PowerPoint Presentation (Added 4/15/2024)*

Council Workshop 
FY24-25 Budget Discussion
April 16, 2024

Budget Calendar
2
Item
Date
Workshop #1 – Budget Overview / Revenues / Five-Year Financial Forecasts 
December 12, 2023
Workshop #2 – FY25-34 Capital Improvement Plan 
March 5, 2024
Workshop #3 – (All Day) FY25 Operating Budget Department Presentations
April 2, 2024
Workshop #4 – (All Day) FY25 Operating Budget Department Presentations
April 4, 2024
Workshop #5 – FY25 Budget Workshop
April 16, 2024
Voting Meeting – Tentative Budget Adoption
May 14, 2024
Voting Meeting – Final Budget Adoption / Property Tax Levy
June 11, 2024
Voting Meeting – Property Tax Adoption
June 25, 2024

Agenda
3
• Follow Up Items from Previous Budget Workshops
• Changes to Budget
• FY24-25 Operating Budget
• FY24-25 Capital Improvement Plan
• FY24-25 General Fund Transfers Budget
• FY24-25 Total Budget

4
Capital Improvement Plan Follow Up Items

CIP Follow Up Items
5
• Foothills Recreation & Aquatics Center Upgrades
– Flooring replacement in office and reception desk area and rental 
rooms
– Replaced skylight
– Resurfaced parking lot
– Replaced folding wall to divide rental rooms
– Replaced shade structures
– Replaced access control system
– Aquatics Upgrades/ Pool resurfacing
– Chlorine alarm system
– Replaced and added security cameras

CIP Follow Up Items
6
• Foothills Recreation & Aquatics Center Upgrades in 
Design/Permitting
– HVAC replacement 
– Shade parking (solar)
– Lighting upgrades to LED (interior and exterior)
– Painting of doors and trim

CIP Follow Up Items
7
• Scallop Streets Program – CIPST22065
– $7.8M FY25

Changes to CIP since March 5th Workshop
8
• Carryover Adjustments for Existing Projects
$69.2M
• CIPAP25005 Runway Overlay
($1.8M)
– Project Removed – Project is to be completed by ADOT
• CIPFC70800 – 10-Year Building Maintenance Reserve  
($18M) 
– $1.8M per year for 10-Year CIP Removed
– Ongoing Funding Added to Facilities Operating Budget 
• CIPST24056 – System of Care Improvements 
($322k)
– $322k moved from FY25 to FY24 (current year)

Changes to CIP since March 5th Workshop
9
• CIPST24068 – 67th Avenue, Beardsley to Pinnacle Peak
($3.4M)
– Three Projects Combined into One
– CIPST24019, CIPST24020 and CIPST24021 Removed  
• CIPST24026 Camelback Rd 99th to Loop 101 
($414k)
– Will be completed in the future as part of a freeway interchange project
• CIPST21052 83rd Ave Glendale to Northern
$2.6M
– DIF Funding Added to Project for Widening and Intersection Improvements
• CIPPK22097 and CIPPK22031 – Sierra Verde Park Improvements
– Combined into CIPPK22097

10
Operating Budget Follow Up Items

General Fund Personnel Services
11
Increases to General Fund Personal Services
Salaries
$18.7M
Benefits
$  2.6M 
Retirement
$  8.6M
Total
$29.9M

FY25 Budget – Personnel Services
12
Increases to Personnel Services
Salaries
$27.9M
Retirement
$  9.8M
Benefits
$  4.5M 
Total
$42.2M

Regulatory/Contractual Increases
13
Proposed Budget Increase $76,242,468
Non-Contractual 
$39,249,919
Regulatory/Contractual
$36,992,549 
Regulatory or 
Contractual
49%
Non-
Contractual
51%

Expanded Heat Relief Respite Center
14
Current Operating Costs:
• $108,500 per location
– $88,500 Operations
– $20,000 Facility/Utilities
• Transportation and Case 
Management paid 
separately
• Deeply discounted 
rental rate
• 6 day/week operation
Estimated City Cost for 3rd Center:
• $130,000 – $200,000
• $103,200 Operations
• $1/SF Cooling
• $14-40/SF Lease
• Operator has capacity
• City to secure location
• June opening
• 7 day/week operation

FY24-25 General Fund Transfers
15
General Fund Transfers In
General Fund Transfers Out
Public Safety Sales Tax – Police
$33,082,347 
Vehicle Replacement Fund
($4,299,131)
Public Safety Sales Tax – Fire
$17,282,648 
Airport Special Revenue Fund
($167,047)
CAP Grant
($64,299)
Public Housing
($1,135,224)
GRPSTC
($3,466,052)
Maintenance of Effort Transfers
($2,214,492)
General Fund Capital Projects
($93,660,924)
Debt Service – COPs
($19,469,411)
Debt Service – MPC/Excise Tax
($32,345,201)
Total Transfers In
$50,364,995 
Total – Transfers Out
($156,821,781)

Change to Operating Budget since April 4th
16
Council Requested Additions to Operating Budget
• Comp and Class/MOU Salary Adjustments
$1.5M
• Equipment Carryover
$1.2M
• Dolly Parton Imagination Library
$  10k
• Updated annual cost for HR Software
($  10k)
• Vehicle Allowances
$    8k

FY24-25 Budget Highlights
17
• Balanced Budget
– Conservative Forecasting Methodology
• No Property Tax Increases
– Property Tax Rate Decreases Annually due to Flat Levy Policy
– Rate has decreased from 2.1965 in FY16 to 1.5696 in FY25
• Budget Aligned with Council Priorities
– Park Maintenance
– Public Safety
– City Infrastructure (Streets, Water/Wastewater, Etc.)

FY24-25 Budget Highlights
18
• Employee Compensation in Line with other Cities
– Public Safety Increases in accordance with current 
Memorandums of Understanding (MOUs) for represented 
employees
– Recommended Increases in Employee Pay
• 3.5% Cost of Living Adjustment (COLA) for non-represented 
employees
• Up to 3.5% merit increases
– Implementation of Classification and Compensation Study

FY24-25 Operating Budget by Fund
19
General Fund
$321.2 M   48%
Enterprise Funds
$144.2 M   21%
Internal Service 
Funds
$116.9 M   17%
Special Revenue 
Funds
$77.7 M   12%
Vehicle Replacement Fund
$11.4 M  2%
Total FY24-25 Budget
$671.4M

FY24-25 General Fund 
Operating Budget by Function
20
Police Services
$135.1 M     42%
Fire Services
$71.3 M    22%
Other
$54.5 M    17%
Parks and Recreation
$20.5 M    6%
Public Works
$19.1 M   6%
Community Services
$11.0 M    4%
Non-Departmental
$9.7 M    3%
Total FY24-25 Budget
$321.2M

FY24-25 Capital Improvement Plan
21
Facility 
Maintenance
$131.2M
Streets
$114.5M
Public Parking
$72.2M
Public Safety
$71.7M
Parks
$60.9M
Water
$42.5M
Wastewater $26.3M
Drainage $13.1M
Library $10.5M
Landfill $6.7M
Transit $6.1M
Solid Waste $5.6M
Airport $4.3M
Arts $1.0M
Total FY24-25 CIP 
$566.7M

General Fund Five-Year Financial Forecast
22
FY25 Budget
FY26 Budget
FY27 Budget
FY28 Budget
FY29 Budget
Beginning Fund Balance (est)
267,790,055
251,055,319
235,134,288
205,522,363
171,982,726
Ongoing Operating Revenue
414,156,468
347,411,491
351,726,416
358,517,423
367,388,385
Operating Expenditures
(314,239,081)
(330,884,803)
(344,136,535)
(358,468,277)
(374,807,008)
One-time Expenditures
(5,195,337)
(2,500,000)
(2,500,000)
(2,500,000)
(2,500,000)
Net Transfers
(106,456,786)
(29,947,719)
(34,701,806)
(31,088,783)
(32,311,370)
Contingency
(5,000,000)
Total Surplus/(Deficit)
(16,734,736)
(15,921,030)
(29,611,926)
(33,539,637)
(42,229,993)
Ending Fund Balance
251,055,319
235,134,288
205,522,363
171,982,726
129,752,733
Assigned Fund Balance - CIP
16,021,001
10,969,744
6,366,848
6,622,060
5,500,000
Assigned Fund Balance - Pension Reserve
20,000,000
20,000,000
20,000,000
20,000,000
20,000,000
Total Assigned Fund Balance 
36,021,001 
30,969,744 
26,366,848 
26,622,060 
25,500,000 
Ending Unassigned Fund Balance
215,034,318
204,164,544
179,155,515
145,360,666
104,252,733
GF Fund Balance Policy 25% Ongoing Expenditures
78,559,770 
82,721,201 
86,034,134 
89,617,069 
93,701,752

FY24-25 Total Budget Appropriation
23
Operating
$671.4 M    45%
Capital
$566.7 M   38%
Contingency
$140.5 M   
10%
Debt
$106.2 M    
7%
FY24-25 Total Budget
$1.48B

24
Questions?

Budget Calendar
25
Item
Date
Workshop #1 – Budget Overview / Revenues / Five-Year Financial Forecasts 
December 12, 2023
Workshop #2 – FY25-34 Capital Improvement Plan 
March 5, 2024
Workshop #3 – (All Day) FY25 Operating Budget Department Presentations
April 2, 2024
Workshop #4 – (All Day) FY25 Operating Budget Department Presentations
April 4, 2024
Workshop #5 – FY25 Budget Workshop
April 16, 2024
Voting Meeting – Tentative Budget Adoption
May 14, 2024
Voting Meeting – Final Budget Adoption / Property Tax Levy
June 11, 2024
Voting Meeting – Property Tax Adoption
June 25, 2024