Budget Workshop Agenda Packet 8-9-11
Budget Workshop Schedule July 13, 2011 Workshop # 1; Tuesday, August 9, 2011 5-9 p.m. • Budget Overview • Water & Sewer Systems Maintenance project status & operations issues Wastewater
improvements to meet nitrogen standards -Status -Financing/rate coverage Sales forecasts Transfers to General Fund 10-year plan • Additional subjects as time allows Workshop #2;
Wednesday, August 24, 2011 5-9 p.m. • Public Works Streets Gas Tax Fund Stormwater Fund -Master Plan update; status Sanitation Fund Tree Fund Marsh Master Plan • Additional
subjects as time allows Workshop #3; Wednesday, August 31, 2011 5-9 p.m. • Police Operating budget Police building • Mayport Corridor and Royal Palms projects • Fire contract with
Jacksonville • Lifeguards • Building Fund, Zoning and Code Enforcement • Employee pay and benefits • Final subjects not covered in previous workshops Workshop #4; Tuesday, September
6, 2011 5-complete • Discussion/amendments to draft budget by Mayor and Commissioners Other subjects as time allows • General Fund revenues and expenses • General Fund 10-year plan •
Grants; not otherwise covered • Agency funding requests
City of Atlantic BeachBudget WorkshopAugust 9, 2011
Overview•Multi-year economic downturn•Revenue reductions, expense increases•Other cities•No rate increases proposed•Contingencies maintained +•Water, sewer, stormwater, parks in good
shape•Service levels remain high
Revenues•Down over 4 years•Prop tax $185k next year, $500k over 4 years•Interest, sales taxes•General Fund = main problem
Expenditures •Numerous reductions in recent years•Pensions up $420,000 next year, $800,000 over 4 years•Health Insurance; no increase to City in budget•Cut 4 positions: -W/S Collection/Distribution
Operator -PW Heavy Equip Operator -COPS Officer (grant?) -½ Community Redevelopment Coordinator -½ Detective •No COLA/raises (wage compression being created) •No tipping fee increase•Police
Building
Big Issues•Pensions•Health Insurance•Tipping fee to COJ•Police Building•Tax rate•Long term outlook
Schedule•Workshop 1 (tonight) Water/Sewer•Workshop (August 24) Public Works•Workshop 3 (August 31) Police, Pay & Benefits•Workshop 4 (Sept 6)
Water & Wastewater Financing; Project Costs 8/10 Budget8/11 Estimate Engineering$1,352,560$1,608,946Buccaneer Line$3,500,000$1,403,656Main Plant Upgrades $6,169,000$5,374,940Sludge/Odor
Control$0$2,410,200Other Projects$1,244,787$816,610$12,266,347$11,614,352
Water & Wastewater Financing; Sources of Funds 8/10 Budget8/11 Estimate SRF Loans$902,787$9,721,792Cash/Loan Offset$102,787$0Bank Loans $10,260,773$892,560WMD Grant $1,000,000 $1,000,000
$12,266,347$11,614,352
Water & Sewer Financing; Debt Payments 8/10 Budget 8/11 EstimateYearly P&I; new debt $904,000 $759,816Yearly P&I; old debt $1,396,000 $1,388,994$2,300,000 $2,148,810
012345678910Atlantic Beach Inside29.4332.0734.7137.3545.4653.5761.6869.7977.9086.4595.00Atlantic Bch Outside36.7940.0943.3946.6956.8366.9677.1087.2497.38108.06118.75Jacksonville Beach17.4323.9130.393
6.8743.3551.7360.1168.4976.8785.2593.63Neptune Beach25.3734.4043.4352.4661.4970.5281.8293.12104.42115.72127.02JEA22.5328.4034.2740.1446.0151.8857.7565.0272.2979.5686.83JEA-FY1226.7032.5738.4444.3150.
1856.0561.9269.9377.9485.9593.96JEA-FY1330.5036.3742.2448.1153.9859.8565.7274.3482.9691.58100.20Neptune -FY1227.4237.1546.8856.6166.3476.0788.26100.45112.64124.83137.02Neptune -FY1329.6440.1250.6061.
0871.5682.0495.19108.34121.49134.64147.79$0$20$40$60$80$100$120$140$160Gallons in ThousandsWater and Sewer Utility Bill Comparison August, 2011
$0$50$100$150$200$250$300$350$400012345678910111213141516171819202122232425Water and Sewer UtilityBill Comparison2011 RatesJacksonville BeachNeptune -FY11Atlantic Beach InsideJEA-FY11Atlantic
Bch OutsideNeptune -FY12Neptune -FY13JEA-FY12JEA-FY13
0200,000400,000600,000800,0001,000,0001,200,000FY 2000FY 2001FY 2002FY 2003 FY 2004FY 2005FY 2006FY 2007FY 2008FY 2009FY 2010FY 2011Gallons x 1,000Water/Sewer Sales
11.73 10.68 10.50 10.10 9.79 8.90 8.99 8.817.91 7.577.54-2.00 4.00 6.00 8.00 10.00 12.00 14.00 1999-002000-012001-022002-032003-042004-052005-062006-072007-082008-092009-10Gallons x
1,000City of Atlantic Beach Average Monthly Water Customer Usage
-20,000 40,000 60,000 80,000 100,000 120,000 123456789101112Gallons x 1,000 Months of FY October = 1Water Sales Vol 99-00 to 10-11FY 99-00FY 01-02FY 03-04FY 05-06FY 07-08FY 09-10FY 10-11
010,00020,00030,00040,00050,00060,00070,00080,00090,000123456789101112Gallons x 1,000Months of FY; October =1Sewer Sales Volume FY 2000-FY 2011FY 1999-00FY 2001-02FY 2003-04FY 2005-06FY
2007-08FY 09-10FY 10-11
$0$100,000$200,000$300,000$400,000$500,000$600,000$700,000$800,000FY 2005FY 2006FY 2007FY 2008FY 2009FY 2010FY 2011FY 2012FY 2013FY 2014FY 2015Transfers to General Fund vs Surcharge
0510152025MillionsPublic UtilitiesPersonal ServicesOperating ExpensesDebt ServiceTransfersCapital OutlayRevenue
Public Utilities BudgetFY 12
Current FY Project StatusProjectCurrent FY AmountStatusWell No. 1 Rehabilitation$51,026UnderwayWaterPlant 2 & 4 Tank Repairs/Rehabilitation$47,790Underway11thSt. Water Main Replacement$120,000Bidding
SelvaMarina Sewer Rehabilitation$286,727CompleteDonner Subdivision Sewer Rehabilitation (Grant)$178,000Bidding(Re-Bid)Replace YardStation Equipment$40,000Under ConstructionTMDL Project
–Force Main$1,403,656CompleteTMDL –WWTP#1Upgrades with Sludge & Odor Control$8,344,644UnderConstruction
TMDL Project SummaryDEPDeadlineComplete Construction12/31/2012Begin Operation of Upgraded WWTP3/31/2013OperationalLevel to Remove Nitrogen Attained10/1/2013Project StatusForcemain constructionComplet
eWWTP #1 UpgradesConstruction underway, approximately 35% completeSludge & Odor ControlNoticeto Proceed 7/20/2011
TMDL Project Description•Consolidating two wastewater treatment plants to a single plant•Transferring flow from smaller plant with limited space and aging metal tanks to main plant with
newer, large concrete tanks that could be modified for nitrogen removal•Used directional drilling technology for force main installation to avoid environmental damage and neighborhood
disruption•Installing state-of-the-art equipment for electrical efficiency •Included more efficient, effective sludge treatment and odor control
TMDL Construction Cost Savings•SJRWMD Grant of $1,000,000•Other funding with State Revolving Fund Loan with much lower interest rates•Received excellent construction prices due to bidding
while the market was right•Major equipment procurement process resulted in excellent pricing for equipment
TMDL Operational Cost Savings•Consolidating treatment plants results in more efficient operations and cost savings•New equipment is much more efficient, resulting in electrical savings•Estimated
operational savings is $340,000/year•Pro-rated savings in FY12 Budget is approximately $110,000.•New sludge treatment process will result in major savings in tipping fees if implemented
by COJ
Water Master Plan Status•Some recommended projects have been delayed due to reduced funding, but progress still being made. Since the 2001 Plan we have:▫Interconnected the Buccaneer
& Atlantic Beach Water Systems▫Added a 300,000 gallon elevated storage tank at Water Plant #2▫Replaced old cast iron water mains with new PVC mains in several areas of the City▫Updated
the Water Distribution System Model in 2007.▫Constructed a new well and rehabilitated another well.
Water Master Plan Future Issues•Continue with Well Evaluation, Rehabilitation, Replacement •Continue replacing aging or undersized water mains•Many major problem areas are complete.
Fewer water breaks, combined with sewer rehabilitation improvements have reduced emergency issues. Staff suggested a reduction of one field position by not replacing a retiring employee.
Water Loss•Enhanced meter replacement program in FY11. Analysis of a small sample indicated approximate 5% payback.•Accelerating program in FY12 to approximately 800 meters ($74,000)•Will
continue with annual leak detection and large meter testing and repair
Water Capital Items for FY12•Interior rehabilitation of elevated tank at Water Plant #1 -$40,000•Interior rehabilitation of ground storage tank at Water Plant #2 -$40,000•Recoat both
ground storage tanks at Water Plant #3 -$60,000•Replace old water mains on 12thSt. between Ocean Blvd. & Beach Ave. and on Ocean Blvd. between 14thand 16thStreets -$200,000
2006 Sewer Master Plan Status•Recommended lift station improvements have been completed (Lift Station E at 799 Mayport Rd. and Mimosa Cove Lift Station in FY10).•Sewer rehabilitation
in much of the Atlantic Beach system has been completed.•Grant funding has paid for sewer rehabilitation in the Salt Air area, and another project being bid in the Donner Subdivision.
Sanitary Sewer Rehabilitation –Status at 2006 Sewer Master Plan
Sanitary Sewer Rehabilitation –Status FY 2011
Sewer Capital Items for FY12•Continue sewer rehabilitation in Area B (North of Core City) -$300,000
Grants2011-12
These represent the money coming into the City… not the full cost of the projects;Some may not be formal grants, but they represent monetary gifts… not in-kind contributionsMost grants
require a team effort to identify, seek, obtain, and administer
Explanation of Application ProcessesLMS Salt Air Rehabilitation Grant Application ProcessKnowledge of the problem from ExperienceMet with Donna K.: Confirmation and Data ReviewCreated
Concept Paper and Submitted to Local Emergency PreparednessAdded project to LMS List
Salt AirAwaited funding availabilityReviewed and recommended by local LMS committee for fundingPresented to State official in JaxPresented to staff of State Engineers in Lake MaryCreated
Benefit/Cost AnalysisPresented to State: ApprovedPresented to FEMA: Approved for $282,000
AdministrationEnergy Grants2 Energy Grants totaling $338,0001 Through COJ1 Through State Energy After receiving the grant approvals from both COJ and the State…
Energy GrantsContract with COJ is 54 Pages including attachmentsContract with State is 76 PagesPurchasing rules, regulations, forms, etc.For State Grant: AB Staff handles drafting
specifications, qualifications of vendors, advertising bids, selection of vendors, negotiating contracts, construction management, monthly reports, reimbursement requests, etc.For COJ,
we deal with an entirely different group of people and processes
Example of ONE provision: Davis-Bacon RequirementAll contractors must agree to this provision to pay at least the Dept of Labor rates for our regionContactors must keep the recordsAB
Staff must interview workers on job sites, verify type of work and verify wages to verify compliance
Completed in 2011Local Mitigation Strategy: Salt Air Sewer Rehabilitation: $282,0000Stimulus Justice Assistance Grant: Residual for Community Redevelopment: $33,000City of Jacksonville:
Beaches Veterans’ Memorial Park: $50,000Homeland Security: Mobile Command Vehicle: $30,000
Completed 2011Justice Assistance Grant: Crime Suppression Unit: $42,000Justice Assistance Grant: COPS: $80,660Neighborhood Resource: $2,500 to expand Donner and Jordan Summer CampsFlorida
Inland Navigation District: $32,000 for planning, design, permitting Tideviews Extension and Canoe/Kayak Launch/LandingTotal$552,160
In Progress 2011Stimulus Energy Grant(COJ): $103,400◦Includes Energy Audits, HVAC Replacements, Solar Hot Water for Fire DeptStimulus Energy Grant (State): $234,789◦Includes HVAC Replacements,
Vehicle Upgrades, Recreation Lighting at Donner ParkCommunity Development Block Grant(Disaster): $178,000 for Donner Sewer Rehabilitation
In Progress 2011Florida Inland Navigation District: $96,790 for Construction of Tideviews Extension and Canoe/Kayak Launch/LandingCommunity Development Block Grant: $131,000 for Donner
Park Improvements i.e. Soccer Field, Baseball Field, Basketball Lighting, Security Lighting, Security CameraJustice Assistance Grant (Direct): $5,125 EquipmentTotal $749,104
2011-12 Applied for…Community Development Block Grant: $92,690 for Septic to Sewer ConversionsJustice Assistance Grant: $105,574 for COPS, CSU, and partial funding for Community Redevelopment
CoordinatorFlorida Department of Transportation: $41,000 for Bicycle/Pedestrian SafetyCOJ 911: $30,000 for Police Building ExpensesCOPS: One officer for 3 years: $192,000
2011-12 Applied for…Local Mitigation Strategy (City Hall Wind Retrofit): $26,000Local Mitigation Strategy (Completion of Donner Sewer Rehabilitation): $200,000Total $687,264Possibility:
Solar Panels (Photovoltaic) on Buildings: Between $250,000-$585,000
Questions
City of Atlantic BeachFY 2012Budget WorkshopRevenue and Tax Information
11.61%8.90%14.24%7.37%0.68%20.77%1.13%35.30%Total 2012 General Fund RevenuesTaxesLicenses and PermitsIntergovernmentalInterfund TransfersFines and ForfeituresCharges for ServicesMiscellaneousAd
Valorem Taxes
02,000,0004,000,0006,000,0008,000,00010,000,00012,000,00014,000,000FY-01FY-02FY-03FY-04FY-05FY-06FY-07FY-08FY-09FY-10FY-11FY-12General Fund Total Revenues by Typeand Total ExpensesAD
VALOREM TAXESTAXES AND FRANCHISE FEESPERMITS FEES AND ASSESSMENTSINTERGOVERNMENTAL REVENUESCHARGES FOR SERVICESFINES AND FORFEITURESMISCELLANEOUS REVENUESINTERFUND TRANSFERSEXPENSES
1,349 1,482 1,412 1,360 1,318 1,252 696 820 684 568 434 315 81 81 81 82 89 88 93 93 88 88 47 50 60 63 56 54 $2,183$2,443$2,332$2,168$1,980$1,793-500 1,000 1,500 2,000 2,500 3,000 20062007200820092010
2011MillionsCity of Atlantic BeachAd Valorem Assessment RollsExemptionsHomestead ExemptionHomestead Exemption IIHomestead Exemption for ElderlySave Our Homes Cap ValueTaxable ValueJust
Value
-200,000,000 400,000,000 600,000,000 800,000,000 1,000,000,000 1,200,000,000 1,400,000,000 1,600,000,000 1999200020012002200320042005200620072008200920102011DollarsFiscal YearAtlantic
Beach Taxable Property ValuesNew ConstructionPersonal PropertyReal Property
$-$200,000 $400,000 $600,000 $800,000 $1,000,000 $1,200,000 Example of Total Home Just Valueand Taxable ValueTaxable ValueHomesteadSOH CapJust Value
$-$2,000 $4,000 $6,000 $8,000 $10,000 $12,000 $14,000 $16,000 Comparison of Total and Atlantic Beach Taxes Based on Home Tax ValueAtlantic BeachTotal
School Board42.39%Duval County37.85%Water Management District.2.57%Atlantic Beach17.71%Florida Inland Navigation0.19%CITY OF ATLANTIC BEACHOffice of the Property Appraiser Final 2011
Millages
0.0000.5001.0001.5002.0002.5003.0003.5004.0004.5002002200320042005200620072008200920102011City of Atlantic BeachTen Year Millage Comparison 2011 Final Operating MillagesNeptune BeachAtlantic
BeachJacksonville Beach
18.007717.818718.758117.954119.366017.000017.500018.000018.500019.000019.5000Neptune BeachAtlantic BeachJax BeachJacksonvilleTown of BaldwinCITY OF ATLANTIC BEACH2011Proposed Millages
012345678910Atlantic Beach Inside29.4332.0734.7137.3545.4653.5761.6869.7977.9086.4595.00Atlantic Bch Outside36.7940.0943.3946.6956.8366.9677.1087.2497.38108.06118.75Jacksonville Beach17.4323.9130.393
6.8743.3551.7360.1168.4976.8785.2593.63Neptune Beach25.3734.4043.4352.4661.4970.5281.8293.12104.42115.72127.02JEA22.5328.4034.2740.1446.0151.8857.7565.0272.2979.5686.83JEA-FY1226.7032.5738.4444.3150.
1856.0561.9269.9377.9485.9593.96JEA-FY1330.5036.3742.2448.1153.9859.8565.7274.3482.9691.58100.20Neptune -FY1227.4237.1546.8856.6166.3476.0788.26100.45112.64124.83137.02Neptune -FY1329.6440.1250.6061.
0871.5682.0495.19108.34121.49134.64147.79$0$20$40$60$80$100$120$140$160Gallons in ThousandsWater and Sewer Utility Bill Comparison August, 2011
2011-12Miscellaneous Accounts
LifeguardsInterlocal Agreement provides funding each year for lifeguards and beach maintenance… started in 1995Based on current staffing levels…Applicable Revenue from COJ: $198,002Projected
costs for Lifeguards: $203,247Projected cost for Maintenance:$33,000Atlantic Beach Costs:$38,247
Recreation and Special EventsBudget is relatively flat compared to 2010-11No Increases in StaffingNo Capital Projects Except HVAC ReplacementsContinue to fund at same levels:AB
Elementary After School Program $16,500Mayport Middle After School Program $14,000AB Elementary Grass Cutting $5,820Beaches Resource Center $2,000Dial-a-Ride $1,500Total Annual
Budget: $388,326
Questions