Budget Highlights FY2013

Budget Highlights Tax rate Fiscal Year 2013

Introduc on The Fiscal Year 2013 Annual Budget, which was adopted on September 18, 2012, is a numerical re ec on of the Fiscal Year 2013 Business Plan.

By alloca ng our resources through a balanced alignment with the City Commission’s seven strategic priori es and departmental performance indicators, we believe this budget will successfully meet the challenges we have before us and set the stage for our con nued success in the future.

General Opera ng Millage

$4.5697

Debt Service Millage

$0.2906

Combined City Millage Rate

$4.8603

Budget in Brief The adopted opera ng net budget for Fiscal Year 2013 for all funds totals $151,766,237. This represents a decrease of $386,661 or 0.3% less than the Fiscal Year 2012 net budget. The Fiscal Year 2013 budget is balanced, prudent and responsive to community needs as iden ed in the Fiscal Years 2012 - 2013 Strategic Plan.

Opera ng millage rate

Some features of the Fiscal Year 2013 budget that deserve special a en on are: • The adopted opera ng millage rate will increase from $4.3939 to $4.5697, an increase of $0.1758 or 4%. This increase will allow the City to collect approximately $1,729,000 addi onal property tax revenue than last year.

• The voter-approved debt service millage rate will decrease from $0.2915 to $0.2906, a decrease of $0.0009 or 0.3%.

• The combined general opera ng and debt service millage rate is $4.8603 per $1,000 of assessed value, an increase of $0.1749 or 3.7%.

• An increase of $9.33 per single family residence for Fire Special Assessment fees.

$8.0000 $7.0000 $6.0000 $5.0000 $4.0000

• General Fund debt service for franchise and capital revenue bonds, as a percentage of total

City of Coral Springs, Florida

$3.8866 $3.3651 $3.3651

$2.0000 $1.0000 $0.0000 FY 2003 FY 2004 FY 2005 FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 FY 2013

The adopted opera ng millage rate will increase from $4.3939 to $4.5697 or 4% in Fiscal Year 2013. This property tax rate will generate approximately $1,729,000 more than last year. A 13% decrease in Fiscal Year 2008 was in response to property tax legisla on.

Voter-approved debt service millage rate $1.0000 $0.8000

$0.5228 $0.4131

$0.4000

$0.3924 $0.2510

$0.2000

• Solid Waste Special Assessment will decrease $6.48 for a single family residence.

$4.3559 $4.3939 $4.5697

$3.8715

$3.0000

$0.6000

• A Water and Sewer fee increase of approximately $1.82 per month for an average single family residence.

$3.8715 $3.8715 $3.8715 $3.8715

$0.2915 $0.2906 $0.2134 $0.1774 $0.1763 $0.1763 $0.1763

$0.0000 FY 2003 FY 2004 FY 2005 FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 FY 2013

The debt millage rate will decrease from $0.2915 to $0.2906 or 0.3% in Fiscal Year 2013. This debt millage rate will re ect the actual debt service approved by voter referendum. In prior years, fund balance was used to subsidize the annual debt service payment.

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budget, will equal 3.6% in Fiscal Year 2013 as compared to 2.4% in the current year, well within its General Fund debt service policy limita on of 12.5% of total General Fund expenditures.

Full- me posi ons added in Fiscal Year 2013 General Fund: Addi ons: Law Enforcement O cer Parks Technician Parks Maintenance Worker

• With a General Obliga on bond indebtedness of 0.25% of total taxable assessed value, the City is well below its debt policy limit of 5%.

3 3 1

Sta ng Changes

Code Enforcement

2

• Total adopted full- me posi ons in all funds for Fiscal Year 2013 is 767 (excludes the Fire/EMS services contract sta ).

Sub-Total

9

• Added thirteen full- me posi ons, nine in the General Fund and four in the Fire Fund. General Fund added three Law Enforcement O cers in Police Patrol, three Parks’ Technicians and one Parks Maintenance Worker, and two Code Enforcement posi ons. The Fire Fund added three Fire ghter/Paramedics to the Suppression Division and one Senior O ce Assistant to the Training Division.

Capital Improvements

These changes re ect our con nued emphasis to maximize customer sa sfac on by providing the same quality service levels as last year to the City’s businesses, residents, and employees during di cult economic mes.

Opera ng millage rate comparison Fiscal $7.4479

Addi ons: Fire ghter/Paramedic

3

Senior O ce Assistant Training Center

1

Sub-Total

4

Net New Posi ons

13

Financial Condi on

• The City will invest $23,841,975 in Fiscal Year 2013 to address its capital needs. For more on capital, refer to Capital Improvement Program included in this document.

$8.0000

Fire Fund:

Despite four years of downward pressure on revenues due to residen al build-out, tax relief legisla on, and the economic recession, Coral Springs con nues to lead the na on in scal management and stability.

Bond Ra ngs

We are proud of achieving the highest nancial honor bestowed on any municipality—earning a ‘AAA’ from Standard and Poors, ‘Aaa’ ra ng from Moody’s Investors Service, and ‘AAA’ ra ng from Fitch Ra ngs. Such ra ngs mean the City’s general obliga on bonds are considered to be of excellent investment quality, which translates into lower interest rates and corresponding lower interest Year 2013 payments.

$7.2899

$7.0000

Revenue $6.4654

$6.1142

$6.0000

Coral Springs

$6.0543 $5.6368 $5.1856

$5.0000

$4.9700 $4.8122 $4.5697

$4.1193

$4.0000 $3.0000 $2.0000 $1.0000

Da vi e Co ra l S pr in gs Ft . L au de rd al e

Su nr Pe ise m br ok e Pi ne De s er fie ld B ea Po ch m pa no B ea ch

ar Pl an ta ti o n

ira m M

Ta m ar ac

Ho lly

w oo d

$0.0000

When comparing Broward County ci es with popula ons greater than 55,000, Coral Springs’ opera ng millage rate is one of the lowest of the 11 municipali es.

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To ensure its long-term nancial success, the City will adopt an ad valorem millage rate that is 5.63 percent higher than the rolledback millage rate of $4.3260 in Fiscal Year 2013. This higher millage rate translates to $1.729 million in addi onal revenue the City will use to renovate Sartory Hall, design a permanent Safety Town building, and hire three addi onal police o cers.

Intergovernmental Revenue Most economists are expec ng the economy to grow at a modest rate during the coming year. However, rather than growth returning to

Fiscal Year 2013 Annual Budget

normal levels quickly, the economy will move slowly but steadily upward. We have, therefore, adopted a moderate growth philosophy for Fiscal Year 2013 revenue es mates.

To hedge against being too op mis c, we have adopted a con ngency that is higher than we otherwise would simply to counterbalance this risk.

commercial areas such as the Corporate Park, and inves ng in educa on. In addi on, the City will work to a ract businesses and increase property values by inves ng in the appearance and the safety of our community.

For many years, fund balances improved as a result of growth-related revenues, improved produc vity, and prudent nancial management policies. Those fund balances have been leveraged to avoid future debt service by equity nancing capital purchases for Fiscal Year 2012.

For further informa on on our fund balances, refer to the Appendix sec on of this document.

The City has adopted a targeted-industries approach which will replace the old model of economic development that was essen ally driven by land developers. We will proac vely target the industries that are projected to have the highest growth in our area: health care, medical devices, medical informa on technology, global informa on technology, and distribu on. Our biggest challenge, however, is to ll exis ng vacant industrial and o ce space. Once absorp on occurs we can set our sights on new development and expansion.

Major Policy Considera ons Although we expect the economic recovery to hold center stage, the City’s strategy to invest in its community, as well as a number of other issues will also be part of the conversa on.

Inves ng in the Community During the depths of the recession, the City adopted a three-pronged nancial strategy. While this was an appropriate strategy for the me, a new nancial strategy is necessary to place the City in the most advantageous posi on to embrace the economic recovery.

Economic Development Strategy

Upgrade Technology Infrastructure The City will con nue to invest in tools that allow its employees to achieve high levels of produc vity as well as provide customer service that is second to none. A state of the art technology infrastructure is a crucial element in allowing the City to meet its service delivery goals now and in the future. This objec ve must be balanced against the need to protect ci zen con den ality, integrity, and availability of informa on and at the same me control costs. It is also important that all City departments par cipate in the e orts to u lize technology in an e cient and e ec ve manner.

Although the recession has o cially ended, the return to pre-recession economic growth rates is not on the horizon.

Since the fuel that powered the City’s economic engine (popula on growth and new construc on) will not return to previous levels quickly, if at all, we must expect and plan for a new normal. For example, having Annual net opera ng budget and capital reached build-out the City can no FY 2012 FY 2013 longer count on development of Budget Budget vacant parcels to spur economic Net Operating Budget $152,152,898 $151,766,237 growth.

The City Commission has set the stage for this vision by incorpora ng language in the 2012-2013 Strategic Plan direc ng the City to take a leadership role in crea ng its future by inves ng in our community. In partnership with the Economic Development Founda on, Community Redevelopment Agency, the Chamber of Commerce, and other stakeholders, the City will proac vely prime the engine of economic growth by assis ng our exis ng business community, devo ng resources to encourage the redevelopment of the City’s

City of Coral Springs, Florida

Capital Improvements (CIP) Total Financial Program

Net Operating Budget General Fund Special Revenue Funds Fire Fund C.S. Charter School Fund Public Art Fund Enterprise Funds Water and Sewer Fund Internal Service Funds Health Fund/Gen. Ins. Fund Equipment Services Fund Pension Fund Debt Service Fund Total Net Operating Budget

26,951,988 23,841,975 $179,104,886 $175,608,212

FY 2012 Budget $64,888,412

FY 2013 Budget $66,913,902

10,852,069 10,483,260 76,500

11,098,592 10,046,480 86,500

17,626,865

19,176,769

15,120,020 15,888,674 10,794,794 8,671,101 16,425,088 13,859,067 5,885,890 6,025,152 $152,152,898 $151,766,237

$ % Change Change ($386,661) Ͳ0.3% (3,110,013) Ͳ11.5% ($3,496,674) Ͳ2.0%

$ % Change Change $2,025,490 3.1% 246,523 (436,780) 10,000 1,549,904

2.3% Ͳ4.2% 13.1% 8.8%

768,654 5.1% (2,123,693) Ͳ19.7% (2,566,021) Ͳ15.6% 139,262 2.4% ($386,661) Ͳ0.3%

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Fund Structure Overview

325

FY 2013 Total Net Budget $175,608,212

FY 2013 Net Opera ng Budget $151,766,237

General Fund $66,913,902

Special Revenue Funds $21,231,572

Enterprise Funds $19,176,769

Internal Services Funds $24,559,775

Fire $11,098,592 Charter School $10,046,480 Public Art $86,500

Water and Sewer $19,176,769

Insurance Funds $15,888,674 Equipment Services $8,671,101

Trust and Agency Funds $13,859,067 Pension $13,859,067

Capital Projects Funds $6,025,152 Debt Service $6,025,152

Major Funds Fund Name

Fund Type

General Fund*

City Opera ng Fund

Fire Fund*

Special Revenue Fund

Water and Sewer Fund*

Enterprise Fund

Health and General Insurance Funds* Internal Service Funds

Fund Descrip on Accounts for police, code enforcement, parks and recrea on, public works, building, emergency medical services, and administra on services Covers the re department and subsequent divisions, including administra on, suppression, inspec on, training, and communica ons Provides water and wastewater services to approximately 51% of Coral Springs residents Contribute to the City’s insured general liability, property, workers’ compensa on, life and employee medical bene ts Includes the revenues and expenses incurred in the opera on of the Coral Springs Charter School Accounts for the costs of maintaining the City’s eet Includes the Public Art fee receipts collected during the permi ng process for new construc on and renova ons of exis ng structures

Coral Springs Charter School Fund*

Special Revenue Fund

Equipment Services Fund*

Internal Service Fund

Public Art Fund*

Special Revenue Fund

Pension Fund

Trust and Agency Fund

Accounts for the accumula on of resources to be used for re rement bene t payments to the City’s employees

Debt Service Fund*

Debt Service Fund

Covers the revenues and payment of voter approved long-term general obliga on debt and revenue bond debt

*Indicates appropriated funds in accordance with the Budget Ordinance.

Refer to the Appendix sec on of this document.

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Fiscal Year 2013 Annual Budget

FY 2013 Capital Budget $23,841,975

General Fund $11,121,865

Enterprise Funds $7,961,000

Water and Sewer $7,961,000

City of Coral Springs, Florida

Special Revenue Funds $1,596,953

Internal Services Funds $3,162,157

Fire $389,800 Charter School $645,653 Public Art $86,500 Tree Trust $475,000

Equipment Services $3,162,157

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Combined Budget Summary Appropriated Funds Budget—Fiscal Year 2013

Debt Service Fund

General Fund CASH BALANCE BROUGHT FORWARD

$1,750,000

Capital Projects Fund $0

Public Art Fund

$189,000

Water and Sewer Fund $0

Fire Fund

$3,190,000

$0

Charter School Fund

FY 2013 Total Budget

$1,086,035

$6,215,035

Revenues By Type: Taxes: Millage Per $1,000 Ad Valorem Taxes $4.5697 Ad Valorem Taxes $0.2906 (VOTED DEBT) Solid Waste Assessment Fire Fund Special Assessment Sales and Use Taxes Franchise Fees Utility Service Taxes Licenses and Permits Intergovernmental Revenue Charges for Services Fines and Forfeitures Miscellaneous Revenues Other Financing Sources

32,428,839 2,062,241 1,864,900 9,728,904 7,230,104 9,614,259 10,162,079 3,661,531 12,358,624 12,658,085 1,979,940 4,088,628 1,017,293

3,248 3,959,663

10,128,940

86,500

97,064,282

6,025,152

10,128,940

86,500

Grand Total Revenues and Balances

$98,814,282

$6,025,152

$10,317,940

$86,500

Expenditures By Type: General Governmental Services Education Public Safety Physical Environment Economic Environment Culture and Recreation Debt Service Capital Improvement Program (Excluding Opeating CIP) Other Financing Sources (Uses)

$13,636,165 566,942 55,137,496 6,784,449 250,000 14,341,495 3,596,864 0 4,500,871

Total Revenues and Other Financing Sources

Total Expenditures and Other Financing Uses Reserves Total Appropriated Expenditures and Reserves

5,324,469 2,023,073 53,000 172,500 25,938

10,380,445

19,523,254

17,327,884

10,380,445

$22,713,254

$17,327,884

19,453,254 70,000

14,803,729 16,633,049 281,840 86,500 4,311,338

232,860

1,487,027

2,291,295

160,536,457

$11,466,480 $166,751,492

11,466,480

6,025,152

32,428,839 2,062,241 1,864,900 9,728,904 7,230,104 9,614,259 10,162,079 3,661,531 28,063,538 34,134,412 2,032,940 4,334,376 15,218,334

10,317,940

$13,636,165 12,033,422 69,941,225 23,417,498 531,840 14,427,995 14,166,214 10,317,940 8,279,193

98,814,282

6,025,152

10,317,940

86,500

22,713,254

17,327,884

11,466,480

166,751,492

0

0

0

0

0

0

0

0

$98,814,282

$6,025,152

$10,317,940

$86,500

$22,713,254

$17,327,884

$11,466,480 $166,751,492

Note: Revenues (sources) and Expenses (uses) for Equipment Services, Health, and General Insurance funds are incorporated within all other appropriated funds included in this summary and thus, not listed separately.

Note: In accordance with standard budge ng prac ce, the main di erence between the “Summary of Net Budgeted Revenues/Expenditures” on pages 28 and 29 and the “Fiscal Year 2013 Combined Budget Summary” on this page is that the la er does not include internal service funds to avoid double-coun ng interfund transfers (movement of money from one fund to another).

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Fiscal Year 2013 Annual Budget

Where the money comes from by source (all funds) Capital Projects 6.1%

Reserves 3.7%

Fines & Forfeitures 1.2%

Licenses and Permits 2.2%

Ad Valorem Taxes and Assessments 27.6%

Intergovernmental 16.8% Utilities Service Taxes 6.1% Other 5.7%

Charges for Services 20.5%

Franchise Fees 5.8%

Sales and Use Taxes 4.3%

Where the money goes by type of program (all funds) Capital Projects 6.2% Debt Service 8.5%

General Government 8.2% Other Financing Sources 5.0%

Culture and Recreation 8.6%

Education 7.2%

Physical and Economical Environment 14.4%

Public Safety 41.9%

Where the money goes by category (General Fund only) Debt Service 3.6%

Supplies/Services 24.5%

Personal Services/Benefits 71.9%

City of Coral Springs, Florida

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