2018 Budget in Brief

Estimated Beginning Balance$32,683,446
Estimated Revenues$21,552,160
Requested Appropriations$21,362,914
Estimated Ending Balance$32,872,692

Total Revenues and Expenditures

2017 ESTIMATED BUDGET COMPARED TO 2018 PROPOSED BUDGET

 2018 Budget2017 EstimateDifference
Total Revenues$21,552,160$21,110,001$442,159
Total Expenditures$21,362,914$22,433,051$(1,070,137)
The increase in total revenues can be attributed primarily to conservative estimated increases in real estate and earnings tax collections. The decrease in the total expenditures can be attributed primarily to the completion of major improvements (public works building and Jolain Drive Stormwater Improvement Project).

Revenue Assumptions

  • Income Taxes are conservatively forecasted at 1%.
  • Real Estate Property tax is estimated to be 1% more than 2017. Assessed valuation went up from $525 million to $526 million.
  • All other revenue sources include Local Government Fund, Investment Income, and the Gasoline Tax and Motor Vehicle Registration Fees.

Property Tax Collections

 

 

Assessed Valuation

 

 

Income Taxes

 

 

 

General Fund

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 2018

Estimated Beginning Balance$14,395,569
Budgeted Revenues$11,299,345
Budgeted Expenditures$10,311,013
Estimated End Balance$14,635,852
Reserve Balance - 12 months$11,059,113

 

 

General Fund appropriations represent a decrease of $1,209,088 or 10.5% under 2017 appropriations and $988,144 or 2.1% under the estimate of $10,531,957.

 

Estimated General Fund revenues represents a decrease of $142,944 or 1.3% under 2017 estimate of $11,202,057

Charter Levy

  • 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.

Debt Service

Project2018 Principal2018 Interest2018 Total
Special Assessment$4,883$3,567$8,450
Reserve Bond Retirement$160,000$20,200$180,200
VC Phase I$450,000$514,803$964,803
VC Phase II (estimated)$0$158,125$158,125
GRA (estimated)$0$915,063$915,063

Personnel Costs

  • International Association of Firefighters (Fire) agreement expires in March 2018.
  • 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 in August 2020.

Health Care Costs

  • Medical insurance premiums did not increase.
  • City’s total contributions to fund medical and dental insurance premiums are budgeted at $921,267 in 2018, increasing to $1.2M in 2022. Future increases are based on annual increases of 10% for medical and 3% for dental insurance.

Solid Waste and Recycling Cost

  • Solid waste and recycling costs account for six percent of the City’s General Fund expenditures.
  • The current contract with Rumpke was rebid for 2017.
  • $593,586 per contract year, which included three weeks of unlimited leaf collection and holiday tree and greenery collection in January.

Fund 223 – Fire Levy Fund

Estimated Beginning Balance$3,967,911
Estimated Revenues$2,158,906
Total Available$6,126,817
Estimated Expenditures$2,918,322
Estimated End Balance$3,208,495
Months in Expenditures12

  • 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 fire levy in 2018 or 2019.

Discussion Topics

  • $5 motor vehicle registration fee
  • Vintage Club North and Gateway Redevelopment Area
  • Future Reallocation of City Income Tax Revenues
  • Fire/EMS Levy

2018 Annual Budget Timeline

  • October 4 – 1st Reading
  • November 1 – 2nd Reading
  • December 6 – 3rd Reading
  • December 15 – Appropriations to amend 2017 Budget.

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