HomeMy WebLinkAbout31088 - MINUTES - City Commission SPECIAL MEETING, CITY COMMISSION , CITY OF DANIA, FLORIDA,
HELD JANUARY 19, 1968
The City Commission of the City of Dania met at a special session
at the Commission Room at the City Hall at 2:00 p.m.
Present were: Roll Call
Commissioners Robert Houston
Richard Marant
Joseph Thornton
Boisy N. Waiters
Mayor-Comm. Robert Kelly
City Attorney Clarke Walden
Chief of Police Donald Parton!-
0 Building Inspector Hubert Walker
City Manager Stanley Goldberg
Acting City Clerk Jean Moore
1. Commissioner Houston complained that the Thursday night meeting
was called off . Mayor Kelly explained that Mr. Walden could not attend.
® Comm. Houston stated that the meeting had been advertised for Thursday
night and the attendance could not be as great in the afternoon.
2. Carnival: Police Chief Partons said he had checked the Carnival
Company the name of Southern Amusements , and said that he found
nothing derogatory against this Carnival. They are licensed by Broward
® County and are presently located at Hamondville Road in Pompano Beach.
It was asked how much room would be needed for this Carnival , and the
answer was about one acre . The church wishing to hold this Carnival
has a Church building in Hollywood , and their membership is made up of
residents of both Hollywood and Dania. It was pointed out by the Chief
® of Police that there should be extra patrolmen on duty at the Carnival
site. Another location was suggested. Comm. Marant moved that the city
grant this church the right to have its Carnival depending upon the
location and posilig. the clean-up bond of $100 which must be placed in
the hands of the Police Department three days before the Carnival moves
into the city. This motion seconded by Comm. Waiters. Voted as follows :
® Houston yes
Marant yes
Waiters yes
Kelly yes
® 3. Charter Boats , Mr. G. J. West is asking for a charter boat license
for t e West C arter Company. They rent sail boats for a few days or a
week, and there is no fishing. All boats are inspected by the Coast
Guard. Commissioner Marant made a motion that a license be granted with
the stipulation that no cargo or no fish or any marine life of any type
be allowed to be unloaded from that point where any of the vehicles are
A docked. This motion was seconded by Houston.
Voted as follows:
Houston yes
Marant yes
® Waiters yes
Kelly yes
Motion passed .
4. Travel Lodgge , Mr. J. O. Morton whishes to open his Travel Lodge
® on NorTFederiT Highway and wished to discuss whether it was necessary
to put in sidewalk at this time. The Commissioners said that they would
have to uphold the sidewalk ordinance, and that they could not make an
exception without making other exceptions. He was given permission to
open by the following Monday and to check with the City Engineer con-
cerning construction of the sidewalk.
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5. Bartholemew-Concrete Fence It was brought to the attention
of the omm ss on a rth
® the Bar on hw olemew who owns the Motel west of
Dixie Higay has built a concrete fence around the
sidewalk on both ends blocking the sidewalk. People cannot con-
tinue on the sidewalk. Commissioner Houston stated that someone
should talk to Mr, Bartholemew. The City Manager was requested
F. to take care of this .
.;: 0 6. Com lete Auditors Report: Mr. Freeman is questioned--We are
late ge ng our re
pors tack. Can you make recommendations on
how we can improve our auditing system? Question as follows:
Houston--On schedule A-1 of the report:tehere we have an una pro-
_PH_a__t_e3 surplus deficit of $18,478.89. How is that being carried
on this year's budget?
O Freeman--That $19478.89 is the difference between the surplus
whic resulted actually at the end of the fiscal which had been estimated during the' fiscal Year and that
Houston--I understand that it was estimated
$37'000.
It looks like somebody showed $192000, do' you know?Kelly--No sir. In all the budgets in the past, in fact this
O figure is what got us in trouble in the past. This unappropri-
ated surplus of $136,00o is not there.
Houston--It is there, in the accounts and the cash.
Freeman--This goes quite a way back. The $155,000 was there at
one time. It was spent and then it went into the year's budget
as unappropriate surplus , It was a car
-over at one time.
O Houston--How do you account for the $20 000 some odd dollars in
'-, the special assessment fund, the money which was the cemetery fund
and other funds like that?
F; Freeman--That was there and that was the surplus that we wound up
wEE year after year. During the past years this was analyzed in
tremendous dteail and it was fully explained to the satisfaction,
O and I think what happened was that the $155,000 surplus was re-
appropriated two years in a row, only one year it was spent and
was not available for reappropriation the second year.
Kelly--Which two years was it, Mr. Freeman?
rF ean--It would be the current year and August, 1967, the fiscal
year ending August 31, 1967. It was all fully explained with
O schedules and reports in earlier meetings. This is what happened,
You weren 't on the commission at that time.
Kelly--We have a cash carry-over.
Houston--What is it?
Freeman--Your getting into our audit which went through August 31.
Ea we are doing is reporting what has happened.
O Houston--According to your audit, the cash carryover is $41..000.
Freeman--You have to take the asseb* which are available for ex-
Pe— nn Iture for the coming fiscal year, deduct the liabilities to
be paid therefrom in the coming year, and that would be your cash
carry-over. As of August 31, 1967, take the balance sheet, exhibit
A, and go through the accounts which would be available for appro-
O priation in the next budget.
Houston--Would you mind pointing out these accounts which you are
talking about.
Freeman--Ok, your general account $34,378 is available, total cash
Of 1,738 but you have obligations against that cash. You have to
determine the amount which is available for reappropriation.
O Houston--Reappropriation, that is what we are talking about.
Freeeman--You have $41,000 cash, that is what you have on hand which
of course you have to keep some operating funds, you can't spend
every penny of it, but in general, this is what you have available
Plus due from other funds. We have 4,000 in water fund which can
be expended, Sanitary sewer fund of $4,468 and $20,000 of special
O assessment revolving fund which cannot be expended because you
are going to keep the special assessment revolving going. You
don't have all the assessments collected, it more or less has to
stay there . So far you have $50,000 taxes receivable, so that
out of that $50,000 at the end of the year, you have to provide
for vouchers payable of $21,916.
Houston--Are those vouchers payable after August 31?
reeeman--They are the vouchers payable thatvl'ujd be paid in Sept,
for is incurred during the month of August.
Houston--That doesn't effect the money that is going into the bud-4 Bet, does it, because you are goin to pay those bills in this years
t. budget which starts at the end of the audit, or August 31.
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Freeman--These bills were charged towards last year's budget.
e cash will be expended in September.
Kelly--The obligation was incurred in the month of August, the
x' money was set aside for that month also.
Houston--Set aside here is this $21,000, the funds are there, but
we are going to pay them out of the funds which are shown here.
Freeman--These will not be charged against the 67-68 budget.
They have already been charged against your budget. They are just
"= unpaid at the end of the year. Therefore, $41,000 cash of that
$21,000 is already committed for bills you have already incurred.
Houston--So you have to carry that to carry over into this budget.
i, Freeman--Well you have the net, the difference between the cash
you have and the unpaid bills.
Kelly--Mr. Houston, I think that what you are getting at is, that
every other year, thei,f unappropriated surplus was carried forth
in our budget. It was carried forth like cash, but it was not cash.
i It was what was owed from the beach fund, it was what was owed from
assessment, etc. Did we carry over anything this year Mr. Goldberg?
Goldberg--No.
211 —Not one dime? If we come up with $102000 carryover, this ,.
is of in our budget. This isjust surplus which is not put in
f , our budget, so I don't care, we didn't appropriate one dime of this
surplus in this ,year's budget.
' Houston--That is just what I want to know, how much there was when
wewegot through paying these bills and things to use in the budget.
;f Freeman--If you analyze this budget, you could tell. We had $502000.
We--Tu--sT had 40 and nine dollars in cash receivables. Now we have
to take out vouchers payable, $21,916, mortgage payable $14,000.
r Now this is either going to be paid out of your exiMing cash, or
it is going to be budgeted in next year's budget.
Kelly--It was budgeted.
Freeman--If it was, then you don't have to have to particularly
co— nsie-r it in your cash. Revenue certificates payable, this is
your monthly payment, which may or may not be budgeted in next
year's budget.
Houston--What monthly payment is that?
Freeman--0n the beach enterprises revenue certificates which were
! issued last year.
a, Kelly--You don't have to provide for it out of cash. In sidewalk
a�treet deposits you have to pay in cash, the trust fund you
have to pay out of cash on hand, the payroll taxes you have to
pay out of cash on hand, so all the current liability is $54,999.78•
It looks like $29,000 will come out of the $41*000 or out of the
$50,000 which will leave about $21,000 actual cash carried over
into next year.
Houston--That is what I wanted to know, $2110000 that has not been
appropriated from this budget.
Freeman--Right.
K-1e Ty=That sounds better than a $160,000 deficit that was mentioned
n a newspaper article.
Marant--I would like to ask a point blank question, Mr. Freeman,
Tn your estimation, what kind of financial situation is the city
in right now?
Freeman--Your financial situation is the ability to meet your
oEl�ga�ions. Again, this is a matter of interpreting, and you
have a financial statement for each fund, so you may have one fund
in a good financial situation and one in a bad situation.
Marant--Can anybody constvue the facts to mean that the City at
any Tme was about to go under or go bankrupt?
Freeman--With all due respect, this is a judgment decision, we
are reporting the facts, but we are not here to criticize.
Marant--Do you think, based on what you have prepared for the
co 3ssion right now as of August 311 1967, in your opinion as a
man who has prepared this budget, how does the city stand?
Freeman--All you can do is look at the balance sheet, the balance
_ shows that you have $41,000 cash, it was just computed that you
have $21,000 available carry-over into next year. So certainly
your general fund has the ability to meet its obligations at this
time . Now, if you want to determine for the future, you have to
start projecting your mortgage payments coming due, and your rev-
enue certificates, etc.
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Freeman--You have to look at your sewer fund. Also, the general
revenue and you must go much further, you can't say, yes its good
or yes its bad.
Houston--Mr. Marant is getting into the overall situation of the
IE TTere. We have approximately $20,000 to carry over that doesn't
show on the budget. Now we have a $65,000 loan that was made at
the bank, for the first time we have borrowed money.
Freeman--That $11,000 is the third item in the liability section
which f you were going to pay the first year's installment out of
cash carry over, then you would not have to budget them. Instead
ou would put that money in the budget; and therefore, this
11,000 would not be applied. Then you would have to put the
11,000 in the budget for the next time.
Kel_lY--Mr. Houston, you made a statement that we have never bor-
rowed before.
Houston--We borrowed money for projects and things like that, never
anytlUig to carry us through on business.
Kelly--We borrowed this money, it was actually owed to the general
7U7 , the $65,000 that we borrowed, was it owed to the general fund?
Houston--Pier money and parking meter money should have been applied
to the past year.
Freeman--We are here to report what actually did happen.
KeI 1 --When you talk about applying parking meter and pier money,
that beach cost us better than �20,000 Just to clean.
I personally, don't approve of taking general fund money and
paying off a pier. But, this is what we did. We borrowed the
money against the pier which came out of the general fund to pay
it off originally and which ran the city short of capital.
Houston--Let me explain, that was the basis on which the pier
was put in on. The revenue from the pier and the revenue from
parking funds was supposed to pay off the debt.
Marant--But this is not how it was done .
ous on--It was paid off ahead of time, but they still had to put
in money, and if it weren't for cleaning the beach which we never
figured in the budget, the debt would have been paid off.
Marant--But that money is entitled to that $65,000 to be paid off.
You get $55,000 from the pier and the parking meters. This was
to be carried over for a two or three year period.
'e Houston--How much income was there from the pier and the parking
meters'.7 It would be $55,000 or more.
Marant--This is something we were not involved with and somebhing
t is commission wasn't involved with either.
Houston--I was against it and objected to it at the time.
eve one more question, Mr. Freeman, here is a note on schedule
O C-1 "Amendments to the assessment roll have been made on the basis
of agreements reached in conference between property owners and
reparesentatives of the City but have not been approved by formal
action of the City Commission.
Freeman--Yes, those have been reflected in the statements.
ous on--I would like to know what you are refering to there.
® r'eeman--It is the sewer. .
ous on--How many of those are around? Have we acted on them?
m refering to the Cl amendments, those are going to have to be
approved, and I would like to know how many there are.
Freeman--Would one of them be the Mow Job that has to be done?
Kelly--Do you have a list of those? It involves about 10.
:! Houston--Are those for easements?
��-No. These are all changes since the roll was budgeted on
the basis of the original assessment measure required for re-
surveying the area and these amendments were made basically on the
recommendations from the City Engineer. These agreements were
reached in conference with the Utility Committee but never acted
upon by the Commission as a whole .
Houston--Have you furnished the city manager with a list of those,?
I would like to have a list of those submitted to the City Commis-
sion. .
Freeman--The roll should not be changed until you gentlemen have
passed on it . They should go to the records, and .I hope they
_ come up with the same thing that we did, of course, we Just had
to build this up and with a conference with the City Engineer
to find out what had been approved.
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Freeman - Your Utility Committee should go to the old records and
ec�TF-what they have changed and hope that we come up with the
same figures. I think that you might add that these figures were
actually changed on the roll too. It was established by action of
the Commission and it should be revised by it.
Kelly - There was a certain number of them we brought before the
commission. Yes , bit this has nothing to do with the prior approval.
Does anyone have any more questions?
Schedule F-1 sewer analysis--This figure $33 ,391.37 is the figure
that appeared in the paper as a deficit in our sewer fund , and
Mr. Freeman, this is only six months revenue.
Freeman - Right, the sewer payments of course only operate on a six
months of the fiscal year.
Marant - This figure was projected on a yearly basis wasn't it?
R-e y- This has nothing to do with the budget, it has to do with
actual expenditures.
Freeman - The $33,000 is the difference between the surplus that
was fidgeted according to your original budget in anticipation of
the end of the year, and what you actually had at the end fo the
year. This is what was printed as the deficit of the sewer fund.
This is merely the difference between your results and your es-
timated results.
Kelly - And that estimated result was strictly a guess , because
we nothing to go on as far as prior record, etc. In your
records you have a revenue of $68,000 which a portion of that
is actually $24,000 as service charges on F-3. $43,000 is the
amount we transferred from the special assessment fund.
Freeman - Right, you actually transferred $43,000, but it can't
be to n as being meaningful because you could have transferred
say $80,000 and you would have had a surplus. It all depended
on how much you wished to transfer from special assessment fund
last year. It turned out that you only elected to transfer
$43 ,000, that money is still in the fund.
Marant - As far as operations of expenses against the actual
revenue , that would be schedule F-5, it shows that we made
$4,729 strictly expenses against revenue before financial costs;
just general over-head versus the income .
Freeman - Of course this is the initial period of operation and
can't relied on for future operation.
_ Kelly - Our revenue in the first three months here were partial
revenue . We only have three months of partial charges in this
figure.
question was brought up about the auditing fee:
Freeman - When our firm took this audit job we expected to go
rig t straight through, but we have been called upon to do a
great amount of investigation work, and had therefore neglected
other clients. Our original fee did not cover all expenses for
them according to our standard rates , and we will have to ask
for a higher fee of $7,500 or $8,000. Your regular help should
be able to take care of the books , and then we could come down
and take care of auditing. We suggested a fair amount that our
firm and the Commission could agree on.
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Goldberg - I refer back to a letter from Lindfors & Waite, of
SeptemEer 1965, prior to my administration and any of the
members of the Commissions administration. It reads in part:
In response to your request we hereby state that the Burroughs
F-6303 Governmental accounting machine purchased by the City
of Dania May 1965 is of a design which will permit its use for
Sewer Fund Accounting purposes such as the billing and record-
ing of sewer charges and assessments.
It is our understanding that a major reason for the purchase of
said machine was the anticipated additional accounting work load
due to the creation of the Sewer Fund.
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Goldberg - From another letter dated January 25 , 1966 from
'yW'iY=
Lindfors & Waite I read in part--Because of certain defic-
s iencies in the City's accounting records, we found it neces-
"z. sary to extend our audit procedures substantially beyond
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normal requirements. For example, balances forward at Sept-
ember 1 , 1964 were not determinable by reference to the
record., themselves, files were somewhat disorderly and some-
times incomplete, and the transactions of the Sanitary Sewer
Fund , involving over $1,000,000.00 in construction costs paid
and over $2,000,000.00 overall, were never recorded in the books.
In all , we made 103 adjusting entries and consumed 856 hours of
audit time, about twice what it should have been.
Goldberg - This again is prior to the administration of anyone
sitting up here. I have here a rather lengthy and detailed report
which I believe was submitted to someone, and I would like to know
whom you submitted it to, back in 1964 and 65, the city financing
procedures to be followed. And, I would appreciate your answering
a question as to whether these procedures were ever followed, and
whether or not the lack of this procedure being followed resulted
in your having to spend additional time and caused the delay ex-
perienced in the past audit.
Freeman - What this is , is an accounting system for the Sanitary
Sewer operation, involved I believe, in three or four different
funds.
Houston - When was the book set up for the Sanitary Sewer fund?
i you set them up?
Freeman - This was the design of the system which, of course,
you he your own personnel doing the physical work and setting
up the books.
Goldberg - This was 64 and 65 , do you know who this was given to?
® Freeman - Certainly, they were given to the City Clerk Auditor, who
was responsible to keep the books. This procedure is the one
that reflected in your report. Now, there are certain preliminary
steps required by the Bond Resolution so far as transfer of cash,
and the letter which you made reference to a minute ago brought
out the points where they are not being precisely followed.
Now again, just as we pointed out before, we have found ourselves
having to make most of the entries in the sanitary sewer fund,
which is not our job.
Goldber - These accounts of 64, 65, and 66 were never posted as
A instructed?
Freeman - All throughout the entire history of the sewer fund.
ouston - Was this brought to your attention before?
Go sr - No sir.
Houston - Gentlemen, I can see what this going into . It is going
into a hearing on the actions of the City Clerk and the City
® Manager, here again I say that it is wrong, and that the City
Clerk should be here to defend herself.
Goldberg - This is not meant to be criticism, but some statements
were ma a in your report are not things of recent origin. It
is well that they were put in there, but actually had your report
A been written by myself or by any member of this commission, I
think the same criticisms would have been put in there, because
this is the body who have been raising the questions in the past
year or two. These questions were not previously written, and
therefore , they were not previously taken care of. Consequently
they have been raised, and we are taking care of them. Is this
® not so?
Houston - At that time you designated what the duties of both
parties were. The City Clerk complained that the City Manager
interfered in her office.
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Goldberg- Mr. Houston, you and Mr. Thornton are misdirecting
your criticisms, because these things date back.
Houston - I£ you have all the information there, you bring it
Tac : w en Mr. Thornton is here.
Kelly - Do you verify all these letters Mr. Freeman?
Freeman - Yes.
R-e l y— Do you have anything else Mr. Goldberg?
-oT -er - No sir.
End of Audit Report.
The question about checks being made out to cash came up, and
of course all agreed that this is poor practice. Mr. Kelly had
some copies of checks made out to the sum of $100 to the order
of cash signed by Mary Thornhill and Joseph G. Thornton; he was
Mayor at that time. On the back of this check there was no sig-
nature whatsoever, it was strictly made but to cash and deposited.
The pay voucher reads : Expenses to Tallahassee for Mayor Thornton
and Mr. Lassiter. Mayor Kelly also pointed out that there were
other vouchers out of sequence. These checks were handed over to
the press.
A meeting was set for Monday night at 8:00 o'clock, January 29, 1968.
The motion was made by Commissioner ;Marant and seconded by Commis-
sioner Waiters.
Roll Call:
Comm. Houston yes
Marant yes
Waiters yes
Mayor Kelly yes
There was a discussion about the Fire Department. The Volunteer
Fire Department has no public funds whatsoever; it is strictly a
volunteer organizaion, and they work strictly by contract. The
Volunteers are paid so much a call. It was stated that Mr.
Lassiter received a check for $1,900 for the Volunteers. In Dec-
ember the bill was $1664, in September $269, October $855 and
November $1182. Houston wanted to know how many emergencies, etc. ,
so that the people can see what they are getting for their money.
Mr. Freeman agrees with Mr. Waiters that some record be set up to
show how the funds for the Fire Department are spent. Comm. Houston
stai:ad that the fire department had gotten at least $209000 in
equipment in the last 20 years.
Mr. Freeman suggested a very competent bookkeeper should be hired
and the Commission felt that Mrs . Walls was a very competent per-
son and that she was doing a good job. Comm. Houston asked for a
trial balance to be made monthly.
Recall discussed: The signing of the petition was discussed. The
first group involved is the purchase of the old Dania Bank. Mr.
Walden said that you cannot have separate petitions for each com-
missimer. A letter to the City Clerk states that she will pre
copies of the original -
pare petitions , and will attach copies o£
A any defense statement and then procede as required, and that copies
of this shall remain on file at City Hall for a period of 30 days.
The 30 days includes Saturdays and Sundays. A question from the
audience was asked; may a person have their name taken off the
list after having signed the petition. The answer was yes, if the
30 days had not elapsed. The petitions should be open for inspec-
tion but not circulated. If not over 25 per cent of the people do
not sign the petitions , the information should be kept confidential.
It was agreed by all that it be kept absolutely confidential.
On the election machine there must be a separate ballot if the elec-
tion goes through. The people may have the right to read the peti-
tion, or they don't have to sign the petition if they so choose.
Mr. Walden suggested that the recall group and commissioners in-
volved should have a meeting Thursday to go through the form of
recall. Comm. Houstonrasked who had a key to the City Hall. It
was suggested that if anyone should get the key from the Police
Department to City Hall they should sign a register.
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Questions from the Audience
Cram' mer On the revenue coming from your sewer, Mayor Kelly,
according to my bill which has probably cost me about 40 cents
a month, why don't we have to pay the utility tax on the sewer
like we do on water and telephone?
Houston - They never passed an ordinance to effect this .
Zenobia - What about the revenue from the sewers?
Houston - The, only people paying the utility tax on the sewer would
e Te sewer users , and this would go into the general fund of the
City. Mr. Zenobia is in favor of utility tax on sewers , Commis-
sioner Houston is against.
Discussed sewer arrangements for a house being built on S. E. 4th
Street . A question was asked as to whether it was necessary under
the contract this owner has to advertise for bids or advertise asses-
sments . Mr. Walden advised that if all owners voluntarily consent ,
it is not necessary to advertise, but if one. of them refuses , then
i it will be necessary to advertise. Also discussed, was the last
house on Third Street , involving sewers between Third Street and
Third Terrace. Mr. Carney was instructed to get amounts .
In order that some sewer extension work can be done, a motion was
made by Comm. Houston and seconded by Comm. Marant that the sewer
construction be extended between S. E. Third Street and 3rd Terrace.
Voted as follows: Houston yes
Marant yes
Waiters yes
Kelly yes
Motion passed .
The subject of paving S . W. loth Street and Dixie Highway was dis-
cussed . Mr. Houston suggested that someone contact these people
and Let them know how they would be assessed. It was suggested
that each of these people sign and waver the hearing. The pav-
ing of streets was to be discussed and settled at some future
meeting.
I; Police Chief Parton said that he had received only one bid on the
six damaged police cars . This one was from Stewart's Garage.
Corpm. Houston suggested that he call an estimater and offered to
see that he was contacted by one on Saturday. Which ever one he
accepted should be the one that was most reasonable.
is
Ben Shine has asked for repairs for his car which he has used for
City work. It will take about $150 for repairs. All agreed to
repair the car.
Mrs . Kennedy asked what would be done about the recreation center
situation. Comm. Marant informed her that there was to be a meet-
ing of the Rbtary Club on Monday afternoon. She asked about the
resignation of J . Roche and was informed that the meeting Monday
will be a closed meeting. She pointed out that many parents were
quite concerned.
And the meeting was adjourned.
Mayor Kelly moved that the Commission be adjourned.
The meeting was adjourned.
Mayor Robert Kelly City Clerk, Jean Moore
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