HomeMy WebLinkAbout233-09 RESOLUTIONRESOLUTION NO. 233-09
A RESOLUTION ADOPTING THE 2010 ANNUAL BUDGET AND WORK
PROGRAM
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
FAYETTEVILLE, ARKANSAS•
Section 1. The City Council of the City of Fayetteville, Arkansas hereby adopts the 2010
Annual Budget & Work Program A copy of the Budget, marked Exhibit "A" is attached hereto
and made a part hereof.
PASSED and APPROVED this 17th day of November, 2009.
APPROVED:
B
ATTEST:
N LD JO' W`r ayor SON RA R SMITH, City Clerk/Treasurer
(j• • U�
FAYETTEVILLE 5.
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Kevin Springer
Submitted By
City of Fayetteville Staff Review Form
City Council Agenda Items
and
Contracts, Leases or Agreements
11/3/2009
City Council Meeting Date
Agenda Items Only
Budget & Research
Division
Action Required:
Finance & Internal Services
Department
Approve a resolution adopting the Proposed 2010 Annual Budget & Work Program.
N/A
Cost of this request
Account Number
• Project Number
Budgeted Item
$
Category / Project Budget
Program Category / Project Name
Funds Used to Date Program / Project Category Name
Remaining Balance Fund Name
Budget Adjustment Attached
Department Director
Ci yney
+Qi
Finance and Internal Services Director
10- 14• %oat Previous Ordinance or Resolution p
Date
Original Contract Date:
/o"/ni^D 7 Original Contract Number:
Date
%C- Ate,
Date
Chi:f of St
or
Received in City
Clerk's Office
Received in
Mayor's Office
Comments:
Revised January 15, 2009
'rabid -A t i/lq/o9 o Il/30 �y.
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ARKANSAS
DEPARTMENTAL CORRESPONDENCE
TO: Mayor Jordan and Ci ly Council
IIIRU: Don Marr, Chief of StaIT
FROM: Paul A. Becker, Finance Director
Kevin Springer, Budget Director
DATE: October 16, 2009
SUBJECT: Proposed 2010 Annual Budget & Work Program
Recommendation:
Consider the Proposed 2010 Annual Budget & Work Program for adoption by the November 3, 2009
City Council meeting.
Discussion:
The Proposed 2010 Annual Budget & Work Program will be distributed to City Council on Tuesday,
October 27, 2009. Listed below is a schedule of hearing dates for the Proposed 2010 Annual Budges
& Work Program.
Date
Budget Meeting/Location
Tuesday, October 27, 2009
Distribution of the Proposed 2010 Budget
Saturday, October 31, 2009
Budget Discussion Meeting, Room 326
Tuesday, November 3, 2009
City Council Meeting, Room 219
Additional meetings to be scheduled if needed.
If you have any questions concerning the Proposed 2010 Annual Budget & Work Program, please
feel free to contact either Paul A. Becker at 575-8330 or Kevin Springer at 575-8226. Thank you for
your attention to this matter.
•
•
RESOLUTION NO.
A RESOLUTION ADOPTING THE 2010 ANNUAL BUDGET
AND WORK PROGRAM
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
FAYETTEVILLE, ARKANSAS:
Section 1. The City Council of the City of Fayetteville, Arkansas hereby
adopts the 2010 Annual Budget & Work Program. A copy of the Budget, marked
Exhibit "A" is attached hereto and made a part hereof.
PASSED and APPROVED this 3rd day of November, 2009.
APPROVED: ATTEST:
By: By:
LIONELD JORDAN, Mayor SONDRA E. SMITH, City Clerk/Treasurer
Adopted Annual Budget
& Work Program
City of Fayetteville, Arkansas
2010 Annual Budget
and
Work Program
City Council and Other Elected Officials
Adella Gray, Ward 1 - Position 1
Brenda Thiel, Ward 1 - Position 2
Kyle Cook, Ward 2 - Position 1
Matthew Petty, Ward 2 - Position 2
Robert Rhoads, Ward 3 - Position 1
Bobby Ferrell, Ward 3 - Position 2
Shirley Lucas, Ward 4 - Position 1
Sarah Lewis, Ward 4 - Position 2
Kit Williams, City Attorney
Sondra Smith, City Clerk/Treasurer
Rudy Moore, District Judge
Submitted by
Lioneld Jordan, Mayor
Don Marr, Chief of Staff
Paul A. Becker, Finance Director
Greg Tabor, Acting Police Chief
Kyle Curry, Interim Fire Chief
Prepared by
Kevin Springer, Budget Director
Barbara Fell, Senior Research Analyst
Liz Hutchens, Financial Analyst
Weltrvik
ARKANSAS
MISSION STATEMENT
The City of Fayetteville's mission statement is a direct result of a
volunteer team of employees charged with creating a mission statement
that expressed the service core of City operations, reflected our beliefs
concerning City services, and was easy to remember. All City
employees were given an opportunity to provide input for the mission
statement. The mission statement was then adopted by the City Council
and is as follows:
•
To protect and improve our quality of life by listening to
and serving the people with pride and fairness.
City of Fayetteville, Arkansas
Table of Contents
Budget Message:
Transmittal Memo from the Mayor to Council 1-11
2010 Budget Executive Summary 111-X1
Budget Resolution XII
Budget Process and Policies:
Budget Process 1-2
Budget Flowchart 3
Financial Policies:
Revenue Policy 4
Expenditure Policy 4-5
Debt Policy 5
Reserve Policy 5
Investment and Cash Management Policy 5-6
Capital Improvement Policy 6
Financial Reporting Policy 6
Administrative Procedures to Adjust the Approved Budget 7-8
Budget Organizational Structure 9
Consolidated Fund - Department - Program Structure 10
Budget Summary:
Chart of Fund Types - Governmental 11
Chart of Fund Types - Proprietary & Fiduciary 12
Sources and Uses of Funds 13
Multi -Year Comparison - Adopted Budget Expenditures 14
General Fund:
Fund Description 15-20
Fund Summary 21
Activity Expenditure Summary 22-32
Special Revenue Funds:
Street Fund:
Fund Description 33-34
Fund Summary 35
Activity Expenditure Summary 36-37
Off Street Parking Fund:
Fund Description 39
Fund Summary 40
Activity Expenditure Summary 41
Community Development Block Grant Fund:
Fund Description 43
Fund Summary 44
Activity Expenditure Summary 45
City of Fayetteville, Arkansas
Table of Contents (continued)
EDI Attainable Housing Grant Fund:
Fund Description 47
Fund Summary 48
Activity Expenditure Summary 49
Energy Block Grant Fund:
Fund Description 51
Fund Summary 52
Activity Expenditure Summary 53
Parks Development Fund:
Fund Description 55
Fund Summary 56
Activity Expenditure Summary 57
Impact Fee Fund:
Fund Description 59
Fund Summary 60
Activity Expenditure Summary 61
Drug Law Enforcement Fund:
Fund Description 63
Fund Summary 64
Activity Expenditure Summary 65
Debt Service Funds:
Fire Bond Fund:
Fund Description 67
Fund Summary 68
Activity Expenditure Summary 69
TIF Bond Fund:
Fund Description 71
Fund Summary 72
Activity Expenditure Summary 73
Wastewater Improvements Sales Tax Bond Fund:
Fund Description 75
Fund Summary 76
Activity Expenditure Summary 77
Capital Projects Funds:
Replacement & Disaster Recovery Fund:
Fund Description 79
Fund Summary 80
Activity Expenditure Summary 81
Sales Tax Capital Improvements Fund:
Fund Description 83
Fund Summary 84
Activity Expenditure Summary 85
Capital Budget 86-87
City of Fayetteville, Arkansas
Table of Contents (continued)
Wastewater System Improvements Project Fund:
Fund Description 89
Fund Summary 90
Activity Expenditure Summary 91
TIF Capital Improvements Fund:
Fund Description 93
Fund Summary 94
Activity Expenditure Summary 95
Sales Tax Construction Bond Fund:
Fund Description 97
Fund Summary 98
Activity Expenditure Summary 99
Enterprise Funds:
Water & Sewer Fund:
Fund Description 101-103
Operating Budget 104
Projected Operating Performance 105
Activity Expenditure Summary 106-110
Solid Waste Fund:
Fund Description 111-112
Operating Budget 113
Projected Operating Performance 114
Activity Expenditure Summary 115-116
Airport Fund:
Fund Description 117-118
Operating Budget 119
Projected Operating Performance 120
Activity Expenditure Summary 121
Town Center and Parking Facility Fund:
Fund Description 123
Operating Budget 124
Projected Operating Performance 125
Activity Expenditure Summary 126
Trust Funds:
Police Pension Fund:
Fund Description 127
Operating Budget 128
Activity Expenditure Summary 129
Fire Pension Fund:
Fund Description 131
Operating Budget 132
Activity Expenditure Summary 133
City of Fayetteville, Arkansas
Table of Contents (continued)
Internal Service Funds:
Shop Fund:
Fund Description 135
Operating Budget 136
Projected Operating Performance 137
Activity Expenditure Summary 138
Personnel Summary:
Personnel Summary Full Time Equivalent Basis 139
Personnel Summary by Activity 140-152
Personnel Summary Personnel Variation Summary 153
Capital and Debt:
Capital Improvements Program Introduction 155-157
Capital Improvements Program Directional Information 158-160
2010 Capital Projects Summary 161
2010 Capital Projects Comprehensive Detail 162-164
2010 Capital Budget 165-177
Debt Position 178
Description of Outstanding Bonds 179-180
Schedule of Bonds Outstanding 181
Debt Service Payment Schedule 182
Legal Debt Margin Computation 183
Debt to Maturity Schedule 184
Appendix:
List of Elected Officials, Administrative Officials, & Management Staff 185
Acronyms 186-187
Glossary 188-193
Index 194-196
•
'�avellevi�le
ARKANSAS
www.accessfayettevIlle.org
November 17, 2009
Members of City Council and
Citizens of Fayetteville
THE CITY OF FAYETTEVILLE, ARKANSAS
I am pleased to submit my Adopted Budget for 2010 for the City of Fayetteville. This budget
has been prepared in accordance with the Arkansas Statutes and City Ordinances that require the
Mayor, under the aldermanic form of government, to submit to the City Council the annual
budget for approval. This budget allocates necessary funding for all municipal operations as
well as necessary adjustments to the Capital Improvements Program for 2010.
This Administration will continue to address issues that were identified at the Fayetteville
Forward Summit as prioritized by the City Council. The budget was formulated in view of my
primary budget goals and in the context of current economic conditions.
2010 Budgetary Goals
My primary budgetary goals for 2010 are as follows:
• To provide the same level of services to the public if possible
• To retain the work force at the current level for necessary personnel but to
evaluate the necessity of refilling open positions
• To avoid increases in taxes to the citizen (if possible) by keeping the millage rate
the same as 2009
• To continue to provide services to the citizen in the most efficient and effective
manner possible
• To fund needed Capital Improvements to the extent possible
• To scrutinize all City Fund Types for possible reductions
Telecommunications Device for the Deaf TDD (479) 521-1316
113 West Mountain - Fayetteville, AR 72701
THE CITY OF FAYETTEVILLE, ARKANSAS
Financial Environment
The 2009 fiscal year is a challenging year for the City of Fayetteville. Sales taxes for operations
and capital have declined by approximately 6% when compared to the 2009 Adopted Budget.
This is expected to continue throughout the remainder of the fiscal year. If this trend continues, a
loss of $1.2 million will be experienced in the General Fund. Building permits will be down
about $750,000 for the year In total, revenues could be down as much as $2.4 million in the
general fund alone. Although economic conditions are expected to improve slightly in 2010, this
budget is based on a revenue base which is $2.4 million less than what was anticipated in 2009
for the General Fund. Therefore, a plan was developed to reduce target expenditures, freeze
wages, forego the replacement of certain open positions, and extend the replacement plan for
General Fund vehicles. Even after incorporating these measures of approximately $1.5 million in
reductions, it is necessary to request the use of$I,189 million in reserves.
Conclusion
This budget is both conservative and workable. I believe that it provides for the best possible
level of services while providing for possible unstable economic conditions. However, if the
economy continues to decline in 2010, I am prepared to do what is necessary to address that
situation.
The City has accomplished a great deal in the last few years and 1 am confident that with your
support we can continue to provide an excellent level of services to our citizens. Through the
combined efforts of this Administration and City Council, I am sure we will continue to meet the
challenges facing this City and provide our citizens with the services and amenities they want
and deserve.
o61- e4I s2tc.tc_._..
Lioneld Jordan, ay
Telecommunications Device for the Deaf TDD (479)521-1316 11 113 West Mountain - Fayetteville, AR 72701
tvfle
THE CITY OF FAYETTEVILLE, ARKANSAS
ARKANSAS
www.accessf ayettevi I le.o rg
November 17, 2009
Mayor Lionel Jordan, Members of the City Council and
Citizens of Fayetteville:
The budget being presented is a 2010 operating budget. It does not include rebudgets that
represent programs approved and appropriated in prior years which as of the end of fiscal 2009
remain uncompleted. Rebudgets also include amounts generated by previous bond issues in the
Capital Project Funds which remain unspent as of December 31, 2009 and are likely to be in
excess of $45,000,000. These re -budgets will be presented for addition to the 2010 operating
budget early in the first quarter of 2010.
In 2009, City Sales Taxes declined in real terms as compared to 2008. In addition to this
decline, building permit fees are far under budget expectations. In total, revenues for the
General Fund are expected to be between $2.2 million and $2.4 million under budget. Other
funds have also seen declines in revenue due to reductions in service demand. This included the
Sold Waste Fund and the Airport Fund. Unusually wet conditions as well as economic
conditions have also resulted in lower than expected revenue collections in the Water & Sewer
Fund. It is apparent that economic conditions in Northwest Arkansas reflect the national
recession. However, the economy in Fayetteville has not been affected as dramatically as in
some sections of the country.
This budget represents reductions in operating expenditures from the prior year. Wages have
been frozen and certain authorized positions have been frozen (not funded) in 2010. The
General Fund replacement charges for vehicles has been suspended for fiscal 2010 and the time
table for replacement of vehicles will be pushed back a year. All these measures have been
taken to address a reduction of $2.4 million in revenue for fiscal 2010. Although administration
is cautiously optimistic that conditions will improve in 2010, this budget reflects a revenue
stream which will continue to be essentially flat compared to 2009. All other funds have been
prepared within that frame work.
Telecommunications Device for the Deaf TDD (479) 521-1316
111
113 West Mountain - Fayetteville. AR 72701
THE CITY OF FAYETTEVILLE, ARKANSAS
2010 ADOPTED BUDGET EXECUTIVE SUMMARY
The 2010 Adopted Budget includes approximately $120.4 million in expenditures. This budget
is formulated with the Enterprise Funds being budgeted on an accrual basis except for
depreciation, which is not included in the budget, and both capital expenditures and bond
principal payments which are included in the expenditure budgets.
Category
Personnel
Materials and Supplies
Services & Charges
Maintenance
Internal Charges
Purchased Water
Fuel
WWTP Operations
Total Operating Expenses
Transfers Out
Debt Service
Capital
Total Expenses
Summary of Fund Expenditures (In Dollars)
Adopted
2009
$ 43,304,852
4,469,679
15,771,940
3,808,538
3,942,983
6,500,000
4,026,028
9,348,228
Adopted
2010
$ 42,903,826
4,481,432
15,899,465
3,482,218
3,337,307
6,500,000
2,964,677
8,489,578
Change In
Dollars
$ (401,026)
11,753
127,525
(326,320)
(605,676)
0
(1,061,351)
(858,650)
91,172,248
88,058,503
(3,113,745)
1,452,900
17,560,230
9,276,550
1,034,000
19,563,062
1 1,81 1,700
(418,900)
2,002,832
2,535,150
$ 119,461,928
$ 120,467,265
$ 1,005,337
The 2010 adopted budget is in excess of $120.4 million. This is an increase due to capital and
debt service costs of $1,005,337 when compared to the Adopted 2009 Annual Budget & Work
Program, or a 0.84% increase. However, the operating budget is over $3 million less than 2009
or a 3.4% decrease.
Telecommunications Device for the Deaf TDD (479) 521-1316
IV
113 West Mountain - Fayetteville, AR 72701
THE CITY OF FAYETTEVILLE, ARKANSAS
Summary of Fund Expenditures (% of Total Budget)
Category
Personnel
Materials and Supplies
Services & Charges
Maintenance
Internal Charges
Purchased Water
Fuel
WWTP Operations
Total Operating Expenses
Transfers Out
Debt Service
Capital
Total Expenses
Adopted
2009
36.2%
3.7%
13.2%
3.2%
3.3
5.4%
3.4°/n
7.8%
Adopted
2010
35.6%
3.7%
13.2%
2.9%
2.8%
5.4%
2.5%
7.0%
% Change
-0.9%
0.3%
0.8%
-8.6%
-15.4%
0.0%
-26.4%
-9.2%
76.2%
73.1%
-3.4%
1.2%
14.7%
7.9%
0.9%
16.2%
9.8%
-28.8%
11.4%
27.3%
100.0%
100.0%
0.8%
Fund Totals as Percent of Total Budget
Funding Source
General
Street
Off Street Parking
Community Development 13Iock Grant
Parks Development
Impact Fee
Drug Law Enforcement
Fire Bond
TIF Bond
Wastewater Improvements Sales Tax Bond
Replacement & Disaster Recovery'
Sales Tax Capital Improvements
Wastewater System Improvements Project
Sales Tax Construction Bond
Water & Sewer
Solid Waste
Airport
Town Center
Police Pension
Fire Pension
Shop
Total - All Funds
Adopted 2009
Budget
% Total
$ 35,801.900
5,360,286
347,300
635,930
2,854,700
1,576,000
444,464
804.000
3,500
14,235.533
60.400
6,952.000
3.000
3.500
29.668.929
9,239,250
773,704
699,935
1.761,757
1.542.283
6.693557
Adopted 2010
13 udget
% Total
30.0% $
4.5%
0.3%
0.5%
2.4%
1.3%
0.4%
0.7%
0.0%
11.9%
0.I%
5.8%
0.0%
0.0%
24.8%
7.7%
0.7%
0.6%
1.5%
1.3%
5.6%
119,461,928
34.426.600
4,271,000
304,300
649,821
2.417.700
2.820,000
462,200
802,400
5,800
16.001.900
45,000
6,738,700
6,000
31,269,400
10,098,900
805,500
693,544
1,689,800
1,477,500
5,481,200
28.6%
3.6%
0.3%
0.5%
2.0%
2 3%
0.4%
0.7%
0.0%
13.3%
0.0%
5.6%
0.0%
0.0%
26.0%
8.4%
0.7%
0.6%
1.4%
1.2%
4.6%
100.0% 120,467,265 100.0%
Telecommunications Device for the Deaf TDD (479) 521-1316
V 113 West Mountain - Fayetteville, AR 72701
THE CITY OF FAYETTEVILLE, ARKANSAS
All City funds are budgeted to comply with the City's policy of maintaining a minimum of 10%
of budgeted operating expenditures in unrestricted fund balance or cash and investments with the
exception of General Fund, which must maintain a minimum reserve or sixty (60) days of annual
regular general fund operating expenditures.
Overview of City's Major Funds:
General Fund is the major operating fund of the City and is comprised of activities not
accounted for specifically in other funds.
The traditional functions of government are included in the General Fund which comprises the
following: general government services, fire, police, finance, internal services, parking, animal
services, telecommunications, parks and recreation, cable, library funding, engineering,
planning, and building safety.
General Fund Revenue:
The General Fund revenue budget was based on the following assumptions:
• Revenue for the City Sales Tax is projected to increase at a rate of 2% over 2009
estimates.
• Revenue for the County Sales Tax is projected to increase at a rate of 2% over 2009
estimates.
• Revenue for Franchise Fees is projected to be flat.
• Revenue for Property Taxes is projected to increase at a rate of 5.3% based on assessed
valuation.
• Other revenues are generally expected to decrease by 1.2% compared on the 2009
budget.
• Maintaining the revenue split for City Sales Tax to 60% operations and 40% capital.
Based on these revenue assumptions, the major revenue sources for the General Fund in 2010 are
projected to be as follows:
City's Share of County Sales Tax $10.7 million
City Sales Tax 9.6 million
Franchise Fees 4.7 million
Intergovernmental Income 2.2 million
Fines & Forfeitures 1.6 million
Charges for Services 1.2 million
Property Tax Millage 1.5 million
Licenses & Permits 0.6 million
Other 1.2 million
Total $33.3 million
Telecommunications Device for the Deaf TOO (479) 521-1316
VI
113 West Mountain - Fayetteville, AR 72701
THE CITY OF FAYETTEVILLE, ARKANSAS
General Fund Expenditures:
Payroll expenditures are based on 98% of full employment. Therefore, a 2% vacancy
allowance has been factored into the General Fund budget.
The significant increases/(decreases) in General Fund for 2010 are as follows:
Increases:
Salaries/Wages and Pension (Prior to 7/1/2009)
Health Insurance
Unemployment Compensation
Software Maintenance
Elections Costs
Bad Debt Expense
Reductions:
Vehicle Replacement Charges
Frozen Authorized Positions
Salary Contingency
Authorized Position Eliminations
Fuel
Contracted Services
Planning Commissioners Salaries
Lease Expense (GMC Building)
Public Notification
Pension Administration Fee
Uniform/Equipment
Radio Maintenance
Travel & Training
General Motor Pool Charges
Increase Cost Allocations
Reduction to Outside Agencies
Miscellaneous Line Items
Net Increases/(Reductions)
Telecommunications Device for the Deaf TDD (479) 521-1316
VII
$ 314,266
90,737
50,000
37,336
15,000
10,000
517,339
504,352
391,914
317,600
114,500
96,589
68,768
43,596
43,408
35,115
34,745
16,795
14,598
11,717
5,882
70,000
8,050
113,010
1,890,639
$ (1,373,300)
113 West Mountain - Fayetteville, AR 72701
THE CITY OF FAYETTEVILLE, ARKANSAS
As the City's main operating fund, the General Fund will continue to face increased funding
demands. There are numerous unfunded needs for 2010 that could not be addressed at this time.
Major policy issues to be considered for General Fund for 2011 include:
• The need to fund employee wage increases sometime in the future.
• Continue to explore funding methods for the Fayetteville Public Library to establish a
permanent funding plan.
• Consider raising the User Fee/Cost Reimbursement rates based on a cost analysis.
• The need to increase the City's overall revenue stream.
The Street Fund is primarily financed by turnback revenues received from the State of Arkansas
and turnback monies received from the County Road Millage Tax. These monies are utilized to
maintain and repair City streets, rights-of-way, drainage, traffic control and maintenance, and
City owned sidewalks.
Revenues for Street Fund are primarily motor fuel taxes collected by the State (state turnback)
and returned to the City on a per capita basis. The long term trend for state turnback is flat. A
total of $3.1 million is projected for 2010. The City also receives 80% of the road millage levied
by the Quorum Court on real and personal property located within the City. This should
generate in excess of $1 million. The Street Fund budget is balanced for 2010 with revenues
equaling expenditures.
The Parks Development Fund accounts for the revenue and expenditures of the Parks HMR tax
approved by the voters in 1995. The $2.4 million in planned expenditures for 2010 includes
$799,900 in capital improvements. The fund is budgeted to break even for 2010. All projected
revenues amounts are budgeted for this fund.
The Impact Fee Fund accounts for the revenues and expenditures related to the collection of
water, wastewater, police, and fire impact fees. All projected revenues are budgeted for this
fund. In addition, $1,015,000 of previously collected waste water fees will be used to fund the
2010 capital program.
The Sales Tax Capital Improvements Fund accounts for the revenue and expenditures of the
City's sales and use taxes which are used for acquisition and improvement projects as well as
equipment additions and replacements that are included in the City's five-year capital improvements
program as adjusted. The 2010 planned expenditures include $5,931,000 in capital improvements.
Telecommunications Device for the Deaf TDD (479)521-1315
VIII
113 West Mountain - Fayetteville. AR 727W
THE CITY OF FAYETTEVILLE, ARKANSAS
The Water & Sewer Fund accounts for the revenue sources as well as the operation and
maintenance expenses of the City's water and sewer system. This includes water purchases from
Beaver Water District, all water and sewer functions, the operation of the wastewater treatment
plants, meter and backflow operations, and billing and collections.
For 2009, the Water & Sewer Fund is projected to have operating income of $2,055,814 before
depreciation expense and capital expenditures. The wastewater treatment plant operations are
budgeted at $8.5 million, which represents approximately 27% of the total operating expenses.
The water purchases budgeted for 2010 represent the second largest expenditure for operations
in the fund at $6.5 million. This represents approximately 20.8% of total operating expenditures.
The impact of the new Westside plant which opened in mid 2008 has dramatically increased the
wastewater treatment costs. A total of $1,787,670 in capital expenditures will be funded through
the use of fund balance.
The Solid Waste Fund is responsible for the operation of the City's solid waste collection and
disposal, recycling program, and composting program. Revenues for the fund are obtained from
fees levied for trash collection, recycling revenue, and container sales or leases. For 2010, the
Solid Waste Fund is projected to have an operating deficit of $441,900 before capital
expenditures and depreciation.
The Airport Fund provides for the operation and maintenance of the City's municipal airport.
The Airport Fund's revenue is generated from rents and leases. For 2010, the Airport Fund is
projected to have an operating deficit of $51,200 before depreciation.
The Shop Fund is an internal service fund that provides for all the acquisition and maintenance
of equipment and vehicles utilized by the City's operating divisions. The Shop Fund's source of
revenue is from charges to other City operating funds based on equipment and vehicle usage.
The Shop Fund will have a projected $878,800 surplus for 2010 after capital expenditures of
$937,000. This surplus is necessary to fund future vehicle and equipment replacements pursuant
to approved time tables.
Capital Improvements - 2010
This budget contains a total of $16,209,450 for capital projects in 2010. A detail listing of all of
the projects planned for 2010 are included under the Capital and Debt section.
Debt Issues — 2009
Two new bond programs were initiated in 2009. A revenue bond in the amount of $8,210,000
was issued for water and sewer Improvements. In October of 2009, $11,250,000 of dedicated
Sales and Use Tax Bonds were issued for road and trail projects. These amounts are not
included in this budget document but will be re -appropriated in 2010. A detail listing of all
bonds issued and the debt service schedule are included under the tab titled Capital and Debt.
No mandatory redemptions are anticipated in the debt service budgets at this time.
Telecommunications Device for the Deaf TDD (479) 521-1316
IX
113 West Mountain - Fayetteville, AR 72701