Final Public Budget Hearing: September 21, 2023

Final Public Budget Hearing: September 21, 2023

Final Public Budget Hearing FY 23-24
September 21, 2023
5:01 PM

TRUSTEES: Marybeth Cunningham Kerry Bartlett
Karen Deigl Barb Bodnar
Paul Westcott- via zoom Michael Kint
William Cooney – via zoom

STAFF: Frank Isele Jennifer Frederick
Kate Voss Jennifer Peshke, Esq.

ATTENDEES: Bill Stengel Carol Kanarek Linda Kloss Elizabeth Adams
Anne Posey Cecilia Stalnaker
Kelly Williams Rene Bireley

ZOOM: Ann Marie Suriano Marie Andress Barbra Holbrook

Convene Meeting – Marybeth Cunningham, Chairwoman

Ms. Cunningham convened the final public budget hearing of the Indian River County Hospital District (“IRCHD”) at 5:01 p.m. She explained that once this meeting is adjourned, the District will convene its regular monthly meeting. Pastor George Pellington from First Methodist Church Vero Beach provided an invocation and Ms. Bartlett led the group in the Pledge of Allegiance.

Review of the September 6, 2023, Budget Information FY 2023-2024, and Approved Tentative Budget

Mr. Kint addressed the board and stated that on September 6, 2023, the District Trustees adopted a proposed budget for FY 23-24 which included a proposed millage rate increase of 10.73%, when calculated as a percentage of the rolled back rate. At the same meeting, the Trustees chose to not increase this current year’s ad valorem tax rate of .5110 mills and this proposed tax rate equates to an ad valorem tax revenue of $13,572,748 for the next fiscal year. He further explained that this amount is an increase in ad valorem tax revenue of $1,618,601 from this fiscal year. Next, he discussed the purpose for which the ad valorem tax revenues are increasing and clarified that the ad valorem tax rate is not being increased. The increase in tax revenue is due assessed property tax values in Indian River County, which have increased oved 12%. Further, the District is carrying forward just over $9 million in cash, and the reserves and investments are increasing by $925,000. There is also an increase of $3,290,533 in program expenses over the current year budget, and an increase in administrative expenses of $69,500. He explained that inflation has had an impact on all of the District funded agencies and on District administrative expenses, which would justify this increase. Additionally, the District is adding 5 new organizations with 9 new programs to this year’s proposed budget. In responding to all of these needs, the District is utilizing its cash brought forward and the increase in property tax values, to hold the ad valorem millage rate level to the current fiscal year.

Adoption of FY 2022-2023 Budget Resolutions 2023-03 and 2023-04

Mr. Kint asked for Trustee and public comment and there was none. He then asked for a motion to approve Resolution 2023-03, which adopts a millage rate of .5110. Ms. Bodnar made the motion, which was seconded by Ms. Cunningham. The motion carried unanimously.

Next, he stated that before presenting resolution 2023-04, which adopts an operating budget for fiscal year 23-24, he would like to point out a few items for the record. He stated that the proposed budget presented tonight has been updated to reflect the projected annualized expense for the current fiscal year end. Specifically, the cash balance brought forward was reduced by $206,202 for a total of $9,077,780 and the healthcare contingency reserve fund was also reduced by $206,202 for a total of $1,290,979. These changes did not alter the millage rate, the increase over the rolled back rate, the ad valorem tax rate or the tax revenue approved at the September 6th meeting. He then asked for Trustee and public comment and there was none. Therefore, he asked for a motion to adopt resolution 2023-04 which adopts the budget of $13,572,748. Ms. Bartlett made a motion, which was seconded by Ms. Bodnar. The motion carried unanimously.

Public Comment & Adjourn

Mrs. Cunningham asked if there were any additional public comments and there were none. Dr. Cooney addressed the group and thanked Mr. Kint for his work during this budget process and appreciated the clarification he provided concerning the increase in ad valorem tax revenues. There was no further discussion, and the meeting was adjourned at 5:10 PM.