VILLAGE OF VINTON, TEXAS

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2 1 Village of Vinton, Texas Fiscal Year VILLAGE OF VINTON, TEXAS ANNUAL OPERATING BUDGET FOR FISCAL YEAR S.B. 656 Notice This budget will raise more total property taxes than last year s budget by $24,948.00, or 9.16%, and of that amount an estimated $0 is tax revenue to be raised from new property added to the tax roll this year. City Council Record Vote On August 25, 2015, the members of the governing body voted on the adoption of the budget as follows: FOR: Victor Carrejo, Place 1 Yolanda Lucero, Place 2 Manuel Leos, Place 4 Santos Lucero, Place 5 AGAINST: Dolores Diaz, Place 3 PRESENT and not voting: none ABSENT: none

3 Village of Vinton, Texas Fiscal Year Contents VISION STATEMENT:... 4 MISSION STATEMENT:... 4 ORGANIZATIONAL CHART... 5 CURRENT ADMINISTRATION AND PERSONNEL... 6 CURRENT CITY LIMITS... 7 STATISTICAL DATA... 8 MAYOR & COUNCIL FISCAL YEAR OBJECTIVES FINANCIAL PRIORITIES BUDGET OVERVIEW BUDGET PROCESS & FINANCIAL POLICIES FINANCIAL STRUCTURE, POLICY AND PROCESS FUND DESCRIPTIONS & FUND STRUCTURE GOVERNMENTAL FUNDS PROPRIETARY FUNDS (ENTERPRISE FUNDS) FIDUCIARY FUNDS DEBT SERVICE FUNDS CAPITAL PROJECT FUNDS SPECIAL REVENUE FUND PROPERTY TAXES AND TAX RATE COMPARISON FUND STRUCTURE GENERAL FUND REVENUE & EXPENSES GENERAL FUND REVENUE DETAIL GENERAL FUND EXPENSE DETAIL BY DEPARTMENT GENERAL GOVERNMENT DEPARTMENT COMMUNITY OUTREACH ADMINISTRATION... 26

4 3 Village of Vinton, Texas Fiscal Year ADMINISTRATION (CONTINUED) LIBRARY PUBLIC WORKS PARKS AND RECREATION PLANNING & ZONING MUNICIPAL COURT ALL FUND REVENUE & EXPENSE SUMMARY PROJECT FUND ENTERPRISE FUND / SANITATION SERVICES SPECIAL REVENUE FUND DEBT SERVICE FUND SALARY EXPENSE DETAIL CAPITAL IMPROVEMENT PLAN (CIP) APPENDIX GLOSSARY... 48

5 Village of Vinton, Texas Fiscal Year Vision Statement: The vision of the Village of Vinton is to be a city of economic opportunity with cultural pride and civic engagement achieving a high quality of life for today and the future. Mission Statement: The mission of the Village of Vinton is to provide the means for development, growth, and sustainability with proper planning and resources.

6 5 Village of Vinton, Texas Fiscal Year Organizational Chart Village of Vinton Residents Mayor & Council City Attorney / Accounting/ Finance/ Audits/ Human Resources Grants Planning Application Administration Boards & Commissions Village Administrator Municipal Court Sanitation Community Outreach & Events Meetings/ Recordkeeping Elections Building Inspection City Engineer Public Works Streets Parks Drainage Building /Equipment Maintenance

7 Village of Vinton, Texas Fiscal Year Current Administration and Personnel Mayor and Council Madeleine Praino Mayor Manuel Leos Sr. Mayor Pro Tem Place 4 Víctor Carrejo Place 1 Yolanda Lucero Place 2 Dolores Diaz Place 3 Santos Lucero Place 5 Boards & Commissions Planning & Zoning Tax Accountability Keep Vinton Beautiful (KVB) Village Administrator s Office Jessica Garza Village Administrator Andrea Carrillo Deputy Village Clerk Michael Garay Accounting and Analyst Jannette Monrreal Deputy Court/Sanitation Clerk Marina Ramirez Media Specialist Arturo Marquez Purchasing Specialist Public Works Department Perfecto Valdez Public Works Director Francisco Ruiz Public Works Assistant Professional Service Providers Shane English City Attorney Strickler & Prieto, LLC City Auditor White, Samaniego, & Campbell, LLC City Accountant Parkhill, Smith, & Cooper City Engineer Border Housing Solutions City Housing Grants

8 7 Village of Vinton, Texas Fiscal Year Current City Limits

9 Village of Vinton, Texas Fiscal Year Statistical Data Form of Government... Mayor-Council Incorporation Date Town Characteristics Elevation 3787 feet Land area: 2.43 Square miles Population (2013): 1,951 Median Residential age: 24.2 Speak only English: 8.8% Speak Spanish or Spanish Creole: 91.2 High School Graduates (Population 25 and older): 59% Some College, no degree (Population 25 and older): 21.9% Bachelor s degree (Population 25 and older): 2.6% Graduate or Professional degree (Population 25 and older): 1.8% Estimated number of veterans: 37 Estimated Housing Units: 480 Estimated Median Household income in 2013: $30, ($26, in 2000) Vinton: $30,919 Texas: $51,704 Races in Vinton: Hispanic: 94.4% White: 5.0% Two or more races: 0.3% African American: 0.2% Asian: 0.1%

10 9 Village of Vinton, Texas Fiscal Year The Village of Vinton is centrally located 35 minutes away from Las Cruces, NM and 30 minutes away from Downtown El Paso, making it the ideal location for businesses and housing a labor force.

11 Village of Vinton, Texas Fiscal Year Mayor & Council Fiscal Year Objectives Strategic Planning retreat Madeleine Praino... (Expiration 11/2016) Victor Carrejo, Place 1... (Expiration 11/2015) Yolanda Lucero, Place 2... (Expiration 11/2016) Dolores Diaz, Place 3... (Expiration 11/2015) Manuel Manny Leos Sr., Place 4... (Expiration 11/2015) Santos Lucero, Place 5... (Expiration 11/2015) On March 6-7, 2015 the Mayor, City Council, and City Attorney of the Village of Vinton met for a retreat planning session. The purpose of this meeting was to establish the Council s governance philosophy and to develop a multi-year strategic plan. During all sessions, the Mayor and Council freely worked together and their work was exemplary in all respects. Ron Cox Consulting facilitated the process. Throughout the process the Mayor and Council identified the needs of the community and prioritized different categories in which municipal staff will implement into their day-to-day activities to better serve the community. The categories and their projected goals are listed as such: 1. Infrastructure Construct a citywide owned and operated water and wastewater system. 2. Quality of Life Plan for, fund, and construct a community activity center. Plan for, fund and construct additional recreational opportunities and venues. 3. Civic Engagement Create an environment of transparency. Develop and implement initiatives to increase volunteerism, and provide opportunities for establishment of citizenship and English classes within the community. Identify historical sites and structures for preservation and cultural pride 4. Planning and Economic Development Engage an outside consultant to review and recommend changes to city ordinances, complete the hiring of a code enforcement officer. Continue he implementation of the 10-year annexation plan as adopted. The Council and staff of the Village of Vinton worked through a strategic planning process that allowed the Council to identify strategies for moving the city forward, brought the staff leadership and Council closer together as a team, and developed an implementation process to ensure the strategies are addressed and accomplished over time

12 11 Village of Vinton, Texas Fiscal Year Financial Priorities Management and staff adhere strictly with federal and state general accounting standards for local governments. Staff is supported by a third party accounting firm on a monthly basis and conducts an annual audit each year also with an outside firm. Despite the small staff, efforts have been made to ensure clear separation of duties and responsibilities within the office to minimize risk. Financial Planning 1. Balanced Each year the budget for each fund shall be balanced. Total resources available, including fund balances plus projected revenue, shall be equal to or greater than the projected expenditures for the coming year. In the event a department s budget, through the course of the year, begins to vary greater than 5% from its approved amount, full disclosure and City Council approval will be required including the factors affecting the budget such as economic factors or emergency capital expenditures. Revenue Policies 2. Fees and Charges - In conjunction with the annual budget process, departments will review the cost of providing services against the fee charged. For those services which the costs exceed the fees collected, the City Council will be presented analysis for each proposed fee increase. The City Council will be the determinate of if the fees are amended, but the responsibility for the identification of these fees will be with the organization. 3. Use of One-time Revenues Use of one-time revenues will be reserved for the highest priorities of the current budget to include any revenue shortfalls impacting current budget, reducing and managing debt, use in considering one-time capital purchases and fund balance reserves. One-time revenues are discouraged from being used to maintain or establish ongoing expenditures. 4. Revenue Collections The City will maintain an aggressive policy of collecting all moneys due to the City. Expenditure Policies 5. General Fund Balance Unreserved, undesignated fund balance equal to three months annually budgeted expenditures of General Fund and Enterprise Fund maintained for the purpose of providing for emergency and other unplanned expenditures and revenue shortfalls. Investment Policies 6. Public Fund Investment Policy - It is the policy of the Village of Vinton that after allowing for the anticipated cash flow requirements of the City and giving due consideration to the safety and risks of investments, all available funds shall be invested in conformance with these legal and administrative guidelines to obtain a market rate of return. The City

13 Village of Vinton, Texas Fiscal Year is required under the Public Funds Investment Act (Chapter 2256 of the Texas Government Code) to adopt a formal written Investment Policy for the investment of public funds. Purchasing Policies 7. Purchasing Policies and Procedures The Village of Vinton adheres to all State of Texas laws and regulations as set forth in the State of Texas Local Government Code ( LGC ), as amended and as approved by the City Council of the Village of Vinton, Texas. Donation Policies 8. Donation Policies and Procedures The Village of Vinton reserves the right to accept or decline any financial donation for any reason. Donations made for community outreach activities shall be accounted for as Restricted Use funds for the program, project or event it was intended.

14 13 Village of Vinton, Texas Fiscal Year Overview The Village of Vinton was incorporated in 1961, originally named Village of Industry. In July 1986 The Village of Vinton adopted the provisions of Chapters 1 through 10 of Title 28 of the Texas Revised Civil Statutes for general law cities to operate as a Type-A General Law city. The Village of Vinton, as a Type-A Municipality, follows the Texas Local Code, as it pertains to Type- A municipalities. In accordance with the Texas Local Government Code , the Proposed Annual Operating for the fiscal year beginning October 1, 2015 and ending September 30, 2016 is hereby submitted. The purpose of this guide is to serve as a Policy Document, an annual Financial Plan, an Operations Guide, and Communications Device. The proposed budget presents, in financial terms, the plan for the delivery of municipal services for the upcoming fiscal year. The City Council is committed to achieve the highest level possible of transparency in order to ensure the public trust and create a process that invites public participation. Government transparency promotes accountability and informs the public as to the activities of their government. In April of 2010, the city was certified as a Gold Seal municipality by the Texas State Comptroller for meeting specific requirements in financial transparency. The Texas State Comptroller affirmed the Gold Seal status once again in November In 2014, the city was certified as a Platinum Seal municipality. This guide is just one piece of a larger effort to meet the commitment of City Council toward complete transparency.

15 Village of Vinton, Texas Fiscal Year Process & Financial Policies The Local Government Code requires the Village of Vinton to prepare and adopt an annual City budget that includes a complete financial plan for the fiscal year. To achieve this goal, the Mayor and City Council, City Departments, and the public participate during various stages of the budget process. The budget process is divided into the following: Drafting the City The Mayor provides the City s Department Heads with policy direction in formulating their department budgets. The department budgets are then presented to the Mayor and discussed with City Council. The prior fiscal year budget and expenses are distributed in order to establish guidelines through the budget process. Proposed Department s Each department prepares and submits its budget requirements for the coming fiscal year. The departments compile their requested budget, which include appropriations for operation and maintenance, capital equipment, and construction. Public Input The City Council reviews the proposed budget over a series of public workshops that have been posted in accordance with the Open Meetings Act. The proposed budget is then filed with the City Secretary and prepared for adoption by the City Council (LGC ). A copy of the Proposed is available for review by residents at City Hall (LGC ). The review sessions and public hearings provide an opportunity for City Council and the Citizens to ask questions, make recommendations, and gain a better understanding of the operations of each department Hearing and Meeting Schedule for Annual and Tax Rate July 21 6:30 Regular Council Meeting / Presentation July 23 6:30 Special Council Meeting / Presentation July 27 6:30 Special Council Meeting / Presentation August 4 6:30 Regular Council Meeting / Presentation August 18 6:30 Regular Council Meeting / Presentation August 25 6:30 Regular Council Meeting / Presentation September 1 6:30 Regular Council Meeting September 8 6:30 Public Hearing Tax Rate September 15 6:30 Regular Council Meeting / Tax Rate Adoption Adoption Any changes made to the Proposed after it is filed, are included with the final Adopted Ordinance, which is voted upon by City Council (LGC ). The ordinance and budget are distributed to the department heads and filed in the city s records to be viewed through the Texas Public Information Act procedures.

16 15 Village of Vinton, Texas Fiscal Year Tax Levy In accordance with the laws of Texas (LGC ), City Council passes the tax levy ordinance as soon as possible after the tax roll is completed and by September 30 of each year. The Council also holds posted public hearings regarding the property tax rate and sets the rate as prescribed by the State Property Tax Code. Balanced The budget for each of its funds must always be balanced in that the appropriations from each fund for the fiscal year not to exceed the resources available to that fund for the year; including estimated revenues and any unreserved balance in the fund at the beginning of the year. This policy assures that the city does not spend beyond its means. If necessary, with the approval of the City Council, a plan is implemented to either reduce the rate of expenditures or increase revenues. Amending the Adopted The responsibility for amending the adopted budget originates in the department requesting the change prior to incurring the additional expense. Department Heads must present their request to City Council for approval. Changes within the same fund and department require an agenda item approval. A budget transfer from one department into another requires the Council s approval of an amendment to the Ordinance. Transfers that increase an appropriation from capital improvements, new revenue, or re-appropriation of a fund balance, and/or change the scope of a program also requires Council approval of the Ordinance. Annual Audit Each year the city is required to undergo an audit (LCG ). A certified public accounting firm is contracted to provide this service. The auditor reviews revenue and expenses for the prior fiscal year according the adopted budget. The audit findings reveal weaknesses and strengths of the city s day to day accounting practices and provide annual financial statements. The auditor is required to file his report within 180 days of the last day of the fiscal year (LCG ).

17 Village of Vinton, Texas Fiscal Year Financial Structure, Policy and Process Accounts are organized into different fund groups, and each fund is considered a separate accounting entity. Each has a balancing set of accounts and records cash and other financial resources. The City uses an integrated computerized accounting system to record, monitor, and manage all accounting transactions. Computerized revenue and expenditure reports are produced on a regular basis to inform the Mayor and Council of the current status of each fund. The City s financial structure encompasses the operating budget, which covers all operating costs for the City, and the capital budget, which pays for construction of capital improvement projects. Funds for these budgets are segregated to carry on specific activities or to attain certain objectives, according to special regulations, restrictions, or limits. There are two major types of funds for both the capital and operating budgets: Governmental and Proprietary. Each has primary fund and sub-fund(s). Fund Descriptions & Fund Structure Governmental Funds Most government functions are funded through governmental funds or general funds. The acquisition, use, and balances of the City s expendable financial resources and related current liabilities are accounted for through governmental funds. Long-term liabilities and fixed assets are not accounted for through governmental funds. Proprietary Funds (Enterprise Funds) Proprietary funds are used for the ongoing activities of the City that are similar to those found in the private sector. These funds include all assets, liabilities, equities, revenues, expenses, and transfers relating to the City s business and quasi-business activities. These funds are financed through user charges to recover costs for services provided. Proprietary funds use accrual accounting, which means that revenues are recognized when earned by the City and expenses are recognized when incurred. Enterprise Funds are considered proprietary funds and are used to account for operations for rental properties and sanitation services. Fiduciary Funds Fiduciary funds are restricted funds used to account for assets held by the City in a special capacity or as an agent for individuals, private organizations, other governmental units, and/or other funds and are not part of the annual M&O budget. Restricted and Agency Funds include expendable funds, private purpose trusts, pensions funds, and agency funds. Examples include community outreach donations, State Comptroller payments. Debt Service Funds Debt Service Funds account for the payment of long-term principal and interest, as well as the accumulation of money for the repayment of debt payable in installments. For the General Debt Service Fund, the revenue sources are general taxes. Accounting records and budgeting for the Debt Service Funds are maintained on the modified accrual basis.

18 17 Village of Vinton, Texas Fiscal Year Capital Project Funds The Capital Project Funds are used to account for the construction of major capital projects. The City has undertaken a major prioritization process for its Capital Improvements Program (CIP) projects. This budget reflects that prioritization. Accounting records and budgeting for the Capital Project Funds are maintained on the modified accrual basis. Special Revenue Fund The Special Revenue Fund accounts for projects and programs funded by Grants awarded by other federal and state agencies, and private foundations. Accounting records and budgeting for the Special Revenue Fund may include administration, planning, construction and are maintained on the modified accrual basis. Unreimbursed expenses related to Special Fund projects or required as a match are budgeted through the Administration Department. Property Taxes and Tax Rate Comparison Property taxes in Vinton are divided into two parts. The Maintenance & Operation (M&O) portion is utilized to maintain the services of the city. The Interest & Sinking (I&S) portion is utilized to pay the principal and interest on debt owed by the city (LGC ). These two portions make up the Total Tax Rate which appears on the property tax bill. I&S is set aside and can only be utilized to pay down the debt of the city and is the taxing mechanism that allows municipalities to leverage future tax collections to complete capital improvement projects or purchase large equipment as present market rates. Each year the city determines its Effective Tax Rate. The effective tax rate establishes a relationship between taxes from the prior year compared to the current year, based on a tax rate that would generate the same amount of taxes if applied to the same properties taxed in both years. The City of El Paso s Tax Office receives the property values from the El Paso Central Appraisal Office and calculates the rate based on the State Comptroller s formula: The Rollback Rate contains two separate components a maintenance and operations (M&O) rate and a debt service rate (I&S). The M&O portion of the rollback rate is the rate necessary to raise the same amount of tax revenue as the prior year plus 8%. The remainder is the I&S rate necessary for the current year s debt payments. The I&S portion increases based on the amount of debt the city is carrying and does not have a maximum threshold, as does the M&O portion.

19 Village of Vinton, Texas Fiscal Year TAX RATE IMPACT ON AVERAGE SINGLE FAMILY Effective Increase of Rate 7.99% AVERAGE SINGLE FAMILY DWELLING VALUE BY ENTITY ENTITY 2015 AVERAGE CVN VINTON, VILLAGE OF NET TAXABLE $76,453 $ $ $ $35.31 $ AVERAGE NET TAXABLE SOURCE: EL PASO CENTRAL APPRAISAL DISTRICT (07/23/2014) $76,486 $ The City of El Paso s Tax Office provides a consolidated property tax bill for El Paso County and Tax Rate Comparison by Year 2015 AVERAGE NET TAXABLE M&O I&S Total $76, no change no change lower by cents increased by cents no change lower by cents no change increase by cents increase by cents collects taxes for Village of Vinton along with 30 other taxing jurisdictions within the county. Vinton utilizes a third party law firm to collect delinquent property taxes. The average delinquency for Vinton is 0%.

20 19 Village of Vinton, Texas Fiscal Year As you can see in the chart below, The Village of Vinton s tax Rate is very competitive in comparison to other cities within the area and sits between the lowest tax rates within the County of El Paso. Jurisdiction Maintenance & Operations Rate Interest & Sinking Rate Total Rate CITY OF EL PASO CITY OF SOCORRO TOWN OF CLINT TOWN OF ANTHONY TOWN OF HORIZON CITY VILLAGE OF VINTON CITY OF SAN ELIZARIO Total Tax Rate 0 CITY OF EL PASO CITY OF SOCORRO TOWN OF CLINT TOWN OF ANTHONY TOWN OF HORIZON CITY VILLAGE OF VINTON CITY OF SAN ELIZARIO CITY OF EL PASO CITY OF SOCORRO TOWN OF CLINT TOWN OF ANTHONY TOWN OF HORIZON CITY VILLAGE OF VINTON CITY OF SAN ELIZARIO

21 Village of Vinton, Texas Fiscal Year Tax Rate Comparison by Year HOW PROPERTY TAXES ARE DISTRIBUTED Canutillo Independent School District 55% El Paso County 16% University Medical Center 8% El Paso Coummunity College Village of Vinton 5% 13% Emergency Services District 3%

22 21 Village of Vinton, Texas Fiscal Year ary Funds 2015 Proprietary Funds Governmental Funds Enterprise Funds General Fund Capital Improvement Debt Service Fund Special Revenue Sanitation Administration Library Publis Works Parks & Recreation Planning & Zoning Municipal Court Bond Funded Projects Tax Notes TDHCA Fund Structure General Fund Revenue & Expenses The General Fund is the City s main operating fund and receives its revenue from general property taxes, permit fees & licenses, franchise fees, sales tax, fine & forfeitures, charges for services, and prior fund balance. Each of the sources are accounted for separately and their identity kept intact. Revenue projections in the FY 15 budget are estimated using historical information, data collected from various sources including the State Comptroller, and numerous resources. Trends in sales taxes, home prices, and interest rates are examined. The City utilizes historical data plus a general sense of the economic status of the local community to help predict future revenues. When combined with various data and other indicators noted above, the City normally produces a reasonably good but financially conservative picture of the near future. Staff has been charged with concentrating on operational efficiencies where applicable and to develop cost saving measures in order to relieve Vinton residents of unnecessary tax burdens.

23 Village of Vinton, Texas Fiscal Year General Fund Revenue Sources Long Term Debt, 0% Fund Balance, 5% Other, 24% General Property Taxes, 26% Permits Fees and Licenses, 1% Charges for Services, 4% Fines & Forfeitures, 1% Sales Tax, 15% Franchise Fees, 24% General Property Taxes Permits Fees and Licenses Franchise Fees Sales Tax Fines & Forfeitures Charges for Services Other Long Term Debt Fund Balance

24 23 Village of Vinton, Texas Fiscal Year General Fund Revenue Detail

25 Village of Vinton, Texas Fiscal Year General Fund Expense Detail by Department General Government Department The General Fund is one of the most utilized funds for the day-to-day operations. Many items found on the list cover overhead costs for services utilized by staff, Mayor, and Council. Services that are covered in this fund include: electricity, gas, water, insurance, supplies, postage, printing, gasoline, legal, engineering, elections, grant writing, IT, and Dues & Subscriptions. GENERAL FUND- GENERAL GOVERNMENT (01.60) Acct. & Item Annual YTD Remaining % PEOY Adopted Salaries % Payroll Taxes % Workers Comp. Ins % Telephone - GenGovt % Street Lights - GenGovt % Liability Insurance % Auto Liability - Gen.Gov % Auto Physical Damage - Gen.Gov % Errors & Omissions % Crime & Fidelity % Real & Personal Property % General Supplies - Gen.Gov't % Postage & Delivery - Gen. Gov't % Printing - Gen.Gov % Office Softw are/equipment - Gen.Govt (26.20%) Equip. Repairs & Maint % Gasoline & Diesel - GenGovt % Equipment Lease/Rental- Gen Govt % Legal Fees % Accounting Fees % Engineering Fees - Gen. Gov't % Audit Fees % Election Costs % Survey/Appraisal Services % Housing Grant Writing % Information Technology Services % Tax Collection % Central Appraisal District % Health / Env. Services % OSSF Services % Interlocal Agreement Other % Dues & Subscriptions % Miscellaneous % Education & training - Council % Lodging- Gen Govt % Air Fare - Gen Govt % Meals - GenGovt % Rental Car & Fuel - Gen Govt % Mileage Reimbursement % Parking % Bank & CC Service Charges % Finance Charge % Loan Interest % Penalties & Interest % Principle Payments % Transfer Out % YR AVG. 3 YR AVG.

26 25 Village of Vinton, Texas Fiscal Year Community Outreach The goal of Community Outreach is to address inequities, improve general quality of life, and build a tighter knit community by providing programming that address economic development, community capacity building, sustainable environments, individual empowerment, participation and educational opportunities. Coordination of Community Outreach falls under the Village Administrator. Programs are offered to address inequities, specifically in housing through various programs and levels of eligibility. Services provide educational opportunities to improve personal skills to encourage civic participation, build neighborhood pride and provide education to empower the residents at the individual level. Outreach serves two basic purposes: to provide information and provide services. Outreach comes in different forms to serve different purposes and includes newsletters, mail insert, press releases and bulletins. Environmental Events & Keep Vinton Beautiful Roadside and river litter cleanups, Bulk Waste Collection Days and the Recycling Program are just a few of the events held regularly throughout the year to address the city s environmental needs. In addition, Bulk Waste Collection Days and the Recycling Program offer cost saving measures to the residents by providing alternatives to dispose of their waste at no cost. Housing Assistance To date, the city has been awarded multiple grants for housing rehab and additional applications for state housing funds are in process. Assistance includes, rehabilitation, accessibility, weatherization, rental assistance, down payment assistance and new construction. GENERAL FUND- COMMUNITY OUTREACH (01.61) 3 YR AVG. Acct. & Item Annual YTD Remaining % PEOY Printing - Community Outreach (409.78%) Health Fair 0 0 5, , % Christmas in the Village , (4.05%) Environmental Events , , , % Parades % Hospitality % Special Events- PD % Economic Development Outreach % Law Enforcement Regional Mtg % th Anniversary Celebration % CERT- Comm. Emer. Readines , , % Patriot Program % Youth Program % Sanitation Payments - Community 0 0 7, % , , , YR AVG. Adopted 2015

27 Village of Vinton, Texas Fiscal Year Administration The Administration Department Staff coordinates the operational aspects of the City and facilitates the efforts of the Mayor, City Council, and support roles in responding to the needs of the residents. The Village Administrator also serves as the City Secretary and is responsible for the administration of City elections, the city wide Records Management program, and the annual Boards and Commissions appointment process. The Administration Department provides planning and implementation of the City s financial activities, including accounting, budgeting, payroll, accounts payable, utility billing, financial reporting, and debt administration. The Administration Department coordinates with the external auditor, hired by City Council, to monitor internal controls and provides financial reporting to the Council. The Administration Department also coordinates the Planning & Zoning Department, Municipal Court, Community Outreach and the activities of all Boards & Commissions. It assists with the development of long range financial planning as well as the Capital Improvement Plan. The overall Administration reflects no change in the personnel schedule and line item/categorical increases reflect the maintenance of the services currently offered. GENERAL FUND- ADMINISTRATION (01.10) Acct. & Item Annual YTD Remaining % PEOY Salaries - Administration 0 130, , , , , % 224, Payroll Taxes 0 8,213 23,210 14,257 24,979 12, % 18, Deferred Compensation Costs 0 4,504 5,217 3,655 7,494 2, % 4, Employee Group Health Ins. - Admin. 0 18,043 18,528 5,377 25,332 16, % 24, Workers Comp. Ins % Water - Admin % Internet 0 2,323 2,000 1,661 2,000 1, % 1, Telephone - Admin. 0 8,340 5,100 10,665 10,735 3, % 5, Natural Gas % Electricity-Admin. 0 3,232 1,600 3,339 3,100 1, % 2, General Supplies - Admin. 0 1,189 3,000 3,997 2,550 2,598 (1.90%) 3, Postage & Delivery - Admin , % Printing 0 1,074 1, % Office Softw are/equipment ,722 3,000 1, % 2, Equip. Repairs & Maint % Gasoline & Diesel - Admin % Equipment Lease/Rental- Admin. 0 2,249 1,500 2,154 2,200 1, % 2, Other Contractural Fees % Legal Notices - Admin , ,000 2,449 (144.88%) 3, Dues & Subscriptions (11.86%) 1, Miscellaneous 0 0 1, % Education & training - Admin 0 0 3,500 6,082 3,449 2, % 3, Lodging- Admin 0 0 6,453 2,519 3,940 4,332 (9.94%) 6, Air Fare - Admin ,450 6,685 2,840 1, % 2, Meals - Admin ,840 4,479 3, % 1, Rental Car & Fuel - Admin ,027 1,315 1, % 1, Mileage Reimbursement % Equipment Purchases - Admin % Total Expense 262, , , , , YR AVG. 3 YR AVG. Adopted 2015

28 27 Village of Vinton, Texas Fiscal Year Administration (continued) In addition to its general support function, the Administration Department oversee the preparation, submission and administration of grants in accordance with the intent of the City Council to address the needs of the residents. Those expenditures not reimbursable are included in a subdepartment budget. GENERAL FUND- GRANT (Unreimburseable) (01.11) 3 YR AVG. 3 YR AVG. Adopted 2015 Acct. & Item Annual YTD Remaining % PEOY Salaries % Payroll Taxes % Deferred Compensation Costs % Employee Group Health Ins % Workers Comp. Ins % Telephone - Grants % General Supplies - Grants % Postage & Delivery % Printing % Office Softw are/equipment -Grants % Engineering Fees - Grants - 23, % 28, , , Housing Grant Writing % - - 1, Other Contractural Fees % Legal Notices - Grants % Miscellaneous % Spec.Prog. Grant- Bulk Waste % Home Program Expenses % Village Match - GRANTS 30, % 30, , , , Equipment Purchases - Grants % Park Improvements - Grants % , , ,000.00

29 Village of Vinton, Texas Fiscal Year Acct. & Item Library The Library Department is a new department created for the maintenance of the Little Free Library Program established in The program works on an honor system which encourages residents to take book on and returning it once finished or donating other books. Donations are always accepted in City Hall, the Village of Vinton s goal for this program is to place a Little Free Library on each street. Annual YTD Remainin g % PEOY 3 YR AVG. 3 YR AVG. Adopted General Supplies Postage & Delivery Printing Equipment Lease/Rental Other Contractural Fees Information Technology Services Interlocal Agreement Other Legal Notices Dues & Subscriptions Miscellaneous Hospitality Equipment Purchases GENERAL FUND-LIBRARY (01.16) 2000

30 29 Village of Vinton, Texas Fiscal Year Public Works Public Works Department has several sub-departments which includes, streets, drainage, and building maintenance. Public Works budget reflects no change in the personnel schedule and line item/categorical increases reflect the maintenance of the services currently offered. GENERAL FUND- PUBLIC WORKS (01.20) Acct. & Item Annual YTD Remaining % PEOY Adopted Salaries 0 66,866 85,373 80, ,507 55, % 83, ,940 76, Payroll Taxes 0 5,274 16,456 6,440 11,651 4, % 7,005 14,054 6, Deferred Compensation Costs 0 2,647 2,561 2,701 3,495 1, % 1,974 3,028 2, Employee Group Health Ins. - R&M 0 12,761 15,421 13,292 18,430 12, % 18,531 16,926 14, Workers Comp. Ins. 0 3,185 6,216 6,030 9,549 5, % 8,664 7,883 5, Water - R&M % void Telephone - R&M , , % 812 1, Natural Gas % Electricity- R&M , , % 700 1, Street Lights - Parks 0 2,187 1,500 2, % , Auto Liability - R&M ,650 2,093 2,002 1, % 2,452 1,826 1, Auto Physical Damage - R&M (216.55%) Mobile Equipment , , % 916 1, General Supplies Printing - R&M % Contract Labor - R&M % Road Maint. & Repairs - R&M 0 3,204 6,000 1,009 11,000 1, % 1,546 8,500 1, Bldg. Repairs & Maint. - R&M ,000 1,491 14,700 2, % 3,726 8,350 1, Equip. Repairs & Maint. - R&M 0 2,032 6,000 4,468 6,000 2, % 3,482 6,000 3, Park Maint. & Repairs 0 1,500 1, % Street Signs 0 0 1,500 1, % 277 1, Maintance Tools 0 0 1, , % 0 1, Bldg. Maint. Supplies - R&M , , % 1,171 2, Gasoline & Diesel - R&M 0 5,327 8,000 6,369 8,000 1, % 1,582 8,000 4, Equipment Lease/Rental- R&M , , % , Contract Labor - R&M ,000 3,260 4, % 0 3,500 1, Engineering Fees - Road Maint , % 1, , Other Contractural Fees % Dues & Subscriptions % Miscellaneous % Education & training - R&M , % Lodging- R&M 0 0 2, , % 906 2, Air Fare - R&M 0 0 2, , % 6 2, Meals - R&M 0 0 1, , % 568 1, Rental Car & Fuel - R&M 0 0 5, , % 57 3, Mileage Reimbursement % Disaster Recovery , , % , CERT- Comm. Emer. Readines , % Equipment Purchases - R&M % Sanitation Payments - City hall 0 2,427 1,041 2,222 2,000 1, % 2,045 1,521 2, Total Expense 0 113, , , ,418 96, , , , ,776 3 YR AVG. 3 YR AVG.

31 Village of Vinton, Texas Fiscal Year Parks and Recreation The Park expenditures are a sub-department of the Public Works Department and includes the maintenance of grounds, playground equipment, and city recreation facilities. The overall Parks budget reflects no change in the personnel schedule and line item/categorical increases reflect the maintenance of the current parks in Vinton. Acct. & Item Annual YTD Remaining % Salaries % Payroll Taxes % Deferred Compensation Costs % Employee Group Health Ins % Workers Comp. Ins % PEOY 3 YR AVG. 3 YR AVG. Annual Adopted Street Lights ,000 1, % 2,555 1, General Supplies - Parks % Postage & Delivery % Printing % Engineering Fees Park Maint. & Repairs , % 598 1, Contract Labor , % 0 7, Engineering Fees % Miscellaneous % Equipment Purchases - Parks ,000 6, % 6,493 4,500 2,164 0 Total Expense ,900 8,653 9,734 13,950 3,

32 31 Village of Vinton, Texas Fiscal Year Planning & Zoning The Planning & Zoning Department falls under the Village Administrator but operates as a separate department. P&Z coordinates the planning, zoning, and permitting of the City. There are no changes to the overall budget and reflects the maintenance of the services currently offered. GENERAL FUND- PLANNING & ZONING (01.30) Acct. & Item Annual YTD Remaining % PEOY Adopted Salaries % Payroll Taxes % Deferred Compensation Costs % Employee Group Health Ins % Workers Comp. Ins % Telephone - P&Z % Auto Liability - P&Z % Auto Physical Damage - P&Z % General Supplies - P&Z % Postage & Delivery - P&Z % Printing % Office Softw are/equipment % Equip. Repairs & Maint (40.18%) Gasoline & Diesel - P&Z % Equipment Lease/Rental- P&Z % Engineering Fees - P&Z % Building Inspector Fees % Legal Notices - P&Z % Dues & Subscriptions - P & Z % Loan Interest - P&Z % YR AVG. 3 YR AVG.

33 Village of Vinton, Texas Fiscal Year Municipal Court The Municipal Court also falls under the Village Administrator and is responsible for the judicial processing of Class C misdemeanors that originate from traffic citations, citizen complaints, and code violations occurring within the jurisdiction of the Village of Vinton. Municipal Court processing is governed by the Texas Code of Criminal Procedure and the Code of Judicial Conduct. The Court prepares dockets, schedules trials, records and collects fine payments and issues warrants for Violation of Promise to Appear and Failure to Appear. The Municipal Court Judge is appointed by the City Council and is responsible for holding arraignments, show cause and trial dockets. There are no changes to the overall budget and reflects the maintenance of the services currently offered. GENERAL FUND- MUNICIPAL COURT (01.40) Acct. & Item Annual YTD Remaining % PEOY Salaries 0 21,049 30,784 12, % Payroll Taxes 0 1,725 3,694 1, % Deferred Compensation Costs Employee Group Health Ins. 0 6,559 4,632 2, % Workers Comp. Ins % General Supplies - Muni.Court (25.16%) Postage & Delivery - Municipal Court % Printing (73.61%) Office Softw are/equipment - Muni. Court , % Municipal Judge Fees 0 6,000 6,000 6, % Dues & Subscriptions - Muni. Court % Education & training % Lodging % Air Fare & Other Trans % Meals % Rental Car & Fuel % ,012 25, YR AVG. 3 YR AVG. Adopted 2015

34 33 Village of Vinton, Texas Fiscal Year All Fund Revenue & Expense Summary All Funds FY General Fund Enterprise Fund Special Revenue Fund Project Fund Debt Service Fund Grand Total Revenues General Property Taxes Permits Fees and Licenses Franchise Fees Sales Tax Fines & Forfeitures Charges for Services Other , Long Term Debt 0 Fund Balance Total Revenues Expenditures- By Function General Government Community Outreach Administration Unreimbursed Grants Library Public Works Parks Planning & Zoning Municipal Court Enterprise Grants Capital Projects Total Expenditures- By Category Salaries & Fringe Benefits Operating Expenditures Capital Expenditures 343, Debt Service Principal Payment Interest Payment Total Expenditures

35 Village of Vinton, Texas Fiscal Year Revenue Fund Balance 5% Long Term Debt 0% Other 24% General Property Taxes 26% Charges for Services 4% Permits Fees and Licenses 1% Fines & Forfeitures 1% Franchise Fees Sales Tax 24% General Property Taxes 15% Permits Fees and Licenses Franchise Fees Sales Tax Fines & Forfeitures Charges for Services Other Long Term Debt Fund Balance Revenue By Fund Project Fund 4% Debt Service Fund 5% Special Revenue Fund 21% Enterprise Fund 4% General Fund 66% General Fund Enterprise Fund Special Revenue Fund Project Fund Debt Service Fund

36 35 Village of Vinton, Texas Fiscal Year Debt Service Principal Payment, 4% Debt Service Interest Payment, 1% Expenditures- By Category Salaries & Fringe Benefits, 24% Capital Expenditures, 23% Operating Expenditures, 48% Salaries & Fringe Benefits Operating Expenditures Capital Expenditures Debt Service Principal Payment Debt Service Interest Payment Capital Projects 3% Expense by Function Enterprise 6% Police Department 0% Municipal Court 2% Planning & Zoning 1% Parks 2% Grants 21% Public Works 16% General Government 24% Community Outreach 2% Administration 22% Unreimbursed Grants 1% General Government Community Outreach Administration Unreimbursed Grants Library Public Works Parks Planning & Zoning Municipal Court Police Department Enterprise Grants Capital Projects

37 Village of Vinton, Texas Fiscal Year Project Fund PROJECT FUND (TAX NOTES) (04) Acct. & Item Annual YTD Remaining % PEOY Adopted 2015 FUND BALANCE/Transfer In 585, , , , , ,453 43, Interest Income % Proceeds From Tax Note % 0 0 Total Revenue 585, , , , , ,614 43, Tax Note Issuance Cost % Salaries - Capital Impr % Payroll Taxes - Capital Impr % Deferred Comp. Costs - Capital Impr % Employee Group Health Ins.- Cap. Impr % Equipment Lease/Rental -Cap.Impr % Financial Advisory Services % Legal Fees - Capital Improvement % Engineering Fees - Capital Impr % Survey/Appraisal Services - Capital Impr % Legal Notices - Capital Impr % Bank & CC Service Charges % Equipment Purchases - Capital Impr % Building Renovations - Capital Impr % Water System Development - Capital Impr % Municipal Park - Capital Improvement % Street improvements - Capital Impr % Multi-Purpose Center (Dev.) - Cap.Impr % Total Expense Net Revenue over Expense FY FY Fund Balance- Project Fund $ 448,453 $ 66,342 Revenue $ 133 $ 120 $ 448,586 $ 66,462 Total Revenue Total Expenses Project Fund (04) $ 382,244 $ 43,650 PROJECT FUND (04) Total Revenue Total Expenses $448,586 $382,244 Net Revenue $ 66,342 $ 22,812 $66,462 FY FY $43,650

38 37 Village of Vinton, Texas Fiscal Year Acct. & Item Revenue Enterprise Fund / Sanitation Services ENTERPRISE FUND- SANITATION (02) Annual YTD Remaining % PEOY 3 YR AVG. 3 YR AVG. Adopted Other Income % Collection Revenue % Interest Income % Sanitation Fees % Late Payment Fees % New Service/Reinstatement Fee % Administration Fee % Cash Over/Short % Transfer In % Late Payment Fees % Rental Income % Total Expense Salaries % Payroll Taxes % Deferred Compensation Costs % Employee Group Health Ins. - Enterprise % Workers Comp. Ins % General Supplies - Sanitation % Postage & Delivery (17.60%) Printing % Office Softw are/equipment % Collection Fees % Education & training % Lodging % Air Fare & Other Trans % Meals % Rental Car & Fuel % Mileage Reimbursement % Bank & CC Service Charges % Sanitation Payment - COGS % Bldg. Repairs & Maint. - Rentals % Bldg. Maint. Supplies - Rentals % Other Contractural Fees % Miscellaneous % Depreciation Expense - Rentals % Total Enterprise Fund (02) FY FY Fund Balance- Sanitation Fund $ 5,322 $ - Revenue $ 88,335 $ 98,820 Total Revenue $ 93,657 $ 98,820 Total Expenses $ 87,262 $ 98,822 ENTERPRISE FUND (02) Revenue Total Expenses $98,820 $98,822 $88,335 $87,262 Net Revenue $ 1,073 $ (2) FY FY 15-16

39 Village of Vinton, Texas Fiscal Year Special Revenue Fund The Special Revenue Fund allocates federal and state funds received for specific projects or programs developed to meet specific needs of the community. SPECIAL REVENUE FUND (03) Acct. & Item Annual YTD Remaining % PEOY Proposed Federal/State Grant Contracts 0 3, ,220 4, % 25, ,351 Total Revenue 0 3, ,220 4,345 25, , Salaries % Payroll Taxes % Deferred Compensation Costs % Employee Group Health Ins % Workers Comp. Ins % General Supplies % Postage & Delivery % Printing - Grants % Engineering Fees % Housing Grant Writing % Legal Notices - Grants % Spec.Prog. Grant (Bulk Waste) ,500 1, % 1, Transfer Out % Home Program Expenses 0 3, ,020 20, % 24, , Water / WW- Grant reimb % Muni.Park - Grant reimb % Capital Improvement-Other (Grants) % Park Improvements % 0 0 Total Expense 0 4, ,220 21,701 25, ,351 Special Revenue Fund (03) Total Revenue FY FY $ 25,835 $ 343,351 SPECIAL REVENUE FUND (03) Total Revenue Total Expenses $343,351 $343,351 Total Expenses $ 25,835 $ 343,351 Net Revenue $ 0 $ - $25,835 $25,835 FY FY 15-16

40 39 Village of Vinton, Texas Fiscal Year Debt Service Fund The Debt Service Fund is maintained to pay the principal and interest on the 2010 Tax Note. Monies collected through the I&S portion of the property taxes are reflected in this fund. DEBT SERVICE FUND (05) Acct. & Item Annual YTD Remaining % PEOY Proposed 2015 FUND BALANCE 9, * 2015 Property Taxes I&S 75, Property Taxes I&S 64,215 64, % 65,000 2, Property Taxes I & S 0 49,694 2,000 1, % 1, Property Taxes I & S 0 2,412 1, % Property Tax I & S 0 1,826 1, % Property Tax I & S (35.59%) Property Tax I&S (69.28%) Property Tax I&S % Property Tax I & S % Interest Income % Proceeds From Tax Note % 0 0 Total Revenue 0 54,501 68,375 66,934 68,268 87, Loan Interest % Bank & CC Service Charges % Loan Interest 0 23,022 24,216 11, % 13,269 23, Principle Payments 0 40,000 40, % 40,000 61,253 Total Expense 0 63,082 64,276 11,086 53,304 84,313 Net Revenue over Expense 0 (8,581) 4,099 55,847 14,964 3,099 FY FY Fund Balance- Capitalized Interest $ 3,448 $ 9,139 Total Revenue Total Expenses Debt Service Fund (05) $ 68,268 $ 78,273 $ 71,716 $ 87,412 $ 53,304 $ 84,313 DEBT SERVICE FUND (05) Total Revenue Total Expenses $87,412 $84,313 $71,716 $53,304 Net I/E $ 18,412 $ 3,099 FY FY 15-16

41 Village of Vinton, Texas Fiscal Year Salary Expense Detail The Village of Vinton has 9 full time employees and 1 part time employee. There is 1 full time position that is not filled. Position Summary Schedule Salaries Summary (based on monthly average) actual/#of months YTD *12= projected end of year. Wages General Administration Current Rate Year to date Regular year to date OT Total YTD Projected End of Year Projected Rate Projected Regular Projected Projected Total OT Administrator Deputy Village Clerk Acct & Analyst Media Specialist Purhcasing Specialist General Admin Total Building Inspector Municipal Court Clerk* Salaries Enterprise* Public Works Supervisor Assistant Assistant Public Works Total Law Enforcement Total Council Salaries SALARIES TOTAL Payroll Taxes General Administration Administrator $ 4,616 $ 7,750 $ 9,446 $ - $ 9,446 Admin. Assistant $ 1,795 $ 2,999 $ 3,726 $ 406 $ 4,132 Acct & Analyst $ 1,965 $ 3,381 $ 4,586 $ 417 $ 5,003 Media Specialist $ 1,661 $ 2,764 $ 3,407 $ 310 $ 3,717 Office Assistant $ 1,284 $ 2,151 $ 2,741 $ 249 $ 2,990 General Admin Total $ 11,320 $ 19,045 $ 23,906 $ 1,314 $ 25,220 Building Inspector $ 671 $ 1,127 $ 1,393 $ - $ 1,393 Municipal Court Clerk* $ 746 $ 1,236 $ 1,497 $ 136 $ 1,633 Salaries Enterprise* $ 746 $ 1,236 $ 1,497 $ 136 $ 1,633 Public Works Supervisor $ 2,480 $ 4,106 $ 5,145 $ - $ 5,145 Assistant $ 1,761 $ 2,963 $ 3,505 $ 319 $ 3,824 F/T Laborer $ 3,058 $ 278 $ 3,335 Public Works Total $ 4,240 $ 7,069 $ 11,708 $ 596 $ 12,304 Council Salaries $ 1,625 $ 2,451 $ 3,210 $ - $ 3,210 SALARIES TOTAL $ 21,384 $ 35,568 $ 52,927 $ 2,182 $ 55,109 8% 10%

42 41 Village of Vinton, Texas Fiscal Year The Village of Vinton provides its employees with a retirement program managed by Nationwide Retirement. The Village contributes 3% of earnings into an employees retirement plan when the employee choses to participate in the plan. Deferred Compensation General Administration Administrator $ 2,025 $ 2,906 $ 2,834 $ - $ 2,834 Admin. Assistant $ 785 $ 1,125 $ 1,118 $ 102 $ 1,219 Acct & Analyst $ 745 $ 1,268 $ 1,376 $ 125 $ 1,501 Media Specialist $ 724 $ 1,037 $ 1,022 $ 93 $ 1,115 Office Assistant $ 562 $ 807 $ 822 $ 75 $ 897 G.A. Def. Comp. Total $ 4,842 $ 7,142 $ 7,172 $ 394 $ 7,566 Municipal Court Clerk* $ 72 $ 464 $ 449 $ 41 $ 490 Salaries Enterprise* $ 72 $ 464 $ 449 $ 41 $ 490 Public Works Supervisor $ 972 $ 1,540 $ 1,544 $ - $ 1,544 Assistant $ 690 $ 1,111 $ 1,052 $ 96 $ 1,147 F/T Laborer $ 917 $ 83 $ 1,001 P.W. Def. Comp. Total $ 1,663 $ 2,651 $ 3,512 $ 179 $ 3,691 DEFERRED COMPENSATION TOTAL $ 7,596 $ 12,460 $ 14,497 $ 655 $ 15,152 3% 3% The Village of Vinton provide Employee Health coverage through Blue Cross and Blue Shield of Texas. The plan includes dental and life insurance. HEALTH INSURANCE General Administration Administrator $ 559 $ - $ 6,522 $ 621 $ 7,450 Admin. Assistant $ 358 $ - $ 4,233 $ 377 $ 4,522 Acct & Analyst $ 370 $ - $ 2,714 $ 381 $ 4,568 Media Specialist $ 396 $ 4,646 $ 428 $ 5,131 Office Assistant $ 366 $ 3,293 $ 377 $ 4,522 Gen. Admin. Health Ins. $ - $ 21,408 $ 26,193 Municipal Court Clerk* $ 179 $ - $ 1,612 $ 185 $ 2,214 Salaries Enterprise* $ 179 $ - $ 1,612 $ 185 $ 2,220 Public Works Supervisor $ 582 $ - $ 6,786 $ 652 $ 7,819 Assistant $ 901 $ - $ 10,484 $ 1,036 $ 12,433 F/T Laborer $ 571 $ - $ 656 $ 7,360 P.W. Health Ins. Total $ - $ 17,270 $ 27,612 HEALTH INSURANCE TOTAL $ - $ 51,772 $ 75,545 Workman s Compensation Insurance is provide the Texas Municipal League, Intergovernmental Risk Pool WORKMAN'S COMP General Adminsitration Administrator Admin. Assistant Acct & Analyst Media Specialist Office Assistant G.A. Work. Comp. Total Building Inspector Municipal Court Clerk* Salaries Enterprise* Public Works Supervisor 4,241 3, ,384 Assistant 3,061 2, ,566 F/T Laborer 9 2, ,259 P.W. Work. Comp. Total 7,311 7, ,209 Volunteers Work. Comp. Total 1, City Council Work. Comp. Total WORKMAN'S COMP. TOTAL $ - 11,517 12, ,692 TOTAL SALARY EXPENSES $ 709,590

43 Village of Vinton, Texas Fiscal Year Capital Improvement Plan (CIP) The Capital Improvement Plan (CIP) is a five year financial plan designed to create, support, maintain and finance Vinton s present and future need. The CIP outlines project costs, funding sources and estimated future costs associated with each project. The plan is designed to ensure that improvements will be made when and where they are needed and that the City will have the funds to pay for and maintain them. Capital Projects are defined as : (1) one-time projects; (2) not maintenance related; (3) having assets of significant value; (4) generally of $50,000; (5) with a n expected useful life of a t least five years. The CIP should be update annually to ensure that it addresses new and changing priorities within the City. THE CIP is a Plan. As such, projects are subject to change based on new or shifting service needs, special financing opportunities, emergency needs, or to the directives established by the Mayor and Council. Projects included in outward planning years are reviewed and updated during an annual planning process. Capital Improvement Projects may consist of street projects, water and wastewater infrastructure, parks and recreation facilities, land beautification projects and drainage. The City should expend a great deal of effort of reviewing and updating this plan to ensure not only that critical needs are met but also that the cost, scope and timing of projects are coordinated. The effective use of the CIP process provides for project identification, planning, evaluation, scope, design and financial planning. CIP projects are designed to address and prevent the deterioration of the existing infrastructure and anticipate the future growth. For Fiscal Year 2014, capital projects total $3,943, The plan took into consideration all known capital improvement needs, while utilizing available revenue sources to those needs.