City Council Workshops

1. City Council Budget Workshop Agenda Documents: 2017-03-11 CITY COUNCIL BUDGET WORKSHOP AGENDA.PDF 2. City Council Budget Workshop Minutes Documents: 2017-03-11 CITY COUNCIL BUDGET WORKSHOP MINUTES.PDF 3. City Council Budget Workshop Budget Presentation 2017-18 Bw01 Documents: 2017-03-11 CITY COUNCIL BUDGET WORKSHOP BUDGET PRESENTATION 2017-18 BW01.PDF  CITY OF WHEATON, ILLINOIS BUDGET WORKSHOP SESSION - SATURDAY, MARCH 11, 2017 - 9:00 A.M. WHEATON CITY HALL, COUNCIL CHAMBERS, 303 W. WESLEY STREET, WHEATON, IL AGENDA I. Budget Overview II. Review of 2017-2018 Draft Budget a. Public Works i. General Fund ii. Water Fund iii. Sanitary Sewer Fund iv. Storm Sewer Fund v. Parking Fund • Parking Maintenance-Outside of CBD • Parking Maintenance-CBD vi. Municipal Garage Fund b. Fire Department i. General Fund ii. Foreign Fire Insurance Tax Fund iii. Capital Equipment Replacement Fund III. Public Comment IV. Council Questions/Comments V. Adjournment Persons speaking during Public Comment shall not speak longer than three (3) minutes and shall be permitted to speak only once. To: The Honorable Mayor and City Council Date: March 15, 2017 Subject: 2017/18 Budget Workshop, March 11, 2017 The first Budget Workshop reviewing the proposed 2017/18 budget was held on March 11, 2017. The Workshop was held in the Council Chambers, Wheaton City Hall, 303 W. Wesley Street. It began at 9 a.m. and concluded at 11:30 a.m. Those in attendance were Mayor Gresk, Councilwoman Fitch, Councilman Prendiville, Councilman Rutledge, Councilman Saline and Councilman Scalzo. Councilman Suess was absent. Also attending were City Manager Dzugan, Department Heads, Public Works Superintendents and Fire Department Assistant Chiefs. I. Budget Overview City Manager Dzugan provided an overview of significant elements of the budget and recommended reading Finance Director Lehnhardt’s Transmittal Letter for a thorough review of revenues and expenditures. He stated that this year’s format will differ from previous year’s in that Department Heads will provide a short summary of accomplishments from last year and goals for the 2017/18 budget year. City Manager Dzugan stated that the total Capital and Operating Expenses for 2016/17 were $94,750,081 while Capital and Operating Expenses for 2017/18 are proposed at $96,725,097; a 2.1% increase. Regarding only operating expenses, the presented budget proposes a 1.3% increase. City Manager Dzugan reviewed the proposed budget related to the General Fund and the Enterprise Funds. He stated that a significant portion of the General Fund increase was related to increased pension obligations for Police and Fire ($714,613), causing the Employee Benefits area to increase 8.1%. He stated that an increase of 2% to the proposed General Fund operating budget alone equals $771,573. City Manager Dzugan stated that the anticipated difference between expenditure and revenues is expected to be approximately $3,100,000, with that difference earmarked for the Capital Projects Fund. He stated that the difference between expenditures and revenues for the Enterprise Funds would also go to fund capital projects related to that specific area. City Manager Dzugan stated the Storm Sewer Fund’s operating expenses exceeded operating revenues. City Manager Dzugan stated the importance of moving forward with a measured approach; balancing capital project infrastructure investment with operating expenses (levels of service) while maintaining revenue awareness. He stated the City’s current financial position is strong; however, as we deal with flat revenues, increasing operating expenses and the need for infrastructure improvements, we will face challenges in future budgets as we look to maintain funding for capital projects. City Manager Dzugan stated that increasing revenue, changing levels of service and decreasing operating expenses and changing the allocation to capital projects (or some combination of the three) will be required. Director Lehnhardt reviewed in detail revenues and expenditures by fund. He stated that the proposed budget has the number of full-time employees decreasing by one for a total of 231 employees and reviewed the property tax levy distribution. Director Lehnhardt reviewed the different taxes that the General Fund receives and stated that the following taxes were flat over the past several years: Property, Sales, Home Rule Sales, Natural Gas, and Electricity. He stated that Income and Use taxes were up and that Utility and Telecommunication taxes were down. He stated that Motor Fuel tax was flat and billed water usage was down. Councilwoman Fitch asked if the City has considered other areas to capture revenue. Director Lehnhardt stated that regarding special events, the City charges appropriate amounts based on the cost for the services. City Manager Dzugan stated that some communities charge their properties a stormwater fee based on the imperviousness of the property. In response to a question from Councilman Scalzo, City Manager Dzugan stated that staff would provide the Council a list of other possible sources for revenue. In response to a question from Councilman Saline regarding Senate Bill 9, Director Lehnhardt stated that he did not know how a sales tax on services would impact the allocation to the City. In response to a question from Councilman Rutledge regarding why the Illinois Municipal Retirement Fund (IMRF) was not listed on the Property Tax Levy slide (#29), Director Lehnhardt stated that historically the City has not included IMRF as a component of the property tax levy. If the City were to levy for IMRF, the money collected would need to be restricted and could not be used for other purposes. II. Review of 2017-2018 Draft Budget a. Public Works i. General Fund – Director Lehnhardt stated that the overall Public Works budget shows a 4.7% decrease from the previous year. Director of Public Works Laoang shared accomplishments from the current fiscal year related to the General Fund: the push to replace over 700 LED streetlight fixtures and the fact that the department completed 62% more street maintenance and patching then previously. He stated that the department has goals of completing year 4 of the ash tree replacement program (planting 1,000 trees) and keeping the 7-year pruning cycle while pruning 2,700 trees.  In response to Council questions, Director Laoang stated that the Communications Department will provide updated information to residents regarding the timing of tree replacement. He stated that although salt use is down this winter, other tasks are being completed resulting in additional money being spent in lieu of salt operations. Therefore, savings are negligible. He also stated that while the department fabricates street signs, they have contracted out the street line painting. Councilman Scalzo asked about the cost of a city-wide leaf collection program. City Manager Dzugan stated that the City considered this service previously and he would provide the information to the Council. ii. Water Fund – Director Laoang shared accomplishments from the current fiscal year related to the Water Fund: replacing approximately 3,000 water meters as part of a 5-year project and relocating water main from under Springbrook Creek. He stated that the department has goals of replacing the Countryside standby generator which has been in place since 1973 and replacing over 4,600 feet of water main. Director Lehnhardt stated that the overall Water Fund was up 2.1% as compared to the previous year. He stated that much of the increase is attributed to an estimated 2% increase in the cost of water purchased from the DuPage Water Commission. In response to Council questions, City Manager Dzugan stated that money to pay for lead service line replacement might possibly require a water rate increase, depending on the amount and overall cost of the need. Director Laoang stated that “Water Storage” in the budget refers to the water towers. iii. Sanitary Sewer Fund – Director Laoang shared accomplishments from the current fiscal year related to the Sanitary Sewer Fund: replacement of 8 pumps at 4 lift stations and replacing 176 manholes, more than three times an increase from the previous year. He stated that the department has goals of rehabbing the Lorraine/Eaton lift station and cleaning 27% of our Sanitary Sewer system. Director Lehnhardt stated that the Sanitary Sewer fund was up 36.7% from the previous year due mostly to $745,000 increase in capital projects. iv. Storm Sewer Fund –  Director Laoang shared accomplishments from the current fiscal year related to the Storm Sewer Fund: cleaned 150,185 feet of storm sewers and 1,711 basins and televised over 22,000 feet of storm sewer. He stated the department has goals of cleaning 142,000 feet of storm sewers and 2,000 catch basins. In response to Councilman Rutledge’s question, he estimated that there are approximately 5,000 catch basins in the City. Director Laoang stated that the department has a goal of televising 80,000 feet of storm sewer. Director Lehnhardt stated that the Storm Sewer fund was down nearly 40% as compared to the previous year which is attributable to a decrease of $1 million in capital projects. v. Parking Fund – Director Lehnhardt reviewed the budgets for the Parking Maintenance-Outside the Central Business District (CBD) and the Parking Maintenance-CBD organizations. vi. Municipal Garage Fund – Director Laoang stated that the Fleet Division purchased 18 vehicles this current budget year, describing in detail the process required in purchasing vehicles such as police squad cars and fire apparatus. Additionally, the division lowered the hourly chargeback to departments by improving labor and inventory tracking. Regarding goals for next fiscal year, he stated that they plan to purchase 14 vehicles and will establish benchmarks for inventory levels and preventative maintenance labor times. Director Lehnhardt stated that the overall budget decreased 7.6% due in large part to eliminating a mechanic’s position. In response to Council questions regarding efficiencies, he stated that “Green Initiatives” are the most impactful (LED light replacements) and City Manager Dzugan added that Public Works has been diligent about searching for efficiencies such as the trial cul-de-sac clearing procedures currently being evaluated, and the Department’s proactive data analysis which allowed them to recommend not filling two position vacancies. b. Fire Department. i. General Fund – Fire Chief Schultz shared accomplishments from the current fiscal year related to the Department: continued involvement with the West Suburban Fire Rescue Alliance, specifically related to shared training, and the gained efficiency and cost savings of purchasing two new ambulances which are housed on a smaller chassis. Chief Schultz’ goals include placing increased effort in the area of Homeland Security and  enhancing the Department’s Officer Development Program focusing on succession planning. Director Lehnhardt stated that the overall Fire Department Budget increased 5.6% due mainly to the increased pension obligation. In response to Councilwoman Fitch’s question regarding working with the Police Department, Chief Schultz stated that the paramedics train the police officers on CPR and basic first aid techniques. He also stated that last summer, the two departments trained together during an “active shooter” training situation. In response to Council questions, Chief Schultz stated that the fire and police radios are compatible and that regarding increased use of Northwestern - CDH’s Stroke Mobile Unit, he does not anticipate that our revenue collections will be affected. ii. Foreign Fire Insurance Tax Fund – Director Lehnhardt stated that this budget decreased slightly from the previous year. In response to a Council question, he stated that there is a 2% tax imposed on the premiums of fire insurance policies written by insurance companies not incorporated within the State of Illinois. iii. Capital Equipment Replacement Fund – Director Lehnhardt stated that there are two projects with the Fire Department: a new security system for their stations and emergency siren replacements. III. Public Comment None. IV. Council Questions/Comments. Council Prendiville thanked staff for their efforts in compiling the budget document. He stated that in a survey from the recent past, residents provided feedback that they were overall very satisfied with services provided. Councilwoman Fitch stated that there were many significant accomplishments relayed during the workshop. V. Adjournment. The Budget Workshop was adjourned at 11:30 a.m. Copy: Mayor and City Council City Manager City Clerk Department Heads City of Wheaton 2017/2018 Budget  What to Expect Overview City Manager provide overview of significant elements/goal attainment Expenditures/Revenue Trends Finance Director provide detail on budget expenditures/revenue – focus on revenue estimates and trends Department Budgets Departments overview expenditures; FY 16/17 goal achievement and FY17/18 goal Fiscal Year 2017/18 Budget 1 NEW 2  Strategic Priority Financial Stability • Target - operating expenses increase 2% or less –budget to budget TOTAL Budget Capital and Operating Expenses 16/17 $94,750,081 17/18 $96,725,097 2.1% increase TOTAL Operating Expenses 16/17 $74,412,268 17/18 $75,359,584 1.3% increase 3 Snap Shot - Fund Target Achievement Operating Amount Expense Over/(Under) Fund % 2% Target General 2.3% $ 131,105 Water 2.4% $ 40,964 Sanitary Sewer 0.9% $ (16,103) Storm Sewer -0.8% $ (35,111) Parking 14.1% $ 65,264 Municipal Garage -3.8% $ (108,458) 4  Fund Target Achievement 2016/17 2017/18 2% Actual Amount Operating Operating Target Actual Operating Over/(Under) Fund Budget Budget Amount Amount % Target General $ 38,578,633 $ 39,481,311 $ 771,573 $ 902,678 2.3% $ 131,105 Water $ 10,067,990 $ 10,310,314 $ 201,360 $ 242,324 2.4% $ 40,964 Sanitary Sewer $ 1,518,864 $ 1,533,138 $ 30,377 $ 14,274 0.9% $ (16,103) Storm Sewer $ 1,269,912 $ 1,260,199 $ 25,398 $ (9,713) -0.8% $ (35,111) Parking $ 540,763 $ 616,842 $ 10,815 $ 76,079 14.1% $ 65,264 Municipal Garage $ 1,858,079 $ 1,786,783 $ 37,162 $ (71,296) -3.8% $ (108,458) Total $ 53,834,241 $ 54,988,587 $ 1,076,685 $ 1,154,346 2.1% $ 77,661 5  Fund Expenditure Focus General Fund FY 2016-2017 FY 2017-2018 FY 2018 vs FY 2017 Budget Budget Amount % Personal Services $ 18,797,396 $ 19,273,848 $ 476,452 2.5% Employee Benefits $ 8,360,416 $ 9,039,106 $ 678,690 8.1% Supplies & Materials $ 1,168,175 $ 1,085,020 $ (83,155) -7.1% Charges & Services $ 6,224,084 $ 6,209,364 $ (14,720) -0.2% Interfund Transfers $ 4,028,562 $ 3,873,973 $ (154,589) -3.8% Total Operating $ 38,578,633 $ 39,481,311 $ 902,678 2.3% Target achievement challenges, changes • $714,613 increase in annual Police and Fire funding pension obligation • Full time position from Garage Fund to General Fund • Moved Train Stations expenses from General Fund to Parking Fund 6  Fund Expenditure Focus General Fund – Operating expenditures/revenues $42,360,615 $42,323,157 $42,587,612 $43,000,000 $42,098,110 $42,000,000 $41,000,000 $39,481,311 $40,000,000 $38,578,633 $38,538,938 $39,000,000 $37,865,325 $38,000,000 $37,000,000 $36,000,000 $35,000,000 2015/2016 2016/2017 2016/2017 2017/2018 Actual Budget Projected Budget Operating Revenues Operating Expenses 7  Fund Expenditure Focus Water Fund FY 2016-2017 FY 2017-2018 FY 2018 vs FY 2017 Budget Budget Amount % Personal Services 1,184,648 1,203,940 19,292 1.6% Employee Benefits 514,849 507,434 (7,415) -1.4% Supplies & Materials 309,764 304,078 (5,686) -1.8% Charges & Services 7,295,477 7,524,475 228,998 3.1% Interfund Transfers 763,252 770,387 7,135 0.9% Total Operating 10,067,990 10,310,314 242,324 2.4% Target achievement challenges, changes • $213,000 - DuPage Water Commission Water Purchased (2% increase in cost) 8  Fund Expenditure Focus Water Fund – Operating expenses/revenues $13,287,626 $12,977,394 $13,210,086 $13,112,749 $14,000,000 $12,000,000 $10,501,828 $10,067,990 $10,254,533 $10,310,314 $10,000,000 $8,000,000 $6,000,000 $4,000,000 $2,000,000 $- 2015/2016 2016/2017 2016/2017 2017/2018 Actual Budget Projected Budget Operating Revenues Operating Expenses 9  Fund Expenditure Focus Sanitary Sewer Fund FY 2016-2017 FY 2017-2018 FY 2018 vs FY 2017 Budget Budget Amount % Personal Services 543,009 537,098 (5,911) -1.1% Employee Benefits 247,909 244,364 (3,545) -1.4% Supplies & Materials 122,779 125,760 2,981 2.4% Charges & Services 148,346 127,715 (20,631) -13.9% Interfund Transfers 456,821 498,201 41,380 9.1% Total Operating 1,518,864 1,533,138 14,274 0.9% Target achievement challenges, changes • More refined allocation of expense - 16/17 Fiscal Year separated Storm from Sanitary Fund 10  Fund Expenditure Focus Sanitary Sewer Fund – Operating expenses/revenues $4,000,000 $3,667,389 $3,500,000 $3,000,000 $2,712,877 $2,364,358 $2,419,089 $2,391,346 $2,500,000 $2,000,000 $1,518,864 $1,533,138 $1,311,127 $1,500,000 $1,000,000 $500,000 $- 2015/2016 2016/2017 2016/2017 2017/2018 Actual Budget Projected Budget Operating Revenues Operating Expenses 11  Fund Expenditure Focus Storm Sewer Fund FY 2016-2017 FY 2017-2018 FY 2018 vs FY 2017 Budget Budget Amount % Personal Services 464,572 456,020 (8,552) -1.8% Employee Benefits 208,713 200,077 (8,636) -4.1% Supplies & Materials 99,873 94,779 (5,094) -5.1% Charges & Services 24,451 38,689 14,238 58.2% Interfund Transfers 472,303 470,634 (1,669) -0.4% Total Operating 1,269,912 1,260,199 (9,713) -0.8% Target achievement challenges, changes • More refined allocation of expense - 16/17 Fiscal Year separated Storm from Sanitary Fund 12  Fund Expenditure Focus Storm Sewer Fund – Operating expenses/revenues $1,489,722 $1,445,816 $1,467,535 $1,600,000 $1,400,000 $1,225,275 $1,200,000 $1,344,127 $1,260,199 $1,000,000 $1,269,912 Revenue options for $800,000 Storm Sewer Fund $600,000 $400,000 $200,000 $- 2015/2016 $- 2016/2017 2016/2017 2017/2018 Actual Budget Projected Budget Operating Revenues Operating Expenses 13  Fund Expenditure Focus Parking Fund FY 2016-2017 FY 2017-2018 FY 2018 vs FY 2017 Budget Budget Amount % Personal Services 101,338 109,590 8,252 8.1% Employee Benefits 53,344 54,535 1,191 2.2% Supplies & Materials 31,458 38,608 7,150 22.7% Charges & Services 125,757 173,163 47,406 37.7% Interfund Transfers 228,866 240,946 12,080 5.3% Total Operating 540,763 616,842 76,079 14.1% Target achievement challenges, changes • $42,935 Metra Train Stations expenses moved from General Fund • $10,625 for Parking Lot #3 patching/Parking Lot #5 sealcoating 14  Fund Expenditure Focus Parking Fund – Operating expenses/revenues $800,000 $725,286 $723,444 $702,735 $715,510 $700,000 $600,000 $500,000 $616,842 $540,763 $400,000 $470,401 $481,802 $300,000 $200,000 $100,000 $- 2015/2016 2016/2017 2016/2017 2017/2018 Actual Budget Projected Budget Operating Revenues Operating Expenses 15  Fund Expenditure Focus Municipal Garage Fund FY 2016-2017 FY 2017-2018 FY 2018 vs FY 2017 Budget Budget Amount % Personal Services 631,693 562,333 (69,360) -11.0% Employee Benefits 276,755 243,657 (33,098) -12.0% Supplies & Materials 663,927 699,927 36,000 5.4% Charges & Services 146,412 146,910 498 0.3% Interfund Transfers 139,292 133,956 (5,336) -3.8% Total Operating 1,858,079 1,786,783 (71,296) -3.8% Target achievement challenges, specific changes impacting target • Eliminated mechanic positon, reallocated to General Fund - GIS Analyst 16  Fund Expenditure Focus Municipal Garage Fund – Operating expenses/revenues $4,000,000 $3,482,456 $3,569,202 $3,277,058 $3,286,679 $3,500,000 $3,000,000 $2,500,000 $1,720,762 $1,858,079 $1,786,783 $2,000,000 $1,573,290 $1,500,000 $1,000,000 $500,000 $- 2015/2016 2016/2017 2016/2017 2017/2018 Actual Budget Projected Budget Operating Revenues Operating Expenses 17  Balanced/Measured Approach to Operating and Capital Investment Capital Projects Operating Revenue Infrastructure Expense – Levels Investment of Service 18  Capital Projects – Infrastructure  2016/17 Fiscal Year created new Capital Projects Fund  Development of Capital Improvement Plan (CIP), Fiscal Years 2018-2022  Use CIP as Planning Tool  Present 2017/18 Capital Projects at March 18 Workshop  Capital Projects  2016/17 Budget $13.6MM (projected $10MM)  2017/18 Budget $16.5MM  Capital Projects Fund Balance  2016/17 Budget $12.6MM (projected)  2017/18 Budget $10.8MM  General Fund transfer to Capital Projects Fund for 2017/18 = $3.1MM 19  Revenue and its Relationship to Operating and Capital Expenses Revenue to Capital Projects. Identifying acceptable annual Revenue funding for each Fund – General, Operating Cost Water, Sanitary, Storm, and Parking. Revenue to Fund Operating – acceptable Levels of Service 20  Fund Expenditure Focus General Fund – Operating expenditures/revenues $42,360,615 $42,323,157 $42,587,612 $43,000,000 $42,098,110 $42,000,000 $41,000,000 $39,481,311 $40,000,000 $38,578,633 $38,538,938 $39,000,000 $37,865,325 $38,000,000 $37,000,000 $36,000,000 $35,000,000 2015/2016 2016/2017 2016/2017 2017/2018 Actual Budget Projected Budget Operating Revenues Operating Expenses 21  Meeting the 3 Infrastructure Challenge 1 – Limit capital infrastructure projects to match the difference in revenue and operating expenses; Revenue and/or 1 Operating Cost 2 – Decrease operating expenses by 2 modifying levels of service; and/or 3 – Increase revenue in amount to reflect service level desires and infrastructure investment. 22  Other  Salaries - 2% increase non union, meet union contractual obligations  Health Benefits - increase premiums and deductibles  Number of employees - full time 232 to 231  Eliminate 2 full time reallocate to 1 full time and 3 part time positions  Municipal Garage Transfer fluctuations – adjustments of useful life, better recording expenses, and less fuel consumption and price 23  All Funds Revenues and Expenditures FY 2016-17 FY 2017-18 FY 2018 vs FY 2017 Budget Budget Amount % Revenues $ 97,183,794 $ 96,445,969 $ (737,825) -0.8% Expenditures Operating $ 74,412,268 $ 75,359,584 $ 947,316 1.3% Interfund Transfers $ 6,731,143 $ 4,837,663 $ (1,893,480) -28.1% Capital $ 13,606,670 $ 16,527,850 $ 2,921,180 21.5% Total Expenditures $ 94,750,081 $ 96,725,097 $ 1,975,016 2.1% Difference $ 2,433,713 $ (279,128) 24  All Funds Revenues - $96.4 Million FY 2018 Interfund Transfers Revenues Budget 20.0% Taxes $ 33,563,795 Miscellaneous 0.5% Taxes Charges for Services $ 23,198,370 34.8% Intergovernmental $ 14,506,933 Investment Income Licenses $ 150,750 3.8% Permits $ 887,000 Fines and Forfeits $ 695,800 Fines and Forfeits 0.7% Investment Income $ 3,610,923 Miscellaneous $ 524,233 Interfund Transfers $ 19,308,165 Charges for Services Total $ 96,445,969 24.1% Permits Intergovernmental Licenses 15.0% 0.9% 0.2% 25  All Funds Expenditures - $96.7 Million FY 2018 Interfund Transfers Expenditures Budget Pension Benefits 11.3% Personal Services Personal Services $ 24,301,051 5.1% 25.1% Employee Benefits $ 11,041,564 Supplies & Materials $ 2,766,737 Debt Service 5.1% Charges & Services $ 21,286,752 Capital Outlays $ 16,527,850 Debt Service $ 4,923,781 Pension Benefits $ 4,931,800 Interfund Transfers $ 10,945,562 Total $ 96,725,097 Employee Benefits Capital Outlays 11.4% 17.1% Supplies & Materials Charges & Services 2.9% 22.0% 26  Personnel Full-Time Positions 270 261 260 249 250 240 232 231 232 232 231 229 229 230 228 230 220 210 FY 07/08 FY 08/09 FY 09/10 FY 10/11 FY 11/12 FY 12/13 FY 13/14 FY 14/15 FY 15/16 FY 16/17 FY 17/18 Actual Actual Actual Actual Actual Actual Actual Actual Actual Budget Budget • 30 fewer positions (or -11.5%) since FY 2007/08. 27  Property Tax Levy 2015 Property Tax Distribution School District 200 66.6% Col l ege of DuPage Di s trict 502 3.5% Whea ton Pa rk Di s trict 10.4% Mi l ton Township Whea ton Mosquito Roa d District Aba tement 1.0% 0.2% DuPa ge County Mi l ton Township 2.5% 0.6% Ci ty of Whea ton DuPa ge Ai rport 13.0% DuPa ge County Authori ty Fores t Preserve 0.2% 2.0% 28  Property Tax Levy 2016 Property Tax Levy Debt Service General Corporate $ 8,824,578 15% General Library $ 3,775,000 Corporate Police Pension $ 2,744,782 Fire Pension 45% Fire Pension $ 1,452,575 7% Debt Service $ 2,991,269 Total $ 19,788,204 Police Pension 14% Library 19% 29  General Fund FY 2016-17 FY 2017-18 FY 2018 vs FY 2017 Budget Budget Amount % Revenues $ 42,323,157 $ 42,587,612 $ 264,455 0.6% Expenditures Operating $ 38,578,633 $ 39,481,311 $ 902,678 2.3% Capital Outlays $ 138,283 $ 66,240 $ (72,043) -52.1% Interfund Transfer-Capital $ 3,000,000 $ 3,106,301 $ 106,301 3.5% Total Expenditures $ 41,716,916 $ 42,653,852 $ 936,936 2.2% Revenues Over/(Under) Expenditures $ 606,241 $ (66,240) 30  General Fund Revenues FY 2017-18 Fines and Forfeits Investment Type Budget Charges for 1.4% Income Taxes $ 22,408,546 Services 0.2% Miscellaneous Intergovernmental $ 12,960,000 9.4% 0.3% Permits Licenses $ 150,750 2.1% Permits $ 887,000 Interfund Charges for Services $ 3,988,878 Licenses Transfers Fines and Forfeits $ 513,000 0.4% 3.4% Investment Income $ 95,000 Miscellaneous $ 128,000 Interfund Transfers $ 1,456,438 Total Revenues $ 42,587,612 Taxes 52.6% Intergovernmental 30.4% 31  General Fund Revenues FY 2016-2017 FY 2017-2018 FY 2018 vs FY 2017 Budget Budget Amount % Revenues Taxes $ 21,980,705 $ 22,408,546 $ 427,841 1.9% Intergovernmental $ 13,211,510 $ 12,960,000 $ (251,510) -1.9% Licenses $ 144,750 $ 150,750 $ 6,000 4.1% Permits $ 866,500 $ 887,000 $ 20,500 2.4% Charges for Services $ 3,909,244 $ 3,988,878 $ 79,634 2.0% Fines and Forfeits $ 570,000 $ 513,000 $ (57,000) -10.0% Investment Income $ 85,000 $ 95,000 $ 10,000 11.8% Miscellaneous $ 124,000 $ 128,000 $ 4,000 3.2% Interfund Transfers $ 1,431,448 $ 1,456,438 $ 24,990 1.7% Total Revenues $ 42,323,157 $ 42,587,612 $ 264,455 0.6% 32  General Fund Major Revenues FY 2014/15 FY 2015-2016 FY 2016-2017 FY 2017-2018 FY 2018 vs FY 2017 Major Revenues Actual Actual Budget Budget Amount % Property Taxes $ 12,933,555 $ 12,742,839 $ 13,269,455 $ 13,670,396 $ 400,941 3.0% Sales Tax $ 6,121,179 $ 6,042,779 $ 6,161,000 $ 6,060,000 $ (101,000) -1.6% Local Sales Tax $ 3,896,329 $ 3,869,271 $ 3,940,000 $ 3,838,000 $ (102,000) -2.6% Income Tax $ 5,180,153 $ 5,637,042 $ 5,395,000 $ 5,342,000 $ (53,000) -1.0% Utility Taxes $ 4,381,591 $ 4,068,555 $ 3,971,000 $ 3,990,150 $ 19,150 0.5% Total $ 32,512,807 $ 32,360,486 $ 32,736,455 $ 32,900,546 $ 164,091 0.5% % of Total Revenues 77.8% 75.7% 77.3% 77.3% 33  General Fund Property Tax Fiscal % $20,000,000 Year Amount Change $18,000,000 2010/11 $ 18,475,386 7.6% $16,000,000 2011/12 $ 18,687,344 1.1% $14,000,000 2012/13 $ 18,626,382 -0.3% $12,000,000 2013/14 $ 18,869,307 1.3% $10,000,000 2014/15 $ 18,919,978 0.3% $8,000,000 2015/16 $ 18,762,123 -0.8% 2016/17* $ 19,447,803 3.7% $6,000,000 2017/18* $ 19,788,204 1.8% $4,000,000 *Projected $2,000,000 $- • 1.9% Average Annual Increase. 34  General Fund Sales Tax $6,500,000 Trend line: Flat Fiscal % $6,000,000 Year Amount Change $5,500,000 2010/11 $ 5,665,826 2.2% $5,000,000 2011/12 $ 5,661,133 -0.1% $4,500,000 2012/13 $ 5,563,632 -1.7% $4,000,000 2013/14 $ 5,791,987 4.1% $3,500,000 2014/15 $ 6,121,179 5.7% $3,000,000 2015/16 $ 6,042,779 -1.3% $2,500,000 2016/17* $ 6,000,000 -0.7% $2,000,000 2017/18* $ 6,060,000 1.0% *Projected $1,500,000 $1,000,000 $500,000 $0 • 1.2% Average Annual Increase. 35  General Fund Current Year Sales Tax Trend FY 16/17 vs FY 15/16 % Amount Month FY 2015/16 FY 2016/17 Change Change May $ 507,339 $ 521,394 2.8% $ 14,055 June $ 562,645 $ 564,254 0.3% $ 1,608 July $ 495,561 $ 474,393 -4.3% $ (21,168) August $ 513,760 $ 496,777 -3.3% $ (16,983) September $ 532,161 $ 518,778 -2.5% $ (13,383) October $ 493,559 $ 461,176 -6.6% $ (32,383) November $ 484,894 $ 497,865 2.7% $ 12,971 December $ 634,401 $ 611,217 -3.7% $ (23,184) January $ 434,745 February $ 441,791 March $ 509,352 April $ 432,572 Totals $ 6,042,779 $ 4,145,855 YTD Receipts: $ 4,224,320 $ 4,145,855 YTD $ Change Prior Year: $ (37,705) $ (78,465) 36 YTD % Change Prior Year: -0.9% -1.9%  General Fund Local (Home-Rule) Sales Tax Fiscal % $4,500,000 Year Amount Change $4,000,000 Trend line: Flat 2010/11 $3,654,432 1.8% 2011/12 $3,638,935 -0.4% $3,500,000 2012/13 $3,668,256 0.8% $3,000,000 2013/14 $3,819,168 4.1% 2014/15 $3,896,329 2.0% $2,500,000 2015/16 $3,869,271 -0.7% $2,000,000 2016/17* $3,800,000 -1.8% 2017/18* $3,838,000 1.0% $1,500,000 *Projected $1,000,000 $500,000 $0 • 0.9% Average Annual Increase. 37  General Fund Current Local (Home-Rule) Sales Tax Trend FY 16/17 vs FY 15/16 % Amount Month FY 2015/16 FY 2016/17 Change Change May $ 337,279 $ 329,626 -2.3% $ (7,653) June $ 366,070 $ 372,136 1.7% $ 6,065 July $ 317,217 $ 305,850 -3.6% $ (11,367) August $ 322,362 $ 318,144 -1.3% $ (4,218) September $ 339,765 $ 320,183 -5.8% $ (19,582) October $ 317,559 $ 298,597 -6.0% $ (18,962) November $ 312,758 $ 314,320 0.5% $ 1,562 December $ 421,528 $ 411,267 -2.4% $ (10,261) January $ 264,376 February $ 274,376 March $ 321,966 April $ 273,911 Totals $ 3,869,165 $ 2,670,121 YTD Receipts: $ 2,734,537 $ 2,670,121 YTD $ Change Prior Year: $ (14,961) $ (64,415) 38 YTD % Change Prior Year: -0.5% -2.4%  General Fund Income Tax $6,000,000 Fiscal % $5,500,000 Year Amount Change $5,000,000 2010/11 $4,320,601 -1.8% $4,500,000 2011/12 $4,332,413 0.3% $4,000,000 2012/13 $4,766,835 10.0% $3,500,000 2013/14 $5,154,316 8.1% $3,000,000 2014/15 $5,180,153 0.5% $2,500,000 2015/16 $5,637,042 8.8% $2,000,000 2016/17* $5,141,000 -8.8% $1,500,000 2017/18* $5,342,000 3.9% *Projected $1,000,000 $500,000 $0 • 2.7% Average Annual Increase. 39  General Fund Utility Taxes $5,500,000 Fiscal % $5,000,000 Year Amount Change $4,500,000 2010/11 $ 4,959,741 20.2% $4,000,000 2011/12 $ 4,829,821 -2.6% $3,500,000 2012/13 $ 4,757,037 -1.5% 2013/14 $ 4,557,258 -4.2% $3,000,000 2014/15 $ 4,381,591 -3.9% $2,500,000 2015/16 $ 4,068,555 -7.1% $2,000,000 2016/17* $ 4,025,000 -1.1% $1,500,000 2017/18* $ 3,990,150 -0.9% $1,000,000 *Projected $500,000 $0 • -0.4% Average Annual Decrease. 40  General Fund Natural Gas Use Tax $1,000,000 Trend line: Flat Fiscal % $900,000 Year Amount Change $800,000 2010/11 $ 846,787 53.6% $700,000 2011/12 $ 732,911 -13.4% 2012/13 $ 827,740 12.9% $600,000 2013/14 $ 977,817 18.1% $500,000 2014/15 $ 894,118 -8.6% $400,000 2015/16 $ 761,913 -14.8% $300,000 2016/17* $ 775,000 1.7% 2017/18* $ 782,750 1.0% $200,000 *Projected $100,000 $0 • 5.2% Average Annual Increase. 41  General Fund Electricity Tax $2,000,000 Fiscal % Trend line: Flat Year Amount Change $1,750,000 2010/11 $ 1,866,578 64.0% $1,500,000 2011/12 $ 1,802,014 -3.5% 2012/13 $ 1,826,838 1.4% $1,250,000 2013/14 $ 1,795,778 -1.7% $1,000,000 2014/15 $ 1,710,882 -4.7% 2015/16 $ 1,659,562 -3.0% $750,000 2016/17* $ 1,740,000 4.8% 2017/18* $ 1,757,400 1.0% $500,000 *Projected $250,000 $0 • 6.8% Average Annual Increase. 42  General Fund Telecommunications Tax $2,500,000 Fiscal % $2,250,000 Year Amount Change $2,000,000 2010/11 $2,246,376 -7.8% $1,750,000 2011/12 $2,294,896 2.2% 2012/13 $2,102,459 -8.4% $1,500,000 2013/14 $1,783,663 -15.2% $1,250,000 2014/15 $1,776,591 -0.4% $1,000,000 2015/16 $1,647,080 -7.3% $750,000 2016/17* $1,510,000 -8.3% $500,000 2017/18* $1,450,000 -4.0% *Projected $250,000 $0 • -5.1% Average Annual Decrease. 43  General Fund Use Tax $1,600,000 Fiscal % $1,400,000 Year Amount Change 2010/11 $ 794,435 20.5% $1,200,000 2011/12 $ 771,677 -2.9% $1,000,000 2012/13 $ 848,843 10.0% 2013/14 $ 928,003 9.3% $800,000 2014/15 $ 1,090,952 17.6% 2015/16 $ 1,227,324 12.5% $600,000 2016/17* $ 1,280,000 4.3% $400,000 2017/18* $ 1,338,000 4.5% *Projected $200,000 $0 • 12.9% Average Annual Increase. 44  General Fund Expenditures FY 2018 Type Budget Charges & Services Capital Outlays Personal Services $ 19,273,848 14.6% 0.1% Interfund Employee Benefits $ 9,039,106 Transfers Supplies & Materials $ 1,085,020 Supplies & Materials 16.4% Charges & Services $ 6,209,364 2.5% Capital Outlays $ 66,240 Interfund Transfers $ 6,980,274 Total Expenditures $ 42,653,852 Employee Benefits 21.2% Personal Services 45.2% 45  General Fund Expenditures FY 2016-2017 FY 2017-2018 FY 2018 vs FY 2017 Budget Budget Amount % Personal Services $ 18,797,396 $ 19,273,848 $ 476,452 2.5% Employee Benefits $ 8,360,416 $ 9,039,106 $ 678,690 8.1% Supplies & Materials $ 1,168,175 $ 1,085,020 $ (83,155) -7.1% Charges & Services $ 6,224,084 $ 6,209,364 $ (14,720) -0.2% Interfund Transfers $ 4,028,562 $ 3,873,973 $ (154,589) -3.8% Total Operating $ 38,578,633 $ 39,481,311 $ 902,678 2.3% Capital Outlays $ 138,283 $ 66,240 $ (72,043) -52.1% Interfund Transfers-Capital $ 3,000,000 $ 3,106,301 $ 106,301 3.5% Total Capital & Interfund $ 3,138,283 $ 3,172,541 $ 34,258 1.1% Total Expenditures $ 41,716,916 $ 42,653,852 $ 936,936 2.2% 46  General Fund Expenditures by Type Capital Outlays 0.2% Interfund Charges & Transfers Services 0.1% 14.6% Supplies & Materials 2.5% Personnel & Employee Benefits 66.4% 47  General Fund Expenditures by Function Public Works Transfer to Capital 16% Projects Fund 7% Fire 23% Other Programs 1% General Government 19% Police 34% 48  Motor Fuel Tax Fund Motor Fuel Tax $1,600,000 Fiscal % Trend line: Flat Year Amount Change $1,400,000 2010/11 $ 1,428,610 0.2% 2011/12 $ 1,327,500 -7.1% $1,200,000 2012/13 $ 1,260,109 -5.1% 2013/14 $ 1,305,837 3.6% $1,000,000 2014/15 $ 1,296,280 -0.7% 2015/16 $ 1,352,969 4.4% $800,000 2016/17* $ 1,354,000 0.1% 2017/18* $ 1,362,000 0.6% *Projected $600,000 $400,000 $200,000 • -0.6% Average Annual Decrease. 49  Water Fund Water Billed Usage 2,500,000 Fiscal Billed % Year Usage Change 2,250,000 2012/13 2,270,187 7.27% 2,000,000 2013/14 2,075,741 -8.57% 2014/15 1,943,666 -6.36% 1,750,000 2015/16 1,894,718 -2.52% 1,500,000 2016/17* 1,901,528 0.36% 2017/18* 1,877,758 -1.25% 1,250,000 *Projected 1,000,000 750,000 500,000 250,000 - • -1.9% Average Annual Decrease. 50  Water Fund Water Service Charges Fiscal Water Usage Service Fee Total % Year Charges Charges Water Charges Change $14,000,000 2012/13 $ 8,211,090 $ 473,973 $ 8,685,063 46.6% 2013/14 $ 8,403,327 $ 1,715,025 $ 10,118,352 16.5% $12,000,000 2014/15 $ 9,178,051 $ 2,644,221 $ 11,822,272 16.8% $10,000,000 2015/16 $ 9,626,024 $ 3,344,883 $ 12,970,907 9.7% 2016/17* $ 9,604,972 $ 3,362,824 $ 12,967,796 0.0% $8,000,000 2017/18* $ 9,492,680 $ 3,380,569 $ 12,873,249 -0.7% *Projected $6,000,000 $4,000,000 $2,000,000 $- Water Usage Service Fee 51  Sanitary Sewer Fund Sewer Service Charges Sanitary Sewer % $4,800,000 Fiscal Year Charges Change 2010/11 $ 4,229,943 1.3% $4,300,000 2011/12 $ 3,743,799 -11.5% 2012/13 $ 4,424,895 18.2% 2013/14 $ 3,959,174 -10.5% $3,800,000 2014/15 $ 3,761,334 -5.0% 2015/16 $ 3,660,308 -2.7% $3,300,000 2016/17* $ 2,414,529 N/A 2017/18* $ 2,384,346 -1.3% *Projected $2,800,000 $2,300,000 $1,800,000 52  Storm Sewer Fund Stormwater Management Service Charges $1,500,000 Stormwater % Fiscal Year Mgmt Fees Change $1,250,000 2010/11 $ - N/A 2011/12 $ - N/A $1,000,000 2012/13 $ - N/A 2013/14 $ - N/A 2014/15 $ - N/A $750,000 2015/16 $ - N/A 2016/17* $ 1,238,760 N/A $500,000 2017/18* $ 1,223,275 -1.3% *Projected $250,000 $0 53 City of Wheaton 2017/2018 Budget Questions? 54