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BCC Minutes 09/10/2009 B (Budget) September 10, 2009 TRi\NSCRIPT OF THE MEETING OF THE BOARD OF COUNTY COMMISSIONERS Naples, Florida, September 10, 2009 LET IT BE REMEMBERED, that the Board of County Commissioners, in and for the County of Collier, and also acting as the Board of Zoning Appeals and as the governing board( s) of such special district as has been created according to law and having conducted business herein, met on this date at 5:05 p.m., in BUDGET SESSION in Building "F" of the Government Complex, East Naples, Florida, with the following members present: CHAIRMAN: Donna Fiala Fred Coyle Jim Coletta Frank Halas Tom Henning ALSO PRESENT: Jim Mudd, County Manager Leo Ochs, Deputy County Manager Jeffrey A. Klatzkow, County Attorney Sue Filson, BCC Executive Manager Page 1 COLLIER COUNTY BOARD OF COUNTY COMMISSIONERS PELICAN BAY BUDGET AGENDA Thursday, September 10, 2009 5:05 p.m. Donna Fiala, Chairman, District 1 Fred W. Coyle, Vice-Chairman District 4 Jim Coletta, Commissioner, District 5 Frank Halas, Commissioner, District 2 Tom Henning, Commisioner, District 3 NOTICE: ALL PERSONS WISHING TO SPEAK ON ANY AGENDA ITEM MUST REGISTER PRIOR TO SPEAKING. ANY PERSON WHO DECIDES TO APPEAL A DECISION OF THIS BOARD WILL NEED A RECORD OF THE PROCEEDINGS PERTAINING HERETO, AND THEREFORE MAY NEED TO ENSURE THAT A VERBATIM RECORD OF THE PROCEEDINGS IS MADE, WHICH RECORD INCLUDES TESTIMONY AND EVIDENCE UPON WHICH THE APPEAL IS TO BE BASED. ALL REGISTERED PUBLIC SPEAKERS WILL BE LIMITED TO FIVE (5) MINUTES UNLESS PERMISSION FOR ADDITIONAL TIME IS GRANTED BY THE CHAIRMAN. 1. PLEDGE OF ALLEGIANCE 2. ADVERTISED PUBLIC HEARING - Pelican Bay Services Division Budget Hearing A. Executive Summary - Fiscal Year 20 1 0 Pelican Bay Services Division Budget B. Public Comment Page 1 September 10, 2009 C. Resolution Approving the Special Assessment Roll and Levying the Special Assessment against the Benefited Properties within the Pelican Bay Municipal Service Taxing and Benefit Unit 3. ADJOURN Page 2 September 10, 2009 COLLIER COUNTY BOARD OF COUNTY COMMISSIONERS BUDGET AGENDA Thursday, September 10, 2009 5:05 p.m. Donna Fiala, Chairman, District 1 Fred W. Coyle, Vice-Chairman District 4 Jim Coletta, Commissioner, District 5 Frank Halas, Commissioner, District 2 Tom Henning, Commisioner, District 3 NOTICE: ALL PERSONS WISHING TO SPEAK ON ANY AGENDA ITEM MUST REGISTER PRIOR TO SPEAKING. ANY PERSON WHO DECIDES TO APPEAL A DECISION OF THIS BOARD WILL NEED A RECORD OF THE PROCEDINGS PERTAINING THERETO, AND THEREFORE MAY NEED TO ENSURE THAT A VERBATIM RECORD OF THE PROCEEDINGS IS MADE, WHICH RECORD INCLUDES TESTIMONY AND EVIDENCE UPON WHICH THE APPEAL IS TO BE BASED. ALL REGISTERED PUBLIC SPEAKERS WILL BE LIMITED TO FIVE (5) MINUTES UNLESS PERMISSION FOR ADDITIONAL TIME IS GRANTED BY THE CHAIRMAN. 1. ADVERTISED PUBLIC HEARING - BCC - Fiscal Year 2010 Tentative Budget A. Discussion of Tentative Millage Rates and Increases Over the Rolled Back Millage Rates B. Review and Discussion of Changes to the Tentative Budget C. Public Comments and Questions Page 1 September 10, 2009 D. Resolution to Adopt the Tentative Millage Rates E. Resolution to Adopt the Amended Tentative Budget F. Announcement of Tentative Millage Rates and Percentage Changes in Property Tax Rates G. Announcement of Final Public Hearing as Follows: Thursday, September 24, 2009 5:05 p.m. Collier County Government Center W. Harmon Turner Building (F) Third Floor, Boardroom Naples, Florida 2. ADJOURN Page 2 September 10, 2009 September 10, 2009 MR. MUDD: Ladies and gentlemen, if you'll please take your seat. Madam Chairman, Commissioners, you have a hot mike. CHAIRMAN FIALA: Good evening, everyone. Thank you for joining us this evening. And as we begin I'd like you-all to stand, please. Anybody who has a hat on, please take your hat off. Put your hand over your heart and say the Pledge of Allegiance with me. (The Pledge of Allegiance was recited in unison.) CHAIRMAN FIALA: Thank you. And now, Mr. Mudd. Item #2C (Of the Pelican Bay Budget Agenda) RESOLUTION 2009-197: APPROVING THE SPECIAL ASSESSMENT ROLL AND LEVYING THE SPECIAL ASSESSMENT AGAINST BENEFITED PROPERTIES WITHIN THE PELICAN BAY MUNICIPAL SERVICE TAXING AND BENEFIT UNIT - ADOPTED MR. MUDD: Madam Chairman, on the agenda, or on the overhead that you see on the TV monitors is basically the first item of our agenda. Several years ago the Board of County Commissioners made a decision to do the Pelican Bay Services Division budget and the resolution approving its special assessments roll and levying its special assessments against the benefited properties, to do it as part of the Board of County Commissioners' first budget hearing. Prior to that, the Board of County Commissioners did it in the Pelican Bay area, and it turned out to be more beneficial because of a lack of participation to do it in this particular forum. So the first part of our agenda, the public hearing today, will be about the Pelican Bay Services Division budget hearing, and to present that particular item is their executive director of the Pelican Page 2 September 10,2009 Bay Services Division, Mr. Neil Dorrill. MR. DORRILL: Commissioners, good afternoon. For the -- just the sake of brevity, I can tell you that 30 years ago this month I made my first presentation in this room, and halfway through what I thought was a very detailed and important presentation, the chairman of the commission slammed the gavel into the dais there. And he said, Mr. Dorrill, he said, son, this is all fun and good, but you have talked entirely too much, and we'll be in recess until 1 :30; and he got up and walked out of the room. And so ever since then, I have tried to be very brief. The Pelican Bay Services Division budget this evening has a very modest, and by very modest, I mean a 16-cent increase over the prior year's budget. There are four main funds or cost centers, if you will, that run the gamut from community beautification, which includes our landscape, streetscape, and median beautification, our entranceways, street- lighting, water management, and then a capital fund in this case, which is the extension of your Clam Bay restoration fund. The increase in this year's budget has been very carefully scrutinized by an executive committee that was appointed by your advisory board. Those gentlemen have a lot of horsepower and experience. This has been reviewed and work-shopped and adopted at the advisory board level and submitted to you. The increase over the prior year represents four one hundredths of 1 percent. I can tell you they took a very conservative approach to this year's budget with one change. The law was changed in July of 2007 because of the fact that we're using special assessments in the unified method of imposing that special assessment. The law said that if you changed the assessment, you are obligated to contact each owner of record by first class mail and advise them of that fact, that you were increasing or changing the assessment and inviting them to the public hearing this evening. Page 3 September 10, 2009 As a result of that, we did have some calls this year and, frankly, I think it was a very good thing for us because by and large many people do not understand the Pelican Bay Services Division, the fact that we're using the uniform method of special assessments there. Most people don't realize that over -- of the total community, we have about 7,000 assessable units. Over 1,000 of them are for nonresidential purposes, and it runs the gamut from the Philharmonic to the Club at Pelican Bay to the Catholic Church, the Waterside Shops, both hotels, they're all paying an equivalent amount based on the number of units that they could have built had that particular parcel and its impacts to the community been part of the original methodology that was done. So it has given us the opportunity to explain how it is that the community is financed in the fact that everyone in the community, not only the commercial areas, the hotels, the institutional uses. In fact, even your park site gets a special assessment based on the impacts for that parcel that was part of the original methodology at the time that the community was created in the late 1970s. With that, I'd be happy to answer any questions. I'm quite sure that you may have some people from the public who would also like the opportunity to speak at the appropriate time. CHAIRM~A.N FIALA: Commissioner Coletta? COMMISSIONER COLETTA: No, that's Commissioner Henning. CHAIRM.AN FIALA: No, that -- oh, yeah. Okay. COMMISSIONER COLETTA: I know we look a lot alike. CHAIRM.AN FIALA: I'm sorry. It was his button on, excuse me. Commissioner Henning? COMMISSIONER HENNING: Thank you. Same question for the last two years. I notice that we have a $1.5 million carry-forward. Why? Page 4 September 10, 2009 MR. DORRILL: Two particular reasons. This -- and when I say the board, I mean your advisory board. They have a desire and they have transferred some money in the prior year to make up for operating needs. They are at the very beginning of a project and a joint venture that will involve the master homeowners association at Pelican Bay to develop a long-range redevelopment master plan for the community, and they would like to begin to assemble some funds that could be applied towards future capital projects. I can tell you that there is some interest in reevaluating the remaining life of the streetlights that are there, the landscaping that is in the medians and the streetscapes, and perhaps the front entry statements in the community identification signage. Some of that stuff is now 20 years old, and they are intending to hang onto their carry-forward to use for future capital projects on a pay-as-you-go basis as opposed to trying to incur any debt. COMMISSIONER HENNING: Is the capital improvements they want to incur would be -- this would per be foundation? MR. DORRILL: No, sir. These would be for those public assets that are owned by the Board of County Commissioners. The foundation has a separate list of amenities. There are two restaurants, their community center, there's some discussion about public art. The reason for the master plan is to do it jointly for the community at large but to split the fees and the costs between the assets and who owns the assets, whether they're public or they're part of the not- for-profit homeowners association. COMMISSIONER HENNING: The master plan's being developed by the foundation and the Pelican Bay Services District? MR. DORRILL: We're exploring that. COMMISSIONER HENNING: Okay. MR. DORRILL: We have talked to your purchasing director to see if we can declare the master homeowners association as a Page 5 September 10, 2009 sole-source provider of comprehensive master planning. I think within 30 days we will present a proposed interlocal agreement and a contractual agreement first to your advisory board, and my hope is that you would see it, perhaps, before the first -- or during the month of November. COMMISSIONER HENNING: And then next year we'll see a change in the carry-forwards? MR. DORRILL: I think that you will see a transfer into the capital fund. And I don't want to speak for your advisory board in anticipation of redoing some of the community landscaping and the entrance signs, potentially the streetlights. All that remains to be determined as part of the master plan. COMMISSIONER HENNING: Thank you. CHAIRMAN FIALA: Commissioner Coyle? COMMISSIONER COYLE: Mr. Dorrill, could you take a few minutes to explain the negative 5 percent revenue reserve to us? MR. DORRILL: I'm not that familiar with this budget. I would tell you that it's either one of two things. It's either a 5 percent revenue reserve that is allowed under the statute in anticipation of people taking advantage of the discounts that are available. This assessment will appear on, I presume, the ad valorem tax bill. And so, for example, people that choose to pay their bill in November, they'll get the full 4 percent discount. So a revenue reserve typically is budgeted in anticipation of one of two things, either foreclosures or tax certificates that remain unsold at the auction, or people who take advantage of the early discounts. COMMISSIONER COYLE: But when we're voting -- when we're establishing a negative 5 percent revenue reserve, it's a bit confusing. Does that mean you have a shortage of reserves, that there are reserves somewhere but you have 5 percent less than you want to have, or do you owe somebody 5 percent? MR. ISACKSON: Commissioner, it's simply a way to hedge Page 6 September 10, 2009 against the fact that we may not collect our operating revenue, and it's a way to reduce our budgetary expenses, so that if we don't receive those revenues in, for example, property taxes or assessment revenue or things of that nature, then at least we have a hedge against the fact that we may have a percent that's uncollectible. That's essentially why we do a negative reserve. COMMISSIONER COYLE: Why don't we change the terminology and just call it a fudge factor. Is that really what it is? MR. DORRILL: I would be inclines to say it's not really a fudge factor, but it is -.- we are obligated by law to budget revenues at 100 percent, but -- and many people in Pelican Bay probably will choose to pay their taxes early and get whatever the applicable discount is, and it's a way of budgeting an expenditure in anticipation that a certain percentage of the people will take advantage of the discount in addition to people who may not be in a position to pay their taxes, and their taxes either go to sale at the auction or they remain un-purchased, which is unlikely in a community like Pelican Bay. COMMISSIONER COYLE: So you don't budget your anticipated reserves taking into consideration those factors. You budget them at 100 percent, and then you create a negative reserve to account for the fact you're not likely to get 100 percent; is that essentially it? MR. DORRILL: Yes, sir. COMMISSIONER COYLE: Typical government accounting, isn't it? MR. DORRILL: Well, your auditor may be able to explain it a little more thorough. But in essence, yes, sir, that is what is taking place. COMMISSIONER COYLE: Okay. Thank you very much. CHAIRMAN FIALA: Okay. Commissioner Coletta? COMMISSIONER COLETTA: Yes. Mr. Dorrill, the public process you went through to get to this point with your budget, would Page 7 September 10, 2009 you explain how involved that was and how much feedback you had from the general public? MR. DORRILL: Well, again, actually the county has just hired me to be the new district manager or district administrator, but you actually have an executive committee to the advisory board that is their budget and finance committee, and those two gentlemen, one of whom is here this evening, Jerry Moffatt, worked with the district staff and the field manager who's been there many years to prepare the tentative budget that was submitted and coordinated in accordance with the manager's budget policy and your direction. That has been work -shopped on at least one occasion and was formally presented at my first meeting. And although that was in July, I'm going to say at that meeting we probably had 15 members of the public. People are always concerned, but you know, why do you do it this time of year and that type of thing. The same types of issues that this board hears. MR. MOFFET: Three public meetings. MR. DORRILL: A total of three public meetings, according to Mr. Moffatt, tw'o of which I was actually in attendance at. We had no one speak in opposition to the budget during the time, the most -- two recent ones. COMMISSIONER COLETTA: Thank you. CHAIRMAN FIALA: And Commissioner Halas? COMMISSIONER HALAS: Yes. Neil, in the public -- yeah -- Pelican Bay Services and your water management in regards to -- you had a decrease of 8.4 percent, I think this came from the water management. ]~ow did that occur? MR. DORRILL: My understanding is that in the prior year there was a special proj ect to eradicate cattails that had built up along the water management berm between the berm and the adjacent mangrove conservation area. And that project was very successful and is not anticipated -- the extent to which there was some mechanical and some spray removal of the cattails. That is not necessary again foro Page 8 September 10,2009 this year. That's the primary reason. COMMISSIONER HALAS: Thank you. CHAIRMAN FIALA: Okay. We have one speaker? MS. FILSON: I have a total of nine speakers, and only one has indicated Pelican Bay, and I'm not sure if maybe some of them didn't write Pelican Bay on the speaker (sic). I'm not sure. The one speaker I have for Pelican Bay is Thomas Brown. Mr. Brown? MR. BROWN: I'm Mr. Brown. CHAIRMAN FIALA: Would you come up to the podium, please. MR. BROWN: I will, thank you. MS. FILSON: Is there anyone else here that would like to speak on Pelican Bay? (No response.) CHAIRMAN FIALA: Okay. MR. BRO'WN: I don't blame them. MS. FILSON: There you go. CHAIRMAN FIALA: And your name, sir, for the record. MR. BROWN: For the record, my name's Thomas Brown. Thank you. I sent each of you four letters in the last couple weeks. What triggered that is, I saw an article in the paper that said if you establish a new MSTBU, it would be an ad valorem tax. That same week I got two letters from you, public notice, one was a non-ad valorem tax for trash collection. And I said, that's fine with me. I'm not opposed to non-ad valorem taxes one bit, and you have that in writing. Second was the Pelican Bay MSTBU tax, which is water management and cut the grass on the berm and put in new irrigation and all that. That's a regressive tax. The higher the property, the lower the rate because, as you got in your first letter, the people that live in big multi, multi-million-dollar homes, the MSTBU tax is less than 1 percent of their real estate tax, Page 9 September 10, 2009 and on the low end of Pelican Bay with the lesser properties, the MSTBU is 25 to 30 percent of their real estate tax. That's a huge vanance. And ad valorem tax would even that out. And I've asked for you to make the Pelican Bay Service Division tax an ad valorem tax. Actually, 5 percent of it is where some electric lights have always been ad valorem, the streetlights, which -- boy, I don't know why they're looking to replace them. We replaced them about eight years ago. Got rid of the core ten, the steel that was rusting out, put in concrete, brand new lights on every one. I don't know why they want to replace them now. On the commercial side, Waterside Shops spent millions, millions building Nordstrom's, all the land work they had to do. And under this regressive way, they're not going to -- you're not going to increase their tax one bit. In fact, it's gone down while they increased all that property. So on the commercial side, the people at the low end of Pelican Bay are paying 25 to 30 percent of the real estate tax, and the commercial people are getting a free ride. Their taxes have not gone up, and they've spent millions of dollars improving their properties. Can it be a non-ad valorem tax? Absolutely. Five percent already is and for about four or five years, we had a sheriff 24 hours a day, and we paid extra for that in Pelican Bay. That was an ad valorem tax. It was established in the late '90s. So to say we can't have ad valorerll tax is incorrect. My time is up, huh? MS. FILSON: Yep. MR. BROWN: Too bad. I had another couple of points. CHAIRMAN FIALA: Thank you very much, Mr. Brown. MR. DORRILL: Just to answer the gentleman's question. It's in two parts. Because of the flat-rate assessment, as I mentioned, every parcel and every tract in the community has previously been given an Page 10 September 10,2009 equivalent residential number of units. And for example, the Waterside Shops, since inception, which would have been back in the 1970s, has been assigned 151 residential units, and their assessment next year will be approximately $56,000. The same is true, again, for example, the Marketplace, which is the other big shopping center, their number of units is 115, and thus their total assessment next year will be $43,000. And, in fact, your county park has been assessed 15 equivalent residential units, and you are going to pay $5,515 next year. The quick answer on the street -lighting district is, many communities in the '70s and the 80s in this county, before we had subdivision regulations or a Land Development Code, did not require the developers to install streetlights. County Commission stepped in in response to that, and at one time we had 50 different street-lighting districts in this county that were all ad valorem based. And so by policy that goes back into probably the early 1980s, the Board of County Commissioners has collected street-lighting district taxes on an ad valorem method. Since that time, you, as part of your Land Development Code, now require the developer to install fire hydrants, sidewalks, curbs and gutters, and streetlights as part of what his responsibility is. CHAIRMAN FIALA: Okay. MR. DORRILL: Thank you again. COMMISSIONER HENNING: I think the question is, how can we transfer them to -- an MSTBU to an MSTU, the establishment of the -- MR. ISAC~KSON: You already have the ability to go back and forth between the assessment and the property tax. It's really up to the, I believe, the district to determine how they want to split that up. Remember, last year was the first year in a few years that they had established their property tax for the lighting. They had one before, they didn't for a while, then they reactivated that levy last year. Page 11 September 10, 2009 So I mean, they have the ability to go both ways, there's no question about that. It's just really up to, I think, the district, and then ultimately what they might recommend to this board. COMMISSIONER HENNING: There's no statutory provisions or regulations to take it from a benefit unit to a -- MR. ISACKSON: No. They have the ability to -- in the charter that was set up, it's an MSTBU. COMMISSIONER HENNING: Right. MR. ISACKSON: Municipal service taxes and benefit unit. So they have the prerogative to go establish either or both types of financing. COMMISSIONER HENNING: You know, I guess I'd like to hear from the -- aside from this budget process, is to hear from the advisory boards, the benefits of how they tax. CHAIRMAN FIALA: Did you want them to come back and do that? COMMISSIONER HENNING: Well, you know, out of respect for the commissioner of the districts, I would support his direction to do so. CHAIRMAN FIALA: Okay. COMMISSIONER HALAS: My thought is, if this was aired at three public meetings and there didn't seem to be a problem at that point in time -- and I believe that the -- most of the residents in Pelican Bay understand what the MSTBU is, and -- so unless, Neil, you've got additional information on this, if you -- if the board so desires to go back and look at this for next year, then maybe this is something that can be brought forth during the year so that next tax year, that we can address that particular issue before the TRIM notices go out. MR. DORRILL: So noted, and I'll convey your request to your advisory board. I will tell you that because I'm in the business of managing districts and units like this, Pelican Bay has, I believe, the lowest operating and maintenance assessment in Southwest Florida. Page 12 September 10,2009 Yours is $370 next year. By comparison, the one across the street at Pelican Marsh is 1,100. The other big community in town, Lely Resort, next year is in the $700 range. And I have one small district on Marco Island; believe it or not, their assessments are $6,000, but there're only 131 homes to spread that across. So the flat-rate assessment seems to be popular, but your board is looking for some meaningful workshop proj ects during the first quarter of the fiscal year, and I'll be happy to convey your request to them. COMMISSIONER HALAS: Sure. Why don't we do that. CHAIRMAN FIALA: Thank you. Thank you very much. Okay, Commissioners? MR. MUDD: Ma'am, before you -- before you move on that particular issue, we have to have a board motion to approve the special assessment roll and levying the special assessment against the benefited properties within the Pelican Bay Municipal Service taxes and benefit unit. COMMISSIONER HALAS: So moved. COMMISSIONER COLETTA: Second. CHAIRM~t\N FIALA: Okay. I have a motion on the floor and a second. Any further conversation on this? (N 0 response.) CHAIRM.AN FIALA: All those in favor, signify by saying aye. COMMISSIONER COYLE: Aye. COMMISSIONER HALAS: Aye. CHAIRM.AN FIALA: Aye. COMMISSIONER HENNING: Aye. COMMISSIONER COLETTA: Aye. CHAIRMAN FIALA: Opposed, like sign? (No response.) CHAIRMAN FIALA: Thank you. That's a 5-0. Page 13 September 10,2009 MR. MUDD: Commissioner, that brings us to our second part of our public hearing tonight. That part of the agenda is on the overhead, and I'll try to get it a little closer. The first part is a discussion of the tentative millage rates and increases over the rollback rate, the rollback millage rates. And Mr. Mark Isackson will take over on this particular part of the agenda. MR. ISACKSON: Thank you, Mr. Mudd. Good evening, Commissioners, and members of the audience. Welcome to the first of two public hearings on the Collier County Government Fiscal Year 2010 Budget. The 2010 fiscal year begins October 1,2009, and runs through September 30 of2010. Pursuant to state statute, this hearing was advertised as part of the TRIM notice mailed to all Collier County property owners. The final hearing is two weeks from tonight, September 24, 2009. This hearing will be noticed as part of the statutory advertisement requirements contained in the truth and millage statutes. Final tax rates and budget decisions will be made at this final hearing in two weeks. Agendas and speaker slips are available in the hallway. And for members of the audience, please remember, if you wish to address the Board of County Commissioners regarding your budget, or the budget, please see Ms. Sue Filson and make sure a speaker slip is filled out, and she'll be happy to include you as part of the -- as part of the discussion. Following some introductory remarks regarding the tax rates and changes to the tentative budget initially released in mid July, there will be an opportunity, Item 1 C on the agenda, for public comment. Speakers will be called by name. This is a public service announcement. Individual property owner TRIM notices contain information pertaining to market value and the point of contact of the Property Appraiser's Office through which questions could be addressed. In addition there is a notation indicating Page 14 September 10, 2009 that a petition for adjustment of market value is available through the Property Appraiser's Office, and that this petition must be filed with the property appraiser by the close of business on Friday, September 11, 2009. Item #lA DISCUSSION ()F FY2009-10 MILLAGE RATES AND INCREASES OVER THE ROLLED BACK RATES - DISCUSSED The first item on the agenda under 1A is a discussion of the tentative millage rates and increases over the rolled back millage rate. State law requires that the first substantive issues to be discussed include a percentage increase in millage over the rolled back rate needed to fund the budget and, two, the reasons ad valorem tax revenues above the rolled back rate as calculated under the state DR20 forms are being increased. Rolled back rate is defined as a tax rate necessary to raise a single amount of ad valorem tax revenue raised in the previous fiscal year. Calculation of the rolled back does not account for new construction. In our particular case for 2010 as it stands presently, neither criterion applies to our budget based upon the TRIM statutory definition of an ad valorem tax increase above the rolled back rate. Referring to Exhibit lA, it's on your visualizer, each individual Collier County taxing authority has currently set a millage rate which is either at rolled back or below the rolled back rate. The cumulative aggregate rolled back rate for all Collier County taxing authorities, exclusive of debt service, totals 4.4287 per $1,000 of taxable value, and the proposed aggregate tax rate for all Collier County taxing authorities' totals 4.2870 per $1,000 of taxable value, and this represents a 3.2 percent decrease. Page 15 September 10,2009 Item #lB DISCUSSION OF FURTHER AMENDMENTS TO THE TENTATIVE BUDGET - DISCUSSED Item 1 B on your agenda is a review and discussion of changes to the tentative budget. For tonight's hearing, changes to the tentative budget submitted to the Board of County Commissioners on July 15, 2009, and subsequently adopted on July 28, 2009, as well as BCC actions at the regular July 28, 2009, meeting, with budgetary impacts, are found within Exhibit B on pages 1 through 15. The first section of that identified pages 1 through 15 is an explanation of the proposed adjustments that are submitted as part of the adjustments recommended this evening. The most noteworthy is the receipt of the tax collector's budget estimated to the state Department of Revenue. This budget submittal occurs customarily at this time. For 2010 the tax collector's budget totals $19,338,100 and is offset by service charges and interest income. This budget is 10.5 percent below last year's September budget submittal. Budgeted turn-back for distribution at year ending FY10 is estimated at $7.3 million. A second noteworthy change occurs in gas tax Fund 313 where there is a reapportionment of project grant dollars and related expenses from 2009 to 2010, grant revenue connected with two projects, Oil Well Road and U.s. 41 between 951 and County Road 92, in the amount of$7.8 million originally programmed to be received in 2009 will actually occur in 2010, and this change is -- that's established in your resolution this evening, sets up the budget in 2010. There were slight budget adjustments to the general fund, primarily on the revenue side, department revenues and beginning fund balance in FY2010, are identified and reflected in the FY10 resolution, which reflects a reduction of $303,900. Page 16 September 10,2009 Commissioners, I will also note that forecasted year ending 2009 impact fee revenue has been lowered within the various impact fee trust funds, which has led to a rebalancing of the funds road capital expenses among all road impact funds in FY201 o. Commissioners, the cumulative changes found within the resolutions contained within item 1B total $21,944,800. One other note, the changes identified do not have an impact on the maximum nlillage rate set by the Board of County Commissioners on July 28,2009. Be happy to entertain -- or our staff will be happy to entertain any questions that the board might have regarding the changes that are proposed on the tentative budget on item -- on section 1 B. Item #lC PUBLIC COMMENTS AND QUESTIONS CHAIRMi\.N FIALA: Commissioners, how about if I call on speakers first? COMMISSIONER COLETTA: That's a wonderful idea. CHAIRM~A.N FIALA: Would that be okay? All right. Sue, would you call our speakers. MS. FILSON: Yes, ma'am. We have eight speakers. The first speaker is Bruce Gear. MR. GEAR: Yes. MS. FILSON: Yes. Would you come up, please. He'll be followed by Thomas Turner. MR. GEAR: Thank you. My name's Bruce Gear. I'm from Marco Island, a relatively new resident to the area and to Marco Island. I'm here today to speak on behalf of the Marco Island Historical Society, which currently has a museum under construction. I assume Page 17 September 10,2009 that you're all familiar with the situation with the museum that's under construction on Marco Island. Being new to the area, I'm not up to speed on all of the details here, but it's my understanding that a number of years ago there was an agreement between the county Board of Commissioners and the historical society as to the funding of some of the construction that's to be done at the nluseum. You-all familiar with any agreement that was made in the past? CHAIRMAN FIALA: The agreement was we would offer them the land to build on if they would raise all of the money to build the museum. And then once they did that, we would pay to put in all of the display cases and so forth so that they could then display all the items they already had, and then they would offer this museum to be a part of our county museum system. MR. GEAR: Right. And today are we still in line in fulfilling that obligation to the historical society? I'm here basically to speak in favor of the -- you know, the county to basically uphold any agreement they've made in the past with the historical society. I don't know how many of you have had the opportunity to go down to Marco Island and review the progress of the construction of the museum. There's obviously been a lot of grass-roots fundraising in generating the lTIOney to put the museum together. The society itself is very close to reaching its goal for the amount of money that was needed to put this proj ect together. And like I say, I was just here in hopes of, you know, speaking in support of the historical society in hopes that the Board of Commissioners would, you know, follow through on any monetary obligations they'd made in the past to the museum, the society of the museum. MR. MUDD: Madam Chair, if I could help answer the particular question. We're on track, sir, in order to get that done. The historical Page 18 September 10, 2009 society and our museum staff went to the TDC for a grant. I think it was around $125,000. I'll get the exact number, but that's what's in my mind right now. And there's only one new FTE in the entire county budget that was presented to the board during the workshop, and that one FTE had to be the person that was going to operate the Marco Island M:useum, and that is still in the budget, and it's still there, ma'am. So we're -- we're on schedule. The only -- the only piece, if you read the newspaper today, that's kind of in an outlier right now -- and I'm looking in the editorial section -- is the TDC going to continue to fund the museum system? And that would be the only piece that we don't have any resolution -- certainty on right now because that is a future event that this board will have to listen to the TDC about and then -- and! or Inake decisions at the next budget year. CHAIRMAN FIALA: So we've offered them 125 out of the -- out of TDC dollars and 80,000 to fund the position; is that -- is that the case? MR. MUDD: I don't know if it's 80,000 to fund the position, but the one position is fully funded, ma'am. CHAIRMAN FIALA: Okay. MR. GEAR: Thank you for your time. CHAIRM"AN FIALA: I know -- MS. FILSON: The next speaker is Thomas Turner. He'll be followed by Bill Perdichizzi. I hope I got that right. MR. TURNER: I'd like to thank the board for an opportunity to speak to you this evening. I'm not new to the area. Been here all my life, born and raised here. Seen Naples grow fifty some years of my life. My uncle was mayor of Naples, so nothing new to politics. So politics has been here in Collier County, just like it is in the Capitol of Washington. It ain't changed, and that's what rules this area mostly. I've got a concern about our taxes. I know we can do better on it. Page 19 September 10, 2009 There's more of the money to be taken out. It's not a happy thing to do. People don't like to do it. They don't like to make tough decisions, get rid of people that are not being used to their full ability. It's not a good -- it's not a good thing. I don't think this economy's going away real quick. This isn't going away this year. This year's over with. We're getting ready to roll into 2010. Economy doesn't look like it's going to get any better, so you're going to be caught with a shortfall next year for taxes. So you need to be looking ahead, not this year, but for next year. There's a lot of stuff that the county's picked up and is doing that don't need to be done. And, you know, you're only five people, but you got several thousand people working for you here at the county. A lot of them are very good people. They can manage it. My big question is, is I got a handful of bills because I own quite a bit of real estate here in Collier County. Under Conservation Collier bond debt, my bills doubled, not only on my land taxes, but also on all of our furniture in our buildings, also on our equipment, cranes and everything. I have it right here. And if the budget shows what it says it's going to show, then that's going to double for me. I have a problem with that. You know, you people had a chance to step up, and you kept thinking this economy's going to get better and you-all are going to have enough tax money and everything's been be free and easy. It isn't. So I'm upset about -- that we're going to spend that much more money, and I don't understand. So maybe somebody can explain to me why my bill is doubled on just that item. There's a lot of items been moved, and only an accountant can read most of this stuff that's here. And I know Mr. Coletta's a very knowledgeable man. I know he worked for Ross Perot, and you're very knowledgeable. I know that you -- COMMISSIONER COLETTA: I'm sorry. MR. TURNER: -- are very knowledgeable. Page 20 September 10, 2009 COMMISSIONER COLETTA: You referenced me with Ross Perot. I wasn't a supporter of Ross Perot. MR. TURNER: Oh, okay. Anyway-- COMMISSIONER COLETTA: Fine gentleman, but I wasn't a supporter. MR. TURNER: Okay. All right. Anyway, I know that you guys are very smart so, you know, you-all understand this a lot better than the general public does, and I think that a lot more of it could be cut. But I don't -- I don't know what you can do about it at this time. I don't know if it's too late to reconsider this or if it's pretty much done. But thank you for that, and maybe somebody could explain to me -- MR. MUDD: I'm going to try to explain to the gentleman about Conservation Collier. First of aU, that was a referendum that was passed by the voters of Collier County to assess themselves a quarter of a mill in order to buy conservation lands so that -- in essence, to get those out of a development criteria, at least that's the way it was advertised. That was passed. And Conservation Collier will come up again in 2013 to either be re-initiated and/or sunset for that quarter mill. But the difIerence is in the Conservation Collier, you have an operating piece of it plus you have a debt service piece. The operating piece of Conservation Collier has gone down 35 percent. But remember, youVre dealing with that quarter mill. The debt service went up because of Pepper Ranch, and -- as far as a purchase that was made, and that's where that big increase is. But, again, you're dealing with that quarter mill referendum that passed by the nlajority of the voters of Collier County. I hope I got close to it. MR. TURNER: You did, and that's the way I understood it. And so, I know that all this land that Conservation Collier's taken into consideration takes that much more off the tax rolls. So somebody has Page 21 September 10,2009 to make it up in the general area, and it's a considerable amount of land. Maybe this land that they've purchased will one day be able to generate revenue for the county; I don't know. CHAIRMAN FIALA: Thank you, Mr. Turner. One good thing, if you notice the zoo is off of there, off of all of yours -- MR. TURNER: Yes, it is. CHAIRMAN FIALA: -- because we paid it off six years earlier. So that's a little deduction. MR. TURNER: Yes, thank you. MS. FILS()N: Next speaker is Bill Perdichizzi. He'll be followed by Kathy Miracco. MR. PERI)ICHIZZI: Good evening. My name's Bill Perdichizzi. I'nl the vice-president for the administration of the Marco Island Historical Society. I had planned on making a slightly different presentation, but after I heard some of the comments made today, I think I need, perhaps, to change midstream here. We're fully aware that $80,000 has been set aside for the director of county museums to fund the maintenance and operation of the Marco Island Historical Museum, and that will basically cover, of course, maintenance and utilities, one 32-hour-per-week person, and whatever is required to hopefully sustain the museum. That isn't the problem from our perspective, because we feel that we can supplenlent the county staff with our own volunteers as soon as the board sits down with us and sets up the joint board. We -- we're right now setting up our volunteer services there, and I'm sure we'll be able to provide full-time staffing almost for the museum at no cost to the county. Our biggest issue is displays and exhibits. We have a museum here that could really be one of the most extreme, high-potential drawing facilities in all of Collier County. Our museum at some point in time, and hopefully within the next year, maybe two years, will Page 22 September 10,2009 house artifacts from the Cushing Expedition which are known internationally. During the period of May of 2000 -- the year 2000, the millennium -- or excuse me -- during 2000 -- actually October of 1999 to probably about March of 2000, we had the Key Marco Cat here from the Smithsonian. It drew 35,000 people in less than five months. We see a potential of this museum as being extraordinary to assist tourism and the economy of Collier County, but we need those displays and exhibits. We were required to put in a grant for a $100,000, Mr. Mudd, okay? That grant we're not even sure we're going to qualify for because of the requirements for the grant. All of your category C2 grant funds has to be -- are basically on a compensation-type system. You spend the Inoney, you get reimbursed, okay. We are currently building that museum. We don't have $100,000 to spend on displays and exhibits. We did request that we be excused from that requirement. We haven't heard back from the county yet as to whether or not we will, in fact, be excused from it. But unless we come up with some money for displays and exhibits, unfortunately our plan to open in February is going to be an empty museum, and I think that would be a sad day for everybody in Collier County. One other point I would like to quickly correct here. We noticed in the newspaper that the Tourist Development Council had indicated that other counties in the State of Florida do not fund museums. Our research has produced 29 counties that fund museums, some of them to the tune of 90 percent of the TDC tax collected. I think, you know, that the Tourist Development Council research needs to be scrapped and, perhaps, maybe a harder look taken at the distribution of funds throughout the TDC and, perhaps -- you know, we're not at this point in time -- CHAIRM.AN FIALA: Thank you, Bill. Page 23 September 10, 2009 MR. PERDICHIZZI: -- opposed to getting funds from the general fund. Thank you. CHAIRMAN FIALA: Let me stop you right there, we -- we don't usually take any -- excuse me, speakers after we've started the subject. I'm sorry. I already took one because I hadn't been able to announce that, and we're -- we just don't take any more speakers. Now, I haven't announced it while you were trying to hand your speaker slip over, so I'll accept that one more, but after that we accept no more speakers. MR. REASNER: Thank you very much. MS. FILS()N: The next speaker is Kathy Miracco. She'll be followed by Helmut Nickel. MS. MIRACCO: Evening, hi. Kathy Miracco. I'm also here representing the historical society. I just wanted to reiterate what Bill was saying in that opening -- the planned opening for our museum is February. It would be pretty sad. It's almost like throwing out the baby with the bathwater. We have a $4.5 million museum that will be a warehouse, and I think the taxpayers who have donated to build this museum are going to be quite upset, as well as those people who are looking forward to coming to visit the county to see this museum. I think it's important that Florida be recognized for something other than our beautiful beaches and shells. We do have a very, very strong history here, and it's very important that we share that. I think we can bring people to the county because of that and they're just not aware of it, and it would take a great museum like we're planning to help bring them to that. That's it. Thank you. MS. FILSON: Helmut Nickel. He'll be followed by Kris Helland. MR. NICKEL: Good afternoon. My name is Helmut Nickel. Following up on what my friends Bill Perdichizzi and Kathy Miracco said, museums are very important parts of the cultural life of Page 24 September 10,2009 any community. Museums have been accused of not bringing heads into beds. They do it in an indirect way. Look, see, there are beaches that bring heads in beds right here in Naples but, for instance, people go to Paris not for the beaches. They don't go to London for the beaches. They don't go to New York City for Jones Beach. They go for the cultural institutions, and the cultural institutions like a museum in Marco would be of first -- first class, because in Marco, of course, is where the history of where Collier County started, where the -- one of the most important archaeological historical discoveries were made, was made in 1896 in the Cushing Expedition where the famous Marco Cat was discovered~, and I'm a person who knew it, I have to say. Almost 60 years ago, in 1950, was the first time I heard of the Marco Cat. I was a student in Beleen and had America Archaeology 101. That shows you that Marco is a very important place and that's the stuff that is here. Thank you. MS. FILS()N: Kris Helland. He'll be followed by Robert Fuller. MR. HELLAND: Yeah. My name's Kris Helland. I'm also with the historical society. Seven years ago we were here in front of this board and asked if we could have some money to buy some property to build a museum. It was decided that we could -- if we could raise the money, we could build on that property. We have fulfilled our part of the contract. The museum is almost built. We only ask that the county board provide the funding to put in the cabinetry and the display cases that were intended on the contract. Thank you. MS. FILSON: Robert Fuller. He'll be followed by Joanna Flashman. MR. FULLER: My name's Robert Fuller. I live in Naples Manor, and I have two properties there, and I guess I have more questions than I have a speech. Page 25 September 10, 2009 I'm looking at my homesteaded property. The value had went down about $62,000 and my taxes went up $30. I have a hard time figuring that out. And I was just wondering how can we get the rules of how the market values are reached. And then, can we get a list of the sales that arc used to assess the market value? Because when I had my conference with the tax appraiser, I had a listing from an MLS Realtor, and I was told that the -- there's a lot of places in Naples Manor that were sold to Habitat for Humanity. They don't consider those. They also don't consider auctions. Even though the last place I purchased was in 2009, I paid $24,000 for it, and they tell me it's valued at $83,000. I thought I paid $2,000 too much for it. And it's -- you've seen the signs, we buy ugly houses? I bought an ugly house, and no way would it even bring half of what they've got it listed for in the condition that I bought it for anyway. And they said they don't use auctions. And to me, an auction is where -- if it's an advertised auction, which this one was, by Williams and Williams Auction Company, to me it's -- the value is reached by the bidder that's willing to pay the most. So I'm really questioning the way that they arrive at these numbers. CHAIRMA.N FIALA: Let me just jump in here for just a moment -- you can sit down. That's all right, sir -- and say that we don't have anything to do with the property appraisals. That has to be discussed with the property appraiser and -- but I appreciate your concern with that. Also, as far as the -- the reason -- I bet your other property that you owned, that taxes go down because it isn't homesteaded. On homesteaded property, if you homesteaded it before a certain time, even though the value now has come down, your homestead had only been going up 3 percent. So that's why homesteaded properties in many cases that were bought a number of years ago -- probably, what, before 2004 -- still have a while till they meet what the value is this Page 26 September 10, 2009 day. I know mine went up also. Homesteaded will do that, and that's just the way the homestead law works. And also, let me tell you, for those of you sitting here tonight as well as those in the audiences, many, many people think that we set the millage rate for the entire county's taxing authorities, and we do not. We only set the millage rate for the county portion of your tax bill, and that is about 27 percent of your tax bill. School board sets their own tax rate, mosquito control sets theirs, South Florida Water Management District. Oh, my goodness, yeah, Big Cypress, and then -- and then, of course, everybody has voted to build Conservation Collier, so that's on there. We don't set that either, you did that, fire departments. All of these things are part of your tax bill, and somehow a lot of people think we set those rates. We don't. We only have 27 percent. And out of that 27 percent, we then also support the constitutional officers. That all comes out of that particular 27 percent pot. So I just -- I hope I made that clear, just so that everybody understands. Oh, Jim, did you have something on that? MR. MUI)D: Yes, ma'am. I want to specifically get to Mr. Fuller's question about how can I get the data that was used to come up with the market value on my particular -- on my two particular properties. Sir, if you'll notice at the bottom of the TRIM notice that you also received -- this is my TRIM notice. I don't get yours, but I get mine, so I -- but it says right here that if the Property Appraiser's Office is unable to resolve the matter as a -- as to market value, you may file a petition for adjustment with the Value Adjustment Board. The petition forms are available from the county Property Appraiser's Office, and must be filed on or before Friday, September 11. Tomorrow is September 11 tho Page 27 September 10,2009 MR. FULLER: I know, sir. MR. MUDD: Okay, so close of business. But the way to get at exactly what the market value is -- and the law has changed, so now -- before it used to be that the property appraiser would set the market value and therefore it would be -- and that's where it would be set, and it would be up to the property owner to prove that the property appraiser was wTong. Okay. Now, the property appraiser has to -- has to prove that you're wrong, okay. MR. FULLER: That isn't the way it sounded to me. MR. MUDD: But it's changed, okay. And it's changed over prevIous years, so -- MR. FULLER: I talked to this fellow three days ago, and he said your chances are slim and nil. CHAIRMi\N FIALA: Sir, you can't talk from the audience. You'll -- I'm so sorry, but -- yeah, you'd have to come up to the microphone. MR. MUDD: All I can tell you, sir, if you want your answer, okay, tomorrow file that paperwork before close of business, and then you can get to your answers, because there would be a board that will convene and hear your particular property issues. CHAIRM~t\N FIALA: Thank you. Thank you. COMMISSIONER HALAS: Can I interject? I -- also -- there's also a factor in here of recapturing. Even though the property values went down on homestead, you're still going to probably have an increase in your taxes because of the way that the ordinance, the state ordinance, was written in regards to homesteading of property. So in this trying times, even though the market value has dropped, there 'will be cases whereby there's a recapture that was written into the state statute by the legislature that will cause people with homesteaded property to probably see an increase in the value, and that was passed by the -- by a referendum from the citizens of Page 28 September 10,2009 Florida, I believe, back in '92 or '93. CHAIRMAN FIALA: Yeah, and the good thing is, all the while our taxes have been so much lower than everybody else's because we were homesteaded, and the homesteaded ones only went up 3 percent a year; we were all real quiet because everybody else who wasn't homesteaded had to pay a higher tax. But now the role is reversed a little bit. Anyway our last -- last speaker. MS. FILSON: We have three more speakers, ma'am. CHAIRMAN FIALA: Three more. MS. FILS()N: Joanna Flashman. She'll be followed by Kelly Reasner. MS. FLASHMAN: Hello. Joanna Flashman. Thank you for bending the rules a little bit here. Okay. I'm not a public speaker so I'm a little nervous, but basically I have a lot of personal issues on how I think the county spends money, but I'm not going to discuss them tonight. I just wanted to say that I'm here to oppose the increases in the millage rates. I'm in Mr. Coyle's district. And as you were just discussing the property values, my particular property value went down 168,000, which really doesn't bother me because I bought the house at $60,000 20 years ago. And in 2007 they had it valued at over 600,000, which I intend to be carted out of the place. I'm not leaving. I just hope I can afford to pay the taxes until that time happens. But with the millage rate going up, my taxes are still going up. And in Mr. Coyle's district, we're in East Naples, I'll bet 99 percent of us have had to adjust the way we live because of the economy being the way it is, and I don't think that the economy is going to improve in the near future. I also have a rental property in the same area. The market value is finally coming almost close to what I might be able to sell it for. But I've got a tenant in there, but she's two months behind in her rent. Page 29 September 10,2009 The economy is not getting any better. No sense in throwing her out because then there's no chance of collecting what she owes me. So it's just -- just a little bit frustrated with -- we have to tighten our belts. I'd like to see the county tighten their belts, too. Thank you. (Applause.) MS. FILS()N: The next speaker is Kelly Reasner. He'll be followed by Sheriff Kevin Rambosk. MR. REASNER: Good evening. My name is Kelly Reasner. And Ms. Fiala, I heard you talking a few minutes ago about you-all aren't in control of the millage rates and also the market values by the property appraiser. Well, I'm going to say this, okay. I'm looking at my notice of proposed property taxes. My market value has gone down considerably from last year, and as far as my appraisal goes from last year it's down over 50 percent, and my taxes are going up. Now, listen, I -- I'm pretty good at mathematics and being logical, and this doesn't make sense. Market value goes down, taxes goes up. It's not right. You know, you-all are the Board of County Commissioners, and I'm not sure what your pull is. I would think it would be high because you are in control of the county. Well, maybe you-all need to talk to these millage people and the property appraiser and do something good for the people right now because the economy is at its worst since I've been alive, and we need a break right now. And that's what I'm going to say. I'd appreciate it if you-all could help us out. Thank you very much. COMMISSIONER COYLE: Could you ask him to come back? CHAIRM.AN FIALA: Sir, would you come back, Mr. Reasner. COMMISSIONER COYLE: Mr. Reasner, are you homesteaded, this property you're talking about? MR. REASNER: Yes. COMMISSIONER COYLE: That's the problem. In a declining Page 30 September 10, 2009 market the way the homesteaded property laws are written, you will almost always have an increase in property taxes when your property value goes down. The reason for that is, your assessed value -- as a homesteaded property owner your assessed value has nothing to do with your taxable value. Your taxable value was established -- when did you buy your property? MR. REASNER: 1998. COMMISSIONER COYLE: Okay. 1998, you got it at a substantially lower price in 1998. Now, since 1998, your taxable value has been limited to an increase of 3 percent per year. So for all those years your taxable value has been kept at a very, very low level. But since that time market values have gone up dramatically. Now, the rnarket values might drop dramatically, but if they don't drop below what your taxable value is, it makes no difference. You still get that 3 percent increase in your tax rate or the cost of living index, whichever's lower. But let's stick with 3 percent. So in a declining market with property values coming down, homesteaded property owners do not get a break. That's the way it's written. It's unfortunate and it's wrong. By the way, if you were non-homesteaded and that property value came down, you would be getting a reduction in your taxes, so that means that many nonresidents and nonvoters are getting property tax reductions, but homesteaded people are getting property tax increases. That's the way the state law works, and none of us likes it. We have -.- we argued against Amendment I two years ago that the voters passed overwhelmingly. We said, you're getting into a position that is going to hurt you in the future. Nobody would listen. And so that amendment passed. It's a constitutional amendment, and there's not much we can do with it. So what you need to do is talk with state legislators and try to get them to understand what they have done with the state law. We've Page 31 September 10, 2009 tried it. MR. REASNER: Okay. I hear exactly what you're saying, and I will get a hold of the state legislators, because laws are made and then they're changed, and that needs to be changed because, you know, it's -- it's getting -- it's not right and it's not fair to the people. COMMISSIONER COYLE: I agree. MR. REASNER: And I'm sure that all the homeowners in this country feel the same way. CHAIRM.A.N FIALA: Thank you. Thank you, sir. MR. REASNER: Thank you very much. Have a good evening. I'm done? CHAIRMt\N FIALA: Yes. MS. FILSON: Madam Chairman, your last speaker is-- CHAIRMlt\N FIALA: Just a second, Sue. COMMISSIONER HALAS: County Manager, would you be so kind as to put your TRIM notice back up there and kind of explain to the people what we have control of in regards to the taxation such as the school taxes and how maybe a lot of people have seen a large increase in their school tax and how this came about and taxing from the fire districts and taxes from the water districts. COMMISSIONER COYLE: If I could, just to add to what Commissioner Halas is asking for. The problem is that the TRIM notice doesn't tell -- show all the things that Commissioner Halas wants to have exhibited here. Do you have the pie chart handy? If you don't, I have a copy. MR. MUDD: Yes, sir, I have the pie chart. What I've done on my TRIM notice -- COMMISSIONER COYLE: Okay. Go ahead. MR. MUDD: And one of the things Commissioner Coyle was alluding to with Mr. Reasner is the fact that you start taking a look at your market value of what it is -- in my case in 2008 versus 2009. And, oh, by the way, I live in East Naples. Page 32 September 10,2009 And then you start talking about Save Our Homes and the 10 percent cap value that's on your TRIM notice, and then you basically start taking a look at what the assessed value is and then what the taxable value is. You'll notice that my '08 taxable value and my '09 taxable value are pretty much the same. Exactly how that all worked out, I don't know. But what I did do is I took a look at what my property taxes were last year versus what my potential property taxes are going to be this year, and I basically subtracted one number from the next, and it basically turned out to be a $220 difference. And then I started taking a look at my TRIM notice. I said, okay, now, where's the increases coming from? And the biggest increase is public schools by state law. And you kind of say, well, there's a state law portion of the public school assessment, and then there is the assessment that's set by -- COMMISSIONER HALAS: The legislature. MR. MUDD: There's the assessment that's set by the school board. It just so happens that the state part of the mandatory school board assessment is higher than any increase on my TRIM notice to the tune of $106. So if my tax bill went up 220, 106 of it is by state law. I will tell you if you take a look at the state law, the state legislatures supposed to fund schools with sales tax and not with ad valorem tax. And so what they've done is they found a way to balance their budget by looking and getting into the ad valorem tax base of property owners all over the State of Florida in order to satisfy their particular requirement in order to fund the school system in the state. So what you have is, on this slide that I've put up on the visualizer, there's several portions of the school board millage. You have a school board state, which we've talked about. The 2010 millage on that one is 2.9910. The school board local, which is set by our school board, and that is .6760. There was a referendum that went Page 33 September 10, 2009 in front of the voters that basically said, could we move a quarter of a mill from capital to operating, and the overwhelming majority of the voters of Collier County said that is, indeed, the case, and that is the referendum line on this slide. And then there's a capital portion for the school, in other words, in order to build new schools and things like that of that nature. And their '09 millage was 1.75. This year they have -- the board has decided to let it be 1.3220. If you take a look at the millage rate from the school side on all of the columns that are sitting here everywhere from school board state versus -- CHAIRMAN FIALA: We can't see the other part of this thing. MR. MUDD: I'm sorry, ma'am. COMMISSIONER COYLE: The numbers are all -- CHAIRMAN FIALA: There we go. MR. MUDD: And what basically has happened in 2010, the millage rate on the school board side in -- is a cumulative number has gone up .3 mills, and that's what's happened in that particular regard. So that's one item on the millage. The next item on my TRIM notice is, you know, what part of the county piece on the millage rate did my taxes increase, and in this particular case it was $94.14, and then I went to figure out what the next major increase was in my TRIM notice, and that had to do with the East Naples Fire District. Now, a little bit of disturbing news yesterday on NBC2, the East Naples Fire District basically gave their admin staff a 12 percent raise and their firefighters an 11 percent raise on their new union contract. And so I've got a $37.98 increase on the East Naples Fire. I will say that's just -- that is not atypical because there was a referendum that passed in the Golden Gate Fire District where they increased, by referendum, that particular millage rate by .5 mills. So there's a lot of increases going on here of which this board Page 34 September 10, 2009 does not have control. And I guess what I'm going to say to you, the part that they do have control on my tax bill is $94. CHAIRM~t\.N FIALA: Thank you. We have one more speaker? MS. FILSON: Yes, ma'am. The final speaker is Sheriff Kevin Rambosk. CHAIRMAN FIALA: Sheriff Rambosk. That's kind of getting it all together quickly. SHERIFF RAMBOSK: Good evening, Madam Chair. Members of the board. CHAIRM~t\N FIALA: Thank you for being with us tonight. SHERIFF RAMBOSK: Kevin Rambosk, Collier County Sheriff. You know, as you've heard from our residents here tonight and more so from your own staff over the last couple of months and in our last meetings with you, we've certainly seen this as one of the most challenging years I've ever seen in working with budgets for governmental agencies. And I wanted to thank you and particularly thank your staff, county manager, and each of your department heads and directors, who make it very easy for us to continue to provide quality public safety with their partnership, as well as trying to work through where we go with the budget. You know, we had just confirmed here recently through the ECR reporting system that we are continuing to hold the line on crime in Collier County. And, in fact, we actually reduced crime somewhat. But that's not the case throughout the State of Florida, and it's certainly not the case in the communities and the counties that surround us, and we see that every night and every day in the media. And we need to be cognizant of that because we know we are a target, and we track people who come into Collier County to create crime and problems for us. So that is important to us. And it doesn't happen by accident. We have developed strong partnerships with our county partners, with our community residents, Page 35 September 10, 2009 and the great work of the men and women of the Collier County Sheriffs Department 24 hours a day, seven days a week. But on the other hand, this is a tough year, and I believe, as Mr. Turner and others do, that -- and you do, that it is going to be yet a tougher year to come. And I made a commitment to the members of the public and to you, and virtually to ourselves, every member of our organization, to take a look at where we are, what we do, how we do it, and try and rnaintain the same levels of service while cutting costs of operations. And this particular year we've been successful at that. And as a matter of fact, when we originally projected our operating budget to be 156 million and then was able to make a request and a certification to you at $143 million, we saw that as a reduction of $13 million as to what it would cost to maintain the same level of service that the community would expect that we would maintain. And, you know, we thank the members of our staff who have looked at consolidating functions through innovation and other ways to allow us to reduce that, because the question I then get is, well, if you're reducing that amount of dollars, then can you continue to provide levels of service? And I say, absolutely yes. And, in fact, we're increasing our levels of service and we're reducing our costs of operations. And we've had a number of things particularly in the last six months with regard to programming for youth activities and looking at taking over contracts, utilizing more inmate labor to save county dollars for operations such as in DAS, and we're looking at being able to do more of those things in the future. So I guess what I'd like to leave you with is that I'd like to make that commitment again to the public that we need to look forward a year or two budget years, and we will, just as your county manager does, and we will review our operations and look at ways to continue to reduce costs, just not at the expense of community public safety, Page 36 September 10, 2009 and we'll able to tell you where that line is. But thank you for the opportunity, and it's -- as difficult a budget as it's been, we've had a very good relationship with your staff. Thank you. (Applause.) CHAIRM.AN FIALA: Thank you. MS. FILSON: That was your last speaker. CHAIRMAN FIALA: Thank you very much. Commissioner Henning, who has been waiting patiently in the wIngs. COMMISSIONER HENNING: Yeah. And I have three things, and I don't know how you want to address them. First of all, I'm concerned about the proceedings of this evening. This meeting is publicly noticed to the public, and on our agenda it says, all persons wishing to speak on any agenda item must be registered prior to speaking. Any person deciding to appeal the decision of the :Board of Commissioners will need to go on record. And I'm -- I mean, everybody has that. This agenda is different than our regular agenda where it states when the item is brought up for discussion, no speakers can speak. A gentleman was denied speaking tonight based upon the chairman's comments. CHAIRM.A.N FIALA: Who was denied speaking? I'm sorry. COMMISSIONER HENNING: There was a gentleman that came up and wanted to speak. CHAIRMAN FIALA: Yeah, he spoke. COMMISSIONER HENNING: No. There was a gentleman that came up and wanted to speak, and he was denied based upon the chairman's comments. I just wanted to point out that our agenda the way it's laid out is different than what you're used to. That's my first concern. Also I have some questions on the budget. I don't know how you Page 37 September 10,2009 want to address it. And then other board members had an opportunity for political statements. I ,vould like the same. I know that some might be afraid of what I might say, but I think it's just fair. CHAIRMAN FIALA: Okay. COMMISSIONER HENNING: Well, first of all, the questions that I have is, on the impact fees reductions for transportation impact fees, shouldn't there be a -- CHAIRM~t\N FIALA: Would you give us your page, please? COMMISSIONER HENNING: Pages -- the stamp is Page 1 -- B 1, Page 1. It is the changes to the proposed budget. Shouldn't there be a corresponding reduction in expenditures if you're reducing revenues? MR. ISAC~KSON: Commissioner, I'll let Susan Usher approach the podium. She can -- she can talk in terms of the subject matter at hand, and I think provide the response you need. MS. USHER: If you were to go to Page 12, 1B, 12, that is your Fund 331, which is road impact fee District 1, and you can see that the revenues decreased by 660,000. What also decreased was reserves; so reserves were reduced in 2010. COMMISSIONER HENNING: Okay. Now, the second question I have on the budget changes is the tax collector. Is that -- that is showing as a revenue or an expense? MR. ISACKSON: Tax collector's budget, Commissioner, is $ 19-plus million on the expense side and also on the revenue side, so there's an offset. COMMISSIONER HENNING: So. MR. ISACKSON: Fees for services -- COMMISSIONER HENNING: Right. MR. ISACKSON: -- that he charges. COMMISSIONER HENNING: So how are you showing it in -- I mean, you're not showing it as a -- to me you're showing it as a Page 38 September 10,2009 revenue here on the changes. You're not showing a deduction of 19 -- MR. ISAC~KSON: No, but it's a $19 million add to your budget this year on the expense side. COMMISSIONER HENNING: You're adding $19 million? MR. ISACKSON: It's just offset by revenue. COMMISSIONER HENNING: What was the anticipation of the tax collector's expenses for our side of the budget? Was it $19 million in the -- not the tentative, but the proposed budget that we -- the hearings that we had in June? MR. ISAC:KSON: Well, we -- yeah. We really don't have an-- we don't have an indication because he's -- at that time he's preparing his document for submittal to the State Department of Revenue. COMMISSIONER HENNING: Correct. Okay. Well, I just -- I don't see the -- you know, the addition to our budget and then the subtraction -- MR. ISACKSON: If you go to page -- if you flip to page -- tab Page 6, tab 1B, you'll see the tax collector's budget total appropriations and revenues, and if you go back and look at the summation, Commissioner, on Page 1 of-- COMMISSIONER HENNING: Okay. MR. ISACKSON: -- tab 1 B, you will see the cumulative nature of the changes proposed this evening. COMMISSIONER HENNING: Okay. Then the final -- the final thing, everything that commissioners have said here is true, but the bottom line is, we're raising the millage, and it was by a majority of the commissioners. So -- and I seen some of the people shake their heads is, okay, IllY valuation is going down, why aren't my taxes going down. But the honest answer is, the majority of the commissioners are raising the millage. And like N[r. Turner, I know he has a business, and I'm sure he has had to layoff some people and sell some of his equipment and has taken a loss on it. So -- and I know the majority of the board wanted Page 39 September 10, 2009 to keep the services to the taxpayers. But my observation of this year's budget is, like the sheriff says, we are -- we're actually increasing the level of service, and that's true. And I think Collier County is increasing their level of service because there is less calls of service. You look at the constitutional officers' calls for service: for sheriff, the calls for service has gone down. That's how you can increase the level of service. The same thing with the county government. We have less -- serving less people, and in reality we have increased the level of service. So that's my political statement. CHAIRMi\.N FIALA: And after your first statement -- and this gentleman raised his hand, and you're the only guy then that wasn't able to speak, and I'm so sorry. I didn't even realize you had come in afterwards, and so I'm glad you brought that on to my attention. I know that this is -- it's getting late, but, sir, if you wanted to speak also, please just do so. I didn't mean to cut one person out. I didn't realize there was anybody else waiting. So Commissioner Henning brought that to my attention. I'm sorry . MR. JONES: Madam Chairman, thank you. CHAIRMAN FIALA: You have to come to the mike. MR. JONES: I've sat in front of the board on a couple of occasions and --- contractors licensing board and I have to follow protocol, and I do appreciate you adhering to the protocol, and I think -- I should have respected that. I'll make mine very brief. I'm William Jones, 3000 County Barn Road. And like Tommy, I've seen my business decrease. I saw it last year, and we made the adjustments. We've laid people off. We've shut down a lot of our operations. And we're looking at 2009, and this assessment, I guess, is based on 2008. So they're about a year behind us in reality of what property values are right now. I have a commercial property up on Shirley Street that was just Page 40 September 10, 2009 recently appraised. It's valued here at around two million. And the new appraisal came in for purposes of going to finance it, and it came in about a million less. And I -- I questioned the appraiser and all the other things. And he said, well, we're up to date with the appraisal. Your county is about a -- when the property appraiser does it, he does it effective December 31, 2008. But that was neither here nor there. The thing that I really was concerned about, oh, a few years ago someone up here appointed me as chairman of the MSTU for the Naples Production Park Association, and we came before the commission with about half a dozen actions on your part. Y'ou gave us about 11 million and let us go ahead and put our sewer/,,"ater and streets in the assessment over there. It's my understanding we paid for that. We had, I think, around 11 million or something. It was a budget of 11 million. Today, and the last few years -- I hadn't noticed it -- I'm being assessed. I got one bill here for $3, OOO-some on the property in that area, and I'm sure Tommy's looked at his. He's got one too. I said, wait a minute. We paid off that sewer/water and streets. Then I recall there was a hearing set and a meeting at one of the schools earlier this summer. I got a chance to attend that. I talked to some of the transportation guys and raised my objection at that point. I said, hey, we paid that thing off. Get it out of the budget. But there is an MSTU for those same facilities. Now, I really would just like to call that to your attention, and thank you so much for your consideration. I do appreciate it. CHAIRMAN FIALA: Thank you very much. Commissioner Coyle? Oh, that was from before. Excuse me. COMMISSIONER COYLE: Yeah, it was, but I think we ought to take a moment to see if we can answer this gentleman's question-- CHAIRMAN FIALA: That's a good idea. COMMISSIONER COYLE: -- about why he's being charged for an MSTU that he thinks he's paid off. Can anybody answering that Page 41 September 10, 2009 question? CHAIRM.AN FIALA: I see Norman Feder coming up to this podium. MR. ISAC~KSON: I can speak, Commissioner, to the property tax rate, which was discontinued two years ago. Now, there's a separate parallel process in regards to the assessment aspect, which I think Norman's going to approach the microphone and provide some information. MR. FEDER: For the record, Norman Feder, transportation administrator. There's some funds that remained in that account. That's why we held the meeting. There's no more assessments. And as you see in there, if you look at the page it shows they're non-applicable, that there's no tax rate to be assessed. We went to both of the industrial parks, both Naples Production and the Pine Ridge Industrial. There are dollars in both of those accounts -- both structured much the same, no longer being taxed -- and addressed what would they like to use that money on to make those improvements. Those improvements have been paid for previously . We have made improvements. These dollars were remaining in the account, and so in the case here in the Pine Ridge, we're making some improvements to the access of J &C at Airport Road and some other drainage improvements in the area. That will close out that moneys, and there is no assessed values proposed in FY10, and I don't think it was in '09 either, was it? MR. ISACKSON : No, last two years -- this year and the -- COMMISSIONER COYLE: How can he be getting an assessment for several thousands of dollars if there is no MSTU to be make an assessment? MR. ISACKSON: Commissioner, the only thing I can think of is that on the old assessment, I think runs through 2013, there are Page 42 September 10, 2009 property owners who didn't pay up front who are still receiving assessments for the old issue. That's the only thing I can -- and I don't know whether -- MR. FEDER: There's a bonding -- there was a bonding issue that went out. Some people paid for it up front, others, through the bonding, got to pay for it over time, till 2013. COMMISSIONER COYLE: Oh. So this is an obligation that was created many years in the past that had not been paid off. So the MSTU is no longer in existence, but that obligation still has to be paid. MR. FEDER: Correct. COMMISSIONER COYLE: Right? MR. FEDER: That's why we're trying to use those funds in the area where they're collected in projects that benefit that area. COMMISSIONER COYLE: Okay. MR. ISACKSON: That's part and parcel of why there's been this accumulation of money, and we're trying to use that money for the benefit of the district. COMMISSIONER COYLE: Okay, all right. I understand. Now, if I could, I'd like to say one thing which I will characterize as a clarification of what Commissioner Henning said. All of the things that we said about the effects of the homestead exemption and the 3 percent increase each year and the likelihood that you'll get an increase even if we didn't change the millage rate is all true. And no, we didn't intend to say that we don't have anything to do with millage rate. We were saying that we don't have control over the entire millage rate. We only have control over one portion of it. So that's all true. But it is true that the board, majority of the board, has voted to increase the millage rate this year. There is no question of that. And I'm opposed to it and Commissioner Henning is opposed to it. But nevertheless, that's the way it is this year. Page 43 September 10, 2009 We cannot chase the decline in property values. And there's so many other complexities that you don't want to hear about where homesteaded properties are bearing the brunt of the situation now while some non-homesteaded properties are having the benefits of the declining market. So we won't get into that, but it is a very complex process, and the board is doing everything they can to meet the requirements of providing services. There are people in this audience who are saying that it is absolutely critical that the Marco Island Historical Society open on time early next year. To you that is one of the most important things you're facing. ()ther people are worried about their employees, about paying their mortgages. So it's very difficult for the board -- no matter which way we're voting, it's very difficult for the board to make a decision to dole out more money, and we've done it with every group that has come here before us. We've tried to satisfy them and make them happy. That's what we try to do. But it's very, very difficult, and we're not going to be making everybody happy this year. But I'm opposed to the increase in millage, and that's all I have to say about it. CHAIRMAN FIALA: Commissioner Halas? COMMISSIONER HALAS: You've heard from the two commissioners that voted in regards to trying to come to millage neutral. Ifwe tried to do something of that nature this year, we'd be about 24, almost $24-and-a-half million in a shortfall. There's no way that we can cut out $24-and-a-half million. UNIDENTIFIED SPEAKER: Oh, come on. COMMISSIONER HALAS: Well, let me give you some examples here. Since the two commissioners -- and I'm not here to pick on the two commissioners. I can tell you I've had a number of meetings with my constituents in District 2, and we've talked about closing a branch library and, of course, there was an awful lot -- there Page 44 September 10,2009 was a lot of people that were very, very upset about that. They want that branch library. They also want landscaping. They also want parks open. They don't want -- they don't want to give up any of the amenities, okay. And, in fact, I asked the people who represent homeowner groups in District 2 -- we meet every month and we sit down and we discuss items of this nature, and I brought this before my homeowner groups, which is about:50 people, who represent different homeowner groups throughout the :District 2 area. And the consensus was that if they had to pay an extra $30 a month, they were willing to do it because they didn't want to lose their service, because I told them we are in a serious situation. Now, the two commissioners -- and I said I'm not here to pick on them. I'm just telling you if we started looking at areas that -- in their districts where 1~e could start cutting funds, we could look at closing the Golden Gate City branch library because our AUIR says that we have got -- we are overbuilt on libraries. That would save us $382,000. And I'm sure those people in Golden Gate aren't going to like having their library closed. We could also take away the services at that -- the park there where they have baby-sitting services available for the people here in Collier County, which would save us another $95,000. We could look at eliminating some of the stormwater issues in Golden Gate that are pending because there's going to be flooding if we don't address those issues, and that's another $250,000. So just in that district alone we could come up with another $728,000 that \ve could save. But I don't think the constituents in there are going to put up with that. Then if we go to District 4, we're looking at possibly eliminating the interpretative programs at the Freedom Park and Exhibit Hall, and people are waiting to have that Exhibit Hall and that park opened up, and that would probably save us, what is it, about 49,000. Page 45 September 10, 2009 Okay. Then we've got an area, we could close the Naples regional library , and those people would be up in arms. That would save us 16 people headcount-wise and about $1.3 million. Nobody wants their services cut but yet they want the taxes cut, and we have done everything possible to eliminate taxes. In the last three years before we ran into this huge crisis, this commission has turned back to the taxpayers about $85 million to the taxpayers here in Collier County. This is before it became en vogue to roll back taxes. The first year was $23-and-a-half million that we rolled back. So I'm telling you that when we look at the constituency that all of us represent, which is about 330,000, this is what we have here tonight that are up in arms because they realize that there are services that only Collier County has but yet the tax rate is very, very low. And I believe that the citizens in Collier County feel that they're getting value received. And we try to make sure that we look at the taxes, look at the services, and we make sure we -- basically we instruct staff to look at every area that we can cut people. Now, in the last couple of years we've probably -- we have at least 450 openings in the county. That's people that are no longer here, and there's more to leave. So we've done everything we can possibly do, but we do not want to cause a problem where it's health, safety, and welfare. Thank you. CHAIRMi\N FIALA: Commissioner Coletta, and then Donna Fiala, and then Commissioner Henning. COMMISSIONER COLETTA: Thank you, appreciate it. Commissioner Halas, for the most part I agree with you; however, I represent all the people of Collier County, and I wouldn't want those services to be cut to anyone. I don't care if it's my district or someone else's. There's got to be a level, you know, where you say this is what can be sustained by the money we've got coming in. Mr. Mudd, over the last three years, how much have we cut from Page 46 September 10,2009 the tax roll? MR. MUI)D: Commissioner, I have a slide for that. COMMISSIONER HALAS: About 85 million, isn't it? COMMISSIONER COLETTA: It was more than that. MR. MUI)D: More than that. COMMISSIONER COLETTA: Pretty impressive numbers though when you a look at it. We've got to put this thing in perspective. It sounds like the Collier County Commissioners, at least three of them, have not been willing to allow this to -- cuts to take place. MR. MUDD: Commissioners, when you look at what cuts we've made in that budget, the total foregone revenue is $77.6 million from 2007 through 2009. COMMISSIONER HALAS: I stand corrected. I thought it was 85. COMMISSIONER COLETTA: Okay. Out of that, how many people -- what percentage of our people have been laid off to be able to try to conserve the tax base? MR. MUDD: I'm over 20 percent, sir. COMMISSIONER COLETTA: Okay. So we don't want to leave the impression that cuts haven't been made. There's been many cuts made. Now, the realization of what's really happening out there -- and it can be explained over and over again, the difference between appraised value and tax value. And I predicted this was going to happen back nine months ago about the imbalance of the -- between the two. First time ever, when they put this program together years ago that was approved by the voters, no one ever anticipated that we were going to see a devaluation of property. Now, you don't see a lot of people here that have non-homesteaded property. I don't know about you, but I have a commercial property. Taxes went down $600-some on that. Very Page 47 September 10,2009 thankful. I own other residential properties in Florida, and I've seen a serious decrease on those properties; however, my home, the taxes went up like $120. Once again, it's due to that imbalance. The kind of cuts it would take from our end to make any difference at all for the homesteaded people would be so tremendous that it would just cease government as we exist. Once again, the part of the revenue stream that we control is about 20,30 percent, Mr. Mudd? MR. MUDD: It's 27 percent, sir. COMMISSIONER COLETTA: Twenty-seven percent. MR. MUDD: For the entire budget. COMMISSIONER COLETTA: So, you know -- and if you started taking that number and reducing it, the person that would save a tremendous alnount of money for each thousand dollars you take off the budget or each million dollars would not be the homesteaded property, it would be the non-homesteaded. You've got to compare these bills sometimes. And it's mind-boggling when you take a look at it. Homesteaded (sic) was put together -- homesteaded was put together many years ago to be able to protect the taxpayers of Collier County . We got a great ride. I know my taxes were about one-third of what my neighbor's were for quite a few years. Now the imbalance is starting a little bit, and we're seeing a slight increase. But the way the system is structured, there's not going to be any true equity against the valuation of your property and the -- what you pay in actual appraised value. I'm sure that cleared it up like mud. CHAIRMAN FIALA: No, that's Mr. Mudd. COMMISSIONER COLETTA: Oh, correct. Okay. I'll get this all right. Thank you. CHAIRMi\N FIALA: Thank you. One of the things I wanted to mention was for many, many years we've kept our tax rate steady. Our millage rate just stayed the same, stayed the same. We just -- the Page 48 September 10,2009 first year Jim, Tom, and I -- Commissioner Henning, Coletta, and I took office, we had to raise the millage rate. That was the year that we found no roads were built, the landfill was stinking and eyes were watering, that the -- we just had so many things. Our -- we had a seeping wastewater treatment plant. We had to fix all of these, so we raised the millage rate to -- in order to be able to do that. We -- and we only raised it slightly. By the way, correct me if I am wrong, we still have the lowest millage rate in the entire State of Florida. We've had the lowest millage rate in the entire State of Florida for many years. We kept that rate steady. Last year we dropped it tremendously. We dropped from, what was it, 3.61 down to 3.14. I think that was what it was. MR. MUDD: Commissioner, you dropped it in 2007 from 3.5790 to 3.1469. CHAIRMAN FIALA: Okay. And what we're doing now is adjusting it just to make sure we don't lose any more of our services. Like, for instance, the museum. We promised them we would put in their display cases. And I -- you know, and we want to keep that museum open. They've got -- they've got a museum there. They've built in there something that is museum quality. It's showroom -- it's Smithsonian quality inside there so that no matter what hits this area, they can keep prize pieces. The Smithsonian will actually allow us to keep pieces in there because it meets their requirements. This is going to be something wonderful for the entire museum system, something we don't have now. And -- but we can't -- we -- we're trying to keep our services steady. Like Commissioner Halas said, we heard from people all over. I personally spoke to at least 450 people in different organizations and speeches that I gave over maybe a four-month period asking them, what do you want to do? Do you want your -- do you -- in order for you to pay the taxes that you had last year, or just Page 49 September 10, 2009 about the taxes -- don't forget we only control 27 percent of your tax bill-- we're going to have to move the millage rate up a little bit. It's still going to be, you know, minuscule compared to other things. And without exception, without exception, everybody said, I'd rather pay a few bucks more a year and make sure that I have my services. I moved here not to be skimping and saving but to have some of these wonderful things that we have in Collier County. And so I ,vas listening to my constituents, and so this is the way I voted. So I just: wanted to tell you that. Commissioner Henning? COMMISSIONER HENNING: Well, you know, I was going to go tit-for-tat with Commissioner Halas, but I think my six-year-old son is watching this and it wouldn't be appropriate. County Manager, the graph that you showed, could you put that back up, please" That was the two-bar chart, the bar chart. MR. MUDD: Okay. COMMISSIONER HENNING: Yes. No, I'm sorry. It was three, three bars. Is that total revenue to the county that was reduced? MR. MUDD: It's ad valorem only, sir. COMMISSIONER HENNING: Ad valorem only, okay. MR. MUDD: It had to do with the millage rates that this board set, and that's the ad valorem piece. COMMISSIONER HENNING: So it needs to be changed then because we have more revenues than just ad valorem. The header says it's revenues. MR. ISACKSON: It's potential revenue on the levy, I think by virtue of that. When we say on the levy, we mean property tax. COMMISSIONER HENNING: Property tax, okay. Thank you. That's the only question I have. CHAIRMJ\.N FIALA: Okay. Commissioner Coyle? COMMISSIONER COYLE: Yeah, I'd just like to make one final statement that sort of ties all this together. If you take a median-priced Page 50 September 10,2009 home, a homesteaded home that was purchased in the year 2000, and you look at the taxes of that homesteaded home between 2000 and what it will be this year with the increase that the majority of the board will likely approve, the difference for the median house in Collier County is $78.82 over seven years. This board has done a really good job of maintaining your taxes over the years. I disagree in principle to the millage increase. But the point is that the person who owns a median-priced home and they bought it in the year 2000, they're paying only $78.82 more in 2009 even with this rnillage increase that the board is likely to impose. Now, that takes into consideration only those -- that portion of the millage that the board has authority over. There are other portions of the millage that could have gone up dramatically and there's nothing we can do about that. That's somebody else. There are 20 taxing districts in Collier County . We're only one of them. Okay. So I know it hurts sometimes, but it really -- this board is doing a really good job of containing your taxes to the extent that we have the authority to control them. CHAIRMi\N FIALA: Thank you. MR. MUDD: Madam Chair, that brings us to some items that we must cover on this public hearing, and that would bring us to Item 1D, resolution to adopt a tentative millage rate. Mr. Isackson. CHAIRMJ\N FIALA: 1D? MR. ISACKSON: Thank you, Mr. Mudd. Tab 1 D refers to the resolution providing for tentative FY201 0 millage rates. I must read into the record, for purposes of compliance with the TRIM statute by taxing authority, the rolled back rate, the proposed millage rate, and the change from the proposed millage rate. So if the commissioners will bear with me, I will begin. Page 51 September 10,2009 Item #IF ANNOUNCEMENT OF TENTATIVE MILLAGE RATES AND PERCENTAGE CHANGES IN PROPERTY TAX RATES - READ IN TO RECORD General Fund 001. The rolled back millage rate is 3.5676. The proposed millage rate is 3.5645. That is a change of a negative .09 percent. Water pollution control, Fund 114. The rolled back millage rate, .0333. The proposed millage rate, .0293. That is a -- that is a change of minus 12.01 percent from rolled back. The unincorporated area general fund, Fund 111. The rolled back millage rate is .80 I o. The proposed millage rate is .7161. The percent change from rolled back is minus 10.60. The Golden Gate Community Center, Fund 130. Rolled back millage rate, .187. The proposed millage rate, .1 791. That is a change of negative point -- a negative 4.48 percent. Victoria Park drainage. That is Fund 134. The rolled back millage rate is .4537. The proposed millage rate, .0653. It has a change of minus 85.61 percent. Naples Park drainage. A rolled back rate, .0090. A proposed millage rate, .0090. That represents no change from the rolled back rate. There is no levy for the Pine Ridge Industrial Park, Fund 140, nor the Naples Production Park, Fund 141. Moving to the Vanderbilt Beach MSTU, Fund 143. The rolled back millage rate is .47 -- -4716. The proposed millage rate, .4716. That represents no change from the rolled back rate. The Isles of Capri fire protection area, Fund 144. The rolled back millage rate, 1.8990. The proposed millage rate, 1.8990. Represents no change from the rolled back rate. Page 52 September 10,2009 The Ochopee Fire Control District, Fund 146. Rolled back millage rate, 4.4810. The proposed millage rate, 4.0000. Change from the rolled back rate, minus 10.73 percent. Collier County Fire Protection District, Fund 148. The rolled back millage rate, 2.0190. The proposed millage rate is 2.0000. That change is .94 percent from the rolled back rate. The Goodland Fire municipal services taxing unit. The rolled back rate, 1.2760. The proposed millage rate, 1.2760. That represents no change from. the rolled back rate. Sabal Palnl Road MSTU, Fund 151. The rolled back millage rate, .8918. The proposed millage rate, .8918. Represents no change from the rolled back rate. The Golden Gate Parkway beautification MSTU, Fund 153. Their rolled back rate, .5778. The proposed millage rate, .5000. That represents a change of 13.46 percent. The Lely (iolfEstates beautification MSTU, Fund 152. The rolled back millage rate, 2.0336. Proposed millage rate, 2.0000. A change in the rolled back rate of minus 1.65 percent. The Hawk's Ridge stormwater pumping MSTU, Fund 154. The rolled back millage rate, .1209. The proposed millage rate, .1209. A o percent change. The Radio Road beautification MSTU, Fund 158. The rolled back millage rate, .2521. The proposed millage rate, .2521. No change from the rolled back rate. The Forest Lakes roadway and drainage MSTU, 159. The rolled back millage rate, 1.2800. The proposed millage rate, 1.1563. A change on the rolled back -- from the roll back rate of.9 -- minus 9.66 percent. The Immokalee beautification MSTU, Fund 162. The rolled back millage rate, 1.0463. The proposed millage rate, 1.0000. A change from the rolled back rate of a minus 4.43 percent. The Haldeman Creek dredging MSTU, Fund 164. Rolled backi Page 53 September 10, 2009 millage rate, .6250. The proposed millage rate, .5000. A change from the rolled back rate of a minus 20 percent. CHAIRM.AN FIALA: Did you miss -- MR. MUI)D: You missed the Bayshore/ Avalon beautification, 163. MR. ISACKSON: Excuse me, sir. That's Fund 163. The rolled back millage rate, 1.7892. The proposed millage rate, 1.7892. That represents no change from the rolled back rate. Rock Road, Fund 165. The rolled back millage rate, 2.6243. The proposed millage rate, 2.6243. That represents no change from the rolled back rate:. Conservation Collier operating, Fund 172. The rolled back millage rate, .1884. The proposed millage rate, .1206. A 35.99 percent decrease from the rolled back rate. The Caribbean Gardens, Fund 220. The rolled back millage rate, .1703. There is no proposed millage. That is a decrease of 100 percent. Forest Lakes debt service, 259. The rolled back millage rate, 3.5020. The proposed millage rate, 2.8437. An 18.8 percent decrease from the rolled back rate. Conservation Collier debt service for 2005, Fund 272. The rolled back millage rate, .0761. The proposed millage rate, .0746. A 1.97 percent decrease from the rolled back rate. Fund -- Conservation Collier debt service, 208, Fund 273. Since this is a new levy based on the Pepper Ranch, you now have a millage rate of .0548. Collier County lighting, Fund 760. The rolled back millage rate, .1108. The proposed millage rate, .1108. A 0 percent change from the rolled back rate. The Pelican Bay MSTBU, Fund 778. The rolled back millage rate, .0558. The proposed millage rate, .0531. A change of minus 4.84 percent. Page 54 September 10,2009 MR. MUDD: That would also bring us to a resolution to adopt the amended tentative budget, which is 1E. Item #lD RESOLUTION- 2009-198: RESOLUTION TO ADOPT THE TENTATIVE MILLAGE RATES - ADOPTED MR. ISAC~KSON: If I may, Mr. Mudd, the -- if we could stay on 1D, there's the resolution that would adopt the tentative millage rates for the FY20 1 0 budget. MR. MUDD: Okay. COMMISSIONER COLETTA: So moved. COMMISSIONER HALAS: Second. CHAIRM.AN FIALA: I have a motion on the floor and a second to adopt the proposed millage rates. Any discussion? (No response.) CHAIRM.AN FIALA: All those in favor, signify by saying aye. COMMISSIONER HALAS: Aye. CHAIRMAN FIALA: Aye. COMMISSIONER COLETTA: Aye. CHAIRM_AN FIALA: Opposed, like sign? COMMISSIONER COYLE: Aye. COMMISSIONER HENNING: Aye. CHAIRMAN FIALA: It's a 3-2 vote. Item #lE RESOLUTION 2009-199: RESOLUTION TO ADOPT THE AMENDED TENTATIVE BUDGET - ADOPTED Page 55 September 10,2009 MR. ISAC~KSON: Next item, Commissioners, is Item 1E, which is a resolution to adopt the tentative amended budget. If you -- Commissioners, if you would refer to tab 1 E where you will find the resolution providing for the amended FY201 0 tentative budget. And your action on this item will include the changes discussed under agenda Item 1 B this evening. COMMISSIONER COLETTA: So moved. COMMISSIONER HALAS: Second. CHAIRM.AN FIALA: Any discussion? (N 0 response.) CHAIRM.AN FIALA: All those in favor, signify by saying aye. COMMISSIONER HALAS: Aye. CHAIRMAN FIALA: Aye. COMMISSIONER COLETTA: Aye. CHAIRM.AN FIALA: Opposed, like sign? COMMISSIONER HENNING: Aye. COMMISSIONER COYLE: Aye. CHAIRM.AN FIALA: That's a 3-2. COMMISSIONER COYLE: Opposed. CHAIRMAN FIALA: Okay. COMMISSIONER HALAS: He voted that the first time. CHAIRM.AN FIALA: I heard the first part too, but I -- thank you. That's a 3-2 vote. Item #lG ANNOUNCEMENT OF FINAL PUBLIC BUDGET HEARING - WILL BE HELD SEPTEMBER 24,2009 @ 5:05 P.M. MR. ISAC~KSON: Commissioners, item number IF I took and discussed under the resolution to adopt the tentative millage rate, so I will simply close by announcing the final public budget hearing, Item Page 56 September 10, 2009 1G, which will occur in this chambers on Thursday, September 24, 2009, at 5:05 p.m., That's all I have, Madam Chair. MR. MUI)D: That concludes our presentation to the Board of County Commissioners, ma'am. CHAIRM_AN FIALA: Okay. That concludes your presentation. County Attorney? MR. KLATZKOW: Yes. I spent the day with Commissioner Fiala and others, the entire day, in fact, including lunch with a court-ordered nlediation in the clerk's case, and I'd like to discuss what happened today -- and we're meeting again tomorrow morning -- with the board at the: next board meeting in a shade session, so I need to make the mandatory statutory announcement to do that so I could update you as to where we are in this case. So I'm hereby giving notice that pursuant to Section 286.011(8), Florida Statutes, the county attorney desires advice from the Board of County Commissioners in closed attorney-client session on Tuesday September 15,2009, at a time certain of 12 noon in the commission conference rOOlTI, third floor, West Harmon Turner Building in the Collier County Government Center, 3311 (sic) East Tamiami Trail of Naples, Florida. In addition to the board members, County Manager James V. Mudd, or in his absence, Deputy County Manager Leo Ochs, County Attorney Jeff KJatzkow, and Litigation Section Chief Jacqueline W. Hubbard will also be in attendance. The board, in executive session, will discuss a strategy session relating to litigation expenditures and settlement negotiations in the pending case of the Board of County Commissioners versus Dwight E. Brock, Clerk of Courts, case number 07-1056-CA now pending in the 20th Judicial Circuit in and for Collier County, Florida. MR. MUI)D: Yes, sir. And if you'll look -- ma'am, if you look at your agenda that you got today, we have a shade session that's already scheduled for noon, and that has to do with the Grider case. Page 57 September 10, 2009 So when that part's over, then we'll continue with what Mr. Klatzkow just announced. CHAIRM~t\N FIALA: Thank you. Any board discussion? (No response.) CHAIRMi\N FIALA: Any further comments from the county attorney? MR. KLATZKOW: No, ma'am. CHAIRM.AN FIALA: How about the county manager? MR. MUI)D: No, ma'am. CHAIRM.AN FIALA: What did you say? COMMISSIONER HENNING: Do we need a motion to adjourn? CHAIRM.AN FIALA: Well, I just wanted to make sure everybody had their comments. COMMISSIONER HENNING: No. I'm not sure if you need a motion on -- CHAIRM.AN FIALA: Oh, I don't know. Do we? MR. KLA TZKOW: I think that it's been customary that we do this by motion. CHAIRMAN FIALA: Okay. Do I hear a motion? COMMISSIONER HENNING: I don't want to adjourn. COMMISSIONER HALAS: Motion to adjourn. COMMISSIONER COLETTA: Okay. I'll second. CHAIRM.AN FIALA: Okay. I have a motion on the floor and a second to adjourn. All those in favor, signify by saying aye. COMMISSIONER HALAS: Aye. CHAIRM.AN FIALA: Aye. COMMISSIONER HENNING: Aye. COMMISSIONER COLETTA: Aye. CHAIRM.AN FIALA: Opposed? Page 58 September 10, 2009 COMMISSIONER COYLE: Aye. COMMISSIONER COLETTA: Then you can stay. ***** There being no further business for the good of the County, the meeting was adjourned by order of the Chair at 7:01 p.m. BOARD OF COUNTY COMMISSIONERS BOARD OF ZONING APPEALS/EX OFFICIO GOVERNING BOARD(S) OF SPECIAL DISTRICTS UNDER ITS CONTi/J~ d~ DONNA FIALA, Chairman ATTEST:' DWIGHT E. BROCK, CLERK B -. These minutes approved by the Board on \ 0 113/ 0.3 , as presented v/" or as corrected TRANSCRIPT PREPARED ON BEHALF OF GREGORY COURT REPORTING SERVICES, INC., BY TERRI LEWIS. Page 59