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Home My WebLink AboutFiscal Year 2015 Approved Budget, City of Bozeman Approved B For Fiscal Year 2015 07/01/2014 City of Bozeman, Montana Air OFF IOW 020 zsirgishiiiic I le Pn 4 4 milmir ib * O0io. 41 .•*• we,eller 4 likoo II eie N 0 slfr e Ait,fr •..., . \ 0 A 1 1 W • 0 111010 :714N • ii, 0 : o NI-Illy o o • * 0 iiiim,_OW / 41_ 11111 14.1 * 111 NI 0 • - - :C', '. - _ 011y Lill 1741 r; 0 ' - L''- - - • 9 . - - ,,,i!._ - ,, ,, 441...... h. ovis r - - — - o 0 Ilk 7 • _______,.• _ mu rail w— — __ _ e, ,i,,, t„ • - - — — _ _---_. _ — • • \ j '.. 1883 ,,e« Nik Ir At. °lie •• • 0•..diLrE 0 11 CO. 111 r'ar Al CITY OF BOZEMAN, MONTANA FISCAL YEAR 2014-2015 APPROVED OPERATING AND CAPITAL IMPROVEMENT BUDGET CITY COMMISSION Jeff Krauss— Mayor Carson Taylor— Deputy Mayor Cynthia Andrus—Commissioner Chris Mehl—Commissioner I-Ho Pomeroy- Commissioner CITY MANAGER Chris Kukulski - City Manager CITY STAFF Anna Rosenberry, CPA—Administrative Services Director Stacy Ulmen—City Clerk City of Bozeman 3 FY15 Approved Budget CITIZEN REVIEW AND PARTICIPATION The City encourages open and transparent government—and offers multiple ways to access this document in an effort to better inform city residents and property owners. ■ This document is available on the City of Bozeman's website at www.bozeman.net, and ■ It is also available for review in the office of the Clerk of Commission of the City of Bozeman during regular business hours (8 a.m. to 5 p.m. Monday through Friday) at 121 N. Rouse, Bozeman, Montana, and ■ It is available for review at the Bozeman Public Library in hard-copy form or via a library computer, and ■ Copies may be purchased from the Finance Department, 121 N. Rouse, Bozeman, Montana for $50. The public is strongly encouraged to attend all work sessions and public hearings held prior to final adoption of the budget. Notices for these meetings are published in the legal advertisements of the Bozeman Daily Chronicle newspaper, and Notices are also posted on the City's website at www.bozeman.net. ■ Public Meetings of the City Commission are broadcast live on local- cable Channel 20. Meetings are also re-broadcast throughout the week. ■ Public Meetings are streamed live on the City's website at www.bozeman.net. City of Bozeman 4 FY15 Approved Budget DISTINGUISHED BUDGET PRESENTATION AWARD The Government Finance Officers Association of the United States and Canada (GFOA) presented an award of Distinguished Budget Presentation to the City of Bozeman for its annual budget for the fiscal year beginning July 1, 2013. The City has received this award for each budget it has prepared in the past 23 years. In order to receive this award, a governmental unit must publish a budget document that meets program criteria as a policy document, as an operations guide, as a financial plan and as a communications device. This award is valid for a period of one year only. We believe our current budget continues to conform to program requirements, and we are submitting it to GFOA to determine its eligibility for another award. GOVERNMENT FINANCE OFFICERS ASSOCIATION Distinguished Budget Presentation Award PRESENTED TO City of Bozeman For the Fiscal Year Beginning July 1,2013 Executive L}¢uIm Distinguished Budget Presentation Award 1 City of Bozeman 5 FY15 Approved Budget Contents CITIZEN REVIEW & PARTICIPATION 4 DISTINGUISHED BUDGET PRESENTATION AWARD 5 CITY MANAGER'S BUDGET MESSAGE 9 COMMUNITY, DEMOGRAPHIC, &STATISTICAL INFORMATION 23 POPULATION 24 CORE VALUES 27 VISION, MISSION, AND GOALS 28 ADOPTED WORK PLAN FOR 2013-2014 29 PLANNING PROCESSES 30 FINANCIAL POLICIES 31 BUDGET DEVELOPMENT&ADMINISTRATION 31 REVENUE COLLECTION 32 EXPENDITURES AND PAYMENTS 33 DEBT ADMINISTRATION 35 RESERVES AND FUND BALANCES 36 FINANCIAL REPORTING &ACCOUNTING 37 FINANCIAL STRUCTURE 39 THE BUDGET PROCESS 43 CITY ORGANIZATIONAL CHART 48 FINANCIAL SUMMARY 49 CHANGES IN FUND BALANCE/WORKING CAPITAL 50 MILL LEVIES & MILL VALUES 52 APPROPRIATIONS BY TYPE 54 APPROPRIATIONS BY FUND 55 REVENUES BY SOURCE 56 LEGAL DEBT LIMIT& BOND RATINGS 57 City of Bozeman 6 FY15 Approved Budget REVENUE DETAILS- FY15 59 REVENUE TRENDS &ANALYSIS 61 EXPENDITURE DETAILS- FY15 67 EXPENDITURE TRENDS&ANALYSIS 69 FUND BALANCES/WORKING CAPITAL TRENDS&ANALYSIS 76 REVENUE & EXPENDITURE DETAILS FOR EACH FUND 81 LOCAL ECONOMIC OUTLOOK & CITY LONG RANGE FINANCIAL PLANS 99 CITY COMMISSION 101 CITY MANAGER 104 MUNICIPAL COURT 108 CITY ATTORNEY 111 ADMINISTRATIVE SERVICES 114 COMMUNITY DEVELOPMENT 119 FACILITIES MANAGEMENT 122 POLICE 125 FIRE 132 BUILDING INSPECTION 137 PARKING 140 PUBLIC WORKS ADMINISTRATION 143 STREETS 148 WATER TREATMENT PLANT 153 WATER OPERATIONS 157 WASTEWATER OPERATIONS 161 WATER RECLAMATION FACILITY (WASTEWATER PLANT) 164 STORMWATER 168 SOLID WASTE COLLECTION & RECYCLING 171 SOLID WASTE DISPOSAL 174 VEHICLE MAINTENANCE 176 City of Bozeman 7 FY15 Approved Budget CEMETERY 179 PARKS 183 FORESTRY 188 LIBRARY 192 RECREATION 195 COMMUNITY SERVICES 200 NON-DEPARTMENTAL 205 GENERAL OBLIGATION (G.O.) BONDS DEBT SERVICE 208 SPECIAL IMPROVEMENT DISTRICT(SID) REVOLVING FUND 211 SPECIAL DISTRICT DEBT 214 APPENDIX 217 CAPITAL EXPENDITURES SUMMARY 218 WATER &WASTEWATER RATE INCREASES 222 US CONSUMER PRICE INDEX 223 LIBRARY G.O. BOND#1 SCHEDULE 224 LIBRARY G.O. BOND#2 SCHEDULE 225 TAX INCREMENT URBAN RENEWAL REVENUE BOND SCHEDULE 226 TRAILS, OPEN SPACE & PARKS BOND SCHEDULE 228 REFERENCE TABLE 229 STAFFING SUMMARY 231 GLOSSARY OF I<EY TERMS 232 City of Bozeman 8 FY15 Approved Budget CITY MANAGER'S BUDGET MESSAGE June 24th, 2014 Bozeman City Commission: I am pleased to present the Approved Budget for Fiscal Year 2014-2015 (FY15), effective July 1, 2014. This year, creation of the budget recommendation has been influenced by a handful of recent events that have financial impacts for the City. First and foremost, significant development and construction activities are once again growing the number of families, workers, and businesses within the City. This growth drives increasing workloads in Community Development, Engineering, and Building Inspection, Water/Sewer Operations (water and sewer service lines), Information Technology and GIS Divisions, Street Maintenance, and utility clerks, as we bring these new properties on-line with City services. Fiscal Year 2015 marks the third and final payment the City owes to the Montana Municipal Interlocal Authority (MMIA) for the Delaney judgment. And, we continue to work to fulfill our obligations as a "good neighbor" at the Story Mill Landfill. Striking the right balance between the financial plans and funding these three items alone has been a challenging task. We also look ahead with excitement about what will be accomplished with the Trails Open Space and Parks (TOPs) bond funds and are hopeful about our plans for voter-approval of a new Police and Court facility this fall. All-in-all, this is the first year our City's budget has exceeded the $100 Million dollar mark; budgeted expenditures across all funds total over $108 Million. Commission Goals and the Approved Budget The City Commission recently updated its priorities for the coming months. Below we have described the priorities and how this Approved Budget seeks to address them: 2014 - 2015 Adopted Priorities 1. Story Mill Landfill Project In October of 2012,the City, as part of ongoing monitoring efforts, detected volatile organic compounds (VOC's) in the soil at the Story Mill landfill. A loan to the City for$2.135 million has been approved by the State Revolving Loan Fund in order to identify and put in place a system to limit the migration of VOCs off the landfill.The program provided a 20-year loan at 3%annual interest,secured by the City's Stormwater Fund. Approved Budget: The budget includes $1.7 City of Bozeman 9 FY15 Approved Budget million for engineering and construction of the system. Also, a tax levy dedication of 1.57 mills ($140,000)for repayment of the loan is included in this budget. During 2013,the city installed numerous mitigation systems in homes near the landfill. Subsequent testing has shown these systems to be effective. The city continues to address claims filed by property owners in this matter. At this time, insurance coverage is uncertain; however, based on the claims as presented, we believe the city's insurers will be required to provide a defense and coverage. Approved Budget: This budget includes spending$525,000 with an anticipated reimbursement of FY14 and FY15 defense costs of$646,000. To date, our investigation, mitigation, and other costs have been paid from the Post-Closure Mitigation and Monitoring fund. The sale of the North Park industrial property in the coming months could replenish this fund and assist in future legal, project, and ongoing monitoring costs. Without reimbursement of defense costs or the Sale of North Park,the Post Closure Mitigation and Monitoring fund will have a negative balance of approximately($400,000) by the end of FY15. At this time,we have not included any projected budget amounts related to the Sale of North Park. However, at final budget time,there may be more information concerning the likelihood of sale. 2. Police & Municipal Courts Building This spring we have been working to complete the land exchange with the Montana Department of Transportation (MDOT) and finish developmental design of this critical building. Previous budgets have approved $1.75 Million for these steps. In November 2014, we will be asking the voters to approve approximately$22 Million in General Obligation bonds plus an operations levy to build the facility and operate into the future.Approved Budget: The budget includes$28,400 in election costs,which will cover the amount necessary for the bond election this fall. The budget assumes voter approval and includes$22 Million in bond revenues and construction expenditures for this project. (Any authorized tax levies would begin in the next budget year, FY16.) 3. Transportation System The City's network of streets, sidewalks, and intersections continues to be a significant concern. In the developing areas of the City, expansion and completion of the system is a hurdle; in the older areas of town, reconstruction and replacement are our pressing tasks. In either case,the financial resources that we have available are not sufficient—and are a mixed bag of numerous different taxes, assessments, and fees. Bringing all of this together into an integrated, efficient system of maintenance and construction is a considerable challenge. City of Bozeman 10 FY15 Approved Budget Approved Budget contains: Expiration of the 1995 G.O.Transportation Bond debt service: When originally approved, voters paid over 14 mills/year. As the community grew,the annual payment decreased to 5 mills. The last principal and interest payment on this bond was completed in fiscal year 2014. Going forward,there will be no tax levy for this bond. New! Proposed Street Local Share Tax Levy: With the expiration of the 1995 G.O. Transportation bond, we have included from our general tax authority(within our existing levy cap) 5 mills-$445,000 for the local portion of street intersections. This will net with the reduced bond levy and appear as"no change"to the property tax payer. From this money, we have budgeted to spend $300,000 for the local share of the intersection control at Baxter & Davis Lane. Future intersections were included in the Capital Improvements Plan and include: Main & Broadway, Ferguson & Durston, and Ferguson and Babcock. Street Reconstruction: $50,000 dedicated to spot repair of street curbs, and $650,000 for street and curb replacement projects. We anticipate that this project will be an SID/Street Maintenance combination, similar to Story Street. The specific project will be identified based on the pavement condition assessment. Street Impact Fees: $100,000 for right of way acquisition, $200,000 for the expansion of Cottonwood (Babcock to Oak St.), $125,000 to update the Transportation Plan, $100,000 for the expansion of Ferguson (Baxter to Oak St.), $275,000 for the expansion of South 11th Ave (Opportunity to Arnold St.), and $450,000 for intersection control at Baxter& Davis Lane. Increase in Street Maintenance Assessments of 10%for a general revenue increase of $300,000, including adding$200,000/year for pavement maintenance (chip seals, overlay, patching.) 4. Trails & Open Space Bond In November 2012, city voters approved $15 Million in General Obligation bonds to fund Trail, Open Space, and Park (TOP) projects. In December 2013, we issued $9.9M of those bonds. Since that time, nearly$14 Million has been allocated to specific projects through a TOP application process. We will be working over the coming months to complete land acquisition and project construction. Approved Budget: We anticipate issuing the remaining$5.1 Million bonds in FY15 to complete the funding of approved projects. We also have budgeted to expend the full $15 Million by the end of the fiscal year. The tax levy for FY15 includes the debt service owing on $9.9 Million. (Debt service owing on the addition $5.1 Million will be added to the tax rolls in FY16.) City of Bozeman 11 FY15 Approved Budget 5. Storm water Utility In 2012 the city created its Storm Water Utility. During the last two years, we have been working to identify assessment methodologies, infrastructure locations and conditions, and develop a funding plan for future storm water improvements. Recently, the Commission heard the Public Works Department's recommendation for funding operations and storm water improvements. This recommendation included changing our current "meter-sized" assessment method to a more equitable "impervious surface" method. Approved Budget: This budget includes increasing the Storm water Program to our"bronze level"funding of$1.2 Million annually, beginning mid-year, once an impervious surface assessment method can be adopted. From July—December,we will be funding our current"basic program" and developing the impervious surface data layer. 6. Family Aquatics Center Previous studies have identified the limited life-span of Bogert pool,the city's only public outdoor swimming pool. The FY14 budget contained $125,000 to begin the design of a replacement for Bogert Pool. The Commission also set aside, in reserve, $225,000 for additional design work. Approved Budget:This budget appropriates the $225,000 from reserves for expenditure in FY15, so that a voter-approved bond measure could be considered in the future. Significant changes during the past 12 months Continued Growth in Construction Sector. Our Building Inspection division has seen strong permit issuance over the past 12 months. Building Permit Construction Value $135,166,203 $160,000,000 $140,000,000 $120,000,000 $100,000,000 $80,000,000 $60,448,978 $60,000,000 $40,000,000 $20,000,000 $- FY-Thru FY-Thru FY-Thru FY-Thru FY-Thru April 2010 April 2011 April 2012 April 2013 April 2014 Building Permit Construction Value Chart 1 While never completely stopping, building construction significantly slowed during the recession. For the current fiscal year to date (July-April),the total value of Building Permits for New Construction is City of Bozeman 12 FY15 Approved Budget 136%of the same time frame during the previous year. We have added building inspection staff and outside contracts mid-year to keep up workload demands. Increased Citizen Participation with Online City Hall Budget Forum. Online City Hall is a new interactive tool for citizens to provide feedback to the City on a variety of topics. The forum was installed this past year as a way to utilize social media features to "welcome citizen involvement",furthering our core value of Teamwork. We specifically asked for citizens to rank responses to: "How would you prioritize the City Manager's recommended budget?" Approximately 130 people viewed the forum, with 40 making priority lists. This equates to roughly 2 hours of public comment, if it were to have been made during a public meeting. Considering that we rarely have more than 3-5 people commenting at a budget hearing, the forum provided significantly more input on the budget than we have received during past years. Forum responders were asked to rank the following six priorities. The average priorities, in order,were: 1. Transportation System Upgrades 2. Economic Development 3. Emphasis on Cleaning and Improving our Storm Water System 4. Police/Municipal Courts Building 5. Improve Technology 6. Sustainability and Reduction of Green-House Gas Emissions 7. Family Aquatics Center Energy Saving Projects. The FY14 budget funded an in-depth audit of City buildings and facilities for potential energy savings. The firm McKinstry was selected as the energy performance contractor for this assessment. They have very recently delivered a preliminary report that outlines a number of energy-saving projects and identifies estimated "payback" periods, where energy savings will cover the costs of the improvements. They also expect to issue another report in the fall that will add projects to the analysis that couldn't be considered due to time constraints this spring. The budget contains over$516,000 in funding for the following projects, based on McKinstry's reports: 1. Street Lighting LED retro-fit Project ($226,000) 2. Parking Garage LED Lighting Project (up to $200,000) 3. Senior Center Facility and Hot Water System Project ($22,000) 4. Water Reclamation Facility Lighting Project ($18,000) Last Year for MMIA Settlement payments. In December 2009,the Montana Supreme Court ruled against the City in our appeal of Delaney v. City of Bozeman. At issue was the City's purchase of the Mandeville Farm property in 2003. Delaney was awarded $3 Million. The City and MMIA sought judicial determination on the amounts owed by each party. In April 2012, a District Court in Helena determined that the City owed the full amount. The City filed an appeal with the Montana Supreme Court. Prior to a determination by the Court, the City and MMIA settled the case. Under the terms of the settlement,the City needed to pay the MMIA a total of$2 Million. FY15 marks the third City of Bozeman 13 FY15 Approved Budget and final payment of approximately$675,000 to the MMIA. City Voters do not approve Study Commission in June 2014. The Recommended Budget included revenues and expenditures related to the potential voter-approval of a Local Government Study Commission. On June 3rd, city voters opted not to approve the measure. As a result,the program is not included in this Approved Budget. Gallatin College received voter support. On November 4th, 2013, Gallatin County voters passed a modest property tax increase to support and expand job-training and two-year education at Gallatin College.The 1.5 mill levy will cost a median home owner$4.15/year, raising$370,000/year to support the College.This levy also fulfills a requirement set by the Montana Board of Regents in 2010 when the board approved putting the MSU-Bozeman campus in charge of the two-year program. As result of voter approval,the City is no longer budgeting 1.5 mills out of our all purpose levy/general fund this year. 2013 Bond Rating held at Aa3. Moody's Investors Service assigned an Aa3 rating to the City of Bozeman's General Obligation Bonds, Series 2013, expected to be issued in the amount of$9.9 million. As of November 22, 2013, Moody's affirmed the Aa3 rating on the city's previously issued general obligation debt totaling$13.36 million.The current offering is secured by the city's full faith, credit, and unlimited property tax pledge. Moody's identified strengths for the city as: 1) Bozeman's moderately sized tax base that did not decline during the recession; 2) our recent wealth measures from the American Community Survey indicate a solid improvement in wealth; 3) Montana State University provides a stable employer base and institutional presence, and 4) Low debt burden. They saw the City's Challenges as: 1) our draw down of reserve levels due to one-time litigation payouts (MMIA Settlement) and 2) our moderate taxpayer concentration risk(the top ten taxpayers comprise approximately 10%of our tax base.) Moody's stated that our bond rating would move down if there were: 1) protracted decline in the city's taxable valuation, or 2) a sustained trend of deteriorated financial operations. They stated that our bond rating would move up if there were: 1) significant improvement in the city's financial position from current year(FY14) levels, or 2) continued growth in the city's full valuation combined with solid expansion of local economy. We expect our next rating to occur in November 2014 for the issuance of the next Trails, Open Space and Parks bond series. 2013 Refinance of Water &Wastewater System Loans Saves over $3 Million. The City has outstanding loans with the Montana Department of Natural Resources and Conservation (DNRC)to finance the construction of the Water Plant and the Water Reclamation Facility. In August 2013,the DNRC approved, and the City adopted, an interest rate reduction from 3.75%to 3.00%.The decrease will save the Water Fund an average of$83,535 per year,totaling$1,670,694 over the remaining life of the loan. The decrease will save the Wastewater Fund an average of$99,047 per year,totaling$1,782,853 over the remaining life of the loan. City of Bozeman 14 FY15 Approved Budget Staffing Level Changes General Fund (& Community Development) Positions Approved FY15 staffing for the General Fund and the Community Development fund includes adding the following positions. We include Community Development with the General Fund because of its regular reliance on the General Fund for financial support. One Full-Time Equivalent (FTE) customarily works 2080 hours per year. Fund Position I Full-Time Equivalent General Fund GIS Analyst 1.00 General Fund Legal Assistant I 0.50 General Fund Library- Library Assistant- 12/wk 0.30 General Fund IT Help Desk- Public Safety—full time to start 0.50 1/1/2015 General Fund Billing Clerk III -full time to start 10/1/2014 0.75 Community Development Historic Preservation Officer - reduced hours (0.40) Fund Community Development Neighborhood/Districts Specialist 1.00 Fund _ Total I I 3.65 Enterprise & Other Fund Positions The following positions were approved to be added in our Building, Water, Sewer, Stormwater, and Special Improvement Lighting District funds. During adoption of the Approved Budget for the Stormwater Utility, it was noted that we may make changes to the staffing plan described below, as we continue to expand the utility. Fund ' Position Full-Time Equivalent Note: Building Insp. Fund Fire Inspector 1.00 SILD Funds SILD's: Street Lighting Worker 0.50 Water & Sewer Fund Water/Sewer Operations - CSW 1.00 Storm Water Fund 2 Service Workers 1.00 Jan. 2015 Storm Water Fund Program Coordinator 1.00 Storm Water Fund Part Time Streets Sweeper 0.25 Jan. 2015 Storm Water Fund Public Works Tech 0.50 Jan. 2015 Storm Water Fund Foreman 0.50 Jan. 2015 Total Other Funds 5.75 City of Bozeman 15 FY15 Approved Budget The General Fund: The City's General Fund supports the majority of administration, public safety and public welfare operations. It's most significant source of revenue comes from local property taxes. As a result, the General Fund's operating budget and fund balance are critically important to the financial health of the city. This year's General Fund budget has $26.8 Million in expenditures, in the following areas: General Fund Department Amount Commission _ $ 166,370 City Manager 717,429 Courts 678,475 Attorney 944,842 Admin Svcs (Fin/IT/HR) 2,239,924 Facilities 1,402,319 Police 8,333,713 Fire 5,446,926 Public Services/Streets 89,062 Cemetery 431,032 Parks 1,498,418 Library 1,612,539 Recreation 1,553,687 Economic Development 322,406 Sustainability 155,659 Other 1,304,200 TOTAL Expenditures $26,897,001 City of Bozeman 16 FY15 Approved Budget FY15 Approved - General Fund Budget City Manager Sustainability 3% 1% ComU Commission Economic 1% Courts Attorney Development 3% 4% U City Manager 1% ,,t Admin Svcs U Courts Recreation +� Other `sirs (Fin/IT/HR) 6% \,` 5% 8% U Attorney \\ o Admin Svcs(Fin/IT/HR) / Library Id Facilities 6% ®Police(incl.State Ret.) Parks Facilities _ 5% U Fire(incl.State Ret.) Cemetery W Public Services/Streets 2% —.Maw U Cemetery Public Fire(incl.Sta e Ret.) _J Parks Services/Streets 20% Police(incl.State 0% Ret.) Y�Library 31% Li Recreation LI Economic Development u Sustainability u Non-Departmental FY15 Approved-General Fund Budget 1 As shown in the above graph, Police and Fire services combined comprise 51% ($13.7 Million) of the General Fund's spending. The next largest departments are grouped together, each spending roughly $1.5-$2.5 Million and each comprising 5-8%of the budget: Administrative Services, Recreation, Library, Parks, and Facilities Maintenance. Nine other departments/areas comprise the balance of General Fund Expenditures. General Fund Undesignated Fund Balance: The City's charter requires an established minimum level of General Fund Undesignated Fund Balance, in accordance with the Government Finance Officers'Association (GFOA) Best Practices. GFOA's Best Practice Recommendation was adopted and our required minimum reserve balance is 16 2/3%of budgeted revenues. As discussed in more detail on page 75, this budget meets the required minimum reserve of approximately$4,700,000 (17.9%) at the end of Fiscal Year 2015. City of Bozeman 17 FY15 Approved Budget Additional Debt: As discussed previously,the voters approved the issuance of up to $15 Million in General Obligation bonds for the purposes of parks,trails, and open space projects. We issued $9.9 Million in FY14 and expect to issue the remaining$5.1 Million in FY15. If voters authorize, we will issue up to $22 Million in General Obligation Bonds for the construction of a Police & Municipal Court facility in FY15. We expect to issue $2.1 Million in a Stormwater Utility revenue bond to fund the Story Mill Landfill project. This loan is backed by the Stormwater Utility and will be paid for through an allocation of the City's all-purpose tax levy. Mill Levy Comparisons: Our levy remained 7th for comparable communities in our state last year. This Approved Budget, with a total estimated levy of 187.72 Mills,would position Bozeman in 5th place if other cities made no changes to their levies this year(which is unlikely.)The table below shows the city tax levy for a number of communities in Montana. West Yellowstone and Whitefish both utilize Local Option Resort Taxes as an alternative or supplement to property taxes,which the City of Bozeman is currently prohibited from by state law. City 2010 Census FY2014 Mills Levy Rank Asa % of Populations Bozeman Levy Havre 9,310 267.04 1 154% Missoula 66,788 243.52 I 2 141% Livingston 7,044 207.62 3 120% Great Falls 58,505 198.74 4 115% Kalispell 19,927 185.10 5 107% Billings I 104,170 176.22 6 102% Bozeman 37,280 I 173.08 7 I 100% Belgrade 7,389 it 159.31 8 I92% Helena 28,190 155.20 9 I 90% Whitefish* 6,357 119.81 10 69% West Yellowstone* 1,271 90.71 11 52% Residential City Property Taxes for FY13, FY14, and FY15 In November 2012,the voters approved this issuance of up to$15 Million in General Obligation Bonds under for the purpose of expanding, creating new, and improving existing parks,trails, athletic fields and natural areas. At the time of the vote,we estimated that a $15 Million bond will cost the typical household less than $45/year. We issued $9.9M of that debt this past December, and will be adding a levy of 8.02 mills($29.75/yr for the median residence)this year. City of Bozeman 18 FY15 Approved Budget In total,the Approved Budget will levy 187.72 mills on all taxable property within the City limits. This represents an increase of 14.64 mills over last year; approximately$55.78/year increase in property taxes. This increased levy is attributable to numerous issues, including: 1. Addition of the TOP Bond debt service levy of 8.02 mills. 2. Addition of mill levy for our Story Mill Landfill Loan of 1.57 mills 3. Addition to our Workforce Housing levy from 0.5 mills to 1.0 mills. 4. Expiration of the Transportation GO Bond Levy of 5.19 mills. 5. Approximately $275,000 in General Fund dollars not budgeted (under our statutory cap), amounting to a reduction of 3.11 mills this year. Last year, $1.3 Million was used to reduce our tax levy. This amounted to a 14.85 mill reduction in taxes last year. The difference, roughly 11.74 mills, will be levied against property owners this year. Assessed FY15 Taxable FY13 City Tax FY14 City Tax FY15 Market Value— Value Levy= 166.75 Levy= 173.08 Estimated after homestead mill mills City Tax Levy exemption = 187.72 mills Median Home— $3,600 ' $634 $659 $675 $146,000 $200,000 $4,9401 $852 $884 $927 $300,000 $7,4101 $1,2771 $1,326 $1,391 *Restated for FY15 reported "Median Home"value& homestead exemption The median home "assessed market value" represents the value on the tax roll for a home within the Bozeman city limits. This is the value of the property after the "homestead exemption" is applied. Median simply means that half of the homes in the city have a higher value and half have a lower value. Each year the Median Home value changes slightly. For the coming tax year,the median residential property will have a taxable market value of$146,000.The median home will pay$3.60 in City property taxes for every mill levied in Fiscal Year 2015. Residents living in the median home will pay an estimated $675 in annual property taxes to the City. General Taxes - Cost per Mill For FY14,we estimated a 2.0% increase in the city's value of taxable property. Actual taxable values, upon certification in August, showed a 2.9% increase over the previous year. For FY15, due to continued strong subdivision and building permit issuance,we are estimating a 4.0%increase in taxable values. Taxable values for the City have had an average increase of 2.9% per year for the past 5 years, and 5.7% per year over the past 10 years. Citywide Street and Tree Maintenance Assessments City property owners pay annual street and tree assessments based on the square footage of the lot they own. These assessments are the major funding for Street Maintenance and Forestry Divisions. With the Commission's focused goal of addressing deferred maintenance,we have been undertaking a 3 year increase to the Street Maintenance Assessment. The approved budget is based on a 10% increase City of Bozeman 19 FY15 Approved Budget in the Street assessment, resulting in an annual assessment of$133.79 for the average sized lot. This increase is a result of the following: Increase in Other Operating needs, including adding $200,000 for increased pavement projects. (10%, —$300,000 annual increase) The Tree Maintenance District is in need of a 2% increase for base operating needs. There was no increase to this assessment in the past three fiscal years. Combined,the annual increase in special assessments over the previous year is$12.51 for owners of an averaged sized lot in the city. Lot Size FY13 Approved FY14 Approved FY15 Approved 8.7% Streets & 0% 6.9% Streets & 0% 10% Streets &2% Trees Trees Trees Small= 5,000 sq ft. Streets -$75.82 Streets-$81.07 Streets-$89.18 Trees-$11.24 Trees - $11.24 Trees -$11.47 Average = 7,500 sq ft. Streets -$113.78 Streets-$121.63 _ Streets-$133.79 Trees-$16.86 Trees -$16.86 Trees -$17.21 Large = 10,000 sq ft. Streets -$151.70 Streets-$162.17 Streets-$178.39 Trees -$22.50 I Trees - $22.50 Trees - $22.95 Water, Sewer, and Stormwater Utility Rates Water & Sewer: City property owners are by and large required to utilize the City's water and sewer treatment systems. The adopted facility plans outline large capital projects that will need to be funded in the coming years. In the spring of 2013,with the near completion of the Water Treatment Plant construction, we updated our 5 year study of both Water and Sewer Rates. We presented this detailed analysis to the Commission during the spring for decision making on rate changes effective September 1, 2013. The Commission chose to increase rates for Wastewater(sewer) service, but to hold water rates flat for the next two years. As with the street system, we developed a recommendation that aggressively addressed the issue of deferred pipe maintenance. Our recommendation also included adding staff positions that were deferred when building activity slowed down. Stormwater: The Stormwater rates were instituted in FY13, with a 4%increase adopted for FY14. When originally adopted,we developed a very meager, "start-up" budget that would serve to pay for initial investigation of the system so that we could build a better program and assessment strategy. Mid-year, during FY15,we expect a significant change in the Stormwater budget and customer rate structure.The current Stormwater Utility rate will remain in effect through the end of the 2014 calendar year. During final budget discussions, the Commission adopted the "Bronze Level of Service" model to be implemented in January 2015. The new model allocates $1.2 million in annual funding to support 5.5 FTE staff(only 3.25 FTE's in the first year, due to the timing of hire),with deferred maintenance and City of Bozeman 20 FY15 Approved Budget system enhancements made over a 15 year period. There was discussion about how staff might be allocated, with an eye to maximize system maintenance to achieve nearly the Silver Level. Final decisions on the exact positions hired will be made as the program is refined this fall. We expect rates to increase on January 2015 from $1.75 to an estimated $5 per month for residential customers. Commercial rate increases will vary. In Total: For FY15, a residential customer utilizing 10 hundred cubic feet (HCF) of water each month will see an estimated combined monthly increase for these services of$1.37/month, during July through December. From January to June,the monthly increase would grow an additional $3.25/month for the Stormwater rate increase. Average Adopted Adopted Approved Approved Residential FY13 Monthly Bill FY14 Monthly Bill FY15 Monthly Bill FY15 Monthly Bill Customer 4.5%Increase Water 0%Increase Water July 2014-Dec. 2014 Jan. 2015-June 2015 6%Increase Sewer 3%Increase Sewer 0%Increase Water 0%Increase Water 4%Incr Storm Water 3%Increase Sewer 3%Increase Sewer 0%Stormwater 285%Stormwater Water I $40.15 per month $40.15 per month $40.15 per month $40.15 per month Sewer $44.04 per month $45.36 per month $46.73 per month $46.73 per month Stormwater $ 1.67 per month $ 1.75 per month $ 1.75 per month $ 5.00 per month Total I $85.86 per month I $87.26 per month $88.63 per month $91.88 per month Capital Improvement Impact on Operating Budget The City annually prepares a Five Year Capital Improvement Plan (CIP); most recently adopted for FY15- FY19 this past winter. The items that are scheduled in that plan each spring become the starting point for budget requests at budget development time. This year, capital expenditures total over$42 Million. A complete listing of capital project is included in the Appendix to this budget document. The five largest capital total over$35 Million. They are described below. A complete list of Capital Improvement Projects and descriptions can be found at: www.bozeman.net/Business/Budgets-and-Financials. IPro'ect Amount 0.eratin Bud et Effects Police & Municipal $22 Million— At the time we ask voters to approve the Court Facility construction construction bonds, we plan to ask them to increase our all-purpose levy to support the added operating and staffing costs of the facility. Trails, Open Space, $10 Million This will fully budget to total expenditures for and Park projects TOP bonds. The operating budget does not include amounts to operate these facilities outside of our existing Parks staff and budgets. Landfill Gas $1.7 Million There will be continued operating costs for this Remediation System system that will either be paid from the Post Closure Monitoring and Mitigation Fund or the City's General Fund. City of Bozeman 21 FY15 Approved Budget P r cryi rlllrlESJtxaW.lilri• B• • • . Water Pipe $1.1 Million This project should reduce our annual Replacements operating costs by lowering the need for repairs and leak detection on older pipes. Water Transmission $1.0 Million This project will not increase our annual Line Slip-Lining operating costs. It will improve the reliability Repairs of this critical water line. In Conclusion We know that there are differences of opinion among our community members and citizens about how to best prioritize issues such as levels of customer service,financial position and reserves, and service delivery and expansion. We have worked hard during this past spring to develop a budget that will move our community forward—and, at the same time, continue to meet the obligations we have accrued from the past. This Approved Budget represents the thoughtful consideration of dozens of staff members and citizen advisors. We look forward to Commission and community discussions regarding its improvement and adoption. Respectfully, &eta I-akeed , City Manager 44114 RodeotfA guy,Administrative Services Director City of Bozeman 22 FY15 Approved Budget COMMUNITY, DEMOGRAPHIC, AND STATISTICAL INFORMATION The City of Bozeman is located on the eastern slope of the Rocky Mountains and is the county seat of Gallatin County, Montana. Gallatin County encompasses over 2,500 square miles, bordering Yellowstone National Park to its south. The City encompasses an area over 18 square miles with its next-closest municipality being the City of Belgrade, approximately 7 miles from our outermost boundary. Bozeman is located 143 miles west of Billings and 200 miles east of Missoula. Bozeman is the fourth largest city in the state and is the principal city of the Bozeman micropolitan area, which consists of all of Gallatin County. The City is named after John M. Bozeman,founder of the Bozeman Trail. Located in the fastest-growing county in the state, Bozeman was elected an All-American City in 2001 by the National Civic League. Bozeman residents 411111 are known as Bozeman-ites. Bozeman is home to Montana State University- Bozeman and the Fighting Bobcats.The local newspaper is the Bozeman Daily Chronicle, and the City is served by Bozeman Yellowstone International Airport at Gallatin Field. Below are a number of US Census Bureau facts for the City of Bozeman and the State of Montana. People QuickFacts Bozeman Montana Bozeman as % Source: US Census Bureau of Montana Data Population: 2012 estimate 38,695 1,005,494 3.8% Population: 2010 (April 1) estimates base I 37,285 989,417 3.8% Population: Percent change 4/01/10 to 7/01/12 3.8% 1.6% 238% Population: 2010 census 37,280 989,415 3.8% Persons under 5 years old: %2010 5.5% 6.3% 87.3% Persons under 18 years old: % 2010 15.7% 22.6% 69.5% Persons 65 years old and over: % 2010 8.1% 14.8% 54.7% Female persons: %2010 47.4% 49.8% 95.2% White persons: % 2010 (a) 93.6% 89.4% 104.7% Black persons: %2010 (a) 0.5% 0.4% 125.0% American Indian and Alaska Native persons: % 2010 1.1% 6.3% 17.5% Asian persons: % 2010 (a) 1.9% 0.6% 316.7% Native Hawaiian and Other Pacific Islander: %2010 0.1% 0.1% 100.0% Persons reporting two or more races: %2010 2.1% 2.5% 84.0% Persons of Hispanic or Latino origin: %2010 (b) 2.9% 2.9% 100.0% Living in same house 1 year and over: %2008-2012 62.2% 83.6% 74.4% Foreign born persons: %2008-2012 3.8% 2.0% 190% Language other than English spoken at home: % age 5.4% 4.6% 117% 5+ 2008-2012 High school graduates: % age 25+2008-2012 97.3% 91.9% 105.9% Bachelor's degree or higher: %age 25+2008-2012 53.3% 28.5% 187% City of Bozeman 23 FY15 Approved Budget People QuickFacts Bozeman Montana Bozeman as Source: US Census Bureau of Montana Data Mean travel time to work (min): workers age 16+ 2008- 14.1 18.0 78% 2012 Population: Bozeman's population has been growing steadily since 2000. The rate of population increase peaked in 2006 at an estimated 5.7% annual growth. The official 2010 Census puts Bozeman's population count below the Census estimates of 2007, 2008, 2009, an indication of how difficult it can be to estimate the population changes of relatively fast-growing communities. A total citizenry of 38,695 for 2012 indicates a total 37.8% increase since the year 2000. Source: US Census Bureau Year Actual*/ Bozeman's Estimated Annual Accumulated % Estimated % Change in Population Growth Since 2000 Population i — 2000* 1 28,083 n/a 2001 28,917 3.0% 3.0% 2002 30,018 3.8% 6.9% 2003 31,545 5.1% 12.3% 2004 33,269 5.5% 18.5% 2005 34,698 4.3% 23.6% 2006 36,668 5.7% 30.6% 2007 37,643 2.7% _ 34.0% 2008 39,004 3.6% _ 38.9% 2009 39,282 0.7% _ 39.9% 2010* 37,285 -5.1% 32.7% 2011 38,025 _ 2.0% 35.4% 2012 38,695 1.8% 37.8% Bozeman Population, Est. US Census Bureau 50,000 40�� 37 643 39,004 39,282 :1 38,025 38,695 30,018 31,545 33,269 34,698 - •—• — r — — — 28,083 28,917 30,000 0,000 10,000 liii 1111111 1 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 Bozeman Population,Est US Census Bureau 1 City of Bozeman 24 FY15 Approved Budget Business: The US Census Bureau accumulates and reports various business data for Bozeman. Below are a number of Business Quick Facts for both the City of Bozeman and the State of Montana as a whole. The most recent information of this type is from 2007. Bozeman Business QuickFacts Bozeman Montana as %of Source: US Census Bureau Montana Data Merchant wholesaler sales:2007($1000) 253,183 8,202,782 3.1% Retail sales: 2007($1000) I 1,210,156 14,686,854 8.2% Retail sales per capita: 2007 f $32,148 $15,343 210.0% Accommodation and foodservices sales: 2007($1000) 140,984 2,079,426 6.8% Total number of firms:2007 6,100 114,398 5.3% Black-owned firms: %2007 <100 0.2% n/a American Indian and Alaska Native owned firms: %2007 <100 2.0% n/a Asian-owned firms: %2007 r <100 0.6% n/a Hispanic-owned firms: %2007 <100 1.0% n/a Native Hawaiian and Other Pacific Islander owned firms: %2007 <100 <0.05% n/a Women-owned firms: %2007 26.4% 24.6% 107.3% Private Employers: The Montana Department of Labor and Industry reports the following largest private employers within the City's boundaries (2011 data). Employer Employee Size Employer ! Employee Size Bozeman Deaconess 1,000+ Employees Oracle America, Inc. 500-999 Employees Hospital Wal-Mart 250-499 Employees Albertson's 100-249 Employees Community Food Co- 100-249 Employees Costco 100-249 Employees Op Croakies 100-249 Employees First Security Bank 100-249 Employees Gibson Guitar 100-249 Employees Kenyon Noble 100-249 Employees Lumber& Hardware Lowes 100-249 Employees Luzenac America 100-249 Employees Martel Construction 100-249 Employees McDonald's 100-249 Employees Murdoch's Ranch & 100-249 Employees Ressler Chevrolet 100-249 Employees Home Supply Cadillac & Toyota Rosauers 100-249 Employees Town & Country 100-249 Employees Supermarket Foods Town Pump 100-249 Employees Zoot Enterprises 100-249 Employees City of Bozeman 25 FY15 Approved Budget Public Employers:The Montana Department of Labor and Industry reports the following largest public employers within the City's boundaries, one of which is the City. Employer Employee Size I Employer Employee Size Montana State 1,000+ Employees School District#7 1,000+ Employees University City of Bozeman 250-499 Employees Gallatin County 100-249 Employees Principal Tax Payers: The annual certified valuation of taxable real and personal property is completed by the Montana Department of Revenue and transmitted to the City each August. For fall of 2012, the top taxpayers within the City were as follows. These ten taxpayers comprised a total of 9.85% of our property tax base. Top Ten Property Taxpayers Name Rank Total Taxable Value As a % of City as a whole Northwestern Energy 1 3,668,602 4.28% Qwest Corporation 2 1,040,298 1.21% Bresnan Communications 3 813,246 0.95% Verizon Wireless 4 555,252 0.65% Harry Daum I 5 500,755 0.58% Stone Ridge Partners, LLC 6 468,297 0.55% J&D Family Limited Partnership 7 350,638 0.41% Bridger Peaks Holdings, LLC 8 350,440 0.41% First Security Bank 9 349,000 0.41% Wal-Mart Stores Inc 10 338,929 0.40% Total 8,435,457 9.85% City of Bozeman 26 FY15 Approved Budget CORE VALUES The City's core values were adopted in 2005 by City Commission Resolution No. 3832. They were developed through extensive discussions the City Manager had with staff groups from all departments including department directors. These core values are what create the culture of our organization. Integrity Be honest, hardworking, reliable and accountable to the public. Leadership Take initiative, lead by example, and be open to innovative ideas. Service Work unselfishly for our community and its citizens. Teamwork Respect others, welcome citizen involvement, and work together to achieve the best result. City of Bozeman 27 FY15 Approved Budget VISION, MISSION, AND GOALS Vision: Bozeman, Montana - The most livable place. Mission: To enhance the quality of life through excellence in public service. Goals: Encourage and promote opportunities for citizenship. Provide and communicate quality customer service. Build a strong team of staff, elected officials and citizens. Anticipate future service demands and resource deficiencies and be proactive in addressing them. Develop a visually appealing and culturally rich community. Commit to a strong financial position. Provide excellent and equitable public services which are responsive to the community within available resources. City of Bozeman 28 FY15 Approved Budget ADOPTED WORK PLAN FOR 2014-2015 City of Bozeman 2014 - 2015 Priorities On April 14, 2014,the City Commission adopted the following six items as their top priorities for staff to focus on accomplishing in the coming year. Their motion did not include detailed descriptions of the items. Our description information comes from the City Manager's submitted details that were considered during the meeting. 1. Landfill Remediation Project - Continue with landfill vapor intrusion study, including: monitoring mitigation systems; installation and sampling of additional groundwater wells; design and construction of landfill soil gas remediation system;finalize SRF loan for system; and develop protocols for educating real estate, appraisal, and financing industries. 2. Police/Municipal Courts Building - Complete the land swap and building design, educate the public, and receive voter approval for a new police station and municipal courts building. 3. Transportation System -Develop a sustainable transportation management and funding model. 4. Trails & Open Space Bond - Execute approved projects successfully and carry proposals and the associated staff analysis to Commission for consideration. 5. Stormwater - Complete the next phase of the Stormwater utility implementation by developing an assessment methodology and developing a budget for Commission review and adoption. 6. Family Aquatics Center -Determine the location and options for partnerships, complete preliminary design and receive voter approval to build a family aquatics center replacing Bogert Pool. City of Bozeman 29 FY15 Approved Budget PLANNING PROCESSES The City plans for the long-term needs of our community through a number of efforts and studies. These documents are usually developed by consultants and staff, with numerous public hearings and advisory board meetings prior to their formal adoption by the Commission. Once adopted, we work diligently to implement the recommendations and changes outlined in the plans. Here is the status of our primary planning documents: Plans for Service Provision, Facility Expansion & Maintenance: Bozeman Community Plan—Adopted 2010. Bozeman Area Transportation Plan—Adopted 2009. Police Services Facility & Staffing Plan—Adopted 2007. Fire Services Master Plan— Adopted 2006. Wastewater Facility Plan—Adopted 2006. Water Facility Plan—Adopted 2006. Stormwater Facility Plan—Presented February 2008. Parks, Recreation, Open Space, and Trails Plan—Adopted 2007. Municipal Climate Action Plan—Adopted 2008. Community Climate Action Plan - Adopted 2011. Economic Development Plan—Adopted 2010. Downtown Improvement Plan—Adopted 2010. Plans for Facility Maintenance: Aquatics Facility Survey for Swim Center & Bogert Park Pool— July 2008. City-Owned Facility Assessments-2008, with updates ongoing. Financial Plans: Annual Budget—Adopted each June. Capital Improvements Plan - Updated & adopted each year; recently for FY15-FY19. Water Rate Study (5 Years) - Updated for FY14-FY18. Wastewater Rate Study (5 Years) - Updated for FY14-FY18. Impact Fee Studies (Water, Sewer, Streets, Fire) -Adopted 2012 & 2013. Solid Waste Rate Study - Completed 2012. Additional Operational Study, 2013. City of Bozeman 30 FY15 Approved Budget FINANCIAL POLICIES The overall goal of the City's financial policies is to establish and maintain effective management of the City's financial resources. Formal policy statements and major objectives provide the foundation for achieving this goal. Accordingly,this section outlines the policies used in guiding the preparation and management of the City's overall budget and the major objectives to be accomplished. In addition,the rationale which led to the establishment of the fiscal policy statements is also identified. Budget Development & Administration 1. A comprehensive annual budget will be prepared for all funds expended by the City. State law provides that"no money shall be drawn from the treasury of the municipality nor shall any obligation for the expenditure of money be incurred except pursuant to the appropriation made by the commission." Inclusion of all funds in the budget enables the commission,the administration, and the public to consider all financial aspects of city government when preparing, modifying, and monitoring the budget, rather than deal with the City's finances on a "piece meal" basis. 2. The budget will be prepared in such a manner as to facilitate its understanding by citizens and elected officials. One of the stated purposes of the budget is to present a picture of the City government operations and intentions for the year to the citizens of Bozeman. Presenting a budget document that is understandable to the citizens furthers the goal of effectively communicating local government finance issues to both elected officials and the public. 3. Budgetary emphasis will focus on providing those basic municipal services which provide the maximum level of services, to the most citizens, in the most cost effective manner, with due consideration being given to all costs--economic, fiscal, and social. Adherence to this basic philosophy provides the citizens of Bozeman assurance that its government and elected officials are responsive to the basic needs of the citizens and that its government is operated in an economical and efficient manner. 4. The budget will provide for adequate maintenance of capital, plant, and equipment and for their orderly replacement. All governments experience prosperous times as well as periods of economic decline. In periods of economic decline, proper maintenance and replacement of capital, plant, and equipment is generally postponed or eliminated as a first means of balancing the budget. Recognition of the need for adequate maintenance and replacement of capital, plant, and equipment, regardless of the economic conditions, will assist in maintaining the government's equipment and infrastructure in good operating condition. City of Bozeman 31 FY15 Approved Budget 5. The City will avoid budgetary practices that balance current expenditures at the expense of meeting future years' expenses. Budgetary practices such as postponing capital expenditures, accruing future years' revenues, or rolling over short-term debt are budgetary practices which can solve short-term financial problems; however,they can create much larger financial problems for future administrations and commissions. Avoidance of these budgetary practices will assure citizens that current problems are not simply being delayed to a future year. 6. The City will give highest priority in the use of one-time revenues to the funding of capital assets or other non-recurring expenditures. Utilizing one-time revenues to fund on-going expenditures results in incurring annual expenditure obligations which may be unfunded in future years. Using one-time revenues to fund capital assets or other non-recurring expenditures better enables future administrations and commissions to cope with the financial problems when these revenue sources are discontinued, since these types of expenditures can more easily be eliminated. 7. The City will maintain a budgetary control system to help it adhere to the established budget. The budget passed by the Commission establishes the legal spending limits for the City. A budgetary control system is essential in order to insure legal compliance with the City's budget. 8. The City will exercise budgetary control (maximum spending authority) through City Commission approval of appropriation authority for each appropriated budget unit. Exercising budgetary control for each appropriated budget unit satisfies requirements of State law. It also assists the commission in monitoring current year operations and acts as an early warning mechanism when departments deviate in any substantive way from the original budget. 9. Reports comparing actual revenues and expenditures to budgeted amounts will be prepared monthly. The City's budget is ineffective without a system to regularly monitor actual spending and revenue collections with those anticipated at the beginning of the year. Monthly reports comparing actual revenues and expenditures to budget amounts provide the mechanism for the Commission and the administration to regularly monitor compliance with the adopted budget. Revenue Collection 1. The City will seek to maintain a diversified and stable revenue base. A city dependent upon a few volatile revenue sources is frequently forced to suddenly adjust tax rates or alter expenditure levels to coincide with revenue collections. Establishment of a diversified and stable revenue base, however, serves to protect the City from short-term fluctuations in any one major revenue source. City of Bozeman 32 FY15 Approved Budget 2. The City will estimate revenues in a realistic and conservative manner. Aggressive revenue estimates significantly increase the chances of budgetary shortfalls occurring during the year--resulting in either deficit spending or required spending reductions. Realistic and conservative revenue estimates, on the other hand, will serve to minimize the adverse impact of revenue shortfalls and will also reduce the need for mid-year spending reductions. 3. The City will pursue an aggressive policy of collecting revenues. An aggressive policy of collecting revenues will help to ensure the City's revenue estimates are met, all taxpayers are treated fairly and consistently, and delinquencies are kept to a minimum. 4. The City will aggressively pursue opportunities for Federal or State grant funding. An aggressive policy of pursuing opportunities for federal or state grant funding provides citizens assurance that the City is striving to obtain all state and federal funds to which it is entitled, thereby reducing dependence on local taxpayers for the support of local public services. 5. User fees and charges will be used, as opposed to general taxes, when distinct beneficiary populations or interest groups can be identified. User fees and charges are preferable to general taxes because user charges can provide clear demand signals which assist in determining what services to offer,their quantity, and their quality. User charges are also more equitable, since only those who use the service must pay--thereby eliminating the subsidy provided by nonusers to users, which is inherent in general tax financing. 6. User fees will be collected only if it is cost-effective and administratively feasible to do so. User fees are often times costly to administer. Prior to establishing user fees,the costs to establish and administer the fees will be considered in order to provide assurance that the city's collection mechanisms are being operated in an efficient manner. Expenditures and Payments 1. On-going expenditures will be limited to levels which can be supported by current revenues. Utilization of reserves to fund on-going expenditures will produce a balanced budget; however, this practice will eventually cause severe financial problems. Once reserve levels are depleted,the City would face elimination of on-going costs in order to balance the budget. Therefore, the funding of on- going expenditures will be limited to current revenues. 2. Minor capital projects or recurring capital projects, which primarily benefit current residents, will be financed from current revenues. Minor capital projects or recurring capital projects represent relatively small costs of an on- going nature, and therefore, should be financed with current revenues rather than utilizing debt City of Bozeman 33 FY15 Approved Budget financing. This policy also reflects the view that those who benefit from a capital project should pay for the project. 3. Major capital projects, which benefit future as well as current residents, will be financed with current revenues as well as other financing sources (e.g. debt financing). This policy reflects the view that those who benefit from a capital project should pay for the project. 4. Major capital projects, which benefit future residents, will be financed with other financing sources (e.g. debt financing). Major capital projects represent large expenditures of a non-recurring nature which primarily benefit future residents. Debt financing provides a means of generating sufficient funds to pay for the costs of major projects. Debt financing also enables the costs of the project to be supported by those who benefit from the project, since debt service payments will be funded through charges to future residents. 5. Construction projects and capital purchases of$10,000 or more will be included in the Capital Improvement Plan (CIP);minor capital outlays of less than $10,000 will be included in the regular operating budget. The Capital Improvement Plan (CIP) differentiates the financing of high cost long-lived physical improvements from low cost "consumable" equipment items contained in the operating budget. CIP items may be funded through debt financing or current revenues while operating budget items are annual or routine in nature and should only be financed from current revenues. 6. Spending Policy: The City will spend its resources in the following order. Resources will be categorized according to Generally Accepted Accounting Principles (GAAP)for state and local governments, with the following general definitions: Restricted --Amounts constrained to specific purposes by their providers (such as grantors, bondholders, and higher levels of government) through constitutional provisions or by enabling legislation. Committed --Amounts constrained to specific purposes by the City Commission; to be reported as committed, amounts cannot be used for any other purpose unless the City Commission takes action to remove or change the constraint. Assigned --Amounts the City intends to use for a specific purpose; intent can be expressed by the Commission or by an official or body to which the Commission delegates the authority. The City Commission delegates this authority to the City Manager. Unassigned --Amounts that are available for any purpose; these amounts are reported only in the General Fund. City of Bozeman 34 FY15 Approved Budget When both restricted and unrestricted resources are available, spending will occur in the following order,for the identified fund types: Fund Type Order of Spending General Fund 1. Restricted 2.Committed 3.Assigned 4. Unassigned The City Commission and the City Manager, individually, have the authority to express assignments in the General Fund. Special Revenue 1. Restricted Funds 2. Committed 3. Assigned The City Commission and the City Manager, individually, have the authority to express assignments in Special Revenue Funds. Debt Service Funds 1. Assigned 2. Committed 3. Restricted The City Commission and the City Manager, individually, have the authority to express assignments in Debt Service Funds. Capital Projects 1. Restricted Funds 2. Committed 3. Assigned The City Commission and the City Manager, individually, have the authority to express assignments in Capital Project Funds. Debt Administration 1. The City will limit long-term debt to capital improvements which cannot be financed from current revenues. Incurring long-term debt serves to obligate future taxpayers. Excess reliance on long-term debt can cause debt levels to reach or exceed the government's ability to pay. Therefore, conscientious use of long-term debt will provide assurance that future residents will be able service the debt obligations left by former residents. 2. The City will repay borrowed funds, used for capital projects, within a period not to exceed the expected useful life of the project. This policy reflects the view that those residents who benefit from a project should pay for the project. Adherence to this policy will also help prevent the government from over-extending itself with regard to the incurrence of future debt. City of Bozeman 35 FY15 Approved Budget 3. The City will not use long-term debt for financing current operations. This policy reflects the view that those residents who benefit from a service should pay for the service. Utilization of long-term debt to support current operations would result in future residents supporting services provided to current residents. 4. The City of Bozeman will adhere to a policy of full public disclosure with regard to the issuance of debt. Full public disclosure with regard to the issuance of debt provides assurance that the incurrence of debt,for which the public is responsible, is based upon a genuine need and is consistent with underwriters'guidelines. Reserves and Fund Balances 1. Reserves and Fund Balances will be properly designated into the following categories: Nonspendable fund balance --Amounts that are not in a spendable form (such as inventory) or are required to be maintained intact (such as the corpus of an endowment fund). Restricted fund balance --Amounts constrained to specific purposes by their providers (such as grantors, bondholders, and higher levels of government) through constitutional provisions or by enabling legislation. Committed fund balance --Amounts constrained to specific purposes by the City Commission; to be reported as committed, amounts cannot be used for any other purpose unless the City Commission takes action to remove or change the constraint. Assigned fund balance --Amounts the City intends to use for a specific purpose; intent can be expressed by the Commission or by an official or body to which the Commission delegates the authority. Unassigned fund balance --Amounts that are available for any purpose; these amounts are reported only in the General Fund. 2. A minimum level of General Fund reserve equal to 16.67% of annual revenues will be maintained by the City. This reserve is committed to be used for: cash flow purposes, accrued employee payroll benefits which are not shown as a liability, unanticipated equipment acquisition and replacement, and to enable the city to meet unexpected expenditure demands or revenue shortfalls. Property taxes represent the City's primary source of general fund revenue. Property taxes are collected in November and May of each fiscal year. Since the City's fiscal year begins on July 1st,the City must maintain an adequate cash balance in order to meet its expenditure obligations between July 1st and the commencement of the collection of property taxes in November. Accrued employee payroll benefits represent a bona fide obligation of the City. The City will maintain sufficient reserves to meet its annual expenditure obligations. The City recognizes the need to maintain adequate equipment in order to carry out required public services. Equipment acquisition and replacement represent on-going costs of a relatively minor nature, as compared to major capital purchases. We plan for equipment replacement within our Capital City of Bozeman 36 FY15 Approved Budget Improvement Program. However, unforeseen equipment problems will arise. The reserve will provide resources for the immediate, unanticipated replacement of critical equipment. The City is subject to revenue shortfalls and unexpected expenditure demands during the fiscal year. An undesignated General Fund reserve will be maintained to be able to offset these revenue shortfalls or meet unexpected demands occurring during the year, without suddenly adjusting tax rates or reducing expenditures. Financial Reporting & Accounting 1. The City will manage and account for its financial activity in accordance with Generally Accepted Accounting Principles (GAAP), as set forth by the Governmental Accounting Standards Board (GASB). GASB is recognized as the authority with respect to governmental accounting. Managing the City's finances in accordance with GAAP and in accordance with the rules set forth by GASB provides Bozeman citizens assurance that their public funds are being accounted for in a proper manner. 2. The City will maintain its accounting records for general governmental operations on a modified accrual basis, with revenues recorded when available and measurable, and expenditures recorded when services or goods are received and liabilities incurred. Accounting records for proprietary fund types and similar trust funds will be maintained on an accrual basis, with all revenues recorded when earned and expenses recorded at the time liabilities are incurred, without regard to receipt or payment of cash. Adherence to this policy will enable the City to prepare its financial statements in accordance with GAAP as set forth by the GASB. 3. The City of Bozeman will prepare a Comprehensive Annual Financial Report (CAFR) in conformity with Generally Accepted Accounting Principles (GAAP). The report will be made available to the general public. The CAFR shall be prepared in accordance with the standards established by the GFOA for the Certificate of Achievement for Excellence in Financial Reporting Program The Certificate of Achievement represents a significant accomplishment for a government and its financial management. The program encourages governments to prepare and publish an easily readable and understandable comprehensive annual financial report covering all funds and financial transactions of the government during the year. The CAFR provides users with a wide variety of information useful in evaluating the financial condition of a government. The program also encourages continued improvement in the City's financial reporting practices. 4. The City will ensure the conduct of timely, effective, and annual audit coverage of all financial records in compliance the local, state, and federal law. Audits of the City's financial records provide the public assurance that its funds are being expended in accordance with Local, State, and Federal law and in accordance with GAAP. Audits also provide management and the Commission with suggestions for improvement in its financial operations from independent experts in the accounting field. City of Bozeman 37 FY15 Approved Budget 5. The City of Bozeman will maintain a policy of full and open public disclosure of all financial activity. Full and open public disclosure of all financial activity provides the public with assurance that its elected officials and administrators communicate fully all financial matters affecting the public. 6. The modified accrual basis of accounting and budgeting is used for the governmental funds. Under the modified accrual basis of accounting, revenues are recorded when susceptible to accrual, i.e., both measurable and available. Available means collectible within the current period or soon enough thereafter to be used to pay liabilities of the current period. Expenditures are recorded when the related liability is incurred. Employee compensated absences and principal and interest on long-term debt expenditures are recorded when due in the current period. The accrual basis of accounting is used for proprietary funds. Under this method, revenues are recorded when earned and expenses are recorded when the related liability is incurred. For budget preparation and presentation, the proprietary funds' expenses are converted to expenditures and follow the same budget format as the government fund types. Capital outlays in the enterprise funds are presented as expenses for budget basis, but are recorded as assets along with associated depreciation expense on the GAAP basis. Debt service principal payments in the enterprise funds are accounted for as expenses for budget purposes, but are reported as reduction of long-term debt liability on the GAAP basis. Recording capital outlays as expenditures and principal payments on long-term debt for budget purposes, presents a clearer picture of the City's financial operations, is easier to administer for cash flow purposes, and is easier for the lay person to understand. City of Bozeman 38 FY15 Approved Budget FINANCIAL STRUCTURE To better understand this budget document a basic understanding of the structure, often-used terms, and fund types is helpful. The City's operating expenditures are organized in to the following hierarchical categories: Activities, Departments, Divisions, and Budget Units. Activity: Activity represents the highest level of summarization used in the City's financial structure. This level is primarily used for entity-wide financial reporting and for summarization in this budget document. Activities General Government Public Safety Public Service Public Welfare Other Department: Department is the second level of summarization used in the City's financial structure. The function classification represents a grouping of related operations and programs aimed at accomplishing a broad goal or providing a major service. Division: Department can be further split into divisions which are usually associated with functioning work groups that have more limited sets of work responsibilities. Their primary purpose is organizational and budgetary accountability. Budget Unit: Divisions may be further subdivided into budget units. A budget unit is used to account for a specific service performed within a division in the pursuit of individual goals and objectives. A budget unit is aimed at accomplishing a specific service or regulatory program for which a government is responsible. For example, to account for the expenses of constructing a new Wastewater Treatment Plant the City uses the following financial structure: Activity: Public Service Department: Wastewater Plant Division: Operations Budget Unit: Construction The following table lists the Department and corresponding divisions within the City for the current fiscal year. City of Bozeman 39 FY15 Approved Budget Departments Divisions and Budget Units Budgeted Funds City Commission City Commission,Special Bodies(Ethics Board) General City Manager Administration,City Clerk General Municipal Court Operations General City Attorney Administration,Civil Litigation,Criminal Litigation,Criminal General,Victim Witness Advocate Victim-Witness Administrative Administration,Accounting,Treasury, Information General Services Technology, Human Resources Community Operations,Subdivision Review, Long-Range Planning, Community Development Development Annexation,Code Enforcement, Historical Preservation, Zoning Operations, Neighborhood Coordinator Facilities City Hall, City Hall Annex,Shop Complex, Professional General Maintenance Building, Senior Center, Library, Fire Station#2, Fire Station #3,Vehicle Maintenance Shop Police Operations,Crime Control & Investigations, Drug General, Drug Forfeiture, Law&Justice Forfeiture, Parking,Animal Control Center, Domestic Violence, Police-Court Facility Fire Administration,Operations,Operational Readiness, Fire General, Fire Impact Fees, Fire Special Prevention,Special Fire Services, Hazardous Materials, Revenue, Fire Capital/Equipment Disaster&Emergency Services Replacement Building Inspection Operations, Life Safety Building Inspection Parking Administration,Operations, Parking Garage Parking Enterprise Public Services Administration,GIS, Engineering,Snow Removal Water Enterprise Administration Enforcement,Weed Cutting Enforcement,Sidewalk Repair Program,Sidewalk&Curb Construction,SID Construction Streets Operations, Maintenance, Construction, Snow&Ice General, Community Transportation,Gas Tax, Removal, Lighting,Traffic Signs& Markers Street Maintenance,Street Impact Fees, SIDs Water Plant Operations,Water Conservation, Construction Water,Water Impact Fees Water Operations Operations, Utility Locates,Water Services, Construction, Water,Water Impact Fees Reservoirs, Meters, Hydrants,Valves, Repairs Wastewater Operations, Utility Locates,Services,Construction, Wastewater,Wastewater Impact Fees Operations Manholes,Televising, Flushing, Repairs _ Water Reclamation Operations, Laboratory,Sludge Injection, Pretreatment, Wastewater,Wastewater Impact Fees Facility Storm Water _ Admin and Mapping,Operations,Capital Improvements Stormwater Enterprise Solid Waste Collections, Recycling Solid Waste Enterprise Collection &Recycling Solid Waste Disposal Operations, Landfill Landfill Post-Closure Costs Vehicle Maintenance Operations Vehicle Maintenance Parks& Recreation Cemetery, Parks, Forestry, Recreation General, Parks&Open Space Bond,Tree Maintenance, Recreation Special Revenue, Story Mansion Operating Library Operations,Technical Services, Information,Children's General, Library Special Revenue, Library Services, Circulation, Construction Depreciation Community Services Economic Development,Sustainability General, Downtown TIF,Community Housing, Housing Revolving Loans, North 7th.TIF, North East Urban Renewal TIF, Downtown BID, Development Impacts,Tourism BID Non Departmental Insurance,Contingencies,Transfers, Beautification of General, Permissive Medical Levy,Senior Bozeman, Band,Senior Transportation Transportation, Employee Health Insurance GO, SID&TIF Bonds, Principal & Interest GO Refunding Series 2012, Parks&Open SID Revolving Space Bond, Downtown TIF,SID Bonds City of Bozeman 40 FY15 Approved Budget USEFUL TERMS To better assist readers in understanding the budget document, a basic knowledge of the following terms is useful: A FUND is a fiscal and accounting entity with a self-balancing set of accounts recording cash, and other financial resources,together with all related liabilities and residual equities or balances, and changes therein. Funds are segregated for the purpose of carrying on specific activities or attaining certain objectives in accordance with special regulations, restrictions, or limitations. Funds in the government model are classified into three broad categories: governmental, proprietary, and fiduciary. The most common reason for establishing a fund is to separately account for restricted-use revenue or to comply with State or Federal law. An ACCOUNT is an organizational or budgetary breakdown which is found within city funds. Each department serves a specific function as a distinct organizational unit of government within the given fund. Its primary purpose is to facilitate organizational and budgetary accountability. An OBJECT OF EXPENDITURE refers to specific, detailed expenditure classification. It relates to a specific type of item purchased or service obtained. Examples of objects of expenditure include salaries, supplies, contracted service,travel, etc. The City's financial operations and fund structure conform to Generally Accepted Accounting Principles (GAAP). The funds are grouped under governmental, proprietary, and fiduciary fund types. The City's fund structure is comprised of the following funds, all of which are budgeted. GOVERNMENTAL FUND TYPES General Fund: The General Fund is used to account for all financial resources of the City, except for those required to be accounted for in another fund. The General Fund supports such basic services as the Legislative Branch,Judicial Branch, General Administration, Police, Fire, Finance, Engineering, Recreation, and Library services. Revenue Sources: The City's General Fund is financed primarily by property taxes which provide nearly half of the General Fund revenue. Other revenue sources include: licenses and permits, intergovernmental revenue, charges for services, fines and forfeitures, interest on investments, operating transfers, and miscellaneous revenues. Special Revenue Funds: Special Revenue Funds are used to account for the proceeds of specific revenue sources (other than special assessments, expendable trusts, or for major capital projects)that are legally restricted to expenditure for specific purposes. Special Revenue Funds support insurance costs, retirement costs, planning functions, and other services legally restricted for specific purposes. Revenue Sources: Special Revenue Funds are supported either through property taxes or through grants or other restricted revenue sources. Examples of Special Revenue Funds supported by City of Bozeman 41 FY15 Approved Budget property taxes include employee health and comprehensive insurance funds. Examples of Special Revenue Funds supported by grants or other restricted revenue sources include Community Development Block Grant, Housing and Urban Development, and Gas Tax Apportionment. Debt Service Funds: Debt Service Funds are used to account for the accumulation of resources for, and the payment of, general long-term debt principal and interest. Debt Service Funds provide financing for the City's two general obligation bonds—trails, open space and parks (TOPS) and library facilities. Revenue Sources: Debt Service Funds are financed through property taxes and interest income. Capital Project Funds: Capital Project Funds are used to account for financial resources to be used for the acquisition or construction of major capital facilities (other than those financed by proprietary funds). Revenue Sources: Capital Project Funds are supported by special assessments, long term debt proceeds, donations, and grants. PROPRIETARY FUND TYPES Internal Service Funds: Internal Service Funds are used to account for the financing of goods or services provided by one department to other departments on a cost-reimbursement basis. Internal Service Funds account for the City's vehicle maintenance functions. Revenue Sources: Internal Service Funds are supported through billings to other departments based on the sale of goods and the services provided. Enterprise Funds: Enterprise Funds are used to account for operations that are financed and operated in a manner similar to private business enterprises--where the intent of the governing body is that the costs (expenses, including depreciation) of providing goods or services to the general public on a continuing basis be financed or recovered primarily through user charges. Enterprise Funds account for the City's water,waste water, solid waste, stormwater and parking services. Revenue Sources: Enterprise Funds are financed by user charges, penalties, and interest income. FIDUCIARY FUND TYPES Trust Funds: Trust Funds are used to account for assets held by a governmental unit in a trustee capacity. These include (a) expendable trust funds, (b) permanent trust funds, and (c) pension trust funds Revenue Sources: Trust Funds are supported by donations and interest income. City of Bozeman 42 FY15 Approved Budget THE BUDGET PROCESS The City of Bozeman budget serves several purposes. For the Citizens of the City of Bozeman, it presents a picture of the city government operations and intentions for the year. For the City Commission, it serves as a policy tool and as an expression of goals and objectives. For City Management, it is used as an operating guide and a control mechanism. State statute provides the "Local Government Budget Act" in MCA 7-6-4001. This section of the law was adopted by the 2001 Legislature to replace the "Municipal Budget Law" and other various sections of code that related to city finances. The new law limits the amount of expenditures to approved appropriations, requires reporting to the State after final budgets and tax levies are adopted, and provides for a detailed preliminary and final budget adoption within the confines of the State determined property tax assessment time-table. The City's budget encompasses both the operating budget and the capital improvement budget. Each budget unit includes amounts appropriated for both operating expenses and capital items. The accompanying narrative explanation for each budget unit provides an explanation of capital items included in the budget. BASIS OF BUDGETING The City's accounts are organized on the basis of funds, each of which is considered a separate entity. The operations of each fund are accounted for with a separate set of self-balancing accounts that comprise its assets, liabilities, fund equity, revenues and expenditures/expenses. Governmental funds (the General Fund, Special Revenue, Debt Service, and Capital Projects Funds) use the modified accrual basis of budgeting and accounting. Revenues are recognized in the accounting period in which they become available and measurable. Expenditures are recognized when liabilities are incurred. Proprietary funds (Enterprise and Internal Service Funds) are budgeted on a modified accrual basis which does not include depreciation or compensated absences. Each fund's financial statements,which can be found in the City's Comprehensive Annual Financial Report (CAFR), are reported on the full accrual basis. In the accrual basis of accounting, revenues are recognized in the accounting period in which they are earned. Expenses are recognized in the accounting period in which they occur. City of Bozeman 43 FY15 Approved Budget BUDGET DEVELOPMENT PROCESS In the past,the City Manager's Recommended Budget served as the preliminary budget and is normally adopted as such in June following six months of development and analysis by staff and the City Commission. In 2013,we developed a revised budget calendar that will NOT have us adopting a preliminary budget in June and a final budget in August. Instead,we will adopt a final budget in June and only amend the budget in August if our taxable value estimates were significantly different from our Certified Values received from the State. The Approved Budget document will be issued after Taxable Values are received in August, and the final tax levy is set. After submitting the City Manager's Recommended Budget to the City Commission, public work sessions may be held by the Commissioners at which time the City Manager, Administrative Services Director, and department staff explain the budget recommendations and underlying justification for the requests. The Commission also reviews departmental requests which could not be funded, as an indication of unmet needs. During or following the work sessions,the Commissioners may make adjustments to the proposed budget. Following any adjustments to the City Manager's budget recommendation, a tentative appropriation ordinance is prepared and a public hearing is held. The Commission may again make adjustments to the budget following the public hearing, after which time,the Commission passes the appropriation ordinance in final form. MCA 7-6-4030 Final budget--resolution--appropriations. (1) The governing body may amend the preliminary budget after the public hearing and after considering any public comment. (2) The amended budget constitutes the final budget. The final budget must be balanced so that appropriations do not exceed the projected beginning balance plus the estimated revenue of each fund for the fiscal year. (3) The governing body shall adopt the final budget by resolution. The resolution must: (a) authorize appropriations to defray the expenses or liabilities for the fiscal year;and (b) establish legal spending limits at the level of detail in the resolution. (4) The effective date of the resolution is July 1 of the fiscal year, even if the resolution is adopted after that date. Appropriations are established by budget unit. The accounting system, budgeting system, and the budget document itself, however, break these classes into subclasses--thereby providing more detailed information. As an example, operating supplies,gas and oil, and subscriptions are all classified as operating expenses. The accounting and budgeting systems provide detail for these specific sub-classes. However, appropriation control is exercised only at the budget unit level. City of Bozeman 44 FY15 Approved Budget PERFORMANCE BUDGETING Beginning with the fiscal year 1998-99 budget,the City of Bozeman started the development of a performance budget. The move to a performance budget resulted in a shift in emphasis away from describing what will be purchased (inputs)towards describing what will be accomplished (outputs and outcomes). That process continues today with both an organization-wide and budget-unit specific focus on outcomes. PRESENTATION The text of the budget document customarily contains five sections of information for each division. Some divisions also include highlights or accomplishments for the prior year and/or the coming year. The first section provides a description of the division. The second section describes its major objectives to be accomplished. The third section provides detailed financial information. The fourth section identifies the division's performance measures for the coming budget year and the past three years. The fifth section lists the workload indicators for the division. The financial information includes expenditure information for the last completed fiscal year,the appropriated amounts for the current year, and the recommended amounts covered by the budget. Costs are segregated into five basic classifications: salaries,wages, &benefits; operating expenses; capital; debt service; and transfers. Appropriation control is exercised only at the budget unit level and not at the individual object of expenditure level. The narrative information is presented together with the financial detail to assist readers in understanding the planned outcomes for each division,the purpose of each budget unit, and major changes or expenditures for the coming year. MONITORING AND REPORTING PROCESS As the budget year proceeds, individual departments and the Finance Department have dual responsibility for monitoring the status of each budget unit. Department staff has primary responsibility for monitoring the status of expenditures against their budget. This responsibility includes informing the Finance Department of any significant departures from the plans anticipated in the budget. The Finance Department has overall responsibility for monitoring the status of all departments and funds. This is accomplished primarily through analysis of computerized budget performance reports which compare appropriation amounts on a line-item basis with actual expenditures throughout the year. These reports aid department staff in controlling costs and act as an early warning system for the Finance Department. Department staff may exercise their judgment in exceeding expenditures by object code, as long as they do not exceed the total amount appropriated for the budget unit. City of Bozeman 45 FY15 Approved Budget The Finance Department reviews the budget reports on a monthly basis and discusses any variances from expected performance with the department staff. The Finance Department conducts in-depth quarterly budget reviews of all expenditures and revenues. Significant changes in either expenditures or revenues require a budget revision. Recommendations are also made by the Administrative Services Director for any corrective actions believed necessary. BUDGET AMENDMENT PROCESS State statute provides a number of different ways to amend the budget. The first involves a reallocation of existing appropriations among the line items within a specific fund. The second defines a series of scenarios where the governing body has authority to amend the budget without a hearing for donations, land sales, and fee-based budgets. All other increases in appropriation authority that are not specifically permitted by statute must be approved through a public hearing process. MCA 7-6-4031 Budget amendment procedures. (1) The final budget resolution may authorize the governing body or a designated official to transfer appropriations between items within the same fund. (2) The annual budget appropriations may be amended as provided in 7-6-4006 (3) and 7-6- 4012. (3) Except as provided in 7-6-4006, 7-6-4011, 7-6-4012, 7-6-4015, and 7-6-4032, or in case of an emergency under Title 10, chapter 3, a public hearing is required for an overall increase in appropriation authority. The Administrative Services Director is responsible for ensuring compliance with spending limitations imposed by the budget. Accordingly,the Administrative Services Director submits a Budget Status Report to the City Commission after three, six, nine, and twelve month periods which evaluates overall revenues and expenditures in comparison to the budgeted amounts. In cases where it appears the original spending authority authorized will not prove sufficient,transfers of spending authority or additional spending authority are requested together with explanations for the requests. Public hearings for budget amendments are held as necessary. BUDGET CALENDAR/PROCEDURES The following budget timeline outlines the process the City customarily follows for creation and adoption of the annual budget. 1. December/January: The Commission's goals provide the legislative policy direction for the budget process and the development of departmental objectives and work plans. City of Bozeman 46 FY15 Approved Budget 2. January: The Finance Department sends budget request forms and instructions to all departments. 3. January/February: Department administrators assess the needs of their departments and communicate their needs through their budget requests. 4. February: The department requests are compiled by the Administrative Services Director and compared to available funds to support the requested services. 5. March/April: The City Manager and Administrative Services Director attend budget meetings with the staff responsible for each budget unit to discuss their requests and make necessary adjustments to ensure needed services are provided and the budget is balanced. 6. May: The City Manager's Recommended Budget is presented to the City Commission. This comprehensive document includes both operating and capital expenditures for the ensuing fiscal year. 7. May/June: The City Commission holds work sessions on the budget at which time the City Manager,Administrative Services Director, and various department staff explain the budget recommendations and underlying justification for the requests. During or following the work sessions, the Commissioners may make adjustments to the proposed budget. 8. June: The public hearing on the budget is advertised in the local newspaper. A public hearing on the budget (appropriation resolution) is held and adjustments to the budget, if any, are made. The Commission adopts a final budget prior to June 30th. 10. August: Final taxable values are received from the State Department of Revenue. Taxing authority is calculated and tax levy resolution is prepared. The public hearing on the tax levy resolution is advertised in the local newspaper. A public hearing on the tax levy is held. Commission adopts tax levy resolution. If taxable values are substantially different from estimate amounts, the appropriation resolution may be amended, through a public hearing. 12. Monthly: Budget-to-Actual line item spending reports are prepared by the 20th day of the following month for the Commission, departments, and members of the public. 13. Quarterly: Update of Budget-to-Actual spending and revenue collection report is prepared and published to the City's website for the Commission and the public. City of Bozeman 47 FY15 Approved Budget CITY ORGANIZATIONAL CHART 41.9:'-e-- ''.4 Ac, The organization chart below depicts the overall structure of the City of Bozeman government. Voters of the City elect the • Thir e City Commission and Municipal Court Judge. The Municipal Court Judge recommends any Part Time Judges. The City cd!Lor . ` a,�g` Commission appoints a City Manager who is the Chief Executive Officer of the City, The City Manager appoints a City Clerk •` • •''a7 who acts as staff of the Commission. The City Manager also appoints directors of each of the major departments. =tHca.MQ• CITIZENS OF BOZEMAN MUNICIPAL • CITY JUDGE COMMISSION 1 ADVISORY LIBRARY CITY MANAGER, I PARKING BOARDS BOARD COMMISSION 1 CHRIS KULKULSKI L. LIBRARY . f DIRECTOR ' DIRECTOR OF INSTRATIVE PARKS& DIRECT/1R= W PARKING MANAGER CITY CLERK, ASSISTANT Pl1BLICWORKS COMMUNITY FIRE CHIEF, POLICE SERVICES RECREATION COMMUNITY STACY JASON CHIEF, DIRECTOR, DIRECTOR, SERVICES, CITY DIRECTOR, DEVELOPMENT SHRAUGER RON PRICE ANNA MITCH BRIT MANAGER, CRAIG LILMEN W ENDY THOMAS ••. -- • : •L FONTEf O7 CHUCKWINN �WODLARD H NTRVIPME . �Ecr�Ns EW wPATROL ACCOUNTING CEMETERY FA:ILNE7RRMTE NT LONG RANGE H.OPER411GPIS PLANNING ^ OEIECIP�B TREASURY PARKS i SUSTAIN ABILITY — SOLID WASTE Am...BUILDING SUPPORT NIPWIMATRIN SERIALS TECEIP4OLQGY RECR.EATON — ENGINEERING HUMAN RSOLIRCB FORUM STREETS RATER AQUATICS —RECLAMATION , FACALRY RATER/SERER OPERATIONS City of Bozeman 48 FY15 Approved Budget FINANCIAL SUMMARY Financial Summary Approved Budget Fiscal Year 2014-2015 General Special Debt Construction Internal Enterprise Permanent All Funds Fund Revenue Service Projects Service Projected Beginning Fund Balance/Working Capital 5,311,623 18,002,982 2,441,808 4,900,000 11,844,966 523,425 873,530 43,898,334 Estimated Revenues 26,304,925 16,619,800 2,480,142 27,100,000 24,344,033 4,967,385 87,600 101,903,885 Less Appropriations 26,897,001 17,853,385 2,461,142 32,052,584 24,033,290 4,736,242 - 108,033,644 Increase/(Decrease) in Fund Balance/Working Capital (592,076) (1,233,585) 19,000 (4,952,584) 310,743 231,143 87,600 (6,129,759) Projected Ending Fund Balance/Working Capital $ 4,719,547 $16,769,397 $2,460,808 $ (52,584) $12,155,709 $ 754,568 $ 961,130 $ 37,768,575 City of Bozeman 49 FY15 Approved Budget CHANGES IN FUND BALANCE/WORKING CAPITAL CHANGES IN FUND BALANCE/WORKING CAPITAL Fiscal Year 2015 Projected Budgeted Beginning Ending Fund Fund Balance/ Estimated Appropriations Balance/ Working Revenues Working Capital Capital General Fund 010 General Fund $5,311,623 $26,304,925 $26,897,001 $4,719,547 Special Revenue Funds 100 Planning Fund 422,507 722,550 929,538 215,519 103 Health-Medical Insurance 253,062 2,037,401 2,037,401 253,062 108 Community Transportation 96,233 642,950 526,690 212,493 110 Gas Tax Apportionment 639,463 662,383 659,500 642,346 111 Street Maintenance District 1,172,954 3,743,738 4,335,599 581,093 112 Tree Maintenance 139,349 447,960 483,073 104,236 113 Fire Impact Fee 357,943 346,355 - 704,298 114 Street Impact Fee 7,757,240 1,872,769 1,225,000 8,405,009 115 Building Inspection Special Revenue 1,064,449 1,190,050 1,504,810 749,689 116 Dowtown Improvement District 967,900 1,598,036 2,726,588 (160,652) 120 Community Housing 340,839 153,310 274,269 219,880 121 Housing Revolving Loan Fund 5,762 5,231 17,807 (6,814) 125 Drug Forfeiture 78,894 64,485 201,752 (58,373) 128 Fish Wildlife And Park Management Areas 20,999 - - 20,999 130 Americans With Disability Act 34,849 - - 34,849 132 Bogert Park Special Revenue 11,630 80 - 11,710 133 Recreation Department Special Revenue 3,059 3,083 1,000 5,142 135 Cemetery Department Special Revenue 2,346 16 - 2,362 136 Park Department Special Revenue (16,803) 7,202 - (9,601) 137 Library Department Special Revenue 40,763 55,833 7,900 88,696 138 Law&Justice Center 388,000 - 20,000 368,000 139 Police Department Special Revenue 141,696 15,586 - 157,282 140 Police Domestic Violence (1,225) 200,000 224,685 (25,910) 143 TIF N 7th Corridor 767,328 728,013 1,048,500 446,841 144 TIF NE Urban Renewal 245,678 104,558 321,312 28,924 145 TIF Mandeville Industrial (134,297) 36,097 - (98,200) Lighting Dist.'s (146-170, 181, 182, 200- 688,375 362,785 414,520 636,640 146 232) 174 Victim Witness Advocate 324,285 77,562 135,000 266,847 175 Senior Transportation 1,796 89,277 89,277 1,796 176 Business Improvement District 12,206 167,675 135,195 44,686 177 Neighborhood Associations 998 - - 998 179 Diaster Relief Fund (Hail Damage) 1,260,220 - - 1,260,220 183 Fire Department Special Revenue 40,496 3,215 - 43,711 184 Parks Master Plan Develop 130,135 - - 130,135 186 Development Impacts 146,098 7,540 56,248 97,390 City of Bozeman 50 FY15 Approved Budget Projected Budgeted Beginning Ending Fund Fund Balance/ Estimated Appropriations Balance/ Working Revenues Working Capital Capital 187 Fire Department Equipment 188 City/County Drug Forfeiture 189 Story Mansion Special Revenue 9,014 29,735 18,673 20,076 191 Tourism BID 7,495 874,874 422,048 460,321 193 Street Maintenance - Babcock SID 10,260 5,816 - 16,076 194 Street Maintenance - Durston SID 48,562 6,260 - 54,822 850 Park Land - Cash in Lieu 291,227 - - 291,227 Total Special Revenue Funds $18,002,982 $16,619,800 $17,853,385 $16,769,397 Debt Service Funds 300 Special Improvement District Revolv. Fund 2,278,773 19,000 - 2,297,773 303 G.O. Refunding Series 2012 122,145 273,274 273,274 122,145 304 Park &Trails Bond - 714,280 714,280 305 TIF 2007 Downtown Bonds - 428,388 428,388 - 310 SID Funds 40,890 1,045,200 1,045,200 40,890 Total Debt Service Funds $2,441,808 $2,480,142 $2,461,142 $2,460,808 Construction Funds Capital Projects 4,900,000 27,100,000 32,052,584 (52,584) , Enterprise Funds 600 Water 9,063,736 8,272,323 8,402,991 8,933,068 610 Water Impact Fee - Net Assets - 1,113,992 1,083,242 30,750 620 Waste Water 1,654,402 7,239,200 7,043,937 1,849,665 630 Waste Water Impact Fee - Net Assets - 1,005,295 853,212 152,083 640 Solid Waste 933,862 2,893,650 2,829,854 997,658 641 Landfill Closure Costs 14,045 2,357,380 2,340,000 31,425 650 Parking Enterprise 53,176 741,685 664,778 130,083 670 Storm Water 125,745 720,508 815,276 30,977 Total Enterprise Funds $ 11,844,966 $24,344,033 $ 24,033,290 $12,155,709 Internal Service Funds - 710 Vehicle Maintenance Shop 523,425 841,750 887,987 477,188 720 Health-Medical Self-Insurance Fund - 4,125,635 3,848,255 277,380 Total Internal Service Funds $523,425 $4,967,385 $4,736,242 $754,568 Permanent Funds 800 Cemetery Perpetual Care 873,530 87,600 - 961,130 Total Permanent Funds 873,530 87,600 - 961,130 Total All Funds $43,898,334 $101,903,885 $108,033,644 $ 37,768,575 City of Bozeman 51 FY15 Approved Budget MILL LEVIES & MILL VALUES FISCAL YEAR FY10 FY11 FY12 FY13 FY14 FY15 Est MILL VALUE (net of TIFD's) $ 78,290 $ 80,399 $ 82,062 $ 83,226 $ 85,637 $ 89,062 *Corrected Issued 9/2011 9/2011 PERCENTAGE CHANGE 5.5% 2.7% 2.1% 1.4% 2.9% 4.0% GENERAL FUND: All-Purpose 111.96 110.16 127.16 127.66 134.76 144.19 SPECIAL REVENUE: City Planning 2.00 2.00 2.00 2.00 2.00 2.00 Local Government Study Commission 0.00 Police Retirement* 4.34 4.45 0.00 0.00 0.00 0.00 Firefighters'Retirement* 2.85 2.97 0.00 0.00 0.00 0.00 Public Employees' Retirement* 4.75 4.86 0.00 0.00 0.00 0.00 Comprehensive Insurance* 4.61 4.73 0.00 0.00 0.00 0.00 Health/Med Insurance 23.67 24.29 22.53 23.22 22.57 22.88 Fire Capital&Equipment 4.00 4.00 4.00 4.00 4.00 4.00 Transfer to Stormwater- Landfill Loan 0.00 0.00 0.00 0.00 0.00 1.57 Senior Transportation 1.00 1.00 1.00 1.00 1.00 1.00 Workforce Housing 1.00 0.50 0.50 0.50 0.50 1.00 TOTAL SPECIAL REVENUE 48.22 48.80 30.03 30.72 30.07 32.45 DEBT SERVICE: Park&Trail G.O.Bonds,Ser 2013 0.00 8.02 Library G.O. Bonds 4.03 3.94 3.84 3.30 3.06 3.07 Transportation G.O. Bonds 5.98 5.85 5.72 5.07 5.19 0.00 TOTAL DEBT SERVICE 10.01 9.79 9.56 8.37 8.25 11.09 TOTAL ALL LEVIES 170.19 168.75 166.75 166.75 173.08 187.73 Percentage Change in Mills 11.0% -0.6% -1.2% 0.0% 3.8% 8.8% Property Taxes Levied $13,324,175 $13,567,611 $13,683,839 $13,878,293 $14,821,724 $16,719,699 Percentage Change in Dollars 19.4% 4.9% 0.9% 1.4% 6.8% 12.8% City of Bozeman 52 FY15 Approved Budget FISCAL YEAR FY10 FY11 FY12 FY13 FY14 FY15 Est *These funds are being combined into the All Purpose Levy. They are all subject to MCA 15-10-420. Tax Authority Authorized but Not Levied General Fund Reduction $ 462,720 $ 694,976 $ 1,263,330 $ 1,271,667 $ 276,895 Street&Tree Maintenance Offset $ 116,270 Police&Fire Reductions 583000 $ 849,000 $ 914,000 $ 578,525 $ - SAFER Grant 303,570 $ 189,720 $ 113,985 $ - $ - $ - 911 Mills(Resolution No. 3954) 704,610 $ 723,303 $ 738,558 $ 749,034 $ 770,733 $ 801,562 FY11 Certification Error: 59,753 Total Authorized But Not Levied $1,591,180 $ 2,400,766 $2,461,995 $ 2,590,889 $2,042,400 $ 1,078,458 Number of Mills 13.72 20.32 29.58 31.13 23.85 12.11 City of Bozeman 53 FY15 Approved Budget APPROPRIATIONS BY TYPE Expenditures, often called "Appropriations," are classified under one of six major categories: Personnel & Benefits, Operating Expense, Capital, Debt Service,Transfers, and Other Financing Uses. The graph below shows the relative percentage of FY15 budget expenditures for the six major categories in all funds, combined. Appropriations by Type - All Funds - FY15 Transfers Other 3% Financing Debt Service Uses 4% ... 1% Personnel & Benefits Capital 25% 40% Operations 27% Appropriations by Type-All Funds FY15 In governmental agencies, salaries, wages (personnel) and benefits normally represent the largest of these categories. However, due to the significant investment in infrastructure, cities have a much higher percentage of the budget devoted to operating and capital costs than most other governmental agencies. Transportation projects are included under contracted services,which are operating costs. APPROPRIATIONS BY TYPE: GENERAL FUND ONLY— Using those same classifications of expenditure type,the relative percentages of budgeted expenditures for the General Fund are shown below. As you can see,the General Fund is comprised of a much higher percentage of Personnel & Benefit costs compared to all funds, as a whole. The General Fund supports very little capital improvements, compared to all funds, as a whole. Appropriations by Type - General Fund - FY15 Operations 31% Capital ��"�► 3% Personnel & Debt Service Benefits 0% 65% Transfers 1% Appropriations by Type-General Fund City of Bozeman 54 FY15 Approved Budget APPROPRIATIONS BY FUND As shown, Enterprise Funds and the General Fund account for 47%of the total expenditures of the City. The General Fund is the City's primary operating account for general government operations. Enterprise funds consist of Water, Wastewater, Solid Waste, Parking Funds, and our new Storm-water Utility Fund. These funds operate on a self-supporting basis. Appropriations by Fund - FY15 Internal Service 4% Permanent 0% General Fund 25% Enterprise 22% Special Revenue 17% Construction Projects 30% \Debt Service 2% Appropriations by Fund-FY15 Special Revenue Funds,totaling 17%of appropriations, include a variety of fee supported funds including funds supporting impact fees, building inspections, street maintenance and tree maintenance. Community Development Block Grant monies,the City's Gas Tax allocation, and Senior Transportation are also included. Debt Service, Internal Service, and Permanent Funds make up the remainder of the City's appropriations. City of Bozeman 55 FY15 Approved Budget REVENUES BY SOURCE As shown, Charges for Services and Property Taxes account for 53%of the total revenues of the City. The majority of Charges for Services are derived from the City's utilities (Enterprise funds) consisting of Water,Wastewater, Solid Waste,Stormwater and Parking Services. Property Taxes (20%) are primarily to the benefit of the General Fund and public debt for Libraries;Trails, Open Space & Parks; and the Police/Municipal Court Building. Revenues by Source - All Funds - FY15 Other Financing Property Taxes Sources 20% Special Assessments % 2% Other Revenues Licenses& Permits 2% 2% Interest Income 0% Inter-governmental Fines and 8% arges for Forfeitures Services 2%° 33% Revenues by Source-All Funds REVENUES BY SOURCE, GENERAL FUND ONLY— Using those same classifications of revenue sources, the relative percentages of estimated revenues for the General Fund are shown below. Revenues by Source - General Fund - FY15 Interest Income Other Revenues Other Financing 0% 0% 8% Fines and�. g% Forfeitures 5% Property Taxes Charges for 53% Services 7% Inter-governmental 26% Licenses& Permits - 1% Revenues by Source-General Fund 1 As you can see, the General Fund is much more reliant on Property Taxes and Intergovernmental revenue than all funds, as a whole. These two sources combine to total 79%of General Fund revenues. City of Bozeman 56 FY15 Approved Budget LEGAL DEBT LIMIT & BOND RATINGS General Obligation (G.O.) Debt Limit: The City's legal debt limit for general obligation (G.O.) indebtedness is established by state statute. Total general obligations may not exceed 2.5%of the City's total market value, as established each August by the Department of Revenue. Our most recent valuation showed Total Market Value of$3.38 Billion. We are estimating an increase of 4.0%for the coming year. Anticipated borrowing this Fiscal Year: For FY15 we anticipate borrowing the remaining$5.1 Million for the voter-approved Trails, Open Space & Parks bonds. We also anticipate borrowing the full $22 Million for construction of a Police& Municipal Court facility, which will be on the ballot for voter approval November 2014. After both bonds are issued,the city would have consumed approximately 44% of its total authorized G.O. borrowing capacity; borrowing$39.5 Million of the $88 Million authorized. $47 million dollars of future borrowing capacity would remain. General Obligation Bond Rating: The City's most recent general obligation bond rating was done in connection with the issuance of the Trails, Open Space & Parks bonds in December 2013. Moody's rated that issue an "Aa3", stating: "The rating reflects the City's moderately-sized, stable tax base that is more than double the size of the national Aa3 rated city median nationally, sound financial operations and healthy reserve levels that will be drawn down to still sound levels due to a litigation payout, improved wealth measures, and a limited debt burden that is expected to increase over the near term" Revenue-backed Debt: There remains no statutory cumulative limit on the amount of debt a city can issue that is backed by the revenue streams of various operations, known as "Revenue Bonds". The City plans to borrow a total of$2.1 Million for the Landfill Project,guaranteed by the Stormwater Fund. Special District Debt: There is no statutory limit on the amount of debt a city can issue that is backed by assessments from special improvement districts (including lighting districts) known as "SID or SLID Bonds". Other Special District Debt is subject to specific limitations, set forth in statute. In December 2007,the City issued $6.27 Million in Tax Increment Urban Renewal Revenue Bonds for the Downtown Intermodal Parking Facility. This bond issue was initially rated BBB by Standard & Poor's. The rating was upgraded by Standard & Poor's to BBB+ in the spring of 2010. Legal Debt Limit—G.O. Estimated June 30, 2014 Estimated June 30, 2015 Statutory G.O. Debt Limit-2.5% $84,657,390 $88,043,686 of Valuation Less: Outstanding G.O. ($12,385,000) ($39,485,000) Bonds Less: Loans Payable ($1,106,000) ($931,000) Plus: Fund Balances Reserved -for Debt Payment Equals: Legal Debt Margin $71,166,390 $47,627,686 City of Bozeman 57 FY15 Approved Budget City of Bozeman 58 FY15 Approved Budget REVENUE DETAILS - FY15 City of Bozeman Property Special Licenses& Inter- Charges for Fines and Interest Other Other Financing TOTAL Revenues:All Funds Taxes Assessments Permits governmental Services Forfeitures Income Revenues Sources I 010-General Fund $13,916,234 $ 310,195 $ 6,684,958 $ 1,794,858 $1,285,500 $ 59,000 $ 63,000 $ 2,191,180 $26,304,925 100-Community Development/Planning 178,125 104,825 383,600 3,000 12,000 41,000 722,550 103-Health-Medical Insurance 2,037,401 2,037,401 108-Community Transportation 445,310 196,940 700 642,950 110-Gas Tax 658,583 3,800 662,383 111-Street Maintenance 20,000 26,700 3,456,096 14,300 226,642 3,743,738 112-Tree Maintenance 250 438,710 3,000 6,000 447,960 113-Fire Impact Fee 346,355 346,355 114-Street Impact Fee 1,785,069 87,700 1,872,769 115-Building Inspection Fund 1,181,050 9,000 1,190,050 116-TIFD Downtown Improvement 1,538,600 45,436 14,000 1,598,036 120-Community Housing Fund 3,000 5,000 145,310 153,310 121-Housing Revolving Loan 81 5,150 5,231 125-Drug Forfeiture Fund 64,485 64,485 132-Bogert Park Special Revenue 80 80 133-Recreation Special Revenue 39 3,044 3,083 135-Cemetery Special Revenue 16 16 136-Park Special Revenue 7,202 7,202 137-Library Special Revenue 233 55,600 55,833 139-Police Special Revenue 1,891 13,695 15,586 140-Police Domestic Violence 200,000 - 200,000 143-TIF N 7th Corridor 709,713 9,500 8,800 728,013 144-TIF NE Urban Renewal District 102,658 I 100 1,800 104,558 145-TIF Mandeville Farm Industrial 36,097 36,097 146-170;181;182;200-232 -Lighting Districts 362,785 362,785 City of Bozeman 59 FY15 Approved Budget City of Bozeman Property Special Licenses& Inter- Charges for Fines and Interest Other Other Financing TOTAL Revenues:All Funds Taxes Assessments Permits governmental Services Forfeitures Income Revenues Sources 174-Victim/Witness Advocate 74,747 2,815 77,562 175-Senior Transportation 89,062 215 _ 89,277 176-BID Downtown Improv Dist 120,000 175 47,500 167,675 183-Fire Department Special Revenue 715 2,500 3,215 186-Development Impacts 2,378 5,162 7,540 187-Fire Dept Equipment 356,250 1,125 357,375 189-Story Mansion Special Revenue 29,735 29,735 191-Bozeman Tourism BID 874,074 800 874,874 193-Street Maintenance- Babcock SID __ 75 5,741 5,816 194-Street Maintenance- Durston SID 325 5,935 6,260 300-SID Revolving Fund 19,000 19,000 303-G.O.Refunding Series 2012 273,274 273,274 304-Bond S&I Parks& Open Space Bond 714,280 714,280 305-2007 Downtown TIF Bonds 428,388 428,388 310-444-SID Funds 1,045,200 1,045,200 501-563-Construction Funds 27,100,000 27,100,000 600-Water Fund 1,690 7,548,538 96,530 625,565 - 8,272,323 610-Water Impact Fee 1,083,242 30,750 1,113,992 620-Waste Water Fund 1,225 7,125,165 64,310 48,500 7,239,200 630-Waste Water Impact Fee 1,005,295 1,005,295 640-Solid Waste Fund 2,869,250 8,900 15,500 2,893,650 641-Landfill Closure Costs 11,380 646,000 1,700,000 2,357,380 650-Parking Fund 219,650 160 3,000 279,000 2,875 237,000 741,685 670-Storm Water Fund 718,125 2,383 720,508 710-Vehicle Maintenance 250 835,100 3,400 3,000 841,750 720-Health-Medical Insurance 4,125,635 - 4,125,635 800-Cemetery Perpetual Care 82,000 5,600 87,600 $20,417,004 $ 2,402,059 $ 1,737,595 $ 7,903,917 $ 33,629,773 $ 1,703,732 $ 464,191 $1,813,094 $ 31,832,520 $101,903,885 City of Bozeman 60 FY15 Approved Budget REVENUE TRENDS &ANALYSIS Revenues are estimated for every fund of the City each year.This summary of revenue estimates is supported by detailed revenue estimates for each fund, as described later in the tables titled "Revenue & Expenditure Details". This section of the budget highlights major governmental and enterprise funds of the City: the General Fund, Street Maintenance Fund, along with Water, Wastewater,Stormwater and Solid Waste enterprises and associated impact fees. Trends of these funds and individual revenues are shown together with estimates for the coming year. Together, these eight funds comprise over$51 Million (51%) of the total estimated revenues of the City. GENERAL FUND The General Fund is used to account for all financial resources of the City, except for those required to be accounted for in another fund. Major functions supported by general fund revenues include: City Administration, Police and Fire services, Court, Parks, Recreation, and Library. Revenue is estimated to be $26.3 Million for the budget year. General Fund Revenue $30,000,000 $25,000,000 _ $20,000,000 ::: , . . . . . . . . . . . . . . . . . . . . $5,000,000 $0 I I I I I I I I 1 0� 0(O 01 0� Oo) tiO N. ti� ti ti� ti� tiO ti0 LO LO LO LO tiO tiO '1, O O ,yy Last 2 Years Projected General Fund Revenue The changes in General Fund revenue, depicted in the graph above, reflect the following trends: The approved mill levy for police and firefighter staff and equipment. That levy allows permanent increases in property tax levies, beginning in FY09. Beginning in the late 1990's, the rapid growth in new construction and annexations increased property taxes collected. However, the significant decline in local construction that began in 2008 reduced tax dollars from new construction. Fiscal Year 2010 saw 5.5% increase in taxable value. For FY11 there was a 2.7% increase in taxable values. In FY12 there is a 2.1% increase in City of Bozeman 61 FY15 Approved Budget taxable values. For FY13, there was a 1.4% increase; the smallest increase in the past 10 years. We are estimating a 4.0% increase in FY15. No State Entitlement Share growth for FY12 or FY13 —previously, this had been a steady source of revenue growth. For FY14 & FY15, the share will grow by 3.5%. Increase in tax levies to nearly the statutory maximum cap. STREET MAINTENANCE FUND The Street Maintenance District Special Revenue Fund's revenue history is shown below. Revenues, in the form of special assessments on real property, pay for the City's street maintenance and reconstruction program. We are estimating a total of$3.74 Million in total revenues this fiscal year. Street Maintenance Fund Revenue $4,000,000 $2,000,000 $0 OR O� O� O� O4' O� 0 y yL 3 ti� LO 0 LO LO LO LO O LO 0 LO LO LO Last 2 Years Projected Street Maintenance Fund Revenue Beginning with FY12, we expanded the program to include major street reconstruction projects; the first being the reconstruction of South 8th Avenue. This project required the borrowing of approximately $1.2 Million from the State of Montana, which results in a substantial increase in budgeted revenues from Other Sources in FY12. For FY13 & FY14, there were no revenues from Other Sources, but an increase in assessments to continue to build resources for reconstruction and curb replacements. FY15 has adopted a 10% rate increase for general street maintenance projects. The City Commission directed City Staff to pursue borrowing $226,642 to finance the Mckinstry LED streetlighting project. City of Bozeman 62 FY15 Approved Budget WATER FUND Shown on the graph on the following page are total water fund revenues, estimated at$8.2 Million for the budget year. As depicted by the graph, water fund revenues have steadily increased as the result of both an increase in the customer base and as the result of regular rate changes. Water Fund Revenues $9,000,000 — - - $8,000,000 — $7,000,000 — — $6,000,000 • — ' $5,000,000 $4,000,000 —■�. ■ ■ ■ ■ ■ ■ ■ ■ $3,000,000 ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ $2,000,000 ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ $1,000,000 $0 I I I I I I I I -, 0< 0o� 01 0b 0°, ,y0 y yL 3 ti� co LO ,y0 ,y0 ,y0 ,y0 ti0 ,LO y0 ,LO LO ,LO Last 2 Years Projected Water Fund Revenues In updating our rate study for slower customer growth in recent years, decreased impact fee collections and new estimates of Water Plant costs,we estimated needing a 4.5%water rate increase for FY11 through FY13 in order to fund plant construction and other scheduled operations and maintenance costs. The Commission adopted a two-year rate resolution of 4.5% increase in FY12 and 4.5% increase in FY13. FY13 revenues include loan proceeds of$19.5 Million to fund the reconstruction of our Water Treatment Plant, which got underway towards the end of FY11. FY14 revenues are coming from Utility rates, without the high levels of proceeds of long-term debt previously budgeted. The Commission voted to hold water rates steady for FY14 (no rate increase). Discounts for ACH payments were discontinued in FY14. In FY15, the Public Works Department budget will be charged to the Water Fund. This department's administrative overhead is charged out to the departments that use their services, which is a significant increase in the Water Fund revenues. WATER IMPACT FEE FUND The Water Impact Fee Fund's source of revenue is water system development impact fees. The fees are charged to development projects as they place demand for new capacity on the water treatment and distribution systems. As the recession has impacted construction and development, you can see the decrease in the collection of these fees. Based on the newly adopted Impact Fees in April 2013, and City of Bozeman 63 FY15 Approved Budget increased construction, rates and revenues increased significantly in FY13. Our budgets continue to be based on a 5 year average collections. Water Impact Fee Fund Revenues $2,500,000 $2,000,000 $1,500,000 • • W $1,000,000 $500,000 $0 0 00 01 0� 0� 0 y titi � ti� ti� 0 0 0 0 0 0 0 LO 0 0 0 Last 2 Years Projected Water Impact Fee Fund Revenues WASTEWATER FUND Revenues in the Wastewater Fund have, in general, been increasing over the past 10 years, and are estimated at$7.2 Million for the budget year. In FY10-12 we borrowed significantly to construct our new Water Reclamation Facility. This debt is being repaid by system users over the next 20 years. The Commission adopted a two-year rate resolution of 6% increase in FY12 and 6% increase in FY13. For FY14 & FY15 there is a 3% increase in rates. Wastewater Fund Revenues $18,000,000 $16,000,000 $14,000,000 $12,000,000 $10,000,000 ■ $8,000,000 ■ $6,000,000 ■ ■ ■'■'■' $4,000,000 �■�■�■'■ . ■ ■ ■ ■ $2,000,0$00 I ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ 0(,) O(O 01 % � 0 y yL ')) � tih y0 ,y0 y0 y y 1, LO ,o 1, y0 y0 Last 2 Years Projected Wastewater Fund Revenues City of Bozeman 64 FY15 Approved Budget WASTEWATER IMPACT FEE FUND The Wastewater Impact Fee Fund's source of revenue is wastewater system development impact fees. The fees are charged to development projects as they place demand for new capacity on the wastewater treatment and collection systems. As the recession has impacted construction and development,you can see the decrease in the collection of these fees. Based on the newly adopted Impact Fees in April 2013 and increased construction, revenues increased significantly in FY13. Based on the wastewater rate study,fees are estimated to increase in FY15. Our budgets continue to be based on a 5 year average collections. Wastewater Impact Fee Fund $3,000,000 - _Revenues $2,500,000 $2,000,000 $1,500,000 . . . $1,000,000 $500,000 • • • T • $0 0� 0(0 01 0� 005 ,y0 titi yl yS y0 y0 y0 LO ti0 y0 ,LO y0 y0 ti0 y0 Last 2 Years Projected Wastewater Impact Fee Fund Revenues SOLID WASTE FUND Revenues in the Solid Waste Fund were significantly affected by the closing of the City Landfill in 2007. During fiscal year 2006, the Commission discussed how the City would continue solid waste disposal services as our landfill was nearing its capacity. In a measure to reserve the remaining cell space for residential use only, the Commission closed the landfill to tipping by commercial customers and non-city residents and to any construction and demolition waste. The Landfill officially closed in June 2008. Solid Waste Fund Revenues $5,000,000 $4,000,000 " - $3,000,000 $2,000,000 $1,000,000 - o JJJJJ ;tJjJE Last 2 Years Projected Solid Waste Fund Revenues 1 City of Bozeman 65 FY15 Approved Budget The Solid Waste Collection Division continues to operate residential and commercial collection, and in FY09 we began to provide curb-side recycling collection services. For FY11 garbage rates increased 5%, to cover fuel costs, employee salary and benefit increases, and the assumption of costs that were once shared with the Disposal division. During the recession, the slowdown in local construction activity decreased demand for "roll-off' containers and the associated hauling and tipping services. Solid waste fund revenues, including curbside recycling fees for the year, are estimated at $2.8 Million. An estimated 8% growth will increase revenue by $120,000 over FY14. Increase in the rate for 35 gallon totes to full cost-recovery in FY15. STORMWATER FUND The Stormwater Fund was created in FY13 to rejuvenate and protect local waterways from water that flows over hard surfaces(stormwater).The City Stormwater Utility Enhancement program was proposed to the City Commission and a utility was created. In FY15 we plan to significantly increase operations with additional staff, maintenance, and capital enhancements.The increased level of service requires $1.2 million in annual funding.The new rates and services are expected to be implemented in January 2015. Stormwater Fund Revenues $800,000 $700,000 $600,000 - $500,000 - $400,000 - $300,000 - $200,000 $100,000 $0 I I I Last 2 Years Projected Stormwater Fund Revenues City of Bozeman 66 FY15 Approved Budget EXPENDITURE DETAILS - FY15 Personnel Operations Capital Debt Transfers Other TOTAL City of Bozeman Expenditures:All &Benefits Service Financing FundsUses 010-General Fund $ 17,367,088 $8,488,544 $ 831,369 $ - $ 210,000 $ 26,897,001 100-Community Development/Planning 758,750 170,788 - - 929,538 103-Health-Medical Insurance I 2,037,401 2,037,401 108-Community Transportation - 526,690 526,690 110-Gas Tax 229,500 430,000 659,500 111 -Street Maintenance 1,300,213 1,503,744 1,286,642 245,000 4,335,599 112-Tree Maintenance 345,851 137,222 - 483,073 114-Street Impact Fee 1,225,000 1,225,000 115-Building Inspection Fund 1,054,067 400,743 50,000 1,504,810 116-TIFD Downtown Improvement 2,095,000 631,588 2,726,588 120-Community Housing Fund 274,269 274,269 121 -Housing Revolving Loan 17,807 17,807 125-Drug Forfeiture Fund 190,452 11,300 201,752 133-Recreation Special Revenue 1,000 1,000 137-Library Special Revenue 7,900 7,900 138-Law&Justice Center 20,000 20,000 140-Police Domestic Violence 40,505 184,180 224,685 143-TIF N 7th Corridor 1,012,500 36,000 1,048,500 144-TIF NE Urban Renewal District 316,312 5,000 321,312 146-170;181;182;200-232 -Lighting Districts 414,520 414,520 174-Victim/Witness Advocate 135,000 135,000 City of Bozeman 67 FY15 Approved Budget Personnel Operations Capital Debt Transfers Other TOTAL City of Bozeman Expenditures:All &Benefits Service Financing Funds Uses 175-Senior Transportation 89,277 89,277 176-BID Downtown Improv Dist 135,195 135,195 186-Development Impacts 56,248 i 56,248 187-Fire Dept Equipment 37,000 37,000 189-Story Mansion Special Revenue 18,673 18,673 191 -Bozeman Tourism BID 422,048 422,048 303-G.O. Refunding Series 2012 273,274 - 273,274 304-Bond S&I Parks&Open Space Bond 714,280 714,280 305-2007 Downtown TIF Bonds 428,388 428,388 310-444-SID Funds 1,045,200 1,045,200 501-563-Construction Funds 32,052,584 32,052,584 600-Water Fund 2,452,167 2,818,905 2,345,220 786,699 8,402,991 610-Water Impact Fee 350,000 350,000 383,242 1,083,242 620-Waste Water Fund 2,147,187 2,816,982 1,495,500 584,268 - 7,043,937 630-Waste Water Impact Fee 200,000 653,212 853,212 640-Solid Waste Fund 1,107,294 1,564,517 158,043 2,829,854 641 -Landfill Closure Costs 640,000 1,700,000 2,340,000 650-Parking Fund 236,925 227,853 200,000 664,778 670-Storm Water Fund 290,700 30,076 494,500 815,276 710-Vehicle Maintenance 317,071 555,416 15,500 887,987 720-Health-Medical Insurance 3,848,255 3,848,255 $ 27,608,270 $28,937,526 $ 43,398,048 $4,077,109 $ 3,381,103 $ 631,588 $108,033,644 City of Bozeman 68 FY15 Approved Budget EXPENDITURE TRENDS &ANALYSIS This section provides a historical trend analysis of the expenditures of the largest funds of the City. Increases and decreases in fund expenditure levels is a natural occurrence. The most important point is to understand what factors are causing fund expenditure levels to change. General Fund expenditures tend to be more stable, due to the fact that most costs are personnel that are both predictable and steady. In enterprise funds and construction funds, large fluctuations will occur due to the fact that these funds are infrastructure intense and large expenditures are sporadic, depending on the projects involved. The eight funds described below encompass $52 Million (48%) of the total expenditures for FY15. GENERAL FUND The General Fund is used to account for all financial resources of the City, except for those required to be accounted for in another fund. Major functions supported by General Fund revenues include: City Administration, Police and Fire services, Court, Parks, Recreation, and Library. Expenditures total $26.8 Million for this fiscal year. General Fund Expenditures 30,000,000 25,000,000 - — 20,000,000I — 15,000,000 10,000,000 5,000,000 General Fund Expenditures The increase in expenditure levels of the General Fund can be tied to the growth trend of our community. With this increase in property and population,there is a need for additional General Fund services. Staffing increases to handle citizen demands bring salary and health insurance expenditure increases. Expanding our buildings to accommodate more citizens and employees results in an increase to building maintenance costs. City of Bozeman 69 FY15 Approved Budget Expenditures in Library Services increased significantly in 2007 due to the operations of the new Library facility. For FY08 we decreased expenditures on 911 Dispatch services by over $700,000, due to the assumption of this program by the county. Over the past six years, we have increased expenditures in Police and Fire Services. For FY15, the General Fund will support our last payment of$675,000 to MMIA (previous payments in FY13 & FY14 were also supported by the General Fund). STREET MAINTENANCE FUND The Street Maintenance District Fund's expenditure history is shown below. Expenditures pay for the City's street maintenance program personnel, operating costs, and equipment. Street Maintenance Fund 5,000,000 Expenditures 4,000,000 3,000,000 2,000,000 — — 1,000,000II I II...._. O� 01 O` O°� 1� �� II ti� O ,0 .O ,O ,O .O .O ,0 ,O .0 Street Maintenance Fund Expenditures Beginning in FY12, we expanded the program to include major street reconstruction projects; the first being the reconstruction of South 8th Avenue. Expenditures in FY14 are budgeted at $3.8 Million and include $900,000 of expenditures from our recently established Street Reconstruction and Curb Replacement monies. Expenditures in FY15 are budgeted at $4.3 Million and include monies for a reconstruction project, chip sealing streets according to the Pavement Condition Survey, and Capital Improvement vehicles/equipment to aid in the Pavement Preservation Program. The Mckinstry Energy project of replacing 200 City owned street lights with LED light bulbs was added to the Street Maintenance budget for FY15. The project will be funded by an Intercap loan, to be paid back with the energy savings resulting from the project. City of Bozeman 70 FY15 Approved Budget WATER FUND The following chart depicts the trend in the Water Fund and shows the result of sporadic large improvement projects being undertaken in FY04-08 and again in FY11-FY13. Water Fund Expenditures 25,000,000 20,000,000 15,000,000 10,000,000 5,000,000 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Water Fund Expenditures In 2004, we began design and construction on the Hyalite Transmission Main, which greatly improved service for the City's water supply from Hyalite reservoir. That project was completed in FY06. FY12 expenditures total roughly $14.5 Million, and included spending on the first year of construction of our new Water Treatment Facility, according to our long-rang Water Facility Plan. FY12 also saw a concerted improvement in our water distribution pipe replacement program, replacing rehabilitation projects "every-two-years" with an annual program (doubling our efforts). FY13 includes the majority of construction costs for the Treatment Facility. Expenditures for FY14 are expected to fall to normal operating levels and total $6 Million. FY15 expenditures are budgeted at $8.4 million. The Water Fund will include the Department of Public Works beginning in FY15, so expenditures (in correlation with revenues) will increase significantly (previously in the General Fund) City of Bozeman 71 FY15 Approved Budget WATER IMPACT FEE FUND The Water Impact Fee Fund accounts for the spending of water system development impact fees. The fees are required to be spent on capital projects that expand the capacity of the City's water treatment and water distribution systems. As such, spending is sporadic and related to planned capital projects. In 2006,the Fund paid for improvements to the Hyalite Water Transmission Main. In FY12, 13, and 14, the Fund has assisted with the construction the new Water Treatment Facility. The budget for FY15 includes two CIP items—the design of a concrete water storage reservoir and an update to the Water Master Plan.The remaining budget is to assist in paying off the Water Treatment Plant debt. Water Impact Fee Fund Expenditures 12,000,000 10,000,000 8,000,000 6,000,000 F 4,000,000 2,000,000 _ • — AL1- -IWL CP CP ti�$ tie ti�y� ti�� ti�� ti � 6-1)" � Water Impact Fee Fund Expenditures WASTEWATER FUND The Wastewater Fund has also spent substantial dollars on capital improvements over the past ten years. As a result of our most recent Wastewater Facility Study,the City immediately embarked on the design and construction of a new Water Reclamation Facility. Wastewater Fund Expenditures 28,000,000 24,000,000 • 20,000,000 16,000,000 • 12,000,000 8,000,000 4,000,000 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Wastewater Fund Expenditures City of Bozeman 72 FY15 Approved Budget In November 2008, the City approved bids for a project totaling $54 Million. We broke ground in May 2009 and substantially completed the project in 2012. FY12 also saw a concerted improvement in our wastewater collection pipe replacement program, replacing rehabilitation projects "every-two-years" with an annual program (doubling our efforts). FY14 expenditures were estimated at $6.3 Million. FY15 expenditures are estimated at $7 Million. WASTEWATER IMPACT FEE FUND The Wastewater Impact Fee Fund accounts for the spending of wastewater system development impact fees. The fees are required to be spent on capital projects that expand the capacity of the City's wastewater treatment and wastewater collection systems. As such,spending is sporadic and related to planned capital projects. Wastewater Impact Fee Fund Expenditures 15,000,000 -V 10,000,000 - 5,000,000 -)i- Wastewater Impact Fee Fund Expenditures In 2010, the fund assisted with the construction of the Water Reclamation Facility. Expenditures in FY15 are budgeted at $853,000 to pay debt related to the capacity expanding elements of the Water Reclamation Facility and for trunk main and lift station design costs. City of Bozeman 73 FY15 Approved Budget SOLID WASTE FUND Solid Waste Fund Expenditures 6,000,000 4,000,000 2,000,000 OC° 01 'l' le le 't' 'l' ti '1' le�� Solid Waste Fund Expenditures Expenditures in the Solid Waste Fund increased significantly during 2005-2007 due to the City's investment in the Mandeville Farm property, Transfer Station design, and the Old Library Property. Costs also increased in FY06 when the City decided to direct-haul collection trash to the County Landfill. The FY09 budget included the cap and closure costs on the City's existing landfill cell, curb-side recycling start-up, and funding our regular garbage collection routes. Expenditures for FY15 are estimated at $2.8 Million. The slight decrease from FY14 is attributed to fewer Capital Improvement items. Operating costs are slightly higher than FY14. STORMWATER FUND The Stormwater Fund was created in 2013 to collect revenues from Stormwater utility assessments, and use the funds to rejuvenate and protect underground pipes and infrastructure relating to stormwater transportation. City of Bozeman 74 FY15 Approved Budget Stormwater Fund Expenditures $900,000 $800,000 $700,000 • $600,000 $500,000 - $400,000 • $300,000 $200,000 $100,000 $0 1M111A Last 2 Years Projected Stormwater Fund Expenditures In FY13, expenditures were minor and mainly for staff to begin mapping the current stormwater infrastructure and prep for the further development of the assessed fees and future needs of the utility. FY14 saw an increase in Staff to continue to develop the Stormwater utility. In January 2015, the City will be adopting a new rate model, as well as a 15 year plan for improving, replacing and installing stormwater infrastructure. The "Bronze Level of Service" plan was adopted with the budget. City of Bozeman 75 FY15 Approved Budget FUND BALANCES/WORKING CAPITAL TRENDS &ANALYSIS There are two fund types that are used to account for the City's operating funds. One is governmental fund types and the other is proprietary fund types. The best measure of a governmental fund types' financial condition is fund balance (assets minus liabilities). The best measure of a propriety fund types' financial condition is working capital (current assets minus current liabilities). This section provides a historical trend analysis of the fund balance and working capital balances of the major funds of the City. Increases and decreases in a funds' financial position is a natural occurrence. The most important point is to understand what factors are causing a funds' financial position to change. General Fund balances will generally be more stable, due to the fact that most costs are personnel that are both predictable and steady. In enterprise funds, large fluctuations will occur due to the fact that these funds are infrastructure intense and large expenditures are sporadic. GENERAL FUND The General Fund is used to account for all financial resources of the City, except for those required to be accounted for in another fund. Major functions supported by General Fund revenues include: City Administration, Police and Fire services, Court, Parks, Recreation, and Library. The graph below shows that the city has maintained its General Fund balance between $2.5 and $7.5 Million over the past ten years. General Fund - Fund Balance - FY15 $8,000,000 $7,000,000 -- - $6,000,000 $5,000,000 .r $4,000,000 $3,000,000 'wpm . .—. ■ ■ ■ ■ $2,000,000 . . . . . . . . . $1,000,000 $0 I I I I I I I I I CO A Cb Last 2 Years Projected General Fund-Fund Balance-FY15 Increases in fund balance in FY08 occurred as the result of unexpected revenues and vacancy savings (most significant in FY08). City of Bozeman 76 FY15 Approved Budget The decline in FY07 is attributed to the City's share of the purchase of the Lamme Library property for $1 Million. FY09 saw an increase due, in part, to unfinished capital projects (Swim Center AV System and Fire Department equipment purchases) that were carried over into the FY10 year and spent. The FY12 budget year ended with a fund balance level of over $7 Million, due to vacancy savings in the Police Department, and other departmental budget savings. The FY13 ended with over $7 Million in fund balance, of which $700,000 was earmarked for payment of the City's second payment to the MMIA for the settlement of the declaratory action & over $1 Million earmarked for a tax decrease in FY14 The FY15 Budget is developed to end the fiscal year slightly above the required minimum $4 Million fund balance (4.7 Million). We will be relying on $675,000 of budget savings & $225,000 of pool reserves to assist in making payments in FY15. The next graph shows the General Fund's fund balance in relation to the annual operating revenue of the fund. In May 2011, the City adopted GFOA's Best Practice for Unreserved Fund Balance in the General Fund into its Budget Administration Ordinance, which requires a 16.7% balance. If that is not achieved,the Commission must hold a separate hearing to specifically address why the balance has not been met and what will be done going forward. The reserve minimum will be met with an estimated 17.9% reserve. Unreserved General Fund Balance as a % of Revenues 35% 33.1% o 29.4% 30% - 24.3% o 25% - 20.6% 22.7% 21.7% 20% 17 q% .my 17 9% 15% 13.3% 14.5% 10% 5% : mm. Last 2 Years Projected Unreserved General Fund Balance as a% There is considerable overlap between the City's "backward looking" CAFR (Comprehensive Annual Financial Report) and "forward looking" annual budget. During the budget process, before a fiscal year City of Bozeman 77 FY15 Approved Budget is completed,we are forced to estimate how much both the current (FY14) and future (FY15) reserve amounts will be. WATER FUND The graph below depicts the working capital balance of the City's Water Fund. This graph typifies the significant fluctuations that result from large infrastructure expenditures. Water Fund - Working Capital $11,500,000 $9,500,000 $7,500,000 $5,500,000 $3,500,000 - $1,500,000 -$500,000 Oh <0 A0q, O°� yO y� yl '' R h ti yO tiO tiO \' t' tiO tiO ,'O ,LO yO ,tiO Last 2 Years Projected Water Fund-Working Capital We accumulated, and are now utilizing, dollars for plant design and construction. FY14 budget projected an ending balance of$9 Million, and FY15 projects an ending balance of$8.9 Million. WASTEWATER FUND The FY09 spending on plant construction brings the working capital balance to its lowest level in ten years. This is to be expected, considering that the treatment plant project represents the most substantial investment in the City's Wastewater Facility in years. FY13 saw the end of construction and the opening of the new facility.The FY15 ending working capital balance is projected to be$1.8 Million. Wastewater Fund -Working Capital $7,000,000 _l $6,000,000 - $5,000,000 - $4,000,000 - - - $3,000,000 $2,000,000 $1,000,000 yOOOOOS 00% LOOS N. N. � N. .LON' LtiyL Last 2 Years Projected Wastewater Fund-Working Capital City of Bozeman 78 FY15 Approved Budget SOLID WASTE FUND The graph of the Solid Waste Fund working capital begins with a healthy balance accumulated to plan for the eventual closure of the landfill and to provide for an alternative for solid waste disposal. Solid Waste Fund - Working Capital $5,000,000 - $4,000,000 _' $3,000,000 1 $2,000,000 -' T — $1,000,000 — — $0 _. _ Last 2 Years Projected Solid Waste Fund-Working Capital In FY07, $1.5M was utilized to purchase the Lamme Library Property, after the City Commission decided to discontinue land-filling operations, and to join the County's regional Solid Waste District. The FY09 budget anticipated closing and capping the Landfill and beginning a curbside recycling program in addition to the current garbage collection services. The new recycling program required investments in a new recycling truck and bins for customers which were funded in FY08. FY10 shows the results of utilizing approximately $370,000 for the addition of office and vehicle storage space to meet the long term needs of the division. The increased revenue from 35 gallon totes and expanding customer base, combined with a reduction in expenditures will see a slight increase in the FY15 ending working capital - $997,000. City of Bozeman 79 FY15 Approved Budget STORMWATER FUND The Stormwater utility was created in FY13. Being a newer utility,the working capital balance has not had time to accumulate and grow.With the implementation of the "Silver Level of Service" model in January 2015, part of the accumulated working capital will be used to assist in implementing the infrastructure improvements.The ending working capital balance for the Stormwater Fund is projected to be approximately$31,000, and is projected to steadily increase moving forward. Stormwater Fund - Working Capital $140,000 $120,000 - $100,000 - — $80,000 - — $60,000 - — $40,000 - - - $20,000 $0 �. (,) Last 2 Years Projected Stormwater Fund-Working Capital City of Bozeman 80 FY15 Approved Budget REVENUE & EXPENDITURE DETAILS FOR EACH FUND 010 - General Fund FY13 FY14 FY15 Actual Budget Approved Revenues Property Taxes 10,720,433 11,432,986 12,857,234 Gallatin County Option 1,023,872 987,000 1,059,000 Penalty& Interest 7,041 Business/Animal Licenses and Permits 301,817 285,370 310,195 Grants 91,744 County Shared 507,659 507,659 536,500 State Shared 5,678,492 5,660,202 6,148,458 General Government 1,502,536 1,504,165 1,154,524 Public Safety 162,252 162,764 160,564 Public Welfare 474,984 448,800 479,770 Library Fines 47,426 45,000 51,000 Police Court Fines 1,172,551 1,104,500 1,193,000 Parking Fines 29,065 50,000 41,500 Snow Removal Fines 10,339 Interest Income 48,582 35,000 59,000 Admin Reimbursement 1,500 Cash Over/Short 494 Donations 600 Miscellaneous Revenue 5,997 5,000 7,600 Refunds&Reimbursements (6,832) 25,000 49,500 Rents and Royalties 2,705 1,500 1,500 Sales/Unclaimed Property 6,164 10,000 4,400 Transfers 3,174,742 2,184,293 2,191,180 Total Revenues 24,964,163 24,449,239 26,304,925 Expenditures Personnel &Benefits 17,225,699 16,416,267 17,367,088 Operations 6,287,181 8,279,192 8,488,544 Capital 487,316 1,973,346 831,369 Debt Service 311,887 Transfers 651,759 274,186 210,000 Total Expenditures 24,963,842 26,942,991 26,897,001 Special Revenue Funds 100 - Community Development/Planning Actual Budgp get A pprov oved Revenues Property Taxes 168,101 169,782 178,125 Grants 5,500 5,225 5,225 State Shared 93,993 96,255 99,600 Charges for Services 317,581 146,700 383,600 Interest Income 2,392 3,000 Refunds&Miscellaneous Revenue 18,329 16,000 12,000 Transfers 346,935 199,036 41,000 Total Revenues 952,831 632,998 722,550 Expenditures Personnel &Benefits 643,275 577,791 758,750 Operations 100,260 192,688 170,788 Capital 12,500 Total Expenditures 743,535 782,979 929,538 City of Bozeman 81 FY15 Approved Budget 103 - Health-Medical Insurance FY13 FY14 FY15 Actual Budget Approved Revenues Property Taxes 1,941,384 1,982,204 2,037,401 Interest Income 1,073 Total Revenues 1,942,457 1,982,204 2,037,401 Expenditures Transfers 2,002,541 2,178,484 2,037,401 Total Expenditures 2,002,541 2,178,484 2,037,401 108 - Community Transportation FY13 FY14 FY15 Actual Budget Approved Revenues Property Taxes 445,310 Interest Income 619 700 State Grants 196,940 Transfers 30,150 30,150 Total Revenues 30,769 30,150 642,950 Expenditures Operations 30,515 Capital 526,690 Total Expenditures 30,515 526,690 109 - Highway Safety Improvement Projects FY13 FY14 FY15 Actual Budget Approved Revenues Interest Income 171 Total Revenues 171 110 - Gas Tax FY13 FY14 FY15 Actual Budget Approved Revenues State Shared 649,387 650,400 658,583 Interest Income 3,902 4,000 _ 3,800 Total Revenues 653,289 654,400 662,383 Expenditures Operations 242,464 229,500 229,500 Capital 364,875 430,000 430,000 Total Expenditures 607,339 659,500 659,500 FY1111 - Street Maintenance Actual3 FY14 Approved Revenues Penalty& Interest 23,494 20,000 20,000 Permits 12,293 15,000 26,700 State Shared 972 Public Service 2,917,498 3,107,999 3,456,096 Interest Income 12,183 15,000 14,300 Refunds&Reimbursements 2,213 Proceeds-Asset Disposition 2,675 Loan Proceeds 226,642 Total Revenues 2,971,328 3,157,999 3,743,738 City of Bozeman 82 FY15 Approved Budget FY1 111 - Street Maintenance - Cont'd Actual3 FY14 Approved Expenditures Personnel &Benefits 1,205,211 1,311,538 1,300,213 Operations 777,444 1,056,668 1,503,744 Capital 114,099 1,205,383 1,286,642 Debt Service 70,531 255,000 245,000 Total Expenditures 2,167,285 3,828,589 4,335,599 112 - Tree Maintenance FY13 FY14 FY15 Actual Budget Approved Revenues Penalty& Interest 3,382 4,000 4,000 Grants 11,750 Intergovernmental 265 250 Public Service 423,878 420,745 434,710 Interest Income 1,735 2,000 3,000 Sales 5,350 6,000 6,000 Other Financing Sources 100 Total Revenues 446,460 432,745 447,960 Expenditures Personnel &Benefits 351,813 342,292 345,851 Operations 83,599 141,317 137,222 Capital 62,000 Total Expenditures 435,412 545,609 483,073 113 - Fire Impact Fee FY13 FY14 FY15 Actual Budget Approved Revenues Public Safety 403,903 190,000 346,355 Interest Income 2,411 Total Revenues 406,314 190,000 346,355 Expenditures Operations 6,329 Transfers 437,993 Total Expenditures 444,322 114 - Street Impact Fee FY13 FY14 FY15 Actual Budget Approved Revenues Public Service 2,480,576 921,000 1,785,069 Interest Income 68,580 60,000 87,700 Admin Reimbursement 100 Total Revenues 2,549,256 981,000 1,872,769 Expenditures Operations 36,211 Capital 350,000 1,225,000 Total Expenditures 36,211 350,000 1,225,000 City of Bozeman 83 FY15 Approved Budget 115 - Building Inspection Fund FY13 FY14 FY15 Actual Budget Approved Revenues Permits 1,315,633 1,153,700 1,181,050 State Shared 6,142 General Government 557 Refunds&Reimbursements 3,566 Interest Income 7,130 7,000 9,000 Cash Over/Short (5) Miscellaneous Revenue 24 Total Revenues 1,333,047 1,160,700 1,190,050 Expenditures Personnel &Benefits 719,757 946,626 1,054,067 Operations 259,629 181,984 400,743 Capital 226,787 100,000 50,000 Total Expenditures 1,206,173 1,228,610 1,504,810 116 - TIFD Downtown Improvement FY13 FY14 FY15 Actual Budget Approved Revenues Property Taxes 806,435 1,425,195 1,538,600 State Shared 45,437 31,158 45,436 Interest Income 11,695 _ 11,000 14,000 Total Revenues 863,567 1,467,353 1,598,036 Expenditures Operations 191,101 1,558,600 2,095,000 Transfers 430,600 438,388 631,588 Total Expenditures 621,701 1,996,988 2,726,588 118 - HUD Projects FY13 FY14 FY15 Actual Budget Approved Revenues Grants 52,526 Total Revenues 52,526 Expenditures Personnel 16,958 Capital 27,322 Total Expenditures 44,280 119 - Economic Development Loan FY13 FY14 FY15 Actual Budget Approved Revenues Loan Principal 87,864 Loan Interest 11,338 Total Revenues 99,202 Expenditures Operations 116,841 Total Expenditures 116,841 City of Bozeman 84 FY15 Approved Budget 120 - Community Housing Fund FY13 FY14 FY15 Actual Budget Approved Revenues Property Tax Revenue 42,445 89,062 Interest Income 2,596 3,000 3,000 Loan Principal 5,000 5,000 5,000 Transfers 41,885 56,248 Total Revenues 49,481 50,445 153,310 Expenditures Operations 40,000 47,000 274,269 Total Expenditures 40,000 47,000 274,269 121 - Housing Revolving Loan FY13 FY14 FY15 Actual Budget Approved Revenues Interest Income 156 750 81 Loan Principal 4,664 4,200 4,700 Loan Interest 529 750 450 Total Revenues 5,349 5,700 5,231 Expenditures Operations 14,400 14,400 17,807 Total Expenditures 14,400 14,400 17,807 124 - Bozeman Area Bike Board FY13 FY14 FY15 Actual Budget Approved Revenues Other Revenues 930 Total Revenues 930 Expenditures Operations 1,740 _ Total Expenditures 1,740 125 - Drug Forfeiture Fund FY13 FY14 FY15 Actual Budget Approved Revenues Grants 52,084 56,000 State Shared 37,401 Police Court Fines 59,863 50,000 64,485 Interest Income 865 Other Financing Sources 90,000 Total Revenues 150,213 196,000 64,485 Expenditures Personnel &Benefits 197,597 175,102 190,452 Operations 9,557 11,300 11,300 Total Expenditures 207,154 186,402 201,752 City of Bozeman 85 FY15 Approved Budget 128 - Fish Wildlife & Park Mgmt FY13 FY14 FY15 Actual Budget Approved Revenues Interest Income 160 Total Revenues 160 Expenditures Operations 88 Total Expenditures 88 130 - Americans with Disability FY13 FY14 FY15 Actual Budget Approved Revenues _ Interest Income 264 Total Revenues 264 131 - Beautification of Bozeman FY13 FY14 FY15 Actual Budget Approved Revenues Interest Income 7 Total Revenues 7 Expenditures Operating 14 Total Expenditures 14 132 - Bogert Park Special Revenue FY13 FY14 FY15 Actual Budget Approved Revenues Interest Income 81 80 Refunds&Reimbursements 1,086 Total Revenues 1,167 80 133 - Recreation Special Revenue FY13 FY14 FY15 Actual Budget Approved Revenues Interest Income 75 200 39 Donations 2,132 500 3,044 Total Revenues 2,207 700 3,083 Expenditures Operations 4,187 1,000 1,000 Capital 5,983 Total Expenditures 10,170 1,000 1,000 135 - Cemetery Special Revenue FY13 FY14 FY15 Actual Budget Approved Revenues Interest Income 18 16 Total Revenue 18 16 City of Bozeman 86 FY15 Approved Budget 136 - Park Special Revenue FY13 FY14 FY15 Actual Budget Approved Revenues Interest Income (33) 200 Donations 137 500 162 Miscellaneous Revenue 4,960 7,040 Total Revenues 5,064 700 7,202 Expenditures Operations 12,000 Capital 9,750 Total Expenditures 9,750 12,000 137 - Library Special Revenue FY13 FY14 FY15 Actual Budget Approved Revenues _ Grants 7,256 Interest Income 234 200 233 Donations 34,808 25,000 55,600 Total Revenues 42,298 25,200 55,833 Expenditures Operations 51,982 7,900 7,900 Total Expenditures 51,982 7,900 7,900 138 - Law & Justice Center FY13 FY14 FY15 Actual Budget Approved Expenditures Operations 19,125 20,000 Total Expenditures 19,125 20,000 139 - Police Special Revenue FY13 FY14 FY15 Actual Budget Approved Revenues Grants 25,224 State Shared 16,725 Interest Income 2,420 3,000 1,891 Donations 2,600 1,000 13,695 _ Refunds& Reimbursements 1,692 Total Revenues 48,661 4,000 15,586 Expenditures Personnel &Benefits 87,971 81,154 Operating 33,008 35,066 Capital 8,000 • I Total Expenditures 120,979 124,220 140 - Police Domestic Violence FY13 FY14 FY15 Actual Budget Approved Revenues Grants 234,965 200,000 200,000 State Shared 46 Total Revenues 235,011 200,000 200,000 City of Bozeman 87 FY15 Approved Budget FY13 FY14 FY15 140 - Police Domestic Violence - Cont'd Actual Budget Approved Expenditures Personnel &Benefits 3,325 54,125 40,505 Operating 178,971 147,100 184,180 Total Expenditures 182,296 201,225 224,685 143 - TIF N 7th Corridor FY13 FY14 FY15 Actual Budget Approved Revenues Property Taxes 650,989 645,000 709,713 State Shared 19,067 9,500 Interest Income 9,931 7,500 8,800 Total Revenues 679,987 652,500 728,013 Expenditures Operating 11,952 856,849 1,012,500 Capital 536,499 Transfers 10,000 10,000 36,000 Total Expenditures 558,451 866,849 1,048,500 144 - TIF NE Urban Renewal District FY13 FY14 FY15 Actual Budget Approved Revenues Property Taxes 96,088 79,000 102,658 Grants 5,000 State Share 201 100 Interest Income 1,557 1,600 1,800 Total Revenues 102,846 80,600 104,558 Expenditures Operating 19,279 92,400 r 316,312 Transfers 2,900 5,000 5,000 Total Expenditures 22,179 97,400 321,312 145 - TIF Mandeville Farm Industrial FY13 FY14 FY15 Actual Budget Approved Revenues Property Taxes 12,148 46,000 36,097 Total Revenues 12,148 46,000 36,097 Expenditures Operating 1,436 Total Expenditures 1,436 146 - 170;181;182; 200 -232 - Lighting FY13 FY14 FY15 Districts Actual Budget Approved Revenues Penalty& Interest 7,131 Special Assessments 355,573 347,000 362,785 _ Interest Income 5,120 Total Revenues 367,824 347,000 362,785 City of Bozeman 88 FY15 Approved Budget 146 - 170;181;182; 200 -232 - Lighting FY13 FY14 FY15 Districts - Cont'd Actual Budget Approved Expenditures Operating 375,004 347,000 414,520 Total Expenditures 375,004 347,000 414,520 174 - Victim/Witness Advocate FY13 FY14 FY15 Actual Budget Approved Revenues Police Court Fines 75,407 65,000 74,747 Interest Income 3,003 3,500 2,815 Total Revenues 78,410 68,500 77,562 Expenditures Operating 65,828 125,000 135,000 Total Expenditures 65,828 125,000 135,000 175 - Senior Transportation FY13 FY14 FY15 Actual Budget Approved Revenues Property Taxes 84,066 84,891 89,062 Interest Income 185 215 Total Revenues 84,251 84,891 89,277 Expenditures Operating 85,098 83,769 89,277 Total Expenditures 85,098 83,769 89,277 176 - BID Downtown Improv Dist FY13 FY14 FY15 Actual Budget Approved Revenues Principal 114,000 Assessments 120,000 120,000 Penalty& Interest 640 175 Donations 43,000 Refunds&Reimbursements 4,500 Total Revenues 114,640 _ 120,000 167,675 Expenditures Operating 114,097 114,000 135,195 Total Expenditures 114,097 114,000 135,195 179 - Disaster Relief (Hail Damage Events) FY13 FY14 FY15 Actual Budget Approved Revenues Refunds&Reimbursements 197,165 Interest Income 6,085 10,000 Total Revenues 203,250 10,000 City of Bozeman 89 FY15 Approved Budget 183 - Fire Department Special Revenue FY13 FY14 FY15 Actual Budget Approved Revenues Interest Income 1,184 715 _ Donations 12,839 2,500 _ Grants 44,167 Total Revenues 58,190 3,215 Expenditures Operating 1,205 Transfers 121,208 • Total Expenditures 122,413 184 - Parks Master Plan/Improvement Grants FY13 FY14 FY15 Actual Budget Approved Revenues Transfers 75,000 75,000 Total Revenues 75,000 75,000 Expenditures Operating 2,586 Capital 66,629 75,000 Total Expenditures 69,215 75,000 186 - Development Impacts FY13 FY14 FY15 Actual Budget Approved Revenues Interest Income 2,485 3,000 2,378 Loan P&I 5,168 5,162 Total Revenues 7,653 3,000 7,540 Expenditures Operating 12,500 Transfers Out _ 56,248 Total Expenditures 12,500 56,248 187 - Fire Dept Equipment FY13 FY14 FY15 Actual Budget Approved Revenues Property Taxes 334,893 339,564 356,250 Other Interest Income 4,223 1,000 1,125 Total Revenues 339,116 340,564 357,375 Expenditures _ _ Capital 46,506 437,864 37,000 Total Expenditures 46,506 437,864 37,000 188 - City/County Joint Drug Forfeiture FY13 FY14 FY15 Actual Budget Approved Revenues Fines 500 Interest Income 1,164 1,500 Total Revenues 1,164 2,000 City of Bozeman 90 FY15 Approved Budget 189 - Story Mansion Special Revenue FY13 FY14 FY15 Actual Budget Approved Revenues Charges for Sevices 24,370 15,547 29,735 Total Revenues 24,370 15,547 29,735 189 - Story Mansion Special Revenue - FY13 FY14 FY15 Cont'd Actual Budget Approved Expenditures Operating 16,492 15,547 18,673 Total Expenditures 16,492 15,547 18,673 190 - Energy Grants FY13 FY14 FY15 Actual Budget Approved Revenues Refunds& Reimbursements 5,432 Total Revenues 5,432 191 - Bozeman Tourism BID FY13 FY14 FY15 Actual Budget Approved Revenues Special Assessments 410,778 410,000 874,074 Penalty& Interest 137 Interest Income 391 800 Total Revenues 411,306 410,000 874,874 Expenditures Operations 407,599 410,000 422,048 Total Expenditures 407,599 410,000 422,048 193 - Street Maint - Babcock SID FY13 FY14 FY15 Actual Budget Approved Revenues Principal 3,273 4,541 Interest 1,179 1,200 Interest Income 58 75 Total Revenues 4,510 5,816 194 - Street Maint - Durston SID FY13 FY14 FY15 Actual _ Budget _ Approved Revenues Principal 4,190 4,135 Interest 1,705 1,800 Interest Income 314 325 Refunds&Reimbursements 2,940 Total Revenues 9,149 6,260 City of Bozeman 91 FY15 Approved Budget 850 - Cash in Lieu of Parkland FY13 FY14 FY15 Actual Budget Approved Revenues Cash in Lieu of Parkland 83,058 Interest Income 1,782 Total Revenues 84,840 Debt Service Funds 300 - SID Revolving Fund FY13 FY14 FY15 Actual Budget Approved Revenues Special Assessments 11,240 Interest Income 22,813 20,000 19,000 Loan Principal 40,975 Loan Interest 1,530 Total Revenues 65,318 31,240 19,000 Expenditures Operating 15,776 Transfers 797,504 200,000 Total Expenditures 813,280 200,000 301 - Bond S&I Library FY13 FY14 FY15 Actual Budget Approved Revenues Transfers 2,239,692 Total Revenues 2,239,692 Expenditures Debt Service 5,155 Total Expenditures 5,155 302 - Bond S&I 1995 Trans Proj FY13 FY14 FY15 Actual Budget Approved Revenues Transfers 767,152 Total Revenues 767,152 Expenditures Debt Service 1,489 Total Expenditures 1,489 303 - G.O. Refunding Series 2012 FY13 FY14 FY15 Actual Budget Approved Revenues Property Taxes 702,562 273,274 Transfers (3,006,844) Total Revenues (2,304,282) 273,274 Expenditures Debt Service 703,239 273,274 Total Expenditures 703,239 273,274 City of Bozeman 92 FY15 Approved Budget 304 - Bond S & I Parks & Open Space Bond FY13 FY14 FY15 Actual Budget Approved Revenues Property Taxes 350,000 714,280 Total Revenues 350,000 714,280 Expenditures Debt Service 350,000 714,280 Total Expenditures 350,000 714,280 305 - 2007 Downtown TIF Bonds FY13 FY14 FY15 Actual Budget Approved Revenues Interest Income Transfers In 420,600 428,388 428,388 Total Revenues 420,600 428,388 428,388 Expenditures Debt Service 425,388 428,388 428,388 Total Expenditures 425,388 428,388 428,388 310-444- SID Funds FY13 FY14 FY15 Actual Budget Approved Revenues Special Assessments 587,411 1,619,500 1,045,200 Penalty& Interest 232,677 Interest Income 6,703 Refunds&Reimbursements 4,697 Miscellaneous Revenue 5,582 Total Revenues 837,070 1,619,500 1,045,200 Expenditures Debt Service 754,173 _ 1,619,500 - 1,045,200 Total Expenditures 754,173 1,619,500 1,045,200 Construction Funds 501-563 - Construction Funds FY13 FY14 FY15 Actual Budget Approved Revenues Interest Income (461) - - Transfers 202,106 Other Financing Sources _ 1,203,279 5,000,000 27,100,000 Total Revenues 1,404,924 5,000,000 27,100,000 Expenditures Capital 896,667 5,041,380 32,052,584 Total Expenditures 896,667 5,041,380 32,052,584 City of Bozeman 93 FY15 Approved Budget Enterprise Funds 600 - Water Fund FY13 FY14 FY15 Actual Budget Approved Revenues Penatly& Interest 56 State Shared 1,691 - 1,690 Utility Charges 7,806,921 6,771,532 7,548,538 Interest Income 126,651 94,000 96,530 Donations 156,123 Miscellaneous Revenue 96,480 50,000 Refunds&Reimbursements 1,317 - 524,435 Rents and Royalties 48,770 - 51,130 Proceeds of Long Term Debt (18,081) - - Total Revenues 8,123,448 6,962,012 8,272,323 Expenditures Personnel &Benefits 2,195,356 1,730,647 2,452,167 Operating 3,576,051 2,482,689 2,818,905 Capital 1,056,665 2,345,220 Debt Service 786,699 786,699 Transfers 12,093,075 - - Total Expenditures 17,864,482 6,056,700 8,402,991 601 - Water Plant Construction Subfund FY13 FY14 FY15 Actual Budget Approved Revenues Interest Income (106,609) - - Transfers In 23,168,975 Total Revenues 23,062,366 - - Expenditures Operating 40,746 Debt Service 163,250 Total Expenditures 203,996 - - 610 - Water Impact Fee FY13 FY14 FY15 Actual Budget Approved Revenues Utilities&Enterprise 1,659,679 858,500 1,083,242 Interest Income 67,240 75,000 30,750 Total Revenues 1,726,919 933,500 1,113,992 Expenditures Operating 179,343 350,000 Capital - 350,000 Transfers 11,075,901 2,750,000 383,242 Total Expenditures 11,255,244 2,750,000 1,083,242 City of Bozeman 94 FY15 Approved Budget 620 - Waste Water Fund FY13 FY14 FY15 Actual Budget Approved Revenues Penalties& Interest 49 State Shared 1,225 - 1,225 Utility&Enterprise 6,916,226 6,968,884 7,125,165 Interest Income 113,412 95,000 64,310 Refunds&Reimbursements 157,411 30,909 48,500 Total Revenues 7,188,323 7,094,793 7,239,200 Expenditures Personnel &Benefits 1,549,261 2,413,962 2,147,187 Operating 2,761,941 2,795,338 2,816,982 Capital 1,153,650 1,495,500 Debt Service 584,268 Transfers 15,271,006 Total Expenditures 19,582,208 6,362,950 7,043,937 621 - EPA Grant FY13 FY14 FY15 Actual Budget Approved Expenditures Operating 362,072 - Total Expenditures 362,072 - - 622 - Waste Water Reclamation Facility FY13 FY14 FY15 Actual Budget Approved Revenues Grants 490,000 Interest Income (92,479) Transfers 16,659,133 - - Total Revenues 17,056,654 - - Expenditures Operating 568,050 - Capital (617,848) - Debt Service 847,788 1,200,000 Total Expenditures 797,990 1,200,000 - 630 - Waste Water Impact Fee FY13 FY14 FY15 Actual Budget Approved Revenues Utility&Enterprise 1,460,336 820,000 1,005,295 Interest Income 5,485 - - Total Revenues 1,465,821 820,000 _ 1,005,295 Expenditures Operating 32,549 - Capital - - 200,000 Debt Service 820,000 653,212 Transfers 1,388,127 Total Expenditures 1,420,676 820,000 853,212 City of Bozeman 95 FY15 Approved Budget 640 - Solid Waste Fund FY13 FY14 FY15 Actual Budget Approved Revenues Penalty& Interest 916 State Shared 806 Recycling Revenue 127,150 212,750 Utilities&Enterprise 2,494,891 2,382,829 2,656,500 Interest Income 5,510 24,000 8,900 Miscellaneous Revenue 6,060 10,000 - Refunds&Reimbursements (3,040) - Rents and Royalties 14,294 - 10,000 Roll-Off Container Rental 7,000 5,500 Total Revenues 2,519,437 2,550,979 2,893,650 Expenditures Personnel &Benefits 1,046,020 1,084,769 1,107,294 Operating 1,429,660 1,258,413 1,564,517 Capital 659,984 158,043 Total Expenditures 2,475,680 3,003,166 2,829,854 641 - Landfill Closure Costs FY13 FY14 FY15 Actual Budget Approved Revenues Refunds&Reimbursements 646,000 Loan Proceeds 1,700,000 Interest Income 14,045 11,380 Total Revenues 14,045 - 2,357,380 Expenditures Operations 640,000 Capital 1,700,000 Total Expenditures - - 2,340,000 650 - Parking Fund FY13 FY14 FY15 Actual Budget Approved Revenues Licenses and Permits 183,674 183,500 219,650 State Shared 163 160 General Government 3,300 3,000 3,000 Fines and Forfeitures 208,577 360,000 279,000 Interest Income 225 1,475 Loan Interest 1,642 1,400 Cash over/short 14 Refunds&Reimbursments 15,560 24,000 Rents& Receivables 2,999 2,000 3,000 Asset Disposition 4,975 Transfers from other Funds 10,000 10,000 210,000 Total Revenues 431,129 558,500 741,685 Expenditures Personnel &Benefits 200,783 264,636 236,925 Operating 555,606 213,475 227,853 Capital - 200,000 Total Expenditures 756,389 478,111 664,778 City of Bozeman 96 FY15 Approved Budget 670 - Storm Water Fund FY13 FY14 FY15 Actual Budget Approved Revenues Grants 15,000 State Shared 29 Utilities&Enterprise 223,557 236,250 718,125 Interest Income 150 - 2,383 Total Revenues 238,736 236,250 720,508 Expenditures Personnel &Benefits 50,225 88,263 290,700 Opeartions 45,946 37,323 30,076 Capital 494,500 Total Expenditures 96,171 125,586 815,276 Internal Service Funds 710 - Vehicle Maintenance FY13 FY14 FY15 Actual Budget Approved Revenues State Shared 252 - 250 General Government 866,512 790,000 835,100 Interest Income 3,966 - 3,400 Refunds&Reimbursements 2,968 - 3,000 Total Revenues 873,698 790,000 841,750 Expenditures Personnel &Benefits 304,795 305,823 317,071 Operating 609,628 473,175 555,416 Capital 17,000 15,500 Total Expenditures 914,423 795,998 887,987 720 - Health-Medical Insurance FY13 FY14 FY15 Actual Budget Approved Revenues Public Welfare 3,857,044 3,710,000 4,125,635 Refunds&Reimbursements 4,833 - - Transfers In 153,088 Total Revenues 4,014,965 3,710,000 4,125,635 Expenditures Operating 4,272,017 3,710,000 3,848,255 Total Expenditures 4,272,017 3,710,000 3,848,255 Permanent Funds 800 - Cemetery Perpetual Care FY13 FY14 FY15 Actual Budget Approved Revenues Public Welfare 93,618 80,000 82,000 Interest Income 5,553 8,000 5,600 Total Revenues 99,171 88,000 87,600 City of Bozeman 97 FY15 Approved Budget 865-881 - Public Welfare Grants FY13 FY14 FY15 Actual Budget Approved Revenues Cash Over/Short (90) Interest Income 4 Grants 9,812 Total Revenues 9,726 - - Expenses Operating 9,812 Expenditures 9,812 City of Bozeman 98 FY15 Approved Budget LOCAL ECONOMIC OUTLOOK & CITY LONG RANGE FINANCIAL PLANS Local Economic Outlook The Bureau of Business and Economic Research (BBER) is the research and public service branch of the University of Montana's School of Business Administration. The Bureau is regularly involved in a wide variety of activities including economic analysis and forecasting. Excerpts from the Bureau's forecasts contained in the Montana Business Quarterly from 2008 through 2013 relating to Gallatin County and the City of Bozeman are summarized below. The Gallatin County economy was significantly impacted by the Great Recession throughout 2008, 2009, and 2010. By mid-2009 construction employment was down 30% from mid-2008 levels. There were sizeable declines in retail trade, transportation, and business services in early 2009. The national recession impacted non-resident travel to the area with spending declining significantly during 2008 and 2009. Recovery of this sector began in 2010 and 2011. By 2011 the outlook for the City and the County began to change. Bozeman and Gallatin County's base of high-tech industries continued to expand. In 2012 it was clear that recession impacts were concentrated in the homebuilding, construction, and non-residential travel industries. The Bozeman area is evolving into a regional trade center. Retail trade customers from the surrounding rural areas are now shopping in Bozeman rather than commuting to the Billings area. The BBER is forecasting moderate 3.2% growth from 2012-2015, which is down sharply from the 6% forecast in the 2001-2007 period. Despite estimated future growth remaining moderate, the area is projected to remain among one of the fastest growing urban areas in the State. As of 2013, job and income growth in the recovery for Bozeman and surrounding areas has been particularly impressive as it was achieved without contribution from the construction sector. Steady growth within Montana State University, particularly its research activities; good prospects for high-tech manufacturing and services; and an improved outlook for real estate and construction have combined to make the BBER's forecast for overall growth in the area higher than any other major urban area in the state. Excerpt from the Bozeman Daily Chronicle, May 31st, 2014 edition: "The city of Bozeman planning department got a hefty delivery last Thursday from its upstairs neighbor, the building department—27 building permit applications, the most ever received in a single day." This record supports the growth trending in Bozeman after the recession. Building and permit revenues have been steadily increasing, and are projected to continue to do so through Fiscal Year 2015. City of Bozeman 99 FY15 Approved Budget In summary,there are good reasons to remain bullish on Bozeman in the coming years as the economy continues to indicate, not only stabilization, but growth. City Long Range Financial Plan Capital Plans: For more than a decade the City has prepared a 5-Year Capital Improvement Plan (CIP). The plan is prepared in the fall for the ensuing five (5) fiscal years. This fall, we will be preparing the FY16-FY20 Capital Improvement Plan. The FY15-19 CIP contained scheduled projects totaling$120.8 Million, and unscheduled projects of $133.2 Million. The full plan can be found at http://www.bozeman.net/Business/Budgets-and- Financials. Over the years, the plan has grown to encompass capital improvement and replacement plans for all of the City's funds that require capital spending: ■ General Fund ■ Vehicle Maintenance ■ Building Inspection Fund Fund ■ Library Capital ■ Water Impact Fee Fund Replacement Fund ■ Wastewater Impact Fee ■ Fire Capital & Equipment Fund Fund ■ Fire Impact Fee Fund ■ Street Maintenance Fund ■ Street Impact Fee Fund ■ Tree Maintenance Fund ■ CTEP (Community ■ Water Fund Transportation ■ Wastewater Fund Enhancement Program) ■ Stormwater Fund ■ Park & Trail Bond Fund ■ Solid Waste Fund 5-year Financial Plans:_Each year,the City also prepares and maintains financial plans for the current year and the ensuing 5 years for the following funds: Street Maintenance Fund Wastewater Fund Tree Maintenance Fund Stormwater Fund Water Fund Solid Waste Fund These plans are developed as a part of the annual budget process and are based on current and future estimates of staffing levels, estimated increases in operating costs such as supplies, fuel, and chemicals, and approved the capital plans. The plans project revenue requirements, expenditure levels, and estimated reserve levels for each of the five years. These 5-year plans are included in the budget work sessions and show the Commissions, staff and the public the projected increases in fee and assessment levels required to fund the programs. City of Bozeman 100 FY15 Approved Budget Department: CITY COMMISSION Activity: General Government PROGRAM INFORMATION Program Description: The City Commission is the legislative body of city government. It is comprised of a mayor and four commissioners. Members of the City Commission are elected at large for four year overlapping terms. Responsibilities of the Commission include:establishment of policies governing the operation of the City,enactment of ordinances and resolutions,adoption of the annual operating budget, levying of taxes, and appointment of members to citizen advisory boards and commissions.The Commission employs a City Manager and is responsible for the oversight and evaluation of the Manager's performance as the chief administrative officer of the City. Major Objectives: • Work closely with the administration and other government officials to lobby for state legislation beneficial to cities. • Develop broadbased city-wide support for economic development and to foster coordination of public and private resources as a means of enhancing economic prosperity and environmental quality. • Improve public facilities and the quality of services delivered to the public in order to meet the needs of the citizenry. • Cooperate with other governmental entities in order to provide services efficiently and effectively and in a manner resulting in the most equitable distribution of the tax burden.• Ensure that all decisions are protective of the health,safety and general welfare of the citizens of this community. Budget Highlights: • Recording fees with Gallatin County clerk were significantly reduced- ($45,000) Accomplishments: Anticipated for FY15: • Implementation of a City-wide Non-Discrimination Ordinance. Adopted Work Plan Items: In the spring of 2015 the City Commission updated it's priorities for the coming year as follows: 1.Story Mill Landfill Project; 2. Police &Municipal Courts Building;3.Transportation System;4.Trails&Open Space Bond; 5.Stormwater Utility; 6. Family Aquatics Center. City of Bozeman 101 FY15 Approved Budget Department: CITY COMMISSION Activity: General Government FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits $91,114 $94,448 $96,470 $2,022 2.14% Operating $48,951 $139,575 $69,900 ($69,675) -49.92% Capital Debt Service Transfers Totals $140,065 $234,023 $166,370 Department Expenditures by Division Division FY13 Actual FY14 Budget FY15 Requested $Change %Change 1110 City Commission $140,065 $230,023 $166,370 ($63,653) -27.67% 1130 Special Bodies/Study Commission/Ethics $0 $4,000 $0 ($4,000) -100.00% Board Totals $140,065 $234,023 $166,370 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change 010 General Fund $140,065 $234,023 $166,370 ($67,653) -28.91% Totals $140,065 $234,023 $166,370 i City of Bozeman 102 FY15 Approved Budget Department: CITY COMMISSION Activity: General Government PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate Workload Measures STAFF TO SUPPORT WORKLOAD FTE 2.10 2.10 2.10 2.10 WL1 ORDINANCES PASSED 24 33 25 20 WL2 RESOLUTIONS PASSED 51 60 60 65 WL3 COMMISSION MEETINGS HELD 42 43 50 50 WL4 PUBLIC HEARINGS HELD 42 43 50 48 WL5 HOURS OF MEETINGS 210 280 250 250 WL6 PAGES OF MINUTES 820 600 600 400 WL7 EXECUTIVE SESSIONS 6 3 7 5 WL8 HOURS OF EXECUTIVE SESSIONS 10 15 15 15 WL9 PAGES OF MINUTES FROM EXECUTIVE SESSIONS 15 30 30 30 City of Bozeman 103 FY15 Approved Budget Department: CITY MANAGER Activity: General Government PROGRAM INFORMATION Program Description: The purpose of the City Manager's office is to provide overall leadership, direction,coordination,and support for the City's activities and workforce.The City Manager's office works to ensure that services provided are within:the law,the policies of the Bozeman City Commission, and the resources of the City.The City Manager provides information to the City Commission in an effort to support their ability to make informed policy decisions.The duties of the City Clerk include:attending all Commission meetings, preparing minutes, keeping official records of the City, publishing notices as needed and as required by law, acting as a staff person for the Commission, and preparing the Commission agenda in conjunction with the City Manager.The Economic Development division has been moved to the Community Services section of the budget as of FY 2012.The Human Resources division has been moved to the Administrative Services secion of the budget as of FY 2014 Major Objectives: In support of the Mission,Values,and Goals of the City,the staff of the City Manager's office will: • Communicate Bozeman City Government activities to the public. •Acknowledge our limited resources and constantly develop, implement,and review plans to address needs through efficiency in assignments,cross training and other means. • Provide opportunities and training for senior level staff to help ensure seamless governmental operations in the absence of any department head. •Anticipate future service demands and resource deficiencies and be proactive in addressing them • Create a well-led,coordinated,and trained workforce. Budget Highlights: • Records Consultant for city-wide records review-$30,000 Accomplishments: Anticipated for FY15: • Update Municipal Code as needed; • Revew City wide records retention and management; • Implement the review of insurance providers; • Fulfill Commission adopted work plan items Adopted Work Plan Items: The City Manager is working to fulfill the following Adopted Work Plan Items: 1.Story Mill Landfill Project; 2. Police& Municipal Courts Building;3.Transportation System;4.Trails&Open Space Bond; 5.Stormwater Utility; 6. Family Aquatics Center. City of Bozeman 104 FY15 Approved Budget Department: CITY MANAGER Activity: General Government FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits $628,876 $544,516 $595,519 $51,003 9.37% Operating $143,241 $98,315 $121,910 $23,595 24.00% Capital $16,835 $0 $0 $0 100.00% Debt Service Transfers Totals $788,952 $642,831 $717,429 Department Expenditures by Division Division FY13 Actual FY14 Budget FY15 Requested $Change %Change 1210 City Administration $400,411 $453,675 $501,712 $48,037 10.59% 1220 City Clerk $179,203 $189,156 $215,717 $26,561 14.04% 1230 Human Resources $206,321 $0 $0 $0 100.00% 1240 GIS $1,920 $0 $0 $0 100.00% 1260 Neighborhood/Economic Development $1,097 $0 $0 $0 100.00% Programs Totals $788,952 $642,831 $717,429 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change 010 General Fund $788,952 $642,831 $717,429 $74,598 11.60% Totals $788,952 $642,831 $717,429 City of Bozeman 105 FY15 Approved Budget Department: CITY MANAGER Activity: General Government PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Effectiveness Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate PM1 Support the City Commission in their decision process by 80% 98% 98% 98% 98% providing unbiased,accurate research and data from the staff a minimum of seven days prior to the introduction of an item as an agenda item PM2 Assure citizens of transparent local government through 100% 100% 100% 100% 100% established,maintained,and staffed open office hours,live televised and internet streamed public meetings,advertised Commission agendas,accessible public records,and information available through the City's web page at www.Bozeman.net. PM3 An open local government supported by a visible City Manager 100% 100% 100% 100% 100% who meets regularly with the County Commissioners, leadership of MSU,the Chamber of Commerce,economic development organizations,the Bozeman School District,and civic groups. PM4 Public resources allocated effectively and lawfully.Qualified 100% 100% 100% 100% 100% independent auditors will perform annual audits,a public budget process,and emphasis within the budget consistent with the City's adopted goals and work plan. PM5 Employee matters handled in an equitable and lawful manner 100% 100% 100% 100% 100% that minimizes the risk of loss to the City and its employees. PM6 Opportunities to participate in world class leadership skills 100% 100% 100% 100% 100% training seminars by senior staff will result in a well-led and coordinated workforce whose culture and work environment is built on the City's core values of Integrity,Leadership,Service and Teamwork. Workload Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate STAFF TO SUPPORT WORKLOAD FTE 8.00 8.00 5.00 5.0 WL01 Contracts Negotiated with Bargaining Units 3 0 0 7 WL02 Commission Meetings Attended 69 69 46 46 WL03 Telephone&Email Contacts City Manager and Assistant City 25,000 25,000 25,000 25,000 Manager City of Bozeman 106 FY15 Approved Budget Department: CITY MANAGER Activity: General Government WL04 Meetings:County Administration 20 20 20 20 WL05 Meetings:Civic Groups&Citizens 75 75 75 75 WL06 Meetings:MSU 10 10 10 10 WL07 Meetings:Chamber 24 24 24 24 WL08 Meetings:Montana City Managers 3 3 3 3 City of Bozeman 107 FY15 Approved Budget Department: MUNICIPAL COURT Activity: General Government PROGRAM INFORMATION Program Description: Municipal Court accounts for costs associated with the judicial branch of City government,which includes one full-time judge and one half-time judge,chief clerk, line clerks, and related operating costs.Section 3-6-101,et,seq., MCA,establishes general provisions for a municipal court. Section 3-6-103 sets forth the jurisdiction of the municipal court which includes:jurisdiction coordinate and coextensive with the justice courts; original jurisdiction of all civil and criminal actions and proceedings provided for in 3-11-103; concurrent jurisdiction with the district courts in actions arising under Title 70,chapters 24 through 27; applications for search warrants and complaints charging commission of a felony;tax collection under$5,000; money due the City or actions under $5,000 for the breach of official bonds and breach of contracts; recovery of City property under$5,000;collection of license fees; specified civil cases under$7,000. The Municipal Court hears cases involving city ordinances, misdemeanor cases defined by state criminal codes,and may conduct preliminary hearings in felony cases. Municipal Court operates out of the basement of the Gallatin County Law&Justice Center. The Municipal Judge is elected every 4 years in a nonpartisan election held in conjunction with the City's regularly scheduled general election. Major Objectives: • Additional training for staff. • Write new local Rules of Court. • Continue scanning court documents. • Maintain an efficient collection system concentrating on Municipal Services Bureau and collection of fines and restitution. • Continue effective communications with the City Attorney, Prosecutor, Law Enforcement,and Public Defender's Office. • Maintain updates of computer programs and West Law for court use. • Periodically update bond book with new offenses and fine increases. • Increase security measures for courtroom and staff. • Work with Commissioners toward establishing adequate space for increased court operations and location with Bozeman Police Department. Budget Highlights: No significant budget changes from FY14. No significant budget highlights for FY15. Accomplishments: Anticipated for FY15: • Continue effective communications with the City Attorney,City Prosecutor, Public Defenders Office, and Law Enforcement Agences; •Additional training to all staff; • Maintain updates of computer program,jury program, scanning recor; • Maintain improved access to archive records; • Efficiently handle increased volume of motions, hearings,and trials. Adopted Work Plan Items: Participate in the design and development of the Police&Municipal Courts building City of Bozeman 108 FY15 Approved Budget Department: MUNICIPAL COURT Activity: General Government FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits $486,059 $518,361 $524,837 $6,476 1.25% Operating $152,257 $148,238 $153,638 $5,400 3.64% Capital Debt Service Transfers Totals $638,316 $666,599 $678,475 Department Expenditures by Division Division FY13 Actual FY14 Budget FY15 Requested $Change %Change 1310 Municipal Court $638,316 $666,599 $678,475 $11,876 1.78% Totals $638,316 $666,599 $678,475 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change 010 General Fund $638,316 $666,599 $678,475 $11,876 1.78% Totals $638,316 $666,599 $678,475 City of Bozeman 109 FY15 Approved Budget Department: MUNICIPAL COURT Activity: General Government PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Workload Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate STAFF TO SUPPORT WORKLOAD FTE 8.50 8.50 8.50 9.00 WL01 Court Citations 8685 7669 7500 7400 WL02 Judge Trial Requests $134,521 370 $135,000 $140,000 WL03 Pre-Trial Hearings(suppression,omnibus etc.)New procedure 2500 1027 for FY11,instead of auto set Jury trial WL04 Jury Trials Held 30 17 WL05 Appeals 7 7 7 9 WL06 Open Court appearances(daily average) 28 23.5 City of Bozeman 110 FY15 Approved Budget Department: CITY ATTORNEY Activity: General Government PROGRAM INFORMATION Program Description: The City Attorney is the legal advisor and primary attorney for the City and as such is responsible for both protecting the legal interests and directing the legal operations of the City.The City Attorney and legal department staff: represent the City before all courts, administrative agencies, and all legal proceedings involving the City; prosecute misdemeanors including DUI,domestic violence related cases,and other offenses committed within City; provides legal advice to the City Commission, City Manager,and all departmental staff and boards;and prepares or reviews contracts,deeds, resolutions,ordinances,and other municipal documents.The City Attorney's Office also oversees litigation involving the City conducted by appointed counsel. Major Objectives: •To protect the legal interests of the City and to represent the City before all courts,administrative agencies,and all legal proceedings involving the City. •To provide legal advice to the City Commission,the City Manager,and all departmental staff. •To prosecute misdemeanors and traffic violations committed within City limits. • Prepare and/or review all contracts,deeds, resolutions,ordinances,and other municipal documents. •To prosecute criminal cases in a timely,firm,and efficient manner. • Practice preventative law by providing proactive legal advice. • Perform legal research and issue legal opinions including ethics opinions. Budget Highlights: •Add Legal Assistant I hours, making the position 1.0 FTE-Budget estimated for an additional .5 FTE; • Fully Fund Victim/Witness Program-$135,000; • Fees for Outside Counsel/Litigation Costs-$25,000; • Summer Legal Intern-$6,000. Accomplishments: Anticipated for FY15: •Actively participate with the City's leadership team in prioritizing and managing all aspects of the City's services and operations; • Continue to focus on improving efficiencies and effectiveness in all areas of prosecution services through professional development, better use of JustWare,and other program efficiencies; • Improve focus on professional development of all staff and use of online training resources; • Begin a process to develop and integrate community prosecution concepts into standard operating protocols; • Integrate second Assistant City Attorney(civil)into the department and organization; • Continue to develop and refine performance measures for both criminal and civil functions; • Continue to participate in integrated water resources planning efforts and work closely with outside water rights counsel to obtain additional water rights and improve regulatory procedures; • Develop a contract and procurement policy and procedures manual for city departments and divisions; • Continue to actively serve as one of the principal staff liaisons to the Ethics Board; •Train city staff on insurance requirements, contract management, and risk transfer; • Contract with an insurance consultant to review current city practices and MMIA insurance services; • Clarify liability coverage for all boards and assist in development of comprehensive risk management program; • Continue to increase communication with police department through monthly meetings and trainings and shift briefings; • Continue to use interns to assist in criminal and civil functions; • Continue to implement reform to the municipal infraction procedures. Adopted Work Plan Items: FY15: Provide management of City's legal activities related to the Story Mill Landfill,and the TOPs program; Participate in the deisgn and development of the Police& Municipal Courts building& provide legal support for the project.Support other goals with legal services. City of Bozeman 111 FY15 Approved Budget Department: CITY ATTORNEY Activity: General Government FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits $659,710 $663,022 $846,717 $183,695 27.71% Operating $138,523 $260,825 $233,125 ($27,700) -10.62% Capital $0 $65,000 $0 ($65,000) -100.00% Debt Service Transfers Totals $798,233 $988,847 $1,079,842 Department Expenditures by Division Division _ Actual FY14 Budget FY15 Requested $Change %Change 1410 City Attorney $707,618 $812,347 $919,342 $106,995 13.17% 1430-1446 Civil Litigation $24,663 $50,000 $25,000 ($25,000) -50.00% 1460 Criminal Prosecution-General $124 $1,500 $500 ($1,000) -66.67% 1462 Criminal Prosecution-Victim/Witness $65,828 $125,000 $135,000 $10,000 8.00% Totals $798,233 $988,847 $1,079,842 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change 010 General Fund $732,405 $863,847 $944,842 $80,995 9.38% 174 Victim Witness Advocate $65,828 $125,000 $135,000 $10,000 8.00% Totals $798,233 $988,847 $1,079,842 City of Bozeman 112 FY15 Approved Budget Department: CITY ATTORNEY Activity: General Government PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate Workload Measures STAFF TO SUPPORT WORKLOAD FTE 7.00 7.00 7.00 9.00 WL01 New Cases 1,040 1,206 1,200 1,200 WL02 Open Cases 1,800 1,613 1,650 1,650 WL03 Bench Trials 90 63 73 70 WL04 Jury Trials 27 27 12 15 WL05 Hearings:Amount of Restitution Ordered N/A $132,071 >$100,000 >$100,000 WL06 Hearings:Revocation Motions Filed N/A 204 450 500 WL07 Requests for Prosecution 45 78 80 85 WL08 DUI Cases:Opened N/A 279 280 300 WL09 DUI Cases:Amended To A Lesser Charge N/A 115 70 125 WL10 DUI Cases:Pleaded As Charged N/A 141 74 140 WL11 DUI Cases:Dismissed N/A 1 1 1 WL12 New Cases 1,040 1,206 1,220 1,270 WL13 New Cases:Domestic N/A 66 70 70 WL14 New Cases:Title 45 N/A 505 500 500 WL15 New Cases:Traffic N/A 313 300 300 WL16 New Cases:Civil Infractions N/A 32 35 35 City of Bozeman 113 FY15 Approved Budget Department: ADMINISTRATIVE SERVICES Activity: General Government PROGRAM INFORMATION Program Description: The Administrative Services Department budget unit accounts for the general fund costs associated with the overall Finance, Human Resources and Information Technology administration of the City.The Department is comprised of five divisions:Administration, Accounting,Treasury, Information Technology, and Human Resources. Administrative Services provides support to other departments including:financial planning, budgeting, insurance administration, accounting and financial statement preparation, data processing,collection and investment of City funds,debt administration, utility billing,special improvement district accounting, business license administration, development of internal controls, information technology services, human resources,and data processing services. 1.The ADMINISTRATION division's purpose is to provide financial planning and budgeting services and oversight, insurance administration,capital improvements planning. Long-range financial planning is done through this division,along with general leadership for the Department as a whole, including Grants efforts. 2.The ACCOUNTING division's purpose is to properly record and account for the finances of the City.The division is responsible for processing accounts payable,the recording of fixed assets,and the preparation of all financial statements. 3.The TREASURY division's purpose is to properly bill and collect amounts owed to the City.The Treasury division collects and invests all City funds, bills utility charges to customers,and special improvement district assessments to property owners.The division also issues business and pet licenses, collects parking tickets,and records cemetery lot sales. 4.The INFORMATION TECHNOLOGY division's purpose is to manage and operate the City's enterprise applications and networking services. The division provides technology services to the City departments and customers;support,training and research for City staff;and manages and maintains daily operations of the data centers. 5.The HUMAN RESOURCES division's purpose is to support City functions by ensuring the capability and stability of the workforce. The manager supports administrators and directors with current lawful information that provides sound recruitment practices and protects the employment rights of the City and the workforce member. Major Objectives: •To manage and account for the City's finances in accordance with Generally Accepted Accounting Principles(GAAP),as set forth by the Governmental Accounting Standards Board (GASB). •To prepare a Comprehensive Annual Financial Report(CAFR) in conformity with GAAP •To prepare a comprehensive budget on an annual basis that encompasses all funds of the City. •To seek to maintain a diversified and stable revenue base. •To seek to collect all funds due the City. •To monitor all department grants for compliance with federal and state regulations and reporting requirements. •To develop a system of sound internal controls in all City departments. •To provide all City departments budgetary and expenditure information on a timely basis to enable the departments to operate within appropriation levels established by the City Commission. •To assure efficient and effective management of the public's resources by providing quality financial services. •To safeguard and account for City assets and to provide accurate and timely budgetary and financial data to management,City Commission, and the citizens of Bozeman. •To provide knowledgeable and courteous customer service to all individuals who contact Administrative Services with questions or concerns. •To safeguard the City's financial assets through prudent investing, budgeting and expenditure control. •To manage and operate the City's Enterprise Applications and Networking services. •To provide secure, dependable information technology services to City departments and customers. •To provide support,training,and research for City Staff with their desktop applications, both data and voice. •To manage and maintain the daily operations of the data centers. •To ensure 99%uptime for all Information Technology Service. •To manage and maintain a functional web site for both citizens and staff. Budget Highlights: • Software Contract for Enterprise Software-$66,930; •Addition of Billing Cleark III -1.0 FTE; •Addition of IT Help Desk-Public Safety personnel-1.0 FTE; • CIP item GF062-Replacement of personal computers and servers for all General Fund departments- $70,000; • CIP item GF080-City wide router and switch replacement-$40,000; •CIP item GF079-Replacement of main City Hall switches-$50,000 City of Bozeman 114 FY15 Approved Budget Department: ADMINISTRATIVE SERVICES Activity: General Government Accomplishments: Anticipated for FY15: • Close monthly accounting functions by the 20th day of the following month. • Receive a clean audit opinion with no continuing or new audit comments. • Properly account for Federal and State Grants and Loans. • Installation and training internally and across departments for utilization of new Qrep reporting software module. • Improve information sharing with Planning Department and Engineering and GIS Divisions to provide for more timely and accurate land parcel and owner information. • Hire and train appropriate staff to meet the City's staffing needs; • Update of Strategic Information Technology Plan; • Development of a comprehensive employee training program; • Upgrade to Office 2013; • Migration of remaining SQL databases over to the new SQL Server 2012 Cluster; • Continue upgrades to City Website to enhance the public's access to City information; •Continue upgrade and maintenance to the City VoIP phones and gateways; •Continue the migration of physical servers to virtual servers and continue upgrades to aging routers and switches at selected locations; • Litigation hold solution. Adopted Work Plan Items: Provide Financing,Accounting,Technology&HR support and planning services to all of the Adopted Work Plan items. City of Bozeman 115 FY15 Approved Budget Department: ADMINISTRATIVE SERVICES Activity: General Government FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits $639,184 $1,336,881 $1,490,392 $153,511 11.48% Operating $184,233 $598,143 $643,788 $45,645 7.63% Capital $0 $40,000 $105,744 $65,744 164.36% Debt Service Transfers Totals $823,417 $1,975,024 $2,239,924 Department Expenditures by Division Division FY13 Actual FY14 Budget FY15 Requested $Change %Change 1510 Finance Administration $150,221 $160,853 $164,937 $4,084 2.54% 1520 Accounting $384,950 $427,216 $457,291 $30,075 7.04% 1530 Treasury $288,140 $319,474 $354,001 $34,527 10.81% 1545 Information Technology $96 $810,329 $965,407 $155,078 19.14% 1560 Human Resources $10 $257,152 $298,288 $41,136 16.00% Totals $823,417 $1,975,024 $2,239,924 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change 010 General Fund $823,417 $1,975,024 $2,239,924 $264,900 13.41% Totals 823,417 $1,975,024 $2,239,924 City of Bozeman 116 FY15 Approved Budget Department: ADMINISTRATIVE SERVICES Activity: General Government PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Effectiveness Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate PM01 Finance:Distinguished Budget Presentation Award for the RECEIVED RECEIVED RECEIVED RECEIVED WILL APPLY Government Finance Officer's Association PM02 Finance:Certificate of Achievement for Excellence in Financial RECEIVED RECEIVED RECEIVED WILL APPLY WILL APPLY Reporting from the Government Finance Officer's Association PM03 Finance:City's Bond Rating:General Obligation Aa3 Aa3 Aa3 Aa3 PM04 Finance:City's Bond Rating:Downtown Tax Increment District BBB+ BBB+ BBB+ BBB+ Rating PM05 Finance:Monthly Checklist Items Done Correctly the First Time 95% 99% 99% 99% 99% PM06 IT:Help Desk Calls Resolved 99% 99% 99% 99% 99% PM07 IT:Phone System Uptime 99% 99% 99% 99% 99% PM08 IT:Data Network Uptime 99% 99% 99% 99% 99% PM09 IT:Point to Point Links Uptime(Fiber and Copper) 99% 99% 99% 99% 99% PM10 IT:Enterprise Application Uptime 99% 99% 99% 99% 99% PM11 IT:Server Uptime 99% 99% 99% 99% 99% PM12 Treasury:Accounts Receivable Statements Mailed by the 15th 98% 100% 100% 100% 100% of the Month PM13 Treasury:Average#of Water Customers on Shut-off List per <10 <20 <10 <20 <10 Month PM14 HR:The Recruitment process will protect the work force and 100% 100% 100% 100% City rights,and results in matching appropriate hires with appropriate jobs PM15 HR:Low turnover,resulting in a stable workforce 100% 100% 100% 100% City of Bozeman 117 FY15 Approved Budget Department: ADMINISTRATIVE SERVICES Activity: General Government PM16 HR:Continual skill improvement training results in a 100% 100% 100% 100% competent,effective and efficient workforce Workload Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate f STAFF TO SUPPORT WORKLOAD FTE 10.00 11.00 19.00 21.00 WL01 Finance:Accounts Payable Checks Processed 11,000 12,680 11,000 12,800 WL02 Finance:Federal Awards Expended(Grants) $810,344 $439,245 $400,000 $350,000 WL03 Finance:IRS Informational Returns 120 85 120 90 WL04 IT:Help Desk Calls Created and Completed 1,200 1,500 1,600 1800 WL05 IT:Hours Phone System is in Service:Possible Available=8,760 8,660 8,755 8,710 8,750 WL06 IT:Hours Data Network is in Service:Possible Available=8,760 8,660 8,750 8,720 8,750 WL07 IT:Point to Point Links:On Network/In Service(Fiber&Copper) 17 18 19 20 WL08 IT:Hours of Enterprise Applications Availability:Possible 8,660 8,750 8,750 8,755 Available=8,760 WL09 IT:Hours of Server Farm Availability:Possible Available=8,760 8,660 8,759 8,745 8,759 WL10 Treasury:SID Statements Issued&Processed 16,000 16,200 16,700 16,500 WL11 Treasury:Utility Bills Issued&Processed 135,000 221,591 141,000 241,000 WL12 Treasury:Business Licenses(Calendar Year) 4,250 3,500 4,300 3,500 WL13 HR:Open Positions(Calendar Year) N/A 85 113 125 WL14 HR:Positions Filled(Calendar Year) N/A 85 112 125 City of Bozeman 118 FY15 Approved Budget Department: COMMUNITY DEVELOPMENT Activity: General Government PROGRAM INFORMATION Program Description: The Community Development Department accounts for the costs of administering the City's long range and current planning and community development programs. Major elements of the Community Development program include:• Long Range Planning• Annexation• Subdivision Review• Zoning Ordinance Administration • Historic Preservation, Impact Fees• Affordable Housing • Economic Development • Boards Commissions Served Major Objectives: LONG RANGE PLANNING: • Engage the community in preparing and periodically updating a "Growth Policy" (Comprehensive Plan) and transportation plan for the City of Bozeman. • Develop and evaluate the Unified Development Code to ensure effective and efficient implementation of the Comprehensive Plan. • Assist other departments and agencies with Capital Improvement planning. • Assist Urban Renewal Boards in implementing applicable Tax Increment Financing(TIF) District Plans. • Prepare and implement special studies, reports,and sub-area plans. • Coordinate with public and private organizations and agencies in implementing long range planning objectives effectively and efficiently. CURRENT PLANNING: • Provide customer service to make the planning process accessible, understandable, and efficient. • Evaluate and make recommendations to the Planning Board,City Commission,and/or Director of Public Service on all applications for annexations and subdivisions of land. • Evaluate and make recommendations to the Development Review Committee, Design Review Board, Board of Adjustment,Zoning Commission and City Commission on all proposals for site development. • Provide zoning code administration to ensure compliance with and resolution of non- conformities from the Bozeman Municipal Code. • Review business licenses and building permit applications for compliance with the Zoning Ordinance. • Aid the City Commission and the Community Affordable Housing Advisory Board in implementing regulatory reform to increase the stock of affordable housing. • Develop a visually appealing and historically rich community by encouraging the preservation of Bozeman's historic landmarks,districts,and neighborhoods. • Facilitate and coordinate the City's Development Review and Design Review processes to ensure compliance. • Continue to promote local historic preservation education through various public forums. • Review historic and architectural appropriateness of alterations, rehabilitations,and restorations. • Research and inventory local historic properties and,when appropriate, nominate them to the National Register of Historic Places. • Administer the City's impact fee progra.COMMUNITY DEVELOPMENT:•Assist and coordinate with other departments, public agencies,and non-profits as needed with various grants. • Participate in the City's affordable housing programs' Participate in the City's economic development programs. Budget Highlights: • Planning contracted services-$30,000; • Housing Plan update-$45,000; •Application fee study(Update to 2007 study)-$10,000; •Addition of Neighborhood/Districts Specialist- 1.0 FTE; • Reduce Historice Preservation Officer-(.4) FTE. Accomplishments: Anticipated for FY15: •Continued ilmplementation of community development customer service delivery improvements. 'Continued excellent project management of current workload. • Review and target revisions to the City's Unified Development Ordinance(UDO)to advance community goals and Commission direction. • Continue implementation of Bozeman Community Plan. • Implementation and support of City of Bozeman Economic Development Plan. • Continue implementation of Downtown Bozeman Imropvement plan • Complete Affordable Housing Needs Assessment and Strategic Plan. • Complete Mandeville Farm/DNRC Properties Master Plan and Feasibility Study. • Complete Historic Preservation Program Analysis and Strategic Plan. • Continue staffing Urban Renewal/Tax Increment Finance District Boards. • Continue staffing support of NeighborhoodProgram. • Continued coordination and cooperation on planning issues with Gallatin County,School District 7, Montana State University, Montana Department of Transportation, Gallatin Valley Land Trust,and other public and private organizations. • Special projects as directed. Adopted Work Plan Items: Provide planning assistance with: 1.Transportation System;2.TOP Projects;3. Police& Municipal Court building;4.Aquatics Center. City of Bozeman 119 FY15 Approved Budget Department: COMMUNITY DEVELOPMENT Activity: General Government FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits $643,274 $577,791 $758,750 $180,959 31.32% Operating $100,261 $192,688 $170,788 ($21,900) -11.37% Capital $0 $12,500 $0 ($12,500) -100.00% Debt Service Transfers Totals $743,535 $782,979 $929,538 Department Expenditures by Division Division FY13 Actual FY14 Budget FY15 Requested $Change %Change 1610 Planning Operations $138,026 $257,765 $255,942 ($1,823) -0.71% 1620 Subdivision Review $149,282 $117,459 $415,143 $297,684 253.44% 1630 Long-Range Planning $56,378 $18,913 $242,523 $223,610 1182.31% 1640 Annexation $61,454 $64,325 $0 ($64,325) -100.00% 1650 Code Enforcement $18,689 $9,374 $0 ($9,374) -100.00% 1660 Historic Preservation $88,451 $88,952 $0 ($88,952) -100.00% 1670 Zoning Operations $191,275 $175,828 $0 ($175,828) -100.00% 1680 Neighborhoods $39,980 $50,363 $15,930 ($34,433) -68.37% Totals $743,535 $782,979 $929,538 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change 100 Community Development Fund $743,535 $782,979 $929,538 $146,559 18.72% Totals $743,535 $782,979 $929,538 City of Bozeman 120 FY15 Approved Budget Department: COMMUNITY DEVELOPMENT Activity: General Government PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Workload Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate STAFF TO SUPPORT WORKLOAD FTE 8.75 9.00 8.00 10.1 WL01 Subdivision Pre-applications 2 8 22 24 WL02 Minor Sub-Preliminary Plats 1 3 2 3 WL03 Major Sub-Preliminary Plats 1 2 10 11 WL04 Final Plats 2 4 9 10 WL05 Annexations(in acres) .37 189.05 111.02 122 WL06 Preliminary Plat Lots Approved 86 168 272 300 WL07 Final Plat Lots Approved 3 33 395 435 WL08 Site Plans 6 25 26 28 WL09 Conditional Use Permits 9 19 17 19 WL10 Planned Unit Developments 1 1 1 1 WL11 Certificates of Appropriateness 275 259 229 252 WL12 Sign Reviews:Permanent and Temp 254 168 162 178 WL13 Zone Map Amendments 3 10 12 13 City of Bozeman 121 FY15 Approved Budget Department: FACILITIES MANAGEMENT Activity: General Government PROGRAM INFORMATION Program Description: The Facilities Management budget unit accounts for costs associated with maintaining City owned buildings and grounds including: City Hall; Fire Stations#1,#2 and#3; City Shop Complex; Lower Yard Shop Complex;Vehicle Maintenance Building;Alfred M.Stiff Professional Building; Bozeman Public Library;and the Bozeman Senior Citizen's Center. Facilities Management is also responsible for coordinating remodeling, renovations,and new construction projects.Contracted services include such activities as:janitorial services; snow removal; lawn care; and building systems including elevator and fire suppression systems, heating,ventilation,air conditioning systems, mechanical controls,and building generators.The department also assists other divisions with building and grounds related projects and construction related services. Major Objectives: • Provide a safe,comfortable, and professional working environment for all City employees,elected officials, building tenants and the public. • Maintain all buildings and related equipment in good working condition in a proactive manner that will help extend useful life. • Maintain a proactive approach for long-term facility planning and project scheduling in order to avoid costly problems of deferred maintenance. • Upgrade and renovate buildings and building related equipment as needed to meet future needs of various city departments. •Assure city buildings meet or exceed all applicable building codes, OSHA,and ADA requirements. • Implement building design, maintenance,and operational practices resulting in energy saving measures. •Act as the City's representative on building construction projects,to secure consultant services for these projects, process claims and monitor progress on projects, and to gather bid quotes for projects to meet procurement requirements Budget Highlights: • CIP Item GF139-Phase 3 site improvements-$23,625; •CIP Item GF171-Site drainage on west side of City Hall-$11,500;CIP Item GF189-Refinish roof on green vehicle storage building-$20,000; • CIP Item GF103-Updates for ADA compliance-$20,000; • CIP Item GF164-Replace IT AC rooftop unit-$23,500;CIP Item GF188-Replace boiler at Senior Center-$18,500;CIP Item GF200- Install restroom ventalation at Senior Center-$8,000;CIP item GF198-Fire sprinkler upgrades at Senior Center-$17,000 Accomplishments: Anticipated for FY15: • Install chair rails in conference rooms; • Clean condenser coils on City Hall roof unit; • Modify roof drain on City Hall east entrance; • Stripe and crack seal City Hall parking lot; • Complete chemical treatment of steam boiler at Fire Stations #1; • Complete annual check of steam traps; •Annual maintenance on bay doors,stripe and crack seal parking lot at Fire Station#1; • Repair and maintenance of overhead garage doors at Shops Complex; • Irrigation repairs and upgrades at Shops Complex; • Replace the flag at the Shops Complex; • Begin all identified FCI items; • General building maintenance for all City buildings; • Repairs in Sencior Center basement to prevent flooding; • Complete all CIP items; •Address floor drain problems in garage bay at Fire Station#2; • Install IT vents at the Library Adopted Work Plan Items: Assist with planning the Police&Municipal Court buildling. City of Bozeman 122 FY15 Approved Budget Department: FACILITIES MANAGEMENT Activity: General Government FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits $240,998 $258,493 $263,175 $4,682 1.81% Operating $1,152,487 $909,860 $989,019 $79,159 8.70% Capital $54,297 $27,000 $150,125 $123,125 456.02% Debt Service $311,887 $0 $0 $0 100.00% Transfers Totals $1,759,669 $1,195,353 $1,402,319 Department Expenditures by Division Division FY13 Actual FY14 Budget FY15 Requested $Change %Change 1810 City Hall $368,780 $377,763 $408,628 $30,865 8.17% 1820 Fire Station#1 $34,552 $44,740 $47,850 $3,110 6.95% 1830 Shops Complex $95,771 $268,895 $102,770 ($166,125) -61.78% 1840 Professional Building $128,625 $109,843 $340,327 $230,484 209.83% 1850 Senior Center $105,742 $74,042 $156,169 $82,127 110.92% 1860 Library $626,442 $235,965 $246,920 $10,955 4.64% 1870 Fire Station#2 $15,244 $18,515 $26,070 $7,555 40.80% 1880 Fire Station#3 $348,955 $38,805 $43,605 $4,800 12.37% 1890 Vehicle Maintenance Facility $35,558 $26,785 $29,980 $3,195 11.93% Totals $1,759,669 $1,195,353 $1,402,319 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change 010 General Fund $1,759,669 $1,195,353 $1,402,319 $206,966 17.31% Totals $1,759,669 $1,195,353 $1,402,319 City of Bozeman 123 FY15 Approved Budget Department: FACILITIES MANAGEMENT Activity: General Government PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Effectiveness Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate PM01 Average Response Time:Emergency Repairs 1 hour or less on 30 Minutes 90% 95% 92% 90% most days depending on timing and other projects. PM02 Average Response Time:Minor,Non-emergency Repairs(In- 3 DAYS 95% 95% 95% 90% House)1 day to check issues and then make arrangements for the needed repairs. PM03 Average Response Time:Minor,Non-emergency Repairs(In 12 DAYS 95% 95% 92% 90% House or some Contracted)2 days or longer depending on ordering materials and equipment,scheduling outside professionals,and getting the needed quotes depending on anticipated project costs. PM04 Facility User Ratings:Quality is in the high range. We have not 90% 85% 88% 80+% 88% done a recent survey of building occupants to formally assess their rating of current building conditions or our performance. Most comments when we have been working with folks is that the conditions are good to very good. PM05 Claims Turn-Around:Review&Approval to Finance. Most are 6 DAYS 95% 95% 95% 92% processed as soon as they are received and others after the work being billed for is inspected and approved. I will need to work with the newly assigned assistance once my move to a new office at the Professional Building is worked out. Workload Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate STAFF TO SUPPORT WORKLOAD. Lots of projects and buildings FTE 3.00 3.50 3.50 3.50 that Facilities is directly responsible for. We have been doing a lot of work with other departments on projects too. New projects come up during the fiscal year in addition to the projects that are put into the budget request for the year. This also leads to additional workload. City of Bozeman 124 FY15 Approved Budget Department: POLICE Activity: Public Safety PROGRAM INFORMATION Program Description: The Bozeman Police Department budget unit accounts for costs associated with providing all law enforcement services to the citizens of the City of Bozeman.The general fund budget primarily supports the efficient and effective operation of the patrol, investigative and support services divisions.Officers from these divisions are tasked with detecting, preventing,and investigating all crimes occurring within the City. PATROL DIVISION:The Patrol Division is primarily responsible for the enforcement of State of Montana statutes and City of Bozeman Ordinances.The officers within this division operate around the clock, every day,and handle emergency calls for service along with proactive foot and bicycle patrols, property checks, public assists and citizen education.Additionally,the traffic unit investigates motor vehicle crashes and helps ensure the safety of our roadways through traffic education and enforcement. Additional specialty assignments include K9,Special Response Team, Field Training Officers, and Crisis Intervention Team. SUPPORT SERVICES DIVISION:The Support Services Division oversees animal control,fleet maintenance,department training, police officer recruitment and hiring, uniforms and equipment,the Community Resource and Code Compliance Officers, and community outreach programs such as the Citizen's Police Academy,the Bozeman Police Landlord Partnership,and the Bozeman Police Business League. DETECTIVE DIVISION:The Detective Division is responsible for investigating felony criminal activity including crimes against persons, sexual offenses,crimes against children, internet crimes,felony property crimes,and other complex investigations. Detectives are also responsible for conducting public education presentations, performing background investigations on prospective employees, carrying out internal affairs investigations and assisting the patrol division and other agencies with investigations. The detective division maintains a Computer Crime Unit that is a part of the Montana Internet Crimes Against Children Task Force(ICAC). Additionally,the detective division has four school resource officers(SRO's) assigned to the Bozeman School District. The detective division is also responsible for administering the department's Sexual and Violent Offender Registry Program (SVORP). DRUG FORFEITURE:The drug forfeiture budget accounts for the City of Bozeman's costs related to the drug enforcement efforts within the Missouri River Drug Task Force(MRDTF)as outlined in the MRDTF Local Drug Task Force Inter-local Agreement.The MRDTF encompasses six counties to include Gallatin, Lewis and Clark, Broadwater, Meagher, Madison and Park.This task force is focused on the investigation of local and regional drug and firearm offenses. Major Objectives: • Create and maintain a continued feeling of safety within the community. • Provide the highest level of service to all citizens and visitors of our community. • Detect, investigate,and proactively prevent criminal activity. •Apprehend and hold criminal offenders accountable for their illegal behavior. • Participate in court proceedings. • Provide assistance to those who cannot care for themselves or those in danger of physical harm. • Conduct regular and proactive traffic safety education and enforcement. • Maintain a highly trained Special Response Team of officers qualified to handle barricaded subjects, hostage incidents, and high risk search warrants. • Resolve day-to-day conflicts among the general public. • Maintain fully trained K9 teams qualified to assist with building searches,evidence tracking,and drug interdiction efforts. • Maintain assignment of School Resource Officers to Bozeman School District to provide immediate enforcement,education, and liaison to students,school officials and parents. • Provide crime prevention education to schools, civic groups, businesses, and the public. • Develop positive programs, in partnership with the members of our community,which incorporate the concept of shared responsibility for public safety. • Develop and maintain certified trainers with the goal of sustaining our department's high training standards and requirements. • Continue to sponsor and attend quality regional law enforcement training. • Continue to partner with law enforcement agencies to include local,state and federal agencies. • Maintain a working environment where every employee's integrity,competency,and commitment to service are self-evident. • Maintain the assignment of two detectives to the Missouri River Drug Task Force. • Maintain confidential and concise intelligence files. •Assist prosecutors from city,state,and federal agencies in the prosecutions of drug cases. • Share investigative information with officers and detectives from both the city and county. • Share investigative information with other local,state and federal law enforcement agencies. • Conduct drug education and awareness presentations. • Investigate complaints of illegal or suspicious drug activity. • Make arrests for violations of illegal drug activity. Budget Highlights: • CIP Item GF053-Replacement of 3 patrol vehicles and equipment-$156,000; • CIP Item GF052-Replacement of 1 unmarked vehicles and equipment-$10,500; • CIP Item GF165-Replacement of 1 patrol motorcycles-$30,000; OVW Gallatin Project Grant- $184,180; • CIP Item GF050-Facility construction fo new Police/Courts building-$22 Million. City of Bozeman 125 FY15 Approved Budget Department: POLICE Activity: Public Safety Accomplishments: Anticipated for FY15: • Complete the design for a new Police facility and present a bond issue to the citizens for approval and funding• Maintain the Sexual and Violent Offender Registration Program (SVORP) in which compliance is maximized through the physical check of 100%of registered offenders. • Minimize overall risk and liability by continuing to maintain the highest training standards for all Bozeman Police Department employees. • Continue seeking and obtaining federal,state and local grants in an effort to offset general fund expenditures. Adopted Work Plan Items: The Police Department is working to fulfill the following Adopted Work Plan Item: Police& Municipal Court building-current planning and designs for the facility are being completed with a goal to request funding by a public bond in November 2014 and begin construction in Spring 2015 if successful. City of Bozeman 126 FY15 Approved Budget Department: POLICE Activity: Public Safety FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits $6,654,756 $5,932,080 $6,207,155 $275,075 4.64% Operating $1,055,415 $1,040,083 $1,141,095 $101,012 9.71% Capital $227,025 $1,327,933 $22,196,500 $20,868,567 1571.51% Debt Service Transfers Totals $7,937,196 $8,300,096 $29,544,750 Department Expenditures by Division Division _ Actual FY14 Budget FY15 Requested $Change %Chan 1 3010 Police Operations $6,702,773 $7,001,574 $28,023,888 $21,022,314 300.25% 3020 Crime Control&Investigations $750,555 $836,077 $1,134,013 $297,936 35.63% 3030 DARE $97,287 $81,154 $0 ($81,154) -100.00% 3040 Drug Forfeiture $207,153 $186,402 $201,752 $15,350 8.23% 3070 Animal Control $179,428 $194,889 $185,097 ($9,792) -5.02% Totals $7,937,196 $8,300,096 $29,544,750 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change 010 General Fund $7,407,645 $7,788,249 $7,098,313 ($689,936) -8.86% 125 Drug Forfeiture $207,153 $186,402 $201,752 $15,350 8.23% 138 Law&Justice Center Prepaid Rent $19,125 $0 $20,000 $20,000 100.00% 139 Police Special Revenue $120,978 $124,220 $0 ($124,220) -100.00% 140 Police Domestic Violence $182,295 $201,225 $224,685 $23,460 11.66% 188 City-County Drug Forfeiture $0 $0 $0 $0 100.00% 501 Police-Court Shared Facility $0 $0 $22,000,000 $22,000,000 100.00% Totals $7,937.1 . $8,300,096 $29,544,750 City of Bozeman 127 FY15 Approved Budget Department: POLICE Activity: Public Safety PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Effectiveness Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate PM01 Provide current updated Sexual and Violent Offender n/a 90% 95% 97% Registration Program PM02 Provide adequately staffed,trained and equipped patrol n/a 85% 88% 88% division PM03 Provide adequately staffed,trained and equipped detective n/a 90% 91% 95% division PM04 Provide adequately staffed,trained and equipped focused n/a n/a 85% 95% Quality of Life Program PM05 Provide adequately staffed,trained and equipped K9 Program n/a 100% 85% 95% PM06 Provide adequately staffed,trained and equipped joint Special n/a 90% 90% 90% Response Team PM07 Provide training and focus on Crisis Intervention and dealing n/a 85% 90% 90% with mentally ill citizens PM08 Provide adequately staffed,trained and equipped officers to n/a 100% 90% 90% Missouri River Drug Task Force PM09 Provide adequately staffed,trained and equipped assignment n/a 85% 85% 90% to Digital Forensic Analysis PM10 Provide adequately staffed,trained and equipped Crash n/a 90% 95% 100% Investigation Team PM11 Provide adequately staffed,trained and equipped Arson/Fire n/a 75% 85% 90% Investigation Team PM12 Provide adequately staffed,trained and equipped and n/a 100% 100% 100% dedicated Traffic Enforcement Unit PM13 Provide adequately staffed,trained and equipped animal n/a 80% 80% 90% control enforcement and education PM14 Provide adequately staffed,trained and equipped Evidence n/a 80% 80% 80% Technician and Evidence Storage Location City of Bozeman 128 FY15 Approved Budget Department: POLICE Activity: Public Safety PM15 Provide initial and on-going training program for employees n/a 90% 90% 90% that fulfills core training needs PM16 Participate in community organizations that promote n/a 80% 90% 90% partnerships PM17 Promote enhanced use of volunteers and internship programs n/a 25% 60% 75% PM18 Participate in Sexual Assault Response Team n/a 100% 100% 100% PM19 Participate in Domestic Violence Response Team n/a 90% 95% 100% PM20 Participate in child Multi-Disciplinary Team n/a 85% 90% 90% PM21 Provide assistance and liaison to other City Departments n/a 100% 100% 100% PM22 Provide Education and outreach to the Community n/a 90% 90% 90% PM23 Provide adequately staffed,trained and equipped School n/a 80% 90% 100% Resource Officers PM24 Provide Bicycle and walking patrols 100% 100% 100% 100% Workload Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate STAFF TO SUPPORT WORKLOAD FTE 72.75 72.75 72.75 WL01 Total Calls for Service 45,358 47,361 47,854 48,300 WL02 Agency Assist n/a 1,368 1,516 1,520 WL03 Aggravated Assault/Assault with Weapon 20 16 8 12 WL04 Arson 1 5 4 5 WL05 Burglary 112 130 100 110 WL06 Civil Assistance n/a 746 862 850 WL07 Code Compliance and Community Resource Officer Complaints n/a n/a 965 1,200 City of Bozeman 129 FY15 Approved Budget Department: POLICE Activity: Public Safety WL08 Criminal Trespass 438 399 400 400 WL09 Criminal Mischief/Vandalism 649 575 460 525 WL10 Disorderly Conduct/Fighting/Threats 887 893 882 900 WL11 Disturbance/Loud Party 1,086 985 1,142 1,300 WL12 DUI Alcohol and/or drugs 400 328 314 340 WL13 Drugs(Possession and Paraphernalia 200 184 246 290 WL14 Homicide 0 2 4 4 WL15 Identity Theft/Deceptive Practice/Forgery 97 58 40 55 WL16 Motor Vehicle Theft 81 88 66 75 WL17 Parking Complaints(not including Abandoned Vehicles) n/a 1,800 1,392 1,600 WL18 Protective Custody/Welfare Check/Suicide/Attempted n/a 942 1,062 1,100 Suicide WL19 Partner/Family Member Assault 233 234 268 275 WL20 Public Assistance 2,026 2,289 2,392 2,450 WL21 Assault(all other) 237 197 200 203 WL22 Alarm Response 276 835 1,006 1,020 WL23 Animal Complaints 2,384 2121 2086 2350 WL24 Public Education Presentations 230 350 152 250 WL25 Robbery 5 9 4 8 WL26 Sexual Crime(Sex Assault/Sexual Intercourse without 86 101 80 100 Consent/Incest/Indecent Exposure) WL27 Subject Stops 1,338 1,248 1,298 1,400 City of Bozeman 130 FY15 Approved Budget Department: POLICE Activity: Public Safety WL28 Suspicious Circumstances 1,037 1,010 978 1,100 WL29 Theft(non-vehicular) 1,453 1,228 1,302 1,400 WL30 Total Arrests 2,152 2,096 3,464 3,000 WL31 Traffic Crashes 1,264 1,320 1,750 1,900 WL32 Traffic Stops 9,358 10,629 7,528 9,000 WL33 Traffic Citations Issued 5,234 5,205 3,778 4,800 WL34 Citations for Using Cell phone while driving 52 121 230 260 City of Bozeman 131 FY15 Approved Budget Department: FIRE Activity: Public Safety PROGRAM INFORMATION Program Description: The Fire Department budget unit accounts for the costs associated with meeting our mission. MISSION:To minimize life loss, injury,and property loss by rendering advanced life support emergency medical care, rescue services,fire code inspections,code enforcement, public fire safety/survival education,fire suppression,fire cause/arson investigation, hazardous materials mitigation and response, and disaster management.We will provide these services at the highest national standards consistent with community needs and available public and private resources. Major Objectives: CONTINUE ORGANIZATIONAL RESTRUCTURING RELATED TO 3 STATION OPERATIONS: • Continue to fully integrate Battalion Chiefs into our daily operations. PROVIDE ADEQUATE RESOURCES,TRAINING,AND EDUCATION TO ASSURE EFFECTIVE LEVELS OF SERVICE DELIVERY AND PROMOTE EMPLOYEE HEALTH AND SAFETY: • Continue development and refinement of the department's comprehensive training program encompassing all Fire Department operations and services,which include but are not limited to emergency management,fire prevention,fire suppression, hazardous materials,emergency medical,and rescue services. • Implement employee succession plan/career development plan. • Maintain all current professional certifications. • Maintain all training,equipment, and personnel requirements for state licensure to provide advanced life support, non-transport(ALS),emergency services.Continue development of the Department's minimum company standards(MCS). PLAN AND PREPARE FOR CURRENT AND FUTURE SERVICE DELIVERY NEEDS THROUGH THE CONTINUED IMPLEMENTATION OF THE ADOPTED 2006 FIRE PROTECTION MASTER PLAN: • Work closely with other departments to identify current and future service trends and what resources are,and will be, needed to address the community's emergency service needs. • Continue long term planning for Fire Station 4 and our Training facility. IMPLEMENT THE FIRE DEPARTMENT IMPROVEMENT PLAN: • Complete organizational value setting exercise. • Set Vision for future of our organization. • Review and revise the BFD mission statement. • Work with current employees and our community to begin and complete a long term strategic planning process that prepares our department for future accreditation. CONTINUE TO CREATE, REFINE AND MAINTAIN EFFECTIVE ADMINISTRATIVE SUPPORT FOR ALL FIRE DEPARTMENT OPERATIONS AND ACTIVITIES: • Encourage Fire and Emergency Services as a City Commission priority. • Continued implementation of the Commission adopted Fire Protection Master Plan. • Review and reorganize responsibilities of administrative staff based on organizational need. • Review Hazardous Materials and Disaster and Emergency Services Agreements between the City and County. • Expand program planning and performance measure budgeting within the department. ENHANCE AND UPGRADE DEPARTMENT FIRE PREVENTION PROGRAMS: • Comprehensively meet our fire prevention and inspection obligations through the continued development of a Fire Prevention Bureau. • Continue to improve and enhance the department's life safety inspections and required self inspection program, home inspection programs,and other code enforcement activities. •Implement the Rental Safety Initiative and appropriately respond to inspection requests. TO MAXIMIZE UTILIZATION, EFFECTIVENESS,AND EFFICIENCY OF THE DEPARTMENT'S SERVICES: • Continue implementation of the fire apparatus and equipment replacement program. • Continue to implement mobile data computer system. • Enthusiastically participate in joint training and operations with mutual aid departments. • Improve project review record keeping process and emergency response record keeping by providing a seamless interface with the Building Department and 9-1-1 Center's RMS. • Enthusiastically support the Department's shift based commercial inspection program. • Meet all contractual and performance requirements for regional hazardous materials response teams. • Continue to support and participate in the Gallatin County Fire Investigation and Arson Task Force. DEVELOP INTERNAL SYSTEM ACTION PLANS THAT MAXIMIZE EXISTING RESOURCES AND SERVICES: • Meet with current staff to agree on yearly goals calendar and identify action steps and time frames to achieve those goals. Review and revise as necessary. City of Bozeman 132 FY15 Approved Budget Department: FIRE Activity: Public Safety Budget Highlights: • CIP Item-GF162-Live fire training prop-$10,000; • CIP Item FE05-Defibrillator replacement-$37,000 Accomplishments: Anticipated for FY15: • Continue construction of Training Facility at lower yards. • Continue Implementation of 2006 Fire Protection Master Plan Organizational Recommendations. • In coordination with the Police Department, build and improve community/Public Safety relations through the development and implementation of new programs consistent with community need. • Improve efficiency, productivity,and accountability in our fire inspections programs. • Continue refinement of 3 station response districts to reduce response times city wide. • Implement Community Based CPR and AED program • Continue review of current administrative roles and responsibilities and work load to identify opportunities for improved efficiency and service delivery. • Continue refinement of special operations programs including confined space rescue,trench rescue, low and high angle rescue, and collapsed building response. • Explore opportunities for use of social media when communicating with citizens. • Complete Fire Department Annual Report. •Take delivery and place in service new ladder truck. Adopted Work Plan Items: No specific items identified this year. City of Bozeman 133 FY15 Approved Budget Department: FIRE Activity: Public Safety FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits $4,597,672 $4,090,978 $4,122,911 $31,933 0.78% Operating $482,745 $448,358 $490,415 $42,057 9.38% Capital $61,961 $439,864 $47,000 ($392,864) -89.31% Debt Service Transfers $559,201 $0 $0 $0 100.00% Totals $5,701,579 $4,979,200 $4,660,326 Department Expenditures by Division Division _;Actual FY14 Budget FY15 Requested $Change %Change 3110 Fire Administration $938,438 $429,090 $455,414 $26,324 6.13% 3120 Fire Operations $4,726,190 $4,501,955 $4,129,136 ($372,819) -8.28% 3130 Operational Readiness $9,975 $20,300 $37,800 $17,500 86.21% 3140 Fire Prevention $6,644 $19,105 $28,926 $9,821 51.41% 3160 Hazardous Materials $20,332 $8,750 $9,050 $300 3.43% 3170 Disaster&Emergency Services $0 $0 $0 $0 100.00% Totals $5,701,579 $4,979,200 $4,660,326 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change 010 General Fund $5,088,340 $4,541,336 $4,623,326 $81,990 1.81% 113 Fire Impact Fees $444,321 $0 $0 $0 100.00% 183 Fire Department Special Revenue $122,413 $0 $0 $0 100.00% 187 Fire Capital&Equipment Replacement $46,505 $437,864 $37,000 ($400,864) -91.55% Totals $5,701,579 $4,979,200 $4,660,326 City of Bozeman 134 FY15 Approved Budget Department: FIRE Activity: Public Safety PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Effectiveness Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate PM01 Emergency Operations:6 Minute Response Time(Comssion 100%in 6 min 80% 79.3% 80% 80% Adopted) PM02 Fire Prevention(FP):High Risk Locations requiring inspection 100% 100% 100% 100% 100% brought to completion: PM03 FP:Bars-Occupancy Checks 100% 100% 100% 100% 100% PM04 FP:Sororities&Fraternities 100% 100% 100% 100% 100% PMO5 FP:Schools 100% 100% 100% 100% 100% PM06 FP:Montana State University 100% 100% 100% 100% 100% PM07 FP:Business License Inspections 100% 100% 100% 100% 100% PM08 Training(T):Firefighters completing certification of those 100% 100% 100% 100% 90% required to attend specific classes: PM09 T:Haz Mat Technician 100% 100% 100% 100% 100% PM10 T:EMT/Paramedic Refersher 100% 100% 100% 100% 100% PM11 T:Firefighter 1 100% 90% 90% 90% 90% PM12 T:Firefighter 2 100% 70% 70% 70% 70% PM13 T:Car Seat Safety 100% 100% 100% 100% 100% Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate Efficiency Measures PM14 Fire Prevention:Annual Inspections as a percentage of 100% 30% 30% 50% 100% properties in need of inspection(not including new construction)Total properties requiring inspection:3,365(we are scheduled to complete'A of that number each year) City of Bozeman 135 FY15 Approved Budget Department: FIRE Activity: Public Safety Workload Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate STAFF TO SUPPORT WORKLOAD FTE 41.75 43.75 45.75 45 WL01 Fires 75 91 70 80 WL02 Rupture/Explosion 1 5 4 5 WL03 EMS/Rescue 1,483 1941 2051 2200 WL04 Hazardous Condition 202 213 266 310 WL05 Service Calls 187 145 212 230 WL06 Good Intent Calls 498 497 561 625 WL07 False Calls 270 325 385 425 WL08 Severe Weather/Other 36 4 4 5 WL09 Total Calls 2,752 3222 3554 3880 City of Bozeman 136 FY15 Approved Budget Department: BUILDING INSPECTION Activity: Public Safety PROGRAM INFORMATION Program Description: The Building Inspection Division unit accounts for expenditures utilized to monitor construction projects within the City of Bozeman Jurisdictional Area as allowed by state law and as adopted by the City Commission. The intent of this budget unit is to provide guidance and to enforce minimum building code standards to safeguard life, limb, health, property and public welfare by regulating and controlling the design,construction,quality of materials, use and occupancy, location and maintenance of all buildings and structures within this jurisdiction. Major Objectives: Fiscal Year 2015 1.COMMUNICATION AND COODINATION: • Continue working with the Planning and Engineering departments to improve communications between our departments and our customers. • Continue working with all city departments to simplify the overall permitting process. • Continue working with all city departments to help with in-house city building renovation and remodel projects. • Continue working to improve communications with City Administrators and the City Commissioners. 2. CUSTOMER SERVICE: • Work in conjunction with the Planning and Engineering departments to develop and implement an improved and more efficient building permit issuance procedure. • Provide technical advice and consultation for all city departments to help facilitate in-house city projects and minimize costs to the taxpayer. • Continue implementing and working with new technology in order to provide faster, higher quality, more accessible and streamlined services for our customers in the coming years. 3. TECHNOLOGY: • Fine tune and promote recently installed software that allows Building Division customers online access to permit and project files. • Fine tune and de-bug recently purchased software integrated into our field inspection procedures to allow for more efficient and consistent field inspections and inspection documentation. • Fine tune and promote recently purchased software that will allow for online plan submittal and work towards providing a complete electronic plan review process for our customers. Budget Highlights: • CIP Item B102 IVR phone system software/hardware-$50,000; • Fire Inspector-1.0 FTE. Accomplishments: Anticipated for FY15:Work to accomplish Department's major objectives throughout the year. Adopted Work Plan Items: No specific items identified this year. City of Bozeman 137 FY15 Approved Budget Department: BUILDING INSPECTION Activity: Public Safety FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits $719,756 $946,626 $1,054,067 $107,441 11.35% Operating $259,628 $181,984 $400,743 $218,759 120.21% Capital $226,788 $100,000 $50,000 ($50,000) -50.00% Debt Service Transfers Totals $1,206,172 $1,228,610 $1,504,810 Department Expenditures by Division Division FY13 Actual FY14 Budget FY15 Requested $Change %Change 3210 Building Inspection Operations $1,206,172 $1,228,610 $1,504,810 $276,200 22.48% 3220 Life Safety $0 $0 $0 $0 100.00% Totals $1,206,172 $1,228,610 $1,504,810 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change 115 Building Inspection Fund $1,206,172 $1,228,610 $1,504,810 $276,200 22.48% Totals $1,206,172 $1,228,610 $1,504,810 City of Bozeman 138 FY15 Approved Budget Department: BUILDING INSPECTION Activity: Public Safety PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Effectiveness Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate PM01 Residential Plan Reviews:Within Standard 2 Weeks 75% 95% 95% 95% 100% PM02 Commerical Plan Reviews:Within Standard 4 Weeks 75% 98% 98% 98% 100% PM03 Fast Track Plan Reviews:Within Standard 1 Week 90% NA 95% 95% 100% PM04 Frame Inspections:Within Standard(1 audit/month/employee) 90% 92% 95% 95% 95% PM05 Commercial Plan Checks:Within Standard(1 90% 95% 95% 95% 95% audit/month/employee) PM06 Residential Plan Checks:Within Standard(1 90% 95% 98% 98% 98% audit/month/employee) PM07 Final Inspections:Within Standard(1 audit/month/employee) 90% 95% 98% 95% 95% Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate Efficiency Measures PM08 Average Daily Inspections per Inspector 15 20.25 16.30 25.0 20 Workload Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate STAFF TO SUPPORT WORKLOAD FTE 10.55 10.55 12.55 14.00 WL01 Commercial Permits:Number 464 801 1000 1000 WL02 Commercial Permits Valuation $42M $64 M $90 M $75 M WL03 Residential Permits:Number 1,549 2251 2500 2500 WL04 Residential Permits Valuation $79M $144 M $200 M 200 M WL05 New Permits:Single Family Dwellings 244 337 450 350 WL06 New Permits:Multi-Unit Dwellings 28 243 700 300 City of Bozeman 139 FY15 Approved Budget Department: PARKING Activity: Public Safety PROGRAM INFORMATION Program Description: Effective July 1,2013 the Parking Enterprise Fund, under the authority of the Bozeman Parking Commission (BPC), now consists of the entire city of Bozeman and not just the Downtown Parking,the MSU Residential Parking District,and the High School Residential Parking District. Additional jurisdiction of the BPC includes Bridger Park Downtown,the City's 435-space parking garage. The BPC directly supervises the City's parking manager,who, in turn,oversees the Parking Enforcement staff(5.0 FTE).There are four sources of revenue: citations, permits for the MSU and high school residential districts, monthly leases in surface lots and Bridger Park Downtown's daily and monthly incomes. Parking expenses include wages for the parking manager, parking clerk, and enforcement staff; maintenance and utilities of surface lots and Bridger Park Downtown; citation notifications;vehicle expenses and seasonal snow removal. While primary responsibility of each enforcement person is to a specific area,they exercise flexibility daily to meet the ever changing needs of the department to respond whenever and wherever needed. Major Objectives: MISSION:The Bozeman Parking Commission is responsible for managing and regulating public parking in its districts to best serve the needs of its customers, businesses, residents, employees,and visitors. GOALS: • Improve and maintain public parking assets to best serve the needs of the public. • Seek to acquire additional public parking as needed. • Make the parking operations fiscally sound and self-sufficient. • Provide consistent parking enforcement and educate public whenever possible to minimize parking conflicts. • Make parking options and areas functional and attractive. • Plan for and respond to changing parking needs in the districts. • Provide parking alternatives for bicycles, motorcycles,and other transportation methods. •Work cooperatively with local government partners. • Provide for the safe movement of pedestrian and vehicle traffic. Budget Highlights: No significant budget highlights for FY15. Accomplishments: Anticipated for FY15:Will start with the loss of 2 most senior employees,and thus allow the department to restructure the workloads and shifts to create opportunity for improvement and efficiency,and a redesign of the departmental processes. FY14 is projected to have a positive bottom line as is the FY14 budget,with the expectation that the BPC can build a reserve fund for future capital expenditures .These positive numbers are in contrast to many years of operating in the red.As the services and parking options provided to the public and business community improve,so does the positive public perception of the parking department. FY14 has continued to see increased awareness and usage of the public parking facilities, especially the Downtown garage. Permit sales in surface lots and the parking garage have continued to increase as general usage increases from local businesses,downtown employees,and general visitors. Overall, parking has seen a noticeable improvement in both services provided and the public perception while achieving a positive financial outcome. Adopted Work Plan Items: The Bozeman Parking Commission governs and sets the Work Plan for Parking Operations. For the coming years,the work items include: Developing a RFP for surface lot redesign to update and improve each lot,while developing an overall standard for public parking lots and to work with the BPC to develop an outline for the future of parking to help guide decisions moving forward. City of Bozeman 140 FY15 Approved Budget Department: PARKING Activity: Public Safety FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits $200,780 $264,636 $236,925 ($27,711) -10.47% Operating $555,608 $213,475 $227,853 $14,378 6.74% Capital $0 $0 $200,000 $200,000 100.00% Debt Service Transfers Totals $756,388 $478,111 $664,778 Department Expenditures by Division Division FY13 Actual FY14 Budget FY15 Requested $Change %Change 3310 Parking Administration $225,253 $207,974 $207,190 ($784) -0.38% 3320 Parking Operations/Enforcement $109,616 $194,412 $129,815 ($64,597) -33.23% 3330 Parking Garage Operations $421,519 $75,725 $327,773 $252,048 332.85% Totals $756,388 $478,111 $664,778 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change 650 Parking Enterprise Fund $756,388 $478,111 $664,778 $186,667 39.04% Totals $756,388 $478,111 $664,778 City of Bozeman 141 FY15 Approved Budget Department: PARKING Activity: Public Safety PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Workload Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate STAFF TO SUPPORT WORKLOAD FTE 4.50 4.50 5.50 6.00 WL01 Courtsey Citations Written(no charge) 2,754 2,500 2,500 2,500 WL02 Parking Lots:Spaces Managed&Maintained 188 188 188 160 WL03 Parking Lots:Managed&Maintained 4 4 4 4 WL04 Parking Garages:Number Managed&Maintained 1 Downtown 1 1 1 1 Garage WL06 Total Citations Written 8,883 9,860 10,000 12,000 City of Bozeman 142 FY15 Approved Budget Department: PUBLIC WORKS ADMINISTRATION Activity: Public Service PROGRAM INFORMATION Program Description: The Public Works Administration budget unit includes the Director of Public Works, Engineering,and GIS. THE DIRECTOR OF PUBLIC WORKS has oversight responsibilities for water,wastewater and stormwater utilities,streets maintenance,signs and signals,vehicle maintenance,solid waste, engineering,and GIS.The Director also manages the City's asset management and deferred maintenance programs.Code enforcement on sidewalk snow removal and weed control was completed by the engineering division but these enforcement activities were transferred to the Police Department in FY 2014. ENGINEERING will support the Police Department in securing contracts for snow and weed removal services.As delegated by the City Manager,the Public Works Director reviews and issues parade, public assembly,and downtown sidewalk permits.The Engineering Division provides technical engineering in the preparation, review,and oversight in the planning,design, construction inspection and construction management of the City's Public Works facilities including water treatment and distribution, wastewater collection and treatment,storm water collection and treatment,streets(with appurtenant curb,gutter,sidewalk and drainage facilities),traffic control facilities,solid waste,and other facility and infrastructure projects.The division establishes and maintains current City infrastructure standards and assures compliance with city,county,state,and federal rules, regulations, codes, and engineering standards.The engineering division assists other City departments with engineering services.The engineering division also maintains the City's infrastructure files and records, maps, plats, property ownership and other records; participates in the review and approval of subdivision,annexation, and zone code/development proposals for conformance with established standards;coordinates infrastructure work with county,state,and federal agencies;administers the EPA-mandated wastewater pretreatment program and the DEQ-mandated storm water program; and administers the city's flood plain ordinance, sidewalk repair and installation programs.The engineering division also designs infrastructure improvements such as water and wastewater main replacements,and street reconstruction.The City Engineer also oversees the Bozeman Solvent Site superfund site and landfill monitoring and remediation activities. THE GIS DIVISION develops,supports,delivers and promotes enterprise geographic data and spatial technologies to all levels of government and the public.The GIS Division performs a wide variety of data maintenance and analysis for most City departments and coordinates data sharing among various public and private agencies. The GIS Division also implements and maintains the City's work order management and maintenance system(Cityworks)as well as several public web mapping applications and data portals. Major Objectives: •To coordinate the activities of the Public Works department divisions. •To establish and maintain policies, procedures and protocol for conducting the department's functions. •To assist the City Manager and Administrative Services Director in reviewing enterprise fund revenue and expense forecasts for rate setting purposes. •To provide general oversight of department activities affected by new federal and state mandates. •To assure the City's long-term master plans for water,wastewater,stormwater, and transportation facilities are implemented in a cost-effective manner,and that all City infrastructure improvements are constructed in a quality manner to provide reliable service for the public's immediate and long-term needs. •To assist all City departments in the engineering design and/or the procurement of specialized engineering services. •To effectively manage the City's public works assets. •To deliver accurate and complete spatial data and analysis for the City of Bozeman and its citizens. Budget Highlights: • Addition of GIS Analyst- 1.0 FTE • Review lighting standards&develop standard for LED lights-$40,000; • Enterprise license agreements-$62,000; • CIP Item GF065-Aerial photography-$60,000. •Public works&GIS were previously funded by the General Fund. Beginning in FY15,the GIS Analyst will be paid from the General Fund, but all other costs will be paid by the Public Works Departments through a cost recovery program in the Water Fund. Accomplishments: Anticipated for FY15: • Completion of a comprehensive stormwater inventory and condition assessment.Completion of a city-wide pavement condition survey. •Successful migration of Cityworks to the latest software version, including the purchase of an enterprise-wide license. • Recognition of the MSU Presidential Award for Excellence in Service Learning(GIS Division). • Drafted initial capital planning tool to facilitate long-range infrastructure improvements(Asset Management). City of Bozeman 143 FY15 Approved Budget Department: PUBLIC WORKS ADMINISTRATION Activity: Public Service Adopted Work Plan Items: The Public Works Administration Department is working to fulfill the following Adopted Work Plan Items:#1—Story Mill Landfill.#3— Development of a Transportation System,#5—Stormwater Utility. City of Bozeman 144 FY15 Approved Budget Department: PUBLIC WORKS ADMINISTRATION Activity: Public Service FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits $33,723 $105,896 $308,481 $202,585 191.31% Operating $50,556 $84,094 $223,716 $139,622 166.03% Capital $887,889 $25,000 $60,000 $35,000 140.00% Debt Service Transfers Totals $972,168 $214,990 $592,197 Department Expenditures by Division Division FY13 Actual FY14 Budget FY15 Requested $Change %Change 4010 Public Services Administration $35,176 $61,085 $74,693 $13,608 22.28% 4020 Engineering $36,815 $53,085 $205,642 $152,557 287.38% 4025 GIS $0 $68,540 $311,862 $243,322 355.01% 4030 Snow Removal Enforcement $12,154 $30,730 $0 ($30,730) -100.00% 4040 Weed Cutting Enforcement $135 $750 $0 ($750) -100.00% 4050 Sidewalk Repair Program $0 $800 $0 ($800) -100.00% 4060 Sidewalk&Curb Construction $0 $0 $0 $0 100.00% 4070 Construction $887,888 $0 $0 $0 100.00% Totals $972,168 $214,990 $592,197 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Chang: J 010 General Fund $84,279 $214,990 $0 ($214,990) -100.00°. 562 Construction Funds $887,889 $0 $0 $0 100.00°. 600 Water $0 $0 $592,197 $592,197 100.00°. Totals $972,168 $214,990 City of Bozeman 145 FY15 Approved Budget Department: PUBLIC WORKS ADMINISTRATION Activity: Public Service PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Effectiveness Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate PM01 GIS:Overall Customer Satisfaction Rating(based on annual 80% 94% 92% 90% 90% customer survey) PM02 GIS:GIS map/data requests processed within one week that 95% 100% 100% 98% 98% have no custom development requirements Workload Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate STAFF TO SUPPORT WORKLOAD FTE 10.00 10.00 12.00 6.58 WL01 GIS:Small Projects(Maps&Datasets Completed Under 1 hour) 55 69 60 108 WL02 GIS:Medium Projects(Maps&Datasets Completed Between 1 15 35 18 55 &40 hours) WL03 GIS:Large Projects(Maps&Datasets Completed over 40 hours) 9 17 10 26 WL04 GIS:Website Visits 13941 14734 13616 16458 W L05 Private Water Projects-Lineal Feet(Calendar Year) N/A 12,784 30,943 34,037 WL06 Private Sewer Projects-Lineal Feet(Calendar Year) N/A 3,734 17,914 19,705 W L07 Public Water Projects-Lineal Feet(Calendar Year) N/A 2,367 12,602 13,862 WL08 Pubilc Sewer Projects-Lineal Feet(Calendar Year) N/A 9,500 18,380 20,218 WL09 Private Street Projects-Lineal Feet(Calendar Year) N/A 9,934 23,635 26,000 WL10 Private Stormwater Projects-Lineal Feet(Calendar Year) N/A 4,136 6,401 7,041 WL11 Public Street Projects-Lineal Feet(Calendar Year) N/A 6,436 3,168 3,484 WL12 Public Stormwater Projects-Lineal Feet(Calendar Year) N/A 3,390 2,558 2,813 WL13 Misc.Curbcut/Sidewalk Permits Issued N/A N/A 27 30 City of Bozeman 146 FY15 Approved Budget Department: PUBLIC WORKS ADMINISTRATION Activity: Public Service WL14 Sign Change Requests Processed N/A N/A 20 22 WL15 Encroachment Permits Processed 36 58 63 WL16 Street Cut Permits Processed 37 53 58 WL17 Flood Plain Permits Processed 6 4 5 WL18 Engineering Service Contracts 5 3 4 WL19 Street/Transportation/Misc Service Contracts 3 4 5 WL20 Landfill Service Contracts 2 2 2 WL21 Planning Reviews-Zoning and Subdivision N/A 91 100 City of Bozeman 147 FY15 Approved Budget Department: STREETS Activity: Public Service PROGRAM INFORMATION Program Description: GOAL:The goal of the street maintenance division is to help provide for a network of safe roadways for the traveling public and access to desired destinations such as emergency services,schools, employment,shopping,community services, or other facilities in a quick,convenient,safe and comfortable manner while minimizing harmful effects on the environment.STREET MAINTENANCE FUND:The street maintenance district division accounts for the expenditure of special assessments on property in the City for the repair and upkeep of the City's streets.Section 7-12-4401 MCA authorizes the City to create street maintenance districts for the purpose of maintaining its streets,alleys, and other public places.The maintenance districts were first created during fiscal year 1990-91.Assessments are levied on each piece of property within the City limits and are recorded on the property owners SID notices annually.Collection takes place in November and May and provide the revenues for the street maintenance district program.Any unexpended balances are available for reappropriation next fiscal year.The costs incurred in maintaining streets, alleys, and other public places within the maintenance district are assessed against each property within the district based on the assessable area of the property as a percentage of the entire assessable area of the district,exclusive of streets, avenues,alleys,and public places. GAS TAX FUND:The gas tax division accounts for the expenditure of the City's share of state collected gas tax funds allocated to the City by the Montana Department of Transportation (MDT).Section 15-70-101 MCA provides that MDT shall allocate gas tax revenues to cities,towns, and counties. One-half of the City's allocation is based on population and one-half is based on street and alley mileage.The funds may be used only for construction, reconstruction, maintenance, and repair of streets and alleys. The funds may not be used for equipment purchases. Major Objectives: • Implement an efficient pavement management plan, in turn creating yearly maintenance programs for failing street infrastructure. • Utilize pavement condition assessment for planning and scheduling our repairs from potholes to complete reconstruction • Maintain streets and alley right-of-ways to allow traffic to move in a safe and prudent manner. • Improve the quality of summer and winter street maintenance work and communicate to the citizens so that they may be better informed and plan for it. • Continued use of alternative fuels when available and affordable such as biodiesel and ethanol in our fleet. • Institute a City-wide curb replacement program with assistance from the Engineering Dept. • Expand our cooperative efforts with the County Road Department and MDT. Budget Highlights: • CIP Items CT002-CT005-Sidewalk repair-$114,000; • CIP Item CT007-Wayfinding-$100,000; • CIP Item CT009-Pedestrian Trail- $12,690; • CIP Item SIF 42-Baxter&Davis intersection-$300,000; • Chip seal, mill and overlay projects-$330,000; •Chip seal streets according to pavement condition survey-$200,000; •CIP item STR39-Trailer mounted spray patcher-$75,000; • CIP item STR42-Asphalt hot box-$35,000; • CIP item STR11-Medians&boulevard maintenance-$25,000; • CIP item STR30-Concrete repair program-$50,000; • CIP item SCRO1-Curb spot repair-$50,000;CIP item STR22-Grader lease-$50,000; • CIP item STR34- Sweepers lease-$75,000; • CIP Item SCRO2-Annual street&curb replacement project-$800,000; •CIP item STR20-Bike path improvements-$25,000; • CIP item SIF01-R.O.W.acquisition-$100,000; • CIP item 51F36-Cottonwood-Babcock to Oak-$200,000; • CIP item SIF37-Transportation plan update-$125,000; • CIP item SIF38-Ferguson-Baxter to Oak-$100,000; • CIP item SIF43-S. 11th -Opportunity to Arnold-$250,000; • Cip item SIF42-Baxter&Davis Intersection-$450,000; • Mckinstry energy audit upgrades-LED Street Lighting Accomplishments: Anticipated for FY15: • Complete all CIP improvements. • Complete Transportation plan update. • Facilitate street reconstruction projects identified in the adopted work plan. Adopted Work Plan Items: Transportation System-Facilitate street reconstruction projects,assist in updating the Transportation plan, Complete improvements for interesctions. City of Bozeman 148 FY15 Approved Budget Department: STREETS Activity: Public Service FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change II Salaries&Benefits $1,205,211 $1,311,538 $1,300,213 ($11,325) -0.86% Operating $1,516,121 $1,747,452 $2,236,826 $489,374 28.01% Capital $478,974 $1,985,383 $3,468,332 $1,482,949 74.69% Debt Service $70,531 $255,000 $245,000 ($10,000) -3.92% Transfers $30,150 $30,150 $0 ($30,150) -100.00% Totals $3,300,987 $5,329,523 $7,250,371 Department Expenditures by Division Division FY13 Actual FY14 Budget FY15 Requested $Change %Change 4110 Street Operations $2,035,175 $2,844,829 $4,033,867 $1,189,038 41.80% 4120 Street Maintenance $609,079 $659,500 $659,500 $0 0.00% 4130 Street Construction $0 $1,060,515 $1,446,690 $386,175 36.41% 4150 Street Lighting $438,346 $405,000 $699,162 $294,162 72.63% 4171 Traffic Signs&Markers $218,387 $359,679 $411,152 $51,473 14.31% Totals $3,300,987 $5,329,523 $7,250,371 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change mMJ 010 General Fund $113,408 $113,919 $89,062 ($24,857) -21.82% 108 Community Transportation Fund $0 $30,515 $526,690 $496,175 1626.00% 110 Gas Tax Fund $607,339 $659,500 $659,500 $0 0.00% 111 Street Maintenance Fund $2,167,285 $3,828,589 $4,335,599 $507,010 13.24% 114 Street Impact Fees $36,210 $350,000 $1,225,000 $875,000 250.00% 146 Lighting Districts $376,745 $347,000 $414,520 $67,520 19.46% 500 Construction Funds $0 $0 $0 100.00% Totals $3,300,987 111 $5,329,523 $7,250,371 City of Bozeman 149 FY15 Approved Budget Department: STREETS Activity: Public Service PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Effectiveness Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate PM01 Potholes:Summer Patched Holding 6 Months Later 90% 95% 95% 97% 95% PM02 Potholes:Winter Patches Holding 6 Months Later 50% 50% 50% 50% 50% PM03 Potholes:Response to Citizen Notification(repairs w/in 7 90% 100% 100% 100% 100% working days) PM04 Ease of Travel by:Car 100% 45% 60% 60% NA PM05 Ease of Travel by:Bicycle 100% 45% 60% 70% NA PM06 Ease of Travel by:Walking 100% 65% 70% 70% NA PM07 Snow Route Plowing Completed:Arterials&Collector Routes 100% 90% 100% 95% 90% PM08 Snow Route Plowing Completed:Commercial Route 100% 100% 100% 95% 90% PM09 Residential Street Plowing Completed 100% 80% 80% 80% 60% PM10 Emergency Call Response:Within 1 hour of Notification 100% 100% 100% 100% 100% (weekdays) PM11 Right Of Way Mowing Completed:within 3 weeks of Start Up 100% 90% 100% 100% 100% Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate Efficiency Measures PM12 Potholes:Labor Hours per Repair <0.5 hrs 0.6 hrs 0.5 hrs 0.5 hrs 0.5 hrs PM13 Potholes:Repairs>3"deep&6"wide(Within 2 Days of 2 2 2 2 2 Notification) PM14 Potholes:Repairs<3"deep&6"wide(Within 7 Days of 7 5 5 5 5 Notification) PM15 Shoulder Blocks of Right-of-Way Mowed per Day 20-25 23 25 25 25 PM16 Alley Blocks Trimmed of Brush&Debris per Day 15-20 20 20 City of Bozeman 150 FY15 Approved Budget Department: STREETS Activity: Public Service PM17 Graveled Streets Graded 1,000 1,000 1,000 1,000 1,000 PM18 Alley Blocks Graded&Surface Material Placed per Day 8-10/grader 12 12 12 10 PM19 Crack Sealing:Lineal Feet per Labor Hour 80-90 feet 100 100 100 100 PM20 Curb Miles of Streets Swept per Day 35-40 miles 50 40 50 40 PM21 Streets Plowed&Sanded:Normal Snowfall;Measured in Lane- 14/hr 14 18 14 15 miles/Hour PM22 Streets Plowed&Sanded:Heavy Snowfall;Measured in Lane- 10/hr 10 14 10 12 miles/Hour Workload Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate STAFF TO SUPPORT WORKLOAD FTE 17.62 17.62 18.62 16.20 WL01 Street&Alley Mileage 237 246 252 253 WL02 Curb Replaced:Lineal Feet 630 756 0 4000 WL03 Pedestrian Ramps Installed 40 4 1 33 WL04 Miles Chip Sealed 3 3.5 2.4 2 WL05 Miles Paved(Includes Asphalt Millings) 1.50 1.225 2.36 2 WL06 Miles Graveled 3 2.5 2 1 WL07 Miles of Street Millings 1.20 1.25 1.0 1.0 WL08 Crack Sealer Used:Pounds 5,700 5,250 5,500 5,000 WL09 Signs Installed 145 96 100 100 WL10 Signs Repaired 975 573 600 600 WL11 Lane Miles Painted 41 37 43 44 WL12 Lane Miles Plowed and Sanded 1,150 1,350 1,500 1,600 City of Bozeman 151 FY15 Approved Budget Department: STREETS Activity: Public Service WL13 Crosswalks Painted 114 87 100 110 WL14 Crosswalks Hot Tape Applied 16 8 10 12 WL15 Miles of Yellow Curb Painted 22.5 22.5 17.5 20.5 WL16 Curb Miles of Streets Swept 10,500 13,350 14,000 14,000 WL17 Signal Lights Maintained 73 73 74 75 WL18 Flashing Yellow Lights Maintained 12 12 12 12 WL19 Dead Animals Picked Up 20 16 15 15 WL20 Leaves Collected:Tons 1,000 960 1,000 1,000 WL21 Street Closures for Special Events 21 28 30 30 WL22 Miles of Sidewalk Plowed 2 2 2 2 WL23 Signal Repairs 370 246 250 250 City of Bozeman 152 FY15 Approved Budget Department: WATER TREATMENT PLANT (WTP) Activity: Public Service PROGRAM INFORMATION Program Description: The Water Treatment Plant(WTP) budget unit accounts for the costs associated with maintaining a quality drinking water supply for the City of Bozeman.The City has two treatment plants:The 22 million gallon per day(MGD)Sourdough Plant and the 3.7 MGD Lyman Creek Plant.All plants are operated 24 hours per day, 365 days per year.There are 5 Operators, 2 Forepersons, 1 Lab and Compliance Coordinator,and a Superintendent as of FY15.The Operators are responsible for monitoring all drinking water in the distribution system in accordance the Safe Drinking Water Act.This job requires one operator a minimum of 7 hours per day,7 days per week. More than 12,500 water quality tests are run annually.The WTP Operators are also responsible for the operation and maintenance of the Hyalite Intake,the Sourdough Intake, and for three finished water storage tanks.Continuous monitoring includes: 1)WTP Influent& Effluent Flow rate; 2) Membrane Racks 1-6 Turbidity 3)WTP Effluent Turbidity;4)WTP Chlorine Residual; 5) First Service Chlorine Residual; 6) Raw Water Flow Rate; 7) Raw Water Turbidity;8)2 MG+4 MG+5 MG Water Tank Levels;9)Clear Well Level; 10)Coagulant,Sodium Hydroxide,Sodium Hypochlorite, Hydrofluorosilicic Acid (Chemical Dosages); 11) Effluent pH Level; 12) Lyman Influent& Effluent Flow Rate; 13) Lyman Reservoir Inlet Chlorine Residual: 14) Lyman Reservoir Outlet Chlorine Residual; 15) Lyman Influent Turbidity; 16) Lyman Reservoir Level. Major operating expenses of the Water Treatment Plant include staffing, maintenance,chemicals,and utilities. A piloting project for a replacement Sourdough Water Treatment plant was completed in FY10. Design for the new plant was completed in FY11, construction started in FY12.The new water treatment plant went online in FY14.The project is expected to be totally completed early in FY15. As constructed it is a 22 million gallon per day membrane plant with extensive pretreatment, residuals treatment,workshop and office areas. The new plant can be easily expanded to a capacity of 36 million gallons per day.A holistic water resource planning project was completed in FY 14;this is the lntergrated Water Resource Plan. The Lyman Reservoir leakage dechlorination project was completed in FY12. Construction of guardrails on the Hyalite Canyon Road for protection of Hyalite source water was completed during FY10.This was a cooperative project between the City and the Gallatin national Forest.The Lyman Creek Water Treatment Plant expansion project was completed in FY 10, plant capacity was increased to 3.7 million gallons per day.The Sourdough Tank repair project was completed in FY 09.This project included structural repairs to and reinforcement of the tank and the replacement of several major valves.The Hilltop Tank was completely repainted, inside and out, in FY 08.The new Hyalite raw water intake, pipeline, and connection building was completed in FY 07. Major Objectives: MISSION: • Protect the public health through optimization of the Sourdough Creek and Lyman Creek Water Treatment Plants. • Maintain high-quality drinking water of low turbidity,void of contaminants. • Meet the water supply demands of the City of Bozeman. • Monitor and maintain water treatment plant facilities to ensure current needs are met and to anticipate future water quality and quantity needs. Budget Highlights: • Purchase of hyalite lake water for resale-$106,000; •CIP Item W30-Gauging stations-$40,000; •SRF loan payments-$786,700; • CIP item WIF03-Concrete water stroage resevoir design costs-$300,000; •Transfer to water fund for debt on WTP-$786,699 Accomplishments: Anticipated for FY15: • Provide adequate quantity and quality water to our ratepayers with zero state or federal violations • Continue implementing the Water Facility Plan • Continue to optimize the Sourdough and Lyman Water Treatment Plants • Continue to complete construction on the Replacement Sourdough Water Treatment Plant • Continue Implementing a Water Conservation Program • Design a 5.3 MG finished water storage tank to be located at the Sourdough Plant. Adopted Work Plan Items: No specific items identified this year. City of Bozeman 153 FY15 Approved Budget Department: WATER TREATMENT PLANT (WTP) Activity: Public Service FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits $739,315 $819,578 $899,041 $79,463 9.70% Operating $1,278,781 $1,336,032 $1,429,326 $93,294 6.98% Capital $20,998,016 $0 $340,000 $340,000 100.00% Debt Service $665,250 $786,699 $786,699 $0 0.00% Transfers $23,168,976 $2,750,000 $383,242 ($2,366,758) -86.06% Totals $46,850,338 $5,692,309 $3,838,308 Department Expenditures by Division Division FY13 Actual FY14 Budget FY15 Requested $Change %Change 4610 Water Plant Operations $1,716,206 $2,942,309 $3,049,016 $106,707 3.63% 4620 Water Plant Construction $45,134,132 $2,750,000 $683,242 ($2,066,758) -75.15% 4640 Water Conservation $106,050 Totals $46,850,338 $5,692,309 $3,838,308 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Changs _ s IIM _Il 600 Water Fund $13,917,541 $2,942,309 $3,155,066 $212,757 7.23% 601 Water Plant Construction $21,695,062 $0 $0 $0 100.00% 610 Water Impact Fees $11,237,735 $2,750,000 $683,242 ($2,066,758) -75.15% Totals $46,850,338 $5,692,309 $3,838,30 City of Bozeman 154 FY15 Approved Budget Department: WATER TREATMENT PLANT (WTP) Activity: Public Service PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Effectiveness Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate PM01 Adequate Tank Reserves(40%):Drinking&Fire Fighting Water 100% 100% 100% 100% 100% PM02 Fluoride Levels:Between.85 and 1.25 PPM Daily Average 100% 84% 84% 100% 100% PM03 Maintain Chlorine Residual According to EPA Requirements for 100% 100% 100% 100% 100% Inactivate Giardia Cysts PM04 Optimize Water Quality by Maintaining Lowest Possible WTP 100% 100% 99% 100% 100% Effluent NTU:State Requirement<0.3 NTU PM05 Optimize Water Quality by Maintaining Lowest Possible WTP 98% 100% 99% 100% 100% Effluent NTU:WTP daily average,Goal=<0.11 PM06 Optimize Water Quality by MaintainingLowest Possible WTP 98% 100% 99% 100% 100% Effluent NTU:WTP High Daily Individual Filter,Goal=<0.21 PM07 Repair&Maintenance:Unscheduled Completed within 2 weeks 100% 100% 100% 100% 100% PM08 Repair&Maintenance:Scheduled Completed within 7 days 95% 100% 98% 100% 100% PM09 Operator Certification:10 Hours of Annual Training 100% 100% 100% 100% 100% PM10 Sample&Test Distribution System Water Quality per State and 100% 100% 100% 100% 100% Federal Requirements:10,000 readings/tests per year Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate Efficiency Measures PM11 Price per Million Gallons of Water Treated Annually(driven by $845 $907 $1,020 $1,054 weather) PM12 Plant Capacity Per Day 15M gallons 18.7 M 18.7 M 18.7 M 25.7 M PM13 Maximum Water Demand Per Day Gallons 10.5 M 11.2 M 12 M 13 M PM14 Average Water Demand per Day Gallons 5.2 M 5.5 M 5.5 M 5.7 M PM15 Annual Water Demand Billion gallons 1,910 M 1,925 M 2,000 M 2,000 M City of Bozeman 155 FY15 Approved Budget Department: WATER TREATMENT PLANT (WTP) Activity: Public Service Workload Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate STAFF TO SUPPORT WORKLOAD FTE 9.77 9.77 11.27 12.75 WL01 Plant Operation Avg Hrs/Day 24 24 24 24 WL02 Laboratory Analysis&Collection Avg Hrs/Day 6.5 7.5 8 9 WL03 Monitor Water Quality:Sourdough&Lyman Creek WTP's. Avg Hrs/Day 24 24 24 24 WL04 Diversion&Reservoir Monitoring Avg Hrs/Day 3 3 3 3 City of Bozeman 156 FY15 Approved Budget Department: WATER OPERATIONS Activity: Public Service PROGRAM INFORMATION Program Description: The Water Operations budget unit accounts for the costs associated with operating and maintaining the City's water transmission and distribution system.The Division is responsible for: locating, maintaining, and repairing existing water lines and appurtenances; overseeing installation of new lines;and reading all meters monthly. Water Operations is also responsible for maintaining the City's two water pump stations.The Division maintains the entire water distribution system,ever mindful of its integrity and serviceability, while maintaining potable water through this system. Major Objectives: • Maintain and locate the City's water distribution system including mains,fire hydrants,valves, meters, raw water transmission mains, and pressure reducing valves and vaults. • Repair and replace water infrastructure as needed: hydrants, mains,valves,etc. • Inspect all new infrastructure following installation prior to acceptance. • Maintain a valve replacement program for leaky or inoperative valves. • Maintain a Valve Exercise Program:operating approximately 50%of all valves annually. • Maintain an effective water main directional flushing program in conjunction with a fire hydrant operation. • Flush 25%of all fire hydrants annually. • Inspect all new water service installations in a timely manner. • Leak detect and repair the distribution system in a timely manner. • Replace service lines as needed. • Continue a curb stop verification and serviceability program for customer service lines. • Accurately read all meters monthly. • Resolve meter reading problems on a timely basis. • Maintain Backflow prevention and testing program. • Respond to water distribution problems 24 hours a day 7 days a week. • Develop and maintain a comprehensive and cost effective security system for our water distribution system. • Respond to all locate requests in a timely manner and accurately locate all water infrastructures. Budget Highlights: •CIP item W28-CL-12 Water tap machine-$20,000; • CIP item W29-Leak correlator-$45,000; • CIP item W04-W15-Water pipe replacement program-$1,147,720; • CIP item W03-Engineering design for rehab-$22,500; • CIP item W32-Line 18: pipe from plant to Sourdough bypass-$1,000,000; • CIP item WIF10-Water master plan update-$350,000 Accomplishments: Anticipated for FY15: •Increased replacement of water distribution system pipes,significantly enhances maintenance of the water distribution system. • Use of five fixed base water meter receivers at Kenyon Dr.Water Tank, City Shops, 911 center, Laurel Glen Annex and Solid Waste office(other site locations are being investigated). Adopted Work Plan Items: No specific items identified this year. City of Bozeman 157 FY15 Approved Budget Department: WATER OPERATIONS Activity: Public Service FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits $1,456,037 $911,069 $1,244,645 $333,576 36.61% Operating $2,517,360 $1,146,657 $1,515,863 $369,206 32.20% Capital $1,044,388 $1,056,665 $2,295,220 $1,238,555 117.21% Debt Service Transfers Totals $5,017,785 $3,114,391 $5,055,728 Department Expenditures by Division Division FY13 Actual FY14 Budget FY15 Requested $Change %Change 5010 Water Operations $2,444,650 $1,629,651 $2,305,815 $676,164 41.49% 5020 Utility Locates $6,527 $7,450 $7,450 $0 0.00% 5030 Water Services $30,037 $35,000 $35,000 $0 0.00% 5040 Water Construction $2,050,585 $996,665 $2,170,220 $1,173,555 117.75% 5050 Reservoirs $46,940 $0 $0 $0 100.00% 5060 Meter Reading $360,098 $358,125 $434,743 $76,618 21.39% 5070 Hydrants $42,489 $50,000 $65,000 $15,000 30.00% 5080 Water Valves $20,611 $17,500 $17,500 $0 0.00% 5090 Main Repairs $15,848 $20,000 $20,000 $0 0.00% Totals $5,017,785 $3,114,391 $5,055,728 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change 600 Water Fund $4,991,328 $3,114,391 $4,655,728 $1,541,337 49.49% 610 Water Impact Fees $26,457 $0 $400,000 $400,000 100.00% Totals $5,017,785 $3,114,391 $5,055,728 City of Bozeman 158 FY15 Approved Budget Department: WATER OPERATIONS Activity: Public Service PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Effectiveness Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate PM01 Water Main Breaks/Leaks 100 Mills of Pipe 31.0 N/A 4.2 3 3 PM02 Operate 50%of 4,485 Water Valves/Year 50% 39% 49% 50% 50% PM03 Flush 30%of 2,387 Fire Hydrants/Year 30% 755 or 32% 28.4% 30% 30% PM04 Disruption of Water Service/1,000 Accounts.Categories:< 3.56;1.43;.08 N/A 3.6;.5;0.00 3.0;.5;0.00 3.0;.5;0.00 4hrs;4-12 hrs;>12 hrs PM05 Backflow Assembly Testing Voluntary Compliance N/A 57.9% 65% 75% PM06 New Water Service Inspections with 4 hr Response 90% 157 or 90% 100% 100% 100% Workload Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate STAFF TO SUPPORT WORKLOAD FTE 15.62 15.62 15.62 17.33 WL01 New Service Main Taps 20 41 50 55 WL02 Renew Water Service Lines 14 3 10 10 WL03 Meter Replacement/Repair 279 113 200 250 WL04 Valve Operation 1,820 2,241 2,443 2,443 WLO5 One-Call Location Requests 3,868 4,757 4,800 5,000 WL06 Fire Hydrant Flush 33% 28.4% 30% 30% WL07 Hydrant Replacement 2 2 5 5 WL08 New Water Service Line Inspections 160 385 425 450 WL09 Water Main Repairs 6 4 6 6 WL10 Fire Hydrant Repairs 62 52 55 60 City of Bozeman 159 FY15 Approved Budget Department: WATER OPERATIONS Activity: Public Service WL11 Water Main Valves Replaced 19 6 15 15 WL12 Water Main Valve Box Repairs 25 20 30 30 WL13 Water Service Line Repairs 57 27 35 40 WL14 Curb Box Repairs 33 25 40 40 WL15 Water Main Breaks 2 11 4 4 WL16 Commercial Cross Connection Survey 150 8 50 75 City of Bozeman 160 FY15 Approved Budget Department: WASTEWATER OPERATIONS Activity: Public Service PROGRAM INFORMATION Program Description: The Wastewater Operations budget unit accounts for the costs associated with providing and maintaining a wastewater collection system for the City.The Division maintains a program of inspecting,cleaning, root cutting, repairing sanitary sewer mains, manholes,and tapping for new wastewater stubs.Wastewater operations is also responsible for maintaining the City's seven sanitary sewer lift stations.The Television Inspection Division maintains a program of inspecting all new and existing sanitary sewer main infrastructure.This division inspects existing infrastructure to determine deficiencies and to both recommend repairs and prioritize capital improvements.This process enables us to minimize emergency callouts and customer service problems. Major Objectives: •Adequately maintain and locate the City's wastewater system including manholes,wastewater collection and transmission systems, and lift stations. • Flush our entire collection system annually, minimizing stoppages. •Televise the existing sewer infrastructure to determine problems and the overall condition of sewer mains, enabling repairs in a timely manner and prioritize renovation projects funded through CIP. • Control sewer main root intrusion with an aggressive root cutting program. • Repair breakdowns in mains. • Rebuild/replace manholes as needed. •Televise and inspect all new infrastructure following installation prior to acceptance. • Replace service lines as required due to deficiencies caused by age, roots,etc. •Tap new service lines for contractor installation. • Respond to sanitary sewer problems 24 hours a day 7 days a week. • Respond to all locate requests in a timely manner and accurately locate all sanitary and storm sewer infrastructure Budget Highlights: • CIP item WW36-Web mapping system integration-$45,000; • CIP item WW26-Flusher vac truck replacement-$365,000; • CIP item WW07-Engineering project design-$22,500; • CIP item WW08-Wastewater pipe replacement-$914,000; • CIP item WWIF15-Flanders Mill-Hidden Valley trunk main and lift station design costs-$200,000 Accomplishments: Anticipated for FY15: •Increased replacement of wastewater collection system pipes,significantly enhancing maintenance of the wastewater collection system. Adopted Work Plan Items: No specific items identified this year. City of Bozeman 161 FY15 Approved Budget Department: WASTEWATER OPERATIONS Activity: Public Service FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Act _ Y14 Budget FY15 Requested $Change %Change Salaries&Benefits $556,878 $1,292,010 $1,009,480 ($282,530) -21.87% Operating $1,554,794 $1,230,796 $1,268,581 $37,785 3.07% Capital $403,680 $1,070,650 $1,511,500 $440,850 41.18% Debt Service Transfers Totals $2,515,352 $3,593,456 $3,789,561 Department Expenditures by Division Division FY13 Actual FY14 Budget FY15 Requested $Change %Change 5210 Wastewater Operations $1,437,553 $2,519,306 $2,604,061 $84,755 3.36% 5220 Utility Locates $3,017 $4,400 $4,900 $500 11.36% 5230 Wastewater Services $3,027 $5,000 $5,000 $0 0.00% 5240 Wastewater Construction $1,064,055 $1,025,650 $1,136,500 $110,850 10.81% 5250 Manholes $1,412 $25,000 $25,000 $0 0.00% 5260 Televising $5,979 $9,100 $9,100 $0 0.00% 5280 Main Repairs $309 $5,000 $5,000 $0 0.00% Totals $2,515,352 $3,593,456 $3,789,561 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change 620 Wastewater Fund $2,382,750 $3,593,456 $3,589,561 ($3,895) -0.11% 621 Wastewater EPA Grant $100,053 $0 $0 $0 100.00% 630 Wastewater Impact Fees $32,549 $0 $200,000 $200,000 100.00% Tall $2,515,352 $3,593,456 $3,789,561 City of Bozeman 162 FY15 Approved Budget Department: WASTEWATER OPERATIONS Activity: Public Service PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Effectiveness Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate PM01 Flush City Mains(trunk line not included) Annually 90 miles 47 miles 90 miles 90 miles PM02 Root Cut Affected City Mains(do not root cut PVC only root cut Annually 49 miles 48 miles 50 miles 50 miles in areas with large trees) PM03 Televise Sanitary Sewer Mains 30 Miles N/A 37.73 miles 40 miles 40 miles PM04 Sanitary Sewer Overlow Events per 100 Miles of Main 1.7 N/A 0 0 0 Workload Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate STAFF TO SUPPORT WORKLOAD FTE 10.25 10.25 11.25 13.09 WL01 Main Line Flushing 90 miles 47 miles 90 miles 90 miles WL02 Main Line Root Cutting 49 miles 48 miles 50 miles 50 miles WL03 Main Line Inspection TV 30 miles 37.73 miles 30 miles 30 miles WL04 New Infrastructure TV 1 mile 2.6 miles 12 miles 18 miles WL05 Sewer Manhole Repairs 6 3 5 5 WL06 Main Line Repairs 25 12 15 15 WL07 New Service Taps 4 17 25 30 WL08 One Call Location Requests 3,868 4,757 4,800 5,000 City of Bozeman 163 FY15 Approved Budget Department: WATER RECLAMATION FACILITY Activity: Public Service PROGRAM INFORMATION Program Description: The Water Reclamation Facility(WRF) budget accounts for the costs associated with the treatment of the City's domestic, commercial,and industrial wastewater.The WRF is an award-winning plant that serves to protect and enhance the water quality of the East Gallatin River. PURPOSE: Ensure strict environmental compliance by discharging thoroughly treated water meeting or surpassing all state and federal environmental standards.Through its beneficial reuse program,the WRF also maintains compliance with EPA Part 503 Bio-solids regulations.All plant bio-solids are thoroughly digested and then land applied as a beneficial fertilizer or composted for soil enhancement.The WRF is now at 99%completion of a significant plant expansion and technology upgrade that will meet the growing demand for waste water services in our community.This plant enhancement has also enabled the facility to begin removing nitrogen and phosphorus compounds as well as conventional pollutants.To the extent possible,these plant improvements have been funded, in part, by economic stimulus(ARRA)grants from the U.S. Environmental Protection Agency and through wastewater impact fees. Major Objectives: • Protect and enhance the water quality of the East Gallatin River. • Consistently achieve compliance with all aspects of the city's Montana Pollutant Discharge Elimination System (MPDES) permit administered by the Department of Environmental Quality. • Maintain the mechanical reliability of the water reclamation facility to ensure uninterrupted operations. • Optimize the operational performance of each treatment process and maximize removal efficiency. • Comply with all EPA 503 Bio-solids land application requirements and regulations. • Minimize unpleasant odors. Budget Highlights: • Purcahse new lift 1 wetwell replacement pump-$35,000; • CIP item WW36-Upbrade truck barn-$36,000; • CIP item WW39- Sandlast&paint old clarifier drives-$15,000; • CIP item WW40-UV building shading material-$15,000; • CIP item WW41-Replace 4"ductile pipe through dewatering basement with glass lined pipe-$15,000; • CIP item WW45-Final clarifier launder covers- $40,000; • CIP item WW46-Concrete pad for folloff truck containers-$14,000; • CIP item WW43-Seal mixer flanges on digester 1- $20,000. Accomplishments: Anticipated for FY15:Our staff will continue to work to optimize overall plant performance and retrofit some of the small construction details that were left unfinished or do not perform as expected.The completion of our new BNR facility represents the culmination of over 4.5 years of planning, design,and construction in order to successfully bring a state-of-the-art treatment facility to the City of Bozeman.The City's new BNR facility is now producing some of the best effluent in the State.The effluent that is now being produced will meet the stringent nutrient requirements that Department of Environmental Quality is phasing in for the next 10 years. Adopted Work Plan Items: No specific items identified this year. City of Bozeman 164 FY15 Approved Budget Department: WATER RECLAMATION FACILITY Activity: Public Service FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actu Y14 Budget FY15 Requested $Change %Change Salaries&Benefits $992,383 $1,121,952 $1,137,707 $15,755 1.40% Operating $2,169,818 $1,564,542 $1,548,401 ($16,141) -1.03% Capital $32,324 $83,000 $184,000 $101,000 121.69% Debt Service $2,313,015 $2,020,000 $1,237,480 ($782,520) -38.74% Transfers $16,659,133 $0 $0 $0 100.00% Totals $22,166,673 $4,789,494 $4,107,588 Department Expenditures by Division Division FY13 Actual FY14 Budget FY15 Requested $Change %Change 5610 WRF Operations $2,025,718 $2,331,893 $2,442,224 $110,331 4.73% 5620 Laboratory $209,091 $186,676 $198,309 $11,633 6.23% 5630 Sludge Injection $92,633 $244,425 $223,075 ($21,350) -8.73% 5640 Pretreatment $6,500 $6,500 $0 0.00% 5650 WRF Construction $19,839,231 $2,020,000 $1,237,480 ($782,520) -38.74% Totals $22,166,673 $4,789,494 $4,107,588 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change W 620 Wastewater Fund $17,635,462 $2,769,494 $3,454,376 $684,882 24.73% 621 EPA Grants $262,019 $0 $0 $0 100.00% 622 Wastewater Reclamation Facility $2,881,066 $1,200,000 $0 ($1,200,000) -100.00% 630 Wastewater Impact Fees $1,388,126 $820,000 $653,212 ($166,788) -20.34% Totals $22,166,673 $4,789,494 $4,107,588 City of Bozeman 165 FY15 Approved Budget Department: WATER RECLAMATION FACILITY Activity: Public Service PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Effectiveness Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate PM01 Meet Final Effluent Discharge Permit Parameters for pH 100% 100% 100% 100% 100% PM02 Meet Final Effluent Discharge Permit Parameters for Ammonia 100% 99.2% 99.5% 100% 100% Nitrogen PM03 Meet Final Effluent Discharge Permit Parameters for E.Coli 100% 100% 100% 100% 100% PM04 Meet Final Effluent Discharge Permit Parameters for CBOD 5 100% 100% 100% 100% 100% PM05 Meet Final Effluent Discharge Permit Parameters for TSS 100% 100% 100% 100% 100% PM06 %CBOD Removal(%of carbonaceous biochemical oxygen 85% 98% 99% 98% 99% demand removed is a measure of the effectiveness of the plant) PM07 %of Total Suspended Solids Removed 85% 97% 98% 97% 98% PM08 %of Acute Whole Effluent Toxicity Tests Passed on Final 100% 100% 100% 100% 100% Effluent PM09 Number of Plant Bypasses 0 0 0 0 0 PM10 Meet EPA's Part 503 Biosolids Regulations 100% 100% 100% 100% 100% Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate Efficiency Measures PM11 Million Gallons of Wastewater Flow Treated Daily(MGD) 5.78 4.60 5.17 5.62 6.00 PM12 Gallons of Wastewater Flow Treated Annually(MG) 2,110 1,680 1,894 2,049 2,100 PM13 CBOD Plant Loading(lbs/day) 8,580 10,650 10,649 11,190 12,000 PM14 TSS Plant Loading(lbs/day) 7,220 9,200 9,197 8,967 10,000 PM15 Total O&M Dollars per Million Gallons of Wastewater Flow NA $741 $704 $765 $900 Treated Annually City of Bozeman 166 FY15 Approved Budget Department: WATER RECLAMATION FACILITY Activity: Public Service PM16 Annual$$per Million Gallons of Wastewater Flow Treated NA $210 $1,145 $1,185 $1,200 Workload Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate STAFF TO SUPPORT WORKLOAD FTE 15.87 16.37 17.47 15.50 WL01 Maintenance:Preventative Tasks 931 1,020 980 1,100 WL02 Maintenance:Corrective Tasks 38 40 40 50 WL03 Maintenance:Buildings&Grounds(Seasonal) Tasks 1,120 hrs NA 960 hrs 960 hrs WL04 BNR/Nutrient Removal Process Control Tests Tasks 7,200 NA 7,200 7,200 WL05 Required MPDES Regulatory Tests Tasks 6,550 6,550 6,550 6,550 WL06 Calibration of Lab Equipment Tasks 835 850 850 850 WL07 Population Served 43,700 44,200 45,000 55,700 WL08 Influent Flow(MGD) 4.60 5.70 4.80 5.00 WL09 BOD Loading(lbs/day) 10,600 12,000 11,000 12,000 WL10 TSS Loading(lbs per day) 9,200 11,000 10,000 11,000 WL11 Biosolids Injected(Metric tons) 607 607 792 800 WL12 Acres Injected 373 acres 400 acres 473 acres 430 acres City of Bozeman 167 FY15 Approved Budget Department: STORM WATER Activity: Public Service PROGRAM INFORMATION Program Description: The Storm Water department was created to better manage the City's ongoing state and federal storm water permit requirements. Prior to creation of this department(in the years up to Fiscal Year 2013),storm water issues have been addressed by a number of departments:Street Maintenance, Engineering, Public Services Administration,Water and Sewer Operations, Planning-Code Enforcement,and GIS/Information Technology. In the first few years of this department,we anticipate both a migration of duties from other departments, a sharing of expertise and equipment,as well as the initiation of new storm water system mapping, condition assessment and improvement efforts. Major Objectives: •To better maintain the City's existing storm water infrastructure. •To improve the quality of the City's mapped storm water data. • To plan for and construct necessary storm water improvements. •To ensure compliance with state and federal standards and permit requirements. • TO implement new assessment and rate models in January 2015 Budget Highlights: •Addition of personnel-FTE to be determined by Public Works Director•Addition of 1/2 year deferred maintenance under bronze plan-$227,100; •Addition of 1/2 year operations under bronze plan-$286,350; • 1/2 year capital enhancements under bronze plan-$96,650 • CIP item STRM15-Impervious surface data creation-$75,000; Accomplishments: Anticipated for FY15: •Implementation of the"bronze plan"-changing the current"meter-sized" assessment method to a more equitable "impervious surface" method of utility assessments.This change will be implemented in January, 2015. • Hire additional staff members to facilitate the implementation and upkeep of new utility model. • Map 90%of the stormwater system. Adopted Work Plan Items: Stormwater Utility-work to implement the"bronze plan"adopted by the Commission. Implementation is expected to occur in January, 2015 City of Bozeman 168 FY15 Approved Budget Department: STORM WATER Activity: Public Service FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits $50,225 $88,263 $290,700 $202,437 229.36% Operating $45,946 $37,323 $427,926 $390,603 1046.55% Capital $142,961 $0 $96,650 $96,650 100.00% Debt Service Transfers Totals $239,132 $125,586 $815,276 Department Expenditures by Division Division FY13 Actual FY14 Budget FY15 Requested $Change %Change 4510 Admin,Enforc.+Mapping $237,328 $125,586 $592,626 $467,040 371.89% 4520 Operations and Mtc $1,804 $0 $126,000 $126,000 100.00% 4530 Construction $0 $0 $96,650 $96,650 100.00% Totals $239,132 $125,586 $815,276 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change I 670 Storm Water Fund $239,132 $125,586 $815,276 $689,690 549.18% Totals $239,132 $125,586 $815,276 City of Bozeman 169 FY15 Approved Budget Department: STORM WATER Activity: Public Service PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Effectiveness Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate PM01 Storm Water Infrastructure System Mapped 100% 10% 40% 70% 90% PM02 Citizens Rating Street Cleanliness as Satisfactory 90% 60% 75% 75% NA Workload Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate STAFF TO SUPPORT WORKLOAD FTE 0.00 1.00 1.00 TBD WL01 Storm Inlets Maintained 5,500 5,550 5,560 5,560 WL02 Storm Manholes Maintained 364 370 370 370 WL03 Frequency of Residential Streets Swept 3 3 4 4 WL04 Miles of Creek Maintained 1 1 1 1 City of Bozeman 170 FY15 Approved Budget Department: SOLID WASTE COLLECTION & RECYCLING Activity: Public Service PROGRAM INFORMATION Program Description: The Solid Waste Division provides collection and recycling services to the Citizens of Bozeman and protects public health by ensuring residential and commercial wastes are collected,transported, and disposed of in a safe and environmentally responsible manner. The Division encourages recycling by offering a "Pay as you Throw"collection system,which establishes a direct relationship between the amount a customer pays and the size container they have. The Solid Waste Division's recycling program encompasses a wide variety of services to the public for recycling opportunities thereby reducing the volume of solid waste being land filled.These services include: • Single-stream recycling of paper,cardboard, plastic,tin &aluminum cans• Bulk curbside recycling opportunities within multi-family housing. • Compost collection during summer months.• Brush &pallet recycling. • Commercial cardboard collection• Bulky item/appliance removal and recycling.• Roll- off discounts for large volume recycling projects. • Recycling bins at community events. Major Objectives: • Continue the highest quality service to the Citizens of Bozeman • Promote waste reduction through recycling efforts. • Optimize operational efficiencies. •To promote recycling opportunities available to the community.• Minimize the amount of solid waste going to the landfill for disposal. •To expand the City's single-stream recycling program. Budget Highlights: • Purchase of 12 tough pads&Cityworks software for solid waste vehicles-$44,176; • New totes-$38,000; • CIP item SW41- Convenience site relocation-$10,000; • CIP item SW30-Side load packer replacement-$138,043; •CIP item SW40-Patch landfill road-$20,000; Accomplishments: Anticipated for FY15: • Streamline residential routes to handle growth • continuing commercial &cardboard collection efficiencies • Implement single stream recycling collection which increased participation by 41%• Developing recycling opportunities for commercial & multi-family housing. • Partner with MSU to promote recycling within the community Adopted Work Plan Items: No specific items identified this year. City of Bozeman 171 FY15 Approved Budget Department: SOLID WASTE COLLECTION & RECYCLING Activity: Public Service FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits $1,046,019 $1,084,769 $1,107,294 $22,525 2.08% Operating $1,429,660 $1,258,413 $1,564,517 $306,104 24.32% Capital $5,151 $659,984 $158,043 ($501,941) -76.05% Debt Service Transfers Totals $2,480,830 $3,003,166 $2,829,854 Department Expenditures by Division Division FY13 Actual FY14 Budget FY15 Requested $Change %Change 5810 Solid Waste Collection $2,344,489 $2,908,986 $2,677,404 ($231,582) -7.96% 5820 Recycling $136,341 $94,180 $152,450 $58,270 61.87% Totals $2,480,830 $3,003,166 $2,829,854 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change 640 Solid Waste Fund $2,480,830 $3,003,166 $2,829,854 ($173,312) -5.77% Totals $2,480,830 $3,003,166 $2,829,854 City of Bozeman 172 FY15 Approved Budget Department: SOLID WASTE COLLECTION & RECYCLING Activity: Public Service PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Workload Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate STAFF TO SUPPORT WORKLOAD FTE 14.74 15.74 15.74 15.90 WL01 Collection:Residential Accounts 7,240 7,470 7,869 8,369 WL02 Collection:Commercial Accounts 281 265 258 265 WL03 Collection:Commercial Cardboard Collected:Tons 485 471 571 650 WL04 Collection:Containers Emptied Weekly 7,538 7,914 8,433 8,940 WL05 Collection:Annual Tonnage 11,248 10,695 10,960 11,457 WL06 Collection:Vehicles 7 7 7.25 7.5 WL07 Collection:Roll-off Program:Roll-offs Serviced 1,000 792 971 1035 WL08 Collection:Roll-off Trucks 4 4 4 4 WL09 Collection:Rolloff Program:Annual Tonnage 2,774 2,182 2,963 3,368 WL10 Recycling:Total Customers 1,000 1,135 1,601 2,100 WL11 Recycling:Cardboard:Tons 75 76 78 N/A WL12 Recycling:Paper:Tons 112 150 154 N/A WL13 Recycling:Cans:Tons 14.0 15.0 14.3 N/A WL14 Recycling:Plastics:Tons 21.0 26.0 32.0 N/A WL15 Recycling:Curbside Recycling:Annual Tonnage 235 272 320 453 City of Bozeman 173 FY15 Approved Budget Department: SOLID WASTE DISPOSAL Activity: Public Service PROGRAM INFORMATION Program Description: Solid Waste Disposal houses Landfill Closure Costs. Major Objectives: To budget for post landfill closure costs appropriately. Budget Highlights: • CIP Item GF218-Landfill gas remediation system&outside legal council-$1,700,000 Accomplishments: Anticipated for FY15: Fund the Story Mill Landfill Project remediation. Adopted Work Plan Items: • Story Mill Landfill Project City of Bozeman 174 FY15 Approved Budget Department: SOLID WASTE DISPOSAL Activity: Public Service FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits Operating $0 $0 $640,000 $640,000 100.00% Capital $0 $0 $1,700,000 $1,700,000 100.00% Debt Service Transfers Totals $0 $0 $2,340,000 Department Expenditures by Division Division FY13 Actual FY14 Budget FY15 Requested $Change %Change 5910 Solid Waste Disposal Operations $0 $0 $2,340,000 $2,340,000 100.00% Totals $0 $0 $2,340,000 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change 641 Landfill Closure Costs $0 $0 $2,340,000 $2,340,000 100.00% Totals $0 $0 $2,340,000 City of Bozeman 175 FY15 Approved Budget Department: VEHICLE MAINTENANCE Activity: Public Service PROGRAM INFORMATION Program Description: The Vehicle Maintenance budget unit accounts for the costs of repairing and maintaining vehicles of City departments.Vehicle Maintenance staff consists of four full-time mechanics responsible for keeping City vehicles in proper working condition.The budget unit operates under an internal service fund.Charges are assessed against departments which have vehicles repaired, receipts are deposited in the Vehicle Maintenance fund and used to support salary and operating costs.GOAL:To maintain vehicles and equipment in good running condition thereby enabling various City personnel to perform their daily assignments safely and without delay due to mechanical failure or breakdown.The Division emphasizes the importance of having a well-structured preventative maintenance program online for all equipment and vehicles. Major Objectives: • Maintain a sound preventive maintenance program for City vehicles. • Ensure those departmental requests to maintain City vehicles in good operating condition are satisfied. • Maintain and utilize a sound vehicle management program including inventory, vehicle status and operating statistics, and replacement schedules. • Maintain accurate City vehicle maintenance records(service orders) in an efficient and easily accessible manner. • Manage and assist customers with the used waste oil and antifreeze station. Budget Highlights: • CIP item FG202-Irrigation and site improvements at vehicle maintenance facility-$15,500. Accomplishments: Anticipated for FY15:Continue to decrease the number repairs contracted out,saving the City money. • Repair and maintain City's fleet of over 400 vehicles and equipment. • Dispose of over 7,000 gallons of used motor oil from residents. • Dispose of over 400 gallons of used antifreeze from residents. • Utilize preventative maintenance program for servicing vehicles. • Use our waste oil for fuel to heat the shop and HRDC bus barn.Started a comprehensive scheduling system to inspect all equipment at least once a year. Adopted Work Plan Items: No specific items identified this year. City of Bozeman 176 FY15 Approved Budget Department: VEHICLE MAINTENANCE Activity: Public Service FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits $304,796 $305,823 $317,071 $11,248 3.68% Operating $609,628 $473,175 $555,416 $82,241 17.38% Capital $16,354 $17,000 $15,500 ($1,500) -8.82% Debt Service Transfers Totals $930,778 $795,998 $887,987 Department Expenditures by Division Division _ Actual FY14 Budget FY15 Requested $Change %Change 6010 Vehicle Maintenance Shop $883,086 $795,998 $887,987 $91,989 11.56% 6020 Construction $47,692 $0 $0 $0 100.00% Totals L $930,778 $795,998 $887,987 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change 710 Vehicle Maintenance Fund $930,778 $795,998 $887,987 $91,989 11.56% Totals $930,778 $795,998 $887,987 City of Bozeman 177 FY15 Approved Budget Department: VEHICLE MAINTENANCE Activity: Public Service PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Effectiveness Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate PM01 Repair/Maintenance Work Orders:Completed w/in 4 days of 95% 95% 90% 95% 95% receipt-Light Equipment PM02 Repair/Maintenance Work Orders:Completed w/in 7 days of 95% 95% 92% 95% 95% receipt-Heavy Equipment PM03 Returns for Rework <0.5% 0.5% 0.3% 0.3% 0.2% PM04 Mechanics Certified 100% 100% 100% 100% 100% PM05 Waste Oil Customers:Attended to Completion 100% 100% 100% 100% 100% PM06 Emergency Repair Response:Within 24 hours of Notification 90% 100% 100% 100% 100% PM07 Service Requests(oil change&lube)within 2 work days 90% 85% 90% 90% 100% PM08 Preventative Maintenance Program Complete for City Fleet 100% 100% 100% 100% 100% PM09 Fleet Operational Time:Streets Dept 99% 95% 95% 97% 95% PM10 Fleet Operational Time:Water/Sewer Dept 99% 98% 98% 98% 98% PM11 Fleet Operational Time:Police Dept 95% 90% 90% 95% 90% T Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate Workload Measures STAFF TO SUPPORT WORKLOAD FTE 5.00 5.00 5.00 5.00 City of Bozeman 178 FY15 Approved Budget Department: CEMETERY Activity: Public Welfare PROGRAM INFORMATION Program Description: The Cemetery budget unit accounts for the costs of operating and maintaining the City's Cemetery 140 acres, of which 65 acres are developed.The Cemetery division includes a foreman,two maintenance workers,and seasonal employees. Employees are responsible for burials,cemetery development, and maintenance. MISSION:Sunset Hills Cemetery is dedicated to excellence in the provision of professional and dignified interment services. In a serene and beautiful surrounding that helps survivors through the bereavement process.The cemetery staff is dedicated to providing ongoing services and perpetual care essential to maintaining the cemetery grounds as a serene and beautiful surrounding helping survivors through the bereavement process. Major Objectives: ADMINISTRATIVE • Develop,submit,and administer cemetery budgets in a timely manner. • Maintain computer technology to improve/enhance intra-departmental communication(s). • Create new cemetery blocks and open lots up for sale as demand dictates. • Inform the community through publications, press releases,and advertisements of current policies, procedures,and practices of the Sunset Hills Cemetery. • Continue safety training programs, professional development,and pro-active customer service. • Carry out the Mission and Vision statements of the City of Bozeman. FACILITIES AND GROUNDS MAINTAINENCE • Surviving family, user,taxpayer and City Commission satisfaction with the use,care,and overall appearance of the cemetery grounds and buildings. • Provide an easily accessible,safe,and serene setting for cemetery/gravesite visitation. • Maintain and expand the underground irrigation system as needed to fully utilize all water resources in a conscious manner. • Keep all paved roads clear and open during winter months. • Keep the Highland Boulevard path clear during the winter work week. •Assist other Divisions in the City of Bozeman when needed or called on. • Develop new sections of the Cemetery in a manner and method consistent with the long-term planning guidelines developed by the Cemetery Advisory Board. BURIAL SERVICES • Modernize and maintain an improved and accurate mapping and computerized grave registration system. • Continue to provide experienced and professional staff to perform essential burial functions. • Continually strive to achieve high public/user/group satisfaction levels of all services and activities the cemetery provides. • Make known,adhere to, and fully comply with,all laws and regulations regarding the interment of human remains. Budget Highlights: • CIP item GF010-Cemetery mower replacement program -$16,000 Accomplishments: Anticipated in FY15: • Opening of the Memorial Garden. • Continued implementation of growth regulator program in effort to reduce carbon footprint. • Opening Kiosk at Veterans memorial wall. • Continued collaboration with local farmer and user groups to target invasive weeds within the open undeveloped areas outside of the"formal"cemetery. • Mapping of irrigation system. Implement energy reduction methods according to energy audit recommendations. • Continue to provide the community with a compassionate, caring, and professional service during their time of need. Adopted Work Plan Items: No specific items identified this year. City of Bozeman 179 FY15 Approved Budget Department: CEMETERY Activity: Public Welfare FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits $329,799 $284,125 $304,430 $20,305 7.15% Operating $102,500 $103,843 $110,602 $6,759 6.51% Capital $37,280 $0 $16,000 $16,000 100.00% Debt Service Transfers Totals $469,579 $387,968 $431,032 Department Expenditures by Division Division FY13 Actual FY14 Budget FY15 Requested $Change %Chan 7210 Cemetery Operations $469,579 $387,968 $431,032 $43,064 11.10% Totals $469,579 $387,968 $431,032 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change 010 General Fund $469,579 $387,968 $431,032 $43,064 11.10% 135 Cemetery Special Revenue $0 $0 $0 $0 100.00% 800 Cemetery Perpetual Care $0 $0 $0 $0 100.00% $387,968 $431,032 City of Bozeman 180 FY15 Approved Budget Department: CEMETERY Activity: Public Welfare PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Effectiveness Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate PM01 Burials&Disinterments(Full,Ash and Columbarium) As Scheduled 100% 100% 100% 100% PM02 Grave Reclamation&Repair(Compaction,level,and re-sod) Est.25-30x/yr 45% 50% 55% 60% PM03 Mowing:Formal Cemetery 1/week 80% 80% 80% 80% PM04 Mowing:Cemetery Trails&Perimeter 2/year 50% 75% 75% 90% PM05 Fertilize Formal Cemetery 2/year 50% 50% 50% 50% PM06 Irrigation:Entire Formal Cemetery(above ground pipes and Est 3x/week 75% 75% 75% 75% automated) PM07 Herbicide Application:Formal Cemetery 2/year 75% 75% 75% 75% PM08 Herbicide Application:Undeveloped Area Perimeter 2/year 75% 80% 85% 85% PM09 Leaf Mulch&Pinecone Removal(weather related,fall only) 1/year 45% 75% 75% 75% PM10 Weed Eating:Breakdowns,Workload 2/year 75% 75% 75% 80% PM11 Police Grounds(flower&trash removal),only in fall 1/year 80% 80% 90% 90% PM12 Tree&Hedge Maintenance 5 Days/wk 80% 80% 80% 100% PM13 Response to Complaints&Questions <2 Days 100% 100% 100% 100% PM14 Response to Memorial&Resolution Compliance <2 Days 85% 90% 100% 100% PM15 Plowing:Highland&Park Sidewalks(weather&workload By 10AM 75% 75% 75% 95% related) PM16 Plowing:All Roads within the Cemetery(weather&workload By 10AM 75% 75% 75% 90% related) PM17 Plowing:Assist Parks with Parking Lots(weather and workload Same day 50% 50% 50% 50% related) City of Bozeman 181 FY15 Approved Budget Department: CEMETERY Activity: Public Welfare Workload Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate STAFF TO SUPPORT WORKLOAD FTE 3.33 3.33 3.33 4.9 WL01 Burials:Full&Ash 170 150 120 130 WL02 New Lot Development 162 0 0 0 WL03 Grave Repairs&Reclamation 22 25 25 25 WL04 Formal Turf Acres:Acres Mowed&Irrigated Weekly 53 53 55 60 WL05 Undeveloped Acres 54 54 54 54 WL06 Miles of Trails 2 2 2 2 W L07 Miles of Trails/Sidewalks to Plow 5 5 5 5 WL08 User Agreements 1 1 2 2 WL09 Volunteer Projects 4 4 4 4 WL10 Parking Lots to Plow 11 11 11 11 WL11 Herbicide Application:Formal Acres 53 53 54 55 WL12 Herbicide Application:Acres Undeveloped 8 8 8 8 WL13 Restrooms 1 1 1 1 WL14 Parking Lots 2 2 2 2 City of Bozeman 182 FY15 Approved Budget Department: PARKS Activity: Public Welfare PROGRAM INFORMATION Program Description: The Parks budget unit accounts for the costs of operating, developing, and maintaining City parks and other City property. Section 7-16-4103 MCA authorizes the City to establish parks and playgrounds and provides for methods of financing.The Division develops, maintains, and cares for: park buildings and restrooms; playground equipment; picnic facilities;sports fields;trail systems; natural areas;skating rinks;tennis courts;swimming/boating ponds;and other related equipment and facilities.The Parks Division,along with the Streets Division, is responsible for snow removal on all public sidewalks, adjoining parks,and street rights-of-way designated as the City's responsibility. Major Objectives: • Maintain city parks at a level corresponding to the City's Vision, Mission,and Goals.• Participate in the implementation of the Parks, Recreation,Open Space,and Trails Master Plan as approved in 1997. • Acquire and develop new parks and facilities at a pace consistent with the growth of Bozeman.• Continue adding, upgrading, and maintaining safe and quality sports fields,trail corridors,community gathering areas,and playground equipment. • Provide expanded maintenance to restrooms, litter control, pet waste disposal,turf care,and playground equipment. • Improve, maintain,and expand the trail system. • Oversee and coordinate volunteer,grant funded,and neighborhood park improvement projects. • Implement the$15 Million Trails,Open Space,and Parks(TOP) Bond. • Implement a uniform system of park signage and identification. • Establish the TOP Manager Position.• Establish the Bozeman Adopt-A-Park Program. • Assist other Divisions within the City as needed or as directed. Budget Highlights: • CIP item GF115- 1/2 ton truck to replace#1608-$28,000; • CIP item GF100-Tractor with bucket-$45,000; • CIP item GF207 0 Cityworks hardware-$45,000; • CIP item GF194-Park signage continuation-$10,000; • Funds budgeted for allocated TOP projects-$10,000,000. Accomplishments: Anticipated for FY15: • New Round of Park Improvement Grant Projects. • Develop and Enhance Public/Private and Public/Non- Profit Partnerships. • Implementation of the TOP Bond. • Continue Integration in CityWorks Program. • Continue Trail Connection Program. • Creation of Bozeman's Adopt-A-Park Program. • Solidify Departmental Structre Adopted Work Plan Items: The Parks Department is working to fulfill the following Adopted Work Plan Item: #4-Continue to implement the 2012 parks&trails bond to expand the capacity of our parks,trails, and open spaces. The Trails, Open Space, Parks(TOP)Committee was created as a result of the voter approved Trails,Open Space,and Parks bond. In the summer of 2013 the TOP committee began work sessions to develop a project evaluation criteria to be presented to the Commission in September 2013. This criteria will be critical when the$5 Million bond monies are received. In the FY14 a full time position for a TOP program manager was approved. City of Bozeman 183 FY15 Approved Budget Department: PARKS Activity: Public Welfare FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits $639,780 $737,548 $808,500 $70,952 9.62% Operating $485,582 $510,985 $561,918 $50,933 9.97% Capital $144,560 $5,112,000 $10,128,000 $5,016,000 98.12% Debt Service Transfers $75,000 $75,000 $0 ($75,000) -100.00% Totals $1,344,922 $6,435,533 $11,498,418 Department Expenditures by Division Division __ actual FY14 Budget FY15 Requested $Change %Change 7610 Parks Operations $1,344,922 $6,435,533 $11,498,418 $5,062,885 78.67% Totals $1,344,922 $6,435,533 $11,498,418 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested Chane %Change 010 General Fund $1,265,870 $1,348,533 $1,498,418 $149,885 11.11% 128 FWP Management Areas $88 $0 $0 $0 100.00% 136 Parks Special Revenue Fund $9,750 $12,000 $0 ($12,000) -100.00% 184 Park Improvement Grants $69,214 $75,000 $0 ($75,000) -100.00% 563 Parks&Open Space Bond $0 $5,000,000 $10,000,000 $5,000,000 100.00% $1,344,922 $6,435,533 $11,498,418 City of Bozeman 184 FY15 Approved Budget Department: PARKS Activity: Public Welfare PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Effectiveness Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate PM01 Mowing:Core Parks 1/week 80% 80% 80% 80% PM02 Mowing:Sports Fields 2/week 70% 70% 70% 75% PM03 Mowing:Natural Parks 2/year 80% 90% 90% 95% PM04 Fertilize:Core Parks 2/year 25% 75% 75% 75% PM05 Fertilize:Sports Fields 3/year 50% 75% 75% 75% PM06 Fertilize:Neighborhood Parks 1/year 0% 50% 50% 50% PM07 Irrigation:Activate all systems in all parks By 5/15 80% 100% 100% 100% PM08 Irrigation:Winterize all systems in all parks By 10/31 80% 100% 100% 100% PM09 Leaf Mulch&Pickup All Parks 65% 70% 80% 80% PM10 Playground:Inspection 1/week 35% 75% 100% 100% PM11 Playground:Repairs Same Day 75% 60% 80% 90% PM12 Trails:Inspections 2/month 30% 50% 80% 80% PM13 Trails:Maintenance 2/year 40% 50% 50% 50% PM14 Weed Control:Roundup 3/year 40% 40% 40% 40% PM15 Weed Control:Broadleaf 2/year 30% 50% 50% 50% PM16 Weed Control:Noxious 2/year 30% 50% 50% 50% PM17 Weed Eating 2/month 50% 50% 50% 50% PM18 Garbage Collection 7 days/week 85% 85% 100% 100% City of Bozeman 185 FY15 Approved Budget Department: PARKS Activity: Public Welfare PM19 Police All Grounds 5 days/week 15% 25% 25% 25% PM20 Building Maint&Repairs Same Day 40% 45% 75% 45% PM21 Restrooms:Clean&Maintain 7 days/week 50% 75% 100% 100% PM22 Response to Complaints Within 2 days 90% 90% 100% 100% PM23 Plowing:Sidewalks By 10AM 70% 90% 90% 90% Workload Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate STAFF TO SUPPORT WORKLOAD FTE 11.77 11.77 11.77 15.40 WL01 Park Reservations:Annual 320 350 400 400 WL02 Formal Turf Acres 125 125 125 126 WL03 Natural Parkland Acres 220 220 220 220 WL04 Miles of Trails 55 55 61 63 WL05 Park Fund Grant Projects 20 20 6 8 WL06 User Agreements 14 14 16 17 WL07 Volunteer Projects 2 4 4 4 WL08 Miles of Sidewalks to Plow*2 routes,16-17 miles to drive each 10 11 11 11 route. WL09 Baseball/Softball Fields 16 16 16 16 WL10 Playgrounds:City Maintained 35 22 20 20 WL11 Playgrounds:HOA Maintained 15 15 18 18 WL12 Ice Rinks 4 4 4 4 WL13 Weed Spraying:Undeveloped Acres 165 165 165 165 City of Bozeman 186 FY15 Approved Budget Department: PARKS Activity: Public Welfare WL14 Weed Spraying:Developed Acres 118 118 125 138 WL15 Garbage Collection:Number of Cans 145 145 150 150 WL16 Dog Sanitation Stations 42 42 40 40 WL17 Picnic Tables 127 125 125 127 WL18 Pavilions/Shelters 12 12 12 12 WL19 Restrooms 13 12 12 12 WL20 Parking Lots 14 14 14 14 City of Bozeman 187 FY15 Approved Budget Department: FORESTRY Activity: Public Welfare PROGRAM INFORMATION Program Description: The Forestry budget unit accounts for the costs of maintaining the City's trees and is financed by a special assessment on all properties within the City of Bozeman.The use of the funds generated by the assessment is limited to maintaining existing trees on City-owned properties,the planting of new trees on City-owned properties within the City limits, and maintenance of the City's Tree Inventory. Forestry is accounted for in a special revenue fund.Any revenues collected and not expended will remain in the Forestry fund and will be available for appropriation in a subsequent year. Major Objectives: • Provide systematic pruning and protection for Bozeman's public trees. • Remove or correct all hazardous tree conditions. • Identify and correct sight distance,traffic sign,and sidewalk clearance problems related to trees and hedges. • Detect, identify, and eradicate harmful tree insects and disease. • Establish and perpetuate master tree plan for all public areas. • Implement the arboricultural specifications manual. • Maintain and update a city-wide tree inventory. • Pursue state and federal grants for forestry related activities. • Coordinate the City's cost share tree and other planting programs. • Provide educational materials to the public on the care and maintenance of trees and the benefits of a healthy urban forest. •Assist other Divisions in the City of Bozeman as needed. • Continue to promote Arbor Day activities and Tree City USA certification • Continue International Society of Arboriculture certification and staff education. • Implement the first full-scale Cyclic Pruning Program within the City beginning Spring 2013. Budget Highlights: No significant budget highlights for FY15. Accomplishments: Anticipated for FY15: • Continued systematic pruning of boulevard, park and cemetery trees. • Continued trimming for sidewalk clearance,traffic signs,sight triangles and construction projects. • Continue Cost-Share and voucher program of 300 trees planted. • Continue ISA Certified Arborist education. • Provide information to the public on appropriate planting practices,species selection, code requirements related to public and private tree plantings,and the benefits of the urban forest. • Increased effectiveness of the Planting Permit process with Planning and Building Departments. • Integrate GPS technology into new tree inventory program. • Continue Arbor Day activities and Tree City USA accreditation. •Work injury free. • Continued use of alternative fuels when available and affordable. • Promote use of trees in Storm Water management. • Completed city wide survey of urban forest effects and values,funded through a State of Montana DNRC grant. Established an eight year comprehensive tree maintenance schedule. Adopted Work Plan Items: No specific items identified this year. City of Bozeman 188 FY15 Approved Budget Department: FORESTRY Activity: Public Welfare FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits $351,813 $342,292 $345,851 $3,559 1.04% Operating $83,598 $141,317 $137,222 ($4,095) -2.90% Capital $0 $62,000 $0 ($62,000) -100.00% Debt Service Transfers Totals $435,411 $545,609 $483,073 Department Expenditures by Division Division FY13 Actual FY14 Budget FY15 Requested $Change %Change 7710 Tree Maintenance $435,411 $545,609 $483,073 ($62,536) -11.46% Totals $435,411 $545,609 $483,073 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change 112 Tree Maintenance Fund $435,411 $545,609 $483,073 ($62,536) -11.46% Totals $435,411 $545,609 $483,073 City of Bozeman 189 FY15 Approved Budget Department: FORESTRY Activity: Public Welfare PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Effectiveness Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate PM01 Response to Citizen Requests:Within 2 Days-Assessed& 100% 95% 100% 100% 100% Prioritized PM02 Response Time:Emergency Calls(1 Hour Target) 100% 100% 95% 100% 99% PM03 Response to Damage:Within 1 day Assessed&Prioritized 100% 95% 90% 100% 95% PM04 Survey for Hazardous Tree Situations Bi-monthly 100% 95% 100% 99% PM05 Maintain&Update Tree Inventory Bi-monthly 75% 75% 75% 75% Workload Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate STAFF TO SUPPORT WORKLOAD FTE 4.60 4.60 4.60 5.95 WL01 Trees Trimmed 250 266 400 350 WL02 Trees Removed 370 197 200 225 WL03 Trees Planted 110 138 135 195 WL04 Emergency Storm Damage:Tons 10 7.9 10 10 WL05 Christmas Trees:Chipped and Composted(Tons) 35 36 35 38 WL06 Cost Share Trees 125 125 125 175 WL07 Tree Vouchers 200 217 225 225 WL08 Miscellaneous/Arbor Day/Tree Spade,etc 10 10 15 20 WL09 Encroachments Addressed:Sidewalk,Sight Triangle,Street Sign 400 382 400 400 WL10 Planting Permits 120 75 120 120 WL11 DRC Reviews 80 80 100 120 City of Bozeman 190 FY15 Approved Budget Department: FORESTRY Activity: Public Welfare WL12 Vandalism 10 14 10 15 WL13 Service Requests 750 780 800 850 WL14 Trees Inventoried 2,000 2,400 2,500 2,500 City of Bozeman 191 FY15 Approved Budget Department: LIBRARY Activity: Public Welfare PROGRAM INFORMATION Program Description: The Library budget unit accounts for the costs associated with operating and maintaining the City's Public Library.Approximately one-third of the Library's operating budget is off-set by county funds. MISSION:The Bozeman Public Library provides the community with:free,open,and equal access to general information on a broad array of topics; resources to promote personal growth and lifelong learning; popular materials to meet cultural and recreational needs;and the training needed to find,evaluate and use information effectively. Major Objectives: • Provide excellent customer service to Library patrons in a welcoming environment; Provide efficient,effective and visionary management of the Bozeman Public Library; Provide a dynamic, relevant collection of materials in all formats to residents of the Library's service area; Provide Library services, programming,and opportunities for lifelong learning for people of all ages; Ensure that daily library operations are efficient,timely and provided in a courteous manner; Provide excellent Library service by ensuring that the knowledge and skills of Library staff are kept up-to-date through training,workshops,conference attendance and other continuing education opportunities; Publicize Library services and programs through a coordinated marketing plan with a marketing professional. Budget Highlights: •Addition of children's desk Library Assistant 12hrs/week-.3 FTE; • CIP item LIB08-Refurbish room textiles-$20,000; • CIP item LIB11-Refurbish/replace chairs-$13,600; • CIP item LIB05-Widen sidewalk adjoining east side parking lot-$12,380; • Mckinstry Energy Audit Upgrades-$6,604 Accomplishments: Anticipated for FY15: • Begin implementation of the Library's 2013-2017 Strategic Plan's five main goals: • Serve as an Information Epicenter for community business, educational and cultural organizations; • Expand Outreach &Access by improving current building space use and extending outreach programs; • Continue to provide the highest-quality Early Literacy programs and services to pre-K children and their families; • Enhance and expand Partnerships&Collaborations with existing and new partners; • Develop a Children's Garden and play area on the Library's northeast side; • Review and update policies with Library Board of Trustees; • Replace window shades and re-furbish Library chairs using Library Depreciation funds. Adopted Work Plan Items: No specific items identified this year. City of Bozeman 192 FY15 Approved Budget Department: LIBRARY Activity: Public Welfare FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits $1,146,148 $1,137,796 $1,194,918 $57,122 5.02% Operating $399,089 $401,792 $425,521 $23,729 5.91% Capital $8,778 $48,793 $52,584 $3,791 7.77% Debt Service Transfers $17,600 $0 $0 $0 100.00% Totals $1,571,615 $1,588,381 $1,673,023 Department Expenditures by Division Division FY13 Actual FY14 Budget FY15 Requested $Change %Change 7810 Library Operations $618,536 $654,295 $640,747 ($13,548) -2.07% 7820 Technical Services $289,215 $299,542 $259,362 ($40,180) -13.41% 7830 Information Services $217,230 $206,994 $265,098 $58,104 28.07% 7840 Children's Services $172,962 $168,501 $215,437 $46,936 27.86% 7850 Circulation Services $273,672 $259,049 $292,379 $33,330 12.87% 7899 Library Construction $0 $0 $0 $0 100.00% Totals $1,571,615 $1,588,381 $1,673,023 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change 010 General Fund $1,510,855 $1,539,101 $1,612,539 $73,438 4.77% 137 Library Special Revenue Fund $51,982 $7,900 $7,900 $0 0.00% 561 Library Depreciation Fund $8,778 $41,380 $52,584 $11,204 27.08% Totals $1,571,615 $1,588,381 $1,673,023 City of Bozeman 193 FY15 Approved Budget Department: LIBRARY Activity: Public Welfare PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate Efficiency Measures PM01 Circulation of Materials:per Full-Time Equivalent Employee 20,000/FTE 33,706 33,069 33,101 34,000 (FTE) PM02 Registered Borrowers 1,000/FTE 1,311 1,245 1,218 1,250 PM03 Total Volumes 4,000/FTE 6,708 6,654 6,610 7,000 PM04 Reference Transactions 2,000/FTE 4,680 4,577 3,953 4,100 PM05 Inter-Library Loan Transactions 200/FTE 159 155 144 150 PM06 Children's Program Attendance 650/FTE 848 774 648 675 Workload Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate STAFF TO SUPPORT WORKLOAD FTE 21.06 21.56 23.11 23.41 WL01 Library Materials Circulated 730,074 746,049 764,970 780,00 WL02 Children's Programs Provided 637 700 664 675 WL03 Children's Programs Attendance 18,373 17,460 14,988 16,000 WL04 Reference Questions Answered 101,379 103,262 91,362 95,000 W L05 Inter-Library Loan Transactions 3,442 3,496 3,328 3500 WL06 Registered Borrowers 28,387 28,093 28,153 28,500 WL07 New Library Materials Cataloged 11,834 12,132 13,032 14,000 WL08 Materials Reserved 11,465 11,143 10,962 10,900 WL09 Materials Renewed 43,761 48,666 50,196 51,000 City of Bozeman 194 FY15 Approved Budget Department: RECREATION Activity: Public Welfare PROGRAM INFORMATION Program Description: ADMINISTRATION:The Recreation Department provides opportunities for the entire community,encouraging both individuals and families to actively recreate.The Department works with the Recreation and Parks Advisory Board and other recreation groups in anticipating recreation demands. PROGRAMS:The Recreation Department offers year round programs teaching lifelong skills and healthy living habits helping to fight childhood obesity. Classes are offered in a variety of interest areas such as art, music,sports, natural science and outdoor activities.Active Aging programs(55 and over)showcased last fall and were popular with the community. New adult programs such as sand volleyball,curling,stand up paddle boarding and archery were added to the schedule this year and were very well received. Adult programs will be increased and enhanced in the upcoming seasons. SWIM CENTER:The Swim Center is the City's 50 meter indoor aquatic facility.Safety,fitness,and recreational programs are offered year round at affordable rates.The Swim Lesson Program ensures the health and well-being of individuals by providing swim technique training and instruction in basic water safety.The Fitness Program provides encouragement and opportunity to individuals of all ages in programs such as water fitness,water jogging, and lap swimming.The Professional Water Safety program trains local and area lifeguards,swim instructors,and professional rescuers, promoting and sharing the basics of water safety with the entire community. BOGERT POOL: Bogert Pool was built in 1939.This facility is staffed with professional lifeguards who provide a wide variety of aquatic activities. Bogert Pool offers learn-to-swim programs for all ages along with lap swimming,swim team workouts, water fitness,and recreation swimming. Bogert Pool serves as a rental facility for the Bozeman Barracudas age-group swim team and the Bozeman Masters Swim Club. Major Objectives: RECREATION AND ADMINISTRATION: • Improve conditions in our community by offering recreation opportunities enhancing the quality of life. • Provide economic benefits to the City by generating revenue for the general fund and the business community while reducing community healthcare costs. • Provide recreation activities essential to the development of our community including programs for youth to build self-esteem,self-reliance, positive self-images, resiliency factors,and leadership skills; reduce negative social activity;encourage cooperation;and provide exposure to the arts, sports,science and nature. •Train a productive,efficient and effective workforce.AQUATICS:Swim Center and Bogert Pool "For all your fun and fitness needs." • Provide a safe,clean and user-friendly facility. • Provide affordable recreational and fitness opportunities for families to interact in an aquatics environment. • Offer individuals the opportunity to improve and or maintain their physical health and provide social opportunities. •Train the community, ages 3 months and older, in current swimming technique and how to be safe in and around the water. • Schedule the aquatic facilities at an affordable rate for groups. • Offer a setting for individuals to have a sense of accomplishment, creativity,and improve their psychological well-being. Budget Highlights: • Pool design (part 2)-$225,000 Accomplishments: FY15 ANTICIPATED ACCOMPLISHMENTS: • New office complete at Lindley Center. • Lindley Center Deck project complete. • Continue Active Aging Programs for 55+population. • Increase adult program options(sand volleyball,curling, archery,SUP). • Increase MSU and Community Partnerships. • Train three new Lifeguard Instructors. • Contract Site Analysis for New Bozeman Family Aquatics Center. • Continue and Build Upon Successful Contracted Programs Adopted Work Plan Items: The Recreation Division is working to fulfill the following Adopted Work Plan Items:#6 Family Aquatics Center City of Bozeman 195 FY15 Approved Budget Department: RECREATION Activity: Public Welfare FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits $719,915 $772,806 $854,796 $81,990 10.61%I Operating $495,101 $483,589 $493,564 $9,975 2.06% Capital $15,065 $450,000 $225,000 ($225,000) -50.00% Debt Service Transfers Totals $1,230,081 $1,706,395 $1,573,360 Department Expenditures by Division 1 Division FY13 Actual FY14 Budget FY15 Requested $Change %Change 8010 Recreation Operations $825,348 $1,256,453 $1,145,141 ($111,312) -8.86% 8020 Swim Center $245,302 $245,435 $247,995 $2,560 1.04% 8030 Bogert Pool $58,256 $85,590 $57,690 ($27,900) -32.60% 8040 Facilities: Lindley,Beall,&Story $60,234 $64,664 $62,164 ($2,500) -3.87% 8050 Recreation Programs $40,941 $54,253 $60,370 $6,117 11.27% Totals $1,230,081 $1,706,395 $1,573,360 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change, 010 General Fund $1,203,420 $1,689,848 $1,553,687 ($136,161) -8.06% 133 Recreation Special Revenue Fund $10,170 $1,000 $1,000 $0 0.00% 189 Story Mansion Operating Fund $16,491 $15,547 $18,673 $3,126 20.11% Totals $1,230,081 $1,706,395 $1,573,36 City of Bozeman 196 FY15 Approved Budget Department: RECREATION Activity: Public Welfare PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Effectiveness Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate PM01 Aquatics Scheduled Maintenance(air filter exchanges,pumps Performed on 75% 75% 95% 98% greased,etc.) scheduled day PM02 Plowing:Swim Center Sidewalk by 5:30 am 95% 95% 85% 85% PM03 Plowing:Beall Sidewalk&Entrance by 8:30 am 90% 85% 95% 100% PM04 Plowing:Swim Center Parking Lot by 5:00 am 0% 95% 85% 85% PM05 Risk Management Reports:Recreation Facilities 1 per week 60% 60% 85% 90% PM06 Risk Management Reports:Aquatics Facilities 1 per week 90% 90% 99% 100% PM07 Maintenance:Lindley&Beall Scheduled 3 per year 0 0 3 3 PM08 Recreation Programs:Classes Cancelled Less than 8% 16% 11% 9% 8% PM09 Recreation Programs:Staff to Participants 1:8 Preschool, Meets Meets Meets Meets Youth,1:15 Adult PM10 Staff Certification:CPR&First Aid 100% 100% 100% 100% 100% PM11 Staff Certification:Wilderness First Aid 2 0 0 0 1 PM12 Staff Certification:Certified Parks&Recreation Professional 1 0 1 2 2 (CPRP) PM13 Aquatics: Classes Cancelled Less than 5% 8% 8% 8% 5% PM14 Aquatics:Staff to Participants 6:1(preferred 10:1 10:1 8:1 6:1 10:1 Red Cross PM15 Lifeguard per Square feet of Pool(Montana Health Code) 1:2,000 sq ft 1:2,500 sq ft 1:2,500 sq ft 1:2,000 sq ft 1:2,000 sq ft PM16 Aquatics Staff Certification:WS! 50% 90% 90% 80% 95% PM17 Aquatics Staff Certification:Pool Operators 5 4 4 2 5 City of Bozeman 197 FY15 Approved Budget Department: RECREATION Activity: Public Welfare PM18 Aquatics Professional Certification 1 0 0 0 0 PM19 Swim Center:Annual Maintanence Closure 2 weeks 3 weeks 3 weeks 2 weeks 2 weeks PM20 Bogert Pool:Opened After Last Day of School 3 Days After N/A 2 weeks 1 week 3 days Workload Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate STAFF TO SUPPORT WORKLOAD FTE 15.83 15.83 16.83 12.16 WL01 Facilities to Maintain,Clean,and Contract 4 5 5 5 WL02 Beall Center:Rentals Per Year 377 298 273 282 WL03 Lindley Center:Rentals Per Year 273 340 404 325 WL04 Story Mansion:Rentals Per Year 103 86 136 150 WL05 Swim Center:Agreements 5 5 5 5 WL06 Bogert Pool:Rentals per year 1 1 3 2 WL07 Beall Center:Cleaning Hours per Week 10 10 10 10 WL08 Lindley Center:Cleaning Hours Per Week 7 7 8 8 WL09 Swim Center:Cleaning Hours Per Week 80 80 80 80 WL10 Swim Center:Filter Cleaning Hours Per Week 5 5 5 5 WL11 Bogert Pool:Cleaning Hours Per Week 60 60 60 60 WL12 Bogert Pool:Filter Cleaning Hours Per Week 5 5 5 4 WL13 Beall&Lindley Center:CIP Projects Funded 0 0 1 0 WL14 Aquatics:CIP Projects Funded 2 2 1 1 WL15 Beall Center:Front Desk Hours 1,950 2,080 2,080 2,080 City of Bozeman 198 FY15 Approved Budget Department: RECREATION Activity: Public Welfare WL16 Rec:Annual Class Meetings 1,110 995 994 1,020 WL17 Rec:One Day Special Events 4 4 6 7 WL18 Rec:Program Agreements 4 4 7 8 WL19 Aquatics:Annual Class Meetings 1057 449 232 300 WL20 Annual High School Student Visits 22,000 22,000 22,100 22,300 WL21 Swim Center:Annual Visits 60,500 60,500 60,700 61,000 WL22 Bogert Pool:Annual Visits 17,200 17,200 16,400 19,000 WL23 Swim Center:Guard Hours 19,700 19,700 19,700 19,700 WL24 Swim Center:Front Desk Hours 4,600 4,600 4,600 4,600 WL25 Bogert Pool:Guard Hours 6,816 6,816 6,816 6,816 WL26 Bogert Pool:Front Desk Hours 852 852 852 852 WL27 Program Guides Produced Annually 2 2 2 2 WL28 Bogert Pool:Cash Balancing Hours/week 10 10 10 10 City of Bozeman 199 FY15 Approved Budget Department: COMMUNITY SERVICES Activity: Public Welfare PROGRAM INFORMATION Program Description: Community Services is made up of several departments focused on the improvement of the City of Bozeman as a community and include the Downtown Improvement District, Urban Development and Housing, Economic Development, and Sustainability. ECONOMIC DEVELOPMENT: Leads the City's Economic Development Team to"assist in diversifying our local economy by creating sustainable, high paying jobs without sacrificing Bozeman's quality of life." The department is staffed by a Director of Economic Development and, new in FY14,an Economic Development Specialist. SUSTAINABILITY:Works throughout the City departments and the community to reduce our carbon footprint, promote conservation work,and implement a climate action plan for the City. The department is led by a full-time Climate Protection Coordinator. In FY14 an additional 0.5 FTE, or the equivalent in contracted services,was added to the department to further sustainability efforts within the community. TAX INCREMENT FINANCING DISTRICT:The Downtown Improvement District,the Northeast Improvement District,and the North 7th Improvement district account for the costs of the Improvement District Boards and their activities. More recently,a Technology Taxable Improvement District was approved. BUSINESS IMPROVEMENT DISTRICTS: The Downtown Business Improvement District is an organization of downtown property owners who voluntarily commit resources, identify, plan,and act on initiatives with the goal of ensuring long-term preservation of the City. The Bozeman Tourism Business Improvement District seeks to enhance the economic vitality of Bozeman by promoting tourism through sales and marketing strategies. Program income is derived from each occupied room night from hotels, motels,or other lodging facilities within the district. Major Objectives: ECONOMIC DEVELOPMENT: • Expand and increase economic development outreach,activities,and programs to local,state,and national business communities. •Attend and collaborate with local businesses on industry specific trade shows in order to promote Bozeman as a place to do business. • Participate in local industry conferences. •Assume responsibility of proactively managing the City's industrial and technology tax increment districts. SUSTAINABILITY: • Continue to implement Bozeman's Community Climate Action Plan throughout City departments and the community through policy, educational programs, and contracted services. TAX INCREMENT FINANCING: •To strengthen the economic vitality of Urban Renewal Districts. •To recognize that community partnership is fundamental to district success. •To improve the safety,security and health of the districts. •To improve accessibility. •To facilitate diversity.•To weigh the cost of projects against their benefits. •To make the districts more user friendly. •To continuously improve the image of the districts. •To nurture and expand cultural activities within the districts. BUSINESS IMPROVEMENT DISTRICTS: •The Downtown Business Improvement district works to create both short and long-term goals to ensure the preservation and vitality of the City's underlying economic,cultural,social,and environmental assets. This includes graffiti removal,a downtown maintenance program,the summer flower basket program,and the Holiday Decorating Program. •The Tourism Business Improvement District supports the promotion of Bozeman as a destination for meetings,film production, and sport tournaments and events. Budget Highlights: • Broadband master plan-$20,000; • Marketing collaborative-$25,000; • Green fleet assessment-$8,000; •Workforce housing ordinance update-$50,000; Road to home program-$40,000 City of Bozeman 200 FY15 Approved Budget Department: COMMUNITY SERVICES Activity: Public Welfare Accomplishments: Anticipated for FY15: •Work on completing Broadband master plan; • Marketing collaborative; • Increase promoting economic development; • Hire intern; • Green fleet assessment; • Promote energy conservation programs; • Continue support for TIF district. Adopted Work Plan Items: No specific items identified this year. City of Bozeman 201 FY15 Approved Budget Department: COMMUNITY SERVICES Activity: Public Welfare FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits $194,665 $249,698 $288,225 $38,527 15.43% Operating $1,177,277 $3,406,939 $4,462,971 $1,056,032 31.00% Capital $563,821 $0 $0 $0 100.00% Debt Service Transfers $443,500 $453,388 $728,836 $275,448 60.75% Totals $2,379,263 $4,110,025 $5,480,032 Department Expenditures by Division Division FY13 Actual FY14 Budget FY15 Requested $Change %Change 8210 Downtown Improvement District $1,725,464 $3,485,237 $4,653,643 $1,168,406 33.52% 8230 Urban Development&Housing $97,777 $61,400 $348,324 $286,924 467.30% 8240 Economic Development $467,236 $401,212 $322,406 ($78,806) -19.64% 8250 Sustainability $88,786 $162,176 $155,659 ($6,517) -4.02% Totals $2,379,263 $4,110,025 $5,480,032 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change 010 General Fund $375,780 $563,388 $478,065 ($85,323) -15.14% 116 Downtown TIF District $621,700 $1,996,988 $2,726,588 $729,600 36.54% 118 Community Housing $44,280 $0 $0 $0 100.00% 119 Economic Development $166,841 $0 $0 $0 100.00% 120 Community Housing Fund $40,000 $47,000 $274,269 $227,269 483.55% 121 Housing Revolving Loans $14,400 $14,400 $17,807 $3,407 23.66% 143 North 7th Corridor TIF District $558,451 $866,849 $1,048,500 $181,651 20.96% 144 North East Urban Renewl TIF District $22,179 $97,400 $321,312 $223,912 229.89% 145 Mandeville Farm TIF $1,436 $0 $0 $0 100.00% City of Bozeman 202 FY15 Approved Budget Department: COMMUNITY SERVICES Activity: Public Welfare 176 Downtown BID $114,097 $114,000 $135,195 $21,195 18.59% 186 Development Impacts(Big Box) $12,500 $0 $56,248 $56,248 100.00% 191 BID Tourism TBID Hotel $407,599 $410,000 $422,048 $12,048 2.94% Totals $2,379,263 $4,110,025 $5,480,032 City of Bozeman 203 FY15 Approved Budget Department: COMMUNITY SERVICES Activity: Public Welfare PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate Workload Measures STAFF TO SUPPORT WORKLOAD FTE 2 2 3.5 3.5 WL01 Tax Increment Districts 4 5 5 5 City of Bozeman 204 FY15 Approved Budget Department: NON-DEPARTMENTAL Activity: Other PROGRAM INFORMATION Program Description: The Non-Departmental unit accounts for expenditures that are not associated with a specific city department. Examples include insurance premiums paid by the City, costs of leave pay-outs for terminating employees,contingency funds, etc. Major Objectives: To accurately budget and account for non-departmental costs. Budget Highlights: • General fund allocation of liability&property insurance-$298,200; • General fund contribution to the band-$6,000; •Contingency appropriation-$115,000; •Transfer to Police&Fire state share retirement(non-cash)-$2,059,000; • MMIA settlement payment(final payment)-$675,000; • Payment to HRDC for Galavan-$89,277. Accomplishments: To properly account for non-departmental costs. Adopted Work Plan Items: No specific items identified this year. City of Bozeman 205 FY15 Approved Budget Department: NON-DEPARTMENTAL Activity: Other FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits Operating $5,526,571 $6,802,715 $7,090,732 $288,017 4.23% Capital Debt Service Transfers $2,531,550 $2,347,520 $2,247,401 ($100,119) -4.26% Totals $8,058,121 $9,150,235 $9,338,133 Department Expenditures by Division Division Actual FY14 Budget FY15 Requested $Change %Change 8910 Insurance $4,617,398 $4,060,184 $4,146,455 $86,271 2.12% 8920 City Band $6,000 $6,000 $6,000 $0 0.00% 8940 Other/Contingencies $818,075 $2,652,762 $2,849,000 $196,238 7.40% 8960 Transfers $2,531,550 $2,347,520 $2,247,401 ($100,119) -4.26% 8970 Senior Transportation $85,098 $83,769 $89,277 $5,508 6.58% Totals $8,058,121 $9,150,235 $9,338,133 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change 010 General Fund $1,698,453 $3,177,982 $3,363,200 $185,218 5.83% 103 Permissive Medical Levy Fund $2,002,540 $2,178,484 $2,037,401 ($141,083) -6.48% 131 Beautification of Bozeman $13 $0 $0 $0 100.00% 175 Senior Transportation Fund $85,098 $83,769 $89,277 $5,508 6.58% 720 Employee Health Insurance $4,272,017 $3,710,000 $3,848,255 $138,255 3.73% Totals IIMIF $8,058,121 $9,150,235 $9,338,133 City of Bozeman 206 FY15 Approved Budget Department: NON-DEPARTMENTAL Activity: Other PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Workload Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate WL01 Health Insurance:Plan Options Offered 5 5 5 5 WL02 Pension Plans Participated In 3 3 3, 3 City of Bozeman 207 FY15 Approved Budget Department: GENERAL OBLIGATION (G.O.) BONDS DEBT SERVICE Activity: Other PROGRAM INFORMATION Program Description: The General Obligation Bond division accounts for debt service payments associated with the transportation general obligation bonds. The first series of Library General Obligation bonds were sold in December 2002.The second Library General Obligation bonds were sold in April 2003. Both series were part of the voter-approved levy that was approved in November 2002. In November 2012,voters approved the issuance of$15 Million in General Obligation Bonds to fund Trails,Open Space, and Parks (TOP)Acquisition and Improvements. Major Objectives: •To accurately account for principal and interest payments on general obligation bonds. •To maintain adequate fund balance levels in the two debt service funds. Budget Highlights: Issuance of an estimated $5.1 Million in TOP G.O. Bonds in December 2013. Accomplishments: Anticipated for FY15: *Approximately$5.1 Million of the$15 Million approved TOP bond is expected to be issued early in FY15. Adopted Work Plan Items: 1. Police& Municipal Court building will require$22 Million of G.O. Bonds to be voted on by citizens in November 2014; 2.TOP Bonds are utiliting$15 Million of G.O. Bonds;3. Family Aquatics Center will rely on a future voter-approved bond issue. City of Bozeman 208 FY15 Approved Budget Department: GENERAL OBLIGATION (G.O.) BONDS DEBT SERVICE Activity: Other FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits Operating Capital Debt Service $709,883 $1,046,937 $987,554 ($59,383) -5.67% Transfers Totals $709,883 $1,046,937 $987,554 Department Expenditures by Division Division FY13 Actual FY14 Budget FY15 Requested $Change %Change 9310 G.O.Bonds $709,883 $1,046,937 $987,554 ($59,383) -5.67% Totals $709,883 $1,046,937 $987,554 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change 301 Library Bonds $5,155 $274,849 $0 ($274,849) -100.00% 302 Transportation Bonds $1,489 $422,088 $0 ($422,088) -100.00% 303 GO Refunding Series 2012 $703,239 $0 $273,274 $273,274 100.00% 304 Parks&Open Space Bond $0 $350,000 $714,280 $364,280 104.08% Totals $709,883 $1,046,937 $987,554 City of Bozeman 209 FY15 Approved Budget Department: GENERAL OBLIGATION (G.O.) BONDS DEBT SERVICE Activity: Other PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Workload Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate WL01 GO Bond Issues 3 3 4 3 City of Bozeman 210 FY15 Approved Budget Department: SPECIAL IMPROVEMENT DISTRICT REVOLVING FUND Activity: Other PROGRAM INFORMATION Program Description: The SID Revolving Fund was established pursuant to Section 7-12-4221 MCA.This law states in part: "The Council or commission of any city or town which has heretofore created or may hereafter create any special improvement district or districts for any purpose may in its discretion create,establish, and maintain by ordinance a fund to be known and designated as the special improvement district revolving fund in order to secure prompt payment of any special improvement district bonds or sidewalk,curb,and alley approach warrants issued in payment of improvement made therein and the interest thereon as it becomes due." Major Objectives: •Secure prompt payment of any special improvement district bonds or sidewalk,curb,and alley approach warrants issued in payment of improvements made therein and the interest thereon as it becomes due. •Meet the requirements of state law. Budget Highlights: We used the Revolving Fund to provide a low-cost loan to finance the Story Street Reconstruction SID. Accomplishments: Anticipated for FY15: Provide a low-cost loan to finance the next identified reconstruction SID. Adopted Work Plan Items: Transportation-Loans and SID financing to reconsturction projects. City of Bozeman 211 FY15 Approved Budget Department: SPECIAL IMPROVEMENT DISTRICT REVOLVING FUND Activity: Other FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits Operating $15,776 $0 $0 $0 100.00% Capital Debt Service $0 $0 $428,388 $428,388 100.00% Transfers $613,000 $200,000 $0 ($200,000) -100.00% Totals $628,776 $200,000 $428,388 Department Expenditures by Division Division FY13 Actual FY14 Budget FY15 Requested $Change %Change 9510 SID Bonds Revolving $628,776 $200,000 $428,388 $228,388 114.19% Totals $628,776 $200,000 $428,388 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change 300 SID Revolving Fund $628,776 $200,000 $0 ($200,000) -100.00% 305 Downtown TIF Bonds $0 $0 $428,388 $428,388 100.00% Totals $628,776 $200,000 $428,388 City of Bozeman 212 FY15 Approved Budget Department: SPECIAL IMPROVEMENT DISTRICT REVOLVING FUND Activity: Other PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Effectiveness Measures Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate PM01 State Minimum Fund Balance Requirement Met 5% Yes Yes Yes Yes City of Bozeman 213 FY15 Approved Budget Department: SPECIAL DISTRICT DEBT Activity: Other PROGRAM INFORMATION Program Description: The Special Improvement District(SID) &Tax Increment Finance(TIF) bond budget unit is used to account for the payments of principal and interest on the various special improvement district bonds. Section 7-12-4102 MCA authorizes the city to create special improvement districts and 7-12-4206 authorizes the payment to be made from the fund. The City issues special improvement district bonds, assesses property taxpayers for the costs,collects the assessments,and in turn retires the bonds and pays the related interest expense. Major Objectives: To accurately account for principal and interest payments on SID&TIF Bonds. Budget Highlights: The budget includes appropriation authority necessary Accomplishments: Timely payment of debt requirements. Adopted Work Plan Items: No specific items identified this year. City of Bozeman 214 FY15 Approved Budget Department: SPECIAL DISTRICT DEBT Activity: Other FINANCIAL INFORMATION Department Expenditures by Category Category FY13 Actual FY14 Budget FY15 Requested $Change %Change Salaries&Benefits Operating Capital Debt Service $754,172 $1,619,500 $1,045,200 ($574,300) -35.46% Transfers $184,504 $0 $0 $0 100.00% Totals $938,676 $1,619,500 $1,045,200 Department Expenditures by Division Division 13 Actual FY14 Budget FY15 Requested $Change %Chan 9710 SID Bonds $938,676 $1,619,500 $1,045,200 ($574,300) -35.46% Totals $938,676 $1,619,500 $1,045,200 Department Expenditures by Fund Fund FY13 Actual FY14 Budget FY15 Requested $Change %Change 300 SID Revolving Fund $184,504 $0 $0 $0 100.00% 310 SID Bond Funds $0 $0 $1,045,200 $1,045,200 100.00% 433-441 Special Improvement Districts $754,172 $1,619,500 $0 ($1,619,500) -100.00% $938,676 $1,619,500 $1,045,200 City of Bozeman 215 FY15 Approved Budget Department: SPECIAL DISTRICT DEBT Activity: Other PERFORMANCE - WORKLOAD INFORMATION Department Performance Measures: Standard FY12 Actual FY13 Actual FY14 Budgeted FY15 Estimate Workload Measures WL01 Tax Increment District:Number of Bond Issues 1 1 1 1 WL02 TID-Reimbursement Agreements 0 0 0 1 WL03 TID-Interlocal Agreements 1 1 1 1 City of Bozeman 216 FY15 Approved Budget APPENDIX The Appendix includes: Capital Expenditures Summary Water and Wastewater Rate Increase Table Consumer Price Index Table Debt Service Schedules Reference Table Staffing Summary Glossary of Terms City of Bozeman 217 FY15 Approved Budget CAPITAL EXPENDITURES SUMMARY FY15 Division Description Object Description Miscellaneous Data ADOPTED M&E:COMPUTER GF080 - CITY WIDE ROUTER/SWITCH ADMIN SERVICES - IT HARDWARE REPLACEMENT $40,000 GF079 - REPLACEMENT OF MAIN CITY HALL SWITCHES $50,000 FACILITIES MNGMNT M&E:COMPUTER GF139 - PHASE 3 SITE IMPROVEMENTS $ 23,625 SOFTWARE GF171 -SITE DRAINAGE AT CITY HALL $ 11,500 IMP:INFRASTRUCTURE+ GF189 - REFINISH ROOF ON GREEN STORAGE IMPROV BLDNG $20,000 BLD:BUILDINGS+BLDG GF103 -ADA COMPLIANCE UPDATES - PROF DESIGN BLDNG $20,000 GF164 - REPLACE IT AC ROOFTOP UNIT - LIBRARY $23,500 GF188 - REPLACE BOILER -SENIOR CENTER $18,500 GF200 - RESTROOM VENTALATION -SENIOR CENTER $8,000 GF198 - FIRE SPRINKLER UPGRADES-SENIOR CENTER $17,000 POLICE VEH:AUTOS+ LIGHT TRUCKS GF053 - REPLACEMENT OF 3 PATROL VEHICLES $156,000 GF052 - REPLACEMENT OF 1 UNMARKED VEHICLES $10,500 GF165 - REPLACEMENT OF 1 PATROL MOTORCYCLES $30,000 FIRE BLD:BUILDINGS+BLDG DESIGN GF162 - LIVE FIRE TRAINING PROP $10,000 CEMETERY M&E:MACH+EQUIP/HEAVY GF010 - CEMETERY MOWER REPLACEMENT TRUCK _ PROGRAM $16,000 PARKS VEH:AUTOS+ LIGHT TRUCKS GF115 - 1/2 TON TRUCK TO REPLACE#1608 $28,000 M&E:MACH+EQUIP/HEAVY TRUCK GF100 -TRACTOR W BUCKET $45,000 M&E:COMPUTER SOFTWARE GF207 - CITYWORKS HARDWARE $45,000 IMP:INFRASTRUCTURE+ _ IMPROV GF194 - PARK SIGNAGE CONTINUTATION $10,000 GENERAL FUND-CAPITAL EXPENDITURES $582,625 STREETS LAN:LAND + LAND RIGHTS CT002 -SIDEWALK $28,000 CT003 -SIDEWALK $16,000 CT004 -SIDEWALK $35,000 CT005 -SIDEWALK $35,000 CT007 -WAYFINDING $100,000 CT009 - PEDESTRIAN TRAIL $12,690 MP:INFRASTRUCTURE+ IMPROV CIP SIF42-BAXTER & DAVIS INTERSECTION $300,000 COMMUNITY TRANSPORTATION FUND-CAPITAL EXPENDITURES $526,690 City of Bozeman 218 FY15 Approved Budget FY15 Division Description Object Description Miscellaneous Data ADOPTED STREET OPS M&E:MACH+EQUIP/HEAVY STR39 -TRAILER MOUNTED SPRAY PATCHER $75,000 TRUCK STR42 -ASPHALT HOT BOX $35,000 IMP:INFRASTRUCTURE+ STREET OPS CONT'D IMPROV STR11 - MEDIANS& BOULEVARD MTC $25,000 STR30 - CONCRETE REPAIR PROGRAM $50,000 SCRO1 - CURB SPOT REPAIR $50,000 IMP:INFRASTRUCTURE+ SCRO2-ANNUAL STREET&CURB REPLACEMENT STREET CONSTRUCT IMPROV PROJ $800,000 IMP:INFRASTRUCTURE+ STREET LIGHTING IMPROV MCKINSTRY STREET LIGHTING ENERGY UPGRADE $226,642 IMP:INFRASTRUCTURE+ STREET SIGNS IMPROV STR20 - BIKE PATH IMPROVEMENTS $25,000 STREET MAINTENANCE FUND-CAPITAL EXPENDITURES $1,286,642 STREETS IMP:INFRASTRUCTURE+ SIF01 - R.O.W. ACQUISITION $100,000 IMPROV SIF36 - COTTONWOOD-BABCOCK TO OAK $200,000 SIF37 -TRANSPORTATION PLAN UPDATE $125,000 SIF38 - FERGUSON-BAXTER TO OAK $100,000 SIF43 - S 11TH-OPPORTUNITY TO ARNOLD $250,000 SIF42 - BAXTER & DAVIS INTERSECTION $450,000 STREET IMPACT FEE FUND-CAPITAL EXPENDITURES $1,225,000 BUILDING INSPCTN M&E:COMPUTER HARDWARE B102 - HARDWARE AND SOFTWARE $50,000 BUILDING INSPECTION SPECIAL REVENUE FUND -CAPITAL EXPENDITURES $50,000 FIRE M&E:MACH+EQUIP/HEAVY TRUCK FE05 - DEFIBTILLATOR REPLACEMENT $37,000 FIRE DEPARTMENT EQUIPMENT-CAPITAL EXPENDITURES $37,000 POLICE OPERATIONS BLD:BUILDINGS+BLDG DESIGN GF050 - POLICE/COURT FACILITY CONSTRUCTION $22,000,000 LAW&JUSTICE RENOVATION FUND-CPAITAL EXPENDITURES $22,000,000 LIBRARY M&E:OFFICE LIB08 - REFURBISH ROOM TEXTILES $20,000 EQUIP+FURNITUR LIB11 - REFURBISH CHAIRS $13,600 IMP:INFRASTRUCTURE+ LIB05 - LIBRARY WIDEN SIDEWALK ADJOINING $12,380 IMPROV MCKINSTRY ENERGY UPGRADE PROJECTS $6,604 LIBRARY DEPRECIATION FUND -CAPITAL EXPENDITURES $52,584 PARKS IMP:INFRASTRUCTURE+ IMPROV TRAILS, PARKS & OPEN SPACE PROJECTS $10,000,000 PARKS&OPEN SPACE BOND -CONSTRUCTION FUND-CAPITAL EXPENDITURES $10,000,000 PUBLIC SERVICES: M&E:COMPUTER GIS SOFTWARE GF065 -AERIAL PHOTOGRAPHY $60,000 WTP OPERATIONS IMP:INFRASTRUCTURE+ W30-GAUGING STATIONS $40,000 City of Bozeman 219 FY15 Approved Budget FY15 Division Description Object Description Miscellaneous Data ADOPTED IMPROV WATER OPERATIONS M&E:MACH+EQUIP/HEAVY W28- CL-12 WATER TAP MACHINE $20,000 TRUCK W29 - LEAK CORRELATOR $45,000 IMP:INFRASTRUCTURE+ GF189 - REFINISH ROOF ON GREEN STORAGE IMPROV BLDNG $10,000 WATER IMP:INFRASTRUCTURE+ W04-15 -WATER PIPE REPLACEMENT PROGRAM $1,147,720 CONSTRUCTN IMPROV W03 - ENGINEERING DESIGN FOR REHAB $22,500 W32 - LINE 18" PIPE FROM PLANT TO SOURDOUGH $1,000,000 WATER FUND-CAPITAL EXPENDITURES $2,345,220 WTP IMP:INFRASTRUCTURE+ WIF03 - CONCRETE WATER STORGE RESERVOIR CONSTRUCTION IMPROV DESIGN $300,000 IMP:INFRASTRUCTURE+ WIF12 -S 11TH(OPPORTUNITY TO WATER UTILITIES IMPROV ARNOLD)WATER $50,000 WATER IMPACT FEE FUND-CAPITAL EXPENDITURES $350,000 WASTEWATER OPS M&E:MACH+EQUIP/HEAVY TRUCK WW26- FLUSHER VAC TRUCK REPLACEMENT $365,000 IMP:INFRASTRUCTURE+ GF189 - REFINISH ROOF ON GREEN STORAGE IMPROV BLDNG $10,000 WASTEWATER IMP:INFRASTRUCTURE+ WW07 - ENGINEERING PROJECT DESIGN $22,500 CONST IMPROV WW08-15 WASTEWATER PIPE REPLACEMENT $914,000 WASTEWATER M&E:COMPUTER PLANT OPS SOFTWARE WW37 - UPGRADE OLD PLC'S & FIRMWARE $29,000 BLD:BUILDINGS+BLDG WW36- UPGRADE TRUCK BARN $36,000 DESIGN WW39 - SANDLAST& PAINT OLD CLARIFIER DRIVES ETC $15,000 WW40- UV BUILDING SHADING MATERIAL $15,000 WW41 - REPLACE 4" DUCTILE PIPE $15,000 WW45 - FINAL CLARIFIER LAUNDER COVERS $40,000 WW46-CONCRETE PAD FOR ROLLOFF TRUCK $14,000 WASTEWATER BLD:BUILDINGS+BLDG SLUDGE INJ DESIGN WW43 - SEAL MIXER FLANGES ON DIGESTER 1 $20,000 WASTE WATER FUND-CAPITAL EXPENDITURES $1,495,500 WASTEWATER IMP:INFRASTRUCTURE+ WWIF15 - FLANDERS MILL-HIDDEN VALLEY CONST IMPROV TRUNK MAIN $200,000 WASTE WATER IMPACT FEE FUND-CAPITAL EXPENDITURES $200,000 SOLID WASTE M&E:MACH+EQUIP/HEAVY COLLECTION TRUCK SW30- SIDE LOAD PACKER REPLACEMENT $138,043 IMP:INFRASTRUCTURE+ IMPROV SW40- PATCH LANDFILL ROAD (NO OVERLAY) $20,000 SOLID WASTE FUND-CAPITAL EXPENDITURES $158,043 LANDFILL CLOSURE IMP:INFRASTRUCTURE+ COSTS IMPROV GF218 - LANDFILL GAS REMEDIATION SYSTEM $1,700,000 City of Bozeman 220 FY15 Approved Budget FY15 Division Description Object Description Miscellaneous Data ADOPTED LANDFILL CLOSURE COSTS FUND -CAPITAL EXPENDITURES $1,700,000 PARKING OTHER IMPROVEMENTS MCKINSTRY PARKING GARAGE LIGHTING ENERGY UPGRADE $200,000 TIF DOWNTOWN IMPROVEMENT DISTRICT FUND -CAPITAL EXPENDITURES $200,000 VEHICLE BLD:BUILDINGS+BLDG MAINTENANCE DESIGN GF202 - IRRIGATION AND SITE IMPROVEMENTS $15,500 VEHICLE MAINTENANCE SHOP FUND-CAPITAL EXPENDITURES $15,500 GRAND TOTAL CAPITAL EXPENDITURES* $42,224,804 *Some capital items listed in the Capital Improvement Plan (CIP) are entered in "Repair& Maintenance" or"Professional & Consulting Services" and therefor do not appear on this table. City of Bozeman 221 FY15 Approved Budget WATER & WASTEWATER RATE INCREASES Calendar Year Water Rates Wastewater Rates Storm Water Rates 1989 7.0% 12.0% 1990 6.5% 10.5% 1991 4.5% 9.0% _ 1993 - 9.5% 1994 5.0% 9.5% 1995 - 12.0% 1996 4.0% 4.0% 1996 Surcharge _ - 25.0% 1998 Surcharge _ - 20.0% _ 1998 3.0% 3.0% 1999 7.0% 28.0% 2000 3.0% - 2001 7.0% 3.0% 2003 6.0% - 2005 10.0% 15.0% _ 2006 10.0% 10.0% 2007 - 5.0% 2008 - 9.0% 2009 3.2% 10.2% 2010 3.2% 10.2% 2011 4.5% 6% 2012 4.5% 6% Utility Created 2013 3.0% 3.0% 4.0% 2014 0% 3.0% 4.0% 2015 Approved 0% 3.0% Restructuring-2015 City of Bozeman 222 FY15 Approved Budget US CONSUMER PRICE INDEX The City uses the Consumer Price Index as a general gauge of price inflation. Consumer Price Index-All Items,Unadjusted,Urban Consumers (CPI-U) Source: Bureau of Labor Statistics,US Dept of Labor Year Ending CPI-U % Change December, 1999 169.4 2.7% 2000 174.0 3.4% 2001 176.7 1.6% 2002 180.9 2.4% 2003 184.3 1.9% 2004 190.3 3.3% 2005 196.8 3.4% 2006 201.8 2.5% 2007 210.0 4.1% 2008 210.2 0.1% 2009 216.0 2.7% 2010 219.2 1.5% 2011 225.7 3.0% 2012 229.6 1.7% 2013 233.0 1.5% The City's Living Wage Ordinance bases increase on the CPI-U for Western States. Consumer Price Index, WESTERN STATES-All Items, Unadjusted, Urban Consumers (CPI-U). Source: Bureau of Labor Statistics, US Dept of Labor ANNUAL _ CPI-U Western ] % Change 2001 _ 181.2 3.7% 2002 184.7 1.9% 2003 188.6 2.1% 2004 193.0 2.3% 2005 198.9 3.1% 2006 205.7 3.4% _ 2007 212.2 3.2% 2008 219.6 3.5% 2009 218.8 (0.4%) 2010 221.2 1.1% 2011 227.5 2.9% 2012 I 232.4 2.5% 2013 I 236.1 1.6% City of Bozeman 223 FY15 Approved Budget LIBRARY G.O. BOND #1 SCHEDULE CITY OF BOZEMAN General Obligation Refunding Bonds, Series 2012 DEBT SERVICE SCHEDULE FORMERLY LIBRARY GO BOND #1 SERIES 2001A Payment Principal Interest Interest Semi-Annual Principal Date Payment rate Payment Payment Balance 6/14/2012 1,295,000 1/1/2013 6,629 6,629 7/1/2013 130,000 2.00% 6,057 136,057 1,165,000 1/1/2014 4,753 4,753 7/1/2014 135,000 2.00% 4,753 139,753 1,030,000 1/1/2015 9,705 9,705 7/1/2015 140,000 1.50% 9,705 149,705 890,000 1/1/2016 8,479 8,479 7/1/2016 140,000 1.50% 8,479 148,479 750,000 1/1/2017 7,500 7,500 7/1/2017 145,000 2.00% 7,500 152,500 605,000 1/1/2018 5,971 5,971 7/1/2018 145,000 2.00% 5,971 150,971 460,000 1/1/2019 4,587 4,587 7/1/2019 150,000 2.00% 4,587 154,587 310,000 1/1/2020 3,129 3,129 7/1/2020 155,000 2.00% 3,129 158,129 155,000 1/1/2021 1,550 1,550 7/1/2021 155,000 2.00% 1,550 156,550 - TOTAL $ 1,295,000 $ 104,033 $ 1,399,033 City of Bozeman 224 FY15 Approved Budget LIBRARY G.O. BOND #2 SCHEDULE CITY OF BOZEMAN General Obligation Refunding Bonds, Series 2012 DEBT SERVICE SCHEDULE FORMERLY LIBRARY GO BOND#2 SERIES 2003A Payment Principal Interest Interest Semi Date Payment rate Payment Annual Principal Balance Payment 6/14/2012 965,000 1/1/2013 5,100 5,100 7/1/2013 100,000 2.00% 4,659 104,659 865,000 1/1/2014 3,873 3,873 7/1/2014 110,000 2.00% 3,873 113,873 755,000 1/1/2015 6,932 6,932 7/1/2015 100,000 1.50% 6,932 106,932 655,000 1/1/2016 6,359 6,359 7/1/2016 105,000 1.50% 6,359 111,359 550,000 1/1/2017 5,500 5,500 7/1/2017 105,000 2.00% 5,500 110,500 445,000 1/1/2018 4,529 4,529 7/1/2018 110,000 2.00% 4,529 114,529 335,000 1/1/2019 3,363 3,363 7/1/2019 110,000 2.00% 3,363 113,363 225,000 1/1/2020 2,221 2,221 7/1/2020 110,000 2.00% 2,221 112,221 115,000 1/1/2021 1,150 1,150 7/1/2021 115,000 2.00% 1,150 116,150 - TOTAL $ 965,000 $ 77,614 $1,042,614 City of Bozeman 225 FY15 Approved Budget TAX INCREMENT URBAN RE NEWAL REVENUE BONDS, SERIES CITY OF BOZEMAN Tax Increment Urban Renewal Revenue Bonds, Series 2007 DEBT SERVICE SCHEDULE I Payment Principal Interest Semi-Annual Interest Payment Principal Balance Date Payment rate Payment 12/27/2007 7/1/2008 270,000 4% 146,222 416,222 4,495,000 1/1/2009 137,644 137,644 7/1/2009 150,000 4% 137,644 287,644 4,345,000 1/1/2010 134,644 134,644 - 7/1/2010 155,000 4% 134,644 289,644 4,190,000 1/1/2011 131,544 131,544 - 7/1/2011 160,000 4% 131,544 291,544 4,030,000 1/1/2012 128,344 128,344 - 7/1/2012 165,000 4% 128,344 293,344 3,865,000 1/1/2013 _ 125,044 125,044 - 7/1/2013 175,000 4% 125,044 300,044 3,690,000 1/1/2014 121,544 121,544 - 7/1/2014 180,000 4% 121,544 301,544 3,510,000 1/1/2015 117,944 117,944 - 7/1/2015 190,000 4% 117,944 307,944 3,320,000 1/1/2016 114,144 114,144 - 7/1/2016 195,000 4% 114,144 309,144 3,125,000 1/1/2017 110,244 110,244 - 7/1/2017 205,000 4% 110,244 315,244 2,920,000 1/1/2018 106,144 106,144 - 7/1/2018 210,000 4.15% 106,144 316,144 2,710,000 1/1/2019 101,786 101,786 - 7/1/2019 220,000 4.25% 101,786 321,786 2,490,000 1/1/2020 97,111 97,111 - 7/1/2020 230,000 4.40% 97,111 327,111 2,260,000 1/1/2021 92,051 92,051 - 7/1/2021 240,000 4.50% 92,051 332,051 2,020,000 1/1/2022 86,651 86,651 - 7/1/2022 250,000 4.60% 86,651 336,651 1,770,000 1/1/2023 80,901 80,901 - 7/1/2023 260,000 4.70% 80,901 340,901 1,510,000 City of Bozeman 226 FY15 Approved Budget Payment Principal Interest Interest Payment Semi-Annual Principal Balance Date Payment rate _ Payment 1/1/2024 74,791 74,791 - 7/1/2024 275,000 4.80% 74,791 349,791 1,235,000 1/1/2025 68,191 68,191 - 7/1/2025 290,000 4.95% 68,191 358,191 945,000 1/1/2026 _ 61,013 61,013 - 7/1/2026 300,000 4.95% 61,013 361,013 645,000 1/1/2027 53,589 53,589 - 7/1/2027 315,000 4.95% 53,589 368,589 330,000 1/1/2028 45,793 45,793 - 7/1/2028 330,000 4.95% 45,793 375,793 - 1/1/2029 37,625 37,625 - TOTAL $4,765,000 $ 4,162,081 $ 8,927,081 City of Bozeman 227 FY15 Approved Budget TRAILS, OPEN SPACE AND PARKS BOND SCHEDULE CITY OF BOZEMAN General Obligation Bonds -Trails, Open Space and Parks: Series 2013 DEBT SERVICE SCHEDULE Payment Interest Date Principal Payment pa ment Semi-Annual Payment Principal Balance Y 7/1/2015 225,000 489,280 714,280 14,775,000 7/1/2016 595,000 479,826 1,074,826 14,180,000 7/1/2017 605,000 474,517 1,079,517 13,575,000 7/1/2018 610,000 462,417 1,072,417 12,965,000 7/1/2019 625,000 450,217 1,075,217 12,340,000 7/1/2020 640,000 437,717 1,077,717 11,700,000 7/1/2021 650,000 423,317 1,073,317 11,050,000 7/1/2022 670,000 407,067 1,077,067 10,380,000 7/1/2023 685,000 388,642 1,073,642 9,695,000 7/1/2024 710,000 368,092 1,078,092 8,985,000 7/1/2025 730,000 348,212 1,078,212 8,255,000 7/1/2026 755,000 324,487 1,079,487 7,500,000 7/1/2027 775,000 298,062 1,073,062 6,725,000 7/1/2028 805,000 269,000 1,074,000 5,920,000 7/1/2029 840,000 236,800 1,076,800 5,080,000 7/1/2030 870,000 203,200 1,073,200 4,210,000 7/1/2031 910,000 168,400 1,078,400 3,300,000 7/1/2032 945,000 132,000 1,077,000 2,355,000 7/1/2033 985,000 94,200 1,079,200 1,370,000 7/1/2034 1,020,000 54,800 1,074,800 350,000 7/1/2035 350,000 14,000 364,000 - TOTAL $ 15,000,000 $ 6,524,253 $ 21,524,253 City of Bozeman 228 FY15 Approved Budget Reference Table This table is meant to assist you in finding financial data by department alphabetically. Department Fund Dept Smry Fund Stmt Page Number Administrative Services General 116-117 83 Building Inspection Special Revenue 139 86 Cemetery General 181 83 City Attorney General 113 83 City Attorney: Victim Witness Advocate Special Revenue 113 91 City Commission General 103 83 City Manager General 106 83 Community Development Special Revenue - 121 83 Community Services General 202-203 83 Community Services: NE Urban Renewal Special Revenue 202-203 90 Community Services: Community Housing Special Revenue 202-203 87 Community Services: Downtown BID Special Revenue 202-203 91 Community Services: Downtown TIF District Special Revenue 202-203 86 Community Services: Housing Revolving Loan Special Revenue 202-203 87 Community Services: N. 7th Corridor TIF Special Revenue 202-203 90 Community Services: Tourism BID Special Revenue 202-203 93 Community Services: Mandeville Farm TIF Special Revenue 202-203 90 Facilities Management General 124 83 Fire General 134-135 83 Fire: Capital & Equipment Replacement Special Revenue 134-135 92 Fire: Impact Fees Special Revenue 134-135 85 Forestry: Tree Maintenance Special Revenue 190 84-85 General Obligation Debt Service Debt Service 210 94 Library General 194 83 Library: Depreciation Capital Projects 194 95 Library: Special Revenue Special Revenue 194 89 Municipal Court General 110 83 Non-Departmental General 207 83 Non-Departmental: Employee Health Insurance Internal Service 207 99 Non-Departmental: Permissive Medical Special Revenue 207 84 Non-Departmental: Senior Transportation Special Revenue 207 91 Parking Enterprise Fund 142 98 Parks General 185 83 Parks: Improvement Grants Special Revenue 185 92 Parks: Special Revenue Special Revenue 185 88 Parks: TOP Bond Capital Projects 185 95 Police General 127-128 83 Police: Domestic Violence Special Revenue 127-128 89-90 City of Bozeman 229 FY15 Approved Budget Department Fund Dept Smry Fund Stmt Page Number Police: Drug Forfeiture Special Revenue 127-128 92 Police: Special Revenue Special Revenue 127-128 89 Public Works Administration Enterprise Fund 145-146 96 Recreation General 197 83 Recreation: Special Revenue Special Revenue 197 88 Recreation: Story Mansion Operating Special Revenue 197 93 Recycling Enterprise Fund 173 98 Solid Waste Enterprise Fund 173 98 Solid Waste: Disposal Enterprise Fund 176 98 Special Improvement District Debt Service 213 94 Storm Water Fund Enterprise Fund 170 99 Streets General Fund 150 83 Streets: Community Transportation Fund Special Revenue 150 84 Streets: Construction Funds Capital Projects _ 150 95 Streets: Gas Tax Fund Special Revenue 150 84 Streets: Impact Fees Special Revenue 150 85 Streets: Lighting Districts Special Revenue 150 91 Streets: Maintenance Fund Special Revenue 150 93 Vehicle Maintenance Internal Service 178 99 Wastewater Fund (WRF) Enterprise Fund _ 166 97 Wastewater Fund: Impact Fees Enterprise Fund 166 97 Wastewater Operations Enterprise Fund _ 163 97 Water Fund (WTP) Enterprise Fund 155 96 Water Fund (WTP): Impact Fees Enterprise Fund 155 96 Water Operations Enterprise Fund 159 96 City of Bozeman 230 FY15 Approved Budget Staffing Cost Summary Approved Approved Approved FY13 FY14 FY15 GENERAL GOVERNMENT City Commission 2.10 2.10 2.10 City Manager 8.00 5.00 5.00 Municipal Court 8.50 8.50 9.00 City Attorney 7.00 7.00 9.00 Administrative Services 11.00 19.00 21.00 Community Development 9.00 8.00 12.60 Building Maintenance 3.50 3.50 3.50 TOTAL GENERAL GOVERNMENT 49.10 53.10 62.20 PUBLIC SAFETY Police Department 72.75 72.75 72.25 Fire Department 43.75 45.75 45.00 Building Inspection 10.55 12.55 14.00 Parking 4.50 5.50 6.00 TOTAL PUBLIC SAFETY 131.55 136.55 137.25 PUBLIC SERVICES Public Works Administration/Engineering 10.00 12.00 6.58 Streets 17.62 18.62 16.20 Storm Water 1.00 1.00 4.00 Water Plant 9.77 11.27 12.75 Water Operations 15.62 15.62 17.33 Wastewater Operations 10.25 11.25 13.09 Wastewater Plant 16.37 17.47 15.50 Solid Waste Collection/Recycling 15.74 15.74 15.90 Vehicle Maintenance 5.00 5.00 5.00 TOTAL PUBLIC SERVICES 101.37 107.97 106.35 PUBLIC WELFARE Cemetery(numerous short terms) 3.33 3.33 4.90 Parks(numerous short terms) 11.77 11.77 15.40 Forestry 4.60 4.60 5.95 Library 21.56 23.11 23.41 Recreation(numerous short terms) 15.83 16.83 16.83 Community Services 2.00 4.00 3.50 TOTAL PUBLIC WELFARE 59.09 63.64 69.99 TOTAL EMPLOYEES 341.11 361.26 375.79 Net FTE Increase from Previous Year 7.75 20.15 14.53 %Increase from Previous Year 2.3% 5.9% 4.0% City of Bozeman 231 FY15 Approved Budget GLOSSARY OF KEY TERMS ACCRUAL BASIS A basis of accounting in which transactions are recognized at the time they are incurred, as opposed to when cash is received or spent. AMERICAN RECOVERY Federal legislation signed in early 2009. Commonly referred to as & REINVESTMENT ACT the "Stimulus Bill" or"stimulus." (ARRA) APPROPRIATION Legal authorization granted by City Commission to make expenditures and incur obligations. ARRA See "American Recovery& Reinvestment Act" ASSESSED VALUATION A value that is established for real and personal property for use as a basis for levying property taxes. (For the City of Bozeman, Property values are established by the Montana Department of Revenue.) ASSET Resources owned or held by a government having monetary value. AVAILABLE Refers to the funds remaining from the prior years which are available for (UNDESIGNATED) appropriation and expenditure in the current year FUND BALANCE. BALANCED BUDGET Refers to a government budget with revenues equal to expenditures. BOND A written promise to pay a sum of money on a specific date at a specified interest rate. The most common types of bonds are general obligation, revenue, and special assessment district bonds. These are most frequently used for construction of large capital projects such as buildings, streets, and water and waste water lines. BOND RATING An evaluation of a bond issuer's credit quality and perceived ability to pay the principal and interest on time and in full. BOND REFINANCING The payoff and re-issuance of bonds,to obtain better interest rates and/or bond conditions. BUDGET Plan of financial operation, embodying an estimate of proposed expenditures for a given period (City of Bozeman's budget is for a fiscal year July 1—June 30) and the proposed means of financing them. Upon approval by Commission,the appropriation ordinance is the legal basis for incurring expenditures. City of Bozeman 232 FY15 Approved Budget BUDGET AMENDMENT A procedure to revise the appropriation ordinance through action by the City Commission. BUDGET CALENDAR The schedule of key dates or milestones which the City follows in the preparation, adoption, and administration of the budget. BUDGET MESSAGE The opening section of the budget which provides the City Commission and the public with a general summary of the most important aspects of the budget, changes from the current and previous fiscal years, and recommendations regarding the financial policy for the upcoming period. BUDGETARY BASIS This refers to the form of accounting utilized throughout the budget process. These generally take one of three forms: GAAP, Cash, and Modified Accrual. BUDGETARY CONTROL The control or management of a government or enterprise in accordance with an approved budget for the purpose of keeping expenditures within the limitations of available appropriations and available revenues. CAPITAL BUDGET The Capital Budget comprises the capital improvements that are funded in the current budget year. CAPITAL The item has a unit cost over$5,000, benefits future periods, has a normal EXPENDITURE useful life of 1 year or more, has an identity that does not change with use (i.e., retains its identity throughout its useful life), and s identifiable and can be separately accounted for. Improvements to existing assets must add life and value to be included as a capital item. CAPITAL Expenditures related to the acquisition, expansion, or rehabilitation of an IMPROVEMENTS element of the government's physical plant; sometimes referred to as infrastructure. CAPITAL IMPROVEMENTS PROGRAM (CIP) A plan for capital expenditures needed to maintain, replace, and expand the City's heavy equipment and public infrastructure (for example streets, parks, buildings, etc.) The CIP projects these capital equipment and infrastructure needs for a set number of years(5 years for City of Bozeman's Program) and is updated annually to reflect the latest priorities, cost estimates and changing financial estimates or strategies. The first year of the adopted CIP becomes the basis of the City's capital budget. CAPITAL OUTLAY Items that cost more than $5,000 and have a useful life of one year or more. CAPITAL PROJECT New facility,technology system, land or equipment acquisition, or improvements to existing facilities beyond routine maintenance. Capital projects are included in the CIP and become fixed assets. City of Bozeman 233 FY15 Approved Budget CASH BASIS A basis of accounting in which transactions are recognized only when cash is increased or decreased. CDBG Community Development Block Grant. CIP See Capital Improvement Program. CONTINGENCY A budgetary reserve set aside for emergencies or unforeseen expenditures not otherwise budgeted. CONTRACTED SERVICESExpenditures for services performed by firms, individuals, not other city departments. DEBT LIMIT The maximum amount of gross or net debt which is legally permitted. DEBT RATIO Ratios which provide a method of assessing debt load and the ability to repay debt which plays a part in the determination of credit ratings. They are also used to evaluate the City's debt position over time and against its own standards and policies. DEBT SERVICE Payment of principal and interest related to long term loans or bonds. DEBT SERVICE FUND A fund established to account for the accumulation of resources for, and the payment of, general long-term debt principal and interest. DEBT SERVICE FUND REQUIREMENT The amounts of revenue which must be provided for a Debt Service Fund so that all principal and interest payments can be made in full on schedule. DEFICIT The excess of an entity's liabilities over its assets or the excess of expenditures over revenues during a single accounting period. DEPARTMENT A major administrative division of the City which indicates overall management responsibility for an operation or a group of related operations within a functional area. DEPRECIATION Expiration in the service life of fixed assets, attributable to wear and tear, deterioration, action of physical elements, inadequacy, and obsolescence. DESTINGUISHED BUDGET PRESENTATION AWARDS PROGRAM A voluntary awards program administered by the Government Finance Officers Association to encourage governments to prepare effective budget documents. DIVISION A group of homogenous cost centers within a department. ENTERPRISE FUND A fund established to account for operations that are financed and operated in a manner similar to private business enterprises-where the intent of the City of Bozeman 234 FY15 Approved Budget governing body is that the costs (expenses, including depreciation) of providing goods or services to the general public on a continuing basis be financed or recovered primarily through user charges. ESTIMATE The most recent prediction of current year revenue and expenditures. Estimates are based upon many months of actual expenditure and revenue information and are prepared to consider the impact of unanticipated costs or other economic changes. ESTIMATED REVENUE The amount of projected revenue to be collected during the fiscal year. EXPENDITURES Decreases in net financial resources. FISCAL YEAR The time period signifying the beginning and ending period for recording financial transactions. The City's fiscal year begins on July 1 and ends on June 30 of each year. FIXED ASSETS Assets of long-term character which are intended to continue to be held or used, such as land, buildings, machinery,furniture and other equipment. FTE See Full Time Equivalent. FULL FAITH AND CREDIT A pledge of a government's taxing power to repay debt obligations. FULL TIME EQUIVALENT Also referred to as FTE. The yearly personnel hours worked by a position divided by the total available work hours for a full year(2080). FUND An accounting entity with a self-balancing set of accounts which are segregated for the purpose of carrying on specific activities or attaining certain objectives in accordance with special regulations, restrictions or limitations. FUND BALANCE The excess of assets over liabilities. The beginning fund balance is the residual funds brought forward from the previous fiscal year. Nonspendable fund balance--Amounts that are not in a spendable form (such as inventory) or are required to be maintained intact (such as the corpus of an endowment fund). Restricted fund balance--Amounts constrained to specific purposes by their providers(such as grantors, bondholders, and higher levels of government) through constitutional provisions or by enabling legislation. Committed fund balance--Amounts constrained to specific purposes by a government itself using its highest level of decision-making authority; to be City of Bozeman 235 FY15 Approved Budget reported as committed, amounts cannot be used for any other purpose unless the government takes the same highest-level action to remove or change the constraint. Assigned fund balance--Amounts a government intends to use for a specific purpose; intent can be expressed by the governing body or by an official or body to which the governing body delegates the authority. Unassigned fund balance--Amounts that are available for any purpose; these amounts are reported only in the General Fund. GAAP See Generally Accepted Accounting Principles. GENERAL FUND The fund used to account for all of the City's financial resources except those required to be accounted for in another fund. GENERAL OBLIGATION BONDS (G.O. Bonds) Bonds for the payment of which the full faith and credit of the issuing government are pledged. These bonds usually require voter approval and finance a variety of public projects such as roads, buildings, parks and improvements. GOAL A statement of broad direction, purpose or intent based on the needs of the community. G.O. BONDS See General Obligation Bonds. GOVERNMENTAL FUNDS Funds generally used to account for tax-supported activities. Governmental funds include: general, special revenue, debt service, capital projects, and permanent funds. GRANT A contribution by one government unit or funding source to another. The contribution is usually made to aid in the support of a specified function (e.g. public safety or drug enforcement,) but is sometimes for general purposes. IMPROVEMENT Special assessment districts formed by property owners who desire and are DISTRICT willing to pay for mutually enjoyed improvements such as lighting or street maintenance. INFRASTRUCTURE Facilities that support the daily life and growth of the city, for example, streets, public buildings, wastewater treatment, parks. INTERGOVERNMENT City of Bozeman 236 FY15 Approved Budget REVENUE Funds received from federal, state, and other local government sources in the form of grants, shared revenues, and payments in lieu of taxes. INTERNAL SERVICE FUND A fund used to account for the financing of goods or services provided by one department or agency to other departments on a cost-reimbursement basis. LEASE-PURCHASE AGREEMENT Contractual agreements which are termed "leases", but which in substance amount to purchase contracts for equipment and machinery. LEVY (Verb)To impose taxes, special assessments, or service charges for the support of governmental activities. (Noun) The total amount of taxes, special assessments, or service charges imposed by a government. LINE-ITEM BUDGET A budget that lists each expenditure category(salary, materials,telephone service, travel, etc.) separately, along with the dollar amount budgeted for each specific category. LONG-TERM DEBT Debt with a maturity of more than one year after the date of issuance. MANDATE Legislation passed by the state or federal government requiring action or provision of services and/or programs by the City. Examples include the Americans with Disabilities Act, which requires such actions as physical facility improvements and provision of specialized equipment for public recreation and transportation. MILL LEVY Rate applied to Assessed Valuation to determine property taxes. A mill is 1/10th of a penny or$1.00 of tax for each $1,000 of assessed valuation. OBJECT As used in expenditure classification,this term applies to the article purchased or the service obtained (as distinguished from the results obtained from expenditures). Examples are personnel services, contracted services, and supplies and materials. OBJECTIVE Desired outcome-oriented accomplishments that can be measured and achieved within a given time frame, and advances the activity or organization toward a corresponding goal. OPERATING BUDGET The portion of the budget pertaining to daily operations that provides basic governmental services. The operating budget contains appropriations for such expenditures as personnel, supplies, utilities, materials, and services. ORDINANCE A formal legislative enactment by the City Commission. If it is not in conflict with any higher form of law, such as state statute or constitutional provision, it has the full force and effect of law within the boundaries of the City. City of Bozeman 237 FY15 Approved Budget OUTSTANDING BONDS Bonds not yet retired through principal payment. OVERLAPPING DEBT The City's proportionate share of the debt of other local governmental units which either overlap it or underlie it. The debt is generally apportioned based on relative assessed value. PAYMENT IN LIEU OF TAXES Also referred to as PILT. Payments made in lieu of taxes from another government or entity. PERFORMANCE BUDGET A budget that focuses on departmental goals and objectives rather than line items, programs, or funds. Workload and unit cost data are collected in order to assess effectiveness and efficiency of services. PERSONNEL SERVICES Items of expenditures in the operating budget for salaries and wages paid for services performed by City employees, as well as the fringe benefit costs. PROPERTY TAX A levy upon each $100 of assessed valuation of real and personal property within the City of Bozeman. PROPRIETARY FUND Funds that focus on the determination of operating income, changes in net position (or cost recovery)financial position, and cash flows. Proprietary funds include enterprise and internal service funds. RESOLUTION A special or temporary order of a legislative body (City Commission) requiring less legal formality than an ordinance or statute. RESOURCES Total amounts available for appropriation including estimated revenues,fund transfers, and beginning fund balances. REVENUE Funds that the government receives as income. It includes items such as tax payments, fees for specific services, receipts from other governments,fines, forfeitures, grants, shared revenues and interest income. REVENUE BONDS Bonds sold for constructing a project that will produce revenue for the government. That revenue is pledged to pay the principal and interest of the bond. RISK MANAGEMENT An organized attempt to protect a government's assets against accidental loss in the most economical method. SPECIAL IMPROVEMENT DISTRICT(SID) An area defined and designated for improvements, often financed with bond proceeds that specifically benefit the property owners within the area of the district. Debt is repaid through annual assessments to property owners. City of Bozeman 238 FY15 Approved Budget SPECIAL REVENUE FUND A fund used to account for the proceeds of specific revenue sources (other than special assessments, expendable trusts, or of major capital projects)that are legally restricted to expenditure for specified purposes. STATE SHARED REVENUE Revenues levied and collected by the state but shared with local governments as determined by state government. Entitlement funds received by the City form the state of Montana is the largest State Shared Revenue. TAXES Compulsory charges levied by a government for the purpose of financing services performed for the common benefit. This term does not refer to specific charges made against particular property for current or permanent benefits, such as special assessments. TIF Tax Increment Financing. A method of using incremental increases in property tax values to fund the improvements or efforts of a designated area. TRANSFERS IN/OUT Amounts transferred from one fund to another to assist in financing the services from the recipient fund. UNRESERVED FUND BALANCE The portion of a fund's balance that is not restricted for a specific purpose and is available for general appropriation. USER CHARGES OR FEES The payment of a fee for direct receipt of a public service by the party benefiting from the service. WORKING CAPITAL The different between current assets and current liabilities. WORKLOAD INDICATOR A unit of work to be done (e.g. number of permit applications received for the number of burglaries to be investigated.) WRF Water Reclamation Facility; commonly referred to in the past as a Wastewater Treatment Plant City of Bozeman 239 FY15 Approved Budget City of Bozeman 240 FY15 Approved Budget