Fort Walton Beach Council agenda — 09-19-12 special budget-second ph — reading text

OO OO Cemetery QQ Golf Club 00 Engineering Svcs T_ T_ NN Planning/ Zoning Bldg Insp/ Permits T_0T_0 NN Code Enforcement titi Streets Engineering Utility Customer Service MOO!!M rr Services Utility Services Water Operations 15. OM Sewer Operations Water Distribution Sewer Collection Sanitation Stormwater T- 4 DEPARTMENTDEPARTMENT & & DIVISIONDIVISION INFORMATIONINFORMATION AA DepartmentDepartment isis aa majormajor administrativeadministrative segment segment ofof thethe CityCity thatthat indicatesindicates overalloverall management management responsibilityresponsibility forfor anan operationoperation oror aa groupgroup ofof relatedrelated operationsoperations withinwithin aa functionalfunctional areaarea ( ( e.e. g.g. PolicePolice Department,Department, RecreationRecreation Department).Department). TheThe smallestsmallest organizationalorganizational unitunit budgetedbudgeted isis aa Division.Division. EachEach divisiondivision indicatesindicates responsibilityresponsibility forfor oneone functionalfunctional areaarea ( ( e.e. g.g. LibraryLibrary DivisionDivision withinwithin RecreationRecreation Department).Department). WhenWhen divisionsdivisions areare combined,combined, aa departmentdepartment isis formed.formed. InIn orderorder toto provideprovide CityCity CouncilCouncil andand citizenscitizens withwith aa well-well- roundedrounded presentationpresentation ofof eacheach department,department, thethe following following elementselements areare presentedpresented inin thethe annualannual budget:budget: organizational organizational chart,chart, revenuesrevenues & & expenditures,expenditures, mission,mission, description,description, goalsgoals & & objectives,objectives, andand accomplishments.accomplishments. BUDGETBUDGET BASISBASIS AnnualAnnual appropriated appropriated budgetsbudgets areare adoptedadopted byby resolutionresolution forfor allall governmentalgovernmental andand proprietary proprietary funds.funds. TheThe CityCity isis notnot legallylegally requiredrequired toto budgetbudget forfor proprietaryproprietary oror fiduciaryfiduciary fundsfunds andand thosethose budgetsbudgets areare notnot includedincluded inin thethe City'City' ss auditedaudited financialfinancial statements.statements. TheThe basisbasis ofof accountingaccounting usedused CityCity ofof PortPort WaltonWalton Beach,Beach, FLFL 1616 Budget Overview for purposes of financial reporting in accordance with generally accepted accounting principles GAAP) is not the same basis used in preparing the budget document. All funds are budgeted on a cash basis. In GAAP financial statements, however, governmental funds use the modified accrual basis of accounting and proprietary funds use the accrual basis of accounting. During the year, the City' s accounting system is maintained on the same basis as the adopted budget, which enables department budgets to be easily monitored through the accounting system. The major difference between the budget and GAAP for governmental funds is that certain expenditures e. g. compensated absences and depreciation) are not recognized for budgetary purposes, but are recorded in the accounting system at year -end. For enterprise funds, the difference between this budget and GAAP is that debt principal payments and capital outlay ( i.e. fixed assets) are budgeted as expenditures for budgetary purposes, but depreciation and compensated absences are shown on the financial statements. Staff believes this provides a better day -to -day financial plan. However, all activity is recorded in the accounting system at year -end in accordance with GAAP. BUDGET PROCESS This budget continues the City' s commitment of using planning processes and the citizen input as blueprints for providing services and programs for the betterment of the community. Planning Processes Frequency Description Budget Impact Comprehensive Long Range Plan - Provides direction to guide Budget expenditures ( e. g. Plan developed in 1990, and control development and Capital Improvements Plan) updated in 2000 & redevelopment, as required must be concurrent with the 2011. per Florida Statute Chapter Comprehensive Plan. 163. Vision Plan Long Range Plan - Defines the broad, idealistic Outlines the general allocation developed in 1994, values that citizens cherish of resources to achieve the updated in 2004 & and desire for their desired service levels and 2011. community and creates shared quality of life. commitments among citizens, City Council, and staff. Budget Policy Short Range Plan - Defines changes to service Provides the framework for Workshop held annually. levels or program objectives developing the current budget. based on City Council goals and available fiscal resources. Capital Short- to -Mid Provides estimated dates and Provides anticipated 5 -year Improvement Range Plan - costs for the acquisition, funding level for facilities and Plan updated annually. construction, replacement, or infrastructure. renovation of facilities and infrastructure. RolesRoles & & Responsibilities Responsibilities TheThe budgetbudget processprocess beginsbegins inin JanuaryJanuary withwith thethe FinanceFinance DirectorDirector andand BudgetBudget & & GrantsGrants ManagerManager developingdeveloping fivefi-ve - yearyear financialfinancial forecastsforecasts forfor thethe GeneralGeneral andand EnterpriseEnterprise Funds,Funds, includingincluding best,best, likely,likely, andand worstworst - - casecase scenarios.scenarios. RevenueRevenue assumptionsassumptions areare developeddeveloped usingusing financialfinancial forecastingforecasting softwaresoftware toto analyzeanalyze historicalhistorical trendstrends andand accountaccount forfor anyany anticipatedanticipated majormajor economic economic oror legislative legislative changes.changes. RevenueRevenue projectionsprojections areare continuallycontinually updatedupdated untiluntil thethe budgetbudget isis adoptedadopted toto