PowerPoint Presentation (added 04/21/23)

Council Workshop 
FY23-24 Budget Discussion
April 25, 2023

Budget Calendar
2
Item
Date
Workshop #1 – Budget Overview / Revenues / Five-Year Financial Forecasts 
February 14, 2023
Workshop #2 – FY24-33 Capital Improvement Plan
March 7, 2023
Workshop #3 – (All Day) FY24 Operating Budget Department Presentations
April 4, 2023
Workshop #4 – (All Day) FY24 Operating Budget Department Presentations
April 6, 2023
Workshop #5 – FY24 Final Budget Workshop
April 25, 2023
Voting Meeting – Tentative Budget Adoption
May 9, 2023
Voting Meeting – Final Budget Adoption / Property Tax Levy
June 13, 2023
Voting Meeting – Property Tax Adoption
June 27, 2023

Agenda
3
• Follow Up Items from April 6th Workshop
• Changes to Budget
• FY23-24 Operating Budget
• FY23-24 Capital Improvement Plan
• FY23-24 Transfers Budget
• FY23-24 Total Budget

Follow Up Items from April 6th Workshop
4
• Fifteen (15) Sole Source Contracts
• WestMarc increase to $20k
– Absorbed by non-departmental
• Org. Charts – Emailed to Council

Fund 2110 – Arts Fund
5
FY22 Actuals 
FY23 Estimated FY24 Budgeted FY25 Budgeted 
Beginning Fund Balance
$1,737,333
$1,901,295
$1,793,295
$2,033,264
Revenues (1% Arts Charge)
$482,019
$425,000
$1,243,338
$1,136,424
Operating Expenditures
($318,057)
($411,000)
($463,369)
($486,538)
CIP Expenditures
$0
($122,000)
($540,000)
($350,000)
Estimated Ending Fund Balance
$1,901,295
$1,793,295
$2,033,264
$2,333,150

FY23 Non-Departmental Memberships
6
League of Arizona Cities and Towns
$  93,925
Maricopa Association of Governments
$  48,000
National League of Cities
$  12,749
Alliance for Innovation
$  10,000
Westmarc
$  20,000

Change to Operating Budget since 
April 6th Workshop
7
Council Requested Additions to Operating Budget
• Ballistic equipment for sworn fire personnel
$428k
• Added Firefighters (2)
$246k
• Added Code Inspector (1)
$143k
• Feral cat program increase
$
5k

Change to Operating Budget since 
April 6th Workshop
8
Staff Recommended Additions to Operating Budget
• Carryover and adjustments for IT Projects
$7.3M
• Carryover adjustments for vehicles
$1.9M
• Reclassify Intergov. Programs Mgr. to Director
$  45k
• Moved Public Safety Health and Wellness 
Coordinator to General Fund (no budget increase)

Changes to Capital Improvement Plan 
since March 7th Workshop
9
• Carryover Adjustments for existing projects
$19.2M
• Added VAI Parking Garage Investment 
$16.0M 
(revenue offset)
• Moved Police Evidence Storage project from FY25 to FY24 
$14.7M
• Updated Arena Capital to reflect new ground lease
$10.0M
(revenue offset)
• Added FY24 DIF funding for Heroes Park Ballfields
$  4.0M
• Added FY24 funding for System of Care Tenant Improv.
$  3.0M
• Added FY24 funding for Design of Heroes Park Rec Center
$  2.0M
• Added FY24 funding for design of  Velma Teague Library
$  660k

FY23-24 Budget Highlights
10
• Balanced budget
• No Property Tax Increases
• Public Safety Increases in accordance with current 
Memorandums of Understanding (MOUs) for 
represented employees
• Focus on employee retention  
• 5% movement of all ranges (not a salary increase)
• Salary recommendation
• 6.5% cost of living adjustment for non-MOU employees
• Up to 2.5% performance pay

FY23-24 Operating Budget by Fund
11
General Fund
$282.7 M   48%
Enterprise Funds
$129.7 M   22%
Internal Service 
Funds
$106.8 M   18%
Special Revenue 
Funds
$67.8 M   11%
Vehicle Replacement Fund
$8.1 M  1%
Total FY23-24 Budget
$595.1M

FY23-24 General Fund 
Operating Budget by Function
12
Police Services
$116.2 M     41%
Fire Services
$63.6 M    22%
Other
$49.8 M    18%
Parks and Recreation
$17.8 M    6%
Public Works
$15.9 M   6%
Community Services
$10.1 M    4%
Non-Departmental
$9.3 M    3%
Total FY23-24 Budget
$282.7M

FY23-24 Capital Improvement Plan
13
Facility 
Maintenance
$93.7M
Streets
$78.0M
Parks
$54.8M
Public Safety
$50.5M
Water
$46.1M
Wastewater
$30.8M
Parking Lots
$16.6M
Landfill
$15.2M
Drainage
$13.7M
Airport
$9.9M
Transit
$4.6M
Library
$4.2M
Solid Waste
$4.2M
Arts
$1.2M
Total FY23-24 CIP 
$423.5M

FY23-24 Total Budget Appropriation
14
Operating
$595.1 M    47%
Capital
$423.5 
34%
Contingency
$137.8 M   11%
Debt
$97.6 M    8%
FY23-24 Total Budget
$1.25B

Summary of Personnel Changes
15
Fund
# of Positions
General Fund
46
Enterprise Funds
4
Internal Service Funds
6
Special Revenue Funds
11.5
Total 
67.5

General Fund Five-Year Financial Forecast
16
FY24 Budget
FY25 Budget
FY26 Budget
FY27 Budget
FY28 Budget
Beginning Fund Balance (est)
211,629,860
223,954,305 
243,305,848 
225,624,655 
198,646,646 
Ongoing Operating Revenue
310,240,154 
318,335,588 
336,173,323 
347,508,906 
364,907,753 
One-time Operating Revenue
50,810,443 
59,612,119 
10,099,984 
3,551,437 
1,682,259 
Operating Expenditures
(194,617,842)
(266,166,696)
(316,244,118)
(333,096,532)
(348,252,233)
One-time Expenditures
(88,068,737)
(49,793,564)
(12,737,712)
(9,394,184)
(8,327,660)
Net Transfers
(61,039,572)
(37,635,904)
(29,972,670)
(30,547,635)
(30,129,369)
Contingency
(5,000,000)
(5,000,000)
(5,000,000)
(5,000,000)
(5,000,000)
Total Surplus/(Deficit)
12,324,445 
19,351,542 
(17,681,192)
(26,978,009)
(25,119,250)
Ending Fund Balance
223,954,305 
243,305,848 
225,624,655 
198,646,646 
173,527,396 
Assigned Fund Balance
75,912,245 
83,848,677 
111,908,404 
81,097,532 
81,489,283 
Ending Unassigned Fund Balance
148,042,060 
159,457,171 
113,716,251 
117,549,114 
92,038,113 
GF Fund Balance Policy
50,000,000 
50,000,000 
50,000,000 
50,000,000 
50,000,000 
Available GF Fund Balance
98,042,060 
109,457,171 
63,716,251 
67,549,114 
42,038,113

FY23-24 General Fund Transfers
17
General Fund Transfers In
General Fund Transfers Out
Public Safety Sales Tax – Police
$31,814,519 
Vehicle Replacement Fund
($4,307,687)
Public Safety Sales Tax – Fire
$15,398,671 
Airport Special Revenue Fund
($167,047)
CAP Grant
($64,299)
Public Housing
($1,003,771)
GRPSTC
($3,423,830)
Maintenance of Effort Transfers
($2,179,218)
General Fund Capital Projects
($45,980,831)
Debt Service – COPs
($18,775,807)
Debt Service – MPC/Excise Tax
($32,350,272)
Total Transfers In
$47,213,190 
Total – Transfers Out
($108,252,762)

18
Questions?

Budget Calendar
19
Item
Date
Workshop #1 – Budget Overview / Revenues / Five-Year Financial Forecasts 
February 14, 2023
Workshop #2 – FY24-33 Capital Improvement Plan
March 7, 2023
Workshop #3 – (All Day) FY24 Operating Budget Department Presentations
April 4, 2023
Workshop #4 – (All Day) FY24 Operating Budget Department Presentations
April 6, 2023
Workshop #5 – FY24 Final Budget Workshop
April 18, 2023
Voting Meeting – Tentative Budget Adoption
May 9, 2023
Voting Meeting – Final Budget Adoption / Property Tax Levy
June 13, 2023
Voting Meeting – Property Tax Adoption
June 27, 2023