FY Proposed Budget

Transcription

1 FY Proposed Budget Responsible Restoration 1 Setting the Standard for Performance Excellence in Local Government

2 A Culture of Continuous Improvement 18 Years of Building upon a Quality Foundation Leadership Academy

3 Budgeting Year Around Lean Sigma, 73 Projects Completed 3

4 Positions Permanently Eliminated As many as 140 positions frozen at height of recession, with several later permanently eliminated from the budget Nine Positions Still Currently Frozen 0 1 FY FY FY

5 FY Proposed Budget General Fund 5

6 General Fund Revenue Highlights Property Tax $15,202,651 25% Franchises $10,134,188 16% Sales and Use Tax $25,055,198 41% Fines & Fees, $7,075,000 12% Other $4,043,990 7% Still Funded Predominantly by 1% Sales Tax 6

7 Sales Tax Collections $26,000,000 $24,000,000 $22,000,000 Projected 3% Growth $20,000,000 $18,000,000 $16,000,000 $14,000,000 $12,000,000 $17,165,695 $18,827,285 $20,263,478 $22,006,576 $23,154,848 $24,858,943 $23,471,623 $22,314,820 $22,849,738 $23,392,401 $24,325,435 $25,055,198 $10,000,000 7

8 Property Tax as % of General Fund Revenue 29.00% 28.00% 27.00% 26.00% 25.00% 24.00% 23.00% 22.00% 21.00% Tax Year * 8 *Without 1 cent rate increase

9 Percent Change in Taxable Values 12% 10% 8% At New Values 1 Cent = $691,030 6% 4% 7.0% 9.5% 10.3% 7.0% 2% -2% 1.9% 2.5% 1.6% 1.0% 0% FY FY FY FY FY FY FY FY FY % 9

10 $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ Proposed $ $ $ Tyler s Historical Tax Rate $0.60 $0.50 $0.40 $0.30 $0.20 $0.10 $0.00 Operation & Maintenance Debt Service 10

11 14,048,079 12,052,507 11,734,756 9,718,544 9,773,079 10,202,005 10,370,865 10,495,402 10,924,880 11,698,410 11,909,913 12,228,626 12,015,978 13,181,061 13,434,088 13,686,546 13,853,146 14,010,487 15,202,651 Historical Property Tax Collections $20,000,000 $18,000,000 $16,000,000 $14,000,000 $12,000,000 $10,000,000 $8,000,000 $6,000,000 $4,000,000 $2,000,000 Tax Year $

12 Overlapping Tax Rate $2.50 $2.00 $1.50 $1.00 $0.50 $0.00 City of Tyler Tyler Junior College Smith County Tyler ISD 12

13 Tax Rate Comparison to Benchmark Cities $0.80 $0.70 $0.60 $0.50 $0.40 $0.30 $0.20 $0.10 *Denotes Cities with One-Half Cent Sales Tax Tyler* Round Rock McAllen Lewisville Lubbock* Frisco* Midland* Plano Odessa* Richardson Carrollton Wichita Falls* Denton Waco Killeen 13

14 Why the need for a tax rate increase? City s fund balance reserves or savings continue to fund recurring items rather than use current revenue to fund current expenditures Need to properly fund deferred maintenance, staffing and equipment on a pay-as-you-go basis Looming increases in healthcare funding due to inflation and Affordable Healthcare Act Property tax revenue continues to decrease as a % of total budget result is lack of funding diversification 14

15 Sampling of Underfunded Items Under Funded Items FY FY FY Fire Trucks 542, , ,579 Seal Coat 350, , ,875 Traffic Signal Improvements 180, , ,450 Early Warning Siren 50,000 50,000 50,000 Fire House Software Paid by 911. Included in figure below. Included in figure below. Police One Source Solution 158, , ,483 S. Police Substation Oper. - 72,178 74,343 Coban Lease Payments 227, ,583 - Glass Equip. Replacement 33,000 33,990 35,010 Ball Field Equip. Replacement 15,000 15,000 15,000 Total 1,556,162 1,870,313 1,673,740 Proposed 1.2 cent tax rate increase* 849, , ,415 Remaining Underfunded 706, , ,325 *Assumes 2.5% growth. 15

16 General Fund Fee Adjustments Library Non-resident charges Membership - from $25 to $50/6 months Transaction fee from 50 cents to $1 Increase in overdue charges Glass Recreation Center Membership from $15 to $30/yr Non-resident membership from $15 to $50/yr Alarm Permits from $30 every 2 years to $50/yr 16

17 General Fund Expenditures Overall, a 4.5% increase in proposed expenditures, of which 2.6% (or $1,507,172) is related to public safety. Police $24,540,964 40% Fire $15,718,614 26% Outside Agencies & Non. Dept. $4,534,505 7% Public Srvs/Works $5,301,693 9% Parks, Rec & Library $5,248,394 9% Municipal Court $1,623,715 3% Gen Gov't $3,438,894 6% 17

18 General Capital Project Fund Highlights Traffic Mgmt. $180,000 17% Street Maint $398,916 37% Coban Lease Purchase $327,583 31% Park Improvements $148,000 14% Other $13,000 1% 18

19 FY Proposed Budget Other Funds 19

20 Utility Fund A 5% rate increase for sewer service driven primarily by capital improvement needs funded on pay-as-you-go basis. Major plant, sewer collection, water distribution and drainage improvements. Repurposing of existing frozen positions for utility repair/maintenance crew and lift station repairman; restore frozen storm water equipment operator. Industry Growth Initiative (IGI) projects. 20

21 Residential Monthly Bill Comparison Water Sewer On 10,000 gallons. Carrollton Tyler (Current) Tyler (Proposed) Brownsville Longview Allen College Station Pearland Richardson Killeen Waco Mesquite McKinney Round Rock Denton $31.91 $33.09 $33.09 $27.94 $30.15 $34.58 $32.83 $38.38 $44.30 $36.06 $40.40 $48.55 $43.79 $42.78 $48.45 $25.83 $26.50 $27.85 $40.91 $40.91 $38.81 $41.37 $38.65 $33.90 $44.04 $41.90 $37.30 $44.99 $48.78 $

22 Solid Waste Fund No rate increases. Improved sales. Continued incremental conversion to CNG trucks. Paint recycling day. Move 1% solid waste franchise fee to General Fund to help maintain streets. 22

23 Development Services Fund Improved funding due to increase in construction activity. Implementation of new program for billboard annual permit renewal and inspections (January). 50% reduction in General Fund, Utility Fund and Solid Waste Fund subsidies. Fill frozen building inspector position. 23

24 Airport Fund Improved revenue due to more enplanements. New rental car facility with wash bay anticipated to come on line in October, Improvements include fingerprinting machine and updates to security access control. 24

25 Hotel Occupancy Tax Fund & Tourism Fund 7% HOT Rose Garden Center repairs/improvements. Harvey parking lot repairs. Stewart Park Phase I (House & Pond). Temporary employee for Goodman Museum. 2% HOT Continuation of Phase II predevelopment work for conference center/hotel project. 25

26 Fair Plaza Fund Temporary pilot trolley service for Downtown, partially reimbursed by federal funding. Maintenance of Fair Foundation Bldg. Initial parking garage operating revenue and expenses. 26

27 Transit Fund Temporary pilot trolley service for Downtown, funded via Fair Plaza Fund transfer. RFP for new paratransit services contract. Complete bus shelter installations. 27

28 Technology Fund/PEG Fund New early warning siren. Public safety software upgrade. IT Security and intrusion prevention services/ equipment. City U studio/classroom space. 28

29 FY Proposed Budget Personnel All Funds 29

30 Current RFT Staffing Actual Positions Filled Utility Crew (4) Lift St. Oper. Brick St. Crewmember Storm Water Equip. Oper. Building Inspector Grants Coordinator Gang Officer PLUS: Proposed Repurposing of Ten Existing Positions Adoption of the Blueprint in Transit Taken In-House, Opening of New Fire Station, Etc. Recession FY FY FY FY FY FY July, 2013

31 Historical Pay for Performance Adjustments - Maximum 7% 6% 5% 4% 3% 2% 2.0% 1% 0% FY % FY % FY % 4.0% 4.0% FY FY FY Lump Sum Only 2.0% 2.0% FY FY Net increase of 1% After reinstatement of federal payroll taxes. * 0.0% FY % * 1.0% FY * Proposed 4.0% FY *Increases to employee share of healthcare premiums and caps on City s contribution for over 65 retirees implemented. 31

32 Pay/Benefit Adjustments All Funds Pay Adjustments - beginning October 1st Civilian Productivity Pay 0 to 4% Civil Service 4% Department Leader Productivity Pay 0 to 3% Benefit Adjustments - January 1 st Buy Up Health Insurance Plan a $62 to $138 increase/m to premiums for employees/retirees, depending on coverage Generic Prescription Drugs increase from $3 to $8 Additional Limited Plan Design Changes 32

33 Budget Calendar Tri-Annual Forecast Reviews January thru April Submittal & review of departmental budget requests May/June Compilation of Proposed Budget July Initial Budget Presentation August 14 th Public Hearing August 28 th Public Hearing September 11 th Adoption September 25 th 33

34 FY Proposed Budget Responsible Restoration 34 Setting the Standard for Performance Excellence in Local Government