#1 & #5City Manager Budget Workshop August 3 Revised CITY OF ATLANTIC BEACH BUDGET WORKSHOP August 3, 2010
Global Economy
▪ Property taxes, sales taxes, interest rates,
other revenues down
▪ Public employees laid off
▪ Service levels cut
Conservative Budgeting/Long Term Planning
▪ 10-year plans for water, sewer, storm water systems
▪ Funds invested when available into capital projects
▪ Paid in cash; no new financing since 1996
▪ Maintenance work done
▪ Utilities, storm water system and parks in good condition
▪ Ready to withstand recession
Expenses Rising
▪ Fleet Maintenance contract $7,438 (3%)
▪ Fire Contract $27,601 (3%)
▪ Power costs $89,331 (11%)
▪ Pension costs $184,646 (16%)
▪ Group Health Insurance $221,659 (32%)
Revenues Declining over 3 years
▪ Property taxes $298,000
▪ State Revenue Sharing $49,000
▪ Half Cent Sales Tax $123,000
▪ Local Option Gas Tax $11,000
▪ Better Jacksonville Sales Tax $29,000
▪ Interest earnings $475,000 (4 years)
“Bare Bones” Budget
▪ Service levels (mostly) maintained
▪ Necessary capital projects only
▪ Only rate increase 6% water/sewer
▪ Employees get no raises, lower health
benefits
Water and Wastewater Financing Engineering Buccaneer Phase out $326,435 Main Plant $566,125 Construction Services $460,000 Construction of Buccaneer line,
other misc. $3,500,000 Construction of main plant upgrades $6,169,000 Water main; Ocean $150,331 Lift Station upgrades $342,000 Replace Well #1
$752,456 Total Cost $12,266,347
Water and Wastewater Financing Continued Construction and Engineering Costs $12,266,347 Less SRF Loan -$902,787 Less cash/SRF loan offset -$102,787 Less WMD grant
-$1,000,000 Total bank financing $10,260,773 Yearly P&I Payments for new debt $904,000 Total P&I Payments including existing debt $2,300,000