Posts tagged “budget workshops

Final FY19 budget workshop focuses on details

By Colin Killian, Public Communications Manager

The College Station City Council had its final workshop about the proposed FY19 city budget on Tuesday at the CSU Meeting and Training Facility. The 3-hour session covered special revenue funds, enterprise funds, internal service funds, hotel tax fund, and outside agency funding.

Monday’s initial workshop covered the city’s general fund and capital projects.

The Fiscal Year 2019 proposed net budget for the City of College Station totals $360.7 million for all funds, which includes $252.3 million for operations and maintenance and $108.4 million for capital projects.

Proposed FY19 Budget Document

Here’s the PowerPoint presentation:

Outside Agency Funding

The city helps fund select outside local agencies through the General Fund, Hotel Tax Fund, Community Development Fund, and Solid Waste Fund.

  • General Fund: Outside agency funding from the General Fund totals $1.45 million. Funded organizations are the Brazos Valley Economic Development Corporation ($350,000), Arts Council ($35,000 for operations), Noon Lions Club ($15,000 for 4th of July celebration), Aggieland Humane Society ($273,196), Brazos County Health District ($395,065), and the Brazos Central Appraisal District ($383,420).
  • Hotel Tax Fund: Outside agencies get abut $3.44 million from the Hotel Tax Fund: $2 million for the convention & visitors bureau for operational, sales/marketing, promotional, servicing and business development elements; $588,950 for the CVB Grant Program; $114,376 for Easterwood Airport advertising; $290,000 for Arts Council operations and maintenance; $362,476 for Arts Council affiliate funding; $35,500 for public art support through the Arts Council; $25,000 to the Veterans Memorial; and $25,000 for the Bryan/College Station Chamber of Commerce.
  • Community Development Fund: Outside agency funding from the Community Development Fund totals $228,000. Funded agencies are Big Brothers Big Sisters ($29,216), Brazos Maternal & Child Health Clinic ($30,000), Brazos Valley Food Bank ($21,247), Catholic Charities ($5,000), Family Promise ($30,000), Brazos Valley Rehabilitation Clinic ($24,753), Mental Health Mental Retardation Authority ($30,000), Project Unity ($30,000), Twin City Mission ($27,000), and Voices for Children ($30,000).
  • Solid Waste Fund: Keep Brazos Beautiful receives $49,190 from the Solid Waste Fund.

Special Revenue Funds 

  • Roadway Maintenance Fee: The Roadway Maintenance Fee is paid monthly by residents and businesses to help fix potholes and properly maintain streets. Preventive maintenance also reduces the need for costly road reconstruction. Revenues and expenditures for FY19 are projected to be $4.89 million.
  • Water Impact Fee: The Water Impact Fee is assessed for permits issued for new water connections to fund existing and future capital improvement projects that serve new developments. FY19 revenues are expected to be $301,933, which will be transferred to the Water Fund for the debt service payment for projects related to Well No. 9.
  • Wastewater Impact Fee: The Wastewater Impact Fee is assessed for permits issued for new sewer connections. FY19 revenues are projected to be $1.81 million. A transfer of $328,881 to the Wastewater Fund is proposed for debt service payment for the Lick Creek Wastewater Treatment Plant expansion.
  • Roadway Impact Fee: The Roadway Impact Fee funds existing and future capital improvement projects that serve new developments. Four separate funds were created for the four service territories where the fee is collected. Fees collected in a service area must be used for capital projects there. FY19 revenues are expected to be $683,000, which will be used for the Capstone/Barron Realignment project, and the rehabilitation of Fitch Parkway from Rock Prairie Road to Tonkaway Lake.
  • Community Development: The Community Development Fund is used to account for grants received from the U. S. Department of Housing and Urban Development by the city for use in revitalizing low- and moderate-income areas and addressing the needs of low and moderate income citizens. Grant amounts in FY19 include $1.73 million in Community Development Block Grant funds and $783,993 in HOME Investment Partnership Grant funds.

Enterprise Funds

  • Electric: No electric rate increase is proposed. FY19 revenue is estimated to be $105.1 million with a $76.1 million operating budget. Planned electric capital projects are expected to be about $20.4 million.
  • Water: FY19 revenue is estimated to be almost $17 million with an $8.5 million operating budget. Planned water capital projects are expected to be about $17 million.
  • Wastewater: A 5 percent wastewater rate increase is proposed to support significant capital projects. The FY19 operating budget is $7.3 million with revenues estimated at $19.2 million. Planned wastewater capital projects are expected to be about $29.3 million.
  • Solid Waste: The Solid Waste Fund accounts for collecting and disposing of residential and commercial refuse. FY19 revenues are estimated to be $10.9 million with an operating budget of $8.7 million.
  • Northgate Parking: The Northgate Parking Fund accounts for revenues and expenditures from Northgate parking facilities. FY19 revenue is estimated to be $1.5 million with an operating budget of about $1.3 million.

Property Tax Rate

The council voted unanimously to conduct public hearings on the proposed tax rate on Sept. 5 (7 p.m.) and Sept. 13 (6 p.m.) at College Station City Hall, along with adoption of the tax rate on Sept. 27.

The FY19 proposed budget includes a tax rate of 50.5841 cents per $100 assessed valuation, which includes a 0.8341-cent increase on the General Fund side to offset a five percent homestead exemption approved by the city council earlier this year. The proposed operations and maintenance side of the tax rate is unchanged at 28.5502, while the debt service side stays at 22.0339.

Under the new rate, the owner of a $200,000 home would pay about $84 per month. The average tax rate for Texas cities with populations between 75,000-150,000 is about 59 cents. The City of Bryan has a tax rate of almost 63 cents.

The effective tax rate for FY19 — the rate that will raise the same revenues as last year on the same properties —  is 47.8968 cents. The rollback tax rate of 52.2313 cents is the highest that can be adopted before citizens can initiate a petition to lower it back to the rollback rate.

Hotel Tax Fund

The Hotel Tax allows the city to collect up to its existing tax rate of 7 percent on rental income of hotels and motels. Projected Hotel Tax Fund revenues are about $5.7 million. About $6.73 million in hotel tax funds will cover the new synthetic fields at Veterans Park, Southeast Park development, sports tournament promotions, qualifying parks programs and events, and the preferred access agreement payment to Texas A&M.

Insurance Funds

The City of College Station is partially self-insured for property & casualty and general liability, workers’ compensation, and unemployment compensation.

  • Property & Casualty: Total proposed revenues for the Property & Casualty Insurance Fund are about $1 million with $1.3 million in expenses.
  • Employee Benefits: Proposed income in the Employee Benefits Fund are $13.5 million, which includes a 5 percent increase in city-paid employee health insurance premiums. Other proposed expenditures include $465,689 for the Employee Health Clinic and about $1.1 million for the Other Post-Employment Benefits (OPEB) Trust.
  • Workers’ Compensation: FY19 proposed revenues are $590,000, and proposed expenditures are $537,651.
  • Unemployment Insurance: FY19 proposed revenues (investment earnings only) are $3,500 with claims costs of $60,000. Revenues typically are collected as a percentage of each employee’s salary, but in FY17 the decision was made to forego collection due to increased working capital in recent years. That decision was extended to FY18 and FY19.

Other Internal Services Funds

  • Equipment Replacement: In FY19, $7.4 million is proposed for the replacement of various equipment, including $6.6 million for city vehicles.
  • Fleet Maintenance: FY19 estimated revenues are projected at $2.5 million with expenses of $2.4 million.
  • Utility Customer Service: Revenues and expenditures of $3.2 million are proposed for FY19.

What’s Ahead?

A public hearing on the proposed tax rate is scheduled for 7 p.m. on Sept. 5 at city hall. A public hearing on the budget and tax rate will be at 6 p.m. on Sept. 13 at city hall. Budget and tax rate adoption is set for Sept. 27.

 


About the Blogger

Colin Killian (@ColinKillian) has been with the City of College Station since 2010 after serving 23 years as associate media relations director for the Texas A&M Athletics Department. Killian has also been a reporter and editor for the Corpus Christi Caller-Times and Lewisville News. A native of Hobbs, N.M., he graduated from Texas Tech with a bachelor’s degree in journalism/political science.



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Council wraps up final day of budget workshops

By Colin Killian, Public Communications Manager

The College Station City Council had its final workshop about the proposed FY18 city budget on Tuesday at the CSU Meeting and Training Facility. The 3-hour session covered special revenue funds, enterprise funds, internal service funds, hotel tax fund, and outside agency funding.

Monday’s initial workshop covered the city’s general fund, capital projects, and the hotel tax fund.

The Fiscal Year 2018 proposed net budget for the City of College Station totals $365.5 million for all funds, which includes $244.5 million for operations and maintenance and $121 million for capital projects.

Proposed FY18 Budget Document

Here’s the PowerPoint presentation:

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Council reviews proposed budget during workshops

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By Colin Killian, Public Communications Manager

The College Station City Council had its final workshop about the proposed FY17 city budget on Tuesday at the CSU Meeting and Training Facility. The session primarily covered the city’s funding of outside agencies and the hotel tax fund. 

The Fiscal Year 2017 proposed net budget for the City of College Station totals $341 million for all funds, which includes $217.47 million for operations and maintenance and $108 million for capital projects.

Here’s the PowerPoint presentation:

First, my apologies for not posting a blog from Monday’s initial budget workshop. I had to be out-of-town. Before we go into the details of today’s workshop, I’ll briefly recap Monday’s discussion of the general fund, tax rate, and road maintenance fee.

Monday’s Recap

The General Fund accounts for city activities typically considered governmental functions, including Police and Fire, Public Works, Parks and Recreation, and Planning and Development Services. Also included are the primary support services for these areas such as Fiscal Services, Information Technology, and administrative services in General Government.

Proposed FY17 General Fund revenues are $78.1 million, an 11.8 percent increase.

The total net taxable certified value of property in the City of College Station for 2016 is about $7.99 billion, an increase of 11.9 percent from 2015. The increase in value is due in part to $284 million in new construction and development being added to the tax rolls. Existing property values increased by 7.9 percent over 2015.

The FY17 Proposed Budget includes a tax rate of 47.25 cents per $100 assessed valuation, which includes 27.7161 cents for operations and maintenance and 19.5339 cents for debt service. That marks a two-cent increase from the FY16 rate of 45.25. For the owner of a $175,000 home, the new rate would raise the monthly tax bill by less than $3.

Based on the final property value numbers received – the effective tax rate for FY17 is 42.4282 cents. The effective tax rate is the rate that will raise the same revenues as last year on the same properties. The rollback tax rate of 47.2820 cents is the highest that can be adopted before citizens can initiate a petition to lower it back to the rollback rate.

The average tax rate for Texas cities with populations from 75,000-150,000 is about 58 cents. The 10 fastest-growing non-suburbs – excluding College Station – average about 59 cents. The City of Bryan has a tax rate of 62.9 cents, along with a monthly street improvement fee.

The budget also includes a proposed $10 roadway maintenance fee for residential utility customers. The fee would generate about $4 million each year for street and road maintenance, which was cited as a top priority in a recent survey of city residents.   

On Tuesday, the council focused on outside agency funding and the hotel tax fund.

Outside Agency Funding

Total proposed FY16 outside agency funding is $4.46 million. Requested from the General Fund is $1.25 million for these agencies:

  • Research Valley Partnership: $350,000 (operations).
  • Arts Council of Brazos Valley: $35,000 (operations).
  • Noon Lions Club: $15,000 (Fourth of July celebration).
  • Aggieland Humane Society: $235,000 (operations).
  • Brazos County Health District: $326,500 (operations).
  • Brazos Central Appraisal District: $288,661 (operations).

Requested from the Hotel Occupancy Tax Fund is $3.16 million:

  • B-CS Convention & Visitors Bureau: $2,122,616 (operations).
  • B-CS CVB Grant Program: $400,000.
  • Easterwood Airport Advertising: $102,690.
  • Arts Council of Brazos Valley: $91,000 (operations)
  • Arts Council of Brazos Valley: $348,400 (affiliate funding/marketing)
  • Arts Council of Brazos Valley: $43,500 (marketing/public support)
  • Veterans Memorial: $25,000 (development of Civil War memorial).
  • B-CS Chamber of Commerce: $25,000.

Keep Brazos Beautiful requested $51,190 from the Sanitation Fund.

Hotel Tax Fund     

The hotel tax allows the city to collect up to its current rate of 7 percent on rental income of hotels and motels in the city limits.Hotel tax funds can only be spent on specific items that promote tourism.

The FY17 budgeted hotel tax revenue is $5.4 million, a 2.5 percent increase from FY16. Hotel tax revenues are expected to increase due to a solid tourism economy and the addition of several hotels. Total city operating expenditures in the Hotel Tax Fund are increased by 36.4 percent to about $7.4 million, which includes two additional synthetic fields at Veterans Park and provides improvements to existing fields.

About $1.7 million is proposed for the initial phase of the Southeast Park project, and $690,000 is budgeted for the fourth preferred access payment to the Convention & Visitors Bureau for the use ofTexas A&M’s athletic facilities.

Court and Police Seizure Funds

The College Station Municipal Court collects a number of special fees authorized by the state legislature. These fees are the court technology fee, court security fee, efficiency time payment fee, juvenile case manager fee and the truancy prevention fee. Other fees collected specifically for child safety are collected in the General Fund and are used to pay for school crossing guards. These fees are paid by those who pay tickets at College Station Municipal Court.

The Police Seizure Fund accounts for items received through the Police Department as a result of criminal investigations. These funds are used for one-time equipment and other purchases to assist in police activities. Police Seizure Fund revenues are estimated to be $20,401 in FY17 with proposed expenditures of $20,000.

Cemetery Fund

The Memorial Cemetery Fund is a special fund that accounts for two-thirds of the sales of cemetery lots and other revenues through the Memorial Cemetery, which includes the Aggie Field of Honor. For FY17, proposed revenue earnings are $257,004.

Other Special Revenue Funds

  • Wolf Pen Creek TIF Fund: Accounts for ad valorem tax and other revenues that are accrued to the WPC Tax Increment Finance District. The fund also accounts for expenditures on projects that take place in the WPC District.
    • Fund Balance – $1.27 million
    • Expenditures – $5,000
  • West Medical District TIRZ No. 18: Established in December 2012, the West Medical District Tax Increment Refinance Zone encompasses the area near the State Highway 6-Rock Prairie Road Bridge and includes The Med and Scott & White Hospital. Development in this portion of the district is expected to meet or exceed $117 million over a 20-year period, which would yield about $8.4 million in tax proceeds. The funds will be used to support the required improvement projects.
    • Revenue: $230,135 – tax revenue and interest earnings
    • Expenditures: $0
  • East Medical District  TIRZ No. 19: Established in December 2012, the East Medical District TIRZ encompasses the area east of the State Highway 6-Rock Prairie Road Bridge and includes most of the district’s undeveloped properties. Development projects include Rock Prairie Road East, Barron Road, Lakeway Drive, potable water, fire flow water supply, greenway trails, sanitary sewer service, and other public works. New development is expected to meet or exceed $283 million over a 20-year period, which would yield about $30.8 million in tax proceeds. The funds will be used to fund the required improvement projects.
    • Revenue: $2,971 – tax revenue and interest earnings
    • Expenditures: $0
  • Public, Education and Government Access Channel Fee Fund: PEG funds are collected in an amount equal to one percent of Suddenlink Media’s gross revenues, per a new state franchise agreement that replaced a 10-year-old local franchise agreement. These funds, collected quarterly, may be used for educational and governmental broadcasting on Channel 19.
    • Revenue – $201,000 – cable franchise fees and interest earnings
    • Expenditures: $143,640
  • R.E. Meyer Estate Restricted Gift Fund: When Robert Earl “Bob” Meyer passed away in October 2013, he generously bequeathed 25 percent of his estate to the College Station Parks and Recreation Department with the gift restricted for the benefit of senior adult programs.

Electric Fund

The electric utility provides for the construction of new facilities needed to extend electrical service to new consumers, performs repairs and maintenance to the electric system, and installs and maintains street and traffic lights. Electric utility employees maintain over 20 miles of electric transmission lines, seven electrical substations, and more than 450 miles of overhead and underground electric distribution lines.

A one percent decrease in electric rates is proposed in the FY17 budget. Revenues of $102 million are projected with operating expenditures of $73.4 million and non-operating expenditures of about $31 million, which includes $16.8 million in capital projects.

Water Fund

As a city enterprise, the full cost of service for water production, transmission and distribution is recovered by charging customers for consumption on a per unit basis. 

No water rate increase is included in the FY17 budget. Revenues of $15.8 million are projected with operating expenditures of $8.2 million, non-operating expenditures of about $9.2 million, and $8.7 million in capital projects.

Wastewater Fund

Wastewater services are provided as an enterprise function with service-related fees paying for the cost of service. 

An eight percent increase in wastewater rates is included in the FY16 budget. Revenues of $16.7 million are projected with operating expenditures of $7.1 million, non-operating expenditures of about $13.2 million, and $14.4 million in capital projects.

Sanitation Fund

The Sanitation Division of Public Works serves the city’s solid waste collection needs, including curbside recycling, brush and grass clipping collection, street sweeping, removal of waste and the provision of residential containers. Commercial services are also provided to local businesses.

No sanitation rate increase is included in the FY17 budget. Revenues of $9.6 million are projected with operating expenditures of $9 million and non-operating expenditures of about $867,000 million.

Drainage Fund

Like all the city’s enterprise funds, the goal of the drainage fund is to provide a quality service at a reasonable cost. No rate increase is included in the FY17 budget, which projects expenditures of about $1.8 million.

Northgate Parking Fund

The Northgate Parking Fund accounts for parking operations in the Northgate District, including the surface parking lot on Patricia Street, the College Main Parking Garage and on-street parking. Revenues of $1.4 million are projected with operating expenditures of $1.3 million.

Internal Service Funds

The City of College Station is partially self-insured for property, casualty and general liability, workers compensation and unemployment compensation. The city became self-funded for employee and dependent health care in January 2004. The current program is administered by Blue Cross/Blue Shield. These insurance funds are accounted for as Internal Service Funds.

  • Property & Casualty Insurance: $1.12 million in expenditures and transfers.
  • Employee Benefits Fund: $12.7 million in expenditures and transfers.
  • Workers Compensation Insurance: $678,000 in expenditures and transfers.
  • Unemployment Insurance Fund: $50,000 in expenditures.

Equipment Replacement Fund

The Equipment Replacement Fund is an internal service fund that provides equipment and fleet replacements. The FY17 budget projects about $6.2 million in expenditures and revenues of $6.6 million.

Fleet Maintenance Fund

The Fleet Maintenance Fund is an Internal Service Fund that receives revenue based on expected costs of departmental transportation and uses those funds to pay for maintaining the city’s fleet of vehicles. The FY17 budget projects about $2.1 million in expenditures and revenues of $2.2 million.

Utility Customer Service

The Utility Customer Service Fund is an Internal Service Fund that accounts for expenses associated with reading electric and water meters, completing connect and disconnect requests, and providing customer service activities including billing and collections for electric, water, wastewater, sanitation, and drainage utilities.

The FY17 budget projects about $2.8 million in expenditures and revenues of $2.65 million.

What’s Ahead?

A public hearing on the proposed tax rate of 47.25 is scheduled for 7 p.m. on August 31 at city hall. A public hearing on the budget and tax rate will be at 7 p.m. on Sept. 8 at city hall. Budget adoption is set for Sept. 22.


Colin KillianAbout the Author

Colin Killian (@ColinKillian)has been with the City of College Station since 2010. He previously served 23 years as associate media relations director for the Texas A&M Athletics Department. Killian has also done extensive volunteer work for the U.S. Olympic Committee and worked as a reporter and editor for the Corpus Christi Caller-Times and Lewisville News. A native of Hobbs, N.M., he graduated from Texas Tech with a bachelor’s degree in journalism/political science.


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Proposed FY16 Budget presented to city council

budget

By Colin Killian, Public Communications Manager

It’s no secret that College Station is one of the country’s fastest growing small cities. Our population has increased about 36 percent in the last decade.

Over 103,000 people now call College Station home — and more are on the way. Conservative estimates say we could add another 40,000 residents in the next 10 years, with the student populations at Texas A&M and Blinn College continuing to expand.

With that rapid growth comes a demand for adequate infrastructure and core services related to public safety and parks.

City staff has spent months studying the city’s immediate and long-range needs while consulting with residents and other stakeholder groups. The result is what we consider a responsible FY2016 budget that will help us keep pace with our growth and meet the increased demand for city services we expect in the coming years.

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Notes from budget workshop No. 3 (Wednesday)

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The College Station City Council had the last of three workshops regarding the proposed FY15 city budget Wednesday afternoon at the CSU Meeting and Training Facility.

Monday’s session covered general budget issues, the general fund and general government capital projects. Tuesday’s session focused on utility funds and the Northgate Parking Fund.

Wednesday’s session covered outside agency funding, and governmental and special funds. The meeting was called to order at 3:10 p.m. and was adjourned at 6:14 p.m.

Outside Agency Funding

The city funds several outside agencies that provide services for citizens. The amount of funding for each agency depends on council direction and the availability of funds. Agencies have been funded from various funds, including the General Fund, Community Development Fund, Hotel Tax Fund, and Sanitation Fund. Total proposed FY15 Outside Agency funding by the City of College Station is $3.56 million.

  • General Fund
    • Research Valley Partnership: $350,000
    • Arts Council of Brazos Valley (O&M): $50,000
    • Noon Lions Club: $10,000
    • Aggieland Humane Society: $205,000
    • Brazos County Health District: $326,500
    • Brazos County Appraisal District: $262,507

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Notes from budget workshop No. 2 (Tuesday)

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The College Station City Council had the second of three workshops regarding the proposed FY15 city budget Tuesday afternoon at the CSU Meeting and Training Facility.

Click here to review the notes from Monday’s meeting.

Tuesday’s session primarily covered the city’s enterprise funds, which account for the acquisition, operation and maintenance of government facilities and services that are self-supported by user fees. The meeting was called to order at 3:12 p.m. and was adjourned at 5:30 p.m.

Fire Department Pay

To help offset costs for a three percent pay increase in the Fire Department, the council discussed a 10 percent increase in ambulance transport rates along with possibly not funding two requested personnel additions — one safety officer and one firefighter. One new safety officer and four new firefighters would remain in the budget.

Electric Fund (more…)