HomeMy WebLinkAbout02/18/2015 07 Budget Process DiscussionBUSINESS OF THE CITY COUNCIL
YAKIMA, WASHINGTON
AGENDA STATEMENT
Item No. 7.
For Meeting of: February 18, 2015
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ITEM TITLE:
SUBMITTED BY:
SUMMARY EXPLANATION:
Budget process discussion
Cindy Epperson, Director of Finance and Budget
At the February 3, 2015 meeting, Councilmember Lover asked to review the budget process. I
have attached an excerpted page out of the "2015 Budget Guidelines" document that
summarizes our annual budget process.
Four documents are typically produced during the course of the year that goes to City Council:
• A Budget Highlights power -point that provides a "first look" at the budget, typically
presented to Council at a study session in October.
The Preliminary Budget Summary that shows summary information at the fund level, with
full write-ups of strategic initiatives that explain any major deviation from the prior year budget.
This document is targeted to go to Council the first meeting in November.
The Budget Adoption Ordinance packet documents any changes made from the
Preliminary to the Final Budget. Council is required to set appropriation levels at the fund level
prior to the first of the
• An Adopted Budget is published in the spring of the budget year that includes
detail/support for all of the funds.
Basically, we start a new budget with the prior adopted budget; apply any known/estimated
changes in basic operations (i.e. bargaining unit settlements, medical premiums, utility rate
adjustments, etc.); and incorporate the strategic initiatives to arrive at the Preliminary Budget.
Resolution: Ordinance:
Other (Specify):
Contract: Contract Term:
Start Date: End Date:
Item Budgeted: Amount:
Funding Source/Fiscal
Impact:
Strategic Priority:
Insurance Required? No
Mail to:
Phone:
APPROVED FOR
SUBMITTAL:
RECOMMENDATION:
ATTACHMENTS:
Description
❑ Budget process memo
City Manager
Upload Date
2/12/2015
Type
Cover Memo
City of Yakima
OVERVIEW OF THE CITY'S ANNUAL BUDGET PROCESS
There are several steps to the City's annual budget process:
Step 1:
Step 2:
Distribution of Budget Guidelines and Instructions, along with Draft "Working Budget"
Documents (Target date July 18) — Distributed to all Department Heads and Division Managers
by the Finance Department.
Year -End Estimate and Next Year's Proposed Revenue and Expenditure Budgets Submitted
(Target date August 6) — Updated budget worksheets are submitted to the Finance Department
by Division Managers for processing and preparation in advance of the Administrative Budget
Review meeting.
Step 3: Review and Discussion of the 2015 Draft Strategic Initiatives (Concepts Due to Finance August 8)
Reviewed by City Manager for inclusion in the budget.
Step 4: Administrative Budget Reviews — Department budget review meetings are held with Finance
department staff from the first part of August to mid-September.
Step 5:
Update and Preparation of Departmental Budget Information — With cooperation from the
various Department Directors and staff, the Finance Department prepares this information as
adjusted during the administrative budget review meetings.
Step 6: 2015 Budget Highlights Power Point— City Council's "first look" at the budget. High level
summary of the 2015 budget presented by the City Manager and Director of Finance and
Budget. Typically done at a separate Study Session in late October.
Step 7:
Step 8:
2015 Preliminary Budget Executive Summary is Prepared and Submitted to Council — This will include
summary information at the fund level with the full write-up of strategic initiatives incorporated into
a preliminary budget summary. This is targeted to be submitted to Council by the first meeting in
November.
Public Budget Hearings — As required by law, the first hearing will be held on or before the first
Monday in December of each year. (Generally this is held the last Council meeting in
November.)
Step 9: Final Council Budget Review Meeting— To prepare for the Public Hearing, the City Manager and
the Finance Department summarizes any changes from the preliminary budget.
Step 10: Council Passes Ordinance — The ordinance approving the 2015 Budget is passed after a required
second public hearing at the first Council meeting in December.
Step 11:
Prepare the 2015 Adopted Budget document (Targeted for mid-February) — Each department and
division will prepare the related budget narratives for inclusion in the Adopted Budget document.
This document sets out detailed data for each fund for a three year period, and includes a Definition
of the basic duties in each operational unit; pertinent Performance Statistics; Authorized Personnel; a
high level Budget Summary consisting of budget charts summarized by both Service Unit (i.e. Patrol,
Detention, Police Records, etc.) and type of expenditure (i.e. Salaries, Personnel Benefits, Supplies,
etc.); and Explanatory Narrative that discusses any changes in operations with more detailed budget
charts.
Cje PDFConvert.5100.1.Budget processJor Council_2_18 15 meeting.docx