Town of Fountain Hills Arizona The Government Finance Officers Association of the United States and Canada (GFOA) presented a Distinguished Budget Presentation Award to the Town of Fountain Hills, Arizona, for its Annual Budget for the fiscal year beginning July 1, 2019. In order to receive this award, a governmental unit must publish a budget document that meets program criteria as a policy document, as a financial plan, as an operations guide, and as a communications device. This award is valid for a period of one year only. We believe our current budget continues to conform to program requirements, and we are submitting it to GFOA to determine its eligibility for another award. 2 Table of Contents TABLE OF CONTENTS Page INTRODUCTION This section will give the reader a brief overview of the budget process. The budget message from the Town Manager will summarize the goals of the Town Council and how the budget will aid in the accomplishment of those goals. Also provided here is a brief overview of the Town as well as information about the Town Councilmembers. Budget Message 7 Community Profile 17 Town Council 29 FINANCIAL OVERVIEW This section provides a summary of the financial policies used by the Town and incorporated into the budget, budget highlights, a detailed discussion of the revenues and expenditures of the Town and ends with an overview of the budget process. Financial Overview & Policies 39 Budget Highlights 87 Revenue Summary 101 Expenditure Summary 117 Budget Process & Schedule 124 GENERAL FUND This section begins with an organization chart of the Town and then details all departments and divisions, missions, goals, and expenditures by programs and line items. Performance measures, accomplishments, and objectives are provided within each department section. General Fund 131 Organization Chart 132 Mayor & Town Council 133 Administration 138 Town Manager 146 Town Clerk 150 Administrative Services 153 Purchasing 156 Finance 159 Information Technology 163 Legal Services 167 3 Table of Contents TABLE OF CONTENTS (cont.) General Government Page 169 Municipal Court 173 Public Works 179 Public Works 186 Facilities 190 Engineering 195 Development Services 197 Development Services 203 Building Safety 206 Code Compliance 209 Mapping & Graphics 212 Planning & Zoning 214 Community Services 217 Community Services 224 Community Center 228 Parks 231 Recreation 237 Senior Services 241 Law Enforcement 245 Fire & Emergency Medical 249 SPECIAL REVENUE FUNDS This section presents the special revenue funds of the Town. Fund expenditures are detailed here, similar to the information presented in the General Fund section. Special Revenue Funds 4 255 Streets Fund (HURF) 256 Excise Tax Funds 261 Downtown Strategy Fund 262 Economic Development Fund 264 Tourism Fund 267 Special Revenue Fund 273 Table of Contents TABLE OF CONTENTS (cont.) Public Art Fund Page 276 Court Enhancement Fund 278 Environmental Fund 280 Cottonwoods Maintenance District Fund 284 DEBT SERVICE FUNDS This section presents a summary of the various debt service funds of the Town and Tax Levy and Tax Rate information. Debt Service Funds 286 General Obligation Bond Fund 288 Eagle Mountain CFD Bond Fund 290 Municipal Property Corp Bond Fund 291 CAPITAL PROJECTS FUND This section presents the Town’s Capital Projects Fund. Capital Improvement Program 294 Capital Projects Summary 299 Capital Projects Information Sheets 307 INTERNAL SERVICE FUNDS This section presents the Internal Service Funds of the Town. Facilities Replacement Fund 362 Technology Replacement Program 364 Vehicle Replacement Program 365 SCHEDULES This section presents information not found elsewhere in this budget document. Comprehensive Fee Schedule 372 Schedule of Authorized Positions 392 Pay Plan 395 Resolution 400 Glossary 403 Acronyms 417 5 6 Budget Message BUDGET MESSAGE June 2, 2020 HONORABLE MAYOR AND TOWN COUNCIL: I am pleased to submit the proposed operating budget for the Town of Fountain Hills for the fiscal year beginning on July 1, 2020, and ending June 30, 2021. The proposed budget is balanced and designed to convey to the public a message that articulates priorities and issues for the upcoming fiscal year. Although each fund should be viewed individually, the Town’s proposed total budget, including all funds is $33,901,492. It is important to note that the budget includes the use of one-time sources of funding, such as one-time accumulated reserves and grant funds. These funds cannot be relied upon for on-going operations of the Town. Department Directors and Supervisors, Finance staff, and the Town Manager are actively involved in the annual budget process. The primary focus is placed on the General Fund, which is the Town’s primary operating fund and supports core services. REVENUE AND EXPENDITURE FORECAST The recent coronavirus pandemic has highlighted the hazards of the Town’s reliance on sales tax revenue and State-shared revenues to fund ongoing operations. These two sources of revenue are extremely susceptible to changes in the national and state economies, and conditions can change rapidly as we have seen over the past few months. However, the Town did have nine strong months of sales tax collections before the pandemic hit, largely due to the recent 0.3% sales tax increase that took effect on October 1, 2019. In addition, it appears that actual FY20 expenditures will be under budgeted amounts for the General Fund. Even with the strong revenue headwind caused by the coronavirus, the Town will start FY21 in a stable position. The Town has diligently pared down expenditures while preserving the core services and amenities that make Fountain Hills a desirable place to live. In a number of critical service areas, staff members have taken on additional responsibilities and additional workload to help keep costs down. Where this was not possible, services were outsourced to knowledgeable and reliable vendors using statecompliant procurement methods. Despite these efforts, expenditures will outpace revenues in the near future. The primary issues facing the Town of Fountain Hills include: Increased operating costs in order to maintain safe and sanitary buildings and amenities  Increased costs for maintenance, repair and/or replacement of aging infrastructure (roads, buildings, parks, the Fountain, etc.)  7 Budget Message        Dependence upon State-shared revenues to fund operating expenditures Dependence upon economically volatile local sales tax to fund operational expenditures and capital improvement projects Decreased proportionate share of State-shared revenues due to increased population of surrounding communities combined with negligible population growth or decreased population in Fountain Hills Lack of a sustainable and diversified revenue base to fund ongoing operating costs Potential state legislation impacting revenues, e.g., sweeping of State-shared revenue or unfunded mandates Retaining adequate staffing levels to maintain current service levels Public safety costs as an increasing proportion of total expenditures, resulting in less funding for other core services The chart below depicts the current ten-year forecast: FY21-30 Projected General Fund Revenues and Expenditures $35 $30 Millions $25 $20 $15 $10 $5 $FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 FY25-26 FY26-27 FY27-28 FY28-29 FY29-30 OPERATING REVENUES OPERATING EXPENDITURES REVENUE SOURCES The Town relies primarily on two main sources of revenue for operations: (1) State -shared revenues (sales, income and vehicle license taxes distributed proportionately by the State based on population); and (2) local sales tax. Combined, these two sources contribute 89% of the General Fund (35% and 54% respectively). At the time of this budget message, staff members are still waiting for the final updated State-shared revenue estimates from the Department of Revenue and the Department of Transportation. Even though the Town of Fountain Hills had a modest increase in State-shared revenues for the past few years, the revised amounts for FY21 will likely be less due to the effects of the coronavirus pandemic. Going forward, this important source of revenue is projected to be relatively flat and eventually decline over time as high growth cities will receive larger allocations of 8 Budget Message State-shared revenue. The single largest revenue source for the Town of Fountain Hills is the local sales tax. The tax is collected by licensees on each taxable transaction in the Town, and it is then remitted to the Department of Revenue when the licensees file their sales tax return. The Department then distributes the local portion of the tax to the Town. The chart below demonstrates that overall local sales tax collections have increased since FY17 (Apr-Jun FY20 data not yet available): REVENUE OPTIONS The Town began exploring various revenue options in 2017 to offset increasing costs of core services, address deferred capital projects, including pavement management, and to reduce the reliance on the local sales tax and State-shared revenue. Options have included increasing the annual environmental fee, establishing an annual public safety fee, increasing the residential rental sales tax rate, increasing franchise fees collected from utility companies, and a primary property tax. In October 2019, a 0.3% local sales tax increase was implemented, raising the tax rate to 2.9% for most categories. This increase did not apply to residential rentals, which remains at 1.6%. Past efforts to implement alternative revenue options were met with varying degrees of resistance. Collection of an annual environmental fee began in January 2016, which helped to offset expenditures related to maintaining area washes and the storm water system. The environmental fee was not charged for calendar year 9 Budget Message 2020 because a similar fee was proposed for public safety expenditures. However, the Council did not pursue implementing such a fee, choosing to await a decision regarding a similar fee being charged by the City of Phoenix. Although the case was decided in favor of the City of Phoenix, a written opinion has not yet been issued. Once the opinion becomes available, the Council may reconsider a new public safety fee or the reintroduction of the environmental fee. Finally, a $7M primary property tax question was submitted to voters in May 2018, and that question was turned down by nearly a 2-to-1 margin. Without public outreach and support, any future primary property tax question is unlikely to fare any better. Another option for the funding of major capital projects is the issuance of General Obligation bonds, which are repaid by levying a secondary property tax, or Municipal Property Corporation bonds that are repaid using future revenues. These types of funding sources were used for the reconstruction of Saguaro Boulevard, and construction of Town Hall and the Community Center. As of July 1, 2020, the Town will not have any outstanding town-wide General Obligation or Municipal Property Corporation bonds. General Obligation bonds are the preferred method of funding for projects that will benefit residents for many years. This amortizes the cost of the project over a longer period of time so that those benefiting from the project are those contributing to it. BUDGET APPROACH In developing the proposed FY20-21 budget, each Department Director was given specific instructions to stay within the FY19-20 budget as the base budget for FY20 -21. Any new budget requests had to be submitted separately as supplemental budget requests. This process was designed to maintain the current level of effort for core services and streamline the process for justifying increases to the base budget. The criteria used to evaluate the supplemental requests are as follows:    Is there a dedicated revenue source to pay for the new program or service? Is the budget request one-time or ongoing? Does the supplement address issues involving operational efficiencies, safety, a Council priority, or a Strategic Plan priority? By working with Department Directors to find operational efficiencies and identifying budget savings in the current budget, we were able to fund $384,818 in onetime supplemental budget needs and $77,879 in ongoing supplemental needs. CORE SERVICES BUDGET In developing the proposed budget, staff focused on a review of services delivered by the Town, increased scrutiny of expenditures, and prioritization of programs to be funded with limited resources. This proposed budget provides the following core services to Town citizens from the funding sources listed: 10 Budget Message FY19-20 Public Safety General Government Administration Public Works Development Services Community Services Excise Tax Funds Downtown/ED/Tourism Special Revenue Funds Debt Service Capital Funds FY20-21 Funding Source $8,807,219 1,489,511 2,686,126 1,100,934 1,100,290 2,595,839 9,226,799 2,256,931 2,986,798 1,940,010 946,484 2,942,046 General Fund General Fund General Fund General Fund General Fund General Fund 582,985 7,751,739 2,378,862 4,069,194 $32,562,699 487,936 7,156,157 408,600 5,497,230 $33,848,991 Excise Tax Special Revenue Debt Service CIP CORE SERVICE – PUBLIC SAFETY One of the chief roles of government is to provide for the safety of its citizens. The citizens of Fountain Hills receive great value from the Town’s contracts for public safety with Maricopa County Sheriff’s Office and Rural/Metro Fire. Town funds that are expended for public safety services provided under these contracts are undeniably high quality and cost efficient. However, the fact remains that public safety costs, while essential, represent an ever-increasing proportion of the Town’s total expenditures. During the period from FY01-02 through FY19-20, Town total General Fund expenditures increased 22% while public safety costs increased 99% leaving reduced funding to pay for non-public safety core services. For FY20-21, public safety costs will increase by approximately $420,000. Public safety costs now represent about 52.7% of the General Fund’s budget. Two years ago, staff negotiated a new contract with Rural/Metro Fire to better anticipate the annual cost of fire and emergency services. The Town Council approved a new multi-year agreement in 2018 with Rural/Metro Fire that caps future contractual increases to three percent annually. The intergovernmental agreement for law enforcement services with the Maricopa County Sheriff’s Office (MCSO) is based on the actual cost of services from the prior fiscal year. For FY20-21 the agency increased the cost of law enforcement services by 5.2%. The Town of Fountain Hills is predicting that the law enforcement services budget will continue to increase at an annual 10 percent rate due to increased costs tied to the Town’s proportionate share of MCSO’s underfunded liabilities in the Arizona Public Safety Personnel Retirement System. Nearly all of the municipalities and local governments participating in the Public Safety Personnel Retirement System will be experiencing unprecedented contribution rate increases for the foreseeable future. 11 Budget Message The chart below demonstrates the proportion of total Town expenditures relative to public safety costs. Public Safety Costs vs. Total General Fund Expenditures $20 $18 $16 Mi l lions $14 $12 $10 $8 $6 $4 $2 $0 FY01-02 FY05-06 Public Safety Costs FY09-10 FY13-14 FY17-18 Total General Fund Expenditures RECOMMENDED STAFFING REQUESTS AND PERSONNEL CHANGES The proposed FY20-21 budget includes one new full-time Groundskeeper II position and an increase of 0.25 FTE to an existing part-time Customer Service Representative II position, both in the Community Services Department. The Groundskeeper II position is needed to assist in maintaining the recently added Fountain Park restrooms, Avenue of the Fountains linear park, and Adero trailhead. The increase for the existing part-time Customer Service Representative II position from 0.35 FTE to 0.60 FTE is a result of rising demand in Home Delivered Meals and increased Community Center activity. These positions will add approximately $77,500 in wages and benefits to the General Fund budget on an annual basis. The FY20-21 budget also includes minor reclassifications of positions. After reviewing the Town’s classifications, I am recommending the reclassification of the following positions: Facilities/Environmental Supervisor to Facilities Supervisor Communications and Marketing Coordinator to Community Relations Manager  Economic Development Analyst to Economic Development and Tourism Specialist   12 Budget Message WAGES AND BENEFITS Originally, the FY20-21 budget included a cost of living increase of 2.5% for all employees. This recommendation was removed for the first half of the fiscal year. If revenue collections are realized as projected, employees will receive a 2.5% increase after January 1, 2020. The cost for the salary adjustments is $67,300. In FY20-21 the Town’s portion of employee medical, dental, vision, and other health-related benefits will increase by $42,300 or 9.8%. MINOR REORGANIZATION The former Communications and Marketing Coordinator position reported to the Economic Development Director. As the Town’s communications needs have evolved, it is my recommendation that the reclassified Community Relations Manager position report directly to my office. This will provide for improved communications to the Town’s residents and business owners. The tourism function will be incorporated into the newly reclassified Economic Development and Tourism Specialist. COMMUNITY CONTRACTS Over the years, a number of non-profit organizations have received grants in aid from the Town of Fountain Hills in exchange for providing services to the community. Recognizing that the Town does not have the resources to continue funding these non-profits in the long-term, the Town Council reduced the funding of the community contracts by ten percent from the previous fiscal year. Based on the policy direction from last fiscal year, the funding for community contracts in FY2021 has been reduced by another ten percent from FY19-20 funding levels. The only organization exempt from this reduction is the Extended Hands Food Bank, which provides much needed human service needs in our community. CAPITAL IMPROVEMENT PROGRAM The Town of Fountain Hills remains committed to funding one-time capital projects with one-time revenue sources. Whenever possible, the Town utilizes grants and other outside funding sources to complete projects. The Five-Year Capital Improvement Program, which represents an investment in public facilities and infrastructure, totals $24,810,000 in FY20-21, down from $27,211,000 in FY19-20, or an 8.8% decrease from previous fiscal year. The Town Council previewed the proposed Capital Improvement Program for FY20-21 at the Council Retreat on February 24, 2020 and provided direction and prioritization of the proposed projects at the Budget Workshop, a special session, held on April 14, 2020. As was discussed with the Town Council, the Town Manager plans to review the Town’s finances with the Town Council on a quarterly basis beginning this Fall. As was recommended by the Town Council at the April 14, 2020 meeting, the Town will proceed with the following Council high priority capital projects – Panorama Drainage repairs, La Montana/Ave. of the Fountains Roundabout, Golden Eagle Dam, and the Fountain Lighting Infrastructure project. All of the other projects will be on hold until the Town Council believes it is prudent based on revenues to move forward with them. 13 Budget Message STRATEGIC PLAN In past years, the Town’s Strategic Plan has provided considerable direction to the Town Council and staff regarding the expenditure of resources to accomplish its goals, objectives, and tasks. Since the 2017 Strategic Plan, located on page 136, is set to expire and be replaced later in 2020-21, the proposed FY 20-21 budget is not impacted by the plan. However, as in past years, the Strategic Plan will likely impact future proposed budgets after the Town Council considers and adopts the Strategic Planning Advisory Commission’s recommended Strategic Plan in early 2021. BUDGET ASSUMPTIONS FOR FY20-21 AND BEYOND        Continued adherence to State-imposed Expenditure Limitations Law, which impacts the Town’s ability to budget proposed capital projects Revenue projections are determined using both a trend analysis formula, as well as a flat percentage increase, but are estimates A reduction in the distribution of State-shared revenues Existing levels of service are maintained An inflation factor of 2.5% has been added to existing budgets for Administration, Public Works, Development Services and Community Services departments in future years The law enforcement contract with Maricopa County Sheriff’s Office has been budgeted at an increase of 10.0% The fire services contract with Rural/Metro Corporation is projected at a 3% increase for FY20-21 and beyond. The following chart provides General Fund projections through FY 24-25: Five-year Budget Projection FY20-21 REVENUES Intergovernmental Permits, Lic enses, Fees Building Revenue Loc al Taxes FY21-22 FY22-23 FY23-24 FY24-25 $ 6,840,900 941,593 $841,592 $ 10,634,201 $ 6,920,654 914,936 $511,907 $ 10,882,733 $ 6,963,197 937,379 $521,264 $ 11,384,888 $ 7,006,907 939,788 $417,056 $ 11,760,270 $ $ 19,258,286 $ 19,230,230 $ 19,806,728 $ 20,124,021 $ 20,665,988 Mayor & Town Counc il General government Administration Munic ipal Court Public Works Development Servic es Community Servic es Public Safety (Polic e & Fire) $ $ $ $ $ Total Expenditures $ 19,258,286 Surplus/(Deficit) $ Total Revenues 7,051,417 943,695 $535,225 $ 12,135,651 EXPENDITURES 14 $ 74,882 2,204,942 2,339,663 402,604 1,120,866 946,484 2,942,046 9,226,799 - $ 76,754 1,961,535 2,370,355 412,669 1,148,888 970,147 3,015,597 9,855,666 78,673 1,973,073 2,454,615 422,986 1,177,610 994,401 3,090,987 $ 10,538,606 19,811,611 $ (581,381) $ 20,730,951 80,640 1,984,900 2,493,181 433,561 1,207,050 1,019,261 3,168,261 $ 11,280,760 21,667,614 82,656 1,997,023 2,580,510 444,400 1,237,227 1,044,742 3,247,469 $ 12,087,778 22,721,805 (924,223) $ (1,543,593) $ (2,055,817) Budget Message DISTINGUISHED BUDGET PRESENTATION AWARD For the past eighteen years, the Town of Fountain Hills has been awarded the Government Finance Officers Association (GFOA) Distinguished Budget Presentation Award. Government entities that meet certain criteria in the presentation of their budget will receive this award. This budget message section is designed to provide the layperson with a broad view of the contents of the FY20-21 annual budget, its processes, issues and anticipated outcomes. A DEBT OF GRATITUDE A special thank you is extended to the Mayor and Town Council, our numerous Board and Commission members, and our 800 plus volunteers for their many hours of volunteer service without which the Town could not function in the fine manner it does. I would also like to thank the Town of Fountain Hills Department Directors and their staff members with this year’s budget process. The Directors and their staff attended several sessions with the Town Manager and Finance Division to justify programs, develop cost estimates, and answer questions. This team effort has resulted in a balanced budget that achieves the Town Council’s current goals and assists in planning for the future of Fountain Hills. Finally, I am extremely grateful to Finance Director David Pock and Accountant Beata Bogdan for their countless hours preparing and finalizing the FY20-21 annual budget. Respectfully submitted, Grady E. Miller Town Manager 15 Budget Message 16 Community Profile Community Profile 17 Community Profile COMMUNITY PROFILE The Town of Fountain Hills overlooks the Verde River Valley and the east Valley of the metro Phoenix area. It is a master planned community established in 1970 by McCulloch Properties (now MCO Properties, Inc.). Prior to 1970, the area was a cattle ranch and was part of one of the largest land and cattle holdings in Arizona. The land was purchased by Robert McCulloch in the late 1960s and the community designed by Charles Wood, Jr. (designer of Disneyland in southern California). One of the community’s most valuable assets is its natural beauty. Incredible views and natural desert terrain provide for a wide range of outdoor activities including hiking, biking, and golf. In fact, Fountain Hills contains some of the more challenging and picturesque golf courses in the State of Arizona. The crown jewel of Fountain Hills is our beautiful fountain, which is one of the world's tallest man-made fountains. It serves as a focal point for the community and attracts thousands of visitors each year. The fountain is nestled in the center of a large man-made lake. With all three pumps and under ideal conditions, the plume of water rises 560 feet (171m) in height from a concrete water lily sculpture, though in normal operation only two of the pumps are used, with a fountain height of around 330 feet (101m). The fountain operates for 15 minutes at the top of every hour between 9 AM and 9 PM, weather permitting. Fountain Hills is home to approximately 125 pieces of Town-owned artwork throughout its downtown and at public buildings. Art is a significant part of the Town's heritage. The Public Art Committee and its parent organization, the Fountain Hills Cultural and Civic Association, is the official representative of the Town in all matters dealing with the promotion of public art within Fountain Hills. From striking statues set against Fountain Hills’ mountain ranges to photography located inside public buildings, Fountain Hills has something for everyone. A wide variety of fountains, bronze sculptures, and other art types and media are available to be viewed. Residents and visitors are invited to take self guided tours, or take advantage of one of the “Art Walk” guided tours. Located on 13,006 acres of land, Fountain Hills is surrounded by the McDowell Mountains and Scottsdale on the west, the Fort McDowell Yavapai Nation on the east, the Salt River Pima-Maricopa Indian Community on the south, and the McDowell Mountain Regional Park on the north. The elevation is 1,520 feet at the fountain, 2,130 feet at the Golden Eagle Trailhead, and is approximately 500 feet above Phoenix. Over the past twenty-five plus years, Fountain Hills has grown from 10,190 residents to a Town of 23,899 in 2015. On June 5, 2006, the Town of 18 Community Profile Fountain Hills became twenty square miles and about ten percent larger by annexing 1,300 acres of State Trust Land. The process to annex the State Trust Land occurred over a two and one-half year period and development of the land will occur over the next decade. Annexing this property into the Town ensures that its future development will be of the highest quality under the Town’s standards. With unparalleled scenic views of the surrounding rugged mountains, and the serenity of the Sonoran Desert, the Town carefully protects the native flora, fauna, and scenic vistas. It is not unusual to see bobcats, javelina, jackrabbits or coyotes wandering the fringes of the community. Amongst the natural beauty, the Town continues to attract residents who build their homes to take advantage of this environment. The Town offers a wide range of living accommodations, from small condominium complexes to large custom homes. Fountain Hills also offers recreational and cultural programs and services that contribute to a high quality of life for its residents. The community consists of primarily residential property and open space; of the total 20.32 square miles of land, only 2.5% of the total is zoned commercial and/or industrial, 23.3% is preserved as open space and 51.0% is residential. Of the remaining land, 2,264 acres are developable, with 62 acres being zoned commercial (2.7%), 3 acres zoned industrial (0.1%), 72 acres for schools (3.2%) and 44 acres for lodging (1.9%). The Town provides or administers a full range of services including public safety (law enforcement, fire and emergency services); development services (code enforcement, planning and zoning); public works (including construction and maintenance of streets and infrastructure); municipal court; recreational activities; community center; senior services and cultural events. The Town does not maintain utility or other operations that require the establishment of enterprise funds. Two hundred fifty-eight communities, including Fountain Hills, earned recognition from national non-profit KaBOOM! as 2017 Playful City USA communities honoring cities and towns that ensure kids get the balanced and active play they need to thrive. From forty-four states and the District of Columbia, the Playful City USA honorees range from eleven-time honorees to first-time recipients. In its 10th year, Playful City USA is a national recognition program that honors cities and towns for taking bold steps to create more play opportunities for all kids. The International Festival and Events Association (IFE) honored the Town of Fountain Hills with three awards in 2018. This association highlights events from around the world with 19 Community Profile budgets ranging from less than $250,000 to well over $3 million. This year, Fountain Hills was highlighted as the GOLD winner for two separate categories: Best Single Digital/Social Advertisement and Best Emergency Preparedness and Management Plan. The Town also garnered a SILVER award for Best Single Magazine Display Ad. These awards recognize the high quality marketing efforts Town staff produce to promote our many events. The Arizona Office of Tourism recognized the Town’s tourism staff with the award for Outstanding Marketing Campaign for 2017 for its “Get Out of the Valley and into the Hills!” campaign. The campaign encouraged visitors to Arizona for major events such as the Waste Management Open, Spring Training Games, and the Final Four game. On January 8, 2018 the Town of Fountain Hills, Arizona was awarded the rare distinction of being designated an International Dark Sky Community by the International Dark Sky Association (IDA). It is one of only two International Dark Sky Communities located near a major metropolitan area. In total, only 16 communities in the world have previously earned this prestigious designation. Fountain Hills’ low population density is a major reason it is such a desirable place to live. Unlike other regions of the Valley, one can dine, play, and commute, without congestion. Fountain Hills’ land is currently developed at an average density of 1.5 dwelling units per acre for single family homes and 6.8 units per acre for multifamily housing. At the end of 2018, there were 915 vacant single family lots and 158 vacant multi-family lots. Based upon the 2015 US Census population estimate figure of 23,899, Fountain Hills has an average of 1,176.1 people per square mile, or 1.84 people per acre. 20 Community Profile Demographics * US CENSUS ** MAG ***US CENSUS, AMERICAN COMMUNITY SURVEY ****TOWN DEVELOPMENT SERVICES 21 Community Profile 22 Community Profile TOWN-WIDE BUILDING PERMITS ISSUED 23 Community Profile TOWN-WIDE BUILDING PERMITS ISSUED COMMERCIAL BUILDING PERMITS ISSUED AND VALUATION *1998-2019 Valuation includes commercial building permits as well as tenant improvements. 24 Community Profile Fountain Hills Schools The Fountain Hills Unified School District has earned a reputation for excellent academic programs, noteworthy student achievement, and high levels of parent and community involvement. Over the past several years, the district has earned respect throughout the state as a small, friendly, and high achieving system with well-trained and motivated staff (www.fhusd.org). Public Schools Address Preschools Address Charter School Address East Valley Institute of Technology Address 1. Fountain Hills High School 2. Fountain Hills Middle School 3. McDowell Mountain Elementary School 4. McDowell Mountain Preschool 5. Creative Child Care Preschool 6. Here We Grow Learning Center 7. Maxwell Preschool Academy 8. Promiseland Christian Preschool 9. Fountain Hills Charter School 16100 E. Palisades Boulevard 15414 N. McDowell Mountain Road 14825 N. Fayette Drive 14825 N. Fayette Drive 17150 E. Amhurst Drive 16901 E. Palisades Boulevard 15249 N. Fountain Hills Boulevard 15555 E. Bainbridge Avenue 16751 E. Glenbrook Boulevard 10. EVIT—Fountain Hills Vocational Center 17300 E. Calaveras Avenue McDowell Mountain Elementary School Fountain Hills Middle School Fountain Hills High School 25 Community Profile 26 Community Profile Shopping Center Location Map 27 Community Profile TOWN-WIDE LAND USE 28 Town Council Town Council 29 Town Council Organization Chart FRONT ROW: Councilmember Dennis Brown, Mayor Ginny Dickey, Councilmember Alan Magazine BACK ROW: Vice Mayor Art Tolis, Councilmember Sherry Leckrone, Councilmember Mike Scharnow, Councilmember David Spelich 30 Town Council Ginny Dickey In the Valley, she was a member of Business and Professional Women (Woman of the Year) and the Public Policy Chair for the American Association of University Women. Active in several statewide groups, she was an organizer for the AZ Women’s Hall of Fame at the Carnegie Library. Ginny served as Town Councilwoman for over eight years, co-chairing the Centennial Committee and sitting on the MAG Regional Domestic Violence Council until 2014. She helped raise funds for two public art pieces and co-organized a community unity event in 2017. Mayor Ginny Dickey and her family chose Fountain Hills as their home town in 1983. Born and raised in NY, she followed her parents who had fallen in love with this desert community in the seventies. Her siblings all relocated to AZ, creating a foundation here that spans multiple generations. Ginny holds a BS in Mathematics from Tufts University. She’s been a banker, a bookkeeper and a part-time teacher, in AZ, VT and NH. She was an AZ Senate staffer and an Assistant Director at the Dept. of Environmental Quality. After retiring from the State, she worked with the US Attorney’s Office as a neighborhood liaison with various partners including law enforcement. Inducted into the 2010 Hall of Fame, she participated in FH strategic planning sessions since 1984. She went from room mother to PTA Board, Site Council to elected School Boardmember, where she served from 1994 to 2002, twice as President. Ginny was a Charter Member of the Arts Council and served on the Theater Board as Treasurer and accountant, earning their 2009 Founders Award. She performed in several AriZoni winning productions. Other activities include:  Justice Department, Recognition of Meritorious Service: Weed and Seed Program  League of AZ Cities and Towns Eight Years of Service and Dedication  Ten Years of Service Recognition to the State of AZ  ADEQ Constellation Team Award for Asarco efforts  ADEQ Constellation Team Award for Hazardous Air Pollutant/Mercury efforts  AZ School Boards Association Silver Cactus Pin; Gold Cactus Pin; Master of Boardsmanship  Panel speaker, Estrella Mt. Community College  Classroom speaker, ASU  Workshops, Coronado High School and Scottsdale Community College  Contributor, Sonoran/Lincoln Institute of Land Policy Working Paper  Falcon Leadership Mentoring Program, National School Boards Association, New Orleans Ginny is married to former teacher, FHUSD and EVIT Boardmember Jim Dickey, a retired Valley Metro and ADOT Executive. Her family includes three sons – FHUSD graduates Mike, Brian and Frank Chin (Rutgers professor, Scottsdale Fire Captain, Philadelphia musician) plus Jim’s daughter and son, all their spouses and eight grandchildren. 31 Town Council Dennis Brown Councilmember Brown and his wife have supported Little League baseball and football, the Fountain Hills Community Theater, Movies in the Park, and numerous other local organizations. They have two sons and one daughter who have given them five – count them five – granddaughters. Councilmember Dennis Brown and his wife, Judy, moved to Fountain Hills in 1996. In 1999, they opened their construction company, Echelon Company, building both commercial and residential products in Fountain Hills. Councilmember Brown was the President of the Fountain Hills Licensed Contractors Association for five years from 2002 through 2007. In 2002, a Planning and Zoning Commission seat became available. He was appointed to serve on the Commission and served for more than seven years, four of which were as Chair of the Commission. During his seven year tenure on the Planning and Zoning Commission, the Commission rewrote the Town’s sign ordinance, passed the Saguaro protection ordinance, and wrote the Commercial Architectural Guidelines. 32 Town Council Sherry Leckrone Councilmember Sherry Leckrone has lived in Fountain Hills since moving from Chicago, IL in late 2004. She has been an attorney for 27 years, and is licensed to practice law in Illinois and Arizona. Sherry received her Juris Doctorate Degree from ChicagoKent College of Law in Chicago in 1990 graduating with honors while excelling on the Moot Court and Trial Advocacy Teams. Throughout her legal career she has volunteered in various roles, including in Illinois where she was the co-founder and President of the first Women’s Bar Society in Kankakee, Illinois. In Illinois she practiced as a federal prosecutor in the U.S. Attorney’s Office, a county prosecutor, a public defender and in private practice handling criminal and civil litigation. While in Chicago, she prosecuted complex white-collar crime, governmental fraud and public corruption cases with the Cook County State’s Attorney’s Office and taught trial advocacy courses with her alma mater as an adjunct professor. She has over two decades of experience as a trial attorney and has spent a majority of her career as a prosecutor. During her service as a prosecutor with the Maricopa County Attorney’s Office she handled and tried felony and misdemeanor cases in a variety of Bureaus, including Pretrial, Trial Division, Repeat Offenders, Gangs, Justice Courts and Special Crimes. Most recently, she served as a Bureau Chief in the Special Crimes Bureau where she managed attorneys whose caseloads included homicide, sex trafficking, home invasion, gambling, identity theft, arson, animal cruelty, governmental fraud, weapon violations and bomb cases. As a public servant in both roles as a prosecutor and public defender, she sought justice on both sides of the aisle and negotiated to resolve cases with opposing counsel. Sherry’s keen sense for handling complex cases, solving problems and managing teams led to special recognition in multiple cases she prosecuted. Sherry has a passion for public service and for teaching. She served the Town of Fountain Hills as a Commissioner on the Planning and Zoning Commission from 2006 until 2010. She worked as a part-time adjunct professor teaching law related courses at Western International University. In addition to the leadership roles she held as an attorney, Sherry earned a Management and Leadership Institute Certificate from the ASU Bob Ramsey Executive Education program in 2015 and became a certified facilitator in The Leadership Challenge® in 2017. When she is not working, she enjoys writing, yoga, golfing, biking, hiking and anything that involves the outdoor beauty that Arizona has to offer. Sherry has close family members in Arizona and Chicago. She enjoys living in Fountain Hills and is honored to serve its citizens in her role as a Councilmember. 33 Town Council Alan Magazine Councilmember Magazine received a Ph.D. from the University of Maryland in 1976. He has lived in Fountain Hills with his wife, Cynthia, since 2006. Magazine has two children and a granddaughter. Cynthia has two children from a previous marriage and four grandchildren. Councilmember Alan Magazine was sworn in for his first term on the Town Council on December 4, 2014. Prior to that, he served for over five years on the Strategic Planning Advisory Commission, the last year as Chair. Born and raised in the Boston area, his entire career took place in Washington, D.C. where he served as president of three organizations, the last being The Health Industry Manufacturers Association. Additionally, he served on the staff of the International City Management Association, as well as two four-year terms on the Fairfax County Board of Supervisors in Virginia. In the latter capacity, he represented the county on the Metropolitan Washington Council of Governments’ Board of Directors, as well as serving as Chairman of the Northern Virginia Transportation Commission. During his “retirement” in Fountain Hills, he has won numerous awards as a nature photographer. 34 Town Council Mike Scharnow Mike has served as a church elder, helped organize the VisionFH program and was part of the organizing committee that launched the Fountain Hills Leadership Academy. He was named “Entrepreneur of the Year” for 2018 by the Fountain Hills Chamber of Commerce. He graduated from the University of Wisconsin in 1983 with Bachelor of Arts degrees in English, psychology and philosophy. Mike lives here with his wife, Brenda, and has two adult children who were raised in Fountain Hills. In his spare time he enjoys traveling with his wife, especially on their Harley-Davidson motorcycle. Councilmember Mike Scharnow started working in Fountain Hills in 1983 and has resided here since 1990. He worked at “The Fountain Hills Times” for 32 years, many of those as editor, before switching careers at the start of 2016 and becoming a financial advisor for Thrivent Financial with an office in Fountain Hills. Mike has volunteered for a plethora of organizations and causes in Fountain Hills over the past three decades. He currently is a 25-year member of the Noon Kiwanis Club and is on the board of directors for the Fountain Hills Youth Substance Abuse Prevention Coalition, the Lower Verde Valley Hall of Fame Foundation and Fountain Hills Sister Cities Corp. He was inducted into the Hall of Fame in 2009. He was founding chairman of the first Parks and Recreation Commission for the Town of Fountain Hills and helped provide input for the design of Golden Eagle Park, helped coordinate the first Turkey Trot and introduced the town’s first official recreation program. 35 Town Council David Spelich Upon relocating to Arizona, David has been active in community affairs, at both state, county, and local levels. He is a member of the Sons of the American Legion, and the Fountain Hills Republican Club. In 2017 he assumed the duties of the 2nd vice president for that club. He currently serves as Republican Committeeman in LD23. He has volunteered on the Maricopa Cold Case Posse. After serving one year on the Governor’s Advisory Council on Aging (GACA), in 2018 he was appointed as Secretary of the Executive Board of the Governor’s Advisory Council on Aging (GACA), where he remains an active member. Councilmember David Spelich graduated with his degree in Mortuary Science and has worked as a funeral director, criminal investigator for the Cook County Medical Examiner’s Office, and, at the time of his retirement, was assigned as the Chicago Police Department’s Violent Crimes Detective Liaison to the Cook County Medical Examiner’s Office. He is coauthor of a textbook on Medico-legal Death Investigations. David has a combined twenty-four years in law enforcement. The majority of his career in the Chicago Police Department was spent as a Violent Crimes detective. He also spent time working on the streets in a beat car, a diver on the Marine Unit, and an instructor at the CPD Police Academy. Currently, David works as an investigator for the State of Arizona Department of Education. David purchased a home in Fountain Hills in 2009 and, upon retiring from the Chicago Police Departments in 2014, became a full-time resident in Fountain Hills. 36 Town Council Art Tolis Art is married to Heather Tolis and is the proud father to six children who are either currently attending or have graduated from the Fountain Hills Unified School District. Vice Mayor Art Tolis has been active in the Fountain Hills community for over 16 years. He has served on many boards and commissions including the Fountain Hills Chamber of Commerce (2003-2007), Treasurer of the Chamber in 2006, L. Alan Cruikshank River of Time Museum Board of Directors, Fountain Hills Realtor Marketing Chair/ Scottsdale Association of Realtors Board of Directors, the Town of Fountain Hills Planning & Zoning Commission, Four Peaks Rotary (2016-2017 as President), and is a graduate of the first Fountain Hills Leadership Academy class. Prior to moving to Arizona, Art was active in Connecticut politics and also served on the Town Council for Berlin, Connecticut. He has a Bachelor’s Degree from Syracuse University and a Master’s Certificate from Pacific Coast Banking School/ University of Washington. In addition to these community positions, Art is the owner of Tolis Mortgage Financial Group and is a licensed mortgage broker, realtor and insurance agent (life and health). 37 Town Council Terms of Office Elected Officials’ Terms of Office Mayor: Ginny Dickey Term of Office: First term: December 2018—November 2020 First term: December 2018—November 2022 Partial term: Second term: Third term: May 2009—May 2012 June 2012—November 2016 December 2016—November 2020 Partial term: October 2018—November 2020 First term: Second term: December 2014—November 2018 December 2018—November 2022 David Spelich Term of Office: First term: December 2018—November 2022 Art Tolis Term of Office: First term: December 2016—November 2020 Vice Mayor: Mike Scharnow Term of Office: Councilmembers: Dennis Brown Term of Office: Sherry Leckrone Term of Office: Alan Magazine Term of Office: 38 Financial Overview & Policies Financial Overview & Policies 39 Financial Overview & Policies FUND STRUCTURE TOWN OF FOUNTAIN HILLS BUDGETARY FUNDS GENERAL FUND SPECIAL REVENUE DEBT SERVICE CAPITAL PROJECT INTERNAL SERVICE FUNDS FUNDS FUNDS FUNDS STREETS GENERAL OBLIGATIONS CAPITAL PROJECTS FACILITIES REPLACEMENT DOWNTOWN STRATEGY EAGLE MOUNTAIN ECONOMIC DEVELOPMENT MUNICIPAL PROPERTY CORP TOURISM SPECIAL REVENUE PUBLIC ART COURT ENHANCEMENT ENVIRONMENTAL COTTONWOODS MAINT DIST 40 FIRE & EMS TECHNOLOGY DEVELOPMENT REPLACEMENT STREETS DEVELOPMENT VEHICLE REPLACEMENT PARKS & REC DEVELOPMENT Financial Overview & Policies FUND/DEPARTMENT STRUCTURE Governmental Funds Total Proposed Budget Amount Department Fund Fund Type 19,258,286 $ Total General Fund 74,882 Mayor & Town Council General Fund 2,339,663 Administration General Fund 2,204,942 General Government General Fund 402,604 Municipal Court General Fund 1,120,866 Public Works General Fund 946,484 Development Services General Fund 2,942,046 Community Services General Fund 5,029,469 Law Enforcement General Fund 4,197,330 Fire & Emergency Medical General Fund Amount Department Fund Fund Type 7,788,742 $ Total Special Revenue 5,120,822 Public Works Streets (HURF) 38,400 Administration Downtown Strategy Fund 241,270 Administration Economic Development Fund 208,266 Administration Tourism Fund 1,338,500 Administration Special Revenue Fund 144,649 Community Services Public Art Fund 24,800 Municipal Court Court Enhancement Fund 666,904 Public Works Environmental Fund 5,131 Cottonwoods Maintenance District Fund Administration Amount Department Fund Fund Type 408,600 $ Total Debt Service 350 Administration General Obligation Bond Fund 407,240 Administration Eagle Mountain CFD Fund 1,010 Administration Municipal Property Corporation Fund Amount Department Fund Fund Type 5,497,230 $ Total Capital Projects 5,457,230 Administration, Community Capital Projects Fund Services, Public Works 40,000 Fire, Public Works, Development Fees Funds Community Services Amount Department Fund Fund Type 896,133 $ Total Internal Service 819,144 Public Works Facilities Replacement Fund 25,000 General Government Internal Service Fund 51,989 General Government Vehicle Replacement Fund GRAND TOTAL ALL FUNDS $ 33,848,991 The preceding page depicts the budgetary funds of the Town. The table above represents the departments of the Town and the funds that are used by those departments. 41 Financial Overview & Policies FUND STRUCTURE The accounts of the Town are organized on the basis of funds, each of which is considered a separate accounting entity. Operations of each fund are accounted for with a separate set of self-balancing accounts that comprise its assets, liabilities, fund equity, revenues and expenditures. Town resources are allocated to and accounted for in individual funds based on the purposes for which they are to be spent and the means by which spending activities are controlled. The Town of Fountain Hills appropriates all funds in its budget process. General Fund «The General Fund (Fund 100) is the primary operating fund of the Town and accounts for the resources and uses of various Fountain Hills departments. It exists to account for the financing of services traditionally associated with local government. These services include police and fire protection, development services (planning & zoning/building safety/code enforcement/GIS), public works (facilities/engineering), community services (parks and recreation/ community center/senior services), general administration, and any other activity for which a special fund has not been created. Governmental accounting requires the General Fund be used for all financial resources except those required to be accounted for in another fund and have designations of non-spendable, restricted, committed, assigned or unassigned. Special Revenue Funds «Special Revenue Funds are used to account for the proceeds of specific revenue sources that are legally restricted to expenditures for specified purposes, designated as committed or restricted. The Town maintains the following Special Revenue Funds: «The Streets (HURF) Fund (Fund 200) is funded by .2% of local sales tax, State-shared revenues and transfers from the Capital Improvement Fund. The State of Arizona taxes motor fuels and collects a variety of fees and charges relating to the registration and operation of motor vehicles. These revenues are deposited in the Arizona Highway User Revenue Fund (HURF) and are then distributed to the cities, towns, and counties and to the State Highway Fund. This fund may only be used for street and highway purposes and is a restricted fund. «The Downtown Strategy Fund (Fund 300) is a committed fund which may only be used for development of the downtown. Revenue for this fund comes from the 20% of the .1% of local sales tax collections that have been dedicated for this purpose. «The Economic Development Fund (Fund 310) is a committed fund which may only be used for economic development. Revenue for this fund comes from the 80% of the .1% of local sales tax collections that have been dedicated for this purpose. «The Tourism Fund (Fund 320) is a committed fund w hich may only be used for tourism. Revenue for this fund is provided by a transfer from the Economic Development Fund and grant money. 42 Financial Overview & Policies «The Special Revenue/Grants Fund (Fund 400) is restricted by the terms of the individual grants or program funds received. An example of this would be state or federal funds. These funds are to be used only for the specific program or programs for which the funds have been awarded and in accordance with all the grant conditions. «The Public Art Fund (Fund 410) is funded by developer in -lieu contributions. These funds may only be used for the maintenance of art and for the installation of this art throughout the community. This fund has a committed fund balance. «The Court Enhancement Fund (Fund 420) is a restricted fund which may only be used to enhance the technological, operational and security capabilities of the Fountain Hills Municipal Court and to support the operation of the Court collection program. Revenues are derived from court fees and bond forfeitures. «The Environmental Fund (Fund 460) is an assigned fund which may only be used to help offset the costs of stormwater management and air quality permit requirements as well as other environmental programs. These items include, but are not limited to, permit fees, wash maintenance, ADWR dam inspection and maintenance, street sweeping, storm drain cleaning and household hazardous waste disposal. Revenues are derived from the annual environmental fee billed to Town residents. «The Cottonwoods Maintenance District Fund (Fund 550) is a restricted fund which may only be used for maintenance of the Cottonwoods Maintenance District. Revenues are derived from a secondary property tax. Debt Service Funds Debt Service Funds are established for the payment of principal and interest on bonded indebtedness. Revenues are derived from a secondary property tax levy, and municipal property lease payments. (The 0.2% of local sales tax previously dedicated to mountain preserve bonds has been redirected to the Highway User Revenue Fund for the pavement management program.) Revenues are received in amounts sufficient to pay the annual debt service payment; therefore, the fund balance will be no less than the annual debt service payment due on July 1 of the new fiscal year plus an amount equal to the average annual delinquency factor based on the prior three years’ delinquency rate, categorized as restricted. Debt Service Funds include:    General Obligation Debt Service (Fund 510) Eagle Mountain CFD Debt Service (Fund 520) Municipal Property Corporation Debt Service (Fund 530) Capital Project Funds «Capital Project Funds are used for the acquisition and/or construction of major capital items including facilities, heavy equipment, technology, open space, park improvements, and major road improvements. 43 Financial Overview & Policies «The Capital Projects Fund (Fund 600) revenues are committed revenues derived from excess General Fund revenues and 50% of the construction related local sales tax. The Capital Projects Fund is the primary source of capital improvements funding for the Town. «The Development Fee Funds (Funds 710-770) are restricted funds which may only be used for the planning, design, and construction of public facilities serving the needs of the new development from which it was collected and designated as restricted. The Town has developed an Infrastructure Improvement Plan (IIP) that identifies each public improvement that is proposed to be the subject of a development fee. This IIP is incorporated as part of the Town’s Capital Improvement Program (CIP). Development Fee funds now only include:    Fire & Emergency (Fund 720) Streets (Fund 730) Parks/Recreation (Fund 740) Internal Service Funds «The Internal Service Funds are used to account for the Tow n ’s business-type activities. These funds are considered self-supporting in that the services rendered are financed through user charges or are on a cost reimbursement basis. These funds are classified as having assigned fund balances. Internal Service Funds include:    Facilities Replacement Fund (610) Technology Replacement Fund (Fund 800) Vehicle Replacement Fund (Fund 810) BUDGETARY AND ACCOUNTING BASIS The budget is prepared on a budgetary basis of accounting for all fund types. Expenditures are recorded when the related fund liability is incurred, and revenues are recognized only when they are measurable and available. In all cases, when goods and services are not received by year-end, the encumbrances lapse. This basis means certain transactions are recognized in the budget on a basis other than Generally Accepted Accounting Principles (GAAP), which is the basis used to prepare the Town’s Comprehensive Annual Financial Report (CAFR). The major differences between the budgetary and GAAP basis are: 44  Certain revenues, expenditures and transfers are not included on a budgetary basis, but are accrued and reported on a GAAP basis. For example, increases or decreases in compensated absences are not reported for budgetary purposes, but are presented as revenues or expenditures on a GAAP basis.  Depreciation is not budgeted as an expense in budgetary accounting.  Capital outlays are an expenditure in budgetary accounting and an asset in GAAP. Financial Overview & Policies  Certain debt service principal and interest payments are accounted for as expenditures in the General Fund on a budgetary basis, but are reported as expenses in the Debt Service Fund on the GAAP basis. All actual amounts in the budget document are shown on the budgetary basis to facilitate meaningful comparisons. Operating and Capital Budget Relationship Included within the annual budget is a Capital Improvement Program presented on a budgetary basis. Capital project budget funding sources are matched with budgeted expenditures. Governmental accounting procedures do not require adequate budget to pay for an entire contract to be available and appropriated in the period in which a contract is entered. Therefore, expenditures are presented on a budgetary basis which is a cash flow model. For example, a 180 day construction contract entered into in May of fiscal year one would have cash expenditures from May of fiscal year one through October of fiscal year two; however, the entire budget for this project would not be appropriated in fiscal year one, the year in which the contract was entered. Any unspent funds at fiscal year-end are carried forward and budgeted again in fiscal year two. 45 Financial Overview & Policies TOWN OF FOUNTAIN HILLS FINANCIAL POLICIES I. INTRODUCTION The Mayor and Town Council (the “Town Council”) of the Town of Fountain Hills (the “Town”) understands that principles of sound financial management establish the framework for overall fiscal planning and management. The principles set forth guidelines for both current activities and long range planning. Following these principles will enhance the Town’s financial health as well as its image and credibility with its citizens, the public in general, bond rating agencies and investors. The policies will be reviewed periodically to assure the highest standards of fiscal management. Policy changes will be needed as the Town continues to grow and becomes more diverse and complex in the services it provides, as well as the organization under which it operates, to provide these services to its citizens. The Town Manager and staff have the primary role of reviewing and providing guidance in the financial area to the Town Council. II. OVERALL GOALS The overall financial goals underlying these principles are: 2.1 Fiscal Conservatism. To ensure that the Town is, at all times, in a solid financial condition, defined as: A. Cash solvency – the ability to pay bills. B. Budgetary solvency – the ability to balance the budget. C. Long run solvency – the ability to pay future costs. D. Service level solvency – the ability to provide needed and desired services. E. Adhering to the highest accounting and management practices as well as the financial reporting and budgeting standards established by the Government Finance Officers Association, by the Governmental Accounting Standards Board (GASB) and by other professional organizations. 2.2 Maintaining Bond Rating. To maintain an Aa3 or better bond rating in the financial community to assure the Town taxpayers that the Town government is well managed and financially sound. 2.3 Stability. To have the ability to withstand local and regional economic fluctuations, to adjust to changes in the service requirements of our community, and to respond to changes in Federal and State priorities and funding as they affect the Town’s residents. 2.4 Delivering Quality Services. To deliver quality services in an affordable, efficient and cost-effective basis providing full value for each tax dollar. 46 Financial Overview & Policies III. FUND BALANCE “Fund balance” is defined as the cumulative difference between a fund’s assets and its liabilities. The purpose of this policy is to establish a key element of the financial stability of the Town by setting guidelines for fund balance. It is essential that the Town maintain adequate levels of fund balance to mitigate financial risk that can occur from unforeseen revenue fluctuations, unanticipated expenditures, and similar circumstances. The fund balance also provides cash flow liquidity for the Town’s general operations. Fund balance is an important indicator of the Town’s financial position, and adequate reserves must be maintained to allow the Town to continue providing services to the community during periods of economic downturns or emergencies, and/or when unanticipated expenditures occur. The level of fund balance is related to the degree of uncertainty and risk that the Town faces. A prudent level of financial resources is necessary to protect against the need to reduce service levels due to temporary revenue shortfalls or unanticipated one-time expenditures. With the Town’s dependency on local sales tax and State shared revenues, there is increased risk of revenue fluctuations due to the overall condition of the economy. Therefore, the level of reserves needs to be sufficient to ensure stability of governmental operations during a slowdown in the economy or legislative changes to the State’s revenue sharing formula. Fund balance is one of the most widely utilized elements of a government’s financial statements. This measure of financial health is used by (1) residents, (2) state, county and local legislators and officials, (3) municipal bond analysts through credit reviews and ratings, (4) taxpayer associations, (5) research organizations and oversight bodies, and (6) reporters. Other factors that influence the level of fund balance are: 1. Credit reviews performed by municipal bond analysts. 2. Improving or preserving the Town’s bond rating. 3. Maintaining a positive trend in historical fund balances. 4. Maintaining a rating equal to or better than surrounding communities. The Governmental Accounting Standards Board (“GASB”) determined that the usefulness and value of fund balance information was significantly reduced by misunderstandings caused by inconsistent treatment and financial reporting practices of governments. As a result, GASB issued a pronouncement, GASB Statement No. 54 (“GASB 54”), which applies to the financial reports of all state and local governments. GASB 54 improved financial reporting by providing fund balance classifications that are more easily understood by the user. 3.1 Fund Balance Classifications. An accounting distinction is made between the various portions of fund balance reported in the Town’s financials. The five classifications are: (A) Non-spendable Fund Balance—Includes amounts either not in spendable form or legally or contractually required to be maintained intact. This amount includes inventory, pre-paid items, and non-current receivables such as long-term loan and notes receivable and property held for resale (unless the proceeds are restricted, committed or assigned). 47 Financial Overview & Policies (B) Restricted Fund Balance —Includes amounts that are constrained for a specific purpose through restrictions either (1) externally imposed by creditors (such as through debt covenants), grantors, contributors, or laws or regulations of other governments or (2) imposed by law through constitutional provisions or enabling legislation. (C) Committed Fund Balance —Includes amounts that are committed for specific purposes by formal action of the Town Council. Although amounts designated “committed” are not legally restricted like restricted fund balance, these committed amounts cannot be used for any other purpose unless the Town Council removes or changes the limitation by taking the same form of action it employed to impose the limitation. The action to commit fund balances must occur prior to year-end; however, actual amounts can be determined in the subsequent period. (D) Assigned Fund Balance —Includes amounts that are intended by the Town to be used for specific purposes but are neither restricted nor committed. Intent should be expressed by the Town Council itself or a subordinate high-level body or official possessing the authority to assign amounts to be used for specific purposes in accordance with policy established by the Town Council. This assignment would include any activity reported in a fund, other than the General Fund, that is not otherwise restricted more narrowly by the above definitions. The Town is not allowed to assign balances that result in a residual deficit in the fund. (E) Unassigned Fund Balance —Includes any remaining amounts after applying categories (A)-(D) above (non-spendable, restricted, committed, or assigned). The General Fund is the only fund that will report a positive unassigned fund balance. 3.2 General Fund. The fund balance of the Town’s General Fund may consist of up to five classifications, as described previously. In order to satisfy the objective of maintaining a bond rating equal to or better than surrounding peer communities, a combined fund balance of at least 30% of the average actual General Fund revenues for the preceding five fiscal years is recommended to be kept in the Committed, Assigned, and Unassigned classifications. A. Committed Fund Balance. The Town will maintain a Committed Fund Balance in the General Fund of 20% of the average actual General Fund revenues for the preceding five fiscal years. The maintenance of this fund balance is a particularly important factor considered by credit rating agencies in their evaluation of the Town’s credit worthiness. (1) Stabilization Fund (Rainy Day Fund). As a component of the General Fund’s Committed Fund Balance, the Town will maintain a Stabilization Fund that shall be designated for use in the event of an unanticipated expenditure or loss of revenue. The balance of the Stabilization Fund at the end of any fiscal year will be equal to a minimum of 20% of the average actual General Fund revenues for the preceding five fiscal years. (2) Stabilization Fund Guidelines. In order to achieve the objectives of 48 Financial Overview & Policies this policy, ensure financial stability, and to maintain sufficient operating capital, the following guidelines shall be followed by the Town Council, Town Manager and Town Staff: (a) Increases to Fund. At the conclusion of the Town’s annual financial audit, Town Staff shall determine the amount of revenues received by the General Fund in excess of expenditures and interfund transfers made from the General Fund for the year just audited. Transfers shall then be made as set forth herein until the Fund’s balance is equal to at least 20% of the average actual General Fund revenues for the preceding five fiscal years. (b) Decreases to Fund. The Stabilization Fund shall be decreased for only one or more of the following purposes and/or under the following circumstances: (i) To replace the loss of more than 25% of the Town’s Transaction Privilege Tax revenue or State shared revenues. (ii) For any event that threatens the health, safety, or welfare of the Town’s citizens. (iii) For any event that threatens the financial stability of the Town. (iv) To address any matter declared as an emergency by the Governor or the Mayor. (c) Authorization of Use. All decreases in the Stabilization Fund shall be subject to the following: (i) Any decrease shall require the approval by at least 2/3 of the entire Town Council. (ii) The total of all decreases during a fiscal year shall not exceed one-half of the beginning fund balance plus any increases during the same fiscal year. (d) Replenishment Rules. Any amount transferred from the Stabilization Fund shall be replenished as follows: (i) All amounts shall be transferred back to the Fund within five years. At least 20% of the total amount originally transferred from the Fund shall be transferred back to the Fund in each of these five years. (ii) Replenishment transfers shall be appropriated as part of the annual budget process. B. Assigned Fund Balance. The Town will maintain an Assigned Fund Balance, in such amounts as deemed necessary by the Town Manager, to systemically accumulate the replacement costs of certain fixed assets. As replacement purchases are made, fund balance will be replenished by charging the owning Department or Division amounts based on the estimated useful life and estimated future replacement value of the fixed as49 Financial Overview & Policies set. Budgeted expenditures of Assigned Fund Balance shall comply with Town policy. C. Unassigned Fund Balance. The Town will maintain an Unassigned Fund Balance in the General Fund in an amount equal to 20% of the average actual General Fund revenues for the preceding five fiscal years. Funds in excess of the balances described in the preceding paragraphs will be Unassigned Fund Balance, unless otherwise assigned in accordance with GASB 54. Any revenues collected in excess of expenditures and interfund transfers made from the General Fund will be used to satisfy fund balance requirements first. Any remaining fund balance will be transferred to the Capital Projects Fund. During the annual budget process, the Town Manager will estimate the surplus or deficit for the current year and prepare a projection of the year-end fund balances by classification. Such projection will include an analysis of trends in fund balance levels on an historical and future projection basis. The Finance Director is authorized to assign available fund balance for specific purposes in accordance with GASB 54. It is the Town’s policy that expenditures for which more than one category of fund balance might be used, Restricted Fund Balance used first, Committed Fund Balance used second, Assigned Fund balance used third, and Unassigned Fund Balance used last. 3.3 Special Revenue Funds. A. Streets Fund (HURF). The Streets Fund is used solely for street and highway purposes. The fund is mostly supported by contributions from the State’s Highway User Revenue Fund (HURF); however, the Town Council may also direct portions of other revenue sources to the fund in order to meet the needs of the Town’s Pavement Management Program. All HURF revenue received is included in Restricted Fund Balance. B. Excise Tax Funds. These funds are created by action of the Town Council, either by resolution or during the annual budget process, to track and report activities for a specified purpose. The resources in these funds are classified as Committed Fund Balance. 3.4 Debt Service Funds. The Debt Service Fund is established for the payment of principal and interest on bonded indebtedness and is classified as Restricted Fund Balance. Revenues may be derived from a property tax levy, pledged excise taxes, municipal property lease payments and shared revenues. Revenues are received in amounts sufficient to pay the annual debt service payment; therefore, the restricted fund balance will be no less than the annual debt service payment due on July 1 of the new fiscal year and no more than the annual debt service payment due on July 1 plus an amount equal to the average annual delinquency factor based on the prior three years’ delinquency rates. 3.5 Capital Projects Fund. A. Capital Project Fund. A Capital Projects Fund has been established to allow the Town to accumulate monies for: (1) purchase of land or buildings; (2) improvements to Town-owned properties; (3) grant matches 50 Financial Overview & Policies associated with capital improvements; (4) public safety projects and equipment purchases; (5) economic development projects; and (6) such other capital projects as determined by the Town Council. The Capital Projects Fund will be funded by: (A) sales of real and personal property belonging to the Town; (B) General Fund transfer of any excess revenues (from the prior fiscal year) collected over budgeted and unexpended appropriations not needed to meet fund balance requirements or reappropriation; and (C) interest earnings on the balance of the fund invested per the Town’s investment policy. B. Development Fee Funds. Accounted for separately, but considered part of the Capital Projects Fund, are accumulated development fees collected pursuant to ARIZ. REV. STAT. § 9-463.05 that are assessed on new construction for the purpose of funding growth. These funds are restricted to growth-related capital expenditures as designated in the Town’s adopted Infrastructure Improvements Plan. The fund balance will be established each fiscal year during the budget process depending on planned expenditures but cannot exceed accumulated revenues. The Town shall first be entitled to recoup the cost of any capital improvements, infrastructure, marketing or sales-related costs associated with the disposition of property before crediting the Capital Projects Fund (for funds other than development fees). The Town Council may approve the uses of the Capital Projects Fund as a part of its annual budget or by motion and affirmative vote at the time the expenditures are approved. 3.6 Replacement Funds. Replacement Funds are established to accumulate the resources necessary to replace vehicles, facility components, information technology, and other equipment at the end of their useful lives. The Town’s various Departments and Divisions will incur annual internal service charges, based on their shared usage of the underlying asset, its useful life, and the future value of the replacement’s cost. The resources in these funds are classified as Assigned Fund Balance. IV. FINANCIAL PLANNING Financial planning refers to the process of identifying resources and allocating those resources among competing purposes. The primary vehicle for this planning is the preparation, monitoring, and analyses of the Town’s budget. It is increasingly important to monitor the performance of the programs competing to receive funding. 4.1 Budget Adoption. The Town Manager shall prepare a proposed annual budget, which shall be submitted to the Town Council and the public for review in accordance with Ariz. Rev. Stat. § 42-17001, et seq. The Town will budget revenues and expenditures on the basis of a fiscal year beginning July 1 and ending the following June 30. The Town Council will adopt the budget no later than June 30. By adopting the budget and the various funds set forth therein, the Town Council expresses its intent to commit fund balances for the purpose of GASB 54 classifications. The Town Manager shall execute the Town Council policies as set forth in the finally adopted budget. 4.2 Budget Preparation. The Town Manager or authorized designee will prepare 51 Financial Overview & Policies a budget in accordance with the guidelines established by the Government Finance Officers Association in its Distinguished Budget Award Program. The proposed budget will contain the following: A. Revenue estimates by major category, by major fund. B. Expenditure estimates by department levels and major expenditure category, by fund. C. Estimated fund balance by fund. D. Debt service by issue detailing principal and interest amounts by fund. E. Proposed personnel staffing levels. F. A detailed schedule of capital projects, including a capital improvement program. G. 4.3 Any additional information, data, or analysis requested of management by the Town Council. Operating Budget. The operating budget will be based on the principle that current operating expenditures, including debt service, will be funded with current revenues, creating a balanced budget. The Town will not balance the current budget at the expense of meeting future years’ expenditures; for example, accruing future years’ revenues, or rolling over short-term debt to avoid planned debt retirement. 4.4 Revenue Sources. Ongoing operating costs should be supported by ongoing, stable revenue sources. This policy protects the Town from fluctuating service levels and avoids crises when one-time revenues are reduced or removed. Revenues from growth or development should be targeted to costs related to development, or invested in improvements that will benefit future residents or make future service provision efficient. 4.5 Revenue Estimate. The Town Manager will provide an estimate of the Town’s revenues annually for each fiscal year, as well as estimates of special (grant, excise tax, etc.) revenues and interfund transfers. 4.6 Staffing. The budget will fully appropriate the resources needed for authorized regular staffing. At no time shall the number of regular full-time employees on the payroll exceed the total number of full-time positions authorized by the Town Council. All personnel actions shall be in conformance with applicable Federal and State law and all Town ordinances and policies. 4.7 Budget Preparation Schedule. Annually, the Town Manager shall provide a budget preparation schedule outlining the preparation timelines for the proposed budget. Budget packages for the preparation of the budget, including forms and instructions, shall be distributed to Town Departments in a timely manner for the Department’s completion. Department Directors shall prepare and return their budget proposals to the Administration Department, as required in the budget preparation schedule. 4.8 Performance Measurement. Performance measurement indicators will be in- 52 Financial Overview & Policies tegrated into the budget process as appropriate. 4.9 Efficiency Analysis. Alternatives for improving the efficiency and effectiveness of the Town’s programs and the productivity of its employees will be considered during the budget process. Duplication of services and inefficiency in service delivery should be eliminated wherever they are identified. 4.10 Department Responsibility. Department Directors are required to monitor revenues and control expenditures to prevent exceeding their total departmental expenditure budgets. Department Directors shall immediately notify the Town Manager of any exceptional circumstances that could cause a departmental expenditure budget to be exceeded. 4.11 Quarterly Report. A quarterly report on the status of the General Fund budget and trends will be prepared within 60 days of the end of each quarter by the Town Manager or authorized designee. 4.12 Deficit. If a deficit is projected during any fiscal year, the Town will take steps to reduce expenditures, increase revenues or, if a deficit is caused by an emergency, consider using the Rainy Day Fund, to the extent necessary to ensure a balanced budget at the close of the fiscal year. The Town Manager may institute a cessation during the fiscal year on hirings, promotions, transfers, and capital equipment purchases. Such action will not be taken arbitrarily or without knowledge and support of the Town Council. V. EXPENDITURE CONTROL The Town Manager shall ensure compliance with the legally adopted budget. In addition, purchases and expenditures must comply with all applicable legal requirements. 5.1 Budgeted Expenditures. Expenditures will be controlled by an annual budget at the departmental level. The Town Council shall adopt appropriations through the budget process. Written procedures will be maintained for administrative approval and processing of certain budget transfers within funds. 5.2 Purchasing System and Policies. The Town will maintain a purchasing system that provides needed materials in a timely manner to avoid interruptions in the delivery of services. All purchases shall be made in accordance with the Town’s purchasing policies, guidelines and procedures and applicable State and Federal laws. The Town will endeavor to obtain supplies, equipment, and services as economically as possible. 5.3 Internal Controls. Expenditures will be controlled through appropriate internal controls and procedures in processing invoices for payment. 5.4 State Expenditure Limit. The State of Arizona sets a limit on the expenditures of local jurisdictions. The Town will comply with these expenditure limitations and will submit an audited expenditure limitation report, audited financial statements and audited reconciliation report as defined by the Uniform Expenditure Reporting System (Ariz. Rev. Stat. § 41-1279.07) to the State Auditor General each year. 53 Financial Overview & Policies 5.5 Capitalized Assets. All assets of $10,000 or more will be capitalized and recorded in the Town of Fountain Hills Summary of Capital Assets. VI. REVENUES AND COLLECTIONS All government employees are considered stewards of public funds. In order to provide funding for service delivery, the Town must have reliable revenue sources. These diverse revenues must be collected equitably, timely and efficiently. 6.1 Balanced Revenue Base. The Town’s goal is a General Fund revenue base that is equally balanced between sales taxes, State-shared revenues, property tax, service fees, and other revenue sources. 6.2 Stable Revenue Base. The Town will strive for a diversified and stable revenue base to shelter it from economic changes or short-term fluctuations and in any one revenue source by doing the following: A. Establishing new charges and fees as needed and as permitted by law at reasonable levels. B. Pursuing legislative change, when necessary, to permit changes or establishment of user charges and fees. C. Aggressively collecting all revenues, late penalties, outstanding taxes owed and related interest as authorized by law. 6.3 Monitoring Collection. The Town Manager or authorized designee will monitor all taxes to ensure they are equitably administered and collections are timely and accurate. Fees and charges should be based on benefits and/or privileges granted by the Town, or based on costs of a particular service. 6.4 Intergovernmental Aid. The Town Manager or authorized designee should pursue intergovernmental aid for those programs and activities that address a recognized need and are consistent with the Town’s long-range objectives. Any decision to pursue intergovernmental aid should include the consideration of the following: 6.5 54 A. Present and future funding requirements. B. Cost of administering the funds. C. Costs associated with special conditions or regulations attached to the grant award. Cost Recovery. The Town will attempt to recover all allowable costs (both direct and indirect) associated with the administration and implementation of programs funded through intergovernmental aid. In the case of the Fountain Hills Unified School District, the Town may determine to recover less than full cost of services provided. In the case of State and Federally mandated programs, the Town will attempt to obtain full funding for the service from the governmental entity requiring the service be provided. Allowable costs will be determined based upon a “Cost Allocation Study” prepared periodically. Financial Overview & Policies 6.6 Growth Revenues. Local sales tax revenues are derived from several sources with a significant portion from construction related activity. To ensure that the revenues from growth or development are targeted to costs related to development, or invested in improvements that will benefit future residents or make future service provision efficient, the Town will designate 50% of those one-time revenues to the Capital Projects Fund. Monthly, these revenues will be transferred from the General Fund to the Capital Projects Fund for future appropriation. VII. USER FEE COST RECOVERY User fees and charges are payments for voluntarily-purchased, publicly-provided services that benefit specific individuals. The Town relies on user fees and charges to supplement other revenue sources in order to provide public services. 7.1 Establishing Fees. The Town may establish user fees and charges for certain services provided to users receiving a specific benefit. User fees and charges will be established to recover as much as possible the direct and indirect costs of the program or service, unless the percentage of full cost recovery has been mandated by specific action of the Town Council. It is recognized that occasionally competing policy objectives may result in reduced user fees and charges that recover a smaller portion of service costs. 7.2 Recalculation. Periodically, the Town will recalculate the full costs of activities supported by user fees to identify the impact of inflation and other attendant costs. VIII. CASH HANDLING POLICY Collecting and controlling cash at the Town are very important functions. The Customer Service Representatives and Permit Technicians are the Town’s cash handling agents. Strong internal controls for cash collection and handling are necessary to prevent mistreatment of Town funds and to safeguard and protect employees from unwarranted charges of mishandling funds. Historical practices shall not constitute justification for deviation from these procedures. The material contained in this Section supersedes any previous policies and procedures regarding the handling of cash followed within the Town and/or within Departments. The Finance Division will conduct periodic reviews of cash handling procedures. Any amendments to the policies require Town Council approval, but the Town Manager may make interpretations and exceptions to the policies contained in this Section as more particularly set forth in Subsection 8.13 below. 8.1 Individual Responsibilities. All cash transactions are to be processed by Town staff (including cash, credit cards, checks, etc.) and not volunteers. Any Department Director or manager with responsibilities for managing Town cash receipts and those employees who are entrusted with the receipt, deposit and reconciliation of cash for Town-related activities shall be responsible for knowledge of and compliance with this Section VIII. A reference to this Section should be included as part of all departmental policies and procedures. 8.2 Establishing Cash Handling Sites. Ideally, from a control perspective, col- 55 Financial Overview & Policies lecting and controlling cash should be centralized in one location; however, that is not always possible or practical. As a result, the collection of money is, in part, decentralized. The Finance Division must authorize all cash handling sites, including one-time requests for cash for special events. Departments requesting status as a cash handling site (or special events where money is being collected and a cash float is needed) must submit a request to the Finance Division at least 24 hours prior to the special event that includes: 8.3 A. Reason(s) why cash handling site or cash float is needed. B. A list of the personnel involved with the cash handling site, descriptions of their duties, and how segregation of duties will be maintained. C. Whether a change drawer will be needed. D. A description of the reconciliation process, including frequency of reconciliation. E. A description of the process for safeguarding cash until it is deposited. F. A schedule of how often and where cash deposits will be made. Procedures for Cash Collection. A. 56 “Cash” is defined as any of the following accepted methods of payment for Town transactions: (1) Cash (U.S. coin and currency). (2) Checks (drawn on U.S. banks and made payable to the Town; no third party checks). (3) Credit Cards (MasterCard, Visa, Discover, American Express). (4) Money Orders. B. Cash should be physically protected through the use of vaults, safes, cash registers, etc. Each Department is responsible to make the necessary provisions to properly safeguard the cash receipts in its area and maintain the necessary safe or vault that will ensure the security. Generally, any amount of cash on hand must be maintained in a vault or heavy safe (one which cannot be easily moved by two persons using a hand cart). Cash should not be retained in desk drawers or standard file cabinets without a locking mechanism; petty cash must be secured in a locked file cabinet and keys should be secured separately. C. The cash drawer should be kept shut when not in use and after each transaction. The cash drawer, when open, should not be left unattended when it contains money. The contents of cash drawers should Financial Overview & Policies be placed in a safe, vault, or an approved, locked location after each day; all safes are to be kept locked. 8.4 Receipts. A. Procedures must be in place to record the daily beginning and ending receipt numbers of the cash register, and include safeguards to prevent manipulation of register totals, receipt numbers, etc. Automatic numbering of receipts through a computerized system is an acceptable alternative. B. Receipts should be generated from either receipt books or cash register receipt system. C. Cash registers must be programmed to issue receipts, which shall contain all information required by the accounting system to properly credit and track payments. D. Receipt books, if issued for special events, must be issued in sequential order. All books should be accounted for from the time of delivery and returned to the Finance Division. E. Only those receipt books that have been distributed by the Finance Division may be used. F. At a minimum, sequential, pre-numbered receipt forms must contain the following information: G. (1) Date issued. (2) Cashier and/or Department issuing the receipt. (3) Name of payor (not the department name or revenue source). (4) Net amount received. (5) Sufficient information to identify the purpose of the payment. (6) Form of payment (cash, check, credit card, etc.). The receipt forms should also: (1) Contain all available identifying numbers and other pertinent, descriptive information including invoice numbers. (2) Be issued in a minimum of two copies, one for the payor and one to accompany the deposit. (3) Never be altered; if any type of change is necessary, all copies of the receipt must be clearly marked “void”, and a new receipt issued. (4) Be filed sequentially and retained by the Department (including void receipts). 57 Financial Overview & Policies 8.5 58 Cash Received in Person. A. When a customer produces a mutilated bill (where a portion is missing), the receiver should request that the customer have a bank redeem the bill. No bill will be considered for acceptance if both serial numbers are not present. B. A printed receipt must be issued for each payment received when the customer pays in person. At a remote location (for special events), manual pre-numbered receipts may be used when cash register receipts are not available. C. Departments may not accept post-dated checks, IOU’s, or third party checks. D. All cash received must be recorded through the computerized accounting system with computer-generated official Town cash receipts. When a cash handling site with a computerized accounting system has to use temporary cash receipts, those temporary receipts must be converted over to computerized receipts as soon as possible. If the conversion cannot be accomplished within 48 hours, the cash should be deposited into the Department’s safe and tracked in detail until it is recorded on the computerized accounting system. E. The customer must be presented an official Town receipt form with a duplicate record being retained by the receiving Department. All numbered receipts must be accounted for, including the original of voided receipts. F. The cash handling site must maintain a clear separation of duties. An individual should not have responsibility for more than one of the cash handling components: collecting, depositing, disbursement, and reconciling. G. The procedures below are to be followed to safeguard the employee and the cash: (1) Account for cash as soon as is it received – count the cash in front of customer. (2) Keep cash received in view of the customer until the transaction is complete. (3) If change is required, count all cash and change in front of customer. (4) Reconcile the funds received to the computerized accounting system cash report or to the total of the temporary receipts at the end of the day or at the end of each shift and balance the receipts as set forth in Subsection 8.9. (5) Immediately place all cash in a cash drawer, safe or other secure place until deposited. A secure area for processing and Financial Overview & Policies safeguarding funds received should be provided and restricted to authorized personnel. H. 8.6 (6) Personal transactions with Town cash funds are prohibited. Monies may never be borrowed nor loaned from cash funds, nor may personal checks be cashed from receipts. (7) All employees paying for Town services (rentals, movie tickets, animal license, business license, etc.) must be rung up by a different employee under a separate user ID. (8) Deposit all cash intact and not intermingled or substituted with other cash. (9) Pay refunds or expenditures through the appropriate Town bank account on a Town-generated check from the main accounts payable account for the smaller accounts. If the original payment was made using credit/debit card, then whenever possible refunds will be issued through the credit card per credit card regulations. (10) Provide printed receipts generated by the financial system for every transaction involving money. (11) Voided cash receipts must be approved and initialed by a supervisor before the daily deposit is done, noting the reason for voiding the transaction. (12) Deposit daily cash report and cash promptly at the end of each day into the Finance Division safe. (13) Place cash in amounts over $500.00 in the Finance Division safe immediately following the transaction until the end of day close out. (14) Cashiers should enter transactions using their personal logins (switch user) during a single shift. (15) All packaged coin or strapped currency received as payment should be removed from the package or straps and verified. Cashing checks from Town deposits, borrowing cash for personal use, lapping receipts to cover shortages in cash receipts, withholding checks for deposit in order to float checks, commingling personal and Town funds and modifying cash records are all serious offenses and may result in discipline up to and including immediate discharge from employment. Cash Received Through the Mail. A. When mail is opened, if the cash received is not credited directly into the appropriate Town account or issued a receipt through a computerized accounting system, a log of the checks, credit card transac- 59 Financial Overview & Policies tions and or cash should be prepared and submitted to the Finance Division. The log should include the customer’s name, amount received, check number and any other information available that may assist in proper allocation of the funds. The envelope also should be retained as part of the records. 8.7 B. When mail is opened, checks must be endorsed promptly with a restrictive endorsement stamp. Checks must be stored in a safe or other secure place approved by the Finance Division until deposited. C. Unidentified receipts must be deposited to a depository account approved for such purposes. All reasonable attempts should be made to identify the correct account and transfer the funds. Check Acceptance. A. The Federal Reserve has established a regulation to standardize check endorsements: (1) Checks must be made payable to the Town of Fountain Hills and endorsed promptly with a restrictive endorsement stamp payable to the Town of Fountain Hills. The endorsement stamps must be distributed by the Finance Division; this stamp protects the check if lost or stolen. (2) All depositor’s endorsements are limited to the top 1.5 inches on the back side of the check, at the trailing edge of the check. This area is where endorsements are normally placed. If you look at the face of the check, the endorsement area is directly behind where “Pay to the Order of” is printed. (3) Any check that has been endorsed may not be returned to the customer. Any marks below the 1.5 inches on the check may obscure the bank routing number, cause delays in returning checks, and forfeit the Town’s right to recovery. The purpose of this regulation is to speed collection and returns. (4) The endorsement must include the following: FOR DEPOSIT ONLY TOWN OF FOUNTAIN HILLS [Account Number] 60 (5) Checks should have the customer information pre-printed on the face of the check. Bank issued/generated checks are acceptable. (6) Personal checks from employees for cash may not be cashed at any counter in a Town facility. (7) Checks or credit card transactions will not be cashed or processed for more than the amount of purchase. Departments are not authorized to return currency to the payor in the event that the check exceeds the amount due to the Town. Financial Overview & Policies 8.8 B. Be sure that the name, branch, city and state where the drawer’s bank is located is printed on the check. C. The Town will not accept a check that is: (1) Illegible or not written out clearly; checks should be written out in blue or black ink only. (2) For anything other than the exact amount (no change will be given). (3) A third party check (that is, checks made out to someone other than the Town). (4) Altered or changed. (5) Undated, post-dated or stale dated (older than six months). (6) Not signed. (7) A starter check, i.e. a check without the name, address and check number on the face of the check. (8) Not in U.S. funds. (9) From a foreign bank, even if payable in U.S. funds. (10) Transfer checks. D. If the written amount on a check does not match the numerical amount, the written amount will govern. E. Money orders should be filled out by the customer in the presence of Town staff; the customer must countersign and write Town of Fountain Hills in the payee section. Credit Card Acceptance. A. Credit cards accepted are Visa, MasterCard, Discover, and American Express. B. When presented with a credit card, the Department cashier shall: (1) Verify that the card has not been altered and is not expired. (2) Check customer identification to verify that the name on the card and the account name are the same, unless someone is paying for other family members. (3) Retain the credit card until the transaction is complete. (4) Enter the credit card transaction by swiping the card through the terminal on the keyboard; if the keyboard does not have a 61 Financial Overview & Policies terminal, the swipe reader is not functioning or payment is being taken over the telephone, the credit card number should be entered manually when prompted. 8.9 (5) If the credit card information is being input from a paper registration form that includes the card number and payor signature, shred or permanently mark over the portion of the form that includes the credit card information as soon as the transaction is complete and the card is accepted. (6) If receiving credit card information over the phone, verify the caller’s name as it appears on the card, verify the amount to be processed, enter the credit card number, expiration date and security code directly; immediately shred any piece of paper where the information can be viewed or taken. Balancing of Cash Receipts. A. All funds collected must be balanced daily, by mode of payment, by comparing the total of the cash, checks and credit cards to the computerized accounting reports, to the manual receipts totals, including the totals of the money received by mail. All cash receipts and supporting documentation (daily deposit slip, system receipts, and system reports) should be transferred daily to the accounting system and all discrepancies should be resolved before the end of the day/ shift. B. Daily cash counts and reconciliations will be performed on a random basis by the Accountant or other senior Finance Division staff member. These reconciliations should be signed and dated by the reviewer. The total monthly receipts should be balanced with the monthly bank account statements and accounting system monthly reports and all discrepancies should be resolved. C. Currency and coin must be reconciled separately from checks, credit cards and money orders by comparing actual cash received to the cash total from the cash report or to the sum of the cash sales from the manual receipts. D. Over/short amounts must be separately recorded, investigated and resolved to the extent possible as set out in the over/short portion of this Section. E. Because balancing can be a time-consuming task and requires attention to detail, it is recommended that each cashier pre-balance his/ her own drawer periodically during the day. NOTE: On the rare occasion that a check needs to be forwarded to another party by the Town of Fountain Hills, the check cannot be endorsed. Any of the following positions are authorized to approve this receipt without endorsement: the Town Manager, the Finance Director, and the Town Clerk. Approval to accept this instrument in this manner requires approval from one of the Town’s authorized signatories in writing prior to the presentation of the instrument. 62 Financial Overview & Policies F. 8.10 End of day close out process for cash collection points includes the following: (1) Two signatures on the daily cash report before depositing in the Finance Division safe. (2) Total deposit must match the printed report from the software program. (3) Deposits are turned in daily and deposited in the Finance Division safe by the responsible party. Cash Over & Short. A. A daily accounting of cash received should be balanced against the total amount on the daily reports run by the Department. Any amount that is over or short shall be reported on the same day to the Department Director and the Accountant. B. The discipline procedures set forth below should be followed if the established dollar limits and frequency of overages and/or shortages are exceeded. The current established dollar limit is five dollars. A log should be established to record any overages and shortages, and the employee’s name and date. Patterns, frequencies, and inconsistencies should be noted on the employee’s performance review. Overages or shortages of $50.00 or more are to be reported to the Finance Director. C. Warnings or exceptions involving cash overages or shortages shall be retained in the employee’s permanent file. D. If the shortage is the result of a suspected or documented theft, the shortage must be reported immediately and in writing to the Accountant, the Finance Director, and the Town Manager who will submit to law enforcement for investigation, regardless of amount. E. Employees who handle cash are expected to be careful and accurate and to balance their funds each day without overages or shortages. Failure to follow internal controls and checks and balances as approved by the Finance Division is considered to be at least negligence and could be considered misconduct subject to the following disciplinary procedures: (1) (2) Verbal Warning. A verbal warning will be given if an employee has: (i) Two or more over/shorts (regardless of the amount). in any 90-day period (ii) Cumulative over/shorts of $75.00 or more in any 30-day period. Written Warning. 63 Financial Overview & Policies 8.11 8.12 64 (i) After an employee has received two verbal warnings, the third warning will be in the form of a written warning. A fourth warning will be subject to disciplinary action as determined by the Department Director. (ii) A written warning will be issued if an employee exceeds a cumulative total of $100.00 or more cash short in any month regardless of the number of verbal warnings. Returned Check Procedures. A. Any checks returned by the Town’s depository bank as uncollected shall be sent to the Finance Division. Examples of returned checks include: non-sufficient funds (NSF), account closed, payor’s signature missing, refer to maker and post-dated or stale-dated checks. B. When a check is returned, the Finance Division prepares a negative entry to the revenue journal, debiting the originating account for the amount of the check and at the same time assessing a service fee in the amount set forth in the Town’s adopted fee schedule. It is the responsibility of the Department that was credited with the revenue to notify the check writer and use due diligence to collect the amount of the check and the service fee. The check writer will be prohibited from receiving Town services until the Town is paid the full amount, plus the returned check fee. Restitution should be in the form of currency, money order, cashier’s check, or certified check. The Finance Division will maintain an aging report on all non-collectable items; this report will be submitted monthly to the Finance Director. C. When restitution is obtained, the same account should be used that was used on the negative entry and the deposit should be transferred to the Customer Service Representative for inclusion in the daily deposit. D. If after proper due diligence is performed, collection has not been made, the Accountant may be consulted regarding returned items that remain uncollected for further action through the State. Preparation of Deposits (performed by the Finance Division). A. The Finance Division shall prepare all deposits. B. All checks must be made payable to Town of Fountain Hills and endorsed. A calculator tape of the checks should be included with the checks bundled together. C. Cash must be recorded on the deposit slip in the appropriate space. D. Only depository-issued deposit slips, including the appropriate account number(s) and sub-code(s) are to be used. E. Someone not involved with collecting the cash, opening the mail or reconciling the deposit must prepare the deposit. Financial Overview & Policies 8.13 F. Deposit from the Municipal Court should be secured in locking deposit bags, which are available from the bank. G. Trips to the bank should be at random times during each day. Exceptions to Cash Handling Policy. A. Any exception to this Section must be approved in writing by the Department Director and requires the concurrence of the Finance Director. For example, in cases where there is not enough staff available to maintain complete separation of duties, an alternate process to safeguard Town funds must be established and approved by the Finance Director. Requests for exceptions to these procedures must be submitted to the Finance Director in writing. B. Town personnel are prohibited from depositing Town cash into checking or other bank accounts unless the account has been set up by the Finance Division. 8.14 Records Retention. All cash receipts and related documents must be maintained in accordance with Records Retention Schedules pursuant to Ariz. Rev. Stat. §§ 39-101 through 39-103 and 41-151.15 through 41-151.19. Accounting reports, deposit slips, credit card receipts, copies of manual cash receipts, etc. should be kept for the period specified by the Records Retention Schedules. IX. DEBT POLICY The purpose of this debt policy is to provide for the preservation and enhancement of the Town’s bond ratings, the maintenance of adequate debt service reserves, compliance with debt instrument covenants and provisions and required disclosures to investors, underwriters, and rating agencies. The Town’s overall debt management policy is to ensure that financial resources are adequate in any general economic situation to not preclude the Town’s ability to pay its debt when due. These policies are meant to supplement the legal framework of public debt laws provided by the Arizona Constitution, State Statutes, Federal tax laws and the Town’s current bond resolutions and covenants. 9.1 General. A. The Town will (1) use current revenues to pay for short-term capital projects, repair and maintenance items and (2) reserve long-term debt for capital improvements with useful lives of ten years or more. The Town will not use long-term debt to fund current governmental operations and will manage its cash flow in a fashion that will prevent any borrowing to meet working capital needs. However, exclusive reliance upon “pay-as-you-go” funds for capital improvements requires existing residents to pay for improvements that will benefit new residents who relocate to the area after the expenditure is made. Financing capital projects with debt provides for an “intergenerational equity,” as the actual users of the capital asset pay for its cost over time, 65 Financial Overview & Policies rather than one group of users paying in advance for the costs of the asset. Where there is a benefit to all future residents, debt financing should be given consideration. B. 9.2 66 To increase its reliance on current revenue to finance its capital improvements, and promote a “pay-as-you-go” philosophy, the Town will allocate each year a percentage of current revenues to maintain a minimum 10% of average actual General Fund revenues for the preceding five fiscal years in the assigned fund balance. Capital Improvement Plan A. As part of the budget process each year, the Town Manager or authorized designee will prepare a capital spending plan that provides a detailed summary of specific capital projects for the five fiscal years subsequent to the fiscal year presented. The plan will include the name of the project, project schedule, capital cost by fiscal year and a recommended specific funding source. The five year capital improvement plan will be developed within the constraints of the Town’s ability to finance the plan. B. The Town Manager and Department Directors will develop formal ranking criteria that will be used in the evaluation of all capital projects. The ranking criteria will give greatest weight to those projects that protect the health and safety of its citizens. “Pay-as-you-go” project financing shall be given the highest priority. Capital improvements that must rely upon debt financing shall be accorded a lower priority and projects with a useful life of less than ten years shall not be eligible for inclusion in bond issues except in extraordinary circumstances. C. Lease-purchase financing shall be undertaken only when the project is considered essential to the efficient operation of the Town or to remove expenditures that would exceed the State-imposed expenditure limitation. The Town Manager or authorized designee shall be responsible for ensuring that “pay-as-you-go” expenditures do not cause the State-imposed expenditure limitation to be exceeded in any fiscal year. D. All capital project requests will be accompanied by a description of the sources of funding to cover project costs. Where borrowing is recommended, a dedicated source of funds to cover debt service requirements must be identified. All capital project requests will be required to identify any impact the project may have on future operating costs of the Town. The Town will seek grants to finance capital improvements and will favor those projects that are likely to receive grant money. E. All capital project appropriations and amendments to the capital improvement plan must be approved by the Town Council. F. The capital plan will include all equipment and facilities with a useful life of greater than ten years and a cost greater than $50,000. Debt financing shall not exceed the useful life of the infrastructure improvement or asset. Financial Overview & Policies G. The following steps shall be used to prepare the Capital Improvement Program (“CIP”): (1) (2) Establish Capital Improvement policies, including: (a) Time period the CIP will cover. (b) Facilities/equipment that will be included in the CIP. (c) How acquisition of multiple items (e.g., computers) will be treated. (d) Identification of projects that are expected to be undertaken, but fall outside the time horizon of the plan. Adopt standards to rank project requests. (a) Projects that address a public health or safety concern are given top priority. (b) Projects mandated by a court of competent jurisdiction or a government with authority over the Town are equal with public health or safety. (c) Major maintenance (preservation of assets). (d) Replacement of obsolete equipment (improving efficiency). (e) Expansion to meet demand caused by growth. (f) Coordination of projects to achieve cost savings. (g) Availability of cash to finance improvements from current revenues. (h) Acquisition of open space. (3) Perform and maintain a capital inventory and identify useful life. (4) Identify projects. (5) (a) Status review of previously approved projects. (b) Identification of new projects. (c) Assess capital project alternatives. (d) Complete project request forms. Assess funding sources. (a) Available grants. 67 Financial Overview & Policies (6) (b) Development fees shall be utilized to fund capital projects before “pay-as-you-go” and bond issuance financing. (c) Developer contributions. (d) Private contributions. (e) Issuance of securities. (f) Capital leases. Approve the CIP and Budget. (a) Town Council review. (b) Public hearing. (c) Adoption of the CIP and capital budget. All capital project requests will be accompanied by a description of the sources of funding to cover project costs. Where borrowing is recommended, the source of funds to cover debt service requirements must be identified. All capital project requests will be required to identify any impact the project may have on future operating costs of the Town. Department Directors will submit detailed descriptions of the useful life of capital projects submitted in conjunction with the preparation of the Town’s CIP. The Town Manager shall incorporate an estimate of the useful life of proposed capital improvements in developing an amortization schedule for each bond issue. If a short-lived asset or project (less than ten years) is included in a bond issue then the bond amortization schedule shall be adjusted to reflect the asset’s rapid depreciation. At no time shall the amortization exceed the life of the asset. 9.3 Financing Alternatives. A. 68 Financing alternatives include, but are not limited to: (1) Grants. (2) Developer Contributions. (3) General Obligation (“GO”) Bond – requires voter approval, supported by an ad valorem (property) tax. (4) Revenue Bonds – repaid with dedicated revenue source (HURF, revenue generated by project). (5) Municipal Property Corporation (“MPC”) Bonds – repaid with a dedicated revenue source. (6) Community Facilities District (“CFD”) or Special District Bonds – supported by an ad valorem property tax, revenues of the district or assessments of the cost of public infrastructure or enhanced municipal services. Financial Overview & Policies (7) Capital Leases – repaid within operating budget. (8) Commercial Paper (CP) or Bond Anticipation Notes (BAN) with terms less than two years. B. Town debt service costs (GO Bonds, Revenue Bonds, MPC Bonds, Leases) shall not exceed 20% of the Town’s operating revenue in order to control fixed costs and ensure expenditure flexibility. Improvement District, CFD and Special District debt service is not included in this calculation because it is paid by district property owners and is not an obligation of the general citizenry. Separate criteria for CFDs have been established and included within the Town’s CFD policy. C. The Town shall comply with all U.S. Internal Revenue Service arbitrage rebate requirements for bonded indebtedness. D. Where applicable, the Town will structure GO bond issues to create level debt service payments over the life of the issue. The goal will be to strive for a debt repayment schedule to be no more than 15 years; at no time will the debt exceed 25 years. E. Refunding bonds will be measured against a standard of the net present value debt service savings exceeding 3% of the principal amount of the bonds being refunded, or if savings exceed $750,000, or for the purposes of modifying restrictive covenants or to modify the existing debt structure to the benefit of the Town. Refinancings undertaken for other reasons should proceed only when the advantages have been clearly shown in a cost/benefit analysis of the transaction. F. The Town will seek to maintain and, if possible, improve the current bond rating in order to minimize borrowing costs and preserve access to credit. G. An analysis showing how a new issue combined with current debt impacts the Town’s debt capacity and conformance with Town debt policies will accompany every future bond issue proposal. The debt capacity analysis should reflect a positive trend and include: (1) Percent of debt outstanding as a percent of the legal debt limit. (2) Measures of the tax and revenue base. (3) Evaluation of trends relating to expenditures and fund balance. (4) Debt service as a percentage of assessed valuation. (5) Measures of debt burden on the community. (6) Tax-exempt market factors affecting interest costs. (7) Debt ratios. 69 Financial Overview & Policies 9.4 70 H. MPC and contractual debt, which is non-voter approved, will be utilized only when a dedicated revenue source (e.g., excise taxes) can be identified to pay debt service expenses. The project to be financed will generate net positive revenues (i.e., the additional revenues generated by the project will be greater than the debt service requirements). I. The Town’s privilege/excise tax to debt service goal will be a ratio of at least 2.5:1 to ensure the Town’s ability to pay for long-term debt from this elastic revenue source. Issuance of Obligations. A. The Town shall select the underwriter and the paying agent/registrar for each debt issuance based on competitive bid. The underwriter must be a firm with an office in the Phoenix area and a record of prior working relationships. B. The request for proposals process will be designed to select the service providers that offer the Town the best combination of expertise and price. The Town is not required to select the firm offering the lowest price, but a report must be prepared by the Town Manager providing justification to the Town Council for a recommendation when other than the lowest bidder is chosen. The review of all proposals submitted shall be the responsibility of the Town Manager. C. The Town will sell bonds through public sale, online bidding process or an accelerated bidding process unless the Town Council authorizes the bond to be sold by negotiated sale or private placement. D. The Town Manager or designee and Town Attorney will coordinate their activities to ensure that all securities are issued in the most efficient and cost-effective manner and in compliance with the governing statutes and regulations. The Town Manager and the Town Attorney shall consult and jointly select the bond counsel for a bond issue. E. The Town Manager or authorized designee will seek a rating on all new issues which are being sold in the public market if economically feasible. F. The Town will report all financial information on an annual basis and notices of listed events in a timely manner, not in excess of ten business days after the occurrence of event, to the rating agencies and the Municipal Securities Rulemaking Board (MSRB) Electronic Municipal Market Access (EMMA) system. The annual report will include but not be limited to the Town’s annual Comprehensive Annual Financial Report (CAFR) and other items specified in the Town’s continuing disclosure undertakings. G. Any institution or individual investing monies as an agent for the Town shall do so in a manner consistent and in compliance with the Town’s adopted Investment Policy. Financial Overview & Policies X. H. The Town Manager or authorized designee will provide detailed draw schedules for any project to be funded with borrowed monies. The Town will invest the proceeds or direct a trustee to invest the proceeds of all borrowings in a manner that will ensure the availability of funds as described in the draw schedules. I. The Town acknowledges the responsibilities of the underwriting community and pledges to make all reasonable efforts to assist underwriters in their efforts to comply with Securities and Exchange Commission Rule 15c2-12 and MSRB Rule G-36. The Town will follow its adopted issuance and post-issuance compliance procedures relating to its tax-exempt financings. INVESTMENT/CASH MANAGEMENT POLICY It is the intent of this investment/cash management policy (the “Investment Policy”) that idle public funds (i.e., uninvested funds) will be invested in a manner that maintains safety of principal, maintains liquidity to meet cash flow needs, provides competitive investment returns and conforms to all state statutes governing the investment of public funds (the “Investment Portfolio”). The purpose of these investment guidelines is to formalize the framework for the Town’s daily investment activities. 10.1 Scope. This Investment Policy shall be administered in a manner that follows Arizona Revised Statutes Title 35, Chapter 2, Article 2.1, as amended and other investment guidelines mandated by statute and is limited in its application to funds that are not immediately needed and are available for investment, including any and/or all districts, component units, etc., of the Town. These funds are accounted for in the Town’s Comprehensive Annual Financial Report (“CAFR”) and may include: A. The General Fund; B. Highway User Revenue Fund; C. Excise Tax Funds; D. Special Revenue Funds; E. Debt Service Funds; F. Capital Project Funds G. Development Fees Funds; H. Internal Service Funds; and I. Any new fund/component unit created unless specifically exempted. Except for cash in certain restricted funds, the Town will consolidate cash balances from all funds to maximize investment earnings. Investment income will be allocated to the various funds based on their respective participation and in accordance with generally accepted accounting principles. 10.2 Prudence. Investments shall be made with judgment and care, under circumstances then prevailing, which persons of prudence, discretion, and intelligence 71 Financial Overview & Policies exercise in the management of their own affairs, not for speculation, but for investment, considering the probable safety of their capital as well as the probable income to be derived. The standard of prudence to be used by any firm or individual given responsibility as Investment Officer shall be the “prudent person” standard and shall be applied in the context of a professional investment official managing an overall portfolio or account in a manner that aims to accomplish the objectives set forth in these policies. Investment Officers acting in accordance with the Town’s written procedures and this Investment Policy and exercising due diligence shall be relieved of personal responsibility for an individual security’s credit risk or market price changes, provided deviations from expectations are reported in a timely fashion and appropriate action is taken to control adverse developments. 10.3 Objectives. In priority order, the primary objectives of Town investment activities are: A. B. C. Safety: Safety of principal is the foremost objective of the investment program. Investments of the Town shall be undertaken in a manner that seeks to ensure the preservation of principal in the overall portfolio. To attain this objective, the Town will diversify its investments by investing funds among a variety of securities offering independent returns and financial institutions. Liquidity: The Town Investment Portfolio will remain sufficiently liquid to enable the Town to meet all operating requirements that might be reasonably anticipated. Liquidity will be achieved by matching investment maturities with forecasted cash flow funding requirements, by investing in securities with active secondary markets and by diversification of maturities and call dates. Furthermore, since all possible cash demands cannot be anticipated, a portion of the portfolio may also be placed in savings accounts, Certificates of Deposit (“CDs”) or local government investment pools that offer same day liquidity for short-term funds. Yield (Return on Investments): The Town Investment Portfolio shall be designed with the objective of attaining a market rate of return throughout budgetary and economic cycles, taking into account the investment risk constraints of safety and liquidity needs and the cash flow characteristics of the portfolio. Return shall be subordinated to safety and liquidity. The core of investments is limited to relatively low-risk securities in anticipation of earning a fair return relative to the risk being assumed. Securities shall not be sold prior to maturity, with the following exceptions: 72 (1) A security with declining credit may be sold early to minimize loss of principal; (2) A security swap would improve the quality, yield or target duration in the portfolio; (3) Liquidity needs of the portfolio require that the security be sold; and (4) If market conditions present an opportunity for the Town to benefit from the sale. Financial Overview & Policies D. 10.4 Risk of Loss: All participants in the investment process will seek to act responsibly and prudently as custodians of the public trust. Investment Officers will avoid any transactions that they reasonably believe might impair public confidence in the Town’s ability to govern effectively. The Town Council recognizes that in a diversified portfolio, occasional measured losses due to market volatility are inevitable, and must be considered within the context of the overall portfolio’s investment return, provided that adequate diversification has been implemented. Investment Strategy. The Town intends to pursue a portfolio management philosophy that includes passive management; passive management means that the financial markets will be monitored by Investment Officers and investments will be purchased and sold based on the Town’s parameters for safety and liquidity and based on market conditions. All marketable securities purchased by the Town shall have active secondary markets, unless a specific cash outflow is being matched with an investment that will be held to maturity to meet that obligation. Securities may be purchased as a new issue or in the secondary markets. Securities may be sold as provided in Section 4.3. Securities may be purchased with the intent from the beginning to sell them prior to maturity or with the expectation that the security would likely be called prior to maturity under the analyzed market scenario. The portfolio will be structured to benefit from anticipated market conditions and to achieve a reasonable return. Relative value between asset groups shall be analyzed and pursued as part of the investment program within the restrictions set forth by this Investment Policy. Diversification by market sector and security types, as well as maturity will be used to protect the Town from credit and market risk in order to meet liquidity requirements. Market and credit risk shall be minimized by diversification and are defined below: A. Credit Risk: The Town will seek to mitigate credit risk, which is defined as the risk of loss due to failure of the security issuer or backer. Mitigating credit risk is to be accomplished by carefully managing the allocation of funds to non-government or insured sectors. The Finance Director will monitor the credit holdings on a continuous basis to ensure they remain appropriate to hold. B. Interest Rate Risk: The Town will seek to mitigate interest rate risk, which is defined as the risk that the market value of securities held in the portfolio will decline due to increases in market interest rates subsequent to their purchase. This mitigation will be accomplished by: (1) Structuring the Investment Portfolio so that securities mature concurrent with the anticipated cash requirements for ongoing operations, thereby avoiding, as much as possible, the need to sell securities into an adverse market environment prior to maturity; (2) Investing funds primarily in shorter-term securities or similar investment pools and limiting the average maturity of the portfolio in accordance with the needs of the Town; and (3) With respect to any firm or individual given responsibility for investments, utilizing external research and advice regarding the 73 Financial Overview & Policies current interest rate outlook and global economic condition to optimize portfolio duration strategy. C. 10.5 74 Market Rate Risk: The Town will seek to mitigate market rate risk, which is defined as the risk that the portfolio value will fluctuate due to changes in the general level of interest rates. This mitigation will be accomplished by: (1) Providing adequate liquidity for short-term cash needs; and (2) Making longer-term investments only with funds that are not needed for current cash flow purposes. Responsibility and Control. A. Delegation of Authority: Authority to manage the Town investment program is derived from the Ariz. Rev. Stat. §§ 35-323 - 328. Management responsibility for the investment program is hereby delegated to the Finance Director. The Finance Director shall be primarily responsible for ensuring the Investment Portfolio is invested according to this Investment Policy. In carrying out these duties, the Finance Director may delegate certain tasks to others (each an “Investment Officer”) whose skill and experience are appropriate to the delegation. The term “Investment Officer” includes the Finance Director (until a particular task is delegated) and the “Investment Advisor,” as defined below and as described in Section 10.5. A list of Town personnel eligible for delegation as Investment Officer is attached to this Investment Policy in Appendix A. B. Establishment of Procedures: The Finance Director shall establish written procedures for the operation of the investment program consistent with this Investment Policy. Procedures should include reference to: safekeeping, repurchase agreements, wire transfer agreements, banking service contracts and collateral/depository agreements. Such procedures shall include explicit delegation of authority to persons responsible for investment transactions. No person may engage in an investment transaction except as provided under the terms of this Investment Policy and the procedures established by the Finance Director. C. Management Responsibilities: No person shall engage in an investment transaction except as provided under the terms of Investment Policy, the procedures established by the Finance Director, or designee, and verbal or written authorization by the Finance Director to withdraw, transfer, deposit and invest the Town’s funds. The Finance Director shall be responsible for all transactions undertaken, and shall establish a system of controls to regulate the activities of Investment Officers. The Finance Director has the authority to manage internally or to delegate the management of the investment program to an investment advisor engaged by the Town (the “Investment Advisor”). The Finance Director is responsible for: (1) Reporting Investment Portfolio performance to Town Manager; (2) Evaluating the performance of the externally-managed portfolio; Financial Overview & Policies 10.6 (3) Monitoring Investment Advisor’s compliance with this Investment Policy; (4) Conveying the investment needs of the Town to the Investment Advisor; and (5) Developing investment strategy with the Investment Advisor. D. Ethics and Conflicts of Interest: All persons involved in the investment process shall refrain from personal business activity that could conflict with proper execution of the investment program, or which could impair their ability to make impartial investment decisions. Employees and Investment Officers shall disclose to the Town Manager any material financial interests in financial institutions that conduct business within the Town, and they shall further disclose any material personal financial/ investment positions that could be related to the performance of the Town, particularly with regard to the time of purchases and sales. This Investment Policy expressly incorporates the provisions of Ariz. Rev. Stat. Title 38, Chapter 3, Article 8. E. Disclosure: Investment Officers and employees shall disclose to the Town Manger any material financial interest in financial institutions that conduct business with the Town. Investment Officers and employees shall further disclose any material personal investment positions that could be related to the performance of the Town’s Investment Portfolio. Investment Officers and employees shall subordinate their personal investment transaction to those of this jurisdiction, particularly with regard to the timing of purchases and sales. An Investment Officer who is related within the second degree by affinity or consanguinity to individuals seeking to sell an investment to the Town shall file a statement with the Town Manager and the Finance Director disclosing that relationship. F. Investment Training: Investment Officers shall have a finance, accounting or related degree and knowledge of treasury functions and the State of Arizona laws governing public money management and investments. Authorized Financial Dealers and Institutions. The Finance Director will maintain a list of qualified persons or firms authorized to provide investment services that have been publicly procured. In addition, a list will also be maintained of the State pool of approved security broker/dealers selected by credit worthiness who are authorized to provide investment services. The Town shall qualify persons or firms by applying generally accepted industry standards (i.e., capital requirements, asset quality, earnings, liquidity, management and local community development) using available public agency and private rating services as appropriate. Investment transactions shall only be conducted with financial institutions that are licensed as may be required by law to do business in Arizona. Primary government securities dealers, or broker-dealers engaged in the business of selling government securities shall be registered in compliance with section 15 or 15C of the Securities Exchange Act of 1934 and registered pursuant to Ariz. Rev. Stat. § 44-3151, as amended. It shall be the responsibility of the financial institutions and broker/dealers who desire to become qualified bidders for investment transactions to provide the following: 75 Financial Overview & Policies i. Audited financial statements within six months of the close of the fiscal year ii. Proof of Financial Industry Regulatory Authority (FINRA) certification, and trading resolution; iii. Proof of State registration; and iv. Certification of having read this Investment Policy and the Town’s depository contracts. An eligible listing of broker/dealers shall be established for the purchase and sale of investment securities; a new list of approved broker/dealers will be established as needed. External managers may also use their own lists of internally-approved broker-dealers, but only after any such list has been approved by the Town Manager and Finance Director. A periodic review of the financial condition and registrations of qualified companies will be conducted by the Finance Director and the Town Manager. A. Selection of Depository, Financial Institutions and Broker/Dealers: Depositories shall be selected through the Town’s procurement process, with a typical contract being for two years with an option to extend the contract for three additional one year terms. In selecting depositories, the creditworthiness of institutions shall be considered, and the Finance Director shall conduct a comprehensive review of the prospective depositories’ credit characteristics and financial history. No public deposit shall be made except in an eligible public depository as established by state depository laws. The depository bank bid will not include bids for investment rates on certificates of deposit. Certificate of deposit rates will be evaluated competitively between qualified financial institutions in accordance with the manner in which all other types of investment assets are purchased. The Investment Officer may accept bids for certificates of deposit and for all marketable securities either orally, in writing, electronically, or in any combination of these methods. The Investment Officer will strive to receive three price quotes on marketable securities being sold, but may allow one broker/ dealer to sell at a predetermined price under certain market conditions. Investments purchased shall be shopped competitively between approved financial institution and broker/dealers. B. 10.7 Portfolio and Investment Asset Parameters. A. 76 Insurability: Banks, financial institutions, individuals and firms seeking to establish eligibility for the Town’s certificates of deposit purchase program, shall submit financial statements, evidence of federal insurance and other information as required by the Investment Officers. Pricing: Market price for investments acquired for the Town’s Investment Portfolio shall be priced using independent pricing sources and market value shall be monitored at least annually. Financial Overview & Policies B. Eligible Investments: The Town’s eligible investments are governed by Ariz. Rev. Stat. § 35-323 et seq. Furthermore, those investments not identified in Ariz. Rev. Stat. § 35-323 et seq. are considered to be ineligible. For the eligible investments, the following limitations apply: (1) Investments in insured or collateralized CDs in eligible depositories shall not exceed 30% of the portfolio. (2) Investments in Certificate of Deposit Account Registry Services shall not exceed 20% of the portfolio. (3) Bonds, notes or other evidences of indebtedness of the State or any of its counties, incorporated cities or towns, school districts or special taxing districts, including registered warrants that bear interest pursuant to Ariz. Rev. Stat. § 11-635, shall not exceed 10% of the portfolio. (4) Bonds, notes or evidences of indebtedness of any county, municipal district, municipal utility or special taxing district of any state that are payable from revenues, earnings or a special tax specifically pledged for the payment of the principal and interest on the obligations, and for the payment of which a lawful sinking fund or reserve fund has been established and is being maintained shall not exceed 10% of the portfolio. (5) Bonds, notes or evidences of indebtedness issued by any county improvement district or municipal improvement district of any state to finance local improvements authorized by law, if the principal and interest of the obligations are payable from assessments on real property within the improvement district shall not exceed 10% of the portfolio. (6) Commercial paper of prime quality shall not exceed 30% of the portfolio. (7) Bonds, debentures, notes or other evidences of indebtedness shall not exceed 30% of the portfolio. (8) Negotiable or brokered certificates of deposit issued by a nationally or state chartered bank or savings and loan association shall not exceed 30% of the portfolio. Bond proceeds shall be invested by the Finance Director (or the Investment Officer, if such duties have been delegated) pursuant to applicable laws, relevant bond indenture requirements and relevant tenets of this Investment Policy. Proceeds from tax-exempt bonds shall be invested, recorded, and reported in the manner set forth by the United States (“U.S.”) Treasury and Internal Revenue Service to preserve the tax-exempt status of the bonds. The Town’s Finance Department will maintain systems to ensure that these requirements are met. Funds set aside to defease Town debt in conjunction with an escrow agreement will be invested in accordance with State law and appropriate bond documents and as 77 Financial Overview & Policies the trustee bank holding such funds deems necessary. C. D. 10.8 (1) reverse repurchase agreement (2) callable agencies (3) derivative type investments such as collateralized mortgage obligations, strips, floaters, etc. (4) futures, contractual swaps, options (5) inverse floaters (6) interest only securities (7) forward contracts (8) interest bearing securities that have a possibility of not accruing current income (9) closed end management type companies (10) securities whose yield/market value is based on currency, commodity, or non-interest indices (11) bearer-form securities Downgraded Credit Ratings: If the credit rating of a security is subsequently downgraded below the minimum rating level specified in this Investment Policy, the Finance Director shall evaluate the downgrade on a case-by-case basis in order to determine if the security should be held or sold. The Finance Director will apply the general objectives of safety, liquidity, yield, and legality to make the decision. Collateralization. Where allowed by State law, full collateralization is required on all demand deposit accounts, including checking accounts and nonnegotiable certificates of deposit. The State requires all depositories holding public funds participate in the State managed pooled collateral program. The State will monitor collateral for public funds to ensure the proper level of collateral is maintained by participant depositories. The Finance Director will check to ensure that any depository it utilizes is a State collateral pool participant. In the event that the Town enters into a repurchase agreement, it shall require collateralization at 102% and accept only the following insurance and securities as collateral: A. 78 Prohibited Investments: Regardless of sector, no more than 5% of the portfolio may be invested in any one issuer (excluding obligations issued or guaranteed by the U.S. or any of the senior debt of its agencies, sponsored agencies, corporations, sponsored corporations, or instrumentalities). In addition to the limitations on investment types according to Ariz. Rev. Stat. § 35-323 et seq., Town funds will not be invested in any of the following: FDIC insurance coverage. Financial Overview & Policies 10.9 B. Obligations of the U.S., its agencies and instrumentalities, including agency and instrumentality issued mortgage backed collateral if directly guaranteed by the U.S. C. Other obligations, the principal of and interest on which are unconditionally guaranteed or insured by the State, the U.S. or its agencies and instrumentalities. D. Obligations of states, agencies thereof, counties, cities, and other political subdivisions of any state having been rated as to investment quality by a NRSRO and having received a rating of no less than “A” or its equivalent. Safekeeping and Custody. All security transactions including collateral for repurchase agreements, entered into by the Town or its agents/trustees shall be conducted on a delivery-versus-payment (“DVP”) basis. That is, funds shall not be wired or paid until verification has been made that the safekeeping bank received the correct security. The safekeeping, or custody, bank is responsible for matching instructions from the Town’s Investment Officers on an investment settlement, with what is wired from the broker/dealer, prior to releasing the Town’s designated funds for a given purchase. The security shall be held in the name of the Town, or held on behalf of the Town, in a bank nominee name. A third party custodian designated by the Finance Director and evidenced by safekeeping receipts will hold securities. The safekeeping bank’s records shall assure the notation of the Town’s ownership of, or explicit claim on, the securities. The original copy of all safekeeping receipts shall be delivered to the Town. Securities shall be held by a custodian designated by the Town Manager and evidenced by safekeeping receipts. 10.10 Internal Control. The Town Manager shall establish an annual process of independent review as part of the external audit. This review will provide internal control by assuring compliance with policies and procedures. The Investment Officer is responsible for establishing and maintaining an internal control structure designed to ensure that the assets of the Town are protected from loss, theft, or misuse. The internal control structure shall be designed to provide reasonable assurance that these objectives are met. The concept of reasonable assurance recognizes that the cost of a control should not exceed the benefits likely to be derived and the valuation of costs and benefits requires estimates and judgments by management. Internal controls should address the following points: A. Control of collusion: Collusion is a situation where two or more employees are working in conjunction to defraud their employer. B. Separation of transaction authority from accounting and record keeping: By separating the person who authorizes or performs the transaction from the people who record or otherwise account for the transaction, a separation of duties is achieved. C. Custodial safekeeping: Securities purchased from any bank or dealer including appropriate collateral (as defined by state law) shall be placed with an independent third party of custodial safekeeping. 79 Financial Overview & Policies D. Avoidance of physical delivery securities: Book-entry securities are much easier to transfer and account for since actual delivery of a document never takes place. Delivered securities must be properly safeguarded against loss or destruction. The potential for fraud and loss increases with physically delivered securities. E. Clear delegation of authority to staff members: Staff members must have a clear understanding of their authority and responsibilities to avoid improper actions. Clear delegation of authority also preserves the internal control structure that is contingent on the various staff positions and their respective responsibilities. F. Written confirmation of transactions for investments and wire transfers: Due to the potential for error and improprieties arising from telephone and electronic transactions, all transactions should be supported by written communications and approved by the appropriate person. Written communications may be via facsimile if on letterhead and if the safekeeping institution has a list of authorized signatures. G. Development of a wire transfer agreement with the lead bank and third -party custodian: The Finance Director should ensure that an agreement will be entered into and will address the following points: controls, security provisions, and responsibilities of each party making and receiving wire transfers. 10.11 Reporting. The Town Manager, or designee, is charged with the responsibility of providing quarterly reports on investment activity and returns. The report shall summarize investment transactions that occurred during the reporting period, and shall include, at a minimum: A. Asset listing showing par value, cost and market value of each security, type of investment, issuer and interest rate; B. Average maturity of the portfolio; C. Maturity distribution of the portfolio; D. Average portfolio credit quality; E. Distribution by type of investment. 10.12 Investment Policy Adoption. This Investment Policy shall be adopted by resolution of the Town Council. The Investment Policy shall be reviewed at least once every five years by the Finance Director and Town Manager and any modifications made hereto must be approved by the Town Council. 10.13 Certification. A copy of this Investment Policy will be provided upon request to the senior management of any financial institution that is approved to transact business with the Town in order that it is appraised of the policies of the Town. The certification must be signed and executed by a senior member of the financial institution before any business is conducted. 80 Financial Overview & Policies GLOSSARY AGENCY: A debt security issued by a federal or federally sponsored agency. Federal agencies are backed by the full faith and credit of the U.S. Government. Federally sponsored agencies (FSAs) are backed by each particular agency with a market perception that there is an implicit government guarantee. An example of federal agency is the Government National Mortgage Association (GNMA). An example of a FSA is the Federal National Mortgage Association (FNMA). ASKED: The price at w hich securities are offered. BANKERS’ ACCEPTANCE (BA): A draft or bill or exchange accepted by a bank or trust company. The accepting institution guarantees payment of the bill, as well as the issuer. BASIS POINT: A unit of measurement used in the valuation of fixedincome securities equal to 1/100 of 1 percent of yield (e.g., “1/4” of 1 percent is equal to 25 basis points). BID: The price offered by a buyer of securities. (When you are selling securities, you ask for a bid.) See Offer. BROKER: A broker brings buyers and sellers together for commission. CERTIFICATE OF DEPOSIT (CDs): A time deposit with a specific maturity evidenced by a certificate. Large- denomination CDs are typically negotiable. CERTIFICATE OF DEPOSIT ACCOUNT REGISTRY SERVICES (CDARS): A network of financial institutions offering CDs that diversify large deposits between banks at FDIC limits. COLLATERAL: Securities, evidence of deposit or other property which a borrower pledges to secure repayment of a loan. Also refers to securities pledged by a bank to secure deposits of public monies. COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR): The official annual report for the Town. It includes five combined statements for each individual fund and account group prepared in conformity with GAAP. It also includes supporting schedules necessary to demonstrate compliance with finance-related legal and contractual provisions, extensive introductory material, and a detailed Statistical Section. COUPON: (a) The annual rate of interest that a bond’s issuer promises to pay the bondholder on the bond’s face value. (b) A certificate attached to a bond evidencing interest due on a payment date. DEALER: A dealer, as opposed to a broker, acts as a principal in all transactions, buying and selling for his own account. DEBENTURE: A bond secured only by the general credit of the issuer. DELIVERY VERSUS PAYMENT: There are two methods of delivery of securities: delivery versus payment and delivery versus receipt. Delivery versus payment is delivery of securities with an exchange of money for the securities. Delivery versus receipt is delivery of securities with an exchange of a signed receipt for the securities. DISCOUNT: The difference betw een the cost price of a security and its maturity when quoted at lower than face value. A security selling below original offering price shortly after sale also is considered to be at a discount. DISCOUNT SECURITIES: Noninterest bearing money market instruments that are issued a discount and redeemed at maturity for full face value (e.g., U.S. Treasury Bills). 81 Financial Overview & Policies DIVERSIFICATION: Dividing investment funds among a variety of securities offering independent returns. FEDERAL CREDIT AGENCIES: Agencies of the Federal Government set up to supply credit to various classes of institutions and individuals, e.g., S&L’s small business firms, students, farmers, farm cooperatives, and exporters. FEDERAL DEPOSIT INSURANCE CORPORATION (FDIC): A federal agency that insures bank deposits, currently up to $250,000 per deposit. FEDERAL FARM CREDIT BUREAU (FFCB): Debt securities issued by banks of the Farm Credit System, a leading provider of loans, leases and services to rural communities and U.S. agriculture. FEDERAL FUNDS RATE: The rate of interest at which Fed funds are traded. This rate is currently pegged by the Federal Reserve through open-market operations. variety of adjustable mortgages and second loans, in addition to fixed-rate mortgages. FNMA’s securities are also highly liquid and are widely accepted. FNMA assumes and guarantees that all security holders will receive timely payment of principal and interest. FEDERAL OPEN MARKET COMMITTEE (FOMC): Consists of seven members of the Federal Reserve Board and five of the twelve Federal Reserve Bank Presidents. The President of the New York Federal Reserve Bank is a permanent member, while the other Presidents serve on a rotating basis. The Committee periodically meets to set Federal Reserve guidelines regarding purchases and sales of Government Securities in the open market as a means of influencing the volume of bank credit and money. FEDERAL RESERVE SYSTEM: The central bank of the U.S. created by Congress and consisting of a sevenmember Board of Governors in WashFEDERAL HOME LOAN BANKS ington, D.C., 12 regional banks and (FHLB): The institutions that regu- about 5,700 commercial banks that are late and lend to savings and loan asso- members of the system. ciations. The Federal Home Loan Banks play a role analogous to that played by FINANCIAL REGULATORY INDUSthe Federal Reserve Banks vis-a-vis TRY AUTHORITY: A regulatory body created after the merger of the Nationmember commercial banks. al Association of Securities Dealers and FEDERAL NATIONAL MORTGAGE AS- the New York Stock Exchange’s regulaSOCIATION (FNMA): FNM A, like tion committee. The Financial Industry GNMA was chartered under the Federal Regulatory Authority is responsible for National Mortgage Association Act in governing business between brokers, 1938. FNMA is a federal corporation dealers and the investing public. By two regulators, working under the auspices of the De- consolidating these aims to eliminate regulatory partment of Housing and Urban Devel- FINRA overlap and cost inefficiencies. opment (HUD). It is the largest single provider of residential mortgage funds GOVERNMENT NATIONAL MORTin the U.S. Fannie Mae, as the corpora- GAGE ASSOCIATION (GNMA OR tion is called, is a private stockholder- GINNIE MAE): Securities influencowned corporation. ing the volume of bank credit guaranThe corporation’s purchases include a teed by GNMA and issued by mortgage 82 Financial Overview & Policies bankers, commercial banks, savings and loan associations, and other institutions. Security holder is protected by full faith and credit of the U.S. Government. Ginnie Mae securities are backed by the FHA, VA or FMHM mortgages. The term “pass-throughs” is often used to describe Ginnie Maes. GOVERNMENT SPONSORED ENTERPRISE AGENCIES (GSE): U.S. Government Agencies, Government Sponsored Enterprises (GSEs), Corporations or Instrumentalities of the US Government – Federal Instrumentality Securities include, but are not limited to, Federal National Mortgage Association (FNMA), the Federal Home Loan Mortgage Corporation (FHLMC), Federal Home Loan Banks (FHLB), and the Federal Farm Credit Bureau (FFCB). INTERNAL CONTROLS: An internal control structure designed to ensure that the assets of the entity are protected from loss, theft, or misuse. The internal control structure is designed to provide reasonable assurance that these objectives are met. a security is trading and could presumably be purchased or sold. MASTER REPURCHASE AGREEMENT: A written contract covering all future transactions between the parties to repurchase/reverse repurchase agreements that establishes each party’s rights in the transactions. A master agreement will often specify, among other things, the right of the buyerlender to liquidate the underlying securities in the event of default by the seller-borrower. MATURITY: The date upon w hich the principal or stated value of an investment becomes due and payable. MONEY MARKET: The market in which short-term debt instruments (i.e., bills, commercial paper, bankers’ acceptances, etc.) are issued and traded. OFFER: The price asked by a seller of securities. (When you are buying securities, you ask for an offer.) See Asked and Bid. INVESTMENT ADVISOR: An indeOPEN MARKET OPERATIONS: Purpendent person or group of people that chases and sales of government and makes investment recommendations or certain other securities in the open conducts securities analysis for a fee. market by the New York Federal Reserve LIQUIDITY: A liquid asset is one Bank as directed by the FOMC in order that can be converted easily and rapidly to influence the volume of money and into cash without a substantial loss of credit in the economy. Purchases inject value. In the money market, a security reserves into the bank system and is said to be liquid if the spread be- stimulate growth of money and credit; tween bid and asked prices is narrow sales have the opposite effect. and reasonable size can be done at Open market operations are the Federal Reserve’s most important and most those quotes. LOCAL GOVERNMENT INVESTMENT flexible monetary policy tool. POOL (LGIP): The aggregate of all funds from political subdivisions that are placed in the custody of the State Treasurer for investment and reinvestment. MARKET VALUE: The price at w hich PORTFOLIO: Collection of securities held by an investor. PRIMARY DEALER: A group of government securities dealers who submit daily reports of market activity and positions and monthly financial state- 83 Financial Overview & Policies ments to the Federal Reserve Bank of New York and are subject to its informal oversight. Primary dealers include SEC-registered securities brokerdealer, banks and a few unregulated firms. PRUDENT PERSON RULE: An investment standard. In some states, the law requires that a fiduciary, such as a trustee, may invest money only in a list of securities selected by the custody state - the so-called legal list. In other states, the trustee may invest in a security if it is one which would be bought by a prudent person of discretion and intelligence who is seeking a reasonable income and preservation of capital (see ARIZ. REV. STAT. §§ 14-10902 and 1410906). QUALIFIED PUBLIC DEPOSITORIES: A financial institution which does not claim exemption from the payment of any sales or compensation use or ad valorem taxes under the laws of this state, which has segregated for the benefit of the commission eligible collateral having a value of not less than its maximum liability and which has been approved by the Public Deposit Protection Commission to hold public deposits. RAINY DAY FUND: Designed to set revenue aside during times of abovetrend economic growth and to utilize this revenue during times of belowtrend growth. A Rainy Day Fund can be used to balance the budget which is the intended purpose. RATE OF RETURN: The yield obtainable on a security based on it purchase price or its current market price. This may be the amortized yield to maturity on a bond the current income return. REPURCHASE AGREEMENT (RP OR REPO): A holder of securities sells 84 these securities to an investor with an agreement to repurchase them at a fixed price on a fixed date. The security “buyer” in effect lends the “seller” money for the period of the agreement, and the terms of the agreement are structured to compensate him for this. Dealers use RP extensively to finance their positions. Exception: When the Fed is said to be doing RP, it is lending money, which is, increasing bank reserves. SAFEKEEPING: A service to customers rendered by banks for a fee whereby securities and valuables of all types and descriptions are held in the bank’s vaults for protection. SECONDARY MARKET: A market made for the purchase and sale of outstanding issues following the initial distribution. SECURITIES & EXCHANGE COMMISSION (SEC): Agency created by Congress to protest investors in securities transactions by administering securities legislation. SIFMA: Securities I ndustry and Financial Markets Association. TOTAL RETURN: The sum of all investment income plus changes in the capital value of the portfolio. For mutual funds, return on an investment is composed of share price appreciation plus any realized dividends or capital gains. This is calculated by taking the following components during a certain time period: (Price Appreciation) + (Dividends paid) + (Capital Gains) = Total Return. U.S. TREASURY BILLS: A noninterest bearing discount security issued by the U.S. Treasury to finance the national debt. Most bills are issued to mature in three months, six months, or one year. Financial Overview & Policies U.S. TREASURY BONDS: Long-term U.S. government debt securities with maturities of ten years or longer and issued in minimum denominations of $1,000. Currently, the longest outstanding maturity for such securities is 30 years. U.S. TREASURY NOTES: I ntermediate U.S. government debt securities with maturities of 1 to 10 years and issued in denominations ranging from $1,000 to $1 million or more. US. TREASURY OBLIGATION: Direct obligations of the U.S. Treasury whose payment is guaranteed by the U.S. YIELD: The current rate of return on an investment security generally expressed as a percentage of the security’s current price. Appendix A Authorized Investment Officers PFM Asset Management LLC Attn: Paulina Woo 1820 East Ray Road Chandler, Arizona 85225 Town Manager Town Accountant (limited in ministerial acts only) Town Clerk (limited in ministerial acts only) 85 Financial Overview & Policies 86 Budget Highlights Budget Highlights 87 Budget Highlights Budget Introduction In FY09-10, the Town introduced program budgeting. Program budgeting is a method of budgeting expenditures to meet programmatic objectives rather than budgeting on a line-item basis. In program budgeting, specific performance objectives or outcomes are defined, and the costs to produce those outcomes are enumerated in the budget. In FY16-17, although the budget document continues with Department level, Division level and Program level budgets, many programs were combined for more efficient managing and reporting purposes. There were also two new Departments created. The new General Government Department was created for all non-departmental, Town-wide items and the Public Works Department was created out of the Development Services Department to oversee the Streets, Facilities, and Engineering Divisions, as well as the Outside Inspections program. For a summary of all Town programs, please see pages 119-120. TOWN OF FOUNTAIN HILLS REVENUES BY FUND General Fund 75% Streets 14% Special Revenue 5% Eagle Mtn CFD 2% Capital Projects 4% The proposed budget is based on revenue projections that are conservative and based on the expectation that the local and national economy will recover quickly with some modest growth in revenues next fiscal year. Revenues for all funds are $27.4 with expenditures of $33.8M with some funds utilizing reserves for projects. It should be noted that the State-shared sources of revenue are very sensitive TOWN OF FOUNTAIN HILLS to the fluctuations of the EXPENDITURES BY FUND economy as well as to annual legislative appropriations. Additionally, these Streets revenues are distributed to 16% cities and towns based on General Fund Special Revenue each municipality’s popula59% 4% tion compared to that of Capital Projects the entire State. Some 17% Environmental municipalities have abun2% dant available land for expansion and will continue to grow in population, Facilities while others, like Fountain Replacement Fund Total All Funds = $33.8M 2% Hills, have fixed borders and limited population growth. Over time, Fountain Hills will, therefore, represent a smaller and smaller percentage of the total and will be allocated a smaller percentage of State-shared revenues. During FY15-16, seven cities and towns had a mid-decade census done in order to capture a bigger portion of State-shared revenues, which in turn, has had a negative impact on the Town’s portion. Total All Funds = $27.4M 88 Budget Highlights General Fund Budget Overview The General Fund supports core services and is the largest fund with the greatest potential for revenue fluctuations. Revenues from taxes, State-shared revenues, license and permit fees, and charges for services provide the major resources to fund programs and services delivered by the Town. Town of Fountain Hills FY20-21 General Fund Operating Revenues Local Taxes 55% 91% of the Town’s General Fund resources are derived from the local taxes and State-shared revenues. Intergovernmental 36% Building Revenue 4% TOTAL = $19.3M Permits, Licenses, Fees 5% The economic recession forced the Town to focus on the delivery of core services, defined by the Town Council as:    Public Safety – Fire and Emergency Medical, Law Enforcement Administration – Finance, Administrative Services, Information Technology, Purchasing, Town Manager, Town Clerk, General Government, and Judicial Public Works - Facilities, Engineering Development Services – Building Safety, Planning & Zoning, Code Enforcement, Mapping & Graphics Community Services – Parks, Recreation, Senior Services, Community Center, Volunteers, Tourism, Open Space and Trails In FY12, the Town received $12.6M in General Fund revenues. The economic recovery saw a return to an upward revenue stream. The drop in FY14 reflects the reallocation of the Vehicle License Tax revenue (historically available for General Fund expenditures) to the Streets Fund (HURF) for pavement management. General Fund Revenues $25.0 $19.3 $20.0 Mi l lions   $15.0 $12.6 $13.3 $13.2 FY12-13 FY13-14 $14.1 $14.7 $15.0 FY15-16 FY16-17 $17.5 $17.6 FY18-19 FY19-20 $15.9 $10.0 $5.0 $FY11-12 FY14-15 FY17-18 FY20-21 89 Budget Highlights In FY14-15 , the Town Council directed staff to develop a new program for funding maintenance of capital assets – those projects that are necessary to maintain the Town’s infrastructure but are not considered a capital improvement program (i.e., under the $50,000 threshold for capital). In FY15-16, the Town had a Capital Reserve Study performed to identify those items. The Facilities Replacement fund is normally funded through transfers from the General Fund. However, FY20-21 projects will be completed utilizing accumulated fund balance from prior fiscal years. Following is a brief summary of what is included in the proposed General Fund budget for FY20-21: Salaries and Benefits - For FY20-21, an increase of 1.25 Full-Time Equivalents is proposed. This proposal adds a full-time Groundskeeper II position and an increase in hours for a Customer Service Representative II position at the Community Center. Most Town employees’ salaries and benefits are funded through the General Fund; salaries normally include overtime, sick leave, and vacation. The Town Manager is also proposing a cost of living increase of 2.5%, beginning January 1, 2021. Because local governments are primarily a service industry, salaries and benefits comprise a major portion of expenditures. For Fountain Hills, salaries and benefits represent 24% of the proposed General Fund budget in FY20-21 and 16% of the total budget. Employee benefits include health, vision and dental insurance, employer taxes, disability, workers’ compensation insurance, and employer match of retirement contributions. The Town does not provide a defined benefit pension plan for employees but rather matches emNumber of Full-Time Equivalent Employees ployee contributions into a 401(a) account maintained by the Inter- 120 115 national City/County Managers As- 110 108 106 sociation (ICMA). 100 The chart on the right shows that the number of Town employees is only slightly higher than at the lowest level in over sixteen years while the level of service to the citizens has remained constant. 90 87 77 80 77 82 88 87 80 70 61 60 58 61 57 51 52 52 54 56 62 56 50 40 FY01 FY05 FY10 FY15 FY21 Contractual Services - The Town contracts with outside professionals for a number of services which represents 35% of the total budget (51% of the General Fund). Two major contracts included in this category are: 1. Fire protection and emergency medical services ($3,833,346), currently under contract with Rural/Metro Corporation – 3% increase; and 2. Police protection ($4,918,265), currently provided through the Maricopa County Sheriff’s Office – 5.2% increase. These two contracts alone represent 42% of the General Fund budget in FY20-21. Contractual Services also includes annual landscape maintenance contracts, equipment and vehicle repairs, and facilities maintenance (janitorial, building maintenance, etc.). Maintenance of the Town’s 119 acres of parks, Town medians, dams, and washes are provided by independent contractors. These contracts are solicited 90 Budget Highlights through a bid process to obtain the most competitive price for the Town. With pavement management a high priority, the Town is placing an emphasis on infrastructure maintenance that has been deferred. Maintenance/Utilities - In FY20-21, maintenance/utilities represent 5% of the total General Fund budget. The Town owns nine buildings that require maintenance on HVAC equipment, interior and exterior surfaces, electric, plumbing, fire systems, and irrigation. Town staff has been unable to dedicate the resources necessary to maintain the buildings in an optimum condition; consequently future budgets will require increasing amounts of maintenance funding to bring the buildings up to current standards. Supplies and Services - Supplies and Services include operational costs such as insurance, office supplies, etc. for Town Hall and other Town-owned buildings and accounts for 4% of the operating budget. The Town owns the Library/Museum, the Community Center, two fire stations, a vehicle maintenance facility, the Kiwanis building, Town Hall, and the Streets operations building. Capital Outlays - Capital outlays include the purchase of furniture and equipment, and the improvement of Town facilities with a cost of at least $10,000 but less than $50,000. Expenditures of $50,000 or more are included in the Capital Improvement Program. The Facilities Replacement Fund is used to cover the costs of other infrastructure type items, such as buildings, parks, and the fountain. Streets (HURF) Fund Overview The Streets (HURF) Fund is a fund restricted to streets and transportation related purposes. With an operational priority for pavement management, 70% the revenue from Vehicle License Taxes (VLT) will be appropriated within the Streets fund to be used for pavement maintenance (not reconstruction). The available resources in Streets are anticipated at $4.5M in FY20-21, including $816,689 from VLT. Road maintenance has not been adequately funded for several years which has resulted in serious degradation of the Town’s 163 miles of streets. The FY2021 program of work will continue to focus on resolving the long-term fiscal needs for road maintenance. The Streets (HURF) fund provides funding for the following Town programs:  Streets Department—Administration, including Legal Services and Traffic Signals  Open Space  Pavement Management  Street Signs  Vehicle Maintenance Excise Tax Funds Overview The Excise Tax/Downtown Fund was created in FY00-01 designating 0.1% of the Town’s 2.9% local sales tax to downtown development. Subsequently, on April 18, 2013, the Town Council established an additional fund by splitting the original Excise Tax/Downtown Fund into two separate funds:  Downtown Strategy Fund (original Excise Tax/Downtown Fund)  Economic Development Fund 91 Budget Highlights Both funds were originally funded through the dedicated 0.1% of local sales tax with a 60/40 split—60% of dedicated revenue allocated to the new Economic Development Fund and 40% of dedicated revenue allocated to the Downtown Strategy Fund. The residual fund balance of the Excise Tax/Downtown Fund as of June 30, 2013, was included with any new revenue in the Downtown Strategy Fund to be used towards Town Center infrastructure improvement and development. The Economic Development Fund, originally, was funded with 60% of the 0.1% local sales tax to be available for any economic development purpose. The Economic Development budget also included a proposal to create a new fund for Tourism in the amount of $103,000 as well as implementation of the Economic Development Plan adopted by the Council in March 2013. A resolution (2014-50) was passed on December 4, 2014, changing the allocations to 80% to the Economic Development Fund and 20% to the Downtown Strategy Fund effective January 1, 2015. Special Revenue Fund Overview All special revenues (grants, etc.) are received in the Special Revenue Fund. Operating expenses are also recorded in the Special Revenue Fund unless the projects supported are in the Capital Improvement Program or the funds are in support of ongoing Town services. In 2013, with proceeds from a $60,000 grant from the State lottery funds (LTAF II), the Town contracted with Valley Metro for a study on possible transportation programs in Fountain Hills. The study was conducted throughout the community to get a wide response as to the transportation needs; as a result, the Town created the Ride-Choice program. Grant funds will be used for that program as long as they are available. Additionally, a portion of subsequent funding was used to construct the first bus shelter in Town as part of a Park N’ Ride approach near Town Hall. Included in the FY20-21 budget is an appropriation in the event that unanticipated grants become available. Other revenues in the Special Revenue Funds are the Court Enhancement Fund, the Environmental Fund, and the Cottonwoods Maintenance District Fund – these funds are committed/assigned/restricted for specific purpose and not available for general operations. Debt Service Funds Overview The Town retired all of its General Obligation and Municipal Property Corporation bonds in FY19-20, as scheduled. There is one-year of debt service remaining for Eagle Mountain Community Facilities District. Total debt service revenues for FY20 -21 are budgeted at $400,001. These revenues will be collected as a secondary property tax from residents of the District, and the final bond payments for the District will be paid during FY20-21. Development Fee Funds Overview With limited funds from development anticipated, there are no capital projects budgeted to be funded from development fees in the next fiscal year. However, prior legislation required that the Town update the Infrastructure Improvement Plan (IIP) and update the development fee schedule. This study was initiated in 92 Budget Highlights FY18-19, completed in FY19-20 and is the basis for current fees. The study was approved and increased the number of fee categories from two to three:    Fire & Emergency Medical Service Parks/Recreation Streets Per statute, the Town will update the Infrastructure Improvement Plan and fee schedule in FY24-25. Capital Projects Fund Overview The Capital Projects Fund resources are derived from one time construction sales tax (50% of revenues – the other 50% funds operations in the General Fund), bond proceeds, or other revenue sources. The following major project areas are programmed for FY20-21 with total expenditures for capital projects budgeted at $5.5M: FY20-21 Projects by Project Type Stormwater Management/Drainage Projects 49% Street/Sidewalk Projects 33% Parks & Recreation Projects 14% TOTAL = $5.5M Facilities Projects 3% Traffic Signal Projects 1% $2.6M for Stormwater Management & Drainage projects $1.7M for Street & Sidewalk projects $0.7M for Parks & Recreation projects $0.5M for other minor projects & contingency The complete list of projects is shown on page 299. 93 Budget Highlights FY20-21 Summary of Proposed Budget Revenues and Expenditures - All Funds General Fund Revenues: Sales Tax Property Tax Franchise Tax Intergovernmental Fines and Forfeitures Licenses and Permits Charges for Services Leases and Rents Investment Earnings Other Sub total Revenues Transfers In Sub total Use/(Source) of Reserves Total Revenues Expenditures: Current: General Government: Mayor and Council Administration General Government Municipal Court Total General Government Public Safety: Fire & Emergency Medical Law Enforcement Total Public Safety Community Services Public Works Development Services Sub total Transfers Out Total Expenditures Debt Service Funds Capital Project Funds Non-Major Funds Total $ 10,422,177 211,974 6,840,899 185,004 992,737 221,550 278,590 24,000 81,355 19,258,286 19,258,286 250,000 $ 19,508,286 $ 400,001 2,280 402,281 402,281 6,319 408,600 $ 904,152 17,500 679,311 26,400 1,627,363 975,000 2,602,363 3,936,511 $ 6,538,874 $ 1,306,878 6,643 3,937,072 49,000 300,000 38,892 450,542 6,089,027 656,240 6,745,267 2,279,204 $ 9,024,471 $ 12,633,207 406,644 211,974 10,795,471 234,004 1,672,048 521,550 278,590 91,572 531,897 27,376,957 1,631,240 29,008,197 6,472,034 $ 35,480,231 $ $ 408,600 408,600 $ $ $ 408,600 408,600 775,000 4,459,695 5,497,230 229,700 $ 5,726,930 74,882 2,339,663 2,204,942 402,604 5,022,091 4,197,330 5,029,469 9,226,799 2,942,046 1,120,866 946,484 19,258,286 250,000 $ 19,508,286 $ $ 262,535 262,535 Note: See page 42 for a listing of the funds included in each column. 94 1,826,436 76,989 24,800 1,928,225 144,649 6,612,001 8,684,875 1,151,540 $ 9,836,415 74,882 4,837,234 2,281,931 427,404 7,621,451 4,197,330 5,029,469 9,226,799 3,861,695 12,192,562 946,484 33,848,991 1,631,240 $ 35,480,231 Budget Highlights TOWN OF FOUNTAIN HILLS NET REVENUES BY TYPE - ALL FUNDS Sales Tax 46% Intergovernmental 40% Franchise Fee 1% Fines and Forfeitures 1% Leases and Rents 1% Property Tax 1% Other 2% Charges for Services 2% Licenses and Permits Total = $27.4M 6% TOWN OF FOUNTAIN HILLS NET EXPENDITURES BY FUNCTION - ALL FUNDS Publ ic Works 36% Development Servi ces 3% Publ ic Safety 27% General Government 23% Community Servi ces 11% Total = $33.8M 95 Budget Highlights Historical Summary of Revenues and Expenditures - All Funds Revenues: Taxes: Sales Tax Property Tax Franchise Tax Intergovernmental Fines and Forfeitures Licenses and Permits Charges for Services Leases and Rents Investment Earnings Other Sub total Revenues Transfers In Sub total Use/(Source) of Reserves Total Revenues Expenditures: Current: General Government: Mayor and Council Administration General Government Municipal Court Total General Government Public Safety: Fire & Emergency Medical Law Enforcement Total Public Safety Community Services Public Works Development Services Sub total Expenditures Transfers Out Total Expenditures 96 FY17-18 Actual FY18-19 Actual FY19-20 Revised Budget FY20-21 Proposed Budget $ 10,311,578 2,286,081 421,682 8,266,027 182,998 2,004,386 254,122 282,530 158,861 601,425 24,769,690 4,582,728 29,352,418 639,707 $ 29,992,125 $ 11,491,123 2,427,731 423,947 8,401,676 130,483 2,040,622 181,105 280,801 554,549 347,141 26,279,178 3,672,532 29,951,710 2,265,296 $ 32,217,006 $ 10,995,809 2,094,172 187,231 10,534,886 228,001 1,585,419 497,800 283,584 79,536 433,449 26,919,887 26,919,887 7,562,806 $ 34,482,693 $ 12,633,207 406,644 211,974 10,795,471 234,004 1,672,048 521,550 278,590 91,572 531,897 27,376,957 1,631,240 29,008,197 6,472,034 $ 35,480,231 $ $ $ $ 77,779 5,443,898 1,432,215 326,699 7,280,591 5,703,533 3,792,675 9,496,208 3,549,873 4,207,210 875,515 25,409,397 4,582,728 $ 29,992,125 81,836 5,273,601 309,237 327,240 5,991,914 6,458,719 4,153,699 10,612,418 4,027,245 7,046,689 866,208 28,544,474 3,672,532 $ 32,217,006 98,544 6,734,965 1,225,771 552,078 8,611,358 4,030,800 4,785,920 8,816,720 3,415,874 10,618,520 1,100,296 32,562,768 1,919,925 $ 34,482,693 74,882 4,837,234 2,281,931 427,404 7,621,451 4,197,330 5,029,469 9,226,799 3,861,695 12,192,562 946,484 33,848,991 1,631,240 $ 35,480,231 Budget Highlights Town of Fountain Hills Revenues - By Year and Type Millions $16 $14 $12 $10 $8 $6 $4 $2 $FY17-18 Actual FY18-19 Actual Taxes FY19-20 Budget Intergovernmental FY20-21 Budget Other Millions Town of Fountain Hills Expenditures - By Year and Function $14 $12 $10 $8 $6 $4 $2 $- FY17-18 Actual FY18-19 Actual General Government Public Works Development Services FY19-20 Budget FY20-21 Budget Public Safety Community Services 97 Budget Highlights FY20-21 Proposed Budget Summary of Expenditures Fund/Department General Fund Mayor & Council Administration General Government Municipal Court Public Works Development Services Community Services Fire & Emergency Medical Law Enforcement Total General Fund Total General Fund Special Revenue Funds Public Works Total Streets (HURF) Fund $ FY17-18 FY18-19 FY19-20 FY20-21 Actual Actual Revised Budget Proposed Budget 81,836 2,156,946 263,431 325,550 837,523 866,208 2,227,249 3,892,841 4,153,699 14,805,283 $ $ 77,779 2,290,065 204,809 321,152 795,607 730,745 2,177,851 3,866,395 3,792,675 14,257,078 $ 98,544 2,057,198 634,364 397,278 1,171,938 1,100,296 2,674,635 4,021,300 4,785,920 16,941,473 74,882 2,339,663 2,204,942 402,604 1,120,866 946,484 2,942,046 4,197,330 5,029,469 19,258,286 $ 14,257,078 $ 14,805,283 $ 16,941,473 $ 19,258,286 $ $ $ $ 2,611,947 2,611,947 4,563,969 4,563,969 5,194,062 5,194,062 5,120,822 5,120,822 Administration Total Downtown Strategy Fund 56,044 56,044 38,204 38,204 46,400 46,400 38,400 38,400 Administration Total Economic Development Fund 183,332 183,332 224,051 224,051 285,482 285,482 241,270 241,270 Administration Total Tourism Fund 206,514 206,514 235,302 235,302 182,724 182,724 208,266 208,266 Administration Total Special Revenue Fund 157,945 157,945 91,211 91,211 1,662,525 1,662,525 1,338,500 1,338,500 Community Services Total Public Art Fund 29,234 29,234 22,791 22,791 139,340 139,340 144,649 144,649 Municipal Court Total Court Enhancement Fund 5,547 5,547 1,690 1,690 154,800 154,800 24,800 24,800 530,655 530,655 501,717 501,717 735,255 735,255 666,904 666,904 4,696 4,696 4,530 4,530 5,101 5,101 5,131 5,131 Public Works Total Environmental Fund Administration Total Cottonwoods Maint District Total Special Revenue Funds 98 $ 3,785,914 $ 5,683,465 $ 8,405,689 $ 7,788,742 Budget Highlights FY20-21 Proposed Budget Summary of Expenditures Fund/Department Debt Service Funds Administration Total Gen Oblig Debt Service $ FY17-18 FY18-19 FY19-20 FY20-21 Actual Actual Revised Budget Proposed Budget 1,972,850 1,972,850 $ $ 2,121,550 2,121,550 $ 1,663,800 1,663,800 350 350 Administration Total Eagle Mtn CFD Debt Service 407,724 407,724 405,767 405,767 409,192 409,192 407,240 407,240 Administration Total Munic Prop Corp Debt Service 377,696 377,696 381,854 381,854 305,870 305,870 1,010 1,010 Total Debt Service Funds Capital Projects Funds Administration Public Works Community Services Fire & Emergency Medical Total Capital Projects Fund $ 2,906,970 $ 2,760,471 $ 2,378,862 $ 408,600 $ 2,791 250,012 1,135,740 1,837,138 3,225,681 $ 2,720 571,328 1,120,213 2,558,246 4,252,507 $ 116,673 2,358,378 485,000 2,960,051 $ 262,535 4,459,695 735,000 5,457,230 Fire & Emergency Medical Total Fire/Emergency Dev Fee - 7,632 7,632 9,500 9,500 - Public Works Total Streets Dev Fee - - - - Community Services Total Park/Rec Dev Fee - 33,094 33,094 40,500 40,500 40,000 40,000 Total Capital Projects Funds $ 3,225,681 $ 4,293,233 $ 3,010,051 $ 5,497,230 Internal Service Funds Public Works Total Facilities Replacement Fund 163,759 163,759 437,028 437,028 819,144 819,144 819,144 819,144 Administration Total Technology Replacement Fund 61,229 61,229 - - 25,000 25,000 1,008,231 1,008,231 176,401 176,401 591,407 339,743 931,150 51,989 51,989 General Government Public Works Total Vehicle/Equip Repl Fund Total Internal Service Funds Total Expenditures $ 1,233,219 $ 25,408,862 $ 613,429 $ 28,155,881 $ 1,750,294 $ 32,486,369 $ 896,133 $ 33,848,991 99 Budget Highlights FY20-21 Projected Changes in Fund Balances General Fund Revenues: Sales Tax Property Tax Franchise Tax Intergovernmental Fines and Forfeitures Licenses and Permits Charges for Services Leases and Rents Investment Earnings Other Sub total Transfers In Total Revenues Expenditures: General Government: Mayor and Council Administration General Government Municipal Court Total General Government Public Safety: Fire & Emergency Medical Law Enforcement Total Public Service Community Services Public Works Development Services Sub total Transfers Out Total Expenditures Net Change in Fund Balance $ 10,422,177 211,974 6,840,899 185,004 992,737 221,550 278,590 24,000 81,355 19,258,286 19,258,286 Debt Service Funds Capital Projects Funds $ $ 400,001 2,280 402,281 402,281 Non-Major Funds Total 904,152 17,500 679,311 26,400 1,627,363 975,000 2,602,363 $ 1,306,878 6,643 3,937,072 49,000 300,000 38,892 450,542 6,089,027 656,240 6,745,267 $ 12,633,207 406,644 211,974 10,795,471 234,004 1,672,048 521,550 278,590 91,572 531,897 27,376,957 1,631,240 29,008,197 74,882 2,339,663 2,204,942 402,604 5,022,091 408,600 408,600 262,535 262,535 1,826,436 76,989 24,800 1,928,225 74,882 4,837,234 2,281,931 427,404 7,621,451 4,197,330 5,029,469 9,226,799 2,942,046 1,120,866 946,484 19,258,286 250,000 19,508,286 408,600 408,600 775,000 4,459,695 5,497,230 229,700 5,726,930 144,649 6,612,001 8,684,875 1,151,540 9,836,415 4,197,330 5,029,469 9,226,799 3,861,695 12,192,562 946,484 33,848,991 1,631,240 35,480,231 (250,000) (6,319) (3,124,567) (3,091,148) (6,472,034) 4,681,030 1,556,463 4,617,654 $ 1,526,506 17,802,458 $ 11,330,424 (67%) (67%) (36%) Fund Balance Beginning of Year - estimated End of Year 7,833,744 $ 7,583,744 Fund Balance Percentage Change (3%) $ 670,030 663,711 $ (1%) Note: See page 42 for a listing of the funds included in each column. The Capital Projects and Non-Major Funds will be utilizing accumulated reserves, as well as funds transferred into those funds, for one time capital expenditures. 100 Revenue Summary Revenue Summary 101 Revenue Summary Revenue This section provides a broad overview of the revenues included in the FY20-21 budget. Information is presented for each fund and fund type. TOWN OF FOUNTAIN HILLS REVENUES BY FUND TYPE General Fund 70% Special Revenue Funds 21% Capital Projects Funds 6% Total All Funds = $27.4M Debt Service Funds 1% Internal Service Funds 2% Total revenues for all funds are estimated at $27,376,957 excluding transfers. The General Fund portion represents approximately 70% of the total. Special Revenue funds, including the Streets (HURF) Fund, represent another 21% of the budget. Capital Projects is 6%, Internal Service funds are 2%, and Debt Service funds represent the final 1%. 102 Revenue Summary FY20-21 Proposed Budget Summary of Revenues FY17-18 Actual Description FY18-19 Actual FY19-20 FY20-21 Revised Budget Proposed Budget General Fund Sales Tax-Local Franchise Fees Liquor License Fees Business License Animal License Building Permit Sign Permits Planning & Zoning Fees Landscape Permits Encroachment Permits Variances Subdivision Fees Special Event Permit Engineering Fees Plan Review Inspection Fees Alcohol Permits Third Party Revenues Rental Fees Non-Taxable Rental Cell Tower Lease Sales Tax-State Income Tax-State Vehicle License Tax Fire Insurance Premium Tax Program Fees Sponsorships Donations Reimbursements/Refunds Auction/Recycle Proceeds Restitution/Ins Proceeds Miscellaneous Revenue Taxable Sales Convenience Fees Court Fines/Fees Abatements Interest Income Internal Service Charges $ Special Revenue Funds Sales Tax-Local Vehicle License Tax Highway User Tax In-Lieu Fees Adopt-A Street Fee Reimbursements/Refunds Auction/Recycle Proceeds Restitution/Ins Proceeds Interest Income Internal Service Charges Total Streets Fund $ 9,198,866 423,947 1,750 137,869 230,326 8,905 13,212 27,300 717,686 2,500 76,952 10,810 8,350 159,460 18,187 200 128,327 8,381 144,093 2,476,030 2,976,998 46,275 174,886 5,101 28,496 18,785 611 115,355 5,383 32,135 3,318 120,340 136,572 - $ 9,125,999 187,231 2,000 141,696 240,588 6,100 16,185 16,800 25,000 4,300 52,250 8,750 5,900 185,969 13,250 630 210,000 156,095 7,300 120,189 2,583,378 3,253,750 336,750 46,258 197,800 5,200 32,345 1,260 640 200 5,310 30,810 1,500 179,001 24,000 - $ 10,422,177 211,974 2,000 139,764 394,073 6,100 15,825 44,520 25,000 5,300 62,250 8,750 5,600 265,925 17,000 630 151,100 7,301 120,189 2,815,032 3,629,136 350,010 46,721 221,550 37,200 345 1,260 640 200 5,535 33,925 2,250 185,004 24,000 - 15,916,191 17,457,406 17,224,434 19,258,286 $ 15,916,191 $ 17,457,406 $ 17,224,434 $ 19,258,286 Total General Fund Total General Fund 8,417,615 421,683 2,600 133,280 36,174 251,517 6,935 6,384 23,520 24,887 2,200 206,768 8,800 6,600 185,422 35,440 240 134,007 7,301 141,223 2,352,502 3,032,329 45,347 164,456 5,858 37,239 328 39 712 5,721 34,088 5,448 152,161 1,575 25,792 - $ 793,197 1,011,836 1,593,514 20,145 30 1,159 989 39,992 3,460,862 $ 883,932 1,061,441 1,679,594 1,504 23,957 91,634 3,742,062 $ 819,678 785,748 1,666,476 200,000 1,000 30,000 24,000 3,526,902 $ 871,254 816,672 1,761,600 200,000 1,000 30,000 24,000 3,704,526 103 Revenue Summary FY20-21 Proposed Budget Summary of Revenues FY17-18 Actual Description Sales Tax-Local Interest Income FY18-19 Actual FY19-20 FY20-21 Revised Budget Proposed Budget 79,320 3,755 88,393 28,231 81,968 1,260 87,120 1,260 83,075 116,624 83,228 88,380 317,280 1,150 353,573 1,340 327,871 240 348,504 240 318,430 354,913 328,111 348,744 Grants Prop 202/Gaming Rev Donations Miscellaneous Revenue Taxable Sales Convenience Fees Interest Income 37,554 35,000 2 2,243 6 932 35,127 35,000 312 1,911 1,646 45,001 45,000 180 25,000 25,000 180 Total Tourism Fund 75,737 73,996 90,181 50,180 Grants LTAF II Prop 202/Gaming Rev 101,946 56,000 26,211 55,000 1,160,000 297,525 125,000 1,118,800 65,000 125,000 157,946 81,211 1,582,525 1,308,800 In-Lieu Fees Donations Restitution/Ins Proceeds Interest Income 69,491 1,500 2,318 6,219 3,434 100,000 240 100,000 240 Total Public Art Fund 73,309 9,653 100,240 100,240 26,924 2,337 589 8,659 1,483 876 100,000 46,500 2,500 840 46,500 2,500 900 29,850 11,018 149,840 49,900 488,474 75 7,663 486,924 3 15,997 491,976 2,400 2,400 496,212 502,924 494,376 2,400 5,471 197 6,749 414 6,643 72 6,643 72 5,668 7,163 6,715 6,715 Total Downtown Strategy Fund Sales Tax-Local Taxable Sales Interest Income Total Economic Development Fund Total Special Revenue Fund Grants CCEF Revenue JCEF Revenue Interest Income Total Court Enhancement Fund Environmental Fee Convenience Fees Interest Income Total Environmental Fund Property Tax-Cy Interest Income Total Cottonwoods Maint District Total Special Revenue Funds Debt Service Funds Property Tax-Cy Interest Income Total Gen Oblig Bond Debt Service 104 $ 4,701,089 $ 4,899,564 $ 6,362,118 $ 5,659,885 $ 1,909,924 8,494 1,918,418 $ 2,011,867 18,703 2,030,570 $ 1,674,486 1,200 1,675,686 $ 1,200 1,200 Revenue Summary FY20-21 Proposed Budget Summary of Revenues FY17-18 Actual Description Property Tax-Cy Interest Income FY18-19 Actual FY19-20 FY20-21 Revised Budget Proposed Budget 370,686 2,116 409,114 3,344 413,043 240 400,001 240 Total Eagle Mtn CFD Debt Service 372,802 412,458 413,283 400,241 Interest Income Total Munic Prop Corp Debt Service 3,811 3,811 7,090 7,090 840 840 840 840 Total Debt Service Funds Capital Projects Funds Sales Tax-Local Grants Reimbursements/Refunds Auction/Recycle Proceeds Interest Income Total Capital Projects Fund $ 2,295,031 $ 2,450,118 $ 2,089,809 $ 402,281 $ 704,166 103,051 22,557 829,774 $ 966,359 54,211 158,048 1,178,618 $ 640,293 90,000 7,224 737,517 $ 904,152 17,500 19,200 940,852 Development Fees Interest Income 172,727 1,608 27,004 5,808 31,323 2,400 23,988 2,400 174,335 32,812 33,723 26,388 Development Fees Interest Income - - - 301,331 - Total Streets Fee - - - 301,331 412,417 5,522 417,939 113,187 14,898 128,085 132,702 4,800 137,502 353,992 4,800 358,792 Total Fire/Emergency Dev Fee Development Fees Interest Income Total Park/Rec Dev Fee Total Capital Projects Funds $ 1,444,723 $ 1,387,526 $ 915,942 $ 1,627,363 Internal Service Funds Donations Interest Income Total Facilities Replacement Fund 5,400 17,275 9,600 38,411 7,200 7,200 22,675 48,011 7,200 7,200 Internal Service Charges Vehicle Replacement Charges 56,129 5,100 - - 65,000 - Total Internal Service Fund 61,229 - - 65,000 Auction/Recycle Proceeds Interest Income Internal Service Charges Vehicle Replacement Charges Total Vehicle/Equip Repl Fund 3,839 12,830 1,193 331,305 349,167 46,457 26,049 268,446 340,952 25,000 2,400 300,184 327,584 2,400 354,542 356,942 Total Internal Service Funds Total Revenues $ 433,071 $ 24,357,034 $ 388,963 $ 26,194,614 $ 334,784 $ 26,592,303 $ 429,142 $ 27,376,957 105 Revenue Summary FY20-21 Revenues by Type General Fund Revenues: Sales Tax $ 10,422,177 Property Tax Franchise Tax 211,974 Intergovernmental 6,840,899 Fines and Forfeitures 185,004 Licenses and Permits 992,737 Charges for Services 221,550 Leases and Rents 278,590 Investment Earnings 24,000 Other 81,355 Subtotal Revenues 19,258,286 Transfers In Subtotal 19,258,286 Use/(Source) of Reserves 250,000 Total Revenues $ 19,508,286 Debt Service Capital Funds Projects Funds Non-Major Funds Total % of Total $ 400,001 2,280 402,281 402,281 6,319 $ 904,152 17,500 679,311 33,600 1,634,563 975,000 2,609,563 3,936,511 $ 1,306,878 6,643 3,937,072 49,000 300,000 31,692 450,542 6,081,827 656,240 6,738,067 2,279,204 $ 12,633,207 406,644 211,974 10,795,471 234,004 1,672,048 521,550 278,590 91,572 531,897 27,376,957 1,631,240 29,008,197 6,472,034 36% 1% 1% 30% 1% 5% 1% 1% 0% 1% 76% 5% 82% 18% $ 408,600 $ 6,546,074 $ 9,017,271 $ 35,480,231 100% Note: See page 42 for a listing of the funds included in each column. See the following pages for a discussion of the major revenue types, restrictions on use, and major influences for each type. The graphs on the following pages do not represent all of the accounts combined into the above categories. The use of reserves is intended to fund capital projects. 106 Revenue Summary State-shared Sales Tax Revenue General Fund Percent C hange Fiscal Year No restrictions on usage. Must be expended for public 2010-11 $ 1,860,421 3.5% purposes. 2011-12 $ 1,757,297 -5.5% 1 2012-13 $ 1,840,766 4.7% 2013-14 $ 1,957,505 6.3% 2014-15 $ 2,055,241 5.0% 2015-16 $ 2,131,484 3.7% 2016-17 $ 2,192,043 2.8% 1 2017-18 $ 2,352,502 7.3% 2018-19 $ 2,476,030 5.3% 2019-20 (est.) $ 2,630,053 6.2% 2020-21 (est.) $ 2,815,034 7.0% 2021-22 (est.) $ 2,843,184 1.0% 2022-23 (est.) $ 2,871,616 1.0% 2023-24 (est.) $ 2,900,332 1.0% 2024-25 (est.) $ 2,929,335 1.0% C hange as a result of census population Assumptions The State assesses a 5.6% sales tax, of which cities and towns share in the collections based on the relation of its population to the total population of all incorporated cities and towns using the Department of Revenue census figures (Fountain Hills represents 0.4% of the State total). The next year's projection is based on the League of Arizona C ities and Towns bulletin and by the Arizona Department of Revenue forecast for Sales and Use Tax. Major Influences: C onstruction Activity, Retail Sales, Population and Economy STATE SHARED SALES TAX REVENUE $3.0 $2.5 $2.0 Millions 1 Amount Restrictions $1.5 $1.0 $0.5 $- Fiscal years 2011 through 2021 107 Revenue Summary Local Sales Tax All Funds Percent Restrictions Fiscal Year Amount C hange Revenues from the 2.9% local sales tax are allocated to 2010-11 $ 7,844,332 2.6% C apital Projects, Pavement Maintenance, Downtown 2011-12 $ 7,779,219 -0.8% Strategy, Economic Development and General Fund. 2012-13 $ 7,957,162 2.3% General Fund proceeds are not restricted but must be 2013-14 $ 8,459,267 6.3% expended for public purpose. 2014-15 $ 8,983,050 6.2% 2015-16 $ 9,391,267 4.5% 2016-17 $ 9,419,552 0.3% 2017-18 2018-19 $ $ 10,311,578 11,491,124 9.5% 11.4% 2019-20 (est.) $ 13,172,304 14.6% 2020-21 (est.) $ 12,633,209 -4.1% 2021-22 (est.) $ 12,969,794 2.7% 2022-23 (est.) $ 13,607,734 4.9% 2023-24 (est.) $ 14,095,010 3.6% 2024-25 (est.) $ 14,582,286 3.5% Assumptions The local sales tax rate in Fountain Hills is 2.9% (increased from 2.6% as of 11/1/19) - total receipts for FY20-21 are estimated to be $12.6M. The construction related sales tax is derived from one-time activities and has been dedicated for one-time expenditures. Another portion of the local sales tax is dedicated for downtown development. The following is a breakdown of the dedicated and non-dedicated (General Fund) projections: Dedications: Downtown Strategy Fund $ 87,125 Economic Development Fund 348,502 Pavement Maintenance 871,254 C apital Projects Fund 904,151 General Fund 10,422,177 Total Projections $12,633,209 Major Influences: Economy, C onstruction Activity, Retail Sales, Public Policy $14.0 LOCAL SALES TAX REVENUE $12.0 $10.0 Millions $8.0 $6.0 $4.0 $2.0 $- Fiscal years 2011 through 2021 108 Revenue Summary Highway User Revenue Streets (HURF) Fund Percent C hange Restrictions Fiscal Year There is a State constitutional restriction on the use of 2010-11 $ 1,396,075 0.4% these funds which requires that these funds be used 2011-12 $ 1,126,762 -19.3% solely for street and highway purposes. Payment of 2012-13 $ 1,232,187 9.4% principal and interest on highway and street bonds are 2013-14 $ 1,268,563 3.0% an approved use. 2014-15 $ 1,392,806 9.8% 2015-16 $ 1,451,431 4.2% 2016-17 $ 1,538,940 6.0% 2017-18 $ 1,593,514 3.5% 2018-19 $ 1,679,594 5.4% 2019-20 (est.) $ 1,689,156 0.6% 2020-21 (est.) $ 1,761,610 4.3% 2021-22 (est.) $ 1,720,656 -2.3% 2022-23 (est.) $ 1,775,466 3.2% 2023-24 (est.) $ 1,832,166 3.2% 2024-25 (est.) $ 1,889,244 3.1% Amount Assumptions C ities and towns receive 27.5% of fuel tax and transportation related fees collected by the State based on population and county of origin of gasoline sales. The revenue estimate for next year is based on estimates of revenue sharing by Arizona Department of Transportation (ADOT) in their distribution forecast for the next fiscal year. Major Influences: Gasoline sales, Population, Economy and State Policy $2.0 HIGHWAY USER (HURF) REVENUE $1.8 $1.6 $1.4 Millions $1.2 $1.0 $0.8 $0.6 $0.4 $0.2 $- Fiscal years 2011 through 2021 109 Revenue Summary State-shared Income Tax Revenue General Fund 1 Amount Percent C hange Restrictions Fiscal Year No restrictions on usage. Must be expended for public 2010-11 $ 2,383,874 -24.6% purposes. 2011-12 $ 1,898,088 -20.4% 2012-13 $ 2,297,203 21.0% 2013-14 $ 2,506,685 9.1% 2014-15 $ 2,722,433 8.6% 2015-16 $ 2,707,673 -0.5% 2016-17 $ 2,923,870 8.0% 2017-18 $ 3,032,329 3.7% 2018-19 $ 2,976,998 -1.8% 2019-20 (est.) $ 3,225,317 8.3% 2020-21 (est.) $ 3,629,135 12.5% 2021-22 (est.) $ 3,629,135 0.0% 2022-23 (est.) $ 3,629,135 0.0% 2023-24 (est.) $ 3,629,135 0.0% 2024-25 (est.) $ 3,629,135 0.0% C hange as a result of census population Assumptions A 1972 citizen's initiative gave the cities and towns a percentage share of the State income tax, officially called Urban Revenue Sharing; Arizona cities and towns receive 15% of the State's income tax collections. This State-shared revenue is distributed to cities and towns based on the relation of their population to the total population of all incorporated cities and towns in the State according to the latest census. Amounts distributed are based on actual income tax collections from two years prior to the fiscal year in which the Town receives the funds. The next year's projection is provided by the League of Arizona C ities and Towns and the State's Joint Legislative Budget C ommittee (JLBC ). Major Influences: Personal Income, C orporate Net Profits, Population and State Policy STATE SHARED INCOME TAX REVENUE $4.0 $3.5 $3.0 Millions $2.5 $2.0 $1.5 $1.0 $0.5 $- 110 Fiscal years 2011 through 2021 1 1 Revenue Summary Vehicle License Tax Revenue General & Streets (HURF) Funds Percent Restrictions Fiscal Year Amount C hange Town C ouncil has restricted for the Pavement 2010-11 $ 799,551 -2.7% Management Program. (30% allocated to General Fund) 2011-12 $ 722,126 -9.7% 2012-13 $ 752,949 4.3% 2013-14 $ 800,475 6.3% 2014-15 $ 858,874 7.3% 2015-16 $ 927,440 8.0% 2016-17 $ 941,364 1.5% 2017-18 $ 1,011,836 7.5% 2018-19 $ 1,061,441 4.9% 2019-20 (est.) $ 1,269,840 19.6% 2020-21 (est.) $ 1,166,699 -8.1% 2021-22 (est.) $ 1,337,156 14.6% 2022-23 (est.) $ 1,382,620 3.4% 2023-24 (est.) $ 1,431,011 3.5% 2024-25 (est.) $ 1,481,097 3.5% Assumptions Approximately 20% of the revenues collected for the licensing of motor vehicles is distributed to incorporated cities and towns. The Town receives its share of the vehicle license tax collections based on its population in relation to the total incorporated population of the county (Fountain Hills represents 0.4% of the State total). The remainder of the revenues collected are shared by schools, counties, and the State. The Town C ouncil of Fountain Hills passed Resolution 2013-02 designating proceeds from the VLT to be used strictly for maintenance of Town's streets (transferred to Streets/HURF fund). Beginning in FY19-20, Town C ouncil has reallocated the vehicle license tax as follows: 30% to the General Fund and 70% to the Streets (HURF) Fund. General Fund Streets (HURF) Fund $ 350,010 816,689 $ 1,166,699 Major Influences: Automobile sales, Population, and State Policy $1.4 VEHICLE LICENSE TAX REVENUE $1.2 Millions $1.0 $0.8 $0.6 $0.4 $0.2 $- Fiscal years 2012 through 2021 111 Revenue Summary Fines and Forfeitures Revenue General Fund Percent Restrictions Fiscal Year Amount C hange No restrictions on usage. Must be expended for public 2010-11 $ 214,999 purpose. 2011-12 $ 203,350 -5.4% 2012-13 $ 173,024 -14.9% 2013-14 $ 154,024 -11.0% 2014-15 $ 167,491 8.7% 2015-16 $ 185,279 10.6% 2016-17 $ 211,190 14.0% 2017-18 $ 152,161 -28.0% 2018-19 $ 120,340 -20.9% 2019-20 (est.) $ 179,000 48.7% 2020-21 (est.) $ 185,000 3.4% 2021-22 (est.) $ 189,000 2.2% 2022-23 (est.) $ 205,000 8.5% 2023-24 (est.) $ 200,000 -2.4% 2024-25 (est.) $ 200,000 0.0% -17.2% Assumptions Municipal C ourt fines come from traffic violations and other fines paid for the violation of municipal ordinances. The Town contracts with the Maricopa C ounty Sheriff's Office for traffic enforcement and has seen a slight increase in the number of citations. Major Influences: Population, Enforcement, Public Policy $250 FINES AND FORFEITURES REVENUE Thousands $200 $150 $100 $50 $- Fiscal years 2012 through 2021 112 Revenue Summary Licensing Fee Revenue General Fund Amount Percent C hange Restrictions Fiscal Year No restrictions on usage. Must be expended for public 2010-11 $ 151,637 2.0% purpose. 2011-12 $ 150,144 -1.0% 2012-13 $ 148,209 -1.3% 2013-14 $ 148,066 -0.1% 2014-15 $ 169,638 14.6% 2015-16 $ 175,120 3.2% 2016-17 $ 174,027 -0.6% 2017-18 $ 169,455 -2.6% 2018-19 $ 137,869 -18.6% 2019-20 (est.) $ 141,696 2.8% 2020-21 (est.) $ 139,760 -1.4% 2021-22 (est.) $ 139,760 0.0% 2022-23 (est.) $ 139,760 0.0% 2023-24 (est.) $ 139,760 0.0% 2024-25 (est.) $ 139,760 0.0% Assumptions License fees are derived from fees on professions, occupations, businesses operating within Town limits. The license fee is used primarily as a means of regulating businesses within the community. The estimate for FY20-21 is based on 3,035 active business licenses. Beginning in FY18-19, animal licensing was transferred to Maricopa C ounty Animal C are and C ontrol. Major Influences: Economy, Enforcement LICENSING FEE REVENUE $200 $180 $160 Thousands $140 $120 $100 $80 $60 $40 $20 $- Fiscal years 2012 through 2021 113 Revenue Summary Building Related Revenue General Fund Amount Percent C hange Restrictions Fiscal Year No restrictions on usage. Must be expended for public 2010-11 $ 253,074 7.1% purpose. 2011-12 $ 232,447 -8.2% 2012-13 $ 262,403 12.9% 2013-14 $ 396,875 51.2% 2014-15 $ 538,264 35.6% 2015-16 $ 605,966 12.6% 2016-17 $ 518,619 -14.4% 2017-18 $ 753,523 45.3% 2018-19 (est.) $ 543,700 -27.8% 2019-20 (est.) $ 566,341 4.2% 2020-21 (est.) $ 841,592 48.6% 2021-22 (est.) $ 566,341 -32.7% 2022-23 (est.) $ 566,341 0.0% 2023-24 (est.) $ 566,341 0.0% 2024-25 (est.) $ 566,341 0.0% Assumptions Revenues from this source include the fees collected from building permits, rezoning, improvement plans, encroachment and subdivision plans. The estimates for FY20-21 are based on construction activity provided by local developers and planning staff and reflect the general economy in new home construction. The projected number of permits for next fiscal year is 64 single family, 38 multi-family unit, and 2 commercial projects. Major Influences: Population, Economy, Development, Public Policy BUILDING RELATED REVENUE $900 $800 $700 Thousands $600 $500 $400 $300 $200 $100 $- Fiscal years 2012 through 2021 114 Revenue Summary Charges For Services-Recreation User Fees General Fund Amount Percent C hange Restrictions Fiscal Year No restrictions on usage. Must be expended for public 2010-11 $ 187,524 purpose. 2011-12 $ 180,223 -3.9% 2012-13 $ 152,106 -15.6% 2013-14 $ 138,089 -9.2% 2014-15 $ 156,839 13.6% 2015-16 $ 168,895 7.7% 2016-17 $ 174,638 3.4% 2017-18 $ 164,456 -5.8% 2018-19 -2.7% $ 174,886 6.3% 2019-20 (est.) $ 2020-21 (est.) $ 197,800 221,500 13.1% 12.0% 2021-22 (est.) $ 211,500 -4.5% 2022-23 (est.) $ 212,500 0.5% 2023-24 (est.) $ 212,500 0.0% 2024-25 (est.) $ 212,500 0.0% Assumptions C harges for services are collected from recreation programs for youths to seniors. Senior Services offers programs for senior citizens including home delivered meals, fitness programs, special interest classes, as well as social events. Major Influences: Population, Internal Policy on Rates $250 CHARGES FOR SERVICES - RECREATION USER FEES $225 $200 $175 Thousands $150 $125 $100 $75 $50 $25 $- Fiscal years 2012 through 2021 115 Revenue Summary Charges For Services-Rentals General Fund Amount Percent C hange Restrictions Fiscal Year No restrictions on usage. Must be expended for public 2010-11 $ 238,104 5.2% purpose. 2011-12 $ 217,987 -8.4% 2012-13 $ 226,600 4.0% 2013-14 $ 252,874 11.6% 2014-15 $ 269,774 6.7% 2015-16 $ 255,204 -5.4% 2016-17 $ 287,500 12.7% 2017-18 $ 257,368 -10.5% 2018-19 9.2% $ 281,000 2019-20 (est.) $ 284,213 1.1% 2020-21 (est.) $ 279,220 -1.8% 2021-22 (est.) $ 286,808 2.7% 2022-23 (est.) $ 290,712 1.4% 2023-24 (est.) $ 294,731 1.4% 2024-25 (est.) $ 299,082 1.5% Assumptions The C ommunity C enter provides meeting space for the Senior Services, local organizations such as the photography club, C ommunity C horus, Fountain Hills Realtors and various homeowners associations. It also serves as a venue for weddings, concerts and other gatherings. Park rentals include the Plaza and ramada rentals. Additional rental charges are collected from cellular providers for use of Town property for their towers. Major Influences: Population, Internal Policy on Rates $350 CHARGES FOR SERVICES - RENTALS $300 Thousands $250 $200 $150 $100 $50 $- Fiscal years 2012 through 2021 116 Expenditure Summary Expenditure Summary 117 Expenditure Summary Expenditures This section provides a broad overview of the expenditures included in the FY2021 budget. Information is presented for each fund and fund type. All Funds Expenditure Summary Total expenditures for all funds are $33,848,991, excluding transfers. The General Fund represents 57% of the total budgeted expenditures. Special Revenue funds, including the Streets (HURF) Fund, represent another 23%. Capital Projects funds represent 16%, Internal Service funds represent 3%, and Debt Service funds represent 1% of the expenditures. With the introduction of program budgeting, all expenditures are categorized by line item or program. A summary of all programs and proposed costs is shown on the following pages. TOWN OF FOUNTAIN HILLS EXPENDITURES BY FUND TYPE Special Revenue Funds 23% General Fund 57% Total All Funds = $33.8M 118 Capital Project Funds 16% Internal Service Funds 3% Debt Service Funds 1% Expenditure Summary FY20-21 Proposed Budget Summary of Expenditures by Fund and Program FY17-18 Actual Description FY18-19 Actual FY19-20 Revised Budget FY20-21 Proposed Budget General Fund Accounting Administration Animal Control Attorney Services Building Inspection Building Maintenance Code Compliance Community Events Customer Service Engineering Fountain Home Delivered Meals Legislation Licensing Mapping & Graphics Media Relations Open Space Operations Outside Inspections Planning & Zoning Purchasing Risk Management Special Interest Programs Sports Activities Volunteers Youth & Teen Programs Total General Fund $ Total General Fund Special Revenue Funds Administration Open Space Pavement Management Street Signs Traffic Signals Vehicle Maintenance Total Streets Fund $ $ 164,076 6,186,029 24,319 464,384 299,489 99,165 74,502 165,798 41,261 144,770 150,662 45,606 13,138 55,163 96,039 36,012 11,172 5,525,164 53,702 98,097 61,342 285,141 16,087 39,293 85,739 20,928 14,257,078 $ $ 171,417 6,788,389 302,557 334,201 107,194 79,628 175,152 44,330 161,642 121,176 50,023 5,274 58,570 102,723 35,799 12,300 5,592,859 39,394 102,683 65,335 300,238 16,092 38,611 76,382 23,314 14,805,283 $ $ $ $ 308,661 8,101,272 285,116 536,490 197,755 158,855 175,873 42,985 272,018 173,217 67,010 113,329 35,427 45,330 6,068,095 56,703 111,483 15,878 52,520 93,516 29,940 16,941,473 $ 318,407 10,084,824 293,564 355,963 175,130 163,545 189,575 44,665 279,959 175,515 85,433 116,460 147,523 58,910 6,383,509 58,834 121,088 15,878 52,520 107,044 29,940 19,258,286 14,257,078 $ 14,805,283 $ 16,941,473 $ 19,258,286 314,509 255,891 1,748,608 46,003 188,049 58,888 2,611,948 $ 432,605 279,629 3,647,363 163,443 40,929 4,563,969 $ 529,357 430,379 4,012,909 153,220 68,197 5,194,062 $ 537,228 409,323 3,950,165 156,631 67,475 5,120,822 Administration Total Downtown Strategy Fund 56,044 38,204 46,400 38,400 56,044 38,204 46,400 38,400 Administration Total Economic Development Fund 183,332 183,332 224,051 224,051 285,482 285,482 241,270 241,270 Administration 206,513 235,302 182,724 208,266 206,513 235,302 182,724 208,266 157,945 91,211 1,662,525 1,338,500 157,945 91,211 1,662,525 1,338,500 Total Tourism Fund Grants Admin Total Special Revenue Fund Art & Culture Total Public Art Fund Court Enhancement Judicial Court Enhancement Total Court Enhancement Fund $ 29,234 29,234 5,547 5,547 $ 22,791 22,791 1,690 1,690 $ 139,340 139,340 124,800 30,000 154,800 $ 144,649 144,649 24,800 24,800 119 Expenditure Summary FY20-21 Proposed Budget Summary of Expenditures by Fund and Program FY17-18 Actual Description Administration FY18-19 Actual FY19-20 Revised Budget FY20-21 Proposed Budget 530,655 501,717 735,255 666,904 530,655 501,717 735,255 666,904 Cottonwoods Maintenance District 4,696 4,530 5,101 5,131 Total Cottonwoods Maint District 4,696 4,530 5,101 5,131 Total Environmental Fund Total Special Revenue Funds Debt Service Funds Gen Oblig Bond Debt Service Eagle Mtn CFD Debt Service Munic Prop Corp Debt Service Total Debt Service Funds $ 3,785,914 $ 5,683,465 $ 8,405,689 $ 7,788,742 $ 2,121,550 407,724 377,696 $ 1,972,850 405,767 381,854 $ 1,663,800 409,192 305,870 $ 350 407,240 1,010 $ 2,906,970 $ 2,760,471 $ 2,378,862 $ 408,600 $ 2,791 1,837,137 25,482 1,135,741 224,530 - $ 2,720 2,558,246 1,120,213 568,802 2,526 - $ 116,673 300,000 485,000 1,333,378 725,000 - $ 262,535 150,000 735,000 1,708,000 2,551,695 50,000 Capital Projects Funds Administration Fire Suppression General Govt Projects Park Development Pavement Management Stormwater Management Traffic Signals Total Capital Projects Fund Fire/Emergency Dev Fee Park/Rec Dev Fee Open Space Dev Fee Total Development Fee Funds Total Capital Projects Funds $ 3,225,681 4,252,507 2,960,051 5,457,230 535 7,632 33,094 68 9,500 40,500 40,000 535 40,794 50,000 40,000 3,226,216 $ 4,293,301 $ 3,010,051 $ 5,497,230 Internal Service Funds Administration Total Facilities Replacement Fund Operational Support Total Internal Service Fund Vehicle Replacement Total Vehicle Replacement Fund Total Internal Service Funds Total Expenditures 120 163,759 437,028 819,144 819,144 163,759 437,028 819,144 819,144 61,229 - - 25,000 61,229 - - 25,000 1,008,231 176,401 931,150 51,989 1,008,231 176,401 931,150 51,989 $ 1,233,219 $ 613,429 $ 1,750,294 $ 896,133 $ 25,409,397 $ 28,155,949 $ 32,486,369 $ 33,848,991 Expenditure Summary FY20-21 Expenditures by Function General Fund Expenditures: General Government $ 5,022,091 Public Safety 9,226,799 Community Services 2,942,046 Public Works 1,120,866 Development Services 946,484 Subtotal Expenditures 19,258,286 Transfers Out 250,000 Total Expenditures $ 19,508,286 Debt Service Funds Capital Project Funds $ $ $ 408,600 408,600 408,600 262,535 775,000 4,459,695 5,497,230 229,700 $ 5,726,930 Non-Major Funds $ $ 1,928,225 144,649 6,612,001 8,684,875 1,151,540 9,836,415 Total $ 7,621,451 9,226,799 3,861,695 12,192,562 946,484 33,848,991 1,631,240 $ 35,480,231 % of Total 20% 26% 11% 34% 3% 94% 5% 99% Note: See page 42 for a listing of the funds included in each column. 121 Expenditure Summary FY20-21 General Fund Expenditures by Department and Division Department Division Proposed Budget Mayor & Council Mayor & Council Administration Town Manager Town Clerk Administrative Services Purchasing Finance Information Technology Legal Services Total Administration 433,426 246,680 259,245 98,637 687,402 320,709 293,564 2,339,663 General Government Non-Departmental 2,204,942 Municipal Court Municipal Court Public Works Public Works Engineering Facilities Total Public Works Development Services Development Services Planning & Zoning Code Compliance Mapping & Graphics Building Safety Total Development Services Community Services Community Services Recreation Community Center Senior Services Parks-Town Hall Parks-Fountain Park Parks-Golden Eagle Park Parks-Four Peaks Park Parks-Desert Vista Park Parks-Open Space/Trails Parks-Avenue of the Fountains Plaza Total Community Services 340,968 658,514 314,486 236,629 103,761 584,356 290,908 134,407 92,398 58,910 126,709 2,942,046 Law Enforcement Law Enforcement 5,029,469 Fire & Emergency Medical Fire & Emergency Medical 4,197,330 Total General Fund Expenditures 122 $ 74,882 402,604 143,543 279,959 697,364 1,120,866 189,428 121,088 163,545 116,460 355,963 946,484 $ 19,258,286 Expenditure Summary Expenditure Limitation Each year, the Economic Estimates Commission of the State of Arizona develops expenditure limits for local governments in Arizona based on a formula using 1979-80 expenses adjusted for inflation and population growth. Cities and towns are required to stay within the limits or incur a penalty (reduction in State-shared revenues). The FY20-21 expenditure limitation for the Town of Fountain Hills is $30,646,564 which is a 2.7% increase from the previous year. The limit applies to FY20-21 expenditures of the Town (all funds) but allows for certain exemptions and deductions. For example, bond proceeds, debt service payments, grant expenditures, and HURF are not included when determining compliance with the expenditure limitation. However, development fee and capital project expenditures are subject to the limitation. The table below is an estimate of the Town’s expenditure limitation, deductions and exclusions and final spending authority. EXPENDITURE LIMITATION ANALYSIS (Estimated) Total Expenditures $ 33,848,991 Exclusions (Subtractions) from Revenues: Separate Legal Entitites Required fees paid to the Arizona Department of Revenue Debt Service Payments Dividends, Interest, Gains Grants, Aid, Contributions from Federal Government Grants, Aid, Contributions from Private Organizations Amounts Received from State Quasi-External interfund Transactions Savings Reserved for Capital Purchase (voter approved) Highway User Revenues Excess 1979-80 Contracts with Other Political Subdivisions Refunds, Reimbursements Voter Approved Exclusions Prior Years Carry Forward Total Exclusions 413,381 65,000 350 165,517 2,893,126 37,545 1,376,300 3,679,695 1,260 8,632,174 Expenditures subject to limitation 25,216,817 Expenditure Limitation 30,646,564 Under/(Over) Limitation $ 5,429,747 123 Budget Process & Schedule Budget Process & Schedule 124 Budget Process Planning Process A number of planning processes are in place to guide the Town’s decision making. Many of these processes allow for direct citizen input through public hearings, community meetings or participation in Council-appointed committees. The Town’s planning processes include: Planning Process Town Vision, Mission, Goals and Values General Plan Capital Improvement Program Fiscal Policy Guidelines Annual Budget Process Five Year Financial Plan Description Sets the overall tone of the organization and guides employees in managing the daily operations of the Town. A guide designed to encourage the most appropriate use of land and resources within the Town consistent with the interest of the citizens. The General Plan sets forth goals, objectives, policies and implementation techniques that will guide the development activity within the Town and promote, preserve and protect the health, safety, and general welfare of its citizens. A five-year guide to assist in long range planning for the Town’s capital needs. Details of the adopted Capital Improvement Plan are found beginning on page 347. Policies guiding the financial management of the Town of Fountain Hills are approved by the Town Council to ensure a fiscally sound government. The adoption of and compliance with these policies is an important factor in Rating Agency reviews. A summary of the Town’s policies can be found beginning on page 52. Town staff develops a recommended budget. Many of the decisions included in that recommendation are driven by processes noted above. A summary of the Town’s budget process can be found on the following pages. A five-year financial forecast is developed annually as a tool to anticipate potential budget imbalances. The current plan can be found on page 16. 125 Budget Process Mission of the Budget Process Communication and involvement with citizens and other stakeholders is stressed. The broad nature of the budget mission allows issues to be addressed that have limited the success of budgeting in the past. Apathy is a serious illness of government; it is in the best interests of government to have involved stakeholders. The term stakeholder refers to anyone affected by or who has a stake in government. This term stakeholder includes, but is not limited to, citizens, customers, elected officials, management, employees and their representatives, businesses, vendors, other governments, and the media. It is vital that the budget processes include diverse stakeholders. Each year, the Town of Fountain Hills budget is developed from the Town Council’s priorities by the Finance Division with the individual Departments and the Town Manager. Meetings with each Department, the Town Manager and the Finance Division are held during the months of February/March. After these meetings are completed, a proposed Town-wide balanced budget is prepared for submittal to the full Town Council and public in April/May. Recommended Budget Practices The Town of Fountain Hills budget process is designed to meet citizens’ needs for information and input; decision makers’ needs for information and advice from citizens on their desired blend of services; and the time line set by the State of Arizona through the Arizona Budget Law. The Town of Fountain Hills budget process incorporates the recommended practices promulgated by the National Advisory Council on State and Local Budgeting (NACSLB) and the Government Finance Officers Association (GFOA). Concurrently, Town staff apply diligent effort into improving the processes, decisions and outcomes with each new budget year. The NACSLB’s practices encourage governments to consider the long-term consequences of actions to ensure that impacts of budget decisions are understood over a multi-year planning horizon and to assess whether program and service levels can be sustained. Budget Definition All cities and towns in Arizona are required to adopt an annual budget. State law dictates that fiscal years begin on July 1 and end on June 30. Certain parts of the budget document, such as summaries of revenues and expenditures showing two years of spending history, are required by State law. A good budget process is characterized by several essential features:      126 Incorporates a long-term perspective Establishes linkages to broad goals Focuses budget decisions on results and outcomes Involves and promotes effective communication with stakeholders Provides incentives to government management and employees Budget Process These key characteristics of good budgeting make clear that the budget process is not simply an exercise in balancing revenues and expenditures one year at a time, but is strategic in nature, encompassing a multi-year financial and operating plan that allocates resources on the basis of identified goals. A good budget process moves beyond the traditional concept of line-item expenditure control, providing incentives and flexibility to managers that can lead to improved program efficiency and effectiveness. Principles and Elements of the Budget Process The budget process consists of four broad principles that stem from the definition and mission previously described. These principles are as follows: 1. A government should have broad goals that provide overall direction for the government and serve as a basis for decision making. 2. A government should have specific policies, plans, programs and managreement strategies to define how it will achieve its long-term goals. 3. A financial plan and budget that moves toward Town achievement of goals, within the constraints of available resources, should be prepared and adopted. 4. Program and financial performance should be continually evaluated, and adjustments made, to encourage progress toward achieving goals. These principles encompass many functions that spread across a governmental organization. They reflect the fact that development of a balanced budget is a political and managerial process that also has financial and technical dimensions. Each of the principles of the budget process incorporates components or elements that represent achievable results. These elements help translate the guiding principles into action components. Individual budgetary practices are derived from these elements. The principles and elements provide a structure to categorize budgetary practices. The Town of Fountain Hills has broad goals that provide overall direction for the government and serves as a basis for decision-making.             Assess community needs, priorities, challenges and opportunities Identify opportunities and challenges for governmental services, capital assets, and management Develop and disseminate broad goals Develop approaches to achieve goals – a government should have specific policies, plans, programs, and management strategies to define how it will achieve its long-term goals Adopt financial policies Develop programmatic, operating, and capital policies and plans Develop programs and services that are consistent with policies and plans Develop management strategies Develop a budget consistent with approaches to achieve goals – a financial plan and budget that moves toward achievement of goals, within the constraints of available resources, should be prepared and adopted Develop a process for preparing and adopting a budget Develop and evaluate financial options Make choices necessary to adopt a budget 127 Budget Process    Evaluate performance and make adjustments – program and financial performance should be continually evaluated, and adjustments made, to encourage progress toward achieving goals Monitor, measure, and evaluate performance Make adjustments as needed When does the “budget season” start? The budget process typically begins in December or January when the Finance Division begins to review current levels of service, Council goals and objectives as identified at the annual Council retreat, proposed capital improvements, and financial forecasts. In reality, the budget process for the Town is actually an ongoing process. Throughout the fiscal year, citizens and staff submit suggestions for new services, regulations, funding sources, and improved service delivery, as well as concerns to the Town Council and Commissions for discussion, study, and/or implementation. Commissions develop plans for new or enhanced programs to be included in the following year’s budget proposal. Implementing, Monitoring, and Amending the Budget A budget is an annual planning tool — it identifies the Town’s work plan and matches the financial, material, and human resources available with the requirements to complete the work plan. The budget includes information about the organization and identifies the Council policy that directed the budget preparation. Although a budget is often discussed as a financial document, the financial portion means very little without the policy and administrative information that explains what the organization intends to do with the financial resources. In July, the Town staff begins the process of implementing the newly adopted budget and is accountable for budgetary control throughout the fiscal year. Revenue and expenditure patterns are examined, compared to budget plans, and corrective action, if necessary, is taken during the fiscal year. Town management has access to a monthly budget and activity report; the Town Council is provided a summary budget report at the end of each quarter disclosing actual revenue, expenditure, and fund balance performance as compared to the budget. The Town of Fountain Hills budget is adopted at a Department level and the Capital Improvement Program is adopted at a project level. Control of each legally adopted annual budget is at the Department level; the Town Manager may, at any time, transfer any unencumbered appropriation balance or portion thereof between general classifications of expenditure (line items) within a Department. The items are reduced by a like amount. At the request of the Town Manager, the Council may transfer any unencumbered appropriation balance or portion thereof between one Department to another. Pursuant to Arizona Revised Statutes, “No expenditure shall be made for a purpose not included in such budget...”. Thus, a contingency line item is included within the General Fund to accommodate most unplanned expenditures. The other option in amending the budget, according to State law, is for the Council to declare an emergency and then transfer the monies from one line item or Department to another. In essence, any approved Council transfers do amend the budget although the budget is never reprinted. 128 Budget Process What funds are included in this budget? The accounts of the Town are organized on the basis of funds, each of which is considered a separate accounting entity. Government resources are allocated to and accounted for in individual funds based on the purposes for which they are to be spent and the means by which spending activities are controlled. The Town of Fountain Hills appropriates all funds in its budget process:  General Fund – revenues and expenditures to carry out basic governmental activities such as police and fire, recreation, planning, legal services, administrative services, etc. (unrestricted).  Special Revenue Funds – revenues derived from specific taxes or other earmarked revenue sources, usually required by statute or ordinance to finance particular activities. Streets (HURF) Fund, grants, and the Excise Tax Funds are examples of special revenue funds.  Debt Service Funds – established to account for the accumulation of resources for, and the payment of, general long-term debt principal and interest. Municipal Property Corporation (MPC) and Community Facilities District (CFD) funds are included within the debt service funds.  Capital Projects Funds – to account for the purchase or construction of major capital facilities, heavy equipment, park improvements and major road improvements. The Capital Projects Fund revenues are derived from excess General Fund revenues and 50% of the construction related local sales tax. These funds also include the Facilities Replacement Fund and the Development Fee Funds. When can a citizen have input into the budget process? Town staff welcomes comments and suggestions throughout the year. The first opportunity for the Town Council to contribute to the budget is during the annual goal setting retreat which is typically held around the beginning of the calendar year. The proposed budget is presented to the public and Town Council in April/ May at which time a public hearing is held to receive input. This hearing is the opportunity to increase the budget for the next fiscal year before the maximum spending amount is established. Once the maximum spending amount is adopted as the tentative budget, line items can only be exchanged or decreased prior to the budget’s final adoption. 129 Budget Schedule Budget Schedule FY20-21 Wed, November 13, 2019 Staff budget “kick-off” meeting in the Council Chambers Thu, November 21, 2019 CIP & Facilities Replacement Fund meeting Thu, December 12, 2019 DEADLINE for preliminary operating budgets entered into MUNIS. Staffing requirements and budget supplements due to Finance. CIP project requests and funding sources due to Finance. Revenue projections from individual departments due to Finance. New or updated existing fees on Fee Schedule due to Finance 5 year Revenue Forecast due to Town Manager from Finance Final reconciliation of revenues vs. expenditures (Finance staff) Mon, January 13, 2020 Tue - Thu, January 21 - 23, 2020 Departmental presentations for Town Manager Tue, January 28, 2020 Mayor’s State of the Town Address Tue, February 25, 2020 Council Retreat Session - Priorities for FY20-21 with Council receiving preliminary CIP Budget & Strategic Plan Review Wed, February 26, 2020 Staff meeting to debrief Council Retreat Department/Division templates due to Finance Mon, March 2, 2020 Final operating budgets entered into MUNIS based on proposed changes from Retreat Staff to review proposed budget dates with Town Attorney for statute compliance Council Special Session @ 5:30 PM – Consideration of CIP projects Wed, March 4, 2020 Tue, March 24, 2020 Thu, April 3, 2020 A.R.S. §9-499.15(B)(1)-(3): Deadline to publish the proposed fee and tax levy notice on the Town’s website (including written report/data supporting any increases or new fees) for legal compliance at least 60 days prior to date will be approved by the Council. Council receives proposed budget, posted online Budget Schedules prepared for Legal Mon, April 13, 2020 Final revenue projections entered into MUNIS Public Outreach/Open House (5:30 – 6:30 PM) Tue, April 14, 2020 Council Budget Workshop - Special Session @ 5:00 PM Tue, May 5, 2020 Town, CMD & EMCFD Meetings - Adoption of Tentative Budgets with notice of hearing dates; notices sent to Cottonwood Homeowners the next day - CMD requires 20 days between the date of the published notice and the final budget hearing, which (due to advertising date limitations creates a 29-day window between the tentative budget adoption and the final budget adoption; EMCFD requires 10 days between the date of the published notice and the final budget hearing, which would allow the EMCFD budget to be adopted with a 21-day gap between the tentative budget adoption and the final; however, it is aligned with the CMD to avoid confusion Wednesdays, May 13 & 20, 2020 Publish Notice of time & place of budget hearings, where budgets are available (Town Hall & Library), and Tentative Budget(s) in the Times legal section for 2 consecutive weeks; place on Town website & at Library the next day after adoption [A.R.S. §42-17103] Mon, May 18, 2020 A.R.S. §9-499.15(B)(4): Deadline to post [on all Town social media sites] the “Notice of Intent” - for legal compliance at least 15 days prior to date will be approved by Council. Tue, June 2, 2020 Town, CMD & EMCFD Meetings – Public Hearing held in Regular Session (required to be held on or before the 14th day before the day on which it levies taxes); Council convenes in Special Session & adopts Town’s Final Budget (A.R.S. §42-17104) and reconvenes the Regular Session [14 days - June 16, 2020] Tue, June 16, 2020 CMD & EMCFD Meetings - Adoption of Tax Levy occurs on or before the 3rd Monday in August [A.R.S. §42-17151]; Forward certified copy of approved tax levy ordinance(s) to County Board of Supervisors the next business day Tue, June 23, 2020 Post Final Budget(s) on website within 7 days of adoption [A.R.S. §4217105 - for 60 months] July through August 23, 2020 Tue, August 24, 2020 Council Summer Hiatus 1st meeting of the new fiscal year 130 General Fund GENERAL FUND MAYOR & TOWN COUNCIL ADMINISTRATION GENERAL GOVERNMENT MUNICIPAL COURT PUBLIC WORKS DEVELOPMENT SERVICES COMMUNITY SERVICES LAW ENFORCEMENT FIRE & EMERGENCY MEDICAL 131 General Fund Organization Chart Department Directors 132 Town Manager Grady Miller Deputy Town Manager David Trimble Community Services Director Rachel Goodwin Development Services Director John Wesley District Commander Captain Larry Kratzer Economic Development Director James Smith Finance Director David Pock Fire Chief Chief Dave Ott Presiding Judge Robert Melton Public Works Director Justin Weldy Town Attorney Aaron Arnson Town Clerk Elizabeth Burke Town Prosecutor Mark Iacovino General Fund Mayor & Town Council Mayor & Town Council FRONT ROW: Councilmember Dennis Brown, Mayor Ginny Dickey, Councilmember Alan Magazine BACK ROW: Councilmember Art Tolis, Councilmember Sherry Leckrone, Councilmember Mike Scharnow, Councilmember David Spelich 133 General Fund Mayor & Town Council MAYOR & TOWN COUNCIL Mission Statement The Mayor & Town Council are charged with serving the best interests of the community by providing for its safety and well-being; respecting its special, smalltown character and quality of life; providing superior public services; sustaining the public trust through open and responsive government; and maintaining the stewardship and preservation of its financial and natural resources. Department Overview The Town Council is comprised of the Mayor and six Councilmembers, all of whom are elected at large to serve the citizens of the Town of Fountain Hills. The term of office for the Mayor is two years, and Councilmembers serve overlapping terms of four years. The corporate powers of the Town are vested in the Council and are exercised only as directed or authorized by law via ordinance, resolution, order or motion. The Council appropriates funds and provides policy direction to Town staff. The Council appoints a Town Manager, who is responsible for the day-to-day administration of the Town. The Council also appoints the Presiding Judge, Town Attorney, and Town Prosecutor. Expenditures by Program FY17-18 Actual Program Name Administration Total $ $ FY17-18 Actual Category Wages Employment Taxes Benefits Dues & Memberships Meetings and Training Maintenance and Repair Contractual Services Supplies Internal Service Total 134 77,779 77,779 $ $ 55,408 3,283 5,559 685 10,890 1,253 701 77,779 FY18-19 Actual FY19-20 Revised Budget $ 98,544 $ 98,544 FY20-21 Proposed Budget $ 74,882 $ 74,882 Expenditures by Category FY18-19 FY19-20 Actual Revised Budget $ 64,041 $ 58,822 3,409 3,325 6,553 6,282 66 2,497 16,665 104 3,534 10,240 1,525 3,110 108 100 $ 81,837 $ 98,544 FY20-21 Proposed Budget $ 36,000 3,398 15,575 10,240 3,150 6,519 $ 74,882 $ $ 81,837 81,837 General Fund Mayor & Town Council Use of Funds - Mayor & Town Council - By Category Where does the money go? Employment Taxes 5% Meetings and Training 21% Wages 47% Contractual Services 14% Supplies 4% Internal Service 9% Total Proposed Budget = $74,882 Town Council has accepted the Strategic Planning Advisory Committee’s highest goals, objectives and tasks as follows:      Rezone unplatted land for greater density and affordable family homes Develop and implement an investment plan to bring streets, buildings and parks up to established standards Adequately fund all identified reserve funds Identify revenue options Increase revenues to meet community needs including addressing projected operating shortfall Operating Results FY17-18 Actual Program Name Total Revenues Total Expenses Total $ $ 77,779 (77,779) FY18-19 Actual $ $ 81,837 (81,837) FY19-20 Revised Budget $ $ 98,544 (98,544) FY20-21 Proposed Budget $ $ 74,882 (74,882) 135 General Fund Mayor & Town Council The 2017 Fountain Hills Strategic Plan contains a number of actions and performance measures tied to the following strategic priorities: 136  Goal #1: Maximize Economic Development Opportunities in Fountain Hills  Goal #2: Ensure that Infrastructure in Fountain Hills is WellMaintained and Safe  Goal #3: Attract Families and Working Professionals to Fountain Hills  Goal #4: Ensure that Fountain Hills Finances are Stable and Sustain able  Goal #5: Focus on Strengthening the Community and Improving the Town’s Quality of Life General Fund Mayor & Town Council FY20-21 Proposed Budget Summary of Expenditures Mayor & Council Description General Fund Salaries-Full Time Salaries-Part Time FICA Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Allowance/Stipend Dues, Subscript & Publicat Meetings & Training Boards & Commission Sign Repair & Replacement Legal Fees Printing Expense Office Supplies Operating Supplies Food & Beverage Supplies Program Materials Uniforms Postage & Delivery ISF-Copier Charges ISF-Mail Service Charges ISF- Technology Replacement ISF-Telecom Charges Total Mayor & Council FY17-18 Actual $ 19,408 36,000 2,207 781 86 209 3,008 215 43 76 2,179 20 18 685 10,890 114 242 897 97 6 FY18-19 Actual $ 598 $ 77,779 26,640 37,400 2,244 919 116 130 3,007 218 43 94 3,062 24 105 66 2,497 104 3,264 270 1,005 74 290 152 5 108 - FY19-20 Revised Budget FY20-21 Proposed Budget $ 22,822 36,000 2,232 853 105 135 3,040 232 46 96 2,511 25 17 315 15,575 1,090 10,000 240 600 1,200 900 400 10 100 - $ 36,000 2,232 522 89 555 15,575 10,000 240 600 1,200 900 400 50 100 6,419 - $ 98,544 $ 74,882 $ 81,837 137 General Fund Administration Department Administration Note: Numbers in parentheses represent full-time equivalents (FTE). 138 General Fund Administration Department ADMINISTRATION Mission Statement The Administration Department is dedicated to serving the citizens of Fountain Hills by providing administrative direction and support to the Town’s Departments. Administration provides accurate and current information on Council legislation and administrative actions; provides for the delivery of comprehensive financial services to internal and external customers; provides support to Town staff; reaches out to political leaders and geographical neighbors to continue to grow relationships in the best interests of the Town; and enhances the Town’s economic base through business attraction, retention and business vitality activities. Department Overview The Administration Department is made up of seven (7) Divisions: Town Manager, Information Technology, Town Clerk, Administrative Services, Finance, Legal Services, Purchasing, and one service function: Media Relations. The Town Manager provides direct supervision over the Town Clerk, Administrative Services, Finance, and Media Relations. The Town Manager also administers the budget for Legal Services. The Finance Director is responsible for Finance staff, and the Administrative Services Director is responsible for Human Resources, Information Technology, Risk Management and Purchasing. Division Town Manager Information Technology Town Clerk Administrative Services Finance Legal Services Purchasing Total FY17-18 Actual $ 348,446 285,227 217,660 416,010 558,338 464,384 $ 2,290,065 Expenditures by Division FY18-19 FY19-20 Actual Revised Budget $ 360,250 $ 292,864 295,718 315,657 172,395 237,712 463,100 221,415 562,926 619,240 302,557 285,116 85,194 $ 2,156,946 $ 2,057,198 FY20-21 Proposed Budget $ 433,426 320,709 246,680 259,245 687,402 293,564 98,637 $ 2,339,663 Variance Explanations: Town Manager: The increase is caused by the reallocation of wages for the Executive Assistant to Town Manager and the Mayor and Council and the reclassification of the Community Relations Manager. Town Clerk: The increase is due to added election costs and the reallocation of wages for the Account Clerk. 139 General Fund Administration Department Use of Funds - Administration - By Division Where does the money go? Finance 28% Administrative Services 11% Purchasing 4% Legal Services 13% Town Manager 19% Information Technology 14% Town Clerk 11% Total Proposed Budget = $2,339,663 Expenditures by Program FY17-18 Actual Program Name Accounting Administration Attorney Services Customer Service Legislation Licensing Media Relations Operations Purchasing Risk Management Volunteers Total $ 164,076 897,836 464,384 41,261 13,138 55,163 36,012 185,972 61,343 285,141 85,739 $ 2,290,065 FY18-19 Actual $ 171,416 903,408 302,557 44,330 5,275 58,570 35,799 193,636 65,335 300,238 76,382 $ 2,156,946 FY19-20 Revised Budget $ 308,661 1,162,887 285,116 42,985 35,427 207,396 14,726 $ 2,057,198 Variance Explanations: Volunteers: This program was moved to Community Services. 140 FY20-21 Proposed Budget $ 318,407 1,325,551 293,564 44,665 147,523 209,953 $ 2,339,663 General Fund Administration Department Use of Funds - Administration - By Program Where does the money go? Attorney Services 13% Administration 56% Operations 9% Customer Service 2% Media Relations 6% Accounting 14% Total Proposed Budget = $2,339,663 Expenditures by Category FY17-18 Actual Category Wages Employment Taxes Benefits Dues & Memberships Meetings and Training Maintenance and Repair Utilities Contractual Services Supplies Equipment Internal Service Total $ 814,548 18,061 167,489 136,576 20,564 4,035 1,280 1,005,861 31,205 71,419 19,027 $ 2,290,065 FY18-19 Actual $ 890,915 19,299 180,379 152,592 45,969 3,968 12,770 796,335 25,335 24,029 5,355 $ 2,156,946 FY19-20 Revised Budget $ 952,743 21,506 199,879 161,033 55,782 11,000 13,700 596,737 25,575 13,800 5,443 $ 2,057,198 FY20-21 Proposed Budget $ 1,087,807 26,136 234,916 165,921 57,826 8,600 12,800 682,102 27,766 17,050 18,739 $ 2,339,663 Variance Explanations: Contractual Services: The increase is from the addition of possible Bond Advisory services, election(s), a public safety study and increased legal fees. Internal Service: The increase is from the newly created Information Technology Replacement fund. 141 General Fund Administration Department Equipment 1% Use of Funds - Administration - By Category Where does the money go? Wages 48% Supplies 1% Contractual Services 29% Benefits 10% Utilities 1% Total Proposed Budget = $2,339,663 FY17-18 Actual Program Name Total Revenues Total Expenses Total 142 $ 14,533,391 2,290,065 $ 12,243,326 Employment Taxes 1% Dues & Memberships 7% Meetings and Training 2% Operating Results FY18-19 FY19-20 Actual Revised Budget $ 15,520,408 $ 15,782,743 2,156,946 2,057,198 $ 13,363,462 $ 13,725,545 FY20-21 Proposed Budget $ 17,722,982 2,339,663 $ 15,383,319 General Fund Administration Department FY 2019-20 Accomplishments  In order to address future revenue shortfalls and to be able to fund town operations, sought and received Council approval of a three-tenths of a percent sales tax increase  Successfully completed a major update to the audio-visual equipment in the Council Chambers that resulted in improved quality of presentations for public meetings, better audio and graphics for TV/streamed meeting broadcasts, and significant reduction in staff time required to post Council meetings on YouTube  Implemented Agenda Quick, a Council agenda management system that streamlines the workflow of the Town Council agenda process and minimizes staff report errors  Received Council approval for a Ten-Year Pavement Management Program which will help identifying funding and prioritizing street maintenance in a more strategic manner  Sought and received Town Council adoption of a major update to the Town’s Development Fee Schedule which will help fund future streets, parks, and fire infrastructure  Implemented a number of traffic and pedestrian improvement projects to improve traffic and pedestrian safety in Fountain Hills – additional sidewalks, LED stop signs, rumble strips, narrower lanes on Ave. of the Fountains, and received MAG grants for future projects FY 2020-21 Goals and Objectives  Oversee and manage the Town of Fountain Hills’ COVID-19 response and recovery actions  Seek and receive 2020 CARES ACT funding and reimbursement for Covid-19 related expenditures  Implement a $300,000 Small Business Assistance Grant Program to financially help businesses negatively impacted by the economic downturn caused by the pandemic  Due to economic downturn, monitor town revenues and recommend actions to ensure expenditures are in alignment with revenues  Seek Council adoption of an ordinance adopting comprehensive user fee schedule based on the 2020 Cost of Service Study  Oversee and ensure major capital improvement projects (Roundabout, Panorama Drainage, FH Shoulder Widening, etc.) are completed on time and on budget  Assist the Strategic Planning Advisory Council in developing the 2020 Strategic Plan 143 General Fund Administration Department FY20-21 Proposed Budget Summary of Expenditures Administration Department FY17-18 Actual Description General Fund Salaries-Full Time Salaries-Part Time Overtime FICA Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Allowance/Stipend Licenses/Filing Fees Dues, Subscript & Publicat Education/Tuition Reimb Meetings & Training Boards & Commissions Equipment Maint/Repair Office Equip Maint/ Repair Sign Repair & Replacement Telecommunications Auditing Expense Professional Fees Legal Fees Management Fees Insurance Expense Rentals & Leases Printing Expense Advertising/Signage Intergovt Agreements Contractual Services Constituent Communication Bank/Merc Acct Fees Election Expense Community Contracts/Events Prosecutor Fees Public Defender Fees Office Supplies Cleaning/Janitorial Supplies Operating Supplies Food & Beverage Supplies Program Materials Uniforms Postage & Delivery Miscellaneous Expense 144 $ 737,079 77,277 193 4,855 11,637 1,237 332 63,680 4,955 797 2,671 81,813 727 666 12,180 89,028 47,548 20,378 185 1,403 2,632 1,280 74,970 67,674 351,031 14,754 247,437 1,214 20,562 4,685 50,606 1,858 5,628 3,609 53,333 105,000 3,500 2,475 39 4,976 10,699 12,108 511 397 FY18-19 Actual $ 821,275 69,012 630 4,340 12,891 1,650 418 64,847 5,379 859 3,206 91,071 825 811 13,380 82,638 69,954 7,635 38,149 185 1,746 2,139 83 12,770 76,981 38,419 178,119 12,209 264,631 1,163 3,349 5,268 59,971 3,595 22,369 2,307 8,388 3,356 110,316 5,894 1,524 86 1,078 10,991 5,367 470 5,805 13 FY19-20 Revised Budget FY20-21 Proposed Budget $ $ 863,219 89,524 5,508 13,922 1,730 346 78,292 6,490 994 3,640 94,315 965 693 14,490 99,445 61,588 15,179 40,603 5,000 6,000 13,700 68,740 63,384 167,000 13,025 4,000 1,224 7,415 9,810 66,000 4,000 19,423 3,600 50,000 110,316 8,800 6,295 10 3,225 5,641 4,950 5,454 - 993,145 94,662 5,825 15,979 2,698 1,634 91,846 7,050 1,140 10,531 108,970 1,129 750 13,500 103,685 62,236 15,179 42,647 5,000 3,600 12,800 70,615 122,184 169,800 13,025 4,000 1,224 2,540 9,810 66,500 4,000 29,800 3,840 60,000 119,964 4,800 5,970 10 5,850 5,641 4,950 5,345 - General Fund Administration Department FY20-21 Proposed Budget Summary of Expenditures Administration Department FY17-18 Actual Description General Fund-continued Software Hardware/Peripherals Equipment ISF-Copier Charges ISF-Mail Service Charges ISF-Vehicle Replacement Charge ISF-Motor Pool Charges ISF- Technology Replacement ISF-Telecom Charges Total Administration $ 37,845 29,121 4,453 4,947 6,098 828 817 FY18-19 Actual $ 6,337 $ 2,290,065 4,376 19,653 3,684 1,353 318 FY19-20 Revised Budget FY20-21 Proposed Budget $ 550 13,250 3,070 1,808 565 - $ 5,550 11,500 3,010 1,840 1,966 11,923 - $ 2,057,198 $ 2,339,663 $ 2,156,946 145 General Fund Administration Department Town Manager Division Town Manager Division Service Delivery Plan Provide leadership to ensure a high quality of life for the citizens of Fountain Hills by utilizing Town resources to the greatest extent possible and offering superior service. Work in conjunction with the Town Council and the Strategic Planning Advisory Commission (SPAC) for successful implementation of Operational Priorities and Strategic Plan Goals. Per direction and approval of the Town Council, administer fee for service contracts and communicate with the public. FY17-18 Actual Program Name Administration Media Relations Total $ $ 226,695 36,012 262,707 Expenditures by Program FY18-19 FY19-20 Actual Revised Budget $ 248,069 $ 242,711 35,799 35,427 $ 283,868 $ 278,138 FY20-21 Proposed Budget $ 285,903 147,523 $ 433,426 Variance Explanations: Administration: The increase is caused by the reallocation of wages for the Executive Assistant to Town Manager and the Mayor and Council. Media Relations: The increase is due to the reclassification of the Communications and Marketing Coordinator to a Community Relations Manager. Use of Funds - Town Manager - By Program Where does the money go? Administration 66% Total Proposed Budget = $433,426 146 Media Relations 34% General Fund Administration Department Town Manager Division Expenditures by Category FY17-18 Actual Category Wages Employment Taxes Benefits Dues & Memberships Meetings and Training Maintenance & Repair Utilities Contractual Services Supplies Equipment Internal Service Total $ $ 183,775 3,156 43,599 1,934 3,389 25,036 1,140 11 667 262,707 FY18-19 Actual $ $ 204,484 3,567 47,153 3,937 2,565 13 20,719 1,009 236 185 283,868 FY19-20 Revised Budget $ 202,610 3,365 39,771 2,462 7,615 19,681 2,411 223 $ 278,138 FY20-21 Proposed Budget $ 303,425 5,623 76,515 3,909 7,615 30,880 2,410 3,049 $ 433,426 Variance Explanations: Wages/Benefits: The increase is caused by the reallocation of wages for the Executive Assistant to Town Manager and the Mayor and Council and the reclassification of the Communications and Marketing Coordinator to a Community Relations Manager. Contractual Services: Amounts were increased for the Fountain First publication. Use of Funds - Town Manager - By Category Where does the money go? Employment Taxes 1% Wages 71% Benefits 18% Internal Service 1% Total Proposed Budget = $433,426 Contractual Services 7% Meetings and Training 2% 147 General Fund Administration Department Town Manager Division Activities/Results COMMUNITY RELATIONS The mission of the Community Relations Office is to accurately communicate news and information to Fountain Hills' customers, citizens, news media, elected officials, and employees via internal and external communication sources. The Office also creates and distributes the Town’s quarterly informational newsletter, Fountain Hills Insider, which is sent out to all Fountain Hills’ residential addresses. This publication reaches approximately 13,127 places of residence. The Fountain Hills Insider publication boasts a wealth of information pertaining particularly to residents including but not limited to information regarding street maintenance work, tax and fee information, Town aid programs and the special events calendar. In addition to this publication the Community Relations Office also manages the Town’s six social media pages, municipal website information releases and news releases. 148 General Fund Administration Department Town Manager Division FY20-21 Proposed Budget Summary of Expenditures Town Manager Description General Fund Salaries-Full Time Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Allowance/Stipend Dues, Subscript & Publicat Meetings & Training Boards & Commissions Telecommunications Professional Fees Printing Expense Advertising/Signage Constituent Communication Office Supplies Food & Beverage Supplies Program Materials Postage & Delivery Software Hardware/Peripherals ISF-Copier Charges ISF-Mail Service Charges ISF-Vehicle Replacement Charges ISF-Motor Pool Charges ISF- Technology Replacement ISF-Telecom Charges Total Town Manager FY17-18 Actual FY18-19 Actual FY19-20 Revised Budget FY20-21 Proposed Budget $ 183,775 2,804 307 45 12,792 485 95 679 20,984 189 94 8,280 1,934 3,204 185 2,410 19,473 3,153 295 697 96 52 11 111 18 179 360 $ 204,484 3,136 389 43 12,915 490 95 722 23,252 202 296 9,180 3,937 2,380 185 13 70 20,649 85 800 118 6 236 74 111 - $ 202,610 2,955 363 46 6,817 523 102 858 22,287 226 93 8,865 2,462 7,615 80 1,000 18,601 1,650 200 500 61 116 82 26 - $ 303,425 4,546 750 327 27,561 1,674 288 3,220 33,377 345 150 9,900 3,909 7,615 80 1,000 29,800 1,650 200 500 60 115 87 96 2,751 - $ 262,707 $ 283,868 $ 278,138 $ 433,426 149 General Fund Administration Department Town Clerk Division Town Clerk Division Service Delivery Plan The Town Clerk Division supports the values of the community and the organization through the delivery of quality customer service; conducting fair and open municipal elections; providing broad organizational support; managing the Town’s records management program and accessibility to public records; overseeing boards and commissions administration; and ensuring that official postings, notices and related publications meet legal compliance. FY17-18 Actual Program Name Administration Legislation Total $ $ FY17-18 Actual Category Wages Employment Taxes Benefits Dues & Memberships Meetings and Training Contractual Services Supplies Equipment Internal Service Total 150 204,522 13,138 217,660 $ $ 125,270 1,887 21,143 380 50 66,503 423 2,004 217,660 Expenditures by Program FY18-19 FY19-20 Actual Revised Budget $ 167,121 $ 237,712 5,274 $ 172,395 $ 237,712 FY20-21 Proposed Budget $ 246,680 $ 246,680 Expenditures by Category FY18-19 FY19-20 Actual Revised Budget $ 119,280 $ 140,584 2,223 3,506 20,392 21,460 8,446 6,720 2,769 4,824 16,933 59,080 151 695 1,474 50 727 793 $ 172,395 $ 237,712 FY20-21 Proposed Budget $ 136,793 3,317 22,883 6,950 4,824 69,080 695 50 2,088 $ 246,680 General Fund Administration Department Town Clerk Division Use of Funds -Town Clerk - By Category Where does the money go? Employment Taxes 1% Benefits 9% Wages 55% Dues & Memberships 3% Meetings and Training 2% Contractual Services 29% Internal Service 1% Total Proposed Budget = $246,680 Activities/Results Performance Measures FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target 17,168 N/A N/A N/A 16,775 N/A 17,300 N/A N/A N/A 17,400 17,500 59% N/A N/A N/A 51% N/A 60% 50% N/A FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Percentage of contracts processed within five business days after approval 100% 98% 100% 100% Percentage of agenda and meeting notices posted in compliance with legal requirements 100% 100% 100% 100% FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Town Council Agenda/Meeting notices posted 36/28 52/36 61/41 60/50 Requests for Public Information processed 205 202 200 175 Registered Voters: Special Primary General (05/15/18 and 05/19/20) (08/28/18 and 08/04/20) (11/03/20) Voter Turnout %: Special (05/15/18 and 05/19/20) Primary (08/28/18 and 08/04/20) General (11/03/20) N/A 60% 65% Quality Productivity 151 General Fund Administration Department Town Clerk Division FY20-21 Proposed Budget Summary of Expenditures Town Clerk Description General Fund Salaries-Full Time Salaries-Part Time FICA Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Allowance/Stipend Licenses/Filing Fees Dues, Subscript & Publicat Meetings & Training Professional Fees Printing Expense Advertising/Signage Contractual Services Bank/Merc Account Fees Election Expense Office Supplies Operating Supplies Postage & Delivery Software Hardware/Peripherals ISF-Copier Charges ISF-Mail Service Charges ISF-Vehicle Replacement Charges ISF- Motor Pool Charges ISF- Technology Replacement ISF-Telecom Charges Total Town Clerk 152 FY17-18 Actual FY18-19 Actual FY19-20 Revised Budget FY20-21 Proposed Budget $ 125,270 1,722 141 24 5,788 614 124 359 13,813 94 51 300 380 50 10,068 3,070 32 53,333 423 1,585 39 141 239 $ 116,873 2,407 149 1,751 267 56 5,780 431 82 473 12,856 119 51 600 113 8,333 2,769 382 128 4,440 3,595 8,388 118 18 15 1,474 574 153 - $ 122,006 18,578 1,152 2,053 251 50 5,849 459 79 516 13,421 136 100 900 70 6,650 4,824 80 5,000 4,000 50,000 470 225 50 420 284 89 - $ 123,568 13,225 820 1,997 337 163 6,303 481 79 1,311 13,593 141 75 900 300 6,650 4,824 80 5,000 4,000 60,000 470 225 50 420 252 269 1,147 - $ 217,660 $ 172,395 $ 237,712 $ 246,680 General Fund Administration Department Administrative Services Division Administrative Services Division Service Delivery Plan Lead the organization in the acquisition, maintenance, development, supervision and measurement of the human assets and the results of their work (quality, productivity and service). Protect the Town’s assets from loss and minimize employee injuries on the job. FY17-18 Actual Program Name Administration Risk Management Total $ $ 130,869 285,141 416,010 FY17-18 Actual Category Wages Employment Taxes Benefits Dues & Memberships Meetings and Training Contractual Services Supplies Equipment/Improvements Internal Service Total $ $ 100,736 1,503 24,343 9,175 13,457 260,745 4,635 26 1,390 416,010 Expenditures by Program FY18-19 FY19-20 Actual Revised Budget $ 162,862 $ 221,415 300,238 $ 463,100 $ 221,415 FY20-21 Proposed Budget $ 259,245 $ 259,245 Expenditures by Category FY18-19 FY19-20 Actual Revised Budget $ 104,496 $ 109,591 1,586 1,824 24,815 25,161 9,657 9,017 37,533 36,204 279,473 28,044 4,728 10,271 812 1,303 $ 463,100 $ 221,415 FY20-21 Proposed Budget $ 139,014 3,356 29,045 10,347 36,204 28,044 10,271 2,964 $ 259,245 Use of Funds - Administrative Services By Category Where does the money go? Wages 54% Internal Service 1% Supplies 4% Contractual Services 11% Employment Taxes 1% Benefits 11% Meetings and Training 14% Dues & Memberships 4% Total Proposed Budget = $259,245 153 General Fund Administration Department Administrative Services Division Activities/Results Performance Measures FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Increase the percentage of employee performance reviews completed on schedule 88% 90% 93% 97% Increase or maintain the number of applications received per recruitment for non-exempt positions N/A 35 30 25 Increase or maintain the number of applications received per recruitment for exempt positions 29 46 45 30 FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Decrease the number of days lost to injury per worker’s compensation claim 34 0 112 0 Maintain the turnover rate of full-time employees at an acceptable rate 7% 11% 8% 0% FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Number of full-time employees departed from Town service 3 9 7 1 Number of exit interviews conducted 3 9 7 1 Ensure supervisors receive performance evaluation documentation four weeks in advance 75% 75% 85% 100% Quarterly track and analyze performance evaluation trends, including number of performance evaluations that were late, type of increases each employee received, etc. 100% 100% 100% 100% Number of exempt recruitments conducted 7 6 5 1 Number of full-time non-exempt recruitments conducted 1 8 2 0 Average number of days to fill a vacancy 60 69 60 60 Number of workers’ compensation claims due to injury 3 0 1 0 Quality Productivity 154 General Fund Administration Department Administrative Services Division FY20-21 Proposed Budget Summary of Expenditures Administrative Services Description General Fund Salaries-Full Time Salaries-Part Time Fica Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Allowance/Stipend Dues, Subscript & Publicat Training/Cont Ed Meetings & Training Professional Fees Legal Fees Insurance Expense Printing Expense Advertising/Signage Office Supplies Cleaning/Janitorial Supplies Operating Supplies Food & Beverage Supplies Program Materials Postage & Delivery Miscellaneous Expense Hardware/Peripherals ISF-Copier Charges ISF-Mail Service Charges ISF-Vehicle Replacement Charges ISF- Motor Pool Charges ISF- Technology Replacement ISF-Telecom Charges Total Administrative Services FY17-18 Actual FY18-19 Actual FY19-20 Revised Budget FY20-21 Proposed Budget $ 100,736 1,321 158 25 10,868 865 74 399 11,081 104 51 900 9,175 13,457 13,308 247,437 192 82 2,582 1,349 34 397 26 439 72 89 311 478 $ 104,495 1,379 184 23 10,875 875 78 434 11,495 108 51 900 9,657 7,635 29,898 14,111 264,631 730 151 3,759 789 30 323 379 110 - $ 109,591 1,603 196 25 10,983 932 79 448 11,647 122 50 900 9,017 15,179 21,025 21,084 1,000 4,000 150 1,810 830 10 5,441 3,830 160 420 673 210 - $ 125,789 13,225 820 2,030 343 163 11,797 979 156 1,329 13,666 143 75 900 10,347 15,179 21,025 21,084 1,000 4,000 150 1,810 830 10 5,441 3,830 160 420 676 721 1,147 - $ 416,010 $ 463,100 $ 221,415 $ 259,245 155 General Fund Administration Department Purchasing Division Purchasing Division Service Delivery Plan The Purchasing Division is responsible for supporting the Town's need for materials and services in accordance with Federal, State, and Town requirements. These requisitions are conducted in an open, competitive, and professional manner, which maximizes the effectiveness of tax dollars. Program Name Administration Total Category Wages Employment Taxes Benefits Dues & Memberships Meetings & Training Supplies Equipment/Improvement Internal Service Total - Expenditures by Program FY18-19 FY19-20 Actual Revised Budget $ - $ 85,194 $ $ 85,194 FY20-21 Proposed Budget $ 98,637 $ 98,637 - Expenditures by Category FY18-19 FY19-20 Actual Revised Budget $ - $ 62,100 1,050 19,944 200 150 1,750 $ $ 85,194 FY20-21 Proposed Budget $ 79,132 1,452 16,436 350 200 150 917 $ 98,637 FY17-18 Actual $ $ FY17-18 Actual $ $ Use of Funds - Purchasing - By Category Where does the money go? Employment Taxes 1% Wages 80% Benefits 18% Internal Service 1% Total Proposed Budget = $98,637 156 General Fund Administration Department Purchasing Division Activities/Results Performance Measures FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Requisitions Processed within 60 business hours. N/A N/A 95% 95% Excellent / Good customer survey results. N/A N/A 85% 85% FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Requisitions processed N/A N/A 900 900 Number of procurement contracts approved by Council N/A N/A 24 24 FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Number of P-Card Transactions N/A N/A 1,200 1,200 Number of competitive formal solicitations conducted N/A N/A 20 20 Quality Productivity 157 General Fund Administration Department Purchasing Division FY20-21 Proposed Budget Summary of Expenditures Purchasing Description General Fund Salaries-Full Time Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Allowance/Stipend Dues, Subscript & Publicat Meetings & Training Office Supplies Hardware/Peripherals ISF- Technology Replacement Total Purchasing 158 FY17-18 FY18-19 FY19-20 FY20-21 Actual Actual Revised Budget Proposed Budget $ - $ - $ 62,100 914 111 25 10,983 932 156 254 6,600 69 50 900 200 150 1,750 - $ 79,132 1,148 195 109 6,303 481 79 836 8,597 90 50 350 200 150 917 $ - $ - $ 85,194 $ 98,637 General Fund Administration Department Finance Division Finance Division Service Delivery Plan Provide efficient and cost effective financial oversight of both the short and longterm components of the Town’s functions. Be proactive in providing financial information to staff and citizens. Provide safe, secure and effective cash, banking, merchant service, tax service and debt service administration for the Town. Expenditures by Program FY17-18 Actual Program Name Accounting Administration Customer Service Licensing Purchasing Total $ $ 164,076 236,495 41,261 55,163 61,343 558,338 FY18-19 Actual $ $ 171,416 223,274 44,330 58,570 65,336 562,926 FY19-20 Revised Budget $ 308,661 267,594 42,985 $ 619,240 FY20-21 Proposed Budget $ 318,407 324,330 44,665 $ 687,402 Variance Explanations: Administration: Amounts were added for possible bond advisory services and the biennial development fee audit. Use of Funds - Finance - By Program Where does the money go? Administration 47% Accounting 47% Customer Service 6% Total Proposed Budget = $687,402 159 General Fund Administration Department Finance Division FY17-18 Actual Category Wages Employment Taxes Benefits Dues & Memberships Meetings and Training Maintenance & Repair Contractual Services Supplies Equipment Internal Service Total $ $ 274,987 9,352 49,057 10,724 3,162 2,615 183,127 3,144 11,270 10,900 558,338 Expenditures by Category FY18-19 FY19-20 Actual Revised Budget $ 307,580 $ 307,493 7,653 7,478 58,639 72,200 3,754 3,350 2,845 6,744 2,089 6,000 169,672 202,994 7,618 10,055 22 3,054 2,926 $ 562,926 $ 619,240 FY20-21 Proposed Budget $ 311,460 8,288 71,444 3,465 8,983 3,600 259,534 12,440 8,188 $ 687,402 Variance Explanations: Contractual Services: Amounts were added for possible bond advisory services and the biennial development fee audit. Internal Service: The increase is from the newly created Information Technology Replacement fund. Use of Funds - Finance - By Category Where does the money go? Internal Service 1% Wages 46% Supplies 2% Contractual Services 38% Total Proposed Budget = $687,402 160 Benefits 10% Employment Taxes 1% Meetings and Training 1% Maintenance & Repair 1% General Fund Administration Department Finance Division Activities/Results Performance Measures FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target 22 23 24 25 17 18 19 20 6 7 8 9 FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Actual revenue versus forecast—General Fund only (excluding transfers) 94% 90% 100% 100% Unmodified audit opinion Yes Yes Yes Yes FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Accounts payable checks issued 1,477 1,487 1,500 1,500 Local tax revenues from audits $171,149 $67,194 $50,000 $50,000 2,874 2,866 2,900 2,900 Consecutive years for GFOA annual Certificate of Achievement for Excellence in Financial Reporting award Consecutive years for GFOA annual Distinguished Budget Presentation award Consecutive years of GFOA annual Popular Reporting Award Quality Productivity Business licenses processed 161 General Fund Administration Department Finance Division FY20-21 Proposed Budget Summary of Expenditures Finance FY17-18 Actual Description FY18-19 Actual FY19-20 Revised Budget FY20-21 Proposed Budget General Fund Salaries-Full Time Salaries-Part Time Overtime FICA Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Allowance/Stipend Licenses/Filing Fees Dues, Subscript & Publicat Meetings & Training Office Equip Maint/Repair Auditing Expense Professional Fees Management Fees Rentals & Leases Printing Expense Advertising/Signage Intergovt Agreements Contractual Services Bank/Merc Acct Fees Office Supplies Cleaning/Janitorial Supplies Operating Supplies Food & Beverage Supplies Program Materials Uniforms Postage & Delivery Software Hardware/Peripherals Equipment ISF-Copier Charges ISF-Mail Service Charges ISF-Vehicle Replacement Charges ISF- Motor Pool Charges ISF- Technology Replacement ISF-Telecom Charges Total Finance 162 $ 197,518 77,277 193 4,855 3,881 428 189 22,655 2,140 354 776 21,659 204 369 900 876 9,848 3,162 2,615 74,970 34,627 14,754 1,214 1,089 1,433 49,606 1,858 3,577 1,231 10 1,722 116 63 6,790 87 4,393 2,418 5,814 426 327 1,914 $ 266,545 40,405 630 2,567 4,348 537 202 23,692 2,721 449 1,018 29,292 256 311 900 1,076 2,678 2,845 2,089 76,981 14,791 12,209 1,163 3,152 97 58,971 2,307 998 76 391 39 331 470 5,313 22 2,284 562 208 - $ 269,646 37,847 2,304 4,476 548 150 36,349 3,070 479 1,141 29,661 300 300 900 1,425 1,925 6,744 6,000 68,740 42,300 13,025 1,224 7,105 2,000 65,000 3,600 2,684 1,975 620 4,776 1,993 711 222 - $ 273,111 38,349 2,333 4,533 768 654 33,579 2,954 459 2,899 30,043 310 300 900 1,585 1,880 8,983 3,600 70,615 101,100 13,025 1,224 2,230 2,000 65,500 3,840 2,370 4,650 620 4,800 2,005 773 825 4,585 - $ 558,338 $ 562,926 $ 619,240 $ 687,402 General Fund Administration Department Information Technology Division Information Technology Division Service Delivery Plan The Information Technology Division is dedicated to providing professional support in a timely and responsive manner while focusing on high availability and reliable technology. The Division also endeavors to implement alternative technologies to reduce operating and maintenance costs while improving the user experience. FY17-18 Actual Program Name Administration Operations Total $ $ 99,255 185,972 285,227 Expenditures by Program FY18-19 FY19-20 Actual Revised Budget $ 102,082 $ 108,261 193,636 207,396 $ 295,718 $ 315,657 FY20-21 Proposed Budget $ 110,756 209,953 $ 320,709 Use of Funds - Information Technology - By Program Where does the money go? Operations 65% Administration 35% Total Proposed Budget = $320,709 163 General Fund Administration Department Information Technology Division Expenditures by Category FY17-18 Actual Category Wages Employment Taxes Benefits Dues & Memberships Meetings and Training Maintenance and Repair Utilities Contractual Services Supplies Equipment Internal Service Total $ $ 79,976 1,324 16,406 109,886 1,420 1,280 8,245 4,133 60,113 2,444 285,227 FY18-19 Actual $ $ 109,160 3,483 16,808 126,905 1,796 12,758 1,753 717 22,296 42 295,718 FY19-20 Revised Budget $ 120,105 4,113 18,323 139,440 5,000 13,700 1,000 1,850 12,000 126 $ 315,657 FY20-21 Proposed Budget $ 117,983 4,100 18,593 140,900 5,000 12,800 1,000 1,800 17,000 1,533 $ 320,709 Variance Explanations: Equipment: A budget supplement was added to upgrade the access control system software. Use of Funds - Information Technology - By Category Where does the money go? Benefits 6% Employment Taxes 1% Dues & Memberships 44% Wages 37% Maintenance and Repair 2% Utilities 4% Total Proposed Budget = $320,709 164 Equipment 5% Supplies 1% General Fund Administration Department Information Technology Division Activities/Results Performance Measures Percentage of emergency related helpdesk tickets resolved within two business hours Percentage of high priority helpdesk tickets resolved within four hours Percentage of helpdesk tickets resolved within twelve hours FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target 95% 95% 99% 99% 98% 98% 98% 100% 95% 98% 98% 100% FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target 294 344 350 300 Quality Total number of tickets opened Total number of tickets closed without resolution Total number of tickets resolved within established timeframe Number of issues resolved during initial contact 0 0 0 0 294 344 350 300 235 292 315 270 Online Payments Processed (Website) 1111 884 1200 1500 FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Availability of computer system up-time 99% 99% 99% 100% Number of Public Meetings Recorded (Video) 25 25 25 25 Productivity 165 General Fund Administration Department Information Technology Division FY20-21 Proposed Budget Summary of Expenditures Information Technology Description General Fund Salaries-Full Time Salaries-Part Time FICA Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Allowance/Stipend Licenses/Filing Fees Dues, Subscript & Publicat Equipment Maint/Repair Office Equip Maint/Repair Telecommunications Professional Fees Intergovt Agreements Office Supplies Operating Supplies Program Materials Postage & Delivery Software Hardware/Peripherals Equipment ISF-Copier Charges ISF-Mail Service Charges ISF-Vehicle Replacement Charges ISF- Motor Pool Charges ISF- Technology Replacement ISF-Telecom Charges Total Information Technology 166 FY17-18 Actual FY18-19 Actual FY19-20 Revised Budget FY20-21 Proposed Budget $ 79,976 1,174 125 24 5,788 426 75 285 8,798 84 51 900 88,152 21,734 1,403 17 1,280 7,245 1,000 114 823 3,177 19 31,045 29,007 60 14 3 38 2,390 $ 82,961 26,199 1,624 1,597 191 71 5,791 431 78 345 9,126 87 51 900 81,449 45,456 1,746 50 12,758 752 1,000 46 669 2 4,376 17,920 16 25 1 - $ 87,006 33,099 2,052 1,769 242 50 5,849 459 79 368 9,571 97 100 1,800 97,950 41,490 5,000 13,700 1,000 500 1,250 100 500 11,500 50 58 18 - $ 88,120 29,863 1,852 1,725 305 218 6,303 481 79 936 9,694 100 100 900 101,800 39,100 5,000 12,800 1,000 500 1,200 100 5,500 11,500 50 52 55 1,376 - $ 285,227 $ 295,718 $ 315,657 $ 320,709 General Fund Administration Department Legal Services Division Legal Services Division Service Delivery Plan The Town Attorney and Town Prosecutor are appointed by the Town Council to serve as general counsel for the Town in addition to its responsibility for the efficient disposition of criminal cases prosecuted in the Municipal Court. Program Name Attorney Services Total FY17-18 Actual $ $ 464,384 464,384 Expenditures by Program FY18-19 FY19-20 Actual Revised Budget $ 302,557 $ 285,116 $ 302,557 $ 285,116 FY20-21 Proposed Budget $ 293,564 $ 293,564 Expenditures by Category Category Dues & Memberships Contractual Services Internal Service Total FY17-18 Actual $ $ 4,432 459,713 239 464,384 FY18-19 Actual $ $ (148) $ 302,705 302,557 $ FY19-20 Revised Budget 285,116 285,116 FY20-21 Proposed Budget $ $ 293,564 293,564 Uses of Funds - Legal Services - By Category Where does the money go? Contractual Services 100% Total Proposed Budget = $293,564 167 General Fund Administration Department Legal Services Division Activities/Results Productivity FY17-18 Actual FY18-19 Actual FY19-20 Estimate Ordinances processed 16 15 Resolutions processed 89 75 Contracts and Agreements processed 171 250 FY20-21 Target FY20-21 Proposed Budget Summary of Expenditures Legal Services Description FY17-18 FY18-19 FY19-20 FY20-21 Actual Actual Revised Budget Proposed Budget General Fund Dues, Subscript & Publicat Professional Fees Legal Fees Advertising/Signage Prosecutor Fees Public Defender Fees ISF-Telecom Charges $ 4,432 351,031 182 105,000 3,500 239 $ Total Legal Services $ 464,384 $ 168 (148) $ 8,376 178,119 110,316 5,894 302,557 $ 166,000 110,316 8,800 - $ 168,800 119,964 4,800 - 285,116 $ 293,564 General Fund General Government Department General Government 169 General Fund General Government Department GENERAL GOVERNMENT Mission Statement The mission of the General Government Department is to provide a centralized location for Town-wide expenditures rather than in individual departmental budgets. By doing so, transparency is enhanced. Department Overview The purpose of the General Government Department is to locate expenditures that are Town-wide and do not belong to any one department. Such expenditures as the community contracts, Town’s membership dues in the Arizona League of Cities and Town, Maricopa Association of Governments, East Valley Partnership, and other Town-wide expenditures are located in the General Government Department. Transfers for Municipal Property Corporation (MPC) debt service for the Community Center are also located in General Government. Terms such as General Government and Non-Departmental are commonly used in municipal budgeting to describe this type of cost center. Division Non-Departmental Total FY17-18 Actual $ $ 204,809 204,809 Expenditures by Division FY18-19 FY19-20 Actual Revised Budget $ 263,431 $ 634,364 $ 263,431 $ 634,364 FY20-21 Proposed Budget $ 2,204,942 $ 2,204,942 Variance Explanations: Non-Departmental: Due to the uncertainty of the economy, a large contingency was added. Program Name Administration Total FY17-18 Actual $ $ 204,809 204,809 Expenditures by Program FY18-19 FY19-20 Actual Revised Budget $ 263,431 $ 634,364 $ 263,431 $ 634,364 FY20-21 Proposed Budget $ 2,204,942 $ 2,204,942 Variance Explanations: Administration: Due to the uncertainty of the economy, a large contingency was added. 170 General Fund General Government Department Expenditures by Category Category Dues & Memberships Meetings & Training Maintenance & Repair Utilities Contractual Services Supplies Internal Service Contingency Total FY17-18 Actual $ $ 34,163 3,694 84 166,787 81 204,809 FY18-19 Actual $ $ FY19-20 FY20-21 Revised Proposed Budget Budget 37,480 $ 40,931 $ 57,163 650 1,740 5,958 6,300 6,300 22,907 24,120 24,120 195,659 527,458 395,159 6,398 26,305 56,305 (9,191) (10,154) (14,555) 4,220 18,754 1,678,710 263,431 $ 634,364 $ 2,204,942 Variance Explanations: Dues & Memberships: The amount increased for additional memberships. Contractual Services: FY19-20 included a budget supplement for the comprehensive user fee study and the General Plan Update. Supplies: An amount was added for the 50th Anniversary Celebration. Contingency: Due to the uncertainty of the economy, a large contingency was added. Uses of Funds - General Government - By Category Where does the money go? Contingency 91% Dues & Memberships 4% Supplies 4% Utilities 1% Total Proposed Budget = $2,204,942 171 General Fund General Government Department Summary of Expenditures General Government Description General Fund Licenses/Filing Fees Dues, Subscript & Publicat Meetings & Training Boards & Commissions Office Equipment Maint/Repair Sign Repair & Replacement Telecommunications Professional Fees Legal Fees Insurance Expense Advertising/Signage Contractual Services Community Contracts/Events Holiday Lighting Interest Expense Office Supplies Program Materials Postage & Delivery ISF-Copier Charges ISF-Motor Pool Charges Contingency Total General Government 172 FY17-18 Actual FY18-19 Actual $ 34,163 3,694 84 39,200 365 728 12,758 110,890 2,846 82 - $ $ 204,810 $ FY19-20 Revised Budget 150 $ 37,330 5,958 22,907 56,388 74 19,551 118,515 907 224 1,123 3,044 2,231 (8,179) (1,012) 4,220 263,431 $ FY20-21 Proposed Budget - $ 40,931 650 6,300 24,120 116,000 298,582 10,000 102,795 3,000 21,000 2,305 (8,500) (1,654) 18,754 634,283 $ 57,163 650 1,090 6,300 24,120 48,000 262,749 84,410 3,000 51,000 2,305 (8,500) (6,055) 1,678,710 2,204,942 General Fund Municipal Court Department Municipal Court 173 General Fund Municipal Court Department MUNICIPAL COURT Mission Statement The Fountain Hills Municipal Court is committed to professionally serving the citizens of Fountain Hills by administering justice in a fair, efficient and respectful manner, so as to enhance public trust and community confidence in our court system. Department Overview The Fountain Hills Municipal Court is the judicial branch of the Fountain Hills government. Pursuant to State law and the Town Code, decisions regarding the overall function of the Court are the sole responsibility of the Presiding Judge, who also has exclusive supervisory authority over all court personnel. The Court has jurisdiction over civil traffic, criminal traffic and criminal misdemeanor offenses and violations of our Town Code and ordinances. The Court also has authority over specified juvenile offenses. In addition, the Municipal Court Presiding Judge has authority to issue arrest/search warrants, civil orders of protection, and injunctions against harassment. As part of the Arizona State Court System, the Fountain Hills Municipal Court is subject to the authority and administrative supervision of the Arizona Supreme Court. The Fountain Hills Municipal Court has legal obligations and reporting responsibilities to the State as well as to the Town of Fountain Hills. The Court must comply with constantly changing federal, state, and local laws and administrative rules, including those relating to crimes and criminal procedure, victims’ rights, record keeping, ADA, minimum accounting standards and judicial ethics. Expenditures by Program FY17-18 Actual Program Name Administration Operations Total $ $ 185,639 135,513 321,152 FY18-19 Actual $ $ 187,852 137,699 325,551 FY19-20 Revised Budget $ 193,947 203,331 $ 397,278 Use of Funds - Municipal Court - By Program Where does the money go? Administration 50% Total Proposed Budget = $402,604 174 Operations 50% FY20-21 Proposed Budget $ 200,899 201,705 $ 402,604 General Fund Municipal Court Department Category Wages Employment Taxes Benefits Dues and Memberships Meetings and Training Maintenance and Repair Contractual Services Supplies Equipment Internal Service Total Expenditures by Category FY18-19 FY19-20 Actual Revised Budget $ 249,624 $ 260,083 9,410 9,118 51,118 51,566 2,447 8,863 1,154 3,405 798 804 6,315 58,501 3,535 3,935 214 260 936 743 $ 325,551 $ 397,278 FY17-18 Actual $ $ 239,521 9,064 49,053 3,422 1,649 690 11,720 1,956 57 4,020 321,152 FY20-21 Proposed Budget $ 264,373 9,820 55,658 8,863 3,405 804 50,981 3,935 260 4,505 $ 402,604 Use of Funds - Municipal Court - By Category Where does the money go? Employment Taxes 2% Wages 66% Benefits 14% Contractual Services 13% Dues and Memberships 2% Meetings and Training 1% Supplies 1% Internal Service 1% Total Proposed Budget = $402,604 FY17-18 Actual Program Name Total Revenues Total Expenses Total $ $ 152,489 321,152 (168,663) Operating Results FY18-19 FY19-20 Actual Revised Budget $ 120,340 $ 179,001 325,551 397,278 $ (205,211) $ (218,277) FY20-21 Proposed Budget $ 185,004 402,604 $ (217,600) 175 General Fund Municipal Court Department FY19-20 Department Accomplishments Initiative Strategic Value Provided all court and judicial services as mandated by the Constitution, statutes and ordinances as fairly, effectively and efficiently as possible. Provided community outreach through informing the public and Fountain Hills High School about Teen Court and the justice system. Goal #5, Objective #2 Goal #5, Objective #2 Goal #5, Objective #1 Effectively and efficiently monitored and enforced timely compliance with Court ordered sentencing and diversion programs while holding defendants accountable for their actions and obligations. Goal #5, Objective #2 Complied with recognized Supreme Court/AOC guidelines for timely case processing, management and finances. Goal #5, Objective #2 Goal #4, Objective #1 Continue to seek ways to better improve the court process for citizens. Complying with Administrative orders and new processes from Supreme Court. Goal #5, Objective #2 FY20-21 Objectives Initiative Provide all court and judicial services as mandated by the Constitution, statutes and ordinances as fairly, effectively and efficiently as possible. Provide community outreach and garner support through informing the public and Fountain Hills High School about Teen Court and the justice system. Refurbish or replace, as needed, the benches in the Courtroom due to the wear and tear that the benches have received from years of use. Eliminate paper files by transitioning to scanning of active case records to improve case processing. With the goal to become entirely file less the processing time should be reduced once the transition has been completed providing the staff a way to better serve the public. Comply with recognized Arizona Supreme Court/AOC standards for timely case processing, management, and finances. Comply with standard court security standards as defined and mandated by the Arizona Supreme Court/AOC. Effectively and efficiently monitor and enforce timely compliance with Court ordered sentencing and diversion programs while holding defendants accountable for their actions and obligations. 176 Strategic Value Estimated Cost/Funding Source Goal #5, Objective #2 $0 Goal #3, Objective #2 Goal #5, Objective #1 Goal #5, Objective #2 $0 Goal #2, Objective #1 No more than $10,000 Funding Source: CCEF Total amount in unknown Goal #2, Objective #2 Goal #5, Objective #2 Estimated Cost Per Scanner: $4,385.00 Total Estimated Cost of 3 Scanners: $13,155.00 Annual Cost Per Scanner: $785.00 Total Estimated Annual Cost: $2,355.00 Funding Source: CCEF Goal #5, Objective #2 Goal #4, Objective #1 $0 Goal #5, Objective #2 No more than: $30,000 for upgraded security cameras. Funding Source: CCEF Total amount is unknown. Goal #5, Objective #2 $0 General Fund Municipal Court Department Activities/Results Performance Measures FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Cases Filed 1,268 786 2,600 2,800 Cases Terminated 1,217 957 2,550 2,750 Hearings/Trial Held 618 830 1,400 1,600 FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Quality Achieve a better understanding of how many arraignments the court conducts. 217 Estimated Minimum 395 Estimated Minimum 1050 Minimum 1250 Minimum Productivity FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Telephone 682 1503 1999 2400 Appearance 776 1369 1900 2290 Acceptance of plea agreement 140 209 230 295 Defensive Driving School (DDS) Completed 210 270 1000 1550 177 General Fund Municipal Court Department FY20-21 Proposed Budget Summary of Expenditures Municipal Court Description General Fund Salaries-Full Time Salaries-Part Time FICA Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Allowance/Stipend Licenses/Filing Fees Dues, Subscript & Publicat Meetings & Training Office Equip Maint/ Repair Sign Repair & Replacement Auditing Expense Professional Fees Legal Fees Printing Expense Intergovt Agreements Contractual Services Bank/Merc Acct Fees Office Supplies Cleaning/Janitorial Supplies Safety Supplies Operating Supplies Food & Beverage Supplies Postage & Delivery Hardware/Peripherals ISF-Copier Charges ISF-Mail Service Charges ISF-Vehicle Replacement Charge ISF-Motor Pool Charges ISF- Technology Replacement ISF-Telecom Charges Total Municipal Court 178 FY17-18 Actual FY18-19 Actual FY19-20 Revised Budget FY20-21 Proposed Budget $ 165,592 73,929 5,090 3,524 352 98 19,879 1,512 224 659 26,324 172 206 75 3,422 1,649 690 3,750 746 400 1,283 5,157 385 1,370 39 42 28 477 58 9 1,049 756 54 2,152 $ 173,846 75,777 5,218 3,686 414 93 19,892 1,530 233 722 27,455 180 206 900 2,447 1,154 771 27 200 675 5,105 335 2,019 79 11 5 437 984 214 30 810 96 - $ 182,375 77,708 4,817 3,775 426 100 20,232 1,521 237 772 28,401 203 200 8,863 3,405 804 2,956 1,400 2,000 11,605 40,000 540 2,443 32 660 800 260 5 562 176 - $ 184,724 79,649 4,938 3,849 597 436 21,782 1,709 237 1,960 28,660 210 200 900 8,863 3,405 804 2,956 1,400 2,000 11,825 32,500 300 2,443 32 660 800 260 5 567 604 3,329 - $ 321,152 $ 325,551 $ 397,278 $ 402,604 General Fund Public Works Department Public Works Note: Numbers in parentheses represent full-time equivalents (FTE). 179 General Fund Public Works Department PUBLIC WORKS Mission Statement The Public Works Department is dedicated to enhancing the quality of life in Fountain Hills by ensuring the construction of quality infrastructure; maintenance of roadways and traffic control devices; maintenance of Town-owned washes, dams, medians and open space; and maintenance of Town facilities in a manner that provides a safe, healthy and secure environment for staff and visitors. The Department strives to provide quality customer service in a professional and timely manner. Department Overview The Public Works Department is made up of three (3) Divisions: Public Works, Facilities and Engineering. The Public Works Director provides direct supervision over Division heads and the executive assistant. Expenditures by Division Division Public Works Engineering Facilities Total FY17-18 Actual $ $ 159,995 144,770 490,843 795,608 FY18-19 Actual $ $ 153,317 161,644 522,566 837,527 FY19-20 Revised Budget $ 147,003 272,018 752,917 $ 1,171,938 Use of Funds - Public Works - By Division Where does the money go? Facilities 62% Engineering 25% Total Proposed Budget = $1,120,866 180 Public Works 13% FY20-21 Proposed Budget $ 143,543 279,959 697,364 $ 1,120,866 General Fund Public Works Department FY17-18 Actual Program Name Administration Building Maintenance Engineering Operations Outside Inspections Total $ $ 184,998 99,164 144,770 312,973 53,703 795,608 Expenditures by Program FY18-19 FY19-20 Actual Revised Budget $ 194,477 $ 158,638 107,196 197,755 161,642 272,018 334,818 486,824 39,394 56,703 $ 837,527 $ 1,171,938 FY20-21 Proposed Budget $ 155,123 175,130 279,959 451,820 58,834 $ 1,120,866 Use of Funds - Public Works - By Program Where does the money go? Outside Inspections 5% Operations 40% Engineering 25% Administration 14% Building Maintenance 16% Total Proposed Budget = $1,120,866 Expenditures by Category FY17-18 Actual Category Wages Employment Taxes Benefits Dues & Memberships Meetings and Training Maintenance and Repair Utilities Contractual Services Supplies Equipment Damages/Vandalism Internal Service Total $ $ 353,971 15,178 73,237 11,797 685 79,270 170,463 38,167 25,343 5,756 2,779 18,962 795,608 FY18-19 Actual $ $ 369,558 17,638 76,702 9,111 800 90,945 176,623 56,477 21,088 3,447 15,138 837,527 FY19-20 Revised Budget $ 432,034 22,873 76,981 11,240 3,285 234,790 195,417 140,941 36,508 5,350 900 11,619 $ 1,171,938 FY20-21 Proposed Budget $ 436,294 27,223 81,849 3,555 3,415 169,465 193,445 138,301 36,148 11,900 900 18,371 $ 1,120,866 Variance Explanations: Dues & Memberships: The decrease is due to the Town-wide elimination of the environmental fee, including fees billed to the Town. Maintenance & Repair: FY19-20 included a budget transfer for chiller repair. 181 General Fund Public Works Department Equipment: A budget supplement was added for metal detectors for the Council Chambers. Internal Service: The increase is from the newly created Information Technology Replacement fund. Use of Funds - Public Works - By Category Where does the money go? Supplies 3% Maintenance and Repair 15% Utilities 18% Contractual Services 13% Internal Service 2% Wages 40% Benefits 7% Employment Taxes 2% Total Proposed Budget = $1,120,866 FY17-18 Actual Program Name Total Revenues Total Expenses Total 182 $ $ 32,355 795,608 (763,253) Operating Results FY18-19 FY19-20 Actual Revised Budget $ 736,993 $ 44,790 837,527 1,171,938 $ (100,534) $ (1,127,148) FY20-21 Proposed Budget $ 44,490 1,120,866 $ (1,076,376) General Fund Public Works Department FY19-20 Department Accomplishments Initiative 2017 Strategic Value Fostered a culture of public service and volunteerism Developed and implemented an investment plan to bring additional streets up to established standards Goal 5, Objective 3 Designed and constructed drainage improvements to minimize Golden Eagle Park flooding Commissioned a study to identify gap between actual & subdivision ordinance specifications & determine cost of meeting ordinance specifications Goal 2, Objective 1 Goal 2, Objective 1 Goal 2, Objective 2 FY20-21 Objectives Initiative Strategic Value Estimated Cost/Funding Source Restart long range sidewalk infill program Goal 2, Objective 1 $100,000/CIP Fund Develop and adopt a comprehensive environmental plan Develop & implement an investment plan to bring streets, buildings and parks up to established standards Goal 2, Objective 2 Awaiting Estimates / Environmental Fund Goal 2, Objective 1 $10,000,000 $12,000,000 Bond and/or General Fund 183 General Fund Public Works Department FY20-21 Proposed Budget Summary of Expenditures Public Works Department Description General Fund Salaries-Full Time Salaries-Part Time Overtime FICA Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Allowance/Stipend Licenses/Filing Fees Dues, Subscript & Publicat Meetings & Training Building Maint/Repair HVAC Repair Plumbing Repair Electrical Repair/Maint Fire Protection Systems Irrigation Repair Backflow Testing & Maintenance Equipment Maint/Repair Vehicle Maint/Repair Other Maint/Repair Sign Repair & Replacement Painting Lighting Repair Electricity Expense Refuse/Recycling Telecommunications Water/Sewer Gas & Oil Professional Fees Rentals & Leases Printing Expense Advertising/Signage Contractual Services Bank/Merc Acct Fees Landscape Contracts 184 FY17-18 Actual $ 305,460 48,430 81 3,009 4,999 7,015 155 35,311 2,106 366 1,188 33,609 325 332 10,286 1,511 685 11,164 52,069 5,216 6,504 460 250 1,232 1,846 530 139,636 1,704 3,006 22,602 3,514 29,888 148 196 988 289 6,656 FY18-19 Actual $ 319,056 50,075 426 3,111 5,199 9,141 187 36,143 2,263 401 1,310 35,147 328 362 750 8,571 540 800 17,041 49,143 185 8,571 879 100 5,517 239 6,277 2,993 145,027 3,004 4,533 21,015 3,044 52,088 287 173 3,928 FY19-20 Revised Budget FY20-21 Proposed Budget $ $ 316,865 115,169 7,140 6,282 9,277 174 36,317 2,442 420 1,340 34,857 352 353 900 9,060 2,180 3,285 44,900 149,080 8,100 5,140 7,960 2,850 1,235 7,850 2,160 2,400 2,015 100 1,000 155,942 1,704 5,736 26,985 5,050 76,591 750 650 25,000 500 37,450 320,930 115,364 7,153 6,344 12,959 767 38,509 2,578 436 3,407 35,302 364 353 900 700 2,855 3,415 48,315 80,680 8,100 5,140 8,320 2,850 1,235 7,850 1,760 2,400 2,815 153,290 1,704 7,416 26,585 4,450 76,951 750 650 25,000 500 34,450 General Fund Public Works Department FY20-21 Proposed Budget Summary of Expenditures Public Works Department FY17-18 Actual Description General Fund-continued Office Supplies Cleaning/Janitorial Supplies Safety Supplies Operating Supplies Food & Beverage Supplies Uniforms Postage & Delivery Small Tools Hardware/Peripherals Furniture/Appliances Equipment Building Improvements Exp Damages/Vandalism ISF-Copier Charges ISF-Mail Service Charges ISF-Vehicle Replacement Charge ISF-Motor Pool Charges ISF- Technology Replacement ISF-Telecom Charges Total Public Works FY18-19 Actual FY19-20 Revised Budget FY20-21 Proposed Budget $ 587 9,631 2,091 10,468 1,547 1,021 25 1,394 1,152 806 2,380 2,779 149 62 14,350 386 4,014 $ 237 9,643 269 8,199 1,875 804 61 94 2,708 645 220 14,300 618 - $ 1,075 14,500 825 15,833 2,000 2,100 175 950 2,900 1,500 900 287 10,984 348 - $ 1,075 14,500 825 15,473 2,000 2,100 175 950 2,900 8,050 900 287 11,108 1,489 5,487 - $ 795,608 $ 837,527 $ 1,171,938 $ 1,120,866 185 General Fund Public Works Department Public Works Division Public Works Division Service Delivery Plan The Public Works Division, through its administrative services, is responsible for the general oversight of capital projects and review, approval and inspections related to encroachment permits. FY17-18 Actual Program Name Administration Outside Inspections Total $ $ 106,293 53,702 159,995 Expenditures by Program FY18-19 FY19-20 Actual Revised Budget $ 113,921 $ 90,300 39,394 56,703 $ 153,315 $ 147,003 Use of Funds - Public Works - By Program Where does the money go? Administration 59% Total Proposed Budget = $143,543 186 Outside Inspections 41% FY20-21 Proposed Budget $ 84,709 58,834 $ 143,543 General Fund Public Works Department Public Works Division Expenditures by Category FY17-18 Actual Category Wages Employment Taxes Benefits Dues & Memberships Meetings and Training Maintenance and Repair Utilities Contractual Services Supplies Equipment Internal Service Total $ $ 108,904 4,284 25,183 8,460 799 3,633 553 1,141 7,038 159,995 FY18-19 Actual $ $ 101,083 5,234 24,717 8,388 800 84 3,276 2,987 110 6,636 153,315 FY19-20 Revised Budget $ 94,752 4,045 22,643 9,045 2,040 1,360 3,716 700 1,575 450 6,677 $ 147,003 FY20-21 Proposed Budget $ 95,966 5,282 23,549 585 2,040 1,360 3,716 700 1,575 450 8,320 $ 143,543 Variance Explanations: Dues & Memberships: The decrease is due to the Town-wide elimination of the environmental fee, including fees billed to the Town. Use of Funds - Public Works - By Category Where does the money go? Employment Taxes 4% Wages 67% Benefits 16% Internal Service 7% Meetings and Training 1% Maintenance and Repair 1% Supplies 1% Utilities 3% Total Proposed Budget = $143,543 187 General Fund Public Works Department Public Works Division Activities/Results Performance Measures Percentage of inspections completed within 24-hours of notice FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target 99% 99% 99% 99% FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target 210 204 300 275 N/A 191 350 325 1 3 3 4 FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target $253.31 $193.11 $184.19 $213.94 N/A $206.25 $157.87 $181.03 Quality Number of right-of-way and encroachment permits issued Total number of inspections (includes multiple inspection totals for residential, commercial & encroachment permits) Number of Capital improvement (CIP) projects completed Productivity Expenditure per right -of–way and encroachment permits issued Expenditure per inspection (includes multiple inspection totals for residential, commercial & encroachment permits) 188 General Fund Public Works Department Public Works Division FY20-21 Proposed Budget Summary of Expenditures Public Works Division Description General Fund Salaries-Full Time Overtime Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Licenses/Filing Fees Dues, Subscriptions & Publications Meetings & Training Vehicle Maint/Repair Telecommunications Gas & Oil Professional Fees Printing Expense Advertising/Signage Bank/Merc Acct Fees Office Supplies Safety Supplies Uniforms Postage & Delivery Small Tools ISF-Copier Charges ISF-Mail Service Charges ISF-Vehicle Replacement Charges ISF- Motor Pool Charges ISF- Technology Replacement ISF-Telecom Charges Total Public Works FY17-18 Actual FY18-19 Actual FY19-20 Revised Budget FY20-21 Proposed Budget $ 108,888 16 1,545 2,697 41 11,705 808 124 366 11,979 113 89 8,460 799 803 2,830 67 196 289 587 22 533 11 24 6,384 21 598 $ 100,678 405 1,429 3,750 55 11,900 915 126 441 11,123 111 101 8,388 800 84 880 2,396 2,744 70 173 105 5 27 6,519 90 - $ 94,752 1,375 2,633 37 10,607 908 122 400 10,423 105 78 8,560 485 2,040 1,360 1,116 2,600 200 500 900 100 575 450 30 6,631 16 - $ 95,966 1,392 3,722 168 10,680 969 138 1,019 10,556 109 78 100 485 2,040 1,360 1,116 2,600 200 500 900 100 575 450 30 6,820 48 1,422 - $ 159,995 $ 153,315 $ 147,003 $ 143,543 189 General Fund Public Works Department Facilities Division Facilities Division Service Delivery Plan The Facilities Division is dedicated to maintaining a safe and clean environment in Town-owned buildings for citizens and employees to enjoy. The Facilities Division maintains Town Hall, Community Center, Library/Museum, Fire Stations Nos. 1 and 2, the Kiwanis Building, the Streets operations building and a vehicle maintenance facility. Expenditures by Location Location Town Hall Civic Center Fire Station #1 Fire Station #2 Leased Buildings Total FY17-18 Actual $ $ 78,705 312,973 99,165 490,843 FY18-19 Actual $ $ 80,555 334,818 107,194 522,567 FY19-20 Revised Budget $ 68,338 486,824 12,105 9,295 176,355 $ 752,917 FY20-21 Proposed Budget $ 70,414 451,820 12,105 10,055 152,970 $ 697,364 Use of Funds - Facilities - By Location Where does the money go? Fire Station #1 2% Fire Station #2 1% Civic Center 65% Leased Buildings 22% Town Hall 10% Total Proposed Budget = $697,364 190 General Fund Public Works Department Facilities Division Expenditures by Category FY17-18 Actual Category Wages Employment Taxes Benefits Dues & Memberships Maintenance and Repair Utilities Contractual Services Supplies Equipment Damages/Vandalism Internal Service Total $ $ FY18-19 Actual 141,145 8,215 27,658 78,471 166,106 28,596 24,203 4,363 2,779 9,307 490,843 $ $ 160,673 9,496 31,101 90,861 172,759 26,920 20,819 3,447 6,491 522,567 FY19-20 Revised Budget $ 158,726 9,769 32,670 300 233,430 190,921 83,491 34,463 4,900 900 3,347 $ 752,917 FY20-21 Proposed Budget $ 160,775 11,848 35,115 300 168,105 188,169 80,851 34,103 11,450 900 5,748 $ 697,364 Variance Explanations: Maintenance & Repair: FY19-20 included a budget transfer to fix the chillers. Equipment: A budget supplement was added for metal detectors for the Council Chambers. Use of Funds - Facilities - By Category Where does the money go? Utilities 26% Maintenance and Repair 24% Benefits 5% Employment Taxes 2% Wages 23% Contractual Services 12% Supplies 5% Equipment 2% Internal Service 1% Total Proposed Budget = $697,364 191 General Fund Public Works Department Facilities Division FY20-21 Proposed Budget Summary of Expenditures Facilities Description General Fund Salaries-Full Time Salaries-Part Time Overtime FICA Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Allowance/Stipend Dues, Subscript & Publicat Building Maint/Repair HVAC Repair Plumbing Repair Electrical Repair/Maint Fire Protection Systems Irrigation Repair Backflow Testing & Maintenance Equipment Maint/Repair Vehicle Maint/Repair Other Maint/Repair Sign Repair & Replacement Painting Lighting Repair Electricity Expense Refuse/Recycling Telecommunications Water/Sewer Gas & Oil Professional Fees Rentals & Leases Printing Expense Landscape Contracts Office Supplies Cleaning/Janitorial Supplies Safety Supplies Operating Supplies Food & Beverage Supplies Uniforms 192 $ FY17-18 FY18-19 FY19-20 FY20-21 Actual Actual Revised Budget Proposed Budget $ $ 92,651 48,430 65 3,009 1,981 3,133 92 15,871 746 130 411 10,199 105 197 11,164 52,069 5,216 6,504 460 250 1,232 1,047 530 139,636 1,704 1,479 22,602 684 21,939 6,656 9,631 2,069 10,468 1,547 488 $ 110,577 50,075 21 3,111 2,264 4,009 111 16,503 790 156 421 12,166 105 210 750 17,041 49,143 185 8,571 879 100 5,517 155 6,277 2,993 145,027 3,004 3,066 21,015 647 22,922 70 3,928 67 9,643 269 8,199 1,875 746 109,056 49,670 3,079 2,317 4,283 90 17,893 938 179 462 11,997 121 180 900 300 44,900 149,080 8,100 5,140 7,960 2,850 1,235 7,850 800 2,400 2,015 100 1,000 155,942 1,704 3,840 26,985 2,450 45,091 750 200 37,450 175 14,500 625 15,833 2,000 1,325 110,460 50,315 3,120 2,347 5,989 392 19,424 984 179 1,173 12,150 125 180 900 300 48,315 80,680 8,100 5,140 8,320 2,850 1,235 7,850 400 2,400 2,815 153,290 1,704 4,740 26,585 1,850 45,451 750 200 34,450 175 14,500 625 15,473 2,000 1,325 General Fund Public Works Department Facilities Division FY20-21 Proposed Budget Summary of Expenditures Facilities FY17-18 Actual Description General Fund-continued Postage & Delivery Small Tools Furniture/Appliances Equipment Building Improvements Exp Damages/Vandalism ISF-Copier Charges ISF-Mail Service Charges ISF-Vehicle Replacement Charges ISF- Motor Pool Charges ISF- Technology Replacement ISF-Telecom Charges Total Facilities FY18-19 Actual FY19-20 Revised Budget FY20-21 Proposed Budget $ 25 1,152 806 2,379 2,779 24 3 6,342 2,938 $ 21 94 2,708 645 22 6,469 - $ 5 500 2,900 1,500 900 57 3,290 - $ 5 500 2,900 8,050 900 57 2,982 48 2,661 - $ 490,843 $ 522,567 $ 752,917 $ 697,364 193 General Fund Public Works Department Facilities Division Activities/Results Performance Measures FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Percentage of maintenance requests resolved within 24 hours 80 80 80 80 Percentage of maintenance requests resolved within 48 hours 95 95 95 95 Percentage of trade related work orders completed in-house versus contracts 70 70 70 70 FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target 107,507 122,003 122,003 118,108 23,500 23,500 23,500 23,500 Number of annual maintenance requests 350 344 360 350 Number of Custodial Staff 1.25 1.25 1.25 1.25 Library/Museum Custodial Staff .50 .50 .50 .50 Town Hall Custodial Staff .75 .75 .75 .75 FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target $1.81 $1.85 $2.04 $2.00 Quality Square footage of buildings maintained by staff Square footage of buildings cleaned by staff Productivity Civil Center utility costs per square foot (water, sewer and electricity) 194 General Fund Public Works Department Engineering Division Engineering Division Service Delivery Plan The Engineering Division is responsible for the review of commercial and residential building plans, flood plan administration, preliminary and final plats, easement abandonments, etc. FY17-18 Actual Program Name Engineering Total $ $ Category Wages Employment Taxes Benefits Dues & Memberships Meetings & Training Utilities Contractual Services Supplies Equipment Internal Service Total 205,471 205,471 FY17-18 Actual $ $ 101,435 3,265 19,683 595 525 706 78,462 94 706 205,471 Expenditures by Program FY18-19 FY19-20 Actual Revised Budget $ 144,770 $ 272,018 $ 144,770 $ 272,018 FY20-21 Proposed Budget $ 279,959 $ 279,959 Expenditures by Category FY18-19 FY19-20 Actual Revised Budget $ 103,922 $ 178,556 2,679 9,059 20,397 21,668 3,337 1,895 684 1,245 723 780 9,018 56,750 470 1,394 2,616 1,595 $ 144,770 $ 272,018 FY20-21 Proposed Budget $ 179,553 10,093 23,185 2,670 1,375 1,560 56,750 470 4,303 $ 279,959 Use of Funds - Engineering - By Program Where does the money go? Wages 64% Contractual Services 20% Internal Service 2% Employment Taxes 4% Benefits 8% Dues & Memberships 1% Utilities 1% Total Proposed Budget = $279,959 195 General Fund Public Works Department Engineering Division Activities/Results Performance Measures Percentage of reviews of final plats, site plans and commercial plans completed within established turn-around time FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target 95% 95% 95% 99% FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target 18 25 35 35 Quality Number of easements released or acquired FY20-21 Proposed Budget Summary of Expenditures Engineering Description General Fund Salaries-Full Time Salaries-Part Time Fica Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Licenses/Filing Fees Dues, Subscript & Publicat Meetings & Training Telecommunications Professional Fees Printing Expense Contractual Services Office Supplies Safety Supplies Uniforms Postage & Delivery Hardware/Peripherals ISF-Copier Charges ISF-Mail Service Charges ISF-Vehicle Replacement Charges ISF- Motor Pool Charges ISF- Technology Replacement ISF-Telecom Charges Total Engineering 196 FY17-18 Actual FY18-19 Actual FY19-20 Revised Budget FY20-21 Proposed Budget $ 103,922 1,473 1,184 22 7,736 553 112 412 11,431 108 46 1,826 1,511 684 723 7,950 80 987 1,394 113 36 1,624 365 478 $ 107,801 1,505 1,382 21 7,740 559 118 448 11,858 112 51 183 540 588 26,422 148 65 58 34 172 1,312 527 - $ 113,057 65,499 4,061 2,590 2,361 47 7,817 596 119 478 12,437 126 95 500 1,395 1,245 780 31,500 250 25,000 100 200 170 200 1,063 332 - $ 114,504 65,049 4,033 2,605 3,248 207 8,405 625 119 1,215 12,596 130 95 600 2,070 1,375 1,560 31,500 250 25,000 100 200 170 200 1,306 1,393 1,404 - $ 144,770 $ 161,644 $ 272,018 $ 279,959 General Fund Development Services Department Development Services Note: Numbers in parentheses represent full-time equivalents (FTE). 197 General Fund Development Services Department DEVELOPMENT SERVICES Mission Statement The Development Services Department is dedicated to enhancing the quality of life in Fountain Hills by providing plan review, construction permitting, building inspections, code enforcement, and Geographic Information Systems, as well as the use of innovative and proven land planning techniques. The Department strives to provide quality customer service in a professional and timely manner. Department Overview The Development Services Department is made up of five (5) Divisions: Development Services, Building Safety, Code Compliance, Mapping & Graphics and Planning & Zoning. The Development Services Director provides direct supervision over Division heads and the executive assistant. Previously, the Department also contained the Engineering Division. FY17-18 Actual Division Development Services Planning & Zoning Building Safety Code Compliance Mapping & Graphics Total $ $ 162,618 98,097 299,489 74,502 96,039 730,745 Expenditures by Division FY18-19 FY19-20 Actual Revised Budget $ 246,973 $ 180,139 102,683 111,483 334,201 536,490 79,628 158,855 102,723 113,329 $ 866,208 $ 1,100,296 Variance Explanations: Building Safety: FY19-20 included Third-party Fees. Use of Funds - Development Services - By Division Where does the money go? Planning & Zoning Development 13% Services 20% Mapping & Graphics 12% Code Compliance 17% Total Proposed Budget = $946,484 198 Building Safety 38% FY20-21 Proposed Budget $ 189,428 121,088 355,963 163,545 116,460 $ 946,484 General Fund Development Services Department FY17-18 Actual Program Name Administration Building Inspection Code Compliance Mapping & Graphics Planning & Zoning Total $ $ 162,618 299,489 74,502 96,039 98,097 730,745 Expenditures by Program FY18-19 FY19-20 Actual Revised Budget $ 246,973 $ 180,139 334,201 536,490 79,628 158,855 102,723 113,329 102,683 111,483 $ 866,208 $ 1,100,296 FY20-21 Proposed Budget $ 189,428 355,963 163,545 116,460 121,088 $ 946,484 Variance Explanations: Building Inspection: FY19-20 included Third-party Fees. Use of Funds - Development Services - By Program Where does the money go? Building Inspection 38% Code Compliance 17% Administration 20% Planning & Zoning 13% Mapping & Graphics 12% Total Proposed Budget = $946,484 Expenditures by Category FY17-18 Actual Category Wages Employment Taxes Benefits Dues & Memberships Meetings and Training Maintenance and Repair Utilities Contractual Services Supplies Equipment Internal Service Total $ $ 507,021 14,316 104,205 4,452 2,244 2,093 2,849 76,105 4,412 1,841 11,207 730,745 FY18-19 Actual $ $ 583,562 17,654 110,857 4,269 3,010 1,891 2,840 125,299 7,983 560 8,283 866,208 FY19-20 Revised Budget $ 645,560 17,326 149,139 4,146 12,390 5,552 5,340 228,664 12,360 3,800 16,019 $ 1,100,296 FY20-21 Proposed Budget $ 654,291 20,930 153,853 5,491 13,540 7,912 4,560 49,074 10,960 300 25,573 $ 946,484 199 General Fund Development Services Department Variance Explanations: Contractual Services: FY19-20 included Third-party Fees. Internal Service: The increase is from the newly created Information Technology Replacement fund. Use of Funds - Development Services - By Category Where does the money go? Employment Taxes 2% Wages 73% Benefits 17% Total Proposed Budget = $946,484 FY17-18 Actual Program Name Total Revenues Total Expenses Total 200 $ $ 688,606 730,745 (42,139) Internal Service 3% Contractual Services 5% Operating Results FY18-19 FY19-20 Actual Revised Budget $ 515,120 $ 723,192 866,208 1,100,296 $ (351,088) $ (377,104) FY20-21 Proposed Budget $ 785,018 946,484 $ (161,466) General Fund Development Services Department FY19-20 Department Accomplishments Initiative Strategic Plan Value Completed the 2018 edition of the “Land Use Analysis and Statistical Report” Goal #1, Objective #1 Complete the 2020 General Plan Update Goal #1, Goal #2, Goal #3, Goal #4 Continue public outreach and advertising for the 2020 Census update Goal #5, Objective #2 Adopted a text amendment that allows residential uses on commercially zoned properties Goal #1, Objective #2 FY20-21 Objectives Initiative Strategic Plan Value Estimated Cost/ Funding Source Complete Sign Code update Goal #1, Objective #1 $0 Continue to revise zoning ordinance to meet strategic plan goals Goal #1, Objective #2 $0 Initiate implementation of the General Plan 2020 Goal #1, Goal #2, Goal #3, Goal #4 $0 201 General Fund Development Services Department FY20-21 Proposed Budget Summary of Expenditures Development Services Department Description FY17-18 FY18-19 Actual Actual FY19-20 Revised Budget FY20-21 Proposed Budget General Fund Salaries-Full Time Salaries-Part Time Overtime FICA Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Allowance/Stipend Licenses/Filing Fees Dues, Subscript & Publicat Meetings & Training Equipment Maint/Repair Vehicle Maint/Repair Office Equip Maint/Repair Sign Repair & Replacement Telecommunications Gas & Oil Professional Fees Rentals & Leases Printing Expense Advertising/Signage Contractual Services Bank/Merc Acct Fees Third Party Fees Office Supplies Cleaning Supplies Operating Supplies Food & Beverage Supplies Uniforms Postage & Delivery Small Tools Hardware/Peripherals ISF-Copier Charges ISF-Mail Service Charges ISF-Vehicle Replacement Charge ISF-Motor Pool Charges ISF- Technology Replacement ISF-Telecom Charges $ 461,933 45,071 16 2,822 7,231 3,957 306 45,195 3,192 534 1,790 50,778 479 438 1,800 1,278 3,174 2,244 393 199 1,501 1,627 1,222 3,937 1,214 1,312 1,350 64,690 3,602 3,670 33 91 17 531 69 159 1,682 1,288 361 7,297 230 2,032 $ 519,736 63,759 67 3,960 8,315 5,159 220 45,261 3,237 559 1,889 57,175 473 463 1,800 793 3,477 3,010 130 1,622 139 1,554 1,286 43,861 1,163 209 1,837 78,055 174 7,332 5 515 130 119 441 710 7,251 322 - $ 624,937 20,623 1,278 9,406 6,405 237 67,804 5,195 878 2,645 68,745 697 475 2,700 1,420 2,726 12,390 2,500 1,252 1,800 2,340 3,000 7,000 1,214 4,850 3,000 2,500 100 210,000 10,250 1,830 280 300 3,500 1,415 10,733 3,871 - $ 633,410 20,881 1,295 9,559 9,041 1,035 65,566 5,280 907 6,728 69,676 721 475 4,500 1,690 3,801 13,540 2,500 1,812 3,600 1,560 3,000 7,000 1,224 5,250 3,000 32,500 100 9,050 1,630 280 300 1,415 11,044 4,860 8,254 - Total Development Services $ 730,745 $ 866,208 $ 1,100,296 $ 946,484 202 General Fund Development Services Department Development Services Division Development Services Division Service Delivery Plan The Development Services Division, through its administrative services, provides direction to and clerical support for the Department by the Development Services Director and executive assistant. FY17-18 Actual Program Name Administration Total $ $ 162,618 162,618 Expenditures by Program FY18-19 FY19-20 Actual Revised Budget $ 246,971 $ 180,139 $ 246,971 $ 180,139 FY20-21 Proposed Budget $ 189,428 $ 189,428 Expenditures by Category FY17-18 Actual Category Wages Employment Taxes Benefits Dues & Memberships Education and Training Maintenance & Repair Utilities Contractual Services Supplies Equipment Internal Service Total $ $ 125,098 3,051 23,767 791 305 1,501 841 1,350 2,571 1,639 1,704 162,618 FY18-19 Actual $ $ 166,520 4,306 28,376 729 785 1,622 901 41,375 1,467 148 742 246,971 FY19-20 Revised Budget $ 136,098 3,520 25,354 662 4,100 1,800 780 1,514 5,305 1,006 $ 180,139 FY20-21 Proposed Budget $ 139,029 4,314 28,195 812 4,100 3,600 1,524 5,305 2,549 $ 189,428 Use of Funds - Development Services - By Category Where does the money go? Employment Taxes 2% Wages 76% Benefits 15% Education and Training 2% Maintenance & Repair Supplies 2% 3% Total Proposed Budget = $189,428 203 General Fund Development Services Department Development Services Division Activities/Results Performance Measures FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target 15 29 20 25 1 1 1 1 Prepare/Post Commission and Board meeting agendas both pre and post meetings. 30 37 34 24 Prepare Commission and Board meeting minutes and post approved meeting minutes. 25 24 26 13 FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Continue to draft, propose and update various improvements to the Zoning Ordinance, Subdivision Ordinance, and Town Code. Yes Yes Yes Yes Publish the annual Land Use Analysis and Statistical Report Yes Yes Yes Yes Administer contracts for plan review and inspection consulting services. 2 2 2 4 FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Bi-weekly Bi-weekly Bi-weekly Bi-weekly Continue to serve as staff liaison to the Planning & Zoning Commission, Zoning Board of Adjustment, and Building Board of Appeals. Continue to support joint P&Z Commission / Town Council joint meetings Quality Productivity Process payroll for department 204 General Fund Development Services Department Development Services Division FY20-21 Proposed Budget Summary of Expenditures Development Services Division Description General Fund Salaries-Full Time Overtime Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Allowance/Stipend Licenses/Filing Fees Dues, Subscript & Publicat Meetings & Training Office Equip Maint/Repair Telecommunications Professional Fees Rentals & Leases Printing Expense Bank/Merc Acct Fees Office Supplies Cleaning/Janitorial Supplies Operating Supplies Food & Beverage Supplies Uniforms Postage & Delivery Hardware/Peripherals ISF-Copier Charges ISF-Mail Service Charges ISF-Vehicle Replacement Charges ISF- Motor Pool Charges ISF- Technology Replacement ISF-Telecom Charges Total Development Services FY17-18 Actual FY18-19 Actual FY19-20 Revised Budget FY20-21 Proposed Budget $ 125,082 16 1,819 1,195 37 8,612 639 112 438 13,761 130 76 791 305 1,501 841 1,214 136 2,205 33 91 17 155 69 1,639 708 7 325 66 598 $ 166,454 67 2,419 1,852 35 8,655 654 117 428 18,314 107 101 55 674 785 1,622 901 39,924 1,163 139 148 1,401 5 60 1 148 430 295 17 - $ 136,098 1,975 1,508 37 8,774 689 118 576 14,971 151 75 70 592 4,100 1,800 780 1,214 300 5,000 300 5 650 271 85 - $ 139,029 2,030 2,121 163 9,454 721 118 1,476 15,293 158 75 900 70 742 4,100 3,600 1,224 300 5,000 300 5 650 253 270 1,376 - $ 162,618 $ 246,971 $ 180,139 $ 189,428 205 General Fund Development Services Department Building Safety Division Building Safety Division Service Delivery Plan Building Safety uses the building codes to establish minimum requirements to safeguard the public safety, health and general welfare through affordability, structural strength, means of egress, facilities, stability, sanitation, light and ventilation, and energy conservation to life and property from fire and other hazards attributed to the built environment, and to provide safety to fire fighters and emergency responders during emergency operations. Expenditures by Program Program Name Building Inspection Total FY17-18 Actual $ $ 299,489 299,489 FY18-19 Actual $ $ 334,201 334,201 FY19-20 Revised Budget $ 536,490 $ 536,490 FY20-21 Proposed Budget $ 355,963 $ 355,963 Variance Explanations: Building Inspection: FY19-20 included Third-party Fees. Expenditures by Category FY17-18 Actual Category Wages Employment Taxes Benefits Dues & Memberships Meetings and Training Maintenance and Repair Utilities Contractual Services Supplies Equipment Internal Service Total $ $ 183,105 6,804 34,710 367 1,439 101 636 67,812 60 202 4,253 299,489 FY18-19 Actual $ $ 206,616 8,445 35,346 301 477 237 639 78,275 201 293 3,371 334,201 FY19-20 Revised Budget $ 243,450 7,245 57,883 530 3,990 692 1,000 211,000 1,630 1,950 7,120 $ 536,490 Variance Explanations: Contractual Services: FY19-20 included Third-party Fees. 206 FY20-21 Proposed Budget $ 245,316 8,583 53,219 380 3,640 692 1,000 31,000 1,280 200 10,653 $ 355,963 General Fund Development Services Department Building Safety Division Use of Funds - Building Safety - By Category Where does the money go? Employment Taxes 2% Wages 69% Benefits 15% Internal Service 3% Total Proposed Budget = $355,963 Contractual Services 10% Activities/Results Performance Measures FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Percentage of all Residential building plan reviews completed within established times 100% 96% 100% 100% Percentage of all Commercial building plan reviews completed within established times 100% 100% 100% 100% FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target 485 513 800 800 146 178 675 675 25 45 80 80 Number of Inspectors *1 *1 2 2 Total number of permits issued 480 575 734 734 Number of inspections conducted 3,602 4,768 4600 4600 Quality All building plan reviews Number of residential plan reviews (Multiple reviews possible) Number of commercial plan reviews (Multiple reviews possible) *Building Inspections are performed by Building Official and third party Inspectors Productivity FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Average expenditure per inspection during the reporting period $83.15 $70.09 $70.98 $77.38 Average cost per permit $623.94 $581.22 $444.81 $484.96 207 General Fund Development Services Department Building Safety Division FY20-21 Proposed Budget Summary of Expenditures Building Safety Description General Fund Salaries-Full Time Salaries-Part Time FICA Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Allowance/Stipend Licenses/Filing Fees Dues, Subscript & Publicat Meetings & Training Vehicle Maint/Repair Sign Repair & Replacement Gas & Oil Printing Expense Advertising/Signage Contractual Services Bank/Merc Acct Fees Third Party Fees Office Supplies Uniforms Postage & Delivery Small Tools Hardware/Peripherals ISF-Copier Charges ISF-Mail Service Charges ISF-Vehicle Replacement Charges ISF- Motor Pool Charges ISF- Technology Replacement ISF-Telecom Charges Total Building Safety 208 FY17-18 Actual FY18-19 Actual FY19-20 Revised Budget FY20-21 Proposed Budget $ 138,034 45,071 2,822 2,602 1,184 196 16,562 1,041 149 558 15,147 143 210 900 12 355 1,439 101 636 1,176 63,190 3,447 60 159 43 118 49 3,366 3 716 $ 142,857 63,759 3,960 2,957 1,411 116 16,572 1,053 156 593 15,714 148 210 900 51 250 477 99 139 639 70 150 78,055 172 29 293 61 3,287 23 - $ 222,827 20,623 1,278 3,558 2,309 100 27,815 2,053 314 942 24,511 248 200 1,800 530 3,990 692 1,000 1,000 210,000 700 900 30 200 1,750 150 3,351 3,619 - $ 224,435 20,881 1,295 3,586 3,266 436 21,945 1,657 290 2,383 24,688 256 200 1,800 380 3,640 692 1,000 1,000 30,000 550 700 30 200 150 3,416 3,877 3,210 - $ 299,489 $ 334,201 $ 536,490 $ 355,963 General Fund Development Services Department Code Compliance Division Code Compliance Division Service Delivery Plan The Code Compliance Division is actively involved in maintaining an excellent quality of life by addressing community issues such as abandoned vehicles, property maintenance, improperly maintained pools, illegal signs, improper parking on private property, and dumping or other destruction in Town-owned washes. The Code Compliance Division strives to address problems in a confidential, friendly and understanding way which allows for sufficient time to come into compliance voluntarily. FY17-18 Actual Program Name Code Compliance Total $ $ 74,502 74,502 Expenditures by Program FY18-19 FY19-20 Actual Revised Budget $ 79,627 $ 158,855 $ 79,627 $ 158,855 FY20-21 Proposed Budget $ 163,545 $ 163,545 Expenditures by Category FY17-18 Actual Category Wages Employment Taxes Benefits Dues & Memberships Meetings and Training Maintenance and Repair Utilities Contractual Services Supplies Equipment/Improvements Internal Service Total $ $ 53,439 1,373 12,530 70 500 99 1,372 1,500 141 3,478 74,502 FY18-19 Actual $ $ 59,609 1,593 13,265 50 290 32 1,300 141 119 3,228 79,627 FY19-20 Revised Budget $ 107,839 3,023 31,053 200 900 560 3,560 2,800 580 1,750 6,590 $ 158,855 FY20-21 Proposed Budget $ 110,241 3,815 31,509 220 900 1,120 3,560 3,200 430 8,550 $ 163,545 Use of Funds - Code Compliance - By Category Where does the money go? Employment Taxes 3% Wages 68% Benefits 20% Total Proposed Budget = $163,545 Utilities 2% Contractual Internal Service Services 5% 2% 209 General Fund Development Services Department Code Compliance Division Activities/Results Performance Measures FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target 99% 99% 99% 99% FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Number of Code Enforcement Officers 1 1 2 2 Number of code violation cases 653 655 650 750 Number of code violation cases reviewed in court proceedings (does not include barking dog cases 8 3 8 6 Percentage of code violations brought into voluntary compliance prior to initiation of administrative or judicial action Quality **Note: The number of cases does not reflect the total quantity of requests for service, as cases are not open on all requests and complaints. In addition to responding to inquiries, other administrative duties take away time from case work. Productivity Average cost per code violation case 210 FY17-18 Actual FY18-19 Actual $114.09 $121.57 FY19-20 Estimate $244.39 FY20-21 Target $218.06 General Fund Development Services Department Code Compliance Division FY20-21 Proposed Budget Summary of Expenditures Code Compliance Description General Fund Salaries-Full Time Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Allowance/Stipend Licenses/Filing Fees Dues, Subscript & Publicat Meetings & Training Vehicle Maint/Repair Telecommunications Gas & Oil Printing Expense Contractual Services Office Supplies Uniforms Postage & Delivery Small Tools Hardware/Peripherals ISF-Copier Charges ISF-Mail Service Charges ISF-Vehicle Replacement Charge ISF- Technology Replacement ISF-Telecom Charges Total Code Compliance FY17-18 Actual FY18-19 Actual FY19-20 Revised Budget FY20-21 Proposed Budget $ 53,439 745 603 25 5,788 426 124 208 5,878 55 51 70 500 99 786 586 1,500 141 5 72 3,162 239 $ 59,609 811 758 23 5,792 431 131 241 6,557 62 51 50 290 32 653 647 104 38 119 3 3,225 - $ 107,839 1,566 1,407 50 16,832 1,391 288 457 11,863 122 100 100 100 900 560 1,560 2,000 300 2,500 150 330 100 1,750 10 6,580 - $ 110,241 1,612 1,985 218 15,642 1,176 264 1,174 12,127 126 100 900 120 100 900 1,120 1,560 2,000 700 2,500 330 100 10 6,706 1,834 - $ 74,502 $ 79,627 $ 158,855 $ 163,545 211 General Fund Development Services Department Mapping & Graphics Division Mapping & Graphics Division Service Delivery Plan The Mapping & Graphics Division is dedicated to providing excellent customer service in a professional and timely manner. The Division is responsible for providing internal and external customers with maps, geographic information, and research. Expenditures by Program FY17-18 Actual Program Name Mapping & Graphics Total $ $ Category Wages Employment Taxes Benefits Dues & Memberships Meetings and Training Maintenance and Repair Contractual Services Supplies Internal Service Total 96,039 96,039 FY17-18 Actual $ $ 69,564 1,103 17,230 1,883 393 3,959 1,465 442 96,039 FY18-19 Actual FY19-20 Revised Budget $ 113,329 $ 113,329 FY20-21 Proposed Budget $ 116,460 $ 116,460 Expenditures by Category FY18-19 FY19-20 Actual Revised Budget $ 72,170 $ 75,693 1,159 1,259 17,561 17,998 1,989 1,000 1,000 2,500 3,963 10,000 5,675 3,600 207 279 $ 102,724 $ 113,329 FY20-21 Proposed Budget $ 76,680 1,411 16,515 2,000 2,500 2,500 10,000 3,600 1,254 $ 116,460 $ $ 102,724 102,724 Use of Funds - Mapping & Graphics - By Category Where does the money go? Wages 68% Total Proposed Budget = $116,460 212 Benefits 14% Supplies 3% Dues & Memberships 2% Meetings and Training 2% Maintenance and Repair Contractual 2% Services 9% General Fund Development Services Department Mapping & Graphics Division Activities/Results Performance Measures FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target 95% 95% 95% 95% FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target 200 175 200 175 Number of aerial site plans completed 150 130 150 130 Number of external customer request processed 175 150 175 150 GIS database maintenance in hours 80 80 80 80 Work order satisfaction rating Quality Number of internal customer requests processed FY20-21 Proposed Budget Summary of Expenditures Mapping & Graphics Description General Fund Salaries-Full Time Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Licenses/Filing Fees Dues, Subscript & Publicat Meetings & Training Equipment Maint/Repair Professional Fees Printing Expense Bank/Merc Acct Fees Office Supplies Uniforms ISF-Copier Charges ISF-Mail Service Charges ISF-Vehicle Replacement Charge ISF- Motor Pool Charges ISF- Technology Replacement ISF-Telecom Charges Total Mapping & Graphics FY17-18 Actual FY18-19 Actual FY19-20 Revised Budget FY20-21 Proposed Budget $ 69,564 971 108 24 8,445 660 75 276 7,652 72 51 883 1,000 393 3,937 22 1,465 70 110 22 239 $ 72,170 1,010 126 23 8,450 668 78 300 7,939 75 51 1,989 3,937 26 5,581 94 94 113 - $ 75,693 1,098 136 25 8,534 603 79 321 8,327 84 50 1,000 1,000 2,500 7,000 2,900 100 3,500 100 130 113 36 - $ 76,680 1,113 189 109 6,303 747 79 814 8,435 87 50 2,000 2,500 2,500 7,000 2,900 100 3,500 100 130 100 107 917 - $ 96,039 $ 102,724 $ 113,329 $ 116,460 213 General Fund Development Services Department Planning & Zoning Division Planning & Zoning Division Service Delivery Plan The Planning & Zoning Division is dedicated to enhancing the quality of life in Fountain Hills through innovative, proven planning techniques, and providing excellent customer service in a professional and timely manner. The Division implements land-use planning related goals, policies and programs as approved by the Town Council. The Division processes applications for zoning interpretations and verifications, preliminary and final sub-division plats, variances from the requirements of the Zoning Ordinance, Temporary Use Permits, Special Use Permits, Commercial Site Plans, signs and amendments to the General Plan and Area Specific Plans. The Division also processes amendments to the Town’s regulations, the Zoning Ordinance, Subdivision Ordinance and Town Code. FY17-18 Actual Program Name Long Range Planning Planning & Zoning Total $ $ FY17-18 Actual Category Wages Employment Taxes Benefits Dues & Memberships Meetings and Training Contractual Services Supplies Equipment Internal Service Total 98,097 98,097 $ $ 75,814 1,985 15,968 1,340 1,484 175 1,331 98,097 Expenditures by Program FY18-19 FY19-20 Actual Revised Budget $ - $ 102,685 111,483 $ 102,685 $ 111,483 Expenditures by Category FY18-19 FY19-20 Actual Revised Budget $ 78,645 $ 82,480 2,152 2,279 16,311 16,851 1,201 1,754 1,457 2,400 1,687 3,350 498 1,245 100 734 1,024 $ 102,685 $ 111,483 Variance Explanations: Benefits: Amounts were increased to include family coverage. 214 FY20-21 Proposed Budget $ $ 121,088 121,088 FY20-21 Proposed Budget $ 83,025 2,807 24,415 2,079 2,400 3,350 345 100 2,567 $ 121,088 General Fund Development Services Department Planning & Zoning Division Use of Funds - Planning - By Category Where does the money go? Employment Taxes 2% Benefits 20% Wages 69% Dues & Memberships 2% Meetings and Training 2% Contractual Services Internal Service 3% 2% Total Proposed Budget = $121,088 Activities/Results Performance Measures FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Number of Long Range Planning Projects 7 3 1 1 Number of Subdivision Ordinance Projects 19 28 30 35 Number of Zoning Cases 48 51 53 58 Number of Building Permit Reviews 323 382 350 375 FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target 100 95 95 100 100 100 100 100 FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target $303.71 $268.81 $318.52 $322.90 Quality Percentage of first reviews of plans completed within the established department turnaround time Staff Training (1 time/year) Productivity Average processing cost per plan review 215 General Fund Development Services Department Planning & Zoning Division FY20-21 Proposed Budget Summary of Expenditures Planning & Zoning Description General Fund Salaries-Full Time Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Allowance/Stipend Licenses/Filing Fees Dues, Subscript & Publicat Meetings & Training Printing Expense Advertising/Signage Bank/Merc Acct Fees Office Supplies Uniforms Postage & Delivery Small Tools ISF-Copier Charges ISF-Mail Service Charges ISF-Vehicle Replacement Charge ISF-Motor Pool Charges ISF- Technology Replacement ISF-Telecom Charges Total Planning 216 FY17-18 Actual FY18-19 Actual FY19-20 Revised Budget FY20-21 Proposed Budget $ 75,814 1,093 867 24 5,788 426 75 311 8,339 78 51 900 266 1,074 1,350 134 175 387 234 333 139 239 $ 78,645 1,117 1,012 23 5,792 431 78 327 8,651 81 51 900 687 514 1,457 1,687 246 190 62 121 331 282 - $ 82,480 1,209 1,045 25 5,849 459 79 349 9,073 92 50 900 1,250 504 2,400 350 3,000 900 200 145 100 475 418 131 - $ 83,025 1,218 1,480 109 12,222 979 156 881 9,133 94 50 900 1,500 579 2,400 350 3,000 200 145 100 475 569 606 917 - $ 98,097 $ 102,685 $ 111,483 $ 121,088 General Fund Community Services Department Community Services Note: Numbers in parentheses represent full-time equivalents (FTE). 217 General Fund Community Services Department COMMUNITY SERVICES Mission Statement The mission of the Community Services Department is to provide exceptional customer service to enhance the quality of life by providing and maintaining safe, available, and accessible parks and facilities, recreation programs, events, and services that will meet the intellectual, social, cultural, and leisure needs of all residents. Department Overview Management and operations of Parks, Recreation, Community Center, Senior Services, McDowell Mountain Preserve, Desert Botanical Garden, a growing public trails system, public art, tourism, and the Avenue of the Fountains Plaza. Division Community Services Recreation Parks Community Center Operations Senior Services Total FY17-18 Actual $ 270,922 501,644 1,055,043 240,316 195,665 $ 2,263,590 Expenditures by Division FY18-19 FY19-20 Actual Revised Budget $ 265,086 $ 327,845 545,986 637,851 1,046,228 1,224,095 274,785 286,623 171,582 212,947 $ 2,303,667 $ 2,689,361 FY20-21 Proposed Budget $ 340,968 658,514 1,391,449 314,486 236,629 $ 2,942,046 Use of Funds - Community Services - By Division Where does the money go? Community Center Operations 11% Parks 47% Recreation 22% Total Proposed Budget = $2,942,046 218 Senior Services 8% Community Services 12% General Fund Community Services Department Program Name Administration Community Events Fountain Home Delivered Meals Open Space Operations Special Interest Programs Sports Activities Volunteers Youth & Teen Programs Total FY17-18 Actual $ 527,950 165,798 150,662 45,606 11,172 1,200,355 16,087 39,293 85,739 20,928 $ 2,263,590 Expenditures by Program FY18-19 FY19-20 Actual Revised Budget $ 575,913 $ 697,601 175,152 175,873 121,176 173,217 50,023 67,010 12,300 45,330 1,214,704 1,338,476 16,092 15,878 38,611 52,520 76,382 93,516 23,314 29,940 $ 2,303,667 $ 2,689,361 FY20-21 Proposed Budget $ 708,286 189,575 175,515 85,433 58,910 1,518,945 15,878 52,520 107,044 29,940 $ 2,942,046 Variance Explanations: Home Delivered Meals: Budget was increased to allow for more meals. Open Space: Budget was increased to include the new Adero Trailhead costs. Use of Funds - Community Services - By Program Where does the money go? Sports Activities 2% Volunteers 4% Operations 53% Open Space 2% Home Delivered Meals 3% Administration 24% Fountain 6% Community Events 6% Total Proposed Budget = $2,942,046 219 General Fund Community Services Department Expenditures by Category FY17-18 Actual Category Wages Employment Taxes Benefits Dues & Memberships Meetings and Training Maintenance and Repair Utilities Contractual Services Supplies Equipment Damages/Vandalism Internal Service Contingency Capital Expenditures Total $ 926,782 38,037 189,782 6,726 7,981 181,623 324,420 385,613 105,476 47,386 1,983 47,781 $ 2,263,590 FY18-19 Actual $ 976,409 41,651 208,141 9,045 10,053 146,401 286,572 410,268 116,336 31,548 2,729 41,456 23,058 $ 2,303,667 FY19-20 Revised Budget $ 1,071,854 46,370 226,676 7,160 18,665 172,973 374,888 526,122 154,847 9,700 2,100 53,006 25,000 $ 2,689,361 FY20-21 Proposed Budget $ 1,153,557 58,824 269,841 7,224 19,650 183,819 390,516 521,615 173,046 9,700 2,100 67,154 25,000 60,000 $ 2,942,046 Variance Explanations: Employment Taxes: Budget was increased due to an increase in worker’s compensation rates. Internal Service: The increase is from the newly created Information Technology Replacement fund. Capital Expenditures: Budget supplements were added for a new vehicle and UV system for the splashpad in Fountain Park. Use of Funds - Community Services - By Category Where does the money go? Contractual Services 19% Maintenance and Repair 6% Capital Expenditures 2% Utilities 13% Benefits 9% Wages 41% Employment Taxes 2% Total Proposed Budget = $2,942,046 220 Supplies 6% Internal Service 2% General Fund Community Services Department FY17-18 Actual Program Name Total Revenues Total Expenses Total $ 359,714 2,263,590 $ (1,903,876) Operating Results FY18-19 FY19-20 Actual Revised Budget $ 338,441 $ 370,213 2,303,667 2,689,361 $ (1,965,226) $ (2,319,148) FY20-21 Proposed Budget $ 390,078 2,942,046 $ (2,551,968) FY19-20 Department Accomplishments Initiative Strategic Value Continue Four Peaks Park Renovation Goal #1, Objective #3; Goal #3, Objective #2; Goal #2, Objective #1 Evaluate Community Center space for most efficient use Goal #1, Objective #3; Goal #3, Objective #2 Continue to increase the number of special events Goal #1, Objective #3 Organize specialty youth programs Goal #3, Objective #2 Continue to participate in the Youth Coalition Goal #5, Objective #1 Continue to Support Youth Sports Club Goal #3, Objective #2 Expand the use of social media to promote activities and events Goal #3, Objective #2 FY20-21 Objectives Initiative Strategic Value Continue Four Peaks Park Renovation; complete new basketball court Implement Community Services Parks, Trails, and Recreation Master Plan Goal #1, Objective #3; Goal #2, Objective #1; Goal #3, Objective #2 Estimated Cost/Funding Source $150,000/CIP; in addition to $85,000 AZSTA Grant funding and $85,000 CIP Goal #2, Objective #1; CS Vision #2, Task #1a(v) $65,000/Development Fees and General Fund Enlist assistance from the CSAC to spearhead efforts in growing programs Goal #1, Objective #3; CS Vision #1, Task #5(c) $0 Enhance/re-establish Docent/ Volunteer training Goal #1, Objective #3; CS Vision #3, Task #2(a) $0 Expand tournament and club offerings (youth and adult) Goal #3, Objective #2; CS Vision #2, Task#3(a-c) Offer sensible evening and weekend programs Goal #3, Objective #2; CS Vision #1, Task 2 and Vision #4, Task #1(c) To be Determined/General Fund Continue to expand the use of social media to promote activities and events Goal #3, Objective #2; CS Vision #2, Task #2(b) and Vision #3, Task #3(a) To be Determined/General Fund To be Determined/General Fund 221 General Fund Community Services Department FY20-21 Proposed Budget Summary of Expenditures Community Services Department Description FY17-18 FY18-19 Actual Actual FY19-20 Revised Budget FY20-21 Proposed Budget $ $ General Fund Salaries-Full Time Salaries-Part Time Overtime FICA Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Allowance/Stipend Licenses/Filing Fees Dues, Subscript & Publicat Meetings & Training Boards & Commissions Building Maint/Repair HVAC Repair Plumbing Repair Electrical Repair/Maint Fire Protection Systems Grounds Maint/Repair Irrigation Repair Backflow Testing & Maintenance Storm Damage/Cleanup Equipment Maint/Repair Vehicle Maint/Repair Office Equip Maint/ Repair Other Maint/Repair Striping Sidewalk/Pathway Repair Sign Repair & Replacement Painting Lighting Repair Electricity Expense Refuse/Recycling Telecommunications Water/Sewer Gas & Oil Professional Fees Instructor Fees Insurance Expense Rentals & Leases Printing Expense 222 $ 731,358 194,191 1,233 12,101 13,176 11,935 825 89,438 6,921 1,106 2,464 80,571 736 1,572 6,975 2,136 4,590 7,786 195 2,749 150 2,118 20,650 1,221 12,534 25,460 672 20,465 10,025 3,444 28,681 1,302 8,857 5,369 5,978 31,947 196,266 5,124 5,916 105,959 11,155 24,758 36,499 31,264 2,861 $ 772,989 202,327 1,092 12,589 13,790 14,529 744 102,321 7,473 1,238 3,143 84,116 787 1,415 7,650 2,714 6,332 9,683 370 380 107 528 16,846 1,221 40,592 17,829 2,931 326 16,194 5,258 3,274 12,216 408 6,094 2,144 20,052 181,196 4,904 6,102 82,618 11,752 23,860 39,244 36,416 3,361 838,149 233,705 14,301 15,707 15,638 725 109,836 8,364 1,297 3,549 92,195 930 1,595 8,910 2,240 4,920 18,090 575 1,300 1,400 2,700 5,950 2,440 27,600 15,400 2,450 31,790 11,010 6,624 30,800 2,380 6,575 6,850 1,804 15,900 230,642 6,380 5,754 112,500 19,612 58,740 48,165 54,677 4,355 905,424 248,133 15,172 16,894 23,530 3,228 135,474 10,843 1,780 9,617 99,597 1,030 1,600 9,900 2,240 4,984 19,075 575 1,300 1,400 2,700 5,950 2,440 28,300 15,400 2,450 31,790 11,010 7,020 40,550 2,380 6,575 6,850 1,804 15,900 234,940 6,380 6,084 123,500 19,612 33,740 49,341 2,500 42,061 4,355 General Fund Community Services Department FY20-21 Proposed Budget Summary of Expenditures Community Services Department FY17-18 Actual Description General Fund-continued Advertising/Signage Contractual Services Constituent Communication Bank/Merc Acct Fees Community Contracts/Events Landscape Contracts ActiveNet Fees Office Supplies Cleaning/Janitorial Supplies Safety Supplies Operating Supplies Food & Beverage Supplies Program Materials Uniforms Postage & Delivery Miscellaneous Expense Small Tools Hardware/Peripherals Furniture/Appliances Equipment Damages/Vandalism ISF-Copier Charges ISF-Mail Service Charges ISF-Vehicle Replacement Charge ISF-Motor Pool Charges ISF- Technology Replacement ISF-Telecom Charges Contingency Vehicles Furniture/Appliances Park Improvements Total Community Services FY18-19 Actual FY19-20 Revised Budget FY20-21 Proposed Budget $ 1,763 37,001 30,431 6,001 90,626 116,316 8,095 2,552 15,489 540 30,728 10,992 41,080 3,728 368 4,654 1,317 14,433 26,981 1,983 1,962 432 38,509 52 6,824 - $ 716 42,815 27,474 5,737 101,046 120,529 9,069 2,513 13,464 802 48,572 11,141 36,190 2,980 661 13 2,726 3,775 482 24,565 2,729 2,385 39,070 23,058 - $ 4,100 62,200 33,990 6,705 98,098 145,009 10,083 4,351 13,429 1,100 76,538 10,620 44,410 3,679 720 4,500 5,200 2,100 1,922 50,961 122 25,000 - $ 4,100 76,750 33,990 6,705 98,800 159,190 10,083 4,350 23,179 1,100 76,538 12,620 50,410 4,129 720 4,500 5,200 2,100 1,922 44,658 387 20,187 25,000 25,000 35,000 $ 2,263,590 $ 2,303,667 $ 2,689,361 $ 2,942,046 223 General Fund Community Services Department Community Services Division Community Services Division Service Delivery Plan The Community Services Division, through its administrative services, provides direction to and clerical support for the Department by the Community Services Director and executive assistant and manages the Volunteer program. FY17-18 Actual Program Name Administration Volunteers Total $ $ 185,182 85,739 270,921 Expenditures by Program FY18-19 FY19-20 Actual Revised Budget $ 188,705 $ 234,329 76,382 93,516 $ 265,087 $ 327,845 FY20-21 Proposed Budget $ 233,924 107,044 $ 340,968 Use of Funds - Community Services - By Program Where does the money go? Administration 69% Volunteers 31% Total Proposed Budget = $340,968 Expenditures by Category FY17-18 Actual Category Wages Employment Taxes Benefits Dues & Memberships Meetings and Training Maintenance and Repair Utilities Contractual Services Supplies Equipment/Improvements Internal Service Total 224 $ $ 181,643 2,765 50,868 105 2,947 2,193 1,061 6,328 18,210 39 4,759 270,918 FY18-19 Actual $ $ 183,922 2,938 45,177 42 6,129 1,734 869 8,790 11,915 50 3,521 265,087 FY19-20 Revised Budget $ 208,053 3,501 52,534 51 4,475 2,720 600 35,575 16,761 3,575 $ 327,845 FY20-21 Proposed Budget $ 223,349 4,133 67,890 50 5,925 2,720 600 13,075 16,760 6,466 $ 340,968 General Fund Community Services Department Community Services Division Variance Explanations: Benefits: Amounts were increased to include family coverage. Contractual Services: FY19-20 included a budget supplement for a parks/ programs/facilities study. Use of Funds - Community Services - By Category Where does the money go? Wages 66% Benefits 21% Meetings and Training 2% Internal Service 2% Contractual Services 4% Supplies 5% Total Proposed Budget = $340,968 Activities/Results Performance Measures FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Continue to serve as staff liaison to the two advisory commissions. 18 18 18 18 Continue to support commission and Council joint meetings. 2 1 1 1 Prepare/post commission meeting agendas both pre and post meetings. 36 36 36 36 Prepare commission meeting minutes and post approved meeting minutes 18 18 18 18 FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Continue to provide support for various improvements to the parks. Yes Yes Yes Yes Administer contracts for various capital projects. 2 2 3 3 Quality 225 General Fund Community Services Department Community Services Division Productivity Monitor number of trail users FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target 15,000+ 20,000+ 25,000+ 26,000+ FY20-21 Proposed Budget Summary of Expenditures Community Services Division Description General Fund Salaries-Full Time Overtime Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Allowance/Stipend Dues, Subscript & Publicat Meetings & Training Boards & Commissions Vehicle Maint/Repair Office Equip Maint/Repair Telecommunications Gas & Oil Professional Fees Insurance Expense Rentals & Leases Printing Expense Advertising/Signage Constituent Communication Community Events Office Supplies Cleaning/Janitorial Supplies Operating Supplies Food & Beverage Supplies Program Materials Postage & Delivery Hardware/Peripherals ISF-Copier Charges ISF-Mail Service Charges ISF-Vehicle Replacement Charge ISF-Motor Pool Charges ISF-Technology Replacement ISF-Telecom Charges Total Community Services 226 FY17-18 Actual FY18-19 Actual FY19-20 Revised Budget FY20-21 Proposed Budget $ 131,836 1,676 204 47 20,852 1,658 280 404 14,502 134 96 60 2,247 195 29 2,164 784 279 3,368 470 467 13 14 15 16 17 18 19 20 478 $ 137,989 19 1,832 230 92 15,280 1,186 191 534 15,181 133 101 5,502 370 1,651 653 216 3,371 170 167 683 115 5 50 71 2,913 - $ 197,793 2,905 354 72 22,958 1,846 280 826 21,758 216 145 1,485 7 3,705 575 500 2,220 600 25,400 3,600 75 200 678 4,800 1,090 860 7,500 6,800 368 489 3,004 10 - $ 223,349 3,254 552 327 36,241 2,937 468 2,371 24,569 254 150 900 50 5,350 575 500 2,220 600 400 2,500 3,600 75 200 1,500 4,800 1,100 860 7,500 6,800 500 560 3,107 48 2,751 - $ 182,362 $ 188,705 $ 313,119 $ 340,968 General Fund Community Services Department Community Services Division VOLUNTEER PROGRAM Our Fountain Hills Volunteers believe that one of the defining characteristics of our community is our resident’s commitment to service. This commitment is demonstrated through the energy, skills, enthusiasm, vision, and support that they bring to our Town. Our Volunteers deliver meals to homebound residents with the Home Delivered Meals program, and provide transportation for medical appointments for disabled and/or over 65 year old residents with the Give a Lift program. They also take part in assisting with our Special Events such as Turkey Trot, The Irish Fountain Festival, and The Fountain Hills Arts & Craft Fairs... just to name a few. In addition, our Fountain Hills Volunteers provide assistance to residents and visitors at Town Hall and the Community Center reception desks. They lead instruction in our various Senior Service programs, provide trail maintenance through the Trailblazer program, assist the Docent lead Art Walk program and provide help and support during times of emergency with the Crisis Support Team. Many of them also utilize their professional skills to assist with projects for the Development Services and Administration departments. 227 General Fund Community Services Department Community Center Division Community Center Division Service Delivery Plan The Community Center strives to enhance the quality of life of Fountain Hills residents by providing and maintaining a safe, available, and accessible facility that will meet the needs of all residents. Program Name Operations Total FY17-18 Actual $ 240,316 240,316 Expenditures by Program FY18-19 FY19-20 Actual Revised Budget 274,785 286,623 $ 274,785 $ 286,623 FY20-21 Proposed Budget 314,486 $ 314,486 Expenditures by Category FY17-18 Actual Category Wages Employment Taxes Benefits Dues & Memberships Meetings and Training Maintenance and Repair Utilities Contractual Services Supplies Equipment Internal Service Total $ $ 175,708 $ 9,505 24,004 902 (83) 1,138 7,150 1,930 17,838 2,224 240,316 $ FY18-19 Actual 219,072 13,116 26,279 2,246 1,648 1,848 4,427 2,597 3,484 68 274,785 FY19-20 Revised Budget $ 219,939 12,306 27,685 852 2,000 2,304 2,064 11,806 3,600 4,000 67 $ 286,623 Variance Explanations: Benefits: Amounts were increased to include family coverage. 228 FY20-21 Proposed Budget $ 233,536 15,255 33,836 852 2,000 2,700 2,064 12,166 3,600 4,000 4,477 $ 314,486 General Fund Community Services Department Community Center Division Use of Funds - Community Center - By Category Where does the money go? Employment Taxes 5% Wages 79% Benefits 12% Total Proposed Budget = $314,486 Contractual Services 4% Activities/Results Performance Measures FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target N/A N/A Good Good N/A 50% 50% FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Number of bookings 4,295 4,350 4,415 4,415 Number of patrons served 81,826 84,000 85,260 85,260 FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target $9.82 $11.22 $11.71 $12.85 To attain a high overall satisfaction rating (good or better) with quality on rental evaluations To achieve a high return rate on rental surveys N/A Quality Productivity Net operating costs of facility per capita 229 General Fund Community Services Department Community Center Division FY20-21 Proposed Budget Summary of Expenditures Community Center Description General Fund Salaries-Full Time Salaries-Part Time FICA Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Allowance/Stipend Licenses/Filing Fees Dues, Subscript & Publicat Meetings & Training Office Equip Maint/ Repair Sign Repair & Replacement Telecommunications Professional Fees Rentals & Leases Printing Expense Advertising/Signage Constituent Communication Bank/Merc Acct Fees ActiveNet Fees Office Supplies Cleaning/Janitorial Supplies Operating Supplies Food & Beverage Supplies Program Materials Uniforms Small Tools Hardware/Peripherals Furniture/Appliances Equipment ISF-Vehicle Replacement Charge ISF-Motor Pool Charges ISF-Technology Replacement ISF-Telecom Charges Total Community Center 230 FY17-18 Actual $ $ FY18-19 Actual 104,990 $ 70,718 4,411 2,556 2,368 169 10,621 788 138 361 11,549 109 439 575 327 (83) 1,138 3,534 62 1,281 1,283 990 264 42 252 351 565 455 869 754 13,792 2,424 60 2,164 240,316 $ FY19-20 Revised Budget FY20-21 Proposed Budget 116,613 102,461 6,386 3,182 3,347 200 11,345 852 154 479 12,827 120 426 75 1,304 942 1,245 403 1,848 2,460 1,102 865 214 58 269 606 938 512 347 3,137 68 - $ 124,935 95,004 5,784 3,197 3,134 191 11,698 918 158 529 13,743 139 500 700 152 2,000 2,304 2,064 300 4,056 130 3,500 1,500 1,320 1,000 450 1,000 550 1,000 600 4,000 51 16 - $ 126,535 107,001 6,510 3,406 4,493 846 15,642 1,176 211 1,344 13,919 144 500 900 700 152 2,000 2,700 2,064 300 4,416 130 3,500 1,500 1,320 1,000 450 1,000 550 1,000 600 4,000 45 48 4,384 - 274,785 $ 286,623 $ 314,486 General Fund Community Services Department Parks Division Parks Division Service Delivery Plan The Parks Division staff is dedicated to providing safe, clean and green parks that will meet the intellectual, social, cultural, and leisure needs of all park patrons. The Town’s park system has been developed to enhance the quality of life of Fountain Hills residents with hiking trails and park facilities for youth and adult sports programs, youth and teen programs, special events, and facility rentals. Each year, our experienced staff works to meet the goals through efficient park maintenance and operations methods. Location Name Town Hall Avenue of the Fountains Plaza Fountain Park Golden Eagle Park Four Peaks Park Desert Vista Park Open Space/Trails Total FY17-18 Actual $ 83,229 84,162 367,700 290,389 113,522 104,869 11,172 $ 1,055,043 Expenditures by Location FY18-19 FY19-20 Actual Revised Budget $ 94,394 $ 99,632 71,319 124,060 346,325 440,748 313,256 294,371 135,288 128,329 73,348 91,625 12,300 45,330 $ 1,046,230 $ 1,224,095 FY20-21 Proposed Budget $ 103,761 126,709 584,356 290,908 134,407 92,398 58,910 $ 1,391,449 Variance Explanations: Fountain Park: A budget supplement was added for an additional park operations lead, including a vehicle and a new UV system for the splashpad. Open Space/Trails: costs. Budget was increased to include the new Adero Trailhead Uses of Funds - Parks - By Location Where does the money go? Fountain Park 42% Golden Eagle Park 21% Avenue of the Fountains Plaza 9% Town Hall 7% Open Space/Trails 4% Four Peaks Park 10% Desert Vista Park 7% Total Proposed Budget = $1,391,449 231 General Fund Community Services Department Parks Division Program Name Administration Fountain Open Space Operations Total FY17-18 Actual $ 83,229 150,662 11,171 809,981 $ 1,055,043 Expenditures by Program FY18-19 FY19-20 Actual Revised Budget $ 94,394 $ 99,632 121,176 173,217 12,300 45,330 818,360 905,916 $ 1,046,230 $ 1,224,095 FY20-21 Proposed Budget $ 103,761 175,515 58,910 1,053,263 $ 1,391,449 Variance Explanations: Open Space: Budget was increased to include the new Adero Trailhead costs. Uses of Funds - Parks - By Program Where does the money go? Operations 76% Fountain 13% Administration 7% Open Space 4% Total Proposed Budget = $1,391,449 232 General Fund Community Services Department Parks Division Expenditures by Category FY17-18 Actual Category Wages Employment Taxes Benefits Dues & Memberships Meetings and Training Maintenance and Repair Utilities Contractual Services Supplies Equipment Damages/Vandalism Internal Service Capital Expenditures Total $ 233,687 8,187 69,204 1,125 3,413 176,890 317,089 137,289 45,972 24,213 1,983 35,991 $ 1,055,043 FY18-19 Actual $ 249,974 9,322 74,905 765 2,694 139,488 277,813 143,330 63,822 22,502 2,729 35,828 23,058 $ 1,046,230 FY19-20 Revised Budget $ 262,047 10,011 77,547 1,040 8,390 164,299 366,584 190,156 89,507 4,500 2,100 47,914 $ 1,224,095 FY20-21 Proposed Budget $ 309,312 15,062 102,887 1,105 7,925 174,749 382,212 184,837 99,707 4,500 2,100 47,053 60,000 $ 1,391,449 Variance Explanations: Employment Taxes: Budget was increased due to an increase in worker’s compensation rates. Benefits: Amounts were increased to include family coverage. Capital Expenditures: Budget supplements were added for a new vehicle and UV system for the splashpad in Fountain Park. Uses of Funds - Parks - By Category Where does the money go? Maintenance and Repair 13% Utilities 28% Benefits 7% Wages 25% Contractual Services 13% Supplies 7% Internal Service 3% Capital Expenditures Total Proposed Budget = $1,391,449 233 General Fund Community Services Department Parks Division FY20-21 Proposed Budget Summary of Expenditures Parks Description FY17-18 FY18-19 FY19-20 FY20-21 Actual Actual Revised Budget Proposed Budget General Fund Salaries-Full Time Overtime Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Allowance/Stipend Licenses/Filing Fees Dues, Subscript & Publicat Meetings & Training Building Main/Repair HVAC Repair Plumbing Repair Electrical Repair/Maint Fire Protection Systems Grounds Maint/Repair Irrigation Repair Backflow Testing & Maintenance Storm Damage Cleanup Equipment Maint/Repair Vehicle Maint/Repair Other Maint/Repair Striping Sidewalk/Pathway Repair Sign Repair & Replacement Painting Lighting Repair Electricity Expense Refuse/Recycling Telecommunications Water/Sewer Gas & Oil Professional Fees Rentals & Leases Printing Expense Contractual Services Bank/Merc Acct Fees Community Events 234 $ 232,572 1,115 3,306 4,728 153 36,262 2,518 416 809 25,706 240 254 3,000 795 330 3,413 2,749 150 2,118 20,650 1,221 12,534 25,460 672 20,465 8,906 28,681 1,302 8,857 5,199 5,978 31,947 196,266 4,920 2,869 105,959 7,075 10,765 6,445 1,937 1,112 66 $ 248,919 1,052 3,510 5,696 116 39,422 2,790 442 1,034 27,405 259 254 3,300 550 215 2,694 380 107 528 16,846 1,221 40,592 17,829 2,931 326 16,194 3,893 12,216 408 3,821 2,144 20,052 181,196 4,904 2,807 82,618 6,288 8,499 10,172 2,965 626 - $ 262,047 3,855 6,032 124 40,054 2,973 446 1,110 28,824 290 250 3,600 590 450 8,390 1,300 1,400 2,700 5,950 2,440 27,600 15,400 2,450 30,290 10,510 30,800 2,380 6,575 6,800 1,804 15,900 230,642 6,380 2,850 112,500 14,212 13,900 20,380 2,900 6,500 772 - $ 309,312 4,556 9,854 652 55,727 4,094 602 3,288 34,023 353 300 4,500 590 515 7,925 1,300 1,400 2,700 5,950 2,440 28,300 15,400 2,450 30,290 10,510 40,550 2,380 6,575 6,800 1,804 15,900 234,940 6,380 3,180 123,500 14,212 13,900 7,380 2,900 772 - General Fund Community Services Department Parks Division FY20-21 Proposed Budget Summary of Expenditures Parks FY17-18 Actual Description General Fund-continued Landscape Contracts ActiveNet Fees Office Supplies Cleaning/Janitorial Supplies Safety Supplies Operating Supplies Food & Beverage Supplies Program Materials Uniforms Postage & Delivery Small Tools Hardware/Peripherals Furniture/Appliances Equipment Damages/Vandalism ISF-Copier Charges ISF-Mail Service Charges ISF-Vehicle Replacement Charge ISF-Motor Pool Charges ISF-Technology Replacement ISF-Telecom Charges Vehicles Furniture/Equipment Park Improvements Total Parks $ $ FY18-19 Actual 116,316 $ 649 262 15,405 540 27,701 117 1,921 25 3,758 46 (245) 20,653 1,983 399 1 35,114 478 1,055,043 $ FY19-20 Revised Budget FY20-21 Proposed Budget 120,529 539 13,332 802 47,644 464 1,578 2 2,726 186 19,591 2,729 138 35,691 23,058 - $ 145,009 695 100 13,279 1,100 72,353 120 300 2,250 5 4,500 2,100 315 47,599 - $ 159,190 695 100 23,029 1,100 72,353 120 300 2,700 5 4,500 2,100 315 41,234 5,504 25,000 35,000 1,046,230 $ 1,224,095 $ 1,391,449 235 General Fund Community Services Department Parks Division Activities/Results Performance Measures FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Maintain a high overall satisfaction rating (good or better) of maintenance/operations Good Good Good Good Number of Special Events hosted in parks 35 35 35 35 Number of Tournaments 11 8 8 11 Appearance/availability Good Good Good Good FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Restrooms serviced and cleaned 365 days 365 days 365 days 365 days Ramadas cleaned and serviced 365 365 365 365 Trails maintained and ready for use daily 365 365 365 365 Trailhead promotions with brochures, maps and Town website 365 365 365 365 FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target $39.70 $38.88 $45.93 $52.60 319/55,691 325/60,000 325/60,000 325/60,000 50,000+ 55,000+ 55,000+ 55,000+ Quality Productivity Net expenditures for park operation per capita* Park rental/revenue Fountain Hills Hiking Trail visitors Fountain Hills Recreation Statistics:       236 119 Acres of Developed Parks 822 Acres of Mountain Preserve Park 8 Acres of Botanical Garden Preserve 83.2 Acres of Lake Overlook Trail Preserve 7.7 Miles of Preserve Trails 8.7 Miles of Urban Trails (FIT) General Fund Community Services Department Recreation Division Recreation Division Service Delivery Plan The Recreation Division strives to enhance the quality of life for Fountain Hills residents by providing recreation services that will meet the intellectual, social, cultural, and leisure needs of all residents. Program activities include: special interest classes, youth and adult sports programs, youth and teen programs, special events, and facility rentals. Expenditures by Program FY17-18 Actual Program Name Administration Community Events Special Interest Programs Sports Activities Youth & Teen Programs Total $ $ 259,539 165,799 16,087 39,293 20,927 501,645 FY18-19 Actual $ $ 292,817 175,152 16,093 38,611 23,314 545,987 FY19-20 Revised Budget $ 363,640 175,873 15,878 52,520 29,940 $ 637,851 FY20-21 Proposed Budget $ 370,601 189,575 15,878 52,520 29,940 $ 658,514 Use of Funds - Recreation - By Program Where does the money go? Administration 56% Community Events 29% Special Interest Programs 2% Total Proposed Budget = $658,514 Youth & Teen Programs 5% Sports Activities 8% 237 General Fund Community Services Department Recreation Division Expenditures by Category FY17-18 Actual Category Wages Employment Taxes Benefits Dues & Memberships Meetings and Training Maintenance and Repair Utilities Contractual Services Supplies Equipment Internal Service Contingency Total $ $ 199,012 10,677 35,480 3,373 1,597 1,260 5,131 203,684 35,609 2,811 3,011 501,645 FY18-19 Actual $ $ 223,837 11,957 42,093 4,542 1,230 2,777 6,042 215,257 34,198 2,084 1,970 545,987 FY19-20 Revised Budget $ 257,987 14,409 48,917 4,567 3,600 1,500 5,640 237,094 37,754 1,383 25,000 $ 637,851 FY20-21 Proposed Budget $ 261,933 17,731 43,478 4,567 3,600 1,500 5,640 242,796 45,754 6,515 25,000 $ 658,514 Variance Explanations: Supplies: Budget supplement was added to additional Turkey Trot shirts due to increased registrations. Internal Service: The increase is from the newly created Information Technology Replacement fund. Use of Funds - Recreation - By Category Where does the money go? Employment Taxes 3% Benefits Wages 43% 8% Contractual Services 42% Contingency 4% Total Proposed Budget = $658,514 238 General Fund Community Services Department Recreation Division Activities/Results Performance Measures FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target 88% % 92% % 38% % 40% % FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Number of individual program participants1 2,737 2,766 2,850 2,900 Number of team sport participants 345 315 600 650 Number of teen trip/teen activity participants 378 492 500 550 Number of volunteer hours in support of Town recreation programs2 826 1120 1,000 1,050 Number of youth sport, Boys and Girls Club, and FHUSD facility bookings 1,397 1,771 1,700 1,750 FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target $9.89 $10.34 $11.20 $11.76 To attain a High overall satisfaction rating (good or better) with the quality of Town recreation programs in post-program evaluations To achieve a high return rate on recreation program surveys Quality Productivity Net operating costs of recreation programs per capita3 1 Does not include participations at special events or teen drop in programs Volunteer hours are estimated 3 Population based on U.S. Census 2016 estimate 2 239 General Fund Community Services Department Recreation Division FY20-21 Proposed Budget Summary of Expenditures Recreation Description FY17-18 FY18-19 FY19-20 FY20-21 Actual Actual Revised Budget Proposed Budget General Fund Salaries-Full Time Salaries-Part Time Overtime FICA Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Allowance/Stipend Licenses/Filing Fees Dues, Subscript & Publicat Meetings & Training Equipment Maint/Repair Vehicle Maint/Repair Sign Repair & Replacement Refuse/Recycling Telecommunications Gas & Oil Professional Fees Instructor Fees Rentals & Leases Printing Expense Advertising/Signage Contractual Services Constituent Communication Bank/Merc Acct Fees Community Events ActiveNet Fees Office Supplies Operating Supplies Food & Beverage Supplies Program Materials Uniforms Postage & Delivery Small Tools Hardware/Peripherals Furniture/Appliances Equipment ISF-Copier Charges ISF-Mail Service Charges ISF-Vehicle Replacement Charge ISF-Motor Pool Charges ISF-Technology Replacement ISF-Telecom Charges Contingency Total Recreation 240 $ 143,140 55,754 118 3,481 2,909 4,006 281 15,054 1,112 186 493 15,745 141 423 2,325 454 2,919 1,597 1,090 170 204 1,126 3,801 13,161 36,499 17,792 312 482 14,700 24,340 2,912 90,561 2,925 259 34 1,656 32,309 1,352 27 450 777 1,557 1,168 69 286 52 1,436 - $ 167,021 56,796 20 3,536 3,221 4,998 201 19,467 1,329 218 641 17,433 161 369 2,475 398 4,144 1,230 1,366 1,411 794 5,248 14,294 38,604 19,122 156 421 15,450 22,514 3,179 97,690 3,827 208 2,304 30,776 890 19 247 1,837 1,763 207 - $ 183,971 74,016 4,506 3,787 5,878 238 22,681 1,580 237 779 20,236 204 500 2,700 400 4,167 3,600 1,500 840 4,800 17,880 46,800 26,485 1,100 400 16,800 26,700 3,423 93,298 4,208 700 550 35,595 829 80 1,047 256 80 25,000 $ 186,328 75,605 4,600 3,842 8,322 967 15,642 1,657 343 1,978 20,497 211 450 2,700 400 4,167 3,600 1,500 840 4,800 17,880 46,800 26,485 1,100 400 21,800 26,700 3,423 94,000 4,208 700 2,550 41,595 829 80 1,047 227 243 4,998 25,000 $ 501,645 $ 545,985 $ 637,851 $ 658,514 General Fund Community Services Department Senior Services Division Senior Services Division Service Delivery Plan Provide meeting space to members for programs and presentations. Coordinate meeting schedule with support groups and other social services for the community. Provide a mobility medical equipment loaner program to Town residents. Deliver a quality noon-time meal to Town residents who require assistance in obtaining nutritional meals. FY17-18 Actual Program Name Home Delivered Meals Operations Total $ 45,606 150,059 195,665 Expenditures by Program FY18-19 FY19-20 Actual Revised Budget 50,023 67,010 121,559 145,937 $ 171,582 $ 212,947 FY20-21 Proposed Budget 85,433 151,196 $ 236,629 Variance Explanations: Home Delivered Meals: Budget was increased to allow for more meals. Use of Funds - Senior Services- By Program Where does the money go? Operations 64% Home Delivered Meals 36% Total Proposed Budget = $236,629 241 General Fund Community Services Department Senior Services Division FY17-18 Actual Category Wages Employment Taxes Benefits Dues & Memberships Meetings and Training Maintenance and Repair Contractual Services Supplies Equipment Internal Service Total $ $ 136,731 6,903 10,226 1,221 25 1,364 31,162 3,755 2,483 1,795 195,665 Expenditures by Category FY18-19 FY19-20 Actual Revised Budget $ 99,605 $ 123,828 4,319 6,143 19,688 19,993 1,451 650 200 755 2,150 38,464 51,491 3,804 7,225 3,428 1,200 68 67 $ 171,582 $ 212,947 FY20-21 Proposed Budget $ 125,427 6,643 21,750 650 200 2,150 68,741 7,225 1,200 2,643 $ 236,629 Variance Explanations: Contractual Services: Budget was increased to allow for more meals. Use of Funds - Senior Services- By Category Where does the money go? Employment Taxes 4% Wages 77% Benefits 13% Maintenance and Repair 2% Supplies 4% Total Proposed Budget = $236,629 242 General Fund Community Services Department Senior Services Division Activities/Results Performance Measures FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Number of members 1,254 1,312 1,350 1,375 Maintain a high overall satisfaction rating (good or better) of meal quality Good Good Good Good FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target 22,314 20,902 21,000 22,000 365 365 365 365 FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target 63 63 65 65 37 36 35 36 6 6 6 6 15 15 15 14 3,093 3,562 4,500 4,800 Number of clients participating in HDM program 38 46 60 65 Number of pieces of medical equipment loaned out N/A 128 140 150 Quality Number of attendees to senior programs And presentations Number of days per year meals delivered Productivity Number of senior programs offered Number of special guest speaker presentations offered Number of socialization activities/special events offered Number of support groups & social services offered Number of meals delivered annually 243 General Fund Community Services Department Senior Services Division FY20-21 Proposed Budget Summary of Expenditures Senior Services Description FY17-18 FY18-19 Actual Actual FY19-20 Revised Budget FY20-21 Proposed Budget General Fund Salaries-Full Time Salaries-Part Time FICA Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Allowance/Stipend Licenses/Filing Fees Dues, Subscript & Publicat Meetings & Training Office Equip Maint/Repair Office Equip Maint/ Repair Sign Repair & Replacement Professional Fees Instructor Fees Rentals & Leases Printing Expense Advertising/Signage Contractual Services Constituent Communication Bank/Merc Acct Fees ActiveNet Fees Office Supplies Cleaning/Janitorial Supplies Operating Supplies Food & Beverage Supplies Program Materials Postage & Delivery Hardware/Peripherals Furniture/Appliances Equipment ISF-Mail Service Charges ISF-Vehicle Replacement Charge ISF-Motor Pool Charges ISF-Technology Replacement ISF-Telecom Charges Total Senior Services 244 $ 69,013 67,718 4,208 1,995 550 150 861 419 11 224 7,592 60 309 750 312 909 25 1,364 816 125 80 22,301 3,616 694 3,530 1,079 391 1,565 719 27 109 2,347 182 60 1,554 $ 56,537 43,070 2,668 1,364 174 113 11,014 886 156 239 6,219 60 213 900 462 989 379 376 1,062 640 1,291 70 128 27,365 3,239 831 3,838 1,281 65 659 1,259 345 194 2,946 482 68 - $ 59,143 64,685 4,011 1,811 221 100 10,983 932 156 250 6,506 66 200 900 550 100 200 2,100 50 1,260 1,365 156 150 38,900 4,290 1,190 4,180 2,000 150 2,325 1,900 715 135 1,200 51 16 - $ 59,900 65,527 4,062 1,836 309 436 12,222 979 156 636 6,589 68 200 900 550 100 200 2,100 50 1,260 2,541 180 150 54,950 4,290 1,190 4,180 2,000 150 2,325 1,900 715 135 1,200 45 48 2,550 - $ 195,665 $ 171,582 $ 212,947 $ 236,629 General Fund Law Enforcement Department Law Enforcement 245 General Fund Law Enforcement Department LAW ENFORCEMENT Mission Statement The Maricopa County Sheriff’s Office (MCSO) proudly provides contractual law enforcement services to the Town of Fountain Hills by enforcing State and local laws, selective Town Ordinances and deterring criminal activity. MCSO will protect life and property, investigate criminal activity, and will work in partnership with the Town Council, staff, community leaders, and residents to resolve issues and concerns. MCSO is dedicated to providing these services to the residents of Fountain Hills and the general public in a respectful, courteous, and professional manner and is supportive of the community-based policing principles. Additionally, all sworn personnel will meet and stay current with established State training as delineated by Arizona Peace Officer Standards and Training Board (AZ POST) and the Maricopa County Sheriff’s Office as a means of reducing liability. Department Overview The Maricopa County Sheriff’s Office is a fully integrated law enforcement agency committed to being the leader in establishing the standards for providing quality law enforcement, detention and support services to the citizens of Maricopa County and to other criminal justice agencies. Under the command of Captain Larry Kratzer, twenty-two deputies are assigned to the Town of Fountain Hills. Of these, twenty deputies and six sergeants are assigned to patrol. In addition, one deputy is assigned as the School Resource Officer and one deputy is assigned as the Community Liaison to address quality of life issues, court security, and administrative duties. Additionally, there are three detectives assigned, one detective supervisor sergeant, one administrative sergeant, one Commander (Captain), one Deputy Commander (Lieutenant), and one administrative assistant. FY17-18 Actual Program Name Administration Animal Control Total 246 $ 3,768,356 24,319 $ 3,792,675 Expenditures by Program FY18-19 FY19-20 Actual Revised Budget $ 4,153,699 $ 4,785,920 $ 4,153,699 $ 4,785,920 FY20-21 Proposed Budget $ 5,029,469 $ 5,029,469 General Fund Law Enforcement Department Expenditures by Category Category Dues & Memberships Contractual Services Supplies Damages/Vandalism Internal Service Capital Expenditures Total FY17-18 Actual FY18-19 Actual $ 1,295 3,769,827 652 3,500 17,401 $ 3,792,675 $ 1,295 4,152,404 $ 4,153,699 FY19-20 Revised Budget $ 1,296 4,774,584 40 10,000 $ 4,785,920 FY20-21 Proposed Budget $ 1,296 5,018,133 40 10,000 $ 5,029,469 Use of Funds - Law Enforcement - By Category Where does the money go? Contractual Services 100% Total Proposed Budget = $5,029,469 FY17-18 Actual Program Name Total Revenues Total Expenses Total $ 37,680 3,792,675 $ (3,754,995) Operating Results FY18-19 FY19-20 Actual Revised Budget $ - $ 4,153,699 4,785,920 $ (4,153,699) $ (4,785,920) FY20-21 Proposed Budget $ 5,029,469 $ (5,029,469) 247 General Fund Law Enforcement Department FY20-21 Proposed Budget Summary of Expenditures Law Enforcement FY17-18 Actual Description General Fund Dues, Subscript & Publicat Printing Expense Advertising/Signage Intergovt Agreements Contractual Services Bank/Merc Acct Fees Law Patrol Jail Fees Animal Control Office Supplies Program Materials Rewards Program ISF-Copier Charges ISF-Mail Service Charges Furniture/Equipment Total Law Enforcement 248 FY18-19 Actual FY19-20 Revised Budget FY20-21 Proposed Budget $ 1,295 809 19,464 305 3,715,447 33,802 652 362 3,138 17,401 $ 1,295 4,090,928 41,778 19,698 - $ 1,296 700 10,000 4,675,701 67,500 20,683 40 10,000 - $ 1,296 700 10,000 4,918,265 67,500 21,668 40 10,000 - $ 3,792,675 $ 4,153,699 $ 4,785,920 $ 5,029,469 General Fund Fire & Emergency Medical Department Fire & Emergency Medical 249 General Fund Fire & Emergency Medical Department FIRE & EMERGENCY MEDICAL Mission Statement The mission of the Fire Department is to protect the safety and quality of life of residents, visitors and businesses in Fountain Hills. This mission is achieved by a commitment to exceptional service delivery in fire suppression, emergency medicine and rescue, as well as a proactive approach to fire prevention and public safety education. Department Overview Fire protection and Emergency Medical Service (EMS) are provided by a public/ private partnership between the Town and Rural Metro Corporation. The Town owns the equipment and facilities and Rural Metro supplies the personnel through a contract. The Fire Department is responsible for EMS delivery and fire suppression within the Town limits. The Fire Department is also responsible for fire prevention that includes plan review and building inspections. The Fire Department takes the lead role in emergency management and the Fire Chief serves as the Emergency Manager for the Town. The Fire Department also provides other community services such as public education, CPR classes, child safety seat checks and other safety programs. FY17-18 Actual Program Name Administration Operations Total $ 176,043 3,690,352 $ 3,866,395 Expenditures by Program FY18-19 FY19-20 Actual Revised Budget $ 180,801 $ 189,232 3,712,040 3,832,068 $ 3,892,841 $ 4,021,300 FY20-21 Proposed Budget $ 196,244 4,001,086 $ 4,197,330 Use of Funds - Fire & Emergency Medical - By Program Where does the money go? Operations 95% Administration 5% Total Proposed Budget = $4,197,330 250 General Fund Fire & Emergency Medical Department Expenditures by Category Category Dues & Memberships Meeting & Training Maintenance and Repair Utilities Contractual Services Supplies Equipment Internal Service Total FY17-18 Actual $ 3,959 46,257 21,691 3,512,228 7,641 27,265 247,354 $ 3,866,395 FY18-19 Actual $ 3,256 45,287 33,989 3,617,499 6,635 12,510 173,665 $ 3,892,841 FY19-20 Revised Budget $ 3,360 2,200 55,250 35,820 3,725,736 11,975 16,500 170,459 $ 4,021,300 FY20-21 Proposed Budget $ 3,360 2,200 55,250 35,820 3,837,638 11,975 16,500 234,587 $ 4,197,330 Variance Explanations: Internal Service: The increase is from the newly created Information Technology Replacement fund. Uses of Funds - Fire & Emergency Medical - By Category Where does the money go? Contractual Services 94% Internal Service 6% Total Proposed Budget = $4,197,330 FY17-18 Actual Program Name Total Revenues Total Expenses Total $ 111,344 3,866,395 $ (3,755,051) Operating Results FY18-19 FY19-20 Actual Revised Budget $ 110,947 $ 124,495 3,892,841 4,021,300 $ (3,781,894) $ (3,896,805) FY20-21 Proposed Budget $ 130,713 4,197,330 $ (4,066,617) 251 General Fund Fire & Emergency Medical Department FY19-20 Department Accomplishments Initiative Strategic Value Updated Emergency Operations Plan approved by Council N/A Call volume is balancing out between stations and response times are improving N/A Old Fire Station #2 was sold. Proceeds to CIP Fund. N/A FY19-20 Objectives Initiative Strategic Value Estimated Cost/Funding Source Continue to improve response times N/A $0 Develop a Continuity of Operations Plan (COOP) N/A $0 Replace extrication equipment N/A $55,000/Facilities Replacement Fund Activities/Results Performance Measures FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Complete Annual Minimum Company Standards Training 100% 100% 100% 100% Emergency Response Times (5 Minutes) 86% 88% 90% 90% FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Child Safety Seat Checks 84 58 40 60 Public Education Activities 83 133 90 100 FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target Fire Prevention Inspections 841 823 800 780 Plan Reviews 193 216 185 185 Quality Productivity 252 General Fund Fire & Emergency Medical Department FY20-21 Proposed Budget Summary of Expenditures Fire & Emergency Medical Description General Fund Dues, Subscript & Publicat Meetings & Training Building Maint/Repair Plumbing Repair Fire Protection Systems Grounds Maint/Repar Backflow Testing & Maintenance Equipment Maint/Repair Vehicle Maint/Repair Office Equip Maint/ Repair Sign Repair & Replacement Lighting Repair Electricity Expense Refuse/Recycling Telecommunications Water/Sewer Gas & Oil Professional Fees Printing Expense Intergovt Agreements Contractual Services Bank/Merc Acct Fees Landscape Contracts Office Supplies Cleaning/Janitorial Supplies Operating Supplies Food & Beverage Supplies Program Materials Uniforms Postage Small Tools Hardware/Peripherals Furniture/Appliances Equipment ISF-Copier Charges ISF-Mail Service Charges ISF-Vehicle Replacement Charge ISF-Vehicle Replacement Charge ISF-Telecom Charges Total Fire & Emergency Medical FY17-18 Actual FY18-19 Actual FY19-20 Revised Budget FY20-21 Proposed Budget $ 3,959 1,081 374 814 9,234 34,542 192 19 21,691 304 274 2,004 3,508,053 4 1,589 3,473 2 711 3,456 5,776 413 651 20,425 292 27 238,102 8,933 $ 3,256 708 609 814 120 11,031 31,636 370 1,228 4,935 1,521 26,305 864 163 2,320 3,613,295 1 856 21 4,452 146 1,047 940 29 5,659 838 6,013 160 173,504 - $ 3,360 2,200 150 14,050 40,900 150 3,000 1,080 5,040 1,500 25,200 640 900 2,500 3,721,696 550 50 6,760 1,000 3,600 15 6,500 10,000 269 170,190 - $ 3,360 2,200 150 14,050 40,900 150 3,000 1,080 5,040 1,500 25,200 640 900 2,750 3,833,348 550 50 6,760 1,000 3,600 15 6,500 10,000 269 232,651 1,667 - $ 3,866,395 $ 3,892,841 $ 4,021,300 $ 4,197,330 253 General Fund Fire & Emergency Medical Department 254 Special Revenue Funds Special Revenue Funds Streets Fund (HURF) Downtown Strategy Fund Economic Development Fund Tourism Fund Special Revenue Fund Public Art Fund Court Enhancement Fund Environmental Fund Cottonwoods Maint. Dist. Fund 255 Streets Fund (HURF) Public Works Department Streets Division Streets Fund Service Delivery Plan The Streets Division is responsible for the maintenance of traffic signals; regulatory signs; median landscape maintenance; storm debris clean up; street sweeping; street-related emergency responses; vehicle maintenance; contract administration as well as minor asphalt, curb and sidewalk repairs. The Streets (HURF) Fund, which includes a portion of Vehicle License Taxes (VLT) and transfers from the Capital Projects Fund, pays for Streets personnel and contract work for street repair. Expenditures by Program Program Name Administration Open Space Pavement Management Street Signs Traffic Signals Vehicle Maintenance Total FY17-18 Actual $ 314,509 255,891 1,748,607 46,003 188,049 58,888 $ 2,611,947 FY18-19 Actual $ 432,605 279,629 3,647,368 163,443 40,929 $ 4,563,974 FY19-20 Revised Budget $ 529,357 430,379 4,012,909 153,220 68,197 $ 5,194,062 Use of Funds - Streets - By Program Where does the money go? Pavement Management 79% Administration 10% Total Proposed Budget = $5,120,822 256 Street Signs 3% Open Space 8% FY20-21 Proposed Budget $ 537,228 409,323 3,950,165 156,631 67,475 $ 5,120,822 Streets Fund (HURF) Public Works Department Streets Division Expenditures by Category FY17-18 Actual Category Wages Employment Taxes Benefits Dues & Memberships Meetings and Training Maintenance and Repair Utilities Contractual Services Supplies Equipment Damages/Vandalism Internal Service Contingency Capital Expenditures Total $ 277,807 15,872 74,524 2,003 300 1,748,410 104,491 302,896 10,197 13,731 2,280 34,501 24,935 $ 2,611,947 FY18-19 Actual $ 318,141 20,687 82,964 2,726 410 3,631,774 94,505 307,105 14,811 15,130 6,975 32,119 36,627 $ 4,563,974 FY19-20 Revised Budget $ 396,049 27,965 112,380 8,750 3,716,365 145,086 436,552 20,701 14,500 40,000 54,769 200,000 20,945 $ 5,194,062 FY20-21 Proposed Budget $ 411,565 38,321 111,280 11,750 3,621,185 140,446 451,296 22,421 12,750 40,000 59,808 200,000 $ 5,120,822 Variance Explanations: Employment Taxes: Budget was increased due to an increase in worker’s compensation rates. Use of Funds - Streets - By Category Where does the money go? Contractual Services 10% Maintenance and Repair 73% Wages 8% Contingency 4% Total Proposed Budget = $5,120,822 Benefits 2% Utilities 3% 257 Streets Fund (HURF) Public Works Department Streets Division FY20-21 Proposed Budget Summary of Expenditures Streets Fund Description FY17-18 FY18-19 Actual Actual FY19-20 Revised Budget FY20-21 Proposed Budget $ $ Streets Fund Salaries-Full Time Overtime On Call Pay Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Allowance/Stipend Licenses/Filing Fees Dues, Subscript & Publicat Meetings & Training Building Maint/Repair HVAC Repair Plumbing Repair Electrical Repair/Maint Fire Protection Systems Grounds Maint/Repair Irrigation Repair Backflow Testing & Maintenance Drainage Maint/Repair Storm Damage Cleanup Equipment Maint/Repair Traffic Signal Maint/Repair Vehicle Maint/Repair Office Equip Maint/ Repair Other Maint/Repair Road Repair Striping Sidewalk/Pathway Repair Other Road Related Repair Sign Repair & Replacement Pavement Management Painting Lighting Repair Electricity Expense Refuse/Recycling Telecommunications Water/Sewer Gas & Oil Auditing Expense 258 $ 263,018 3,022 11,767 3,840 11,860 171 38,752 2,589 424 1,083 30,559 271 246 600 434 1,569 300 21 310 43 1,130 509 14,406 1,993 1,451 2,757 1,647 7,170 3,336 12,326 48,900 14,483 1,530,595 107,333 30,996 3,316 3,703 57,564 8,913 8,530 $ 299,697 6,909 11,536 4,398 16,144 145 42,065 2,993 491 1,138 34,876 299 203 900 382 2,344 410 1,811 80 509 127 3,367 1,889 14,307 704 2,889 12,014 3,730 5,188 20,047 54,364 3,178 96,923 3,409,880 763 30,596 2,042 4,689 42,779 14,400 9,694 389,325 6,724 5,761 22,057 147 60,189 4,572 766 1,673 43,541 437 302 900 8,750 15,000 3,000 2,000 50,000 2,500 6,110 10,000 19,300 22,625 750 1,800 50,000 70,000 32,000 3,431,280 33,620 16,200 4,956 75,910 14,400 11,460 404,754 6,811 5,984 31,682 655 55,008 4,342 672 4,331 45,262 463 302 900 11,750 15,000 3,000 2,000 50,000 5,000 6,110 10,000 11,300 14,225 750 1,800 100,000 70,000 32,000 3,300,000 28,620 16,200 5,016 76,210 14,400 11,460 Streets Fund (HURF) Public Works Department Streets Division FY20-21 Proposed Budget Summary of Expenditures Streets Fund FY17-18 Actual Description Professional Fees Legal Fees Insurance Expense Rentals & Leases Printing Expense Advertising/signage Contractual Services Landscape Contracts Traffic Signals Office Supplies Cleaning/Janitorial Supplies Safety Supplies Operating Supplies Food & Beverage Supplies Program Materials Uniforms Postage & Delivery Miscellaneous Expense Small Tools Software Hardware/Peripherals Equipment Damages/Vandalism ISF-Copier Charges ISF-Mail Service Charges ISF-Vehicle Replacement Charge ISF-Motor Pool Charges ISF-Technology Replacement ISF-Telecom Charges Contingency Furniture/Equipment Total Streets FY18-19 Actual FY19-20 Revised Budget FY20-21 Proposed Budget $ 3,966 39,003 80,398 1,304 81 45 34,560 135,009 34 291 1,440 6,123 752 1,161 156 241 1,048 6,606 6,076 2,280 1 31,450 20 3,030 24,935 $ 10,687 19,607 82,851 384 1,076 142,706 40,100 675 389 852 9,870 1,079 139 1,807 1,964 3,400 9,766 6,976 15 32,079 25 36,627 $ 30,600 54,000 104,392 13,500 175,000 47,600 2,075 500 150 15,600 500 1,876 5,250 7,500 1,750 40,000 5 54,748 16 200,000 20,945 $ 37,100 70,200 89,036 2,400 18,500 175,000 47,600 2,075 500 1,020 16,450 500 1,876 5,250 7,500 40,000 5 54,205 48 5,550 200,000 - $ 2,611,947 $ 4,563,974 $ 5,194,062 $ 5,120,822 259 Streets Fund (HURF) Public Works Department Streets Division FY17-18 Actual Program Name Total Revenues Total Expenses Total $ $ 3,460,862 2,611,947 848,915 Operating Results FY18-19 FY19-20 Actual Revised Budget $ 3,741,862 $ 3,526,902 4,563,974 5,194,062 $ (822,112) $ (1,667,160) FY20-21 Proposed Budget $ 3,704,526 5,120,822 $ (1,416,296) Activities/Results Performance Measures FY17-18 Actual FY18-19 Actual FY19-20 Estimate FY20-21 Target 95% 95% 100% 100% FY16-17 Actual FY17-18 Actual FY18-19 Estimate FY19-20 Target Total residential lane miles 265 265 265 265 Total arterial lane miles 79 79 79 79 Number of vehicles in fleet 40 40 45 45 Acreage of medians maintained 56 56 56 56 Number of Adopt-a-Street active participants 60 60 32 40 FY16-17 Actual FY17-18 Actual FY18-19 Estimate FY19-20 Target $106.69 $186.42 $212.16 $209.17 Pothole repair requests completed within two business days. Quality Productivity Net Expenditures per capita 260 Excise Tax Funds Administration Department The Town originally established an Excise Tax/Downtown Fund on August 3, 2000 for the purpose of improving the downtown area and spur economic activity. This fund had been funded through a dedicated portion of the Town’s local sales tax (0.1% of 2.9%). On April 18, 2013, the Town Council established an additional fund by splitting the original Excise Tax/Downtown Fund into two separate funds: Downtown Strategy Fund (original Excise Tax/Downtown Fund) Economic Development Fund (new) Both funds were originally funded through the dedicated 0.1% of local sales tax with a 60/40 split—60% of sales tax revenues would be allocated to the new Economic Development Fund and 40% of sales tax revenues would be allocated to the Downtown Strategy Fund. The residual fund balance of the Excise Tax/Downtown Fund as of June 30, 2013, was included with any new revenue in the Downtown Strategy Fund to be used towards Town Center infrastructure improvement and development. In January 2015, the percentage was changed to 80/20, respectively. The Economic Development Fund is now funded with 80% of the 0.1% local sales tax and will be available for any economic development purpose. 261 Downtown Strategy Fund Administration Department Economic Development Division Downtown Strategy Fund Service Delivery Plan The Downtown Strategy Fund was established to provide resources for enhancement to the downtown area through capital and economic development expenditures to enhance the downtown’s economic base. FY17-18 Actual Program Name Administration Total $ $ 56,044 56,044 FY17-18 Actual Category Maintenance and Repair Contractual Services Total $ $ 12,981 43,063 56,044 Expenditures by Program FY18-19 FY19-20 Actual Revised Budget $ 38,204 $ 46,400 $ 38,204 $ 46,400 Expenditures by Category FY18-19 FY19-20 Actual Revised Budget $ 1,079 $ 8,000 37,125 38,400 $ 38,204 $ 46,400 FY20-21 Proposed Budget $ 38,400 $ 38,400 FY20-21 Proposed Budget $ $ 38,400 38,400 Variance Explanations: Maintenance and Repair: FY19-20 included a budget transfer to purchase new banners on the Avenue of the Fountains. Use of Funds - Downtown Strategy - By Category Where does the money go? Contractual Services 100% Total Proposed Budget = $38,400 262 Downtown Strategy Fund Administration Department Economic Development Division FY20-21 Proposed Budget Summary of Expenditures Downtown Strategy Fund FY17-18 Actual Description Downtown Strategy Fund Sign Repair & Replacement Management Fees Advertising/Signage Holiday Lighting Total Downtown Strategy Fund FY18-19 Actual FY19-20 Revised Budget FY20-21 Proposed Budget $ 12,981 313 29 42,721 $ 1,079 381 36,744 $ 8,000 400 38,000 $ 400 38,000 $ 56,044 $ 38,204 $ 46,400 $ 38,400 263 Economic Development Fund Administration Department Economic Development Division Economic Development Fund Service Delivery Plan Economic Development in Fountain Hills requires a collaborative effort to ensure success. The Town of Fountain Hills plays a key role along with the business community and residents. The Town works collaboratively with the various stakeholder groups and other agencies in its effort to diversify the local economy. The Economic Development Plan is a multi-tiered approach to building a strong economic base. Creating more base jobs locally will attract more year-round residents to live, work and play in the community. Expanding the market for local businesses creates revenues that support the community’s quality of life. As revenues are generated and the economic base expands, revenues are available for basic services such as parks, recreation and roadway improvements. Expenditures by Program FY17-18 Actual Program Name Administration Total $ $ 183,332 183,332 FY18-19 Actual $ $ 224,053 224,053 FY19-20 Revised Budget $ 285,482 $ 285,482 FY20-21 Proposed Budget $ 241,270 $ 241,270 Expenditures by Category Category Wages Employment Taxes Benefits Dues & Memberships Meetings & Training Contractual Services Supplies Internal Service Total FY17-18 Actual $ $ 85,749 1,372 20,098 8,968 3,539 63,125 52 429 183,332 FY18-19 Actual $ $ 151,288 2,549 30,012 10,293 2,809 26,907 139 56 224,053 FY19-20 Revised Budget $ 208,941 3,481 41,867 9,504 6,320 15,100 200 69 $ 285,482 Variance Explanations: Wages: The decrease is from personnel allocation changes. 264 FY20-21 Proposed Budget $ 164,790 3,026 44,765 5,624 6,320 15,100 200 1,445 $ 241,270 Economic Development Fund Administration Department Economic Development Division Use of Funds - Economic Development - By Category Where does the money go? Wages 69% Benefits 20% Dues & Memberships 2% Contractual Services 6% Meetings & Training 3% Total Proposed Budget = $241,270 FY17-18 Actual Program Name Total Revenues Total Expenses Total $ $ 318,430 183,332 135,098 Operating Results FY18-19 FY19-20 Actual Revised Budget $ 354,913 $ 328,111 224,053 285,482 $ 130,860 $ 42,629 FY20-21 Proposed Budget $ 348,744 241,270 $ 107,474 FY18-19 Actual FY20-21 Target Activities/Results Performance Measures FY17-18 Actual FY19-20 Estimate Facilitate and/or recruit new base sector employment opportunities 30 jobs $1M CAPEX 25 jobs $1.5M CAPEX 50 jobs $15M CAPEX 25 jobs $1.5M CAPEX Facilitate retention or expansion of targeted existing businesses 15 jobs 62 jobs $100K CAPEX 0 jobs $0 CAPEX 30 jobs $1M CAPEX Support and structure assistance for entrepreneurial growth 2 through Arizona Business Advisors 2 through Arizona Business Advisors 1 through Arizona Business Advisors 2 through Arizona Business Advisors 265 Economic Development Fund Administration Department Economic Development Division FY20-21 Proposed Budget Summary of Expenditures Economic Development Fund Description Economic Development Fund Salaries-Full Time $ Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Allowance/Stipend Dues, Subscript & Publicat Meetings & Training Printing Expense Advertising/Signage Marketing Office Supplies Operating Supplies Postage & Delivery ISF-Copier Charges ISF-Vehicle Replacement Charge ISF-Technology Replacement ISF-Telecom Charges Total Economic Development Fund 266 $ FY17-18 Actual FY18-19 Actual FY19-20 FY20-21 Revised Budget Proposed Budget 85,749 1,213 134 24 8,548 614 124 340 9,433 89 51 900 8,968 3,539 475 62,650 52 109 81 239 $ 151,288 2,181 274 94 10,723 790 156 536 16,073 133 101 1,500 10,293 2,809 153 26,754 118 18 3 40 16 - $ 208,941 3,056 375 50 14,535 1,121 211 884 22,983 233 100 1,800 9,504 6,320 100 15,000 200 69 - $ 164,790 2,456 407 163 18,332 1,469 235 1,750 18,127 187 75 4,590 5,624 6,320 100 15,000 200 69 1,376 - 183,332 $ 224,053 $ 285,482 $ 241,270 Tourism Fund Administration Department Economic Development Division Tourism Fund Service Delivery Plan Implement a comprehensive tourism program as outlined in the Town’s Economic Development Plan. Provide a mix of marketing tools, with an emphasis on digital methods, to promote Town programs, amenities, and special events. Maintain the tourism website and provide timely analytic updates. Establish and maintain Fountain Hills as a Destination Marketing Organization with the Arizona Office of Tourism. Research grant opportunities, specific to Proposition 302 funding dispersed through the Arizona Office of Tourism, and apply annually. Program Name Tourism Total Category Wages Employment Taxes Benefits Dues & Memberships Meetings & Training Utilities Contractual Services Supplies Equipment/Improvement Internal Service Total FY17-18 Actual $ $ 206,513 206,513 FY17-18 Actual $ $ 49,343 812 12,511 8,583 1,108 506 121,916 8,327 919 2,488 206,513 Expenditures by Program FY18-19 FY19-20 Actual Revised Budget $ 235,302 $ 259,123 $ 235,302 $ 259,123 FY20-21 Proposed Budget $ 208,266 $ 208,266 Expenditures by Category FY18-19 FY19-20 Actual Revised Budget $ 51,718 $ 54,241 857 942 12,962 13,433 4,442 8,384 202 3,501 532 481 150,908 167,641 12,226 7,882 80 1,000 1,375 1,618 $ 235,302 $ 259,123 FY20-21 Proposed Budget $ 44,344 827 12,913 8,383 3,500 552 126,706 7,880 1,000 2,161 $ 208,266 Variance Explanations: Contractual Services: The decreased amount is the result of uncertainty of the estimated grants for next year. 267 Tourism Fund Administration Department Economic Development Division Use of Funds - Tourism - By Category Where does the money go? Wages 23% Contractual Services 63% Benefits 6% Dues & Memberships 4% Supplies 4% Total Proposed Budget = $208,266 FY17-18 Actual Program Name Total Revenues Total Expenses Total $ $ 75,737 206,513 (130,776) Operating Results FY18-19 FY19-20 Actual Revised Budget $ 73,996 $ 90,181 235,302 259,123 $ (161,306) $ (168,942) FY20-21 Proposed Budget $ 50,180 208,266 $ (158,086) Performance Measures FY16-17 Actual FY17-18 Actual FY18-19 Estimate FY19-20 Target Average annual website views 30,000 91,000 95,000 100,000 Average monthly social media reach 20,000 21,000 40,000 50,000 Social Media Followers (Facebook) 4570 4,700 5,426 6,000 Support overall quality of visitor experience while in Fountain Hills via visitor surveys Good Good Good Good FY16-17 Actual FY17-18 Actual FY18-19 Target FY19-20 Target 22 25 27 27 Maintain Maintain Maintain Maintain FY16-17 Actual 30,000 FY17-18 Estimate FY18-19 Target FY19-20 Target 28,000 38,000 45,000 55/45 45/55 45/55 45/55 Quality Number of special events supported Reach/ Maintain status of Destination Marketing Organization as determined by the Arizona Office of Tourism standards Productivity Total distribution of collateral (includes Visitor/ Dining Guides) Percentage of in/out of county distribution 268 Tourism Fund Administration Department Economic Development Division FY20-21 Proposed Budget Summary of Expenditures Tourism Fund Description Tourism Fund Salaries-Full Time $ Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Vision Insurance Disability Insurance Retirement Life Insurance Bonus Allowance/Stipend Licenses/Filing Fees Dues, Subscript & Publicat Meetings & Training Telecommunications Professional Fees Rentals & Leases Printing Expense Advertising/Signage Constituent Communication Bank/Merc Acct Fees Office Supplies Food & Beverage Supplies Program Materials Uniforms Postage & Delivery Software Hardware/Peripherals Equipment ISF-Copier Charges ISF-Mail Service Charges ISF-Vehicle Replacement Charge ISF-Motor Pool Charges ISF-Technology Replacement ISF-Telecom Charges Total Tourism Fund $ FY17-18 Actual FY18-19 Actual FY19-20 FY20-21 Revised Budget Proposed Budget 49,343 712 78 22 5,538 413 72 162 5,434 51 46 795 8,583 1,108 506 33,563 3,250 4,100 80,104 897 2 567 7,476 156 128 919 1,409 774 66 239 $ 51,718 745 91 21 5,723 432 78 215 5,689 54 51 720 585 3,857 203 532 37,600 111,944 1,364 415 10,474 290 1,047 3 77 1,227 147 - $ 54,241 801 119 22 5,778 461 80 230 5,968 61 45 810 8,384 3,501 481 66,142 3,550 96,448 1,501 701 500 4,086 1,000 1,595 1,000 1,401 165 52 - $ 44,344 655 118 54 6,111 490 78 470 4,878 51 25 810 8,383 3,500 552 51,683 3,550 69,973 1,500 700 500 4,086 1,000 1,594 1,000 1,400 146 156 459 - 206,513 $ 235,302 $ 259,123 $ 208,266 269 Tourism Fund Administration Department Economic Development Division GRANT TITLE: Proposition 302 Grant for Tourism—Arizona Office of Tourism GRANT NUMBER: G5201 GRANT AMOUNT AWARDED: $25,000 TOWN’S MATCH AMOUNT: $ 0 TOTAL ESTIMATED PROJECT COST: $25,000 GRANT DESCRIPTION/SCOPE: Marketing grant through the Arizona Office of Tourism. TIMEFRAME: FY20-21 GRANT JUSTIFICATION: Grant funding not requiring any Town matching funds. FUNDING PRIORITY: 270 High - Leverage Local Funds Tourism Fund Administration Department Economic Development Division GRANT TITLE: Proposition 202 Grant for Tourism—Salt River Pima Indian Community GRANT NUMBER: G5202 GRANT AMOUNT AWARDED: $20,000 TOWN’S MATCH AMOUNT: $ 0 TOTAL ESTIMATED PROJECT COST: $20,000 GRANT DESCRIPTION/SCOPE: Marketing grant through Salt River Pima Indian Community for Special Events Support. TIMEFRAME: FY20-21 GRANT JUSTIFICATION: Grant funding not requiring any Town matching funds. FUNDING PRIORITY: High - Leverage Local Funds 271 Tourism Fund Administration Department Economic Development Division PROJECT TITLE: Proposition 202 Grant for Tourism—Fort McDowell GRANT NUMBER: G5204 GRANT AMOUNT AWARDED: $5,000 TOWN’S MATCH AMOUNT: $ 0 TOTAL ESTIMATED PROJECT COST: $5,000 PROJECT DESCRIPTION/SCOPE: Fort McDowell grant for marketing the area and golfing activities. TIMEFRAME: FY20-21 PROJECT JUSTIFICATION: Grant funding not requiring any Town matching funds. FUNDING PRIORITY: 272 High - Leverage Local Funds Special Revenue Fund Administration Department Finance Division Special Revenue Fund Service Delivery Plan The Special Revenue Fund was established as a segregated fund for grant monies, both anticipated and unanticipated. Any monies received may have a matching expenditure associated with it. If grants require a Town match, those monies are transferred into this fund. Anticipated grants received on annual basis include Proposition 202 funds and LTAF II funds. FY17-18 Actual Program Name Administration Total $ $ Category Contractual Services Equipment/Improvements Contingency Capital Expenditures Total 157,946 157,946 FY17-18 Actual $ $ 56,000 101,946 157,946 Expenditures by Program FY18-19 FY19-20 Actual Revised Budget $ 157,946 $ 1,662,525 $ 157,946 $ 1,662,525 FY20-21 Proposed Budget $ 1,338,500 $ 1,338,500 Expenditures by Category FY18-19 FY19-20 Actual Revised Budget $ 55,000 $ 127,000 1,230,525 36,211 305,000 $ 91,211 $ 1,662,525 FY20-21 Proposed Budget $ 275,500 1,063,000 $ 1,338,500 Use of Funds - Special Revenue - By Category Where does the money go? Contingency 79% Contractual Services 21% Total Proposed Budget = $1,338,500 273 Special Revenue Fund Administration Department Finance Division FY17-18 Actual Program Name Total Revenues Total Expenses Total $ $ 157,946 157,946 - Operating Results FY18-19 FY19-20 Actual Revised Budget $ 91,211 $ 1,582,525 91,211 1,662,525 $ - $ (80,000) FY20-21 Proposed Budget $ 1,308,800 1,338,500 $ (29,700) *Negative amounts represent matching funds transferred in from other funds. FY20-21 Proposed Budget Summary of Expenditures Special Revenue Fund Description FY17-18 FY18-19 FY19-20 FY20-21 Actual Actual Revised Budget Proposed Budget Special Revenue Fund Professional Fes Advertising/Signage Intergovt Agreements Contingency Park Improvements Other Infrastructure Total Special Revenue Fund 274 $ 56,000 101,946 $ 55,000 36,211 $ 2,000 125,000 1,230,525 240,000 65,000 $ 148,500 2,000 125,000 1,063,000 - $ 157,946 $ 91,211 $ 1,662,525 $ 1,338,500 Special Revenue Fund Administration Department Finance Division PROJECT TITLE: Active Transportation Master Plan Grant GRANT NUMBER: G3205 GRANTING AGENCY: Federal Transportation Alternatives grant, selected through the Maricopa Association of Governments GRANT AMOUNT AWARDED: $118,800 TOWN’S MATCH AMOUNT: $ 29,700 TOTAL ESTIMATED PROJECT COST: $148,500 PROJECT DESCRIPTION/SCOPE: Prepare a Town-wide, prioritized Master Plan for sidewalks, trails, and bikeways. This document will provide the basis for future Town/developer/grant design and construction projects. This Master Plan is primarily funded by a Federal Transportation Alternatives grant, selected through the Maricopa Association of Governments. TIMEFRAME: FY20-21 PROJECT JUSTIFICATION: The Town has never yet had a Council-approved, long-range Master Plan to locate and prioritize active transportation projects. FUNDING PRIORITY: High - Leverage Local Funds 275 Public Art Fund Community Services Department Recreation Division Public Art Fund Service Delivery Plan The Public Art Fund was established to accumulate funds to manage, maintain, and protect the art collection of the Town. Contributions are received from property developers, the public, and transfers from the Town. These funds are used to procure additional art, maintain existing pieces, and provide insurance against damage. FY17-18 Actual Program Name Administration Total $ $ 29,234 29,234 Expenditures by Program FY18-19 FY19-20 Actual Revised Budget $ 22,191 $ 139,340 $ 22,191 $ 139,340 FY20-21 Proposed Budget $ 144,649 $ 144,649 Expenditures by Category FY17-18 Actual Category Maintenance & Repair Contractual Services Damages/Vandalism Contingency Total 276 $ $ 14,216 11,378 3,640 29,234 FY18-19 Actual $ $ 11,319 11,472 22,791 FY19-20 Revised Budget $ 26,294 13,046 100,000 $ 139,340 FY20-21 Proposed Budget $ 31,000 13,649 100,000 $ 144,649 Public Art Fund Community Services Department Recreation Division Use of Funds - Environmental - By Category Where does the money go? Contingency 70% Maintenance & Repair 21% Total Proposed Budget = $144,649 FY17-18 Actual Program Name Total Revenues Total Expenses Total $ $ 73,309 29,234 44,075 Contractual Services 9% Operating Results FY18-19 FY19-20 Actual Revised Budget $ 9,653 $ 100,240 22,791 139,340 $ (13,138) $ (39,100) FY20-21 Proposed Budget $ 100,240 144,649 $ (44,409) 277 Court Enhancement Fund Municipal Court Department Court Operations Division Court Enhancement Fund Service Delivery Plan Pursuant to local ordinance and Arizona Revised Statutes, the Court collects monies deposited into the local Court Enhancement Fund (CCEF) and Judicial Court Enhancement Fund (JCEF) to increase the effectiveness of Fountain Hills Municipal Court. Pursuant to Town Resolution 2000-03A, Court Enhancement Funds shall be used to offset the costs of computer software, personnel, equipment and supplies needed to increase the effectiveness of Court case management. Pursuant to A.R.S. §12-113(B), Judicial Court Enhancement Funds, “shall be used according to plans approved by the Supreme Court to train court personnel, improve, maintain and enhance the ability to collect and manage monies assessed or received by the courts, including restitution, child support, fines and civil penalties, to improve court automation, to improve case processing or the administration of justice and for probation services.” The monies collected into these funds are to be used to supplement the Court’s annual appropriations and shall not be used solely to fund Court operations. Both funds are maintained as separate accounts within the Town and any balance remaining in such accounts at the end of the fiscal year shall carry over into the subsequent fiscal year. FY17-18 Actual Program Name Court Enhancement Judicial Court Enhancement Total $ $ 5,547 5,547 Expenditures by Program FY18-19 FY19-20 Actual Revised Budget $ 1,690 $ 124,800 30,000 $ 1,690 $ 154,800 FY20-21 Proposed Budget $ 24,800 $ 24,800 Variance Explanations: Court Enhancement: FY19-20 included a budget supplement for security updates for the Court. Expenditures by Category Category Dues & Memberships Meetings & Training Maintenance & Repair Contractual Services Equipment/Improvements Capital Expenditures Total FY17-18 Actual $ $ 2,478 3,069 5,547 FY18-19 Actual $ $ 1,690 1,690 FY19-20 Revised Budget $ 1,500 2,500 500 4,800 15,500 130,000 $ 154,800 FY20-21 Proposed Budget $ 1,500 2,500 500 4,800 15,500 $ 24,800 Variance Explanations: Capital Expenditures: FY19-20 included a budget supplement for security updates for the Court. 278 Court Enhancement Fund Municipal Court Department Court Operations Division Use of Funds - Court Enhancement - By Category Where does the money go? Contractual Services 19% Meetings & Training 10% Equipment/Improvements 63% Dues & Memberships 6% Maintenance & Repair 2% Total Proposed Budget = $24,800 FY17-18 Actual Program Name Total Revenues Total Expenses Total $ 29,850 5,547 24,303 $ Operating Results FY18-19 FY19-20 Actual Revised Budget $ 11,019 $ 149,840 1,690 154,800 $ 9,329 $ (4,960) FY20-21 Proposed Budget $ 49,900 24,800 $ 25,100 FY20-21 Proposed Budget Summary of Expenditures Court Enhancement Fund Description Court Enhancement Fund Dues, Subscript & Publicat Meetings & Training Sign Repair & Replacement Rentals & Leases Printing Expense Small Tools Hardware/Peripherals Furniture/Appliances Computer Hardware Total Court Enhancement Fund FY17-18 FY18-19 FY19-20 FY20-21 Actual Actual Revised Budget Proposed Budget $ 2,478 3,069 - $ 218 1,472 - $ 1,500 2,500 500 2,800 2,000 5,500 10,000 130,000 $ 1,500 2,500 500 2,800 2,000 5,500 10,000 - $ 5,547 $ 1,690 $ 154,800 $ 24,800 279 Environmental Fund Public Works Department Environmental Division Environmental Fund Service Delivery Plan The Environment Fund was established to help offset the costs of stormwater management and air quality permit requirements as well as other environmental programs. These programs include, but are not limited to, stormwater and air quality programs, public outreach, permit fees, wash maintenance, ADWR dam inspection and maintenance, street sweeping, storm drain cleaning. The Environmental Division provides environmental regulatory compliance oversight to Fountain Hills operations and facilities and the management of the EPA’s Stormwater Pollution Prevention Plan (SWPPP), Phase II Permit. This management includes oversight of staff training, field inspections, implementing the best management practices outlined in the permit, and drafting and submitting the annual reports required by the Arizona Department of Environmental Quality. This permit is a State-mandated, unfunded requirement. The Environmental Division is also responsible for coordinating recycling programs, establishing energy efficiency activities and helping promote and implement sustainable activities within the Town. This Division maintains environmental permits and files for the Town of Fountain Hills and is funded by the previously collected environmental fee and transfers from the General Fund. Expenditures by Program Program Name Administration Total Category Wages Employment Taxes Benefits Dues & Memberships Meetings and Training Maintenance & Repair Utilities Contractual Services Supplies Internal Service Total FY17-18 Actual $ $ 530,655 530,655 FY17-18 Actual $ $ 18,731 644 3,739 8,000 295,610 750 202,812 330 39 530,655 FY18-19 Actual FY19-20 Revised Budget $ 735,255 $ 735,255 FY20-21 Proposed Budget $ 666,904 $ 666,904 Expenditures by Category FY18-19 FY19-20 Actual Revised Budget $ 18,731 $ 32,605 644 1,363 3,739 6,334 8,000 11,215 300 295,610 495,400 750 202,812 185,945 330 2,000 39 93 $ 530,655 $ 735,255 FY20-21 Proposed Budget $ 33,022 1,752 6,786 11,215 300 475,400 135,945 2,000 484 $ 666,904 $ $ 501,718 501,718 Variance Explanations: Contractual Services: Amounts were eliminated related to the billing of the environmental fee. 280 Environmental Fund Public Works Department Environmental Division Use of Funds - Environmental - By Category Where does the money go? Maintenance & Repair 73% Contractual Services 20% Wages 5% Total Proposed Budget = $666,904 FY17-18 Actual Program Name Total Revenues Total Expenses Total $ $ 496,212 530,655 (34,443) Dues & Memberships 2% Operating Results FY18-19 FY19-20 Actual Revised Budget $ 502,924 $ 494,376 530,655 735,255 $ (27,731) $ (240,879) FY20-21 Proposed Budget $ 2,400 666,904 $ (664,504) 281 Environmental Fund Public Works Department Environmental Division Activities/Results Performance Measures FY17-18 Actual 100% FY18-19 Actual 100% FY19-20Estimate 100% FY2021 Target 100% 100% 100% 100% 100% 100% 100% 100% 100% FY17-18 Actual 316 FY18-19 Actual 360.4 FY19-20 Estimate 360.4 FY2021 Target 360.4 2,682 3,063.8 3063.8 3,063.8 Acres of Town-owned washes maintained Number of paper shedding events held* 65 65 49.5 65 2 2 1 2 Number of electronics recycling events held Number of household hazardous waste events held 1 1 0 1 0 1 1 1 FY17-18 Actual $65,127 FY18-19 Actual $71,860.22 FY19-20 Estimate $75,000 FY20-21 Target $75,000 $24.28 $24,45 $24.48 $24.48 Percentage of residential sweeping completed within specified cycle* Percentage of arterial sweeping completed within specified cycle* Completion of Annual permit requirements Quality Total curb miles on sweeping schedule Total lane miles swept annually *Friends of the Library event Productivity Expenditure of street sweeping Expenditure per curb mile of streets swept 282 Environmental Fund Public Works Department Environmental Division FY20-21 Proposed Budget Summary of Expenditures Environmental Fund Description Environmental Fund Salaries-Full Time Medicare Workers Compensation Unemployment Insurance Group Health Insurance Group Dental Insurance Group Health Vision Disability Insurance Retirement Life Insurance Bonus Licenses/Filing Fees Dues, Subscript & Publicat Meetings & Training Grounds Maint/Repair Wash Maintenance Dam Inspection and Maint Drainage Maint/Repair Storm Damage Cleanup Refuse/Recycling Professional Fees Advertising/Signage Contractual Services Bank/Merc Acct Fees Community Events Program Materials ISF-Copier Charges ISF-Vehicle Replacement Charge ISF-Motor Pool Charges ISF-Technology Replacement Total Environmental Fund FY17-18 Actual FY18-19 Actual FY19-20 Revised Budget FY20-21 Proposed Budget $ 18,731 262 375 6 1,447 107 19 74 2,061 19 13 5,000 3,000 152,549 19,070 111,485 12,506 750 47,289 189 115,978 51 39,305 330 35 4 - $ 19,430 268 438 6 1,448 108 19 81 2,137 20 6,160 3,500 13,400 68,416 265,340 43,428 77,356 74 36 13 40 - $ 32,605 473 880 10 2,340 184 31 138 3,586 36 19 7,715 3,500 300 5,000 210,000 20,400 180,000 80,000 50,000 135,920 25 2,000 30 48 15 - $ 33,022 479 1,230 43 2,521 192 31 351 3,633 38 20 7,715 3,500 300 5,000 210,000 20,400 160,000 80,000 135,920 25 2,000 30 42 45 367 $ 530,655 $ 501,718 $ 735,255 $ 666,904 283 Cottonwoods Maintenance District Fund Administration Department Finance Division Cottonwoods Maintenance District Fund The Cottonwoods Maintenance District was formed by the Town Council in June 1999 for the purpose of improving the common areas of the Cottonwoods subdivision. The Town Council serves as the governing Board for the District. The Maintenance District provides for the maintenance of the common area, which is performed by the Town of Fountain Hills. The cost is repaid through an annual property tax assessment per property owner levied by the Town and collected by Maricopa County. The estimated levy for FY20-21 is $114.52 which includes the annual contract cost for landscaping as well as establishing a reserve amount for future exterior wall maintenance. COTTONWOODS MAINTENANCE DISTRICT FY19-20 FY20-21 FY17-18 FY18-19 Revised Proposed Description Actual Actual Budget Budget Revenues Property Tax $ 5,471 $ 6,749 $ 6,643 $ 6,643 197 414 72 72 Interest Income Total Revenues Expenditures Grounds Maint/Repair Advertising/Signage Postage/Mailing Total Expenditures 284 $ 5,668 $ (4,500) $ (195) (1) $ (4,696) $ $ 7,163 $ 6,715 $ 6,715 (4,500) $ (30) (4,851) $ (250) - (4,851) (250) (30) (4,530) $ (5,101) $ (5,131) Cottonwoods Maintenance District Fund Administration Department Finance Division Cottonwoods Maintenance District Summary of Tax Levy and Tax Rate Information Fiscal Year 20-21 FY19-20 FY20-21 1. Maximum allowable primary property tax levy. A.R.S. §42-17051(A) $ - 2. Amount received from primary property taxation in the current year in excess of the sum of that year's maximum allowable primary property tax levy. $ - $ 6,643 6,643 3. Property tax levy amounts A. Primary property taxes B. Secondary property taxes C. Total property tax levy amounts $ 4. Property taxes collected* A. Primary property taxes (1) Current year's levy $ (2) Prior years’ levies (3) Total primary property taxes B. Secondary property taxes (1) Current year's levy (2) Prior years’ levies (3) Total secondary property taxes C. Total property taxes collected $ 5. Property tax rates A. Town tax rate (1) Primary property tax rate (2) Secondary property tax rate (3) Total town tax rate $ $ $ - $ 6,643 6,643 $ 6,643 6,643 6,643 114.5172 114.5172 $ $ 114.5172 114.5172 * Includes actual property taxes collected as of the date the proposed budget was prepared, plus estimated property tax collections for the remainder of the fiscal year. 285 Debt Service Funds Debt Service Funds General Obligation Eagle Mountain Community Facilities District Municipal Property Corporation 286 Debt Service Funds Debt Service Funds The Debt Service Funds provide for the payment of interest, principal, and related costs on General Obligation (GO) bonds (both the Town of Fountain Hills and the Eagle Mountain Community Facilities District) and Municipal Property Corporation (MPC) Revenue bonds. Outstanding Debt The Schedule below includes an itemization of the outstanding debt as of June 30, 2021, after the scheduled principal and interest payments due July 1, 2021. Outstanding Debt Schedule Bond Purpose Date of Interest Date of Original Principal Principal Outstanding Type of Issue Bond Issue Rate Maturity Amount Amount Retired Principal Road Construction 12/18/2014 Total GO 2.003.00 7/1/2020 7,565,000 7,565,000 7,565,000 7,565,000 - Rev Refunding Total Rev 6/4/2015 1.62 7/1/2020 1,880,000 1,880,000 1,880,000 1,880,000 - GO Eagle Mtn 6/4/2015 Total GO - Eagle Mtn 1.76 7/1/2021 2,300,000 2,300,000 1,900,000 1,900,000 400,000 400,000 11,745,000 $ 11,345,000 GO Grand Total $ $ 400,000 287 General Obligation Bond Fund Administration Department Finance Division General Obligation Bond Fund Voter-approved General Obligation bonds issued by the Town are repaid by collecting a secondary property tax. This secondary property tax levy is based on the total amount required for the annual principal and interest payments (with adjustments for carry-forward and/or interest earnings, delinquencies, etc.) divided by the total assessed valuation for the Town of Fountain Hills. Currently, the Town does not have any outstanding General Obligation bonds, and a town-wide secondary property tax is not required for FY21. GENERAL OBLIGATION DEBT SERVICE Description Revenues Secondary Property Tax Interest Income FY17-18 Actual FY18-19 Actual FY19-20 Revised Budget $ 1,909,924 8,495 $ 2,011,867 18,703 $ 1,674,486 1,200 $ 1,200 Total Revenues $ 1,918,419 $ 2,030,570 $ 1,675,686 $ 1,200 Expenditures Principal Payments Interest Payments Administrative/Trustee Fees $ (1,980,000) $ (1,880,000) $ (1,615,000) $ (140,950) (92,250) (48,450) (600) (600) (350) (350) Total Expenditures $ (2,121,550) $ (1,972,850) $ (1,663,800) $ (350) 288 FY20-21 Proposed Budget General Obligation Bond Fund Administration Department Finance Division Legal Debt Margin Information The Total Net Debt Applicable to Limit comes from the Report of Bonded Indebtedness and is related to those issues noted by the appropriate % debt limit. 20% limit - GO bonds for projects involving water, sewer, artificial lighting, parks, open space, public safety, law enforcement, fire and emergency facilities, street and transportation facilities and recreational facility improvements. 6% limit - GO bonds for any other general purpose improvements. The basis for determining the legal debt margin is the net full cash assessed value of all property located within the Town. Town of Fountain Hills, Arizona Legal Debt Margin Information FY17-18 FY18-19 FY19-20 FY20-21 6% Debt Limit Debt limit Total applicable to limit $ 31,468,771 - $ 32,385,629 - $ 33,951,090 - $ 35,683,229 - Legal debt margin $ 26,678,977 $ 27,998,343 $ 33,951,090 $ 35,683,229 - - - - $ 104,895,902 5,475,000 $ 83,454,923 $ 107,952,098 3,495,000 $ 89,832,809 $ 113,170,302 1,615,000 $ 111,555,302 $ 118,944,098 $ 118,944,098 5% 3% 1% - $ 524,479,512 $ 539,760,488 $ 565,851,508 $ 594,720,491 Total net debt applicable to the limit as a percentage of debt limit 20% Debt Limit Debt limit Total applicable to limit Legal debt margin Total net debt applicable to the limit as a percentage of debt limit Net Assessed Full Cash Value 289 Eagle Mountain CFD Bond Fund Administration Department Finance Division Eagle Mountain Community Facilities District (CFD) Bond Fund There have been four bond issues (issued as General Obligation bonds) that were approved for specific purposes:  The first two CFD bond issues in 1996 (refunded in 2005) were to acquire certain public infrastructure benefiting the District, specifically a sewer project, a storm water conveyance system project, the Eagle Mountain Parkway Phase I project, and the Summer Hill Boulevard project.  The third CFD bond issue, completed in 2005, refunded and defeased the two 1996 issues.  The fourth issue refinanced the outstanding bonds in 2015 to reduce interest costs. The Eagle Mountain Community Facilities District debt payments are levied on the property owners within the District. These obligations are paid by the property owners using secondary property taxes, less any credits, carry-forward and/or interest earnings and allowing for delinquencies. The anticipated rate based on the estimated assessed valuation of $32,058,853 (an increase of 5.1% from the prior year) is $1.2477 per $100 of assessed valuation compared to $1.3541 in the prior year. EAGLE MOUNTAIN COMMUNITY FACILITIES DISTRICT DEBT SERVICE FY19-20 FY17-18 FY18-19 Revised Description Actual Actual Budget Revenues Property Tax $ 378,872 $ 370,686 $ 413,043 Interest Income 938 2,116 240 Total Revenues Expenditures Advertising/Signage Principal Payments Interest Payments Total Expenditures 290 $ 372,802 $ 413,283 FY20-21 Proposed Budget $ 400,001 240 $ 400,241 $ 379,810 $ (170) $ (375,000) (34,056) (195) $ (380,000) (27,529) (200) $ (395,000) (13,992) (200) (400,000) (7,040) $ (409,226) $ (407,724) $ (409,192) $ (407,240) Municipal Property Corp Bond Fund Administration Department Finance Division Municipal Property Corporation (MPC) Bond Fund One of the methods of funding major municipal projects is the use of a Municipal Property Corporation (MPC). The Town created the Fountain Hills Municipal Property Corporation and bonds were issued in 2000 and 2001 to build the Community Center and purchase a portion of the McDowell Mountain Preserve, respectively. In 2004, MPC bonds were used to construct Town Hall. While the bonds are outstanding, the MPC owns the land and buildings purchased with bond proceeds. Now that all the MPC bonds have been redeemed, ownership of the buildings and land have been transferred to the Town. MUNICIPAL PROPERTY CORPORATION DEBT SERVICE Description Revenues Interest Income Transfer In Total Revenues Expenditures License/Filing Fees Principal Payments Interest Payments Administrative/Trustee Fees Total Expenditures FY17-18 Actual FY19-20 Revised Budget FY18-19 Actual FY20-21 Proposed Budget $ 2,315 249,055 $ 3,811 249,055 $ - $ - $ 251,370 $ 252,866 $ - $ - $ (10) $ (370,000) (22,680) (1,000) (10) $ (360,000) (16,686) (1,000) (10) $ (300,000) (4,860) (1,000) (10) (1,000) $ (393,690) $ (377,696) $ (305,870) $ (1,010) 291 292 Capital Projects Fund Capital Projects Fund Administration Department Public Works Department Community Services Department 293 Capital Projects Fund Capital Improvement Program Policy & Procedures Capital Improvement Program (CIP) Policy and Procedures Objective To provide a policy and procedures for the development, approval, and implementation of the Town of Fountain Hills’ five (5) year and twenty (20) year Capital Improvement Programs (CIP). Scope This policy applies to all projects undertaken by the Town of Fountain Hills that meet the definition of a capital improvement project detailed in the definitions section. Policy The purpose of the Capital Improvement Program is to provide an authoritative decision-making process for the evaluation, selection, and multi-year scheduling of public physical improvements based on a projection of available fiscal resources and the community's priorities. The objectives of the Program are to: a) ensure the timely repair, replacement and expansion of the Town’s infrastructure; b) serve as a link in the Town’s planning between the Town’s Strategic Plan and all subsidiary plans with a 5-20 year horizon and the annual budget process with a one-year horizon; c) maintain control over the Town’s long-term cash flow in relation to the Town's financial capacity; and d) ensure efficient, effective and coordinated capital improvement. Definitions The following words, when used in connection with this policy, shall have the following meanings: CAPITAL IMPROVEMENT PROGRAM: A multi-year planning document that is the product of a systematic evaluation of capital projects. This Program serves as a guide for the efficient and effective construction and maintenance of public facilities, outlining a detailed timeline and financing schedule of capital projects for a five (5) year period of time and a summary schedule of capital projects for a twenty (20) year period. CAPITAL IMPROVEMENT PROJECT: A capital project is a heavy equipment acquisition, a computer/software systems acquisition, or a public improvement that involves construction of new infrastructure, additions to existing structures, renovation of existing structures, and major repairs to infrastructure of a comprehensive and non-routine nature. A capital project is defined in financial terms as a project with a projected final cost of at least $50,000 and is a non-recurring expense. In addition, the capital asset(s) resulting from the project should have a useful life of at least 10 years. Studies, design and engineering fees greater than $10,000 which are preparatory to a capital project with a projected final cost of at least $50,000 should be included as part of the capital project cost. 294 Capital Projects Fund Capital Improvement Program Policy & Procedures INFRASTRUCTURE IMPROVEMENT PLAN (IIP): A written plan that individually or collectively identifies each public service that is proposed to be the subject of a development fee. The Town of Fountain Hills’ IIP is incorporated as part of the Town’s CIP and follows the same timeline and procedure. Process A. Schedule: Annually, the CIP Coordinator and Finance Director will submit a proposed CIP development calendar to the Town Manager for review. Based on this calendar, the CIP Coordinator will initiate a request to the management team for submission of updates, revisions and new projects for the five (5) year Capital Improvement Program. A further, but less detailed, review of the twenty (20) year Program will also be conducted. B. Format: The management team will utilize the previous year's approved CIP as a base for developing recommended additions, deletions, or changes for incorporation in the updated CIP for the ensuing year. The management team will utilize the standard format provided to submit new projects or propose revisions to existing projects. All new projects will also include a comprehensive estimate of the impact of the new project on the Town's annual operating budget; e.g., salaries and benefits, supplies, utilities, fuel, maintenance requirements, etc. C. Finance Review: The Finance Director will assist the CIP Coordinator as necessary in all facets of Capital Improvement Program development and review including production of revenue estimates and estimated growth in assessed valuation as well as overall financial analysis of the proposed program. Additional assistance may be requested to help produce draft documents, etc. D. Town Manager Review: The CIP Coordinator will provide a copy of the proposed CIP document to the Finance Director and Town Manager for review and comment prior to distribution of the CIP document to the Town Council as part of the budget package. E. Public Hearing: The proposed CIP will be considered at a public hearing convened by the Town Council to accept comments and input from the public on the content of the Program. Notice of said public hearing date, place, and time will be made at least 60 days in advance of the scheduled hearing. Copies of the proposed CIP will be made available to the public at least 30 days prior to the scheduled hearing date and at the hearing itself. F. Town Council Approval: The final draft of the proposed CIP will be submitted as an agenda item for formal approval by the Town Council at the first Council Meeting in June. G. Distribution: A copy of the approved CIP document will be published on the Town’s website. H. Implementation: Upon adoption of the CIP, projects included within the applicable budget year may be implemented by the appropriate management team member in compliance with the Town’s procurement policy, special benefit district, or applicable procedure. 295 Capital Projects Fund Capital Improvement Program Policy & Procedures I. Amendments: The adopted CIP may be amended upon approval of the Town Council. Examples of amendments include cost increases for approved projects, the acceleration of projects to the applicable budget year from a future year, and the addition of projects not previously included in the CIP. An amendment to the CIP will be submitted to the Town Manager for approval. Upon approval, the amendment should be prepared as an agenda item for formal approval by the Town Council at a regular or special session. Upon approval, a copy of the amended CIP document will be published on the Town’s website. Procedure A. Form: The form listed as Attachment A shall be utilized to request inclusion of a project in the Capital Improvement Program. B. Funding Prioritization: As part of the project submittal process, management team members shall identify project priorities to help determine which projects are recommended for inclusion in the five-year CIP. The initial measure of the project’s priority is first established using the following factors: HIGH      Project protects the health and safety of the Town, its residents, visitors and employees Project is mandated by Federal, State or local, regulations Project is a high priority of the Town Council, based on the most current Strategic Plan or other subsidiary plans. Project prevents irreparable damage to existing facilities Project leverages local funding with other non-local funding sources Project finishes a partially completed project MEDIUM      Project maintains existing service levels Project provides for the maintenance of existing systems and equipment Project results in increased efficiency Project reduces operational costs Project significantly reduces losses in revenue or provides for significant increased revenues LOW    296 Project provides an expanded level of service or new public facility not included in the Town Council’s priorities Project is deferrable Project uses debt financing Capital Projects Fund Capital Improvement Program Policy & Procedures C. Funding Sources: The primary funding sources for the CIP are the General Fund, grants, development fees, excise taxes, HURF, bonded indebtedness, capital leases and Capital Projects funds. All potential projects must identify the proposed sources of funding before submission of the CIP request. Projects that are funded by development fees must also identify the relationship between the IIP project and the development fee from which it is funded in the justification section of the CIP Form. D. Project Schedule: Each Project Manager shall provide a preliminary schedule which shall detail the various phases involved in the project and their starting and ending dates. It is the responsibility of the Project Manager to maintain this schedule or to provide schedule updates to the CIP Coordinator on at least a quarterly basis. Responsibility for Enforcement The Town Manager, Finance Director and CIP Coordinator will be responsible for ensuring that this policy is followed and/or updated as necessary. 297 Capital Projects Fund Capital Improvement Program Policy & Procedures Attachment A 298 Capital Projects Fund Capital Projects Summary PROPOSED CAPITAL PROJECTS FY20-21 THROUGH FY24-25 PROJECTS BY YEAR Project No. Project Title D6047 D6057 D6058 D6059 Stormwater Management/Drainage Projects Drainage-Miscellaneous Golden Eagle Impoundment Area Improvements Panorama Drive Storm Drain Improvements Pollina Brantley Detention Basin TOTAL F4035 F4036 Facilities Projects HVAC Controllers Replacement - Community Center Fire Panel Replacement-CC, Library, Museum TOTAL P3032 P3033 P3035 P3036 P3038 P3039 P3040 P3041 P3042 P3044 P3045 Parks & Recreation Projects Sport Field Lighting Video Surveillance Cameras Four Peaks Park Upgrades Desert Vista Skate Park Lights Fountain Park Lake Liner Fountain Park Pump Replacements Splash Pad Renovation Sunridge Park Fountain Lighting Replacement Sierra Madre Park Four Peaks Park Playground Parking Lot Imp TOTAL S6003 S6015 S6051 S6053 S6058 S6061 S6062 S6063 S6064 Street/Sidewalk Projects Unpaved Alley Paving Projects Fountain Hills Blvd Widening - Shea Boulevard to Segundo AOTF/La Montana Intersection Improvements Fountain Hills Blvd. Shoulder Paving Shea Blvd. Widening - Palisades Blvd. to Technology Dr. Sidewalk Infill Program AOTF/Verde River Intersection Improvements Palisades Median Landscape Improvements Desert Vista Crosswalk TOTAL Prior Years' Costs FY20-21 FY21-22 FY22-23 FY23-24 Five Year Total (excludes Prior Years' Costs) FY24-25 $ 108,830 122,770 98,305 - $ 50,000 500,000 1,901,695 100,000 $ 50,000 377,230 - $ 50,000 - $ 50,000 - $ 50,000 - $ 250,000 877,230 1,901,695 100,000 $ 329,905 $ 2,551,695 $ 427,230 $ 50,000 $ 50,000 $ 50,000 $ 3,128,925 $ - $ 70,000 80,000 $ - $ - $ - $ - $ 70,000 80,000 $ - $ 150,000 $ - $ - $ - $ - $ 150,000 $ 94,316 412,564 - $ 50,000 330,000 140,000 150,000 65,000 $ 1,733,000 50,000 200,000 75,000 5,000,000 1,500,000 550,000 - $ 100,000 200,000 100,000 - $ 3,300,000 2,500,000 - $ 2,500,000 - $ 1,733,000 100,000 630,000 75,000 5,140,000 1,500,000 550,000 3,500,000 150,000 5,100,000 65,000 $ 506,880 $ 735,000 $ 9,108,000 $ 400,000 $ 5,800,000 $ 2,500,000 $ 18,543,000 $ 408,637 $ 308,000 $ - $ - $ - $ - $ 308,000 693,231 300,000 700,000 - - - - 300,000 700,000 105,000 247,138 7,630 - 25,000 200,000 75,000 100,000 200,000 180,000 200,000 - 150,000 - - 25,000 750,000 75,000 280,000 $ 1,461,636 $ 1,708,000 $ 380,000 $ 200,000 $ 150,000 $ - $ 2,438,000 $ - $ 50,000 $ 500,000 $ - $ - $ - $ 550,000 $ - $ 50,000 $ 500,000 $ - $ - $ - $ 550,000 Vehicle Replacement Program Vehicle Replacement Per Schedule $ 51,989 $ 54,385 $ 530,198 $ 256,722 $ - $ 893,294 Contingency $ 259,735 $ 520,762 $ 32,500 $ 300,000 $ 127,500 $ 1,240,497 $ 5,454,430 $ 10,935,992 $ 682,500 $ 6,300,000 $ 2,677,500 $ 26,050,422 Traffic Signal Projects T5005 Traffic Signal-Palisades & Eagle Ridge/Palomino TOTAL TOTAL PROPOS ED CAPITAL PROJECTS $ 2,298,421 299 Capital Projects Fund Capital Projects Summary CAPITAL PROJECTS FIVE-YEAR PROJECTION REVENUES & PROJECT COSTS REVENUES BY SO URCE Highway User Fund Downtown Strategy Fund Grants Capital Projects Fund Development Fees Fire & Emergency Medical Streets Parks & Recreation Bonds Environmental Fund T otal Revenues By Source Unfunded T otal Revenues Required FIVE-YEAR AVAILABLE FUNDS FY20-21 Requested FY21-22 Requested FY22-23 Requested $ $ $ $ 2,403,614 1,211,584 875,000 17,500 4,561,930 382,500 $ 500,000 FY24-25 Requested TO TAL FIVEYEAR PRO JECTIO N $ $ 177,500 875,000 57,500 7,234,922 SURPLUS/ (DEFICIT) $ 1,528,614 (57,500) (6,023,338) - - - - - - 707,100 $ 707,100 1,724,836 6,047,134 $ 5,454,430 7,050,000 $ 8,702,992 $ 300,000 682,500 $ 500,000 1,000,000 $ 177,500 800,000 7,050,000 $ 16,017,422 924,836 (7,050,000) $ (9,970,288) $ 6,047,134 $ 5,454,430 2,233,000 $ 10,935,992 $ 682,500 $ 5,300,000 6,300,000 2,500,000 $ 2,677,500 10,033,000 $ 26,050,422 (10,033,000) $ (20,003,288) EXPENDITURES BY PRO JECT TYPE & CO STS FY20-21 Requested Stormwater Management/Drainage Projects Facilities Projects Parks & Recreation Projects Street/Sidewalk Projects T raffic Signal Projects Contingency T otal Project Costs $ 2,551,695 150,000 735,000 1,708,000 50,000 259,735 $ 5,454,430 300 40,000 1,612,992 FY23-24 Requested FY21-22 Requested $ 427,230 9,108,000 380,000 500,000 520,762 $ 10,935,992 FY22-23 Requested FY23-24 Requested FY24-25 Requested TO TAL FIVEYEAR PRO JECTIO N $ $ $ $ $ 50,000 400,000 200,000 32,500 682,500 50,000 5,800,000 150,000 300,000 $ 6,300,000 50,000 2,500,000 127,500 $ 2,677,500 3,128,925 150,000 18,543,000 2,438,000 550,000 1,240,497 $ 26,050,422 Capital Projects Fund Capital Projects Summary CAPITAL PROJECTS FIVE-YEAR PROJECTION Projects by Funding Source Revenues - FY21-25 Bonds 28% Capital Projects Fund 29% Unfunded 40% Development Fees 3% TOTAL = $26.1M Projects by Project Type Expenditures - FY21-25 Pa rks & Recreation Projects 72% Stormwa ter Ma na gement/Drainage Projects 12% Street/Sidewalk Projects 9% Tra ffi c Signal Projects 2% Contingency 5% Total = $26.1M 301 Capital Projects Fund Capital Projects Summary PROPOSED CAPITAL PROJECTS FY20-21 THROUGH FY24-25 BY YEAR AND FUNDING SOURCE ProjectProject No. Title/Funding Source D6047 Drainage-Miscellaneous Capital Projects Fund D6057 Golden Eagle Impoundment Area Improvements Capital Projects Fund D6058 Panorama Drive S torm Drain Improvements Capital Projects Fund Downtown Strategy D6059 Pollina Brantley Detention Basin Capital Projects Fund F4035 HVAC Controllers Replacement - Community Center Capital Projects Fund F4036 Fire Panel Replacement-CC, Library, Museum Capital Projects Fund P3032 S port Field Lighting Prior Years' Costs FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 $ 108,830 $ 50,000 $ 50,000 $ 50,000 $ 50,000 $ 50,000 $ 122,770 $ 500,000 $ 377,230 $ - $ - $ - $ 98,305 - $ 1,401,695 500,000 $ - $ - $ - $ - - - - $ - $ 100,000 $ - $ - $ - $ - $ - $ 70,000 $ - $ - $ - $ - $ - $ 80,000 $ - $ - $ - $ - Unfunded P3033 Video S urveillance Cameras - - 1,733,000 - - - Capital Projects Fund P3035 Four Peaks Park Upgrades $ 94,316 $ 50,000 $ 50,000 $ - $ - $ - Capital Projects Fund P3036 Desert Vista S kate Park Lights $ 412,564 $ 330,000 $ 200,000 $ 100,000 $ - $ - Capital Projects Fund Grants P3038 Fountain Park Lake Liner $ - $ - $ 35,000 40,000 $ - $ - $ - Capital Projects Fund Bonds P3039 Fountain Park Pump Replacements $ - $ 140,000 - $ 5,000,000 $ - $ - $ - - Bonds P3040 S plash Pad Renovation - - 1,500,000 - - - Bonds P3041 S unridge Park Development Fees Unfunded P3042 Fountain Lighting Replacement - - 550,000 - - - - - - Capital Projects Fund P3044 S ierra Madre Park Development Fees Unfunded P3045 Four Peaks Park Playground Parking Lot Imp Capital Projects Fund S 6003 Unpaved Alley Paving Projects Capital Projects Fund S 6051 AOTF/La Montana Intersection Improvements Downtown Strategy S 6053 Fountain Hills S houlder Paving Capital Projects Fund S 6058 S hea Blvd. Widening - Palisades Blvd. to Technology Dr. Capital Projects Fund Grants S 6061 S idewalk Infill Program HURF Capital Projects Fund S 6062 AOTF/Verde River Intersection Improvements $ - $ - - $ - - $ 100,000 - - $ 2,500,000 2,500,000 $ 65,000 $ - $ - $ - $ - $ 408,637 $ 308,000 $ - $ - $ - $ - - 300,000 - - - - $ 693,231 $ 700,000 $ - $ - $ - $ - $ 105,000 - $ 7,500 17,500 $ - $ - $ - $ - $ 150,103 97,036 $ 200,000 $ 200,000 $ 200,000 $ 150,000 $ - 7,630 75,000 - - - - - - - - - - $ - $ - $ 100,000 $ 180,000 $ - $ - $ - $ 50,000 - $ 500,000 $ - $ - $ - $ 259,735 $ 520,762 $ 32,500 $ 300,000 $ 127,500 - The highlighted rows represent project funding through the Town’s Capital Projects Fund. 302 - - Unfunded S 6064 Desert Vista Crosswalk Capital Projects Fund Unfunded Contingency Capital Projects Fund 150,000 500,000 2,800,000 $ Downtown Strategy S 6063 Palisades Median Landscape Improvements Capital Projects Fund T5005 Traffic S ignal-Palisades & Eagle Ridge/Palomino $ 200,000 - Capital Projects Fund Capital Projects Summary PROPOED CAPITAL PROJECTS FY20-21 THROUGH FY24-25 BY YEAR AND FUNDING SOURCE TOTALS REVENUE SUMMARY TOTALS - BY FUNDING SOURCE Source Prior Years' Costs FY20-21 Capital Projects Fund $ 2,140,689 $ 4,561,930 - 17,500 40,000 Downtown Strategy 7,630 875,000 - Development Fees - - - Bonds - - 7,050,000 HURF 150,103 - - Grants Other Funding S ource Totals Unfunded FY21-22 $ FY22-23 1,612,992 $ FY23-24 382,500 $ Total FY20-21 to FY24-25 Project Total FY24-25 500,000 $ 177,500 $ 7,234,922 $ 9,375,611 - - 57,500 57,500 - - - 875,000 882,630 300,000 500,000 - 800,000 800,000 - - - 7,050,000 7,050,000 - - - - 150,103 - - - - - - - - - 2,298,422 5,454,430 8,702,992 682,500 1,000,000 177,500 16,017,422 18,315,844 - - 2,233,000 - 5,300,000 2,500,000 10,033,000 10,033,000 Projects by Project Type Revenues - FY21-25 Pa rks & Recreation Projects 79% Stormwa ter Ma na gement/Drainage Projects… TOTAL = $26.1M Conti ngency 5% Tra ffi c Signal Projects 3% 303 Capital Projects Fund Capital Projects Summary PROPOSED CAPITAL PROJECTS FY20-21 THROUGH FY24-25 EXPENDITURES BY YEAR BY PROJECT Project No. Project Title D6047 D6057 D6058 D6059 Stormwater Management/Drainage Projects Drainage-Miscellaneous Golden Eagle Impoundment Area Improvements Panorama Drive Storm Drain Improvements Pollina Brantley Detention Basin TOTAL Facilities Projects HVAC Controllers Replacement - Community Center F4036 Fire Panel Replacement-CC, Library, Museum F4035 TOTAL P3032 P3033 P3035 P3036 P3038 P3039 P3040 P3041 P3042 P3044 P3045 Parks & Recreation Projects Sport Field Lighting Video Surveillance Cameras Four Peaks Park Upgrades Desert Vista Skate Park Lights Fountain Park Lake Liner Fountain Park Pump Replacements Splash Pad Renovation Sunridge Park Fountain Lighting Replacement Sierra Madre Park Four Peaks Park Playground Parking Lot Imp TOTAL Street/Sidewalk Projects S6003 Unpaved Alley Paving Projects Fountain Hills Blvd Widening - Shea Boulevard S6015 to Segundo S6051 AOTF/La Montana Intersection Improvements S6053 Fountain Hills Blvd. Shoulder Paving Shea Blvd. Widening - Palisades Blvd. to S6058 Technology Dr. S6061 Sidewalk Infill Program S6062 AOTF/Verde River Intersection Improvements S6063 Palisades Median Landscape Improvements S6064 Desert Vista Crosswalk TOTAL Prior Years' Costs FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 $ 108,830 $ 122,770 98,305 - 50,000 $ 500,000 1,901,695 100,000 50,000 $ 377,230 - 50,000 $ - 50,000 $ - 50,000 - $ 329,905 $ 2,551,695 $ 427,230 $ 50,000 $ 50,000 $ 50,000 $ - $ - 70,000 80,000 $ - $ - $ - $ - $ - 150,000 $ - $ - $ - $ - $ - $ 94,316 412,564 - - $ 50,000 330,000 140,000 150,000 65,000 1,733,000 $ 50,000 200,000 75,000 5,000,000 1,500,000 550,000 - - $ 100,000 200,000 100,000 - - $ 3,300,000 2,500,000 - 2,500,000 - $ 506,880 $ 735,000 $ 9,108,000 $ 400,000 $ 5,800,000 $ 2,500,000 $ 408,637 $ 308,000 $ - $ - $ - $ - 693,231 300,000 700,000 - - - - 105,000 247,138 7,630 - 25,000 200,000 75,000 100,000 200,000 180,000 200,000 - 150,000 - - $ 1,461,636 $ $ 1,708,000 $ 380,000 $ 200,000 $ 150,000 $ - Traffic Signal Projects T5005 Traffic Signal-Palisades & Eagle Ridge/Palomino $ - $ 50,000 $ 500,000 $ - $ - $ - $ - $ 50,000 500,000 $ - $ - $ - Vehicle Replacement Program Vehicle Replacement Per Schedule $ 51,989 $ 54,385 $ 530,198 $ 256,722 $ - Contingency $ 259,735 $ 520,762 $ 32,500 $ 300,000 $ 127,500 TOTAL TOTAL PROPOS ED CAPITAL PROJECTS 304 $ 2,298,421 $ 5,454,430 $ $ 10,935,992 $ 682,500 $ 6,300,000 $ 2,677,500 Capital Projects Fund Capital Projects Summary PROPOSED CAPITAL PROJECTS FY20-21 THROUGH FY24-25 BY YEAR AND PROJECT TYPE TOTALS EXPENDITURES BY PRO JECT TYPE & CO STS FY20-21 Requested Stormwater Management/Drainage Projects Facilities Projects Parks & Recreation Projects Street/Sidewalk Projects T raffic Signal Projects Contingency T otal Project Costs $ 2,551,695 150,000 735,000 1,708,000 50,000 259,735 $ 5,454,430 FY21-22 Requested FY22-23 Requested FY23-24 Requested FY24-25 Requested TO TAL FIVEYEAR PRO JECTIO N 427,230 9,108,000 380,000 500,000 520,762 $ 10,935,992 $ $ $ $ $ $ 50,000 400,000 200,000 32,500 682,500 50,000 5,800,000 150,000 300,000 $ 6,300,000 50,000 2,500,000 127,500 $ 2,677,500 3,128,925 150,000 18,543,000 2,438,000 550,000 1,240,497 $ 26,050,422 Projects by Project Type Expenditures - FY21-25 Parks & Recreation Projects 72% Stormwater Management/Drainage Projects 12% Street/Sidewalk Projects 9% Traffic Signal Projects 2% Contingency 5% Total = $26.1M 305 Capital Projects Fund Multiple Departments Multiple Divisions FY20-21 Proposed Budget Summary of Expenditures Capital Projects Fund Description Capital Projects Fund Management Fees Building Improvement Expenses Street Improvement Expenses Park Improvement Expenses Other Infrastructure Expenses Stormwater/Drainage Expenses Furniture/Equipment Building Improvements Street Improvements Park Improvements Other Infrastructure Stormwater/Drainage Improvements Contingency Total Capital Projects Fund FY17-18 FY18-19 FY19-20 FY20-21 Actual Actual Revised Budget Proposed Budget $ 2,791 49,099 9,090 16,392 1,837,138 175,431 1,135,740 - $ 2,720 31,703 388,492 2,526 2,558,246 537,099 1,120,213 - $ 2,800 150,000 50,000 150,000 1,333,378 485,000 675,000 113,873 $ 2,800 50,000 150,000 1,608,000 835,000 50,000 2,501,695 259,735 $ 3,225,681 $ 4,640,999 $ 2,960,051 $ 5,457,230 Operating Results FY18-19 FY19-20 FY20-21 Actual Revised Proposed Budget Budget $ 829,774 $ 1,178,619 $ 737,517 $ 940,852 3,225,681 4,640,999 2,960,051 5,457,230 $(2,395,907) $(3,462,380) $(2,222,534) $(4,516,378) FY17-18 Actual Program Name Total Revenues Total Expenses Total 306 Capital Projects Fund Project Information Sheets Capital Projects Information Sheets 307 Capital Projects Fund Project Information Sheets D6047 PROJECT TITLE: Miscellaneous Drainage Improvements PROJECT NUMBER: D6047 PROJECT DESCRIPTION/SCOPE: This project will provide for the construction of new drainage facilities, major repairs, or the extension of existing facilities at locations of future road widening projects so that excess excavated materials may be put in place when available. This project will also address erosion issues as well as improve drainage as needed. TOWN GOALS TIMEFRAME: FY15-25 YEAR PROJECT BEGAN: FY14-15 TOTAL ESTIMATED PROJECT COST: $358,830 PROJECT JUSTIFICATION: The Town has worked successfully with municipal, private and utility construction contractors in the past to place excess excavation materials at locations where future Town road widening projects will require fill material. This work is done at no cost to the Town and will save on the costs to fill and compact these areas in the future. The locations where the excess materials can be placed are now limited without constructing or extending drainage culverts. Revegetation is also required in the areas where fill materials are placed to help with erosion and aesthetics. FUNDING PRIORITY: 308 High - Leverage Local Funds Capital Projects Fund Project Information Sheets D6047 FUNDING SOURCES ACTIVITY C apital Projects Grant Downtown Strategy Development Fees Bonds Other Sources Unfunded TOTAL Prior Years $ 108,830 $ FY20-21 50,000 $ FY21-22 50,000 $ FY22-23 50,000 $ FY23-24 50,000 $ FY24-25 50,000 $ $ 50,000 $ 50,000 $ 50,000 $ 50,000 $ 50,000 108,830 TOTAL $ 358,830 $ 358,830 PROJECT EXPENSES ACTIVITY Acquisition Planning Design C onstruction Other Expenses TOTAL Prior Years $ - FY20-21 $ 108,830 $ 108,830 FY21-22 - $ 50,000 $ 50,000 FY22-23 - $ 50,000 $ 50,000 FY23-24 - $ 50,000 $ 50,000 FY24-25 - $ 50,000 $ 50,000 TOTAL - 50,000 $ 50,000 $ 358,830 $ 358,830 OPERATING IMPACT ACTIVITY Salaries & Benefits Services & Supplies Other Impact TOTAL FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 TOTAL $ - $ - $ - $ - $ - $ $ - $ - $ - $ - $ - $ - 309 Capital Projects Fund Project Information Sheets D6057 PROJECT TITLE: Golden Eagle Impoundment Area Improvements PROJECT NUMBER: D6057 PROJECT DESCRIPTION/SCOPE: Drainage channel improvements. Modify trash racks on Golden Eagle dam inlets. Construct flood walls, sediment drop basins, grouted rip-rap. . TOWN GOALS TIMEFRAME: FY19-21 YEAR PROJECT BEGAN: FY19-20 TOTAL ESTIMATED PROJECT COST: $1,000,000 PROJECT JUSTIFICATION: Golden Eagle impoundment area receives storm runoff from three washes: Ashbrook wash, Bristol wash and Cloudburst wash. The 100-year storm rainfall intensity values have increased in the northeastern area of Maricopa County. Runoff values have increased due to increased upstream development. Runoff time of concentration has also accelerated due to increased upstream development. The net change as a result of the items noted have increased the amount of flow entering the impoundment area (this area includes the park improvement areas, the ball fields, the picnic ramada area, etc.) and requires major modifications to the drainage courses. FUNDING PRIORITY: 310 High - Prevents Irreparable Damage to Existing Facilities Capital Projects Fund Project Information Sheets D6057 FUNDING SOURCES ACTIVITY C apital Projects Grant Downtown Strategy General Developer Development Fees Bonds Other Sources Unfunded TOTAL Prior Years $ - $ FY19-20 500,000 FY20-21 $ 500,000 $ - $ - $ - $ $ 500,000 $ 500,000 $ - $ - $ - TOTAL $1,000,000 $1,000,000 $ - $ - $ - $ $ - $ - $ - - FY21-22 FY22-23 FY23-24 PROJECT EXPENSES ACTIVITY Acquisition Planning Design C onstruction Other Expenses TOTAL Prior Years $ - $ - FY19-20 $ $ FY20-21 - $ FY21-22 - 500,000 500,000 500,000 $ 500,000 FY22-23 FY23-24 TOTAL 1,000,000 $1,000,000 OPERATING IMPACT ACTIVITY Salaries & Benefits Services & Supplies Other Impact TOTAL FY19-20 FY20-21 FY21-22 FY22-23 FY23-24 TOTAL $ - $ - $ - $ 30,000 $ 30,000 $ $ - $ - $ - $ 30,000 $ 30,000 $ 60,000 60,000 311 Capital Projects Fund Project Information Sheets D6058 PROJECT TITLE: Panorama Drive Storm Drain Improvements PROJECT NUMBER: D6058 PROJECT DESCRIPTION/SCOPE: The Panorama Drain is an existing 48” to 66” Storm Drain system underneath Panorama Drive between Saguaro Blvd and El Lago Blvd and was constructed in 1988. Upstream runoff from the Town is routed downstream to Saguaro Blvd and Palisades Blvd, is collected at the intersection of Panorama and Saguaro Blvd and routed into the Panorama Drain. The Panorama Drain outfalls near El Lago Blvd into Panorama Wash which converges with Colony Wash. TOWN GOALS TIMEFRAME: FY20-21 YEAR PROJECT BEGAN: FY20-21 TOTAL ESTIMATED PROJECT COST: $2,000,000 PROJECT JUSTIFICATION: The 31-year-old system is deteriorating and in many segments of the Storm drain system the pipes are at failure. This failure is defined as pipes being corroded to the extent that there is no longer a pipe bed in place which has caused erosion to occur beneath the pipe bedding. The original pipe material is CMP which has a life span between 20 to 35 years. It is essential for the Town’s overall drainage system to implement a remediation and replacement for the Panorama Drain as delaying this remediation would cause adverse problems not only along the Panorama Drain alignment but also upstream the drain. FUNDING PRIORITY: 312 High - Prevents Irreparable Damage to Existing Facilities Capital Projects Fund Project Information Sheets D6058 FUNDING SOURCES ACTIVITY C apital Projects Grant Downtown Strategy Development Fees Bonds Other Sources Unfunded TOTAL Prior Years $ 98,305 FY20-21 $1,001,695 FY21-22 FY22-23 FY23-24 FY24-25 $ - $ - $ - $ - $ - $ - $ - $ - TOTAL $1,100,000 500,000 400,000 $2,000,000 $ 500,000 400,000 $ 98,305 $1,901,695 PROJECT EXPENSES ACTIVITY Acquisition Planning Design C onstruction Other Expenses TOTAL Prior Years $ - $ FY20-21 $ FY21-22 - 98,305 26,695 1,875,000 98,305 $1,901,695 FY22-23 FY23-24 FY24-25 TOTAL $ - $ - $ - $ - $ - $ - $ - $ - 125,000 1,875,000 $2,000,000 OPERATING IMPACT ACTIVITY Salaries & Benefits Services & Supplies Other Impact TOTAL FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 TOTAL $ - $ 5,000 $ 5,000 $ 5,000 $ 5,000 $ $ - $ 5,000 $ 5,000 $ 5,000 $ 5,000 $ 20,000 20,000 313 Capital Projects Fund Project Information Sheets D6059 PROJECT TITLE: Pollina Brantley Detention Basin PROJECT NUMBER: D6059 PROJECT DESCRIPTION/SCOPE: Storm Water Detention TOWN GOALS TIMEFRAME: FY20-21 YEAR PROJECT BEGAN: FY20 TOTAL ESTIMATED PROJECT COST: $100,000 PROJECT JUSTIFICATION: This project will collect and temporarily store storm water runoff to minimize downstream flooding on neighborhood streets. FUNDING PRIORITY: 314 High - Leverage Local Funds Capital Projects Fund Project Information Sheets D6059 FUNDING SOURCES ACTIVITY C apital Projects Grant Downtown Strategy General Developer Development Fees Bonds Other Sources Unfunded TOTAL Prior Years $ - $ FY20-21 100,000 $ - $ - $ - $ - $ $ 100,000 $ - $ - $ - $ - TOTAL $ 100,000 $ 100,000 $ - FY21-22 FY22-23 FY23-24 FY24-25 PROJECT EXPENSES ACTIVITY Acquisition Planning Design C onstruction Other Expenses TOTAL Prior Years $ - FY20-21 $ FY21-22 - FY22-23 FY23-24 FY24-25 TOTAL $ - $ - $ - $ - $ - $ - $ - $ - 2,500 97,500 $ - $ 100,000 2,500 97,500 $ 100,000 OPERATING IMPACT ACTIVITY Salaries & Benefits Services & Supplies Other Impact TOTAL FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 TOTAL $ - $ 3,000 $ 3,000 $ 3,000 $ 3,000 $ $ - $ 3,000 $ 3,000 $ 3,000 $ 3,000 $ 12,000 12,000 315 Capital Projects Fund Project Information Sheets F4035 PROJECT TITLE: HVAC Controller Retrofit PROJECT NUMBER: F4035 PROJECT DESCRIPTION/SCOPE: Replacement of proprietary HVAC Metasys Johnson Controllers with non-proprietary controllers. TOWN GOALS TIMEFRAME: FY20-21 YEAR PROJECT BEGAN: FY20-21 TOTAL ESTIMATED PROJECT COST: $70,000 PROJECT JUSTIFICATION: The maker of Johnson products no longer support/manufacture the HVAC controllers currently in use at the community center. Staff replaced the HVAC controllers in the Library/Museum and Town Hall with non-proprietary controllers to give more flexibility in maintaining equipment. FUNDING PRIORITY: 316 High - Provides Maintenance to Existing Facilities Capital Projects Fund Project Information Sheets F4035 FUNDING SOURCES ACTIVITY C apital Projects Grant Downtown Strategy General Developer Development Fees Bonds Other Sources Unfunded TOTAL Prior Years $ - $ FY20-21 70,000 $ - $ - $ - $ - $ $ 70,000 $ - $ - $ - $ - TOTAL 70,000 $ 70,000 $ - FY21-22 FY22-23 FY23-24 FY24-25 $ PROJECT EXPENSES ACTIVITY Acquisition Planning Design C onstruction Other Expenses TOTAL Prior Years $ - $ FY20-21 70,000 $ - $ - $ - $ - $ $ 70,000 $ - $ - $ - $ - TOTAL 70,000 $ 70,000 - FY21-22 FY22-23 FY23-24 FY24-25 OPERATING IMPACT ACTIVITY Salaries & Benefits Services & Supplies Other Impact TOTAL FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 TOTAL $ - $ - $ - $ - $ - $ $ - $ - $ - $ - $ - $ - 317 Capital Projects Fund Project Information Sheets F4036 PROJECT TITLE: Fire Alarm Control Panel Replacement PROJECT NUMBER: F4036 PROJECT DESCRIPTION/SCOPE: Replacement of two fire alarm panels, one each at the community center and library/museum . TOWN GOALS TIMEFRAME: FY20-21 YEAR PROJECT BEGAN: FY20-21 TOTAL ESTIMATED PROJECT COST: $80,000 PROJECT JUSTIFICATION: The current fire alarm panels are original to the construction of the buildings, completed in 2001. Parts for the fire alarm panels are becoming increasingly harder to find, as this particular panel, made by Simplex, is no longer in production. FUNDING PRIORITY: 318 High - Provides Maintenance of Existing Facilities Capital Projects Fund Project Information Sheets F4036 FUNDING SOURCES ACTIVITY C apital Projects Grant Downtown Strategy General Developer Development Fees Bonds Other Sources Unfunded TOTAL Prior Years $ - $ FY20-21 80,000 $ - $ - $ - $ - $ $ 80,000 $ - $ - $ - $ - TOTAL 80,000 $ 80,000 $ - FY21-22 FY22-23 FY23-24 FY24-25 $ PROJECT EXPENSES ACTIVITY Acquisition Planning Design C onstruction Other Expenses TOTAL Prior Years $ - $ FY20-21 80,000 $ - $ - $ - $ - $ $ 80,000 $ - $ - $ - $ - TOTAL 80,000 $ 80,000 - FY21-22 FY22-23 FY23-24 FY24-25 OPERATING IMPACT ACTIVITY Salaries & Benefits Services & Supplies Other Impact TOTAL FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 TOTAL $ - $ - $ - $ - $ - $ $ - $ - $ - $ - $ - $ - 319 Capital Projects Fund Project Information Sheets P3032 PROJECT TITLE: Sport Field Lighting PROJECT NUMBER: P3032 PROJECT DESCRIPTION/SCOPE: Replacement of existing 1,500 watt metal halide sports field lighting assemblies at Golden Eagle Park and Four Peaks Park with LED field lighting assemblies. TOWN GOALS TIMEFRAME: FY21-22 YEAR PROJECT BEGAN: FY21-22 TOTAL ESTIMATED PROJECT COST: $1,733,000 PROJECT JUSTIFICATION: Four Peaks Parks currently has 17 field lighting poles and metal halide lighting fixtures that were installed in the 1990s. Golden Eagle Park has 20 field lighting poles and metal halide lighting fixtures installed in the 1990s. This project will leave the existing field lighting poles in place and will replace the outdated lighting fixtures with LED fixtures offering better performance while reducing maintenance and electrical costs. FUNDING PRIORITY: 320 Medium - Provides Maintenance of Existing Systems Capital Projects Fund Project Information Sheets P3032 FUNDING SOURCES ACTIVITY C apital Projects Grant Downtown Strategy General Developer Development Fees Bonds Other Sources Unfunded TOTAL Prior Years $ - $ - $ - $ - $ - $ - $ $ - 1,733,000 $1,733,000 $ - $ - $ - 1,733,000 $1,733,000 $ - $ - $ - $ $ - $ - $ - 1,733,000 $1,733,000 - FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 TOTAL $ PROJECT EXPENSES ACTIVITY Acquisition Planning Design C onstruction Other Expenses TOTAL Prior Years $ - FY20-21 $ FY21-22 - $ FY22-23 - FY23-24 FY24-25 TOTAL 1,733,000 $ - $ - $1,733,000 OPERATING IMPACT ACTIVITY Salaries & Benefits Services & Supplies Other Impact TOTAL FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 TOTAL $ - $ - $ - $ - $ - $ $ - $ - $ - $ - $ - $ - 321 Capital Projects Fund Project Information Sheets P3033 PROJECT TITLE: Video Surveillance Cameras PROJECT NUMBER: P3033 PROJECT DESCRIPTION/SCOPE: Purchase and installation of video surveillance cameras at various Town parks and facilities. TOWN GOALS TIMEFRAME: FY17-22 YEAR PROJECT BEGAN: FY17-18 TOTAL ESTIMATED PROJECT COST: $200,000 PROJECT JUSTIFICATION: The Town has seen an increase in vandalism at Town parks and facilities. Additional surveillance cameras may deter vandalism or provide video evidence should vandalism occur. FUNDING PRIORITY: 322 High - Protects Health & Safety of the Town Capital Projects Fund Project Information Sheets P3033 FUNDING SOURCES ACTIVITY C apital Projects Grant Downtown Strategy General Developer Development Fees Bonds Other Sources Unfunded TOTAL Prior Years $ 94,316 $ FY20-21 50,000 $ FY21-22 50,000 $ - $ - $ - $ $ 50,000 $ 50,000 $ - $ - $ - $ - $ - - $ - $ - 94,316 FY22-23 FY23-24 FY24-25 TOTAL $ 194,316 $ 194,316 PROJECT EXPENSES ACTIVITY Acquisition Planning Design C onstruction Other Expenses TOTAL Prior Years $ 94,316 $ FY20-21 50,000 $ FY21-22 50,000 $ $ 50,000 $ 50,000 94,316 FY22-23 $ FY23-24 FY24-25 TOTAL $ 194,316 $ 194,316 OPERATING IMPACT ACTIVITY Salaries & Benefits Services & Supplies Other Impact TOTAL FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 TOTAL $ 5,000 $ 5,000 $ 5,000 $ 5,000 $ 5,000 $ $ 5,000 $ 5,000 $ 5,000 $ 5,000 $ 5,000 $ 25,000 25,000 323 Capital Projects Fund Project Information Sheets P3035 PROJECT TITLE: Four Peaks Park Upgrades PROJECT NUMBER: P3035 PROJECT DESCRIPTION/SCOPE: Redesign existing playground space and swing structures with new layout, play equipment, and accessibility at Four Peaks Park. TOWN GOALS TIMEFRAME: FY18-23 YEAR PROJECT BEGAN: FY18-19 TOTAL ESTIMATED PROJECT COST: $1,042,564 PROJECT JUSTIFICATION: The Four Peaks Playground has a large swing structure that is underutilized and is misconfigured to the space available. The current play surface is non-ADA compliant and is a liability risk to the Town. Redevelopment of this area would enhance the park making it safer and more usable for children of all ages. Refurbishing of the infields and restrooms would also be included in this project. FUNDING PRIORITY: 324 High - Protects Health & Safety of the Town Capital Projects Fund Project Information Sheets P3035 FUNDING SOURCES ACTIVITY C apital Projects Grant Downtown Strategy General Developer Development Fees Bonds Other Sources Unfunded TOTAL Prior Years $ 397,564 15,000 $ FY20-21 330,000 FY21-22 $ 200,000 FY22-23 $ 100,000 $ - $ - $ $ 330,000 $ 200,000 $ 100,000 $ - $ - $ - $ - $ - $ - 412,564 FY23-24 FY24-25 TOTAL $1,027,564 15,000 $1,042,564 PROJECT EXPENSES ACTIVITY Acquisition Planning Design C onstruction Other Expenses TOTAL Prior Years $ 66,234 $ 346,330 $ 412,564 $ FY20-21 60,000 FY21-22 $ FY22-23 - $ FY23-24 - 270,000 200,000 100,000 330,000 $ 200,000 $ 100,000 FY24-25 TOTAL $ 126,234 916,330 $1,042,564 OPERATING IMPACT ACTIVITY Salaries & Benefits Services & Supplies Other Impact TOTAL FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 TOTAL $ 8,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ $ 8,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 48,000 48,000 325 Capital Projects Fund Project Information Sheets P3036 PROJECT TITLE: Desert Vista Skate Park Lights PROJECT NUMBER: P3036 PROJECT DESCRIPTION/SCOPE: Installation of lights at the skate park. Grant funding will be requested, however, the grant funding is not guaranteed. TOWN GOALS TIMEFRAME: FY21-22 YEAR PROJECT BEGAN: FY21-22 TOTAL ESTIMATED PROJECT COST: $75,000 PROJECT JUSTIFICATION: The addition of lights at the skate park would allow for evening access to the facility. FUNDING PRIORITY: 326 Low - Provides an Expanded Level of Service Capital Projects Fund Project Information Sheets P3036 FUNDING SOURCES ACTIVITY C apital Projects Grant Downtown Strategy General Developer Development Fees Bonds Other Sources Unfunded TOTAL Prior Years $ - $ - $ FY21-22 35,000 40,000 $ - $ - $ - $ $ - $ 75,000 $ - $ - $ - TOTAL 35,000 40,000 $ 75,000 $ - $ - $ - $ $ - $ - $ - $ - FY20-21 FY22-23 FY23-24 FY24-25 $ PROJECT EXPENSES ACTIVITY Acquisition Planning Design C onstruction Other Expenses TOTAL Prior Years $ - FY20-21 $ FY21-22 - $ FY22-23 - FY23-24 FY24-25 TOTAL 5,000 70,000 $ - $ - $ 75,000 5,000 70,000 75,000 OPERATING IMPACT ACTIVITY Salaries & Benefits Services & Supplies Other Impact TOTAL FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 TOTAL $ - $ 2,000 $ 2,000 $ 2,000 $ 2,000 $ $ - $ 2,000 $ 2,000 $ 2,000 $ 2,000 $ 8,000 8,000 327 Capital Projects Fund Project Information Sheets P3038 PROJECT TITLE: Fountain Park Lake Liner Replacement PROJECT NUMBER: P3038 PROJECT DESCRIPTION/SCOPE: Remove existing lake liner, repair any subgrade issues or damage and install replacement liner. TOWN GOALS TIMEFRAME: FY21-22 YEAR PROJECT BEGAN: FY21-22 TOTAL ESTIMATED PROJECT COST: $5,000,000 PROJECT JUSTIFICATION: The current lake liner was installed in 2000. The life expectancy for this liner is 20 to 30 years. The current condition or amount of deterioration of the liner is unknown and, in effort to be proactive, a replacement should be considered by 2022. If the project is postponed until the liner fails, significant cleanup efforts as well as potential fines may be incurred due to ground water contamination. FUNDING PRIORITY: 328 High - Town Council Priority Capital Projects Fund Project Information Sheets P3038 FUNDING SOURCES ACTIVITY C apital Projects Grant Downtown Strategy General Developer Development Fees Bonds Other Sources Unfunded TOTAL Prior Years $ - FY20-21 $ FY21-22 - $ FY22-23 - FY23-24 FY24-25 TOTAL $ - $ - $ - $ - $ - $ - 5,000,000 $ - $ - $5,000,000 $ 5,000,000 $5,000,000 PROJECT EXPENSES ACTIVITY Acquisition Planning Design C onstruction Other Expenses TOTAL Prior Years $ - $ - $ 1,500,000 500,000 3,000,000 $ - $ - $ - $ $ - $5,000,000 $ - $ - $ - TOTAL $ 1,500,000 500,000 3,000,000 $5,000,000 - FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 OPERATING IMPACT ACTIVITY Salaries & Benefits Services & Supplies Other Impact TOTAL FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 TOTAL $ - $ - $ - $ - $ - $ $ - $ - $ - $ - $ - $ - 329 Capital Projects Fund Project Information Sheets P3039 PROJECT TITLE: Fountain Park Pump Replacements PROJECT NUMBER: P3039 PROJECT DESCRIPTION/SCOPE: Upgrade existing fountain pumps to a variable frequency system to allow for graduated Fountain heights to accommodate wind and other conditions. TOWN GOALS TIMEFRAME: FY21-22 YEAR PROJECT BEGAN: FY21-22 TOTAL ESTIMATED PROJECT COST: $1,500,000 PROJECT JUSTIFICATION: The current Fountain operates on three 600 horsepower pumps, allowing the Fountain to operate at three possible heights. Operating one pump allows the Fountain to run at roughly 170 feet, operating two pumps allows the Fountain to run at 330 feet, and operating all three pumps has the Fountain reaching 560 feet. These pumps operate only when certain wind conditions are met, and winds over 15 mph require the Fountain to be shut down completely. The upgrade to a variable frequency system will allow the Fountain height to adjust to real time wind conditions and operate more regularly. This project should ideally be taken on in conjunction with the lake liner replacement to minimize down time of the Fountain. FUNDING PRIORITY: 330 High - Town Council Priority Capital Projects Fund Project Information Sheets P3039 FUNDING SOURCES ACTIVITY C apital Projects Grant Downtown Strategy General Developer Development Fees Bonds Other Sources Unfunded TOTAL Prior Years $ - FY20-21 $ FY21-22 - $ FY22-23 - FY23-24 FY24-25 TOTAL $ - $ - $ - $ - $ - $ - 1,500,000 $1,500,000 $ - $ - $ - $ $ - $ - $ - 500,000 1,000,000 $1,500,000 1,500,000 $ - $ - $1,500,000 $ PROJECT EXPENSES ACTIVITY Acquisition Planning Design C onstruction Other Expenses TOTAL Prior Years $ - FY20-21 $ FY21-22 - $ FY22-23 - FY23-24 FY24-25 TOTAL 500,000 1,000,000 $ - $ - $1,500,000 OPERATING IMPACT ACTIVITY Salaries & Benefits Services & Supplies Other Impact TOTAL FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 TOTAL $ - $ - $ - $ - $ - $ $ - $ - $ - $ - $ - $ - 331 Capital Projects Fund Project Information Sheets P3040 PROJECT TITLE: Splash Pad Renovation PROJECT NUMBER: P3040 PROJECT DESCRIPTION/SCOPE: Renovate existing splash pad, repair and replace leaking fixtures, resurface the play space and add upgraded UV filtration system. TOWN GOALS TIMEFRAME: FY21-22 YEAR PROJECT BEGAN: FY21-22 TOTAL ESTIMATED PROJECT COST: $550,000 PROJECT JUSTIFICATION: The Rotary Centennial Splash Pad was installed in 2007. The features within the splash pad have exceeded their life expectancy and are now showing significant wear and tear. Many parts are leaking and beyond repair. The installation of the features is subgrade, therefore replacement requires significant excavation and removal of concrete floor. Replacement with at-grade, modular features is recommended. The addition of a UV filtration system is also recommended to ensure public health and safety. FUNDING PRIORITY: 332 High - Prevents Irreparable Damage to Existing Facilities Capital Projects Fund Project Information Sheets P3040 FUNDING SOURCES ACTIVITY C apital Projects Grant Downtown Strategy General Developer Development Fees Bonds Other Sources Unfunded TOTAL Prior Years $ - FY20-21 $ FY21-22 - $ FY22-23 - FY23-24 FY24-25 TOTAL $ - $ - $ - $ - $ - $ - 550,000 $ 550,000 $ - $ - $ - $ $ - $ - $ - 550,000 $ - $ - $ 550,000 $ PROJECT EXPENSES ACTIVITY Acquisition Planning Design C onstruction Other Expenses TOTAL Prior Years $ - FY20-21 $ FY21-22 - $ FY22-23 - FY23-24 FY24-25 TOTAL 50,000 500,000 $ - $ - $ 550,000 50,000 500,000 $ 550,000 OPERATING IMPACT ACTIVITY Salaries & Benefits Services & Supplies Other Impact TOTAL FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 TOTAL $ - $ - $ 7,500 $ 7,500 $ 7,500 $ $ - $ - $ 7,500 $ 7,500 $ 7,500 $ 22,500 22,500 333 Capital Projects Fund Project Information Sheets P3041 PROJECT TITLE: SunRidge Park PROJECT NUMBER: P3041 PROJECT DESCRIPTION/SCOPE: Development of Town-owned parcel at SunRidge Canyon Drive and Desert Canyon Drive into a new park site. This project is an alternative to the proposed Fire Station #3 location in which a pocket park was included. TOWN GOALS TIMEFRAME: FY22-25 YEAR PROJECT BEGAN: FY22-23 TOTAL ESTIMATED PROJECT COST: $3,500,000 PROJECT JUSTIFICATION: The Town’s General Plan recommends the addition of park space within our community, particularly in areas where our current parks do not serve. Areas in the northwest and southwest quadrants of the Town do not have any park amenities within a walkable distance. The addition of SunRidge Park would be a vital component to enhancing our community and creating a better quality of life for all residents. FUNDING PRIORITY: 334 Low - Provides an Expanded Level of Service Capital Projects Fund Project Information Sheets P3041 FUNDING SOURCES ACTIVITY C apital Projects Grant Downtown Strategy General Developer Development Fees Bonds Other Sources Unfunded TOTAL Prior Years $ - $ - FY20-21 $ FY21-22 - $ - $ FY22-23 - $ - $ FY23-24 - $ FY24-25 - 200,000 500,000 $ 200,000 $ 500,000 $ TOTAL - 3,000,000 $3,000,000 $ 700,000 3,000,000 $3,700,000 PROJECT EXPENSES ACTIVITY Acquisition Planning Design C onstruction Other Expenses TOTAL Prior Years $ - FY20-21 $ FY21-22 - $ FY22-23 - $ FY23-24 - $ FY24-25 - TOTAL $ - $3,300,000 $ - FY23-24 60,000 100,000 $ FY24-25 60,000 100,000 200,000 3,300,000 $ - $ - $ - $ 200,000 $ 200,000 3,300,000 $3,500,000 OPERATING IMPACT ACTIVITY Salaries & Benefits Services & Supplies Other Impact TOTAL FY20-21 FY21-22 FY22-23 $ - $ - $ - $ $ - $ - $ - $ 160,000 $ 160,000 TOTAL $ 120,000 200,000 $ 320,000 335 Capital Projects Fund Project Information Sheets P3042 PROJECT TITLE: Fountain Lighting Replacement PROJECT NUMBER: P3042 PROJECT DESCRIPTION/SCOPE: Replace existing fountain lighting that has surpassed its expected life cycle. Upgrade both the fountain and shoreline lights with LED fixtures and repair/replace surrounding enclosures including the trusses and supporting elements on the fountain. TOWN GOALS TIMEFRAME: FY20-21 YEAR PROJECT BEGAN: FY20-21 TOTAL ESTIMATED PROJECT COST: $150,000 PROJECT JUSTIFICATION: The existing lights are failing fixture by fixture. Only three of six shoreline lights are currently operable and five of 12 fountain lights currently operate. They are subjected to a very harsh environment including high water pressures and extreme salinity. Replacement is needed and upgrading to more current electrical technology, including LED fixtures, is prudent for longevity and financial purposes. FUNDING PRIORITY: 336 Low - Provides an Expanded Level of Service Capital Projects Fund Project Information Sheets P3042 FUNDING SOURCES ACTIVITY C apital Projects Grant Downtown Strategy General Developer Development Fees Bonds Other Sources Unfunded TOTAL Prior Years $ - $ FY20-21 150,000 $ - $ - $ - $ - $ $ 150,000 $ - $ - $ - $ - TOTAL $ 150,000 $ 150,000 $ - FY21-22 FY22-23 FY23-24 FY24-25 PROJECT EXPENSES ACTIVITY Acquisition Planning Design C onstruction Other Expenses TOTAL Prior Years $ - $ FY20-21 75,000 $ FY21-22 - $ FY22-23 - $ FY23-24 - $ FY24-25 - $ - $ - $ - $ - TOTAL 75,000 75,000 $ 150,000 75,000 $ - $ 150,000 OPERATING IMPACT ACTIVITY Salaries & Benefits Services & Supplies Other Impact TOTAL FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 TOTAL $ - $ - $ - $ - $ - $ $ - $ - $ - $ - $ - $ - 337 Capital Projects Fund Project Information Sheets P3044 PROJECT TITLE: Sierra Madre Park PROJECT NUMBER: P3044 PROJECT DESCRIPTION/SCOPE: Development of Town-owned parcel at Sierra Madre and Golden Eagle Blvd into an active park space. TOWN GOALS TIMEFRAME: FY22-30 YEAR PROJECT BEGAN: FY22-23 TOTAL ESTIMATED PROJECT COST: $10,500,000 PROJECT JUSTIFICATION: The Town’s General Plan recommends the addition of park space within our community. The community has minimal Town-owned property available for park use however, this open parcel is almost 20 acres and makes an idea park location. Additionally, it is adjacent to a school-owned site and is consistent with the surrounding potential land use. The addition of Sierra Madre Park would be a vital component to enhancing our community and creating a better quality of life for all residents. FUNDING PRIORITY: 338 Low - Provides an Expanded Level of Service Capital Projects Fund Project Information Sheets P3044 FUNDING SOURCES ACTIVITY C apital Projects Grant Downtown Strategy General Developer Development Fees Bonds Other Sources Unfunded TOTAL Prior Years $ - FY20-21 $ FY21-22 - $ FY22-23 - $ FY23-24 - $ FY24-25 - $ TOTAL - 100,000 $ - $ - $ - $ 100,000 2,500,000 $2,500,000 2,500,000 $2,500,000 $ 100,000 5,000,000 $5,100,000 PROJECT EXPENSES ACTIVITY Acquisition Planning Design C onstruction Other Expenses TOTAL Prior Years $ - FY20-21 $ FY21-22 - $ FY22-23 - $ FY23-24 - $ FY24-25 - $ TOTAL - 100,000 $ - $ - $ - $ 100,000 2,500,000 2,500,000 $2,500,000 $2,500,000 $ 100,000 5,000,000 $5,100,000 OPERATING IMPACT ACTIVITY Salaries & Benefits Services & Supplies Other Impact TOTAL FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 TOTAL $ - $ - $ - $ - $ - $ $ - $ - $ - $ - $ - $ - 339 Capital Projects Fund Project Information Sheets P3045 PROJECT TITLE: Four Peaks Park Playground Parking Lot Improvements PROJECT NUMBER: P3045 PROJECT DESCRIPTION/SCOPE: Pave the south side parking lot and seal the entry driveway. TOWN GOALS TIMEFRAME: FY20-21 YEAR PROJECT BEGAN: FY20-21 TOTAL ESTIMATED PROJECT COST: $65,000 PROJECT JUSTIFICATION: The south side of the playground parking area is currently an unimproved dirt lot. Paving this area will provide for a safer environment for park users. FUNDING PRIORITY: 340 High - Finishes a Partially Completed Project Capital Projects Fund Project Information Sheets P3045 FUNDING SOURCES ACTIVITY C apital Projects Grant Downtown Strategy General Developer Development Fees Bonds Other Sources Unfunded TOTAL Prior Years $ - $ FY20-21 65,000 $ - $ - $ - $ - $ $ 65,000 $ - $ - $ - $ - TOTAL 65,000 $ 65,000 - FY21-22 FY22-23 FY23-24 FY24-25 $ PROJECT EXPENSES ACTIVITY Acquisition Planning Design C onstruction Other Expenses TOTAL Prior Years $ - FY20-21 $ FY21-22 - FY22-23 FY23-24 FY24-25 TOTAL $ - $ - $ - $ - $ $ - $ - $ - $ - $ 3,000 62,000 $ - $ 65,000 3,000 62,000 65,000 OPERATING IMPACT ACTIVITY Salaries & Benefits Services & Supplies Other Impact TOTAL FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 TOTAL $ - $ - $ - $ - $ - $ $ - $ - $ - $ - $ - $ - 341 Capital Projects Fund Project Information Sheets S6003 PROJECT TITLE: Unpaved Alley Paving Projects PROJECT NUMBER: S6003 PROJECT DESCRIPTION/SCOPE: This project involves paving a number of unpaved alleys throughout the Town. The paving project is divided into five phases as follows: Phase I: 1,400 LF from Panorama to Colony - Completed Phase II: 870 LF from Tower to Panorama - Completed Phase III: 890 LF from Panorama to Enterprise - Completed Phase IV: 1,150 LF adjacent to Colony Wash and 770 linear feet from Fountain Hills Boulevard to Glenbrook Phase V: 770 feet from Fountain Hills Boulevard to Glenbrook TOWN GOALS TIMEFRAME: FY09-21 YEAR PROJECT BEGAN: FY08-09 TOTAL ESTIMATED PROJECT COST: $716,637 PROJECT JUSTIFICATION: Maricopa County has mandated that all municipalities stabilize unpaved alleys to mitigate air pollution. The Town of Fountain Hills has entered into an IGA with Maricopa County requiring the unpaved alleys to be stabilized. FUNDING PRIORITY: 342 High - Federal, State or Local Mandate Capital Projects Fund Project Information Sheets S6003 FUNDING SOURCES ACTIVITY C apital Projects Grant Downtown Strategy General Developer Development Fees Bonds Other Sources Unfunded TOTAL Prior Years $ 408,637 $ FY20-21 308,000 $ $ 308,000 408,637 FY21-22 $ FY22-23 - FY23-24 FY24-25 $ - $ - $ - $ - $ - $ - TOTAL $ 716,637 $ 716,637 $ PROJECT EXPENSES ACTIVITY Acquisition Planning Design C onstruction Other Expenses TOTAL Prior Years $ - $ 42,815 365,049 773 408,637 FY20-21 $ FY21-22 - FY22-23 FY23-24 FY24-25 TOTAL $ - $ - $ - $ - $ - $ - $ - $ - 87,815 628,049 773 $ 716,637 45,000 263,000 $ 308,000 OPERATING IMPACT ACTIVITY Salaries & Benefits Services & Supplies Other Impact TOTAL FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 TOTAL $ - $ - $ - $ - $ - $ $ 2,000 2,000 $ 2,000 2,000 $ 2,000 2,000 $ 2,000 2,000 $ 2,000 2,000 $ 10,000 10,000 343 Capital Projects Fund Project Information Sheets S6051 PROJECT TITLE: Avenue of the Fountains/La Montana Intersection Improvements PROJECT NUMBER: S6051 PROJECT DESCRIPTION/SCOPE: Construct a roundabout to improve traffic/pedestrian safety. TOWN GOALS TIMEFRAME: FY18-21 YEAR PROJECT BEGAN: FY18-19 TOTAL ESTIMATED PROJECT COST: $700,000 PROJECT JUSTIFICATION: Traffic, bike, and pedestrian movements at the AOTF/La Montana intersection have been an on-going issue since the Town’s incorporation, primarily due to the existing, wide AOTF median. This project will improve intersection traffic operations by constructing a roundabout. FUNDING PRIORITY: 344 High - Protects Health & Safety of the Town Capital Projects Fund Project Information Sheets S6051 FUNDING SOURCES ACTIVITY C apital Projects Grant Downtown Strategy General Developer Development Fees Bonds Other Sources Unfunded TOTAL Prior Years FY20-21 $ 391,249 $ 391,249 FY21-22 - FY22-23 FY23-24 FY24-25 TOTAL $ - $ - $ - $ - $ - $ - $ - $ - 691,249 $ 691,249 $ 300,000 $ 300,000 $ PROJECT EXPENSES ACTIVITY Acquisition Planning Design C onstruction Other Expenses TOTAL Prior Years $ - FY20-21 $ 91,249 300,000 $ 391,249 FY21-22 - FY22-23 FY23-24 FY24-25 TOTAL $ - $ - $ - $ - $ - $ - $ - $ - 300,000 $ 300,000 91,249 600,000 $ 691,249 OPERATING IMPACT ACTIVITY Salaries & Benefits Services & Supplies Other Impact TOTAL FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 TOTAL $ - $ 1,500 $ 1,500 $ 1,500 $ 1,500 $ $ - $ 1,500 $ 1,500 $ 1,500 $ 1,500 $ 6,000 6,000 345 Capital Projects Fund Project Information Sheets S6053 PROJECT TITLE: Fountain Hills Boulevard Shoulder Paving PROJECT NUMBER: S6053 PROJECT DESCRIPTION/SCOPE: This project will pave the dirt shoulders along Fountain Hills Boulevard from Pinto Drive to Segundo Drive providing dust mitigation and erosion control. TOWN GOALS TIMEFRAME: FY12-21 YEAR PROJECT BEGAN: FY19-20 TOTAL ESTIMATED PROJECT COST: $2,273,781 PROJECT JUSTIFICATION: The Town recently completed the southbound section of Fountain Hills Boulevard from Segundo Drive to Pinto Drive utilizing both grant and local matched funding. This project will provide dust mitigation, erosion control, run-off-the-road hazard mitigation, potential future use by bicycles for the northbound section from Pinto Drive to Segundo Drive. FUNDING PRIORITY: 346 High - Finishes a Partially Completed Project Capital Projects Fund Project Information Sheets S6053 FUNDING SOURCES ACTIVITY C apital Projects Grant Downtown Strategy General Developer Development Fees Bonds Other Sources Unfunded TOTAL Prior Years $ 880,550 693,231 $1,573,781 FY20-21 $ FY21-22 - FY22-23 FY23-24 FY24-25 TOTAL $ - $ - $ - $ - $ - $ - $ - $ - 880,550 1,393,231 $2,273,781 $ 700,000 $ 700,000 $ PROJECT EXPENSES ACTIVITY Acquisition Planning Design C onstruction Other Expenses TOTAL Prior Years $ - FY20-21 $ 349,399 1,224,382 $1,573,781 FY21-22 - FY22-23 FY23-24 FY24-25 TOTAL $ - $ - $ - $ - $ - $ - $ - $ - 349,399 1,924,382 $2,273,781 700,000 $ 700,000 OPERATING IMPACT ACTIVITY Salaries & Benefits Services & Supplies Other Impact TOTAL FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 TOTAL $ - $ - $ - $ - $ - $ $ - $ - $ - $ - $ - $ - 347 Capital Projects Fund Project Information Sheets S6058 PROJECT TITLE: Shea Boulevard Widening - Palisades Boulevard to Technology Drive PROJECT NUMBER: S6058 PROJECT DESCRIPTION/SCOPE: Design Concept Report for the design and widening of Shea Boulevard to six lanes from Palisades Boulevard to Technology Drive. TOWN GOALS TIMEFRAME: FY19-21 YEAR PROJECT BEGAN: FY18-19 TOTAL ESTIMATED PROJECT COST: $130,000 PROJECT JUSTIFICATION: Shea Boulevard is a road of regional significance and has an average daily traffic volume of 26,000 vehicles at Palisades Boulevard. This project is a MAG Proposition 400 project which will provide for 70% of the project funding with a 30% match from the Town. The Design Concept Report will provide for an updated scope of work and cost estimate. FUNDING PRIORITY: 348 High - Leverage Local Funds Capital Projects Fund Project Information Sheets S6058 FUNDING SOURCES ACTIVITY C apital Projects Grant Downtown Strategy General Developer Development Fees Bonds Other Sources Unfunded TOTAL Prior Years $ 31,500 73,500 $ FY20-21 7,500 17,500 $ - $ - $ - $ - $ $ 25,000 $ - $ - $ - $ - TOTAL 39,000 91,000 $ 130,000 $ 105,000 FY21-22 FY22-23 FY23-24 FY24-25 $ PROJECT EXPENSES ACTIVITY Acquisition Planning Design C onstruction Other Expenses TOTAL Prior Years $ 105,000 $ 25,000 $ - $ - $ - $ - $ $ 25,000 $ - $ - $ - $ - 130,000 $ 130,000 105,000 FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 TOTAL OPERATING IMPACT ACTIVITY Salaries & Benefits Services & Supplies Other Impact TOTAL FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 TOTAL $ - $ - $ - $ - $ - $ $ - $ - $ - $ - $ - $ - 349 Capital Projects Fund Project Information Sheets S6061 PROJECT TITLE: Sidewalk Infill Program PROJECT NUMBER: S6061 PROJECT DESCRIPTION/SCOPE: Construct sidewalks to infill gaps between existing sidewalks; complete full street block sidewalk lengths; connect to existing pedestrian generators (including schools, parks, churches, and commercial areas), and for pedestrian safety (hazard removal, handicap accessibility, curb ramp upgrades, and along arterial streets). Specific project locations will be submitted annually by staff for Town Council consideration. TOWN GOALS TIMEFRAME: FY18-24 YEAR PROJECT BEGAN: FY18-19 TOTAL ESTIMATED PROJECT COST: $1,000,000 PROJECT JUSTIFICATION: Most pre-incorporation areas within the Town were constructed without any sidewalks, requiring pedestrians to walk in the street. Increased roadway traffic has created safety hazards; and increased pedestrian usage has intensified the hazards. Town funds may be used as matching funds for future sidewalk grant application(s), when available. Some of the funds may be utilized for survey and/or design work, when needed. FUNDING PRIORITY: 350 High - Finishes a Partially Completed Project Capital Projects Fund Project Information Sheets S6061 FUNDING SOURCES ACTIVITY C apital Projects Grant Downtown Strategy General Developer Development Fees Bonds Other Sources Unfunded TOTAL Prior Years $ 97,036 $ FY20-21 200,000 FY21-22 $ 200,000 FY22-23 $ 200,000 FY23-24 $ 150,000 $ FY24-25 - $ 200,000 $ 200,000 $ 200,000 $ 150,000 $ - TOTAL $ 847,036 150,103 $ 997,139 $ - $ $ - 150,103 $ 247,139 PROJECT EXPENSES ACTIVITY Acquisition Planning Design C onstruction Other Expenses TOTAL Prior Years $ - FY20-21 $ 247,139 $ 247,139 $ FY21-22 - $ FY22-23 - $ FY23-24 - $ FY24-25 - 200,000 200,000 200,000 150,000 200,000 $ 200,000 $ 200,000 $ 150,000 TOTAL 997,139 $ 997,139 OPERATING IMPACT ACTIVITY Salaries & Benefits Services & Supplies Other Impact TOTAL FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 TOTAL $ 2,000 $ 2,000 $ 2,000 $ 2,000 $ 2,000 $ $ 2,000 $ 2,000 $ 2,000 $ 2,000 $ 2,000 $ 10,000 10,000 351 Capital Projects Fund Project Information Sheets S6062 PROJECT TITLE: Avenue of the Fountains/Verde River Intersection Improvements PROJECT NUMBER: S6062 PROJECT DESCRIPTION/SCOPE: Install curbing and landscape improvements. TOWN GOALS TIMEFRAME: FY19-21 YEAR PROJECT BEGAN: FY19-20 TOTAL ESTIMATED PROJECT COST: $82,630 PROJECT JUSTIFICATION: The AOTF and Verde River Intersection has seen an increase in vehicle and pedestrian traffic. A traffic engineering study determined an all way Stop-using LED flashing Stop signs and adding crosswalks to connect the East and West segments of the Park would provide additional safety measures for pedestrian and vehicle traffic. FUNDING PRIORITY: 352 High - Protects Health & Safety of the Town Capital Projects Fund Project Information Sheets S6062 FUNDING SOURCES ACTIVITY C apital Projects Grant Downtown Strategy General Developer Development Fees Bonds Other Sources Unfunded TOTAL Prior Years $ - FY20-21 $ 7,630 $ 7,630 FY21-22 - FY22-23 FY23-24 FY24-25 TOTAL $ - $ - $ - $ - $ $ - $ - $ - $ - $ 75,000 $ 75,000 82,630 82,630 PROJECT EXPENSES ACTIVITY Acquisition Planning Design C onstruction Other Expenses TOTAL Prior Years $ - FY20-21 $ FY21-22 - FY22-23 FY23-24 FY24-25 TOTAL $ - $ - $ - $ - $ $ - $ - $ - $ - $ 7,630 75,000 $ 7,630 $ 75,000 7,630 75,000 82,630 OPERATING IMPACT ACTIVITY Salaries & Benefits Services & Supplies Other Impact TOTAL FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 TOTAL $ - $ 2,500 $ 2,500 $ 2,500 $ 2,500 $ $ - $ 2,500 $ 2,500 $ 2,500 $ 2,500 $ 10,000 10,000 353 Capital Projects Fund Project Information Sheets S6063 PROJECT TITLE: Palisades Median Landscape Improvements PROJECT NUMBER: S6063 PROJECT DESCRIPTION/SCOPE: This project will provide the reconstruction of the medians on Palisades Blvd from Golden Eagle to Shea Blvd. New irrigation lines, line of sight issues and the removal/installation of new ground cover will enhance the look from the current natural state to a maintained appearance. TOWN GOALS TIMEFRAME: FY20-22 YEAR PROJECT BEGAN: FY20-21 TOTAL ESTIMATED PROJECT COST: $300,000 PROJECT JUSTIFICATION: The current condition of the medians in this section are in a natural state leaving broken irrigation lines, line of sight issues for motorists and unsightly sporadic over-sized landscape rock throughout these sections of medians. FUNDING PRIORITY: 354 Low - Provides an Expanded Level of Service Capital Projects Fund Project Information Sheets S6063 FUNDING SOURCES ACTIVITY C apital Projects Grant Downtown Strategy General Developer Development Fees Bonds Other Sources Unfunded TOTAL Prior Years $ - $ - $ $ 150,000 150,000 - FY20-21 FY21-22 $ FY22-23 FY23-24 FY24-25 TOTAL - $ - $ - $ - $ 150,000 $ 150,000 $ - $ - $ - 300,000 $ 300,000 $ - $ - $ - $ $ - $ - $ - PROJECT EXPENSES ACTIVITY Acquisition Planning Design C onstruction Other Expenses TOTAL Prior Years $ - $ - FY20-21 $ $ FY21-22 - $ FY22-23 - 20,000 130,000 150,000 150,000 $ 150,000 FY23-24 FY24-25 TOTAL 20,000 280,000 $ 300,000 OPERATING IMPACT ACTIVITY Salaries & Benefits Services & Supplies Other Impact TOTAL FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 TOTAL $ - $ 7,000 $ 7,000 $ 7,000 $ 7,000 $ $ - $ 7,000 $ 7,000 $ 7,000 $ 7,000 $ 28,000 28,000 355 Capital Projects Fund Project Information Sheets S6064 PROJECT TITLE: Desert Vista Park Crosswalk PROJECT NUMBER: S6064 PROJECT DESCRIPTION/SCOPE: Installation of a crosswalk across Saguaro Blvd to allow for pedestrian access to Desert Vista Park. TOWN GOALS TIMEFRAME: FY20-22 YEAR PROJECT BEGAN: FY20-21 TOTAL ESTIMATED PROJECT COST: $280,000 PROJECT JUSTIFICATION: Desert Vista Park currently has no pedestrian access. As it is located in an industrial area, there are very few homes that can access the park without a vehicle. Currently there are no crosswalks between Shea Blvd and El Lago Blvd to allow residents west of Saguaro to access the park. (Roughly three miles) An added crosswalk would allow for increased usage for all ages as well as provide a safe crossing point. FUNDING PRIORITY: 356 Medium - Results in Increased Efficiency Capital Projects Fund Project Information Sheets S6064 FUNDING SOURCES ACTIVITY C apital Projects Grant Downtown Strategy General Developer Development Fees Bonds Other Sources Unfunded TOTAL Prior Years $ - $ FY20-21 100,000 FY21-22 $ 180,000 $ - $ - $ - $ $ 100,000 $ 180,000 $ - $ - $ - TOTAL $ 280,000 $ 280,000 $ - $ - $ - $ $ - $ - $ - 50,000 230,000 $ 280,000 - FY22-23 FY23-24 FY24-25 PROJECT EXPENSES ACTIVITY Acquisition Planning Design C onstruction Other Expenses TOTAL Prior Years $ - $ - FY20-21 $ $ FY21-22 - $ FY22-23 - 50,000 50,000 180,000 100,000 $ 180,000 FY23-24 FY24-25 TOTAL OPERATING IMPACT ACTIVITY Salaries & Benefits Services & Supplies Other Impact TOTAL FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 TOTAL $ - $ - $ - $ - $ - $ $ - $ - $ - $ - $ - $ - 357 Capital Projects Fund Project Information Sheets T5005 PROJECT TITLE: Palisades Boulevard and Eagle Ridge/Palomino Drive Traffic Signal PROJECT NUMBER: T5005 PROJECT DESCRIPTION/SCOPE: Provide for design and construction of a traffic signal at the intersection of Palisades Boulevard and Eagle Ridge Drive/Palomino Drive. TOWN GOALS TIMEFRAME: FY21-22 YEAR PROJECT BEGAN: FY19-20 TOTAL ESTIMATED PROJECT COST: $550,000 PROJECT JUSTIFICATION: With the Adero Canyon development and anticipated expansion of the CopperWynd Resort on Eagle Ridge Drive, traffic signal warrants at the intersection of Palisades Boulevard and Eagle Ridge Drive/ Palomino Drive are anticipated to be met based on the CopperWynd Resort traffic study. Once traffic signal warrants are met, the design and construction of a traffic signal at the intersection will provide for a more efficient flow of traffic. FUNDING PRIORITY: 358 Medium - Results in Increased Efficiency Capital Projects Fund Project Information Sheets T5005 FUNDING SOURCES ACTIVITY C apital Projects Grant Downtown Strategy General Developer Development Fees Bonds Other Sources Unfunded TOTAL Prior Years $ - $ FY20-21 50,000 $ $ 50,000 - FY21-22 FY22-23 500,000 $ 500,000 $ - $ FY23-24 - $ FY24-25 - $ - $ - $ - TOTAL 50,000 500,000 $ 550,000 $ - $ - $ - $ $ - $ - $ - $ PROJECT EXPENSES ACTIVITY Acquisition Planning Design C onstruction Other Expenses TOTAL Prior Years $ - FY20-21 $ FY21-22 - $ FY22-23 - FY23-24 FY24-25 TOTAL 50,000 500,000 $ - $ 50,000 $ 500,000 50,000 500,000 $ 550,000 OPERATING IMPACT ACTIVITY Salaries & Benefits Services & Supplies Other Impact TOTAL FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 TOTAL $ - $ 5,000 $ 5,000 $ 5,000 $ 5,000 $ $ - $ 5,000 $ 5,000 $ 5,000 $ 5,000 $ 20,000 20,000 359 360 Internal Service Funds Internal Service Funds Facilities Replacement Fund Technology Replacement Fund Vehicle Replacement Fund 361 Facilities Replacement Fund Public Works Department Facilities Maintenance Division Facilities Replacement Fund Service Delivery Plan The Facilities Replacement Fund has been established to cover replacement costs for large scale items that cannot be absorbed in annual operating budgets. These items include, but are not limited to, roofing, interior and exterior building painting, carpet replacement, physical plant mechanical equipment, Fire Department equipment and parks and recreation structures. Program Name Administration Total FY17-18 Actual $ $ 163,759 163,759 Expenditures by Program FY18-19 FY19-20 Actual Revised Budget $ 437,028 $ 819,144 $ 437,028 $ 819,144 FY20-21 Proposed Budget $ 819,144 $ 819,144 Expenditures by Category Category Maintenance & Repair Equipment/Improvements Reserves Total FY17-18 Actual $ $ 163,759 163,759 FY17-18 Actual Program Name Total Revenues Total Expenses Total 362 $ $ 22,675 163,759 (141,084) FY18-19 Actual FY19-20 Revised Budget $ 206,690 278,243 334,211 $ 819,144 FY20-21 Proposed Budget $ 206,690 278,243 334,211 $ 819,144 Operating Results FY18-19 FY19-20 Actual Revised Budget $ 48,011 $ 7,200 437,028 819,144 $ (389,017) $ (811,944) FY20-21 Proposed Budget $ 7,200 819,144 $ (811,944) $ $ 437,028 437,028 Facilities Replacement Fund Public Works Department Facilities Maintenance Division Use of Funds - Facilities Replacement - By Category Where does the money go? Reserves 41% Equipment/Improvements 34% Maintenance & Repair 25% Total Proposed Budget = $819,144 FY20-21 Proposed Budget Summary of Expenditures Facilities Replacement Fund Description Facilities Replacement Fund HVAC Repair Painting Equipment Park Improvements Reserves Total Facilities Replacement Fund FY17-18 Actual FY18-19 Actual FY19-20 Revised Budget FY20-21 Proposed Budget $ 163,759 - $ 195,956 241,072 - $ 10,000 196,690 41,200 237,043 334,211 $ 10,000 196,690 41,200 237,043 334,211 $ 163,759 $ 437,028 $ 819,144 $ 819,144 363 Technology Replacement Fund Administration Department Internal Service Division Technology Replacement Fund Service Delivery Plan The Technology Replacement Fund has been established to cover replacement costs for large scale items that cannot be absorbed in annual operating budgets. These items include, but are not limited to, printers, servers, plotters, workstations, phones and phone system, and audio video equipment. Expenditures by Program Program Name Operational Support Total FY17-18 Actual $ $ 364 $ $ FY19-20 Revised Budget - $ $ - FY20-21 Proposed Budget $ 25,000 $ 25,000 - Expenditures by Category FY18-19 FY19-20 Actual Revised Budget $ - $ $ $ - FY20-21 Proposed Budget $ 20,000 5,000 $ 25,000 FY17-18 Actual Category Equipment/Improvements Reserves Total FY18-19 Actual - $ $ Vehicle Replacement Program Vehicle Replacement Program 365 Vehicle Replacement Program Policy & Procedures Vehicle Replacement Program (VRP) Policy and Procedures Objective To provide a policy and procedures for the development and implementation of the Town of Fountain Hills’ multi-year Vehicle Replacement Program (VRP). Scope This policy applies to all vehicles owned by the Town of Fountain Hills that meet the definition detailed in the Definitions section. Policy The purpose of the Vehicle Replacement Program is to provide an authoritative decision-making process for the evaluation, selection, and multi-year scheduling of vehicle replacements based on a projection of available fiscal resources and the vehicle’s age, mileage, engine hours and repair costs. The objectives of the program are to: a) Ensure the timely purchase, repair and replacement of the Town’s vehicles; b) Serve as a link in the Town’s planning between the Town’s operating and capital budgets; c) Maintain control over the Town’s long-term cash flow in relation to the Town's financial capacity; and d) Ensure efficient, effective and coordinated vehicle acquisition and replacement. Definitions The following words, when used in connection with this policy, shall have the following meanings: VEHICLE REPLACEMENT PROGRAM: A multi-year planning document that is the product of a systematic evaluation of vehicle utilization, repair and maintenance. This plan serves as a guide for the efficient and effective replacement of vehicles, outlining a detailed timeline and financing schedule of vehicle replacement. VEHICLE: A vehicle is defined in financial terms as a piece of rolling stock with a projected final cost of at least $10,000, or $1,000 if maintained as a stewardship item, and a useful life of at least 7 years. Vehicles shall be subdivided into various classifications, using gross vehicle weight rating standards (GVWR) when appropriate, as follows (listed alphabetically):        366 Gator or Similar Heavy Duty Trucks (commercial truck classes 7 and 8: over 26,000 GVWR (includes Dump Trucks) Ladder Trucks Light Duty Trucks (commercial truck classes 1, 2 and 3: 0 – 14,000 lb. GVWR) Medium Duty Trucks (commercial truck classes 4, 5 and 6: 14,001 – 26,000 GVWR) Pumper Trucks Sedans Vehicle Replacement Program Policy & Procedures      Small Utility Equipment (includes Bunker Rakes) Street Sweepers SUV (Sports Utility Vehicles) Tractors/Loaders (includes Backhoes and Graders) Trailers Process A. Schedule: Annually, the Public Works Director and Finance Director will submit an updated VRP to the Town Manager for review in each fiscal year. The Town Manager will review the proposal and forward the approved VRP to the Finance Director for inclusion in the Town’s budget proposal. B. Format: The Public Works Director will utilize the previous year's approved VRP as the base for developing recommended additions, deletions, or changes for incorporation in the updated VRP for the coming year. All new (not replacement) vehicle requests will also include a comprehensive estimate of the impact of the new vehicle on the Town's annual operating budget; e.g., fuel, maintenance requirements, etc. C. Finance Review: The Finance Director will assist the Public Works Director as necessary in all facets of the Vehicle Replacement Program development and review including production of cost estimates, as well as an overall financial analysis of the proposed program. Additional assistance may be requested to help produce draft documents, etc. D. Town Manager Review: The Public Works Director will provide a copy of the proposed VRP document to the Finance Director and Town Manager for review and comment. Following approval by the Town Manager the VRP will be incorporated into the budget proposal for the coming year. E. Implementation: Upon adoption of the VRP in the operating budget, vehicles included within the applicable budget year may be purchased by the Public Works Director, or his/her designee, in compliance with the Town’s Procurement Policy. F. Amendments: The adopted VRP may be amended upon recommendation of the Public Works Director and approval of the Town Manager and Town Council. Procedure A. Form: A New Vehicle Request form shall be utilized to request inclusion of a new (not replacement) vehicle in the Vehicle Replacement Program. Department Directors may request the addition of a new vehicle or transfer between departments to the VRP by submitting their request to the Public Works Director as part of the budget process. The Public Works Director shall include these requests in the VRP that is submitted to the Finance Director and Town Manager. B. Funding Prioritization: As part of the VRP development process, the Public Works Director shall create vehicle replacement priorities to help determine the vehicle replacement schedule which will be incorporated in the upcoming fiscal year budget. 367 Vehicle Replacement Program Policy & Procedures The following guidelines shall be utilized (listed alphabetically):  Gator or Similar 7 years/15,000 hours  Heavy Duty Trucks 15 years/125,000 miles  Ladder Trucks 15 years/120,000 miles  Light Duty Trucks 10 years/100,000 miles  Medium Duty Trucks 12 years/125,000 miles  Pumper Trucks 15 years/120,000 miles  Sedans 10 years/100,000 miles  Small Utility Equipment 7 years/15,000 engine hours  Sweepers 8 years/75,000 miles  SUV (Sports Utility Vehicles) 10 years/100,000 miles  Tractors/Loaders 20 years/15,000 engine hours  Trailers 10 years In addition to the factors listed previously, the Public Works Director, or his/ her designee, shall also review the utilization, maintenance records of the vehicles, downtime and the overall condition of the vehicles when making recommendations for replacement. C. Funding Sources: The primary funding sources for the VRP are the General Fund and Streets (HURF) Fund. Revenues for the Vehicle Replacement Fund will also be generated from charges within the operating funds that support the departments that utilize the subject vehicles; charges will be calculated based on replacement cost and updated annually. Vehicles will be replaced according to the schedule and based on model year. Surplus sale proceeds and insurance claim proceeds will also be deposited to the Vehicle Replacement Fund to help offset future vehicle costs. D. Vehicle Disposal: At least once annually, the Public Works Director, or his/her designee, shall prepare a list of vehicles to be retired from the Town’s fleet based on the replacement schedule. At the discretion of the Public Works Director and based on a recommendation from the fleet mechanic, early retirement of a vehicle with excessive maintenance may be recommended. Excessive maintenance is defined as repair costs that exceed 40% of the vehicle value in a twelve-month period. The Town Manager shall authorize the sales of these vehicles at auction by signing over the vehicle title(s). The Public Works Director, or his/her designee, shall then transport the vehicles to the auctioneer and shall be responsible to insure that the auction proceeds are submitted to the Finance Division for deposit to the Vehicle Replacement Fund. Responsibility for Enforcement The Town Manager, Finance Director and Public Works Director will be responsible for ensuring that this policy is followed and/or updated as necessary. Fiscal Year 20-21 Vehicle Replacement Recommendation During FY12-13, the Vehicle Replacement Program was updated with changes to the life of some vehicles and elimination of vehicles no longer utilized; the revised Program was presented and approved by the Town Council. Therefore, for FY20-21, one new vehicle is budgeted for vehicle replacement incorporating the revised schedules. 368 Vehicle Replacement Program Policy & Procedures Attachment A 369 Vehicle Replacement Fund Multiple Departments Internal Service Division Vehicle Replacement Interfund Charges Mod Year ORG Vehicle No. Description DVSBS 164 Chevy Equinox 2017 DVSCODE 160 Ford F-150 2017 DVSCODE 157 Ford F-250 Supercab W/Lights 2014 FDOP 172-(E822) Spartan 2014 FDOP 173-(E823) Crimson 2008 FDOP 180-(E823) Rosenbauer Pumper 2020 FDOP 175-(S822) Ford F550 4x4 (V0822) 2012 FDOP 171-(L822) Rosenbauer 2018 FDOP 174-(S823) Ford F550 4x4 2013 FDAD 176-(DC823) Ford F150 Supercab 2011 FDAD 177-(DC822) Ford F150 Supercab 2019 FPOP 21 Bobcat 2016 FPOP 162 Ford F-250 Pickup 2017 DVOP 25 Toro Workman GTX 07042 2019 DVOP 168 Ford F-150 Pickup 2018 4POP 23 Toro Workman GTX 07042 2019 4POP SS1 Tenant Sweeper 2013 GEPOP 26 Sand Pro 3040 2019 GEPOP 22 Toro Workman HDX 2019 GEPOP 24 Toro Workman GTX 07042 2019 GEPOP 14 Kubota KU 2007 GEPOP 159 Ford F-150 2016 GEPOP M-1 Kubota 2014 PKAD 169 Ford F-150 2018 CSAD 165 Chevy Equinox 2017 FACAD 158 Ford F-250 Pickup W/Liftgate 2014 PWADMIN 163 Chevy Colorado 2017 PWINSP 154 Ford F-150 Pickup W/Lights 2013 STAD 155 Ford F-250 Pickup W/Lights 2014 STOPEN 161 Ford F-150 2017 STPAVE 420F Caterpillar 420F Backhoe Loader 2019 STPAVE 179 Ford F-750 Dump Truck 2019 STSIGN 178 Ford F-250 w/Utility Bed 2019 STPAVE 27 Caterpillar Loader with Gannon 2020 STPAVE 28 Broce Broom 2020 STPAVE 156 Ford F-250 Pickup W/Lights 2014 STPAVE (5085M) John Deere 5085M Tractor 2013 STVEH 20 Bobcat 2013 GENAD 167 Chevy Impala 2017 GENAD 166 Chevy Equinox 2017 370 Replacement Cost $30,624 $34,828 $32,230 $665,724 $496,928 $691,660 $121,640 $1,266,278 $48,418 $35,142 $69,240 $14,858 $36,373 $10,435 $33,177 $10,435 $51,989 $21,475 $34,606 $10,435 $40,416 $33,649 $19,243 $33,177 $30,624 $29,366 $34,485 $33,270 $29,314 $38,728 $194,058 $112,805 $58,518 $143,124 $85,951 $29,314 $88,496 $9,124 $26,157 $30,624 TOTAL FY20-21 $3,062 $3,483 $3,223 $44,382 $33,129 $46,111 $10,137 $84,419 $4,035 $3,514 $6,924 $2,123 $3,637 $1,491 $3,318 $1,491 $6,499 $3,068 $4,944 $1,491 $2,021 $3,365 $2,749 $3,318 $3,062 $2,937 $3,448 $3,327 $2,931 $3,873 $9,703 $7,520 $4,877 $7,156 $10,744 $2,931 $4,425 $0 $2,616 $3,062 $354,542 Schedules Schedules 371 Comprehensive Fee Schedule Effective July 1, 2020 Comprehensive Fee Schedule Effective July 1, 2020 372 Comprehensive Fee Schedule Effective July 1, 2020 Description Proposed Fee FY20-21 MISCELLANEOUS FEES Services Notarization Affix Town Seal Faxing Service - Local Only Faxing Service - Long Distance Email Document Service Returned Check Fee Incoming Wire Transfer Fee ActiveNet Transaction Fee Convenience Fee - credit card payment Art Commission $2.00 per signature $2.00 each $2.00 First Page, $.50 Each Additional Page $3.00 First Page, $.50 Each Additional Page $0.00 $30.00 $35.00 $2.50 per transaction $3.00 per transaction 20% of selling price Campaign Fees Pro/Con Argument Fee Campaign Finance - Late Filing Fee $100.00 $10.00 per business day (per ARS 16-918) Copies - Non - Commercial Photocopies (B&W) 8 1/2 x 11 Photocopies (B&W) 8 1/2 x 14 Photocopies (B&W) 11 x 17 Photocopies (Color) 8 1/2 x 11 Photocopies (Color) 8 1/2 x 14 Photocopies (Color) 11 x 17 $.25 per page $.30 per page $.40 per page $.50 per page $.60 per page $.70 per page Copies - Commercial Photocopies (B&W) 8 1/2 x 11 Photocopies (B&W) 8 1/2 x 14 Photocopies (B&W) 11 x 17 Photocopies (Color) 8 1/2 x 11 Photocopies (Color) 8 1/2 x 14 Photocopies (Color) 11 x 17 $.50 per page $.60 per page $.80 per page $1.00 per page $1.20 per page $1.40 per page Documents (CD Only) Town Code Zoning Ordinances Subdivision Code CAFR (Annual Financial Report) Annual Budget Land Use Analysis Council Meeting Other Materials $25.00 each $25.00 each $25.00 each $25.00 each $25.00 each $25.00 each $25.00 each $25.00 each Reports License Report (Non - Commercial Use) License Report (Commercial Use) $25.00 (CD or hard copy) $50.00 (CD or hard copy) Adopt A Street Fee, per sign $30.00 373 Comprehensive Fee Schedule Effective July 1, 2020 Description MISCELLANEOUS FEES (CONT.) Maps 8 1/2" x 11" (B&W) 8 1/2" x 11" (Color) 8 1/2" x 11" (Photo) 11" x 17" Street/Index Map "Typical" (B&W) 11" x 17" Street/Index Map "Typical" (Color) 11" x 17" Aerial Site Plan (Photo) 24" x 36" Custom Map (B&W) 24" x 36" Custom Map (Color) 36" x 36" Bldg/Plat/Zoning Map (B&W) 36" x 36" Bldg/Plat/Zoning Map (Color) 60" x 60" Street/Bldg/Develop/Plat/Plot (B&W) 60" x 60" Street/Bldg/Develop/Plat/Plot (Color) Map Book DOG LICENSE Non - neutered dog Spayed/Neutered dog Over 65 with neutered dog Service Dog Replacement Dog Tag Late fee neutered dog (per month) Late fee non - neutered dog (per month) BUSINESS LICENSE FEES Providers of services, wholesalers and manufacturers with a fixed place of business within the town limits Proposed Fee FY20-21 $0.50 $2.00 $3.00 $6.00 $8.00 $20.00 $20.00 $30.00 $30.00 $40.00 $50.00 $80.00 $25.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $50.00/application and first year fee - non-refundable Retail merchants, restaurants, bars, contractors $50.00/application and first year fee - non-refundable and renters of real and personal property with a fixed place of business within the town limits and persons engaging in the sale of real estate Wholesalers, manufacturers and providers of $50.00/application and first year fee - non-refundable services without a fixed place of business within the town limits Retail merchants, etc. (as above) without a fixed place of business within the town limits $50.00/application and first year fee - non-refundable Annual renewal fee for business within the town $35.00 - non-refundable limits Annual renewal fee for business without a fixed place of business within the town limits $50.00 - non-refundable Late fee for renewal of business license fee Penalty for operating a business without a license 25% of renewal fee $100.00 374 Comprehensive Fee Schedule Effective July 1, 2020 Description BUSINESS LICENSE FEES (CONT.) Peddlers, solicitors and mobile merchants Peddler investigation fee (per person) Proposed Fee FY20-21 $250.00/calendar quarter or fraction thereof - nonrefundable $41.00 - non-refundable Promoters of entertainments, circuses, bazaars, $100.00/week etc., who receive a percentage of receipts or other consideration for their services. Each such promoter shall also obtain liability insurance of a minimum of $1 million naming the Town as insured. Animal Show Circus Parade Only Handbill Distributor Amusement Company, such as ferris wheel, merry - go - round, etc., not part of a circus. Tent Show. Wrestling Exhibition. Road Show, Carnival or Circus. Practice of palmistry, phrenology, astrology, fortune telling, mind reading, clairvoyancy, magic or any healing practices not licensed by the State of Arizona, or any similar calling without fixed place of business Duplicatea Business License Verification of License Letter $100.00/week $50.00/day $10.00/day $100.00/day $50.00/day $10.00 - non-refundable $10.00 - non-refundable FALSE ALARM SERVICE CHARGES (PER CALENDAR YEAR) First and second None Third $50.00 Fourth $75.00 Fifth and Sixth $100.00 Seventh or more $200.00 each ALARM SYSTEM LICENSE PERMIT License fee $25.00/annually - non-refundable WIRELESS COMMUNICATIONS (CELL TOWER ON TOWN PROPERTY) Lease Agreement Application Fee, each location $250.00, per location - non-refundable Amendments to Cell Tower Lease Agreements $250.00, per location - non-refundable Small Cell Wireless Facilities: (all fees are non-refundable) ROW Use Fee $50.00/year x number of small wireless facilities (SWF) Authority utility pole attachment $50.00/year per utility pole attachment Small Wireless Facilities (SWF) collocation $100.00 per SWF up to five Small Wireless Facilities (SWF) collocation $50.00 for SWF over five Batched applications for up to 25 SWF's $100.00 per SWF up to five (at $100 each) ($500 maximum fee) Batched applications for up to 25 SWF's $50.00 per SWF 6 - 20 sites ($1,000 maximum fee) Applications for new, replacement or modified Not to Exceed $750.00 utility poles NOT subject to zoning review Applications for new, replacement or modified Not to Exceed $1,000.00 utility poles and collocation of wireless facilities subject to zoning review 375 Comprehensive Fee Schedule Effective July 1, 2020 Description Proposed Fee FY20-21 SPECIAL EVENT PERMITS Special Event Permits - Food/Event Vendors Application Fee - Local (Fountain Hills) Business $100.00 - non-refundable Application Fee - Non-Local Business $350.00 - non-refundable Special Event Permits - Business Application Fee - Business (If submitted at least $100.00 - non-refundable 60 days prior to the event date) Application Fee - If submitted 59 days or less $300.00 - non-refundable prior to the event date Permit Fee $50.00 per day (not to exceed $400.00) Special Event Permits - Non-Profit Application Fee - Charitable Organization (If submitted at least 60 days prior to the event date) Application Fee - If submitted 59 days or less prior to the event date Permit Fee $50.00 - non-refundable $200.00 - non-refundable $25.00 per day (not to exceed $200.00) Special Event Permits - Extra Fees Special Event Liquor Application Fee See alcohol license application fees - non-refundable Utility Fees Actual cost of usage Park/Open Space Fees, including Amphitheater, Avenue of the Fountains Plaza, Great Lawn, Centennial Circle and other lawns - Event with less than 5,000 attendance Park/Open Space Fees, including Amphitheater, Avenue of the Fountains Plaza, Great Lawn, Centennial Circle and other lawns - Event with more than 5,000 attendance $2,500.00/day $3,500.00/day Special Event Permits - Deposit Fees Events with less than 1,000 attendance Events with 1,000 - 1,999 attendance Events with 2,000 - 5,000 attendance Events with over 5,000 attendance $500.00 $1,000.00 $2,500.00 $5,000.00 Special Event Permit Fees - Road Closure Admin Fees Events with less than 1,000 attendance Events with 1,000 - 1,999 attendance Events with 2,000 - 5,000 attendance Events with over 5,000 attendance $500.00 $750.00 $1,000.00 $1,500.00 Special Event Permit Fees - Vendor Compliance Fine First time penalty Recurring penalty $250.00 $750.00 Film permit application $50.00 non-refundable 376 Comprehensive Fee Schedule Effective July 1, 2020 Description ALCOHOL LICENSE APPLICATION Person Transfer Fee Location Transfer Fee Probate/Will Assignment/Divorce Decree Extension of Premise Sampling Permit Proposed Fee FY20-21 $150.00 - non-refundable $150.00 - non-refundable $150.00 - non-refundable $50.00 - non-refundable $50.00 - non-refundable Acquisition of Control/Restructure/Agent Change $100.00 - non-refundable Initial/Interim Application Fee 01 - In State Producer 02 - Out of State Producer 03 - Domestic Microbrewery 04 - In State Wholesaler 05 - Government 06 - Bar, All Spirituous Liquors 07 - Beer & Wine Bar 08 - Conveyance 09 - Liquor Store 10 - Beer & Wine Store 11 - Hotel/Motel 12 - Restaurant 13 - Domestic Farm Winery 14 - Private Club 15 - Special Event 16 - Wine Festival/Wine Fair ADULT ORIENTED BUSINESS LICENSE Application Fee - Business Application Fee - Provider Application Fee - Manager Application Fee - Employee (per person) License Fee - annual - Business License Fee - annual - Provider License Fee - annual - Manager $500.00 - non-refundable $500.00 - non-refundable $500.00 - non-refundable $500.00 - non-refundable $500.00 - non-refundable $500.00 - non-refundable $500.00 - non-refundable $500.00 - non-refundable $500.00 - non-refundable $500.00 - non-refundable $500.00 - non-refundable $500.00 - non-refundable $500.00 - non-refundable $25.00 - non-refundable $25.00 - non-refundable $500.00 - non-refundable $100.00 - non-refundable $100.00 - non-refundable $50.00 - non-refundable $200.00 - non-refundable $100.00 - non-refundable $100.00 - non-refundable CABLE LICENSE Initial License Application $2,500.00 - non-refundable Transfer of ownership $2,000.00 - non-refundable License modification, pursuant to 47 USC Sec 545 $2,500.00 - non-refundable Other License modification License fee - quarterly Late fee (after 30 days) up to $2000.00 - non-refundable 5% of gross receipts 5% plus interest of 1 1/2% per month 377 Comprehensive Fee Schedule Effective July 1, 2020 Description EXCAVATIONS/IN - LIEU FEES Base fee (per excavation) Trench cut fees: Newly paved or overlayed 0 - 1 yrs. Newly paved or overlayed 1 - 2 yrs. Newly paved or overlayed 2 - 3 yrs. Newly paved or overlayed 3 - 4 yrs. Newly paved or overlayed 4 - 5 yrs. Newly paved or overlayed 5 - 6 yrs. Slurry or chip sealed 0 - 2 years Pavement replacement greater than 300 feet in length Proposed Fee FY20-21 $250.00 plus: $55.00 per lineal feet $45.00 per lineal feet $35.00 per lineal feet $25.00 per lineal feet $15.00 per lineal feet $10.00 per lineal feet $4.00 per lineal feet $2.50 per square yard Utility Pit fees: Newly paved or overlayed 0 - 1 yrs. Newly paved or overlayed 1 - 2 yrs. Newly paved or overlayed 2 - 3 yrs. Newly paved or overlayed 3 - 4 yrs. Newly paved or overlayed 4 - 5 yrs. Newly paved or overlayed 5 - 6 yrs. Slurry or chip sealed 0 - 2 years $5.00 per square feet $4.50 per square feet $3.50 per square feet $2.50 per square feet $1.50 per square feet $1.00 per square feet $5.00 per square feet Adjustment (MH, valve, monument, etc.) Striping Lane Markers Stop Bars Crosswalks RPMs Seal-Coat $500.00 each $.55 per linear feet $150.00 each $2.50 per square feet $.79 per square feet $7.00 each $2.00 per square yard ENCROACHMENT/ENGINEERING PERMITS Base Permit Fee 2"/6" Paving A.C. 1" Paving - Overlay or Top Course 1" ABC or Select Subbase Permanent Barricading Guard Rail/Hand Rail Survey Monuments Concrete Aprons Scuppers Review for Adjustments MH, etc. 4" Paving - PC Concrete Decorative Sidewalk or Paving Sidewalk & Bike path Curb & Gutter Valley Gutter Sign (regulator, street etc.) Pavement Cuts Driveway/Driveway Modifications Utility, Water Line, Sewer Line Trench Drywells (maxwell or similar) Storm Drain Pipe Catch Basins, Headwells $70.00 - non-refundable $.35 per square yard $.15 per square yard $.05 per square yard $25.00 each $.20 per linear feet $10.00 each $15.00 each $15.00 each $10.00 each $.22 per square yard $.30 per linear feet $.30 per linear feet $.20 per linear feet $.50 per linear feet $5.00 each $2.00 per linear feet $30.00 each $.15 per linear feet $100.00 each $2.00 per linear feet $50.00 each 378 Comprehensive Fee Schedule Effective July 1, 2020 Description Proposed Fee FY20-21 ENCROACHMENT/ENGINEERING PERMITS (CONT.) Cutoff Walls $.35 per linear feet Slope Protection $.30 per square yard Rip Rap $.90 square feet Retaining Wall $1.53 per linear feet Cut/Fill (Materials Moved) $.40 per cubic yard Box Culverts 5% of attached estimate Miscellaneous 5% of attached estimate Landscaping 5% of attached estimate Irrigation 5% of attached estimate Lighting 5% of attached estimate Grading 5% of attached estimate Utility Splice/Repair Pits (outside pvmt) $2.00 square feet (minimum $50.00) Other 5% of attached estimate In Lieu Payments Calculated for cuts greater than 300 feet in length per MAG section 336 Traffic Control Plan Review $200.00 Engineering Plan Review Fee $350.00 per sheet Failure to obtain an Encroachment Permit $200.00 Failure to obtain a Final Inspection $100.00 Reinspection Fee $150.00 Investigation Fee for Work Done Without $250.00 or the permit fee, whichever is greater, but Permit not to exceed $2,500.00 for every day or a portion of a day from the time unpermitted work began until a permit is obtained. Oversize/Overweight Vehicle Permit Haul Route Permit (greater than or equal to 500 cubic yards) Failure to barricade or improper barricading Permit Extension Penalty for work w/o permit Minimum Plan Review $210.00 $210.00 Up to $1,000.00 $50.00 50% of Permit Fee $70.00 per hour (1 - hour Minimum) ENVIRONMENTAL FEE Environmental fee: per residential solid waste account $3.00 per month per parcel; billed $36.00 annually per multifamily solid waste account (with a range for number of units commercial solid waste accounts (license fee and/or cost per commercial account) late fee for paying the environmental fee to be determined to be determined $5.00 per month up to a maximum of $35. 379 Comprehensive Fee Schedule Effective July 1, 2020 Description DEVELOPMENT SERVICES FEES Easement or Right-of-Way Abandonment Hillside Protection Reconfiguration and/or Replacement of Hillside Protection Easement Revocation Administrative Fee Engineering Plan Review Fee Final Plat Improvement: Plan Checking Proposed Fee FY20-21 $350.00 $350.00 $300.00 $350.00 per sheet $350.00 per sheet (includes 2nd and 3rd reviews) Except water and sewer plans $175.00 per sheet (includes 2nd and 3rd reviews) Water and sewer plans only $200.00 per sheet with corrections (4th+ reviews); $75.00 per sheet for addendums (changes made afeeter approval). $350.00 per report Engineering Report/Calculations Review Fee (Drainage, Environmental, Traffic, Structural, Water, Sewer, etc.) New/Address Change DEVELOPMENT FEES Single Family Residential Multi - Family Residential Commercial Office Institutional Industrial Fee Detail (From Above) Park & Recreation Single Family Multi - Family Commercial Office Institutional Industrial Fire and Emergency Single Family Multi - Family Commercial Office Institutional Industrial Streets Single Family Multi - Family Commercial Office Institutional Industrial 380 $25.00 $3,974.00 $2537.00/dwelling $3.82/square feet $2.45/square feet $2.86/square feet $1.29/square feet $1,916.00 $1,479.00 $0.81/square feet $1.03/square feet $0.32/square feet $0.56/square feet $122.00 $94.00 $0.14/square feet $0.18/square feet $0.06/square feet $0.10/square feet $1,935.00 $964.00 $2.86/square feet $1.24/square feet $2.48/square feet $0.63/square feet Comprehensive Fee Schedule Effective July 1, 2020 Description Proposed Fee FY20-21 PLANNING & ZONING FEES Administrative Use Permit/Grand Opening Sign $25.00 Appeal of a Dec ision by the Zoning Administrator $1,000.00 plus notific ation *^ Area Spec ific Plans and amendments Comprehensive Sign Plans and amendments Commerc ial/Industrial/Multi-Family Site Plan Review Condominium Plats Continuanc e at Applic ant Request Cut & Fill Waiver Development Agreements Development Agreements - Amendment Final Plats General Plan Amendments Hillside Protec tion Easement (HPE) Land Disturbanc e Fee Landsc ape Plan Review Public notic e in Newspaper $3,000.00 plus $ 100.00 per ac re ^ $200.00 $500.00 plus $200.00 for every 5,000 square feet or portion thereof ^ $1,500.00 plus $50.00 per unit ^ $250.00 $300.00 $5,000.00 plus $100 per ac re or portion thereof $5,000.00 $1,500.00 plus $ 50.00 per lot, unit or trac t ^ Minor $ 3,000.00 plus $ 100.00 per ac re ^ Major $ 5,000.00 plus $ 100.00 per ac re ^ $20.00 + applic able rec ording fees $10.00 per square feet plus revegetation $420.00 plus $ 2,500.00 refundable deposit ** ac tual newspaper posting c ost plus $10.00 proc essing Notific ation fee $5.00 per mailing label plus ac tual newspaper posting c ost plus $10.00 proc essing. Ordinanc es (Text Amendments) $2,000.00 plus notific ation * Planned Area Developments (PAD) $2,000.00 plus $100.00 per ac re or portion thereof plus notific ation * Planned Area Developments (PAD) - Amendment $2,000.00 Planned Unit Developments (PUD) Planned Unit Developments (PUD) - Amendment Plat Abandonments Preliminary Plats Rec ording Fees (subjec t to c hange without notic e) Replats (lot joins, lot divisions, lot line adjustments) Rezones (Map) $2,000.00 plus $100.00 per ac re or portion thereof plus notific ation * $2,000.00 $500.00 ^ $2,000.00 plus $50.00 per lot, unit or trac t^ $10.00 plus ac tual c ost Saguaro Cac tus Permit $500.00 up to three lots, more than 3 lots use Final Plat fees ^ $2,000.00 plus $100.00 per ac re or portion thereof plus notific ation *^ $90.00 Spec ial Use Permits and amendments $500.00 plus notific ation *^ - non-refundable Temporary Use Permits $200.00 plus notific ation * - non-refundable Temporary Visitor Permit (RV Parking): Time Extension Fee Trac t Housing Varianc es $25.00 $100.00 $500.00 per Standard Plan + $100 per House Faç ade $1,000.00 plus Variant $300.00 for eac h additional varianc e Zoning Verific ation Letter plus notific ation *^ $200.00 *$5.00 per mailing label plus ac tual newspaper posting c ost plus $10.00 proc essing. **Deposit required for Certific ate of Oc c upanc y (C of O) if landsc aping is not installed; refundable upon landsc aping approval by Town within six (6) months. ^All fees inc lude up to 3 reviews by staff. Any additional reviews will be subjec t to an additional fee equal to 25% of the original fee. The "rec ording fee" is per Maric opa County's Fee Sc hedule and is, therefore, subjec t to c hange. 381 Comprehensive Fee Schedule Effective July 1, 2020 Proposed Fee FY20-21 Description BUILDING PERMIT/PLAN CHECK – SINGLE FAMILY RESIDENTIAL Single Family Homes (Includes Permit and Plan Review) $.75 square feet Livable Area with A/C Covered Area: Garage and/or Patio (non A/C) $.45 square feet Single Family Addition Area non A/C $.75 square feet $.45 square feet Single Family Remodel Area non A/C $.23 square feet $.14 square feet Specialized Permits (Includes Permit and Plan Review) $140.00 Solar Photovoltaic $70.00 plus $.15 LF (Linear Footage) Fence Walls $70.00 plus $1.53 LF (Linear Footage) Retaining Walls $290.00 plus $.90 square feet Pools & Spas Attached $235.00 Stand Alone Spas $420.00 plus $ 2,500.00 refundable deposit ** Landscape Plan Review Miscellaneous Permits (Plan Review Fee Extra) $70.00 (building, plumbing, electrical or mechanical) One Discipline Permit Combination Permit $210.00 Miscellaneous Plan Review Minimum Plan Review Revisions to Approved Plans $70.00 per hour (1 - hour Minimum) $70.00 per hour (1 - hour Minimum) Over the Counter Permits (No Plan Review Fee Required) $70.00 Plumbing - Water heater replacement/solar (minor) $70.00 Mechanical - HVAC replacement (minor) $70.00 Electrical - panel repair (minor) $120.00 Demolition (minor) Plan Review Add On (Afeeter 3rd Review) 50% of Bldg Permit/Plan Review Fee Reinspection Fee $150.00 per Trip Plan copies 24x36 $3.00 per page - B&W $5.00 per page - Color Permit Extensions - Residential new construction only (If Town has all records and $400.00 $100.00 Permit Extensions - Residential remodel only (If Town has all records and within current Code cycle) Refund for cancelled Single Family Home permit 35% of building permit fee paid - request must be made within 180 days of original payment Penalty for failure to obtain a building permit 50% of Bldg Permit/Plan Review Fee 382 Comprehensive Fee Schedule Effective July 1, 2020 Description Proposed Fee FY20-21 BUILDING PERMIT/PLAN CHECK - COMMERCIAL Commercial Building Permit (Includes Permit and Plan Review) Area with A/C $.75 square feet Covered Area (non A/C) $.45 square feet Commercial Building Addition Area with A/C Covered Area (non - A/C) $.75 square feet $.45 square feet Commercial Remodel (Existing) Area with A/C Covered Area (non - A/C) $145.00 plus $.23 square feet $145.00 plus $.14 square feet Shell Only for Commercial & Multi - Family Area with A/C Covered Area (non – A/C) $205.00 plus $.50 square feet $70.00 plus $.45 square feet Commercial Tenant Improvement Area with A/C Covered Area (non - A/C) $145.00 plus $.23 square feet $145.00 plus $.14 square feet Apartments/Condominiums Livable Area with A/C Covered Area (non - A/C) $.75 square feet $.45 square feet Apartments/Condominiums with 4 or more units & recurring floor plans (0 -100,000 livable square feet) Livable Area with A/C $.60 square feet Covered Area (non - A/C) $.37 square feet Apartments/Condominiums with 4 or more units & recurring floor plans (Over 100,000 livable square Livable Area with A/C $.53 square feet Covered Area (non - A/C) $.33 square feet Specialized Permits (Includes Permit and Plan Review) Solar Photovoltaic $140.00 Fence Walls $70.00 plus $.15 Lf (Linear Footage) Retaining Walls Pools & Spas Attached Stand Alone Spas Landscape Plan Review $70.00 plus $1.53 LF (Linear Footage) $290.00 plus $.90 square feet $235.00 $420.00 plus $ 2,500.00 refundable deposit ** **Deposit required for Certificate of Occupancy (C of O) if landscaping is not installed; refundable upon landscaping approval by Town within six (6) months. 383 Comprehensive Fee Schedule Effective July 1, 2020 Description Proposed Fee FY20-21 BUILDING PERMIT/PLAN CHECK – COMMERCIAL (CONT.) Miscellaneous Permits (Plan Review Fee is Separate) Minimum Permit (one discipline) $70.00 (or $210.00 for building, plumbing, electrical and mechanical) Minimum Combination (all disciplines) $210.00 Sign Permit, less than 32 square feet (Face $50.00 per sign Replacement Only) Sign Permit, greater than 32 square feet (Face $100.00 per sign Replacement Only) Sign Permit, less than 32 square feet (New) Sign Permit, greater than 32 square feet (New) $190.00 per sign $240.00 per sign Miscellaneous Plan Review Minimum Plan Review Revisions to Approved Plans $70.00 per hour (1 - hour Minimum) $70.00 per hour (1 - hour Minimum) Over the Counter Permits (No Plan Review Fee Required) Plumbing - Water heater replacement/solar $70.00 (minor) Mechanical - HVAC replacement (minor) $70.00 Electrical - panel repair (minor) $70.00 Demolition (minor) $120.00 Plan Review Add On (Afeeter 3rd Review) 50% of Bldg Permit/Plan Review Fee Reinspection Fee $150.00 per trip Permit Extensions - Commercial new construction only (If Town has all records and within current Code cycle) $400.00 Permit Extensions - Commercial remodel only (If Town has all records and within current Code cycle) $100.00 Penalty for failure to obtain a building permit 50% of Bldg Permit/Plan Review Fee Refund for cancelled Commercial Building permit (must be done in writing) 35% of building permit fee paid - request must be made within 180 days of original payment Appeal of Decision by Building Official/Fire $1,000.00 plus notification *^ Marshall *$5.00 per mailing label plus actual newspaper posting cost plus $10.00 processing. ^All fees include up to 3 reviews by staff. Any additional reviews will be subject to an additional fee equal to 25% of the original fee. The "recording fee" is per Maricopa County's Fee Schedule and is, therefore, subject to change. 384 Comprehensive Fee Schedule Effective July 1, 2020 Description FIRE SAFETY FEES Residential Automatic Sprinkler System Plan Review/Inspection Commercial Automatic Sprinkler System Plan Review/Inspection Commercial Auto Sprinkler System Modification Plan Review/Inspection Commercial Hood System Plan Review/Inspection Commercial Fire Alarm System Plan Review/Inspection Commercial Fire Alarm System Modification Plan Review/Inspection Residential LPG Installation Review/Inspection Annual Adult Residential Group Care Inspection Annual Commercial Fire Inspection Fee Tent Permit Fee (any tent over 200 square feet & any canopy over 400 square feet) Reinspection Fee (beyond one re-check) Proposed Fee FY20-21 $.05 square feet (minimum $25.00) $.10 square feet (minimum $50.00) $75.00 $100.00 $100.00 $50.00 $50.00 $100.00 per year $0.00 $100.00 $150.00 per trip ABATEMENT FEES Inspection fee Reinspection fee $70.00 per hour (1 - hour minimum) $150.00 per trip PARK FACILITY RENTALS Park Rental Fees - Resident/Organization (1) Per Hour Small Ramada - 2 hour minimum Medium Ramada - 2 hour minimum Large Ramada - 2 hour minimum Meeting Rooms 2 hour minimum Multi-Purpose Fields - 2 hour minimum Tennis Courts - 90 minute reservation Tennis Courts - 90 minute reservation Open Park space, including Amphitheater, Avenue of the Fountains Plaza, Great Lawn, Centennial Circle and other lawns (1) $10.00 $15.00 $20.00 $10.00 $15.00 $5.00 without lighting $7.00 with lighting $400.00/half day (4 hours or less) $750.00/full day (over 4 hours) 10% wedding discount when combined with Community Center Rental 385 Comprehensive Fee Schedule Effective July 1, 2020 Description PARK FACILITY RENTALS (CONT.) Park Rental Fee Extras Power Distribution Box Rental Fee & Deposit Proposed Fee FY20-21 Athletic Field Lights (2 hour minimum) Athletic Field – Prep & Bases Alcohol Permit with Park Reservation $15.00/box per day; $100.00 deposit per box and power cable $10.00 per hour $25.00 per field $10.00 for 50 Consuming Adults - non-refundable Fountain Operation Staff (2 hour minimum) Park Rental Fees - Non-Resident/ $265.00 Per Half - Hour $21.00 - $38.00 Per Hour Per Hour Commercial (1) Small Ramada - 2 hour minimum Medium Ramada - 2 hour minimum Large Ramada - 2 hour minimum Meeting Rooms - 2 hour minimum Multi-Purpose Fields - 2 hour minimum Tennis Courts - 90 minute reservation Tennis Courts - 90 minute reservation Open Park space, including Amphitheater, Avenue of the Fountains Plaza, Great Lawn, Centennial Circle and other lawns $15.00 $22.50 $30.00 $15.00 $22.50 $10.00 without lights $14.00 with lights $750.00/half day (4 hours or less) $1,400.00/full day (over 4 hours) (1) 10% wedding discount when combined with Community Center Rental Park Rental Fee Extras Power Distribution Box Rental Fee & Deposit Athletic Field Lights - 2 hour minimum Athletic Field – Prep & Bases Alcohol Permit with Park Reservation $15.00/box per day; $100.00 deposit per box and power cable $10.00 per hour $25.00 per field $10.00 for 50 Consuming Adults - non-refundable Fountain Operation Staff - 2 hour minimum $265.00 Per Half - Hour $21.00 - $38.00 Per Hour Recreation Fees Program Cancellation Fee $10.00 386 Comprehensive Fee Schedule Effective July 1, 2020 Description Proposed Fee FY20-21 COMMUNITY CENTER RENTALS Community Center Rental - Resident/ Organization (Tier 2) (2) Any Meeting Room - 2 hour minimum One Ballroom (30 - 90 people) Minimum 4 hours Two Ballrooms *(91 - 160 people) Minimum 4 hours Three Ballrooms*( 161 - 250 people) Minimum 4 hours Grand Ballroom *( 251 - 450 people) Minimum 4 hours Lobby (2) 4 hour minimum Grand Ballroom & Lobby (2) All Day Rate (Monday - Thursday 7:00 am to Midnight) All Day Rate (Friday - Saturday 7:00 am to Midnight) Per Hour $17.00 $36.00 $72.00 $108.00 $144.00 Per Hour $34.00 $1,760.00 $2,200.00 Weekend Rates: Friday & Saturday (2) Ballroom 3 (includes patio access and views)* Weekend Rates: Friday-Sunday 4 hour minimum $41.00 Per Hour Ballroom 4 (includes patio access and views) 4 hour minimum $41.00 Tier 2 Groups meeting 6 or More Times per Year: 4 hour minimum with contract 50% of Resident/Non-Profit rate *Ballroom 3 not available as a standalone rental (2) 10% wedding discount when combined with a Park Rental 387 Comprehensive Fee Schedule Effective July 1, 2020 Description COMMUNITY CENTER RENTALS (CONT.) Community Center Rental - Non-Resident/ Proposed Fee FY20-21 Per Hour Commercial (Tier 3) (2) Any Meeting Room One Ballroom (30-90 people) 4 hour minimum Two Ballrooms *(91 - 160 people) 4 hour minimum Three Ballrooms*( 161 - 250 people) 4 hour minimum Grand Ballroom *( 251 - 450 people) 4 hour minimum Lobby (2) 4 hour minimum Grand Ballroom & Lobby (2) All Day Rate (Monday - Thursday 7:00 am to Midnight) All Day Rate (Friday - Saturday 7:00 am to $39.00 $83.00 $166.00 $249.00 $332.00 $69.00 $4,400.00 $5,500.00 Midnight) Weekend Rates: Friday & Saturday (2) Ballroom 3 (includes patio access and views)* Weekend Rates: Friday-Sunday 4 hour minimum $124.00 Ballroom 4 (includes patio access and views) 4 hour minimum $124.00 Per Hour Tier 3 Groups meeting 6 or More Times per Year: 4 hour minimum with contract 50% of Non-Resident/Commercial Rate *Ballroom 3 not available as a standalone rental (2) 10% wedding discount when combined with a Park Rental 388 Comprehensive Fee Schedule Effective July 1, 2020 Description Proposed Fee FY20-21 COMMUNITY CENTER RENTALS (CONT.) Community Center Extra Service Fees - Resident/Non-Profit Video Projector - Note Vission 3,000 $40.00 Lumens Overhead Projector $15.00 Slide Projector $15.00 27" TV $15.00 Flat Screen TV $25.00 TV/VCR (or DVD) $0.00 VCR or DVD Player $10.00 Small Screen $5.00 Large Screen (8' x 10') $10.00 Large Screen Border $15.00 Ping Pong Table $15.00 per rental Internet Access Hard Wire Sound Reinforcement Wireless Microphones Speaker Table (Includes Mixing Board) Conference Phone Portable Sound System (Includes Mixing Board and/or Portable Speaker) CD Player $125 per day $5.00 $15.00 each $10.00 $25.00 $10.00 Electricity (per booth) 110 V 220 V $15.00 $40.00 Other Easel Papers & Markers Portable White Board Walker Display Board $5.00 $10.00 $5.00 $5.00 Items for Sale 25' Extension Cord Power Strip Masking Tape $15.00 each $15.00 each $5.00 per roll Miscellaneous Dance Floor - per 3' x 3' parquet square $3.00 Staging 6' x 8" section Piano - Tuning Extra Upright Grand Coffee Service $5.00 $25.00 $50.00 $5.00 per 8 cup pack 389 Comprehensive Fee Schedule Effective July 1, 2020 Proposed Fee FY20-21 Description COMMUNITY CENTER RENTALS (CONT.) Community Center Extra Service Fees - Non - Resident/Commercial $75.00 Video Projector - Note Vission 3,000 Lumens $30.00 Overhead Projector $30.00 Slide Projector $30.00 27" TV $50.00 Large Flat Panel Monitor $50.00 Flat Screen TV $20.00 VCR or DVD Player $10.00 Small Screen $20.00 Large Screen (8' x 10') $30.00 Large Screen Border $30.00 per rental Ping Pong Table Internet Access Hard Wire $125.00 per day Sound Reinforcement Wireless Microphones Speaker Table (Includes Mixing Board) Conference Phone Portable Sound System (Includes Mixing CD Player $15.00 $15.00 each $20.00 $50.00 $20.00 Electricity ( per booth) 110 V 220 V $25.00 $75.00 Other Easel Papers & Markers Portable White Board Walker Display Board $10.00 $20.00 $10.00 $10.00 Items for Sale 25' Extension Cord Power Strip Masking Tape $15.00 each $15.00 each $5.00 each Miscellaneous Dance Floor - Per 3' x 3' parquet square Staging 6' x 8" section Piano - Tuning Extra $5.00 $10.00 Upright $50.00 Grand $100.00 Coffee Service $5.00 per (10) 8oz cup pack Portable Bar $50.00 Labor Charges $25/hour OT $40/hour Sales Taxes NOTE: All Rentals Are Subject To Applicable Arizona 390 Comprehensive Fee Schedule Effective July 1, 2020 Description Proposed Fee FY20-21 SENIOR SERVICES ANNUAL MEMBERSHIP FEES (CALENDAR YEAR) Resident $20.00 Non - Resident $30.00 COURT FEES Non-Sufficient Funds (checks returned to Court) $30.00 per check Public Defender Actual costs for appointed attorney Jail Reimbursement Actual costs billed by County for jail time served Jury Costs (assessed if jury trial canceled within Actual administrative costs five days of trial) Civil Traffic Default $50.00 per defaulted charge Warrant $50.00 per warrant issued Diversion Program Rescheduling Court Clerk Court User Public Records Search Copies Certified Copies Copies of CDs $25.00 $17.00 $30.00 per charge, plus surcharges $2.00 per name $0.50 per page $17.00 $17.00 NOTE: Court fees are subject to change throughout the fiscal year in accordance with State Law and Arizona Supreme Court Rules. 391 Schedule of Authorized Positions Schedule of Authorized Positions 392 6FKHGXOHRI$XWKRUL]HG3RVLWLRQV 6FKHGXOHRI$XWKRUL]HG3RVLWLRQV  Schedule of Authorized Positions Schedule of Authorized Positions (continued) Compared to the high of 115 FTEs in FY01-02, the current level of 62 FTEs represents a total decrease of almost 50% over a nineteen year period. The reduction in authorized FTEs is a result of the economic downturn and the need to reduce Town expenditures, resulting in the consolidation of positions as well as actual staff layoffs. 394 Pay Plan Pay Plan 395 Pay Plan FY20-21 PAY PLAN—effective July 1, 2020 396 3D\3ODQ )<-3$<3/$1—HIIHFWLYH-XO\  Pay Plan FY20-21 PAY PLAN—effective January 1, 2021 398 3D\3ODQ )<-3$<3/$1—HIIHFWLYH-DQXDU\  Resolution Resolution 2020-23 400 Resolution 401 Resolution 402 Glossary Glossary 403 Glossary A-AR Account A separate financial reporting unit for budgeting, management or accounting purposes. All budgetary transactions, whether revenue or expenditure, are recorded in accounts. Several related accounts may be grouped together in a fund. A list of accounts is called a chart of accounts. Accounting Standards The generally accepted accounting principles (GAAP) promulgated by the Governmental Accounting Standards Board (GASB) that guide the recording and reporting of financial information by state and local governments. Accrual Basis of Accounting The basis of accounting under which transactions are recognized at the time they are incurred, as opposed to when cash is received or sent. Expenses are recorded at the time liabilities are incurred and revenues are recorded when earned. Unbilled services are recorded as receivables at year end. Actual vs. Budgeted Difference between the amounts projected (budgeted) in revenues or expenditures at the beginning of the fiscal year and the actual receipts or expenses, which are incurred by the end of the fiscal year. Adopted Budget Used and budget document. Represents the Town and the by the Adoption Formal action by the Town Council, which sets the spending limits for the fiscal year. Ad Valorem Taxes Commonly referred to as property taxes. The charges levied on all real, and certain personal property, according to the property’s assessed value and the tax rate. Used as a source of monies to pay general obligation debt and to support the General Fund. Allocation A part a and/or by Appropriation Specific amount of monies authorized by the Town Council for the purpose of incurring obligations and acquiring goods and services. An appropriation is limited in amount and time when it may be used unless it is for capital projects such as constructing roads and buildings. Arbitrage The ability to use tax exempt proceeds and, by investing those funds in higher yielding taxable securities, generate a profit to the issuer. 404 Glossary AS-BE Assessed Valuation A that property and the and are a property by a Asset Resources and property of the Town that can be used or applied to cover liabilities. Alternatively, any owned physical object (tangible) or right (intangible) having a monetary value or an item or source of wealth expressed in terms of any cost benefitting a future period. Attrition A method of achieving a reduction in personnel by not refilling the positions vacated through resignation, reassignment, transfer, or retirement. Audit Report The report prepared by an auditor covering the audit or investigation of an entity’s financial position for a given period of time, usually a year. As a general rule, the report should include: 1) a statement of the scope of the audit; 2) explanatory comments concerning exceptions from generally accepted auditing standards; 3) opinions; 4) explanatory comments concerning verification procedures; 5) financial statements and schedules; and 6) statistical tables, supplementary comments and recommendations. The auditors signature follows 3). The Town is required to have an annual audit conducted by qualified certified public accountants. Authorized Positions Employee positions which are authorized in the adopted budget. Available (Unassigned) Fund Balance Funds remaining from the prior year which are available for appropriation and expenditure in the current year. Balanced Budget Arizona law (Title 42-Arizona Revised Statutes) requires the Town Council to annually adopt a balanced budget by purpose of public expense. State law defines this balanced budget as “the primary property tax levy, when added together with all other available resources, must equal these expenditures.” The total of proposed expenditures will not exceed the total of estimated revenues and fund balances. Base Budget The ongoing expense for personnel, contractual services, commodities, and the replacement of equipment to maintain service levels previously established by the Town Council. Basis of Accounting D by t the of t tr t or event r Beginning Balance The brought rv r t the vt the Board r t Fund type t r when t t t year 405 Glossary BO-BU Bond A written promise to pay a specified sum of money (called the face value or principal amount) at a specified date or dates in the future (called the maturity dates), and carrying interest at a specified rate, usually paid periodically. The difference between a bond and a note is that a bond is issued for a longer period and requires greater legal formality. Bonds are primarily used to finance capital projects. The most common types of bonds are:  General Obligation (GO) Bond: This type of bond is secured by the full faith, credit, and taxing power of the municipality.  Revenue Bond: This type of bond is secured by the revenues from a specific source such as gas taxes or water revenues. Bond Rating The measure of the quality and safety of a bond. The rating indicates the likelihood that a debt issuer will be able to meet scheduled repayments and dictates the interest rate paid. Bond Refinancing The payoff and re-issuance of bonds to obtain better interest rates and/or bond conditions. Budget A a and an and and . them. the Town Budget Amendment A change of budget appropriation between expenditure accounts that is different from the original adopted budget. Budget amendments do not change the legal spending limit adopted by the Town Council. Budget Calendar The schedule of key dates which a government follows in the preparation and adoption of the budget. Budget Document The by to to the Budget Message and the the a the the the the year, the Budgetary Basis of Accounting The basis of accounting used to estimate financing sources and uses in the budget. The method used to determine when revenues and expenditures are recognized for budgetary purposes. This basis generally takes one of three forms: GAAP, cash, or modified accrual. 406 Glossary BU-CA Budgetary Control The control or management of a government in accordance with the approved budget for the purpose of keeping expenditures within the limitations of available appropriations and resources. Capital Assets Assets of significant value and having a useful life of several years. Capital assets are also called fixed assets. Capital Budget A spending plan for improvements to, or acquisition of, land, facilities and infrastructure that balances revenues and expenditures, specifies the sources of revenues, and lists each project or acquisition. Normally a capital budget must be approved by the legislative body. The capital budget and accompanying appropriation ordinance may be included in a consolidated budget document that has a section devoted to capital expenditures and another to operating expenditures. Alternatively, two separate documents may be prepared – one for the capital budget and one for the operating budget. Capital Expenditure A capital expenditure is made when purchasing a fixed asset having a value of $10,000 or more and a useful life of more than one year. Capital Improvement Program The The and The and and a the a current and must be to the a year the Capital Improvement Project Expenditures for the construction, purchase or renovation of Town facilities or property that have a value greater than $50,000. Capital Outlay Expenditures resulting in the acquisition of or addition to the Town’s fixed assets with a value of $10,000 or more and a useful economic lifetime of more than one year. Capital Project Carryover An approved Capital Project that was not completed in the fiscal year and, therefore, was budgeted again in the current fiscal year in order to finish the project. Capital Projects Funds Capital project funds are used to account for and report financial resources that are restricted, committed, or assigned to expenditure for capital outlays, including the acquisition or construction of capital facilities and other capital assets. Capital projects funds exclude those types of capital related outflows financed by proprietary funds or for assets that will be held in trust for individuals, private organizations, or other governments. 407 Glossary CA-DE Cash Basis of Accounting The basis of accounting in which transactions are recognized only when cash amounts are increased or decreased. Cash-in-lieu Funding for capital projects the Town requires from developers in lieu of them constructing necessary off- site improvements related to their development project. Community Facilities District (CFD) A separate legal entity established by the Town which allows for financing of public improvements and services. Comprehensive Annual Financial Report (CAFR) The official annual financial report of the Town. The CAFR represents management’s report to the Town Council, constituents, investors and creditors. Contingency/Reserve An amount, a budgetary reserve/contingency, set aside as available, with Town Council approval, to cover unforeseen expenditures, emergency expenditures, or revenue shortfalls. Contractual Services such by the etc. that Debt Limit Statutory or constitutional limit on the principal amount of debt that an issuer may incur (or that it may have outstanding at any one time). Debt Ratio Total debt divided by total assets. Debt Service The cost of paying principal and interest payments on outstanding bonds according to a predetermined payment schedule. Debt Service Fund One or more funds established to account for revenues used to repay the principal and interest on debt. Deficit The excess of an entity’s liabilities over its assets or the excess of expenditures or expenses over revenues during a single accounting period. Department A an the Town or a group Depreciation An accounting transaction which spreads the acquisition value of an asset across its useful life. Alternatively, expiration in the service life of capital assets attributable to wear and tear, deterioration, action of the physical elements, inadequacy or obsolescence. 408 Glossary DE-FE Development Fees Those fees and charges generated by building, development, and growth in the Town. Disbursement The money an Distinguished Budget Presentation Awards Program A voluntary awards program administered by the Government Finance Officers Association of the United States and Canada to encourage governments to prepare effective budget documents. Division A grouping of related activities within a particular Department (example, Senior Services is a Division of Community Services). Employee (or Fringe) Benefits Contributions made by a government to meet commitments or obligations for employee-related expenses. Included is the Town’s share of costs for social security, pension plans, medical and life insurance plans. Encumbrance The formal accounting recognition of appropriated or committed funds to be set aside for a future expenditure. To encumber funds means to set aside or commit funds for a specified future expenditure. For budgetary purposes, encumbrances are considered expenditures. Ending Balance The end the that are or at the Estimated Revenue The amount of projected revenue to be collected during the fiscal year. Expenditure A net decrease in financial resources. Expenditures include operating expenses which require the use of current assets. If accounts are kept on the accrual basis, this term designates total charges incurred, whether paid or unpaid. If they are kept on the cash basis, the term covers only actual disbursements for these purposes. Expenditure Limitation An amendment to the Arizona State Constitution that limits annual expenditures of all municipalities. The Economic Estimates Commission, based on population growth and inflation, sets the limit. All municipalities have the option of Home Rule where the voters approve a four-year expenditure limit based on revenues received. Expenses Charges incurred (whether paid immediately or unpaid) for operations, maintenance, interest or other costs. Fees ci rv 409 Glossary FI-FU Financial Plan A summary by fund of planned revenues, expenditures, operating transfers, reserves, and fund balances. Fiscal Policy A government’s policies with respect to revenues, spending, and debt management as these relate to government services, programs and capital investment. Fiscal policy provides an agreed-upon set of principles for the planning and programming of government budgets and their funding. Fiscal Year Any period of twelve consecutive months establishing the beginning and the ending of financial transactions. For the Town of Fountain Hills, this period begins July 1 and ends June 30. Fixed Assets Assets of a long-term character which are intended to continue to be in use or kept for more than one year and of a monetary value greater than $10,000. Franchise Fees Annual fees paid by utilities (e.g. cable TV) for use of Town public rights-of-way. Franchise fees are typically a set percentage of gross revenue within the Town. Full Faith and Credit A pledge of a government’s taxing power to repay debt obligations. Full-Time Equivalent Position (FTE) A position converted to the decimal equivalent of a full-time position based on 2,080 hours per year. For example, a part-time typist working for 20 hours per week would be equivalent to a 0.5 FTE. Fund An independent fiscal and accounting entity with a self-balancing set of accounts recording cash and other financial resources, together with all related liabilities and changes in these assets and liabilities. Fund Balance Difference between assets and liabilities reported in a government fund. Non-spendable – Portions of fund balance that include amounts that cannot be spent because they are either (a) not in spendable form or (b) legally or contractually required to be maintained intact. Restricted – Portion of fund balance that reflects constraints placed on the use of resources that are either (a) externally imposed by creditors, grantors, contributors, or laws or regulations of other governments or (b) imposed by law through constitutional provisions or enabling legislation. Committed – Amounts that can be used only for specific purposes pursuant to constraints imposed by formal action of the government’s highest level of decision-making authority. In the case of the Town, this would be the Council and Mayor. Assigned – Amounts that are constrained by the government’s intent to be used for specific purposes, but that are neither restricted nor committed. 410 Glossary FU-IN Unassigned – Residual classification for the General Fund. This classification represents fund balance that has not been assigned to other funds and that has not been restricted, committed, or assigned to specific purposes within the general fund. The General Fund should be the only fund that reports a positive unassigned fund balance amount. General Fund The major fund in most governmental entities. While other funds tend to be restricted to a single purpose, the General Fund is a catch-all for general government purposes. The General Fund contains the activities commonly associated with municipal government, such as police and fire protection, parks and recreation. General Obligation Bonds This type of bond is backed by the full faith, credit and taxing power of the government. Bonds that finance a variety of public projects. The repayment of these bonds is usually made from secondary property tax revenues. General Plan A plan approved by the Town Council that provides the fundamental policy direction and guidance on development decisions in the Town. Generally Accepted Accounting Principles (GAAP) U r r ci t and r the v t r that t r ci Goal The end toward w rt r r . A goal is general and timeless. Governmental Funds Governmental Funds are those through which most governmental functions of the Town are recorded. Revenues are recognized as soon as they are both measurable and available. Expenditures generally are recorded when a liability is incurred except for unmatured interest on debt and certain similar obligations, which should be recognized when due. Grants A contribution by a government or other organization to support a particular function. Grants may be classified as either operational or capital, depending upon the grantee. Highway User Revenue Fund (HURF) A wt t cl and t r tr rt t r and w y r t on v be Indirect Cost A cost necessary for the functioning of the organization as a whole, but which cannot be directly assigned to one service. Infrastructure The physical assets of a government (e.g. streets, public buildings, parks, etc.). 411 Glossary IN-MO Interfund Transfers The movement of monies between funds of the same governmental entity. Intergovernmental Refers to transactions between different levels of government, e.g. city, county, state and federal. Intergovernmental Agreement A by Intergovernmental Revenue Funds received from federal, state, and other local government sources in the form of grants, shared revenues, and payments in lieu of taxes. Journal Entry An entry into the financial system that transfers actual amounts from one account, department, or fund to another. Lapsing Appropriation An appropriation made for a certain period of time, generally for the budget year. At the end of the specified period, any unexpended or unencumbered balance lapses or ends, unless otherwise provided by law. Levy The total amount to be raised by general property taxes for purposes specified in the property tax levy motion. Levy Rate The amount of tax levied for each $100 of assessed valuation. Liability Indebtedness of a governmental entity, such as amounts owed to vendors for services rendered or goods received, and principal and interest owed to bondholders. These amounts are debts or legal obligations which must be paid at some future date. Line-item Budget A budget prepared along departmental lines that focuses on what is to be bought. Local Transportation Assistance Fund (LTAF) are by Lottery. on must be may transit or but a Long-term Debt Debt with a maturity of more than one year after the date of issuance. Modified Accrual Basis of Accounting The basis of accounting used by governmental-type funds. Under this basis, revenues are recognized when they become both “measurable” and “available” to finance expenditures of the current period. 412 Glossary MU-PE Municipal Property Corporation (MPC) Bond Bonds that are backed by the excise taxes of the Town including local sales tax, franchise tax, State-shared sales tax, and motor vehicle in-lieu tax. The MPC is a non-profit corporation established for the purpose of issuing debt to purchase municipal facilities, which it leases to the Town. Object Detail An expenditure classification, referring to the lowest and most detailed level of classification, such as electricity, office supplies, asphalt, and furniture. Objectives Something to be accomplished in specific, well-defined, and measurable terms and that is achievable within a specific time frame. The achievement of the objective advances an organization toward a corresponding goal. Obligations Amounts which a government may be legally required to meet out of its resources. They include not only actual liabilities, but also encumbrances not yet paid. Operating Budget Plans of current expenditures and the proposed means of financing them. The annual operating budget is the primary means by which most of the financing of acquisitions, spending, and service delivery activities of the Town are controlled. Operating Expenses The cost for personnel, materials, and equipment required for a department to function. Operating Impacts Operating impacts are the additional, incremental revenues or costs associated with the project—any new cost or revenue streams resulting from the project less existing expenditures and revenues where applicable. These impacts include maintenance expenses, utility and personnel expenses, revenues from projectspecific construction spending and operating revenues. Operating Revenue Funds that the government receives as income to pay for ongoing operations. The revenue includes such items as taxes, fees from specific services, interest earnings, and grant revenues. Operating revenues are used to pay for day-to-day services. Ordinance A formal legislative not or by the any to the body such a the . Pay-as-you-go Basis A term used to describe a financial policy by which capital outlays are financed from current revenues rather than through borrowing. Per Capita A the that per 413 Glossary PE-RE Performance Based Budget The Performance Based Budget is a customer based, performance driven, results oriented budget system based on Outcome Management. Outcome Management is a management approach that focuses on the results achieved when providing a service. Performance Indicators Specific quantitative and qualitative measures of work performed as an objective of specific departments or programs. Measurement of service performance indicators that reflect the amount of money spent on services and the resulting outcomes at a specific level of services provided. Performance Measurement Statistical indicators that permit program evaluation to be conducted in a budgetary context. Performance Target Percentage or number for each program performance measure that will be the desired level of performance for the upcoming budget period. Personal Services The and and Policy A a and may and or A be more to Program A group of related activities performed by one or more divisions or departments of the Town for the purpose of accomplishing a service the Town is responsible for delivering. Property Tax Total property tax levied by a municipality on the assessed value of a property within Town limits. In Arizona, the property tax system is divided into primary and secondary. Primary Property Tax – A limited tax levy used for operations based on primary assessed valuation and primary tax rate. The tax rate is restricted to a 2% annual increase. Municipalities may use this tax for any purpose. Secondary Property Tax – An unlimited tax levy restricted to voterapproved budget overrides. The tax is based on the secondary assessed valuation and secondary tax rate. Reserve An account used to segregate a portion of a fund balance to indicate that it is not available for expenditure, or it is legally set aside for a specific future use. 414 Glossary RE-SU Resolution A special or temporary order of the Town Council. Requires less formality than an ordinance or statute. Resources Total amounts available for appropriation including estimated revenues, bond/loan proceeds, fund transfers, and beginning fund balances. Revenue Amounts received by government from sources including taxes, fines, fees, grants, or charges for services, which can be used to finance government operations or capital assets. These amounts increase the net assets of the government. For those revenues which are recorded on an accrual basis, this term designates additions to assets which (a) do not increase any liability, (b) do not represent recovery of an expenditure, and (c) do not represent the cancellation of certain liabilities without a corresponding increase in other liabilities or a decrease in assets. Revenue Bonds Bonds whose principal and interest are payable exclusively from earnings of a revenue generating fund. Secondary Property Tax Rate Arizona statute does not limit the secondary tax levy amount and municipalities may only use this levy to retire the principal and interest or redemption charges on bonded debt. Service Level Services or products which comprise actual or expected output of a given program. Focus is on results, not measures of workload. Sinking Fund A means of repaying funds that were borrowed through a bond issue. The issuer makes periodic payments to a trustee who retires part of the issue by purchasing the bonds in the open market. Special Revenue Fund out are a or or other to pay Such State-shared Revenue Includes the Town’s portion of State sales tax revenues, State income tax receipts, and motor vehicle in-lieu taxes. Strategic Plan The Strategic Plan defines the Town’s strategy, or direction, and assists Town management in making decisions on the allocation of personnel and resources. Supplemental Appropriation An additional appropriation made by the governing body after the budget year has started. 415 Glossary TA-WO Tax Levy The total amount of the general property taxes collected for purposes specified in the Tax Levy Ordinance. Tax Rate The amount of tax levied for each $100 of assessed valuation. Taxes Compulsory charges levied by a government for the purpose of financing services performed for the common benefit of the people. This term does not include specific charges made against particular persons or property for current or permanent benefit, such as special assessments. Transfer Movement of resources between two funds. Example: An interfund transfer would include the transfer of operating resources from the General Fund to the Streets Fund. Unassigned Fund Balance The portion of a fund’s balance that is not restricted or committed for a specific purpose and is available for general appropriation. Unencumbered Balance The amount of an appropriation that is neither expended nor encumbered; essentially the amount of money still available for future purposes. Unreserved Fund Balance The and that not User Fees The fee charged for the direct receipt of a public service to the party or parties who benefit from the service. Valley The area represented by the Greater Phoenix Metropolitan area. Phoenix is also know as the Valley of the Sun. Variance Comparison of actual expenditure and revenues from one year to the next and comparison of budget-to-actual in current fiscal year. Working Capital A financial metric which represents the amount of day-to-day operating liquidity available. Also known as operating capital, it is calculated as current assets minus current liabilities. Working Cash The excess of readily available assets over current liabilities. 416 Acronyms Acronyms 417 Acronyms AB-FT Acronyms ABC-American Base Course AC-Asphaltic Concrete AZ POST-Arizona Peace Officer Standards and Training Board ACA-Arizona Commerce Authority BGC-Boys and Girls Club ACMA-Arizona City Manager’s Association BRE-Business Retention and Expansion ADA-Americans with Disabilities Act ADEQ-Arizona Department of Environmental Quality ADOG-Association of Dog Owners Group ADOT-Arizona Department of Transportation BVAC-Business Vitality Advisory Council CAD-Computer-Aided Design CAFR-Comprehensive Annual Financial Report CARE-Crisis Activated Response Effort CCEF-Court Collection Enhancement fund ADWR-Arizona Department of Water Resources CELA-Code Enforcement League of Arizona AGIC-Arizona Geographic Information Council CFD-Community Facilities District AICP-American Institute of Certified Planners AOC-Administrative Office of the Courts APA-American Planning Association APRA-American Parks & Recreation Association APWA-American Public Works Association CIP-Capital Improvement Program CMAQ-Congestion Mitigation and Air Quality cu. yd.-Cubic Yard EMCFD-Eagle Mountain Community Facilities District EMMA-Electronic Municipal Market Access EOC-Emergency Operations Center ARRA-American Recovery and ReinvestEPIC-TBI-Excellence in Prehospital Care ment Act of 2009 -Traumatic Brain Injury ARS-Arizona Revised Statutes FEMA-Federal Emergency Management Administration ASCE-American Society of Civil Engineers FHUSD-Fountain Hills Unified School District AZBO-Arizona Building Officials AZDOR-Arizona Department of Revenue FIT-Fountain Hills Integrated Trails AZDOT-Arizona Department of Transportation 418 FTE-Full Time Equivalent Acronyms FY-ST FY-Fiscal Year GAAP-Generally Accepted Accounting Principles LTAP-Local Technical Assistance Program LTAF-Local Transportation Assistance Fund GADA-Greater Arizona Development Authority MAG-Maricopa Association of Governments GASB-Governmental Accounting Standards Board MCFCD-Maricopa County Flood Control District GFOA-Government Finance Officers Association MCSO-Maricopa County Sheriff’s Office GIS-Geographical Information System MH-Manhole GO-General Obligation MHz-Megahertz GPEC-Greater Phoenix Economic Council MPC-Municipal Property Corporation HDM-Home Delivered Meals HPE-Hillside Protection Easement MSRB-Municipal Securities Rulemaking Board HURF-Highway User Revenue Fund NACSLB-National Advisory Council on State and Local Budgeting HVAC-Heating, Cooling, and Air Conditioning NRPA-National Recreation and Park Association ICMA-International City/County Management Association PC-Portland Cement ICSC-International Council of Shopping Centers PUD-Planned Unit Developments PTO-Parent Teacher Organization ID-Improvement District RFP-Request for Proposal IFEA-International Festivals & Events Association RFQ-Request for Quotation IGA-Intergovernmental Agreement IIP-Infrastructure Improvement Plan ISO-International Standards Organization IT-Information Technology ITS-Intelligent Transportation System JCEF-Judicial Court Enhancement Fund ln. ft.-Lineal (Linear) Feet RPM-Reflective Pavement Marker RPTA-Regional Public Transit Agency SEC-Securities and Exchange Commission sq. ft.-Square Feet sq. yd.-Square Yard SR-State Route STORM-Stormwater Outreach for Regional Municipalities 419 Acronyms SW-VR SWOT-Strengths, Weaknesses, Opportunities, Threats V-Volt VHF-Very High Frequency VOIP-Voice Over Internet Protocol VRF-Vehicle Replacement Fund 420 Acronyms 421 Town of Fountain Hills 16705 E. Avenue of the Fountains Fountain Hills, Arizona 85268 480-816-5100 www.fh.az.gov - facebook.com/TownofFountainHills - twitter.com/fhazgov