First Public Budget Hearing September 12, 2012

Transcription

1 First Public Budget Hearing September 12, 2012

2 2 Agenda Staff Presentation Budget adoption procedure (City Attorney) Resolution : Non-Ad Valorem Special Assessment for Fire Services Resolution : Non-Ad Valorem Special Assessment for Solid Waste Collection Services Discuss Millage Increase Over Rolled-Back Rate Resolution : Establish a Tentative Millage Rate Ordinance : Annual Operating Budget and Capital Improvement Program 2

3 3 FY 2012 Year-End Projections General Fund Fire Fund Water and Sewer Fund

4 FY 2012 Year-End Projection Departmental Expenditures FY 2012 FY 2012 Projection Adopted Year-End as a % of Expenditures Budget Projection Budget Departmental City Commission $298,557 $291, % City Manager's Office 2,798,851 2,738, % Human Resources 1,331,306 1,306, % Development Services 6,194,592 5,889, % Financial Services 2,648,151 2,598, % Information Services 2,670,743 2,650, % City Attorney's Office 845, , % Police 46,823,819 45,598, % Emergency Medical Services 8,732,233 8,732, % Public Works 4,139,665 4,014, % Parks & Recreation 9,403,387 9,228, % Aquatics 2,382,255 2,382, % Sportsplex 1,668,046 1,618, % Sub-total Departmental 89,936,725 87,869, % Sub-total Non-Departmental 8,036,586 7,255, % 4 Grand Total Expenditures $97,973,311 $95,124, % Revenues Expenditures $1.352M Shortfall $2.849M Surplus $1,497,000 Estimated year-end surplus As of August 31, 2012

5 FY 2012 Fire Fund Year-End Projection FY 2012 FY 2012 Projection Adopted Year-End As a % of Budget Projection Budget Expenditures Departmental - Fire Administration $569,027 $554, % Communications 121, , % Suppression 11,256,620 11,256, % Training 1,133,259 1,033, % Inspection 1,155,572 1,155, % Sub-total Departmental 14,235,876 14,120, % 5 Sub-total Non-Departmental 2,334,077 2,296, % Grand Total Expenditures $16,569,953 $16,417, % Revenues Expenditures $0.103M Shortfall $0.153M Surplus $50,000 Estimated year-end surplus As of August 31, 2012

6 FY 2012 Water and Sewer Fund Year-End Projection 6 FY 2012 FY 2012 Projection Adopted Year-End As a % of Expenses Budget Projection Budget Departmental Administration $578,626 $558, % Water Distribution 883, , % Water Treatment 2,689,407 2,439, % Wastewater Collection 1,131,592 1,088, % Sub-Total Departmental 5,283,324 4,952, % Sub-total Other Expenses 15,730,288 15,130, % Grand Total Expenses $21,013,612 $20,082, % Revenues $0.012M Surplus Expenses $0.931M Surplus $943,000 Estimated year-end surplus As of August 31, 2012

7 7 FY 2013 Business Plan Highlights

8 8 FY 2013 Budget Highlights Proposed millage rate for TRIM (Truth in Millage) purposes Increase from the current millage rate of $ by 4% to $ This will be considered a 5.63% tax increase The average single-family homeowner will pay $42.62 additional property taxes The Proposed FY 2013 General Fund budget is less than 1%, higher than the FY 2012 budget. No change in user fees

9 9 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

10 10 FY 2013 Fire Fund

11 11 FY 2013 Proposed Fire Fund Budget FY 2012 FY 2013 $ % Adopted Proposed Change From Change From Budget Budget FY12 Budget FY12 Budget Expenditures: Departmental Administration $569,027 $565,704 ($3,323) -0.58% Communication Service 121, ,652 1, % Suppression 11,256,620 11,794, , % Training 1,133,259 1,141,198 7, % Inspection 1,155,572 1,180,131 24, % Sub-total Departmental 14,235,876 14,803, , % Sub-total Non-Departmental 2,334,077 2,524, , % Grand Total - Expenditures $16,569,953 $17,327,884 $757, %

12 12 FY 2013 Fire Assessment Fees Use Category FY 2012 Fee FY 2013 Fee Increase/ Decrease ($) Increase/ Decrease (%) Single-family $ per unit Multi-family $ per unit Commercial $17.65 per 100 sq ft* $ $ % $ $ % $17.61 ($0.04) -0.23% Industrial, Warehouse Institutional, Government $2.45 per 100 sq ft* $22.33 per 100 sq ft* *up to 400,000 sq ft $2.58 $ % $22.95 $ %

13 $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ Pembroke Pines Miramar Hollywood Sunrise Coral Springs Deerfield Beach Ft Lauderdale Davie Tamarac $360 $320 $280 $240 $200 $160 $120 $80 $40 $0 Fire Assessment Fee One of Lowest In Area FY 2012 Proposed FY 2013 Coral Springs *The Plantation City Commission is considering implementing a Fire Assessment Fee. 13

14 14 FY 2013 General Fund

15 FY 2013 Proposed General Fund Budget FY 2012 FY 2013 $ % Adopted Proposed Change FromChange From Expenditures: Budget Budget FY12 Budget FY12 Budget Departmental City Commission $298,557 $323,618 $25, % City Manager (MBO/C&M/CC) 2,798,851 2,945, , % 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 (Adm/Engr) 462, , , % Community Development 1,361,025 1,456,254 95, % Building 2,587,960 2,550,192 (37,768) 1.46% Code Enforcement 1,783,438 1,805,460 22, % Police 46,823,819 44,286,871 (2,536,948) 5.42% Emergency Medical Services 8,732,233 8,875, , % Public Works 4,139,665 4,324, , % Parks & Recreation 9,403,387 9,860, , % 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 88,754,605 (1,182,120) 1.31% 15 Total Non Departmental 8,036,586 10,049,677 2,013, % Grand Total Expenditures $97,973,311 $98,804,282 $830, %

16 16 FY 2013 Budget Includes Initiatives To Benefit Community Business Development and Redevelopment Citizen Involvement in Local Government Community Pride Revitalize Community Infrastructure Maintain a Safe Community Park and Median Improvements

17 17 The City Will Have Fewer Full-Time 800 Employees Than in 2007 # of Budgeted Positions Proposed 700 FY 2007 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 FY 2013

18 Recommended Staffing Changes - All Funds Position Title Number of Positions Fund Firefighter/Paramedic 3 Fire Senior Office Assistant 1 Fire Park Technician 3 General Park Maintenance Worker 1 General Code Enforcement 2 General Sub-Total 10 Law Enforcement Officer* 3 General Litter Removal Full-Time* 1 General Net New Positions *Positions are dependent on 4% Ad Valorem increase

19 Change in General Fund FY 2012 FY 2013 Budget to Budget 19 Dollar Change Percentage Difference Salaries $186, % Benefits -$2,548, % Operating $1,180, % Non-Departmental $2,013, % Total $830, %

20 Change in Operating Expenses General Fund FY 2012 FY Largest Items Other contractual services (e.g., street sweeping, mowing, community bus, bldg. inspection transaction survey, school crossing guards, branding study implementation) Increase $248,000 Consulting services (e.g., solid waste/recycling $235,000 proposal*, Waste Management audit, armored car) * Cost offset by revenue EMS Transport collection fee* $84,750 Park maintenance supplies $52,950 Police service contracts (park security cameras, range contract) $40,100 * Cost offset by revenue

21 Change in Operating Expenses General Fund FY 2012 FY 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

22 Change in Non-Departmental Expenses General Fund FY 2012 FY Largest Items Increase Use of debt service reserve $1,250,000 Operating capital (History museum maintenance, CC agenda software module, firing range repairs, Sartory Hall improvements, Patrol vehicles, BEAR Unit equipment, Downtown planning, Aquatics entrance plaza, Safety Town improvements) $594, th Anniversary* $125,000 Fire fee subsidy for churches, schools, and city $65,120 property Property/casualty insurance premium $52,167 Election expenses $35,524 *Offset by $100,000 in sponsorship revenue

23 $ Millions $4.5 $4.0 $3.5 $3.0 $2.5 $2.0 $1.5 $1.0 $0.5 $0.0 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 23

24 Percentage Change in Total 24 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%

25 25 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.

26 General Fund Operating 26 Proposed Property Tax FY 2013 General Fund Adopt a 4% millage increase ($4.5697) City Commission proposed a 4% increase at its July 24 Workshop represents a 5.63% tax increase will produce $1,247,563 in additional revenue Current millage rate ($4.3939) will produce $480,000 more revenue than the RBR represents a 1.63% tax increase Rolled-Back Rate ($4.3260)

27 27 Average Ad Valorem Taxes $900 $800 $700 $600 $500 $400 $300 $200 $100 $0 $841 $781 $807 $752 $765 $705 $710 $426 $435 $398 $263 $153 $154 $168 FY 2007 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 FY 2013 Average single-family home Average condominium

28 Operating Millage Rate One of Lowest in County 28 $ $ $ $ $ $ $ $ $ $ $ $ $ FY 2012 FY 2013 Proposed $ $ $ $ $ $ $ $ $ $ $ $ Coral Springs $ $ $ $ $ $ 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.

29 How Much of Your Tax Bill Goes to the City? (FY 2012) 29 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%

30 Where the Money Comes From License/Permits/ Reserves/Misc. 10.4% (General Fund) Fines 2.0% Inter-Governmental 19.9% e.g., sales tax, gas tax, communication service tax, E911 revenue 30 Property Taxes 32.8% Fees for Service 12.7% Utility Service Tax 10.3% Franchise Fees/ Solid Waste Assessment 11.9%

31 Spending Aligned With Customer Parks & Recreation 14.1% Needs & Expectations CMO/CC 3.3% HR/CAO 2.2% FY 2013 General Fund 31 Development Services 6.4% Police 44.8% Financial Services 2.6% IS 3.0% Public Works 4.4% Public Safety = 53.8% Non-Departmental 10.2% EMS 9.0%

32 FY 2013 General Fund 32 Revenue Drivers Will use less reserves $2,000,000; Forfeiture Fund for SRO salaries $600,000 Building permits ($400,000), Court fines ($50,000) and interest income ($75,000) will also decline E911 revenue ($130,000) which is used to fund the emergency dispatch center will decline Expecting limited growth in intergovernmental revenues e.g., half-cent sales tax, local option gas tax, bus fare revenue Loss of revenue offset by increases in EMS transport revenue, electric utility service tax, solid waste franchise and assessment revenue, and property tax revenue.

33 Property Tax Revenue Eroded 33 by Tax Relief and the Recession $40 $35 $30 Phase I of Property Tax Relief $35.41 Phase II of Property Tax Relief $33.74 $31.95 $31.38 $31.51 $4.24 million less since 2007 $31.17 Millions $25 $20 $ millage rate $ millage rate $ millage rate $ millage rate $ millage rate $ millage rate $15 $10 Actual Actual Actual Actual Actual Y-E Estimate FY 2007 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012

34 Revenue Affected By 34 Slow Recovery $8.00 $7.00 $6.00 $7.64 $7.81 $7.30 $6.85 $7.10 $6.83 $ Millions $5.00 $4.00 $3.00 $2.00 $1.00 $5.80 $5.50 $3.35 $3.35 $2.61 $2.00 $2.30 $2.10 $1.23 $1.18 $0.65 $0.30 $0.70 $0.59 $0.00 Electric Utility Electric Franchise Sales Tax Comm Service Tax Shared Revenue Building Permits Gas Tax Business Licenses Interest Income Court Fines FY 2012 Budget FY 2012 Y-E Estimate* *Preliminary Estimate as of August 31

35 35 Property Tax Constitutional Amendments on 2012 Ballot Proposed Amendment Estimated Loss in Property Tax Revenue #2 Homestead discount for disabled veterans Unknown #4 Property tax limitations No increase in assessment if just value declines Reduce to 5% the cap limitation on nonhomesteaded assessments Additional homestead exemption for new homeowner #9 Exemption for surviving spouse of first responder or veteran killed in the line of duty $500,000 Unknown

36 36 Property Tax Constitutional Amendments on 2012 Ballot Proposed Amendment #10 Double tangible personal property tax exemption #11 Additional exemption for low-income senior citizen who has lived in current residence for at least 25 years Trickle-down effect: #3 State government revenue limitation (revenue increases limited to calculation based on CPI and population change) Estimated Loss in Property Tax Revenue $25,000 $0

37 37 FY 2013 Budget Challenges Legislation Affecting Revenue Approximately $200,000 Communications Service Tax Technical changes Business Tax Real estate agents/brokers exempt

38 Potential Projects (1 of 2) 38 Initiative Estimated Cost Reduce Use of Reserves $250,000 - $500,000 University/Cardinal or Atlantic Entryway Construction $350,000 Design, engineering, permitting for above $75,000 Add 3 F/T Police Officers $230,000 Vehicles for 3 new LEO s $110,000 BEAR Unit Equipment $80,000 Neighborhood Park repairs, upgrades, improvements $150,000 Replace police uniforms $125,000 Sartory Hall renovation $100,000 Litter removal crew equipment $95,000 Litter removal crew (salaries and benefits) $90,000

39 Potential Projects (2 of 2) 39 Initiative Estimated Cost Renovate Cypress/Mullins ball fields $75,000 Safety Town architectural and engineering design $50,000 Coral Hills Drive sidewalk and drainage design $50,000 Westchester drainage study and master plan $50,000 Implement Branding Study Recommendations $40,000 Aquatics Complex Entrance Plaza $40,000 Mullins Park drainage (east of Volunteer Services Bldg) $25,000 Wiles Road west end terminus beautification study and $25,000 design

40 Property Tax Scenarios 40 FY 2013 General Fund % Above Current Millage 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% $1,247,563 $ % $31 Average single-family homeowner will experience an $11.62 increase if no change in millage rate

41 Other Taxing Authorities 41 within Coral Springs Taxing Authority Proposed Change Broward County Operating $ $ $ % increase Debt ( ) School Board SFWMD 5.12% increase District ( ) Basin ( ) Everglades CP ( ) Hospital District Children s Services Inland Navigation Total Mills $ $ $ Impact on Average Coral Springs Resident $ % increase 0.27% overall increase

42 Impact on Average 42 Single-Family Homeowner Adopt Operating Millage Fire Assessment Fee Debt Service Millage Solid Waste Assessment Current Rate 1% 2% 3% 4% $11.62 $19.62 $27.62 $34.62 $42.62 $9.33 $9.33 $9.33 $9.33 $9.33 ($0.16) ($0.16) ($0.16) ($0.16) ($0.16) ($6.48) ($6.48) ($6.48) ($6.48) ($6.48) Total Impact $14.31 $22.31 $30.31 $37.31 $45.31

43 43 Budget Calendar Date Meeting Sept 18 Second Public Hearing (7:00 pm) Budget Adoption Oct.1st Fiscal Year 2013 Begins

44 Thank You 44