TO: Mayor Collins and Town Council Members
FROM: Kevin Burke, Town Manager
Douglas W. Allen, CPA
DATE: 05/24/18
DEPARTMENT: Finance
Staff Contact Douglas Allen, CFO, 480-948-7411
End
AGENDA TITLE:
Title
Adoption of Resolution 2018-15 Approving the FY2018/19 Tentative Budget
Body
Town Value(s):
☐ Primarily one-acre, residential community
☒ Limited government
☐ Creating a sense of community
☐ Partnerships with existing schools and resorts to enhance recreational opportunities
☐ Improving aesthetics/creating a brand
☐ Preserving natural open space
.
Council Goals or Statutory Requirements:
RECOMMENDATION:
Recommendation
Adoption of resolution number 2018-15 approving the FY2018/19 Tentative Budget that sets the maximum appropriation for the fiscal year at $55,394,500.
Background
SUMMARY STATEMENT:
The Tentative Budget is the result of all departments, management and Town Council’s collaborative efforts to set and communicate the Town’s financial plan, policies and operational guide for the upcoming fiscal year 2018/19. The tentative budget includes funding for all department’s operating budgets, payment of debt obligations (including PSPRS), contingencies, and the capital improvement program while forecasts continue to show maintaining a financially sustainable structure.
The next steps are to post the Tentative Budget, welcome public comments and feedback, hold a public hearing, and adopt a final budget for 2018/19 on June 14th. Adjustments can be made within the budget, but cannot exceed the budget cap.
BUDGETARY IMPACT:
There are four (4) critical additional items being recommended in the Tentative Budget that were not discussed in the Council work session.
This includes additional HURF revenue and 3 CIP projects from 2018 that will require budget authority carried forward to 2019 in order be completed. None of these adjustments will exceed the expenditure limitation or require addition Town money. The four recommended adjustments include:
1) We received estimates for a one-time HURF distribution of $15,901. This will not increase spending but reduces the use of General Fund resources in this program;
2) Carryforward 2018 IT project for fiber connections: $150,000;
3) Carryforward 2018 IT GIS implementation for town-wide services: $88,324; and
4) Carryforward 2018 Police project for a CAD enterprise upgrade: $221,000 (Council a contract for this service).
Highlights (77%) of the $55,394,500 Tentative Budget include:
Police Department $8,966,067 17%
New CIP 6,748,987 12%
Non-Town funded CIP 6,263,176 11% (not town $)
Prior years’ CIP 4,177,400 8% (not new $)
PSPRS payments 6,000,000 11% (reduces debt)
Streets and pavement 3,125,754 6%
Fire services fund 3,156,000 6%
Wastewater services fund 2,191,958 4%
Scheduled bond repayments 1,257,563 2%
ATTACHMENT(S):
PV Official State Budget Forms 2019 [Official forms for AZ towns]
PV Tentative Budget Summary 2019 [Informal Town forms]
Resolution 2018-15