Transcript 1 - City of Walker, Michigan

CITY OF WALKER 2013-2014
BUDGET OVERVIEW
PRESENTED BY: CATHY VANDER MEULEN, CITY MANAGER
WALKER CITY BUDGET
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GENERAL FUND REVENUES – $14,379,601
PROPOSED FOR 2013/14
Fines & Forfeitures
5%
Other
4%
Service fees
3%
Property Tax
9%
Revenue Sharing
13%
Business
Lic/Permit
fees
2%
Income Tax
64%
WALKER CITY BUDGET
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GENERAL FUND EXPENDITURES – $14,379,601
2013/2014 PROPOSED
Comm.
Devel./Inspections
3%
Buildings/Grounds
5%
Other
26%
Police & Fire
41%
City Hall Functions
15%
Debt Service
5%
59th District Court
5%
WALKER CITY BUDGET
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2013/2014 BUDGET SUMMARY
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We continue to track positive trends in our income tax collections. We will
continue to monitor the revenue stream and remain conservative in
estimating income tax revenues.
City’s taxable values declined an average of 0.72% in 2013, however our
assessing staff is tracking encouraging trends in the number and sales
prices of all types of properties. Foreclosures are down.
The budget assumes no change in the property tax millage rate of 1.336.
This rate is unchanged since 2000.
Building permit numbers and values are up in all classes of property.
General fund budget expenditures projected to increase 3.5% over
2012/13 expenditures.
Estimate use of$258,555 of reserve funds to balance the budget. Fund
balance as of June 30, 2014 is projected at $3,692,727 or 30.55% of
general fund expenses.
WALKER CITY BUDGET
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2013/2014 BUDGET SUMMARY, CONTINUED…
• Committing an additional set aside of $200,000 to fund long term liabilities,
and an additional $100,000 set aside to continue building a facilities sinking
fund. Total set aside in sinking fund of $300,000 and $400,000 in LTL fund as
of June 30, 2014.
• An additional $100,000 is set aside in the capital equipment budget to fund a
replacement fire pumper. Total set aside as of June 30, 2014 is $300,000.
• Major and local roads maintenance budget remains at $800,000, and total
investment in roads maintenance and road projects is $1,275,000. The City’s
general fund will contribute $1,273,987 to the major and local street fund.
• Staffing changes include new full time positions in the HR/ Finance
department, and a laborer’s position in the DPW. Staff time will be
reallocated in the income tax , police records and fire departments.
WALKER CITY BUDGET
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HISTORICAL TAXABLE VALUE CHANGES FOR
REAL AND PERSONAL PROPERTY
WALKER CITY BUDGET
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HISTORICAL INCOME TAX REVENUE
WALKER CITY BUDGET
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HISTORICAL BUDGET COMPARISON –
GENERAL FUND REVENUES
$16.0
13.88
$14.0
14.38
12.85
12.81
11.85
Millions
$12.0
$10.0
$8.0
$6.0
$4.0
$2.0
$0.0
2009-10
WALKER CITY BUDGET
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2010-11
2011-12
2012-13 as amended 2013-14 as proposed
HISTORICAL BUDGET COMPARISON –
OPERATING BUDGET EXPENDITURES
$25.0
21.26
$20.0
19.96
19.13
18.40
Millions
16.86
$15.0
$10.0
$5.0
$0.0
2009-10
WALKER CITY BUDGET
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2010-11
2011-12
2012-13 as amended
2013-14 as proposed
FACTORS IMPACTING 2014 BUDGET AND BEYOND:
• Healthcare costs expected to rise. Employee share of healthcare premiums
remain at 15%. Impacts of Affordable Healthcare Act are evolving. A 20%40% increase in premiums for 2014 is anticipated based on preliminary
reports.
• The first phase of the personal property tax elimination takes effect January
1, 2014. The budget reflects the estimated loss of approximately $14,000 in
personal property tax revenue as a result of this legislation. Further phase
outs planned to take place beginning January 1, 2016. Legislature is working
on a local unit reimbursement plan for lost revenue.
• City continues to submit the required State reports to qualify for EVIP
payments. ($29,404 estimated for FY 2014).
• Standard and Poor’s has reaffirmed the City’s AA- rating.
• Moody’s has improved the City’s rating to AA2-stable outlook.
• City will continue to commit to prefunding OPEB obligations as budgets allow
and the Commission directs.
WALKER CITY BUDGET
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C
ITY INITIATIVES GOING FORWARD
COPS grant funding for additional community policing officers to work
with school related matters. City has filed a grant requesting two full time
positions for 2014.
Construct public improvements in targeted areas using CDBG funds.
Alpine Ave. sidewalk extension from 3 Mile north to just north of I-96
planned for 2014. ($120,000 project)
Utilize police forfeiture funds to finance qualifying police projects and
purchases. Proposed for 2013/14: Replacement vice vehicle ($30,000),
and in-car computer upgrades and mounts ($50,000)
Municipal service sharing continues in many different areas. New
partnerships to be explored: A shared DDA events/promotion position
with the City of Grandville, and partnering in a Kent County Ambulance
Consortium.
Continued use of road asset management plan to guide roads
maintenance decisions and level of funding needed. Our goal is to
maintain current road conditions and to apply the right fix at the right
time.
WALKER CITY BUDGET
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CITY INITIATIVES, CONTINUED….
• Begin planning for 3rd phase of city technology upgrades including a new
VOIP phone system in 2015.
• Continue to identify areas for energy saving investment.
• Continue with efforts to improve greater resource utilization through
efficiencies in equipment and vehicle functions, i.e. hook loader systems for
DPW, retrofit dump trucks. The city has been a leader in this area, and we
regularly receive inquiries from communities requesting additional
information.
• Complete Parks and Rec Master Plan, evaluate next steps with the
Commission.
WALKER CITY BUDGET
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SELECTED INVESTMENTS
FY 2014
Bond Debt Series 1998A (Ice & Fitness Center) (2018) $686,725
Bond Debt Series 1999 (City Hall/DPW) (2020)
$651,375
Fiber and technology projects (Phase 2)
$125,000
Remembrance Road/3 Mile Road Design
$120,000
Storm Sewer maintenance projects
$65,000
Overlays (Major and local)
$800,000
Police/Fire/DPW vehicle and equipment replacements $543,000
Elmridge construction grant match and administration $355,000
Additional OPEB and pension contributions
$200,000
Sinking fund and Long term liability set asides
$300,000
WALKER CITY BUDGET
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THANKS TO THE WALKER CITY
COMMISSION, THE WALKER FINANCE
COMMITTEE AND TO THE WALKER
STAFF FOR THE SUPPORT AND
ASSISTANCE THROUGHOUT THE BUDGET
PROCESS!!!!
QUESTIONS?
WALKER CITY BUDGET
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