CITY COUNCIL BUDGET WORKSHOP

FEBRUARY 13, 2003, 10:05 A.M.

CITY COUNCIL OF THE CITY OF ABILENE, TEXAS

CITY COUNCIL CHAMBERS OF CITY HALL

The City Council of the City of Abilene, Texas, met in Budget Workshop at 10:05 a.m., immediately following the Regular City Council meeting on February 13, 2003 in the City Council Chambers of City Hall. Mayor Grady Barr was present and presiding with Councilmen Norm Archibald, Kris Southward, Anthony Williams, John Hill, Jimmy McNeil, and Councilwoman Kay Alexander. Also present were City Manager Larry Gilley, Assistant City Managers Michael Morrison and Kathy Merrill, City Attorney Sharon Hicks, City Secretary Jo Moore, and various members of the City staff.

City Manager Larry Gilley recognized David Wright, Director of Finance. Mr. Wright distributed handouts and reviewed for Council the Equipment Replacement Program as follows:

Fleet & Equipment

 

Value by Category
 

Original Cost

Replacement Cost

Vehicles

$ 6,239,340

$ 7,615,500

Trucks

8,169,735

11,149,000

Heavy Equipment

5,059,551

7,760,000

Spec. Equipment

828,136

1,160,700

Trailers

193,892

468,842

Grounds Equipment

1,229,952

1,566,652

Misc. Equipment

1,161,486

1,719,682

TOTAL

$22,882,110

$31,440,376

 

Value by Department
 

Original Cost

Replacement Cost

Admin. Serv.

$ 101,062

$ 120,000

Finance

638,618

929,600

Comm. Dev.

387,329

494,500

Econ. Dev/Airport

685,062

1,350,760

Public Works

12,888,675

17,184,760

Police

2,393,947

2,970,300

Fire

368,968

465,500

Comm. Serv.

2,107,770

3,005,607

Water & Sewer

3,310,679

4,919,349

TOTAL

$22,882,110

$31,440,376

Value by Fund

 

Original Cost

Replacement Cost

General

$ 19,001,533

$25,699,127

Water/Sewer

3,310,678

4,919,349

Housing

192,526

259,000

All Other

377,373

562,900

TOTAL

$22,882,110

$31,440,376

 

General Fund - FY 02

Maintenance $1,522,510

Operation 727,130

Replacement 1,261,310

TOTAL $3,510,950

 

General Fund - FY 03

Maintenance $1,600,330

Operation 880,750

Replacement 1,289,760

TOTAL $3,770,840

 

Historical Funding Philosophy

 

Replacement Fund Summary (millions)

 

Actual '98-'99

Actual '99-'00

Actual '00-'01

Unaudited '01-'02

Projected '02-'03

Beg. Balance

2.17

2.40

2.89

3.33

1.96

Total Revenue

2.00

2.04

2.08

2.40

2.17

Total Resources

4.17

4.44

4.97

5.73

4.13

Total Expend.

1.77

1.55

1.64

3.77

3.71

Ending Balance

2.40

2.89

3.33

1.96

.42

$420,000

 

 

 

 

General Fund Requirements

FY 88 - FY 92 (millions)

 

Equipment Budget

Annual Required Funding

Actual Funding

Year End Equity

Under Funded

FY 88

$1.44

$1.10

$ .44

$ .00

$( .66)

FY 89

1.35

1.08

.25

.80

( .03)

FY 90

.85

1.04

.52

.20

( .32)

FY 91

2.42

1.05

.33

.25

( .47)

FY 92

2.17

1.37

.84

.60

.07

 

General Fund Requirements

FY 99 - FY 03 (millions)

 

Equipment Budget

Annual Required Funding

Actual Funding

Year End Equity

Under Funded

FY 99

$1.10

$1.61

$ .98

$ .15

$( .48)

FY 00

1.82

1.64

1.19

.07

( .38)

FY 01

1.28

1.66

1.20

.14

( .32)

FY 02

2.99

1.67

1.26

-0-

( .41)

FY 03*

2.72

1.72

1.29

-0-

( .43)

*projected

 

General Fund - FY 03

20 Police Sedans @ $24,000 = $480,000

Refuse Trucks

4 side loaders @ $160,000 = 640,000

2 rear loaders @ $ 95,000 = 190,000

1 front loader @ $150,000 = 150,000

Subtotal $1,460,000

All other Equipment Subtotal $1,259,000

Total $2,719,000

 

General Fund

Projected Replacements

FY 04 - $2,624,860

FY 05 - $3,237,850

FY 06 - $2,620,280

FY 07 - $2,253,190

FY 08 - $2,747,550

 

Actions being Taken

Objectives

FY 03 - FY 05

Councilman Archibald left the meeting at 10:45 a.m.

Discussion among Council and staff included: 1) fire equipment not being a part of equipment replacement due to their longevity (20+ years); 2) some equipment having been moved from '01 to '02; 3) reviewing fleet size and take home requirements may lead to areas where cuts may be made; 4) the benefits in analyzing and going through systematically the options of possible reductions versus arbitrarily cutting percentages from the budget; 5) vehicles being driven home by employees - 126 in city go home, 21 out of city go home, 26 stand-by vehicles, 371 available to go home, and 40% of those go home on a daily basis; 6) staff will be coming back to Council to finalize funding for this year's equipment; 7) possible outsourcing of services; 8) the possibility of implementing new user fees; and 9) determining actual equipment needs for cost savings.

Mr. Gilley stated today's presentation was for informational purposes and that no Council action is required.

The Council thanked Mr. Wright for the presentation.

There being no further business, the meeting was adjourned at 10:55 a.m.

 

_____________________________ ______________________________

Jo Moore Grady Barr

City Secretary Mayor