[00:00:03]
[CALL TO ORDER]
YES, I CAN HEAR YOU NOW.OKAY. WE'RE GOING TO CALL THE MEETING TO ORDER THEN.
WE'LL CALL THE 5:30 MEETING TO ORDER.
THE PURPOSE OF THE MEETING TONIGHT IS TO HAVE A WORKSHOP ON THE PROPOSED FISCAL YEAR 2023-24 BUDGET.
BUT BEFORE WE BEGIN, DO WE HAVE ANY CITIZEN COMMENT REQUESTS? NO, YOUR HONOR. WE HAVE ANYONE PRESENT THAT WANTED TO SPEAK ON CITIZEN COMMENTS?
[2. City Council to conduct a workshop relative to the Fiscal Year 2023-2024 budget.]
APPARENTLY NOT. AND WE WILL GO RIGHT TO THE BUDGET WORKSHOP.TONIGHT IS A LITTLE DIFFERENT IN THAT IN THAT MATT FERYAN, WHO IS WHO WORKS IN THE BUDGET DEPARTMENT AND BETWEEN HE AND GARY, WHO ARE REALLY RESPONSIBLE FOR PUTTING THE BUDGET DOCUMENT TOGETHER, WILL BE MAKING A PRESENTATION TO YOU THIS EVENING.
YOU ALL HAVE HAD THE BUDGET FOR PROBABLY CLOSE TO A MONTH NOW.
WE WE AND YOU'RE SEEING MORE OF THAT BECAUSE OUR REVENUES HAVE PERKED UP AFTER COVID.
WE ALSO ARE MAKING A ALMOST $1 MILLION INVESTMENT IN THE QUALITY OF LIFE FUND.
SO WE EXPECT FOR THIS YEAR'S REVENUES TO TO BE STRONG.
AND SO WHAT YOU'LL SEE IS THAT NOT ONLY WILL WE PUT THE MONEY IN THAT'S IN THE BUDGET NEXT YEAR TO QUALITY OF LIFE, BUT WE'LL ALSO ANY LEFTOVER FUNDS FROM THIS EXISTING FISCAL YEAR OR THE CURRENT FISCAL YEAR WILL ALSO BE PLACED IN THE QUALITY OF LIFE FUND BECAUSE WE WE SIMPLY WANT TO GET BACK TO THE STRATEGY THAT WE HAVE, HAVE OR PLAYBOOK, AS I'VE ALWAYS SAID, THAT WE'VE USED IN PRIOR YEARS.
THE OTHER GOOD NEWS RELATIVE TO THIS IS THAT, OF COURSE YOU ALL HAVE BEEN CONSISTENT ABOUT MAKING SURE FROM AN EMPLOYEE COMPENSATION STANDPOINT THAT WE STAY AT THE 50TH PERCENTILE.
SO THE BUDGET ACCOMPLISHES THAT.
IT ALSO ACCOMPLISHES, AGAIN, FROM A HEALTH INSURANCE STANDPOINT, THERE ARE NO RATE INCREASES FOR HEALTH INSURANCE THAT THAT THAT ARE PASSED ALONG TO OUR EMPLOYEES. SO IN THAT REGARD, IT'S GOOD.
SALES TAX HAS PERFORMED BETTER THAN EXPECTED THIS YEAR, WHICH HAS BEEN REALLY GOOD NEWS FOR US.
AND THEN WHAT YOU'LL FIND WHEN WE GET TO THE SLIDE IS THAT FROM AN AD VALOREM OR PROPERTY TAX STANDPOINT, THAT THAT THE PROPERTY TAX, BECAUSE OF THE THE GROWTH IN THE BASE THIS YEAR IS TAKING A PRETTY SUBSTANTIAL DOWNWARD RECOMMENDATION. AND WHAT THAT MEANS IS THAT WE HAVE BEEN IN AROUND THE 27 CENT PER HUNDRED LEVEL IN ORDER TO STAY ABOVE THE NO NEW REVENUE WHICH PROVIDES A 3% CAP.
IF YOU ALL RECALL WHEN THE STATE CHANGED THE LAW A COUPLE OF SESSIONS AGO, WE WERE ABLE TO DO THAT.
AND WE'RE ALSO ABLE TO DROP THE THE PROPERTY TAX DOWN AROUND THE 25 CENT RANGE.
SO ESSENTIALLY A TWO CENT DROP IN THE TAX RATE IN THE BUDGET.
BUT I THINK THAT THE STAFF HAS DONE A GOOD JOB OF OF TRYING TO TO DO WHAT WE CAN DO TO ACCOMPLISH THE WORK, AS WE ALWAYS DO AND AND TO TO DEAL WITH INFLATIONARY PRESSURE, BUT ALSO TO DELIVER A BUDGET THAT IS SIMILAR TO THE BUDGETS THAT WE'VE HAD IN THE PAST. AND SO, AGAIN, I'M GOING TO GO THROUGH IT WITH YOU.
I WOULD ENCOURAGE YOU IF YOU GET TO A POINT THAT YOU WANT HIM TO STOP, JUST ASK HIM TO DO THAT.
DEPARTMENT HEADS ARE HERE TO ANSWER ANY QUESTIONS THAT YOU ALL HAVE.
THANK YOU, YOUR HONOR, FOR THAT.
AND IF YOU DON'T MIND, I'LL I'LL PASS IT OVER TO MATT FERYAN, MATT.
GOOD EVENING. HONORABLE MAYOR AND COUNCIL.
HERE TO PRESENT THE CITY MANAGER'S PROPOSED FY 24 BUDGET.
THIS IS A CULMINATION OF MONTHS OF WORK THAT HAVE GONE ON.
I WOULD BE REMISS IF I DIDN'T GIVE THANKS TO A FORMER CFO, GREG JORDAN, AND ALL HIS WORK TO HELP US GET TO THIS POINT, ALSO ACTING CFO JEFF STRACHAN AND GARY LIVINGSTON, OUR MANAGEMENT SERVICES DIRECTOR.
AS A TEAM, THIS REALLY WAS A TEAM EFFORT.
ALSO DIRECTORS AS WELL AND THEIR STAFF AND THEIR ENGAGEMENT IN THIS PROCESS.
[00:05:02]
WE COULDN'T DO IT WITHOUT THEM AS WELL.DIRECTORS ARE ALSO HERE AS SUBJECT MATTER EXPERTS.
AS I MENTIONED, THIS IS A CULMINATION OF MONTHS OF WORK.
WE WENT BACK AND FORTH WITH DEPARTMENTS THROUGH APRIL 21ST TO GET THEIR SUBMISSIONS TO THE BUDGET OVER WHAT WAS GIVEN TO THEM LAST BUDGET CYCLE.
LAST WEEK YOU APPROVED NEW CERTIFIED TAX ROLLS.
SO THAT'S SOMETHING SOME NEW DATA WE HAVE FOR THE BUDGET WORKSHOP.
TONIGHT'S NOT THE NIGHT WHERE WE'RE GOING TO TALK ABOUT OUR PROPOSED RATE.
WE'LL BE BACK NEXT WEEK WITH A FORMAL PROPOSED PROPERTY TAX RATE.
THIS IS A WORKSHOP. WE WANT YOUR INPUT.
WE SEEK YOUR INPUT AND FEEDBACK THROUGH QUESTION AND ANSWER.
AND IF WE DON'T HAVE PARTICULAR ANSWERS, WE'LL BRING BACK AND PROVIDE THOSE TO YOU AT A LATER DATE.
WE WILL TOUCH ON TWO KEY REVENUE RESOURCES, OUR AD VALOREM PROPERTY TAX.
WE WILL HAVE SOME ADDITIONAL INFORMATION ON THAT.
WE'LL HAVE SOME ANALYSIS AND SLIDES ON THAT.
SO THIS IS A GOOD NEWS BUDGET.
WE'RE DOING THINGS, THIS BUDGET THAT WE HAVEN'T DONE IN A NUMBER OF YEARS.
SO THAT TRANSFER FROM THE GENERAL FUND IS AT 2.6 MILLION.
SO THAT'S A MILLION MORE THAN WE DID LAST YEAR.
WE ARE ADDING BACK QUALITY OF LIFE AT $900,000, $909,000.
THIS BUDGET MAINTAINS COMPENSATION AT THE 50TH PERCENTILE OF OUR BENCHMARK CITIES.
WE'RE BUDGETING RECORD SALES TAX DUE TO A BOOMING LOCAL AND REGIONAL ECONOMY, AND WE WILL BE PROPOSING A REDUCTION IN THE PROPERTY TAX RATE AT OR BELOW THAT NEW NO REVENUE RATE.
OUR MOST IMPORTANT RESOURCE, OUR PEOPLE, OUR STAFF.
THIS YEAR'S PROPOSED BUDGET INCLUDES BOTH MARKET INCREASE ON TEN ONE OF 2% FOR ALL FULL TIME EMPLOYEES FOR BOTH GENERAL AND SWORN AND THEN ON ANNIVERSARY DATES A 3% MERIT INCREASE FOR GENERAL EMPLOYEES BASED ON A PASSING PERFORMANCE EVALUATION AND THEN WITHIN POLICE AND FIRE ON OUR SWORN STAFF ON THEIR ANNIVERSARY DATE, THEY WOULD RECEIVE THREE OR A 5% STEP INCREASE. SO MAX, FOR A GENERAL EMPLOYEE WOULD BE 5% IN THIS COMP PACKAGE AND A MAX FOR POLICE FIRE SWORN WOULD BE 7% FOR FOR THIS COMPENSATION PACKAGE.
PROPERTY TAX AD VALOREM, AS WE HAVE MENTIONED.
WE'VE GOT ADDITIONAL INFORMATION THAT WE USUALLY DON'T HAVE IN OUR BUDGET WORKSHOPS.
SO IF WE START HERE ON THE LEFT HAND SIDE, THIS IS WHERE WE CURRENTLY RESIDE IN THE CURRENT BUDGET YEAR WITH A NET TAXABLE VALUE OF 10.4 BILLION AND OUR ADOPTED RATE OF THAT 0.27 TO LAST YEAR'S NO NEW REVENUE RATE WAS 0.272033.
NO NEW REVENUE RATE AND THE VOTER APPROVAL RATE WAS 0.286439.
AND THAT'S THAT MAX RATE THAT WOULD CALL FOR AN ELECTION THIS COMING YEAR.
SO QUITE AN INCREASE OF OF BASE VALUE.
OUR NEW NO NEW REVENUE RATE IS RIGHT AT 2.50561 AND THAT NEW VOTER APPROVAL TAX RATES 2.65435.
[00:10:03]
WE'LL BE BACK NEXT WEEK WITH THAT FORMAL ADOPTION OF THE PROPOSED RATE USING CURRENT YEAR RATES FROM ALL THE TAXING ENTITIES THAT IMPACT GRAPEVINE RESIDENTS.SO 57% OF HOMEOWNERS TAX BILL IS GOING TO GO TO THE SCHOOL DISTRICT AT THEIR RATE OF $1.13.
OUR RATE OF 0.27 GETS 14% OF THAT TAX BILL.
THAT AVERAGE TAX BILL FOR THE CITY OF GRAPEVINE IS AROUND $871.
AND WE'VE GOT A FEW ON THE CARROLL SIDE AS WELL.
THIS IS SOME NEW INFORMATION BECAUSE WE DO HAVE OUR NEW VALUES.
SO THIS IS BASED ON FISCAL 24 DATA.
WE WE KNOW OUR NET TAXABLE VALUE ROSE TO 12.2 BILLION.
WHAT'S IMPORTANT HERE IS THAT 60% OF OUR INCOMING AD VALOREM TAX COMES FROM THE COMMERCIAL SIDE.
SO THAT SECOND AND THIRD LINE IS, YOU KNOW, REAL ESTATE, COMMERCIAL REAL ESTATE, AND THEN THE PERSONAL COMMERCIAL PROPERTY, ALL THE THINGS AND SUPPLIES AND EQUIPMENT WITHIN THOSE BUSINESSES. SO THAT COMPRISES 60% OF OUR INCOMING AD VALOREM.
AND THEN JUST UNDER 38% OF OUR AD VALOREM COMES FROM RESIDENTIAL PROPERTIES.
THIS INCLUDES ALSO 58 MILLION IN NEW CONSTRUCTION OF TAXABLE VALUE.
SO THIS IS THE FISCAL 23, OUR CURRENT BUDGET, WHAT WE ADOPTED LAST YEAR, THAT 2.72, WE ARE ON THE LOW END OF OF TARRANT COUNTY AND WE WILL CONTINUE AND HAVE ALWAYS BEEN ON THE ON THE LOW SIDE.
WE ARE WELL BELOW MANY OF OUR REGIONAL PARTNERS, WELL BELOW FORT WORTH'S 0.713 AND AGAIN WITH EVERYONE WITH THEIR NEW NET TAXABLE VALUES WILL BE LIKELY LOWERING THEIR RATE TO GET UNDER THAT CAP.
THAT'S THAT'S STATE MANDATED PROPERTY TAX, AS YOU KNOW, IS BROKEN UP INTO TWO PIECES.
RIGHT? SO WE'VE GOT OUR MAINTENANCE AND OPERATIONS.
THIS IS WHAT FUNDS A GOOD PORTION OF OUR GENERAL FUND.
WE HAVE THE LOWEST RATE IN IN TARRANT COUNTY FOR OUR NO SIDE AT 0.14.
THIS REALLY SPEAKS TO THE THE LEAN AND EFFICIENT OPERATIONS THAT WE RUN IN THE GENERAL FUND.
THAT'S A PRETTY IMPRESSIVE NUMBER.
WHAT WHAT DO YOU THINK IS REALLY THE KEY DRIVER OF BETWEEN THAT AND COLLIERVILLE, FOR INSTANCE? WELL, COLLIERVILLE HAS A LOWER INS SIDE OF IT.
SO NEXT SLIDE HERE WHERE WE HAVE A LOW SIDE, WHERE WE ARE LEAN AND EFFICIENT.
ON THE THE OPERATIONAL SIDE, WE ARE TOWARDS THE MIDDLE OF THE PACK ON OUR INS SIDE.
AND WE LOOK TO CONTINUE TO TO TO DO THAT.
WELL, I THINK ANOTHER BIG PART OF THAT DIFFERENCE WOULD BE THE HIGHER DEGREE OF SALES TAX REVENUES THAT WE ENJOY COMPARED TO, SAY, A COLLIERVILLE, RIGHT? CORRECT. WE HAVE OTHER REVENUE SOURCES THAT CAN FUND THE GENERAL FUND, WHICH ALLOWS US TO KEEP THAT SIDE LOWER BECAUSE WE DO HAVE OFFSETTING REVENUE TO TO TO FILL IN THAT GENERAL FUND.
ON THE INS SIDE, THIS BRINGS IN ABOUT $13 MILLION IN A GIVEN YEAR.
AND THIS AGAIN, WILL FUND OUR OUTSTANDING BONDS THAT REALLY ARE OUR INVESTMENT AND OUR FUTURE INVESTMENT IN IN OUR INFRASTRUCTURE WHEN IT SO CURRENT YEAR AS WELL.
AVERAGE MARKET VALUE OF A OF A RESIDENTIAL PROPERTY IN GRAPEVINE IS AT $437,000.
WE KNOW WE'VE GOT UPDATED INFORMATION FOR FY 24.
SO THIS IS ACTUALLY GOING TO JUMP A BIT TO $523,000.
SO THIS IS AVERAGE MARKET VALUE.
[00:15:02]
THAT'S ABOUT A 2,020% INCREASE OVER THIS CURRENT YEAR.WHEN YOU FACTOR IN OUR EXEMPTIONS.
RIGHT. SO WE'VE GOT THE MAX ALLOWABLE HOMESTEAD EXEMPTION.
WE'VE GOT DISABLED AND OVER 65 EXEMPTIONS.
SO THAT DROPS THAT AVERAGE NET TAXABLE VALUE DOWN TO 320,000.
THIS WILL ALSO TAKE THIS WILL INCREASE IN THE NEXT BUDGET CYCLE UP TO 363,000.
SO THAT'S A 13% INCREASE TO THE TO THE NET TAXABLE VALUE.
THIS IS A PRODUCT OF OUR RATE AND OUR EXEMPTIONS GETTING US TO OUR AVERAGE BILL OF $871.
SO THIS VERY MUCH SPEAKS TO THE LEVEL OF VALUE THAT OUR RESIDENTS RECEIVE.
AND AS YOU'LL SEE, IT IS UNMATCHED IN OUR REGION.
YOU KNOW HOW THAT 871 NUMBER COMPARES TO LAST YEAR OR THE THREE? I DO NOT HAVE THAT.
WE DO KNOW, THOUGH, WITH THE INCREASED NET TAXABLE VALUE, THE INCREASED AVERAGE MARKET VALUE, THIS WILL GO UP SLIGHTLY FOR THE AVERAGE HOMEOWNER. HISTORICALLY, WE'VE BEEN ON A DOWNWARD TREND FOR OUR AD VALOREM RATE.
WE WILL LIKELY BE NEAR THE 0.25 FOR THAT PROPOSED FY 24 BUDGET.
SINCE 2018 FISCAL 18, WE'VE REDUCED IT 7% AND WE CONTINUE TO DO THAT.
AND THIS IS A PRODUCT OF NET TAXABLE VALUE.
AND THEN ACROSS THE STATE FOR CITIES, FULL SERVICE CITIES WITH A POPULATION OVER 50,000.
THE APPLES TO APPLES COMPARISON FOR CITIES THAT PROVIDE A FULL INS AND AN M.A.
SO ROUND ROCK IS THE NEXT CLOSEST CITY WITH A FULL INS RATE AND NO RATE AT 0.34.
IT IS ONLY AN M AND O PORTION.
SO WHEN YOU LOOK AT THEIR M AND O OF 0.26 AND OUR M AND 0.14, WE'RE DOING A LOT WITH WITH THAT THAT PART OF THE TAX SIDE . SALES TAX PERFORMING HIGHER THAN WE BUDGETED AT THIS POINT AS A REVIEW RIGHT THERE'S EIGHT AND A QUARTER AVAILABLE IN SALES TAX SIX AND A QUARTER GOES DIRECTLY TO THE STATE.
AND THEN WE HAVE OUR 1% THAT COMES TO OUR GENERAL FUND THERE ON THE LEFT.
AND THEN OUR LOCAL OPTION, WE SPLIT BETWEEN OUR CRIME DISTRICT.
THANK YOU. AND THEN HERE'S A LOOK AT WHAT COLLECTIONS HAVE BEEN THROUGH THE PANDEMIC.
SO FISCAL 19, WE ALMOST REACHED 60 MILLION IN ALL FUNDS.
SO NOT JUST GENERAL FUND, ALL FUNDS THAT RECEIVE SALES TAX, THE DIP DOWN TO 51 MILLION.
WE DO EXPECT TO OUTPERFORM THAT NUMBER.
THAT'S WHY WE'VE BUDGETED THE $75 MILLION FOR 24.
SO WE'LL END UP SOMEWHERE AROUND THAT POINT ACROSS ALL FUNDS.
AND THAT SPEAKS THE GENERAL FUND IS JUST 1% OF THAT.
SO THAT'S WHERE WE GET THE 37.5 MILLION IN OUR GENERAL FUND SALES TAX BUDGET.
WHERE ARE YOU THINKING WE'RE GOING TO LAND FOR THIS YEAR? SO AT OR NEAR 75 MILLION IN TOTAL SALES TAX KEPT IT FLAT YEAR OVER YEAR.
WE ONLY HAD THREE $0.08 TO TAX RAIL AND THE ONE EIGHTH WENT TO QUALITY OF LIFE, IS THAT RIGHT? BUT IT WAS SHOWED AS A HALF.
DID YOU REALLY SEE A DIFFERENCE WITH THE THE LOSS OF REVENUE FROM SAM'S? NOT IN THE AGGREGATE SO WE KNOW THE LOCAL INCREASE SOMEPLACE ELSE.
[00:20:04]
WE KNOW THAT THE ACCOMMODATION SECTOR IS OUTPERFORMING.WE'VE GOT OUR FOOD INDUSTRY RIGHT NOW IS IS ABOUT 20% OVER THIS TIME LAST YEAR.
SO OUR RESTAURANTS ARE DOING VERY WELL.
THE HOTELS, THE SALES TAX COMPONENTS OF THE HOTELS ARE DOING VERY WELL.
AND I THINK THAT IS WHAT IS COMPENSATING FOR THE LOSS OF WHAT SAM'S AND RETAIL IN GENERAL HAS ABSORBED THAT AND EXCEEDED WHAT SAM'S WAS PRODUCING. SO SALES TAX COLLECTIONS OVER TIME.
SO WE ARE PROPOSING WE ARE BUDGETING THAT 37.5 FOR THE GENERAL FUND.
YOU CAN CLEARLY SEE THE 08-09 GREAT RECESSION THERE IN THE MIDDLE OF THE SCREEN.
AND THEN AS WE GO FORWARD IN TIME, YOU KNOW, A BIG DROP FROM COVID 19 LEADING INTO THE FY 20 AND COMING OUT OF FY 21. AND THEN WE'VE JUST BEEN ON A ON AN UPWARD TRAJECTORY INTO FY 24.
ANY QUESTIONS ON PROPERTY TAX OR SALES TAX.
IF NOT, WE WILL MOVE INTO OUR ALL FUNDS, FUND BY FUND REVIEW OF OUR DEPARTMENTS.
SO THIS IS UP 9% FROM FISCAL 23.
THESE ARE ALL THE EXPENSES THAT MAKE THE CITY RUN OUR PERSONNEL SALARY AND BENEFITS, OUR SUPPLY COSTS, SERVICE CONTRACTS, MAINTENANCE CONTRACTS, GETTING THINGS IN THE HANDS OF OUR STAFF TO DO THEIR WORK.
AND SO ALSO, YOU KNOW, HAVE TO MAKE NOTE HERE OF THE PERMANENT CAPITAL MAINTENANCE FUND.
RIGHT? THAT'S ALSO GROWING 9%.
ON THE REVENUE SIDE, WE ARE BUDGETING $214.5 MILLION.
THIS IS A 10% INCREASE OVER THE FISCAL 23 BUDGET.
ON THE REVENUE SIDE, THESE ARE TAXES, FRANCHISE FEES, USER FEES, TRANSFERS ALL MAKE UP THE REVENUES GOING INTO THIS ALL FUNDS BUDGET. ON OUR GENERAL FUND.
IT IS A BALANCED GENERAL FUND AS REQUIRED.
SO WE ARE BUDGETING FOR REVENUES AND EXPENSES, 80 MILLION IN A TOTAL BUDGET.
OUR MOST IMPORTANT RESOURCE, AS I MENTIONED IN THE BEGINNING, IS OUR PERSONNEL.
MAY I ASK A QUESTION ABOUT REVENUE? I DIDN'T REALIZE WE WERE GOING TO GO ON TO THIS.
IT'S ON TAB, ONE PAGE OR SECTION ONE, PAGE THREE.
AND AMBULANCE REVENUES IS PROJECTED TO BE DOWN ABOUT A QUARTER OF $1 MILLION FOR THE COMING YEAR TO.
WHAT IS THAT ATTRIBUTED, CHIEF? AND LET ME I CAN'T IMAGINE WE'RE GOING TO BE HAVING FEWER AMBULANCE CALLS OR ANYTHING OF THAT NATURE, ALTHOUGH IT WOULD BE NICE.
AMBULANCE CALLS ARE GOING UP AND NOT DOWN.
HOWEVER, THE STATE HAS MADE SOME CHANGES IN MOST RECENT ITS MEDICARE MEDICAID.
SO IT'S IT'S COMING DOWN TO WHATEVER MEDICARE PAYS IS ALL WE'RE REALLY GOING TO BE ABLE TO GET.
AND THEY'RE EVEN I HAVE SOME DOCUMENTATION ON MY DESK RIGHT NOW TO WHERE WE CAN'T THERE'S SOME ISSUES ABOUT WHETHER WE'RE EVEN GOING TO BE ABLE TO BALANCE BILL BECAUSE WE DON'T BALANCE BILL OUR RESIDENTS BUT WE DO OTHER FOLKS.
THANK YOU VERY MUCH. YES, MA'AM.
THAT'S A SHAME BECAUSE YOU JUST GOTTEN TO THE POINT OF WHERE YOU WERE ABLE TO DO BILLING.
THAT WAS REALLY ACCURATE AND YOU WERE ACTUALLY GETTING REVENUE IN FROM THAT.
AND NOW THE GOVERNMENT HAS CHANGED THAT.
YES, MA'AM. THERE'S IT WAS PART OF THE FEDERAL GOVERNMENT PASSING DOWN TO THE STATE.
[00:25:07]
IF THE GOVERNMENT SAYS THAT YOU CAN'T BUILD ABOVE X AND IT COSTS US XXX, THEN OUR TAXPAYERS ARE GOING TO BE FUNDING THE DIFFERENCE.HOWEVER, AND IT'S NOT REFLECTED IN ANY OF THIS, WE ARE LOOKING AT SOME OTHER POSSIBILITIES OF REVENUE FOR THE FIRE DEPARTMENT, WHICH THERE'S NOT A LOT, BUT WE'RE GOING TO INVESTIGATE ALL WE CAN.
I UNDERSTAND. THANK YOU, CHIEF.
THANK YOU. SO IN THE GENERAL FUND, THIS IS THE BREAKDOWN HERE ON SLIDE 27 OF WHERE THE MONEY GOES IN THE GENERAL FUND.
SO IN EACH PIECE OF THIS PIE WILL HAVE ITS OWN SLIDE HERE IN THE IN THE PRESENTATION.
THAT'S SOMETHING NEW. AND THEN GOING BACK TO THAT PCMF TRANSFER OF OR THE PCMF BUDGET OF THE 2.6 MILLION, THOSE ARE NEW ADDITIONAL ADDS TO THE GENERAL FUND.
THAT'S BEEN DROPPED ABOUT $759,000 IN THAT EXPENSE.
GOING NOW STARTING IN OUR DEPARTMENT, STARTING WITH THE CITY MANAGER'S OFFICE, WHICH DOES INCLUDE INFORMATION TECHNOLOGY, THEIR BUDGET GROWS $187,000 AT 5.5%.
THIS IS ALL ATTRIBUTED TO COMPENSATION WITH THE COMPENSATION PACKAGE THAT WE ARE PROPOSING, AND THAT'S SALARIES, BENEFITS, TMRS, FICA, ALL THE THINGS THAT MAKE UP COMPENSATION.
THIS IS QUITE A JUMP AT $2 MILLION, AT 23%.
THIS IS A RESULT OF A SUCCESSFUL LOCAL ECONOMY.
SO WE HAVE THE AIRPORT IS INCREASED TRAVEL, INCREASED RIDERSHIP.
SO WE'VE ADDED DUE TO OUR REVENUE SHARE CONTRACT AND STATE LAW, WE'VE INCREASED THAT COST BY $800,000 BECAUSE WE WILL BE TAKING IN MORE REVENUE ON THE FRONT END.
BUT WE DID REDUCE IT BY ALMOST $760,000 AS WELL TO GET TO THIS BUDGET FOR NON-DEPARTMENTAL.
SO FOR THAT QUALITY OF LIFE TRANSFER, IT'S A FAIRLY PRECISE NUMBER.
WAS THAT JUST KIND OF THE LEFTOVER THAT WAS AVAILABLE? EXACTLY. YEAH, THAT'S THAT'S WHAT OUR SURPLUS WE'VE COMMITTED TO, TO SHIFTING THAT SURPLUS OVER TO QUALITY.
THERE WAS LIKE A BOTTOMS UP DETAIL BEHIND THAT.
BUT FAIR ENOUGH THAT MAYOR AND COUNCIL BUDGET GROWS AT 9.7%.
THIS IS ALL ATTRIBUTED TO THE NEW CLOSED CAPTIONING SERVICES OF THE COUNCIL CHAMBERS.
SO EVEN WITH OUR COMP PACKAGE RIGHT NOW, WE'RE BUDGETING A 1% INCREASE, JUST OVER $4,400 FOR CITY SECRETARY'S BUDGET GOING BACK AS THE CITY MANAGER INCLUDED IN THAT INCREASE. THAT I DO NOT KNOW ON ON WE'VE BEEN NEGLECTED THAT I THINK LAST YEAR OR TWO IT NEEDS TO BE TAKEN CARE OF.
IF IT'S NOT, IT NEEDS TO BE ADJUSTED.
HE NEEDS TO BE INCLUDED IN WHAT ALL THE EMPLOYEES GET.
YES, SIR. WE'LL CONFIRM IT IS.
YES, YOUR HONOR. GOOD JOB, TARA.
THANK YOU. SO, MOVING ON FROM CITY SECRETARY, HUMAN RESOURCES.
SO EARLIER IN THE BUDGET YEAR, THE CURRENT BUDGET YEAR, HUMAN RESOURCES NOW HAS OVERSIGHT OVER RISK MANAGEMENT AND BENEFITS. SO PREVIOUSLY WAS IN FISCAL SERVICES.
AND TO TAKE ADVANTAGE OF SOME EFFICIENCIES IS NOW IN HUMAN RESOURCES.
SO THAT'S WHY YOU SEE THE LARGE JUMP THAT DID INCLUDE THREE POSITIONS THAT WERE PREVIOUSLY IN FISCAL SERVICES AND YOU'LL SEE A NEAR NET NEUTRAL REDUCTION IN ON THE NEXT PAGE IN FISCAL SERVICES.
MATT CAN COME BACK JUST ONE SECOND ON THE CITY SECRETARY BUDGET.
[00:30:01]
DID WE GET ALL THAT COMPLETED? IS THAT EXPENSE BEEN DONE OR ARE WE STILL WORKING ON THAT? WELL, THE FOR THE MOST PART, THE CITY IS HAS ALL OF THE ARCHIVES AND EVERYTHING IS DIGITIZED AND WE CONTINUE TO DIGITIZE AS WE GO.SO FOR THE MOST PART, MOST OF THE CITY IS HAS BEEN DIGITIZED AT THIS POINT.
OKAY. THANK YOU. MOVING ON TO FISCAL SERVICES.
SO SORRY, MATT, LET ME JUST GO BACK ON HR, I JUST WANTED TO SO IF WE BACK OUT THOSE MOVEMENTS, IT LOOKS LIKE THE THE 23 AMOUNT WAS 920,000 AND CHANGE.
AND IT LOOKS LIKE IF I LOOK AT 24 WITHOUT THE TRANSFERS IN, IT'S GOING TO 994,000.
IT MIGHT BE HELPFUL. I WOULD JUST SAY MAYBE NEXT YEAR OR WHATEVER.
THERE ARE SOME ADDITIONAL COSTS IN FISCAL SERVICES FOR PART TIME WAGES AND FOR IT LICENSE AND MAINTENANCE FEES THAT ARE SHOWN HERE IN THE REDUCTION.
WE ALSO HAVE THE THREE POSITIONS THAT WERE MOVED OUT OF FISCAL SERVICES AND OVER TO HUMAN RESOURCES.
ON THE POLICE DEPARTMENT, A 33% INCREASE, 1.1 MILLION TO THEIR GENERAL FUND BUDGET.
THIS IS ALL ATTRIBUTED TO CONTRACT WAGES FOR ANIMAL SERVICES AND THE NEW ANIMAL SERVICES FACILITY AND CONTRACT WAGES FOR THE COMMUNITY OUTREACH CENTER AND THEN SOME ADDITIONAL PROFESSIONAL SERVICES INCREASES FOR VARIOUS DIVISIONS WITHIN THE POLICE DEPARTMENT.
SO EVERYTHING IS LOOKING GREAT, RIGHT? EVERYTHING'S UP. EVERYTHING.
EVERYBODY SEEMS TO BE DOING REALLY WELL OVERALL.
AT WHAT POINT? BECAUSE WHEN I LOOK AT THE POLICE, I LOOK AT EVERYTHING, BUT ADDING POLICE TO THE COMMUNITY TO HELP KEEP US SAFE AND KEEP US.
AT WHAT POINT DO WE HAVE TO MAKE A DECISION, I GUESS CITY MANAGER OR WHO IT IS THAT WE NEED TO TRY TO HELP SUPPORT THE POLICE AND LOOK AT ADDING? BECAUSE IF EVERYTHING IS GOING UP AND EVERYTHING, WE SEEM TO HAVE REVENUE, BUT ALL THE STUFF THAT HAS TO DO WITH THE POLICE AND FIRE TOO, IS NOT REALLY PUTTING PATROL CARS OUT AND HELPING SUPPORT THE POLICE AS FAR AS ADDITIONAL STAFF.
THAT'S PROBABLY MORE OF A QUESTION FOR ME THAN IT IS FOR ANYBODY.
THE WE'VE OBVIOUSLY THE LARGEST DETERMINANT OF OF YOU KNOW, WHEN YOU ADD STAFF HAS TO DO WITH REALLY SORT OF MAKING SURE THAT THAT THAT BOTH YOUR REVENUES ESPECIALLY OBVIOUSLY YOUR FIXED COST REVENUES AND EXPENDITURES STAY IN BALANCE.
SO WE'RE PRETTY SENSITIVE TO THAT.
AND THE MESSAGING BACK TO BOTH THE POLICE AND THE FIRE CHIEFS AND REALLY TO ALL THE DEPARTMENTS IS IF THERE'S SOMETHING THAT WE CAN STOP DOING, LET'S STOP DOING IT AND LET'S DIVERT THOSE RESOURCES TO THE THINGS THAT HAVE A HIGHER PRIORITY.
WE CONTINUE TO FIGHT THAT FIGHT.
AND WE KNOW THAT BECAUSE OUR TURNOVER IS LOW AND BECAUSE, FOR EXAMPLE, DURING COVID, WE KEPT EVERYBODY WHO WAS EMPLOYED AT THE BEGINNING OF COVID, EMPLOYED AT THE END OF COVID, AND WE DID NOT BANKRUPT OUR FUND BALANCES IN ORDER TO BE ABLE TO DO THAT.
SO THE POINT IS THAT WHERE SALES TAX HAS GROWN, YOU KNOW, WE'VE TAKEN THOSE RESOURCES AND TRIED TO INVEST THEM BACK INTO QUALITY OF LIFE AND CASH FUNDING AND THINGS THAT REALLY BENEFIT CITIZENS.
WE'VE TRIED TO BE AS IT IS VERY DIFFICULT TO GET A NEW EMPLOYEE HERE AND AND IT'S PURPOSEFULLY THAT WAY BECAUSE AGAIN, WHEN THE ECONOMY DIPS AND IF YOU'RE LARGELY RELIANT UPON SALES TAX AND HOTEL TAXES AS WE ARE, YOU WANT TO MAKE SURE THAT YOU HAVE AS MUCH CUSHION AS YOU CAN.
[00:35:05]
THINGS THAT CITIZENS CAN SEE AND FEEL.THERE IS NO QUESTION THAT FROM A STAFFING STANDPOINT AND YOU'LL NOTICE THAT EVEN JUST ON THIS SLIDE, WE PRETTY MUCH TRIPLED THE SIZE OF OF THE ANIMAL SHELTER.
AND, YOU KNOW, ONE OF THE THINGS WE SAW WHEN WE WENT TO, YOU KNOW, TO LOOK AT OTHER SHELTERS BEFORE WE OPEN THIS ONE IS THAT EVEN THE ONES WHERE THEY REALLY INVESTED IN AIR QUALITY, THEY STILL SMELLED BAD.
THEY THEY WEREN'T AS NICE AS THEY WERE ON THE DAY THAT THEY OPENED.
SO MY POINT IS THAT THAT WHAT WE'RE DOING IS WE'RE UTILIZING WE'RE USING OUR JANITORIAL SERVICE AND WE'RE PUTTING A LOT OF RESOURCES INTO KEEPING THAT SHELTER AS NICE AS IT POSSIBLY CAN BE.
SHOULD COULD WE HAVE DONE IT A DIFFERENT WAY AND MAYBE ADDED BODIES IN ORDER TO BE ABLE TO DO IT? NO, WE DID IT THROUGH CONTRACT SERVICES.
AND THE BENEFIT OF THAT IS IF IF THE FIRST OFF, WE THINK WE GET A BETTER PRODUCT.
BUT SECONDLY, IF THE ECONOMY DIPS, WE HAVE THE ABILITY TO PULL THOSE CONTRACTS BACK.
AND WE'VE DONE THAT ACROSS THE ORGANIZATION WHERE WE COULD.
BUT AGAIN, AND I THINK IT'S WORKING.
THE ONES WE HAVE AND THE ONES WE DON'T HAVE YET.
SO I APPRECIATE EVERYTHING YOU'RE SAYING, BUT I GUESS WHEN I LOOK AT OUR MAIN STREET, FOR EXAMPLE, AND THE TEXRAIL THAT'S COMING IN AND THE POPULATION THAT'S COMING OFF OF TEXRAIL AND GOING UP AND DOWN OUR STREETS, IT SEEMS TO ME THAT IT WOULD BE A GOOD IDEA TO MAYBE LOOK INTO ADDING A POLICE OFFICER THAT CAN PATROL THAT AREA ON AN ONGOING BASIS WITHOUT, YOU KNOW, REALLY PUSHING OR STRETCHING OUT WHAT WE HAVE.
AND I DON'T KNOW AT WHAT POINT THAT WE HAVE TO REALLY LOOK AT THOSE THINGS.
I MEAN, I APPRECIATE YOU TALKING ABOUT THE ANIMALS, BUT I'M TALKING ABOUT OUR COMMUNITY AND OUR CITIZENS RIGHT NOW AND KEEPING THEM SAFE AND KEEPING, YOU KNOW, THE RIGHT PEOPLE IN OUR COMMUNITY. I APPRECIATE THAT.
I REALLY DO. AND I'M NOT TRYING TO BE ARGUMENTATIVE AT ALL.
BUT FOR EXAMPLE, DURING CHRISTMAS CAPITAL, GOSH, WE HIRE TONS OF PEOPLE THAT WORK FOR US AND DON'T IN ORDER TO BE ABLE TO MAKE SURE THAT THAT 45 DAYS THE PEOPLE WHO ARE HERE THAT WE HAVE SUFFICIENT STAFFING.
SO MY POINT IS WHEN WE HAVE DEMAND WE STAFF UP FOR THAT DEMAND.
I MEAN THE REAL QUESTION ISN'T THAT BECAUSE YOU NEVER COULD HAVE ENOUGH POLICE OFFICERS FOR SORT OF THE PEAK TIME? SO WE GO OUT AND WE CONTRACT FOR OFFICERS THAT WORK DURING THOSE TIMES AND THAT WORKS.
AND WHEN THOSE EVENTS ARE OVER, AGAIN, WE GO BACK TO NORMAL STAFFING.
BUT I HOPE THAT WE CONSIDER LOOKING AT ADDING SOME POLICE PRESENCE ON OUR MAIN STREET, BECAUSE EVEN THOUGH, I MEAN, THIS LAST WEEKEND, IT WAS 98 DEGREES ON SATURDAY NIGHT AND OUR MAIN STREET HAD A LOT OF PEOPLE COMING AND GOING STILL.
SO AND THERE'S NOTHING GOING ON OTHER THAN GRAPEVINE BEING GRAPEVINE.
AND SO I JUST THINK I KNOW WE HAVE THE GREATEST POLICE FORCE AROUND AND THEY DO GREAT.
AND THERE JUST SEEMS TO ME THEY'RE, THEY'RE STRETCHED AS WELL AS AS WELL AS THE FIRE DEPARTMENT.
AND THEY'VE SO FAR THEY'VE BEEN ABLE TO DO THAT.
I JUST WANT TO CALL OUT SOMETHING YOU ACTUALLY BROUGHT UP BRUNO ON ON ANIMAL SHELTER.
SO TO HAVE DOUBLED THAT ADOPTION OVER THAT TERM AND CONTINUING THAT ON I THOUGHT WAS JUST A REALLY NICE HIGHLIGHT THAT CAME OUT OF THIS AS WELL, JUST BECAUSE WE HAVE THOSE INDICATORS LIKE THAT.
ON FIRE DEPARTMENT, THEIR BUDGET GROWS JUST OVER $870,000, 5.6% INCREASE.
THIS IS PRIMARILY, YOU KNOW, OF THAT 870,730 OF IT IS FOR COMPENSATION INCREASES.
THERE'S SOME MINOR INCREASES TO SUPPLIES IN TOTAL OF ABOUT 55,000 AND TO SERVICES AROUND 71,000 FOR PARKS AND RECREATION GROWS JUST OVER 857,000.
YES, I HAVE A QUESTION, PLEASE.
YEAH, I AM LOOKING SECTION ONE, PAGE 50.
IT IS THE RENTAL THAT WE HAVE FOR OUR FIREBOATS.
WE HAVE THREE SLIPS OUT THERE AND I KNOW THAT THE THE LESSOR IS HAS BEEN THERE A LONG TIME AND HE HAS A CONTRACT WITH THE FEDERAL GOVERNMENT TO, TO LEASE THE MARINA AREAS.
[00:40:04]
A FEW YEARS AGO WE TALKED WITH HIM ABOUT PROVIDING SPACE FOR OUR BOATS AS A GOODWILL GESTURE TO THE COMMUNITY FROM WHICH HE MAKES HIS LIVING. HAVE WE HAD A CONVERSATION WITH HIM RECENTLY ABOUT PROVIDING EVEN A REDUCED RATE? I MEAN, THIS IS A LOT OF MONEY FOR A YEAR TO PARK THREE BOATS OUT THERE THAT SERVICE HIS CUSTOMERS IN POTENTIAL LIFE SAVING SITUATIONS.DO YOU HAVE ANY INFORMATION THAT WOULD HELP US? WE'VE HAD CONVERSATIONS OVER THE LAST SEVERAL YEARS AND PRETTY MUCH WE'RE GOING TO PAY WHAT WE GET.
OKAY. THERE'S THERE'S REALLY NOT ANY WIGGLE ROOM.
OKAY. I REALIZE WE'RE THE ONLY GAME IN TOWN.
I CAN'T PUT YOU KNOW, I CAN'T PUT A BOATHOUSE ON THE LAKE TO WITH OUR FLUCTUATION OF WATER LEVELS.
SO WE'RE PRETTY WELL SET FOR TO PAY WHAT WE NEED TO DO OUR BUSINESS.
THANK YOU. YES, MA'AM. PARKS AND RECREATION GROWS 6.6%.
484,000 OF THAT IS DUE TO COMPENSATION INCREASES AND JUST OVER 225,000 ARE DUE TO SERVICES, 150,000 IN PARK MAINTENANCE, PROFESSIONAL SERVICES AND AROUND 50,000 FOR OUR REC CENTER AND THEIR CONTRACT SERVICES.
THAT JUST GENERALLY INFLATIONARY TYPE OF INCREASES WITH THOSE CONTRACTS IN THE SERVICES.
YEAH, MAINLY JUST THE PRICE OF DOING BUSINESS AND WE'RE SEEING THAT ACROSS MULTIPLE DEPARTMENTS AND INFLATION HAS COOLED A LITTLE BIT, BUT WE'RE STILL SEEING INCREASED COSTS. FAIR ENOUGH.
OKAY. LIBRARY GROWS AT 3.3%, JUST OVER 68,000 OF THAT 50,000, JUST OVER 50,000 IS DUE TO OUR COMPENSATION PACKAGE AND PERSONNEL COSTS FOR STAFF AT THE LIBRARY.
THIS IS GENERAL FUND, PUBLIC WORKS.
SO $678,000 IN GROWTH, 6.6% COMPENSATION ACCOUNTS FOR JUST OVER 144,000 OF THAT.
AND THEN OTHER INCREASES TO SERVICE CONTRACTS.
LAST BUDGET, WE SPLIT DEVELOPMENT SERVICES INTO BUILDING SERVICES AND PLANNING SERVICES.
SO THIS IS THE BUILDING SIDE OF THAT, THE TRADITIONALLY BUILDING INSPECTIONS.
PLANNING SERVICES AND CODING, WHICH DOES INCLUDE CODE ENFORCEMENT, GROWS AT 5.5%, JUST OVER $43,000, AND 39,000 OF THAT IS ATTRIBUTED TO OUR COMPENSATION AND SALARY AND BENEFITS.
DEBT SERVICE. SO THAT INS PORTION OF OUR TAX RATE.
THIS PAYS FOR OUTSTANDING DEBT THAT'S BEEN ISSUED.
WE EXPECT A RELATIVELY FLAT 0% INCREASE.
WE TARGET AN AMOUNT EQUAL TO THE LAST YEAR'S AMOUNT.
AND SO WE'RE VERY CLOSE TO THAT.
PERMANENT CAPITAL AND PERMANENT STREET MAINTENANCE FUND HERE ON SLIDE 42.
THIS IS ANOTHER ONE OF THOSE GOOD NEWS STORIES AGAIN FOR THIS BUDGET YEAR.
SO WE'VE INCREASED THAT GENERAL FUND TRANSFER BY $1 MILLION TO 2.6.
THE TOTAL BUDGET, THOUGH, FOR PERMANENT CAPITAL PERMANENT STREET IS 4.1 MILLION.
SO PUBLIC WORKS FACILITIES IS GETTING 700,000.
PARKS MAINTENANCE JUST OVER A MILLION AND THE STREET PROGRAM 2.3 MILLION.
AND SO THEY WILL BE WHOLE IN THAT EXPENSE.
AND IN TOTAL, THE PCMF BUDGET GROWS BY 9% OVER FISCAL 23.
MATT, WOULD YOU SAY THAT ONE MORE TIME? I MISSED THAT OR IT DIDN'T SINK IN? WERE YOU SAYING THERE WAS AN EXCESS THEY HAD? WAS THAT UNUSED MONEY THAT THEY DIDN'T? I'M SORRY, SAY THAT AGAIN, BECAUSE THAT DIDN'T COMPUTE.
YEP. SO IT'S A CAPITAL FUND, SO FUNDS THAT MAY HAVE THAT HAVE ROLLED OVER STAY WITHIN THE FUND.
AND SO THEY REQUESTED A BUDGET OF 4.1 MILLION.
WE TRANSFERRED THEM 2.6 TO MAKE THEM WHOLE TO GET TO THAT 4.1 MILLION.
OKAY. I WAS THINKING OPERATING, NOT CAPITAL.
SO WITH THAT INCREASE AND I FULLY SUPPORT IT, I THINK THIS IS A GREAT IDEA.
SHOULD THAT DOES THAT TRANSLATE INTO ADJUSTMENTS ON THE KPIS FOR THE PUBLIC WORKS DEPARTMENT?
[00:45:03]
BECAUSE I SEE SOME OF THEIR KPIS ARE LIKE SQUARE YARDS OF OVERLAY COMPLETED AND LINEAR FEET OF GUTTER.I MEAN, NOW THAT WE'RE DOING MORE OF THOSE, WOULDN'T THOSE NUMBERS BE ADJUSTED UPWARD AS WELL? SO THIS WOULD BE ASSOCIATED WITH, WITH PUBLIC WORKS FACILITIES AND THEIR KPIS.
WE DON'T SPECIFICALLY HAVE KPIS FOR PCMF SINCE IT'S A CAPITAL FUND.
THEY ARE ASSOCIATED WITH THE DEPARTMENTS THEMSELVES WHICH SUPPORT THE PCMF PROCESS.
BUT WE COULD DEFINITELY LOOK AT SEEING AND INTEGRATING KPIS TO PCMF AND PSM IN THE FUTURE.
AND MAYBE THIS IS JUST A FOLLOW ON CONVERSATION.
WHAT IS IT THAT WE'RE PLANNING TO, YOU KNOW, WHAT KIND OF PROJECTS DO WE ANTICIPATE COVERING WITH THAT? YEAH. AND IN THE BOOK, I'LL LET BRIAN STEP UP HERE.
AND WE CAN FOLLOW UP WITH YOU ON THE KPIS AND HOW MUCH ASPHALT THAT REALLY TRANSLATES IN.
WELL, IT DOESN'T HAVE TO BE KPIS.
I JUST WANTED TO HAVE A LIST OF WHAT ARE THE WHAT ARE WE GOING TO DO WITH THIS.
THANK YOU. SO ON PAGE 132 OF YOUR BINDER, IT OUTLINES THE BUDGET FOR PCMF AND BETWEEN FACILITIES, PARKS AND REC AND THEN PUBLIC WORKS STREETS AS WELL.
AND THEN LASTLY, QUALITY OF LIFE FOR OUR TRANSFER.
IT'S A GENERAL FUND. EXPENSE INCREASES.
CURRENTLY THE BALANCE IN THAT FUND, AGAIN, THIS IS A FUND THAT ROLLS OVER.
THERE'S A $3 MILLION BALANCE IN QUALITY OF LIFE.
AND THOSE ARE TO PAY FOR OUR ANNUAL EXPENSES FOR CERTAIN CHRISTMAS DECORATION, REPLACEMENTS, BACKLIT STREETLIGHT PROGRAM, STREET SIGN PROGRAM, AND THEN THE DEBT SERVICE ASSOCIATED WITH THE OAK GROVE BALL FIELD LIGHTING DEBT AND THEN LIKE CAPITAL, WE WILL RETURN WHEN WE DETERMINE WHAT THE EXCESS FUNDS FOR FY 23 ARE.
QUALITY OF LIFE WILL BE TOP PRIORITY ON ON INPUT.
THIS IS IN ADDITION, RIGHT? SO THESE ARE SPECIAL PROJECTS THAT WERE IDENTIFIED THROUGH ENGAGEMENT WITH WITH COUNCIL AND THAT HAVE BEEN ONGOING AND A PRIORITY FOR THESE DEPARTMENTS OVER AND ABOVE THEIR NORMAL OPERATIONS BECAUSE, I MEAN, YOU CAN'T HAVE A BIG ENOUGH QUALITY OF LIFE WHEN THERE ARE A LOT OF COOL THINGS WE CAN DO WITH THAT MONEY.
SO, OKAY, SO MOVING INTO OUR SPECIAL REVENUE FUNDS.
SO THESE ARE THOSE FUNDS THAT HAVE DEDICATED PURPOSE.
SO WE'LL START WITH OUR CONVENTION AND VISITORS BUREAU FUND.
THIS FUND IS BUDGETED AT 24.8 MILLION.
THAT'S AN 11.11% INCREASE OVER THE FY 23 BUDGET.
ON THE REVENUE SIDE, WE ARE BUDGETING 25.3 MILLION ON REVENUE, WITH ALMOST 60% OF THAT BEING HOTEL MOTEL OCCUPANCY TAXES.
THIS IS AN INCREASE OF 14% OVER THE FY 23 BUDGET.
SO WE EXPECT HOT TAX TO INCREASE BY 9%.
AND THIS BUDGET ALSO INCLUDES ONE NEW POSITION OF A RETAIL AND INVENTORY COORDINATOR FOR THE CVB.
SO THIS IS THE 1% OF HOTEL MOTEL TAX THAT GOES TOWARDS MARKETING PROMOTION AGREEMENTS.
WE EXPECT REVENUES TO INCREASE BY 12.9% AND EXPENSES TO INCREASE BY 10%.
AND THIS IS WHAT THE TEAM USES TO INCENTIVIZE NEW ECONOMIC DEVELOPMENT PROPOSALS WITH HOTEL MOTEL.
I GOT A QUESTION FOR PW REAL QUICK.
WILL YOU JUST EXPLAIN? I MEAN, I KNOW WHAT THIS IS, BUT WILL YOU JUST EXPLAIN? I SEE CONVENTION LEISURE INCENTIVES FUND.
I KNOW WHAT YOU DO WITH IT, BUT JUST EXPLAIN IT TO SOMEBODY THAT'S BORED AT HOME WATCHING THIS.
SUDDENLY, IT'S KIND OF IT'S A GREAT THING THAT WE DO, RIGHT? IT'S IT'S VERY COMPETITIVE OUT THERE NOW OR IT ALWAYS HAS BEEN.
BUT WE UTILIZE THE INCENTIVE FUNDS.
[00:50:03]
SO, FOR EXAMPLE, IF WE'RE COMPETING FOR A PIECE OF BUSINESS WITH, SAY, DALLAS HOTELS OR PHOENIX HOTELS, HOUSTON HOTELS, AUSTIN HOTELS, THEN AS WE WORK WITH THAT MEETING PLANNER, ETCETERA, WE INCENTIVIZE CERTAIN ACTIVITIES WITHIN THAT CONVENTION OR MEETING OR TRADE SHOW.AND SO BEING ABLE TO UTILIZE TAX HOTEL TAX DOLLARS WE'VE ALREADY ELECTED TO BRING BUSINESS IN THAT WILL DRIVE FUTURE TAXES. THAT GIVES US THAT BIT OF A COMPETITIVE ADVANTAGE OVER, FOR EXAMPLE, A HOUSTON OR DALLAS WHO HAVEN'T BEEN FIRST OF ALL, HAVEN'T SET ASIDE A FUND OR OTHER COMMUNITIES THAT HAVE SET ASIDE FUNDS.
AND THIS IS USED FOR BUSINESSES THAT INVOLVE MORE THAN ONE HOTEL.
SO THESE ARE USUALLY CONVENTIONS THAT MAY BE FOR CERTAINLY OVER 500, A THOUSAND, 2000, 3000 PEOPLE.
AND WE ALSO THEN FOR PERIODS OF TIME, LIKE HOLIDAY PERIODS, YOU KNOW, WHERE, AGAIN, IT'S VERY DIFFICULT TO GET THOSE GROUPS, ETCETERA, TO MEET HAVING THIS INCENTIVE DOLLARS AVAILABLE HELPS MOVE BUSINESS AND PROVIDES BECAUSE ONCE YOU PROVIDE FOR THE HOTEL, THEN YOU PROVIDE FOR THE RESTAURANTS, THEN YOU PROVIDE FOR THE RETAILERS, THE ATTRACTIONS AND SO ON.
SO IT HAS A TRICKLE DOWN EFFECT.
COUNCIL MEMBER COY HAD ASKED ABOUT THE AVERAGE TAX BILL FROM LAST BUDGET YEAR.
IT WAS $786, THE AVERAGE BILL.
SO WE WERE 871 THIS CURRENT YEAR, 786 LAST BUDGET YEAR.
OKAY. THANK YOU. MOVING ON TO STORMWATER UTILITY, WE EXPECT INCREASE OF $55,000, 3.7%. THIS IS 21,000 OF THAT IS DUE TO COMPENSATION.
AND LIKE THE OTHER FUNDS THAT ARE NOT IN THE GENERAL FUND, THEY PAY FOR THEIR OWN INSURANCE COSTS.
SO AN INSURANCE INCREASE OF JUST OVER $30,000 FOR STORMWATER.
SO THEY EXPECT AN INCREASE OF 1.7 MILLION IN REVENUE.
SO CRIME DISTRICT'S BALANCED WITH OUR TRANSFER OVER TO CRIME DISTRICT GROWS AT 818.
1%. WE'VE HAVE REDUCED THAT TRANSFER BY $756,000 DUE TO THE PERFORMANCE OF SALES TAX.
LAKE PARK'S REVENUES ARE GROWING AT 4.5%.
WE ARE BUDGETING A SURPLUS IN THAT LAKE PARKS FUND.
YOU KNOW, 120,000 OF THAT INCREASE IS DUE TO COMPENSATION AND CONTRACT LABOR FOR LAKE PARKS.
AND THEN 135,000 OF THAT IS DUE TO INCREASE IN SERVICE AGREEMENTS.
IT WAS THE 135,000 IS IN CONTRACT SERVICES, CORRECT? IN SERVICES, YES.
YES. IT WAS GOOD TO SEE SUCH A HEALTHY FUND BALANCE IN LAKE PARKS.
IT WASN'T TOO MANY YEARS AGO WHEN IT WAS THE OTHER WAY AROUND.
SO YOU ALL HAVE DONE A GOOD JOB AS WELL AS IN THE GOLF FUND.
YOU ALL ARE MANAGING IT VERY, VERY WELL.
THE WHOLE BUDGET IS A REAL DAY BRIGHTENER.
SO CONGRATULATIONS AND THANK YOU ALL FOR YOUR HARD WORK.
SO THIS IS THAT 3/8 SALES TAX THAT GOES TO TRINITY METRO TEXRAIL.
THIS IS SIMPLY A PRODUCT OF GROWING SALES TAX.
THIS FUND ALSO PROVIDES 50% FUNDING FOR THE CVB SHUTTLE PROGRAM AS WELL.
THIS IS ALSO SALES TAX DRIVEN.
THIS IS THE ONE OVER EIGHT CENT THAT GOES TO OUR ECONOMIC DEVELOPMENT TEAM.
THEY REVENUES, JUST LIKE ALL THE OTHER SALES TAX FUNDS, GROW AT 12%.
[00:55:01]
HOWEVER, WE DO SEE A SLIGHT DECREASE IN OUR EXPENSE SIDE DUE TO SOME SALARY SAVINGS WITH SOME REORGANIZATION OF STAFF.BUT THEY AGAIN ALSO PROJECTING AND BUDGETING A SURPLUS IN THAT FUND AS WELL.
MOVING ON TO OUR ENTERPRISE FUNDS.
SO OUR BUSINESS FUNDS, STARTING WITH THE UTILITY FUND.
REVENUES ARE EXPECTED TO INCREASE 6.2%.
EXPENSES AT 4% OF THOSE INCREASES, COMPENSATION ACCOUNTS FOR 378,000 AND SUPPLIES INCREASE OF 201,000 AND SERVICES AT 249,000.
IS THAT REVENUE FIGURE ASSUMING A RATE INCREASE OR IS THAT ALL JUST VOLUME INCREASES? GET BRYAN BACK UP HERE. SO WE HAVE A BLENDED RATE BETWEEN THE WATER WE TREAT HERE AND THEN ALSO TRA.
AND SO ANNUALLY WE DO HAVE A PASS THROUGH RATE THAT WILL BE COMING FOR TARA.
BUT BUT OTHER THAN THAT, IT'S JUST IT'S A COMBINATION OF THAT AND THEN INCREASED VOLUMES.
OKAY. SO. AND THEN OUR FINAL ENTERPRISE FUND IS THE GOLF FUND.
SO YOU'RE SEEING INCREASED REVENUE, INCREASED EXPENSES.
YOU KNOW, THIS IS PREDICATED ON A RATE INCREASE FOR GOLF, GREEN FEES, WHICH YOU GUYS GRANTED THE AUTHORITY TO DO 50% OF MARKET AT THE DIRECTION OF THE CITY MANAGER.
THIS ALSO INCLUDES BUDGET OF 732,000 FOR CART REPLACEMENT.
SO WE'RE REPLACING THE FULL CART SUITE AND THERE IS A SURPLUS.
WE ARE PROJECTING A SURPLUS AND BUDGETING A SURPLUS.
SO WE WILL BE BACK NEXT WEEK FOR A PROPOSED TAX RATE FOR YOU TO APPROVE.
AND THEN WE'LL BE BACK ON SEPTEMBER 5TH, THE FIRST MEETING IN SEPTEMBER, TO HAVE OUR HEARINGS FOR THE BUDGETS AND TO ADOPT BUDGETS AND TO FORMALLY ADOPT OUR TAX RATE. AND SO WITH THAT, BE HAPPY TO TAKE ANY QUESTIONS.
QUESTIONS? NO, I JUST WANT TO SAY GREAT JOB.
AND I MEAN, ALL THE STAFF ARE HERE AND THE STAFF HEADS AND I MEAN, A LOT OF CREDIT GOES OUT TO EVERY ONE OF THEM FOR IT LOOKS LIKE THEY HAVE ALL DONE A REALLY GOOD JOB, A GREAT JOB THIS LAST YEAR. BACK ON TRACK.
MAY I ASK YOU ONE MORE QUESTION? YES. WE HAVE CONTRACTED WITH PAYCOM TO HANDLE OUR PAYROLL IN VARIOUS AND SUNDRY OTHER SERVICES, AND I NOTICED THAT THE COSTS ARE ALLOCATED TO EACH OF THE DEPARTMENTS.
DO YOU KNOW APPROXIMATELY WHAT WE PAY PAYCOM EACH YEAR? LET'S SEE.
HEY, SHARRON, COULD YOU ASK THAT QUESTION AGAIN? I'M SORRY, I COULDN'T HEAR YOU.
I'M WONDERING WHAT THE AGGREGATE TOTAL IS THAT WE PAY PAYCOM EACH YEAR.
YEAH. SO IT IS A METRIC WE TRACK AND IN THE BUDGET IT IS PRESENTED IN EACH DEPARTMENT'S ADMINISTRATIVE DIVISION AND WE DO ALLOCATE IT BASED ON THE NUMBER OF EMPLOYEES THEY HAVE AND THE NUMBER OF PAYCHECKS THAT ARE RUN FOR THAT PARTICULAR DEPARTMENT.
AND SO CURRENTLY IN FISCAL 23, WE'VE SPENT AROUND 267,000, AND WE EXPECT THAT BY THE END OF FY 23 TO REACH 310,000 IN WHAT WE PAY FOR SERVICES TO PAYCOM.
IN FISCAL 24, WE EXPECT A 4% INCREASE TO 316,000.
AND THAT SERVICE AGREEMENT PAYS FOR THE CHECK PROCESSING FEES, DIRECT DEPOSIT FEES, THEIR LEARNING MODULE AND ALL OF THE IRS REQUIREMENTS THAT THAT ARE PUT ON US FOR OUR EMPLOYEE COMPENSATION.
ALL RIGHT. THANK YOU VERY MUCH.
I ALSO JUST WANT TO ECHO HOW WELL THIS CAME TOGETHER.
YOU GUYS MAKE IT LOOK EASY, BUT I KNOW UNDERNEATH THE SURFACE, THERE WAS A LOT OF ARM WRESTLING AND GNASHING OF TEETH THAT GOT US TO A PLACE WHERE WE HAVE A REALLY GOOD BUDGET THAT I THINK PROVIDES WHAT THE CITIZENS OF GRAPEVINE EXPECT AND DESERVE AND BALANCES OUT ALL OF THE COMPETING PRIORITIES THAT WE HAVE.
SO, SO NICELY DONE FOR THE WHOLE TEAM.
SO THANK YOU. PRESENTATION WAS EXCELLENT.
THANK YOU. I JUST WANT TO SAY ONE MORE THING ABOUT THE EMPLOYEES.
WHEN YOU HAVE MORE HANDS, SOMETIMES IT DOESN'T WORK THAT WAY.
DENNIS YOU CAN ONLY GET TWO HANDS IN YOUR MOUTH.
[01:00:10]
IF YOU HAD A CHOICE OF THE OVERALL BENEFITS PACKAGE THAT OUR EMPLOYEES HAVE THAT WE ALL ENJOY IN TERMS OF INSURANCE AND VACATION PAY AND ALL OF THE THINGS THAT WE HAVE IN SALARY, AND YOU WEIGH THAT WITH GETTING TO KEEP YOUR JOB IN CRISIS TIMES LIKE THE PANDEMIC.AND WE HAD A PERFECT EXAMPLE OF THAT.
AND YOU GAVE THEM A CHOICE OF HIRING ONE MORE PERSON TO HELP OUT OR KEEPING MY BENEFITS PACKAGE.
I THINK MOST OF THEM WOULD GO FOR THAT.
ALL RIGHT. JUST OBSERVATION OF THE 80 MILLION IN THE GENERAL FUND.
AND COMPARED TO THE 25 CENT TAX RATE FOR THE CITY FOR THE COMING YEAR, WE'RE PAYING 22% JUST TO THE TARRANT COUNTY HOSPITAL DISTRICT THAT THE TYPICAL CITIZEN GETS ABSOLUTELY NO BENEFIT FROM.
SO IT'S QUITE A SUCCESS STORY, I WOULD SAY.
YOU'VE DONE A GOOD JOB PUTTING IT TOGETHER AND BEING VERY CONSERVATIVE.
HAVING A BUSINESS PLAN THAT WORKS AND GETS BETTER EVERY YEAR.
SO I APPRECIATE THE EFFORT OF THE STAFF AND THE CITY MANAGER FOR YOUR EFFORT IN PROPOSING A BUDGET.
WITH THAT, WE DON'T NEED A ADDITIONAL MEETING TOMORROW NIGHT.
SO IF NOBODY HAS ANYTHING FURTHER, A MOTION TO ADJOURN IS IN ORDER.
ALL OPPOSED. MOTION CARRIES.
* This transcript was compiled from uncorrected Closed Captioning.