Fort Walton Beach Council agenda — 06-01-2010 Special-2010/2011 Budget Policy Workshop — reading text

a problem with this date please, advise me at your convenience. Robert T. Mearns City Manager Office ofthe City Manager City ofFt. Walton Beach 850- 833 -9504 850- 833 -9640 (Fax) Please Note: Florida has a very broad public records law. Most written communication to or from the City of Fort Walton Beach officials are public records available to the public and media upon request. Your e- mail address and communications may therefore be subject to public disclosure. A.- ry 4/ 20/2010  CITY COUNCIL SPECIAL MEETING June 1, 2010 Special Meeting Agenda Discussion of Budget Policy Issues Synopsis: City Council will provide policy direction to staff on the ad valorem millage rate, levels ofservice and expenditure preferences Agenda Item Number: 391  CITY OF FORT WALTON BEACH Memorandum DATE: May 28, 2010 TO: Bob Mearns, City Manager FROM: Brandy Wunker, Finance Director Charlotte Dunworth, Budget & Grants Manager SUBJECT: Budget Policy Meeting 1. BACKGROUND 1 During the January 2005 Strategic Plan, City Council established an objective to have earlier involvement in the budget process. Consequently, a Budget Policy Meeting is traditionally held in May to discuss critical issues impacting the development of the upcoming year' s budget. 2. DISCUSSION 2. 1 The Budget Policy Meeting is intended to determine the framework within which the FY 2010 -11 budget, to be distributed to City Council in July, will be prepared. It is not intended to be a detailed review of the budget and the decisions are not necessarily binding. However, if City Council' s ultimate policy objectives can be built into the budget from the beginning, the entire budget process will be more efficient. 2. 2 . Preliminary calculations indicate a $ 1. 7M shortfall in the General Fund, compared to the FY 2009 -10 budget: a. $ 400K net revenue shortfall b. $ 1 M shortfall due to the use of non -recurring unreserved & designated fund balances in FYI 0 c. $ 325K pension contribution increase: $ 60K general, $ 167K police, & $ 98K fire 2. 3 As it is not sound fiscal practice to use reserves to fund ongoing operational expenses, staff has identified budget reductions to achieve a balanced General Fund budget with the current millage rate of 4. 1986. These reductions were made considering core City services and recognizing that cuts would need to be of a sustainable nature ( i.e. not short- term, one budget cycle fix). 2. 4 If City Council desires to add programs /services back into the budget, staff respectfully requests a corresponding budget reduction or millage rate increase. The FY 2010 -11 General Fund budget and millage rate will be determined by the level of services desired. 2. 5 This meeting has been advertised as a special meeting so that City Council may vote on the policy decisions. 3. FINANCIAL INFORMATION 3. 1 Financial information is presented for each policy decision. 4. RECOMMENDATION 4. 1 Staff respectfully requests City Council consensus on the policy decisions presented in order to guide FY 2010 -11 budget development. 5. ATTACHMENT 5. 1 Staff has prepared the attached FY 2010 -11 Budget Policy Meeting document for informational purposes, as well as to outline policy decisions for which staff would like City Council consensus. Submitted by: Charlotte Dunworth, Budget & Grants Manager Reviewed & Concur: Bran y W er, Finance Director Reviewed for Agenda: 4 . 69' ert I Mearns, City Manager UABudget\Budget 10- 11\ Budget Meeting - May\Budget Policy Memo.doc  City of Fort Walton Beach FY 2010 -ii BUDGET POLICY MEETING Ia 400 n 000 000 000 00 40 June s, 2010 It is the 911ISSIOX of the City of Fort Walton Beach to 6e a leader among cities andin the region at large in delivering outstanding quality services to all citizens through innovative andefficient use of resources.  ZO yLJO aAloss/p t0 sclfinoland AeplloH pled 00 suollonpaH AaeleS 60 eoueansul leluep 8Z s1417 laaalS LZ aaluao iolues 90 sluan3 leloedS 517 6uluueW Z uo!lels uoIleaap/suoD JOI sanlleuaal/d t13 suaeafioad uOlIMoaH 63 sanoH Aaeaq! l ZZ sanoH wnesnn lZ sod }alu b OZ eouuueluiew AeM- jo -}y6!H 6L Wd XW8 8l Aeluao sluua I LG 6uipund Aoua6V epislnO 9l sjelgo uoileIJe8 5 aayl0 -Q lelideC) - sanaasaH pund leaaua0 aniJuaoul eeAoldw3 - sanaasaH pund leaaua0 EL 9AIJU90UI juawaiijeH Alae3 - sanaasaH pund leaaua0 Z lgaa IloJ 110 Aud - sanaasaH pund leaaua0 G uoileuaaolul AaejuawelddnS 6 snjejS pund leaaua0 L AaewwnS asuedx3 Z AaewwnS anuanaH Z saoIeoipul oivaouo33 uoilonpoajul SIMINOO :10 318VI 6uRGOW A:) 110d ; 96pn8 66- 060Z AA  FY 2010 -11 Budget Policy Meeting INTRODUCTION The City of Fort Walton Beach is committed to providing quality services in a cost controlled manner, developing balanced sources of revenues to fund programs, improving and maintaining infrastructure, and maintaining prudent cash reserves for the betterment of the community's citizens and businesses. Staff has prepared this informational document and will conduct a Budget Policy Meeting with City Council on June 1 at 5: 00pm. This meeting is intended to determine the framework within which the FY 2010 -11 budget, to be distributed to City Council in July, will be prepared. It is not intended to be a detailed review of the budget and the decisions are not necessarily binding. However, if City Council' s ultimate policy objectives can be built into the budget from the beginning, the entire budget process will be more efficient. The objectives of this budget policy meeting are: Assist City Council in understanding the City's available revenue sources and plan of operation, and allow revisions as desired. Establish service levels and funding mechanisms in accordance with City Council' s service priorities. Ascertain City Council' s position on certain policy issues critical to development of the budget given the current fiscal constraints. Staff respectfully requests that City Council reach consensus on the policy issues presented to guide FY 2010 -11 budget development. The clearer the guidance provided by City Council, the more effective the City Manager can be in developing a budget acceptable to City Council when the point of adoption comes. KEY CITY COUNCIL BUDGET DATES UN June 1 City Council Budget Policy Meeting June 29 City Council Sets Tentative Millage pending receipt of DR -420 from Property Appraiser certifying tax roll) July 30 City Council Receives Proposed Budget August 16 -18 City Council Budget Workshops September 8 Public Hearing # 1 Tentative Millage Resolution Tentative Budget Resolution Fee Schedule by Resolution September 22 Public Hearing # 2 Final Millage Resolution Final Budget Resolution 1 of 32  Z£ Jo Z swea6oad nnau se Mann se `.wea6oad Sid aol Aed o1p9weaed/ lW3 pue ` se6enn Ajoles ollgnd `suoiinglaluoo uolsuad jo uoljejuawEine : saiiddns aolllo pue ` saippn ` lenj se Bons sesuedxe 6uilie uI saseaaoul Aieuoljellui paaanoo g1moa6 anuanaa Ienuue leui6aew sigl • saseaaoul anlen passasse aJeaapow 6u110alpi 96MOM uo Allenuue % 9. 6 poseaaoui pun3 leaauaE) eL41 ui anuanaa waaolen pd ` 90OZ A-=1 of aoiad slanal aolnaas 6uilslxe slioddns goignn ` aseq anuanaa xel Apecloid s,Al!o eqj pejoedwi aseq sanilelpl onni esagl senlen Apecloid ui saseaaoul 6unpil pue suolldwaxe luumppe 6ulpinoad juawpuawe leuoljnjljsuoo a panoidde 80OZ Ammer ui sa910n eplaol3 6uluaano6 agj 10 910n I!JOfew eldwis tq nal ( ew Aj!0 eqj a1ea a6elllw agj sllwll LOOZ ounr ui passed uoljelsl6a • sanuanaa pund ( ya0) toua6y juewdolanapaa pnwwoo jo AZ56$ ao % CS; pue sanuanaa pun3 luieuaE) 10 INg• t,$ jo % cz of einclpluoo pue sanuanaa lelol jo o o/ ( waa0 en d JO410 % l l pue `leloaawwoo % t c ` Iellueplsei % SS inoge si aseq xel s, j!3 eqj_ -sllIgs olwouooa of olquieulnn ssal eq ll! m 1! asneoaq algealsap si aseq xel Aliedoid p911Isaanlp y • Aouaioljja olwouooa anoidwl pue salea xel aannol aol nnolle of elglssod se paseq Alpeoaq se aq pinogs saxel • apseel ejegm ( sipjad 6uipllnq ` seal uolleaaoei • 6•9) seal assn uo emuilei pue ( sales Aliadoid •6-8) sexel aofew