HomeMy WebLinkAboutRes2017-062CITY OF SEWARD, ALASKA Sponsored by: Hunt
RESOLUTION 2017-062
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
SEWARD, ALASKA, ADOPTING THE WASTEWATER ENTERPRISE
FUND BIENNIAL BUDGET FOR CALENDAR YEARS 2018 AND 2019
WHEREAS, the City Manager has submitted to the City Council a proposed biennial
budget for the City of Seward for Calendar Years 2018 and 2019; and
WHEREAS, the preliminary biennial budget was reviewed by the City Council in
budget work sessions on September 27, October 2, and October 3, 2017, which were televised to
the public; and
WHEREAS, a public hearing is scheduled on the proposed budget for October 23,
2017, and a second public hearing and final adoption is scheduled for November 27, 2017; and
WHEREAS, recent sewer lagoon failures have necessitated incurring additional debt to
conduct major repairs; and
WHEREAS, the 2018 budget includes a rate increase of 2.1% representing the five-year
average CPI and the 2019 budget includes a rate increase of 1.6% representing the five-year
average CPI.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF SEWARD, ALASKA, that:
Section 1. The Wastewater Enterprise Fund budget for Calendar Years 2018 and 2019
which is attached hereto and made a part hereof by reference and which contains estimated
revenues and expenses for the period January 1, 2018 - December 31, 2019, is HEREBY
ADOPTED, and the necessary funds are hereby appropriated.
Section 2. This resolution shall take effect immediately upon adoption.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this
271h day of November, 2017.
THE CITY OF SEWARD, ALASKA
David Squires, Mayo
CITY OF SEWARD, ALASKA
RESOLUTION 2017-062
AYES: Casagranda, Keil, McClure, Slater, Towsley, Horn, Squires
NOES: None
ABSENT: None
ABSTAIN: None
ATTEST:
Brenda J. Ballou, MC
City Clerk
''$'%toasJ!" .
(City Seal) •••� of: S1:IV
• 6.
SEAL
b
OF �"
1
WASTEWATER ENTERPRISE FUND
Budgeted Statement of Revenues and Expenses
Operating revenues:
Residential
Small General Service
Large General Service
SMIC Sales
Miscellaneous
Total operating revenues:
Operating expenses before depreciation
Salaries & Benefits
Purchased services
Supplies & Maintenance
General & Administrative
Total Operating Expenses:
Operating income before depreciation
Depreciation
Operating Income (Loss)
Non -operating revenues (expenses)
Interest income
Interest expense
Other non -operating revenue
Total non -operating revenues (expenses)
Income (loss) before operating transfers
Capital contributions and special item
Net transfers In (Out)
Change in net position
Beginning net position
Ending net position
and Change in Net Position
For 20I S and 2019
20I6 200 20I8 20I9
Actual * Budget Budget Budget
637,860
620,004
633,024
643,152
I94,606
200,004
204,204
207,47I
279,178
288,996
295,065
299,786
35,895
38,400
39,206
39,834
4,224
2,496
2,548
2,589
$I,ISI,763
$1,149,900
$I,I74,047
$I,I92,832
342,653
329,540
267,433
269,830
304,837
404,448
389,700
394,704
35,598
70,896
61,700
6I,700
I52,7I9
I86,552
181, I77
183,706
$83S,807
$99I,436
$900,010
$909,940
3I5,956
367,544
158,464
205,920
274,037
359,306
28ZB92
357,I84
($SI,588)
$47,456)
($8S,269)
($74292)
2,997
3,504
3,578
3,635
-5,900
-I6,458
-17,744
-I6,878
6,86I
0
0
0
$3,958
($I2,954)
($I4,I66)
($I3,243)
($47,630)
($60,4I0)
($99r435)
($87,53S)
0
0
0
0
86,II4)
85,965)
(85,89
(87,400)
($I33,744)
($I46,375)
($I85,332)
($I74,935)
$6,990,776
$6,857,032
$6,7I0,657
$6,525,325
$6,857,032
$6,7I007
$6,525,325
$6,350,390
a Ties to annual Comprehensive Annual Financial Report
Of total depreciation expense, the following amounts were attributable to capital assets funded with capital contributions:
(a) $4II,522 or I I2%; (b) $264,000 orI28%, (c) $398,445 or II0%, (d) $398,445 or III%
CITY OF SEWARD
WASTEWATER ENTERPRISE FUND
Budgeted Statement of Cash Flow
For 20I8 and 2019
Beginning cash balance at I/1/17: *
Cash is provided by (used for):
Change in net position
Add expense items not affecting cash
Depreciation
Net cash provided by (used for) operations
Other uses of cash
Debt principal payments
Capital outlay
Net increase (decrease) in cash
Estimated ending cash balance
2017 20I8 20I9
Budget Budget Budget
$983,424
(I46,375)(I85,332) (174,935)
$59,545
359,306 357,184
$I73,974 $I82,249
(127,038)
(57,734)
(a)
(58,599) (b)
0
(5,000)
(c)
(51000) (d)
-$67,493
$915,93I
$I,027,I71 $I,I45,82I
(') Ties to CAFR and includes only Wastewater Enterprise Fund; excludes related capital projects. See below.
(a) Lowell Point and SMIC Sewer Lagoon loans
(b) Lowell Point and SMIC Sewer Lagoon loans
(c) Motor Pool contribution. No WRF contribution in 20I8 or 2019.
(d) Motor Pool contribution. No MIZRF contribution in 2018 or 20I9.
City of Seward
Wastewater Enterprise Fund
2018/2019 Biennial Operating Budget
Revenue Detail by Line Item
2015 2016 2017
Actual Actual Budget
Revenues
18000 5300 Residential
18000 5310 SG Service
18000 5320 LG Service
18000 5330 SMIC Sales
18000 5804 Work Order Revenue
18000 5809 Water/Seward Misc. Service
18000 5890 Collection of Doubtful Accounts
18000 5899 Miscellaneous Revenue
18000 5901 EF Investment Interest
18000 5905 EF Penalties and Interest
18000 5919 Contra PERS On -behalf paid by SOA
16000 5920 PIERS On -behalf paid by SOA
18000 6921 Federal Grant Revenue
18000 5940 Amort. of CIA - General
Total Revenues
2018 2017-18 2019 2018-19
Budget % Chg Budget % Ch
604,405
637,860
620,004
633,024
2.10
643,152
1.60
191,365
194,606
200,004
204,204
2.10
207,471
1.60
260,495
279,178
288,996
296,065
2.10
299,786
1,60
36,304
35,895
38,400
39,206
2.10
39,834
1.60
0
0
0
0
0.00
0
0.00
3,482
4,223
2,496
2,548
2.08
2,589
1.61
239
0
0
0
0.00
0
0.00
0
1
0
0
0.00
0
0.00
(10,565)
1,813
2,004
2,046
2.10
2,079
1.61
1,701
1,184
1,500
1,532
2.13
1,556
1.57
(30,232)
0
0
0.00
0
0.00
41,212
7,314
0
0
0.00
0
0.00
0
0
0
0
0.00
0
0.00
164,613
411,522
264,000
398,445
50.93
398,445
0.00
$ 1,263,019
$ 1,673,143
$ 1,417,404
$ 1,576,070
$ 11.19
$ 1,594,912
$ 1,20
City of Seward
Wastewater Enterprise Fund
201812019 Biennial Operating Budget
Expenditure Line Item by Fund
2015
2016
2a17
2018
2017-18
2019
2018-19
Actual
Actual
Budget
Budget
% Cho _
Budget
% Chg
Personnel Costs:
6000 Salaries
155,091
126,729
169,652
138,833
(18.17)
138,423
(0.30)
6001Overtime
17,535
6,466
3,168
3,170
0.06
3,170
0.00
6002 Standby Time
6,517
7,231
6,492
6,492
0.00
6,492
0.00
6100 Medicare
2,387
2,076
2,736
2,738
0.07
2,696
(1.53)
6102 Workers' Compensation
6,841
17,233
9,240
8,799
(4.77)
8,749
(0.57)
6200 Leave Time
28r770
18,771
16,956
18,272
7.76
19,091
4.48
6201 Retirement Benefits
104,076
105,440
22,044
33,416
51.59
33,844
1.28
6202 Health Insurance
59,473
68,246
98,760
55,713
(43.59)
57,365
2.97
6203 In Lieu of FICA
443
461
492
0
10( 0.00)
0.00
Total Personnel Costs:
380,133
$ 342,653
$ 329,640
$ 267,433
$ (18.85) $
269,830
$ 0.90
Non -Personnel Costs:
7001 Communications
6,088
6,529
8,496
8,300
(2.31)
8,300
0.00
7002 Postage and Freight
3,023
2,359
5,244
4,700
(10.37)
4,700
0.00
7003 Bank and Credit Card Fees
7,974
8,797
5,700
8,000
40.35
8,000
0.00
7004Insurance
6,919
6,617
7,500
8,000
6.67
8,004
0.05
7006 Legal
0
1,680
15,000
12,000
(20.00)
12,000
0.00
7007 Legal Settlement
20,000
0
0
0
0.00
0
0.00
7009 Contracted Services
25,806
73,021
115,008
105,000
(8.70)
105,000
0.00
7011 Testing
24,804
37,819
25,500
27,000
5.88
27,000
0.00
7015 Utilities
164,140
165,585
217,992
213.000
(2.29)
218,000
2.35
7016 Heating Fuel
2,537
2,396
3,504
3,500
(0.11)
3,500
0.00
7017 Rents & Leases
77
33
504
200
(60.32)
200
0.00
7210 Vehicle Supplies
0
1,784
0
0
0.00
0
0.00
7211 Gas & Lube
16,976
6,341
10,896
9,700
(10.98)
9,700
0.00
7213 Safety Equipment
1,209
1,162
1,500
1,500
0,00
1,500
0.00
7215 Operating Supplies
22,833
11,996
19,500
17,000
(12,82)
17,000
0.00
7216 Maintenance & Repair
17,527
10,579
34,500
29,500
(14.49)
29,600
0.00
7217 Small Tools & Equipment
6,098
3,737
4,500
4,000
(11.11)
4,000
0.00
7300 Advertising
0
0
504
400
(20.63)
400
0.00
7301 Subscriptions & Dues
5,240
432
2,760
4,500
63.04
4,500
0,00
7302 Travel & Subsistence
3,969
225
18,000
5,200
(71.11)
5,200
0.00
7303 Education & Training
1,074
439
3,000
3,800
26.67
3,800
0.00
7304 Equipment Rent
12,150
1,350
6,000
6,000
0.00
6,000
0.00
7306 In -Kind Expenses
(19,189)
0
0
0
0.00
0
0.00
7307 GF Administrative Fee
146,328
149,694
153,288
158,077
3.12
160,606
1.60
7330 P.1.L.T,
87,703
92,141
91,992
93,924
2.10
95,427
1.60
7331 Reclass PILT to TransferrOut
(87,703)
(92,141)
(91,992)
(93,924)
2.10
(95,427)
1.60
7808 Bad Debt Expense
2,015
486
2,004
2,000
(0,20)
2,000
0.00
7810 Miscellaneous Expense
100
92
996
1,200
20.48
1,200
0.00
7900 Depreciation Expense
235,467
367,544
205,920
359,306
74.49
357,184
(0,59)
8012 Debt Service Interest Expense
0
5,900
16,458
17,744
7.81
16,878
(4,88)
8103 Capital Equipment
0
0
0
0
0.60
0
0.00
8104 Motor Pool Rent
4,500
0
0
5,000
0.00
5,000
0.00
8300 Debt Service Principal
0
58,986
127,038
57,733
54.55
58,599
1.50
Total Non -Personnel Costs:
$ 717,665
$ 925,583
$ 1,011,312
$ 1,072,360
$ 6.04 $
1,077.771
$ 0.60
Total Expenditures
$ 1,097,798
$ 1,268,236
$ 1,340,852
$ 1,339,793
$ (0.08) $
1,347,601
$ 0.58
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General Fund:
Federal and state lobbying
Payments -in -Lieu -of -Tax
RV dump station payments
L.P. Sewer Lagoon loan (a)
Net Transfers:
CITY OF SEWARD
WASTEWATER ENTERPRISE FUND
Budgeted Interfund Transfers
2018 and 2019
2018
Transfers- Transfers -
In Out
14,000
$5,973
93,924
C�7
2019
Transfers- Transfers -
In Out
14,000
$5,973
95,427
0
$14,000 $99,897 $14,000 $101,400
($85,897)
($87,400)
(a) In the future, consider forgiveness of $1,219,150 in remaining debt. Original debt of $1,603,350 borrowed from General
Fund to repair LP Lagoon in 1990.