for next year? MR. GONZALEZ: Oh, yes, ma'am, they are in this budget for this year and next year. As we promised, we intended to have that on line by January of '98. COHMISSIONER HAC'KIE: Okay. I just wanted to nag you. MR. GONZALEZ: If you would like to see that, it's on Page H-13. It's project number 70020, odor control. COHMISSIONER HAC'KIE: There you go. Thank you. CHAIRMAN HANCOCK: Just for informational purposes, 74007 and 008 are reclaimed water mains. Are those expansions of our effluent or tense water in order to provide additional service to those two, both Quail Creek and Lakewood? MR. CLEHONS: The Lakewood project 74007, commissioner, is an upgrade to our system to provide irrigation, supply water to the Lakewood community, yes, because that's an expansion. CHAIRMAN HANCOCK: It seems -- seems -- seems years ago that we've said, let's do that. Is it just now -- MR. CLEHONS: That project just bid, and I think the board awarded it two weeks ago. So, the work is getting ready to go under way. We were delayed somewhat by some of the road work out there. We had to wait on them. 74008, which says Quail Creek, reclaimed water main, actually started at Quail Creek. We had a line out to the entrance of Quail Creek. That line has run south to the Vineyards and is now running east out to the regional water plant and picking up future customers along that corridor. CHAIRMAN HANCOCK: Okay. I just -- I wanted to bring out the fact that we are continuing to expand that. I know that north county, we were looking at new customers as soon as we can get that project completed there too, so -- okay. MR. FINN: Mr. Chairman, if I may, I'd like to bring to your attention the fact that Mr. Ilschner and I are working on a multi-year financial plan for the utility, and as part of that plan, the board may see some subtle changes to this budget reflecting perhaps a shift between funding sources, between impact fees and user fees. The projects he just mentioned may well be examples of that. We are re-evaluating whether those would be better characterized as growth related projects rather than a pay as you go type projects. CHAIRMAN HANCOCK: Okay. Any further questions on wastewater capital projects? Seeing none. Okay. I believe we are done with that section again. MR. SMYKOWSKI: Thank you. That brings us to our internal service funds. Ms. Leith is the principal budget analyst. I'm going to turn it over to her. F-2 and F-3 in your detail book though is the summary of the internal service funds. MS. LEITH: Good morning. Shelia Leith, office of management and budget. We're going to start with the risk management funds, and that's on Page F-14 of your detail book, and we are on Page F-2 and 3 of your summary book. The first risk management fund is property and casualty. You'll notice within that fund, there is a new program that's proposed that Mr. Walker is looking at which is a pollution insurance type of fund. There's an additional cost there for next year of just over $100,000. Overall, the main increase in this fund is in reserves, that the operating costs have only increased $36,000 from budget to budget. CHAIRMAN HANCOCK: Let's talk about that reserve increase, if we may, from 982,000 to 1.17 million. The purpose for that increase in reserves is? MR. WALKER: Jeff Walker, risk management director. The reason that reserve has increased has been primarily because we brought the defense of litigation in-house about three years ago, and we did not cut our rates at that time because we wanted to see how that program has worked, and it has worked because you're seeing an increase in the reserves as a result. A large portion of losses are paid in terms of legal fees. What I wanted to do with the FY '98 budget was to incorporate this pollution liability program without increasing rates, and that's what I'm attempting to do here. COMMISSIONER MAC'KIE: You're going to use that increase for reserves for that purpose? MR. WALKER: For the pollution program as well. I'd like to set about 100,000 of that aside for a pollution loss if one should occur. That's a program which I feel is very, very important to the county because of the varied types of pollution exposures. We have everything from landfills to the application of pesticides to the transportation of fuels, and it took us a long time to put that program together, and that's what I'd like those reserves to be earmarked for, and we are doing that without increasing rates, so -- CHAIRMAN HANCOCK: It seems to me there should be two things. If we are going to allocate money to pollution control or pollution related claims, we should have a line item for that as opposed to it showing up in reserves because it lacks some clarity that way. The second thing is that we are seeing, in essence, a $200,000 increase in reserves. Now, that explains roughly 100,000 of it. The second 100,000, when you tell me that we reduced claims cost by coming in-house, then we're increasing reserves doesn't jive. If we reduced costs by going in-house on that, we should be reducing either the rates or another element that affects rates. So, you lost me a little bit on that one. MR. WALKER: Well, probably what we should do, and, obviously, this stuff works out as you're preparing the budget, is that in the FY '99 budget, we should probably be looking at either a rate decrease or given -- perhaps seeing what happens with the renewal this year. We could have a hurricane which would increase our property rates again, and we might need that money for that purpose, but obviously, we need to take a look at our rates in the next fiscal year budget process. CHAIRMAN HANCOCK: Okay. COMMISSIONER MAC'KIE: Did I understand that -- the way I understood your answer on the reserves question is that there has been a savings associated with moving the litigation in-house in where that 100 grand or so, a little more -- well, actually 200 grand of savings, you're proposing we spend 100,000 of that on this pollution program, and so I'm wondering why we couldn't cut 100,000. MR. WALKER: Well, you potentially could. You know, obviously, it all depends on actuarial projections also. I mean, we do an actuary study at the end of the fiscal year to determine what our accrued liabilities are at that point, and there's potential to do that, certainly. COMMISSIONER MAC'KIE: It sounds like this year there's enough in there for a rate decrease to balance out $100,000 even with the pollution program. I don't know -- MR. WALKER: Potential, or you can -- you can either do that or else you can offset it in future years. It's one or the other. MR. McNEES: Jeff, is it fair to say that what you're saying is one year does not make a trend and that we want to be careful about making judgments. MR. WALKER: And that's a concern I have. I mean, you know, what we found with Hurricane Andrew after it came through was that we were in a very good reserve position prior to that. Hurricane Andrew came through and our rates doubled. We just didn't foresee that happening, and essentially, what I had to do is go to reserves to pay for property insurance. COMMISSIONER MAC'KIE: Got you. MR. WALKER: So, fortunately, because of good experience and the litigation in-house, we've been able to improve our reserve position, but you never know. I mean, we could get another hurricane. CHAIRMAN HANCOCK: Agreed, but you just hit on the purpose of reserves, is for an unforeseen circumstance that affects your bottom line, you go to reserves. That extra 100,000 is kind of reserves in reserves. It's a little above what we would normally -- I'm going to invoke the Judge Ito rule if that keeps up -- the -- it's kind of an extra on top of what are indicated reserves, even though we have a hundred and some odd thousand dollar increase. So, I understand your point about not being a trend, Mr. McNees, but quite frankly, I'd like to let reserves function for their intended purpose and not pad reserves. That's something that we get trouble with. MR. WALKER: We don't have any desire to pad reserves also. CHAIRMAN HANCOCK: Understood. You've been very cautious in your approach, and I think I'm saying, let's be a little less cautious to a tune of 100,000 or 90,000, whatever it is minus the pollution element that you've stated. COHMISSIONER HAC'KIE: Hike, just while I was bragging a minute ago about understanding everything about the budget this year, I have a question. The income -- the revenue stream for this -- for this expenditure is not property taxes or we would have discussed it under the first day, but the income actually comes from payments from other departments, some of which, if I'm understanding it right, some of which are property tax related. My question is, if we -- if we make cuts in that, if we said, we can save that 100 grand of reserves, does that filter down to a property tax cut or where does it otherwise filter? MR. SHYKOWSKI: Yes, it would eventually trickle through -- the proportion to which that $100,000 would be general fund would be a property tax savings. COHMISSIONER HAC'KIE: Because these internal transfers mostly go back to property tax questions. CHAIRMAN HANCOCK: Probably about 60 percent from when I looked at it. COMMISSIONER MAC'KIE: Sixty. MR. WALKER: No. CHAIRMAN HANCOCK: Not that high. MR. WALKER: No. I think that -- CHAIRMAN HANCOCK: Because I was looking at this and IT and DOR and -- COMHISSIONER MAC'KIE: I'm trying to get that, yeah. MR. WALKER: My guess is probably in the neighborhood of 25 or 30 percent -- CHAIRMAN HANCOCK: Is it that low? MR. WALKER: -- that might be property tax. COMHISSIONER MAC'KIE: With the balance coming from where? MS. LEITH: Utility funds. MR. WALKER: From -- like, for instance, the utilities department or all of the other departments who are -- CHAIRMAN HANCOCK: Community development. MR. WALKER: Yeah, all of those. COMHISSIONER MAC'KIE: Okay. CHAIRMAN HANCOCK: Regardless -- COMHISSIONER MAC'KIE: It doesn't matter, but -- CHAIRMAN HANCOCK: -- I guess what would happen is if we made reductions in these today, the millage rate we hear from Mr. Smykowski at the end of today's deliberations, that will, in all likelihood, be applied to the trim notice is the highest case if there is a reduction in that as the numbers fall out -- because I wouldn't want to do -- what happens is we make 100,000 here and 100,000 there, yet we don't go back and tag the individual departments for it, then -- COMHISSIONER NORRIS: Then it just goes into general reserves at the end. COMHISSIONER MAC'KIE: Yeah, which is not what I want to accomplish. See what I'm saying. MR. SMYKOWSKI: Yes. CHAIRMAN HANCOCK: So, I agree. As a matter of fact, I was on that same plane when you start talking about that. So, what I would like to do is, my personal feeling is, rather than leaving an additional 100,000 in there -- and is that the number, Mr. Walker, or is it more like 90,0007 COHMISSIONER HAC'KIE: Well, it's nine eighty-two to one seventy-one, so it's one hundred ninety. You want a hundred for the pollution, so it's ninety. MR. WALKER: Yeah. Well, the other issue here is that we are also paying the -- we increased the premium for the pollution program also in addition to the reserves, so I'm trying to figure out how this works itself out, Hike. CHAIRMAN HANCOCK: Well, Mr. Walker, you understand the context of what we are asking to be removed. MR. WALKER: Yes, I do. CHAIRMAN HANCOCK: Since it's not going to have a material effect on -- you know, for today's proceedings, let's ask you to make that change and forward it to Mr. Smykowski, and I'm not doing this unilaterally. I hope -- COHMISSIONER HAC'KIE: We need one more. CHAIRMAN HANCOCK: Is the rest of the board in line with that? COHMISSIONER CONSTANTINE: That's fine. CHAIRMAN HANCOCK: Okay. Ask that you make those changes, and Mr. Smykowski will sharpen his pencil and work it down through the system. MR. SHYKOWSKI: Correct, Mr. Chairman. Just to kind of give you a little -- a better idea of how this would work, we would make the changes -- the millage rates we bring you to adopt on July 22nd, the proposed millage rates would be inclusive of any changes like this where the magnitude is somewhat unknown at this point -- well, it's known to a certain degree, but it's not a specific dollar amount as of this moment -- COHMISSIONER HAC'KIE: Great. MR. SHYKOWSKI: -- and the rates would be reflective of those changes you direct. CHAIRMAN HANCOCK: Good enough. You can't ask for more than that. And again, Mr. Walker, your caution is well noted, but I think let's take a little advantage of it now. Okay. Next. MS. LEITH: Next is the group health and life insurance fund. Rather than going through the details of this, I think the board is quite aware of the performance in this fund. The rates were reduced from $4,900 for dependent coverage to $4,000 for dependent coverage; 2,300 for single to 1,900 for single for next year for FY '98. COHMISSIONER HAC'KIE: Frankly, this is the one that made me start looking at these funds more carefully because as I understand it, that carry forward or that access has just been being collected as taxes and kept in general reserves for at least a couple three years. MS. LEITH: Well, there was about -- close to a million dollars that was refunded to this fund because of an old policy, some money that had been in reserves in that policy that was paid out. So, that was a chunk of money that also came in in this past year. COHMISSIONER HAC'KIE: Worth watching. MS. LEITH: Yeah. CHAIRMAN HANCOCK: Next. MS. LEITH: Okay. The next one is the workmen's compensation insurance fund, and you'll see there that there's a decrease in reserves. Mr. Walker is anticipating settling a number of old workmen's comp. claims, and that's why the reserves are so large in this fund at this time. CHAIRMAN HANCOCK: These are -- these are tough projections. I don't envy -- MR. WALKER: Very difficult. CHAIRMAN HANCOCK: Okay. Any questions on workers' comp.? None, let's go to fleet. MS. LEITH: Okay. Next we are going to go to the fleet management administrative fund. This is on Page F-20. COMMISSIONER MAC'KIE: Does the same sort of ratio apply here of 25 percent or so as property taxes? MS. LEITH: I would -- COMHISSIONER MAC'KIE: Does somebody know? MS. LEITH: Maybe Mr. Croft could answer the question. MR. CROFT: Good morning. Dan Croft, I'm the fleet manager. There is a combination of monies, depending on what departments use our fleet maintenance, which is all departments. So, funds come in to support their fleet operations from all funds, including general fund. COMMISSIONER MAC'KIE: I'm wondering if you have some idea of the ratio of the amount of general fund as opposed to fee. MR. CROFT: No, ma'am, I don't. COMMISSIONER MAC'KIE: Well, at some point, if somebody can tell me that, I'd like to know it, not that the fee doesn't count. Obviously, they do, but the general fund, we really have tried to focus on. MS. LEITH: There's an expanded service request within this fund. The expanded request includes capital outlay for a purchase of an 800 megahertz portable phone for the service -- in the service area and an overhang outside the two bay doors so that they can do larger truck repairs in that area, whether or not the weather conditions interfere with that. COMMISSIONER CONSTANTINE: Can I ask if -- when are we set to construct the new facility, because I hate to spend $20,000 on the overhang if we are going to be building that a year from now anyway. MR. McNEES: We did defer it and don't show any construction dollars in fiscal '98. I'm told that this is not lost money, that this is something that would be portable, that we would be able to take to the new facility. COMHISSIONER CONSTANTINE: Great. Thank you. COMHISSIONER MAC'KIE: Oh, good. Perfect. CHAIRMAN HANCOCK: And in the detail book, I'm sorry, we are on page -- because we've gone through these. MS. LEITH: F-20. COMHISSIONER NORRIS: F-20. CHAIRMAN HANCOCK: Thank you. MS. LEITH: And 21. CHAIRMAN HANCOCK: Okay. MS. LEITH: Also, in the expanded service request is a truck lift for medium duty trucks and a gear pullet set, and the total expanded request is $37,500. CHAIRMAN HANCOCK: What was the second one; the truck lift and what else? MS. LEITH: And gear pullet equipment. CHAIRMAN HANCOCK: I thought you said ear pullet. I'm not sure that's really in the right area. Any questions on -- any further questions on fleet management fund? With those additional capital outlays, we're still only looking at 3 percent operational increase? MS. LEITH: Yes. CHAIRMAN HANCOCK: Anything else? Let's go to the next one. MS. LEITH: Okay. On Page F-22 and F-23, we are looking at the motor pool capital recovery fund. This is where we build up reserves or build up funds to fund our purchases of new vehicles. You'll notice that there is an increase in reserves within this motor pool fund for next year's, and that's primarily because of the shift in replacements. We are only looking at 16 vehicles and two ambulances to be replaced next year. So, we are building up the money for future purchases of replacements. CHAIRMAN HANCOCK: What's the window on this, and I'll assume we operate a program that we feed in every time a vehicle is purchased; an amortization and it calculates each year what we need to meet an amortization period of what? What's our window when we look at this? MR. CROFT: The majority of the vehicles that are in the motor pool fund, which are automobiles and light trucks and ambulances, with the automobiles and light trucks we are looking at six years and 75,000 miles, and that generally runs true, and it follows along the guidelines of the American Public Works Association. CHAIRMAN HANCOCK: I just -- I know that -- MR. CROFT: My name is Dan Croft, fleet manager. CHAIRMAN HANCOCK: I know that ten years ago, cars would, you know, whether they are foreign or American made, would hit between seventy-five and 100,000 a lot of major repairs that you can avoid, but it seems to me that the construction, the longevity of engines and parts has changed to where we should be getting close to six figures, 100,000 miles out of those vehicles. I would be very curious if you would provide to me just individually why we are choosing 75,000 miles as a cap, because it seems to me that the time, yearwise, is not nearly as important as the mileage, and I'm curious why the recommendation from the American Public Works Association would be 75,000 miles, and if, in fact, they've received some consulting information from the big three on that -- COHMISSIONER HAC'KIE: Yeah. CHAIRMAN HANCOCK: -- because the cars are made a lot better now than they were even ten years ago. I think we can get more than 75,000 out of them without experiencing those huge repair costs. That's my assumption though. COHMISSIONER CONSTANTINE: We do a pretty good job with our computer program maintaining records on each vehicle individually, don't we, as far as milking as much as we can out of each. Some just turn out to be lemons and we only get sixty. Some, I know we get -- when I look at what goes to auction, they'll have one hundred ten, 120,000 miles on them. MR. CROFT: Yes, sir, we do, and the -- as far as the -- that 75,000 miles, we are running seventy-five to 100,000 right now as a general limit. When you start going over 75,000 miles, you start losing the value of your vehicle as far as a sale value. Right now, we are making some very good sales on our vehicles, so it's working out very well for us. CHAIRMAN HANCOCK: Okay. Again, just kind of curious to see that breakdown on paper, and if you can provide it to me rather than us spending a lot of time on it now, I think it would be more appropriate. MR. CROFT: Sure. CHAIRMAN HANCOCK: I do have a question, the reserve, you mentioned that we are not making a lot of purchases in this next year compared to the average year, so, therefore, the reserve is building. Are we anticipating the -- which out year are we going to get hit? Which -- which one bubbles off the reserve build up this year? MS. LEITH: 2000. MR. CROFT: In the year 2000. CHAIRMAN HANCOCK: Okay. Okay. Any other questions on motor pool capital recovery? COMHISSIONER NORRIS: No. COMHISSIONER MAC'KIE: Uh-uh. CHAIRMAN HANCOCK: Okay. Let's go to the next. MS. LEITH: Next will be information technology, Pages F-2 to F-4 in the detail book. CHAIRMAN HANCOCK: I'm sorry, the detail -- MS. LEITH: The detail book, Page F-2 to F-4. Within the information technology fund, although we are looking at a 13 percent increase here, what we are really looking at is an increase in reserves within operating appropriations, budget to budget. The adopted budget last year to current service is flat. It's basically one million two seventy-eight to one million two seventy-six, and then there's an expanded service request for one additional person. So, the total increase would be 3 percent with that additional body. CHAIRMAN HANCOCK: With the number of PCs we are bringing on line, the expanded request for a person doesn't bother me as much as the growth in reserves, particularly growth in reserves on a system that overall is quite new. Mr. Coakley, could you help me with that? It just seems -- it seems extreme, quite frankly. MR. COAKLEY: I'm going to ask Shelia to address that first on the amount of the reserves. CHAIRMAN HANCOCK: Ms. Leith, do you want to give us the budget magic on why those reserves are bumping up -- MS. LEITH: Sure. CHAIRMAN HANCOCK: -- so high. MS. LEITH: Well, in personal services, there was a $61,000 savings in this past year, and that was due to vacancies as well as health insurance premiums savings. There was also -- I'm sorry. I have this breakdown. I just need to pull it out. CHAIRMAN HANCOCK: That's okay. I can't wait for the second half of that because savings does not beget increase in reserves, so there's -- I figure there has to be a second part to that. I take it, Mr. Coakley, you're just doing what Ms. Leith told you to do on reserves? MR. COAKLEY: For the record, Bill Coakley, IT director. Essentially, that's correct. CHAIRMAN HANCOCK: The buck has been passed, Ms. Leith. MS. LEITH: Sorry. We did have some savings in the telephone area. There was substantial savings there, and that's going to be passed back to the departments, actually, by reducing the telephone charges by $100,000. The rest of it is that we just exceeded -- revenues have exceeded expenditures, and so they continue to collect the revenues at the rate they were -- that they had budgeted to charge them out and didn't make that adjustment, so we do have some savings there. CHAIRMAN HANCOCK: Right. Now we are to the area I have a problem with. When it costs less to provide the service than you anticipated, you reduce the rates. We have reserves -- this department has reserves that are budgeted either within itself or a part of the county overall reserves. I don't want to go padding reserves because we realized some savings. MS. LEITH: Right. CHAIRMAN HANCOCK: I want to reduce the rates, so -- MS. LEITH: Yes, and we -- there is a possibility of reducing rates from those reserves. The problem we will have is we'll have the fluctuations of one year down, one year up type of deal because we'll -- CHAIRMAN HANCOCK: How many years -- how many years have we had the IT department total now? COMMISSIONER MAC'KIE: Two years. MR. COAKLEY: Two years. CHAIRMAN HANCOCK: Okay. Understanding we're very early in the process, but I don't want to begin a process of building reserves unnecessarily. So, I would like a conservative but stretch estimate on -- rather than taking reserves from 53,500 to 191,000, maybe something in between would make a little more sense. COMMISSIONER MAC'KIE: Maybe fifty-three -- what does this department need reserves for in addition to general reserves, you know, countywide? MS. LEITH: They really don't. They do need some reserves for merit increases, 1 percent is like all other county departments. They would also -- COMMISSIONER MAC'KIE: So, leave it at that. MR. SMYKOWSKI: As a general rule, we budget a 5 percent continuance in all funds. That would be $66,000. COMMISSIONER MAC'KIE: Then I would suggest we change that reserve amount to $66,000 max. COMMISSIONER CONSTANTINE: Bob, the 5 percent requirement, is that broken down and shown to each department each time or -- COMMISSIONER MAC'KIE: That's general overall. COMMISSIONER CONSTANTINE: Yeah, is this going to be separate? Everything we budget -- MR. McNEES: It's fund by fund. COMMISSIONER CONSTANTINE: -- we put 5 percent on there. If we're going to do that over and above what we put here, we don't need that sixty-six either. MR. McNEES: No. MR. SMYKOWSKI: That is -- the 5 percent is part of that one ninety-one. COMMISSIONER CONSTANTINE: Well, let's make that all of that. COMMISSIONER MAC'KIE: Thank you. Me, too. CHAIRMAN HANCOCK: Unless, Mr. Coakley, you feel there's some part of the system that is -- that is a wild hair out there for next year that you expect the additional reserves for. MR. COAKLEY: No, commissioner. CHAIRMAN HANCOCK: Okay. Let's bring it back to the 66,000, which is the 5 percent then. Is that what I hear the -- COMMISSIONER NORRIS: That's what I hear. COMMISSIONER MAC'KIE: And reduce the rate that we are charging. CHAIRMAN HANCOCK: And that's part of what we'll see back on July 22nd, I guess, is Mr. Coakley will figure how that applies to the individual departments, because it should be an across the board reduction to what rates are being charged in order to avoid the accumulation. COMMISSIONER MAC'KIE: To everybody's budget who is being charged IT fees, because they -- I, you know, have -- you guys won't express, but I think they are high. CHAIRMAN HANCOCK: I remember that discussion last year. COMMISSIONER MAC'KIE: Yeah. COMMISSIONER CONSTANTINE: On the teal colored page under program administration, it talks about processing telephone bills and IGCs for phone. COMMISSIONER MAC'KIE: Oh, no. COMMISSIONER CONSTANTINE: And then down below under communication systems, telephone, it says review telephone bills and IGCs for usage, and I'm wondering if you can explain to me the difference between what the two people in administration are doing and the two people in communication systems are doing with those two things. MR. COAKLEY: Well, in administration, commissioner, it's myself and our secretary. The secretary sends out the bills. The telephone department or section of the department, which is Mike Berrios' group, actually reviews the bills for correctness, generates the systems that -- COMMISSIONER CONSTANTINE: So, what are you personally doing? You and your secretary are doing what with the telephone bills then? MR. COAKLEY: I do very little, commissioner, but my secretary sends them out. It's a mail processing function, basically. We have quite a volume of them, as you can see. COMMISSIONER CONSTANTINE: If it's just the two of you -- if it's just the two of you, what else are you spending $221,000 on for administration? MR. COAKLEY: Basically, it's myself and a secretary, commissioner, and -- COMMISSIONER CONSTANTINE: Do you both get paid $110,000 a year or -- I mean, what is that money going toward? CHAIRMAN HANCOCK: What is the job classification for your secretary? MR. COAKLEY: Senior secretary. CHAIRMAN HANCOCK: I don't think our folks are making that kind of money in the board office. Someone talk to me about -- MR. COAKLEY: There's some confusion here. Our secretary isn't making any more than -- COMMISSIONER MAC'KIE: Of course not. MS. LEITH: It's in this cost -- COMMISSIONER CONSTANTINE: Let me be very clear, so you won't be confused. I'm reading on the teal page. It says program administration, you told me that's just the two of you. It says two FTEs, so you've been clear on who those are, and it says fiscal year 1998 cost, 221,100. I want to know, of those two people, what's happening to that $221,000. MR. COAKLEY: Commissioner, I'm sorry. Maybe I misled you. There's two people in there, two FTEs. That's myself and my secretary. There's also other expenses in there that we carry for the overall department; stationery supplies and some training costs. I can pull it out for you -- MS. LEITH: Let me just -- can I interject here? MR. COAKLEY: Sure, Shelia, go ahead. MS. LEITH: The salary budget is 123,700 -- COMMISSIONER CONSTANTINE: Is there a page here that will show -- MS. LEITH: No, I have a detail that -- I'm going to my spread sheet on this department, but it's 123,000 for salaries indirect -- COMHISSIONER CONSTANTINE: How much? COMMISSIONER MAC'KIE: One twenty-three. MS. LEITH: 123,000. There's 39,600 for indirect costs reimbursement to the general fund. COMMISSIONER CONSTANTINE: I'm sorry. I can just barely hear you. If you can -- MS. LEITH: I'm sorry, 39,600 for indirect service reimbursement. There's $20,000 for contractual services. Then there's the sewer and water for all the department, the electricity, all the utility charges. COMHISSIONER CONSTANTINE: Which is how much? MS. LEITH: Water and sewer is a thousand. Insurance is $8,600. There's building repairs and maintenance, $1,300. COMHISSIONER MAC'KIE: You've got 11,000 -- MS. LEITH: Electricity, 4,900. COMHISSIONER MAC'KIE: 16,000. MS. LEITH: We've got out of county professional development travel, $5,000. This cost also absorbs a lot of costs for there are other cost centers within that department, and they charge out to the various functions. COMMISSIONER CONSTANTINE: Five thousand. Let me ask -- MS. LEITH: We have office supplies of seven. COMHISSIONER CONSTANTINE: Okay. Thank you. What are you doing for 5,000 worth of travel? Where are you headed? I assume that's not your secretary going, so it has to be you. MR. COAKLEY: That's correct. No, it's not -- no, I carry some travel expenses for the rest of the sections in the IT department. MS. LEITH: And training. MR. COAKLEY: It would -- and training, yes, training type things. COHMISSIONER CONSTANTINE: There's no travel anywhere else in any of this? MR. COAKLEY: No, there's some travel in the others, too, but we have some in here. COHMISSIONER CONSTANTINE: Well -- CHAIRMAN HANCOCK: Commissioner Constantine, you just hit on the biggest part -- this has been the most useless page in our entire book -- COHMISSIONER HAC'KIE: It really has been. CHAIRMAN HANCOCK: -- because I haven't used it once in the entire discussion because it tells us the percentage of overall costs assigned to those two people, but the breakdown you just gave us, Ms. Leith -- not -- I mean, if we had all that, you know, that's fine, but it gets voluminous, but this is just a useless page. It has caused me more questions than given me answers, so we've got to do something about that because, you know, you're hitting on the same stuff that I -- that had concerned me, and I had to find it elsewhere. COHMISSIONER CONSTANTINE: I don't quite understand your answer there. If you have $5,000 budgeted under those two FTEs and you're saying, oh, you're covering other people's travel there, too, then why do you also have travel under the other items? It just doesn't make any sense. It's not a logical answer. COMMISSIONER MAC'KIE: In all of that, if we can find some -- COMMISSIONER CONSTANTINE: Can I get an answer to the question, please? COMMISSIONER MAC'KIE: I just wanted to support you on that. COMMISSIONER CONSTANTINE: Thanks. MR. COAKLEY: I don't have a good answer for that. I think I misspoke. We are showing some amount of out of county travel in each one of the sections in IT, that is correct. That 5,000 is in there to cover me, basically. I'm not planning to send the secretary anywhere. For example, going to the human resource users group, I did last year. I expect to go again. COMMISSIONER CONSTANTINE: Where was that? MR. COAKLEY: That one was in Nashville. I don't know where it is this year. COMMISSIONER CONSTANTINE: I've got to imagine it doesn't cost more than four, 500 bucks for tickets, and unless you stayed for a month, I don't -- I don't understand why you need $5,000 for your travel annually. It just seems like an over expenditure. How much else do you have for travel in here? MS. LEITH: In total, $18,000. COMMISSIONER MAC'KIE: Good Lord. COMMISSIONER CONSTANTINE: For out of state travel. MR. COAKLEY: Well, any time we send somebody to a technical refresher course, as soon as it goes out of the area, it becomes out of state travel. It's not like they are going out -- COMMISSIONER CONSTANTINE: How many people do you have total? MR. COAKLEY: I have 14. COMMISSIONER MAC'KIE: It says 13. MR. McNEES: Commissioners, maybe -- MR. COAKLEY: I'm counting John Daly. MR. McNEES: -- I've sat through this sticker shock as well, and let me tell you how I came around to improving some of this. What we are calling travel is for this department, almost, I would say probably 99.9 percent training expense where -- what I didn't understand in the beginning as I began to look at this, if you buy X, Y, Z software from a company, you would think they would provide you the training for the most part on the updates and as it's modified. Well, they don't. They charge you for that, too. So, this is keeping your IT staff current to be able to support the things that we've already purchased. In addition, sometimes software companies will charge you to evaluate their new products, and I've kicked and screamed and come to understand that that's just the nature of the software business, that the training is expensive, and if we are going to keep our people current, we have to pay the bill. So, this isn't really travel money, as it's not conventions and those kind of things nearly as much as the vast majority is specific training that we send people to. COMMISSIONER CONSTANTINE: Of your 14 employees, 13 plus one proposed, how many of those are support, secretarial support or -- MR. COAKLEY: One, commissioner. COMMISSIONER CONSTANTINE: So, it's 12, looking at 13, so it's roughly 1,600 bucks a person? MR. COAKLEY: That sounds about right, yes. COMMISSIONER CONSTANTINE: I'd suggest then we cut 3,400 off Mr. Coakley's and leave him the 1,600 and then the rest will average out amongst the remainder. COMMISSIONER MAC'KIE: At least that, and I have questions about what is the 39,000 of reimbursement and the 20,000 of contractual? COMHISSIONER CONSTANTINE: Thank you. MS. LEITH: The 39,000 is the indirect service charge that pays back to the general fund to reimburse for all the services that the general fund provides to the non-general fund departments such as your budget, purchasing, mail services, O and B. We are all general fund departments that get charged back. COMHISSIONER MAC'KIE: And the 20,000 contractual? MS. LEITH: There was $10,000 for Kelly Services for a temporary that they utilized within -- to help with their help lines, and the rest, I believe, is training contractual services. MR. COAKLEY: We bring trainers in to teach as well. CHAIRMAN HANCOCK: I know one of those that our staff took was not very helpful, but a second one was. So, there's been some quality issues with a couple of those. What of your travel budget last year, the 18,000 -- is it 18,0007 MS. LEITH: 18,000. CHAIRMAN HANCOCK: How much of that was spent? MR. COAKLEY: I don't have that here. MS. LEITH: Just give me a moment. MR. COAKLEY: I would have to get that for you. MS. LEITH: I can add that up. CHAIRMAN HANCOCK: Would you, Ms. Leith? Are there any other questions in the meantime? COMMISSIONER CONSTANTINE: Well, if you spend 19,000 a year on training here and 18,000 traveling elsewhere, how much time do the individuals spend training versus actually doing day-to-day work? It sounds -- MR. McNEES: The training here -- COMMISSIONER CONSTANTINE: -- like you can be doing 12 weeks of training. MR. McNEES: The training here is not to train them. It's training your employees and all the other employees who are using the system to use the various software packages. That's not to train the IT people. That's to train the other people. COMMISSIONER CONSTANTINE: But we don't have anybody that could do that? MR. McNEES: They do some of it. IT does some of the training themselves, and then they bring in contract trainers to do some. So, they do a little bit of both. MR. COAKLEY: That's correct. MR. McNEES: Or a lot of both, actually, I should say. CHAIRMAN HANCOCK: Do -- do any of your folks spend time over in the sheriff's office? MR. COAKLEY: No, commissioner, we don't have any interaction with the sheriff's department except on very occasional -- CHAIRMAN HANCOCK: Then you and I and Mr. Fernandez need to sit down and talk because every morning when I come in, I see some of your folks coming over from the sheriff's office, and I need to know why. So -- MR. COAKLEY: I'm sorry. That's a surprise to me. We'll have to find out. CHAIRMAN HANCOCK: Yeah, me, too. MR. CARNELL: Could I -- Steve Camell on behalf of your support services division. Just a couple of things to remind the board of, that we are -- we are dissecting pieces of the IT budget, and let's keep in context and remember that this is a department that in its FY '98 proposal is proposing to increase service and lower rates for its primary program, which is the PC support program, and the -- in the coming year, we also see this department being more involved in the continuing development expansion of new software programs that are being installed, and I'm talking about special applications beyond the PCs as well, and this department will be having an even more concentrated and, I think, more significant role in some of those activities, and let me just specifically elaborate, and then I'll terminate my comments here, but we just, Friday, got out of a very potentially contentious negotiation with a software contractor up at Horseshoe Drive who is providing and installing the integrated system for Mr. Cautero, and that is a situation where we believe the vendor potentially tried to take advantage of us in a situation where they thought they perceived to have us over the barrel, and we are in a situation now where we're going to be coming back to the board to mutually terminate further development under that contract, and to, instead, have the IT department use its internal resources to finish that contract, and we are, at the same time, going to get an acceptable functioning system for all the modules that had been installed to date, and I think the point here is two things. The information technology department has played a very significant role in A) holding the vendor's feet to the fire in that development process, and we're talking about an almost $300,000 contract, and secondly, the information technology department, by having the expertise that it has now, leveraged our position tremendously, and maybe me more so than anybody else in this organization can appreciate that having had vendors leave us in the lurch before, and I'm going to stop short of saying that this one left us in the lurch because I think we've headed that off before it got to that point, but what I want to say to you is that there's a profit -- there's an overhead cost and expense for this IT department, but there are benefits that go beyond strictly the productivity of the end users of PCs, and I think there's a real value here in that this -- in my 12 years with the county and ten years of that in the purchasing department, it's the first time that I really had true leverage with a vendor and being able to say, if you walk, A) we're going to sue you, and B) we're going to get the work done anyway, and you can't hold us in the lurch, and I just want you all to know that. That doesn't necessarily address all the details being broached here, but I want you to know there's a value to this central operation. You have very competent and capable people who have also prescribed, I think, a very contemporary standard to build to, and it's not the cheapest standard, and they incur a little bit of wrath from you all for that, but I believe Mr. Coakley has been correct in his path, and I say that because there are constantly other users coming into the system, and I'm talking about non-BCC users who interact or interface at some point with some part of our system, and lo and behold, they're building the same standards that Mr. Coakley prescribed two years ago. So, I believe by and large, we are on the right track, and there's some real value added to this department that isn't readily apparent when you're looking at the detail or budget. CHAIRMAN HANCOCK: Mr. Camell, your comments are wonderful in defense of a system that we directed Mr. Coakley to build. However, technology is the toughest sale in all the things we do because you're not producing something tangible. It's very difficult to look at and just take it at face value. For the dollar spent, we'll produce X, Y or Z, and that's one moniker this board has held to, and that is simply, show us the savings, and that's tough to do in IT. We are aware of that, but I think the line item discussions we are having are just that. Looking at -- yes, we are picking it apart, but that doesn't make his budget any different than anyone else's. Everyone has been picked apart to the best of our ability, and something like travel is one of those things that can get away from you sometimes. So, your comments are understood, and I don't think you'd find anyone here disagreeing with them. However, we are still going to pick it apart. COMMISSIONER CONSTANTINE: Commissioner Mac'Kie, did you get the answers to your questions? COMMISSIONER MAC'KIE: No. MS. LEITH: I do have -- COMMISSIONER MAC'KIE: I understood the 39,000 reimbursement from other, you know, general fund, but the contractual, I heard 10,000 for Kelly Services. I never heard the other ten. MS. LEITH: The other ten, I believe, is for training, contractual services for training, executive training. COMMISSIONER MAC'KIE: But, I mean, training, is that people coming in to train Ms. Filson to use the new system? MR. COAKLEY: If I may. If I may, we do two types of training. One, we train other people in the county, and by the end of this calendar year, we'll have 515 new PC workstations out there, and we are responsible for training those folks for ongoing improvement of the use of the system. The other type of training and education is, frankly, for the IT staff itself so we can keep up to date with the technology, and to do that, in many cases we send them as nearby as we can, but sometimes it goes out of county. Where we can do so and where it's effective, we will bring a trainer or teacher in here to teach in our classroom to our staff. As an example of that, looking at some of the office technology, we've worked out a deal with the clerk of courts where they are sharing the cost of bringing a teacher in. So, we are just not arbitrarily bringing one in, but that brings them in-house, and it's much more efficient for our staff. So -- we do a mixtures of these things, and it depends on what's available when the time comes. I can't sit here -- I couldn't sit here three months ago, and can't sit here now predicting what exact training is going to be needed a year from now, and I'm projecting ahead a year, and the technology field just changes readily, and I think you all know that. So, I need a little bit of funding here to cover that kind of training, and I can't be too specific about the details of it except maybe in retrospect. CHAIRMAN HANCOCK: If I may, Mr. Coakley, the training we are going to require is that that is consistent with the purchases we are going to make and new software and new programs. To say that we don't know what training is required is to say we don't know what our computer needs are going to be, and I would hope that in our capital budget, we've made that determination already. So, I'm missing the connection there. MR. COAKLEY: I'm talking about training for our own staff in this case. We find a piece of software hitting the market, let's say -- we have a case of -- I'm trying to pick one. One of the new office software techniques that hits the market this past February, and then over the next year and a half, we have to raise the level of our technology; knowledge inside and around the department to use that kind of thing, and a year ago, we couldn't have predicted -- CHAIRMAN HANCOCK: What you're saying, that's my point is that we should have made the determination at the front end of the year what capital investments we were going to make in new software. Did we do that? Did we determine how much we are going to expend on purchasing new software in the coming year for our PC base system? MR. COAKLEY: Yes, we do that. CHAIRMAN HANCOCK: Okay. We have an idea of what those -- MR. COAKLEY: Per capital, yes. CHAIRMAN HANCOCK: Okay. So, we have an idea what software we're going to purchase. We also have to attach a training amount to that based on the number of users that will be accessing that capital investment. So, I guess what I'm saying is -- MR. COAKLEY: Yes, we do that. CHAIRMAN HANCOCK: -- 12 months out, we should be able to do that. Two and three years, I agree 100 percent, but at least 12 months out, I can't buy that we aren't sure what training we're going to need in the next 12 months because we've already determined what capital investment we are going to make in the software area. So, if we are not making that correlation, then I think we are not trying hard enough, and I hope I misunderstood you. MR. COAKLEY: No. With regard to the capital, looking ahead for a year, we have projected that. For example, we are projecting ahead for this coming year the completion of the three year modernization program, and the software we're talking about there is essentially the same software that we've been doing for two and a half years or two years, I guess it is now. So, the training and education for that is predictable. We actually pay a company called Executrain, for the most part, to come in and do it. So, putting the capital programs on the side, that works just fine. When we look at additional software that we would buy on expense basis during the year and other departments want to buy on expense basis during the year, that's the one I can't predict very well because new products are coming out on the market all the time. Some of them are very, very beneficial. Some of them require us to increase our knowledge level. CHAIRMAN HANCOCK: In human resources, and Mr. McNees, maybe you can answer this. I don't know that Mr. Fernandez would be fully up to speed on it yet. When we are hiring new people, do we have a list from IT or a list produced of software requirements for the job? I know there was a time when Windows first came out that everyone was trying to get people who had training in those areas. I want to make sure HR and IT are talking together to make sure the positions coming available, we have the software capable requirements for that job being posted correctly so we can avoid hiring people and training them ten ways to Sunday. MR. McNEES: I think, generally, the answer is yes, all else being equal, we try to hire people that are already compatible with the software that -- the systems that we currently have, but from another point of view, given a choice between aptitude and specific knowledge, we'll hire the one that's got better aptitude because you can train them to do anything as opposed to someone who may happen to be affluent in a specific software package, but that's all they can do. So, there's a balance there you have to find. CHAIRMAN HANCOCK: As long as I know that's going on. That was really the question. Commissioner Mac'Kie. COHMISSIONER HAC'KIE: I -- I know that Commissioner Constantine is going to get us back to the travel and training budget, so as he's looking at that, I need to understand about the telephone function. The reviewing 2,700 pages of telephone bills, et cetera, is this outside phone bills that come in that the county pays to United Telephone or to AT&T or something? MR. COAKLEY: Yes, commissioner. COHMISSIONER HAC'KIE: Then why wouldn't that be a DOR function instead of an IT function? MR. COAKLEY: It's been assigned to my group. We review the actual bills to make sure the bills are correct, and we pay them out of our department. That's just the way it has been set up, commissioner. COHMISSIONER CONSTANTINE: I have the same item circled. COHMISSIONER HAC'KIE: Did you? It just seems like one more time where something that could be a DOR function, because the idea was all billing goes through DOR -- MR. HcNEES: Not bills we pay. DOR is bills we collect, basically. MR. CARNELL: All that's happening here, commissioner, is we are paying the vendors through IT, and IT is getting reimbursement from the various departments. It's strictly an internal process. There's no member of the public involved at all. COHMISSIONER HAC'KIE: Oh, I understand that. It just sounds like something that a financial management department like DOR would do more efficiently. MR. CARNELL: Well, the reason it wouldn't work that way is that you -- there needs to be some degree of accountability with performance with the vendor, and our telephone support staff is within IT, and those are the people who would have the most interaction with AT&T or Sprint or any of the others regarding performance. MR. HcNEES: The IT department is also the department that knows who has what telephones, and they assign the extensions. They move the telephones. They are our -- COHMISSIONER HAC'KIE: That makes sense. MR. HcNEES: -- telephone vendor. COHMISSIONER HAC'KIE: Who pays -- what department pays the electricity bill? MR. HcNEES: Skip Camp in the facilities management. COHMISSIONER HAC'KIE: Why is that different from the phone bill? Just a thought. MR. FERNANDEZ: For the same reason, because he has responsibility for managing the facilities that then generate the bills. COMMISSIONER MAC'KIE: Okay. MR. FERNANDEZ: In this case, he's managing the facility, the phone system that generates the bills. It's really the same concept. MR. McNEES: Electricity is allocated on a square footage basis as are some water and sewer, those kind of things. Skip deals with those. Telephone charges are allocated based on the telephones and the actual calls, and that's Mr. Coakley's responsibility. CHAIRMAN HANCOCK: Don't worry, Mr. Coakley, another ten years most of these questions will be answered. COHMISSIONER CONSTANTINE: I'd like a breakdown just for myself of the expenditures within each one of those departments, what they were last year and what you expect them to be this year. I'd like that list -- MS. LEITH: You would like a detailed line item? COMMISSIONER CONSTANTINE: Yes. COMMISSIONER MAC'KIE: On phone bills, et cetera? What are you -- COMHISSIONER CONSTANTINE: On everything on this blue page. COMHISSIONER MAC'KIE: Could we all have copies of that? I mean, I would like to. CHAIRMAN HANCOCK: Actually, could they have copies of that? COMHISSIONER MAC'KIE: Okay. I'd like copies of that. COMHISSIONER NORRIS: Yeah, those two would like copies. COMHISSIONER CONSTANTINE: Moving right along. CHAIRMAN HANCOCK: Any other questions? Let's bring this part of IT to a close. Did we want to make a reduction in the travel budget? COMHISSIONER CONSTANTINE: Thirty-six hundred dollar reduction is what we discussed. CHAIRMAN HANCOCK: That's -- they spent fifteen out of eighteen last year, so then that effect would be about 600 less than last year on that. Okay. I'm seeing heads nod. I'll give a pitch into that. Okay, 3,600 reduction. Any other changes to that budget at this point? MR. McNEES: I heard that you wanted to make a change to the reserves. COMHISSIONER MAC'KIE: Oh, yeah. COMMISSIONER CONSTANTINE: Yeah, sixty-six instead of one ninety-one. CHAIRMAN HANCOCK: Yes. Thank you. That was a big one. So, go to the 5 percent -- the 5 percent, whatever that number came out to be, Mr. Smykowski, instead of the one ninety-one. MR. SMYKOWSKI: Yes, sir. I've got reduce reserves and reduce travel by 3,600. CHAIRMAN HANCOCK: Okay. Any other changes to IT? Seeing none, let's take a -- I say five minutes which usually means ten -- five minute break. (Small break was held). CHAIRMAN HANCOCK: Good morning. We are going to reconvene today's budget workshop. We are to, I believe, Department of Revenue, am I correct? MS. LEITH: Yes. MR. SMYKOWSKI: That's correct. Ms. Leith is the analyst, and Mr. Yonkosky is here representing the DOR. CHAIRMAN HANCOCK: Okay, Ms. Leith. Take it away. MS. LEITH: Shelia Leith, office of management and budget. We are on detail pages F-6 to F-12. The summary book is still Page F-2. CHAIRMAN HANCOCK: Hit the high points and the low points, Ms. Leith, and I know we are going to have some questions on this. MS. LEITH: Okay. Operating expenses within the administrative department increased by 46,000, and this is the indirect service charge from the general fund that's increased by this amount, and that's driving a portion of the -- a big chunk of the increase is actually in operating expenses. Within the utility services cost center area, their -- their costs have actually decreased by almost $60,000 budget to budget, and they've put in some cost savings, saving things such as reducing their postage cost by eliminating final notices and there isn't -- but there is also an increase in the customer base slotted for next year which has some impact of bringing those costs back up. We also have some savings from the mail automation program. That's budgeted in there, and then if we move on to the special assessment cost center, we are looking at a $20,000 decrease budget to budget -- I'm sorry, $20,000 increase budget to budget, and this is because the special assessment area will pick up the cost -- some of the costs of the mail magnet, mail out program, and that's an additional $13,000 for next year. They have an expanded service request within the utility services cost center. That's for an additional meter reader tach, and also within the special assessments area for an additional fiscal clerk, and that fiscal clerk position is to assist in receiving calls for service. The program receives approximately 45,000 calls per year, 22 calls per hour, and they are on the phone about 10 to 15 minutes per call. They are also seeing an increase in the growth in the customer rate of about 300 per month. If we move on to the EHS ambulance service cost center, Page F-10, the total appropriations remain exactly the same as last year. Landfill services, again, the budget is not increasing within that area. Those are the highlights within this budget. CHAIRMAN HANCOCK: Okay. I'll kick off one element. We've previously looked and approved the centralized mail facility, which Mr. Yonkosky may remember as I toured your department, we looked at those positions along the back wall that when mailing needs to be done, then the necessary people will walk in the next room and do it. There has to be some personnel savings in your department if that central mail facility has moved out, I have to believe. Yet, I don't see a commensurate reduction. In fact, I see an addition of a person in your department. So, help me understand why centralizing that mail facility will not free up positions that can avoid the increase you're requesting. MR. YONKOSKY: For the record, John Yonkosky, revenue services director. Mr. Chairman, commissioners, in the mail room proposal, there's actually two processes. One of the processes would be that they could actually take the printing, folding, stuffing and inserting over if they had the equipment to do that, but it was not presented to me that way -- or actually, what we are going to be doing in the department of revenue, if the board approves the budget -- CHAIRMAN HANCOCK: If I can interrupt you. Let's go because you hit one point I don't want to lose. You said it was not presented to you that those positions -- that printing, stuffing, mailing -- that that was going to be done that way. So, we have an internal problem here because I believe it was presented to us that that centralized mail facility would do those things. Either I'm wrong -- MR. CARNELL: Steve Camell, for the record. Let's see if we can clarify this. The mail room proposal from the get go has been to save postage. It hasn't been about increasing or decreasing FTE, even though every person who has looked or gotten within five miles of it has asked that question. The situation that Mr. Yonkosky is referring to is that we had discussions with his office prior to the county manager's approval of the request for the mail room service proposal in which we talked about a number of different options with regard to how they affected the revenue services department. Mr. Yonkosky is correct in that we did not reach a firm decision on exactly where the hand off would take place necessarily. We put three different options on the table as a minimum; one of which would be to have -- I guess the most comprehensive one would be one where the revenue department prepares the bills and then submits them on some type of electronic media to the mail room. In other words, no piece of paper ever gets generated. The other extreme would be to have the revenue department do everything but -- that it's doing now all the way up to the point that the postage is affixed, and that instead of the U.S. Postal Service receiving that postage and putting the postage on, that the mail room will put it on, and we will obtain the savings on postage by doing that. Now, those are the two extremes, and then there's some options in between, such as the folding and inserting with which Mr. Yonkosky was referring to. The salient point here -- and let's go back to what I said to you Wednesday, because they are -- we were consistent with what we said, but my answer may not have been complete in terms of what Mr. Yonkosky is talking about here, and that is that -- the consistency is that I told you that the billing cycles that we would have to build up to what we were doing in the mail room, and it would take several months, a good part of the fiscal year before we were working and what we would consider to be full operation. CHAIRMAN HANCOCK: I think it was six months is what we were told. MR. CARNELL: Yes, and so, during that six month time frame, as a minimum, the staffing issue in the DOR from our perspective is moot because we have to run parallel for, at least, that amount of time, and that would be the earliest that we would really have a handle on the staffing. Now, in talking to Mr. Yonkosky subsequently, I think he would generally concur with that, and I'll let him give you more detail on this, but let me just succinctly say that what he said to me, and I think what he's indicating to you now, is that if you have the mail room assume responsibility for the folding and inserting, yes, there's an FTE impact, but it's very nominal in terms of the time spent for the folding and insertion process, and I believe Mr. Yonkosky quoted me as being 10 to 12 hours a month impact on that office, and if you would like to have him walk you through that in more detail, then we can do that, but that's, again, looking at one of the more best case scenarios if we were to assume all of that for him, which we are looking to try to do, but again, that hasn't been all ironed out yet in terms of capability, and everything we said on Wednesday to the dollar is true about the mail room proposal in terms of postage savings. It more than pays for itself, but I would say on the FTE side, if anything, you're creating more FTE in purchasing because you're going to have somebody, an intelligent person whose focus is, as I told you, the management of the mail in a central, across the agency kind of way, and that is not eliminating people. That's adding brain power, and that's adding focus to what we do. CHAIRMAN HANCOCK: But it's also supposed to be avoiding duplication, and anytime we talk about a centralized function such as DOR, the concept that is heard by the people up here is that we are eliminating duplication where possible throughout the agency. If that's not the case, then let's stop using the word centralized because that's what it means to me. So, if, in fact, all we are doing is a new postage system, that's how it should have been described to us because I remember -- MR. CARNELL: It's still a very centralized machine. CHAIRMAN HANCOCK: -- I remember asking the question about the equipment we just bought for DOR and how will it be used, and the response that I got back was that although that equipment is not up to the speed that this one facility would need, that equipment would still be utilized and, you know -- I wasn't told it will stay where it is doing what it does now. I was told that it will be utilized by the central mail facility. So, again, the impression of bringing it into a central facility was created, and I don't think I was imagining that. COMHISSIONER MAC'KIE: No. CHAIRMAN HANCOCK: I don't think I was alone in that. MR. CARNELL: Well, I would -- I would disagree with you in the sense that this is a centralized process for the mail operation, and I would -- and maybe you and I have a different understanding of what that word means, but I -- CHAIRMAN HANCOCK: It's important that we have the same one, Mr. Camell. MR. CARNELL: Yes, and we are talking about it all routing through one point before it goes to postal service. Now, I consider that centralization, and in terms of affixing the postage, that's a given, and that's going to save more that will more than pay for the proposal regardless of anything else that happens. Where the ambiguity, Mr. Chairman, right now is in terms of what happens on the front end in terms -- with the revenue department in particular with how much of that will be assumed by us and how much of that will be maintained by them. CHAIRMAN HANCOCK: And you're absolutely right. We need clarification on that throughout the year because it doesn't make sense to invest it in one area where, you know, maybe four, $5,000 or 10,000 or $20,000 investment, here you can eliminate a function elsewhere for the long-term. So, I want to see more of the centralization aspect on that as it comes throughout the year. Mr. Yonkosky. MR. YONKOSKY: The department prints its bills, approximately 500,000 a year, we will next year, slightly over 500,000. We take those bills, and we fold them and stuff them and insert them in an envelope and seal the envelope, and then we put them in trays, and we deliver them to the post office. We pay twenty-nine and a half cents postage to the post office for each one of those half a million pieces. Under Mr. Carnell's proposal, instead of delivering those trays to the post office, if we deliver them to purchasing, and they fold them in with the rest of the county's mail, the rest of the board's mail, which the department of revenue represents 25 percent of that, if we fold that into the rest of the board's mail so that it can all be ZIP code sorted, then the price will go down considerably to twenty-three cents a piece. CHAIRMAN HANCOCK: I understand that. I understand that, and unfortunately, while you were speaking, Mr. Camell was shaking his head no. So, Mr. Camell, do you differ with Mr. Yonkosky's opinion. MR. CARNELL: No. CHAIRMAN HANCOCK: Okay. What I'm saying is, are there any other departments that do folding and sorting and stuffing of envelopes and sealing of envelopes, any other departments in the entire county that do that? Do we do it here in this building now? MR. CARNELL: To my knowledge, the answer is no, and what that -- that doesnwt mean that they donwt have someone else do it for them or have a need for it, but I believe they are contracting it out through other entities when they need that -- have a need for that service. CHAIRMAN HANCOCK: Thatws the centralized function that Iwm talking about is that if we are going to begin providing that service, if we are paying -- contracting it out and paying every year to have someone else do it piecemeal here, here and here, certainly a centralized facility that does that where Mr. Yonkoskyws raw information shows up in boxes instead of all being done in his department, if we are already doing that function, it makes a lot of sense to do it in one location. So, Iwm just -- MR. CARNELL: Yeah, you and I arenwt that far apart because what wewre really talking about here -- youwre correct in that we want to look at folding and sorting and centralizing that as well, and I donlt want to leave you the impression that we arenlt, but Iim telling you, this program in purchasing pays for itself if we donlt fold the first piece of mail, just strictly on the mail -- CHAIRMAN HANCOCK: Postage saver. MR. McNEES: Mr. Chairman, maybe an order of magnitude, reality check is in order here. If there are other departments that might fold and stuff some letters or some notices or maybe assessment notices, you know, that might be a few thousand pieces through the course of the year. As Mr. Yonkosky said, they are doing 500,000 utility bills. They are cranking out a cycle or a batch of utility bills every single day, and on a piece of equipment that was specifically purchased for that purpose that is probably in use a good part of the time and the bills are printed. They are stuffed. They are folded and stuffed on the spot. So, I mean if -- maybe the question youlre asking is, is that folding and stuffing machine something that we could use, perhaps, for other mailing in other departments. It might be, but DOR is definitely the dog here when it comes to stuffing, and we donlt want to lose track of the discussion as if there are somehow these other big sorting functions that we are contracting out somewhere. They have a pretty much full-time need for that. CHAIRNLAN HANCOCK: I think youill find itls not the big ones that are costing us the money. Itls the small ones. MR. CARNELL: And Mr. Chairman, I just want to re-iterate our commitment to do what youlre talking about here, to maximize that. CHAIRMAN HANCOCK: The second item that I flagged when we were talking about other departments that affect DOR is the EMS billing operation. This was problematic in that, one, Mr. Yonkosky was given a target to hit, in which I believe you either hit or came very, very close to. I think it was 75 percent, and you got 72 or 73 percent. MR. YONKOSKY: Yes, sir. It was actually 69 percent the year before. You told us -- directed it up to 72, and we are very close to that. CHAIRMAN HANCOCK: Okay. What you should be commended for, particularly when I went through and found out all the billing problems that were occurring in the sense that the information exchanged between EMS and your department was not happening as fluidly as it should have. Since that time, Ms. Flagg and your representatives have gotten together, I understand. The problem is, what came out of that was an expensive capital project that puts our EMS folks on, basically, an electronic messaging, that they fill out the bill, and it gets transmitted electronically. Again, here I'm looking at paying for technology, yet we still need the same number of people to process it. So, we are paying the capital cost of this billing process plus we are paying the same number of people to do a lot of the same leg work, and that just -- that totally eluded me because if we've got a bill in the field that is being produced, that can be formatted in such a way that it's produced -- there's no problem reading the handwriting. There's no problem reading copy, four of eighteen on those forms. There's no problem with which code did they enter because it's entered electronically and pulls up the same name every time. All of those problems we were having in chasing them down and your folks having to pull out diagnostic code books and look up codes to check them, that should be going away. We should be seeing efficiencies, and again, if we are not, I'm not going to -- you know, I'll go back to the stone tablet and chisel. If it works and we can't do any better and we are just going to pay for a prettier form, I'm not interested in it, but if we are paying for a system that is going to give us efficiencies, I want to see the result of those efficiencies, and I want to see them in a department. I don't care whose, whether it's EHS or whether it's DOR. So, if we're going to fix all those problems and you're asking the board to pay for it to do it, show me the result. So, I assume -- have you had the opportunity to sit down with Ms. Flagg and talk about this system that -- Mr. Camell is saying yes. I assume you have. Tell me where it's going to save you time and money, Mr. Yonkosky. MR. YONKOSKY: The system is something that's going to provide a large amount of efficiency in several ways. The information is going to be captured the first time and entered into the system by the individuals that capture the information. We have just talked about demographic information before, and now what we've done since you raised the question last week, last Wednesday, we've gotten together, and we feel real comfortable that not only can demographic information be captured and input at the point of origin, but the hospital and insurance information can be captured, and that all of the coding that can be built into a database will be built into a database, and based on that discussion that Jeff and I had late last week and Diane and I had, that we feel that we can offer up an FTE in the department of revenue. Now, that has some assumptions to it that we can make the -- we can get the computer system and make it work, but we think that we can, and everybody wants to give that kind of an effort to it. So, we feel comfortable that we can offer up an FTE, and it's not a net gain to the board. We reduce an FTE, and Diane picks up an FTE, but the gain is still there in efficiency. We're going to be able -- we estimate to cut the billing process down by seven days. CHAIRMAN HANCOCK: We add one and we lose one, but in the out years, are we going to have increased collections? MR. YONKOSKY: Not only are we going to have increased collections, if the system works the way that we think it's going to, that system will actually -- if we get cash in faster, and we will, and a permanent deferral or increase of cash by seven days on the three and a half -- 3.6 million dollars is going to equate to six or $10,000 additional interest earnings in an annual basis. CHAIRMAN HANCOCK: Okay. Does that reduction of an FTE, is that reflected anywhere in the budget we've been presented today? MS. LEITH: No. MR. YONKOSKY: No, sir, it does not. CHAIRMAN HANCOCK: So, that's something, that addition would have to be worked out. Okay. Those are my two main concerns, and thank you for the work on -- particularly on the second part of that. The first part, we are just going to have to wait and see, I guess, and we'll know more in six months, I would take it. Other questions on IT -- oh, I'm sorry, on revenue? COHMISSIONER HAC'KIE: I'm sorry, but just that that would be -- hopefully, we are going to get those quarterly reports, but that would be one in particular to flag for a semiannual check. CHAIRMAN HANCOCK: A semi -- a midyear report from DOR on that one as we discussed here today? COHMISSIONER HAC'KIE: Yeah. I mean, I'm holding my comments about overall budget stuff, but we've had some allusions to getting quarterly reports, and that would be an example of one that would be particularly useful. CHAIRMAN HANCOCK: Mr. Yonkosky, in your budget, did you have any money budgeted for the collection of interim government service fees for the coming fiscal year? MR. YONKOSKY: Yes, sir, we do. We have money budgeted in there, and that will come out. CHAIRMAN HANCOCK: Not that we are going to pursue them, but since we are not budgeting for those as revenues, let's not budget for the cost of collecting them. If we are successful this year in implementing them, then it's all gravy anyway. So, the cost, which is far exceeded by the collections -- COHMISSIONER NORRIS: All gravy. CHAIRMAN HANCOCK: Yeah -- so, let's make sure we pull that out also. So, we have two things that are going to be coming out of the budget so far. One is a -- I mean, it's a full year or part year cost of an FTE, that needs to be determined, and the second is any cost associated with the collection of interim government services fees being pulled out. Other questions on revenue? Okay. Seeing none, thank you. MR. SHYKOWSKI: That moves us to the -- prior to wrap-up, we have grant and trust funds as well as -- MR. TINDALL: We have one more. MR. SHYKOWSKI: Oh, I'm sorry, OCPH first. Pardon me. MR. TINDALL: Mr. Chairman, commissioners, for the record, Phil Tindall from the budget office. The last internal service function that we'll be going through is the office of capital projects management, Fund 589, and we are on Page F-2 of the summary book, Page F-26 of the detail book. If you look at requested appropriations for FY '98, it shows an increase of 3.4 percent which is a little bit misleading. If you were to subtract out the transfers and reserves components of those expenditures, you're actually talking about a savings of about 317,000 or right about 10 percent, and most of that, about two-thirds of that is because of savings and personal services resulting from deleting six positions, which that averages to about just under $40,000 per position being deleted for FY '98. CHAIRMAN HANCOCK: This is one of those departments we budget reserves separately, not a part of the general fund? MR. TINDALL: That's correct, sir. CHAIRMAN HANCOCK: Okay. What's the purpose of reserves and OCPM when it's really -- all of your revenues are derived from internal departments? I'm not sure why we need reserves, and if we do, I look at three million plus, if you subtract out reserves from your total cost, I don't see 500,000 as being 5 percent. So, help me understand the reserve amount in this fund. MR. GONZALEZ: Adolfo Gonzalez, capital projects director. Mr. Chairman, the reserves is to essentially have about two months' operating expenses within our budget, and here's an example of how we use that. When the fiscal year starts in October, sometimes we do preplanning activities, lets say for this summer, for projects that are anticipated to start in October. We are essentially charging time to that but not building a project because the funds won't be available until October of one year. That's one example. Another example is when we are going through the beginning of the first three months of the fiscal year, sometimes we wait as late as January or February of each year for the audited carry forward amounts from the capital improvement plan for the prior year, which means we have to wait to do budget amendments until March, April of that fiscal year, and again, we're looking at a difference in what we have available versus what we expend. When we do the budget amendment, we simply catch up again. A third example of how we would use those reserves, although we have not in the last few years, is, let's say we don't do as many projects as we planned, maybe some projects take longer than we expect to or unexpected projects come up, unanticipated projects where we have to expend time and effort and dollars to do that, but yet, there was no funding available at the present time, and it may be one, two, three, four months down the road before we find a funding source, rebalance a particular capital project improvement plan and then request additional monies. Those are the different ways we would use that reserve, and again, it's about two months' worth of our complete budget. CHAIRMAN HANCOCK: Since that -- and I understand the operational difficulties, but since you could carry a negative on the balance sheet and have no material effect on the tax rate or project cost, again, being internal transfers only, I -- COMMISSIONER MAC'KIE: The cash flows would look funny, but in the real world, it wouldn't hurt anything. MR. FINN: If I may, Mr. Chairman, Edward Finn, operations director. Mr. Gonzalez, his fund is an internal service fund, not substantially different from the DOR or any of the other internal service funds. The revenues he generates through billings need to fully support his fund, and in the fund accounting, he does need to have a cash balance at all times in there. The clerk does not look kindly upon cutting checks when there is not cash in the fund. Specifically, his reserve is designed to provide for two months of cash reserves to allow for the cycling of billing as well as the normal 5 percent the board establishes for all funds to having reserves. COMMISSIONER MAC'KIE: Yeah, see, we are not too excited about that 5 percent one, but what you're telling me that sounds practical is that the clerk is not going to cut checks if we don't have -- if we have a negative balance, and we need the reserves for cash flow. MR. FINN: Yes, ma'am. MR. GONZALEZ: That's correct. COHHISSIONER HAC'KIE: I get it. CHAIRMAN HANCOCK: Only government, you know. COHMISSIONER HAC'KIE: I know. MR. SHYKOWSKI: Well, in addition, you have a large number of employees with large -- perhaps large accumulative leave balances that did not accrue while they were in OCPH, and OCPH, upon termination, absorbs all the costs of paying out termination pay and those things and has contingencies just like any other department, and that helps to defray some of those expenses as well. MR. HcNEES: To put this into perspective, I expect the Hole Honteses and the Wilson Millers in the world don't pay their employees with negative balances in their bank accounts either. They -- they have -- have to have actual cash to pay the employees, and that's what this is about. COHMISSIONER HAC'KIE: It's almost the same but just not quite. MR. HcNEES: It's not a government issue at all. CHAIRMAN HANCOCK: Actually, it is -- COHMISSIONER HAC'KIE: Yeah, I think it is, too. CHAIRMAN HANCOCK: -- because those companies -- any company gets outside funds, checks from outside. So, basically, it's a game to satisfy the clerk in my opinion. It's an internal fund that could carry a negative without having an adverse impact on the taxpayer. So, I disagree, but now is not the time to have a philosophy discussion, so -- COHMISSIONER HAC'KIE: On the positive, I just -- I think it's great that you're looking to reduce the percentage -- that your performance is to reduce the percentage of total budget that's OCPH related because I hear both wonderful things about working with OCPH, but God, they make a project more expensive. So, I'm glad to hear that you're watching that and trying to keep that under control. MR. GONZALEZ: Thank you, commissioner. If I could elaborate on that. That's one of the reasons why we eliminated six positions for the next fiscal year is that we're doing what you said -- what you asked us to do four years ago when you consolidated the office of capital projects management. We had about a 140 project work load backlog at the time. We are down to about 96 next year. With a decrease in work load comes a decrease in revenue. We went back and matched our expenses to meet our revenues. I did that by first reducing some of our operating expenses this year and next year. We further cut down on computers, software training, all that stuff. The next step was to eliminate positions. I eliminated two vacant positions, eliminated two positions that will be vacated through attrition this year, and unfortunately, I also had to eliminate two existing positions. Two individuals will be laid off this year. We are trying to help them find positions -- available positions within the county organization right now, and that was, again, as a result of that. One other positive note is that this year -- well, starting with next year, we will have repaid back the full amount of the funds that you gave capital projects to start out the department four years ago. We've repaid back, as of next -- including next year, eight hundred thousand and some odd dollars' worth of general fund and Fund 301 contributions you made. I've read some of the material from back then. I don't know if there was any commitment or requirement to repay that, but since -- in the last two years, we have done just that, repaid the general fund to a tune of about $800,000 -- and the excess engineering fees that we've collected through the years. Last year, we did a lot more work than we anticipated in doing. That created a surplus of funds. We are going to reimburse it back to our customer departments based on the percentage of work volume we are doing for them. This year it's about $120,000. Next year it's about 380,000. We could have reduced the rate slightly by a half dollar or thirty-seven cents, but I think there's more of an impact just to give them back 15,000, 70,000 to the departments based on their work load. So, I think what you set out to do, we are accomplishing that. COMHISSIONER MAC'KIE: That's great. CHAIRMAN HANCOCK: Your department is very thorough, and everyone is aware of that. In all projects that I've been involved with and those that I have been made aware of, the folks in your department are very, very thorough in the projects. What benchmark are you looking at as far as external factors to determine if, in fact, you're operating like a, quote/unquote, business? Are you doing comparable billing rates, comparable consulting rates versus private sector projects? Are you looking at any outside benchmarks to determine whether or not we're actually paying more for internal management versus external contract management? COMMISSIONER MAC'KIE: Real important question. MR. GONZALEZ: Two existing benchmarks. One is the hourly billing rate. I don't have with me today, but I can show you a graphic -- a chart that shows our team's hourly rate compared to four consultants in the local area. Tom Conrecode did an analysis a few years ago, and I updated it this year, which shows that essentially at the lower positions, such as inspectors and CAD or graphic technicians, our rate is about the same as the local consultants. The difference dramat -- the dramatic difference and positive to our side is in some of our senior individuals, our senior project managers, our veteran project managers, their hourly rate, we top out at $66 an hour is much less than 85 to $100 an hour that the consultant -- we are paying the consulting community for right out based on experience and level of work. COMHISSIONER MAC'KIE: Probably charge more hours, too, but -- sorry. Never mind. MR. GONZALEZ: I'm proud to say that -- CHAIRMAN HANCOCK: Calling the kettle -- MR. GONZALES: -- more so than any other -- more so than any other department in the county. We justify our existence by the hour because our budget is based on hourly estimate for each project. The other benchmark is -- hourly rates was one of them -- the percent -- total project cost as compared to the industry. We have some data that shows what construction management fees should be for different types of projects. They range typically from 3 to 7 percent. On our utility projects, they are averaging less than 1 percent of the total utility project budget, a capital improvement program, is going toward project management fees. Some of our other projects, such as facility projects, the percentages are higher. As an overall department, that's the 3 percent number that we are showing you there. Another benchmark we are going to try to have in place by next year is the percent of change orders. What are we spending on change orders in our projects? You will see that we are spending a lot of money in adding additional scope to an existing project. I'm having a hard time right now quantifying that as it is really just -- do we have scope crete where we're just adding a little bit more each time or are they better planned in the beginning. If so, then we'll deal with it differently. That's another benchmark we are going to try and use next year. CHAIRMAN HANCOCK: The last point that's more difficult to answer, but something, I think, we need to be aware of is duplication of payment. A lot of times when you hire an outside consultant or an outside engineering firm, whatever, you are basically hiring them to do the professional job and accept responsibility for the work. When we also have a management level on top of that, we tend to start assuming some liability that had we done it a little differently, maybe that liability would fall more to the design engineers. My concern is twofold there. One is that we are not duplicating the management aspect. In other words, they put in their budget what they would consider response to problems, and there's a percentage in there. We then also do that for the county, and then should something go wrong -- as we saw on the Immokalee Road project, we got drawn into it first and foremost because it was our people on-site saying do this, don't do that, that may have contributed to some of the project problems. So, there's a little duplication there that I'm not sure if it's -- if it's just I'm perceiving that duplication or if it actually exists, but I'm always of the opinion, if you hire a PE, a professional engineer or you hire an architect to design a building, that architect is responsible for the quality of that design. However, if the county begins overseeing that, do we assume some of that responsibility and are we given some of that responsibility and are we liable for it. So, there's -- it's always been, you hire a consultant because they kind of took the ball, and if something went wrong, they were responsible. It seems now that we are jointly responsible now because of the way we are set up structurewise, and I'm just not sure that's to our advantage. COHMISSIONER CONSTANTINE: Well, a couple of thoughts on that. One, when we first started to try and do more in-house -- I mean, the problem in 1992 and three, was -- it was like 15 percent or 18 percent or something of all projects where we were actually doing the work in-house, and now it's in the mid 40s, I think, which was the goal, anyway, at that time. I don't think we ever anticipated doing everything for that very reason. Some of the more complex issues, there are a number of issues, including liability, why we don't, but secondarily, I don't know that we've seen, and we certainly run the risk of it, but I don't know that we've seen successful liability claims against projects the county has done. We did the project on Immokalee Road. That was an allegation, and we came to a settlement. We had a very, very minor part of that settlement, and the big dollars came from the professionals that were involved in that. So, I think it's a natural thing, but I don't think we are looking to ever get to where we are doing 100 percent in-house. There's a logical reason -- number of logical reasons, including what you said why we don't, but I want to compliment you on how far we've come and how much has changed in five years' time. CHAIRMAN HANCOCK: Certainly not a criticism but a concern, and I just -- I'll look for the answers over time, but I just want to make sure we are not over managing certain levels of projects on which we are paying consultants to do that. COHMISSIONER HAC'KIE: That's pretty straightforward. If we are paying for it privately and consulting, let's don't also pay for it internal, in-house, and we hear that that happens sometimes, and so we are going to be eyebailing it. MR. GONZALEZ: Sure; understood. That is our mission this summer is to get back with our customers and make sure that we are their engineering arm, but we are not duplicating any of the work. Host of -- what we excel in are -- there's a few areas, public involvement. We do a substantial amount, and we're doing more of it every day on public involvement, more so than the consultant does. The other one is in preliminary engineering, during the preliminary phases when we're trying to give our customer, the client, some engineering information on the feasibility of a project, that's where we excel. The rest of the time we're just simply administering contracts where we are only doing contract administration. That percent of in-house design work is up to about 20 percent right now out of the 40 percent total in billings. I think the proof will be in the pudding next year when we start the construction of Livingston Road. That project is being designed in-house by -- I can tell you, you're not going to get a better design team than the one we're using for the Livingston Road in-house design project, and hopefully, no litigation or change orders or the percent of change order will be -- be a good reflection on my design team. They certainly deserve credit for that. I just remembered the other benchmark, commissioner, that I had told you about. The other one is the overhead multiplier rate for our department. I've compared that with local consultants in our -- our total overhead multiplier in terms of fringe benefits, administrative burden, general overhead types of activities compares favorably with local consultants. CHAIRMAN HANCOCK: Okay. Thank you. Any further questions? Seeing none, is that our last one, Mr. Symkowski, before going to wrap-up? MR. SHYKOWSKI: No, there are actually -- COHMISSIONER NORRIS: The trust funds. CHAIRMAN HANCOCK: That's right, trust funds. MR. SHYKOWSKI: -- trust funds and the grants and shared revenues, detail book D-2, D-3, and then the trust funds are on D-4 and D-5. Actually, overall within the -- on grants and shared revenues on D-3, there's a net decrease of five and a half percent. Again, these are based on estimated grant revenues to be received. The nature of the grants within this section include things such as the artificial reef program, the Section 8 housing, the HPO grant, the parks and rec., summer food grant, the transfer -- the county agent program and then the sheriff's grants. COHMISSIONER HAC'KIE: This basically is just an overall reporting of stuff we've already looked at on a case by case basis through the year on a grant by grant as they were -- MR. SHYKOWSKI: Correct, and the grants that are proposed or budgeted to be received next year. There's not really a whole lot of policy making. Each of those, obviously, during the course of the year you'll have an opportunity to vote upon as part of an executive summary as well before accepting any grant. COHMISSIONER BERRY: The grants that are shown here, these are the ones we know we will have this next year? MR. SHYKOWSKI: Or anticipate receiving based on past history, yes. COHHISSIONER BERRY: Okay. Are any of these multiple year grants that are shown here? MR. SHYKOWSKI: Multiple year grants. MS. GANSEL: Jean Gansel, the sheriff's office, the funds that are shown here are only an annual allocation. However, some -- and they will come back each year to you. However, some of the sheriff's funds grants, I believe, may be ongoing. I don't have that information. COHMISSIONER BERRY: Okay. I just wondered out of that 42.4 percent that is shown here, it shows for the sheriff's grant, 194,000, I just wondered what percentage of that or is there any part of that will continue on, do you know, or what you're saying right here is what is for next year? MS. GANSEL: This is for next year, and this is only the county's match. That's not the total grants; the county matched and for an annual allocation. Sometimes the fiscal years of grants are not consistent with the county fiscal year, so some of them may go over into other fiscal years because of the granting agency's fiscal year. MR. SHYKOWSKI: The sheriff's grants are also unique. You're not transferring -- the match is not from the general fund. It's typically from the confiscated property trust fund as well. So, it's not ad valorem dollars making that match. CHAIRMAN HANCOCK: We've asked this question each year. Do we have a review of what are we getting stuck with when the grants run out on this? In other words, out of the 194,000 that shows up here, if and when -- well, when -- COHMISSIONER BERRY: That's where I was going, Mr. Chairman. CHAIRMAN HANCOCK: Okay. I thought -- in other words, do we look at the individual timing of these and see how they stagger for completion and what are we stuck with and what fund does it come from at the end? Has that review been made of these grants? MS. GANSEL: There are some of the grants that we have some money in the sheriff's budget where the funding has completed. I believe the cops grant is one of those that was addressed during the sheriff's budget, operating budget where those positions have now been included in the sheriff's budget. CHAIRMAN HANCOCK: Okay. But we don't -- MS. GANSEL: That is true. MR. SHYKOWSKI: In addition, most of these are -- are not really geared toward personnel. You know, the summer food grant program, obviously, just supplies lunches at summer camps. Natural resources is the artificial reef program where you're utilizing funds to expand artificial fishing reefs. CHAIRMAN HANCOCK: Well, that's why I asked about the sheriff's because the rest of them, we tend to come through a more critical review stage for us. A lot of the sheriff's grants, we just started -- at least from the time I've been on the board, about a year and a half ago, really started, you know, going after, well who picks this up when it's done, how long is it going to last, and those questions are usually -- the answers are somewhat ambiguous because you never know how long the grants are going to last. So, I just want to know, out of the 194,000, you know, how much of it commits us to long-term personnel costs as opposed to computer software which is a onetime shot? COHMISSIONER CONSTANTINE: You know, if we want to put our hand on those, we can. Most of the grant programs, federally funded grant programs have a life to them. You can look, and it has been funded by the federal government through year 2001 or through -- it may or may not get renewed at that point, but you know it's not scheduled currently to go on a particular year, and you're right, we've never got that comprehensive review back so we can anticipate when we'll take up the slack. CHAIRMAN HANCOCK: We've done a case by case in the last couple of years as they've come through, so I think we -- like the cops grant, I remember talking about that my first year on the board, and that was, I think, a three year grant -- COMHISSIONER MAC'KIE: Yep. CHAIRMAN HANCOCK: -- so it makes sense, but what I'd like to do is -- and it can't be done right now, but to get a report back on which grants are personnel oriented and have a long-term effect on the personnel cost within the sheriff's office, and likewise, for any others; if it's a parks and rec., a summer camp grant where they pay for counselors. I mean, if any of those others are ones that we have not reviewed recently, I'd like another shot at them so we can see the coming costs. MS. LEITH: Shelia Leith, budget office. The human resources RSVP grant does have a position attached to it. It's a three year grant. However, that position is a temporary position and is funded through the grant and would go away if the money did not continue on, but it is an ongoing program. There's also half a position with the emergency grants, Ken Pineau's area, which is also a temporary half-time position. It can also go away. MR. SMYKOWSKI: And to demonstrate to you that we're cognizant of that issue, within the solid waste grants, which were reviewed actually as part of the solid waste budget, there is a reduction, as Mr. Vincent indicated, in proposed grant funding next year and one of the recycling positions is being eliminated as a result of that grant funding going away. CHAIRMAN HANCOCK: I appreciate your attention to that. I think it's stuff that may have occurred three or more years ago that we probably want to get a good look at that we may not have had an opportunity to recently. Any other questions on grants and shared revenues? Next. MR. SMYKOWSKI: Trust funds are on Page D-4 and D-5. Again, this is money collected for a specific purpose, for example, the confiscated property trust fund, the GAC land trust. Of note, the GAC roads trust fund is essentially slated to be closed out in FY '98. We've utilized that money, the principal and interest, to pave roads to the extent that we could with available funds in that regard. CHAIRMAN HANCOCK: That will represent a capital cost to the county if we should continue on a policy that GAC continues -- which is what; ten or more houses on a given street? So, there's a potential for an increase in capital cost to the county if we adopt that as a policy for capital improvements for roadways; isn't there? MR. SMYKOWSKI: It's actually born in your road MSTDs where we -- where there was an increase, obviously, because of the lack of residual funding available from the GAC source. That's made up by ad valorem in that area in the estates to continue that road paving effort. The library trust fund is, obviously, just for bequests and donations received. Criminal justice trust fund is a transfer to the general funds. So, that actually is general fund revenue, and let's see, there is an expanded service request within the utility regulation trust fund. CHAIRMAN HANCOCK: Let's back up to criminal justice. You said that that is actually revenue that is transferred to the general fund? MR. SMYKOWSKI: Yes, sir. CHAIRMAN HANCOCK: Okay. Let's talk about the big old drop in that one. The adopted budget '96/'97 was 275,000. There was a realization of some excess $129,000. What was the reason for realizing that much more than budgeted? MS. GANSEL: Actually, we had under budgeted for a number of years, and there was a carry forward that had continued to carry over in that fund. We would like to recognize all of that and transfer it into the general fund. It's money that we received from the state for our state attorney, public defender and medical examiner. CHAIRMAN HANCOCK: Are we then continuing to under budget by -- MS. GANSEL: No, that was a build up over a number of years that had never been -- the carry forward continued. That is consistent with -- our projected budget is very consistent with what we annually have been receiving. MR. SMYKOWSKI: Right. CHAIRMAN HANCOCK: I don't know about the rest of you, but each year there's an excess, I'd like to see the carry forward just placed in the general fund. If that's where it's going to go ultimately, let's do it every year. If we budget two seventy-five, and we get two eighty in, let's put the additional five in the general fund. COMMISSIONER MAC'KIE: And instead of us having to discuss those each year, Mr. Smykowski, help us find those. Point those out to us because it seems like every year we find a little something like that that I wish we didn't have to discover. MR. SMYKOWSKI: Okay, and just to give you an idea, in terms of last year, the court fees that we received that fund this transfer were $288,050, and our budget is two ninety, so we are right in line with where we need to be. CHAIRMAN HANCOCK: I see budgeted two seventy-five five. MR. SMYKOWSKI: We do have the statutory requirement of the 5 percent revenue reserve, and that's actually where a portion of that carry forward materializes from, by virtue of the fact that you can only appropriate ninety-five cents on the dollar. It actually builds almost a guaranteed carry forward, but we do pick that up in the next year and would adjust for it in the forecast column where you would receive the benefit of those additional funds. CHAIRMAN HANCOCK: Thank you. MR. SMYKOWSKI: You're welcome. CHAIRMAN HANCOCK: And I'm sorry, please continue. MR. SMYKOWSKI: There is one expanded service request in the utility regulation trust fund, 669 on Page D-5. MS. GANSEL: Before we discuss the expanded, I would like to point out that currently, we do charge four and a half percent fee to the private water and wastewater utility customers that are regulated by the county. For fiscal '98, we are proposing a 3 percent fee. Four and a half percent is what the Public Service Commission had previously been charging and was carried forward for the first year of this office's existence, but they are proposing to reduce that to 3 percent in the -- COMHISSIONER CONSTANTINE: And that's consistent with our goal. When we set out to do this, we said one of the benefits is that we can do it more efficiently and cheaper than Tallahassee, and we've proven we can, and so now we pass that savings on to the customers. MS. GANSEL: And that will be discussed tomorrow. There's a public hearing at your board meeting for that. The expanded request is for professional fees with the anticipated receipt of two rate adjustments in the upcoming year, and that's what the $56,000 is for. CHAIRMAN HANCOCK: We have -- and Mr. Wallace, we have four people in utility regulations, yet we are going to pay $60,000 to consultants to review rate increases. Help me understand why -- I just assumed that the reason we had staff members and utility rate authority locally was to do just that, so help me understand why we're paying another 60,000 to accomplish that, please. MR. WALLACE: For the record, Bleu Wallace, office of utility regulation. Yes, Mr. Chairman. Initially, when you set up an office of utility regulation, you're going to have some costs up front that you normally have not experienced in the past. Number one is getting qualified accountants up to speed in utility rate making. I experienced this in both Hillsborough County and in Sarasota County. Until the staff is qualified as expert witnesses to give testimony in a public hearing and being challenged by the utility for things that we find in their filing, you open yourself to have your expert witness voir dired if they are not qualified, and also, you're opening yourself up to possible litigation -- COHMISSIONER HAC'KIE: Mr. Wallace -- MR. WALLACE: -- if they don't get what they want. COHMISSIONER HAC'KIE: -- wouldn't that be a qualification requirement though for a staff person that they -- MR. WALLACE: No, ma'am. COHMISSIONER HAC'KIE: Why not? MR. WALLACE: Well, we hired as the fiscal analyst is what we have, and we have two on board. One is a recap, and one is a qualified accountant, but getting the proper training and experience in utility rate making, which is a very narrow field, that takes time and experience, and I have sent both of these fiscal analysts to the National Association of Regulatory Utility Commissioners rate course, but again, this takes time, and I would imagine within a couple of years or in receipt of a couple of rate cases, we can get that expertise. Now, that's not to say that these fiscal analysts haven't been busy. We've received some seven utility adjustments or rate adjustments in the past year. Six were price index related, and a couple pass-throughs. We did have one pass-through decrease that they have been involved in, and they have -- COHMISSIONER HAC'KIE: I'm sorry, but I didn't understand the answer to my question. On the expert witness function and, you know, the ability to be qualified to testify in the cases and that kind of stuff, that's not a job description requirement because you couldn't fill the job if you -- I mean, why would you not have that as a requirement of a job description? MR. WALLACE: Well, that -- those were the approved positions whenever I came on board a year ago. I had a similar problem in Sarasota County where they were trying to build their own in-house staff. We were fortunate in getting one qualified expert witness that was able to train the others in that very narrow utility rate making field. COHMISSIONER HAC'KIE: So, if we changed the description of the employees -- you know, if you had something other than what you are handed when you walk in, you would include that in the job description, I assume. MR. WALLACE: I doubt seriously if we could fill that position. I think you're better off gaining that experience through time. We've yet to have a full blown rate case submitted. Once we do and we acquire the services of a consultant, part of that consultant's duties will be to work in concert with these fiscal analysts, let them do a lot of the leg work, and they will gain through those experiences. We have not been challenged on the price indexes or the pass-throughs, and these two fiscal analysts on board have been testifying in front of the authority. So, they are gaining in experience and knowledge of this utility rate making field, and I think within a couple of years, we'll be able to reduce the budget because we will be able to do everything in-house to include full blown rate cases. COMMISSIONER MAC'KIE: I'm going to try this just one more time, and then I'll quit, but it seems to me that once they have that expertise, they are going to want to be paid more or we are overpaying them now if they don't have that expertise that we are having to hire outside consultants to fill in. MR. WALLACE: Well, I don't know if I can answer that or not. We did hire an entry level senior fiscal analyst and also one recap fiscal analyst two. These are degreed accountants and -- COMMISSIONER MAC'KIE: But it's a training position for them? MR. WALLACE: Yes. COMMISSIONER MAC'KIE: They are getting some serious training as a part of their employment in Collier County in this department? MR. WALLACE: Yes, ma'am. COMMISSIONER CONSTANTINE: Commissioner Mac'Kie, since 1990, I've been through three rate case hearings in Golden Gate when they were all -- when they still went to the Public Service Commission, and Bleu is absolutely right. You want to make sure you have qualified people, and I think if -- the people who are on our staff are in training -- I don't know that we'll ever get to zero budget for this, but we'll probably have to -- better to be safe, we'll probably always have to be sure that we have the ability to bring in someone during these rate case hearings, if necessary. I know Commissioner Norris has been through at least one or two on Marco Island. I -- I think it's legitimate. I think what he's asking for is completely legitimate. We've got to make sure that if we have a full blown rate case, we have the ability to handle it. COMMISSIONER MAC'KIE: Yeah, I just think that we ought to be able to handle more of that with our staff and less of it with outside consultants. CHAIRMAN HANCOCK: I think those two dovetail into one question. How long until one of these folks is an expert? MR. WALLACE: That's a good question, sir. I was able to -- we were able to get two qualified in Sarasota County in about two years. CHAIRMAN HANCOCK: Okay. So, I think over the next couple of years, we are going to be looking for that at each budget year how much closer are we to having anyone certified as an expert, because I think that could handle the majority of the cases, but maybe having to bring in big guns for the larger issues that may arise time to time. MR. WALLACE: Most certainly. CHAIRMAN HANCOCK: Does that make sense? MR. WALLACE: Yes, sir. CHAIRMAN HANCOCK: Does that answer your question, Commissioner Mac'Kie? COMMISSIONER MAC'KIE: I can live with that as long as we've got a goal. CHAIRMAN HANCOCK: Okay. Any other questions on this? Seeing none, let's move on. MR. WALLACE: Excuse me. I would want to point out that on the fee, reducing it from four and a half percent to 3 percent, you will see that again tomorrow. Staff has already scheduled a public hearing, and that does require a public hearing for that fee to be reduced. Then the water and wastewater authority then would have the -- has the power to order the utilities to reduce their rates commensurate with that reduction. CHAIRMAN HANCOCK: I would anticipate a very short hearing on that one. Thank you, Mr. Wallace. MR. SMYKOWSKI: That concludes our regular agenda. If you'd like to move into wrap-up at this time. COMMISSIONER CONSTANTINE: Mr. Chairman, as we prepare to go onto the wrap-up items, something you said this morning I want to make sure we're going to do, and that is the items for wrap-up are those items that the majority of the board said they wanted to see again or hear detail on -- CHAIRMAN HANCOCK: Correct. COMMISSIONER CONSTANTINE: -- not what somebody wants to take a second chance at or -- and this list we've been given, there are several items we didn't request. Under the sheriff, the attrition savings, the 800 megahertz radio, the operating budget, none of those did we ask to hear again. The -- CHAIRMAN HANCOCK: Correction, on attrition savings, I did ask -- I asked for -- because we pointed out -- I asked for it. So, yeah, I did ask for something on attrition to show the true attrition, not -- COMMISSIONER CONSTANTINE: Actually, I remember that now. The 800 megahertz and operating budget, I think we were pretty clear by the time we finished those discussions. The majority -- CHAIRMAN HANCOCK: Let me try to put some rhyme to this as we go through, because on any position in which there was a majority of the board making a decision, if a member of that majority wishes to change their mind and hear additional information today, then that's fine, but as you pointed out, 800 megahertz, I think it was five oh, that we eliminate that. The sheriff's operating budget was -- I think there was three affirmative votes at the level funded, and you're right, this isn't the second chance saloon. You don't come in and get two shots at your budget. So, unless somebody on the majority wants to change their mind as we go through these, then we will -- we are not going to hear them. Although, if they want to hear them, they can sign up as a public speaker and have their five minutes. COMMISSIONER CONSTANTINE: There's a couple others on here, too. The courts funding for a four-floor courthouse, I don't remember anybody saying we wanted that to come back again. COMMISSIONER MAC'KIE: And I thought we settled the domestic violence unit as well with the understanding someone would be assigned to that job. COMMISSIONER BERRY: It's a requirement. COMMISSIONER MAC'KIE: Right. COMMISSIONER CONSTANTINE: Yeah. COMMISSIONER MAC'KIE: So, we can skip that one. COMMISSIONER CONSTANTINE: Capital funds, city beach ends, I thought we said we'd go ahead and leave that in pending an interlocal agreement which we'll try to get by September and then if for some reason we didn't have one, we'd deal with it then. COMMISSIONER MAC'KIE: That's the way I remembered it. CHAIRMAN HANCOCK: Let me clarify that, at staff direction is interlocal agreement by September? COMMISSIONER CONSTANTINE: Before our budget hearings -- COMMISSIONER MAC'KIE: Finals. COMMISSIONER CONSTANTINE: -- to final, yeah, but go ahead and leave them in for now. MR. SMYKOWSKI: Mr. Olliff is nodding, so I would assume that can be accomplished within that time frame. CHAIRMAN HANCOCK: Okay. COMMISSIONER CONSTANTINE: Down under cable franchise, we did ask for the equipment purchase, but I didn't recall a majority asking for the telecommunications ordinance consultant, 30,000. I thought we were very clear on that. MR. SMYKOWSKI: That was initially a flag and then an out, and there was some question as to whether it was in or out. We erred on the side of, again, putting -- COMMISSIONER CONSTANTINE: It was out. MR. SMYKOWSKI: -- it on the list, and also, on some of the other items, they were requests from agencies that do not work directly for the county administrator, and, you know, they did ask to address the board on those issues, and we erred on the side of at least putting them on the list. Obviously, you have the discretion to determine whether or not they will be heard. CHAIRMAN HANCOCK: As I expressed to you, Mr. Smykowski, I don't want a constitutional officer complaining that our staff did not give them their due time or did not schedule them, but it certainly is the -- this board's authority to choose whether or not to listen to an item twice instead of once. MR. SMYKOWSKI: Yes, sir. CHAIRMAN HANCOCK: So, let's go down the list again. We are going to start with the Roberts Ranch caretaker position which we agreed to hear. We want to hear on the sheriff's office, the breakdown of attrition savings because they did it based on positions as opposed to salary. I don't -- I don't remember Building J improvements. I thought we authorized -- MR. SMYKOWSKI: That was Commissioner Constantine's request. There was $100,000, but I think that was made up of three or four components, and at that point in time, they did not have the individual breakdown of what those pieces were, and he did ask for follow-up on that. CHAIRMAN HANCOCK: Okay. Did we flag that as a reduction or was that just a request for more information? COMMISSIONER CONSTANTINE: I think we flagged that as -- it was not reduced out. We flagged it because we thought perhaps we could reduce some of that. CHAIRMAN HANCOCK: Okay. So, let's -- I guess we are going to hear that. COMMISSIONER BERRY: We'd better hear that. MR. SMYKOWSKI: Yes, that is not part of your reduction list at the moment. CHAIRMAN HANCOCK: 800 megahertz radios, I don't think there was any lack of clarity there. So, we're not going to hear that. Sheriff's operating budget, that was three votes at 6.7 percent. Does a member of the majority wish to rehear that item today? COHMISSIONER CONSTANTINE: No. CHAIRMAN HANCOCK: And again, if anyone wishes to speak on those, you can register under public speakers. County -- county attorney breakdown of personal services increase -- COHMISSIONER HAC'KIE: Look at his memo, and he says he agrees to decrease, right, which is what we -- I thought we had just asked him to decrease it, and his memo says he understood that. CHAIRMAN HANCOCK: I'll tell you what. Let's leave that on, and we'll get a quick shot on that for clarification's sake; is that okay with everyone? EHS billing coordinator position. COHMISSIONER HAC'KIE: It's okay now because DOR has taken theirs out, right? CHAIRMAN HANCOCK: Right. EHS is an add. DOR is a reduction. COHMISSIONER HAC'KIE: We don't need to hear that. CHAIRMAN HANCOCK: We don't need to hear that? COHMISSIONER NORRIS: Yeah, we've already heard that. CHAIRMAN HANCOCK: Circuit court judges prior year's actuals of temporary help. Okay, I do remember that discussion, so let's keep that on. Courts have been taken care of with the exception of, apparently, Ms. -- Judge Wilson's resignation, which I've ironically not read anything about in the paper. State Attorney, public defender -- COHMISSIONER HAC'KIE: I thought we cut that. CHAIRMAN HANCOCK: We cut it. MR. SHYKOWSKI: You did cut that. The actual -- the cost estimate at that point was 150,000, and you indicated at that point if the state attorney or public defender had issue with that, they should come and address you at wrap-up, and they have made the trek here and are prepared to do that. CHAIRMAN HANCOCK: If we said that, then let's honor it. We'll hear that item. Grants, TDC coordinator position. COHMISSIONER HAC'KIE: I thought we left that in. CHAIRMAN HANCOCK: I did, too. Mr. Smykowski. MR. SHYKOWSKI: Yes, sir. The issue there was whether or not there was immediate dollar for dollar revenue associated with that. There was an $8,000 increase in the budgeted TDC reimbursement revenue. CHAIRMAN HANCOCK: Right, and the balance was -- MR. SHYKOWSKI: And the balance was 50,800, and that was the -- COHMISSIONER HAC'KIE: I thought we left it in and said we're going to watch for -- be sure it pays for itself, but -- that we left the position in. CHAIRMAN HANCOCK: We -- yeah, we left it in but said that we wanted to see offsetting revenue elsewhere throughout the year and asked if you -- if that could be -- it was a little creative budgeting, but if the department's effective would be offsetting in revenues due to the receipt of grants. I wasn't aware -- I think the position was left in, but we were saying we wanted to see the revenue side increase to cover the balance of the position. That's my recollection of that discussion. COHMISSIONER NORRIS: We just wanted it tracked -- COHMISSIONER HAC'KIE: That's right. COHMISSIONER NORRIS: -- down the year to see if we were getting anything for what we were spending. COHMISSIONER HAC'KIE: So, we don't need to talk about that one. CHAIRMAN HANCOCK: Okay. COHMISSIONER NORRIS: We don't need to talk about that again. We just talked about -- CHAIRMAN HANCOCK: But somewhere, there needs to be revenues budgeted so that it's not -- COHMISSIONER HAC'KIE: Even in the first year? I thought we said we were going -- MR. SHYKOWSKI: See, and that is the issue we had at our divisions staff meeting on Friday with Mr. Fernandez, in that year one, a grant position is not necessarily going to show a dollar for dollar savings or associated revenue. COHMISSIONER HAC'KIE: I think we'd have to track it -- you know, have to track it, but not expect actual dollars in the first year. CHAIRMAN HANCOCK: So, the number you're going to give us today does not include offsetting revenues for that TDC grant position with the exception of the $8,000 from TDC? MR. SHYKOWSKI: That is correct. CHAIRMAN HANCOCK: Okay. Not what I wanted, but I understand. COHMISSIONER HAC'KIE: Then we finished the capital -- CHAIRMAN HANCOCK: Beach ends interlocal is out. COMMISSIONER MAC'KIE: Yep. CHAIRMAN HANCOCK: Capital fund, concrete medians and lighting issues. COMMISSIONER CONSTANTINE: We do want to go through that. CHAIRMAN HANCOCK: Do we want to go through that? Okay. Clerk of courts, additional turn back from 4 percent attrition budget -- MR. SMYKOWSKI: I spoke with Mr. Brock on that issue since he had not budgeted attrition, and I have a response. CHAIRMAN HANCOCK: Okay. Let's hear that. Did you want to go through the video equipment purchases, Commissioner Constantine? COMMISSIONER CONSTANTINE: Do you remember they were going to try and see what the -- if there was a reasonable expenditure at fifty, and if not, we would just not -- CHAIRMAN HANCOCK: Sometimes all I need is a little kick on some of these to remember the discussion. COMMISSIONER MAC'KIE: Sure. CHAIRMAN HANCOCK: Purchasing, personnel in DOR and mail room, did we cover that today? COMMISSIONER NORRIS: We talked about -- MR. SMYKOWSKI: Yes, that was covered today. That was just to be sure that it was addressed. CHAIRMAN HANCOCK: Non-departmental deferral of general wage adjustment, I thought we decided to do that, didn't we? COMMISSIONER MAC'KIE: You were just going to tell us the number. We were going to do it April -- MR. SMYKOWSKI: There was some issues related to the other constitutional officer budgets. We did speak with the property appraiser and tax collector in that regard regarding whether or not they intended to comply, and we'd like to report back on that issue for you. CHAIRMAN HANCOCK: Okay. Let's do two things here for everyone who's seated here and maybe monitoring this. We are going to take a lunch from noon to 1:00. What I think we'll do is let's go through the museum element, and then the balance we will start promptly at one o'clock after the lunch break. COHMISSIONER CONSTANTINE: Just to be clear, when we get -- we'll do public speakers at the end when everything -- when we've cut through our list? CHAIRMAN HANCOCK: Correct. COHMISSIONER CONSTANTINE: And everyone will have their five minutes. CHAIRMAN HANCOCK: Correct, five minutes time allotted for each public speaker at the conclusion of today's meeting. Let's go ahead and take the museum item on the wrap-up list. This was the Roberts Ranch caretaker position. We were to look at making an -- actually an additional allocation in the budget for a caretaker. MR. OLLIFF: Mr. Chairman, just to frame the issue for you just for your recollection, the item was requested by the Friends of Roberts Ranch, and it was a position, a caretaker type position that would open the facility up to the public. The total estimated cost was 23,700. In looking at what operational reductions could be offset, we reduced the lawn maintenance contract and some of the security contract costs that you would have borne had the position not been there, and you can reduce that portion of the budget by about $8,000. So, the decision for you today is actually a $15,700 decision on that position. COHMISSIONER CONSTANTINE: Mr. Olliff, was this recommended by the county manager? MR. OLLIFF: No, sir. COHMISSIONER CONSTANTINE: Okay. COHMISSIONER HAC'KIE: If we were to approve the position, though, didn't we think -- excuse me -- that some of the things that were in your budget could come out, like some of the maintenance and -- COHMISSIONER BERRY: That's what he -- CHAIRMAN HANCOCK: That's what he just discussed was the security and mowing was about 8,000. MR. OLLIFF: Eight thousand dollar reduction. COHMISSIONER CONSTANTINE: Deja vu. COHMISSIONER HAC'KIE: I knew I heard it somewhere. Sorry. MR. OLLIFF: I believe the board has a couple of options. You could charge a fee for entrance, but I can't tell you how much. In fact, I would be real hesitant to tell you how much you might be able to expect in revenue there, but that might be an offset, and there is an option of having this go through a TDC fund as well, if you wanted to have this as a special request for a TDC funded operation there at Roberts Ranch, because it is tourist related. CHAIRMAN HANCOCK: Commissioner Berry. COHMISSIONER BERRY: Is there any chance that we could apply to the TDC? In other words, can we -- could we approve, say, this $15,000 amount that Mr. Olliff has indicated and apply to TDC, and contingent upon their approval of some funds toward this and if we don't get them, then we'll have to take another look at it later on; is that a possibility? CHAIRMAN HANCOCK: It's possible. My question is one of qualifying. COMMISSIONER BERRY: That, I don't know. CHAIRMAN HANCOCK: Unfortunately, TDC, when it comes to museums and so forth, addresses capital issues and not administrative or personnel issues to my knowledge. COMMISSIONER BERRY: Okay. MR. OLLIFF: You're actually funding your local museum operation completely out of TDC funds for the last year and this coming budget as well. CHAIRMAN HANCOCK: That's correct. MR. OLLIFF: And if you -- the third option I guess that you have is, is your current museum budget which is funded by TDC funds does have $21,000 in a reserve there which is unobligated in any expense which you have as an option to use as well. COHMISSIONER CONSTANTINE: I have no objection to running it through the TDC. I'm not sure I want to set aside ad valorem funds in the meantime. I mean, if it goes through the TDC and for some reason doesn't work, then we can try to address it again at that time, but I don't want to put assurance in there out of general fund's money for it. I think it's probably appropriate for TDC money. CHAIRMAN HANCOCK: Why don't we give Ms. Goodnight an opportunity to address us, which she requested earlier or mid part last week, and then we'll go from there. MS. GOODNIGHT: For the record, my name is Ann Goodnight, and I'm the secretary of the Roberts Ranch. These were all the things that I wanted to bring back to you when I came back in August or September and talk to you about just exactly how we would do the funding of the thing, because we are so new, we have applied for incorporation. We have not gotten back the paperwork yet from Tallahassee, but we are in the process of doing that, but some of the things that we have talked about doing is that we would do all of the fund-raising, helping with writing the matching grants for any type of restoration that needed to take place at the site, that we would follow the recommendations of Chalmers Yeilding that I believe you all paid for a couple of years ago as to the different sites that were there. We would volunteer to be on-site to help with any type of stories that needed to be told about the ranch or people coming through there and visitors. One of the things that we would recommend to the board would be -- that there would be some type of a donation or entrance fee after, you know, we begin to get to where people could actually come on-site. There's just a number of things that -- there's questions there that the Friends need to decide how we need to go about doing this and all, but what we are wanting to do is we're wanting to be the fund raisers to raise the money to restore it, to give to the county and help with any type of grant writing and any volunteering or anything that needs to take place on-site. We would also like to be in the loop as far as making recommendations to the board as -- maybe purchasing property or buying something that needed to be bought there. You know, that was all the things that we wanted to bring back to you before the 1st of October and telling you just exactly what we felt like we could do, but what we feel like very positively is that we need to have an employee there on-site the same as the Wash House in Everglades so that we can begin to do the maintenance and making the place safe, and that's my biggest concern is that right now -- your department of safety has said that the place is not safe for anybody to come on, and that the county is liable for it. So, we can't take any tours on there. We can't have visitors to stop by and look at the place or anything, and this employee can begin to help to rectify some of those problems. CHAIRMAN HANCOCK: Ms. Goodnight, I understand that this type of commitment really would represent a major kick start for the people who are interested in going out and seeking the funds and all of the -- everything that you need to make this a quality tourism designation. My concern is a little bit of the cart before the horse. As I look through -- and I thank you for this booklet because it shows some strengths, and it shows some real weaknesses in what's out there. With somebody on-site, I understand the security aspect, and it now makes it possible for people to come out there because there is supervision in place. However, I'm concerned about the quality of this as a tourism designation at this point. A lot of what you're talking about, the renovation that would take place and the dollars that are needed to do it, once those dollars are expended and the quality of the entire project begins to take shape, then I think having someone on-site to spin yarns and tell stories and do all that makes a lot of sense, but a lot of what I'm looking at, the horse barn and tack room and so forth, and I'm just wondering if we aren't just a little early in having someone on-site, because, quite frankly, I'm not sure we want to encourage use of this as a tourism site just yet. There's got to be some work done to make it a quality experience. Otherwise, we are just not -- we are spinning our wheels and doing so with tax dollars. I would like to go to the TDC with a request, but that request be part of a whole that says on this date, we are going to have this program in place, and it's going to be great for people to go out there, and it's going to be positive and so forth. I -- liken us to having someone at the laundry facility in Everglades during construction, that's kind of how I feel about this. There's a construction period that needs to take place on this site to make it a designation, and I'm not so sure that what we are doing isn't really putting somebody on-site before that construction is completed. That's my biggest concern about this. MS. GOODNIGHT: And I understand that. I guess that maybe -- I guess what the Friends are looking for is actually a commitment from the county that they will work with the Friends, because if we are talking about going out and raising several million dollars to restore this, then I certainly want the county to step forth and say, yes, if you do this, then we are going to do our end -- our end of the bargain, and that's the reason why that when I brought it to you last week, I said I have a proposal for you, I'd like to bring the final proposal back to you in the later part of the summer, and at that time then we can decide what we need to do to get this going. COMMISSIONER CONSTANTINE: I think -- I mean, I'll certainly commit to work with you as far as going through the TDC and doing those various things, but you know perhaps better than anybody that has spoken to us in the last week that we can't commit to what future boards will do, and I think the board of commissioners can take a role. What happens five years from now, none of us have any control over, but as far as a commitment to try to work with you, I'm happy to do that. I just don't know that general fund dollars before any of that work has been done and before some of that private fund-raising has been done is appropriate. MS. GOODNIGHT: And I wasn't necessarily meaning that the money should come out of general fund dollars. I mean, I knew that the museums was being funded now by TDC, and if that's the way that you all wanted to do it, that's your decision. If -- that's not mine. Mine was to bring to you the problem that we have, and we feel like that we need this person on-site to help us to facilitate what needs to be done. We intend on bringing all types of people into the area to show them what the ranch is like. We are going to need there -- we are going to need someone on-site to begin to help us to do some of these minor things that needs to be done. As far as the horse barn and things, that's not county property. The facility, the building is county property, but it's not owned as county property, and so that's something that's a long range that needs to be done with the fund-raising and the grants and everything to get it moved over or to restore or whatever it is that the Friends and the Board of County Commissioners are going to do. My thoughts on previous boards, and I agree with Commissioner Constantine completely, is that it's real hard though when an employee gets there, for that employee's position to be cut, and so that was the reason why we felt like we would have a better chance of keeping one employee out there if we could show we had done the type of fund-raising that we intend on doing in making this place a first class tourist historical spot for Collier County. CHAIRMAN HANCOCK: Let me see if I can kind of put together some board direct -- I'm sorry, Commissioner Berry. COMMISSIONER BERRY: I just -- in looking at this, is there any chance of phasing this project, Ann, whereby the house -- the farm house, that's on county property currently? MS. GOODNIGHT: And that's what -- that's -- that will be what will have to be done. COMHISSIONER BERRY: Okay. In other words, I was thinking in terms of looking at the home, if that could be a place that could be used initially for tours if it were in a condition where it could be used probably the first place and conduct the tour there. In other words, the rest of the property at this time is not available for the public, but if that could be a place that could be made available with the plan for the entire site eventually, but at the same time, do you really think you would need a caretaker then if you just used the house as the launch site, let's say? MS. GOODNIGHT: Well, there's -- my idea of this person -- and yes, it's my feelings that it would be something that would be more or less taken later on in the year because we would need to really get ourselves organized. I don't think that we would be able to hire someone the 1st day of October, but these are some of the things that I could see the employee doing. They could begin to tear down some of the old wallpaper that was in the house that's not appropriate. They could begin to do some of the replacing of some boards that may not be absolutely safe. CHAI~ HANCOCK: Ms. Goodnight, with all due respect, I'm going to interrupt you because -- MS. GOODNIGHT: No problem. CHAIRMAN HANCOCK: -- I think what you're talking about is a concept we need to discuss, but it really doesn't have a place in our budget discussions today because we are just a little too early in the process. MS. GOODNIGHT: I know, and that's the reason why I wanted to wait until later in this year. CHAIRMAN HANCOCK: I know, and what you're talking about out of a $15,000 expenditure, and I don't mean to take any dollar amount lightly, but let's face it, it's not a heck of a lot of money. So, it's something that during the budget year, we can pursue the TDC options and other things to try and come up with that when it's ready, when the puzzle pieces fit together, and if you're asking if this board is committed to taking a look at that during the year, you have a yes here. I think I heard a yes on that -- COMMISSIONER CONSTANTINE: Yes here. CHAIRMAN HANCOCK: What we'd like to do is, as your group puts this together and we start seeing a time line of development and where things can be inserted, I would like to look at this concept then, and I hear five people saying the same thing. COMMISSIONER CONSTANTINE: The general agreement is we don't include the 23,000 in currently, and go through the process and look at the variables -- CHAIRMAN HANCOCK: I'd like to have this discussion when it's more appropriate, because like you said, we're a little early. So -- MS. GOODNIGHT: I agree, but I just wanted to be -- you know, when we talked to staff about it, I wanted to make sure that the board knew this, and if they wanted to put it in the budget process, then that's your option. If you didn't, then you would know what we were doing, and that would be your option for us to bring it back to you. So, as long as there's lines of communication, then I would be completely happy with that. CHAIRMAN HANCOCK: For you, always, and thank you. Let's take a lunch recess. Let's return at about five after 1:00. (A luncheon recess was taken.) CHAIRMAN HANCOCK: Good afternoon. We're going to reconvene the fiscal year '98 budget workshop. We are to the wrap-up list. For those that may have arrived late or did not hear, some areas that will not be heard, unless you wish to address them under public comment, are going to be under the sheriff's request, 800 megahertz radio and operating budget reconsiderations. Under EMS, the billing coordinator position. Under courts, the domestic violence unit and funding for fourth floor courthouse design. Under office management and budget, the grants TDC coordinator position. Under capital fund 306, city beach ends and an interlocal agreement. Under cable franchise, the telecommunications ordinance, $30,000, and under purchasing, personnel and DOR and mail room operations. All other elements of the budget wrap-up list that we have, we will take in order, with the museum already being taken care of. So we are to the area of the Sheriff's Office; is that correct, Mr. Smykowski? MR. SMYKOWSKI: Yes, sir. CHAIRMAN HANCOCK: Do you have any further changes to this list before we get started? MR. SMYKOWSKI: I do not. CHAIRMAN HANCOCK: Okay. Let's go ahead and proceed then. COMMISSIONER MAC'KIE: What's the magic attrition number translated into dollars instead of humans? MS. MYERS: Jean Myers, budget analyst for the sheriff's -- excuse me, for the Sheriff's Office. I did put two pieces of paper up there for you, commissioners -- CHAIRMAN HANCOCK: Oh, there they are MS. MYERS: -- first one saying fiscal year '96/'97 attrition estimates equating that position number into a dollar figure. The $1,663,600, or 3.9 percent, which is reflected in our forecast for '97, is our attrition dollar amount, and the point there then that we were trying to make, that -- equating -- that was for fiscal '97. We had already taken another million seven in fiscal '98, which is kind of a moot point at this point, but that's what we were getting at, the 11 paychecks, and I apologize for the typo there in paychecks, but we're saying next year $275,000 or that 1.2 percent, to clarify that. CHAIRMAN HANCOCK: That's just like Olde Naples, it's the same thing. COHMISSIONER HAC'KIE: Paycheckes. CHAIRMAN HANCOCK: So 3.9 percent, which is about the 4 percent that we talked about, so dollar for dollar, apple for apple, it's -- it's balipark -- MS. MYERS: Over the year, yes. CHAIRMAN HANCOCK: Okay. Okay. Thank you for that. The second item was one, I think, Commissioner Constantine, you were particularly interested in was the building -- itemizing the Building J improvements that are funded out of fund 301. MS. MYERS: Correct. COHMISSIONER CONSTANTINE: First two, you don't even need to review. I've been up there. I have no argument at all on those. MS. MYERS: Okay. CHAIRMAN HANCOCK: Anyone else have a question on the first two? Okay. Let's go ahead with the modular furniture and on down. MS. MYERS: Yeah, the last three items, and this whole particular item in 301 as I, I think I had said before, is a continuing project that we've tried to phase these areas in in converting them to modular furniture, space saving and just trying to accommodate the people that we have in the -- in the small space that we do have. CHAIRMAN HANCOCK: I think in light of the 20,000 additional square feet under the capital side that it's going to have to be filled with something. COHMISSIONER CONSTANTINE: This -- this isn't that though, is it? This is replacing existing -- MS. MYERS: This isn't even replace -- well, replacement of just the old standard metal desks. CHAIRMAN HANCOCK: Oh, okay. That's separate then. Okay. MS. MYERS: Correct. This is just in our existing -- the space that we have in A and J. COHMISSIONER HAC'KIE: Well, it's hardly the Taj Hahal over there, but, you know, if you guys looked around. I don't know what the useful life is or anything on the furniture, but -- CHAIRMAN HANCOCK: Well, we don't -- I don't think there's any need to go into that level of detail on those -- on that amount of an expenditure, and I think that we've looked at the overall on both areas and made appropriate decisions there, so any further questions on the Building J improvements? COHMISSIONER NORRIS: No. CHAIRMAN HANCOCK: Seeing none. Thank you very much. MS. MYERS: You're welcome. CHAIRMAN HANCOCK: We are now to the county attorney line, breakdown of personal services increase. There he is. Mr. Weigel. MR. WEIGEL: Good afternoon. David Weigel, county attorney, for the record. I have provided the commissioners and the budget staff a written response to the questions that you raised this past Wednesday on the county attorney budget. If you'd like, I can detail those to you briefly, but it was a description of the $59,700 increase that showed in the personal services ledger of our budget. Do you want to go ahead? Okay. Of that amount, 13,900 was included to provide as a potential for salary adjustments for the 18 employees under the county attorney. As the board indicated last Wednesday -- excuse me, the board indicated that the county attorney employees -- employees should be treated the same as all other county employees, so that factor has been removed, which reduces that fifty-nine thousand seven down to forty-five eight. Of that forty-five eight figure, the 3 percent general wage adjustment built into the board directive would purport to be just over 24,000, and so if you can remove that, which I think we can do just by showing that that is a factor that was to be implemented into the budget, leaves 21,443.15. As I mentioned the other day, we've had significant vacancies in our office. The -- the filling of the vacancies takes time and -- and the workload and caseload is difficult to allocate among attorneys. During this past year, I made adjustments in the budget for attorneys that were having to do work and work weekends and nights, extraordinary hours to handle the caseload, and at the same time, felt that we did not have an overabundance of staff at full staff, and so the position that I -- the vacant position that we were currently soliciting had built in a potential salary figure of 62,000, which would not necessarily have been hired at that -- at that point, but pursuant to the board directive, I've reduced that to 43,000 even, which, including with that the calculations for the health cost savings at the reduced salaries, in essence, brings the county attorney office down to, I think the math is pretty close, a 1.5 percent increase on the personal services side, and that's taking into account the potential 3 percent increase of general wage adjustment, which is to be applied to all -- all salaries in all departments. So I think from that standpoint, we've realized what your directive is. I will state that the constraints of hiring and keeping attorneys is something that is difficult to deal with and I think will continue to be a problem. CHAIRMAN HANCOCK: Okay. Any questions on Mr. Weigel's presentation? Okay. Thank you for answering those questions for us, Mr. Weigel. MR. WEIGEL: Thank you. CHAIRMAN HANCOCK: We are now to circuit court judges, information regarding prior year actuals of temporary help used per judge. I think this discussion centered around, if I remember correctly, the fact that there's one assistant per judge and when one is gone, scheduling and several other things that we're not terribly familiar with so -- COMMISSIONER CONSTANTINE: Quite frankly, the thing I found irritating is, while I realize no one has control over a different judge's assistant, it would just be common sense in a business that if you can't support, you don't send your people on vacation. You might have a different department that you borrow people from from time to time when there's a shortage, but you don't send everybody away on vacation at the same time and close down the store and -- HR. HIDDLEBROOK: They don't do that. They don't send everybody away, Commissioner. I was merely -- CHAIRMAN HANCOCK: Name, please? MS. MYERS: I'm sorry. Mark Middlebrook, senior deputy court administrator. COHMISSIONER CONSTANTINE: No, I know. The issue at the time was just if they send more than one away on vacation at the same time, then they end up short-handed, which I understand. It just doesn't seem like a very good plan. MR. MIDDLEBROOK: Well, we need to address some other -- I was merely responding to that it could happen. It doesn't happen that often, but it does happen. First, we have some senior judicial assistants that receive four weeks of vacation a year. That's three of them. Between the nine judicial assistants, they receive 27 weeks of vacation, so it averages basically three weeks per assistant. We did some studies as far as hiring a part-time legal assistant, which is what it would take to fill in for the judicial assistants. We're utilizing the county attorney's cost of 41,000 per year with benefits, so if we take half of that, 20,500, that's about $1,000 more than we're seeking for the temporary help. In addition, the judicial assistants have two three-day conferences which they all go to, and that's to update them on new Florida law and procedures, so that equals out to ten weeks of time, and of course, we have sick leave. So if we did hire one part-time person, we, A, would not be able to meet our requirement for fulfilling the vacations, to begin with, as well as sick time and these judicial conferences that they go to. Again, I think the question was, why did we have such an increase. It's supply and demand. We can only hire certain people that have knowledge of the law, legal assistants, legal secretaries, and we pay roughly thirteen dollars an hour for that. In addition, the judges have, in the past, done their best to cooperate and only had someone come in for approximately four or five hours a day. Because we are so busy now and there's such a demand on the office, they need coverage eight hours a day, and that is why there's an increase. CHAIRMAN HANCOCK: I know that -- maybe you can help me with the process a little bit. If, just to pick one out of the air, if Judge Baker has a judicial assistant and the judicial assistant says, I want to take the first two weeks in July off, does Judge Baker grant that or do you grant that? MR. MIDDLEBROOK: Judge Baker grants his assistant's requests. They, in essence, work for the judge. CHAIRMAN HANCOCK: Okay. Who are they paid by? MR. MIDDLEBROOK: The State of Florida. CHAIRMAN HANCOCK: If you're the -- and this is where I lose it. If you're the court's administrator and you are paid by the State of Florida; am I correct there? MR. MIDDLEBROOK: Yes, sir. CHAIRMAN HANCOCK: Okay. There is no one really in charge of the pool of judicial assistants then because the judges can tell them what they can and can't do without ever consulting anyone else; is that the structure we have? I'm not asking you to be critical of the judges, I'm just asking about the structure. MR. MIDDLEBROOK: I believe it was two or three years ago -- prior -- prior to this change that happened two or three years ago, they worked for the court administrator. Hiring, firing, promotion, demotion, came from within the court administrator. CHAIRMAN HANCOCK: Scheduling? MR. MIDDLEBROOK: Everything. There was a change in the legislature that made the judicial assistants the employee of the judge. CHAIRMAN HANCOCK: Okay. That's stupid, quite frankly, because we have a pool of individuals that do similar, if not exact, tasks, and although they work for an individual Judge, the fact that you can't pool those resources to save the taxpayers some money is just a terrible system. Who do we need to address to change that structure? MR. MIDDLEBROOK: Probably across the hall. CHAIRMAN HANCOCK: Okay. MR. MIDDLEBROOK: I -- I need to stress here that we do pool resources -- CHAIRMAN HANCOCK: Not an accusation. It's just in this one instance for this part-time help, it seems if you had more scheduling flexibility or if that went through an administrator who looked at all those schedules across the board, that overlap that is causing you to bring in more people could be reduced. That's my assumption and I assume I'm not too far off the mark with that. MR. FERNANDEZ: Mr. Chairman? CHAIRMAN HANCOCK: Yes, Mr. Fernandez. MR. FERNANDEZ: I have a question that may be along these same lines. I thought Mr. Middlebrook indicated there's four weeks of vacation time for the employees; is that correct? MR. MIDDLEBROOK: For three -- for our most senior assistants. MR. FERNANDEZ: Oh, for not -- not all of them? MR. MIDDLEBROOK: No, some have two. It -- it works out an average of three weeks per assistant. Some have two, some have three, some have four. MR. FERNANDEZ: Okay. That's -- that's a policy that's different from county employees? MR. MIDDLEBROOK: Yes, they're -- they're under the state program. I was about to address that. We do utilize each other's resources that the judges, except for the deputy chief judge, who is Judge Blackwell, all are in a pod of two chambers, so there's always two secretaries. When there's a daily miss, they don't bring anybody in, they try and transfer the phones and do their best for scheduling. We're merely trying to cover vacations, extended sick time and the judicial conferences. CHAIRMAN HANCOCK: Okay. Any questions for Mr. Middlebrook? Thank you, Mr. Middlebrook. MR. MIDDLEBROOK: Thank you. CHAIRMAN HANCOCK: Next up is state attorney, public defender's office fund 301 general ad valorem taxes used for computers. This was a phase-in that was new this year? MR. SMYKOWSKI: Correct. We're showing that as a reduction at the moment, actual savings, which amount to 161,000, but you had left the door open if they had issue with that to be able to respond, and Mr. Pearlman and Mr. Sullivan have made the trek from Fort Myers to do that today, so we appreciate their efforts. CHAIRMAN HANCOCK: And other than the issue being we'd like to have them -- MR. SMYKOWSKI: That is the issue. COMMISSIONER MAC'KIE: It's a question of when. We were hoping we could put it off one more year. MR. PEARLMAN: Dennis Pearlman, executive director for the State Attorney's Office. Thank you very much for the opportunity to address this issue. At the conclusion of our conversation, I'd like to read a letter into the record from Mr. D'Alessandro. He was unable to make it, as was Mr. Hidgley this morning. With me also is Bill Yeaget from our information technology department and Don Peterson, should -- should you have any specific technology questions, who is our CJIS project manager. My primary responsibility here this -- this afternoon is to address the current need for this PC conversion. I'd like to clarify. I believe on Thursday's presentation from Mr. Coakley, it was not explained enough, in that we've been in this process -- or we were issued notice that the PC conversion would happen back in '96. We, subsequent to that time, where we were supposed to get the PC's this year, in fact have been bumped. Now we're debating whether it will be bumped for the next fiscal year. We've had correspondence going back and forth through Mr. Smykowski and myself, Mr. Stanzill and myself, as well as your prior county administrator, Neil Dotrill, as to how Collier County is going to fit into the circuitwide CJIS plan. As you know, there's five counties that are -- are -- comprise our Twentieth Judicial Circuit. What we've done is develop a three-year plan whereby we are doing conversion from dump terminals off of a digital vac system to a PC based environment. In that process, we're also doing a complete software rewrite. Collier County, as it stands now, is the only county that functions as an independent CJIS community. Based on an earlier commitment that we were going to receive a PC conversion here, we went out and got certain funding from the state level and we took certain actions as far as trying to come through with compatibility with what Collier County was doing, that's Microsoft office products. The biggest problem that we're going to face if you are unable to give us the PC conversion dollars that we need is that effectively, Collier County is going to be cut off from any electronic mail or communication from the rest of the circuit and I -- while I realize you're focused on Collier County issues, my office, as a separate state entity, has to look at what the circuit is doing, and the result, the benefit that you will receive in the process is a sharing of resources from Lee County, our -- our hub. If there's any questions, I'll answer those. If not, I'd like to read the letter into the -- the record. That may explain some additional things of what we're trying to do and how long this process and project has taken to evolve and where we stand. COHMISSIONER CONSTANTINE: When you say Collier would be effectively cut off from electronic mail communication, you mean we wouldn't have the ability to do e-mail. What else would be cut off? MR. PEARLMAN: Currently your -- your e-mail or the e-mail system that is available to us is an all in one digital dump terminal e-mail. Your county, I believe, as well as the rest of the circuit, is going to a Microsoft office exchange type of e-mail, which is based on PC's, which also has utilization of the Internet, so if you just take that little section and -- and talk about the communications, there would have to be some bridges or some additional dollars spent to try to bridge what we're doing and what is left remaining in Collier County. You also have -- you will have the inability to share in databases, criminal histories, investigative services that are being created in Lee County and has been available. Let me give you an example, and this will be detailed in my letter. I don't come to the board here with an empty hand and say, give me, give me, give me. What we've tried to do through RICO case prosecution, what we've tried to do from funding sources at the state level through the IRC, Information Resource Commission, is to contribute to this conversion process as much as possible. My office, and I'll speak for the state attorney, of course, is we've already outfitted my investigative unit in Collier County with PC's and printers and all the wiring that's necessary because we wanted Collier County to take advantage of the investigative database that's available throughout the rest of the circuit. We went to the IRC, received a number one ranking for networking issues between counties, which of course Collier would be included coming back to our hub county of Lee, also for training issues. While we understand that Collier County will do the training or has done the training when they've done PC conversions in the past, we have received, as of July 1, funding for training issues also. We're trying to bring everyone together to be able to share in common databases to be able to help us utilize our resources. When you start getting into what does this do for you, we're talking about a new CJIS system here. We hope to bring Collier into the mix. The development costs of all -- are already being borne by other counties and from the state level. You're going to have the ability for a -- a comprehensive criminal database, which of course, is going to help us in my case prosecution. We'll have Internet access. We'll have countywide e-mail and communications. Although -- you know, far too often when new computer systems are put in place, the first question is, well, how many people is that going to reduce. That personnel cost -- those personnel costs for the public defender and state attorney are borne at the state level, but I think what you'll see by having a -- this transition is you won't see increases in personnel, but what you'll see is a change in how we allocate our resources. What we're trying to do in Collier County from the state attorney side is develop our domestic violence witness program. We're also trying to develop victim services. If I don't have to put people into the clerical line area, I can put them into other places, and what this system will do is eliminate duplicate data entry and just have a better utilization of resources circuitwide. COHMISSIONER CONSTANTINE: You indicated you had been counting on a commitment made by Collier County in the past? MR. PEARLMAN: Yes. COHMISSIONER CONSTANTINE: Did -- from whom did that commitment come? MR. PEARLMAN: That commitment came in the budget process, I believe two years ago, when I had contacted Mr. Smykowski and asked, should I put these funding issues into specifically the state attorney's budget, and for Mr. Sullivan's part, the public defender's budget. At that point, I was told no, that is going to be in the -- since it's a general revenue issue, it would go into an information technology issue. It was placed in that budget, and although I believe funded, was then pushed back. Again this year, I -- I took the route of not placing it in my budget because I was under the assumption here that it would happen in this upcoming fiscal year. COHMISSIONER CONSTANTINE: I guess I just don't recall having that discussion at this level, and ultimately, it's these five people who decide what amendments -- what we make and what we don't and so I just -- I'm not insinuating that you're purposely misleading. I just don't want anyone to misunderstand that the county has made some commitment that we'd do this and now we're backing off. I don't -- I don't know what conversation went on with Mr. Smykowski or others, but I don't know that this board had made that commitment? MR. PEARLMAN: Well, Mr. -- and -- and speaking for him for a moment, he did not say directly to me, your funds have been committed and you are going to get them without fail. No, that was not the conversation, but in dealing from a five county level, I have to make certain assumptions, if that funding was placed into the budget and then what I thought was granted, but then bumped -- because what we did, we got together with the public defender and the courts, presented a strategic plan that we have to do through the IRC commission. Our plan was ranked number one in the entire state for all public defenders and all state attorneys. We received funding for that. In that plan, we stated that the PC issue, the actual hardware conversion for Naples was going to be covered by the county, as it is with Lee County, as it is with Charlotte County. Issues such as networking between the counties that go outside of a specific county realm and issues such as training, those are -- are what was funded based on what I thought were commitments or good assumptions on the part of Collier County. What I'm trying to do is -- is, my balance is and our balance is to bring all the counties together so that we can have an economies of scale and share resources and produce the best -- in the case of the public defender, defense product and prosecution product from the state attorney's office as possible. CHAIRMAN HANCOCK: Something happened last year during the budget that whether you're aware of or not has probably had a material effect on your request. Our initial I.T. phase-in was a two-year phase-in. We were to be completed within the county within two years, and then you were, as you understood from two years ago, that third year was -- was your time. MR. PEARLMAN: Right. CHAIRMAN HANCOCK: Last year we cut last year's commitment in half and spread it out over two years because we simply couldn't ask the taxpayers to bear the brunt of that in last year's scheme of things. What that did was rolled a couple hundred thousand dollars into this year that weren't anticipated. I think we're seeing a cumulative effect of that rollover in this year's budget. As I looked at the -- the public offender -- public defender and state attorney's office, I believe I saw 9.2 percent increase this year to the general fund out of their budget; is that correct? MR. SMYKOWSKI: Yes. CHAIRMAN HANCOCK: Okay. If you combine what we have done in I.T., the bumping, with the 9 percent increase, already you start to see a broader picture, then when we add $161,000 in, it becomes -- becomes larger than -- than I think we anticipated. If we had a 2 or 3 percent increase in your office and were asked to bring more general fund dollars for I.T., then that's a different ball game, so it -- it -- you know, it's a lot of cumulative effects, but that bump last year is probably the single biggest reason why we feel the need to push this off to next year, because without any capital improve -- we don't have any PC's -- we're done with PC's after this budget year for the county; am I correct? We have done our modernization bulk side. We have some -- the follow up to do -- COMMISSIONER MAC'KIE: Right. CHAIRMAN HANCOCK: -- so I don't see any problem in next year's budget. I understand that it would mean that you would lose probably a lot of funding from the state that has been promised based on the fact that you'd have PC's on every desk after October 1, but we have to -- again, we have to look at the whole, and we are looking at a couple of -- a 9 percent increase is substantial in any budget. MR. PEARLMAN: May I speak to that point? The 9 percent increase is due mostly in part to, again, the assumption that I made that the PC conversion was going to happen, and I'll speak for the state attorney's side here. We asked for six LaserJet printers, network printers that made the largest increase in my budget. Obviously, if you are not going to fund the -- the hardware portion, then I'm not going to need those network printers, and I don't want to fool the commission into saying, well, I'm not going to mention that money and I'll just buy what I need. That's not the point of what we're trying to do here. If you -- when we create funding, there was a specific recommendation from your I.T. department that said, both general revenue fund and non-general revenue fund departments must budget their own printers, scanners, digital cameras and other special purpose devices. That's why my budget specifically showed -- CHAIRMAN HANCOCK: Okay. MR. PEARLMAN: -- as high an increase, and if I can bring one other point up, please. We're not talking about next year funding my -- funding this PC -- PC conversion. We're talking about the fiscal year after that when the process -- CHAIRMAN HANCOCK: I understand the fiscal calendar, sir. I've got a very good grasp of October to October. COMMISSIONER CONSTANTINE: Especially after the last week anyway. The -- do you want to go ahead and read the letter from Joseph D'Alessandro. MR. PEARLMAN: It was with great disappointment that I learned of your decision to again delay the implementation of the PC conversion in the Naples office of our prosecution function. To date, the remaining four counties of our circuit have met their commitment of transitioning both hardware and software components of our CJIS system. Far too often, local governments fail to seize the moment of technological opportunity in the name of savings to the public, when in fact postponement of such projects usually costs additional dollars because of the loss of economies of scale for its implementation, training and maintenance. In 1995, based in part on your plan of PC conversion, we developed a three-year plan where this circuit could finally and collectively participate in a fully automated sharing of information, e-mail and criminal case tracking data that could provide my office and our citizens with the enhanced ability with which to manage our prosecution effort. This plan initiated by Lee County includes a complete revision of our current software and hardware properties. As you know, Collier County is the only independently functioning CJIS system of our five county circuit. Even during the project's infancy, Pat Hanifin was part of the -- and very instrumental in guiding my staff, along with the public defender and court administration, on vendor selection and review. Prior to his leaving the county, Mr. Hanifin was aware of future plans of possibly taking on the added responsibility of administering the Collier County CJIS. The possibility of joining the Collier County CJIS circuit wide has been discussed over the past two county fiscal years with Mr. Dotrill and staff. This could have, and still can, create a tremendous cost savings to the county. We have benefitted a great deal from Lee County's financial participation in helping us rewrite the current CJIS software, and as a result, have created an environment whereby all counties will be able to share in a Microsoft Word and exchange e-mail standard, in addition to an Oracle database for our criminal case tracking statistics. Recent discussions with Mr. Coakley have confirmed the need for software and hardware standardizations. We understand the -- the importance of partnerships and the expenditure of funds for transitioning to a new system and hardware environment. Last year, our project received a number one ranking in the state for all state attorneys and public defenders for our proposed new system from the Information Resource Commission of Florida. With this ranking comes funding for training and networking between the five counties of our circuit. We are additionally pursuing all available avenues for federal funding through grant participation. We also have, through our RICO prosecutions, established a trust fund which has allowed us to complete the PC dump terminal transition for the investigative unit of our Naples office. This has allowed them to access an extensive criminal database, as well as the ability to share prosecution resources circuitwide. The remainder of my staff would share in similar benefits, but only if you follow through on your commitment of conversion. Currently, Lee, Hendry, Charlotte and Glades Counties are scheduled to phase out their current method of CJIS and all in one e-mail in November. Electronic communication with Collier at that point will be extremely cumbersome and acquire -- require additional funding just to create a bridge between the new CJIS network and your county. In summary, if you ask me if we can survive with the current CJIS system supported by Collier County, my answer would be yes. If you ask me if the quality of prosecution would suffer as a result of not transitioning hardware, my answer would be as it has always been, that I would prosecute to the best of my abilities no matter what conditions existed. Our citizens in prosecution function do not need a Cadillac of a system to perform our duties, but what we do need as community leaders is to acknowledge a worthwhile priority of money savings issue when it is presented before us. Thank you for your time and consideration. Be assured that whatever decision you make, my office will continue to provide this county with the best prosecution effort and dedication that has been displayed during my entire administration. Sincerely, Joe D'Alessandro. CHAIRMAN HANCOCK: One thing that Mr. D'Alessandro says in his letter that I -- that I hear all the time is the tremendous savings to Collier County. You know, if I had all the savings we were gonna get over the last two years of information technology implementation, we'd be writing checks to the taxpayers. It is a savings, but it doesn't show up from where it's expended, so to us, it's an expenditure. Maybe you can help me with where those savings show up, because our court costs continue to escalate dramatically. MR. PEARLMAN: Certainly. Currently, nearly 40 percent or so of my budget, my individual state attorney budget, is for information technology or data processing cost. COMMISSIONER MAC'KIE: What percentage? MR. PEARLMAN: Approximately 40 cents -- 40 percent. COMHISSIONER MAC'KIE: Forty percent? MR. PEARLMAN: It amounts to about $95,000 that you are paying or -- or it's a paper -- money that flows through my office to provide data processing services. What I'm getting to here is, I hope to be able to, once this system is -- is developed and we are well on our way in all our remaining counties, to come back to this board or to come back through the County Attorney's Office and say, we do not need that particular support. I believe the support that -- that you assess us is about $954 per month. Well, once we transition these PC's in, you're not going to have that data development cost. You're not going to have the -- the -- every year individual costs of 954. Now, you may have some associated costs with licenses, but you're certainly not going to have that ongoing hundred thousand dollars that's being allocated now. You're also going to be able to share in the resources that I have employed in my Lee County office. They're state employees, but they're used throughout the circuit. Obviously, training, Mr. Coakley's office, I believe, would do the training support for the Windows applications. My office has now been funded, through the IRC ranking and through other means, to deal with the training issues. Both of our offices have on-staff state compensated computer people that could do training and wiring and system set-ups. A lot of those costs would not need to be borne by Collier County at that point. COMMISSIONER CONSTANTINE: Would there ever be any opportunity for us to borrow those trainers? MR. PEARLMAN: Borrow those trainers? COMMISSIONER CONSTANTINE: Yes. MR. PEARLMAN: Yes, sir. As far as the State Attorney's Office, those trainers -- borrow for what, my people to train or for your people to train? COMMISSIONER CONSTANTINE: To train some of our -- our people that might be using similar computer systems, but we -- and I asked that only half serious, but we got through this morning talking about how much we spend on consultants every year to train, and I just thought if there's already a public employee somewhere, we ought to utilize them. MR. PEARLMAN: Yes. You know, here again, where I -- where I speak to the partnership between the State Attorney's Office, Public Defender's Office and the county, whatever resources we can lend to the success of this project, we're -- we're willing to do that. What we've done, and here's where I get to the point of not recreating the wheel, we've designed a training program for Windows applications for Microsoft exchange for micro -- for Microsoft Word, standards that your county is going to. We have all those things laid out. We've developed a training room in both the State Attorney's Office and the Public Defender's Office from state funding where we have a lab where we train these people. As a matter of fact, this afternoon, a portion of our Punta Gorda office is in my Lee office being trained on those specific applications, so they're -- when I get into economies of scale, no, it's not a specific Collier issue, but I have to look at it on the level of, what are all my counties doing and how can I get that resource to Collier County in the most efficient way. CHAIRMAN HANCOCK: Okay. I think we've -- first of all, I appreciate you being here today and bringing Mr. D'Alessandro's comments with you. What's the pleasure of the board on this item? COHMISSIONER CONSTANTINE: Well, I think you've stated it fairly clearly. I -- I understand some of your points are valid, but I think Commissioner Hancock has stated it fairly succinctly, and that is, it's a matter of what we can afford right now and we ended up bumping our own projects an extra year last year when everything was particularly tight and have -- are finishing that up this year, so I think the concern isn't as much with the validity of what you're trying to achieve, as it is how many dollars do we have to spend. CHAIRMAN HANCOCK: Let me ask the board if they would consider one -- one thing, and that is, there is an unknown each year at this time during budget, and that is whether or not maybe turnbacks are -- are higher or lower or whatever. It's not a question of whether this board, I think, wants Mr. D'Alessandro to do a -- even a better job than he does now, but a question as to, are we willing to write -- ask our taxpayers to write a higher check this year for it. So what I would like to do is to ask the board to make two -- well, do two things. One is, not to put it back in at this point, but to wait and see what our numbers are in September, and if we are able at that time, within the tax rate that we set for trim notices, to provide that funding for those computers to your office, that we give it a very serious consideration at that time. I think it's well warranted, but I think in the overall scheme of things under the I.T. banner, we did what was appropriate this year, knowing what -- what we're asking the taxpayers to do, so to say that it's not dead, to say that it's alive until we see what our constitutional officer turnback is and what our final numbers are for the year, if we can eke out most or all of that at that point, I'd like to see us do that. COHMISSIONER CONSTANTINE: That's fine. COHMISSIONER NORRIS: That sounds reasonable. COHMISSIONER BERRY: That's fair. MR. PEARLMAN: I -- I appreciate leaving the door open on this issue. I will say that anything that the public defender or the state attorney or even the court can do to help you, either through numbers or -- or whatever issues you need, we are available and -- and willing to deal with that. If I could just mention, the six LaserJet printers that we had talked about that were funded in my individual budget, because we are going to have a lapse in communications, I'd like for the board to consider leaving those dollars in there and allow me to purchase a pro rata share of PC's so that, at a minimum, I can set up particular stations in my office where they may be able to access e-mail until we get through to the -- the entire conversion. CHAIRMAN HANCOCK: I don't have a problem with that. COHMISSIONER HAC'KIE: I think that's a great idea. MR. PEARLMAN: Mr. Sullivan, do you have -- MR. SULLIVAN: No, I just want to thank you for not killing this totally and I wanted to make sure that we understood that -- I think you were left with the impression that this was a new request -- CHAIRMAN HANCOCK: No. MR. SULLIVAN: -- and this is something that has been ongoing, and as Dennis has done a very good job of explaining, it's something we've done a great deal of planning around with the -- CHAIRMAN HANCOCK: I'm sorry, your name please? MR. SULLIVAN: Jim Sullivan, Public Defender's Office Administrative Director. CHAIRMAN HANCOCK: I think, unfortunately, what happened is, the bump last year wasn't anticipated by you. You were still going on what the initial outset for implementation was, and that bump last year, to us, meant everything got bumped an additional year, including your request because of -- of the dollar amount that -- there was no dollar amount allocated this year for the county, it was supposed to be just you. Then when we split that out, that's what happened. Mr. Smykowski, I'd like to do two things. One is, as the numbers become finalized in, I believe it's September when we do our final -- final setting of the millage that is at or below what the trim notices are mailed at; is that correct? MR. SMYKOWSKI: Yes. CHAIRMAN HANCOCK: Okay. I would like these gentlemen to be contacted prior to that to determine whether or not that -- there is a gap there that will help serve these specific needs, and barring we do this with anything else, I don't know of anything else that would be more appropriate, barring we do it with anything else, that should be the only consideration at that time for us. Is that reasonable? COMMISSIONER NORRIS: Yes. COMMISSIONER CONSTANTINE: Yes. CHAIRMAN HANCOCK: Okay. MR. PEARLMAN: Thank you very much. CHAIRMAN HANCOCK: Thanks. Okay. We are to capital fund 313, concrete meeting -- medians and lighting issues on U.S. 41. MR. SMYKOWSKI: Correct. I believe Mr. Bobanick is here from the Transportation Department to address this issue. MR. BOBANICK: Commissioners, for the record, my name is Dave Bobanick, Interim Transportation Director. This issue concerns an additional cost to upgrade the lighting and median strips on the U.S. 41 project that was recently -- recently let and awarded by the FDOT. We've reviewed this project and have determined that probably the best way to approach it would be for us to come back to you with an executive summary in about two months with a recommendation that the cost to fund this be from the 313 reserves. Additional costs will amount -- will amount to the following: To place lighting on both sides of the road, we're estimating $134,000. Additional design costs of approximately $20,000, and any change to the decorative fixtures on both sides would be $102,000, a total of 256,000. COMMISSIONER CONSTANTINE: And these -- these costs are to be borne by the MSTD, by that road district anyway? Traditionally we've just let each commissioner deal with their own road district and not really argued a whole lot. If you've got a feel for it and think that's where your folks want to go, I'm not going to argue with it. COMMISSIONER MAC'KIE: Well, I -- I think that it is where it wants to go. I think that's where people want it to go. COMMISSIONER NORRIS: Yeah, let me -- MR. BOBANICK: I'm sorry, commissioners, this -- this would be 313 reserves? MR. SMYKOWSKI: That is a gas tax supported fund. CHAIRMAN HANCOCK: Exactly. COMMISSIONER CONSTANTINE: That, I do have a problem with. I'm sorry. CHAIRMAN HANCOCK: Because we are not -- you know, what's good for one is -- is good for all when it comes to our roadway projects. For the most part, we've tried to be very even-handed in sound attenuation and design and we're trying to do it in landscaping as best we can, and if we're going to do decorative lighting, you know, to the tune of 102,000 for decorative, 134 for redesign, what I'm afraid is that there's a -- some business owners that are driving the train on that one that will be most effective on that corridor and set -- set up an MSTU and full speed ahead. COMMISSIONER MAC'KIE: Well, what's wrong with the MSTD fund? Why can't we use that money? MR. BOBANICK: We could if -- if -- if this money was put into the MSTD fund, we could use that -- COMMISSIONER MAC'KIE: That's what I asked for. I didn't ask for gas tax because of exactly what you guys are talking about, so what I'm asking is that it be put in the MSTD. MR. BOBANICK: That would be fund 102. COMMISSIONER CONSTANTINE: So that part of the community would just tax themselves for it? COMMISSIONER MAC'KIE: Yes. CHAIRMAN HANCOCK: And can I ask, the majority of the communication you've had on this, has it been with businesses or -- COMMISSIONER MAC'KIE: Actually, my communication on this has been with this past Monday night, a week ago today, when we had the road widening meeting about U.S. 41 and we had at least -- well, we had 100 people, at least, in the room, a broad spread from general civic -- East Naples civic kind of people, residents, businesses. Certainly -- I mean, I think we had a very diverse group, and this is an issue that's come up in every one of the meetings about the Davis triangle, whether they were residential or commercial, and frankly, I don't think that you would have any question about it if you saw the plans for the U.S. 41 widening and saw just how stark they are, and I think it's -- CHAIRMAN HANCOCK: Well, it's FDOT. COMMISSIONER MAC'KIE: Yeah, it's DOT, and if we -- we need to get the money in there because this is our shot at it, at doing it in any kind of a cost-effective manner, to do it during the construction instead of after. CHAIRMAN HANCOCK: So you're talking about 256,000. Commissioner Norris? COMMISSIONER NORRIS: The other element to this is the -- the medians. Mr. Bobanick, were you going to address that as well? MR. BOBANICK: Pardon? COMMISSIONER NORRIS: Were you going to address the median question of -- MR. BOBANICK: That will be addressed down the road at -- at some particular time. We -- on January 7th, we had a representative of East Naples approach the board and request that we put the -- put a design together so that we could get sleeves in place and so forth for a future median landscaping project. COMMISSIONER NORRIS: But what about the -- the contract's been let to put in four and eight-foot concrete separators. MR. BOBANICK: With the -- right, and that can be changed with little additional cost or no -- probably no additional cost as far as the FDOT is concerned. COMMISSIONER NORRIS: Have we have had conversations with FDOT to confirm that they are willing to do that? MR. BOBANICK: We have. I -- I spoke with Mike Rip (phonetic) this morning about that, yes -- COHMISSIONER NORRIS: Okay. MR. BOBSICK: -- and he feels there would be little or no additional cost on that one. COHMISSIONER HAC'KIE: Those are the two most important features. CHAIRMAN HANCOCK: Okay. I did want to broaden that second one, because as I read this letter from Mr. McGee who's the landscape architect that owns a company that does a lot of the landscaping around here, he says, one, that curbing on the four and eight-foot wide solid concrete separators, there are some instances where you don't have a very long strip of four-foot wide, and paver bricks or something that is -- I don't want soil and turf in every four-foot wide section, regardless of length, so please -- MR. BOBANICK: Certainly it will be designed by a landscape professional. CHAIRMAN HANCOCK: Okay. And -- and someone who maybe doesn't have a contract for maintenance. MR. BOBANICK: Okay. CHAIRMAN HANCOCK: Okay. COHMISSIONER HAC'KIE: Good point. COHMISSIONER CONSTANTINE: Well, as long as the -- it's the road district picking that up, I don't have any problem with that. CHAIRMAN HANCOCK: Okay. So that's a two hundred -- as I understood it, 134 in lighting, 102 for decorative lighting and 20,000 in design comes up to 256,000 additional dollars in that light -- in that district -- MR. BOBANICK: That would be HST fund 102. COMMISSIONER MAC'KIE: Yes. CHAIRMAN HANCOCK: Okay. MR. SMYKOWSKI: Yes, and that would be an increase of about eight dollars and two cents per hundred thousand of value. That was not in the budget at the moment in that road MST, just so you're aware of that. We would be increasing the millage further to fund that item. COMMISSIONER MAC'KIE: In that MSTD. MR. SMYKOWSKI: In that MSTD. COMMISSIONER MAC'KIE: I understand that. MR. SMYKOWSKI: Okay. MR. FINN: Just to provide some perspective, Edward Finn, operations director, that's seven dollars or eight dollars on top of about 14 dollars a thousand that it currently is, so it's about a 43, 45 percent increase in the millage to fund this proposal. MR. McNEES: Per hundred thousand. MR. FINN: Yes, hundred thousand. Shorthand. I apologize. COMMISSIONER MAC'KIE: Thank you. CHAIRMAN HANCOCK: Okay. Any other questions? All right. Thank you, Mr. Bobanick. We are now to clerk of courts, and I -- MR. SMYKOWSKI: Yes, I can address that. I spoke with Mr. Brock on that issue. He did indicate that he would not budget turnback, but that we -- we could increase his -- sorry. He did not budget attrition, but that we could budget additional turnback, which has the same net effect. COHHISSIONER HAC'KIE: We don't care how. MR. SHYKOWSKI: Correct. So what I'm telling you is, your cut would stand as is. CHAIRMAN HANCOCK: With no real net effect, because we'd already applied it for -- MR. SHYKOWSKI: Correct. CHAIRMAN HANCOCK: Okay. MR. SHYKOWSKI: He didn't -- he didn't tell us the opposite, that it -- CHAIRMAN HANCOCK: We haven't got there yet. Okay. So it's 4 percent attrition, it's just called increase turnback? MR. SHYKOWSKI: Yes. CHAIRMAN HANCOCK: We'll have to remember that one for next budget year too, by the way. Cable franchise, video equipment purchases. Commissioner Constantine had some request for detailed information. MR. FITZEK: Yes, sir. Good afternoon, commissioners. James Fitzek, Office of Franchise Administration. As per your directions on Thursday, the staff has developed a plan for equipment purchase that will increase the quality of programming on Channel 54 and of meeting coverage, while at the same time reducing staff hours needed for that coverage. If you would like, I can take you through the list and identify or answer any questions that you have. COHMISSIONER CONSTANTINE: The whole purpose in going through this exercise for me was to see, for roughly the same budget, what we could achieve with reference to putting together a higher quality product, and obviously if we can decrease the number of hours that we're demanding from Katie and yourself, then -- then that's a good thing too, so I'd just as soon keep that item in the budget as long as this is where it goes instead of the multiple VHS decks and so on we had talked about last week. MR. FITZEK: Yes, sir. CHAIRMAN HANCOCK: Big difference -- the only difference being, we had 50,000 in the budget. This is 56,500 anticipated, and if we're going to increase that at all, we need to -- we need to -- it needs to come off somewhere else. I don't mind -- did we count that as toward our list of reductions? COHMISSIONER HAC'KIE: No. CHAIRMAN HANCOCK: We did not? COHMISSIONER CONSTANTINE: No. CHAIRMAN HANCOCK: Okay. COHMISSIONER NORRIS: That was a flag -- CHAIRMAN HANCOCK: Yeah. What I'd like to do is authorize the 50,000 and say, well, you only need to find 6,500 off of this list. Is that what you're down to? COHMISSIONER HAC'KIE: Agreed. CHAIRMAN HANCOCK: Okay. That's three, four -- unanimous. MR. FITZEK: Thank you, commissioners. CHAIRMAN HANCOCK: Thank you. And you'll forever be known as the guy who took us to BETA. COHMISSIONER HAC'KIE: From the rock and roll commissioner to the BETA commissioner. CHAIRMAN HANCOCK: Okay. Last item. Non-departmental deferral of general wage adjustment until general wage adjustment until 1998. MR. SHYKOWSKI: Yes. On that issue, we spoke with the constitutional officers regarding their willingness and/or ability to comply. The property appraiser and tax collector's budgets were already submitted to the state based on the budget policy direction from February, which assumed 3 percent cost of living on October 1st. At this point, they also have the option of opting for the state's salary scale adjustment as opposed to the county's. They said they have not made decisions in that regard, but they would be awarding on October 1st. COHMISSIONER HAC'KIE: What's the state's number? MR. SHYKOWSKI: They -- they have a sliding scale. Up to $20,000 salary, an individual would get a $1,200 raise, which at the $20,000 level is 6 percent. From 20,000 to 36,000, an individual would receive a $1,000 increase, and above $36,000 in salary, they would receive an increase of 2.78 percent. CHAIRMAN HANCOCK: Did we -- MR. SHYKOWSKI: Miss Morgan was also contacted. It is her intent to award on October 1 as well at the 3 percent level, and obviously of concern was the -- the inequities across agencies that would potentially exist. CHAIRMAN HANCOCK: Yeah, when we -- when we were going through -- again, I'm going to go back to something so I have a benchmark. When we were going through and listing things that were -- were reductions on initial requests, did we list a dollar amount for this? MR. SHYKOWSKI: Yes, $170,000. COHMISSIONER HAC'KIE: A big one. CHAIRMAN HANCOCK: So if we were to -- if those constitutional officers were to do as they have indicated, October 1st, and the only one left is us, what does that reduce it to? MR. SHYKOWSKI: No, the $170,000 was just on the general fund component, which would be essentially the county manager's agency, because the -- at that point, the discussion was, well, don't count on the sheriff's and the constitutional officers were unknowns at that point, so we had only counted essentially the county manager's share of said pain. CHAIRMAN HANCOCK: Okay. So the constitutional -- the constitutional officers are hanging on to October 1. The question is whether or not we want to stay with the mid-year. MR. SHYKOWSKI: That is absolutely correct. COHMISSIONER HAC'KIE: Is there anything we can do to -- I mean, we don't have a veto over that decision that the constitutional officers are making? MR. FERNANDEZ: I think that's an administrative decision they can make within their department. Your decision is on the allocation of funding to them. COHMISSIONER CONSTANTINE: Yeah, we don't have literal veto over that particular decision, but we do have the control over the purse strings. Yeah, if we give them less and they still choose to do that, still choose to award it October 1, that's fine, they just make it up somewhere else, but we have the opportunity through the purse strings to give them, you know -- let them make their decision how they want to handle it. MR. FERNANDEZ: Mr. Chairman? CHAIRMAN HANCOCK: Yes, Mr. Fernandez. MR. FERNANDEZ: At the appropriate time, I'd like the board to give consideration to receiving a presentation from Jennifer Edwards. I've asked her to be prepared to present to the board a discussion on why this is significant, why it's important, what are the important essential components of a -- of a human resources program and the effect that the action that you have historically taken really has had on the program, so if you're willing to listen to -- CHAIRMAN HANCOCK: I think now would be a good time to hear that. COMMISSIONER MAC'KIE: And while she's coming up, the number that -- the net effect number of this is a million seven or something? What was the number? MR. SMYKOWSKI: No, $170,000. COMHISSIONER MAC'KIE: A hundred and seventy. COMMISSIONER CONSTANTINE: Can you -- can you, while she's doing that -- COMHISSIONER MAC'KIE: A million three was the big number, but we carved it back and back to 170. COMHISSIONER CONSTANTINE: While Jennifer's doing her presentation, can you do the math and figure out ballpark what it would be in each of those three constitutional officer's offices? MR. SMYKOWSKI: In Ms. Morgan's, it would be relatively easy. Within the property appraiser and tax collector, again, their budgets are approved by the state, and the only transfer you're making to them is the fee portion for collecting your ad valorem taxes, so you're not making -- COMMISSIONER CONSTANTINE: For my purposes, can you give me those three numbers when Jennifer's done? COMHISSIONER NORRIS: Just so that you'll know in advance, I don't have any support at all to the fact -- to dictate what they do in their budgets, so if you're going to ask for support to do that -- COMMISSIONER CONSTANTINE: I'm asking what the dollar numbers are, so -- I mean, if the board and some constitutional officers are doing one thing and other constitutional officers are deciding not to participate, the public ought to know what the dollar impact of that decision is. COMHISSIONER NORRIS: Okay. MR. SMYKOWSKI: Yes, I can do that and I have the numbers available currently. CHAIRMAN HANCOCK: Miss Edwards. MS. EDWARDS: Good afternoon. My name is Jennifer Edwards. I'm the Human Resources Director. I'm talking to you about a topic that's very passionate -- I'm very passionate about right now. As a matter of fact, I came in yesterday and I developed a very lengthy presentation for you that, listening to the tone of the meeting today, I'm not going to take that much time right now. I'm going to cut to the chase and tell you that one of the very, very important roles of -- of a human resources department is to maintain a pay and classification plan, a very credible plan, and we do this by doing our own surveys, market surveys locally. We also participate with the Florida League of Cities in their surveys and we look at the internal equity issue also, so it's a constant -- constant maintenance and study of our pay plan. We need a plan in order to maintain that internal equity and to be competitive with other agencies. We are constantly competing with other counties and local governments as well as other -- or businesses, private businesses in this community for our professionals and all of our staff. In 1995 when I went down to the human resources department, one of my first challenges was to continue with a project that Mr. Whitecotton had begun, and that was working with a consultant to do a major analysis of our current pay plan, and this was the same consultant that did the overall pay plan for us in 1988. The consultant did recommend significant upgrades and you approved the implementation -- or the board at that time approved the implementation of that upgrade in March of 1996. When we asked you to authorize the pay plan upgrade, we recommended two cost savings measures. One was implementation of the plan at half-range movement. Now, what this meant was that the consultant recommended that approximately 220 classifications, and we have a little over 300 classifications, but he recommended that 220 of our classifications be increased, so the ranges increased, but our recommendation to you to save money was that we would only fund the increase halfway, so that meant our employees only received 50 percent of the recommended upgrades that the consultant recommended. The second cost savings measure -- COMMISSIONER CONSTANTINE: Before you go on, do you remember what the -- the average adjustment was, percentage-wise? MS. EDWARDS: Seven percent. COMHISSIONER CONSTANTINE: Thank you. MS. EDWARDS: The second cost savings measure was the deferring of the general wage adjustment, which was 3 percent, until April 1996, and that is the one that we've just rolled out in April, and that is the first time in my memory, and I've been here a few years, that we'd ever deferred an across the board or a general wage adjustment to mid year. We've always implemented them at the beginning of the fiscal year, and that's just prudent human resource paying classification management, because it helps us to maintain our competitiveness. So today I'm asking you to help us to continue with the proper maintenance of our compensation plan by allowing us to implement the recommended 3 percent as of October 1, 1997. If the value of this savings is critical to meeting your budgeting goals, please consider phasing in a service to the citizens, rather than affecting the salary checks of your employees. We implement -- I want to step back a minute and explain to you that for our employees who are at max of their range, when we implement a general wage adjustment, those employees receive the wage adjustment, but it's as a bonus, so they receive that bonus over 26 pays, and at the end of those 26 pays, if it's a full fiscal year, then their salaries will decrease. You have 38 employees who are in the bonus situation and their salaries will decrease for six months if you defer this until April. COMHISSIONER MAC'KIE: How many? MS. EDWARDS: Thirty-eight. MR. FERNANDEZ: Mr. Chairman? CHAIRMAN HANCOCK: Mr. Fernandez. MR. FERNANDEZ: If I could add a couple of remarks. Of course, I'm new, and part of what I'm going to say has to be conceptual because I don't know the organization that well, but I really believe that it's important to avoid the erosion in the quality of the services that you provide. You've already had discussions about the significance of maintaining the capital assets that you have, the need to maintain your buildings so that you're preserving the -- the investment you've already made in those buildings, and I think that the same concept really holds true for your staff. I've been very impressed with the quality of your staff. I -- I believe that you are as well, and the kinds of components in a responsible human resources package are necessary, I think, to maintain that quality that you have here. I would like to echo Jennifer's comments about the choices that you have. I would much prefer to see the board take a more critical look at the services that you're providing and maybe scale back some of those services rather than erode away at the quality of those services that you're trying to provide by shortchanging what I would regard as a responsible human resources package. I think that's very valuable for you to -- to preserve. It's something you ought to think about very seriously before you start a trend to -- to erode, and I think that that trend has already begun from your actions that you took last year, and I would hate to see that continue. COMMISSIONER CONSTANTINE: Well, I -- I disagree, and obviously all of us want to have a responsible pay plan and want to take care of our employees and that was the whole premise of us doing the wage adjustment, doing the study and then actually following through and doing the adjustment. I take some exception to the suggestion that we only did 50 percent of what they asked for, because our employees, on average, still got a 7 percent adjustment, which is a pretty healthy adjustment, and -- and so I don't appreciate you minimizing that adjustment because it was certainly due and certainly worth doing, but it was not -- it wasn't small apples. Seven percent's a healthy adjustment. Over and above that 7 percent, six months later, there was a 3 percent raise, so in six months, there is -- you're shaking your head. COMMISSIONER MAC'KIE: That's the fallacy. That's what I thought too, but that's not what she said. MS. EDWARDS: No, we did not get the 3 percent -- COMMISSIONER CONSTANTINE: When did the 7 percent go into effect? MS. EDWARDS: March of 1996. COMMISSIONER CONSTANTINE: That's when we approved doing it or did it not go into effect until October? MS. EDWARDS: It went into effect then, and then we got the 3 percent general wage adjustment a year later in April of 1997. COMMISSIONER MAC'KIE: So we were off on our dates. COMMISSIONER NORRIS: No, we're not. Excuse me, but -- let me -- let me jump in here because we're not off on our dates. Effectively, April the 1st of 1996, they got a 7 percent adjustment, and in the scales as well. Then one year later, they got an annual, signifying one year, cost of living adjustment, April the 1st, 1997. Now what you're saying to us is six months later, give them another annual cost of living adjustment, and that's not right. CHAIRMAN HANCOCK: I guess I -- I look at it -- COMMISSIONER NORRIS: That's a -- that would be two annual cost of living adjustments in a 12 month period. MS. EDWARDS: But -- but the earlier one -- COMMISSIONER CONSTANTINE: I guess I don't -- I'm not sure I can agree with your argument that as long as you've been here, it's always been October 1. Well, just because something's always been that way, doesn't mean that's the only way or the most appropriate way to do it, and I remember in 1991 when -- it was prior to my time on the board, but the entire thing was deferred for a year, there was one lump bonus fee, but it was deferred for an entire year. It wasn't just deferred a few months. There were no raises given that year, and I'm pretty sure you worked for the county then. MS. EDWARDS: I did in '91. MR. McNEES: Commissioner Constantine, maybe I can clarify an issue that Miss Edwards made, a point that she made. When she's talking about that we only went halfway, we made half-range adjustments, nobody's making any effort to minimize that the folks got substantial raises at that time. The point that she's making is, the consultant told us at that point that there were 220 of our pay classifications where we were paying people substantially below what the job market in other places, and even locally, pays the same job, and so when she uses the word the competitive issue, that's the issue we're trying to address there, and at that point, we made adjustments to bring those people halfway to a market rate salary, but we didn't bring them all the way, so we continued to deal with what is what we call a compression problem, which is people who have been in a job for a number of years make very little more today than someone that we can hire off the street because different things affect that compression, and it creates problems for us, and when we don't do -- when we defer cost of living adjustments, you have further compression, people who have -- have worked here who then are still not far above what we can bring people in at entry level today, and it -- it creates real world day-to-day hiring problems for us and in maintaining our internal equity, so we don't mean to minimize what's happened in the past, but the competitive factor is a real one. COMMISSIONER NORRIS: Well, cost of living adjustments though are based on an annual. We tie it to the CPI, which is an annual figure. Maybe it -- maybe I'm confused about the calendar, but what is the date a year from April the 1st, 1997 forward, what would the date be? COMMISSIONER MAC'KIE: I think -- COMMISSIONER NORRIS: Do you have an answer for that or shall I show you a calendar? MS. EDWARDS: The question was from April 19967 COMMISSIONER NORRIS: No, nineteen -- well, all right, from April 1996. MS. EDWARDS: A year from that is April 1997. COMMISSIONER NORRIS: And a year from that? MS. EDWARDS: Is April 1998. COMMISSIONER NORRIS: My point exactly. Not October. It's April. COMMISSIONER MAC'KIE: I think -- Miss Edwards, let me see if I can see if I understand this point -- COMMISSIONER NORRIS: And Mr. Camell, I don't need to hear from you on that. I know how to read the calendar. COMMISSIONER MAC'KIE: I think that what -- that this sales pitch -- CHAIRMAN HANCOCK: Steve, Steve -- COMMISSIONER MAC'KIE: I think that this sales pitch would have been better if what you had told us was, instead of this being second COLA of the year, that it is the catch up, it's the other half of the pay adjustment plan and we only implemented half of it at the time -- COMMISSIONER NORRIS: But that's not right. That's not right. CHAIRMAN HANCOCK: Okay. Folks, we're -- we're focusing on the timing in which an increase occurred and I guess I start a couple of steps back. The whole reason that we deferred for six months an increase was because we had a pay plan that affected two-thirds of our positions, and I think that was a good decision that year. One of the reasons we took a big hit on that pay plan is because we continued talking about acting or conducting ourselves like a business, but we, come budget time, we do it like government. When we give -- if all we're going to give is a maximum 4 percent, 3 percent or 2.7 percent plus 1 percent merit, we're not operating like a business, because in -- in the business world, you don't artificially fix and artificially cap salaries for performers. You base a salary on actual performance. So if you've got an outstanding employee, maybe they get 5 percent instead of 4 percent or 4 percent instead of 3, but because of government, because of the size we are, we don't do things that way. We just haven't. We've tried the merit scale, we've tried different things, and the truth is, in an organization this large, it just -- it doesn't seem to work the way we want it to and -- and what happens is, we kind of artificially keep things down year to year, and every seven years or so we go get a PATE study and we get a one-time shot of -- of -- of a tremendous amount of money and it causes us to rethink things. What I'm concerned about is, when we put that off for six months, I don't know about the rest of the board, my understanding was, that was a one time savings to try and reduce the hit on the taxpayer that year. I did not anticipate pushing that off until April the next year, because from my perspective, those hundred and some odd employees that did not receive a pay plan adjustment were held steady for six months and then bumped -- COHMISSIONER HAC'KIE: With their COLA. CHAIRMAN HANCOCK: So in my opinion, from their perspective, from what was tradition, they didn't get that -- that six months that they expected, so even though cost of living went up, their salary stayed the same for six months, and I call that going backwards. So it's never popular to pay government employees anything, period. We heard that in the hiring of Mr. Fernandez. I mean, my God, people thought we should get him for $60,000 and a Yugo. The truth is, we are competing out there and that competition does cost money and I don't think, getting back to where we started, which was, an October adjustment is necessarily a bad thing. I understand the point about it means they get 3 percent at this point and 3 percent here, but my understanding when we did that was the six month one time deferral, not a six month annual deferral. COHMISSIONER HAC'KIE: Forever. COHMISSIONER NORRIS: That's not my exact recollection. There's a -- there's a '- CHAIRMAN HANCOCK: Well, I'm just giving my impression. COHMISSIONER NORRIS: Okay. The reason we didn't put a COLA in for that six month period is because we made a major wage scale adjustment. Now, you've got to separate -- there's two things we're talking about here. One is a wage scale adjustment that has nothing to do with the COLA. CHAIRMAN HANCOCK: Right. COHMISSIONER NORRIS: I mean, they're not -- they're two separate issues. Now, if you want to say, all right, on October the 1st, we want to pay them COLA, fine, count it from April the 1st. What has the CPI increased from April the 1st to October the 1st, fine, pay them that. COHMISSIONER CONSTANTINE: A cost of living increase is -- is done on an annual basis, and the last cost of living increase was done in April, and if we do that on an annual basis so that we can keep up with the cost of living, thus raise COLA, then you do it again in April and I -- I understand everyone's point that we want to take care of our employees. In the private sector, there are some employees who get zero or even get decreases and we -- CHAIRMAN HANCOCK: I'm trying to make that happen here too, by the way. COHMISSIONER CONSTANTINE: We don't do that here. I mean it -- as much as we try to run it like a business, there are certain things that just don't happen that way, but I mean, looking at it -- October '95, the fall of '95, we had the cost of living increase, roughly 3 percent. I think it was actually over that in '95, it was 3.4 or something. March of '96, we had the 7 percent. April of '97, we had the 3 percent, so -- so if you do an increase this October, that will be four in a two year span, so I don't think -- I mean, the argument that somehow employees are being shortchanged just doesn't wash. MR. HcNEES: I think what we're saying is this -- CHAIRMAN HANCOCK: Excuse me, Mr. HcNees, I'd like to continue this. Maybe the solution isn't in the dollars, but in the policy. Why are we talking about everyone gets a COLA? I mean, you just hit the biggest point, the biggest problem I've had since I came here, and that is the non-performers, you have no financial incentive to kick them in the rear and say, you know, get in shape or you're out of here, because they all get the same base every single year, and I know when I got an annual review that said -- well, okay, I didn't, but if I had got one that said that you're not doing your job very well, I wasn't expecting a 3 percent increase. I was expecting a deferred -- I mean, I got nothing until the performance would change. It was tied -- it was tied financially -- COHMISSIONER CONSTANTINE: We actually did that one year, we had one, three and five, I think were the numbers that -- that people could be in the range of, and when Mr. HcNees talks about morale kickers, we had people who were griping because the guy next to them got 5 percent and they only got one, they didn't think it was fair. I agree with what you're saying. I'm just saying, when we tried to put it into practice, our own people came back and said, it's not working, we can't do that. CHAIRMAN HANCOCK: My point is, why don't we fix the dollar amount and ask Mr. Fernandez to determine the allocation. COHMISSIONER NORRIS: Well, okay, let's -- let's -- before we get into a whole new -- COHMISSIONER BERRY: That's a different discussion, I think. CHAIRMAN HANCOCK: Yes, it is. COHMISSIONER CONSTANTINE: This board needs to set a policy and ask him to carry out that policy. COHMISSIONER NORRIS: But let's -- let's finish this discussion before we start a new entire program. If you -- the CPI is tracked monthly. You can look at it monthly. If -- if you're -- if your point is to pay an annual, once a year COLA, then it's only logical to do it next April the 1st because that's a year. Now, if your -- if your point is to bring it back to October the 1st, fine, you can do that. Take the six months of the CPI and pay that. It's very simple. CHAIRMAN HANCOCK: But, Mr. Norris, what about the -- what about the ones who didn't get anything at the cost of living -- COHMISSIONER NORRIS: Everybody got something on April the 1st. CHAIRMAN HANCOCK: No, no, no. Going back to October of last year, there was -- COHMISSIONER NORRIS: Everybody got it. CHAIRMAN HANCOCK: Okay. But 12 months prior, they did, and it was based on an annual stipend to cover an annual cost of living increase. COHMISSIONER NORRIS: Six months prior to that, they had their -- their pay scales adjusted. CHAIRMAN HANCOCK: Not all of them. Two-thirds. COHMISSIONER CONSTANTINE: Well, Fred Sullivan would tell you that's because everything in life isn't fair, but Commissioner Norris may have a different argument. COHMISSIONER NORRIS: But see, the thing with the pay scale adjustment was to get everybody back level to where they should be in the marketplace, and then at some point in the future we were going to start paying COLAs again on that. That's the way the discussion went. MR. FERNANDEZ: Right. That's correct. CHAIRMAN HANCOCK: I don't know. I don't disagree with that. I just -- my understanding of what we did then and what the result was the following year fiscally is different than yours. I was of the understanding -- COHMISSIONER BERRY: The 7 percent was to level the playing field? COHMISSIONER NORRIS: Uh-huh. It has nothing to do with COLAs. COHMISSIONER HAC'KIE: But then we told them if we defer for six months, that's this time. We didn't say -- I mean, this -- this is the integrity crunch that I see for the board is -- is when we paid COLA in April, we didn't say, and henceforth, it's going to be. We made them wait 18 months for COLA and then -- and now we're -- COHMISSIONER CONSTANTINE: Again, you're minimizing by saying -- COHMISSIONER HAC'KIE: Well, let me finish, if you don't mind. We let them -- we made them wait 18 months for COLA because they had gotten the other, you know, the wage adjustment increase, but we didn't say, you're never going to get that six months' worth. We said we're going to ask you to wait six more months. COHMISSIONER NORRIS: Did we say specifically that we were going to pay that six months -- COHMISSIONER CONSTANTINE: We didn't say anything. COHMISSIONER HAC'KIE: We didn't say it at all, but we said it was a deferral. COHMISSIONER NORRIS: Okay. Well, then you better check the -- the minutes to see if that's what you promised because I don't think it was. I disagree with your -- CHAIRMAN HANCOCK: My recollection is, we did not make a policy decision as to whether or not from that point forward they'd be annualized on April, nor did we make one saying they'd be in October. We didn't make a policy decision. Now, Commissioner Norris' understanding is, when we do a COLA in April, that means automatically it's April of the next year before you do an annual COLA. Mine was a -- mine was just -- mine was different, and I guess that's what I'm trying to be -- that's what I'm trying to honor at this point is what I thought we were doing and what I thought the end result was there, not sitting here trying to argue with whether you're correct or whether I am. I don't think that's the point. My direction then was, you know, me individually, was that we would defer six months in that year as a cost saving measure and because of the -- the general wage bump that occurred to two-thirds of the employees due to the study, but that it would return in October of the next year. If we want to do an across the board at a lesser amount, I am more comfortable with that than, again, a deferral out to six months. Of the two options, I'd rather go the other way. If we do a 2.1, 2.2 percent for the year and get back to October, I'm more comfortable with that. COHMISSIONER NORRIS: I have no objection to that as long as it's done on a -- on a CPI basis because that's what it -- COHHISSIONER HAC'KIE: Does anybody know what that number is, the six months of CPI? COHMISSIONER NORRIS: Be close to half of the annual because it hasn't changed a lot. COHMISSIONER CONSTANTINE: Well, the last six months would be 2.7 divided by two, 1.35. CHAIRMAN HANCOCK: Technically, you -- you -- your point's not -- I mean, you make a very good point. I don't disagree with it. I just did not -- that was not the inference that I understood when we made that change, and I'm trying to be at least, you know, true to that. COHMISSIONER HAC'KIE: And when I -- when -- my recollection is obviously the same as yours. When I made that -- cast that vote, I would have said, let's change to an April COLA adjustment date. Instead, what I remember the discussion was, let's defer for six months. Not let's make a policy decision to change COLA to April. COHMISSIONER NORRIS: Well, it makes a lot of difference whether you say it's a deferred or whether you're going to decline it for six months. COHMISSIONER HAC'KIE: Yeah, I think we said deferred, guys. I think we -- CHAIRMAN HANCOCK: What -- again, we can kind of -- I mean, if someone wants to pull the minutes, we can pull them and that's fine, but we have a decision to make today. We -- what is -- what has the history of our cost of living increase been? Give me the last three years. It's -- each time we've done a cost of living increase, it's been what, Mr. Smykowski? Give me the actual numbers. MS. EDWARDS: I believe it's been 3.5 in '95 and three -- three in '96, and then we had recommended three -- or three for '97, and we had recommended three again for '98, so the last two years was 3.5 and then 3 percent. COHMISSIONER CONSTANTINE: Not that it matters that much, wasn't one of those years 2.8 or slightly below three? MR. SHYKOWSKI: Uh-huh. MR. HcNEES: Yes. COHMISSIONER CONSTANTINE: Thank you. COHMISSIONER HAC'KIE: Commissioner Berry, you weren't on the board at the time we had this discussion, is that -- so you weren't in on that deferred versus changed? COHMISSIONER BERRY: I'd probably be in favor of doing the six months to October. CHAIRMAN HANCOCK: Doing a lesser in October? Rather than 3 percent, do a 2.0 in October across the board, at least we get back on to October, something like that? COHMISSIONER BERRY: If that's -- if that's where you want to be. CHAIRMAN HANCOCK: And I -- I don't know. Commissioner Norris has asked, well, in the last six months, what has been the cost of living increase, and the chances are if it's 3 percent last year, it's probably a percent and a half in October. COHMISSIONER CONSTANTINE: Yeah, it's 1.35. COHMISSIONER BERRY: Yeah, 1.35, whatever it is. I mean -- COHMISSIONER CONSTANTINE: I'm just thinking mathematically, if I were an employee, I'd rather get the 3 percent for six months than the other way around because cumulatively, over the long term, you're going to see more money that way. COHMISSIONER NORRIS: Uh-huh. COHMISSIONER CONSTANTINE: And -- and if we were -- if we're looking at trying to set a dollar amount here and take care of the employee, I would say that's the better of the two. I mean, we can go with the six month CPI in October, but we're not going to save dollars in the next tax year, yet the employee will see less in the long run of their career that way. COHMISSIONER NORRIS: Through the magic of compounding, of course. COHMISSIONER CONSTANTINE: Correct. That's a financial guy over there. CHAIRMAN HANCOCK: Okay. If we are going to do that, then we just need to make a policy decision that the COLAs apply on April, quite frankly, and -- and need to stick to that because I'm not comfortable -- I feel like I did something different than you did a year ago and -- COHMISSIONER HAC'KIE: Me too. COHMISSIONER NORRIS: I -- I just remember it as saying we're going to forego six months of the COLA because -- because we had the big scale adjustments. That's the way I remember it. If that's not correct, then we can do it another way. COHMISSIONER CONSTANTINE: Mr. Chairman, can I just make a suggestion? We'll poll the board and if we get three, fine, and if we don't, we'll perhaps get another suggestion. CHAIRMAN HANCOCK: Okay. COHMISSIONER CONSTANTINE: I'd like us to do the 3 percent or whatever cost of living the CPI indicates and do it halfway through the year. CHAIRMAN HANCOCK: Okay. COHMISSIONER NORRIS: There's a reason that Hiss Edwards pointed out that it should be done on October, and that was for 38 employees, if you have your COLA date on April, then there will be six months that they get -- COHMISSIONER HAC'KIE: Less money in their paycheck. COHMISSIONER CONSTANTINE: Surely through the magic of all this information and technology that we've put together in the last year, we can find a way to accommodate those 68 employees. COHMISSIONER NORRIS: Thirty-eight. COHMISSIONER CONSTANTINE: Thirty-eight employees. COHMISSIONER HAC'KIE: Not really. There's really not. I mean -- CHAIRMAN HANCOCK: We have to create the dollars from somewhere. Now, I would suggest the airport capital improvement area, drop that, you know, $50,000 and use those funds would be my suggestion. COHMISSIONER CONSTANTINE: If I could finish what I was gonna say. Surely there's a way to accommodate them. It doesn't have to take additional money, but you could do a -- do the 1.35 for them beginning in October and they could get the balance of that when everybody else gets their increase in April. That way they don't have to wait 18 months and we still keep it a constant COLA for everyone and every other employee doesn't suffer in the meantime, they still get their full 3 percent. CHAIRMAN HANCOCK: But you know that's still a reduction in their paychecks. COHMISSIONER CONSTANTINE: Someone's gonna get a smaller paycheck? COHMISSIONER HAC'KIE: Yes. They're going to get a smaller paycheck if we don't -- COHMISSIONER CONSTANTINE: How? COHMISSIONER HAC'KIE: Tell it again, Jennifer, how they get a smaller -- the 38. COHMISSIONER CONSTANTINE: If someone makes $300 a week, they're going to see -- they're going to get less than $300 a week then? MS. EDWARDS: Yes, they have been receiving their 3 percent general wage adjustment as a bonus, so if we take that bonus away or we reduce it, then their check is reduced. COHMISSIONER HAC'KIE: And that, guys, makes the -- I think, evidences the fact that it was a deferral and not a denial of the other six months of COLA. COHMISSIONER NORRIS: Well, the only way you'll ever know that is to go look at the record and see whether -- whether it was voted on as a -- as a deferral to be made up at some future date or whether it was just a complete, you know, termination for -- or suspension, I guess, of the COLA for six months, and that's the only way you're going to know is to get somebody to check the records, and I don't know if we can do that -- COHMISSIONER HAC'KIE: I've got an idea. Why don't we leave this -- why don't we put this 170,000 in, pending -- COHMISSIONER CONSTANTINE: I made a suggestion. I'd like to see if we could poll the board. I asked that -- COHMISSIONER HAC'KIE: Were you in the middle of something because I -- COHMISSIONER CONSTANTINE: Yeah. CHAIRMAN HANCOCK: Commissioner Hac'Kie, Commissioner Constantine had a suggestion on the board and we need to act on that suggestion before we go to a second one, as a matter of procedure. COHMISSIONER HAC'KIE: Okay. CHAIRMAN HANCOCK: The suggestion was to -- COHMISSIONER CONSTANTINE: Still go with the full 3 percent in April as we'd indicated. CHAIRMAN HANCOCK: I -- I'm not -- I would choose not to do that. I think there's another solution out there. COHMISSIONER NORRIS: I think there's another solution out there too. COHMISSIONER HAC'KIE: Okay. I have a -- that would be enough to shoot that one down, so I have an alternative proposal. CHAIRMAN HANCOCK: Okay. COHMISSIONER NORRIS: What? COHMISSIONER HAC'KIE: How about if we leave this $170,000 in the budget -- COHMISSIONER CONSTANTINE: Put it back in. COHMISSIONER HAC'KIE: I'm sorry, put it back, and between now and -- leave it in for trim, and between now and final numbers, we get the minutes, we find out what we promised people and we stick to what we promised them. COHMISSIONER NORRIS: Absolutely, because I think we should stick to what we promised, and if -- if it's a deferral, then that's what we'll do, and if it's a suspension -- COHMISSIONER HAC'KIE: Then it was. COHMISSIONER NORRIS: Then it was. CHAIRMAN HANCOCK: And you want to leave it in for trim notice without removing funds from anywhere else we might happen to see like -- well, anyway. COHMISSIONER CONSTANTINE: So we're adding $170,000 back -- COHMISSIONER HAC'KIE: Back. COHMISSIONER CONSTANTINE: -- back in? COHMISSIONER HAC'KIE: Pending -- just for trim, pending -- COHHISSIONER CONSTANTINE: I don't know if I agree with that. COHMISSIONER HAC'KIE: -- pending what we find out the minutes actually reflect, out of fairness. Let's just do what we said we were gonna do. COHMISSIONER NORRIS: What does that do to our millage rate, Mr. Smykowski? MR. SHYKOWSKI: Well, we're -- to reach the millage neutral position and eliminate the funding that was for the intergovernmental services fee, we needed total cuts of two million, nine fifty-five. We're at two million, nine forty-eight, but I have not adjusted the reserves on any of the reductions, the sheriff's budget reduction alone of 2.2 million would reduce contingency reserves by 110,000, so we would be below that. CHAIRMAN HANCOCK: Okay. COHMISSIONER CONSTANTINE: Let me just -- CHAIRMAN HANCOCK: I'm -- I'm not gonna -- this is not a year that requires for us -- people to pay higher taxes. I mean, come on. COHMISSIONER HAC'KIE: But did -- COHMISSIONER NORRIS: He just said we'll be below. COHMISSIONER HAC'KIE: Yeah, you'll be below it. MR. SHYKOWSKI: You'll be below the millage neutral rate that you sought out at the beginning of these workshops. CHAIRMAN HANCOCK: Which means -- you said below the rate, which means there would be an increase, right? MR. SHYKOWSKI: No, no, no. CHAIRMAN HANCOCK: Okay. You're going the other way. So if we put this $170,000 back in, are we going to see a reduction in the millage? MR. SHYKOWSKI: Yes, and I'll give you an exact number in -- CHAIRMAN HANCOCK: I don't want anyone to misunderstand, you know, I think we need to address this in a better way, but I -- I -- I just really had higher hopes for this budget year. COHMISSIONER CONSTANTINE: I just -- I don't think anybody is suggesting that we do anything contrary to what we said a year ago as policy, but I mean, there's nothing to prohibit us -- we know the dates. Let's get the minutes now. We don't have to wait until September. If somebody can pull the minutes on this discussion -- COHMISSIONER NORRIS: I think we're going to have some public speakers here in a little bit. Why don't we have somebody try to pick that record out right now. CHAIRMAN HANCOCK: Let's not forget, there's still areas we could remove money from. COHMISSIONER HAC'KIE: You got a suggestion? CHAIRMAN HANCOCK: Yes, I do, reduce airport capital improvements to $500,000, which they said their spread on their capital was a half million. I want to hold them to it, so, you know, in lieu of a business plan, we could take 115,000 off of there. MR. SHYKOWSKI: With the cuts you have in place, taking into account that reduction in reserve for contingency on the cuts you have made, last year's adopted millage rate for the general fund was 3.7241. The proposed -- the revised proposed millage rate would be 3.7176. COHMISSIONER HAC'KIE: That's with the 170 back -- back in? MR. SHYKOWSKI: That is correct. CHAIRMAN HANCOCK: But if we take 115 out, we're going to do ourselves a little bit -- I just -- that's still a little burr under my saddle because we don't have a business plan on the airport and -- COHHISSIONER HAC'KIE: No offense, but you're not letting other people take second bites at the apple, so I think you should -- CHAIRMAN HANCOCK: I'm allowed to. COHMISSIONER HAC'KIE: Okay. CHAIRMAN HANCOCK: I believe, as policy setters, we -- we are provided that opportunity weekly, quite frankly, so I -- you know, that still has been a -- a concern. MR. FERNANDEZ: Mr. Chairman? CHAIRMAN HANCOCK: Yes? MR. FERNANDEZ: Along those same lines, I'll just reiterate what I said earlier, I feel so strongly about this that I would request that we give -- we be given the chance to do the same thing with the county manager agencies rather than have this reduced. I'd rather see -- I'd rather give them a chance to go back and take another look at their departments and maybe come back with some recommended cuts to equal that amount rather than what you're -- rather than considering slipping that date. COHMISSIONER CONSTANTINE: Then -- then we don't need to add the 170 back in. We can leave the 170,000 out. We can still go ahead and make that adjustment and just count on the county manager to find $170,000 in cuts. MR. FERNANDEZ: My point is, if it's -- if it's that critical for you to keep that millage rate lower then it's -- it's that important, I think, to me to make sure we keep that October 1st date. COHMISSIONER NORRIS: Consider it that critical and then let's see you do that -- we'll do it that way. CHAIRMAN HANCOCK: In the meantime, I'll try and help you in some other areas. I'm not giving up. Okay. So we are -- take the 170 back out. We're not adding it back in. MR. SHYKOWSKI: We're not? CHAIRMAN HANCOCK: No, we're not. COHMISSIONER HAC'KIE: Well, it's going back in that budget, but it's going to come out of other budgets. CHAIRMAN HANCOCK: So -- COHMISSIONER CONSTANTINE: So the overall number, we do not need -- MR. SHYKOWSKI: The overall number stays the same. COHMISSIONER HAC'KIE: Raw number stays the same. COHMISSIONER NORRIS: Okay. Mr. Chairman, before we go to public speakers, we probably need to give her a break. CHAIRMAN HANCOCK: Yes. COHMISSIONER NORRIS: And I have a question on public speakers. COHMISSIONER BERRY: Find out how many we have. COHMISSIONER NORRIS: Are -- is it your intention to have public speakers only on those items that we covered today? CHAIRMAN HANCOCK: No, I think since it's wrap-up, you know -- how many speakers do we have total? MR. FERNANDEZ: Twenty. CHAIRMAN HANCOCK: Twenty. How many of those are here on the Sheriff's Office? MR. FERNANDEZ: Nineteen. CHAIRMAN HANCOCK: Nineteen. And how many of those are employees of the sheriff's agency? MR. FERNANDEZ: I'm not sure. CHAIRMAN HANCOCK: Okay. With that, we're going to cut our time limit on speakers then. That's -- that's, what, roughly a hundred minutes of -- okay. Yeah, we'll go to -- we'll go to three minutes on speakers -- COHMISSIONER CONSTANTINE: Can I just make a suggestion? CHAIRMAN HANCOCK: I think, under wrap-up, I think we need to hear final comments from everyone. I know even GNCA probably has some wrap-up comments, so let's -- COHMISSIONER CONSTANTINE: Mr. Chairman, just a suggestion as -- and you may want to reiterate this after we come back from adjournment, but one of the things we've tried to do in the past year is -- is let speakers say their piece, let them say -- if we have comments, take notes, write them and let's all talk at the end rather than talk between every single speaker because we'll be here 'till nine o'clock doing it that way, just more effective. CHAIRMAN HANCOCK: Okay. Let's take a five minute recess and then we'll reconvene for public comment. (A brief recess was had.) CHAIRMAN HANCOCK: Good afternoon. We're going to reconvene the wrap-up session for the initial budget workshops. We are to the public comments section for the day and as -- as we indicated earlier, the public comment can be on both today's items and previous items. What I'd like to ask is for your assistance. We do have a lot of public speakers. Based on the timing today, we are going to allot three minutes per speaker. If someone has addressed an issue that you are addressing and you agree with their standpoint, we ask for your courtesy to state that and be as concise as possible. I think everyone would appreciate that, and with that, Mr. Fernandez, why don't we go to public speakers, please. MR. FERNANDEZ: Mr. Chairman, I understand that you asked to consider those speakers that -- those speakers first that are not related to the sheriff's budget? CHAIRMAN HANCOCK: Because of the bulk of the speakers on that item, I think it would be appropriate to get the handful out of the way before that and move to that item. MR. FERNANDEZ: Okay. We have three that are not related to the sheriff. The first is Mark Middlebrook. CHAIRMAN HANCOCK: And if we'd also call the second speaker so they know they're on deck. MR. FERNANDEZ: Second is Fay Biles. CHAIRMAN HANCOCK: And again, I'd like to ask all board members, take good notes during the speakers and then we'll address everything at the -- at the finality of the public speakers. Mr. Middlebrook. MR. MIDDLEBROOK: Thank you, Hr. Chairman. Mark Middlebrook, Senior Deputy Court Administrator, Twentieth Circuit. We sought funding for the fourth floor build out this year. Our understanding is, it was denied. I'd like to give you a quick review of the history. In 1994 and '95, began planning to build out the fourth floor. '95, '96, we never made it past the county manager's overview or review of the budget. '96, '97, we were told, don't even bother asking for the money this year. Next year will be your -- your time to do it, and here we are again. I've provided you with some information which really probably doesn't mean a whole lot to you at the moment. I'm going to try and clear that up in my two minutes and eight seconds. Those are the results of a study by the Wiley Group done in 1993, which we asked to have projections of the needs for the Twentieth Judicial Circuit's use for judgeships and courtroom space and so on. As we follow through the statistics, we find that Mr. Wiley was within 3 percent of the actual figures that we now realize. In 1990 -- I'm gonna just give a brief summary here. In 1990 to 1996, we've gone up 50 percent in felony filings in circuit court. Domestic relations have gone up 70 percent. Circuit civil has gone down 20 percent. Probate filings are up 20 percent and juvenile is up 45 percent, and that was as of 1996, which is the latest figures we have. We have nine judges assigned here full time regularly, one of which is only here, though, two weeks out of the month. We have two additional judges that are here assigned to appear during one week each month, as well as we have senior judges that visit. If, today, fortunately, two of our judges are on vacation, but had they not been, we would have had 11 judges here today to utilize nine courtrooms. We have no more judge's chambers. As you can see, the projections are that we're going to grow by four circuit judges, of which we have received one and a quarter. We will also be growing by four county judges by the year 2010. If we -- and we anticipate receiving another judge next year, we will not have judicial chambers for the judge, nor the JA, and we are out of courtrooms, so I again ask you to please -- COHMISSIONER HAC'KIE: Good timing -- MR. MIDDLEBROOK: -- reconsider the funding and the build out of the fourth floor. We are at critical mass right now. CHAIRMAN HANCOCK: Thank you, Mr. Middlebrook. MR. MIDDLEBROOK: Thank you. COHMISSIONER HAC'KIE: If we -- is that the only speaker on that topic, because I have a question on that topic? I didn't know what your protocol was, Mr. Chairman. CHAIRMAN HANCOCK: I tell you what, since that's the only speaker on that topic, if you have a question, fine, but let's hold board -- let's hold discussion until later. COHMISSIONER HAC'KIE: My question was, what are you going to do -- you've got a judge and a quarter coming in next year? MR. MIDDLEBROOK: No, ma'am. We've gone up from -- according to the projections, we've already received one and a quarter of the four circuit judges that we will be assigned here in Collier County. We are anticipating an additional judge next year, and again, we have no housing for the judge. Right now we're housing visiting judges in -- in conference rooms and jury rooms. When we have juries, we have nowhere to house the visiting judges. CHAIRMAN HANCOCK: Mr. Middlebrook, you're quoted in the Naples Daily News, Friday, March 28th, 1997 as saying there's nothing to indicate another -- the county will be assigned another full-time judge. MR. MIDDLEBROOK: This year. That -- and that came to fruition. The -- COHMISSIONER CONSTANTINE: Well, this is only, you know, about six or eight weeks old, so I -- obviously -- I'm not talking about last year's budget. I'm talking about now. This is an article about your request for next year, and in the article you're talking about, if we had another full-time judge, and then they asked you, do you think you're gonna get one, and you said, there's nothing to indicate we'll get another one, and now you're saying, well, we'll get another One. MR. MIDDLEBROOK: Okay. The legislative session has already ended for this coming budget year, which is July to June, and that was what I was referring to in that article. I am now referring to 1998, July 1st is -- is our anticipated time frame, during that budget year for another judgeship, and -- and I was correct, we did not receive another judgeship for this coming budget year, state budget -- COMMISSIONER MAC'KIE: State budget year? MR. MIDDLEBROOK: -- fiscal budget year. COMMISSIONER BERRY: Mr. Chairman, my question is, the state gives us no help in terms of funding for circuit judges' quarters; s that correct? COMHISSIONER MAC'KIE: Correct. MR. MIDDLEBROOK: Yes, I tried my best to avoid article five references this budget time, but this is an unfunded mandate by the state. They provide you the person. You have to provide the work space. CHAIRMAN HANCOCK: What it means is, July of next year, if another one is allocated, we have three months in that fiscal year in which there will be no space for that judge as a permanent -- as their courtroom, so to speak? COMHISSIONER MAC'KIE: Or office. CHAIRMAN HANCOCK: Right. Okay. MR. MIDDLEBROOK: Thank you. CHAIRMAN HANCOCK: Thank you, Mr. Middlebrook. And following Miss Biles will be? MS. BILES: Fay Biles, president of the Marco -- CHAIRMAN HANCOCK: Hang on just a second. MS. BILES: I'm sorry. CHAIRMAN HANCOCK: Following Miss Biles will be? MR. FERNANDEZ: Next is Janet Vasey. CHAIRMAN HANCOCK: Okay. COMHISSIONER MAC'KIE: Vasey. MR. FERNANDEZ: Vasey? COMHISSIONER MAC'KIE: Vasey. MR. FERNANDEZ: I'm sorry, Vasey. MS. BILES: Go? CHAIRMAN HANCOCK: Yes. MS. BILES: Fay Biles, president of the Marco Island Taxpayers Association. There are two that have come up today that I must make some comments from a Marco Island standpoint. The last one is the discussion on the Davis triangle. As you know, East Naples and Marco share District One, fund 102, and when I heard that murmuring of a 45 percent millage increase, I became very much concerned, because about eight years ago, I remember very well that when East Naples had to put sewers in and all the roads had to be redone, Marco Island got zip, absolutely zero funding for anything, and since that time, Mr. Archibald and Mr. Bobanick have been just absolutely wonderful about doing our share every year and it's -- it's increased -- I bet you it increased greatly. I'm concerned about this, though, because this Davis triangle that you're talking about, according to the map, I see shares two different commission districts, and I'm wondering if that shouldn't be looked at very carefully to see -- because I'm telling you right now, if -- if there's that big millage increase and Marco Island has to pay for that, you're going to hear some loud shouts. As you remember, we came before the board to ask for our own MSTD for roads and we were turned down a couple years ago. Maybe -- perhaps it's time to come back and -- and do that again. The other issue is on the water committee. We -- if you remember when the regulatory agency was set up last year, there was just a discussion, there wasn't any hard and fast promise made, but at that time, if you remember, you said they didn't need the four and a half percent, but they could go down to 2 percent, that that was plenty of money that was needed, and as you know, Marco Island probably supplies, what, 75, 80 percent of that -- those are our bills. Every percentage that that little thing goes down means a big reduction in our water bills, and we're -- and we're not complaining. The compromise to 3 percent is fine, but let's do hope that next year perhaps we could go down another percentage so that we can get it down to that 2 percent, because our water bills are very high, as you well know. So those two things from Marco. CHAIRMAN HANCOCK: Thank you, Miss Biles. MR. FERNANDEZ: Miss Vasey. CHAIRMAN HANCOCK: And following Miss Vasey, Mr. Fernandez? MR. FERNANDEZ: Next is Mr. Doug Caperton. CHAIRMAN HANCOCK: Oh, Caperton. MS. VASEY: Janet Vasey, for the record. I'm speaking for the Greater Naples Civic Association and I just wanted to remind you that there is still a little potential play in some of the numbers. First of all, we have -- we'd identified a hundred and -- we'd identified in 1998 about $300,000 of additional revenue we thought might be generated and we'll be working with Mike's office to -- to see how that works out by the end of the year. You kind of wanted to wait on that one, and so that's kind of a do out bill where we might have some savings yet that haven't been included in any of Mike's numbers. There's also -- we have projected an -- an increase in carry forward from 1997, expenses that won't materialize and revenues that probably will of about $600,000, so that's about $900,000 that's still out there potentially. We also have, depending on the resolution of the COLA decision, not only is there 170 with -- in the general revenue fund, but there's also additional monies out there from some of the other service funds, the internal service fund and -- and some of the other funds that would filter down into less money needing to be transferred from the general revenue fund, how all that -- that all works through, and -- and I just wanted you to hold that in your mind too because those things together could result in maybe as much as a million five, and you remember today on the internal service funds, you cut about two and a quarter -- $225,000 from those funds, which then will -- will filter down through the -- the customers and 001 is one of those customers, so I -- I think we would say that there's about a million five out there that potentially could come in by the end of September, and if you do have some bills out, I know you made some commitments on the -- on the -- automation equipment to the Public Defender's Office, so that was 160, but I just wanted you to keep in mind that there may be some other money out there that could take care of other problems if you saw them as being significant. Thank you very much. CHAIRMAN HANCOCK: Thank you, Miss Vasey, and once again, thank you for your -- your notes and efforts in GNCA. We appreciate it. MR. FERNANDEZ: Mr. Caperton, and then Crystal Kinzel. MR. CAPERTON: Good afternoon, commissioners. My name is Doug Caperton and I'd like to speak to you this afternoon regarding the sheriff's budget. I've been a member of the Sheriff's Office for 24 years, and in watching and reviewing the budget proceedings going on, I feel that I need to say a few words as both a member of the Sheriff's Office and a citizen of Collier County. It appears that by declining the sheriff's request for sufficient funds to support the current services of the community, that you are asking the sheriff and members of the Sheriff's Office to work harder and smarter with less. I understand that you represent the people of Collier County and are trying to act in their best interest, but I've been working under -- we've been working, excuse me, smarter and harder with less for a number of years. As I'm sure you agree, people can only be asked to work harder, smarter with -- with less for so long before stress takes its toll. I've seen -- been seeing the stress take its toll in the Sheriff's Office for a while now and I feel that cutting the requested budget would create -- would create even more stress on a group of dedicated people in an organization which is understaffed and overworked in a community which continues to grow at a rapid pace. Law enforcement is a very labor intensive profession, and I'm asking as a member of the Sheriff's Office and as a citizen of Collier County for you to rethink your position on the sheriff's budget for the sake of the citizens of our county and for the sake of those who make the law enforcement their life's avocation. We are really trying to protect and serve this community and are only asking for your help in funding the positions needed to do this important job. As the community policing coordinator for Collier County Sheriff's Office, I have the responsibility for working with the entire community to create innovative problem solving and crime production projects. We've been able to implement many new projects which solve problems and maintain the quality of life the people of Collier County expect. Again, my concern is that without sufficient positions to do the job, much of what we've been able to accomplish over the past several years will go to the wayside and we'll be moving backward in our attempt to reduce crime and people scared of crime in our community. Please reconsider your position on the sheriff's budget so that we might be able to provide the basic law enforcement services on the level we've been providing over the past year. Thank you. MR. FERNANDEZ: Miss Kinzel, and next is Mike Fox. MS. KINZEL: For the record, Crystal Kinzel. I'm the finance director with the Sheriff's Office, but also as a citizen and taxpayer. We've worked long and hard on the Sheriff's Office budget and we may not have all the answers the first day we come over here, but we go back and we work very hard to try to bring you the answers to the issues that are brought up during those original workshop days. Now at this workshop, you've asked us to speak as a member of the public instead of working with us on the Sheriff's Office issues. You've raised concerns over the last few days about the taxpayer's pocket, and I, as a taxpayer, appreciate that, but with the other hand, you've assessed 1.2 million in median beautification assessments, a half a mill in my particular area. That's about ten times what the Sheriff's Office is asking for their budget increase this year. You've indicated that you've taken away from parks and recreation or some other county departments in the past in favor of the sheriff, yet parks, for example, have increased 27.6 percent, 10 percent in the general fund. This may be necessary, and I agree, I like the parks and I enjoy our community and our neighborhood, but I think sometimes as you can see by these percents, a -- a bottom line percent number might be misleading in what we really need in the community. I want a beautiful community, but I also want a safe one. The cuts you are making in the sheriff's budget cut into our current services and operations. Please leave the dollars in, at least for the trim notices, and give us the opportunity over the next couple of months to complete our town hall meetings and provide the information to the taxpayers. If you still feel it necessary in September, then you have the opportunity as the Board of County Commissioners to cut our budget, but by cutting trim, no matter what we do at the town hall meetings and no matter what public support we're able to solicit for the budget and our needs, you won't have the funding available to go back and give the Sheriff's Office the money it needs to operate. Thank you. COMHISSIONER NORRIS: Up until today I thought that only in the federal government would they call a three million dollar, 6.7 percent increase in funding a cut. Please don't say cut anymore, people. Please don't say that. It insults all of our intelligence for you to come up here and say three million dollars extra money is a cut. Don't do that. CHAIRMAN HANCOCK: As much as I may agree with you, let's try and get through all the public speakers and then we'll have all the opportunity for discussion and debate we need. MR. FOX: My name's Mike Fox. I'm currently with the Sheriff's Office also. I am assigned in the violent crimes bureau. What -- what we've been doing since 1989 is the old adage, do more for less. Since 1989, we've had the same amount of investigators in our bureau. Our reports, as anybody can see, have doubled, tripled, even -- even more so. Just a couple of statistics. In one of our major crimes that we work which would be a homicide, on any known offender, you're looking at one single man hour of 162 hours for one case. On unknown offenders, you're looking anywhere above and beyond 1,200 hours. During the month of May, we had five homicides. Even just one murder can take up to 500 hours even if an arrest is made on the scene. We have five investigators. We also work anywhere between 150 and 200 cases a month. Now, if I have one investigator, if he takes even the 162 hours, his other cases just sit there, and we haven't complained. We've worked with this. We've pulled in people and everything else, but I think, as Mr. Caperton said, you can only do so much for so long. That's all I have to add. MR. FERNANDEZ: Dennis McDaniel, and the next one is Robert Bennett. MR. MCDANIEL: Good afternoon, commissioners. My name is Dennis McDaniel. I'm an employee of the Collier County Sheriff's Office and a homicide investigator. There's only a couple of things I can add to what Sergeant Fox has added. I'm one of the lead investigators that's working the homicide. Unfortunately, we don't have the time to spend and to give one-on-one, patience with people. Unfortunately, with this type of case, I'm asking, we need more people, we need more money to address these situations because not only do we have a suspect or offender, we have to deal with victims and victims' families also. What I'd like to ask at this time is to reconsider the sheriff's budget. We really need some help. I'm not a politician. I'm one of the detectives that stays up until two or three o'clock in the morning that goes to a scene. From my point of view, I wish you would really look at it from a cop's point of view. Thank you. MR. FERNANDEZ: Mr. Bennett, and then Sheri Barnett. MR. BENNETT: Good after. I'm Bob Bennett. COHMISSIONER HAC'KIE: Do the time clock, Hike. MR. BENNETT: I'm a citizen of Collier County. CHAIRMAN HANCOCK: Excuse me, we need to reset -- COHMISSIONER HAC'KIE: I just didn't want it to beep as soon as you started, so he's starting the -- MR. BENNETT: Should I start over? CHAIRMAN HANCOCK: Go ahead. MR. BENNETT: Bob Bennett, citizen of Collier County. I have the best of both worlds. I'm a vice-chairman of one of your boards, gentlemen and ladies. I'm on the wastewater and water utility authority for the county, and on the other side, I've worked for the sheriff's -- is that for me now? CHAIRMAN HANCOCK: Thank you, Mr. Bennett. No. MR. BENNETT: On the other side, I'm getting a good education in -- in the sheriff's agency. I've been through the citizens academy. I've been through eight or nine of their -- wonderful -- I've been through eight or nine of their postgraduate courses. I'm a volunteer for the agency. I'm one of the people responsible for putting out the badge and key, which is their internal house program, and this is quite a good experience because I wander around the whole agency. I to talk to people at all levels and all areas of expertise. I'm a former Fortune 500 senior officer and I've had the ability and the opportunity to analyze and see what many people do in the areas of their professionalism. I can say this is a very professional group of people at all levels. I'm very impressed. I -- as a person who does some work for the county and does some work for the sheriff's agency, I'd like to see more harmony. I don't like to see people taking -- sniping at the sheriff's agency, which I feel has been the case in some instances. In any event, the agency is suppressing crime, they're efficient. They've been holding it down in this county; street gangs, crime, all types of crime. Unless they can keep up with the population growth -- growth and the crime growth with their personnel and their technology, we'll find that they will go from suppressing crime to reacting to crime, which is the case all over the state, and I don't think we want that. So I say as a citizen and as a volunteer -- I'm stopping for the fifth time -- I hope you will reconsider your budget. The federal government talks about cutting. Well, they -- they cut the -- the rate of increase. I hope that you will not cut the rate of increase. Thank you. MR. FERNANDEZ: Sheri Barnett, and the next is Tina Osceola. MS. BARNETT: Good afternoon, board. I'm Sherry Barnett. Host of you know me, except for I believe Mr. Fernandez hasn't gotten to hear me speak yet, and all of you also know that my husband is a deputy for the Sheriff's Department, but I'm not here speaking for him. I'm speaking for myself. I just had a couple of questions because I've been trying to listen to the budget workshops and work and it's been a little bit difficult. I haven't been here for everything, but I have a couple of questions that I would like to address. One of them being the first one, I understood when, I believe Barbara Berry was trying to make a point that if we kept everything at growth rate, which I believe was 7.8 percent this year, that that was a number that I could handle with utilizing as a base for what the Sheriff's Department budget should be, because then it would not be falling below growth, but I'm not quite sure where you derived the number that you came up with to get the three million cut. I believe it ends up being like 6.7 percent, and I'm not sure how that figure came about and I was just curious as to if possibly someone could give me some indication. And the other question I have in regards to COLAs. I understand that you're looking at probably putting up a procedure that you're going to have for the county. The other constitutional officers are already using the 3 percent because of other reasons, but you're expecting the Sheriff's Department to do theirs on an anniversary budget as they have done in the past because it saves money. I'm questioning whether or not that's fair. Those are just a couple of things that I'd like to ask. I would like to see if you would reconsider. I don't think anybody is expecting you to grant their full amount that they've requested, but I would like to see if you would consider adjustments. Thank you. MR. FERNANDEZ: Tina Osceola, and Paul Canady is next. MS. OSCEOLA: Hello, commissioners. Tina Osceola, for the record. Welcome to Collier County. I feel like I should say that, for one thing, but -- MR. FERNANDEZ: Thanks. MS. OSCEOLA: My great grandmother, grandmother before her was born here in Collier County before it was Collier County, what is now known as Fakahatchee Strand. My -- my grandmother was born here, my father was born here, I was born here, so I feel like this is my county. There's one important thing in my life and that's my daughter and there's three reasons why that is. Number one, I'm concerned for her education, her medical care and her personal safety, the -- the protection of her life, the protection of her property, my property, what have you. Well, for her education, I have a choice. I personally can decide to send her to private school, to public school, whatever, it's my choice. For her medical care, I can go with Doctor A, B or C, I have a choice, but for her protection of her life, I don't have that choice, you do, and it frightens me in many ways now that I am working for the Sheriff's Office. I see things a little bit differently, as a citizen of Collier County, I put a great deal of respect and admiration, even -- I could even say that, for both the Collier County Commission and the Collier County Sheriff's Office, because I feel like I grew up with this county. I did. When I was born in 1967, the Sheriff's Office was in one building, basically, so as I grew up, so did the Sheriff's Office, and I'm very concerned that what Sheriff Hunter is requesting and is saying that he needs for -- for us for a citizen isn't being taken as serious as maybe it should be because he didn't come here and ask you for something that would satisfy the needs versus growth here in this county. He's telling you what we can get by with, and that worries me because I don't want my daughter's safety just getting by. I think that's scary and it should be scary for you, as well as I've worked here at the Sheriff's Office. I've had to watch investigators and road patrol people out on the road that have had to deal with babies being murdered to people being raped. It's not pretty, and what they're asking for and what we're asking for as a Sheriff's Office and what I'm asking for as a citizen isn't something that is, as you would say, the Taj Mahal. We're not asking for 100 percent quality of life. We're asking for protection. Protection for every one, and I don't like it being taken lightly as a member of Collier County and as a member of the Sheriff's Office as well, but number one, as a person that was born and raised here. It's -- it's really scary to walk outside and see your county grow into what it has without knowing that the people that are there to protect us aren't being treated the way they should. So I desperately urge you to reconsider your point, and as you said, Commissioner Norris, I know that we're using the word cut. And all of us in public administration use that synonymously with the word decrease. So let's not decrease what we've asked for. We just look for full consideration of that. Thank you. MR. FERNANDEZ: Paul Canady's next, and then Eric Daniels. MR. CANADY: Good afternoon. For the record, I'm Paul Canady. I come here today also wearing both hats as a 25 year member of the Collier County Sheriff's Office and a 30 year resident of Collier County and a homeowner/taxpayer. What we're asking for and what I'm specifically asking for is for the commission to reconsider what they're looking at, and I understand what your position is. I sat here with you for three years. I know how tough the job can be, so I don't think I'm speaking out of class. What we're asking for is that you reconsider the position on millage rates and look at asking the taxpayer to spend a couple of dollars extra for public safety. I, as a taxpayer, am willing to do that, have on many occasions in the past. Don't necessarily always like it, but sometimes it's a cost of doing good business, and I think that's the position that we're in right now, trying to find a way to do the best business we can for the taxpayers of Collier County, and that's what we ask you for, and I won't go back over the points that everybody else has brought up, but it's important. I don't think we're asking for excess. We're asking to be able to provide a service to the taxpayers that's needed, and I ask your consideration. Thank you. MR. FERNANDEZ: Eric Daniels and Acey Edgemon. MR. DANIELS: Good afternoon, commissioners. For the record, I'm Eric Daniels. I've resided in Collier County for 48 years. I've been employed with the Sheriff's Office for 24 years and I'd like to speak to you today in reference to the sheriff's budget and reconsidering that budget. I speak to you as a taxpayer and an employee of the Sheriff's Office and would like you to consider that in East Naples alone, there are approximately 37,000 residents, that last year they generated 79,000 calls for service for our sheriff's office, and that equated to about a 17 and a half percent increase in calls for service just for that area. The sheriff, I believe, you've asked him to do more with less, we've heard that already. I believe he has. He's -- he's instituted a lot of cost saving methods. He's -- he's gotten more federal funded programs for the Sheriff's Office. He's utilized the -- the federal auction system to -- for the helicopter and other equipment for the Sheriff's Office, so I believe he's -- he's shown you that he can and does try to save money at any place that -- that he can do that. Also consider, commissioners, that the Sheriff's Office probably, if not absolutely, is the first line of defense and the first line of protection in any of our situations of emergency, such as hurricanes, any natural disasters, and we need to be -- we must be prepared to meet any and all of those instances and we need your support to do that. In closing, I just received my tax statement for North Naples and I'm paying three times more for -- for a drainage pipe up there in Naples Park that doesn't even go in front of my house than you're asking me to pay for the sheriff's budget and I would be much more -- much happier to pay that sheriff's budget to get the protection than to pay that drainage pipe that's going over there that I'm not seeing any benefit from. Thank you very much. MR. FERNANDEZ: Acey Edgemon, and then it's Gene Brown. MR. EDGEHON: Commissioners, my name's Acey Edgemon. I live down on beautiful Isles of Capri and also am a long time veteran of the Sheriff's Office, 26 years, but I actually have some good news to tell you. The sheriff asked us a couple years ago to find ways to save money and use other resources that are available. We did that, as you're well aware, through the military surplus program. Two of the things that I do for the sheriff is, I -- I supervise the marine bureau and aviation bureau, so because of the fact that the government's downsizing, particularly the military, we were able to require a lot of stuff for about 2.6 million dollars worth of equipment so far, and that's part of the helicopter program, which we would not have if we didn't go through this program to -- to do that, but it's also a double-edged sword. We found out among the things with the military downsizing and also a lot of the other agencies that we used to get support from are also downsizing, such as customs, DEA and the other agencies along those lines. Lieutenant Daniels' admission about the fact that we are front line now and we are. Several years ago, the customs office here was 28 people and about four or five boats. Today they have three people and one boat with no gas. Their officers actually ride with us when we go patrol, so that's where we're at today, so drug interdiction and a lot of things that maybe you're not aware of fall squarely on the sheriff's shoulders, and that's what we're trying to do, so please take a look at the budgets. One of the positions in this budget currently is for a marine officer for Harco Island, which we desperately need just because of interdiction and everything that goes with it, so those are things that we need to take a look at. Thank you. MR. FERNANDEZ: Next is Gene Brown, and then Bob Burhans. MR. BROWN: Good afternoon. My name's Gene Brown. I'm employed with the Collier County Sheriff's Office. My position is captain in charge of the criminal investigation division, and I don't want to take your time now and stand here and rehash what everybody's saying, but I would like to give a couple of examples of -- which shows that the -- the problems that we deal with, and since 1989, we really haven't added any certified personnel to the criminal investigations division except through grants, and three of these positions were domestic violence investigators. These three investigators are charged with working 227 cases on the average per month. That's better than 80 a month per investigator. The example I would like to give of the problems that we're suffering here, which is due to lack of funding and personnel, is that last month, I received a request from two of these individuals requesting reassignment. Their concerns were that the quality of their work would probably not be up to what we demand of them, and as such, the citizens were suffering. Being dedicated individuals, they're concerned that if something falls through the hole, so to speak, it's going to result in an injury, if not death, to one of the citizens in this county. They are very concerned about that. As their supervisor, I am also concerned about it. So I would ask you to take some time, really look at what we need and please address our needs as -- as you would see fit. Thank you. MR. FERNANDEZ: Next is Bob Burhans, and then Tom Davis. MR. BURHANS: I'm Bob Burhans. I'm a tax paying resident of this county. You've known me also as well as a member of the Sheriff's Office. You -- you speak frequently of your taxpayers. I am one of your taxpayers. I am one of your fellow taxpayers. I think that funds raised locally should be used locally and I think that I join the multitudes who don't want to see any more money than necessary go to tax expenditures. I believe that money spent in public safety and law enforcement are monies well spent, especially when they're monitored and supervised as closely as those which we use in the Sheriff's Office are. Again, as a resident of this county, I think that -- that if the commission could have the opportunity, individually or collectively, to spend some time with the members of the Collier County Sheriff's Office in any of their various capacities, you might find that you probably are getting more than your dollar's worth out of virtually every one of them. I, for one, as a citizen and as a member of that agency, am tremendously proud of them. I think that they do a super job with what they have in this burgeoning age of -- or age of burgeoning technology. I think that if we allow ourselves to fall behind, we're going to have a very serious catch-up day that will come sometime in the future and it won't be a long time in the future at that. I would implore you to look again, to reconsider at least what seems to be that very reasonable 7.8 percent level which was mentioned the other day. Seems to make good sense and should be acceptable, I would think, throughout the county generally. Thank you very much. MR. FERNANDEZ: Next is Tom Davis and then Mr. C.V. Nind. MR. DAVIS: My name is Tom Davis. I'm also a resident of Collier County and I'm also the lieutenant in charge of the youth relations section of the agency. My job is basically to make sure there's a deputy at each high school, middle school and elementary school. Right now, we have two deputies in all the high schools except the Immokalee High School, and we have a deputy in the middle schools and we're not servicing the elementary schools according to the way we should. We're presently with 25 elementary schools, and I'm having to take the deputies out of the middle schools and the deputies that work in the high schools, the second deputy to cover the elementary schools and try to, with all that, to be proactive in the school system and giving presentations, but recently what we've been doing is more reactive work, where we've been running from call to call. With -- right now we presently have about 26 deputies in the program. It appears that we're just trying to keep up. There's, totally, 40 schools right now, including the Gulf Coast School will be coming up in the near future, which is another high school that's going to be coming, and we need to cover that as well. There's a lot of programs that we're offering in the school system and trying to maintain control of the -- the kids in the schools and some of those programs are the DARE program, the junior deputy program, and do presentations in the school to try to work with your kids and my kids. If you have kids in the school, you realize the importance of having a deputy there and making sure that those schools are protected. I've been in the school system right now, I've been here since 1979 as a -- as a youth relations deputy working in the middle school, and it makes a big difference to have that law enforcement officer there. I think as a result of having deputies in the schools, it has definitely made a difference between Collier County, Miami, Fort Lauderdale where you see people are being shot, those kind of things. I think having that deputy there and being there for such a long period of time, we've built quite a rapport with the students, the teachers, the community and we've made a big difference, in my concern. So I'm asking that if you could, there are three officers that the sheriff is asking for within the youth relations program, that you could try to maintain those three. I appreciate your concern and thank you very much. MR. FERNANDEZ: Mr. Nind, and then the next is Gene Davis. CHAIRMAN HANCOCK: You can work on the name with him later. MR. FERNANDEZ: Did I not get it right? CHAIRMAN HANCOCK: No one does. MR. NIND: Commissioners, good afternoon. I am Chris Nind with the Collier County Sheriff's Office. Commissioners, what I would like to do is to explain to you why the Sheriff's Office requested three hundred and six thousand dollars, six hundred -- $306,600 from the 301 fund. What I would like to do is to go through the front page that I have given you, and I need to take you back, really, to October of '94 when the 800 megahertz contract was signed, and if you look at page two, I think I've highlighted in most of the copies, you will see that the sheriff requested 299 mobile radios and 556 pottables, giving a total of 855. Actually, the sheriff has received, through the contract, 300 mobiles, 459 pottables, giving a total of 759 radios. There is, therefore, a shortfall of 96 radios. A shortfall of 96 radios, and what I'd like to do is explain how and why that occurred. If you look at the second block on the first page, in the October '94 contract with Erricson, the cost of pottables and mobiles was averaged. It was averaged, and in the document, you will see -- that's on page three of the -- or it's the third page that I gave you, you will see that the average cost for a mobile is 2,363, and for a portable is 2,446. Now, the actual costs, actual costs in November of '95, for a mobile was 3,158, and for a portable, 2,560. If you then look at the fourth column on that second block, the contract total for mobiles and pottables was two thousand -- $2,066,513. The actual costs for 299 mobiles and 566 pottables, which is what the sheriff requested and certainly wanted was $2,367,410, a shortfall of $300,897, a shortfall of $300,897. Now, the Sheriff's Office has tried to live with that, but the fact that the law enforcement vacancies within the Sheriff's Office are now going to be absolutely full and filled, means that we do require those additional radios from the original contract request, and therefore, that is why the Sheriff's Office requested 306,600 -- $306,600 from 301 to purchase those outstanding radios, and therefore, commissioners, I would ask you to review that request in the light of this information, and I can only apologize I wasn't here on Thursday because I think this may have helped things. CHAIRMAN HANCOCK: On this item, I do have, if the board will indulge me, I do have a question. On the information you just received -- we just received from you, it says in 1994 there were numbers of mobiles and pottables requested, and that amount received? MR. NIND: Right. CHAIRMAN HANCOCK: There's a cost on the next graph down on an average cost allowed per contract, and then there's a November 1995 actual cost -- MR. NIND: Correct. CHAIRMAN HANCOCK: -- which in the mobile radio section is significantly higher than the cost allowed per contract. MR. NIND: Correct. CHAIRMAN HANCOCK: What's the purpose of a contract if we're paying more than the contract amount? You lost me there. MR. NIND: The contract took -- if -- if you look at page three, if I can go back to that in the averaging, the contract looked at taking a number of different types of particular mobile and portable, and then the overall number was averaged. Yes, there is a large discrepancy within the mobile that the Sheriff's Office has and the average cost that was decided within the contract. At the contract time, which is October of '94, there were still questions on which particular equipment we would purchase one year down the road, because obviously there was still technology developments within Erricson, certainly with regard to the mobile radio, we were looking at certainly a radio that was capable to carry mobile data terminal input, we were looking at a mobile radio that certainly would have the power output that if anything did happen to the communications system throughout Collier County, we knew that a deputy, no matter where he was in the county, could actually get back on his mobile radio if he needed to, back to communications with the Sheriff's Office or car to car. So those were important factors in deciding on what radio to -- to go with and obviously the newer or the later radio to go with, we know that it is the best technology at the time, and also we know that the spares are going to be available, because obviously we're looking at the system taking us into the 21st century. I mean -- COHMISSIONER HAC'KIE: But none of them were 3,158. Even the most expensive was, what, 3061. How did they -- how did they end up charging you something higher than anything that was quoted in the contract? MR. NIND: Well, the figures that were taken here were figures that were back in basically in our original request of the RFP. We laid down a number of things, and those were figures that they came back with, but actually at the time of purchase, certainly that was the mobile radio that suited public safety's needs, to be absolutely honest, and yes, there is -- there is a $700 difference, and of course, when you're ordering something like -- when you're ordering 299, that makes a big difference, you know. If it was eight radios, I suspect one could, you know, get around that particular problem. CHAIRMAN HANCOCK: Did that cost -- I assume this contract, was that contract between the provider and the Sheriff's Office or did this board have any involvement in it? MR. NIND: Yeah, this is the main Erricson contract. CHAIRMAN HANCOCK: Okay. Thank you. Any other questions? Thank you. MR. FERNANDEZ: Next is Mr. Gene Davis and then Lieutenant Karen Strickland. MR. DAVIS: Good afternoon. My name's Gene Davis and I work for the Sheriff's Office and I'm here today because I just have a comment to make. Like yourself, Mr. Chairman, I started at the bottom area and I've worked my way up to what -- I'm now considered admin. I'm in charge of several people, but some of the things that goes with that, I'm on a salary. I don't get paid any extra. I put in a lot of extra time, but I'm from a police family and that's just understood. I worked with the SWAT team in 1984. At that time, there were ten full-time people and one supervisor. Well, today, I'm that supervisor, but I still have ten full-time people, and we do a lot more, again, trying to make things work. This requires specialized training and equipment that any agency, not just this agency, any agency that asks their employees to confront ever-increasing violence in this society needs that equipment, and I want to thank you for prior approval of funding, but remember that progress means change. Change comes about from growth and growth costs money. I encourage the board to make a stand for growth, to show the sheriff some consideration on his budget request. Thank you. CHAIRMAN HANCOCK: Thank you. MR. FERNANDEZ: Karen Strickland, and then Will Sargent. MS. STRICKLAND: I'm Karen Strickland with the Sheriff's Office. I have the command of the North Naples substation patrol division and I just wanted to share with you from the patrol deputies' perspective of looking back at our budget in recent years. We've not asked for anything that would be a luxury item or an additional. We are asking you for positions to cover the critical needs as far as expansion, the increasing in crime rate, the juvenile problems, youthful offender problems and all of the other areas that other members have shared with you today. I think that radios are a vital safety piece of equipment from the deputies' perspective. You know, there's a lot of things going on with the technology that -- that I'm not involved in. I'm speaking to you just simply from the patrol perspective. We still have areas in the county that do not have radio coverage, and that's being worked on by the technical support people between the county and the provider and our agency. We have not expanded personnel-wise to keep up with the growth and the increased crime rate. We're not adequately addressing some of the areas that need a lot more attention. Lieutenant Davis hit on the youth relations program and the attention that we need to be giving to the younger citizens and cultivating a different kind of respect and involvement with our little people growing into productive citizens in the county. I would just ask you to look back at what we've asked for and see that it is not extra. It's not luxury items. It's maintenance, it's keeping up. Look at what we do with our patrol cars and other basic equipment that we depend on day in and day out. We don't even think about turning over a patrol car until it reaches a hundred thousand miles on it. That's a lot of wear and tear on an emergency response vehicle. We have a lot of other shortages, but I'm sure you've heard those stories of, you know, two computers in a substation for 45 people to share. You know, we don't make issues over that. We deal with it. I've been in supervisory capacity with the agency for around 15 years and we regularly hear with, deal with it, work smarter with what you've got, be more creative with scheduling, double up on equipment. We don't depend on just the district for our coverage. We work between all the districts. If we know we have a big event coming up or if we have a disaster of some sort, we call on each other to provide supplemental coverage. We do the same thing with our special services divisions and with our criminal investigations division. If we happen to have some flex time, which isn't very often, we supplement our investigators on big cases, so I -- I am very confident to stand here and tell that you we have a strong working team there and we are good stewards of the taxpayers' money, and I would just ask you to reconsider it from a functional perspective. Thank you. MR. FERNANDEZ: Next is Will Sargent and then Hubert Howard. MR. SARGENT: My name's Will Sargent. I'm a lieutenant with the Sheriff's Office. I'm assigned to the crime intelligence bureau. I've been there for ten years. Prior to that, I was with the San Diego Police Department. Part of our job is tactical support and the other part is strategic support and advising administration on what is coming down the road. What we're seeing is as Collier County grows and Naples grows, crime is also going to grow, not only in numbers, but also in the type of crime, and you currently have organized crime here. You have traditional organized crime, you have European organized crime, you have Asian organized crime influence in this county. You have Caribbean organized crime. You have organized drug cartels, okay, using this county as a -- an ingress and egress point, and we see all of that continuing to increase. Within my bureau, and I have the career criminal section, okay, as Arlo Guthrie said, you know, they're not only the mother tapers, they're the father tapers. What that means is, they are the worst of the worst. We have 1,256 career criminals that are documented in Collier County right now. There's an act called a Gort Act, okay. It's where the worst, the most violent are prosecuted, and up until -- it was just created in '95, we have six of those cases currently and one carried over from 1996. There are currently 72 open cases in the court system right now on violent career criminals, and to handle those, I have one detective and one analyst that see all those cases through the court system, and two detectives that try to manage 1,256 career criminals that are out in the field. Another section that we have is street gangs. We were the first to alert the sheriff about five, six years ago that street gangs were going to impact Collier County and we needed to start doing something about it and he appointed the street gang coordinator. We have seen, in the last 18 months, an increase in the severity of the individuals involved in the street gangs and in the number of the street gangs and people involved in them. We have seen as many as -- estimate 25 to 30 different gangs pop up, some of them are major, some of them are minor. Three hundred plus individuals that are gang members or associates that we keep track of. You just need to ask yourselves that if you don't put money up front and address these issues now, how is that going to impact Collier County down the road? Is the quality of life going to be the type that's going to attract people here to live and businesses to the county? I don't think we should just arbitrarily say we're going to give the Sheriff's Office X number of dollars without looking at what they're requesting and is that good money well spent. Thank you. MR. FERNANDEZ: Next is Hubert Howard, and then Tom Morris. MR. HOWARD: Good afternoon, commissioners. Hubie Howard. I've lived in Collier County for 20 years. I hold the position as vice-chairman of the Sheriff's Citizens Commission. I'm not an employee of the Sheriff's Office and none of the commissioners are either. We are 60 strong. The full commission meets every other month and the executive committee meets monthly. We've been kept well advised of the sheriff's budget for about four months. Some of us serve on the sheriff's commissioners' budget committee, the chairman of which is Ed Morton and you're all familiar with Ed, senior vice-president of our hospital and an outstanding financial person. We believe strongly that from what we've seen, and we're not experts in this obviously, but as laymen, that the request for the increase that the sheriff has made is justified. If he is constrained to the three million dollars which your straw vote indicated was going to be allotted, he will not be able to add any, or at least not most, if not any, of the additional 13 manpower requirements, and you've heard these loyal workmen -- workwomen and workmen in the Sheriff's Office, employees tell you their jobs. Now, I ask you to consider some subjective matters, two basically. The first is that as our county grows and with the input of dollars, some of which you furnished through TDC and the other organizations in our -- in our county working to expand the county, bring more people here, we bring more criminals here. They see our ads, not just in the United States, but in Europe and around the world and they come here because we are considered a rich county and it is a -- an obvious target for them. The other thing is that our people, and I -- in my own -- in just research of people around the county to the degree I can, have become much more aware through media, the events that have taken place here and throughout the world and our country, criminal events. They become much more aware of their own personal safety and they are therefore requiring more service. It was Commissioner Norris, I believe the other day, that made an excellent suggestion, to stay revenue neutral and allow the sheriff a 7.8 percent increase, and I plead with you that that is a fair way to proceed. Thank you very much. MR. FERNANDEZ: Tom Morris, and then Scott Salley. MR. MORRIS: Good afternoon. I appreciate the opportunity to speak with you today. I too am not an employee of the Sheriff's Department. I'm an employee of the Collier County Public Schools and I speak to you today on behalf of Superintendent Robert Hunz and the administration of the school system. We have had the great privilege of working for many years now with the youth relations programs of the Sheriff's Department. They are, in our estimation, excellent; excellent for the children of this community and excellent for the community itself. We understand that the sheriff is asking for some expansion of those programs and we're fully supportive of the expansion of those programs. I listed five things that I see as -- as particular values to the community and to the -- to the kids for youth relations program. One is rapport building with kids for prevention purposes. Another is education on law enforcement matters. A third is law enforcement itself. A fourth is getting intelligence information through the rapport with kids for solving problems in the general community, and a fifth is a spinoff benefit, I think, of a better educational environment for the children of this community. We'd like to encourage you in every way possible to support the youth relations program in the Sheriff's Department. Thank you very much. CHAIRMAN HANCOCK: Dr. Morris, I just want to be clear. You're here on behalf of the superintendent, Dr. Hunz, requesting that we increase the proposed allocation of the Sheriff's Department? MR. MORRIS: The programs that currently exist and the ones that the sheriff's are -- sheriff is asking to increase, we would support, yes. CHAIRMAN HANCOCK: So that's a yes? MR. MORRIS: That's a yes. CHAIRMAN HANCOCK: Thank you. MR. FERNANDEZ: Next is Scott Salley, and then Pat Mullen. MR. SALLEY: Commissioners, good to see you. CHAIRMAN HANCOCK: Hi, Scott. MR. SALLEY: Always a pleasure to have this opportunity to speak. Welcome. My name is Scott Salley. I'm with the Collier County Sheriff's Office. Again, I believe brevity is the key, so I'll keep this very short. What I'd like to do this afternoon is bring you one simple message and that message is unfiltered, it comes from the horse's mouth. We need to look in the future. We're going to have some serious problems, especially with juvenile crime, with violent juvenile crime. I work in a very small piece of the pie of the Collier County Sheriff's Office and that position is commander of the Drill Academy, but working with these young men, I can tell you, through their eyes, what we may anticipate in the next few months, few years or four or five years down the road. Yes, I am here to support the sheriff and the sheriff's budget, but because the message I have is knowledge from these young men, these young men that are in my school or our school, the school that no one really wants to attend is not a fail-safe. It is not the panacea. As a matter of fact, it's more of a reactionary mode than a proactive mode, and that's what I'm asking at this time is to be proactive. I strongly support, as well as all the other officers, the sheriff, concerned citizens, that we need to work with the younger generation with programs like junior deputies and more of the programs that are innovative. Also I'd like to talk about communication. Personally, I have deputies that are out there checking out these juvenile offenders without any communication. They're going into what we call, what you would refer to as bad neighborhoods without any communication, two or three o'clock in the morning. Someone's going to get hurt. We do not have the radios. So again, with those two issues, I hope you grant the extension of the budget. No, I'm not going to say cuts, sir, but I think it warrants that we continue with what we've proposed. Thank you very much. MR. FERNANDEZ: Next is Pat Mullen, and then Nick Ojanovac. MR. MULLEN: Afternoon, commissioners. My name is Pat Mullen. I've been a resident of Collier County for almost 30 years. I'm also a member of the Collier County Sheriff's Office and I'm the supervisor of the Immokalee substation uniformed patrol. Everybody's come up and talked to you about several different items that they're concerned with law enforcement, and as you know, this past Saturday, we had a tragic homicide in Immokalee involving an 18 month old baby. Those type cases take numerous, numerous hours, not only from a uniformed patrol perspective, but also from a criminal investigative perspective. That's one case that takes numerous hours. I mean, we have to preserve crime scenes, we have to preserve evidence, we have to have the medical examiner, and I mean, just that one case takes so much time out of a shift that an officer is working. We have been asked to do more for -- with less for numerous, numerous years now. I have meetings with supervisors and road officers and I tell them, we've got to do this, we have to do more here, we have to do more here, and finally people are saying to me, officers are saying to me, we can't do any more. We are max'd out with what we have, so the sheriff's budget that he's asking for, please, take into consideration, not only for the rest of the people of Collier County, but also for your safety, you know, I would request that -- I've never known of a commissioner riding in Immokalee or any other district in the county. You've ridden in Immokalee? Great. CHAIRMAN HANCOCK: North Naples. MR. MULLEN: North Naples. I offer that to anybody, please come out and ride. COMMISSIONER MAC'KIE: Scare you to death. Scared me to death. MR. MULLEN: Come and see what the officers do. I think it's very important that you get that perspective. Thank you. COMMISSIONER MAC'KIE: Immokalee on a Friday night, I'll never forget it. MR. FERNANDEZ: Nick Ojanovac, and then Henry Ingwersen. MR. OJANOVAC: Good afternoon, ladies and gentlemen of the commission. First off, as a taxpayer and a member of the Sheriff's Department, I'd like to say I thank you for allowing me to get up here and speak my small piece. I appreciate the job you all are doing. You're a tough group, but I do believe that the sheriff in the past several years has trimmed and cut and been the man that has been hit the most in all his budgets. It's always cut, the Sheriff's Department. I believe that law enforcement is of priority in Collier County. I have family here. I have kids and grandkids. I'd like to see the level of law enforcement remain high. I don't want our county to turn into another east coast county. Please listen to what he has to say. I'm sure things could be worked out. Let's be reasonable, and as the other officers -- my fellow officers said, we need all the support we can get, and I appreciate anything you can do. Thank you. MR. FERNANDEZ: Henry Ingwersen, and then Eric West. MR. INGWERSEN: Mr. Chairman and county commissioners, I have no connection whatever with the Sheriff's Department. I am a 27 year Collier County resident living in Lakewood, and last Thursday night, I went out on Thomasson Road to the East Naples park and attended the sheriff's town hall meeting because I felt that the roads have become so dangerous that it's time to start ticketing the handful of barbarians, self-centered barbarians who are ruining driving in Collier County for the rest of us, and the only way I know to change behavior, as John Watson, the famous Harvard professor who invented behaviorism, said, is to punish behavior you want extinguished and to reward behavior that you want repeated. Well, Sheriff Hunter said -- I asked why I saw patrol cars spread around the county and I didn't see people being chased for speeding. I'd like to see cars pulled over to the side of the road getting tickets. He said that the number of service calls that he's received -- that he receives has grown so enormously over the last five years that it leaves him very, very few resources to -- for road patrol. Now, I don't know how the sheriff's resources are allocated, but I think that it's time that the commission made an attempt to find out how the Sheriff's Department is organized and what it needs. COHMISSIONER NORRIS: What makes you think we don't do that? MR. INGWERSEN: Well, I don't. I don't know. COHMISSIONER NORRIS: You're just making an assumption. MR. INGWERSEN: I'm -- I'm just -- I'm making a -- COHMISSIONER NORRIS: It's totally unfounded. MR. INGWERSEN: Well, okay. I -- I made an erroneous assumption. In any event, I know that the barbarians that are ruining the roads need to have their behavior changed and I see that -- that growth has a -- a price and I believe that this testimony this afternoon is a symptom of that price. Thank you. MR. FERNANDEZ: Eric West, and then Sheriff Hunter, our last speaker. MR. WEST: Good afternoon, commissioners. For the record, Eric West, a taxpayer, and I do -- am not employed by any public safety agency and I have no relatives that are. I spoke to you on the first day of the workshop about the issue of public safety resource allocation dollars across this county and I want to repeat that assertion and make an additional comment, but I'll make that assertion stronger than I made it on the first day of the workshop, and that assertion is that public safety dollars in this county are grossly misallocated, and I feel more strongly about that today than I did on the first day of the workshop, and with that background, I would urge you to, as you're setting the millage rate or the trim rate or whatever the technical words are for it, to leave yourself some wiggle room, if you will, for EHS and a station there and what -- what they need in their budget and leave yourselves some wiggle room for the sheriff, and if that number needs to be 7.8 percent to keep yourself millage neutral, so be it, but I'd like to see some room there, and as you look across these public safety dollars across the county, again, as I said on the first workshop day, I recognize that this commission does not have supervisory authority over all the districts. I do understand that, but I believe that the issue is so serious that I would like to request that this commission begin thinking about funding, reasonably soon, an independent consultant to look at the question of resource allocation in public safety dollars across this county, and I would specifically suggest that you look at population trends, both permanent and seasonal, to get into the calls for service and find out which of those calls for service are real and which aren't and which are false alarms and get it down to what is the core of those calls for service, particularly on fire and EHS, and then look at the dollars that are allocated against it, because what I've seen so far is that the gross dollar denominated in millions for fire is relative -- CHAIRMAN HANCOCK: Mr. West, you know the set up. What do you expect us to do about the fire districts? MR. WEST: I just made that statement, okay, and let me repeat it. CHAIRMAN HANCOCK: We'll just go ahead and consolidate -- MR. WEST: That's not what I said, Commissioner. CHAIRMAN HANCOCK: Oh, okay. MR. WEST: That's not what I said, Commissioner. Please do me the courtesy of -- of not misrepresenting what my words were. My words were that I would like this commission to begin considering funding an independent consultant study of allocation of all public safety dollars in this county, but specifically on fire and EHS, because I think that's where the misallocation is most severe and see what we find and let that be an independent consultant. Look at the population, look at the calls for service and look for the millions that are put against it. You may find -- you may find that your EHS is underfunded. You may find that your fire districts are underfunded and you may find that fire districts elsewhere are, in fact, overfunded. Thank you. MR. FERNANDEZ: Sheriff Hunter. MR. HUNTER: Sheriff Don Hunter, Collier County Sheriff, taxpayer and resident for about 35 years. I appreciate the opportunity to speak as a resident. I'd like to sum up, I was -- I'm overwhelmed, I'm very proud of the members of the agency who spoke today. They speak on behalf, not only of the agency, but as representatives who can give the commission the information that you need to make an informed decision. I've asked that you defer taking immediate and precipitous action on the budget proposal as we presented it to you until we have an opportunity to discuss it with the people that we represent as a group, you as constitutional officers and myself as such, let them speak, let them inform you of their concerns for public safety. Set the millage at trim that would support the budget of the Sheriff's Office and provide for the proactive types of public safety that I know you want and that this community deserves. I have already certified to you and you've heard it restated many times today that we have not been asking for unreasonable budgets. I summed the budget for the last five years, the budget increase and I divided by five and I come up with about 7.6 percent per year that we've asked for from this commission and you've been supportive. Each year we seem to get into a situation of being somewhat verbose and confrontational. I don't want that and I hope you don't want that. I'm looking for solid, successful, efficient, effective public safety and I represent that. The good, the honest, conscientious and professional people that spoke to you today represent that and we're asking you to reconsider your position and give it the opportunity to be discussed, make this and keep this a safe place. CHAIRMAN HANCOCK: Thank you, Sheriff. COHMISSIONER NORRIS: Thank you, Sheriff. MR. FERNANDEZ: That's all we have. COHMISSIONER NORRIS: That's it. Anything else, Hiss Filson? CHAIRMAN HANCOCK: I think there's an unfortunate -- I kept hearing doing more with less since 1989, and since I wasn't on this board in 1989, I started doing a little bit of quick research to find out what was so significant about the last seven or eight years, and we didn't need a lecture today on the integrity or qualifications of the men and women of the Sheriff's Office, quite frankly. I appreciate the information, but you're not telling us anything new, but it made me look at, has this board in the past, long before I was here, supported the Sheriff's Department and to what extent, and it seems today that the measure is money. So let's talk about money. In 1989, the Sheriff's Office budget was 18.2 million dollars for a population of 146,000 people. They're your numbers. That's $124 per person in this county. In 1997, the request -- not the request, the actual amount at 6.7 percent is 54 million for 172,000 population, which is $314 per person. That's a 250 percent increase over eight years. What I kept hearing from all of you is that there just aren't enough man -- there's not enough manpower, not enough people, not enough investigators, not enough road patrol officers. Well, an eight year increase of a total of 250 percent, there was only a 220 percent increase in work force, so you may be on to something. The money was increased 250 percent, but the number of people in the Sheriff's Office has only increased 220 percent, so if there is a disparity, I would guess it -- it shows up in the people. What really told me something was the -- the cost per person for population has increased over 11 percent per person, per year for law enforcement. I don't think that's ignoring law enforcement needs, and what we're doing this year is actually quite in line with that, but there was a comparison. Everything from somehow us waving a magic wand over independent fire districts and looking at EMS all the way down to, I believe, Miss Kinzel is -- is an advocate of eliminating median beautification and giving that money to the Sheriffws Office, so I looked at what our budget increased by in the last -- same time frame and we were at 18.3 million in w89, which was the same thing, $125 per person, and wewre at 37 million for 172,000 which is $215 per person, a hundred shy of what the sheriffws agency is. So I -- I keep coming back to the doing more with less, and of the departments in this county, I think itws been the county managerws agency that has done that, has served a high population at a lower cost per capita than the Sheriffws Office. So I -- I -- Iwm not sure where this do more with less since w89 comes from, quite frankly, unless itws a misperception throughout the agency or unless my numbers are just flat out wrong, and that may be a possibility, but that kind of dedication, financial dedication to the law enforcement in this community doesnwt end with this budget. I think itws continued, so unless something magical happens between now and the time that we get final numbers in, I donwt see a way in which we can go well beyond where wewve gone already and not give these -- this community what we said we were going to do last year, and the reason that this board has to review all constitutional officer budgets, including our own, is because one collective decision has to be made that results in a tax bill that arrives in everyonews home. Otherwise, each constitutional officer could just submit their budget and weld copy them all and put them all on the tax bill, but the reason we have to review each and every one is because that collective number is important to people who get a two and a half percent cost of living on their Social Security payment last year and next year. So I think looking collectively at what that tax bill does to peoplels lives is a critical part of our job and something we have to do no matter how much we want to give money to one agency, to another agency or for a given purpose, and that still, with me, rests the same -- you know, if we can find money elsewhere in the budget that we think is less important or not important at all or things government shouldnlt be doing, great, but I havenlt found that this year, so Iim gonna stay with the amount that we have, and hopefully between now, and as I mentioned to Sheriff Hunter, between now and September, with the exception of 161,000 that we discussed with the state -- or the public defender and State Attorneyls Office, if additional funds become available in that time where there is the opportunity to look at additional funding, then we have the ability to do that, but right now looking at the narrow margin between what we have already reduced the initial request by and what millage rate that results in, I donlt think we can go much beyond that. COMMISSIONER MACIKIE: I -- I donlt want to waste a whole lot of time because you guys already know that my position is that 7.8 is the right number. I think 7.8 is the right number because itls the population neutral number, and I think that it would be fair if welre going to say three million dollars or if welre going to say six and a half percent, that some justification -- frankly not only that it would be fair, but that it would be a good idea if this ends up as a transcript in Tallahassee being reviewed by somebody, that it be stated on the record what the basis is for the six and a half percent or the three million as opposed to the 7.8 that I would support. CHAIRMAN HANCOCK: And by the way, thatls not population neutral. Population increase was 4 percent. COHMISSIONER HAC'KIE: I'm sorry, property value increase neutral. COHMISSIONER NORRIS: Well, I think Commissioner Hancock has -- has -- has generated the figures that show the justification right there with -- with a population increase of only, say 40 percent in the last eight years, the budget of the Sheriff's Department has increased over 200 percent, so it -- and the case that we're not keeping up with population increase is certainly erroneous. I mean, that's just not correct. Also, in Commissioner Hancock's figures, you'll see that the Sheriff's Department has, in that same time period, gone up at a rate that is twice as fast as the county manager's agency. It has tripled in eight years, where the county manager's agency has merely doubled, which is about right, according to the population expansion. So I think the justification is there, and the sheriff, himself, on Thursday said that the average increase over the last, I think he said four years at that time was 6.5 percent, four percent, 6.4 percent and this is 6.7 as it works out, so this is right in line with what has been increased in the -- in the past four years, so I think the justification is right there in Commissioner Hancock's figures. COHMISSIONER HAC'KIE: That -- that average that the sheriff referred to previously though was reached including his requested budget number for this year. If we approved his budget as requested, the average over the last four or five years would have been 6.5 or 6.7. COHMISSIONER NORRIS: Well, you can make that -- you can make a calculation to present any kind of case you want. If you took last year and this year together, then you would have a 10 percent increase. COHMISSIONER HAC'KIE: No, I just wanted you to understand that if you were gonna rely on his math, his math included approving his budget as requested to come to that number. COHMISSIONER NORRIS: Okay. At the same time, the sheriff is very proud, and justifiably so, of pointing out that the crime rate in Collier County is lower than the City of Naples, which is lower than the State of Florida average, so those -- that raw figure indicates that there's not any further justification for major expansion of this agency. COHMISSIONER HAC'KIE: But we wouldn't wait for that to increase. We would want to continue to keep that down. COHMISSIONER NORRIS: I -- our sheriff is doing a wonderful job of keeping that number down. CHAIRMAN HANCOCK: Quite frankly, one thing concerned me as I looked at -- I want to make sure that over seven or eight years, we weren't basically taking from the law enforcement agency into the county manager's agency, quite frankly, because when I kept hearing do more with less, more with less, that was repeated at least six times, I stopped marking them after the fifth one, that concerned me, and what I found is just the opposite, but what concerns me is that we still have increased 6 percent per person, per year. That's a little high, and that's in the county manager's agency. I'm not real tickled with that number, so that trend is something that -- that bothers me because that's -- if the cost of living is 3 percent and we're 6 percent per person, per year, that's a little heavy, so, you know, we're -- it just goes to show that we haven't been as, you know, for seven years haven't been the -- as tight-fisted maybe as we could have been. COMMISSIONER NORRIS: Well, you need to factor not only inflation, but also the increase in raw population. CHAIRMAN HANCOCK: Agreed. I'm just saying -- COMMISSIONER NORRIS: And that's more like seven. CHAIRMAN HANCOCK: Sure, sure. COMMISSIONER NORRIS: And back in '89 or '90, it was a lot more than that. CHAIRMAN HANCOCK: We need to bring today's meeting to a close. Are there any other comments on the budget? COMMISSIONER MAC'KIE: I have just one last -- just -- I -- I think the question's been framed, but I just want to be absolutely certain that it has. Everybody understands that what we're voting on now is the -- is the trim notices. CHAIRMAN HANCOCK: Correct. COMMISSIONER MAC'KIE: We lose our -- well, I'm sorry, the millage we'll be setting -- Mr. Smykowski's shaking his head -- is essentially what we will be setting as the trim notice millage. MR. SMYKOWSKI: We will do that officially in July. COMMISSIONER MAC'KIE: I understand, but today -- after we do that in July, we won't have the opportunity to respond -- what concerns me is, we have no wiggle room at all if there is a public outcry, and I wonder what the harm would be in a 7.8 approval today with the understanding that it's only there for trim notice and -- and, you know, it gives the public an opportunity to have a say on the sheriff's budget. CHAIRMAN HANCOCK: It's no different than last year after people got their tax bills and my phone rang off the hook about the increase in their taxes. We didn't have any wiggle room then either. I couldn't ask for it back. COMMISSIONER MAC'KIE: I'm talking -- if we leave ourselves the room in the trim notices for people to say, I'm willing to pay that extra dollar a year for the sheriff to get his budget. I'm asking if you want to give us -- I would suggest that we should have that sort of flexibility. CHAIRMAN HANCOCK: Well, that -- you're looking for the opportunity to increase his budget then. COMHISSIONER MAC'KIE: I'm looking for the flexibility to remain, which it won't, once we set the trim. CHAIRMAN HANCOCK: True. Okay. I've made, at least a -- just a proposal to continue with the amount that we indicated previously. I'll poll the board on that. Is there at least majority support for that? Not -- not from Commissioner Mac'Kie. COMMISSIONER NORRIS: Yes, sir. CHAIRMAN HANCOCK: Commissioner Norris. COMMISSIONER CONSTANTINE: Yes. CHAIRMAN HANCOCK: Commissioner Constantine. COMMISSIONER BERRY: I can count. CHAIRMAN HANCOCK: And Commissioner Berry has gone moot on the subject. Okay. Mr. Smykowski, that brings us to the end of this, and can you give us the numbers as final as you have them at this point? MR. HUNTER: May I interrupt just for a moment, Mr. Hancock, just for the public record? For purposes of the public record, I understand that I'm not being permitted to discuss this as a constitutional officer, that I've been asked to speak as a public citizen, a private citizen, and I'm asking now if there's an opportunity to speak as sheriff to correct the public record from a few comments that I heard, just so that the viewing public will understand -- CHAIRMAN HANCOCK: If I misspoke, Sheriff, and you want to offer information -- MR. HUNTER: Yes. CHAIRMAN HANCOCK: -- to indicate that, that's fine. Just go ahead. MR. HUNTER: If I may, just -- just so that a couple of key comments can be cleared up. I know we have some viewers and very concerned taxpayers and public who are as much concerned as we are in law enforcement. We don't tie our budget to the population, and fortunately, the cabinet and governor know that. They're not looking at the number of people who we're serving. They're looking at the amount of service that is being provided and whether we need to remain proactive or not, and that is a question in law enforcement that's being debated, whether we're going to remain proactive or whether we're going to be reactive. You heard that today. We are being asked to do more with less. We're being asked to cut back on our proactive posture that we've maintained over two decades that I've been with the agency and to be more reactive because the board does not choose to tax the public to the extent that the public demands service back from its public agencies. I heard a statement made that the Board of County Commissioners is maintaining a lower per capita cost of service delivery than the Sheriff's Office, and I have two issues that I'd want the viewing public to remember when they take Mr. -- Mr. Hancock's comments into consideration. One is that the Board of County Commissioners is an eight hour service, not a 24 hour, 365 day service, which costs more to the public, just as a fire service would and EHS does, to a certain extent, and you have to pay for that. That's a fact of life. The other part of that is, I hope that your number included the complete budget and not just the county manager's budget, because we've had that discussion in years past when we talked about the difference between the county manager separating out his 12 or 15 employees from road and bridge and animal control and everybody else -- CHAIRMAN HANCOCK: Yes, it included all of those. MR. HUNTER: -- I hope we're using the whole budget and we take a look at that, but keep in mind that we are -- COHMISSIONER CONSTANTINE: Sheriff, how many calls of service did we have last year? MR. HUNTER: -- 24 hours a day, 365 days a year and not just a -- not just an eight hour operation. COHMISSIONER CONSTANTINE: How many calls for service did we have last year or in the last four years? MR. HUNTER: Approximately 270,000 -- COHMISSIONER CONSTANTINE: Thank you. MR. HUNTER: Off the top of my head. CHAIRMAN HANCOCK: And that -- that wasn't a tit for tat. That wasn't a, we're doing it better than you. That was gauging the relative per capita increase in providing services to make sure that we were not cannibalizing your budget over eight years in order to pad ours. That was my check, because many of your agency folks said, doing more with less. Well, it's -- MR. HUNTER: We are. CHAIRMAN HANCOCK: -- it's one big pocketbook out there to the taxpayer, so if you're doing more with less, maybe someone else is doing less with more and I wanted to make sure it wasn't us. MR. HUNTER: Well, and you see the school board building schools at record pace. You see other agencies in government trying to maintain pace with the level of service demanded by the public in Collier County. Let me add a couple of more points that weren't touched on today, please. Since 1991, we had a 24 person boat station, I mentioned this to you before, and I want to couch this in the issue of, we have been provided federal and state law enforcement assistance before, but due to the reallocation of assets locally from that 24 person boat station U.S. customs maintained, we now have three people serving this coastal area that's known for drug trafficking and the importation of drugs and those persons that had previously been here are now redeployed along the Texas/Mexican border, we're told, and perhaps that's an effective use of manpower, staffing, but it means that local law enforcement has to take up that slack, and Mr. Hancock, what you're proposing, what you continue to suggest in these last two discussions we've had is that everything has remained static for the last 30 years and these budget adjustments that we've been requesting are out of control and unreasonable. Things change every year, and what I tried to -- what I tried to show you and demonstrate for you -- CHAIRMAN HANCOCK: Sheriff, don't speak for me. Do not speak for me and misstate it. MR. HUNTER: Well, that's what I'm hearing. I'm hearing that -- CHAIRMAN HANCOCK: That may be what you're interpreting, sir, but that's not what you heard. MR. HUNTER: Everything is not remaining static. Everything is changing, and what I represent to you today is going to be different than what I'm able to say to you a year from now because things have changed and my forecasts, as good as they are, and as good as the people that work in this agency can give you, the forecasts are going to be different next year. That's not to suggest that we're lying to you or misrepresenting facts, as I read in the paper. We are doing the best we can to give you the information necessary to make an informed and intelligent decision, and I don't believe that the number that you've arrived at, for the record, is a good decision. That's my opinion. COHMISSIONER CONSTANTINE: Well, what you read in the newspaper was exactly what happened, and that is that talking about radios, last week we were told two different stories, today we were told yet a third story on why we needed the money for those radios. I'm not saying anyone was lying. I'm saying it was -- something there isn't right. One of those -- two of those stories aren't correct, but we're told three different stories on why you need $300,000. How are we supposed to know which one to believe, and that happens more often than not. It's interesting when you talk about trying to do more for less. I asked you about the calls for service and -- and yeah, if you -- if you compared dollar for dollar, we're not just talking about a dollar increase. Of course we're eight hours a day and I would expect law enforcement to have a higher dollar value than going to the park, but I think the point that was being made by Commissioner Hancock was the percentage increase since 1989, which seemed to be the magical number with a number of your employees, was dramatically -- it was about twice as high of a percentage increase since 1989 in the cost for that service, and I'll give you an example. In 1989, the calls for service, according to your budget figures from 1989, cost about $111 per call for service, and today they cost, for your proposed budget, about $211 per call for service, and so when you talk about doing more for less, I don't know what the less is there. That is a lot more. MR. HUNTER: Well, once again, you're looking at a bottom line number without taking into consideration any of the changes that have affected Collier County in the last, now eight years. If you -- if you want to discuss some of those things like double bunking the jail, when you add inmates to the jail, you add expense to the jail in food, medical and services to those inmates. We have had that since 1989, dramatically. We have added a Drill Academy to the Collier County Sheriff's Office budget of 30 beds with a complement of member -- members to maintain that facility. You cannot mislead the public, which is what this is, by saying let's compare 1989 to 1997. I think you insult the public when you do that. The public's smart enough to know that a lot of things have changed in Collier County since 1989. I wish we could go back to 1989. I wish we were in 1989. COHMISSIONER CONSTANTINE: Sheriff, it wasn't us who started the 1989 reference. It was about six different members of your Sheriff's Department that kept referencing 1989. That's why I went back -- MR. HUNTER: They wanted you to be aware. COHMISSIONER CONSTANTINE: That's why I went back and got that budget. That's why I picked that -- that out, was in response to your comments. I'm not trying to do a disservice to the public. I'm responding to the information that was brought forward by you and your employees. MR. HUNTER: They also complimented the board on being supportive in trying to provide the resources necessary to do the work of law enforcement, corrections and bailiff services. COHMISSIONER CONSTANTINE: Well, three times as much money, I would think they would be. MR. HUNTER: What they are -- what we are also trying to suggest to you is that things have changed fairly dramatically and that we don't have, at 6.7 percent, enough money to do what we need to do for next year, as we have proposed in the budget. Read the budget, or at least give it an opportunity to be read, and give some public comment back, and that's what I'm asking for. CHAIRMAN HANCOCK: Unfortunately, Sheriff, this is the second time, and it's only the second budget I've dealt with on law enforcement, and every -- at least the last two years, I've been in a no-win situation because if I -- if I agree to less than you're requesting, I am labeled as sacrificing law enforcement, and I was so labeled by members of your staff today by not increasing your budget request from what we already looked at, so I'm already sacrificing law enforcement, according to your staff members. I think I was accused by one of taking your budget lightly, so I'm in a no-win situation there. On the other side are the taxpayers, who I understand at your town hall meeting, how positive the return can be, and if you're interested in things, you tend to show up for meetings involving those. There's a lot of people who don't have time to be at town hall meetings and those people do have time to pick up a phone and call me, whether it be at home or in this office, so I hear from a broad spectrum of people and I encourage that to continue, but the bottom line is, there comes a time when increases are appropriate and there comes a time when they're not, and to date, I don't know of any year in which your budget has not increased, and it should, law -- I -- I am fine -- outpace every other constitutional officer because the money couldn't be better spent than on law enforcement, but there are annual caps to that, and last year we were able to see past that and see past the immediate effect on the tax bill, and we bit the bullet, and even though you said you would take the heat, you didn't get it. We got it. I got it individually, and I didn't mind because I felt it was appropriate. That still wasn't what you had requested. You had requested more than we allocated last year also, so this year, yes, we are still approving an increase. It's not as much as you requested and it's not as much as what I'll call the fall-back position of 7.8 that you and many of your staff members presented today, but I still think on average when you look at the rest of the agencies throughout the State of Florida, a nearly 7 percent increase is paying attention to law enforcement needs, just not to the degree that you've indicated to us is appropriate, and that's where the difference lies, and I don't wish to make it personal. I never have. Unfortunately, it gets portrayed that way, but this year, I've -- I feel like I've had to make that decision and -- and I'm sorry if we disagree on it, but I don't think we're going to change that in the next 20 minutes. COMMISSIONER CONSTANTINE: Mr. Chairman, if the -- if the sheriff has other factual corrections he wants to make maybe we can do that. Otherwise, can we move on? CHAIRMAN HANCOCK: Seeing none, with no speakers. Mr. Smykowski, where are we, sir? MR. SMYKOWSKI: Yes, sir. To reach the millage neutral state and eliminate the somewhat uncertainty in our own government services fee, total cuts required were 2,955,000. You, through your efforts, have reduced the budget 3,252,700, and at this point, the millage rate would be 3.7088, versus the 3.7241. COMMISSIONER BERRY: Excuse me, would you say that again, Mike, please? MR. SMYKOWSKI: Sure, 3.7088. It's a reduction of $1.53 per 100,000 of value, versus where we started out, which was about eight dollars above, 8.19 above. CHAIRMAN HANCOCK: So it's been about a -- per $100,000, about a nine dollar swing? MR. SMYKOWSKI: Yes. CHAIRMAN HANCOCK: Okay. We're able to reduce the millage rate, which as I remember correctly, is something we had hoped to do last year when we discussed the budget. Okay. Any further questions? MR. SMYKOWSKI: I'd like to thank my staff individually. I'd like to recognize them. They put in a lot of effort to bring about the improvements that you saw this year, and I'm thankful for that and I think it helped facilitate this process, Phil Tindall, Shelia Leith, Tom Kukulski, Gary Vincent, Jean Gansel and Robin Bialkoski, who's kind of the operator behind the scenes who provides the bulk of the clerical support in bringing these efforts forward today. I'd also like to thank everyone in the management agency, as well as the constitutional officers. This is -- this is a long and oftentimes difficult process and to everyone's credit, we've worked together and I appreciate the cooperation from the other agencies in working with them, and we'll do our best to continue on that footing. In addition, I realize the hour is late, at one point we had talked about suggestions for budget improvements for next year's process, and if you don't want to do that today, I -- I can understand that. Frankly, I'm not sure I want to today. CHAIRMAN HANCOCK: One thing that -- MR. SMYKOWSKI: But if you have comments that would be fresh, if you'd just write them down and we can discuss them, if you don't want to do it today, after a board meeting or just send it in memo format. CHAIRMAN HANCOCK: I think we will, and I think some members of GNCA are probably going to be making some evaluations, so it might be more appropriate to maybe schedule that for a future Tuesday board meeting and just have a little -- a little discussion on that. I think we, as a board, owe you and your staff a debt of gratitude for being Johnny on the spot after so much preparation with the myriad of changes that we throw at you, and it makes our job a lot easier, and we would be remiss in not thanking you and your staff for an extremely well-done job. I've heard nothing but positives from constitutional officers on your willingness to work with them and assist them, so a credit to you, a credit to the county administrator. Thank you very much. We do appreciate it. COMMISSIONER NORRIS: I'd like to echo that and say that I've been here now -- this is my fifth budget we've worked through and -- and this is, by far, the best presentation we've had. It's -- it's -- even Commissioner Mac'Kie was saying that she understood -- COMMISSIONER MAC'KIE: Even I got it this year, Mike. CHAIRMAN HANCOCK: Okay. Folks, thank you, and we are adjourned. There being no further business for the good of the County· the meeting was adjourned by order of the Chair at 4:46 p.m. BOARD OF COUNTY COMMISSIONERS BOARD OF ZONING APPEALS/EX OFFICIO GOVERNING BOARD(S) OF SPECIAL DISTRICTS UNDER ITS CONTROL TIMOTHY L. HANCOCK, CHAIRMAN ATTEST: DWIGHT E. BROCK, CLERK These minutes approved by the Board on presented or as corrected · as TRANSCRIPT PREPARED ON BEHALF OF GREGORY COURT REPORTING SERVICE· INC. BY: Dawn Breehne Heather L. Casassa