TO: Mayor Bien-Willner and Town Council Members
FROM: Jill B. Keimach, Town Manager
Douglas Allen, CPA
DATE: June 13, 2019
DEPARTMENT: Finance
Staff Contact Douglas Allen, CFO
End
AGENDA TITLE:
Title
Adoption of Resolution Number 2019-12; Adopting the FY2019/20 Final Budget, 2020-2024 Capital Improvement Plan and the 2020 Strategic Revenue Plan.
Body
RECOMMENDATION:
Recommendation
Adopt Resolution Number 2019-12 adopting the FY2019/20 Final Budget and FY2020-24 Capital Improvement Plan and the 2020 Strategic Revenue Plan.
Background
SUMMARY STATEMENT:
One of the most important duties of the Town Council is to adopt an annual budget for the Town. The budget process provides the Council with the opportunity to match the needs of the Town and available resources with the intent of gaining the maximum return on each dollar.
The Tentative Budget was published in the Scottsdale Republic on May 31 and June 6, 2019. Next steps are for Council to hold a public hearing and adopt a Final Budget.
Adjustments can be made after the public hearing and before adopting the Final Budget. After public comments, the Council can modify the tentative budget categorically, but cannot increase the maximum spending amounts. Council then adopts the final budget referred to as the “Adopted” budget.
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 2019/20.
This Budget contains funding for all department’s operating budgets, payment of debt obligations, contingencies and the capital improvement program while financial forecasts continue to show the Town maintaining a financially sustainable structure.
Included in the Tentative Budget is budget authority available should Council direct staff to initiate financial strategies to fully fund the PSPRS unfunded liability in 2020. These strategies comply with the annual expenditure limitation and not impact Town operations or capital improvement program. Council action is required before any of the financial strategies are initiated and any unnecessary budget authority will be reduced. Further information will be available in the 2nd Quarter of FY2019/20.
Two other documents included in the Final Budget resolution are the Capital Improvement Plan 2020-2024 and the first annual Strategic Revenue Plan 2020.
Changes to the Strategic Revenue Plan can be found on pages 7 and 48.
(The CIP will be available by Tuesday June 11, 2019.)
June 11, 2019 update
Below is the Schedule of Changes to the CIP since the May 9 Council Meeting when the CIP was discussed.
• Reduced amount for Lincoln Dr sidewalks by $40k. Some planned expenditures were covered in FY19.
• Reduced amount for Lincoln Dr & Tatum Blvd Improvements - VSC by $35k based on recent design proposal.
• Reduced amount for Intersection Improvements: 56th St & Doubletree Ranch Rd by $5k based on comparable design proposals received.
• Reduced amount for Lincoln Median improvements by $100k to keep within the $6.1M CIP expenditure cap.
• Increased amount for Town Hall Remodel by $100k due to recent bids received.
• Increased amount for SRP Denton Ln Underground Conversion by $10k to offset reduction in residents’ participation.
• Increased amount for Public Works / Engineering Remodel by $40k based on recent design proposal.
• Increased amount for Lincoln Dr & Invergordon Rd Intersection Realignment by $30k due to recent cost estimate received.
ATTACHMENT(S):
01 Resolution 2019-12 Adopting the Final Budget for FY2019/20
02 Tentative Budget 2020 Summary
03 Slides - Tentative Budget 2020 Overview - Updated June 11
04 Capital Improvement Plan 2020-2024 - Updated June 11
05 Strategic Revenue Plan FY2020