MEMORANDUM

March 30, 2017 TO: Mayor and City Council Members FROM: Ben Canada, Interim Budget and Management Services Director SUBJECT: April 5 Council Budget Work Session City Council will meet Wednesday, April 5th, for the last of three budget work sessions. We will bring City Council information and updates on a variety of important policy areas, including future compensation policy and transportation investments. In each presentation, staff welcomes feedback from Council Members about policy considerations and budget priorities. Our agenda includes:

Agency Grant Recommendations Compensation System Study Update 2017 Transportation Bond Packages General Fund Major Revenue Update

For the 2017 Transportation Bond, the agency funding discussions, and the General Fund Major Revenue Update we have included presentations and additional backup materials.

One specific element of the Compensation System Update includes an introduction to new proposed pay structures. In this packet, we have included a memorandum with background information on step and broadband pay structures to serve as a preface to the update.

Please feel free to let me know if you have any questions in advance of the session.

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Nancy McFarlane, Mayor Kay C. Crowder, Mayor Pro Tem Mary-Ann Baldwin Corey D. Branch David N. Cox Bonner Gaylord Russ Stephenson Dickie Thompson

WEDNESDAY, APRIL 5, 2017 1:00 P.M. BUDGET WORK SESSION CITY COUNCIL CHAMBER

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A. MEETING CALLED TO ORDER BY THE MAYOR B. AGENDA

1. Agency Grant Recommendations Michael Leach, Human Relations Commission Chair

Gene Davis, Raleigh Arts Commission Chair George Adler, Housing & Neighborhoods Department

Kirsten Larson, Budget & Management Services Department

Chairs of the Human Relations Commission and Raleigh Arts Commission will present their groups respective recommendations for agency funding. City staff will present community enhancement grant recommendations and other outside agency grant requests.

Council Action:

Adopt arts grant recommendation from the Raleigh Arts Commission.

Adopt human service grant recommendations from the Human Relations Commission.

Adopt community enhancement grant recommendations from Housing & Neighborhoods Department panel.

Receive other outside agency grants requests as information.

2. Compensation System Study Update

C. Stephen Jones, Jr., Human Resources Ben Canada, Budget and Management Services

Staff will provide additional information related to the ongoing compensation system study. Specifically, staff will update City Council on the proposed new classification structure, new step and broadband structures, and share the long-term cost implications of these proposals.

Council Action: Receive as information.

3. 2017 Transportation Bond Packages Jason Myers, Transportation

Following on the information that was presented during the March 21, 2017 Council Work Session, staff will provide potential bond packages of varying focus and size for a more detailed discussion. Staff will also update Council on the inventory of potential projects and programs by category that could be considered for the potential bond package.

Council Action: Provide feedback on proposed bond packages.

4. General Fund Major Revenue Update Allison Bradsher, Finance

Staff will provide City Council with updated projections for property tax, sales tax, and utility franchise tax revenues.

Council Action: Receive as information.

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AgencyGrantRecommendationsApril5,2017

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HumanRelationsCommissionRecommendations

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RaleighArtsCommissionRecommendations

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CommunityEnhancementRecommendations

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CommunityEnhancementGrantReviewCommitteeRecommendations

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Applicant AmountRequestReviewCommittee

scoring(110pointspossible)

RecommendedAward

StepUpMinistry $60,000 94 $55,375DressForSuccess $25,000 91 $21,725FamilyPromiseofWakeCounty $17,663 86 $14,165FamiliesTogether $43,975 86 $36,794LucyDaniels $56,433 85 $46,941GuidingLights $15,000 71AllianceofAIDSServicesCarolina $20,000 68GreenChair $21,100 Noteligible

PreciousGiftsAchievementCenter $59,693 Didnotmeetthreshold

TheFriendsCommittee $29,600 Didnotmeetthreshold$348,464 $175,000

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OtherOutsideAgencyGrantRequests

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FY18OtherOutsideAgencyRecurringRequests

FY18 AgencyRequest

FY18BudgetAssumptions

ChamberofCommerce $170,000 $170,000

DowntownRaleighAlliance 161,382 108,450

HillsboroughStreetCSC 125,000 125,000

DHIC 113,000 108,000

PassageHome 100,000 90,000

Food BankofCENC(Year2of5) 75,000 75,000

CatholicCharities 68,000 51,000

Transitions LifeCare (Year3of4) 62,500 62,500

AdvanceCommunityHealth(Year2of5) 50,000 50,000

AfricanAmerican CulturalFestival 48,000 49,312

SoutheastRaleighAssembly 100,000 44,209

TotalRecurringRequests $1,072,882 $933,471

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FY18OtherOutsideAgencyNewRequests

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FY18Request

The YMCAoftheTriangle $2,000,000

CarolinaSmallBusinessDevelopment Fund 100,000

InterAct 100,000

CommunitiesinSchoolsofWakeCo 60,000

TriangleFamilyServices 50,000

Davner Theatricals (BurningCoal) 26,000

Bridge IISport 25,000

TheWireless ResearchCenterofNC 24,600

BlueRidgeCorridor Alliance 12,000

TotalNewAgencyRequests $2,397,087

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AgenciesApplyingtoOtherOutsideAgencyandArts/HumanServicesGrantCategoryEligibleforOOAFunding

AdvanceCommunityHealth* $50K BuildingRenovations BurningCoalTheatre $26K RoofReplacement InterAct $100K SecuritySystem TransitionsLifeCare* $62K BuildingRenovations

IneligibleforOOAFunding TriangleFamilyServices $50K Programming

*Multiyearfundingcommittedinpreviousfiscalyears 9

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OtherOutsideAgencyRequests Informationincludedinagendapacket:

Summaryspreadsheetofrequests Includes25%policycalculation,financialreviewresultsandtietoStrategicPlan

DetailsummaryofeachOOAgrantapplication Tablewithrequestsfromallcategories

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Questions?ContactInformation:

KirstenLarsonGrantsProgramAdministrativeManagerBudget&ManagementServices9199964276kirsten.larson@raleighnc.gov

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Agency Grant Funding SummaryCOMMUNITY ENHANCEMENT SUMMARY

ADOPTED ADOPTED FY18 AGENCY FY18 PANEL CHANGE 2015-16 2016-17 REQUEST RECOMMEND FY17 to FY18

Alliance of AIDS Services - Carolina - - 20,000 - 0.0%Communities in Schools Wake County 47,537 51,600 - - 0.0%Dress for Success Triangle NC - - 25,000 21,725 100.0%Family Promise of Wake County - - 17,663 14,165 100.0%Families Together - 22,500 43,975 36,794 63.5%Guiding Lights - - 15,000 - 0.0%Interfaith Food Shuttle - 31,000 - - 0.0%Lucy Daniels Center 42,000 - 56,433 46,941 100.0%Precious Gift Achievement Center - - 59,692 - 0.0%StepUp Ministry - 43,000 60,000 55,375 28.8%The Friends Committee - - 29,600 - 0.0%The Green Chair Project 36,738 26,900 21,100 - 0.0%The Hope Center at Pullen 48,725 - - - 0.0%

TOTAL COMMUNITY ENHANCEMENT 175,000$ 175,000$ 348,463$ 175,000$ 0.0%

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larsonText BoxAttachment 1: Agency Grant Funding Summary and Detail

ARTS AGENCY SUMMARYFY18 ARTS

ADOPTED ADOPTED FY18 AGENCY COMMISSION CHANGE 2015-16 2016-17 REQUEST RECOMMEND FY17 to FY18

Arts Per Capita FundingArts Access 16,496 16,037 22,000 19,753 23.2%Arts Together 150,209 164,603 175,000 170,188 3.4%Artspace 171,563 168,355 175,000 168,188 (0.1%)Artsplosure 168,319 169,516 172,490 163,434 (3.6%)Burning Coal Theatre Company 84,515 91,722 102,500 82,700 (9.8%)Carolina Designer Craftsmen Guild - - 10,000 7,425 0.0%Chamber Music Raleigh 33,650 26,917 26,000 20,187 (25.0%)Classical Voice Of NC 10,416 14,049 17,000 10,648 (24.2%)Community Music School 38,133 39,630 46,000 34,664 (12.5%)Contemporary Art Foundation 113,875 152,124 175,000 154,625 1.6%El Pueblo, Inc. 22,670 23,514 25,000 21,054 (10.5%)International Focus, Inc. 21,898 14,423 24,999 15,664 8.6%Justice Theater Project 53,923 66,500 75,600 74,736 12.4%Marbles Kids Museum 13,880 - 25,000 18,014 0.0%NC Master Chorale 49,169 53,581 57,415 51,168 (4.5%)NC Museum History Foundation 24,327 23,389 25,000 22,580 (3.5%)NC Opera 152,240 159,724 175,000 150,938 (5.5%)NC State University Theatre 12,177 15,224 20,000 15,621 2.6%NC Theatre 168,563 160,755 175,000 155,963 (3.0%)North Raleigh Arts & Creative Theatre 20,312 20,469 24,999 18,874 (7.8%)Nuv Yug Cultural Organization 13,640 14,522 18,000 13,523 (6.9%)Performance Edge 6,314 7,037 12,000 9,411 33.7%Philharmonic Association 14,888 23,007 24,000 23,691 3.0%PineCone 108,900