Loading...
HomeMy WebLinkAboutPACKET Town Board Study Session 2006-11-01Administration . Memo To: Mayor Baudek and,Town Trustees From: Randy Repola Date: Novemberl,2006 Subject: Budget Study Session #4 This is our last study session for the proposed 2007-08 budgets. Steve McFarland is working on updating the prior weeks' material and will have that available Thursday, November 2nd in the afternoon. Week 4 includes a smattering of several smaller budgets as well as the Community Services Grants. In addition, we will discuss in more detail compensation issues to include the staff recommendation. The summary spreadsheet which contains the statements of revenue, expenses and fund balances for various funds is not in your packet. I am reviewing it to confirm that all updates have been included and will bring it Friday morning. At this point, we are tentatively planning to present the budget for approval at the November 14~h board meeting. We have the option to delay approval until the second meeting in November (28.) if the Board should so choose. Obviously we have to have a budget in place January 1, 2007, however, we also have to send a copy of our approved budget to the state's Department of Local Affairs by mid-December (consequently, a December approval would pose challenges in meeting the DOLA deadline). Finally, as in past weeks, the Department Heads will only present the highlights of their budgets and allow more time for questions/discussion. If you know in advance that there is something specific that you would like us to address, please do not hesitate to contact me. MEMORANDUM To: Town of Estes Park Board of Trustees From: Mayor John Baudek Date: November 1 , 2006 Subject: 2007 Community Grants The committee consisting of Trustee Levine and mysel f met with Town Administrator Repola. We concluded that community grant funding cannot just continue to grow year after year without having a major impact on the town's overall budget and the overall services that we provide. One ofthe difficulties when looking at and evaluating the requests for community grants, that the town receives, is that they are all worthwhile and meet some varying need in the community. It would be nice to be able to approve all of them at the requested levels. This year we received requests from 24 different organizations for funding. Of this number 3 were organizations that were new or did not receive funding last year. If we had given every organization the funds that they requested this year we would have seen an $81,351 increase over last year. As a note, this does not include the funds that we give to the library and the food tax refund (adds $48,100). Our committee recommends the following funding for 2007: 1) no new organizations be funded; 2) funding with some exceptions should be reduced from the funding levels of 2006 by 5%.This will assist with the overall town budget and also makes the realization that this portion o f the budget can not just keep growing. 3) The exceptions to the 5% reductions are as follows: A) Radio Reading Services of the Rockies. They have requested $500 and we could not see reducing that by 5%, or $25. B) Estes Park Housing Authority: Their request was $47,444 Less than 2006 which is the multi-year plan we have had with the housing authority. We recommended we fund them at what they requested. Page 1 of 2 10/31/06 General Fund Community Services, #101-1900 Town o f Estes Park 2007-2008 Budget Scope The Community Services division is the source of Town assistance to various of community organizations, Contingent upon funding availability, the Town will provide subsidies Senkes: toorganizations representing abroadspectrum of culturaland human services, The broad categories include arts and education, transportation, youth programs, various human services, thefood tax refund program and contim,ing support of the Estes Park Library District. Revised Budget Budget 2005 FYE2006 2007 2008 Arts & Education $9,250 $11,000 $10,451 1-ransportation 21,600 26,800 27,500 frhi.,1 District 3,000 3,000 2,850 Hoii,ing 283,045 234,969 194,381 E.P. Library District 27,600 27,600 27,600 27,600 Youth 17,500 53,500 48,925 Food Tax Refund 19,400 17,550 20,500 21,197 Huninit Services 49,250 50,670 43,725 Sister City Program 0 9,900 9,405 5% of prior year's sales tax 0 343,624 $430,645 $434,989 $385,337 $392,421 inc/dec over prior year 1% -11% 2% 811,1 get Comments Current funding levels do not guarantee funding in future budgets. Continued funding is contingent upon full and open disclosure of financial information by funded groups and agencies. 2009 aggregate estimate is 5% of 2007 projected sales tax ($6,872,486) plus food tax and library donation. Food tax estimate calculated at same rate (3.456) as increase in 2006-07 sales tax. Library funding is per IGA. 2006 2007 2008 Division to be determined at future budget session: 343,624 Arts & Education Chamber Music Festival 2,500 2,375 Art Center of EP 2,500 2,375 Community Jazz Concert Series 2,000 1,900 Estes Village Band 1,250 1,188 Oratorio Society of EP 1,250 1,188 Cultural Arts Council of EP 1,500 1,425 11,000 10,451 0 Transportation Special transit 26,800 27,500 26,800 27,500 0 School District 3,000 2,850 Housing 187,256 Estes Park Housing Authority 227,469 Habitat for Humanity 7,500 7,125 234,969 194,381 0 10/31/06 General Fund Community Services, #101-1900 Town of Estes Park 2007-2008 Budget Scope The Community Services division is the source of Town assistance to various of community organizations. Contingent uponfunding availability, the Town will provide subsidies Serikes: to organizations representing abroadspectrum of culturalandhumanservices. The broad categories include arts and education. transportation, youth programs, various human services, the food tax refund program and continuing support of the Estes Park Library District. Revised Budget Budget 2005 FYE2006 2007 2008 E.P. Library District 27,600 27,600 27,600 Youth Cub and Boy Scout Program 3,000 2,850 YMCA Montessori Scholarship Fund 0 0 Estes Valley Childhood Success 32,000 28,500 EP Learning Place 3,000 2,850 Partners of Estes Park 5,000 4,750 Partnership o f EP non-profit research 3,000 2,850 Kreative Kids 0 0 PACK 7,500 7,125 53,500 48,925 0 Food Tax Refund 17,550 20,500 21,197 Human Services Crossroads 22,500 21,375 EP Salud 20,500 19,475 Radio Reading Services 500 500 Estes Valley Multicultural 4,670 0 Options for Healthy Living 2,500 2,375 50,670 43,725 0 Sister City Program 9,900 9,405 TOTAL $434,989 $385,337 $392,421 *items to be returned to committee for further discussion and action * * items to be returned to committee for authorization to release calls for bids *** computer hardware or software to be reviewed by computer committee 10/31/06 Community Reinvestment Fund Special Revenue Fund, #204-5400 Town of Estes Park 2007-2008 Budget Purpose: In 1994, the voters ofthe Town of Estes Park approved that the Town and the Urban Renewal Authority could keep excess TABOR revenues to be used for the purpose of the acquisition, maintenance, repair and replacement of capital projects, including events/recreation facilities, open space, sidewalks, trails, landscaping, street and parking lot construction, storm drainage, and municipal buildings and facilities. In 2000, this practice was made permanent. Revised Budget Budget 2005 FYE2006 2007 2008 Total Revenues $78,401 $529,400 $435,000 $885,000 Expenses Personnel Services 0 0 0 0 Operations & Maintenance 258,992 303,628 264,000 264,000 Total Current Expenses 258,992 303,628 264,000 264,000 Capital 2,337,287 2,050,017 650,000 600,000 Debt service 0 0 0 0 Total Expenses 2,596,279 2,353,645 914,000 864,000 % change from prior year -9% -61% -5% Excess (deficiency) of revenues over (2,517,878) (1,824,245) (479,000) 21,000 expenditures Other financing sources (transfers in) 2,850,659 1,350,000 0 650,000 Excess (deficiency) of revenues 0, cr expenditures and other financing uses 332,781 (474,245) (479,000) 671,000 Beginning Fund balance 1,698,887 2,031,668 1,557,423 1,078,423 Ending Fund balance $2,031,668 $1,557,423 $1,078,423 $1,749,423 Budget comments 2006 2007 2008 Revenues Federal Grant (Fish Creek Trail) 506,400 0 0 Interest income 23,000 35,000 35,000 Lot 4 sale 0 400,000 850,000 Operations & Maintenance Engineering 72,253 50,000 50,000 Conference center lease 214,884 214,000 214,000 Rotary project 11,491 0 0 Mtc/trees/plants 5,000 0 0 Capital Buildings & Buildings remodel 10/31/06 Community Reinvestment Fund Special Revenue Fund, #204-5400 Town of Estes Park 2007-2008 Budget Purpose: In 1994, the voters of the Town of Estes Park approved that the Town and the Urban Renewal Authority could keep excefs TABOR revenues to be used for the purpose ofthe acquisition, maintenance, repair and replacement of e,ipital projects, including events/recreation facilities, open space, sidewalks, trails, landscaping, street and parking lot construction, storm drainage, and municipal buildings andfacilities. In 2000, this practice was made permanent. Revised Budget Budget 2005 FYE2006 2007 2008 Stanley Park Phase II** 750,000 600,000 600,000 Parks/Streets Serv Facility 182,921 0 0 Compaction/Concrete Testing 1,901 0 0 Stanley Park Master Plan 30,265 0 0 Electrical Metering/Installations 2,690 0 0 Building - Stanley Park 100,000 0 0 CVB Building 573,737 0 0 Fence at Parks Shop 7,000 0 0 CVB Irrigation/Landscape 50,000 0 0 Pk Sh Driveway Ph 2, etc. 40,000 0 0 FF&E 35,273 0 0 Streets (Chipseals, Parks Shop paving) 50,396 0 0 Walkways and Bikeways Fish Creek Ttail 55,834 0 0 Fish Creek Trail (grant portion) 160,000 0 0 Dry gulch drainage 10,000 0 0 CVB 0 50,000 0 2,050,017 650,000 600,000 *items to be returned to committee for further discussion and action **iitems to be returned to committee for authorization to release calls for bids ***computer hardware or software to be reviewed by computer committee 10/30/06 Catastrophic Loss Fund Internal Service Fund, #605 Town of Estes Park 2007-2008 Budget Purpose: To provide a reserve account in the event that an unforeseen loss would not be covered by the Town's insurance coverages. The Fund also includes the 3% emergency reserve required by the Tabor ammendment. Revised Budget Budget 2005 FYE2006 2007 2008 Revenues Investment income $54,621 $75,000 $54,000 $54,000 Total Revenues 54,621 75,000 54,000 54,000 Expenses Personnel Services 0 0 0 0 Operations & Maintenance 0 0 0 0 Total Current Expenses 0 0 0 0 Capital 0 0 0 0 Total Expenses 0 0 0 0 Increase (decrease) in Fund balance 54,621 75,000 54,000 54,000 Beginning Fund balance 2,070,338 2,124,959 2,199,959 2,253,959 Ending Fund balance $2,124,959 $2,199,959 $2,253,959 $2,307,959 Budget comments 2006 2007 2008 Booked value on 12/31/05 CAFR 551,199 551,199 551,199 Calculation value: Expenditures from all funds less Enterprise funds x 3% = $551,199 (decision made to select more conservative calculation) *items to be returned to committee for further discussion and action ** items to be returned to committee for authorization to release calls for bids ***computer hardware or software to be reviewed by computer committee 10/30/06 Medical Insurance Fund Internal Service Fund, #606 Town of Estes Park 2007-2008 Budget Purpose: To provide a partially self-funded Medical Insurance Fund, which was created for the portion of the medical insurance risk that is borne by the Town. Revised Budget Budget 2005 FYE2006 2007 2008 Revenues Charges for services $345,160 $362,750 $411,787 $426,815 Investment income 4,444 17,750 15,600 15,600 Miscellaneous 6,001 2,526 2,500 2,500 Total Revenues 355,605 383,026 429,887 444,915 Expenses Personnel Services 0 0 0 0 Operations & Maintenance 295,391 372,870 400,455 427,481 Total Current Expenses 295,391 372,870 400,455 427,481 Capital 0 0 0 0 Total Expenses 295,391 372,870 400,455 427,481 in/dec over prior year: 26% 7% 7% Increase (decrease) in Fund balance 60,214 10,156 29,432 17,434 Beginning Fund balance 266,457 326,671 336,827 366,259 Ending Fund balance $326,671 $336,827 $366,259 $383,693 Budget comments 2006 2007 2008 E,penfes include: Post employment insurance benefit 23,260 37,519 47,928 Benefit consultant fee for bidding coverage 30,000 30,000 30,000 Actuarial study (required by GASB 45 for 2,500 0 0 post-employment benefits) Health benefits payments 316,510 332,336 348,953 * items to be returned to committee for further discussion and action * * items to be returned to committee for authorization to release calls for bids ***Lortiputer hardware or software to be reviewed by computer committee 10/30/06 Police Pension Fund (710) Fiduciary Fund (Closed), #710 Town ofEstes Park 2007-2008 Budget Purpose: The Police Pension Fund is a plan that wasformerly olfered to the Town of Estes Park's law enforcement personnel. The plan was closed to new enrollees in 1988, and a 401(a) defined contributionplan is currently offered. Revised Budget Budget 2005 FYE2006 2007 2008 Revenues Additions: State: $0 $0 $0 $O Town: 0 0 0 0 Investment: 418 300 300 300 Total Revenues $418 $300 $300 $300 Expenses Personnel Services 0 0 0 0 Operations & Maintenance 2,565 2,565 2,565 2,565 Total Current Expenses 2,565 2,565 2,565 2,565 Capital 0 0 0 0 Total Expenses 2,565 2,565 2,565 2,565 Excess (deficiency) of revenues over (2,147) (2,265) (2,265) (2,265) expenditures Other financing sources (transfers in) 0 0 0 0 Other financing uses (transfers out) 0 0 0 0 Excess (deficiency) of revenues over expenditures and other financing sources (2,147) (2,265) (2,265) (2,265) Beginning Net Asset balance 12,129 9,982 7,717 5,452 Ending Net Asset balance $9,982 $7,717 $5,452 $3,187 Budget comments 2006 2007 2008 The Town administers the single employer Police Defined Benefit Pension Plan. Currently, only one suniving spouse is receiving benefits. The monthly benefit is $214 with no future increases scheduled. *items to be returned to committee for further discussion and action ** items to be returned to committee for authorization to release calls for bids *** computer hardware or software to be reviewed by computer committee 10/30/06 Fire Pension Fund Fiduciary Fund, #709 Town of Estes Park 2007-2008 Budget Purpose: To provide a pension to retired volunteerfirejighters that have served the Town of Estes Park. Revised Budget Budget 2005 FYE2006 2007 2008 Revenui Additions: State: $54,148 $57,443 $58,649 $60,115 Town: 61,969 63,828 65,168 66,537 Investment: 20,412 33,000 38,700 38,700 Total Revenues $136,529 $154.271 $162,517 $165,352 Expenses Personnel Services 0 0 0 0 Operations & Maintenance 85,260 85,260 90,160 91,000 Total Current Expenses 85,260 85,260 90,160 91,000 Capi,1 0 0 0 0 Total Expenses 85,260 85,260 90,160 91.000 in/dec over prior year: 0% 6% 1% E,ces, (deficiency) of revenues over 51,269 69,011 72,357 74,352 expenditures Other financing sources (transfers in) 0 0 0 0 Other financing uses (transfers out) 0 0 0 Excess (deficiency) of revenues over expenditures and other financing sources 51,269 69,011 72,357 74,352 Beginning Net Asset balance 990,987 1,042,256 1,111,267 1,183,624 Ending Net Asset balance $1,042.256 $1,111,267 $1.183.624 $1,257,976 Budget comments 2006 2007 2008 Personnel Services none Operations & Maintenance Current benefit payment 84,560 89,460 90,300 (23 retirees in 2006) Death benefit payment 700 700 700 The Firefighter's pension plan isa single employer defined benefit pension plan as authorized by State of C'i ilorado statute. The plan is administered by a board of Trustees composed to Town elected officials, staff and firefighters. A firefighter is qualified to receive the current maximum benefit of $350 per month after re,1.hint the age of 50 and completing 20 years ofservice, At the end of 2006, there were 23 retirees and hei:efi.Iaries, two inactive members elegible for benefits, and 42 active members. Actuarial studies are .nlidli.ted every two years. The most recent study as ofJanuary 31,2005, indicated that the current level of contnbut[0115 to the fund are adequate to support, on an actuarially sound basis, the prospective benefits and costs for the present plan. *items to be returned to committee for further discussion and action **iitems to be returned to committee for authorization to release calls for bids *** computer hardware or software to be reviewed by computer committee 10/31/06 Theater Fund (formerly known as Friends of Stanley Hall Fund) Fiduciary Fund, #716 Town of Estes Park 2007-2008 Budget Purpose: The Friends of Stanley Hall donated funds to the Town of Estes Parkfor the purpose ofconstruction of a pedormingarts facility. Theagreementrequires tthat thefeasability ofthefacility will be determined by 2006. Ifthefacilityis notfeasible, by 2009 thefunds are to bedonated toanon-projitorganizationdedicated to the support of the pe}forming arts. Revised Budget Budget 2005 FYE2006 2007 2008 Revenues Investment income $14,452 $23,500 $19,500 $15,000 Total Revenues $14,452 $23,500 $19,500 $15,000 Expenses Personnel Services 0 0 0 0 Operations & Maintenance 2,212 25,000 63,500 0 Total Current Expenses 2,212 25,000 63,500 0 Capital 0 0 0 0 Total Expenses 2,212 25,000 63,500 0 inf€lee over prior year: 1030% 154% -100% Increase (decrease) in Fund balance 12,240 (1,500) (44,000) 15,000 Beginning Fund balance 432,347 444,587 443,087 399,087 Ending Fund balance $444,587 $443,087 $399,087 $414,087 Budget comments 2006 2007 2008 Operations & Maintenance Feasability Study - Fairgrounds 25,000 0 0 Legal 0 1,500 0 Other professional fees 0 20,000 0 Publication fees 0 7,000 0 Materials & supplies 0 35,000 0 *items to be returned to committee for further discussion and action **iitems to be returned to committee for authorization to release calls for bids ***computer hardware or software to be reviewed by computer committee MEMORANDUM To: Honorable Mayor Baudek and Board of Trustees From: Randy Repola 9~* Date: November 1 , 2006 Subject: 2007 Compensation Plan Proposal Town employee compensation is guided by two personnel policies: Pay Philosophy and Compensation Policy. Per the Compensation Policy, Town salaries are adjusted based upon the Denver-Boulder-Greeley Consumer Price Index (CPI) and a Cost Of Living Adjustment (COLA) is provided at the beginning of each year; additionally certain positions are adjusted based upon a review of CML salary data and labor pool cost of living factors. Merit and Bonus awards are made under the Town's Pay Philosophy Policy which makes salary awards based upon performance. For 2007, staff is proposing deviations from both policies. For 2007, we propose that 3.5% be allocated for salary increases. This will be split between merit increases (3.0%) and one-time bonus awards (0.5%). Secondly, staff will conduct an analysis of the Town's current salary structure and comparison market and develop a proposal by September 1, 2007, to address rising personnel costs. Additional detail will be provided on budget versus actual personnel cost at the November 3, study session. The rationale for a 3.5% increase is based upon current estimates of the CPI for our region. State and federal sources estimate that the 2006 CPI in the Denver-Boulder-Greeley area will increase between 3.4% and 3.8%. Therefore staff recommends that increases awarded based upon performance (following an annual performance review) provide an increase that will at least match the CPI. Department heads will be permitted to award merit increases to individual employees of up to 5%. However, in order to award one individual 5%, another employee(s) will get very little or no merit increase. On the other hand, the rationale for use of bonus is twofold. It allows supervisors to award performance that may be an improvement but does not warrant an increase to base salary. In addition, the bonus reduces the inflationary impact on total payroll year-to-year. Secondly, staff will conduct an in-house analysis of the current salary system. There are options to the existing system to include more emphasis on local factors for certain positions which do not require certification, licensure or advanced degrees (i.e., police officers, lineman, water employees, accountants, etc.). However, it is important that we maintain a competitive salary structure in order to attract and retain high quality employees. Furthermore, staffing levels shall be reviewed and reductions evaluated. Department heads will evaluate their service scopes and determine the impact of staffing reductions on the level and quality of services. The results of the analysis will be reviewed in a study session when complete (approximately September 1, 2007). Any changes can be implemented following that review. In the mean time, there will be no cost of living adjustment and no pay grades will be moved. If the analysis indicates that adjustments should be made, those changes will be made following the study session and with Board approval. If this course of action is approved, staff will prepare an action item for a November or December board meeting. The action will be to set aside relevant policies for 2007 and allow time for development of alternatives to existing staffing and,compensation practices. 10/31/06 General Fund Employee Benefits, #101-1800 Town ofEstes Park 2007-2008 Budget Purpose: This division provides for employee recognition, motivation and events. Included in events are the summer picnic and Christmas party. Revised Budget Budget 2005 FYE2006 2007 2008 Personnel Services $0 $0 $0 $0 Operations & Maintenance 20,556 20,300 22,500 22,900 Total Current Expenses 20,556 20,300 22,500 22,900 Capital 0 0 0 0 Total Expenses $20,556 $20,300 $22,500 $22,900 inc/dec over prior year -1% 11% 2% Budget Comments 2006 2007 2008 Personnel Levels none Operations & Maintenance Catering (Picnic, Christmas) 15,000 15,400 15,800 Employee recognition (Tree) 3,500 3,500 3,500 Employee Home Ownership 1,800 3,600 3,600 *items to be returned to committee for further discussion and action ** items to be returned to committee for authorization to release calls for bids *** computer hardware or software to be reviewed by computer committee 10/30/06 Building Authority Fund Debt Service Fund, #419 Town of Estes Park 2007-2008 Budget Purpose: To administer Certificate of Participations issued for golf course improvements by the Town of Estes Park and the Recreation District, due to mature in 2009. Revised Budget Budget 2005 FYE2006 2007 2008 Revenues Total Revenues $92,835 $92,930 $92,805 $93,460 Expenses Personnel Services 0 0 0 0 Operations & Maintenance 0 0 0 0 Total Current Expenses 0 0 0 0 Capital 0 0 0 0 Debt service 92,835 92,930 92,805 93,460 Total Expenses 92,835 92,930 92,805 93,460 Excess (deficiency) of revenues over 0 0 0 0 expenditures Other financing sources (transfers in) 0 0 0 0 Other financing uses (transfers out) 0 0 0 0 Excess (deficiency) of revenues over 0 0 0 0 expenditures and other financing sources Beginning Fund balance 0 0 0 0 Ending Fund balance $0 $0 $0 $0 Budget comments 2006 2007 2008 *items to be returned to committee for further discussion and action **ttems to be returned to committee for authorization to release calls for bids *** computer hardware or software to be reviewed by computer committee 10/30/06 Park Entrance Estates Debt Service Fund, #303 Special Assessment District - Construction Town of Estes Park 2007-2008 Budget Purpose: To collect the annual assessments for the High Drive area Special Assessment District. All collections are to be used to retire the 1996 Park Entrance Estates SID bond issue. 2005 is the 9th year of the 10-year issue. Revised Budget Budget 2005 FYE2006 2007 2008 Revenues Investment income $50 $450 $0 $0 Total Revenues 50 450 0 0 Expenses Personnel Services 0 0 0 0 Operations & Maintenance 0 48 0 0 Total Current Expenses 0 48 0 0 Capital 0 0 0 0 Total Expenses 0 48 0 0 Excess (deficiency) of revenues over 50 402 0 0 expenditures Other financing sources (transfers in) 0 0 0 0 Other financing uses (transfers out) 0 0 0 0 Excess (deficiency) of revenues over 50 402 0 0 expenditures and other financing sources Beginning Fund balance 1,851 1,901 2,303 2,303 Ending Fund balance $1,901 $2,303 $2,303 $2,303 Budget comments: None + items to be returned to committee for further discussion and action ** items to be returned to committee for authorization to release calls for bids ***Luttlputer hardware or software to be reviewed by computer committee 10/30/06 Park Entrance Estates Fund Debt Service Fund, #414 Special Assessment District Town of Estes Park 2007-2008 Budget Purpose: To collect the annual assessments for the High Drive area Special Assessment District. All collections are used to retire the 1996 Park Entrance Estates SID bond issue. 2006 is the 10th yearofthe ten-year issue. Revised Budget Budget 2005 FYE2006 2007 2008 Re,enues Interest income $2,918 $1,140 50 $0 Taxes 16,486 4,567 0 0 Total Revenues 19,404 5,707 0 0 Expenses Personnel Services 0 0 0 0 Operations & Maintenance 0 0 0 0 Total Current Expenses 0 0 0 0 Capital 0 0 0 0 Debt Service 0 4,163 0 0 Total Expenses 0 4,163 0 0 Excess (deficiency) of revenues over 19,404 1,544 0 0 expenditures Other financing sources (transfers in) 0 0 0 0 Other financing uses (transfers out) 0 0 0 0 Excess (deficiency) of revenues over 19,404 1,544 0 0 expenditures and other financing sources Beginning Fund balance (2,887) 16,517 18,061 18,061 Ending Fund balance $16,517 $18,061 $18,061 $18,061 Budget comments: None *items to be returned to committee for further discussion and action **items to be returned to committee for authorization to release calls for bids ***computer hardware or software to be reviewed by computer committee