2003 Budget Presentation

1
2003 Budget Presentation

• City of Rye, New York
• November 6, 2002
• Julia D. Novak, City Manager

2
General Fund Budget

• Total Expenditures 21,956,706
• Non Property Tax Revenue 6,546,894
• Fund Balance Transfer 596,000
• Property Tax Levy 14,828,812

3
Non Property Tax Revenue

• 1,675,000 in non-property taxes
• 1,874,441 in Intergovernmental Revenues
• 924,147 in Licenses Permits
• 438,435 in Fines and Forfeitures
• 184,600 Use of Money Property

4
Property Tax Increase

• Tax Rate proposed to raise the tax levy 110.52
• 2002 Tax Rate is 88.12
• 25.3 Increase

5
Property Tax Increase History

• From 1993 to 2002
• City of Rye taxes increased 22.95
• Combined Westchester County taxes increased
  25.83
• Rye City Schools increased 75.91
• CPI-U has increased 23.62

6
Median Tax Bill

• 25.3 increase on the median home assessed at
  20,700 is 462.
• Total City tax bill would be 2,288 in 2003
• Per Capita our residents pay 991 per year for
  City Services

7
What do You Get for 991

• Police Department will respond to almost 14,000
  calls with 5 civilian and forty-one sworn
  employees

8
What do You Get for 991

• Fire Department will respond with three pieces of
  apparatus to roughly 900 calls for service with
  professional firefighting supplemented by
  volunteers.

9
What do You Get for 991

• Refuse will be picked up at the back door of
  our 5,100 commercial and residential properties
  twice a week Recycling and Green Waste Once a
  week.

10
What do You Get for 991

• 6,227 street trees will be maintained
• 9.6 Acres of medians and grassy areas will be
  mowed

11
What do You Get for 991

• 53.4 miles of City-owned sewer lines, 1,495
  manholes and 7 sewage pump stations will be
  maintained

12
What do You Get for 991

• 29.9 miles of storm drains, 1,245 catch basins
  and 400 manholes will be cleaned and maintained

13
What do You Get for 991

• City streets will be swept at least once every 6
  weeks
• Over 2100 streetlights will be maintained

14
What do You Get for 991

• Residents can elect to participate in over 150
  Recreation programs.

15
What do You Get for 991

• Enjoy a quality play experience on 11 athletic
  fields at 7 locations that serve recreation,
  community and school district teams.

16
What do You Get for 991

• Play tennis at one of 12 tennis courts, 6 of
  which are lighted.
• Enjoy family and neighborhood gatherings at our
  picnic grounds.

17
What do You Get for 991

• Almost 30,000 visitors will enjoy the 47-acre Rye
  Nature Center.

18
What do You Get for 991

• A full-time City Planner will support the
  Planning Commission and provide technical support
  on special planning projects and long-range
  planning initiatives of the City.

19
What do You Get for 991

• The Building Department will make over 1,500
  inspections and investigate zoning issues and
  issue 50 summonses to protect the quality of
  life in the community.

20
What do You Get for 991

• Engineering Staff will manage Capital projects.
• Issue surface water control permits.
• Issue street opening permits
• Inspect work done in the public right-of-way.

21
What do You Get for 991

• Residents can get a variety of permits and
  licenses from the City Clerks Office during
  regular business hours.

22
What do You Get for 991

• The Finance Department will issue 6,100 vendor
  checks, 800 purchase orders, 6,800 paychecks and
  9,400 property tax bills

23
What do You Get for 991

• The Assessors office will represent and defend
  the City in tax certiorari proceedings and
  capture the value of real property within the
  City which helps keeps the property tax rate
  low.

24
What do You Get for 991

• The question is is this a good value?
• Is the cost of government in line with the
  outcomes articulated?

25
Outside Agency Requests

• Local Outside Agencies are level funded.

26
Outside Agency Requests

• Rye Free Reading Room requested an additional
  77,247 which would require an additional tax
  increase of .7.

27
Outside Agency Requests

• Rye Youth Council requested an additional
  increase of 7,500 which would require an
  additional tax increase of 0.1

28
Outside Agency Requests

• Thanks to the Rye Historical Society who
  recognized our difficult financial situation by
  requesting only what they received last year.

29
Comparison to July

• In July 2002 I presented a preliminary forecast
  that suggested the tax increase would be 29.
• Staff promised to work hard to get the increase
  down as far as possible
• Departments decreased discretionary spending by
  2.5 -- many came in voluntarily under their
  established targets.

30
Capital Budget

• In order to keep the Fund Balance as high as
  possible, several projects were eliminated from
  the CIP that was proposed in August 2002.

31
Capital Budget

• 2,566,500 Total Expenditures
• 1,901,500 Debt
• 465,000 Current Funds
• 200,000 State Aid
• What follows is the list of what is and isnt
  included in the tentative budget.

32
North Kirby Lane

• 1,380,000 total cost
• Financed via the EFC
• 980,000 to be repaid through a special
  assessment for sewers
• 400,000 general City expense for storm sewer

33
Street Projects Summary

• 240,000 for Annual Street Resurfacing (60,000
  less then prior years but 40,000 more then
  August thanks to Fee Study Recommendation)
• 50,000 for Annual Sidewalk Program

34
Street Projects Summary

• 15,000 for Traffic Safety Enhancements
• 180,000 for Traffic Signals
• Theodore Fremd Elm
• Theodore Fremd Central

35
City Hall Refurbishment

• Ergonomic Work Stations
• Accessible Service Counter
• Maximize available space

36
Public Safety

• Police Headquarters
• Air Vents in Exercise Room
• Flooring Carpet in ongoing effort to rid the
  building of mold
• Replace toilets in cells

37
Public Safety

• Impound Facility
• This car was being stored as evidence
• Need a secure facility
• Storage for speed trailers and other equipment

38
Community Environment

• 50,000 to replace flat roof and point the brick
  work of the Citys 1927 Garage
• DEFERRED IN 2002 MUST BE DONE TO MAINTAIN THE
  BUILIDING

39
Community Environment

• DPW Garage Lift System
• Ongoing problems with hydraulics
• 12 years old
• Holds 25 Ton pieces of equipment
• Needs to be replaced for workplace safety

40
Community Environment

• Fueling System

41
Recreation

• Skate Board Park
• 75,000
• Increase Challenge

42
Recreation

• Disbrow Tennis Court and Fence
• 65,000
• Full resurface of Courts
• New fence
• Deferred in 2002

43
Friends Meeting House

• 40,000 to stabilize the foundation and flooring.

44
Square House

• 25,000 to stabilize the foundation
• The exterior will be painted in 2003 with an
  existing appropriation.

45
Other Funds

• RCTV is funded from Franchise Fee Revenues and
  proposes appropriations of 173,960 vs. revenues
  of 180,701
• Rye Nature Center requires appropriations of
  354,575, which includes a General Fund transfer
  of 185,125
• Boat Basin will increase fees between three and
  five percent and completely recover all operating
  and capital expenses.

46
Other Funds

• Rye Golf Club will raise rates 7 and presents a
  balanced budget of 3.8M
• Building and Vehicle Fund expenses are budgeted
  at 2,672,275 including an increase of Debt
  Service assigned to this fund of 426,000 and
  Capital Projects totaling 682,000

47
Fleet Replacement

• Vehicles replaced in accordance with established
  guidelines
• Staff Vehicles (assigned/take-home vehicles)
• 5 years/60,000 miles
•  Staff Vehicles (pool use vehicles)
• 10 years/100,000 miles, depending on utility and
  performance
• New vehicles will not be purchased for pool use.
• Assigned take-home vehicles and unmarked police
  vehicles will be cycled into pool use.

48
Fleet Replacement

• Police Patrol Vehicle
•  Replace every two years
• Police Unmarked Vehicles
• 7 years/70,000 miles
• Light Trucks Vans (passenger use)
• 10 years/80,000 miles
•  

49
Fleet Replacement

• Light Duty Salt Trucks
• 7 years/80,000 miles
• Medium Duty Trucks
• 10 years/80,000 miles
•   Light Equipment
• Varies depending on usage (approximately 5 to 10
  years)
• Heavy Equipment
• Varies depending on usage (approximately 10 - 20
  years)

50
Exception

• New vehicles will not be purchased for pool use.
• Three pool use vehicles exceed 100,000 miles
  and will be replaced in 2003
• Replace PEO vehicle with a second GEM zero
  emission all-electric vehicle
• Introduce two hybrid gas/electric vehicles in
  2003

51
Hybrid Vehicles

• Hybrid vehicles achieve over 50 miles per gallon
  compared to12 achieved by Recycled Police
  Vehicles
• Purchase price Offset by auctioning police
  vehicles which sell for between 3,300 and 5,700
  

52
Financial Policies

• Tentative Budget is generally consistent with the
  Councils Financial Policies

53
Financial Policies

• Current operating expenditures will be paid for
  from current operating revenues.
• No fund balance transfer for operating
  expenditures in 2003.

54
Eliminating the Operating Deficit

• 1988 332,836
• 1999 921,964
• 2000 1,140,041
• 2001 1,313,000
• 2002 1,369,500
• 2003 0
• Cost 10.1 of the tax rate increase

55
Financial Policies

• General Funds unreserved undesignated fund
  balance will be maintained at a level at least
  equal to 5 of the General Fund
• Tentative Budget forecasts reserves at 6.32 of
  2003 revenues and 6.15 of expenditures.

56
Policy Discussions

• If the cost of government proposed with this
  budget is too high then
• What is an acceptable cost of government?
• What are the service priorities?

57
Additional Reductions

• A 5 across the Board reduction would require a
  reduction of over 1M and still require a
  double digit (16.1) tax increase.
• Only 2.9M of the City Budget is within the
  control of Department Heads.
• Cutting even 5 would require a dramatic change
  in services.

58
What is 5

• In our Police Department it would mean
  eliminating 3 Police Officers and reducing
  daytime staffing levels.
• In Public Works it means eliminating four
  positions.

59
What is 5

• In the Fire Department it means eliminating two
  paid positions and require that we change our
  standard response from three pieces of apparatus
  to two.
• For General Government it means eliminating at
  least two positions.

60
Other Discussion Items

• I do not recommend that we dramatically reduce
  service levels.
• Residents receive a good value for their tax
  dollar

61
Other Discussion Items

• Do we need twice a week refuse collection?
• Should we turn off every other street light?
• Should we eliminate CDB beautification efforts
  and weekend clean-up?

62
Revenue Options

• Finance Committee has recommended a 75 surcharge
  for non-resident slip holders and members of the
  Golf Club could generate 45,000.
• Finance Committee has recommended a mooring fee
  that could generate 50,000.

63
Revenue Options

• Recreation User Fee Study is being reviewed and
  is available for consideration.
• Move refuse collection from the tax levy to an
  enterprise fund and take 2M off the tax levy.
• If the County Executives Sales Tax is passed,
  Rye would receive 516,000

64
Rule of Thumb

• For every 118,000 of appropriation we eliminate
  (or new revenue we raise), the property tax rate
  can be reduced by 1 (approximately).

65
Whats the right number?

• If 25.3 is too high, what is an acceptable
  number?

• If it is 20.3, we have to find 590,000.
• If it is 15.3, we have to find 1,180,000.

66
Next Steps

• Staff is here to help.

67
Next Steps

• I have presented the tentative budget.
• City Council will hold workshops on November 12
  and 13 at 730 PM.
• By November 21, 2002 any changes to the budget
  must be made in order to notice the Public
  Hearing on the proposed budget scheduled for
  December 2, 2002.
• Budget Adoption is scheduled for December 18,
  2002.

68
Thank you

• Appreciate the efforts of the Department Heads
  who really worked hard at cutting their budgets.

69
Thank you

• They know how to stretch a dollar

70
Special Thanks

• Finance and City Managers Office who work hard
  to crunch numbers and create the document you
  have before you this evening.