FY 2025 Budget Workshop: Police, Fire, and Development Services - August 22, 2024

This City Council workshop, held on August 22, 2024, at 9:00 AM in Council Chambers, was the fourth of five budget workshops focused on the FY 2025 proposed budgets for the Police Department, Fire Department, and Development Services. No formal actions or public comments were taken; presentations were for informational purposes only, followed by council discussion and questions. City Manager Peter Zanoni noted that the final workshop on August 29 will cover the Capital Improvement Program, hotel occupancy tax, and proposed budget amendments, with adoption scheduled for September 10.

Police Department Budget Briefing

• Presentation by Chief Mike Markle: Proposed FY 2025 police budget totals $110 million ($87M general fund, $11.9M crime control, $8.7M MetroCom, $2.4M grants). The general fund increase of $3.4 million is primarily due to contract pay and benefit adjustments. The crime control fund (1/8-cent sales tax) is projected to deficit-spend to maintain 78 officers, with a plan to transition some positions to the general fund in FY 2026-27. MetroCom budget decreased due to a $1.6M state grant for Next Gen 911 and CAD upgrades being partially expended.
• Staffing: Total sworn positions budgeted at 529, with 40 vacancies offset by 30 cadets in the academy (expected graduation February 2025). MetroCom has high vacancy rates (84 budgeted, 4 in hiring process, 133 applicants). Chief Markle reported an average annual attrition of 25 officers.
• Vehicle & Equipment: The budget includes $4 million for 40 additional fully-upfitted marked patrol vehicles (on top of normal $1.5M for 35 vehicles). Production delays persist (e.g., Chevy Tahoes due to UAW strike), but orders have been placed. The new police training academy at Del Mar South is substantially complete, expected operational by November 2024. A new detention center lease is being negotiated for a location across from Development Services on Leopard Street; will come to council soon.
• Crime & Public Safety: Chief Markle noted that overall crime is steady/dropping, but youth crime (perpetrators younger, guns involved) is a growing challenge. Traffic fatalities (27 this year) exceed homicides (18). The department uses drone technology for rapid response and community policing. Homelessness remains a significant call volume, with a multi-faceted approach.
• Other Discussion: Council requested improved public crime data reporting (current online system is broken due to CAD upgrade data issues; being fixed). Councilman Pasley emphasized traffic speed enforcement as a priority. Councilman Hernandez questioned MetroCom salary reductions—staff explained vacancies lower salary snapshots. The police union president Scott Leaton was acknowledged for advocacy.

Fire Department Budget Briefing

• Presentation by Chief Brandon Wade: Proposed FY 2025 fire budget is $81.6 million ($80.8M general fund, $600K grants). The general fund increase is modest, with contract pay mandates totaling $4.34 million (collective bargaining agreement). Revenues include $2M estimated from Texas Ambulance Supplemental Payment (TASP) and $10.3M from medic transport fees (increasing due to improved billing contractor Digitech).
• Staffing & Operations: Sworn positions remain at 455 (4 vacancies, 451 filled). Civilian staff is fully staffed at 17. Attrition is about 20/year; 2024 has seen only 4 resignations among firefighters under 5 years (down from 8-9 in prior years). Overtime decreased from $7M in FY21 to approximately $3.8M (excluding $1.2M in state-reimbursed deployments).
• Apparatus & Facilities: Budget includes replacement of 3 medic units and 2 fire engines. Delivery times remain long (18 months for medics, up to 2 years for engines); purchasing will begin before October to secure spots. Fire Station 3 (on Morgan) under construction (replacing a 70-year-old station). Stations 8 and 10 are in design. A new brush truck (Type 7 ATV) was purchased for grass/brush fires. Fire blankets and plug kits for electric vehicle fires were acquired; chief expressed concern about long-term carcinogen exposure from EV fires.
• Reorganization: Chief Wade proposed converting 6 firefighter positions into 3 deputy chief/shift commanders and 3 captains as field medical officers (restoring a previous position to assist with EMS field issues and hospital liaison). This would improve span of control (currently 13 battalion chiefs report to one operations chief).
• New Fees: Two new fees were introduced: $75 for fire final inspection, and a non-emergency lift assist fee for skilled nursing facilities (estimated 300+ calls/year). Mobile food truck inspection fee is also being added.
• Other Discussion: Council discussed the need for better public notification during major incidents (e.g., North Beach fire); Chief Wade suggested shift commanders could handle public information. Councilwoman Campos requested PSAs on child vehicular heatstroke. Councilman Hernandez questioned overtime and professional services increases; Chief explained budget right-sizing and EMS billing contract adjustments.

Development Services Budget Briefing

• Presentation by Director Al Raymond: Proposed FY 2025 budget for Development Services is $13.9 million (special revenue funds for development side, general fund for code compliance). The department has 129 staff (proposed reduction to 122 by eliminating 2 unfilled STR positions and 5 code compliance positions—3 of which are currently filled; those staff will be reassigned).
• Operations & Workload: In FY 2024, the department issued approximately 3,000 residential permits (down from peak of 4,000 in 2022) and an estimated 700 commercial permits (down from ~800 in 2022). Next-day inspection requests met at 85% (targeting 90% in FY 2025). Vacancy rate is about 20-21% (improved from 45-50% when Raymond arrived). The department uses recruitment strategies including certification incentives and career ladders.
• Fee Increases: Council previously approved a 10% annual increase in development services fees for four years; the final 10% increase is in this proposed budget with a transition to the Construction Cost Index thereafter. Revenues are projected at $9.5 million against $10.5 million in expenditures.
• Facility Renovation: The planned first-floor remodel of 2406 Leopard Street was scaled back because Frost Bank (a tenant) will leave in spring 2026, freeing 8,500 square feet. The project is now an interior-only renovation (eliminating two additions); cost is expected to be lower than the original $9.5 million estimate. A 70-space parking lot across Kennedy Street will be designed and built before year-end. Councilman Pasley urged a holistic view of the entire building renovation.
• UDC Update: The Unified Development Code update (not updated since 2011) is underway via a technical advisory group. Target completion is summer 2025, after extensive community and industry outreach. Issues include street width requirements and tree planting.
• Short-Term Rentals (STRs): The department is managing STR compliance; two unfilled positions were eliminated by redistributing workload. Code Compliance reported improved compliance overall, though illegal operations on the island remain a focus. Council asked for a summary report on the program.
• 311 System: Multiple council members raised complaints about the 311 system (closed tickets without resolution, poor user experience). City Manager Zanoni proposed forming a stakeholder panel to gather input and improve the system.

Key Outcomes

• No formal votes were taken during this workshop.
• The next budget workshop is scheduled for Thursday, August 29, 2024, at 9:00 AM to discuss the Capital Improvement Program, hotel occupancy tax allocations (with Visit Corpus Christi), and proposed budget amendments.
• The first reading of the FY 2025 budget ordinance will occur on September 3, 2024, with the second reading and final adoption on September 10, 2024 (accelerated to accommodate tax notice deadlines).
• Council support was noted for continuing to prioritize public safety funding, including the planned migration of crime control district officers to the general fund over 2-3 years and the addition of fire department shift command and field medical officer positions.
• Staff will prepare a report on 311 system improvements and convene a user stakeholder panel.
• The fire department will continue to explore options for low-acuity medical call diversion and shortened cadet training timelines with Del Mar College.
• The Development Services UDC update process will continue, with a target to bring recommendations to council by summer 2025.