Thursday, August 12, 2010
9:00 a.m. session
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09:01:59 >>THOMAS SCOTT: We will turn to Gwen Miller.
09:02:03 >> We have a special guest who used to work with the
09:02:06 City of Tampa and she is Miss Bettye Green Johnson,
09:02:14 worked at our utility counter for 36 and a half years.
09:02:18 Betty is still very active as an associate member of
09:02:20 the City of Tampa Black History Committee Incorporated
09:02:23 in which she served as past president.
09:02:25 Betty is married to Don L. Johnson and they are members
09:02:28 of Temple AME Church where she serves as a greeter and
09:02:33 can always be heard singing and will help anyone she
09:02:36 can whenever she can and loves talking about her
09:02:39 Please stand and remain standing for the pledge of
09:02:42 >> Let us pray.
09:02:51 Most holy one, our father, we give you thanks and
09:02:56 praise for every good and perfect gift.
09:02:58 We thank you for this very day.
09:03:00 We pray for the leadership of the City of Tampa and for
09:03:02 all of the government appointees an elected officials.
09:03:08 We pray for our President of these United States.
09:03:10 We pray, O heavenly father, for the persons living
09:03:15 within the confines of the City of Tampa, doing
09:03:17 business in the City of Tampa.
09:03:18 Let everyone come before council in love and in
09:03:22 We pray, father, for those that are less fortunate than
09:03:26 we are.
09:03:28 We are standing on your word.
09:03:31 Bless everybody, O God, because you know what we stand
09:03:34 in need of, and will honor and praise you and all these
09:03:40 blessings we ask in Jesus name.
09:03:45 (Pledge of Allegiance)
09:03:52 >>THOMAS SCOTT: Roll call.
09:04:03 >>JOSEPH P. CAETANO: Here.
09:04:06 >>YVONNE CAPIN: Here.
09:04:07 >>GWEN MILLER: Here.
09:04:09 >>MARY MULHERN: Here.
09:04:11 >>CURTIS STOKES: Here.
09:04:12 >>THOMAS SCOTT: Here.
09:04:14 I have a memo from Councilman Miranda:
09:04:17 Please be advised that I will arrive late to the
09:04:19 special called meeting on Thursday, August 12th, 2010
09:04:23 due to a personal matter.
09:04:24 I will be in attendance as soon as I can.
09:04:26 I would appreciate you advising the other council
09:04:29 members and please extend my apologies to the mayor for
09:04:32 missing the first part of the presentation.
09:04:34 Thank you.
09:04:34 This is from Councilman Charlie Miranda.
09:04:37 Council, we are indeed happy to have with us the mayor
09:04:39 of the City of Tampa, the Honorable Pam Iorio.
09:04:43 >>Mayor Pam Iorio: Good morning.
09:04:49 Special greetings to Councilwoman Capin and Councilman
09:04:52 Welcome to city government.
09:04:55 I am very pleased with your appointment.
09:04:57 Council members, this is my 8th and last budget
09:05:02 >>GWEN MILLER: And mine, too.
09:05:07 >>Pam Iorio: Yours, too.
09:05:09 It is hard to believe how quickly the time has gone.
09:05:12 And so it is with a little bit of melancholy that I
09:05:17 present your final budget.
09:05:19 You know, I love the city.
09:05:22 I vowed when I became mayor that I would financially
09:05:26 leave it better than I had found it, and that's what
09:05:30 I'm doing.
09:05:31 And I will present that to you today, that the city is
09:05:34 in even better financial shape than it was eight years
09:05:37 And that's important to me personally, professionally.
09:05:47 Before I start, let me give some thanks.
09:05:49 I have been very, very fortunate not only to work with
09:05:51 good council, because I have had two councils in
09:05:55 different variations on those councils near the end,
09:06:00 but I have just had the best staff to work with.
09:06:05 And I am particularly grateful that my chief financial
09:06:08 officer Bonnie Wise and my chief of staff Darrell Smith
09:06:13 have been as frugal as I am.
09:06:16 They have that same mind-set, that it's the public's
09:06:19 money, and don't spend it unless you need to and be
09:06:22 careful with it.
09:06:23 And I am very, very grateful for that, because if you
09:06:27 don't have people working with you as a team who share
09:06:30 your fiscal philosophy, you just don't get very far.
09:06:35 And then I have had a great partnership with this
09:06:37 council and the one previously.
09:06:41 We have worked so well together, you know.
09:06:43 And going on all those eight years I have never vetoed
09:06:48 anything that's coming from council and I suspect I'll
09:06:51 finish my time on March 31st without any veto and
09:06:54 that's because we have worked out any differences that
09:06:56 we had, arched I really like that kind of government.
09:06:58 I like government that works together.
09:07:01 We need more of that.
09:07:02 We need more of that on the national level.
09:07:04 We need more of that on the state level.
09:07:06 And so this 8th and last budget presentation
09:07:09 presents to you a budget that is $787 million.
09:07:13 It's a balanced budget.
09:07:15 It reflects the needs of our citizens.
09:07:18 It is a 4.4% increase over last year, but that's due to
09:07:23 an increase in capital projects.
09:07:26 The tax operating budget, which is the one we mostly
09:07:29 focus on because tax operating is the ad valorem, it's
09:07:31 the nuts and bolts, what funds police, fire, parks and
09:07:37 rec and all the things our citizens rely on, is 436
09:07:41 That's an increase of 2.8% or $12 million, and those
09:07:46 increases are due to an increase in pension
09:07:49 contribution, which I will get to, some deferred
09:07:53 As you know, we have tried very hard to balance the
09:07:56 budget each year and we have done it successfully but
09:07:59 some of that has been by deferring some maintenance but
09:08:01 after awhile you can't defer anymore.
09:08:03 Vehicle purchases, particularly police vehicles.
09:08:05 We want to make sure our police officers have vehicles
09:08:08 without too many miles on them.
09:08:11 And the ERP, the joint computer modernization between
09:08:15 the city and the county, which is about $8 million.
09:08:20 This is the fourth year of reduced revenues.
09:08:24 It's not been easy, as you know.
09:08:26 But we have been able to balance the budget by
09:08:29 strategically shrinking city government.
09:08:33 This year we faced a $32 million shortfall in balancing
09:08:36 the budget.
09:08:37 You might recall last year we had a $51 million
09:08:41 And how did we eliminate the shortfall?
09:08:43 Well, we do it through reduction in operational
09:08:46 expenses within each department.
09:08:48 This year, we really laid it out for all of our
09:08:52 department, and we said you have got to roll it back.
09:08:55 You have got to take your operational moneys and just
09:08:57 roll 'em back, and they did it.
09:09:00 And they went through line by line, and they rolled
09:09:02 back their operational budgets.
09:09:05 And we continued with the elimination of positions.
09:09:08 This year we eliminated 146 positions.
09:09:11 Of those only 39 were layoffs.
09:09:14 As you know, we have been very careful about layoffs in
09:09:17 city government for the past four years.
09:09:19 The vast majority of our position eliminations have
09:09:21 been vacant.
09:09:24 With every layoff we have given an individual 90 days,
09:09:28 three times what the contract calls for, more than
09:09:30 three times, and we have worked very hard to help
09:09:35 employees find other jobs in city government.
09:09:40 Now, I'm not much on charts and power points and so
09:09:42 forth, but I do have a few charts today.
09:09:45 Bonnie will follow me.
09:09:47 She's the chart meister.
09:09:50 But I have got a few.
09:09:52 And the first one shows the general fund salaries and a
09:09:55 And I showed this one.
09:09:57 And when I met with employees, I have shown this.
09:09:59 This one is up on the screen.
09:10:01 The blue reflects salaries.
09:10:03 And the red reflects benefits.
09:10:06 You can see that we have really done a good job keeping
09:10:10 salaries in line.
09:10:11 And I really have the council to thank for that because
09:10:13 last year when you agreed to hold the line on raises --
09:10:16 and I know it was very difficult to do that because we
09:10:19 so appreciate every single employee, and we want our
09:10:22 employees to get raises.
09:10:23 But last year no one in city government got a raise.
09:10:26 And because of that I can tell you it had a significant
09:10:29 impact on our salary line items when we can go a whole
09:10:32 year without raises, and it saved in terms of job loss,
09:10:38 it saved big time.
09:10:39 So when you really look at the shrinkage of city
09:10:42 government, and the number of positions that we have
09:10:45 eliminated, because over four years we have eliminated
09:10:48 about 13% of the workforce, and the no-raid situation
09:10:54 last year.
09:10:55 Look at our salaries, $209.9 million.
09:11:01 It's less than the '07 actual.
09:11:03 I mean, that's a real accomplishment when you can get
09:11:06 salaries to be less than what they were three years
09:11:10 But now look at the red part.
09:11:12 When you -- and you can see the challenge that we have.
09:11:16 The red part is salaries and benefits.
09:11:18 It really health insurance and pension.
09:11:21 And see how that's gone up from 57 million last year to
09:11:24 68 million?
09:11:25 That's pension.
09:11:26 And that's the part that we can't control.
09:11:29 Which is why it's so important for to us control what
09:11:31 we can control, and what we can control is the blue.
09:11:36 We can't so much control the red.
09:11:39 And I think this really tells an important story.
09:11:44 Now, the figure that you see of 209.9 does include the
09:11:49 restoration of merit step in the '11 budget.
09:11:54 I promised that last year.
09:11:55 When I went out and said to everyone, we are going to
09:11:58 go one year without a salary increase, we said to the
09:12:01 police and fire and the others, we are going to restore
09:12:04 the step.
09:12:05 We understand how important it is to recruitment and
09:12:07 retention and people who join the police force and the
09:12:10 fire department, particularly they understand how they
09:12:14 step through the organization, and there are certain
09:12:15 salary increases.
09:12:17 I understand all of that.
09:12:18 That number reflects that restoration.
09:12:21 I have negotiated the PBA contract directly this year.
09:12:25 We have reached agreement.
09:12:26 They will be taking it to a vote August 25th,
09:12:30 Hopefully it will pass.
09:12:31 If so, it will come to you for ratification.
09:12:35 There are no cost of living increases in this budget.
09:12:39 And, really, I don't think it appropriate for the city
09:12:41 to have any cost of living increases until we stop with
09:12:44 the layoffs.
09:12:45 Until we can stabilize the workforce and not have
09:12:47 anyone else lose their jobs, cost of living increases
09:12:50 are just not realistic.
09:12:52 So they are not in the budget.
09:12:55 The next slide shows City of Tampa staff and you can
09:13:02 really see what's happened here.
09:13:04 When I became mayor, there were 4,794 employees.
09:13:09 As I leave office, there are 4,416 employees.
09:13:15 But the next slide shows that the population of Tampa
09:13:20 has actually gone up in those eight years.
09:13:22 So while our staffing has gone down, our population has
09:13:28 In fact, while the State of Florida has lost
09:13:30 population, and the big talk has been about how people
09:13:35 are leaving Florida, look at our city.
09:13:36 People want to live here.
09:13:38 Our population has increased.
09:13:41 I can't wait to see the census figures when they come
09:13:45 So this really tells a story about our city.
09:13:50 Now, the next chart talks about pensions.
09:13:55 Not to belabor this too much but this is a real issue
09:13:58 for governments in general.
09:14:00 If you look at the little orange area there, it shows
09:14:03 that in 2009, the city spent $177 million on pension.
09:14:11 And in 2011 we are going to spend $40.6 million on
09:14:18 That is just a real issue going forward.
09:14:21 It's not just the City of Tampa.
09:14:23 FRS has issued -- I'm sure that other cities have their
09:14:27 small pensions throughout -- we have, as you know, the
09:14:29 two pensions, S&P and the general.
09:14:32 I believe in pensions for our employees.
09:14:34 Pensions are important.
09:14:35 People in their old age have to have something they can
09:14:38 rely upon.
09:14:39 But having said that, I think that we have to look at
09:14:43 some kind of reform system, not just the City of Tampa.
09:14:48 Everyone is going to have to look at pension benefits
09:14:50 going forward, and whether or not for new employees
09:14:56 there might not be a different system going forward.
09:14:58 I'm not talking about taking away or changing benefits
09:15:02 for anyone who has relied upon the benefit system that
09:15:05 they currently have.
09:15:06 People have planned for that throughout their lives.
09:15:08 But I think it is wise for government and
09:15:11 governments -- not just the City of Tampa but for
09:15:14 everyone to take a look at the current system and look
09:15:16 at new employees going forward and how those systems
09:15:19 might be changed so that the cost to government isn't
09:15:23 so severe.
09:15:24 And I think this is just a big, big issue.
09:15:28 Now, onto the bigger picture of revenue.
09:15:32 Let's look at our taxable property valuation, down
09:15:37 12.5%, previous year down 12.26%.
09:15:41 You know, we have had two years a 25% decrease in
09:15:46 property valuation.
09:15:47 It would take a turn-around of a 31% increase to bring
09:15:51 property valuations back to their '09 levels.
09:15:55 It just like the stock market.
09:15:57 Your stock goes down 40%.
09:15:59 It has to go way above 40% to get to where it used to
09:16:03 be and that's unlikely that we are going to see at any
09:16:07 time in the near future and the distant future,
09:16:11 property valuations increasing by any substantial
09:16:17 Further, legislative cap formulas make it that we
09:16:22 couldn't capture that revenue even if it did grow by
09:16:25 that amount and I have discussed that with you on
09:16:27 previous occasions.
09:16:28 So decreased revenues are going to be a part of the
09:16:32 local government picture for a long, long time to come.
09:16:36 The next chart shows property tax revenue.
09:16:39 And you can see that the amount that we are receiving
09:16:44 in property taxes is a little bit less than '05
09:16:50 And here we are going into '11.
09:16:54 Well, that's why we set in motion four years ago
09:16:57 certain strategies, and really with your help and
09:17:01 partnership we stuck to those guidelines, and we have
09:17:03 produced a financially healthy city, even during the
09:17:06 great recession.
09:17:08 The first thing we have done is reduced the size of
09:17:10 city government.
09:17:11 As I said, we have reduced it by about 13%.
09:17:15 And we have done it very carefully.
09:17:16 We preserved basic services.
09:17:18 We have listened to our citizens.
09:17:21 We have not gone down that furlough road, which is
09:17:25 detrimental to both the public and the workforce.
09:17:28 Instead we have taken a very close look at every
09:17:31 service that we provide to the public, and we have
09:17:34 strategically shrunk, and we have preserved those core
09:17:38 services that we know are important to the public,
09:17:40 because we are out all the time.
09:17:42 We know what they care about.
09:17:45 Your chambers have not been filled over these past
09:17:48 three years, and I don't think they will be filled
09:17:50 during these public hearings with people saying these
09:17:52 cuts are unacceptable to me and our quality of life.
09:17:56 That's just not happened in the City of Tampa.
09:17:59 Number two, our overall bond rating is AAA, and that
09:18:02 reflect good financial management.
09:18:04 We have recently had a solid waste refunding.
09:18:07 And I know Bonnie Wise is very proud.
09:18:09 It saved our solid waste department $640,000 a year.
09:18:15 First of all, you only get that kind of result when the
09:18:17 bonding agencies, where people look at your financial
09:18:21 health of your city and say you are doing a good job,
09:18:23 or you don't get those kinds of savings.
09:18:27 Number three, we bolstered our reserves.
09:18:30 I have a chart regarding reserves.
09:18:33 You can see in '04 our reserves were 15% of general
09:18:40 Now, it's kind of artificial when it shows that it went
09:18:43 up to 34% and so forth, because really what we would do
09:18:46 in those years where we have been figuring out how to
09:18:49 meet the budget shortfall, what we have been doing is
09:18:52 we have been making internal cuts, and then those
09:18:56 moneys temporarily go into fund balance.
09:18:58 And then we take that money and use to the balance the
09:19:01 So in many respects it's been kind of a little bit
09:19:05 artificial that temporarily some moneys have gone into
09:19:07 fund balance.
09:19:10 But our policy has been a 20% fund balance.
09:19:14 And when I turned the baton -- when I turn the baton
09:19:20 over to the next mayor the city will have a 21% fund
09:19:23 balance, which is almost $88 million.
09:19:26 I think that is so very important, given our geographic
09:19:31 vulnerability, given the size of our city and our
09:19:34 responsibilities to our citizens.
09:19:36 So a good solid reserve has been very, very important
09:19:40 to me professionally, that I have been able to turn
09:19:43 that over to the next administration.
09:19:46 And so we have been able to strategically shrink city
09:19:50 government and at the same time keep our reserves
09:19:53 And, at the same time, continue to provide the key
09:19:57 services to our public.
09:20:01 And, fourth, we created some years ago an efficiency
09:20:05 and effectiveness task force within city government.
09:20:08 This task force -- I can't say enough about the good
09:20:11 work, because it included every department and people
09:20:14 from all different levels, anyone who had an idea on
09:20:17 how to save.
09:20:19 And the task force has come up with savings that result
09:20:23 in $12 million a year in recurring savings and 4
09:20:27 million in one-time savings.
09:20:29 For example, here's one example of what we have done.
09:20:31 As you know, we have done a lot of consolidation.
09:20:33 I brought to you some organizational consolidations
09:20:36 earlier this year.
09:20:38 We have recently consolidated all fiscal managers
09:20:41 throughout the city government, and so every department
09:20:45 that had anyone who worked on fiscal matters -- that
09:20:49 consolidation alone has saved $1 million.
09:20:52 And we have gone through this organization, and we have
09:20:54 done all sorts of consolidations and changes, anything
09:21:00 that you can think of to save money.
09:21:02 And I'm really proud of our employees because they
09:21:04 stuck with it.
09:21:05 It's not easy to recommend change.
09:21:07 People don't really like change that much, but our
09:21:11 employees have done a good job of bringing about change
09:21:14 within their own organization.
09:21:18 You know what I like to talk about most, though, are
09:21:21 investments, because I am a big believer in progress
09:21:25 and making constant investment in the community.
09:21:29 In fact, I think when you are given the privilege of
09:21:32 serving, it is your obligation to make investments that
09:21:36 better future generations.
09:21:38 And so I have been big on making investments and on
09:21:42 capital projects.
09:21:43 And even during the recession, our city, as you know,
09:21:47 as you maneuver around some streets and the barricades,
09:21:50 we have been doing a lot of infrastructure work.
09:21:53 My last chart is the investing in neighborhoods chart.
09:21:57 We started the investing in neighborhoods program in
09:22:03 Investing in neighborhoods is all about sidewalks,
09:22:05 street maintenance, you know, resurfacing, signage and
09:22:08 traffic calming.
09:22:10 When I became mayor in 2003, I asked how much did the
09:22:14 city spend on those four items?
09:22:17 And the answer came back $2.6 million.
09:22:20 I thought that was an astoundingly low amount of money
09:22:24 for the nation's 54th largest city to spend, and it
09:22:30 was no wonder when I ran for mayor in '03 I heard so
09:22:33 many complaints about street maintenance and lack of
09:22:36 sidewalks and so forth.
09:22:38 And so we started investing in neighborhoods program,
09:22:42 and thanks to your support, every year it's grown.
09:22:46 And my own goal has been to have it reach the $10
09:22:49 million mark in '11 so that when I pass it on to the
09:22:53 next mayor, $10 million would be the amount that that
09:22:56 next mayor would hopefully think is a good starting
09:23:00 And we have reached that goal.
09:23:02 This year's budget includes $10 million for investing
09:23:06 in neighborhoods, an amount that I think is reasonable
09:23:09 for the nation's 54th largest city, because if you
09:23:13 don't maintain the very basic neighborhood elements,
09:23:17 you just can't cannot brag about having a quality city.
09:23:21 And we need to always keep our eye on quality in the
09:23:26 City of Tampa.
09:23:28 Now, I know downtown has been hard too maneuver in the
09:23:32 past many months, but my goodness, we have really
09:23:35 embarked on a lot of water-type replacement.
09:23:39 We call it the UCAP project, and it has been long
09:23:44 Probably decades long overdue that we have taken a
09:23:47 systematic look at the need to replace aged water pipes
09:23:53 in major water mains, and we have been doing it.
09:23:57 We also have a major stormwater project in Channelside.
09:24:01 The 22nd street project in East Tampa is on the drawing
09:24:05 boards for '11, in '12 and that's going to be a great,
09:24:12 great project for East Tampa.
09:24:13 I see that van best is here, and I have to tell that
09:24:17 you Tuesday night in East Tampa was probably the most
09:24:21 gratifying day that I have had in 25 years of public
09:24:27 I went to East Tampa to give a state of my annual state
09:24:31 of East Tampa address, and the community came out just
09:24:36 to really say thank you.
09:24:38 And why is it so gratifying to me is that it was so
09:24:41 heartfelt from the community that they truly felt that
09:24:44 after eight years their community had improved.
09:24:49 And the outpouring of thanks to the city as a whole.
09:24:54 I tell you, I have never had another day like that in
09:24:57 25 years, because I feel that collectively we have all
09:25:01 made a tangible difference in a neighborhood that has
09:25:04 long needed attention and investment.
09:25:06 And it is my fervent hope that the next mayor and City
09:25:10 Council will see fit to continue with East Tampa as a
09:25:13 top priority.
09:25:15 It is a vibrant part of our central city and it
09:25:19 deserves attention and reinvestment.
09:25:22 And I feel good about what we have been able to
09:25:24 accomplish together.
09:25:25 The CRA board, the council, and the administration, and
09:25:29 the community.
09:25:29 What great partners they have been.
09:25:33 40th Street.
09:25:35 The staff has promised me that 40th Street will be done
09:25:39 before March 31st.
09:25:42 I sure hope that that is the case.
09:25:46 40th Street has been close to my heart.
09:25:49 And Chairman Scott, I thank you very much for your help
09:25:51 on that.
09:25:52 You know how I feel about that when you were on the
09:25:54 county commission.
09:25:54 You constantly came through.
09:25:56 And, council, you have supported 40th Street through
09:25:59 thick and thin.
09:25:59 Sometimes we open bids during the high water mark when
09:26:02 bids were at their highest and we still went forward,
09:26:05 and fortunately we were able to open bids when
09:26:07 construction has been considerably cheaper, and so it
09:26:11 all averaged out.
09:26:12 But it's been over $100 million project.
09:26:15 You know what?
09:26:16 People say transit is expensive.
09:26:19 Widening roads is expensive.
09:26:20 $100 million for one road.
09:26:24 But if it a project that's about 40 years overdue.
09:26:27 And it just hasn't been addressed.
09:26:30 And I tell you, I can't wait to cut that ribbon on that
09:26:33 last segment.
09:26:34 And that is just going to be very gratifying to be able
09:26:38 to open 40th Street to the public and to take care of a
09:26:42 long-needed road project that just has not served that
09:26:46 community well at all.
09:26:47 It's been a traffic hazard.
09:26:49 And now it going to be a thing of beauty to the extent
09:26:52 that roads are a thing of beauty.
09:26:56 I always have to talk about our astounding drop in the
09:26:59 crime rate, because we have the best police department
09:27:02 in the country.
09:27:06 In seven years, a 56% decrease in crimes, and when the
09:27:11 final figures are given in January of '11 for the
09:27:15 8th year, I think it going to be even better.
09:27:18 There is no other city.
09:27:20 You know, you stop and think about it.
09:27:22 You are the luckiest City Council in the country, to be
09:27:27 able to be a City Council of the city that has had such
09:27:31 a dramatic decrease in crime and have such an
09:27:35 outstanding police force.
09:27:36 I tell you it been the high point of my time as mayor
09:27:39 to be able to work with the men and women of our police
09:27:43 This budget, as you know, we have added firefighters.
09:27:46 Even during the great recession we have added
09:27:49 Now, we made use of federal grants.
09:27:51 We made use of the federal grant to pay for fire
09:27:53 station 22 in north Tampa, and also to initially add
09:27:57 the firefighters.
09:27:58 We are also going to relocate fire stations 11 and 19.
09:28:02 So the fire department has actually received more money
09:28:05 over the past couple of years.
09:28:06 So even in this time of -- we say why go to the
09:28:12 graduation ceremonies of firefighters.
09:28:15 We keep adding firefighters and we need to because you
09:28:18 see the population growth, and also in New Tampa, they
09:28:20 have some real requirements up there because of traffic
09:28:23 congestion that require an additional station.
09:28:28 We are building the Spring Hill community rec center in
09:28:32 Sulphur Springs, and that has been something that's
09:28:34 been on the drawing board since my second year as
09:28:36 mayor, and no on the community needs a rec center more
09:28:41 than Sulphur Springs.
09:28:42 And it will make me very proud when that opens.
09:28:47 As I mentioned we have an $8 million investment in
09:28:49 something that you don't cut a ribbon about, but it
09:28:52 awfully important, and I know it's something all of you
09:28:54 have asked for over the years.
09:28:57 Modernization of our computer system and our financial
09:28:59 system, and this hopefully will be a successful
09:29:03 city-county partnership.
09:29:05 Everyone always says, why doesn't city and county work
09:29:07 We are working together on this.
09:29:09 We are jointly putting out an RFP.
09:29:11 We hope to jointly hire a firm that will handle the
09:29:18 modernization of our computer system, our information
09:29:21 management system.
09:29:24 The next mayor and council will benefit from this
09:29:28 This is something for the future.
09:29:29 We have to make this.
09:29:30 We have a very antiquated computer system.
09:29:33 Many of you have often talked about the financials and
09:29:37 the difficulty in understanding the information.
09:29:40 It because of the very, very old system.
09:29:42 And it difficult to use.
09:29:45 So -- I've never seen that before.
09:29:51 If you are mayor long enough you see about everything.
09:29:55 As long as you weren't throwing it at me it's okay.
09:29:58 [ Laughter ]
09:30:03 Oh, boy.
09:30:11 You're kind of disruptive.
09:30:14 [ Laughter ]
09:30:16 That's all right.
09:30:21 You're interrupting my flow.
09:30:24 I was just getting revved up.
09:30:31 Because I want to talk about downtown.
09:30:33 We have a lot of groups from out of state.
09:30:35 I just greeted a group of 700 yesterday.
09:30:38 They are amazed that our city has done so much during
09:30:42 the recession, because a lot of cities across America
09:30:46 have kind of folded up their tent.
09:30:48 We have not.
09:30:52 I talk about how the Tampa Bay history center has been
09:30:55 built, Cotanchobee park, hero oh's plaza, the
09:31:00 riverwalk, the riverwalk plaza at Channelside.
09:31:06 I talk about the opening in February of our Curtis
09:31:08 Hixon waterfront park, which is a thing of beauty.
09:31:11 I go down there.
09:31:12 I just sit there and watch people in the fountains and
09:31:15 playing and having such a good time, I can scarcely
09:31:18 believe how transformative that park has been.
09:31:21 I just can't believe it.
09:31:24 And I look at the New Tampa Museum of Art that opened
09:31:27 during the recession, and September the 25th, the
09:31:30 new children's museum is opening.
09:31:33 Can you name another city really that has this much
09:31:35 going on?
09:31:37 And we did it all during the recession?
09:31:40 It is so important that we make investments for the
09:31:43 long-term, and when times are tough, you don't stop.
09:31:47 You take advantage of the lower construction costs.
09:31:51 That's what you do.
09:31:54 I look at our downtown and what it used to be and what
09:31:56 it is today and we actually have people living downtown
09:31:59 now and going to restaurants and walking to the parks,
09:32:01 and where all these dogs have appeared from I don't
09:32:06 I interview people at the dog parks.
09:32:08 Where did you come from?
09:32:09 They live here.
09:32:10 They live in downtown.
09:32:13 They are downtown resident and proud of it.
09:32:17 It really makes me happy to see that.
09:32:19 Because we have always wanted downtown to be
09:32:22 everybody's neighborhood, but we have also wanted it to
09:32:24 be somebody's neighborhood in particular.
09:32:27 We wanted people to live down here.
09:32:30 And it's finally come to fruition.
09:32:34 And we have a lot of brighter days ahead.
09:32:37 We can look forward in the next and the next
09:32:40 administration can look forward to Encore.
09:32:42 $28 million of infrastructure that's being built right
09:32:45 now, and, you know, we made a promise to the resident
09:32:51 of Central Park Village, if they wanted to return to
09:32:54 their new homes, they could.
09:32:56 And that promise is going to be fulfilled one day.
09:33:00 And that is going to be a great residential development
09:33:04 that is going to be the bridge between downtown and
09:33:07 Ybor City.
09:33:09 And then look at the CAMLs project that you all have
09:33:13 approved recently.
09:33:14 The city is selling, the University of South Florida an
09:33:17 entire city block.
09:33:21 Some people might say, well, okay.
09:33:23 I'm not sure what that means.
09:33:24 Well, in the short term it means that they are going to
09:33:27 put their CAMLS medical project there which is going to
09:33:32 bring in doctors from all over the country, all over
09:33:34 the world.
09:33:35 So in the long-term that city block is entitled for
09:33:39 $500,000 square feet.
09:33:41 And so what we are saying to the university is, we want
09:33:45 you to be our partner in downtown Tampa.
09:33:50 And with an entitlement of 500,000 square feet, and
09:33:53 with the foundation of the CAMLS project, can you
09:33:57 imagine what kind of investments they can make in our
09:33:59 downtown in the future?
09:33:59 That is a great, great location.
09:34:05 It been a cloudy time.
09:34:06 There is no doubt about that.
09:34:10 For anyone who has lost their job, it's been about as
09:34:14 bleak as you can get.
09:34:16 We have gotten through this -- well, some will say we
09:34:20 are still in the great recession, but it has been a
09:34:24 very, very difficult time.
09:34:29 But for us to think that the clouds are always going to
09:34:32 stay, that is not the case.
09:34:37 I can't live that way.
09:34:39 I can't think that way.
09:34:42 That the future is not a cloudy future, particularly
09:34:44 when you are the mayor of the City of Tampa.
09:34:46 How can you possibly think that way?
09:34:49 When all I see are the community assets that we have,
09:34:53 and the future growth and development possibilities.
09:34:57 When I see high-speed rail coming right into our
09:35:02 downtown core.
09:35:04 Can you imagine?
09:35:05 I mean, when we are planning for a high-speed rail
09:35:09 station on the northern part of our downtown, the one
09:35:11 part of our downtown that really hasn't been
09:35:13 redeveloped, can you imagine what that station is going
09:35:16 to look like in the future?
09:35:18 The third floor will be high-speed rail.
09:35:21 The second floor light rail.
09:35:22 The ground floor, the better bus system that takes you
09:35:26 here, there and everywhere.
09:35:28 A huge multimodal transportation center right in our
09:35:32 It will complete our downtown.
09:35:36 Can you imagine what a benefit this will be to the
09:35:38 Encore resident?
09:35:40 People in Ybor, the residents who decided to be
09:35:43 pioneers and live in downtown Tampa.
09:35:47 This referendum on November 2nd, how important it
09:35:50 is that we make this investment in our transportation
09:35:52 future, because it's the only thing we don't have.
09:35:55 I talk about the assets of this city and this community
09:35:57 and this region, and there's only one thing we don't
09:35:59 have and that's a modern transit system, and we are
09:36:02 going to fix it.
09:36:03 And so while we have gone through a cloudy, cloudy
09:36:06 time, I see nothing but clear skies in the future.
09:36:12 I see the bright sun in the future.
09:36:16 I so believe in Tampa and its future.
09:36:20 I see sunny days.
09:36:24 There's no doubt about it.
09:36:25 And in March, April, when I turn this city government
09:36:28 over to my successor, it will be a city government that
09:36:35 serves the people well, that provides excellence in its
09:36:39 core services, that has healthy financial reserves, a
09:36:43 strong bond rating, and is totally prepared for the
09:36:46 future, and hopefully we will be working on building
09:36:51 this transit system that is so critical to our future.
09:36:56 I believe the future is so very, very bright.
09:36:59 And I will always be proud that during this eight-year
09:37:03 period, we collectively will be part of making that
09:37:09 future bright, in laying the foundation for future
09:37:11 progress and growth.
09:37:14 What a pleasure it been to work with you.
09:37:16 We still have eight months together as a partnership.
09:37:19 And this is my budget that I present with hopes and
09:37:24 dreams and aspirations for a very, very bright future
09:37:31 that I know is Tampa's future.
09:37:33 No doubt.
09:37:35 Thank you, Mr. Chairman.
09:37:36 And I am very happy to answer any questions that any of
09:37:40 you might have.
09:37:42 >>THOMAS SCOTT: Thank you, mayor.
09:37:43 Any questions?
09:37:44 Any comments by council?
09:37:45 >>MARY MULHERN: Thank you.
09:37:49 And you have done a fantastic job with the budget.
09:37:52 And I know you are proud.
09:37:54 You have your sunny outlook and you are proud of
09:37:57 But I think the investment you made in the unglamorous
09:38:03 water pipe replacement.
09:38:06 All of those infrastructure things, are just a great
09:38:09 And you have done a great job.
09:38:10 >> Thank you very much.
09:38:15 >>THOMAS SCOTT: Mayor, let me just say thank you for,
09:38:18 I guess, eight years of your leadership as mayor, but
09:38:22 going back we had the privilege of working over at the
09:38:24 county and so forth.
09:38:25 But more recently, I think you have done a tremendous
09:38:28 job as mayor of the city.
09:38:33 You faced many challenges during a tough time.
09:38:38 And it takes a good leader to rise to oh those
09:38:44 And you stood at the plate, made tough decisions.
09:38:51 You worked with City Council.
09:38:53 You have been able to make the city a better place.
09:38:59 We thank you.
09:39:01 This council thanks you for the opportunity to be able
09:39:05 to work with you the past eight years.
09:39:09 I think this whole community has to look back and see
09:39:11 the investments that have been made in the community
09:39:14 that were not there before, and the numbers that are
09:39:17 there now.
09:39:18 I think East Tampa is very much grateful.
09:39:20 I think that was shown on Tuesday evening for the
09:39:25 investment that's been made.
09:39:28 40th Street, as you know, is a crown jewel.
09:39:32 We all have to be really pleased with what happened
09:39:35 And then Central Park.
09:39:38 While we had some setbacks, I think that we are moving
09:39:47 I think that you are a visionary.
09:39:52 And the future for the City of Tampa is bright.
09:39:54 It takes real leadership to be a real visionary, and in
09:39:57 tough times, to give a community hope.
09:39:59 You have done that.
09:40:00 You have done a good job.
09:40:02 And this city is very much, I guess, indebted to your
09:40:08 And I thank you for your leadership over the past eight
09:40:11 I think we all say here today, you put together a great
09:40:17 It been my privilege over the past four years to work
09:40:20 with some great people.
09:40:25 And you have been able to come -- they have been able
09:40:29 to come and meet with me and answer my questions.
09:40:31 I thank you for that.
09:40:32 I think there's a lot to say.
09:40:35 And you and city staff in working with City Council.
09:40:39 Thank you again.
09:40:40 And this city again has been not only fortunate but we
09:40:42 have been blessed to have a good mayor, a mayor of
09:40:47 integrity, keeps her word, said to the firefighters, we
09:40:54 will restore, just give us opportunity.
09:40:56 That says a lot.
09:41:00 The word is all that we have as elected officials, high
09:41:04 And you have maintained that.
09:41:08 Thank you.
09:41:10 Thank you very much.
09:41:11 >>Pam Iorio: Thank you, Mr. Chairman, for those kind
09:41:13 >>GWEN MILLER: I have to say thank you, too.
09:41:16 You know, you can lay out the budget that everybody
09:41:18 understands it.
09:41:19 I know the citizens will call you and thank you.
09:41:24 Because you didn't leave anything out.
09:41:26 If they didn't understand, I don't know why.
09:41:27 You made it clear and you told it how it was and I
09:41:32 appreciate that.
09:41:33 And eight years ago I gave you the challenge of East
09:41:37 You took on that challenge and I really like it.
09:41:39 Thank you for that, because I always told you East
09:41:41 Tampa was left out.
09:41:43 Nothing came in.
09:41:44 Everything was going out.
09:41:45 But now you are putting everything into East Tampa.
09:41:47 And it's going to be just like all the other parts of
09:41:50 the city when you leave, and I want to say thank you
09:41:53 for that.
09:41:53 And I know you are going to miss us and we are going to
09:41:56 miss you.
09:41:56 But we enjoyed those years you had with us.
09:42:02 I really appreciate being here on council during your
09:42:05 years, and I know that you are going to have great
09:42:07 things ahead of you.
09:42:08 And I know, Bonnie, you really laid it out.
09:42:15 >> Thank you.
09:42:19 I don't know how to say it.
09:42:21 You just made it out so well and all the people saying
09:42:25 this is how the budget is done.
09:42:27 But it by your example so thank you again.
09:42:31 >> Thank you very much.
09:42:32 It's always great to work with you.
09:42:33 >>JOSEPH P. CAETANO: Mayor, I want to thank you.
09:42:36 You have done a great job.
09:42:37 I know every time I called your staff looking for
09:42:39 something or asking a question, I always get an answer.
09:42:43 And off great staff.
09:42:45 And that's important.
09:42:46 And everything that the chairman said is true.
09:42:50 And I really appreciate you.
09:42:53 Thank you very much.
09:42:53 >>Pam Iorio: Thank you very much.
09:42:57 It's been a pleasure working with all of you.
09:43:01 >>CURTIS STOKES: I certainly had the opportunity,
09:43:02 mayor, to work with you on both sides, here in City
09:43:04 Council, as a lay person in the community, and I want
09:43:07 to echo the comments of my colleagues that you have
09:43:09 done a great job.
09:43:10 You have been a great friend over the years working
09:43:12 with us in NAACP and having the opportunity to work
09:43:15 with you here on the dais.
09:43:19 You have done a great job and I know the citizens of
09:43:21 Tampa, we all appreciate what you have done for us in
09:43:26 Tampa especially with the fire station.
09:43:29 >>Pam Iorio: Thank you very much.
09:43:30 >>THOMAS SCOTT: Councilwoman Capin.
09:43:36 >>YVONNE CAPIN: Mayor, it's been a pleasure working
09:43:38 with you for the past three weeks.
09:43:39 [ Laughter ]
09:43:41 But as a citizen of Tampa, I appreciate your
09:43:48 leadership, and all that you have done for the
09:43:50 neighborhoods, and it shows, and you are leaving it
09:43:55 better than you found it.
09:43:57 Thank you.
09:43:57 >>Pam Iorio: Thank you very much.
09:44:00 Thanks very much for your very generous and kind
09:44:09 >>BONNIE WISE: Thank you.
09:44:10 And the mayor pretty much said it all for us.
09:44:15 But as the mayor said, since I am the chart meister we
09:44:19 are going to go through all of that.
09:44:21 It is a pleasure to be before you today.
09:44:22 Last year I began my presentation with every budget has
09:44:26 its own set of challenges, and this year we are
09:44:29 operating in a difficult economic environment.
09:44:31 And who knew that I was going to be repeating though
09:44:35 words and the more difficult economic environment.
09:44:38 As the mayor mentioned, despite all those adversities,
09:44:41 we have before you a balanced budget that meets the
09:44:45 principles of this administration and invest in our
09:44:48 We have had many meetings over the last year, many last
09:44:53 few months especially, and meetings with the mayor,
09:44:55 meetings with you, council members, very various
09:44:58 workshops, your citizens budget advisory committee has
09:45:01 had several meetings and has invited various staff to
09:45:04 attend those meetings.
09:45:05 As a reminder, we have two public hearings in
09:45:08 They are on September 14th and September 28th.
09:45:12 This year, we have our budget documents and our budget
09:45:17 is -- you each have copies in your offices.
09:45:20 The budget will be online as well.
09:45:23 We have the operating and capital budget in one volume
09:45:27 and the budget supplement in a separate volume for you.
09:45:32 You have all those copies.
09:45:37 There are many people that I must thank to get me to
09:45:39 where we are today on this budget.
09:45:41 Of course, the mayor has provided eight years of
09:45:44 leadership for me, and guidance, and the stewardship
09:45:50 that is so important especially in these economic
09:45:52 I appreciate you, council, your input, your questions,
09:45:55 and your commitment to serving the public.
09:45:58 We have had a year of great change in our departments
09:46:02 and our organizations, some of which I will discuss
09:46:05 later, various consolidation efforts.
09:46:09 And the administrators, the department heads could not
09:46:11 have been more professional, more enthusiastic in
09:46:16 serving the public and adjusting their budgets
09:46:20 We have had a fiscal consolidation in my office.
09:46:25 In fact, our budget office has gone through a
09:46:27 consolidation just recently.
09:46:30 We have our budget office -- his wife had a baby a
09:46:37 month ago, and we had staff in our office now.
09:46:41 Some staff has been there for years.
09:46:43 Staff who has been part of various other departments in
09:46:46 the city, and we have staff that has come from various
09:46:50 jurisdictions that all became part of this budget and
09:46:53 all of them have touched this budget, and worked on it,
09:46:55 and made a contribution.
09:46:57 And I'm very proud of our team.
09:46:59 So, once again, the theme of this year's budget is
09:47:04 sensible solutions in tough economic times, a theme
09:47:06 that is definitely worth repeating.
09:47:09 And with that we will go on to the fiscal year '11
09:47:23 We have extra copies for anyone in the audience.
09:47:26 The mayor talked about the key principles, protecting
09:47:29 the key public services, parks and rec, public safety
09:47:34 We have an ongoing review of our business practices.
09:47:37 That include our efficiency and effectiveness task
09:47:40 force, various consolidations.
09:47:43 We are to build infrastructure that will improve the
09:47:46 community in the long-term.
09:47:47 The mayor talked a lot about that.
09:47:48 We have improvements in this budget that cover all
09:47:51 areas -- water, wastewater, solid waste, our general
09:47:54 fa -- facilities, transportation.
09:47:58 We have preserved the reserve and remain financially
09:48:01 The mayor showed you that we expect that we would have
09:48:03 over 20% fund balances as we end this budget.
09:48:08 We have maintained our AA bond ratings and we have
09:48:11 strategically shrunk the size of city government.
09:48:15 This is our budget and it a comparison to last year.
09:48:18 As the mayor mentioned, $787 million, about a 4.4%
09:48:25 increase over last year.
09:48:26 As you go through the various categories you can really
09:48:28 see where there have been some increases, and you can
09:48:32 see main increase in enterprise funds related to
09:48:36 You can see that we have had a decrease in bond funds
09:48:41 available and a slight increase in the general fund
09:48:43 utility tax.
09:48:44 Also related to capital.
09:48:47 As I talk about the capital section, we are going to go
09:48:50 more into that.
09:48:51 But we have improvements to fire stations.
09:48:56 Facility, repair and renovation, $5 million.
09:48:59 The ERP project, with Hillsborough County, $8 million.
09:49:02 And so big and small, we have various capital
09:49:06 investments in our community.
09:49:07 The New Tampa Boulevard bridge, $60 million.
09:49:10 Many of these projects have been from moneys we have
09:49:14 accumulated over time that have -- this is going to be
09:49:18 the year to spend those moneys.
09:49:20 The outlook of the city and Florida is still mixed.
09:49:27 The expert expect that the recovery will be slow, and
09:49:32 we don't expect major improvements in our property
09:49:34 values anytime soon.
09:49:37 Unemployment for the City of Tampa in our area is
09:49:39 higher than the State of Florida, and the State of
09:49:41 Florida is higher than the national average.
09:49:43 Which is really atypical from years in the past.
09:49:48 Moody's predict there will still be decline in home
09:49:52 prices and as our population grows, it's increasing
09:49:57 The mayor referred to our budget shortfalls over the
09:50:00 past few years.
09:50:01 This year and as we discussed at our various workshops,
09:50:05 we have this year a $32 million shortfall of which we
09:50:11 will present your balanced budget using 19.5 million
09:50:14 from moneys we saved throughout fiscal year '10 and $12
09:50:19 million from fund balance.
09:50:20 How did we do that?
09:50:22 How did we save these moneys?
09:50:23 We asked all the departments to roll back their
09:50:25 operating budgets.
09:50:27 This year that we are in, fiscal year '10, even once we
09:50:32 adopted the budget we said we know that you have those
09:50:34 certain operating moneys.
09:50:35 We need you to not then specimen.
09:50:37 We need you to save them and we need to you set those
09:50:40 moneys aside for fiscal year 11.
09:50:43 Then for fiscal year '11 we asked the departments to
09:50:46 reduce those even further 3%.
09:50:48 We have eliminated 146 positions, and we are using the
09:50:51 fund balance as I mentioned.
09:50:55 We had various EETF cost savings efforts.
09:51:01 We have had many consolidations in the in the city.
09:51:04 As you look through your budget you will see the number
09:51:06 of personnel have actually increased.
09:51:08 The technology and innovation department, revenue and
09:51:11 finance, neighborhood services has had consolidation
09:51:15 And we have moved stormwater into public works, answer
09:51:20 transportation out of public works.
09:51:21 All those things are impacted.
09:51:23 But in the end, all those consolidation efforts save in
09:51:27 excess of $2 million.
09:51:31 The reserves are important.
09:51:32 The mayor talked about this already.
09:51:35 We have things that come up throughout the year.
09:51:37 We know that our pension is increasing.
09:51:39 We sometimes have revenues that come in less than we
09:51:43 had budgeted.
09:51:43 For example, our communications services tax are
09:51:47 expected to be about $2 million less this year than we
09:51:50 had budgeted, so things happen and we need to be
09:51:53 prepared for them to happen.
09:51:54 We need to maintain our fund balances.
09:51:57 The GFOA, the government financial officers association
09:52:01 has guidelines, and for bond rating purposes it is
09:52:04 especially important.
09:52:05 And of course the unknowns, any type of weather issues
09:52:10 that may occur to our area.
09:52:11 This is an excerpt from the moody's report.
09:52:14 Those of you know that I came from an investment
09:52:17 banking world, and so this bond part of it is very
09:52:21 important to me.
09:52:22 And maintaining this AA rating is critical.
09:52:25 And what they said in June of '09, based on the city's
09:52:30 currently favorable financial position, regionally
09:52:33 important economic based and manageable debt load they
09:52:37 recognize that the City of Tampa is in that AA
09:52:39 category, just shy of that AA is the next one.
09:52:44 That's pronounced AA1 for non-bond people.
09:52:49 These are our other bond ratings.
09:52:51 So the AA1 is what they call the issue rating that's
09:52:55 just general City of Tampa creditworthiness.
09:52:58 And then our various other bonds have their own
09:53:01 separate ratings depending on that particular revenue
09:53:05 And you can see there that our water and sewer bonds,
09:53:09 our occupational license bonds, our sales tax bonds,
09:53:12 all maintain very high ratings
09:53:14 The solid waste system, the lowest rating of all, still
09:53:20 in that A category and that's what allowed to us do
09:53:23 that bond refunding.
09:53:24 This is the chart that you see that the mayor showed as
09:53:26 well that shows how over time we had consciously built
09:53:32 up our reserves, getting ready, saving money in those
09:53:36 better years, and then having to have those moneys
09:53:39 available for use in the latter more economically
09:53:43 challenging years.
09:53:46 These are our major revenues.
09:53:48 You have seen much of this already.
09:53:51 We have gone through our budget workshops.
09:53:53 But 436 million of the general fund utility tax are
09:53:58 general governmental type funds.
09:54:00 And you can see there that just about 28% comes from
09:54:05 property taxes.
09:54:07 Our largest single source.
09:54:09 And you can see there that that number, if you might
09:54:14 recall from prior years, that the percentage actually
09:54:18 used to be a little bit higher but as our property
09:54:20 taxes are declining, that percentage is declining.
09:54:22 That number is about $16 million lower than it was the
09:54:26 prior year, and our community investment tax dollars
09:54:30 that has been declining as well.
09:54:33 You will notice if you compare from last year our
09:54:36 transfers of fund balance is up from prior years, and
09:54:39 that is because this is where our enterprise funds are
09:54:42 paying for some of those people who have moved into
09:54:45 those -- for those consolidation efforts.
09:54:48 For example, if we had some revenue and some
09:54:51 finance-type people that used to work in wastewater who
09:54:54 are now part of my department, for more operating
09:54:57 efficiencies, the wastewater department still would pay
09:54:59 for those -- those personnel.
09:55:03 We have done a great job in fiscal year '10 getting
09:55:06 ready for fiscal year '11.
09:55:09 When we started fiscal year '10 we thought we were
09:55:13 going to have to use $31 million of fund balance to get
09:55:16 us through the year.
09:55:17 And in fact because our staff cut and cut and cut, we
09:55:19 are really only going to have to use about 10 million.
09:55:22 And so as we get into fiscal year '11, our
09:55:26 $31.8 million shortfall, we are going to fund that with
09:55:30 our savings account, and from our fund balance.
09:55:36 This is what's happened with the taxable property
09:55:40 Once again, negative 12.5% decline in our property
09:55:50 This is a chart that shows our net new construction,
09:55:53 down to $379 million.
09:55:57 You can really see that huge drop-off.
09:55:59 I have statistics that go back to fiscal year '03, and
09:56:03 even going back that far, we haven't had a year that's
09:56:06 quite this low.
09:56:07 So we haven't had much investment, new construction in
09:56:10 our city since then.
09:56:15 These are our property taxes, about 11.5% decline.
09:56:20 You can see there's the budget for fiscal year '10,
09:56:25 We do anticipate receiving just over 139 million in
09:56:28 fiscal year '10.
09:56:30 As our property values city-wide have declined, the
09:56:33 property values in the CRA -- and I know you have a CRA
09:56:37 meeting after this -- have declined incredibly.
09:56:41 And so in fiscal year '10, the city paid $12.5 million
09:56:46 into the CRA from the property taxes that we took in
09:56:48 and we turned it over to the various CRAs, and this
09:56:55 year that number is going to go down to $8.8 million, a
09:56:57 29% reduction, and that is causing a major problems
09:57:04 for CRAs to help them do what they need to do in
09:57:07 their communities.
09:57:09 Other taxing authorities, of course, pay into Tampa
09:57:11 CRAs, and so you can see there that about 47% of what
09:57:15 the CRAs get come from the City of Tampa, the rest
09:57:19 comes from various taxing authorities predominantly the
09:57:24 You have heard talk in on the jurisdictions talk about
09:57:27 what is the rollback rate.
09:57:30 The rollback millage rate is the rate that would
09:57:32 produce the same amount of property tax revenue as the
09:57:35 prior year.
09:57:36 For years, not in the most recent years, the rollback
09:57:39 rate -- and you all say it as part of your budget
09:57:42 ordinance when you adopt the millage rate each year in
09:57:44 the public hearings -- is the rate -- it's typically
09:57:48 when property values are increasing the rollback rate
09:57:51 goes back.
09:57:51 But in a year when the values are declining, the
09:57:54 rollback rate is actually an increase to the millage
09:57:59 And so you may see in the newspaper that many
09:58:03 jurisdictions are going to their rollback rate.
09:58:05 They are actually raising their millage rate to try to
09:58:08 capture that extra property tax revenue.
09:58:12 And we are not doing that.
09:58:13 We are maintaining our same millage rate that we have
09:58:21 So you can see that our millage rate of 5.7326 mills is
09:58:23 going to remain.
09:58:25 And if we were to go up to that millage rate, that big
09:58:29 bar in red, we would have to go up as far as 6.49
09:58:33 That would be a 13% increase in the millage rate, and
09:58:35 we are not doing that.
09:58:38 What does that mean to the average homeowner?
09:58:41 The average single-family residence with an assessed
09:58:45 value of $157,000 with a $50,000 homestead exemption
09:58:49 would have a taxable value of about $107,000.
09:58:53 And with our millage rates that we are proposing, they
09:58:55 would pay to the city about $613 a year, and at that
09:59:00 rollback rate would have gone up to 695 and $82
09:59:07 Sometimes people get confused when they pay their taxes
09:59:10 that all of it goes to the City of Tampa.
09:59:12 In fact only about 25% goes to the City of Tampa.
09:59:16 And so you can see there how much goes to the school
09:59:20 board and Hillsborough County and various on the taxing
09:59:23 But of that amount, of the total millage, 21.4 mills or
09:59:29 so, 24.67 goes directly to the City of Tampa.
09:59:34 We have had other revenue changes over the past year.
09:59:39 This is the sales tax revenue.
09:59:42 And you can see there that we are hoping that in fiscal
09:59:46 year '11 we are going to have a slight increase from
09:59:49 what we have had in the past few years.
09:59:50 During this fiscal year, we were really seeing sales
09:59:55 tax declines.
09:59:56 But the last few months, we are starting to see some
09:59:58 hope of increase.
10:00:00 And so, therefore, we have a budget of 24.8 million.
10:00:03 The peak in sales tax was in fiscal year 06.
10:00:26 Franchise fees have been relatively stable over time.
10:00:29 And communication services tax has actually been
10:00:31 declining a little bit over time.
10:00:36 And there was a one-time audit adjustment of 1.7
10:00:40 million which boosted our revenues.
10:00:41 But as people are canceling their land lines on their
10:00:45 telephones, we are seeing this revenue source go down
10:00:51 each year.
10:00:53 Utility taxes is one area where we are seeing an
10:00:57 And this is coming from electric utility taxes as well
10:01:00 as water utility taxes.
10:01:05 I am going to talk now about the nature of extend
10:01:08 You heard us talk before about half the money in this
10:01:12 fund goes to public safety.
10:01:13 49% or so.
10:01:14 And this chart is similar to last year, but there are a
10:01:18 few things I wanted to highlight for you.
10:01:20 Public safety last year also was 49%, but we were at
10:01:26 $208 million so we are spending more on public safety
10:01:28 this year.
10:01:29 The big difference is really in the CIP, C.I.T.
10:01:33 category, because that is where we have shown -- where
10:01:36 we are showing the investments in our infrastructure in
10:01:39 the capital projects.
10:01:40 So last year, that number was only 50 million and you
10:01:43 could see this year we are at $67 million.
10:01:47 Central government I will just point out at 9% of the
10:01:50 budget, last year was at 11%.
10:01:54 So that is an area that we are declining.
10:01:58 We have spoken about our efficiency and effectiveness
10:02:01 task force, and this shows the savings that have been
10:02:04 generated through this program.
10:02:07 And as the mayor mentioned, staff from the city
10:02:13 participants in this program really at all levels.
10:02:15 So from the manager levels to the people who actually
10:02:18 work and do the job and ideas and know how to implement
10:02:23 these programs, so on it about 11.7 million in savings,
10:02:28 a one-time savings of $4 million.
10:02:30 We have done something called how we pay our vendors,
10:02:35 that saved about $300,000.
10:02:37 We had a mowing contract where we consolidated the
10:02:42 wastewater, building maintenance.
10:02:44 That saved almost $1 million.
10:02:46 You have heard about the garbage pickup from, you know,
10:02:49 after a holiday.
10:02:50 That saved a half million dollars.
10:02:53 We standardized our collection agency and have a new
10:02:57 fee on that.
10:02:57 That saves $110,000.
10:02:59 So ideas begin small have all contributed and have come
10:03:03 from your staff.
10:03:05 The property taxes and the city, 129.1 million and
10:03:13 don't even cover the police expenses and police
10:03:17 capital, their vehicles and some renovations for the
10:03:20 police facility downtown.
10:03:21 You can see that's 138.
10:03:24 When you add on the fire expenses, you can see those go
10:03:29 up to 206 million.
10:03:34 So it has been -- when I first came to the city this is
10:03:38 something that I really noticed that the property taxes
10:03:40 themselves, and that's what people say, I paid property
10:03:44 taxes and you expect quality public service, and we of
10:03:46 course get it here.
10:03:49 The personnel declining over time.
10:03:52 You can see 4,416 positions.
10:03:57 You may notice that the general fund increased a little
10:04:00 bit from last year, and that is partly due to the
10:04:04 So it's the movement of personnel from the yellow area
10:04:07 to the green area.
10:04:07 >> The largest department single-family police, and
10:04:17 next fire rescue with 669.
10:04:23 This chart is a little busy but as the population is
10:04:26 increasing in the pinkish color, that is our number of
10:04:39 personnel are declining since fiscal year '08.
10:04:42 If you look at a ratio of employees to 1,000 residents,
10:04:45 our highest for 2007 -- and we had 15.4 employees per
10:04:49 1,000 residents, and now we are at 13 employees per
10:04:53 1,000 residents.
10:04:55 The mayor referred to the position elimination.
10:04:58 This is the positions.
10:05:01 We have had layoffs and vacancies over the past few
10:05:04 We have added a few key positions.
10:05:07 And you can see there is really an emphasis on trying
10:05:10 to eliminate positions that are vacant as much as
10:05:16 This chart as well is the one that we were showing you
10:05:20 earlier regarding the salaries and wages and the
10:05:23 You can see there that the maroon area of benefits
10:05:26 increasing over time, and the blue really trying to
10:05:32 remain relatively stable.
10:05:34 This chart is slightly different than you will see in
10:05:36 the mayor's little book, because this is an updated
10:05:40 This is our pension history. You can see there fire
10:05:51 and police in the green, and the general employees in
10:05:51 the yellow up to that $40.6 million city contribution.
10:05:55 This shows you the police officers, the sworn police
10:05:58 officers per 1,000 of residents and you can see we are
10:06:02 at 2.87.
10:06:12 And to talk a little bit about the community investment
10:06:15 This is part of the '07 through '11 program.
10:06:18 And in the spring you will be addressing the next
10:06:24 program, the fourth five-year program that will be
10:06:28 coming before you in the spring.
10:06:29 So this is the last year of this program.
10:06:31 We have seen the revenues in this area decline, because
10:06:34 as you might recall, money moneys off the top go to the
10:06:37 school district and to the Tampa Sports Authority and
10:06:40 then the rest is distributed on a formula basis.
10:06:44 So the high in this revenue was 16.2 million in '07 and
10:06:49 10.7 million in '11.
10:06:52 We have some interest earnings of about $1 million that
10:06:55 we have to use toward the program.
10:06:57 You might recall when we did our five-year program we
10:07:00 wanted some certain aspects of our program to include
10:07:02 some ongoing moneys for parks and recreation for fire,
10:07:07 and so we had $750,000 or so for parks and recreation
10:07:11 ongoing projects, as well as fire ongoing projects of
10:07:15 1.7 million.
10:07:16 In addition, we have other fire improvements, fire
10:07:20 stations, and other appropriations for stations 11 and
10:07:28 19, as well as fire station 22, which is part of the
10:07:36 We have two bond issues outstanding with C.I.T.
10:07:41 2001 and 2006.
10:07:42 And my next project is to try to refund that 2001 bond
10:07:46 issue and see if we can save some money there.
10:07:48 This year, we are buying about 131 police vehicles.
10:07:53 We really have made an effort to increase our police
10:08:02 purchase of vehicles this year, about $3.9 million,
10:08:02 some of which is currently budgeted from other moneys,
10:08:06 and then moneys from utility tax funds of $2 million.
10:08:12 I am going to talk now about the enterprise funds.
10:08:14 We have had our five year water rate plan and that was
10:08:17 through various programs throughout our city, improving
10:08:20 distribution, replacement and rehabilitation, and they
10:08:24 are actually going to increase their budget 27.5
10:08:30 The water budget is a little bit misleading because
10:08:33 they are now -- they now include the utility accounting
10:08:37 It used to be part of the revenue and finance
10:08:43 But because we have determined it served wastewater,
10:08:46 solid waste, and the customers therein, that there is
10:08:49 really more efficiency with that division being part of
10:08:51 the water department.
10:08:54 Their VIP program is increasing over $26 million from
10:08:57 last year.
10:08:58 So lots of water projects being done in fiscal year
10:09:03 Sulphur Springs, blue sink, and various projects are
10:09:08 funded from SWFWMD and in cooperation with on the
10:09:13 Since fiscal year '07 there has been over $100 million
10:09:19 replaced under contract in the water area.
10:09:24 The wastewater budget is change being $2.1 million.
10:09:28 The personnel decreased a little bit partly due to
10:09:32 And they have many, many capital needs.
10:09:35 We are probably going to be coming before you during
10:09:38 the fiscal year for a bond issue for some of their
10:09:41 capital programs.
10:09:43 They have structures, some still 50 to 90 years old.
10:09:47 Their rate increase is definitely helping with that,
10:09:50 the three-year plan that you had previously adopted.
10:09:53 But however, they still have various capital projects
10:09:55 that need to be addressed.
10:09:59 Solid waste, we have spoken about this before.
10:10:01 Solid waste has made various operational changes to try
10:10:05 to save money.
10:10:07 Changing their collection service code revisions.
10:10:13 Their rollback to the '09 levels, tag some of their
10:10:17 transfer station -- taking some of their transfer
10:10:19 station in-house, $1 million savings.
10:10:23 With that we were able to go to the rating agencies and
10:10:26 they did maintain their A rating and their debt
10:10:30 coverage ratio is about 1.25 with the 1.1 requirement.
10:10:35 This is the net present value savings of the bond
10:10:40 And so that adds up to about $4.8 million, about
10:10:47 635,000 a year and a total savings of 5.7 million from
10:10:52 doing that one bond issue.
10:10:55 These are some of the other programs that solid waste
10:10:57 has done to help save money.
10:11:00 In their department.
10:11:03 The parking fund.
10:11:04 The parking fund is an area where their debt is
10:11:07 increasing substantially this year.
10:11:10 And I am going to show you a graph.
10:11:13 They have reduced their positions, and they have
10:11:15 reduced their capital somewhat.
10:11:17 However, they have an increase in debt service of about
10:11:21 $4 million coming this year.
10:11:23 And when we sold the Tampa general garage, the red
10:11:27 portion of that graph is the debt service and parking.
10:11:30 The red portion we paid off those bonds, but now it
10:11:34 fiscal year '11 and we are back to that blue chart.
10:11:38 So therefore we are having to transfer 1.9 million from
10:11:41 the city, from the general side, from utility tax, to
10:11:44 subsidize that parking area a.
10:11:46 They are using also the rest of their fund balance of
10:11:50 $5.4 million.
10:11:53 If we can make it out to 2020 when the debt really
10:11:57 drops, it will be good and then they won't have any
10:12:00 more debt service.
10:12:01 But these next few years are definitely a challenge.
10:12:05 Stormwater, although included in this section is now
10:12:10 part of public works.
10:12:11 They are continuing with their stormwater program.
10:12:13 Their personnel is down about $1 million and they have
10:12:16 rolled back their operating expenses considerably.
10:12:18 However, we still have some very significant stormwater
10:12:21 projects that I am going to discuss later.
10:12:24 They have some commercial paper outstanding, and will
10:12:28 have to issue bonds to take out that commercial paper.
10:12:30 Overall their budget is declining 2.7 million.
10:12:34 These are some of the stormwater projects.
10:12:36 And stormwater projects, the funding of those projects
10:12:38 are really varying.
10:12:40 Sometimes it's funded just with utility tax.
10:12:43 Sometimes it's a combination of utility tax and grants,
10:12:46 commercial paper, working with the county on projects,
10:12:49 and so we are doing really a good job of leveraging
10:12:52 other people's money for our various projects.
10:12:57 This is what's going to happen with the average utility
10:13:01 And from the previously adopted rates.
10:13:04 The bill is going to increase about $7.
10:13:08 This is for an average customer.
10:13:09 And up to $88.70 especially for the new council members
10:13:14 that might not know that we have an opportunity for
10:13:17 senior citizens to get a discount if they apply for
10:13:20 this of $3 a month.
10:13:22 And we have over 4300 citizens who actually take
10:13:28 advantage of this program.
10:13:30 However, even despite our increase in our rates, we are
10:13:34 well below other jurisdictions.
10:13:36 You can see they are in our surrounding area.
10:13:42 The capital improvement project.
10:13:45 This is an area that is the main reason why our budget
10:13:49 is increasing this year.
10:13:50 And you can see from last year of $87 million to almost
10:13:54 $136 million this year.
10:13:57 So both are "pay as you go," especially are "pay as you
10:14:03 go" program is increasing $217.6 million.
10:14:08 Moneys from utility tax over 19 million and
10:14:11 transportation impact fees.
10:14:12 This is about 55% greater than our capital improvement
10:14:17 budget last year.
10:14:18 And so projects in the utility tax area include about
10:14:22 $13.5 million for repair and replacement of facility,
10:14:26 our technology investment, and purchase of our TPD
10:14:30 And transportation impact fees, a major project is $16
10:14:34 million for the Tampa Boulevard expansion.
10:14:41 And our investing in neighborhoods program, you can see
10:14:44 there, $10 million that we are finally at that level.
10:14:50 In the resurfacing, sidewalks, traffic calming.
10:14:53 You can see the breakdown where each category is
10:14:55 increasing to get to our $10 million.
10:14:59 We are going to resurface about 37 lane miles during
10:15:03 the year.
10:15:04 We have about 1,000 miles of sidewalks.
10:15:07 We are going to replace 5,000 signs and have various
10:15:12 traffic calming devices.
10:15:15 30 speed tables as well as cul-de-sacs, medians as
10:15:20 The UCAP project, you all everybody probably impacted
10:15:23 by this as you are trying to get around downtown.
10:15:27 UCAP in water, we have various projects in water, the
10:15:33 downtown project, and of course the stormwater project
10:15:35 in Channel District.
10:15:39 Our waterfront has changed incredibly over the past few
10:15:43 years, and these are just some photos of the Museum of
10:15:47 Art, the Tampa Convention Center and Curtis Hixon park.
10:15:51 And then the children's museum.
10:15:53 I included this, but although the city did not invest
10:15:56 in the museum it, the city did donate land, and so that
10:15:59 is another example of partnership within the city.
10:16:05 From the street resurface, about $5.2 million, and
10:16:12 street signs 900,000 up 20% from fiscal 2010.
10:16:17 Sidewalks increasing 44%.
10:16:24 And 40th Street for eight years, I talked about 40th
10:16:28 So now we have segment E complete.
10:16:30 Segment D complete.
10:16:32 Segment B complete.
10:16:33 Segment C to be completed by the end of this calendar
10:16:37 And segment A by spring of '11.
10:16:40 And as the mayor says, by the end of March.
10:16:43 So this main transportation project of this
10:16:46 administration will be complete, and here is the before
10:16:51 and after picture whereof we are on 40th Street.
10:16:55 We have various on the capital improvement programs.
10:17:01 Bayshore Boulevard, and Rome and Swann for some bicycle
10:17:07 This will be done in phases.
10:17:08 They will begin construction in the fall.
10:17:13 This is a photo of duck Donut bond.
10:17:18 You can see the incredible flooding occurring there on
10:17:20 oh Fowler Avenue.
10:17:21 And this is a joint project with Hillsborough County.
10:17:23 Alline Avenue, we are going to issue stormwater bonds
10:17:29 to fund this project.
10:17:32 We have already covered the parts of getting water out
10:17:34 of people's homes but you can see the great flooding
10:17:36 that has occurred in the South Tampa area.
10:17:40 We have various canals that we will be addressing in
10:17:43 this budget as well.
10:17:45 Sediment that has -- contaminants that are existing and
10:17:50 sediment removing in the waterways.
10:17:53 Our capital improvement program is all on the web.
10:17:57 And so as people go to the Web site that's listed
10:18:01 there, you can look at a specific capital project.
10:18:06 All details are in the budget as well.
10:18:15 Once again the city received the budget presentation
10:18:18 award from the GFOA for the budget and I will answer
10:18:26 any questions.
10:18:26 >>MARY MULHERN: Thanks, Bonnie.
10:18:32 I guess that was easy to follow after my fourth year of
10:18:35 watching it.
10:18:36 I have a couple of questions.
10:18:37 The TPD vehicle replacement, what is the total cost of
10:18:43 what we are planning right now?
10:18:45 >> 3.9 million.
10:18:54 >>MARY MULHERN: That's the total?
10:18:56 My question was, we paid for that Mercury study of the
10:19:05 And did they do a portion that looked at TPD vehicles?
10:19:14 Is there a portion of that study that looked at that?
10:19:17 >> I am not certain.
10:19:17 >>MARY MULHERN: I just wondered because I was
10:19:20 impressed with the presentation they did, and just
10:19:24 wondering if we are going to implement any of those
10:19:28 that they recommended.
10:19:28 >>BONNIE WISE: Some of the things we have implemented,
10:19:31 some of the right sizing of the vehicles and the fleet,
10:19:33 and that was actually -- I had not mentioned that.
10:19:37 We are implementing.
10:19:40 >>STEVE DAIGNAULT: Public works and utility services.
10:19:44 To answer your question, we looked at in the Mercury
10:19:47 study all of the civilian vehicles.
10:19:49 We did not look at marked vehicles for police or fire
10:19:53 in that study.
10:19:54 >>MARY MULHERN: So they didn't study that at all?
10:19:56 >> They did not.
10:19:57 >> But that's something to look into because they had a
10:19:59 lot of great recommendations for the civilian --
10:20:03 >>STEVE DAIGNAULT: We are implementing as Bonnie said
10:20:06 much --
10:20:07 >>MARY MULHERN: I know, but for TPD?
10:20:10 >> Just for their civilian side, not for marked
10:20:13 >>MARY MULHERN: Then what was the other question I
10:20:20 Okay, I don't think I saw it in all these graphs and
10:20:25 charts, but you showed us the 17% of that pie chart.
10:20:34 Let me find that.
10:20:35 I saved that page.
10:20:36 Yeah, the general utility tax and other tax funds.
10:20:40 17% was fees charged.
10:20:43 74 million.
10:20:44 And then does that include the franchise fees?
10:20:51 The 27.8 million for franchise fees?
10:20:55 >>BONNIE WISE: Electric franchise fees is actually in
10:20:57 that lower right.
10:20:59 >>MARY MULHERN: Separate, okay.
10:21:00 I was looking for something for comparison, a year to
10:21:03 year comparison on the fees.
10:21:07 That's not in here, is it?
10:21:09 >>BONNIE WISE: No.
10:21:09 I have it.
10:21:10 >>MARY MULHERN: That would be great to see if we could
10:21:13 see year to year comparison and also a breakdown of
10:21:16 what the total amounts and the fees were for different
10:21:18 kinds of fees.
10:21:21 >>BONNIE WISE: The budget book is in your office, but
10:21:23 in the budget books there is aside by side comparison
10:21:27 of the various general fund revenues, and you can see
10:21:30 >>MARY MULHERN: Okay.
10:21:33 Year to year.
10:21:35 That's great.
10:21:37 Then you were saying that you moved transportation out
10:21:40 of public works.
10:21:41 Is that a recent --
10:21:45 >>BONNIE WISE: Fairly recent.
10:21:46 It is now its own separate department.
10:21:48 >>MARY MULHERN: So our transportation department is
10:21:50 its own department.
10:21:52 >>BONNIE WISE: Reporting directly to Steve Daignault.
10:21:55 >>MARY MULHERN: So under public works but its own
10:22:00 >>BONNIE WISE: Steve is the administrator for public
10:22:01 works and utility services.
10:22:02 So --
10:22:04 >>MARY MULHERN: So where was transportation before?
10:22:07 >>BONNIE WISE: It was reporting to IRV Lee as the
10:22:09 public works.
10:22:10 >> So it's kind of separated out instead of under that.
10:22:14 And have there been changes in that personnel budget?
10:22:20 >> Not materially.
10:22:25 >>MARY MULHERN: Okay.
10:22:28 One other question.
10:22:31 The pension contributions have gone up so much in the
10:22:33 last three years.
10:22:34 Is that because of the increasing costs of medical and
10:22:41 Or is it because we have more people in the system?
10:22:44 How do you explain how much it gone up?
10:22:46 >> The pension increases?
10:22:49 It is not because we have more people, because we
10:22:50 actually -- well, we have fewer employees but we have
10:22:54 more retirees, of course.
10:22:56 It is really due to the stock market that has occurred
10:22:59 in calendar year '08.
10:23:03 >>MARY MULHERN: Because of our investment of the
10:23:05 pension funds.
10:23:06 >> Right.
10:23:07 >>JOSEPH P. CAETANO: Ms. Wise, on the parking fund,
10:23:11 you are proposing to transfer some $2.1 million from
10:23:15 the enterprise fund for the purchase of the new meters
10:23:21 they want to put in?
10:23:35 >>STEVE DAIGNAULT: It's a million dollars.
10:23:37 I'm not sure where you are getting that number.
10:23:40 >>JOSEPH P. CAETANO: 1.1 million I think you have in
10:23:42 that fund.
10:23:42 And we are proposing to make a purchase of about $2.1
10:23:47 million for the new meters.
10:23:49 And yet we are going to transfer 1.9 million from the
10:23:53 general fund to the parking fund.
10:23:55 >>BONNIE WISE: Actually, the million dollars that you
10:23:58 are referring to was from fiscal year '10 moneys.
10:24:01 It is not relate it to the fiscal year '11 budget.
10:24:04 >>JOSEPH P. CAETANO: Okay.
10:24:05 Thank you.
10:24:05 >>THOMAS SCOTT: Any other questions?
10:24:10 >>BONNIE WISE: Thank you very much.
10:24:12 >>THOMAS SCOTT: Thank you, Mrs. Wise.
10:24:15 Thank you council, any on the questions?
10:24:16 If not, then we will stand in recess for five minutes
10:24:20 and then the CRA will convene.
10:24:23 Thank you.
10:24:24 (City Council adjourned)
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