Loading...
HomeMy WebLinkAboutDocumentation_Special Meeting_Tab 03_09/27/2017 �.,,,...,..... .,. , . . ,,�:.�� ...�,,..�... . .;.., � , .:,� .,.. :..%°„> �.,�„��,>. ij%,.,..., „�,., . . ��`. � ;.9c ';"�� . �/%//���;:.5"%/�d�ii%� �i%�i>i/'��,"%/%�/%G,';;�i' ;�.G-i�i -an � ", ;i�i�%�,,,. " ��;,;.. /� ;%�j �✓i,i�i"/ � -,� . . .;i�;�; �" / �:".`y�v //� �"�'�"�, w"�� ,;�;;�m �;��;,;g,H: � ,.. ' � : s' Ji% %/� ,�'r�� ;.�'�;j ,.,// ;% ;r;i �i'/i, r;., :�„u ,,;� �x , ,;� ��y�':.,. �: %�;��/,;,,"{' ;,�:H;��,`''.. ;"-.,. r; ;��:;. �.;.i DATE: AUGUST 31,2017 TO: MICHAEL R. COUZZO,VILLAGE MANAGER FROM: CHRISTOPHER S. QUIRK,FINANCE DIRECTOR RE: RESOLUTION TO ADOPT—PROPOSED 2017-2018 BUDGET Attached please find a resolution to adopt the FY2017-2018 Proposed Budget. The proposed expenditures came in at 3.5%above the prior amended budget. 8/31/174:05 PM RESOLUTION NO. 45-17 A RESOLUTION OF THE VILLAGE COUNCIL OF THE VILLAGE OF TEQUESTA, FLORIDA, ADOPTING ITS FINAL BUDGET FOR FISCAL YEAR 2017-2018; PROVIDING THAT THE BUDGET HEREBY ADOPTED MAY BE ADJUSTED OR MODIFIED BY SUBSEQUENT RESOLUTION OF THE VILLAGE COUNCIL, OR OTHERWISE,UNDER CERTAIN CIRCUMSTANCES; PROVIDING AN EFFECTIVE DATE; AND FOR OTHER PURPOSES. WHEREAS,The Village of Tequesta has established its fiscal year to begin on October lst of each year and end on September 30th of the following year; and WHEREAS, Section 166.241(2), Florida Statutes, requires each municipality to adopt a budget each fiscal year by ordinance or resolution, unless otherwise specified in the respective municipality's Charter; and WHEREAS, the Charter of the Village of Tequesta is silent with regard to method of adoption of the budget and the Village Council desires to adopt its budget by resolution; and WHEREAS,the Village of Tequesta has held the required budget hearings in accordance with Chapter 200,Florida Statutes; and WHEREAS, having considered the estimates of revenues and expenses, it is the will and desire of the Village Council that the final budget be approved and adopted as set forth herein. NOW,THEREFORE,BE IT RESOLVED BY THE VILLAGE COUNCIL OF THE VILLAGE OF TEQUESTA,FLORIDA,THAT: Section 1: The Village Council of the Village of Tequesta, Florida, hereby adopts its budget for fiscal year 2017-2018; which budget is attached hereto as Exhibit "A" and made a part hereof as if fully set forth herein. Section 2: The 2017-2018 Budget establishes limitations on expenditures by total. Appropriations for expenditures within a fund may be increased or decreased by motion recorded in the minutes provided that the total of the appropriations of the fund is not changed. The governing body may establish procedures by which the designated budget officer may authorize certain budget amendments within a deparhnent provided that the total of the appropriations of the department is not changed. Section 3: Amendments other than those delineated in Section 2 above must be adopted by resolution. Section 4: The Village Clerk shall mail a copy of this resolution to the Palm Beach County Property Appraiser, to the Palm Beach County Tax Collector, and to the State of Florida, Department of Revenue within three (3)days after its adoption. Section 5: The Village Clerk shall, within thirty(30) days of the effective date of this resolution, certify to the State of Florida, Department of Revenue that the Village has complied with all statutory requirements in adopting the millage rate and budget. The Village Clerk shall transmit to the Department a copy of this resolution, a copy of the certification of value showing the rolled-back rate and proposed millage rates as provided to the Property Appraiser and a certified copy of the published advertisement of the final budget public hearing. Section 6: The adopted budget shall immediately be posted conspicuously on the Village of Tequesta website. Section 7: This Resolution shall take effect immediately upon its adoption by the Village Council. BUDGET SUMMARY Village of Tequesta-Fiscal Year 2077-2018 "`THE PROPOSED OPERATING BUDGET EXPENDITURES OF THE VILLAGE OF TEQUESTA ARE 3.5% MORE THAN LAST YEARS TOTAL OPERATING EXPENDITURES. General fund 6.2920 ESTIMATED REVENUES GENERAL CAPITAL CAPITAL WATER REFUSE& STORMWATER SPECIAL LAW TOTAL ALL FUND IMPROVEMENT PROJECTS UTILITY RECYCLING UTILITY ENFORCEMENT FUNDS Taxes: Millage Per$1000 Ad Valorem Taxes 6.2920 6,445,100 6,445,100 Sales and Use Taxes 1,487,300 1,487,300 Franchise Fees 460,000 460,000 Licenses and Permits 516,000 516,000 Intergovernmental Revenues 861,200 861,200 Charges for Services 1,175,950 5,316,100 484,000 375,300 7,351,350 Miscellaneous Revenues 260,700 17,000 277,700 Intragovernmental Services 577,300 577,300 Unrestricted Investment Earnings 5,500 8,500 14,000 Other Financing Sources 34,500 34,500 TOTAL SOURCES $11,789,050 $0 $0 55,376,100 $484,000 $375,300 $0 $18,024,450 Transfers In $540,100 $200,000 740,100 FundBalances/Reserves/NetAssets $837,150 $49,900 $883,450 $15,400 $340,400 2,126,300 TOTAL REVENUES,TRANSFERS 8 BALANCES $12,626,200 $590,000 $200,000 $6,259,550 $499,400 $715,700 $0 $20,890,850 EXPENDITURES General Government 2,193,250 2,193,250 Public Safety 6,847,850 6,847,850 Physical Environment 5,709,250 499,400 703,300 6,911,950 Transportation 1,597,500 590,000 2,187,500 Leisure Services 728,600 200,000 928,600 Debt Service 505,100 528,300 12,400 1,045,800 Other Financing Uses 13,800 22,000 35,800 TOTAL EXPENDITURES $11,886,100 $590,000 $200,000 $6,259,550 $499,400 $715,700 $0 $20,150,750 Transfers Out $740,100 740,100 Fund Balances/Reserves/Net Assets � TOTAL APPROPRIATED EXPENDITURES $12,626,200 $590,000 $200,000 $6,259,550 $499,400 S715,700 $0 $20,890,850 TRANSFERS,RESERVES 8 BALANCES The tentative,adopted,and/or final budgets are on file in the office of the above referenced taxing authority as a public record. at Tab One Table of Contents Tab 1 Resolution 44-17 Resolution 45-17 Fiscal Year 2017-2018 Budget Summary Tab 2 The Village of Tequesta at a Glance 01 Introductory Section 13 Property Values and Ad Valorem Taxes 23 Proposed FY2018 Budget Summaries All Funds 29 Governmental Funds 37 Proprietary Funds 41 Proposed FY2018 Budget Detail Governmental Funds 45 Proprietary Funds 83 Capital 91 Glossary 95 Tab 3 Budget Worksheet RESOLUTION NO. 44-17 A RESOLUTION OF THE VILLAGE COUNCIL OF THE VILLAGE OF TEQUESTA, FLORIDA, ADOPTING THE FINAL MILLAGE RATE FOR THE LEVYING OF AD VALOREM TAXES FOR THE VILLAGE OF TEQUESTA FOR THE FISCAL YEAR COMMENCING ON OCTOBER 1, 2017 AND ENDING ON SEPTEMBER 30, 2018; PROVIDING AN EFFECTIVE DATE; AND FOR OTHER PURPOSES. WHEREAS, the Village Council of the Village of Tequesta has determined the sum of $20,890,850.00 will be required to operate the Village during the next fiscal year; and WHEREAS, the Real Estate and Personal Property Tax Roll for the current calendar year as accepted evidences a total nonexempt valuation of $1,060,772,539.00; and WHEREAS, pursuant to the provisions of Chapter 200, Florida Statutes, the Village of Tequesta has the power to levy ad valorem taxes against real property and tangible personal property in accordance with state law; and NOW, THEREFORE, BE IT RESOLVED BY THE VILLAGE OF TEQUESTA, PALM BEACH COUNTY, FLORIDA, THAT: Section 1: The Village Council of the Village of Tequesta does hereby adopt its final millage rate of 6.2920 mills to be levied for the general fund upon all real and tangible personal property located with the boundaries of the above named taxing authority. Section 2: The final levy of 6.2920 mills represents a 5.66% increase over the rolled - back rate of 5.9551 mills. Section 3: This final millage rate of 6.2920 mills is levied to fund expenses for the fiscal year commencing October 1, 2017 and ending September 30, 2018. Section 4: This Resolution shall take effect immediately upon its adoption by the Village Council. RESOLUTION NO. 45-17 A RESOLUTION OF THE VILLAGE COUNCIL OF THE VILLAGE OF TEQUESTA, FLORIDA, ADOPTING ITS FINAL BUDGET FOR FISCAL YEAR 2017-2018; PROVIDING THAT THE BUDGET HEREBY ADOPTED MAY BE ADJUSTED OR MODIFIED BY SUBSEQUENT RESOLUTION OF THE VILLAGE COUNCIL, OR OTHERWISE, UNDER CERTAIN CIRCUMSTANCES; PROVIDING AN EFFECTIVE DATE; AND FOR OTHER PURPOSES. WHEREAS, the Village of Tequesta has established its fiscal year to begin on October I" of each year and end on September 3 01h of the following year; and WHEREAS, Section 166.241(2), Florida Statutes, requires each municipality to adopt a budget each fiscal year by ordinance or resolution, unless otherwise specified in the respective municipality's charter; and, WHEREAS, the Charter of the Village of Tequesta is silent with regard to method of adoption of the budget and the Village Council desires to adopt its budget by resolution; and, WHEREAS, the Village of Tequesta has held the required budget hearings in accordance with Chapter 200, Florida Statutes; and, WHEREAS, having considered the estimates of revenues and expenses, it is the will and desire of the Village Council that the final budget be approved and adopted as set forth herein. NOW, THEREFORE, BE IT RESOLVED BY THE VILLAGE OF TEQUESTA, PALM BEACH COUNTY, FLORIDA, THAT: Section 1: The Village Council of the Village of Tequesta, Florida, hereby adopts its budget for fiscal year 2017-2018; which budget is attached hereto as Exhibit "A" and made a part hereof as if fully set forth herein. Section 2: The 2017-2018 Budget establishes limitations on expenditures by total. Appropriations for expenditures within a fund may be increased or decreased by motion recorded in the minutes provided that the total of the appropriations of the fund is not changed. The governing body may establish procedures by which the designated budget officer may authorize certain budget amendments within a department provided that the total of the appropriations of the department is not changed. Section 3: Amendments other than those delineated in Section 2 above must be adopted by resolution. Section 4: The Village Clerk shall mail a copy of this resolution to the Palm Beach County Property Appraiser, to the Palm Beach County Tax Collector, and to the State of Florida, Department of Revenue within (3) days after its adoption. Section 5: The Village Clerk shall, within (30) days of the effective date of this resolution, certify to the State of Florida, Department of Revenue that the Village has complied with all statutory requirements in adopting the millage rate and budget. The Village Clerk shall transmit to the Department a copy of this resolution, a copy of the certification of value showing the rolled -back rate and proposed millage rates as provided to the Property Appraiser and a certified copy of the published advertisement of the final budget public hearing. Section 6: The adopted budget shall immediately be posted conspicuously on the Village of Tequesta website. -Section 7: This Resolution shall take effect immediately upon its adoption by the Village Council. BUDGET SUMMARY Village of Tequesta - Fiscal Year 2017-2018 *THE PROPOSED OPERATING BUDGET EXPENDITURES OF THE VILLAGE OF TEQUESTA ARE 3.5% MORE THAN LAST YEARS TOTAL OPERATING EXPENDITURES. General fund 6.2920 GENERAL CAPITAL CAPITAL WATER REFUSE & STORMWATER SPECIAL LAW TOTAL ALL ESTIMATED REVENUES FUND IMPROVEMENT PROJECTS UTILITY RECYCLING UTILITY ENFORCEMENT FUNDS Taxes: Millage Per $1000 Ad Valorem Taxes 6.2920 6,"5,100 6,445.100 Sales and Use Taxes 1,487,300 1,487,300 Franchise Fees 460,000 460,000 Licenses and Permits 516,000 516,000 Intergovernmental Revenues 861,200 861,200 Charges for Services 1.175,950 5,316,100 484,000 375,300 7,351,350 Miscellaneous Revenues 260,700 17,000 277,700 Intragovernmental Services 577,300 577,300 Unrestricted Investment Earnings 5,600 8.500 14,000 Other Financing Sources 34,500 34,500 TOTAL SOURCES $11,789,050 $0 $0 $5,376,100 $484,000 $376,300 $0 $18,024,450 Transfers In $540,100 $200,000 740,100 Fund BalancestReserves/Net As;ets $837,150 $49,900 $883,450 $15,400 $340,400 2,126,300 TOTAL REVENUES, TRANSFERS & BALANCES $12,626,200 $590,000 $200,000 $6,259,550 $499,400 $715,700 $0 $20,890,850 EXPENDITURES General Government 2,193,250 2,193,250 Public Safety 6,847.850 6,847,850 Physical Environment 5,709,250 499,400 703,300 6,911,950 Transportation 1,597,500 590,000 2,187,500 Leisure Services 728,600 200,000 928,600 Debt Service 505,100 528.300 12,400 1,045,800 Other Financing Uses 13,800 22,000 35,800 TOTAL EXPENDITURES $11,886,100 $690,000 $200,000 $6,259,560 $499,400 $715,700 $0 $20,150,7SO Transfers Out $740,100 740,100 Fund Balances/Reserves/Net Assets 0 TOTAL APPROPRIATED EXPENDITURES $12,626,200 $590,000 $200,000 $6,259,550 $499,400 $715,700 $0 $20,890,850 TRANSFERS,RESERVES & BALANCES The tentative, adopted, and / or final budgets are on file in the office of the above referenced taxing authority as a public record. Tab Two The Village of Tequesta at a Glance Ill The Village of Tequesta Proposed Budget 1 The Village of Tequesta's Location in Florida Incorporated in the State of Florida in 1957 and located in the northeast corner of Palm Beach County, the Village of Tequesta has been a picturesque, family -orientated, community for more than fifty years. It is nearly two square miles, has six parks and wonderful residents who make it a pleasure to live and work here. Copyright 200S digital •topo-mapsxom [21 Your Village Council The Council consists of five Council Members. Two (2) Council Members are elected in odd years and three (3) Council Members are elected in even years. The Village Council appoints a Mayor and a Vice Mayor at the first meeting subsequent to the date of the annual election of Village Council Members. From Left to Right: Councilman Tom Paterno, Vice -Mayor Vince Arena, Mayor Abby Brennan, Councilman Frank D'Ambra, and Councilman Steve Okun. AWIIA 4_ b jWKWWW Go Contact Us You can contact the Village Council using the Village's website, www.teguesta.org, or you can use their individual e-mail addresses. Mayor Abby Brennan abrennan@teguesta.org Vice -Mayor Vince Arena varena@tequesta.org Councilman Frank D'Ambra fdambra@teguesta.org Councilman Steve Okun sokun@tequesta.org Councilman Tom Paterno tpaterno@teguesta.org To contact the Village Council by phone please see page 46 of this document for a complete listing of phone numbers or you can contact the Administration Office at 561-768-0460. [3] The Village of Tequesta Proposed Budget 1 www.Tequesta.org In addition to contacting the Village Council, did you know that you can use the Village's website to: • Keep up to date with the latest news affecting the Village • Access electronic notifications • Access emergency alerts • Access hurricane information • Access public records • View dates and times of upcoming meetings and workshops • View the Village's Code of Ordinances • View Council Procedures • View Council Member bios • View annual Budgets and Comprehensive Annual Financial Reports (CAFRs) • View the Village's Business Directory • View current bid requests and requests for proposals (RFPs) • View the Village's newsletter, Smoke Signals • Apply for a business license • Apply for a job • Apply for a permit • Contact Council • Contact Staff • Pay your water bill • Report a concern • Reserve a park or a pavilion • Sign up to receive electronic notifications • Submit "Fix it" forms • Submit records requests • Volunteer [4] Organization Chart 151 Demographic and Economic Statistics Incorporated June 4, 1957 Village Council -Manager Form of Government �& 2 Council members are elected in odd years, 3 Council Members are elected in even years W b �r The Village of Tequesta held its first election on March 15, 1960 61 Number of voters that voted at the March 15, 1960 election: 6 With 5,875 residents, 0.03% of the population of the State of Florida lives in Tequesta (est. US Census Bureau 2014) ..... 1 'i'•"" There are 2,519 households in The Village of Tequesta with an average household size of 2.28 (est. US Census Bureau 2014) The medium value of owner -occupied housing units from 2010-2014 is $287,400 (est. US Census Bureau 2014) QttThe owner -occupied housing unit rate from 2010-2014 is $79.6% (est. US Census Bureau 2014) The median household income in Tequesta, 2010-2014 was $54,787 (est. US Census Bureau 2014) [61 Demographic and Economic Statistics ar Tequesta's racial/ethnic groups are White (91.1%) followed by Hispanic (6.1%), Asian (1.3%), African American (0.6%) and American Indian and Alaska Native (0.1%) (est. US Census Bureau 2010) 4,813 Registered Voters in Fiscal Year 2016 �- • 101 Full Time Employees Budgeted in Fiscal Year 2018 8 + 6 Your area is about 2 square miles 0 4kThe length of your streets = Approximately 24 lane miles 1 ,g aa�a ., goo 0 C a� via. You have one library SCNOO� M p m Your school district is Palm Beach County [71 The Village of Tequesta Proposed Budget 1 Boards and Committees Planning & Zoning Board • The Planning and Zoning Board meets as needed on the Yd Thursday of the month to consider site plan reviews and related project items. • Members serve three (3) year terms and alternates serve two (2) year terms. General Employees' Pension Board • The General Employees' Pension Board meets on the first Monday of February, May, August and November of each year. • The primary responsibilities of the Board of Trustees are to construe the provisions of the retirement system and to protect the funds and assets of the plan. Public Safety Employees' Pension Board • The Public Safety Employees' Pension Board meets on the first Monday of February, May, August and November of each year. • The primary responsibilities of the Board of Trustees are to construe the provisions of the retirement system and to protect the funds and assets of the plan. Public Safety A006 BUILDING DEPARTMENT 4;_�'. Number of Building Permits Issued in Fiscal Year 2016: 1,583 Number of Building Inspections Conducted in Fiscal Year 2016: 2,472 FIRE PROTECTION Number of Stations in Fiscal Year 2016: 1 Number of Full Time, Certified Firefighters in Fiscal Year 2016: 22 Number of Ambulances in Fiscal Year 2016: 2 Number of Pumpers in Fiscal Year 2016: 3 Number of Emergency Responses in Fiscal Year 2016: 1,409 Number of Emergency Transports in Fiscal Year 2016: 817 Number of Fires Extinguished/Alarms in FY2016: 254 Number of Inspections in FY2016: 654 Potim POLICE PROTECTION Number of Stations in Fiscal Year 2016: 1 Number of Full Time, Certified Officers in Fiscal Year 2016: 18 Number of Full Time, Certified Dispatchers in Fiscal Year 2016: 4 Number of Patrol Units in Fiscal Year 2016: 12 Number of Calls Received in Fiscal Year 2016: 3,109 Number of Arrests in Fiscal Year 2016: 94 Number of Incident Numbers Issued in Fiscal Year 2016: 345 REFUSE & RECYCLING Services franchised to Waste Management • Residential solid waste, yard waste and recycling services • Bi-weekly Pick -Up 191 Recreation You have 6 Parks covering approximately 62 acres: • Constitution Park • Linear Park • Paradise Park • Remembrance Park • Tequesta Park • Village Green Park E..'\,veDts Tequesta Fest Holiday in the Park Easter Egg Hunt Community Yard Sales Food Truck Pow -Wows Movies in the Park ® `� V 2 Playgrounds 3 Baseball/Softball Diamonds 1 Skatepark a... 1 Dog Park Summer and Winter Camps Various Recreation Programs [10] Utilities WATER UTILITY Number of Connections in Fiscal Year 2016: 5,055 Miles of Water Mains in Fiscal Year 2016: 77 Number of Fire Hydrants in Fiscal Year 2016: 456 Number of Water Treatment Plants in Fiscal Year 2016: 1 Average Daily Water Production in Fiscal Year 2016: 2.588 MGD Number of Storage Tanks in Fiscal Year 2016: 2 Storage Capacity in Fiscal Year 2016: 2.75 MG Number of Surficial Wells in Fiscal Year 2016: 10 Number of Floridian Aquifer Wells in Fiscal Year 2016: 4 STORM WATER Miles of Storm Water Pipe/Culvert in Fiscal Year 2016: 10.1 Number of Inlets in Fiscal Year 2016: 511 Miles of Ditches and Swales in Fiscal Year 2016: 12.6 Feet of Exfiltration Trenches in Fiscal Year 2016: 528 Number of Dry Retention Ponds in Fiscal Year 2016: 3 Number of Major Storm Water Outfalls in Fiscal Year 2016: 6 Number of Weir Structures in Fiscal Year 2016: 3 Miles of Street Sweeping in Fiscal Year 2016: 108 ELECTRICITY Electricity provided by Florida Power and Light SANITARY SEWAGE Sanitary Sewage provided by Loxahatchee River Environmental Control District = pUMA�2G� o9���sTowa��Q�P The Village of Tequesta Proposed Budget 1 This Page Intentionally Left Blank [121 Introductory Section [131 Fund Structure The basic building block of governmental finance is the "fund". Generally accepted accounting principles (GAAP) provide the following definition of a fund: A fund is defined as a fiscal and accounting entity with a self -balancing set of accounts recording cash and other financial resources, together with all related liabilities and residual equities or balances, and changes therein, which are segregated for the purpose of carrying on specific activities or attaining certain objectives in accordance with special regulations, restrictions, or limitations. The Village, like other state and local governments, uses fund accounting to ensure and demonstrate compliance with finance -related legal requirements. All of the funds of The Village can be divided into three categories: governmental funds, proprietary funds and fiduciary funds. Operations of each fund are accounted for with a separate set of self -balancing accounts that comprise its assets, liabilities, fund equity, revenues and expenditures or expenses as appropriate. Village resources are allocated to and accounted for in individual funds based upon the purposes for which they are to be spent and the means by which spending activities are controlled. Governmental Accounting Standards state that an entity should establish only the minimum number of funds consistent with legal and operating requirements. This is because the use of unnecessary funds for financial reporting purposes can result in inflexibility, undue complexity and inefficient financial administration. Any budgeted fund that represents more than 10% of the total appropriated revenues or expenditures is considered a major fund. All of The Village's governmental and proprietary funds' budgets are appropriated and legally adopted by Resolution of the Village Council. The fiduciary funds are excluded as The Village does not control the resources that are managed in a trustee or fiduciary capacity. The breakdown of the Village's fund structure is as follows: Governmental Fund Types The Village reports the following major governmental fund: General Fund — This is The Village's primary operating fund. It accounts for all financial resources of the general government, except those required to be accounted for in another fund. The Village also reports the following non -major governmental funds: Capital Improvement Fund —This fund is used to account for the maintenance and upkeep of The Village's genera infrastructure (such as roads, bridges and sidewalks) and streetscape beautification projects. [14] Fund Structure Capital Proiects Fund — This fund accounts for the acquisition or construction of various major capital projects. Special Law Enforcement Fund — This fund accounts for forfeitures received by the Police Department. The forfeitures must be expended for certain law enforcement purposes as prescribed by Florida State Statue Chapter 932.704. Proprietary Fund Types The Village reports the following major proprietary fund: Water Utility Fund —This fund is used to account for the activities of the water operations. The Village also reports the following non -major proprietary funds: Refuse and Recycling Fund — This fund is used to account for the fees charged for solid waste and recyclable material collection. Storm Water Utility Fund — This fund accounts for the construction and maintenance of The Village's storm water system. Fiduciary Fund Types The Village reports the following fiduciary funds: Firefighters' Pension Trust Fund —This fund accounts for the accumulation of resources and for contributions and benefits of the firefighter employees of the Village. General Employees' Pension Trust Fund — This fund accounts for the accumulation of resources and for contributions and benefits of the general employees of the Village. Police Officers' Pension Trust Fund —This fund accounts for the accumulation of resources and for contributions and benefits of the police employees of The Village. [15] Budeet Basis and Process Budget Basis The term "basis of accounting" is used to describe when revenues and expenditures or expenses are recognized in the accounts and reported on the financial statements. In accordance with generally accepted accounting principles (GAAP), governmental funds are required to use the modified accrual basis of accounting; revenues are recorded when they become earned (or levied for the period), measurable and available and expenditures are recorded when the related fund liability is incurred. Proprietary and fiduciary funds are required to use the accrual basis of accounting; revenues are recorded when they are earned and expenses in the period in which costs are deemed to have expired or been consumed. The Village's Budget is adopted on a basis substantially consistent with GAAP with the following major exceptions: • Compensated absences liabilities that are expected to be liquidated with expendable available financial resources are accrued as earned by employees (GAAP), as opposed to being expended when paid (budget). • Principle payments on long-term debt in the proprietary funds are applied to the outstanding liability on a GAAP basis, as opposed to being expended on a budget basis. • Capital outlay within the proprietary funds is recorded as an asset on a GAAP basis and expended on a budget basis. • Budgeted depreciation takes into consideration the effects of both capital outlay and the pay down on principle of long term debt in total in the proprietary funds. Budget Process Budgets are vital tools for establishing public policy and maintaining control over the management of public resources. The Village of Tequesta's Village Council determines, by its approval, how much and what types of financial resources shall be raised and how those financial resources shall be spent. This approval demonstrates the principle that taxes can only be raised or expended with the approval of the people's elected representatives. The Village of Tequesta's budget process is driven by the Village of Tequesta's Charter and Florida Statute Chapter 200.065 known as TRIM (Truth in Millage). The Village Charter requires that the Village Council adopt budgets and the TRIM Act requires the disclosure of information from the taxing authorities to the taxpayers. The TRIM Act will only allow a taxing authority to receive the same dollar amount of property tax in each subsequent year without advertising a tax increase. If property values increase, exclusive of new construction, the taxing authority is required to reduce, or roll -back, the millage rate in order to receive the same tax dollars as the previous year. Any millage in excess of the rolled -back millage is considered a tax increase and must be publicly advertised and publicly announced at two public hearings prior to the adoption of the budget. The budget for the fiscal year is implemented October 1" through September 30"'. As the original budgeted appropriations are adopted by Resolution, all changes to the total appropriations of a fund must also be adopted by Resolution. The Village Council has established procedures by which a designated budget officer may authorize certain budget amendments within a department provided that the total of the appropriations of the department is not changed. At this time the Finance Director has been designated as the Budget Officer. [16] The Village of Tequesta Proposed Budget Annual Budget Process Budget Preparation (February) -Village Manager Approves Budget Calendar -Budget Calendar is Distributed to Departments -Budget Preparation Manuals are Distributed to Departments Adopted Budeet (September) -First Public Hearing Adopting a Tentative Millage Rate and Budget -Second Public Hearing Adopting a Final Millage Rate and Budget Approved Budget (June -August) -Village Manager Submits Budget to the Village Council -Village Council Workshops -Village Council Approval [17] Budget Requests (February -May) -Departments Prepare Budget Estimates and Requests and Submits them to the Finance Dept. -CIP is Reviewed and Updated -Departments Meet with the Finance Department -Finance Department Finalizes Budget Worksheet Proposed Budget (May -July) -Finance Department Submits Budget Worksheet to Village Manager -Departments Meet with the Village Manager -Village Manager Finalizes Budget Worksheet This Page Intentionally Left Blank [18] Fund Balance ® Fund balance is the fund equity as a result of the difference of revenues to expenditures. Fund balance increases when revenues exceed expenditures, while fund balance decreases when expenditures exceed revenues. ® Fund balance of governmental funds is reported in various categories based on the nature of any limitations requiring the use of resources for specific purposes. The categories are as follows: ➢ Nonspendable funds are not in a spendable form or must be maintained intact. Examples of theis are inventories, prepaid expenditures, and loans to various agencies. ➢ Restricted funds can only be used for the specific purposes as stipulated by (1) external creditors, grantors, or laws of other governments (2) constitutionally, or through enabling legislation. ➢ Committed funds are those constrained by limitations that the government imposes on itself at the highest level of decision -making authority. Commitments may be changed or lifted only by the same formal action that imposed the original constraint. ➢ Assigned funds are intended to be used by the government for a specific purpose. This intention can be expressed by the governing body, an official, or a body to which the governing body delegates the authority. ➢ Unassigned funds are the residual fund balance classification for the general fund after deducting non -spendable, restricted, committed and assigned fund balance and are technically available for any purpose. ® The Village Council has adopted a financial policy to maintain a minimum level of unassigned fund balance in the general fund. The target level is set at two months of general fund operating expenditures. This amount is intended to provide fiscal stability when economic downturns and other unexpected events occur. If fund balance falls below the minimum target level because it has been used, essentially as a "revenue" source, as dictated by current circumstances, the policy provides for actions to replenish the amount to the minimum target level. Generally, replenishment is to occur within a three-year period. [19] Some Questions that You May Have What is the purpose of the Village budget? Budgets are vital tools for establishing policy and maintaining control over the management of public resources - like your tax dollars. The Village of Tequesta's Village Council determines how much and what types of financial resources shall be raised and how they will be spent. Their required approval of the budget demonstrates the principle that taxes can only be raised or expended with the approval of the people's elected representatives. How is the budget prepared? Departments meet with and submit their budgetary needs for the coming year to the Finance Department, which enters the information into a draft document which is sent to the Village Manager for review. The Village Manager reviews these requests, makes changes and submits the budget document to the Village Council. The Village Council holds workshops for discussion on the budget and two public hearings to obtain citizen input prior to adoption. Finally, the Village Council, in compliance with the Truth-in-Millage (TRIM) Act, establishes the property tax rate (millage) required to fund the budget and adopts the final budget by resolution. Who established the rules by which the Village of Tequesta adopts its annual budget and property tax rate? The property tax rate and budget adoption process are governed by both the Village Charter and State Statutes. What is the property tax rate? The property tax rate is sometimes called the "millage rate". When the Village adopts its annual budget, it determines the tax rate that must be applied on property in order to generate the necessary revenue in addition to all other sources that are available. The proposed, total property tax rate for 2017 on property in the Village of Tequesta is 20.5131 mills. How much of that gets paid to the Village? Only 6.2920 mills (31%) of the proposed, total property tax bill collected in Fiscal Year 2018 will be paid to the Village. The remainder goes to other taxing agencies What is the difference between ad valorem tax and property tax? There is no difference; they are different names for the same tax. What is an Operating Budget? An Operating Budget is an annual financial plan for recurring expenditures, such as salaries, utilities, supplies, insurance, and equipment repairs. What is a Capital Budget? A Capital Budget is an annual financial plan for the construction or improvement of fixed assets such as buildings, street, sewers, and vehicles and equipment. [20] Some Questions that You May Have What is the Village's fiscal year? A fiscal year is a 12-month operating cycle that comprises a budget and financial reporting period. The Village's fiscal year begins on October 15i and ends on September 301h What is a budget appropriation? A budget appropriation is a specific amount of money that has been approved by the Village Council for use in a particular manner. Where does the Village obtain its revenues? All monies are ultimately derived from citizens in the form of local, state and federal taxes; fees, fines and licenses; and payments for municipal services such as recreation fees and utility services. What are utility taxes and franchise fees and why does the Village of Tequesta levy them? A utility tax is a tax levied on utility bills, to be paid by the user of the utility services. It is similar to a sales tax, except it only applies to utility bills and not to any other purchases. A franchise fee is a charge levied by the Village on a utility to operate within the Village and to use the Village rights -of -way and other properties for locating pipes, wire, etc. The State allows utilities to pass on the franchise fee directly to customers on their bills. How does the Village calculate Ad Valorem taxes? An ad valorem tax is based upon the assessed value of property and expressed in mills - one mill is 1/1000 of a dollar or $1 per $1,000 of taxable value. The state constitution provides municipalities the authority to levy Ad Valorem taxes and sets a cap of ten mills for all municipal purposes. What is a Homestead Exemption? Every person who owns and resides on real property in Florida on January 1 and makes the property their permanent residence is eligible to receive a homestead exemption of $25,000. This exemption applies to all property taxes. There is also an additional $25,000 homestead exemption available to properties with an assessed value greater than $50,000; however, this additional exemption applies only to non -school taxes. What is the 3% Cap? By Florida's Constitution, the 3% cap, also known as Save Our Homes, limits the annual increase in the assessed value of a qualified homesteaded property to the lesser of 3% or the percentage change in the prior year's National Consumer Price Index. What is Portability? Portability went into effect on January 1, 2008. Portability relates to Florida's Save Our Homes 3% cap on a homesteaded property's assessed value. With the Portability benefit, you can transfer up to $500,000 of your actual assessment cap savings to your new property. Keep in mind Portability applies only to homesteaded property. [21] This Page Intentionally Left Blank [22] Property Values and Ad Valorem Taxes [23] The Village of Tequesta Proposed Budget 1 2017 Property Value Highlights ® The gross taxable value of property for operating purposes rose by $58,547,553 or 5.85% since the previous year. jI.,A New construction totaled $1,854,723 Existing property values increased by $56,692,830 or 5.66% ® This resulted in total property values (for operating purposes) of $1,060,772,539 in 2017. This is the sixth consecutive year that values have increased. 1,200,000,000 1,000,000,000 800,000,000 600,000,000 400,000,000 200,000,000 Property Value History FY2014 FY2015 FY2016 FY2017 FY2018 m Existing Property Values Sources: 2017 Certification of Taxable Value Form DR-420 and 2014-2016 Certification of Final Taxable Value Forms DR-422. [24] This Year's Ad Valorem Tax Revenue This year's ad valorem taxes budget is calculated as follows: $1,059,844,638 2017 Estimate of Taxable Value x 0.006292 Proposed Fiscal Year 2018 Millage Rate $6,668,542 $6,668,542 Fiscal Year 2018 Estimated Ad Valorem Taxes 96.20% Fiscal Year 2018 Anticipated Collection Rate $6,415,138 $6,415,100 Fiscal Year 2018 Budgeted Ad Valorem Taxes 30,000.00 Fiscal Year 2018 Budgeted Delinquent Ad Valorem Taxes $6,445,100 Total Fiscal Year 2018 Budgeted Ad Valorem Taxes 7,000,000 6,000,000 5,000,000 4,000,000 3,000,000 2,000,000 1,000,000 Budgeted Ad Valorem Tax History FY2014 FY2015 FY2016 FY2017 FY2018 of Current Year Delinquent [25] Components of Your Total Tax Bill Fiscal Year 2016/2017 Fiscal Year 2017/2018 Tax Bill at Tax Bill at $300,000 Proposed $300,000 % FY 16/17 Taxable FY 17/18 Taxable Millage Value Millage Value Increase Ad Valorem Taxes The Village of Tequesta 6.292 $1,573 6.292 $1,573 0.00% Palm Beach County Operating 4.7815 $1,195 4.7815 $1,195 0.00% Palm Beach County Debt 0.1327 $33 0.1208 $30 -8.97% Palm Beach County Library Oper. 0.5491 $137 0.5491 $137 0.00% Palm Beach County Library Debt 0.0442 $11 0.04 $10 -9.50% School Board -Local 2.498 $687 2.498 $687 0.00% School Board -State 4.572 $1,257 4.271 $1,175 -6.58% S.F.W.M.D. Operating 0.1359 $34 0.1275 $32 -6.18% S.F.W.M.D. Okeechobee Basin 0.1477 $37 0.1384 $35 -6.30% S.F.W.M.D. Everglades Constr. 0.0471 $12 0.0441 $11 -6.37% Children's Services Council 0.6833 $171 0.659 $165 -3.56% Florida Inlet Navigational Dist. 0.032 $8 0.032 $8 0.00% Health Care District 0.9743 $244 0.8508 $213 -12.68% Jupiter Inlet District 0.1216 $30 0.1089 $27 -10.44% Totals: 21.0114 $ 5,430 20.5131 $ 5,298 -2.43% Non -Ad Valorem Assessments Solid Waste Authority $ 170 $ 174 2.35% Tequesta Refuse & Recycling $ 1S8 $ 158 0.19% Tequesta Stormwater* $ 90 $ 99 10.00% Totals: $ 418 $ 43111 3.18% *Storm water non -ad valorem rates vary as they are based on the impermeable surface area of property. *Calculated using the $50,000.00 Homestead Exemption except for School Boards which were calculated using the $25,000.00 Homestead Exemption. Proposed FY2O17 Millage Rates by Taxing Authority f-. [261 u School Board v Village of Tequesta u Palm Beach County o Other Taxing Authorities The Village of Tequesta Proposed Budget 1 Millage Rate History Last Ten Fiscal Years Fiscal Year Ending Village of Tequesta Total of Other Taxing Total September 30, Millage Rate Authorities Millage Rates Millage Rates 2009 5.7671 14.1162 19.8833 2010 5.7671 15.7149 21.482 2011 5.7671 16.4482 22.2153 2012 5.7671 16.0649 21.832 2013 5.7671 15.6347 21.4018 2014 6.0500 15.3583 21.4083 2015 6.2920 15.2993 21.5913 2016 6.2920 15.2572 21.5492 2017 6.2920 14.7194 21.0114 2018* 6.2920 14.2211 20.5131 25 20 15 10 5 0 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018* M The Village of Tequesta o Other Taxing Authorities Combined *Proposed Millage Rates Source: Palm Beach County Property Appraiser [27] W 1,100 C 0 g 1,000 900 800 700 600 500 400 7 0 6 5 4 3 2 Gross Taxable Value Last 10 Fiscal Years 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018* Total Taxes Levied Last 10 Fiscal Years 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018* *Data charted in purple on the graphs above was obtained from the DR-420. The other data was obtained from the DR-422. [281 The Village of Tequesta Proposed Budget 1 S Proposed Fiscal Year 2018 Budget Summary - All Funds *The fiduciary funds are excluded as The Village does not control the resources that are managed in a trustee or fiduciary capacity. [291 Proposed FY2018 Budget - A11 Funds by Fund Type Governmental Funds General Fund $12,626,200 Capital Improvement $590,000 Capital Projects $200,000 Special Law Enf. $0 Total Governmental Funds: $13,416,200 Proprietary Funds Water Utility $6,259,550 Refuse & Recycling $499,400 Storm Water $715,700 Total Proprietary Funds: $7,474,650 25 0 20 15 10 5 0 Total Budget by Fund Type: Fiscal Years 2016-2018 FY2016 Actual FY2017 Estimated FY2018 Proposed [301 v Proprietary Funds M Governmental Funds Where the Money Comes From - All Funds - Revenues llrho, Roomy— Transfer 4% Intergovernmental Revenues 4% Sales & Use Tax( 7% Appropriate Balanc( 10% Charges for Services $ 7,351,350 Ad Valorem Taxes $ 6,445,100 Appropriate Fund Balance $ 2,126,300 Sales & Use Taxes $ 1,487,300 Intergovernmental Revenues $ 861,200 Transfers In $ 740,100 Other Revenues $ 1,879,500 Total Revenues: $ 20,890,850 Where the Money Goes - All Funds - Expenditures Other Expenditures 8% Debt Service S% Transportation 10% General Governmei 11% Physical Environment $ 6,911,950 Public Safety $ 6,847,850 General Government $ 2,193,250 Transportation $ 2,187,500 Debt Service $ 1,045,800 Other Expenditures/Expenses $ 1,704,500 Total Expenditures: $ 20,890,850 [311 Budget Summary - All Funds General Capital Capital Fund Improvement Projects REVENUES Ad Valorem Taxes 6,445,100 Sales and Use Taxes 1,487,300 Franchise Fees 460,000 Licenses and Permits 516,000 Intergovernmental Revenues 861,200 Charges for Services 1,175, 950 Miscellaneous Revenues 260,700 Int ragovern mental Services 577,300 Unrestricted Investment Earnings 5,500 Other Financing Sources TOTAL REVENUES $11,789,050 $0 $0 Transfers In $540,100 $200,000 Fund Balances/Reserves/Net Assets $837,150 $49,900 TOTAL REVENUES, TRANSFERS & BALANCES $12,626,200 $590,000 $200,000 EXPENDITURES General Government 2,193,250 Public Safety 6,847,850 Physical Environment Transportation 1,597,500 590,000 Leisure Ser\nces 728,600 200,000 Debt Service 505,100 Other Financing Uses 13,800 TOTAL EXPENDITURES $11,886,100 $590,000 $200,000 Transfers Out $740,100 Fund Balances/Reserves/Net Assets TOTAL APPROPRIATED EXPENDITURES TRANSFERS, RESERVES & BALANCES $12,626,200 $590,000 $200,000 [32] Budget Summary - A11 Funds Water Refuse & Stormwater Special Law Utility Recycling Utility Enforcement 5,316,100 17,000 8,500 34,500 484,000 375,300 Tota I 6,445,100 1,487,300 460,000 516,000 861,200 7,351,350 277,700 577,300 14,000 34,500 $5,376,100 $484,000 $375,300 $0 $18,024,450 740,100 $883,450 $15,400 $340,400 2,126,300 $6,259,550 $499,400 $715,700 $0 $20,890,850 2,193, 250 6,847,850 5,709,250 499,400 703,300 6,911,950 2,187, 500 928,600 528,300 12,400 1,045,800 22,000 35,800 $6,259,550 $499,400 $715,700 $0 $20,150,750 740,100 $6,259,550 $499,400 $715,700 $0 $20,890,850 [33] Proposed FY2018 Expenditure Appropriations by Department All Funds The Village has a total of twenty-two (23) funded departments in the Proposed Fiscal Year 2018 Budget. Detailed information on each Department is presented in the Department Detail Section of this document beginning on page 46. Below is a summary of Proposed Fiscal Year 2018 department appropriations for both Governmental and Proprietary Funds and total full-time employees. Proposed Fiscal Year 2018 Budget Governmental Proprietary Total Full Time Dept. DEPARTMENT BUDGETS Funds Funds Funds Employees 100 Village Council $58,050 $0 $58,050 0 110 Village Manager $236,250 $0 $236,250 1.5 111 Human Resources $315,300 $0 $315,300 2.25 120 Village Clerk $314,050 $0 $314,050 2.75 130 Finance $419,550 $0 $419,550 3.5 140 Legal $160,000 $0 $160,000 0 150 Community Development $191,150 $0 $191,150 0 160 General Government $309,200 $0 $309,200 0 161 I.T. $189,700 $0 $189,700 1.8 175 Police $3,150,300 $0 $3,150,300 25 180 Building $453,200 $0 $453,200 4 192 Fire $3,244,350 $0 $3,244,350 24 210 Public Works $2,187,500 $0 $2,187,500 9.1 231 Leisure Services $928,600 $0 $928,600 3 241 Water Administration $0 $1,089,100 $1,089,100 2.1 242 Water Production $0 $1,990,000 $1,990,000 10.8 243 Water Distribution $0 $902,450 $902,450 9.5 245 Refuse & Recycling $0 $499,400 $499,400 0 250 Storm Water $0 $313,300 $313,300 1.7 411 Renewal & Replacement $0 $1,637,300 $1,637,300 0 700 Debt Service $505,100 $540,700 $1,045,800 0 900 Interfund Transfers $740,100 $0 $740,100 0 950 Other Financing Sources & Uses $13,800 $502,400 $516,200 0 $13,416,200 $7,474,650 $20,890,850 101.0 [341 The Village of Tequesta Proposed Budget 1 Proposed FY2018 Expenditure Appropriations by Department All Funds Fire Police Public Works Water Production Renewal & Replacement Water Administration Debt Service Leisure Services Water Distribution Interfund Transfers Other Financing Sources & Uses Refuse & Recycling Building Finance Human Resources Village Clerk Storm Water General Government Village Manager Community Development I.T. Legal Village Council Millions 0.0 0.5 1.0 1.5 2.0 [351 2.5 3.0 3.5 This Page Intentionally Left Blank [361 The Village of Tequesta Proposed Budget 1 Proposed Fiscal Year 2018 Budget Summary - Governmental Funds [371 Proposed FY2018 Budget - Governmental Funds Governmental Funds General Fund Capital Improvement Capital Projects Special Law Enf. N 14 C O_ = 12 10 8 6 4 2 0 $12,626,200 $590,000 $200,000 Cap. Proj. Fund $0 2% Cap. Imp. Fund 4% Total Budget by Fund: Fiscal Years 2016-2018 FY2016 Actual FY2017 Estimated FY2018 Proposed [381 u Capital Projects o Capital Improvement td General Government Where the Money Comes From - Governmental Funds - Revenues Intergovernmental Revenues Appropriate Fund 6%---- Balance 7% Charges for Services 9% Sales & Use Taxes 11% Other Revenues 19% Ad Valorem Taxes $ 6,445,100 Sales & Use Taxes $ 1,487,300 Charges for Services $ 1,175,950 Appropriate Fund Balance $ 887,050 Intergovernmental Revenues $ 861,200 Other Revenues $ 2,559,600 Total Revenues: $ 13,416,200 Where the Money Goes - Governmental Funds - Expenditures Transportation _ i —� Leisure Services General Government 16% Transfers Out 6% xpenditures 4% Public Safety $ 6,847,850 General Government $ 2,193,250 Transportation $ 2,187,500 Leisure Services $ 928,600 Transfers Out $ 740,100 Other Expenditures/Expenses $ 518,900 Total Expenditures: $ 13,416,200 [391 Proposed FY2018 Expenditure Appropriations by Department Governmental Funds Governmental Full Time Dept. DEPARTMENT BUDGETS Funds Employees 100 Village Council $58,050 0 110 Village Manager $236,250 1.5 111 Human Resources $315,300 2.25 120 Village Clerk $314,050 2.75 130 Finance $419,550 3.5 140 Legal $160,000 0 150 Community Development $191,150 0 160 General Government $309,200 0 161 I.T. $189,700 1.8 175 Police $3,150,300 25 180 Building $453,200 4 192 Fire $3,244,350 24 210 Public Works $2,187,500 9.1 231 Leisure Services $928,600 3 700 Debt Service $505,100 0 900 Interfund Transfers $740,100 0 950 Other Financing Sources & Uses $13,800 0 $13,416,200 76.9 Fire Police Public Works Interfund Transfers Leisure Services Debt Service Building Finance Human Resources Village Clerk General Government Village Manager Community Development Legal I.T. Village Council Other Financing Sources Millions 0.0 0.5 1.0 1.5 2.0 2.5 3.0 I i i i LL I [10] 3.5 The Village of Tequesta Proposed Budget 1 Proposed Fiscal Year 2018 Budget Summary - Proprietary Funds [411 The Village of Tequesta Proposed Budget 1 Proposed FY2018 Budget - Proprietary Funds Proprietary Funds Water Utility $6,259,550 Refuse & Recycling $499,400 Storm Water Utility $715,700 c 9 0 8 7 6 5 4 3 2 1 0 Refuse & Recycling Storm 7% Water Utility9%I \ Total Budget by Fund: Fiscal Years 2016-2018 FY2016 Actual FY2017 Estimated FY2018 Proposed [42] Water Utility 84% u Storm Water o Refuse & Rec. ki Water The Village of Tequesta Proposed Budget 1 Where the Money Comes From - Proprietary Funds - Revenues Other RevenL 1% Appropriate Fund Balance 16% Charges for Services $ 6,175,400 Appropriate Fund Balance $ 1,239,250 Other Revenues $ 60,000 Total Revenues: $ 7,474,650 Where the Money Goes - Proprietary Funds - Expenses Other Expenditliroc 0% Capital 1% Debt Sery 7% Operating Expenditures $ 3,008,150 Personnel Services 2,211,500 Renewal & Replacement $ 1,637,300 Debt Service $ 540,700 Capital $ 55,000 Other Expenditures/Expenses $ 22,000 Total Expenses: $ 7,474,650 [431 Proposed FY2018 Expenditure Appropriations by Department Proprietary Funds Proprietary Full Time Dept. DEPARTMENT BUDGETS Funds Employees 241 Water Administration $1,089,100 2.1 242 Water Production $1,990,000 10.8 243 Water Distribution $902,450 9.5 245 Refuse & Recycling $499,400 0 250 Storm Water $313,300 1.7 411 Renewal & Replacement $1,637,300 0 700 Debt Service $540,700 0 950 Other Financing Sources & Uses $502,400 0 $7,474,650 24.1 Water Production Renewal & Replacement Water Administration Water Distribution Debt Service Other Financing Sources & Uses Refuse & Recycling Stormwater Millions 0.0 0.5 1.0 1.5 [441 W Proposed Fiscal Year 2018 Budget Detail - Governmental Funds [451 Mayor and Council 345 Tequesta Drive Tequesta, FL 33469 Abby Brennan, Mayor 561-339-0740 abrennan@teguesta.org Frank D'Ambra, Vice Mayor 561-676-5313 fdambra@teguesta.org Vince Arena, Council Member 561-310-6444 varena@teguesta.org Steve Okun, Council Member 561-744-6586 sokun@teguesta.org Tom Paterno, Council Member 561-748-4222 tpaterno@teguesta.org This increase is the result of Ordinance 2-15, effective October 1, 2015, which changed the amount of the monthly fees that the Village Council receives. [46] The Village of Tequesta Proposed Budget 1 70,000 60,000 50,000 40,000 30,000 20,000 10,000 Revenues and Expenditures by Fiscal Year FY 2016 Actual FY 2017 Estimated FY 2018 Proposed [47] I Personnel Expenditures oOperating Expenditures e�Capital Expenditures -**-Revenues The Village of Tequesta Proposed Budget 1 i Village Manager 345 Tequesta Drive Tequesta, FL 33469 561-768-0465 Michael R. Couzzo, Jr., Village Manager mcouzzo@teguesta.org Personnel: This increase is primarily due to employee salary increases, projected increases in health insurance premiums and increased defined benefit pension contribution rates. [481 250,000 200,000 150,000 100,000 50,000 Revenues and Expenditures by Fiscal Year FY 2016 Actual FY 2017 Estimated FY 2018 Proposed [491 I Personnel Expenditures oOperating Expenditures Capital Expenditures =WwRevenues Human Resources 345 Tequesta Drive Tequesta, FL 33469 561-768-0415 Merlene Reid, Human Resources Director mreid@teguesta.org Personnel: This increase is primarily due to an increase in the number of employees in the department. The increase also includes increases in existing employee salaries, projected health insurance premiums and defined benefit pension contribution rates. Operating: This increase is primarily due to the addition of contractual service fees for risk management services. Capital: See page 91 for a detailed listing of FY2018 capital purchases. [50] 350,000 300,000 250,000 200,000 150,000 100,000 50,000 Revenues and Expenditures by Fiscal Year FY 2016 Actual FY 2017 Estimated FY 2018 Proposed [51] I Personnel Expenditures 6iia0perating Expenditures e..dCapital Expenditures a*$ -Revenues Village Clerk 345 Tequesta Drive Tequesta, FL 33469 561-768-0443 Lori McWilliams, Village Clerk Imcwilliams@teguesta.org Personnel: This increase is primarily due to an increase in the number of employees in the department in FY2017. This increase also includes increases in existing employee salaries, projected health insurance premiums and defined benefit pension contribution rates. Operating: The Village was not required to hold an election in FY2017. Funds for that election were transferred into personnel expenditures to fund the cost of a temporary full time position. The increase in the FY2018 operating expenditures is the result of adding the election funds back into the Clerk's operating accounts. [52] 350,000 300,000 250,000 200,000 150,000 100,000 50,000 Revenues and Expenditures by Fiscal Year FY 2016 Actual FY 2017 Estimated FY 2018 Proposed [531 U Personnel Expenditures G�Operating Expenditures Capital Expenditures =(•Revenues Finance 345 Tequesta Drive Tequesta, FL 33469 561-768-0424 Christopher Quirk, CPA, Finance Director cquirk@teguesta.org Personnel: This increase is primarily due to employee salary increases, projected increases in health insurance premiums and increased defined benefit pension contribution rates. This increase is offset by a reduction in compensated absences (related to employee turnover in the Finance Director position). Operating: This decrease is primarily due to a decrease in other contractual service fees (also related to employee turnover in the Finance Director position). Capital: See page 91 for a detailed listing of FY2018 capital purchases. [54] 450,000 400,000 350,000 300,000 250,000 200,000 150,000 100,000 50,000 Revenues and Expenditures by Fiscal Year FY 2016 Actual FY 2017 Estimated FY 2018 Proposed [551 I Personnel Expenditures 6..IOperating Expenditures 6""Capital Expenditures saWwRevenues Legal 345 Tequesta Drive Tequesta, FL 33469 Davis & Ashton P.A. Keith Davis, Esq. kdavis@teguesta.org The Village has experienced an increase in legal fees relating to personnel issues. [561 The Village of Tequesta Proposed Budget 1 300,000 250,000 200,000 150,000 100,000 50,000 Revenues and Expenditures by Fiscal Year FY 2016 Actual FY 2017 Estimated FY 2018 Proposed [57] I Personnel Expenditures iiii-ijOperatingExpenditures oCapital Expenditures m*WRevenues Community Development 345 Tequesta Drive Tequesta, FL 33469 561-768-0457 NZ Consultants Nilsa Zacarias nzacarias@teQuesta.org The Village had several large projects in FY2017. [58] The Village of Tequesta Proposed Budget 1 S 250,000 200,000 150,000 100,000 50,000 Revenues and Expenditures by Fiscal Year FY 2016 Actual FY 2017 Estimated FY 2018 Proposed [59] Iu1 Personnel Expenditures oOperating Expenditures t---dCapital Expenditures .Revenues The Village of Tequesta Proposed Budget 1 General Government 345 Tequesta Drive Tequesta, FL 33469 561-768-0465 Michael R. Couzzo, Jr., Village Manager mcouzzo@teguesta.org Personnel: Personnel expenditures for I.T. are being moved from Dept. 160 (General Government) to Dept. 161 (I.T.). Operating: This increase is primarily due to projected increases in auto, liability and property insurances and an increase in special events funding. Capital: See page 91 for a detailed listing of FY2018 capital purchases. [601 The Village of Tequesta Proposed Budget 1 500,000 450,000 400,000 350,000 300,000 250,000 200,000 150,000 100,000 50,000 0 Revenues and Expenditures by Fiscal Year FY 2016 Actual FY 2017 Estimated FY 2018 Proposed [61] IuJ Personnel Expenditures oOperating Expenditures t�lCapital Expenditures =Mh.Revenues The Village of Tequesta Proposed Budget 1 S I.T. 357 Tequesta Drive Tequesta, FL 33469 561-768-0554 Brad Gomberg, Information Technology Manager bgomberg@tequesta.org Personnel: This department is requesting to change a part time position to a full time position. This budget also includes increases for existing employee salaries, projected health insurance premiums and defined benefit pension contribution rates. Operating: The operating budget in this department is for I.T. supplies and travel and per diem expenditures. [62] The Village of Tequesta Proposed Budget 1 200,000 180,000 160,000 140,000 120,000 100,000 80,000 60,000 40,000 20,000 0 Revenues and Expenditures by Fiscal Year FY 2016 Actual FY 2017 Estimated FY 2018 Proposed [631 I Personnel Expenditures oOperating Expenditures 6--1Capital Expenditures a*WRevenues 357 Tequesta Drive Tequesta, FL 33469 561-768-0522 Christopher Elg, Acting Chief of Police jmcgrew@teguesta.org Police FY 2016 FY 2017 FY 2018 Number of Employees: Actual Estimated Proposed F/T Certified Police Officers 20 FT / 1 PT 20 FT / 1 PT 20 FT / 1 PT Communications Officers 4 FT / 3 PT 4 FT / 3 PT 4 FT / 3 PT Civilian Positions Total Employees: 1 FT / 2 PT 1 FT / 2.5 PT 1 FT / 2.5 PT 30.00 30.50 30.50 Revenues: This decrease is primarily due to the elimination of PBC 911 revenues from the FY2018 budget. Personnel: This increase is primarily due to projected increases in employee salaries, projected health insurance premiums and coverage and defined benefit pension contribution rates. This increase is offset by decreases in compensated absences and FRS contributions related to employee turnover in the Detective position. Operating: This increase is primarily due to projected increases in auto, liability and property insurances. It is offset by a projected decrease in building repair costs. Capital: See page 91 for a detailed listing of FY2018 capital purchases [64] The Village of Tequesta Proposed Budget 1 3,500,000 3,000,000 2,500,000 2,000,000 1,500,000 1,000,000 500,000 Revenues and Expenditures by Fiscal Year FY 2016 Actual FY 2017 Estimated FY 2018 Proposed [65] I Personnel Expenditures oOperating Expenditures l---4Capital Expenditures -I—Revenues Building 345 Tequesta Drive Tequesta, FL 33469 561-768-0511 Jose Rodriguez, Building Director Rodriguez@teguesta.org Revenues: This decrease is primarily due to a decrease in projected code enforcement revenues. Personnel: This decrease is primarily due to the elimination of a full time position in FY2017. This decrease is offset by projected increases in employee salaries, projected health insurance premiums, defined benefit pension contribution rates and the addition of a part time code enforcement position. Operating: This decrease is primarily due to savings in the cost of software support. This decrease is offset by increased contractual service fees for inspection and scanning services. 700,000 600,000 500,000 400,000 300,000 200,000 100,000 0 Revenues and Expenditures by Fiscal Year FY 2016 Actual FY 2017 Estimated FY 2018 Proposed [67] I Personnel Expenditures oOperating Expenditures e...JCapital Expenditures =M=Revenues 357 Tequesta Drive Tequesta, FL 33469 561-768-0556 Joel Medina, Fire Chief imedina@teguesta.org Fire FY 2016 FY 2017 FY 2018 Number of Employees: Actual Estimated Proposed F/T Certified Firefighters 19.00 20.00 19.00 Interim Firefighters Non -Firefighter Positions 3.00 3.00 3.00 1 FT / 2.5 PT 1 FT / 3.5 PT 2 FT / 2.5 PT Total Employees: 25.50 27.50 26.50 Revenues: The Fire Department received two grants in FY2017 totaling $$77,500.00. This is the primary reason for the decrease in revenues between Fiscal Years 2017 and 2018. The decrease is offset by projected increases in fire plan review fees; fire extra duty work and Palm Beach County fire rescue service fees. Personnel: This department is requesting to change a part time position to a full time position. This budget also includes increases for existing employee salaries, projected health insurance premiums and defined benefit pension contribution rates. Operating: This decrease is primarily due to the recording of vehicle repair and maintenance services that the Village receives from Palm Beach County Fire Rescue. It is offset by projected increases in the cost of medical supplies and uniforms. Capital: See page 91 for a detailed listing of FY2018 capital purchases. 3,500,000 3,000,000 2,500,000 2,000,000 1,500,000 1,000,000 500,000 Revenues and Expenditures by Fiscal Year FY 2016 Actual FY 2017 Estimated FY 2018 Proposed [691 uJ Personnel Expenditures oOperating Expenditures �dCapital Expenditures =0IwRevenues Public Works 136 Bridge Road Tequesta, FL 33469 6711ML: Mil fYA Douglas Chambers, Deputy Public Works Director dchambers@teguesta.org Personnel: This department is requesting to add a full time position. This budget also includes increases for existing employee salaries, projected health insurance premiums and defined benefit pension contribution rates. Operating: The Village is required to fund $179,500.00 of FEC track maintenance in FY2018. This is the primary reason for the increase in operating expenditures. This increase is offset by decreases in projected road and pathway maintenance costs and the transferring of Station 11 to Dept. 231, Parks and Recreation. Capital: See page 91 for a detailed listing of FY2018 capital purchases. [701 The Village of Tequesta Proposed Budget 1 1,800,000 1,600,000 1,400,000 1,200,000 1,000,000 800,000 600,000 400,000 200,000 Revenues and Expenditures by Fiscal Year FY 2016 Actual FY 2017 Estimated FY 2018 Proposed [71] t—J Personnel Expenditures 6�Operating Expenditures k,-!Capital Expenditures aftwRevenues 399 Seabrook Road Tequesta, FL 33469 561-768-0473 Greg Corbitt, Director of Parks and Recreation gcorbitt@tequesta.org Leisure Services FY 2016 FY 2017 FY 2018 Number of Employees: Actual Estimated Proposed Full Time Part Time Seasonal Total Employees: 3.00 3.00 3.00 4.00 4.00 4.00 10.00 10.00 10.00 17.00 17.00 17.00 Personnel: This increase is primarily due to employee salary increases, projected increases in health insurance premiums and increased defined benefit pension contribution rates. Operating: This decrease is primarily due to a projected decrease in general maintenance costs. It is offset by the transferring of Station 11 from Public Works, Dept. 210, to Parks and Recreation, Dept. 231. Capital: See page 91 for a detailed listing of FY2018 capital purchases. [721 The Village of Tequesta Proposed Budget 1 800,000 700,000 600,000 500,000 400,000 300,000 200,000 100,000 n Revenues and Expenditures by Fiscal Year FY 2016 Actual FY 2017 Estimated FY 2018 Proposed [731 uPersonnel Expenditures Operating Expenditures F�Capital Expenditures m**wRevenues The Village of Tequesta Proposed Budget 1 345 Tequesta Drive Tequesta, FL 33469 561-768-0424 Christopher Quirk, CPA, Finance Director cquirk@teguesta.org 2002Note Payable Holder: Bank of America Purpose: Public Safety Facility Original Amount of Loan: $5,000,000 Interest Rate: 4.28% Term: 20 Years Expires: September 2022 Capital Lease Holder: KS State Bank Purpose: Police Vehicles (7) Original Amount of Loan: $240,658 Interest Rate: 3.049% Term: 3 Years Expires: May 2018 Debt Service [741 Capital Lease Holder: Banc of America Purpose: Sutphen Custom Pumper Truck and Equipment Original Loan Amount: $397,922 Interest Rate: 3.61% Term: 10 Years Expires: April 2012 Capital Lease Holder: Community Leasing Partners Purpose: SCBA (20) Original Amount of Loan: $132,773.77 Interest Rate: 2.89% Term: 5 Years Expires: January 2020 600,000 500,000 400,000 300,000 200,000 100,000 Expenditures by Fiscal Year FY 2016 Actual FY 2017 Estimated [751 FY 2018 Proposed o Interest ki Principle 345 Tequesta Drive Tequesta, FL 33469 561-768-0465 Michael R. Couzzo, Jr., Village Manager mcouzzo@teguesta.org Capital Improvement - Fund #301 Revenues: The Capital Improvement Fund #301 is receiving a transfer -In from the General Fund #001 in the amount of $540,100.00. It is also appropriating $49,900.00 from Fund Balance. Operating: Operating projects budgeted in this fund are as follows: • US1 Project Capital: See page 91 for a detailed listing of FY2018 capital purchases. [76] FY 2016 FY 2017 FY 2017 FY 2018 Difference Prior Year Amended Estimated Proposed Budget to REVENUES: Actual Budget Actual Budget Budget (%) Total Revenues: 316.800 106.000 106.000 1 540,100 1 409.53% EXPENDITURES: R & M - Roads Pathway Improvements US1 Protect Total Expenditures: 166,800 48,000 48,000 320,000 566.67% 48,209 - - 250,000 N/A 1 8,000 1 108,147 1 108,083 1 20,000 -81.51% 1 223,009 1 156,147 1 156,083 1 590,000 277.85% *When expenditures exceed revenues in a fiscal year Fund Balance is used to fund the deficit. 700,000 600,000 500,000 400,000 300,000 200,000 100,000 (• Revenues and Expenditures by Fiscal Year FY 2016 Actual FY 2017 Estimated FY 2018 Proposed [771 I1 U51 Project iwm� Pathway Imp. 6..I R&M Roads mOnRevenues 345 Tequesta Drive Tequesta, FL 33469 561-768-0465 Michael R. Couzzo, Jr., Village Manager mcouzzo@teguesta.org Capital Projects - Fund #303 Revenues: The Capital Projects Fund #301 is receiving a transfer -In from the General Fund #001 for $200,000.00. Capital: See page 91 for a detailed listing of FY2018 capital purchases [78] The Village of Tequesta Proposed Budget 1 *When expenditures exceed revenues in a fiscal year Fund Balance is used to fund the deficit. 250,000 200,000 150,000 100,000 50,000 0 Revenues and Expenditures by Fiscal Year FY 2016 Actual FY 2017 Estimated FY 2018 Proposed [791 il Operating 1mna Capital �dTransfers Out aftwRevenues The Village of Tequesta Proposed Budget 1 357 Tequesta Drive Tequesta, FL 33469 561-768-0522 Christopher Elg, Acting Chief of Police %mcgrew@tequesta.org Special Law Enforcement - Fund #605 The Police Department is not budgeting in this fund in Fiscal Year 2018. W The Village of Tequesta Proposed Budget 10 *When expenditures exceed revenues in a fiscal year Fund Balance is used to fund the deficit. 200,000 180,000 160,000 140,000 120,000 100,000 80,000 60,000 40,000 20,000 0 Revenues and Expenditures by Fiscal Year FY 2016 Actual FY 2017 Estimated FY 2018 Proposed [81] i Operating Capital ®Allocate to Fund Balance -**-Revenues This Page Intentionally Left Blank [821 The Village of Tequesta Proposed Budget 1 2 Proposed Fiscal Year 2018 Budget Detail - Proprietary Funds [831 Water Utilities 345 Tequesta Drive Tequesta, FL 33469 561-768-0493 Sam Heady, Deputy Utilities Director sheady@teguesta.or� Personnel: This budget includes the addition of two (2) full time positions. It also includes increases in employee salaries, standby pay, projected health insurance premiums and defined benefit pension contribution rates. Operating: This increase is primarily due to projected increases in computer system maintenance, the cost of water system maintenance and the cost of chemicals. Renewal & Replacement & Capital: The budget in this department varies from year to year because of the different projects that are scheduled and the different capital purchases that are made each year. *See page 91 for a detailed listing of FY2018 capital purchases. Other: This decrease is primarily due the Budgeted Depreciation. *Budgeted depreciation is calculated as follows: Depreciation - Principle - Capital = Budgeted Depreciation [84] *When expenditures exceed revenues in a fiscal year Fund Balance is used to fund the deficit. 8,000,000 7,000,000 6,000,000 5,000,000 4,000,000 3,000,000 2,000,000 1,000,000 Revenues and Expenditures by Fiscal Year FY 2016 Actual FY 2017 Estimated [85] FY 2018 Proposed y Personnel oOperating Expenditures 1�� Ren & Rep I Capital Expenditures o Debt Service 6----a Other =I=Revenues The Village of Tequesta Proposed Budget 1 Refuse & Recycling 345 Tequesta Drive Tequesta, FL 33469 561-768-0424 Christopher Quirk, CPA, Finance Director cquirk@tequesta.org The Village's current refuse and recycling rate of $157.70 will remain unchanged for FY2018. The number of units projected to receive refuse and recycling services in FY2018 is 3,197. This remains unchanged from FY2017. The Village has budgeted for a 4% increase in refuse and recycling expenses for FY2018. The collection rate for FY2018 remains unchanged at 96%, assuming that all residents will take advantage of the early payment discount. The Village is appropriating $15,400.00 in FY2018 to cover the deficit between revenues and expenditures. *When expenditures exceed revenues in a fiscal year Fund Balance is used to fund the deficit. 600,000 500,000 400,000 300,000 200,000 100,000 Revenues and Expenditures by Fiscal Year FY 2016 Actual FY 2017 Estimated FY 2018 Proposed [87] u Personnel 1..jOperating 6.I Capital -*I=Revenues Storm Water Utilities 136 Bridge Road Tequesta, FL 33469 561-768-0493 Sam Heady Deputy Utilities Director sheadv@teguesta.org Revenues: Storm water utility fees were increased by 10% in FY2018. The collection rate remains unchanged at 96%, assuming that all residents will take advantage of the early payment discount. The Village is also appropriating $340,400.00 to cover the deficit between revenues and expenditures. Personnel: This increase is due to employee salary increases, projected increases in health insurance premiums and increased defined benefit pension contribution rates. This increase is offset by decreases in overtime, standby pay and personnel training. Operatinp,: This increase is primarily due to contractual labor costs associated with a project on Pine Tree Drive. Renewal & Replacement: Funding for misc. drainage system maintenance is being increased. Debt Service: The Water Utility and Storm Water Utility Funds are entering into a five (5) year lease for a backhoe in FY2018. Other: Other includes transfers out and budgeted depreciation. so *When expenditures exceed revenues in a fiscal year Fund Balance is used to fund the deficit. 800,000 700,000 600,000 500,000 400,000 300,000 200,000 100,000 M Revenues and Expenditures by Fiscal Year FY 2016 Actual FY 2017 Estimated FY 2018 Proposed [891 1�,.— i Personnel 6iiiia0perating Expenditures oCapital Expenditures t-_.- Ren & Rep o Debt Service i � Other =N$nRevenues The Village of Tequesta Proposed Budget 1 This Page Intentionally Left Blank [901 Proposed Fiscal Year 2018 Capital [911 The Village of Tequesta Proposed Budget 1 The Village of Teguesta Capital Requests Fiscal Year 2018 Fund: 001 - General Fund - Capital $ 346,400.00 Dept: 111 Human Resources 664.601 Computer Equipment Integration Software for BSA / BambooHR $ 15,000.00 Dept: 130 Finance r 664.601 Computer Equipment Integration Software for BSA / BambooHR $ 15,000.00 Dept. 160 General Government r 664.600 Machinery & Equipment Condensing Unit for Village Hall $ 15,000.00 664.601 Computer Equipment vMware Hosts (2) $ 4,300.00 Dept. 175 Police 664.601 Computer Equipment PD Laptop Replacement (24) $ 75,000.00 A4mre Hosts (2) $ 7,000.00 Dept: 192 Fire 664.600 Machinery & Equipment Patient Power Loader (1) $ 22,000.00 664.601 Computer Equipment A4vare Hosts (2) $ 3,100.00 Dept: 210 Public Works 663.650 Pathways Pathway Repairs $ 69,000.00 664.607 Equipment - Tech Fiber to Remote Sites $ 57,000.00 Dept: 231 Leisure Services 663.600 Improvements Other than Buildings Pumptrack $ 30,000.00 664.600 Machinery & Equipment John Deere Utility Vehicle $ 9,000.00 Zero Turn HD44 GravelyZT Mower $ 5,000.00 664.607 Equipment - Tech Fiber to Remote Sites $ 20,000.00 [921 The Village of Tequesta Proposed Budget 1 S The Village of Teauesta Capital Requests Fiscal Year 2018 Fund: 301 - Capital Improvement Fund - Capital $ 570,000.00 Dept: 210 Public Works 663.652 Pathway/Sidewalk Improvements Pathway/Sidewalk Improvements $ 250,000.00 663.657 Roadway Improvements Roadway Resurfacing $ 320,000.00 Fund: 301 - Capital Improvement Fund - Capital $ 200,000.00 Dept: 210 Public Works 663.632 Architecture & Engineering -Other Rec Center $ 200,000.00 Fund: 401 - Water Fund - Capital $ 209,300.00 Dept. 411 Renewal and Replacement 664.600 Machinery & Equipment Acoustic Water Leak Detection Equipment $ 20,000.00 Portable Electric Valve Operator $ 10,000.00 Backhoe $ 55,000.00 664.601 Computer Equipment vMware Hosts (2) $ 2,300.00 664.602 Vehicles Truck $ 40,000.00 664.607 Equipment - Tech Fiber to Remote Sites $ 82,000.00 Fund: 403 - Storm Water Fund - Capital $ 55,000.00 Dept. 250 Storm Water 664.600 Machinery & Equipment Backhoe $ 55,000.00 [93] This Page Intentionally Left Blank [94] Glossary [951 The Village of Tequesta Proposed Budget 1 0 ACCRUAL BASIS OF ACCOUNTING: This is a method of accounting that recognizes the financial impact of transactions; revenues are recorded when they are earned and expenses in the period in which costs are deemed to have expired or been consumed. AD VALOREM TAXES: Property taxes computed as a percentage of the value of real or personal property expressed in mills. This tax is also called "Property Tax". ADOPTED BUDGET: This is the financial plan for the fiscal year beginning October 1ST and ending September 30th. Florida Statutes require the Village of Tequesta to adopt a budget at the second of two public hearings. AMENDED BUDGET: The original adopted budget plus any amendments passed as of a certain date. AMMORTIZATION: This is the gradual elimination of a liability, such as a mortgage in regular payments over a specified period of time and the method used to prorate the cost of a specific type of asset to the asset's life. ANNEXATION: This is the legal process of merging land from one governing authority to another. An example would be when an incorporated body annexes land previously governed as unincorporated by a county. ASSESSED VALUATION: The dollar value assigned to a property by the Palm Beach County Property Appraiser for purposes of measuring applicable taxes. APPROPRIATE FUND BALANCE: The process of bringing forward unspent dollars from previous fiscal years' budgets to the current year's budget. All appropriations need approval from the Village Council. APPROPRIATION: a sum of money or total of assets devoted to a special purpose. All appropriations need approval from the Village Council. Ans BASIS OF ACCOUNTING: an accounting term that is used to describe when revenues and expenditures or expenses are recognized in the accounts and reported on the financial statements. BALANCED BUDGET: a budget in which revenues equal expenditures/expenses. [961 The Village of Tequesta Proposed Budget 1 BUDGET: A fiscal plan of financial activity for a specified period of time indicating all planned revenues and expenses for the budget period. BUDGET AMENDMENT: Generally done on a semi-annual basis by which unanticipated changes in revenue or expenditures are made a part of the budget, thereby amending it. BUDGETARY CONTROL: The control or management of a governmental unit in accordance with an approved budget for the purpose of keeping expenditures within the limitations of available appropriations and available revenues. [so CAPITAL BUDGET: The annual financial plan for the construction or improvement of fixed assets such as buildings, street, sewers, and vehicles and equipment. CAPITAL EXPENDITURE: Expenditures which result in the acquisition of, or improvement to, fixed assets: buildings, streets, sewers, vehicles, etc. CAPITAL IMPROVEMENT PLAN (CIP): A multi -year plan that forecasts spending for all anticipated capital projects. The plan addresses the repair and replacement of existing infrastructure. It also helps to identify needed capital projects and to coordinate facility financing and timing. CASH MANAGEMENT: Cash management refers to the activities of forecasting the inflows and outflows of cash, mobilizing cash to improve its availability for investment, establishing and maintaining banking relationships and investing funds in order to achieve highest interest and return available for temporary cash balances. COST OF LIVING ADJUSTMENT (COLA): Periodic changes in wages or benefits designed to compensate for the effects of inflation. CONTINGENCY: An appropriation to cover emergencies or unforeseen expenditures. CPI: Consumer Price Index. DEBT SERVICE: The payments required for interest on, and repayment of, principle amounts of debt. DEPARTMENT: A major unit of organization in the Village which indicates an overall operation or group of related operations within a functional area. [97) DEPRECIATION: a reduction in the value of an asset with the passage of time, due in particular to wear and tear. DOR: Department of Revenue. E ENCUMBRANCE: An amount of money committed for the payment of goods or services not yet received or paid for. ENTERPRISE FUNDS: a separate accounting and financial reporting mechanism for municipal services for which a fee is charged in exchange for goods or services. The Village has three (3) Enterprise Funds: Water Utility, Refuse & Recycling and Storm Water. ESTIMATED EXPENDITURES: Projections of funds to be spent during the fiscal year. ESTIMATED REVENUES: Projections of funds to be received during the fiscal year. EXPENDITURE/EXPENSE: an amount of money spent. F FISCAL YEAR (FY): A fiscal year is a 12-month operating cycle that comprises a budget and financial reporting period. The Village's fiscal year begins on October 1st and ends on September 301h FIXED ASSETS: assets that are purchased for long-term use and are not likely to be converted quickly into cash such as land, buildings and equipment. FRANCHISE FEES: a charge levied by the Village on a utility to operate within the Village and to use the Village rights -of -way and other properties for locating pipes, wire, etc. The State allows utilities to pass on the franchise fee directly to customers on their bills. FRS: Florida Retirement System FUND: a fiscal and accounting entity with a self -balancing set of accounts recording cash and other financial resources, together with all related liabilities and residual equities or balances, and changes therein, which are segregated for the purpose of carrying on specific activities or attaining certain objectives in accordance with special regulations, restrictions, or limitations. FUND BALANCE: the fund equity as a result of the difference of revenues to expenditures. Fund balance increases when revenues exceed expenditures, while fund balance decreases when expenditures exceed revenues. IM The Village of Tequesta Proposed Budget 1 t EC, GENERAL FUND: The Village's primary operating fund. It accounts for all financial resources of the general government, except those required to be accounted for in another fund. GENERALLY ACCEPTED ACCOUNTING PRINCIPLES (GAAP): These comprise the uniform minimum standard of, and guidelines for, financial accounting and reporting. They govern the form and content of an entity's basic financial statements. GAAP encompasses the convention, rules and procedures necessary to define accepted accounting practices at a particular time. GFOA: Government Finance Officers Association GOVERNMENTAL FUND TYPES: Funds used to account for the acquisition, use and balances of expendable financial resources and the related current liabilities, except those accounted for in proprietary and fiduciary funds. GRANT: a sum of money or other assets received from another governmental entity, to be used or expended for a specific purpose. GROSS DOMESTIC PRODUCT (GDP): The total value of goods produced and services provided in the United States during one year. H HOMESTEAD EXEMPTION: Every person who owns and resides on real property in Florida on January 1 and makes the property their permanent residence is eligible to receive a homestead exemption up to $50,000. The first $25,000 applies to all property taxes, including school district taxes. The additional exemption up to $25,000, applies to the assessed value between $50,000 and $75,000 and only to non -school taxes. INTER -FUND TRANSFERS IN/OUT: Monies transferred from one Fund to another. Such money is transferred to finance the operations of another Fund or to reimburse the Fund for certain expenditures/expenses. INTER -LOCAL AGREEMENT: A written agreement between the Village and other units of government to share in similar services, projects, emergency assistance support, funding, etc. for the mutual benefit of all parties. IMPACT FEES: A type of service charge imposed on new construction in order to support specific new demands on a given service, e.g., transportation, schools, parks and fire protection. INTANGIBLE PERSONAL PROPERTY: All personal property that is not itself valuable, but it's valuable because of what it represents. The most common examples are shares of stocks issued by any corporation, bonds issued by corporations or state, county or municipal governments outside the state of Florida or shares of units of ownership in mutual and money market funds, and limited liability companies. INTANGIBLE PERSONAL PROPERTY TAX: An annual tax based on the market value, as of January 15', of the intangible personal property owned by a Florida business or by a non -Florida business that has a tax status in Florida. INTERGOVERNMENTAL REVENUES: Revenues from other governments in the form of grants, entitlements, shared revenues or payments in lieu of taxes. L LEVY: To impose taxes, special assessments or service charges for the support of Village activities. LINE ITEM BUDGET: A budget that lists each expenditure category separately, such as salaries and wages, office supplies, uniforms, etc., along with the dollar amount budgeted for each specific category. LONG-TERM DEBT: Debt with a maturity of more than one year after the date of issuance. MILL: A monetary measure equating to 0.001 of a dollar. When referring to the Ad Valorem tax it means that a 1-mill tax is one dollar of tax on $1,000 of taxable value. MILLAGE RATE: The rate per one thousand dollars of taxable property value which, when multiplied by the taxable value, yields the tax billing for a given parcel. It is the tax rate used to generate Ad Valorem tax revenue. MODIFIED ACCRUAL BASIS OF ACCOUNTING: This is a method of accounting that recognizes the financial impact of transactions; revenues are recorded when they become earned (or levied for the period), measurable and available and expenditures are recorded when the related fund liability is incurred. � 1L 1, NET BUDGET DEPRECIATION: Depreciation expense less budgeted capital and principle debt payments. [100] The Village of Tequesta Proposed Budget 1 S NON -AD VALOREM ASSESSMENT: A fee levied on certain properties to defray all or part of the cost of a specific capital improvement or service deemed to benefit those properties. The value of the property is not considered when calculating a non -ad valorem assessment. Instead, the cost of the facility or the service is allocated proportionately to the benefited properties in a defined area. It is sometimes referred to as a Special Assessment. Generally, this is collected by the Tax Collector's Office on the annual consolidated tax bill like ad -valorem taxes. OPERATING BUDGET: The annual financial plan for on -going program costs, including salaries and benefits, services and supplies and debt service. ORDINANCE: A formal legislative enactment by the Village Council that has the full force and effect of law within Village boundaries unless re-empted by a higher form of law. An ordinance has a higher legal standing than a resolution. ORIGINAL BUDGET: The original adopted budget. PERSONNEL SERVICES: Expenditures for salaries, wages and fringe benefits of a government's employees. PORTABILITY: A legislative provision that was enacted as part of Constitutional Amendment 1 that allows Florida homeowners to transfer a portion of their Save Our Homes taxable value reduction when they move to another homesteaded property in the State of Florida. Portability reduces the local government tax base by reducing taxable values of homesteaded properties. Portability benefits must be requested by taxpayers. PROPERTY TAX: Another term for ad valorem tax. See definition for Ad Valorem Taxes. PROPOSED BUDGET: The Village Manager's fiscal plan of financial activity for the upcoming fiscal year which is submitted to the Village Council for consideration. PROPRIETARY FUND: A group of funds in which the services provided are financed and operated similarly to those of a private business. 0 RESERVES: Funds set aside for a particular purpose. RESOLUTION: A special order of the Village Council. A resolution has a lower legal standing than an ordinance. [1011 The Village of Tequesta Proposed Budget 1 RETAINED EARNINGS: The amount of financial resources available for use in an Enterprise Fund. Similar to "Fund Balance", it represents the excess of all prior years' surpluses and deficits. REVENUE: An amount of money received. ROLLED BACK RATE: The tax rate which when applied to the current year's adjusted taxable value generates the same Ad Valorem tax revenue as the prior year. S SAVE OUR HOMES: A voter approved amendment to the Florida Constitution which limits the size of the annual increase in the assessed value of owner occupied residential properties which have homestead status. Increases in the annual assessment of homesteaded property shall not exceed the lower of either 1) three percent (3%) of the assessment of the prior year or 2) the percent increase in the Consumer Price Index for all urban consumers in the United States. SPECIAL ASSESSMENT: A fee levied on certain properties to defray all or part of the cost of a specific capital improvement or service deemed to benefit those properties. The value of the property is not considered when calculating a non -ad valorem assessment. Instead, the cost of the facility or the service is allocated proportionately to the benefited properties in a defined area. It is sometimes referred to as a Non -Ad Valorem Assessment. Generally, this is collected by the Tax Collector's Office on the annual consolidated tax bill like ad -valorem taxes. STATUTE: A written law enacted by a duly organized and constituted legislative body. Citations are often followed by "F.S." to indicate Florida Statute. SWA: Solid Waste Authority of Palm Beach County. T TANGIBLE PERSONAL PROPERTY: Non -real estate property, excluding motor vehicles, inventory and household goods, that is owned by business enterprises and subject to ad valorem taxation. Constitutional Amendment 1 provides that the first $25,000 of tangible personable property is exempt, from ad valorem taxes starting with fiscal year 2009. It also imposes a 10% cap on annual increases in tangible property valuation. TAXABLE VALUATION: The value used for computing ad valorem taxes levied against property. Taxable value is the assessed value less any exclusions, differentials, exemptions and credits allowed by law. [1021 The Village of Tequesta Proposed Budget 1 TRUTH IN MILLAGE LAW (TRIM): Florida law enacted in 1980 which changed the budget process for local taxing governments. It was designed to keep the public informed about the taxing intentions of various taxing authorities (Section 200.065, F.S.). TRUST FUND: A fund used to account for assets held by the Village in a trustee capacity for individuals, other governments or other funds, such as Pension Funds. U UNINCORPORATED AREA: The portion of the County not within the boundaries of any municipalities. UTILITY TAXES: a tax levied on utility bills, to be paid by the user of the utility services. It is similar to a sales tax, except it only applies to utility bills and not to any other purchases. [1031 Tab Three