ALL FUNDS RECOGNIZED IN BUDGET ORDINANCE ITEM 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget GOVERNMENTAL FUND General Fund Property Taxes $ 20,189,267 $ 20,076,100 $ 20,091,190 $ 19,819,670 Motor Vehicle Property Taxes 1,864,143 829,000 1,841,061 1,481,210 Other Taxes 7,209,823 6,053,040 7,227,790 6,193,320 Intergovernmental 7,462,882 5,785,680 7,092,730 5,753,460 Sales/Charges for Services 5,974,218 5,703,900 6,232,393 5,840,960 Licenses, Permits, Etc. 1,258,998 502,630 609,320 1,234,830 Assessments 43,705 27,500 46,660 30,500 Miscellaneous Income 647,400 461,200 187,860 39,580 Investment Income 109,727 125,100 148,970 125,100 Proceeds from Debt Issuance 100,000 690,000 0 0 Interfund Transfers 3,403,470 3,390,510 3,390,510 3,406,750 Total Revenues $ 48,263,633 $ 43,644,660 $ 46,868,484 $ 43,925,380 Total Expenditures $ 44,922,702 $ 49,718,336 $ 47,884,092 $ 47,876,610 Revenues over/(under) expenditures $ 3,340,931 $ (6,073,676) $ (1,015,608) $ (3,951,230) PROPRIETARY FUNDS Electric Fund Sales/Charges for Services $ 146,012,722 $ 128,312,410 $ 129,339,302 $ 124,634,070 Miscellaneous Income 1,038,192 1,002,300 81,792 852,300 Investment Income 136,954 30,000 138,269 50,000 Interfund Transfers 275,944 0 0 0 Total Revenues $ 147,463,812 $ 129,344,710 $ 129,559,363 $ 125,536,370 Total Expenditures $ 147,988,469 $ 137,245,356 $ 125,991,089 $ 125,536,370 Revenues over/(under) expenditures $ (524,657) $ (7,900,646) $ 3,568,274 $ 0 Gas Fund Sales/Charges for Services $ 18,969,005 $ 18,718,100 $ 14,702,619 $ 18,845,400 Miscellaneous Income 27,817 19,000 37,387 9,000 Investment Income 39,652 0 36,815 0 Interfund Loan Repayment 100,000 0 100,000 0 Total Revenues $ 19,136,474 $ 18,737,100 $ 14,876,821 $ 18,854,400 Total Expenditures $ 18,914,030 $ 19,273,047 $ 17,088,584 $ 19,728,410 Revenues over/(under) expenditures $ 222,444 $ (535,947) $ (2,211,763) $ (874,010) 29
ALL FUNDS RECOGNIZED IN BUDGET ORDINANCE ITEM 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Water Resources Fund Sales/Charges for Services $ 23,039,820 $ 24,110,910 $ 23,685,037 $ 25,344,270 Miscellaneous Income 280,755 318,270 117,889 436,920 Investment Income 44,085 0 37,737 0 Interfund Transfers 19,072 0 0 1,214,000 Total Revenues $ 23,383,732 $ 24,429,180 $ 23,840,663 $ 26,995,190 Total Expenditures $ 23,968,144 $ 25,158,334 $ 23,232,773 $ 27,925,630 Revenues over/(under) expenditures $ (584,412) $ (729,154) $ 607,890 $ (930,440) Broadband Fund Sales/Charges for Services $ 12,910,555 $ 13,633,110 $ 13,659,771 $ 14,451,110 Miscellaneous Income 471,919 401,280 310,158 467,430 Investment Income 7,917 0 10,235 10,000 Total Revenues $ 13,390,391 $ 14,034,390 $ 13,980,164 $ 14,928,540 Total Expenditures $ 13,370,105 $ 14,036,206 $ 13,958,639 $ 14,928,540 Revenues over/(under) expenditures $ 20,286 $ (1,816) $ 21,525 $ 0 Mass Transit Fund Intergovernmental $ 659,067 $ 915,900 $ 660,310 $ 1,019,310 Licenses, Permits, Etc. 0 0 0 180,000 Sales/Charges for Services 73,419 84,200 84,500 84,200 Miscellaneous Income 5,677 6,000 6,050 6,000 Investment Income 2,699 1,350 2,970 1,350 Interfund Transfers 385,970 413,970 413,970 277,500 Total Revenues $ 1,126,832 $ 1,421,420 $ 1,167,800 $ 1,568,360 Total Expenditures $ 1,194,368 $ 1,796,782 $ 1,213,690 $ 1,879,380 Revenues over/(under) expenditures $ (67,536) $ (375,362) $ (45,890) $ (311,020) Industrial Air Center Fund Sales/Charges for Services $ 25,737 $ 23,000 $ 26,000 $ 23,000 Miscellaneous Income 43,264 0 1,745 0 Investment Income 1,749 0 1,800 0 Interfund Transfers 54,880 54,880 54,880 118,000 Total Revenues $ 125,630 $ 77,880 $ 84,425 $ 141,000 Total Expenditures $ 123,236 $ 219,995 $ 181,791 $ 409,060 Revenues over/(under) expenditures $ 2,394 $ (142,115) $ (97,366) $ (268,060) 30
ALL FUNDS RECOGNIZED IN BUDGET ORDINANCE ITEM 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Stormwater Management Fund Sales/Charges for Services $ 2,703,977 $ 2,607,000 $ 2,709,219 $ 3,077,010 Miscellaneous Income (4,374) 8,000 7,234 8,000 Investment Income 10,282 0 3,949 0 Total Revenues $ 2,709,885 $ 2,615,000 $ 2,720,402 $ 3,085,010 Total Expenditures $ 4,036,266 $ 2,978,200 $ 3,104,600 $ 3,085,010 Revenues over/(under) expenditures $ (1,326,381) $ (363,200) $ (384,198) $ 0 Water Resources Capital Reserve Fund Interfund Transfers $ 864,970 $ 0 $ 362,900 $ 0 Investment Income 9,809 0 11,000 0 Total Revenues $ 874,779 $ 0 $ 373,900 $ 0 Total Expenditures $ 0 $ 0 $ 0 $ 1,214,000 Revenues over/(under) expenditues $ 874,779 $ 0 $ 373,900 $ (1,214,000) SPECIAL REVENUE FUND Community Development Fund Miscellaneous Income $ 115,061 $ 13,000 $ 19,750 $ 13,000 Investment Income 974 0 1,100 0 Interfund Transfers 112,626 112,000 112,000 112,000 Total Revenues $ 228,661 $ 125,000 $ 132,850 $ 125,000 Total Expenditures $ 122,314 $ 126,090 $ 101,640 $ 125,940 Revenues over/(under) expenditures $ 106,347 $ (1,090) $ 31,210 $ (940) COMPONENT UNITS Downtown Development Corporation Property Taxes $ 70,365 $ 75,670 $ 68,750 $ 65,020 Motor Vehicle Property Taxes 2,054 0 1,765 0 Intergovernmental 20,750 26,250 15,750 15,750 Miscellaneous Income 62,994 59,000 50,275 38,790 Investment Income 1,035 0 600 0 Interfund Transfers 255,000 255,000 255,000 255,000 Total Revenues $ 412,198 $ 415,920 $ 392,140 $ 374,560 Total Expenditures $ 450,606 $ 505,161 $ 499,334 $ 374,560 Revenues over/(under) expenditures $ (38,408) $ (89,241) $ (107,194) $ 0 Wilson Cemetery Commission Sales/Charges for Services $ 400,734 $ 493,000 $ 403,800 $ 491,000 Miscellaneous Income 5,748 9,000 7,300 10,000 Investment Income 1,149 0 0 0 Total Revenues $ 407,631 $ 502,000 $ 411,100 $ 501,000 Total Expenditures $ 471,192 $ 560,300 $ 504,395 $ 528,350 Revenues over/(under) expenditures $ (63,561) $ (58,300) $ (93,295) $ (27,350) 31
ALL FUNDS RECOGNIZED IN INTERNAL SERVICE FUNDS SPENDING PLANS ITEM 2014-15 Actual INTERNAL SERVICE FUNDS Operations Center Fund Sales/Charges for Services 1,015,505 2015-16 Budget 2015-16 Estimated 2016-17 Budget $ $ 1,820,710 $ 2,003,176 $ 1,157,450 Investment Income 9,401 0 10,200 0 Total Revenues $ 1,024,906 $ 1,820,710 $ 2,013,376 $ 1,157,450 Total Expenditures $ 1,237,455 $ 1,866,895 $ 1,828,891 $ 1,187,450 Revenues over/(under) expenditures $ (212,549) $ (46,185) $ 184,485 $ (30,000) Risk Management Fund Sales/Charges for Services $ 2,619,910 $ 2,724,750 $ 2,724,750 $ 3,129,330 Miscellaneous Income 85,903 0 141,780 0 Investment Income 21,239 0 22,000 0 Total Revenues $ 2,727,052 $ 2,724,750 $ 2,888,530 $ 3,129,330 Total Expenditures $ 2,795,419 $ 2,724,750 $ 2,797,622 $ 3,129,550 Revenues over/(under) expenditures $ (68,367) $ 0 $ 90,908 $ (220) Group Insurance Benefits Fund Sales/Charges for Services $ 11,449,818 $ 11,859,090 $ 12,069,183 $ 12,382,950 Miscellaneous Income 673,495 0 180,240 0 Investment Income 34,844 0 30,720 0 Total Revenues $ 12,158,157 $ 11,859,090 $ 12,280,143 $ 12,382,950 Total Expenditures $ 11,560,560 $ 12,715,750 $ 12,404,937 $ 12,957,300 Revenues over/(under) expenditures $ 597,597 $ (856,660) $ (124,794) $ (574,350) 32
BUDGET SUMMARY ALL FUNDS 2016-2017 ITEM 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Funding Sources Property Taxes $ 20,259,632 $ 20,151,770 $ 20,159,940 $ 19,884,690 Motor Vehicle Property Taxes 1,866,197 829,000 1,842,826 1,481,210 Other Taxes 7,209,823 6,053,040 7,227,790 6,193,320 Intergovernmental 8,142,699 6,727,830 7,768,790 6,788,520 Sales/Charges for Services 225,195,420 210,090,180 207,639,750 209,460,750 Licenses and Permits 1,258,998 502,630 609,320 1,414,830 Assessments 43,705 27,500 46,660 30,500 Investment Income 453,744 156,450 478,265 186,450 Miscellaneous 3,453,851 2,297,050 1,149,460 1,881,020 Proceeds from Debt Issuance/Refunding 100,000 690,000 0 0 Interfund Loan Repayment 100,000 0 100,000 0 Transfers from Other Funds 5,571,932 4,226,360 4,789,260 5,383,250 Total Revenues and Other Financing Sources 273,656,001 251,751,810 251,812,061 252,704,540 Beginning Fund Balance Available 63,280,948 63,242,907 63,242,907 66,906,383 Non-budgetary Increase/(Decrease) (2,539,176) 0 0 0 Total Available Resources $ 334,397,773 $ 314,994,717 $ 315,054,968 $ 319,610,923 Expenditures Administrative Services $ 3,587,970 $ 3,773,682 $ 3,827,324 $ 4,141,150 Financial Services 1,060,677 1,242,128 1,133,930 1,175,420 Information Technology Services 317,828 317,830 317,828 317,830 Human Resources 300,336 405,500 324,132 450,490 Police 12,313,052 13,151,411 12,606,154 12,935,600 Fire 8,126,230 8,896,170 8,549,724 8,227,550 Planning & Community Revitalization and Development Services 2,730,781 3,308,645 3,248,690 3,101,120 Parks and Recreation 5,222,469 5,319,693 5,234,368 5,098,500 Public Services and Engineering 12,008,217 14,080,450 12,919,301 12,905,890 Wilson Energy 157,475,894 146,863,428 133,769,688 133,327,640 Water Resources 16,234,454 20,351,124 18,625,807 22,037,570 Broadband 10,137,836 10,687,386 10,609,815 11,495,680 Stormwater 2,526,266 2,778,200 2,904,600 2,767,110 Wilson Cemetery Commission 471,192 560,300 504,395 528,350 Risk Management & Group Insurance Benefits 14,355,979 15,440,500 15,202,559 16,086,850 Contributions to Other Agencies 1,133,891 1,756,890 1,773,910 1,729,390 Transfers to Other Funds 9,642,530 7,789,445 7,789,445 12,207,250 Debt Service 13,409,264 11,502,420 11,350,407 11,234,870 Interfund Loan Repayment 100,000 100,000 100,000 200,000 Contingency 0 600,000 0 917,900 Total Expenditures and Other Financing Uses 271,154,866 268,925,202 250,792,077 260,886,160 Encumbrances Reappropriated (2,643,492) (2,643,492) Ending Fund Balance Available 63,242,907 48,713,007 66,906,383 58,724,763 Total Fund Commitments and Fund Balance $ 334,397,773 $ 314,994,717 $ 315,054,968 $ 319,610,923 33
BUDGET SUMMARY ALL FUNDS 2016-2017 MAJOR FUNDS NON-MAJOR FUNDS Water Other Other Internal General Electric Gas Resources Broadband Governmental Proprietary Component Service OPERATING Fund Fund Fund Fund Fund Funds Funds Units Funds TOTAL REVENUES Property Taxes 19,819,670 65,020 19,884,690 Motor Vehicle Property Taxes 1,481,210 1,481,210 Other Taxes 6,193,320 6,193,320 Intergovernmental 5,753,460 1,019,310 15,750 6,788,520 Sales/Charges For Services 5,840,960 124,634,070 18,845,400 25,344,270 14,451,110 3,184,210 491,000 16,669,730 209,460,750 Licenses and Permits 1,234,830 180,000 1,414,830 Assessments 30,500 30,500 Investment Income 125,100 50,000 10,000 1,350 186,450 Miscellaneous Income 39,580 852,300 9,000 436,920 467,430 13,000 14,000 48,790 1,881,020 Transfers from Other Funds 3,406,750 1,214,000 112,000 395,500 255,000 5,383,250 Total Revenues and Other Financing Sources 43,925,380 125,536,370 18,854,400 26,995,190 14,928,540 125,000 4,794,370 875,560 16,669,730 252,704,540 Beginning Fund Bal Available 18,626,971 15,575,021 5,776,183 5,742,806 1,032,884 1,228,235 7,717,600 148,891 11,057,792 66,906,383 Total Available Resources 62,552,351 141,111,391 24,630,583 32,737,996 15,961,424 1,353,235 12,511,970 1,024,451 27,727,522 319,610,923 EXPENDITURES Administrative Services 4,141,150 4,141,150 Financial Services 1,175,420 1,175,420 Information Tech. Services 317,830 317,830 Human Resources 450,490 450,490 Police 12,935,600 12,935,600 Fire 8,227,550 8,227,550 Planning & Community Revitalization and Development Services 2,600,620 125,940 374,560 3,101,120 Parks and Recreation 5,098,500 5,098,500 Public Services & Engineering 10,617,450 2,288,440 12,905,890 Wilson Energy 114,751,760 17,770,720 805,160 133,327,640 Water Resources 22,037,570 22,037,570 Broadband 11,495,680 11,495,680 Stormwater 2,767,110 2,767,110 Debt Service 402,000 2,473,560 455,100 4,289,060 3,232,860 382,290 11,234,870 Wilson Cemetery Commission 528,350 528,350 Risk Management & Group Ins. 16,086,850 16,086,850 Contribution to Other Agencies 1,719,820 9,570 1,729,390 Transfers to Other Funds 485,000 1,841,500 1,213,920 1,399,000 1,214,000 6,153,420 Transfer to Capital Projects 1,425,000 4,000,000 5,425,000 Transfer/Pymt in lieu of taxes 499,730 129,100 628,830 Loan Repayment 200,000 200,000 Contingency 250,000 150,000 200,000 317,900 917,900 Total Expenditures and Other Financing Uses 47,876,610 125,536,370 19,728,410 27,925,630 14,928,540 125,940 6,587,450 902,910 17,274,300 260,886,160 Ending Fund Balance 14,675,741 15,575,021 4,902,173 4,812,366 1,032,884 1,227,295 5,924,520 121,541 10,453,222 58,724,763 Total Fund Commitments and Fund Balances 62,552,351 141,111,391 24,630,583 32,737,996 15,961,424 1,353,235 12,511,970 1,024,451 27,727,522 319,610,923 Note: The numbers as presented above include interfund transfers and financial plans for the internal service funds. The funding sources for the internal service funds are represented as charges in each operating fund. Also, the transfers are funding operating activity in other funds, thus duplicating amounts in terms of the total budget. The net City budget excluding these intra-activity amounts is as follows: Total Expenditures and Other Financing Uses 260,886,160 Less Internal Service Funds (17,274,300) Less amount of Transfers out that are funding sources for appropriations in other funds (4,169,250) Total Expenditures and Other Financing Uses (Net o f intra-activity amo unts ) 239,442,610 34
BUDGET COMPARISON BY FUND FOR FISCAL YEAR 2015-2017 (MAJOR FUNDS) GENERAL FUND ELECTRIC FUND GAS FUND 2014-15 2015-16 2016-17 2014-15 2015-16 2016-17 2014-15 2015-16 2016-17 Funding Sources Actual Estimated Budget Actual Estimated Budget Actual Estimated Budget Property Taxes 20,189,267 20,091,190 19,819,670 Motor Vehicle Property Taxes 1,864,143 1,841,061 1,481,210 Other Taxes 7,209,823 7,227,790 6,193,320 Intergovernmental 7,462,882 7,092,730 5,753,460 Sales/Charges For Services 5,974,218 6,232,393 5,840,960 146,012,722 129,339,302 124,634,070 18,969,005 14,702,619 18,845,400 Licenses and Permits 1,258,998 609,320 1,234,830 Assessments 43,705 46,660 30,500 Investment Income 109,727 148,970 125,100 136,954 138,269 50,000 39,652 36,815 Miscellaneous Income 647,400 187,860 39,580 1,038,192 81,792 852,300 27,817 37,387 9,000 Proceeds from Debt Issuance 100,000 Transfers from Other Funds 3,403,470 3,390,510 3,406,750 275,944 Interfund Loan Repayment 100,000 100,000 Beginning Fund Bal Available 16,506,784 18,704,168 18,626,971 13,010,823 10,750,341 15,575,021 7,644,666 7,981,569 5,776,183 Non-budgetary Inc/(Dec) (1,143,547) 938,411 (1,735,825) 1,256,406 114,459 6,377 TOTAL 63,626,870 66,511,063 62,552,351 158,738,810 141,566,110 141,111,391 26,895,599 22,864,767 24,630,583 Expenditures/Other Uses (Grouped by function) General Government 5,133,595 5,621,926 6,197,060 Public Safety 21,350,749 22,433,062 22,308,680 Public Services 4,974,729 5,730,505 4,859,450 Environmental Services 5,664,983 5,598,230 5,457,370 Planning & Community Revitalization and Development Services 1,221,190 1,304,100 1,391,990 Human Relations 234,321 242,805 251,560 Parks and Recreation 5,222,469 5,234,368 5,098,500 Wilson Energy 139,431,512 117,122,879 114,751,760 17,105,862 15,281,794 17,770,720 Debt Service 360,746 407,621 402,000 4,667,096 2,381,320 2,473,560 465,498 459,700 455,100 Contribution to Other Agencies 1,124,321 1,564,340 1,719,820 9,570 9,570 9,570 Transfers to Other Funds 759,920 1,311,475 1,910,000 2,765,540 4,922,550 6,341,230 1,333,100 1,337,520 1,343,020 Contingency 250,000 150,000 Ending Fund Balance 18,704,168 18,626,971 14,675,741 10,750,341 15,575,021 15,575,021 7,981,569 5,776,183 4,902,173 Total Fund Commitments and Fund Balances 63,626,870 66,511,063 62,552,351 158,738,810 141,566,110 141,111,391 26,895,599 22,864,767 24,630,583 WATER RESOURCES FUND BROADBAND FUND 2014-15 2015-16 2016-17 2014-15 2015-16 2016-17 Funding Sources Actual Estimated Budget Actual Estimated Budget Sales/Charges For Services 23,039,820 23,685,037 25,344,270 12,910,555 13,659,771 14,451,110 Investment Income 44,085 37,737 7,917 10,235 10,000 Miscellaneous Income 280,755 117,889 436,920 471,919 310,158 467,430 Transfers from Other Funds 19,072 1,214,000 Beginning Fund Bal Available 4,954,169 4,753,002 5,742,806 1,145,930 1,009,543 1,032,884 Non-budgetary Inc/(Dec) 383,245 381,914 (156,673) 1,816 TOTAL 28,721,146 28,975,579 32,737,996 14,379,648 14,991,523 15,961,424 Expenditures/Other Uses (Grouped by function) Water Resources 16,234,454 18,625,807 22,037,570 Broadband 10,137,836 10,609,815 11,495,680 Debt Service 4,484,720 4,389,066 4,289,060 3,132,269 3,248,824 3,232,860 Transfers to Other Funds 3,248,970 217,900 1,399,000 Interfund Loan Repayment 100,000 100,000 200,000 Contingency 200,000 Ending Fund Balance 4,753,002 5,742,806 4,812,366 1,009,543 1,032,884 1,032,884 Total Fund Commitments and Fund Balances 28,721,146 28,975,579 32,737,996 14,379,648 14,991,523 15,961,424 35
BUDGET COMPARISON BY FUND FOR FISCAL YEAR 2015-2017 (NON-MAJOR FUNDS) with Internal Service Funds GOVERNMENTAL PROPRIETARY INTERNAL SERVICE 2014-15 2015-16 2016-17 2014-15 2015-16 2016-17 2014-15 2015-16 2016-17 Funding Sources Actual Estimated Budget Actual Estimated Budget Actual Estimated Budget Intergovernmental 659,067 660,310 1,019,310 Sales/Charges For Services 2,803,133 2,819,719 3,184,210 15,085,233 16,797,109 16,669,730 Licenses and Permits 180,000 Investment Income 4,710 5,700 43,031 8,719 1,350 65,484 62,920 Miscellaneous Income 115,061 19,750 13,000 44,567 15,029 14,000 759,398 322,020 Transfers from Other Funds 312,626 312,000 112,000 1,305,820 831,750 395,500 Beginning Fund Bal Available 764,872 992,425 1,228,235 8,463,804 7,805,167 7,717,600 10,353,879 10,907,193 11,057,792 Non-budgetary Inc/(Dec) (82,530) (160,385) 48,687 236,633 TOTAL 1,114,739 1,329,875 1,353,235 13,159,037 12,189,381 12,511,970 26,500,627 28,089,242 27,727,522 Expenditures/Other Uses (Grouped by function) Public Services 1,317,604 1,395,481 2,288,440 Planning & Community Revitalization and Development Services 97,314 101,640 125,940 Wilson Energy 938,520 1,365,015 805,160 Stormwater 2,526,266 2,904,600 2,767,110 Debt Service 298,935 463,876 382,290 Risk Management & Group Ins. 14,355,979 15,202,559 16,086,850 Contribution to Other Agencies Transfers to Other Funds 25,000 1,510,000 1,214,000 Contingency 317,900 Ending Fund Balance 992,425 1,228,235 1,227,295 7,805,167 7,889,300 5,924,520 10,907,193 11,057,792 10,453,222 Total Fund Commitments and Fund Balances 1,114,739 1,329,875 1,353,235 13,159,037 12,189,381 12,511,970 26,500,627 28,089,242 27,727,522 Summary of Changes in Fund Balances - Major / Non-Major Funds All General Electric Gas Water Broadband Non-Major Fund Fund Fund Resources Fund Fund Funds FY 2016 Fund Balance (Unassigned, Estimate) 18,626,971 15,575,021 5,776,183 5,742,806 1,032,884 8,945,835 FY 2017 Budgeted Revenues 43,925,380 125,536,370 18,854,400 26,995,190 14,928,540 4,919,370 FY 2017 Budgeted Expenditures 47,876,610 125,536,370 19,728,410 27,925,630 14,928,540 6,713,390 Net Gain(Loss) to Fund Balance (3,951,230) 0 (874,010) (930,440) 0 (1,794,020) Projected FY 2017 Yearend Fund Balance 14,675,741 15,575,021 4,902,173 4,812,366 1,032,884 7,151,815 Percentage Inc/(Dec) -21.2% 0.0% -15.1% -16.2% 0.0% -20.1% Several funds are projected to present changes in fund balance exceeding 10% for FY 2017. The General Fund shows a $3.9 million reduction in fund balance. Fund balance remains within the policy guideline of fund balance available for appropriation. Use of these reserves is strategic and consideration is taken to remain within the policy guidelines of maintaining a Fund Balance level of 25% or greater of annual expenditures. We continue to experience slight, but steady increases in revenues. Improved consumer confidence has improved sales tax revenues. Reserves are healthy and in place to support and provide relief during times of downturn. Departments continue to review efficiencies and budget conservatively. The Gas and Water Resources Funds foresee reductions in fund balances of about 15.1% and 16.2% respectively. These funds are highly sensitive to weather conditions, which have proven highly inconsistent for the past two years. The city recognizes that maintaining healthy operating reserves (or fund balance) is a prudent fiscal management tool and an important credit factor in the analysis of financial flexibility. As enterprise fund balance levels have exceeded practical levels of about 10%, the City made a decision to leverage fund balance to balance the budget to stabilize rates. Fund Balance levels are monitored regularly and rates can be adjusted, if needed. As for the non-major funds, the 20.1% decrease results from utilizing Water Resources Capital Reserve transfer to fund a much needed capital project. 36
BUDGET SUMMARY ALL FUNDS 2016-2017 Revenues / Sources Sales/Charges for Service 80% Fund Balance Appropriated 3% Other Financing Sources 2% Taxes 11% Intergovernmental 3% Other 1% Expenditures / Uses Public Safety Debt Service 8.1% 4.3% Water Resources & Stormw ater 9.5% Administration & Support 2.2% Risk Management & Group Insurance 6.2% Planning & Development Srvs 1.2% Technical Services 4.5% Public Services 5.1% Other Financing Uses 5.8% Wilson Energy 51.1% Parks & Recreation 2.0% 37
LONG-TERM DEBT Outstanding general obligation bonds at June 30, 2016 will total $7,325,000. This general obligation debt is secured by a pledge of the net revenues from fees and charges from enterprise funds operations and is considered self-supporting. The ratio of net bonded debt to assessed valuation and the amount of gross debt per capita are useful indicators to city management, citizens, and investors of the City's debt position. The City has no net bonded debt. The gross bonded debt (general obligation) per capita at June 30, 2016 is estimated to be $148. The amount of net debt that can be issued by local governments in North Carolina is limited by state statute to eight percent (8%) of the appraised value of property subject to taxation in the City. The legal debt margin of the City at June 30, 2015 was $261,224,273. The estimated legal debt margin at June 30, 2016 is $270,477,858. The estimated long-term debt of the City at June 30, 2016, excluding vacation benefits and accrued pension, and other post-employment benefit liabilities, consists of: GENERAL FUND LONG-TERM DEBT Capital Installment Obligations: Aerial Ladder Fire Truck $ 665,579 Carter Building Purchase 541,665 Parking Lot - 210 Barnes Street 50,000 Carter Building Renovation 368,286 ENTERPRISE FUNDS DEBT Capital Installment Obligations: MGP Site Cleanup 953,385 Industrial Development Site 1,570,538 General Obligation Bonds: Buckhorn Reservoir Expansion 7,325,000 Certificates of Participation: Electric System Improvements 2007 9,560,000 Electric System Improvements 2008 13,145,000 Fiber Optic System Infrastructure 2007 11,305,039 Fiber Optic System Infrastructure 2008 10,445,000 State Revolving Loans: Wastewater Management Facility Upgrade (14MGD) 3,273,005 Water Reuse (Happy Valley) 202,216 Contentnea Interceptor Reline 397,011 Wastewater Management Facility Upgrade Phase III 9,681,477 1,625,530 2,523,923 7,325,000 44,455,039 13,553,709 38
LONG-TERM DEBT Revenue Bonds: Natural Gas System Improvements 2,535,075 Water/Sewer System Improvements 8,731,925 INTERNAL SERVICE FUNDS DEBT 11,267,000 Certificates of Participation: Operations Center Building Meter Shop/Broadband Addition 1,949,961 1,949,961 GRAND TOTAL of Existing Debt 2016-2017 $ 82,700,162 39
Legal Debt Capacity LONG-TERM DEBT The annual debt service requirements related to the debt are: Year Ending General Fund Enterprise Internal Service All June 30 Long-Term Debt Funds Funds Funds Total Principal Interest Principal Interest Principal Interest Debt Svc. Fees 2017 $ 361,063 $ 38,434 $ 7,362,018 $ 3,078,060 $ 287,969 $ 94,320 $ 13,500 $ 11,235,364 2018 313,063 30,809 7,517,620 2,799,213 302,367 79,922 13,500 11,056,494 2019 315,095 23,154 7,682,193 2,515,308 317,794 64,803 13,500 10,931,847 2020 317,158 15,467 7,935,851 2,254,442 330,135 52,092 13,500 10,918,645 2021 319,151 7,745 8,123,472 1,956,336 347,620 35,585 13,500 10,803,409 2022-2026 - - 23,865,082 6,042,472 364,076 18,203 50,500 30,340,333 2027-2031 12,888,435 2,520,244 26,000 15,434,679 2032-2036 3,750,000 245,915 6,000 4,001,915 Total: $ 1,625,530 $ 115,609 $ 79,124,671 $ 21,411,990 $ 1,949,961 $ 344,925 $ 150,000 $ 104,722,686 A summary of the estimated changes in long-term debt is as follows: Estimated Estimated Balance Estimated Estimated Balance June 30, 2016 Additions Retirements June 30, 2017 General Fund Long-Term Debt $ 1,625,530 $ $ 361,063 $ 1,264,467 Enterprise Funds Debt 79,124,671 7,362,018 71,762,653 Internal Service Funds Debt 1,949,961 287,969 1,661,992 Total: $ 82,700,162 $ $ 8,011,050 $ 74,689,112 Net Debt Compared to Legal Debt Capacity (8% of Assessed Valuation) 100.0% 90.0% 80.0% 70.0% 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0% 08/09 09/10 10/11 11/12 12/13 13/14 14/15 15/16* * Estimated Net Debt Legal Debt Capacity Net Debt 40
Percent Percent Percent Percent LONG-TERM DEBT Computation of Legal Debt Margin Estimated Assessed Valuation June 30, 2016 $ 4,182,325,254 Debt Limit (at 8% of assessed valuation) 334,586,020 GROSS DEBT: (as of June 30, 2016) Outstanding general obligation bonded debt: Water Resources State Revolving Loan Water Resources 7,325,000 13,553,709 Notes payable Capital Installment Obligations 4,149,453 Certificates of Participation 46,405,000 Total 71,433,162 STATUTORY DEDUCTIONS: Outstanding general obligation bonded debt: Water Resources 7,325,000 Total 7,325,000 NET DEBT 64,108,162 LEGAL DEBT MARGIN $ 270,477,858 Debt Service as a % of General Fund Expenditures Debt Service as a % of Electric Fund Expenditures 4.0% 3.0% 3.0% * Estimated 2.5% 2.0% 2.0% 1.5% 1.0% 1.0% 0.0% 12/13 13/14 14/15 15/16 est 16/17 budget 0.5% 0.0% 12/13 13/14 14/15 15/16 est 16/17 budget Fiscal Year Fiscal Year Debt Service as a % of Gas Fund Expenditures Debt Service as a % of Water Resources Fund Expenditures 2.0% 35.0% 1.5% 30.0% 25.0% 1.0% 20.0% 15.0% 0.5% 10.0% 5.0% 0.0% 12/13 13/14 14/15 15/16 est 16/17 budget 0.0% 12/13 13/14 14/15 15/16 est 16/17 budget Fiscal Year Fiscal Year 41
PROPERTY TAX ASSESSED VALUES, TAX RATES, TAX LEVY AND ESTIMATED COLLECTIONS 2015-2016 2016-2017 ITEM BUDGET ESTIMATED BUDGET General Fund (City Wide) Assessed Value $ 4,211,923,880 $ 4,182,325,250 $ 3,937,570,765 Tax Rate/Per $100 Assessed Value.515.515.555 Tax Levy 21,691,408 21,538,980 21,833,930 Collection Rate 96.6% 96.6% 96.6% Estimated Net Revenue $ 20,953,900 $ 20,806,650 $ 21,091,580 Downtown Development Fund (Municipal Tax District) Assessed Value $ 44,511,760 $ 40,481,706 $ 38,427,656 Tax Rate/Per $100 Assessed Value.17.17.18 Tax Levy 75,670 68,819 69,170 Collection Rate 94.0% 94.0% 94.0% Estimated Net Revenue 71,130 64,690 65,020 42
Rate Per $100 Assessed Value TAX VALUES, RATES, AND COLLECTIONS Fiscal Assessed Percent Tax Rate Net Year Valuation Change (per $100) Levy % (Collected) 2006-2007 3,123,233,727 + 3%.515 16,027,870 2007-2008 3,263,351,803 + 4%.515 16,741,060 2008-2009* 3,804,125,824 +17%.515 19,675,158 2009-2010 3,855,762,560 + 2%.515 19,476,396 2010-2011 3,897,895,993 + 1%.515 19,678,805 2011-2012 3,952,614,383 + 1%.515 19,860,046 2012-2013 4,016,228,608 + 1%.515 19,993,633 2013-2014 3,996,209,996-1%.515 21,266,798 2014-2015 4,140,468,933 + 3%.515 20,970,965 2015-2016 (E) 4,182,325,254 + 1%.515 20,806,650 2016-2017 (B)* 3,937,570,765-6%.555 21,091,580 (E) Estimated (B) Budget * Revaluation 1.40 1.20 1.00.80.60.40.20.00 Tax Rates.515.515.515.515.555.73.73.73.73.73 12/13 13/14 14/15 15/16 16/17 County City Fiscal Year PRINCIPAL TAXPAYERS As of June 30, 2015 Name Nature of Business Assessed Valuation BB&T Banking $ 159,160,766 Becton Dickinson & Co. Pharmaceutical 101,773,670 Sandoz Inc. Pharmaceutical 91,180,442 DLP Wilson Medical Center, Inc. Health Care 88,850,228 Alliance One Tobacco Processor 58,895,021 Purdue Pharmaceuticals Pharmaceutical 56,971,476 Inland American Wilson Retail Management 29,427,897 Carolina Forge Co., LLC Manufacturing 24,557,984 Sleepy Hollow Development Development 24,535,186 Livedo USA Inc. Manufacturing 16,985,719 43
KEY REVENUE SOURCE ANALYSIS The following provides analysis for key revenue sources in various funds. The City strives to estimate revenue as realistically as possible, but with an overall conservative preference. These estimates are based on actual prior year results, anticipated fiscal year 2015-16 approximation, impacts from statutory changes, and general economic forecasts. The City also takes into consideration forecasts of certain revenues provided by organizations such as the North Carolina League of Municipalities (NCLM). Current Year Ad Valorem Property Tax (excludes Motor Vehicle Property Tax) = $ 19,689,770 The City of Wilson property (ad valorem) tax rate for FY 2017 is 55.5 cents per $100 of assessed Assessed Valuation (in $ millions) property value. The ad valorem tax on property is $4,500 the City s major revenue source, representing 49% $4,250 of all general fund revenues. Property categories $4,000 assessed include land, buildings, and improvements $3,750 (real property), personal property (business $3,500 machinery and equipment, unlicensed vehicles like $3,250 boats, etc.), vehicles, and public service (railroads) $3,000 12/13 13/14 14/15 15/16 est 16/17 est providers. In accordance with North Carolina General Statute 160A-209, the City levies property (ad valorem) taxes on July 1, the beginning of the City s fiscal year, for property in place as of January 1 of that same calendar year. Property taxes are assessed and collected by Wilson County and remitted to the City throughout the year. These property taxes are separate from those levied by Wilson County. The taxes are due on September 1, but interest does not accrue until the following January. While the economy continues to improve, the City conservatively estimates the FY 2017 budget for ad valorem taxes. 20,000,000 19,500,000 19,000,000 18,500,000 18,000,000 17,500,000 17,000,000 CURRENT YEAR AD VALOREM TAXES 11/12 12/13 13/14 14/15 15/16 est 16/17 est Current Year Ad Valorem Budget Current Year Ad Valorem Actual (net of refunds) 2011-2012 18,817,108 18,124,408 2012-2013 19,182,396 18,613,517 2013-2014 19,329,404 19,203,561 2014-2015 19,522,690 19,646,216 2015-2016 19,630,229 19,850,000 (Est.) 2016-2017 19,689,770 44
KEY REVENUE SOURCE ANALYSIS Current Year Motor Vehicle Property Tax = $ 1,401,810 The North Carolina General Assembly passed a new law which became effective July 1, 2013 to create a combined motor vehicle registration renewal and property tax collection system (Tag & Tax System). By doing so the new law transfers the responsibility for motor vehicle tax collection from the individual counties across North Carolina to the North Carolina Division of Motor Vehicles (NCDMV). North Carolina's new Tag & Tax Together System has been designed as a convenient way to pay annual vehicle tag renewals and vehicle property taxes by combining them into one billing. Current Year Budget Current Year Actual (net of refunds) 2011-2012 1,268,842 1,735,638 2012-2013 1,293,474 1,380,116 2013-2014 1,303,386 2,063,237 2014-2015 1,316,420 1,324,749 2015-2016 1,323,671 1,371,061 (Est.) 2016-2017 1,401,810 2,500,000 2,000,000 1,500,000 1,000,000 500,000 MOTOR VEHICLE TAX - 11/12 12/13 13/14 14/15 15/16 est 16/17 est Vehicle Rental Tax = $ 28,830 Session Law 2000-2 was signed into law on May 17, 2000 and is entitled An Act to Repeal the Property Tax on Certain Vehicles Leased or Rented under Retail Short-Term Leases or Rentals and to Replace the Tax Revenue with a Local Tax on Gross Receipts Derived from Retail Short-Term Leases or Rentals. FY 2017 is estimated to decrease 39% below the estimated FY 2016 revenues, which is representative of a postrecession environment. 50,000 45,000 40,000 35,000 30,000 25,000 20,000 15,000 10,000 5,000 - VEHICLE RENTAL TAX 11/12 12/13 13/14 14/15 15/16 est 16/17 est 2011-2012 36,226 2012-2013 30,978 2013-2014 42,014 2014-2015 45,896 2015-2016 47,500 (Estimate) 2016-2017 28,830 (Budget) 45
KEY REVENUE SOURCE ANALYSIS Combined Sales Tax = $ 6,164,490 2011-2012 6,377,375 2012-2013 6,790,146 2013-2014 6,656,683 2014-2015 7,163,927 2015-2016 7,180,290 (Estimate) 2016-2017 6,164,490 (Budget) $7,400,000 $7,200,000 $7,000,000 $6,800,000 $6,600,000 $6,400,000 $6,200,000 $6,000,000 $5,800,000 $5,600,000 Sales Tax 12/13 13/14 14/15 15/16 est 16/17 est One-Cent Sales Tax (Article 39) = $ 2,760,000 Wilson County levies a one-cent local sales tax on all retail sales, lease, or rental of tangible personal property, rental of motel or hotel rooms, and rendering of services according to Article 39 of North Carolina General Statute 105. Proceeds of the one-cent sales tax are distributed to municipalities in each respective county by a formula based on county point of sale. Once the county share is determined, municipalities and the county itself receive funding based on population within the respective county as recorded by the North Carolina Office of State Planning. Sales tax receipts are received monthly with the fourth quarter of each calendar year traditionally being the highest and first quarter being the lowest. The FY 2017 budget for Article 39 is increasing 2.0% over the FY 2016 budget. 2011-2012 2,682,482 2012-2013 2,871,104 2013-2014 2,726,977 2014-2015 2,915,517 2015-2016 2,960,000 (Estimate) 2016-2017 2,760,000 (Budget) 3,000,000 2,950,000 2,900,000 2,850,000 2,800,000 2,750,000 2,700,000 2,650,000 2,600,000 2,550,000 2,500,000 ONE-CENT SALES TAX (ARTICLE 39) 11/12 12/13 13/14 14/15 15/16 est 16/17 est 46
KEY REVENUE SOURCE ANALYSIS Half-Cent Sales Taxes (Articles 40 and 42) = $ 2,376,540 The North Carolina General Assembly authorized the half-cent sales tax as a local county option. Two half-cent sales taxes exist and both are currently collected statewide and then distributed to counties on a per capita basis according to Articles 40 and 42 North Carolina General Statutes 105. As of October 1, 2009, the Article 42 local option sales tax is distributed to municipalities based on county point of sale. The FY 2017 budget for Article 40 and 42 is increasing 2.7% over the FY 2016 budget. 3,000,000 2,900,000 2,800,000 2,700,000 2,600,000 2,500,000 2,400,000 2,300,000 2,200,000 2,100,000 2,000,000 HALF-CENT SALES TAX (ARTICLES 40 & 42) 11/12 12/13 13/14 14/15 15/16 est 16/17 est 2011-2012 2,589,615 2012-2013 2,755,730 2013-2014 2,695,809 2014-2015 2,896,678 2015-2016 2,911,640 (Estimate) 2016-2017 2,376,540 (Budget) Half-Cent Sales Tax (Article 44) = $ 1,027,950 The North Carolina General Assembly, as a local county option, authorized this half-cent sales tax with proceeds going to counties and municipalities effective in December 2002 as a replacement for the repealed intangibles tax and inventory tax reimbursements. This tax is different from the other sales taxes because it is not charged on food, and its distribution method is 50% on point of sale and 50% on per capita. In 2007, the state passed legislation to have the state assume county Medicaid costs, thus eliminating the Article 44 local option sales tax. Effective October 1, 2008, the state took over one quarter cent of the Article 44 sales tax as authorized by North Carolina General Statute 105, and effective October 1, 2009, the state took over the remaining one-quarter cent. The legislation provides for municipalities to be completely reimbursed for the loss of their share of tax revenues, accounting for growth. The first one quarter cent has been replaced by a payment equal to 50% of the amount the City receives from the Article 40 sales tax, and the second one-quarter cent has been replaced by a payment equal to 25% of the City s share of the Article 39 sales tax. These payments come from Wilson County s share of sales tax revenues, but and is paid directly to the City by the NC Department of Revenue. The FY 2017 budget for Article 44 is increasing 2.0% over the FY 2016 budget. 1,400,000 HALF-CENT SALES TAX (ARTICLE 44) 2011-2012 1,105,278 2012-2013 1,163,312 2013-2014 1,233,897 2014-2015 1,351,732 2015-2016 1,308,650 (Estimate) 2016-2017 1,027,950 (Budget) 1,300,000 1,200,000 1,100,000 1,000,000 900,000 800,000 11/12 12/13 13/14 14/15 15/16 est 16/17 est 47
KEY REVENUE SOURCE ANALYSIS Beer and Wine Tax = $ 195,000 The State of North Carolina levies this tax on alcoholic beverages, and a municipality may share in the revenues if beer or wine is sold legally within its jurisdiction according to North Carolina General Statute 105-13.82. The statute provides that the state shares 23.75% of state beer tax collections, 62% of state unfortified wine tax collections and 22% of state fortified wine tax collections with local government units. The proceeds are distributed within 60 days of March 31, and local portions are based on the City s population as recorded by the North Carolina Office of State Planning. FY 2017 is budgeted flat with the estimated FY 2016 revenues based upon national beer and wine sales projections. 240,000 230,000 220,000 210,000 200,000 190,000 180,000 170,000 160,000 150,000 BEER & WINE TAX 11/12 12/13 13/14 14/15 15/16 est 16/17 est 2011-2012 214,128 2012-2013 198,329 2013-2014 216,265 2014-2015 234,162 2015-2016 195,000 (Estimate) 2016-2017 195,000 (Budget) ABC REVENUE = $ 63,960 Pursuant to North Carolina General Statute 18B, ABC taxes are distributed quarterly by the county alcohol control board based on the ad valorem levy from the previous year after expenses are deducted for law enforcement, education, and rehabilitation according to North Carolina General Statute 10A-15(14). The FY 2017 budget is projected to decrease 21% from the estimated FY 2016. This revenue source fluctuates significantly from year to year and is not related to demographic variables, so a conservative projection is used. 2011-2012 78,125 2012-2013 81,250 2013-2014 81,250 2014-2015 81,250 2015-2016 81,250 (Estimate) 2016-2017 63,960 (Budget) 85,000 80,000 75,000 70,000 65,000 60,000 55,000 50,000 ABC REVENUE 11/12 12/13 13/14 14/15 15/16 est 16/17 est 48
KEY REVENUE SOURCE ANALYSIS Telecommunications Sales Tax = $ 278,000 Prior to FY 2004, this revenue was budgeted with the utility franchise tax. This revenue represents the City s share of the state gross receipts tax on telecommunications providers, and like the utilities sales tax, revenue is received quarterly. The FY 2017 budget is projected to decrease by 9% from the estimated FY 2016 revenues to reflect the downward trend in taxable revenues in this industry. 600,000 550,000 500,000 450,000 400,000 350,000 300,000 250,000 200,000 TELECOMMUNICATIONS SALES TAX 11/12 12/13 13/14 14/15 15/16 est 16/17 est 2011-2012 537,843 2012-2013 483,968 2013-2014 464,681 2014-2015 460,428 2015-2016 305,300 (Estimate) 2016-2017 278,000 (Budget) Special License Revenue / Privilege Licenses = $ 1,000 Prior to FY 2016, the City levied a privilege license tax on the businesses, trades, and professions operating within its corporate limits. The tax was regulated by State statute, with some businesses exempt, others subject to specified flat fees, and most subject to a tax based on the gross receipts of the business. In FY 2015, the General Assembly limited all municipalities privilege tax authority to businesses physically located within the corporate limits. For FY 2016, the authority to levy privilege taxes was eliminated. Taxes are accrued to the year for which they cover, so a significant loss of $612,480 is projected for FY 2016 and going forward. 2011-2012 459,361 2012-2013 607,665 2013-2014 674,910 2014-2015 614,891 2015-2016 2,410 (Estimate) 2016-2017 1,000 (Budget) 800,000 700,000 600,000 500,000 400,000 300,000 200,000 100,000 - SPECIAL LICENSES/PRIVILEGE LICENSES 11/12 12/13 13/14 14/15 15/16 est 16/17 est 49
KEY REVENUE SOURCE ANALYSIS Natural Gas Sales Tax = $ 140,000 Prior to FY 2015, the State of North Carolina levied a tax on the gross receipts of electricity companies and a tax on the volume of piped natural gas sold by gas companies. Municipalities received a portion of the gas and electricity taxes generated within their corporate limits. Effective July 1, 2014, these franchise taxes were repealed and the general sales tax rate is applied to the sale of piped natural gas and electricity. Utility taxes continue to be received quarterly from the State, with the highest receipts expected in the fourth quarter of the fiscal year. During the first year of implementation, utility sales tax revenues were significantly higher than projected for electricity and significantly lower for natural gas, both of which were the result of estimation errors by legislative staff of the effect of the legislation. Because this is a new method of taxation and distribution, the FY 2017 budget projects an 11% decrease from the estimated FY 2016 revenues. This revenue source is highly sensitive to several factors, with weather conditions being a significant influence. These factors are taken into consideration during the budget process. 180,000 160,000 140,000 120,000 100,000 80,000 60,000 40,000 20,000 - NATURAL GAS SALES TAX 11/12 12/13 13/14 14/15 15/16 est 16/17 est 2011-2012 30,870 2012-2013 35,670 2013-2014 37,200 2014-2015 14,880 2015-2016 157,960 (Estimate) 2016-2017 140,000 (Budget) 50
KEY REVENUE SOURCE ANALYSIS Electricity Sales Tax = $ 3,400,000 Prior to FY 2015, the State of North Carolina levied a tax on the gross receipts of electricity companies and a tax on the volume of piped natural gas sold by gas companies. Municipalities received a portion of the gas and electricity taxes generated within their corporate limits. Effective July 1, 2014, these franchise taxes were repealed and the general sales tax rate is applied to the sale of piped natural gas and electricity. Utility taxes continue to be received quarterly from the State, with the highest receipts expected in the fourth quarter of the fiscal year. During the first year of implementation, utility sales tax revenues were significantly higher than projected for electricity and significantly lower for natural gas, both of which were the result of estimation errors by legislative staff of the effect of the legislation. Because this is a new method of taxation and distribution, the FY 2017 budget projects an 18% decrease from the estimated FY 2016 revenues. This revenue source is highly sensitive to several factors, with weather conditions being a significant influence. These factors are taken into consideration during the budget process. 2011-2012 3,298,877 2012-2013 3,292,161 2013-2014 3,315,817 2014-2015 4,113,399 2015-2016 4,140,000 (Estimate) 2016-2017 3,400,000 (Budget) 4,500,000 4,000,000 3,500,000 3,000,000 2,500,000 ELECTRICITY SALES TAX 2,000,000 11/12 12/13 13/14 14/15 15/16 est 16/17 est Powell Bill Funds = $ 1,250,000 In previous years, Powell Bill funds were projected based on a percentage of gas tax revenues. Last year, the General Assembly eliminated this relationship and made the Powell Bill a direct appropriation of State dollars. The General Assembly could decide to adjust the amount of Powell Bill funds for FY17 when it returns to Raleigh this summer. Our budget is conservative to address this possibility. The formula for calculating Powell Bill distributions remains unchanged. Of the total annual distribution, 75% is allocated based on population of the eligible city. The remaining 25% distribution is allocated based on the number of city-maintained street system miles within each municipality. 2011-2012 1,349,489 2012-2013 1,373,040 2013-2014 1,394,510 2014-2015 1,389,511 2015-2016 1,382,900 (Estimate) 2016-2017 1,250,000 (Budget) 1,450,000 1,400,000 1,350,000 1,300,000 1,250,000 1,200,000 1,150,000 POWELL BILL FUNDS 11/12 12/13 13/14 14/15 15/16 est 16/17 est 51
Consumers Avg Daily Usage KEY REVENUE SOURCE ANALYSIS Electric Sales/Charges for Service = $ 124,634,070 ELECTRIC UTILITY Electric sales are highly sensitive to cyclical variability in weather and are budgeted conservatively to mitigate the impact from wide-ranging swings in weather patterns. Sales for 2017 are estimated to be approximately 3.6% lower than FY 2016 sales. 2011-2012 140,385,186 2012-2013 142,761,531 2013-2014 143,740,116 2014-2015 146,012,722 2015-2016 129,339,302 (Estimate) 2016-2017 124,634,070 (Budget) Consumers 39,000 37,000 35,000 33,000 31,000 29,000 27,000 25,000 12/13 13/14 14/15 15/16 est 16/17 est Consumers Usage (in million kwh) 3.8 3.7 3.6 3.5 3.4 3.3 3.2 3.1 3.0 Avg Daily Usage Gas Sales/Charges for Service = $ 18,845,400 Natural gas sales for FY 2016 decreased 22% from sales from FY 2015. Gas sales are influenced by consumption, which is related to various factors; predominately weather conditions and rates of economic growth. Gas sales are budgeted conservatively to mitigate any impact from wideranging swings in weather patterns. 2011-2012 15,283,384 2012-2013 17,247,721 2013-2014 18,576,528 2014-2015 18,969,005 2015-2016 14,702,619 (Estimate) 2016-2017 18,845,400 (Budget) Consumers 15,000 14,500 14,000 13,500 13,000 12,500 12,000 11,500 11,000 10,500 10,000 GAS UTILITY 12/13 13/14 14/15 15/16 est 16/17 est Consumers Usage (in million cubic feet) 4.5 4.0 3.5 3.0 2.5 2.0 Avg Daily Usage Water Sales/Charges for Service = $ 12,416,090 W ATER RESOURCES UTILITY The FY 2017 estimated sales are 9.4% higher than the FY 2016 sales. FY 2017 is budgeted conservatively. Conservation, slowed economic growth and unpredictable weather conditions all directly contribute to the level of sales. 2011-2012 10,346,716 2012-2013 10,169,304 2013-2014 10,767,903 2014-2015 10,886,967 2015-2016 11,346,797 (Estimate) 2016-2017 12,416,090 (Budget) 23,000 22,000 21,000 20,000 19,000 18,000 12/13 13/14 14/15 15/16 est 16/17 est Consumers Usage (in million gallons) 10.0 9.0 8.0 7.0 6.0 5.0 4.0 3.0 2.0 1.0 0.0 52
Customers Avg Daily Flow KEY REVENUE SOURCE ANALYSIS Sewer Sales/Charges for Service = $ 12,928,180 The FY 2017 sanitary sewer charges are budgeted approximately 4.8% higher than FY 2016 charges. Conservation, slowed economic growth and fluctuating weather conditions all directly contribute to the level of sales. 2011-2012 10,786,387 2012-2013 10,718,863 2013-2014 11,558,486 2014-2015 12,152,853 2015-2016 12,338,240 (Estimate) 2016-2017 12,928,180 (Budget) 21,000 20,500 20,000 19,500 19,000 18,500 18,000 17,500 17,000 16,500 16,000 SEW ER UTILITY 12/13 13/14 14/15 15/16 est 16/17 est 11.0 10.0 9.0 8.0 7.0 6.0 5.0 4.0 3.0 Customers Avg Daily Flow 53
FULL-TIME POSITIONS SUMMARY 2014-15 2015-16 2016-17 DEPARTMENT DIVISION POSITIONS POSITIONS POSITIONS (as amended) (as amended) Administrative Services Administration 1002 5 4 4 Public Affairs 1004 1 3 3 Facility Services 1006 5 10 10 Human Relations 1020 3 3 3 14 20 20 Financial Services Administration and Accounting 2001 13 13 14 Purchasing and Warehouse 2004 8 9 9 Billing, Collections, Customer Service, and Credit 2006 40 40 40 Print Services 2008 2 2 2 63 64 65 Human Resources Human Resources 2501 6 6 6 6 6 6 Police Police 3101 133 135 135 Police Overhires 2 2 2 135 137 137 Fire Fire 3201 94 94 94 Fire Overhires 3 3 3 97 97 97 Planning, Community Revitalization, and Development Services Planning and Community Revitalization 3501 7 8 8 Construction Standards 3502 7 8 8 Land Development 3504 4 4 4 Neighborhood Improvements 3505 4 4 4 Geographic Information Services 3506 3 3 3 25 27 27 Parks and Recreation Recreation 4001 11 11 11 Parks 4002 16 16 16 Wedgewood 4045 3 3 3 30 30 30 Public Services and Public Services Administration 5001 4 4 6 Engineering Street Construction and Maintenance 5002 25 25 25 Environmental Services 5003 40 40 40 Engineering Administration 5004 5 5 4 Fleet Maintenance 5005 16 16 16 Stormwater Compliance 5006 4 4 4 Parking and Traffic 5008 5 5 4 99 99 99 54
FULL-TIME POSITIONS SUMMARY 2014-15 2015-16 2016-17 DEPARTMENT DIVISION POSITIONS POSITIONS POSITIONS (as amended) (as amended) Electric Electric Administration 6001 5 5 5 Engineering and System Planning 6002 13 13 13 System Control and Communications 6003 6 6 6 Electric Distribution 6005 52 51 51 Key Accounts and Marketing 6006 1 1 1 77 76 76 Gas Gas Distribution 6502 21 21 21 Utility Locators 6503 3 6 4 24 27 25 Water Resources Water Resources Administration 7001 1 1 1 Water Treatment 7002 20 20 20 Water Distribution 7003 22 20 20 Water Reclamation 7004 31 31 31 Wastewater Collection 7005 26 26 26 100 98 98 Broadband Broadband Administration 6301 2 2 2 Broadband Operations 6302 12 12 12 Broadband Head End Engineering 6303 4 4 4 Technical Support Services 6306 7 8 8 Unified Communications Center 6307 14 15 15 39 41 41 Stormwater Management Stormwater Management 7606 9 9 9 9 9 9 Downtown Development Administration 8501 3 3 3 3 3 3 Mass Transit Administration 5101 3 3 3 Operations 5102 7 7 7 10 10 10 Risk Management Risk Services 2503 3 3 3 3 3 3 GRAND TOTAL 734 747 746 Note: The City has reduced staffing levels in recent years and shifted the level of staffing in Administrative and Financial Services, Planning, Community Revitalization and Development Services, Human Resources, Risk Management, Electric and Broadband. Maintaining a strong team requires us to define strategic roles for each team member and through collaboration bring different strengths to the table. Our continuous staffing management plan takes into consideration not only the staff needed to maintain efficient operations, but also processes that can be improved by technology advances or additional training. As a result, staffing levels may vary from year-to-year as we shift resources between various departments to meet operational needs throughout the year to maximize productivity. Overall, staffing level shifts for FY 2017 will result in a net decrease of one position (Utility Locator) in the budget, with a total of 746 full-time positions. 55
FULL-TIME POSITIONS SUMMARY Full-Time Positions By Department Administrative Services Financial Services Human Resources Police Fire Planning, Comm. Revitalization & Development Svcs Parks & Recreation Public Services & Engineering Wilson Energy Water Resources Broadband Stormwater 0 25 50 75 100 125 150 Number of Full-Time Employees 2014-2015 Authorized 2015-2016 Authorized 2016-2017 Authorized Full-Time Positions By Fund Type Enterprise Funds 35% General Fund 64% Special Revenue and Internal Service Funds 1% 56