HomeMy WebLinkAbout10/27/2009 00 Agenda and Packet g 4.1 k Njo
David Edien Mayor
micah cawle Asa. . t Mayor
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i 4'. Yakima Haureen Addison
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City C o
ount. Kathy Cffey
Mod Caney
g_..„.:_n_ig, Agenda Bid Lover
129 ADO S -etYakana,WA 98901 Sonia Reffiguez
Phone: (509) 575-6000 • Dv (509) 578-6614 City Manager
Email: ccouncil@ct.yaldrnowa.us . www.m.yakirnowans Richard Ai paid In
Anyone wishing to address the Council, please fill out the form found on the tables and give it to the Kim Clerk
YAKIMA CITY COUNCIL
STUDY SESSION
OCTOBER 7, 2009 -800 — 10:M A.M.
COUNCIL. CHAmBERs -met CITY HALL
1. Roll Call
2. Review of 2010 General Govern =nt Budget 4. = nditure Reduction Proposals
ow tie Prioribes of Gov; *lid **el as tolls :
9 Public Health and Safety rwritinuationb—Legal proseartion and
ind :int defense
9 SeSOLUde Management
* Econ. ic Development
QualiW of Lide
• Custo =ii SerViCe and Cornitsunications
9 Strategic Partserships
NOT" - : z se bting 2010 Budget Fe t eta? and refer to 2010 Priorities of
Govern tiMai ti "MapnerM r ion 3 of rtm Forecast, which ind « as the
proposed bud at reductions.
3. Audience Comments (9:45 — 10:00 amp
4. Adjournment
Yakima
rl I
1 I P
City of Yakima Polon Statement To create a CUittirally diverse. economically odium safe, and s ang Yakima commumty
. .
Adopted March 2008 ti94
City of Yakima
Council C e Info
(10-23-09)
Budget Update
10-23-09 Council Budget Packet
Contents
1. Transmittal Memo
2. Budget Review Schedule (November & December)
3. Updated Budget Forecast:
• Revenue Projections 2009 and 2010
• Additional Proposed General Government Budget Reductions
4. Logs - Budget Adjustment Requests:
• Council Member Proposed Reinstatements of a Budget Reduction
• Council Member Proposed Additional Budget Reduction (none at this time)
• Proposed Budget Revenue Enhancements
5. Forms for requesting Budget Adjustments:
• Council Member Request for a Budget Reinstatement and/or Additional
Budget Reductions
• Council Member Request for Additional Revenue Enhancements
6. Budget Forecast — Part 2: Please insert these pages into your Budget Forecast
Binder - previously distributed.
Enclosed you'll find the Budget Forecast for Sections V and VI — not previously
distributed, as this information was not completed at the time the General
Government Budget Forecast was submitted to Council. Enclosed for insertion
into your Budget Forecast Binders:
• Section V
Section VI - These two Sections include the proposed 2010 Budget for
Non-General Government operating funds and Capital Funds
• Updated 3/10% Criminal Justice worksheet in Exhibit III; please replace the
pages in your budget hinder with the pages enclosed. (There was an error in
the worksheet previously distributed, these pages have been corrected.)
7. Updated Budget Priority "Map" (w/legend) — Council packets only
8. Supplemental Information:
Budget Reduction Proposals:
• Street lights *
• Emergency Management Proposal *
• Animal Control (Enclosed)
* These updates will be provided at the 10-27-09 Budget Review Meeting
MEMORANDUM
October 23, 2009
To: The Honorable Mayor and Members of City Council
From: Dick Zais, City Manager
Rita DeBord, Finance Directo
Cindy Epperson, Deputy Director Accounting & Budgeting
Re: 2010 Budget Forecast Update
The purpose of this memo to advise Council of recent developments in the preparation of
the City's 2010 Budget, to provide you with the most recent information regarding
current issues, to follow-up on Council Member questions, and to provide a summary of
Council's Budget Review Schedule through the end of the year.
Council Budget Review Schedule: The second meeting scheduled for the review of
staff's proposed 2010General Government budget reductions within the Priorities of
Government Model is scheduled for Tuesday, October 27, 2009 in Council Chambers,
from 8:00 — 10:00am.
We will commence this meeting with a review of the proposed budget reductions in the
City Management's service units within the Public Health and Safety Budget Priority
(i.e.: The purple boxes under Public Health and Safely on the Priorities of Government
Model: Service Unit 103 — Criminal Justice Sales Tax /Police Recruiting and
prosecution; Service Unit 132 — Indigent Defense, and Service Unit 131 — Prosecution.)
We will then move to Budget Priority #2 - the Resource Management; if Council
completes' their review of the proposed budget reductions in this area, we'll move
directly to Budget Priority #3 — Economic Development, and so on until Council has
completed their review of the proposed reductions in all Budget Priorities, or until we run
out of time — whichever comes first.
Should there not be sufficient time on October 27`" for Council to complete their review
of the proposed budget reductions within all six Budget Priorities, the next budget review
meeting, which is scheduled for Tuesday, November 3 will pick up where Council left
off at the October 27 meeting. Once all proposed 2010 General Government budget
reductions have been reviewed, Council will commence their Departmental Budget
Review of all areas - City-wide. Each Tuesday morning in November has been
scheduled for this purpose, with the last Tuesday of the month scheduled as a tentative
(overflow) meeting, if needed.
Page 1 of 3
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The public hearing on the 2010 budget, and related property tax levy, has been scheduled
for Council's regular business meeting on November 17, 2009. As in the past, the
Budget Wrap-up meeting (where Council makes their final decisions on the 2010 budget
- including Policy Issues and budget reductions) is scheduled for the first Tuesday
morning in December and the Budget adoption meeting is scheduled for Council's 2
business meeting of December — which has tentatively been moved forward one week to
Tuesday, December 8, 2009.
A copy of the November and December budget review meeting schedule is enclosed.
Updated Forecast: At this time of year, staff constantly monitors revenues and
expenditures and continually re-assesses our current projections for both year-end and
next year's budget forecast. Since submitting the 2010 Budget Forecast Document to you
on October 5` staff has updated our revenue projections, resulting in a net reduction in
the 2010 General Government revenue of approximately $200,000 — the net impact in the
2009 General Government year-end forecast was minimal.
The City Manager has briefed each of you on this latest revenue forecast, and he has met
with the Department Directors to advise them of the reduction in 2010 General
Government revenues and to prepare a plan for additional reductions to the proposed
budget to offset this loss of revenues. The primary changes in the Revenue projections
include: (a) a reduction in 2009 and 2010 projected interest earnings of $224,000 and
$345,000, respectively (the 2009 impact was offset by revenue projection increases in
other revenues), and (b) an increase in projected Sales Tax revenues — based on 10
months of actual 2009 receipts — of approximately $150,000 in both 2009 and 2010.
There were a few other revenues for which the projections were increased or decreased
by relatively small dollar amounts. Refer to the enclosed information for a full list of
adjustments and more information regarding these updates.
Proposed Budget Modifications Log: At your last Council Budget Review meeting,
three suggestions were made by Council for reinstatement of a budget reduction item.
Staff has developed a Log to track these suggestions, as well as a log for any further
budget reductions and/or revenue enhancements that may come up over the duration of
the budget review process (copy of each Log is enclosed).
Council Request Forms: Enclosed for Council's convenience, you'll find two forms for
your use in proposing changes to the 2010 General Government Budget Forecast. A
Form has been prepared to facilitate tracking of Council Requests and the preparation of
any necessary follow up of proposed budget modifications to:
(a) Reinstate a current expenditure not included in the proposed 2010 budget or to
Further Reduce the 2010 budget for a specific expenditure; and
(b) Propose a revenue enhancement.
Page 2 of 3
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Each of these forms is included in this budget packet for your use; additional copies will
be provided at your request. For purposes of timely communications to the frill council
and to assist staff in budget preparation and any research or follow up that may be
needed, we encourage Council Members to forward their proposals to the City Manager
or Budget Staff as soon as possible. We will then transfer your individual requests onto a
summarized log and present Council with an updated list at each Budget Review meeting.
Updated Priorities of Government Model "Map": Provided to Council Members only
at this time. (Changes to date include correction to wording in Top Box and the addition
of a legend to designate the Department represented by each color on the map.)
Supplemental Information Regarding Bud2et Reduction Proposals (relates to Section
III of the Budget Forecast :
• Street lights *
• Emergency Management Proposal *
• Animal Control (Enclosed)
* These updates will be provided at the 10-27-09 Budget Review Meeting
Page 3 of 3
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CI I Y OF YAKIMA
2010 BUDGET PROCESS
COUNCIL BUDGET REVIEW SCHEDULE — SUMMARY *
(as revised 10/22/09)
Date / Time: Topic / Purpose:
Budget Reduction Review:
• Over Flow
• Council Discussion Direction
Date: Tuesday, November 3, 2009
Commence Budget Review by Dept.:
Meeting: Council Budget Review
Municipal Court - (Includes Probation)
Time: 8:00 a.m. - 11:30 a.m
Police - (Includes Law & Justice Capital)
Fire
Public Safety Communications
Public TATUrIc,5_27_
Administration - Streets & Traffic - Transit - Refuse
- Equipment Rental - Parks & Recreation - Cemetery
Date: Tuesday, November 10, 2009 City Administration
Meeting: Council Budget Review - Council - City Manager - City Clerks and Records
Time: 8:00 a.m. - 11:30 a.m, - Human Resources - Employee Insurance Benefits
- Purchasing - Community Relations - Legal
- Indigent Defense - Risk Management
- Wastewater - Stomiwater - Water - Irrigation
Commuj & ono It ic ' ve ment
- Planning - Codes - ONDS - Economic Development
Date: Tuesday, November 17, 2009
- CBD Capital - Tourism Promotion - Capitol Theatre
Meeting: Council Budget Review
Time: 8:00 a.m. - 11:30 a.m. Finance
(Includes Information Systems & Utility Services)
• v I I duction DiscuslLon
Public Hearing on Ad Valorem (Property) Tax.
Date: Tuesday, November 17, 2009 Public Hearing on Budget
Meeting: Regular Council Budget Review (Public Comment Requested)
Time: Public Hearings: 7:00 p.m. - Outside Agencies
- Intergovernmental Agencies
Date: Tuesday, November 24, 2009 Over Flow - If needed
Meeting: Council Budget Review -
Time: 8:00 a.m. - 10:00 a.m.
Date: Tuesday, December 1, 2009
Meeting: Council Budget Review Budget Wrap-Up -- Budget Wrap-Up Document
Time: 8:00 a.m. - 11:30 a.m.
Date: Tuesday, December 8, 2009
Meeting: Regular (Adjourned) Bus. Mtg. Budget Adoption -- Council Agenda Item
Time: 2:00 p.m.
* All meetings will be held at City Hall In Council Chambers
General Fund - 2009 and 2010 Forecast
Budget Adjustments - Revenue
(as of October 21, 2009)
Revenue : 2009 2,010
• Interest Earnings (224,000) (345,000)
• Property tax 50,000
• Sales Tax 150,000 153,000
• WW Utility Tax Revenue (In-Lieu) 14,000 34,000
• Permit Revenue 30,000
• Engineering Revenue 25,000
• Print Shop Revenue (30,000) (15,000)
• Sales Tax Interest Earnings (State) (17,000) (15,000)
• Additional ATF Contribution (cost reimbursement) 5,000
Sub Net Revenue Reductions (2,000) (183,000)
(a) Increase / decrease from Year-end estimate
(1) Interest Earnings: The reduction in projected interest earnings is based on the results of a recent
thorough review and analysis of all City investments and the related investment markets. This review was
delayed due to personnel issues / changes within the Finance Division. The primary factors that
contributed to the reduced interest earnings include a significant drop in interest rates during the year,
several large investments with higher interest rates that matured in the past few months, which will be
reinvested in the current low interest rate market, and personnel changes that temporarily hindered active
investment activity. (Note: Interest Earnings received from the State on our Sales Tax revenues was also
reduced due to the drop in these revenues and interest rates.)
(2) Sales Tax: Projections of 2009 and 2010 Sales Tax revenues were increased after receipt of October Sales
Tax numbers, which indicate that the large drop in these revenues has slowed and possibly leveled off.
Thus, staff updated these projections to be slightly less severe than previously estimated.
(3) Other Revenue Adjustments: Workload in Permits and Engineering indicates these revenues will come
in slightly stronger than previously forecasted. The Fire Department recently received notice of eligibility
for up to $5,000 in contributions from the Department of Alcohol, Tobacco and Firearms (ATF) for
reimbursement of certain overtime costs for the Canine Unit.
rd 10-19-09 Budget Adjustments
10/23/2009
General Government
Additional 2010 Budget Reductions
Priorities of Government Model
Reductions
$200,000 Additional Reduction Allocation: Identified
1. Public Health & Safety 68.5% 137,000 238,000
2. Resource Management 14.8% 29,600 32,000
3. Economic Devel. 5.4% 10,800 15,000
4. Quality of Life 7.2% 14,400 15,000
5. Customer Service 3.1% 6,200 5,000
6. Strategic Partnerships 1.0% 2,000
Total $200,000 $305,000
Service Reduction Options:
1. Public Health & Safety
„o p) Fund 2 Police Officers (1currently budgeted) from COPS Grant 78,000
iK)) Turn lights out on 500 street lights (400w = approx. $120 p/yr) 30,000
- non-intersection
- arterial streets only
c) Bring Emergency Mgmt. planning In-house/ mid year ($60,000 p/yr) 30,000
d) Additional Savings - Jail Cost Reduction Efforts 100,000
238,000
2. Resource Management
a) Eliminate 50% Financial Tech. Position (equates to 25% of Accountant Staff) 32,000
- maintain $10K (+) in O.T.
- position elimination for 1 yr
3. Economic Development:
a) Transfer YCDA to Economic development Fund 15,000
4. Quality of Life
a) Defer replacement of Parks & Recreation Admin. to 2nd Qtr (to 4/01/09) 15,000
5. Customer Service & Communications:
a) Defer YMC Updates for one year (last updated 8/2009) 5,000
Total of Service Reductions Identified $305,000
11ApolloWsers\ranson\BUDGET\Budget - 2010\10-19-09 Addl. Budget Reductions.xls
10/23/2009
City of Yakima
2010 Budget Forecast
Part 2
On October 2, 2009, staff submitted the General Government
portion of the 2010 Budget Forecast to Council. The balance
of the 2010 Budget Forecast information is enclosed.
Budget Forecast Information Enclosed:
• Sections V - Other Funds, and
• Section VI - Capital Improvement Fund.
Please insert this information into your Budget
Forecast Binders in the appropriate section tab.
• Exhibit III - Updated 3/10% Criminal Justice worksheet.
There was an error in the worksheet previously
distributed, these pages have been corrected.
Please replace the pages in Exhibit III of your binder
with the pages enclosed.
Should you have any questions about the enclosed Budget
Forecast information, budget staff will be available at your
Tuesday, October 27th Council Budget Review meeting to assist
you.
City of Yakima
2010 Budget rec
Part 2
Section V
Other Funds
OT R OPE TING • ► ELATE "RISE F I'S
2009 year -end estimates for the City's Other Operating and Enterprise Funds are summarized
below:
2009 BUDGET STATUS
2009 2009 EST. 2009 2009
AMENDED ACTUAL ESTIMATED EST. ENDING
FUND BUDGET EXPENDITURES VARIANCE RESOURCES BALANCE
Economic Development $146,173 $98,970 $47,203 $286,955 $187,985
Neighborhood Development (Housing) 4,525,424 4,261,559 263,865 4,865,960 604,401
Community Relations 577,802 543,824 33,978 1,343,775 799,951
Community Services 487,712 349,712 138,000 395,880 46,168
Growth Mgmt /Commute Trip Red Fund 49,745 49,745 0 49,838 93
Cemetery 260,420 256,912 3,508 309,469 52,557
Emergency Services 1,167,430 1,141,339 26,091 1,240,897 99,558
Public Safety Communications 3,028,165 2,900,907 127,258 3,161,344 260,437
Police Grants 0 0 0 224,000 224,000
Downtown Yakima Improvement District 204,592 202,399 2,193 211,666 9,267
Trolley (Yakima Interurban Lines) 248,207 221,621 26,586 225,552 3,931
Front Street Business Improvement 3,000 3,000 0 11,002 8,002
Tourist Promotion 1,474,205 1,303,209 170,996 1,488,903 185,694
Capitol Theatre 318,513 318,513 0 447,167 128,654
PFD Revenue - Convention Center 696,000 666,775 29,225 817,508 150,733
Tourist Promotion Area 405,088 374,834 30,254 375,248 414
PFD Revenue - Capitol Theatre 498,000 480,000 18,000 498,000 18,000
Stormwater Operating 1,801,039 1,799,628 1,411 2,145,651 346,023
Transit 7,460,107 6,903,596 556,511 7,515,751 612,155
Refuse 4,652,022 4,592,614 59,408 4,845,037 252,423
Wastewater 16,875,924 16,717,073 158,851 18,625,769 1,908,696
Water 7,303,953 7,257,874 46,079 8,999,158 1,741,284
Irrigation 2,784,200 2,756,837 27,363 2,928,485 171,648
Equipment Rental 5,998,773 5,182,028 816,745 9,293,796 4,111,768
Environmental 1,381,220 855,000 526,220 1,349,244 494,244
Public Works Administration 1,199,463 1,177,556 21,907 1,364,923 187,367
TOTAL $63,547,177 $60,415,525 $3,131,652 $73,020,978 $12,605,453
All Operating and Enterprise Funds are anticipated to end 2009 with positive fund balances.
This analysis includes appropriations approved by Council through September. All
operating funds are anticipating actual expenditures within authorized levels.
Other Funds • Section V - I
2010 projections for Other Operating and Enterprise Funds expenditures and resources are
reflected below. (Resources include the beginning fund balance plus current year revenue,
to arrive at a total available to spend.)
PROPOSED 2010 BUDGET
2010 2010 2010
PROJECTED PROJECTED PROJECTED
FUND RESOURCES EXPENSE BALANCE
Economic Development $230,985 $99,306 $131,679
Neighborhood Development (Housing) 2,977,847 2,529,187 448,660
Community Relations 1,281,151 561,448 719,703
Community Services 384,502 303,334 81,168
Growth Mgmt /Commute Trip Reduction Fund 93 0 93
Cemetery 299,307 256,155 43,152
Emergency Services 1,163,428 1,110,329 53,099
Public Safety Communications 3,196,747 2,994,394 202,353
Police Grants 814,000 683,019 130,981
Downtown Yakima Improvement District 219,437 209,989 9,448
Trolley 12,917 7,848 5,069
Front Street Business Improvement Area 11,537 5,000 6,537
Tourist Promotion 1,590,194 1,469,180 121,014
Capitol Theatre 439,081 319,749 119,332
PFD Revenue - Convention Center 831,733 689,000 142,733
Tourist Promotion Area 378,619 378,205 414
PFD Revenue - Capitol Theatre 521,000 502,000 19,000
Recovery Program Grants 814,000 814,000 0
Stormwater Operating 2,446,023 2,103,128 342,895
Transit 7,728,255 7,200,452 527,803
Refuse 4,939,573 4,649,892 289,681
Wastewater 19,167,910 17,570,394 1,597,516
Water 9,136,121 7,774,807 1,361,314
Irrigation 2,943,248 2,758,394 184,854
Equipment Rental 9,102,072 5,198,027 3,904,045
Environmental 1,057,244 828,450 228,794
Public Works Administration 1,372,698 1,191,886 180,812
TOTAL OTHER OPERATING AND ENTERPRISE FUNDS $73,059,722 $62,207,573 $10,852,149
See Exhibit I for additional detail of Other Operating and Enterprise Funds.
The following chart depicts a summary of resources and expenditures for major operating
and Utility fund operations for 2010, including contingency, operating reserve funds and
employee benefit funds. Although Equipment Rental is included on the table above, it is
split into an operating component and capital component for charting operating vs. capital
budgets.
2 - Section V • Other Funds
2010 RESTRICTED OPERATING AND RESERVE FUNDS
2010
Forecast
Division : Dollars in Millions
Reserves, Risk Mgnit, Emp Benefits $17 043,047
Cap Theatre, Cemetery, Trust Rs vs 23,343,581
Wastewater
19,167,910 Azint",12T1hl_ilifist.taMilif3q6,,est.
Water/Irrigation 10,533,201
Irrig ation Fees, Reserves
Transit 7,200,452
7 Tranit Sales Tax, Oper Grants, Fare Box
Refuse 4,649,892
4,939,573 Refuse Rates
Equipment Rental 3,572,527 0 Expenditures
3,615,596 RitballARM Charges 0 Resources
Stormwater 2,103,128
2 Stormwater Fees
Special Purpose, Housing, Emer Sys 14,852,
Public Wks Admm, Cable TV, Misc 17,496,520 016"mlorpccue,
Total Expenditures $77,525,120
Total Resources $90,816,827
OPERATING FUNDS
For more information on policy issues that affect these funds see the Policy Issue Summary
in Exhibit II.
THE ECONOMIC DEVELOPMENT FUND
This fund reflects resources of $230,985 and expenditures of $99,306 for 2010. These funds
are planned to be used to spur economic development. Expenditures include an allocation
of Community and Economic Development positions and continuation of Federal legislative
funding efforts.
THE COMMUNITY DEVELOPMENT FUND (OFFICE OF NEIGHBORHOOD DEVELOPMENT SERVICES - ONDS)
This fund contains programs funded by Housing and Urban Development (HUD),
including the Community Development Block Grant (CDBG) and Home ownership
(HOME) grants. Expenditures are budgeted at $2 th
i 2,5 9,187 and are subject to the public
hearing process. With a focus on stimulus funding in the Federal Budget, the 2010 budget
anticipates a similar allocation as the 2009 program grants. Because of the programmatic
nature of the Community Development Budget, along with differences in reporting
time frame for Federal programs, the City budget is annually adjusted to reflect the final
outcome of prior year programs. The 2010 ending balance is projected to be $448,660.
Other Funds • Section V-3
THE COMMUNITY RELATIONS FUND
The Community Relations fund expects resources of $1,281,151 for 2010. Expenditures are
estimated to be $561,448, leaving the balance estimated at $719,703 for year-end, earmarked
primarily for capital expenditure on production equipment/cable TV facilities.
THE COMMUNITY SERVICES FUND
This fund includes the 4th year of the Healthy Families Yakima program, which is a 5-year
demonstration project through the Department of Social and Health Services. Total resources,
which include grant revenue and match contributions, are estimated to be $384,502, and
expenditures are budgeted to be $303,334, leaving an ending balance of $81,168.
THE GROWTH MANAGEMENT FUND
This fund has special projects/grants related to growth management issues that have been
accounted for in this fund. There is no activity planned for this fund. The projected ending
balance is $93.
CEMETERY FUND
Resources within this fund for 2010 are projected at $299,307, expenditures are estimated to
be $256,155, and the estimated ending balance is projected at S43,152. The Cemetery Fund
is depending on a $50,000 operational subsidy from the Parks and Recreation Fund.
THE EMERGENCY SERVICES FUND
Resources in this fund reflect revenues of $1,163,428 and expenditures of $1,110,329 related
to the provision of Emergency Medical Services, and are supported by an allocation of
the countywide special EMS Property Tax Levy, which was renewed by the voters in
September 2002. The 2010 ending balance is projected to be $53,099.
THE PUBLIC SAFETY COMMUNICATIONS FUND
This fund expects resources of $3,196,747 and expenditures of $2,994,394 for 2010, leaving
a balance of $202,353 at year-end. This fund accounts for 9-1-1 Calltakers, supported by
Yakima County 9-1-1 resources in the amount of $1,372,350. General Fund expenditures
include a transfer of $850,000 for dispatch.
POLICE GRANTS
This is a newly created fund. It accounts for the Federal/State forfeited narcotics and
the COPS Hiring Recovery Program (CHRP), both of which have stringent reporting
requirements. CHRP is a three year program grant with a total grant of $1.5 million and
will be used to hire seven new police officers. Resources for 2010 are estimated to be
$814,000 and expenditures are budgeted at $683,019, leaving an ending balance of $130,981.
DOWNTOWN YAKIMA BUSINESS IMPROVEMENT DISTRICT (DYBID) FUND
Resources in this fund are projected to be $219,437, coming primarily from the new
Business Improvement District established mid-2008, while expenditures are projected at
$209,989. The ending balance for 2010 is projected at $9,448. Much of the 2010 budget is
targeted toward maintaining the recent downtown revitalization efforts.
4 — Section V • Other Funds
THE TROLLEY FUND
This fund projects resources of $12,917 and expenditures of $7,848 for 2010. It should
be noted that the final budget will be modified to include the continuation of a grant-
supported improvement project at the Trolley barn. The year-end balance is projected at
$5,069,
THE FRONT STREET BUSINESS IMPROVEMENT AREA FUND
This fund projects resources of $11,537 and expenditures of 55,000 — leaving an ending
balance of S6,537 for 2010.
THE TOURISM PROMOTION/YAKIMA CONVENTION CENTER FUND
This fund's budget anticipates resources of S1,590,194 (this includes a transfer of 5150,000
from the Public Facility District) and expenditures of $1,469,180, and thus is expected to
end 2010 with a balance of $121,014.
THE CAPITOL THEATRE FUND
This fund is expected to have resources of $439,081 and expenditures of $319,749, leaving
an estimated ending balance of $119,332.
THE PUBLIC FACILITIES DISTRICT - CONVENTION CENTER FUND
This fund includes resources estimated to be $831,733 for 2010. Expenditures are estimated
to be $689,000. Of this amount $460,000 for debt service on the Convention Center bonds
issued in 2002 and $150,000 is for supplemental support of Convention Center operations,
while $55,000 is for Convention Center Capital Fund. This leaves a fund balance of $142,733
at the end of 2010.
THE TOURIST PROMOTION AREA
This fund accounts for a self-assessment imposed by the lodging industry to promote
tourism. Resources are estimated to be S378,619, with expenditures programmed at
$378,205, leaving a balance at the end of 2010 of $414.
THE PUBLIC FACILITIES DISTRICT - CAPITOL THEATRE
This fund includes resources estimated to be $521,000 for 2010. Expenditures are estimated
to be $502,000. Of this amount S460,000 is designated for debt service on the Capitol
Expansion bond issued in 2009 and $30,000 for Capitol Theatre Construction Fund to be
available for project contingency. This leaves a fund balance of $19,000 at the end of 2010.
RECOVERY PROGRAM GRANTS
This is a new fund established to account for Federal Recovery Grants that have stringent
reporting requirements and cross operational lines. These are 100% grants (i.e. no local
match requirements), so that both the revenues and expenditures for 2010 are $814,000,
with no ending reserve balance. Staff is currently of the understanding that a portion of the
grant can be advanced. If it is reimbursement only, options will need to be researched to
provide cash flow.
Other Funds • Section V— 5
STORMWATER OPERATING FUND
Expenditures in this fund are estimated to be $2,103,128 and resources are projected to be
$2,446,023 for 2010. An ending balance of $342,895 is currently projected for 2010. This is
the third year of the new Stormwater Utility - the budget was developed assuming a rate
of $40 per Equivalent Residential Unit (ERU) annually (see Policy Issue). The expenditure
budget includes reimbursement of the Wastewater Utility for its advanced funding of
the Stormwater program, and a $200,000 transfer to the streets fund to support the street
sweeping program.
TRANSIT FUND
Expenditures in this fund are estimated to be $7,200,452 and resources are projected to be
$7,728,255 for 2010. Total Transit sales taxes for 2009 are forecast to be $4,400,000 which
is about $450,000 less than the 2008 actual. The 2010 budget includes a total of $4,445,000
with 54,295,000 allocated to operations and $150,000 to capital. Fortunately, the savings
in fuel prices and PERS rates made up for the sales tax reduction, so that route reductions
are not yet needed to balance this budget. This fund also includes an operating grant of
$1,765,000. An ending balance of $527,803 is currently projected for 2010.
THE REFUSE FUND
The expenditure budget in this fund for 2010 is $4,649,892. Total resources are estimated
to be $4,939,573, and an ending balance is currently projected at $289,681 (see unbudgeted
policy issue for a potential rate increase to cover rising landfill costs).
WASTEWATER FUND
Resources for this fund in 2010 are expected to total $19,167,910. Expenditures are
budgeted at $17,570,394 and the 2010 year-end balance is currently projected to be
$1,597,516. Transfers of about $3.10 million to Wastewater Construction Funds, and $3.11
million to provide for Wastewater Bond redemption and repayments of Public Works Trust
Fund Loans are currently programmed in this budget. The proposed 2010 Sewer budget
includes continued implementation of the Sewer Comprehensive Plan and the Wastewater
Facilities Plan. The 2010 projected resources include the continuation of a prior year policy
issue to implement a rate adjustment of 3.5%. See policy issues for position upgrade and
new capital projects.
WATER FUND
Resources of $9,136,121 are projected for 2010 in this fund. Expenditures are estimated to
be $7,774,807 leaving $1,361,314 at the end of 2010. These costs include 5800,000 transfer to
the Capital Fund, and about $566,000 to provide for Water Bond Debt Service, repayments
of Water Public Works Trust Fund Loans and $100,000 to continue implementation of a
new utility management / billing system. The 2010 projected resources include the rate
adjustment of 5.5% that was approved by Council in 2008.
IRRIGATION FUND
Resources for 2010 are projected to be $2,943,248 in this fund, and expenditures are
estimated to be $2,758,394, which includes a transfer of $881,000 to the Irrigation Capital
Fund, about $356,000 to provide debt service for an Irrigation bond and Public Works
6 — Section V • Other Funds
Trust Fund loan and $60,000 for the new utility management / billing system. The 2010
ending fund balance is projected to be $184,854.
THE EQUIPMENT RENTAL FUND
The budget for this fund in 2010 is $5,198,027 of which $3,438,770 is the maintenance and
operations budget, and $1,759,257 is the Equipment Replacement budget. Resources
are expected to be $9,102,072 while the ending fund balance for 2010 is expected to be
$3,904,045, most of which represents capital equipment replacement reserves.
THE ENVIRONMENTAL FUND
This fund was created to provide for cleanup of environmental hazards. Funding for the
program is from a surcharge on vehicle fuel sales in the Equipment Rental Fund. For 2010,
$1,057,244 in resources is expected to be available (this includes $300,000 of Department of
Ecology grants to complete the Richardson Airway Dirt Removal and Yakima Airport Tank
Cleanup projects) and $828,450 is expected to be spent. A year-end balance of S228,794 is
projected.
PUBLIC WORKS ADMINISTRATION FUND
Expenditures for 2010 are expected to be $1,191,886 for this fund. Resources for 2010 are
expected to be S1,372,698 generated from operating funds located in the Public Works
complex, resulting in a year-end balance of S180,812. A vacant Department Assistant II
position is deleted from this budget as part of the General Government budget reduction
measures. The savings translated into a reduction in charges to the Streets and Parks funds.
RESERVE FUNDS — EMPLOYEE BENEFIT RESERVES
THE UNEMPLOYMENT COMPENSATION RESERVE FUND
This self insured fund in estimated to end 2010 with a balance of $264,980. Resources
are projected to be $501,841 and expenditures for claims and other related expenses are
estimated at $236,861. Due to an anticipated increase of unemployment claims from budget
reduction measures, rates are adjusted from .00247% to .00309%.
EMPLOYEES HEALTH BENEFIT RESERVE FUND
Expenditures in this fund for 2009 are projected to be S10,553,586, while resources are
$12,708,769, leaving an ending balance projected to be $2,155,183. The 2010 budget
includes a rate adjustment of about 7.5%. The insurance board continues to monitor
the plan and review potential cost containment measures, with a goal of reducing the
magnitude of future annual premium increases.
THE WORKERS COMPENSATION RESERVE FUND
This fund is estimating a year-end balance of $1,107,895, the result of resources totaling
S2,574,590 and expenditures of $1,466,695. Ongoing efforts in claim management and
safety training are in place to slowdown the number of claims/costs.
Other Funds • Section V — 7
WELLNESS/EMPLOYEE ASSISTANCE PROGRAM (EAP) FUND
Projected total resources for 2010 are $204,475 in this fund, and expenditures are $89,849
with a projected year-end balance of $114,626.
THE FIREMEN'S RELIEF AND PENSION FUND
This fund is projecting resources of $2,414,406 and expenditures of $1,624,792, leaving an
estimated 2010 year-end balance of $789,614.
The Fire Pension property tax allocation for 2010 of $1,502,765 is 2% less than the 2009
allocation of $1,532,765 in order to keep more resources in the General Government funds,
since this fund's reserves are almost 50% of the annual budget. The City is mandated
to allocate property tax to fund pension and LEOFF I medical and long-term care
requirements.
OPERATING RESERVES
RISK MANAGEMENT RESERVE
For 2010, Risk Management Fund departmental contributions totaling $2,293,000 are
programmed from City departments, an increase of 5.0% for most operating divisions. The
increase helps pay for liability and other insurance coverage and increased claims costs,
and to meet reserve requirements. These charges, along with interest earnings, combine for
projected 2010 revenues of $2,589,000.
Total resources to the Risk Management Reserve for 2010 are expected to be S3,653,275.
Based on personnel costs, claims experience and other insurance/ professional services
costs, expenditures are estimated to be $2,759,337, and the year-end 2010 reserve balance is
estimated to be $893,938. These reserve levels are still considered marginal in comparison
to the existing liability for incurred claims; however, the combination of reductions in
deductible levels and proactive legal overview of land use actions are expected to limit future
liability. The reserve balance in this fund will continue to be monitored for adequacy.
GENERAL CONTINGENCY RESERVE FUND
The Contingency Reserve Fund is estimated to end 2010 with a balance of $1,919. For 2010,
$50,000 is programmed to be transferred from the General Fund to this fund. $225,000 is
appropriated for contingency purposes during 2010.
CAPITOL THEATRE RESERVE
The Capitol Theatre Reserve projects resources for 2010 of S461,441. Interest earnings on
this balance partially support an annual transfer to the Capitol Theatre Operating Fund
Reserve of $71,927. The projected 2010 ending balance is $389,514.
GENERAL FUND CASH FLOW RESERVE
General Fund cash flow reserves for 2010 are estimated at $2,856,334. This source is a
contingency for unbudgeted policy issues, results of negotiations for unsettled bargaining
units, other unknown expenses and potential revenue shortfalls.
8 — Section V • Other Funds
In summation, the City's 2010 General Reserve position is estimated to be as shown in the
following chart.
2010 GENERAL RESERVE POSITION
2008 2009 2010
FUND ACTUAL ESTIMATED PROJECTED
Contingency Fund $351,919 $176,919 $1,919
General Fund Cash Flow 6,798,731 4,207,894 2,856,334
Capitol Theatre Reserve 521,118 458,441 389,514
Risk Management Reserve 1,146,767 1,063,775 893,938
TOTAL $8,818,535 $5,907,029 $4,141,705
The economic downturn has put pressure on the general reserves of the City. Because these
reserves are at minimum levels, they will be scrutinized for negative trends and adequacy
as we move forward.
Exhibit I contains additional detail of funds categorized as Operating Reserves.
Other Funds • Section V— 9
10 — Section V • Other Funds
City of Yakima
2010 Budget Forecast
Part 2
Section VI
Capital Improvement Funds
• ITAL ROVEME F IS
For 2009, a number of capital improvements were programmed for an amended capital
budget of $62.3 million. However, capital improvement expenditures for 2009 were
estimated to be $30.8 million, a spending level approximately $3L5 million below budgeted
levels. These projects are rebudgeted in 2010 along with additional capital improvements.
Examples of the projects being rebudgeted include the Railroad Grade Separation; 16th
Avenue & Washington Avenue reconstruction; Summitview & 66th Avenue Signalization;
the Capitol Theatre expansion / refurbishment; Automated Meter Reading; and Irrigation
system refurbishment. (See Exhibit I for a summary of the status of the capital funds.)
The following describes the relationship of resources and expenditures for major capital
budgets of the City, including debt service and the capital portion of the Equipment Rental
Fund,
2010 RESTRICTED CAPITAL AND DEBT SERVICE FUNDS
2010
Forecast
Division Budget Dollars In Millions
Streets $25,035,667
29459,662 Onli1111 4444 Et11$4141-ttg ll4P Rink' trill-MT—Rtrearirelers
Wastewater 8,111,970
12,795,856 ' 7 " 17 7 Reserves, Charges, Loans
Water/Irrigation 6,203,272
8,850,036 Reserves, Charges, Loans
Transit 2,693,750
3,430,603 Reserves, Grants, Taxes
Equipment Rental 1,625,000 MI 0 Total Expenditures
5,486,476 Reserves, Charges
0 Total Resources
Storm Water 368,040
679 Reserves, Charges
Sp Purp Cap, Misc G.O. Debt 9,575,017
11,939,376 Reserves, Grants, Taxes, Loans
Total Expenditures $53,612,716
Total Resources $72,841,534
For 2010, Capital Fund expenditures of $45,527,472 are estimated as follows, inclusive of
carry-over projects from 2009;
Capital improvement Funds 3 Section VI— 1
STREET / OTHER INFRASTRUCTURE IMPROVEMENT PROJECTS
Total projects of $24 million (including carryover projects and Debt Service; excluding
capital transfers of REET 1 ($100,000) to support Fire and Parks capital improvement).
• Summitview and 66th Avenue signalization (carry-over) - $615,000
• Nob Hill overpass repair (carry-over) - $564,000 (Federal grant)
• Sixteenth Avenue and Washington Avenue reconstruction (carry-over) - S1,201,000
(State grant, REET 2)
• Railroad grade separation - $18,200,000 (State and Federal grants; Public Works
Trust Fund loan)
• Debt Service - $1,193,883
• Other miscellaneous projects including a $155,000 contingency; $456,007 utility
services system (funded by wastewater, water, and irrigation operating funds);
$287,743 Consolidated Financial System (funded by various Operating Funds) -
$2,326,847
Arterial Street Gas tax and the Real Estate Excise Taxes are the primary local revenue
sources for street projects. These revenues are used to match state and federal grants when
possible to maximize funding for projects.
IRRIGATION IMPROVEMENT FUND
Total 2010 projects - S2,600,000.
• General irrigation system refurbishment Phase III (carry-over) - $900,000
• Capitol Hill refurbishment (carry-over plus 2010 additional project cost) -
$1,200,000
• General irrigation system refurbishment Phase IV - $300,000
• Other irrigation system improvements - S200,000
DOMESTIC WATER IMPROVEMENT FUND
Total 2010 projects - $2,997,200.
• New well project (carry-over) - $1,157,200 (funded by Public Works Trust Fund
loan)
• Design Water Treatment Plant Lagoons (carry-over) - $100,000
• 2010 Water main replacement - S150,000
2 — Section VI • Capital Improvement Funds
• Automated Meter Reading System (carry-over plus 2010 additional project cost /
shared with Wastewater) - $1,500,000
• Other water capital projects - $90,000
FIRE CAPITAL FUND
Total 2010 projects - $555,500.
• Machinery and Equipment (staff vehicle, mobile data replacement) - $58,500
Fire Station 94 remodel (carry-over) - $460,000 ( funded by REET 1)
Other miscellaneous upgrades to equipment and fire stations - $37,000
WASTEWATER CAPITAL EXPENDITURES
Facility projects and other sewer improvements, including sewer line extension
rehabilitation and other costs, total 55,905,000.
• Congdon sewer main (carry over) -- $750,000
• Wastewater Collection System Evaluation (topic of Policy Issue) - $200,000
• Neighborhood sewer main (carry over) - 5300,000
• Automated Meter Reading System (shared with Water) - $750,000
• Speedway/Race St Interceptor (additional project cost) - 5850,000
• Supervisory Control and Data Acquisition (SCAIDA) Tip Out & Power Distribution
(additional project cost) See Policy Issue - $735,000 (Revenue Bond)
)› 2009 Wastewater Comprehensive Plan update (additional project cost) - $150,000
• Building for Nutrient Removal Equipment (topic of Policy Issue) - 5300,000
• National Pollutant Discharge Elimination System (NPDES) and Total Maximum
Daily Load (TMDL) Issues See Policy Issue - 51,000,0000
• Other Wastewater miscellaneous capital needs (including a $670,000 contingency) -
5870,000
Capital Improvement Funds • Section VI -3
STORMWATER CAPITAL FUND
Total 2010 budget — $368,040:
A Contingency for Capital Facilities projects (partial carry-over) — $125,000
A Fair Avenue/Nob Hill drainage improvement — $130,000
J Street Low Impact Development (LID) - S113,040 (state grant — joint project with
Yakima County)
TRANSIT CAPITAL
The 2010 budget of $2,693,750 is for miscellaneous capital needs and vehicle replacement.
A Continuation of repaving project at Public Works — S320,000
A Bus Replacement plan ( 5 buses) — $2,000,000 federal grant (topic of Policy Issue)
A Replace Dial-a-ride vehicles — $228,750
A Other capital needs — $145,000
PARKS IMPROVEMENTS PROJECTS
S560,000 for various project/capital needs in 2010.
A Upper Kiwanis development (carry-over)— $475,000 (state grant, line of credit,
REET 1 and contributions)
A Other capital needs — $85,000
OTHER CAPITAL PROJECTS I TRANSFERS
A City Hall rehabilitation/refurbishment/contingency — S250,000 for continued
refurbishment projects. (REET 1)
A Transfer of REET 1 to support Fire and Parks capital improvements — S100,000
A Law and Justice Capital fund — S1,071,000 for the Police Station/Legal Center related
equipment and projects including:
• Vehicle replacement — $115,000
• Technology and Equipment to enhance crime reduction — $500,000 (Federal
grant)
• Safety and communication equipment for mobile units — $175,000
• Other miscellaneous projects and equipment — $281,000
A Convention Center Capital Improvements — $191,000 is programmed for ongoing
capital needs of the Center for 2010.
4 — Section VI • Capital Improvement Funds
LID CONSTRUCTION
There are no local improvement district projects budgeted in 2010.
CBD CAPITAL IMPROVEMENT
This fund includes $1,135,252 for improvements in the Central Business District.
• Contract for maintenance (reduced from $50,000 in 2009) — $40,000
• Downtown Revitalization Phase IV - $988,000 (state grant)
• Other projects / contingency — $107,252
CAPITOL THEATRE CONSTRUCTION
$3,150,000 is budgeted for the completion of phase II of the Capitol Theatre expansion
project, funded primarily by bond proceeds.
SUMMARY
Overall, Capital Fund expenditures in the 2010 Budget Forecast are $45,527,472, which
is $16,726,877 or 26.9% less than the 2009 amended levels of $62,254,349. Many areas are
in the midst of capital programs such as the utilities and streets (including the railroad
grade separation, which is in the planning stages in 2009). In some instances, the "next"
phase as included in the 2010 budget is more than 2009, such as automated meter reading
and grant funded transit bus purchases. In other instances, the ongoing budgets are less
than 2009, such as the Nob Hill overpass repairs, the Capitol Theatre expansion and Final
SCADA.
Ongoing pressures on revenues available for General Government Capital funds has
pushed spending down in Parks, Fire and Law & Justice. The Fire Department has
prepared a policy issue to request an ongoing source of funding for apparatus replacement.
Ongoing resources for capital needs have been diminishing, and this topic will likely
remain in the forefront of future budget discussions.
All of these changes net to an overall decrease in the capital fund expenditures for this
budget cycle.
GRANTS
The City has been successful in obtaining grants for many different purposes. The
following table identifies all of the grants / interlocal revenues budgeted to be received in
2010. Citywide, grants add to over $37 million, which is more than 20% of total revenues.
This grant summary is included in the Capital Improvement section because Capital grants
make up almost 60% of the total grants awarded. Coincidentally, grants make up about
60% of revenue in the Capital Improvement funds.
Capital Improvement Funds • Section VI — 5
2010 GRANTS
(Federal, State & Inter local Subsidies)
AMOUNT
DEPARTMENT DESCRIPTION OF GRANT
Federal / State Capital Grants
Law & Justice Capital BYRNE Disp Agencies Grant $500,000
Law & Justice Capital JAG Grant 21,478
Arterial Streets Fair Avenue/Nob Hill Intersection Rebuild 40,000
Arterial Streets W.O. Douglas Trail 6th Ave & Naches Bridge 92,047
Arterial Streets Nob Hill Bridge Repair 564,000
Cum Res for Capital Improvement Railroad Grade Separation - Fed Highway Admin 13,256,000
Cum Res for Capital Improvement Railroad Grade Separation - Trans Imp Board 3,000,000
Arterial Streets Dept of Transportation RR Crossing Wa Ave 261,650
Arterial Streets 16th & Washington Reconstruction 996,000
Arterial Streets WO. Douglas Trail Enhancement 100,000
Transit Capital Reserve WSDOT Grant 140,000
Cum Res for Capital Improvement Utility System/Stormwater DOE Grant 53,040
CBD Capital Improvement Downtown Revitalization Phase 4 988,000
Stormwater Capital Fund Low Impact Development Demonstration 84,781
Transit Capital Reserve ARRA Direct DOT Grant - Busses 2,001,005
Total Federal / State Capital Grants $22,098,001
Federal / State Operating Grants - General Government
Police Police BYRNE Earmark Grant $110,000
Police State Criminal Alien Assist Program Grant 20,000
Police Traffic Safety Commission 40,000
Fire State Patrol Fire Training 3,000
Police OPD Public Defense Grant 150,000
Parks and Recreation ALTC Reimbursement SCSA State Res 30,900
Parks and Recreation Senior Center - Footcare 30,200
Parks and Recreation State Senior Citizen Day Care/ Transportation 10,000
Parks and Recreation State Transportation 500
Parks and Recreation Americorp Grant Thru Employment Security 40,000
General Fund Property Taxes 6,330
Police ARRA COPS Grant 530,000
Municipal Court Judicial Salary Contribution 50,000
Total Federal / State Operating Grants - General Government $1,020,930
Federal / State Operating Grants - Other Funds
Community Development Community Development Block Grant $1,185,386
Community Development HUD HOME Program 682,410
Transit FTA Current Year Operating Grant 1,765,000
Transit JARC Pass Thru DOT Grant 65,000
Community Services Healthy Families - Yakima 303,334
Emergency Services Dept of Health - Prehospital Grant 1,726
Stormwater Operating Ecology Mapping Grant 100,000
Transit ADA Grant - Department of Transportation 92,500
Refuse Dept of Ecology Alternative to Burning Grant 25,000
Environmental Richardson Airway Dirt Removal Grant 100,000
Environmental Yakima Airport Tank Cleanup Grant 200,000
R&M Energy ARRA Dept of Energy Recovery Program 814,000
6 - Section VI • Capital Improvement Funds
Total Federal / State Operating Grants - Other Funds $5,334,356
AMOUNT
DEPARTMENT DESCRIPTION OF GRANT
Federal Entitlements
Police Federal Forfeited Property $25,000
PFD Capital Theatre Capitol Theatre - Build Amer Bond Subsidy 108,896
Total Federal Entitlements $133,896
State Shared Revenue
Police Criminal Justice - High Crime $490,000
Police Criminal Justice - Violent 80,000
Police Criminal Justice - Special Programs 46,000
Police MVET DUI Payment 16,000
General Fund Liquor Excise Tax 405,000
General Fund Liquor Board Profits 695,000
Economic Development City Assistance 35,000
Parks & Recreation Criminal Justice - Special Programs 21,100
Streets Gas Tax 1,200,000
Arterial Streets Arterial Street Gas Tax 550,000
Firemen Relief & Pension Fire Insurance Premium Tax 72,800
Total State Shared Revenue $3,610,900
Intergovernmental Contract / Services
Police Police - Fairgrounds $7,000
Police Resource Officers 370,440
Police Personnel Services - Training 25,000
Fire Fire - EMS District #10 30,000
Fire Fire Investigator Services 600
Fire Fire Training Programs 9,000
Fire Fire Training Services 74,038
Purchasing Purchasing Services - County 205,000
Parks and Recreation School District #7 - Swim Programs 15,000
Emergency Services EMS Levy 1,061,394
Public Safety Communications Fire District #10 21,000
Public Safety Communications 911 Services Contracts 1,372,350
Public Safety Communications Fire Dispatch Services 190,568
Public Safety Communications Information Technical Services 46,520
Public Safety Communications Police Dispatching Service 121,168
Public Safety Communications ET Maintenance - Contract 4,950
Police Drug Enforcement Agency 25,000
Public Facilities District Public Facilities District Revenue 680,000
PFD - Capitol Theatre Public Facilities District Capitol Theatre 503,000
Fire Capital Fire Protection Charge /State Fac 2,000
Cum Res For Capital Imp Consolidated Financial System Software 125,000
Transit Selah Transit Bus 125,000
Transit Selah Transit Dial A Ride 45,000
Environmental Richardson Airway Dirt Removal 20,000
Environmental Yakima Airport Tank Cleanup 108,000
Total Intergovernmental Contract / Services $5,187,028
TOTAL 2010 GRANTS $37,385,111
Capital Improvement Funds • Section VI - 7
8 — Section VI • Capital Improvement Funds
City of Yakima
2010 Budget Forecast
Exhibit III
Criminal Justice Sales Tax
Replacement Pages
(Pages: Exhibit III — 3 through 6)
GENERAL GOVERNMENT BUDGETS t'
1999 THROUGH 2010
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2010
AMENDED AMENDED AMENDED AMENDED AMENDED AMENDED AMENDED AMENDED AMENDED AMENDED PRELIMINARY VS I O YEAR
BUDGET BUDGET BUDGET BUDGET BUDGET BUDGET BUDGET BUDGET BUDGET BUDGET BUDGET 2009 INCREASE
General Fund
Criminal Justice $17,157,733 $17,477,709 $18,992,948 $19,702,698 $20,061,761 $20,794,116 $22,85Z422 $25,014,331 $26,935,856 $28,471,541 $28,504,392 0.1% 66.1%
Other 14,860,211 14,914,045 15,571,751 16,913,032 17,476,192 17,862,426 19,557,208 18,856,452 19,782,839 $20,240,301 $19,836,631 (2.0 %) 33.5%
Parks & Recreation 3,361,230 3,456,199 3,504,423 3,620,410 3,832,816 3,905,396 4,074,592 4,199,143 4,420,906 $4,249,796 $4,232,014 (0.4 %) 25.9%
Street /Traffic 4,047,156 4,218,454 4,826,542 5,192,894 4,883,030 5,273,574 5,522,653 5,907,885 6,213,833 $5,686,692 $5,379,043 (5.0 %) 32.9%
Total $39,426,330 $40,066,407 $42,895,664 $45,429,034 $46,253,799 $47,835,512 $52,011,875 $53977,807 $57,353,434 $58,648,330 $57,952,079 (1.2 %) 470%
JUNE JUNE JUNE JUNE JUNE JUNE JUNE JUNE JUNE JUNE JUNE
1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
Consumer Price Index 168.0 174.5 181.3 184.1 1857 190,4 194.8 203.8 210.6 223.6 2199 309%
cn
co
co (1) Excludes double budgeted transfers between general government funds.
2-
s�
ti,
0
o'
•
I
LA.)
CRIMINAL JUSTICE SALES TAX-'3% EXPENDITURES AND REVENUES
2009 2010
2000 2007 2008 YEAR-END PROPOSED
GENERAL FUND ACTUAL ACTUAL ACTUAL ESTIMATE BUDGET
Police
Salaries & Benefits (includes overtime) $455,870 $551 $601 $630,000 $704,468
Miscc8aneo"s(uoi/o,nu/fvrVt,^vr|) 111 140 216 84,060 119,060
Liability Insurance 5,750 6,325 6 6,973 7,322
Professional Services/R & M Contractors 90,574 6,322 14,969 5,000 5,000
Yakima County Jail Cost 415,852 423,000 395,810 463,500 452
Total Police Department $1 $1 $1,235,395 $1 $1
The .3% Criminal Justice funds support six full time Patrol Officers including: all wages, overlime uniforms, supplies,
insurance and training expenses. Additionally, these funds are used for repairs, maintenance, communications and
fuel used for additional patrols. A portion of the increased Jail costs are also paid out of this fund,
Municipal Court
Salaries & Benefits (includes overtime) $64,150 $49,669 $116,485 $176,101 $173,692
Professional Services 70,431 72,054 49,510 48,000 48,000
Miscellaneous (office supplies/travel/dues) 0 248 6,740 18,000 18
Other Expenses (Crime Victims Comp) 6 0 0 0
Total Municipal Court $141 $121,971 $172,743 $242 $239,692
The Criminal Justice funds support two Municipal Court Clerk positions and a 1/2-time Court Conumiv»inoo,
including all wages, overtime supplies and training. Additionally, this fund supports building security, interpreter
services and witness and juror fees associated with processing the court's case load.
Legal Prosecution
Salaries & Benefits (includes overtime) $99,941 $99,667 $127,097 $I57,017 $162977
Professional Services 0 0 12 5,000 5,000
Miscellaneous (office supplies/travel/dues) 2 2,869 2,635 3,500 3,350
Total Legal Department $10I157 $102,535 $142 $165,517 $171
The .3% Criminal Justice Sales Tax is being used to supplement criminal justice functions throughout Yakima County.
This money fully funds one Legal Assistant II position, one Assistant City Attorney Il position including mandatory
continuing legal education expenses and dues and subscriptions for required Associations.
Information Systems
Salaries & Benefits (includes overtime) $28 $27,849 $37,895 $29,937 $34,356
Small Tools & Equipment 41 40 56 O 0
Miscellaneous 0 0 10,493 12,000 10,000
Professional Services/R & M Contractors 0 0 903 1,000 0
Data Processing Equipment 0 25 15,704 0 0
Total Information System $69 $93 $121 $42 $44
The portion of the .3% Criminal Justice Sales Tax allocated to Information Systems is used to enhance the effectiveness
of the law enforcement and other Criminal Justice personnel through the expanded use of technology. Currently, the
emphasis is on mobile technology for the patrol officers, A portion of these funds are budgeted for temporary salaries
used to support the mobile computing and technology infrastructure that has been expanded and enhanced through
Criminal Justice Tax over the last two years.
4 - Exhibit III • Supplemental Information
2009 2010
2006 2007 2008 YEAR-END PROPOSED
GENERAL FUND (CONT...) ACTUAL ACTUAL ACTUAL ESTIMATE BUDGET
Animal Control/Codes
Salaries & Benefits (includes overtime) $59,393 $62,988 $57,211 $70 $71
Misc. (uniforms/supplies/fuel/cellular phone) 2 3,965 3,671 3,400 5,013
Total Animal Control/Codes $61 $66,953 $60 $74,162 $74,553
The .3% Criminal Justice Funds support one full-time Animal Control Officer including all wages, overtime, supplies
and communication necessary for this position.
Human Resources
Professional Services (employee recruitment) $10,936 $11 $7,I00 $7,500 $7,500
.3% Criminal Justice funds are used to provide for contract services, testing and other necessary recruitment costs for
positions funded by the criminal justice sales tax.
GENERAL FUND TOTAL EXPENDITURES $1 $I,530 $1 $1 $1,805
OTHER FUNDS
Public Safety Communication
Salaries & Benefits (includes overtime) $3,008 $56 $129,522 $119,985 $127,539
General Operations Support 67,8I7 0 0 0
■ Misc. (uniforms/supplies/fuel/cellular phone) 4,978 0 0 0
Small Tools & Equipment 0 0 3 6,760 0
Total Public Safety Communication $75,803 $56'069 $133,102 $126,745 $127,559
Criminal Justice funds allocated to this department are used for additional positions necessary to accommodate the
increased workload generated by law enforcement activities, These funds provide for two full-time Dispatchers and
temporary support for Police electronic maintenance including all wages, overtime and supplies.
Law & Justice Capital
Small Tools & Equipment $134,282 $5,459 $6,6I1 $55 $25,000
Operating Equipment 0 0 7,93I 42 0
Vehicles 25 81 0 0
Capital Outlay 16 168 0 0
Total Law & Justice $175,898 $255,143 $14,542 $97,250 $25
The .3% Criminal Justice funds support Capital expenses related to the new positions, technology and services created
with this tax.
TOTAL EXPENDITURES $1,7I7,553 $I $1,887%I6 $1�46,625 $1,957,817
Revenue $1 $1,797,194 $1,901 $1,850 $1,050,300
REVENUE OVER (UNDER) EXPENDITURES 526,174) ($44,985) $14,809 ($96,325) ($107,517)
CUMULATIVE BALANCE $385.587 $340.602 $355.411 $259.046 $151.569
Supplemental Information • Exhibit III - 5
SA • 'Y I BE FIT COSTS
COSTS TO TOTAL BUDGET
The following chart represents the relationship of the City's salary and benefit costs to
total budget for General Government and other funds of the City. The City's General
Fund ranks the highest with salary and benefit costs, representing 75% of total fund
expenditures. However, employee compensation and benefit costs for an individual
department within the General Fund as a percentage of its total costs range from 45.7%
to 93.5%. In several departments (including Police, Legal and Information Systems) if
contracted services were excluded, the percentage of salary and compensation costs as a
percentage of the division total costs would be considerably higher than what is depicted
on the following chart.
Parks, Streets and other operations for the most part are more capital-intensive, and the
ratio of salary and benefits to total costs are representative of that type of operation.
Section II includes an analysis based on information gathered by the State Auditor's Office.
The chart in this section identifies the per capita salary costs for Yakima and 11 other
comparable cities, and indicates that:
• The City of Yakima spends, on the average, $148 less per capita on salaries than
other comparable cities.
• Yakima employs fewer people per capita than other cities.
To minimize the number of regular employees and to maintain service levels during
periods of peak workload demands, the City uses contract and temporary labor when
feasible.
6 — Exhibit III • Supplemental Information
City of Yakima
2010 Budget Forecast
Supplemental Information
MEMORANDUM
DATE: October 23, 2009
TO: Honorable Mayor and Councilmembers
Dick Zais, City Manager
FROM: William Cook, Director of Community and Economic Development
Joseph Caruso, Acting Codes Administration Manager
SUBJECT: Animal Control funding — 201.0 budget
Background:
At your Tuesday, October 13th Council Budget Study Session, staff explained the rational behind our
proposal to shift one general fund supported FTE from Animal Control Officer to a Community
Development Block Grant (CDBG) eligible vacant Code Compliance position. We proposed this shift to
1.) Reduce the department's general fund expenses by approximately $71,539, and 2.) Save a valued
employee by switching their assignment and funding source over to the City's federal CDBG program.
Please note: funding code compliance activities and personnel is an eligible CDBG expense. Funding
animal control activities is not.
Council Request:
At your budget study session, Council asked staff to provide additional infonnation on current animal
control workload and ongoing discussions with the Yakima Humane Society.
Council Questions:
We have attached three maps related to animal control workload:
1.) Animal control calls from June 2004 — June 2005. This map shows the distribution of 4,446 calls
that were handled by two animal control officers. Our third officer, funded through the .3%
Criminal Justice Sales Tax, was hired in August 2005.
2.) A similar map of Animal Control calls for the period of October 2008 to October 2009, showing
the distribution of 4,655 animal control calls handled by three animal control officers. The call
volume in 2008 is only 4.7% higher than the call volume in 2004/2005, although the City
increased in size by approximately 15% over the same period of time. As the two maps show, our
highest concentration of calls continues to be east of 40' Avenue.
3,) A map of "high priority" calls received between October 2008 and October 2009, This map
displays a subset of all calls, focusing on those calls we consider most response-critical:
dangerous animal, animal bite, animal assistance, etc. The attached list of complaint "types"
further describes the three categories: 1.) high priority; 2.) secondary and 3.) non-essential. Each
is approximately one-third of the total call volume. Please note: a "barking dog" complaint is
categorized as non-essential because we believe these complaints can be handled with less
involvement of our animal control officers.
4.) Split responsibility of 1 FTE between code compliance and animal control duties.
Yes, this could be done, however, the potential of audit findings increase significantly when an
employee is asked to spend part of their time working on an eligible activity and part of their time
working on an ineligible activity. It has always been our intent that our reassigned employee could
be called upon in an emergency for backup if needed to assist animal control. This arrangement
would be much easier to defend and explain when our CDBG program is audited.
More specifically, in response to the questions "How many animals do we pick up in a year," we offer the
following statistics:
2007 1406
2008 1083
2009 (YTD) 1031
Options for 2010 budget
1.) Approve staff recommendation to eliminate one animal control position (from 3 to 2) and shift the
person in that position over into a CDBG funded vacant code compliance position. Direct staff to
make necessary adjustments in service priorities, if needed, to maintain a high level of customer
service and timely response to "high priority" calls.
2.) If Council is concerned that prioritization of calls and the commensurate reduction in service that
will be provided by two animal control officers will not be satisfactory, approve the employee shift
described above and evaluate the benefit and city authority to enter into a contract of service with
the Yakima Humane Society to provide the services of one animal control officer. The fully
loaded personnel cost of our City Animal Control Officer is approximately $71,500 vs. the
Humane Society cost of approximately $37,000. The Humane Society currently provides animal
control services to Sunnyside, Grandview, Prosser, Toppenish, Yakima Housing Authority, Selah
and Union Gap. Only Yakima County and the City of Yakima have their own designated animal
control officers. Please note: Moxee and Tieton use their Public Works Departments to respond
to animal control calls.
This option will reduce the animal control expense to the general fund by approximately $34,500.
3.) Maintain the 2010 budget for current three position staffing level in the Codes Division. Identify
alternative cuts in the general fund to balance the budget.
Regardless of which option Council ultimately chooses, staff recommends approval of a Policy Issue
(attached) to restore the 2007 animal licensing fees. Fees were reduced effective January 1, 2008 with
the projection that such a change would increase license sales and increase license fee revenues.
Neither outcome has materialized. Sales are down and revenue is off approximately $20,000 per year.
These additional dollars that could be used to help fund the City's animal control program.
2010 MAJOR POLICY ISSUES
DEPARTMENT: Community and DIVISION: Code Administration
Economic Development
POLICY ISSUE TITLE: RESTORE 2007 DOG LICENSE FEES
1. Proposal —This proposal is a request to restore animal control license fees back
to the 2007 fee schedule. Since the dog license fees were reduced in 2008, the
City of Yakima has experienced a revenue loss of approximately $20,000 each
year. The recovered fee experiment initiated in January 2008 was to be revisited
in the future to reevaluate the goal of increasing license sales and revenue.
Restoring these fees would supplement the general fund in supporting the cost of
the animal control program. The fee change initiated in 2008 has lost revenue
dollars and license sales have dropped.
2. a. Fiscal Impact- .If fees were restored to the 2007 schedule, the general fund
would see an increase of approximately $20,000 annually.
b. Proposed Funding Source — Restored license fee increase
c. Public Impact —. Increase in dog fee licenses
d. Personnel Impact — maintain three animal control officer positions.
e. Required Changes in City Regulations or Policies —Council Policy Issue
f. Legal Constraints, if applicable -- None.
g. Viable Alternatives — leave current fees in place
Conclusion and/or Staff Recommendation -- This is a Council Policy decision.
2007 - 2009
Dog License Revenue Comparison
2007 Total Revenues $36,304.00
2008 Total Revenues $15,312.00 (-$20,992.00)
2009 Projected Revenues $12,000.00 (-$24,304.00)
Total Estimated Lost Revenues `08/'09 $45,296.00
Current Dog License Fee Schedule: Restored Fee Schedule:
1 year altered tag — new $5.00 $15.00
1 year altered tag — renewal $5.00 $12.00
1 year unaltered tag — new $30.00 $30.00
1 year unaltered tag — renewal $25.00 $25.00
Penn. Senior Citizen altered tag $5.00 $25.00
Penn. Senior Citizen unaltered tag $30.00
Disabled Citizen tag No fee No fee
Replacement tag $5.00 $5.00
3 year altered tag $33.00
3 year unaltered tag $70.00
Sheet 1
ACO Complaicit Types Received 10/01 /06-10/01 /07
Complaint Type Totals
Abandoned Animal 122
Animal Abuse 87 •
• Animal At Large 1225
•
Anita l Attack 42
• Arafat)] Site 79
0 Animal Fight 3
Animal Neglect 248 •
• RO
Animal Nuisance 140
Animal Tangled 15 0 teeet.F, Sgt. • •
' 4 5
Assistance Needed 84 •
Banned Dog Sighting 276
• Banned Dog at Large : 101
•
e Dangerous Animal 326
Dead Animal 483 O
Dog In Hot Vehicle 32
•
• Injured Animal 2911
. .44*,:oFtepset
• Officer Needs Assistance
o
884'
Owner Arrested 7
Sick Animal 76: •
Stray Animal 288 •
Sum. 5861
ati
41.01
. .
Sheet 1
ACO icst Types Received /01/07
Complaint Type Totals
Abandoned Animal 121
Animal Abuse 51
• Animal At Large 1052
An mal Attack 54
• Animal Bite 101
• Animal Fight 5
Animal Neglect 248 •
Anima! Nuisance 211
Animal Tangled 14
Animal in Trap 27
A ssistance Needed 114
Banned dog Sighting 207
Banned Dog at Large 105
pan us Animal 355
Dead Animal 426
Dag In Hot Vehicle 15
t „t
'..
• Injured > Anima! 257
Of f leer Needs Assistance
Owner Arrested 2
:et.
00
//0
1
•
Sheet 1
Complaint Type Totals
Sick Animal 81
ar.
Stray Animal 331
Sum: 5484
2
Sheet 1
ACO Complaint Types Received I 0101 - F)
Complaint Type Totals
Abandoned Animal 129
Aggressive Animal 17
Animal Abuse 23 •
Animal At Large 800
• Animal Attack 53
• Animal Bite 7
• Animal Fight 1
Animal Neglect 280
Anima! Nuisance 293 •
Animal Tangled 13
Assistance Needed 139
Panned Dog Sighting 159 •
• Banned Dog at Large 103
• Dangerous Animal 92
Dead Anima] 467
Dog In Hot Vehicle 14
a'8
7
• Injured Animal 2791
um��iu l�w4�
• Officer Needs Assistance
°nom s
Potential Dangerous Maned 207
Sick Animal 49 •
:Stray Animal 172 •
Sum: 4667
bl
. 0
1