City Manager's Report for Week Ending May 27, 2011

CITY MANAGER'S REPORT NO. 103

Week Ending June 3, 2011

From the Office of Susan Stanton

Greetings!

This past week has been one of the most significant weeks since my appointment as City Manager in 2009. As contained in this report, the City has reached tentative agreement with the PBSO concerning the Law Enforcement Service Agreement for the next two years, received an historical ruling from a Public Employees Relations Hearing Officer regarding a Union's challenge of the City's Declaration of Financial Urgency, and has finalized negotiations with the Morganti Group regarding the rehabilitation of the Casino! Finally, Utility Director Mattey is in the process of finalizing the necessary rate information for City Commission approval which will enable the City to approve the first reduction of the electric rates in its long history. Not a bad week....

Negotiations with PBSO nearing Successful Conclusion

At the recent City Commission WorkSession, the City Commission directed me to undertake negotiations with the Palm Beach County Sheriff's Office regarding the Law Enforcement Service Agreement (LESA) for fiscal year 2012. Myself and Sheriff Ric Bradshaw began the negotiations with the express desire to formalize a law enforcement service contract that would maintain the current level of service provided by the Sheriff's Office and be still affordable to the City of Lake Worth.

After two weeks of very detailed and comprehensive discussions, Sheriff Ric Bradshaw and I have reached agreement on the terms of the LESA for both fiscal year 2012 and fiscal year 2013. The specific provisions of this agreement are being formalized by the respective staffs of the City and the Sheriff's Office. Both Sheriff Bradshaw and myself anticipate the proposed LESA will be finalized by Wednesday, June 8, 2011.

The proposed LESA was made possible by the collective efforts and commitment of Sheriff Bradshaw, myself, and each of our respective support and command staffs to continue to provide the Lake Worth community with quality law enforcement services, at a fair and affordable price, that protect the safety and welfare of all residents.

I am very much aware and fully understand the real passion and interest of the entire community on this issue, and I would like to urge you all to exercise patience and calmness during the final days of these negotiations in order to have a successful and professional conclusion. I am asking you all to please consider not sending staff, PBSO, City Commissioners and others with emails of concern and support over the next four days. Each member of the City Commission and myself are very aware of the public support for the PBSO contract and I would respectfully request that everyone please respect that Sheriff Bradshaw and myself will be able to firm up the final details of the Agreement for a mutually successful conclusion for both the City and PBSO

Hearing Officer Issues Ruling in Labor Dispute

As reported in last weeks City Manager Report, two of the City's three labor unions (PEU and PSMA) filed four unfair labor practice charges against the City challenging the City's assertion that it had a fiscal crisis and a state of financial urgency which allowed the City to impose a labor contract on the Unions after a year of unsuccessful collective bargaining. The Unions' complaint not only challenged the application of the City state law which governors the declaration of financial urgency but also made extensive charges of improper conduct regarding my own conduct in the declaring a state of financial urgency and my role in the collective bargaining process. As indicated in the Hearing Officers 53 page ruling, "the Unions charges of premature declaration of impasse and failure to provide information were frivolous, unreasonable and groundless when filed" and has recommended to the Public Employers Relations Commission that the City be awarded attorney fees and cost to defend the City Commission contract imposition.

(See Ruling HearingOfficersRecommendedOrder )

The Hearing Officer in upholding the City's Declaration of Financial Urgency did state that the pension plan modifications were not adequately negotiated with the Union and has recommended that the changes be repelled and negotiated. While the City felt that it did properly negotiate the modifications of these benefits, the Administration will immediately begin implementing the Hearing Officers recommendation. However, if the Union and Administration are unable to collectively bargain the reduction of plan benefits, it is now very clear that the City has the right, because of the declared state of financial urgency, to ultimately impose plan reductions on the Union after the conclusion of the impasse process.

It is my sincere hope that with this ruling, and the extensive lay-offs of City employees last month, that each Union clearly understands that the City is genuinely attempting to address a substantial financial crisis and has both the will, and the legal authority, to take all necessary measures to get control of its personnel expenses.

Casino Construction Price Finalized!

The City Administration and Morganti Group have finalized the construction budget (legally known as the Guaranteed Maximum Price) after extensive negotiations and final bidding with all of the various project designers, subcontractors and architects. Now that all the required construction and building permits are ready to be issued and finalized, the Morganti Group is now in a position to commit to doing the extensive reconstruction of the Casino for the established and approved $6,000,000.

The finalization of this Guaranteed Maximum Price is an historical milestone for both the Morganti Group and the City and was complicated by my attendance at the Florida City and County Managers Conference this past week. Because of my three day absence from the City this week, I will be forwarding the required contracts and City Commission transmittal information on Monday after I have had sufficient time to review and approve the final documents and backup materials.

It is my hope that everyone in the community steps back from the historical disagreements that have shadowed this project for thirty years ....and share the excitement of today's accomplishments.

July 4th FireWorks Update

Earlier this week the City Commission, at a Special Commission Meeting, approved a contract withi Zambelli for the Fireworks Display at the city Golf Course on July 4th. The contracts have been prepared and a being executed this week. Permitting is still ongoing and we are hopeful that all permits will be processed and approval obtained in good time. The Display is scheduled to go off at 9pm on July 4th.

Finance Update

The 2010 audit and FY 2010 Comprehensive Annual Financial Report (CAFR) that were presented to the Commission on May 26^th are being distributed this week to all State, Federal and local entities that require copies. The CAFR along with the audit opinion is available on the City website, www.lakeworth.org. In addition copies are available at the Lake Worth Public Library for review.

The second quarter budget amendment second reading and public hearing will be before the City Commission at the June 7^th meeting. This amendment incorporates the changes necessitated by the latest annual projections which were discussed with the City Commission on May 26^th.

Both the Collection Agency Services and Investment Management Services contracts will be presented to the Commission on June 7th. Both contracts will save the City on costs for these services. Implementation will be immediately following approval by the Commission.

Community Development Highlights

The Planning & Zoning Board approved a special land use and conditional use for the Academy for Positive Learning to move to the abandoned bank building at 1200 North Dixie Highway. The school is expected to be ready to open by August 2011. Phase I includes the use of portable classrooms and Phase II will be for the school to serve Pre K through 8^th grade in the rehabilitated banking facilities.

Two (2) site plan review applications were reviewed and comments prepared. One for a new banking facility on North Dixie Highway and another for a site plan amendment for Habitat for Humanity as part of the NSP 2 program.

Four (4) cases are anticipated for the July Planning & Zoning Board meeting scheduled for July 6, 2011.

The final drawings for the Lake Worth Beach Casino Rehabilitation were resubmitted to the Building Division completing the permit application process.

A successful sign litter campaign was undertaken along Dixie Highway by the Code Compliance Division.

(Please see full report: Community Development Report

PUBLIC SERVICES

- Golf Course Division

Recently the Golf Course has put down an application of Ronstar throughout Municipal Golf Course. RonStar is a preventive pesticide application to rid the grounds of future mole crickets, fire ants, grub worms and other pests. Such pesticide application had not been done in recent years and as a consequence, the course was infiltrated with pests. (See Photos of the application Golf Course Spraying

UTILITIES -

Conservation Management

The Conservation Management Division has provided the weekly workload measurements for City Commission review as reported in the table linked herewith. ConservationManagement. The Division provides energy audits to all customers upon request. In addition to this personal service, staff members make themselves available to customers with high bill complaints, those who need assistance managing water and electric usage patterns, and to large commercial accounts to provide key account services. Staff members also manage the rebate programs, which are funded by the Florida Municipal Power Agency (FMPA) and the Water Fund of the City of Lake Worth.

Transmission & Distribution

Transmission and Distribution staff have prepared their Workload measures for the Division and are reported in the table attached as a link. TransmissionDistribution

Meter Shop

Meter shop employees are responsible for the installation of safe, accurate measurement devices of electric consumption. In addition, meter service workers and meter readers complete connects, disconnects, and meter reading on a monthly basis and staff have prepared a detailed chart of of their workload this week. (See Meter Shop)

System Operations

The System Operations Divsion have prepared a very detailed and extensive table table of their weekly workload including the phone center and these have been tabulated for City Commission review. (See SystemOperations)

Water Treatment

Weekly flow data and monthly water production for the Water treatment plant have been kprepared and are provided in the table WaterTreatment

Water Sewer

Weekly workload measure for the Water and Sewer field crews have been prepared and are also provided in the WaterSewer table attached for review.

Customer Service

Payment statistics for the Customer Service office have been tabulated and are provided in the table CustomerService.