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Home My WebLink AboutAgenda Packet City Council - 09/13/2017 (W) Cit`, of Corpus Christi 1201 Leopard Street rtif 5N11%, City Corpus Christi,TX 78401 forward.cctexas.com i Meeting Agenda - Final City Council Workshop Session Wednesday,September 13,2017 2:00 PM City Council Chambers Public Notice -- ITEMS ON THIS AGENDA ARE FOR COUNCIL'S INFORMATIONAL PURPOSES ONLY. COUNCIL MAY GIVE DIRECTION TO THE CITY MANAGER, BUT NO OTHER ACTION WILL BE TAKEN AND NO PUBLIC COMMENT WILL BE SOLICITED. THE USE OF CELLULAR PHONES AND SOUND ACTIVATED PAGERS ARE PROHIBITED IN THE COUNCIL CHAMBERS DURING MEETINGS OF THE CITY COUNCIL. A. Mayor Joe McComb to call the meeting to order. B. City Secretary Rebecca L. Huerta to call the roll of the required Charter Officers. C. BRIEFINGS TO CITY COUNCIL: The following items are for Council's informational purposes only. Council may give direction to the City Manager, but no other action will be taken taken and no public comment will be solicited. 1. 17-1146 Proposed FY2017-2018 Budget Workshop -General Fund, Internal Service Funds, Debt Service Funds, Enterprise Funds and Special Revenue Funds Attachments: Agenda Memo- Budget Workshop for September 13, 2017 Presentation- Budget Workshop September 13, 2017 D. ADJOURNMENT "City Council will not be taking action in this workshop session, except for the purpose of directing the City Manager in accordance with the Charter. To the extent the classification of this meeting as a workshop is construed to limit this authority, then this meeting is determined to be a special meeting. City of Corpus Christi Page 1 Printed on 91812017 SC 04 icokpoRp`EO AGENDA MEMORANDUM 1852 for the City Council Workshop of September 13, 2017 DATE: August 31, 2017 TO: Margie C. Rose, City Manager FROM: Eddie Houlihan, Director of Management and Budget EddieHo(o-)cctexas.com 361-826-3792 PROPOSED FY2017-2018 BUDGET WORKSHOP General Fund, Internal Service Funds, Debt Service Funds, Enterprise Funds and Special Revenue Funds STAFF PRESENTER(S): Name Title/Position Department/Division Eddie Houlihan Director Budget Jeff Edmonds Director Engineering Services Edgar Leonard Director Facilities Maintenance Kim Baker Assistant Director Finance-Purchasing Jim Davis Director Fleet Services Belinda Mercado Director Information Technology Steve Viera Director Health Benefits Miles Risley City Attorney Risk Management Constance Sanchez Director Financial Services Dan Grimsbo Executive Director Utilities Bill Mahaffey Director Gas Fred Segundo Director Airport Peter Davidson Director Marina Bill Green Interim Director Development Services Andy Leal Director Streets OUTSIDE PRESENTER(S): none BACKGROUND: Staff will present an overview of the Proposed FY2017-2018 operating budget for the Internal Service Funds, Debt Service Funds, Enterprise Funds, and Special Revenue Funds. Discussion will include the General fund as presented in previous Budget Workshops. LIST OF SUPPORTING DOCUMENTS: Presentation — Internal Service Funds, Debt Service Funds, Enterprise Funds and Special Revenue Funds 7 Internal Services Fund Summary ----------------------------------------------------------------------------------------- 0 ----------------------------------------------------------------------------------------- PROPOSED BUDGET PRESENTATION 2017 - 2018 Mission & Mission Elements -------------------------------------------------------------- 0 -------------------------------------------------------------------- _----------------- Mission: The Internal Service Funds were established to finance and account for services, materials, and supplies furnished to the various departments of the City and on a limited basis, to other local governmental agencies. These services are provided on a cost reimbursement basis. The goal of the Internal Service Funds is to provide these services in the most cost effective manner. 2 Departments ------- --------------------------- 0 -------------------------------------------------------------------------------------------------------- • Engineering Services • Facilities Maintenance • Finance - Purchasing (Stores) • Fleet • Information Technology • Health Benefits • Risk Management 3 Internal Services Fund Employees ------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------------- . : Engineering Services 76 �, 76 I 67 Facilities Maintenance 29 28 28 Purchasing/Stores 20 20 21 Fleet T 59 59 59 II Information Technology 96 96 94 Health Benefits 7 7 7 Risk Management 12 12 14 TOTAL 299 298 Y 290 I 4 Revenue ------------------------------------------------------------------------------------------------------- ------------ ----------------------------------------------------------------------------- . : ACTUALS ESTIMATED PROPOSED Engineering Services 5,346,758 6,786,437 7,419,391 Facilities Maintenance I 4,636,289 4,664,012 4,838,662 Purchasing/Stores 4,805,854 4,992,771 5,253,267 Fleet 15,603,002 16,146,234 I 16,636,015 Information Technology 16,395,269 15,702,803 15,884,724 Health Benefits 30,696,357 37,815,306 47,677,755 Risk Management 9,407,124 8,972,804 10,202,610 TOTAL $86,890,653 $95,080,366 $107,912,423 5 Total Expenditures ------------------------------------------------------------------------------------------------------- 0 ------------------------------------------------------------------------------------------------------- DEPARTMENT FY 2015-2016 FY 2016-2017 FY 2016-2017 FY . : ACTUAL BUDGET ESTIMATED PROPOSED $ pro I $ % I $ % I $ f pro Engineering Services 5,416,527 5.9 I 7,592,147 6.6 I 6,785,376 6.3 I 7,419,391 6.6 Facilities Maintenance 4,653,704 5.0 1 5,732,152 1 5.0 1 5,732,152 5.3 1 5,909,314 5.3 1 Purchasing/Stores 4,624,459 5.0 1 5,100,513 1 4.4 1 4,808,980 4.5 1 5,338,005 4.8 1 Fleet 14,319,776 15.5 1 20,869,763 18.2 1 17,167,891 15..9 1 22,033,465 19.6 1 Information 15,952,182 17.21 16,791,0291 14.61 16,791,089 15.61 17,371,733 15.51 Technology Health Benefits 39,212,968 42.4 I 48,875,281 I 42.6 I 47,206,426 43.7 I 43,931,851 39.2 Risk Management 8,338,412 9.0 9,801,925 8.5 9,480,204 8.8 10,169,770 9.1 TOTAL $92,518,029 100 $114,762,810 100 $107,972,117 100 $112,173,529 100 6 Projected Change in Fund Balance e------------------------------------------------------------------------------------ E) ------------------------------------------------------------------------------------ .------ Estimated Beginning Balance - 10/01/2017 $43,339,022 Projected Changes Ow ($4,261, 107) Projected Ending Balance - 09/30/2018 or $39,077,916 Reserved $27,541,875 Unreserved $11,536,041 Decision Packages FY 2018 ------------------------------------------------------------------------------- 0 -------------------------------------------------------------------------------------------------------- D �. hEEhL- off All I Employee Step Increase (2.5%) I $470,864 Information Technology Reduce 2 FTEs-Application Analysts I (133,481) Information Technology Rebate to Internal Customers from IT Fund I 1,500,000 Use of excess fund balance for capital equip Fleet Maintenance Services (Police vehicles$417,000&increase in in- 638,539 house repair costs$266,539) Facilities Maintenance Services Use of Facilities excess fund balance for I 955,000 capital projects Engineering Eliminate Survey Division I (450,213) Engineering Eliminate Land Acquisition Division I (238,256) Health Benefits 1 FTE-Wellness Coordinator I 0 Total I $2,787,453 8 Department Presentations --------------------------------------------------------------------------------------------------------- 0 -------------------------------------------------------------------------------------------------------- • Mission • Mission Elements • Key Services - With FTE count • Efficiencies - Achieved - Planned • Revenue • Expenditures REMEMINi 9 Engineering Services Fund ------------------------------------------------------------ I------------- 0 ---------------------------- I-------------------------------------------------- PROPOSED BUDGET PRESENTATION 2017 - 2018 INTERNAL SERVICE FUND 6mr 10 Mission & Mission Elements ------------------------------------------------------------------------------------------------------- 0 -------------------------------------------------------------- ------------- Mission: ------------ Mission: Assist City departments in support of new projects and maintenance of existing infrastructure. Mission Elements: Execute CIP. Provide technical support services to City departments. 11 Key Services/Related FTE's ------------------------------------------------------------------------------------------------------- C) -------------------------------------------------------------------------------------------------------- Project planning and programming for CIP. 9.60 FTE Procure and manage professional services for CIP. 9.60 FTE Provide survey and land acquisition services for CIP. 2.90 FTE Procure and manage construction contracts. 19.00 FTE Project planning and programming for operating departments. 4.00 FTE Procure and manage professional services for operating departments. 4.00 FTE Provide survey and land acquisition for operating departments. 3.20 FTE Provide real estate services for non-project related requirements. 3.20 FTE Procure and manage construction costs. 11.50 FTE 12 Efficiencies ------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------------- Achieved FYI 8 Planne. . 1. Created two Engineer V positions. One position has been filled 1. Assess Engineering's current project management share point and is managing Construction Management. These positions will database(EPM)and research efficient alternatives. provide mission critical operating oversight of Construction Management and Project Management Divisions. 2. Streamlined the agenda item workflow. Project schedules have 2. Review and update Engineering Services current web page accelerated;vendor and citizen complaints have been reduced. with internal and external user-friendly interactive maps and dynamic and comprehensive forms. 3. Developed and implemented an AE performance database 3. Assess Construction Management Division's current process which matches project requirements with best provider for the and procedures,identify deficiencies and reorganize staff project. strengths and skills to maximize efficiencies. 4. Standardized approach to negotiating AE contracts. 4. Assess current department-wide skill levels and knowledge; Reduced vendor complaints and expedited project start. develop internal cross-training,obtain external training and encourage individual skills and knowledge development. 5. Developed a Laserfiche Record Retention Program and a 5. Implement both Laserfiche Record Retention Program and Records Management Program. Records Management Program.Once implemented,both will standardize all Engineering records archival and data saving and retrieving process. 13 Employees & Revenue ------------------------------------------------------- 0 ------------------------------------------------------------------------------------------------------- . : Engineering Services 76 I 76 67 �II Fund Total `I 76 I 76 67 Recommended Decision Package- Eliminate 5 Survey FTEs&4 Land 0 0 -9 Acquisition FTEs FY 2015-2016 2016-2017 2017-2018 :1 M11, ' -• Proposed Engineering Services - CIP Projects $4,873,028 $5,617,528 $6,306,988 Engineering Services - $456,997 $1,067,448 $988,564 P Interdepartmental Other Operating Revenue $16,733 $101,461 $123,839 Fund Total $593469758 $697869437 $794199391 14 Total Expenditures ------------------------------------------------------------------------------------------------------- C) -------------------------------------------------------------------------------------------------------- Actual Estimated Proposed FY 2016 FY 20171 Personnel 3,951,098 73 5,106,450 67 4,334,331 64 5,159,159 70 Operating 428,377 8 1,321,770 17 1,287,119 19 +�I 912,874 12 I Allocations 1,037,052 19 1,163,926 16 1,163,926 17 1,347,358 18 Fund Total 5,416,527 100 7,592,1471 1001 6,785,376 100 7,419,391 I 100 Recommended Decision Package-Eliminate 5 Survey FTEs&4 Land -688,469 N/A Acquisition FTEs 15 Facilities & Property Management Fund ------------------------------------------------------------- I------------- 0 ----------------------------- I--------- ----------------------------------- PROPOSED BUDGET PRESENTATION 2017 - 2018 INTERNAL SERVICE FUND 6mv 16 Mission & Mission Elements ------------------------------------------------------------------- 0 -------------------------------------------------------------- .------------ Mission: Assist City departments in meeting facilities and property requirements. Mission Elements: Maintain and manage the operation of the City's facilities and properties. 17 Key Services/Related FTE's ------------------------------------------------------------------------------------------------------- 0 --------------------------------- ------ ------------ Facility Inventory & Condition Assessments. 2.00 FTE Recapitalization of Facility Assets. 1 .00 FTE Facilities Maintenance & Repair of Buildings, Building Systems, Structures, & Equipment. 9.00 FTE Facility Support Services Contracting. 8.00 FTE Project Management/Architectural. 2.00 FTE Real Estate & Space Management. 1 .75 FTE Energy Management. 4.00 FTE Physical Security/C.C.P.D. - Operational Control and Facilities & Property Management - Administrative Control. 0.25 FTE 18 Efficiencies ------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------------- Achieved FY 18 Planned 1. Require a city estimate (CE) for all 1. Using industry standards, and commencing procurements to determine if bid contract prices in FY 17-18,we intend to hire three (3) are fair and reasonable. Maintenance Technicians per year over a ten (10) year period to provide comprehensive facility maintenance & repairs city-wide. 2. Maintain low limit inventory on critical, long 2. Implement energy cost avoidance and cost lead time parts or components. reduction measures to reduce current electricity use by 1-2% annually, reducing financial costs. 3. Institute a comprehensive preventative 3. On a five year cycle, we will reconcile Class maintenance inspection program & a controlled 1 Real Property assets (Land) to the Nueces inspection program. County Appraisal District records. 4. On a five year cycle, we will conduct f condition assessments of city-owned buildings. i 5. Invest 2% of assets current replacement value. 19 Employees & Revenue ------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------------- EMPLOYEES (in FTE's) FY 2015-2016 FY 2016-2017 . : Facilities and Property 28 28: 28 Maintenance Fund Total 28 28 28 FY 2015-2016 FY 2016-2017 FY 2017-2018 REVENUE Actual Estimated Proposed Operating Revenue $4,636,289 $4,664,012 $4,838,662 Fund Total $496369289 $496649012 $498389662 20 Total Expenditures ------------------------------------------------------------------------------------------------------- 0 -------------------------------------------------------------------------------------------------------- Actual Amended Budget Estimated Proposed FY 2016 FY 201712018 $ % $ %o $ % $ % Personnel 1,555,151 33 1,816,720 32 1,799,352 31 1,900,065 32 fl Operating 2,344,483 50 3,408,278 59 3,425,646 60 3,349,1401 57 Allocations 754,070 17 507,155 9 507,155 9 660,109 11 Fund Total 4,653,704 100 5,732,152 100 5,732,153 100 5,909,314 100 21 Stores Fund ------------------------------------------------------------ I------------- 0 ----------------------- --------- ------------------------------------ PROPOSED BUDGET PRESENTATION 2017 - 2018 INTERNAL SERVICE FUND 22 Mission & Mission Elements ----- ------------------------------------------------------------------------------- 0 --------------------------------------------------------- ------------ Mission: ------- Mission: Timely support the departments in meeting their large and small-dollar procurement requirements; internal and external mail distribution and postage requirements; and accessibility to standardized products. Mission Elements: 1. Purchasing - procurement of supplies and services 2, Warehouse - inventory of standardized products 3. Messenger Service - delivery of internal and external mail 4. Postage - application of postage charges Copy and Print shop 23 Key Services/Related FTE's ------------------------------------------------------------------- 0 --------------------------------------------------------- ------- i - - Manage purchasing system to include purchase orders, supply/service agreements. 9.00 FTE 2. Manage warehouse operations. 7.00 FTE 3. Management and administration of the P-Card program. 1 .00 FTE 4. Distribution of mail. 2.00 FTE 5. Copy and print shop. 2.00 FTE 24 Efficiencies ------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------------- FYI Achieved - . 1. Standardized more templates to make purchasing more 1. Develop and implement a contract administration and efficient. purchasing training class for Department staff to increase efficiencies in these areas. 2. Reviewed Cooperative purchasing tools available and 2. Implement barcoding system to improve upon inventory looked for opportunities to utilize cooperatives to decrease tracking. purchasing time. 3. Promoted use of the warehouse to streamline purchasing 3. Create more consolidated contracts for economies of efforts by Departments. scale and increased efficiencies. 4. Improved education of Department staff on purchasing 4. Move the postage operations in-house to save money and and contract administration. better control mail distribution to post office. Maw 25 Employees & Revenue ------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------------- M 0 ?"OONIA 14 rk",arpr-u 14 4 FY 2016-2017 FY 2017-2018 Purchasing & 16 16I 17 Warehouse Division Messenger Services 2 2 I 2 Print Shop 2 2 I 2 Total Stores Fund 20 20 I 21 REVENUE FY 2015-2016 FY 2016-2017 FY 2017-2018 Act Estimate . .. -. Purchasing & $4, 169,483 $4,372,2621 $4,632,917 Warehouse Messenger Services f $333,956 $305,895 $286,661 i Print Shop $302,414 $314,614 $333,689 Total Stores Fund $498059853 $499929771 $592539267 26 Total Expenditures ------------------------------------------------------------------------------------------------------- 0 -------------------------------------------------------------------------------------------------------- Actual Amended Budget Estimated Proposed FY 2016 FY 201712018 $ % $ % $ % $ % Personnel 1,148,217 25 1,369,563 27 1,105,958 23 1,391,097 26 fl Operating 3,180,598 69 3,329,466 65 3,301,693 69 3,438,8441 64 Allocations 295,644 6 401,484 8 401,329 8 508,064 10 Total Stores Fund 4,624,459 100 5,100,513 100 4,808,980 100 5,338,005 100 27 Fleet Maintenance Service Fund ------------------------------------------------------------- I------------- 0 ----------------------------- I-------------------------------------------------- PROPOSED BUDGET PRESENTATION 2017 - 2018 INTERNAL SERVICE FUND 6mr 4�� 28 Mission & Mission Elements ------------------------------------------------------------------------------------------------------- 0 -------------------------------------------------------------------------------------------------------- Mission: Assist City Departments in meeting their fleet requirements. Mission Elements: Manage rolling stock and capital items. Maintain the fleet. 29 Key Services/Related FTE's ----- -------------------------------------------------------- 0 --------------------------------- ------------ 1 . Acquire and dispose of vehicles and equipment. 4.00 FTE 2. Provide internal and external mechanical repairs. 27.00 FTE 3. Maintain a Parts inventory to support mechanical repairs. 6.00 FTE 4. Preventative maintenance to City Departments' vehicles and equipment. 9.00 FTE 5. Maintain a motor pool for Police Department and City Hall. 7.00 FTE 6. Provide administrative services and maintain fleet records. 5.00 FTE 7. Fuel Pass-through. 1 .00 FTE 30 Efficiencies ------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------------- Achieved FYI 8 Planned 1. Refined and streamlined vehicle/equipment purchasing 1. Continued to develop the M5 Fleet Maintenance procedures for Centralized Fleet. Management System in terms of applicable upgrades and improved end user operation. 2. Refined and continued to develop vehicle/equipment 2. Assist the Fire Department in using M5 for their disposal procedures for Centralized Fleet. equipment maintenance recording keeping. 3. Continued to develop the M5 Fleet Maintenance 3. The challenge of hiring mechanics and service Management System in terms of applicable upgrades and personnel remains and plan to continue hiring these types improved end user operation. of personnel during the next fiscal year. 4. Continued to hire qualified employees and expand 4. Add mission element to address fuel management existing training programs to increase employee skill sets. responsibilities. 5. Continue expanding CNG powered vehicle/equipment 5. Add org 40190.Within this org will reside cost of goods programs and concomitantly emphasizing and increasing sold for fuel. employee CNG training. 31 Employees & Revenue -------------------------------------------- -------------------------------------------------------------------------------------------------------- Fleet Maintenance 59 59 59 Services Fund Total 59 59 59 FY 2015-2016 FY 2016-2017 FY 2017-2018 Actual Est a ed Proposed Operating Revenue $12,813,439 $13,362,987 $13,462,474 I, Transfers for Capital $2,789,563 I $2,783,247 $3,173,541 Replacements 41 Fund Total $1596039002 I 16 1469234 $1696369015 lw� 32 Total Expenditures ------------------------------------------------------------------------------------------------------- 0 -------------------------------------------------------------------------------------------------------- Actual Amended Budget Estimated Proposed FY 2016 FY 201712018 $ % $ %o $ % $ % Personnel 3,707,067 26 3,838,168 18 3,515,961 20 3,910,174 18 Operating 10,109,753 71 16,222,189 78 12,842,524 75 16,901,361 77 Allocations 502,956 3 809,406 4 809,406 5 1,221,930 5 Fund Total 14,319,776 100 20,869,763 100 17,167,891 100 22,033,465 100 33 Information Technology Fund ------------------------------------------------------------- I------------- 0 ------------------------ I-------------------------------------------------- PROPOSED BUDGET PRESENTATION 2017 - 2018 INTERNAL SERVICE FUND 34 Mission & Mission Elements ------------------------------------------------------------------- 0 -------------------------------------------------------------- .------------ Mission: Assist city departments in meeting their computer and technology requirements. Mission Elements: 241 , Provide and support Technology Infrastructure. 242,: Provide Software Applications support. 2438 Provide End User support. 244, Provide IT Standards, Security, and Disaster recovery. 35 Key Services/Related FTE's -------------------------------------------------------- 0 --------------------------------- _--- ------- Implement, maintain and manage the City's IT infrastructure. 19.00 FTE Implement, maintain and manage all software applications. 23.00 FTE 3. Implement, maintain and manage IT security monitoring and investigations. 2.00 FTE 4. End-User support. 15.00 FTE Implement, maintain and manage Public Safety IT applications and software. 8.00 FTE Manage the Call Center. 27.00 FTE 36 Efficiencies ------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------------- Achieved FYI 8 Planne . 1. Implemented upgraded software for IT Work orders used 1. Implement new city employee"Intranet"for improved by City departments. communication. 2. Completed cell phone and mobile device roll-out for 2. Institute IT Project Governance citywide to align IT centralization and cost management city wide Projects with business. 3. Implemented city-wide Contract Management System 3. Enhance Cybersecurity awareness to reduce threat to city IT infrastructure. 4. Upgraded Time-Keeping software that provided the 4. Implement Infor Utility Billing software. ability for mobile employees to automate"clock-in/out" function with tighter controls. 5. Implemented software to manage city cell phones and 5. Mobile application analysis and integration with various tablets enterprise software. 6. Replaced Wi-Fi equipment at North Beach for improved I performance I 37 Employees & Revenue ------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------------- "dM4"Wil �� . FY 2015-2016 IT Department 69 69 68 Call Center 27 27 26 Total IT Fund 96 96 94 FY 2015-2016 FY 2016-2017 "=$FY 2017-2018 Actual Estimated rr Proposed Operating Revenue $16,395,269 $15,702,803 $15,884,724 �I 'I Total IT Fund $1693959269 $1597029803 $1598849724 38 Total Expenditures ------------------------------------------------------------------------------------------------------- E) -------------------------------------------------------------------------------------------------------- Actual Amended Budget Estimated Propose FY 2016 FY 20171201811 Personnel 6,743,128 43 7,007,429 43 6,872,625 41 6,911,455 40 Operating 7,862,249 49 8,258,038 49 I 8,381,405 50 8,630,970 50 I, Allocations 1,346,805 8 1,525,562 8 1,537,059 9 1,829,308 10 Total IT Fund 15,952,182 100 16,791,029 100 16,791,089 100 17,371,733 ioo l l 39 Health Benefits ------------------------------------------------------------ I------------- 0 ----------------------------- --------- ------------------------------------ PROPOSED BUDGET PRESENTATION 2017 - 2018 INTERNAL SERVICE FUND 40 Mission & Mission Elements ----- ------------------------------------------------------------------------------- 0 --------------------------------------------------------- .------------ Mission: Provide and administer responsive and cost effective benefit programs that meet the needs of City of Corpus Christi employees, retirees and their dependents. Mission Elements: Develop and manage health and benefits programs. 41 Key Services/Related FTE's ------------------------------------------------------------------------------------------------------- C) -------------------------------------------------------------------------------------------------------- 1 Oversee benefits contracts. 1 .30 FTE Coordinate contracting of employee benefits, including health, dental, life,vision, long-term disability, third-party administration, stop-loss insurance, clinic, actuary, etc. Commonly through a competitive bid process. 2. Provide Benefits Administration and Customer Service. 5.70 FTE a) First point of contact for employees, dependents & retiree benefit needs b) Deferred Compensation Plan (129 participants) c) FICA Alternative Plan (452 participants) d) Health Plans: i. Medical (2,703 enrollments) ii. Dental (1,793 enrollments) iii. Vision (1,723 enrollments) iv. Flexible Health and Dependent Care Spending Accounts (563) e) Life Insurance (4, 116) fl Long-Term Disability (2,096) g) Pension Plan (TMRS, 2,765) h) Wellness Initiatives, including the Employee Wellness Clinic (5,728 lives) imm -WEEF-1- 42 Efficiencies ------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------------- FYI 8 Planned 1. Implemented an online benefits communication process 1. Implement call center processes and software to ensure to provide employees additional means of data accessibility and responsiveness to employee needs processing and communication with Benefits staff. while providing metrics that will drive accountability and improvements. 2. Implement a telemedicine program that will increase accessibility to healthcare at all hours,providing an after-hour low-cost alternative to emergency rooms. 3. Complete a compliance audit under the guidance of the Benefits Consultant to insure that the City is following legal requirements outlined under Sections 125,COBRA, HIPAA,Medicare,and the ACA. 4. Complete an audit of Express Script's claims processing to verify they are abiding by contractual agreements and accurately processing claims.Negotiate plan performance guarantees regarding pricing,discounts, claims payments,and customer service. 43 Employees ------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------------- EMPLOYEES (in FTE's) FY 2015-2016 FY 2016-2017 FY 2017-2018 Heath Benefits 7 6 Administration Fund 5618 Total Health Benefits Administration Fund Z Z 6 5618 Recommended Decision Package-Add Wellness 0 0 1 Program Manager Position to Other Insurance Fund 5614 44 Revenue ------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------------- REVENUE FY 2015-2016 FY 2016-2017 FY . : Actual Estimated Proposed Fire Health Plan- $6,781,061 $7,253,856 $8,505,458 Fund 5608 II Police Health Plan- $6,176,281 $8,621, 147 $9,748,676 Fund 5609 41 Group Health Plan - Fund 5610 $14,592,021 $18,862,644 I $26, 191,272 Other Insurance - $2,572,521 $2,495,640 $2,629,888 Fund 5614 Health Benefits Administration - $574,473 $582,021 $602,461 Fund 5618 Health Benefits Total $3096969357 $3798159308 $4796779755 45 Total Expenditures -------------------------------------------------------- C) -------------------------------------------------------------------------------------------------------- - • -• C • • - - • Proposed FY 2016 FY 20171 % I $ I %° Fire Health Plan - Fund 5608 �I 6,882,731 18 9,479,471 19 ` 8,973,429 I 19 I 9,316,636 121 Police Health Plan - Fund 5609 1 7,976,221 20 12,178,177 25 ` 11,382,895 I 24 I 9,726,140 I 22 Group Health Plan - II 1� Fund 5610 �III 21,494,418 55 24,150,258 49 I 23,836,710 � 50 � 21,664,351 � 49 1 � Other Insurance - 2,291,458 6 2,478,337 5 2,428,477 51 2,628,482 6 Fund 5614 Recommended Decision Package-Add Wellness N/A 0 N/A Program Manager Position to Other Insurance Fund 5614 Health Benefits Administration- 568,140 1 589,038 2 584,916 1 596,243 1 Fund 5618 �I Health Benefits Total 39,212,968 I 100 + 48,875,281 100 47,206,427 100 43,931,852 100 I� 46 Risk Management ------------------------------------------------------------ I------------- 0 ------------------------ --------- ------------------------------------ PROPOSED BUDGET PRESENTATION 2017 - 2018 INTERNAL SERVICE FUND Mission & Mission Elements -------------------------------------------------------------- 0 -------------------------------------------------------------- .------------ Mission: Successfully manage the claims and insurance program, limit liability and provide the safest work environment for employees. Mission Elements: Risk Management 48 Key Services/Related FTE's ----- -------------------------------------------------------- C) --------------------------------- ------------- 1. Claims Processing -- Process third party liability claims against the City. 3.20 FTE a. Claims Processing --Process workers' compensation claims. 1 .80 FTE s. Training--Provide Driver Training to all City Employees. 1 .20 FTE 4. Provide NEO (New Employee Orientation) safety training. 0.60 FTE s. Training-Provide Training to City Employees (other than driver training & new employee training). 2.10 FTE 6. Risk Identification & Assessment--Conduct inspections of City-owned facilities. 2. 10 FTE 7. Risk Identification & Assessment--Conduct driver evaluations. 0.40 FTE s. Manage self-insurance Program. 0.24 FTE 9. Review third party certificates of insurances. 0.60 FTE io. Investigate 3rd party liability claims to determine their value and bolster defenses to lower cost of claims. 1 .76 FTE 49 Efficiencies ------------------------------------------------------------------------------------------------------- 0 ------------------------------------------------------------------------------------------------------- Achieved FY 8 Planned I MM& 1. Continue to minimize use of outside 1. Continue to minimize use of outside counsel in handling lawsuits against the city. counsel in handling lawsuits against the city. 2. Evaluate effectiveness of DriveCam 2. Evaluate methods of incorporating systems in reducing claims and lawsuits. DriveCam data into departmental policies and determine the feasibility of DriveCam expansion to other departments. 3. Evaluate 504 Physical Panel program. 3. Evaluate selected Workers' Compensation Administrator. 4. Evaluate insurance program for the City 4. Continue to evaluate insurance program and requirements for the City's contractors. for the City and requirement for the City's contractors. 50 Employees & Revenue ------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------------- EMPLOYEES (in FTE's) FY 2015-2016 FY 2016-2017 . : Risk Funds 12 12 14 Department Total 12 12 14 FY 20,15-2016 FY 2016-2017 FY 2017-2018 Ac Estimated Proposed Am A GeneralFund 56111ty $5,595,205 $5,137,154 $6,441,873 Worker's Compensation- Fund 5612 � $2,687,011 $2,841,495 $2,683,408 Risk Management $1,124,908 $994,155 $1,077,329 Administration-Fund 5613 Department Total $9,407,124 $8,972,804 I $10,202,610 51 Total Expenditures ------------------------------------------------------------------------------------------------------- 0 -------------------------------------------------------------------------------------------------------- Actual A 6mn B Estimated Proposed 1 . 1 12018 $ °/i $ % $ % $ % General Liability- Fund 5611 4,960,644 59 5,752,021 59 5,752,018 59 6,430,719 63 Worker's Compensation- 2,465,207 30 2,914,440 30 2,592,721 30 2,664,688 26 Fund 5612 Risk Administration- 912,561 11 1,135,464 11 1,135,464 11 1,074,363 11 Fund 5613 I� I� Department Total 8,338,412 100 9,801,925 100 9,480,203 100 10,169,110 100 I, a, 52 a Debt Service Funds ______________________________________________________________________________________. O ------------------------------------------------ ___________________________________ PROPOSED BUDGET PRESENTATION 2017 - 2018 doi 53 Mission ------------------------------------------------------------------------------------------------------ Mission Used to account for the accumulation of resources for, and the payment of, general long-term debt principal and interest. 54 Revenue ------------------------------------------------------------------------------------------------------- ---------------------------------------- ------------------------------------------ FY 2015-2016 FY p 17�FY 2018 Actual MqMr- w Estimated . .. -. Ad Valorem Taxes 40, 196,519 42,135,999 43,692,441 Agency Contributions 1,525,161 1,791,775 1,194,540 Interest 907,858 310,927 154,680 Transfer from Other Funds 81,670,293 80,205,036 73,932,673 Proceeds of Sale of Bonds 77, 145,000 0 0 Bond Premium 11,898,979 0 0 Totals $ 213,343,810 $ 124,443,737 $ 118,974,334 55 Total Expenditures ------------------------------------------------------------------------------------------------------- 0 --------------------------------------------- ------------------------------------------------ 1 Amended . . FY 2017 MOWN& L "-r 2018 i' $ it °r° i $ Budget °r° A $ % i $ i� °r° i Seawall Improvement DSI 2,861,819 1.4 I 2,861,919 2.3 2,861,919 2.3 I 2,862,919 2.3 Fund(112 1) Arena Facility DS Fund ( 3,421,900 I 1.6 I 3,427,200 I 2.8 3,427,200 2.8 I 3,427,400 2.8 (1131) Baseball Stadium DS Fund 2,200,250 I 1.0 I 2,207,000 I 1.8 2,207,000 1.8 I 1,928,158 1.6 (1141) Debt Service Fund(20 10) 133,940,382 63.71 48,014,960 I 38.7 48,062,568 38.8 9 48,405,200 39.6 Water System DS Fund 26,179,799 I 12.5 �f 26,275,103 21.2 25,975,103 21.0 I 24,005,235 19.6 (4400) Wastewater System DS 21,817,573 I 10.4 I 21,733,914 17.5 21,733,914 17.5 I 21,741,220 17.8 Fund(44 10) Gas System DS Fund (4420) 1,405,360 I 0.7 � 1,389,969 1.1 1,389,968 1.1 I 1,404,379 1.1 Storm Water DS Fund 15,716,561 7.5 I 15,385,525 12.4 15,385,525 12.4 I 15,647,052 12.8 (4430) Airport DS Funds(4640- 4643) 2,182,717 1.0 2,197,101 1.8 2,197,101 1.8 + 2,190,251 1.8 1 I � Marina DS Fund(470 1) 393,853 0.21 609,275 0.5 609,275 0.5 I 612,750 0.5 Totals $ 210,120,214 100% ° ° ° $124,101,966 100/° $123,849,573 100/° J $122,224,564 100/° 56 Projected Change in Fund Balance --------------------------------------------------------------------------------------------------------- G) -------------------------------------------------------------------------------------------------------- Estimated Beginning Balance 10/ 1/17 33 833 761 Projected Changes (31250,1230) Projected Ending Balance 09/31/ 18 $ 30,583,5311 Restricted for debt 30q583 531 Outstanding General Obligation Debt --------------------------------------------------------------------------------------------------------- C) -------------------------------------------------------------------------------------------------------- Total Outstanding General Obligation Debt Service $60,000,000 -:---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- $50,000,000 --- ----- ---- ----- ---- ------------------------------------------------------------------------------------------------------------------------------------------------------------------- $40,000,000 - ----- ---- ----- ---- ---- ---- ---- ----- ----------------------------------------------------------------------------------------------------------------------------- $30,000,000 i F---- F i ------- ------ ---- ----- ---- ----- --------------------------------------------------------------------------------------- 2 0,000,000 ------ ---- ---- ---- ----------------------------------------------------------- ------ ----- ----j $10,000,000L L---- 7111------------------------------- --------------- ........ --------------- ---------- ---------------------L-------- FYE 9/30 NPrincipal 0 1 ntere st 58 Outstanding Utility Revenue Debt --------------------------------------------------------------------------------------------------------- E) -------------------------------------------------------------------------------------------------------- Total Outstanding Utility Debt Service $80,000,000 -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- $70,000,000 --- ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- $60,000,000 - --- --- --- --- --- ---------------------------------------------------------------------------------------------------------------------------------------------------------------------- $50,000,000 - --- --- --- --- --- ---- --- --- ------------------------------------------------------------------------------------------------------------------------------------------------ $40,000,000 --- --- --- --- --- ---- --- --- --- --- --- --- --- --- --- --- --- --- --- --- --- --- ---------- --- ----------------------- ---- --- --- --- --- --- --- --- --- --- --- --- --- --- $30,000,000 --- --- --- --- --- --- ----------------------- $20,000,000 $10,000000 ---- --- IL cb � O,yO N O,yry O,yIb O,y5, 16 O,yO,yO,yO,y ,�I Oen Opti ,b- N ORti Ib FYE 9/30 MPnncipal 0 Inte—t ■ 59 QUESTIONS ? Enterprise Fund Summary ______________________________________________________________________________________. 0 -_______________________________________________________________________________________ PROPOSED BUDGET PRESENTATION 2017 - 2018 4mi 61 Mission -------------------------------------------------------------- 0 --------------- ----------------------------------- Mission: The Enterprise Funds are used for operations that are financed and operated in a manner similar to private business enterprises with the costs of providing goods or services being financed or recovered primarily through user charges. 62 Enterprise Fund Employees ------------------------------------------------------------------------------------------------------- --------- ------------------------------------------------------------------------------ EMPLOYEES (in FTE's) FY 2015-20 16 FY 2016-2017 FY Water 206.4 216.41 220.4 Wastewater 165.0+ 156.0 f 158.0 Storm Water 82.0 81.0 t 81.0 Gas 153.01 153.0 f 152.0 Utility Business Office 1 32.0, 32.0 I 32.0 Aviation 83.01 82.01 82.0 ACM - Public Works k 2.0 I 2.0 I 2.0 Marina 1 15.O I 15.O f 15.0 Total 1 738.41 737.4 I 742.4 mr-7-- 63 Revenue ----------------------------- -------------------------------------------------------- G) ----------------------------------- ------------------------------------------------- FY 2016-2017 FY 2017-2018 ACTUALS FY 2015-2016 ESTIMATED PROPOSED Water 4010 136,778,872 140,484,662 142,397,298 Raw Water Supply Dev 4041 1,716,182 2,023,066 1,855,828 Choke Canyon 4050 I 85,252 87,4891 46,440 Waste Water 4200 I 73,033,208 75,027,762 80,195,760 Storm Water 4300 31,045,174 28,742,927 28,904,363 Gas 4130 ( 27,819,742 33,181,390 39,346,119 Airport 4610 I 8,243,988 8,343,126 9,360,000 Airport PFC 4621 1,247,305 1,300,060 1,301,280 Airport CFC 4632 I 1,250,677 1,331,619 1,597,000 Marina 4700 1,929,845 2,062,291 2,238,057 Golf Center 4690 35,029 19,180 39,887 Golf Center Capital Res 4691 97,770 166,382 103,000 Total Enterprise Funds $283,283,044 $292,769,954 $307,385,032 64 Total Expenditures --------------------------------------------------------------------------------------------------------- 0 ----------------------------------------- ------------------------------------------------- ■ ■ DEPARTMENT FY 2015-2016 FY 2016-2017 FY 2016-2017 FY . : BUDGET ESTIMATED PROPOSED $ - $ $ $ Water 4010 I 137,710,669 501 151,888,5891 461 150,879,0701 46 142,397,298 461 Raw Water Supply DevI 1,154,578 1 I 8,740 .1 I 8,740 .1 I 2,917 .1 4041 Choke Canyon 4050 1,255,6601 1 I 1,324,525 .4 I 1,324,525 .4 C 0 0 Waste Water 4200 58,892,123 I 20 I 86,906,426 27 I 85,454,824 27 80,163,646 24 Storm Water 4300 I 31,588,367 I 10 I 33,024,268 10 I 31,141,858 10 I 33,005,426 10 Gas 4130 27,600,705 I 9 40,028,883 12 I 33,182,915 11 f 39,346,016 12 i Airport 4610 I 9,822,183 4 8,661,635 2 I 8,608,734 2 9,353,488 3 Airport PFC 4621 I 1,133,609 I 1 f 1,136,137 1 I 1,136,137 1 I 1,127,591 1 Airport CFC 4632 1 918,554 I 1 I 1,403,905 1 I 1,108,113 1 I 1,353,690 1 Marina 4700 2,001,298 I 2 I 2,211,951 1 I 2,204,554 1 I 2,172,118 1 2 i Golf Center 4690 21,700 I .5 I 16,176 .4 I 16,176 .4 I 9,644 .1 Golf Ctr Capital Res 4691 81,443 I .5 I 210,734 .1 I 210,734 .1 I' 103,000 .8 Total Enterprise Funds $272,180,889 I 100 '1 $326,821,969 100 $315,276,380 100 II'i $309,034,834 100 65 Projected Change in Fund Balance e------------------------------------------------------------------------------------ 0 ------------------------------------------------------------------------------- .------ Estimated Beginning Balance - 10/01/2017zu $118,475,826 Projected Changes or ($1 ,649,803) Projected Ending Balance - 09/31/2018 ON $116,826,023 Reserved $67,947, 144 Reserved - CIP $43,545,998 Unreserved $5,332,881 66 Decision Packages FY 2018 DEPARTMENT TITLE All Utility Business Office Water Utilities Water Utilities Total Employee Step Increase (2.5%) Increase Interest and Bank Fees Convert 7 Temporary Positions to 5 Full Time FTE's Chemical Purchases $887,373 $270,000 $192,589 $2,406,359 $3,756,321 ■ 67 Presentation Overview • Mission • Mission Elements • Key Services - With FTE count • Efficiencies - Achieved - Planned • Revenue • Expenditures 68 Presentation Agenda • Water Utilities • Gas • Airport • Marina 69 Water Utilities PROPOSED BUDGET PRESENTATION 2017-2018 ENTERPRISE FUND Mission & Mission Elements Mission Deliver reliable, safe potable and raw water to customers Collect, treat and dispose of wastewater. Collect and convey storm water, protect life and property from storm flooding, and protect water quality Mission Elements Distribute water Manage the wastewater collection system Maintain drainage infrastructure system including surface drainage and pipes Manage raw water storage Produce treated water Provide water quality monitoring services Treat wastewater Manage wastewater lift stations Dispose of bio -solids Manage storm water drainage pump stations Water resource planning 71 Key Services / Related FTEs Key Services # FTEs Distribute Water 93.0 Manage the wastewater collection system 75.0 Maintain drainage infrastructure system including surface drainage and pipes 33.0 Manage raw water storage 22.4 Produce treated water 49.0 Provide water quality monitoring services 29.0 Treat wastewater 59.0 Manage wastewater lift stations 20.0 Dispose of bio -solids 23.0 Manage storm water drainage pump stations 9.0 Water resource planning 3.0 Monitor, evaluate impacts and the implementation of Federal and State Regulations and Environmental Programs 5.0 Billing, Collections & Customer Care 32.0 Residential Curb and Gutter Replacement 17.0 Horticulture & Turf Management 19.0 72 Efficiencies FY 17 Achieved FY 18 Planned 1. Consolidated Human Resources and Purchasing staff. 2. Added mixing at Flour Bluff Elevated Storage Tank, Navigation, and Staples Ground Storage Tanks to enhance water quality. 3. Completed the addition of chlorine dioxide to the water treatment process at O.N. Stevens Water Treatment Plant to better water quality. 4. Replace/Rehab 600 linear feet of water main rehabilitation to enhance the water quality and monitoring capability. 5. Replace/Rehab 10,000 linear feet ofWastewater Collection line and 17 manholes to reduce the sanitary sewer overflows (SSO) and infiltration. 6. Completed Laguna Madre head works project. 1 1. Addition of two new elevated storage tanks at Holly Road and Nueces Bay Boulevard to increase water pressure in the distribution system and improve water quality. 73 2. Completion of High Service #3 to help increase the O.N. Stevens Water Treatment Plant production capability. 3. Use expanded mobile technology to streamline field processes, work order management and data collection in Maximo. 4. Clean and televise large diameter Wastewater lines to remove the debris, to restore the capacity and to determine the structural integrity. 5. Clean and televise additional small diameter Wastewater lines to remove the blockages that might lead to the sanitary sewer overflows (SSO), to restore capacity, and to determine the structural integrity. 6. Loop dead end mains to restore the quality and to eliminate the flushing. Proposed Water Utility Rates DEMAND CHARGE: ICL Residential & Commercial OCL Residential & Commercial CUSTOMER CLASS: OCL Wholesale 0 + Public Agency 0 + OCL Residential 2-6,000 6-15,000 15,000 + OCL Commercial 2,000 + OCL Large Volume 10 million + ICL Treated lig Volume 10 million + ICL Residential 2-6,000 Usage (gallons) Mit Minimum Chg Minimum Chg ICL Commercial Raw Water Cost Adj (RWCA) Raw Water Development Charge 6-15,000 15,000 + 2,000 + per 1,000 per 1,000 Current Proposed % increase from current 12.14 13.15 14.57 15.75 1.33 1.41 1.93 2.24 2.34 2.55 2.92 3.15 3.65 3.95 3.01 3.60 2.00 2.40 5.69 6.00 6.07 6.60 6.98 7.59 6.78 0.94 0.05 7.55 8.20 7.20 0.99 0.05 8.3% 8.1 % 5.6% 15.9% 9.0% 7.9 % 8.2 % 19.6% 20.1% 5.4 % 8.7% 8.2 % 8.0% 6.2 % 5.0% 0.0% 74 Proposed Wastewater Rates RESIDENTIAL - Inside City Limits IP Current - Winter Qtr. Averaging Proposed -based on actual water usage Minimum charge — first 2,000 gallons $34.03 $32.60 ihrgr 1,000 up to 25,000 Jr $6.69 2,000 — 6,000 gallons 6,001 — 15,000 gallons 15,001 — 25,000 gallons $ 3.25 $ 4.85 $ 7.25 75 Employees & Revenue EMPLOYEES (in FTEs) FY 2015-2016 FY 2016-2017 Water Recommended Decision Package - Add 5 Utility Techs in Water Fund Wastewater Storm Water 240.4 0 165 82 250.4 0 156 81 249.4 5 158 81 Water Water - Grants Wastewater Storm Water $136,778,872 $121,848 $73,033,208 $31,045,174 FY 2016-2017 Estimated $140,484,662 $833,388 $ 75,027,762 $28,742,927 FY 2017-2018 Proposed $142,397,298 $7,500 $80,195,760 $28,904,363 76 Total Expenditures (Water Fund 4010) Amended Budget 2017 Personnel Operating Debt Services Allocations Total Water Fund Recommended Decision Package - 5 Utility Technicians Recommended Decision Package - Bank Charges Recommended Decision Package - Additional Purification chemicals Grant Funds 13,219,238 9.6 72,122,866 52.4 $ 17,373,533 82, 314, 882 46,780,814 34 45,772,769 5,587, 751 4.1 6,427,405 137, 710, 669 100 151, 888, 589 121,8481 1001 N/A 833,388 Estimated _ZO 17 % I 11.41 54.21 30.11 4.2 1 1001 1001 Proposed 018 16,664,1901 11.01 81,518,8551 541 46,268,620 30.71 6,427,405 4.3 150,879,070 833, 388 $ 18,009,588 70,177,462 43,827,593 7,513,707 100 1 139,528,350 192,589 270,000 N/A 2,406,359 100 7,500 100 % I 12.91 50.31 31.4] 5.41 1001 77 Total Expenditures (Wastewater Fund 4200) Personnel Operating Debt Services Allocations Total Wastewater Fund Recommended Decision Package - Infrastructure Actual FY 2016 8,979,345 15.2 Amended Budget FY 2017 9,757,887 11.2 23,765,702 40.4 51,267,250 59 21,683,735 36.8 21,436,535 24.7 4,463,341 58,892,123 7.6 100 4,444,754 86,906,426 N/A 5.1 100 Estimated FY 2017 9,784,993 11.5 49,788,542 58.3 21,436,535 4,444,754 85,454,824 25.1 5.2 100 Proposed FY 2018 10,379,757 1 15.2 31,574,938 21,230,910 46.3 31.1 4,978,041 7.3 68,163,646 12,000,000 100 N/A � s ■ 78 Total Expenditures (Storm Water Fund 4300) Actual FY 2016 Amended Budget FY 2017 Estimated FY 2017 Proposed FY 2018 Personnel Operating Debt Services Allocations Total Storm Water Fund 3,454,277 11,473,400 14,842,215 1,818,475 31,588,367 10.9 4,218,271 36.3 47 5.8 12.8 12, 009, 704 i 36.4 I � 15,219,731 46.1 1,576,562 100 33,024,268 4.8 100 4,205,061 10,140,504 13.5 32.6 15,219,731 48.9 1,576,562 31,141,858 5.1 100 4,431,953 11,330,573 13.4 34.3 15,387,476 46.6 1,855,424 5.6 33,005,426 100 79 Projected Change in Water Fund Balance Estimated Beginning Balance - 10/01/2017 Projected Changes Projected Ending Balance - 09/31/2018 Reserved - CIP Unreserved Reserved $31,367,043 $0 $31,367,043 $14,480,990 $0 $16,886,053 80 Projected Change in Wastewater Fund Balance Estimated Beginning Balance - 10/01/2017 Projected Changes Projected Ending Balance - 09/31/2018 Reserved - CIP Unreserved Reserved 41•L Mr Ir W EloP AMP' $36,756,691 $32,114 $36,788,805 $22,930,621 $0 $13,858,184 81 Projected Change in Storm Water Fund Balance Estimated Beginning Balance - 10/01/2017 Projected Changes Projected Ending Balance - 09/31/2018 Reserved - CIP Unreserved Reserved Mir Mir Mr ■I AMIr $8,960,474 ($4,101,063) $4,859,410 $1,145,898 $0 $3,713,512 82 Gas Department PROPOSED BUDGET PRESENTATION 2017-2018 ENTERPRISE FUND Mission & Mission Elements Mission: To deliver natural gas to customers. Mission Elements: 21 Plan for and secure gas supplies. 22 Manage the gas distribution system. 23 Plan and develop expansion of the gas utility. 24 Conduct natural gas education and promote safety. 84 Key Services/Related FTE's Purchase Natural Gas. 0.50 FTE Maintain existing lines. 97.00 FTE Install new lines and facilities. 49.00 FTE Compressed Natural Gas. 3.00 FTE Home Builder's Rebates. 1.00 FTE Deliver public awareness safety message. 1.00 FTE Conduct safety education. 0.50 FTE 85 Gas Rates Average Residential Customer Bill 1 Mcf Usage (Average Summer Bill) Current Rate 016 - 2017 No Rate Change 01 - 018 Potential Rate Restructure FY 2018-2019 Cost of Gas (Jan. 2017 PGA $4.38) Meter Charge 1 Mcf Total Gas Bill: $4.38 $1.27 $10.38 $16.03 $4.38 $1.27 $10.38 $16.03 3 Mcf Usage (Average Winter Bill) Current Rate FY2016-2017 No Rate Change FY 2017-2018 Potential Rate Restructure FY 2018-2019 Cost of Gas (Jan. 2017 PGA $4.38 x 3) Meter Charge 1 Mcf 2 Mcf 3 Mcf Total Gas Bill: $13.14 $1.27 $10.38 $5.81 $5.81 $36.41 $13.14 $1.27 $10.38 $5.81 $5.81 $36.41 * Present Proposed Gas Rate restructure plan to Council 86 Efficiencies FY 17 Achieved 1. Initial study completed on proposed restructuring of Gas rates. 2. Cathodic protection rectifier pilot study completed. 3. Consolidated Utility line location services work -force reduction. 1. Present proposed Gas rate restructure plan to Council for approval. 2. Complete Construction of new regulator station for Padre Island. 3. Remove old Hygeia CNG station and refurbish equipment for re -use at a future Westside CNG Station. 87 Employees & Revenue FY 2017-2018 Department FTE's Total 153 153 153 153 152 152 REVENUE FY 2015-2016 Actual FY 2016-2017 Estimated FY 2017-2018 Proposed Operating Revenue Purchased Gas Adjustment Total $18,121,397 $9,698,345 $27,819,742 $18,125,575 $15,055,815 $19,269,163 $20,076,956 $33,181,390 $39,346,119 88 Total Expenditures Actual FY 2016 Amended Budget FY 2017 Estimated FY 2017 Proposed FY 2018 Personnel Operating Allocations Debt Service Subtotal Natural Gas Purchased Total 8,230,479 4,989,417 3,412,718 1,482,039 18,114,653 9,486,052 27,600,705 301 8,853,795 18 6,089,477 12 3,850,379 5 1,333,348 65 20,126,999 35 19,901,884 100 40,028,883 89 22 16 9 3 50 50 100 7,629,637 5,370,834 3,850,379 1,333,348 24 16 10 4 18,184,198 56 14,998,717 33,182,915 44 100 % I 8,864,539 24 5,218,426 4,212,467 1,347,757 15 10 3 19,643,189 52 19,702,827 48 39,346,0161 100 Projected Change in Fund Balance Estimated Beginning Balance - 10/01/2017 Projected Changes Projected Ending Balance - 09/31/2018 Reserved - CIP Unreserved Reserved AMP it 1L Amur $9,562,245 $103 $9,562,347 $4,988,489 $0 $4,573,858 90 Aviation Department PROPOSED BUDGET PRESENTATION 2017-2018 ENTERPRISE FUND Mission & Mission Elements Mission: Provide access to air transportation and aeronautical services. Mission Elements: 271. Maintain facilities on airport property. 272. Manage airport operations. 273. Manage leased property at airport. 274. Plan and develop airport expansion. 92 Key Services/Related FTE's 1. Regularly inspect all buildings, facilities and equipment. 5.50 FTE 2. Repair and replace damaged or deteriorated property. 17.50 FTE 3. Comply with Federal Aviation Administration Safety. 27.50 FTE 4. Comply with Transportation Security Administration Security. 17.00 FTE 5. Emergency/response operations (Fire, Police) . 7.50 FTE 6. Administer, manage, and monitor all lease agreements and contracts. 4.50 FTE 7. Capital projects planning and execution; Grant administration. 2.50 FTE 93 Efficiencies FY 17 Achieved FY 18 Planned 1. Refurbishment of Terminal Cooling Tower # 2 which reduced overall maintenance costs and provides redundancy in the event of Tower # 1 failure. 2. Purchase of additional Kubota mower to reduce downtime and maintain work load for airfield and landside grounds. 3. Full implementation of Prodigiq Airfield Inspection module has resulted in paperless and quicker process for daily airfield inspection. 4. Expansion of electronic access control systems to include pin code requirement has resulted in increased security and reduce officer responses. 1. Additional Prodigiq software update to include (NOTAMS) - Airfield Notification to Pilots and Wildlife Management Reporting Modules. Will result in faster, more complete reports 2. Installation of airport parking lot LED lighting (Phase II). This should result in significant maintenance and electricity cost savings. 3. Approval and implementation of Airport Public Safety Officer Recruitment and Retention Plan (Phase II). Retention of officers should reduce training and overtime costs. ■ 94 FY 2017-2018 Employees & Revenue FY 2016-2017 Airport Fund Department Total Operating Revenue Grant Funds Department Total 82 82 $8,243,988 $6,637,856 $14,881,844 FY 2016-2017 Estimated 82 82 FY 2017-2018 Pro. osed $8,343,1261 $7,239,222 $15,582,348 $9,360,000 $6,500,000 $15,860,000 82 82 FY 2015-2016 Actual s 95 Total Expenditures Actual FY 2016 Amended Budget FY 2017 Estimated FY 2017 Proposed FY 2018 Personnel Operating Allocations Total Grant Funds 1 4,185,812 43 4,654,695 47 981,676 10 9,822,183 $6,637,856 $ 4,148,194 3,479,935 1,033,506 48 40 12 100 8,661,635 100 $7,239,222 $ 4,115,413 3,459,827 1,033,494 48 40 12 8,608,734 100 $7,239,222 4,480,791 48 3,629,362 39 1,243,335 13 9,353,488 100 $6,500,000 96 Projected Change in Fund Balance Estimated Beginning Balance - 10/01/2017 Projected Changes Projected Ending Balance - 09/31/2018 Reserved Unreserved MEP' MN1 Mir Mr Ol• $4,107,356 $6,512 $4,113,868 $2,180,464 $1,933,404 97 Marina Fund PROPOSED BUDGET PRESENTATION 2017-2018 ENTERPRISE FUND Mission & Mission Elements Mission: Provide a safe and inviting recreational and commercial venue for the boating public including visitors. Mission Elements: 121. Provide safe and secure dockage. 122 Provide modern, clean, and serviceable amenities. 12 Provide response to water emergencies, including search and rescue. 99 Key Services/Related FTE's 1. Dockage Available: Boats Slips Leased. 4.50 FTE 2. Maintenance Performed: Boat Haul Outs. 5.50 FTE Boat Yard Available: Boat Maintenance. 2.00 FTE Fuel Station. 0.50 FTE Boat Operation: Support for Search & Rescue. 2.50 FTE 100 Efficiencies FY 17 Achieved 1. Created promotional marketing to all boaters along the Gulf Coast. 2. A successful National Youth Sailing Regatta in conjunction with CC Yacht Club with over 100 boats. 3. Provided on the water support for search and rescue with Police, Fire, Port Police, and US Coast Guard. 1. World Sailing Championship, to include 73 countries, and approximately 500 boats. 2. Identify funding for the Coopers Alley L - head bathroom. 3. Continue working with the DMD and CVB to increase tourism in the downtown area promoting the waterfront/Marina. 101 FY 2017-2018 Employees & Revenue FY 2016-2017 Department FTE's Grant FTE's Marina Fund Total Operating Revenue Grant Revenue Department Total 15 0 15 FY 2015-2016 Actual 15 0 15 FY 2016-2017 Estimated II $1,929,845 $0 $1,929,845 $2,062,291 $0 $2,062,291 15 0 15 FY 2017-2018 Proposed $2,238,057 $0 $2,238,057 102 Total Expenditures Actual FY 2016 Amended Budget FY 2017 Estimated FY 2017 Proposed FY 2018 Personnel Operating Allocations Debt Service Marina Fund Total 696,812 35 564,376 28 344,160 17 395,950 20 2,001,298 100 758,836 34 521,848 24 321,992 14 609,275 28 2,211,951 100 751,589 521,696 321,994 34 24 15 609,275 27 I I 2,204,554 100 740,814 34 512,759 24 305,795 14 612,750 28 2,172,118 100 103 Projected Change in Fund Balance Estimated Beginning Balance - 10/01/2017 Projected Changes Projected Ending Balance - 09/31/2018 Reserved Unreserved gEMP Ol• $540,682 $65,939 $606,621 $389,842 $216,779 104 Special Revenue Fund Summary PROPOSED BUDGET PRESENTATION 2017 - 2018 Mission Mission: Special Revenue Funds are used to account for resources allocated to specific purposes. A special revenue fund continues in existence as long as governmental resources are allocated to its specific purpose. 106 Special Revenue Fund Employees EMPLOYEES (in FTE's) FY 2015-2016 FY 2016-2017 FY 2017-2018 Development Services Street Maintenance State Hotel Occupancy Tax Visitor's Facilities Municipal Court -Case Manager Health 1115 Waiver Redlight Photo Enforcement C.C. Crime Control District Local Emerg Planning Cmte TOTAL 62.5 132 0 13 3 4 3 78.6 1 297.1 60.5 132 15.7 13 3 4 3 78.6 1 310.8 65.5 132 15.7 13 3 0 0 63 1 293.2 107 Revenue FY 2015-2016 ACTUALS FY 2016-2017 ESTIMATED FY 2017-2018 PROPOSED Development Services Streets Visitor's Facilities Municipal Court Health 1115 Waiver Hotel Occupancy Tax Redlight Photo Enforcement C.C. Crime Control District Local Emerg Planning Cmte Other Funds Total Special Revenue Funds 7,338,654 33,765,051 10,306,256 339,070 2,167,920 17,655,584 1,858,195 6,631,649 127,784 25,345,662 $105,535,825 6,314,407 32,895,924 10,762,043 307,204 632,911 18,437,773 1,173,076 6,586,424 274,925 41,196,056 $118,580,743 6,519,227 32,807,247 11,477,560 309,027 0 18,773,112 5,037 6,628,500 269,250 31,764,286 $108,553,246 1 108 Total Expenditures DEPARTMENT FY 2015-2016 ACTUAL Development Services Streets Visitor's Facilities Municipal Court Health 1115 Waiver Hotel Occupancy Tax Redlight Photo Enforcement C.C. Crime Control District Local Emerg Planning Cmte Other Funds TOTAL FY 2016-2017 BUDGET $ 7,581,238 26,861,672 9,132,904 289,614 1,385,129 14,340,657 1,883,604 7,791,381 140,711 15,425,073 $84,831,983 8.9 31.7 10.8 0.3 1.6 16.9 2.2 8'21 0.2 1 18.2 $ 7,701,566 55,523,399 12,170,520 426,967 760,437 22,653,318 1,990,359 8,521,894 276,955 30,188,817 100 $140,214,231 oaf 5.5 39.61 8'71 0.31 0.5 16.21 $ 7,382,453 55,506,258 11,858,206 291,409 39,864 18,207,246 1.41 1,187,251 6.11 0.21 21.5 1001 7,783,529 272,302 18,727,331 $121,255,849 % 6.11 45.81 8'81 0.2J 0.03 1 15 6.41 0.2 1 15.4 1 100 1 $ 17-2018 POSED 6,858,121 32,356,505 11,753,236 439,771 0 16,814,855 712,124 6,497,8261 269,2501 20,132,5161 $95,834,2041 7'21 33.8 1 12.31 0.51 0 17.5 0.7 6.8 0.3 21 100 109 $109,664,222 $12,719,043 $122,383,265 $122,383,265 $0 1 Projected Change in Fund Balance Estimated Beginning Balance - 10/01/2017 Projected Changes Projected Ending Balance - 09/30/2018 Reserved Unreserved wr MC MI• Mr or 110 Decision Packages FY 2018 Ili DEPARTMENT All Development Services Development Services Streets Streets Streets Total Employee Step Increase (2.5%) 4 Inspector II - Backflow Program 1 Inspector II - Zoning and Civil work Street Striping Program Radar Detection System Traffic Signal Maintenance $409,635 306,576 54,947 196,000 100,000 196,000 $1,263,158 111 Presentation Overview Mission Mission Elements Key Services - With FTE count Efficiencies - Achieved - Planned Revenue Expenditures 112 Presentation Agenda Development Services Streets 113 Development Services Fund PROPOSED BUDGET PRESENTATION 2017-2018 SPECIAL REVENUE FUND Mission & Mission Elements Mission: Administer the building and development codes, and facilitate development of the City. Mission Elements: 281, Oversight of Building Construction. 282 F Oversight of Land Development and Public Infrastructure Process. 283. Miscellaneous Permitting. 284. Provide Project Management and Coordinate with Key Internal Stakeholders. 285 Provide Support to Boards, Commissions and Technical Committees. 115 Key Services/Related FTE's Conduct residential and commercial plan reviews. 11.00 FTE Issue permits, licenses, registrations and collect fees. 12.20 FTE Conduct residential and commercial building inspections. 12.50 FTE Review, approve and record plats. 4.00 FTE b. Planning commission and zoning approvals. 6.80 FTE 6. Provide project management and coordinate with key internal stakeholders. 8.80 FTE 7. Process accurate, timely agenda items for boards, commissions and technical committees. 5.20 FTE 116 Efficiencies FY17 Achieved FY 18 Planned 1. Launched INFOR/Bentley CDR System. 2. Completed Public Service Announcements on Development Process. 3. Conducted Public Outreach for 2015 International Energy Conservation Code. 4. Instituted Program to Test & inspect Delinquent Commercial Devices (approximately 900 devices) . 5. Migrated Department's Website Page to the City's new Website. 1. Update Fee Schedules Based on Cost of Service Study. 2. Create Tracking and Reporting System in Infor Software. 3. Adopt Final FEMA maps and Higher Construction Standards. 4. Conduct Customer Training for Permit Application Requirements. 5. Improve Water Tapping & Meter Process. 6. Identify Text Amendments to the Unified Development Code. 117 Employees & Revenue FY 2015-2016 FY 2016-2017 Department FTE's Department Total Recommended Decision Package - Add 4 Backflow Inspectors & 1 Zoning Inspector Operating Revenue Development Services Fund Total 63 63 0 FY 2015-2016 Actu. $7,338,654 $7,338,654 60.5 60.5 0 FY 2016-2017 Estimated $6,314,407 $6,314,407 60.5 60.5 5 FY 2017-2018 Proposed $6,519,227 $6,519,227 118 Total Expenditures Actual FY 2016 Amended Budget FY 2017 Estimated FY 2017 Proposed FY 2018 Personnel Operating Allocations Total Recommended Decision Package - Add 4 Backflow Inspectors & 1 Zoning Inspector 3,826,597 2,085,867 1,668,772 7,581,238 51 27 22 100 4,167,934 2,477,656 1,055,976 7,701,566 54 32 14 100 4,075,766 2,250,710 1,055,976 7,382,453 % 55 31 14 100 4,313,605 63 1,355,726 20 1,188,790 17 6,858,121 361,523 100 N/A 119 Projected Change in Fund Balance Estimated Beginning Balance - 10/01/2017 Projected Changes Projected Ending Balance - 09/31/2018 Unreserved Reserved iamor ir L L Im• $3,737,689 ($338,894) $3,398,795 $0 $3,398,795 120 Streets Department Fund PROPOSED BUDGET PRESENTATION 2017-2018 SPECIAL REVENUE FUND Mission & Mission Elements Mission: Manage, maintain, and develop the City's street system. Mission Elements: Maintain street pavement and associated improvement appurtenances. Operate and maintain signals, signs and markings. Plan and develop the street system. 122 Key Services/Related FTE's 1. Pavement maintenance and repair. 97.60 FTE 2. Traffic signs and markings. 14.90 FTE 3. Traffic signals. 11.50 FTE 4. Traffic engineering. 8.00 FTE FY 17 Achieved Efficiencies 1. Enhanced community communication and outreach via Street website providing updates of street PCI and ongoing street construction project status. 2. Developed and implemented Laserfiche Record Retention Program saving space, enhancing access to records saving paper, time, and money. 3. Initiated Traffic Management Center (TMC) operations improving monitoring and management of traffic signals, minimizing traffic congestion, and delays. 4. Established new traprock material supply agreement resulting in a 15% cost reduction. 5. Successfully enhanced traffic progression of 624 corridor. 1. Undertake automated PCI Collection to provide accurate and timely data improving asphalt & concrete street pavement maintenance planning. 2. Explore implementation of DriveCam and AVL technology to improve logistic routing and response time. 3. Improve traffic management by minimizing traffic congestion delays and enhancing progression by continuing TMC operations. 4. Improve traffic progression and enhance traffic safety of the Saratoga and the Ennis Joslin corridor by upgrading traffic signal operations. -v 124 I Employees & Revenue EMPLOYEES (in FTE's) FY 2015-2016 FY 2017-2018 Street Fund Storm Water Fund Street Fund Total 132 17 149 132 17 149 132 17 149 .11111111 FY 2015-2016 Attu. FY 2017-2018 P_ Operating Revenue Transfer from General Fund Street Fund Total Storm Water Fund Residential Street Reconstruction Fund $17,913,481 $14,192,154 $ 32,105,635 $2,286,896 $1,652,831 $17,377,073 $13,574,895 $30,951,968 $2,346,403 $1,943,956 $18,639,840 $13,567,213 $32,207,053 $2,444,218 $600,194 125 Total Expenditures Actual FY 2016 Amended Budget FY 2017 Estimated FY 2017 Proposed FY 2018 Personnel Operating Allocations Total Street Fund Storm Water Fund Residential Street Reconstruction Fund 6,009,982 18,750,922 2,100,768 26,861,672 2,286,896 0 % I 22 70 8 100 6,851,600 43,359,950 2,811,849 53,023,399 2,346,403 2,500,000 82 5 100 6,914,918 43,279,491 2,811,849 53,006,258 2,346,403 2,500,000 13 82 5 100 7,430,440 21,567,566 3,087,856 32,085,862 2,444,218 270,643 % I 23 67 10 100 s 126 $1,118,171 $121,191 $1,239,362 $1,239,362 $0 1 Projected Change in Fund 1041 Balance Estimated Beginning Balance - 10/01/2017 Projected Changes Projected Ending Balance - 09/31/2018 Reserved Unreserved MMi MW. Mir OW 127 $2,098,411 $329,551 $2,427,962 $2,427,962 $0 1 Projected Change in Fund 1042 Balance Estimated Beginning Balance - 10/01/2017 Projected Changes Projected Ending Balance - 09/31/2018 Reserved Unreserved gEMP MEND MW. Mir 128