|Estimated Beginning Balance||$32,200,559|
|Estimated Ending Balance||$30,457,554|
Total 2016 Appropriations represent an increase of $7,635,951 or 37% above 2016 total appropriations of $20,555,700.
Total Revenues and Expenditures
2016 ESTIMATED BUDGET COMPARED TO 2017 PROPOSED BUDGET
|2017 Budget||2016 Estimate|
The increase in total revenues can be attributed primarily to anticipated bond proceeds of $6.5 million for Vintage Club North, anticipated grant proceeds of $1.3 million for traffic signal upgrades and sidewalk improvements, and a conservative forecast of income and property tax receipts.
The increase in total expenditures can be attributed primarily to acquisition of land and construction of public improvements at the Vintage Club ($6.5 million), debt service, capital improvements and capital equipment, as well as increases in employee benefits.
- Income Taxes are estimated at $8.84 million, 4% over the amount estimated for 2016 collections.
- Real Estate Property Tax are estimated to be 1% more than 2016.
- Total Local Government Fund (LGF) revenues are estimated at $120,750.
- All other revenue sources including Investment Income, the Gasoline Tax and Motor Vehicle Registration Fees are estimated to remain flat.
Property Tax Collections
Targeted Fund Balances
- General Fund – established as 6-12 months of operating expenditures.
- Fire/EMS Levy Fund – established as 6-12 months of operating expenditures.
- Arts and Amenities Fund – established at $376,237, the corpus of original donation.
- General Bond Retirement Fund – established as the subsequent year’s debt service payments for principal and interest.
- Capital Improvement Fund – established as $1 million.
General Fund for 2016
|Estimated Beginning Balance||$13,654,389|
|Estimated End Balance||$14,133,971|
|Reserve Balance - 12 months||$10,0591.334|
|Net Reserve Variance||$2,383,390|
General Fund Appropriations represent an increase of $579,163 or 5.7% over 2016 Appropriations of $10,012,171 and $777,897 or 13.3% over the estimate of $9,780,339.
Estimated revenues represent an increase of $131,330, or 1.3% over 2016 estimate of $9,780,339.
- Article IX, Sections 9.01 “Taxes” and 9.02 “Extra Levy” provide that Council by Resolution may increase the Charter Levy up to 5 mills.
- The current millage authorized under the Charter is 4.5 mills; City Council can authorize an additional .5 mills.
- An additional .5 mill would generate approximately $250,000 for the General Fund.
Funds Requiring Transfers from the General Fund
- For the years 2016-20 approximately $3.45M from the 101-General Fund will be transferred.
- $2.98M to 261-Street Construction Maintenance and Repair Fund to support Public Works, and
- $75,000 to 275-Municipal Pool Fund for Municipal Pool operations.
- The Fraternal Order of Police (Police) labor agreement expires in June 2019.
- The American Federation of State, County and Municipal Employees (Public Works) agreement expires August 31, 2017.
- International Association of Firefighters (Fire) agreement expires March 2018.
Health Care Costs
- Total medical insurance premiums increased 5.6% from the previous plan. The increase is shared by the City and employees through the “caps” established for health insurance costs.
- City’s total contributions to fund medical and dental insurance premiums is budgeted at $978,323 in 2017, increasing to $1.3M in 2021. Future increases are based on annual increases of 10% for medical and 3% for dental insurance.
Solid Waste and Recycling Cost
- City implemented its contractual option to extend services with Rumpke for the years 2016 and 2017 at $593,586 per year.
- $3.9M has been programmed over 5 years, to fund this service.
- The current contract with Rumpke will need to be re-bid for 2018.
Fund 223 – Fire Levy Fund
|Estimated Beginning Balance||$3,967,911|
|Estimated End Balance||$3,208,495|
|Months in Expenditures||13|
- Included in Targeted Cash Balance Fund Policy with 6-12 months of operating expenses in reserve.
- Revenues generated primarily from Property Taxes.
- Consideration may need to be given for placing on the ballot a “replacement” fire levy in 2018 or 2019.
Fund 261 –Street Construction, Maintenance and Repair Fund
|Estimated Beginning Balance||$624,215|
|Estimated End Balance||$573,843|
|Months in Expenditures||6.5|
- Not a Targeted Cash Balance Fund but requires review to determine the need for adequate sources to maintain City roads and highways.
- Revenues generated from Gasoline Tax , Vehicle Registration Fees and transfers from General Fund.
- Consideration in the future should be given to implementing the additional $5 Motor Vehicle Fee ($50K annually) to support operations.
Fund 324 – General Bond Retirement
|Estimated Beginning Balance||$639,996|
|Estimated End Balance||$959,573|
- In 2017, 4% of income taxes are allocated to debt retirement.
- Debt Service in 2017 has been reduced to $0.
- General Obligation Debt Outstanding 12/2016 – $0.
Fund 410 – Capital Improvement Fund
|Estimated Beginning Balance||$3,204,322|
|Estimated End Balance||$2,965,311|
- In 2017, 20% of income tax revenues are allocated for capital improvements.
- See Capital Improvement Program for complete list of projects budgeted in 2017.
Fund 485 – Arts & Amenities Fund
|Estimated Beginning Balance||$611,057|
|Estimated End Balance||$541,557|
- Revenues generated from Sister City Sales and Investment Income.
|Annual Resurfacing (includes $100,000 hydrants)||$900,000|
|Crack Sealing & Surface Treatment||$200,000|
|Curb & Sidewalk Repairs||$87,500|
|Guard Rail Repairs & Replacement||$25,000|
|Renovation of Public Works Facility||$900,000|
|Ross Ave Sidewalk||$200,000|
|Sidewalk Installation - Montgomery Rd.||$622,200|
|Engineering-2017 Sidewalk Installation Project||$50,000|
|Jolain Drive Stormwater Project||$100,000|
|Asphalt Path Repairs||$10,000|
|Parking Lot Repairs and Striping||$10,000|
|Resurface Basketball Courts (Weller)||$10,000|
|Replace irrigation transfer pump (Weller)||$15,000|
|Safety Surfacing for playground area||$5,000|
|Resurface tennis courts (Weller)||$15,000|
|Replace network cabling||$9,000|
Vintage Club Debt Service
- Programmed in the 2017 budget is the debt service associated with the $13,265,000 in special obligation bonds issued for the construction of a public road and public garage.
- Annual debt service programmed in 2017 is $519,153 for interest expense and payment of principal in the amount of $300,000.
- Debt service is paid from the PILOTS (payments in lieu of taxes) from the residential properties and the commercial properties south of Vintage Club Boulevard.
- Vintage Club North and Gateway Redevelopment Area and their impact on forecasted budgets.
- Consideration given to a replacement levy for fire operations in 2017 or 2018.
- 2016-2021 Strategic Plan
- $5 motor vehicle registration fee.
2017 Annual Budget Timeline
- October 5 – 1st Reading
- November 2 – 2nd Reading
- December 7 – 3rd Reading
- December 16 – Appropriations to amend 2016 Budget.