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HomeMy WebLinkAbout2016-12-13 Council Packet - Work SessionAGENDA KENAI CITY COUNCIL WORK SESSION DECEMBER 13, 2016 — 6:00 P.M. KENAI CITY COUNCIL CHAMBERS 210 FIDALGO AVE., KENAI, AK 99611 http: / /www.kenai.city A. Call to Order (Mayor) B. Purpose of Meeting (City Manager) C. FY2017 Budget Issues (City Manager & Finance Director) D. FY2018 Budget Issues (City Manager & Finance Director) E. Public Comment (limited to 3 minutes per person) F. Council Discussion G. Adjournment All meetings are open to the public and participation is encouraged. Agendas and supporting documents are posted on the City's website at www.kenai.city . For additional information, please contact the City Clerk's Office at 907 - 283 -8231. CITY OF KENAI FY 2017 BUDGET PERFORMANCE & PROPOSED DECREASES IN PLANNED EXPENDITURES Estimated Budget Reduction $ (231,268.00) Estimated Revenue Shortfall $ (436,563.40) Estimated Budget Reduction $ 231,268.00 Net Estimated Revenue Shortfall to Achieve a Balanced GF Budget $ (205,295.40) * $112,416.05 unencumbered as of 12/12/2016. Each Dept. Director to justify any remaining Travel & Transportation to City Manager to determine if savings can be achieved. Proposed Code Department Description Budget Decrease Loss of Sales Tax Revenue $ 375,000.00 Loss of Choice Waiver Revenue $ 50,000.00 Loss of 5% Lapse of Est. Expenditures $ 11,563.40 Estimated Revenue Shortfall $ 436,563.40 001 -12 -4531 Legal Outside Legal Counsel $ 26,000.00 $ (16,000.00) 001 -13 -2024 City Manager Training For Supervisors $ 5,500.00 $ (5,500.00) 001 -18 -5041 Non - Departmental Employee Appreciation $ 5,000.00 $ (5,000.00) 001 -18 -9090 Non - Departmental Kenai Rec. Center Mech. Improv. $ 20,000.00 $ (20,000.00) 001 -18 -9090 Non - Departmental Event Park Schematic Design $ 35,000.00 $ (35,000.00) 001 -19 -2024 Planning & Zoning Stand -Up Desk for Planner $ 3,500.00 $ (3,500.00) 001 -22 -2024 Fire 5" Hose Replacement $ 7,250.00 $ (7,250.00) 001 -22 -8064 Fire Respiratory Fit Tester $ 8,200.00 $ (8,200.00) 001 -22 -4531 Fire Ambulance Billing Service $ 30,740.00 $ (6,000.00) 001 -40 -8064 Library Book Shelves- Children's Area $ 15,000.00 $ (15,000.00) 001 -45 -8064 Parks & Recreation 72" Mower Replacement $ 30,000.00 $ (30,000.00) 001 -60 -8062 Boating Facility $ 20,000.00 $ (20,000.00) 001 -XX -4533* Various Travel & Transportation $ 166,601.00 $ (40,000.00) Streets Temporary Employees $ (15,000.00) FY 2017 Projected Surplus (12/12/16) $ 151,560.00 $ (4,818.00) Estimated Budget Reduction $ (231,268.00) Estimated Revenue Shortfall $ (436,563.40) Estimated Budget Reduction $ 231,268.00 Net Estimated Revenue Shortfall to Achieve a Balanced GF Budget $ (205,295.40) * $112,416.05 unencumbered as of 12/12/2016. Each Dept. Director to justify any remaining Travel & Transportation to City Manager to determine if savings can be achieved. FY17 Adopted Budget Surplus Designated for Future Health Care FY16 Carryforward Encumbrances Ord. 2921 -2016 City Dock Repair Design Ord. 2920 -2016 FT HR & FT Admin III - City Manager Projected Surplus (Deficit) $ 151,560.00 (100,000.00) (50,308.83) (35,000.00) (61,433.00) $ (95,181.83) CITY OF KENAI FY 2016 POTENTIAL SIGNIFICANT BUDGET ISSUES FY 2017 State Budget item Description Contribution Estimated FY 2017 GF Budget Deficit PERS On- Behalf $ 281,404.00 Community Assistance (Municipal Revenue Sharing) $ 277,930.00 15% Health Care Increase FY2017 GF Budget $ 205,295.00 $ 1,406,078.00 Total FY 2018 GF Budget Worst Case $ (205,295.00) $ (281,404.00) $ (277,930.00) $ (210,911.70) $ (975,540.70)