city of san marcos 2012-2013 budget presentation

7/31/2019 City of San Marcos 2012-2013 budget presentation

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FY 2012-2013FY 2012-2013

JULY 19, 2012JULY 19, 2012

JIM NUSE, CITY MANAGERJIM NUSE, CITY MANAGER

,

HEATHER HURLBERT, ASST FINANCE DIRECTOR

,

HEATHER HURLBERT, ASST FINANCE DIRECTOR


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DISCUSSION TOPICSDISCUSSION TOPICS

Tonight

Budget Overview

Key IssuesSpecific Council Questions/Review

Thursday, July 26Utilit Discussion

Social Service Funding

Economic Develo ment

Hotel/Motel Fund Review

Fees


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FY 2013 BUDGET HIGHLIGHTSFY 2013 BUDGET HIGHLIGHTS

Budget Based on theFive Strategic Initiatives

Sound Finances

Customer Friendl Processes

Big Picture Infrastructure

San Marcos River Protection Recreation &Maintenance

Community Wellness/Encourage the MiddleClass


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FY 2013 BUDGET GUIDELINESFY 2013 BUDGET GUIDELINES

Revenue Goals

General Fund -Property Tax Rate Flat

-Existing Property Valuations Flat

-2% increase due to new construction-2% Increase in Sales Tax-Franchise fees paid by City utilities reduced to 8%

-

-Study Impacts of HCPUA-Second year of 3% Water and 2.5% Wastewater

rate increase

Electric Fund -Rate Study for 2013 and beyond

-Fee increase not anticipated

Drainage Fund -Fee increase not anticipated


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Expenditure GoalsGeneral Fund -New personnel based on need

- ,Review, with the exception of contractual obligations/CPI/Fuelincreases

-$500,000 Ca ital Outla-$4 mil per year limitation on CIP for the next 5 years

Water/WW Fund -New personnel based on need- ,

Review, with the exception of contractual obligations/CPI/Fuelincreases

-$500,000 Capital Outlay-Franchise fee reduced to 8% from 8.5%-Only necessary CIP projects funded to reduce future debt

--$72,000 in new operating expense subject to City ManagerReview, with the exception of contractual obligations/CPI/Fuelincreases

-$500,000 Capital Outlay-Franchise fee reduced to 8% from 8.5%-Only necessary CIP projects funded to reduce future debt


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Fund Balance Goals General Fund 30% Goal Water/Wastewater Utility 25% Goal

Electric Utility 25% Goal

Capital Maintenance Goals

Continued Funding of Capital Maintenance Funds

Park Repair Funding Street Maintenance Funding Technology Funding


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TOTAL CITY BUDGET $158.2 MILLION

General Fund $ 45.0 Million

Water/WW Utility Fund $ 30.5 Million

Electric Utility Fund $ 55.4 Million

Other Funds $ 27.3 Million


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$55,000

$60,000

$40,000

$45,000

,

housands

$30,000

$35,000In

$20,000

$25,000

$10,000

$15,000

General Electric Water/Wastewater

Revenues $46,796,793 $55,680,295 $30,425,271

Expenses $44,954,718

$54,069,454

$28,996,279


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$3,000

$2,500

$2,000

housands

$1,500In

T

$1,000

$

500

o e o e ra nage as e o ec on rpor

Revenue $2,511,231

$2,618,516

$2,483,985

$378,965

Expense $2,664,216 $2,663,423 $2,980,733 $403,965


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ORGANIZATIONAL CHANGESORGANIZATIONAL CHANGES

Creation of: Community Services Administration Division

Public Services Administration Division

Transit Fund Addition of FTE Administrative Position

Reorganization of:

Development Services into

Planning/Permit

GIS

Inspectors

CDBG

ovemen o :

Fleet and Neighborhood Services to Community Services

Solid Waste to Communit Services

Addition of FTE for Beautification Coordinator


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GENERAL FUNDGENERAL FUND


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GENERAL FUND HIGHLIGHTSGENERAL FUND HIGHLIGHTS

Balanced Budget of $45.0 Million

Tax Rate held at 53.02 cents

Preliminary property tax valuation increase of 6% Sales Tax Increase of 2%

Includes fundin for Non-Civil Service em lo ee

compensation adjustments and estimate for newCivil Service Meet & Confer obligations

Second year of a four year reduction in Franchise

Fees from City Utilities Second year of a six year plan to fund CIP fully in

General Fund


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GENERAL FUND BALANCEGENERAL FUND BALANCE

37% 36% 33% 31% 29% 27%

60.018.0

FundBalance

Percentage

$50.0

14.0

$16.0

Million

lio

ns

$40.0

10.0

$12.0

ensesi

ceinMil

20.0

$30.0

6.0

$8.0

sandE

x

dBala

n

$10.02.0

$4.0

Rev

enuF

u

$0.0$0.0

2012 2013 2014 2015 2016 2017

En ingFun Ba ance Revenues Expenses


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GENERAL FUND REVENUESGENERAL FUND REVENUES

Interest Income

Property Taxes

16%

1%

License & Permits4%

Franchise Taxes17%

Other Revenue5%

Reimbursement9%

45%

Fines & Penalties5%


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AD VALOREM TAXESAD VALOREM TAXES

$14,000

$16,000

50.00%ofPropertyTaxRevenueGoesTowardDebtPayments

$10,000

$12,000

$6,000

$8,000

Thousan

ds

$2,000

$4,000

$0

2006 2007 2008 2009 2010 2011 2012 2013

Debt M&O


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SALES TAX REVENUESALES TAX REVENUE

PercentageIncrease

fromPriorYearSalesTax Revenue

(inThousands)

12%

14%

$21,000

$22,000

7.91% 8%

10%$20,000

7.23%

5.41%

6.10% 6%

$18,000

$19,000

2.28% 2.00% 2%$17,000

1.95%

2%

0%

$15,000

$16,000

Revenue %IncreasefromPreviousYearBudgetedEstimated


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GENERAL FUND EXPENSESGENERAL FUND EXPENSES

Human Resources General Government

Finance3%

Public Services6%

General Services

14%

Fire Services14%

Development Services4%

Capital Improvements1%

Police ServicesCommunity Services 27%19%

Municpal Court2%

Technology Services3%


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FY 2013 PROPOSED BUDGETFY 2013 PROPOSED BUDGET

Followin Bud et Polic uidelines

Recurring Revenues $46,796,793

Recurring Expenses $43,581,007

Income $ 3,215,786

ne me xpenses , ,

Addition to Fund Balance $ 1,842,676

Fund Balance Percentage 36.4%


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Operating Expense Increase per Budget Policy Guidelines

Program Cost

Video Technician Hourly Increase $2,520

Shelter $10,000

Pet Food $3,000

Part-time Activity Center Attendant $19,400

GIS Tech Trainin Funds $1,500

Streets Crew Reorganization &Reclassification

$21,100

o a ,


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Sources of Additional Income

Reduction of debt ratio from 56% to 50% $900,000

Sales Tax Projections $834,000

,

Property Tax Values estimated at 6%instead of 2%

$572,600

Franchise Fees $258,000

, ,


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,recurring expenses to fund needed

Inclusion of an additional $1,290,000 in one-

time expenses to fund capital outlay, capitalmaintenance, and other needed one-timeprojects


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RECOMMENDED RECURRING EXPENSESRECOMMENDED RECURRING EXPENSES

Adjustments Costs

Eliminated City Clerk Position ($40,440)

Increased Parks Maintenance Staff $85,000Additional Fire Position $91,100

Additional Police Officer $61,000

,

Additional Evidence Tech $53,000

Enhanced Vaccine and Ado tion Pro ram $55,000

Building Service Specialist-Transition from a

Temporary position to a City Employee $17,400ona ree ver ay ,

Municipal Court Facility Rental $50,000


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RECURRING EXPENSE JUSTIFICATIONSRECURRING EXPENSE JUSTIFICATIONS

Evidence Technician

Cit San Tem le New Cedar Geor etown College Denton Roundarcos raun e s ar a on oc

Crime Analyst 0 1 1 0 1 1 1.5 2

EvidenceTechnician

1 2 1.5 2 1 2 2 1

# of Sworn

Personnel95 133 101 80 78 96.5 154 152

EvidenceProcessed

8,700 17,281 8,558 6,471 8,500 11,531 11,124 7,159


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Vaccination Program

This program consists of shelter staff vaccinating all dogs and cats upon intakefor (dog vaccinations) Bordetella (kennel cough) and DAPP (distemper-parvo)

and cat vaccinations FVRCP. All do s and cats laced for ado tion will also etboosters (depending on length of stay) and the rabies vaccination. Allvaccinations will be given within the first 12 to 48 hours.

This is considered "best practice" by the "No Kill" advocacy groups and isrecommended practice by the shelter veterinary community. By vaccinating allanimals upon intake we would have a higher chance of transfer to other

.

Since implementing this in limited form in January our City Veterinarian haswitnessed a reduction in infections in animals bein ado ted from the shelter.


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Library Assistant

Added a part-time library clerk in 2008 to replace one eliminated by

2003 Reduction in Force

Therefore, at the same staffing levels as 2003.

Workload FY 2008 FY 2012 Percentagen ca or c ua s ma e ncrease

Visitor Count 379,891 406,000 7%

, ,

Program Attendance 41,213 47,400 15%


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ONE-TIME EXPENSESONE-TIME EXPENSES

Adjustments Costs

Additional 2013 Capital $200,000

Comprehensive Plan Implementation $150,000Cash Funded Capital Maintenance* $850,000

Fire Routing Capital Replacement $30,000

,

Parks/Activity Center Capital Replacement $30,000

Total $1 290 000

*Streets $300,000IT $150,000Parks $200,000Building $200,000


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Assuming Use of Additional Revenues withRecommended Expenses

Recurring Revenues $46,796,793

, ,

Income $2,705,726

One Time Expenses $2,663,110

Addition to Fund Balance $42,616

.


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GENERAL FUND FORECASTGENERAL FUND FORECAST

Implementation of recommended recurringand one-time expenses in FY13$45$45

a ona re g er year y an a o aof 7 in 2016

1 additional Police Officer yearly

$35

$40

$35

$40

M

i

l Agreement

Phasing of TMRS Funding to Full Rate

Yearly Merit Increases$25

$30

$25

$30

l

i

o

n

$500,000 yearly for Capital Outlay

Continued Funding of Capital

Replacement Funds as capacity allows$15

$20

$15

$20

Continued funding of Routine CapitalReplacement Funds for Police, Fire, andParks/Activity Center

$10$10

2012 2013 2014 2015 2016


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FY 2013 ORGANIZATIONAL CHANGESFY 2013 ORGANIZATIONAL CHANGES

Creation of a Transit Fund

City No Longer Eligible for Rural Transportation Grants

Previously paid carts $100,000/yr to operate bus system

City will now be required to monitor bus programProjected increase to the City annual budget of $175,000


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TRANSIT FUND SUMMARYTRANSIT FUND SUMMARY

Proposed

Operating Revenues

Federal Transit Funds 724,800$ ,

Fare Revenue 67,250$

Other Revenue -$

Total Operating Revenue 967,104$

Operating Transfer - General Fund 327,152$

Total One-Time Operating Revenues 327,152$

Total Funds Available 1,294,256$

Operating Expenses

Personnel Services 82,915$

Contracted Services 1,195,000$

Materials and Supplies 11,000$

Other Charges 5,341$

Total Operating Expenses 1,294,256$


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General Fund Budget Accomplishments

Pending Approval of Proposed Fee Increases

Maintain $4M in projected debt issuance

No tax increase

Reduced Water/Wastewater Transfer to 7% in Year 2 of the 4 year plan

e uce ec r c rans er o n ear o e year p an

Proposed Funding of Capital Maintenance Funds

Total General Fund Engineering Budget of $500,000


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WATER/WASTEWATER FUNDWATER/WASTEWATER FUND

W /W F HW /W F H


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WATER/WASTEWATER FUND HIGHLIGHTSWATER/WASTEWATER FUND HIGHLIGHTS

Budgeted revenues of $55.6 Million

Budgeted expenses of $55.3 Million Franchise fee reduced from 8.5% to 8%.

from 9% to 7%.

$803,378 ($700,000 of it funded)

v , ,

W /W F BW /W F B


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WATER/WASTEWATER FUND BALANCEWATER/WASTEWATER FUND BALANCE

25% 25% 25% 22% 16% 4%Fund

Balance

Percentage

$35.0

40.0

$7.0

8.0

Million

io

ns

$25.0

$30.0

$5.0

$6.0

ensesin

einMill

$15.0

$20.0

$3.0

$4.0

sandE

x

dBala

n

$5.0

$10.0

$1.0

$2.0

evenue

Fu

$0.0$0.0

2012 2013 2014 2015 2016 2017

FundBalance Revenues Expenses

W /W F RW /W F R


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WATER/WASTEWATER FUND REVENUESWATER/WASTEWATER FUND REVENUES

GBRA DebtFines & Penalties Interest Income

Payments4%

Wastewater43%

Water47%

WATER/WASTEWATER FUND EXPENSESWATER/WASTEWATER FUND EXPENSES


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WATER/WASTEWATER FUND EXPENSESWATER/WASTEWATER FUND EXPENSESCapital Outlay

2%

ersonne11%

Contracted Services

Debt Service34%

Other Charges

Materials & Su lies

Operating Transfers0.2%

4%


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ELECTRIC UTILITY FUNDELECTRIC UTILITY FUND

ELECTRIC UTILITY FUND HIGHLIGHTSELECTRIC UTILITY FUND HIGHLIGHTS


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ELECTRIC UTILITY FUND HIGHLIGHTSELECTRIC UTILITY FUND HIGHLIGHTS

u ge e revenues o . on

Budgeted expenses of $55.3 Million Franchise fee reduced from 8.5% to8%. Second ear of a four ear

reduction plan from 9% to 7%.

of $803,378 ($700,000 of it funded)

$8,434,621

ELECTRIC UTILITY FUND BALANCEELECTRIC UTILITY FUND BALANCE


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ELECTRIC UTILITY FUND BALANCEELECTRIC UTILITY FUND BALANCE

26% 26% 27% 48% 70% 93%Fund

Balance

Percentage

$60.0

.

$14.0

.

Million

io

ns

$55.0$10.0

$12.0

ensesin

einMill

$50.0$6.0

$8.0

andEx

dBala

n

$45.0

2.0

$4.0

evenue

Fu

$40.0$0.0

2012 2013 2014 2015 2016 2017

EndingFundBalance Revenues Expenses

ELECTRIC UTILITY FUND REVENUESELECTRIC UTILITY FUND REVENUES


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ELECTRIC UTILITY FUND REVENUESELECTRIC UTILITY FUND REVENUES

Other Services4%

Electric Service96%

ELECTRIC UTILITY FUND EXPENSESELECTRIC UTILITY FUND EXPENSES


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ELECTRIC UTILITY FUND EXPENSESELECTRIC UTILITY FUND EXPENSES

Personnel

Capital Outlay2%

18%

Purchase Power

71%3%



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Additional Re uests

A lication Mana er 66 150

Lineperson $70,200

Maintenance Moved from CIP $225,000

ELECTRIC UTILITY RATE FINDINGSELECTRIC UTILITY RATE FINDINGS


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ELECTRIC UTILITY RATE FINDINGSELECTRIC UTILITY RATE FINDINGS

an increase in upcoming years.

Strong Fund Balance

As a result: Funding $103,000 in addition to the existing, or a a e a za on un n

FY2012

.FY2013 for Capital Reserves


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DRAINAGE UTILITY FUNDDRAINAGE UTILITY FUND

DRAINAGE UTILITY FUND HIGHLIGHTSDRAINAGE UTILITY FUND HIGHLIGHTS


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DRAINAGE UTILITY FUND HIGHLIGHTSDRAINAGE UTILITY FUND HIGHLIGHTS

Budgeted revenues of $2.6 Million

x n 2. Milli n Use of reserves is necessary

zresulted in a deferral of $6.8 Million in

2012

DRAINAGE UTILITY FUND BALANCEDRAINAGE UTILITY FUND BALANCE


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DRAINAGE UTILITY FUND BALANCEDRAINAGE UTILITY FUND BALANCE

37% 35% 26% 13% 3% 24%Fund

Balance

Percentage

$3.0

3.5

$1.0

1.5

Millions

io

ns

2.0

$2.5

$0.0

$0.5

ensesin

einMill

$1.5

$1.0

$0.5

sandEx

dBalan

$0.5

$1.0

$2.0

$1.5

Re

venuF

u

$0.0$2.5

2012 2013 2014 2015 2016 2017

EndingFundBalance Revenues Expenses

DRAINAGE UTILITY FUND REVENUESDRAINAGE UTILITY FUND REVENUES


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DRAINAGE UTILITY FUND REVENUESDRAINAGE UTILITY FUND REVENUES

BuildAmerica

Subsidy,1.8%

Penalties,1.0%nterest ncome,

0.4%

Fee,96.7%

DRAINAGE UTILITY FUND EXPENSESDRAINAGE UTILITY FUND EXPENSES


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DRAINAGE UTILITY FUND EXPENSESDRAINAGE UTILITY FUND EXPENSES

Operating Transfers

4%Other Charges0.9%

5%

Contracted Services28%

e erv ce60%

Materials & Supplies

DRAINAGE RATE FUTURE RATESDRAINAGE RATE FUTURE RATES


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DRAINAGE RATE FUTURE RATESDRAINAGE RATE FUTURE RATES

Prior rate study indicates need forsmall, steady increases in rate

No rate increase for FY2013

future years.-

mowing $100,000


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HOTEL / MOTEL FUNDHOTEL / MOTEL FUND

HOTEL/ MOTEL FUND REVENUESHOTEL/ MOTEL FUND REVENUES


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Other

Revenue$47,325

InterestIncome

$1,000

2%VenueTax

$366,269

Hotel MotelTax

$1,326,38953%

EmbassyTax

Revenue

$770,247

31%

$1.33 Million in UnrestrictedRevenues


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AIRPORT FUNDAIRPORT FUND


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WASTE COLLECTION FUNDWASTE COLLECTION FUND

WASTE COLLECTION FUND HIGHLIGHTSWASTE COLLECTION FUND HIGHLIGHTS


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, ,

Budgeted operating expenses of $2,481,000

Bud eted use of fund balance to fund Ca ital outla of$500,000 to implement a Pay as you Throw program

Consolidation of Household Hazard Waste Program

un ng o , rom y an , rom

Hays County Proposed funding for:

1/2 FTE for Beautification Coordinator to further citizen education

1/3 of the Managing Director of Transit and Solid Waste cost


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SOCIAL SERVICESSOCIAL SERVICES

HSAB 2013 FUNDINGHSAB 2013 FUNDING


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, Boys&GirlsClubsofSouthCentral $ 5,000

. , CombinedCommunityAction $10,000 GreaterSanMarcosYouthCouncil $36,000 HaysCaldwellCouncilOnAlcoholandDrugAbuse $26,642 HaysCaldwellWomen'sCenter $69,600 HaysCountyAreaFoodBank $41,000 HaysCountyHomespun $18,500 Nosotros LaGente $ 5,000 Pet

Prevent

A

Litter

(PALS)

of

Central

Texas

$

3,500

HSAB 2013 FUNDINGHSAB 2013 FUNDING


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Retired&SeniorVolunteerProgram 1,000 SamaritanCounselingCenter $ 1,000 an arcos ous ng u or y , SanMarcosYouthServicesBureau $18,000

, SMCISDPepProgram $ 6,500 . , SouthsideCommunityCenter $60,000 TexasStateUniversit 1 000

,


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SUPPLEMENTAL REQUESTSSUPPLEMENTAL REQUESTS

SUPPLEMENTAL REQUESTSSUPPLEMENTAL REQUESTS


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, ARTS

Diversity

Funding

$400


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uest ons or omments

-

Bud et Public Hearin -Au ust 21st

Budget Adoption-September 4th

city of san marcos 2012-2013 budget presentation

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