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HomeMy WebLinkAbout2026 07 13 City Commission Budget Workshop PresentationBudget Workshop July 13, 2026 Kevin A. Sweet, MPA, ICMA-CM City Manager Leadership Team Department Director’s Overall Budget Revenues Based upon an operating millage assumption of 2.6200 mills, total revenues and transfers are projected to increase by 47.3%. Including appropriations from fund balance, a total decrease of 19.9% is projected. Other Gov – Increase in Sales Tax in Infrastructure Surtax (4th Gen). Enterprise - SRF Loan proceeds of $39.9M Increase in Water, Sewer, Stormwater Utility rates. FY 25/26 FY 26/27 Original Proposed Budget Budget Change General 25,262,907 26,844,967 6.3% Other Governmental 11,250,446 12,666,605 12.6% Enterprise 29,017,636 67,057,938 131.1% Sub-Total 65,530,989 106,569,510 62.6% Appropriations From Fund Balance 14,894,857 11,936,637 -19.9% Total 80,425,846 118,506,147 47.3% Organization Wide Sources of Funds Source % of Total Loan Proceeds 33.7% Charges for Service 24.1% Approp from Fund 10.1% Intergovernment 9.9% Ad Valorem Tax 8.8% Other Taxes 5.5% Other Misc 2.6% Franchise Fee 2.5% Interfund Transfers In 1.8% Licenses & Permits 1.0% 100.0% Charges for Service 24.1% Approp from Fund 10.1% Ad Valorem Tax 8.8%Intergovernment 9.9% Other Taxes 5.5% Interfund Transfers In 1.8% Franchise Fee 2.5% Other 2.6% Licenses & Permits 1.0% Loan Proceeds 33.7% Overall Budget Expenditure Total expenditures and transfers out are projected to increase by 47.6% in FY 2027. Inclusive of appropriations to fund balance, a total increase of 47.3% is projected. Other Gov – Timing of Capital projects in Infrastructure Surtax (3rd Gen & 4th Gen). Enterprise – East Plant Construction & Design $39.9M loan, timing of capital projects. FY 25/26 FY 26/27 Original Proposed Budget Budget Change General 26,539,195 27,490,044 3.6% Other Governmental 18,787,142 19,710,922 4.9% Enterprise 34,296,874 70,323,531 105.0% Sub-Total 79,623,211 117,524,497 47.6% Appropriations To Fund Balance 802,635 981,650 22.3% Total 80,425,846 118,506,147 47.3% Organization Wide Applications of Funds Personnel 18.3% Capital Outlay 52.3% Services 8.5% Utilities 5.2% Repair and Maintenance 6.2% Debt Service 3.2% Interfund Transfers Out 1.8% Other 3.6% Approp to Fund 0.8% Application % of Total Capital Outlay 52.3% Personnel 18.3% Services 8.5% Repair and Maintenance 6.2% Utilities 5.2% Other 3.6% Debt Service 3.2% Interfund Transfers Out 1.8% Approp to Fund 0.8% 100% Expenditure Highlights Included is 8% health insurance premium increase. 4 - Additional headcounts in Stormwater as approved in Master Plan. Personnel Costs FY 25/26 FY 26/27 Original Proposed Budget Budget Change General 16,163,480 17,378,093 7.5% Enterprise 3,562,184 4,331,616 21.6% Total 19,725,664 21,709,709 10.1% Expenditure Highlights During the zero-based line-item review process, each director was tasked with finding ways to reduce operating expenditures without reducing level of service. This resulted in a balanced budget with maintaining a 2.62 Millage Rate. Operating Costs FY 25/26 FY 26/27 Original Proposed Budget Budget Change General 8,046,259 8,266,451 2.7% Other Governmental 6,029,438 5,926,558 -1.7% Enterprise 12,910,844 13,731,804 6.4% Total 26,986,541 27,924,813 3.5% General Fund - Operating Costs FY 25/26 FY 26/27 Original Proposed Budget Budget Change Information & General Gov't 2,491,877 2,454,838 -1.5% Community Development 1,667,317 1,719,885 3.2% Parks & Recreation 1,567,085 1,564,629 -0.2% Police 1,613,670 1,715,918 6.3% Finance 274,556 286,205 4.2% Public Works 265,753 345,936 30.2% Executive 166,001 179,040 7.9% Total 8,046,259 8,266,451 2.7% General Fund Fiscal Policy Test GENERAL FUND FISCAL POLICY TEST Each year, the General Fund is tested to determine if the fund complies with three internal fiscal policies/guidelines as follows: 1.That sufficient recurring revenue exist to pay for all recurring costs, thus avoiding the use of non-recurring revenues and fund balances to fund recurring costs. 2. That sufficient recurring and non-recurring revenues are available to fund non-recurring costs. 3. That the 25% fund balance policy is being maintained (fund balance equal to or exceeding 25% of personnel and operating costs). All three policies are being satisfied for FY 2027 General Fund Source % of Total Ad Valorem Tax 38.0% Utility Tax 17.3% Franchise Fee 10.6% Intergovernment - Half-Cent 10.1% Intergovernment - Rev Sharing 6.5% Other 6.1% Communication Service Tax 5.9% Interfund Transfers In 3.1% Approp from Fund 2.3% 100% Ad Valorem Tax 38.0% Utility Tax 17.3% Intergovernment - Half-Cent 10.1% Franchise Fee 10.6% Intergovernment - Rev Sharing 6.5% Communication Service Tax 5.9% Interfund Transfers In 3.1% Other 6.1%Approp from Fund 2.3% General Fund Sources & Applications QUESTIONS