The most noteworthy item discussed was the fiscal year 2024 audit, presented by Zach Shafor from James Moore and Company. Shafor announced that the audit was completed earlier than in previous years, describing it as the cleanest in several years. He credited the finance team, led by Linda, for their diligence during the audit process. Shafor assured the council that there were no compliance matters or findings. The audit revealed a general fund balance increase of approximately $1 million, with the city maintaining a reserve at roughly 43%, exceeding the Government Finance Officers Association’s recommended minimum of 17%.

The council discussed the strategic importance of maintaining a healthy fund balance, particularly in a coastal community susceptible to natural disasters. This led to a proposal for establishing a dedicated Emergency Storm Fund, drawing from the city’s unassigned fund balance, which currently stands at $25 million. Past storm expenses have been significant, ranging from $5 million to $7 million, and the proposal aims to ensure financial readiness for future emergencies without resorting to loans. The potential for such a fund to improve the city’s bond rating was noted, and the council reached a consensus to explore the idea further, possibly as an agenda item or in a workshop setting.

In line with financial strategy discussions, the council examined the city’s debt profile and capital financing needs. There was a focus on refinancing existing bonds to take advantage of potential savings under current market conditions. The city’s outstanding bonds, including those issued in 2014 and 2005, were discussed with a representative who highlighted the importance of maintaining a strong bond rating. This would involve a “covenant to budget and appropriate” approach, using general fund revenues as security. The timeline for bond issuance was outlined, with the representative emphasizing the need to act swiftly to capitalize on favorable market conditions.

In personnel matters, the council introduced Mark Simpson as the new Finance Director, acknowledging the efforts of the interim finance team during the transition. The council also reappointed Richard Lee and Jane Taylor to the Golf Advisory Board, commending their contributions to the Cypress Head Golf Course, which is recognized as one of Florida’s top municipal courses.

A somber moment arose with the announcement of Tony Delonte’s passing, a respected member of the Golf Course Advisory Board and the Cypress Head Community. The council expressed condolences and celebrated Delonte’s service to the city.

The meeting also included updates on ongoing community and recreational projects. The Art House project under the Down Under Bridge was noted for its progress, and the upcoming mayor’s golf tournament was announced, encouraging early registration due to its popularity. Additionally, a “bunny search” event organized by the Parks and Recreation Center was highlighted as a fun community activity, involving children in a QR code hunt around City Center.