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2016 Budget Presentation Overview & Tax RateProposed Budget FY 2015-16 FY 2015-16 Proposed Budget Budget Goals: Balanced Structurally Conservative and Responsible Follows Financial Policies Maintains Current Service Levels Focuses on Priorities 2FY 2015-16 Proposed Budget Management Practices Focus on priorities Maintain Appropriate Fund Balance Team Input Departments, Council, and Citizens Forward Looking Planning for Future Revenues & Expenses Consider Project schedules 5 Year Forecast Long Term Debt Model 3FY 2015-16 Proposed Budget Key City 5 Year Goals 2015 Building Repairs Fire Station 3 Compensation Study Bond Election Strategic Staffing Levels Focus on Completing Existing Programs Maintain Reserves 4FY 2015-16 Proposed Budget Budget Highlights Classification & Compensation Study Firefighter Ramp Up Program Fire Apparatus (Debt Service) First Year Use of Vehicle Replacement Fund Affecting General Services, Marshals, Streets, Parks, and Animal Services Southeast Water Storage Tank and Distribution Lines Additional Sewer Lines and Lift Station 5FY 2015-16 Proposed Budget Upcoming Capital Projects $15 Million in the upcoming bond election Fire Station #3 FM Road Improvements Additional $10 Million to be Issued by Council Other Roadway and Infrastructure Maintenance 6FY 2015-16 Proposed Budget All Funds -Revenues General Fund 36% Water & Sewer Fund 26% EMS Fund 11% I&S Fund 8% General Fund Water & Sewer Fund Capital Recovery Drainage EMS Fund Other SEDC I&S Fund General Fund $26,559,477 Special Events Fund 131,800 PEG Fund 252,500 Water & Sewer Fund 18,902,115 EMS Fund 7,744,797 Drainage Fund 1,380,620 Hotel Tax 593,277 Park Fund 111,229 Tree Mitigation 40,250 Capital Recovery Water 3,477,141 Capital Recovery Sewer 3,643,712 I&S Fund 6,091,375 Other Funds 355,390 SEDC 3,528,562 Grand Total $72,812,245 7FY 2015-16 Proposed Budget All Funds -Expenses General Fund 37% W&S Fund 27% EMS Fund 11% I&S Fund 8% Budget General Fund W&S Fund Capital Recovery Drainage EMS Fund Other SEDC I&S Fund General Fund $26,171,017 Special Events Fund 131,800 PEG Fund 252,500 Water & Sewer Fund 18,855,871 EMS Fund 7,558,451 Drainage Fund 1,220,951 Hotel Tax 259,330 Park Fund 34,800 Tree Mitigation 27,000 Capital Recovery Water 3,477,141 Capital Recovery Sewer 3,643,712 I&S Fund 5,821,418 Other Funds 327,990 SEDC 2,659,502 Grand Total $70,441,483 8FY 2015-16 Proposed Budget General Fund Revenues $26,559,477 Expenditures 26,171,017 Increase of Fund Balance 388,460 Beginning Fund Balance 6,911,098 Use of Vehicle Replacement -241,088 Ending Fund Balance 7,058,470 25% Reserve Policy $6,501,138 9FY 2015-16 Proposed Budget M&O $0.3159 Total Change in Expenditures $150,000 New Employees $380,400 Large Expanded Programs (over 10,000) $600,000 Act on Compensation Study $329,600 Continue Existing Staffing Levels & Programs $1,460,000 Total Increase $389,000 Reserve Funding 10FY 2015-16 Proposed Budget 2015 -5 Year Forecast FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 Revenue $25,297,719 $26,559,477 $27,576,055 $28,605,522 $29,644,059 $30,731,548 Expense $(24,668,799)$(26,171,071)$(27,549,143)$(28,547,611)$(29,793,283)$(30,529,331) Reserve Funding $628,920 $147,372 $26,911 $57,912 $(149,224)$202,217 M&O Fund Balance $6,911,098 $7,058,470 $7,092,028 $7,149,939 $7,000,716 $7,202,933 25% Goal $6,077,050 $6,501,138 $6,868,536 $7,136,903 $7,448,321 $7,632,333 Over/Under $834,049 $557,332 $216,846 $6,391 $(454,251)$(436,046) 11FY 2015-16 Proposed Budget 5 Year Model Input Expenses Operational costs are grown at rates based on a prior 3 years average Includes following programs: Funding for the SCBA’s replacement Aquatic Center Operations 12 Firefighters for new Station Estimates on the Compensation Study Action Continued Merit program throughout all years Between 3 and 5 additional employees (not including Firefighters) each year 12FY 2015-16 Proposed Budget 5 Year Summary –I&S Fund At I&S Rate of $0.1752: Includes $15 million bond package from elections in 2015 Includes additional CO Bonds for Infrastructure The lowest fund balance is $149,811 in FY 2017- 18 Rate could fluctuate based on the actual growth of the tax base and the results from the bond election but at a reduced rate due to the model 13FY 2015-16 Proposed Budget Change Memo 3 Updated C&C Implementation for Evergreen’s revisions Removed revenue for Food Handler Permits Added Certification Pay in Planning & Zoning 14FY 2015-16 Proposed Budget Change Memo 3 Zero impact of proposed changes due to: Increased revenue projections for Mix Beverage Tax and Community Center Rental City Manager’s Office personnel budget will be reduced to account for employees not taking insurance and the removal of vehicle allowance for the Executive Director Operations Based on historic trends the following items will be reduced: Non-Departmental State/County Administrative Fees and Audit Consulting Engineering: Outside engineering services Animal Services: electricity utility Finance: training and travel 15FY 2015-16 Proposed Budget Proposed Budget FY 2015-16 FY 2015-16 Proposed Tax Rate 2015 Property Taxes 0.00 0.50 1.00 1.50 2.00 2.50 3.00 Guadalupe Comal Bexar SA River Auth Univ Health System Road College County School City of Schertz 18FY 2015-16 Proposed Budget Tax Rate Effective:The tax rate which, on average, will keep the tax bill the same as in 2013. Rollback:The rate if exceeded allows citizens to initiate a rollback election. The results of this election can reduce the adopted tax rate back to the rollback rate. Current:The rate currently adopted by the City. Proposed Max:The maximum rate set at which the final adopted rate cannot exceed. 19FY 2015-16 Proposed Budget Tax Rate Effective:$0.4664 Rollback:$0.4912 Current:$0.4974 Proposed Max:$0.4911 $0.01 is equal to $302,980 revenue or $18.53 on the average home Proposed budget is balanced at this rate 20FY 2015-16 Proposed Budget Target Tax Rate Tax Rate Current Proposed Maximum M&O $0.3164 $0.3159 For day to day operations I&S $0.1810 $0.1752 To pay the City’s debt Total $0.4974 $0.4911 21FY 2015-16 Proposed Budget FY 2015-16 City Tax Rate At $0.4911 2014 Tax Bill = $866.47 Avg Home Value $174,200 2015 Tax Bill = $909.52 Avg Home Value $185,200 Increase = $ 43.05 2014 Tax Bill = $497.40 Home Value of $100,000 2015 Tax Bill = $491.10 Home Value of $100,000 Decrease = $ -6.30 22FY 2015-16 Proposed Budget Historic Tax Rates –Total M&O 0.3106 M&O 0.3345 M&O 0.259 M&O 0.259 M&O 0.259 M&O 0.2842 M&O 0.2993 M&O 0.2993 M&O 0.2993 M&O 0.3164 M&O 0.3159 I&S 0.0871 I&S 0.0972 I&S0.15 I&S0.15 I&S0.15 I&S 0.15 I&S 0.15 I&S 0.185 I&S 0.2006 I&S0.181 I&S 0.1752 0.0000 0.1000 0.2000 0.3000 0.4000 0.5000 0.6000 .3977 .4317 .4090 .4090 .4090 .4342 .4493 .4843 .4999 .4974 23FY 2015-16 Proposed Budget .4911 Budget Calendar FY 2015-16 September 1 Third Public Hearing, Second Vote October 1 Budget goes into effect 24FY 2015-16 Proposed Budget FY 2015-16 Proposed Tax Rate