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HomeMy WebLinkAboutOrdinance No. 3121-2020JC Sponsored by: Administration Kl;NAI C ITY O F KENAI ORDINANCE NO. 3121-2020 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA ADOPTING THE ANNUAL BUDGET FOR THE FISCAL YEAR COMMENCING JULY 1, 2020 AND ENDING JUNE 30, 2021 , AMENDING THE SALARY SCHEDULE IN KENAI MUNICIPAL CODE CHAPTER 23.55-PAY PLAN AND AMENDING EMPLOYEE CLASSIFICATIONS IN KENAI MUNICIPAL CODE CHAPTER 23.50. WHEREAS , it is a requirement of the Code of the City of Kenai, Alaska, that the City Council, not later than the tenth day of June, adopt a budget for the following fiscal year and make appropriation of the monies needed; and, WHEREAS, the fiscal year 2021 Budget includes a 0.22% increase to the City's Salary Schedule; and, WHEREAS , the pay increase will go into effect beginning July 1, 2020. NOW , THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI , ALASKA, as follows : Sect ion 1. That certain document entitled "City of Kenai Fiscal Year 2021 Annual Bu d get" which is available for examination by the public in the Office of the City Clerk, the City's website and is incorporated herein by reference is hereby adopted as the budget for the City of Kenai for the fiscal year commencing July 1, 2020 and ending June 30, 2021 . Section 2. The following sums of money are hereby appropriated for the operations of the City of Kenai for the fiscal year commencing on the first day of July, 2020, and ending the 30th day of June, 2021, to be expended consistent with and subject to the restrictions , procedures, and purposes set forth in the Code of the City of Kenai and to be expended substantially by line item in the manner shown in the budget adopted by Section 1 hereof: General Fund Enterprise Fund - Congregate Housing Fund Internal Service Funds: Equipment Replacement Fund Fleet Replacement Fund Employee Health Care Fund Total Internal Service Funds Special Revenue Funds: Personal Use Fishery Fund $ 16,873,839 755 ,181 590,633 74,81 1 2 .964,277 3 ,799 ,206 478 ,062 Ordinance No. 3121-2020 Page 2 of 3 Water & Sewer Fund 3,492,330 Airport Fund 3,109 ,245 Senior Citizen Fund 935,002 Total Special Revenue Funds 8,014,639 Permanent Funds: Airport Land Sale Permanent Fund 955 ,050 General Land Sale Permanent Fund 139,523 Total Permanent Revenue Funds 1,094,573 Debt Service Fund -Library Expansion Bonds 172,011 Total All Funds $30.539.964 Section 3. Amendment of Salary Schedule in Chapter 23 .55 of the Kena i Municipal Code: That the Salary Schedule in Kena i Municipal Code Chapter 23 .55-Pay Plan, is hereby replaced in its entirety to read as follows : Classified employees excluding those engaged in fire protection activities. Range A B c D E F AA BB cc Step $10.52 $10 .78 $11.05 $11 .31 $11.57 $11 .84 $12.10 $12 .36 $12.62 1.1 11.04 11.32 11 .59 11 .87 12 .14 12.42 12 .70 12.97 13 .25 2 11.75 12.04 12 .3 4 12.63 12 .93 13.22 13.51 13.81 14.10 2 .1 12.37 12 .68 12.99 13.30 13.6 1 13.92 14 .23 14.53 14 .84 2 .2 13.08 13.41 13.73 14.06 14 .39 14.72 15 .04 15.37 15.70 2.3 13.74 14 .08 14.43 14.77 15.11 15.46 15 .80 16.14 16.49 2.4 16.04 16.44 16.84 17.24 17 .64 18.05 18.45 18.85 19 .2 5 2.5 18.18 18.63 19.09 19.54 20.00 20.45 20.91 21.36 21.82 3 18.29 18.75 19.20 19.66 20.12 20 .58 21 .03 21 .49 21.95 4 19.2 1 19.69 20.17 20.65 2 1.13 21.61 22.09 22.57 23.05 5 20.16 20.66 21.17 2 1 .67 22.18 22.68 23.18 23.69 24.19 6 21 .16 21 .69 22.22 22.75 23.28 23.81 24.33 24.86 25 .39 7 22.24 22.80 23.35 23.9 1 24 .46 25 .02 25.58 26.13 26.69 8 23.36 23.94 24.53 25.11 25.70 26.28 26.86 27.45 28.03 9 24.52 25.13 25.75 26.36 26.97 27.59 28.20 28.8 1 29.42 10 25.73 26.37 27.02 27.66 28.30 28.95 29.59 30.23 30.88 11 27.02 27.70 28 .3 7 29.05 29.72 30.40 31 .07 3 1.75 32.42 12 28.40 29 .11 29.82 30 .53 31.24 31 .95 32.66 33.37 34.08 13 29.79 30.53 3 1 .28 32.02 32.77 33.51 34.26 35.00 35.75 14 31.29 32.07 32.85 33.64 34.42 35.20 35.98 36.77 37.55 15 32.84 33.66 34.48 35.30 36.12 36.95 37.77 38.59 39.41 16 34.49 35.35 36.21 37.08 37.94 38.80 39.66 40.53 41.39 17 36.2 1 37.12 38.02 38.93 39.83 40 .74 41.64 42.55 43.45 18 38.01 38.96 39.91 40.86 41.81 42 .76 43.71 44.66 45.61 19 39.92 40.92 41 .92 42.91 43.91 44.91 45.91 46.91 4 7.90 20 41 .92 4 2 .97 44.02 45.06 46.11 47.16 48.21 4 9.26 50.30 2 1 44.04 45.14 46.24 47.34 48.44 49.55 50.65 51.75 52.85 22 46.20 47.36 48.51 49.67 50.82 51 .98 53.13 54.29 55.44 23 48.53 49.74 50.96 52.17 53.38 54.60 55.81 57.02 58.24 24 5 1 .02 52.30 53.57 54.85 56.12 57.40 58.67 59.95 61.22 Ordinance No. 3121-2020 Page 2 of 3 Classified employees engaged in fire protection activities Range A B c D E F AA BB cc Step 13 21.28 21 .81 22 .34 22 .88 23.41 23.94 24.47 25.00 25 .54 14 22.35 22.91 23.47 24 .03 24.59 25.14 25.70 26.26 26 .82 15 23.47 24.06 24.64 25 .23 25 .82 26.40 26.99 27.58 28 .16 16 24.64 25 .26 25 .87 26.49 27.10 27.72 28.34 28.95 29 .57 17 25.88 26.53 27 .17 27.82 28.47 29.12 29.76 30.41 31.06 Department Head Service employees Range Minimum Maximum 18 $79,084 $104,382 19 81 ,108 109,586 20 87,201 115, 117 21 91 ,591 120,903 22 96,108 126,857 23 100,944 133,256 24 106,120 140,076 Section 4 . Severability: That if any part or provision of this ordinance or application thereof to any person or ci rcumstan ces is adjudged invalid by any court of competent jurisdiction, such judgment shall be confined in its operation to the part, provision, or application directly involved in all controversy in which this judgment shall have been rendered , and sha ll not affect or impair the validity of the remainder of this title or application thereof to other persons or circumstances. The City Council hereby declares that it would have enacted the remainder of this ordinance even without such part, provision, or application . Section 5. Effective Date : That pursuant to KMC 1.15.0?0(f ), this ordi nan ce shall take effect July 1, 2020. ENACTED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 20th day of May, 2020 . ATIEST: BRIAN GABRIEL SR., MAYOR Introduced : May 6, 2020 Ena cted : May 20 , 2020 Effective: July 1, 2020 C it y of K enai I 21 0 r=idalgo A ve, K enai. AK 99611 -7 7941907.28 3 .7535 I www.kena i.city MEMORANDUM TO: THROUGH: FROM: DATE: Mayor Brian Gabriel and Kenai City Council Paul Ostrander, City Manager Terry Eubank April3,2020 SUBJECT: Ordinance 3121-2020 Adopting the FY2021 City of Kenai Budget The purpose of this memo is to summarize the changes that have been proposed to the FY2021 Budget since disbursement of work session materials on April 15th , and to commun icate the result of these changes on each of the City's operating funds. The following are the Administration's recommended changes that have been incorporated into the draft budget and appropriating ordinance. Amounts in brackets ( ) are decreases and amounts without bracket are increases. New summary pages for the all funds, after incorporating the c hanges, are attached for your review. Administration Recommended Amendments: General Fund Expenditures: Clerk -Health & Life Insurance Legal -Health & Life Insurance Manager-Health & Life Insurance Human Resources -Health & Life Insurance Finance -Health & Life Insurance Non-Departmental Transfers Out Planning & Zoning -Health & Life Insurance Police -Health & Life Insurance Fire -Health & Life Insurance Communications -Health & Life Insurance Animal Control -Health & Life Insurance Public Works Administration -Health & Life Insurance Shop -Health & Life Insurance Streets -Health & Life Insura n ce Buildings -Health & Life Insurance Library-Health & Life Insurance Parks, Rec reation & Beautification -Health & Life Insurance Boating Facility-Health & Life Insurance $( 574) (574) (574) (287) (1,363) (1,225) (488) (5,453) (5,740) (2,296) (861) (418) (86 1) (1 ,559) (665) (1 ,865) (1 ,251) (80) $(26.1 34) These changes are the result of increasing the employee's share of health and life insurance costs by 1% to 11% from 10%. General Fund Expenditures: Visitor Center -Professional Services $10,000 This increase is needed to reflect the negotiated amount for the facility management services to be provided by the Kenai Chamber of Commerce General Fund Expenditures: Manager -Travel & Transportation Recommended reduction by City Manager. General Fund Expenditures: Non-Departmental -Salaries Non-Departmental -Medicare Non-Departmental -Social Security Non-Departmental-Unemployment Insurance Non-Departmental -Workers Compensation Non-Departmental -Repair & Maintenance Supplies Non-Departmental-Small Tools Non-Departmental -Repair & Maintenance Police -Salaries Police -Medicare Police -Social Security Police -Unemployment Insurance Police -Workers Compensation Police -Repair & Maintenance Supplies Police -Small Tools Police -Repair & Maintenance Library -Salaries Library -Medicare Library -Social Security Library -Unemployment Insurance Library-Workers Compensation Library -Repair & Maintenance Supplies Library -Small Tools Library -Repair & Maintenance $(3 ,000) $ 21 ,948 318 1,361 110 345 1,228 610 (20,000) 10,609 154 658 53 167 1,176 305 (11 ,736) 10,609 154 658 53 167 1, 176 305 (33.540) $(13.11 2) These changes are needed to implement the plan to hire four (4), fourteen (14) hour per week janitors to provide janitorial services to the Kenai Community Library, Kenai City Hall, a nd Kenai Police Department in lieu of contracting these services out. Page 2 of 4 The City of Kenai I www.kenai.city General Fund Expenditures: Non-Departmental -Machinery & Equipment Non-Departmental -Printing & Binding $14,000 ( 2 .900) $11.100 To provide for the purchase of a replacement copier for City Hall with a payback period of less than four years because of lower per copy costs for maintenance and supplies. General Fund Expenditures: Shop -Operating Supplies $(7,400) Recommended reduction by department because of reductions in the size of the City's overall fleet which it is maintaining. General Fund Expenditures: Streets -Rentals $48,800 The cost for rental of two (2) moto graders for five months each year was inadvertently omitted from the draft document. Its inclusion is critical to the plan to sell two (2) existing moto graders and replace with rented units annually. General Fund Total Administration Recommended Expenditure Changes Personal Use Fishery Fund Expenditures: Streets -Health & Life Insurance Parks, Recreation & Beautification -Health & Life Insurance Dock -Health & Life Insurance Total Administration Recommended Expenditure Changes $20:254 $( 44) (182) (~) $~ These changes are the result of increasing the employee's share of health and life insurance costs by 1% to 11% from 10%. Airport Fund Revenues: Terminal Rents & Leases Terminal Parking Fees Usage Fees -Landing Total Administration Recommended Revenue Changes $(107,856) (25,000) ( 56.626) $f189A82) Revision to original revenue estimates projecting no second signatory airline for one-half (1 /2) of the fiscal year. Expenditures: Terminal -Health & Life Insurance $( 479) Page 3 of 4 The City of Kenai I www.kenai.city Airfield -Health & Life Insurance Administration -Health & Life Insurance Other Buildings & Areas -Health & Life Insurance Total Administration Recommended Expenditure Changes ( 57:3 ) ( 479) ( 184) $~ These c hanges are the result of increasing the employee's share of health and life insurance costs by 1 % to 11% from 10%. Congregate Housing Fund Expenditures - Congregate Housing -Health & Life Insurance $(112) These changes are the result of increasing the employee's share of health and life insurance costs by 1% to 11 % from 10%. Water & Sewer Fund Expenditures: Water -Health & Life Insurance Sewer-Health & Life Insurance Wastewater Treatment Plant-Health & Life Insurance Total Administration Recommended Expenditure Changes $( 703) (670) ( 895) $<2 .268) These changes are the result of increasing the employee's share of health and life insurance costs by 1% to 11% from 10%. Senior Citizen Fund Revenues- Transfer From General Fund Senior Citizen Fund Expenditures: Access -Health & Life Insurance Congregate Meals -Health & Life Insurance Home Meals -Health & Life Insurance Transportation -Health & Life Insurance Choice Waiver-Health & Life Insurance Total Administration Recommended Expendi ture Changes $( 359) (3 3 4) (285) (86) ( 199) $(1.263) These changes are the result of increasing the employee's share of health and life insurance costs by 1% to 11% from 10%. Employee Health Care Fund Revenues: Charge for Services Partic ipant Premiums Total Administration Recommended Revenue Changes $(30,6 19) 30 ,960 $ 341 These are the revenue impacts of increasing the employee's share of hea lth and life insuran ce costs b y 1% to 11 % from 10%. Page 4 of 4 )(? The City of Kenai I www.kenai.city City of Kenai Fiscal Year 2021 Operating Budget General Fund Budget Projection Ori ginal Actual Actual Budget Projection Proposed Projection P r ojection FY2018 FY2019 FY2020 FY2020 FY2021 FY2022 FY2023 TAXABLE VALUES (OOO 'S ) $ 871 ,076 $ 871 ,829 $ 892,023 $ 894,277 $ 907,656 $ 921 ,528 $ 935,891 MILL RATE 4 .35 4 .35 4 .35 4.35 4.35 4 .35 4 .35 R EVENUES Property & Sales Tax es Property Tax 3,868,445 3 ,890,087 3,940,692 3 ,950,304 3,977,338 4 ,078,474 4 ,139,703 Sales Tax 6,854,253 7 ,159,094 7 ,387,175 6 ,988,193 7,116,759 8 ,856,364 9 ,077,773 Total Property & Sales Ta xes 10,722,698 11 ,049,181 11 ,327,867 10,938,497 11 ,094,097 12,934,838 13,217,476 Intergovernmental Revenue: PERS Funding 218,726 414,458 470,553 470,553 634,517 653,553 673,160 Community Assistance 250,852 21 0,345 171 ,001 174 , 116 76,068 76,068 76,068 Fish Tax 118,543 128,413 130,000 61 ,077 100,000 103,000 106,090 Other 101 120 140 088 60 500 210 4 28 110 300 115815 121 606 T o tal State/Federal Revenue 689,241 893,304 832,054 916 174 920,885 948,436 976,924 Other Revenue Licen ses and Permits 93,863 85,212 105,500 111 ,00 0 86,000 88 ,580 91 ,237 A mbulance Fees 443,544 410,409 500,000 450,000 500,000 515,000 530,450 Interest 45,801 37 8,064 180,000 150,000 150,000 90 ,084 92, 131 Other 585,268 652,774 659146 713 045 659 911 679 708 700 099 Total Other Revenue 1,168,476 1,526,459 1444646 1 ,424,045 1,395,911 1,373,372 1413917 T otal R evenues 12,580 ,415 13,468,944 13,604,5 67 13,278,716 13,41 0 ,893 15,256,64 6 15,608,317 T ran sfer From Other Funds Charges to other fu nd s 1,542 ,390 1,568 ,593 1,596,000 1 ,596,000 1,681 ,1 00 1,731,533 1,783,479 Capital Projects I Special Revenue 283,221 50,000 50,000 50,000 50 ,000 50,000 Enterprise 400,000 Trust Fund 16 1 56 1 124,252 137 239 139,523 142 313 145 159 Total Transfer s 2,103,951 1,851,814 1,770,252 1 ,783,239 1,87 0 ,623 1,923 846 1,978 638 Total Rev enu es and Tran sfer s 14,684 366 15,320,7 58 15,374 ,819 15,061 ,955 15,281,516 17,180,492 17 ,586,955 EXPENDITURES/APPROPRI ATIONS General Government 2 ,347 ,926 2 ,905,898 3 ,397,394 3,424,760 3 ,711 ,889 3 ,788,535 3 ,860,369 Public Safety 7,075,41 7 7 ,227,836 7 ,7 33,840 7 ,889,718 7,97 5 ,853 8 ,120,733 8 ,268,51 1 Public Works 2,270,210 2 ,267,632 2 ,399,834 2 ,416,629 2 ,511 ,588 2,455,007 2 ,500,534 Parks, Recreation & Cu ltura l 2,134,422 2,1 17 ,734 2,244,028 2,289,066 2,172,565 2 ,076,262 2,1 14,527 Total Oper ating Expen ditures 13,827,975 14,519,100 15,775,0 96 16,020,173 16,371 ,895 16,440,537 16,743 ,941 T ransfers or No n-Operating 833,913 622,298 781,205 794 114 518 578 1,357,219 1,554,358 Total E xpenditures/Appropriations 14,661,888 15, 141 ,398 16,556,301 16,814,287 16 ,890,473 17,797 ,756 18 ,298 ,299 Total Surplus (Deficit) 22,478 179,360 (1 , 181,482) (1, 752 ,332) (1,608,957) (617,264) (71 1,344) Projected Lapse -5 % 788,755 801 009 818,595 822 ,027 837 197 Adjusted Surpl us (Deficit) 22,478 179 ,360 (392,727) (951 ,323) (790,362) 204,763 125,853 Beginning Fund Balance 10,548,206 10,570,684 10,240,277 10,750,044 9,798,721 9,00~,359 9,213,122 Ending Fund Balance 10,570,684 10,750,044 9 ,847,550 9 ,798,721 9 ,008,359 9 ,2 13 ,122 9 ,338,975 Restricted (682 ,068) (741 ,748) (754,068) (781 ,748) (81 7,748) (853,748) (889,748) Committed (6 ,976,762) (7 ,116,039) (6 ,841 ,807) (7,048,9 17 ) (6 ,081 ,646) (6 ,738,914) (6 ,992 ,196) Assigned (2,416 ,658) (2,418,240) (2,251,675 ) (1,968,056) (2 , 108,965) (1,620,460) (1,457,031 ) Unassigned Fund Balance $ 495 ,196 $ 4 74 01 7 $ $ $ $ $ City of Kenai Fiscal Year 2021 Operating Budget Budget Projection Fund : 006 · Personal Use Fishery Fund Original Actual Actual Budget Projection Proposed FY2018 FY2019 FY2020 FY2020 FY2021 Revenues PERS Grant $ 1,546 $ 2,743 $ 4 ,637 $ 4 ,169 $ 5,688 Usage Fees Beach Parking 174,613 118,309 146,460 144,330 146,460 Beach Camping 210,269 129,938 170, 100 149,788 164,900 Dock Launch & Pa rk 111,528 91 ,358 101 ,600 105,515 106,000 Dock Parki ng Only 12,010 9,547 10,800 11 ,736 12,000 Participant Drop-off Fee 7,481 5 ,943 6 ,715 4 ,698 6,715 Total Usage Fees 515,901 355,095 435,675 416,067 436,075 Miscellaneous Revenues Investment earnings 1,522 7 ,624 750 750 750 Other 674 {3,250) {3,500) {4,208) {4,000) Total Miscellaneous Revenues 2 ,196 4 ,374 {2,750) {3,458) {3,250) Total Revenue 519,643 362,212 437,562 416,778 438,513 Expenditures Public Safety 114,542 92,515 88,051 88, 146 81 ,211 Streets 32,938 42,695 55,235 55,290 50,389 Boating Facility 56,380 45,077 64,161 64,279 90,850 Parks, Recreation & Beautification 225,445 277,025 241,588 245,362 205,612 Total E xpenditures 429,305 457,312 449,035 453,077 428,062 Transfers -General Fund 50,000 50,000 50,000 Total E xpenditures & Transfers 429,305 457,312 499,035 503,077 478,062 Contribution To/(From) Fund Balance: 90,338 (95, 100) (61,473) (86 ,299) (39,549) Projected Lapse 18,722 83,327 15,428 Adjusted (Deficit)/Surplus 90,338 (95, 100) (42,751) (2 ,972) (24, 121) Beginning Fund Balance 203,556 293,894 169,622 198,794 195,822 Ending Fund Balance $ 293,894 $ 198,794 $ 126,871 $ 195,822 $ 171 ,701 City of Kenai Fiscal Year 2021 Operating Budget Budget Projection Fund : 010 -Water and Sewer Fund Original Actual Actual Budget Projection Proposed FY2018 FY2019 FY2020 FY2020 FY2021 Revenues PERS Grant $ 17,347 $ 35,066 $ 42,205 $ 42,205 $ 55,288 Usage Fees Service Hook-up 2,608 2,408 3,063 3,063 3,185 Residential Water 830, 102 832 ,835 872 ,821 872 ,821 872,822 Commercial Water 327,519 328,718 349,128 349, 128 349,129 Residential Se wer 1,182,083 1,183,824 1,245,429 1,245,429 1,245,430 Commercial Sewer 453,930 467,204 484,901 484,901 484,901 Total Usage Fees 2 ,796,242 2,814,989 2,955,34 2 2,955,342 2,955 ,467 Miscellaneous Revenues Penalty and Interest 36,959 43,415 41 ,600 41,600 41 ,600 Interest Earnings 11 ,775 108,222 12,480 12,480 12,480 Other 24,775 14,916 3 ,000 3,000 3,000 Total Miscellaneous Revenues 73,509 166,553 57,080 57 ,080 57,080 Total Revenues 2,887,098 3,016,608 3,054,627 3,054,627 3,067 ,835 Expenditures Water Department 841,231 898,037 1,037,087 1 ,098,432 919,415 Sewer Department 456,195 394,495 594,826 594 ,826 588 ,881 Wastewater Treatment Plant Department 1,116,312 1,141 ,780 2,055,544 2 ,055,544 1,984,034 Total Expenditures 2,413,738 2,434 ,312 3,687,457 3 ,748,802 3,492 ,330 Contribution To/(From) Fund Balance: 473,360 582,296 (632,830) (694,175) (424,495) Projected Lapse (6%) 140,997 144,078 137 ,895 Adjusted (Deficit)/Surplus (491 ,833) (5 50,097) (286 ,600) Beginning Fund Balance 2,070,432 2 ,543 ,792 2 ,936,894 3,126,088 2,57 5,99 1 Ending Fund Balance $ 2,543,792 $ 3, 126,088 $ 2,445,061 $ 2 ,575,991 $ 2,289,39 1 City of Kenai Fiscal Year 2021 Operating Budget Fund: 008 -Airport Fund Department: Airport Fund Summary Original Actual Actual Budget Projection Proposed FY2018 FY2019 FY2020 FY2020 FY2021 Revenues State & Federal Grants $ 21,891 $ 36 ,883 $ 42,663 $ 1,665,421 $ 55 ,254 Usage Fees Fuel Sales 10,685 21 ,650 17,500 28,000 28,000 Fuel Flowage 12,093 9 ,571 15,000 10,000 15,000 Float Plane 722 1,554 750 750 750 Tie Down 6 ,832 7 ,130 7,500 7 ,500 7 ,500 Landing 401 ,556 410,697 505,500 307,500 300,874 Plane Parking 9 ,018 10,287 10,000 10,000 10,000 Total Usage Fees 440,906 460,889 556,250 363 ,750 362,124 Rents and Leases Land 691 ,152 570 ,675 563 ,293 563 ,293 504,665 Total Rents and Leases 691 , 152 570,675 563,293 563 ,293 504,665 Miscellaneous Penalty and Interest 7,513 4 ,926 5,000 5 ,000 5,000 Interest on Investments 20,563 155,283 35,000 35 ,000 35,000 Other 9,769 23,285 10,000 10,000 10,000 Total Miscellaneous 37,845 183,494 50,000 50,000 50,000 Terminal Revenue Parking Fees 223,360 229,757 250,000 175,000 200,000 Rents and Leases 317,431 355,868 395,344 355,344 367,645 Penalty and Interest 3,989 7,516 4 ,500 7,500 7,500 Car Rental Commissions 171 ,096 178,767 180,000 200,000 120,000 Advertising Commissions 10,648 13,940 9,000 9,000 12,000 Miscellaneous 3,983 3,366 1,500 3,000 3,000 Total Terminal Revenue 730,507 789,214 840,344 749,844 710, 145 Transfers In Airport Land Trust Fund 1,210,348 1,203,690 908 ,811 928,251 955,050 Total Transfers In 1,210,348 1,203,690 908 ,811 928,251 955,050 Total Revenues 3,132,649 3,244,845 2,961 ,361 4 ,320,559 2,637,238 Expenditures Airport Terminal 578 ,328 2,121 ,504 616,753 617,312 666,607 A irport Airfield 1,631,810 1,744, 189 1,750,795 1,776,919 1,874,687 Airport Administration 621,759 533,185 348 ,507 340,024 358,462 Airport Other Buildings and Areas 261 ,943 152,640 248 ,777 256,036 171,014 Airport Train i ng Facility 36,125 257,088 38,474 507,209 38,475 Total Expenditures 3,129,965 4 ,808,606 3,003 ,306 3,497,500 3,109,245 Contribution To/(From) Fund Balance: 2 ,684 (1,563,761) (41,945) 823,059 (472 ,007) Projected Lapse (6%) 116,016 116,015 122,079 Adjusted (Deficit)/Surplus 74 ,071 939,074 (349 ,928) Beginning Fund Balance 5,076 ,306 5,078,990 3,592,404 3,515,229 4,454,303 Ending Fund Balance $ 5,078 ,990 $ 3,515,229 $ 3,666,475 $ 4,454,303 $ 4 ,104,375 City of Kenai Fiscal Year 2021 Operating Budget Fund: 019 -Senior Citizens Fund Department: Title Ill Summary Original Actual Actual Budget Projection Proposed FY2018 FY2019 FY2020 FY2020 FY2021 Revenues State Grants $ 198,577 $ 204 ,464 $ 205,831 $ 205,831 $ 212 ,504 USDA Grant 18,958 24,938 20,000 20,000 20,000 Choice Waiver 195,012 135,444 125,000 125,000 125,000 KPB Grant 126,207 126,207 126,207 126,207 161 ,612 United Way 9 ,598 3 ,631 15,000 Rents and Leases 8,324 8 ,174 13,000 13,000 13,000 Donations 47,668 8,494 32,000 32,500 32,500 Donation -Senior Connection 50,000 100,000 50,000 50,000 50,000 Meal Donations 82,8 37 67,998 82 ,500 72 ,500 72,500 Transfer from General Fund -Operations 176,739 182,027 239,208 239,899 224,801 Transfer from General Fund -Capital 14 , 100 14,100 Other (42) (9) 300 300 300 Total Revenue 913,878 861 ,368 923,146 899,337 912 ,217 Expenditures Senior Citizen Access 157,065 140,539 191 ,256 191 ,415 180,075 Congregate Meals 220,661 231 ,082 26 1,266 264 ,057 262 ,518 Home Meals 205,562 202 ,637 223 ,664 224,663 230,951 Senior Transportation 80,087 80,929 104 ,527 104,596 100,417 Choice Waiver 250,503 232 ,910 165,893 166,066 161,04 1 Total Expenditures 913 ,878 888,097 946,606 950,797 935 ,002 Contribution Tol(From) Fund Balance: (26,729) (23,460) (51 ,460) (22 ,785) Projected Lapse (3%) 23,460 23,586 22 ,785 Adjusted (Deficit)/Surplus (26,729) (27,874 ) Beginning Fund Balance (26,729) (54,603) Ending Fund Balance $ -$ F6.729) $ -$ i54,603) $ i54,603) City of Kenai Fiscal Year 2021 Operating Budget Budget Projection Fund: 009 -Congregate Housing Fund Original Actual Actual Budget Projection Proposed FY2018 FY2019 FY2020 FY2020 FY2021 Revenues PERS Grant $ 1,153 $ 1,995 $ 2,865 $ 2 ,865 $ 3 ,909 Rents and Leases 394,618 407,714 406, 145 401 , 145 417,533 Interest on Investments 2 ,558 21 ,630 4,000 4,000 4,000 Miscellaneous (300) 474 (707) Total Revenues 398,029 431,813 413,010 407,303 425,442 Expenses 475,300 455,468 496,568 496,568 495, 181 Net Income (loss) (77,271 ) (23,655) (83 ,558) (89,265) (69,739) Beginning Retained Earnings 506 ,832 570,007 482,690 679,542 609,723 Capital Asset Acquistions (7 ,256) (121 ,000) Allocated to Capital Projects (121 ,000) (260,000) Credit for Depreciation 140,446 140,446 140,446 140,446 140,446 Available Retained Earn ings $ 570,007 $ 558,542 $ 539 ,578 $ 609,723 $ 420,430 City of Kenai Fiscal Year 2021 Operating Budget Fund: 011 -Employee Health Care Fund Department: 18 -Health Care Fund Summary Original Actual Actual Budget Projection Proposed FY2018 FY2019 FY2020 FY2020 FY2021 Revenues Charge for Services $ 1,903,581 $ 2,148,495 $ 2,436,200 $ 2,436 ,200 $ 2,636,734 Participant premiums 236,949 258,664 282,312 252,345 369 ,849 Transfer from Other Funds I nterest Earnings 836 9,285 1,000 4,000 6 000 Total Revenues 2 ,141 ,366 2,416,444 2,719,512 2,692 ,545 3 ,0 12,583 Expens es 2 ,010 ,581 2,257,555 2,598,511 2 ,598 ,511 3 ,133,762 Net Income (loss) 130,785 158,889 121 ,001 94,034 (121 , 179) Beginning Reta ined Earnings 117,637 248,422 100,000 407,311 501,345 Available Retained Earn ings $ 248,422 $ 407,311 $ 221 ,001 $ 501 ,345 $ 380, 166 FY2 019 FY20 20 FY20 21 Difference % Change Em p loyer c ost per position: Fu ll-time $ 20,031 $ 22,715 $ 24,700 $ 1,985 8.74% Part-time 10,016 11 ,358 12 ,350 992 8.73% Employee monthly premiums: Employee only $ 98.00 $ 102.00 $ 129.00 $ 27.00 26.47% Employee with chi ld(ren) 178.00 204.00 234.00 30.00 14.71 % Employee with spouse 196.00 185.00 257.00 72 .00 38.92% Employee with fami ly 268.00 278.00 353.00 75 .00 26.98% Part-time employee only 455.00 469.00 567.00 98 .00 20.90% Part-time employee w/Children 1 ,173.00 1,394 .00 1,436.00 42.00 3.01 % Part-tim e employee w/Spouse 1 ,349 .00 1,212 .00 1,649.00 437 .00 36.06% Part-time employee w/Family 2 ,070.00 2,141.00 2,522.00 381 .00 17.80% City of Kenai Fiscal Year 2021 Operating Budget Fund: 061 -Equipment Replacement Fund Department: 59 -Equipment Replacement Fund Summary Original Actual Actual Budget Projection Proposed FY2018 FY2019 FY2020 FY2020 FY2021 Revenues Rents & Leases $ 324,104 $ 369,949 $ 321,754 $ 321,326 $ 314,507 Interest Earnings 7 ,006 40,479 14,000 25,000 30 ,000 Other income 25,000 513,750 75,000 Total Revenues 331 , 110 410,428 360,754 860,076 419 ,507 Expenses -Depreciation 160,125 162,060 190,000 190,000 190,633 Net Income (loss) 170,985 248,368 170,754 670,076 228,874 Transfers out (400,000) (400,000) Total net income (loss) and transfers out (229,015) 248,368 170,754 670,076 (171, 126) Beginning Net Position 3,157 ,316 2,928,301 4 ,136,538 3 , 176,669 3,846,745 Ending Net Position 2,928,301 3, 176,669 4 ,307,292 3 ,846,745 3,675,619 Invested in Capital Assets (1 ,754,920) (2, 578, 197) (2,404,366) (2,583,643) (2,393,010) Unrestricted Net Position $ 1,173,381 $ 598,472 $ 1,902,926 $ 1,263 ,102 $ 1,282,609 City of Kenai Fiscal Year 2021 Operating Budget Fund: 063 -Fleet Replacement Fund Department: 59 -Fleet Replacement Fund Summary Original Actual Actual Budget Projection Proposed FY2018 FY2019 FY2020 FY2020 FY2021 Revenues Rents & Lea ses $ -$ -$ -$ -$ 147,821 Interest Earnings 8 ,000 Other income 62 ,589 Transfer In 400,000 Captial Contribution 269,693 Total Revenues 269,693 618,410 Expenses -Depreciation 74,811 Net Income (loss) 269,693 543,599 Transfers out Total net income (loss) and transfers out 269,693 543 ,599 Beginning Net Positi on 269,693 Ending Net Position 269 ,693 813,292 Invested in Capital Assets (491 ,652) Unrestricted Net Position $ -$ -$ -$ 269,693 $ 321 ,640 City of Kenai Fiscal Year 202 1 Operating Budget Budget Projection Land Sales Permanent Funds Original Actual Actual Budget FY2020 Proposed FY2018 FY2019 FY2020 Projection FY2021 FUND 082-52 Airport Land Sales Permanent Fund Revenues Acct. 36610 Investments Earnings $ 1,513,454 $ 1,279,938 $ 1,333 ,556 $ 3,891 ,464 $ 1,486, 160 A cct. 36645 Interest on Land Sale Contracts 14,276 10,000 10,000 10,000 Acct. 33640 Land Sales 9 ,234 455,207 Total Rev enue 1,522,688 1,7 49,421 1,343,556 3,901 ,464 1 ,496,160 Expenses Transfer to Ai rport Land System Fund 1,210,348 1,203,690 908,811 928,251 955,050 Contributions To/(From) Fund Balance 312 ,340 545,731 434,745 2 ,973,213 541 , 110 Beginning Fund Balance 24,280 ,015 24,592,355 24,892,866 25 ,138,086 28 , 111,299 Ending Fund Balance $ 24,592,355 $ 25, 138,086 $ 25,327 ,611 $ 28 , 111 ,299 $ 28,652,409 FUND 081-52 General Land Sales Permanent Fund Revenues Acct. 36610 Investments Earnings $ 187,598 $ 164,838 $ 175,829 $ 578,494 $ 194,330 Acct. 36645 Interest on Land Sale Contracts Acct. 33640 Land Sales 54,001 775 Total Revenue 241 ,599 165,61 3 175,829 578,494 194,330 Expenses Transfer to General Fund 161 ,561 124 ,252 137 ,239 139,523 Contributions To/(From ) Fund Balance 80,038 165,613 51 ,577 441 ,255 54,807 Beginning Fund Balance 3 ,049 ,9 39 3 , 129 ,977 3 , 156,822 3,295,590 3 ,736,845 Ending Fund Balance $ 3 ,129,977 $ 3 ,295,590 $ 3 ,2 08,399 $ 3,736 ,845 $ 3,791 ,652 City of Kenai Fiscal Year 2021 Operating Budget Fund 048 -Debt Service Original Actual Actual Budget Projection Proposed FY2018 FY2019 FY2020 FY2020 FY2021 Revenues Bond Interest Subsidy 34 ,996 35,127 32,607 32 ,607 30,493 Transfer from General Fund 142,002 143,271 140,097 140,097 141 ,518 Total Revenue 176,998 178,398 172,704 172,704 172 ,011 Expenditures Parks, Recreation & Culture 176,998 178,398 172,704 172,704 172 ,011 Contributions To/From Fund Balance Beginning Fund Balance Ending Fund Balance $ -$ -$ -$ -$ City of Kenai I 210 ~ida l go Ave , Ken ai, AK 99611 -77941907.283.7535 I www.kenai.cily MEMORANDUM T O: THROUGH: FROM: DATE: Mayor Brian Gabriel and Kenai City Council Paul Ostrander, City Manager Terry Eubank, Finance Director May 12 , 2020 SUBJECT: Recommended Amendment to Ordinance 3121-2020 Adoption of FY2021 Budget. The purpose of this memo is to recommend amendments to the FY2021 Draft Budget and FY2021 Budget adoption ordinance, Ordinance 3121-2020, and the basis for each recommendation. New summary pages for the impacted funds, after incorporating these changes, are attached for your review. Amounts in brackets represent decreases and amounts with no brackets represent increases in budgeted amounts . Budget Document Amendments General Fund Expenditures: Human Resources (Page 93) Computer Software Non-Departmental (Page 106) Transfers Budget Ordinance Amendments $( 9,025) ( 7.609) $(16.634) The following amendment is needed to Ordinance 3121 -2020 to in corporate this recommendation . Amend the General Fund appropriation amount in Section 2 to be $16,873,839 and amend the Total All Funds appropriation amount to be $30,709.449. Included in the Kenai Peninsula Borough 's FY2021 Operating Budget is additional funding for the Kenai Senior Center for services provided to seniors who live in the K-Beach and Cohoe census districts. The result of receiving this additional $43,014 , $7,609 more than projected at the time of budget introduction , is a decrease in the required General Fund Transfer to the Senior Citizen Fund. Employee recruitment software for Human Resources was budgeted at $14,000 at the time of introduction for renewal of a three-year agreement to provide software . After introduction the City was informed that three-year agreements are no longer offered and a one-year renewal would be $4,975. Budget Document Amendments Senior Citizen Fund (Page 238) Revenues: KPB Grant Transfer From General Fund -Operations Budget Ordinance Amendments Non-Required Budget Document Amendments Employee Healthcare Fund Revenues: (Page 260) Participant Premiums Expenditures: (Page 261 ) Insurance Budget Ordinance Amendments $ 7,609 (7.609) $ - $(20.592) $(169.485) The following amendment is needed to Ordinance 3121-2020 to incorporate this recommendation . Amend the Employee Health Care Fund appropriation amount in Section 2 to be $2,964,277 and amend the Total All Funds appropriation amount to be $30,539.964. Reduction in participant premiums and insurance expenditures reflect cost savings to employees and the City resulting from a better than projected renewal this year. Page 2 of 2 The City of Kenai I www.kenai.city City of Kenai Fi scal Yea r 2021 Operating Budget General Fund Budget Projection Origi nal Actual Actual Budget Projection Proposed Projection Projection FY2018 FY2019 FY2020 FY2020 FY2021 F Y2022 F Y2 023 TAXABLE VALUE S (ODO'S) $ 871,076 $ 871,829 $ 892,023 $ 894,277 $ 907,656 $ 921 ,528 $ 935,891 MILL RATE 4.35 4.35 4 .35 4.35 4.35 4.35 4 .35 REVENUES Property & Sales Taxes Property Tax 3,868,445 3,890,087 3,940 ,692 3,950,304 3 ,977,338 4 ,078,474 4 ,139,703 Sales Tax 6,854,253 7,159 ,094 7 ,387,175 6,988 , 193 7 ,116,759 8,856,364 9 ,077 ,773 Total Property & Sales T axes 10,722,698 11 ,049, 181 11 ,327,867 10,938,497 11 ,094,097 12,934,838 13,217,476 Intergovernmental Revenue : PERS Funding 218,72 6 414,458 470,553 470,553 634,517 653,553 673,160 Comm unity Assistance 250,852 210,345 171,001 174,116 76,068 76,068 76 ,068 Fish Tax 118,543 128,413 130,000 61 ,077 100,000 103,000 106,090 Other 101 120 140,088 60 500 210,428 110,300 115815 121 606 Total State/Federal Revenue 689,241 893,304 832 054 916174 920,885 948 436 976 924 Other Revenue Licenses and Permits 93 ,863 85 ,212 105,500 111 ,000 86,000 88,580 91,237 Ambulance Fees 443,544 410,409 500 ,000 450,000 500,000 515,000 530,450 Interest 45,801 378,064 180 ,000 150,000 150,000 90,245 92,460 Other 585,268 652 774 659,146 7 13 045 659,911 679 708 700 099 Total Other Revenue 1 168 476 1,526,459 1444646 1424045 1,395,911 1,373,533 1 4 14 246 Total Revenues 12,580,415 13,468 ,944 13,604,567 13,278,716 13,410,893 15,256 807 15,608,646 Transfer From Ot her Funds Charges to other funds 1,542 ,390 1,568 ,593 1,596,000 1,596,000 1,681 ,100 1 ,731,533 1,783,479 Capital Projects I Specia l Revenue 283,221 50,000 50,000 50,000 50,000 50,000 Enterprise 400,000 Trust Fund 161 561 124,252 137,239 139,523 142 313 145 159 Tota l Transfers 2,103,951 1,851 ,814 1 770,252 1,783,239 1,870,623 1,923,846 1,978,638 Total Revenues and Trans fers 14,684,366 15,320,758 15,374,819 15,061,955 15,281,516 17,180,653 17,587,284 EXPENDITURES/APPROPRIATIONS General Government 2,347,926 2,905,898 3,397,394 3,424 ,7 60 3,702,864 3,779,330 3,850,979 Pu bl ic Safet y 7,075,417 7,227,836 7,733,840 7,889,718 7,975,853 8,120,733 8 ,268 ,511 Publ ic Works 2,270,210 2,267,632 2,399,834 2,416,629 2,511 ,588 2,455,007 2 ,500,534 Parks , Recreation & Cu ltura l 2,134,422 2 117 734 2,244,028 2,289,066 2,172,565 2,076,262 2,1 14 ,527 Total Operating Expenditures 13,827,975 14,519,100 15,775,096 16,020,173 16,362,870 16,431 ,332 16,734 ,551 Transfers or Non-Operating 833,913 622,298 781 205 794 114 510,969 1,349,381 1,546,285 Total Expenditures/Appropriations 14,661,888 15,141,39 8 16,556,301 16,814,287 16,873,839 17,780,713 18,280,836 Total S urplu s (Deficit) 22,478 179,360 (1,181,482) (1, 752,332) (1,592,323) (600,060) (693,552 ) Projected Lapse -5% 788 755 801 009 818 144 821 567 836,728 Adjusted Surplus (Deficit) 22,478 179,360 (392 ,727) (951,323) (774,179) 221 ,507 143,176 Beginning Fund Balance 10,548,206 10,570,684 10,240,277 10,750,044 9,798,7 21 9,024,542 9,246,049 Ending Fund Balance 10,5 70,684 10,750,044 9 ,847,550 9 ,798,721 9 ,024,542 9,246,049 9 ,389 ,225 Restricted (682,068) (741 ,748) (754,068) (781,748) (8 17,748) (853,748) (889,748) Committed (6,976, 762) (7, 116,039) (6 ,841 ,807) (7 ,032 ,283) (6 ,059, 110) (6 , 715,659) (6,968,2 03) Ass igned (2,416,658) (2 ,418,240) (2 ,251 ,675) (1 ,984,690) (2 .147,684) (1 ,676,642) (1 ,531 ,274) Unassigned F un d Balance $ 495,196 $ 474,017 $ $ $ $ $ City of Kenai Fiscal Year 2021 Operatin g Budget Fund: 0 19 -S enior Citizens Fund Department: Title Ill Summary Origi nal Actual Actual Budget Projection Proposed FY2018 FY2019 FY2020 FY2020 FY2021 Revenues State Grants $ 198,577 $ 2 04,464 $ 205,831 $ 205,831 $ 212 ,504 USDA Grant 18,958 24,938 20,000 20,000 20,000 Choice Waiver 195,012 135,444 125,000 125,000 125 ,000 KPB Grant 126,207 126,207 126,207 126,207 169 ,221 United Way 9 ,598 3,631 15,000 Rents and Leases 8 ,324 8,174 13,000 13,000 13,000 Donations 47,668 8,494 32,000 32 ,500 32,500 Donation -Senior Connection 50,000 100,000 50,000 50,000 50,000 Meal Donations 82,837 67,998 82,500 72,500 72,500 Transfer from General Fu nd -Operations 176,739 182 ,027 239,208 239,899 217 ,192 Transfe r from General Fu nd -Capital 14,100 14,100 Other (42) (9) 300 300 300 Tota l Re venue 913,878 861 ,368 923,146 899 ,337 912,217 Expenditu re s Se nior Citizen Access 157,065 140,539 191,256 191 ,4 15 180,075 Congregate Meals 220,661 231 ,082 26 1,266 264,057 262 ,518 Home Meals 205,562 202 ,637 223,664 224,663 2 30 ,951 Senior Tran sportation 80,087 80,929 10 4 ,527 104,596 100,417 Choice Waiver 250,503 232 ,910 165,893 166,066 16 1 ,04 1 Total Expenditures 913,878 888,0 97 946,606 950,797 935 ,002 Contribution To/(From) Fund Balance: (26,729) (23,460) (51,460 ) (22,785) Projecte d Lapse (3%) 23,46 0 23,586 22,785 A djusted (Deficit)/Surpl us (26,729) (27,874) Beginning Fund Ba lance (26,729) (54,603) Ending Fund B ala nce $ -$ F6,729) $ -$ ~5 4 ,603 ) $ ~54 ,603) City of Kenai Fiscal Year 2021 Operating Budget Fund: 011 -Employee Health Care Fund Department: 18 -Health Care Fund Summary Original Actual Actual Budget Projection Proposed FY2018 FY2019 FY2020 FY2020 FY2021 Revenues Charge for Services $ 1 ,903,581 $ 2,148,495 $ 2,436,200 $ 2,436,200 $ 2,636 ,734 Participant premiums 236,949 258,664 282,312 252,345 349,257 Transfer from Other Funds Interest Earn ings 836 9,285 1,000 4 ,000 6 ,000 Total Revenues 2 ,141 ,366 2,416,444 2 ,719,512 2,692 ,545 2 ,991 ,991 Expenses 2,010 ,581 2,257,555 2 ,598,511 2,598,511 2,964 ,277 Net Income (loss) 130,785 158 ,889 121 ,001 94 ,034 27 ,714 Beginning Retained Earnings 117 ,637 248,422 100,000 407,311 501,345 Ava ilable Retained Earnings $ 248,422 $ 407 ,311 $ 221 ,001 $ 501 ,345 $ 529,059 FY2019 FY2020 FY2021 Difference % Change Employer cost per position: Full-time $ 20,031 $ 22,715 $ 24,700 $ 1,985 8.74% Part-time 10,016 11,358 12 ,350 992 8.73% Employee monthly premiums : Employee only $ 98.00 $ 102.00 $ 123.00 $ 21.00 20.59 % Employee with child(ren) 178.00 204.00 222 .00 18.00 8.82% Employee with spouse 196.00 185.00 244.00 59.00 31.89 % Employee with family 268.00 278.00 333.00 55.00 19.78% Part-time employee only 455.00 469.00 519 .00 50.00 10.66% Part-time employee w/Children 1, 173.00 1,394.00 1,325.00 (69 .00) -4.95 % Part-time employee w/Spouse 1,349.00 1,212 .00 1,523.00 31 1.00 25.66 % Part-time employee w/Family 2,070.00 2,141.00 2 ,331 .00 190.00 8.87 %