2016 Proposed Budget Presentations 11-17-2015 DRAFT

Public Hearing on Proposed 2016 Budget

November 17, 2015

2016 Proposed Budget Public HearingIn accordance with O.C.G.A. 36-81-5 (f):

Notice advertising this public hearing was published The Champion on October 22.

Notice of the public hearings was posted to City’s website on October 22.

The previous public hearing was held on November 10. This is the second public hearing, and the Council is expected to vote to adopt a 2016 budget on toady.

2016 Proposed Budget Totals $32.9 millionFund FY2015 FY2016 Difference % Chg.

General Fund $19,644,400 $ 20,840,230 $ 1,195,830 6.1%

Confiscated Funds 2,500 18,020 15,520 620.08%

Streetlight Special Revenue 404,551 475,000 70,449 17.4%

Enhanced 911 938,333 1,025,500 87,167 9.3%

Special Tax District #1 0 453,453 453,453 n/a

Hotel Motel Tax Fund 1,800,000 1,800,000 -0- 0.0%

HOST Fund 6,300,000 4,850,000 -1,450,000 -23.0%

Debt Service 541,487 816,036 761,889 1,407.1%

Stormwater Utility 2,307,447 2,631,589 324,142 14.0%

Totals $ 31,451,378 $ 32,909,828 $ 1,458,450 4.6%

2016 Proposed Budget Includes the following:

Funding for a COLA and/or merit increase totaling 3% of employee compensation. Cost $131,000.

There is no increase in the cost of City provided medical and other insurance benefits. There is also no change in carriers or benefit coverage.

The 2016 millage rate for the General Fund is projected to remain the same as that adopted by the City Council in June, 2015 – 2.74 mills.

General Fund property taxes revenues are projected based on a 3% growth in the City’s tax digest. This represents an additional $193,000 in property tax revenues above 2015.

The millage rate for the Special Tax District is projected to rise to 6.45 mills, as projected in the initiation of the taxing district.

Property Taxes 7.1$ Franchise Fees 3.0 Occupational Tax 2.3 Insurance Premium 2.8 Alcohol License 0.4$ Oher Taxes 1.0 Building Permits 1.3 Total Taxes 16.2$ Others -

Total License & Permits 1.3$

Transfers In 1.1$ Debt Proceeds - Fund Balance/Reserves - Total Other Fin. Sources 1.1$

Special Police Services 0.2$ Other Chargs for Svcs 0.3

Total Charges for Services 0.5$

Court Fines & Forfeitures 1.3$ Forfeitures - Total Fines & Forfeitures 1.3$

WHERE DOES IT COME FROM?(all amounts indicated are in millions)

Total Proposed General Fund Revenues for 2016 are $20,840,230

Taxes77.7%

License & Permits8.2%

Intergovt'l Revenues0.0%

Charges for Services2.7%

Fines & Forfeitures6.0%

Investment Income0.0%

Contributions & Donations

0.0%

Misc. Revenue0.2%

Other Financing5.2%

Items not in the $20.8 million 2016 Proposed General Fund Budget

Mayor-Council allotments Cost of $125KConversion of IT contract to City staff Savings of $45KCityWorks/Meritage migration Cost of $151KThree (3) Traffic Officers (car & equipment) Cost of $373KVarious Small Equipment (Police) Cost of $145KSUV and Utility Van (equipped; Lab & Training) Cost of $120KAfter School/Day Camp program Cost of $204KEvent/Marketing Coordinator Cost of $52KPickup Truck (Parks & Rec) Cost of $25KPlans Coordinator Cost of $59K

Items considered and not in the $20.8 million 2016 Proposed General Fund Budget

Economic Development Specialist Cost of $74KAdmin Assistant (HR & Asst. City Manager) Cost of $56KComputer replacements (City start-up) Cost of $60KVehicle replacement fund (2013) Cost of $100K

Items in the proposed $20.8 million 2016 Proposed General Fund Budget

Purchase of Open Records application Cost of $10KInternal Audit Cost of $18KRepair and Maintenance (Public Works) Cost of $525K(potholes, curbs, sidewalks, signs (non-HOST)) Capital Improvements/Small Equipment (Parks) Cost of $50KCity management of pool/aquatic program Cost of $8K(1 Coordinator, 6 Pool Managers, & 15 Lifeguards)(net of contract cost of $114,000) Transfer to E911 Supplement Cost of $305K

Regular Salaries 7.6$ Professional Services 1.9$ Overtime 0.2 Technical Services 0.8Group Insurance 1.1 Repair & Maintenance 0.5Retirement 1.1 Rentals 0.6Other 0.4 Contract Labor 1.8Total Personal Svcs 10.4$ Other Purchased/Contract 2.2

Total Purchased/Contract 4.0$

Supplies 0.5$ Transfers Out - E911 0.3$ Water/Sewage 0.2Transfers Out - Debt Service 0.8 Electricity 0.2Total Other Financing. Sources 1.1$ Gasoline 0.3

Other Supplies 0.2

Total Supplies 1.4$

Note: Expenditures Categories less than $1 million.

Capital Outlay = $50,000 Interdepartmental Charges = -$98,184 and Contingency = $250,000

WHERE DOES IT GO?(all amounts indicated are in millions)

Total Proposed General Fund Expenditures for 2016 are $20,840,230

Personal Services49.8%

Purchased/Contracted36.6%

Supplies6.3%

Capital Outlay0.2%

Interdept'l Chagres-0.5%

Contingency1.2%

Other Financing Uses5.3%

2016 General Government Totals $5.8 millionDepartments FY2015 FY2016 Difference Notes or % Chg.

Mayor-Council $ 353,741 $ 149,061 $ <204,680>

Eliminate Allocation ($125K);reduction in Other Purchases

City Manager 1,087,103 972,489 <114,614> Add HR Manager (Finance); reduce Prof Svcs and Other Purch Svcs

City Clerk 262,115 247,995 <14,120> Eliminate Contingency ($5K); Reduction in Supplies

Admin & Finance 2,211,758 2,209,706 <2,052> Transfer HR Manager to City Manager; Change in Facilities Mgmnt contract/ staff

Law/Legal 650,000 500,000 <150,000> Reduction in proposed legal services

Information Technology 551,021 971,557 420,536 Shift various software maintenance to departments; under budgeted 2015 contracts.

Communications 322,858 146,921 <175,937> Eliminate 1 position; reduction in Prof Svcs, Repairs & Maint, Newsletter costs

Non-department 791,487 555,500 <235,987> Change debt svc; Supplement E911

General Government $ 6,230,083 $ 5,753,229 <476,854> -7.6%

2016 Housing and Development Totals $2.8 million

Departments FY2015 FY2016 Difference Notes or % Chg.

Community Development

$ 2,245,979 $ 2,768,394 $ 522,415 2015 budgeted a staff of four (director, asst. director, and 2 planners); Current staff of eleven. Added admin assistant, fire marshal, 3 land inspectors, 1 planner, and 1 civil engineer. Also acquired 3 vehicles ($60K) in 2015.

Housing and Development

$ 2,245,979 $ 2,768,394 $ 522,415 23.3%

2016 Public Safety Totals $8.2 million


Police $ 7,700,680 $ 8,243,306 $ 542,626 Seventy-three (73) full-time and three (3) part-time employees; Increase in Repairs and Maint. and Transfers Out for Debt Svc ($514K originally budgeted in non-Department)

Public Safety $ 7,700,680 $ 8,243,306 $ 542,626 7.0%

2016 Public Works Totals $1.4 million


Public Works $ 1,213,770 $ 1,427,382 $ 213,612 Reduced personnel cost ($392K) for 2015 positions not filled; Increased non-HOST funding (Repair & Maint - $480K; Traffic Signals - $35K; ROW Maint - $40K)

Public Works $ 1,213,770 $ 1,427,382 $ 213,612 17.6%

2016 Judicial Totals $695.5 thousand


Municipal Court $ 575,845 $ 695,466 $ 119,621 Staffing for two judges; Increase funding for indigent defense and solicitor services ($68K); Increase in Technical Services ($48K) for interpreters and software application maintenance; Annual building rent (1/2) under budgeted in 2015 ($80K); One-time cost of software ($117K) in 2015

Judicial $ 575,845 $ 695,466 $ 119,621 20.8%

2016 Culture & Recreation Totals $1.95 million


Parks and Recreation $ 1,678,045 $ 1,952,453 $ 274,408 Added $75K for Repair and Maint (non-HOST) not in the 2015 budget; Increase in Small Equipment ($10K), Site Improvements ($15K), Building Improvements ($15K), Machinery & Equipment ($5K), and Furniture & Fixtures ($5K)

Program Mod:

Added Athletic/Aquatics Manager (full-time) and Seasonal Pool Staff (6 Pool Managers and 15 Lifeguards) - $118K; Offset by eliminating contract for pool program management ($114K)

Tourism 0 0 0 No 2015 adopted budget; Eliminated one position

Culture & Recreation $ 1,678,045 $ 1,952,453 $ 274,408 16.4%

Confiscated FundsForfeiture revenues that have completed the adjudication process, and are available to cooperating intergovernmental agencies (police department).

Utilized by the police department to support community policing and programs.

Expenses 2015 2016 Difference %Chg

Police $ 2,500 $ 18,020 $ 15,520 620.8%

Revenues 2015 2016 Difference %Chg

Forfeitures $ 2,500 $ 18,000 $ 15,500 620.0%

Investment Income 0 20 20 n/a

Totals $ 2,500 $ 18,020 $ 15,520 620.8%

Streetlighting Special Revenue FundFormerly revenues (charges for service charges) and expenses (Public Works,

electric bills) of the General Fund.

Streetlighting Districts have been established to provide lighting. We propose a “separate” fund to provide for a streetlighting program and to fund program initiatives.


Streetlighting Assessments

$ 404,351 $ 475,000 70,649 17.4%


Utilities -Electricity

$ 400,000 $ 475,000 75,000 18.9%

Enhanced 911 Special Revenue Fund

Revenues are derived principally from surcharges on phone (wired and cellular) services at $1.50 per month.

The City has a contract with ChattComm to provide emergency call services.


E911 Charges $ 938,333 $ 720,000 $<218,333> -23.3%

Transfer In – Gen Fund 0 305,500 305,500 n/a

Totals $ 938,333 $ 1,025,500 $ 87,167 9.3%


Payments to Provider $ 938,333 $ 1,025,500 $ 87,167 9.3%

Special Tax District #1 Special Revenue Fund

Revenues are derived from (1) property taxes on taxable property in the district and (2) allocation (12.65%) of funds advanced by a principal tax-exempt property owner in the district. A special millage rate supports operations.

Police (five officers) and inspection services are provided in the district.


Property Taxes $ 0 $ 397,809 $ 397,809 n/a

Defrayment of Cost 0 55,644 55,644 n/a

Totals $ 0 $ 453,453 $ 453,453 n/a


District Services $ 0 $ 453,453 $ 453,453 n/a

Hotel Motel Special Revenue FundRevenues are derived from monthly excise tax on the occupants of hotels and

motels in the City. The current rate is 5% of the cost of lodging

At the 5% rate, 60% of the proceed are available (transferred) to the General Fund for “unrestricted” purposes. The balance or 40% must promote tourism geared to occupying the hotels and motels which are subject to the tax..


Hotel Motel Taxes $ 1,800,000

$ 1,800,000 $ 0

0.0%


$ 720,000

$ 720,000 $ 0 0.0%

Transfer to General Fund 1,080,000 1,080,000 0 0.0%

Totals $ 1,800,000

$ 1,800,000

$ 0 n/a

HOST Special Revenue FundRevenues are derived distribution of sales taxes by the State in accordance with the O.C.G.A. 48-8-104(d)(2). DeKalb County determines the “tax relief” to be provided by the tax (no less than 80%) to residents (homesteads). It then “balances or reconciles” the cost of providing County services to the cities versus unincorporated county residents. Utilizing the ratio of County to City “net” homestead digest and differences in applicable millage rates, it distributes the sales tax proceeds in six equal payments. Any funds then remaining, are distributed based on the “gross” (overall) digest of the cities and the County.

In 2015, the ratios changed and the cost of services provided to unincorporated residents “increased” and thus the difference in unincorporated and city (i.e. Brookhaven) millage rates “decreased”. As a result, the City expects to receive about $1.5 million less (budgeted $6.3 million) than anticipated for 2015 HOST.

HOST Special Revenue Fund


HOST Taxes $ 6,300,000

$ 4,850,000

$ -1,450,000

-23.0%


Cap Projects – Public Safety $ 115,000

$ 250,000

$ 135,000

117.4%

Cap Projects – Pubic Works 3,124,000 2,000,000 -1,124,000 -36.0%

Cap Projects – Parks & Recreation 3,061,000 2,600,000 -461,000 -15.1%

Capital Outlay $ 6,300,000

$ 4,850,000

$ -1,450,000

-23.0%

HOST Special Revenue Fund

Parks and Recreation

Shade Structure/Ashford Park Playground $ 30,000

Briarwood Park Bridge 70,000

Parks Master Plan/Stakeholders 500,000

Balance of Parks projects/initiatives 2,000,000

Capital Outlay $ 2,600,000

Debt Service FundRevenues are derived from transfer-in from applicable General Fund departments

(Finance and Police) to provide for payment of principal and interest on various capital leases.


Transfer In – General Fund $ 791,792

$ 816,036 $ 24,244 3.1%


Technology Equipment $ 211,500

$ 211,482 $ -18 0.0%

Police Cars (57) 541,487 539,777 -1,710 -0.3%

Police Radios 38,985 38,985 0 0.0%

Police Cars (3) 0 25,792 25,792 n/a

Totals $ 791,792 $ 816,036

$ 24,244 3.1%

Stormwater Utility FundRevenues are derived principally from residential and commercial assessments

based on Equivalent Runoff Units (ERU). The average impervious area of single family is considered 1 ERU. Fees are base on the cost per ERU, with commercial properties paying for multiple ERU’s.

The funds are used to maintain and construct stormwater and rain run-off devices in the City.


Stormwater Fees $ 2,307,447 $ 1,775,000 $<532,447> -23.1%

Reserves 0 856,589 <324,122> n/a

Totals $ 2,307,447 $ 2,631,589 $ <324,142> -14.0%


Expenses & Acquisitions

$ 2,307,447 $ 2,631,589 $ <324,142> -14.0%

Documents

2016 Proposed Budget Presentations 11-17-2015 DRAFT