Title
Resolution to Adopt Ann Arbor City Budget and Related Property Tax Millage Rates for Fiscal Year 2014 (7 Votes Required)
Memorandum
Attached for your review and action is the proposed fiscal year FY 2014 City Budget that totals $347 million and is in compliance with the City Charter. This budget resolution reflects the recommended budget delivered to you on April 15, 2013.
General Fund Activities
This recommended budget holds recurring expenditure levels in line with the projected revenue levels.
|
FY 2014 |
Recurring Revenues |
$ 82,632,798 |
Non-recurring Revenues (Use of Fund Balance) |
260,514 |
|
$82,893,312 |
|
|
Recurring Expenditures |
$ 81,287,363 |
Non-recurring Expenditures |
1,605,949 |
Total Expenditures |
$ 82,893,312 |
General Fund recurring expenditures increased by $3,390,421 (+4.4%) compared to FY 2013, and recurring revenues increased by $3,439,686 (+4.4%). This includes Golf revenue of $1,303,000 and expenditures of $1,436,902. Below is a summary of non-recurring expenditures:
General Fund Non-recurring Expenditures |
FY 2014 |
Attorney (succession plan) |
$ 18,449 |
Financial Services (succession plan/process improvements) |
135,000 |
Hydropower (regulatory and capital improvements) |
307,500 |
Facilities (capital projects) |
875,000 |
Systems Planning (State street corridor study) |
150,000 |
Building Settlement Funding |
100,000 |
Non-Departmental (ICMA citizen survey) |
20,000 |
Total General Fund Non-recurring Expenditures |
$ 1,605,949 |
FTEs
The City's FTEs are proposed to increase from 685 to 693 in FY 2014 (excluding transfers between Service Areas):
· 4 FTE increase in Fire Services
· No FTE change in Police Services
· 1.3 FTE decrease in Public Services
· 3 FTE increase in Community Services
· No FTE change in Fifteenth District Court
· 0.2 FTE decrease in Attorney
· 0.5 FTE increase in City Administrator
· 1.67 FTE increase in Financial and Administrative Services
Millage Rates
The following millages are the maximum allowable levy after the Headlee rollback multiplier is applied (for FY 2014 the Headlee rollback multiplier is anticipated to be 1.00):
|
PROPOSED FY 2014 |
ACTUAL FY 2013 |
DIFFERENCE |
GENERAL OPERATING |
6.1682 |
6.1682 |
0.0000 |
EMPLOYEE BENEFITS |
2.0560 |
2.0560 |
0.0000 |
REFUSE COLLECTION |
2.4670 |
2.4670 |
0.0000 |
AATA |
2.0560 |
2.0560 |
0.0000 |
STREET RECONSTRUCTION |
2.1250 |
2.1250 |
0.0000 |
PARK MAINTENANCE & CAPITAL IMPROVEMENTS |
1.0969 |
1.0969 |
0.0000 |
OPEN SPACE & PARKLAND PRESERVATION |
0.4779 |
0.4779 |
0.0000 |
DEBT SERVICE |
0.0000 |
0.1250 |
(0.1250) |
TOTAL |
16.4470 |
16.5720 |
(0.1250) |
Staff
Prepared by: Tom Crawford, Chief Financial Officer
Approved by: Steve Powers, City Administrator
Body
Whereas, City Council has reviewed the City Administrator's proposed budget for FY 2014 for the City of Ann Arbor; and
Whereas, A public hearing and various public meetings have been held to obtain citizen input on the proposed budget; and
RESOLVED, That Council adopts the General Fund Allocations as listed in the FY 2014 Consolidated Plan, to be funded out of the Community Development Budget;
RESOLVED, That the unexpended grant entitlement for the Community Development Block Grant Fund be re-appropriated at the end of the fiscal year until such time as all grant funds have been expended;
RESOLVED, That any Community Development Program Income be appropriated upon receipt of the funds for the purpose of Community Development Project Activities;
RESOLVED, That any contributions to the Special Assistance Fund and the Affordable Housing fund in excess of the budgeted amount, shall be appropriated at the time of receipt and for the purpose of the Ann Arbor Assistance Fund and the Affordable Housing Fund, respectively;
RESOLVED, That the proposed list of Capital Improvement projects in the amount of $174,958,747 are approved; and that $34,950,180 be appropriated in FY 2014 for these or similar projects, within the respective funds, as determined by the Service Area, and may be carried forward without regard to fiscal year;
RESOLVED, That Art in Public Places Fund budget be appropriated without regard to fiscal year;
RESOLVED, That the Technology Improvement projects in the amount of $1,228,209 be appropriated without regard to fiscal year;
RESOLVED, That a total 693 full-time equivalent positions be adopted in the FY 2014 budget;
RESOLVED, That the City Administrator be authorized to transfer funds between service units within the designated service areas or from Non-Departmental within the same fund;
RESOLVED, That any funds contributed to the Parks Memorials and Contributions fund in excess of the budgeted amount shall be appropriated at the time of receipt for the purpose of that fund without regard to fiscal year;
RESOLVED, That the City Council approve the proposed FY 2014 Ann Arbor-Ypsilanti SmartZone LDFA budget, as a component unit of the City of Ann Arbor in Fiscal Year 2014 in a dedicated Fund containing $1,655,647 in revenues and $1,814,892 in expenditures;
RESOLVED, That the following appropriations constitute the General Fund budget for FY 2014;
REVENUES |
CITY ATTORNEY |
$ 150,000 |
CITY ADMINISTRATOR |
|
Clerk Services |
176,700 |
COMMUNITY SERVICES |
|
Planning & Development Services |
1,206,200 |
Planning |
256,000 |
Office of Community Development |
161,399 |
Parks and Recreation Services |
3,890,807 |
FINANCIAL SERVICES |
|
Financial and Budget Planning |
15,632,693 |
Treasury |
41,570,096 |
PUBLIC SERVICES |
|
Customer Service |
60,000 |
Field Operations |
90,900 |
Public Services Administration |
75,000 |
Water Treatment |
325,000 |
SAFETY SERVICES |
|
Police |
2,887,770 |
Fire |
895,506 |
DISTRICT COURT |
2,224,810 |
NON-DEPARTMENTAL |
13,549,807 |
TOTAL GENERAL FUND REVENUES |
$83,152,688 |
|
|
|
|
|
|
|
|
EXPENDITURES |
MAYOR AND CITY COUNCIL |
$375,169 |
CITY ATTORNEY |
1,919,226 |
CITY ADMINISTRATOR |
|
City Administrator |
571,492 |
Human Resources |
1,429,315 |
Clerk Services |
951,665 |
COMMUNITY SERVICES |
|
Planning & Development Services |
1,374,619 |
Planning |
979,874 |
Office of Community Development |
1,828,808 |
Parks and Recreation |
5,208,811 |
FINANCIAL SERVICES |
|
Accounting |
869,577 |
Assessor |
1,044,037 |
Financial and Budget Planning |
882,596 |
Procurement |
167,499 |
Treasury |
619,883 |
PUBLIC SERVICES |
|
Customer Services |
239,315 |
Field Operations |
4,267,678 |
Fleet & Facilities |
2,400,352 |
Public Services Administration |
191,523 |
Systems Planning |
232,886 |
Water Treatment Services |
489,218 |
SAFETY SERVICES |
|
Police |
24,475,751 |
Fire |
14,504,888 |
DISTRICT COURT |
4,379,290 |
NON-DEPARTMENTAL |
13,749,216 |
TOTAL GENERAL FUND EXPENDITURES |
$83,152,688 |
|
|
RESOLVED, That the following other funds revenue and expenditure appropriations are adopted for FY 2014 budget; and
REVENUES
Fund # |
Fund Name |
Amount |
0001 |
DDA/HOUSING FUND |
402,231 |
0002 |
ENERGY PROJECTS |
244,318 |
0003 |
DOWNTOWN DEVELOPMENT AUTHORITY |
5,859,811 |
0009 |
SMART ZONE LOCAL DEVELOPMENT FINANCING AUTHORITY |
1,814,892 |
0010 |
GENERAL |
83,152,688 |
0011 |
CENTRAL STORES |
1,422,570 |
0012 |
FLEET SERVICES |
7,842,881 |
0014 |
INFORMATION TECHNOLOGY |
7,713,010 |
0016 |
COMMUNITY TELEVISION NETWORK |
2,093,801 |
0021 |
MAJOR STREET |
6,948,813 |
0022 |
LOCAL STREET |
1,808,451 |
0023 |
COURT FACILITIES |
225,000 |
0024 |
OPEN SPACE & PARKLAND PRESERVATION |
2,415,495 |
0025 |
BANDEMER PROPERTY |
5,284 |
0026 |
CONSTRUCTION CODE FUND |
2,541,728 |
0027 |
DRUG ENFORCEMENT |
137,000 |
0028 |
FEDERAL EQUITABLE SHARING |
138,000 |
0033 |
DDA PARKING MAINTENANCE |
4,403,131 |
0034 |
PARKS MEMORIALS & CONTRIBUTIONS |
98,932 |
0035 |
GENERAL DEBT SERVICE |
9,123,422 |
0036 |
METRO EXPANSION |
349,908 |
0038 |
ANN ARBOR ASSISTANCE |
4,000 |
0042 |
WATER SUPPLY SYSTEM |
24,673,540 |
0043 |
SEWAGE DISPOSAL SYSTEM |
22,882,612 |
0046 |
MARKET |
188,207 |
0048 |
AIRPORT |
856,007 |
0049 |
PROJECT MANAGEMENT |
4,308,998 |
0052 |
VEBA TRUST |
12,269,026 |
0053 |
POLICE AND FIRE RELIEF |
7,000 |
0054 |
CEMETERY PERPETUAL CARE |
760 |
0055 |
ELIZABETH R DEAN TRUST |
55,062 |
0056 |
ART IN PUBLIC PLACES |
340,464 |
0057 |
RISK FUND |
27,599,946 |
0058 |
WHEELER CENTER |
423,643 |
0059 |
EMPLOYEES RETIREMENT SYSTEM |
34,844,628 |
0060 |
GENERAL DEBT /SPECIAL ASSESSMENTS |
175,035 |
0061 |
ALTERNATIVE TRANSPORTATION |
420,794 |
0062 |
STREET RECONSTRUCTION MILLAGE |
14,351,539 |
0063 |
DDA PARKING SYSTEM |
19,989,172 |
0064 |
MICHIGAN JUSTICE TRAINING |
50,800 |
0069 |
STORMWATER SEWER SYSTEM |
6,231,847 |
0070 |
AFFORDABLE HOUSING |
102,500 |
0071 |
PARK MAINTENANCE & CAPITAL IMPROVEMENTS |
5,203,836 |
0072 |
SOLID WASTE FUND |
14,409,048 |
0073 |
LOCAL FORFEITURE |
100 |
0082 |
STORMWATER BOND |
3,900,000 |
0083 |
SENIOR CENTER ENDOWMENT |
396 |
0088 |
SEWER BOND |
5,005,000 |
0089 |
WATER BOND |
10,011,794 |
00CP |
GENERAL CAPITAL FUND |
1,075,000 |
|
|
$348,132,120 |
EXPENDITURES
Fund # |
Fund Name |
Amount |
0001 |
DDA/HOUSING FUND |
302,000 |
0002 |
ENERGY PROJECTS |
244,318 |
0003 |
DOWNTOWN DEVELOPMENT AUTHORITY |
5,859,811 |
0009 |
SMART ZONE LOCAL DEVELOPMENT FINANCING AUTHORITY |
1,814,892 |
0010 |
GENERAL |
83,152,688 |
0011 |
CENTRAL STORES |
1,422,570 |
0012 |
FLEET SERVICES |
7,732,282 |
0014 |
INFORMATION TECHNOLOGY |
7,577,679 |
0016 |
COMMUNITY TELEVISION NETWORK |
2,093,801 |
0021 |
MAJOR STREET |
6,948,813 |
0022 |
LOCAL STREET |
1,808,451 |
0023 |
COURT FACILITIES |
225,000 |
0024 |
OPEN SPACE & PARKLAND PRESERVATION |
1,430,838 |
0025 |
BANDEMER PROPERTY |
1,789 |
0026 |
CONSTRUCTION CODE FUND |
2,456,022 |
0027 |
DRUG ENFORCEMENT |
137,000 |
0028 |
FEDERAL EQUITABLE SHARING |
138,000 |
0033 |
DDA PARKING MAINTENANCE |
2,326,270 |
0034 |
PARKS MEMORIALS & CONTRIBUTIONS |
42,403 |
0035 |
GENERAL DEBT SERVICE |
9,123,422 |
0036 |
METRO EXPANSION |
258,713 |
0038 |
ANN ARBOR ASSISTANCE |
4,000 |
0042 |
WATER SUPPLY SYSTEM |
21,020,974 |
0043 |
SEWAGE DISPOSAL SYSTEM |
21,265,755 |
0046 |
MARKET |
188,207 |
0048 |
AIRPORT |
843,274 |
0049 |
PROJECT MANAGEMENT |
4,308,998 |
0052 |
VEBA TRUST |
458,948 |
0055 |
ELIZABETH R DEAN TRUST |
55,062 |
0056 |
ART IN PUBLIC PLACES |
14,000 |
0057 |
RISK FUND |
27,594,891 |
0058 |
WHEELER CENTER |
423,643 |
0059 |
EMPLOYEES RETIREMENT SYSTEM |
34,844,628 |
0060 |
GENERAL DEBT/SPECIAL ASSESSMENTS |
175,035 |
0061 |
ALTERNATIVE TRANSPORTATION |
420,794 |
0062 |
STREET RECONSTRUCTION MILLAGE |
14,351,539 |
0063 |
DDA PARKING SYSTEM |
19,989,172 |
0064 |
MICHIGAN JUSTICE TRAINING |
50,800 |
0069 |
STORMWATER SEWER SYSTEM |
5,872,843 |
0070 |
AFFORDABLE HOUSING |
100,000 |
0071 |
PARK MAINTENANCE & CAPITAL IMPROVEMENTS |
5,202,836 |
0072 |
SOLID WASTE FUND |
14,409,048 |
0073 |
LOCAL FORFEITURE |
100 |
0082 |
STORMWATER BOND |
3,900,000 |
0088 |
SEWER BOND |
5,005,000 |
0089 |
WATER BOND |
10,011,794 |
00CP |
GENERAL CAPITAL FUND |
1,075,000 |
|
|
$326,693,103 |
RESOLVED, That the following millages shall be levied for the City of Ann Arbor for FY 2014:
|
PROPOSED |
GENERAL OPERATING |
6.1682 |
EMPLOYEE BENEFITS |
2.0560 |
REFUSE COLLECTION |
2.4670 |
AATA |
2.0560 |
STREET RECONSTRUCTION |
2.1250 |
PARKS MAINTENANCE & CAPITAL IMPROVEMENTS |
1.0969 |
OPEN SPACE & PARKLAND PRESERVATION |
0.4779 |
TOTAL |
16.4470 |
Approved Amendments by City Council on May 20, 2013
Amendment 1-
Increase FY14 Human Services Funding to FY13 Budgeted Level
Whereas, The proposed FY14 budget includes a $46,899 decrease in funding available for human services nonprofit entities;
Whereas, The Ann Arbor Area Community Foundation Board of Directors, the United Way of Washtenaw County Board of Directors, the Washtenaw County Board of Commissioners, and the Washtenaw Urban County Executive Committee have committed to awarding human services allocations in FY 14 based upon the approved allocations in FY 12 and FY13 by extending the two-year plan an additional year;
RESOLVED, The FY14 General Fund Community Development budget be increased by $46,899 for human services funding through the one-time use of General Fund fund balance;
RESOLVED, Council directs staff to incorporate this revised funding level of $1,244,629 in future budgets.
Sponsors: Briere, Kailasapathy, Warpehoski, Teall, Lumm
Amendment 2-
Restore Fall Leaf and Holiday Tree Pickup Services
Defeated
Amendment 3-
Increase funding for Affordable Housing using DDA TIF funds
Whereas, The DDA is forecasted to receive $568,343 more in TIF revenues than anticipated in the proposed FY14 budget;
Whereas, Council desires to support the public housing program in the DDA area;
RESOLVED, The DDA TIF fund revenue and expenditure budgets be increased by $568,343 for the purposes of creating a one-time transfer;
RESOLVED, The DDA Housing fund revenue and expenditure budgets be increased by $300,000 to reflect Council's desire for the DDA to support affordable housing in the DDA area; and
RESOLVED, Ann Arbor City Council requests that the DDA allocate at least $300,000 for the replacement of the light poles on Main Street.
Sponsors: Kunselman, Lumm, Kailasapathy
Amendment 4-
Increase funding for Affordable Housing
Whereas, The General Fund previously funded a transfer to the Affordable Housing fund of $100,000 annually;
Whereas, Council desires to re-establish funding;
RESOLVED, The General Fund Community Development expenditure budget be increased by $100,000 funded by a one-time use of fund balance in FY14;
RESOLVED, The Affordable Housing fund revenue and expenditure budgets be increased by $100,000;
RESOLVED, Council directs staff to incorporate this funding in future budgets.
Sponsors: Briere, Kailasapathy, Warpehoski, Teall, Petersen
Amendment 5-
Increase Police Staffing in the FY14 Budget
Defeated
Amendment 6-
Funding for Washtenaw Health Initiative
Whereas, The Washtenaw Health Initiative (WHI) is a voluntary, county-wide collaboration of local leaders focused on how to make health care more accessible and improve care coordination for the low-income, uninsured, and Medicaid populations in Washtenaw County by identifying and, where possible, addressing gaps;
Whereas, The Initiative is focused both on today and preparing for 2014, when provisions of federal health care reform are expected to go into effect;
Whereas, A membership fee of $10,000.00 in FY13 was funded through the Office of Community Development;
Whereas, Additional funding in the amount of $10,000.00 needs to be appropriated from the General Fund to the Office of Community Development's FY14 budget for this membership fee;
RESOLVED, That the Office of Community Development's FY14 expenditure budget be amended to increase $10,000.00 to be funded as a one-time expenditure from the General Fund fund balance.
Sponsors: Hieftje, Higgins, Briere
Amendment 7-
Remove funding for Art in Public Places
Whereas, The Public Art Ordinance is under revision and will be considered by Council on June 3rd;
Whereas, The proposed FY14 budget was prepared in accordance with the current ordinance;
Whereas, The task force anticipates a different program for Public Art if the revisions are approved;
RESOLVED, The FY14 Art in Public Places expenditure budget be reduced by $326,464.
Sponsors: Briere, Lumm, Kailasapathy
Amendment 8-
Increase Human Services funding for Senior Meals at Miller Manor
Whereas, Washtenaw County previously funded a meal program at Miller Manor;
Whereas, Federal sequestration has resulted in reduced program funding for the food program at Miller Manor in the amount of $4,500;
Whereas, The City wishes to support this program;
RESOLVED, The General Fund Community Development expenditure budget be increased by $4,500 funded by a one-time use of fund balance;
RESOLVED, Up to $4,500 be transferred to the AAHC if federal funds are not restored in FY14;
RESOLVED, Council directs staff to incorporate this funding in future budgets if federal funds are not restored.
Sponsors: Briere, Kailasapathy, Warpehoski, Teall
Amendment 9-
Increase funding for Sidewalk Gaps
Whereas, Council has prioritized the City's investment in infrastructure maintenance and transportation in the urban core;
Whereas, Council has adopted the development standards for complete streets;
Whereas, The City has a number of sidewalk gaps throughout the City;
Whereas, The Ann Arbor Public Schools (AAPS) reduced funding for bus transportation and there is an increased number of students using City sidewalks;
Whereas, Council desires to work collaboratively with AAPS and the community to prioritize which sidewalks to improve;
Whereas, There is limited funding available in the Street & Sidewalk Millage Fund;
RESOLVED, The General Fund Public Services expenditure budget be increased by $75,000 funded by a one-time use of fund balance in FY14 to fund a sidewalk gap prioritization study.
Sponsors: Briere, Taylor, Kailasapathy
Amendment 10-
Supplemental Funding for Police Officer
Defeated
Amendment 11-
Recognition of Parks Fairness Resolution with Budget Amendments
Whereas, On October 3, 2006, Council passed a resolution that, upon approval of the November 2006 Parks Millage ballot initiative, the General Fund portion of the overall budget supporting the City's Park System Budget would not be reduced more than the average of other General Fund operations of the City in the next 6 years of the millage;
Whereas, The budget amendments adopted by Council for the FY14 budget increase the General Fund expenditure budget by $236,399;
Whereas, The Parks budget should be increased $22,977 to ensure compliance with the 2006 resolution;
RESOLVED, That the General Fund Parks FY14 expenditure budget be amended to increase $22,977 to be funded as a one-time expenditure from the General Fund fund balance.
Sponsored by: Taylor, Anglin
As Amended by City Council on May 20, 2013