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HomeMy WebLinkAbout2014-05-27 Budget Meeting Minutes - Opening Overview Minutes of Budget Meeting Tuesday, May 27, 2014 Page 1 of 20 Deschutes County Board of Commissioners 1300 NW Wall St., Suite 200, Bend, OR 97701-1960 (541) 388-6570 - Fax (541) 385-3202 - www.deschutes.org MINUTES OF BUDGET MEETING DESCHUTES COUNTY BOARD OF COMMISSIONERS TUESDAY, MAY 27, 2014 – Morning Session ___________________________ Allen Room, Deschutes Services Building ___________________________ Present were Commissioners Tammy Baney, Anthony DeBone and Alan Unger. Also present were Tom Anderson, County Administrator; Erik Kropp, Deputy County Administrator; Mike Maier, Clay Higuchi and Bruce Barrett, Budget Committee; Wayne Lowry and Teri Maerki, Finance; and, for a portion of the meeting, David Givans, Internal Auditor; Judith Ure, Administration; Jane Smilie, Health Services; Timm Schimke, Solid Waste; Susan Ross, Property & Facilities; Chris Doty, George Kolb and Randy McCulley, Road Department; Joe Sadony, Information Technology; Dave Doyle, County Counsel; and one other citizen. No representatives of the media were in attendance. Meeting minutes were taken by Bonnie Baker. Chair Baney opened for the Board of Commissioners. Bruce Barrett (outgoing chair of budget committee) opened the meeting at 9:00 a.m. ___________________________ Consideration of Election of the Budget Committee Chair. HIGUCHI: Move that Bruce Barrett be re-elected as Budget Committee Chair. MAIER: Second. Approval was unanimous. ___________________________ Consideration of the Sunriver Library County Service District Budget. Mr. Barrett opened the public meeting on the Sunriver Library County Service District. UNGER: Move budget and set levy. DEBONE: Second. Approval was unanimous. ___________________________ Minutes of Budget Meeting Tuesday, May 27, 2014 Page 2 of 20 Consideration of the Sunriver Service District Budget. Present were Bob Wrightson, Mike Gocke and Jim Wilson of the Sunriver Service District board. Chair Baney opened the public hearing. Bob Wrightson gave an overview of the budget. They will hold the tax rate where it is due to careful spending and the improved economy. Mike Maier asked about reserves. Mr. Wrightson said most reserves are related to equipment. They are working on the training center and this is not built in to the reserves. Mike Maier asked why the reserve amount is so high. Mr. Wrightson stated that last year they had an unappropriated restricted reserve in the amount $700,000. Clay Higuchi noted that charges for services are going up $50,000. Mr. Wrightson said their assistant also works for SROA and SROA will be billed. Mr. Goeke stated that they are developing the training facility and acquiring the police offices and remodeling. They are in the early stages of this process and don’t have exact numbers, but it may be around $2 million. There will need to be a zone change for the fire station, and are also working on Fire Department labor negotiations. They have held the permanent tax rate for four years. BANEY: Move approval of the operating budget DEBONE: Second. Approval was unanimous. BANEY: Move approval of the reserve budget. WRIGHTSON: Second. Approval was unanimous. WRIGHTSON: Move approval of the budget. BANEY: Second. Approval was unanimous. ___________________________ Minutes of Budget Meeting Tuesday, May 27, 2014 Page 3 of 20 Consideration of Approval of the Black Butte Ranch County Service District Budget Tom Mayberry, Dave Sullivan, and Chief of Police Denney Kelley attended. Chair Baney opened the public hearing. Chief Kelley said the budget is similar to last year, with minor increases in costs. They are changing the duty schedule to 40-hour weeks because the 12-hour shifts were too difficult. They will have to utilize an overtime budget, but it should balance out. It is also easier to cover an 8-hour shift than a 12-hour shift. They need to purchase a vehicle this coming year so they will have two relatively low-mileage vehicles to utilize for the next five years. Mr. Maier asked about the sergeants. Mr. Kelley said they are not represented. Chair Baney asked about health care costs and PERS. Chief Kelley said that they are changing plans for the Teamsters to a $1,200 composite rate for 12 months. Administration is separate and they went to a new plan that dropped the cost by about 14% with a moderate deductible. They have an insurance agent on their board who helped review insurance information and agreed with their agent. DEBONE: Approve the budget and set the tax rate. BANEY: Second. Approval was unanimous. DEBONE: Move approval of the local option levy. BANEY: Second. Approval was unanimous. ___________________________ Consideration of Extension/4-H County Service District Budget Joe Cross, Mike Scholeman, Katrina Van Dis, Candy Bolkum, Martin? and Darlene Belden were present. Chair Baney opened the hearing. Minutes of Budget Meeting Tuesday, May 27, 2014 Page 4 of 20 Mike Scholeman said that they have had changes in administration. Also, out of the building fund is $10,000 for architect design to eventually expand their office. There is a new category for vegetation supplies for the greenhouse classes. Mr. Maier noted that the beginning net working capital has gone down. Ms. Martin said that they are putting a significant amount in building, and the advisory council felt they needed to better support staff. It is still healthy and this is a conservative board. Mr. Higuchi asked about the rate. He was advised it is $.0224, the maximum rate set since inception. Ms. Bolkum noted that many areas do not have a permanent tax rate for these services, although Josephine and Malheur passed one, and others are looking at it. Ms. Martin gave an overview of activities. The Forester left but they rebuilt his position, and a new person should be selected this week. They needed a livestock position, and will be able to have this representation soon, which will be funded through a federal grant, with 60% tribal. They have a new center at Oregon State with a small farm emphasis. Partnerships fund the small farm position in the region. They have an open campus program mostly for families and focusing on education, and there has been a lot of interest. Their greenhouse is complete, which is a good program with a lot of interest. DEBONE: Move approval of the operating budget and setting the tax rate. UNGER: Second. Approval was unanimous. DEBONE: Move approval of the reserve budget. UNGER: Second. Approval was unanimous. ___________________________ Consideration of Approval of the Minutes of the December 2013 Preliminary Budget Meeting. Mr. Higuchi stated that this was a good meeting but some things were discussed then, in particular a proposal for a consultant for Health Benefits, and he believes there was consensus to seek this out. He assumes there will be a presentation on PERS. Mr. Anderson stated that he is reasonably confident these will be addressed. Minutes of Budget Meeting Tuesday, May 27, 2014 Page 5 of 20 HIGUCHI: Move approval of the minutes. MAIER: Second. Approval was unanimous. ___________________________ Mr. Anderson spoke to the Deschutes County budget and significant issues, and distributed a handout for reference. He gave an overview of the items to be discussed. He hopes that significant issues can be brought up now so the departments can address them during their presentations. This has been a good year for the economy with revenue increases. No departments are in cut-back mode but they need to decide what services to continue and where to add where there are shortfalls. Mr. Maier asked about room tax and how it is divided. It always has been complicated. Mr. Anderson stated that it would be addressed. Mr. Higuchi asked about enterprise funds. Mr. Lowry stated that this is often seen for utilities or other programs that are self-funded. The idea is for taxpayers not to have to cover the cost of this kind of thing. The Fair is working towards that. Mr. Higuchi said it either is profitable or it isn’t. He noted that the RV Park is not breaking even. Mr. Lowry stated there is a general fund piece for the Fair and Expo, and there are activities there that benefit the entire community and not just users. Mr. Maier asked if the RV Park is costing money. Mr. Anderson stated they are close to break-even. Mr. Maier said that there is a gain for the County for users of other buildings and the community. Chair Baney added that it helps to bring in business, including some who would not use the Fair & Expo otherwise. Mr. Anderson said that Dan Despotopulos knows that a report on the increase transient lodging tax will be expected, relating to direct marketing. Mr. Barrett stated that he is pleased they can now publicize what’s there. He feels this will help the Fair & Expo turn the corner. Mr. Anderson stated that the cost of labor is down significantly from what it was last year. Health costs are holding down and PERS is flat. The Bethlehem Inn is an issue; the Jail project completes this year. Health care reform is a big issue as well. CIP will be discussed as well, with significant projects involved. Minutes of Budget Meeting Tuesday, May 27, 2014 Page 6 of 20 Chair Baney spoke about the latest goals and objectives. The Board is looking for what to emphasize and what truly needs to be tracked. In the past, there was more interest in goals and tracking, but it needs to be meaningful. They need to do what is necessary to determine funding needs, trends and what makes sense. Commissioner DeBone stated that public safety and public health are important, along with handling natural resources. There are some big, expensive projects in the horizon having to do with public safety. Communications is a big issue at this time. Mr. Barrett asked how the Board can remain focused on the big picture with so many issues. Chair Baney stated it is based on a vision. Public safety is paramount and this requires working together. Mr. Higuchi liked the message and the accompanying backup information. On page 11 regarding the economy, one objective is the Bend Airport Master Plan and the Redmond UGB. He asked if the County is coordinating with these. Chair Baney said the County is in a supportive role since these are City-driven. It is more in line with the REOA, which requires region-wide coordination. The site identified for this area is in Redmond. Commissioner Unger stated Redmond was the only one that stepped up, and it requires County involvement due to DSL and County-owned property being involved. Most of the work of the County has been done. Mr. Higuchi said that as the cities expand, they are going into the County. Whether it is Redmond, Bend or La Pine, County planning should be involved and it needs to be coordinate. Commissioner DeBone replied that this is being done. Anything having to do with economic development benefits the entire region. None refers to the City of Bend UGB, but the County is supportive of the City doing what it needs to do. Mr. Anderson said that the Board a year ago said they wanted to be more involved in the future of the departments. They wanted to know more about the upcoming issues affecting the departments, so presentations have been happening in this regard. This will help with future goal setting. The departments are to come up what objectives for each goal. They are trying to make them more meaningful by determining deliverables rather than measurable. Completion of the Redmond large lot industrial is a deliverable, for example. Some departments have to rely on measurable for various reasons. Minutes of Budget Meeting Tuesday, May 27, 2014 Page 7 of 20 Mr. Barrett stated that rather than the number of people served, it is good to know how they are served. Mr. Maier asked if meeting with the departments regularly is helpful. Commissioner DeBone replied that it allows the departments to explain what they are doing and what they feel is important. Chair Baney added that this also helps legislatively, as they need to know what is coming and what is important for the departments to get ahead of what they will need. Service delivery can become the focus. Mr. Maier feels that it is critical to be more hands -on, and it is good for morale for the Board to be more involved. Commissioner Unger feels that Mr. Anderson is good about bringing issues to the Board in this regard. Jodie Barram of the City of Bend Council referred to item 4 in the UGB. She expects a continued partnership with the County this fis cal year. Bend does not expect the remapping work to be done until April 2016; so many things will come up around that time. Work should begin in fiscal year 2017. ___________________________ Mr. Anderson stated that department directors have been asked to tie their work in to other departments and measures. Mr. Lowry stated that Teri Maerki has done a great job of putting together the budget document, the best he has ever seen. Page 340 in section 12 shows what he thinks a taxpayer might view. This has to do with property taxes. It shows the taxing jurisdictions. They have not seen a 5% increase in assessed value for a long time. There are three focus points, the 3% growth that is allowed; new construction that is maybe ½ to 1% and properties that have regained value to above assessed valuation, so those taxes can go up more than 3%. Market value should be above assessed value for most properties in the future. ___________________________ Sunriver and Black Butte Ranch will remain about the same. The Sheriff is levying less than the maximum rate, as is Sunriver. Debt service is an issue , which is the bond on the Fair & Expo that has a few years left. ___________________________ General fund revenue is mostly from taxes. It will go up this year. The beginning balance will be stronger. $500,000 of the general fund will be contributed to capital reserve. Staffing net change is 1.2%. This includes four positions for the jail expansion. More positions will be added as needed; potentially it could be as many as a dozen. Commissioner DeBone stated that there will be new automated controls as well. It will ramp up over time. Minutes of Budget Meeting Tuesday, May 27, 2014 Page 8 of 20 Mr. Higuchi asked about changes in FTE’s. Mr. Lowry said this is on page 309. The County and the Service Districts show changes of about 2%. Health Benefits Trust Fund is trying to reach the six month claim data, and 6% seems appropriate, and is down from before. PILT is important to the general fund. The formula changed and the amount should be about the same for the next year. 1.7% for PILT. Forest receipts also impact the Road Department. These were reauthorized recently, when it in the past it appeared these were phasing out. PERS is stable and he is investigating ways to handle this expense to lower the rate or address future changes. There are several ways to handle the impacts. Earnings are the driver and there is a good incentive to invest in PERS, as usually they make a decent return. That appropriation would work if just part of the money went to PERS. Mr. Higuchi said it was at a 15.59% return last year. Mr. Lowry stated this can vary and there is no floor; it could be a minus. The Solid Waste reserve fund is to be paid back within two years. Some was applied this year and the rest should be repaid next year. ___________________________ Regarding financial policies, page 335, Mr. Lowry said that the contingency policy drove what the departments had to retain. Four months was required by public entities. Non-tax supported just need one month. He rewrote the policies and added some language. They are in the budget document in draft form but need Board approval eventually. On page336, working capital, the policy is the same but some departments, for example the Sheriff’s Office, can’t always meet the four months’ requirement. They can demonstrate the ability to get there, though. This policy can be changed if they can demonstrate cash flow or have other significant revenue sources. Mr. Maier said the Sheriff’s Office has been able to hold the line on the tax rate. He asked how long they can keep that going. Mr. Lowry stated that the Sheriff will talk about this, as it is probably time to reconsider it. He is adding positions and will need more funds to do this. Chair Baney supports the conservative budgeting process, but she does not want to see the tax rate just to have reserves for four months. Minutes of Budget Meeting Tuesday, May 27, 2014 Page 9 of 20 Commissioner DeBone asked about reducing the County’s general fund tax rate in view of the fact that revenue is increasing. Voters expect 3% growth in government and even 5% is conservative. He does not know the impacts of changing this rate, which he feels is a good opportunity. He understands that it may be for one year only. Chair Baney said this is a great question, but there could be unintended consequences. The Sheriff reduced his rate after careful consideration, but a year later, they had to be raised. She is not sure the recession is over, either. The economy is still fragile. Mr. Maier feels this should happen after the proposals are explained. Some may be beyond what is planned for the budget. Something may have to be un -funded, a program or reserves. This would be a better discussion later in the week. Commissioner Unger asked what a penny means. Mr. Lowry said it is a total of $185,000. Commissioner Unger asked what 3 cents would mean to the typical property owner. It may be a small impact on the taxpayer, perhaps $15 annually, and a big impact on a program or reserves. Mr. Barrett said the public likes to not see government grow. Mr. Anderson stated that critical points are the contingency policy, which they do not want to negatively affect. Another issue is the Bethlehem Inn, being carried on the books for years. There is a proposal to bite the bullet and accurately show this expense as it affects the fund balance. Mr. Maier would rather have debts covered before saying the money isn’t needed. Commissioner DeBone asked about the 3%, and if the transient room tax increase will help. Mr. Higuchi asked what it means for the property owner. He looks at the entire bill, adding up the County and city. He needs a number to consider. He was on the committee and was told in regard to the landfill and health benefits that they are in good shape. Mr. Maier does not feel they made a mistake using landfill funds for other things. Consideration of Department Issues. Mr. Anderson gave an overview of issues that are important to the departments. They have been advised the Budget Committee knows the work the departments do, so the Departments are to focus on the most important aspects of their operation. ___________________________ Minutes of Budget Meeting Tuesday, May 27, 2014 Page 10 of 20 Health Services is always one of the most complicated departments. There has been a change in leadership there as well. A general fund subsidy is usually necessary. They need to examine how to do that this year, as revenue streams have adjusted with the overall changes in the delivery of health services. There will be a new section in each service area that speaks to what the general fund contributes. The issue is the demand changes each year, and it is hard to match general fund. It has been handled as an entitlement over the years so they can maintain certain services. This will be discussed in detail. Facilities for Health Services are related to a north County campus for the most part. ___________________________ Regarding the Fair & Expo, there is a marketing plan for the new TRT tax. They are looking at how food and beverage services will be done in the future. Mr. Maier asked about expansion and if there is a long -range plan for this. Mr. Anderson stated they have a business plan but not a long-term facilities expansion plan. Mr. Maier said it is a big facility, but they want more land with no plan as far as he knows. Chair Baney stated that this ties into the DSL negotiations. Mr. Anderson said they are a ways along in this process but the DSL will trade but not give land. Part of the problem is there is not a unified opinion about this aspect. Commissioner Unger would like to see some kind of plan also. Mr. Maier stated with the improving economy, they will be approached by people who want to do more there, and a plan would help mitigate this. He feels this should be more like a comprehensive plan, and needs to involve the City of Redmond. Mr. Anderson stated that general fund is still an issue for this facility, but it is improving. This support should remain for another year. The bond expires in a few years and they need to talk about long-term sustainability for maintenance and capital expenditures. ___________________________ The Assessor will need software replaced sometime soon, so funds should be set aside for this. ___________________________ The Clerk has always been a net positive but was not recently. This is starting to improve but they will need some help for a while. ___________________________ Minutes of Budget Meeting Tuesday, May 27, 2014 Page 11 of 20 Solid Waste will be repaid, and there is a big capital project next year with Cell 6. The Waste to Energy project is still lining up financing. There are no increases in tip fees proposed, and 5% of fees go to the Road Department. Chair Baney said they have talked about fee structure, and it was felt that it is not the right time to increase fees to the public, until such time that the haulers decide to increase fees. Mr. Maier stated that he would like to see smaller increases more often than an increase all at once. Commissioner DeBone said that staffing is stable but if they add more people or more hours, this could change. Mr. Anderson stated that volume is up and perhaps they will want to increase hours or add Sundays back in to increase services. This will be discussed. Perhaps more of the recycling locations could be open more. Mr. Maier asked if they have surveyed customers as to what they’d like to see. Mr. Higuchi stated that Timm Schimke should know what is appropriate. ___________________________ The Road Department is about the same for now, but they are building up reserves for capital projects, and have a five-year plan of what they’d like to accomplish. ___________________________ Community Development’s work is increasing and a discussion needs to occur about them rebuilding reserves. Some builders seem concerned about this. There is no general fund payback built in at this time. Two new positions have been requested because of staffing issues with the increased workload. ___________________________ Community Justice requires general fund to keep services going. Discussions have occurred regarding how health services are involved, as this work crosses over in the departments. Detention is always an issue and they have been using on-call staff when appropriate. Training on-call staff is a huge ongoing expense, and the Director would like to make this more stable. Parole & Probation has some new funds to keep people out of the State facilities. This was a competitive process and the various law enforcement entities were able to decide where this should go. Measurements are being developed. It would result in more risk assessments of the population. It will be a competitive process in the future, so there are no guarantees of this funding. Chair Baney stated that the program could go away at that point, but they will have to show results. Phasing staffing makes sense at this point. Minutes of Budget Meeting Tuesday, May 27, 2014 Page 12 of 20 The 1145 split is not proposed to change this coming year, but it has been a big issue in the past. ___________________________ Regarding Justice Court, things are better this year. Redmond hired police officers who wrote more tickets to this Court. The Judge’s hours will be decreased and he suggested this. ___________________________ Natural Resources PILT money will be split. Joe Stutler has been paid for his activities at the national level, as he historically has been able to obtain federal grant funds for the County. This comes out of the gene ral fund. Chair Baney stated that this helps Deschutes County remain in a leadership role. Mr. Maier said that a lot of it has to do with Mr. Stutler’s contacts and history doing this kind of work. Regarding the Weed Board, PILT money helps to continu e to fund this. Some membesr feels this is underfunded and feel that there should be a full-time weed abatement person, since Ed Keith provides this work about 40% of the time, and the rest as Forester. Chair Baney feels that since Dan Sherwin retired, t he Weed Board wants to see someone more involved with presentations and education. ___________________________ The District Attorney’s budget is status quo for next year. There will be a transition next year to a new D.A., and no one knows what this might mean. ___________________________ Staffing at 9-1-1 is an issue. They are recruiting for a new director, but the interim directors have done a good job. The new director needs to be a part of the request to change the duty structure. More long-term funding is needed; this should go out again for permanent funding. 9-1-1 is a part of the overall extensive law enforcement communications system change, which will be expensive for all parties. However, not much of this will be in the next year’s budget. The 9-1-1 executive board wants the new person to be successful. ___________________________ The Sheriff is asking for a staffing increase based on the jail expansion. The jail expansion debt is for 25 years. ___________________________ Mr. Anderson said there are no proposed staffing changes in the Board and Administration. Minutes of Budget Meeting Tuesday, May 27, 2014 Page 13 of 20 ___________________________ Mr. Lowry went over the capital improvement program funds. He is working on long-range plans for these. Solid Waste has both equipment and project needs. The Road Department also has both. Chris Doty said they are making three purchases, three years in a row. Some is replacement equipment, and new purchases are geared towards best practices and safety. Randy McCulley stated that they are adding self-operating lighted equipment for night work. A new plow will be more efficient. Some equipment will allow for longer hauls. Natural gas technology will be used in the future for normal operations. Mr. McCulley said that their target test vehicle is an F-250. The County will purchase the vehicle as usual and the vendor will pay the difference. Commissioner Unger asked about the department’s reserves. Mr. Doty provided a handout analyzing the department’s cash flow. Reserves should increase significantly over the next few years. Chair Baney asked about purchasing equipment and whether they are getting the hours they should out of it. Mr. Doty is working forward with a subdued equipment purchasing program, with more to go into reserves. The same strategy is in place regarding sharing equipment with partners. They are not doing overlay work internally but are focusing on core services such as chip seal, and are spending more time preparing for chip seal and overlay work. They will bid out everything that makes sense but need to maintain quality control. Mr. Higuchi asked if any equipment is no longer needed. Mr. Doty said they did not own some that was used in the past, and they have borrowed from partners. ___________________________ Timm Schimke spoke about the Cell 6 project, which is out to bid at this time. The cost will probably be about $3.6 million, and will give a minimum of five years’ capacity. If Waste to Energy work begins, this should put the need for Cell 7 out even longer. A loader needs to be purchased. The one they have is heavily used and is ready to retire. They will revamp the compactor instead of buying a new one for a lot more money. The equipment is critical so the retain the old one for emergencies. Commissioner DeBone asked if there would be room at the landfill in the future for a potential biomass project. Mr. Schimke stated they should have land for that kind of use that is not suitable for cells. ___________________________ Minutes of Budget Meeting Tuesday, May 27, 2014 Page 14 of 20 Susan Ross said that they are still working on the courthouse annex. The Justice Building used to house the jail, which has since then been used for storage. The jury assembly room will be moved there to free up the other space for the District Attorney. Chair Baney said that the D.A. space is too small for their needs. There are some early plans for another judge as well, but this probably would not happen until 2017-18. However, in some cases, judges could share space. The State at some point may contribute some funding for this type of project. Mr. Anderson noted that AOC is working on this as well. It would like be for replacement purposes. They will pursue this but it is a big unknown at this time. Mr. Maier said that there has been a need for a federal judge here for a long time. He asked if this is being pursued. Ms. Ross stated that she spoke with someone about this is the past, and they are not willing to share space. They have huge requirements for judges relating to security, and it would be very expensive to house them. It would probably require a stand-alone structure. ___________________________ North County services will not be served by one building. They are purchasing a smaller building for some health services, and will be working on the Unger Building for future uses. ___________________________ The Sisters school-based health clinic got a late start due to various factors. The amount of money will be the same, but will be spent next year and not this year. They hope to have it completed by fall. The annex will be remodeled since the Watermaster moved out. This involves program changes in the Health Services. Work should be done by this fall, and most is being done in house. Parking is somewhat an issue so it may need to be enforced. ___________________________ The jail project is winding down. They overhauled the electronics security system in the main jail, expansion and juvenile. This allows security to be integrated on a standard platform, which can be expanded in the future. ___________________________ Mr. Higuchi asked about the Fair & Expo $90,000 expense. Ms. Ross said it is a big complex, and they are trying to get away from mechanical keys, which are problematic. A recent audit called for this change as well. They need to standardize to electronic access. ___________________________ Minutes of Budget Meeting Tuesday, May 27, 2014 Page 15 of 20 Mr. Lowry spoke about the I.T. fund, and setting aside funds for required, new software for various departments. This includes the Assessment and Taxation program, and court technology. The Finance and Human Resource software replacement works well but needs refinement. Joe Sadony stated that most efforts for next year are regular maintenance efforts, including a replacement server and virtual software. They put hardware on a five-year replacement program. About half of their expenditures will go towards a storage facility starting out with 9-1-1. The 9-1-1 center equipment will be useable for the entire County should the main data center be unavailable in the event of an emergency. They have already upgraded their backup schematic so the data goes to the remote location. He said the local State offices lease server space from the County. This particular arrangement will be with 9-1-1. The City of Bend solved some of their server issues by using Bendbroadband’s services. ___________________________ Mr. Anderson continued the department overview. He stated that he proposes charging some of the BOCC expense to general fund and not charge the departments for that. Some is legislative but may not be directed towards one department. Mr. Higuchi asked if BOCC was once funded through the general fund. Mr. Anderson said it was but went the other way. This is more equitable. Also, one-half FTE has been reduced with Dave Inbody’s transfer to the Health Department. This will lower indirect charges. ___________________________ The Law Library may be better in another location, so Erik Kropp is trying to find a place with the Library District. ___________________________ Personnel has changed directors. A salary study for the classified positions is planned. Chair Baney asked what the odds are for adjustments if this is done. Mr. Kropp stated that there are always some changes, but they are not usually realized at that moment, so there is a minimal impact. This would be worked into future budgets. This affects mostly the pay steps and is not usually a big expense. Mr. Maier asked if they are not keeping up with this or if there are other changes. He feels that the amount needed for this is too high. Mr. Kropp feels that it has been maintained through lean times, but after about five to seven years, things can change. Positions change and the demand for certain positions can vary. Because of health care reform, at this time it is hard to recruit for those positions. It might take a couple of years to complete this. Minutes of Budget Meeting Tuesday, May 27, 2014 Page 16 of 20 Mr. Higuchi does not like using consultants who ask if employees are satisfied with their current compensation. Mr. Kropp said employees are not being surveyed; they analyze the competition and how hard it is to fill positions. Mr. Anderson said there would be a new Finance payroll system. Dog control has been underpaid for licensing, so they need to keep this service whole. I.T. is trending downward in staffing. Legal Counsel has a new Counsel. Staffing will not increase but there might be changes in the office arrangement. Civil commitments went to the District Attorney. Property & Facilities is dealing a lot with capital improvements. COVA will make a presentation and can talk about room tax allocation. They have an agreement memorializing the allocations. Changes made last year brought about some in - depth conversations. There is a new proposal regarding the Sunriver Visitors Center, and some COVA funding may be dedicated to this. Video lottery funds are down and there needed to be a modest reduction in EDCO’s funding. ___________________________ Health Benefits Trust Fund Mr. Kropp said the proposed budget includes a reduction to health benefits and/or a 6% increase to departments. Last year EBAC identified a dollar amount to charge to employees. The co-pay was recommended to go from $65 to $90, and that prescription co-pays increase. For the first time in the history of the plan, the claims costs are flat. They did not have to draw down reserves. They talked about a comprehensive study to review the plan, but are behind on doing this. Mr. Lowry said the impact will be a little under $100,000 drawn from reserves. Chair Baney asked if this is a historic view. Mr. Lowry said claims experience is usually erratic, so they are using a 6% estimate. A consultant may be able to give some guidance on what is typical. Mr. Anderson said that health care costs continue to climb, but the activity is down, based on experience. He feels that some of this downward trend has to do with the wellness program, health risk assessments, higher co -pays, and other aspects. There are no guarantees that something big might come up. Mr. Maier said it is about making good decisions. Mr. Higuchi stated that employees are more likely to make a good decision if enough of the cost is coming out of their wallet. Minutes of Budget Meeting Tuesday, May 27, 2014 Page 17 of 20 Mr. Kropp said that another option is if the plan saves money, the employee also can save money. Mr. Higuchi feels the County has a Cadillac health plan and will be penalized for this at some point. Then they would have to make huge changes. ___________________________ PERS Reserve Fund Mr. Lowry spoke about the PERS reserve fund, referring to a chart. The average since 1992 is 10.2%. There was a big dip in 2002 and a bigger one in 2008, but their investments have been strong. It is quite diversified and strongly invested. Some agencies have even borrowed money to invest in PERS. He feels the County could invest more in this as well. The amount in the side account with PERS is intended to offset debt. It is amortized over twenty years and you cannot get the money back except through PERS costs. Mr. Maier stated that there is a risk if the economy flounders, but you have to let it run its course. Mr. Lowry said there can be a lump sum investment into PERS but he still needs to talk to the Board about this. Chair Baney stated she is not clear on how you make this investment. There may be another recession. She is concerned about not being able to access the funds, and how do they gain in the future. Mr. Lowry said you set up an account with PERS, which reaps whatever is being gained. It is amortized over a period of time. This would lower the rate for PERS. Mr. Maier stated this was set up years ago and set up this for reserves instead; this helped average it out to protect departments from a big spike. The purpose was to try to stabilize the impact. He assumes this would lower rates in the long haul, and protect against rate hikes. The County would have to cover the margin if there was a drop, to protect the departments. It might just simply save money. Mr. Lowry stated that the County’s rates over time have been stable, but ev entually those will come down as PERS continues to earn, and Tier 1 retirees are fewer. This option would buy the County about 1.6% of payroll. Mr. Maier said if there was a big drop, they would not want it all invested in PERS. They do need to build up a PERS reserve. Mr. Higuchi said that he does not want them to put all their eggs in one basket. The session adjourned at 3:45 p.m. The group reconvened at 4:35 p.m., after Health Services’ presentation. Minutes of Budget Meeting Tuesday, May 27, 2014 Page 18 of 20 Economic Development Mr. Anderson said that this fund is primarily for the business forgivable loan program. There was a reduction in the lottery fund revenue, so they had to supplement by about $60,000. There are choices to beef it back up, if desired. Judith Ure gave an overview of the fund. It was funded through a one-time source. The Board considered whether to recapitalize out of the lottery fund but that would not have left much for other needs. The program was set up to help companies locate here, expand or stay here, with the provision of them hiring or retaining employees for a period of time. If the company hires and retains the employees, the loan becomes a grant. The loan was set at $2,000 per employee, but many employers went well beyond that number. If they do not make the commitment, the loan is to be repaid. In most cases they are doing well; two paid the loan back and one paid back an amount coinciding with the jobs that did not get created. The value is in the jobs created and retained. Mr. Barrett said he has been in the review process for some of them, and this sometimes made the difference as to whether a company comes to this area or stays here. Most would be successful without the funds, but the community support was important. Mr. Anderson stated that the $60,000 is all that remains at this point. Any further funds would be an add-on to the budget. He feels it is one of the best uses of lottery funds and fits into the economic development purpose. The lottery revenue is down now but should increase. Perhaps a percentage could be set aside for this. Another option could be using general fund money, and it could be specified as temporary. Or a decision could be made if there was a critical demand to keep a company local. Mr. Maier said that he would prefer using lottery funds and not general fund for this. Lottery funds are ideal for this use. Commissioner Unger added that the jobs created will be adding to the local community and paying taxes. Mr. Maier stated that this is assuming that those jobs are here only because of this loan. They might be here anyway. Commissioner DeBone said they should look at contingency plan, but not the general fund at this point. Commissioner Unger stated that this creates a buzz, inside and outside Oregon. They want to be considered business-friendly. Mr. Barrett asked if the cities are involved. Chair Baney said that they did not have much and it has likely been spent. Minutes of Budget Meeting Tuesday, May 27, 2014 Page 19 of 20 Commissioner Unger said that Redmond supports EDCO and are business friendly with the funds that they have. Jodie Barrum said that Bend has a small loan fund that is administered by EDCO, which is paid $85,000 a year. Mr. Anderson asked if it can be kept as-is, or utilize lottery funds, or general fund. Mr. Maier said it could be set aside until they budget process is closer to being completed. Ms. Ure feels that the balance has hist orically been at about $100,000 per year. ___________________________ Regarding video lottery funds, Ms. Ure said payments are made quarterly and have been around $140,000 per quarter. It varies month to month. Revenue has not been as strong the past couple of years. The beginning balance used to be more robust, but the philosophy has been to put it to use. It helps with service partners, emergency food and housing, and other critical services. It is not strictly economic development but helps people get on their feet. Mr. Higuchi stated that a few years ago, it was made clear that this is a Board decision. There won’t be a beginning balance. Last year it was $650,000 but this year it is probably about $580,000. Funding allocations change from year to ye ar. Some entities were moved to the general fund. Commissioner DeBone stated that most have asked if it will be recapitalized. Commissioner Unger said that perhaps a few of the agencies could be supported by general fund dollars to free up more for the forgivable loan program. Ms. Ure said there is criteria around what they do: sole source providers, doing work the County may have to do otherwise, etc. A decision will be made at a later time once more is known about the departmental budgets and other funds. Being no further discussion, the session ended at 5:10 p.m. DATED this 1.f/:: Day of ~c= 2014 for the Deschutes County Board of Commissioners. Tamm~t Anthony DeB one, Vice Chair ATTEST: Alan Unger, Commissioner ~~ Recording Secretary Minutes of Budget Meeting Tuesday, May 27,2014 Page 20 of20 '-t ~ ~ I QJE \ I.­ -+-I ... -----+--­ ~ c o co QJ .--~ -QJ~'O ~ C QJ QJ 0.._"-­-<QJ 00 '0 :J CO BUDGET COMMITTEE AGENDA Tuesday, May 27 th , 2014 9:00 AM 9:00 -9:05 AM 9:05 -9:20 AM 9:20 -9:35 AM • Elect Chair • Approve minutes from the December 2013 meeting Sunriver Library County Service District (Fund 751) (Budget Committee-Commissioners) • Open public meeting and introductions • Budget discussion • Public comment • Motion to approve budget of $102,975 and set amount of levy at $99,974 • Motion to be seconded • Budget Committee votes • Close budget meeting Sunriver Service District (Funds 715 & 716) (Budget Committee-Commissioners, Bob Wrightson, Jim Wilson & Mike Gocke) • Open public meeting and introductions • Budget discussion • Public comment • Motions to: 1) Approve Sunriver Service District operating budget of $6,351,263 and set tax rate at $3.3100 per $1,000 of assessed valuation (Fund 715) 2) Approve Sunriver Service District Reserve budget of $1,149,122 (Fund 716) • Motions to be seconded • Budget Committee votes • Close budget meeting Black Butte Ranch Service District (Fund 761) (Budget Committee-Commissioners, Dave Sullivan, Tom Mayberry & Carl Burnham) • Open public meeting and introductions • Budget discussion • Public comment Motions to: • 1) Approve budget of $1,739,110 and set tax rate at $1.0499 per $1,000 of assessed valuation 2) Set local option operating tax rate at $.5500 per $1,000 of assessed valuation Program Budget Tab/Page 13/379 7/273 7/265 Page 1 I · BUDGET COMMITIEE AGENDA Tuesday, May 2ih, 2014 Black Butte Ranch Svc District (Cont'd) 9:35 -9:50 AM • Motion to be seconded • Budget Committee votes • Close budget meeting Deschutes County Extension and 4-H Service District (Funds 720 & 721) (Budget Committee-Commissioners, Joe Cl'OSS, Mike Scholeman & Katrina Van Dis) • Open public meeting and introductions • Budget discussion • Public comment • Motions to : 1) Approve Deschutes County Extension & 4-H Service District operating budget of $699,835 and set tax rate at $.0224 per $1,000 of assessed valuation (Fund 720) 2) Approve Deschutes County Extension & 4-H Service District Reserve budget of $432,300 (Fund 721) • Motions to be seconded • Budget Committee votes • Close budget meeting Program Budget Tab/Page 7/268 9:50 -10:00 AM 10:00 AM -Noon Noon -1:00 PM 1:00 -2:30 PM 2:30 -2:45 PM 2:45 -4:45 PM Break Deschutes County • Open public meeting • Deschutes County Budget Proposal Capital Improvement Program (Lunch Discussion) Other Funds Health Benefits Trust (Fund 675) PERS Reserve (Fund 135) Economic Development Fund (Fund 105) Video Lottery (Fund 165) Bethlehem Inn (Fund 128) General Fund (Fund 001-00 and 001-45) Break Health Services • Introductions • Budget discussion Continue the D eschutes County budge t m e eting to Wednesday, May 28th , at 9:00 AM 8/277 6/228 6/237 6/229 6/223 6/230 6/214 5/168 Page 2 FY 2015 Budget Hearings Deschutes County Budget Committee Significant Issues I. Introduction -Tom Anderson II. FY 15 County Goals & Objectives -Tom Anderson & Board of Commissioners III. Overall Financial Issues & Financial Policies -Wayne Lowry IV. Departmental Issues • Health Services o Director Transition o General Fund Support • Public Health -$2,701,475 • Behavioral Health -$1,377,302 • Early Learning Hub -$252,288 o Health Care Reform o School Based Health Centers o Facilities o Other • • Fair & Expo Center o TRT Increase/Marketing Plan o Food & Beverage Service o General Fund Support o Long Term Financial Plan o Other • • County Assessor o Assessment & Taxation Software Replacement o Other • • County Clerk o Recording Revenue o General Fund Support o Other • • Solid Waste o GF Debt Repayment o Cell 6 Construction o Waste to Energy Project o Tip Fees (no change) o Other • • Road Department o PILT Allocation (SRS Formula) o Capital Projects (FY 15 & long term) o Other • • Community Development o Revenue Increase • Reserve Funds/GF Payback o Staffing Increase o Other • • Community Justice o Juvenile General Fund Support -$5,368,346 o Juvenile Detention Staffing o APP General Fund Support -$451,189 o APP Justice Reinvestment Program o APP 1145 Split o Other • • Justice Court o Overall Finances/General Fund Support -$74,398 o Judge FTE Decrease o Other • • Natural Resources o PILT Allocation o Special Advisor o Weed Board o Other • • District Attorney o General Fund Support -$5,528,530 o FY 15 Transition o Other • • 9-1-1 o Staffing Increases o New Director/Modified Management Agreement o Long Term Funding o Communications System o Other • • Sheriff's Office o Staffing Increases o Jail Expansion Debt o Other • • BOCC/Admin o BOCC General Fund Allocation -$190,000 o Staffing Decrease o Law Library o Other • • Personnel o Salary Survey -$100,000 o Other • • Finance o New Finance/HR System -$230,000 (Initial) o Dog Control o Other • • Information Technology o Staffing Reduction o Other • • legal o legal Counsel Transition o Other • • Property & Facilities o DC Courthouse o North County Facilities o Other • • CaVA o New Grant Agreement o SR Chamber/Visitors Center o Other • • EDCO o Funding Change o Other • V. Fund Issues • Health Benefits Trust Fund o Consultant Study o Fund Balance o FY 15 6% Increase o Other • • PERS Reserve Fund o Advance Funding Proposal o Other • • Economic Development Fund o Business Loan Program -Recapitalization o Other • • Video Lottery Fund o Revenue Reduction o Review BOCC Allocation o Other • • Bethlehem Inn Fund o Absorb Deferred Expense o Other • • General Fund o Major Revenue Sources o Transfer Summary o Other • Deschutes County Economic Development Loan Fund Loan Details Company Loan Amount # Jobs Status A gere Phannaceutical $14,000 7 Resolution D ate: 9117/2013 Conditions met Dent Instruments $12,000 21 Resolution Date: 11111/2013 Conditions met. Buehne r Fry (NAVIS) $50,000 27 Res olution Date: 11116/2013 Conditions met O.L. Solutions $50.000 39 Re solution Date: 11/912013 Creat ed 26 jobs 1 Re paid bal ance of $19,515 .22 Energyneering Solutions $34,000 17 Resolution Date: 6114/2014 Me di siss $48 ,000 24 Re soluti on D ate: 711812014 Condition s met to date. Geo-Spatial Solutions $20,000 10 Resolution Date: 7/22/2014 Conditions met to date. Consumer Cellular $50,000 200 Resolution Date: 3/1/2015 Vantage Clinical Solutions $10,000 5 Resolution Date: 3/4/2015 Paladin Data Corporation $32,000 16 Resolution Date: 4116/2015 NAVIS $50,000 26 Resolution Date: 1/28/2016 Centra l Ore gon T rucking Company $50 ~ 000 35 Resolution D at e : 4111/2016 Alchemy Solutions $26,000 13 Resolution Date: 3/31/2014 Paid in full. BasX $50,000 50 Resolution Date: 12/2412016 Total $496,000 490 -Deschutes Count~ Approved FY 2014-15 Video Lotter~ Fund Priorities ApprovedProjected Amount Avai lab le: $560,497 - FY 2013-14 I FY 2014-15 I I CATEGORY PROGRAM FY 2013-14 BALANCE NOTES Projected Actual REMAINING ~r RESOURCES [­Beginning Net Workin g Ca~tal 100,000 116,79 8 0 0 State Video Lottery Revenue 600,000 580,000 580,000 580,000 Interest Revenue 0 1,000 1,000 581,000 TOTAL RESOURCES 581,000 581,000 REQUIREMENTS J Administration Personnel -12,500 -1,400 0-581,000 None allocated for FY 20 14-15 Internal Services -12,500 -10,831 0 581,000 Sub-Total 0 581,000.' ' -.. , Contingency Co ntingency " a 581.000 None allocated Sub-Total 1 0 581,000 , Economic Development (59-21) EDeO Regi onal Ca pacity / Operat io na l Support -112 ,200 -112 ,200 -117,200 463,800 Increase of $5 ,000 for FY 20 14-15 Local Cap~~i!Y : Bend -10 000 -10 000 -10.,000 453,800 Local Capacity: La Pine -20 000 -20000 -20 ,000 433,800 Local Capacity : Redmond -10 000 -10,000 -10,000 423,800 Local Capacity : Sisters -20 000 -20 000 -20,000 403,800 Venture Catalyst Program -30 000 -30 ,000 -15,000 388,800 Reduced by 50% FoundersPad -15 ,000 -IS 000 -15,000 373,800 Business Loan Fund Recapitalization (Fund lOS) a 0 a 373,800 Defer deci sion until Fund lOS is fully ex~ended Sub-Total -207,200 373,800 Dues & Memberships (59-10) Central Oregon Intergovernmental Council 12,134 12,970 '. a 373,800 Move to General Fund Sub-Total , 0 373,800 Project Support (59-16 & 59-20) Shop-wi lh -a-Cop Program -3,000 5 ,000 -3,000 370,800 Public Transit: Rural Services -3 ,000 -2,500 -2,500 368,300 Grant match committed for FY 20 13-14 & FY 20 14-1 5 Volunteer Connect / Project Connect -3 ,000 a -3,000 365,300 Bend Westside Traffi c Study a a 0 3653()0 Fund in conjunction with landfill project Other: a a a 365,300 Other: a a 0 365.300 Sub-Total -8,500 365,300 Service Partners (59-20) Central Oregon Council on Aging (COCOA) -28,500 -28 ,500 -28,500 336,800 MountainStar Fam ily RehefNursery -12,000 -12,000 -12,000 324,800 J-Bar-J / Cascade Youth and Famil y Serv ices -13,0 00 -13000 -13 ,,000 , 311 ,800 Red mond Senior Cente r -4,000 -4,000 -2,000 309 ,800 Reduced by 50% IUDS Center -20,000 -20,000 -20,000 289,800 Latino Community Association -11,000 -11,000 -11.000 I. 278,800 Bethlehem Inn -15 ,000 -15 ,000 -15,000 J 263,800 Family Access Network (FAN) -10,000 -10 ,000 -10,000 253 ,800 Saving Grace / Mary's Place -10,000 __ _ -10,000 -10,000 243 ,800 Central Oregon Veterans' Outreach (COVO) -10 ,000 -10 ,000 -10,000 233,800 f--­Cou rt Appointed Spec ial Ad vocates (CASA) -30,000 -30 ,000 -20 ,000 213,800 Reduced by 33% Central Oregon 2-1-I -10 ,000 -10 ,000 -10,000 203,800 -Upper Deschutes Watershed Council -20,000 -20,000 -20,000 183,800 New : Healthy Beginnings a 0 -10,000 173 ,800 A dded for FY 2014-15 Other: 0 0 0 173,800 Other: 0 0 0 173 ,800 Sub-Tota l -191,500 173,800 Discretional}' Grant Program (59-20) D iscreti ona ry Grants 60,000 60,000 -45,000 128,800 Reduced by $5,000 each Commissioner Fundraising Grants 20,000 20,000 -15 ,000 113,800 Reduced by $5,000 Other: 0 0 0 , 113,800 Other: 0 0 0 113 ,800 S ub-Total -60,000 -113,800 Community Grant Program (59-20) ElTlergency Food, Clothing and Shelter -75 ,000 -75 ,000 -65,000 'II 48,800 Reduced by $10,000 Heal th , Menta l Health , and Addictions Treatment 45 ,00% 28,425 33,000 -21 ,960 26,840 Arts & Culture 10 ,00% 6 ,3 17 3,000 -4 ,880 . 21 ,960 Other Essential Services 45 00% 28425 30,000 -21 ,960 °Other: 0,00% 0 0 0 l °Other: 0 ,00% 0 0 0 0 Sub-Total -113,800 . 0 TOTAL REQUIREMENTS -581,000 OVER/SHORT .' " 0 •• PERS Historical Returns 30 ~---------------------------------------- 20 10 O -10 -20 I -30 ,t 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012 ~....... •• ., ... , -. •• ..."I 1 ........-"Iii i ~ •• • • • Earnings Rate Crediting Rate Fund 259 Public Health Divisio_n FY 15 Budget by Programs Reproductive Health Community Health Maternal Child H~al!!! Womens Infants & Children Business Services FY 15 Budget Total Program FTE 8.97 FTE 19.13 FTc 21.17 FTE 9.93 FTE 17.65 FTc 76.85 FTE RESOURCES: Beginning Net Working Capital 7,707 160,570 3,836 4,730 1,393,978 1,570,821 Revenues Federal Government Payments 82,085 2,500 17,000 101,585 State Government Payments 1,004,831 756,096 1,802,299 684,528 4,247,754 Local Government Payments 240,000 240,000 Charges for Services 107,500 945,866 74,791 141,000 1,269,157 Non-Operational Revenue 1,500 6,000 7,500 Interfund Charges 97,600 6,018 103,618 Interfund Grants 294,439 294,439 Transfers In -County General Fund 679,153 897,501 756,494 433,429 2,766,577 Total RESOURCES 1,882,776 3,056,972 2,975,020 1,122,687 1,563,996 10,601,449 REQUIREMENTS: Expenditures Salaries Benefits 879,036 485,484 1,556,006 835,431 1,436,169 829,335 577,274 340,284 157,013 70,495 4,605,498 2,561,029 Personnel Services 1,364,520 2,391,437 2,265,504 917,558 227,508 7,166,526 Interfund Charges 7,635 7,635 Internal Service Fund Charges 119,190 187,586 180,339 89,794 13,484 590,393 Grants, Loans, & Reimbursements 20,089 232,300 6,700 259,089 Other Materials & Services 358,822 403,300 237,712 84,391 86,946 1,171,171 Materials & Services 478,012 610,975 650,351 174,186 114,764 2,028,288 Capital Outlay 100 100 Transfers Out 40,226 54,558 32,951 30,942 5,962 164,640 Contingency 18 26,215 1,215,661 ~ ,241,895 ---.-­ TOTAL REQUIREMENTS $ 1,882,776 $3,056,972 $ 2,975,020 $ 1,122,687 $ 1,563,996 $ '10,601,449 Fund 275 Behavioral Health Department FY 15 Budget by Programs Child and Family Program Access & Crisis Services Adult Treatment Program Developmental Disability Program Business Services FY 15 Budget Total Program FTE 45.77 FTE 16.57 FTE 66.60 FTE 14.61 FTE 18.70 FTE 162.25 FTE RESOURCES: Beginning Net Working Capital $ -$ -$ 3,000 $ 1,252 $ 3,308,996 3,313,248 licensing and Fees 147,200 147,200 Federal Government Payments 204,849 34,000 238,849 State Government Payments 754,892 725,842 3,333,432 3,406,720 8,220,886 Local Government Payments 65,000 65,000 Charges for Services 123,600 8,010 70,000 201,610 Forefeitures o Non-Operational Revenue 7,800 11,000 19,500 38,300 Interfund Charges 4,516,773 1,295,657 5,398,337 5,218 11,215,985 Interfund Grants 127,000 127,000 Transfers In -County General Fund 384,826 53,553 637,613 301,311 1,377,303 Transfers In -Acute Care 187,594 187,594 TOTAL RESOURCES $ 6,000,091 $ 2,270,656 $ 9,785,231 $ 3,709,283 $ 3,367,714 $ 25,132,974 REQUIREMENTS: Salaries $ 3,035,325 $ 1,153,056 $ 4,384,252 $ 832,129 $ 77,196 Benefits 1,695,176 632,167 2,435,678 477,501 40,120 Personnel Services 4,730,501 1,785,223 6,819,930 1,309,630 117,311 14,762,595 Interfund Charges 9,760 0 0 1,813 11,573 Internal Service Fund Charges 407,034 151,389 586 ,843 117,014 1,558 1,263,837 Grants, Loans & Reimbursements 5,600 2,000 330,139 1,692,592 2,030,331 Other Materials & Services 737,721 303,130 1,836,546 524,523 281,741 3,683,662 Materials & Services 1,160,115 456,519 2,753,528 2,334,129 285,112 6,989,403 Capital Outlay 100 100 Transfers Out 55,893 21,764 106,276 20,752 215 204,900 Contingency 53,580 7,151 105,499 44,772 2,964,971 __3,175,973 TOTAL REQUIREMENTS $ 6,000,091 $ 2,270,656 $ 9,785,231 $ 3,709,283 $ 3,367,714 $ 25,132,974 --- DC Road Department CIP Cashflow Estimates (Combined CIP and SOC): Rev 05/27/14 ----------,------------------­ Current, $ 2015 2016 2017 2018 2019 Existing Reserves $ 4,600,000 $ 1,035,423 SOC Reserves/Projections $ 2,000,000 $ 400,000 $ 400,000 $ 400,000 $ 400,000 $ 400,000 Total (authorized PIL T/SRS) $ 6,600,000 $ 1,435,423 $ 400,OO~ $ 400,000 - $ 400,000 $ 400,000 : (I I I I - PBH/Neff-Alfalfa Improvement $ 2,250,000 I $ 250,000 La Pine Downtown Stormwtr. $ 200,000 1 Burgess/Day Turn Lanes $ 650,000 I HuntingtonlDeer Run Paving $ 1,800,000 1 S Canal Blvd Imps $ 650,000 1 Rickard Paving $ 800,000 1 Traffic Safety (annual) 1 1$ 50,000 1 $ 50,000 1 $ 50,000 1 $ 50,000 1 $ 50,000 1 Cumulative Total $ 6,600,000 $ 8,035,423 $ 8,435,423 $ 8,835,423 $ 9,235,423 $ 9,635,423 Cashflow (Existing Resources and~ssumed PIL T/SRS) Reserves plus PILT /SRS SOC Reserves/Projections Total (with PIL T/SRS) $ $ $ Current, $ 4,600,000 2,000,000 6,600,000 $ $ $ 2015 1,035,423 400,000 1,435,423 $ $ $ 2016 744,081 400,000 1,144,081 $ $ $ 2017 435,302 400,000 835,302 $ $ $ 2018 108,220 400,000 508,220 $ $ $ 2019 - 400,000 400,000 Cumulative Total $ 6,600,000 $ 8,035,423 $ 9,179,504 $ 10,014,806 $ 10,523,026 $ 10,923,026 Proposed Project FY Obligation Current Obligations 2015 2016 2017 2018 2019 $ 150,000 $ 60,000 Skyliners Road (match) $ 928,000 Tetherow Bridge (match) $ 100,000 Fall Creek Bridge (match) $ 60,000 INet Cash (no PILT/SRS) 1 $ 5,512,000 1 $ 4,447,423 1 $ 3,687,423 1 $ 2,237,423 1 $ 1,937,423 1 $ 1,487,423 1 INet Cash (with PILT/SRS) I $ 5,512,000 I $ 4,447,423 I $ 4,431,504 I $ 3,416,806 I $ 3,225,026 I $ 2,775,026 I thru FY 19 Total SOC revenue (approx): Total SOCs spent (approx): Total SOC reserve $4. OM $2.69M $1.31M EXHIBIT A TO RESOLUTION 2014-031 Deschutes County Road Department 5-year Transportation Capital Improvement Plan Program FY Obligation 2015 2016 2011 2018 2019 Skyliners Road Reconstruction (10.27% local match portion) FLAP to fund 89.73% $ 928,000 T etherow Bridge Replacement Project (10.27% local match portion) OOOT Local Bridge Program to fund 89.73% $ 100,000 $ 150,000 Fall Creek Bridge (10.27% local match portion) FLAP to fund 89.73% $ 60,000 $ 60,000 Powell Butte Highway/Neff Road-Alfalfa Mkt Road Intersection Imorovements $ 2,250,000 $ 250,000 La Pine Downtown Stormwater Improvements at Huntington RoadfThird Street $ 200,000 Burgess Road/Day Road Turn Lane Improvements $ 650,000 Huntington Road/Deer Run Paving Improvements $ 1,800,000 S Canal Boulevard (Old Bend-Redmond Hwy)/Helmholtz Way Turn Lane Improvements $ 650,000 Rickard Road Paving Improvements $ 800,000 Traffic Safety Improvements (annual) Various intersections $ 50,000 $ 50,000 $ 50,000 $ 50,000 $ 50,000 TOTAL BY YEAR $ 3,588,000 $ 1,160,000 $ 1,850,000 $ 100,000 $ 850,000 5-YearTotal CIP Investment (Capital and SOC Resources) $ 8,148,000 SDC Eligibility Total (varies by Project per CIP) $ 2,690,000