Mayor Jim Cason recently asked City Manager Pat Salerno to provide the City Commission with a recap of significant actions and events that have occurred since he became City Manager in April 2009. Salerno fulfilled the Mayor’s request during the April 24th Commission meeting.
The University of Miami graduate expressed his fondness of the City Beautiful, and his shock at discovering, some 10 days after becoming City Manager, that the City was facing a financial catastrophe. He immediately took emergency measures to continue operations, a process that still continues in several important ways today. As he dealt with the financial crisis, he never stopped thinking of the future. The City Manager also provided the Commission with an extensive list of significant actions and events. Provided below are a few examples of the work that the City Commission and the City Manager have accomplished in the past three years.
•20-year development agreement reached with the University of Miami. Includes paying City $22 million over the term of the agreement, and provides for orderly development of the university while enhancing the protection of adjacent neighborhoods. Agreement also includes free tickets for residents to football, basketball, and baseball games, concerts, lectures, and other cultural events. Such an agreement had eluded the City for approximately 15 years.
•Pension plan reformed for General and Management employees saving approximately $4 million a year.
•The Fiscal Year 2010 – 2011 budget was adopted, marking the largest reduction in property tax revenue in more than 20 years. A reduction of approximately 100 employees over two years; the fewest number of City employees in more than a decade.
•The Fiscal Year 2011 – 2012 budget was adopted, marking the first time in 25 years since the City reduced the amount of property tax revenue collected for two consecutive years. Reduced the number of departments from 17 to 14.
•Neighborhood Renaissance Program established for various projects. City Commission approved funds to implement the program without increasing the annual budget. The NRP provides for the following projects:
-Senior/Multi-Purpose Center
-De Soto Fountain Traffic Circle Improvements
-Beautification of Granada and Columbus Circles
-Construction of the final phase of Ponce de Leon Streetscape project.
-Construction of a streetscape project along Biltmore Way between Anderson Road and Le Jeune Road
-City-wide Neighborhood Street Landscaping Improvements
-City Entrance Way & Fountain Restoration
-City-wide Street Resurfacing of 30 lane miles, eliminating a 10 year backlog, as well as providing funds for Sidewalk Repair/Replacement and Traffic Calming projects
-Installation of Civic Monuments in the Segovia Circles
-Beautification of Street Intersections
-Country Club Prado Landscaping Improvements
-Development of Two Passive Parks
-Acquisition of land and development of a Downtown Civic Plaza and Garden
-Development of an entertainment venue on Giralda Avenue through a public/private initiative
-William H. Kerdyk / Biltmore Tennis Center Improvements
-Fred B. Hartnett / Ponce Circle Park Improvements
-Installation of Bicycle Paths
-Installation of Decorative Historic Streetlights
•Achieved a successful outcome with the Biltmore Hotel’s management company resulting in a payment of $5 million owed to the City in back rent and fees.
•Cost of liability claims was reduced from $4 million in 2009 to approximately $500,000 annually.
•Cost of workers’ compensation claims reduced, from more than $2 million annually 10 years ago, to approximately $500,000 annually.
•The Miracle Mile / Giralda Avenue Streetscape Initiative approved.
•Launched new City website with an easier to use Calendar of Events, Spanish translation features, a larger photo gallery, and direct access from the homepage to the most common points of interest.
Salerno also mentioned the status of the City’s reserve funds. He described reserves as an important measure of a municipality’s financial condition. Just 10 days after becoming City Manager, Salerno discovered the City’s revenues had been overestimated and its expenses underestimated by approximately $8.5 million – that’s approximately the same amount the City had in reserve at that time. He immediately moved to renegotiate labor contracts, reduce staff and cut expenses everywhere possible. As a result, the City averted the need to declare a financial emergency and finished the year with $4.5 million in reserve. By the end of his second year, Salerno’s initiatives helped replenish reserves to $6.5 million. Today, there are more than $12 million in the City’s general fund reserve. Salerno warned that a reserve of $12 million would not insulate the City from future events such as tropical hurricanes or economic tsunamis and, therefore, affirmed his commitment to continue adding to the reserves while keeping the City’s budget as tight and lean as possible. He summed up his three years of service by telling the Commission he was proud and privileged to work with them in ensuring Coral Gables remained the City Beautiful for future generations. To see the full report, click here.