We Must Do Better

In a recent budget workshop, I kept hearing the same phrase: “We need more money.”  The fact is, we do need more money, eight years of rollback has starved the City of necessary funding. 

While rollback provided tax relief to residents, it was made possible only because of rising property values and the availability of outside grants. That gave the City room to maneuver, but it also created a false sense of financial security. Now we have identified significant deferred maintenance, with multiple demands to strengthen our reserves.

I was asked what I would cut from the budget. First, we are lacking a complete picture of our current financial position. I expect our City management to lead the way in improving operating effectiveness and managing costs. I question our elevated use of consultants and advisors. Our goal should be to diminish the use of consultants. Staff should strive to develop these skills in house. By their very nature, consultants have limited accountability or any stake in the outcomes and long-range impacts.

The recent audit - and the abrupt resignation of our finance director - highlighted a failure of internal controls. We haven’t been minding the store and this erodes credibility. Our annual audit was submitted to the Auditor General without review by the Audit Committee or Council. The State Statutes required the Council Chairman to sign the audit before submission. This step was ignored entirely as the audit was sent without his knowledge. 

In the budget workshop, I conveyed that I could not ask the community for a tax increase. I need assurances that we have much clearer mapping of our current financial position. A comprehensive financial plan is the basic foundation for any discussion of taxes. A critical amount of current data is missing from the analysis of our needs. We don’t have an updated five-year expense and capital improvement plan. The Level of Service (LOS) study is mandated annually by our comprehensive plan, our ordinances, and state statutes for a very good reason: without it we are flying blind. The full LOS study gives us a concrete determination of our density and intensity. This study also determines our developer impact fees. That calculation has not been updated; they are now likely 30% or more below market based on a simple COLA calculation. Unfortunately, we left that money on the table and are now forced to spend taxpayer dollars to make up the difference. We should be highly motivated to negotiate better terms regarding all our financial arrangements with Collier County. I am troubled by our underdeveloped execution in pursuing and collecting receivables. We must demonstrate a track record of success collecting all funds due the City. 

At the last City Council meeting, I voted against the maximum allowable tax increase cap. If adopted, this would be the largest tax hike in Marco Island’s history. Property owners are being asked to pay for eight years of poor planning, and that is not to be taken lightly. Yes, we need revenue, but we need to earn voter trust with enhanced oversight and forethought. 

If we simply stop the rollback, hold the line on the millage rate, and consider reasonable financing options, we can do what needs to be done next year. A track record of financial discipline is a prerequisite to a tax increase.

My goal is to demonstrate to the community that we are carefully managing our resources. I’ve heard repeatedly that a municipality is not run like a private business. I truly believe we are not exempt from quality reporting and disciplined stewardship. The citizens of Marco Island deserve a higher standard of care.