2020- 2021 Proposed Annual Budget & Program of Services...2020- 2021 Proposed Annual Budget &...
Transcript of 2020- 2021 Proposed Annual Budget & Program of Services...2020- 2021 Proposed Annual Budget &...
2020- 2021Proposed Annual Budget & Program of Services
September 17, 2020
Mark Millar
Mayor
Jason White
Councilmember
Place 2
Cheryl Cohagan
Councilmember
Place 4
David Long
Councilmember
Place 5
Spencer Marks
Councilmember
Place 3
Larry Peters
Mayor Pro-Tem
Place 1
Rick Chaffin………...City ManagerDetra Gaines ………City SecretaryDavid Gallagher…..Fire ChiefDanny Jones………..Police Chief
Vision
Gunter is a unique community exemplified by a commitment to the preservation of its history, a high quality of life,a vibrant business community, and environmental sensitivity.
We are a city steeped in a rich historical past through which we have emerged as a vital, community committed toexcellence, innovation, and sound fiscal policies. Our neighborhoods are safe, healthy, and as unique as theindividuals who inhabit them.
Mission
We believe the City’s greatest asset is our people and we welcome the involvement of all those who live and work inthe City of Gunter to partner with us in making this community one of excellence.
We are committed to preserving the unique character, historical and rural fabric, and environmental beauty thatdefines Gunter to its residents. We will accomplish this through the Values of Service, Fiscally Responsible
Municipal Services, Integrity, Positive Solutions, and Cooperation.
Strategies
Quality of Life – continuous improvement in promoting citizen safety, environmental integrity, economicopportunity and managed growth
Customer Service – serving those who choose to live, work or visit in Gunter with a high quality of services
Equity and Justice – promoting civility, tolerance and celebration of its diversity and demographics
Fiscal Responsibility – fostering wise use of public resources, values for taxes paid and City employeeaccountability
Community Identity – exploiting Gunter’s unique advantages and facilitating the community resources toachieve shared goals
Organizational Development
Community and Economic Development
Communications and Marketing
Downtown Gunter
Strategic Focus Areas
Budget Survey Results
1. Top Three to Five things Gunter does well.
▪ Working together to accomplish goals
▪ On same page – generally same goals
▪ Solve problems
▪ Water and Wastewater services
▪ Police and Fire
▪ Schools/ISD
▪ City Manager and Staff
Budget Survey Results
2. Top three to five things Gunter should improve.▪ Streets/roads
▪ Downtown plan/revitalization
▪ Image and transparency
▪ Infrastructure
▪ Promote/recruit businesses
▪ Invest more in parks, social/special events
▪ City officials meet regularly with citizens, so citizens can get to know elected officials; EX: coffee with Mayor, donuts at dawn, etc
▪ Future planning
▪ New city facilities; city hall, police, fire, library, etc
Budget Survey Results
3. Top three to five things in the upcoming budget.▪ Roads
▪ Downtown plan
▪ Training
▪ Increased park budget
▪ Roadway impact fees
▪ Sewer lines
▪ Parks updated
CITY MANAGER
ADMINISTRATION
City Secretary
Human Resources
Information Technology
Courts
Utility Billing
Purchasing
Communications and Marketing
FINANCE
Strategic Planning and
Budgeting
Risk Management
Revenue Collections
Accounts Payable
COMMUNITY DEVELOPMENT AND
PLANNING
Short Range Planning
Long Range Planning
Permitting
Building Inspections
Engineering
GIS
PUBLIC WORKS
Water/Waste Water
Streets
Parks
Drainage
POLICE
Patrol
Investigations
Animal Control
Code Enforcement
Traffic
FIRE
Volunteer
Operations
EMS
Fire Marshall
Emergency Management
Types of Funds
GOVERNMENTAL FUNDS
▪ General fund ▪ Special revenue funds ▪ Debt service funds▪ Capital project funds
PROPRIETARY FUNDS
▪ Enterprise funds▪ Internal service funds
FIDUCIARY FUNDS
▪ Trust funds (pension and other employee benefit, investment, private purpose) ▪ Agency funds
Governmental Funds
General Fund
Debt Service Fund
TIRZ
Fund
Street Maintenance
Fund
Governmental Funds
Proprietary Funds
Water & Sewer
Fund
Solid Waste Fund
General Fund: The General Fund is the principal fund of the City. The General Fund accounts are for the normal recurring
operating activities of the City (i.e. public safety, fire services, neighborhood and development services, municipal courts and
general government). Principally, these activities are funded by user fees, property, sales, and franchise taxes.
Accounting records and budgets for governmental fund types are accounted for using the modified accrual basis of accounting. That
is, revenues are recognized when they become measurable and available as net current assets. Expenditures are generally
recognized under the modified accrual basis of accounting when the related liability is incurred.
Enterprise Fund: The Enterprise Fund is used to account for operations that are financed and operated in a manner similar to a
business. Accounting records for proprietary fund types are maintained on an accrual basis, whereby revenues are recognized when
earned and expenses are recognized when incurred. Budget for the Enterprise Fund is prepared on a modified accrual basis.
Debt Service Funds: Debt Service Funds account for the payment of long-term principal and interest, as well as, the accumulation
of money for the repayment of debt payable in installments. For the General Debt Service Fund, the revenue sources are general
taxes, 4A and 4B contributions, and transfers in from the Tax Increment Financing (TIF) District #1 Fund. Accounting records and
budgeting for the Debt Service Fund is maintained on the modified accrual basis.
Capital Project Funds: The Capital Project Funds are used to account for the construction of major capital projects. The City has
three Capital Project Funds: Transportation Construction Fund, Utility Construction Fund and Park Construction Fund. The City
has undertaken a major prioritization process for its Capital Improvements Program (CIP) projects and this budget reflects that
prioritization. Accounting records and budgeting for the Capital Project Funds are maintained on the modified accrual basis.
Special Revenue Fund:
Fund Descriptions
Balanced Budget: Revenues > = Operating
Expenditures
General Fund Reserves for One Time Capital
Only
Maintain or Enhance Level of Service
Ensure Revenues/Expenditures
are Allocated to Appropriate Fund
Establish Fund Balance Policy for GF and UF
Enterprise Funds are Self-Sustaining
Budget Principles for FY 2021
Cost AllocationJack the Citizen
Jack the TaxpayerJack the Customer
Jack the
Taxpayer
Police
Fire
Administration
ParksJack the
Customer
Water
Solid Waste
Electric
Wastewater
▪ The 2020-2021 DRAFT Proposed Budget totals $2,790,813 or a decrease of $108,961 (3.8%) from last year
▪ General Fund $1,429,173▪ Debt Service Fund 280,763▪ TIRZ Fund TBD▪ Street Maint. Fund 96,750▪ Solid Waste Fund 128,635▪ Water & Sewer Fund 855,492
▪ TOTAL ALL FUNDS $2,790,813
Budget Summary
▪ No Water & Sewer Rate Increase proposed
▪ No Solid Waste Rate Increase proposed
▪ Propose a tax rate increase from .615 to .693
Why is a Property Tax Rate Increase Proposed?
1. ½ cent sales tax no longer offsets property taxes.
▪ By vote of the citizens last fall, the ½ cent sales tax is now dedicated to the Street Maintenance Fund ($129,000)
▪ The ½ cent sales tax generates - $129,000
▪ This is equivalent to 9.08 cents in property tax
Why is a Property Tax Rate Increase Proposed? (continued)
2. Taxable Property Tax Valuation has decreased
▪ 2020 – taxable valuation is $127,763,803▪ 2019 - taxable valuation was $167,165,163
▪ Tax Ceiling for Seniors (65) is $21,963,596 (an increase of $3,891,212 or 21.53% over last year). This is equivalent to 3.7 cents on property tax rate.
▪ Bridges TIRZ values of $56,573,217 was removed from General Fund property value taxable for debt and operations.
▪ 2020 - One cent in property tax rate generates $14,204 in revenue.▪ 2019- One cent in property tax rate generated $18,027 in revenue.
Budget Highlights
▪ Dedicated Street Maintenance Fund - $129,000
▪ Cost allocation from water/sewer fund was NOT achieved. General fund is subsidizing water/sewer fund approximately $150,000.
▪ Maintenance of existing operations
▪ Sales tax revenues have increased from $473,000 to a projected $517,000, a 9.5% increase.
▪ Contract services reduced from $40,000 to $17,000 (contract city manager)
▪ Education and Training increased from $13,000 to $19,300 in the General Fund
▪ A certification pay program is proposed to be implemented in police, fire and city secretary’s office. This is standard for the vast majority of cities.
Budget Highlights (Continued)
▪ The Assistant City Manager position is not funded this year
▪ $30,000 in Community Development for professional services.
▪ A proposed cost of living increase:▪ 3% for police and fire chief▪ 5% for all other employees
▪ $30,000 general fund ▪ $15,084 water/sewer fund
Next Steps
Tuesday, September 29, 2020
▪ Public Hearing on Tax Rate▪ Adopt 2020-2021 Annual Budget