First Budget Worksession

2012 City BudgetPublic Hearing2012 Budget Process Annual Revenue Survey February 22

First Budget Work Session May 2

Second Budget Work Session June 14

Third Budget Work Session June 28

Fourth Budget Work Session July 122012 City Budget2Note: From the first work session through the fourth work session, Management made budget cuts or deferrals totaling $3,424,844 and reducing property taxes by over $1.6 million.(Mill Levy Rate at 45.434)(Mill Levy Rate at 43.570)(Mill Levy Rate at 43.735)(Mill Levy Rate at 42.138)2012 Budget Highlights32012 City Budget An increase of $635,784 in property taxes levied to support the 2012 City Budget or about a 3.5% increase over property taxes supporting the 2011 City Budget. (98% of this property tax increase is due to outside City services.)

The Municipal Band has been placed under the Parks & Recreation Department as a new line item.

The rental inspection revenues and expenditures have been deleted from the 2012 City Budget.

A modest Capital Improvement Program with an estimated budget of $5,187,069 in planned projects and $862,344 in equipment costs that are spread across a number of funds within the 2012 City Budget. 2011 City Budget2012 Proposed City BudgetGeneral Fund$ 23,253,312$ 24,348,374Special Revenue Funds 41,961,201 40,491,909Bond & Interest Fund 17,655,525 20,345,757Enterprise Funds 22,175,500 28,067,130Totals:$ 105,045,538$113,253,17042012 City BudgetProposed 2012 City Budget2012 Budget SnapshotsProperty Tax Funds2011Property Taxes2012 ProposedChangeGeneral Fund$ 1,174,944$ 1,097,977($ 76,967)City Employee Ben. 628,250 688,390 60,140KP&F (Fire) 75,000 75,000 0Bond & Interest 2,399,386 2,429,181 29,795Industrial Promotion 0 0 0Park Development 0 0 0General Improvement 0 0 0(continued)52012 City Budget2012 Budget SnapshotsProperty Tax Funds2011Property Taxes2012 ProposedChangeFire Equipment Res.$ 50,000$ 50,000$ 0RCPD11,479,371 12,287,858 808,487Library 2,222,386 2,303,672 81,28662012 City Budget201020112012 ProposedMerit Pool1.0%1.0%2.0%Union Steps4%(every 3 years)4%(every 3 years)3.5%(every 2 years)Cost-of-Living (non-union)(none)(none)1.7%Cost-of-Living (union)1.0%(none)1.7%Budget ImpactMerit PoolUnion Steps$ 106,288$ 81,082COLA$ 218,50472012 City Budget2012 Proposed Salary AdjustmentsTest201020112012 ProposedMerit Pool (non-union)1.0%1.0%2.0%Merit PoolLevel 12.2%Level 21.2%82012 City Budget2012 Proposed Salary AdjustmentsNote: Merit increases are determined on employee anniversary dates and thus have a lower overall budget impact.201020112012 ProposedStep Raises (union)4%(every 3 years)4%(every 3 years)3.5%(every 2 years)Note: 32 union members (about half) will receive step raises in 2012Will average 2.0% or less92012 City BudgetCost-of-Living Index

2009201020112012ProposedGeneral $ 294,483 $ 289,650 $ 153,200 $ 169,041Fire Equipment Reserve 8,000 - 20,000194,370Special Street & Highway 1,429,753 1,141,700 985,000940,000General Improvement 35,000 50,000 50,00050,000Special Parks & Recreation 240,400 135,937 295,000437,000Park Development 24,000 - --Other Special Revenue 835,800 488,300 570,7001,336,200Debt Service - 32,790 77,112-Water 1,765,000 802,200 437,1641,297,124Wastewater 547,000 861,200 909,7921,195,678Stormwater 299,612 565,000 512,000430,000Total Budget: $ 5,479,048 $ 4,366,777 $ 4,009,968 $ 6,049,413102012 City BudgetCIP BudgetCity Services2011 Mill Levy2012 Proposed Mill Levy ChangeGeneral Fund2.6922.444(0.248)Bond & Interest5.4975.407(0.090)Employee Benefit Fund1.4391.5320.093Fire Equipment Reserve0.1150.111(0.004)KP&F0.1720.167(0.005)General Improvement0.0000.000------Park Development0.0000.000------Industrial Promotion0.0000.000------Outside ServicesRCPD26.29927.3501.051Library4.1754.2360.061Library EBF0.9160.891(0.025)Riley County Health0.6120.000(0.612)Totals:41.19742.138.221112012 City BudgetProperty Tax Mill LeviesIn order to reduce the mill levy, the delinquency rate on special assessments was reduced from 5% to less than 2%Reserve FundsCity Services $ (7)2011 Mill Levy of 41.9172012 Mill Levy of 42.138Mill Levy Change 0.221General Fund$ 62$ 56$ (6)Bond & Interest126124(2)Employee Benefit Fund33352Fire Equipment Reserve330General Improvement000Park Development000KP&F43(1)Industrial Promotion000Outside Agencies $ 12RCPD 605*629*24Library96982Library EBF21210Riley County Health140(14)Totals:$ 964 $ 969 $ 5* Includes delinquency122012 City BudgetHomeowner Impact ($200,000 home)Water20082009201020112012ProposedMinimum Charge$ 7.02$ 7.51$ 8.03$ 8.03$ 8.033 - 20 units$ 2.05$ 2.19$ 2.34$ 2.48$ 2.4821 - 400 units$ 1.38$ 1.48$ 1.58$ 1.77$ 2.00Over 400 units$ 1.12$ 1.19$ 1.28$ 1.46$ 1.82Utility Rate Increases132012 City Budget13Water Rate Comparisons142012 City BudgetBased on average residential use of 7 units(5,250 gal)14Waste Water20082009201020112012ProposedMinimum Charge$ 8.84$ 10.61$ 13.26$ 15.91$ 18.30Over 2 units$ 1.33$ 1.60$ 2.00$ 2.39$2.75Utility Rate Increases152012 City Budget15Waster Water Rate Comparisons162012 City Budget16Storm Water20082009201020112012ProposedResidential$ 3.00$ 3.50$ 3.75$ 3.93$ 4.13Small Commercial$ 5.63$ 5.68$ 6.08$ 6.38$ 6.70Large Commercial$ 940.91$ 950.31$ 1,016.84$ 1,067.68$ 1,121.06Utility Rate Increases172012 City Budget17Storm Water Rate Comparisons182012 City Budget182012 City BudgetConduct a Public HearingQuestions?On August 16thFirst Reading of Salary Ordinance and Agreement with Local No. 2275 IAFF Second Reading of 2012 Budget Ordinances