HomeMy WebLinkAbout1993-05-03 Council Packet - Budget Work SessionKenai City Council
Work Session
May 5, 1993
Budget
KEN&I CITY COUNCIL BUDGET WORK SESSION
KhY 3, 1993
KENRI SENIOR
6:00 P.K.
CITIZENS CENTER
COUNCIL PRESENT:
Williams, MCComsey, Bookey, Measles, Monfor, and Swarner.
COUNCIL ABSENT:
Smalley.
STAFF PRESENT:
Freas, Graves, Morris, Howard, Brown, McGillivray, Kornelis,
DeForest, Burnett and Porter.
DISCUSSION:
Sewer & Water Department - Pump truck, telemetry system and water
well.
Water i Seer Increase - Williams stated a 20% increase will
raise $182,000 and $185,000 is needed for a new telemetry system
and $10,000-15,000 will be needed for a test well. Williams
stated they are looking at a two-year spread -- late fall when
the telemetry system would be installed. Williams added one
other factor goes into this and that is the pump truck. Three
councilmembers.visited with Kornelis to view the pump truck.
Their opinion is to repair the truck at this time. The repair
will cost $50,000, which will include shipping the truck out,
repair of the truck, and shipping it back. It will take two to
three months.
Williams added the 1984 truck has 15,700 miles on the engine and
1,746 hours on the auxiliary engine. After reviewing the truck
and talking with the shop people, an anti -surge could be placed,
hydraulics repaired, painted, etc. and the cost would be
approximately $55,000 versus $200,000 for a new truck, or
$150,000 with a trade-in.
Brown stated the Water and Sewer Fund does not use the Capitol
Improvement Reserve. The cost for the truck would come from the
Water and Sewer Fund. Brown stated the present balance is
$690,000. Williams calculated $260,000 would cover the cost of
the telemetry system, well, etc. There would be a $430,000
balance. $182,000 would be raised from the water and sewer
increase.
-1-
Brown stated the telemetry system was taken out of the budget at
the last work session. Williams stated they were looking at
putting it back in.
Brown referred to Page 2 of his memorandum -- taking $235,000 out
of the Fund Balance with the telemetry system will leave $690,00
for the fund balance. Swarner asked why they were putting the
telemetry system back in. McComsey stated it was more important
than the truck. Swarner stated she thought they would be
drilling an exploratory well.
Williams calculated after one year there will be $637,000 in the
fund balance with a 20% increase in water and sewer charges.
Discussion followed regarding the fund balance and how it would
be affected in regard to the expenditures being discussed.
Brown stated if the purchase of the pump truck is removed, there
would be another $100,000 added to the fund balance and its total
would then be $550,000.
Brown stated he had $20,000 in the budget for an exploratory
well. Williams stated they have 18 months to deal with EPA and
asked what council was going to do. Discussion followed
regarding the cost of a well. Kornelis stated a rough guess for
the cost of a well, if placed by an existing well, would be
$100,000. Swarner asked if a good well is placed, will the
telemetry system still be needed.
Kornelis stated it would still be needed. Kornelis added the
telemetry system includes new electrical panels for all the lift
stations.
Measles asked when the test well would be drilled. Kornelis
suggested doing it during the time the water is the dirtiest in
the existing well so that they can monitor it as the test well is
being drilled. Probably late fall.
Measles stated he is concerned that if the test well is drilled,
they may find they should not wait 18 months to put in a new
well. Also, Measles was concerned about drilling a test well too
close to an existing well, in case the casing of the old well was
not placed properly, drilling a test well may not solve anything.
Kornelis stated the records show no problem.
Williams suggested placing the test well by Wellhouse No. 1.
Kornelis stated Wellhouse No. 1 is the best water and both wells
are needed. Wellhouse No. 2 is the dirtiest water. Kornelis
stated there is a third well, but he doesn't know anything about
it other than where it is located. Measles asked if the water
has been tested.from that well. Kornelis stated he didn't know.
-2-
It is an artisan well but doesn't know who drilled it or anything
about it. Kornelis stated there is another artisan well by
Angler of which he knows little about.
Williams asked Kornelis to find out more information about the
wells in order that the council make a better decision. Williams
stated they would leave the $20,000 in the budget for now.
Williams was asked by Measles and Swarner why the truck needed to
be sent out. Can someone from here do the work? Williams stated
the truck would need to he disassembled and it would be better to
have the maker of the truck do the work. The maker has the
blueprints, etc. Williams suggested Kornelis be sent out to
check the truck before it is sent back. Kornelis stated he would
send one of the shop men.
Williams asked if this was okay with council. Answer was yes.
Williams stated the truck would be sent out in late fall and it
will be returned in early spring. Cost will be approximately
$55,000. Arrangements should be made for the telemetry system
and raise the rates 20%. There should then be a balance of
$555,000.
FIRE TRUCK - Williams referred to a memorandum distributed by
Chief Burnett. Williams stated there was a question of whether
to get an 80 ft. truck or a 95 ft. truck with a platform. The
95' would be an extra $100,000.
Burnett stated after he reviewed the information thoroughly, he
believed the extra $100,000 would be better. Burnett stated the
construction of the rig is twice as heavy, has better hydraulics,
etc. Four people will fit in the bucket and people can be
brought down from upper,floors of buildings in wheelchairs. With
the other truck, a ladder would be used. Burnett stated the 80
ft. rig would meet the need of the city and pass the ISO rating.
Burnett has no problem with the 80 ft. rig. However, he wants to
be sure that in 30 years, the truck will still meet the needs of
the city. The extra cost of the 95 ft. truck is an estimate.
Burnett stated there are five or six companies that make the 95
ft. truck. Bookey asked if the fire house would need to be
enlarged. Burnett stated no, the truck would fit.
Monfor stated she did not think there was a question if the truck
will last thirty years. McComsey asked if both trucks could be
bid and than pick the one they want. Burnett stated yes.
Burnett added the bucket is the important part and the bucket is
not on the 80 ft. trucks. Burnett stated it will be a thirty-
year investment and the 95 ft. truck could lower the rating.
Williams stated he had discussed the fire department with Mayor
Gilman. With the new oil find in the Inlet, more businesses in
the area, etc., he and Gilman suggested the Kenai Fire Department
-3-
be combined with the Borough and a mill rate would be used to
support the department. Williams stated he would like to see
more information on that to see if it is to the city's benefit.
Monfor asked Burnett what he thought of the idea. Burnett stated
Kenai has the best fire department in the state. The Fire
Department is not costing the city that much to run. They have a
$4.8 million building that cost the city $1 million. All the
equipment is paid for and his personal feeling is if the
department were turned over to the Borough, the service would be
reduced.
Williams stated he believed it is costing Soldotna more now to
contract out to the borough. Burnett added that Soldotna City
Manager had no authority over their Fire Department during the
chlorine leak.
Monfor stated if she knew things would get better with the
Borough, the would consider it. Monfor stated she believed the
timing is premature. At this time, she does not want to give the
Borough anything. McComsey stated he did not want to become part
of the fights the Borough has with all the other areas. Williams
stated the discussion would be put "on the back burner for
another seven years."
FIRE TRUCK, CONTINUED: Swarner asked if either of these trucks
would be rented to Soldotna. Burnett stated it would be sent out
with the Mutual Aid Agreement only. Burnett added the fire plugs
will handle the gallons per minute.
Brown stated he understood it takes eight months for the truck to
be built, depending on when it is bid out. If it is bid the
right war, the purchase would be in the FY94 budget. Burnett
stated a purchase order would be sent, but no money. The actual
lease agreement would not be signed until delivery of the truck.
Brown added thrat a payment is not due until one year after the
lease is signed and delivery is taken.
Williams suggested specifying a delivery date after July 1, 1994
and do a lease -purchase. This would give them the opportunity of
appropriating an additional $300,000 next year and then it may be
able to be purchased outright.
Burnett stated a delivery date could be specified for after July
1. Brown stated the bid would not have to be delayed. This
could be written in the specifications.
Measles asked if both trucks could be bid with the understanding
in the bid that only one truck would be purchased. Brown
suggested both types of trucks could be bid and have them bid the
cash purchase or their lease options and council could decide
later. Brown added he is not sure that decision would have to be
-4-
made anytime soon. A letter could state that Kenai is ordering
it and will make a decision later as to how it will be paid for.
Brown thinks the kind of financing could be decided at the time
of delivery, which is one year away.
Measles stated after the order is placed, a big penalty would be
added if they don't go through with the purchase. Monfor stated
she believed they are of the.same mind to do the double bidding.
They want to pursue buying a truck. Burnett stated they should
be committed by the end of July. Brown stated that once the
purchase order is approved, it is a done deal.
McComsey stated he would like to bid both the trucks. Bookey
stated it would be fine with him. McComsey suggested a sixty -
ninety day bid time.
CON8ZNSUS: Both trucks will be bid. Timing will be left to
Administration to carry the purchase order to the next year.
FIRE PIT: Kornelis referred to his memorandum regarding the fire
pit. Bookey stated a six foot cylinder is not big enough as it
will crack from the heat. Discussion followed regarding the
cylinders and where to get them.
McGillivray suggested the concrete company bring their forms and
pour the concrete here as there are no footings, etc. Bookey
suggested Kornelis contact a mason and find out the cost for
casting them in place. Williams stated the money could be put in
the budget as it would not be built until after July. They will
discuss the matter later.
BEAUTIFICATION: Monfor stated $1,000 was lost in the operating
supplies and another $1,000 in repairs and maintenance. Monfor
suggested that instead of repairing Christmas decorations, that
new ones be purchased gradually to replace the old ones. Monfor
asked if the $1,000 was taken out of operating supplies for less
flowers? Brown stated yes.
Monfor stated she hoped the decrease of the budget is not the
beginning of the end of the fund. Brown stated seven years ago
this budget did not exist. Swarner stated in 1990 more money was
expended. Brown stated that in 1992 only $33,000 was spent.
Brown added this is one of those areas where it looks nice, but
it is a matter of how much money council wants to spend and in
his analysis, they just don't have the money.
Monfor stated she just hoped the whole effort wouldn't go away.
Monfor suggested a user fee for the ballfields. Williams stated
that then falls back on sales tax. McComsey added the
tournaments, etc. bring in a lot of sales tax paid. Swarner
-S-
stated the bed tax collections could also be used for this.
Brown stated he is more optimistic about the amounts of sales tax
to be received for next year.
McGillivray stated that when he and Brown met on this budget, he
stated he could live with it, but the salary hours have not been
raised for several years. McGillivray added that they are still
using the same amount of people in the summer but their work load
has increased with the additional areas they are caring for, i.e.
grass, flowers, KBVCC, Junior High, etc. It gets harder to care
for those areas.
Williams suggested that more personnel will need to be added next
year to parks and the shop. Monfor suggested that next year they
investigate contracting out some of the parks work. Measles
suggested investigating the contracting out of the mowing at the
ballfields, the green strip, etc. Monfor asked when the Forest
Drive Park be ready. McGillivray stated it will probably be
mowed this summer. They will be fertilizing and liming as soon
as possible.
Monfor asked if the big toy had been ordered. McGillivray stated
yes, it will be put in starting in June. They will be making
safety inspections first and then will start installation of
playground equipment.
Williams asked if more money should be budgeted for flowers.
Monfor stated no, she feels comfortable but doesn't want to see a
down turn. Monfor stated she is concerned about the Christmas
decorations looking bad. Williams suggested they try one more
year. Monfor agreed.
Williams stated they should think about rotating the purchase of
new trucks and cars for the city.
$6,000 added for the fire ring.
BREAK: 7:50 P.N.
BACK TO WORK: 8:05 P.N.
BOATING FACILITY: No changes.
AIRPORT T1=INAL FOND: Swarner asked if the security at the
airport terminal was necessary. Williams stated the security was
ordered last year because of trouble in the terminal. If we have
the same kind of summer this year, it may be needed. Ernst
stated the security checks the parking lots, terminal, etc.
People do leave the gates open and people get into the tie -down
areas, etc. They are hoping to resolve that problem with the
electric gates.
-6-
Ernst stated contingency was cut to carry the budget.
Maintenance and repair increased due to janitorial service, mat
cleaning, security, normal repairs.
No changes.
CONGREGATE SOUSING FUND: Williams discussed the ASHA problem in
regards to the non-discrimination clause. Williams stated Brown
tried to resolve the problem and had basically done so with the
former supervisor. The new supervisor wants the "aged and unwed
mothers, families, etc." put back in. If the contract is signed
now, single mothers with children would be able to rent there.
Williams stated the only way to get around it is to get a waiver
from HUD. Williams stated they may have to discontinue taking
ASHA tenants. Porter stated she believed the waiver is
forthcoming.
No changes.
AIRPORT LAND SYSTEM: Ernst stated the landing fees were down
from 90-91 because of more enplanements and more flights during
that time.
No changes.
AIRPORT ADMINISTRATION BUDGET: Swarner requested the $5,000 for
advertisement of the float plane basin be cut. Ernst requested
it remain for one more year. Fliers have been produced and a
advertising program is being put together now. Williams stated
advertisement is needed to get people to come from Anchorage,
etc.
Ernst stated there has been discussion regarding increasing the
6% market value FAA lease rate. Brown stated it can be
increased. Most appraisers say 10% is more like fair market
value. Ernst stated the airport is run lean. Williams suggested
the airport has enough revenue to have its own marking person for
the airport. Ernst stated they have been working on the
infrastructure over the year. Williams stated they may be coming
into an area where new ideas and marking procedures are needed.
Williams suggested they may want to test an on-line marking
position.
No changes made.
AIRPORT LAND SYSTEM: No changes.
SENIOR CITIZEN FUNDS: Porter discussed grant applications that
have been sent in. Porter added she will not know until the
middle of June what she will receive and then her budgets will be
revised. Porter stated they have more seniors using their
programs and are experiencing lower revenues.
-7-
No changes.
DEBT SERVICE FUNDS: Brown discussed the debt service fund.
Brown stated the 1974 bond is paid and an ordinance will be the
next packet for introduction regarding the 1980 bond debt. The
They have discussed the refinancing of the 1984 bond debt and an
ordinance will be up for introduction in the next packet.
QUESTI0X6 BROX COUNCIL:
Brown stated he would analyze the changes made tonight. However,
Brown added the only change made tonight was in water and sewer.
Brown stated there will be more taken out of the General Fund
than he wanted, but it could be worse. Brown added by the time
they get to June 30, the unappropriated fund balance will go down
as a result of this budget and approximately $200,000 as a result
of the Evergreen, Haller paving. Brown stated he would leave the
revenue figures alone and see where they come in. Brown added he
is fairly optimistic that things will be better, i.e. interest
revenue and sales tax, Kmart, etc. Brown stated he doesn't see
any black holes out there.
Swarner asked how bed tax collection was going. Brown stated he
has written threatening letters to those who have not paid.
There are four major hotels in Kenai. One is in bankruptcy and
one has not yet filed. Brown stated he has received $5,500 from
two hotels and some bed and breakfasts.
Williams suggested the ordinance be amended to reflect monthly
payment and conditional use permits being canceled if the tax is
not paid. Graves stated it needs to be made a condition of the
permit and then the ordinance will not have to be changed. The
condition use permits already out there could not be changed now.
Williams asked what if the ordinance be rewritten to make bed tax
payments retroactive. Measles stated it should be all permits
are subject to an annual review so that all taxes could be
investigated. Measles asked if there was anything in the
existing code for the permits to be revoked. Graves stated he
would have to check for conditions regarding local, state, and
federal law. All permits could be made to be revocable by the
city for not paying taxes.
Brown asked if council would like to see a monthly payment
schedule if they are delinquent on payment of taxes.
Measles asked about taxi permits and payment of sales tax. Has
anything been resolved. Brown answered no.
Monfor asked why state monies are going to other libraries and
not to the Kenai Community Library. DeForest stated there are
more libraries in our senate district.
-s-
The budget will be introduced on may 19, 1993. Work session
ended at 9:00 p.m.
Notes submitted by:
Carol L. Fr as, C ty Clerk
-9-
KENAI CITY COUNCIL WORK SESSION
XAY 3, 1993
KENAI SENIOR CENTER
6:00 P.M.
a. 4/28/93 CAB memorandum, FY94 Budget Updates through
April 27, 1993.
b. Clerk's notes of 4/27/93 FY94 Budget Work Session.
a. Begin with Beautification
TO:
FROM:
DATE:
SUBJECT:
1791-1991
CITY OF KENAI
%%Od eapdal 4 4ia�"
210 FIDALGO KENAI, ALASKA 99611
TELEPHONE 283-7535
FAX 907-283-3014
Kenai City Council
Charles A. Brown, Finance Director
C� Q
April 28, 1993
FY94 Budget, Updates through April 27, 1993
GENERAL FUND
Animal Shelter ($24,000 design only)
Fire Aerial
Parks Tractor
Public Safety Generator
Senior Center Utilities
Parks & Rec. Employee
Legislative - Donation to Visitors Bur.
Legislative - R.D.C.
Legislative - Lobbyist
Legislative - Christmas Party
Legislative - Change three donations
Beautification - Fire Pit
Building Inspector - Range B
Non -Dept. - Transfer, 1980 D/S
Non -Dept. - Transfer, Lease Caps
Total
Appropriation of F/B in Draft Budget
Appropriation of F/B, as adjusted
WATER AND SEWER
Exploratory Well
Telemetry System
Revenue Increase, 20%
Total
Appropriation of F/B in Draft Budget
Appropriation of F/B, as adjusted
Operating
15,600
4,634
5,000
<1,636>
24,000
4,000
<100>
4,000
1,225
<8,770>
<4.893>
43,060
480,594
$ 523.654
$ 20,000
<185,000>
<182,000>
<347,000>
396,840
S 49.840
Capital
Reserves
$ <326,000>
<425,000>
<17,000>
<88,000>
Memorandum
Kenai City Council
April 28, 1993
Page Two
Transfer from G/F (Revenues) $ <15,600>
KPB Five Year Grant (Revenues) 4,010
Supplies 4,766
Total <6,824>
Appropriation of F/B in Draft Budget 6,824
Appropriation of F/B, as adjusted S 0
Capital
Reserves
S -
CITY OF KENAI
FIRE DEPARTMENT
V.yy`O L��i
4� G
105 SOUTH WILLOW STREET
KENAI, ALASKA 99611 PREVENnON
(907) 283-7666 -*Z el
KENAI
9
TO: Mayor John Williams & Members of the Kenai City Council
FROM: David C. Burnett, Fire Chief
DATE: May 3, 1993
SUBJECT: 95' PLATFORM VS 80' AER
The 80' aerial will meet t
this time. A serious '''p
apparatus is a look at pr,
needs of the City.
APPARATUS
the _.:above types of apparatus I
ap#Fise you of my findings
)uldg"i erive by going one step
apj� tus approved at the last
i>n ,, i*" .requirements of the City at
�h J;merits of the 95' platform
ing" for. the not so distant future
The 95' platform holds four men in the basket at full extension at
0 degrees or above. At maximum extension. and at any elevation or
nozzle position the waterway can deliver 1000 GPM.
Advantages include 151; additx pad reach; operable by one man;
assist in rescue for,°peopl";that cannot descend a ladder
(handicapped/disabled/ e ld4&'Ayj;9�us'ed in`raising/lowering equipment
and manpower to the scene of: an"incident.
Additional cost for this apparatus is due to the addition of the
basket on the end of tfie l.-acider that includes additional
electrical, heavy duty hydraulic. adder jacks, breathing apparatus
system. The apparatus is provided with additional leveling jacks,
waterway, air system, an' as 'h d'eavy-duty ladder and apparatus
chassis.
Total cost for the 80' aerial is $425,000. Total cost for the 95'
platform is $525,000.
x S(A
All,
4;t 19-le
re , Wip"T
Now '1.0.:�* Z.
A........ 5;:
.,YAM
CD
MA;
Mngz 690sp.
J
ji
1.
4f
TO: Mayor Williams and City Council
FROM: Keith Kornelis, Public Works Direc�
DATE: May 3, 1993
SUBJECT: CUM= Me PiL Concrete
FOR: Council Work Session 5/3/93 - Budget
1 have received the following quotes:
1 ea. 6' ID x 2' tall fire cylinder delivered and set at prepared spot in Kenai
$692.00 smooth
$785.00 exposed aggregates
They have a job in our area so they can ship one to us at low costs. I don't know how long this
quote is good for.
1 ea. 4'0" x 3' tall $90/ft. _ $ 270.00
1 ea. 6'0" x 3' tall $175/ft. _ $ 525.00
1 ea. 7' 6" ID x 3' tall a $225/ft. _ $ 675.00
1 ea. 10'0" ID x 3' tall @ $500/ft. _ $1500.00
They will ship the 4'0", 6'0" and 7'6" rings for $100, but they can't ship the 1010" ring. They
can try to make exposed aggregate rings but it would cost a little more.
I will give a copy of this to Kayo McGillvray and Loretta Harvey for their use, Parks & Rec.
and Beautification. Maybe they can be used as planters also.
cc: Kayo McGillvray
Loretta Harvey
KK/kv
1791-1991
CITY OF KENAI
"O,cl C'apdQl 4 4"„
210 FIDALOO KENAI, ALASKA 99Q11
TELEPHONE 283 - 7535
FAX 907-283-3014
IMOPJMUN
TO: Kenai City Council
FROM: Charles A. Brown, Finance Director
�a�
DATE: April 26, 1993
SUBJECT: FY94 Budget
This is an update on the FY94 budget, summarizing
discussions at the April 12, 1993 work session and the April
21, 1993 Council meeting.
1) Animal Shelter: discussed,
no consensus.
2) Fire Aerial: discussed,
apparently left in.
3) Parks Tractor: deleted.
4) Public Safety Generator:
discussed, no consensus.
5) Fire Marshal: discussed,
apparently left in.
6) City Hall Telephones:
discussed, apparently left in.
7) Shop Computer: discussed,
apparently left in.
8) Street Grader: left in.
9) Parks & Rec. employee: change
from range 3 to 6. $ 4,634
10) Congregate Housing Utilities:
discussion postponed.
11) Water and Sewer Rate Increase:
discussed, no consensus.
12) Sewer Cleaning Truck:
apparently left in.
13) Water and Sewer Telemetry
System: no action.
14) Building Inspector: increase
initial hiring step to B. 1,225
$ <17,000>
Memorandum
Kenai City Council
Page Two
April 26, 1993
15) General Fund Transfers Out
(Page 32 of Budget):
a) If we retire 1980 Debt at
8-1-93, $38,300 can be
changed to $29,530.
b) Lease Caps: can change
$7,000 to $2,107.
<8,770>
<4,893>
Totals S <7,80j>
Suggested by: City Council
City of Kenai
ORDINANCE NO. 1505-92
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA ADDING A NEW
CHAPTER TO THE MUNICIPAL CODE ESTABLISHING ACCOUNTING PROVISIONS FOR
THE CONGREGATE HOUSING FACILITY.
WHEREAS, the City is constructing a forty -unit Congregate Housing
Facility for senior citizen residential housing; and
WHEREAS, the City Council desires to establish accounting provisions
that will ensure that monies are set aside for major capital repairs,
renewals, and replacements of the facility; and
WHEREAS, excess income not needed for a repair and replacement reserve
shall be transferred to the General Fund.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI,
ALASKA that the City of Kenai Code of Ordinances is hereby amended by
adding a new chapter to be numbered 7.32, which shall read as follows:
Chapter 7.32
CONGREGATE HOUSING FACILITY
Sections:
7.32.010 Congregate Housing Fund Created
7.32.020 Repair and Replacement Reserve
7.32.030 Transfer to General Fund
7.32.010 Congregate Housing Fund Created: The Congregate
Housing Fund is hereby created, which shall be an enterprise fund of
the City. The fund shall consist of the senior citizen residential
housing complex, including motor vehicle parking areas, adjacent
grounds, and other assets to be added to the facility. The fund shall
exclude the adjacent multi -purpose Senior Citizen Center. Interest
revenues earned on the fund's equity in the City's central treasury
shall accrue to the fund.
7.32.020 Repair and Replacement Reserve: There shall be
established a reserved retained earnings account which segregates
equity for significant repairs, renewals, and replacements of assets
of the fund. The annual deposit into the reserve account shall be the
sum of (a) and (b) below:
Ordinance No. 1505-92
Page Two
(a) The greater of (1) or (2) below:
(1) The first $50,000 of annual operating income,
after increasing financial statement operating
income by depreciation on assets financed by
grants externally restricted for capital
acquisitions,
(2) One-half of annual operating income, after
increasing financial statement operating income
by depreciation on assets financed by grants
externally restricted for capital acquisitions.
(b) Interest revenue earned by the fund based upon a
reasonable method of allocation.
(c) No addition to the reserve account, individually or
cumulatively, shall create a deficit in unreserved retained earnings.
It may be necessary to reduce the reserve account to eliminate a
deficit in unreserved retained earnings.
(d) The goal of the City is to continue such annual reserve
account deposits to obtain and maintain a balance of $500,000 in the
reserve account.
(e) Reserved equity may only be spent for purposes that are
determined by the City Council to be significant repairs, renewals, or
replacements to the fixed assets of the fund. Any such appropriations
shall be made by ordinance.
7.32.030 Transfer to General Fund: There shall be an annual
operating transfer from the Congregate Housing Fund to the General
Fund in the amount of (a) minus (b) below:
(a) Income before operating transfers, after increasing
such financial statement income by depreciation on
assets financed by grants externally restricted for
capital acquisitions,
(b) The annual reserve deposit required by KMC 7.32.020
above.
(c) No annual operating transfer shall create a deficit in
unreserved retained earnings.
PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 1st day of
--I-- .---
Carol L. Freas, City Clerk
Introduced: June 17, 1992
Adopted: July 1, 1992
Effective: August 1, 1992
Approved by Finance: C Q
(6/10/92)
kl
1791-1991
CITY OF KENAI
Ca-jea l 4 4iad" „
210 FIDALGO KENAI, ALASKA 99li11
TELEPHONE 293 - 7535
FAX 907.283-3014
TO: Department Heads
Cary R. Graves, City Attorney
Rim Howard, Administrative Asst.
Carol L. Freas, City Clerk
FROM: Charles A. Brown, Acting City Manager
eq4
DATE: March 24, 1993
The first draft of the FY94 budget, along with an
explanatory memo, is attached. Please review the budget and
memo, and plan to attend an optional staff meeting at 3:30
p.m. next Monday in the Council Chambers to discuss them.
1791-1881
CITY OF KENAI
"Od G'ard4� 4 44u�
210 FIDALCiO KENAI, ALASKA 99611
TELEPHONE 283.7535
FAX 907-283-3014
FY93-94
BUDGET MEMORANDUM
TO: Kenai City Council
FROM: Charles A. Brown, Acting City Manager
DATE: April 1, 1993
Accompanying this memo is the FY94 operating budget submitted in accordance with
KMC 7.25.010. A schedule for adoption of the budget is attached as Exhibit III.
s' 1
As you read this memo and the budget, you will notice a few changes in the direction of
planned City spending patterns. Resources are scarce, and we have reason to believe that
resources may be more scarce in the future. A budget should reflect the values of the
author. Toward that end, I have allocated our scarce resources toward the City services
that I believe are vital and most needed by the citizens. The same services that appear to
be most important to me also appear to be most desired by the taxpayers, based upon the
latest public opinion survey. It is my opinion that the City should prioritize spending
based upon the most valued services, which in my view are:
1) The first priority is public safety, those services that protect our lives and property.
2) The second priority is public works, those services that provide public utilities and
basic, modern amenities which we have grown to expect.
3) The third priority is what I call social services, things that make our lives more
pleasant, but are not necessities of life.
It is my hope that Council will find the shift in resource allocation to be minor; no
programs or personnel have been eliminated. I expect that individual Councilmembers will
have different priorities.
1
Before we get to the details, let's discuss the big picture. This budget is composed of the
following:
1) No tax rate increases.
2) No utility rate increases.
3) No cost of living increases for any employees.
4) No pay range changes for any employees.
5) The General Fund budget for FY94 is about $975,000 (14%) higher than last year.
This can be attributed to $1,080,000 of large purchases from reserve accounts.
6) One new position has been requested, a Fire Marshal.
7) The City's PERS rate was zero last year. In FY94 it will be 3.91%, adding
$156,000 of cost.
8) Health insurance costs are estimated at $4,800 per employee, up by $600 from last
year. This adds $50,000 of cost.
Total general fund revenues, exclusive of appropriation of fund balance and reserves, are
$6,361,210, compared with $6,244,200 in last year's original budget. This $117,010
increase is primarily from:
Property tax increase
$ 46,000
Sales tax increase
450,000
State revenue sharing decrease
-45,000
Municipal assistance decrease
-90,000
Fish tax decrease
-100,000
Interest revenue decrease
-262,000
Room tax increase
60,000
Transfer from airport increase
38,000
Transfer from congregate
housing increase
23,000
All other (net)
-2,990
Total revenue increase
17 010
Let's look at the most significant revenue sources.
Property tax: The total "current" (calendar year 1993) taxes are estimated to be
$980,000. The $46,000 increase is because of slightly higher assessed values.
The mill rate is 3.5. One mill produces $280,000.
E
Sales Tax: The estimate for FY94 is $3,200,000, up $450,000 from last year. Sales tax
finances 40% of the General Fund budget. It produces the equivalent of 11.4 mills
of property tax. I expect FY93 sales tax revenue to be $2,900,000. I arrived at
the FY94 estimate as follows:
FY93 estimate $2,900,000
3% growth 90,000
K-Mart (eight months) 210,000
FY94 estimate 3.200.000
K-Mart should start up in August, 1993. The April -June, 1994 quarter will be
FY95 revenue. So, that means I can only accrue eight months, not eleven months,
of FY94 revenue.
The projected $450,000 budgeted increase in sales tax has literally saved this
budget from proposing a 1.6 mill tax increase.
State Revenue Sharing and Municipal Assistance: These have been reduced 15%. The
Governor's budget called for a 25% reduction. The word from the legislature is
that the cut will be closer to 10%. 1 compromised.
Fish Tax: I've estimated only $100,000 for FY94. The actual revenue for FY92 (calendar
year 1991 season) was $133,000. The FY94 estimate is for the 1993 fishing
season. I've heard projections that it will be a poor season.
Interest Revenue: The FY94 estimate is down $262,000 from last year. Our current
average yield is 4.1%, but most new investments are at just over 3%. I'm
projecting 3.58% for FY94.
The first two lines of revenue on page four of the budget are appropriations of fund
balance. These are not true revenues; they are really monies taken from various savings
accounts to balance the budget. This concept is extremely important. The determination
of the proper amounts to be taken from savings is the basis for determining the level of
spending. Let's talk about the money I have planned to take from reserves first.
Reserves (includes designations) of Fund Balance: At June 30, 1993, I expect that the
City will have the following balances in reserve accounts:
3
Capital Improvements
$1,831,000
Debt Service
600,000
Self-insurance
112,000
Working capital
400,000
Equipment Replacement
900,000
Athletics
75,000
The budget appropriates $1,080,000 from these reserves. See page five of the
budget for details. $350,000 is being taken from the Capital Improvement Reserve
for a new animal shelter. $713,000 is being taken from the Equipment
Replacement Reserve for a fire aerial device, a public safety generator, and a street
grader. $17,000 is being taken from the Athletic Reserve for a Parks tractor.
The Equipment Replacement Reserve will also receive a $300,000 contribution in
FY94 (page 82). Thus, at June 30, 1994, the balance of this reserve will be
$487,000. We should plan on continuing this annual contribution.
I have stopped contributing money to the Capital Improvement Reserve. Even
after the animal shelter expenditure, $1,481,000 will remain in this account. With
the new restriction that any appropriation greater than $500,000 from this account
needs voter approval, this is enough for three large projects. That seems like
plenty.
Unreserved Fund Balance: I predict that, given no special appropriations between now
and the end of this fiscal year, the Unreserved Fund Balance at June 30, 1993 will
be $6,119,000. This is based upon the appropriation, needed to balance this
budget, from the Unreserved Fund Balance account of $480,594 that appears on
the first revenue line on page four of your budget.
This Unreserved Fund Balance is our savings for contingencies and for the future.
Look at the four-year history of this account:
4
This account, the City's primary savings account for lack of a better description,
has dropped in value for three straight years. The three-year decrease is
$2,341,000. This is not some sort of illusion, or caused by a shift of money from
the unreserved account to reserve accounts. The Total Fund Balance in the
General Fund during this three-year period is also down about $2,000,000. We
are simply spending more money than we are collecting.
The size of the General Fund Balance is still large by most standards. The
fundamental questions that Council must answer are: Do we want to continue
financing operations from our savings account? If so, what is the proper amount
to draw from savings to use in the FY94 budget?
Let's look at this last question three ways.
1) About $250,000 of a normal General Fund budget simply won't be spent.
That sounds like a lot, but it's only about 3.5% of the budget. Turnover,
vacancies, and long vacations will result in some monies not being spent.
So, the first $250,000 appropriated from Unreserved Fund Balance will
probably not really reduce the account by the end of FY94.
2) A $279,000 appropriation from Unreserved Fund Balance toward the
FY94 budget would result in no decrease in the Unreserved account from
June 30, 1992 to June 30, 1993. I'm projecting a $201,000 drop in this
account, based on the budget presented to you. For those who want to
see the numbers, they look like this:
Unreserved FB, June 30, 1992 $6,320,000
Unreserved FB, June 30, 1993-6.119,000
Decrease 201,000
Appropriation of Unreserved FB
in the FY94 budget-480,000
Appropriation of Unreserved necessary
to eliminate the decrease L_ 7�
3) Last year's original budget was balanced by appropriating $700,000 from
Unreserved Fund Balance. But, for FY94, we have eliminated a $200,000
contribution to the Capital Improvement Reserve. Thus, the status quo
would be a $500,000 appropriation from the Unreserved account for
FY94. (Of course, the status quo should result in a fourth straight year of
reduction in this account.)
5
Now, let's answer the question. How much should be taken from Unreserved
Fund Balance to balance the FY94 budget? In my opinion, the amount should be
about $300,000. As already stated, the budget is built on a $480,000
appropriation. That would require $180,000 to be cut from the budget, or
increase the tax rate by .6 mills.
But, even I am not willing to do that. I am willing to advise you that a $500.000
MroRd4jon from the Unreserved Fund Balance account is the absolute
maximum that should be made to balance the FY94 budget.
I don't know what Council's opinion will be. But you should decide on one right
now. Don't do it after you've decided what to add back to the budget. That will
make it too easy to just take the money from fund balance. Decide how much you
are willing to spend first.
U S500,000 is the agreed upon number, you can add $20,000 to the budget.
Any additions beyond that wiU require: (1) cuts in other expenditures, or
(2) an increase in the mill rate.
Now I hope you understand the reason for the time and space I've devoted to this
Fund Balance issue. Thanks for your patience.
Let's look at each department. Exhibit II shows a summary.
City Clerk: Virtually no change. Considering that PERS added $1,900 to this
department, the $317 total reduction for FY94 really represents fairly substantial
reductions in many operating accounts.
Visitors Center: Cut $3,000 (supplies and small tools). The $50,000 management fee is
unchanged.
Legislative: Cut by $39,000, primarily as follows:
Lobbyist
Transportation
Borough Caucus
Visitors and Convention Bureau donation
Christmas party
N iscellaneous - Miscellaneous
24,000
2,500
1,000
5,000,
4,000
5,000
6
Mostly, these are luxuries that I feel we can't afford anymore. The new City
Manager should take a more active role with lobbying. A more local AML will
lower travel costs.
City Attorney: The $26,000 increase is PERS and a large amount that I asked the
attorney to include for continuing Inlet Woods litigation.
City Manager: The $25,000 reduction is in salary and benefits.
Finance: The $7,600 total increase is less than the $8,600 added because of PERS.
Operating accounts have been cut.
Land Administration: A small $1,600 cut in Miscellaneous.
Non -Departmental: The department is increased nearly $314,000. That is very
misleading, because $350,000 is a new item, a transfer to a capital project fund to
build a new animal shelter. Financing is from the Capital Improvement Reserve.
See pages 32 and 147. The plan is to construct a new shelter that will be about
twice the size of the existing shelter, which is unsafe, too small, and literally falling
apart. I consider this a public safety issue, my highest priority.
The other accounts in this department have mostly been reduced, including a
$35,000 cut in insurance. We've put $6,200 in rentals for a new phone system for
City Hall.
Planning and Zoning: Increased by about $3,500, mostly in benefits.
Police: Of the total department increase of about $45,000, nearly $35,000 is PERS. But,
the lower pay for the new Chief resulted in a lower overall salary budget. This
department is well -financed, and very little change is recommended. One new
police car is being requested at a cost of $20,000.
The youth services position, which some Councilmembers have discussed
eliminating, serves a useful, needed purpose in deterring drug use. The position
creates a positive image by school children toward police authority. Public safety
is my highest priority; this position should stay in the budget.
Fire: By far, this department is being increased the most, nearly $500,000. First, I've
added a Fire Marshal position to the budget. Because of the way the position will
be filled, by promotion, the cost will be somewhat less than the actual salary and
benefits for the position (we wind up hiring a new firefighter). I'd say the cost is
about $60,000. But, the Chief assures me, and I'll be watching, that he can save
about $24,000 in overtime with this position by reducing daytime callbacks of off -
duty personnel during ambulance calls.
7
The Fire Marshal position is essential to accommodate the continually increasing
demands on the department. This position is responsible for all fire prevention
activities such as Fire and Life Safety inspections on all public buildings, plan
reviews, fire and arson investigations, planning and execution of all public fire
prevention and safety education programs.
In 1990, a Battalion Chief in charge of training was implemented and the Fire
Marshal position was not filled. The change was deemed necessary to comply
with new federal and state laws regarding training requirements for Officer
certification, Firefighter LW III, EMT/Paramedic, Hazardous Materials, OSHA,
NFPA, etc. The Fire Prevention duties were then distributed to the various shift
officers. It was felt at that time that we could accommodate both areas
satisfactorily. Unforeseen at the time was the substantial increase in emergency
call volume, an increase from 380 calls in 1983 to 665 calls in 1992. A growing
demand for plan reviews due to an increase in local construction added to the daily
activities essential to maintain the current level of service. This increase in call
volume is the basis for the deterioration of the Bureau of Fire Prevention. Hours
devoted to inspections have decreased from about 540 to about 200 in the last five
years.
A fire aerial device, at a cost of $425,000 is also being requested. Financing is the
Equipment Replacement Reserve. This should be enough to purchase a ladder
truck with a minimum of a 75' ladder. The I.S.O. requires a ladder truck for cities
with five buildings of three stories or more (or 35 feet or more) in height, or with
five buildings that require a fire flow greater than 3,500 gallons per minute. The
City currently has at least sixteen buildings that meet these criteria.
Again, both these budget items, the Fire Marshal and the aerial device, pass the
public safety priority test.
Communications: Up about $21,000. PERS accounts for $10,000 of the increase; health
insurance accounts for $4,000 more. $3,200 is for line charges for APSIN/NCIC
computer access, which is new this year (not a new service; there was no charge
before now).
Animal Control: There is only a $4,800 increase in this department. PERS contributes
$3,000 to the increase, so otherwise it is basically unchanged.
Public Works Administration: Up by about $14,000. PERS is about $7,000, and health
insurance is up about $2,000. Workers compensation insurance is up nearly
$5,000 in this department because of a reclassification by the workers comp.
auditor. Otherwise, there's not much change here.
Shop: This is up by about $113,000. Other than the benefit increases discussed above,
I've added $10,000 to repair and maintenance supplies and $95,000 to machinery
and equipment. See page 56 for details, but $88,000 is for a new generator at the
public safety building (Equipment Replacement Reserve). The existing generator,
over twenty years old, is only producing 741/e of its capacity, and is not reliable.
Even though this appears in the Shop budget (I suppose because they are tired of
the maintenance problems), I consider it a public safety issue.
Streets: This budget is up a net $177,000, but there are a lot of differences in the detail.
Two big items need explanations. First, the Director requested $55,000 for dust
control. This is for just one application. This cost has increased substantially in
the last couple of years. In my opinion, it is no longer worth the cost. I removed
it from the budget.
The other large item is a new grader at a cost of $200,000 (Equipment
Replacement Reserve). This would replace a 1975 Cat 12G grader that is in fair
condition, but is needing continuously more repairs and is not very reliable. It is
a matter of time, a short time, before it will need major repairs or replacement.
Buildings: This department is down slightly because of the lower salary for the new
Inspector.
Street Lighting: Utilities are up $7,000 because of utility rate increases and a few new
lights.
Library: The total department increase is only $2,800; and considering that the PERS
increase is $5,000, this department is mostly unchanged.
Recreation: Up about $7,000, but $5,500 is PERS. The rest of the department is much
the same as last year. I should discuss one personnel issue. When an
Administrative Assistant (Range 9) left the City a couple of years ago, we hired a
replacement at a Range 3. Apparently, there were discussions, in which I did not
participate, regarding a future range increase if the new employee performed well.
Of course, that's what a probationary period and normal step increases are for, so
I feel this range change was unnecessary. Now, the Director requests a range
increase for that individual to Range 6. As with all such requests, it was denied.
This situation is a little different, so I wanted to let Council know. However, I
oppose the pay range increase.
Parks: $17,000 of the $19,000 increase is for a new tractor (Athletic Reserve).
Otherwise, there is not much change here.
Beautification: The department total is only $5,000 less than last year. Frankly, this
department is my lowest priority. If I had to reduce expenditures in order to add
something else, or to avoid a tax increase, Beautification would be a prime
candidate for elimination. However, as it is, I've only cut $1,000 from operating
supplies (flowers), $1,000 from repair and maintenance supplies, $4,000 for more
9
Christmas lights (I know, Bah Humbugl), and $4,000 for a fire pit.
Other: Includes the $300,000 contribution to the Equipment Replacement Reserve and a
$75,000 contingency.
One final footnote to General Fund expenditures: Several departments requested new
pickup trucks. In my opinion, none of them are needed and all were denied.
The total budget for FY94 is $202,024, an increase of $15,529 from last year's original
budget. Nothing is really very notable about this department, except that the
Appropriation of Retained Earnings (similar to Unreserved Fund Balance in the General
Fund) is $50,024; it was $79,495 last year. That's some improvement, but still not good.
I expect that retained earnings will be about $260,000 at June 30, 1993, an increase of
$50,000 during FY93. FY93 results will be better than we had expected, primarily
because of fuel sales.
AIRPORT TERMINAL
This fund is in balance, is reasonable, and requires no appropriation of retained earnings.
At $295,000, it's about the same as last year.
CONGREGATE HOUSING
Rental revenues are estimated at $217,000, which is a 5% vacancy factor. Based upon a
formula that the Council adopted last year, $61,760 is scheduled to be placed in a Capital
Replacement Reserve and $58,760 of profits should be transferred to the General Fund.
Actual figures will be based upon actual FY94 operating results. There's a $9,600
contingency. Under the formula, this fund won't build a retained earnings, other than the
Reserve for Capital Replacement.
I see significant problems with this fiord, for FY94 and beyond. We last increased rates on
July 1, 1990. I'm not asking for a rate increase - yet.
First, let's discuss Fund Balance. At June 30, 1992, Fund Balance was $947,000. Then,
we appropriated $268,000 for the Thompson Park sewer interceptor. By June 30, 1993,
after the current year's operating results are in, I expect Fund Balance to be about
$690,000.
The FY94 budget calls for an Appropriation of Fund Balance of nearly $400,000 (see
page 96). This is an extraordinarily high figure. At this rate, the fund will be broke in two
years.
10
I'm not going to go through each department. I have trimmed and cut a lot of accounts.
The problems lie in a few, specific areas.
First, I've approved the purchase of a new $150,000 sewer cleaning truck. The existing
1984 model has a severely corroded tank and needs about $45,000 of repairs. It seems
more practical to buy a new one.
Next, there's a transfer to a capital project fund for a new monitoring system to signal
failures of the water and sewer systems. See page 147 for details. The cost is $185,000.
The current monitoring system has a maintenance problem. It fails frequently and lacks
reliability. Also, the Thompson Park sewer project will require expansion of the system;
it's questionable whether it would be practical to expand the existing, obsolete system.
Next, I've approved $106,500 in various machinery and equipment for the Sewer
Treatment Plant. See page 109. The single largest item is an $80,000 influent solids
grinder. This purchase is an attempt to solve two problems. One is that screenings from
the sewer plant influent are mixed with secondary sludge before hauling to the landfill.
This reduces the solids content of the combined material to below the State mandated
10% requirement. The material we place in the landfill contains too few solids. It also
leaks from the truck, posing a DEC violation.
The other positive aspect of this grinder will be to increase the food supply. The grindings
will become small enough to be treated by the plant, providing additional material to feed
plant organisms.
The three big items discussed above total $415,000. They are the cause of the very large
Appropriation of Fund Balance needed to balance this budget. I wish I could tell you that
these are one-time, unusual items that simply won't be repeated next year or in the years
beyond. But, I don't believe that. In this era of environmental controls and water quality
standards, combined with our diminishing excess sewer plant capacity, costs will continue
to increase.
This leads me to the Thompson Park water and sewer projects. I'd like Council to
reconsider its commitment to these projects. The interceptor line will cost $1,800,000, of
which $275,000 is City money. The water and sewer mains will cost $2,700,000, and we
have no grants lined up yet. Even if we do get grants for the mains, we've said we'll assess
the property owners at 25%. That money must be advanced, from the water and sewer
fund I suppose. 25% of $2,700,000 is $675,000. The water and sewer fund doesn't have
that much money. By June 30, 1994, the Fund Balance will probably be about $300,000,
before any advances for an assessment district.
This $4,500,000 cost to get water and sewer to Thompson Park is extremely expensive.
There are about 157 total lots with about 70 houses in Thompson Park. Therefore, the
11
cost is over $28,000 per lot. A better way to look at it is to consider the cost per house,
or cost per family; that figure is $64,000.
I am told that when Thompson Park comes on line, the sewer treatment plant will be
nearing capacity. An expansion will eventually be necessary and will cost millions of
dollars. I call on the Public Works Director to provide Council with information on this.
I ask Council to reconsider the entire issue of Thompson Park water and sewer. The
added revenues from utility billings will not come close to the added costs. The other
users on the system will pay for Thompson Park. At a minimum, you should put a hold on
awarding a bid for the interceptor line until we have all the money we need for the mains.
Pd hate to see a line to nowhere.
The budget is $1,123,000, but $481,768 is contingency and probably won't be spent. The
airport is paying more for general fund services. Rentals, interest, and transfers from the
land sale trust fund are sufficient to operate the airport. The only item in this budget of
which you should be aware is $5,200 to refinbish a police car for airport use.
There are three funds in this group. A summary appears in the draft budget document at
page 121. The total of all funds is $324,467, an increase of about $11,000. Because
resources and expenditures are shifted among departments and funds from year to year,
annual comparisons are difficult. A fourteen -hour per week Activity Coordinator is being
added, but a five -hour per week craft instructor is being deleted. Also, a driver position is
being cut from thirty hours per week to twenty-five hours per week.
There are a couple of changes in which you may be interested. In the past, mileage has
been charged to senior citizen departments at a rate of 20 cents per mile. That is
inconsistent with the way other departments are charged; they are charged the actual cost
of the fuel. Now that the senior citizen departments are charged on a cost basis, it should
save those departments about $3,000 per year.
In last year's budget, the General Fund provided a $4,000 subsidy for building utilities.
I've eliminated the subsidy. Of course, the General Fund is providing building and vehicle
maintenance and insurance at no cost.
The last $5,210 of a Legislative/Borough grant is being appropriated for FY94, $4,010 for
utilities and $1,200 for a display cabinet and shelves.
$6,824 is being appropriated from the Council on Aging -Borough Fund Balance to
balance the FY94 budget. At June 30, 1993, I expect that Fund Balance account to be
12
about $14,000. So, about half the available Fund Balance will be used for next year's
operations. This is not unacceptable, considering the limited scope of these operations.
With diminishing Federal, State, and Borough resources expected in the future, Council
can anticipate future pressure to provide tax resources to replace grants. Greater, not
fewer, General Fund subsidies will be requested. As I stated very early, social services is
my lowest priority. As grant revenues decline, the operations should be downsized as
necessary to avoid such subsidies.
s x1143,181
The 1967 Debt Service Fund has $390,000 of principal outstanding. The FY94 debt
service, including principal and interest, is about $89,000. The Fund Balance in the Debt
Service Fund is sufficient to make all future payments. Final maturity is 1998.
The 1974 Debt Service Fund will be closed at June 30, 1993. All debt has been paid.
The 1980 Debt Service Fund has $240,000 of principal outstanding. The FY94 debt
service is about $38,000, and is financed by a transfer from General Fund. Final maturity
is 2001.
The 1984/86 Debt Service Fund has $1,982,000 of principal outstanding, plus another
$823,000 of interest payments outstanding. The FY94 debt service is about $310,000.
Because of Inlet Woods, the Fund Balance has a deficit of about $600,000. The General
Fund is transferring $280,000 to help cover the FY94 debt service. Final maturity is 2005.
I placed an inquiry with the Alaska Municipal Bond Bank and Shearson Lehman Brothers
regarding refunding the 1984/86 bonds. The majority of the outstanding principal
($1,702,000) has been refunded once, in 1986, and carries interest rates of 4.5% to 7.5%.
In a February 1, 1993 response from Shearson Lehman Brothers, they project that another
refunding would produce a present value savings of $25,000. That is not enough to justify
a refunding.
13
Ex J, : b; 7r"
GENERAL FUND REVENUES 1993-94
ORIGINAL
12.31-92
12.31.92
MANAGER
001
ACTUAL
ACTUAL
ESTIMATE
ESTIMATE
ACTUAL
RECOKK.
f
4
ACCOUNT TITLE
1990-91
1991.92
1992-93
1992-93
1992.93
1993-94 INCREASE
INCREASE
APPROPRIATION OF FUND BALAMCE
D
702,562
854,434
0
480,594 i
221,966)
-31.61
APPROPRIATION OF RESERVED F/B
0
0
0
0
0
1,080.000 1,080.000
REAL PROPERTY, CURRENT
521,751
532,159
'71,00D
771,000
753,120
798,00D
27,000
3.54
REAL PROPERTY, PRIOR
27,886
17,322
15,000
15,000
7.507
15,000
0
0.0%
PERSONAL PROPERTY, CURRENT
112,696
102,441
133,000
133,000
146,9B2
153,000
:0,000
15.0%
PERSONAL PROPERTY, PRIOR
7,110
51217
41000
4,000
4,587
51000
1,000
15.0%
OIL PROPERTY, CURRENT
29,569
36,914
31,000
31,000
231354
29,000
! 2,000)
-6.5%
PERSONAL PROP. -VEHICLE
29,446
28,774
30,000
30,000
12,305
30,000
0
0.0%
INTEREST ON TAXES
15,221
6,263
5,000
5,000
8,912
10,000
5,000
100.0%
SALES TAX
2,688,287
2,798,475
2,750,000
2,750,000
1.560,985
3,200,000
450,000
16.4%
HOTEL/HOTEL ROOK TAX
0
0
25,000
25,000
0
85.000
60,000
240.04
UTILITY FRANCHISES
45,620
51,298
50,000
50,000
5.465
50,000
0
0.0%
BUILDING PERMITS
13,385
27,261
13,000
13,000
91606
20,000
7,000
53.84
?AII PERMITS
1,800
3,750
2,000
2,000
550
2.000
0
0.0%
ANIMAL LICENSES
1,180
779
1,000
1,000
291
1,000
0
0.0%
OTHER LICENSES AND PERMITS
335
235
250
250
60
250
0
0.0%
ANIMAL ADOPTION FEES
116B5
1,755
2,000
2,000
1,025
2.000
0
0.0%
ANIMAL IMPOUND FEES
21010
1,672
11,750
1,750
11126
2,000
250
14.3%
FEDERAL GRANTS, LIBRARY
0
1
0
1,823
3,182
0
D
0.0%
STATE GRANTS, GENERAL
0
51000
0
82,429
84,414
0
0
0.0%
STATE GRANTS, LIBRARY
17,000
15,705
0
13,615
13,615
D
0
0.0%
STATE REVENUE SHARING
345.607
333,633
300,000
300,000
302,046
255,000
( 45,0001
-15.0%
STATE MUNICIPAL ASSISTANCE
621,463
583,666
525,000
525,000
0
435,000
f 90,000)
-17.1%
FISH TAX
303.594
133,331
200,000
200,000
0
100,000
{ 100,000)
-50.0%
LIQUOR LICENSES
22,600
19,850
18,000
18,000
0
18,000
0
0.0%
ELECTRIC TAXES
31,000
33,022
32,000
32,000
0
32,000
0
0.02
GAMING DEVICES TAXES
0
( 799)
41000
4,000
48
4,000
0
0.0%
FINGERPRINT PEES
676
2,602
21000
2,000
804
2,000
0
0.0%
EXCAVATION FEES
505
625
500
500
120
500
0
0.0%
ATTORNEY FEES
0
11036
0
0
0
0
0
0.0%
RECREATION CENTER CHARGES
51,341
53,698
52,000
52,000
24,722
52,000
0
0.0%
TEEN CENTER CHARGES
12,059
81479
10,000
10,000
31919
81500
l 11500)
-15.0%
MEN'S BASKETBALL PROGRAM
71180
7,030
7,000
7,000
61910
7,000
0
0.0%
CEMETERY FEES
1.800
1,350
11500
11500
1,150
1,500
0
0.0%
COURT FINES
21,018
21,107
23,000
23,000
9,977
20,000
( 3,0001
-13.0%
LIBRARY FINES
91771
9,629
9,000
9,000
4,862
9400
0
0.0%
DEA FORFEITURES
3,210
0
0
0
0
0
0
0.0%
INTEREST ON INVESTMENTS
1,378,836
886,164
722,000
722,000
1,268,889
460,000
( 262,000)
-36.3%
LIBRARY DONATIONS
1,351
3,367
0
0
1,127
0
0
0.0%
KISCELLANEOUS DONATIONS
4,438
3,371
0
0
1,675
0
0
0.0%
RENTS AND LEASES
28,039
27,776
27,000
27,000
1B,440
27,000
0
0.0%
TIDELANDS RENTS
3,695
3,695
3,500
3,500
3,615
31600
100
2.9%
FT. KEMAY RENTS
4,825
1,537
3,000
3,000
0
D
13,0001
-100.0%
OIL & GAS LEASE/ROYALTIES
29,501
26,705
0
0
10,914
0
0
0.0%
SPEC. ASSESS. PRINCIPAL
9,714
19,913
10,000
10,000
1.457
700
( 9,300)
-93.0%
SPEC. ASSESS. INTEREST
2,147
1,893
2,000
21000
0
400
11600)
-80.0%
SALE OF OTHER ASSETS
12,220
400
0
0
11.301
0
0
0.0%
MISCELLANEOUS REVENUE
14,256
25,077
15,000
15,000
6,308
15,000
0
0.0%
TRANSFERS IN -TERMINAL
5,000
5,000
5,000
5,000
0
51000
0
0.0%
TRANSFERS IN -AIRPORT LAND SYS.
131,500
193,000
237,000
237,000
0
275.000
38,000
16.0%
TRANSFERS IN-VATBR AND SEVER
47,000
66,000
66,000
66,000
0
59,000
3,000
4.5%
TRANSFERS IN -TRUST FUND
102,195
101,751
100,000
100,000
0
100,000
0
0.0%
TRANSFERS IN-CONGREG. HOUSING
0
0
35,700
35,700
0
58,760
23,060
64.6%
TOTAL GENERAL FUND REVENUES 6,725,558 6,209,262 6,946,762 7,196,501 4,315.700 7,921,804 975,042 14.0%
1INERAL FUND EXPENDITURES
!11
(2)
(3)
(4)
1993-94
ORIGINAL
12-31-92
12-31-92
MANAGER
[(2)-(1)J [(3)I(1))
EIPENDED
EXPENDED
BUDGET
BUDGET HIP & ENCUN
RECOKK.
S
4
DEPARTMENT
1990-91
1991-92
1992-93
1992-93
1992-93
1993-94
INCREASE INCREASE
GENERAL GOVERNMENT:
CITY CLERK
64,938
63,278
16,166
76,187
34,522
75,851
( 317)
-0.4%
VISITORS CENTER
0
35,530
86,200
86,305
67,587
83,200
1 3,0001
-3.54
LEGISLATIVE
215,706
165,817
139,495
148,696
117,523
100,145
( 39,3541
-28.2%
CITY ATTORNEY
156,758
147,604
152,958
177,808
91,125
179,284
26,326
17.24
CITY MANAGER
120,183
119,634
126,642
127,484
51,527
101,378
( 25,264)
-19.91
FORT MAY
5,621
4,917
0
0
337
0
0
0.04
FINANCE
290,196
278,457
296,063
299,855
142,467
303,685
I,622
2.6%
LAND ADNIN.
491,005
721,546
81900
26,518
11,050
7,300
( 1,600)
-18.0%
NOK-DEPARTMENTAL
1,564,544
1,213,066
703,970
789,908
373,211
1,017,700
313,730
44.61
PLANNING & ZONING
37,791
42,188
41,953
48,953
23,116
48,508
3,555
7.91
TOTAL GENERAL GOVERNMENT
2,949.742
2,792,037
1,635,353
1,781,714
913,065
1,917,051
281,698
17.2E
PUBLIC SAFETY:
POLICE
1,142,501
1,196,213
1,237,586
1,213,587
585,795
',282,183
44,597
3.6%
FIRE
931,106
1,072,628
1,013,430
1,017,479
507,799
1,506.629
493,199
48.7%
COKKUNICATIONS
310,152
342,531
364.545
368,901
'90,472
385,465
20,920
5.7%
ANIMAL CONTROL
96,357
99,410
110,413
110,692
50,603
115,229
4,816
4.4%
TOTAL PUBLIC SAFETY
2,480,416
2.710,782
2,725,974
2,740,659
1,334,669
3,289,506
563,532
20.7%
PUBLIC MORES:
PUBLIC WORKS ADKIM.
207,198
218,179
231,242
232,301
104,085
244,882
13,640
5.9%
SHOP
453,114
428,093
397,351
399,228
185,161
510,304
112,953
28.4%
STREETS
454,695
366,838
391,354
422.955
159,527
568,506
177,152
45.3%
BUILDINGS
129,817
162,025
166,593
175,570
77,039
162,315
! 4,278)
-2.6%
STREET LIGHTING
80,235
103,756
55,000
76,483
49,724
62,000
7,000
12.7%
TOTAL PUBLIC WORKS
1,325,059
1,278,891
1,211,540
1,306,537
575,536
1,548,007
306,467
24.7%
LIBRARY & KUSEUK:
LIBRARY
263,331
273,3(4
272,905
296,474
178,011
275,745
2,840
1.0%
MUSEUM
7,223
9,018
0
585
536
0
0
0.0%
TOTAL LIBRARY & KUSEUK
270,554
282,362
272,905
297,059
178,550
275.745
2,840
1.0%
PARKS & RECREATION:
RECREATION
300,852
303,429
322,396
325,211
148,127
329,208
6,812
2.1%
PARKS
166,772
128,829
133,618
166,090
109,693
152,367
18,749
14.0%
BEAUTIFICATION
44,464
33,431
39.976
41,286
13.031
34,920
1 5,056)
-12.6R
TOTAL PARKS & RECREATION
512,088
465,689
495,990
532,587
270,851
516,495
20,505
4.1%
OTHER
0
0
575,000
537,945
0
375,000
( 200,000)
-34.8R
TOTAL GENERAL FUND
7,537,859
7,529,761
6,946,762
7,196,501
3,272,671
7,921,801
975,042
14.0R
ExA. b;t _2m
1993-94 BUDGET SCHEDULE
PROPOSED
SCHEDULE
MO
DT
YR
11
24
92
SEND REQUEST FORMS TO DEPTS.
2
25
93
REQUESTS DUE BACK TO FINANCE
3
10
93
FINANCE ASSEMBLES 1ST DRAFT & ANALYSIS
4
1
93
C.M. COMPLETES REVIEW. DISCUSSIONS WITH DEPTS.. RECOMMEND.
4
1
93
FINANCE COMPLETES DRAFT BUDGET & MEMO FOR COUNCIL
4
7
93
BUDGET PRESENTED TO COUNCIL AT THIS MEETING
5
7
93
COUNCIL WORKSESSIONS COMPLETE
5
19
93
RESO ON LEASE RATES -LAND
5
19
93
RESO ON LEASE RATES -TERMINAL (IF NEEDED)
5
5
93
INTRO ORD ON ANY PERSONNEL CHANGES (RAISES. POSITIONS. ETC.)
5
19
93
INTRO ORD ON BUDGET
5
21
93
AD ON BUDGET HEARING
5
19
93
ADOPT ORD ON PERSONNEL CHANGES
5
19
93
MOTIONS TO SET CM. CA. CC PAY. IF CHANGED
6
2
93
ADOPT ORD ON BUDGET
6
2
93
ADOPT RESO ON MILL RATE