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2008 Annual Budget, Volume 1 2008-09 BUDGET City of Boulder, Colorado Volume I 2008-2009 BUDGET DOCUMENT OVERVIEW AND OPERATING BUDGET City of Boulder Mayor........................................................Mark Ruzzin (term ended November 20, 2007) Deputy Mayor......................................................................................Suzy Ageton Council Members....................................................................Matthew Appelbaum (term began November 20, 2007) Robin Bohannan (term ended November 20, 2007) Macon Cowles (term began November 20, 2007) Angelique Espinoza (term began November 20, 2007) Crystal Gray – Incoming Deputy Mayor Shaun McGrath – Incoming Mayor Lisa Morzel (term began November 20, 2007) Susan Osborne (term began November 20, 2007) Richard Polk (term ended November 20, 2007) Andy Schultheiss (resigned as of August, 2007) Jack Stoakes (term ended November 20, 2007) Ken Wilson City Manager...................................................................................Frank W. Bruno CITY OF BOULDER STAFF City Manager.........................................................................................................................................Frank W. Bruno Deputy City Manager.......................................................................................................................Stephanie Grainger Deputy City Manager.................................................................................................................................Kevin Burke Acting City Attorney..................................................................................................................................Jerry Gordon Municipal Judge.....................................................................................................................................Linda P. Cooke Director of Finance......................................................................................................................................Bob Eichem Co Directors of Housing and Human Services..................................................................John Pollak and Karen Rahn Director of Human Resources...................................................................................................................Eileen Gomez Acting Director of Information Technology..............................................................................................Francis Duffy Library/Arts Director............................................................................................................................Elizabeth Abbott Director of Open Space/Mountain Parks.................................................................................................Michael Patton Director of Parks and Recreation................................................................................................................Janice Geden Acting Director of Planning....................................................................................................................Ruth McHeyser Director of Public Works for Development & Support Services...........................................................Maureen F. Rait Director of Public Works for Transportation............................................................................................Tracy Winfree Director of Public Works for Utilities.......................................................................................................Ned Williams Fire Chief...................................................................................................................................................Larry Donner Police Chief.........................................................................................................................................Mark R. Beckner Director of Downtown University Hill Management Division/Parking Services......................................Molly Winter Director of Support Services/City Clerk..................................................................................................Alisa D. Lewis Budget Office Staff Budget Officer........................................................................................................................................Kathy McGuire Budget Analysis Manager..............................................................................................................................Jim Reasor Budget Analyst...........................................................................................................................................Cindy Miller 2008-09 BUDGET DOCUMENT OVERVIEW AND OPERATING BUDGET TABLE OF CONTENTS Page OPERATING BUDGET INTRODUCTION History of Boulder............................................................................................................................................1 Organizational Chart.........................................................................................................................................5 Budget Philosophy & Process...........................................................................................................................7 CITY MANAGER’S BUDGET MESSAGE 2008-09 Budget Message................................................................................................................................15 City Council Direction on the Recommended Budget....................................................................................43 CITY COUNCIL GOALS City Council Goals..........................................................................................................................................49 BUDGET POLICIES Citywide Financial and Management Policies................................................................................................51 City of Boulder Reserve Policies....................................................................................................................59 CITYWIDE SUMMARIES Graphic of 2008 Budget..................................................................................................................................65 Budget Summary.............................................................................................................................................67 Summary of Sources of Funds........................................................................................................................73 Summary of Uses of Funds.............................................................................................................................81 Summary of Interfund Transfers.....................................................................................................................89 2008 Fund Activity Summary – Original Budget...........................................................................................93 Changes in Fund Balance................................................................................................................................95 Summary of StandardFTEs............................................................................................................................96 Debt Policy and Administration......................................................................................................................97 Debt Service ...................................................................................................................................................98 Legal Debt Margins......................................................................................................................................115 DEPARTMENT OVERVIEWS City Council.................................................................................................................................................117 City Attorney................................................................................................................................................121 Municipal Court............................................................................................................................................127 Page Administrative Services City Manager......................................................................................................................................133 City Manager’s Office.............................................................................................................134 Manager’s Contingency...........................................................................................................143 Non-Departmental Contracts and Citywide Programs.............................................................144 Finance...............................................................................................................................................145 Human Resources...............................................................................................................................151 Information Technology.....................................................................................................................159 Economic Vitality DUHMD/ParkingServices.................................................................................................................165 Economic Vitality & Urban Redevelopment......................................................................................171 Operations Housing and Human Services............................................................................................................173 Library/Arts........................................................................................................................................183 Office of Environmental Affairs.........................................................................................................195 Open Space and MountainParks........................................................................................................201 Parks and Recreation..........................................................................................................................209 Planning.............................................................................................................................................219 Public Works .....................................................................................................................................223 Development and Support Services.........................................................................................227 Transportation .........................................................................................................................235 Utilities....................................................................................................................................247 Planning & Development Services.....................................................................................................255 Public Safety Fire .................................................................................................................................................267 Police .................................................................................................................................................273 FUND FINANCIALS GeneralFund.................................................................................................................................................281 CHAPFund .................................................................................................................................................285 Capital Development Fund...........................................................................................................................286 LotteryFund .................................................................................................................................................287 Planning & Development Services Fund......................................................................................................288 .25 Cent Sales Tax Fund...............................................................................................................................289 Affordable HousingFund.............................................................................................................................290 LibraryFund .................................................................................................................................................292 Recreation ActivityFund..............................................................................................................................293 Page Climate Action PlanFund.............................................................................................................................294 Open Space Fund..........................................................................................................................................295 AirportFund .................................................................................................................................................296 Transportation Fund......................................................................................................................................298 Transportation Development Fund................................................................................................................300 Transit Pass General Improvement District – Forest Glen Fund...................................................................301 Community Development Block Grant (CDBG)Fund ................................................................................302 HOME Fund .................................................................................................................................................303 Water Utility Fund........................................................................................................................................304 Wastewater UtilityFund...............................................................................................................................306 Stormwater/Flood Management Utility Fund...............................................................................................308 Downtown Commercial District Fund..........................................................................................................310 University Hill Commercial District Fund....................................................................................................312 Permanent Parks & Recreation Fund............................................................................................................314 TelecommunicationsFund............................................................................................................................315 Property & Casualty Insurance Fund............................................................................................................316 Workers’ CompensationFund......................................................................................................................317 Compensated AbsencesFund.......................................................................................................................318 Fleet OperationsFund...................................................................................................................................319 Fleet Replacement Fund................................................................................................................................320 Computer Replacement Fund........................................................................................................................321 Equipment Replacement Fund......................................................................................................................322 Facility Renovation & Replacement Fund....................................................................................................323 UTILITY RATES Utility Rates .................................................................................................................................................325 APPROPRIATION ORDINANCE AppropriationOrdinance..............................................................................................................................329 APPENDIX Appendix A: Summary of Standard FTEs by Department and Program......................................................337 Introduction CITY OF BOULDER 2008-09 BUDGET GENERAL INFORMATION 1 SHORT HISTORY OF BOULDER The Boulder Valley was first the home of Native Americans, primarily the Southern Arapaho tribe who maintained a village near Haystack Mountain. Ute, Cheyenne, Comanche, and Sioux were occasional visitors to the area. Gold seekers established the first non-native settlement in Boulder County on October 17, 1858 at Red Rocks near the entrance to Boulder Canyon. Less than a year later, on February 10, 1859, the Boulder City Town Company was organized by A.A. Brookfield, the first president, and 56 shareholders. Four thousand forty-four lots were laid out at a purchase price of $1,000 each, a price that was later lowered in order to attract more residents. Part of the Nebraska Territory until February 28, 1861, when the Territory of Colorado was created by the U.S. Congress, Boulder City grew slowly. It developed as a supply base for miners going into the mountains in search of gold and silver. Boulder City residents provided these miners with equipment, agricultural products, housing and transport services, and gambling and drinking establishments. Competition among Boulder County settlements for new residents and businesses was intense. As a mining supply town, Boulder residents were more settled than in the mining camps. Economic stability was a necessity and residents encouraged the establishment of railroad service, hospital and school buildings, and a stable town government. Boulder's first schoolhouse was built in 1860 at the southwest corner of Walnut and 15th Street, the first in the territory. Also in 1860 a group of Boulder residents began lobbying to have the University located in Boulder. By 1874 Boulder had won the designation, secured a donated 44.9 acre site and raised $15,000 to match a similar grant by the state legislature. Construction of Old Main signaled the opening of the University, with classrooms, auditorium, office and the President's living quarters all located there. Transportation was improved in 1873 with railroad service coming to Boulder. Gradually tracks were laid to provide service to Golden and Denver and to the mining camps to the west. In 1890 the railroad depot was constructed on Water Street (now Canyon Boulevard) and 14th Street. City government was formalized in November, 1871 when the town of Boulder was incorporated. Designation of Boulder as the county seat occurred in 1867 and led to the construction of the first courthouse at its present site in 1883. It burned to the ground in 1932 and was replaced by the current courthouse in 1934. Amenities and health services were developed, even in periods of little growth. The first Post Office was established in 1860; the telegraph became available in 1874; a hospital was built in 1873; a water system was installed in 1874; and the first bank was built in 1874. The initial residential area was located in what is now downtown and in some parts of Goss/Grove, Whittier and Mapleton Hill neighborhoods. As commercial expansion took over downtown housing, these neighborhoods surrounding downtown remained primarily residential areas. At the turn of the century, growth of the University led to the development of parts of University Hill. Marks of elegance for residents were flagstone sidewalks, first installed during the 1880's. The first private school in Boulder, Mt. St. Gertrude Academy, was opened in 1892. Boulder, by then accessible to visitors by railroad, was known as a community with a prosperous economy, a comprehensive educational system, and well maintained residential neighborhoods. It was no wonder that the railroad recommended Boulder as a site for a Chautauqua in 1897. Boulder residents passed a bond issue to buy the land, and the now familiar Chautauqua auditorium was built. By 1905 the economy was faltering and Boulder counted heavily on tourism to boost its fortunes; however, Boulder had no first class hotel to attract summer visitors and group meetings. By 1906 a subscription drive had raised money to begin construction. The first event at the new hotel was a reception for Boulderites, held on December 30, 1908, and Hotel Boulderado opened to the public for business on January 1, 1909. Tourism continued to dominate the Boulder economy for the next forty years. Each summer shopkeepers, transport firms, and lodging managers eagerly awaited the influx of Chautauqua residents, primarily from Texas, and other visitors. By World War II, when tourism declined, the University unknowingly provided another opportunity for growth. With the location of the U.S. Navy's Japanese language school at CU, young men and women from around the country became acquainted with the City and liked it. Following World War II, many of these trainees returned as students, professional and business people, joining veterans attending the University on the G.I. bill. Boulder's population had not increased significantly since the 1920's. The 1920 census showed 11,006 residents while the 1940 census count was 12,958. After the first influx of new residents in the late 1940's the count soared to 20,000 in 1950. New residents meant both new opportunities and new challenges. Although jobs were needed, townspeople wanted to preserve the beautiful natural setting and amenities developed over the years. By 1950 Boulder leaders were actively recruiting new "clean" industry and improved transportation, securing a new highway, the Boulder-Denver Turnpike, and the National Bureau of Standards in 1952. Other research and development industries soon followed. The housing shortage and need for additional business and public buildings attracted young and talented architects. New subdivisions were planned, including the Highland Park-Martin Acres neighborhood located on the historic Martin Farm, and the North Boulder developments from Balsam north, originally part of the Tyler Farm. New neighborhoods brought the City's first two shopping centers, North Broadway and Basemar. With the completed turnpike to downtown Denver, Boulder continued to expand. From 1950-1972 the population grew from 20,000 to 72,000. With the purchase of thousands of acres of open space beginning in 1967, the adoption of the Boulder Valley Comprehensive Plan in 1970, passage of the building height restriction ordinance in 1972, and the residential growth management ordinance in 1977, Boulder began a period of infill and re-use of its past architectural development which continues to present. The Historic Preservation Code was passed in September, 1974. The ordinance is instrumental in preserving significant portions of our past while encouraging the rehabilitation of historic buildings. GOVERNING BODY The City of Boulder is governed by nine City Council members. City Council members are elected at-large and are non-partisan. The Mayor and Deputy Mayor are chosen for two-year terms by the Council from among its nine members. CITY MANAGEMENT The City employs a full-time City Manager, appointed by City Council to oversee the operations of the City. City Council also appoints the City Attorney and the Municipal Judge. 2 DEMOGRAPHIC CHARACTERISTICS Population (Estimate as of December 31, 2006): 101,900 Median Age: 29.0 Median Education: 66.8% residents with four or more years of college Median 4 person Household Income $87,000 (2005: based on HUD Boulder-Longmont Area Median Income 6/11/04 Guidelines) 1. Landmarks Preservation Advisory Board 2. City of Boulder Planning Department, Trends Report from the Boulder Valley Comprehensive Plan 2005 Major Update City of Boulder Housing & Human Services Department, HHS Master Plan, April 2004, Census Highlights BUDGET PHILOSOPHY AND PROCESS Budget Philosophy Serving the public trust requires that the annual budget provide the best possible balance of allocation to meet the varied needs of the community. The budget is a principal management tool for the City administration, and in allocating the City's resources, it both reflects and defines the annual work program. In this context, the budget provides a framework for us to accomplish our mission, which is "to create, enhance, and preserve a human, natural, physical, and economic environment which fosters our community's unique quality of life". The budget should also reflect our core City organization values of integrity, teamwork, service excellence, personal growth, and innovation. In addition to balancing allocations to meet community needs, and incorporating our mission and core values, a successful annual budget preparation process requires excellent communications, community outreach, and a commitment to excellence. To this end, the process must be a cooperative effort of the entire City organization. Boulder prides itself on being a progressive community, willing to challenge the status quo and being on the "cutting edge". City staff has accepted this challenge by developing the budget within the context of a search for creative solutions for the delivery of City services. The budget will emphasize measures to improve the productivity and effectiveness of service delivery to residents. Teamwork and efficiency enhancements will limit the amount of bureaucratic "red tape" required, both between functional areas within the City, and between City staff and the community. The overriding goals must be to support the high standards set by the community, and to provide long-term value at reasonable cost. The budget will be based upon timely, consistent and clearly articulated policies. It will be realistic and will include adequate resources to meet assigned work programs. Once adopted, within the parameters of policy guidelines, departments will be given full spending authority for their budget(s). Budget Process The fiscal year of the City is the calendar year. The City has implemented a two-year budget process and adopts a biennial budget by December 1st of the year prior to the two-year budget period. Even though the budget is adopted for a two-year term, the State and City Charter require that prior to each fiscal year, an appropriation ordinance must be adopted to authorize budgeted expenditures for the coming fiscal year. The City of Boulder Charter establishes the time limits pertaining to the adoption of the budget. The budget process and schedule of development is designed to fit within the Charter mandate and to allow for active and early participation by the City Council, with an emphasis on public input. The City's budget is developed over a ten month period, beginning in February and ending in October/November. In February, staff begins the development of five year revenue projections along with preliminary cost projections. In April/May, Council is updated on the proposed budget. At this time, policy issues are presented and Council has the opportunity to provide direction for consideration by the City Manager in the development of the proposed budget. Then staff compiles all the necessary information in the budget guideline manual that provides the basis for the development of each department's budget. Departments begin developing their detailed budgets in May/June with review by boards and/or commissions where appropriate. The City Manager reviews departmental budgets in June/July and meets with the Directors Group as needed to discuss the proposals submitted by departments. BUDGET PROCESS BUDGET PREPARATION SCHEDULE Revenue Projections Council/Budget Update Departments Prepare Budgets Prepare Recommended Budget Council Study Sessions Council Approves Budget Publish Adopted Budget JAN FEB MAR APR MAY JUN JUL AUG SEPT OCT NOV DEC The proposed budget is presented to the City Council in August and made available to the public at the same time. In August and September, Council holds study sessions to review the proposed operating and capital budgets. The budget for the ensuing term and the annual Appropriation Ordinance for the coming fiscal year are adopted in October/November. The final Approved Budget document is printed and is available to staff and the public at the beginning of the year. There are three opportunities during the fiscal year for supplemental additions to the annual appropriation approved by City Council. The first is typically adopted in April and re-appropriates funds from the previous year for projects or obligations that were approved but not completed during the year. The second opportunity to supplement department budgets is in September and the third, and final, is in November. In line with the City's budget philosophy that, with the exception of emergency situations, appropriations be considered only during comprehensive budget review processes, most of the requested adjustments in the second and third supplementals are funded by new revenues or grants. The schedule for the 2008-09 Budget was revised in order for City Council to develop a City Council Budget Action Plan. For a description of the steps in the 2008-09 budget process, please see the 2008-09 Budget Message, section Budget Development Process. Fund Accounting The City of Boulder uses funds to budget and report on its financial position and the results of its operations. Fund accounting is designed to demonstrate legal compliance and to aid financial management by segregating transactions related to certain government functions or activities. Funds are classified into three categories: governmental, proprietary and fiduciary. Each category, in turn, is divided LQWRVHSDUDWH³IXQGW\SHV´ Governmental fundsDUHXVHGWRDFFRXQWIRUDOORUPRVWRIDJRYHUQPHQW¶VJHQHUDODFWLYLWLHVLQFOXGLQJWKH collection and disbursement of earmarked moneys (special revenue funds), the acquisition or construction of general fixed assets (capital project funds), and the servicing of general long-term debt (debt service funds). The general fund is used to account for all activities of the general government not accounted for in some other fund. Proprietary funds are used to account for activities similar to those found in the private sector, and where the determination of net income is necessary or useful to sound financial administration. Goods or services from such activities can be provided either to outside parties (enterprise funds) or to other departments or agencies primarily within the government (internal service funds). The City applies all applicable FASB pronouncements issued prior to November 30, 1989, and GASB statements since that date in accounting and reporting for its proprietary operations. are used to account for assets held on behalf of outside parties, including other governments, or on Fiduciary funds behalf of other funds within the government. When these assets are held under the terms of a formal trust agreement, a pension trust fund must be used. Agency funds generally are used to account for assets that the government holds on behalf of others as their agent. Fund Definitions General Fund The General Fund is established to account for the revenues and expenditures necessary to carry out basic governmental activities of the City such as public safety, human services, legal services, administrative services, etc, which are not required to be accounted for in another fund. Special Revenue Funds Special Revenue Funds are established to account for the proceeds of specific revenue sources (other than special assessments, pension trusts, proprietary fund operations and revenues received for major capital projects) that are legally restricted for specific purposes. The City of Boulder has the following special revenue funds. Capital Development Fund - to account for development fee proceeds to be utilized for the acquisition, construction and improvement of facilities necessary to maintain the current level of public amenities such as police, fire, library, human services, municipal offices, streets, and parks and recreation. Lottery Fund - to account for State Conservation Trust Fund proceeds to be utilized for the refurbishment, capital improvement and debt service on park acquisitions. - to account for revenues and expenditures related to development and Planning & Development Services Fund building services functions. Affordable Housing Fund - to account for cash in lieu financial contributions from developers and General Fund contributions which are to be used to construct, purchase and maintain permanently affordable housing units in Boulder. Community Housing Assistance Program (CHAP) Fund - to account for property tax, a housing excise tax and fees to be used to increase the supply of affordable housing in Boulder. .15 Cent Sales Tax Fund - to account for earmarked sales tax authorized by the voters in 1992 for parks and recreation and general municipal purposes. .25 Cent Sales Tax Fund - to account for earmarked sales tax authorized by the voters in 1995 for parks and recreation operating and capital needs. - to account for the operations of the City-owned library and branches. Financing is provided by Library Fund general property taxes and General Fund contributions. Recreation Activity Fund - to account for revenues and expenditures related to the provision of recreation, reservoir and golf course services/programs. Climate Action Plan Fund - to account for revenues and expenditures related to programs implemented to increase energy efficiency, increase renewable energy use, reduce emissions from motor vehicles and take other steps toward the goal of meeting the Kyoto Protocol. Open Space Fund - to account for the acquisition and maintenance of greenbelt land. Financing is provided by sales taxes and the issuance of long-term bonds and notes payable. - to account for the operations of the City-owned municipal airport. Financing is provided by grants, Airport Fund rents and leases. Transportation Fund - to account for construction, operation and maintenance of all major thoroughfares, local streets, bikeways, walkways and City-owned parking. Financing is provided by sales taxes, the City's share of the County Road and Bridge tax, State Highway Users' tax and State Auto Registration fees. Transportation Development Fund - to account for development fees to be utilized for the construction of transportation capital improvements related to new development and growth. Community Development Block Grant Fund - to account for the funds granted by the Community Development Block Grant program administered by the Department of Housing and Urban Development. HOME Fund - to account for funds granted by the HOME program administered by the Department of Housing and Urban Development. Capital Project Funds The Capital Project Funds are established to account for financial resources to be utilized for acquisition, construction and improvement of general fixed assets (other than those financed by Proprietary Funds). The City of Boulder has the following Capital Project Funds: .25 Cent Sales Tax Bond Proceeds Fund Permanent Parks and Recreation Fund Boulder Municipal Property Authority Bond Fund Debt Service Fund The Debt Service Funds are established to accumulate moneys for payment of general long-term debt principal and interest. General Obligation Debt Service Fund - Financing is provided by investments accumulated for the retirement of specific notes payable. - Financing is provided by earmarked sales tax. .15 Cent Sales Tax Debt Service Fund Boulder Municipal Property Authority Debt Service Fund - Financing is provided by base rentals from the General Fund, Lottery Fund, Open Space Fund and the Permanent Parks and Recreation Fund. Enterprise Funds Enterprise Funds are established to finance and account for the acquisition, operation and maintenance of governmental facilities and services which are entirely or predominantly self-supporting by user charges. All activities necessary to provide such services are accounted for in these funds, including, but not limited to, administration, operations, maintenance, financing and related debt service, and billing collections. The City of Boulder has the following Enterprise Funds: Water Utility Fund Wastewater Utility Fund Stormwater/Flood Management Utility Fund Downtown Commercial District University Hill Commercial District Internal Service Funds The Internal Service Funds are established to finance and account for services and/or commodities required by other funds. The City of Boulder has the following Internal Service Funds: Telecommunications Fund - to account for the costs of operating, acquiring and maintaining telecommunications equipment used by all City departments. Property & Casualty Insurance Fund - to account for and facilitate the monitoring of the City's self-insured property & casualty insurance plan. - to account for and facilitate the monitoring of the City's self-insured Workers Compensation Insurance Fund workers compensation plan. Compensated Absences - to account for payments of compensated absences to employees of the General and Library Funds. Funding is received primarily from the General Fund. Fleet Fund - to account for the costs of operating, acquiring and maintaining automotive equipment used by other City departments. Such costs are billed to the other departments. Computer Replacement Fund - to account for the costs of acquiring and maintaining computer equipment used by other City departments. Such costs are billed to the other departments. - to account for the costs of acquiring equipment used by other City departments. Equipment Replacement Fund Such costs are billed to the other departments. Facility Renovation & Replacement Fund - to account for the costs of maintaining and replacing facilities within the City of Boulder. Budget Basis Budgets are prepared on a modified accrual basis, except for outstanding encumbrances which are budgeted as expenditures. Briefly, this means that obligations of the City are budgeted as expenditures, but revenues are recognized only when they are measurable and available. "Measurable" means the amount of the transaction can be determined and "available" means collectible within the current period or soon enough thereafter to be used to pay liabilities of the current period. Expenditures generally are recorded when a liability is incurred. The Comprehensive Annual Financial Report (CAFR) shows the stDWXVRIWKH&LW\¶VILQDQFHVRQWKHEDVLVRIJHQHUDOO\ accepted accounting principles (GAAP). In most cases, this conforms to the way the City prepares the budget. One exception is compensated absences (accrued but unused vacation or sick leave) which are treated slightly differently in the budget and in the CAFR. Budget Terms Accrual Basis - The basis of accounting under which revenues and expenses are recognized when they occur, rather than when collected or paid. Ad Valorem Tax - Tax based on the Assessed Valuation of property. Appropriation - Legal authorization granted by City Council to make expenditures and incur obligations up to a specific dollar amount. - An ordinance by means of which appropriations are given legal effect. It is the method by Appropriation Ordinance which the expenditure side of the annual budget is enacted into law by the City Council. Assessed Valuation - Basis for determining property taxes. The assessor determines the assessed valuation of residential real property. For 2003-2004, property was appraised at the 2002 actual value. The residential rate was 7.96% of its actual 2002 value and all other property was assessed at 29%. Bond - Written promise to pay a specified sum of money, called the face value or principal, at a specified date or dates in the future, called the maturity date(s), together with periodic interest at a specified rate. Budget - Plan of financial operation, embodying an estimate of proposed expenditures for a given period and the proposed revenue estimates of financing them. Upon approval by City Council, the budget appropriation ordinance is the legal basis for expenditures in the budget year. Capital Assets - Assets of significant value and having a useful life of several years. Capital assets are also referred to as fixed assets. Capital Improvement Program - An annual, updated plan of capital expenditures for public facilities and infrastructure (buildings, streets, etc.) with estimated costs, sources of funding and timing of work over a five year period. - Projects involving the purchase or construction of capital assets. Often a capital project encompasses Capital Project the purchase of land and the construction of a building or facility, or major street construction or reconstruction. Design, engineering or architectural fees are often a part of a capital project. Capital Purchases - Those items which a department purchases that have a value of over $5,000 and a life of longer than one year, with the exception of computing equipment and copy machines which have a limit of $1,000. Debt Service - Payment of principal and interest related to long-term debt. Department - An organizational unit of the city which provides one or more services. Depreciation - Expiration in the service life of fixed assets, attributable to wear and tear, deterioration, action of the physical elements, inadequacy and obsolescence. Designated Fund Balance - That portion of the fund balance that has been set aside for a specific purpose by the City Council. Division - A group of related tasks to provide a specific benefit to either the general public or the city organization. A division is a sub-organizational unit of the department. - Appropriations committed by contract for goods or services, which will not be paid for until the next Encumbrance fiscal year. Fiscal Year - A 12-month period to which the annual operating budget applies and at the end of which a government determines its financial position and the results of its operations. The City of Boulder's fiscal year is January 1 through December 31. Fund Balance - The balance remaining in a fund after costs have been subtracted from revenues. General Obligation Bonds - Bonds which the full faith and credit of the issuing government are pledged for payment. Grants - Contributions or gifts of cash or other assets from another organization to be used or expended for a specified purpose or activity. Home Rule - Statutory and constitutional provisions, which allow municipalities to exercise powers of local self- government such as the administration and collection of local taxes. The City of Boulder is a home rule municipality. - Facilities on which the continuance and growth of a community depend, such as streets, waterlines, etc. Infrastructure Interdepartmental Charges - Charges for services provided by the Interdepartmental Service Funds. An example of these charges is vehicle charges. These charges are reflected as expenditures in the department budgets and as revenues in the Intradepartmental Service Funds. Internal Transfers - Legally authorized intra-city transfers from a fund receiving revenue to another fund where it is to be expended. Revenue and expenditures are accounted for in both funds. Lease-Purchase Agreements - Contractual agreements which are termed "leases", but which in substance amount to purchase contracts, for equipment and machinery. - Debt with a maturity of more than one year after the date of issuance. Long-term Debt Maturity - The date on which the principal or stated value of investments or debt obligations are due and may be reclaimed. th Mill Levy - Rate applied to Assessed Valuation of property to determine property taxes. A mill is 1/10 of a penny, or $1.00 of tax for each $1,000 of assessed valuation. The city's maximum mill levy, excluding debt service, is thirteen mills per City Charter. Modified Accrual Basis - Revenues are recorded as the amount becomes measurable and available. Expenditures are recorded when the liability is incurred. - Represents the amount of money necessary to provide for the day to day functions of city Operating Budget government. It does not include internal transfers between funds, nor does it include expenditures for debt service and capital projects. - Those items that a department will utilize in its daily operations. Examples of these items would Operating Expenses be copying, office supplies, postage, work supplies, and chemicals. In addition, any item that a department receives from outside agencies such as telephone services, gas and electric charges, equipment rentals, rent, advertising, and contractual arrangements are also included in operating expenses. Personnel Services - This category includes salary and benefits for standard and temporary employees. It also includes budgeted overtime. Plant Investment Fees - Charges to new developers for connecting to the city's water or sewer system to compensate the city for additional facilities needed to serve the development. Program - A specific activity within a department. A grouping of programs typically defines a division within a department. Projected - Estimation of revenues and expenditures based on past trends, current economic conditions and future financial forecasts. - Funds which are planned to not be spent in the current budget year, and whose level is established by a specific Reserves policy decision. Please refer to specific reserve policies in this document. Revised Budget - Most recent estimate of revenue and expenditures including additional appropriations made throughout the year and encumbrances carried over. Special Assessment - A levy made against certain properties to defray part or all of the cost of a specific improvement or service deemed to primarily benefit those properties. Supplemental Requests - Programs and services which departments would like to have added to their budget. Typically, supplemental requests are covered by additional revenue, as is the case with new grants. Unallocated Fund Balances - Unspent funds whose levels at any point in time are the difference between expected revenues plus any unspent funds from prior years, and budgeted expenditures. The primary conceptual difference between unallocated fund balances and reserves is that reserves are earmarked by conscious policy decisions, and unallocated fund balances are funds which remain above the reserve. - The payment of a fee for direct receipt of a public service by the party benefiting from the service. User Fees CITY MANAGER'S BUDGET MESSAGE City Of Boulder Office of the City Manager DATE: August 14, 2007 TO: Mayor, City Council and the Residents of Boulder FROM: Frank W. Bruno, City Manager SUBJECT: 2008-09 Budget Message ________________________________________________________________________ INTRODUCTION The budget message is my transmittal memorandum and my opportunity to share with City Council and the community the overall philosophy for my budget recommendations. The 2008-09 Recommended Budget is a reflection of the economic challenges we face in providing a complex set of public services to the Boulder community. In addition, it mirrors the findings of the Blue Ribbon Commission which indicate that current revenues are not keeping pace with the growth in expenses (both in the short-term as well as the long-term). Indications are that this trend, which is impacting many other local governments, will persist and the cost of providing services will continue to outpace the resources available to fund them. Combining this ongoing economic reality with the continued expectation for providing a high quality, diverse set of services represents both a challenge as well as an opportunity for the municipal corporation. As part of the development of this recommended budget, I am pleased to say that we were able to begin addressing the priorities identified through the City Council Budget Action Plan while continuing to work toward stabilizing basic services through the use of the Business Plan. Although we weren’t able to make as much progress as we would like, or the community deserves, we were generally able to allocate the available funding in a way that is consistent with the Business Plan philosophy and with the city’s community sustainability goals of social, environmental and economic sustainability. I believe that the core values of this community are represented through the recommendations in the 2008-09 budget. The Challenges Revenue Instability As the local economy began to improve slightly in late 2004, it became evident that the volatility of sales/use tax (the primary source of funding for city services) combined with the sharp escalation in the cost of providing services was creating further instability in the city’s funding streams. This factor was masked to a degree by the failure and eventual closure of the Crossroads Mall. In response, City Council appointed a Blue Ribbon Commission (BRC) on Revenue Stabilization to examine the city’s revenue structure and to incorporate a long-range approach to addressing financial challenges. As part of the commission’s work, a long-range forecast was developed for expenditures and revenues in the city’s eight largest funds (excluding the three utility funds). The forecast adjusted the 2006 budget to 2030 by inflating each type of expense (e.g. personnel, utilities, transportation construction, etc.) by an appropriate factor. The 2006 base budget was also adjusted for identified critical deficiencies, including fire apparatus, facility maintenance, facility energy costs and software replacement. For seven of the eight funds, the forecast indicated that revenues will not keep pace with population growth and inflation. In addition, the impact of the sales/use taxes set to expire (see the chart below) significantly impact the General Fund, the fund that supports the majority of basic services such as Police, Fire, Library, etc. If expiring sales taxes are not renewed then the financial picture to 2030 looks as follows: General Fund, .15 (HHS, OEA, Arts, P&R), .25 Cent Sales Tax (P&R), Library, Recreation Activity, P&DS 2006 - 2030 Revenues Assume 2011, 2012, 2015, and 2024 GF Levies Sunset $350,000,000 $300,000,000 $250,000,000 $200,000,000 $150,000,000 $100,000,000 $50,000,000 $- 2006200820102012201420162018202020222024202620282030 Total Revenue (With Tax Sunsets in 2011, 2012, 2015 & 2024)Total Expenditures Incl. Critical Deficiencies & Growth If the sales taxes are renewed the financial picture does improve, but is not sustainable with current funding levels as demonstrated below: General Fund, .15 (HHS, OEA, Arts, P&R), .25 Cent Sales Tax (P&R), Library, Recreation Activity, P&DS 2006-2030 Revenues Assume 2011, 2012, 2015, and 2024 Levies are Reauthorized $350,000,000 $300,000,000 $250,000,000 $200,000,000 $150,000,000 $100,000,000 $50,000,000 $- 2006200820102012201420162018202020222024202620282030 Total Revenue (With Reauthorizations of 2011, 2012, 2015 & 2024 Taxes) Total Expenditures Incl. Critical Deficiencies & Growth More specifically, as shown in the two charts above, the forecast indicates that if the General Fund-related tax levies are reauthorized, the projected gap is $90 million in 2030; if the tax levies are not reauthorized, the gap is projected to climb to $136 million. The chart below reflects the time frame for the expiration of sales/use taxes between now and 2024. These rates represent 41.4% of the total sales/use tax collections for the city and, for 2007, are projected to generate $35 million in revenues. The final recommendations of the BRC will focus on tools for addressing the projected gap between revenues and expenses and developing a public finance system that is less volatile. currently $9.4 M/yr General Fund 0.38% currently $3.7 M/yr Gen Fund Ext. 0.15% currently $6.2 M/yr Parks & Recreation 0.25% currently $8.1 M/yr Open Space 0.33% currently $3.7 M/yr New Open Space 0.15% currently $3.7 M/yr New General Fund Ext. 0.15% 20052007200920112013201520172019202120232025 Year of Expiration Reduced Buying Power As discussed above, the local economy has been recovering since late 2004 and sales/use tax collections for 2006 appear to be close to 2000 levels: Amount Collected InflationAmount Collected Year (Based on a sales/use RateRestated in 2000 $s tax rate of 3.26%) 200080,797,517 4.0% 80,797,517 2001 78,713,353 4.7% 75,196,670 2002 71,327,181 1.9% 66,849,934 2003 67,607,502 1.1% 62,685,328 2004 68,289,243 0.1% 63,249,716 2005 72,982,407 2.1% 66,215,573 2006 76,274,087 3.6% 66,821,810 However, if 2006 collections of $76.3 million (adjusted for tax rate differences) are further adjusted for inflation, the amount collected in 2000 dollars is $66.8 million. This amount compared to the actual collections in 2000 of $80.8 million indicates that the city’s buying power has decreased by almost $14 million since 2000. The impact of reduced buying power has been felt across the organization, from double digit increases in utility costs to construction costs increasing at rates significantly greater than inflation. As an example, the cost for a ton of asphalt has increased from $31.65 in 2004 to $49.90 in 2007 - an increase of 58%. This material cost increase impacts multiple service areas including the street resurfacing program, day-to-day potholing and patching maintenance programs and the capital construction program. The cost increases in vehicle fuel (rates increased by 21% per year in 2005 and 2006) have required departments to postpone repair work or reduce budgets in other areas in order to cover fleet operations and maintenance. Energy costs have gone up approximately 7.5% for electricity and 22.5% for natural gas per year for 2005 and 2006. Over-extended Resources From 2000 to 2003, the sales/use tax revenue base for the city declined by approximately 17%. In response, all sales tax supported funds had to implement major expenditure reductions, first looking for efficiencies and then needing to reduce programs and services. Since most city services are provided by employees, reductions translated into the elimination of over 90 full-time equivalent positions between 2002 and 2005. Yet during this time, the organization attempted to maintain basic services since the overall goal of the strategic reduction plans was to minimize the impact of the reductions on the community. To a significant degree, the organization was successful in achieving this goal, but there has been a cost. With a few exceptions, such as a decrease in library hours, we are providing the same set of services today as we did in 2001 and 2002. And this is being done with 50 fewer staff positions (staffing has been increased approximately 40 positions since 2005) and deferral of maintenance related expenditures. As a result, existing staff have been asked to continue providing the same high quality, diverse services with fewer resources. This has taken a toll and we are seeing signs of fatigue and burnout across the organization. Fortunately, city staff are dedicated professionals and continue to be optimistic about the future, both in terms of continued financial support for services from the community as well as sound strategic decision-making by city leadership. Opportunities Improving Sales/Use Tax Collections Beginning in 2004, sales/use tax collections showed a positive increase over the previous year. Although the increase for 2004 was modest at 1.01%, it ended a three year period of steady declines in annual collections. Since 2004, sales/use tax collections have continued to increase from the previous year, as reflected in the table below: ActualActualActualActualActualActualActual 2000200120022003200420052006 5.19% -2.58% -9.38% -5.21% 1.01% 6.87% 4.55% Year-to-date collections for 2007 are trending positively, although we are slightly below our 5.18% projected growth. Revenue projections for 2008 and 2009 remain cautiously optimistic at 3.89% and 3.27% respectively. Again, staff continue to monitor and analyze collection results in order to ensure that budgetary decisions are based on the most realistic projections possible. Economic Development All of this information refreshes our memory of the economic downturn that occurred several years ago due to the national and local recession coupled with the closure of the Crossroads Mall. During this period, we lost several large employers and a significant portion of our retail sales tax base. With Twenty Ninth Street now open for business, we have made significant strides in addressing our declining retail sales tax. However, even as sales tax collections continue to recover, we are aware that we have lost significant buying power throughout the organization (as discussed above). To ensure a vibrant and robust city, it is critical that we retain our local businesses and employment base. We recognize that Boulder’s businesses contribute to our local economy and the city through sales and property tax, as well as by providing jobs and business-to-business spending. To address these concerns, in 2004 staff recommended and Council established a coordinated economic vitality strategy and program. The strategy focuses on redevelopment, new start-ups, and business retention through the Economic Vitality (EV) Program, the Boulder Innovation Center, and completion of the Boulder Retail Strategy. Further, we are coordinating many of the strategies of our broad-based EV effort with local organizations, including the Boulder Convention and Visitors’ Bureau, the Chamber of Commerce, Boulder Economic Council, the University of Colorado, and Downtown Boulder, Inc. The redevelopment program is focused on the following areas: Crossroads Commons North Boulder Armory Diagonal Plaza The Village Shopping Center University Hill As a key component of our Economic Vitality Program, in September 2006, City Council approved a pilot program of business incentives aimed primarily at encouraging the investment and retention of companies in Boulder. The incentives encourage primary employers to invest in Boulder by upgrading their facilities, acquiring new equipment and providing additional training to staff. As an example, the flexible rebate program encompasses a broad range of fees and taxes paid by businesses to the city, including permit fees, development review fees, and equipment/construction use taxes. Furthermore, in order to qualify for consideration, companies must meet the guidelines for community sustainability by verifying compliance with three of the five economic criteria. We have begun to make progress with respect to the City’s Economic Vitality efforts. An indication of this was reflected in the recent business survey conducted by an independent consultant, Ray Wilson. It is my recommendation that Council continue both the Economic Vitality program and Flexible Rebate program in 2008. Looking ahead, a conference center and hotel engineering and site study will occur in 2008. The Transit Village Area Plan and the FasTracks rail program will likely encourage additional investment. The Peleton and Lankmark Lofts projects will provide new housing choices in our community. All these efforts combine to enhance the Boulder economy and continue in “turning the ship” – my philosophy for continuous improvement by the organization and an effort to focus our energies and work in the areas that will help the city become financially stable and sustainable. BUDGET DEVELOPMENT PROCESS This document summarizes the 2008 work plan for the organization and allocates the resources necessary to make that plan a reality. The 2008-09 Recommended Budget continues to provide a framework for us to accomplish our mission, which is "to create, enhance, and preserve a human, natural, physical, and economic environment which fosters our community's unique quality of life." This budget also reflects our core city organization values of integrity, teamwork, service excellence, personal growth, and innovation. The overriding goal is to support the high standards set by the community and to continue to provide long-term value at reasonable cost. The budget process for the 2008-09 budget provided a framework for making the difficult decisions regarding resource allocation and included the following key steps: DATE MEETING TYPE TOPIC Blue Ribbon Commission April 10 Study Session Update; 2008-09 Budget Process; 2006 year-end Revenue forecasts and May 8 Study Session budget strategies Adoption of budget June 5 Council Meeting strategies and Council Budget Action Plan CIP and 2008-09 budget July 31 Study Session overview Review 2008-09 August 28 Study Session recommended budget Review 2008-09 September 11 Study Session recommended budget (if needed) October 2 Council Meeting 1st reading of 2008 budget 2nd reading of 2008 October 16 Council Meeting budget The 2008-09 budget process outlined above builds on the progress made during 2007 budget development and incorporates two significant changes. The first change was intended to further ensure that earlier input was received from City Council regarding the use of incremental revenues or changes in services/programs. This was done through the development of the City Council Budget Action Plan. The City Council Budget Action Plan was proposed to Council at its retreat in January 2007. The concept was well received and the Council Budget Subcommittee (comprised of Mayor Ruzzin and Council members Bohannan, Gray, and Polk) began meeting frequently from February until May to develop the plan. The initial work of the group focused on gathering input from Council regarding initiatives and programs that should be included in the draft plan. Twenty-eight items were submitted by individual Council members to the committee. Those items were then reviewed in terms of how they related to the business plan and were categorized into essential, desirable or discretionary. Departments were then asked to review the costs for each item and determine how they related to items on the department’s action plan. After reviewing information provided by departments, the committee ranked items on the draft plan in terms of not only the individual member’s goals or priorities but also in terms of Council’s overall goals, such as community sustainability. Items that had already been funded (e.g., a grant received by the Police department for radio inter-operability) were then highlighted and this reduced the remaining list to 24 items. The committee then prioritized these remaining items. Next, the full Council ranked the 24 items, indicating their top priority as a number five and their lowest priority as a number one. The rankings were compiled and the results th were reviewed and approved at the June 5 City Council meeting. The intent was that this plan would provide staff with a clear indication of Council priorities to weigh against all other funding requests as the recommended budget was developed. The City Council Action Plan, along with recommended funding levels for 2008, is included as Attachment A to this message. The second significant change to the annual budget process was City Council approval of a motion regarding the following budget strategies at its June 5, 2007 business meeting: a.“Must Do” i.Maintain adequate reserves ii.Fund liabilities adequately b.“Should Do” i.Fund Compensation Philosophy ii.Increase facilities maintenance budgets iii.Use Business Plan approach process to reinforce strategic decision-making This motion has provided staff with guidance to develop the 2008-09 Recommended Budget. BUSINESS PLAN APPROACH As part of the 2006-07 budget process, staff developed the fiscally constrained portion of a Business Plan to address the longer term financial future of the city. This represented the first phase of implementing a decision-making tool that assists the organization in making strategic citywide recommendations regarding revenue and expense priorities for current and future funding. The Business Plan also serves as the link between the comprehensive plan, various strategic and master plans and the recommended budget. The complete spectrum of the Business Plan has three financial scenarios, consisting of: A fiscally constrained plan - when resources have stabilized, but there is limited revenue growth. Any increase in funding for programs or services must come from funds that have been reallocated from one service area or program to another; in addition, increases are made to adjust for inflation so service standards are not further deteriorated. An action plan - when ongoing increased funding is available (or new funding generated) and priorities have been identified among competing needs to restore or expand programs or services. A vision plan – when there are adequate funds (or the ability to generate new funding) for the complete set of services and facilities desired by the community. Achieving fiscal stability and creating a framework for making strategic decisions about funding priorities are our most pressing challenges and are the focus of the Business Plan. Without a strategic plan that addresses effective management of current funding as well as future revenue and expenditure growth, we might: Restore functions to their former levels without comparing those uses to competing needs, implying that what was represents how the future should be; React to the most vocal constituents, implying that needs that are heard most frequently and passionately should receive the scarce resources; and/or Fund the first few excellent ideas or master plan proposals implying that whatever comes up first should grow. As mentioned above, the fiscally constrained budget was developed based on a Business Phase I Plan for the city and was considered of plan development. The Business Plan addresses effective management of current funding as well as any future revenue and expenditure growth. During this initial process of plan development, departments were asked to develop the fiscally constrained portion of the Business Plan (see description above). In addition, departments were asked to focus their efforts on determining where reallocations within their existing fiscally constrained plan were possible in order to continue meeting current service priorities without additional funding. Although the Business Plan addresses effective management of current resources, it is also the tool to address future revenue and expenditure growth and new services/programs. Phase II In of Business Plan development, departments continued the work done in developing their fiscally constrained plans - identifying areas where resources should be reallocated to address essential services that are currently being provided below an acceptable standard – and developing action and vision plans (through strategic and master plans currently adopted or underway) to guide the allocation of available resources. Although departments and their advisory boards take the lead in preparing their fiscally constrained and action plans, all plans were compared and considered by the City Manager from a citywide perspective. For example, should an expenditure of funds for a Recreation program occur before basic Fire Safety services are provided? “Trade- off” conversations helped in identifying the costs and the benefits of giving or taking from one area or department. The funding pyramid below depicts how the limited additional funding was allocated as the 2008-09 recommended budget was developed. As revenues start to increase, we are starting to move slowly up the pyramid, from the fiscally constrained base to the action plan level. Some funds, such as the Open Space Fund (that has a new dedicated .15% sales tax approved by voters in 2003), are able to fund some of their action and vision plan level services/programs while most funds remain fiscally constrained. As a result, most available funding is going to support the continuance of services/programs provided as part of the fiscally constrained budget. The goal with this approach is to maintain the current service standards being provided as part of the fiscally constrained plan (including essential, desired, and discretionary services). Fiscally constrained budgets also focus on reallocating desired and discretionary services in order to fund an acceptable service standard for essential services. Maintaining fiscally constrained budgets has gotten harder, and in many cases is not sustainable, as the organization’s purchasing power continues to erode. As city’s economic resources have begun to improve, the city continues to focus on using the business plan to guide funding allocations. For the 2008-09 budget, the business plan continues to serve as the tool to determine how limited resources can be used to best meet the city’s inherent responsibility as a governmental entity. This responsibility ensures that basic and essential services are maintained at reasonable service levels. As described in the next section, combining the business plan approach with the direction received via the City Council Budget Action Plan has resulted in a balanced budget recommendation and direction for the future. OVERALL BUDGET RECOMMENDATIONS The 2008-09 Recommended Budget represents a blending of the priorities identified using the business plan approach with those brought forward in the City Council Budget Action Plan. The recommendations show a continued commitment to maintain basic/essential services at an acceptable service standard while working to meet the unique and varied needs of the community. This blending of priorities is reflected in the details of the recommended budget described in the remainder of this section and in the attachments to this budget message. th At the May 8 budget study session, staff provided an update on development of the 2008-09 Recommended Budget. It was noted that revenue projections reflected modest new dollars and that initial funding allocations were based on the budget strategies, which are the base of the funding pyramid discussed earlier. These strategies include maintaining adequate reserves and funding liabilities adequately (“Must Do” items) as well as funding the compensation philosophy and increasing facility maintenance budgets (“Should Do” items). Projected costs for the “Must Do” strategies (such as those required by contract, state mandate, or reserve requirements) total $1,592,000 for the General Fund and $3,138,000 citywide. Once funding allocations for these “Must Do” budget items were built into the 2008 base budget, remaining dollars available in each of the funds were identified. For the General Fund, $1,000,000 in ongoing funding and $1,000,000 in one-time funding was available. Subsequently, these amounts were adjusted to $1,100,000 ongoing and $1,200,000 one- time through the recommended addition of a sales tax auditor and the projected reduction of the 2007 payment for the new Fire Training Facility property (a full payment will not be required for 2007 due to the timing of the purchase of the property). The “Should Do” items vying for the ongoing and one-time dollars included salary/medical benefits for Police and Management and increased funding for facilities maintenance, fire apparatus, energy costs and software replacement. The ongoing dollars allocated to the “Should Do” items total $780,000 for the General Fund (resulting in a remaining balance of $320,000) and $1,261,000 citywide. While I would prefer to see ongoing revenue dedicated to the critical deficiencies of the “Should Do” list (i.e. the facilities, fire apparatus, etc.), the size and scope of these deficits resulted in recommendations for one-time funding to prevent the situation from worsening. Both the “Must Do” and the “Should Do” funding recommendations are reflected in the following table: Ongoing “Must Do” ItemsGeneralOngoing FundCitywide Salary & Medical/Dental Benefits for BMEA & Fire $ 944,000 $1,387,000 (per contract) Increase in PERA Contribution 229,000 524,000 (11.0% to 11.9%) Increase in Non-personnel budgets 310,000 1,016,000 (by 2% for inflation) Increase in Workers Comp Ins 109,000 211,000 (by 15%) TOTAL$1,592,000 $3,138,000 Ongoing “Should Do” ItemsGeneralOngoing FundCitywide Salary Increase for Police $ 184,000 $ 184,000 (1.5% per contract) Medical/Dental Benefits for Police 160,000 160,000 (premium increase) Salary Increase for Management 295,000 535,000 (1.5% per agreement) Medical/Dental Benefits for Mgmt 141,000 382,000 (prem inc & cost sharing) TOTAL$ 780,000 $1,261,000 AVAILABLE ONGOING GF FUNDING $1,100,000 REMAINING ONGOING GF FUNDING $ 320,000 Funding requests from departmental budget submissions as well as the City Council Budget Action Plan items were considered in allocating the remaining $320,000 in ongoing and $1,200,000 in one-time funding available in the General Fund. This same process was completed for each of the restricted funds for both ongoing and one-time expenditures. City Council Budget Action Plan In terms of the City Council Budget Action Plan, progress was made in funding those items that were identified as significant community priorities (see Attachment A). The action plan stresses the goal of community sustainability and includes such items as redevelopment of the Boulder Mobile Manor (providing low income housing) to expansion of the Youth Services Initiative (serving economically disadvantaged youth). This will provide a basis for future steps toward realizing the organization’s commitment to community sustainability. The following are the five highest ranked programs/services from the Council Action Plan: - Boulder Mobile Manor Redevelopment - Youth Services Initiative (YSI) Expansion - Study of Pop-Tops and Scrapes - Boulder TV Ongoing Operations - Fire Apparatus Replacement Funding Highlights of Action Plans My recommended Action Plan items for each fund are included as Attachment B to this budget message. Although available new funding is limited, I believe that the funding recommendations in the budget align well with the Business Plan and the Community Sustainability filters. A brief overview of key funding recommendations in the 2008-09 budget include: The Youth Services Initiative (YSI) program - $50,000 ongoing funding to provide additional services at two existing sites and increasing the Getting Fit program (which focuses on fitness, recreation and community projects) to two days per week. Facilities and Asset Management (FAM) - $200,000 one-time allocation for facility maintenance needs. Fire Apparatus Replacement and Operations - $100,000 one-time allocation to pay down the $2.9 million fire apparatus lease; $40,000 ongoing allocation to offset rising fuel costs. Boulder Television (BTV) - $150,000 one-time allocation to fund station operations in 2008 while a permanent solution is developed. Floor Area Ratio (FAR) aka “Pops and Scrapes” Study - $40,000 one-time allocation. Development Excise Study (DET) - $100,000 one-time allocation from excise tax funds (e.g. Transportation, Permanent Parks and Recreation, Capital Development and Affordable Housing, specifically CHAP). Planning and Development Services – Investments focus on managing the customer “queue” and include the fixed-term positions for a land use review planner, landscape review and inspection, building permit administrative support, and modifications to the Service Center to expedite over-the-counter customer service. The Transportation budget includes a $513,000 ongoing allocation for operations and maintenance to address escalating construction costs. Open Space – includes $756,000 for 10 fixed-term position to facilitate implementation of the Visitor Master Plan. An additional $176,200 has been reallocated from existing budget lines to fund two standard ranger positions and a Resources Monitoring Coordinator position. Downtown and University Management Division - As a result of a $1.6 million debt service bond payment being completely paid off, funds will be allocated to address deferred capital garage maintenance and repairs. In addition, the installation of new parking technology will be completed downtown and on the Hill. The parking technology improvements are being paid by additional revenue from parking fees and a one-hour extension. OVERVIEW OF 2008-09 RECOMMENDED BUDGET The 2008 recommended budget represents a 6.0% increase over the 2007 approved budget and totals $237,819,000 for all funds, including governmental, enterprise, internal service and capital improvement funds. The following chart (in $1,000s) illustrates comparable amounts for 2006 (actual expenditures), 2007 approved, 2008 recommended and 2009 projected. 2006200720082009 1 Expense Type ActualApprovedRecommended Projected Operating 149,426156,214169,879171,593 Capital53,24035,53037,29436,763 Debt Service 31,84132,59230,64628,481 Total 234,507224,336237,819236,837 The increase in operating expenses of $13,665,000, or 8.7%, over 2007 approved is due in part to the recommended Action Plan items in the General, Planning & Development Services, Open Space, Transportation, Water Utility, Wastewater Utility and Downtown Commercial District (formerly titled CAGID) Funds. The recommended Action Plans for these funds represent nearly half of the increase in operating expenses. The capital portion of the budget fluctuates significantly from year to year and the 2008 capital budget reflects a 5.0% increase over 2007. Debt service actually decreased between 2007 and 2008 by $1,946,000 or 6.0% due to the retirement of various debt issuances in the Lottery, Open Space, Water Utility and Downtown Commercial District (formerly titled CAGID) Funds. 1 Please note that the 2007 approved amount has been restated to include the Internal Service Funds (ISFs). Beginning with the 2008-09 budget process, all ISFs will be included in the annual budget process. This change is being made for purposes of enhanced transparency and improved accountability across the organization. The ISFs, such as Fleet Replacement, Computer Replacement and the self-insurance funds, provide services to all city departments and receive funding directly from the departments. Funding is reflected as an expense (or “charge to”) in each department and a revenue (or “charge from”) in the applicable ISF. When an expenditure is made in the ISF, a second counting of the same money (the expense) has occurred. As a result, the actual revenues and expenses from departmental charges in each ISF are reduced from the total city budget to avoid the “double counting” that occurs. REVENUE HIGHLIGHTS The majority of user fees are increased according to the established pricing policy guidelines and, correspondingly, most are increased annually by approximately the rate of inflation. Please refer to the “Utility Rate” section of this document for detailed information. POLICY & REVENUE ISSUES REQUIRING CITY COUNCIL DIRECTION The following policy issues require additional discussion and direction from City Council and will be highlighted at the August 28, 2007 budget study session. 1.)Funding Options for Boulder Mobile Manor The redevelopment of Boulder Mobile Manor (BMM) is currently in the concept planning phase and firm redevelopment budget numbers are not yet finalized. Preliminary numbers suggest that the project would have a budget in the range of $14 million. The current concept plan indicates that BMM could increase from 66 up to 81 permanently affordable housing units and the redevelopment would result in a greatly improved, energy efficient infrastructure and community. Typically for a project with this level of affordable housing and community benefit, including the potential addition of 15 permanently affordable units, it would be reasonable to expect a subsidy of approximately $1 million from the city’s affordable housing funds which include: Community Housing Assistance Program (CHAP), Affordable Housing Fund (AHF), Community Development Block Grant (CDBG) and Home Investment Partnership Grant (HOME). Decisions regarding the use of affordable housing funds are based on staff analysis and input from the community’s resident advisory committee (the Technical Review Group). Given City Council’s desire to achieve a model redevelopment, including green building standards and high level energy efficiency, it is expected that the subsidy needed would be in the range of $2 million, approximately 14% of the project cost. Options: There are several funding options to be considered and each has trade-offs that will need to be considered in order to fund this project: a.) Use affordable housing funds: Staff expects between $2 million to $4 million to be available for the 2008 housing fund round, depending on the timing of cash-in-lieu payments. If the $2 million subsidy, potentially needed for this project, were provided entirely out of affordable housing funds, it would greatly limit the 2008 opportunities for development and acquisition of other affordable housing. The trade-off for using a higher than normal affordable housing fund subsidy toward BMM as a demonstration project with enhanced quality and energy efficient redevelopment is that the city would reduce its progress towards the 10% permanently affordable housing goal by between 20-35 units or would reduce the potential for other rehab and/or land acquisition in 2008/2009. This high level of subsidy, focused on fewer units, could be a precedent that would lead to significantly reduced progress towards the affordable housing goal in the future. b.) Use one-time 2008 General Funds: For 2008, $1.2M is available in one-time general funds and this funding or a portion of the funding could be used for this project. However, this would put the city’s funding focus on just one project for 2008. As has been outlined in my recommended budget (action plan) I have distributed this one-time funding across many critical need services and “Should Do” items including fire apparatus, facilities maintenance, software maintenance, and other not service-critical, but needed services including park maintenance, liquor licensing staff, emergency management, etc. One-time General Fund funding could be combined with the affordable housing fund in various combinations (for example, $1.5 million housing/$500,000 General Fund). Whether funded through the General Fund or through the affordable housing funds, the impact could be spread out by distributing the subsidy over two years. However, as this City Council cannot bind a future City Council for 2009 one- time funds, staff believes if an allocation from the one-time General Fund is desired Council should allocate those funds in the 2008 budget process. c.) Reduce the Scale of the Project: Although the city desires a model “green” redevelopment at BMM, it could consider reducing the total anticipated city support to the $1 million dollar level, provided from the affordable housing funds. The trade-offs to this option, is that if the city is not able to provide a strong level of subsidy for BMM, it is unlikely that the ambitious goals that were established by City Council for the redevelopment can be achieved. d.) Identify Environmental Grant or Other Sources for “Green” Funding: There is the potential for this project to receive grant and incentive funding from federal, state, and/or private agencies.There is also the potential for Council to consider using Climate Action Plan (CAP) funds set aside for affordable housing energy-related improvements each year to fund the higher level of “green” development at this site. The trade-off of using CAP funds is that all the focus on affordable housing improvements would occur at this site alone and limit improvements at other affordable housing facilities. In 2008, $90,000 has been set aside in CAP funds for affordable housing energy improvements. If dedicated for two-years, CAP funding of $180,000 could be made available with the same trade-offs discussed above. 2.) Boulder Community Media (dba Boulder Television) During the 2007 budget deliberations, City Council indicated significant support for the idea of converting funding for BTV to ongoing rather then one-time. There was, however, some debate and desire to consider the trade-offs associated with various funding scenarios. When we use the business plan strategies and the community sustainability filters to assess the priority of BTV for ongoing funding, it is not as high a priority as essential services (first to be restored with new funding), nor does it score as high on the community sustainability assessments/filters as do some of the other action items that I am recommending to be funded. Those items recommended for funding include ongoing funds for Library security and building/maintenance services, fire apparatus, the Youth Services Initiative, and "gap" funds to Housing and Human Services to help off-set some of the safety net service grant losses that have been experienced over the past couple of years. However, as Council has identified this as a higher priority on its Budget Action Plan, I have recommended the allocation of one-time dollars to provide a continuation of funding for BTV through 2008. This will allow BTV to remain operational, but also allow ongoing dollars to go to more critical-need services and programs while we develop a more permanent funding solution for BTV. In order to facilitate the decision-making prerogative of the Council on this issue, the trade-offs that would need to occur to make funding ongoing rather than one-time are in the following chart: Action Plan Item Recommended Revised Impact Ongoing One-time Ongoing One-time Ongoing One-time Boulder Television 150,000150,000 150,000 -150,000 (BTV) Youth Services Initiative 50,000 25,000 -25,000 (YSI) Expansion Fire Apparatus/Fuel Costs 40,000 100,0005,600 155,000-34,400 55,000 Social Sustainability 10,000 10,000-10,000 10,000 Outreach/Gap Library 15,200 19,600-15,200 19,600 Bldg/Maintenance Svcs Library Security Svcs 35,400 35,400-35,400 35,400 Election Costs 30,000 30,000-30,000 30,000 As shown in the chart above, providing $150,000 in ongoing funding to Boulder Community Media would result in the following impacts. The Youth Services Initiative (YSI) would receive $25,000 rather than $50,000 in ongoing funding and this would result in less expansion of the program.For those items that would receive one-time funding rather than ongoing (such as fire apparatus, Library custodial/security and election costs), we would need to address these needs again as part of the 2009 budget. More specifically, the Library would not be able to implement an ongoing security presence but would use limited outside contractual services for a fixed number of walk- through visits daily. In terms of fire apparatus, eliminating even minimal ongoing funding would again delay progress towards a permanent or long-term solution. 3.) Short-term and Long-term Parking Rates Both long and short-term parking rate increases are proposed in the 2008 budget. In the University Hill Commercial District, a short-term parking rate increase, from $1.00 to $1.25/hour, is proposed to take effect in the first quarter of 2008 when the new parking technology is installed. This rate increase will provide the funding for the new parking pay stations which will be installed within the first quarter of 2008. Short-term parking rate increases are scheduled for every five years and the last rate increase on the Hill was in 2003. In addition, in order to cover costs for new parking technology and increase customer access to on-street parking spaces, the hours charged for parking are proposed to change from 6pm to 7pm. The proposed increase will make the parking rates and hours on the Hill consistent with the Downtown where short-term parking rates were increased in August 2007 in conjunction with the installation of the new parking technology. Parking is enforced on the Hill and Downtown Monday through Saturday beginning at 9am. As a point of reference, the University of Colorado charges $1.25 at its on-street meters and enforces between 7:30 a.m. and 5 p.m., 7 days a week. Long-term or permit parking rates are proposed to increase in both the Downtown and the Hill area. Historically, long-term permit rates are increased 5% every two years. A market analysis was done to evaluate utilization rates and evaluate competitive prices for both districts. For 2008, long-term rates in the University Hill Commercial District surface lots are proposed to increase 5% to $148 per quarter. In the Downtown Commercial District, rates are proposed to increase 10% to $155 per quarter for surface lots and $255 per quarter for parking garages.Market research in private lots and garages in the downtown and hill areas indicate the new rates are competitive, but below current market rates. These proposed rate increases will be presented for public hearing and input at both the Downtown Management Commission and the University Hill General Improvement District Advisory Committees this fall before implementation. 4.) Economic Vitality th As discussed at the August 14 study session regarding the city’s Economic Vitality (EV) program, we are requesting that Council reauthorize the program for 2008. There is a sufficient balance in the BURA reserve (the current source of funding for the program) to cover the two fixed-term positions (Business Liaison and Redevelopment Director), to pay for the partnership programs and to fund a much scaled back Flexible Rebate Incentive program through 2008. In terms of the Flexible Rebate Incentive program, staff anticipates that roughly $200,000 of remaining BURA reserves will be available to devote to this important element of the EV program. As Council may recall, $500,000 was appropriated in 2006 from the reserve account to fund a pilot program. While this is a significant amount given the needs across the municipal corporation, it is a very small investment given the potential for retention and capital business expansion. As we face an increasingly constrained revenue stream, investing in our business community will become even more critical. I further believe that not continuing the incentive program would be very negative and would create the perception that the city is not serious about economic vitality and retaining businesses in Boulder. Funding beyond 2008 is a challenge and we will be exploring options that provide an ongoing funding source for the EV program as part of the 2009 budget. During the upcoming study sessions on the recommended budget, staff will provide an overview of some of the funding options being considered, including a proposed trigger concept based on actual business use tax collections exceeding 2007 projections. In addition, the options considered for 2009 will include converting the two fixed-term positions to standard ongoing FTEs. ORGANIZATIONAL UPDATES Urban Wildlife Coordinator Pilot Program I have established a new fixed-term Urban Wildlife Coordinator (UWC) position as part of a pilot program through 2008 to plan, coordinate, and implement the city-wide activities of the Urban Wildlife Management program and the city’s wildlife ordinance. The management of urban wildlife affects many departments and projects/programs of the city. The adoption of a wildlife ordinance established permitting requirements and the need for staff to oversee and implement this program. The approval of the Urban Wildlife Management Plan set into motion a need for work programs and tasks to address management of urban wildlife in the city. I believe it is important that the city have a consistent understanding of, and approach to, wildlife management to ensure that all of our codes and policies are being complied with and to ensure the same is occurring in the private sector. This position, working with the existing inter-departmental staff team for wildlife management, will help to achieve this goal. Funds are not being requested in the 2008 budget. The position will be funded through 2008 by the various departments who currently have urban wildlife management needs or staff working on urban wildlife.The position and the success of the program will be monitored over the next year and continuation of the program and funding requests will be considered as part of the 2009 budget process. An item with more information on the pilot program was provided in the August 16, 2007 Weekly Information Packet. At the July 31 budget study session, a Council member raised questions about the funding and need for the Parks and Recreation “conservation team.” At one of the upcoming budget study sessions, Parks and Recreation staff will be prepared to provide Council with information and costs (personnel and non-personnel) on how it handles urban wildlife management and how its current program will be impacted by the UWC position. Community Sustainability Coordinator and Work Program As Council is aware during its January 2006 and 2007 retreats, I was asked to consider establishing an Office of Sustainability. Council members also reaffirmed this interest through their 2008 Council Budget Action Plan submittals for consideration as part of my 2008 Recommended Budget. I believe City Council has shown great leadership in advancing the philosophy of community sustainability. In May 2007, I established a .50 FTE fixed-term Community Sustainability Coordinator position through 2008. I am using the resources of the municipal corporation to advance this important goal and to ensure that community sustainability is integrated throughout the entire organization and that it becomes part of our daily organizational lives. The position through 2007 will cost approximately $20,000 and for 2008, $40,000. Funding for the position is coming from my “extraordinary personnel” contingency fund. This is an annual contingency that provides funds for unanticipated personnel costs – such as Fire overtime costs – and also used to allow flexibility for fixed-term personnel CITY COUNCIL DIRECTION ON THE RECOMMENDED BUDGET The City Manager’s 2008-09 Recommended Budget was presented to City Council for ndth first reading on October 2, second reading on October 16 and third reading/adoption th on November 13. The following changes were made to the recommended budget based thth on feedback received from City Council at the August 28 and the September 11 study th sessions and at second reading of the budget on October 16. Boulder Mobile Manor Development Project and the Economic Vitality Program Prior to first reading, the City Manager’s recommended budget was changed based on thth feedback from City Council at both the August 28 and the September 11 study sessions. At the August study session, Council clarified that not all funding for the Manor project should come from affordable housing funds since this project is broader than just affordable housing and really reflects Council’s broader goal of community sustainability. Council also expressed a concern about the limited 2008 funding for Economic Vitality, specifically for the Business Incentive Rebate Program. Based on this feedback, staff proposed a “cascading” approach to provide additional 2008 funding for both these items. As part of the approach, target funding in the amount of $800,000 from the General Fund for the Manor project was proposed for 2008. This is based on funding in previous years totaling $600,000 already allocated to the project as well as the likelihood that $1 million would be recommended for funding from the available 2008 affordable housing funds. Based on this, the additional $800,000 from the General Fund in 2008 would bring the total city funding for the project to $2.4 million and would allow for a significant achievement of community sustainability goals including: -targets of 30%, 40% & 50% average median income (AMI) -greater livability (design, green space, playground) -a higher level of energy efficiency and green building The additional 2008 funding from the General Fund for the Economic Vitality program was targeted at $123,000. The goal of this target was to provide additional funding for the program with the understanding that it comes at the cost of other needed items in the city. However, every additional dollar improves the health of the city’s overall economic vitality program and, as a result, a target of an additional $123,000 in 2008 funding was recommended. The following describes each of the steps in the “cascading” funding approach: Step 1: As discussed above, the additional funding targets for both the Major and the Economic Vitality projects were set at $800,000 and $123,000, respectively. Approximately, $90,000 of the Manor project will be covered by 2008 funding from the Climate Action Plan Fund. These dollars are budgeted for energy efficiency programs for low income households. Based on the $90,000 provided by the Climate Action Plan Fund, the remaining target for the Manor project is $710,000 ($800,000 less $90,000). Step 2: The second step includes the deferment of the proposed increase in Worker Compensation Insurance rates for 2008 until 2009. This will generate about $110,000 in General Fund savings that will be appropriated for the Manor project. Although the 2008 targeted fund balance for Worker Compensation may fall short, staff feels it is an acceptable level of risk to defer the rate increase until 2009. After step 2, the remaining target for the Manor project is $600,000 ($710,000 less $110,000) and $123,000 for Economic Vitality. At this point, staff would proceed to step 3. Step 3: This step relies on allocating any excess collections from construction and business use tax as follows for the two projects: - Any increase over the current 2007 General Fund projection for construction use tax would first be used to fill the funding target for the Manor - Any increase over the current 2007 General Fund projection for business use tax would first be used to fill the funding target for Economic Vitality If step 3 does not meet the remaining target for both projects, then staff would automatically move to step 4. Step 4: After all accounts payable are booked for 2007, available year-end savings in the General Fund would be used to reach the remaining targets for the two projects. First, dollars would go to the Manor project until that target it met, then to the Economic Vitality program. 2008 General Fund One-Time Funding Recommendations Held in Contingency (Based upon achieving targeted funding for the Boulder Mobile Manor project and the Economic Vitality Program) Department Item Amount Public Works/FAM Facilities maintenance 200,000 City Council Council employee consultant 3,500 City Council Sister City relationships 4,000 City Manager's Office Contingency 92,000 City Manager's Office Liquor licensing 28,000 Neighborhood Parking Permit (NPP) DUHMD implementation 10,000 Repayment to Downtown Commercial District DUHMD (formerly CAGID) for 10th & Walnut garage 75,000 Finance Financial Reporting and Audit 85,000 Fire Department Fire Apparatus 100,000 Fire Department Office of Emergency Management (OEM) 58,000 Human Resources Leadership Conference 6,000 Human Resources Compensation Study 18,300 Human Resources Diversity: Education 8,000 Human Resources Payroll Process Improvements 10,000 Information Technology Colorado Wireless Communities 14,000 Information Technology Computer Replacement 50,000 Information Technology Independent Security Audit 16,000 Library Library materials 10,000 Municipal Court Master Plan 7,200 Planning & Development Svcs Study of Pop Tops and Scrapes 40,000 Parks & Recreation Park maintenance 25,000 Police Vehicle Operations (including fuel and repairs) 10,000 Total 870,000 Step 5: If steps 2 through 4 still do not meet the targets, there would be reductions in the one-time amounts originally included in the 2008-09 recommended budget until the targets are met. All General Fund one-time funding amounts (with the exception of facility energy, Boulder Community Media and Library allocations) will be held in a contingency in case year-end savings and the revenue triggers are insufficient. The amounts shown in the table above will be released by the City Manager if the targets are met and/or the amounts generated in steps 2 through 4 are higher than expected (this will be known in April 2008). Below is a diagram depicting the “cascading” funding proposal for the Boulder Mobile Manor and Economic Vitality projects: Step 1 Set Target Step 2 Defer WC Increase Step 3 Sufficient $ Stop Triggers Not Sufficient $ Step 4 Sufficient $ Stop Year End Savings Not Sufficient $ Step 5 CM Backfill Reallocate Of Original Sufficient $Any Excess $Yes One Time Recommendations $ Not Sufficient $ No Return to Reconsider Scope Stop Council of Project th At the September 11 study session, City Council generally supported the “cascading” funding approach for the two projects. This change was incorporated into the 2008 budget ordinances brought forward to City Council for first reading and public hearing on October 2, 2007. Boulder Community Media (BCM) th At second reading of the 2008 budget on October 16, City Council approved the following change in funding for Boulder Community Media (BCM), the group that currently provides public access television services to the Boulder community: 1) Decrease 2008 funding to BCM from $150,000 to $70,000 to manage and operate (in partnership with the Boulder Valley School District and the University of Colorado) Channel 22, the educational channel; 2) Authorize the BCM Board to use up to $10,000 of the $70,000 funding for outside legal advice and accounting as necessary; 3) Make 2008 funding contingent upon BCM presenting, and Council approving prior to January 1, 2008, a contract and business plan for managing and operating the educational channel; 4) Authorize BCM use of the .25 cent PEG fee (currently collected for Channel 54) for equipment for the educational access television station (EDTV). 5) Move all savings from the decreased amount of funds going to BCM in the proposed 2008 budget, or $80,000, to fund implementation of the Library Master Plan; 6) Direct the City Manager to shut down operations of Channel 54 by November 16, 2007, and use all remaining 2007 funding for 1) the costs of shutting down Channel 54 and BTV; and 2) to operate and manage Channel 22, EDTV through fiscal year 2008. Staff is currently developing a plan for utilizing the $80,000 in one-time funding for the Library based on the Library Master Plan. The approach will be provided to City Council via a Weekly Information Packet (WIP) in early 2008 before the funds are actually expended. CITY COUNCIL GOALS Boulder City Council City Council Goals Affordable Housing To preserve and provide housing opportunities that promote an economically diverse community. Social Sustainability To enhance community livability by providing outreach and developing policies that address the needs of the community, including the under- served, under-represented and under-participating residents so all who live in Boulder can feel part of, and thrive in, our community. Economic Sustainability It is the Policy of the City of Boulder to encourage economic vitality and the contributions economic health make to the overall quality of life of its citizens. The City of Boulder welcomes and is supportive of business and economic development. Towards this end, the City of Boulder will utilize a variety of tools and strategies that will result in increased sales and use tax revenue, retention and expansion of business investment and opportunities in Boulder and lead to an improvement in the quality of life and prosperity of the community. Environmental Sustainability To enact and enhance city policies that cause the Boulder community to become a nationwide environmental leader among communities. The City will be a role model of exemplary environmental practices. Transportation Develop strategies to manage congestion at reasonable levels and enhance mobility to maintain a livable community. To generate consensus among and between the City Council and local and regional community about the specific transportation improvements envisioned for each corridor.” Current information on the status of the City Council goals is available on the city's website at www.bouldercolorado.gov (click on "City Council Office" under Departments at the top of the page, and then on "Council Goals" found in the box on the left side of the page). BUDGET POLICIES CITYWIDE FINANCIAL AND MANAGEMENT POLICIES SECTION 1 - GENERAL INFORMATION 1.1 Annual Budget Submittal - Biennial budgets shall be balanced. Budgeted expenditures and transfers- out will not exceed reasonable projection of the sum of current year revenues, transfers-in, and available 1 fund balances. Debt shall not be utilized for operating expenses. 1.2 Budget Process - A Biennial budget shall be adopted every two years by December 1st of the year prior to the two-year budget period. Adjustments for changing circumstances for the second year of the two- 2 year budget cycle shall be adopted by December 1st of the first year of the biennial period. 1.3 Budget Preparation - While the Charter establishes time limits and the essential content of the City Manager's proposed budget, the budget preparation process is not prescribed. The preparation process is developed by the City Manager with input from the City Council. 1.4 Changes to Adopted Budget - Normally, initial appropriations (excluding carryovers and encumbrances) will be made only in the context of the annual budget process when all City needs can be reviewed and prioritized in a comprehensive manner. The biennial budget process will also include a projection of the 3 multi-year impact of decisions. SECTION 2 - REVENUE POLICIES 2.1 Property Tax - Mill levies shall be certified at the 1992 mill levy rate. A temporary mill levy credit shall also be certified whenever the calculated revenue forecast exceeds the calculated revenue limitation by 4 more than 1/10th of a mill. 2.2 Revenue Review and Projection - The City reviews estimated revenue and fee schedules as part of the budget process. Estimated revenue is projected in a "most likely" scenario for five years and updated annually. Proposed rate increases are based upon Citywide Pricing Policy Guidelines that were adopted by Council in 1994. User fees shall be aligned with these guidelines over a five-year period. 2.3 User Fee Guidelines - The general guidelines of the City of Boulder regarding user fees are based upon the following considerations: A. Full Cost Recovery 1. The individual or group using the service is the primary beneficiary. 2. The level of service use attributed to a user is known. 3. Administrative cost of imposing and collecting the fee is not excessive. 4. Imposing a full cost fee would not place the City at a competitive disadvantage. 5. The service is usually provided by the private sector, but may also be provided by the public sector. B. Partial Cost Recovery 1. Services benefit those who participate but the community at large also benefits. 2. The level of service use attributed to a user is known. 3. Administrative costs of imposing and collecting the fee is not excessive. 4. Imposing a full cost fee would place the City at a competitive disadvantage. 5. The service is usually provided by the public sector, but may also be provided by the private sector. C. No-cost Recovery: (a service does not have to meet every criterion) 1. The service is equally available to everyone in the community and should benefit everyone. 2. Because the service is basic, it is difficult to determine benefits received by one user. 3. The level of service attributable to a user is not known. 4. Administrative costs of imposing and collecting a fee exceed revenue expected from the fee. 5. Imposing the fee would place the City at a serious competitive disadvantage. 6. The service is primarily provided by the public sector. 7. Charging a fee would result in undesirable behavior. D. "Enterprise or Profit" Center (a service does not have to meet every criterion) 1. Individuals or groups benefit from the service and there is little community benefit. 2. The level of service use attributable to a user is known. 3. There is excess demand for the service; therefore, allocation of limited services is required. 4. Administrative cost of imposing and collecting the fee is not excessive. 5. The service is provided at market price by the private sector. E. Other Considerations 1. Nonresidents do not pay the full level of City taxes. Therefore, nonresidents will usually pay a premium of 25% above the standard fee for the service. 2. The City currently defines "Direct Costs" as costs that are all the specific, identifiable expenses associated with the actual provision of a service. 3. "Indirect Costs" can include departmental overhead costs such as administrative costs and operating reserve account as well as city overhead costs. City overhead costs include the costs of all the City's general support services. 4.Departments when establishing fees should identify whether a fee recovers the full cost, (sum of direct and indirect costs), partial cost or is a market rate fee. 2.3a User Fee Subsidies - After a fee has been set at a either a full, partial or market level, any subsidy or reduced rate user fee offered by the City of Boulder will be based primarily on economic or financial need. The basis for determining financial need will be 50% of the average median income (AMI) for Boulder County. In addition, programs that include a subsidy or reduced rate component are available to City of Boulder residents only. Recreation services in Parks and Recreation offer reduced rate user fees based on age only rather than on economic or financial need. As part of its 5-year User Fee Alignment Plan, this department is moving away from age-based discounting, but has not yet determined if it should be completely eliminated. 2.4 Asset Forfeiture Revenue - To create a long-term funding source from limited and uncertain revenue, asset forfeiture/seizure revenue resulting from crime prevention/apprehension activities by the Police Department shall be conceptually considered as "endowment" funds and the principal shall be held in reserve. With the exception of occasional exceptional unanticipated unfunded needs, only interest earnings on the principal shall be allocated for expenditures. 2.5 Accrued Interest -Earmarked Funds - The determination of whether earmarked funds shall accrue interest income is whether the General Fund costs required to collect and administer such funds are allocated to the subject funds. Interest income shall not be distributed to funds unless they are bearing their appropriate allocation of administrative costs. 2.6 Unspent Revenues - On an annual basis, any unspent revenues subject to and in compliance with the associated limitations of Amendment #1 revenue and spending constraints shall be "reserved" and therefore will be considered "spending" in the current fiscal year. 2.7 Excise Taxes - In November 1998, the electorate approved a ballot issue that increased the current excise tax rates by an inflationary factor. The rate will be adjusted annually by an inflation factor until the 5 maximum amount included in the ballot issue is reached. 2.7 a Education Excise Tax- In June 2003, City Council approved the following policy guidelines pertaining to Education Excise Tax: Education Excise Tax revenues shall be used for capital expenditures only, and not for operational expenditures. Education Excise Tax revenues may be used to: Help fund facilities needed to serve new growth Improve or renovate existing facilities Enhance the viability of existing facilities , including recreational facilities Fund tax refunds or set-offs relating to education purposes Purchase properties to preserve them for future educational purposes. Education Excise Tax revenues shall be expended in a manner that supports both Boulder Valley School District and city of Boulder needs and objectives. Education Excise Tax revenues shall be programmed for expenditure as part of the city’s Capital Improvement Programming process. The intent is that funds will be used for large capital expenditures that exceed $1,000,000 and will be programmed for expenditure on an infrequent basis. 2.8 Utility Charges - The City reviews estimated revenues and fee schedules as part of the budget process. Estimated revenue and expenditures are projected for five years and updated annually. Proposed rate increases to monthly user fees are developed using a cost-of-service methodology which includes the following: Determination of the Utility's revenue requirements for operations, maintenance, and capital construction; Ability of the Utility to maintain adequate reserves and meet debt service coverage requirements; Analysis of customer demands and usage characteristics; Allocation of revenue requirements to customer service characteristics; Development and design of rates schedules. Other charges for specific services are designed to recover costs and follow the guidelines of the Citywide Pricing Policy adopted by Council in 1994. Plant Investment Fees are one-time charges to customers connecting to the utility system are based on the replacement value of the utility assets and are reviewed every 3-5 years. SECTION 3 - FINANCIAL ADMINISTRATION 3.1 General Information - The city's fiscal year shall be the calendar year. The Department of Finance and 6 Record shall collect taxes and maintain financial records. 3.2 Administrative Charges - The City shall employ a cost allocation system to identify the full cost of providing services to the public and recover certain costs incurred by various funds in providing support services to other City departments. The system shall accomplish the following objectives: a. Complete recovery of costs incurred with the exception of the costs of "general governance". b. Equitable allocation of costs to users. c. Provision of incentives for service providers to deliver products and services efficiently and effectively. d. Provision of a stable cost allocation system to facilitate the organization's budgeting for charges and revenues. e. Promotion of customer confidence in and acceptance of the accuracy, reasonableness, and fairness of the charges they incur. Charges for "general governance" (City Council, City Manager's Office, City Clerk Council support be cost allocated to restricted funds but instead shall be totally funded out and elections, etc.) shall not of the General Fund. The "general governance" category shall not include election costs for ballot issues related to funds with earmarked revenue sources. Costs for non-General Fund ballot issues shall be charged to the appropriate fund. The Housing Authority shall not be charged for services provided by General Fund Departments. Such costs will be born by the General Fund. 3.3 Building Maintenance/Renovation - To protect City investment in facilities, funds shall be budgeted annually for maintenance of such facilities. To extend the life of these assets, the goal shall be to increase the funds budgeted annually for maintenance of facilities to approximately 2 percent of the replacement cost (with the exception of debt financed facilities).These funds may be utilized for facility maintenance, reserved for facility replacement, or utilized for debt service payments for facility related projects pursuant to a long term plan based upon the condition of each facility. If the 2 percent funding goal cannot be reached in any given year due to funding constraints, the expected result will be an increase in the maintenance backlog equal to the funding shortfall. The Facilities and Asset Manager will prioritize maintenance/renovation needs to ensure that critical systems are properly maintained so that facility safety and operations continue without interruption. Lower priority work will be postponed until funding is available to complete these tasks. The Facilities & Asset Manager will report the amount of maintenance backlog and any impacts on facility safety and operations annually during the budget process. If/when the revenue base permits, facility maintenance funding shall be given a high priority before consideration of other service restorations or additions. 3.4Building Replacement Costs - Where debt payments are being made for city buildings, if the revenue source(s) do not sunset when the debt is retired, the on-going revenue will be allocated to a building replacement fund. If the funding source does sunset, replacement resources for the building shall usually come from new or extended revenue leveraged by bonding. 3.5 Equipment Replacement Costs - Funds shall be reserved annually for replacement of City equipment and these costs will be reflected in the operating expenditures of the activity using the equipment, to facilitate accurate costing of service delivery. 3.6 Vehicle Replacement Costs - Vehicles shall normally be purchased rather than leased and a vehicle replacement fund shall be maintained for replacement of vehicles at the end of their useful life. In the limited situations where vehicles may be leased (temporary vehicles, fire apparatus, etc.) specific approval by the City Manager is required. 3.6a Vehicle Changes - It is the expectation of the City Manager's Office that all departments will meet the objectives of the Fleet Evaluation Study. These objectives are: no increase in miles driven in the conduct of City business, and no net increase in the number of fleet units. 3.7Computer Replacement Costs - Computer replacement funds shall be created to level out spending for microcomputer and network related hardware and software and ensure that adequate replacement funds are available when equipment reaches the end of its useful life. This fund is expected to cover 80% of the General Fund replacement costs. The remaining 20% costs will be covered in individual departmental budgets. Restricted funds are expected to reserve funds necessary to cover 100% of their microcomputer and network related hardware and software. 3.8 Technology Improvements - Recognizing the contribution of technology in efficient and effective service provision, improvements in technology shall be important considerations in resource allocations. 3.9 General Fund Annual Savings - The General Fund emergency/stabilization reserve shall be maintained at a 10% minimum and a 15% maximum, as conditions allow. 3.10 Grant Expenditures - Expenditures related to grants shall continue only during the period of time they are funded by the grant. Any grant employees will be considered fixed-term. The City Manager shall review applications for new grants before they are submitted to the granting agency. 3.11 Property & Casualty and Workers Compensation Funds - Both Property and Casualty and Workers Compensation liability will be self-insured. The goal of the Property & Casualty Fund is to fully fund an actuarially calculated liability as of the end of the prior year at the 50% certainty level plus $500,000 for current and future claims. The Workers Comp Fund's goal is to fully fund case loss reserves at the 50% confidence level and rate stabilization reserves at the industry standard reserve/retention of eight-to-one. At least every five years, an analysis comparing the cost and effectiveness of self insurance compared to purchase outside insurance will be conducted to determine whether self-insurance in one or both of these liability categories continues to be the best alternative. 3.12 Accumulated Sick, Vacation Time, & Appreciation Bonus - To facilitate the long-term financial sustainability of the city, liabilities associated with accumulated sick time, vacation time, appreciation bonuses, and/or any other employee benefits that would result in liability upon termination or retirement shall be fully funded based on TABOR requirements. This may be accomplished, subject to Council review and approval, by a combination of modifying benefits and/or setting aside reserves. 3.13 Compensation Policy - The City of Boulder is committed to recruiting and retaining highly productive employees through a competitive total compensation package, which strives to: Provide favorable salary relationships when compared to appropriate labor markets, while recognizing the City's ability to pay; Maintain internal job relationships according to the responsibilities and customer service requirements found in all jobs; Recognize and reward employees for their efforts as demonstrated through specific performance achievements; and Acknowledge the unique contributions and potential sacrifices of our Police and Fire Protective Services by continuing to offer enriched benefit programs for them. SECTION 4 - CAPITAL IMPROVEMENT PLANS 4.1 Capital Improvement Plan Submission - While the Charter establishes time limits and the essential content of the City Manager's proposed CIP budget, the budget preparation process is not prescribed. The 7 preparation process is developed by the City Manager with input from the City Council. 4.2 Inclusion of Operating Costs - Prior to approval of capital projects, associated operating costs must be included in balanced multi-year operating budgets. 4.3 Capital Improvement Project Contingency Funds - Capital Improvement Project contingency funds may be expended by the Project Manager, with Director approval, for unanticipated needs or changes that are within the original scope of the project. The "scope of the project" is defined as the description of the project presented with the CIP that clearly defines the parameters, objectives, and budget of the project. Requested modifications exceeding the original scope of the project shall be presented to Council for approval. 4.4 CIP Arts Funding - Where feasible, Project Managers, when designing capital projects should incorporate public art into the design. SECTION 5 - RESERVE POLICIES 5.1 Please refer to separate section defining individual reserve goals by fund. 5.2 In the case of a declared emergency within the City, applicable insurance coverage (subject to the related deductibles) would be the first funding source utilized. Reserve funds established for other purposes may also be utilized for needs related to emergency situations. The following reserve categories could be utilized if required (as prioritized based upon the importance of the needs related to the emergency versus the negative impact of the steps necessary to replenish reserves in the future). General Fund (no legal restrictions): Emergency/stabilization reserve Computer replacement reserve Facility renovation and replacement reserve Workers compensation reserve (would have to "book" any unfunded liability) Property & casualty self-ins reserve (would have to "book" any unfunded liability) Insurance stabilization reserve Restricted funds (only for emergency purposes within the function of each fund) Emergency/stabilization reserves Various replacement reserves SECTION 6 - PENSION PLAN POLICIES 6.1Authorization to Expend Funds for Administrative Costs - If budgetary conditions permit, the City may authorize defined contribution (money purchase) pension plans to expend certain forfeiture funds for administrative costs. The plan board(s) may submit a request annually to the City Manager to be considered in the context of the City's annual budget process. 6.2Increase for “Old Hire” Police and Fire Pension Plans - “Ad hoc”/cost of living increases for retirees of the Old Hire Police and Old Hire Fire Pension Plans will be funded only if adequate funds are available, on an actuarially sound basis, from existing plan assets. SECTION 7 - DEBT POLICIES 7.1 Policy Statement - Debt shall be considered only for capital purchases/projects and the term of the debt shall not exceed the useful life of the financed asset. Municipal bonds, Interfund loans, equipment leases (with the exception of vehicles) and sale/leaseback agreements are approved methods for financing capital projects. END NOTES 1. Charter Requirements Sec 93. Not later than three months before the end of each fiscal year, the city manager shall prepare and submit to the council an annual budget for the ensuing fiscal year, based upon detailed estimates furnished by the several departments and other divisions of the city government, according to a classification as nearly uniform as possible. The budget shall present the following information: (A) An itemized statement of the appropriations recommended by the city manager for estimated expenses and for permanent improvements for each department and each division thereof for the ensuing fiscal year, with comparative statements in parallel columns of the appropriations and the expenditures for the current and last preceding fiscal year and the increases or decreases in the appropriations recommended; (B) An itemized statement of the taxes required and of the estimated revenues of the city from all other sources for the ensuing fiscal year with comparative statements in parallel columns of the taxes and other revenues for the current and last preceding fiscal year and of the increases or decrease estimated or proposed; (C) A statement of the financial condition of the city; and (D) Such other information as may be required by the council. 2. Charter Requirement Sec. 95. Upon the basis of the budget as adopted and filed, and including the levies required to be made by the charter, the several sums shall forthwith be appropriated by ordinance to the several purposes therein named for the ensuing fiscal year. Said ordinance shall be adopted not later than the first day of December in each year and shall be entitled "The Annual Appropriation Ordinance." 3. Charter Requirement Sec. 102. At any time after the passage of the annual appropriation ordinance and after at least one week's public notice, the council may transfer unused balances appropriated for one purpose to another purpose and may by ordinance appropriate available revenues not included in the annual budget. This provision shall not apply to the water, park and library funds. 4. Charter Requirements. Sec 94. Upon said estimate the council shall forthwith proceed to make by ordinance the proper levy in mills upon each dollar of the assessed valuation of all taxable property within the city,… The levy shall never exceed thirteen mills on the dollar for all general city purposes upon the total assessed valuation of said taxable property with the city. The foregoing limitation of thirteen mills shall not apply to taxes levied by the council for the payment of any interest, sinking fund, or principals of any bonded indebtedness of the city now existing or hereafter created nor to special assessments for local improvements. Sec. 135. The city council shall make an annual appropriation, which shall amount to not less than the return of one- third of a mill tax levied upon each dollar of assessed valuation of all taxable property in the City of Boulder. Sec. 161. There shall be a permanent park and recreation fund. This fund shall consist of the following: (a) An annual levy of nine-tenths of one mill on each dollar of assessed valuation of all taxable within the city. 5. Code Requirement. Sec. 3-8-1. Development Excise Tax; Sec. 3-9-1, Housing Excise Tax; Sec. 8-3-18, and Park Land Acquisition and Development Fees, B.R.C. 1981. 6. Charter Requirements Sec. 88. The fiscal year of the city shall commence on the first day of January and end on the last day of December of each year. Sec. 89. Collection and custody of public moneys. The Director of Finance and Record shall have charge of the revenues and records of the city except as otherwise provided by this charter or by ordinance. All taxes, special assessments, and license fees accruing to the city shall be received or collected by officers of the department of finance and record. All moneys received by any officer or employee of the city or in connection with the business of the city shall be paid promptly into the city treasury. The council shall by ordinance provide a system for prompt collection and regular payment, custody, and deposit of all city moneys; shall require surety bonds of all depositors of city moneys. Deposits shall be made daily and in the name of the city. Sec. 90. System of accounting The council shall by ordinance provide a system of accounting for the city, not inconsistent with the provisions of this charter, which may be recommended by the city manager, to conform as nearly as possible with the uniform system of municipal accounting. 7. Charter Requirements. Sec 78. The Planning Department shall..... (C)Submit annually to the city manager, not less than sixty days prior to the date for submission of the city manager's proposed budget to the city council, a list of recommended capital improvements to be undertaken during the forthcoming six-year period; The list shall be arranged in order of preference, with recommendations as to which projects shall be completed each year. Each list of capital improvements shall be accompanied by a six-year capital budget indicating estimated costs and methods of financing all improvements. 2008-09 BUDGET Reserve Policies Balance to Comply Projected Year-End FundCategoryReservePurposeCurrent Reserve PolicyBalance (2008)w/Budget PolicyVarianceComments Reserve is to provide a cushion forBased upon GF expenditures less Emergency/revenue shortfalls, emergencies, grants: proposed goal is to have a Current reserve policy is General StabilizationEmergency Reserveand for expenditure opportunities.10% reserve.11,059,0009,342,0001,717,000being met. The fund was established for liabilities assoc. with accumulated To facilitate the long-term sick and vacation time, financial sustainability for the city appreciation bonuses, and/or other the sick/vac/app. bonus liability Compensatedemployee benefits that result in shall be a fully funded reserve Current reserve policy is LiabilityAbsencesliabilities.based on TABOR requirements.2,692,7422,612,78479,958being met. Current reserve policy is not being met; an 2008 rate increase was deferred based on the "cascading" funding approach to fund To fully fund case loss reserves at the Boulder Mobile The Workers Comp fund is self-the 50% confidence level and rate Manor and the Economic insured. The fund was developed stabilization reserves at the Vitality program; rate Workers Comp. to enhance the management of industry standard increases will be Reserveprogram costs.reserve/retention of 8 to 1.3,551,5683,619,228(67,660)considered for 2009. Reserve established to provide Reserve is to cover 100% of cash Workers Comp: funding for years in which there payment for 27th pay period for Pay Period 27 are 27 pay periods. First one year in which it occurs (e.g. Current reserve policy is LiabilityReserveoccurs in 2013.2013).(67,660)2,780(70,440)not being met. Goal is to fully fund an The Property & Casualty Reserve actuarially calculated liability as o will be self-insured. The fund was end of the prior year at the 50% Property & set up when insurance costs were certainty level plus $537,500 for Current Reserve policy is Casualty Reserveexpected to increase significantly.current & future year claims.3,828,6251,497,4112,331,214being met General Fund- Goal is that this fund will cover Computer Reserve was created to level out the replacement of existing Replacementspending for micro-computer computer systems and keep Current reserve policy is Replacement Reserverelated hardware and software.software maintenance up to date.3,232,5181,903,9661,328,552being met. e Telecommuni-Goal is that this fund will fund th City's phone service equipment cationsReserve was created to level out replacement and fiber network Current reserve policy is Replacementspending for Telecommunications Reservesystem replacement and upgradesneeds.510,154510,1540being met. To protect City investment in buildings, funds shall be budgeted annually for maintenance of such buildings. To extend the life of these assets, the goal over a 20 year period shall be to increase Facilitythe funds budgeted annually for Renovation & maintenance of buildings to ReplacementFund was created to protect the approximately 2% of the Current reserve policy is ReserveCity investment in facilities.replacement cost.1,632,6921,632,112580being met. FacilityReserve established to provide Reserve is to cover 100% of cash Renovation & funding for years in which there payment for 27th pay period for Replacement: Pay are 27 pay periods. First one year in which it occurs (e.g., Current reserve policy is LiabilityPeriod 27 Reserveoccurs in 2013.2013).5805800being met. It is the policy of the City of Boulder that all equipment users shall fund the replacement of equipment through contributions to the Equipment Replacement Fund (ERF). Annual Reserve was created to level out contributions by unit shall be spending for replacement of City’scalculated by Facilities & Asset equipment. Includes contributionsManagement (FAM) and Equipmentannually from general & non-distributed to users during the Current reserve policy is Replacementgeneral funds.budget process.2,477,7762,477,521255being met. Reserve established to provide Reserve is to cover 100% of cash Equipmentfunding for years in which there payment for 27th pay period for Replacement: Pay are 27 pay periods. First one year in which it occurs (e.g., Current reserve policy is LiabilityPeriod 27 Reserveoccurs in 2013.2013).2552550being met. Reserve was established to cover Current reserve policy designates Capital Development Emergency/emergencies and revenue $500,000 to cover the purposes Current reserve policy is Fund StabilizationEmergency Reservefluctuations.of the fund.4,188,104500,0003,688,104being met. 2008-09 BUDGET Reserve Policies Balance to Comply Projected Year-End FundCategoryReservePurposeCurrent Reserve PolicyBalance (2008)w/Budget PolicyVarianceComments Planning and This is an appropriated reserve to Development Emergencyfund unanticipated operating Reserve is currently set at Current reserve policy is Services /StabilizationEmergency Reserveemergencies.$25,000.25,00025,0000being met. This is an unappropriated reserve which was established to cover 10% of the operating budget that Emergencyrevenue fluctuations and operating is funded by fees and permit Current reserve policy is /StabilizationOperating Reserveemergencies.revenue3,165,737541,5102,624,227being met. Reserve established to provide Reserve is to cover 100% of cash funding for years in which there payment for 27th pay period for Pay Period 27 are 27 pay periods. First one year in which it occurs (e.g. Current reserve policy is LiabilityReserveoccurs in 20132013).2,624,22769,1502,555,077being met. To facilitate the long-term The fund was established for financial sustainability for the city liabilities assoc with accumulated the sick/vac/app bonus liability sick & vacation time, appreciation shall be fully funded by or before Current reserve policy is Sick/Vac/App.bonuses, and/or other employee 2010. Interim goal is to fully funbeing met; this reserve is d Bonus Liability benefits that result in liabilities reserve based on TABOR to be fully funded by LiabilityReserveupon termination or retirement.requirements.2,555,077420,4132,134,6642010. Sick/Vac/ App. Affordable Housing Bonus Liability Reserve was established to fund Reserve is to fully cover Current reserve policy is Fund LiabilityReservesick/vac/app. bonus liability.sick/vac/app. bonus liability.28,06426,4091,655being met. Reserve established to provide Reserve is to cover 100% of cash funding for years in which there payment for the 27th pay period Pay Period 27 are 27 pay periods. First one for year in which it occurs (e.g. Current reserve policy is LiabilityReserveoccurs in 2013.2013).1,6551,6550being met. Sick/Vac/ App. Bonus Liability Reserve was established to fund Reserve is to fully cover Current reserve policy is CHAP Fund LiabilityReservesick/vac/app. bonus liability.sick/vac/app. bonus liability.25,31722,3073,010being met. Reserve established to provide Reserve is to cover 100% of cash funding for years in which there payment for the 27th pay period Pay Period 27 are 27 pay periods. First one for year in which it occurs (e.g. Current reserve policy is LiabilityReserveoccurs in 2013.2013).3,0103,0100being met. Sick/Vac/App .25 Cent Sales Tax Bonus Liability Reserve was established to fund Reserve is to fully cover Current reserve policy is Fund LiabilityReservesick/vac/app. bonus liability.sick/vac/app. bonus liability.1,422,478191,3181,231,160being met. Reserve was established to fund Reserve was established to fund 27th payperiod which occurs 27th payperiod which occurs Current reserve policy is Liability27th Payperiodevery 11 yearsevery 11 years1,231,16021,7901,209,370being met. Current reserve policy designates Emergency/Reserve was established to cover 10% of annual Library revenues Current reserve policy is Library Fund StabilizationEmergencyemergencies.for emergencies.206,91269,745137,167being met. Policy is to allow a rolling fund balance to provide stability to rannual operations that may Reserve is to provide a cushion fo Recreation Activity revenue shortfalls, emergencies, otherwise be affected by shortfallsCurrent reserve policy is Emergency/ Fund and for expenditure opportunities.in revenue.881,29950,000831,299being met. StabilizationEmergency Reserve Reserve was established to fund Reserve was established to fund 27th payperiod which occurs 27th payperiod which occurs Current reserve policy is Liability27th Payperiodevery 11 yearsevery 11 years831,29966,670764,629being met. Reserve was established to cover revenue fluctuations which might Reserve per OSBT is to cover an impact the Fund’s ability to make amount based on outstanding debt service payments, as well as General Obligation and BMPA EmergencyOSBT Contingency emergencies related to debt totals supported by sales tax Current reserve policy is Open Space Fund /StabilizationReserveacquisitions.revenues.7,637,1175,475,0002,162,117being met. The fund was established for liabilities assoc with accumulated sick and vacation time, appreciation bonuses, and/or Sick/Vac/App.other employee benefits that result Reserve is to cover 100% of Bonus Liability in liabilities upon termination or accrued costs as determined by Current reserve policy is LiabilityReserveretirementFinance Department.2,162,117490,0001,672,117being met. 2008-09 BUDGET Reserve Policies Balance to Comply Projected Year-End FundCategoryReservePurposeCurrent Reserve PolicyBalance (2008)w/Budget PolicyVarianceComments Reserve is to cover 100% of Property & Reserve was established to cover retained loss not covered by Current reserve policy is Casualty Reserveretained insurance exposure.City’s insurance policy.1,672,117400,0001,272,117being met. Reserve established to provide Reserve is to cover 100% of cash funding for years in which there payment for 27th pay period for Pay Period 27 are 27 Pay Periods. First one year in which it occurs (e.g. Current reserve policy is LiabilityReserveoccurs in 2013.2013).1,272,11768,2701,203,847being met. This is an appropriated reserve to Emergencyfund unanticipated operating Current reserve policy is Airport Fund /StabilizationOperating Reserveemergencies..3% of Fund’s operating budget.10,00010,0000being met. This is an unappropriated reserve for operating and capital emergencies and revenue Current reserve policy is Designated Reserveshortfalls.25% of Fund’s operating budget.469,529117,018352,511being met. The fund was established for liabilities assoc with accumulated sick and vacation time, appreciation bonuses, and/or Sick/Vac/App.other employee benefits that result Reserve is to cover 100% of Bonus Liability in liabilities upon termination or accrued costs as determined by Current reserve policy is LiabilityReserveretirementFinance Department.352,5112,240350,271being met. Reserve established to provide Reserve is to cover 100% of cash funding for years in which there payment for 27th pay period for Pay Period 27 are 27 pay periods. First one year in which it occurs (e.g. Current reserve policy is LiabilityReserveoccurs in 20132013).350,2711,760348,511being met. This is an appropriated reserve to Emergencyfund unanticipated operating Current reserve policy is Transportation Fund /StabilizationOperating Reserveemergencies.Reserve is set at $100,000.100,000100,0000being met. The fund was established for liabilities assoc with accumulated sick and vacation time, appreciation bonuses, and/or Sick/Vac/App.other employee benefits that result Current reserve policy is Bonus Liability in liabilities upon termination or Reserve is to cover 100% of being met; adjusted Reserve & retirement and includes allocation accrued costs as determined by annually to reflect most LiabilityDesignated Reservefor designated reserves.Finance Department.1,698,641652,7521,045,889recent estimates. Reserve established to provide Reserve is to cover 100% of cash funding for years in which there payment for 27th pay period for Pay Period 27 are 27 pay periods. First one year in which it occurs (e.g. Current reserve policy is LiabilityReserveoccurs in 20132013).1,045,88932,6301,013,259being met. This is an unappropriated reserve for operating and capital Transportation emergencies and revenue Current reserve policy is Development Designated Reserveshortfalls.Reserve is set at $25,000108,72725,00083,727being met. Reserve established to provide Reserve is to cover 100% of cash funding for years in which there payment for 27th pay period for Pay Period 27 are 27 pay periods. First one year in which it occurs (e.g. Current reserve policy is LiabilityReserveoccurs in 20132013).83,7271,53082,197being met. Sick/Vac/ App. Permanent Parks & Bonus Liability Reserve was established to fund Reserve is to fully cover Current reserve policy is Recreation Fund LiabilityReservesick/vac/app. bonus liability.sick/vac/app. bonus liability.1,589,69158,7961,530,895being met. Reserve was established to fund Reserve was established to fund 27th payperiod which occurs 27th payperiod which occurs Current reserve policy is Liability27th Payperiodevery 11 yearsevery 11 years1,530,8955,1201,525,775being met. This is an appropriated reserve to Emergency/fund unanticipated operating Current reserve policy is Water Utility StabilizationEmergency Reserveemergencies.3% of Fund’s operating budget.304,000304,0000being met. Reserve amount defined These reserves are established in individually for each bond accordance with bond covenant issuance, equal to approximately Current reserve policy is Bond Bond Reserverequirements for revenue bonds.one year’s annual debt payment.33,518,2503,068,83030,449,420being met. The 2006 Lakewood Pipeline Settlement resulted in $15 million This is an unappropriated reserveto the City. This money and Lakewood Pipeline to be used for inspections and related interest reside in this Remediationimprovements for Lakewood reserve until it is needed for the Current reserve policy is Special PurposeReservePipeline.pipeline.30,449,42015,473,64814,975,772being met 2008-09 BUDGET Reserve Policies Balance to Comply Projected Year-End FundCategoryReservePurposeCurrent Reserve PolicyBalance (2008)w/Budget PolicyVarianceComments This is an unappropriated reserve to be used for damages to Forest Lakewood/ USFS Service Land outside the Emergency/Damage Claims construction corridor for Per the Resource Damage Claims Current reserve policy is StabilizationReserveLakewood Pipeline.Plan14,975,772100,00014,875,772being met The fund was established for liabilities assoc with accumulated sick and vacation time, appreciation bonuses, and/or Sick/Vac/App.other employee benefits that result Reserve is to cover 100% of Bonus Liability in liabilities upon termination or accrued costs as determined by Current reserve policy is LiabilityReserveretirementFinance Department.14,875,772624,84314,250,929being met. Reserve established to provide Reserve is to cover 100% of cash funding for years in which there payment for 27th pay period for Pay Period 27 are 27 pay periods. First one year in which it occurs (e.g. Current reserve policy is LiabilityReserveoccurs in 2013.2013).14,250,92980,56014,170,369being met. This is an unappropriated reserve Emergency/for operating emergencies and/or 25% of Fund’s operating budget Current reserve policy is StabilizationOperating Reserverevenue shortfalls.(including transfers) .14,170,3693,986,60710,183,762being met. This is an unappropriated reserve for capital expenditures due toMinimum annual capital costs for Emergency/emergencies and/or revenue renewal and replacement of utilityCurrent reserve policy is StabilizationCapital Reserveshortfalls.infrastructure.10,183,7622,000,0008,183,762being met This is an appropriated reserve to Emergency/fund unanticipated operating Current reserve policy is Wastewater Utility Stabilization Emergency Reserve emergencies.3% of Fund’s operating budget.250,000250,0000being met. Reserve amount defined These reserves are established in individually for each bond accordance with bond covenant issuance, equal to approximately Current reserve policy is BondFund Bond Reserverequirements for revenue bonds.one- year’s annual debt payment.9,644,066170,2509,473,816being met. The fund was established for liabilities assoc with accumulated sick and vacation time, appreciation bonuses, and/or Sick/Vac/Appother employee benefits that result Reserve is to cover 100% of Bonus Liability in liabilities upon termination or accrued costs as determined by Current reserve policy is LiabilityReserveretirementFinance Department.9,473,816661,6258,812,191being met. Reserve established to provide Reserve is to cover 100% of cash funding for years in which there payment for 27th pay period for Pay Period 27 are 27 pay periods. First one year in which it occurs (e.g. Current reserve policy is LiabilityReserveoccurs in 2013.2013).8,812,19159,1608,753,031being met. This is an unappropriated reserve Emergency/for operating emergencies and/or 25% of Fund’s operating budget Current reserve policy is Stabilization Operating Reserverevenue shortfalls.(including transfers) .8,753,0312,448,8206,304,211being met. This is an unappropriated reserve for capital expenditures due toMinimum annual capital costs for yCurrent reserve policy is Emergency/emergencies and/or revenue renewal and replacement of utilit infrastructure.6,304,211500,0005,804,211being met Stabilization Capital Reserveshortfalls. This is an appropriated reserve to Stormwater/ Flood Emergency/fund unanticipated operating Current reserve policy is Management Utility Stabilization Emergency Reserveemergencies.3% of Fund’s operating budget.90,00090,0000being met. Reserve amount defined These reserves are established in individually for each bond accordance with bond covenant issuance, equal to approximately Current reserve policy is BondBond Reserverequirements for revenue bonds.one year’s annual debt payment.3,434,930824,7152,610,215being met. Reserve is increased by $150,000 Post-FloodReserve is for post - flooda year such that the fund will Emergency/Propertyproperty acquisition in the event accumulate and maintain a level Current reserve policy is StabilizationAcquisitionof a flood.of $1,000,000.2,610,2151,050,0001,560,215being met. 2008-09 BUDGET Reserve Policies Balance to Comply Projected Year-End FundCategoryReservePurposeCurrent Reserve PolicyBalance (2008)w/Budget PolicyVarianceComments The fund was established for liabilities assoc with accumulated sick and vacation time, appreciation bonuses, and/or Sick/Vac/Appother employee benefits that result Reserve is to cover 100% of Bonus Liability in liabilities upon termination or accrued costs as determined by Current reserve policy is LiabilityReserveretirementFinance Department.1,560,215134,7861,425,429being met. Reserve established to provide Reserve is to cover 100% of cash funding for years in which there payment for 27th pay period for Pay Period 27 are 27 pay periods. First one year in which it occurs (e.g. Current reserve policy is LiabilityReserveoccurs in 2013.2013).1,425,42918,4601,406,969being met. This is an unappropriated reserve Emergency/for operating emergencies and/or 25% of Fund’s operating budget Current reserve policy is Stabilization Operating Reserverevenue shortfalls.(including transfers) .1,406,969860,578546,391being met. This is an unappropriated reserve for capital expenditures due toMinimum annual capital costs for Emergency/emergencies and/or revenue renewal and replacement of utilityCurrent reserve policy is Stabilization Capital Reserveshortfalls.infrastructure.546,391200,000346,391being met Downtown This is an unappropriated reserve Commercial District Emergency/to fund unanticipated operating 10% of Fund’s total operating Current reserve policy is (formerly CAGID) Stabilization Emergency Reserveemergencies.uses.567,250293,954273,296being met. Natural Disaster This reserve is required under 3% of Fund’s total sources as Current reserve policy is ReserveTABOR.required by TABOR.273,296197,68275,614being met. The fund was established for liabilities assoc with accumulated sick and vacation time, appreciation bonuses, and/or Sick/Vac/Appother employee benefits that result Reserve is to cover 100% of Bonus Liability in liabilities upon termination or accrued costs as determined by Current reserve policy is LiabilityReserveretirement.Finance Department.75,614113,464-37,850being met. Current reserve policy is Reserve established to provide Reserve is to cover 100% of cash not being met for 2008; it funding for years in which there payment for 27th pay period for is projected that the Pay Period 27 are 27 pay periods. First one year in which it occurs (e.g. reserve policies will be LiabilityReserveoccurs in 2013.2013).-37,85014,000-51,850met for 2009. University Hill This is an unappropriated reserve Commercial District Emergency/to fund unanticipated operating Current reserve policy is (formerly UHGID) Stabilization Emergency Reserveemergencies.25% of Fund’s total uses.577,994176,743401,251being met. Natural Disaster This reserve is required under 3% of Fund’s total sources as Current reserve policy is ReserveTABOR.required by TABOR.401,2516,128395,123being met. The fund was established for liabilities assoc with accumulated sick and vacation time, appreciation bonuses, and/or Sick/Vac/Appother employee benefits that result Reserve is to cover 100% of Bonus Liability in liabilities upon termination or accrued costs as determined by Current reserve policy is LiabilityReserveretirementFinance Department.395,12315,581379,542being met. Reserve established to provide Reserve is to cover 100% of cash funding for years in which there payment for 27th pay period for Pay Period 27 are 27 pay periods. First one year in which it occurs (e.g. Current reserve policy is LiabilityReserveoccurs in 20132013).379,5422,365377,177being met. This is an appropriated reserve to Emergency/fund unanticipated operating Current reserve policy is Fleet Operations StabilizationEmergency Reserveemergencies.1% of Fund’s operating budget.26,77226,7720being met. Emergency/This is an unappropriated reserve Current reserve policy is StabilizationOperating Reservefor operating emergencies2% of Fund's operating budget355,649156,465199,184being met. 2008-09 BUDGET Reserve Policies Balance to Comply Projected Year-End FundCategoryReservePurposeCurrent Reserve PolicyBalance (2008)w/Budget PolicyVarianceComments The fund was established for liabilities assoc with accumulated sick and vacation time, appreciation bonuses, and/or Sick/Vac/App.other employee benefits that result Reserve is to cover 100% of Bonus Liability in liabilities upon termination or accrued costs as determined by Current reserve policy is LiabilityReserveretirementFinance Department.199,184184,61714,567being met. Reserve established to provide Reserve is to cover 100% of cash funding for years in which there payment for 27th pay period for Pay Period 27 are 27 pay periods. First one year in which it occurs (e.g., Current reserve policy is LiabilityReserveoccurs in 2013.2013).14,56711,7602,807being met. Policy is to collect sufficient funds Reserve was established to level from the departments to replace Fleet Replacement out the spending for thevehicles as identified in Current reserve policy is Fleet Replacement ReplacementReservereplacement of the City’s vehicles replacement schedule.4,621,3434,621,3430being met. CITYWIDE SUMMARIES CITY OF BOULDER 2008 BUDGET (in $1,000s) TOTAL BUDGET $237,781 CAPITAL BUDGETOPERATING BUDGET (including debt service) $37,294$200,487 GENERAL DEDICATED FUND FUNDS $80,466 $120,021 City of Boulder Budget Summary 2008-09 Budget Citywide Overview 2008 Uses of Funds Total = $237,781 (in $1,000s) HHS Police Open Space/ $13,895 $26,818 Mtn Parks Gen Gvnmnt 6% 11% $24,960 Plng & Dev Svcs $22,464 10% $7,605 9% 3% Fire $12,739 Parks & Rec 5% $23,489 10% Admin Svcs $11,865 Library 5% $6,717 Arts 3% Debt $502 Public Works $2,311 <1% $84,416 1% 37% The total 2008 approved budget for the City of Boulder is $237,781,000. Overall, the 1 2008 budget is 6.0% greater than the 2007 approved budget of $224,336,000. This total increase reflects a 8.7% increase in operating budgets, a 5.0% increase in the capital improvement program (CIP) and a 6.0% decrease in debt service. The increase in operating expenses is due in part to the recommended Action Plan items (reflected in Attachment B to the 2008-09 Budget Message) in the General, Planning & Development Services, Open Space, Transportation, Water Utility, Wastewater Utility and Downtown Commercial District (formerly titled CAGID) Funds. As described in the section of this document titled "City Council Direction on the Recommended Budget", a cascading funding approach has been implemented as part of the approved 2008 budget to provide funding for both the Boulder Mobile Manor project and the Economic Vitality program. As a result, the $870,000 allocated in the General Fund for one-time funding in 2008 are being held in a contingency until 2007 year-end 1 Please note that the 2007 approved amount has been restated to include the Internal Service Funds (ISFs). Beginning with the 2008-09 budget process, all ISFs will be included in the annual budget process. This change is being made for purposes of enhanced transparency and improved accountability across the organization. The ISFs, such as Fleet Replacement, Computer Replacement and the self-insurance funds, provide services to all city departments and receive funding directly from the departments. Funding is reflected as an expense (or “charge to”) in each department and a revenue (or “charge from”) in the applicable ISF. When an expenditure is made in the ISF, a second counting of the same money (the expense) has occurred. As a result, the actual revenues and expenses from departmental charges in each ISF are reduced from the total city budget to avoid the “double counting” that occurs. results have been finalized and these two programs have received their targeted funding allocation. These items are categorized in the chart above as General Government. Citywide Expenses (Uses) Basic Assumptions Personnel Factors/General Salary Increases: Management/Non-union 1.50% Boulder Municipal Employees Association 2.00% Fire 4.00% * Police 1.50% * In addition, Fire received a 3.0% increase as of July 1, 2007 based on sales/use tax collections over the amount projected for 2006. Non-Personnel Factors: Non-personnel budgets were increased by 2.0% for 2008. Citywide Revenue (Sources) 2008 Sources of Funds Total = $224,261 (in $1,000s) Other Sales Tax $41,885 Plng & Develop $87,729 19% Fees 39% $5,415 2% Bond Proceeds $1,151 1% Utility Rates $43,496 Property Tax Parks & Intergovern- 19% $22,028 Recreation mental 10% $8,167 $14,390 4% 6% The city has several revenue sources, each representing a different percentage of total revenues. Citywide revenues are projected to be $224,261,000, an increase of 4.40% from 2007 estimated revenues of $214,878,000. Sales Tax Sales Tax represents 39% of the city’s total revenue. Sales tax is a transaction tax levied upon all sales, purchases, and leases of tangible personal property and taxable services sold or leased by persons engaged in business in the city and is collected by the vendor or lessor and remitted to the city. The 2008 sales and use tax rate consists of several components. The following is a list of the specific funds that have sales tax as a component of their revenue. Fund Rate Start Date Expiration Date General 1.00% 1/1/1964 None General 0.38% 1/1/1988 12/31/2011 General (designated) 0.15% 1/1/1993 12/31/2012 General (formerly designated for 0.15% 1/1/2005 12/31/2024 public safety purposes) Open Space 0.40% 1/1/1967 None Open Space 0.33% 1/1/1990 12/31/2018 Open Space 0.15% 1/1/2004 12/31/2019 Transportation 0.60% 1/1/1967 None Parks 0.25% 1/1/1996 12/31/2015 Total for 2008 3.41% Basic Assumptions: Inflation – Projected CPI for the Denver-Boulder-Greeley area is 2.6% for 2008. This information based on projections from the Colorado Office of State Planning and Budgeting (OSPB). Overall Sales Tax Growth – The overall growth in sales & use tax for the city is expected to be 3.9% in 2008. Property Tax Property Tax represents 10% of the city’s total revenue. Property tax revenue is based on the city’s mill levy to the current assessed value. All property tax revenue growth (except the 2 mil for public safety services) is restricted under the Taxpayer Bill of Rights Amendment to the Colorado Constitution (TABOR) to the Denver-Boulder Consumer Price Index (CPI) and a local growth factor. The following rates were approved as part of the 2008 budget: : Property Tax Rate from 2007 Approved Budget General City Operations 8.748 Permanent Parks Fund (Charter Sec. 161) 0.900 Library Fund (Charter Sec. 165) 0.333 TOTAL 9.981 Less Mill Levy Credit 2.780 TOTAL (Mills subject to Article X, Section 20 Of the Colorado Constitution 7.201 General City Operations (Public Safety) 2.000 NET MILL LEVY 9.201 City of Boulder - Net Mill Levy Revenue 2002 2003 2004 2005 2006 2007 2008 Year Mill Levy9.301 9.640 9.860 10.005 9.643 9.889 9.201 Impact on Fund Balance For the 2008 budget year, there is $13,520,000 being used from fund balance to fund anticipated expenses. The use of fund balance is typically for one-time only expenses or for capital projects. Most funds that are using fund balance have built up reserves especially for the purpose of funding capital projects; for example, the Open Space, Transportation and Utility Funds. For a complete look at the five year position of the city’s funds, please refer to the “Fund Financial” section of the budget document. In addition, each fund’s reserve policies are summarized in the “Budget Policies” section of the document and their current status relative to those policies. General Fund Revenues (Sources) Total sources for the General Fund for the 2008 budget year are $93,358,000. This represents a 5.5% increase over the 2007 approved budget for estimated revenues of $88,520,000. General Fund 2008 Sources of Funds Total = $93,358 (in $1,000s) BURA Bond Other Reserves for Other Taxes $9,520 Cost Allocation Economic Vitality $13,238 10% $6,197 Grants$293 14% 7% $814<1% Parking 1% Violations Parks Fees $1,970 $185 2% <1% Property Tax $17,605 19% Sales Tax $43,536 47% Sales Tax Sales tax collections of $43,536,000 represent 47% of the General Fund annual revenue. Property Tax Based on the mill levy in place for the 2007 budget, property tax collections for 2008 are projected to be $17,605,000 or 19% of General Fund revenues for 2008. Other Taxes Other taxes include admission tax, accommodation tax, liquor occupation tax, telephone occupation tax, cable franchise tax, electric franchise tax, specific ownership tax, tobacco tax and trash tax. Estimates for these taxes are based on historical trends, inflation and economic growth in the respective areas. Cost Allocation The General Fund provides various support services to the restricted funds. The costs to provide these services are determined and allocated to the various restricted funds based on their utilization of these services. The estimated reimbursement amount to the General Fund in 2008 is $6,197,000, a 4.4% increase from the 2007 approved budget. General Fund Expenses (Uses) The 2008 General Fund budget is $94,238,000. This represents a 5.1% increase over the 2007 approved budget of $89,650,000. General Fund 2008 Uses of Funds Total = $94,238 (in $1,000s) Administrative Transfers to SvcsOther Funds Debt $11,111$13,762 $2,286 12%15% General Parks 2% Government $3,976 $13,152 4% 14% Housing/ Human Svcs $6,612 7% Real Estate Police $130 $26,818 Fire ArtsPublic Works <1% 28% $12,739 $502$3,150 14% <1%3% CITY OF BOULDER SUMMARY OF SOURCES OF FUNDS (in $1,000s) 2006200720082009 ACTUALAPPROVEDAPPROVEDPROJECTED UNRESTRICTED FUNDS: General (includes Public Safety Fund) $35,708$36,509$39,014$40,291 Sales and Use Taxes 009093 Add'l Sales/Use Tax from Add'l Auditor 2450597651 Tax Increment (10th & Walnut) 3,6103,7413,8353,960 .15 Cent Sales Tax 443433473490 Food Service Tax 03801110 BURA Bond Reserves 002930 BURA Bond Reserves for EV thru 2008 2,4672,5252,6552,787 Accommodation Tax 406682644660 Admission Tax 12,52612,89613,21813,549 Property Tax 4,1164,2804,3874,519 Property Tax (Public Safety) 1,5901,2301,1521,164 Trash Hauler/Recycling Occ.Tx. 568586601619 Liquor Occupation Tax 768768768768 Telephone Occupation Tax 9379259991,009 Cable Television Franchise Tax 1437200 Cable Access Fee 3,9103,9004,0904,212 Xcel Franchise Tax 1,4351,5271,4711,500 Specific Ownership Tax 395385385385 Tobacco Tax 103186191194 Misc. Charges for Services 159727474 NPP & Other Parking Revenue 311307311311 Meters - Out of Parking Districts 1,4161,4462,2102,483 Meters - Within Parking Districts 50565759 Sale of Goods 4222 Misc. Fines & Administr. Penal 1,7051,6001,6481,648 Municipal Crt Charges & Fines 1,8041,9701,9701,970 Parking Violations 1,0341,3381,8421,888 Photo Enforcement 210186191196 Business Licenses 0000 Misc. Intergovernmental Chg. 499106109112 Court Awards 1,7581,307814833 Grants 8665579891,007 Interest & Investment Earnings 148147151155 Leases, Rents & Royalties 478696637662 Miscellaneous Revenues 42500 Education Excise Tax (To Reserve) 168184185187 Parks Fees 252247250254 Housing/Human Services Fees 0000 Recommended Parking Meter & Hour Inc 079300 Recommended Photo Enforcement Expansion Action Plan frm Add'l Rev (Parking Meter Increase)077164169 962000 Carryovers from Add'l Revenue $$$$ SUB-TOTAL REVENUE81,61982,11686,57888,861 Transfers In Cost Allocation - All Funds$5,985$5,855$6,197$6,345 CAGID - Reimb for Mall Improvements500500500500 Other174498353 6,6596,4046,7806,898 SUB-TOTAL TRANSFERS IN $$$ $ CITY OF BOULDER SUMMARY OF SOURCES OF FUNDS (in $1,000s) 2006200720082009 ACTUALAPPROVEDAPPROVEDPROJECTED $$$$ TOTAL General Fund88,27888,52093,35895,759 Community Housing Assistance (CHAP) Property Tax$1,261$1,311$1,350$1,391 117350250250 Development Excise Tax 104353535 Interest & Investment Earnings 000964 Loan Repayment Transfers In 24000 192000 Proceeds from Sale of Units 4000 Other $$$$ TOTAL CHAP1,7021,6961,6352,640 NET TOTAL UNRESTRICTED FUNDS89,98090,21694,99398,399 $$$$ CITY OF BOULDER SUMMARY OF SOURCES OF FUNDS (in $1,000s) 2006200720082009 ACTUALAPPROVEDAPPROVEDPROJECTED RESTRICTED FUNDS: Capital Development Development Excise Tax$$$$ 211434250250 Interest & Investment Earnings 14177178195 $$$$ 352511428445 Lottery Lottery Funds$$$$ 1,074904926931 Interest & Investment Earnings 59616052 $$$$ 1,133965986983 Planning & Development Svcs Misc. Development Fees$$$$ 6,2845,1145,4155,551 Interest & Investment Earnings 14586170147 Transfers In 2,6062,7362,8502,873 $$$$ 9,0357,9368,4358,571 Affordable Housing Fund Cash In Lieu of Affordable Units$$$$ 1,1131,5002,9003,100 Interest & Investment Earnings 72353535 Transfers In 391398406414 Sale of Goods and Capital Assets 576400 Other 156756156295 $$$$ 1,7892,7533,4973,844 .25 Cent Sales Tax Sales and Use Taxes$$$$ 5,8405,9766,3926,601 Interest & Investment Earnings 157140155159 Intergovernmental 20000 188000 Grants Other 13121212 $$$$ 6,0486,2086,5596,772 Library Property Tax$$$$ 525545551561 Misc. Charges for Services 14199102115 Interest & Investment Earnings 23111515 Leases, Rents & Royalties 8566 Transfers In 5,3025,6056,0196,048 Other 35242424 $$$$ 6,0346,2896,7176,769 CITY OF BOULDER SUMMARY OF SOURCES OF FUNDS (in $1,000s) 2006200720082009 ACTUALAPPROVEDAPPROVEDPROJECTED Recreation Activity Admission & Activity Charges$$$$ 7,7487,6637,9828,222 Interest & Investment Earnings 30000 Transfers In 1,4292,0571,8781,940 $$$$ 9,2079,7209,86010,162 Climate Action Plan Climate Action Plan Tax$$$$ 00875879 Transfer In 0000 $$$$ 00875879 Open Space Sales and Use Taxes$$$$ 20,56921,03722,49823,234 Sale of Capital Assets 223000 Grants 38000 Interest & Investment Earnings 831325325325 Leases, Rents & Royalties 470325486486 Bond Proceeds 20,481000 Transfers In 9581,0131,0571,068 $$$$ 43,57022,70024,36625,113 Airport Misc. Charges for Services$$$ 11101111 Grants 361,4126160 Interest & Investment Earnings 26272727 Leases, Rents & Royalties 310344412420 $$$$ 3831,7931,066458 Transportation Sales and Use Taxes$$$$ 13,99214,30415,30315,804 Highway Revenues 4,6373,2113,5443,543 HOP Reimbursement 001,2071,244 Grants 42000 Interest & Investment Earnings 388368420420 Miscellaneous Revenues 122199199199 Special Assessments 14270140140 External Funding 2,9835,9112,9212,545 Transfers In 170150100125 $$$$ 22,47624,21323,83424,020 CITY OF BOULDER SUMMARY OF SOURCES OF FUNDS (in $1,000s) 2006200720082009 ACTUALAPPROVEDAPPROVEDPROJECTED Transportation Development Development Excise Tax$$$$ 384600600600 Interest & Investment Earnings 18214012062 External Funding 1,2263,07800 Third Party Reimbursements 3100100100 $$$$ 1,7953,918820762 Transit Pass General Improvement District Property Tax$$$ 7788 Transfers In 5333 $$$$ 12101111 CommDvlpmnt Block Grnt (CDBG) Sale of Capital Assets$$$$ 24000 Federal - Direct Grants 1,142914909873 Third Party Reimbursements 18000 Transfers In 63000 $$$$ 1,247914909873 HOME Federal - Direct Grants$$$$ 1,0061,5001,3001,400 $$$$ 1,0061,5001,3001,400 Permanent Parks and Recreation Property Tax$$$$ 1,4181,4601,4971,534 Development Excise Tax 300300475281 Interest & Investment Earnings 198217221212 Miscellaneous Revenues 8141414 $$$$ 1,9241,9912,2072,041 Water Utility Utility Service Charges 23,51720,93621,18521,885 Recommended Rate Increase 007631,989 Misc. Charges for Services$$$$ 31332525 Utility Plant Invest. Fee Summ 2,7432,5002,5002,500 Utility Connection 180150165165 Interest & Investment Earnings 2,0118501,7561,347 Leases, Rents & Royalties 14161717 Special Assessments 61055 State and Federal Grants 4000 Lakewood Settlement 19,500000 Transfers In 0130130130 $$$$ 48,00624,62526,54628,063 CITY OF BOULDER SUMMARY OF SOURCES OF FUNDS (in $1,000s) 2006200720082009 ACTUALAPPROVEDAPPROVEDPROJECTED Wastewater Utility Utility Service Charges$$$$ 12,09212,68112,71813,119 Recommended Rate Increase 00375387 Utility Plant Invest. Fee Summ 491420450450 Utility Connection 16121212 Interest & Investment Earnings 2,254380511385 Miscellaneous Revenues 27282829 Special Assessments 42055 $$$$ 14,88413,54114,09914,387 Stormwater/Flood Mgmt Utility Utility Service Charges$$$$ 4,5894,6544,6634,813 Recommended Rate Increase 00140144 Utility Plant Invest. Fee Summ 498500500500 Urban Drng & Fld Contr Dist 860485500500 Colorado Dept of Transportation Funds 001,5290 State and Federal Grants 10000 Interest & Investment Earnings 404225240137 Misc. Intergovernmental Chg. 126109124127 Miscellaneous Revenues 50173131 $$$$ 6,5375,9907,7276,252 Downtown Commercial District Property & Spec Ownership Tx$$$$ 9229609881,018 Parking Charges 3,4433,3813,8463,846 Interest & Investment Earnings 51474218 Leases, Rents & Royalties 210421366366 Miscellaneous Revenues 57421919 Transfers In 1,2411,2711,9421,942 1,1861,0801,1511,186 10th & Walnut Bonds and Revenue $$$$ 7,1107,2028,3548,395 University Hill Commercial District Property & Spec Ownership Tx$$$$ 25282928 Parking Charges 150161231324 Interest & Investment Earnings 30233421 Transfers In 175175258175 $$$$ 380387552548 Telecommunications Charges to Departments$$$$ 581571584591 Interest & Investment Earnings 54322710 Miscellaneous Revenues 120139144143 $$$$ 755742755744 CITY OF BOULDER SUMMARY OF SOURCES OF FUNDS (in $1,000s) 2006200720082009 ACTUALAPPROVEDAPPROVEDPROJECTED Property & Casualty Insurance Charges to Departments$$$$ 1,6091,7671,9741,974 Interest & Investment Earnings 121125153124 Miscellaneous Revenues 268000 $$$$ 1,9981,8922,1272,098 Worker Compensation Insurance Charges to Departments$$$$ 1,1611,4421,4291,472 Interest & Investment Earnings 146149166142 Miscellaneous Revenues 2000 $$$$ 1,3091,5911,5951,614 Compensated Absences Charges to Departments$$$$ 661311311311 Interest & Investment Earnings 103123107108 $$$$ 764434418419 Fleet Operations Charges to Departments$$$$ 2,7552,7793,0153,236 Interest & Investment Earnings 2251316 Miscellaneous Revenues 211505050 $$$$ 2,9682,8543,0783,302 Fleet Replacement Charges to Departments$$$$ 3,0573,4013,5563,616 Interest & Investment Earnings 186156190215 Miscellaneous Revenues 289162152136 $$$$ 3,5323,7193,8983,967 Computer Replacement Charges to Departments$$$$ 1,6251,4411,4591,475 Interest & Investment Earnings 119142154128 Miscellaneous Revenues 4000 $$$$ 1,7481,5831,6131,603 Equipment Replacement Charges to Departments$$$$ 619479373376 Interest & Investment Earnings 158164117115 $$$$ 777643490491 Facility Renovation & Replace Charges to Departments$$$$ 1,246752775787 Interest & Investment Earnings 101979076 $$$$ 1,347849865863 CITY OF BOULDER SUMMARY OF SOURCES OF FUNDS (in $1,000s) 2006200720082009 ACTUALAPPROVEDAPPROVEDPROJECTED $198,126$157,473$163,987$165,849 TOTAL RESTRICTED FUNDS SOURCES $$$$ TOTAL CITY SOURCES OF FUNDS288,106247,689258,980264,248 $$$$ Less: Transfers from Other Funds19,07819,86821,24322,045 Less: Current Yr ISF Charges (1.)13,31412,94313,47613,838 NET TOTAL SOURCES OF FUNDS$255,714$214,878$224,261$228,365 FOOTNOTE: (1.) Please note that the 2007 approved amount has been restated to include the Internal Service Funds (ISFs). Beginning with the 2008-09 budget process, all ISFs will be included in the annual budget process. This change is being made for purposes of enhanced transparency and improved accountability across the organization. The ISFs, such as Fleet Replacement, Computer Replacement and the self-insurance funds, provide services to all city departments and receive funding directly from the departments. Funding is reflected as an expense (or "charge to") in each department and a revenue (or "charge from") in each applicable ISF. When an expenditure is made in the ISF, a second counting of the same money (the expense) has occurred. As a result, the actual revenues and expenses from departmental charges in each ISF are reduced from the total city budget to avoid the "double counting" that occurs. CITY OF BOULDER SUMMARY OF USES OF FUNDS (in $1,000s) 2006200720082009 ACTUALAPPROVEDAPPROVEDPROJECTED UNRESTRICTED FUNDS: General (includes Public Safety Fund) City Council $$$$ 281295300307 Municipal Court 1,3281,5261,6051,642 City Attorney 1,7361,7931,8191,861 Contingency 21115118121 Contingency-Univ Hill Meter Rev 00100 Utility Contingency 02501450 Economic Vitality Program 4863611110 Economic Vitality Prgm thru 2008 002930 Extraordinary Personnel Expense 22115118121 Non-Departmental 711779814838 Boulder Television 134150700 Wildlife Management Plan 0000 Washington School Project 37000 Public Power Project 91000 Environmental Affairs 1,4061,2301,1521,164 Communications 592658633648 Downtown/University Hill Mgmt Div8599351,1421,169 BID248000 City Manager's Office/Support Svcs 1,3961,4131,6911,730 West Nile Virus Program 211300300300 Human Resources 1,2231,2961,6271,665 Finance 2,4482,5852,5012,526 Information Technology 4,5164,5014,6594,767 Volunteer and Unemployment Ins77107107109 Property and Casualty Ins1,6091,7671,9741,974 Compensated Absences661311311311 Police 23,83525,45626,81827,444 Fire 11,66212,42712,73913,036 Police/Fire Pensions 497773773773 Public Works 3,1033,4013,1503,224 Parks 3,9803,8453,9764,069 Arts 187199204209 Open Space (Real Estate) 113121130133 Housing/Human Services 5,3045,2094,8244,937 Annual Merit Added to Base 000900 Campaign Financing 043046 Humane Society Bldg Loan 114114114112 Carryovers & Supplementals 2,270000 Carryovers & Supplementals frm Add'l Rev 962000 Encumbrance Carryovers 652000 Community Sustainability Plan 107400 CITY OF BOULDER SUMMARY OF USES OF FUNDS (in $1,000s) 2006200720082009 ACTUALAPPROVEDAPPROVEDPROJECTED Special Purpose Reserve 0301301301 Recommended Ongoing Funding 0000 Recommended One-time Funding 009800 Action Plan Items frm Add'l Rev 0000 Debt1,7311,7281,7241,679 Total General Fund Expenditures$74,513$74,178$77,233$78,116 Transfers Out11,62112,33713,77214,324 Subtotal General Fund$86,134$86,515$91,005$92,440 .15% Sales Tax Allocation Environment206287298317 $$$$ Arts276287298317 Human Services1,4571,4341,4901,584 Youth Opportunity286287298317 Four-Mile Soccer Complex203276287350 Debt561564562558 2,9893,1353,2333,443 $$$$ Subtotal .15% Sales Tax Total General Fund Uses89,12389,65094,23895,883 $$$$ Community Housing Assistance Operating270364359370 $$$$ 2,4801,3241,2532,245 Community Housing Funds Transfers Out84222223 Total Community Housing Assistance2,8341,7101,6342,638 $$$$ TOTAL UNRESTRICTED FUNDS$91,957$91,360$95,872$98,521 CITY OF BOULDER SUMMARY OF USES OF FUNDS (in $1,000s) 2006200720082009 ACTUALAPPROVEDAPPROVEDPROJECTED RESTRICTED FUNDS: Capital Development Transfers Out$$$$ 29313334 Capital 758808080 $$$$ 787111113114 Lottery Operating$$$$ 238746480375 Debt 3043041700 Capital 54550350625 $$$$ 1,0871,1001,0001,000 Planning & Development Svcs Operating$$$$ 6,3096,8497,2017,303 Transfers Out 1,2241,0381,0801,123 Recommended Action Plan 00404210 $$$$ 7,5337,8878,6858,636 Affordable Housing Fund Operating$$$$ 176295391403 Transfers Out 25101111 Debt 8721,0091,823229 Community Housing Funds 1,4021,4121,2703,199 $$$$ 2,4752,7263,4953,842 .25 Cent Sales Tax Operating$$$$ 2,6393,0723,1163,247 Debt 2,3852,4292,4212,385 Transfers Out 188449158164 Capital 471493875750 Recommended Action Plan 006871 $$$$ 5,6836,4436,6386,617 Library Operating $$$$ 6,0026,2896,7176,769 $$$$ 6,0026,2896,7176,769 Recreation Activity Operating$$$$ 8,8859,5339,91710,214 Transfers Out 30000 $$$$ 8,9159,5339,91710,214 Climate Action Plan Operating$$$$ 00875879 Transfers Out 0000 $$$$ 00875879 CITY OF BOULDER SUMMARY OF USES OF FUNDS (in $1,000s) 2006200720082009 ACTUALAPPROVEDAPPROVEDPROJECTED Open Space Operating$$$$ 8,5188,9499,14410,093 Debt 9,83011,69410,95010,689 Transfers Out 726776815815 Capital 8,9243,9803,9804,150 Recommended Action Plan 007560 $$$$ 27,99825,39925,64525,747 Airport Operating$$$$ 338350362372 Transfers Out 53596164 Capital 01,4486320 Recommended Action Plan 00550 $$$$ 3911,8571,110436 Transportation Operating$$$$ 13,95214,13915,68916,272 Transfers Out 1,3371,2921,3021,350 Debt 273124293123 Capital 5,87510,6028,5306,745 Recommended Action Plan 00956673 $$$$ 21,43726,15726,77025,163 Transportation Development Operating$$$$ 302321226226 Transfers Out 11121213 Capital 1,8853,910660600 $$$$ 2,1984,243898839 Transit Pass General Improvement District Operating$$$$ 10101111 $$$$ 10101111 CommDvlpmnt Block Grnt (CDBG) Operating$$$$ 156165163155 Debt 1,163000 Transfers Out 41181819 Community Housing Funds 987732728698 $$$$ 2,347915909872 HOME Operating$$$$ 6911899107 Transfers Out 3344 Community Housing Funds 9331,3791,1971,289 $$$$ 1,0051,5001,3001,400 CITY OF BOULDER SUMMARY OF USES OF FUNDS (in $1,000s) 2006200720082009 ACTUALAPPROVEDAPPROVEDPROJECTED Permanent Parks and Recreation Operating$$$$ 443924429876 Debt 50000 Transfers Out 57535557 Capital 1,2951,0701,4001,828 $$$$ 1,8452,0471,8842,761 General Obligation Debt Svc Operating$$$$ 11252525 $$$$ 11252525 Water Utility Operating$$$$ 12,12113,75014,25815,003 Debt 6,5436,5446,2966,282 Transfers Out 1,2211,2881,3421,394 Capital 7,2835,9508,7759,980 Recommended Action Plan 003460 $$$$ 27,16827,53231,01732,659 Wastewater Utility Operating$$$$ 6,6537,9538,3249,058 Debt 3,6733,7453,7663,728 Transfers Out 9049309661,003 Capital 17,6709502,2102,475 Recommended Action Plan 0050636 $$$$ 28,90013,57815,77216,300 Stormwater/Flood Mgmt Utility Operating$$$$ 2,8142,9833,1313,187 Debt 920806806810 Transfers Out 268297312324 Capital 2,7322,1505,3542,100 $$$$ 6,7346,2369,6036,421 Downtown Commercial District Operating$$$$ 2,4442,9642,9444,645 Debt 3,5363,6452,0051,998 Transfers Out 629624629634 Transfer Excess TIF to Gen. Fund 245285532543 Capital 0000 Recommended Action Plan 002,5780 $$$$ 6,8547,5188,6887,820 CITY OF BOULDER SUMMARY OF USES OF FUNDS (in $1,000s) 2006200720082009 ACTUALAPPROVEDAPPROVEDPROJECTED University Hill Commercial District Operating$$$$ 295333331393 Transfers Out 37313233 Recommended Action Plan 003440 $$$$ 332364707426 Telecommunications Operating$$$$ 5776051,604790 Transfers Out 11101010 $$$$ 5886151,614800 Property & Casualty Insurance Operating$$$$ 1,4181,5841,5301,603 Transfers Out 71656871 $$$$ 1,4891,6491,5981,674 Worker Compensation Insurance $$$$ Operating1,2251,7021,5441,638 Transfers Out 95111112113 $$$$ 1,3201,8131,6561,751 Compensated Absences $$$$ Operating827381381381 Transfers Out 12131314 $$$$ 839394394395 Fleet Operations $$$$ Operating2,6802,5722,7902,914 Transfers Out 211221215224 $$$$ 2,8912,7933,0053,138 Fleet Replacement $$$$ Operating3,8133,3643,3253,025 Transfers Out 37557275 $$$$ 3,8503,4193,3973,100 Computer Replacement $$$$ Operating1,4101,8601,5591,574 Transfers Out 16141515 $$$$ 1,4261,8741,5741,589 Equipment Replacement $$$$ Operating7151,2965311,156 Transfers Out 27303132 $$$$ 7421,3265621,188 CITY OF BOULDER SUMMARY OF USES OF FUNDS (in $1,000s) 2006200720082009 ACTUALAPPROVEDAPPROVEDPROJECTED Facility Renovation & Replace $$$$ Operating & Capital1,8191,1751,1101,093 Transfers Out 63697275 $$$$ 1,8821,2441,1821,168 Police Pension Transfers Out$$$$ 16555 $$$$ 16555 Fire Pension Transfers Out$$$$ 16555 $$$$ 16555 $174,771$166,607$176,771$173,764 TOTAL RESTRICTED FUNDS USES $$$$ TOTAL CITY USES OF FUNDS266,728257,967272,643272,285 $$$$ Less:Transfers to Other Funds19,07819,86821,24322,045 Less: Current & Prev Yrs ISF Charges (1.)13,14313,76313,61913,540 NET TOTAL USES OF FUNDS234,507224,336237,781236,700 $$$$ USES OF FUNDS BY CATEGORY $$$$ OPERATING USES OF FUNDS149,426156,214169,671171,455 CAPITAL USES OF FUNDS53,24035,53037,29436,764 DEBT31,84132,59230,81628,481 TOTAL USES OF FUNDS BY CATEGORY234,507224,336237,781236,700 $$$$ FOOTNOTE: (1.) Please note that the 2007 approved amount has been restated to include the Internal Service Funds (ISFs). Beginning with the 2008-09 budget process, all ISFs will be included in the annual budget process. This change is being made for purposes of enhanced transparency and improved accountability across the organization. The ISFs, such as Fleet Replacement, Computer Replacement and the self-insurance funds, provide services to all city departments and receive funding directly from the departments. Funding is reflected as an expense (or "charge to") in each department and a revenue (or "charge from") in each applicable ISF. When an expenditure is made in the ISF, a second counting of the same money (the expense) has occurred. As a result, the actual revenues and expenses from departmental charges in each ISF are reduced from the total city budget to avoid the "double counting" that occurs. CITY OF BOULDER FUND TRANSFERS SORTED BY ORIGINATING FUND (in $1,000s) 2006200720082009 FROMTO FUNDFOR ACTUALAPPROVEDAPPROVEDPROJECTED GENERAL Plng & Dev Svcs $$$$ Subsidy1,9032,0762,1702,221 Plng & Dev Svcs Excise Tax Admin5555 Affordable Hsng Subsidy391398406416 Recreation Activity Subsidy1,3361,6641,7851,827 Library Fund Subsidy5,3025,6056,0196,160 Open Space Subsidy9581,0131,0571,082 Downtown Commercial Meter Rev1,2411,2711,9422,215 University Hill Commercial Meter Rev175175258268 Water Utility Fund Wells Property0130130130 Transportation Photo Enforcement170000 Misc One-time Transfers Misc140000 $$$$ 11,62112,33713,77214,324 CAPITAL DEVELOPMENT General$$$$ Cost Allocation24262829 Plng & Dev Svcs Excise Tax Admin5555 $$$$ 29313334 PLANNING & DEVELOPMENT SVCS General$$$$ Cost Allocation1,2241,0381,0801,123 $$$$ 1,2241,0381,0801,123 AFFORDABLE HOUSING FUND General$$$$ Cost Allocation25101111 $$$$ 25101111 CMMNTY HSG ASST PRGM (CHAP) General$$$$ Cost Allocation16171718 Plng & Dev Svcs Excise Tax Admin5555 CDBG Section 108 Loan63000 $$$$ 84222223 .25 CENT SALES TAX General$$$$ Cost Allocation188149158164 Recreation Activity Bridge Funding030000 $$$$ 188449158164 RECREATION ACTIVITY $$$$ GeneralInterest Income30000 $$$$ 30000 OPEN SPACE General$$$$ Cost Allocation726743784832 General Sales Tax System033320 $$$$ 726776816832 CITY OF BOULDER FUND TRANSFERS SORTED BY ORIGINATING FUND (in $1,000s) 2006200720082009 FROMTO FUNDFOR ACTUALAPPROVEDAPPROVEDPROJECTED AIRPORT General$$$$ Cost Allocation53596164 $$$$ 53596164 TRANSPORTATION General$$$$ Cost Allocation1,0511,0201,0681,110 General Legislative Consultant0000 General Bldr Creek Maint0000 General HHS13131313 Recreation Activity Expand Program28282828 Plng & Dev Svcs Subsidy241184190196 Forrest Glen GID Subsidy4333 General Sales Tax System04400 $$$$ 1,3371,2921,3021,350 TRANSPORTATION DEVELOPMENT General$$$$ Cost Allocation6778 Plng & Dev Svcs Excise Tax Admin5555 $$$$ 11121213 COMMDVLPMNT BLOCK GRNT (CDBG) General$$$$ Cost Allocation24181819 CHAP Interest Income17000 $$$$ 41181819 HOME General$$$$ Cost Allocation3344 $$$$ 3344 PERMANENT PARKS AND RECREATION General$$$$ Cost Allocation52485052 Plng & Dev Svcs Excise Tax Admin5555 $$$$ 57535557 WATER UTILITY General$$$$ Cost Allocation1,0431,1051,1491,195 Plng & Dev Svcs Subsidy168173178183 General Legislative Consultant10101516 $$$$ 1,2211,2881,3421,394 WASTEWATER UTILITY General$$$$ Cost Allocation736757787819 Plng & Dev Svcs Subsidy168173179184 $$$$ 9049309661,003 CITY OF BOULDER FUND TRANSFERS SORTED BY ORIGINATING FUND (in $1,000s) 2006200720082009 FROMTO FUNDFOR ACTUALAPPROVEDAPPROVEDPROJECTED STORMWATER/FLOOD MGMT UTILITY General$$$$ Cost Allocation157183190197 Plng & Dev Svcs Subsidy101104107111 General Legislative Consultant10101516 $$$$ 268297312324 DOWNTOWN COMMERCIAL DISTRICT General$$$$ Cost Allocation129124129134 General Mall Improvements500500500500 $$$$ 629624629634 UNIVERSITY HILL COMMERCIAL DISTRICT General$$$$ Cost Allocation37313233 $$$$ 37313233 TELECOMMUNICATIONS General$$$$ Cost Allocation11101010 $$$$ 11101010 PROPERTY & CASUALTY INSURANCE General$$$$ Cost Allocation71656871 $$$$ 71656871 WORKER COMPENSATION INSURANCE General$$$$ Cost Allocation15313233 Recreation Activity Wellness Program80808080 $$$$ 95111112113 COMPENSATED ABSENCES General$$$$ Cost Allocation12131314 $$$$ 12131314 FLEET OPERATIONS General$$$$ Cost Allocation211221215224 $$$$ 211221215224 FLEET REPLACEMENT General$$$$ Cost Allocation37557275 $$$$ 37557275 COMPUTER REPLACEMENT General$$$$ Cost Allocation16141515 $$$$ 16141515 CITY OF BOULDER FUND TRANSFERS SORTED BY ORIGINATING FUND (in $1,000s) 2006200720082009 FROMTO FUNDFOR ACTUALAPPROVEDAPPROVEDPROJECTED EQUIPMENT REPLACEMENT General$$$$ Cost Allocation27303132 $$$$ 27303132 FACILITY RENOVATION & REPLACE General$$$$ Cost Allocation63697275 $$$$ 63697275 POLICE PENSION General$$$$ Cost Allocation16555 $$$$ 16555 FIRE PENSION General$$$$ Cost Allocation16555 $$$$ 16555 SUBTOTAL TRANSFERS$19,078$19,868$21,243$22,045 2008 Fund Activity Summary - Original Budget The following schedule reflects the impact of the 2008 budget for the City of Boulder, including estimated revenues (including transfers in) and appropriations (including transfers out), on projected unreserved fund balance. ProjectedProjected 01/01/08Estimated12/31/08 UnreservedRevenuesAppropriationsUnreserved Fund(Including(IncludingFund BalanceTransfers In)Transfers Out)Balance FUND TITLE General Fund11,941,00090,124,808(1)91,002,76711,063,041 Capital Development3,872,413428,131112,4404,188,104 Lottery512,379986,2231,000,000498,602 Planning and Development Services3,390,3908,435,4468,685,0983,140,738 Affordable Housing26,0313,497,0003,494,96728,064 Community Housing Assistance Program (CHAP)24,6111,635,1121,634,40625,317 .15 Cent Sales Tax1,351,5882,384,0002,670,7261,064,862 .25 Cent Sales Tax 1,500,9046,559,1426,637,5671,422,479 Library206,9126,716,6106,716,610206,912 Recreation Activity 937,7889,860,2699,916,758881,299 Climate Action Plan Tax0875,000875,0000 Open Space8,916,77424,366,33025,645,9877,637,117 Airport523,6001,065,5811,109,652479,529 Transportation4,534,54823,833,85726,769,7621,598,643 Transportation Development186,415820,000897,687108,728 Community Development Block Grant (CDBG)0909,313909,3130 HOME01,300,0001,300,0000 Permanent Parks and Recreation1,266,8242,207,0401,884,1741,589,690 General Obligation Debt Service45,315025,00020,315 .15 Cent Debt Service532,3591,451,0001,163,570819,789 Water Utility37,585,44826,546,20731,017,40333,114,252 Wastewater Utility10,992,06514,098,86415,771,8659,319,064 Stormwater and Flood Management Utility5,170,4427,727,0759,602,5853,294,932 Telecommunications 1,368,968755,2991,614,113510,154 Property and Casualty Insurance 3,298,9362,127,4011,597,8003,828,537 Worker Compensation Insurance3,612,5491,595,4181,656,3993,551,568 Compensated Absences2,669,030418,001394,2892,692,742 ProjectedProjected 01/01/08Estimated12/31/08 UnreservedRevenuesAppropriationsUnreserved Fund(Including(IncludingFund BalanceTransfers In)Transfers Out)Balance FUND TITLE Fleet 4,402,4596,976,0726,401,5394,976,992 Computer Replacement3,194,1321,612,7771,574,3913,232,518 Equipment Replacement2,550,274489,757562,2552,477,776 Facility Renovation and Replacement1,950,012864,9621,182,2811,632,693 Totals116,564,16250,666,69263,826,40103,404,45 6547 NOTE: (1) The General Fund estimated revenues include $403.932 from reserved fund balance for Economic Vitality and Urban Redevelopment. CITY OF BOULDER CHANGES IN FUND BALANCE (in $1,000s) INCREASE/(DECREASE) TO FUND BALANCE FROM 2008 FUND APPROVED BUDGET General (880) Community Housing Assistance1 Capital Development315 Lottery(14) Planning & Development Services(250) Affordable Housing2 .25 Cent Sales Tax(79) Library0 Recreation Activity(57) Climate Action Plan0 Open Space(1,279) Airport(44) Transportation(2,936) Transportation Development(78) Transit Pass GID - Forest Glen0 Community Development Block Grant (CDBG)0 HOME Investment Partnership Grant0 Permanent Parks and Recreation323 General Obligation Debt Svc(25) Water Utility(4,471) Wastewater Utility(1,673) Stormwater/Flood Mgmt Utility(1,876) (334) Downtown Commercial District (formerly CAGID) University Hill Commercial District (formerly UHGID)(155) Police Pension(5) Fire Pension(5) TOTAL(13,520) CITY OF BOULDER SUMMARY OF STANDARD FTEs (1) BY CITY DEPARTMENT 200620072008VAREXPLANATION OF VARIANCE APPROVEDAPPROVEDAPPROVED'07-'08 (2.) City Council1.001.001.000.00 City Attorney18.7519.7018.65-1.05-1.00 (Risk Mgmt xfer to Finance); -0.05 (reorganization) Municipal Court17.0018.5018.500.00 Administrative Servcies: City Manager's Office (3.)19.5019.5020.501.001.00 (position xfer from Finance) Finance 27.2528.8729.370.50-3.50 (payroll xfer to HR); 3.00 (Risk Mgmt xfer from CAO & HR); -1.00 (position xfer to City Manager's Ofc); 1.00 (Sales Tax Auditor); 1.00 (reallocation) Human Resources14.2514.6316.381.753.50 (payroll xfer from Finance); -2.00 (Risk Mgmt xfer to Finance); 0.25 (reallocation) Information Technology 32.7532.7535.252.502.50 (reallocation) Economic Vitality: DUHMD/Parking Services40.5042.2542.250.00 Econ Vit and Urban Redev2.002.002.000.00 Operations: Housing/Human Svcs53.4256.5156.24-0.27-0.27 (decrease in grants) Library78.9579.4580.200.750.75 (Action Plan item) Arts1.501.501.500.00 Office of Environ Affairs6.005.509.504.004.00 (added from Climate Action Plan tax) Open Space/Mtn Parks77.5883.2592.008.75-5.17 (fixed term positions); 13.92 (Action Plan items) Parks & Recreation 145.25144.62145.821.20.07 (reorganization); .25 (Action Plan item); .88 (reallocation) PW/Fleet16.9016.8716.870.00 PW/Transportation 62.9765.9968.242.251.00 (Action Plan item); 1.25 (reallocation) PW/Utilities 150.44154.93155.180.250.25 (reallocation) PW/FAM13.5113.5814.581.001.00 (reorganization) Planning & Dvlpmnt Svcs64.7469.3672.563.20-2.00 (ending fixed term positions);0.20 (reorganization); 3.00 (Action Plan items); 2.00 (reallocation) Public Safety: Police 263.25269.25273.254.004.00 (Fire dispatch moved from Bldr Co to COB Police) Fire111.33111.33111.330.00 TOTALS1,218.841,251.341,281.1729.83 NOTES: (1) The FTE counts include standard Management, BMEA, Fire and Police positions; they also include capital and grant-funded standard positions (2.) The FTEs for 2008 do not reflect the FTEs on Attachment A to the Budget Message (those FTEs related to the recommended Action Plan items) (3.) The areas included in the City Manager's FTE count are: - City Manager's Office/Support Services - Internal Audit - Communications DEBT POLICY AND ADMINISTRATION Debt Policy As stated in Section 7 of the Citywide Financial and Management Policies, debt shall be considered only for capital purchases/projects and the term of the debt shall not exceed the useful life of the financed asset. Municipal bonds, Interfund loans, equipment leases (with the exception of vehicles) and sale/leaseback agreements are approved methods for financing capital projects. Debt Administration At December 31, 2007, the City had a number of debt issues outstanding made up of (amounts in 000's): $ 88,185 General Obligation Bonds Payable (Includes $20,431 of General Improvement District Bonds which are a debt of the Central Area General Improvement District) 110,603 Revenue Bonds Payable 2,065 Certificates of Participation (which are a debt of the Boulder Municipal Property Authority) In addition, there were $16,878,000 of Lease Purchase Revenue Notes Payable and $1,560,000 payable under a Revolving Credit Facility Agreement outstanding at December 31, 2007. The Combined Schedule of Long-Term Debt Payable and the current debt schedules by fund for 2008-2013 present more detailed information about the debt position of the city. The city's general obligation credit rating has been established as Aa1 by Moody's Investors Service and AA+ by Standard & Poor's. The city’s revenue bond credit rating has been established as Aa2 by Moody’s Investors Service and AA+ by Standard and Poors. The primary reasons for these high rating levels are the general strength and diversity of the Boulder economy anchored by a major university; above average income indicators; strong financial performance and reserve policies; and affordable debt levels. Under the City Charter, the city's general obligation bonded debt issuances are subject to a legal limitation based on 3% of total assessed value of real and personal property. None of the city's outstanding debt is supported by property taxes. As a result, all bonded debt is considered to be self-supporting and the ratio of net bonded debt to assessed valuation is zero. The actual calculation of the debt margin is presented in the Computation of Legal Debt Margin schedule. As of November 30, 2007, the City does not anticipate issuing additional debt in 2008. Supplementary Schedule Combined Schedule of Long-Term Debt Payable December 31, 2007 (Amounts in 000's) InterestDatesAuthorizedCurrent ratesIssuedMaturityand issuedOutstandingportion Governmental Activities: Supported by sales tax revenues and other financing sources: General Obligation Bonds: Open Space Acquisition Refunding4.35 - 4.55%8/11/988/15/10$10,185 $3,055 $980 Open Space Acquisition Refunding3.50 - 5.007/06/998/15/1317,485 9,050 1,305 Parks Acquisition Refunding4.50-5.3759/07/9912/15/1522,385 15,375 1,620 Open Space Acquisition 5.00 - 7.504/25/008/15/108,535 3,210 1,015 Open Space Acquisition 4.00 - 5.506/20/068/15/1920,115 18,905 1,255 Premium on Bonds 324 Open Space Acquisition Refunding3.50 - 4.006/26/078/15/1812,345 12,175 100 Premium on Bonds 67 Refunding Bond Charges (716) Parks, Recreation, Muni.,Cap., Imp., Ref.4.00 - 4.309/11/0112/1/125,255 2,480 460 Premium on Refunding Bonds 9- - Refunding Bond Charges (63)- - Library Capital Improvement Refunding3.50 - 4.201/08/0210/01/119,250 3,975 970 Premium on Refunding Bonds 9- - Refunding Bond Charges (101)- - 67,754105,555 7,705 Sales Tax Revenue Bonds: Open Space Acquisition Sales Tax Revenue Refunding Bonds4.75 - 5.257/15/998/15/1415,835 8,810 1,090 FNMA Revolving Credit Facility Agreementvariable3,000 1,560 1,560 Compensated Absences - estimated 9,545- 2,679 Total Governmental Activities and total supported by sales tax revenues and other financing sources$124,390 $87,669 $13,034 (continued) CITY OF BOULDER, COLORADO Supplementary Schedule Combined Schedule of Long-Term Debt Payable, (continued) December 31, 2007 (Amounts in 000's) InterestDatesAuthorizedCurrent ratesIssuedMaturityand issuedOutstandingportion Business-type Activities: Supported by utility revenues: Revenue Bonds: Water and Sewer4.00 - 5.5012/19/0112/01/2128,830 22,495 1,215 Water and Sewer Revenue Refunding Bonds3.00 - 3.755/01/0512/01/167,900 6,460 620 Refunding Bond Charges -(160) Water and Sewer Revenue Refunding Bonds4.00 - 4.1256/08/0712/01/1925,935 24,960 2,260 Refunding Bond Charges (1,143) Water and Sewer3.50 - 5.0011/15/0512/01/2545,245 42,155 1,665 Premium on Bonds 1,026- - Water and Sewer Revenue Refunding Bonds3.00 - 3.505/01/0512/01/121,110 770 145 Storm Water & Flood Mgmt Rev. Rfdg.3.65 - 5.106/09/9812/01/189,680 5,230 550 101,793118,700 6,455 Compensated Absences-estimated 1,340- 249 Total supported by utility revenues 103,133118,700 6,704 Supported by parking revenues: General Obligation General Improvement District Bonds: Central Area General Improvement District: Parking Facilities2.50 - 4.206/17/038/15/2312,500 11,030 520 Premium on Bonds 121 Parking Facilities4.00 - 5.006/23/986/15/1813,500 9,280 645 20,43126,000 1,165 Compensated Absences - estimated 102- 19 Total supported by parking revenues 20,53326,000 1,184 Supported by base rentals: Refunding Certificates of Participation Series : Boulder Municipal Property Authority: East Boulder Community Center4.125 - 5.001/08/9812/01/125,750 2,605 475 2,6055,750 475 Lease Purchase Revenue Notes: Boulder Municipal Property Authority: Open space acquisition: Beech3.875 - 12.3153/03/883/02/081,250 171 171 AutreyNote 1989B-IV6.507/21/897/21/0790 9 9 K-InvestmentsNote 1990C7.004/10/904/10/10574 142 44 (continued) CITY OF BOULDER, COLORADO Supplementary Schedule Combined Schedule of Long-Term Debt Payable, (continued) December 31, 2007 (Amounts in 000's) InterestDatesAuthorizedCurrent ratesIssuedMaturityand issuedOutstandingportion Lease Purchase Revenue Notes (continued): Boulder Municipal Property Authority: Open space acquisition: MardickNote 1991G7.0010/03/9110/03/11225 72 16 StepanekNote 1995A6.006/07/956/07/10249 69 22 JoderNote 1996A6.004/22/964/22/111,400 499 114 LousbergNote 1996B6.005/30/966/01/11850 303 69 HenriksonNote 1997C6.006/25/976/25/12383 166 29 FoothillsNote 1997G7.007/16/977/16/171,095 726 53 MarshallNote 1997H-26.009/17/979/17/07300 38 38 DeggeNote 1998A6.0011/12/9811/12/08440 56 56 Van VleetNote 1999B6.003/5/993/5/142,500 1,437 171 SteeleNote 2000A6.002/01/002/08/08300 46 46 WrightNote 2000B6.002/18/002/18/10450 163 51 DexterNote 2000C6.002/01/002/01/10750 272 86 Johnson, FamilyNote 2001A-R16.001/10/011/10/11245 116 26 Johnson, WifeNote 2001A-R26.001/10/011/10/11300 141 32 HesterNote 2001B6.006/01/016/01/11580 273 62 SuittsNote 2001C6.0010/31/0110/31/111,675 1,675 - AbbottNote 2001D6.0012/05/011/14/13430 270 32 William & Assoc.Note 2001E-R16.0011/21/0111/21/11230 230 - Suitts, EnterprisesNote 2001E-R26.0011/21/0111/21/11420 420 - Edward H. KolbNote 2002A-R16.008/15/028/15/12242 138 25 John B. KolbNote 2002A-R26.008/15/028/15/12242 138 25 Frederick M. KolbNote 2002A-R36.008/15/028/15/12242 139 25 Helayne B. JonesNote 2003A6.006/20/036/20/13715 478 68 DagleNote 2004A4.7512/1/200412/1/2014770 575 71 GisleNote 2005A4.752/18/052/18/171,180 1,026 83 HillNote 2005B4.754/05/054/05/15910 760 80 5.00 LuchettaNote 2005C8/05/058/05/20720 652 37 5.00 Boulder Valley Farm, Inc.Note 2006A6/16/066/16/163,550 3,268 296 5.00 Joel & Ruth EisenbergNote 2006B6/07/066/07/161,206 1,110 101 15,57824,513 1,938 Parks Land acquisition: DeggeNote 1998B6.0011/12/9811/12/081,250 160 160 1601,250 160 Boulder Transit Villiage acquisition: 30th & Pearl, LLCNote 2004B6.5010/14/041/01/112,600 1,140 469 16,87828,363 2,567 Total supported by base rentals 19,48334,113 3,042 Total Business-type Activities$178,813 $143,149 $10,930 CITY COUNCIL CITY COUNCIL CITY MANAGER CITY ATTORNEY MUNICIPAL JUDGE 2008 BUDGET $300,108 City Council 100% 2008-09 BUDGET CITY COUNCIL 2006200720082009 ACTUAL APPROVED APPROVED PROPOSED BUDGET BY PROGRAM City Council$281,518$294,507$300,108$307,584 $$$300,108$ TOTAL281,518294,507307,584 BUDGET BY CATEGORY Personnel Expenses$100,005$114,853$117,882$121,713 Operating Expenses179,253175,653179,226182,811 Interdepartmental Charges2,2594,0003,0003,060 TOTAL$281,518$294,507$300,108$307,584 BUDGET BY FUND General$281,518$294,507$300,108$307,584 TOTAL$281,518$294,507$300,108$307,584 AUTHORIZED FTE's Standard FTE's1.001.001.001.00 TOTAL1.001.001.001.00 2008-09 BUDGET CITY COUNCIL MISSION STATEMENT To serve as the governing body for the City of Boulder, providing policy direction and leadership to the city organization. BUSINESS PLAN NARRATIVE Through the establishment of Council Goals, the Boulder City Council sets policy and direction. During the January 2006 City Council Retreat, the Council restructured its committees and approach around the community sustainability concept. This resulted in three Council Committees with corresponding impact tools: 1) Social; 2) Environmental; and 3) Economic. An outcome of the 2007 City Council Mid-Term Retreat was to meet as a Committee of the Whole each month to review Council initiatives using these tools. The following are the definitions for providing that information: Economic: Overall economic impacts on the business community which could impact city revenues; promotes a diverse and sustainable economy that supports needs of all segments of the community; may also include intergovernmental relations or issues. Environmental: Overall impacts based on environmental concerns such as transportation, climate, energy, greenhouse gas emission, recycling; considers balance of renewable and non-renewable resources; may also include intergovernmental relations or issues. Social: Overall impacts on the needs of diverse communities, e.g. different ethnicities and cultures, abilities, age, income, family demographics, under-represented residents; engages broad segments of community for input; may also include intergovernmental relations or issues. The current initiatives that council has identified: 1.Bicycle Summit 2.Executive Sessions 3.Upgrading Green Points Program 4.Increase City Purchasing of Renewable Energy (Purchase improved pricing through partnerships) 5.Small Car Initiative 6.Sister City project for Cyber Café in Dushanbe 7.Redevelop the Boulder Mobile Manor (BPH project) 8.Re-evaluate Floor Area Ratios decision (FAR’s) 9.Complementary Currency Consideration 10.CAP Symposium for press and delegates at 2008 Democratic Convention 11.Baseline Reservoir- work on IGA with Lafayette to improve recreational opportunities GUIDING PRINCIPLES OR INVESTMENT STRATEGY 1.)Essential Services include: Council salary, a portion of administrative support tied to primary Council functions including agenda preparation, costs associated with legal notifications and boards and commissions. All of the above are mandated by Charter or are essential to conduct the business of Council. 2.)Desirable Services include: Administration and Intergovernmental Memberships, includes Council administrative support not directly linked to mandated responsibilities, and membership in the following intergovernmental organizations: DRCOG $31,000, CML $69,426 and Metro Mayor’s Caucus $7,120. 3.)Discretionary Services include: Council meals and travel. OVERVIEW OF ACTION PLAN Please refer to Attachment B of the 2008-09 Budget Message for a listing of those Action Plan Items that were recommended for funding. The listing is presented in order by fund and department. Please see the section titled “City Council Direction on the Recommended Budget” for any changes from Attachment B. OVERVIEW OF VISION PLAN To lead a progressive community that fosters quality of life, is a world leader on environmental issues, is economically sustainable, provides equitable housing and is at the forefront of transportation issues while being inclusive of all. PERFORMANCE MEASURES ActualTargetTargetTarget 2006200720082009 Number of days to 95% respond to public Within 10 Within 10 Within 10 correspondence1,891 items of days after days after days after when additional correspondence CACCACCAC response is directed were received by CAC this year. CITY ATTORNEY CITY ATTORNEY PROSECUTION & CIVIL CONSULTATION & ADMINISTRATION LITIGATION ADVISORY 2008 BUDGET $1,819,090 Prosecution and Administration Civil Litigation 10% 31% Consultation & Advisory 59% 2008-09 BUDGET CITY ATTORNEY 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM CITY ATTORNEY 780000 City Attorney$$$$ Prosecution-15000 765000 ADMINISTRATION Administration 170,186175,457184,570189,801 170,186175,457184,570189,801 CONSULTATION & ADVISORY Consultation & Advisory 920,881985,1571,062,0781,095,973 920,881985,1571,062,0781,095,973 PROSECUTION AND CIVIL LITIGATION Prosecution and Civil Litigation 644,336632,086572,442589,944 644,336632,086572,442589,944 $$$$ TOTAL1,736,1691,792,6991,819,0901,875,718 BUDGET BY CATEGORY Personnel Expenses$1,532,176$1,594,975$1,619,741$1,672,382 Operating Expenses188,029175,494177,119180,661 Interdepartmental Charges15,96322,23022,23022,675 Capital0000 TOTAL$1,736,169$1,792,699$1,819,090$1,875,718 BUDGET BY FUND General$1,736,169$1,792,699$1,819,090$1,875,718 TOTAL$1,736,169$1,792,699$1,819,090$1,875,718 AUTHORIZED FTE's Standard FTE's18.7519.7018.6518.65 TOTAL18.7519.7018.6518.65 2008-09 BUDGET OFFICE OF THE CITY ATTORNEY MISSION STATEMENT We work for Boulder to deliver the highest quality municipal legal service. We achieve this by providing responsive, creative, and timely advice. We back our advice with cost-effective litigation services when necessary. BUSINESS PLAN NARRATIVE The City Attorney’s Office has completed many of the reorganization and adaptation measures identified in the January 2005 “Organizational Review and Management Analysis of the City Attorney’s Office.” Some of the highlights include: Implementing a practice management system. This system increases productivity by reducing the time spent on routine tasks such as document production, time keeping and project tracking; Dedicating substantially greater staff resources to the Human Resources Department; Introducing a customer service feedback program for our public interactions on claims against the city; Emphasizing recovery of compensation for damage to city property (usually as the result of car accidents); Continued development of our in-house litigation group. Training, teaching and staff development continue to be emphasis areas for the office. The CAO’s management philosophy is built around the use of life long learning techniques, such as internal teaching and training opportunities, to inspire, retain and develop city attorneys. GUIDING PRINCIPLES OR INVESTMENT STRATEGY 1) Essential Services A. Administration: Supporting legally-required continuing legal education for staff attorneys is essential. File maintenance, timekeeping and reporting, and updating the municipal code is also essential. B. Advisory Services: Support for the City Council and the City’s advisory boards and commissions is essential, as is compliance with the Colorado Open Records Act, elections law, Council agenda support, bond finance and tax matters, water rights defense, and providing conflict of interest advice. In addition, support for operating departments is essential when that support is part of their efforts to meet their own essential functions or the City Council’s goals. C. Litigation Services: The CAO is legally obligated to defend the City in civil litigation and to prosecute criminal matters within the Boulder Municipal Court’s jurisdiction. 2) Desirable Services A. Administration: Providing intra-departmental coordination and training is desirable. B. Advisory Services: Support for operating departments is desirable when that support is part of their efforts to provide desirable services.Other desirable services include legal maintenance of the City’s extensive real estate and affordable housing portfolio, providing responsive support to public inquiries, and supporting the City’s legislative agenda. C. Litigation Services: Providing proactive litigation services to challenge the actions of other persons and entities when those actions are contrary to the City’s interests is desirable. Pre-prosecution counseling and informal dispute resolution is also desirable. Work done on behalf of the Office of Environmental Affairs is desirable and includes the city’s leadership in the key “global warming” lawsuit, Friends of the Earth v. Peter Watson (in the United States District Court for the District of Northern California, Docket No. C 02-4106 JSW, see http://www.climatelawsuit.org), litigation on implementation of Amendment 37 (renewable energy portfolio requirements), and Xcel Energy cases pending before the Colorado Public Utilities Commission. 3) Discretionary Services A. Administration: Administrative time reporting to operating departments is discretionary. B. Advisory Services: All other advisory services are discretionary. C. Litigation Services: All other litigation is discretionary, such as Amicus Curiae (friend of the court) participation in significant cases. OVERVIEW OF ACTION PLAN Please refer to Attachment B of the 2008-09 Budget Message for a listing of those Action Plan Items that were recommended for funding. The listing is presented in order by fund and department. Please see the section titled “City Council Direction on the Recommended Budget” for any changes from Attachment B. PERFORMANCE MEASURES ActualTargetTargetTarget 2006200720082009 1.Criminal Victim One hundred One hundred One hundred Prosecution:Offenderthirty formal thirty formal thirty formal Maintain the Reconciliationreferrals and referrals and referrals and number of Program continue to continue to continue to Municipal Court (VORP) - 42 work with work with work with matters submitted Communitymunicipal court municipal court municipal court for alternative Mediationto utilize a to utilize a to utilize a dispute resolution Servicevariety of variety of variety of and restorative (CMS) - 63 community-community-community- justice resolution. Coloradobased justice based justice based justice Universitymodels and models and models and Restorative agencies.agencies.agencies. Justice (CURJ) - 353 ========== Total - 458 2.Risk Management: Sent 44 (100%) Claims Continue recent survey cards to management efforts to improve individualwas transferred systems and claimants from to the Finance efficiencies51 total claims Department in regarding claims received.2007. This is management. ___________no longer a City Attorney Avg. turn Performance around time = Measure 10 days. ActualTargetTargetTarget 2006200720082009 3.Outside Lawyers: Sr. paralegal Institute formal Institute formal Institute formal Standardize the assigned task of procedures for procedures for procedures for procedures and contract and outside counsel outside counsel outside counsel oversightinvoice review contractcontractcontract mechanism for and monitoring review/renewalreview/renewalreview/renewal managing the work of procedural and actively and actively and actively performed by and financial monitor 100% monitor 100% monitor 100% outside lawyers. contractoutside counsel outside counsel outside counsel compliance. invoices by invoices by invoices by CAO staff.CAO staff.CAO staff. ProvideProvideProvide increased increased increased accountabilityaccountabilityaccountability for budgeting for budgeting for budgeting outside counsel outside counsel outside counsel funds.funds.funds. MUNICIPAL COURT MUNICIPAL COURT ADJUDICATIONCASE MANAGEMENTADMINISTRATION 2008 BUDGET $1,604,519 Administration Adjudication 23% 24% Case Management 53% 2008-09 BUDGET MUNICIPAL COURT 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM ADJUDICATION $ Adjudication305,431$341,989$381,681$393,418 305,431341,989381,681393,418 CASE MANAGEMENT Traffic/ General/ Animal 210,427240,476284,362293,364 Parking Support 167,002196,835220,124225,991 Photo Enforcement 96,535192,154164,544169,687 Probation Services163,133203,306 183,889189,604 637,096832,770852,920878,646 ADMINISTRATI0N Administration 385,361350,895369,919381,031 385,361350,895369,919381,031 TOTAL $1,327,889$1,525,654$1,604,519$1,653,095 BUDGET BY CATEGORY Personnel Expenses$1,039,694$1,248,504$1,318,866$1,361,729 Operating Expenses226,144252,012236,836241,572 Interdepartmental Charges56,83025,13848,81749,794 Capital5,221000 TOTAL$1,327,889$1,525,654$1,604,519$1,653,095 BUDGET BY FUND General$1,327,889$1,525,654$1,604,519$1,653,095 TOTAL$1,327,889$1,525,654$1,604,519$1,653,095 AUTHORIZED FTE's Standard FTE's17.0018.5018.5018.50 TOTAL17.0018.5018.5018.50 2008-09 BUDGET MUNICIPAL COURT MISSION STATEMENT The mission of the Boulder Municipal Court is: To provide an accessible, efficient, and impartial forum for all participants in cases involving municipal ordinance violations; To adjudicate cases consistent with the law, the needs of the individual, and the community’s values; and To promote public trust in both the justice system and local government. BUSINESS PLAN NARRATIVE The Court has continued to manage service demands through significant changes in operations. Cross-training as well as workload assessments remain key activities used to address delivery of services. Responding to routine procedures by capitalizing on technology is also one of the Court’s major objectives. Initial Strategic Planning efforts clearly identified management of parking violations as the most seriously deficient service standard in the department. Much of the focus of the past three years has involved replacing a twenty-four year old parking system with a state-of-the-art, web-based, industry leading software solution. Completed project phases include the ability to make payments and file appeals on-line through e-commerce. The Court has improved this deficient service area and parking activities now meet minimal acceptable service standards. While the Court has worked very hard to preserve service standards of core functions; resource reductions inevitably have had a negative impact on some aspects of service delivery. The Court has experienced a lower performance in several service areas including accuracy of data entry, and financial/budgetary reporting and analysis. These service standard reductions have been largely invisible to the public. Over the past four years the Court has been operating at the absolute minimum staffing and funding level necessary to maintain current functions. Court staff is very challenged by the demands inherent in the performance of their increased level of duties. Administrative personnel are also challenged by the increased oversight and audit trails necessary to manage new technologies used to gather revenue such as e-payment and expanded collection interfaces. Department leaders have taken on additional responsibilities with increased workload in an effort to meet the short-term budget limitations. At current staffing levels, there is no room to further increase the obligations of staff or the department’s leadership to manage the Court’s workload. The result is that administration service standards have decreased and options are being explored internally to attempt to improve the service delivery without adding additional staff. GUIDING PRINCIPLES OR INVESTMENT STRATEGY The guiding principles of the Court are: Commitment to simplicity in procedure Fairness in administration Elimination of unjustifiable expense and delay Professional development of employees/employee retention 1.)Essential Services include activities legally mandated by City Charter and that support adjudication of city ordinances. Judge and support staff roles involve court proceedings including arraignments, trials, and hearings. The Violations Bureau processes traffic, general, animal, and parking violations and collects associated revenue. Probation Services activities include interactions with probationers and monitoring compliance with the integrity of Court orders. Administrative functions encompass financial, project, office management, staff evaluation, and training. 2.)Desirable Services include various judicial and probation services activities in alternative sentencing including Restorative Justice and offender education. These activities involve collaboration with the University of Colorado and city Community Mediation Services. Elimination of these partnerships would shift the processing of these cases back to traditional court proceedings and place the activity into our essential services. Additionally, mailing certain parking overdue letters need not occur as often as the Court is currently accomplishing this task. However, the Court believes there is a dual benefit of notifying the public and positive impact to collection efforts that make this activity highly desirable. Lastly, staff attendance at and involvement in various community or inter-departmental meetings are activities which advance desired community values. These meetings include task forces and subcommittees addressing a wide range of subjects such as data sharing, financial security issues, and town-gown relations. 3.)Discretionary Services include judicial community outreach including participation in Citizen Police Academy, school programs, collaboration with other courts, university, and city departments. OVERVIEW OF ACTION PLAN Please refer to Attachment B of the 2008-09 Budget Message for a listing of those Action Plan Items that were recommended for funding. The listing is presented in order by fund and department. Please see the section titled “City Council Direction on the Recommended Budget” for any changes from Attachment B. OVERVIEW OF VISION PLAN The Municipal Court’s vision is to be a leader among all Courts in providing: Effective, fair, and responsive justice to all; Relevant public outreach and education; Non-traditional and/or innovative approaches to adjudication; Internal and external customer service that sets the standard for any organization to follow; and A positive, inclusive, and respectful environment for all stakeholders. PERFORMANCE MEASURES ACTUAL TARGET TARGET TARGET 2006200720082009 1.Median time for length of an arraignment 2 – 2 ½ 2 – 2 ½ 2 – 2 ½ 2 – 2 ½ sessionhourshourshourshours (2 – 2 ½ hours) ADMINISTRATIVE SERVICES CITY MANAGER CITY MANAGER MANAGER'SCITY MANAGER'S OFFICENON-DEPARTMENTAL CONTINGENCYAdministrationCONTRACTS & City Clerk / Support ServicesCITYWIDE PROGRAMS Communication Economic Vitality Internal Audit 2008 BUDGET $5,395,477 Manager's Contingency 7% Non-Departmental Contracts & Citywide Programs 42% City Manager's Office 51% 2008-09 BUDGET CITY MANAGER'S OFFICE 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM CITY MANAGER'S OFFICE $689,652$759,807$850,015$876,548 Administration 689,652759,807850,015876,548 INTERNAL AUDIT Internal Audit136,119149,541154,259 128,244 128,244136,119149,541154,259 ECONOMIC VITALITY Economic Vitality Program 374,766250,000292,9000 Urban Redevelopment Program 110,583111,032111,0320 403,932 485,349361,0320 CITY CLERK / SUPPORT SERVICES City Clerk Administration 227,078251,537270,264278,605 Elections100,66982,236116,020118,850 Licensing 64,43465,89669,58071,670 Records Management 180,641206,607235,284242,230 Campaign Financing43,000046,000 4,976 577,799649,276691,148757,356 COMMUNICATION Communication Administration170,667193,553199,456 175,163 Municipal Channel 8287,907318,105327,357 347,883 Neighborhood Services40,65143,90145,117 4,852 University Liaison69,97677,60980,125 63,719 591,618569,201633,168652,055 TOTAL$2,472,662$2,475,436$2,727,803$2,440,218 BUDGET BY CATEGORY Personnel Expenses$1,927,926$1,909,310$2,125,936$1,971,602 Operating Expenses467,025461,548485,124351,781 Interdepartmental Charges77,711104,577116,743116,834 Capital0000 TOTAL$2,472,662$2,475,436$2,727,803$2,440,218 BUDGET BY FUND General$2,472,662$2,475,436$2,727,803$2,440,218 TOTAL$2,472,662$2,475,436$2,727,803$2,440,218 AUTHORIZED FTE's Standard FTE's21.5021.5022.5022.50 TOTAL21.5021.5022.5022.50 2008-09 BUDGET CITY MANAGER’S OFFICE MISSION STATEMENT We provide timely, accurate, accessible information and the administration and execution of policies, representing the City of Boulder with integrity, professionalism and progressive leadership. The mission of the City Manager’s Office is to provide professional leadership in the administration and execution of policies and objectives formulated by City Council, the development and recommendation of alternative solutions to community problems for Council consideration, the planning and development of new programs to meet future needs of the city, and government through excellent customer service. The Policy Advisor’s Office provides staff representation and communication on intergovernmental matters, and guidance on cross-departmental city policies, on behalf of the City Council and all city departments, in order to further city goals and advance understandings and mutually beneficial alliances with other governmental organizations. Internal Audit provides audit and consulting information and analysis for city of Boulder management to promote effective and efficient operations of city departments and programs, to promote effective management controls, to protect the assets of the city of Boulder, and to ensure the integrity of administration and execution of policies. Communication provides information, education and resources to the Boulder community, its stakeholders and city staff and policymakers in an effort to support an open government, build a healthy and informed community, and ensure excellent customer service. Boulder Channel 8 provides current and accessible community and government information to viewers so they may participate more fully and effectively in the creation and preservation of Boulder's unique quality of life. Support Services/City Clerk’s Office provides program administration, excellent customer service, guidance and access to information and resources, and various levels of support for our diverse customers to foster informed, open and participatory government while meeting legal requirements. Economic Vitality supports an economic environment of partnership, collaboration, innovation and opportunity with the private sector to achieve a vibrant and healthy economy. BUSINESS PLAN NARRATIVE City Manager’s Office The City Manager’s Office (CMO) provides an array of services and programs to the organization and the community. The ongoing challenge is to maintain quality customer service as we recover from prior year reductions and the ambitious work plan driven by Council goals and complex initiatives. As part of recovering and working with the business plan to evaluate services in our fiscally constrained budget, the City Clerk/Support Service Division is undertaking an effort to review its services and explore re-structuring/re-organizing where opportunities to maximize effectiveness present themselves. This effort should be complete by October of 2007. A direct outcome of utilizing the business plan and prioritizing services has led to reallocation of resources and the ability to restore the Assistant to the City Manager position. The Assistant to the City Manager performs a variety of complex assignments including: policy analysis and recommendations, report preparation and drafting correspondence, project research and coordination, management of Hotline and Council Correspondence. This was a transfer of 1 FTE from Finance in 2007. The City Manager’s Office continues to utilize interns for Economic Vitality, Communication, University Liaison and has extended the program to Channel 8. The internship program continues to be invaluable in that we are able to attract talented resources that address issues/work that we would have otherwise had to discontinue. Internal Audit An RFP for Fraud Hotline services has been issued and responded to by five vendors. The Fraud Hotline implementation schedule will depend on a vendor selected, contract completion process, and the availability of personnel to implement the hotline. Once implemented an evaluation will be conducted and any on-going issues will be brought forward in the 2009 budget. Policy Advisor Having completed the Washington Elementary School project in 2006, the Policy Advisor's Office was able to increase its service level on intergovernmental policy matters. Beyond providing the usual support for effective city participation with its regional partners, this also included specific intergovernmental policy efforts relating to the proposed multi-modal improvements to the US 36 corridor, exploration of regional revenue sharing possibilities, and analyzing and facilitating consideration of requests made of the city's education excise tax fund. While the Policy Advisor's federal legislative lobbying efforts continue at an appropriate service level standard, insufficient resources dedicated toward lobbying at the state legislature continue to account for below service level standards of representation for the city on state legislative matters. This resource deficiency is significantly less problematic during the eight-month period when the state legislature is not in session and when only limited demands are placed on the Policy Advisor by interim committee work and proactive planning for the next session. Economic Vitality The city of Boulder established its Economic Vitality Program in 2003 to reinforce the importance of economic health to our overall quality of life and to demonstrate the city’s support of business and economic development. Funding was approved for five years from the Boulder Urban Renewal Authority (BURA) Bond reserves and a base budget of $250,000 per year for five years was established (with carry over of unused funds each year)continuing until the end of 2007.In 2005, the City of Boulder teamed with the Boulder Economic Council and brought forth the Economic Vitality work plan. In 2006 a Business Liaison intern were hired, and a Business Incentive pilot program was implemented. Over the past few years, the Economic Vitality program has evolved from an account with funds for economic development related needs to an active and visible city program with staff providing customized services to Boulder businesses, ranging from small businesses, to local start ups, to larger companies. Proactive city efforts include a business retention and expansion program, community outreach, and “troubleshooting” assistance with city-related issues. All efforts have received positive feedback from the business community indicating that this is a useful and needed program that is essential to the city’s sustainability.Economic Vitality staff is scheduled to update Council at its August 14, 2007 study session on the status of the Economic Vitality Work Program and the business incentives pilot program. Just as the Economic Vitality Program begins to take shape and gain momentum, the original funding is expiring. On-going funding for this effort is critical in order to grow revenues essential to funding basic and enhanced city services. It is projected that there will be a fund balance of $542,478 at the end of 2007. This fund balance, if authorized by Council, will extend the program through 2008. Ongoing economic vitality funding past 2008 would require City Council approval of a general fund source in the 2009 budget. Communication The Communication division has absorbed the reduction of a Director of Communication, a .5 FTE administrative assistant and three FTE’s at Channel 8. In light of this, the Communication team seeks to provide openness, accuracy, consistency and accessibility of local government information, resources and relationships. Key projects this group has been involved with in the last year include: South Platte wells, community dialogue, alcohol issues, diversity issues, CMO internship program, emergency preparedness, crisis communication, prairie dog issues, economic vitality, public meeting notification, West Nile Virus, and ongoing efforts to provide neighborhood services, media relations, communication resources, Channel 8 programming and university relations. The continually growing list of high profile city issues, such as the ones listed above requiring strategic and coordinated communication to the public, presents an ever growing challenge to an understaffed Communication division. With limited resources and an ever-changing media landscape, the CMO communication team has used creativity and ingenuity to increase opportunities for getting out the city's messages. By using existing formats and re-engineering current tools using the city's Web site, Municipal Channel 8 and the local media, city departments have been able to send their messages about their programs consistently, frequently and effectively. Examples of this include upgrading Channel 8's Update Boulder program to include interviews with City Council; using the city's weekly News Briefs to create Channel 8's What's Happening Boulder program and to enhance the city's electronic bulletin board on Channel 8; hiring non-paid interns to track media coverage, work on special research projects (including researching community newsletters across the Front Range), and assist in producing some of the Channel 8 programs as listed above; and working more closely with local reporters (through twice-monthly Manager Media Meetings) and public information staff (through monthly or quarterly meetings between PIOs) across the organization to create communication plans and strategies in a more proactive, less reactive way. The ability to provide more direct city-to-resident communication through webstreaming, podcasting, print and television will be limited by the corresponding staff increase necessary to accomplish this. Licensing The Licensing Clerk, in addition to day-to-day operations, continues to work with the various committees on the on-going effort to support Council Resolution No. 960. With one full year of the implementation of the new Beverages Licensing Authority (BLA) rules and the information sharing effort between departments, the work of the liquor licensing office increased approximately 18 percent with no additional funding or increase in FTE. The increase is directly related to an increase in the number of applications and the changes brought forward by the new BLA rules. Overall, the rules call for a higher level of investigation and information sharing when preparing New, Transfer, Change-Alter- Modification and Renewals for approval. Following are examples of volume and time demand to administer liquor licensing: In 2000 there were 8 new licenses, in 2006 that number increased to 20. In 2000, the estimated time to handle a new application over a three month timeline was 20 hours. In 2006, this increased to 27 hours due to the additional investigation detail that is now presented to the BLA to consider when approving or denying a license. In 2000, the licensing office handled a total of 31 applications; 19 Show Cause Hearings and 0 Renewal Hearings. In 2006, this increased to 32 applications, 25 Show Cause Hearings and 11 Renewal Hearings or a 26% increase in volume. In 2000, this office handled 33 Special Event Liquor licenses; this increased to 51 in 2006 and continues to grow in 2007. Elections The cost of elections continues to grow as a direct outcome of the requirements outlined in the Help America Vote Act (HAVA). Our election costs have doubled in the last year as HAVA requires additional levels of outreach to voters and improved security provisions. Even with the progress we have made there are still areas that continue to be impacted by the reductions from previous years. The organization has managed to address as much as it can by strategic planning, leveraging technology and reallocating resources in the context of the business of the day with marginal decrease in service standards. At this time any additional funding in operating goes to the growing cost to provide service at the current level vs. being able to apply it to improving service standards. GUIDING PRINCIPLES OR INVESTMENT STRATEGY In support of our community, open government and the city of Boulder municipal organization with progressive leadership. The City Manager’s Prioritization is as follows: 1.)City Administration (Essential): Management and administration to the municipal organization and support to City Council, as well as items mandated by local charter or state and federal law. These include the City Manager, Primary City Clerk responsibilities, Elections, Records Management, and Liquor and miscellaneous licensing. 2.)Administration & Programs (Desirable): Whereas these services are not essential to the safety, health and welfare of the city, they are highly desirable in the underlying value that they bring to the community, indirect cost savings to the organization and effectiveness of the City Manager. These include Deputy City Managers, City Manager Support, Policy Advisor, Communication, Municipal Channel 8, Internal Audit and Economic Vitality. 3.)Additional Administration (Discretionary): This area includes additional administration that is not tied to charter or local and state law. This area of the budget has sustained a 100 percent reduction. OVERVIEW OF ACTION PLAN Please refer to Attachment B of the 2008-09 Budget Message for a listing of those Action Plan Items that were recommended for funding. The listing is presented in order by fund and department. Please see the section titled “City Council Direction on the Recommended Budget” for any changes from Attachment B. OVERVIEW OF VISION PLAN Policy Advisor: The Policy Advisor is the city’s primary staff resource for outstanding representation and communication on intergovernmental matters, and guidance on cross-departmental polices. The action steps necessary in order to achieve this vision are as follows: Identifying options for regular administrative support for correspondence, meeting planning, Website updates, editing and document production. Formalize roles and expectations. Restructuring federal lobbying contracts to increase departmental commitments and intergovernmental partnerships, thus potentially lowering contract costs to the city and increasing overall financial return to the city. Increasing resources devoted to state lobbying efforts as deemed necessary. Options to consider include contracting with full-time lobbyist and/or hiring an intern to assist with the legislative monitoring and reporting during the legislative session. Internal Audit: Provide world-class internal audit and consulting services to city of Boulder management in support of achieving City Council Goals. This is accomplished by implementing best practices appropriate for small audit shops (one to three auditors) described in the most recent National Association of Local Government Auditors Benchmarking and Best Practices Survey. These Best Practices include: Audit Committee reviews audit work plan, and strongly supports early involvement of the audit department. Audit department has developed a marketing product (in our case Audit Report Summary), which encourages management to see audit as an advisor/consultant and supports the audit mission. Audit asks customers to value audit after engagement completed. Audit response action items date logged and tracked and non-compliance reported to Audit Committee. Audit Committee / Senior Management actively supports the audit resolution process and takes corrective action in a reasonable period of time. Audits focus on business process (economy and efficiency and effectiveness) in addition to management controls. Audit Department educates/facilitates/equips operating department for self- assessment of organizational risks. Use computer-assisted audit techniques and tools to assist in audit analysis and testing. Provide a hotline for employees to report suspected fraud, waste and abuse for independent analysis by Internal Audit. Communication: The city’s Communication team seeks to provide openness, accuracy and accessibility to local government information, resources and relationships by employing skilled and experienced professionals; fostering a work environment of empowerment, authority and balance; and encouraging personal and professional growth, collaborative approaches to projects, and clear, concise and truthful communication with each other and the public. To provide this, the city’s Communication team needs to be fully-staffed, fully-funded and fully-supported. This could be best accomplished by: The transfer of Neighborhood services to the city’s community sustainability effort Shifting in resources to provide outreach to underserved, under participating groups in the community Increasing staffing to provide additional outreach, communications tools and programming Funding for Channel 8 operating so efforts can return inward to provide unfiltered government message. Boulder Municipal Channel 8: The Boulder Channel 8 vision provides world-class, timely information with a unified voice of the city organization to the people of Boulder, city of Boulder employees and to anyone in the world with an interest in Boulder. This information will accurately portray and reflect city goals such as affordable housing, community sustainability, and retention and expansion of business investment and opportunities in Boulder. This could be best accomplished by: Incorporating evolving broadcasting technologies such as wireless technology. Staffing and funding to meet current and expanding programming requests. Capability to broadcast from the Emergency Operations Center. Support Services/City Clerk’s Office: The city of Boulder Support Services/City Clerk’s Office is a national model of municipal government that encourages active public involvement and is responsive to the needs of its diverse citizens. The actions to achieve this vision are as follows: The transparent and accessible conduct of elections and Campaign Finance Reform. Thorough administration and equitable support in Licensing while meeting all legal requirements. The provision of comprehensive historic and current records accessible to all. Providing excellence to the Boulder City Council and community through timely provision of information in a transparent way, always meeting the current council needs and exceeding standards for customer service by prompt, professional and respectful interaction with all our customers PERFORMANCE MEASURES ActualTargetTargetTarget 2006200720082008 1.Provide 24 hour 98% response to records requests with a 3 There were day turn around for 1058 requests information with 95% 95% 95% with the exception 17 that were being extremely extensive open large research records requests requests 2.Number of days to 95% respond to public correspondenceWithin 10 Within 10 Within 10 1891 items of when additional days after days after days after correspondence response is CACCACCAC were received directed by CAC this year (*See Note below) 3.To provide better Handled 172 80 percent monitoring of Hotlinesof80 percent of 80 percent of “Hotline” “Hotline” “Hotline” “Hotline” communications,62.5% of the questionsquestionsquestions we will establish a questionsrequiring a requiring a requiring a standardrequiring a responseresponseresponse turnaround time responsereceivereceivereceive for “Hotline” received a reply repliesreplies within replies within replies.within five within five five working five working working days. workingdaysdays days (*) Performance Measure No. 2 is cross-referenced here (Council’s Performance Measure), as it is CMO/Support Services that administers this measure and provides this service. 2008-09 BUDGET MANAGER'S CONTINGENCY 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM Extraordinary Personnel$21,733$115,260$117,565$121,386 0250,000145,000147,900 Utility Contingency Manager's Contingency115,260127,565130,116 20,785 TOTAL$42,518$480,520$390,130$399,402 BUDGET BY CATEGORY Personnel Expenses$21,733$115,260$117,565$121,386 Operating Expenses20,785365,260272,565278,016 Interdepartmental Charges0000 TOTAL$42,518$480,520$390,130$399,402 BUDGET BY FUND General$42,518$480,520$390,130$399,402 TOTAL$42,518$480,520$390,130$399,402 AUTHORIZED FTE's Standard FTE's0.000.000.000.00 TOTAL0.000.000.000.00 2008-09 BUDGET NON-DEPARTMENTAL CONTRACTS AND CITYWIDE PROGRAMS 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM NON-DEPARTMENTAL CONTRACTS $621,091$642,000$693,455$707,324 Convention & Visitors Bureau 22,24622,69223,14623,609 Museum of History Chamber of Commerce8,1748,3378,504 8,130 Negotiations Support44,59245,48446,394 0 Humane Society Building Loan114,474116,763 114,063114,474 Downtown Boulder Improvement District00 247,7530 Federal Legislative Consultant42,64843,501 60,49061,812 Boulder Television70,0000 134,493150,000 946,095 1,208,2661,043,744997,544 CITYWIDE PROGRAMS West Nile Virus Program300,000306,000 210,865300,000 Community Sustainability Plan74,00000 9,938 Washington School000 37,424 Public Power Project000 90,845 Wildlife Management Plan000 300 306,000 349,372374,000300,000 CONTINGENCY- 2008 ONE-TIME ALLOCATIONS Contingency- 2008 One-time Allocations * 00980,0000 00980,0000 $ TOTAL$1,557,638$1,417,744$2,277,5441,252,095 BUDGET BY CATEGORY 0 Personnel Expenses$0$0$$0 2,277,544 Operating Expenses1,557,6381,417,7441,252,095 0 Interdepartmental Charges000 TOTAL$1,557,638$1,417,744$2,277,544$1,252,095 BUDGET BY FUND 2,277,544 General$1,557,638$1,417,744$$1,252,095 TOTAL$1,557,638$1,417,744$2,277,544$1,252,095 AUTHORIZED FTE's Standard FTE's0.000.000.000.00 TOTAL0.000.000.000.00 NOTES: * As described in the section of this document titled "City Council Direction on the Recommended Budget", a cascading funding approach has been implemented as part of the approved 2008 budget to provide funding for both the Boulder Mobile Manor project and the Economic Vitality program. As a result, $980,000 in one-time funding allocations for the General Fund are being held in a contingency until 2007 year-end results have been finalized and these two programs have received their targeted funding allocations. Please note that $110,000 of the $980,000 was generated as a result of delaying the rate increase for Workers Compensation; this amount will be allocated to the Boulder Mobile Major project (as described in step #2 of the "cascading" funding approach). FINANCE FINANCE BUDGET AND SYSTEMSADMINISTRATIONCONTROLLER TREASURY 2008 BUDGET $2,500,655 Finance System Finance Administration Administration 7% 17% Controller 28% Budget & Treasury 48% The citywide Risk Management function is also managed in the Finance Department. Funding for this program is provided by two Internal Service Funds; the Property & Casualty Insurance Fund and the Workers Compensation Insurance Fund. Funding for this program totals $3,176,972 and includes 4.00 of the positions in the Finance Department. 2008-09 BUDGET FINANCE 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM FINANCE ADMINISTRATION Finance Administration$448,513$461,519$429,982$441,973 448,513461,519429,982441,973 BUDGET & TREASURY Budget196,850288,051305,243314,887 Treasury213,385252,831277,527285,904 Sales Tax516,064513,189614,358634,091 Support Services 36,590000 1,197,128 962,8891,054,0711,234,882 CONTROLLER Financial Operations229,970299,756309,395319,347 Payroll/Mail356,130366,277136,640140,899 Financial Reporting306,983244,244256,598264,237 702,633 893,083910,277724,483 FINANCE SYSTEM ADMINISTRATION Finance System Administration143,470158,704170,912176,441 170,912 143,470158,704176,441 TOTAL$2,447,954$2,584,572$2,500,655$2,577,779 BUDGET BY CATEGORY Personnel Expenses$1,969,231$2,182,718$2,168,818$2,239,304 Operating Expenses394,497354,730285,709291,423 Interdepartmental Charges84,22636,92435,72536,439 Capital010,20010,40410,612 TOTAL$2,447,954$2,584,572$2,500,655$2,577,779 BUDGET BY FUND General$2,447,954$2,584,572$2,500,655$2,577,779 TOTAL$2,447,954$2,584,572$2,500,655$2,577,779 AUTHORIZED FTE's Standard FTE's27.2528.8729.3729.37 TOTAL27.2528.8729.3729.37 2008-09 BUDGET FINANCE DEPARTMENT MISSION STATEMENT The mission of the Finance Department is to provide responsive, professional and ethical administrative and fiscal services to meet the needs of the public, the city council, and all departments of the city. We value and maintain business practices that further the City’s goals for sustainability. Specific services provided by the Finance Department include: long-range financial planning and budgeting, accounting/auditing, financial reporting, risk management, accounts payable, accounts receivable, investment and cash management, debt issuance and management, purchasing, assessments, revenue collection, tax enforcement, and financial analyses. BUSINESS PLAN NARRATIVE The Finance Department provides central financial services necessary for the financial operations of the city of Boulder. We provide these services for all departments in the city while also carrying out specific responsibilities assigned in the City Charter and state or federal laws. The Finance Department has a history of minimizing discretionary costs while meeting legal requirements. Over the years, processes have been modified and new computer systems implemented to add efficiency both within the Finance Department and for users in the other city departments. Beginning with the 2006 budget, the business plan was used to categorize and prioritize services. As a result, it became apparent that some of the essential and all of the desirable services in the department were bordering on inadequate. To address this, it was determined that all remaining discretionary services should be eliminated and the resources should be reallocated to essential and desirable services. As a result, essential and desirable services now meet standards. For example, resources in Finance were reallocated to provide support for the old hire fire and police pension programs, the debt management programs, staffing of the governmental accounting functions, staffing of long-range financial planning, additional quantitative and qualitative analysis, and improving the operations area of the department. During 2007, an organizational evaluation resulted in a restructuring of the citywide payroll and risk management functions. The payroll function was transferred to the Human Resources Department from Finance in order to provide a better alignment of all employment services. All aspects of the citywide Risk Management function were consolidated in the Finance Department to provide a more comprehensive and coordinated approach. This included reclassifying a vacant position to hire the city’s first Risk Manager who is responsible for coordinating a variety of programs for all city departments including insurance administration, liability and risk mitigation, workers’ compensation, property and casualty administration, safety training, Americans with Disabilities Act (ADA), loss prevention programs and the employee wellness program. The risk management division also has responsibility for the day to day management of both the property and casualty and worker’s compensation funds. GUIDING PRINCIPLES AND/OR INVESTMENT STRATEGY Essential Services 1.) include those financial/budgetary functions that are legally mandated by federal or state law, City Charter or generally accepted accounting requirements for governmental agencies. Specifically, this service category reflects those processes which ensure the sound fiscal management of the municipal organization, such as strategic planning and budgeting, debt issuance and management, financial reporting and accounting, purchasing, assessments, treasury management, and collections. These programs represent 92% of the appropriation and 87% of the staffing in the general fund portion of Finance. 2.)Desirable Services reflect services that provide positive interaction with the public, efficient and effective business practices, provide financial information so departments can make sound fiscal decisions, enhance internal customer service, increase citywide efficiency and effectiveness, or generate cost savings due to centralization. Services in this category include Property and Casualty Insurance Fund Management, financial inquiry and query reporting, the information center in the municipal building, and central mail services. This category currently represents 8% of the appropriations and 13% of the staff in general fund portion of Finance. 3.)Discretionary Services on an ongoing basis have been eliminated in Finance. Resources were consolidated and transferred to meet acceptable service levels in the essential and desirable programs of the department.Project work that is requested that falls into this category is accomplished by either assigning finance staff members on an ad hoc basis or asking the requesting department to outsource the project. OVERVIEW OF ACTION PLAN The Finance Department is in the process of developing a Strategic Plan which is projected to be completed by the end of 2007 or early in 2008. In the interim, the Action Plan includes those immediate needs that are above the personnel and nonpersonnel expense (NPE) increase for the 2007-2012 budget planning period. This includes one- time expenses to overfill for the Accounting Manager’s position since she will be retiring at the end of 2008. This is a crucial position and will allow time for adequate training and succession planning. The Finance Department has recommended that an additional sales/use tax auditor be hired in 2008 in order to meet standard practices for a municipality the same size as the City of Boulder. Please refer to Attachment B of the 2008-09 Budget Message for a listing of those Action Plan Items that were recommended for funding. The listing is presented in order by fund and department. Please see the section titled “City Council Direction on the Recommended Budget” for any changes from Attachment B. OVERVIEW OF VISION PLAN The vision for the department is to be the best Finance Department in the state of Colorado. This will be based on the implementation of a set of “the best of the best practices” as defined by local, state and national authorities that focus on public financial organizations. The identification of these “best practices” will take place over the next two years as the department completes and begins implementation of its strategic plan. PERFORMANCE MEASURES ActualTargetTargetTarget 2006200720082009 1.Annual attainment Award was Award is Award is Award is of Government receivedreceivedreceivedreceived Finance Officers Association award for excellence in financial reporting. 2.Annual attainment Award was Award is Award is Award is of Government received for receivedreceivedreceived Finance Officers budget years Association award 2006-07 for excellence in budgeting. 3.Achievement of a Actual rate of Actual rate Actual rate Actual rate rate earnings on return was exceeds 2 exceeds 2 exceeds 2 city investments 4.71%, which year Treasury year Treasury year Treasury that exceeds (on an was less than Note rate Note rate Note rate amortized basis) the six month the six month trailing trailing average US average rate of Govt. 2 yr.4.75% Treasury Note rate. ActualTargetTargetTarget 2006200720082009 4.Achievement of Target reserve Target reserve Target reserve Target reserve reserves, which balances were balances are balances are balances are include minimumachieved for achieved.achieved.achieved. fund balance of 5% all funds but of operating the Workers expenses (excluding Compensatio grants, internal n Ins. Fund; service, and special recommended revenue funds) in rate increases * all city funds. in this fund will bring it into compliance by 2008 *Depending upon perceived risk, certain funds may be required to maintain fund balances higher than 5%. Performance measure number three indicates that the target was missed for 2006 by .04%. The following discussion helps to put investment performance into perspective. With every meeting from June 2004 to June 2006, the Federal Open Market Committee of the Federal Reserve Board raised interest rates, eventually going from 1.0% to 5.25%. As interest rates rise, the market value of a fixed rate bond decreases. Investors will pay less for bonds with lower interest rates than they would for bonds with higher interest rates. This loss in value of fixed rate bonds is called an unrealized loss and it only becomes a real loss if the bonds are sold before maturity. As a bond moves closer to maturity, the difference in the lower interest earned on the bond compared to the interest earned at new higher rates decreases and the unrealized loss on the bond decreases. As a general investment practice, the city holds its bonds until maturity. However, under accounting requirements, the yield on the city’s portfolio assumes that the bonds will be sold at the current market values instead of held until maturity, resulting in the unrealized loss being recognized as a reduction in the interest earnings. The result of all of this is that the effective yield of a fixed income portfolio will trail the market rates when interest rates are rising. As noted above, with no interest rate increases by the Federal Reserve Board since June 2006, the yield on the city’s portfolio is recovering, only missing the target by .04% on December 31, 2006. HUMAN RESOURCES HUMAN RESOURCES EMPLOYMENTEMPLOYEE & EMPLOYEE & COMPENSATION & ADMINISTRATION&LABORPAYROLL ORGANIZATION BENEFITS DIVERSITYRELATIONS DEVELOPMENT 2008 BUDGET $1,627,330 Payroll Administration Employee & 17% 20% Organization Development 11% Employee & Labor Relations 19% Compensation & Benefits Employment & 21% Diversity 12% 2008-09 BUDGET HUMAN RESOURCES 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM Administration$456,521$303,350$315,622$325,056 217,471000 Employee Relations & Org Effectiveness Employment & Diversity203,362 107,601202,559208,896 Compensation & Benefits 291,608329,046337,462346,589 18,176306,657315,416325,568 Employee & Labor Relations Employee & Organization Development 131,437153,333184,267189,919 Payroll 00272,003280,458 TOTAL$1,222,815$1,295,749$1,627,330$1,676,486 BUDGET BY CATEGORY Personnel Expenses$982,313$1,027,286$1,328,765$1,371,950 Operating Expenses219,787248,863276,023281,543 Interdepartmental Charges20,71419,60022,54222,993 TOTAL$1,222,815$1,295,749$1,627,330$1,676,486 BUDGET BY FUND General$1,222,815$1,295,749$1,627,330$1,676,486 TOTAL$1,222,815$1,295,749$1,627,330$1,676,486 AUTHORIZED FTE's Standard FTE's14.2514.6316.3816.38 TOTAL14.2514.6316.3816.38 2008-09 BUDGET HUMAN RESOURCES DEPARTMENT MISSION STATEMENT Our mission simply put is “Caring Accountability”. Human Resources traditional mission is to recruit and retain talent for the organization. Our purpose is two-fold: As enforcers, we provide a safe working environment for employees and protect the City from liability. As coaches and trainers, we provide tools to the workforce for accomplishing their goals. BUSINESS PLAN NARRATIVE Since the inception of the business plan, our focus has been on rebuilding the department, which has included assessing customer needs, improving efficiencies and ensuring the department has employees who are aligned with department values and trained to deliver needed services. For example, in 2006 work re-design resulted in service level improvements in the areas of compliance and our compensation philosophy. In 2007 we experienced a lot of change through turnover and the movement of Workers’ Compensation to the Finance department and the shift of Payroll from Finance to Human Resources. We took advantage of these changes and saw them as an opportunity to do some internal work re-design and training. Once the department is fully staffed and experiences a full year with the job re-design, we anticipate service levels to increase in additional areas. Diversity became a Council and City Manager focus in 2007 with a commitment to begin diversity training for all employees. As a result, a city-wide employee Diversity Planning Group was created and a Leadership Conference for all managers was held. In coordination with these efforts and supporting the City Manager’s commitment to diversity, we have added an area to the Business Plan on diversity training and oversight to the city-wide diversity plan. As we updated our Action Plan, we referred to our guiding principles to determine priorities among the programs and services. Our top 1% priorities, both essential services, are based on retaining and developing operational knowledge. GUIDING PRINCIPLES OR INVESTMENT STRATEGY Essential Services include 1.)those that are required by law as well as those services relative to compensation and benefits that help us maintain our competitive place in the market as an employer. Examples include: a.Complying with the Family & Medical Leave Act of 1993, which includes notifying employees of their rights to take leave as well as administering the leave. b.Developing policies that help provide a safe working environment for employees and protect the City from liability. Desirable Services include 2.)those that improve our competitive place in the market and those that help us to be more efficient. Examples include: a.Ecopasses for employees are a competitive benefit that provides a more economic means of commuting, fits in with the Boulder mission and also prevents congestion and additional construction for parking. b.A training program helps us work and manage more efficiently. Sharing policies, standards and templates, not only results in consistency, but also time savings. Discretionary Services include 3.)those that help us to be a “best practices” employer. Examples include: a.Having a leadership course that brings public sector and private sector employers together to solve regional issues. b.Creatively designing incentive pay as a way to continue to show employees’ value while controlling costs. OVERVIEW OF ACTION PLAN Please refer to Attachment B of the 2008-09 Budget Message for a listing of those Action Plan Items that were recommended for funding. The listing is presented in order by fund and department. Please see the section titled “City Council Direction on the Recommended Budget” for any changes from Attachment B. OVERVIEW OF VISION PLAN The HR Department’s vision is to be a World Class HR Department. We are in the process of continuing development of a Strategic Plan. The types of services, programs, benefits and pay we provide to employees is indicative of the type of culture we have. As we strive to maintain Boulder’s status as one of the great cities, the employee characteristics of the culture that will support this goal include high performing, service-oriented, partnership, proactive, forward and big-picture thinking. We want to model and support that culture in our behavior and the types of service we provide. A World Class HR department consists of valued strategic partners who: have simplified and standardized processes, are innovators in the field, provide just-in-time high quality service and meet cost/effectiveness metrics There are many metrics that can be used to determine HR’s value to the organization. The ones we will focus on in our Vision Plan include: Turnover ratio Absenteeism Retention and Succession Plans for at risk talent As the culture and the work evolve, we will review the metrics and shift to ones appropriate for the culture at that time. In 2007, as part of our strategic planning process, we met with our customers. In these meetings we reviewed their department’s business plan and identified services HR could provide that are critical for their future success. As a result, we developed a multi-year work plan that included some of these items, i.e. succession planning, a compensation system review, ongoing benefits modernization, and expanding the leadership academy. We will continue to partner with our customers as we develop the services and/or tools to meet their needs. PERFORMANCE MEASURES ActualTargetTargetTarget 2006200720082009 1.Compliance/mgmt Goal:Goal:Goal:Goal: trainingRevise/update/Revise/update/Revise/update/Revise/update/ Protect city consolidate 20% of consolidate consolidate consolidate liability: the policies. 20% of the 20% of the 20% of the Consolidate and Complete Sexual policies. policies. policies. update city Harassment training Complete Complete Complete policies. Conduct for the Police requiredrequiredrequired all regulatory-Department by training to be training to be training to be driven training.Summer 2006 and identified year identified year identified year conduct make-up end 2006.end 2007.end 2008. sessions for those that missed the initial round of Sexual Harassment and FMLA training. Conduct New Supervisor training in Summer/Fall 2006. Finish Policy Review training for all managers. ActualTargetTargetTarget 2006200720082009 Results: Compliance/mgmt Six training (cont’d) policies updated, Protect city liability: began revisions on Consolidate and three policies and update city policies. created three new Conduct all policies. A regulatory-drivencommittee of training.department heads was formed to review the recommendations of an employee committee for updates/drafts for up to 10 leave policies. Sexual Harassment training for the Police and Fire Departments was completed 8/2006 and one make-up session for other city employees in 12/2006.FMLA training took place 11/2006. Conducted New Supervisor training in the Fall of 2006. Two Policy Review make up sessions were conducted. ActualTargetTargetTarget 2006200720082009 Goal:Goal:Goal: 2.Performance 85% will be 100% Apply Goal: Management within 30 days of will be within accountabilityEstablishing Focus on due date.30 days of due measures to standards for Results: performance: 741 date. 100% of ensurewhat is improve the reviews were performance timeliness of considered timeliness of completed within 30 plans and reviews – Exceptional, reviews. 100% days of due date or evaluations100% within Competent within 30 days of 58% (1282 will be on-30 days of due and Needs due date. Applying employees). line.date.Improvement accountabilityDirector “norming” All managers and measures and conversations now will complete ensuring the establishing held twice a year. performance consistent standards.The transition to an management application of on-line form is final training.these on July 1, 2007.standards throughout the organization. INFORMATION TECHNOLOGY INFORMATION TECHNOLOGY IT ADMINISTRATIONNETWORK SERVICESAPPLICATIONS SUPPORT IT INFRASTRUCTUREDATABASE/SYSTEMS ADMINISTRATION 2008 BUDGET $4,658,806 IT Administration IT Infrastructure 13% 15% Network Services 27% Applications Support 35% Database/Systems Administration 10% The city phone system and the citywide replacement programs are also managed in Information Technology. Funding for these programs are provided by two Internal Service Funds; the Telecommunications Fund and the Computer Replacement Fund. Funding for these programs total $3,188,504 and includes 2.50 of the positions in Information Technology. 2008-09 BUDGET INFORMATION TECHNOLOGY 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM IT ADMINISTRATION $354,858$637,390$620,275$636,567 Administration - IT TOTAL 354,858637,390620,275636,567 IT APPLICATIONS Applications Support1,516,5091,502,3041,607,0921,655,888 Public Safety Applications149,120000 TOTAL 1,665,6291,502,3041,607,0921,655,888 DATABASE/SYSTEM ADMINISTRATION Operations/System Administration 383,005425,414471,437485,777 TOTAL 383,005425,414471,437485,777 IT MICROCOMPUTER SUPPORT Microcomputer/LAN Support 1,346,6141,237,8101,249,0021,288,894 TOTAL 1,346,6141,237,8101,249,0021,288,894 IT INFRASTRUCTURE Computer Replacement 590,000601,000613,000625,260 IT Technology Funds 051,00052,00053,040 Telecommunications Fund 45,00046,00046,00046,920 TOTAL 635,000698,000711,000725,220 IT PROJECTS IT Projects - Applications 111,274000 IT Projects - Network Services 19,989000 131,263000 TOTAL 4,516,3694,500,9174,658,8064,792,345 BUDGET BY CATEGORY Personnel Expenses$3,134,157$3,098,261$3,229,057$3,334,001 Operating Expenses429,572360,562391,202399,026 Interdepartmental Charges936,105160,782772,368787,815 Capital16,534881,312266,179271,503 TOTAL$4,516,369$4,500,917$4,658,806$4,792,345 BUDGET BY FUND General$4,516,369$4,500,917$4,658,806$4,792,345 TOTAL$4,516,369$4,500,917$4,658,806$4,792,345 AUTHORIZED FTE's Standard FTE's32.7532.7535.2535.25 TOTAL32.7532.7535.2535.25 2008-09 BUDGET INFORMATION TECHNOLOGY DEPARTMENT MISSION STATEMENT We leverage technology to improve city services. BUSINESS PLAN NARRATIVE The IT Department’s budget for 2008 continues to focus on accomplishing our mission in a fiscally constrained environment, which means meeting the demand for more sophisticated services and providing quality secure infrastructure services, with only minor compromises to long term technical strategies and goals. Throughout the past few years, the IT Department has continued to benefit and grow from an increasing citywide demand for technology services. This is mostly a result of executive management understanding the value and benefits of technology as a strategy to offset citywide budget and staffing reductions. With this understanding comes the demand for more sophisticated services, an increasing number of secure “self service” web-based systems, as well as more rapid software development cycles. An ongoing tightly constrained IT budget without new citywide investment in IT will continue to limit our ability to meet the appetite for new services while also maintaining the reliability and performance of existing system. However, the demand on IT for new and increasingly sophisticated services is only part of our responsibility. We must continue to be proactive in implementing industry standard “best practices” that are necessary, yet not requested from the enterprise. Examples are security improvements, project management and improved repeatability of processes and procedures. With this, IT Management must also manage one of the most challenging aspects of technology… constant change within a fiscally constrained environment. A continued limit in new technology investments, offset with a never-ending appetite for new technology services continues to force IT to look inward for creative funding and management approaches. We have had success with this in past budget years as an attempt to balance increasing demand without new organizational investment. Open source software development, server virtualizations, aggressive contract renegotiations, increased investment in IT staff training, and technology standards are a few examples of our ongoing internal IT investments. However, the opportunities for new and significant cost and staff savings within IT are becoming scarce. IT must have additional investment from the organization to continue its current pace of new development and maintenance responsibilities. GUIDING PRINCIPLES AND/OR INVESTMENT STRATEGY The following points embrace the long term strategic direction of the IT Department, support our mission and follow IT industry best practices: Align IT services with the current and future needs of the city organization and its customers, Improve the quality and delivery of IT services to the organization, and Reduce the long term costs of IT services Based on this, the following guiding principles have been used to prioritize the IT Department 2008 budget: Maintenance and support of existing systems (essential) 1.: These are highly critical services that ensure existing systems function and perform as designed. This includes maintenance of the network and server infrastructure, software applications, databases, and workstations; Help Desk services for customer support; data backup and recovery; business continuity planning and disaster recovery; and security. Essential services also include technology asset management, centralized purchasing, planning, quality control, IT/client relationships, and staff training and development. A portion of our essential work includes application modifications in order to meet changing requirements, such as changes in the law, city charter or codes. As software reaches the end of its life cycle, it is essential that systems be replaced. Examples of software that lived beyond its useful life includes utility billing system, the police records management system, and the sales tax application. We also consider the ongoing work to update our software standards and web services development as essential. Improvements of Systems (desirable): 2. These services are performed if any improvements to existing software applications are needed based on changing business needs. If an existing application no longer meets the business needs of the city or its departments, the application must be changed or replaced. These services ensure that the city stays current in its use of technology, therefore avoiding costly major replacements of out dated technology. Some examples of major upgrades to existing systems include the transition from mainframe to client-server, which has now shifted to web services technology used today. Implement New Systems (discretionary) 3.: These are a portion of the projects that have been requested by or are specifically designed for City departments. These services or elements do not exist in the current environment. These projects are new investments in technology to improve services, reduce overhead, and save staff time. Expected financial returns are documented and approved prior to implementing the project. Even still, a portion of these projects can be postponed in the short term without significant impact. As the city’s economy recovers and discretionary projects are identified, these project investments must occur to continue to advance the city’s use of technology. OVERVIEW OF ACTION PLAN The Information Technology Department is in the process of revising the city’s Strategic Technology Plan (STP). This document will outline business valued strategies for 2008 – 2010, in part, for our ongoing advancement of enhancing the city’s business processes through open source technologies, web services, and mobile government services. In the interim, the Action Plan includes those immediate needs that are above the personnel and non-personnel expense (NPE) increase for the 2008 – 2012 budget planning period. This includes expenses associated with the following: 1.maintaining Help Desk and PC/End user support 2.citywide wireless network contract funding 3.increasing the general fund subsidy to the CRF (one time) 4.improving business continuity planning and disaster recovery preparedness (mostly one time cost) 5.establishing an enterprise Software Replacement Fund 6.implementing application development QA/QC testing 7.pursuing “yellow list” master plan projects 8.performing annual security audits and mitigation 9.acquiring consulting services for negotiating the citywide wireless network contract (one time cost) 10.establishing a citywide Business Intelligence system 11.restoring the IT training program. 12.funding for the upgrade of the city’s phone system During the year 2008 the city’s telephone system will be converted from a PBX system to VoIP technology. This project is being funded from the city’s telecommunications fund and has been planned for several years. Please refer to Attachment B of the 2008-09 Budget Message for a listing of those Action Plan Items that were recommended for funding. The listing is presented in order by fund and department. Please see the section titled “City Council Direction on the Recommended Budget” for any changes from Attachment B. OVERVIEW OF VISION PLAN The City of Boulder's vision is to use information technology to increase the capacity of the organization by improving Service Delivery, supporting Policy Development, and enabling Information Access. Improving Service Delivery - The City organization is about delivering quality services to the public. We must use information technologies to improve how efficiently and conveniently those services are delivered. Supporting Policy Development - The City organization is about developing and implementing sound public policies. To do that, we need quality information. We must use information technologies to improve the quality, timeliness and cost effectiveness of the City's information. Enabling Information Access - The City organization is "the keeper" of a vast amount of public information. The public has a "right to know and access" that information. We must use information technologies to enable that access. We are also part of a knowledge- based economy. We must use information technologies to make information available to support and enhance that economy. PERFORMANCE MEASURES ActualTargetTargetTarget 2006200720082009 1.Percentage of City cost to Market cost (Outside consultant cost) for the following: a) Applications Support 69.50%<100%<100%<100% b) Network Services 70.12%<100%<100%<100% c) System Admin 53.15%<100%<100%<100% Support 2.Number of help desk calls per PC 6.73 6.0 5.0 4.0 ECONOMIC VITALITY DOWNTOWN UNIVERSITY HILL MANAGEMENT DIVISION/PARKING SERVICES DUHMD/ PARKING SERVICES PARKING BUSINESS PARKING ADMINISTRATIONOPERATIONS & ASSISTANCE & ENFORCEMENT MAINTENANCE EVENTS 2008 BUDGET $10,537,501 Downtown & Operating University Hill Transfers Management 6% 19% Debt Service 24% Parking Services 51% 2008-09 BUDGET DOWNTOWN UNIVERSITY HILL MANAGEMENT DIVISION/PARKING SERVICES 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM GID Administration$1,205,840$870,533$867,595$891,094 86,226123,428129,327132,965 Operations & Public Information Public Events 86,14986,76689,70192,122 Community Improvements 15,80010,200235,404240,112 Economic Vitality 36,84617,64617,99918,359 Transportation 573,364600,211650,918664,783 Parking1,240,000 5,00070,0001,264,800 Debt Service 3,536,0973,929,8302,537,2652,540,645 Operating Transfers 666,470654,599660,795667,227 Parking Enforcement614,885704,574745,899768,831 Parking Maintenance/Operations 959,3041,395,7291,678,9711,723,307 Meter Program 196,102259,0481,573,0301,606,318 Neighborhood Permit Parking 56,08863,48179,38481,711 Public Information30,60031,21231,836 7,688 TOTAL$8,045,859$8,816,645$10,537,501$10,724,110 BUDGET BY CATEGORY Personnel Expenses$1,957,447$2,336,102$2,400,688$2,478,710 Operating Expenses1,716,8851,672,6702,208,8612,253,038 Interdepartmental Charges163,527174,115343,090349,951 Capital5,43349,3292,386,8022,434,538 Debt Service3,536,0973,645,3632,005,0291,997,765 Non-Recurring Expenditures0284,467532,236542,881 Other Financing Uses 666,470654,599660,795667,227 TOTAL$8,045,859$8,816,645$10,537,501$10,724,110 BUDGET BY FUND General$859,179$934,904$1,142,324$1,175,503 Downtown Commercial District6,854,5527,517,6638,688,2058,824,083 University Hill Commercial District332,129364,079706,972724,524 TOTAL$8,045,859$8,816,645$10,537,501$10,724,110 AUTHORIZED FTE's Standard FTE's40.5042.2542.2542.25 TOTAL40.5042.2542.2542.25 2008-09 BUDGET DOWNTOWN AND UNIVERSITY HILL MANAGEMENT DIVISION/ PARKING SERVICES MISSION STATEMENT We serve the Downtown, University Hill and affected communities by providing quality programs, parking, enforcement, maintenance, and alternative modes services through the highest level of customer service, efficient management, and effective problem solving. BUSINESS PLAN NARRATIVE The Downtown and University Hill Management Division and Parking Services represents an unusual bundling of municipal services – downtown management, travel demand management, parking operations (on and off street and neighborhood permits), parking enforcement, citywide event permitting, and economic vitality initiatives. This integrated management strategy incorporating these diverse services enables a comprehensive approach to supporting Boulder’s historic commercial centers – downtown and the University Hill commercial areas. The funding mechanism for DUHMD/PS is almost exclusively parking revenues from the commercial districts which are reinvested back into the parking systems and commercial areas. Strong and thriving commercial areas generate sales tax for the city as well as drawing residents and visitors, increasing parking revenues. These revenues in turn are used to reinvest in programs and strategies that keep the downtown and the hill vital, competitive and appealing. It is this reinvestment strategy that is at the core of the business plan approach that benefits University Hill and downtown as well as the city as a whole – both in terms of assuring revenues for city services but also creating vibrant public spaces that are a source of community benefit and pride, and an asset for tourism. Downtown Commercial District Fund (formerly CAGID Fund) A key priority for the Downtown Commercial District Fund in 2008 is to reinvest in the long term economic sustainability of the downtown in several areas – Renovations and repairs in downtown parking garages Long-term economic vitality of the downtown and the city as a whole through further studies and refinement of a potential citywide conference/convention center Assessment and design of ongoing downtown public right of way streetscape improvements to maintain a vital and competitive commercial area. University Hill Commercial District Fund (formerly UHGID Fund) A key priority for the University Hill Commercial District Fund in 2008 is to reinvest in the long-term economic sustainability of the University Hill commercial area by: Replacement of on-street parking with new customer friendly parking technology, Support and potential partnerships for redevelopment on the hill. General Fund In the DUHMD/PS’s General Fund services, priorities are: Support neighborhood livability through the reinstatement of the Neighborhood Parking Permit program Enhance the goals of the Transportation Master Plan by expanding the free, downtown Eco Pass program to include additional downtown employees who work in the Business Improvement District (BID) boundary but outside of CAGID. GUIDING PRINCIPLES OR INVESTMENT STRATEGY Essential Services include: 1.)Services that ensure the basic qualities of a healthy, efficient, accessible, and economically viable downtown and University Hill commercial districts are essential to maintaining the commercial infrastructure and fiscally responsible funds. These include parking operations and maintenance, EcoPass program for downtown employees and parking enforcement. Desirable Services include: 2.)Services that enhance and promote the quality of life of the commercial centers, bolster economic vitality efforts and encourage economic recovery, and contribute to neighborhood quality of life. These include mall permitting and operations, travel demand management programs other than the Eco Pass program, contract services with the Business Improvement District, parking marketing activities, the NPP program, and proactive measures to stimulate economic recovery and redevelopment such as the Hill Redevelopment workshops, Downtown Strategic Plan, and the conference/convention center. 3.)Discretionary Services include: Services that enhance the quality of life but can be provided by other entities. This includes school crossings. OVERVIEW OF ACTION PLAN Please refer to Attachment B of the 2008-09 Budget Message for a listing of those Action Plan Items that were recommended for funding. The listing is presented in order by fund and department. Please see the section titled “City Council Direction on the Recommended Budget” for any changes from Attachment B. OVERVIEW OF VISION PLAN DUHMD/PS does not yet have an overall departmental strategic plan and efforts are underway to develop one. A draft vision statement: “World class organization focusing on integrated transportation, economic development and public space management for urban areas through best practices analysis, progressive technology use, and robust partnerships and collaboration” will be reviewed and commented upon by internal staff and our customer stakeholder groups. However, area strategies and plans have been developed over the years for both the University Hill (the Hill Business Plan, the Hill Marketing Study and the council-approved Hill Sub Area Plan) and the downtown (the Downtown Alliance plan and regular development updates, the Downtown Economic Strategic Plan, Best Practices in Parking, and annual downtown user surveys). Strategies and polices for specific issues and projects, such as Eco Pass funding, major maintenance and improvements plan for CAGID parking garages, social issues on the mall and parking enforcement, are implemented on a case by case basis through special task forces and studies. All of these past efforts will be integrated into the development of the DUHMD/PS Strategic Plan. In the interim prior to the adoption of a strategic plan, DUHMD/PS has identified key programs and initiatives for initial funding under an Action Plan including activities rated below standard as well as initiatives to enhance the vitality of the commercial districts and meet Council goals. PERFORMANCE MEASURES In 2004, DUHMD/PS initiated a survey form for customers to complete and submit at our front desk. We ask questions that will help us evaluate our products, our customer service, our advertising and to determine the impact of our education and outreach programs. We will continue to monitor and update our survey. Results from a few sample questions are included below. ActualTargetTargetTarget 2006200720082009 1.Do you know that the City Parking garages are FREE on Saturday and 86% 91% 92% 93% Sunday? 2.Are you aware that many downtown businesses validate 75% 80% 82% 83% parking? 3.Were you satisfied with the service 98% 98% 98% 98% you received? 4.Are you aware of prepaid parking products? (cash pass, meter key, 75% 75% 80% 80% etc.) The budget information for Economic Vitality and Urban Redevelopment is located under the tab for Administrative Services in the section titled “City Manager’s Office”. OPERATIONS HOUSING AND HUMAN SERVICES HOUSING AND HUMAN SERVICES COMMUNITY SERVICES HOUSING CHILDREN, YOUTH & FAMILIESSENIOR SERVICES 2008 BUDGET $13,950,624 Administration & Senior Services Planning 8% 3% Community Services 17% Children, Youth & Families 19% Housing/ Community Development 53% 2008-09 BUDGET HOUSING AND HUMAN SERVICES 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM ADMINISTRATION & PLANNING Administration & Planning$0$376,318$375,141$386,208 0376,318375,141386,208 COMMUNITY SERVICES Community Services Social Planning & Administration363,548000 Human Services Contract Programs2,174,7252,156,6592,230,2002,276,849 Human Rights & Human Relations172,426176,625198,392204,020 TOTAL 2,710,6992,333,2842,428,5922,480,869 CHILDREN, YOUTH & FAMILIES (CYF) CYF Division Administration CYF Division Administration199,841265,989272,631281,143 TOTAL 199,841265,989272,631281,143 Community Based Services Community Based Services Admin145,125151,100160,386165,414 Child Care Resource & Referral 131,960147,524142,135147,578 Child Care Assistance Programs 353,759362,167356,813368,410 Child Care Recruitment & Training 169,89573,884104,371113,913 Mediation Services 148,084139,861144,474148,997 Youth Opportunities 286,020287,000298,000305,376 TOTAL 1,234,8421,161,5361,206,1791,249,688 School Based Services School Based Services Admin 74,45783,42184,68887,343 Prevention & Intervention Program 398,941391,809382,652390,251 Family Resource Schools 478,353463,253465,071478,437 TOTAL 951,750938,483932,411956,030 Early Care & Education Council Programs Early Care & Education Council Programs 859,087741,824259,924267,274 TOTAL 859,087741,824259,924267,274 TOTAL 3,245,5203,107,8332,671,1452,754,135 SENIOR SERVICES Senior Services Senior Services Administration 171,104171,753171,911177,462 Facilities Management 373,693402,151432,754445,015 Nutrition Programs 96,43175,75776,35777,884 Senior Resource & Referrel 153,138157,815173,123178,688 Senior Recreation Programs 262,420295,922269,649277,444 TOTAL 1,056,7851,103,3971,123,7941,156,493 HOUSING/COMMUNITY DEVELOPMENT Housing/Community Development/Administration Funding & Administration 429,358432,685444,350457,544 Planning & Development Review 122,655223,127164,697170,049 Asset Management 73,71080,197135,453139,856 Home Ownership Programs 99,54588,31084,98287,744 Tenant Services 8,3798,7638,9989,291 Support for Housing Authority 21,13971,667123,230125,695 Operating Transfers 130,27552,97855,05257,203 TOTAL 885,060957,7281,016,7621,047,382 2008-09 BUDGET HOUSING AND HUMAN SERVICES 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM Housing/Community Development/Direct Services Asset Management 34,385103,53000 Home Ownership Programs 58,93479,952199,981206,480 TOTAL 93,319183,482199,981206,480 CHAP/HOME/CDBG/AHF Projects CHAP/HOME/CDBG/AHF Projects 7,719,2205,719,7446,135,2097,511,504 TOTAL 7,719,2205,719,7446,135,2097,511,504 TOTAL 8,697,5996,860,9547,351,9528,765,366 TOTAL 15,710,60413,781,78613,950,62415,543,072 BUDGET BY CATEGORY Personnel Expenses$3,549,113$4,006,322$4,076,894$4,209,393 Operating Expenses9,781,2688,501,7837,782,56210,829,765 Interdepartmental Charges190,548209,423211,301215,527 Capital02,0002,0002,040 Debt Service2,035,8731,009,2811,822,814229,143 Other Financing153,80252,97855,05257,203 TOTAL$15,710,604$13,781,786$13,950,624$15,543,072 BUDGET BY FUND ** General$5,303,754$5,209,156$4,823,937$4,961,714 * Affordable Housing Fund2,475,9292,726,9693,494,9673,841,665 Community Hsg Asst Prgm (CHAP)2,834,6891,710,2431,634,4062,637,831 .15 Cent Sales Tax Fund1,743,1431,721,0001,788,0001,828,921 Comm Dvlpmnt Block Grant (CDBG)2,347,095914,418909,313872,941 HOME1,005,9941,500,0001,300,000***1,400,000 TOTAL$15,710,604$13,781,786$13,950,624$15,543,072 *$813,674 of this comes from outside grants to the Children, Youth and Families Division **$843,620 of this comes from outside grants to the Children, Youth and Families Division ***The City entered into a County-wide HOME consortium in 2007. In 2008, of the approximately $1.3 million HOME grant, $598,520 will pass through the City directly to other communities in the consortium. In 2009, $645,475 will pass through. AUTHORIZED FTE's Standard FTE's53.4256.5156.2456.24 Seasonal Temporary FTE's4.254.254.254.25 TOTAL57.6760.7660.4960.49 2008-09 BUDGET HOUSING AND HUMAN SERVICES DEPARTMENT MISSION STATEMENT To create a healthy community by providing and supporting diverse housing and human services to Boulder residents in need. BUSINESS PLAN NARRATIVE In preparing the 2008 Housing and Human Services (HHS) Business Plan (BP), we first looked closely at the programs and services contained in the Fiscally Constrained Plan. Over the past two years, we have created efficiencies and reallocated funds, where feasible, from non-essential services to essential services, in recognition of the priority of these programs and the level of service provided to the community. We have also considered the importance to the community of a balanced mix of services and programs in the essential, desirable and discretionary categories of the BP and the HHS Master Plan (HHSMP). Although the BP allows for Fiscally Constrained Erosion (FCE), the unique circumstances of funding streams (General Fund, dedicated sales tax, restricted funds and grants) create additional erosion, particularly with regard to personnel costs. Due to changing demographics and other factors, there is an increasing demand for HHS services and programs in the community. All of this presents important challenges to the Department, especially with declining resources, which we have addressed in our Action Plan. The City Council approved Social Sustainability Strategic Plan has relevance to HHS in all eight goal areas in the Plan. Some strategies and action items identified in the Plan as priorities are already included in the HHSMP. Other strategies and action items are new initiatives, without additional funding, and will be prioritized in the department’s Action Plan. Other strategies and action items are currently being implemented within the fiscally constrained plan. These are activities which are low cost to the department or activities which could take advantage of available funding and partnerships to strategically leverage resources. Workplan activities which have been implemented within the fiscally constrained plan are: 1) Development of Social Impact Assessment Tool; 2) Implementation of Immigrant Advisory Committee; 3) Scoping and on-going work for Community Dialogue Initiative; 4) Participation in development of a regional county-wide human services strategic plan; 5) Coordination of National League of Cities Inclusive Communities Partnership; 6) Coordination of community collaboration in the development of a community-wide comprehensive plan for early care and education; 7) Coordination of community process for development of recommendations to address issues in the Youth Risk Behavior Survey; 8) Partnering with Public Works in implementing utility bill fact sheets on youth issues; 9)Partnering with Economic Vitality Office on expanding youth and family friendly policies; 10) Participation in development of a county-wide Senior Services Strategic Plan, and; 11) Implementation of CU/City Oversight Group Sub-Committee on Inclusiveness and Diversity. This has increased the workload of the department and reduced the ability of the department to minimize erosion in programs and services in the fiscally constrained plan. The City Council Action Plan Budget identifies two housing items that inter-face with the HHS budget: 1) subsidy to Boulder Housing Partners (BHP) toward capital investment in the redevelopment of Boulder Mobile Manor (BMM) and 2) operating subsidy to support BHP efforts to provide rental assistance to vulnerable residents. As of July 2007, the city has expended and/or obligated approximately $410,000 of subsidy to BHP for BMM. This includes $307,000 in 1996 toward the acquisition of the property. Given the type of redevelopment that has been proposed, it is reasonable to expect that additional funding in the range of $500,000 - $1,000,000 could be provided through allocation of existing Housing Funds. This funding would be subject to review and analysis by HHS staff and the community's Technical Review Group (TRG) and to approval of this expenditure by the City Manager. In addition, one-time funding of approximately $500,000 could provide substantive support for some of the goals for the property that have been identified by City Council. Regarding on-going BHP operating subsidy, HHS proposes a reallocation of up to $50,000 toward this initiative out of the Affordable Housing Fund. It should be recognized that shifting funds to operations will diminish progress on increasing the community's affordable housing inventory. To the extent that General Fund is used to match this reallocation, additional support could be provided to this initiative. As of mid-2007, the city had secured approximately 2,800 permanently affordable housing units. Currently the city is on track to reach the goal of 4,500 units by 2019, in the Fiscally Constrained Plan. The Action Plan shortens the time to achieve the goal to 2015 and the Vision Plan to 2013. A combination of factors, such as reduced funding and shifting funding from acquisition to redevelopment, could push the date of achieving the goal out beyond 2019. GUIDING PRINCIPLES AND/OR INVESTMENT STRATEGY Guiding Principles: Maintain the integrity of the City’s Human Services infrastructure by providing and/or supporting programs and services which meet community needs in the following areas: Safety net – health and safety Prevention and intervention Social equity, diversity and human rights Services and programs that promote self-sufficiency Quality of life enhancement Seek out efficiency improvements Capitalize on leverage opportunities Fulfill current financial obligations Investment Strategy: The ten-year update to the HHSMP was completed and accepted in 2005 and is being implemented. It provides direction regarding investment strategies for the department and is the basis for the Department’s Business Plan, including the 2008 Action Plan. This includes operational and organizational strategies that may impact investment. The strategies are consistent with the city-wide business plan. In addition to the HHSMP, the approved Social Sustainability Strategic Plan provides further direction regarding investment priorities. Only 29% of the HHS budget comes from the General Fund. The remaining 71% comes from restricted or dedicated funds, including Federal, State, other local government and private grants. Some of these funds are received in support of specific programs and cannot be used for any other purpose. HHS strives to maximize leveraged funding, as a way to increase the community benefit of COB dollars. HHS serves primarily vulnerable (at risk and/or low income) populations through all of its services and programs, including those that have been listed as desirable or discretionary. HHS also recognizes, as per direction from Council and in support of community values, the importance of having a range and mix of services that contribute to a balanced and diverse community. HHS Categorization is based on the following: Essential Safety net services and programs - meeting basic needs of mental and physical health, food and shelter, crisis intervention and containment - With a priority focus of residents at 40% AMI or less, residents at 200% national poverty level or less, disabled residents, at risk residents (e.g. of domestic violence, suicide, teen pregnancy, social isolation), etc. Financial obligations Barebones maintenance of existing, essential facilities Core services not provided by any other entity Desirable Prevention and intervention services and programs that avoid future social and economic cost to the City and the community – counseling, outreach, education, training, family support - With a priority focus of meeting the needs of residents up to 70% AMI Services and programs reflecting community values and supported by ballot initiatives or legislative action of City Council Services and programs that advance and/or support Council goals and/or Council directed initiatives Discretionary Services and programs that enhance quality of life – social, cultural and recreational support that improves the social fabric of the community Services available through other means Other community desired programs and services not specifically supported through legislative action or election HHS Prioritization is based on the following criteria: Safety net services Services not available elsewhere Services available elsewhere but not affordable Support of legislative action and/or code Support of Council goals Council directed initiatives Consistency with Boulder Valley Comprehensive Plan Support of regional initiatives or goals Cost per client served and/or cost/benefit Efficiency of providing service or program Available funding and/or leveraged funding Breadth of community population served Community capacity building Court-ordered or referred services Geographic population served OVERVIEW OF ACTION PLAN Please refer to Attachment B of the 2008-09 Budget Message for a listing of those Action Plan Items that were recommended for funding. The listing is presented in order by fund and department. Please see the section titled “City Council Direction on the Recommended Budget” for any changes from Attachment B. OVERVIEW OF VISION PLAN The HHS Vision Plan, as detailed in the HHS Master Plan, is a vision of the future, based on what is desirable for the community and could be accomplished if sufficient funds were available. Through the Vision Plan, the basic needs of residents are more fully met and programs are supported to ensure families and individuals at all stages of life have the tools necessary to reduce dependencies and be successful, contributing members of the community. Services contained in the Vision Plan are designed to address changing demographics, needs and service trends and enhance Boulder’s position as a leader in the housing and human services fields. When compared with the Action Plan, these services are viewed as longer-term, visionary needs within the 10-year planning period. The Vision plan proposes additional areas of emphasis including: 10% affordable housing goal by 2013; senior services analysis and plan for future services; increase nutritional, dental and hearing aid needs for seniors; expand human services fund to better meet community health needs; increase community engagement efforts; expand mediation services; expand services related to early care and education for children; and address needs of middle and high school youth. BUDGET POLICY ISSUES The Food Tax Rebate Program was transferred to HHS from the City Clerk’s Office in 2004 without funds to administer the program. The Food Tax Rebate Program is administratively costly and burdensome for applicants due to the eligibility and certification criteria. The Program has been streamlined and changed to be as efficient and effective as possible, within the constraints of the ordinance. This is still currently an unfunded program with funds diverted from other programs to support the Food Tax Rebate Program. We are requesting that funding the Food Tax Rebate Program be considered during the 2008 budget process. REVENUE ISSUES -none PERFORMANCE MEASURES Actual TargetTargetTarget 2006200720082009 1.The number of permanently affordable housing units added to the City of 117 120 125 125 Boulder’s housing stock on an annual basis ¹ 2.The average percentage of goal attainment on performance objectives set 91% 85% 85% 85% for agencies & projects funded by the HSF & YOP ² Actual TargetTargetTarget 2006200720082009 3.The percent of self-reported customer satisfaction surveys rating HHS services 91% 85% 85% 85% as “satisfactory” or “very satisfactory” ³ ¹ The 3-year average of permanently affordable housing units added to the COB’s housing stock from 2004-2006 was 127/yr, which was just under the average target for those years of 133/yr. The lower numbers in 2005 and 2006 were primarily due to variability from year to year in the timing of closings and requests for building permits, though some slippage is a result of rising costs in a time of reduced subsidy from the City to the Affordable Housing Fund and reduced Federal funding. ² HSF (Human Services Fund); YOP (Youth Opportunities Program) ³ 2006 target for goal attainment on performance objectives (2) and for customer satisfaction surveys (3) was 85%. LIBRARY/ARTS LIBRARY/ARTS ADMINISTRATION MAIN LIBRARYBRANCH LIBRARIES TECHNICAL SUPPORTARTSLIBRARY OUTREACH FACILITY MAINTENANCELIBRARY PROGRAMMING 2008 LIBRARY/ARTS BUDGET $7,218,611 Arts .15% Sales Tax Building Maintenance Main Library Services 4% 8% 34% Arts Gen Fund 3% Technical Support 27% Administration 5% Branch Library Programs and Services Services 9% 10% 2008-09 BUDGET LIBRARY 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM ADMINISTRATION $ Administration344,296$399,866$387,458$399,890 TOTAL344,296399,866387,458399,890 MAIN LIBRARY SERVICES Adult Services Adult1,202,6371,120,1431,290,7501,246,421 Young Adult25,17419,55432,28533,334 TOTAL 1,227,8111,139,6971,323,0351,279,755 Childrens Services Childrens Services 249,435297,237299,711309,433 TOTAL 249,435297,237299,711309,433 Information Services Information Services 792,254832,930870,794898,942 TOTAL 792,254832,930870,794898,942 TOTAL2,269,5012,269,8642,493,5402,488,130 BRANCH LIBRARY SERVICES Meadows Branch Library Meadows Branch Library 257,013248,361275,110283,698 TOTAL 257,013248,361275,110283,698 Reynolds Branch Library Reynolds Branch Library 253,083252,436271,032279,681 TOTAL 253,083252,436271,032279,681 Carnegie Branch Library Carnegie Branch Library 141,358141,298147,165151,732 TOTAL 141,358141,298147,165151,732 TOTAL651,454642,095693,307715,110 PROGRAMS AND SERVICES Adult Programming Film Program37,690 32,68033,70536,538 Concert series29,195 25,34027,92728,292 Lectures, Exhibits24,218 15,12923,25723,534 Public Information175,915 149,803161,996171,177 TOTAL267,017 222,953246,884259,540 Childrens Programming Childrens Programming 45,52255,29758,42160,313 TOTAL55,297 45,52258,42160,313 Volunteer Services Volunteer Services 30,54932,65734,92336,044 TOTAL 30,54932,65734,92336,044 Literacy Program Literacy Program 143,013148,548148,152152,895 TOTAL 143,013148,548148,152152,895 2008-09 BUDGET LIBRARY 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM Special Services Special Services 35,89939,77642,35343,717 Library Outreach 68,53071,25574,11776,513 TOTAL 104,429111,031116,470120,230 TOTAL 546,466594,417617,505636,500 TECHNICAL SUPPORT Technical Support Services Acquisitions659,566675,114 728,529688,867 Collection Org. and Maintenance437,899 365,091505,790521,600 TOTAL1,097,465 1,093,6201,180,9051,210,468 Computer Services Computer Services 482,067509,123523,874539,294 TOTAL 482,067509,123523,874539,294 Database Services Database Services 119,211229,745235,680242,029 TOTAL 119,211229,745235,680242,029 TOTAL 1,694,8981,836,3321,940,4581,991,792 BUILDING MAINTENANCE Building Maintenance 495,852546,900584,342598,644 TOTAL 495,852546,900584,342598,644 TOTAL $6,002,467$6,289,475$6,716,610$6,830,065 BUDGET BY CATEGORY Personnel Expenses$4,243,846$4,561,176$4,857,845$5,015,725 Operating Expenses1,484,1191,652,5401,702,4991,654,949 Interdepartmental Charges274,50272,259156,266159,391 Capital03,50000 TOTAL$6,002,467$6,289,475$6,716,610$6,830,065 BUDGET BY FUND Library$6,002,467$6,289,475$6,716,610$6,830,065 TOTAL$6,002,467$6,289,475$6,716,610$6,830,065 AUTHORIZED FTE's Standard FTE's78.9579.4580.2080.20 TOTAL78.9579.4580.2080.20 2008-09 BUDGET LIBRARY DEPARTMENT MISSION STATEMENT The mission of the Boulder Public Library is to enhance the personal and professional growth of Boulder residents and contribute to the development and sustainability of an engaged community through free access to ideas, information, cultural experiences and educational opportunities. BUSINESS PLAN NARRATIVE The business plan model continues to provide a framework for library budget development and has been integral to the development of the 2007 Library Master Plan recommendations. Like many city departments, the library has been challenged to rethink how it can best offer services of sustainable quality in an environment of limited resources. The business plan offers a clearly defined system of priorities to guide these decisions. The 2008 library business plan has evolved from the 2006 and 2007 business plans, to include fully developed fiscally constrained, action and vision plans. The 2008 Fiscally Constrained Plan presents a number of challenges, as analysis of the library’s financial position and services show that the quality of several core services cannot be sustained at current levels without new funding or reallocations that would result in service reductions. Even with an ongoing, dedicated focus on efficiencies and cost savings, the General Fund reductions sustained during the 2003-2005 budget retrenchment are proving to have a long-term impact on service quality. The areas most affected by this service quality erosion include building maintenance and security, energy costs, the library collection, children’s services, technology equipment and services, materials handling and shelving, and replacement funding for critical library equipment. GUIDING PRINCIPLES AND/OR INVESTMENT STRATEGY The business plan categorizes services as follows: 1.)Essential Services includebasic adult and children information services found in all public libraries, and a central main library facility to house these services. Included are children's and adult fiction and non-fiction materials, reference materials and reference assistance, and basic children's literacy programming such as story time. Support services for these direct public services are also categorized as essential. Examples include the technology and staffing to select, purchase, catalog, process, and shelve materials, technology and staffing to allow the public to use and check out materials, and resources to clean and maintain the facility. 2.) Desirable Services are enhancements to essential services and provide additional service points and facilities to accommodate population growth and/or convenience, outreach programs to ensure equal information access by all community members, and programs that enable the library to offer access to information in alternative forms and contribute to the community’s economic vitality by functioning as an important local arts venue. 3.) Discretionary Services enhance desirable library services. Currently funded discretionary services include Books-by-Mail and branch library cultural programming. Funding recommendations are guided by the library’s business plan, with essential services being given priority over desired or discretionary services. In addition to the business plan framework, the library’s investment strategy is based on the following guiding principles: The library’s mission and vision statements guide program and policy decisions. Priority consideration is given to programs and services that: -serve significant numbers of people, -help BPL keep pace with advancements in the delivery of library services, -reach groups that cannot easily access library services or are under-served in the community, -generate or leverage additional funding, and/or -foster community involvement through volunteerism. Facilities must be safe, clean and well maintained. OVERVIEW OF ACTION PLAN The 2008 Action Plan identifies two types of improvements. Highest priority funding needs are focused on essential services which at present are inadequately funded to provide sustainable service quality in the Fiscally Constrained Plan, as described above. Lower priorities are assigned to other strategies identified in the Action Plan, but remain important if the library is to provide quality services that stay current with the changes occurring in the world of information services, and also address the needs of changing community demographics. Included among these is the change most frequently requested by library patrons - restoring hours that were reduced in 2004 and 2005. The Action Plan also proposes relatively modest improvements to meeting areas, and reconfiguration of library space to better meet the needs of library users. In the technology area, the plan addresses the growing demand for online information services by recommending additional resources to develop information portals, expansion of remotely accessed services and simplified access to content available on the BPL Web site. In the area of outreach and services to diverse populations, the plan addresses the needs of Boulder’s growing Latino population by proposing expansion of the Spanish language collection and translation of portions of the Web site. Finally, the Action Plan recommends that library furnishings and fixtures be replaced on a 25-year cycle, and that a program plan be developed to address the long-term needs and services of the Carnegie branch facility. Please refer to Attachment B of the 2008-09 Budget Message for a listing of those Action Plan Items that were recommended for funding. The listing is presented in order by fund and department. Please see the section titled “City Council Direction on the Recommended Budget” for any changes from Attachment B. OVERVIEW OF VISION PLAN The Boulder Public Library vision of excellence is intended to create physical and virtual crossroads to connect patrons to past and present information and provide them with the tools and facilities to create new knowledge, to interact with others, to read and reflect on their own, and to enjoy and be inspired by the arts. Much of the vision plan is dependent upon a comprehensive study of current functions and uses of space within the library system. In order to achieve the objectives of becoming a leading edge center for access to information technology and to provide flexible, state-of-the-art multimedia meeting and community spaces, the library staff will engage the services of a qualified consultant to evaluate the current use of space and propose recommendations for future uses. The space study will also be used to evaluate the necessity for an expanded main library facility, as well as additional branch and/or mobile facilities to serve other needs of the community, including robust collaboration with area educational, business and non-profit institutions, and a world-class technology/homework center for teens and children. Finally, the vision plan will provide the citizens of Boulder with the materials collection befitting a progressive, highly educated community, by developing and implementing a sustainable financial method to endow such a collection. PERFORMANCE MEASURES ActualTargetTargetTarget 2006200720082009 1.Probability that materials or N/A*N/A*.90N/A information sought by patrons can be obtained through Boulder Public library services. 2.(a) Conventional use of information 1,109,6191,132,0001,155,0001,178,000 sources (books, items videos, tapes)circulated (b) Remote use of library resources 1,630,9451,665,0001,700,0001,734,000 (remote access to remote visits library webpage) 3.Percent of users who perceive that Boulder Public 94%95%95%95% Library staff provide competent, courteous service 4.Number participating in the Library’s 53,56454,00055,00056,100 cultural and educational programming. 5.Attendance at Diversity Outreach8,6478,8009,0009,200 Programs * Question not included in 2006 patron survey. Will be included in 2008 patron survey. Surveys administered every other year. 2008-09 BUDGET ARTS 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM Arts Administration$47,966$49,864$51,553$53,134 Arts .15% Allocation 276,022287,000297,945304,791 Major Arts Grants70,53574,48575,97577,495 Arts Mini-Grants 7,7358,1608,3238,489 Theater Guild Assistance 4,06722,27800 Boulder Arts Center Assistance 43,71644,59145,48346,393 Space for Dance Assistance022,72223,176 12,698 TOTAL$462,739$486,378$502,001$513,479 BUDGET BY CATEGORY Personnel Expenses$106,716$110,022$114,984$118,721 Operating Expenses287,352376,356387,017394,757 Interdepartmental Charges30,971000 Other Financing Uses 37,700000 TOTAL$462,739$486,378$502,001$513,479 BUDGET BY FUND General$186,716$199,378$204,056$208,687 .15 Cent Sales Tax Fund276,022287,000297,945304,791 TOTAL$462,739$486,378$502,001$513,479 AUTHORIZED FTE's Standard FTE's1.501.501.501.50 TOTAL1.501.501.501.50 2008-09 BUDGET ARTS DEPARTMENT MISSION STATEMENT The mission of the Boulder Arts Commission is to further the development of a dynamic arts community through encouraging artistic innovation, collaboration, public art and organizational stability; to increase awareness of, participation in, and access to the arts as a community-wide resource; to promote multicultural expression and participation in the arts through support of diverse ethnic cultures and artistic aesthetics; to create opportunities for Boulder artists and arts organizations to participate successfully in their communities; to act as an advocate on behalf of the arts in the public and private sectors; and to foster a creative cultural climate in the community. BUSINESS PLAN NARRATIVE The quality of life implications of a thriving arts community are apparent, but the financial reasons for supporting the arts are less obvious. The latest Arts Commission/Americans for the Arts economic study completed in May 2007 show the arts generated $27.58 million in local economic activity. This results from arts audiences’ event-related expenditures in local restaurants, hotels, retail stores and services and artist/organizational expenditures to produce events. The arts are a clean industry that attracts audiences, spurs business development, supports jobs and generates revenue for government services. Recognizing the arts’ role in economic vitality, the Arts Commission continues to focus grant funding on efforts which will position Boulder as a major center known for quality arts offerings. In addition to supporting diverse and professional arts performances, exhibits and works, funding has also included organizational training and resource development for arts groups to enhance business and management skills, with a strong focus on mentorship. Local and regional partnerships with the business community and other arts organizations have been focused on marketing, promotion and coordinated support of the arts. Implementation of the Cultural Master Plan, a joint effort of the Boulder Arts Commission, community arts organizations and artists is complete and community arts objectives have been initiated. GUIDING PRINCIPLES OR INVESTMENT STRATEGY The arts program seeks to strategically support and promote the development of Boulder’s fine and performing arts in alignment with the Arts Department mission. Current arts services and programs are categorized using the following investment strategy model: 1. Essential Services: There are no arts services meeting the essential services definition as presented in the City Business Plan. 2. Desirable Services: Desirable arts services and programs contribute to the local economic vitality, help shape the identity of the community, attract creative talent and enhance the community’s quality of life. 3. Discretionary Services: Discretionary arts services and programs enhance or expand desirable arts programs or are programs that benefit a limited population or group. OVERVIEW OF ACTION PLAN Please refer to Attachment B of the 2008-09 Budget Message for a listing of those Action Plan Items that were recommended for funding. The listing is presented in order by fund and department. Please see the section titled “City Council Direction on the Recommended Budget” for any changes from Attachment B. OVERVIEW OF VISION PLAN With the completion of the Cultural Master Plan, the Boulder Arts Commission is committed to position Boulder as an important and thriving year-round center for the arts. The BAC’s role in implementing the Cultural Master Plan includes strategic funding to support the following goals: Positioning, Marketing and Promoting: Raise the profile of the arts through more aggressive marketing and education. The BAC will support these efforts through innovative grant making, facilitating the sharing of resources, pursuing publicity and public relations and bringing arts leaders together to keep the arts community focused on the plan’s goals and objectives. Community and Arts Partnerships: Develop greater resources within public and private sectors to support the arts.Create partnerships with the business community that yield returns for both entities. Organizational Development: Coordinate the cultural development efforts of arts organizations and individual artists. Sponsor professional workshops to develop skills and provide networking opportunities for the arts. Increase public awareness of the value of arts and culture: Create opportunities for joint programming and marketing among cultural organizations. Advance arts promotion strategies designed to education and inform the community. PERFORMANCE MEASURES ActualTargetTargetTarget 2006200720082009 1.Increase the number of participants registered in the Boulder Arts 525 550 575 600 Resource. 2.Increase the number of new public art pieces incorporated into City 2 2 2 2 projects. OFFICE OF ENVIRONMENTAL AFFAIRS OFFICE OF ENVIRONMENTAL AFFAIRS ADMINISTRATION I.P.M. CLIMATE P.A.C.E. (Integrated Pest WASTE ACTION PLAN/ (Partner's for a Clean Management)REDUCTION GREEN BUILDINGEnvironment) 2008 BUDGET $2,324,973 Administration Environmental Integrated Pest 7% Sustainability Management <1% 3% PACE Waste Reduction 8% 42% Climate Action Plan/ Green Building 40% 2008-09 BUDGET ENVIRONMENTAL AFFAIRS 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM Administration$36,758$188,342$152,600$156,784 PACE183,324186,776191,703 193,791 Climate Action Plan/ Green Building 257,03452,626927,626933,054 Environmental Sustainability 10,32010,00010,00010,200 Waste Reduction1,054,9661,062,284984,2241,007,003 Integrated Pest Management (IPM)59,13920,42363,74865,523 TOTAL$1,612,007$1,517,000$2,324,973$2,364,266 BUDGET BY CATEGORY 431,305 Personnel Expenses$$473,255$741,397$765,492 1,173,089 Operating Expenses1,037,3901,574,9761,590,002 7,613 Interdepartmental Charges6,3558,6008,772 TOTAL$1,612,007$1,517,000$2,324,973$2,364,266 BUDGET BY FUND General$1,405,825$1,230,000$1,152,000$1,180,231 .15 Cent Sales Tax Fund206,182287,000297,974304,660 Climate Action Plan00875,000879,375 TOTAL$1,612,007$1,517,000$2,324,973$2,364,266 AUTHORIZED FTE's Standard FTE's6.005.509.509.50 TOTAL6.005.509.509.50 2008-09 BUDGET CITY MANAGER’S OFFICE OFFICE OF ENVIRONMENTAL AFFAIRS MISSION STATEMENT To guide the community and city organization in protecting the quality of our environment by reducing pollution, curbing resource consumption and promoting sustainable practices. BUSINESS PLAN NARRATIVE The 2008 budget for the Office of Environmental Affairs is comprised of $1,152,000 from the General Fund - Trash Haulers’ Occupation Tax revenues, $298,000 from a portion of the 0.15% Sales Tax - Dedicated Environment Fund and $875,000 from the Climate Action Plan tax. Budget History As part of the 2005 budget, City Council approved increasing the Trash Tax by $468,000. A portion of this, $258,000 had been dedicated to greenhouse gas emissions reduction programs, but expired at the end of 2006. The remaining $210,000 Trash Tax increase does not expire and is dedicated to carrying out the fiscally constrained portion of the city’s Master Plan for Waste Reduction (MPWR). OEA’s 2007 budget target included no funding for greenhouse gas emissions reduction programs, except personnel costs associated with 1.0 FTE still funded by the base Trash Tax. At this level, the fiscally constrained portion of the city’s Climate Action Plan was under-funded. Implementation of the Climate Action Plan (CAP) began in January 2007. Because Xcel Energy began collecting the CAP tax on April 1, 2007, tax revenue is not projected to provide the City Council approved budget of $860,265. Staff estimated that $700,000 in CAP tax revenue would be generated in 2007. Of the $860,265 appropriated in 2007, $160,265 was carried over from unspent climate & energy program budgets and excess trash tax revenues collected in 2006. If received, excess CAP tax revenues will be used to reimburse the trash tax. If tax revenues are short, programmatic expenses will be reduced. Full scale implementation of the Climate Action Plan will be phased in during 2007 and 2008. The CAP assumed that programs, strategies and funding levels would be adjusted over time to ensure the emissions reduction goal is met and to respond to actual program results, changes in utility program offerings and other factors. Staff is evaluating the emissions reduction potential associated with existing programs, as well as other more aggressive measures outlined in the CAP. Staff will review their analysis and options with the CAP Advisory Group and City Council during July and August and request input on options for 2008. Potential changes include increasing the annual budget to expand or add programs, as well as regulatory options that reduce energy use in homes and commercial buildings. OVERVIEW OF ACTION PLAN In April 2006, City Council adopted the Master Plan for Waste Reduction (MPWR), which includes a Fiscally Constrained current plan, an Action Plan and a Vision Plan and outlines a roadmap to achieve 85 percent waste reduction by 2017. Funding for the action or vision plans of the MPWR would likely come from future increases to the city Trash Tax. The MPWR and the Climate Action Plan will be merged into a larger Strategic Plan for the Office of Environmental Affairs, expected by the early part of 2008. In the interim, the Action Plan includes those immediate needs that are above the personnel and non- personnel expense (NPE) increase for the 2007-2012 budget planning period. This includes expenses associated with residential and commercial green building programs. Please refer to Attachment B of the 2008-09 Budget Message for a listing of those Action Plan Items that were recommended for funding. The listing is presented in order by fund and department. Please see the section titled “City Council Direction on the Recommended Budget” for any changes from Attachment B. OVERVIEW OF VISION PLAN OEA’s work program currently encompasses six different focus areas. City Council has accepted master plans for two of these focus areas: waste reduction and greenhouse gas emissions reduction. The MPWR outlines a vision of 85 percent waste diversion by 2017. The Climate Action Plan lays out the plan to get the city to the Kyoto Protocol goal. City Council could set a greenhouse gas emissions reduction goal higher than the Kyoto Protocol target as a Climate Vision Plan. For the four other program areas: integrated pest management (including West Nile Virus), urban wildlife management, green building and pollution prevention (PACE), no master plans currently exist. The vision for city of Boulder green building programs includes implementation of a comprehensive residential Green Points program, adding green multifamily and affordable housing programs as well. All green building programs will be integrated into Planning and Development Services business processes, and is updated every three years to keep pace with industry norms, technological advances and the standard code adoption process. In addition, a green building vision includes a city of Boulder commercial green building code that results in all new and remodeled commercial construction being designed and built to a LEED (Leadership in Energy & Environmental Design) standard or a predetermined performance measure. The vision for the program areas without master plans will be clarified in the Environmental Affairs’ Strategic Plan. GUIDING PRINCIPLES OR INVESTMENT STRATEGY OEA uses its funding to address needs in the community, seeking opportunities for cost- effective and equitable programs and partnerships to achieve City Council objectives and by leveraging outside programs and funds when appropriate. The General Fund - Trash Tax funding is used primarily for waste reduction programs although some personnel expenses have been spent on program management for non-waste reduction related programs in the past (Climate Action Plan, green building and municipalization). The 0.15% Sales Tax - Dedicated Environment funding is used for other environmental programs that do not have a dedicated funding source (e.g., green building, integrated pest management, PACE). Essential services include financial management, program administration, West Nile Virus administration and education, state Weed Law implementation and residential green building. These services encompass components of programs that address public health, state legal requirements, as well as legal and professional responsibilities within the city organization for employee and financial management. Desirable services are those which address community values and quality of life improvements and that are not obtainable through other means. The main program areas include: maintaining and expanding community recycling options, reducing greenhouse gas emissions, green building, business assistance and certification through PACE, reducing chemical use and pest problems through integrated pest management and project management for the ongoing municipalization feasibility study and Xcel Energy franchise negotiations. Discretionary services contribute to but are not essential to achieving City Council goals and OEA objectives. Services in this category include electronics and Hard-to-Recycle materials recycling. PERFORMANCE MEASURES ACTUAL TARGET TARGET TARGET 2006200720082009 1. Residential waste 49% 70% 60% 65% reduction 2. Commercial waste 33% 50% 50% 65% reduction 3.Energy (commercial): Number of commercial 7 30 40 40 energy audits ACTUAL TARGET TARGET TARGET 2006200720082009 4.Energy (residential): Number of residential 10280350500 energy audits Number of weatherization 10102530 projects OPEN SPACE/MOUNTAIN PARKS OPEN SPACE/MOUNTAIN PARKS CENTRAL SERVICESREAL ESTATE SERVICES PLANNING & TECHNICAL SERVICES ENVIRONMENTAL & VISITOR SERVICESLAND & FACILITIES SERVICES 2008 BUDGET $25,699,523 Central Planning & Services Technical Services 5% 5% Environmental & Transfers & Visitor Services Debt Service 11% 46% Land & Facilities Services 13% Office of the Director Real Estate Capital 2% Services 15% 3% 2008-09 BUDGET OPEN SPACE/MOUNTAIN PARKS 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM OFFICE OF THE DIRECTOR $174,786$448,615$470,466$482,676 Office of the Director 174,786448,615470,466482,676 CENTRAL SERVICES DIVISION CSD-Divisional Services131,885131,364135,453 124,094 Support Services 649,431577,572693,501713,822 Financial Mgmt Services 230,284247,847266,027274,384 Media Services 69,89872,94678,32980,849 1,073,7071,030,2501,169,2211,204,508 REAL ESTATE SERVICES DIVISION Real Estate Services674,079 601,114617,971653,338 601,114617,971653,338674,079 PLANNING & TECHNICAL SERVICES DIVISION PTSD-Divisional Services 103,187126,981138,330142,538 Planning Services632,197811,580836,583 537,784 Technical Services449,528458,942471,337 400,087 1,208,7061,408,8511,450,459 1,041,058 ENVIRONMENTAL & VISITOR SRVCS DIVISION EVSD-Divisional Services107,188106,742110,184 98,964 Resource Conservation & Education Outreach1,277,1371,512,4521,559,270 1,193,287 Ranger Naturalist Services 1,099,3761,125,7591,183,8901,221,444 2,391,6272,510,0842,803,0842,890,898 LAND & FACILITIES SERVICES DIVISION LFSD-Divisional Services 96,424104,173109,767113,306 Resource Operations Services 783,886757,789812,469836,987 Maintenance Operations Services 1,445,3231,458,2371,520,8071,562,001 Project Management Services955,871863,4771,006,0961,032,816 3,281,5043,183,6753,449,1393,545,110 CAPITAL Capital9,000,2583,980,0003,980,0004,059,600 9,000,2583,980,0003,980,0004,059,600 TRANSFERS AND DEBT SERVICE Operating Transfers726,134776,448815,571814,914 Debt Service (BMPA)3,069,3683,405,7412,739,7152,438,757 Debt Service (Non-BMPA)2,676,2808,288,4348,210,1378,191,182 6,471,78212,470,62311,765,42311,444,853 TOTAL$24,035,837$25,449,926$25,699,523$25,752,182 BUDGET BY CATEGORY Personnel Expenses$6,246,227$6,618,220$7,563,778$7,809,601 Operating Expenses1,733,2101,607,8301,504,7881,534,884 Interdepartmental Charges588,446587,613696,181710,104 Capital8,996,1714,165,6404,169,3534,252,740 Debt Service5,745,64811,694,17510,949,85210,629,939 Other Financing Uses726,134776,448815,571814,914 TOTAL$24,035,837$25,449,926$25,699,523$25,752,182 2008-09 BUDGET OPEN SPACE/MOUNTAIN PARKS 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM BUDGET BY FUND General$112,514$121,277$129,715$133,931 Lottery76,102000 Open Space23,847,22125,328,64925,569,80825,618,252 TOTAL$24,035,837$25,449,926$25,699,523$25,752,182 AUTHORIZED FTE's 92.00 Standard FTE's77.5883.2592.00 24.00 Seasonal Temporary FTEs13.0024.0024.00 TOTAL90.58107.25116.00116.00 2008-09 BUDGET OPEN SPACE AND MOUNTAIN PARKS DEPARTMENT MISSION STATEMENT The Open Space and Mountain Parks Department preserves and protects the natural environment and land resources that characterize Boulder. The Department fosters appreciation and use that sustain the natural values of the land for current and future generations. BUSINESS PLAN NARRATIVE Council established and clarified two major priorities in 2005 with approval of the Visitor Master Plan and extension of the Acquisitions and Management Plan from 2006 through 2011. The Acquisitions and Management Plan 2000-2006 was first approved by council in 1999 and expanded in 2001. It set the framework for completion of the Open Space acquisitions program, entering its 40th year in 2007, at approximately 51,000 acres extending from Coal Creek Canyon in the south to Table Mountain and the Saint Vrain Creek Drainage to the north. Approximately 6,700 acres remain for acquisition including full fee purchases, purchased and donated conservation easements and Intergovernmental Agreements (IGAs). The staff feels it is on target to complete the plan using the tools available including partnerships with other entities and IGAs, and utilizing the remaining bonding authorities from previous elections, the Boulder Municipal Property Authority (BMPA) notes and annual CIP appropriations from the Open Space Fund fund balance. The Visitor Master Plan (VMP) will enter its third full year of implementation in 2008. Major capital projects envisioned in the plan were scheduled within a 6 year CIP horizon through 2010 but the plan also acknowledges that it would “require a longer time period to complete all identified capital and non-capital projects”. The Fiscally Constrained Budget (Current Funding Scenario) relied on a combination of Open Space capital funds and Lottery funds. OSMP has nearly doubled its contribution for Visitor Infrastructure to $450,000 per year and raised the potential for capital implementation toward the Vision Plan (Identified Need) Level when combined with the Lottery Funds. However, the reallocation of the Lottery funds to Parks and Recreation for 2 years, in 2007 and 2008, has put implementation below the Action Plan (Accelerated Funding) level for that time period. A particularly dynamic aspect of the VMP is the Trails Study Area (TSA) concept. The VMP identified 9 TSAs within the system for further study in order to produce, including extensive public process, a comprehensive and detailed set of recommendations for each area including actions for existing trails, undesignated trails and new trails. Completion of the first two TSAs in the Marshall Mesa/Southern Grasslands and Eldorado Mountain/Doudy Draw areas has resulted in visitor infrastructure plans that are more detailed than the broad brush of the Management Area Designations found in the VMP. This in turn has driven the need for staffing to implement these plans including construction and maintenance, and education and enforcement as well as monitoring. In 2006, the staff condensed the initial 9 TSAs into 4 TSAs, determined so as to complete a system plan that will address and link together resource management needs not addressed in the VMP or other approved area and resource management plans. In 2006, council also directed staff to complete a Grasslands Plan for its consideration by first quarter of 2008. Voter approval in 2003 of an additional 0.15 cent sales and use tax for Open Space purposes from 2004 through 2019 made it possible for the department to begin restoration of programs and services starting in 2004. This increase of revenues is the reason that the department has been able to re-program itself to meet the needs of the VMP as aggressively as it has and to continue with the vision of the Acquisitions and Management Plan. Staff’s strategy for accomplishing the goals and strategies of these plans has been to start out with fixed term positions and then evaluate their long term effectiveness and fiscal sustainability. In this way staff is taking gradual steps to achieve the goals of the plans and maintain a balance with all departmental commitments to programs and funding, including maintenance and acquisitions, in the context of actual and projected revenues . and expenditures The business plan indicates deficiencies in several areas linked to implementation of the VMP including administrative support for all functions, ranger services, education, resource conservation, planning and technical services, trails and related facilities, as well as key operational functions. Fixed term professional staff (10.92 FTEs) and seasonals (2 FTEs) now fill many of these positions. Because the positions now providing services to the community expire at the end of 2007, a number of programs and services would fall well below acceptable service standards without the Action Plan funding requested for 2008. In 2008, the department proposes a combination of fixed term and ongoing positions across major service areas of the organization to address some of these needs. These include administrative support for new programs, rangers, education, resource conservation, monitoring and coordination of VMP, construction and maintenance of trails and related facilities, including signs, and resource operations, as well as a currently unfunded cultural resources program. Approximately 18% of the funding would come directly from reallocations. Additionally, existing fleet will be more actively pooled, and staff will continue to explore cost savings that might be realized by using smaller vehicles, extending replacement cycles and sharing equipment. GUIDING PRINCIPLES AND/OR INVESTMENT STRATEGY Essential Services 1.) include the Charter goals of land acquisition for open space and mountain parks; preservation and restoration of open space and mountain parks land to protect unusual, spectacular, historically important and valuable terrain, geologic formations, flora and fauna. Other Charter goals include preservation of water resources by purchase of water rights; shaping the development of the City; limiting urban sprawl through land acquisitions; and preserving land for its aesthetic or passive recreational value and its contribution to the quality of life of the community. In addition to attaining Charter goals, the Department must comply with local, state and federal laws and regulations; for example, state weed laws and dam safety regulations. Desirable Services 2.) include enforcement of City code requirements including dog management, parking on Flagstaff Mountain and trailhead curfews. In April 2005, the City Council approved the Visitor Master Plan establishing long-term policies and practices designed to improve the visitor experience on OSMP land. Additionally, OSMP is guided by the adopted Boulder Valley Comprehensive Plan, the Open Space Long Range Management Policies and resource management plans including Forest Ecosystem Management Plan and the Grasslands/Black-tailed Prairie Dog Plan. All of the plans require that the Department take specific actions for implementation and management. 3.)Discretionary Services include certain aspects of facility maintenance, education and enforcement, volunteer management, and monitoring and planning that are important to members of the community as well as management of third tier prairie dog issues which include relocation of prairie dogs from private property in the City to other sites. This relocation is no longer being performed as it is no longer feasible. OVERVIEW OF ACTION PLAN Please refer to Attachment B of the 2008-09 Budget Message for a listing of those Action Plan Items that were recommended for funding. The listing is presented in order by fund and department. Please see the section titled “City Council Direction on the Recommended Budget” for any changes from Attachment B. OVERVIEW OF VISION PLAN The Open Space and Mountain Parks Vision Plan would include full implementation of the Visitor Master Plan approved by Council in April 2005, including outcomes of the Trails Study Area (TSA) public processes now in development together with the goals of the Acquisition and Management Plan 2005-2011 extended by Council in October 2005. The Open Space and Mountain Parks’ Visitor Master Plan outlines a Fiscally Constrained Plan, an Action Plan and a Vision Plan (identified as Current Funding Investment, Accelerated Funding Investment and Identified Need Investment Programs respectively in the Visitor Master Plan). The Action Plan is the next set of strategic steps that will provide additional resources across the Department including trails construction and maintenance, education and outreach, cultural and recreational resource programs and administrative support. Staffing needs have grown with the commitments from the VMP, a growing trails system, increasing acreage and heightened community expectations for the OSMP program. It is unrealistic for the department to expect to accomplish the aggressive level of VMP implementation it has undertaken without gradually increasing staffing levels. Increased and sustained funding for operations staff starting in 2008 will move the department further toward attainment of these goals. PERFORMANCE MEASURES ActualTargetTargetTarget 2006200720082009 1.Total acres under Management and 43,797 44,800 45,800 46,800 Stewardship of Department 2.Number of adopted 1 2 3 4 Trail Study Area Plans Actual acres acquired through 2006 total 43,797. PARKS AND RECREATION PARKS & RECREATION RECREATIONPARKS AND PLANNING Business and Policy and Financial ManagementInformation Services 2008 BUDGET $23,259,532 Administration Debt Service 7% Recreation 11% 44% Operating Transfers 1% City Parks 19% Parks Planning & Construction 18% 2008-09 BUDGET PARKS AND RECREATION 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM ADMINISTRATION $114,880$0$0$0 Administration Business & Financial Management0329,238353,223363,415 578,503354,078274,300283,182 Support Services 139,337142,771230,065235,588 Technology Support 155,881000 Recreation Center Front Desk Operations 326,678322,340328,555337,961 Marketing & Volunteer Coordination 340,354217,799236,346243,794 Office of the Director 2,739,9392,733,2972,591,2872,385,453 Debt Service 245,908501,836212,809221,270 Operating Transfers Policy & Information Services0103,133105,697109,132 4,641,4804,704,4914,332,2844,179,795 PARKS PLANNING & CONSTRUCTION Administration582,567598,224614,907 236,549 Construction156,265150,000153,000 169,983 Projects3,544,705 3,056,5083,321,6734,129,208 3,463,0404,060,5054,292,9294,897,115 CITY PARKS Administration 95,786156,68268,29170,358 City Parks 2,823,5052,965,3893,208,0593,300,265 Forestry705,107 628,571669,870724,827 Conservation453,609470,075469,051482,844 4,001,4714,262,0174,450,5074,578,294 RECREATION Administration 170,423369,268333,195344,024 Access & Inclusion 594,797498,847454,285468,167 NBRC and Programs 1,904,676000 Recreation Centers 01,870,2271,978,1722,030,214 EBRC and Programs000 1,250,268 Aquatics and Boulder Reservoir1,637,6641,774,4521,827,424 0 SBRC and Programs 1,367,721000 Recreation Programs 02,105,0482,175,3682,242,855 Sports709,264751,254772,663 696,945 Sports Turf819,799823,438846,296 690,423 Golf Course Operations1,367,4471,404,634 1,294,7521,326,114 Reservoir000 714,586 Youth & Other Recreation Programs209,956199,810205,717 240,081 Special Projects and Planning241,816326,392336,865 188,680 9,788,00310,183,81310,478,860 9,113,352 TOTAL$21,219,343$22,815,016$23,259,532$24,134,064 BUDGET BY CATEGORY Personnel Expenses$10,432,164$10,931,532$11,933,466$12,321,296 Operating Expenses4,397,2664,764,6294,698,3504,792,344 Interdepartmental Charges1,151,885636,548269,282274,668 Capital2,222,5493,247,1743,554,3384,139,034 Debt Service2,739,9392,733,2972,591,2872,385,453 Other Financing Uses275,541501,836212,809221,270 TOTAL$21,219,343$22,815,016$23,259,532$24,134,064 2008-09 BUDGET PARKS AND RECREATION 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM BUDGET BY FUND General$3,980,367$3,844,839$3,975,660$4,092,193 Lottery1,010,7901,100,0001,000,000525,000 .15 Cent Sales Tax Fund203,386276,000286,807294,330 .25 Cent Sales Tax Fund5,264,2046,014,2546,196,1346,257,045 Recreation Activity8,915,1739,532,9619,916,75810,204,350 Permanent Parks & Recreation1,845,4232,046,9621,884,1742,761,148 TOTAL$21,219,343$22,815,016$23,259,532$24,134,064 AUTHORIZED FTE's Standard FTE's145.25144.62145.82145.82 Seasonals79.0079.0079.0079.00 TOTAL224.25223.62224.82224.82 2008-09 BUDGET PARKS AND RECREATION DEPARTMENT MISSION STATEMENT The mission of the city of Boulder Parks and Recreation Department is to provide safe, clean, and beautiful parks and facilities and high-quality leisure activities for the community. These services shall enhance residents' health and well-being and promote economic vitality for long-term community sustainability. We will accomplish this through creative leadership, environmentally sustainable practices, and the responsible use of available resources. BUSINESS PLAN NARRATIVE Since 2001, the city of Boulder has been combating the effects of a local and national recession. Competition for retail sales tax, the crux of the city’s revenue base, coupled with rising inflation created an ongoing funding challenge for the provision of municipal services. This impacted the department of Parks and Recreation since sales tax revenue directly or indirectly funds 40 percent of its functions. Additionally, the department’s General Fund budget was reduced by $1,100,000 during this period and the general fund subsidy for recreation services was reduced by $330,000. As a budget strategy, funding for maintenance and renovation of the departments current assets was prioritized over new development in the .25 Cent Sales Tax Fund. The shift in funding for maintenance from the General Fund to the .25 Sales Tax Fund placed more of the burden of ongoing maintenance on the dedicated tax revenue but was insufficient to fully cover increased maintenance costs. As a result of these factors, the park system is being maintained at a decreased level of service; however, the department is committed to resolving and preventing all health, safety and sanitation issues at all sites. In 2006, the department implemented more strategies to identify efficiencies within the organization and minimize public impact. As a result, a $415,000 budget reduction was implemented to resolve a Recreation Activity Fund (RAF) imbalance between revenues and expenditures. The RAF is the primary funding source for recreation programs and services including the three recreation centers, Boulder Reservoir, Flatirons Golf Course, and the two outdoor pools. The additional $415,000 reduction was not related to any General Fund budget reduction, but instead reflects that Recreation Activity Fund revenue sources (e.g. user fees and General Fund transfer) must balance with expenditures (e.g. recreation facility and program costs). Because departments city-wide have been faced with fiscal constraints on operations, it is necessary to determine what offerings are essential and must be provided at an acceptable service standard level. These priorities are determined through the department’s Master Plan and the city’s Business Plan. The department’s master plan categorizes its recommendations within a fiscally constrained, action and vision plan framework. The city’s Business Plan categorizes all city programs and services into essential, desirable and discretionary categories and determines what will be funded within fiscally constrained, action and vision plans. A key objective for the department in both the business plan and master plan is to take care of existing assets. Necessary services include: snow removal, sidewalk, parking lot, playground, walkway and path maintenance, basic turf maintenance, trash removal, security lighting, protective fencing, bridge repair, maintenance of retaining walls, precautionary signage; hazardous tree removal, noxious weed mitigation, protective wildlife management (e.g. bear encroachment); general health and safety maintenance and repairs to recreation facilities, restrooms and shelters; ADA requirements (accessibility and inclusion). The department’s Fiscally Constrained Plan reflects how the department manages these functional areas. The department is striving to best serve the community with its available resources. Reallocations in the 2007 budget provided increased ongoing funding for parks maintenance and capital renovations of approximately $170,000. Beginning in 2006, the department’s Capital Improvement Program (CIP) has been increased to reflect stabilizing and improved sales tax collections in the .25 Cent Sales Tax Fund. The Parks and Planning Division is phasing in an organizational restructure to position itself to better allocate current resources and create a more sustainable system. The department’s Action Plan submission includes unfunded priorities necessary to restore and expand programs and services. For 2008, key requests include: increased park maintenance staffing to meet an acceptable service standard level, expansion of the Youth Services Initiative (YSI) to provide comprehensive services at additional sites city- wide, implementation of a framework to align programs and services with cost-recovery goals/levels. All efforts are currently not viable unless additional funding is provided or new revenues are produced. The department’s long-term outlook for financial sustainability emerged as one of the most critical issues of the master plan. Two expiring sales taxes, the .15 cent and the .25 cent, volatile user fee revenues and increasing costs contribute to an unstable long term financial picture. The department’s ability to generate additional revenue through the provision of recreation programs and services is challenged by competition from private providers and local competition. In recent years, many neighboring communities have built new recreation centers and increased the number of programs offered to their residents. Market comparisons indicate that recreation center fees are higher in Boulder than in neighboring communities. To ensure the solvency of the Recreation Activity Fund (RAF), revenue generation must grow at the same rate as expenditures. RAF expenses are projected to increase in 2007 and beyond based on higher costs related to day-to-day business, including increased staffing, utilities and other operational requirements. Staff assumes personnel expenses will continue to grow annually at approximately 4 percent. Additional seasonal staff will be required to support the department’s more popular seasonal program and service offerings requiring a higher staff-to-participant ratio. Staff also assumes the majority of non-personnel expenditures will generally rise at the rate of the Denver/Boulder Consumer Price Index (CPI) of approximately 3 percent. However, utilities and fuel expenses are projected to remain volatile and it is anticipated that they will continue to rise at a rate higher than the CPI.As a result, the gap between revenues and expenditures will continue to grow. Similar to the General Fund’s reserve policy, the department strives to maintain a 10 percent fund balance reserve in the RAF. This balance would be available to assist in sustaining programs and services in the event of decreased financial performance due to weather-related incidence and/or program and facility attendance. Even though the Recreation Division continues to be challenged by financial conditions, the department has initiated strategies that have increased revenue production in the RAF. New practices have been adopted including: implementation of a pricing methodology for programs, activities and services; implementation of the annual pass monthly payment option intended to give payment flexibility to users and to make purchasing an annual pass more affordable; implementation of a discount program for the purchase of annual passes aimed at employees of businesses that belong to the Boulder Chamber of Commerce; implementation of special promotional programs that target existing and potential customers; and hiring a Marketing Manager to centralize and evaluate marketing efforts with an interest in effectiveness and increased return on investment. As a result of the new practices, the Recreation Division has experienced increases in attendance, sales volume, and revenues. Although revenues have increased for the past three years, rising costs coupled with the need to maintain adequate reserves will result in a $675,000 fund balance in 2013. GUIDING PRINCIPLES AND INVESTMENT STRATEGY City Council approved the department’s master plan in December 2006. The master plan incorporated public feedback from Town Hall Meetings, focus groups, survey data and the recommendations of the Parks and Recreation Advisory Board and city Planning Board. The master plan discussions with the community clearly indicated that Boulder residents place a high value on Parks and Recreation services and programs. Although budgetary conditions remain fiscally constrained, the department is committed to developing long-term sustainability and providing great parks and recreation experiences to the public. The recently-adopted master plan is being utilized to provide the framework, recommendations and guidance necessary to help the department achieve goals that align with the city’s business plan goals. In an effort to integrate the principles of economic, social, and environmental sustainability into operational decision making, the department’s goals are as follows: Maintain and protect our parks and recreation facilities and programs. Become economically sustainable. Fill in the gaps in our parks and recreation system. Engage a broader range of the community, especially underrepresented populations. Be a communitywide leader in environmental sustainability. Enhance our quality of life. The department’s investment strategy also aligns with the city's business plan, which all city departments utilize to create funding priorities and recommendations. Services are categorized as essential, desirable, and discretionary. Essential 1.)services include programs and services that are equally available to all residents for no additional charge and support the operations and maintenance of the existing system for health and safety purposes. These include: snow removal, sidewalk, parking lot, playground, walkway and path maintenance, basic turf maintenance, trash removal, security lighting, protective fencing, bridge repair, maintenance of retaining walls, precautionary signage; hazardous tree removal, noxious weed mitigation, protective wildlife management (e.g. bear encroachment); general health and safety maintenance and repairs to recreation facilities, restrooms and shelters; ADA requirements (accessibility and inclusion); strategic management (financial/budget, crisis communication). Desirable 2.)services include programs and services that benefit a large portion of the community, are provided to residents at no cost or for an appropriate user fee, and sustain a system derived from significant public investment at parks and recreation industry standards These include: expansion of the system to meet ballot measure commitments (planning, design, construction); parks and facilities routine and preventative maintenance; capital improvements, replacement and modification to achieve or maintain industry standards; safety net programming (EXPAND, Youth Services Initiative; learn to swim and public open swim programs); societal benefit through recreation, programs for people with financial barriers; administrative services to sustain operations. Discretionary 3.)services include programs and services that benefit a wide range of targeted interest groups, age groups or ability levels by developing or enhancing the system beyond industry standards and providing programs and services some of which have high cost recovery rates that subsidize desirable programs and services. The benefits associated with discretionary programs typically benefit the individual participant more directly than the community. These include: land acquisition beyond current service level standards; development of currently owned undeveloped land; aesthetic enhancements to land and facilities (flower beds, turf edging); enhanced park maintenance; golf course and reservoir operations; maintenance outside of health and safety reasons; habitat restoration; public youth and adult programs with high cost recovery capability; public education programs. Additionally, the department is considerate of the community’s future needs and prioritizes its efforts and operating funding accordingly. The department’s investment priorities are as follows: Priority 1: Take care of existing assets. Priority 2: Develop the highest priority park sites. Priority 3: Invest in revenue-producingfacilities. Priority 4: Increase maintenance funding. Priority 5: Broaden access to programs and services to meet changing demographics. Priority 6: Complete the remaining gaps in the park system. Priority 7: Adapt to changing needs. Priority 8: Implement vision plans and enhance the system. OVERVIEW OF ACTION PLAN Please refer to Attachment B of the 2008-09 Budget Message for a listing of those Action Plan Items that were recommended for funding. The listing is presented in order by fund and department. Please see the section titled “City Council Direction on the Recommended Budget” for any changes from Attachment B. OVERVIEW OF VISION PLAN Vision Statement The vision of the department is to strive for excellence in our parks and recreation system to reflect and serve the unique values and qualities of our community. Vision Narrative Our vision is to create a world-class parks and recreation system to match Boulder’s commitment to fitness, health and recreations. We want to become the destination of choice for parks and recreation facilities in the region. Our vision calls for transforming our parks and recreation facilities into exceptional public gathering places that are attractive, safe and reflect the community’s unique character and natural beauty. We will connect people and places throughout the city with physical links between parks and recreation facilities and other destinations. Our vision revitalizes parks and recreation th facilities near 29 Street and the Transit Village, and connects them to new places for people to live, work, shop, eat and play. We will complete our park system, including Valmont City Park and community, neighborhood and pocket parks. We intend to pursue opportunities, partnerships and new funding sources to develop inviting new parks, green spaces, and plazas that will become increasingly important links to nature and places of respite in our urban environment. We will invest in revenue generating facilities to enhance our recreation opportunities and attract visitors for tournaments and other events. Recreation facilities and programs will promote fitness, healthy lifestyles, and economic vitality through events that capitalize on Boulder’s spectacular setting and passion for recreation. We will adapt programs and services to reflect changing demographics and population growth. We will ensure diversity of programs in the arts, sports and fitness. Working with other agencies, we will improve community connections and provide more inclusive access for the under-served to programs and facilities through scholarships and reduced fees. The department will be a leader in environmental sustainability. We will use sustainable materials and practices in building and maintaining parks and recreation facilities that are powered by renewable energy sources. Our parks will integrate with surrounding areas, use low-water plants and irrigation systems and be maintained with zero waste and without pesticides. PERFORMANCE MEASURES 2006200720082009 ACTUAL TARGET TARGET TARGET Recreation Center 432,814 441,560 449,500 457,150 attendance Outdoor Pool 41,558 45,000 49,000 50,000 attendance Adult Sports 205,681 216,000 210,000 212,000 attendance Recreation Class 29,587 30,475 31,400 32,330 enrollment Three Urban Park 3/1,000 3/1,000 3/1,000 3/1,000 acres per 1,000 population Reservoir attendance 50,899 53,440 56,110 58,915 Rounds of Golf 48,000 48,500 49,000 49,500 PLANNING DEPARTMENT PLANNING DEPARTMENT ADMINISTRATIVE, INFORMATION FINANCIAL AND RESOURCES COMMUNICATIONS SERVICES LONG RANGE LAND USE PLANNING REVIEW 2008 BUDGET $3,470,575 Administrative Operating Transfers Services 12% 22% Information Resources 13% Land Use Review 32% Long Range Planning 21% 2008-09 BUDGET PLANNING 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM $662,085$660,650$777,626$719,925 ADMINISTRATIVE SERVICES INFORMATION RESOURCES382,928439,234452,295 402,593 LONG RANGE PLANNING620,819742,097 749,703719,783 LAND USE REVIEW1,011,1001,102,0601,137,117 884,600 OPERATING TRANSFERS538,479404,847449,147 431,872 3,080,3433,470,5753,500,581 TOTAL $3,237,460$$$ BUDGET BY CATEGORY 2,639,658 Personnel Expenses$2,275,540$2,238,488$2,556,570$ Operating Expenses306,249321,188363,121290,383 114,522 Interdepartmental Charges117,192107,706112,276 6,871 Capital08,1146,736 449,147 Other Financing Uses538,479404,847431,872 TOTAL$3,237,460$3,080,343$3,470,575$3,500,581 BUDGET BY FUND Planning & Development Services$3,237,460$3,080,343$3,470,575$3,500,581 TOTAL$3,237,460$3,080,343$3,470,575$3,500,581 AUTHORIZED FTE's Standard FTE's23.5825.7628.2728.27 TOTAL23.5825.7628.2728.27 2008-09 BUDGET PLANNING DEPARTMENT MISSION STATEMENT The mission of the Planning Department is to help create, enhance and preserve a natural, physical and economic environment that fosters a unique quality of life in the City of Boulder. BUSINESS PLAN NARRATIVE The business plan narrative can be found in the Planning and Development Services page. GUIDING PRINCIPLES AND/OR INVESTMENT STRATEGY The guiding principles and/or investment strategy can be found in the Planning and Development Services page. OVERVIEW OF ACTION PLAN The overview of the action plan can be found in the Planning and Development Services page. OVERVIEW OF VISION PLAN The overview of the vision plan can be found in the Planning and Development Services page. PERFORMANCE MEASURES Performance measures are reported in the Planning & Development Services page. PUBLIC WORKS DEPARTMENT PUBLIC WORKS DEVELOPMENT & TRANSPORTATIONUTILITIES SUPPORT SERVICES 2008 BUDGET $102,243,994 Development & Support Services 17% Utilities 55% Transportation 28% 2008-09 BUDGET PUBLIC WORKS DEPARTMENT 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM DEVELOPMENT & SUPPORT SERVICES$16,638,421$17,447,928$16,981,305$17,235,089 23,979,00132,167,92828,684,68526,494,043 TRANSPORTATION UTILITIES 62,977,54247,526,26456,578,00455,501,039 TOTAL 103,594,96597,142,121102,243,99499,230,171 BUDGET BY CATEGORY Personnel Expenses$20,439,148$21,724,929$23,386,748$24,146,816 Operating Expenses27,067,88521,081,43223,814,95924,073,860 Interdepartmental Charges4,270,1034,198,1534,633,3314,725,997 Capital34,318,79034,001,49434,181,71130,081,555 Debt Service11,408,96311,218,82311,117,41310,943,008 Non-Recurring Expenditures1,242,367043,9350 Other Financing Uses4,847,7104,917,2915,065,8975,258,934 TOTAL$103,594,965$97,142,121$102,243,994$99,230,171 BUDGET BY FUND General$3,103,451$3,400,717$3,149,999$3,223,212 Capital Development786,960111,238112,440115,287 Planning & Development Services4,295,0654,806,6405,214,5235,196,877 .25 Cent Sales Tax419,630428,576441,433450,262 Airport391,0821,857,2831,109,652490,174 Transportation21,437,46826,156,64626,769,76225,256,017 Transportation Development2,198,6004,242,623897,687842,952 Transit Pass General Improvement District10,2129,47610,57010,570 Water Utility27,169,28627,532,46431,017,40332,597,092 Wastewater Utility28,901,31813,578,04115,771,86516,268,002 Stormwater and Flood Mgmt Utility6,734,3776,236,1269,602,5856,445,447 Fleet5,523,9206,212,6876,401,5386,550,675 Equipment Replacement741,9311,326,102562,255574,510 Facility Renovation & Replacement 1,881,6651,243,5021,182,2811,209,093 TOTAL$103,594,965$97,142,121$102,243,994$99,230,171 AUTHORIZED FTE's 299.16 Standard FTE's284.98294.97299.16 Seasonal Temporary FTE's11.5011.5011.5011.50 TOTAL296.48306.47310.66310.66 2008-09 BUDGET PUBLIC WORKS DEPARTMENT DEPARTMENT OVERVIEW The Public Works Department continues to work toward building a “sustainable organization” by focusing on operational efficiencies and improvements. These efforts are consistent with ongoing budget themes supported by council for the 2008-09 budget process. These themes are exemplified by the department’s commitment to reevaluate systems and business processes through costing of service analysis, implementing and monitoring performance measures, and analyzing privatization options. Public Works is committed to fiscal sustainability by maintaining reserve goals in each of its special revenue and enterprise funds. These are analyzed and adjusted accordingly based on operational and fund balance goals. BUSINESS PLAN Please see the individual Public Works Division sections for a complete discussion of the business plan. PERFORMANCE MEASURES Performance measures are reported within the separate Public Works Divisions. DIVISION OF DEVELOPMENT AND SUPPORT SERVICES DEVELOPMENT AND SUPPORT SERVICES SUPPORT SERVICES DEVELOPMENT SERVICES ADMINISTRATIVE, FINANCIAL AND FACILITIES & ASSET MGMT COMMUNICATIONS SERVICES FLEET SERVICES INFORMATION RESOURCES ENGINEERING REVIEW BUILDING CONSTRUCTION & CODE ENFORCEMENT 2008 BUDGET $16,981,305 Operating Building Construction Transfers & Code Enforcement 4% Fleet Services 10% 38% Engineering Review 6% Facilites & Asset Administrative, Information Management Financial and Resources 31% Communications 4% Services 7% 2008-09 BUDGET DEVELOPMENT & SUPPORT SERVICES DIVISION 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM DEVELOPMENT SERVICES $949,803$1,044,461$1,110,971$1,145,427 Engineering Review 1,496,693 Building Construction & Code Enforcement1,304,8801,630,4531,619,399 1,033,324 Administrative Services842,6531,166,4391,079,888 Information Resources512,391598,938658,851678,443 633,222 Operating Transfers685,338647,808673,720 TOTAL4,806,639 4,295,0645,214,5235,196,877 SUPPORT SERVICES Facilities & Asset Management5,365,243 6,819,4366,428,6025,487,536 5,523,9206,401,5396,550,676 Fleet Services6,212,687 TOTAL 12,343,35712,641,28911,766,78212,038,212 TOTAL $16,638,421$17,447,928$16,981,305$17,235,089 BUDGET BY CATEGORY Personnel Expenses$4,712,588$5,451,832$5,824,825$6,014,133 Operating Expenses4,244,6464,042,0044,363,6394,270,912 Interdepartmental Charges1,130,9051,051,9291,090,8711,112,688 Capital5,497,5585,863,1164,632,1184,724,760 Other Financing Uses1,052,7251,039,0481,069,8521,112,596 TOTAL$16,638,421$17,447,928$16,981,305$17,235,089 BUDGET BY FUND General$2,989,251$3,319,184$3,066,835$3,138,385 Capital Development786,960111,238112,440115,287 Planning & Development Services4,295,0654,806,6405,214,5235,196,877 .25 Cent Sales Tax419,630428,576441,433450,262 Fleet5,523,9206,212,6876,401,5386,550,675 Equipment Replacement741,9311,326,102562,255574,510 Facility Renovation & Replacement 1,881,6651,243,5021,182,2811,209,093 TOTAL$16,638,421$17,447,928$16,981,305$17,235,089 AUTHORIZED FTE's 75.74 Standard FTE's71.5774.0575.74 Seasonal Temporary FTE's0.000.000.000.00 TOTAL71.5774.0575.7475.74 2008-09 BUDGET PUBLIC WORKS DEPARTMENT DEVELOPMENT AND SUPPORT SERVICES DIVISION MISSION STATEMENT The mission of Development and Support Services is -to effectively assist customers in a regulatory environment while preserving public health, safety and environmental quality for our community overall, through the efficient administration of codes and standards, -to provide quality facilities and asset management (FAM) services to City departments for the design, construction and maintenance of facilities, -to effectively maintain the City’s fleet while balancing customer and community values. BUSINESS PLAN NARRATIVE Since 2004, FAM has reduced its operating budget by $695,000 and has eliminated three standard positions. FAM continues to focus its resources on preserving programs and activities central to its mission. Reductions have been in non-essential maintenance, outsourcing custodial services, and postponing non-essential projects. Operations and Maintenance (O&M) funding levels for General Fund facilities are projected to be 2.13 percent of the Current Replacement Value (CRV) by the end of 2007. The recommended service standard is 2.5 percent of the CRV. O&M needs will continue to be prioritized based upon the most essential needs. Under the Current Funding Program, all preventative and corrective maintenance will be performed on essential systems in all FAM maintained buildings. However, maintenance on non- essential systems will be done in the 26 essential buildings only. These essential buildings provide core community services such as Police, Fire, and Public Works. Major Maintenance/Facility Renovation and Replacement (MM/FR&R) funding levels are projected to be 1.62 percent CRV by the end of 2007. This percentage would have been even lower except in 2006 FAM reallocated $107,165 from desirable and discretionary services in operating accounts to essential projects in MM/FR&R and in 2007, FAM received one-time funding of $290,000. The recommended service standard 1 is 2.0 percent CRV. Without additional funding in MM/FR&R, the maintenance backlog is projected to increase from approximately $4.6 million in 2007 to $5.2 million by the 1 Backlog is an industry standard term used to define the accumulation of uncorrected or deferred deficiencies that represent a liability (in both physical and financial terms) for a facility. These items include maintenance deficiencies, equipment or systems overdue for replacement, etc. Future maintenance items, planned replacements and efficiency improvements are not part of the backlog. end of 2008; $4 million is the point at which the overall condition rating for General Fund facilities changes from “good” to “fair” and is the maximum desired maintenance backlog amount. The focus of Fleet Services’ fiscally constrained plan is to continue to effectively maintain the city’s fleet while balancing customer and community values. Fleet Services is in the process of finalizing its strategic plan with a completion date in 2007. In 2006, Fleet Services retained the services of a consulting firm, Mercury Associates Inc., to assist in the development of the strategic plan. Mercury Associates reviewed the methodology used by Fleet Services to establish chargeback costs to customers for the purpose of recovering the operating and maintenance (O&M) cost of Fleet Services. As a result of Mercury Associates’ analysis of fleet operating costs and input received from fleet customers, a new rate structure was implemented in 2007. OVERVIEW OF ACTION PLAN The FAM Master Plan Update was accepted by City Council on July 19, 2005. The plan recommends industry standard levels of service at all General Fund facilities. The plan also recognizes the city’s current economic climate and the need to prioritize services such that the 26 essential facilities will receive industry standard levels of service and the remaining facilities will receive services commensurate with available funding. The plan also presents an Action Plan that identifies additional funding so that the recommended service standard goal of 2.5 percent CRV for O&M and the recommended service standard goal of 2.0 percent CRV for MM/FR&R are realized by 2014. In May 2006, the Action Plan was updated in order to reflect additions to FAM’s maintenance backlog. In 2007, the total additional amount needed to meet industry service standards is $684,115 per year; $225,862 for O&M and $458,253 for MM/FR&R. In addition, FAM’s 2008 Action Plan includes requests to return the reallocation of $107,165 to major maintenance, return the reallocation of $156,049 to Facility Maintenance (352235) “desirable” services which includes 0.5 FTE (Building Maintenance Person II), return the reallocation of $83,794 to P & R: O & M (352237) “desirable” services which includes 0.5 FTE (Building Maintenance Person II). The Action Plan also includes a request for $186,513 which is the “fiscally constrained erosion” amount related to construction and contractual; these costs have been rising at a rate of 5 percent per year. These funding increases would: Restore surface refurbishments from minimal standards (greater than ten years) o to a ten year schedule, Allow implementation of energy improvements with a longer payback period - o all projects with less than a five year payback; the Fiscally Constrained Plan includes all projects with less than a three year payback, and Maintain the maintenance backlog below $4 million. o Business Plan implementation, including the development and updating of associated departmental Master Plans, continues to inform investment priorities for capital expenditures and the FAM action plan. As an example, the Library Master Plan effort has illustrated that with over 800,000 customer visits per year, the HVAC system at the Main library has been challenged to perform adequately for a building of its size and design. Patrons are increasingly concerned about the heat, humidity and lack of air flow in this essential facility. As a result, FAM is currently working with the Library Department to evaluate possible improvements to the existing evaporative cooling system installed at the Main Library in 1992.Short-term actions include: Conducting an Indoor Air Quality sample at key areas of the building to determine actual temperature, humidity, carbon monoxide and carbon dioxide levels over a period of several days. Contracting with an engineering firm to re-commission the heating, ventilating, and air conditioning (HVAC) systems to determine if improvements to the existing system are possible. These assessment steps will help determine the longer-term needs. Should replacement of the air conditioning system be warranted, a system that is designed to meet current needs at the Main Library would cost approximately $1 million. The Fleet Services Action Plan will include purchasing hybrid and alternative fuel vehicles (HAFV) 75 percent of the time they are offered by manufacturers. The current goal of 65 percent was set by the (staff) Fleet Policy Advisory Board. The city Fleet’s Green House Targets (GHG) for the implementation of the Kyoto Protocol has been met; the city’s fleet produces a total of seven percent less emissions than in 1990. As funds become available, high priority operational and facility needs for Fleet Services will be completed such as upgrading the fuel delivery system, purchasing a test set for digital radios, and installing a sound-dampening system for the Radio Shop in order to help to reduce noise levels caused by being located next to the heavy equipment maintenance area at Fleet Services. The need to replace the fleet facilities roof has been identified and is scheduled to be replaced in 2009 as part of the Facilities Renovation and Replacement Fund (fund 650) CIP program. Please refer to the Planning and Development Services’ Business Plan Narrative. Please refer to Attachment B of the 2008-09 Budget Message for a listing of those Action Plan Items that were recommended for funding. The listing is presented in order by fund and department. Please see the section titled “City Council Direction on the Recommended Budget” for any changes from Attachment B. GUIDING PRINCIPLES OR INVESTMENT STRATEGY 1). Maintenance of City Assets (Essential): FAM: Provides industry standard levels of O&M for 26 essential buildings assigned to the General Fund (GF). Essential services also include providing preventive and corrective maintenance on only essential building systems in the remaining GF facilities assigned to FAM, security and access control systems, energy payments and essential MM/FR&R projects. Implements energy-saving projects with a payback of three years or less. Fleet Services: Includes all vehicle and equipment maintenance and acquisition services directly related to vehicle safety. Also includes the Fleet Replacement Fund (FRF) which replaces existing vehicles classified as “emergency” such as police patrol cars and heavy trucks used for snow and ice control. Provides preventive and corrective maintenance on all mobile and stationary communications equipment. 2.) Maintenance of City Assets (Desirable): FAM: Provides O&M service levels in ”Non-Essential Buildings” to industry standards for all buildings assigned to FAM, periodic surface finish replacements on a ten year cycle, administrative services, staff training and includes the Equipment Replacement Fund (ERP) payments for capital equipment assigned to FAM. Implements energy-saving projects with a payback of five years or less. Fleet Services: Includes all non-essential customer requested services such as providing a self-service car wash facility, increased implementation of HAFV technologies, and includes the Fleet Replacement Fund (FRF) which replaces existing vehicles classified as “non-emergency” such as non-patrol sedans and pickup trucks. 3.) Maintenance of City Assets (Discretionary): FAM: Includes funding for furnishing GF common areas such as conference areas and outdoor furniture and administrative services associated with investigating renewable energy technologies such as solar and wind, where cost effective. Implements energy- saving projects with a payback of ten years or less. Fleet Services: Includes a one percent Emergency Reserve and a two percent Operating Reserve which are annually appropriated to fund unanticipated emergency and operating needs. Also includes funding for lower priority facility needs and construction of a separate Radio Shop facility. Please refer to Planning and Development Services’ Guiding Principles or Investment Strategy. OVERVIEW OF VISION PLAN The Vision Plan for FAM identifies additional funding so that the recommended service goal of 2.0 percent CRV for MM/FR&R is realized by 2014. In 2007, the additional amount needed to meet this industry service standard is $458,523 per year. For O&M, the Vision Plan increases the service standard from 2.5 percent CRV to 3.0 percent CRV. In 2007, the additional amount needed to meet this higher service standard is $506,211 per year. This level of funding would: Restore surface refurbishments to a seven year schedule rather than a ten year o schedule, Allow implementation of energy improvements with a longer payback period – o all projects with less than a ten year payback, Exploration of new energy technologies, o Improve security systems o Maintain the maintenance backlog below $4 million o Implement a long term replacement program for city facilities, and o Implement planned maintenance and replacement strategy for land improvements o that are currently done on an as-needed basis. The Vision Plan for Fleet Services is currently being developed as part of the Fleet Strategic Plan. It will include: Implementation of HAFV technologies to the maximum extent possible which o will result in further exceeding the city’s GHG targets and Kyoto Protocol goals, Construction of a separate Radio Shop facility at the City Yards, and o Completion of facility changes at the City Yards in coordination with other o divisions of Public Works Department Yards as detailed in the FAM Master Plan. PERFORMANCE MEASURES ACTUAL TARGET TARGET TARGET 2006200720082009 Fleet Services 1.Repairs returned 0.26% <2% <1% <1% for rework 2.Increase miles traveled between 91,469 miles >40,000 miles >60,000 miles >60,000 miles road calls ACTUAL TARGET TARGET TARGET 2006200720082009 FAM 1. Maintenance $4,538,175 $4,000,000 $4,000,000 $4,000,000 2 Backlog 2. Funding Level for Major Maintenance / 1.7% CRV 2% CRV 2% CRV 2% CRV Facility Renovation & 3 Replacement 3. Funding Level 2.2% CRV 2.5% CRV 2.5% CRV 2.5% CRV for Operations & 4 Maintenance 2 A Maintenance backlog of $4 million corresponds to the transition point where overall condition rating of General Fund facilities goes from “good” to “fair.” A maintenance backlog of $8 million corresponds to the transition point where the overall condition rating of General Fund facilities goes from “fair” to “poor.” 3 The industry standard funding level for Major Maintenance (MM) / Facility Renovation and Replacement (FR&R) is 2% current replacement value (CRV). 4 The industry standard funding level for Operations and Maintenance (O&M) is 2.5% of the current replacement value (CRV). DIVISION OF TRANSPORTATION TRANSPORTATION PLANNING & ADMINISTRATION OPERATIONS PROJECT TRANSPORTATION AIRPORT MANAGEMENT MAINTENANCE 2008 BUDGET $28,684,685 Operating Transfers Airport 5% Transit Pass GID 1% <1% Capital Improvements Program Trans Planning and 34% Operations 29% Debt Service 1% Project Management Transportation Reserves 11% Transportation Administration <1% Maintenance 2% 16% 2008-09 BUDGET TRANSPORTATION DIVISION 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM TRANSPORTATION DIVISION Operating Transfers $ Cost Allocation/Transfers1,401,233$1,362,980$1,375,305$1,426,611 TOTAL 1,401,2331,362,9801,375,3051,426,611 Capital Payments Boulder Transit Village - Debt Payments292,515 272,758123,523123,458 TOTAL 272,758123,523292,515123,458 Reserves Operating Reserves 0110,000110,000110,000 TOTAL 0110,000110,000110,000 Transportation Planning & Operations Traffic Engineering 78,42390,60094,71397,417 Street Lighting & Construction 876,1151,028,0641,048,6251,069,598 Signs/Markings 977,0371,052,6411,107,6751,135,565 Signal Maintenance & Upgrade 897,887972,7931,171,3981,200,638 Transportation Operations 562,552619,986665,768686,203 Transportation System Management 214,222149,979202,302206,668 Transportation Planning Transit Service Operations2,922,226 2,372,9081,617,0542,864,509 Travel Demand Management (TDM)641,610 511,459505,632626,050 TDM Grants82,049 76,655127,49279,739 Facilities/Regional Planning131,664 207,707123,687128,381 Master/Community Planning215,987 156,830202,697210,540 Bike/Ped Planning0 52,95800 subtotal 3,378,5172,576,5633,909,2173,993,536 TOTAL6,984,7546,490,6268,199,6998,389,625 Project Management CIP Administration 312,731331,266359,055369,889 Transportation Rehabilitation Overlay 1,165,7711,342,1971,420,4601,449,901 Sidewalk Maintenance 204,835230,004245,429250,778 Major Street Reconstruction 457,664317,728338,130345,958 Bikeways Capital Maintenance 186,280195,658207,491211,868 subtotal 2,014,5502,085,5872,211,5092,258,505 3rd Party Construction 105,109600,000600,000612,000 TOTAL 2,432,3903,016,8523,170,5643,240,395 2008-09 BUDGET TRANSPORTATION DIVISION 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM Alternative Transportation Transit Pass GID9,476 10,21210,57010,570 TOTAL 10,2129,47610,57010,570 Transportation Maintenance Administration 354,496425,442439,122452,461 Fleet Liaison 37,81443,81246,13447,576 Bikeway Maintenance 245,377336,201361,999371,977 Graffiti Maintenance 72,43680,44389,24991,874 Median Maintenance 614,953611,080650,505668,873 Street Sweeping 441,240501,713536,182549,982 Street Snow & Ice Control 924,256632,480646,406662,452 Repair & Maintenance1,578,840 1,571,4341,704,7591,746,864 O&M Study Implementation0 0250,000250,000 TOTAL 4,262,0074,210,0124,724,3564,842,059 Transportation Administration Division Administration 429,836456,051482,795496,586 Support Services 108,820110,299114,378117,940 TOTAL 538,656566,350597,173614,526 Airport Administration 130,033143,464149,839154,051 Repair & Maintenance Lighting Maintenance 5,7583,5003,9003,978 Runway/Taxiway Maintenance 17,15741,10218,00018,360 Grounds Maintenance 52,24855,51270,30071,706 Building Maintenance 72,68574,320140,886143,704 subtotal 147,849174,434233,086237,748 TOTAL 277,882317,898382,925391,799 Capital Improvement Program Capital Improvement Program 7,799,10915,960,2109,821,5787,345,000 TOTAL 7,799,10915,960,2109,821,5787,345,000 TOTAL $23,979,001$32,167,928$28,684,685$26,494,043 BUDGET BY CATEGORY Personnel Expenses$5,097,409$4,897,059$5,375,379$5,550,078 Operating Expenses8,055,5016,034,4157,489,2697,631,644 Interdepartmental Charges1,491,6771,583,5481,865,2241,902,528 Capital7,660,47218,166,40312,286,9939,859,723 Debt Service272,758123,523292,515123,458 Other Financing1,401,1841,362,9801,375,3051,426,611 TOTAL$23,979,001$32,167,928$28,684,685$26,494,043 2008-09 BUDGET TRANSPORTATION DIVISION 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM BUDGET BY FUND General$97,554$64,554$65,845$67,162 Airport391,0821,857,2831,109,652490,174 Transportation21,281,55225,993,99226,600,93025,083,185 Transportation Development 2,198,6004,242,623897,687842,952 Transit Pass General Improvement District10,2129,47610,57010,570 TOTAL$23,979,001$32,167,928$28,684,685$26,494,043 AUTHORIZED FTE's Standard FTE's62.9765.9968.2468.24 Seasonal Temporary FTE's5.005.005.005.00 TOTAL67.9770.9973.2473.24 2008-09 BUDGET PUBLIC WORKS DEPARTMENT TRANSPORTATION DIVISION MISSION STATEMENT The Transportation Division provides for the mobility of persons and goods by developing and maintaining a safe, efficient, environmentally sound and balanced transportation system with emphasis on providing travel choiFHWKURXJKDOOPRGHV±WUansit, pedestrian, bicycle and vehicular transportation; maintains streets and bikeways; and maintains the municipal airport to provide for safe and efficient aircraft operations. BUSINESS PLAN NARRATIVE Following a sustained period of reductions in the Transportation Budget from 2002 through 2005, Transportation, like much of the rest of the city organization, is seeing a modest recovery in total revenues. However, during this period Transportation has experienced cost escalation that has significantly outpaced the consumer price index. The erosion of buying power in the transportation industry has been significant, resulting in additional reduction in service levels even during this modest recovery. Throughout this period of deep cuts and modest increases, the Transportation budget has been guided consistently by a set of principles that were created through transportation prioritization analyses and transportation policy as noted below. The analyses and policies were grounded in public involvement and board and Council review and approval and have EHHQUHLQIRUFHGWKURXJKWKH&LW\0DQDJHU¶V%XVLQHVV3ODQ As revenues continue to modestly rebound and cost escalation continues to be a significant factor, these same guiding principles have been used for prioritizing budget restoration. In the current budget cycle, Council will note changes to the budget due to: Lower revenues than previously projected for the Transportation Excise Tax o (TET); increases in the cost of doing business in the transportation arena; o catching up operations and maintenance with cumulative additions to the o transportation system; keeping up with new maintenance requirements as a result of unusual winter o conditions and findings from a recent maintenance practice study; and keeping up with leveraged funding awarded to the city by state and federal o sources, thereby keeping funding secured and avoiding cost escalation due to project delay. The revenues from Transportation Excise Tax (TET) have dropped significantly in recent years, due to a number of factors. What used to be a revenue source of $1 million to $1.1 million annually, dropped to approximately $400,000 in 2006. As a result of updating projections to be more realistic (a total impact of $1.3 million over the next 5 years), the TET has been reduced to reflect a more modest cash flow for transportation projects. Projects and programs between the Transportation Fund and the Transportation Development Fund have been rebalanced accordingly. This development excise tax issue is in play for other departments as well and Transportation staff supports the concept of doing a study to evaluate the effectiveness and potential changes to the excise tax system and policies. In the past, the city has appropriated non-personnel expense (NPE) increases based on the ability to pay, which typically was less than CPI or even no increase at all. At the same time, construction costs for materials such as asphalt, steel, Portland Cement, fuel, and other materials and supplies have increased at greater rates. For example, during 2004 and 2005 the Colorado Construction Cost Index went up 70% and then stabilized in 2006 at that upper level. We will continue to track these indices and monitor and coordinate with state and regional responses to cost escalation. These costs apply to construction as well as operations and maintenance activities in Transportation. (Note the graphic below illustrating the difference between NPE and the Municipal Cost Index--an additional monitored measure). Material cost increases impact multiple service areas such as the street resurfacing program, day-to-day potholing and patching maintenance programs, and the capital construction program. Another major impact to the city over the last year has been the particularly punishing winter that we experienced over the end of 2006 and early 2007. The combination of moisture and low temperatures created a freeze-thaw cycle which significantly impacted roadway surfaces, adding to our maintenance needs. The result of the combination of increased material costs, unusual weather conditions, incremental additions to and requirements of the system is that some elements of the Transportation system continue to not meet minimum acceptable service standards. In RUGHUWRSUXGHQWO\PDQDJHDQGPDLQWDLQRXUFRPPXQLW\¶VYDOXDEOHLQIUDVWUXFWXUH Transportation proposes focusing fiscally constrained revenue increases on catching up with the cost of doing business through NPE increases (additional 4% in areas most affected by cost/weather impacts) and catching up operations and maintenance activities. Finally, Transportation has initial results from an Operations and Maintenance Study which identifies the need to improve data collection and data management for tracking and programming preventative maintenance activities for the transportation system. Two specific activities include finalizing the implementation of an industry-standard pavement management system and updating the rating of the condition of the street/transportation system. This data update and data management system will then allow us to improve our strategic planning and implementation to right-size efforts such as resurfacing, patching, chip and seal, crack sealing and other maintenance practices. Therefore, a line item is proposed to finalize pavement management, cRQWUDFWVHUYLFHVWRUDWHWKHV\VWHP¶V condition, and include some flexibility to respond to immediate preventative maintenance efforts. In the past, Transportation has been successful at seeking leveraged funding opportunities. On a positive note, if Transportation had not EHHQVXFFHVVIXODWZLQQLQJ³UHFRQVWUXFWLRQ´ dollars, our need for additional maintenance funding would be even greater than it is now. Also, most projects that have added travel choices, system improvements and safety enhancements have included leveraged funding. For example, Boulder was recently awarded federal funding for transportation connections in the Boulder Transit Village vicinity, stretching our local resources to address a community goal. However, one challenge that staff faces is that the Denver Regional Council of Governments (DRCOG), Colorado Department of Transportation and Federal Government have been simultaneously creating penalties, as severe as losing funding, for delaying project construction and creating more requirements to achieve projecWDSSURYDO$GGWKHFLW\¶V ethic of thorough and comprehensive public involvement and we face the challenge of implementing the approved CIP in a timely fashion without losing valuable federal and state funding. Also, each year a project is delayed, the more it is impacted by escalating material costs. Overall, it is important to advance the CIP in a timely manner in order to keep valuable leveraged funds. Historically, Transportation has averaged $2 million annually in leveraged investments in our transportation infrastructure. As a result of public and private development of the transportation system over time, there have been traffic signals added to the system. The number of signals increased from 122 in 1993 to 144 in 2005. We have reached the threshold of adding enough signals to the system that we are not meeting acceptable service levels for Operations & Maintenance (O & M) of the system with current staffing levels. A guideline in the signal industry is a ratio of 1 technician per 30 or 40 signals. Along with the increase of signals, there are also more other kinds of electronic signs. From 2000 to 2005, the number of flashing pedestrian crossing treatments went from 1 to 11, and the number of radar speed display signs increased from 3 to 23. With these additions to the system and in order to catch up with minimum acceptable service standards, Transportation is proposing one additional FTE for O & M of the signal system. This FTE is consistent with the Budget Guiding Principles since it focuses on day-to-day maintenance and operations of the existing system. Similar to the previous budget cycle, in out years of the Transportation Fund of the capital program, we are attempting to allow continued flexibility to provide local match for federal funding and/or local implementation to optimize FasTracks and other community objectives. Please note that, while we have had great success in past years in leveraging federal funds, it may be more difficult in the future as federal funds are diminishing. Recent estimates indicate that on its current course, the Highway Users Trust Fund (HUTF) would no longer have funds available to distribute as soon as 2009. Staff also will be monitoring changes at the federal OHYHOZKLFKZRXOGLPSDFWIXQGLQJRI'5&2*¶V Transportation Improvement Program, our primary source of federal funds. Another item reflected beginning with a supplemental in the 2007 budget and continued with the 2008 budget is a contractual change for the HOP service. The contract change reflects the RTD contribution to the HOP in addLWLRQWRWKH&LW\RI%RXOGHU¶VFRQWULEXWLRQ The HOP service contract change makes it clear that Special Transit is providing the HOP service on behalf of municipal government, which allows Special Transit to pay lower fuel taxes. Since the full amount of this budget increase is reimbursed from RTD, there is no real difference in what the city invests in the HOP, but this administrative and budget tracking change keeps money invested in local transportation. GUIDING PRINCIPLES AND/OR INVESTMENT STRATEGIES Aligning with the policies of the Transportation Master Plan is an important aspect of the 7UDQVSRUWDWLRQ%XGJHW¶VJXLGLQJSULQFLSOHVAs previously outlined in Council/Board budget processes, the following priorities and strategies have been used to develop the Transportation budget: Maintain Integrity of Transportation Prioritization, in order: ±0DLQWHQDQFHDQG2SHUations (Essential) ±0XOWLPRGDO6\VWHP([SDQVLRQ'HVLUDEOH ±(QKDQFHPHQWVZLWKRXWV\VWHPSHrformance benefit (Discretionary) Achieve Sustainable Budget Over Time Continue Efficiency Improvements Maintain Leveraged Funded Projects Reduce Boulder Transit Village (BTV) debt through annual operating savings if available The essential, desirable, discretionary categories of funding are derived similarly and are described below with examples: 1.) Essential Services include Operation and Maintenance of Existing System to Maintain Public Safety. Examples include pothole repair, street resurfacing, taking care of signs and signals, addressing safety issues and basic levels of existing direct service for all modes, etc. This area has sustained reductions, but to a much lesser extent than other areas at about 18% reductions on average across Operations and Maintenance. Quality of life is addressed in this area though air quality, quality of experience in travel (e.g. addressing failing streets, potholes, sidewalk hazards, etc.), and maintaining a reliable system (e.g. traffic signals functioning and in good condition). 2.) Desirable Services include Expansion of Multimodal System - All modal system expansion has been slowed. The expansion of the multimodal system includes roadway, bicycle, pedestrian, transit and travel demand management projects, programs and services. Examples include new sections of path, sidewalk, improved roadway segments and intersections, expanded transit service and increases to Eco Pass enrollment. This area has received cuts over the past several years in excess of 50%. At this point, if a citizen sees a project it is highly likely that it either has leveraged funds, is associated with a capital maintenance project, or both. The quality of life enhancement consists of improving system performance, providing more travel choices, connecting citizens to basic needs and activities, improved air quality, and increasing mobility. Also, a capital improvements program helps support the FRPPXQLW\¶VHFRQRPLFYLWDOLW\HIIRUWV 3.) Discretionary Services include Mitigation Projects ±([DPSOHVLQFOXGH things like noise walls and Neighborhood Traffic Mitigation such as traffic circles, bulb outs, speed bumps, etc. This area of the budget does not improve system performance or preserve the quality or integrity of the infrastructure and/or system. This area of the budget has sustained a 100% reduction. Until the economy recovers sufficiently, we will not be considering any new mitigation projects. OVERVIEW OF ACTION PLAN The Transportation Master Plan outlines a Current Plan (Fiscally Constrained), an Action Plan and a Vision Plan. The Action Plan is the next set of strategic steps that will provide a prioritized increment of multimodal connections, subsequent O & M investments, travel demand management expansion, transit service enhancements, and progress with regional coalitions toward expanding reJLRQDOWUDYHOFKRLFHV7KH$FWLRQ3ODQ¶VHVWLPDWHGFRVWLV PLOOLRQDQQXDOO\7KH$FWLRQ3ODQ¶VIXQGLng would be dependent upon new revenues above and beyond current funding sources. However, since the TMP was adopted, FasTracks was created by RTD and approved by the voters. The Transportation Advisory Board (TAB) and staff have been working with a steering committee to better understand how FasTracks will serve our community and which projects and programs the city needs to advance to maximize the benefit of FasTracks. Also, the city needs to adjust costs to reflect a new fiscal reality as a result of cost escalation in the transportation industry. At a Ma\VWXG\VHVVLRQ&RXQFLO¶V guidance to staff and TAB included returning to Council with updated project lists for the Fiscally Constrained Plan and Action Plan of the TMP. Staff and TAB are refining those lists and will return to Council for final action. Also, staff and TAB will be coordinating with Blue Ribbon Commission work and outcomes to develop new revenue sources for transportation which Council would consider to advance the Action Plan project list of the TMP. The Boulder Municipal Airport (BMA) completed its Master Plan and will be implementing Fiscally Constrained and Action Plan elements based on its enterprise status. Please refer to Attachment B of the 2008-09 Budget Message for a listing of those Action Plan Items that were recommended for funding. The listing is presented in order by fund and department. Please see the section titled “City Council Direction on the Recommended Budget” for any changes from Attachment B. OVERVIEW OF VISION PLAN In Transportation, the Vision Plan consists of a completed multimodal system providing travel choice throughout the community. It also includes operating and maintaining that travel choice system to preferred service levels. Complimenting travel choices with a full spectrum of travel demand management programs is included in the plan. Finally, the Vision Plan addresses effectively working with regional coalitions to develop and fund expanded regional travel choices. Please note that the Vision Plan does not consist of a ³ZLVKOLVW´RIEUDQGQHZV\VWHPVDQGWHFKQROogies. For example, it does not include expensive monorail, people movers or subways. The Vision Plan is a grounded plan that would complete basic multimodal systems of roadway, transit service and facilities, pedestrian and bicycle systems and travel demand management. Similar to the Action Plan, funding for the Vision Plan would come from new revenue sources above and beyond existing sources. PERFORMANCE MEASURES Actual TargetTargetTarget 2006200720082009 1.Daily vehicle miles of travel (VMT) in Boulder Valley: 2.61 Million 2.69 Million 2.68 Million 2.67 Million maintain at 1994 levels (2.46M). 2.0RGDOVKLIW±5HGXFH SOV travel to 25% of 38.4% 36% 35.3% 34.6% trips by 2025. 3.Transportation System Performance: maintain average drive times; 16% 20% 20% 20% maintain congestion at 20% of the system. Actual TargetTargetTarget 2006200720082009 4.Of total number of potholes reported, the number of potholes 82% 95% 95% 95% filled within one business day. 5.Of total number of sidewalk trip hazards reported, the number of hazards repaired 75% 95% 95% 95% within one business day. DIVISION OF UTILITIES UTILITIES PLANNING & PROJECT ADMINISTRATION MANAGEMENT WATER TREATMENTWASTEWATER TREATMENT WATER RESOURCES SYSTEM MAINTENANCE ENVIRONMENTAL QUALITY 2008 BUDGET $56,578,004 Operating Reserves Wastewater Capital Improvements Transfers 1% Treatment Program 5% 9% Administration 29% 3% System Maintenance 10% Water Quality & Planning & Environmental SvcsProject Management 5%3% Water Resources Water Capital Payments 4% Treatment 24% 7% 2008-09 BUDGET UTILITIES DIVISION 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM UTILITIES DIVISION Capital Payments Windy Gap Payments$2,118,388$2,108,314$2,438,779$2,457,567 Debt Service Payments 11,136,20511,095,30010,868,83410,819,549 TOTAL 13,254,59213,203,61413,307,61313,277,116 Operating Transfers Transfers/Cost Allocation2,620,740 2,393,8012,515,2632,719,727 TOTAL 2,393,8012,515,2632,620,7402,719,727 Reserves Operating Reserves 0654,000700,000714,000 TOTAL 0654,000700,000714,000 Administration Division Administration 251,598737,357782,001806,829 Rate Administration 19195,00035,00035,700 Computer Replacement 175,101193,000199,000202,980 Billing Services 479,767683,626721,891740,489 Support Services 166,898177,334184,403189,767 TOTAL 1,073,3831,986,3181,922,2951,975,765 Planning & Project Management Planning & Project Management950,536 863,834879,100924,250 Unallocated Construction510,000 595,312500,000500,000 Flood Management456,810 369,931449,019446,884 TOTAL 1,829,0771,828,1191,871,1341,917,347 Water Resources Water Resources Management 1,215,5991,083,5351,203,8801,230,479 Watershed Operations 335,485328,024344,826354,650 Hydroelectric Operations 361,946376,711395,826406,660 Stormwater Contract Management 53,84946,12947,05247,993 TOTAL 1,966,8791,834,3981,991,5832,039,782 Water Treatment Betasso Treatment Plant 1,979,3041,986,3532,069,5622,125,792 Boulder Reservoir Treatment Plant1,557,347 1,588,3621,626,2241,669,611 System Controls255,671 196,227247,291254,891 WTP Residuals Handling 41,461123,177122,253124,726 TOTAL 3,805,3543,922,5484,065,3294,175,020 Water Quality Environment Services Industrial Pretreatment 322,769325,180337,331347,516 Water Conservation 376,394446,648455,027466,003 Drinking Water Quality Services 751,441752,691788,691811,840 Wastewater Quality Services 487,906508,558528,679543,326 Stormwater Quality Services 778,190812,929910,925934,917 TOTAL 2,716,7002,846,0063,020,6533,103,602 2008-09 BUDGET UTILITIES DIVISION 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM System Maintenance Distribution System Maintenance1,785,783 1,703,8011,889,2391,940,740 Collection System Maintenance1,493,517 1,224,3271,563,8071,606,495 Storm Sewer Maintenance609,020 524,425638,658656,251 Flood Channel Maintenance242,389 237,334257,255264,269 Meter Services1,109,939 582,0761,157,2691,186,197 TOTAL 4,271,9635,240,6505,506,2275,653,952 Wastewater Treatment 75th Street Treatment Plant 3,202,3763,442,0494,028,0584,134,546 Marshall Landfill Operations 1,470174,84889,54591,336 Cogeneration 66,633108,878103,886106,918 Biosolids Operations 709,042719,5751,011,9401,036,928 TOTAL 3,979,5214,445,3505,233,4295,369,728 Capital Improvements Program Capital Improvements Program 27,686,2739,050,00016,339,00014,555,000 TOTAL 27,686,2739,050,00016,339,00014,555,000 TOTAL $62,977,542$47,526,264$56,578,004$55,501,039 BUDGET BY CATEGORY Personnel Expenses$10,629,151$11,376,038$12,186,543$12,582,606 Operating Expenses14,767,73811,005,01311,962,05112,171,304 Interdepartmental Charges1,647,5201,562,6761,677,2361,710,781 Capital21,160,7609,971,97517,262,60015,497,072 Debt Service11,136,20511,095,30010,824,89910,819,550 Non-Recurring Expenditures1,242,367043,9350 Other Financing Uses2,393,8012,515,2632,620,7402,719,727 TOTAL$62,977,542$47,526,264$56,578,004$55,501,039 BUDGET BY FUND General$16,646$16,979$17,319$17,665 Transportation155,916162,655168,832172,832 Water Utility 27,169,28627,532,46431,017,40332,597,092 Wastewater Utility28,901,31813,578,04115,771,86516,268,002 Stormwater and Flood Management Utility 6,734,3776,236,1269,602,5856,445,447 TOTAL$62,977,542$47,526,264$56,578,004$55,501,039 AUTHORIZED FTE's Standard FTE's150.44154.93155.18155.18 Seasonal Temporary FTE's6.506.506.506.50 TOTAL156.94161.43161.68161.68 2008-09 BUDGET PUBLIC WORKS DEPARTMENT UTILITIES DIVISION MISSION STATEMENT The Utilities Division’s mission is to provide quality water services, as desired by the community, in a manner which protects human and environmental health and emphasizes efficient management of fiscal and natural resources. Our services include: Potable Water Treatment and Distribution Water Resources and Hydroelectric Management Wastewater Collection and Treatment Stormwater Collection and Conveyance Water Quality Protection and Enhancement Infrastructure Planning, Construction and Maintenance Administration and Emergency Planning/Response BUSINESS PLAN NARRATIVE Each of the city’s three utilities (Water, Wastewater and Stormwater/Flood Management) is a separate enterprise fund established to finance and account for the acquisition, administration, operation and maintenance of each utility’s facilities and services. The utility funds receive a majority of their revenues from monthly user charges and utility system development fees. The implementation of the new water budget rate structure in January 2007 provides a bit of uncertainty as to water revenue projections for the next several years. It was anticipated that the new water budget rate structure overall would be revenue neutral for the water utility although some customers may pay more and some less. Revenue forecasts have been made with the best available information and staff will monitor and evaluate actual revenues on a monthly basis. Late in 2006, the city had contracted with Red Oak Consulting to conduct a review of the various financial reserves and reserve levels for each of the city’s three utilities. This included a survey of the reserve policies of ten other utilities in the Front Range and Southwestern United States. The findings of the study were presented to the Water Resources Advisory Board (WRAB) in January 2007. Based on the study findings, consultant’s recommendation and the WRAB’s input, staff is proposing to modify the reserve policies of each utility. It is recommended that each utility shows a 25% operating reserve (changed from a range of 20%-25%) and a separate capital reserve. The amount of the capital reserve is based on the minimum annual renewal and replacement costs for capital. Having both an operating and capital reserve will provide the utility with greater financial stability and flexibility should emergencies or revenue shortfalls occur and will function indirectly as a rate stabilization fund. These changes to the reserves are reflected in both the Reserve Policies and in each utility fund financial. The fiscally constrained plan for the 2008 budget reflects the administration, operation and maintenance of each utility’s facilities and services that can be funded with an annual 2% increase in revenue, beginning in 2008. Since the 2008 Budget Guidelines provide for a 2% nonpersonnel expense (NPE) increase in General Fund activities, the Utilities’ Funds have also used this amount as its fiscally constrained base. Programs and projects which exceed this minimum funding level comprise the Utilities’ action plan. All of the Utilities’ services and programs meet or exceed the minimum acceptable service standard levels except for maintenance activities for the water distribution system. Prior to 2007, this activity operated at an acceptable standard level, but in reviewing the business plan for 2007, it was revised to below standard. Increases in the costs of materials and fuels in excess of historical nonpersonnel increases have impacted the service level in this area. This situation falls into the “fiscally constrained erosion” category and a reallocation of funds is being proposed for 2008 that would bring this program back to an acceptable service standard level. Energy costs for the water treatment facilities have also increased beyond historical nonpersonnel increases. Even though to date these increases have not negatively impacted the service levels in this area, funds have been diverted from other areas in water treatment to offset the energy costs. This is also an area where fiscal erosion has occurred and is identified in the action plan. In addition to reallocating dollars to address increased fuel costs in utility maintenance, Utilities is also recommending the following budget reallocations for 2008: reallocating nonpersonnel dollars to fund a 0.50 FTE communications support specialist for 2008 ($12,500), reallocating funds from Marshall Landfill Operations to offset some of the additional ongoing operating costs related to the recent Wastewater Treatment Plant Improvements ($150,000) and reallocating dollars from Rate Administration, Stormwater Quality Improvements, and the Capital Improvements Program to fund a one-time data collection effort on Boulder Creek for the Environmental Protection Agency ($55,000). GUIDING PRINCIPLES OR INVESTMENT STRATEGY 1.)Essential Services include those that ensure highly reliable treatment and delivery systems and those that meet federal and state regulatory criteria . These services and programs include treatment operations, maintenance of existing facilities, watershed protection of raw water quality, pretreatment program, financial management, utility billing operations, planning and analysis, raw water supply management and emergency response programs. 2.)Desirable Services include expansion of treatment and delivery systems. This includes services and programs that are desired to respond to impacts of future growth, meet federal or state goals, or which support city goals. These services and programs include conservation and public education programs, hydroelectric operations and household hazardous waste program. 3.)Discretionary Services include enhancement of treatment and delivery systems. This includes services and programs that enhance the existing systems or to help others (but not required) perform their basic business service. These services and programs include the acquisition of new water supplies beyond that needed for build-out projections, treatment optimization programs and some facility maintenance projects. OVERVIEW OF ACTION PLAN Please refer to Attachment B of the 2008-09 Budget Message for a listing of those Action Plan Items that were recommended for funding. The listing is presented in order by fund and department. Please see the section titled “City Council Direction on the Recommended Budget” for any changes from Attachment B. OVERVIEW OF VISION PLAN The vision plan for each utility reflects services, programs and projects which will complete and sustain the high quality water services, as desired by the community, in a manner which protects human and environmental health and emphasizes efficient management of fiscal and natural resources. This will require, in some cases, going beyond the minimum requirements established by federal and state regulatory agencies. For example, during the term of the Capital Improvement Program (2008-2013), the Northern Colorado Water Conservancy District Pipeline (Carter Lake to Boulder Reservoir) is a vision plan project which is not required, but which is desirable and would protect Boulder’s water supply from future contamination and pollution, thereby securing Boulder’s water supply for future generations. This project is anticipated to begin construction in 2009. At the July 31st Study Session, City Council expressed concerns about funding this project in 2008 and 2009 and asked for additional information about the project and the potential for federal funding before proceeding with and approving funding for this project. City Council did approve one million dollars in the 2008 Budget for activities related to environmental analysis, design, permitting and property acquisition, but has not approved or committed to construction funds. The Utilities Division will consolidate its multiple master plans and strategic plans consistent with the city’s Business Plan over the next several years. The Business Plan calls for a separate master plan for each of the Utilities Division three restricted funds. It is anticipated the current Wastewater Treatment Master Plan and Wastewater Collection System Master Plan will be merged as the Wastewater Utility Master Plan and work on this will begin in 2007. The Water Utility Master Plan and Stormwater and Flood Management Utility Master Plan will follow in future years. REVENUE ISSUES Utility Rate Increases Based upon current revenue and expenditure estimates, the following revenue increases for 2008 are being recommended (in bold). The 2007 percentages are currently in effect: Stormwater/Flood YearWater WastewaterManagement 2007 4% 6% 3% 2008 4% 3% 3% 2009* 10% 3% 3% 2010* 10% 10% 4% 2011* 12% 8% 3% 2012 2% 6% 3% The proposed increases for 2008 would increase the annual utility bill for a typical residential customer by about $21.00 or $1.75 per month. The rate increases for 2008 are primarily needed to cover inflationary increases for personnel and nonpersonnel items. These increases will also fund new costs associated with the improvements at the wastewater treatment plant, new water assessments to both the Northern Colorado Water Conservancy District and the Platte River authority and increased energy costs at the treatment facilities. Any future changes to the water budget rate structure that are considered would also include an analysis of the impact to water revenues and water rates. *The projected 2009-2011 increases for water assume the city’s participation in the Carter Lake Pipeline Project. If the city does not participate and construct the pipeline, the projected increases for water revenues for 2009-2011 are reduced to 5%, 5% and 6%, respectively. In addition, if the city were to receive federal funding for the project the rate increases would be decreased accordingly. PERFORMANCE MEASURES ActualTargetTargetTarget 2006200720082009 1.Average length of time for an unplanned water 100% less 100% less 100% less 100% less service outage - thanthanthanthan not to exceed 5 5 hours5 hours 5 hours 5 hours hours ActualTargetTargetTarget 2006200720082009 2.Water Treatment – percent of compliance (based on days per quarter) in 100%100%100%100% which all of the Compliance Compliance Compliance Compliance reportable regulatory standards are met. 3.Wastewater Treatment – percent of compliance (based on days 99.18%100%100%100% per quarter) in Compliance Compliance Compliance Compliance which all of the reportable regulatory standards are met. 4.City of Boulder Community Rating System (CRS) for Flood Rating = 8 Rating = 8 Rating = 7 Rating = 7 Insurance Purposes. PLANNING & DEVELOPMENT SERVICES PLANNING & DEVELOPMENT SERVICES ADMINISTRATIVE, FINANCIAL INFORMATION RESOURCES AND COMMUNICATIONS SERVICES BUILDING CONSTRUCTION ENGINEERINGLONG RANGE LAND USE AND CODE REVIEWPLANNINGREVIEW ENFORCEMENT 2008 BUDGET $8,685,098 Operating Transfers 12% Building Construction Administrative, & Code Enforcement Financial and 19% Communications Services 22% Engineering Review 13% Information Resources Land Use Review 13% Long Range Planning 13% 8% 2008-09 BUDGET PLANNING & DEVELOPMENT SERVICES The information on this page is also displayed on the Public Works Department/Development and Support Services Division page (under Development Services) and on the Planning Department page. 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM ADMINISTRATIVE SERVICES $993,775$1,303,957$1,200,437$1,235,388 General Administration 331,520207,602549,080363,627 Planning & Dev Svcs Center 179,443182,415194,549200,798 Budget & Finance 1,504,7381,944,0661,799,813 1,693,974 INFORMATION RESOURCES 130,012159,424166,098170,731 Information Resources Administration 236,794230,479311,506320,734 LandLink Administration 97,865132,582141,868145,946 Records & Research 450,314459,381478,613493,327 Geographic Information Systems 914,9851,098,0861,130,738 981,866 LONG RANGE PLANNING 575,147473,265558,324575,734 Long Range Planning Administration 174,557147,554161,459166,363 Historic Preservation 749,703719,783742,097 620,819 LAND USE REVIEW 268,556155,293159,956 Land Use Review197,725 371,252591,645 Planner Review Services422,689573,295 371,291385,516 Zoning Administration264,185373,471 1,137,117 884,6001,011,1001,102,060 ENGINEERING REVIEW 168,777177,241182,137 Engineering Review143,865 649,205722,421 Engineer Review Services554,515700,048 226,479240,869 Right-of-Way Inspection251,423233,682 949,8031,110,9711,145,427 1,044,461 BUILDING CONSTRUCTION & CODE ENFORCEMENT 467,851455,910 Environmental and Zoning Code Enforcement356,810500,393 123,664130,319133,958 Building Construction Administration111,679 658,146773,632 Building Inspection Services610,897751,849 247,033247,892255,899 Building Code Plan Review Services225,494 1,630,4531,619,399 1,304,8801,496,693 OPERATING TRANSFERS 1,038,0691,079,6801,122,867 Cost Allocation/Transfers1,223,817 1,079,6801,122,867 1,223,8171,038,069 TOTAL7,532,5257,886,9838,685,0988,697,458 BUDGET BY CATEGORY Personnel Expenses$5,166,882$5,651,208$6,165,132$6,365,499 Operating Expenses769,431811,6581,040,719801,533 Interdepartmental Charges372,395365,244382,727390,382 Capital020,80416,84017,177 Other Financing Uses1,223,8171,038,0691,079,6801,122,867 TOTAL$7,532,525$7,886,983$8,685,098$8,697,458 2008-09 BUDGET PLANNING & DEVELOPMENT SERVICES The information on this page is also displayed on the Public Works Department/Development and Support Services Division page (under Development Services) and on the Planning Department page. 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM BUDGET BY FUND Planning & Development Services$7,532,525$7,886,983$8,685,098$8,697,458 TOTAL$7,532,525$7,886,983$8,685,098$8,697,458 AUTHORIZED FTE's Standard FTE's64.7469.3672.5672.56 TOTAL64.7469.3672.5672.56 2008-09 BUDGET PLANNING AND DEVELOPMENT SERVICES MISSION STATEMENT Planning and Development Services (P&DS) strives to develop and implement the desired long-term future of the natural and built environment in the city of Boulder by: Supporting a community vision and plan that preserves Boulder’s high quality of life, Protecting the public health and safety, Promoting economic, environmental, and social sustainability, and Supporting others in carrying out their mission. BUSINESS PLAN NARRATIVE P&DS is funded from three primary sources: General Fund transfer, fees, and restricted fund transfers. The approximately $8.2 million annual operating budget is appropriated across seven different work functions and funds 49 services. Since 2003, P&DS has reduced its operating budget by $995,000 and has eliminated 9 standard and 7 temporary positions. The reductions have been in areas where resources provided were in excess of the current demand and in activities which may enhance the efficiency and effectiveness of P&DS but were not absolutely essential to its central mission. All but one of our discretionary services have been eliminated through budget reductions or reallocation. P&DS has been focused on minimizing impacts to services central to the mission, as well as improving the service standards where possible. Of the 49 services provided, 63% of our operating budget is spent on essential services. In 2007, P&DS focused on improving essential services identified as below standard in the Development Review, Building Permit, and Environmental and Zoning Enforcement areas. To improve these services, $149,500 was added and $120,500 was reallocated in the 2007 operating budget. Of the total, an on-going amount of $25,500 and $60,000 for a fixed-term FTE through 2008 was funded by the General Fund. The remaining $185,500 was funded by revenue. The emphasis of the 2008 Fiscally Constrained Plan has been on the reallocation of resources to improve service standards in essential areas. For example, in order to address the below service level standard in the Development Review area, non-personnel dollars are recommended to be shifted to personnel dollars in order to add a fixed-term position to manage development review cases. GUIDING PRINCIPLES OR INVESTMENT STRATEGY Essential Services The essential services category is described as programs, services or facilities essential to ensuring the health and safety of the people and property in the community and municipal corporation, as well as programs or expenses that are legally mandated by federal or state law or City Charter. Essential services provided by P&DS includehealth and safety related code compliance such as the review and inspections associated with building, floodplain, right of way and utility permits and the land use and engineering review associated with annexations, rezoning and subdivisions. City Charter mandated services include the coordination of the comprehensive plan, capital improvement program, and department master plans. Desirable Services The desirable services category is described as programs that further community goals by protecting cultural and natural resources and by enhancing the quality of the built environment. Desirable services provided by P&DS include area planning, discretionary review processes, code amendments, and other programs such as historic preservation. Area planning enhances the built environment by bridging the gap between the broad policies of the comprehensive plan and site-specific project review. Discretionary review includes land use review processes that define community standards for development while allowing flexibility in project design which is an example of how the community can enhance the quality of the built environment. Code amendments include changes to the land use regulations to implement Council policy direction, special projects, area plans, and other refinements to update the regulations as needed. The historic preservation program is an example of protecting the cultural resources in the community. The wetland permitting program and environmental planning are examples of activities that protect natural resources. In addition, environmental and zoning enforcement and the rental licensing program enhance the quality of life. Discretionary Services The discretionary services category is described as programs and services that further enhance Boulder’s quality of life or that provide a special convenience to the customer. The only discretionary service provided by P&DS is the residential permit allocation system as it serves to enhance Boulder’s quality of life. All other discretionary services have been eliminated through either budget reductions or reallocations. OVERVIEW OF ACTION PLAN The P&DS Action Plan represents the next step to achieve the service level or restoration that should occur when funding is available within current revenue sources or new approved sources. The 2008 P&DS Action Plan identifies additional resources necessary to improve the service level for essential and desirable services that are currently below the service standard. The Action Plan includes expenses associated with improving or restoring service levels for the following services: building permit and inspection services, development review, comprehensive planning, historic preservation, environmental planning, mapping data maintenance, floodplain permits, right-of-way permit review and inspection, equipment replacement and Service Center. The total P&DS Action Plan for all services is estimated at $1,122,000 ($922,000 annually and $200,000 one-time) and represents an additional 10.5 FTE. Of the total, $444,750 including 3.75 FTE is necessary to improve the service level for General Fund services and $477,250 including 6.75 FTE and $200,000 one-time is necessary to improve the service level for Revenue services. Each resource identified as necessary to improve the service level has been prioritized based on a critical need due to increased activity level. For 2008-2009, in the General Fund, P&DS recommends a total resource increase of approximately $205,000 in on-going funding including a 1.0 FTE to address service level deficiencies and to implement City Council initiated projects that further community sustainability goals. Of the $205,000, $75,000 represents our 1% highest priority that focuses on improving service levels as described below and the remaining $130,000 is to restore consulting services to support Council initiated projects such as the Pops and Scrapes/FAR project. In the Revenue area, P&DS recommends a total resource increase of $404,000 ($204,000 on-going and $200,000 one-time) including 3.0 FTE to address service level deficiencies as described below. Please refer to Attachment B of the 2008-09 Budget Message for a listing of those Action Plan Items that were recommended for funding. The listing is presented in order by fund and department. Please see the section titled “City Council Direction on the Recommended Budget” for any changes from Attachment B. OVERVIEW OF VISION PLAN The vision for Planning and Development Services is to provide a full range of planning and development services from proactive long range planning to code enforcement in order to protect and enhance Boulder’s quality of life, built environment, environmental quality, and health and safety including: Provision of comprehensive, area, historic, and environmental planning services that meet community, council, and planning board expectations. This would include the ability to prepare area plans and undertake environmental and other special planning projects as requested by Council, and having the appropriate staff expertise and consultant resources. Staff areas of expertise would expand from environmental, historic and comprehensive planning to include urban design. The vision for Planning & Development Services includes both a physical and virtual one-stop-shop. Currently, P & DS staff have offices in the Park Central Building, Atrium Building and Municipal Services Center. While the existing customer services center rd located on the 3 floor of the Park Central Building has generally centralized access to information and development and permit application intake, customers cannot easily access all staff. Providing a true one-stop-shop with all P & DS staff in the same building remains part of the vision for service delivery. P & DS continues to provide access to information and e-government services on-line. Providing a “virtual” services center with the full array of existing services on-line is an objective of our action plan, currently under development. The “virtual” service delivery model also includes providing real-time access to information for staff in the field. Ultimately, the vision for the virtual services center is the same as that proposed for the physical services center in that excellent customer service would be delivered through both venues. Further details including key aspects of improved service delivery across P & DS under this vision, are outlined in the draft Strategic Plan included with this proposed budget. PERFORMANCE MEASURES ACTUALTARGETTARGET TARGET 2006200720082009 1.Total number of applications received 6087 5,700 6,000 6,000 annually (projected). (1) Administrative Review (ADR) 2.: Administrative Setback Variances, Minor 48% 85% 85% 85% Modifications, etc. Target = 12 days (1) Land Use Review (LUR): Site Reviews, Use Reviews, 38% 85% 85% 85% Annexations, etc. Target = 19 days (1) Technical Document Review (TEC): 56% 85% 85% 85% Target = 19 days ACTUALTARGETTARGET TARGET 2006200720082009 (2) Building-related Permits : New Residential - SFD = 40 days 38%85%85%85% New Residential - MFD = 60 days 11%85%85%85% New Commercial = 60 days 13%85%85%85% Commercial Tenant Finish = 60 days 74%85%85%85% Residential Alt/Add = 20 days 34%85%85%85% Commercial Alt/Add = 25 days 35%85%85%85% Commercial Tenant Remodel = 50%85%85%85% 25 days Single/Stand Alone = 12 days 70%85%85%85% 3. Percentage of building-related permit applications processed “over-the-61% 65% 65% 65% counter” (projected). 4.Number of cases investigated and action taken annually in Zoning and 3,260 4,000 4,000 4,000 Environmental Code Enforcement. 5. Percent of initial enforcement field inspections performed within three 61% 88% 90% 90% calendar days of receipt of complaint. 6. Percent of complaints for which all investigation and action by 68% 76% 80% 80% Environmental Enforcement Officers is completed with 30 calendar days. 7.Percent of complaints for which all investigation and action by Zoning 72% 75% 80% 80% Officers is completed with 60 calendar days. (3) NEW PERFORMANCE MEASURES : Development Review: Percent of Business Licenses reviewed within 1 week of application. ACTUALTARGETTARGET TARGET 2006200720082009 Permits: Percent of floodplain permits in conveyance and high hazard flood zones reviewed within 3 weeks of application. Percent of Right of Way and Utility permits reviewed within 48 hours of application. Percent of Sign Permits reviewed within 10 days of application. Percent of Wetland Permits reviewed within three weeks of application. Percent of Revocable Permit and Lease applications reviewed within 14 days of application. Inspections: Percent of building inspections performed within 24 hours of the request. Percent of Right-of-Way and Utility inspections performed within 24 hours of the request. Licensing: Percent of contractor licenses processed within 24 hours of application. Percent of rental housing licenses processed within 3 days of application. ACTUALTARGETTARGET TARGET 2006200720082009 Historic Preservation: Percent of Demolition Permit applications reviewed by the Design Review Committee within one week. Percent of Demolition Permit applications reviewed by the Landmarks Preservation Advisory Board within six weeks. Percent of Landmark Alteration Certificate applications reviewed by staff or Landmarks Design Review Committee within one week. Percent of Landmark Alteration Certificate applications reviewed the full Landmarks Board within six weeks. Service Center Operations: Percent of Skip-a-Trip applications processed within 48 hours. Percent of response to Project Specialist telephone inquiries within 24 hours. (1) Performance measures for development review activities are based on the actual time an application is under review. For 2006, a tolerance of +/- 5 calendar days has not been included as in previous years thus providing a possibly more accurate account of these performance measures. Staff will be working toward improving these performance measures in 2007. Another metric we are monitoring is the elapsed time an application is held prior to the start of review. Reviews for approximately 46% of the cases submitted were not started the same week (i.e., on the same “Track”) in which they were submitted, but placed on “Hold” for one to two tracks – two to six weeks – until sufficient staff resources became available to initiate review. (2) For building permits, performance is based on the time an application is under review from the date it’s received. In 2006, from January through August, building permits were put on hold for an average of three to four weeks before the review was started. This is reflected in the performance ratings. In September 2006, the time frame for building permit review improved and almost all permits were on-time. Due to the design of the statistical reports this improvement is not reflected in the performance ratings. (3) As part of the Draft P&DS StrategicPlan, sixteen new performance measures have been added. The 2008 and 2009 target information for these performance measures will be included following the compilation of data from peer city surveys anticipated to be completed by the end of 2007. PUBLIC SAFETY FIRE FIRE DEPARTMENT EMERGENCYADMINISTRATIVE PREVENTION SERVICES SERVICESSERVICES TRAININGWILDLAND PUBLIC EDUCATION DIVISIONDIVISION JUVENILE FIRESETTER 2008 BUDGET $12,815,286 Administrative Prevention Services 5% 6% Emergency Services 89% 2008-09 BUDGET FIRE 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM ADMINISTRATIVE SERVICES General$524,815610,400663,294683,768 $$$ Communication/Contracted Svcs363,947358,673122,258125,521 785,553 888,762969,073809,290 EMERGENCY SERVICES General9,640,89910,202,10710,581,31710,913,830 527,771 Wildland Coordination456,163507,725543,627 Specialty Teams52,07367,33678,44880,655 Training248,453214,389250,796258,488 11,438,332 10,397,58810,991,55711,796,599 PREVENTION Prevention442,211536,890591,401609,774 442,211591,401 536,890609,774 TOTAL$11,728,561$12,497,520$12,815,286$13,215,663 BUDGET BY CATEGORY Personnel Expenses$10,169,431$10,733,377$11,525,744$11,900,331 Operating Expenses893,6971,101,649519,041529,422 Interdepartmental Charges665,432662,494770,500785,910 TOTAL$11,728,561$12,497,520$12,815,286$13,215,663 BUDGET BY FUND General$11,662,047$12,426,481$12,739,107$13,137,208 Open Space66,51471,03976,17978,455 TOTAL$11,728,561$12,497,520$12,815,286$13,215,663 AUTHORIZED FTE's Standard FTE's111.33111.33111.33111.33 Seasonal Temporary FTE's2.502.502.502.50 TOTAL113.83113.83113.83113.83 2008-09 BUDGET FIRE DEPARTMENT MISSION STATEMENT The Boulder Fire Department strives to make Boulder a safe place to live, work and play. We reduce the human suffering caused by fires, accidents, sudden illness, hazardous material releases, or other disasters. BUSINESS PLAN NARRATIVE The Fire Department Business Plan supports the goals, objectives and service standards outlined in the Boulder Valley Comprehensive Plan (BVCP). It identifies areas where the Fire Department does not currently meet goals outlined in the BVCP. It also addresses the needs of the Boulder Fire Department in order to met national standards and recognized fire industry good practices. The overall goals outlined in the BVCP call for well trained, well equipped fire fighters strategically located throughout the City who can arrive at emergencies within six minutes. Actual and anticipated growth and redevelopment coupled with the City economic environment have impacted the Fire Department’s ability to meet the BVCP goals. Higher density and more congestion increase calls for service and increased traffic slows emergency response. Relocation of fire stations built decades ago will be necessary. The addition of more fire trucks in existing fire stations and more fire fighters on those fire engines will help meet the BVCP goals and move the Fire Department towards compliance with national standards resulting in a higher level of safety for the community and the fire fighters. Budget constraints over the past five years have caused the Fire Department to reduce or postpone support activities like outside training and equipment replacement in order to redirect those funds to maintain emergency response services at a consistent level in the community. The Fire Department Master Plan will be finished in early 2008. This Business Plan is consistent with the draft master plan. It will provide the basis for the Action and Vision Plan for this crucial city service. GUIDING PRINCIPLES OR INVESTMENT STRATEGY 1.)Essential Services includethose that directly provide for the health and safety of the people and property in the community. These services are not provided by another entity. These include response to emergencies within and around the City, and the support activities necessary to safely and efficiently mitigate those emergencies. Examples include; fire and emergency medical response, automobile, technical and water rescues, fire fighter training and fire safety inspections to comply with City and State regulations and ordinances. Replacement of aging fire vehicles is essential. 2.)Desirable Services includethose that enhance essential services or improve quality of life in the Boulder community. Examples include wildland fire mitigation and public safety education designed to reduce the demand for emergency responses. 3.)Discretionary Services includethose that serve limited special interest. Examples are funding of a regular fire apparatus replacement program and our smoke detector give away program funded through donations. OVERVIEW OF ACTION PLAN Please refer to Attachment B of the 2008-09 Budget Message for a listing of those Action Plan Items that were recommended for funding. The listing is presented in order by fund and department. Please see the section titled “City Council Direction on the Recommended Budget” for any changes from Attachment B. OVERVIEW OF VISION PLAN The Vision Plan allows the Boulder Fire Department meet accepted national standards for fire fighting and hazardous materials response. Meeting national standards greatly improves firefighter safety and has the potential to reduce fire insurance rates in Boulder. The Vision Plan continues replacement of outdated facilities and increases the capability of the seasonal wildland mitigation efforts improving community safety in the wildland interface area of the City. PERFORMANCE MEASURES ACTUAL TARGET TARGET TARGET 2006200720082009 1.Percentage of emergency responses 1 within six 69% 90% 90% 90% minutes. Target 90% 2.Number of fire fighters per 1000 .92 population.<1.0 <1.0 <1.0 Target less than 1.0 3.Percentage of all units dispatched to emergencies 96.08% 90% 90% 90% arrive on scene within 11 minutes. 1 This is a significant change from the previous year of 84.7%. It appears to be due to a number of factors including lengthy road construction on major arterials, severe weather and increasing call loads. 2007 responses are being closely monitored. POLICE OFFICE OF THE CHIEF ADMINISTRATION COMMUNICATIONS RECORDS & INFO SYSTEMS DETECTIVES VOLUNTEER/VICTIM SERVICES PATROL WATCH I PATROL WATCH IIPERSONNEL SERVICES PATROL WATCH IIISPECIAL SERVICES TRAFFIC FINANCIAL & FACILITY SERVICES 2008 BUDGET $26,817,806 Records & Administration Communications Info Systems 3% 9% Traffic 5% 14% Financial & Facility Services 11% Personnel Services 3% Volunteer/ Victim Services <1% Detectives Patrol 13% Special 41% Services 1% 2008-09 BUDGET POLICE 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED BUDGET BY PROGRAM Administration$633,463$618,394$697,639$719,771 Communications2,122,6312,522,9252,602,972 1,984,343 Records & Information Systems1,010,7071,193,0621,306,2511,348,159 Financial & Facility Services 2,864,4572,669,3402,806,1022,871,321 Personnel Services877,774 797,359833,812903,637 Volunteer/Victim Services 70,575107,110113,638117,160 Detectives 3,476,2043,429,1983,542,5163,655,876 Special Services576,442374,202379,673390,729 Patrol Watch I 4,278,3824,602,6014,532,5004,679,012 Patrol Watch II 3,096,3813,550,8623,798,1933,921,439 Patrol Watch III2,608,544 2,221,2692,428,7222,693,126 Traffic3,526,1573,734,331 2,603,3433,632,050 Donations0 10,70300 Grants000 211,361 TOTAL$23,834,988$25,456,090$26,817,806$27,637,533 BUDGET BY CATEGORY Personnel Expenses$19,754,100$21,454,700$22,669,700$23,406,465 Operating Expenses2,838,3112,911,5283,017,9233,078,281 Interdepartmental Charges1,205,9001,065,9441,105,5651,127,676 Capital36,67723,91824,61825,110 TOTAL$23,834,988$25,456,090$26,817,806$27,637,533 BUDGET BY FUND General$23,834,988$25,456,090$26,817,806$27,637,533 TOTAL$23,834,988$25,456,090$26,817,806$27,637,533 AUTHORIZED FTE's 269.25 Standard FTE's263.25273.25273.25 TOTAL263.25269.25273.25273.25 2008-09 BUDGET POLICE DEPARTMENT MISSION STATEMENT The mission statement of the Boulder Police Department is very simple: Working with the community to provide service and safety. BUSINESS PLAN NARRATIVE From 2001 to 2005 the department experienced a 7.5% budget reduction for a cumulative total of $1,643,718.00. In the midst of these cuts, the Police Department has been committed to absorbing these reductions without compromising the efficiency of core public safety services to the citizens of Boulder. The Department has been successful at protecting the quality of core services, but the reductions inevitably had to impact some services and efficiencies. We have taken across the board reductions from non-personnel accounts in an attempt to meet unfunded liabilities. We have reduced our staffing by 19.25 FTE’s. We have also taken steps to increase efficiencies by streamlining our arrest and report writing procedures, and reducing our paperwork for officers. We have also made one time adjustments to our vehicle replacement fund. The loss of an annex reduced the Department’s efforts to develop partnerships within the community which were beneficial in utilizing both the resources of the Department and the community to maintain a safe environment. It is a loss of decentralization of police services and loss of improved access/convenience for residents which would have provided a neighborhood approach to service delivery. Another service affected by budget cuts was the reduction of services in the Records Section. The Police Records Specialists provide direct service to the community at the front desk as well as to department staff. They maintain police records, and are responsible for data entry of reports in the Police Information Network (PIN). These services are still available, but operating hours had to be reduced by eliminating the graveyard shift and closing the section on week-ends. This impacts citizens as well as officers and detectives who need to access information. The Detectives Division was also affected when reduced staffing forced them to decrease the types of cases for follow-up. Detectives are unable to follow-up on forgeries or check frauds under $1,500. These are now referred to the District Attorney for alternative disposition. The functions performed by a reduced Police Sergeant position, namely responsibility for Special Events and Emergency Preparedness, were assigned to a Patrol Division Commander in addition to regular duties. The canine unit, consisting of two officers and two dogs, was disbanded completely and the funding reallocated to fund core services. The canine unit was a great asset in providing officer safety in situations where building searches are needed. The Police Master Plan was originally completed in 1996 and later updated in 2001 (approved by Council in 2003). The Police Department will continue to focus efforts on meeting basic functions and core services identified during the master planning process. Staffing and equipping the department to maintain service levels as the community grows will be part of future action and vision plans. GUIDING PRINCIPLES AND/OR INVESTMENT STRATEGY 1.)Essential Services include: Those functions and services that contribute to our ability to respond to emergency situations involving threat to persons or property, to meet the service demands of our community, to investigate criminal acts, and to prevent crime. This also includes those functions necessary to support these critical services. Quality of life is addressed through our ability to create and maintain a safe and secure environment for our citizens. Minimal cuts have occurred in these services. Examples of services that fall into this category are responses to calls such as assaults in progress, injury accidents, and other crimes in progress. It would also include those police services that are considered basic to public safety, such as taking reports of serious crimes and then conducting follow-up investigations. Burglaries and robberies would fall into this category. We also need to provide a minimum level of police presence to deter crime and provide adequate back-up and safety for our officers. 2.)Desirable Services include: Those functions and services that contribute to our efforts in providing a safe and secure environment, but are not generally considered as critical as essential services. These functions are often expected or demanded by our community as core services and enhance our ability to serve the community in a variety of ways beyond emergency services. Some cuts have occurred in these areas. And example of this type of service would be the investigation of non-jury traffic accidents. It is desirable to investigate and determine who is at fault in a traffic accident so that proper accountability can be applied. It is also desirable to protect the safety of those involved and to clear the roadways as quickly as possible to enhance traffic flow. Another desirable service would be having officers on foot and bicycle patrols on the Hill and Mall. This enhances safety and provides for more personal and attentive service to the special needs of those districts. 3.)Discretionary Services include: Those functions and services that are supportive of our core services and enhance the quality of life in our community. Generally an enhancement to other services provided by the department or a response to expressed desires of the community, but not as critical to public safety. Many of these services have experienced cuts over the past few years. An example of this type of service is our School Resource Officers. They work in our high schools and middle schools to respond to service needs, build relationships with the students, provide safety education, work with at risk youth, and work with other service agencies in protecting our communities’ children. OVERVIEW OF ACTION PLAN Please refer to Attachment B of the 2008-09 Budget Message for a listing of those Action Plan Items that were recommended for funding. The listing is presented in order by fund and department. Please see the section titled “City Council Direction on the Recommended Budget” for any changes from Attachment B. OVERVIEW OF VISION PLAN To work in partnership with the community to provide excellent police service and proactive crime prevention methods by improving staffing levels and utilizing state of the art technology. Our vision for the Boulder Police Department recognizes the importance of involving our community in addressing and resolving crime and safety concerns in a growing, dynamic, diverse community. We will continue to look for creative and enhanced ways to include our community in problem solving efforts to meet future needs. Furthermore, the demand for law enforcement services continues to climb in terms of calls for service and community expectations. In recent years, our ratio of police officers to every 1,000 citizens has dropped while the demands for service have risen. This will only be exacerbated as the development in north Boulder continues, the Transit Village becomes a reality, and other projects such as the Peloton and the Palmeros property are developed. th We have already seen an increase in demand for police services on the new 29 Street Shopping complex. In 2006, our calls for service reached an all time high of 84,746, a one year increase of 6.8%. Additional staffing in the near future will be necessary to maintain our level of services. Any expanded services will require either a re-allocation of current services or increased staffing beyond adequate levels. Today we find ourselves behind in the current state of the art technology as it applies to carrying out our responsibilities to an efficient, effective and excellent level. Our vision is to upgrade and better utilize available technology to improve functions such as communications, record keeping, retrieving data, suspect identification, laboratory processes, officer accountability, evidence gathering, less lethal weapons, enhanced training, etc. Through technology, we can develop methods to better track and record officer activities, have communications interoperability, and have access to real time law enforcement and suspect data. Our vision encompasses using technology to increase our effectiveness and efficiency in identifying, addressing, and solving law enforcement issues in our community. st We envision a 21 century police department that provides an excellent level of police services to enhance quality of life and serves as a model for modern day policing. We will attain our vision by improving our community partnerships, increasing our staffing to improve and enhance our service levels, including proactive efforts to prevent crime, and by using the latest technology in our fight against crime. PERFORMANCE MEASURES ActualTargetTargetTarget 2006200720082009 Reduce the harmful effects resulting from the use of alcohol, by reducing the number of vehicle accidents that 27 <50 <50 <50 involve injuries and deaths and are alcohol related by 5% under the last five years average. (50) To report the number of D.U.I. arrests 1,168 1,000 1,100 1,100 Part I Crimes per 1000 32.3 32 32 32 citizens Report the total number of customers served by the Community Police 6,768 6,500 6,500 6,500 Centers. To provide improved delivery of police service to the community of Boulder, by evaluating police effectiveness through 32% 25% 27% 27% the use of crime clearance statistics to exceed the national average of 21%. ActualTargetTargetTarget 2006200720082009 Evaluate police effectiveness through the improvement of police emergency 3.5 minutes 3.5 minutes 3.5 minutes 3.5 minutes response under the last five-year average of 6.2 minutes. FUND FINANCIALS UTILITY RATES UTILITY RATES OVERVIEW The city owns and operates three utilities: water, wastewater, and stormwater/flood management. Each utility assesses a variety of rates, fees, and charges to ensure that revenues are sufficient to meet operating and maintenance costs and to maintain the financial integrity of each utility. The Utilities Division annually reviews the financial and operation performance of each utility and, as appropriate, makes recommendations to City Council regarding adjustments to user charges and other related fees. The recommendations are reviewed and approved by City Council as part of the annual budget process. The recommended rate and financial plan is designed to fund programs and projects, satisfy debt service coverage requirements and maintain required reserves. Each utility is required to generate net revenues (total revenues minus operating expenditures) before debt service, equal to 1.25 times its annual debt payment requirements on an annual basis. These debt service coverage requirements are established as part of the utility's bond covenants. Reserves are established for bond issuances, employee compensation liabilities, emergencies/stabilization and special purposes (e.g. Lakewood Pipeline Remediation Reserve). Late in 2006, the city had contracted with Red Oak Consulting to conduct a review of the various financial reserves and reserve levels for each of the city’s three utilities. This included a survey of the reserve policies of ten other utilities in the Front Range and Southwestern United States. The findings of the study were presented to the Water Resources Advisory Board (WRAB) in January 2007. Based on the study’s findings, consultant’s recommendation and the WRAB’s input, staff has modified the reserve policies of each utility beginning in 2008. Each utility will show a 25% operating reserve (changed from a range of 20%-25%) and also establish a separate capital reserve. The amount of the capital reserve is based on the minimum annual renewal and replacement costs for capital. The capital reserves are initially set at: Water - $2,000,000; Wastewater - $500,000 and Stormwater/Flood Management - $200,000. Having both an operating and capital reserve will provide the utility with greater financial stability and flexibility should emergencies or revenue shortfalls occur and will function indirectly as a rate stabilization fund. Water revenues especially can be significantly lower during either a very wet or very dry year and it is financially prudent to have reserves available in years when there may be a revenue shortfall. In addition, bond rating agencies favor higher reserve levels and this can contribute to higher bond ratings. MONTHLY USER FEES Additional revenue is needed in 2008 for all three utilities to meet each utility’s financial requirements and to fund operation and maintenance costs. The following revenue increases for 2008 have been approved (in bold). The 2007 percentage increases are currently in effect. Stormwater/Flood YearWaterWastewaterManagement 2007 4% 6% 3% 2008 4% 3%3% 2009* 10% 3% 3% 2010* 10% 10% 4% 2011* 12% 8% 3% 2012 2% 6% 3% The rate increases for 2008 are primarily needed to cover inflationary increases for personnel and nonpersonnel items. These increases will also fund new costs associated with the improvements at the wastewater treatment plant, new water assessments to both the Northern Colorado Water Conservancy District and the Platte River Authority and increased energy costs at the treatment facilities. *The projected 2009-2011 increases for water assume the city’s participation in the Carter Lake Pipeline Project (without receipt of federal funding). If the city does not participate and construct the pipeline, the projected increases for water revenues for 2009-2011 are reduced to 5%, 5% and 6%, respectively. In addition, if the city were to receive federal funding for the project the rate increases would be decreased accordingly. CUSTOMER BILL IMPACTS The following table is a comparison of annual utility bills for a residential customer under the 2007 and 2008 rates. The 2008 rates will increase a typical residential customer’s annual utility bill by approximately $21.00. This is an increase of approximately $1.75 per month. Annual Bill Annual Bill 2007 Rates 2008 Rates Difference Water $340.10 $349.60 $9.50 Wastewater 218.88 227.52 8.64 Stormwater/ Flood Management 81.00 83.40 2.40 TOTAL $639.98 $660.52 $20.54 In June 2007 a survey of annual water and sewer bills was conducted for Front Range Communities. The bills were for a typical single-family, inside city residential customer with average winter water consumption of 5,000 gallons, total annual water consumption of 120,000 gallons, a lot size of 9,000 sq. feet and irrigable area of 5,200 sq. feet. Of the fifteen communities surveyed in 2007, Boulder has the third lowest annual water-only bill; the fourth highest annual sewer-only bill and was in the middle (seventh lowest) for the combined water and sewer bills. PROGRAMS AND PROJECTS WITH A POTENTIAL RATE IMPACT In January 2007 a new water rate structure that uses water budgets was implemented. Changing to a new rate methodology will provide a bit of uncertainty to revenue projections for the next several years. Revenue forecasts have been made with the best available information and staff will monitor and evaluate actual revenues on a monthly basis in order to make adjustments, if needed. In addition any future changes to the water budget rate structure that are considered would also include an analysis of the impact to water revenues and water rates. In addition, the Utilities’ 2008-2013 fund financials reflect several bond issuances, and the associated rate increases, to fund the following capital projects: Water Utility - Boulder Reservoir Water Treatment Plant Improvements ($3.0 million included in the 2009 CIP) - Northern Colorado Water Conservancy District Conveyance - Carter Lake Pipeline ($25.0 million included in the 2009 CIP) - Betasso Water Treatment Plant Improvements ($5.0 million included in the 2012 CIP) Wastewater Utility - Biosolids Digester ($3.0 million included in 2010 CIP, plus increase in operating budget; total project cost is $6.0 million with $3.0 million being cash financed) - Wastewater Treatment Plant Improvements ($10.0 million included in the 2010 CIP) This project is for possible additional improvements to the plant, depending upon effective regulatory limits for the 2008 discharge permit. Stormwater/ Flood Management Utility - Initial improvements related to South Boulder Creek ($3.0 million included in 2010 CIP) Cost estimates for these capital projects will likely be refined as the construction date approaches which could result in changes to projected rate increases. PLANT INVESTMENT FEES Utility Plant Investment Fees (PIFs) will increase by an inflationary amount (2.9%) for 2008. This amount is based on the percent change in the construction cost index for the Denver area. PIFs are a one-time fee collected when a property is annexed, developed, or redeveloped and requires access (capacity) into the existing water, wastewater and/or stormwater/ flood management systems. PIFs were recalculated, based on the replacement value of the utility assets, as part of the 2001 Utility Rate and Plant Investment Fee Review conducted by Integrated Utilities Group, Inc. and became effective January 2002. Beginning in 2003, PIFs are increased annually by a small percentage amount to offset any potential larger increases resulting from the periodic comprehensive rate reviews. The next comprehensive study and analysis of the plant investment fees began in the fall of 2007 and is anticipated to be completed by mid-year 2008. The 2007 and 2008 PIFs for an average-size, detached, single family residence are shown below. 2007 PIF2008 PIF Water $9,710 $9,995 Wastewater $1,855 $1,910 Stormwater/Flood $1,820$1,875 Management PIF assessments for other types of customers (i.e. small, large) are also being revised using the base amounts listed above. All adjustments for 2008 are reflected in Section 4-20 Fines and Fees of the Boulder Revised Code (B.R.C). The Utilities also assess fees for specific utility related services. These are reviewed annually as part of the budget process and any changes are submitted as part of the update to Section 4-20 Fines and Fees of the B.R.C. These fees are designed to fully recover the direct costs of providing services and most indirect overhead costs. PUBLIC PROCESS Public process and information disbursement regarding utility rate adjustments include: submittal to and recommendation from the Water Resources Advisory Board, notification on customers utility bill and/or utility bill inserts, inclusion of related materials on the Public Works web page, Planning and Development Services’ Schedule of Fees and public hearings during Council consideration of the annual budget. All approved adjustments to the Utility rates will become effective January 1, 2008. APPENDIX APPENDIX A The information included in Appendix A provides the number of standard full time equivalents (or FTEs) by department and program. The FTE numbers include standard Management/Non-Union, Boulder Municipal Employees’ Association (BMEA), Fire and Police positions; they also include capital and grant funded positions. The do not, however, include any temporary or standard positions. 2008-09 APPROVED BUDGET CITY COUNCIL 2006200720082009 ACTUALAPPROVED APPROVEDPROPOSED FTE's BY PROGRAM City Council1.001.001.001.00 1.00 TOTAL1.001.001.00 2008-09 APPROVED BUDGET CITY ATTORNEY 2006200720082009 ACTUALAPPROVED APPROVEDPROPOSED FTE's BY PROGRAM CITY ATTORNEY 0.00 City Attorney0.000.000.00 Prosecution0.000.000.000.00 0.000.000.000.00 ADMINISTRATION Administration 1.251.251.251.25 1.251.251.251.25 CONSULTATION AND ADVISORY Consultation and Advisory 10.1010.9010.7510.75 10.1010.9010.7510.75 PROSECUTION, CLAIMS AND LITIGATION Prosecution, Claims and Litigation7.406.555.655.65 7.406.555.655.65 PROPERTY & CASUALTY Property & Casualty 0.001.001.001.00 0.001.001.001.00 TOTAL18.7519.7018.6518.65 2008-09 APPROVED BUDGET MUNICIPAL COURT 2006200720082009 ACTUALAPPROVED APPROVEDPROPOSED FTE's BY PROGRAM ADJUDICATION Adjudication3.503.503.503.50 3.503.503.503.50 CASE MANAGEMENT Case Management 0.000.000.000.00 Traffic/ General/ Animal 3.503.503.503.50 Photo Enforcement 1.503.003.003.00 Parking Support 2.002.002.002.00 Probation Services3.00 3.003.003.00 10.0011.5011.5011.50 ADMINISTRATI0N Administration 3.503.503.503.50 3.503.503.503.50 TOTAL 17.0018.5018.5018.50 2008-09 APPROVED BUDGET CITY MANAGER'S OFFICE 2006200720082009 ACTUAL APPROVED APPROVEDPROPOSED FTE's BY PROGRAM CITY MANAGER'S OFFICE 5.004.006.006.00 City Manager's Office 5.004.006.006.00 INTERNAL AUDIT Internal Audit1.501.501.501.50 1.501.501.501.50 ECONOMIC VITALITY Economic Vitality Program 1.001.001.001.00 Urban Redevelopment Program 1.001.001.001.00 2.00 2.002.002.00 CMO SUPPORT City Clerk Administration 2.702.702.702.70 Elections0.300.300.300.30 Licensing 1.001.001.001.00 Records Management 3.003.003.003.00 7.007.007.007.00 MEDIA RELATIONS Media Relations Administration1.501.751.751.75 Intergovernmental0.001.000.000.00 Municipal Channel 83.003.003.003.00 Neighborhood Services0.500.250.250.25 University Liaison1.001.001.001.00 6.007.006.006.00 TOTAL21.5021.5022.5022.50 2008-09 APPROVED BUDGET FINANCE 2006200720082009 ACTUALAPPROVED APPROVEDPROPOSED FTE's BY PROGRAM FINANCE ADMINISTRATION Finance Administration1.002.002.00 2.00 1.002.002.00 2.00 BUDGET & TREASURY Budget2.004.003.003.00 Treasury3.003.003.003.00 Sales Tax6.006.007.007.00 11.0013.0013.0013.00 RISK MANAGEMENT Risk Management0.000.004.00 4.00 0.000.004.00 4.00 CONTROLLER Financial Operations 4.754.004.004.00 Payroll/Mail 6.505.872.372.37 Financial Reporting 2.002.002.002.00 13.2511.878.378.37 FINANCE SYSTEM ADMINISTRATION Finance System Administration2.002.002.002.00 2.002.002.002.00 TOTAL27.2528.8729.3729.37 2008-09 APPROVED BUDGET HUMAN RESOURCES 2006200720082009 ACTUALAPPROVED APPROVEDPROPOSED FTE's BY PROGRAM Administration6.403.503.003.00 0.000.000.000.00 Employee Relations & Org Effectiveness Employment & Diversity 2.252.382.382.38 Compensation & Benefits 2.552.002.502.50 0.003.003.003.00 Employee & Labor Relations Employee & Organizational Development 1.051.752.002.00 0.000.003.503.50 Payroll 2.002.000.000.00 Workers Compensation TOTAL14.2514.6316.3816.38 2008-09 APPROVED BUDGET INFORMATION TECHNOLOGY 2006200720082009 ACTUALAPPROVED APPROVEDPROPOSED FTE's BY PROGRAM IT ADMINISTRATION IT Administration3.003.003.003.00 3.003.003.003.00 IT APPLICATIONS Applications Support12.7512.7512.7512.75 12.7512.7512.7512.75 DATABASE/SYSTEM ADMINISTRATION Telecommunications/Phone Support 0.000.002.502.50 Operations/System Support 4.004.004.004.00 4.004.006.506.50 IT MICROCOMPUTER SUPPORT Microcomputer/LAN Support13.0013.0013.0013.00 13.0013.0013.0013.00 TOTAL32.7532.7535.2535.25 2008-09 APPROVED BUDGET DOWNTOWN UNIVERSITY HILL MANAGEMENT DIVISION/PARKING SERVICES 2006200720082009 ACTUALAPPROVED APPROVEDPROPOSED FTE's BY PROGRAM GID Administration5.966.715.965.96 1.001.001.001.00 Operations & Public Info 0.500.500.500.50 Public Events Transportation 1.001.001.001.00 Parking Enforcement 11.0011.0010.9510.95 17.0018.0018.7518.75 Parking Maintenance/Operations 3.003.003.003.00 Meter Program Neighborhood Permit Parking 1.041.041.091.09 TOTAL40.5042.2542.2542.25 2008-09 APPROVED BUDGET HOUSING AND HUMAN SERVICES 2006200720082009 ACTUALAPPROVED APPROVEDPROPOSED FTE's BY PROGRAM COMMUNITY SERVICES Community Services General Fund Merit Adjustment3.303.273.273.27 Social Planning & Administration1.851.851.851.85 Human Services Contract Programs1.401.401.401.40 Human Rights & Human Relations0.000.000.000.00 TOTAL 6.556.526.526.52 CHILDREN, YOUTH & FAMILIES (CYF) CYF Division Administration CYF Division Administration2.763.543.543.54 TOTAL 2.763.543.543.54 Community Based Services Community Based Services Admin 1.881.881.881.88 Child Care Resource & Referral 1.871.672.202.20 Child Care Assistance Programs 1.091.101.101.10 Child Care Recruitment & Training 1.181.120.840.84 Mediation Services 2.251.751.751.75 Youth Opportunities 1.821.821.821.82 TOTAL 10.099.349.599.59 School Based Services School Based Services Admin 1.001.001.001.00 Prevention & Intervention Program 5.304.894.894.89 Family Resource Schools 5.174.674.674.67 TOTAL 11.4710.5610.5610.56 Early Care & Education Council Programs Early Care & Education Council Programs 1.003.002.002.00 TOTAL 1.003.002.002.00 TOTAL 25.3226.4425.6925.69 SENIOR SERVICES Senior Services Senior Services Administration 2.172.171.921.92 Facilities Management 4.334.334.334.33 Senior Resource & Referral 2.252.252.482.48 Senior Recreation Programs 2.332.332.332.33 TOTAL 11.0811.0811.0611.06 2008-09 APPROVED BUDGET HOUSING AND HUMAN SERVICES 2006200720082009 ACTUALAPPROVED APPROVEDPROPOSED FTE's BY PROGRAM HOUSING/COMMUNITY DEVELOPMENT Housing/Community Development/Administration Funding & Administration 4.104.104.104.10 Planning & Development Review 1.752.752.002.00 Asset Management 1.101.102.002.00 Home Ownership Programs 1.201.201.351.35 Tenant Services 0.120.120.120.12 TOTAL 8.279.279.579.57 Housing/Community Development/Direct Services Asset Management 0.901.900.000.00 Home Ownership Programs 1.301.303.403.40 TOTAL 2.203.203.403.40 CHAP/HOME/CDBG/AHF PROJECTS CHAP/HOME/CDBG/AHF PROJECTS 0.000.000.000.00 TOTAL 0.000.000.000.00 TOTAL 10.4712.4712.9712.97 TOTAL 53.4256.5156.2456.24 2008-09 APPROVED BUDGET LIBRARY 2006200720082009 ACTUALAPPROVED APPROVEDPROPOSED FTE's BY PROGRAM ADMINISTRATION Administration5.004.754.504.50 TOTAL5.004.754.504.50 MAIN LIBRARY SERVICES Adult Services Adult17.9517.9518.7018.70 Young Adult0.500.500.750.75 TOTAL 18.4518.4519.4519.45 Childrens Services Childrens Services 5.255.755.505.50 TOTAL 5.255.755.505.50 Information Services Information Services 13.2513.5013.5013.50 TOTAL 13.2513.5013.5013.50 TOTAL36.9537.7038.4538.45 BRANCH LIBRARY SERVICES Meadows Branch Library Meadows Branch Library 5.234.854.854.85 TOTAL 5.234.854.854.85 Reynolds Branch Library Reynolds Branch Library 4.274.654.654.65 TOTAL 4.274.654.654.65 Carnegie Branch Library Carnegie Branch Library 2.002.002.002.00 TOTAL 2.002.002.002.00 TOTAL11.5011.5011.5011.50 PROGRAMS AND SERVICES Adult Programming Film Program0.500.500.50 0.50 Concert series0.500.500.50 0.50 Lectures, Exhibits0.250.250.25 0.25 Public Information1.501.501.50 1.50 TOTAL2.752.752.75 2.75 Childrens Programming Childrens Programming 0.750.750.750.75 TOTAL 0.750.750.750.75 Volunteer Services Volunteer Services 0.500.500.500.50 TOTAL 0.500.500.500.50 Literacy Program Literacy Program 2.002.002.002.00 TOTAL 2.002.002.002.00 2008-09 APPROVED BUDGET LIBRARY 2006200720082009 ACTUALAPPROVED APPROVEDPROPOSED FTE's BY PROGRAM Special Services Special Services 0.750.750.750.75 Library Outreach 1.001.001.001.00 TOTAL 1.751.751.751.75 TOTAL 7.757.757.757.75 TECHNICAL SUPPORT Technical Support Services Acquisitions1.25 0.250.250.25 Collection Org. and Maintenance 6.757.757.757.75 TOTAL 8.008.008.008.00 Computer Services Computer Services 4.754.755.005.00 TOTAL 4.754.755.005.00 Database Services Database Services 1.501.501.501.50 TOTAL 1.501.501.501.50 TOTAL 14.2514.2514.5014.50 BUILDING MAINTENANCE Building Maintenance 3.503.503.503.50 TOTAL 3.503.503.503.50 TOTAL 78.9579.4580.2080.20 2008-09 APPROVED BUDGET ARTS 2006200720082009 ACTUALAPPROVED APPROVEDPROPOSED FTE's BY PROGRAM Arts Administration0.500.500.500.50 Arts .15% Allocation 1.001.001.001.00 TOTAL1.501.501.501.50 2008-09 APPROVED BUDGET ENVIRONMENTAL AFFAIRS 2006200720082009 ACTUALAPPROVED APPROVEDPROPOSED FTE's BY PROGRAM Administration0.001.001.001.00 PACE1.001.001.001.00 Climate Action Plan/Green Building1.500.004.004.00 2.503.003.003.00 Waste Reduction Integrated Pest Management 1.000.500.500.50 TOTAL6.005.509.509.50 2008-09 APPROVED BUDGET OPEN SPACE/MOUNTAIN PARKS 2006200720082009 ACTUALAPPROVED APPROVEDPROPOSED FTE's BY PROGRAM OFFICE OF THE DIRECTOR 2.002.002.002.00 Office of the Director 2.002.002.002.00 CENTRAL SERVICES DIVISION CSD-Divisional Services1.001.001.001.00 Support Services 6.456.958.458.45 Financial Mgmt Services 3.003.503.503.50 Media Services 1.001.001.001.00 11.4512.4513.9513.95 REAL ESTATE SERVICES DIVISION Real Estate Services6.806.806.80 6.80 6.806.806.806.80 PLANNING & TECHNICAL SERVICES DIVISION PTSD-Divisional Services 1.001.001.001.00 Planning Services5.006.009.009.00 Technical Services4.004.004.004.00 10.0011.0014.0014.00 ENVIRONMENTAL & VISITOR SVCS DIVISION EVSD-Divisional Services1.001.001.001.00 Resource Conservation & Education Outreach10.5013.5015.5015.50 Ranger Naturalist Services 12.0013.0014.0014.00 23.5027.5030.5030.50 LAND & FACILITIES SERVICES DIVISION LFSD-Divisional Services 1.001.001.001.00 Resource Operations Services 7.337.507.757.75 Maintenance Operations Services 9.509.008.008.00 Project Management Services6.006.008.008.00 23.8323.5024.7524.75 TOTAL77.5883.2592.0092.00 2008-09 APPROVED BUDGET PARKS AND RECREATION 2006200720082009 ACTUALAPPROVED APPROVEDPROPOSED FTE's BY PROGRAM ADMINISTRATION 1.253.253.453.45 Business and Financial Management 0.001.001.001.00 Technological Support 9.254.754.004.00 Support Services 0.000.370.370.37 Seasonal Hiring Coordination 3.002.002.002.00 Office of the Director 0.001.001.001.00 Policy and Information Services 0.003.503.503.50 Marketing and Volunteer Coordination 3.000.000.000.00 Registration 3.500.000.000.00 Community Relations 20.0015.8715.3215.32 PLANNING Administration3.10 5.505.504.50 Projects and Construction9.90 7.006.007.00 13.0012.5011.5011.50 CITY PARKS Administration1.500.500.50 1.00 City Parks31.2533.2533.25 32.25 Forestry5.005.005.005.00 Environmental Resources3.003.003.003.00 Reservoir2.120.000.000.00 Golf Course Operations0.000.000.00 3.00 46.3740.7541.7541.75 RECREATION Administration 1.004.004.004.00 Access and Inclusion 0.005.005.005.00 Youth Programs5.00 3.003.253.25 Sports 0.004.004.004.00 Sports Turf7.207.207.20 7.00 Recreation Centers 0.0017.2517.2517.25 Recreation Programs 0.0018.1318.3818.38 Flatirons Golf Course7.807.807.80 0.00 Aquatics and Boulder Reservoir0.006.126.376.37 Special Projects and Planning0.00 3.004.004.00 Therapeutics 6.000.000.000.00 Athletics7.00 0.000.000.00 NBRC and Programs 17.250.000.000.00 EBRC and Programs11.13 0.000.000.00 SBRC and Programs 11.500.000.000.00 65.8875.5077.2577.25 TOTAL145.25144.62145.82145.82 2008-09 APPROVED BUDGET PLANNING 2006200720082009 ACTUALAPPROVED APPROVEDPROPOSED FTE's BY PROGRAM ADMINISTRATIVE SERVICES5.806.987.277.27 INFORMATION RESOURCES 3.533.534.254.25 LONG RANGE PLANNING5.505.505.505.50 LAND USE REVIEW8.759.7511.2511.25 TOTAL 23.5825.7628.2728.27 2008-09 APPROVED BUDGET DEVELOPMENT & SUPPORT SERVICES DIVISION 2006200720082009 ACTUALAPPROVED APPROVEDPROPOSED BUDGET BY PROGRAM DEVELOPMENT SERVICES 12.2812.1512.0012.00 Engineering Review Building Construction & Code Enforcement13.0015.0015.0015.00 Administrative Services9.8810.4510.9110.91 Information Resources6.006.006.386.38 TOTAL 41.1643.6044.2944.29 SUPPORT SERVICES Facilities & Asset Management13.5113.5814.5814.58 16.9016.8716.8716.87 Fleet Services TOTAL 30.4130.4531.4531.45 TOTAL 71.5774.0575.7475.74 2008-09 APPROVED BUDGET TRANSPORTATION DIVISION 2006200720082009 ACTUALAPPROVED APPROVEDPROPOSED FTE's BY PROGRAM TRANSPORTATION DIVISION Transportation Planning & Operations Traffic Engineering 1.001.001.001.00 Signs/Markings 6.006.006.006.00 Signal Maintenance & Upgrade 4.004.005.005.00 Transportation Operations 5.285.545.545.54 Transportation System Management 0.200.200.200.20 Transportation Planning Transit Service Operations 0.500.500.500.50 Travel Demand Management (TDM) 1.001.002.502.50 Facilities/Regional Planning 1.001.000.500.50 Master/Community Planning 0.500.500.500.50 Bike/Ped Planning 1.001.001.001.00 TOTAL 20.4820.7422.7422.74 Project Management CIP Administration 5.856.656.656.65 TOTAL 5.856.656.656.65 Transportation Rehabilitation Overlay 0.700.900.900.90 Sidewalk Maintenance 0.350.350.350.35 Major Street Reconstruction 0.750.750.750.75 Bikeways Capital Maintenance 0.150.150.150.15 TOTAL 1.952.152.152.15 Transportation Maintenance Administration 4.004.004.004.00 Fleet Liaison 0.500.500.500.50 Bikeway Maintenance 2.003.003.003.00 Graffiti Maintenance 1.001.001.001.00 Median Maintenance 6.007.007.007.00 Street Sweeping 3.003.003.003.00 Street Snow & Ice Control 2.002.002.002.00 Repair & Maintenance 11.0011.0011.0011.00 TOTAL 29.5031.5031.5031.50 Transportation Administration Transportation Administration 0.000.000.000.00 Division administration 2.802.802.802.80 Support Services 1.391.151.401.40 TOTAL 4.193.954.204.20 Airport Administration 1.001.001.001.00 TOTAL 1.001.001.001.00 TOTAL 62.9765.9968.2468.24 2008-09 APPROVED BUDGET UTILITIES DIVISION 2006200720082009 ACTUALAPPROVED APPROVEDPROPOSED FTE's BY PROGRAM UTILITIES DIVISION Administration Division Administration4.255.005.005.00 Billing Services 4.005.755.755.75 Support Services 1.771.521.771.77 TOTAL 10.0212.2712.5212.52 Planning & Project Management Planning & Project Management 11.4211.6611.6611.66 Flood Management 0.750.750.750.75 TOTAL 12.1712.4112.4112.41 Water Resources Water Resources Management 2.002.002.002.00 Watershed Operations 2.002.002.002.00 Hydroelectric Operations 3.003.003.003.00 TOTAL 7.007.007.007.00 Water Treatment Betasso Treatment Plant 14.5013.7513.7513.75 Boulder Reservoir Treatment Plant 8.509.259.259.25 System Controls 3.003.003.003.00 TOTAL 26.0026.0026.0026.00 Water Quality Environment Services Industrial Pretreatment 3.703.703.663.66 Water Conservation 1.701.701.661.66 Drinking Water Quality Services 6.906.906.836.83 Wastewater Quality Services 4.054.054.124.12 Stormwater Quality Services 5.405.405.485.48 TOTAL 21.7521.7521.7521.75 System Maintenance Distribution System Maintenance 14.9514.9514.9514.95 Collection System Maintenance 13.9513.9513.9513.95 Storm Sewer Maintenance 5.555.555.555.55 Flood Channel Maintenance 2.052.052.052.05 Meter Services 8.008.008.008.00 TOTAL 44.5044.5044.5044.50 Wastewater Treatment 75th Street Treatment Plant 23.0025.0025.0025.00 Cogeneration 1.001.001.001.00 Biosolids Operations 5.005.005.005.00 TOTAL 29.0031.0031.0031.00 TOTAL 150.44154.93155.18155.18 2008-09 APPROVED BUDGET PLANNING & DEVELOPMENT SERVICES 2006200720082009 ACTUALAPPROVED APPROVEDPROPOSED FTE's BY PROGRAM ADMINISTRATIVE SERVICES 10.4312.1810.9310.93 General Administration 3.003.005.005.00 Planning & Dev Svcs Center 2.252.252.252.25 Budget & Finance 15.6817.4318.1818.18 INFORMATION RESOURCES Information Resources Administration1.001.001.001.00 Landlink Administration 2.002.003.003.00 Records & Research 1.531.531.501.50 Geographic Information Systems 5.005.005.135.13 9.539.5310.6310.63 LONG RANGE PLANNING Long Range Planning Administration 4.004.004.004.00 Historic Preservation1.501.501.50 1.50 5.505.505.505.50 LAND USE REVIEW Land Use Review 1.002.001.001.00 Planner Review Services3.753.756.006.00 Zoning Administration4.004.004.254.25 8.759.7511.2511.25 ENGINEERING REVIEW Engineering Review1.001.001.001.00 Engineer Review Services8.288.158.008.00 Right-of-Way Inspection 3.003.003.003.00 12.2812.1512.0012.00 BUILDING CONSTRUCTION & CODE ENFORCEMENT Inspection & Enforcement Admin 1.251.251.251.25 Building & Housing Code 6.006.006.006.00 Zoning/Environmental Code 3.004.004.004.00 Buiilding Code Review 0.750.750.750.75 Building Code Plan Review Services2.003.003.003.00 13.0015.0015.0015.00 TOTAL64.7469.3672.5672.56 2008-09 APPROVED BUDGET FIRE 2006200720082009 ACTUALAPPROVED APPROVEDPROPOSED FTE's BY PROGRAM ADMINISTRATIVE SERVICES 5.005.005.005.00 General Communication/Contracted Services1.001.001.001.00 6.006.006.006.00 EMERGENCY SERVICES General 95.0095.0095.0095.00 Wildland Coordination 3.333.333.333.33 Training 2.002.002.002.00 100.33100.33100.33100.33 PREVENTION Prevention 5.005.005.005.00 5.005.005.005.00 TOTAL 111.33111.33111.33111.33 2008-09 APPROVED BUDGET POLICE 2006200720082009 ACTUALAPPROVED APPROVEDPROPOSED FTE's BY PROGRAM Administration5.005.256.006.00 Communications29.0029.0033.0033.00 Records & Information Systems21.7521.7521.5021.50 Financial & Facility Services10.5010.5010.7510.75 6.005.756.006.00 Personnel Services 1.501.501.501.50 Volunteer/Victim Services Detectives 37.0037.0037.0037.00 Special Services 6.001.001.001.00 Patrol Watch I 51.5055.5053.5053.50 38.0042.0043.0043.00 Patrol Watch II 38.0031.0031.0031.00 Patrol Watch III Traffic 19.0029.0029.0029.00 TOTAL263.25269.25273.25273.25