032591-Work Session508 MINU S
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The City Commission of the City of Sanford, Florida met in Work Session on Monday,
March 25, 1991 at 5:00 P.M. in the City Manager's Conference Room, City Hall., Sanford,
Florida.
Present:
Mayor-Commissioner Bettye D. Smith
Commissioner Whitey Eckstein
Commissioner Robert B. Thomas
Commissioner A. A. McClanahan
City Manager William A. Simmons
Acting City Clerk Linda L. Brace
Absent:
Commissioner Lon Howell
City Attorney William L. Colbert
City Clerk Janet R. Donahoe
The Chairman called the meeting to order
The first item of business was a presentation of the Audit for the FY ending
September 30, 1990, with comments by Coopers & Lybrand.
Christine Hill, Managing Partner, Coopers & Lybrand,
O'Keefe, Manager, and reviewed the Audit.
appeared, introduced Dan
Ms. Hill reported that the City of Sanford received the "Certificate of Achievement
for Excellence in Financial Reporting" last year, and that it is unusual to receive the
certificate the first year. Further, the Financial Statements are unqualified, there were
no budget overexpenditures by fund type, and the enterprise funds and pension trust funds are
performing basically as expected.
Ms. Hill reported that the City has purchased excess insurance coverage to protect
itself from certain liabilities, whiCh was a discussed concern last year. Further, there
continues to be emerging issues, one of which is in the area of pension, that a number of new
requirements are being established which the City will need to address. Also, another
emerging issue is post retirement benefits, which are viewed almost the same as pension
benefits, that the City may want to consider how said benefits will impact the City's
financial statements in the future, and that the situation is being monitored.
Commissioner Howell joined the meeting.
Mr. O'keefe stated that there will be some type of funding requirement for post
retirement benefits, which will be a significantly higher expense recognized within a period,
for future benefits to be paid.
Commissioner McClanahan reported that the City of Sanford has an unfunded liability
with every accrued vacation day and sick day, and that the City should be accruing funding
for said liability.
Ms. Hill stated that sick pay would not accrue unless employee has vested right to
receive money when he/she terminates his/her employment.
Finance Director Carolyn Small reported that if an employee terminates his/her
employment, with two weeks notice, said employee received 1/8 of his/her accrued sick leave,
that an employee who is terminated for disciplinary reasons, does not receive compensation
regarding same, that only upon retirement, is an employee paid 100% of accrued sick leave,
with a limit of 30 days for five years of service, 60 days with five to ten years of service,
and a maximum of 90 days with fifteen years of service.
Ms. Hill reported that Certificates of.Participation is a new item in the financial
statements. There were no material weaknesses noted with respect to internal control.
Ms. Hill stated that she was pleased with the results of the Audit, and that there
was a reduction in the number of comments.
MINUTES
City Commission, Sanford, Florida
March 25,
509
1991
The next item of business was a discussion regarding Audit Contract with Coopers
& Lybrand.
Finance Director Carolyn Small reported that the contract with Coopers & Lybrand
expired with the current audit, that the City of Sanford has benefitted greatly"because of
the extended contract, and that having the continuity of a firm such as Coopers & Lybrand
will be advantageous when addressing the selling of bonds, and perhaps tax increments as the
mall progresses. Further, proposed contract with Coopers & Lybrand is in amount of
$40,000.00, that Staff has checked with other cities comparable with the City of Sanford, and
that 1990 audit costs ranged from $38,000.00 to $60,000.00.
After discussion and negotiation, the City Commission and representatives for
Coopers & Lybrand agreed on the following terms: $40,000.00 annually, for a three year
period, with CPI adjustment iTM the second and third years, as determined by actual CPI; said
Contract to be formally voted on at Regular Meeting of March 25, 1991.
City Manager reported that Parks Director Jim Jernigan has distributed information
regarding damaged light poles at Ft. Mellon Little League Field, that insurance will not
cover the expense to replace said poles, and that something needs to be done as expeditiously
as possible.
Parks Director Jim Jernigan reported that the existing lighting system is over 25
years old, that three poles were extensively damaged by the storm March 17, 199i, that the
condition of the remaining poles does not-warrant patching, and recommended replacement of
the entire system in estimated amount of $24,000.00.
City Manager reported that Parks Director and Recreation Director'have indicated
that a combined total of $7,500.00 currently exists in FY 90/91 budgetS, to cover minimum fix
up job, that another alternative would be to replace entire light system, to be funded by
said $7,500.00, plus approximately $16,500.00 from reserves.
The consensus of the Commission was to approve replacement of the entire lighting
system in total estimated amount of $24,000.00, $7,500.00 to be funded from combined Parks
and Recreation Department FY 90/91 budgets, the remaining $16,500.00 to be funded from
reserves.
There being no further business, the meeting was adjourne.d.
'MA ¥~/0 R
Attest:
~/- City Clerk