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HomeMy WebLinkAboutCity of Tamarac Ordinance O-2014-013Temp. Ord. #2304 September 22, 2014 Page 1 CITY OF TAMARAC, FLORIDA ORDINANCE NO. 0-2014- AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF TAMARAC, FLORIDA, ADOPTING THE OPERATING BUDGET, REVENUES AND EXPENDITURES, THE CAPITAL BUDGET, AND THE FINANCIAL POLICIES FOR THE FISCAL YEAR 2015; REPEALING ALL ORDINANCES IN CONFLICT WITH THIS ORDINANCE; PROVIDING FOR CONFLICTS; PROVIDING FOR SEVERABILITY; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City Manager of the City of Tamarac, Florida, has presented to the City Commission the proposed operating budget, revenues and expenditures and capital budget as estimated for the Fiscal Year 2015, all as required by Section 7.02 of the Charter of the City; and WHEREAS, the City Commission in duly called public meetings, reviewed the budget and, having made certain amendments thereto, approved a tentative budget on September 12, 2014; and WHEREAS, the City Commission authorized a final public hearing on September 22, 2014, at 5.05 p.m. at the Tamarac City Hall, 7525 N..W. 88t" Avenue, Tamarac, Florida, and has caused notice of same to be published in a newspaper of general circulation in the City of Tamarac according to law; and WHEREAS, the City Commission has determined the amount of money which must be raised to conduct the affairs of the City of Tamarac for the Fiscal Year 2015 so that the business of the city may be conducted on a balanced budget, and has also determined the amount necessary to be raised by ad valorem taxes upon all of the property, real and personal, within the corporate limits of the City of Tamarac; and WHEREAS, the City Manager recommends the proposed budget for Fiscal Year 2015 be adopted; and WHEREAS, the City Commission of the City of Tamarac deems it to be in the best interest of the citizens and residents of the City of Tamarac to approve the budget for Fiscal Year 2015. Temp. Ord. #2304 September 22, 2014 Page 2 NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF TAMARAC, FLORIDA: Section 1: That the foregoing "WHEREAS" clauses are hereby ratified and confirmed as being true and correct and are hereby made a specific part of this ordinance. Section 2: That the City of Tamarac, Florida operating budget, revenues and expenditures, and the Capital Budget for the Fiscal Year 2015, as provided for in Attachment A, and by this reference made a part thereof, be and the same is hereby adopted. If at any time during the fiscal year it appears probable that the revenues available will be insufficient to meet the amount appropriated, the City Commission shall then take such further action as necessary to prevent or minimize any deficit and for that purpose it may by ordinance reduce one or more appropriations. No appropriation for debt service may be reduced or transferred, no appropriation may be reduced by any amount required by law to be appropriated or by more than the amount of the unencumbered balance thereof. Section 3: That the City Manager, in accordance with Section 7.10(d) of the City Charter, is authorized to make transfers within departments, and with the approval of the City Commission, transfer funds between departments, as is permitted by law. Section 4: That when the City of Tamarac receives monies from any source, be it private or governmental, by Grant, gift, or otherwise, to which there is attached as a condition of acceptance, or any limitation regarding the use of or expenditure of the monies received, the funds so received shall be accepted by the City Commission and incorporated and appropriated in the budget by amendment, as required by law. Section 5: That every appropriation, except an appropriation for a multi -year capital improvement or multi -year grant program, shall lapse at the close of the fiscal year to the extent that it has not been expended or encumbered. An appropriation for a multi -year capital improvement or multi -year grant program shall continue in force until the purpose for which it was made has been accomplished or abandoned; the purpose of any such appropriation shall be deemed abandoned if three (3) years pass without any disbursement from or encumbrance of the appropriation Section 6: That the Financial Policies, as provided for in Attachment B, are hereby adopted. A copy of the Financial Policies is attached hereto and incorporated herein by reference. Temp. Ord. #2304 September 22, 2014 Page 3 Section 7: That all Ordinances or parts of Ordinances in conflict herewith are hereby repealed to the extent of such conflict. Section 8: That if any provision of this Ordinance of the application thereof to any person or circumstance is held invalid, such invalidity shall not affect other provisions or applications of this ordinance than can be given affect without the invalid provision or application, and to this end the provisions of this Ordinance are declared to be severable. Section 9: That this Ordinance shall become effective immediately upon its passage and adoption. PASSED, FIRST READING, PASSED, SECOND READING, ST-- PATRICIA TEUF L, CMC CITY CLERK I HEREBY CERTIFY that I have approved this ORDINANCE as to form: `CAMUEL S. GOREN ITY ATTORNEY 12th DAY OF September, 2014 22nd DAY OF September_ 2014. BY: MAYOR HARRY DRESSLER RECORD OF COMMISSION VOTE: 1ST Reading MAYOR DRESSLER DIST 1: COMM. BUSHNELL DIST 2: V/M. GOMEZ DIST 3: COMM. GLASSER DIST 4: COMM. PLACKO RECORD OF COMMISSION VOTE: 2ND Reading MAYOR DRESSLER DIST 1: COMM. BUSHNELL DIST 2. V/M. GOMEZ Fi 4f/ DIST 3: COMM. GLASSER DIST 4: COMM. PLACKO CITY OF TAMARAC, FLORIDA ATTACHMENT A FY 2015 BUDGET ATTACHMENT TO TEMPORARY ORDINANCE 2304 FY 2016 BUDGET ORDINANCE FUND TO 2304 General Fund Revenues Taxes Licenses & Permits Intergovernmental Revenue Charges for Services Fines & Forfeitures Miscellaneous Appropriation From Fund Balance Other Sources Expenditures City Commission City Manager City Attorney City Clerk Finance Human Resources Community Development Police Public Works Parks & Recreation Information Technology Non -Departmental Fire Rescue Fund 27,334,896 4,878,534 7,750,176 1,638,705 1,936,088 1,180,338 1,781,518 5,718,389 596,814 1,536,829 590,580 569,378 2,771,328 1,106,910 1,967,152 15,614,068 7,170,089 4,531,580 2,233,269 13,530,647 Revenues Intergovernmental Revenue $ 74,990 Emergency Service Fees 1,919,000 Interest Income 31,015 Special Assessment 11,385,195 Interfund Transfers 6,379,742 Appropriation from Fund Balance 650,000 Other Sources 812,160 Total Fire Rescue Fund Revenue $ 21,252,102 Expenditures Personal Services $ 15,419,109 Other Operating Charges 1,411,074 Capital Outlay 1,488,524 Other Uses 2,547,503 Debt Service 365,892 Reserves 20,000 Page 1 of 8 CITY OF TAMARAC, FLORIDA ATTACHMENT A FY 2015 BUDGET ATTACHMENT TO TEMPORARY ORDINANCE 2304 FY 2015 BUDGET ORDINANCE FUND TO 2304 Public Art Fund Revenues Charges for Service $ 150,000 Interest Income 7,500 Appropriation From Fund Balance 1.342.500 Expenditures Other Operating Charges $ 235,000 Capital Outlay 710,000 Local Option Gas Tax 3-Cents Fund Revenues Taxes $ 369,004 Appropriation From Fund Balance 1,492,140 Expenditures Other Operating Charges $ 500,000 Reserve 1,361,144 Total Local Option Gas Tax Expenditures $ 1,861,144 Building Fund Revenues Licenses & Permits $ 2,237,000 Charges for Services 10,000 Fines & Forfeitures 152,000 Interest Income 2,000 Appropriation From Fund Balance 261.375 Expenditures Personal Services $ 1,948,896 Operating Expenses 178,806 Other Uses 534,673 'Total Building Fund Expenditures $ 2,662,375 Page 2 of 8 CITY OF TAMARAC, FLORIDA ATTACHMENT A FY 2015 BUDGET ATTACHMENT TO TEMPORARY ORDINANCE 2304 FY 2015 BUDGET ORDINANCE FUND TO 2304 RCMP Grant Fund Revenues Intergovernmental Revenue $ 150,000 Total RCIVIP Revenues $ 00• Expenditures Personal Services 7,460 Operating Expenses $ 142,540 ExpendituresTotal RCIVIP 000 Community Development Block Grant (CDBG) Fund Revenues Intergovernmental Revenue $ 355,970 Total Dc Expenditures Personal Services $ 139,241 Ooeratino Expenses 216.729 State Housing Initiative Program (SHIP) Fund Revenues Grant Revenues $ 278,643 Expenditures Personal Services $ 27,602 Other Uses 251,041 Total SHIP • • Home (HUD) Fund Revenues Intergovernmental Revenue $ 78,448 Expenditures Personal Services $ 7,970 Operating Expenses 65,478 Reserves 5,000 Page 3 of 8 CITY OF TAMARAC, FLORIDA ATTACHMENT A FY 2015 BUDGET ATTACHMENT TO TEMPORARY ORDINANCE 2304 FY 2015 BUDGET ORDINANCE FUND TO 2304 Neighborhood Stabilization Program 3 (NSP3) Fund Revenues Miscellaneous $ 100,000 Expenditures Personal Services $ 20,457 Operating Expenses 79,543 General Obligation (GO) Debt Service Revenues Taxes $ 263,045 Interest Income 600 Total • Debt Service Revenues $ 263,645 Expenditures Debt Service $ 263 Revenue Bond Fund Revenues Interfund Transfers $ 2,542,538 Interest Income 5,000 Expenditures Debt Service $ 2,547 Capital Equipment Fund Revenues Interfund Transfers $ 552,000 Appropriation From Fund Balance - Expenditures Page 4 of 8 552,000 CITY OF TAMARAC, FLORIDA ATTACHMENT A FY 2015 BUDGET ATTACHMENT TO TEMPORARY ORDINANCE 2304 FY 2015 BUDGET ORDINANCE FUND TO 2304 General Capital Improvements Fund Revenues Appropriation From Fund Balance $ 2,754,680 Expenditures Capital Outlay $ 2,110,000 Other uses $ 144,680 Contingency 500,000 Corridor Improvement Fund Revenues Interfund Transfer $ 1,000,000 Expenditures Capital Outlay $ 1,000,000 Total Corridor Improvement Expenditures $ 1,000,000 Public Service Facilities Fund Revenues Intergovernmental Revenue $ 1,216,740 Interest Income 25,000 Appropriation From Fund Balance 782,904 Expenditures Operating Expenditures $ 40,144 Capital Outlay 1,984,500 CIP 05 Revenue Bond Fund Revenues n From Fund Balance Expenditures Capital Outlay Page 5 of 8 CITY OF TAMARAC, FLORIDA ATTACHMENT A FY 2015 BUDGET ATTACHMENT TO TEMPORARY ORDINANCE 2304 FY 2015 BUDGET ORDINANCE FUND TO 2304 Tamarac Village Fund Revenues Appropriation From Fund Balance $ 251,893 Total Tamarac Village Fund Revenues $ 251,89 Expenditures Debt Service $ 236,183 Operating Expenditures $ 15,710 Total Tamarac Village Fund Expenditures $ 251.,893— Stormwater Management Fund Revenues Stormwater Drainage Fees $ 5,198,189 Investment Income & Misc Rev 54,000 Interfund Transfers 338,298 ADDroDriation From Net Asset 688,140 Expenses Personal Services $ 1,638,365 Operating Expenses 2,583,962 Capital Outlay 170,000 Other Uses 1,032,300 Debt Service 404,000 Contingency 300,000 Reserves 150,000 Total Stormwater Management Expenditures Stormwater Capital Project Revenues Interfund Transfers $ 1,032,300 Total Stormwater Capital Project Fund Revenues $ 00 Expenditures Capital Outlav Page 6 of 8 1,032,300 CITY OF TAMARAC, FLORIDA ATTACHMENT A FY 2015 BUDGET ATTACHMENT TO TEMPORARY ORDINANCE 2304 FY 2015 BUDGET FUND ORDINANCE TO 2304 Utilities Fund Revenues Charges for Services $ 25,114,512 Interest Income 65,000 Miscellaneous 11,000 Appropriation From Net Asset 2,052,720 Expenses Personal Services $ 5,462,609 Operating Expenses 13,236,779 Capital Outlay 949,850 Other Uses 5,617,346 Debt Service 907,000 Contingency 908,708 Reserves Total Utilities Fund Expenses 160,940 $ 27,243,232 Utilities C.I.A.C. Fund Revenues Investment Income $ 500 Total Utilities CIAC Fund Revenues $ 00 Expenses Reserves $ 500 Utilities Renewal & Replacement (R&R) Fund Revenues Interfund Transfers 5,600,000 Expenses Page 7 of 8 5,600,000 CITY OF TAMARAC, FLORIDA ATTACHMENT A FY 2015 BUDGET ATTACHMENT TO TEMPORARY ORDINANCE 2304 FY 2016 BUDGET ORDINANCE FUND TO 2304 Colony West Golf Course Fund Revenues Charges for Services $ 2,356,743 Miscellaneous 255,405 Interfund Transfers 309,597 Total.. Expenses Operating Expenses $ 2,521,660 Capital Outlay $ 144,680 Contingency 255,405 ColonyTotal • Expenses Health Insurance Fund Revenues Charcles for Services $ 4,107,250 Expenses Operating Expenses $ 3,932,081 Continaencv 175.169 Risk Management Fund Revenues Charges for Services $ 1,335,991 Interest Income 50,000 Miscellaneous 15,000 Appropriation from Net Assets 1,189,370 Expenses Personal Services Operating Expenses Contingency Page 8 of 8 382,897 1,957,464 250,000 Attachment B FINANCIAL MANAGEMENT POLICIES The National Advisory Council on State and Local Budgeting (NACSLB) developed a comprehensive set of recommended budget practices that has been endorsed by the Government Finance Officers Association, ICMA, academia, etc. These recommended practices provide a framework for the budget process encompassing a broad scope of governmental planning and decision -making with regard to the use of resources. NACSLB Principal 2, Element 4, "Adopt Financial Policies" addresses the need for jurisdictions to establish policies to help frame resource allocation decisions. As such, the following are five categories of recommended financial management policies developed within these guidelines with the associated measurable benchmarks for adoption by the City Commission. The five categories are Operating Management, Debt Management, Investment Management, Account Management and Financial Planning & Economic Resources and are detailed below: OPERATING MANAGEMENT EMENT Policy #1: Revenue estimates for annual budget purposes should be conservative. In this light, General Fund revenues should be budgeted in the manner delineated below. 1.1. Property taxes should be budgeted at 95% of the Property Appraiser's estimate as of July. 1.2. State shared revenues should be budgeted at 95% of the State Department of Revenue estimate. This includes the Communication Services Tax, Half -cent Sales Tax and State Revenue Sharing. 1.3. Franchise fee revenue should be budgeted at 95% of the maximum estimate prepared by Financial Services Department. 1.4. Public Service Taxes on Electric, Propane and Natural Gas should be budgeted at 95% of the maximum estimate prepared by the Financial Services Department. Policy #2: The annual budget should be maintained in such a manner as to avoid an operating fund deficit. The annual budget should show fiscal restraint. Expenditures should be managed to create a positive cash balance (surplus) in each fund at the end of the fiscal year. Policy #3: The City should maintain a prudent cash management and investment program in order to meet daily cash requirements, increase the amount available for investment, and earn the maximum rate of return on invested funds commensurate with appropriate security. The City will use the following performance benchmarks for its investment portfolio. 3.1. The Bank of America Merrill Lynch 1-3 Year US Treasury & Agency Index which is a subset of The Bank of America Merrill Lynch US Treasury & Agency Index including all securities with a remaining term to final maturity less than 3 years, will be used as a benchmark for the performance of funds designated as core funds and other non -operating funds that have a longer -term investment horizon. The index will be used as a benchmark to be compared to the portfolio's total rate of return. 3.2. The S & P rated LGIP Index/All will be used as a benchmark as compared to the portfolio's net book value rate of return for current operating funds. Attachment B FINANCIAL MANAGEMENT POLICIES Policy #4: The City shall maintain a minimum undesignated fund balance in the General Fund of 5% of annual expenditures, including Interfund transfers out. Reserve funds shall not be used to fund recurring expenditures. Fund balances should be maintained at fiscally sound levels in all funds. Such levels are delineated below. Reserved/Designated: Disaster Reserve The disaster reserves are to be used in emergency situations and as a match for Federal Emergency Management Agency (FEMA) funds. Type of ReserN a FY 2014 FY 2015 FY 2016 Disaster Reserve $1,000,000 $1,000,000 $1,000,000 Reserves shall be used to fund emergency replacements and/or damaged equipment vehicles only as categorized below: After all general fund minimum reserve balances have been met; excess undesignated reserves may be set aside to provide additional funding in any designated reserve. Water & Sewer Fund: • An operating reserve balance at least equal to 25% of the cost of operation and maintenance in the annual budget for the then current fiscal year. • Any surplus revenue in excess of this operating reserve minimum balance target is utilized to pay for all or a portion of the cost of capital projects. Stormwater Fund: • A working capital reserve of 10% of annual revenues shall be budgeted in the annual budget for the then current fiscal year. This amount is not cumulative. Policy #5: The City shall maintain adequate protection from loss due to property damage or liabilities of the City. The City shall maintain a risk fund for workers' compensation and property/liability and ensure adequate resources are available to support the value of incurred but not reported (IBNR) claims. Policy #6: The City will not commit itself to the full extent of its taxing authority. Policy #7: The City will not fund ordinary recurring municipal services with temporary or nonrecurring revenue sources. Attachment B FINANCIAL MANAGEMENT POLICIES Policy #8: The City will maintain a cost allocation process by which the General Fund is reimbursed for actual indirect costs associated with providing services to other operating funds. Policy #9: All fee schedules and user charges should be reviewed annually for adjustment to ensure that rates are equitable and cover the total cost of the service or that portion of the total cost established by policy of the Tamarac City Commission. The following framework is recommended by the administration to be applied to user fees: 9.1 Total Fee Support (100%): Enterprise Funds: • Water/Sewer • Stormwater Special Revenue Funds: • Building Fund 9.2 Moderate Fee Support (40 - 100%) General Fund. Planning Zoning 9.3 Parks & Recreation — Fees shall be established in accordance with Administrative Policy 04-03. Parks & Recreation Fees shall be adjusted annually to maintain, at a minimum, the same percentage of cost recovery as in the prior year. Policy #10: Payment in Lieu of Taxes shall be charged to the Utilities and Stormwater funds at the rate of 6% of revenue for the purpose of recovering the costs associated with administering the use of, maintenance of, and ensuring the safe use of its streets, rights -of -way and public owned properties used by the utilities and storm water funds in providing and furnishing services to its customers. Policy #11: The financial burden on the City's taxpayers must be minimized through systematic annual program reviews and evaluation aimed at improving the efficiency and effectiveness of City programs. As such, the annual budget will be based on a City-wide work program of goals, implemented by departmental goals and objectives. Policy #12: The City's role in social service funding should be supplemental (addressing special or unique local needs) to the basic responsibilities of regional agencies. Funding shall be restricted to those funds provided through the Community Development Block Grant (C.D.B.G) program. Policy #13: City management is responsible for recovery of budgeted and non -ad valorem revenues as planned for in the budget. Management shall maintain adequate billing and claiming processes in order to effectively manage their accounts receivable systems in conformance with the fiscal plan and sound business principles. Attachment B FINANCIAL MANAGEMENT POLICIES Policy #14: The City will annually review the Capital Improvements Element of the Comprehensive Plan to ensure that required fiscal resources will be available to provide the public facilities needed to support the adopted level of service standards. Policy #15: The City will annually prepare a six -year asset management program. The asset management program will identify the source of funding for all projects, as well as the impact on future operating costs. Policy #16: Every appropriation, except an appropriation for capital improvement expenditures and multi -year grants, shall lapse at the close of the fiscal year to the extent that it has not been expended or encumbered. An appropriation for a capital improvement expenditure and a multi -year grant shall continue in force, i.e. not be required to be re -budgeted, until the purpose for which it was made has been accomplished or abandoned; the purpose of any such appropriation shall be deemed abandoned if three (3) years pass without any disbursement from or encumbrance of the appropriation unless extended by action of the City Commission. DEBT MANAGEMENT Policy #17: The City will issue and comply with a comprehensive debt management policy. INVESTMENT MANAGEMENT Policy #18: The City will issue and comply with a comprehensive investment management policy. AC'COI'NTS MANAGEMENT AND FINANCIAL PLANNING Policy #19: Accounting systems shall be maintained in order to facilitate financial reporting in conformance with generally accepted accounting principles of the United States. Policy #20: An annual financial audit shall be prepared in conformance with Florida state law. Policy #21: Financial systems shall be maintained in a manner that provides for the timely monitoring of expenditures, revenues, performance and receivables/billing status on an ongoing basis. Policy #22: Forecasting of revenues and expenditures for major funds shall be accomplished in conjunction with the development of the annual operating budget in accordance with recommended practices of the National Advisory Council on State and Local Budgeting (NACSLB). Policy #23: Attachment B The City shall annually seek the GFOA Certificate of Achievement for Excellence in Financial Reporting and the Distinguished Budget Presentation Award. FINANCIAL MANAGEMENT POLICIES ECONOMIC RESOURCES Policy #24: The City should diversify and expand its economic base in order to relieve the homeowner from the most significant share of the tax burden and to protect the community against economic downturns. This effort should include the attraction of new businesses, retaining existing businesses, enticement of new residents, and tourism. Policy #25: The City should encourage economic development initiatives that provide growth in the tax base and employment for City residents as a first priority and in the County and region as a second priority.