Loading...
HomeMy WebLinkAbout04-Financial SummaryFinancial Summary Financial Summary Table of Contents Summary Budgeted Revenues.................................................................................................................19 Program Budget.......................................................................................................................20 Divisional Budget......................................................................................................................21 Revenues Property Taxes.........................................................................................................................22 Sales Tax .................................................................................................................................24 Utility Revenues .......................................................................................................................26 Capital Recovery Fees.............................................................................................................28 Other Enterprise Fund Revenues.............................................................................................29 Other Miscellaneous Revenues ...............................................................................................30 Fund Summaries All Funds Summary..................................................................................................................32 General Fund ...........................................................................................................................34 Electric Fund ............................................................................................................................36 Water Services Fund................................................................................................................38 Airport Fund..............................................................................................................................40 Sanitation Fund........................................................................................................................41 Stormwater Drainage Fund......................................................................................................42 General Capital Projects Funds ...............................................................................................43 Special Revenue Funds...........................................................................................................44 Internal Service Funds .............................................................................................................45 01/02 Actual 02/03 Amended Budget 02/03 Projected Actual 03/04 Proposed Budget 04/05 Projected Budget Property Taxes 6,009,214 6,577,398 6,637,535 7,129,000 7,139,000 Sales Taxes 3,453,856 3,825,000 4,090,000 5,500,000 4,500,000 Bond Proceeds 9,558,450 6,500,000 7,975,000 7,270,000 Bond Reimbursement (6,583,432) Charges for Services 7,849,075 8,710,621 8,547,291 8,971,533 8,973,381 Capital Recovery Fees 336,661 412,500 412,500 330,000 380,000 Utility Revenues 39,799,610 43,237,064 44,054,690 47,794,986 50,719,730 Grants 471,661 647,972 166,479 793,910 30,000 Other Revenue 9,903,292 10,355,062 10,949,095 10,356,452 9,868,156 Service Improvement Fees 1,426,595 1,235,895 2,274,795 2,274,795 2,274,795 Fund Balance Used 18,884,583 7,050,701 (4,634,386)6,885,418 (2,641,897) Interest 1,192,128 1,208,877 1,164,903 440,766 415,865 Interfund Transfers 3,721,475 4,926,434 5,003,503 5,729,614 4,951,982 TOTAL REVENUES 93,048,150 91,162,542 85,166,405 104,181,474 93,881,012 Budgeted Revenues 2003-2004 Property Taxes Sales Taxes Bond Proceeds Charges for Services Capital Recovery Fees Utility Revenues Grants Other Revenue Service Improvement Fees Fund Balance Used Interest Interfund Transfers 19 Amended Adopted 2002/03 Budget %2003/04 Budget % Police Services 4,714,844 6.1%5,237,474 5.8% Streets 1,625,438 2.1%1,706,784 1.9% Electric 18,347,023 23.7%21,286,836 23.8% Public Library 842,386 1.1%838,760 0.9% Economic Development 350,350 0.5%343,339 0.4% Water Services 6,197,211 8.0%7,610,742 8.5% Sanitation 2,426,600 3.1%2,479,930 2.8% Stormwater Drainage 318,524 0.4%347,547 0.4% Debt Payments 6,977,436 9.0%7,620,807 8.5% Airport 1,206,967 1.6%1,207,990 1.3% Fire Services 3,368,096 4.3%3,473,230 3.9% Management Svc-Others 737,406 1.0%1,139,442 1.3% Capital Improvements 17,749,695 22.9%23,007,165 25.7% Parks & Recreation 2,468,251 3.2%2,477,223 2.8% Planning & Development 1,429,346 1.8%1,388,446 1.6% Administration 8,792,314 11.3%9,398,412 10.5% Budget Total By Program 77,551,887 100.0%89,564,127 100.0% Interfund Transfers & Premiums 13,610,655 14,617,347 Program Budget 0 5,000,000 10,000,000 15,000,000 20,000,000 25,000,000 Police Services Streets Electric Public Library Economic Development Water Services Sanitation Stormwater Drainage Debt Payments Airport Fire Services Management Svc-Others Capital Improvements Parks & Recreation Planning & Development Administration Amended 2002/03 Budget Adopted 2003/04 Budget 20 01/02 Actual 02/03 Amended Budget 02/03 Projected Actual 03/04 Proposed Budget 04/05 Projected Budget Planning & Development 1,675,355 1,584,846 1,570,874 1,572,299 1,562,217 Georgetown Utility Systems 15,196,281 17,073,051 17,271,938 18,491,217 18,764,938 Management Services 7,207,926 7,880,084 7,745,375 8,773,085 7,991,569 Purchased Power (GUS) 14,746,502 15,945,649 17,600,000 18,600,000 19,800,000 Capital Improvements 27,533,860 17,749,695 10,802,385 23,007,165 13,558,600 Parks & Recreation 2,533,071 2,808,909 2,558,845 2,841,842 2,777,292 Finance & Administration 6,164,766 7,498,104 7,392,580 8,229,516 7,413,157 Fire Services 3,392,086 3,595,523 3,486,995 3,831,249 3,876,960 Debt Payments 6,250,072 6,977,436 6,579,550 7,620,807 7,743,335 Police Services 4,626,756 5,122,811 5,154,360 5,484,680 5,440,962 Interfund Charges & Transfers 3,721,475 4,926,434 5,003,503 5,729,614 4,951,982 TOTAL BUDGET 93,048,150 91,162,542 85,166,405 104,181,474 93,881,012 Budgeted Expenses 2003-2004 Planning & Development Georgetown Utility Systems Management Services Purchased Power (GUS)Capital Improvements Parks & Recreation Finance & Administration Fire Services Debt Payments Police Services Interfund Charges & Transfers 21 22 Property Tax Revenues Taxable Property Values 0 2,000,000 4,000,000 6,000,000 8,000,000 97/98 98/99 99/00 00/01 01/02 02/03* 03/04* 04/05* 05/06* 06/07* 07/08* 0 500,000,000 1,000,000,000 1,500,000,000 2,000,000,000 2,500,000,000 3,000,000,000 98/99 99/00 00/01 01/02 02/03* 03/04* 04/05* 05/06* 06/07* 07/08* General Fund Revenue Debt Service New & Annexed Property Existing Property Values *Projected *Projected 23 Taxes: Taxes are levied on January 1 of each year and are considered past due on February 1 of the following year. Property tax roles are certified in July and the tax rate is adopted in September, along with the budget. The City’s tax collector, currently the Williamson County Tax Collector, sends statements in October to each taxpayer. Taxable Valuations: 4 New construction permits have ranged from 650 to 1,100 per year since 1996. 4 Growth outlook on construction permits is expected at 630 for 2004, based on information from builders, planned subdivisions within the City and anticipated commercial development. 4 Values on existing property declined 3% in 2003/04. Prior to 2003/04, property values had shown an increase of 4-9% annually. 4 2003/04 new values include $92 million in new construction. Adopted Property Tax Rate for 2003/04 is $0.32194/$100 valuation: 4 Represents a 2.93% increase over the 2002/03 rate. 4 Breakdown: Maintenance and Operations (General Fund) $0.22177 Debt Service (payment on existing debt) $0.10017 Future Projections: Full compliance with the City’s fiscal policy, whereby General Fund operating revenues fund operating expenses, is achieved in 2004. Assumptions for the forecasts of future years are based upon historical trends, expected build out of planned subdivisions, and utility tap requests. Assumptions include: 4 Continued new property growth of $150 million for 2004-07, as new retail properties are added to the tax role, with a 1% annual increase in existing valuations. 4 No annexations are included. 4 Tax rates do not include additional debt for future streets, or other capital improvements. Fiscal Year 98/99 99/00 00/01 01/02 02/03 03/04* 04/05* 05/06* 06/07* 07/08* Property Tax Revenues: (in thousands) General Fund 2,505 2,919 3,260 3,814 4,495 4,929 5,039 5,089 5,140 5,192 Debt Service 1,741 1,867 1,906 2,204 2,142 2,210 2,110 2,131 2,152 2,174 Property Values: (in millions) Existing Property 1,039 1,313 1,519 1,804 1,949 2,130 2,245 2,419 2,595 2,772 New & Annexed 156 114 110 135 167 92 150 150 150 90 Property Tax Rates Per $100 - taxable 0.350 0.340 0.314 0.307 0.303 0.322 0.319 0.316 0.312 0.309 valuation *Projected 24 The City receives 1.75% of the 8% sales and uses taxes that are remitted by retailers within the City limits. Of this amount, 1% is used for general operating purposes, .5% is used for transportation improvements through the Georgetown Transportation Enhancement Corporation (GTEC), and .25% is used for street maintenance. The remaining 6.25% is collected and retained by the State of Texas. The City’s sales tax base is diverse, with revenues being generated by national grocery and other retailers, building supply stores, utilities, etc. The heavy residential growth over the past few years has also created a demand for more restaurants and other retailers, which have expanded the City’s tax base. Sales tax revenue increased in slightly in 2002/03, during a time when surrounding communities experienced a downturn in sales tax revenues. This increase is directly attributed to the increase in new retail developments within the City, such as Walgreens, a second HEB grocery and numerous other smaller retailers. 2003/04 revenues are expected to increase as new retail developments at the Rivery Towne Center open. Future projections are based on the following assumptions: 4 2004/05 includes full build out of the Rivery Towne Center development, along with the initial phase of the Wolf Ranch development, a Simon property, expected to open in 2005. 4 Revenues past 2005/06 are projected conservatively, increasing 1.5% annually. Sales Tax Revenue - 1% General Operating $2.42M $2.86M $3.42M $3.53M $3.38M $3.39M* $4.03M* $4.69M* $4.76M* $4.83M* $0 $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 $6,000,000 97/98 98/99 99/00 00/01 01/02 02/03* 03/04* 04/05* 05/06* 06/07* *Projected 26 Electric Revenue Water Services Revenue - Water $18.21M $21.159M $24.80M $23.67M $25.68M $28.19M $30.13M $31.75M $32.61M $33.49M $0 $5,000,000 $10,000,000 $15,000,000 $20,000,000 $25,000,000 $30,000,000 $35,000,000 98/99 99/00 00/01 01/02 02/03* 03/04* 04/05* 05/06* 06/07* 07/08* $12.61M$12.07M $11.55M $11.06M $10.59M$10.13M $8.99M $8.02M$8.01M $6.74M $0 $2,000,000 $4,000,000 $6,000,000 $8,000,000 $10,000,000 $12,000,000 $14,000,000 98/99 99/00 00/01 01/02 02/03* 03/04* 04/05* 05/06* 06/07* 07/08* *Projected *Projected 27 Utility Revenues: The revenue shown include tap or hookup fees. Developer contributions, such as capital recovery or impact fees and interest are presented elsewhere. Generally, utility revenue projections are based on five-year forecasting models for each utility. The City prepares a financial model of each utility, forecasting revenues, expected infrastructure needs and other expected expenses. The models are prepared based upon assumptions regarding customer growth, the City’s five and ten year capital improvements plans, forecasted increases in costs, including personnel, and historical data. The models serve as a planning tool to forecast the ability to pay cash for infrastructure, anticipate debt needs for the upcoming five to ten year period, as well as, predict rate increases for the customer. Electric and Water Revenues: 4 Calculated on a four-year rolling average of per capita consumption in order to hedge against variations in weather conditions. 4 Growth estimates are based upon building permits, expected build out of subdivisions and other planning and development activity. 4 Assumes a 4.5% customer growth for Electric through the next five years as the City adjusts to a deregulated market. (historical average is 6-7%) 4 Assumes a 5% customer growth for Water for the next five years. (historical average is 6-7%) The City continues to be proactive in planning for regional water needs. The City has signed additional agreements with Brazos River Authority to ensure future water needs are met. Major treatment and system expansions will be made as growth occurs and are included in the 5-year capital improvement schedule. Wastewater Revenues: 4 Based on average monthly billings adjusted for customer growth. 4 Assumes a 5% customer growth over the next five years. (historical average is 5-6%) 4 Includes a volumetric rate increase from $2.95 to $3.10 per 1,000 gallons of water billed for 2003/04, and an additional volumetric rate increase from $3.10 to $3.25 per 1,000 gallons of water billed for 2004/05 to 2007/08. Water Services Revenue - Wastewater $7.33M $7.00M $6.68M $6.25M $5.95M $5.30M $4.65M $4.77M $4.38M $3.83M $0 $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 $6,000,000 $7,000,000 $8,000,000 98/99 99/00 00/01 01/02 02/03* 03/04* 04/05* 05/06* 06/07* 07/08* *Projected 29 Sanitation Revenue: Sanitation revenue includes fees collected for curbside garbage pick-up, including recycling and special pick- ups. Growth in the City’s customer base continues to be steady, mirroring the City’s growth rate. The City contracts with Texas Disposal Systems for garbage service. Airport Revenue: Airport revenue consists primarily of fuel sales, T-hangar rentals and tie-down fees. A 63-space T-hangar was completed in January 2000, to accommodate demand for hangar rental space, therefore increasing revenue. Fuel sales have also increased significantly, increasing revenue to the fund. Stormwater Drainage Revenue: Revenue for stormwater drainage is collected on a per unit basis to pay for maintenance of drainage, detention and filtration infrastructure and to pay for the debt service on bonds issued for major capital drainage improvements. The rate of $3.75 per unit also provides $200,000 annually for capital maintenance to correct drainage problems in the City. Other Enterprise Fund Revenues Fiscal Year 96/97 97/98 98/99 99/00 00/01 01/02* 02/03* 03/04* 04/05* (in thousands) Stormwater Drainage 327 461 616 668 698 885 1,229 1,328 1,395 Airport 603 596 724 1,324 1,449 1,431 1,447 1,558 1,558 Sanitation 1,507 1,680 1,910 2,089 2,362 2,500 2,744 2,850 2,996 $0 $500,000 $1,000,000 $1,500,000 $2,000,000 $2,500,000 $3,000,000 96/97 97/98 98/99 99/00 00/01 01/02 02/03* 03/04* 04/05* Sanitation Airport Stormwater Drainage *Projected 30 Interest Income: The Federal Reserve lowered interest rates over the past year, thus lowering projected interest revenue. Projections are based on anticipated cash balances from contingency reserves, bond proceeds invested through the life of construction projects and fund balances. Grant Revenue: The City receives grants for a variety of purposes. Council approves all grant applications. The City budgets for grants that have been approved and awarded by the granting agency. Grant revenue peaked in 1997 and 1998 due to a high number of grants for economic development, parks improvements and law enforcement. Grant revenue in 1999/00 included money received to partially fund the Airport terminal building construction. Grant revenue for 2003/04 is $793,910, consisting of the Victim Services Grant for $30,000, Homeland Security grant for $63,910, and a Lower Colorado River Authority (LCRA) park improvement grant of $700,000. Miscellaneous Revenue: Revenues not falling into another category are classified as miscellaneous revenue. This source of funding is expected to rise due to fee increases, including building permits, fines, parks fees, recreation charges and other user fees. Surplus property sales and donations are also included in this category. Franchise Fee Revenue: The City receives revenue from franchise fees. These fees are paid by the City and outside utilities for use of rights of way and public properties and are collected to offset the cost of street maintenance. Increases in revenue are predicted to mirror the City’s growth rate. Other Miscellaneous Revenues Fiscal Year 97/98 98/99 99/00 00/01 01/02 02/03* 03/04* 04/05* (in thousands) Interest Income 1,296 1,653 1,962 1,903 1,192 1,165 441 416 Grant Revenue 1,184 308 945 307 472 166 794 30 Miscellaneous Revenue 4,053 2,783 3,208 4,133 4,173 4,782 4,853 4,984 Franchise Fees 974 1,052 1,388 1,379 1,489 1,617 1,735 1,826 $0 $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 $6,000,000 97/98 98/99 99/00 00/01 01/02 02/03* 03/04* 04/05* Miscellaneous Revenue Franchise Fees Grant Revenue *Projected Interest Income 32 All Funds Summary GENERAL GENERAL SPECIAL CAPITAL DEBT TOTAL GENERAL REVENUE PROJECTS SERVICE BUDGET FUND FUNDS FUNDS FUND Beginning Fund Balances / 17,360,796 3,017,729 619,433 1,175,470 624,777 Working Capital SOURCES & REVENUES: Property taxes 7,129,000 4,929,000 2,200,000 Sales taxes 5,500,000 4,400,000 1,100,000 Bond Proceeds 7,975,000 1,150,000 Charges for Services 8,971,533 809,576 Capital Recovery Fees 330,000 Special Improvement Fees 2,274,795 16,800 Utility Revenues 47,794,986 Grants 793,910 793,910 Interest 440,766 35,500 12,590 14,130 25,000 Other Revenue 10,356,452 4,456,325 654,234 850,000 Interfund Transfers - ROI, Etc.5,729,614 4,204,800 103,956 Total Revenues 97,296,056 18,835,201 2,664,690 2,030,930 2,225,000 USES & EXPENSES: Georgetown Utility Systems 18,491,217 1,902,924 Purchased Power 18,600,000 Finance & Administration 8,229,516 234,035 74,837 Fire Services 3,831,249 3,646,249 185,000 Management Services 8,773,085 3,810,437 410,985 Parks & Recreation 2,841,842 2,786,642 55,200 Planning & Development 1,572,299 1,533,017 39,282 Police Services 5,484,680 5,321,125 163,555 Capital Improvements 23,007,165 2,120,515 2,104,000 Debt Payments 7,620,807 2,435,595 Interfund Transfers 5,729,614 131,661 1,085,600 Total Uses & Expenses 104,181,474 19,366,090 3,049,374 3,189,600 2,435,595 Ending Fund Balance / 10,475,378 2,486,840 234,749 16,800 414,182 Working Capital RESERVATIONS: Contingency 9,000,000 2,450,000 75,000 Capital Projects/Other 1,137,581 159,749 16,800 414,182 Available Fund Balance/ 337,797 36,840 0 0 0 Working Capital 33 All Funds Summary OTHER INTERNAL ELECTRIC WATER ENTERPRISE SERVICE FUND SERVICES (2) FUNDS (1) FUNDS Beginning Fund Balances / 4,776,015 6,347,771 533,697 265,904 Working Capital SOURCES & REVENUES: Property taxes Sales taxes Bond Proceeds 1,450,000 5,375,000 Charges for Services 8,161,957 Capital Recovery Fees 330,000 Special Improvement Fees 2,257,995 Utility Revenues 27,850,186 15,766,293 4,178,507 Grants Interest 45,479 127,125 50,442 130,500 Other Revenue 1,244,031 1,376,860 1,767,002 8,000 Interfund Transfers - ROI, Etc. 1,420,858 Total Revenues 30,589,696 25,233,273 5,995,951 9,721,315 USES & EXPENSES: Georgetown Utility Systems 4,750,225 9,916,613 732,865 1,188,590 Purchased Power 18,600,000 Finance & Administration 2,685,007 5,235,637 Fire Services Management Services 1,278,224 3,273,439 Parks & Recreation Planning & Development Police Services Capital Improvements 4,967,500 13,414,250 400,900 Debt Payments 1,285,269 3,421,758 478,185 Interfund Transfers 2,471,900 1,586,100 338,800 115,553 Total Uses & Expenses 32,074,894 28,338,721 5,913,981 9,813,219 Ending Fund Balance / 3,290,817 3,242,323 615,667 174,000 Working Capital RESERVATIONS: Contingency 3,250,000 2,925,000 300,000 Capital Projects/Other 227,850 145,000 174,000 Available Fund Balance/ 40,817 89,473 170,667 0 Working Capital (1) Includes Airport, Sanitation, & Stormwater Drainage (2) Includes Water, Wastewater, & Irrigation 34 General Fund 02/03 03/04 04/05 01/02 02/03 PROJECTED ADOPTED PROJECTED ACTUAL BUDGET ACTUAL BUDGET BUDGET Beginning Fund Balance 4,300,074 2,514,352 2,756,442 3,017,729 2,486,840 REVENUES: Property Taxes 3,813,772 4,462,000 4,495,493 4,929,000 5,039,000 Sales Taxes 3,453,856 3,385,000 3,650,000 4,400,000 4,500,000 Interest 93,564 98,000 45,500 35,500 35,500 Administrative Charges 843,739 757,463 753,753 809,576 812,912 All Other Revenue 3,774,694 4,132,730 4,234,324 4,456,325 4,605,425 Return on Investment 3,598,655 3,824,250 3,857,300 4,204,800 4,375,900 Transfers In - Balancing 850,000 850,000 Total Revenues 15,578,280 17,509,443 17,886,370 18,835,201 19,368,737 EXPENSES: Georgetown Utility Systems 1,867,618 1,790,125 1,789,748 1,902,924 1,904,503 Planning & Development 1,670,006 1,562,546 1,548,574 1,533,017 1,532,117 Finance & Administration 181,878 211,750 211,750 234,035 234,035 Fire Services 3,354,675 3,346,799 3,305,595 3,646,249 3,733,392 Management Services 2,028,824 1,934,748 1,916,411 2,442,604 2,075,179 Parks & Recreation 2,489,637 2,516,296 2,500,786 2,786,642 2,672,142 Police Services 4,448,655 5,038,718 5,031,065 5,321,125 5,370,017 Interfund Nondept'l Chrg 1,075,463 1,272,479 1,308,150 1,367,833 1,379,994 Transfers Out 5,156 13,004 13,004 131,661 55,082 Total Expenses 17,121,912 17,686,465 17,625,083 19,366,090 18,956,461 Ending Fund Balance 2,756,442 2,337,330 3,017,729 2,486,840 2,899,116 RESERVATIONS: Contingency 2,325,000 2,325,000 2,325,000 2,450,000 2,600,000 Available Fund Balance 431,442 12,330 692,729 36,840 299,116 35 Fund Description: The General Fund is used to account for resources traditionally associated with government which are not required legally or by sound financial management to be accounted for in another fund. Significant Issues/Comments: 4 In 2001/02, the City implemented a new fiscal and budgetary policy to reduce the operating shortfall and the Fund’s dependency on transfers from the utility funds. Full implementation, including elimination of the deficit, occurred in 2003/04. 4 Funds for street maintenance, including overlay ($100,000), seal coat ($50,000), unscheduled street repairs ($225,000), curb repairs ($75,000), sidewalk repairs ($75,000), and micro-surfacing of existing streets ($200,000) are included in the 2003/04 Street Department budget, as well as, a new three person crew to address street cuts and other minor street repairs. 4 The second phase of a plan to upgrade Public Safety compensation was funded in 2003/04, including $117,448 for Police and $62,458 for Fire which increases the step levels in Police from 2% to 2.5% and from 2% to 2.25% in Fire. 4 The first phase of the Downtown Master Plan implementation is funded in Management Services. This includes signage and capital improvements designed to enhance the beauty and economic viability of the downtown shopping area. Fiscal Year 2003/04 Revenues Admin Charges 4% Interest & Other 23% Property Taxes 25% Fund Balance 3% Tfr In - Return on Inv. 22% Sales Taxes 23% Expenditures Planning & Dev 7.9% F&A 1.2% Fire Svcs 18.8%Mgt Svcs 12.6% Parks & Rec 14.4% Police Svcs 27.5% Interfund Nondept'l Chrg 7.1% 36 Electric Fund 02/03 03/04 04/05 01/02 02/03 PROJECTED ADOPTED PROJECTED ACTUAL BUDGET ACTUAL BUDGET BUDGET Beginning Working Capital 4,939,326 4,593,719 5,164,751 4,776,015 3,290,817 REVENUES: Electric Services 23,412,202 24,419,064 25,356,387 27,850,186 29,792,400 Bond Proceeds 585,000 563,000 1,450,000 800,000 Interest 123,706 141,891 89,056 45,479 51,000 All Other Revenue 1,193,851 1,430,661 2,567,716 1,244,031 1,244,335 Total Revenues 24,729,759 26,576,616 28,576,159 30,589,696 31,887,735 EXPENSES: Georgetown Utility System 3,930,427 4,317,281 4,224,150 4,750,225 4,787,685 Purchased Power 14,746,502 15,945,649 17,600,000 18,600,000 19,800,000 Capital Projects 2,776,814 3,594,627 2,876,700 4,967,500 3,528,400 Debt Payments 1,087,140 1,185,468 1,185,468 1,285,269 1,323,337 Transfers Out 1,963,451 2,963,040 3,063,490 2,471,900 2,450,300 Total Expenses 24,504,334 28,006,065 28,949,808 32,074,894 31,889,722 Ending Working Capital 5,164,751 3,164,270 4,791,102 3,290,817 3,288,830 RESERVATIONS: Contingency 3,100,000 3,100,000 3,100,000 3,250,000 3,250,000 Available Working Capital 2,064,751 64,270 1,691,102 40,817 38,830 37 Fund Description: The Electric Fund is used to account for the revenues from all operating and maintenance activities of the utility and the expenses of the departments, which support those activities. This includes the Electric department, the Automated Meter Reading (AMR) Department, purchased power costs, debt payments and capital projects. The fund also makes transfers out to the General Fund for the City’s return on investment for the Electric utility. Significant Issues/Comments: 4 Purchased power costs fluctuate with the variances in the fuel surcharge implemented by the Lower Colorado River Authority, the City’s wholesale supplier. This surcharge is passed along to the City’s customers as a pass-through charge. 4 The Electric and Water funds share the maintenance of the City’s automated meter reading system. 4 An electric crew is added in 2004 to ensure adequate maintenance of the system. 4 Capital projects are funded through operating revenues and debt when necessary. In 2004, $2.6 million of operating revenues and $1,450,000 of bond proceeds fund the annual capital projects plan. 4 Transfers Out include the 8% return on investment to the General Fund, as well as transfers to the Fleet Fund for new program equipment. Fiscal Year 2003/04 Revenues Electric Services 86% Fund Balance 5% Bond Proceeds 5% Interest 0%Other 4% Expenses Operating 15% Purchased Power 58% Capital Projects 15% Transfers 8% Debt Payments 4% 38 Fund Description: The Water Services Fund is used to account for the revenues from all operating and maintenance activities for water, wastewater and irrigation and the expenses of the Utility Contracts, Distribution and Treatment Facility departments which support those activities. Expenses also include debt payments, capital costs and the transfers out to the General Fund for the City’s return on investment. Each utility service type is tracked separately for rate design purposes to ensure rates are charged to fully recover operational costs Water Services Fund 02/03 03/04 04/05 01/02 02/03 PROJECTED ADOPTED PROJECTED ACTUAL BUDGET ACTUAL BUDGET BUDGET Beginning Working Capital 12,444,402 6,091,165 (417,951) 6,347,771 3,242,323 REVENUES: Water Services 8,448,092 9,465,000 9,465,000 9,817,936 10,283,682 Wastewater Services 4,373,795 4,875,000 5,023,752 5,601,200 5,902,400 Irrigation Services 180,236 453,000 236,749 347,157 350,417 Bond Proceeds 8,405,000 5,937,000 5,375,000 4,800,000 Bond Reimbursement (6,583,432) Capital Recovery Fees 336,661 412,500 412,500 330,000 380,000 Special Improvement Fees 1,128,520 952,845 2,257,995 2,257,995 2,257,995 Interest 505,271 648,035 877,362 127,125 148,625 All Other Revenue 2,705,970 1,388,015 1,311,263 1,376,860 1,449,860 Total Revenues 17,678,545 20,015,963 25,521,621 25,233,273 25,572,979 EXPENSES: Georgetown Utility System 7,563,559 8,687,589 9,048,420 9,916,613 10,158,072 Capital Projects 19,349,401 9,476,305 5,449,444 13,414,250 8,548,200 Debt Payments 2,507,779 3,120,115 2,744,135 3,421,758 3,819,302 Transfers Out 1,330,159 1,551,950 1,513,900 1,586,100 1,572,600 Total Expenses 30,750,898 22,835,959 18,755,899 28,338,721 24,098,174 Ending Working Capital (627,951) 3,271,169 6,347,771 3,242,323 4,717,128 RESERVATIONS: Contingency 2,750,000 2,745,000 2,745,000 2,925,000 2,925,000 SIP reservation 395,000 100,250 227,850 1,241,775 Other 1,450,000 400,000 450,000 Available Working Capital (5,222,951) 25,919 3,602,771 89,473 100,353 39 Significant Issues/Comments: 4 Water supply is provided through agreements with the Brazos River Authority. BRA expenses will increase due to the scheduled 15% increase in raw water cost, as well as principal and interest payments and operational cost for the Williamson County Raw Water Line, which became operational in 2003. 4 Treatment costs have increased substantially due to the opening of the Pecan Branch Wastewater Treatment Plant and the expansion of the Lake Water Treatment Plant. 4 Capital projects are funded through operating revenues, service improvement fees, impact fees and debt when necessary. 2003/04 Capital Improvements Plan includes debt issue for the infrastructure improvements for the Wolf Ranch Development, as well as engineering costs for expansion of the Dove Springs Wastewater Treatment Plant. 4 Water rates were adjusted from $2.13 to $2.25 per1,000 gallons effective October 1, 2003, as planned in the 2001 rate study to fund increased water costs, as well as the contractual payment for the Williamson County Raw Water Line. Wastewater rates were adjusted from $2.95 to $3.10 per 1,000 gallons as well, to fund on-going repairs for the Edwards Aquifer inflow and infiltration mandates. 4 The fund shows a negative available fund balance at the end of fiscal year 2002, due to an encumbrance for the entire Lake Water Treatment Plant expansion contract. Bonds were issued for the project in the Fall of 2002, to meet the project’s cash flow needs. 4 Service Improvement Fees increase beginning in 2002/03 due to the revised SIP fee amounts, as well as, a 300 unit per year guarantee included in the Del Webb Seventh Amendment, approved in March 2003. Fiscal Year 2003/04 Revenues Water Services 29% Wastewater Services 16% Interest 1%Other 4% Fund Balance 26% Bond Proceeds 16% SIP & CR Fees 8% Expenses Capital Projects 47% Debt Payments 12% Transfers 6% Operating 35% 40 Fund Description: The Airport fund is used to account for revenues and expenses related to the operation and maintenance of the Georgetown Municipal Airport. Capital improvements for the Airport and debt payments on outstanding debt for the Airport fund are also accounted for here. The Airport was awarded a Federal Entitlement Grant for airport improvements that will be administered by the Aviation Division of the Texas Department of Transportation. This grant will be used in the rehabilitation of existing runways, taxiways, streets and other on-site improvements. The grant match was 10% at a cost of $50,000 paid in the 2002/03 budget year. Significant Issues/Comments: 4 The terminal building was expanded in 2002, thereby increasing maintenance, insurance, utilities, and other on-going costs. 4 Fuel sales and accompanying fuel costs fluctuate according to demand. Fuel sales were less than anticipate in 2002/03, thus resulting in less ending booking capital at YE03 than projected. 4 There are no capital projects budgeted in 2003/04 or 2004/05. Airport Fund 02/03 03/04 04/05 01/02 02/03 PROJECTED ADOPTED PROJECTED ACTUAL BUDGET ACTUAL BUDGET BUDGET Beginning Working Capital (39,030) 325,700 281,296 187,499 299,478 REVENUES: Fuel & Terminal Sales 1,008,843 1,121,072 1,004,180 1,116,892 1,116,892 Leases & Rents 422,335 440,880 443,270 440,880 440,880 Interest 16,426 9,009 7,500 8,000 8,000 Grant 257,305 459,000 12,500 All Other Revenue 50,999 44,000 44,000 48,180 48,180 Transfers In 2,304 Total Revenues 1,758,212 2,073,961 1,511,450 1,613,952 1,613,952 EXPENSES: Management Services 1,242,659 1,338,270 1,328,652 1,278,224 1,286,458 Capital Projects 504,442 75,000 Debt Payments 195,227 201,595 201,595 223,749 190,867 Total Expenses 1,437,886 2,044,307 1,605,247 1,501,973 1,477,325 Ending Working Capital 281,296 355,354 187,499 299,478 436,105 RESERVATIONS: Contingency 150,000 150,000 150,000 150,000 150,000 Capital Projects 205,354 37,499 149,478 286,105 Available Working Capital 131,296 0 0 0 0 41 Fund Description: The Sanitation Fund is used to account for revenues from all operating and maintenance activities of the utility and the expenses of the departments which support those activities. Sanitation includes operating costs for the City’s payment to a private contractor for solid waste disposal services, as well as contracted costs for the City’s collection station for bulky waste disposal. Significant Issues/Comments: 4 Customer growth over the past few years has caused increases in revenues and expenses. 4 Rates for Sanitation services are based on the City’s contract with a private contractor for solid waste disposal services. 4 Increased advertising for the recycling program and implementation of a Household Hazardous Waste program are planned for 2003/04. 4 The City typically budgets for a contingency fund balance in all funds that have personnel to provide security of the personnel budget in case of an unexpected fiscal crisis. Because the position in this fund was transferred after the City contracted for the collection station, the contingency fund was eliminated. The fund now serves as only a pass-through for revenues and associated contracted costs. Sanitation Fund 02/03 03/04 04/05 01/02 02/03 PROJECTED ADOPTED PROJECTED ACTUAL BUDGET ACTUAL BUDGET BUDGET Beginning Working Capital 118,270 93,739 66,020 31,556 6,799 REVENUES: Sanitation Services 2,499,864 2,796,000 2,743,800 2,850,400 2,996,000 All Other Revenue 43,772 41,150 41,150 41,150 41,150 Total Revenues 2,543,636 2,837,150 2,784,950 2,891,550 3,037,150 EXPENSES: Finance & Administration 2,391,947 2,630,567 2,596,614 2,655,907 2,772,253 Hazardous Waste Clean-up 29,100 29,100 Transfers Out 203,939 227,000 222,800 231,300 240,100 Total Expenses 2,595,886 2,857,567 2,819,414 2,916,307 3,041,453 Available Working Capital 66,020 73,322 31,556 6,799 2,496 RESERVATIONS: Contingency 50,000 Available Fund Balance 16,020 73,322 31,556 6,799 2,496 42 Fund Description: The Stormwater Fund is used to account for all operating and maintenance activities of the City’s drainage system and the debt payments for bonds issued in past years to improve drainage problems. Significant Issues/Comments: 4 The per unit cost for Stormwater Drainage was increased from $2.90 to $3.75 in 2002/03 and provides $200,000 annually for the correction of drainage problems within the City. 4 City engineers have prepared a complete Regional Stormwater Drainage Master Plan (RSMP), which outlines future capital improvements that are needed to improve drainage in the City. The City will be adopting a new RSMP fee for this purpose as part of the Unified Development Code in early 2004 to fund the infrastructure outlined in the plan. Stormwater Drainage Fund 02/03 03/04 04/05 01/02 02/03 PROJECTED ADOPTED PROJECTED ACTUAL BUDGET ACTUAL BUDGET BUDGET Beginning Working Capital 510,758 175,874 215,817 314,642 309,390 REVENUES: Stormwater Fees 885,421 1,229,000 1,229,002 1,328,107 1,394,831 Bond Proceeds 250,000 RSMP Revenue 145,000 290,000 Interest 19,210 5,200 3,300 1,292 2,300 All Other Revenue 13,780 16,050 16,050 16,050 16,050 Transfers In 1,197 Total Revenues 919,608 1,500,250 1,248,352 1,490,449 1,703,181 EXPENSES: Georgetown Utility Systems 549,245 667,830 664,537 732,865 728,331 Capital Projects 338,496 425,268 62,450 400,900 302,000 Debt Payments 255,129 277,236 255,330 254,436 260,462 Transfers Out 71,679 167,310 167,210 107,500 112,900 Total Expenses 1,214,549 1,537,644 1,149,527 1,495,701 1,403,693 Ending Working Capital 215,817 138,480 314,642 309,390 608,878 RESERVATIONS: Contingency 65,000 120,000 120,000 150,000 150,000 Regional Stormwater Master Plan 145,000 335,000 Available Working Capital 150,817 18,480 194,642 14,390 123,878 43 Fund Description: Capital projects funds are used to account for the acquisition and construction of major capital facilities other than those financed by Special Revenue (grants) and Enterprise Funds (i.e. utilities and airport). Facilities and Parks Capital Projects Funds: Includes funds for the implementation of the City’s facilities construction plan, which includes the completion of the renovation of the Municipal Complex on Industrial Avenue, the renovation of the existing GUS complex for the Parks Department, and the renovation of the old Pumps facility to expand the Animal Shelter. Streets Capital Projects Fund: Includes revenues from the various transportation fees received by the City through development agreements. Projects to be constructed with existing funding sources are included in the City’s five-year capital improvement program. 2003/04 includes funds received from Williamson County for the Shell Road Project. Transportation projects to be funded through the additional ½ cent sales tax approved in May 2001, are determined by the Georgetown Transportation Enhancement Corporation (GTEC), the City’s “4B” corporation which oversees this revenue. The board of GTEC is appointed by the City Council and its budget is approved annually by Council. Although GTEC is a separate entity from the City, a copy of the GTEC budget is included in the reference section of this document. Public Safety Capital Projects Fund: Includes funds for the replacement of a fire truck, as well as implementation of Phase II of the police vehicle replacement program, and adding unmarked vehicles and patrol laptops to the vehicles. These costs are funded with short term debt obligations in 2004. General Capital Projects Funds - Summary 2003/04 FACILITIES & STREETS GENERAL PARKS PUBLIC SAFETY CAPITAL CAPITAL PROJECTS PROJECTS PROJECTS PROJECTS TOTAL Beginning Fund Balance 604,600 570,870 1,175,470 REVENUES: Interest 5,000 9,130 14,130 Bond Proceeds 1,150,000 Service Improvement Fees 16,800 16,800 Other 850,000 850,000 Total Revenues 5,000 1,150,000 875,930 880,930 EXPENDITURES: Debt Issuance Costs 64,400 Capital Projects 609,600 1,430,000 2,039,600 Transfers Out 1,085,600 Total Expenditures 609,600 1,150,000 1,430,000 2,039,600 Ending Fund Balance 0 0 16,800 16,800 SIP Reservation 16,800 16,800 Available Fund Balance 0 0 0 0 44 Fund Description: Special revenue funds (SRF’s) are used to account for specific revenues that are legally restricted for expenditures for particular purposes. The City uses these funds to track revenues and expenditures for: • Grants • Donations • Hotel Occupancy Tax (HOT)• Police seizures • Parkland dedication fees • Street Maintenance Sales Tax Significant Issues/Comments: 4 These funds vary significantly with the level of donation and grant activity for each year. 4 Hotel Occupancy Tax continues to decrease as more new properties have opened in nearby Round Rock. Georgetown has not had a new hotel property since 2000, when the Holiday Inn Express opened. Therefore, revenues will continue to be stagnant until additional properties are built. The City adjusted expenditures to accommodate the downturn, while planning more community events to increase future revenues. 4 2003/04 marks the first full year of revenue for the $0.25% Street Maintenance Sales Tax, which was approved by voters in November 2002. Funds may only be spent on existing streets. Projects for 2004 include: • 13th Street • MLK • Riverside Drive • 4th to 6th Street • Gabriel View • Smith Creek Road Special Revenue Funds - Summary 2003/04 BEGINNING ENDING FUND FUND FUND DIVISION/SECTION BALANCE REVENUES EXPENDITURES BALANCE Animal Services Fund Police Services 4,192 25,400 29,592 0 Cemetery Fund Parks & Recreation 42,717 31,200 55,200 18,717 Court Fee Fund Finance & Administration 39,037 35,800 74,837 0 Fire Billing for Service Fire Services 67,568 130,500 185,000 13,068 Library Donations Management Services 27,315 21,100 48,415 0 Main Street Facade Fund Management Services 12,507 300 12,807 0 Mapping Fund Planning & Development 9,182 30,100 39,282 0 Parks Restricted Parks & Recreation 239,565 100,950 340,515 0 River Corridors Grant Fund Parks & Recreation 0 700,000 700,000 0 Police Restricted Police Services 24,508 109,455 133,963 0 Street Tax Georgetown Utility Systems 0 1,148,874 1,080,000 68,874 Tourism Fund Management Services 152,842 331,011 349,763 134,090 Total Special Revenue Funds 619,433 2,664,690 3,049,374 234,749 45 Fund Description: Facilities Maintenance Fund: Provides janitorial services, light maintenance, equipment repair and replacement (copiers, HVAC, etc.), landscape maintenance, building repair and replacement (roofs, painting, carpet) on an established schedule. Charges for services to each department are made based on predetermined lease fees. Fleet Management Fund: Provides vehicles, vehicle equipment and communications equipment to all using City departments, as well as maintenance of all vehicles. Charges for services are based on annualized replacement and maintenance costs of each vehicle. Information Services Fund: Provides computer hardware, software, training and staff support to all using City departments. Charges are based on hardware and software replacements for each department. Joint Services Fund: Composed of departments providing administrative services to City funds and departments. GUS Administration, Systems Engineering and Utility Office provide support to the City’s utility funds. Administrative departments, including Accounting, Finance Administration, Human Resources and Safety, and Purchasing and Properties provide support to all City funds and departments. Internal Service Funds - Summary 2003/04 FACILITIES FLEET INFORMATION JOINT INTERNAL MAINTENANCE MANAGEMENT SERVICES SERVICES SERVICES FUND FUND FUND FUND FUND TOTAL Beginning Working Capital 12,505 55,135 29,937 168,327 265,904 REVENUES: Charges for Services 618,251 1,137,507 1,330,405 5,075,794 8,161,957 Interest & Other 7,000 23,000 17,500 83,000 130,500 Sale of Property 8,000 8,000 Interfund Transfers 1,192,300 3,558 225,000 1,420,858 Total Revenues 625,251 2,360,807 1,351,463 5,383,794 9,721,315 EXPENSES: Georgetown Utility Systems 1,188,590 1,188,590 Finance & Administration 637,667 2,339,720 2,258,250 5,235,637 Management Services 1,354,793 1,918,646 3,273,439 Interfund Transfers 48,874 66,679 115,553 Total Expenses 637,667 2,388,594 1,354,793 5,432,165 9,813,219 Ending Working Capital 89 27,348 26,607 119,956 174,000