Commission Business Plan Workshop July 24, 2012

Transcription

1 Commission Business Plan Workshop July 24,

2 Agenda Presentation of Fiscal Year Business Plan Preliminary Assessment Resolution for Proposed Rate Structure for FY Fire Services Special Assessment Preliminary Assessment Roll and Rate Structure for FY Residential Solid Waste Collection Services Special Assessment 2

3 Agenda Truth in Millage Act (TRIM) Requirements and Proposed FY Budget Schedule Adopt FY 2013 Business Plan 3

4 8.00% 6.00% 4.00% 2.00% 0.00% -2.00% -4.00% -6.00% Locally Real GDP Approaching the National Average -8.00% Q1 2012Q2 National Florida Miami/Ft Lauderdale Source: U.S. Bureau of Economic Analysis

5 Unemployment Rate Lowest Since February % 11.2% 10% 8.9% 9.5% 10.5% 8% 8.5% 8.8% 8.5% 8.9% 8.5% 8.2% 6% 5.1% 5.0% 5.4% 7.6% 6.9% 4% 3.3% 3.4% 4.1% 4.7% 2% 3.3% 3.2% 0% May 2012 Coral Springs National Florida Source: Florida Agency for Workforce Innovation.

6 Leading Indicator of Foreclosures Steadily Declining 5,000 Coral Springs Properties in Lis Pendens/Final Judgment 4,500 4,000 3,500 3,000 2,500 2,000 1,500 1, Source: Broward County Property Appraiser 6

7 Foreclosures in Coral Springs Declining 1,600 1,400 1,200 Chart shows properties that have completed the foreclosure process. Source: BCPA 1,167 1, through April ,

8 Despite sluggish economy, City has continued to serve the needs of its customers 8

9 Resident Satisfaction with City Services Coral Springs rates significantly higher than the U.S. and Florida averages (ratings of 4 and 4 on a 5-point scale) Fire EMS City P&R programs Police Water & Sewer Utilities Publlic Works City Communication Customer Service Code Enforcement 0% 20% 40% 60% 80% 100% Coral Springs Florida U.S. Source: ETC Institute, 2011 Resident Survey

10 FY 2012 Business Survey All Items Received Very High Ratings

11 The Percentage of Businesses Rating the Quality of Customer Service Provided By the City Very Good Has Increased 21%

12 The City Will Have Fewer Full-Time 800 Employees Than It Had in # of Budgeted Positions Proposed 700 FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 FY

13 Staffing Changes - All Funds Position Title Number of Fund Positions Firefighter/Paramedic 3 Fire Senior Office Assistant 1 Fire Park Technician 3 General Park Maintenance Worker 1 General Code Enforcement 2 General Net New Positions 10 13

14 Employee Productivity Remains High Comparison of Full-Time Employees Per 1,000 Population FY Coral Springs serves more customers with fewer resources

15 FY 2013 Business Plan Highlights 15

16 Feedback From Rating Agencies Considered in Financial Strategy Strengths Sound management with long term planning Diverse economic base Low debt levels Opportunities for Improvement Declining revenue trend Expenditure pressure from employee wages, benefits, and pensions Structural imbalance i.e., use of reserves During the past year, the City s financial standing has been reviewed by Fitch, S&P, and Moody s. The City s AAA bond rating was re-affirmed by each. 16

17 FY 2013 Business Plan Highlights Maintaining current millage rate rather than adopt Rolled-Back Rate allows City to balance the budget Keeping the millage rate exactly the same, $4.3939, will be considered a 1.56% tax increase The average single-family homeowner will pay $11.62 additional property taxes if maintain current rate The Proposed FY 2013 General Fund budget is only $83,000, or 0.09%, higher than the FY 2012 budget. NO change in user fees. 17

18 FY 2013 Business Plan Highlights Debt Service millage rate will decrease by 0.31% from $ to $ Residential solid waste special assessment will decrease nearly 3%, or $6.48 from $ to $ per single-family household Fire Assessment Fee will increase by $9.33 from $ to $ for single-family home Increase water rates by 3% per the 2007 Water and Wastewater Rate Study Increase of $1.82 per month for the average home 18

19 FY 2013 Fire Fund 19

20 FY 2013 Fire Assessment Fees Use Category FY 2012 Fee FY 2013 Fee Increase/ Decrease ($) Increase/ Decrease (%) Single-family Multi-family Commercial Industrial, Warehouse Institutional, Government $ per unit $ per unit $17.65 per 100 sq ft* $2.45 per 100 sq ft* $22.33 per 100 sq ft* $ $ % $ $ % $17.61 ($0.04) -0.23% $2.58 $ % $22.95 $ % *up to 400,000 sq ft 20

21 Cost to City for Exempt Properties Increased 6% Institutional and Government Use Category FY 2010 FY 2011 FY 2012 FY 2013 City Owned Property $134,172 $141,132 $156,715 $159,915 Subsidy for Schools, Houses of Worship, and Subsidized Housing $841,157 $859,357 $897,755 $959,675 Total $975,329 $1,000,489 $1,054,470 $1,119,590 21

22 $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ Tamarac Pembroke Pines Miramar Hollywood Ft Lauderdale Sunrise Deerfield Beach Davie Coral Springs $320 $280 $240 $200 $160 $120 $80 $40 $0 Fire Assessment Fee One of Lowest In Area FY 2011 FY 2012 Proposed FY 2013 Coral Springs *The Plantation City Commission is considering implementing a Fire Assessment Fee to provide General Fund relief. 22

23 FY 2013 Solid Waste And Recycling Collection Rates 23

24 Reduced Tipping Fees Will Lead To Decreased Disposal Fees Tipping fee is the cost to dump one ton of garbage at Wheelabrator Initial tipping fee decrease due to the retirement of the second construction bond for the Wheelabrator waste-to-energy plant Solid waste disposal Interlocal Agreement (ILA) will expire July 3, 2013 $42 per ton tipping fee after the expiration of the ILA 24

25 Raising the Franchise Fee $1.20/Month Residents Will Save $6.48 Residential FY 2012 FY 2013 Proposed Collection $69.72 $71.16 Disposal $93.84 $71.16 Franchise Fee $51.60 $66.00 Recycling $18.48 $18.84 Single-Family Solid Waste Assessment Change in Revenue $ $ $425,000 25

26 Commercial Customers Also Benefit from Reduction in Tipping Fees (Price Per Cubic Yard) FY 2012 FY 2013 Proposed (Estimated) Collection $6.82 $6.96 Disposal $3.98 $3.38 Franchise Fee $2.25 $2.61 Total $13.05 $12.95 Change in Revenue -- $240,000 26

27 Business Plan Initiative Summary 27

28 New Initiatives for FY 2013 Financial Health & Economic Development City Branding Phase II Implementation EMS Equipment: Time = Life Economic Development Enhancements EDF web site re-design Econ Development Incentive Account Econ Development Strategic Plan Study enhancing competitiveness of the Corporate Park 28

29 New Initiatives for FY 2013 Youth Development & Family Values 50 th Anniversary Celebration Half Marathon and 5K Run/Walk Downtown Planning Strength in Diversity Artisan Food and Green Market Downtown BizArt 29

30 New Initiatives for FY 2013 Traffic, Mobility, & Connectivity 38 th Drive Sidewalk and Drainage Improvements Right Turn Lane at Shadow Wood and Riverside Coral Hills Drive Sidewalk Design Customer-Involved Government Building Inspection Transaction Survey Charter Review IT Infrastructure Modernization City Hall Entrance/ADA Modifications 30

31 New Initiatives for FY 2013 Neighborhood & Environmental Sustainability Single-Family Rental Registration Program Code Compliance Micro-grants (pilot) Community Wildlife Habitat Designation Royal Palm Entryway Implementation Median Master Plan Phase I Implementation Public Art Project for 50 th Anniversary 31

32 New Initiatives for FY 2013 Neighborhood & Environmental Sustainability Burglary Enforcement and Reduction Unit (BEAR) Sportsplex Drive Median Landscape Improvements Phase II Mullins Park Revitalization Phase II Public Safety Technology Upgrades Police Communication System and Equipment Upgrade Study Resurface Public Master Parking Lots & Alleys 32

33 FY 2013 General Fund 33

34 FY 2013 Proposed General Fund Departmental Budget FY 2012 FY 2013 $ % Adopted Proposed Change From Change From Budget Budget FY12 Budget FY12 Budget Expenditures: Departmental City Commission $298,557 $323,618 $25, % City Manager 2,798,851 2,883,796 84, % Human Resources 1,331,306 1,362,884 31, % Financial Services 2,648,151 2,528,838 (119,313) -4.51% Information Services 2,670,743 2,995, , % City Attorney 845, ,014 (6,106) -0.72% Development Services/Engineering 462, , , % Community Development 1,361,025 1,456,254 95, % Police 46,823,819 44,357,207 (2,466,612) -5.27% Code Enforcement 1,783,438 1,791,930 8, % Emergency Medical Services 8,732,233 8,912, , % Building 2,587,960 2,550,192 (37,768) -1.46% Public Works 4,139,665 4,234,257 94, % Parks & Recreation 9,403,387 9,849, , % Aquatics 2,382,255 2,373,105 (9,150) -0.38% Sportsplex & Tennis 1,668,046 1,662,820 (5,226) -0.31% Total Departmental 89,936,725 88,685,212 (1,251,513) -1.39% Total Non-Departmental 8,036,586 9,371,507 1,334, % Grand Total - Expenditures $97,973,311 $98,056,719 $83, % 34

35 General Fund Non-Departmental Budget FY 2012 FY 2012 FY 2013 $ % Budget YTD Budget Change Change Non-Departmental Operating Expenditures as of Proposed Miscellaneous Cross-Departmental Expenses Other Contractual Services $100,000 $103,388 $136,407 $36, % Election Expense ,524 35,524 n/a Festival of the Arts 12,500 12,500 15,000 2, % Lobbyist 42,500 24,000 36,000 (6,500) % Center for the Arts Rentals 10,000 8,668 10, % Hurricane Preparedness (Safety) 6, , % Special Event Banner Printing 50,000 21,982 50, % Special Projects Business Development/EDF 20, , % Boards & Advisory Committees Boards & Commissions Expense 17,500 12,314 17, % Accessibility Issues (Disability) 2,500 1,350 2, % Historical Advisory Committee 15,000 3,652 15, % Multi-Cultural Events 35,000 17,985 35, % Martin Luther King, Jr. Day Celebration 15,000 14,262 15, % Grants Sports Event Grants 25,000 20,500 35,000 10, % Community Chest 50,000 50,000 50, % Code Compliance Micro-grants (pilot) 0 0 5,000 5,000 n/a Events Holiday Parade 20,000 18,457 20, % Half Marathon ,000 15,000 n/a 4th of July 40,000 30,000 40, % Total Non-Departmental Expenditures $461,500 $339,058 $559,431 $97, % 35

36 Change in General Fund FY 2012 FY 2013 Budget to Budget Dollar Change Percentage Difference Salaries -$52, % Benefits -$2,277, % Operating $1,078, % Non-Departmental $1,334, % Total $83, %

37 Change in Operating Expenses General Fund FY 2012 FY 2013 Largest Items Consulting services (e.g., solid waste/recycling proposal*; Waste Management audit; cost allocation study) * Cost offset by revenue Other contractual services (e.g., street sweeping, mowing, community bus, bldg. inspection transaction survey) Increase $204,000 $176,495 EMS Transport collection fee $84,750 * Cost offset by revenue Park maintenance supplies $52,950 Police service contracts (park security cameras, $40,100 range contract) EMS Medical supplies $32,000 Street light repair and maintenance $25,000 School Crossing Guards $22,555

38 Change in Operating Expenses General Fund FY 2012 FY 2013 Increase Software licensing and maintenance contracts - SQL server $360,000 - Office Suite $270,000 - All other software packages $143,000 - Geographic information systems $102,500 - New code enforcement software $24,000 Total $899,500

39 Change in Non-Departmental Expenses General Fund FY 2012 FY 2013 Largest Items Increase Use of debt service reserve $1,250,000 Operating capital (History museum maintenance, $150,000 CC agenda software module, firing range repairs) 50 th Anniversary* $125,000 Fire fee subsidy for churches, schools, and city $65,120 property Property/casualty insurance premium $52,167 Police communication system and equipment $45,000 upgrade study Election expenses $35,524 *Offset by $100,000 in sponsorship revenue

40 FY 2013 General Fund Revenues Decreasing Revenue Offset by Increasing Sources Revenue Source Increase Revenue Source Decrease SW RFP Reimbursement $500,000 Reserves -$2,000,000 EMS Transport Fees $500,000 Forfeiture Fund -$600,000 Ad Valorem $480,000 Building Permits -$400,000 Electric Utility Service Tax $450,000 E911 Revenue -$125,000 SW Assessment Fee $425,000 Communications Service Tax -$100,000 SW Franchise Fee $250,000 Business Tax -$100,000 Single-Family Rental Reg. $135,000 Interest Income -$75,000 Half-Cent Sales tax $125,000 Court Fines -$50,000 Public Safety $125,000 State Shared Revenue $100, th Anniversary $100,000 Parks and Recreation (includes Aquatics and Tennis) $75,000

41 $ Millions $5 $4 $4 $3 $3 $2 $2 $1 $1 $0 Use of Reserves Decreases as Economy Rebounds $4.00 $3.55 $3.00 $2.00 $1.90 $1.65 $1.50 $1.25 $1.00 $0.90 Actual Actual Budget Financial Strategy $0.10 FY 2010 FY 2011 FY 2012 FY 2013 FY 2014 Reserves Forfeiture for SRO salaries Original Strategy 41

42 Percentage Change in Total Taxable Assessed Values 2.50% 2.00% 2.16% % change 1.50% 1.00% 1.70% 1.56% 1.48% 1.41% 1.19% 1.06% 0.95% 0.50% 0.00% 0.21% 42

43 Total Taxable Assessed Values $12.0 $10.0 (Billions) $8.0 $6.0 $4.0 $5.7 $6.5 $7.6 $8.4 $7.7 $6.2 $5.4 $5.3 $5.5 $2.0 $0.0 $1.2 $1.4 $1.5 $1.7 $1.8 $2.0 $1.9 $1.8 $1.7 FY2005 FY2006 FY2007 FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 Residential Non Residential Tangible personal property not included. 43

44 General Fund Operating Property Tax Options FY 2013 General Fund 1. Retain current millage rate ($4.3939) will produce $480,000 more revenue than the RBR equivalent to a $11.62 increase for the average SF home $8 for average condominium 2. Adopt the Rolled-Back Rate ($4.3260) represents a 1.56% decrease from the current millage rate will produce $199,000 less revenue than FY 2012 RBR 44

45 Average Ad Valorem Taxes If No Change in Millage Rate $900 $800 $700 $600 $500 $400 $300 $200 $100 $0 $841 $781 $752 $765 $776 $705 $710 $426 $435 $398 $263 $153 $154 $162 FY 2007 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 FY 2013 Average single-family home Average condominium 45

46 Coral Springs homeowners who pay $0 property taxes Number Percent Single-family homes % Condominiums 611 5% 46

47 How Much of Your Tax Bill Goes to the City? (FY 2012) South Florida Water Management District 2.0% City of Coral Springs 21.6% School Board of Broward County 39.6% Broward County 25.6% Hospital District 8.8% Other 2.4%

48 Spending Aligned With Customer Needs & Expectations Parks & Recreation 14.1% CMO/Commission 3.3% HR/CAO 2.2% Property Tax Revenue: $32.4 M Public Safety Budget: $53.2 M: Development Services 6.4% Police 44.8% Financial Services 2.6% IS 3.0% Public Works 4.4% Non-Departmental 10.2% EMS 9.0% FY 2013 General Fund 48

49 49 $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ Operating Millage Rate One of Lowest in County $ $ $ $ $ $ $ $ $ FY 2012 FY 2013 Coral Springs Hollywood Tamarac Miramar Deerfield Beach Sunrise Pembroke Pines Pompano Beach Davie Plantation Coral Springs Ft. Lauderdale Although the City of Weston s operating millage rate is $2.0, each resident is assessed an additional $2,500 - $20,000 non-ad Valorem assessment to pay for median and common area landscaping maintenance.

50 Initiatives NOT Included in Base Budget Initiative Estimated Cost Restore Reserves $500,000 Implement Branding Study Recommendations $40,000 Aquatics Complex Entrance Plaza $50,000 Safety Town architectural and engineering design $50,000 BEAR Unit Equipment $80,000 Litter Removal Crew (+ $95,000 for equipment) $90,000 Sartory Hall Face Lift $100,000 Cypress Hall Renovation $100,000 Renovate Mullins Park ball fields $125,000 Replace Police Uniforms $250,000 Add 3 F/T Police Officers (+$110,000 for equipment) $365,000 Univ-Cardinal Road Linear Park or Atlantic Entryway $400,000 50

51 % Above Current Millage Property Tax Scenarios FY 2013 General Fund Additional Revenue Above $ Millage Rate % Above RBR ($4.3260) Net Impact on the Average SF Home 1% $312,000 $ % $8 2% $624,000 $ % $16 3% $935,000 $ % $23 4% $1,247,000 $ % $31 5% $1,559,000 $ % $39 6% $1,870,000 $ % $47 *Average single-family homeowner will experience an $11.62 increase if no change in millage rate 51

52 Adopt Operating Millage Fire Assessment Fee Debt Service Millage Solid Waste Assessment Impact on Average Single- Family Homeowner Current Rate 1% 2% 3% 4% 5% 6% $11.62 $19.62 $27.62 $34.62 $42.62 $50.62 $58.62 $9.33 $9.33 $9.33 $9.33 $9.33 $9.33 $9.33 ($0.16) ($0.16) ($0.16) ($0.16) ($0.16) ($0.16) ($0.16) ($6.48) ($6.48) ($6.48) ($6.48) ($6.48) ($6.48) ($6.48) Total Impact $14.31 $22.31 $30.31 $37.31 $45.31 $53.31 $61.31 Above the Current Millage Rate 52

53 Budget Calendar Date Meeting Aug 28 Workshop: 50 th Anniversary Budget Sept 12 First Public Hearing (5:15 pm) Sept 18 Second Public Hearing (7:00 pm) Budget Adoption Oct.1st Fiscal Year 2013 Begins 53

54 Thank You 54