June 11, 2019 City Commission Meeting

Financial Matters 💰

The City Council held special budget hearings for the 2020 fiscal year, focusing on the General Fund, Shawnee Municipal Authority (SMA) Fund, and various Capital Funds.

General Fund

• Total Revenue & Expenditures: Estimated at approximately $22 million.
• Growth Rate: Estimated at 0.75%, a quarter percent higher than the current year's estimate, based on recent collection trends.
• Expenditures: Based on departmental meetings and historical data. Police patrol and fire suppression comprise about 50% of the budget.
• Personnel Costs: Reduced to 78% of the budget, down from 96%, placing the fund on a more sustainable path.
• Technology Improvements: Funding allocated to upgrade the city's financial systems (benefiting utility billing, planning, court, etc.) and implement a citywide document scanning system to reduce storage costs and improve research.
• Training: Over $150,000 allocated for employee training budgets.
• FTEs: Total budgeted Full-Time Equivalents (FTEs) for the General Fund is 218, a decrease from last year's 240-250 range. Police and fire remain the largest departments by FTE.

Shawnee Municipal Authority (SMA) Fund

• Total Revenue & Expenditures: Approximately $21 million, nearly matching the General Fund.
• Revenue: Based on historical data and current borrowings (e.g., OWRB AMI loan).
• Expenditures: Based on historical data and departmental forecasts. Water distribution and utility administration make up about 50% of the budget, with utility admin being larger due to engineering services for plant redesign.
• FTEs: Total budgeted FTEs is 47.5, primarily spread across utility billing, water production, and sewer treatment plants.
• Key Initiatives:
  • Implementation of a paperless work order system to benefit multiple departments.
  • Inclusion of DEQ Route Orion software to improve efficiency and reduce human error in manual processes.
  • Funding for AMI (Advanced Metering Infrastructure).
  • Maintenance of city assets, including digester and lagoon cleaning and provisions for water main breaks and pipe busting.

Capital Funds

The city operates three capital funds (301, 302, 303) funded by sales taxes.

Capital Fund 301 (1% Sales Tax)

• Revenue & Expenditures: Estimated at $2.7 million, based on a 0.75% sales tax increase.
• Key Projects:
  • Replacement of playground equipment in city parks.
  • Support for city IT needs, including new servers.
  • Funding for the construction of a building to protect and repair city vehicles for the Street Department.
  • Capital needs for the Library, Senior Center, Community Center, and Municipal Auditorium (e.g., AC units, telephones, lighting).
  • Funding for Fire Department turnout gear replacement.

Capital Fund 302 (Street Fund - 1% Sales Tax)

• Revenue: Estimated at $2.7 million.
• Expenditures: Approximately $2.5 million.
• Key Projects:
  • Completion of the Avitus sidewalk trail project.
  • Funding for improvements to smooth traffic flow, including traffic light synchronization software.
  • Beginning of the Broadway Street marquee project construction and engineering.

Capital Fund 303 (0.5% Sales Tax - Passed 2018)

• Revenue: Projected at $3.1 million from sales taxes.
• Expenditures: Projected at $10.8 million, utilizing a fund balance due to December 2018 financing.
• Key Projects:
  • Kickapoo Street project: Land acquisition and expansion/improvement from Kickapoo Spur to Farrell Street.
  • Continuation of the police station acquisition/renovation at 912 East Independence.
  • Purchase of police cruisers.
  • Upgrades to the emergency warning system, including additional outdoor warning devices to cover city gaps and updating the SCADA system for remote control and activation. Research is underway for a mass notification system that allows voluntary cell phone registration.
  • Funding for new roofs on several city facilities.

Public Comments

• A public hearing was opened for citizens to speak in favor of or in opposition to the proposed budget.
• Outcome: No citizens spoke in favor or opposition to the budget proposal. The public hearing was closed.

Agenda Summary Table