GENERAL FUND - OPERATING BUDGET 2016 "The 1% Budget" (except taxation!) INTRODUCTION

Transcription

1 GENERAL FUND - OPERATING BUDGET 2016 "The 1% Budget" (except taxation!) INTRODUCTION The general operating fund is our main operating fund that captures the costs of administration (Municipal Hall including ICBC I Driver Services), Protective Services (Building and Bylaw Depts.), Public Works and Engineering (Roads, Drainage, Snow, Solid Waste, Geo-Utility), Planning, Parks and Fiscal Services. Revenues to fund the above services include property taxation, garbage levies, investment income, property rental income, donations (flow through funding and recoveries from SCRO), ICBC I Driver Services commissions, license and permit fees and operating grants from the Province of B.C.

2 EXECUTIVE SUMMARY - "The 1 % budget" Total operating revenues (all sources) are budgeted at $5,319,303, (Figure 1- Line 1) which is an increase of $62,220 or 1.2% over the previous year. This is a modest increase overall however upon examination of the individual line items will reveal some larger increases and decreases. A detailed explanation of each line will appear later on in this report. In short, the increases can be summarized as follows: Impact of new property assessments (growth) increase for us compared to past growth) Impact of general property tax increase - 3% Increased ICBC commissions Increase rental incomes Reduced license and permit fees Reduced Province operating grant Reduced transfers from reserves Increases to "Other" items Net total $60,003 (this is a large $80,000 $10,000 $15,447 ($17,250) ($90,879) ($11,000) $ $62,220 Total expenditures are $4,925,792 (Figure 1 - Line 8) or $52,841 (1.1%) lower than last year's budget. Detailed explanations will follow under the major departmental summaries discussed later in this report. This budget creates an operating surplus of $393,510 which will be used to finance the current year capital plan. This surplus is $115,061 higher than last year and can be solely attributed to the fact that in 2015 we needed to replenish our surplus after unexpected increased expenditures in The fact that we do not need to replenish surplus in 2016 means we can fund additional projects. This budget plan also envisions increasing our ACFAR reserve by $40,000 being generated,by 1.5% of the proposed 3% tax increase. This budget also contains the following elements: Continued focus on "Harbour and Landing" related expenditures - namely o needed maintenance to the Visitor Information Centre roof and washrooms, o rehabilitation work to the "Persephone", o rehabilitation of the seawalk between Armours Beach and the Wharf and o Armours Beach site restoration. Heritage Roof restoration added as a 2017 project. Status quo as far as operational service levels with the exception to the ICBC operating hours which are being increased by 7.0% or 3 hours per week at no additional increase to costs.

3 Town of Gibsons Preliminary Budget 2016 General Revenue Fund Operating Revenues and Expenses Figure 1 Final Prelim $ % Change Budget Budget Change Budget Description vs 15 16vs 15 Line# Revenues General Revenues 3,367,691 3,532, , % Rental Income 394, ,683 15, % ICBC I Driver Services 290, ,000 10, % Protective Services 151, ,500 (17,250) (11.4%) Animal Control 4,000 4, % Transportation Services 200, ,500 (6,500) (3.3%) Planning Fees 22,500 15,000 (7,500) (33.3%) Geo-Utility Billings 18,145 23,250 5, % Operating Grants 691, ,193 (90,879) (13.2%) Fleet Recovery 101, ,927 (762) (0.7%) Transfers From Reserves 16,000 5,000 (11,000) (68.8%) Total Revenues 5,257,083 5,319,303 62, % Expenditures General Government Council 139, ,000 (2,075) (1.5%) General Government 1,141,999 1,219,261 77, % Grants & Donations 155, ,559 (6,699) (4.3%) Municipal Buildings 108, ,927 12, % ICBC I Driver Services 255, ,751 21, % 2 Total General Government 1,800,340 1,903, , % Protective Services Building Inspection 106, , % Bylaw Enforcement 89,233 89, % Animal Control 800 1, % 3 Total Protective Services 196, ,916 1, % Public Works Admin. /Engineering 353, ,875 16, % Henry Rd. Workshop 153, ,457 22, % Traffic Signs and Street Lights 80,241 84,998 4, % Road Maintenance 143, ,223 (8,822) (6.2%) Snow Removal 17,662 18, % Drainage 59,566 54,245 (5,321) (8.9%) Solid Waste 460, ,125 (25,031) (5.4%) GEDU (Geo Utility) 8,400 25,989 17, % 4 Total Public Works 1,276,419 1,299,410 22, % 5 Planning Services 241, ,911 3, % Parks & Cultural Services Parks & Cultural Services 628, ,087 20, % 6 Total Parks & Cultural Services 628, ,087 20, % Fiscal Services Miscellaneous 4,250 3,750 (500) (11.8%) Transfers To Reserves 391, ,934 (205,236) (52.5%) Debt 440, , % 7 Total Fiscal Services 835, ,970 (204,861) (24.5%) 8 Total Expenditures 4,978,634 4,925,792 (52,841) (1.1%) 9 SURPLUS I (DEFICIT) 278, , , % To Fund Projects Tax lncreas 3.0% ( 1.5 cpi, 1.5 acfar)

4 The accompanying pie charts (Charts 1 and 2) show the relative components of the operating revenues and expenses Final Budget - Revenue by Source (Chart 1) Transportation Recoveries, 4% Protective Grants, 12% Motor Vehicle 8% General Revenues, 66% Operating Expenditures by Department (Chart 2) Fiscal Services 14% General Government, ICBC and Engineering 25% Services 4%

5 Figure 2 Town of Gibsons General Operating Fund REVENUES Final Prelim $ % Change Budget Budget Change Budget Descri~tion VS vs 15 General Revenues 3,367,691 3,532, ,159 Rental Income 394, ,683 15,447 ICBC I Driver Services 290, ,000 10,000 Protective Services 151, ,500-17,250 Animal Control 4,000 4, Transportation Services 200, ,500-6,500 Planning Fees 22,500 15,000-7,500 Geo-Utility Billings 18,145 23,250 5,105 Operating Grants 691, ,193-90,879 Fleet Reserve Recovery 101, , Transfers From Reserves 16,000 5,000-11,000 Total Revenues 5,257,083 5,319,303 62, % 3.9% 3.4% (11.4%) 10.0% (3.3%) (33.3%) 28.1% (13.2%) (0.7%) (68.8%) 1.2% General Revenues: Items included in this group are property taxes, garbage user fees, 1% Utility Taxation which come from earnings of utilities, penalties and interest on late payment of taxes, Interest income from investment funds and donations also contribute to this category. A major contributor to this category is an administrative overhead recovery charged to the water and sewer operating fund as those funds should bear the cost of admin. incurred in the General Fund. Rental Income: Lease income from Vancouver Coastal Health (Gibsons Health Unit) Marina lease and rentals from the Old Library Bldg. ICBC /Driver Services : Commissions from transactions for ICBC insurance auto plan renewals and driver services (i.e. road exams, driver license renewals, etc.) Protective Services: Income from business licenses, building permits and bylaw tickets make up this category. Animal Control: Revenue received from the renewal of dog tags and commissions from selling SCRO bus passes. Transportation Services: A major component of this category is an administrative recovery of engineering and public works costs to the water and sewer operating fund. Also reported here is fee income from servicing agreements from engineering dept. to recover the costs of inspection of off-site works from subdivisions. Planning Fees: Fee income from development activitiy ie. Development permits, Variance permits and subdivisions Geo-Utility Billings: Monthly fees for provdign geo-heat service to Parkland geo customers. Operating Grants: The major item in this category is an unconditional grant from the Province and also a specified area charge for Payne Rd. improvements (Park Plaza Mall) and from participating properties in the Downtown Revitalization Area offset debt associated with these improvements. Fee recovery from the SCRO for our Green Waste costs are included in this category as part of gov't. grants. Fleet Reserve Recovery: Represents the reserve component of vehicle costs charged to departments and equals the amount of funds held in reserve for future replacements of the fleet. Transfers from Reserves: Transfers from own funds to offset planned expenditures.

6 GENERAL FUND-TOTAL OPERATING REVENUES - Figure 2 Total operating revenues budgeted at $5,319,303 are comprised of: General Revenues - $165, 159 or 4.9% $3,532,850 ($3,367, ) A net increase of Property tax - $2,690,515 - This line alone accounts for $140,003 of the $165,159 category net increase mentioned above. This $140,003 increase is 5.5% over the previous year and is further broken down into - new growth (new assessments) revenue of $60,003 (2.5%) plus a 1.5% tax increase ($40,000) for CPI and 1.5% tax increase ($40,000) for an ACFAR reserve. Garbage fee - $318,240 - Garbage fee revenue is generated from a residential user fee that was increased to $ per household in April, There is no increase to the current levy and the increase in revenue is due to additional users. The residential garbage contract was extended at the same price for an additional year (to Feb. 2017) to await any possible service changes emanating from the zero waste committee work. This contract extension has allowed us to maintain our fee at last year's level. Franchise Fees - $9,830 - This is a new revenue line this year and ~epresents the contribution from Fortis BC natural gas sales that was negotiated last year and is being passed to local governments to offset indirect costs to our roads re utility corridors. This represents only a partial year of revenue as the fee was not levied until part way into the expected annual fee is close to $40,000. Rental Income - $409,683 ($394, ). An increase of $15,44 7 Rental income is budgeted to increase $15,447or 3.9% over 2015 and is attributable to the following: - Marina income $100,000 - $4,000 higher due to rate increases, Health Unit - $87,500 - an increase of 2.0% due to a new contract, RCMP occupancy fees - $159, same as previous year (equal to debt payments), and the RCMP O&M recovery of $60,500 and increase of $13,332 to recover expected increased O&M costs and Arts Bldg. rentals $2,565 which is lower by $3,635 due to negotiated lower fees. ICBC I Driver Services - $300,000 ($290, ). An increase of $10,000 or 3.4%. As will be discussed later new "open" hours have been implemented with the goal to increase sales. Protective Services - $134,500 ($151, ) A decrease of $17,500 This budget comprises revenues from business licenses, building permits and bylaw fines and is budgeted at $17,500or11.4% less than $7,000 of this decrease is attributed to a conservative estimate on business license revenue due to the "first year effect" of an Inter-governmental business licensing scheme with the District of Sechelt and $10,000 less revenue from building permits from anticipating a slower building year.

7 Animal Control - $4,400 ($4, ) Increase $400 Fees from licensing dogs and a small component derived from the commissions received from the SCRO re the sale of bus passes. SCRO dog tags now sold only at the Gibsons and District Area Community Centre. Transportation Services - $193,500 ($200, ) Decrease $6,500 This category comprises fees charged for subdivisions and subdivision servicing agreements to recover fees incurred to inspect off-site related development works and also an internal recovery of Engineering I Public Works administrative costs to the water and sewer utility funds. The 3.3% decrease or $6,500 anticipates lower subdivision revenue in Planning Fees - $15,000 ($22, ) A decrease of $7,500 This category collects fees for bylaw amendments (OCP and Zoning) and Development permit fees. Planning fees in 2015 were $10,600 far short of the budget estimate. The 2016 target still reflects a slower year re planning activity. Geo-Utility Billings - $ 23,250 ($18, ) An increase of $5, will be the fourth year of billings to homes in the Parkland subdivision and to the RCMP facility which is also on a Town owned geo-field. Homes sales in this subdivision continue to be active and thus we anticipate additional users and user fees. Operating Grants - $600, 193 ($691, ) A decrease of $90,879 Unconditional grants from the Province are anticipated at $450,000 which is $40,000 lower than 2015 which was an unusually high year. This grant is supposed to, Ministry words, stabilize at this level over the coming years (in the past it seemed to fluctuate according to the needs of the Province.) Also anticipated to decrease by $55,658 are contributions from the SCRO re Green Waste as they have taken control of the hauling contract so we will not be needing to be "reimbursed". All costs of us operating the Green Waste are continue to be fully recovered from the SCRO with the TOG share of costs being included as part of the SCRO requisition. Transfers from Reserves - $5,000 ($16, ) A decrease of $11,000 This amount represents a drawdown of our internal reserves in order to fund one identified project in 2016.

8 Figure 3 Town of Gibsons General Operating Fund EXPENDITURES General Government Final Prelim $ % Change Budget Budget Change Budget Description vs VS 15 Council 139, ,000-2,075 (1.5%) General Government 1,141,999 1,219,261 77, % Grants & Donations 155, ,559-6,699 (4.3%) Municipal Buildings 108, ,927 12, % ICBC I Driver Services 255, ,751 21, % Total General Government 1,800,340 1,903, , % Council: Items included in this category include Council wages, conference and travel costs and membership association dues. General Government: Includes the cost of wages for the administrative staff (CAO, CO and Finance), conference travel and training costs, general liability insurance premiums, legal and audit, communications, computer maintenance and other general office related costs. Grants & Donations: Grants to various organizations including the Chamber of Commerce for the Visitor Information Centre, Sea Cavalcade, Youth Services Worker, General Grants of Assistance, Economic Development {Chamber contract), and including SC Tourism support and also any flow through funding to community based groups. Municipal Buildings: Cost to operate the Municipal Hall, Old Library and Museum including heat, light and insurance. RCMP building costs are also included here but are also fully recoverable under agreeement. ICBC I Driver Serivces: The major component of this category is wages and benefits for our staff and a small allotment of office costs. Note does not include other typical office costs like building insurance, heat and light.

9 GENERAL FUND - TOTAL OPERATING EXPENDITURE$ Total operating expenditures are budgeted at $4,925,792 (Figure 1 - Line 8) which is a decrease of $52,841 or 1.1 % over 2015 budgeted totals. The explanation of the decrease is found within each department area and will be discussed as follows: GENERAL GOVERNMENT EXPENDITURES - Budget Figure 3 Total expenditures for general government are budgeted at $1,903,498 which is an increase of $103, 158 or 5. 7% over the previous year budget. This category includes the costs of Council, General Government, Grants and Donations to the community, costs to upkeep municipal buildings in the Civic green space (Health Unit, Municipal Hall, Old Library and Museum) and the operations of our ICBC I Driver Services operation. The individual components of this department are as follows: Council $137,000 ($139, ) - Total costs in this category are budgeted to decrease $2,075 or 1.5% from Reduced meeting expenses accounts for most of the decrease with a small election reserve added this year with the view to budget in advance of the 2018 election year. There is also modest increases to council pay and travel costs. General Government $1.219,261 ($1,141, ) - Total costs in this category increase by $77,262 or 6.8% over the previous year. Included in the category are administrative salaries and benefits, and other office related costs such as legal, audit, advertising, travel, etc. Also in the group is MIA insurance premiums for general public liability coverage. Salary increases (Mgmt %, Union -1.75% - $21, 186), increased computer costs ($27,000 - support and services i.e. fibre optics), increased advertising ($6,000), increased legal and professional services ($10,000) account for the major changes. Grants and Donations $148,559 ($155, ) - This category covers grants to the community such as Sea Cavalcade, Gibsons & District Chamber of Commerce, Grants of Assistance and any flow through funds to the community. This year the category is reduced in total by $6,699 or 4.3% with reduced ($3,000) Economic Dev. Funding to the Chamber (transitioning to Regional ED) and lower grants to the GPM re a permissive tax exemption granted for Municipal Buildings $120,927 ($108, ) - Represents an increase of $12,823 or 11.9% attributable to the increases in O&M costs at the Old Library and Museum and to the RCMP facility (note all RCMP O&M fully recovered).

10 ICBC I Driver Services $277,791 ($255, ) - Total costs are budgeted at $277,791 an increase of $21,847 or 8.5%. The entire budgeted increase is related to wages - partially a 1.75% increase in the Collective Agreement the balance being an adjustment to reflect the actual cost to staff this work unit at 3.86 FTE's. Actual cost experience has shown that previous labour budgets were underfunded. Actual "net profit" for this work unit in 2015 underperformed versus budget and so we have begun a plan of increased "opening" hours and advertising (utility and tax mail out brochures) with the view to increasing sales. ICBC staff are to be commended in coming up with an operational plan (a re-arrangement of lunch breaks) with no increase to costs beyond that required to staff 3.86 FTEs.

11 Figure 4 Town of Gibsons General Operating Fund EXPENDITURES Protective Services Description Final Prelim Budget Budget $ Change 16 vs 15 % Change Budget 16 VS 15 Building Inspection 106, , % Bylaw Enforcement 89,233 89, % Animal Control 800 1, % Total Protective Services 196, ,916 1, % Building Inspection: Wages and benefits of our building inspector along with conference and training costs. Also includes a component for vacation relief and office supplies. Bylaw Enforcement: Wages and benefits for one officer, conference and training costs, legal fees, office and clothing. Animal Control: Costs associated with kenneling, veternarian fees and misc. supplies.

12 PROTECTIVE SERVICES EXPENDITURES - Budget Figure 4 Total expenditures for this category are $197,916, a net increase of $1,260 or 0.6% over the 2015 budget. The component breakdown of these costs are: Building Inspection - $107,505 ($106, ) A net increase of $883 or 0.8%. Reflects staff increases as per the collective agreement 1.75% with corresponding reductions in travel costs due to short-term medical absences of the incumbent. Bylaw Enforcement - $89,411 ($89, ) The work unit budgeted costs are budgeted to increase only $178 or 0.2%. Staffing remains at one person (1.0 FTE - consistent with prior year). Wage increases have been essentially offset by other line item reductions. Animal Control - $1,000 ($ ) A net $200 increase from the prior year budget.

13 Town of Gibsons General Operating Fund Figure 5 EXPENDITURES Engineering I Public Works Final Prelim $ % Change Budget Budget Change Budget DescriEtion vs 15 16vs 15 Admin. I Engineering 353, ,875 16,071 Henry Rd. Workshop 153, ,457 22,912 Traffic Signs and Street Lights 80,241 84,998 4,757 Road Maintenance 143, ,223-8,822 Snow Removal 17,662 18, Drainage 59,566 54,245-5,321 Solid Waste 460, ,125-25,031 GEDU (Geo Utility) 8,400 25,989 17,589 Total Eng./ Public Works 1,276,419 1,299,410 22, % 14.9% 5.9% (6.2%) 4.7% (8.9%) (5.4%) 209.4% 1.8% Admin. /Engineering: This department category consists of wages and benefits for the Engineering Department (Manager and 2 Eng. Technicians), Conference and training, costs associated to maintain our GIS mapping system, vehicle costs for the smart car, and office costs for the department. Henry Rd. Workshop: Captures wages and benefits for the Director of Public Works and costs of the unionized workforce charging time to general maintenance while at the top shop on Henry Rd. Also, costs associated with maintaining a repair shop, office and vehicle for the Director. Traffic Signs and Street Lights: Wages and benefits and vehicle costs charged to repair signage and costs of electricity for street lights. Road Maintenance: Wages, benefits and vehicle costs to maintain our roads, potholes, etc. Also, costs for line painting and street sweeping and supplies used to maintain roads (i.e. sand and gravel). Snow Removal: Wages, benefits and vehicle costs for snow and ice control of the streets. Drainage: Wages, benefits and vehicle costs for drainage and storm water control. Solid Waste: Wages, benefits and salaries for street side garbage containers and the costs to maintain the green waste drop-off facility on Henry Rd. (Including haulage fees). The major cost component to this category is the costs of residential curbside collection including the disposal (tipping fees) at the SCAD landfill. GEDU (Geo-Utiltiy): Costs incurred to maintain the pumps and distribution of geo exchange system in Parkland Subdivison

14 ENGINEERING I PUBLIC WORKS EXPENDITURES - Budget Figure 5 Total expenditures for this category group are $1,299,410 which is an increase of $22,991or1.8% over the 2015 budget. Costs within this category are: Admin I Engineering - $369,875 ($353, ) This category increase over 2015 is $16,071 or 4.5%. Staffing costs account for $14,586 of this increase which is the cost of contracted wage increases. The remaining cost items in this category of general administration costs such as training, software, cellphones etc. make up the budgeted difference being $1,485 which are acceptable increases. Henry Road Workshop - $176,457 ($153, ) The Henry Road workshop is our major marshalling point for the public works crews and their equipment. We keep a small inventory of parts and perform minor repairs to the fleet from this location. This sub-category is budgeted to increase $22,912 (14.9%) over the previous year and is attributed to increased contracted wage costs of $9,557 and increased allowance for crew training of $7,355. The balance of costs ($6,000) is for safety supplies, tools and electricity. Traffic Signs and Street Lights - $84,998 ($80, ) This sub-category is budgeted to increase by $4,757 or 5.9% and is attributed to increased costs of manpower allocations over the previous year. Road Maintenance - $134,223 ($143, ) This sub-category budgetary section is decreased over the prior year by $8,822 or 6.2% due to reduced manpower allocations and street sweeping. (Adjusted to 2015 actuals). Snow Removal and Ice Control - $18,498 ($17, ) This category is budgeted to increase over 2015 levels by a nominal amount of $836 or 4. 7%. This increase is to adjust staffing allocations to actuals in Drainage - $54,245 ($59, ) This category is budgeted to decrease by $5,321 or 8.9% from the 2015 budget levels solely attributable to decrease staff time allocation. Solid Waste - $435, 125 ($460, ) This category includes costs to service our own street garbage removal, contracted residential garbage collection and operation of the green waste facility. This category is budgeted to decrease $25,031 or 5.4% over The main contributor to this reduction is:

15 Green waste site disposal and monitoring costs. The SCRO has taken over the hauling contract for green waste so we will not be paying for these costs directly in 2016 and thus do not need to reflect them as a recovery item under revenues. We will still maintain the site with manpower and machinery costs and recover these costs from the SCRO. Our cost to provide a sub-regional green waste option is via the SCRO budgeting and requisitioning system. We also plan a "site refurbishment" in 2016 as the site is showing signs of continued heavy usage. The SCRO has agreed to these upgrades (estimated at $60,000) and will fund the project over a three (3) year period. Fleet Costs - Net Replacement Reserve - $102,782 $100,927 $203,709 ($102, ) ($104, ) ($206, ) Fleet costs are budgeted at a slightly lower operating costs than ($203, 709 vs. $206, 709) The use of our own bio-diesel inventory helps to alleviate any cost increases to regular fuel prices. Generally, our fleet costs remain stable over time (assuming no major breakdowns) as we routinely budget to replace vehicles after 10 years of use being their estimated EOL. Included in our fleet costing is an annual contribution to a replacement reserve of $100,927. This level of ACF AR for the fleet continues to be an adequate reserve to maintain our fleet and eliminate the need to rely on leasing as a financing mechanism. GEDU (Geo Utility) - $25,989 ($8, ) The geo-utility costs are budgeted at higher levels which reflect the requirement to adequately staff and conduct regular maintenance on this new utility. Beginning in late 2015 we began using Union staff to perform daily maintenance checks of the system and thus the current year budget reflects new manpower allocations. At this level of costs we anticipate to incur a slight loss but this can be offset with increased users as it appears the sub-division is showing signs of increased building activity. Alternatively a geo-utility rates review will be part of an overall master plan of operations which is scheduled to occur in 2017.

16 Figure 6 Town of Gibsons General Operating Fund EXPENDITURES Description Final Prelim Budget Budget $ % Change Change Budget 16 vs vs 15 Planning 241, ,911 3, % Parks and Cultural Services 628, ,087 20, % Fiscal Services Miscellaneous Transfers to Reserves Debt Total Fiscal Total Plan/Parks/Fiscal 4,250 3, , , , , , ,970 1,705,219 1,524, (11.8%) -205,236 (52.5%) % 204,861 (24.5%) -180,251 (10.6%) Planning: Includes wages and benefits for two planning staff, conference and training, legal and office supplies. Also included in this category is any special projects such as OCP Bylaw updates, SC Housing Cmttee, major planning projects and reporting for GHG emissions. Parks and Cultural Services: This category includes the wages and benefits for the parks manager and unionized staff, community programs such as Music in the Landing. Costs for the ongoing upkeep of numberous parks, both passive and active, fleet vehicle costs as well as the costs to maintain a works yard on School Rd. Fiscal Services: This category includes miscellaneous costs (bank fees and interest on tax credit accounts), transfers to reserves primarily our annual fleet vehicle reserve and the costs of principal and interest on long-term MFA debt. Note. Some of the debt charges are recovered by specified area levies (not taxpayer funded) or lease payments in the case of the RCMP Bldg.

17 PLANNING, PARKS AND FISCAL EXPENDITURES - Budget Figure 6 Total budgeted costs in these combined three categories (lines 5, 6 and 7) for 2016 are $1,524,568 which is a decrease of $180,251or10.6% over the budget of The components of this group are: Planning - $244,911 ($241, ) A net Increase of costs of $3,385 are as follows: Wages and benefits $2,979 reflects the 1.6% and 1.75% contracted increases senior staff and union respectfully, Reduced development review costs of $5,000 (fully recoverable from developer) No SC Housing Committee costs thereby reducing costs by $5,294 Climate action costs of $10,000 (same as last year) Small increase for office supplies. Note - Some allowance for developer review and the Winegarden Advisory Park committee will be added but since they are fully recoverable they have not been shown as they tend to skew the numbers when comparing to the previous years values. Parks and Cultural Services - $649,087 ($628, ) Total budgeted costs are expected to increase by $20,774 or 3.3% is comprised of the following: Wage and benefit cost to fund the staffing compliment of 6.05 FTE - an increase of.05 to eliminate a job share situation and give each party a known schedule, Budgeted increases of $4,500 for trail maintenance mostly to deal with hazardous tree situations, Budgeted increases for fertilizers and mulch. Fiscal Costs - $630,970 ($835, ) Fiscal costs are decreased a net $204,861 over 2015 (24.5%) due to the following: Transfers to reserves - A net decrease of $205,236 is comprised of: o A small net Increase transfer of $2, 100 to the Muriel Haynes reserve (interest allocation) and $2,238 increase to our Fleet Reserve, o Decrease of $208,939 to operating reserves as the previous year had a planned increase to our accumulated surplus to "replenish" the drawdown from surplus in 2014 that was caused due to unexpected legal expenditures. Minimal changes to banking fees and debt interest costs - essentially remaining stable to the prior year.