Council PKT 05-11-2004 Special
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AGENDA
FEDERAL WAY CITY COUNCIL
Special/Study Session
Mt. Baker Conference Room/2nd Floor - City Hall
May 11, 2004 - 6:00 p.m.
(www.ci.jederal-way.wa.us)
* * * * *
CALL MEETING TO ORDER
2005-2006 BIENNIAL BUDGET
ADJOURNMENT
CITY OF FEDERAL WAY
MEMORANDUM
Date:
To:
Via:
May 7, 2004
City C~U cil
David H. , City Manager
Iwen Wan&, Management Services Director ~
2005-06 Budget Development Status Update
From:
Subject:
Council has asked that staff frequently provide updates to the Council on the 2005-06 budget
development status; we have scheduled a study session on May 11. at 6:00 p.m. in the Mt. Baker
conference room for this purpose.
Departments went through a zero-based budget approach categorizing their services into "basic,"
"important," and "optional" services over the past two months. The attached document is a summary of
this exercise, with potential budget balancing options identified by the Management Team.
Staff seeks direction from the Council on the following questions:
1)
2)
3)
Are the definitions and service categorizations consistent with council priorities?
Which expenditure/revenue options should staff further explore?
Are there any additional expenditure/revenue options that staff should explore?
\\cfv{main\voll \data\ms\fmIO506budgetlcouncil review\covcrdoc
General Governmental. Services by ~rioritj Ðafégory
Category Definition
Legal mandates; Essential life safety services have to be performed to some degree while scale and quality may be reduced;
Essential services to protect public interest.
Provide critical safety net for those most vulnerable; Expand tax base; Enhance community safety; Provide functional infrastructures;
Community Support (services used by large population and of significant visibility); Preserves our natural resources and
investments; Cost/Benefit (improve efficiency, avoid higher costs, or revenue reduction exceeds cost avoided.)
Services the city has a high degree of control/discretion over the level and quality; Quality of life activities and amenities.
Basic:
Important:
Optional:
Bv Amount ($000)
Optional
$802
2%
Important
$5,711
18%
Service CateQorization bv Department
0% 20% 40% 60% 80% 100%
celcm
court
cd
law
ms
pk
ps
pw
I- Basic 8 Important . Optional I
$ FTE* cc CM Court CD Law MS PK PS PW(ST)
Basic $ 26,086 i 244.0 130 3.5 385 3.1 1,195 12.6 1,999 21.5 1,1441 8.9 1,002, 13.7 2,154 16.3 15,317 141.0 2,759 23.6
Important $ 5,711 I 43.1 47 i - 141 1.1 56 1.0 988 6.5 131 0.5 622! 8.8 1,639 10.1 1,161 14.0 926 1.1
Optional $ 802 ' 6.3 38 - 72 0.8 - - 142! 1.5 56 1.0 192 2.5 115 0.5 110: - 77 -
Baseline $ 32,599, 293.5 216 3.5 598 5.0 1,251 I 13.6 3,128 29.5 1,331 I 10.4 1,816 25.0 3,909 I 26.9 16,589! 155.0 3,762 24.7
1-time $ 504 I 4.1 39 - 118 0.5 - - 96 i 1.3 20 i 0.3 24 - 63 i - 107 2.0 38 -
Total $ 33,104 i 297.6 255 3.5 716 i 5.5 1,251 i 13.6 3,224! 30.8 1,351 i 10.7 1,840 i 25.0 3,971 26.9 16,695 i 157.0 3,800 24.7
. Does not include positions in restricted or enterprise funds (CDBG, SWM, Solidwaste, DBC, KFT)
K:\FINIO506Budgetlprebudgetlsummary.xls summary
5nl200411:59AM
I CC
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¡ 8 04 FTE: 3.50
04 GF: $216k
. Legislative
. Represent FW in
regional forums
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CM
04 FTE: 5.00
04 GF: $598k
Executive
Operation: support
to council, respond
to citizen, dept
admin
Court Coordination
Special Projects
(CC, NCH, etc)
Economic
Development
Inter-dept Projects
Gail, customer svsc,
contract routing
Intergovt & Leg
relations
Media relations
Community
relations
(newsletter, mirror
column)
Diversity
commission
Sister city
Association dues
travel/training
Court
04 FTE: 13,55
04 GF: 1,251k
Court Admin
Judiciary
Court cleric
operations and
records
Interpreter, screener,
public defender,
probation
Court security
Association
dues/travel/training
CO
04 FTE: 29.50 (+1 CDBG)
04 GF: $3,128k
Dept Admin
Current planning:
development review
Building pennit intake,
inspection, code review
Long-range (comp plan,
studies, zoning
amendments, growth
reports)
City receptionist: penn it
center traffic, receipt,
phone, passports
Staff council committee,
commission (LUrC, Eco.
Dev, Planning, HS,
LTAC)
KC health (liquor profit)
Legal notices
Document printing
Economic Development
Tourism program
Temp inspection
Code compliance
Electrical
pennitslinspections
Archiving Records
CDBG/Human service
fund coordination
Human service funding
Continue ed, certification
Posting, recording, map
upkeep, assistance with
stakeholder tasks
interpreter, emergency
messenger
WeUand/Geo Tech
consultant
Posting, recording, map
upkeep, assistance with
stakeholder tasks
Korean iiaison
CERT
Volunteer coordination
Event coordination
Neighborhood matching
grant
Meals for commission
Association dues
travel/training
Law
04 FTE: 10.38
04 GF: $1,331k
Dept Admin
litigation and other
proceedings
Court proceedings
(prosecution)
Advise city official
Administrative hearings
Staff council, committee,
commission, liaison, etc
mtgs
Contracts
Public Record Requests
Negotiations (franchise,
labor, telecom lease,
claims settlement,
developer agreements,
property acquisition)
Monitor legislation. Case
law
Instigate, response to
claims
Monitor outside counset
on litigation
Continue ed &
certification
DV court advocacy
~
04 FTE: 25.00
04 GF: $1,816k
Dept Admin
HR operations (recruit,
benefits, labor contracts,
guidelines)
Finance Operations
(AP/ARIPayroli/receipts)
General Accounting /Audit
Election cost
Codification cost
Hearing examiner
Council committee/
commission (FEDRAC,
Civil Service, Salary, and
comm. appointment)
Records management
DP, phone, GIS, copier
Fleet maintenance
Bank deposits/Interoffice
mail
Risk management
WEB, GAC
Annual report
Graphics
Dept info request support
Business license
. Replacement equipment,
software (Fleet, DP, GIS,
Phone, copier, GAC, Web)
Purchasing process and
guideline administralion
GIS data and system
maintenance
. Citywide training
Wellness, education
assistance, employee
recognition, altemative
work schedule
Monthly financial report
DP/Phone/GIS/Copier
new software equipment
evaluation, costing,
installation
GIS special data analysis,
project mailing labels, etc
Association dues!
travel/training
Certification
PRCS
04 FTE: 26.90 (+3.5 EF)
04 GF BGT: $3,909k
Dept Admin
Ground maintenance
Celebration park
operation
Parks facility
maintenance
CH and other city
building maintenance
Park planning
Rec. admin
Senior and special pop
operations
Youth Athletics
Adult Athletics
Steel Lake lifeguard
Community events and
arts
Kenneth Jones pool
DBC/KFT
. Urban forestry
. Safety training
/certification
RWBF
Arts commission
Parks commission
Youth commission
Capital projects
Association dues
/traveVtraining
PS
04 FTE: 155.00
04 GF: $16,589k
Dept Admin
Patrol
court transport,
proceedings
Deteclives
Traffic
Receptionist/Counter
Professional standards
Criminal intelligence
Jail contract admin
911 contract admin
Records, evidence,
quartermaster
Basic training (FTO,
EVOC, DT, first aid,)
Special ops training
(SRT, MAlT)
Contracted services
(SRO, Mall, CJTC)
Volunteer Coordination
Crime analysis
Special ops training
(BOMB)
Crime prevention
Non-swom patrol/traffic
assistance
Explorer program
Association dues,
general travel/training
PW
04 FTE: 24.75 (+16.85 EF)
04 GF : $ 3,762k
Dept Admin
Development plan
review, inspection, bond
requirement,
development standards
Traffic maintenance,
street lights, signals,
markings, signs,
commute trip reduction
Road surface
maintenance
policies, standards,
codes
customer compiaints
Capital program, grant
ROW Vegetation,
landscape, noxious
weed, street sweeping,
litter removal
Overlay program
interagency coordination
neighborhood traffic
safety program
signal timing
New street lights
Temp plan reviewer,
inspector
Minor capital project
Continue ed, certification
Flower basket, banners,
holiday lights,
Street tree replacement
Association dues
/travel/training
POTENTIAL OPTIONS
Reduce current expenditures and/or redirect and adiust current revenues:
1. Fuel contract options? (10% savings ~ $12k)
2. P3 vs. Benefit contribution trade? (requires bargaining, if all employees included, potentially
$60K )
3. COLA vs. vacation time trade? (requires bargaining, if all employees agree to forgo the
projected 2.5% COLA, $450k)
4. Review/update indirect cost allocation to CIP projects and enterprise funds? (needs analysis,
potentially $50klyear)
5. Redirect 1 % of utility tax from capital to operations? ($1.25 million)
6. Use REET to pay new city hall mortgage instead of General Fund transfer? ($380k)
7. Land Use/Building permit fees analysis and increase recovery ratio? (needs analysis and
policy on recovery ratio, potentially $1 OOk/year)
8. Recreation fee review and increase recovery ratio? (10% ~ $60k)
9. Field light charge review and increase if appropriate? (1 0% ~ $2k)
10. Traffic school fee increase? (from $100 to $150/each ~ $90k)
11. Business license and renewal fee increase? ($100k, assume raising change renewal fee from
$25 to $50; new application from $50 to $75; and increase penalties from 25~ and 75~ to $5
and $15 for 30 and 90 days late respectively.)
New revenues:
1. Raise admissions tax to 5%. (~ $300k)
2. Ask voter approval to stabilize property tax rate at $1.30 per $1,000 A V (requires "lid lift"
vote): protects the base property tax from a $2 million loss if approved by yoters.
3. Ask voter approval on property tax rate increase? (1~ =$80k, max increase available =, 30~)
4. Ask voter approval on additional utility tax? (1 % - $1.25 million; maximum increase
available 2% to total 8%)
CITY COUNCIL 2005-06 BUDGET REVIEW CALENDAR
May 11, study session Review department categorization of city services,
6:00 - 8:0 PM review options.
May - June CM Community meetings.
June 29, special meeting Get public input on budget options/considerations.
Public Hearing
7:00 - 9:00 PM
June - July Department prepare budget proposals.
July 6, study session Council deliberation on budget
5:15 -6:45 PM options/considerations: Categorization of services
(Prior to regular council meeting.) consistent with Council priorities? Revenue options I
to explore further? Ask voter to stabilize property !
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tax rate? If yes on property tax rate stabilization
measure, direct staff to prepare resolution for the
primary election.
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July 20, regular meeting Potential action on ballot resolution. (Council
Business)
August - September CM reviews department budget proposals and
prepare budget recommendations and options.
September 14 - primary election Potential election on property tax stabilization
measure.
October 5, study session CM presents budget to Council.
5:30 - 6:30 PM
(Prior to regular council meeting.)
October Council holds study sessions and reviews budget.
Public comments will be accepted at the beginning
of each study session. Additional public hearing
sessions will be added as needed.
November 2, regular meeting Council holds public hearing on proposed budget.
November Council holds public meetings for budget
deliberation.
November 16, Council adopts 2005-06 budget.
December 7, regular meetings _J
k:\finIO506budget\council review\council budget review calendar.doc
Methodology
Agreed on Basic, Important, and Optional definitions to
categorize services.
Focus on General/Street activities.
Use 2004 adopted FTE and budget as base.
Show major program areas only, not detailed tasks
performed.
Departments categorized programs/services based on the
definitions.
Management Team reviewed overall categorizations.
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Balancing Options
Reduce current ex enditures:
.
All programs will be reviewed for line-item level reductions regardless of
categories.
Fuel contract options?
P3 vs. benefit contribution trade?
COLA vs. vacation time trade?
Review/update indirect cost allocation to CIP projects and enterprise
funds?
.
.
.
.
Redirect and ad'ust current revenues:
.
.
Redirect 1 % of utility tax from capital to operations?
Use REET to pay new city hall mortgage instead of General Fund
transfer?
Review cost recovery ratio for various user fees (land use/building permit
fees, recreation fees, field light charges, traffic school fee, etc,)
Business license and renewal fee?
.
.
4
Current Utility Tax Allocation
Total Utility Tax 6.00%
Current Allocation:
% Yr Available
1.00% 2005
1.00% 2005
2.00% 2007
0.50% 2012
0.75% 2033
Transportation Projects (95 bonds will be paid off)
Overlay Program
1997 Civic Improvements Bonds (1 % pk/1 % trnsp. after 2007)
1997 PS Facility Bonds
2003 Community Center Bonds
Capital Portion Total 5.25%
M&O of 1995 Bond Projects
M&O of 1997 Bond Projects
M&O of KJP/Community Center
0.05%
0.45%
N/A
N/A
N/A
0.25%
Total M&O for new Capital 0.75% N/A
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2005-06 Budget Review Calendar
May II, study session 6:00 - 8:0 PM
Review department categorization of city services
I ('\1 Community meetings.
May - June
June 29, Public Hearing 7:00 - 9:00 PM
Public input on budget options/considerations.
I Dcpartments prepare budget proposals.
Junc July
July 6, study session 5:15 - 6:45 PM
(Prior to regular council meeting.)
July 20, regular meeting
Council deliberation on budget options/potential
ballot measure to stabilize property tax rate?
Potential action on ballot resolution. (Council Business)
August Septcmber I ('\1 re\ie\\,preparc budget rccommcndations and options.
September 14 - primary election
October 5, study session 5:30 - 6:30 PM
(Prior to regular council meeting.)
Potential election on property tax stabilization measure.
CM presents budget to Council.
November 16, December 7, regular
meetings
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