[PPT] - Proposed 2018 Budget Presentation Bristol Township Council PowerPoint Presentation

SLIDE 1

Proposed 2018 Budget Presentation Bristol Township

Council President - Craig Bowen Council Vice-President – Cynthia Murphy Councilman Howard Allen Councilman - Patrick Antonello Councilman - Joe Glasson Councilman - John Monahan Councilwoman – Maryann Wagner Township Manager -William J. McCauley, III December 7, 2017

SLIDE 2

2018 BUDGET SCHEDULE

2018 budget request forms

distributed to department heads on September 14. Dept. heads submit expenditure estimates (October 7).

2018 Budget Distributed to Council

and public on November 14

2018 Budget Public Hearings:

November 14 (first reading) December 7 (presentation)

Adoption of proposed 2018 budget:

December 7 or December 21

SLIDE 3

BUDGET HIGHLIGHTS

No fund balance being proposed as revenue in

the balanced General Fund operating budget for the sixth consecutive year=BALANCED BUDGET.

NO REAL ESTATE TAX INCREASE (Real estate tax

decrease in 2012, 2015 and no increase in 2013, 2014, 2016, 2017, and 2018)

Proposed budget reflects a 13% increase (all

funds) over the 2017 adopted budget.

Continue to invest in infrastructure. $2 million

for gateway beautification projects, $1 million for blight removal, and $4 million for expansion of municipal complex park.

$76,475,204

million in unfunded liabilities2 despite having gone to Act 111 Arbitration.

2: Total = $76,475,204 includes post employment benefit plan, Police Pension Trust Fund, and accrued leaves . Breakdown is as follows: Post employment benefit plan ($66,464,278), Police Pension Trust Fund ($6,538,930), Accrued Leave ($3,471,996)

SLIDE 4

COMPARISON BETWEEN 2017 ADOPTED & 2018 PROPOSED BUDGET

Township Fund 2017 Adopted 2018 Proposed Increase/Decrease % Change from Budget Budget from Previous Year Previous Year

General Fund $ 23,888,500.00 $ 21,186,000.00 $ (2,702,500.00) (11%) Education Service Agency $ 170,900.00 $ 183,300.00 $ 12,400.00 7% Street Lights $ 805,000.00 $ 728,500.00 $ (76,500.00) (10%) Fire $ 1,177,800.00 $ 1,146,400.00 $ (31,400.00) (3%) Rescue $ 227,300.00 $ 230,400.00 $ 3,100.00 1% Parks $ 793,100.00 $ 469,800.00 $ 323,300.00 (41%) Grants $ 820,000.00 $ 1,074,800.00 $ 254,800.00 31% Capital Projects $ 5,364,000.00 $ 12,730,000.00 $ 7,366,000.00 137% Debt $ 2,138,000.00 $ 2,756,400.00 $ 618,400.00 29% Refuse $ 5,281,400.00 $ 7,198,700.00 $ 1,917,300.00 36% Liquid Fuels $ 1,915,000.00 $ 2,750,000.00 $ 835,000.00 44% Community Development $ 944,200.00 $ 1,042,600.00 $ 98,400.00 10% Sewer $ 11,749,180.00 $ 11,079,500.00 $ (669,680.00) (6%) Total Budgets $ 55,274,380.00 $ 62,576,400.00 $ 7,302,020.00 13%

SLIDE 5

GENERAL FUND OPERATING RESULTS

(Revenues-Expenses)/Revenues

25%
20%
15%
10%
5%

0% 5% 10% 15% 20% 2012 2013 2014 2015 2016 2017 2018 Operating Results Balanced Fund(Trigger) Year Surplus/(deficit) Balanced Fund (Trigger) 2012 $1,544,910.00 3.30% 2013 $2,123,021.00 7.50% 2014 $3,390,999.00 9.39% 2015 $(4,251,452.00) 15.61% 2016 $ 252,650.00 1.12% 2017

0 -

0.00% 2018

0-

0.00%

SLIDE 6

GENERAL FUND REVENUES

Highlights

General Fund revenues will be $21,186,000 and expenditures

will be $21,186,000 (11% decrease from 2017 budget).1

2018 General Fund budget proposes to balance the budget

without using any fund balance as operating revenue.

Net revenues are slightly more than 2017 levels. 2

1: No significant transfers of general fund revenue to capital fund proposed in 2018. 2: Largely due to efficient collection of EIT, LST,R/E transfer taxes and various fees.

SLIDE 7

GENERAL FUND REVENUES

2013 ACTUAL 2014 ACTUAL 2015 ACTUAL 2016 ACTUAL 2017 ADOPTED 2018 PROPOSED

TOTAL REVENUES

$22,610,670 $21,720,179 $21,946,394 $22,489,671 $23,888,500 $21,186,000

INTERFUND TRANSFERS

$1,060,069 $300,000 $400,000 $460,000 $3,735,000 $535,000

NET REVENUES

$21,550,601 $21,420,179 $21,546,394 $22,029,671 $20,153,500 $20,651,000

INCREASE(DECREASE)

$1,148,725 ($130,422) $126,215 $483,277 ($1,876,171) $497,500

PERCENTAGE

5.63% (.6%) .58% 2.24% (8.52%) 2.47%

Bristol Township Net General Fund Revenues 2013 to 2018

SLIDE 8

GENERAL FUND REVENUES 2018

General Fund Revenue Source 2017 Adopted 2018 Proposed % of Total Surplus/Deficit from Previous Year % Change from Previous Year

Total Revenue

23,888,500.00 21,186,000.00 N/A (2,702,500.00) (11.31%)

Real Property Taxes

7,558,000.00 7,611,000.00 35.92% 53,000.00 0.70%

Local Enabling Taxes

2,191,000.00 2,331,000.00 11.00% 140,000.00 6.39%

Earned Income Taxes

6,100,000.00 6,250,000.00 29.50% 150,000.00 2.46%

Business License & Permits

2,662,200.00 2,756,200.00 13.01% 94,000.00 3.53%

State Shared Revenue

646,700.00 671,700.00 3.17% 25,000.00 3.87%

Capital & Operating Grants

0.00 0.00 0.00%

Miscellaneous

328,100.00 354,600.00 1.67% 26,500.00 8.08%

Charges for Services

190,500.00 190,500.00 0.90%

Fines & Forfeits

477,000.00 486,000.00 2.29% 9,000.00 1.89%

Debt Proceeds

0.00 0.00 0.00%

0.00%

Interfund Transfer

3,735,000.00 535,000.00 2.53% (3,200,000) (85.68%)

SLIDE 9

GENERAL FUND REVENUES 2018

35.92% 11.00% 29.50% 13.01% 3.17% 0.00% 1.67% 0.90% 2.29% 0.00%2.53% Real Property Taxes Local Enabling Taxes Earned Income Taxes Business Licenses & Permits State Shared Revenue Capital & Operating Grants Miscellaneous Charges for Services Fines & Forfeits Debt Proceeds Interfund Transfers

SLIDE 10

GENERAL FUND EXPENDITURES

Highlights

Investment in public safety: Hire two full-time police officers
Continued investment in technology to improve productivity

SLIDE 11

GENERAL FUND EXPENDITURES

2013 ACTUAL 2014 ACTUAL 2015 ACTUAL 2016 ACTUAL 2017 ADOPTED 2018 PROPOSED

TOTAL EXPENDITURES

$20,487,649 $18,329,180 $26,197,846 $22,237,021 $23,888,500 $21,186,000

INTERFUND TRANSFERS

$2,828,290. $890,816 $7,832,078 $3,423,850 $3,777,200 $221,900

NET EXPENDITURES

$17,659,359 $17,438,364 $18,365,768 $18,813,171 $20,111,300 $20,964,100

INCREASE(DECREASE)

($1,219,977) ($220,995) $927,404 $447,403 $1,298,129 $852,800

PERCENTAGE

(6.46%) (1.25%) 5.32% 2.43% 6.90% 4.24%

Bristol Township Net General Fund Expenditures (2013 to 2018)

SLIDE 12

GENERAL FUND EXPENDITURES (2018)

General Fund Expenditures 2017 Adopted 2018 Proposed % of Total GF Expenditures Surplus/Deficit from Previous Year % Change from Previous Year Salaries $9,100,700.00 $9,744,700.00 46.48% $644,000.00 7.00% FICA $303,500.00 $317,500.00 1.51% $14,000.00 5.00% Benefits $7,142,300.00 $7,350,200.00 35.06% $207,900.00 3.00% Total Personnel Related Costs $16,546,500.00 $17,412,400.00 83.06% $865,900.00 5.00% Operating Expenditures $3,564,800.00 $3,551,700.00 16.94% $(13,100.00) (.37%) Total Expenditures $20,111,300.00 $20,964,100.00 N/A $852,800.00 4.24%

SLIDE 13

GENERAL FUND EXPENDITURES

(2018)

46.49% 1.51% 35.06% 16.94%

Salaries FICA Benefits Operating Expenses

SLIDE 14

CAPITAL FUND

Highlights

2018 total proposed budget

for the Capital Fund is $12,730,000 an increase of $7,366,00

ver

the 2017 budget of $5,364,000

Borrowed $10 million from

Delaware Valley Regional Finance Authority in July 2017

Transferred

$3 million to debt fund to pay off loans

SLIDE 15

CAPITAL FUND

Highlights

Development of municipal complex

parkland ($4 million)

SLIDE 16

CAPITAL FUND

Highlights

Development of municipal complex

parkland ($4 million)

SLIDE 17

CAPITAL FUND

Highlights Cedar Avenue Park

SLIDE 18

CAPITAL FUND

Highlights

SLIDE 19

CAPITAL FUND

Highlights

Township Gateway Beautification Project –

$2 million

Blight Elimination ($1 million)
Upgrade of five intersections/traffic signals
Spray Park at Policeman’s Park ($700,000)
Wistar Avenue Bridge ($850,000)
Other capital projects computer upgrades

($60,000) document scanning technology ($150,000), and new police cars ($165,000) provide “Glasson Grants” ($100,000) to volunteer fire companies and public works bucket truck ($100,000)

SLIDE 20

BRISTOL TOWNSHIP MILLING & PAVING

Program Summary

*The Public Works Department has also paved approximately 2 miles of Township highways between 2012 and 2014.

ROADS MILES COST

2012 36 8.4 $1,259,940 2013 162 35.8 $4,255,722 2014 99 25.0 $3,529,988 2015 130 32.3 $4,421,213 2016 50 14.6 $1,979,952 2017 11 3.36 $368,132 Total 488 119.46 $15,814,947 2018 15 10 $1,500,000 GRAND TOTAL 503 129.46 $17,314,947

SLIDE 21

CAPITAL PROJECTS

Highlights

SLIDE 22

RECREATION FUND

2014 Actual 2015 Actual 2016 Actual 2017 (Adopted) 2018(Proposed) 5 Year Aggregate Total Revenues $430,255.00 $427,929.00 $445,211.00 $793,100.00 $469,800.00 $2,566,295.00 Total Expenses $385,625.00 $359,484.00 $312,373.00 $793,100.00 $469,800.00 $2,320,382.00 Surplus/(Deficit) $44,630.00 $68,445.00 $132,838.00

____$245,913.00

SLIDE 23

REFUSE FUND

2014 Actual 2015 Actual 2016 Actual 2017 Adopted 2018 Proposed 5 Year Aggregate

TOTAL REVENUES

$5,430,451.00 $5,311,461.00 $5,557,006.00 $5,281,400.00 $7,198,700.00 $28,779,018.00

TOTAL EXPENSES

$4,274,562.00 $4,520,637.00 $4,837,488.00 $5,281,400.00 $7,198,700.00 $26,112,787.00

SURPLUS/(DEFICIT)

$1,155,889.00 $790,824.00 $719,518.00

$2,666,231.00

SLIDE 24

REFUSE FUND

Highlights

2018 total proposed budget for the Refuse Fund is $7,198,700

an increase of $1,917,300 over the 2017 budget of $5,281,400

2018 is the final year of a five-year trash contract with Waste

Management to expire on December 31, 2018.

No Rate Increase proposed for Residential trash in 2018.
$20 rate reduction in 2014 for residential refuse collections

decreased the annual residential trash fee from $337 a year in 2013 to $317 in 2014 ($317 fee proposed again in 2018).

Free Spring Cleanup Weekend/Fall Cleanup Day to dispose of

extra trash.

Free electronics recycling program for township residents.

Only municipality in Bucks County with free electronics recycling program!

SLIDE 25

SEWER FUND

2014 Actual 2015 Actual 2016 Actual 2017 Adopted 2018 Proposed 5 Year Aggregate Total Revenues $5,258,090.00 $5,217,852.00 $5,381,058.00 $11,749,180.00 $11,079,500.00 $38,685,680.00 Total Expenses $4,436,644.00 $5,777,128.00 $5,020,549.00 $11,749,180.00 $11,079,500.00 $38,063,001.00 Surplus/(Deficit) $ 821,446.00 $(559,276.00) $360,509.00

$622,679.00

SLIDE 26

SEWER FUND

Overview

65 Miles of Sewer Lines
18 pumping stations
2.25 million permitted gallons of sewage treated

daily at treatment plant.

2018 total proposed budget for the Sewer Fund

revenues is $11,079,500 a decrease of $669,680 over the 2017 budget of $11,749,180.*

*Reflects $5.7 million in capital upgrades

SLIDE 27

SEWER FUND

Highlights

No rate increase proposed for sewer fund.
$5.7 million to invest in a secondary clarifier and end

moratorium on sewer connections to collection system and increase capacity at sewage treatment plant.

Expenditures include continuing repairs ($789,378)

for capital upgrades to the sewer pumping stations, Inflow and Infiltration program (I&I) work ($400,000), and treatment plant generator $830,000

SLIDE 28

SEWER FUND

Highlights

Contract with M&B Environmental

expires end of 2017

Solicited

proposals from Aqua, Severn Trent, BCWSA, and M&B to assume plant

perations

and management

New Five-Year contract ($1.5 million)

with Severn Trent (Inframark) to assume management and operations

f wastewater treatment plant.
Severn Trent (Inframark) has 35+

years experience in wastewater industry

SLIDE 29

2017 LIQUID FUELS FUND FINANCIAL RESULTS

(Projected)

Funds from the Commonwealth of PA used for maintenance & reconstruction

f Township Roads

January 1, 2017 Beginning Fund Balance $3,079,649 Revenue 1,562,179 Expense 1,661,644 Annual Deficit 99,465 December 31, 2017 Cumulative Fund Balance $2,980,184

SLIDE 30

TOWNSHIP MILLAGE & REFUSE FEE

Average Assessed Value 17,877 Mils Average Resident's Township Real Estate RE Taxes & Year Millage Tax Refuse Fee Trash Fee 2008 19.6125 $351.00 $332.00 $683.00 2009 20.9875 $375.00 $337.00 $712.00 2010 23.9875 $429.00 $337.00 $766.00 2011 23.9875 $429.00 $337.00 $766.00 2012 23.9875 $429.00 $337.00 $766.00 2013 23.9875 $429.00 $337.00 $766.00 2014 23.9875 $429.00 $317.00 $746.00 2015 23.98 $429.00 $317.00 $746.00 2016 23.98 $429.00 $317.00 $746.00 2017 23.98 $429.00 $317.00 $746.00 2018 23.98 $429.00 $317.00 $746.00

Bristol Township Taxes 2008-2018

SLIDE 31

REAL ESTATE TAX MILLAGE HISTORY (2007 – 2018)

TOWNSHIP AMOUNT PERCENTAGE YEAR MILLAGE INCREASE INCREASE 2007 19.6125

0.00%

2008 19.6125

0.00%

2009 20.9875 1.3750 7.01% 2010 23.9875 3.0000 14.29% 2011 23.9875

0.00%

2012 23.9875

0.00%

2013 23.9875

0.00%

2014 23.9875

0.00%

2015 23.98 (0.0075)

0.03%

2016 23.98

0.00%

2017 23.98

0.00%

2018 23.98

0.00%

TOTALS 4.3675 21.27% AVERAGE 0.3644 1.77%

SLIDE 32

VALUE OF ONE MILL

(2008-2018)

Year Assessed Valuation Value of One Mill Net Value of One Mill 2018

$418,976,610 $418,976.61 $397,932.78

2017

$416,156,390 $416,156.39 $395,348.75

2016

$416,798,170 $416,798.17 $395,958.26

2015

$417,462,470 $417,462.47 $396,589.35

2014

$416,837,500 $416,837.50 $391,827.25

2013

$418,976,000 $418,976.39 $393,837.81

2012

$416,024,630 $416,024.63 $391,063.15

2011

$417,440,720 $417,440.72 $392,394.28

2010

420,204,750 $420,204.75 $394,992.47

2009

420,688,490 $420,688.49 $395,447.18

2008

420,774,370 $420,774.37 $395,527.91

SLIDE 33

215.82 , 82% 23.98 , 9% 23.20 , 9%

Bristol Township S.D 215.82 mills Bristol Township 23.98 mills Bucks County 23.20 mills

WHERE YOUR TAX DOLLARS GO!!!

SLIDE 34

215.82 23.98 23.20

50.00

100.00 150.00 200.00 250.00 Bristol Township S.D. Bristol Township Bucks County

Millage Assessed Governmental Entity

BRISTOL TOWNSHIP MILLAGE DISTRIBUTION (2018)

SLIDE 35

TOTAL AND AVERAGE COST OF HEALTH INSURANCE (2018)

(Employee/Retiree)

CLASSIFICATION NUMBER ANNUAL COST AVERAGE COST Non-Uniform 44 $882,552 $20,058 Police (Active) 62 $1,736,516 $28,008 Retirees 76 $1,429,300 $18,807 TOTALS 182 $4,048,368 $22,244

SLIDE 36

AVERAGE HEALTH INSURANCE COST

(Per Employee)

Classification 2014 2015 2016 2017 2018 ACTUAL ACTUAL ACTUAL (ADOPTED) (PROPOSED) NON-UNIFORM $16,635.00 $23,302.00 $19,299.00 $22,965.00 $20,058.00 POLICE ACTIVE $21,593.00 $22,960.00 $24,132.00 $27,167.00 $28,008.00 RETIREES $14,898.00 $14,815.00 $16,917.00 $17,232.00 $18,807.00

SLIDE 37

HEALTH, RX, VISION AND DENTAL INSURANCE RATES FOR NON-UNIFORM EMPLOYEES (2018)

(TWU)

TOTAL TOTAL PPO/1000/3000 RX5/20/35 VISION DENTAL PER MONTH ANNUAL Single $611.51 $281.37 $3.27 $23.58 $919.73 $11,036.76 Parent/Child $1,090.17 $518.30 $9.10 $82.91 $1,700.48 $20,405.76 Parent/Children $1,090.17 $518.30 $9.10 $82.91 $1,700.48 $20,405.76 Couple $1,406.42 $691.10 $9.10 $82.91 $2,189.53 $26,274.36 Family $1,793.93 $753.91 $9.10 $82.91 $2,639.85 $31,678.20

SLIDE 38

HEALH, RX, VISION AND DENTAL INSURANCE RATES FOR POLICE EMPLOYEES (UNIFORM) 2018

(Police)

TOTAL TOTAL $10 HMO RX $5/$10 VISION DENTAL PER MONTH ANNUAL Single

$672.54 $263.16 $3.27 $23.58 $962.55 $11,550.60

Parent/Child

$1,202.89 $434.23 $9.10 $82.91 $1,729.13 $20,749.56

Parent/Children

$1,202.89 $434.23 $9.10 $82.91 $1,729.13 $20,749.56

Couple

$1,548.59 $578.98 $9.10 $82.91 $2,219.58 $26,634.96

Family

$1,972.26 $631.62 $9.10 $82.91 $2,695.89 $32,350.68

SLIDE 39

HEALTH, RX, VISION AND DENTAL INSURANCE RATES FOR NON-UNIFORM EMPLOYEES (2018)

(SEIU)

TOTAL TOTAL KEYSTONE15 RX $10/$20 VISION DENTAL PER MONTH ANNUAL Single $1,233.03 $249.46 $3.48 $23.58 $1,509.55 $18,114.60 Parent/Child $2,198.74 $411.59 $9.68 $82.91 $2,702.92 $32,435.04 Parent/Children $2,198.74 $411.59 $9.68 $89.38 $2,702.92 $32,435.04 Couple $2,837.83 $548.79 $9.68 $89.38 $3,485.68 $41,828.16 Family $3,618.52 $598.68 $9.68 $89.38 $4,316.26 $51,795.12

SLIDE 40

TOTAL COST OF HEALTH INSURANCE

(Employees/Retirees)

Classification 2014 Actual 2015 Actual 2016 Actual 2017 (Adopted) 2018 (Proposed) NON-UNIFORM

$781,846.00 $838,800.00 $851,839.00 $941,565.00 $882,552.00

POLICE-ACTIVE

1,230,795.00 1,285,786.00 1,496,154.00 1,629,984.00 1,736,516.00

RETIREES

1,147,104.00 1,170,419.00 1,285,740.00 1,292,322.00 1,429,300.00

TOTAL

$3,159,745.00 $3,295,005.00 $3,633,733.00 $3,863,871.00 $4,048,368.00

SLIDE 41

HEALTH INSURANCE OPT-OUT PROGRAM

Health Ins RX Dental $ 23,667.12

0-

$ 994.92 23,667.12

0-

994.92 7,338.12 $ 3,376.44 282.96 21,527.16 9,046.92 994.92 16,877.04 8,293.20 994.92 21,527.16 9,046.92 282.96 21,527.16 9,046.92 994.92 21,527.16 8,293.20 994.92 16,877.04 3,376.44 282.96 $174,535.08 $ 50,480.04 $ 7,530.16 $232,545.48 Opt Out $36,300.21 FICA $ 2,497.97 Total Cost 38,798.18 Savings $193,747.30

SLIDE 42

BRISTOL TOWNSHIP UNFUNDED LIABILITIES

2016-2018

2016 2017 2018 INCREASE/ (DECREASE) POST EMPLOYMENT BENEFIT PLAN $73,094,112 $66,464,278 $66,464,278

0-

POLICE PENSION TRUST FUND $ 6,538,930 $ 6,538,930 $ 6,538,930

0-

ACCRUED LEAVES $ 3,050,895 $ 3,170,376 $ 3,471,996 $ 23,314 TOTAL UNFUNDED LIABILITIES $82,683,937 $76,173,584 $76,475,204 $ 23,314 *Police Pension Trust figures based on January 1, 2015 actuarial report (with smoothing) 1

SLIDE 43

POST EMPLOYMENT BENEFITS STATUS

Unfunded Liabilities- Post Retirement Benefits

60,000,000 65,000,000 70,000,000 75,000,000 80,000,000 85,000,000 2010 2011 2012 2013 2014 2015 2016 2017 2018 Unfunded Actuarial Increase/(Decrease) Liability Year on Year 2010 $66,917,267.00

2011

$77,074,400.00 $ 10,157,133.00 2012 $80,718,771.00 $ 3,644,371.00 2013 $70,420,090.00 $(10,298,681.00) 2014 $72,943,694.00 $ 2,523,604.00 2015 $75,284,033.00 $ 2,340,339.00 2016 $73,094,112.00 $ (2,189,921.00) 2017 $66,464,278.00 $ (6,629,834.00) 2018 $66,464,278.00

0-

SLIDE 44

POLICE PENSION EXPENDITURES

(2014-2018)

MMO Bond Deferred Compensation Total 2014 $1,739,662.00 $581,322.00 $101,548.00 $2,422,532.00 2015 $2,219,238.00 $270,820.00 $108,912.00 $2,598,970.00 2016 $1,616,617.00 $884,200.00 $109,283.00 $2,610,100.00 2017 $1,511,398.00 $935,000.00 $114,236.00 $2,560,634.00 2018 $1,505,029.00 $935,000.00 $119,634.00 $2,559,663.00

SLIDE 45