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HomeMy WebLinkAboutCommission-Memo-FY14-Appropriation-Resolution-Supplement (2).pdf Commission Memorandum REPORT TO: Honorable Mayor and City Commission FROM: Anna Rosenberry, Administrative Services Director Chris Kukulski, City Manager SUBJECT: Supplement information to FY14 Final Budget Hearing, Appropriation Resolution No. 4449 MEETING DATE: July 1, 2013 AGENDA ITEM TYPE: Public Hearing RECOMMENDATION: Include this summarized information in your consideration of adoption of Resolution No. 4449. BACKGROUND: General Fund/Planning Fund In the FY14 Budget Development process, between the 1st round of Department Budget Requests in early spring and the CM Recommended Budget in May, we trimmed approximately $950,000 in requested items. Since presentation of the City Manager’s Recommended Budget, numerous Commissioners have asked for recommendations for further cuts to the spending level for FY14. If the Commissioners were looking to decrease appropriations in order to decrease taxing levels, the following ideas are recommended, in order of most preferred reduction on top: No. Dept. Item Amount Note: Estimated Mill Value 1 Fire Thermal Imaging Camera $9,100 Already Included in the Ladder Truck Equipment budget. 0.11 2 Planning Planning Records Transfer Projects $35,000 Funding not needed. Recently completed by current staff. 0.41 3 Admin Services Human Resource Software improvements $20,000 Delay the Employee Self Service and Applicant Tracking modules until next year. 0.24 4 Library Job Training FTE cut to 0.5 FTE (1040 Hours) $23,220 This position could be scaled around class offerings. 0.27 5 Attorney Outside Counsel – $50,000 Reduced from a total of 0.59 Recovering a portion of the City’s settlement with the MMIA $100,000 in the CM Rec budget. 6 Admin Services Electronic Business License Records $6,000 Continue to keep the records in paper form. 0.07 7 Economic Development Marketing Collaborative Efforts $25,000 This was the third priority identified by the Economic Development Committee. The first two (FTE, Sector Development) are included in the CM Rec budget as well. 0.29 8 Parks Park Improvement Grants $25,000 Reduce the General Fund contribution from $75,000 to $50,000 this year. 0.29 $193,320 2.28 mills Personnel: Positions proposed to be added for FY14 is listed below, along with the estimated mill value required to fund the position. The positions are listed in the order of most-preferred for funding at the top. Splash Park/New Pool: Commissioners have discussed whether a Splash Park aquatic feature is needed in Bozeman. If the Commission is not satisfied with this item as a priority, we recommend that the budget amount recommended for the Splash Park be re-allocated and added to the current $125,000 set aside for New Pool design (increasing to a total of $450,000 for New Pool Design in FY14). Current Item: Amount Recommended Alternative: Amount Splash Park (design and construction) $325,000 Add to New Pool Design budget and begin design work in the Fall of 2013. (CM Rec Budget was to begin design in the spring 2014 and delay some of the design costs into FY15.) $325,000 Proposed Positions to be Added for FY14 – General Fund Number of Full-Time Equivalent Positions Est. Mill Value Battalion Chiefs 2.0 FTE 2.27 Park & Trail Bond Project Coordinator 1.0 0.68 City Manager’s Office Support Position 1.0 0.68 Economic Development Specialist 1.0 0.82 Library - Sunday Summers 0.25 0.09 Library - 12hrs of Librarian I 0.30 0.12 Library - Computer Training Center/Job Training 1.0 (could be part-time, see above) 0.54 Net Change 6.55 FTE 5.20 mills Street Maintenance Fund and Assessments The City Manager’s (CM) Recommended Budget includes a proposed assessment increase for FY14, totaling 11%.  2% increase in our Reserve for Curbs.  6% increase to establish a Reconstruction Reserve.  3% operating cost increase. Each 1% increase in the assessment is estimated to bring in an additional $24,200 in FY14. We do not recommend decreasing the amount of dollars for our Curb and Reconstruction Reserves (2% and 6%). The remaining assessment increase for Operations totals 3%, or an additional $72,600 in FY14. The operating increase was sought so that we could increase levels of service for snow plowing and signs/pavement markings (Street Worker FTE), improve median maintenance around town, improve sidewalk connectivity and safety, and improve bike lane identification and safety. The increased costs below are being off-set by roughly $80,000 in reductions in other line-items (repair & maintenance of equipment/buildings, overtime, contracted services.) Dept. Item FY14 Amount Note: Estimated Equivalent Assessment Increase Streets/Signs 1.0 FTE Street Worker, entry level $54,000 New position, at new entry wage. 2.2% Streets Median Maintenance $20,000 increase This amount was increased from $25,000 to $45,000 in FY13. 0.8% Streets High Hazard Sidewalk Inventory/Repair $38,000 New program proposed this year. 1.5% Streets Defer Truck Replacement $26,000 Delaying this purchase so that the truck can be purchased next year. (The CM Rec budget only included one of the two CIP scheduled vehicles.) 1.1% Streets Bike Lane Improvements $24,100 increase Total of $49,100; increased from last year’s amount of $25,000. 1.0% TOTAL $162,100 6.6% FISCAL EFFECTS: Depending on the items that are reduced or added to the Appropriation Resolution, Property Taxes and Street Maintenance Assessments could be affected, as described above. The Final Budget adoption has far-reaching fiscal effects, which are describe in the CM Recommended Budget, in the numerous materials prepared for budget work sessions, and in the information above. Report compiled on: June 28, 2013