The City of Lake Oswego Finance Budget Overview

1
The City of Lake Oswego FinanceBudget Overview
2
1-2-3s of Budget Preparation

• Step 1 - update the Strategic Financial Plan
• Longer-range budget projections by fund
• Different scenarios are performed
• Projections are balanced 5 years out
• Essentially high-level balanced fund budgets
• Step 2 - fold in the updated 5-year CIP plan
• Step 3 - carve out the 1st two-year amounts
• Equals the Proposed Budget for the 2007-09
  Biennium

3
2007-09 Budget fast facts
(page 1 of 3)

• Two-year budget is balanced totaling 193 million
• Up 2 or 4 million since 1 July 2006
• Up 20 or 32 million from the 2005-07 Budget
• Operating expenses total 128 million
• 69 million for Personal Services
• 31 million for Materials Services
• 11 million for Debt Service
• 17 million for Transfers
• Capital expenses total 37 million over both
  years
• Reserves and contingencies total 28 million

4
2007-09 Budget fast facts
(page 3 of 3)

• Proposed 2007-09 Budget contains
• no tax rate increase
• funding for 354 personnel positions (up 2 FTEs)
• 37 million in capital projects
• 8.5 percent health insurance increase (600k/yr)
• covers Countys estimated continued decreased of
  County Library Levy support

5
2007-09 Budget fast facts
(page 3 of 3)

• Proposed 2007-09 Budget contains (continued)
• 12 million in Sewer revenue bond money
• 3 inflationary utility rate increases to cover
  inflation for water, sewer, and surface
  additional 7 to cover sewer bonds
• Urban Renewal Budget includes 8 million in tax
  increment bond money for urban renewal projects

6
The City of Lake Oswego FinanceBudget Overview

• Attachments
• Budgets per Fund

7
2007-09 Budget for the General Fund

• Home to Citys Support Departments City
  Council, City Mgr, Legal, HR, IT, Fin, Gen, Risk
  Mgmt, Redevelopment, and General Services
• Total 2007-09 budget is 20m (18m in 2005-07)
• Positions same at 37.3 FTE (41.3 FTE in 2003-05)
• Reserves at 3.9m (4.7m in 2005-07)
• Funds include 25k for Dark Sky Ordinance
  Lighting conversion

8
2007-09 Budget for the Community
Service Funds

• Home to Citys Library, Municipal Court, Adult
  Community Center, Streetcar, and the new
  Community Center Development Fund
• Library Operational Independency
• Property tax allocation increased by 1m
• County Support estimated decreased by 1/3
• Minter Trust 3m endowment funds included 50 in
  Library and 50 in ACC Funds
• Community Center Development Fund is our new Fund
  this year 2m transfer to cover Line of Credit
  interest

9
2007-09 Budget for the Community
Development Fund

• Home to Citys Engineering, Planning, and
• Building Permit Center departments
• Doubled funds for Neighborhood mailings/flyers
• (from 4,000 per year to 8,000 per year)
• Up 150,000 for Neighborhood Planning

10
2007-09 Budget for the Public
Safety Fund

• Home to Citys Police, 911 Dispatch, and
• Fire departments
• Total budget is up 9 to 43m (39m in 07)
• Full-time positions up 1.5 to 126 FTEs
• 1 network engineering position in 911 Dispatch
• ½ part-time janitorial position in Police
• Includes capital outlay funds for police vehicles
  and land acquisition site, if needed, for Fire
  Station 212 (South Shore)

11
2007-09 Budget for the Parks
Recreation Funds

• Home to Citys Parks Recreation, Golf, Tennis,
  Percent for Art, and Parks Bond funds
• Overall Parks capital down 7.8m in 2005-07
  whereas 4.7m in 2007-09
• 3.2m of the 4.7 relates to the Citys
  artificial turf field and dog park improvements
  at the Luscher Farm complex
• Park Bond fund is mostly used up with this
  budgets capital including the 900k transfer to
  LOSD for its artificial field projects
• Golf Fund is on watch status could be heading
  for a positive turn around projecting a 74k
  ending balance

12
2007-09 Budget for the Utility Funds

• Home to Citys Water, Sewer, Surface Water,
  Street, SDCs, Street, and Maintenance funds
• Water Fund includes an additional 1 full-time
  position for the Citys water conservation focus
• Sewer Fund includes 12m in revenue bonds
  relating to the start of the Lake Interceptor
  project
• Surface Water includes significant funding for
  the 10th Street greenstreet project
• Street Fund continues its 1.2m maintenance
  program
• Maintenance includes 1.5m for facility
  improvements

13
2007-09 Budget for the Other Funds

• Home to Citys Bonded Debt-Service, Assessment
  Project, and Bicycle Path Funds
• Bonded Debt-Service fund continues to make
  payments on Citys 30 million of outstanding
  General Obligation Bonds
• (maximum GO Bond is 237 million)
• Total bond payments are down to 6.8 million
  (7.2 million in 2005-07)
• Bonded debt portion of the property tax rate is
  down by 2 cents per 1000 to .7302

14
2007-09 Budget for the Capital
Projects

• 37 million equals total capital outlay for
  2007-09. (26 million in 2005-07)
• 18 million relates to Sewer projects
• (12 million funded with new revenue bonds, 5
  million from Sewer reserves, and 1m from SDCs).
• 10 million relates to Water, Surface Water,
  Street, and SDC capital projects
• 4.7 million relates to Park projects
• Remaining relates to various facility
  improvements, equipment upgrades, and vehicle
  replacements

15
2007-09 Budget for the Urban
Renewal Agency

• Lake Oswego Redevelopment Agency (or LORA) is the
  Citys urban renewal agency
• LORA has its own separate two-year budget
• Two funds
• Debt Service Fund totals 5.4 million
• Capital Projects Fund totals 9.6 million
• Funding comes from Tax Increment revenue
• Projecting 8 growth in incremental assessed
  value
• Increment revenue increased to 2.6 million per
  year
• Projects to include those listed on Pages 20 21
  including the ADA ramp _at_ Millennium Plaza Park

16
The City of Lake Oswego FinanceBudget Overview

• The
• End