Special City Council - September 14, 2022

City Council

Special Meeting

September 14, 2022

The City of Titusville City Council met in special session on Wednesday, September 14, 2022, at Titusville City Hall, second floor, Council Chamber, 555 South Washington Avenue, Titusville, Florida 32796. Mayor Diesel called the City Council meeting to order at 5:30 p.m. Those present in the Council Chamber included Mayor Daniel E. Diesel and City Council Members Jo Lynn Nelson, Joe C. Robinson, and Dr. Sarah Stoeckel. Vice-Mayor Robert L. Jordan, Jr. was absent. City Manager Scott Larese, City Attorney Richard Broome, and City Clerk Wanda Wells were also present. Assistant City Clerk Jolynn Donhoff completed the minutes of the meeting. 

Mayor Diesel requested a moment of silence. He then led those present in the Pledge of Allegiance to the Flag. City Clerk Wanda Wells read the procedures for public comment and participation.

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City Manager Larese reviewed the purpose of the special City Council meeting, as provided in the Council agenda packet. The request was to conduct the first public hearing on the City's proposed budget for Fiscal Year (FY) 2023; read the related ordinances to adopt Tentative Operating and Voted Debt Service millages; Conduct the first reading of ordinances proposing the FY 2023 Water/Sewer and Solid Waste rates; and adopt the Tentative Operating, Enterprise and Capital Budgets. City Manager Larese gave a presentation that reviewed the following information:

• Budget process and millage rate
• Use of millage over the rollback rate
• Strategic Plan Goals and Objectives for Fiscal Year (FY) 2023
• FY 2023 Budget environment
• FY 2023 Budget priorities 
• FY 2023 Proposed General Fund Budget Changes at $6.9812 mils since the August 16, 2022 Budget Workshop
• FY 2023 Proposed Budget All Funds Revenues $121,193,726
• FY 2023 Proposed Budget All Funds Expenditures $121,193,726
• General Fund millage rate comparison
• FY 2023 Proposed per capita ad valorem taxes
• Proposed property tax on a residential home in Titusville based on $6.9812 mils 
• Budget related ordinances scheduled for first reading 

City Attorney Broome read the following proposed ordinances for the first time, by title only, as followed:

Ordinance No. 31-2022 - AN ORDINANCE OF THE CITY OF TITUSVILLE, FLORIDA, PROVIDING FOR THE MILLAGE FOR THE OPERATION OF THE CITY OF TITUSVILLE; AND VOTED DEBT SERVICE LEVY FOR FISCAL YEAR 2023; AND PROVIDING FOR AN EFFECTIVE DATE.

Ordinance No. 32-2022 - AN ORDINANCE OF THE CITY OF TITUSVILLE, FLORIDA, ADOPTING THE GENERAL AND RELATED BUDGETS OF THE CITY OF TITUSVILLE FOR THE FISCAL YEAR 2023; AND PROVIDING FOR AN EFFECTIVE DATE.

Ordinance No. 33-2022 - AN ORDINANCE OF THE CITY OF TITUSVILLE, FLORIDA, AMENDING SECTION 21-241(3) OF THE CODE OF ORDINANCES BY AMENDING AND INCREASING THE SCHEDULE OF RATES AND CHARGES FOR WATER AND SEWER SERVICE; PROVIDING FOR FINDINGS, INCORPORATION INTO THE CODE, SEVERABILITY, AND AN EFFECTIVE DATE.

Ordinance No. 34-2022 - AN ORDINANCE OF THE CITY OF TITUSVILLE, FLORIDA; AMENDING SECTION 16-116 OF THE CODE OF ORDINANCES BY AMENDING AND ESTABLISHING AN INCREASE TO THE RESIDENTIAL MONTHLY CHARGE FOR SOLID WASTE, RECYCLING AND ADDITIONAL CART FEES; AND BY AMENDING SECTION 16-117 OF THE CODE OF ORDINANCES BY AMENDING AND ESTABLISHING AN INCREASE TO THE COMMERCIAL DUMPSTER AND COMMERCIAL CAN MONTHLY CHARGES FOR SOLID WASTE AND RECYCLING FEES AND INCREASING THE COMMERCIAL DUMPSTER RENTAL FEES; AND BY AMENDING SECTION 16-118 OF THE CODE OF ORDINANCES BY AMENDING AND ESTABLISHING AN INCREASE IN THE EXTRA CHARGES FOR SPECIAL SERVICES; AND BY AMENDING SECTION 16-119 OF THE CODE OF ORDINANCES BY CLARIFYING, AMENDING AND ESTABLISHING THE AMOUNTS FOR CONTAINER DEPOSIT; PROVIDING FOR SEVERABILITY, REPEAL OF CONFLICTING ORDINANCES, AN EFFECTIVE DATE AND INCORPORATION INTO THE CODE.

Ordinance No. 35-2022 - AN ORDINANCE OF THE CITY OF TITUSVILLE, FLORIDA, ADOPTING THE ENTERPRISE FUND AND CAPITAL IMPROVEMENTS PROGRAM BUDGETS OF THE CITY OF TITUSVILLE FOR THE FISCAL YEAR 2023; AND PROVIDING FOR AN EFFECTIVE DATE.

City Manager Larese continued and highlighted the following:

1. The City of Titusville, Florida was the Taxing Authority
2. $6.3573 was the Rolled-back Millage Rate
3. The operating millage rate to be levied was $6.9812 mils
4. The percent of increase over the rolled-back millage rate was 9.81%, which was characterized as a tax increase
5. The voted debt millage rate to be levied was $0.2542 mils

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Brief Council and staff discussion ensued on the following items: 

• Home values and the millage rate (Member Nelson) 
• Inflation and how it may have affected the City’s various costs (Member Stoeckel)
• Employee turn-over, recruitment, and retention was also discussed (Member Stoeckel)
• Insurance costs (Member Robinson)
• Fuel costs (Members Nelson and Robinson)
• Some property owners may see tax increases, while others may see a decrease in taxes (Member Stoeckel and Mayor Diesel)  

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Ordinance No. 31-2022 and Ordinance No. 32-2022 –

City Attorney Broome advised that proposed Ordinance Nos. 31-2022 and 32-2022 were related. For this reason, he recommended the first public hearings for these ordinances be held together. If individuals desired speaking on only one of these proposed ordinances, a citizen would be given 3-minutes to speak; however, if an individual desired speaking on both of these proposed ordinances, they would be given 6-minutes to speak. 

Mayor Diesel opened the first public hearing on Ordinance Nos. 31-2022 and 32-2022.  

Dwight Severs distributed information. He desired speaking on both ordinances. Mr. Severs felt that the taxable value of homes had increased for 90% of homes.  Mr. Severs continued and read from a prepared statement on his concerns for raising taxes, whether fees for various City services were being increased, reducing costs in the areas of personnel, travel, and discretionary contributions to the North Brevard Economic Development Zone, and it was unusual to use ad valorem tax revenue for utility improvements. 

Mr. Severs was given an additional three minutes to speak. He continued and discussed his suggestions on other methods to increase revenues, financing for a project that he referenced and concerns for competitive bidding for the project, the validity of a project’s contract, individuals profiting from grants, etc. In closing, Mr. Severs reviewed his requests to Council outlined on page 10 of the information that he distributed and the rationale for each of his requests. 

Trenton Mansfield’s concern was on Ordinance No. 31-2022 and raising taxes. He and staff discussed his questions on new construction projects and when a project’s ad valorem taxable value was added to the tax rolls (an approximate 1-year lag until taxable value was added to the County’s tax rolls). Mr. Mansfield was also concerned with whether City departments scrutinized and reduced their budgets. 

Stan Johnston desired speaking on both ordinances. He supported Mr. Severs’ concerns on the funding of utility improvements. Mr. Johnston felt there were items the City was not addressing, which, per Mr. Johnston, included Other Post-Employment Benefits (OPEB), ensuring laws were being followed, legal surveys of property were accurate or legitimate, ensuring staff was available to answer the phones, concerns for fraud, etc. 

As there were no additional persons that wished to speak, the first public hearing on Ordinance Nos. 31-2022 and 32-2022 was closed.

Mayor Diesel and Member Stoeckel requested City Attorney Broome review or report back with more information discussed by Dwight Severs on the North Brevard Economic Development Zone (referred to as the Zone), tax increment financing revenue, the City’s contribution to the Zone, the competitive bid process, the County’s role with the Zone, etc. 

Member Stoeckel and City Manager Larese briefly discussed Dwight Severs’ comments on increasing fees for City services. The indication was that City’s fees had been adjusted. 

Member Robinson desired more information and clarification on the concerns discussed by Dwight Severs, whether procedures were being followed, etc. 

Member Nelson discussed receiving information discussed by Mr. Severs prior to the final public hearing on the Fiscal Year (FY) 2023 budget. She also commented on the ability to reduce the millage rate at the final public hearing, if desired. 

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Ordinance No. 31-2022 –

Motion:

Member Robinson moved to tentatively adopt Ordinance No. 31-2022 and the tentative operating millage rate at $6.9812 mils, which was 9.81% above the rolled-back millage rate of $6.3573 mils, as recommended. The motion also included tentatively adopting the voted debt millage rate to be levied was $0.2542 mils, as recommended. Member Nelson seconded the motion for discussion.

Member Nelson requested receiving by the next meeting (final public hearing on the FY 2023 budget on September 22, 2022 at 5:30 p.m.), an explanation on the matter of a 28% increase in miscellaneous charges discussed by Dwight Severs. 

City Attorney Broome advised that the percentage rate by which the tentative millage rate was proposed (tentatively to be adopted by the City Council) exceeded the rolled-back millage rate and was characterized as a tax increase in property taxes. 

Member Robinson indicated yes---the motion on the floor was a tentative proposed increase in property taxes. Member Nelson’s second held. The roll call vote was:

Member Robinson                  Yes

Member Nelson                      Yes

Mayor Diesel                          Yes

Vice-Mayor Jordan                 Absent

Member Stoeckel                    Yes

The motion carried unanimously. 

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Ordinance No. 32-2022 –

Motion:

Member Robinson moved to tentatively adopt Ordinance No. 32-2022 and the General and Related Budgets of the City of Titusville for the Fiscal Year 2023, as recommended. Member Nelson seconded the motion and the roll call vote was:

Member Nelson                      Yes

Mayor Diesel                          Yes

Vice-Mayor Jordan                 Absent

Member Stoeckel                    Yes

Member Robinson                  Yes

The motion carried unanimously. 

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Ordinance No. 33-2022 – 

Mayor Diesel advised that Council was not required to tentatively adopt Ordinance No. 33-2022. To this, he requested hearing from individuals that submitted public speaking cards on Ordinance No. 33-2022. 

Toni Shifalo expressed concern for persons living on fixed incomes. She advised that she and the community did not support a cost increase in the water rates, unless the community was assured of an increase in water quality. 

Member Stoeckel and City Manager Larese briefly discussed that persons receiving monthly Social Security payments were expected to receive a 6.6% cost of living adjustment (COLA) increase. 

Stan Johnston expressed concern on boil water alerts, improving the City’s water utility infrastructure, water virus or contamination, ensuring the City’s budget contained funding to overcome his concerns related to water, etc. 

Dwight Severs waived his right to speak. 

There were no additional persons that wished to speak on Ordinance No. 33-2022.

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Ordinance No. 34-2022 –  

Mayor Diesel advised that Council was not required to tentatively adopt Ordinance No. 34-2022. To this, he requested hearing from individuals that submitted public speaking cards on Ordinance No. 34-2022. 

Stan Johnston advised that he was a former City employee. He commended actions taken by the City or Solid Waste Division during his former employment. He supported the proposed ordinance. 

Toni Shifalo waived her right to speak. 

There were no additional persons that wished to speak on Ordinance No. 34-2022.

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Member Robinson excused himself from the meeting. 

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Ordinance No. 35-2022 –  

Mayor Diesel opened the first public hearing on Ordinance No. 35-2022. 

Stan Johnston commented on his familiarity with Enterprise Funds. His concern was for water drainage, the Stormwater Master Plan, violation of laws, and the drainage system for five of six culverts located near Interstate 95 were not working properly. He also expressed concern for Per- and Polyfluoralkyl Substances (PFAS). 

As there were no additional persons that wished to speak, the first public hearing on Ordinance Nos. 35-2022 was closed.

Motion:

Member Stoeckel moved to tentatively adopt Ordinance No. 35-2022 and the Enterprise Fund and Capital Improvements Program Budgets of the City of Titusville for the Fiscal Year 2023, as recommended. Member Nelson seconded the motion and the roll call vote was:

Mayor Diesel                          Yes

Vice-Mayor Jordan                 Absent

Member Stoeckel                    Yes

Member Robinson                  Absent 

Member Nelson                      Yes

The motion carried unanimously. 

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Petitions from the Public Present – 

Nathan Slusher confirmed the date of the final public hearing on the adoption of the FY 2023 Budget was September 22, 2022 at 5:30 p.m. and the proposed rate increase for Solid Waste charges. 

Keith Exmeyer expressed concern on accountability, being too content, caring for the community, perpetuating cost increases, etc.    

Dwight Severs referenced information that he distributed earlier in the meeting. He was interested in how his own property taxes would be used by the City. He further expressed concern on tax abatements provided to a local business, profiting and fairness, businesses that were granted ad valorem tax abatement incentives, meeting tax abatement agreement/ordinance requirements, cash reimbursement incentives being unfair when businesses appeared to be able to afford their business costs, being fair to other businesses, businesses repaying the North Brevard Economic Development Zone (Zone), lack of publicity about the Zone and its activities, $823,000 being spent on City employees versus projects, etc. 

Stan Johnston commented on a City wide boil water alert and the large financial cost to overcome his concerns related to the Utility (infrastructure). Second, Mr. Johnston expressed concerns related to a prior sewer spill, fountain spray from ponds near the prior sewer spill, health concerns, etc. 

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Assistant City Manager Tom Abbate announced that the final public hearing on the City’s Fiscal Year (FY) 2023 budget was scheduled for Thursday, September 22, 2022, at 5:30 p.m., in the Council Chamber at City Hall. 

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With no further business to discuss, the meeting adjourned at 6:58 p.m.