FY21 Budget Discussion #2 July 31,2020 Budget Assumptions FY21 - PowerPoint PPT Presentation

FY’21 Budget Discussion #2 July 31,2020

Budget Assumptions – FY’21 Revenues • Presumed 10% reduction in property values in FY’22 and FY’23 • Presumed reduction in State-derived revenues in FY’21 - FY’23 • Presumed contraction in LE revenues (correlation to dividends) • Presumed reduction in some charges for services (Parks & Rec fees, rentals, etc.) Expenses • 0% growth and/or reductions in controllable operating expenses • No across-the-board or merit increases • 0% growth in health insurance premiums for employees, retirees and the city

Millage Adoption • The table below provides the voting thresholds for the FY’21 millage adoption Rolled-back Millage Millage Threshold for Recommended Simple Majority Millage 5.1909 5.3580 5.4644 Simple Majority Simple Majority Super Majority Required Required Required

Scenarios proposed by Commissioners The following Day’s Cash scenarios are a combination of versions requested by Commissioners over the last week. There is a scenario # on the top left of each page and a list of the basic assumptions requested. Deputy CM Sherrouse provided each of you a summary of the following scenarios during this week’s meetings. The next 6 slides simply provide versions that can be used for your discussions. Note that a couple of the ending days-cash dropped by a day as a result of a change to the de- appropriation agenda item scheduled for the Monday 8/3/2020 CC meeting. Note that these are provided as discussion points only. We can modify whatever millage and expense scenarios you would prefer.

Original Scenario Day’s Cash Estimates discussed by Commissioners: • 5.4644 mills No ATB/Merit in FY’21 • GENERAL FUND BUDGET FY'20 FY'21 FY'22 FY'23 26,663,650 29,641,100 26,733,081 20,626,175 FY Starting Surplus 126,822,837 127,240,419 124,059,409 121,578,221 Budgeted revenues 134,794,506 133,888,212 133,888,212 134,557,653 Budgeted expenses (7,971,669) (6,647,793) (9,828,803) (12,979,432) Budgeted Surplus Generated / (Used) 18,691,981 22,993,307 16,904,278 7,646,743 Budgeted Ending Surplus (1,065,000) 891,000 868,000 851,000 Actual Revenues 12,014,119 2,848,774 2,853,897 2,691,000 Actual Expenses 29,641,100 26,733,081 20,626,175 11,188,743 FY Ending Actual Surplus 80 74 57 31 Days Cash

Scenario #1 Day’s Cash Estimates discussed by Commissioners: 5.4644 mills • No ATB/Merit in FY’21 • GENERAL FUND BUDGET Postponement of Station #3 relocation • FY'20 FY'21 FY'22 FY'23 26,663,650 29,424,062 27,516,043 21,709,137 FY Starting Surplus 126,822,837 127,240,419 124,059,409 121,578,221 Budgeted revenues 134,794,506 133,888,212 133,888,212 134,557,653 Budgeted expenses (7,971,669) (6,647,793) (9,828,803) (12,979,432) Budgeted Surplus Generated / (Used) 18,691,981 22,776,269 17,687,240 8,729,705 Budgeted Ending Surplus (1,065,000) 1,891,000 1,168,000 3,851,000 Actual Revenues 11,797,081 2,848,774 2,853,897 2,691,000 Actual Expenses 29,424,062 27,516,043 21,709,137 15,271,705 FY Ending Actual Surplus 80 76 60 42 Days Cash

Scenario #2 Day’s Cash Estimates discussed by Commissioners: 5.4644 mills • No ATB/Merit in FY’21 • GENERAL FUND BUDGET Maintain $1m for land purchase for Station #3 • Postponement of Station #3 Design & Construction • FY'20 FY'21 FY'22 FY'23 26,663,650 29,424,062 26,516,043 20,709,137 FY Starting Surplus 126,822,837 127,240,419 124,059,409 121,578,221 Budgeted revenues 134,794,506 133,888,212 133,888,212 134,557,653 Budgeted expenses (7,971,669) (6,647,793) (9,828,803) (12,979,432) Budgeted Surplus Generated / (Used) 18,691,981 22,776,269 16,687,240 7,729,705 Budgeted Ending Surplus (1,065,000) 891,000 1,168,000 3,851,000 Actual Revenues 11,797,081 2,848,774 2,853,897 2,691,000 Actual Expenses 29,424,062 26,516,043 20,709,137 14,271,705 FY Ending Actual Surplus 80 73 57 39 Days Cash

Scenario #3 Day’s Cash Estimates discussed by Commissioners: 5.4644 mills • Provide 1.5% ATB in FY’21 (No Merits offered) • GENERAL FUND BUDGET Maintain $1m for land purchase for Station #3 • Postponement of Station #3 Design & Construction • FY'20 FY'21 FY'22 FY'23 26,663,650 29,424,062 25,859,602 19,396,255 FY Starting Surplus 126,822,837 127,240,419 124,059,409 121,578,221 Budgeted revenues 134,794,506 134,557,653 134,557,653 135,230,441 Budgeted expenses (7,971,669) (7,317,234) (10,498,244) (13,652,220) Budgeted Surplus Generated / (Used) 18,691,981 22,106,828 15,361,358 5,744,035 Budgeted Ending Surplus (1,065,000) 891,000 1,168,000 3,851,000 Actual Revenues 11,797,081 2,861,774 2,866,897 2,705,000 Actual Expenses 29,424,062 25,859,602 19,396,255 12,300,035 FY Ending Actual Surplus 80 71 53 34 Days Cash

Scenario #4 Day’s Cash Estimates discussed by Commissioners: 5.3580 mills • No ATB/Merit in FY’21 • GENERAL FUND BUDGET Implement Option #1 from City Manager’s email • (Reduce GF outlay to service orgs by 50%) FY'20 FY'21 FY'22 FY'23 26,663,650 29,522,981 26,365,304 20,028,556 FY Starting Surplus 126,822,837 126,487,761 123,325,567 120,859,056 Budgeted revenues 134,794,506 133,368,212 133,368,212 134,035,053 Budgeted expenses (7,971,669) (6,880,451) (10,042,645) (13,175,997) Budgeted Surplus Generated / (Used) 18,691,981 22,642,530 16,322,659 6,852,559 Budgeted Ending Surplus (1,065,000) 885,000 863,000 846,000 Actual Revenues 11,896,000 2,837,774 2,842,897 2,681,000 Actual Expenses 29,522,981 26,365,304 20,028,556 10,379,559 FY Ending Actual Surplus 80 73 55 29 Days Cash

Scenario #5 Day’s Cash Estimates discussed by Commissioners: 5.3644 mills • Provide 1.5% ATB in FY’21 (No Merits offered) • GENERAL FUND BUDGET Maintain $1m for land purchase for Station #3 • Postponement of Station #3 Design & Construction • FY'20 FY'21 FY'22 FY'23 26,663,650 29,424,062 25,073,602 17,844,755 FY Starting Surplus 126,822,837 126,460,419 123,298,909 121,032,931 Budgeted revenues 134,794,506 134,557,653 134,557,653 135,230,441 Budgeted expenses (7,971,669) (8,097,234) (11,258,744) (14,197,510) Budgeted Surplus Generated / (Used) 18,691,981 21,326,828 13,814,858 3,647,245 Budgeted Ending Surplus (1,065,000) 885,000 1,163,000 3,847,000 Actual Revenues 11,797,081 2,861,774 2,866,897 2,705,000 Actual Expenses FY Ending Actual Surplus 29,424,062 25,073,602 17,844,755 10,199,245 80 69 49 28 Days Cash

OTHER SCENARIOS OR QUESTIONS?