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Home My WebLink AboutFY19 FINAL Presentation.pptCi of Iowa City Aug/ Sept '17: Council Work Session on Priorities January 6: Operating Budget Review January 9: Capital Improvement Plan Review February 20: Setting of a Public Hearing March 6: Public Hearing/Adoption of Budget March 15: Certification with County Auditor Iowa City FY 2019 Budget Proposal 2 Areas to Focus: Transmittal Letter (Executive Summary) Economic Trends* Fund Structure and Description Financial and Fiscal Policies Long Range Financial Planning General Fund Summary *2017 numbers will be added in the final budget Pages 11-28 Pages 42-45 Pages 73-78 Pages 87-93 Pages 94-99 Pages 119-132 Iowa City FY 2019 Budget Proposal 3 Budgetary Funds Special General Fund Revenue Funds General (10**) CDBG (2100) HOME Grant (2110) Road Use Tax (2200) Other Shared Revenues (2300) Energy Efficiency & Conservation Block Grant 2310 Matro Planning Organization of Johnson County 2350 Employee Benefits (2400) Affordable Housing (2500) Peninsula Apartments (2510) Tax Increment Financing (26**) SelfSupporting Major funds Municipal Improvement District 2820 Debt Service Fund Debt Service (50**) Enterprise Funds Parking (710*) Transit (715*) Wastewater (720*) Water (730*) Refuse Collection (7400) Landfill (750*) Airport (7600) Storm Water (7700) Cable Television (78**) Housing Authority (79**) Capital Projects Fund Capital Projects Non -Budgetary Funds Internal Service Funds Equipment (810*) Risk Management (8200) Information Technology Services 830* Central Services (8400) Health Insurance (8500) Dental Insurance (8600) A Project Green (9102) 2010-2016 Population Growth = 6,536 residents A bit of perspective: Solon = 550 Tiffin = 1,057 Coralville = 1,490 Cedar Rapids = 4,801 North Liberty = 5,146 A bit more perspective In the decade of the 1990s we added 2,485 residents In the decade of the 2000s we added 5,642 residents It is likely that we will add more population this decade than any prior decade in our community's history, except for the 1960s when we added 13,407 residents During a time of robust growth, the City as an organization has also experienced tremendous change: Budgeted positions have been reduced by approximately 5% or more than 30 positions since 2011 Approximately 60% of our management and confidential classified staff has turned over since 2011 The majority of department head positions have changed hands Clerk, City Manager, Neighborhood and Development Services, Public Works, Parks and Rec, Transportation Services, Finance, Police, Fire Some departments have experienced a complete change in management staff during this time (ex: Public Works) Rapidly growing community + shrinking operational resources + management turnover = a really, really difficult equation Respond to property tax reform changes while maintaining service levels for a rapidly growing and increasingly diverse population Established healthy reserves and reduced reliance on State backfill funding for core services Strategically adding positions in Housing Inspections and Police to bolster core services to a growing population Investing in technology to increase ability of the existing city staff to serve a growing population (Ex: waste route optimization, downtown camera network, automatic lock installation on park restrooms, transit route and hours of operation analysis, etc.) Continued investment in economic development programs to facilitate growth in tax base that counteracts property tax reform Iowa City FY 2019 Budget Proposal Provide resources to make significant progress in implementing City Council's Strategic Plan priorities and adopted Master Plans Local foods / community gardens Aggressive Bicycle Master Plan implementation Form based code development Parks Master Plan implementation Enhanced housing and nuisance inspection program New natural areas maintenance program Energy efficiency and climate mitigation plan funding Social justice and racial equity funding, including Behavioral Access Center funding Funding for affordable housing Iowa City FY 2019 Budget Proposal 8 Maintain an affordable tax and fee environment for residents and businesses 7t" straight year of a property tax rate reduction No new taxes are being recommended 5% increase in the water rate recommended to reflect distribution system maintenance needs No increases to other critical services or utilities Iowa City FY 2019 Budget Proposal IN Future Concern: Sustaining our Strong Fiscal Position Commercial backfill from State of Iowa continues to be vulnerable Multi -residential taxability continues to erode Declining `residential rollback' (taxable percentage of home value) Volatile expense items (e.g. fuel, healthcare, pensions) Not likely to sustain level of taxable growth from past several Economic uncertainty in key industries Iowa City FY 2019 Budget Proposal 10 July 1, 2017 (FY 2018) Multi -residential property class is broken out from Commercial and is taxed at a declining rate — 78.75% of value will be taxed in FY19 Taxable percentage will decrease each year until it matches residential in FY 2024 Projected cumulative loss over ten years beginning in FY2017 is over $15 million with no backfill Multi -residential taxable % of property FY17 86.25% FY18 82.50% FY19 78.75% FY20 75.00% FY21 71.25% FY22 67.50% FY23 63.75% 110.00% 100.00% 90.00% 80.00% 70.00% 60.00% 50.00% Taxable % of Property "Rollback" 30.00% Q� Qy <k Qy F{ Qe <A Qe Residential* Commercial —Industrial —Multi -residential *Residential after assessment year 2014 are projected percentages Iowa City FY 2019 Budget Proposal 11 State backfill budget for FY2019: General $758,903 Risk $27,212 Library $25,297 Transit $89,007 Employee Benefits $294,581 SSMID $28,872 Debt Service $358.695 Total $1,582,567 Equivalents $.44 added to our property tax levy 15 police officer or fire firefighter positions All three pools, animal shelter and forestry divisions Iowa City FY 2019 Budget Proposal 12 • Multi -residential properties were previously categorized as commercial properties and taxed at 100% of their valuation. For the FY 19 budget, multi -residential properties will be taxed at 78.75% of their assessed valuation. The difference in this valuation equates to roughly $1.6 million in FY 19. This number will continue to grow by several hundred thousand dollars per year for the next several years as reform is incrementally implemented. $1.6 million is equivalent to the City's entire FY 18 road resurfacing budget Iowa City FY 2019 Budget Proposal 90% 80% 78% 70% 64% 60% 50% 40% 30% 20% 10% 81% Rollback by Assessment Year 68% FY2019 is the first year the rollback has declined by more than 0.2 percentage points in over a decade. 55% 44% 56% 0% .l`b %Q, 'b`1' %O % 00 C`v O� 00 CP00 O1' OR OHO Orb ,�O K�` N"), KO NO Noy NO NO Noy NO NO Nq NO NO Nq �O �O y0 �O �O y0 rP rp rP Iowa City FY 2019 Budget Proposal 14 Building Permit Construction Value (calendar year) 400,000,000 350,000,00o 2008-2011 average: 300,000,000 $99.6M 250,000,000 200,000,000 2012-2015 average: $161.21M 2016-2017 average: $302.6M 150,000,000 100,000,000 50,000,0000 ■ ' , 200s 2009 2010 2011 2012 2013 2014 2015 2016 2017 • Recent growth and increased residential rollback has offset loss in multi -residential properties • Growth will start to return to average levels and rollback may continue to decrease • State commercial backfill is not expected to continue at 100% going forward • Thus gains in the past two years may very well be eroded in coming years - which directly impacts our ability to expand staffing and make long-term financial commitments to operations • Looking ahead it is possible, if not likely, we will experience a loss of commercial backfill (10% of commercial tax base), continued loss in multi -residential (4% of multi -residential taxbase per year), and a decline in the residential rollback. Status quo staffing requires an increase of 3-4% funding per year, meaning the City may need to grow out of a big hole simple to maintain the status quo. Iowa City FY 2019 Budget Proposal 15 Iowa City FY 2019 Budget Proposal All Funds Revenue Comparison of FY2018 versus FY2019 Property Taxes Other City Taxes Licenses & Permits Use of Money & Property Intergovernmental Charges for Services Misc. Other Financial Sources Total Note: Excludes Transfers FY2018 FY2019 Percent Revised Proposed Change $ 56,458,399 $ 59,092,098 4.7% $ 5,232,608 $ 5,554,453 6.2% $ 2,561,660 $ 2,553,460 -0.3% $ 2,439,343 $ 2,575,752 5.6% $ 35,146,073 $ 32,011,636 -8.9% $ 41,243,278 $ 42,719,637 3.6% $ 6,665,252 $ 6,646,069 -0.3% $ 18,847,764 $ 12,291,619 -34.8% $168,594,377 $163,444,724 -3.1% Iowa City FY 2019 Budget Proposal 17 • Charges for services include water bills, parking permits, rec program fees • Intergovt includes federal grants, road use tax, and 28e agreements • Misc includes animal adoption fees and library charges • Other financial sources is primarily debt sales • Other city taxes includes hotel/motel and TIF revenue All Funds Revenue Sources Chargesfor Services 26% Intergovernmental 20% Use of Money & Prop 2% Licenses & Permits 2% Property Taxes Other City Taxes 36% 3% Allft Iowa City FY 2019 Budget Proposal Misc. 4% Other Financial Sources 7% Excludes transfers 18 Excludes transfers FY2019 Revenues & Other Financing Sources excludes transfers Other City Taxes Property Taxes 65% Miscellaneous 11% permits Use of Money & Property 1% itergovernmental 7% Charges for Fees & Services 3% s Other Financing Sources 3% Iowa City FY 2019 Budget Proposal 19 ........ 50,000,000 40,000,000 30,000,000 20,000,000 10,000,000 0 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 ■Property Taxes 45,318,072 47,825,754 49,542,640 50,419,618 50,051,578 51,496,352 52,020,806 55,357,358 56,458,399 59,092,098 Change 5.10% 5.53% 3.59% 1.77% -0.73% 2.89% 2.83% 6.39% 1.99% 4.66% Iowa City FY 2019 Budget Proposal 20 C19 AA Iowa City FY 2019 Budget Proposal 'Proposed 21 • The City of Iowa City tax levy rate is one component of the total property tax rate residents and businesses pay. • The three largest components of the overlapping property tax rate are the City, the School District, and the County. Kirkwood 3% Percent of Overlapping Tax Rate Johnson County 19% City of Iowa City 42% ICCSD 36% `The State of Iowa has a special levy of $0.0031/$1,000 of taxable value Iowa City FY 2019 Budget Proposal 22 $45.00 $40.00 $35.00 $30.00 $25.00 $20.00 $15.00 $10.00 $ 5.00 $0.00 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 iiiiiiiiiiiii1CCSID iiiiiiiiiiiiiJohnson County iiiiiiiiiiiiiKirkwood iiiiiiiiiiiiiState of Iowa iiiiiiiiiiiiiCity of Iowa City -0--lowa City Percentage of Total Iowa City FY 2019 Budget Proposal 44.50% 44.00% 43.50% 43.00% 42.50% 42.00% 41.50% 41.00% 23 $1,200,000 $1,000,000 $600,000 $200,000 639 ■ Hotel Motel Tax ■ Gas/Electric Excise Tax ■ Utility Franchise Tax FY 2013 $871,706 $819,662 $918,229 FY 2014 $967,049 $780,458 $1,031,187 FY 2015 $1,057,386 $850,546 $901,690 Iowa City FY 2019 Budget Proposal FY 2016 $1,078,762 $764,260 $874,235 FY 2017 $1,136,712 $726,457 $939,387 VJA Revenue declining as alternate forms of media $815,503 increase in popularity M City franchise agreement expires July 1, 2018 State franchise agreement may result in an additional 10% decline in revenue Pass through funding for PATV (-$242k) and PEG funding (-89k) will cease Future of franchise fee revenue is uncertain at best FY2013 Cable Franchise Fee Revenue $773,018 $750,167 $733,644 FY2014 FY2015 FY2016 Iowa City FY 2019 Budget Proposal $685,659 FY2017 25 Iowa City FY 2018 Budget Proposal City Council Bluffs Waterloo Des Moines Davenport Iowa City* Sioux City Cedar Rapids Coralville West Des Moines North Liberty Dubuque Ames $17.91 $17.60 $17.04 $16.78 $16.33 $15.77 $15.22 $13.53 $12.00 $11.03 $10.89 $10.38 $17.85 $18.53 $16.58 $15.53 $17.84 $16.66 $15.22 $13.53 $12.05 $11.03 $10.45 $10.84 % Change FY12-FY18 0.34% (5.02%) 2.77% 8.05% (8.46%) (5.34%) 0.00% 0.00% (0.41%) 0.00% 4.21% (4.24%) * Proposed Iowa City tax rate for FY2019 is $16.18. Iowa City's FY2012 rate was $17.84. Iowa City FY 2019 Budget Proposal City North Liberty Davenport West Des Moines Ames Coralville Iowa City Council Bluffs Cedar Rapids Waterloo Dubuque Sioux City Des Moines Franchise Cove Cove WHO Kra 3% 5% 5% 5% Iowa City FY 2019 Budget Proposal FY18 Year Sunset Estimated City Rate Effective Year Receipts Purpose Cedar Rapids 1% 2009 2024 $18,491,689 100% Street Repair 60% Property Tax Relief, 40% Capital Davenport 1% 1989 None $16,166,223 Improvements and Equipment 60% Property Tax Relief, 20% Infrastructure Projects, 10% City Sioux City 1% 1987 None $12,972,989 Facilities, 10% EIDx Council Bluffs 1% 1990 None $8,336,219 100% Streets and Sewers Waterloo 1% 1991 2025 $9,322,063 100% Street Repair 50% Property Tax Relief, 20% City Facilities Maintenance, 30% Special Dubuque 1% 1988 None $8,456,911 Assessment Relief 60% Property Tax Relief, 40% Ames 1% 1987 None $7,534,082 Community Betterment * Iowa City's LOST expired in FY2013 and generated approximately $8.8 million annually for fouryears. Iowa City FY 2019 Budget Proposal 29 Iowa City FY 2019 Budget Proposal Personnel 72% Excludes transfers Iowa City FY 2019 Budget Proposal ervices 18% Contingency 1% Supplies 3% )ital Outlay 5% =inancial Uses 1% 31 Personnel Services Supplies Capital Outlay Contingency Debt Service Total Expenditures* *Excludes Transfers Out 40,615,582 10,142,737 5347000 1,767,319 3,321,672 41,923,230 10, 534, 543 1,667,973 2,778,675 5657000 175137000 6007000 1071427737 5810697420 Iowa City FY 2019 Budget Proposal 3.22% 086016V IN, 0.30% 32 3,500,000 3,000,000 2,500,000 2,000,000 1,500,000 1,000,000 500,000 0 ■ Fire ■ Police Total % Change from Prior Year City of Iowa City MFPRSI Contributions I 0 FY2015 FY2016 FY2017 1,289,744 1,208,773 1,158,015 1,668,273 1,585,142 1,532,865 2,958,016 2,793,915 2,690,880 1.47% 1 -5.55% -3.69% Iowa City FY 2019 Budget Proposal FY2018 FY2019* 1,190,906 11,236,739 1,623,589 1 1,755,807 21814,495 2,992,546 4.59% 6.33% 33 W No FY2011 FY2012 FY2013 FY2014 722,838 961,815 1,052,753 1,226,921 962,911 1,251,111 1,344,954 1,688,246 1,685,748 2,212,926 12,397,707 2,915,167 25.10% 31.27% 1 8.35% 21.58% 0 FY2015 FY2016 FY2017 1,289,744 1,208,773 1,158,015 1,668,273 1,585,142 1,532,865 2,958,016 2,793,915 2,690,880 1.47% 1 -5.55% -3.69% Iowa City FY 2019 Budget Proposal FY2018 FY2019* 1,190,906 11,236,739 1,623,589 1 1,755,807 21814,495 2,992,546 4.59% 6.33% 33 W IIIIIIIIIIN City of Iowa City IPERS Contributions 3,500,000 3,000,000 2,500,000 2,000,000 1,500,000 1,000,000 500,000 0 FY13 FY14 FY15 FY16 FY17 FY18* FY19* ■ IPERS 2,451,741 2,567,223 2,550,271 2,555,490 2,655,816 2,941,045 3,155,419 ■%change 4.71% -0.66% 0.20% 3.93% 10.74% 7.29% *Budgeted Iowa City FY 2019 Budget Proposal 34 Police Add two new Police Officer Positions - one 103.00 105.00 to Field Operations and one to Support Services Housing Inspection Add two new Inspector/Code Enforcement 6.20 8.30 positions Landfill Add .50 Customer Service Representative 14.00 14.88 Finance Administration Add .75 Internal Auditor/Budget Analyst 2.15 2.90 Position Information Technology Eliminate Senior Programmer/Analyst 10.80 9.80 Services position Accounting Eliminate .60 FTE Grant Accountant 14.00 14.88 TOTAL ALL Department FTE 601.89 605.54 Iowa City FY 2018 Budget Proposal State of Iowa limitation of no more than 5% of total assessed property value Iowa City projected to be at 1.09% of total valuations Iowa City,,ppolicy specifies that debt service levy shall not exceed 30/0 of the total City levy in any fiscal year The projected debt service levy is approximately 19.9% of the total levy Debt restructuring and elimination continues to be a critical component of the strategy to respond to property tax reform One or two more years of debt service levy reductions are projected. Iowa City FY 2019 Budget Proposal 37 CIQ�AUUAUU7 250,000,000 tLUAUUAUUI 150,000,000 � 0 ■ Debt Limit ■ Outstanding GO Debt Debt as a% of Limit Debt as a % of Total Valuation FY11 FY12 FY13 FY14 FY15 FY16 FY17 *FY18 *FY19 *FY20 222,492,980 226,007,105 230,776,387 233,415,950 241,332,359 247,527,890 267,511,393 274,722,970 295,373,726 301,281,200 80,575,000 75,320,000 61,205,000 67,075,000 61,995,000 57,875,000 66,845,000 66,938,570 64,613,667 66,065,516 36.2% 33.3% 26.5% 28.7% 25.7% 23.4% 25.0% 24.4% 21.9% 21.9% 1.81% 1.67% 1.33% 1.44% 1.28% 1.17% 1.25% 1.22% 1.09% 1.100% Iowa City FY 2019 Budget Proposal *Projected 38 800 700 600 Distribution of Moody's General Obligation Ratings for All US Cities t a ° 400 o Iowa City E z 300 200 100 0 Aaa Aal Aa2 Aa3 Al A2 A3 Baal Baal Baa3 ■ National 219 286 756 553 455 204 86 40 37 19 %of Total 8.20% 1 10.71% 1 28.30% 1 20.70% 1 17.03% 1 7.64% 1 3.22% 1 1.50% 1 1.39% 1 0.71% Iowa City FY 2019 Budget Proposal 39 Distribution of Moody's General Obligation Bond Ratings for Cities in Iowa 18 16 14 12 N d Y v 10 w 0 d E 8 z Iowa Citv 6 i / 4 2 0 Aaa Aa1 Aa2 Aa3 Al I A2 I A3 I Baal I Baal I Baa3 ■ State 3 1 6 1 12 1 11 1 17 1 14 1 3 1 0 1 1 1 1 of Total 4.41% 1 8.82% 1 17.65% 1 16.18% 1 25.00% 1 20.59% 1 4.41% 1 0.00% 1 1.47% 1 1.47% Iowa City FY 2019 Budget Proposal .s Iowa City FY 2018 Budget Proposal Est Fund Restricted, Unassigned % of Exp Fund Balance Co Estimated Transfers Budgeted Transfers Fund & Trans Revenues In Expenditures Out mmitted, Balance, 6/30/18-a Assigned 6/30/2018JAL Out Parking 6,003,966 1,100,821 6,612,092 1,703,288 10,602,397 3,500,000 7,102,397 99.97% Transit I 4,524,070 3,698,089 7,449,879 311,000 6,249,069 632,715t#5,616,354 8.31 % Wastewater Water Refuse Landfill Airport Stormwater Housing 12,636,588 5,531,493 13,284,732 5,511,993 19,474,067 6,246,443 / 13,227,624% 72.81 % 9,856,522 1,824,915 3,490,210 - 6,929,796 1,202,215 361.500 100.000 1,529,350 8,388,774 3,252,015 3,433,507 - 5,035,196 1,469,748 357,309 96,000 537,865 990,000 11,483,662 3,695,847 7,787,815 66.67% 892,702 - 892,702 25.58% 27,673,423 25.593.144 2,080,279 25.58% 266,210 100.000 166,210 36.02% 727.191 8,921,473 10,952,156 47,949 5,169,264 Iowa City FY 2019 Budget Proposal - :>7.55% 1,022,059 4,147,206 46.49% 42 North Liberty $47.02 $57.02 $104.04 Davenport $49.04 $49.80 $98.84 Des Moines $29.31 $45.92 $75.23 Sioux City $35.80 $35.61 $71.41 West Des Moines $33.04 $38.20 $71.24 Dubuque $29.11 $39.12 $68.23 Iowa City $30.17 $36.08 $66.25 Ames $28.18 $32.63 $60.81 Coralville $19.60 $35.70 $55.30 Cedar Rapids $28.20 $26.23 $54.43 Council Bluffs $28.75 $22.88 $51.63 Waterloo $18.15 $25.75 $43.90 Iowa City FY 2019 Budget Proposal No fee changes recommended for sewer, storm water, parking, or transit 5% water fee increase is recommended to fund capital projects for repairing and replacing aging infrastructure in the distribution system Removal of the $1/month surepay incentive from utility bills and creation of a voluntary donation program for utility bill assistance The replacement of yard waste stickers and bags with a $2 monthly fee that was approved with the FY2018 budget took effect January 1, 2018 Iowa City FY 2019 Budget Proposal 44 Estimated Property Tax on $100,000 Residential Valuation (Iowa City portion) FY 2018 $930 FY 2019 $900 Assessed Valuation $100,000 $100,000 Taxable Valuation $56,939 $55,621 City Levy $16.333 $16.183 Property Taxes $930 $900 Difference ($30) Iowa City FY 2019 Budget Proposal Iowa City Property Taxes Paid on a $500,000 Commercial Property* $9,000 A projected reduction of $1,639 since 2012 $8,500 $7,500 $7,000 $6,500 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 ■City Property Taxes $8,921 $8,634 $8,403 $7,935 $7,493 $7,462 $7,350 $7,282 * 2013 State legislation also enacted the Iowa Business Property Tax Credit program to lower property tax burden on businesses; savings from this program are not reflected in the chart. Iowa City FY 2019 Budget Proposal 46 $2,500 $2,000 $1.500 $1.000 $500 Q yV FY2014 ■ Property Taxes $888 FY2015 FY2016 FY2017 FY2018 FY2019 $909 $928 $922 $930 $900 ■ Stormwater $42 $42 $42 $54 $54 $54 ■ Refuse $186 $191 $191 $191 $205 $229 ■ Sewer - 800 cubic feet $433 $433 $433 $433 $433 $433 ■ Water-- 800 cubic feet $328 $344 $362 $362 $362 $380 Total $1,877 $1,919 $1,955 $1,962 $1,984 $1,996 Percent Change 0.9% 2.3% 1.9% 0.3% 1.1% 0.6% Based on a residential customer with $100,000 property valuation. M Iowa City FY 2019 Budget Proposal Strong growth has allowed for the establishment of a $4.9 million Emergency Reserve fund. No additional transfers to this fund are planned with this budget. Operational reserve funds are strong with the General Fund reserve just above the upper end of the 25-35% policy target. Surplus funds beyond the policy target have been used to bolster the capital improvement program and fund critical projects: $2.5 for the Public Works Facility - Phase 1 $2.8 million capital contribution budgeted for the County Behavioral Access Center $650,000 contribution to the Affordable Housing Fund ($1.9 million in local funds in last three years) General Fund transfer to the CIP has been increased to aggressively implement the Bicycle Master Plan and the Parks Master Plan 7t" straight tax rate decrease with only a modest increase in water rates Targeted expansion of operations in Police and Housing Inspection with other strategic investments in core services Iowa City FY 2019 Budget Proposal 48 Strong Local Economy Continued pledge of $1,000,000 to support the historic renovation of the Englert Theatre and the FilmScene operation in the historic Packing and Provisions Building located on the Pedestrian Mall Continued funding for recently created local foods initiatives Funding for a city-wide retail attraction consultant Continued operating support of the Englert Theatre, UNESCO City of Literature, Riverside Theatre, FilmScene, Mission Creek Festival, Iowa City Area Development Group, Summer of the Arts, the Iowa City Downtown District, and Entrepreneurial Development Center Expansion of the community garden program to three locations Urban Core Funding for the Pedestrian Mall improvement project and road diet projects on Clinton, Madison and Gilbert streets Implementation of the bike plan, including planned projects on Dodge, Governor, College, Market and Jefferson streets Reestablish the Building Change fagade program in Downtown Continued partnership with the Iowa City Downtown District for summer programming Provides funding for further development of the Riverfront Crossings Park and programming dollars to host a large grand opening event in 2018 Iowa City FY 2019 Budget Proposal Sustainability Additional funding for LED lighting upgrades at Terry Trueblood Recreation Area, Mercer Aquatic Center, Police Department, Robert A. Lee Recreation Center, and Parks and Forestry Funding for boiler replacements at City Hall and Mercer Aquatic Center, as well as building control upgrades in several buildings, to reduce energy usage Additional tree plantings, including transportation corridor plantings (ex: Camp Cardinal Boulevard and Lower West Branch Road) Continued implementation of the City's waste minimization plan Resources for the to -be -determined Climate Action and Adaptation Plan capital projects, education, and outreach initiatives Creation of a natural areas maintenance program Continued AmeriCorps partnership to improve maintenance of natural areas and energy efficiency measures in homes and businesses Additional electric vehicle charging stations Funding for a landfill gas study and site master plan Iowa City FY 2019 Budget Proposal 50 Healthy Neighborhoods • Provides a total of $385,000 for form based code development • Provides funding to implement the Parks Master Plan and improve numerous neighborhood parks • Continues funding of the recently established historic preservation grant program • Contributes another $650,000 of General Fund dollars to the City's affordable housing fund • Adds two new housing/nuisance inspector positions to bolster efforts to ensure rental properties are properly maintained Social Justice • Funding for the capital contribution to the County Behavioral Access Center • Full funding and participation in the data driven justice initiative • Increased funding for the Johnson County Mobility Coordinator position Provides resources for the temporary winter homeless shelter Continues to provide funding for the social justice and racial equity grant program and the St. Ambrose disproportionate traffic stop analysis Continued partnership with the Fresh Starts/Shelter House job program Increased marketing dollars for the Human Rights Office to better promote their services to the public Iowa City FY 2019 Budget Proposal 51 Property tax rate: Staff anticipates one or two more years of a decline in the debt service levy before we will level off Utilities: Possible increases will be evaluated in refuse, landfill and stormwater Building permit revenue and overall taxable growth will return to normal levels and commercial backfill will likely be reduced placing more pressure on our ability to deliver core services and meet demands from a growing population Continue effort to selectively add positions in areas of greatest need. Recent and planned additions in Streets and Police wilFgreatly help operations More deliberative focus on long-term public facility planning (Examples: transit, police, fire, equipment and refuse) Uncertainty at the federal level may impact infrastructure funding and CB BG, HOME, HousingAuthority, Airport, and/or Transit operations Staff capacity will continue to be a limiting factor in carrying out capital projects and mayorplanning initiatives, particularly in Public Works, Neighborhood and Development Services, and Parks and Recreation. Iowa City FY 2019 Budget Proposal 52 Our strong financial position is enabling us to tackle some of the most pressing issues in our community Flood recovery Major infrastructure repair Enhancement of open spaces Affordable housing Access Center A more integrated transportation network At the same time, instability in the tax base limits our ability to expand operations of core services as our community experiences an era of incredible growth With a strong focus, the City Council is in a position to pursue impactful opportunities over the next 2-5 years that would not be financially obtainable in many other times. Iowa City FY 2019 Budget Proposal 53 Iowa City FY 2018 Budget Proposal