06-01-04 Item 12CITY OF SOUTH MIAMI
Inter -otDce Memorandum
TO: Vice Mayor & City Commission
FROM: Mary S
ORDINANCE
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DATE: June 1, 2004
AGENDA ITEM No.
RE: Ordinance Amending Budget & Finance
Committee
AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF SOUTH
MIAMI, FLORIDA, AMENDING ORDINANCE NO. 15 -02 -1783 RELATING TO BOARDS AND
COMMITTEES; AMENDING SEC.2 -26.8 OF THE CODE OF ORDINANCES, ENTITILED
"BUDGET AND FINANCE COMMITTEE; AMENDING MEMBERSHIP REQUIREMENTS;
AMENDING DUTIES AND RESPONSIBILITIES; PROVIDING FOR SEVERABILITY;
PROVIDING FOR ORDINANCES IN CONFLICT; AND PROVIDING AN EFFECTIVE DATE
BACKGROUND & ANALYSIS:
The Budget and Finance Committee performed a valuable service prior to the last budget cycle,
wherein the new City Manager had a great deal to contend with and to learn about the City within
a short time; but the nature of that Committee as originally formed is no longer apropos to our
current situation. Included in the Manager's major strengths are budgeting, finance, and
operations, which are also the key reasons for which she was hired. Additionally there is a "Non -
Interference" clause in her contract with the City (see attachment, Section 4) which renders the
currently outlined purposes of the Committee in legal conflict.
Not wanting to dismiss the opportunity to take advantage of the knowledge and expertise that
may be available from within the resident community of our City however, I am proposing an
overall amendment to the ordinance which formed and defined the Budget and Finance
Committee, to make it of true assistance to the Manager and the welfare of the City.
It is a fact that few cities in Miami -Dade County, especially those of a similar size or nature to
South Miami, actually utilize a Budget and Finance Committee at all (see the attached
memorandum), and those which do have very limited responsibilities assigned to them. This
ordinance, as it is proposed, will set up the mechanism for a knowledgeable advisory body to give
the City Manager some very useful advice in specified areas where such advice is desired.
RECOMMENDATION:
It is recommended that the City Commission approve the resolution.
ATTACHMENTS:
LJ Proposed Ordinance
0 Copy of City Manager Contract Page 2
Ll Copy of Memo to Mayor from April 20, 2004
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ORDINANCE NO.
AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE
CITY OF SOUTH MIAMI, FLORIDA, AMENDING ORDINANCE NO. 15 -02-
1783 RELATING TO BOARDS AND COMMITTEES; AMENDING SEC.2-
26.8 OF THE CODE OF ORDINANCES, ENTITILED `BUDGET AND
FINANCE COMMITTEE; AMENDING MEMBERSHIP REQUIREMENTS;
AMENDING DUTIES AND RESPONSIBILITIES; PROVIDING FOR
SEVERABILITY; PROVIDING FOR ORDINANCES IN CONFLICT; AND
PROVIDING AN EFFECTIVE DATE
WHEREAS, the City of South Miami recognizes that a key function of government is
sound fiscal management and careful budget preparation in order to be able to provide a high
level of municipal services to its residents and businesses; and
WHEREAS, the preparation of the City's budget is a highly specialized area of endeavor requiring
expertise and/or experience which is normally limited to professionals within the financial management,
accounting, auditing and municipal management fields; and
WHEREAS, the ultimate responsibility for the preparation and administration of the City's budget
each fiscal year falls upon the City Manager; and
WHEREAS, the areas of the budget wherein the greatest need for expertise currently exists is in the
proper and frugal investment of the various employee retirement and/or pension funds (within federal,
state and /or other mandated guidelines), and - in the area of strategic planning - to ascertain service levels;
and
WHEREAS, the Mayor and Commission recognize the success and the continuing efforts of the City
Manager in meeting the challenge of sound fiscal management and in reporting to the Commission on a
quarterly basis the financial state of the City and its fiscal position as relates to the annual general funds
budget; and
WHEREAS, the Mayor and Commission wish to facilitate the efficacy with which the City Manager
is able to manage both the budget process and the administration of the City's budget during the year in
order to most efficiently carry out the policies, goals and directives of the Mayor and Commission,
without undue interference or the imposition of outside political influence;
NOW, THEREFORE, BE IT ORDAINED BY THE MAYOR AND THE CITY
COMMISSION OF THE CITY OF SOUTH MIAMI, FLORIDA THAT:
Section 1 The City of South Miami Code of Ordinances Section 2 -26.8 entitled "Budget and Finance
Committee," is amended to read as follows:
(Note: New wording in bold — underlined; wording to be removed indicated by strike - through)
Sec. 2 -26.8. Budget and Finance Committee.
(a) Name. There is hereby created a Budget and Finance Committee. The committee shall
consist of at least five no more than five members, who are residents of the
City.
Ord. Amending Budget Committee Sec.2 -26.8 Code of Ordinances
I (b) Purpose. The purpose of the committee is to provide advice and recommendations to
2 the Mayor- and City Commission and to .,,am inistr-ati r City Manager regarding the adoption and
3 implementation of financially sound annual budgets and investment policies. To accomplish this
4 purpose, the committee is charged with reviewing and evaluating the draft proposed budget, the
5 City's investments, gmploeepension and other retirement accounts revenue end expen itufe°
6 on at least ., ,ai4erly basis-, s to r ;stir,. „ o o and o plef n
7 , giving advice to the
8 eity e . ^„ „4 he City anager administfati on projected earnings of investments and
9 desirable or necessary further investments, rerven u , expen i4-we° and strategic planning (which
10 includes analyzing existing service levels and determining sufficiency and appropriateness).
11 ehanges to the types and levels of govenHnent sei7Aees provided by the City, and making
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r-eeemmendations regarding the proposed millage rate and the annaal biidget for-
13 years. The Committee shall also review the annual comprehensive audit report.
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15 (c) Membership, terms. Members of the committee shall be appointed by the Mayor as
16 provided for by the City Charter. The Mayor and City Gonffnission shall attempt to include
17 representatives of the local business community, resets and accounting and finance experts,
18 who are residents of the City, and employees or r-epresenta iNes e F ckty employees' ^^"eetive
19 in the membership of the committee. Membership may include persons
20 representing other groups or professions who reside in the City. The initial appointments to the
21 committee shall be for a term that expires on September 30, 2005. Thereafter-, appoin nexts
22 shall be staggered for termssof one, tw twee years. Appointments to fill any vacancy on the
23 committee will be for the unexpired term. One member of the city commission and the City
24 Manager or designee may serve as non voting ex officio members of the committee.
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26 (d) Meetings, quorum. Regularly scheduled meetings shall be held at quarterly at city
27 hall at a convenient time to be decided by the committee members. The members may change
28 the place and time of a particular meeting by motion and a vote of the majority of members
29 present at a regularly scheduled meeting. A majority of the members in good standing shall
30 constitute a quorum necessary to hold meetings and take action. Additional special meetings
31 may be scheduled and notice shall be given, as provided in the city code for special meetings of
32 the city commission; provided, however, that scheduling special meetings shall require the vote
33 or written request of a majority of the members. The committee shall appoint a chairperson and
34 a vice chairperson. The chairperson shall conduct all meetings. In the absence of the
35 chairperson, the vice chairperson shall conduct the meeting. All meetings shall be properly
36 noticed, open to the public and minutes shall be kept either by recording or in written form.
37 Members shall serve without compensation.
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39 (e) Administrative assistance. The City Manager or designee shall provide the
40 committee members with copies of quarterly and annual financial reports for the general budget
41 and retirement accounts as soon as they are available following the close of the quarter and the
42 fiscal year. The annual audit report shat be provided to eefamittee members within 15 days of
43 deliver-y to the Gity by the independent auditors. Ledgers a-ad other- aeeourA repeAs shall mb�
44 provided upon r-equest he ee #ee. and the proposed budget shall be delivered to the
45 committee members not later than the date it-- they delivered to the city commissioners.
46 Ledgers and other account reports shall be provided upon request by the committee. The City
47 Manager or desi nee shall provide assistance to the committee, as necessary_ , in „°rf m i
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Ord. Amending Budget Committee Sec.2 -26.8 Code of Ordinances
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(f) Reports. The committee shall discuss with the administrati n City Manager its
review of the quarterly and annual financial reports and of other account ledgers. , its „r°j° ^t
(g) Sunshine laws. All meetings of the committee and of any two or more persons
appointed to the committee are subject to the Florida Sunshine Law requirements for notice and
public meeting. All documents, including email communications, prepared by the committee or
a committee member are public records.
Section 2 Ordinance No. 15 -02 -1783, amending section 2 -26.8 of the code of ordinances,
entitled "Budget and finance committee" is repealed. A copy of the repealed ordinance is
attached to this ordinance as exhibit "l."
Section 3. If any section, clause, sentence, or phrase of this ordinance is for any reason held
invalid or unconstitutional by a court of competent jurisdiction, this holding shall not affect the
validity of the remaining portions of this ordinance.
Section 4. This ordinance shall be effective immediately after the adoption hereof.
PASSED AND ADOPTED this day of , 2004
ATTEST: APPROVED:
CITY CLERK
1St Reading
2nd Reading
READ AND APPROVED AS TO FORM:
CITY ATTORNEY
Ord. Amending Budget Committee Sec.2 -26.8 Code of Ordinances
MAYOR
COMMISSION VOTE:
Mayor Russell:
Vice Mayor Palmer:
Commissioner Wiscombe:
Commissioner Birts- Cooper:
Commissioner Sherar:
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(g) Sunshine laws. All meetings of the committee and of any two or more persons
appointed to the committee are subject to the Florida Sunshine Law requirements for notice and
public meeting. All documents, including email communications, prepared by the committee or
a committee member are public records.
Section 2 Ordinance No. 15 -02 -1783, amending section 2 -26.8 of the code of ordinances,
entitled "Budget and finance committee" is repealed. A copy of the repealed ordinance is
attached to this ordinance as exhibit "l."
Section 3. If any section, clause, sentence, or phrase of this ordinance is for any reason held
invalid or unconstitutional by a court of competent jurisdiction, this holding shall not affect the
validity of the remaining portions of this ordinance.
Section 4. This ordinance shall be effective immediately after the adoption hereof.
PASSED AND ADOPTED this day of , 2004
ATTEST: APPROVED:
CITY CLERK
1St Reading
2nd Reading
READ AND APPROVED AS TO FORM:
CITY ATTORNEY
Ord. Amending Budget Committee Sec.2 -26.8 Code of Ordinances
MAYOR
COMMISSION VOTE:
Mayor Russell:
Vice Mayor Palmer:
Commissioner Wiscombe:
Commissioner Birts- Cooper:
Commissioner Sherar:
commission and for implementing the city budget as directed by the
commission.
3.2. The city manager shall perform those duties prescribed by art.
III, sec. 5 and other provisions of the charter, prescribed by law and
interlocal agreement, and as directed by the commission.
3.3. The city manager is responsible only to the commission. The
city manager shall report and be accountable to the commission.
3.4. Subject to the authorization for new employee positions
contained in the adopted annual budget, the availability of funds and any
policy direction given by the commission, the city manager shall be solely
responsible for the hiring and termination of all city employees. Except for
purchasing power granted to the city manager by ordinance pursuant to art.
III, sec. S.H. of the charter, the commission shall be solely responsible for
the hiring and termination of all its consultants, contractors and advisors.
Nonetheless, the city manager shall be primarily responsible for contract
administration and coordinating commission directives and policies
regarding consultants and advisors.
3.5. The city manager shall devote whatever time is necessary to
properly perform the duties of the position. The city manager acknowledges
that, on average, a minimum of 40 hours per week is necessary to adequately
perform the duties of a city manager under this agreement.
Section 4. NON- INTERFERENCE
4.1. To the extent practical, commission members shall address their
concerns regarding the financial condition, operations, personnel and other
city matters directly to the city manager and the city manager shall address
those matters with the city staff, consultants, contractors and advisors.
Individual members of the city commission shall not, acting alone and
without authorization of the city commission, direct the city manager to
enter into or terminate any contract, to grant or. withhold funds to any
person, nor instruct any city personnel under the city manager's control to
take or refrain from taking any action. This paragraph shall not be applied to
limit the non - interference provisions of art. VI, sec. 7 of the charter.
Employment Agreement — City Manager
July 10, 2003
Page 2 of 8
CITY OF SOUTH MIAMI
OFFICE OF THE CITY MANAGER
INTER - OFFICE MEMORANDUM
DATE: April 20, 2004
South Miami
All- America City
2001
Per your request, after contacting thirteen municipalities in Miami -Dade County (either
of similar size or character to South Miami) to ascertain whether they utilized a
Budget /Finance Review Committee or similar entity, and the purpose and
mechanics /make -up of the existent ones, following are the results.
Aventura — No committee
Bal Harbour — No committee
Bay Harbour Islands — Has an informal Budget Committee comprised of Commissioners.
There is no citizen involvement. The volunteer committee reviews the budget after it is
prepared and before it is presented to the Commission. The Committee does not get
involved in operations.
Coral Gables — Has a Budget Advisory Committee which reports to the City Manager.
Each commission member makes one appointment to the committee. They review the
annual audits and plans for the coming year and make non - binding recommendations to
the Manager.
Florida City - No committee
Homestead - No committee
Key Biscayne - No committee
Miami Lakes - No committee
Miami Shores Village - No committee
North Bay Village - No committee
Budget /Finance Committee survey continued
North Miami — No active committee (one was set up, but never activated or any
parameters set).
North Miami Beach - No committee (Finance Manager said they had one twenty -years
ago, but it was more trouble than help — everyone had their pet projects they wanted to
fund)
Opa Locka - No committee
The responses from the finance directors interviewed ranged from, "My God no!" to
"'The Commission toyed around with the idea but, thankfully, they came to their
senses." Even the two cities that had committees had nothing positive to say about the
idea of them.