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Home My WebLink About2012 Budgetgat 2012 Budget For the year beginning January 1, 2012 and ending December 31, 2012 Mayor Patty Lent Council Members Jim McDonald.. District 1 Cecil McConnell.. District 2 Adam Brockus ..District 3 Roy Runyon.. District 4 Greg Wheeler.. District 5 Dianne Robinson.. District 6 Carol Arends .. District 7 Will Maupin— Council President.. District 8 Nick Wofford .. District 9 Executive Leadership Roger Lubovich .. City Attorney Alan Lobdell .. Interim Public Works & Utilities Director Craig Rogers.. Police Chief Al Duke.. Fire Chief Andrea Spencer.. Director of Community Development Wyn Birkenthal .. Director of Parks and Recreation Becky Hasart .. Director of Financial Services Cover by Kelsie Donleycoll Office of the Mayor 345 6th Street, Suite 600 Bremerton, WA 98337 -9873 Telephone: 360- 473 -5266 Fax: 360- 473 -5883 patty. lent@ci. bremerton. wa. us Patty Lent, Mayor January 1, 2012 To the Citizens and the Honorable Council of the City of Bremerton, It is my privilege to present to you the 2012 Fiscal Budget for the City of Bremerton. As with any organization or private household, these challenging economic times in which we live have forced us to take a hard look at exactly how much money we have and how we spend it. This means making adjustments to our way of life to ensure that we live within our means. The City of Bremerton is no different. During the development of this budget, we as an organization have had to make tough choices to do just that. This includes everything from being realistic about appropriate expectations on the resources available to having to eliminate various positions and services to keep our expenses within those identified resource levels. As you review this document, I would like to highlight specific areas for your consideration: • This budget does not include any identified cost of living increases for our staff. The City has three labor contracts that expired at the end of 2011. As we continue to negotiate these contracts, we must maintain a status quo until new contracts are ratified. As such, we do not yet know what, if any, cost of living adjustment will be associated with these contracts. The fourth labor contract with our fire union was extended for one year (to expire December 31, 2012) and includes a 3.4% wage concession from all fire union members. This extension was ratified and approved during December 2011. In addition, this budget includes furloughs and /or wage concessions from myself and our Department Directors. We as a group volunteered these concessions in an effort to assist in minimizing the number of positions that would need to be considered for elimination in order to live within our means. • Revenue projections throughout all funds remain conservative. While we continue to believe that the economy has made a turn for the better, and we continue to see slow but steady economic development within the City, it will still take a few years for the City's revenues to realize these improvements. As such, our revenue projections remain flat or show little growth over the current and prior two years. • During 2011, the City created two new funds, an Accumulated Leave Fund and Employment Security Fund, to address short term and long term liabilities associated with personnel. The City is self insured for unemployment benefits but has not in the past funded this liability. Also, the City has an obligation to cash out accumulated leave banks for those employees that leave City service. With the creation of these funds, the City is moving toward increasing fiscal stability by incorporating these costs into our annually budgeted personnel expenditures and having them centralized in a dedicated fund to minimize the impact to the operational budgets for each department. The 2012 budget continues this initiative and increases the incremental contribution to each fund from 1 /2% of budgeted wages to 1% of budgeted wages. • In keeping with the conservative approach, capital and /or special projects that require grant funding have only been budgeted if the grant funding has already been awarded. Any projects that require new grants have not been identified in this budget. (There are no new parks identified for development in 2012.) If the City applies for and receives grant funding for new projects /programs during 2012, the City will amend the budget at that time. By taking this approach, we can assure our citizens that full discussion can occur before we expend resources for items that we may not receive. • To increase transparency regarding using on -going revenues to fund on -going expenditures, we have separated capital into individual funds for each of our utilities. By isolating out the capital from our on -going operations and maintenance (O &M) costs, we can better budget the O &M costs to stay within our means. Each of the utility funds (Water, Wastewater, and Stormwater) will still show a transfer to the related capital fund, but this transfer will be funded from the reserves in each fund, leaving the O &M costs to be funded from the anticipated on -going revenue identified for 2012. During the first quarter of 2012, we will be analyzing the remaining reserves in each utility fund to identify those resources that have been banked for future capital items and transferring these amounts to the appropriate capital fund. • While the 2012 budget does not include rate increases for the Wastewater and Stormwater utility funds, there is a 6% rate increase for the Water Fund. This increase brings projected water revenues to a level that supports the operational needs of the utility. A comprehensive rate analysis will still need to be done during 2012 to insure that our rates are adequate to not only cover our O &M costs, but also insure that the City can meet its fiscal obligations for the existing debt service and capital needs related to the utilities. We have budgeted for such a study to occur during the first half of 2012. • Because the O &M costs for the utilities are budgeted within the projected revenue streams for each utility for 2012, while leaving capacity to rebuild reserves and meet our debt service ratios, this budget increases the utility tax paid by the Wastewater and Stormwater funds from 9.5% to 14 %. The Water utility tax remains unchanged at 9.5 %. (The PILOT, payment in lieu of taxes, for all three utilities is currently 6% and this budget does not propose any change to this amount.) Again, we can do this for 2012 without increasing our monthly rates for Wastewater and Stormwater. The utility tax from the Stormwater Fund (approximately $324,000) will go to the Street Fund to better provide resources for our street operations. The increase to the Wastewater utility tax will continue to be a revenue stream for the General Fund. • This budget also increases our parking tax from 10% to 15% for all commercial parking operations within the City. The parking tax is a revenue stream to our Street Fund and this increase (approximately $150,000) will again add additional revenues to streets to assist with our operations within that program, specifically as it pertains to materials and supplies. • Some funds have purposely been budgeted to dip into their respective reserve accounts. This is appropriate in that these funds have built reserves for very specific purposes or can only be spent for very specific purposes. If a program qualifies as an allowable use for these restricted funds, we have chosen to use these funds first before going to General Fund revenues while maintaining an adequate amount in the projected ending fund balances for future needs. Bonding funds are not designed to have large reserves, capital funds are designed to exhaust their reserves as the project is completed, and internal service funds are not designed to "make a profit," so their budgets are designed to use some reserves to decrease the charges imposed on the operational funds that pay them. • General Fund expenditures exceed projected revenues by only $8,259. In other words, the 2012 budget has us closer to living within our means. There are many factors that brought us to this point, most specifically the hard work and cooperation of all the department directors. Initial departmental requests for General Fund expenditures exceeded projected revenues between $2.5 million to $2.7 million. After meeting with each department director to review their requests, we were able to trim down this deficit to approximately $2.1 million. In addition to the increases in utility taxes and the decreases to interfund charges for equipment maintenance and IT services, this budget suspends ER &R, equipment rental and reserve, payments during 2012 as the ER &R reserves should carry us until 2013. This strategy not only helped the General Fund move closer to being balanced, but brought relief to our street and utility funds as well. These strategies, along with budgeted staffing changes, have brought our expenditure requests in line with our projected revenues for 2012. The above referenced items are only part of the equation. As mentioned in my last bullet above, to realistically live within our means in today's fiscal environment, we had to also consider our staffing levels. As with any organization, our people are our backbone and strength. Over the last few years, we have been eliminating positions through attrition and reorganizations, and in some cases, due to budget constraints. For example, between 2010 and 2011, the City eliminated 23.75 positions throughout the entire organization, bringing us from a total of 356.13 authorized positions to 332.38 authorized positions. During 2011, as staff either retired or moved on to other opportunities, we as an organization used these vacancies to either redistribute work tasks or reorganize the department's staffing structure. These efforts allowed us to trim an additional 8 positions during the current year. While we have tried to preserve as many staff as possible by eliminating positions through attrition during these tough economic times, fiscal reality does not allow us this luxury any longer. As such, the 2012 budget eliminates an additional 11.40 positions, for a total reduction of 19.40. Although this budget includes a reduction in force, the City will be able to increase services to our citizens with the advent of a one stop permit center. Other services to our citizens should see no real impact. Parks and Recreation service levels will be similar to 2011. Their reception duties currently handled by the office assistant position will be filled through rotation of recreation coordinators covering the front desk. For Streets, the reinstatement of all the electronics positions between the original proposed 2012 budget and the final adopted budget before you allows this division the ability to meet all of its existing electrical and electronic requirements. Examples include: the tunnel maintenance contract; all signal and street light maintenance for the city; etc. With the reinstatement of the Street Service Specialist, the streets division will meet all of their maintenance requirements for road surfaces, signage, vegetation control, sidewalks, and snow and ice control as currently handled in 2011. Also, the staffing level presented in the 2012 budget is sufficient to address critical safety issues associated with our transportation grid. Engineering has analyzed and reorganized its duties among the remaining staff in a manner that enables them to accomplish their workload without being a detriment to the staff or having a noticeable change in levels of service to our citizens. Other job duties within the division were consolidated to again allow the engineering division to perform its core functions without a noticeable change in levels of service. After consideration of all these changes, the 2012 position count is 312.98, down 43.15 since the end of 2009. A full list of positions eliminated and /or reorganized can be found on page 20. The 2012 budget is just the first step as we continue to move the City toward fiscal stability over the upcoming years. Longer term initiatives the City will pursue include, but are not necessarily limited to: • Addressing long term liabilities such as LEOFF I obligations, accumulated leave obligations, and unemployment obligations; • Identifying a proper debt service level for the City and decreasing our existing debt service to a more manageable level; • Continuing to rebuild our reserve accounts; • Continuing to identify ongoing revenue /funding sources for streets; • Developing and implementing strategies to scale back the increases to the utility and PILOT rates on our utilities; • Addressing our fleet needs and appropriate funding for such; and • Working with Council to identify appropriate levels of service for all our programs. Again, as the City of Bremerton moves forward, our focus will continue to be on fiscal stability, effectiveness, efficiency, transparency, and accountability. I feel that the 2012 Budget continues this process. Although this budget does include reductions in our work force, these reductions will not affect our public safety priorities or our ability to provide our existing levels of service to our citizens. I thank you for your consideration and look forward to a productive year as we move forward. Sincerely, Patty Lent Mayor Table of Contents BudgetSummary ................................................... ............................... All Funds Revenue and Expenditure Summary .... ............................... 9 City Overview and Budget Process ............ .............................13 Strategic Priorities and Initiatives ........................ ............................... 20 Personnel.............................................................. ............................... 22 BudgetDetail ....................................................... ............................... 31 GeneralFund ....................................................... ............................... 33 Special Revenue Funds ........................................ ............................... 77 DebtService Funds ............................................ ............................... 105 Capital Improvement Funds ... ............................... ............................113 Enterprise Funds ................................................ ............................... 125 Internal Service Funds ....................................... ............................... 147 Capital Improvement Program .......................... ............................... 157 Financial Goals and Policies ............................. ............................... 165 Organization Charts ............................. ............................169 Statistical Tables & Schedule of Insurance .. ............................181 Glossary of Terms ............................... ............................ Ordinances..................................... ............................... 211 Total 2012 projected tax revenue (property taxes, sales taxes, business and occupation taxes and private utility taxes) in the General Fund are $21.969 million. This is approximately $336k more than 2011. Individually, general property and EMS taxes, the City's largest tax revenue source, anticipates an increase of $1 Ilk attrib- utable to the levy on new construction and an increase of 1% authorized by statute. Sales tax, formerly our number one revenue source for the General Fund, continues to remain flat with an- ticipated receipts for 2012 estimated at $6.7 mil- lion, including criminal justice. B & O revenue is budgeted at $2.7 million for 2012 and is es- sentially unchanged from 2011 anticipated re- ceipts. Though the City anticipates increased receipts in utility taxes for electricity and natural gas in the upcoming year, landline telephones continue to decrease substantially providing very little overall increase in this tax category. Total utility taxes on electricity, natural gas, solid waste, cable and telephones provide a modest increase of $55k compared to the 2011 budget. In response to the current economic conditions, the City has continued budgeted spending re- ductions, deferred equipment payments into the City's ER &R Fund and efforts to eliminate va- cant positions wherever possible. The City of Bremerton provides services and programs through the efforts of its qualified and capable staff. Though the 2012 budget includes significant reductions in staff, personnel costs remain the highest expense in the General Fund. i 1'•' Efforts will continue to analyze appropriate staffing levels not only in the General Fund, but throughout the City. In addition to overall supplies and services cuts, other specific actions taken in order to balance the 2012 General Fund budget include: • Reduction of authorized personnel by 19.4 FTE's. Specific positions are identified un- der the personnel section. • Various fees and charges for services were reviewed and revised as appropriate to en- sure City costs were properly recovered. • Transfers -in from Police Special Operations and Trial Improvement Funds to help sup- port operations. • Continuation of reduced equipment and op- erations and maintenance transfers to ER &R due to reorganization within the fleet. • Similar to 2011, all fuel tax revenues are be- ing receipted directly to the Street Fund which is offset by a reduced transfer from the General Fund. • Reduced interfund costs associated with In- formation Technology. The City also anticipates Real Estate Excise Tax (REST) to remain flat in 2012 with budgeted revenues at $380k. This is a substantial reduc- tion compared to average receipts for 2005 2008 which brought in an average of $1.2 mil- lion annually. The impacts of reduced revenue vary, but the lost revenue is most significant to funding maintenance of the City's street system and providing matching funds for secured grants for various capital projects. 1 As we move forward into 2012, the City will con- tinue to monitor revenues closely and oversee ex- penditures city -wide. Overall, the adopted budget for 2012 is $130,393,561. It includes $37.21 mil- lion for personnel costs (29 %), $27.54 million for supplies (21 %), $6.7 million for debt service (5 %), $20.81 million for capital outlay (16 %), $11.97 million in transfers among funds (9 %), and $26.1 million in ending fund balances (20 %). The resources to fund the budget include; $24.28 million in taxes (property, sales, business and oc- cupancy, and franchise taxes) (19 %), $1.16 mil- lion in licenses & permits (1 %), $13.93 million in intergovernmental revenue (11 %), $36.84 million in charges for services (28 %), $1.46 million in fines and forfeits (1 %), $17.54 million in other revenues(13 %) and $35.19 million in beginning fund balance (27 %). The following provides a summary of the 2012 budget by fund and department. City Council The Council budget includes funding for two sup- port staff and nine councilors. The total budget is increased by $7.2k over the 2011 amended budget (2.2 %). Executive The Mayor's budget includes funding for the Mayor and support staff. Supplies and services were reduced by $45k in 2012. I 'financial ,S'ervices and 0ty Clerk The Financial Services and City Clerk budget re- flects an overall decrease of approximately $94k over the 2011 budget, (- 8.2 %). The decrease re- sults primarily from a reduction in force by elimi- nating an Accounting Assistant II position and re- allocating 20% of the Director's time to Human Resources. The change in allocation properly re- flects the percentage of work performed in each department. Leg, xl S'ervice The Legal Department budget continues to include the addition of in -house prosecution and personnel related costs for Risk Management previously ac- counted for in the Risk Management Fund. Com- pared to 2011, the City Attorney's Office budget decreased by $15k. Hun7an Resources The adopted 2012 budget for the Human Resources Department is reduced approximately $31k. The net reduction is a combination of reduced profes- sional services for labor negotiations and an in- crease in personnel expense. Staffing for the de- partment has remained at two full time equivalent positions. C'onw7unity Deve1opnwnt Community Development will house the City's "One- Stop" permit center, which will include the intake and issuance of right -of -way permits and engineering development review. The 2012 budget of $1.4 million represents a decrease of $124k and is due to the loss of 1 FTE and a significant reduc- tion in supplies and services. Personnel increased in 2012 due to employees no longer participating in reduced hour work weeks. Municipal Court Municipal Court's 2012 budget is $1.294 million. Funding is provided for reduced staffing from 2011, ten positions. Additionally, public defense services are funded at $185k. The Court budget also include $60k for protem, interpreter and non- contracted public defense services costs. 1 2 City .Auditor The City Auditor's total budget has increased by $3k, from $168k to $171k. Staffing is provided at the same level as last year, 1.2 positions. Law Ln,lbrcen7ent The Police Department's budget, is decreased $180k from 2011. The budget includes a reduc- tion of 2.4 FTE's as a result of two vacant posi- tions and reduction in force of .40 FTE. Other budget reductions included the Explorer Pro- gram, Bomb Unit, K -9 and Community Re- source Program. Law enforcement has also reduced the vehicle maintenance budget by $32k in 2012 through efficiencies gained from an expanded preventa- tive maintenance program and reduced fleet. Offsetting expenditures, the department was able to secure $37.7k in grant funding for the City's Community Resource officer in 2012. Other Law Enforcement grants are from Depart- ment of Justice (DOJ), $233k, and $34K from local and State Funding. A transfer from the Police Special Projects Fund is increased from $100k to $200k in 2012. 1 , 1relL,n7erg , ncy Medical Services Total expenditures for the Fire Department are reduced by $33k compared to 2012 and include a staffing reduction of 1 FTE. Due to the de- cease in the City's assessed valuation, budgeted EMS property taxes have been reduced by $97k. Police & 1 Pension The Police and Fire Pension 2012 budget in- cludes a decrease over 2011 of $191k. Insurance premiums are the primary reason for the de- crease due to retirees being eligible for Medicare benefits. Program costs are anticipated to remain constant during the next several years, prior to declining in future years as the number of recipi- ents decrease. The costs associated with this program are the result of legislative decisions made years ago that went unfunded at that time and there are presently no dedicated funding sources for the City to meet these obligations. The City continues to fund current year expendi- tures with current year General Fund revenue. Excluding fund balance, the total budget of $2.544 million represents approximately 7.2% of the total General Fund budget. General 1 The adopted budget for facilities is decreased by approximately $146k due to a grant funded pro- ject completed in 2011. Though discretionary maintenance items have been deferred, empha- sis is placed on maintaining the structural integ- rity of facilities and a roof replacement of Fire Station 42. Parks and Recreation The total 2012 Parks Recreation and Mainte- nance budget has increased by $86k compared to 2011. The majority of the increase is for ad- ditional expenses associated with personnel benefits and staff no longer taking furloughs. A $25k subsidy payment to the YMCA for pool operations is also included in 2012. Eng ineering In order to reflect total Engineering expense in one cost center, City -wide Engineering person- nel and supplies and service costs are allocated and budgeted in the General Fund in 2012, $2.13 million. Though three FTE's will be lo- cated in the DCD permit center, total personnel expense will remain in the engineering budget. Engineering staff is reduced by 3 FTE's in 2012. 1 3 Offsetting the additional cost to the General Fund, are charges for service revenues allocated from other funds for the work being performed on capital projects and utility operations and maintenance. Nonmdepartn7ental The Non - departmental 2012 adopted budget is $3.46 million, a decrease of $757k over the cur- rent year budget of $4.22 million. Significant reductions include $663k in transfers -out and $50k in unemployment benefits budgeted in a separate fund in 2012. Other programs funded in non - departmental in- clude election services ($69k), photo enforce- ment ($432k), self insurance premiums ($541k), payments for debt service on the Government Center ($411k), animal control ($204k), care and custody of prisoners ($751k), transfers to the Street Fund ($500), and Bond Fund ($225k). Other funding budgeted, consistent with 2011, are payments to Puget Sound Regional Council, Association of Washington Cities, Kitsap Re- gional Coordinating Council, Bremerton- Kitsap County Health District for certain public health support and services, Puget Sound Clean Air Agency and postage. Special Revenue Funds The City has thirteen special revenue funds, many accounting for dedicated revenue sources. Street and Arterial Street I 'und The City has two funds that account for street related activity. The Arterial Street Fund pres- ently accounts for capital improvements to the City's arterial street system. The fund was cre- ated due to the state restricting the expenditure of certain state allocated revenues for capital investment. Although the restriction has been removed and the fund balance isn't restricted, we have retained the fund in 2012. The fund will be eliminated when the capital projects cur- rently being budgeted are completed. In 2012, $4.9 million in capital projects are budgeted, including $2.5 million for Pacific Avenue between Sixth and Eleventh Streets. Other major projects in the Arterial Street budget include: Bremerton Highway Safety Im- provements ($850k), SR 303 11th Street and Warren Ave Intersection ($1.298 million) and Armin 7arh Sidewalk Improvements ($248k). Project funding sources include $4.7 million from federal grants. The Street Fund budget includes an allocation of the City's share of state fuel taxes ($820k), Parking Tax ($455k) transfers from the General Fund ($500k), Stormwater Fund ($324k from PILOT) and other operation revenue ($208k). The Street Fund budget of $2.28 million, in- cludes an additional $257k in supplies to be used for the maintenance and repair of City Streets. Lod ,ing lax fund Lodging tax revenue is anticipated to remain steady in 2012 at $380k. The $385k expenditure budget includes the recommended funding allo- cation of the Lodging Tax Committee ($140k) and the continuation of existing funding for the Conference Center ($155k) and Admiral Theatre ($90k). Parking ,S'ys ten? I 'und The City's downtown and residential parking enforcement program has realized significant financial challenges during the past several 0 years. Total revenue has declined from $1.3 mil- lion in 2009 to an estimated $1.07 million in 2011, a 22% reduction. This is due to several factors, including but not limited to, the addition of PSNS parking facilities, increased utilization of worker buses by PSNS, reduced ferry traffic, reduced fine revenues, and a temporary closure of a lot on 4th and Park to accommodate con- struction of the Park Plaza parking project. The new facility is expected to come online in early 2012 with approximately 250 parking spaces. Budgeted revenue for 2012 is $1.14 million, an increase of approximately $117k which will be realized in part by the new 4th and Park Street garage and the implementation of electronic pay stations at city -owned garages, parking lots and on- street parking areas. The 2012 expenditure budget includes opera- tions and maintenance expenditures of $616k and debt service payments of $676k. Conw7unity Developn7ent Block Brant 1 The Community Development Block Grant Fund adopted budget reflects funding almost exclusively with federal grants. The CDBG Fund anticipates a beginning fund balance of approximately $390k, $2.4 million in federal funding, $39k in other revenue and $45k from Kitsap County for an inter -local agreement for work performed by the City's CDBG Program Specialist. Program funding is budgeted consis- tent with CDBG Committee recommendations. Staffing for two positions is budgeted. The end- ing fund balance is projected at $318k. Public .Access 7 elevision fund The Bremerton Kitsap Access Television (BKAT) operation is accounted for in this fund. The estimated beginning fund balance has in- creased from $90k in 2011 to $191k in 2012. The operation is consistent with prior years with the majority of funding being provided by a por- tion of the City's cable TV franchises ($240k, 71 %). Other revenue includes intergovernmen- tal, charges for services to other agencies and citizens and miscellaneous ($97k). The budget includes maintenance of existing service levels with two FTE's ($240k), supplies and services ($37k), capital outlay (35k) and the continuation of a transfer to the General Fund ($25k). An ending fund balance of $190k is forecast. As noted above, BKAT receives 71% percent of its funding from City cable franchise fees. During 2012 staff will continue to work with other agencies utilizing BKAT to secure more equita- ble funding. Confilrence Center Operations 1 The overall budget for the Conference Center is $1.54 million, essentially unchanged from 2011. Of this amount, $1.4 million is for contractual costs with Columbia Hospitality. Projected reve- nues total $1.485 million, including $1.321 mil- lion from Columbia Hospitality, $155k from the Lodging Tax Fund, and $9k from miscellaneous revenue sources. Ending fund balance will rep- resent 14% of budgeted expenditures for 2012. Additionally, each year 3% of Conference Cen- ter revenue is set aside for improvements and replacing aging equipment. Other Special Revenue funds The .Abatement Revolving fund includes $42k in funding for neighborhood cleanup programs in 2012. The Police Special Projects 1,'und will continue to support the Police Special Opera- tions with a $200k transfer to the General Fund in 2012. Supplies and services associated with 5 the Special Operations Unit will continue to be funded. The Gl ft & Donations I 'und includes combined expenditures of $35k, including $10k designated for the annual Safety and Health Expo and a $5k transfer to General Fund Parks recreation and senior programs. Trial I prove - ent 1 and includes a transfer of $15k for Mu- nicipal Court operations. One Percent a )r .Arts 1 and includes $10.5k designated for installation and maintenance of preselected and existing art. C'onfingency Reserve fund includes an esti- mated beginning fund balance of $118k. No expenditures are budgeted in 2012. Debt Service Funds Bond 1 The Bond Fund includes the repayment of voter approved general obligation bonds for public safety facilities totaling $443k and non -voter approved general obligation bonds of $275k. Funding for the voter approved debt is provided by an annual property tax levy. The levy amount expected to be collected in 2012 is $355k, less than the annual debt service. At the end of 2012 an estimated ending fund balance of $17k is projected. 2010 LTG0 The 2010 LTGO fund includes payments total- ing $552k on non -voter approved general obli- gation bonds issued to fund construction of Park Plaza parking, the purchase and remodel of a building to house the Municipal Court and to provide matching funds for the renovation of Lions Park. Funding for the debt comes from a variety of sources. State shared sales tax in the amount of $330k is expected to be received from the Local Revitalization Financing pro- gram in addition to $121k as a US Treasury Build America Bonds tax subsidy. The remain- der of the funding is provided with a transfer from the General Government Capital Improve- ment fund. 2010 tI7 ClC) Re,f iiidiiz,� "1 ClC) ,Berm s B This fund included the repayment of bonds is- sued in 2010 to advance refund voter approved general obligation bonds issued in 2002 as well as non -voter approved general obligation bonds issued to complete the financing of Park Plaza parking. Funding for the refunding portion is provided by an annual property tax levy. The levy amount expected to be collected in 2012 is $413k. Funding for the non -voter approved debt is provided by a US Treasury Build Amer- ica Bonds tax subsidy, $38k, and a transfer from the General Government Capital Improvement fund, $73k. Capital Improvement Funds Park Plaza & Park Plaza Phase II As a result of the efforts of several staff and our local legis- lators, the City was successful in securing Local Revitalization Fund Tax increments of approxi- mately $330k per year for twenty -five years for a public /private development in downtown. The approved project is for a multi -level parking structure topped with a plaza /pad for private de- velopment and a combination of a multi -plex cinema, retail shops and affordable housing. Budgeted expenditures in 2012 are $109k in phase I and $4.1 million for phase II. General Goves nn7ent Capital In7proven7ent I 'und (I EEI ) This fund accounts for expenditures related to various general government capital improve- ment projects or debt service obligations related to capital. Anticipated REST revenues for 2012 are budgeted to remain flat at $380k. Expendi- 6 tunes in this fund are dedicated for the repay- ment of debt service on the Government Center, $210k, and the 2010 LTGO financing in the amount of $122.5k. As economic conditions turn for the better, it is hopeful that additional revenues can be dedicated for other much needed capital infrastructure throughout the City. Parks CaPital Construction 1 Expenditures in Parks Capital Construction Fund are budgeted at $1.3 million for 2012. This fund accounts for expenditures related to the Kiwanis Park Development project. Also included in the budget is $6k for debt service. Funding is obtained from a combination of grant funds, donations and prior transfers of proceeds from the sales of park facilities. Reve- nues in 2012 are budgeted at $970k with $745k in grant proceeds. I'ver,,gre n Park Ren7ediation I The majority of the environmental clean -up ef- fort on the Chevron site located adjacent to Ev- ergreen Park has been completed. The chemical reaction of the remediation effort continues and requires ongoing monitoring for several years in order to determine if additional remediation ef- forts are necessary. Total expenditures in 2012 for remediation efforts are $83k. Enterprise Funds 1 TVastewater and Stormwater utilities The City's combined utility maintenance and operations funds adopted budgets for 2012 total $42.5 million. Personnel costs for operations and maintenance are reduced by $1.2k, in part by staffing reductions and moving 100% of En- gineering staff to the General Fund. Supplies and services are increased by $832k, due in part by additional charges for services to the General fund for Engineering cost allocations as charges for services. Budgeted capital expenditures for 2012 are $7.9 million and are being accounted for in separate utility capital funds. Debt service is reduced $153k (4 %) to $3.561 million, and transfers for PILOT are increased by $563k to the General Fund with additional $324k being transferred to the Street Fund. Estimated ending fund balances, and percent of operation expenses, are as follows: Water Util- ity - $4.5 million (48 %), Wastewater Utility - $6.22 million (51 %), and Stormwater Utility - $1.76 million (75 %). All the utility funds ex- ceed the recommended 12% recommended end- ing fund balance as prescribed in the City's Fi- nancial Goals and Policies. It is important to note, though the fund balances look healthy in 2012, transfers to utility capital construction funds for future projects are expected to reduce these balances dramatically. Gold Mountain Go( f'C( n7plex Expenditures for the golf course are budgeted at $2.168 million, including debt service ($285k) and capital ($70k). Operations and maintenance expense for Gold Mountain are approximately $46k higher than budgeted in 2011. Capital ex- penditures include $70k for much needed equip- ment replacement. Budgeted revenues in 2012 are $2.039 million, $172k less than projected for 2011. The reduc- tion in revenue is from reduced greens fees that reflects a decline in golfing nationally. The estimated ending fund balance of $224k (10.7 %) is below the recommended fund bal- ance of 12% for this fund. 7 Internal Service Funds Risk Managenwnt The City's self- insurance program results are very favorable in 2011 with estimated year -end fund bal- ance of $2.15 million. The 2012 budget for internal charges remain relatively flat at $1.43 million and expenditures increased slightly by $13k to $1.43 million. Risk Management remains under the over - site of the City Attorney's office. An interfund transfer of $287k is budgeted under professional services for staff related costs associated with the fund. I,n7ployn7ent ,Security and Accunnilatecl Leave Li- ability I These funds were created in 2011 to account for self insured unemployment benefits and required leave payouts when an employee leaves City em- ployment. The 2012 budget includes $496k in revenue and $560k in expenditures. I,quipnwnt Replacenlent and Operations 1 d The ER &R Operations Fund adopted budget totals $1.69 million, a reduction of approximately $81k from the 2011 budget resulting from reduced sup- plies and service costs and staff reductions of 1 FTE. Fuel costs are budgeted separately from rou- tine maintenance costs and departments will be billed for actual usage. This provides an incentive for departments to manage their fuel consumption within their own fleet. The ER &R Reserve Fund includes capital expendi- tures of $515k, and recoveries from all departments has been suspended for 2012. The estimated ending fund balance for 2012 is $5.437 million. Both the ER &R Operations and Reserve Funds will undergo a thorough analysis of the City's current maintenance and reserve practices in a continued effort to realize efficiencies for operations and maintenance and to reserve adequate funding for future vehicle replacements. hif()m7ation Technology Information technology's adopted expenditure budget of $952k, is an increase of $56k from 2011. The expenditure increase came in part from costs associated with of certain equipment purchases and software upgrades. A staff reduc- tion of 1 FTE is included in 2012. Revenue is provided through internal charges to other de- partments and funds and amounts to $729k with a projected ending fund balance of $142k. S'tq ling C "hangs es and Personnel Costs Total staffing reductions for 2012 are 19.4 FTE's city -wide. Authorized positions consist of 312.98 FTE's. The Budget reflects the full cost savings for the reduction in force. Offsetting the savings due to reduced personnel, are substantial increases in the City's State re- tirement contribution rates which will become effective July 1, 2012. Employer contribution rates for Public Employees Retirement System (PERS) is expected to increase by 1.36% and Public Safety Employees Retirement System (PSERS) will increase by 1.41 %. Fortunately, Law Enforcement Officers and Fire Fighters (LEOFF) employer rates are anticipated to re- main the same as 2010. Additionally, current medical insurance premiums are budgeted to increase by as much as 12% for KPS Group Health. conclusion The following budget document provides de- tailed information by fund and department as well as objectives, goals, planned expenditures and supporting tables, charts and graphs. 8 BEG LIC. INTER- CHARGES FINES 2012 FUND AND GOVT FOR AND OTHER TOTAL FUND BAL. TAXES PERMITS REVENUE SERVICE FORFEITS REVENUE BUDGET General Fund General Government: City Council 108,233 108,233 Executive 135,096 135,096 Financial Services 2,809,400 416,425 342,320 3,568,145 Legal 414,241 414,241 Human Resources 108,376 108,376 Community Development 288,300 10,000 303,147 601,447 Municipal Court 2,487 453,900 503,830 39,700 999,917 City Auditor 55,605 55,605 Law Enforcement 2,400 530,811 295,300 8,900 8,750 846,161 Fire /Emergency Medical 1,270,000 1,000 121,750 643,450 1,000 2,037,200 Police & Fire Pension 49,600 49,600 General Facilities 187,079 46,080 233,159 Parks 417,580 73,000 490,580 Engineering 65,000 1,819,723 1,884,723 Non - Departmental 17,889,500 144,500 503,000 850 620,000 4,683,829 23,841,679 Beginning Fund Balance 2,249,115 2,249,115 2,249,115 21,968,900 917,625 1,217,648 5,284,900 1,133,730 4,851,359 37,623,277 Total General Fund Special Revenue Funds: Arterial Street 546,656 4,357,444 4,904,100 Street 99,804 454,800 820,400 205,000 827,044 2,407,048 Contingency Reserve 117,745 117,745 Lodging Tax 85,212 380,000 100 465,312 Parking System 540,041 500 300,000 855,000 1,695,541 Comm. Dev. Block Grant 390,453 2,488,311 30,000 9,326 2,918,090 Abatement Revolving Fund 212,871 5,500 1,000 219,371 Police Special Projects 863,205 31,000 75,000 969,205 Public Access Television 190,695 240,000 17,000 78,040 1,600 527,335 Gift & Donations Fund 65,610 1,000 16,360 82,970 Trial Improvement 38,643 22,000 60,643 One Percent for Arts 53,433 440 53,873 Conference Center Oper 310,003 1,321,490 164,000 1,795,493 3,514,371 834,800 240,000 7,705,155 1,641,530 331,000 1,949,870 16,216,726 Total Spec. Rev. Funds Debt Service Fund: Bond Fund 152,235 355,400 227,500 735,135 2010 LTGO 204,244 330,000 121,270 50,775 706,289 2010 UTGO /LTGO (B) 29,221 412,800 37,675 73,150 552,846 385,700 1,098,200 0 158,945 0 0 351,425 1,994,270 Total Debt Service Fund Capital Improvement Funds: 110,319 110,319 Park Plaza Park Plaza Phase II 1,342,052 2,366,420 170,000 211,330 4,089,802 General Govt CapitalImprov. 185,141 380,000 800 565,941 Park Facilities Construction 719,308 745,000 225,000 1,689,308 Evergreen Park Remediation 149,301 60,750 500 210,551 Lower Wheaton Way 242,076 1,368,084 1,610,160 2,748,197 380,000 0 1 4,540,254 170,000 0 437,630 8,276,081 Total Capital Improv. Funds Intergovernmental < " 1aIi!i 'iVi" $13,925,408 11% Licenses & Permits $1,157,625 1% Beginning Fund Balance $35,185,971 27% Taxes 4,281,900 19% 10 BEG LIC. INTER- CHARGES FINES 2012 FUND AND GOVT FOR AND OTHER TOTAL FUND BAL. TAXES PERMITS REVENUE SERVICE FORFEITS REVENUE BUDGET Enterprise Funds: Water Utility 5,303,223 9,073,900 336,682 14,713,805 Water Capital 0 500,000 1,177,500 1,677,500 Wastewater Utility 9,294,397 13,609,512 27,500 22,931,409 Wastewater Capital 0 4,865,000 4,865,000 Storrawater Utility 2,566,545 2,302,000 12,600 4,881,145 Gorst Creek Watershed 147,918 303,406 100 451,424 Storrawater Capital 0 1,421,000 1,421,000 Gold Mountain Golf Complex 353,297 1,950,000 89,000 2,392,297 17,665,380 0 0 303,406 27,435,412 0 7,929,382 53,333,580 Total Enterprise Funds Internal Service Funds: Risk Management 2,150,372 1,429,900 3,580,272 Employment Security 63,705 247,400 311,105 Accumulated Leave Liability 0 248,700 248,700 ER &R Operations & Maim 179,168 1,581,760 2,000 1,762,928 ER &R Equipment Reserve 5,864,431 88,159 5,952,590 Information Services 365,532 728,500 1,094,032 8,623,208 0 0 0 2,310,260 0 2,016,159 12,949,627 Total Internal Service Funds Total Non-General Funds 32,936,856 2,313,000 240,000 12,707,760 31,557,202 331,000 12,684,466 92,770,284 Total All Funds 35,185,971 24,281,900 1,157,625 13,925,408 36,842,102 1,464,730 17,535,825 130,393,561 Intergovernmental < " 1aIi!i 'iVi" $13,925,408 11% Licenses & Permits $1,157,625 1% Beginning Fund Balance $35,185,971 27% Taxes 4,281,900 19% 10 11 2012 SUPPLIES & DEBT CAPITAL ENDING TOTAL FUND PERSONNEL SERVICES SERVICE OUTLAY TRANSFERS FUND BAL. BUDGET General Fund General Government: City Council 313,500 19,270 332,770 Executive 283,500 86,860 370,360 Financial Services 881,400 268,440 1,149,840 Legal Department 828,700 142,850 971,550 Human Resources 204,900 128,310 333,210 Community Development 1,055,500 353,036 1,408,536 Municipal Court 876,600 417,587 1,294,187 City Auditor 163,700 7,260 170,960 Law Enforcement 8,082,700 1,416,137 9,498,837 Fire/Emergency Medical 7,437,200 874,014 8,311,214 Police & Fire Pension 2,320,000 224,000 2,544,000 General Facilities 201,800 550,317 55,000 807,117 General Parks 1,879,700 713,301 740 2,593,741 Engineering 1,906,900 228,028 2,134,928 Non - Departmental 2,325,606 410,565 725,000 3,461,171 Ending Fund Balance 2,240,856 2,240,856 26,436,100 7,755,016 411,305 55,000 725,000 2,240,856 37,623,277 Total General Fund Special Revenue Funds: Arterial Street 4,904,100 0 4,904,100 Street 1,196,900 1,084,587 125,561 2,407,048 Contingency Reserve 117,745 117,745 Lodging Tax 230,000 155,000 80,312 465,312 Parking System 616,233 675,705 403,603 1,695,541 Comm. Dev. Block Grant 199,200 2,400,775 318,115 2,918,090 Abatement Revolving Fund 42,000 177,371 219,371 Police Special Projects 359,700 50,000 559,505 969,205 Public Access Television 239,700 37,154 35,000 25,000 190,481 527,335 Gift & Donations Fund 29,600 5,000 48,370 82,970 Trial Improvement 15,000 45,643 60,643 One Percent for Arts 500 10,000 43,373 53,873 Conference Center Oper 1,543,157 252,336 1,795,493 1,635,800 6,358,706 675,705 4,999,100 185,000 2,362,415 16,216,726 Total Spec. Rev. Funds Debt Service Fund: Bond Fund 718,250 16,885 735,135 2010 LTGO 551,880 154,409 706,289 2010 UTGO /LTGO (B) 520,775 32,071 552,846 0 0 1,790,905 0 0 203,365 1,994,270 Total Debt Service Fund Capital Improvement Funds: Park Plaza 109,600 719 110,319 Park Plaza Phase 11 4,089,802 0 4,089,802 General Govt Capital Improv. 332,500 233,441 565,941 Park Facilities Construction 5,700 1,334,000 349,608 1,689,308 Evergreen Park Remediation 82,500 128,051 210,551 Lower Wheaton Way 1,610,135 25 1,610,160 0 0 5,700 7,226,037 332,500 711,844 8,276,081 Total Capital Improv. Funds 11 me Capital Outlaw $20,811,537 16% Debt Service $6,730,938 5% Transfers $11,965,513 9% Ending Fund Balance 32,031 rsonnel ,212,665 29% 12 Supplies & Services $27,540,877 21% 2012 SUPPLIES & DEBT CAPITAL ENDING TOTAL FUND PERSONNEL SERVICES SERVICE OUTLAY TRANSFERS FUND BAL. BUDGET Enterprise Funds: Water Utility 3,762,140 3,499,580 723,062 2,227,550 4,501,473 14,713,805 Water Capital 1,600,000 77,500 0 1,677,500 Wastewater Utility 2,651,990 4,060,116 2,823,563 7,180,043 6,215,697 22,931,409 Wastewater Capital 4,865,000 0 4,865,000 Stormwater Utility 856,530 1,013,487 14,993 1,237,920 1,758,215 4,881,145 Gorst Creek Watershed 344,979 106,445 451,424 Stormwater Capital 1,421,000 0 1,421,000 Gold Mountain Golf Complex 1,812,254 285,705 70,000 224,338 2,392,297 7,270,660 10,730,416 3,847,323 7,956,000 10,723,013 12,806,168 53,333,580 Total Enterprise Funds Internal Service Funds: Risk Management 240,000 1,189,900 2,150,372 3,580,272 Employment Security 311,105 0 311,105 Accumulated Leave Liability 248,700 0 248,700 ER &R Operations & Maint 533,500 1,151,725 77,703 1,762,928 ER &R Equipment Reserves 515,400 5,437,190 5,952,590 Information Services 536,800 355,114 60,000 142,118 1,094,032 1,870,105 2,696,739 0 575,400 0 7,807,383 12,949,627 Total Internal Service Funds Total Non - General Funds 10,776,565 19,785,861 6,319,633 20,756,537 11,240,513 23,891,175 92,770,284 Total All Funds 37,212,665 27,540,877 6,730,938 20,811,537 11,965,513 26,132,031 130,393,561 me Capital Outlaw $20,811,537 16% Debt Service $6,730,938 5% Transfers $11,965,513 9% Ending Fund Balance 32,031 rsonnel ,212,665 29% 12 Supplies & Services $27,540,877 21% r r The City of Bremerton is located in Kitsap County in Washington State, and lies east of the Olympic Mountains directly across Puget Sound from Seattle. The City has an estimated popula- tion of 38,790. For over a century, Bremerton has been home to Puget Sound Naval Shipyard which continues to service U.S. Navy ships and its yard employs over 9,000 civilians and nearly 6,000 active duty military. Bremerton was incorporated on October 14, 1901, and operates under the laws of the State of Washington applicable to a home -rule charter city with a Council /Mayor form of government. The downtown core is undergoing a comprehen- sive revitalization with a new Conference Cen- ter, parking garages, two hotels, three condo- miniums, a new and expanded Marina, Harbor - side Park and Plaza, a Ferry Terminal Traffic Tunnel, as well as a new Government Center. A new parking garage and retail development pro- ject are currently under design and construction. The City is continuing its remarkable transfor- mation with several impressive revitalization projects that will continue to generate strong economic benefits for Bremerton and Kitsap County. These projects, like the popular Kitsap Conference Center, retail and plaza complex, and recently opened Harborside Park in the Har- borside District, are transforming Bremerton into a world -class destination city. In 2009 the Bremerton Tunnel project was com- pleted. This project constructed a 959- foot -long tunnel connecting the Bremerton Transit Center to Burwell Street. Diverting ferry traffic away Lions Park from downtown streets improves pedestrian safety and reduces congestion. The City's administration is committed to pro- fessionalism, efficiency, and customer service. The City is a general purpose government which provides police, fire, water, wastewater, street maintenance, parks and recreation, planning and zoning, municipal court and general governmen- tal services to its residents. 13 Bremerton Gateway U 0 =0 1= Introduction The City of Bremerton operates as a first class charter city under a Mayor /Council form of gov- ernment. The Mayor is elected and is the full - time Chief Executive Officer of the City. The Mayor appoints department directors with Coun- cil consent and hires all City employees, exclud- ing the City auditor, municipal court staff, and city council staff. The Council has nine elected, part -time members. The City provides mandatory, essential, and dis- cretionary services, including fire protection/ emergency medical services; law enforcement; municipal court; water, sewer, and stormwater utility services; economic development; commu- nity development, transportation systems, park- ing facilities, conference center, and parks and recreational facilities and programs. Located in Kitsap County, eleven miles across the Puget Sound west of Seattle, Bremerton is the geographic center of the Puget Sound region. Bremerton is the 27th largest city in the State of Washington with a current population of 38,790 within an incorporated area of approximately 23 square miles. City Financial Goals and Policies The City Council has by resolution adopted fi- nancial goals and policies for the City. The goals and policies define what constitutes a "good out- come" for the City in regards to financial plan- ning and decisions. The City is accountable to its citizens for the efficient use of public dollars. Resources entrusted to the City are to be used in a manner that provides services, public facilities, and infrastructure necessary to meet the needs of the community —both in the near term and in the future. The financial goals and policies establish a framework to maintain financial health and stability that is necessary to meet those expecta- tions. The goals expressed are designed to achieve fi- nancial sustainability and flexibility, demon- strate proper stewardship of public funds, and provide accountability. The adopted financial goals and policies are included in their entirety under the miscellaneous section of this budget document. The measurables included in those policies are incorporated into the following budget overview. City Budget and Process The budget is the City's plan of action for calen- dar year 2012 expressed in dollars. While much can be learned about the City's finances by re- viewing the budget, it is also designed to serve other functions. For example, the budget is a policy document that presents major policies that guide how the City is managed. The budget is an operations guide that gives the public, elected officials, and City staff information per- taining to the productivity and priorities of spe- cific City operations. In addition, the budget is a communication device, intended to provide complex information in an understandable for- mat for an audience composed of readers with varying levels of backgrounds and interests. Bremerton prepares its budget on an annual ba- sis under the authority granted by chapter 35.33 I I1= rim 14 RCW. The budget process is designed to meet the operations and service needs of the City by integrating the planning and implementation of City programs and objectives with the allocation of resources sufficient to support such services and programs. The budget, as adopted, consti- tutes the legal authority for expenditures. The City's budget is balanced. This means that operation and maintenance expenditures are generally funded from current revenues. In in- stances where expenditures may be funded from fund balance (reserves), such funding is from fund balance amounts which exceed the target levels identified by the City's Financial Goals & Policies. It is the City's practice to use fund bal- ance only to fund one -time items in governmen- tal funds. Fund balance (reserves) may be used on occasion to fund utility system budgets. Generally, this is to level rates, and the intent is to use prior year revenue collections which ex- ceeded expenditure requirements to level future year's rate revenue requirements. The Capital Improvement Funds budgets are balanced with anticipated additional revenue or reserves. The City budget consists of separate funds, each with its own revenue and expenditure accounts. Federal, state and municipal laws govern the es- tablishment and administration of funds. The City budget is adopted by fund and departments within those funds, and by category group level which consist of five distinct categories-1) per- sonnel, 2) supplies, services and taxes, 3) debt service, 4) capital expenditures, and 5) transfers. Expenditures may not legally exceed appropria- tions as established by fund, department, and category group. Transfers or revisions within funds are allowed, but supplemental appropria- tions must be approved by the City Council fol- lowing public comment. All appropriations, in- cluding capital projects, lapse at year -end. Prior to the end of the year, appropriation changes that have received Council approval are incorporated into a budget adjustment ordinance—providing the appropriations as specified in RCW 35.33.151. The process utilized for amending the budget is the same as that used to adopt the original budget and related ordinances. Fund Types Utilized by the City Governmental Funds Funds generally used to account for tax - supported activities. There are four differ- ent types of governmental funds utilized by Bremerton: the general fund, special reve- nue funds, debt service funds, and capital projects funds. General Fund The General Fund is the City's primary op- erating fund. It accounts for all revenues and expenditures which are not accounted for in any other fund. The majority of Gen- eral Fund revenue comes from taxes, state and local shared revenues, and charges for services. General Fund revenues are used to pay for police, fire/EMS, parks, munici- pal court, community development and City administration. Special Revenue Funds These funds account for proceeds of spe- cific revenue sources that are intended for specific expenditure purposes. Other re- stricted and dedicated resources are ac- counted for in debt service, trust, and capital project funds. 15 These funds include: Arterial Street, Street, Contingency Reserve, Lodging Tax, Park- ing, Community Development Block Grant, Abatement Revolving, Police Special Pro- jects, Public Access Television, Gift & Do- nations, Trial Improvement, One Percent for Arts, and Conference Center Operations. Debt Service Funds These funds are used to account for the ac- cumulation of resources for and payment of general obligation bond principal and inter- est from governmental resources. The City has three debt service funds: Bond Fund, 2010 LTGO and 2010 UTGO/LTGO (B). Capital Improvement Funds These funds are used to account for the ac- quisition or construction of major capital facilities other than those funded by pro- prietary and trust funds. These funds include: Park Plaza Construc- tion, Park Plaza Phase II, General Govern- ment Capital Improvement, Park Facilities Construction, and Evergreen Park Remedia- tion. Proprietary Funds Proprietary Funds are used to account for the City's business -type activities. Busi- ness -type activities provide specific goods or services to a group of customers that are paid for by fees charged to those customers, enterprise funds and internal service funds. Enterprise Funds Enterprise Funds are used to account for goods and services provided to citizens. The City enterprise funds account for utility and golf operations, which are self - supported through user charges. These op- erations are operated like a private business enterprise which requires periodic determi- nation of revenues earned, expenses in- curred, and net income for capital, mainte- nance, public policy, management control, and accountability. These funds include: Water Utility, Water Capital, Wastewater Utility, Wastewater Capital, Stormwater Utility, Stormwater Capital, Gorst Creek Watershed and Gold Mountain Golf Complex. Internal Service Funds Internal Service Funds are used to account for goods and services provided internally to various City operations. The City uses internal service funds to account for mainte- nance and acquisition of its fleet of vehi- cles, insurance premiums and claims, as well as information technology services. These funds are: Risk Management, Em- ployment Security, Accumulated Leave Li- ability, Equipment Rental Reserve Operations & Maintenance, Equipment Rental Reserve—Equipment Reserve, and Information Services. Basis of Budgeting All of the funds are budgeted using the modified accrual basis of accounting. Modified accrual accounting recognizes revenues when they be- come measurable and available. Measurable means that the dollar value of the revenue is known. Available means that it is collectible within the current period, or soon enough after the end of the current period to pay liabilities of 16 the current period. For this purpose the City considers revenues to be available if they are collected within 30 days of the end of the cur- rent fiscal period. Expenditures generally are recorded when a liability is incurred. However, debt service expenditures, as well as expendi- tures related to compensated absences and claims and judgments, are recorded only when payment is due. Accounting Basis The basis of accounting refers to when revenues and expenditures or expenses are recorded in the accounts and reported in the financial state- ments. The City's Annual Financial Report shows the status of the City's finances in confor- mance with generally accepted accounting prin- ciples (GAAP). In most cases this conforms to the way the City prepares its budget. Exceptions are as follows: • 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 Basis). • Principal payments on long -term debt within the Enterprise Funds are applied to the out- standing liability on a GAAP basis, as op- posed to being expended on a Budget Basis. • Capital Outlays within the Proprietary Funds are recorded as assets on a GAAP basis and expended on a Budget Basis. A Capital Improvement Plan is prepared annu- ally in accordance with the requirements of the Washington State Growth Management Act and defines the long -term capital plans of the City. However, the individual capital project expendi- tures are appropriated through annual budget ordinances. A Transportation Plan and Compre- hensive Wastewater and Water Plans have been previously prepared and adopted by the City Council in separate actions. The General Capital Improvement Plan has been updated and is included in the Capital Improvement Funds section of this 2012 budget document. The budget process begins mid -year with a workshop to establish issues and goals to be addressed in the development of the budget. In mid July, budget preparation guidelines are distributed to departments. These guidelines provide instructions and forms necessary for the development of the budget. The budget submittals and requests are then due to Fi- nance by mid August and are subsequently compiled for the review of the Department Directors and Mayor. The review and revi- sion process takes place over the course of the next several weeks. Throughout the budget process, meetings are held with appropriate staff to discuss the proposed operating budget, its overall financial picture and relevant ser- vices to be provided. The final management review of the budget is performed with the participation of Department Directors and the Mayor in a series of meetings—as needed to complete the review and come to agreement on the final budget to be proposed to the City Council for adoption. In accordance with RCW 35.33.055, the preliminary budget is then made available for public review in the office of the City Clerk on or before Novem- ber 1 of each year. In late October, the Mayor and Director of Financial Services submit the proposed budget to the City Council in a public meet- ing— initiating the public hearing and review process which is then conducted throughout I I1= rim 17 the months of October and November. Several workshops are held with the City Council during October and November to explain significant sections of the proposed budget and answer questions. After the review period is concluded, any changes determined necessary are then in- corporated and the budget ordinance is presented for public hearing and City Council action. The budget is required to be adopted by no later than December 31. The City encourages public participation in the budget process. Budget information is made available to the public through open meetings , by televising regular Council meetings on Brem- erton Kitsap Access Television, as well as by providing copies of the budget and Council agenda items on the City's web site ( http: / /www.ci.bremerton.wa.us /) and making hardcopies available in the City Council office located on the sixth floor of the Norm Dicks Government Center. I I1= rim Budget Calendar June 2011 • Finance calculates pay and benefit informa- tion for current employees July 2011 • Sessions to review current year -to -date in- formation, year -end projections, forecasts for 2012 and beyond, finance policy, fund struc- ture, anticipated rate increases and other revenue matters, discussion of and revisions to process and schedule July /August 2011 • Prepare budget template information, history information, demographic, department initia- tives, etc. • Distribute budget packet and instructions August 2011 • Six -year Capital Improvement Plan (CIP) finalized • Departments provide department budgets to Finance including final CIP, narrative, pro- jected activity levels, changes from prior year(s) September 2011 • Review /approve CIP related to Growth Man- agement Act (GMA) • Consolidate all department budgets into working document October 2011 • Review /revise budgets for submittal to Council • Budget Distribution and reading of the budget message 18 • Clerk publishes notice of filing of prelimi- nary budget and public hearing on property tax levy • Budget workshop November 2011 • Budget workshops • Clerk publishes notice of public hearing for final budget adoption • Public hearing on revenue sources, property taxes, rates & fees, & utility rates December 2011 • Public hearing on 2012 budget adoption and 2011 final budget adjustments 2012 SCHEDULE-CITY COUT TCJL REVIEW & AllC}PTIO 19 Meeting Date Type Description /Topics Early Mayor & Finance Finalize budget figures and review narra- October tives 10/26/11 Council Study Budget distribution Session 10/28/11 Notification Clerk publishes notice of filing of preliminary and final budget and public hearing on property tax levy 11/01/11 Workshop Budget workshop 11/07/11 Workshop Budget workshop 11/09/11 Workshop Budget workshop: Taxes, Rates & Fees and Utility Rates 11/10/11 Notification Clerk publishes notice of filing of preliminary and final budget and public hearing on property tax levy 11/16/11 Council Meeting Public hearing on revenue sources, property taxes, rates and fees and utility rates 11/21/11 Council Study Final Q & A Budget Workshops & Session 11/30/11 12/7/11 Council Meeting Public hearing on 2012 budget and & adoption 12/14/11 19 r The Mayor and City Council have developed strategic priorities to guide the development, direction, and management of the City. Specific initiatives to support these strategic priorities have been identified with goals and measures described. Strategic Priorities • Distinctive Growth, with Viable Neighbor- hoods and Centers that Provide Greater Choice and Convenience The City will actively work towards achieving cohesive, stable neighborhoods that have a homeowner majority. The architectural styles and scales, established boundaries, and central features of neighborhoods will guide the criteria and standards for new develop- ment to ensure compatibility with surround- ing qualities. Designated Centers along with existing traditional neighborhood businesses will offer and promote higher density life- styles, encourage convenient commercial and employment services, and provide a greater diversity of housing choices. • Enticing New Development and Retaining Existing Businesses, With a Focus on the Downtown Regional Center The City of Bremerton will position itself to attract development and retain existing busi- nesses, especially where there are opportuni- ties for new or expanded employment. Zon- ing categories will provide sufficient indus- trial, commercial, and mixed use lands for business opportunities. The City will take actions to ensure a friendly, welcoming envi- ronment which highlights the City's unique maritime atmosphere. Provide adequate parking while also promoting efficient circu- lation. In key areas identified for economic expansion, developable sites will be pre - qualified for environmental permitting as " planned actions ". This will extend to reha- bilitation programs, such as grant funding to clean up the City's challenging brownfield sites. Special accommodations, such as ad- vanced utility planning and the provision of cutting edge technology, will further encour- age use of these sites. The City and its part- nering jurisdictions will apply appropriate tax strategies to attract and retain businesses. • Supportive Transportation, with Seamless, Efficient, and Varied Choices Bremerton's size and role as a regional hub provides the foundation for an exemplary transportation system, with diverse and con- venient mobility options. The City, in coop- eration with State and with other transporta- tion providers, will work to enhance and maintain services and facilities that build on that diversity, while striving to reduce the dominance of single - occupant automobile transportation. 20 Strategic Priorities and Initiatives • Improved Accessibility, Especially for the Pedestrian The City's transportation system is well posi- tioned for innovative development, especially expanded use of alternative travel options, enabled by the existing transit and ferry sys- tems. Designated Centers will be strongly characterized by walkable designs with link- ages to one another. Trails and bike lanes will emphasize safety and have uniform sign - age. Street ends, parks, and opens spaces will offer recreational opportunities as well as access to the shoreline for everyone's en- joyment. • Quality Housing, with Broader Choices The City will promote quality, affordable housing, for all family types, ages, and in- comes. New, creative housing projects, such as artists' lofts and courtyard homes, will meet the need of special populations such as short term residents and citizens in need of transitional housing. Bremerton will promote private and public efforts to secure adequate capital for affordable housing projects at competitive and favorable market costs. Pri- ority will go to projects that advance owner - occupied units. • Safe, Healthy, Livable Neighborhoods The City will (within the limits of fiscal re- sources) proactively enforce ordinances, es- pecially in relation to Code Enforcement, Emergency Management and Community Po- licing. Public safety is primary. Public fa- cilities and services will be conveniently and equitably located throughout the community, chiefly through the prescription and monitor- ing of service levels that reflect community values in areas such as law enforcement, fire protection, and sanitary sewers. The City will partner with citizens, schools, and other local organizations to increase and enhance educational opportunities and provide an en- vironment that embraces and supports fami- lies and youth. • Open Spaces, Natural Areas, and Parks that Maximize the Natural Environment and Promote Community Pride Bremerton citizens will benefit from an open - space system that increases the amount of green -space and compliments habitat protec- tion goals, public safety concerns, and rec- reational needs. City owned properties will be well maintained and strategically incorpo- rated into this system. • Efficient, Accountable, and Financially Re- sponsible City Governance The City will maintain public trust and confi- dence by utilizing resources in the most open and efficient manner possible. Resources en- trusted to the City will be used in a manner that provides services, public facilities, and infrastructure necessary to meet the needs of the community both today and in the future. The City's adopted financial goals and poli- cies provide the framework for financial health and stability that is necessary to meet those expectations. The financial goals are designed to achieve financial sustainability and flexibility, demonstrate proper steward- ship of public funds, and provide accountabil- ity. 21 Strategic Priorities and Initiatives Ur � r Introduction The City of Bremerton provides services and programs for its citizens through the efforts of its qualified and capable staff. The 2012 budget includes changes to staffing levels and pay bands as noted in the following tables. The approved pay bands are included in this section of the budget document. The Mu- nicipal Court Judge compensation was set at 95% of the District & Superior Court judges' salaries as updated on September 1, 2011. The Judge's compensation adjustment is required in order to remain eligible to participate in certain state shared revenues. There was no increase in 2012. In addition, the 2012 budget does not in- clude a cost of living adjustment for those em- ployees covered under the "management, profes- sional, confidential & fiduciary" pay plans. Fi- nally, the budget also does not include cost of living pay adjustments for represented employ- ees. The summary on the following pages provide of 2012 Personnel Changes: 22 Some City employees who are eligible under state law to be represented by a labor organiza- tion are employed under labor contract provi- sions on such matters as salaries, vacation, sick leave, medical and dental insurance, working conditions, and grievance procedures. Bremer- ton strives to complete these agreements in a timely manner and promote labor relations poli- cies that are mutually beneficial to the City and employees. Employee Groups Represented: Teamster's—(149.6 members) Bremerton Police Officer's Guild—(53 mem- bers) Police Management Association—(4 members) International Association of Firefighters—(54 members) Non - Represented: Management and Professional-41 Elected Positions11 Regular Part- Time.38 Medical Plans The City provides medical insurance coverage to employees and their dependents and provides for the payment of insurance premiums with a mod- est contribution from employees per month per dependents covered. Currently the City's medi- cal insurance plans are provided through KPS and Group Health. The City has continued to experience rapid escalation of medical insurance premium costs and the 2012 budget anticipates an increase for Group Health and KPS medical insurance premiums of 12% more than the 2011 rates based upon early insurance renewal rate indicators. Pension Plans Substantially all City full -time and qualifying part -time employees participate in either a Public Employees Retirement System (PERS) or the Law Enforcement Officers and Fire Fighters (LEOFF) Retirement System. PERS and LEOFF are statewide local government retirement sys- tems administered by the Department of Retire- ment Systems. Employer and employee contri- bution rates for LEOFF will remain the same through 2012. PERS retirement system contribu- tions will increase substantially for both employ- ers and employees The 2012 average employer contribution rate will increase by 2.02% and em- ployee rates will increase by .33 %. PSERS will decrease for employees by -.19% and increase for employers by 2.42 %. Pension Plans Rate of Contributions (Effective September 1, 2011) 23 City Employee Total LEOFF 1 0.16% 0.00% 0.16% LEOFF 2 5.24% 8.46% 13.70% PERS 1 7.25% 6.00% 13.25% PERS 2 7.25% 4.64% 11.89% PERS 3 7.25% Variable Variable P SF__,RS 8.86% 6.36% 15.22% 23 Ur � r Department Position Action FTE Change Authorized Staffing Per 2011 Budget 332.38 General Fund Finance Accounting Assistant II Eliminated Position -1.00 Human Resources Human Resource Analyst II Eliminated Position Due to Reorganization -1.00 Human Resources Human Resource Assistant Increased Position Due to Reorganization 1.00 Municipal Court Legal Technician Eliminated Due to Reorganization -2.00 Municipal Court Legal Technician Senior Increased Due to Reorganization 1.00 Community Dev Office Assistant Senior Eliminated Position -1.00 Police Police Lieutenant Eliminated Position -1.00 Police Police Officer Eliminated Position -1.00 Police Comm Relations & Info Spec Reduced Position -0.40 Fire Assistant Fire Chief Eliminated Position -1.00 Fire Fire Captain Medical Officer Increased Due to Reorganization 1.00 Fire Fire Lieutenant Decreased Due to Reorganization -1.00 Fire Firefighter Increased Due to Reorganization 1.00 Fire Paramedic Firefighter Decreased Due to Reorganization -1.00 Parks Office Assistant III Eliminated Position -1.00 Engineering Project Manager Eliminated Position Due to Reorganization -1.00 Engineering Engineering Technician II Eliminated Position -2.00 Public Works & Utilities PW Administration Accountant Eliminated Position -1.00 PW Ops & Facilities Utilities Service Specialist Eliminated Position -2.00 Water Resources Electronics Technician Relocated from Street 1.00 Street Electronics Technician Relocated to Water Resources -1.00 Street Electronics Supervisor Eliminated Due to Reorganization -1.00 Street Electronics Technician Increased Due to Reorganization 1.00 Street Street Sery Spec Supervisor Eliminated Position -1.00 Street Street Sery Spec Senior Eliminated Position -1.00 Street Accounting Assistant Sr Eliminated Position -1.00 Equipment Maintenance ER&R Fleet Manager Eliminated Due to Reorganization -1.00 ER&R Automotive Tech Assistant Eliminated Position -1.00 Information Technology Information Tech Personal Computer Technician Eliminated Position -1.00 Authorized Staffing Per 2012 Budget 312.98 24 Monthly Salary Range Function/Department 2006 2007 2008 2009 2010 2011 2012 Low High City Council 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $9,239 $11,256 City Council 9.00 9.00 9.00 9.00 9.00 9.00 9.00 $1,000 $1,150 Legislative Assistant 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $5,366 $6,538 Council/AuditorAssistant 0.80 0.80 0.80 0.80 0.80 0.80 0.80 $4,627 $5,638 Total City Council 10.80 10.80 10.80 10.80 10.80 10.80 10.80 $6,223 $7,583 Fxecutive 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $5,108 $6,223 Mayor 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $10,202 $10,202 Executive Assistant 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $5,366 $6,538 Total Executive 2.00 2.00 2.00 2.00 2.00 2.00 2.00 $3,371 $3,887 Financial Services Director of Financial Services 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $9,239 $11,256 Assistant Director of Financial Services 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $6,869 $8,370 City Clerk 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $6,223 $7,583 Deputy City Clerk - - 1.00 1.00 1.00 - - $4,170 $4,909 Assistant Finance Officer 1.00 1.00 1.00 - - - - $6,223 $7,583 Budget Analyst 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $5,108 $6,223 Office Assistant Sr. Spec. 1.00 1.00 - - - - - $3,742 $4,403 Accounting Assistant Sr. 3.00 3.00 4.00 3.00 3.00 3.00 3.00 $3,684 $4,333 Accounting Assistant II 2.00 2.00 - 2.00 2.00 2.00 1.00 $3,371 $3,887 Payroll Specialist 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $3,742 $4,403 Customer Service Representative - - 1.00 - - - - $3,196 $3,742 Part -Time Clerical - - 0.38 0.38 0.38 0.38 0.38 Total Financial Services 12.00 12.00 12.38 11.38 11.38 10.38 9.38 Human Resources Human Resources Manager 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $6,538 $7,966 Human Resources Analyst II 1.00 1.00 1.00 1.00 1.00 1.00 - $5,108 $6,223 Civil Service OfficerlHRAssistant 1.00 1.00 1.00 - - - - $4,627 $5,638 HRAssistant - - - - - - 1.00 $3,371 $3,950 Total Human Resources 3.00 3.00 3.00 2.00 2.00 2.00 2.00 Legal City Attorney 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $9,706 $11,826 Assistant City Attorney II 2.00 2.00 2.00 2.00 2.00 1.00 1.00 $7,217 $8,793 Assistant City Attorney I - - - 1.00 1.00 1.00 1.00 $5,923 $7,217 Prosecutor II - - - - 1.00 1.00 1.00 $5,108 $6,223 Prosecutor I - - - 1.00 - - - $4,404 $5,366 Risk Manager 1.00 1.00 1.00 - - - - $6,869 $8,370 Risk Management Specialist - - - 1.00 1.00 1.00 1.00 $5,638 $6,869 Paralegal 1.00 1.00 1.00 1.00 - - - $5,366 $6,538 Legal Assistant II - - - 1.00 2.00 2.00 2.00 $3,990 $4,862 Legal Assistant I 0.25 0.50 0.55 1.00 - - - $3,798 $4,627 Total Legal 5.25 5.50 5.55 9.00 8.00 7.00 7.00 Municipal Court Municipal Court Judge 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $11,219 $11,219 Court Administrator 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $6,538 $7,966 Probation Officer 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $4,170 $4,909 Legal Technician Sr. 1.00 1.00 1.00 1.00 1.00 1.00 2.00 $4,652 $5,479 Legal Technician 6.00 6.00 6.00 7.00 7.00 7.00 5.00 $3,371 $3,950 Total Municipal Court 10.00 10.00 10.00 11.00 11.00 11.00 10.00 25 Monthly Salary Range Function/Department 2006 2007 2008 2009 2010 2011 2012 Low High Community Development 2.00 2.00 2.00 2.00 2.00 $8,957 $10,121 3.00 3.00 Director of Community Development 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $8,793 $10,714 Assistant Director - 1.00 1.00 1.00 1.00 1.00 1.00 $6,869 $8,370 Planning Manager 1.00 - - - - - - 1.50 1.50 Development Manager 1.00 - - - - - - 2.00 2.00 SeniorPlannerII - 2.00 2.00 - - - - $5,366 $6,538 Office Assistant Sr. Spec. 1.00 1.00 1.00 1.00 1.00 1.00 - $3,742 $4,333 Code Enforcement Officer - 1.00 1.00 1.00 1.00 1.00 1.00 $5,179 $6,122 Project Assistant - - - - 1.00 1.00 1.00 $3,742 $4,403 Planner II - 1.00 1.00 1.00 1.00 3.00 3.00 $5,179 $6,122 Planner I 4.00 2.00 2.00 2.00 2.00 - - $4,652 $5,479 Building Development Specialist III - 1.00 1.00 1.00 1.00 1.00 1.00 $5,179 $6,122 Building Development Specialist II 3.00 1.00 1.00 1.00 1.00 1.00 1.00 $4,652 $5,479 Building Development Specialist I 2.00 2.00 2.00 1.00 1.00 1.00 1.00 $3,750 $4,652 Total Community Development 13.00 13.00 13.00 10.00 11.00 11.00 10.00 Police Department Police Chief Police Captain Police Lieutenant Police Sergeant Police Officer Court Home Detention Specialist Warrant Server Police Support Manager Administrative Analyst Police Records Specialist II Office Assistant Sr. Evidence Property Control Specialist Lead Evidence Property Control Specialist Community Relations & Information Specialist 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $9,706 $11,826 2.00 2.00 2.00 2.00 2.00 2.00 2.00 $8,957 $10,121 3.00 3.00 3.00 3.00 3.00 3.00 2.00 $7,864 $8,886 8.00 8.00 8.00 8.00 8.00 8.00 8.00 $6,777 $7,370 49.00 52.00 52.00 52.00 49.00 46.00 45.00 $5,079 $6,573 1.00 1.00 1.00 1.50 1.50 1.00 1.00 $4,170 $4,909 3.00 3.00 3.00 2.00 2.00 2.00 2.00 $4,170 $4,909 1.00 1.00 1.00 1.00 1.00 - - $5,638 $6,869 5.00 5.00 5.00 5.00 5.00 4.00 4.00 $3,553 $4,170 4.00 4.00 4.00 4.00 3.00 3.00 3.00 $3,318 $3,887 - 1.00 1.00 1.00 1.00 1.00 1.00 $3,196 $3,742 - 1.00 1.00 1.00 1.00 1.00 1.00 $3,371 $3,950 1.00 1.00 1.00 1.00 1.00 1.00 0.60 $4,652 $5,479 Total Police Department Fire Department Fire Chief Assistant Fire Chief Battalion Chief Battalion Chief Training Fire Captain Fire Captain - Deputy Fire Marshal Fire Captain - Medical Officer Firefighter/Fire Prevention Fire Lieutenant Training Fire Lieutenant Firefighter FirefighterlSCBA Firefighter/Equipment Maintenance P aramediclFirefighter Office Assistant Sr. Spec. Office Assistant II 78.00 83.00 83.00 82.50 78.50 73.00 70.60 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $9,239 $11,256 1.00 1.00 1.00 1.00 1.00 1.00 - $8,370 $10,298 1.00 1.00 1.00 1.00 3.00 3.00 3.00 $8,827 $9,269 1.00 1.00 1.00 $9,217 $9,377 3.00 3.00 3.00 3.00 3.00 3.00 3.00 $8,048 $8,571 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $8,437 $8,860 1.00 1.00 1.00 1.00 1.00 - 1.00 $8,632 $9,064 2.00 2.00 2.00 1.00 1.00 1.00 1.00 $7,464 $7,837 1.00 - - $7,854 $8,246 12.00 13.00 13.00 13.00 9.00 10.00 9.00 $7,464 $7,837 13.00 12.00 12.00 18.00 15.00 14.00 15.00 $4,543 $6,490 3.00 3.00 3.00 3.00 3.00 3.00 3.00 $4,725 $6,750 3.00 3.00 3.00 3.00 3.00 3.00 3.00 $4,725 $6,750 15.00 15.00 15.00 15.00 15.00 15.00 14.00 $5,111 $7,302 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $3,742 $4,403 1.00 1.00 1.00 - - - - $3,037 $3,553 Total Fire Department 58.00 58.00 58.00 62.00 59.00 57.00 56.00 26 Monthly Salary Range Function/Department 2006 2007 2008 2009 2010 2011 2012 Low High City Auditor 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $8,370 $10,198 City Auditor 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $7,217 $8,793 Council/Auditor Assistant 0.20 0.20 0.20 0.20 0.20 0.20 0.20 $4,627 $5,638 Total City Auditor 1.20 1.20 1.20 1.20 1.20 1.20 1.20 $5,638 $6,869 Parks & Recreation Director of Parks & Recreation 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $8,370 $10,198 Parks Development Planner 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $5,366 $6,538 Parks Maintenance Manager 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $5,638 $6,869 Athletics/Recreation Manager 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $5,638 $6,869 Parks Maintenance Supervisor 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $5,479 $6,469 Professional/Management - - 0.55 0.55 - - - $3,093 $3,093 Office Assistant III 1.00 1.00 1.00 1.00 1.00 1.00 - $3,196 $3,742 Office Assistant II 1.00 1.00 1.00 1.00 1.00 - - $3,037 $3,553 Parks Facilities Specialist 1.00 1.00 1.00 - - - - $4,909 $5,791 Parks Service Specialist, Sr. 4.00 4.00 4.00 4.00 4.00 4.00 4.00 $4,170 $4,909 Parks Service Specialist 4.00 4.00 4.00 4.00 4.00 4.00 4.00 $3,742 $4,403 Parks Laborer 5.25 5.50 5.50 4.50 4.50 3.00 3.00 $2,737 $3,196 Recreation Program Coordinator III 1.00 1.00 2.00 2.00 2.00 2.00 2.00 $4,170 $4,909 Recreation Program Coordinator II 2.00 2.00 2.00 2.00 2.00 1.00 1.00 $3,950 $4,652 Recreation Program Coordinator I 3.00 3.00 2.00 1.00 1.00 - - $3,371 $3,950 Total Parks & Recreation 27.25 27.50 28.05 25.05 24.50 20.00 19.00 Engineering City Engineer 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $8,370 $10,198 Managing Engineer 2.00 2.00 2.00 2.00 2.00 2.00 2.00 $6,869 $8,370 Project Manager 2.00 2.00 2.00 2.00 2.00 1.00 - $6,538 $7,966 Accounting Assistant Senior 1.00 - - - - - - $3,742 $4,403 Office Assistant Senior 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $3,371 $3,950 Project Assistant - 1.00 1.00 1.00 1.00 1.00 1.00 $3,742 $4,403 Civil Engineer III 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $6,122 $7,183 Civil Engineer II 3.00 3.00 3.00 3.00 3.00 2.00 2.00 $5,791 $6,831 Civil Engineer I 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $5,179 $6,122 Engineering Technician Sr. 2.00 2.00 2.00 2.00 2.00 1.00 1.00 $5,791 $6,831 Engineering Technician IV 5.00 5.00 6.00 6.00 6.00 6.00 6.00 $4,909 $5,791 Engineering Technician III 3.00 3.00 2.00 2.00 - - - $4,403 $5,179 Engineering Technician II 2.00 1.00 1.00 1.00 1.00 2.00 - $3,950 $4,652 Permit Technician - 1.00 1.00 1.00 1.00 - - $3,950 $4,652 Total Engineering 24.00 24.00 24.00 24.00 22.00 19.00 16.00 Economic Development Director of Economic Development - - - - - - - Redevelopment Projects Administrator 1.00 1.00 1.00 1.00 - - - $9,057 $11,036 Office Assistant Sr. 1.00 1.00 - - - - - Total Economic Development 2.00 2.00 1.00 1.00 Total General Fund 246.50 252.00 251.98 251.93 241.38 224.38 213.98 27 0=1= Monthly Salary Range Function/Department 2006 2007 2008 2009 2010 2011 2012 Low High Community Development Block Grant 1.00 1.00 1.00 1.00 - $5,479 $6,469 2.00 2.00 Community Development Programs Administrator 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $5,638 $6,869 Community Development Programs Coodinator 1.00 1.00 1.00 1.00 1.00 - - $5,108 $6,223 Community Development Programs Specialist - - - - - 1.00 1.00 $4,404 $5,366 Total Community Development Block Grant 2.00 2.00 2.00 2.00 2.00 2.00 2.00 3.00 3.00 BKAT $4,403 $5,179 5.00 5.00 5.00 3.00 3.00 2.00 2.00 Public Access Manager 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $5,366 $6,538 Production Administrator 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $4,627 $5,638 Total BK4T 2.00 2.00 2.00 2.00 2.00 2.00 2.00 $4,403 21.50 Park Plaza Construction Fund 22.00 21.00 17.00 15.00 11.00 Redevelopment Projects Administrator - - - - 1.00 - - $9,239 $11,256 Total Park Plaza Construction Fund 1.00 $9,239 $11,256 1.00 1.00 - - - - Public Works & Utilities Street Department Public Works Operations Manager Electronics Supervisor Street Service Specialist Supervisor Sign Shop Service Specialist Supervisor Electronics Technician Journey Electrician Street Service Specialist Sr. Street Service Specialist Sign Shop Service Specialist Sr. Sign Shop Service Specialist Accounting Assistant Senior Total Street Department Public Works & Utility Administration Director of Public Works & Utilities Project Manager PW &U Financial Manager Administrative Analyst Utility Accounts Supervisor Accountant Accounting Assistant Senior Accounting Assistant III Accounting Assistant II Customer Service Representative Office Assistant Senior Spec. Office Assistant Senior Office Assistant II Web Support Specialist Total Utility Adm inistra tio n 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $6,869 $8,370 1.00 1.00 1.00 1.00 1.00 1.00 - $5,479 $6,469 2.00 2.00 2.00 2.00 2.00 2.00 1.00 $5,479 $6,469 1.00 1.00 1.00 1.00 1.00 - - $5,479 $6,469 4.00 4.00 4.00 4.00 1.00 1.00 1.00 $4,909 $5,791 1.50 2.00 2.00 3.00 3.00 2.00 2.00 $4,909 $5,791 3.00 3.00 3.00 3.00 3.00 3.00 2.00 $4,403 $5,179 5.00 5.00 5.00 3.00 3.00 2.00 2.00 $3,950 $4,652 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $4,403 $5,179 1.00 1.00 1.00 1.00 - 1.00 1.00 $3,950 $4,652 1.00 1.00 1.00 1.00 1.00 1.00 - $3,742 $4,403 21.50 22.00 22.00 21.00 17.00 15.00 11.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $9,239 $11,256 1.00 1.00 1.00 1.00 - - - $6,538 $7,966 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $6,223 $7,583 1.00 1.00 1.00 1.00 1.00 - - $5,366 $6,538 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $4,909 $5,791 1.00 1.00 1.00 1.00 1.00 1.00 - $4,652 $5,479 3.00 3.00 2.00 2.00 2.00 2.00 2.00 $3,742 $4,403 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $3,553 $4,170 2.00 2.00 1.00 1.00 1.00 1.00 1.00 $3,371 $3,950 1.00 1.00 2.00 2.00 2.00 2.00 2.00 $3,196 $3,742 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $3,684 $4,333 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $3,371 $3,950 2.00 2.00 2.00 2.00 2.00 1.00 1.00 $3,037 $3,553 1.00 1.00 1.00 1.00 1.00 - - $3,742 $4,403 18.00 18.00 17.00 17.00 16.00 13.00 12.00 28 Monthly Salary Range Function/Department 2006 2007 2008 2009 2010 2011 2012 Low High Utility Operations 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $6,869 $8,370 Water Resources 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $5,479 $6,469 Water Resources Manager 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $6,869 $8,370 Water Operator Lead 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $4,909 $5,791 Water Operator Senior 2.00 2.00 2.00 2.00 2.00 2.00 2.00 $4,403 $5,179 Water Operator 2.00 2.00 2.00 2.00 2.00 2.00 2.00 $3,950 $4,652 Water Resources Operations Supervisor 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $5,479 $6,469 Water Resources Assistant 1.00 1.00 1.00 1.00 1.00 - - $3,553 $4,170 Electronics Technician - - - - - - 1.00 $4,909 $5,791 Environmental Technician 2.00 2.50 2.50 2.75 2.75 3.00 3.00 $4,909 $5,791 Total Water Resources 10.00 10.50 10.50 10.75 10.75 10.00 11.00 $4,909 $5,791 Wastewater Wastewater Manager 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $6,869 $8,370 Wastewater Treatment Plant Operations Supv. 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $5,479 $6,469 Wastewater Treatment Plant Maint. Supv. 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $5,479 $6,469 Wastewater Treatment Plant Operator I 3.00 3.00 3.00 3.00 3.00 3.00 3.00 $4,652 $5,479 Wastewater Treatment Plant Operator II 2.00 2.00 2.00 2.00 2.00 2.00 2.00 $4,909 $5,791 Wastewater Treatment Plant Operator Trainee - - - - 1.00 - - $3,950 $4,652 Wastewater Treatment Plant Maint. Tech. 4.00 4.00 4.00 4.00 4.00 4.00 4.00 $4,170 $4,909 Electronics Technician 1.00 1.00 1.50 1.00 1.00 1.00 1.00 $4,830 $5,699 Journey Electrician 1.50 1.50 1.00 1.00 1.00 1.00 1.00 $4,830 $5,699 WWTP Laboratory Technician 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $4,403 $5,179 Computerized Maint. Mgmt. Sys. Tech. 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $4,909 $5,791 Accounting Assistant Senior 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $3,742 $4,403 Total Wastewater 17.50 17.50 17.50 17.00 18.00 17.00 17.00 Utilities Operations &Facilities Utility Operations Manager 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $6,869 $8,370 Water Distribution Supervisor 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $5,479 $6,469 Utilities Service Specialist Supervisor 1.00 1.00 - - - - - $5,479 $6,469 Lead Utilities Service Specialist 3.00 3.00 4.00 3.00 3.00 3.00 3.00 $4,909 $5,791 Lead Water Distribution Specialist 1.00 1.00 - - - - - Utilities Service Specialist Senior 7.00 7.00 8.00 9.00 9.00 9.00 9.00 $4,403 $5,179 Utilities Service Specialist 10.00 11.00 11.00 11.00 11.00 11.00 9.00 $3,950 $4,652 Utilities Meter Reader - - - - - - - Sewer /Storm Collection Supervisor - - 1.00 1.00 1.00 1.00 1.00 $5,479 $6,469 Cross Connection Control Specialist 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $5,179 $6,122 Maintenance Coordinator II 1.00 - - - - - - Maintenance Coordinator I 1.00 - - - - - - Lead Facilities Service Specialist - 1.00 1.00 1.00 1.00 1.00 1.00 $4,909 $5,791 Facilities Service Specialist Senior 1.00 1.00 1.00 1.00 1.00 1.00 $4,403 $5,179 Facilities Service Specialist 2.00 2.00 2.00 2.00 2.00 2.00 $3,950 $4,652 Facilities/Inventory Supervisor 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $5,479 $6,469 Total Utilitiues Operations & Facilities 28.00 31.00 32.00 32.00 32.00 32.00 30.00 Forestry Forestry Manager 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $6,869 $8,370 Forestry Service Specialist Supervisor 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $5,791 $6,831 Forestry Service Specialist Senior 2.00 2.00 2.00 2.00 2.00 2.00 2.00 $4,170 $4,909 Total Forestry 4.00 4.00 4.00 4.00 4.00 4.00 4.00 Total Public Works & Utility Operations 99.00 103.00 103.00 101.75 97.75 91.00 85.00 29 ii* ` # - Monthly Salary Range Function/Department 2006 2007 2008 2009 2010 2011 2012 Low High Equipment Maintenance 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $6,869 $8,370 Fleet Manager 1.00 1.00 1.00 1.00 1.00 1.00 - $5,923 $7,217 Accounting Assistant II 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $3,371 $3,950 Automotive Equipment Technician Supervisor - 1.00 1.00 1.00 1.00 1.00 1.00 $5,479 $6,469 Lead Automotive Equip. Tech. 1.00 - - - - - - $4,909 $5,791 Automotive Equipment Tech. 3.00 3.00 3.00 3.00 3.00 3.00 2.00 $4,403 $4,179 Automotive Technician Assistant - - 1.00 1.00 1.00 1.00 1.00 $3,371 $3,950 Total Equipment Maintenance 6.00 6.00 7.00 7.00 7.00 7.00 5.00 Information Technology Information Systems Manager 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $6,869 $8,370 Network Administrator 1.00 1.00 1.00 1.00 1.00 1.00 1.00 $5,479 $6,469 Application Support Analyst - - 1.00 1.00 1.00 1.00 1.00 $4,909 $5,791 Lead PC Technician - - 1.00 1.00 1.00 1.00 1.00 $4,909 $5,791 Customer Service/PC Technician 1.00 1.00 - - - - - $4,909 $5,791 PC Technician 2.00 2.00 1.00 1.00 1.00 1.00 - $4,403 $5,179 Web Support Specialist - - - - - 1.00 1.00 $3,684 $4,333 Totallnformation Technology 5.00 5.00 5.00 5.00 5.00 6.00 5.00 Total Employees 360.50 370.00 370.98 369.68 356.13 332.38 312.98 FTE Per 1,000 Population 10.04 10.33 10.06 10.10 9.73 8.81 8.07 30 Understanding the Bremerton Budget Each table includes several columns: The City of Bremerton presents budgeted fi- nancial information in detail tables by fund. Fund Name Actual Actual Budget Budget 2009 2010 2011 2012 Description Column 1 Description Resources are grouped by seven different revenue types; requirements are grouped by expenditure type. In addition to the budget detail tables for each fund, information about each fund and the ser- vices provided by each department are shown including additional detail on: Column 2 & 3—Actual data for prior two years Revenues and expenditures for the prior two fiscal years are shown in the second and third columns of the budget detail for each fund. Column 4—Budget for current year data Revenues and expenditures for the current fiscal year are shown on a budgeted basis in the fourth column of the budget detail for each fund. Column 5—Proposed budget for fiscal year 2010 Revenues and expenditures for fiscal year 2010 are shown on a proposed basis in the sixth column of the budget detail for each fund. • Number of full time equivalent em- ployees (FTE's); • Types of revenues and expenditures; • Description of services provided; • A listing of accomplishments and an overview of goals and objectives; and • Performance measurement data re- lated to city services 31 32 Introduction: The General Fund is the principal governmental fund of the City and is used to account for all revenues and expenditures which are not ac- counted for in any other fund. The majority of General Fund revenue come from property taxes, sales taxes, business and occupation taxes, pri- vate utility taxes, federal and state grants, fines, and charges for services. These resources pay for police, fire, parks, municipal court, police and fire pension, community development, eco- nomic development, government facilities, and administration. General Fund Overview Property Tax General Fund revenue has remained relatively flat for the 3 -year period spanning 2009 through 2011. Budgeted 2011 revenue ($34,126,498) reflects a 3.9% decrease from 2010 actuals. The $763k decrease in Intergovernmental revenue for 2012, compared to 2011, is due to the conclu- sion of stimulus money for Law Enforcement personnel. The off - setting increase in Charges for Services, is due to the Engineering Depart- ment performing services in other funds. The City's property tax is levied based on the assessed property value from the previous year, as determined by the Kitsap County Assessor. Annually the City Council sets the property tax levy as part of the annual budget process. The budget includes an increase of one percent, plus the value of new construction and annexed prop- erties. Due to the current economic conditions a collec- 33 General Fund Overview Actual Actual Actual Actual Budget Budget 2007 2008 2009 2010 2011 2012 Taxes $23,685,089 $22,913,499 $22,148,493 $21,840,756 $21,633,254 $21,968,900 Licenses & Permits 1,020,912 800,630 932,476 903,625 956,800 917,625 Intergovernmental 1,003,965 1,574,617 2,662,154 2,598,670 1,980,909 1,217,648 Charges for Services 2,688,949 2,808,094 2,998,859 3,880,423 3,715,310 5,284,900 Fines & Forfeits 564,606 1,286,875 1,486,078 1,218,281 1,200,900 1,133,730 Other Revenue 3,387,944 3,113,640 5,092,007 5,061,940 4,639,325 4,851,359 Total $32,351,465 $32,497,355 $35,320,067 $35,503,695 $34,126,498 $35,374,162 Overview Property Tax General Fund revenue has remained relatively flat for the 3 -year period spanning 2009 through 2011. Budgeted 2011 revenue ($34,126,498) reflects a 3.9% decrease from 2010 actuals. The $763k decrease in Intergovernmental revenue for 2012, compared to 2011, is due to the conclu- sion of stimulus money for Law Enforcement personnel. The off - setting increase in Charges for Services, is due to the Engineering Depart- ment performing services in other funds. The City's property tax is levied based on the assessed property value from the previous year, as determined by the Kitsap County Assessor. Annually the City Council sets the property tax levy as part of the annual budget process. The budget includes an increase of one percent, plus the value of new construction and annexed prop- erties. Due to the current economic conditions a collec- 33 General Fund Overview tion rate of 95% has been used to estimate reve- nue, a 1% increase from prior year. With voter approval of I -747, cities are limited to revenue increases of the lesser of inflation or one percent plus new construction each year. In years in which the inflation rate is less than one percent there is a hardship provision that allows the City, if tax vote room is available, to assess up to a one percent increase. The current year inflation rate is expected to be above one percent and the budget includes a levy increase of one percent. In addition, the EMS tax levy of fifty cents ($0.50) per thousand dollars ($1,000) of assessed valuation, has been levied with estimated reve- nue of $1.27M. Due to a projected decrease in assessed valuation for taxes levied for collection in 2011, and the maximum rate of fifty cents per thousand dollars, anticipated collections will de- crease by $97k. The following tables recap the City's recent property tax levy information. Historical City Assessed Valuation, Property Taxes Levied, and Property Tax Rates - City of Bremerton - 2007 - 2012 Historical Ad Valorem Property Tax Rates in the City of Bremerton 2007 - 2012 (Rates in Dollars per $1,000 of Assessed Valuation Total City of Bremerton Other Government Agencies Total City Emergency Emergency Medical City Collection Total Assessed Valuation Regular Mtsap Services Bonds Fund Bonds Services Year Percent Amount Per $1,000 Amount Per $1,000 Amount Per $1,000 Amount Per $1,000 2012 2,546,414,166 6,518,937 2.54 1273207 0.50 779,842 0.29 8,571,986 3.33 2011 2,748,747,794 6,403,390 2.33 1,374,373 0.50 806,031 0.29 8,583,794 3.12 2010 2,899,484,508 6269,823 2.16 1,449,742 0.50 887,304 0.31 8,606,869 2.97 2009 3,084,741,017 6,045,994 1.96 1,542,370 0.50 886,322 0.29 8,474,686 2.75 2008 3,114,776,428 5,928,119 1.90 980,744 0.32 902,582 0.29 7,811,445 2.51 2007 2,692,388,791 5,662,522 2.10 937,094 0.35 1,055,387 0.40 7,655,003 2.85 Historical Ad Valorem Property Tax Rates in the City of Bremerton 2007 - 2012 (Rates in Dollars per $1,000 of Assessed Valuation Total City of Bremerton Other Government Agencies Total 34 General Fund Overview City Emergency Collection General City Medical Mtsap Port of Year Fund Bonds Services Total Percent 2012 $2.54 $0.29 $0.50 $3.33 27.5% 2011 2.33 0.30 0.50 3.13 26.3% 2010 2.16 0.31 0.50 2.97 27.1% 2009 1.97 0.29 0.50 2.76 28.3% 2008 1.90 0.29 0.32 2.51 26.0% 2007 2.10 0.39 0.35 2.84 26.7% 34 General Fund Overview School Wash Mtsap Port of District Regional State County Bremerton No. 100 PUD Library Total Percent Total $2.38 $1.07 $0.79 $4.14 $0.07 $0.35 $8.79 72.5% $12.12 2.38 1.07 0.79 4.14 0.07 0.35 8.79 73.7% 11.92 2.13 0.95 0.77 3.76 0.07 0.32 8.00 72.9% 10.97 2.03 0.90 0.30 3.41 0.06 0.29 6.99 71.7% 9.75 2.03 0.88 0.69 3.19 0.06 0.28 7.13 74.0% 9.64 2.30 0.96 0.77 3.38 0.07 0.31 7.79 73.3% 10.63 34 General Fund Overview Sales & Use Tax The sales tax rate in Bremerton is 8.6 %. Of this amount the City's portion is .85 %, the balance going to other agencies. The budgeted amount for 2012 is $6.71M and is a 2.78% increase over 2011. Please see chart below for distribution. Allocation of Sales & Use Tax Within City of Bremerton Tax Rate per $1.00 Rate Percent State $0.0650 75.6% Bremerton 0.0085 9.9% Criminal Justice 0.0010 1.2% County 0.0015 1.7% Juvenile Facilities 0.0010 1.2% Emergency 1.2% Communications 0.0010 0.0% Public Transit 0.0080 9.3% Total 0.0860 100.0 In 2007, the State legislature implemented the Streamlined Sales Tax Act (SSTA) which went into effect mid -year 2008. The Streamlined Sales Tax Bill (SSB 5089) shifts local sales taxes to the place of delivery as opposed to where it was shipped from. In most instances, the cus- tomer accepts delivery at the store, with no prac- tical difference between practice before the SSTA law was implemented. However, when Sales &z Use Tax Historical Sales Tax 2012 Juvenile $458,500 2011 R 7 Facilities FmP r�ency Commu cations 6,121,000 County 0.0010 0.0010 $6,000 0.0015 1.2°rb 1.2% 2007 1.7% 501,813 Public Transit 0.0080 C y $4,000 9.3% Criminal Justice 0.0010 1.2% lN„ $2,000 Bremerton P r,44��ii�'�►�9 j��l�l ��Y� "i i V�dp� 0.0085 State 9 $0.0650 $0 75.6% Allocation of Sales & Use Tax Within City of Bremerton Tax Rate per $1.00 Rate Percent State $0.0650 75.6% Bremerton 0.0085 9.9% Criminal Justice 0.0010 1.2% County 0.0015 1.7% Juvenile Facilities 0.0010 1.2% Emergency 1.2% Communications 0.0010 0.0% Public Transit 0.0080 9.3% Total 0.0860 100.0 In 2007, the State legislature implemented the Streamlined Sales Tax Act (SSTA) which went into effect mid -year 2008. The Streamlined Sales Tax Bill (SSB 5089) shifts local sales taxes to the place of delivery as opposed to where it was shipped from. In most instances, the cus- tomer accepts delivery at the store, with no prac- tical difference between practice before the SSTA law was implemented. However, when Historical City of Bre me rton Sales & Use Tax - 2007 -2012 Ye ar Regular Historical Sales Tax 2012 $10,000 $458,500 2011 R 7 $8,000 2010 6,121,000 421,000 2009 6,114,008 $6,000 2008 7,313,179 476,939 2007 7,072,198 501,813 C y $4,000 $2,000 $0 2012 2011 2010 2009 2008 2007 Regular 0 Criminal Justice Historical City of Bre me rton Sales & Use Tax - 2007 -2012 Ye ar Regular Criminal Justice 2012 $6,250,000 $458,500 2011 6,109,000 417,800 2010 6,121,000 421,000 2009 6,114,008 427,665 2008 7,313,179 476,939 2007 7,072,198 501,813 2012 Budget Estimate goods are delivered to the customer at a separate location, the SSTA allocates sales tax to the ju- risdiction where the customer is located rather than the jurisdiction where the retailer is located. The changes in the sourcing do not impact use taxes or sales taxes related to construction and certain types of major purchases such as automo- 35 G eneral Fund Overvie biles, mobile homes, boats, and airplanes. Though sales tax revenue has declined due to economic conditions, the City continues to bene- fit from SSTA. Utility Tax Utility taxes are levied on the gross operating revenues earned by private utilities; electric, gas, telephone, cable television, and solid waste, within Bremerton. Revenue from utility tax declined in 2009 as the result of PSNS securing natural gas from a tax - exempt source in the fourth quarter of 2008. Though the City anticipates increases in natural gas in 2012, it has yet to recover from lost reve- nues due to brokered natural gas. Utility Taxes $6,000 $5,000 $4,000 $3,000 $2,000 $1,000 $0 Solid Waste o Cable TV Telephone Gas ® Electric The budget anticipates $4.605M from utility taxes, an increase of .01% over the prior year. While telephone utility taxes collections con- tinue to decrease as consumers reduce their reli- ance on land line telephones, other utilities have increased based on anticipated rate charges. The City of Bremerton imposes a local business and occupation tax which applies to the gross income of businesses that engage in business activity within the City. Tax rates vary from 0.125% to 0.2% of gross revenue depending on the classification of business activity. Business & occupation tax is the fourth largest source of revenue in the General Fund. Business & occu- pation tax revenue budgeted for 2012 is esti- mated at $2.7M which is 3% more than the prior year estimate. Business & Occupation Tax $4,000 9 R $3,000 0 s $2,000 $1,000 $0 The remaining tax revenues compose a small share of total tax receipts for the City. These other taxes are as follows: • Amusement Device Gross Receipts Tax - rate of 2% on gross revenues • Gambling Taxes (including pull tabs, card rooms, bingo, raffles, and fundraising) - rates vary from 2% to 20% • Leasehold Tax State tax of 12.84% of which the City is allocated a 4% portion The 2012 budget anticipates receipts of $217K 36 2012 2011 2010 2009 2008 2007 2012 2011 2010 2009 2008 2007 General Fund Overview from these sources, which is a decrease of 30% over the prior year budgeted receipts. The re- duction is primarily due to Council action in 2010 to reduce the rate on player backed card rooms by 50% and in 2011 to eliminate the Ad- missions Taxes. Licenses and Permits Bremerton collects license and permit fees that include, among others, annual business licenses, building permits, and franchise fees. The Com- munity Development Department issues a num- ber of permits for new construction and develop- ment including building permits and various building, plumbing, and mechanical inspection permits. These building related fees are depend- ent on new construction and can be an unstable source of income. The 2012 budget anticipates receipts of $.918M from various license and permit sources, which is a decrease of 4% below the prior year budget. Intergovernmental Revenue Intergovernmental revenues are made up of State shared revenues, grants, and other inter- governmental revenues. State - collected reve- nues that are shared with all cities are allocated to individual jurisdictions on a per capita basis. Population figures, determined annually as of April 1 by the State demographer in the Office of Financial Management, are used as the basis for the per capita distribution of these funds. The adopted budget includes liquor excise tax receipts and liquor board profits totaling $434k. To be eligible to receive liquor taxes and profits, the City must devote at least two percent of its distribution to support an approved alcoholism or drug addiction program. The 2012 budget anticipates receipts of $1.2M from intergovernmental revenue, which is a de- crease of 39% over the prior year budget. The major source of this reduction is due to the end of stimulus money. �� a *• Plan check fees are charged for development drawing review prior to the issuance of building permits. The City of Bremerton Parks & Recreation de- partment provides a variety of services for our residents. The fees from these services include all participant and sponsorship fees for City rec- reation programs. The City of Bremerton Fire and Emergency Services Department charges a fee for ambu- lance transport services. Many of the City's administrative services are provided centrally for the benefit of all depart- ments and funds. These costs are allocated to the proprietary funds. The 2012 charges are calculated on the basis of the cost allocation plan and interfund services provided from one fund to another. The budgeted revenue for 2012 is $1.089M for general government service. Fines & Forfeits The amount received from fines and forfeits includes traffic citations and other fines im- 37 G eneral Fund Overvie posed through enforcement of ordinances. The projected revenue for 2012 is $1.134M which is 5.59% less than budgeted for 2012. The decrease is primarily due to a change in parking enforce- ment contractors and a decrease in non - traffic misdemeanors. Miscellaneous Revenues Miscellaneous revenues include interest on in- vestments, donations, and other revenues from lease and rental arrangements. The budgeted revenues from these sources in 2012 are $206k which represents a 46.62% decrease from 2011 due primarily to a concession in the form of do- nations by City fire fighters in 2011. Other Financing Sources The most significant transfers in to the General Fund are from the City utility systems for Pay- ments In Lieu of Taxes (PILOT). PILOT pay- ments for 2012 include $1.462M from Water, $77.5K from Water Capital, $2.727M from Wastewater, and $139K from the Stormwater systems. Combined, PILOT is 14.7% higher than the 2011 budgeted amount. Real Estate Excise Tax funds are transferred from the General Government Capital Improve- ment Fund to fund Bremerton's allocation of an- nual debt service payment on bonds issued by the Kitsap Consolidated Housing Authority to fi- nance the construction of the Norm Dicks Gov- ernment Center, $210k. Transfers -in also include $25k from the Public Access Television (BKAT) Fund and $5K from Parks & Recreation Dona- tion Fund. Expenditures General Fund expenditures have had an annual average decrease of 2.02% for the 3 year period spanning 2009 through estimated 2011. Budg- eted 2012 expenditures represent a .55% increase over the 2011 budget. Personnel costs continue to be the largest expense for the General Fund at 75% of total expenditures. The following depart- mental budgets provide details on objectives, goals, and planned General Fund expenditures for 2012. General Fund Expenditures 21.92% 1.16% 0.15% 74.72% 2.05% ® Personnel ® Supplies & Services Debt Service ❑ Capital Outlay Transfers 38 General Fund Overview I �,i; t � 39 Gen , Re D etail 2009 2010 2011 2012 ACCOUNT ACTUAL ACTUAL BUDGET BUDGET % CHANGE TAXES 311.1000 General Property Tax 7,396,243 7,726,701 7,626,954 7,738,000 1.46% 313.1000 Retail Sales &Use 6,114,008 5,973,802 6,109,000 6,250,000 2.31% 313.7100 Sales Tax- Criminal Justice 427,665 418,917 417,800 458,500 9.74% 316.1000 B & 0 Taxes 3,109,752 2,761,910 2,600,000 2,700,000 3.85% 316.2000 Admission Taxes 17,763 22,852 17,000 - - 100.00% 316.4100 Electric Utility Taxes 1,714,605 1,716,776 1,700,000 1,850,000 8.82% 316.4300 Gas Utility Taxes 527,349 419,100 430,000 460,000 6.98% 316.4500 Garbage /Solid Waste 460,037 454,929 420,000 450,000 7.14% 316.4600 Television Cable Taxes 575,472 601,783 600,000 645,000 7.50% 316.4700 Telephone Taxes 1,475,421 1,338,542 1,400,000 1,200,000 - 14.29% 317.2000 Leasehold Excise Tax 62,232 101,570 110,000 108,000 -1.82% 317.5000 Gambling/Amusement 222,317 253,762 162,500 69,400 - 57.29% 319.6000 Business Taxes Penalty 45,629 50,112 40,000 40,000 0.00% TOTAL, TAXIS 22,148,493 21,840,756 21,633,254 21,968,900 1.55% LICINSI;S & PIIRMITS 321.0000 Business Licenses/Permits 533,221 485,514 545,100 546,925 0.33% 322.1000 Construction Permits 317,403 294,090 344,300 301,300 - 12.49% 322.3000 Animal Licenses 18,801 9,442 15,000 15,000 0.00% 322.4000 Right Of Way Permits 51,591 53,876 40,000 45,000 12.50% 322.9000 Other Non - Business Licenses 2,599 2,685 2,400 2,400 0.00% 329.0000 Interfund Licenses 8,861 58,018 10,000 7,000 - 30.00% TOTAL LICENSES & PERMITS 932,476 903,625 956,800 917,625 -4.09% INTI', RGOVI; MINTAI, REVENUE 331.0000 Federal Grants - Direct 1,316,709 1,306,640 471,817 39,824 - 91.56% 332.2100 COBRA Payroll TaxCredit 12,088 14,158 3,600 - - 100.00% 333.0000 Federal Grants - Indirect 15,831 12,541 7,200 7,200 0.00% 334.0000 State Grants 169,174 126,443 115,200 40,637 - 64.72% 335.0231 Reforestation Harvest Tax 2,883 7,065 - 7,000 N/A 336.0099 SST Mitigation 20,085 - - - N/A 336.0620 Criminal Justice High Crime 86,973 81,765 80,000 70,000 - 12.50% 336.0621 Law & Justice (LO POP) 36,894 37,852 36,000 33,500 -6.94% 336.0626 Criminal Justice - Special Programs 30,490 30,705 30,000 33,000 10.00% 336.0651 DUI - Cities 12,112 6,685 8,700 7,465 - 14.20% 336.0691 Fire Insurance Premium 44,559 47,447 46,440 49,600 6.80% 336.0694 Liquor Excise Tax 180,464 179,594 180,000 194,000 7.78% 336.0695 Liquor Board Profits 252,854 290,479 265,000 240,000 -9.43% 337.0700 Bremerton Housing Authority - 62,119 62,000 62,000 0.00% 338.2100 Bremerton Housing Security 84,082 - - - N/A 338.2130 Brem. School Dist Security 31,507 - - - N/A 338.2140 Other Law Enforcement Services 77,410 86,431 86,952 90,022 3.53% 338.2200 Fire Protection Service 188,500 115,050 175,000 120,000 - 31.43% 339.1167 DOJ COPS 56,227 156,948 243,000 152,700 - 37.16% 339.1168 DOJ JAG 43,312 34,445 100,000 70,700 - 29.30% 339.2811 Resource Conservation Program 0 2,303 70,000 - N/A TOTAI, INTIIRCsOVIIRNMI',NTAI ,IREVF ; 2,662,154 2,598,670 1,980,909 1 1,217,648 - 38.53% 39 Gen , Re D etail 2012 GENERAL FUND REVENUES 131"811 , 011 1 40 Revenue General Fund Detail 2009 2010 2011 2012 ACCOUNT ACTUAL ACTUAL BUDGET BUDGET % CHANGE CHARGES FOR SERVICE 341.0000 General Government 73,622 41,893 33,700 51,450 52.67% 342.1000 Law Enforcement Services 114,068 119,103 119,750 95,750 - 20.04% 342.2000 Fire Protection Services 1,130 11,250 - 18,000 N/A 342.3300 Probation Fees 271,373 415,651 400,000 365,000 -8.75% 342.3600 Home Detention Fees 22,330 11,949 15,000 19,000 26.67% 342.4000 Inspection Fees 423 705 500 1,000 100.00% 342.5000 Emergency Service Fee 4,540 6,681 5,000 6,000 20.00% 342.6000 ALS Transport Fees 611,819 620,938 650,000 625,000 -3.85% 342.9000 Criminal Court Filing Fees 13,663 9,724 10,300 8,800 - 14.56% 343.2000 EngineeringFees /Charges - - - - N/A 343.6000 Cemetery Fees 14,483 18,121 10,000 10,000 0.00% 345.8100 ZoningFees 69,325 22,020 19,000 11,500 - 39.47% 345.8300 Plan Check Fees 149,626 158,207 200,000 150,000 - 25.00% 345.8900 Other Planning Fees 12,549 2,451 - - N/A 347.3000 Park Rentals 136,286 114,478 69,500 63,000 -9.35% 347.4000 Event Admission Fee 7 9,294 7,000 7,000 0.00% 347.6000 Recreation Fees 284,397 244,393 227,000 180,000 - 20.70% 347.9003 Senior Fees - 16,169 - - N/A 349.1000 Interfund General Government 1,163,736 1,595,254 1,418,300 1,470,097 3.65% 349.2100 Law Enforcement Services - 345,000 100,000 200,000 100.00% 349.3000 Other Interfund Services - - - 1,061,613 N/A 349.7600 IFD Services - 60,367 380,260 183,580 - 51.72% 349.9500 Road Const & Engineering Services 47,754 56,775 50,000 758,110 1416.22% TOTAL SERVICE CHARGES 2,998,859 3,880,423 3,715,310 5,284,900 42.25% FINES & FORFEITURES 352.0000 Civil Penalties 8,272 8,097 7,000 7,830 11.86% 353.0000 Non - Parking Infractions 512,738 463,158 470,000 456,000 -2.98% 354.0000 Photo Enforcement Penalties 842,580 687,095 650,000 620,000 -4.62% 355.0000 Criminal Traffic Misdemeanor 37,204 24,649 25,000 20,500 - 18.00% 356.0000 Non - Traffic Misdemeanors 23,006 9,419 10,000 6,500 - 35.00% 357.3000 Court/Public Defender Recoupment 29,463 15,998 20,000 13,000 - 35.00% 359.0000 Non -Court Fines 32,815 9,865 18,900 9,900 - 47.62% TOTAL FINES & FORFEITURES 1,486,078 1,218,281 1,200,900 1,133,730 40 Revenue General Fund Detail � I,i= C i 2009 2010 2011 2012 ACCOUl®1'T ACTUAL ACTUAL I BUDGET I BUDGET I % CHANGE NII SCELLANEOUS REVEN 361.0000 Interest Earnings 58,359 68,284 53,500 57,000 6.54% 362.0000 Rents & Royalties 167,789 158,997 87,325 82,250 -5.81% 366.2000 Interfund Rents 46,080 46,080 50,100 46,080 -8.02% 367.1100 Donations 53,974 153,483 185,600 - - 100.00% 368.1300 Principal LID 327/328 6,719 - - - N/A 369.0000 Other Miscellaneous Revenue 24,160 303,260 8,500 20,200 137.65% 381.1510 I/F Loan From Equip. Rental 500,000 - - - N/A 388.8000 Prior Year Corrections - 103,197 - - N/A TOTAL MISCEIL,ANEOUS REVENUES 857,081 833,301 385,025 205,530 - 46.62% OTHER FINANCING SOURCES 395.0000 Sale of Assets 2,275 3,754 - - N/A 397.0000 Operating Transfers -In 889,264 613,200 412,000 240,000 - 41.75% 397.0401 Transfer From Water - PILOT 1,004,461 1,267,675 1,371,750 1,462,050 6.58% 397.0404 Transfer From Water Capital- PILOT - - - 77,500 N/A 397.0451 Transfer From Wastewater - PILOT 1,579,797 2,015,319 2,125,050 2,727,403 28.35% 397.0481 Transfer From Stormwater - PILOT 244,916 327,771 345,500 138,876 - 59.80% 397.0503 Transfer From Risk Management 1,000,000 - - - N/A 397.0000 Insurance Recoveries 14,213 920 - - N/A TOTAL OT FINANCING 4,734,926 4,228,639 4,254,300 4,645,829 9.20% TOTAL GENERAL. FUND REVENUES $ 35,820,067 $ 35,503,695 $ 34,126,498 $ 35,374,162 3.66 41 ITIM � i , . , General Fund Actual Actual Budget Budget 2009 2010 2011 2012 FTE positions Revenues Taxes Licenses & Permits Intergovernmental Charges for Services Fines & Forfeits Other Revenue Debt Proceeds Total 251.93 $22,148,493 932,476 2,662,154 2,998,859 1,486,078 5,092,007 0 241.38 224.38 PANW -9 Expenditures City Council Executive Finance Legal Human Resources Comnxmity Development Municipal Court City Auditor Law Enforcement Fire/Emergency Medical Services Police & Fire Pension Facilities Parks & Recreation Engineering Economic Development Non-Departmental Total Expenditures $21,840,756 903,625 2,598,670 3,880,423 1,218,281 5,061,940 0 $21,633,254 956,800 1,980,909 3,715,310 1,200,900 4,639,325 0 $21,968,900 917,625 1,217,648 5,284,900 1,133,730 4,851,359 0 35,320,067 35,503,695 34,126,498 35,374,162 304,878 272,763 1,319,490 736,221 381,077 1,089,060 1,334,728 151,585 10,600,816 7,966,566 2,499,201 753,051 2,972,110 381,852 162,768 3,778,171 34,704,337 319,425 391,400 1,173,091 935,917 287,349 1,252,781 1,310,553 153,511 10,530,707 8,132,810 2,452,947 823,706 2,926,947 379,845 0 3,340,135 34,411,124 325,550 403,520 1,244,280 986,100 364,670 1,532,200 1,319,500 167,800 9,678,440 8,344,700 2,735,100 953,900 2,508,200 404,173 0 4,218,125 35,186,258 332,770 370,360 1,149,840 971,550 333,210 1,408,536 1,294,187 170,960 9,498,837 8,311,214 2,544,000 807,117 2,593,741 2,134,928 0 3,461,171 35,382,421 42 Revenue over(under) expenditures 615,730 1,092,571 (1,059,760) (8,259) Beginning fund balance 1,341,457 1,957,187 3,049,878 2,249,115 Ending fund balance $1,957,187 $3,049,758 $1,990,118 $2,240,856 General Fund Actual Actual Budget Budget 2009 2010 2011 2012 Expenditures Personnel Supplies, services & taxes Capital expenditures Debt service Transfers Total General Fund $23,877,644 9,156,617 248,966 426,371 994,739 $24,611,991 8,528,966 150,885 419,282 700,000 $34,411,124 $24,845,120 8,461,593 77,000 414,385 1,388,160 $26,436,100 7,755,016 55,000 411,305 725,000 $34,704,337 43 $35,186,258 $35,382,421 City Council General Fund Summary: The City Councilors are elected by the citizens of Bremerton to perform the legislative function of the City government, establish goals, priorities and policies, adopt ordinances and resolutions, adopt the budget, exercise the rights and powers set forth in the City Charter, and exercise all powers of a municipal governing body pursuant to state laws and the home rule provisions of the Washington constitution. General Fund - City Council Actual Actual Budget Budget 2009 2010 2011 2012 Positions 10.80 10.80 10.80 10.80 Expenditures Personnel $286,856 $303,088 $306,200 $313,500 Supplies, services & taxes 18,022 16,337 19,350 19,270 Capital expenditures 0 0 0 0 Debt service 0 0 0 0 Transfers 0 0 0 0 City Council Total $304,878 $319,425 $325,550 $332,770 .. Legislative Department 2012 Goals: • Establish a funding source for our street improvement program Work with the State Leadership to appropri- ately fund the Washington State Ferry sys- tem 45 Executive art General Fund Summary: The Executive Department is directed by the Mayor, who is elected by Bremerton voters each four years. The mayor also serves as the adminis- trative head of the City government. Executive responsibilities include: administrating programs and policies established by the City Council; di- rection and coordinating departmental opera- tions; informing the Council on City affairs, problems and future needs; reviewing policies and regulations involving municipal governmen- tal management; and submittal of the City's an- nual budget. General Fund - Executive Actual Actual Budget Budget 2009 2010 2011 2012 FTE positions 2.00 2.00 2.00 2.00 Expenditures Personnel $198,357 $268,532 $271,600 $283,500 Supplies, services & taxes 74,406 122,868 131,920 86,860 Capital expenditures 0 0 0 0 Debt service 0 0 0 0 Transfers 0 0 0 0 Total Executive $272,763 $391,400 $403,520 $370,360 46 Executive Department 2012 Goals: • Complete Kiwanis Park remodel with private and grant funding • Complete Pacific Parking Garage Project at Burwell & Park- Complete Ten -flex Cinema to open June 2012 • Annex two of three areas in Bremerton's UGA • Support "commons" development at JC Penny's site • Expand neighborhood associations for streetscape improvements and introduce "smart streets" • Host Bremerton 2 nd Annual Beer Festival sponsored by Wash- ington Beer Commission for two day event • Secure funding for demolition of buildings and site prep of East Bremerton High School • Support construction of Boys and Girls Club on Youth Wellness Campus • Secure funding for Youth Wellness Center designed by Steven Holl with Birkenfeld Foundation • Revitalize infrastructure and site for Youth Wellness Campus • Complete right hand lane extension from Warren Avenue to 11 Street • Fund and complete Phase II of Anderson Cove Community Renewal Plan • Support Washington State Science & Engineering Fair for awards of $1.2 million to our 1" through 12 school students • Work with NCMS to bring Profile Composites Inc. from Sid- ney, BC to a site in Bremerton 47 Financial vi General Fund Summary: The Department of Financial Services is com- prised of the Finance Division, City Clerk, Hu- man Resources, and Bremerton Kitsap Area Television (BKAT). The Finance Division provides service support for both external users and internal users by pro- viding information to facilitate the decision - making process in the areas of budgeting, ac- counting, reporting, treasury management, reve- nue collection and payment services in the areas of payroll and accounts payable. The City Clerk Division is responsible for offi- cial City records, public information disclosure, records and contract management, and serves as City Council Liaison. This division also provides for the planning, funding and management of the City's parking system and serves as the Secretary of the City's LEOFF pension boards. The Human Resources budget is presented as a separate department of the General Fund. BKAT activity is presented in the Special Reve- nue Funds. Information Technology is presented in under Internal Service Funds. General Fund - Financial Services Actual Actual Budget Budget 2009 2010 2011 2012 FTE positions 11.38 11.38 10.38 9.38 Expenditures Personnel $862,390 $916,189 $930,600 $881,400 Supplies, services & taxes 457,100 256,902 313,680 268,440 Capital expenditures 0 0 0 0 Debt service 0 0 0 0 Transfers 0 0 0 0 Total Financial Services $1,319,490 $1,173,091 $1,244,280 $1,149,840 48 Financial Services 2012 Goals: • Prepare and complete 2011 Animal Financial Report to State Auditor by deadline of May 31, 2011 • Enhance and update five -year financial plans • Review and update Equipment Rental funding plan • Increase training of intenial customers on finan- cial software systems and policies • Improve interaction with citizens and taxpayers through additional online capabilities 49 City Clerk Division 50 Legal Services General Fund Summary: The Legal Department is comprised of the City Attorney's Office and Risk Management. vices were previously performed by the Kitsap County Prosecutor's office. The City Attorney is the legal advisor of the City and represents the City in all legal matters in- volving the City including, but not limited to: the prosecution of all criminal violations of the Bremerton Municipal Code, the limitation and reduction of liability exposures, and provides legal advice to the Mayor, City Council, and all City staff. During 2009 the legal department expanded to bring prosecution services in- house. These ser- The staffing costs of Risk Management are in- cluded in the legal department budget with a transfer from the Risk Management Fund budget to offset those costs. The Risk Management program is presented in the Internal Service Funds section of this docu- ment. General Fund - Legal Department Actual Actual Budget Budget 2009 2010 2011 2012 FTE positions 9.00 8.00 7.00 7.00 Expenditures Personnel $553,814 $814,767 $793,300 $828,700 Supplies, services & taxes 182,407 121,150 192,800 142,850 Capital expenditures 0 0 0 0 Debt service 0 0 0 0 Transfers 0 0 0 0 Total Legal Department $736,221 $935,917 $986,100 $971,550 51 Legal Services 2012 Goals: Continue to review and update the Bremer- ton Municipal Code Continue to provide professional, accessi- ble legal representation to City Council, the Mayor and City departments Efficiently, professionally and successfully represent the City in all phases of litigation including civil defense and criminal prose- cution 52 Human Resources General Fund Summary: Human Resources is responsible for providing support to employees and management by per- forming the centralized functions of recruitment, selection, orientation, benefits enrollment and administration, development and training, and labor and employee relations, including contract negotiations and administration. Additionally, they also serve as a resource in assisting adminis- trative and managerial personnel in managing, motivating, and disciplining employees effec- tively, and assuring compliance with all legal requirements such as the Civil Service Code through the Civil Service Officer and Civil Ser- vice Commission, Bremerton Municipal Code, RCW, Equal Employment Opportunity, Fair La- bor Standards, ADA, FMLA, and Collective Bar- gaining Laws. General Fund - Human Resources Actual Actual Budget Budget 2009 2010 2011 2012 FTE positions 2.00 2.00 2.00 2.00 Expenditures Personnel $312,588 $241,211 $154,100 $204,900 Supplies, services & taxes 68,489 46,138 210,570 128,310 Capital expenditures 0 0 0 0 Debt service 0 0 0 0 Transfers 0 0 0 0 Total Human Resources $381,077 $287,349 $364,670 $333,210 53 Human Resources 2012 Goals: • Develop and initiate an on -line recruitment process. • Update the City's performance evaluation process. • Provide City -wide training prograin on topics such as Family Medical Leave Act, Customer Service, and Supervisory training. • Expand Employee Wellness Program and in- crease employee participation. • Continue to provide management, employees and our external customers with consistent, timely guidance and direction, ensuring the City's compliance with policies, labor agree - inents and employment laws. 54 Community v General Fund Summary: The Community Development Department is responsible for leading city -wide and neighbor- hood planning for growth and development, con- ducting environmental planning, administering land use and environmental codes, performing plan review and inspections, providing public information on community plans and develop- ment rules, pursuing annexations consistent with growth plans, insuring compliance with land use, building and nuisance codes, supporting urban design initiatives and project reviews, providing program administration for the Community De- velopment Block Grant (CDBG) and HOME program activities. The department also pro- vides administrative and technical support to the City's contract Hearing Examiner, and council appointed Planning Commission, Design Review Board, and Arts Commission. General Fund - Community Development Actual Actual Budget Budget 2009 2010 2011 2012 FTE positions 10.00 11.00 11.00 10.00 Expenditures Personnel $869,454 $937,941 $1,010,500 $1,055,500 Supplies, services & taxes 219,606 314,840 521,700 353,036 Capital expenditures 0 0 0 0 Debt service 0 0 0 0 Transfers 0 0 0 0 Total Community Development $1,089,060 $1,252,781 $1,532,200 $1,408,536 55 Community Development (Building, Planning) 2012 Goals: • Focus on creating the City's "One-Stop" per- mitting center to ensure excellent customer service and quick permit review times. • Continue to support the creation of new housing units and other revitalization pro- jects. • City Council adoption of the Shoreline Mas- ter Program and Cumulative Impact Analysis and submittal to Department of Ecology. • City Council adoption of the SKIA sub-area plan and planned action environmental im- pact ordinance. • Expand City's Community Empowerment Zone 56 Municipal General Fund Summary: The Municipal Court is a court of limited juris- orders of protection, restitution hearings and diction for the City hearing cases involving al- hearing examiner appeals. The department is di- leged violations of City ordinances and State rected by the Judge who is elected by the citizens misdemeanor statutes, traffic, parking infrac- of Bremerton and serves a four year term. tions, photo enforcement infractions, requests for General Fund - Municipal Court Actual Actual Budget Budget 2009 2010 2011 2012 FTE positions 11.00 11.00 11.00 10.00 Expenditures Personnel $851,885 $878,849 $891,400 $876,600 Supplies, services & taxes 482,843 431,704 428,100 417,587 Capital expenditures 0 0 0 0 Debt service 0 0 0 0 Transfers 0 0 0 0 Total Municipal Court $1,334,728 $1,310,553 $1,319,500 $1,294,187 57 Municipal Court 2012 Goals: • Implement Microsoft "Share Point" software for use with in-custodies • Continue to evaluate the expansion of Hear- ings by mail • Finalize Policy and Procedure book for Mu- nicipal Court • Continue to evaluate our organization for further efficiencies 58 City Auditor General Fund Summary: The City Auditor's Office conducts financial, and efficient manner. The City Charter requires compliance and performance audits to assure the City to have an auditor function and audit citizens, elected City Officials and management committee. that the City is utilizing resources in an effective General Fund - City Auditor Actual Actual Budget Budget 2009 2010 2011 2012 FTE positions 1.20 1.20 1.20 1.20 Expenditures Personnel $144,234 $145,725 160,000 $163,700 Supplies, services & taxes 7,351 7,786 7,800 7,260 Capital expenditures 0 0 0 0 Debt service 0 0 0 0 Transfers 0 0 0 0 City Auditor Total $151,585 $153,511 $167,800 $170,960 59 /-� Audi ____ 2012 Goals: • 9orfbroz compliance and performance au- dits in accordance with the annual work plan which ia approved 6vthe AoditCom- mhteo. • Provide assistance to City Departments as requested and oa approved 6v the Audit Committee. • Continue testing of city finance procedures for compliance with internal accounting control policies. • Expand monitoring of internal control sys- tem for adverse changes caused by budget and staffing reductions 60 Law Enforcement General Fund Summary: The Police Department is responsible for the Administration maintenance of public order, responding to inci- . Investigations dents of criminal activity, traffic control, crimi- . Patrol nal investigations, crime prevention, Homeland • Special Operations Group Security issues and other related public services. • Property & evidence The Chief of Police and all Officers under his • Community resources direction are tasked with enforcement of all Fed- • Traffic unit eral Laws, Washington State Laws and City Or- . Off Duty - contracted dinances within the boundaries of the City. • Home detention 0 • Central dispatch services The department is comprised of the following 0 units: 0 General Fund - Law Enforcement Actual Actual Budget Budget 2009 2010 2011 2012 FTE positions 82.50 78.50 73.00 70.60 Expenditures Personnel $7,833,338 $8,120,887 $8,113,020 $8,082,700 Supplies, services & taxes 2727537 2392092 1,565,420 1,416,137 Capital expenditures 39,941 17,728 0 0 Debt service 0 0 0 0 Transfers 0 0 0 0 Total Law Enforcement $10,600,816 $10,530,707 $9,678,440 $9,498,837 61 Law Enforcement 2012 Goals: • Target problem areas using the Focused Polic- ing Initiative. • Upgrade evidence tracking software. • Implement technology enhancements to inves- tigative capabilities. • Ensure Police Records are complaint with the new National Incident Based Reporting Sys- tem (NIBRS) standards. • Continue to meet minimum training require- ments as established by Criminal Justice Training Commission. • LEXIPOL — knowledge management system for policy development. • State certify three Advanced Defensive Tac- tics instructors. • State certify two Collisions Reconstruction- ists. 62 Fire/Emergency Medical vi General Fund Summary: The Fire Department is responsible for protecting . Administration the citizens from the adverse effects of fires, • Fire Suppression medical emergencies, hazardous material inci- . Fire Prevention and Investigation dents, and man -made or natural disasters. • Rescue & Emergency Aid Training The department is comprised of the following . Facilities divisions: • ALS Billing Services • Central Dispatch Services General Fund - Fire/Emergency Medical Services Actual Actual Budget Budget 2009 2010 2011 2012 FTE positions 62.00 59.00 57.00 56.00 Expenditures Personnel $7,152,235 $7,314,319 $7,370,200 $7,437,200 Supplies, services & taxes 814,331 818,491 974,500 874,014 Capital expenditures 0 0 0 0 Debt service 0 0 0 0 Transfers 0 0 0 0 Total Fire/Emergency Medical $7,966,566 $8,132,810 $8,344,700 $8,311,214 63 Fire Department 2012 Goals: • The highest priority this year will be to main- tain staffing levels. The Fire Department will continue to look for alternative funding sources. • Continue contracting for services with South Kitsap Fire & Rescue and look for other op- portunities to increase staffing. • Apply for equipment through the Fire Act Grant and for personnel though SAFER grant. • Look for outside revenues to fund an emer- gency generator for Fire Station 4 1. 64 Police Fire Pension General Fund Summary: The Police and Fire Pension budget accounts for pension payments for firefighters and law en- forcement officers who were hired under the Law Enforcement Officers & Fire Fighters (LEOFF 1) Retirement System and prior retire- meat acts. Program expenditures include medi- cal premiums, pension and disability payments for firefighters and law enforcement officers hired prior to October 1, 1977 and who are vested in the system. Total Fire/Emergency Medical $2,499,201 $2,452,947 $2,735,100 $2,544,000 65 General Fund - Police & Fire Pension Actual Actual Budget Budget 2009 2010 2011 2012 Expenditures Personnel $2,327,052 $2,327,972 $2,500,100 $2,320,000 Supplies, services & taxes 172,149 124,975 235,000 224,000 Capital expenditures 0 0 0 0 Debt service 0 0 0 0 Transfers 0 0 0 0 Total Fire/Emergency Medical $2,499,201 $2,452,947 $2,735,100 $2,544,000 65 Police and Fire Pension 2012 Goals: Maintain level of services provided to LEOFF 1 Retirees. Goals for the Pension Budget are related to creating efficiencies and cost - savings. The LEOFF 1 Pen- sion Program is legislatively mandated as a service provided only to a specific group of Police and Fire retirees. 66 General Facilities General Fund Summary: General facilities staffing is responsible for the upkeep and maintenance of all City buildings and grounds, other than those in the Parks and Recreation Department. In addition, this division is responsible for Utility (water, sewer, storm) inventory, which includes ordering and receiving equipment and supplies for the Department of Public Works & Utilities. They are also respon- sible for the repair of small miscellaneous equip- ment, which includes pumps, generators, and saws. General Fund - Facilities Actual Actual Budget Budget 2009 2010 2011 2012 Expenditures Personnel $134,082 $193,033 $223,500 $201,800 Supplies, services & taxes 618,969 630,673 678,400 550,317 Capital expenditures 0 0 52,000 55,000 Debt service 0 0 0 0 Transfers 0 0 0 0 Total General Facilities $753,051 $823,706 $953,900 $807,117 67 General Facilities 2012 Goals: • Continue to expand Cartegraph mainte- nance software applications in Facility op- erations for both General Fund and Utility building maintenance. • Zero lost-time accidents • Eliminate existing structures which are not used (example: old Cencom building). 68 Recreation Parks and General Fund Summary: The Parks and Recreation Department provides safe and attractive parks, facilities and programs for the enjoyment of Bremerton's citizens and visitors. The Department operates and maintains the Sheridan Park Community Center, Bremer- ton Senior Center and Ivy Green Cemetery. The Department maintains 335 acres of park land including 31 parks and beautification areas lo- cated throughout the City. A broad menu of rec- reational programs and activities for a variety of ages and interests are offered with many recover- ing a portion or all of the incremental costs to provide these services. General Fund - Parks and Recreation Actual Actual Budget Budget 2009 2010 2011 2012 FTE positions 25.05 24.50 20.00 19.00 Expenditures Personnel $1,820,611 $1,823,453 $1,748,500 $1,879,700 Supplies, services & taxes 938,685 1,004,196 733,900 713,301 Capital expenditures 196,821 92,966 25,000 0 Debt service 15,993 6,332 800 740 Transfers 0 0 0 0 Total General Parks $2,972,110 $2,926,947 $2,508,200 $2,593,741 69 General Parks Department 2012 Goals: • Maintain Parks system with increased sup- port from volunteer Stewardship groups • Maintain Downtown park, plaza and fountain improvements for attractiveness and safety • Work with community groups to improve Pendergast Park soccer field surface 70 Engineering General Fund Summary: Engineering manages comprehensive planning, all City departments; obtains grant and low inter - design and construction of City infrastructure; est loan funding from Federal and State sources; traffic engineering; development project review and assists in regional transportation coordina- and permitting; provides engineering services to tion. General Fund - Engineering Actual Actual Budget Budget 2009 2010 2011 2012 FTE positions 1.00 1.00 - - Expenditures Personnel $325,292 $272,851 $342,500 $1,906,900 Supplies, services & taxes 56,560 66,803 61,673 228,028 Capital expenditures 0 40,191 0 0 Debt service 0 0 0 0 Transfers 0 0 0 0 Total Engineering $381,852 $379,845 $404,173 $2,134,928 71 General Fund Engineering 2012 Goals: • Pursue grants for utility and street projects as approved by the City Council. • Continue to provide support for Parks, Com- munity Development, and other City Depart- ments • Provide engineering support for all Opera- tions and Maintenance Divisions in Public Works & Utilities in support of utility and street operations • Provide planning, design, construction man- agement, and inspection services for utility and street improvements • Provide review, approval, and inspection for developer constructed utility and street im- provements throughout the City • Respond to citizen inquiries as required for utility and street issues • Manage a multitude of City records and sys- tems including addressing, system mapping, GIS, project files, construction records, hy- draulic models of the utility systems, etc. • Zero lost time accidents 72 Non-Departmental General Fund Summary: The General Fund Non - Departmental budget ac- counts for activities of a general nature not asso- ciated with a specific service function or depart- ment. Various activities include: • Payment to Kitsap County Auditor's Office for voter registration and election services • Payment to Kitsap County in accordance with Revenue Sharing Interlocal Agreement • Contracts with Kitsap County Emergency Management Services for the delivery of a comprehensive, all- hazards emergency man- agement program • Payment for participation in professional as- sociations, including the Puget Sound Re- gional Council, Association of Washington Cities, and Kitsap Regional Coordinating Council • Local governments are legally responsible for expending at least 2% of collected liquor excise taxes and profits for alcoholism pro- grams • Contracts with the Bremerton - Kitsap County Health District for certain public health sup- port and services • Funding for the enforcement of the "Clean Air Act" through the Puget Sound Clean Air Agency • Photo Enforcement contract costs • Care and custody of prisoner costs • Costs of postage on City mailings where not directly covered by fund or Department budgets • Contracts with the Humane Society for ani- mal control services • Payment of Government Center Debt • Transfers of monies to financially support the following funds: • Street Fund • Bond Fund 73 General Fund - Non - Departmental Actual Actual Budget Budget 2009 2010 2011 2012 Expenditures Personnel $82,213 $53,174 $29,600 Supplies, services & taxes 2,290,841 2,174,011 2,386,780 Capital expenditures 0 0 0 Debt service 410,378 412,950 413,585 Transfers 994,739 700,000 1,388,160 $0 2,325,606 0 410,565 725,000 Total Non - Departmental $3,778,171 $3,340,135 $4,218,125 $3,461,171 74 Non Departmental 2012 Goals: 75 General Fund - Ending Fund Balance Actual Actual Budget Budget 2009 2010 2011 2012 Expenditures Personnel Supplies, services & taxes Capital expenditures Debt service Transfers Ending Fund Balance Total Expenditures $0 $0 $0 $0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1,957,308 3,049,758 1,990,118 2,240,856 $1,957,308 $3,049,758 1,990,118 2,240,856 76 Special Rr r r Funds Overview Introduction: Special revenue funds are a category of funds which account for proceeds of specific reve- nue sources —which are restricted for specific purposes and expenditures. The 2012 budget includes 13 special revenue funds. Arterial Street Fund Dedicated capital construction fund for the purpose of making capital improve- ments to the City's arterial street system as provided in the Transportation Im- provement Plan. Primary source of reve- nues is state and federal grant funds. Street Fund Comprised of three main functions: Street Maintenance—streets/ sidewalk maintenance, snow /ice control, etc Traffic Maintenance — traffic control devices maintenance Electronics— maintenance of traffic signals, streetlights, radios, etc. Funding for the street program comes from a combination of fuel taxes, parking taxes, charges to other departments and governmental agencies for services provided, and transfers from the General Fund. Contingency Reserve This fund was established to protect the City's General Fund in the event of unforeseen and unfunded emergency requirements. By City ordinance, all proceeds from the sale of general government property is to be deposited into the Contingency Reserve fund. Lodging Tax Fund Established for the collection and expen- diture of lodging taxes which are to be used for stadium facilities, convention center facilities, performing arts facilities, visual arts centers, and the promotion of tourism. Parking System Used to account for the revenues and ex- penditures for the entire City's parking facilities and lots— including the City's parking garage, conference center park- ing garage, Fifth and Park lot, and the Craven lots, along with all metered on- street parking in the City and all fees col- lected from parking violations. Community Development Block Grant Provides 1) administration of federal Community Development Block Grant (CDBG) and Home programs, and 2) es- tablishment and implementation of hous- ing projects using federal, state, and pri- vate funds. 77 Special . Abatement Revolving Fund Established as a source of funding for car- rying out repair, demolition, or removal of conditions which are subject to abatement under the City's building, fire, zoning, and nuisance ordinances. Police Special Projects Created to account for monies and pro- ceeds from the sale of property seized dur- ing drug investigations and forfeited pur- suant to state and federal law. Public Access Television (BKAT) Accounts for revenues and expenditures of the Public, Education, and Government (PEG) channel which provides public ac- cess television service to the citizens of Kitsap County through franchise agree- ments with local cable providers. Reve- nue sources come from a combination of PEG fees collected by the cable providers, cable franchise fees, service contract fees with other governmental entities, and a variety of charges for services for produc- tion assistance and equipment usage. Gift and Donation Fund Established for the purpose of accepting gifts and donations on behalf of all depart- ments of the City. Trial Improvement Fund In 2005 the legislature passed SB5454 for the expressed purpose of providing relief to cities who have courts of limited juris- diction, as well as district and state courts. Each city that has an elected municipal court judge that is compensated at 95% but not more than 100% of the district court judge salary will receive an annual distribution. Each city for which the state contributes to the municipal court judge's salary is required to create a trial court im- provement account. This account must be funded in an amount equal to the state's contribution and must be appropriated by the City Council to fund improvements to court staffing, programs, facilities, and services. nance. Conference Center Operating Fund This fund was established to account for revenues and expenditures related to the operation, maintenance, security, and capi- tal improvements to the new Conference Center complex. Revenues are provided by Conference Center charges for ser- vices, as well as a lodging tax allocation, and General Fund contributions. 78 the ordi- . Overview Total Special Revenue Funds Actual Actual Budget Budget 2009 2010 2011 2012 FTE positions 2.00 2.00 3.00 2.00 Revenues Taxes $674,703 $665,868 Licenses & permits 242,441 261,770 Intergovernmental 1,661,631 2,936,744 Charges for services 2,189,932 1,768,483 Fines & forfeits 443,758 363,656 Other revenue 2,848,424 2,214,356 Debt proceeds 0 0 Total revenue 8,060,889 8,210,877 $680,000 265,000 8,135,696 1,831,870 363,000 2,176,600 9,675,000 23,127,166 $834,800 240,000 7,705,155 1,641,530 331,000 1,949,870 0 12,702,355 Expenditures Personnel 2,079,417 1,640,804 Supplies, services & taxes 3,823,128 4,865,591 Capital expenditures 455,907 1,926,301 Debt service 0 164,358 Transfers 1,659,146 833,200 Total expenditures 8,017,598 9,430,254 Revenues over(under) expenditures 43,291 (1,219,377) Beginning fund balance 6,039,047 6,082,338 Ending fund balance $6,082,338 $4,862,961 Fund totals -Expenditures only Arterial Street $517,828 $2,078,606 Street 2,496,577 2,217,479 Contingency Reserve 951,000 250,000 Lodging Tax 344,997 353,900 Parking System 1,008,855 1,114,504 Comm. Dev. Block Grant 713,354 1,107,702 Abatement 4245 16,588 Police Special Projects 277,770 416,621 Public Access Television 336,850 272,383 Donations 15,166 12,412 Trial Improvement 0 58,780 One Percent for Arts 31,455 25,831 Conference Center 1,319,501 1,505,448 Total Special Revenue Funds $8,017,598 $9,430,254 1,772,500 5,926,474 5,533,004 10,250,000 1,997,371 25,479,349 (2,352,183) 4,862,961 $2,510,778 $5,935,775 2,224,684 1,150,000 325,000 11,000,888 2,491,525 106,000 259,700 366,350 40,400 15,000 10,000 1,554,027 $25,479,349 1,635,800 6,358,706 4,999,100 675,705 185,000 13,854,311 (1,151,956) 3,514,371 $2,362,415 $4,904,100 2,281,487 0 385,000 1,291,938 2,599,975 42,000 409,700 336,854 34,600 15,000 10,500 1,543,157 $13,854,311 79 Arterial Street Special Revenue Fund Summary: The Arterial Street Fund is managed by the Engineering Division of the Public Works and Utilities Department as a dedicated capital construction fund for the purpose of making capital improvements to the City's arterial street system. As a standard policy, most of these funds are leveraged as match for federal highway grants for new construction identi- fied in the Transportation Improvement Plan. Arterial Street Fund Actual Actual Budget Budget 2009 2010 2011 2012 Revenues Taxes Licenses & permits Intergovernmental Charges for services Fines & forfeits Other revenue Debt proceeds Total revenue Expenditures Personnel Supplies, services & taxes Capital expenditures Debt service Transfers Total expenditures $0 $0 $0 $0 0 0 0 0 219,952 1,014,942 4,792,370 4,357,444 52,508 12,248 85,500 0 0 0 0 0 29,361 295,086 25,000 0 0 0 0 0 301,821 1,322,276 4,902,870 4,357,444 71,375 39,364 120,000 0 92,119 112,941 95,500 0 354,334 1,926,301 5,483,004 4,904,100 0 0 0 0 0 0 237,271 0 517,828 2,078,606 5,935,775 4,904,100 Revenues over(under) expenditures (216,007) (756,330) (1,032,905) (546,656) Beginning fund balance 2,032,066 1,816,059 1,059,729 546,656 Ending fund balance $1,816,059 $1,059,729 $26,824 $0 80 Arterial Street 2012 Goals: • Complete all projects identified in the budget highlights. 81 Electronics— maintenance of traffic sig- Street Maintenance—streets/sidewalk nals, streetlights, radios, etc. maintenance, snow /ice control, etc. Expe nditure s Personnel Street Fund 1,203,789 1,184,500 1,196,900 Actual Actual Budget Budget 1,084,587 2009 2010 2011 2012 FTE positions 1.00 1.00 1.00 - Revenues Transfers 0 0 5,000 Taxes $311,374 $317,899 $300,000 $454,800 Licenses & permits 0 0 0 0 Intergovernmental 643275 785,461 776,000 820,400 Charges for services 509,107 363262 330,000 205,000 Fines & forfeits 0 0 0 0 Other revenue 1,035,506 772,931 825,000 827,044 Debt proceeds 0 0 0 0 Total revenue 2,499,262 2,239,553 2,231,000 2,307,244 Expe nditure s Personnel 1,378,778 1,203,789 1,184,500 1,196,900 Supplies, services & taxes 1,111,314 1,013,690 1,035,184 1,084,587 Capital expenditures 6,485 0 0 0 Debt service 0 0 0 0 Transfers 0 0 5,000 0 Total expenditures 2,496,577 2,217,479 2,224,684 2,281,487 Revenues over(under) expenditures 2,685 22,074 6,316 25,757 Beginning fund balance 73,243 75,928 98,002 99,804 Ending fund balance $75,928 $98,002 $104,318 $125,561 82 Street Fund 2012 Goals: • Maintain minimum levels of service • Aggressively pursue more project work to enhance revenue. • Take advantage of Carte' graph to better man- age assets and work orders. 83 Contingency v Special Revenue Fund Summary: The Contingency Reserve fund is a special balance of $1,000,000 and is working to re- revenue fund that was established to protect build that balance. Proceeds from all General the City's General Fund in the event of un- Fund real property shall be deposited into this foreseen and unfunded emergency require- fund. ments. This fund shall maintain a minimum Contingency Reserve Fund Actual Actual Budget Budget 2009 2010 2011 2012 Revenues Taxes Licenses & permits Intergovernmental Charges for services Fines & forfeits Other revenue Debt proceeds Total revenue Expe nditure s Personnel Supplies, services & taxes Capital expenditures Debt service Transfers Total expenditures $0 $0 $0 $0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 410,573 13,037 258,000 0 0 0 0 0 410,573 13,037 258,000 0 0 0 0 0 951,000 951,000 0 0 0 0 250,000 250,000 0 0 0 0 1,150,000 1,150,000 1 1 1 1 0 Revenues over(under) expenditures - 540,427 (236,963) (892,000) 0 Beginning fund balance 1,790,635 1250208 1,013,245 117,745 Ending fund balance $1,250,208 $1,013,245 $121,245 $117,745 84 Contingency Reserve 2012 Goals: • To begin to rebuild the Contingency Reserves back to the $1 million target. Long term goal is to achieve this target within 5 to 10 years. 85 Lodging Fund Special Revenue Fund Summary: The Lodging Tax Fund is a special revenue funds may be used for stadium facilities, con - fund that was established for the collection vention center facilities, performing arts fa- and expenditure of Lodging Taxes as pro- cilities, visual arts centers and the promotion vided under Chapter 67.28.180 RCW. These of tourism. Lodging Tax Fund Actual Actual Budget Budget 2009 2010 2011 2012 Revenues Taxes Licenses & permits Intergovernmental Charges for services Fines & forfeits Other revenue Debt proceeds Total revenue Expe nditure s Personnel Supplies, services & taxes Capital expenditures Debt service Transfers Total expenditures $362,410 $347,792 $380,000 $380,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 404 704 0 100 0 0 0 0 362,814 348,496 380,000 380,100 0 0 0 0 179,997 185,700 170,000 230,000 0 0 0 0 0 0 0 0 165,000 168200 155,000 155,000 344,997 353,900 325,000 385,000 Revenues over(under) expenditures 17,817 -5,404 55,000 (4,900) Beginning fund balance 20,699 38,516 33,112 85212 Ending fund balance $38,516 $33,112 $88,112 $80,312 86 Lodging Tax Fund 2012 Goals: • Advisory committee will continue to review contracts and rate of return on allocations • Staff will compare application and process with other jurisdictions 87 Parking i Special Revenue Fund Summary: The Parking System Operating fund was es- tablished as a special revenue fund to account for the receipt of revenues and expenditures for all of the City's parking facilities and lots comprised of City 4th & Washington parking garage, Conference Center parking garage, Fifth & Park lot and the Craven lots, all me- tered on- street parking in the City, and all fees collected from parking violations. The funds are used to pay for the contract for parking enforcement services and maintenance, man- agement and security services for the City's parking garages and other related costs of op- erating the parking system. Expenditures Personnel Parking System Fund 0 0 0 Actual Actual Budget Budget 616,233 2009 2010 2011 2012 Revenues Debt service 0 164,358 10,250,000 Taxes $0 $0 $0 $0 Licenses & permits 0 0 0 0 Intergovernmental 0 0 0 0 Charges for services 500 360 300 500 Fines & forfeits 399,274 330,710 325,000 300,000 Other revenue 906,089 861,013 713,000 855,000 Debt proceeds 0 0 9,675,000 0 Total revenue 1,305,863 1,192,083 10,713,300 1,155,500 Expenditures Personnel 4,819 0 0 0 Supplies, services & taxes 541,551 575,146 575,888 616,233 Capital expenditures 0 0 0 0 Debt service 0 164,358 10,250,000 675,705 Transfers 462,485 375,000 175,000 0 Total expenditures 1,008,855 1,114,504 11,000,888 1,291,938 Revenues over(under) expenditures 297,008 77,579 (287,588) (136,438) Beginning fund balance 163 297,171 374,750 540,041 Ending fund balance $297,171 $374,750 $87,162 $403,603 88 Parking System 2012 Goals: • Review and analyze the parking program to identify appropriate rate levels and maximize revenue /resource collection. 89 Community v Special Revenue Fund Summary: The City receives three types of annual fund- ing from the US Department of Housing and Urban Development (HUD): Community Development Block Grant For community projects that primarily benefit low income people HOME Funds for affordable housing Shelter Plus Funds to serve homeless individuals suf- fering from substance abuse, mental ill- ness, or both. The City also maintains a portfolio of loans made to low income homeowners at subsi- dized interest rates. Expenditures Personnel Community Development Block Grant Fund 133,625 170,300 Actual Actual Budget Budget 2,149,225 2009 2010 2011 2012 FTE positions - - 1.00 1.00 Revenues 0 Transfers 39,561 0 Taxes $0 $0 $0 $0 Licenses & permits 0 0 0 0 Intergovernmental 633,253 972,567 2,520,326 2,488,311 Charges for services 92,138 52,352 20,000 30,000 Fines & forfeits 0 0 0 0 Other revenue 50,718 9,344 11,100 9,326 Debt proceeds 0 0 0 0 Total revenue 776,109 1,034,263 2,551,426 2,527,637 Expenditures Personnel 169,494 133,625 170,300 199,200 Supplies, services & taxes 504,299 974,077 2,149,225 2,400,775 Capital expenditures 0 0 0 0 Debt service 0 0 0 0 Transfers 39,561 0 172,000 0 Total expenditures 713,354 1,107,702 2,491,525 2,599,975 Revenues over(under) expenditures 62,755 - 73,439 59,901 (72,338) Beginning fund balance 440,400 503,155 429,716 390,453 Ending fund balance $503,155 $429,716 $489,617 $318,115 90 Community Development Block Grant 2012 Goals: • Block Grant will continue to refine and im- prove its new Coordinated Grant Applica- tion Block Grant will continue to seek opportu- nities to streamline processes and create efficiencies through collaboration with Kit- sap County Block Grant, and by seeking other opportunities for staffing assistance, such as interns and AmeriCorps. City and County Block Grant will collabo- rate on developing "Housing Rehab Stan- dards" for our HOME program funding. City and County Block Grant will collabo- rate on updating its "Analysis of Impedi- ments to Fair Housing." 91 Abatement vvi Special Revenue Fund Summary: This fund was established as a source of fund- ing for carrying out repair, demolition or re- moval of conditions which are subject to abatement under the City's building, fire, zon- ing, and nuisance ordinances. Sources of funds include all collections under abatement proceedings, fines and penalties levied by the City's administrative hearing examiner, inter- est earnings, and periodic transfers from the General Fund. Abatement Revolving Fund Actual Actual Budget Budget 2009 2010 2011 2012 Revenues Taxes $0 $0 $0 $0 Licenses & permits 0 0 0 0 Intergovernmental 0 0 0 0 Charges for services 17,128 8,037 4,000 5,500 Fines & forfeits 0 0 0 0 Other revenue 2,619 3,047 2,000 1,000 Debt proceeds 0 0 0 0 Total revenue 19,747 11,084 6,000 6,500 Expe nditure s Personnel 0 0 0 0 Supplies, services & taxes 4,245 1,588 41,000 42,000 Capital expenditures 0 0 0 0 Debt service 0 0 0 0 Transfers 0 15,000 65,000 0 Total expenditures 4,245 16,588 106,000 42,000 Revenues over(under) expenditures 15,502 -5,504 (100,000) (35,500) Beginning fund balance 222,373 237,875 232,371 212,871 Ending fund balance $237,875 $232,371 $132,371 $177,371 92 Abatement Revolving 2012 Goals: • Continue to support the neighborhood cleanup program with the existing Abate- ment fund balance. 93 Expe nditure s Personnel Police Special Projects Fund 0 0 0 Actual Actual Budget Budget 359,700 2009 2010 2011 2012 Revenues Debt service 0 0 0 Taxes $0 $0 $0 $0 Licenses & permits 0 0 0 0 Intergovernmental 147,484 87,460 0 0 Charges for services 0 0 0 0 Fines & forfeits 44,484 32,946 38,000 31,000 Other revenue 150,184 71,948 76,000 75,000 Debt proceeds 0 0 0 0 Total revenue 342,152 192,354 114,000 106,000 Expe nditure s Personnel 147,679 0 0 0 Supplies, services & taxes 113,991 416,621 259,700 359,700 Capital expenditures 0 0 0 50,000 Debt service 0 0 0 0 Transfers 16,100 0 0 0 Total expenditures 277,770 416,621 259,700 409,700 Revenues over(under) expenditures 64,382 - 224267 (145,700) (303,700) Beginning fund balance 1,094,143 1,158,525 934258 863,205 Ending fund balance $1,158,525 $934,258 $788,558 $559,505 94 Police Special Projects 2012 Goals: • Fund undercover programs and drug opera- tions. 95 Kitsap Bremerton Access Television Special Revenue Fund Summary: BKAT is a Public, Education and Govern- vides PEG programming on the cable system meat (PEG) channel provided to the citizens in the City of Bremerton and Kitsap County. of Kitsap County through franchise agree- Additionally, BKAT provides training to the ments with local cable providers. BKAT pro- public in television production. Bremerton Kitsap Access Television Actual Actual Budget Budget 2009 2010 2011 2012 FTE positions 1.00 1.00 1.00 1.00 Revenues Taxes $919 $177 $0 $0 Licenses & permits 242,441 261,770 265,000 240,000 Intergovernmental 0 47,807 25,000 17,000 Charges for services 88,672 71,660 74,570 78,040 Fines & forfeits 0 0 0 0 Other revenue 816 1,515 11,600 1,600 Debt proceeds 0 0 0 0 Total revenue 332,848 382,929 376,170 336,640 Expe nditure s Personnel 206,245 201,040 229,100 239,700 Supplies, services & taxes 40,847 46,343 61,350 37,154 Capital expenditures 64,758 0 50,000 35,000 Debt service 0 0 0 0 Transfers 25,000 25,000 25,900 25,000 Total expenditures 336,850 272,383 366,350 336,854 Revenues over(under) expenditures (4,002) 110,546 9,820 (214) Beginning fund balance 42,831 38,829 149,375 190,695 Ending fund balance $38,829 $149,375 $159,195 $190,481 96 B/e/Der/00 Kitsap Access Television 2012 Goals: • Work with our Mayor Lent and Department Heads to use BKAT as their communication tool • Upgrade equipment iorBKATIrodoudooa • Seek additional funding sources for BKATio the form of sponsorships ooduooboc1v/ork • Work with the City of Bremerton oothe Coruuoa1 Franchise Agreement hucompletion 2012. w Investigate and institute "streaming" Bremer- ton and Poulsbo City Council Meetings and Kiaop County Commissioner Meetings • Install o generator outside the BKATfacility for use during emergency hu keep BKAToo the air. The Kitsap Co Department of Emer- gency Management is the lead on this project 97 Gift and Donation Special Revenue Fund Summary: This fund was established as an expendable This fund shall receive donations, memorials, trust fund for the purpose of accepting gifts bequests and other contributions made to the and donations on behalf of all departments of City by citizens and organizations. the City as authorized by RCW 35.21.100. 98 Gift & Donations Fund Actual Actual Budget Budget 2009 2010 2011 2012 Revenues Taxes $0 $0 $0 $0 Licenses & permits 0 0 0 0 Intergovernmental 0 0 0 0 Charges for services 0 0 0 1,000 Fines & forfeits 0 0 0 0 Other revenue 13,923 15,240 23,400 16,360 Debt proceeds 0 0 0 0 Total revenue 13,923 15,240 23,400 17,360 Expe nditure s Personnel 0 0 0 0 Supplies, services & taxes 15,166 12,412 28,400 29,600 Capital expenditures 0 0 0 0 Debt service 0 0 0 0 Transfers 0 0 12,000 5,000 Total expenditures 15,166 12,412 40,400 34,600 Revenues over(under) expenditures -1,243 2,828 (17,000) (17,240) Beginning fund balance 77,527 76284 79,112 65,610 Ending fund balance $76,284 $79,112 $62,112 $48,370 98 Trial rove Fund Special Revenue Fund Summary: The Trial Improvement Fund is dedicated solely to fund improvements to the municipal court's staffing, programs, facilities, or ser- vices. Municipalities with an elected judge who is compensated at a rate equivalent to at least ninety -five percent, but not more than one hundred percent, of a district court judge re- ceive an apportionment from the State Ad- ministrator for the Courts for court improve- ments. Trial Improve me nt Fund Actual Actual Budget Budget 2009 2010 2011 2012 Revenues Taxes $0 $0 $0 $0 Licenses & permits 0 0 0 0 Intergovernmental 17,667 28,507 22,000 22,000 Charges for services 0 0 0 0 Fines & forfeits 0 0 0 0 Other revenue 498 1,021 0 0 Debt proceeds 0 0 0 0 Total revenue 18,165 29,528 22,000 22,000 Expe nditure s Personnel 0 0 0 0 Supplies, services & taxes 0 58,780 15,000 15,000 Capital expenditures 0 0 0 0 Debt service 0 0 0 0 Transfers 0 0 0 0 Total expenditures 0 58,780 15,000 15,000 Revenues over(under) expenditures 18,165 - 29252 7,000 7,000 Beginning fund balance 42,589 60,754 31,502 38,643 Ending fund balance $60,754 $31,502 $38,502 $45,643 99 One Percent For Arts Fund Actual Actual Budget Budget 2009 2010 2011 2012 Revenues Taxes Licenses & permits Intergovernmental Charges for services Fines & forfeits Other revenue Debt proceeds Total revenue Expe nditure s Personnel Supplies, services & taxes Capital expenditures Debt service Transfers Total expenditures Revenues over(under) expenditures Beginning fund balance Ending fund balance $0 $0 $0 $0 0 0 0 0 0 0 0 0 243 1,248 500 0 0 0 0 0 34,879 5,130 66,500 440 0 0 0 0 35,122 6,378 67,000 440 0 0 0 0 8,491 25,831 10,000 500 22,964 0 0 10,000 0 0 0 0 0 0 0 0 31,455 25,831 10,000 10,500 3,667 - 19,453 57,000 (10,060) 74,279 77,946 58,493 53,433 $77,946 $58,493 $115,493 $43,373 100 One Percent For Arts 2012 Goals: • Install "Sunscoop" following the construction of new improvements to Pacific Avenue. • Install current collection of art banners on Callow Avenue. 101 Conference Center & Plaza Fund Actual Actual Budget Budget 2009 2010 2011 2012 Revenues Taxes Licenses & permits Intergovernmental Charges for services Fines & forfeits Other revenue Debt proceeds Total revenue Expe nditure s Personnel Supplies, services & taxes Capital expenditures Debt service Transfers Total expenditures $0 $0 $0 $0 0 0 0 0 0 0 0 0 1,429,636 1259,316 1,317,000 1,321,490 0 0 0 0 212,854 164,340 165,000 164,000 0 0 0 0 1,642,490 1,423,656 1,482,000 1,485,490 101,027 62,986 68,600 0 1,211,108 1,442,462 1,485,227 1,543,157 7,366 0 0 0 0 0 0 0 0 0 200 0 1,319,501 1,505,448 1,554,027 1,543,157 Revenues over(under) expenditures 322,989 - 81,792 (72,027) (57,667) Beginning fund balance 128,099 451,088 369,296 310,003 Ending fund balance $451,088 $369,296 $297,269 $252,336 102 Conference Center 2012 Goals: • Have the general manager become a board member on one of the local chamber of com- merce boards • Promote new referral incentive program after each event via hand written thank you cards • Attend six corporate/association networking events per month • Rebook 95 percent of 2011 recurring events • Continue to develop and promote military discounts and per them government rates • Actively participate in the Columbia Hospi- tality client referral program • Attend informational seminars geared toward selling to the Navy • Continue to work with the Hampton and Fairfield on proposals and pricing to compete with hotels that are able to accommodate meetings and overnight rooms under the same roof 103 104 Introduction Debt service funds are a category of funds intended to demonstrate the proper funding and repayment of general obligation and local improvement district debt obligations and the mandatory reserves associated with such debt. The 2012 budget includes three debt service funds. Bond Fund Established to account for the accumu- lated resources for the payment of princi- pal and interest for various general obli- gation and local improvement district (LID) bonds. 2010 LTGO The Park Plaza Debt Fund has been es- tablished to account for debt repayment associated with the issuance of bonds to fund construction of Park Plaza parking and related improvements. 2010 UTGO Refunding /LTGO (B) The 2010 UTGO Refunding /LTGO B fund has been established to account for the collection of tax payments and other revenues used for repayment of bonds issued. Bonds were issued in 2010 to re- fund a portion of the outstanding 2002 Public Safety bonds and complete financ- ing for Park Plaza parking. Revenue bonds and other loans secured by revenues pledges are included in the Enter- prise Funds that have undertaken those obli- gations. City of Bremerton Direct Debt Obligations (As of October 1, 2011) General Obligation Debt: Voted general obligation bonds outstanding 10,755,000 Non -voted general obligation bonds outstanding (councilmanic) 29,931,333 General obligation debt balance $40,686,333 Revenue Bonds and Loans: Revenue bonds 4,260,000 Loans 36,535,937 Capital leases - Revenue bonds and loans balance $40,795,937 Total Direct Debt Outstanding $81,482,270 105 0- ff LITMIT I I'M 13 Mi Debt management is an important component of the City's financial management practices. Generally, debt financing is reserved for fund- ing large capital projects. The public may vote to approve bond issues for general government in an amount not to exceed 2.5% of the assessed value of all tax- able property within the City. Within that 2.5% limit, the City Council may approve bond issues in an amount not to exceed 1.5% of the City's assessed valuation. Bremerton's remaining debt capacity within the 2.5% limit is estimated to be $23,372,989 The public may also vote to approve park fa- cilities and utility bond issues, each of which is also limited to 2.5% of the assessed valua- tion of taxable property within the City. Unlimited tax general obligation requires an approving vote of the people, and any election to validate such general obligation debt must have a voter turnout of at least 40 percent of those who voted in the last general election and at which 60 percent must vote favorably. The following Table outlines the City's statu- tory debt capacity as of October 1 2011. 106 1 • f i City of Bremerton Statutory Debt Limit Calculations (As of October 1, 2011) 2011 Valuation for Collection Year 2012 $ 2,546,414,166 General purposes a. Non -Voted indebtedness limit (1.5% of assessed valuation) $ 38,196,212 Less: Non-voted bonds outstanding (29,931,333) Plus: Assets available for debt service 1,536,042 Remaining capacity for general purpose (non-voted) $ 9,800,921 b. Voted indebtedness limit (2.5 % of assessed valuation) $ 63,660,354 Less: Voted bonds outstanding (10,755,000) Less: Non-voted bonds outstanding (29,931,333) Plus: Assets available for debt service 398,968 Remaining capacity for general purposes (Voted) $ 23,372,989 Utility purposes (2.5% of assessed valuation) $ 63,660,354 Limit Less: Bonds outstanding - Remaining capacity for utility purposes $ 63,660,354 Parks and open spaces and economic development purposes (2.5% of assessed valuation) 63,660,354 Limit Less: Bonds outstanding - Remaining capacity for parks and open space purposes $ 63,660,354 Revenue bonds may be issued to finance pro- jects for any City enterprise that is self - supporting. These bonds may finance water, wastewater, storinwater, and golf courses. Payment for debt service on revenue bonds comes from user fees and rates generated by the utility for which the capital facility is be- ing built. 107 �� -. i .� Total Debt Service Funds Actual Actual Budget Budet 2009 2010 2011 2012 Revenue Taxes Licenses & permits Intergovernmental Charges for services Fines & forfeits Other revenue Debt Proceeds Total Revenue Expenditures Personnel Supplies, services & taxes Capital expenditures Debt service Transfers Total Expenditures $865,449 $1,039,452 $1,136,700 $1,098,200 0 0 0 0 0 0 196,000 158,945 0 0 0 0 0 0 0 0 365,027 10,556,424 421,500 351,425 0 0 0 0 1,230,476 11,595,876 1,754,200 1,608,570 0 0 0 0 0 0 0 0 0 0 0 0 1,557,955 11,424,931 1,841,050 1,790,905 0 0 0 0 1,557,955 11,424,931 1,841,050 1,790,905 Revenue over(under) expenditures - 327,479 170,945 - 86,850 - 182,335 Beginning fiend balance 590,313 262,834 433,779 385,700 Ending fund balance $262,834 $287,119 $346,929 $203,365 Fund totals - Expenditures only Bond Fund 1,557,955 1,148,171 719,700 718,250 2010 LTGO Fund 0 0 588,950 551,880 2010 UTGO/LTGO (B) Fund 0 10,276,760 532,400 520,775 Total Debt Service Funds $1,557,955 $11,424,931 $1,841,050 $1,790,905 108 Bond. Fund. Debt Service Fund Summary: The Bond Fund was established as a debt ser- vice fund to account for the accumulation of resources for the payment of principal and interest for various general obligation and lo- cal improvement district (LID) bonds used to fund capital improvement projects and capital equipment acquisition. Bond Fund Actual Actual Budget Budget 2009 2010 2011 2012 Revenue Taxes Licenses & permits Intergovernmental Charges for services Fines & forfeits Other revenue Debt Proceeds Total Revenue Expenditures Personnel Supplies, services & taxes Capital expenditures Debt service Transfers Total Expenditures Revenue over(under) expenditures Beginning Rind balance Ending fund balance $865,449 $893,194 $357,400 $355,400 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 365,027 278,749 229,000 227,500 0 0 0 0 1,230,476 1,171,943 586,400 582,900 0 0 0 0 0 0 0 0 0 0 0 0 1,557,955 1,148,171 719,700 718,250 0 0 0 0 1,557,955 1,148,171 719,700 718,250 (327,479) 23,772 (133,300) (135,350) 590,313 262,834 286,606 152,235 $262,834 $286,606 $153,306 $16,885 109 2010 LTGO Fund. Debt Service Fund The Park Plaza Debt Fund has been estab- lished to account for debt repayment associ- ated with the issuance of bonds to fund con- struction of Park Plaza parking and related improvements. 2010 LTGO Fund Actual Actual Budget Budget 2009 2010 2011 2012 Revenue Taxes Licenses & permits Intergovernmental Charges for services Fines & forfeits Other revenue Debt Proceeds Total Revenue Expenditures Personnel Supplies, services & taxes Capital expenditures Debt service Transfers Total Expenditures $0 $146,258 $332,000 $330,000 0 0 0 0 0 0 155,000 121,270 0 0 0 0 0 0 0 0 0 402 120,000 50,775 0 0 0 0 0 146,660 607,000 502,045 0 0 0 0 0 0 0 0 0 0 0 0 0 0 588,950 551,880 0 0 0 0 0 0 599.950 551.990 110 Revenue over(under) expenditures 0 146,660 18,050 (49,835) Beginning fund balance 0 0 146,660 204,244 Ending fund balance $0 $0 $164,710 $154,409 2010 UTGO Refunding /LTGO (B) Debt Service Fund The 2010 UTGO Refunding /LTGO B fund has sued in 2010 to refund a portion of the out - been established to account for the collection standing 2002 Public Safety bonds and com- of tax payments and other revenues used for plete financing for Park Plaza parking. repayment of bonds issued. Bonds were is- 2010 UTGO/LTGO (B) Actual Actual Budget Budget 2009 2010 2011 2012 Revenue Taxes Licenses & permits Intergovernmental Charges for services Fines & forfeits Other revenue Debt Proceeds Total Revenue Expenditures Personnel Supplies, services & taxes Capital expenditures Debt service Transfers Total Expenditures $0 $0 $447,300 $412,800 0 0 0 0 0 0 41,000 37,675 0 0 0 0 0 0 0 0 0 10,277,273 72,500 73,150 0 0 0 0 0 10,277,273 560,800 523,625 0 0 0 0 0 0 0 0 0 0 0 0 0 10,276,760 532,400 520,775 0 0 0 0 0 10,276,760 532,400 520,775 Revenue over(under) expenditures 0 513 28,400 2,850 Beginning fund balance 0 0 513 29,221 Ending fund balance $0 $513 $28,913 $32,071 111 112 1 Improvement Funds Overview Introduction Capital Improvement funds account for the acquisition and /or construction of major capi- tal projects by the City with the exception of capital projects undertaken by the City's en- terprise funds, which are included within those funds. The 2012 budget includes six capital improvement funds. Park Plaza Construction A capital improvement fund established to account for and fund the administra- tion, planning, design, and construction of the parking facility. Park Plaza Phase II A capital improvement fund established to account for and fund the administra- tion, planning, design, and construction of the related improvements surrounding the parking facility. Park Facilities Construction This capital fund accounts for expendi- tures related to Parks capital improve- ment projects. Funding for these projects largely come from a combination of grant funds, proceeds from the sale of park fa- cilities as transferred from the Contin- gency Reserve Fund, and transfers of REST funds for eligible projects from the General Government Capital Improve- ment Fund. Evergreen Park Remediation This fund was established to account for Evergreen Park expansion and remedia- tion project. Funding for this project is provided by a combination of state and federal grant funds and proceeds from the sale of land as transferred from the Con- tingency Reserve Fund. General Government Capital Improvement This fund accounts for expenditures re- lated to various general government capi- tal improvement projects. The primary source of revenues for this fund is the Real Estate Excise Tax (REST) receipts. The REST is levied on all sales of real estate. The City is authorized, by State law, to levy a quarter percent tax (described as "REST 1st Quarter "). Cit- ies planning under the Growth Manage- ment Act (GMA) have the authority to levy a second quarter percent tax ( "REET 2nd Quarter "). Bremerton has imposed both. Lower Wheaton Way A capital improvement fund established to account for and fund the administra- tion, planning, design, and construction of Wheaton Way from the Manette Bridge to Lebo Blvd. This project will rehabilitate the street incorporating sus- tainable and low impact development. 113 Capital Improvement Funds Actual Actual Budget Budget 2009 2010 2011 2012 HE positions - - - - Revenue Taxes $570,619 $412,517 $400,000 $380,000 Licenses & permits 0 0 0 0 Intergovernmental 1,272,804 1,478,537 5,361,834 4,540,254 Charges for services 0 0 170,000 170,000 Fines & forfeits 0 0 0 0 Other revenue 789,452 7,878,719 3,000,684 437,630 Debt proceeds 0 0 0 0 Total revenue 2,632,875 9,769,773 8,932,518 5,527,884 Expenditures Personnel 818 359 0 0 Supplies, services & taxes 53,600 64,381 0 5,700 Capital expenditures 1,596,069 1,931,917 12,215,735 7,226,037 Debt service 13,160 10,969 6,600 0 Transfers 586,000 2,889,620 1,102,500 332,500 Total expenditures 2,249,647 4,897,246 13,324,835 7,564,237 Revenues over(under) expenditures 383,228 4,872,527 - 4,392,317 - 2,036,353 Beginning fund balance 417,516 800,744 5,673,271 2,748,197 Ending Fund Balance $800,744 $5,673,271 $1,280,954 $711,844 Fund Totals - Expenditures only Park Plaza Construction Fund 0 2,763,382 4,550,600 109,600 Park Plaza. Phase H 0 0 5,200,000 4,089,802 General Government Capital 584,833 211,258 402,500 332,500 Park Facilities Construction 398,104 1,596,412 1,036,600 1,339,700 Evergreen Remediation 1,266,710 326,194 425,000 82,500 Lower Wheaton Way 0 0 1,710,135 1,610,135 Total Capital Projects Funds $2,249,647 $4,897,246 $13,324,835 $7,564,237 114 Park Plaza i Fund Capital Improvement Fund Summary: This capital improvement fund established to ping, design, and construction of the parking account for and fund the administration, plan- facility. Park Plaza Construction Fund Actual Actual Budget Budget 2009 2010 2011 2012 FTE positions Revenue Taxes Licenses & permits Intergovernmental Charges for services Fines & forfeits Other revenue Debt proceeds Total revenue Expenditures Personnel Supplies, services & taxes Capital expenditures Debt service Transfers Total Expenditures Revenues over(under) expenditures Beginning fund balance Ending fund balance 0.00 1.00 0.00 0.00 $0 $0 $0 $0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 7,289,092 25,000 0 0 0 0 0 0 7,289,092 25,000 0 0 0 0 0 0 0 0 0 0 83,762 3,850,600 109,600 0 0 0 0 0 2,679,620 700,000 0 0 2,763,382 4,550,600 109,600 0 4,525,710 - 4,525,600 - 109,600 0 0 4,525,710 110,319 $0 $4,525,710 $110 $719 115 Park Plaza Capital Improvement Fund Summary: This capital improvement fund established to town improvements related to the parking fa- account for and fund the administration, plan- cility. ning, design, and construction of the down - Park Plaza Phase II Actual Actual Budget Budget 2009 2010 2011 2012 FTE positions Revenue Taxes Licenses & permits Intergovernmental Charges for services Fines & forfeits Other revenue Debt proceeds Total revenue Expenditures Personnel Supplies, services & taxes Capital expenditures Debt service Transfers Total Expenditures Revenues over(mnder) expenditures Beginning fund balance Ending fund balance $0 $0 $0 $0 0 0 0 0 0 0 2,600,000 2,366,420 0 0 170,000 170,000 0 0 0 0 0 0 2,430,133 211,330 0 0 0 0 0 0 5,200,133 2,747,750 0 0 0 0 0 0 0 0 0 0 5,200,000 4,089,802 0 0 0 0 0 0 0 0 0 0 5,200,000 4,089,802 0 0 133 - 1,342,052 0 0 0 1,342,052 $0 $0 $133 $0 116 Park 2012 Goals: • Create additional public, pedestrian oriented livable, walkabl ` boohhv ` omdaoabdoobl ar- eas on Fourth Street and Park Avenue. • Facilitate the development and sale of addi- tional retail and housing pads to foster contin- ued economic development for the Park Plaza. • Facilitate the uonzplodoo of the uiooruouoo- aboudoo. 117 General Government i Improvement Capital Improvement Fund Summary: This fund accounts for expenditures related to various General Government capital improve- ment projects, major leases and purchases and special projects approved by the City Council. Excise taxes from real estate sales are re- ceipted into this fund for the purpose of fund- ing certain capital improvement projects as permitted by state law. 2012 funding supports debt service on the Government Center and 2010 LTGO financ- ing. Expenditures Personnel General Government Capital Improvement 0 0 Actual Actual Budget Budget 0 2009 2010 2011 2012 FTE positions - - - - Revenue 0 Transfers 578,000 210,000 Taxes $570,619 $412,517 $400,000 $380,000 Licenses & permits 0 0 0 0 Intergovernmental 7,031 0 0 0 Charges for services 0 0 0 0 Fines & forfeits 0 0 0 0 Other revenue 352 1,340 1,000 800 Debt proceeds 0 0 0 0 Total revenue 578,002 413,857 401,000 380,800 Expenditures Personnel 818 0 0 0 Supplies, services & taxes 6,015 0 0 0 Capital expenditures 0 0 0 0 Debt service 0 1,258 0 0 Transfers 578,000 210,000 402,500 332,500 Total Expenditures 584,833 211,258 402,500 332,500 Revenues over(under) expenditures -6,831 202,599 -1,500 48,300 Beginning fund balance 31,072 24,241 226,840 185,141 Ending fund balance $24,241 $226,840 $225,340 $233,441 118 Park Facilities Construction Capital Improvement Fund Summary: This capital improvement fund is established to account for revenue and expenditures re- lated to Parks, Trails, Open Space and Rec- reational capital improvements. Bremerton Parks and Recreation is committed to enrich- ing the lives of Bremerton citizens by provid- ing attractive, accessible recreational facili- ties. Park Facilities Construction Actual Actual Budget Budget 2009 2010 2011 2012 FTE positions Revenue Taxes Licenses & permits Intergovernmental Charges for services Fines & forfeits Other revenue Debt proceeds Total revenue Expenditures Personnel Supplies, services & taxes Capital expenditures Debt service Transfers Total expenditures Revenues over(under) expenditures Beginning fund balance Ending fund balance $0 $0 $0 $0 0 0 0 0 298,586 1,228,346 1,070,000 745,000 0 0 0 0 0 0 0 0 441,073 587,428 201,500 225,000 0 0 0 0 739,659 1,815,774 1,271,500 970,000 0 0 0 0 47,585 0 0 5,700 329,359 1,586,701 1,030,000 1,334,000 13,160 9,711 6,600 0 8,000 0 0 0 398,104 1,596,412 1,036,600 1,339,700 341,555 219,362 234,900 - 369,700 196,946 538,501 757,863 719,308 $538,501 $757,863 $992,763 $349,608 119 Park Facilities Construction 2012 Goals: • Work with community groups to improve Pendergast Park soccer field surface • Begin scoping for Long Range Park Plan Up- date • If funding becomes available, design Ever- green Park Accessible Playground 120 Evergreen ii Capital Improvement Fund Summary: Evergreen Park Remediation accounts for en- vironmental clean -up efforts located on the former Chevron property adjacent to Ever- green Park. Chemical reaction of the reme- diation effort continues and requires ongoing monitoring for several years. In 2011, the Bremerton City Council voted to support the 9 -11 Memorial Committee in using the site for the 9 -11 Memorial currently in the plan- ning and design stage. Evergreen Park Remediation Actual Actual Budget Budget 2009 2010 2011 2012 FTE positions Revenue Taxes Licenses & permits Intergovernmental Charges for services Fines & forfeits Other revenue Debt proceeds Total revenue Expenditures Personnel Supplies, services & taxes Capital expenditures Debt service Transfers Total expenditures Revenues over(under) expenditures Beginning fund balance Ending fund balance $0 $0 $0 $0 0 0 0 0 967,187 250,191 323,750 60,750 0 0 0 0 0 0 0 0 348,027 859 1,000 500 0 0 0 0 1,315,214 251,050 324,750 61,250 0 359 0 0 0 64,381 0 0 1,266,710 261,454 425,000 82,500 0 0 0 0 A n n n 1,Loo,71U JL0,1V4 48,504 189,498 - 75,144 238,002 $238,002 $162,858 4L',000 5L,'U0 - 100,250 - 21,250 162,858 149,301 $62,608 $128,051 121 Evergreen Park Remediation 2012 Goals: • Continue groundwater monitoring and com- plete negotiations on the long -term monitor- ing plan • Continue coordination with the 9 -11 Memo- rial Committee 122 Lower Wheaton Way Capital Improvement Fund Summary: Lower Wheaton Way accounts for the recon- struction of this arterial street originally de- signed as a state highway. Low impact de- velopment techniques and sustainable infra- structure will be incorporated in enhancing non - motorized transportation as new side- walks, curb, gutter and pavement are con- structed. Lower Wheaton Way is a part of the Bridge -to -Bridge walking trail and the project as a whole is part of Bremerton's Redevelop- ment Plan. Lower Wheaton Way Actual Actual Budget Budget 2009 2010 2011 2012 FTE positions Revenue Taxes Licenses & permits Intergovernmental Charges for services Fines & forfeits Other revenue Debt proceeds Total revenue Expenditures Personnel Supplies, services & taxes Capital expenditures Debt service Transfers Total Expenditures $0 $0 $0 $0 0 0 0 0 0 0 1,368,084 1,368,084 0 0 0 0 0 0 0 0 0 0 342,051 0 0 0 0 0 0 0 1,710,135 1,368,084 0 0 0 0 0 0 0 0 0 0 1,710,135 1,610,135 0 0 0 0 n n n n U v Revenues over(under) expenditures 0 0 Beginning fund balance 0 0 Ending fund balance $0 $0 123 1, i lv,l .IZ5 l,0 lv,l .IZ5 0 - 242,051 0 242,076 en eI7c Lower Wheaton Way 2012 Goals: • Complete project construction 124 MM Introduction Enterprise funds account for certain fee -based or rate -based business activities. The City has eight enterprise funds. Water Utility The Water Utility accounts for the opera- tion and maintenance of the City's water supply and distribution system meeting state and federal water quantity and qual- ity standards and provides for fire protec- tion. Water Capital The Water Capital accounts for the capi- tal improvement of the City's water dis- tribution system. Gold Mountain Golf Complex This fund was established to provide for the two golf courses owned, operated and maintained by the City at its Gold Moun- tain Golf complex. Wastewater Capital The Wastewater Capital provides for capital improvement of the wastewater collection system and treatment plants. Stormwater Utility The Stormwater utility provides a city- wide storm drainage maintenance pro- gram. Gorst Creek Watershed This fund was established to provide for the development of a comprehensive plan for the Gorst Creek Watershed. Stormwater Capital The Stormwater utility provides a city- wide storm drainage capital improvement program. Wastewater Utility The City's two wastewater treatment plants and its wastewater collection sys- tem protect the environment by providing for collection, treatment, and disposal services meeting federal and state dis- charge limits for flow, pollutant concen- tration and loading, and receiving water quality. 125 Enterprise Funds Overview J MM Public Works & Utilities Employees Division Street Department PW &U Administration Water Resources Wastewater Utilities Operations & Facilities Forestry Total PW &U Operations Actual Actual Actual Budget Budget 2008 2009 2010 2011 2012 1.00 1.00 1.00 1.00 11.00 1.00 1.00 1.00 0.00 12.00 2.50 2.75 2.75 3.00 11.00 1.00 1.00 1.00 1.00 17.00 1.00 1.00 1.00 1.00 30.00 2.00 2.00 2.00 2.00 4.00 8.50 8.75 8.75 8.00 85.00 126 Enterprise Funds Overview Enterprise Funds Actual Actual Budget Budget 2009 2010 2011 2012 Revenue Taxes $14,678 $6,486 $12,000 $0 Licenses & permits 0 52 0 0 Intergovernmental 34,341 6,078,590 789,477 303,406 Charges for services 27,556,852 25,907,723 27,255,000 27,435,412 Fines & forfeits 0 0 0 0 Other revenue 2,186,669 1,829,742 3,199,956 7,929,382 Debt proceeds 7,288,293 6,330,125 920,000 0 Total revenue 37,080,833 40,152,718 32,176,433 35,668,200 Expenditures Personnel 7,674,109 7,733,085 8,447,816 7,270,660 Supplies, services & taxes 9,604,511 8,297,636 10,366,482 10,730,416 Capital expenditures 9,493,741 11,195,731 7,482,664 7,956,000 Debt service 9,511,736 3,980,566 3,979,000 3,847,323 Transfers 3,598,129 3,710,765 4,180,612 10,723,013 Total expenditures 39,882,226 34,917,783 34,456,574 40,527,412 Revenue over(under) expenditures - 2,801,393 5,234,935 - 2,280,141 - 4,859,212 Beginning fund balance 13,807,191 11,005,798 15,859,246 17,665,380 Ending fund balance 511,005,798 516,240,733 513,579,105 512,806,168 Fund totals - Expenditures only Water Utility 12,734,361 12,113,473 12,834,684 10,212,332 Water Capital 0 0 0 1,677,500 Gold Mountain Golf Course 8,440,464 2,191,238 2,329,003 2,167,959 Wastewater Utility 16,903,154 18,562,836 14,243,901 16,715,712 Wastewater Capital 0 0 0 4,865,000 Stormwater Utility 1,804,247 2,050,236 4,169,217 3,122,930 Gorst Creek Watershed 0 0 879,769 344,979 Stormwater Capital 0 0 0 1,421,000 Total Enterprise Funds 539,882,226 534,917,783 534,456,574 540,527,412 127 Water Utility Enterprise Fund Summary: The City's Water Utility provides safe drink- ing water to a population of approximately 56,000 people and the Puget Sound Naval Shipyard. The Utility provides all activities associated with the operation and mainte- nance of the water system, which includes managing water supplies and treatment, meter reading and billing, processing utility service requests, development reviewing, permitting, responding to repairs and emergency break- downs, inspecting facilities, monitoring, pro- viding public outreach and conservation, maintenance management, managing the wa- tershed and forestry activities, biosolids pro- gram operations and management, and pro- viding other labor, material, equipment, and overhead costs. Revenue over(under) expenditures Water Utility 45,562 - 1,722,684 - 801,750 Actual Actual Budget Budget 5,303,223 2009 2010 2011 2012 Revenue Taxes $0 $0 $0 $0 Licenses & permits 0 0 0 0 Intergovernmental 210 18,560 50,000 0 Charges for services 8,879,694 8,640,615 9,286,000 9,073,900 Fines & forfeits 0 0 0 0 Other revenue 863,539 1,043,123 876,000 336,682 Debt proceeds 546,499 2,456,737 900,000 0 Total revenue 10,289,942 12,159,035 11,112,000 9,410,582 Expenditures Personnel 3,710,570 3,505,419 4,002,776 3,762,140 Supplies, services & taxes 3,489,396 2,899,208 3,549,958 3,499,580 Capital expenditures 3,417,495 3,697,769 3,145,000 0 Debt service 1,112,440 743,402 736,400 723,062 Transfers 1,004,460 1,267,675 1,400,550 2,227,550 Total expenditures 12,734,361 12,113,473 12,834,684 10,212,332 Revenue over(under) expenditures - 2,444,419 45,562 - 1,722,684 - 801,750 Beginning fund balance 7,031,914 4,587,495 4,330,437 5,303,223 Ending fund balance $4,587,495 $4,633,057 $2,607,753 $4,501,473 128 Water Utility Water Resources 2012 Goals: • Maintain compliance with all state and federal drinking water treatment, monitoring, and re- porting requirements. • Begin compliance with UV treatment for cryptosporidium by October 2012. • Complete update of the Water System Plan. • Work toward move of Water Resources Divi- sion to Oyster Bay Complex. • Begin compliance monitoring for Stage 2 Dis- infection By-product Rule. • Construct Well 18/20 generator storage garage. • Place Well 22 on line. • Complete document control filing begun in 2011. • Continue to collaborate with other agencies on public outreach activities. • Decertify from federal RMP program now that ton Cl gas is no longer used. • Assist Engineering with water capital projects. 129 Water Utility Utility Operations 2012 Goals: • Continue the large meter change out program • Continue to expand cartegraph software ap- plication to the water distribution system • Continue with GPS of water system • Zero lost-time accidents 130 Water Utility Forestry 2012 Goals: • Generate $500K from sustainable timber har- vest program • Reforest 100+ acres of newly harvested land • Continue forest road maintenance and im- provement per DNR schedule • Continue program for 100% beneficial utiliza- tion of biosolids on permitted forest lands • Implement permitting and development of ad- ditional biosolids application areas as needed 131 Capital Water Enterprise Fund Summary: The Water Capital fund provides for the re- planning, engineering, labor, material, equip - placement and construction to improve the ment, and overhead costs related to construc- City's water distribution system. Previously, tion. capital improvement was accounted for in the Water Utility fund. The fund provides for the Water Capital Actual Actual Budget Budget 2009 2010 2011 2012 Revenue Taxes Licenses & permits Intergovernmental Charges for services Fines & forfeits Other revenue Debt proceeds Total revenue Expenditures Personnel Supplies, services & taxes Capital expenditures Debt service Transfers Total expenditures Revenue over(under) expenditures Beginning fund balance Ending fund balance $0 $0 $0 $0 0 0 0 0 0 0 0 0 0 0 0 500,000 0 0 0 0 0 0 0 1,177,500 0 0 0 0 0 0 0 0 $0 132 0 0 0 0 0 0 0 0 1,600,000 0 0 0 0 0 77,500 0 0 1,677,500 0 0 0 Water Capital 2012 Goals: • Complete all projects identified in the budget highlights 133 Gold tai Enterprise Fund Summary: 206,324 192,187 - 118,003 - 128,959 The Gold Mountain Golf Complex is a full wide natural grass practice tee /driving range, service facility with two 18 hole champion- a private covered teaching studio, pro shop, ship courses (the Cascade Course and the and restaurant and banquet facilities to ac- Olympic Course), four practice putting commodate nearly 400 people. greens, two bunker practice areas, a 100 yard Gold Mountain Golf Course Actual Actual Budget Budget 2009 2010 2011 2012 Revenue Taxes $0 $0 $0 $0 Licenses & permits 0 0 0 0 Intergovernmental 0 0 0 0 Charges for services 3,194,181 2,116,740 2,122,000 1,950,000 Fines & forfeits 0 0 0 0 Other revenue 79,607 83,007 89,000 89,000 Debt proceeds 5,373,000 183,678 0 0 Total revenue 8,646,788 2,383,425 2,211,000 2,039,000 Expe nditure s Personnel 40,068 0 0 0 Supplies, services & taxes 2,807,654 1,898,230 1,765,903 1,812254 Capital expenditures 6,659 0 300,000 70,000 Debt service 5,586,083 293,008 263,100 285,705 Transfers 0 0 0 0 Total expenditures 8,440,464 2,191,238 2,329,003 2,167,959 Revenue over(under) expenditures 206,324 192,187 - 118,003 - 128,959 Beginning fund balance - 27,182 179,142 371,329 353297 Ending fund balance $179,142 $371,329 $253,326 $224,338 134 Gold Mountain Golf Complex 2012 Goals: • Maintain Quality of Course Play to the high- est extent feasible • Center marketing efforts upon the goodwill and publicity obtained through the success of the 2011 U.S. Junior Amateur Tournament • Expand internet based marketing and cus- tomer retention capabilities of the new Point - of -Sale system to increase rounds played 135 Wastewater Utility Enterprise Fund Summary: The Bremerton Wastewater Utility serves a population of approximately 39,000 people and the Puget Sound Naval Shipyard. The Utility provides all activities associated with the operation and maintenance of the waste- water system, which includes management, billing, meter reading, processing utility ser- vice requests, development reviews, facilities inspections, responding to repairs and emer- gency breakdowns, permit fees, supplies and testing, maintenance management and all other labor, material, equipment and overhead costs associated with the operation and main- tenance of this system. Expenditures Personnel Wastewater Utility 3,188,093 3,189,450 2,651,990 Actual Actual Budget Budget 4,060,116 2009 2010 2011 2012 Revenue Debt service 2,797,234 2,928,570 2,964,000 Taxes $14,678 $6,486 $12,000 $0 Licenses & permits 0 52 0 0 Intergovernmental 0 6,012,218 0 0 Charges for services 13,367,471 13,031,903 13,744,000 13,609,512 Fines & forfeits 0 0 0 0 Other revenue 1,201,667 600,922 435,000 27,500 Debt proceeds 1,368,794 3,689,710 20,000 0 Total revenue 15,952,610 23,341,291 14,211,000 13,637,012 Expenditures Personnel 2,945,721 3,188,093 3,189,450 2,651,990 Supplies, services & taxes 2,944,890 2,975,967 3,606,901 4,060,116 Capital expenditures 6,058,556 7,454,887 2,330,000 0 Debt service 2,797,234 2,928,570 2,964,000 2,823,563 Transfers 2,156,753 2,015,319 2,153,550 7,180,043 Total expenditures 16,903,154 18,562,836 14,243,901 16,715,712 Revenue over(under) expenditures - 950,544 4,778,455 - 32,901 - 3,078,700 Beginning fund balance 4,861,544 3,911,000 8,561,238 9,294,397 Ending fund balance $3,911,000 $8,689,455 $8,528,337 $6,215,697 136 Wastewater Division 2012 Goals: • Repair and replace critical components at the Westside WWTP and 39 sewage pump stations • Operate & maintain the West & East Treat- ment Plants & 39 sewage pump stations and over 50 private grinder pump stations (Gorst and elsewhere throughout the collection sys- tem) within budget requirements • Continue to upgrade our public outreach ef- forts • NPDES permit renewal negotiations and ap- proval from the Department of Ecology • Update WW Comprehensive Plan in conjunc- tion with the Engineering Division • Attain the Department of Ecology Outstanding Treatment Plant Award FY 2012 • Meet all of the NPDES Discharge Require- ments for the Westside & Eastside Wastewater Treatment Facilities 137 Wastewater (Ifility-Utility Operations 2012 Goals: • Continue to expand cartegraph software ap- plication to the sanitary sewer system • Continue the video program of the sanitary sewer system • Continue jetting of all sanitary sewer mains • Continue the grease interceptor program • Continue the cleanout installation program on the sewer laterals • Continue the manhole inspection rehabilita- tion program • Continue the root control program • Continue with GPS of Wastewater • Zero lost-time accidents 138 Capital Wastewater Enterprise Fund Summary: The Wastewater Capital fund provides for the fund. The fund provides for the planning, en- replacement and construction to improve the gineering, labor, material, equipment, and City's wastewater collection system and treat- overhead costs related to construction. ment plants. Previously, capital improvement was accounted for in the Wastewater Utility Wastewater Capital Actual Actual Budget Budget 2009 2010 2011 2012 Revenue Taxes $0 $0 $0 $0 Licenses & permits 0 0 0 0 Intergovernmental 0 0 0 0 Charges for services 0 0 0 0 Fines & forfeits 0 0 0 0 Other revenue 0 0 0 4,865,000 Debt proceeds 0 0 0 0 Total revenue 0 0 0 4,865,000 Expe nditure s Personnel 0 0 0 0 Supplies, services & taxes 0 0 0 0 Capital expenditures 0 0 0 4,865,000 Debt service 0 0 0 0 Transfers 0 0 0 0 Total expenditures 0 0 0 4,865,000 Revenue over(under) expenditures 0 0 0 0 Beginning fund balance 0 0 0 0 Ending fund balance $0 $0 $0 $0 139 Wastewater Captial 2012 Goals: • Complete all projects identified in the budget highlights 140 for Utility Enterprise Fund Summary: The Stormwater Utility serves a population of approximately 39,000 residents. The Utility supports the Wastewater Utility in the CSO Control Program and completes all activities associated with the operation and mainte- nance of the stormwater system, including management, billing, development reviews, facilities inspections, public education and involvement, maintenance management, and overhead costs. Expenditures Personnel Stormwater Utility 1,039,573 1235,590 856,530 Actual Actual Budget Budget 1,013,487 2009 2010 2011 2012 Revenue Debt service 15,979 15,586 15,500 Taxes $0 $0 $0 $0 Licenses & permits 0 0 0 0 Intergovernmental 34,131 47,812 80,000 0 Charges for services 2,115,506 2,118,465 2,103,000 2,302,000 Fines & forfeits 0 0 0 0 Other revenue 41,856 102,690 1,579,664 12,600 Debt proceeds 0 0 0 0 Total revenue 2,191,493 2,268,967 3,762,664 2,314,600 Expenditures Personnel 977,750 1,039,573 1235,590 856,530 Supplies, services & taxes 362,571 524,231 583,951 1,013,487 Capital expenditures 11,031 43,075 1,707,664 0 Debt service 15,979 15,586 15,500 14,993 Transfers 436,916 427,771 626,512 1237,920 Total expenditures 1,804,247 2,050,236 4,169,217 3,122,930 Revenue over(under) expenditures 387,246 218,731 - 406,553 - 808,330 Beginning fund balance 1,940,915 2,328,161 2,596,242 2,566,545 Ending fund balance $2,328,161 $2,546,892 $2,189,689 $1,758,215 141 Stormwater (Ifility-Utility Operations 2012 Goals: • Continue catch basin cleaning and mainte- nance • Continue culvert and ditch maintenance • Continue detention pond maintenance • Continue to expand cartegraph maintenance software application to the storm system • Zero lost-time accidents • Continue illicit connection investigation and correction program • Continue the oil/water separator program • Continue cleaning of the City's storm system • Continue with GPS of Stormwater 142 Gorst Creek Watershed Enterprise Fund Summary: The Gorst Creek Watershed fund provides for the development of a comprehensive plan for sustainable development and restoration of the watershed which is part of the Water Util- ity. This project has five components: Wa- tershed Characterization Study; Watershed Comprehensive Plan; Development Regula- tions; Planned Action Environmental Impact Statement (EIS); and Capital Improvement and Correction Action Plans. Gorst Creek Watershed Actual Actual Budget Budget 2009 2010 2011 2012 Revenue Taxes Licenses & permits Intergovernmental Charges for services Fines & forfeits Other revenue Debt proceeds Total revenue Expe nditure s Personnel Supplies, services & taxes Capital expenditures Debt service Transfers Total expenditures Revenue over(under) expenditures Beginning fund balance Ending fund balance $0 $0 $0 $0 0 0 0 0 0 0 659,477 303,406 0 0 0 0 0 0 0 0 0 0 220,292 100 0 0 0 0 0 0 879,769 303,506 0 0 20,000 0 0 0 859,769 344,979 0 0 0 0 0 0 0 0 0 0 0 0 0 0 879,769 344,979 0 0 0 - 41,473 0 0 0 147,918 $0 $0 $0 $106,445 143 Gorst Creek Watershed 2012 Goals: • Continue development of the comprehensive plan 144 for Capital Enterprise Fund Summary: The Stormwater Capital fund provides for the planning, engineering, labor, material, equip - replacement and construction to improve the ment, and overhead costs related to construc- City's stormwater system. Previously, capital tion. improvement was accounted for in the Storm - water Utility fund. The fund provides for the Stormwater Capital Actual Actual Budget Budget 2009 2010 2011 2012 Revenue Taxes Licenses & permits Intergovernmental Charges for services Fines & forfeits Other revenue Debt proceeds Total revenue Expe nditure s Personnel Supplies, services & taxes Capital expenditures Debt service Transfers Total expenditures Revenue over(under) expenditures Beginning fund balance Ending fund balance $0 $0 $0 $0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1,421,000 0 0 0 0 0 0 0 1,421,000 0 0 0 0 0 0 0 0 0 0 0 1,421,000 0 0 0 0 0 0 0 0 0 0 0 1,421,000 0 0 0 0 0 0 0 0 n 10 10 10 145 Stormwater Capital 2012 Goals: • Complete all projects identified in the budget highlights 146 Introduction Internal service funds are used by govern- ments to account for goods and services pro- vided by one City department for another. Revenues are provided for these support func- tions from fees which are charged on a cost basis to the departments receiving the services or goods. The 2012 budget includes four in- ternal service funds: Risk Management This fund provides for the administration and maintenance of City risk manage- ment functions including the maintenance of reserve funds to provide the City with adequate protection to manage fluctua- tions in insurance premiums and claims. Equipment Rental Reserve—Operations and Maintenance This fund was established in 2009 to track expenditures and interfund pay- ments related to maintenance and service of the City's fleet of vehicles and large equipment. Equipment Rental Reserve—Equipment Re- serve This fund is used for the purpose of accu- mulating funds to replace vehicles and equipment at the end of their useful lives. Revenues are generated through user fees paid by departments utilizing fleet ser- vices. Employment Security This fund is used for the purpose of accu- mulating funds based on 1% of wages to pay for the unemployment of qualified terminated City employees through the Employment Security Department. Accumulated Leave Liability This fund is used for the purpose of accu- mulating funds based on 1% of wages to payout accrued vacation when an em- ployee leaves City employment. Information Technology This fund provides for support functions to the City's network and technology sys- tems and the maintenance and replace- ment of hardware and software compo- nents. 147 Internal Service Funds Overview Internal Service Funds Actual Actual Budget Budget 2009 2010 2011 2012 FTE positions Revenue Taxes Licenses & permits Intergovenmwntal Charges for services Fines & forfeits Other revenue Debt Proceeds Total revenue Expenditures Personnel Supplies, services & taxes Capital expenditures Debt service Transfers Total expenditures Fund totals -Expenditures only Risk Management Employment Security Accumulated Leave Liability ER &R Maintenance ER &R Reserves Information Technology Total Internal Service Funds Revenue over(under) expenditure Beginning fund balance Ending fund balance 12.00 12.00 13.00 10.00 $0 $0 $0 $0 0 0 0 0 0 0 0 0 2,942,336 2,821,325 2,460,985 2,310,260 0 0 0 0 2,148,192 2,867,779 2,107,700 2,016,159 0 0 0 0 5,090,528 5,689,104 4,568,685 4,326,419 1,491,172 1,399,494 1,670,600 1,870,105 2,088,579 2,888,547 2,579,818 2,696,739 1,387,312 164,829 555,000 575,400 0 0 0 0 1,019,494 437,029 6,800 0 5,986,557 4,889,899 4,812,218 5,142,244 1,093,199 1,723,183 1,416,900 1,429,900 0 0 20,000 311,105 0 0 168,500 248,700 1,612,866 2,093,228 1,765,800 1,685,225 2,398,543 164,829 545,000 515,400 881,949 908,659 896,018 951,914 $5,986,557 $4,889,899 $4,812,218 $5,142,244 (896,029) 799,205 (243,533) (815,825) 8,309,599 7,413,570 8,483,799 8,623,208 $7,413,570 $8,212,775 $8,240,266 $7,807,383 148 i Internal &7 -vice Fund Summary: The Risk Management Fund was established to consolidate the financial recording and ad- ministrative tracking of all property and casu- alty insurance activities in one cost center with joint costs to be shared by all funds as appropriate. Funds are provided for self- insured claims investigation and payment, liti- gation costs, insurance specification prepara- tion, excess insurance premiums, risk identifi- cation and loss control, safety education, and workers compensation. Expenditures Personnel Risk Management 224,788 240,000 240,000 Actual Actual Budget Budget 1,176,900 2009 2010 2011 2012 Revenue 0 0 Debt service Taxes $0 $0 $0 $0 Licenses & pennits 0 0 0 0 Intergovemrnental 0 0 0 0 Charges for services 0 0 0 0 Fines & forfeits 0 0 0 0 Other revenue 1,314,331 1,776,504 1,416,900 1,429,900 Debt Proceeds 0 0 0 0 Total revenue 1,314,331 1,776,504 1,416,900 1,429,900 Expenditures Personnel 418,238 224,788 240,000 240,000 Supplies, services & taxes 674,961 1,498,395 1,176,900 1,189,900 Capital expenditures 0 0 0 0 Debt service 0 0 0 0 Transfers 0 0 0 0 Total expenditures 1,093,199 1,723,183 1,416,900 1,429,900 Revenue over(under) expenditure 221,132 53,321 0 0 Beginning fund balance 1,346,552 1,567,684 1,928,703 2,150,372 Ending fund balance $1,567,684 $1,621,005 $1,928,703 $2,150,372 149 Security Employment Internal &7 -vice Fund Summary: The Employment Security Fund was created in 2011 by Ordinance 5153. The City is a re- imbursable employer with the Washington State Employment Security Department (ESD). Unemployment benefits paid to a terminated City employee is reimbursed by the City to ESD. Previously, the expense was charged to the department the employee last worked. By creating a separate fund each department contributes based on wages paid. This in effect spreads the expenditure over time between all departments an employee worked during his /her tenure. It also allows for accuracy in budgeting expenditures. Fxpenditures Personnel Employment Security 0 20,000 311,105 Supplies, services & taxes Actual Actual 0 Budget Budget Capital expenditures 2009 2010 0 2011 2012 Revenue 0 0 0 0 Taxes $0 $0 $0 $0 Licenses & permits 0 0 0 0 Intergovernmental 0 0 0 0 Charges for services 0 0 0 0 Fines & forfeits 0 0 0 0 Other revenue 0 0 63,700 247,400 Debt Proceeds 0 0 0 0 Total revenue 0 0 63,700 247,400 Fxpenditures Personnel 0 0 20,000 311,105 Supplies, services & taxes 0 0 0 0 Capital expenditures 0 0 0 0 Debt service 0 0 0 0 Transfers 0 0 0 0 Total expenditures 0 0 20,000 311,105 Revenue over(under) expenditure 0 0 43,700 - 63,705 Beginning fund balance 0 0 0 63,705 Fnding fund balance $0 $0 $43,700 $0 150 Accumulated Leave Liability Internal Service Fund Summary: The Accumulated Leave Liability Fund was created in 2011 by Ordinance 5153. Previ- ously, vacation accrued paid out at termina- tion was expended in the department the em- ployee last worked. By creating a separate fund each department contributes based on wages paid and it spreads the expenditure over time between all departments an em- ployee worked during his /her tenure. This also allows for accuracy in budgeting expen- ditures. Expenditures Personnel Accumulated Leave Liability 0 168,500 248,700 Actual Actual Budget Budget 0 2009 2010 2011 2012 Revenue 0 0 Debt service Taxes $0 $0 $0 $0 Licenses & permits 0 0 0 0 Intergovernmental 0 0 0 0 Charges for services 0 0 0 0 Fines & forfeits 0 0 0 0 Other revenue 0 0 168,500 248,700 Debt Proceeds 0 0 0 0 Total revenue 0 0 168,500 248,700 Expenditures Personnel 0 0 168,500 248,700 Supplies, services & taxes 0 0 0 0 Capital expenditures 0 0 0 0 Debt service 0 0 0 0 Transfers 0 0 0 0 Total expenditures 0 0 168,500 248,700 Revenue over(under) expenditure 0 0 0 0 Begh ng fluid balance 0 0 0 0 Ending fund balance $0 $0 $0 $0 151 Equipment v— i to Internal Service Fund Summary: The Equipment Rental & Reserve Fund is an internal service fund which finances the fuel- ing and repair of City vehicles and equipment. Revenues are generated through user fees paid by departments utilizing fleet services. This fund manages the operation and maintenance of City vehicles and equipment including fire trucks, police cars, backhoes, road graders and other equipment. ER &R Maintenance Actual Actual Budget Budget 2009 2010 2011 2012 FTE positions 7.00 7.00 7.00 5.00 Revenue Taxes $0 $0 $0 $0 Licenses & permits 0 0 0 0 Intergovernmental 0 0 0 0 Charges for services 2,048,089 1,821,325 1,748,000 1,581,760 Fines & forfeits 0 0 0 0 Other revenue 18,648 30,994 4,000 2,000 Debt Proceeds 0 0 0 0 Total revenue 2,066,737 1,852,319 1,752,000 1,583,760 Expenditures Personnel 565,916 633,533 643,200 533,500 Supplies, services &taxes 1,046,950 1,022,666 1,118,200 1,151,725 Capital expenditures 0 0 0 0 Debt service 0 0 0 0 Transfers 0 437,029 4,400 0 Total expenditures 1,612,866 2,093,228 1,765,800 1,685,225 Revenue over(under) expenditure 453,871 - 240,909 - 13,800 - 101,465 Beginning fiend balance 0 453,871 150,412 179,168 Ending fund balance $453,871 $212,962 $136,612 $77,703 152 Equipment Rental & Reserve—Reserves Internal Service Fund Summary: This division manages the replacement of City vehicles and equipment including fire support vehicles and ambulances, police cars, backhoes, road graders and other equipment. ERR is responsible for asset replacement planning and financing. Replacement funds are accumulated through rental fees paid by the user. ER &R - Reserves Actual Actual Budget 2009 2010 2011 Budget 2012 Revenue Taxes Licenses & permits Intergovernmental Charges for services Fines & forfeits Other revenue Debt Proceeds Total revenue Expenditures Personnel Supplies, services & taxes Capital expenditures Debt service Transfers Total expenditures Revenue over(under) expenditure Beginning fund balance Ending fund balance $0 $0 $0 $0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 812,120 1,054,527 454,600 88,159 0 0 0 0 812,120 1,054,527 454,600 88,159 0 0 0 0 0 0 0 0 1,379,049 164,829 545,000 515,400 0 0 0 0 1,019,494 0 0 0 2,398,543 164,829 545,000 515,400 - 1,586,423 889,698 - 90,400 - 427,241 6,672,277 5,085,854 5,974,501 5,864,431 $5,085,854 $5,975,552 $5,884,101 $5,437,190 153 Equipment Services 2012 Goals: • Enhance and update the City's 10 year vehicle and equipment replacement plan • Vehicle purchases will use fuel efficiency as a major part in vehicle specifications. • Right size the fleet • Update all policies as it pertains to vehicles and equipment owned and operated by the City of Bremerton. • Produce a "Policies and Procedures" manual. • Further reduce costs by comparative parts pric- ing • Tbru appropriate training instill in the operators the importance of fuel savings/reductions 154 Information Internal Service Fund Summary: Information Technology provides city depart- ments with customized automated systems, computer hardware /software support, local/ wide area network infrastructure support, de- sign assistance, acquisition, installation, train- ing and maintenance of hardware and soft- ware systems. Information Technology Actual Actual Budget Budget 2009 2010 2011 2012 FTE positions Revenue Taxes Licenses & permits Intergovernmental Charges for services Fines & forfeits Other revenue Debt Proceeds Total revenue Expenditures Personnel Supplies, services & taxes Capital expenditures Debt service Transfers Total expenditures 5.00 5.00 6.00 5.00 $0 $0 $0 $0 0 0 0 0 0 0 0 0 894,247 1,000,000 712,985 728,500 0 0 0 0 3,093 5,754 0 0 0 0 0 0 897,340 1,005,754 712,985 728,500 507,018 541,173 598,900 536,800 366,668 367,486 284,718 355,114 8,263 0 10,000 60,000 0 0 0 0 0 0 2,400 0 881,949 908,659 896,018 951,914 155 Revenue over(under) expenditure 15,391 97,095 - 183,033 - 223,414 Beginning fund balance 290,770 306,161 430,183 365,532 Ending fund balance $306,161 $403,256 $247,150 $142,118 Information Technology 2012 Goals: • Continue to provide added redundancy to server and network appliances • Provide software and training to migrate the desktop environment to MS Office 2010 • Maintain current service levels in an expanding environment without increasing staffing or re- placing equipment where possible. 156 M M T i MMUT4 7 ff V, & i A Capital Improvement Plan (CIP) is a multi- year plan that provides a planned and pro- grammed approach to utilizing the City's finan- cial resources in the most efficient manner to meet service and infrastructure needs. The City has prepared a comprehensive capital projects list as a part of the 2012 annual budget process. This list provides a six -year view of intended projects and serves as a resource for the City Council, City staff, and the citizens of Bremerton in understanding the scope, timing, and funding of key projects. While funding was identified as a part of each project description, some unfunded and underfunded projects have been included for the future periods of 2013 through 2017 in order to keep them in the fore- front as targets for grants, ballot measures, and other continued funding efforts. Projects identi- fied to occur in 2012 however were required to have a designated revenue source and are inte- grated into the City's annual budget for 2012. The 2012 — 2017 Capital Improvement Plan is comprised of general- purpose (municipal capital improvements), transportation, and utility pro- jects. On September 21, 2005 the Council adopted a Wastewater Comprehensive Plan by Resolution No. 2979. In addition, on December 20, 2006 the City Council adopted a Water Sys- tem Plan by Ordinance No. 4992. Finally, on February 20, 2008 the City Council adopted a separate Transportation Improvement Plan by Resolution no. 3048. These individual compo- nents of Bremerton's Capital Improvement Plan are summarized and then incorporated into this city -wide Capital Improvement Plan. These separate plans as previously adopted encompass the vast majority of the City's planned capital programs and include detailed information on the scope, timing, and reason for their being undertaken. Readers are encouraged to review the separate transportation and utility system capital plans to learn more about the significant programs described for these specific areas. The City of Bremerton considers its six -year capital plan as a long -range plan for addressing capital needs. The purposes and goals of the CIP are to: • Provide capital facilities and infrastructure that are needed by the community for civic pur- poses and support the vision of Bremerton's future as articulated in the Comprehensive Plan. • Support the provision of City services con- sistent with the expectations of the community, as expressed in the City's declared level of ser- vice standards. • Preserve levels of service as growth and de- velopment add new demands. • Provide facilities that meet special needs of the community. Rehabilitate and/or replace the City's facilities and infrastructure to extend use- ful life and assure continued efficiency. In developing the Capital Improvement Plan, the Department of Community Development has worked with Financial Services to ensure that the information required by the Growth Management Act (GMA) has been included in the plan. 157 Capital 1 is Program Overview Capital Improvement Plan Process The annual update of the capital improvement plan began with a request to the City depart- ments to submit a list of various capital improve- ment projects to be considered. This was initi- ated approximately a month prior to the start of the scheduled annual budget development. Fi- nancial Services then compiled this list and en- sured throughout the development of the annual operating budget that the CIP was kept current and consistent with the operating budget submit- tals and with the recently adopted Transportation Improvement Plan, Wastewater Comprehensive Plan, and Water System Plan, — all of which were prepared separately by the Public Works Department and adopted by the City Council af- ter separate study sessions and public hearings. The final Capital Improvement Plan is now pre- sented herein together with the proposed annual budget to the City Council for approval. The Council will hold public hearings to review the Capital Improvement Plan and annual budget. Upon completion of the public hearing process, the Capital Improvement Plan and annual budget will then be formally adopted by Ordinance. Impact of Capital Improvements on Operat- ing Budget Several projects currently underway or planned for implementation in the 2012 through 2017 timeframe have been identified to have future operational cost impacts for the City. The most significant of these projects are the Park Plaza garage and Kiwanis Park projects which will most likely put additional pressure on Facilities and Parks maintenance personnel. Other projects may also require additional staff support for maintenance and operations than is otherwise currently available. This situation is now made worse with the current economic downturn and reductions in staffing. Overview of the 2012 — 2017 Capital Improve- ment Plan The 2012 — 2017 Capital Improvement Plan sup- ports the City's continued commitment to revi- talization of Bremerton with the inclusion of ma- jor projects that are part of the plan for redevel- opment and revitalization, along with other pro- jects that rehabilitate or restore existing infra- structure, including major maintenance projects identified in the plan. The City's capitalization policy defines capital assets as tangible objects of a long -term character that will continue to be held or used such as land, buildings, machinery, furniture, and other equipment with a life expec- tancy greater than 1 year and having a value of $10,000 or greater. While the majority of expenditures identified in the Capital Improvement Plan are capital expen- ditures, there are programs included that are not characterized as "capital" per the City's account- ing policy on capitalization, but are included in the CIP due to their significant impact on infra- structure and as required by state RCW to ensure appropriate eligibility for the use of Real Estate Excise Tax to fund these efforts. The 2012 budget includes $410,565 in debt service that is included in the CIP. 158 Capital 1 is Program City -wide Capital Improvement Program Total Governmental Funds $12,690,702 $ 2,107,039 $ 2,351,065 $ 2,002,400 $ 1,035,700 $ 1,153,650 Enterprise Funds Water Capital Utility Budget $ 6,065,000 Estimated $ 10,585,000 $ 4,335,000 $ 1,560,000 Gold Mountain Golf 2012 2013 2014 2015 2016 2017 Governmental Funds 4,865,000 4,330,000 4,052,000 8,415,000 21,447,000 15,600,000 General Fund 1,421,000 764,000 560,000 305,000 300,000 570,000 Fire $ - $ 687,000 $ 818,000 $ 928,000 $ 400,000 $ - General Facilities 55,000 290,000 70,000 70,000 30,000 15,000 Non -Dept. (Debt Service) 410,565 410,039 409,065 410,400 410,700 409,750 Arteial Streets 4,904,100 - - - - - Streets - 225,000 280,000 115,000 75,000 75,000 Parking Operating - 35,000 15,000 75,000 - - Police Special Projects 50,000 - - - - - BKAT 35,000 25,000 25,000 25,000 30,000 20,000 1% for Arts 10,000 10,000 10,000 10,000 10,000 10,000 Conference Center Operating - 42,500 - - - - Park Plaza Construction 109,600 - - - - - Park Plaza Phase II 4,089,802 - - - - - ParkFacilities 1,334,000 325,000 691,000 336,000 - 623,900 Evergreen Park Remediation 82,500 57,500 33,000 33,000 80,000 - Lower Wheaton Way 1,610,135 - - - - - Total Governmental Funds $12,690,702 $ 2,107,039 $ 2,351,065 $ 2,002,400 $ 1,035,700 $ 1,153,650 Enterprise Funds Water Capital Utility $ 1,600,000 $ 6,065,000 $ 4,575,000 $ 10,585,000 $ 4,335,000 $ 1,560,000 Gold Mountain Golf 70,000 100,000 100,000 110,000 1,025,000 - Wastewater Capital Utility 4,865,000 4,330,000 4,052,000 8,415,000 21,447,000 15,600,000 Storm Capital Utility 1,421,000 764,000 560,000 305,000 300,000 570,000 Total Enterprise Funds $ 7,956,000 $ 11,259,000 $ 9,287,000 $ 19,415,000 $ 27,107,000 $17,730,000 Internal Service Funds Equipment Rental & Reserve $ 515,400 $ 1,346,700 $ 1,127,460 $ 1,537,100 $ 688,500 $ - Infomnation Technology 60,000 - 60,000 - 60,000 - TotalIntemal Service Funds $ 575,400 $ 1,346,700 $ 1,187,460 $ 1,537,100 $ 748,500 $ - Total All Funds $21,222,102 $ 14,712,739 $12,825,525 $ 22,954,500 $ 28,891,200 $18,883,650 159 City-Wide Capital Improvement Program Project Listing 2012 2013 2014 2015 2016 2017 General Fund Fire Department Architectural Study Breathing Air Compressors Bunker Gear Dryers Controlled Intersection Improvements Electronic Sign for Station #1 Fire Engine Replacement Life -Pak Cardiac Monitor Defibrillator Remodel Fire Station #2 Remodel Fire Station #3 Video Conferencing Equipment $ - $ - $ 40,000 - - 71,000 - - - - - 19,000 - - - - - - 200,000 - - - - - - - 50,000 - - 550,000 550,000 550,000 - - - 28,000 28,000 28,000 - - - - - 350,000 - - - - - - 350,000 - - 19,000 - - - - $ - $ 687,000 $ 818,000 $ 928,000 $ 400,000 $ - General Facilities Enclose Work Bay at Oyster Bay $ - $ 70,000 - Fire Station # 1, Lmergency Generator - 120,000 - - - - Fire Station #2 Dormitory Addition - - - 70,000 - - Fire Station #2 Reroof 45,000 - - - - - Fire Station #3 Dormitory Addition - - 70,000 - - - Fire Station #3, CustomCabinetry - 10,000 - - - - Library 5th St. Planter Lighting - - - - - 15,000 Library 5th St. Water Fixtures - - - - 30,000 - Police Station, AnnexRoof - 80,000 - - - - Police Station, HVACImprovements 10,000 10,000 - - - - $ 55,000 $ 290,000 $ 70,000 $ 70,000 $ 30,000 $ 15,000 Debt Service on Government Center $ 410,565 $ 410,039 $ 409,065 $ 410,40 $ 410,70 $ 409,750 $ 410,565 $ 410,039 $ 409,065 $ 410,400 $ 410,700 $ 409,750 Arterial Street Armin 7ahr Sidewalk Improvements Bremerton HWY Safety Improvements Pacific Ave - 6th St to 11th St SR303 11th St & Warren Ave Intersection $ 248,500 850,000 - - - - 2,507,600 - 1,298,000 - - - - $ 4,904,100 Street Illuminated Street Signs $ - $ 25,000 $ 40,000 - Kitsap Way Lighting - 125,000 125,000 - - - Phone SystemUpgrade - - 40,000 40,000 - - Traffic Signal Equipment Replacement - 75,000 75,000 75,000 75,000 75,000 $ - $ 225,000 $ 280,000 $ 115,000 $ 75,000 $ 75,000 160 Citv-Wide Capital Improvement Program Project Listing 2012 2013 2014 2015 2016 2017 Parking Harborside Security Camera System S S 20,000 S S S S Parking Facility -Guard Rails 15,000 Parking Lot Lighting - 75,000 Parking Lot Signs - 15,000 - S S 35,000 S 15,000 S 75,000 S S Police Special Projects SOGUehicles S 50,000 S - S - S - S S S 50,000 S - S - S - S S BKAT BKAT Production Equipment Upgrades S - S 25,000 S 25,000 S 25,000 S 30,000 S 20,000 Computer Replacement 35,000 - - - - - S 35,000 S 25,000 S 25,000 S 25,000 S 30,000 S 20,000 1% ForArt Public Art Work S 10,000 S 10,000 S 10,000 S 10,000 S 10,000 S 10,000 S 10,000 S 10,000 S 10,000 S 10,000 S 10,000 S 10,000 Conference Center Kitchen Upgrade S - S 42,500 S - S - S - S - S - S 42,500 S S S S Park Plaza Construction Downtown Revitalization Project S 109,600 S - S S S S S 109,600 S S S S S Park Plaza Phase 11 Park Plaza Phase II S 4,089,802 S S S S S S 4,089,802 S S S S S Parks Construction Evergreen Park Accessible Play Project S - S S 1,000 S 236,000 S S Glenn Jarstad Aquatic Center Upgrades - 325,000 - - Kiwanis Park Redevelopment 1,334,000 - - Lions Park- Dock & Boat Launch Survey - 120,000 - Maintenance Facility Relocation - 373,900 Neighborhood Park Expansion - 250,000 Off =Leash Dog Park Project 45,000 - - Sheridan Park Center Engery Efficiency 75,000 100,000 Warren Avenue Playfield Renovation - - 450,000 - - S 1,334,000 S 325,000 S 691,000 S 336,000 S S 623,900 161 City-Wide Capital Improvement Program Project Listing Water Capital Buildings 2012 S 930,000 2013 2014 2015 2016 2017 Evergreen Park Remediation 20,000 20,000 20,000 20,000 20,000 20,000 Remediation Monitoring S 82,500 S 57,500 S 33,000 S 33,000 S 80,000 S Pump Stations S 82,500 S 57,500 S 33,000 S 33,000 S 80,000 S Lower Wheaton Way - 525,000 2,850,000 750,000 - 20,000 Lower Wheaton Way S 1,610,135 S - S - S - S - S Water Appurtenances S 1,610,135 S - S - S - S - S Water Capital Buildings S - S 930,000 S - S 75,000 S 900,000 S Equipment 20,000 20,000 20,000 20,000 20,000 20,000 Land - - 150,000 - - - Pump Stations 125,000 125,000 125,000 125,000 125,000 125,000 Reservoir & Dam - 525,000 2,850,000 750,000 - 20,000 Roads & Bridges 50,000 20,000 20,000 20,000 20,000 - Water Appurtenances 390,000 545,000 270,000 170,000 1,420,000 270,000 Water Sources - Wells & Surface 140,000 100,000 250,000 575,000 - 125,000 Water Treatment 100,000 150,000 - - - - Water Mains 775,000 3,650,000 890,000 150,000 1,850,000 1,000,000 Re -use S 1,600,000 S 6,065,000 S 4,575,000 510,585,000 S 4,335,000 S 1,560,000 Gold Mountain Golf 175,000 807,000 330,000 500,000 - Capital Equipment S 70,000 S 80,000 S 80,000 S 80,000 S 25,000 S - Clubhouse Improvements - 10,000 20,000 20,000 - S15,600,000 Irrigation System on Cascade Course - - - 1,000,000 Road and Parking Lot Improvements - 10,000 - 10,000 - S 70,000 S 100,000 S 100,000 S 110,000 S 1,025,000 S Wastewater Capital Beach Sewers S S 75,000 S 1,150,000 S 1,100,000 S 200,000 S 200,000 Buildings - 50,000 - 450,000 - Force Mains 3,400,000 - - - - 200,000 Gravity Sewers 700,000 860,000 950,000 425,000 2,000,000 1,000,000 Inverted Siphons 20,000 - - - - 4,000,000 Land - 50,000 500,000 - LowPressure Sewers 75,000 2,500,000 - - Miscellaneous Equipment 20,000 20,000 20,000 770,000 750,000 - Outfalls - - - 150,000 2,600,000 450,000 Pump Stations 650,000 650,000 875,000 700,000 125,000 - Re -use - - - - 250,000 Treatment 175,000 807,000 330,000 500,000 - UIID's - 200,000 4,440,000 14,572,000 9,750,000 S 4,865,000 S 4,330,000 S 4,052,000 S 8,415,000 521,447,000 S15,600,000 162 City-Wide Capital Improvement Program Project Listing 2012 2013 2014 2015 2016 2017 Stormwater Capital City Culverts $ 88,000 $ 328,000 $ 150,000 $ $ $ 250,000 LID Projects 825,000 - - 150,000 150,000 150,000 Outfalls 300,000 - - - - - Storm Drainage Replacement Program 208,000 436,000 410,000 155,000 150,000 170,000 $ 1,421,000 $ 764,000 $ 560,000 $ 305,000 $ 300,000 $ 570,000 EURReserves City Vehicles & Equipment $ 515,400 $ 1,346,700 $ 1,127,460 $ 1,537,100 $ 688,500 $ $ 515,400 $ 1,346,700 $ 1,127,460 $ 1,537,100 $ 688,500 $ Information Technology Network and Server Equipment $ 60,000 $ $ 60,000 $ $ 60,000 $ $ 60,000 $ $ 60,000 $ $ 60,000 $ $2122,102 $14,712,739 $12,825,525 $22,954,500 $28,891,200 $18,883,650 163 164 The City of Bremerton is accountable to its citizens for the efficient use of public dollars. Resources entrusted to the City should be used in a manner that provides services, pub- lic facilities, and infrastructure necessary to meet the needs of the community — both for today and for the future. The following fi- nancial goals and policies establish a frame- work of financial health and stability that is required to meet those expectations. The goals expressed here define what consti- tutes a "good outcome" for the city in regards to financial planning and decisions. Goals indicate the objectives - while the policies describe actual boundaries (or measurable) that are deemed necessary to achieve those goals. Goals for Financial Sustainability • Diversified annual resources that are suf- ficient to provide for the regular and on- going operations associated with core city services — plus enough additional margins to cover debt service requirements and normal (average) ongoing capital expen- ditures. • Debt financing should be used to smooth the effects of unusual or significant amounts of capital expenditures and /or to finance facilities that are dedicated to the benefit of limited users (for example — Local Improvement District "LID "). Policy - • The budget and financial plans of the City shall balance recurring operating ex- penses, debt service, and average ongoing capital requirements to recurring operating revenue. Average ongoing capital re- quirements are defined to include pay- ments necessary to the various Internal Service funds (i.e. ER &R, and Informa- tion Technology) and average recurring capital expenditures. • Before the City undertakes capital expen- ditures or accepts grant funds, the ongoing costs and commitments should be de- scribed fully including identification of the revenue sources expected to provide for such ongoing costs- so that proper consid- eration may be given to the longer term financial sustainability of the project or commitment. • Where possible, grants or contributions of capital will be identified for proposed City expenditures. • Deficit financing and borrowing will not be used to support on -going City services and operations. Expenses will be reduced to conform to the long -term revenue fore- cast. Interfund loans are permissible to cover temporary gaps in cash flow, but only when supported by a clear expecta- tion and schedule for repayment over a short duration of time (3 years or less) and with interest assessed based on the current 165 Goals Financial 1 , • Washington State Local Government In- vestment Pool rate. Cash balances in excess of the amount re- quired to maintain strategic reserves may be used to fund one -time or non - recurring costs. Preference should be given to uses that reduce ongoing expenses (for exam- ple - early retirement of debt). Replacement Reserves based on expected replacement cost will be collected and placed in the Equipment Rental and Re- serve Fund (ER &R) for equipment (other than computer equipment) or vehicles (other than fire engines) with a value of $20,000 or more if it is expected to be a continued need beyond its estimated initial useful life. The cost of computer equip- ment replacement will be included in the annual payments made to the Information Technology Fund (IT) for each computer by its using department. These payments are based on an expected five -year re- placement schedule. In addition to ER &R and IT, other internal service funds may be established to appropriately account for and collect expenses for specific costs with the approval of the Director of Finan- cial Services and the City Council. An amount equal to the annual fractional esti- mated cost of replacement based on the expected useful life of an asset will be in- cluded in the service charges paid by City departments to the various Internal Ser- vice funds (i.e. Equipment Rental & Re- serve fund and Information Technology). Replacement cost will be reevaluated peri- odically throughout the life of the asset and replacement reserve charges adjusted accordingly. Assets with an initial value less than $20,000 may be included in the Equipment Rental and Reserve Fund upon request by the using department with the approval of the Director of Public Works and Utilities and the Director of Financial Services. • Long -term borrowing will be confined to significant capital improvements (or simi- lar projects) which have an extended life and when it is not practicable to be fi- nanced from current revenues. All other available and appropriate sources of fi- nancing should be exhausted before long term borrowing is pursued. • Bonds cannot be issued for a longer ma- turity schedule than a conservative esti- mate of the weighted average useful lives of the assets to be financed. The City will keep the average maturity of general obli- gation bonds at or below twenty years. • Where possible, the City will use special assessment revenue, or other self - supporting bonds instead of general obli- gation bonds. • The City Utility Systems shall strive to maintain a minimum debt service cover- age (annual gross revenues less annual operating and maintenance expenses di- vided by annual debt service) of the com- bined Utilities (Water, Wastewater, Stormwater) of at least 1.5x. Goals for Financial Flexibility • Sufficient operating reserves (working capital) to manage monthly and daily cash flow variability. • Adequate liquidity to provide for limited 166 Goals Financial 1 , interruptions in revenues (natural disas- ters, unexpected loss of revenue source, etc) . • Contingency and reserve funds should be available for use in the event of emer- gency and /or unforeseen events. Policy • The City will maintain reserves required by law, ordinance, and /or bond cove- nants. • The City will strive to maintain ending cash and investment balances in the Gen- eral Fund of no less than 8.5% of total planned annual operating expenses. • The City will strive to maintain ending cash and investment balances of no less than 12% of total planned annual operat- ing expenses for the Gold Mountain Golf Complex, Water Utility, Wastewater Util- ity, and Stormwater Utility. • The City will strive to maintain a balance of at least $1,000,000 in the Contingency Reserve fund as a provision for unfore- seen or catastrophic events and emergen- cies. 0 meet regulatory requirements 0 provide core city services 0 contribute to the achievement of stated goals and policies 0 or undertaken in anticipation of an emerging requirement. Policy • Budget managers will provide sufficient documentation to support requested budget appropriations and in a manner that clearly demonstrates that the expen- diture is necessary to either meet regula- tory requirements, provide core city ser- vices, or contributes to the achievement of stated goals or policies of the City. • A comprehensive multi -year (minimum of six years) plan for City capital im- provements will be prepared and updated annually. The Capital Improvement Plan will be consistent with and support the City's Comprehensive Plan. The Com- prehensive Plan service level goals should be included in the Capital Im- provement Plan. Goals for Accountability Goals for Stewardship ofPublic Funds • • Maintain public trust and confidence by utilizing resources in the most efficient manner possible. • Expenditures should be necessary to ei- ther: Reports demonstrating the status of finan- cial activity and results should be pre- pared on a timely basis and in compliance with BARS and GAAP accounting re- quirements. Reports showing the status of financial policy compliance should be provided periodically. 167 Goals Financial 1 , • Ensure the legal use of public assets through an effective system of internal controls. To ensure all local, state, and • federal rules are followed. Policy - • An annual audit will be performed by the State Auditor's Office and include the issuance of a financial opinion. A Com- prehensive Annual Financial Report shall be prepared in accordance with generally accepted accounting principles (GAAP) and shall be distributed to the City Coun- cil, Mayor, Director of Financial Ser- vices, Department Directors, City Audit Committee, and any other interested party. • Quarterly a budget status report will be prepared and distributed to the City Council, Mayor, and Department Direc- tors providing an overview of financial activities for the City with comparison to the approved budget. Information on the status of compliance with financial poli- cies will be provided in this report. • Regular monthly financial statements will be prepared on a timely basis and posted for review on the City's inteanet and intranet site. • The City will maintain a budgetary con- trol system to ensure compliance with the approved budget. •The City will maintain adequate internal controls to safeguard public assets. The Director of Financial Services will work cooperatively with the City's Internal Auditor and the Audit Committee to iden- tify and address material deficiencies in internal controls. The City shall manage and invest its re- sidual cash through the City Treasurer on a continuous basis in accordance with the City's investment policies and within the guidelines established by the Washington State Statutes based upon the following order of priorities: 1) safety, 2) liquidity, and 3) yield. 168 Goals Financial 1 , CITIZENS OF BREMERTON JUDGE MAYOR'S CITY AUDIT CITY MUNICIPAL COURT OFFICE COUNCIL COMMITTEE AUDITOR CITY POLICE FINANCIAL PUBLIC WORKS COMMUNITY PARKS & FIRE - EMS ATTORNEY SERVICES SERVICES & UTILITIES DEVELOPMENT RECREATION SERVICES Council to City Patrol Records Management Engineering Land & Use Planning Parks Building Fire Suppression & Maintenance Civil Legal Services Traffic Admin Support Services Street Lighting & Building Inspections Recreation Programs Emergency Medical Road Maintenance Services Prosecution Investigation Public Acess TV Utility Operations Code Enforcement City Fountains Fire Prevention & Maintenance Civil Litigation Crime Prevention Information Technology Facility Maintenance Environmental Review Gold Mountain Golf Risk Management Home Detention City Clerk Forestry Management One -Stop Senior Center Permit Center & Programs Safety Program Jail Contract Conference Center Water Supply Zoning Administration Parks Commission Operating & Enforcement Support Photo Enforcement Human Resources Wastewater Treatment CDBG Home Program Community Policing B & O Tax Surface Water Annexations Management Reserve Office Business & Construction Admin Program Regulatory Licensing Special Operations Debt Management Equipment Rental Group Reserve & Operations Fiscal Policy Surveying & Mapping Oversight Cash & Bank Permit Coordination Management Accounting & Budget Utility Billing & Customer Service CITY COUNCIL CITY OF BREMERTON CITIZENS COUNCIL PRESIDENT District 8 Legislative Assistant Council Assistant (.80 FTE) o Councilor Councilor Councilor Councilor Councilor Councilor Councilor Councilor District 1 District 3 District 4 District 5 District 6 District 7 District 8 District 9 EXECUTIVE DEPARTMENT CITIZENS MAYOR EXECUTIVE ASSISTANT J N DEPARTMENT OF FINANCIAL SERVICES DIRECTOR OF FINANCIAL SERVICES CITY PUBLIC ACCESS TV CLERK 11 MANAGER PART -TIME PRODUCTION CLERICAL H ADMINISTRATOR ASSISTANT DIRECTOR I I RESOURCES MANAGER I FINANCIAL SERVICES ANALYST ACCOUNTING ASSISTANT SENIOR ACCOUNTING ASSISTANT SENIOR ACCOUNTING ASSISTANT SENIOR ACCOUNTING ASSISTANT 11 PAYROLL SPECIALIST HR ASSISTANT INFORMATION TECH MANAGER NETWORK ADMINISTRATOR LEAD PC TECH CUSTOMER SUPPORT ANALYST WEBSITE COORD. GRAPHIC DESIGN CITY ATTORNEY'S OFFICE CITY ATTORNEY LEGAL ASSISTANT II W CIVIL DIVISION ll I PR I - d ASSISTANT LEGAL ASSISTANT II CITY ATTORNEY II RISK MANAGEMENT DIVISION RISK ENT SPECIALIST A ATTORNEY I 1 I PROSECUTOR 11 CITY DEPARTMENT OF COMMUNITY DEVELOPMENT COMMUNITY DEVELOPMENT DIRECTOR ASSISTANT DIRECTOR & BUILDING OFFICIAL CDBG 1 L PLANNING RANG 1�� I PLANNING CDBG PLANNING DESIGN REVIEW ADMINISTRATOR COMMISSION BOARD C SPECIALIST PLANNER II PLANNER II ONE -STOP PERMIT CENTER BDS III (Sr. Plans Examiner) BDS II (Building inspector) BDS I (Permit Specialist) CODE ENFORCEMENT CODE ENFORCEMENT OFFICER PR 1 H PLANNER 11 ASSISTANT MUNICIPAL COURT JUDGE PROBATION OFFICER COURT ADMINISTRATOR CITY AUDITOR DEPARTMENT COMMITTEE CITY AUDITOR Auditor Assistant (.20 FTE) BREMERTON POLICE DEPARTMENT CHIEF OF POLICE OA Sr. Captain Operation Division Sergeants (2) I Lieutenant I Sergeant 1 st Shift Special Operations OA Sr. (5) Captain Support Service Division Lieutenant cers Traffic Sergeants (2) Sergeants (2) OA Sr. Sergeat =Patrol (3) .. j 2nd Shift 3rd Shift (5) General Investigation SOG Detectives Pa trol Officers (4) OA Sr. jf2f ( Volunteer Westnet Reserves (2) K_9 K_g Detective Detectives Volunteer Officer Officer ( Chaplains (6) Crime Scenes Records Specialist (4) FIRE MARSHAL CAPTAIN FF/ ] INSPECTOR 178 FIRE DEPARTMENT FIRE CHIEF OFFICE BATTALION ASSISTANT SR CHIEF A B C SHIFT SHIFT SHIFT BATTALION BATTALION BATTALION CHIEF CHIEF CHIEF STATION STATION STATION 1 -A 1 -B 1 -C CAPTAIN LIEUTENANT LIEUTENANT FF /M ECH FF /M ECH FF /M ECH FF FF FF FF /PM FF /PM MEDICAL OFFICER STATION STATION STATION 2 -A 2 -B 2 -C LIEUTENANT CAPTAIN LIEUTENANT FF FF FF FF /PM FF /PM FF /PM FF /PM FF /PM FF /PM STATION STATION STATION 3 -A 3 -B 3 -C LIEUTENANT LIEUTENANT CAPTAIN FF FF FF FF /PM FF /PM FF /PM FF /PM FF /PM FF /PM RELIEF RELIEF RELIEF LIEUTENANT LIEUTENANT LIEUTENANT FF FF FF FF FF FF FF� �F11 �� FIRE MARSHAL CAPTAIN FF/ ] INSPECTOR 178 PARKS AND RECREATION DEPARTMENT PARKS & RECREATION COMMISSION DIRECTOR OF PARKS AND RECREATION GOLF OPERATIONS RECREATION MANAGER RECREATION PROGRAM COORDINATOR II (1) RECREATION PROGRAM COORDINATOR III (2) PARK MAINTENANCE MANAGER PARK MAINTENANCE SUPERVISOR PARKS SERVICE SPECIALIST SR (4) PARKS SERVICE SPECIALIST (4) PARKS DEVELOPMENT PLANNER PARKS LABORER (3) DEPARTMENT OF PUBLIC WORKS & UTILITIES DIRECTOR OR PUBLIC WORKS & UTILITIES Office Assistant Sr Spec O PW &U Financial Utility Accounts City PW Operations Manager/ Utility Operations Wastewater Water Resources Forestry Manager Supervisor Engineer Equipment Maint Manager Manager Manager Manager Manager AA Sr. AA Sr. Project Assistant Electronics Tech Water Distribution Supv AA Sr. Water Operations Supv Forestry Service Specialist Supv AA III Office Assistant Senior Journey Electrician Facilities /Inv Supv WWTP Lab Tech Water Operator Lead Forestry Sery Spec Sr. ( ( AA II Managing Engineer Street Service Spec Sewer /Storm Collection W WTP Operations Supv Water Operator Sr. (2) Supv Supv (2) Customer Service Rep Civil Engineer III Street Sery Spec Sr. Lead Utility Sery Spec W WTP Maint Supv Water Operator ( ( ( ( Civil Engineer II Sign Shop Sery Spec Lead Fac Sery Spec W WTP Operator II Electronics Tech (2) Sr. (2) Civil Engineer I Street Sery Spec Utility Sery Spec Sr. W WTP Operator I Environmental Tech ( ( ( ( Engineering Tech IV Sery Spec Facilities Sery Spec Sr. WWTP CMMS Tech (6) Lgnop Engineering Tech Sr. Auto Equip Tech Supv Utility Sew Spec W W TP Maint Tech (g) ( Auto Equip Tech Facilities Sery Spec Electronics Tech ( ( Auto Equp Tech Asst Cross Connection Journey Electrician Control Spec AA II Office Assistant Senior Office Assistant 11 Table 1 Net Assets by Component Last Eight Fiscal Years Governmental Activities Invested in capital assets, net of related debt Restricted Unrestricted Total govermnental activities net assets Business -type activities Invested in capital assets, net of related debt Restricted Unrestricted Total business -type activities net assets Primary Government Invested in capital assets, net of related debt Restricted Unrestricted 2003 2004 2005 2006 2007 2008 2009 2010 50,204,781 $ 49,164,535 $ 50,329,300 $ 58,958,873 $ 69,497,809 $ 72,451,892 $ 72,087,573 $ 66,905,386 4,492,936 11,592,172 13,542,273 7,390,108 3,168,374 2,682,534 3,111,288 8,275,949 7,833,989 7,067,568 9,323,734 13,822,625 15,362,418 10,777,450 9,159,249 9,434,193 62,531,706 67,824,275 73,195,307 80,171,606 88,028,601 85,911,876 84,358,110 84,615,528 86,487,527 87,788,590 89,467,683 92,069,352 92,747,306 103,397,203 122,329,665 128,158,641 360,852 514,774 494,194 557,859 1,483,026 3,988,736 1,174,604 1,305,903 6,209,697 8,265,819 11,074,025 14,575,413 23,225,228 21,514,830 21,386,589 23,973,489 93,058,076 96,569,183 101,035,902 107,202,624 117,455,560 128,900,769 144,890,858 153,438,033 136,692,308 136,953,125 139,796,983 151,028,225 162,245,115 175,849,095 194,417,238 195,064,027 4,853,788 12,106,946 14,036,467 7,947,967 4,651,400 6,671,270 4,285,892 9,581,852 14,043,686 15,333,387 20,397,759 28,398,038 38,587,646 32,292,280 30,545,838 33,407,682 155,589,782 $ 164,393,458 $ 174,231,209 $ 187,374,230 $ 205,484,161 $ 214,812,645 $ 229,248,968 $ 238,053,561 Total primary govermnent net assets Table 2 Changes in Net Assets Last Eight Fiscal Years Expenses S 5,708,373 S 4,138939 S 2222,433 S Govemmental Activities 4203,531 S (4239,084) S 81,616 S (1208,855) 2003 2004 2005 2006 2007 2008 2009 2010 Revenues General government S 4,497,784 S 3,178,781 S 3,311938 S 4,036,679 S 3,838,442 S 4,799,392 S 4,001,383 S Governmental.4ctivities Public safety 15,642,194 16,435,104 18,447,613 19,018,326 21,823943 22,694,179 23,922,957 Program Revenues Physical envirorunent 193,048 183,645 6,140,436 205,404 374,985 223,469 226,975 Charges for Services S 5213,469 S 6,408,743 S 7,069,069 S 7,898,109 S 8,239,980 S 8911,480 S 9,065,757 S 7974,533 Operating Grants and Contributions 1,360,384 1904,575 1,505,305 964,454 1,350,646 2,321,404 2,226,968 2,685281 Capital Grants and Contributions 7,347931 7,528,350 1,541,002 7,895,086 9928,551 4,638,620 3922,004 3,748282 General Revenues Crfltiue and recreation 3,552,084 4,633144 5,115,632 5,581,830 6,429966 6,859,463 5944,853 Property Taxes 6966,861 7,005,388 6,991,232 7,329,167 7,920,916 7,799,723 8,490,418 8,553934 Sales Taxes 6,313,342 6393,740 6,637,147 7,157,768 7,574,011 7,790,117 6,541,673 6,538977 Business Taxes 2,632276 3,555,740 4224,596 3,898,778 4,783,087 3,454258 3,706,834 3.406.535 Utility Taxes 3986,704 4,055931 4296,416 4,744,302 4974,578 5,087,768 4,753,803 4,531,307 Other Taxes 2,611,599 2,598,693 2938,131 3,567985 2984,146 2,572,169 2,461,170 2391.050 Other General Re es, 342,419 (131.583) 2172.184 3,088,501 1,831,840 1,004,194 217,758 1,428,517 Total Governmental Revenues 36,774985 39319,577 37375,082 46,544150 49,587,755 43,579,733 41,386,385 41258,416 Business-T}pe Activities Total Business- T}peActivities 18,500,494 19,980,944 19978,426 21,218,149 21,664,497 22,679,409 22,846,422 Charges for Services 21266,386 22,026,027 24,568993 27,738,767 27,611963 26,764,076 27,619991 25981,745 Operating Grants and Contributions - - - - - 235,414 34,341 65,812 Capital Grants and Contributions 1200,151 2,553,628 1,279,260 755,136 4936,686 8,449263 3,882290 7,417,318 Sales Taxes 45,131 58,973 71,500 49,180 41,562 21,857 14,678 - Business Taxes 13,704 9,588 11,572 6,672 8,004 229 - 6,486 Other General Re es, 54,414 (1712) 187,537 487,531 913,859 1,005,523 556,994 584,246 Total Business- T}peActivities 22,579986 24,645,504 26,118,862 29,037286 33,512,074 36,476362 32,108,294 34,055,607 Total Primary Government Program Rev-es S 59354,771 S 63965,081 S 63,493944 S 75,581,436 S 83,099,829 S 80,056,095 S 73,494,679 S 75314,023 Expenses S 5,708,373 S 4,138939 S 2222,433 S 5,684,862 S 4203,531 S (4239,084) S 81,616 S (1208,855) Governmental.3ctivities 1,162,029 1,153,453 1,673,717 1291,437 1944,641 1,973,245 4,175924 3,610,764 General government S 4,497,784 S 3,178,781 S 3,311938 S 4,036,679 S 3,838,442 S 4,799,392 S 4,001,383 S 3250,587 Public safety 15,642,194 16,435,104 18,447,613 19,018,326 21,823943 22,694,179 23,922,957 24,187,445 Physical envirorunent 193,048 183,645 6,140,436 205,404 374,985 223,469 226,975 219,431 Transportation 3,823,484 6,442,549 4,453,072 7,731,187 8936,077 8914,778 4,214,922 4,012,477 Cornrnunity development 2247,355 2,916,242 2,463,469 2,863,004 2,601,899 3,146,023 2,031,753 3,310,097 Mental/physical health 180,743 185,612 - - - - - - Crfltiue and recreation 3,552,084 4,633144 5,115,632 5,581,830 6,429966 6,859,463 5944,853 6,510247 Interest on long -teen debt 929,920 1205,561 1,360,925 1,422,858 1,378,912 1,181,513 961,926 976,987 Total Governmental&xpenses 31,066,612 35,180,638 35,152,649 40,859288 45,384224 47,818,817 41,304,769 42,467271 Business-T}pe Activities Water 6,244,202 7,234,139 7,189,614 8,052273 8247,875 9,073,514 9,242,707 8,298,916 Wastewater 7,879292 8,425,512 8,409,503 8,387,319 8,589358 9,012,578 8,927,299 9,009,876 GolfCourse 3,522,053 3,412,554 3,318,926 3,578,441 3,498,529 3264,660 3,198390 2,256,772 Other Proprietary Fonds 854,947 908,739 1,060383 1,200,116 1328,735 1328,657 1,478,026 1.603.135 Total Business- T}peActivities 18,500,494 19,980,944 19978,426 21,218,149 21,664,497 22,679,409 22,846,422 21,168,699 Total Primary Government Program Expenses S 49,567,106 S 55,161,582 S 55,131,075 S 62,077,437 S 67,048,721 S 70,498226 S 64,151,191 S 63,635970 Change in Net Assets Governmental.3ctivities Excess of rev-es over expenses S 5,708,373 S 4,138939 S 2222,433 S 5,684,862 S 4203,531 S (4239,084) S 81,616 S (1208,855) Transfers 1,162,029 1,153,453 1,673,717 1291,437 1944,641 1,973,245 4,175924 3,610,764 Governmental.3ctivities Change in Net.4ssets 6,870,402 5292,392 3,896,150 6,976,299 6,148,172 (2265,839) 4257,540 2,401909 Business-T}pe Activities Excess of revemws over expenses 4,079292 4,664,560 6,140,436 7,819,137 11,847,577 13,796953 9261,872 12,886908 Transfers (1162029) (1153A53) (L673.717) (129L437) (1944.641) (1973245) (4175924) (3.610964) Business -T}pe.4cttvttiesChange in Net.4sse1s 2,917,263 3,511,107 4,466,719 6,527,700 9,902,936 11,823,708 5,085948 9276,144 Governmental.4ctivities Net-4 -us Net assets - be 55,732,512 62,531,706 69299,157 73,195,307 80,171,606 82,507,135 85911,876 84,358,110 Prior period adjustment/special items 1,475,059 1,708,823 (140926) (5.811306) (2144,491) Net assets - ending 62,602914 69299,157 73,195,307 80,171,606 88,028,601 80,100,570 84,358,110 84,615,528 Business -T}pe Activities Net.4ssets Net assets - be 90,139,144 93,058,076 96,569,183 101,035902 107202,624 123,593,896 128900,769 144,890,858 Prior period adjustment/special items (69.539) (360978) 350000 (705.529) 10904,141 (728969) Net assets - ending 92986,868 96,569,183 101,035902 107202,624 117,455,560 134,712,075 144,890,858 153,438,033 Total Primary Government Net Assets $ 155,589,782 $ 165,868,340 $ 174,231,209 $ 187,374,230 $ 205,484,161 $ 214,812,645 $ 229,248,968 $ 238,053,561 182 Table 3 Fund Balance of Government Funds Last Ten Fiscal Years GENERAL FUND Reserved $ 86,589 $ 95,337 $ 93,442 $ 16,070 $ 15,570 $ 14,970 $ 20,470 $ 19,070 $ - $ - Unreserved 1,569,402 1,108,222 881,433 2,410,089 3,531,157 4,386,943 4,084,868 1,313,146 1,957,308 3,049,878 Total General Fund 1,655,991 1,203,559 974,875 2,426,159 3,546,727 4,401,913 4,105,338 1,332,216 1,957,308 3,049,878 ALL OTHER GOVERNMENTAL FUNDS Reserved 89,850 77,421 71,938 72,949 1,564,096 1,054,224 176,435 198,472 350,758 391,078 Unreserved, Reported In: Special Revenue Funds 4,120,290 6,134,056 5,247,909 3,745,126 4,593,224 5,025,387 6,251,037 5,867,682 5,758,691 4,488,327 Capital Projects Funds 12,516,679 16,070,360 8,046,173 7,653,595 6,074,023 2,626,138 1,578,618 2,096,861 6,662,498 Debt Service Funds 356,163 300,829 294,747 203,981 375,324 418,036 548,107 590,314 262,834 433,778 Total All Other Governmental Funds 4,566,303 19,028,985 21,684,954 12,068,229 14,186,239 12,571,670 9,601,717 8,235,086 8,469,144 11,975,681 TOTAL ALL GOVERNMENTAL FUNDS $ 6,222,294 $ 20,232,544 $ 22,659,829 $ 14,494,388 $ 17,732,966 $ 16,973,583 $ 13,707,055 $ 9,567,302 $ 10,426,452 $ 15,025,559 w Table 4 Changes in Fund Balances of Government Funds Last Ten Fiscal Years 184 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 REVENUES Taxes $ 19.248.298 $ 20.280.199 $ 21.066.589 $ 22 219.675 $ 23.762.468 $ 25.423.632 $ 26.572.963 $ 25.132.935 $ 24.259.262 $ 23.958.593 Licenses and Permits 459.064 709A98 720506 862913 1.138.578 1.043.642 1.160.778 1.037.771 1.174.918 1.165394 Intergovernmental 8,752214 5,387,636 10292514 11,907,911 4,665,774 10,574,163 10,004,467 8,846,813 8,126,087 8266451 Charges for services 2918,308 3,515,240 3,467,422 3,795,272 4,647,098 5,214,339 4,645238 5,005,728 5,188,790 5,648907 Fines and forfeits 838995 913A51 833.772 751536 721.703 868.427 1.022.563 1.689.080 1929.836 1581937 Miscellaneous 1.709.835 1.825.033 1.762.139 1.681959 2.634.054 3.101.742 3.107379 2497255 1.636.519 2962238 Total Revenues 33926.714 32.631.057 38.142942 41219266 37.569.675 46 225945 46513388 44 209.582 42315.412 43.583520 EXPENDITURES Current General Government 4.782.832 5349.189 5.446.515 5176259 5.097.706 5.628.413 6389555 6.830.197 6.793202 6.878.458 Public Safety 13,265,462 13,938,407 14,622,354 13,493,936 14,817,115 15,516,122 17,418,932 21,205,949 22222451 22369,568 Utilities and Environment 422.835 144.912 193.048 195.122 195A61 217.600 374.985 223.469 226975 219.431 Transportation 3,202307 3,573,204 3,715,299 3,350,876 2945,199 6295,350 7,652,880 7,401,334 3,372,750 3,010,848 Economic enviromnent 1.462.768 2394304 2239290 3.003305 2.576379 2.795953 2.521.648 3.142.196 1950.417 3269259 Mental/physical health 88332 117,001 180,743 185,612 68,131 71285 71,379 73,525 74922 75,126 Culture and recreation 2.424950 2.663.660 3.131.506 4.121.492 4327.569 4.873362 5313236 5357 250 4.548291 4.867.545 . Debt Service : Principal 454,517 1.040.000 714.000 737.500 1.060.863 1367.000 1,562A99 986.000 1.035.500 771.500 Interest and other debt issue costs 346220 491.778 1.099.157 1190262 1367.191 1.409.746 1363534 1.165.883 946A44 964.772 Capital 8319.672 4.004.749 16.622.050 17.842.919 4.022.693 10.722.720 8.090.180 4.515.778 4.874.658 9361248 Total Expenditures 34.769.895 33.717 204 47.963.962 49297 283 36.478307 48.897.551 50.758.828 50.901.581 46.045.610 51.787.755 Excess (deficiency) ofrevenues (843181) (1,086147) (9,821,020) (8,078,017) 1,091,368 (2,671,606) (4245,440) (6691999) (3,730198) (8204,235) over (under) expenditures OTHER FINANCING SOURCES (USES) Proceeds of Long Tern Debt - 13,352,815 10,865,000 800,000 1,671,000 - - - - 19,407267 Payrnents to Refunded Escrow Agent - - - - (1,661309) - - - - (10387,010) Fixed Assets Donations &Disposal 184,814 541,174 - 5,958 2,659,534 2,700,538 1,467967 428319 398,759 40,930 Insurance Recoveries - - - - - - - - 14.664 18.629 Transfers in 1.533.054 3.010.681 5.075.298 4.955.598 6377.743 9.768.469 8.957389 6.461.827 7.415.810 5.630.979 Transfers out (1209252) (1.802.882) (3753180) (5.705 285) (6.885.610) (10596.716) (9.445.689) (4.195.667) (3239.886) (2_020 2 14) Total other financing sources and uses 508.616 15.101.788 12.187.118 56271 2.161358 1872291 979.667 2.694.479 4.589347 12.690.581 OTHER CHANGES IN FUND BALANCE Change in Reserves for Inventory (29,525) (5390) (10023) (72486) (14148) 39932 (755) (1,507) - (10666) Net change in find balances (364,090) 14,010251 2356,075 (8,094,232) 3,238,578 (759383) (3266528) (3999,027) 859,149 4,475,680 Fund balances- beginning 6.586384 6222.294 20.232.545 22.588.620 14.494388 17.732.966 16.973.583 13.707.055 9.567302 IOA26,451 Prior Period Adjustments (140.726) 123.428 Fund balances- ending $ 6222 294 720 232545 $ 22.588.620 $ 14.494388 $ 17.732.966 $ 16.973.583 $ 13.707.055 $ 9.567302 $ 10.426.451 $ 15.025559 Debt service as apercentage of non - capital expendihues 3.03% 5.16% 5.79% 6.13% 748% 727% 6.86% 4.64% 4.81% 4.09% 184 Table 5 Assessed and Estimated Actual Value of Taxable Property Last Ten Fiscal Years Source: Kitsap County Assessor's Office 185 Assessed and Estimated Actual Value Percent Fiscal Increase Year Real Prop erfy Personal PropeM Total Decrease 2001 1,325,930,017 156,301,280 1,482,231,297 0.00 2002 1,358,494,142 150,607,757 1,509,101,899 1.81 2003 1,447,949,250 137,191,146 1,585,140,396 5.04 2004 1,588,499,381 125,299,389 1,713,798,770 8.12 2005 1,722,154,076 125,883,139 1,848,037,215 7.83 2006 2,089,518,973 133,373,551 2,222,892,524 20.28 2007 2,557,714,553 134,674,238 2,692,388,791 21.12 2008 2,974,663,326 140,113,102 3,114,776,428 15.69 2009 2,950,336,030 134,404,987 3,084,741,017 (0.96) 2010 2,738,164,824 161,319,684 2,899,484,508 (6.01) Source: Kitsap County Assessor's Office 185 Table 6 Property Tax Rates Direct and Overlapping Governments Last Ten Fiscal Years Direct Rates Overlapping Rates City Mileage Bremerton School District Fiscal Operating EMS Debt Service Total City Kitsap County State School Operating Debt Total Bremerton Port of Bremerton Public Utility Kitsap Regional Total Total Direct & Year Mileage Mileage Mileage Mileage Mileage Mileage Mileage Mileage School Mileage Mileage Debt Mileage Library Mileage Overlapping Rates Overlapping Rates 2001 3.29080 0.49490 0.15520 3.94090 1.51810 3.09510 3.05190 1.75650 4.80840 0.36970 0.11680 0.09750 0.50000 10.50560 14.44650 2002 3.30000 0.49620 0.15020 3.94640 1.66990 3.14750 3.08960 1.72630 4.81590 0.39060 0.11190 0.10640 0.48340 10.72560 14.67200 2003 3.20220 0.48150 0.75100 4.43470 1.60170 2.92670 320280 1.63560 4.83840 0.38470 0.10590 0.10180 0.46230 10.42150 14.85620 2004 3.02778 0.50000 0.62376 4.15154 1.41320 3.07972 3.07238 1.50870 4.58108 0.37595 0.09925 0.09978 0.45270 10.10168 14.25322 2005 2.85463 0.47265 0.49682 3.82410 1.30856 2.96103 2.91888 1.41966 4.33854 0.34628 0.08733 0.09221 0.41963 9.55357 13.37767 2006 2.46012 0.40695 0.47883 3.34590 1.13108 2.59911 2.54897 1.18100 3.72997 0.30368 0.07304 0.07970 0.36159 8.27816 11.62406 2007 2.10316 0.34805 0.39588 2.84710 0.96251 2.29576 2.40579 0.97236 3.37815 0.25940 0.50933 0.06782 0.30765 7.78062 10.62772 2008 1.90323 0.31487 0.29256 2.51065 0.87703 2.02829 222231 0.96519 3.18750 0.23606 0.45766 0.06180 028021 7.12855 9.63919 2009 1.96901 0.50000 0.29004 2.75905 0.90091 2.02559 2.43646 0.97730 3.41377 0.28150 0.01427 0.06348 028792 6.98743 9.74648 2010 2.16239 0.50000 0.30911 2.97151 0.98964 2.13360 2.78147 0.97671 3.75818 0.29218 0.03215 0.06847 0.32040 7.59463 10.56613 Source_ Kitsap County Assessors Office Table 7 Principal Property Taxpayers Current Year and Nine Years Ago 187 2010 2001 Percent Percent Assessed of Total Assessed of Total Name Type of Business Rank Valuation Assessed Value Rank Valuation Assessed Value Puget Sound Energy Utility 1 $ 32,103,305 1.1% 1 $ 36,906,886 2.5% East Park LLC Property Management 2 20,796,880 0.7% Kitsap Community Credit Union Finance 3 18,925,960 0.7% SHP II Bremerton LLC Property Management 4 11,968,680 0.4% L 198 1 Sinclair Ridge LLC Undeveloped Land 5 11,513,500 0.4% New Albertson Inc Business Services 6 11,295,780 0.4% Bremer Trust Misc Services 7 11,208,290 0.4% 3 8,201,000 0.6% Bremerton Residential Investments Business Services 8 10,609,630 0.4% ToyexpansionLLC Retail - Automotive 9 10,046,230 0.3% R & L Property Mgmt LLC Retail - Automotive 10 9,831,040 0.3% U. S. West Telephone Utility 2 25,397,583 1.7% Bay Point Retirement Community Retirement Apartments 4 7,451,057 0.5% Haselwood, Charles & Joanne Retailer, Land 5 7,042,900 0.5% Kitsap Physicians Services Medical 6 6,834,875 0.5% Merit Company Community Center 7 6,729,000 0.5% Erlands Associates LLC Apartments 8 6,688,000 0.5% Viewcrest Villages Residential Properties 9 6,683,000 0.5% Fir Lane Terrace Cone Ctr Community Center 10 6,231,000 0.4% Beta Ballard LLC Community Center 10 6,231,000 0.4% Total Taxable Assessed Value of 10 Largest Taxpayers 148,299,295 5.1% 124,396,301 8.4% Total Taxable Assessed Value of all Other Taxpayers 2,751,185,213 94.9% 1,357,834,996 91.6% Total Taxable Assessed Value of all Taxpayers $ 2,899,484,508 100% $ 1,482,231,297 100% Source Kitsap County Assessors Office 187 Table 8 Property Tax Levies and Collections Last Ten Fiscal Years (In Thousands) 188 Current % of Delinquent Total % of Total Outstanding % of Outstanding Fiscal Tax Tax Tax Levy Tax Tax Tax Collections Delinquent Delinquent Year Levy Collections Collected Collections Collections to Tax Levy Taxes to Tax Levy 2001 5,870 5,543 94.44 215 5,758 98.10 464 7.90 2002 5,952 5,667 95.21 223 5,890 98.97 448 7.52 2003 7,011 6,642 94.74 196 6,838 97.54 546 7.78 2004 7,105 6,784 95.48 195 6,979 98.23 523 7.36 2005 7,065 6,801 96.26 214 7,015 99.29 498 7.05 2006 7,431 7,188 96.73 308 7,496 100.87 631 8.49 2007 7,658 7,406 96.71 436 7,842 102.40 425 5.55 2008 7,816 7,498 95.93 190 7,688 98.36 506 6.47 2009 8,507 8,064 94.79 192 8,256 97.05 735 8.64 2010 8,613 8,209 95.31 411 8,620 100.08 669 7.77 188 Table 9 Ratio of Net General Bonded Debt To Assessed Value and Net Bonded Debt Per Capita Last Ten Fiscal Years * State of Washington Office of Financial Management ** Kitsap County Assessor 189 G.O. Less Debt % Net Bonded Fiscal Assessed Bonded Service Net Bonded Debt to Debt Per Year Population* Value ** Debt Fund Debt Assessed Value Capita 2001 37,260 1,482,231,297 10,930,000 311,654 10,618,346 0.72 285 2002 38,604 1,509,101,899 22,986,363 356,523 22,629,840 1.50 586 2003 38,730 1,585,140,396 26,962,502 375,436 26,587,066 1.68 686 2004 37,520 1,713,798,770 33,170,000 273,708 32,896,292 1.92 877 2005 34,580 1,848,037,215 31,875,139 401,164 31,473,975 1.70 910 2006 35,910 2,222,892,524 30,318,664 457,626 29,861,038 1.34 832 2007 35,810 2,692,388,791 28,619,400 573,654 28,045,746 1.04 783 2008 36,860 3,114,776,428 27,424,767 623,385 26,801,382 0.86 727 2009 36,620 3,084,741,017 26,847,185 313,948 26,533,237 0.86 725 2010 36,190 2,899,484,508 35,705,685 474,303 35,231,382 1.22 974 * State of Washington Office of Financial Management ** Kitsap County Assessor 189 Table 10 Computation of Direct and Overlapping Debt December 31, 2010 TOTAL 202,358,413 67,480,939 190 Gross General Percentage Amount Obligation Debt Applicable Applicable Jurisdiction Outstanding To Bremerton To Bremerton City of Bremerton 35,705,685 100.00 35,705,685 Kitsap County 125,153,300 9.46 11,839,502 Port of Bremerton 11,710,000 22.78 2,667,538 School District #100 22,967,273 75.01 17,227,751 School District #401 - Voted 3,030,000 1.01 30,603 So. Kitsap Schools - Voted 3,792,155 0.26 9,860 TOTAL 202,358,413 67,480,939 190 Table 11 Computation of Legal Debt Margin as of December 31, 2010 Total Taxable property Value 2,748,747,794 2.5% ($68,718,695) general purposes limit is allocated between: Up to 1.5% debt without a vote (councilmanic) 41,231,217 Less: outstanding debt 24,950,685 Less: contracts payable 3,069,314 Less: excess of debt with a vote Add: available assets 2,090,314 Equals: remaining debt capacity without a vote 15,301,532 1 % general purposes debt with a vote 27,487,478 Less: outstanding debt 10,755,000 Less: contracts payable Add: assets available 53,903 Equals: remaining debt capacity with a vote 16,786,381 2.5% utility purpose limit, voted 72,487,113 Less: outstanding debt Less: contracts payable Add: assets available Equals: remaining debt capacity - utility purpose, voted 72,487,113 2.5% open space, park and capital facilities , voted 72,487,113 Less: outstanding debt Less: contracts payable Add: assets available Equals remaing debt capacity - open space park and capital facilities, voted 72,487,113 191 Table 12 Ratio of Annual Debt Service Expenditures for General Bonded Debt to Total General Expenditures Last Ten Fiscal Years Includes general, special revenue and debt service funds; does not include Golf Course Bonds. *Includes $9,315,000 of refunded debt. 192 Ratio of Debt Total Total Service To General Fiscal Debt General Expenditures Year Principal Interest Service Expenditures Percent 2001 370,000 222,556 592,556 34,769,895 1.70 2002 865,000 201,052 1,066,052 35,808,218 2.98 2003 714,000 876,982 1,590,982 36,418,718 4.37 2004 697,500 1,017,920 1,715,420 35,762,460 4.80 2005 2,650,863 1,098,277 3,749,140 38,144,147 9.83 2006 1,231,475 1,145,958 2,377,433 46,186,270 5.15 2007 1,359,264 1,098,346 2,457,610 51,035,603 4.82 2008 839,633 997,368 1,837,001 50,836,047 3.61 2009 875,582 884,224 1,759,806 44,270,529 3.98 2010 10,086,500 1,146,254 11,232,754 55,266,312 20.32 Includes general, special revenue and debt service funds; does not include Golf Course Bonds. *Includes $9,315,000 of refunded debt. 192 Table 13 Water and Sewer Revenue Bond Coverage Last Ten Fiscal Years * Net of depreciation, amortization and City taxes Maintenance & Net Revenue Fiscal Gross Operating Available For Year Revenue Expenses* Debt Service 2001 15,698,664 8,562,359 7,136,305 2002 16,447,132 8,770,277 7,676,855 2003 16,600,789 9,000,574 7,600,215 2004 17,379,274 10,432,584 6,946,690 2005 19,516,612 11,751,679 7,764,933 2006 21,732,894 10,951,004 10,781,890 2007 23,009,152 11,486,862 11,522,290 2008 23,021,132 13,023,575 9,997,557 2009 22,697,794 13,160,506 9,537,288 2010 22,172,232 12,563,519 9,608,713 * Net of depreciation, amortization and City taxes 193 Current Current Coverage Principal Interest Total Ratio 1,830,000 878,300 2,708,300 2.63 2,025,000 735,200 2,760,200 2.78 2,145,000 657,620 2,802,620 2.71 2,270,000 533,720 2,803,720 2.48 2,390,000 413,410 2,803,410 2.77 2,555,659 305,144 2,860,803 3.77 2,815,000 242,816 3,057,816 3.77 305,000 223,202 528,202 18.93 320,000 210,148 530,148 17.99 330,000 196,452 526,452 18.25 193 Table 14 Demographic Statistics Last Ten Fiscal Years Fiscal Population * Personal ** Income School * ** # of * * ** Rate of * * * ** Year Number Income ($000) Per Capita Enrollment Housing Units Unemployment 2001 37,260 1,145,431 30,742 6,001 16,744 6.0 2002 38,604 1,219,605 31,593 5,894 16,576 6.1 2003 38,730 1,265,712 32,680 5,787 16,617 5.4 2004 37,520 1,299,639 34,639 5,703 16,615 5.9 2005 34,580 1,287,196 37,224 5,412 16,607 5.1 2006 35,910 1,382,427 38,497 5,209 16,615 4.7 2007 35,810 1,486,858 41,521 4,998 16,797 4.4 2008 36,860 1,574,351 42,712 5,061 17,171 4.4 2009 36,620 1,568,169 43,404 4,835 17,170 7.4 2010 36,190 -- -- 4,855 17,273 7.3 * State of Washington, Office of Financial Management * * U.S. Department of Commerce - Bureau of Economic Analysis (County data prorated based on local population) * ** State of Washington Office of Financial Management - Office of Superintendent of Public Instruction * * ** State of Washington, Office of Financial Management * * * ** State of Washington, Employment Security Department 194 v, Employer Naval Base Kitsap (Bremerton)* Puget Sound Naval Shipyard Harrison Medical Center Bremerton School District Olympic College City of Bremerton Kitsap Credit Union Kitsap Transit Haselwood Auto Group Group Health Co -Op Skookum Safe Boats International Naval Station Bremerton* Naval Supply Center* Naval Hospital* Belmont Terrace /Ridgemont Terrace Subtotal of Ten Largest Employers All Other Employers Total Bremerton Employment *Does not included active duty military * *Full and part-time employees are tracked Source: Kitsap Economic Development Alliance Table 15 Top Ten Principle Employers Current Year and Ten Years Ago Type of Business Govermnent Govermnent Healthcare Public Education Public Education Govermnent Banking Transportation Auto Sales Healthcare Government Contracting Manufacturing Govermnent Govermnent Healthcare Healthcare Total Employees ** Rank % of Total City Employment 14,900 1 40.01% 9,650 2 25.91% 2,697 3 7.24% 690 4 1.85% 370 5 0.99% 357 6 0.96% 309 7 0.83% 294 8 0.79% 294 8 0.79% 294 8 0.79% 289 9 0.78% 260 10 0.70% Total % of Total City Employees ** Rank Employment 2010 2001 7,711 1 39.45% 1,275 2 6.52% 752 4 3.85% 375 6 1.92% 320 8 1.64% 936 3 4.79% 619 5 3.17% 320 7 1.64% 188 9 0.96% 30,404 81.64% 12,496 63.93% 6,837 18.36% 7,050 36.07% 37,241 100.00% 19,546 100.00% Table 16 Miscellaneous Statistics DATE OF INCORPORATION October 14, 1901 I U]'I ►I Ell 1 0111191:WaU I OWN 1 Council - Mayor Type of Government Home -Rule Charter Demographics in 2012 Total Area for City of Bremerton Number of City Employees in 2012 Full -Time Equivalents Fire Protection Number of Personnel Number of Stations Fire and Aid Calls - 2011 Priority 1 Response Time (minutes) Police Protection Number of Police Officers Calls for Service - 2011 Average Priority 1 Response Time (minutes) Average Priority 2 Response Time (minutes) Parks & Recreation Number of Developed Parks Number of Park Acres Senior Centers Bremerton Family YMCA Community Pool - 7arstad Aquatic Center Golf - Gold Mountain Golf Complex Ice Arena - Bremerton Ice Arena Business Licenses Number of Business Licenses Issued - 2011 Number of Business Licenses Issued in City Limits 26.9 Square Miles 312.98 56 3 6,810 5:14 58 56,512 1:51 4:03 34 709.50 1 1 1 1 1 5726 2500 v p ` 196 Table 16 Continued Water Utilitv Services Residential Accounts 16,283 { Commercial Accounts 1,762 Storage Capacity (gallons) 33,240,000 Casad Dam Capacity (gallons) 1.4 bil Average Daily Demand (millions per gallon -MG) 7.1 Reservoirs 16 Watershed Land (square miles) 12.96 Sources: 5.0 Surface Supply (MG) 1,616.11 Ground Supply (MG) 867.27 Miles of Main 322 Bremerton supplies 3 billion gallons of water each year to 55,000 people, representing 36% of all the water supplied in Kitsap County. Bremerton regularly monitors the physical, chemical, and bacteriological characteristics to ensure that the drinking water is safe and water quality is the best possible. Sewer Utilitv Services Residential Sewer Accounts 9,549 Commercial Sewer Accounts 915 Miles of Main 141 Miles of Force Main 31 Sewage Pump Stations 39 Grinder Pump Stations 73 Westside Wastewater Treatment Plant: Average Annual Flow - MGD 5.0 Hydraulic Peak Capacity - MGD 32 Permitted Average 7.6 Eastside CSO Plant Peak Treatment Capacity - MGD 20 Bremerton's sewage system provides sewer service to approximately 37,000 people. The wastewater collection system serves City residents as well as nearby areas in unincorporated Kitsap County. Stormwater Utilitv Services Residential Accounts 9,841 Commercial Accounts 1,024 Miles of Mains 114 It is the mission of the Stormwater Program within the Department to control flooding, enhance water quality, protect sensitive habitat areas, and optimize the recharge of local aquifers. 197 Forestry Table 16 Continued City Streets 8,300 Street Miles 156 State Highway Miles 19 Miles of Sidewalks 115 Signalized Traffic Intersections 40 Street Lights: City Owned 371 Leased from Puget Sound Energy 1,699 Signs, Crosswalks & Lane Markings 7,700 Forestry Water and Utility Forest Lands (acres) 8,300 Miles of Forest Roads 50 Timber Harvested (board feet) 1.7 mil Biosolids applied (cubic yards) 2,750 Reforestation (seedlings planted) 18,000 Public Schools Bremerton is served primarily by Bremerton School District 9100. A small percentage of children attend Central Kitsap School District #401. Elementary 6 Middle School 1 Junior High 1 High School 1 Vocational School 1 Colleges Olympic College 1600 Chester Ave., Bremerton 360 792 -6050 1 800 259 -6718 Navy College Naval Kitsap Bremerton 2255 Cole Ave. Bldg. 853, Bremerton 360 476 -4282 Ext. 9176 Hospitals Harrison Medical Center 2520 Cherry Ave., Bremerton 360 377 -3911 Local Transportation Washington State Ferries Seattle Bremerton Route - Total Annual Rides (2011) Kitsap Transit (2011) Foot Ferry Annual Rides - Port Orchard & Annapolis Buses (County Wide) Annual Bus Rides & Worker Driver Kitsap Access Bus & Access Vanlink Sources: Washington State Ferries Kitsap Transit Naval Hospital Bremerton 1 Boone Road, Bremerton 1 800 422 -1383 2,361,563 454,649 2,914,402 302,500 198 Accounting System The set of records and procedures that are used to record, classify, and report informa- tion as to the financial status and operating conditions of an entity. Accrual Basis of Accounting Under this accounting method, transactions are recognized when they occur, regardless of the timing of related cash receipts and dis- bursements. Proprietary (enterprise and inter- nal service) and non - expendable trust funds use this basis of accounting. Actual Actual, as used in the fund summaries, reve- nue summaries and department and division summaries within the budget document, represents the actual financial results. This category is presented on a budgetary basis, and thus excludes full - accrual audit items such as depreciation and amortization. Ad Valorem Tax A tax based on the assessed value of a prop- erty. Adopted Budget Adopted, as used in the fund summaries and department and division summaries within the budget document, represents the final budget approved by the City Council. The adopted budget becomes effective January 1st. Subse- quent to adoption, Council may make changes throughout the year. Appropriation An authorization made by the City Council that permits officials to make expenditures or incur obligations against governmental re- sources. Appropriations are usually made for fixed amounts and are typically granted for a one year period. Multi -year appropriations can also be established for capital project and other special purpose funds. Multi -year ap- propriation authority remains in effect until the amount appropriated has been totally ex- pended or until the fund, program, or project is closed because its assigned purpose has been changed or accomplished. Assessed Valuation The assessed value (AV) set on taxable prop- erty as a basis for levying property taxes placed upon real and personal property by the Kitsap County Assessor. Assets Resources having a monetary value and that are owned or held by an entity. Audit An annual financial report prepared by an in- dependent auditor. A comprehensive audit document contains a summary statement of the scope of the audit, explanatory comments concerning any exceptions to generally ac- cepted auditing standards, explanatory com- ments concerning verification procedures, fi- nancial statements and schedules, statistical information, supplemental comments, and any finding or recommendations. 200 .A..S. The prescribed "Budgeting, Accounting and Reporting System" where compliance is re- quired for all governmental entities within the State of Washington. Balanced Budget Revenues (including Beginning Fund Bal- ance) equals or exceeds expenditures (including Ending fund Balance). Beginning Fund Balance The beginning fund balance is the residual fund balances representing unused funds brought forward from the previous financial year (ending fund balance). Bond A debt instrument with a written promise to pay a specified principal amount along with periodic interest at specific future dates. Bonds are typically used for financing of spe- cific capital expenditures. Budget A budget is a financial operational plan in- cluding an estimate of proposed expenditures and the means of financing them. Used with- out any modifier, the term usually indicates a financial plan for a certain period of time, typically one or two years. In practice, the term budget is used in two ways. Sometimes it designates the financial plan presented for adoption and other times it designates the plan finally approved. It is usually necessary to specify whether the budget under considera- tion is preliminary and proposed, or whether the appropriating body has approved it. Budget Amendment A change to a budget adopted in accordance with State law. A budget may be amended to increase expenditures /expenses at the fund level by ordinance without public notice or public hearing requirements, when unantici- pated revenues occur or emergencies exist (RCW 35A.33.080 and 35A.33.120). Also called Supplemental Appropriation. Budget Calendar A schedule of key dates or milestones that the City follows in preparation and adoption of the budget. Budget Document A written report showing a government's comprehensive financial plan for a specified period, typically one or two years, that in- cludes both capital and operations. Budget Message Written explanation of the budget as proposed by the Mayor including the City's financial priorities, policies, and target goals for the coming budget period. Budgetary Basis Budgets are adopted on a basis consistent with Generally Accepted Accounting Princi- ples (GAAP), with the exception that neither depreciation nor amortization is budgeted for proprietary funds and bond principal in the enterprise funds is subject to appropriation. Capital (Outlay /Asset) Expenditures made to acquire, reconstruct, or construct major fixed or capita assets. A r�s 201 fixed asset is a tangible object of a long -term character that will continue to be held or used such as land, buildings, machinery, furniture, and other equipment. A capital asset must exceed $5,000 in cost and have an expected live expectancy of 12 months. For purposes of this definition, a "fixed asset" includes a group of items purchased together that will be used for a "single purpose" that could not be used effectively by themselves. Capital Improvement Fund Account for the acquisition or construction of major capital facilities, with exception to those facilities financed by proprietary and trust funds. Capital Improvement Program (CIP) A plan for a capital expenditure to be incurred each year over a period of five or more future years setting forth each capital project, the amount to be expended in each year, and the method of facing those expenditures. Cash Management Management of cash necessary to pay for government services while investing tempo- rary cash excesses in order to earn investment income. Includes forecasting inflows and out- flows of cash, mobilizing cash to improve its availability for investment, establishing and maintaining banking relationships, and invest- ing funds in accordance with the City's in- vestment policy objectives. Charges for Service Includes a wide variety of fees charged for services provided to the public and other agencies. Comprehensive Plan An official statement of the goals, objectives and physical plan for the development of the City. Contains a narrative of goals, objectives and policies that describe the desired form, nature and rate of City development. Consumer Price Index A statistical description of price levels pro- vided by the U.S. Department of Labor. The index is used as a measure of the increase in the cost of living (i.e., economic inflation). Contingency A budgetary reserve set aside for emergencies or unforeseen expenditures not otherwise budgeted. Contingency may be appropriated for a specific purpose by the City Council upon the approval of a resolution. The City can separate contingencies into those that are designated for specific purposes and undesig- nated (also see Designated Contingency and Unappropriated Ending Fund Balance). Debt Service Principal and Interest on outstanding bonds due and payable during the fiscal year. Debt Service Fund Established to account for the accumulation of resources and for the payment of general obli- gation debt that have been approved by the voters. It would exclude Enterprise fund debt and contractual obligations accounted for in other individual funds. 202 Department An organizational unit usually within a fund, though in a broader sense, a department can encompass more than one fund. Departments can further be segregated into Divisions. Division A functional unit within a department consist- ing of one or more cost centers engaged in activities supporting the unit's mission and objectives. Depreciation Expiration in the service live of capital assets attributable to wear and tear, deterioration, action of physical elements, inadequacy or obsolescence. Designated Contingency Amounts set aside for anticipated non- recurring cash flow needs. Includes items such as moving and remodeling, major build- ing repairs, emergency management and capi- tal project or equipment purchases. Employee Benefits Contributions made by a government to meet commitments or obligations for employee - related expenses. Included is the govern- ment's share of costs for social security and the various pension, medical and life insur- ance plans. Encumbrance Amount of money committed and set aside, but not yet expended, for the purchases of goods or services. Ending Fund Balance The residual non - restricted funds that are spendable or available for appropriation after the end of the fiscal year, or during the fiscal year, if a state of emergency is declared by the Mayor. Enterprise Fund Established to account for operations, includ- ing debt service that are financed and oper- ated similarly to private businesses —where the intent is the service is self- sufficient, with all costs supported predominantly by user charges. Expenditures /Expenses The type of accounts that record transactions for the cost of goods received or services ren- dered whether cash payments have been made or not. These accounts are called expendi- tures on the modified accrual basis of ac- counting and expenses on the accrual basis. Fees Charges for specific Service in connection with providing a service, permitting and activ- ity or imposing a fine. Fiscal Management A government's directive with respect to revenues, spending, reserves and debt man- agement as these relate to governmental ser- vices, programs and capital investment. Fi- nancial policy provides an agreed upon set of principles for the planning and programming of governmental budgets and its funding. 203 Fiscal Year A twelve -month period designated as the op- erating year for accounting and budgeting purposes in an organization. The City of Bremerton's fiscal year is January 1 through December 31. Franchise Fee Charged to all utilities operating within the City and is a reimbursement to the General fund for the utility's use of City streets and right -of -ways. Full -Time Equivalent (FTE) An expression of staff in terms of full -time employment (40 hours per week). For exam- ple, a person who works 40 hours per week is described as 1 FTE and 20 hours per week as .50 FTE. Fund An independent fiscal and accounting entity with a self - balancing set of accounts re- cording cash and /or other resources together with all related liabilities, obligations, re- serves, and equities that are segregated for the purpose of carrying on specific activities or attaining certain objectives. Fund Balance The amount of an entity's assets above the amount of its liabilities. A negative fund bal- ance is sometimes called a deficit. An undes- ignated fund balance reflects historical re- ceipts less than historical expenditures in non- proprietary funds. When all designated and reserved resources are removed or deducted in arriving at the year -end undesignated fund balance, the remaining value is that available for budgetary appropriation. Also called End- ing Fund Balance. General Fund Accounts for all receipts and disbursement transactions associated with ordinary City op- erations not required to be accounted for in another fund. This fund is both tax and gen- eral revenue supported. Major revenue sources for the General Fund include prop- erty, sales, excise taxes, and miscellaneous permits and fees. General Long -term Debt Represents any unmatured debt not consid- ered to be a fund liability. General Obligation Bonds (G.O. Bonds) are secured by the full faith and credit of the issuer. G.O. bonds is- sued by local units of government are secured by a pledge of the issuer's property taxing power. Usually issued to pay for general capital improvements such as parks and City facilities. Governmental Funds Funds generally used to account for tax - supported activities. There are five different types of governmental funds: the general fund, special revenue funds, debt service funds, capital projects funds, and permanent funds. Grant A contribution by one government unit to an- other. The contribution is usually made to aid in the support of a specified function. 204 Infrastructure Public domain capital assets such as roads, bridges, streets, sidewalks and similar assets that are immovable. Indirect Charges Administrative and overhead costs that are incurred in one area, but charged to another. These charges are budgeted as interfund trans- fers. Interfund Transfers Appropriation category used in the City's budget resolution which includes amounts distributed from one fund to pay for services provided by another fund. Transfers from the other funds are appropriated as expenditures. Intergovernmental Revenues Levied by one government but shared on a predetermined basis with another government or class of governments. Interlocal Agreement A contract between two government entities whereby one government assumes the lead responsibility of a project that overlaps both jurisdictions. Internal Service Fund Account for the financing of goods and ser- vices provided by one department or agency to other departments or agencies of govern- ment, or to other governments, on a cost reim- bursement basis. Levy Gross amount of property taxes imposed on the assessed value of taxable property. The net amount received by a government will be less than the gross levy as a result of delin- quent or uncollectible payments or early pay- ment discounts. Budgets are developed on the basis of the projected amount of property taxes receivable. Line Item Budget References the individual account lines of budget, where proposed appropriations are based on individual objects of expense within a department or program. Local Improvement District Consists of a group property owners desiring improvements to their property. Bonds can be issued to finance these improvements, which are repaid by assessments on their property. Local Improvement District debt is paid for by a compulsory levy (special assessment) made against affected properties to spread out the cost of a specific capital improvement or service deemed to benefit primarily those properties. Modified Accrual Basis The modified accrual basis of accounting is used in governmental funds (general, special revenue, debt service, and capital project funds), expendable trust, and agency funds. Under it, revenues and other financial re- source increments are recognized when they become both measurable and available to fi- nance expenditures of the current period. Ex- penditures are generally recognized when they are incurred. The City budgets all funds on a modified accrual basis. 205 Object As used in expenditure classification, this term applies to the type of item purchased or the service obtained (as distinguished from the results obtained from expenditures). Ex- amples include personnel services, contractual services, and materials and supplies. Operating Budget The operating budget is the primary means by which most of the acquisition, spending, and service delivery activities of a government are controlled. Law requires the use of annual operating budgets. Operating Transfer Routine or recurring transfers of assets be- tween funds that support the normal opera- tions of the recipient fund. Ordinance A formal legislative enactment by the govern- ing body of a municipality. If it is not in con- flict with any higher form of law, such as a state statue or a constitutional provision, it represents the full force and effect of the law within the boundaries of the municipality to which it applies. Outstanding Debt The balance due at any given time resulting from the borrowing of money or from the pur- chase of goods and services. Personnel Benefits Employer contributions paid by the City as part of the conditions of employment. Exam- ples include health /dental/vision insurance, state public employee's retirement system, and employment security. Property Tax Based off of the assessed value of property times the permanent tax rate and are used as the source of monies to pay general obligation debt and core city services. Proposed Budget Combines the operating, non - operating and reserve estimated prepared by the Mayor, then presented to the community and the Budget Committee for their review, approval, and recommendation to City Council. Resource Total dollars available for appropriations in- cluding estimated revenues, fund transfers, and beginning fund balances. Revenue Income received by the City in support of a program of services to the community. It in- cludes such items as property taxes, fees, user charges, grants, fines and forfeitures, interest income, and miscellaneous revenue. Revenue Bonds Bonds payable from a pledged source of reve- nue such as water revenues, which does not also pledge the taxing authority of the City. Pledged revenues may be derived from opera- tion of the financed projects, grants, utility revenues, or other specified revenue streams. Services and Charges An expenditure classification that includes 206 professional services, communication, travel, advertising, rentals, leases, insurance, public utility services, and repairs and maintenance. Special Assessment Bond A bond issue payable from the payments on special assessments imposed against proper- ties that have been specially benefited by the construction of public improvements such as sidewalks, streets, or sewer systems. Special Revenue Funds Accounts for the proceeds of revenue sources (other than special assessment, expendable trusts or major capital projects) that are le- gally restricted to expenditures for specified purposes. Supplemental Appropriation An appropriation approved by Council after the initial budget is adopted. Supplies An expenditure classification for articles and commodities purchased for consumption or resale. Examples include office and operating supplies, fuel, power, water, gas, inventory, resale items, small tools and equipment. Taxes Compulsory charges levied by taxing districts for the purpose of financing services per- formed for the common benefit. This term does not include specific charges made against particular persons or property for cur- rent or permanent benefits such as special as- sessments. Neither does the term include charges for services rendered only to those paying such charges, such as water service. Tax Levy The total amount of property taxes needed to pay for basic government operations as well as sufficient amounts to pay for principal and interest on voter - approved bond issues. Tax Rate The amount of tax levied for each $1,000 of assessed valuation as determined by the Kit - sap County Assessor's office. Taxes Compulsory charges levied by a government for the purpose of financing services per- formed for the common benefit. Trust Funds Established to administer resources received and held by the City as the trustee or agent for others. Uses of these funds facilitate the dis- charge of responsibility placed upon the City by virtue of law or other similar authority. Unappropriated Ending Fund Balance Represents the portion of the ending fund bal- ance that is not appropriated to be spent in the current year. It must be segregated for future use and is not available for current appropria- tion or expenditure, except in the event when the Mayor declares an emergency. User Fees Charges for services to the specific entity who directly benefits. Often referred to as Charges for Service. 207 BARS Budget Accounting and Reporting System BKAT Bremerton Kitsap Access Television BMC Bremerton Municipal Code BPOG Bremerton Police Officers Guild CAC Citizens Advisory Committee CDBG Community Development Block Grant CENCOM Central Communications COBRA Consolidated Omnibus Budget Reconciliation Act COLA Cost of Living Adjustment CPI Consumer Price Index CSO Combined Sewer Overflow DCD Department of Community Development DEA Drug Enforcement Agency DOE Department of Ecology DOH Department of Health EMS Emergency Medical Services EMT Emergency Medical Technicians EPA Environmental Protection Agency ERR Equipment Rental Reserve FMLA Family and Medical Leave Act GAAFR Governmental Accounting, Auditing & Financial Reporting GAAP Generally Accepted Accounting Principles GASB Government Accounting Standards Board GIS Geographic Information Systems GMA Growth Management Act HUD Housing and Urban Development IAFF International Association of Fire Fighters ILEADS Intergraph Law Enforcement Automated Data Systems IT Information Technology KPS Kitsap Physicians Service LEOFF Law Enforcement Officers and Fire Fighters LID Low Impact Development 208 MGD Million Gallons per Day MIR Medical Incident Report MRSC Municipal Research Service Center NCIS Naval Criminal Investigative Service PERS Public Employees Retirement System PILOT Payments In Lieu of Taxes PSNS Puget Sound Naval Shipyard RCW Revised Code of Washington REET Real Estate Excise Tax RMAP Road Maintenance and Abandonment Plan SCADA Supervisory Control and Data Acquisition SCBA Self Contained Breathing Apparatus SOG Special Operations Group SSTA Streamline Sales Tax Act TIP Transportation Improvement Plan UGA Urban Growth Areas WAC Washington Administrative Code WESTNET West Sound Narcotics Enforcement Team WWTP Wastewater Treatment Plan 209 210 ORDINANCE NO. — 5 /68 AN ORDINANCE of the City Council of the City of Bremerton, Washington, establishing the amount to be collected in 2012 by taxation on the assessed valuation of taxable property within the City limits of Bremerton and setting the property levy rate WHEREAS, the City Council attest that the population of the City of Bremerton for 2012 is 38,790, and WHEREAS, the City Council has properly given notice of the public hearing held on November 16, 2011, to consider the City's revenue sources for the City's General Fund budget, and - WHEREAS, the city's actual levy amount from the previous year, including any refunds and abatements levied was $6,403,390, and WHEREAS, the city's actual EMS levy amount from the previous year, including any refunds and abatements levied was $1,374,373, and WHEREAS, the City Council, after hearing and duly considering all relevant evidence and testimony presented, has determined that the City of Bremerton requires a regular levy and EMS levy in the maximum amounts allowable, which includes an increase in property tax revenue from the previous year, and amounts resulting from the addition of new construction and improvements to property and any increase in the value of state - assessed property and all allowable levies, and amounts authorized by law as a result of any annexations that have occurred and refunds made, in order to discharge the expected expenses and obligations of the City and in its best interest, NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF BREMERTON, WASHINGTON, DOES HEREBY ORDAIN AS FOLLOWS SECTION 1. That an increase in the regular property tax levy is hereby authorized for the 2012 levy in the amount of $63,747, which is a percentage increase of one percent (1 0 %) from the previous year's actual levy exclusive of refunds collected in 2011 This increase is exclusive of additional revenue resulting from the addition of new construction and improvements to property and any increase in the value of state assessed property, and any additional amounts resulting from any annexations that have occurred and abatements and refunds made SECTION 2. That an increase in the EMS property tax levy is hereby authorized for the 2012 levy in the amount of $13,743, which is a percentage increase of one percent (1 0 %) from the previous year's actual levy exclusive of refunds collected in 2011 and will be subject to levy rate limitations resulting from decreases in assessed valuation This increase is exclusive of additional revenue resulting from the addition of new construction and 2012 Property Tax 211 improvements to property and any increase in the value of state assessed property, and any additional amounts resulting from any annexations that have occurred and abatements and refunds made SECTION 3. That a property tax levy for debt redemption of the 2002 Public Safety UTGO Bonds, as previously authorized by the voters, is hereby authorized to levy property taxes to be collected in 2012 at a rate sufficient to provide $361,000 needed to meet debt service obligations in 2012 SECTION 4. That a property tax levy for debt redemption of the 2010 Public Safety UTGO Refunding Bonds, as previously authorized by the voters, is hereby authorized to levy property taxes to be collected in 2012 at a rate sufficient to provide $418,842 needed to meet debt service obligations in 2012 SECTION S. Severability If any one or more sections, subsections, or sentences of this Ordinance are held to be unconstitutional or invalid, such decision shall not affect the validity of the remaining portion of this Ordinance and the same shall remain in full force and effect SECTION 6. ff ective Date This ordinance shall take effect and be in force ten (10) days from and after its passage, approval and publication as provided by law PASSED by the City Council the V � t day of 1 a m b o , 2011 ILL MAUPIN, Council President Approved this day of Ajldye4e w be " , 2011 D" — PATTY LEr, ayor ATTEST S ANNON CORK Interim City Clerk APPROVED AS TO FORM PUBLISHED the lid day of �` �bu' , 2011 EFFECTIVE the day of G , 2011 ORDINANCE NO 2012 Property Tax 212 AFFIDAVIT OF PUBLICATION Account #74559 AD #278435 STATE OF WASHINGTON COUNTY OF KITSAP I, Jessica Zuehl - Miller, being first duly sworn on oath, deposes and says That she is now, and at all times embraced in the publication herem mentioned was the principal clerk of the printers and publishers of KITSAP SUN, that said newspaper has been approved as a legal newspaper by order of the Superior Court of the County of Kitsap, in which County it is published and is now and has been for more than six months prior to the date of the publication hereinafter referred to, published in the English language continually as a daily newspaper in Bremerton, Kitsap County, Washington, a weekly newspaper in Kitsap County, Washington and is now and during all of said time, was printed in an office maintained in the aforesaid place of publication of said newspaper, that the following is a true text of an advertisement as it was published in regular issues (and not in supplement form) of said newspaper on the following date, to wit And on November 22, 2011 such newspaper was regularly distributed to its subscribers during all of said period The full amount of the fee charged for the foregoing publication is the sum of $59 88 This amount has not been paid in full (Signature of Principal Clerk) Subscribed and sworn to before me this day of December 28, 2011 CASSANDRA A CAPAS Notary Public Notary Public in and for the State of Washington, Kitsap County State of Washington My Commission Expires February 04, 2014 ORDINANCE NO 5168 AN ORDINANCE of the City Council of the City of Bremerton, Washington, establishing the amount to be collected in 2012 by taxation on the assessed valuation of taxable property within the City limits of Bremerton and setting the property levy rate PASSED by the City Council on the 16th day of November, 2011 The full text of this ordinance is available from the City Clerk's Office, 345 Sixth Street, Suite 600, Bremerton, WA 98337 November 22, 2011 AD #20119904 213 ORDINANCE ` AN ORDINANCE of the City Council of the City of Bremerton, Washington, amending Section 3. .020 of the 3.82.020 of the in a commercial THE CITY COUNCIL NCIL OF''THE CITY OF BREMERTON, WASHINGTON, DOES HEREBY ORDAIN AS FOLLOWS: SECTION 1# 'Section 3.82.020 of the Bremerton Municipal Code entitled "'Fax force ten Commercial Parking Tax 214 ATTEs APPROVED AS To FORM: C ommercial Prying T 215 J2: \I,ega]\Leg�tl\Ordiii nces\Finaiice \C ominerci t Parking'f ax BMCt :3.81020.do ORDINANCE NO. 517 AN ORDINANCE of the City Council of the City of Bremerton, Washington, amending Chapter 3.50 of the Bremerton Municipal Code relating to the utility taxes for water, wastewater, and stormwater utilities. WHEREAS, current economic conditions have resulted in significantly reduced revenue to the City's general fund; and WHEREAS, without additional revenue the City would have to reduce essential services below acceptable levels possibly resulting in the loss of outside revenue; and WHEREAS, the City Council desires adequate funding for the City's essential services; and WHEREAS, it is the intent of the City Council that as economic conditions improve and or the City identifies alternative revenue sources the additional utility taxes provided in this ordinance are to be reduced and or eliminated; NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF BREMERTON, WASHINGTON, DOES HEREBY ORDAIN AS FOLLOWS: SECTION I. Section 3.50.050 of the Bremerton Municipal Code entitled "Persons Subject to Tax — Amount" relating to utility taxes is hereby amended to read as follows: 3.50.050 PERSONS SUBJECT TO TAX — AMOUNT. In addition to other taxes or fees that may be imposed or levied by the City, there is hereby levied upon all persons (including the City) engaging in business within the City, a fee or tax to be collected as follows: (a) Gas. Upon every person engaging in the business of transmitting, distributing or the selling of manufactured or natural gas, a fee or tax equal to six (6) percent of the total gross income from such business conducted within the City. (b) Water. Upon every person engaging in the business of providing water utility service, a fee or tax equal to nine and one -half (9.5) percent of the total gross income from such business conducted within the City. The total gross incorne from the business of providing water utility service includes the "gross income frorn timber sales" of the utility as that terra is defined in this chapter. (c) Wastewater. Upon every person engaging in the business of providing wastewater utility service, a fee or tax equal to nine and en& "a'Ffourteen (� -5I4) percent of the total gross income from such business conducted within the City. (d) Stormwater. Upon every person engaging in the business of providing stormwater• utility service, a fee or tax equal to aine and e4+agfourteen (97514) percent of the total gross income from such business conducted within the City. 2012 Utility Taxes 216 (e) Cable. Upon every person engaging in the business of transmitting television signals by means of a cable distribution system commonly known as television cable service, a fee or tax equal to seven (7) percent of the total gross income from such business conducted within the City. (f) Solid Waste. Upon every person engaging in the business of providing solid waste collection service, a fee or tax equal to nine and one -half (9.5) percent of the total gross income from such business conducted within the City. (g) Electricity. Upon every person engaging in the business of producing, transmitting, distributing or selling electricity, a fee or tax equal to six (6) percent of the total gross income frorn such business conducted within the City. (h) Telephone. Upon every person engaged in carrying on a telephone business for hire or for sale of a commodity or a service within or partly within the corporate limits of the City, a tax for the privilege of so doing business equal to six (6) percent of the total gross income rendered within the City. (1) Deductions. In computing the telephone tax, there shall be deducted from the gross operating revenues the following items: (i) Amounts derived from transactions in interstate or foreign commerce or from any business which the City is prohibited from taxing under the Constitutions of the United States or the State of Washington. (ii) Amounts derived from that portion of network telephone service, as defined in RCW 82.04.065, which represents charges to another telecommunications company, as defined in RCW 80.04,010, for connecting fees, switching charges or carrier access charges relating to intrastate toll telephone services, or for access to, or charges for, interstate services or charges for network telephone service that is purchased for the purpose of resale. (iii) Adjustments made to a billing or to a customer account or to a telecommunications company accrual account in order to reverse a billing or charge that had been made as a result of third -party fraud or other crime and was not properly a debt of a customer. (iv) A complete deduction from gross income shall be allowed for credit losses, only to cellular telephone service companies which keep their regular books of account on an accrual basis, for cash discounts and credit losses actually sustained by a taxpayer as a result of telephone service business. (2) Allocation of Income — Cellular Telephone Service. G) Service Address. Payments by a customer for the telephone service from telephones without a fixed location shall be allocated among taxing jurisdictions to the location of the custorner's principal service address during the period for which the tax applies. (ii) Roaming Phones. When the service is provided while a subscriber is roaming outside the subscriber's normal cellular network area, the gross income shall be assigned consistent with the taxpayer's accounting system to the location of the originating cell site of the call, or to the location of the main cellular switching office that switched the call. (i) Additional payment in lieu of tax,fee. In addition to the fees of nine and One hal (9.5) peize set forth above in subsection (b) for water, subsection (c) for wastewater and subsection (d) for stormwater, there shall be effective January 1, 2010 -2012 an additional payment in lieu of tax fee of six percent (6 %) for water, six percent (6 %) for wastewater and six percent (6 %) for stormwater. 2012 Utility Taxes 217 The amendments set forth in this SF,CTION 4: ; et ve Date. This ordinance Shall tale effect and be in force ten (10) days from and after its passage; approval and publication as provided by law. PASSED by the City Council the clay of $ 2011 ATTEST: A .,j SHANNON CORI , Interim City Clerk WILL MALfPIN, ott l resident � ti"ER A,LC BOVICH, City Attorne 2812 Utility Taxes 218 R:\ Legal\ Legal \ordinances \F inaneet20l2 Utility `raxes 13MC 3.50,050Aoc ORDINANCE NO. - 51 - 7 - 1 - AN ORDINANCE of the City Council of the City of Bremerton, Washington, amending rates and fees established in Ordinance No. 5132 regarding rates and fees relating to the Department of Public Works and Utilities for water, wastewater, stormwater and other related services WHEREAS, the City Council desires to amend the rates and fees established in Ordinance No 5132 by this ordinance, NOW THEREFORE THE CITY COUNCIL OF THE CITY OF BREMERTON, WASHINGTON, DOES HEREBY ORDAIN AS FOLLOWS. SECTION 1. Rate Tables established. Rates and fees for services relating to the Department of Public Works and Utilities for water, wastewater, stormwater and other related services, as established in Ordinance No 5132, are hereby amended and reestablished as set forth in the rates tables attached hereto as Exhibit A, incorporated herein by reference SECTION 2. Rate Tables — Effective date The rate tables as amended and set forth in Exhibit A shall be effective January 1, 2012 SECTION 3. SeverabiltU If any one or more sections, subsections, or sentences of this ordinance are held to be unconstitutional or invalid, such decision shall not affect the validity of the remaining portion of this ordinance and the same shall remain in full force and effect SECTION 4. Effective Date This ordinance shall take effect and be in force ten (10) days from and after its passage, approval and publication as provided by law PASSED by the City Council of the City of Bremerton, Washington this 7 day of .pc2N'!, -W , 2011 WILL MAUPIT4, Co it President Approved this th day of 2011. �Z� a PATTY LE yor 2012 Utilities Rates and Fees 219 APPROVED AS TO FORM RO ER A LUBOV ity Attorney ATTEST as Shannon L Corm, Interim City Clerk PUBLISHED the ��, day of &MOW , 2011 EFFECTIVE the y of f Cd4"bet" , 2011 ORDINANCE NO. 517a R \L.egal\Legal\OrdmancesTublic Works & Utilities\2012 Rate Ordmance\2012 Utilities Fees ord doc 2012 Utilities Rates and Fees 220 Exhibit A ASSESSMENTS, RATES, FEES, AND CHARGES EFFECTIVE JANUARY 1, 2012 Within City Limits GENERAL FACILITY CHARGES Water (per Meter Size) 5/8" x 3/4" 1 " 1 1/2" 2 " Greater than 2" Wastewater (per ERU) Stormwater (per ISU) CONNECTIONANSPECTION FEES Water Connection Fees 5/8" x 3/4" V 1 1/2" 2 " Greater than 2" Field Inspection Fees Water main extensions (per foot) but not less than Pump Station Miscellaneous (per hour) Wastewater Connection Fees Lateral Connection at P/L Lateral Connection at Main Conveyance Facility Ext (Per Foot) but not less than Pump Station Miscellaneous (per hour) $ 2,51100 $ 6,27600 $ 12,554 00 $ 20,084 00 Calculated based on usage $ 3,80100 $ 1,01900 Outside City Linuts $ 2,51100 $ 6,27600 $ 12,554 00 $ 20,084 00 Calculated based on usage $ 3,80100 N/A $ 2,05500 $ 3,08250 $ 2,22100 $ 3,33150 $ 4,35700 $ 6,53550 $ 4,53600 $ 6,80400 Actual Time & Materials 150% of Actual Time & Materials $ 129 $ 194 $ 47700 $ 71550 $ 62900 $ 94350 $ 5300 $ 7950 $ 5200 $ 6000 $ 30800 $ 35400 $ 170 $ 196 $ 37100 $ 42700 $ 61700 $ 71000 $ 5200 $ 6000 221 222 Within Outside City Limits City Limits RETAIL WATER SERVICE RATES General Service - Monthly Service Charge Meter Size 5/8 x 3/4 inches $ 1074 $ 1138 $ 16T1 $ 1707 1 inch $ 12 27 $ 1301 $ 18 41 $ 1952 1 1/2 inch $ 17 44 $ 1849 $ 26-16 $ 2774 2 inch $ 23-43 $ 2484 $ 35 i- $ 3726 3 inch $ 44 43 $ 4712 $ 6669 $ 7068 4 inch $ 8262 $ 8758 $ 1239-3 $ 13137 6 inch $ 293a6 $ 31139 $ -- 449-64 $ 46709 8 inch $ 1,07304 $ 1,13742 $-- 1,609 -56 $ 1,706 13 10 inch $ 3,92704 $ 4,05666 $-3 740-56 $ 6,08499 12 inch $-- 14,38710 $ 15,250 33 $ ^'�61 $ 22,875 50 Residential Commodity Charge (per HCF) 0 - 10 HCF/Month $ 1-16 $ 123 $ t 74 $ 185 Over 10 HCF/Month $ 1-31 $ 139 $ t 9-7 $ 209 Non - Residential Commodity Charge (per HCF) $ -1 26 $ 134 $ 1-89 $ 201 Fire Protection - Monthly Service Charge Service Size 1 inch $ 18 29 $ 1939 $ 2744 $ 2909 1 1/2 inch $ 2753 $ 29 18 $ 41 39 $ 4377 2 inch $ 3379 $ 3794 $ 53 69L $ 5691 3 inch $ 39 44 $ 4181 $ 39-16 $ 6272 4 inch $ 4299 $ 4557 $ --6449 $ 6836 6 inch $ 5365 $ 5687 $---80 49 $ 8531 8 inch $ 71 42 $ 7571 $ 1071-3 $ 11357 10 inch $ 9996 $ 10596 $ 1 $ 15894 12 inch $ 14290 $ 15137 $ 21429 $ 22706 Commodity Charge (per HCF) $ 253 $ 268 $ 380 $ 402 - For Usage Other Than Firefighting Low- Income Senior and Low- Income Disabled Citizen - Monthly Service Charge Base Charge (per account) $ -19-74 $ 1138 $ 16 14- $ 1707 Commodity Charge 0 - 5 HCF/Month No Charge No Charge 5 - 10 HCF/Month $ 1 16 $ 123 $ i74 $ 185 Over 10 HCF/Month $ t-31 $ 139 $ 1 9:7 $ 209 Temporary/Construction Meter V Meter Deposit $ 30000 $ 30000 Base Fee (per month) $ 1227 $ 1841 Set Up Fee $ 11200 $ 11200 Hydrant meter (3" Meter) Deposit $ 2,00000 $ 2,00000 Base Fee (per month) $ 4445 $ 6668 Set Up Fee $ 11200 $ 11200 Equipment Loss/Damage Actual Time & Materials 150% of Actual Time & Materials Commodity Charge (per HCF) $ 1-26 $ 134 $ i 84 $ 201 222 Within Outside City Limits City Limits RETAIL WATER SERVICE RATES (cont'd) City Parks and Recreation Dept - Irrigation Commodity Charge (per HCF) $ 063 $ 067 Gold Mountain Golf Course Complex - Irrigation Commodity Charge (per HCF) 090 223 RETAIL WASTEWATER SERVICE RATES Monthly Service Charge Single Family Base Charge (per account) Commodity Charge (per HCF) Duplex on 1 Meter or 2 Bldgs on 1 Meter Base Charge (per unit) Commodity Charge (per HCF) Multi - Family Base Charge (per unit) Commodity Charge (per HCF) Low- Income Senior and L.ow- Income Disabled Citizen Base Charge (per account) Commodity Charge (per HCF) 0 - 5 HCF/Month Over 5 HCF/Month Commercial I Base Charge (per account) Commodity Charge (per HCF) Commercial II Base Charge (per account) Commodity Charge (per HCF) Commercial III Base Charge (per account) Commodity Charge (per HCF) Beverage Production Base Charge (per account) Commodity Charge (per HCF) Commercial Fountains - Separately Metered Base Charge (per account) Commodity Charge (per HCF) Septage Disposal (per gallon of tank capacity) L.eachate Per Gallon of Tank Capacity Individual Residential Grinder Pumps Grinder Pump Surcharge Low- Income Senior and Low- Income Disabled Grinder Pump Surcharge Within City Limits $ 3126 $ 419 $ 2476 $ 419 $ 2476 $ 419 $ 1939 No charge $ 419 $ 4621 $ 432 $ 4701 $ 676 $ 4655 $ 553 $ 4701 $ 439 $ 4621 $ 143 $ 023 $ Oil $ 1000 $ 750 224 Outside City Limits $ 3595 $ 482 $ 2847 $ 482 $ 2847 $ 482 $ 2230 No charge $ 482 $ 53 14 $ 497 $ 5406 $ 777 $ 5353 $ 636 $ 5406 $ 505 $ 53 14 $ 164 $ 023 $ Oil $ 1250 $ 1000 225 Within Outside City Limits City Limits RETAIL STORMWATER RATES Monthly Service Charge Residential I (Single Family/Duplex) Base Charge (per account) $ 867 N/A Exception Duplex with 2 Meters (per account) $ 437 N/A Residential II Base Charge (per ISU) + 50% of the Base Charge $ 1301 N/A Residential III Base Charge (per ISU) + 100% of the Base Charge $ 1734 N/A Commercial I Base Charge (per ISU) $ 867 N/A Commercial II Base Charge (per ISU) + 50% of the Base Charge $ 1301 N/A Commercial III Base Charge (per ISU) + 100% of the Base Charge $ 1734 N/A Public School Districts (per account) $ 867 N/A Low- Income Senior and Low- Income Disabled Citizen Base Charge (per account) $ 529 N/A Multi - Family & Commercial Rate Adjustment Water Quality (per ISU) $ 096 N/A Water Quantity (per ISU) $ 290 N/A Stormwater Penalty New Multi - Family & Commercial development without on -site detention Charge (per ISU) $ 193 N/A 225 Within City Limits MISCELLANEO FEES AND CHARGES Outside City Lirmts Park Reservation Fee $ 5000 $ 5000 (non - refundable) $ 9,57400 $ 14,361 00 Office Services Actual Time & Materials 150% of Actual Time & Materials Water Meter Reinstallation New Account (includes water turn-on) $ 2000 $ 2000 Account Maintenance $ 500 $ 500 Past Due Notice $ 250 $ 250 Lien Recovery Charge $ 10000 $ 10000 Close Account/Meter Read/Water Service Turn- off $ 2000 $ 2000 Field Services Pavement Restoration Charge (refundable, if assessed and not required) Asphalt Patch $ 69400 $ 1,04100 Concrete Patch $ 1,24800 $ 1,87200 Asphalt Trench $ 1,58200 $ 2,37300 Concrete Trench $ 1,59800 $ 2,39700 County Road Permit N/A Cost Wet Tapping (Water Main Only)* 3" to 10" - excluding excavation & backfill $ 2,86000 $ 4,29000 4" x 12" - excluding excavation & backfill $ 3,17900 $ 4,76850 6" x 12" - excluding excavation & backfill $ 3,58400 $ 5,37600 8" x 12" - excluding excavation & backfill $ 4,24700 $ 6,37050 12" x 12" - excluding excavation & backfill $ 5,48400 $ 8,22600 3" to 10" - service to property line $ 7,05100 $ 10,576 50 4" x 12" - service to property line $ 6,95200 $ 10,428 00 6" x 12" - service to property line $ 7,43000 $ 11,145 00 8" x 12" - service to property line $ 8,22200 $ 12,333 00 12" x 12" - service to property line $ 10,048 00 $ 15,072 00 Greater than -" 8" 12" Actual Time & Materials 150% of Actual Time & Materials Fire Hydrant Installation* 8" x 6" and smaller - service to property line $ 8,62900 $ 12,943 50 6 "x 10" and 6 "x 12" - service to property line $ 9,57400 $ 14,361 00 Greater than 9" x 6" 6" x 12" Actual Time & Materials 150% of Actual Time & Materials Water Meter Reinstallation 3/4" & 1" $ 8000 $ 8000 1 -1/2" & 2" $ 13200 $ 13200 3" and greater Actual Time & Materials Actual Time & Materials Water Meter Reactivation $ 5000 $ 5000 Water Meter Tampering Tampering Removal $ 25000 $ 25000 Tampering Reinstallation Actual Time & Materials Actual Time & Materials Cross - Connection Control Inspection $ 5600 $ 5600 226 MISCELLANEOUS (cont'd) Fire Service - Detector, Meter & MXU Storz Adapter Water Service Turn- off/Turn-on (Customer Request) Regular Hours After Hours Delinquency Notice Water Service Turn- off/Turn-on (Delinquent Accounts) Regular Hours After Hours Flow and Pressure Test (Uncertified) 3/4" & 1" meters only 1 -1/2" & 2" meters only Larger than 2" Utility Plant Locates Regular Hours After Hours Emergency Meter Test Fee (based on meter size) 3/4" & 1" 1 -1/2" & 2" 3" or greater Engineering Services ** Plan Check Fees Main Extensions per foot BUT not less than (Includes hydrants and appurtenances and connection to water system) Pump Stations Firelme Extension Irrigation Systems System Connections Miscellaneous (per hour) Within City Limits $ 43600 $ 30400 Outside City Linuts $ 43600 $ 30400 $ 2000 $ 2000 $ 17500 $ 17500 $ 1000 $ 1000 $ 5000 $ 5000 $ 17500 $ 17500 $ 5600 $ 10200 Actual Time & Materials $ 5600 $ 10200 Actual Time & Materials N/C $ 19100 N/C $ 13200 $ 18200 Actual Time & Materials $ 029 $ 24400 $ 61300 $ 9800 $ 9800 $ 9800 $ 5200 N/C $ 19100 N/C $ 13200 $ 18200 Actual Time & Materials $ 044 $ 36600 $ 92000 $ 14700 $ 14700 $ 14700 $ 7800 227 Within Outside City Limits City Limits MISCELLANEOUS (cont'd) Storm Drainage Plan Review Fees * ** Preliminary Drainage Plans Residential Development $ 37900 N/A Non - Residential Development $ 26200 N/A Plus per ISU $ 1141 Final Detailed Drainage Plans Residential Development (per lot) 0 - 20 Lots $ 4107 N/A 21 - 50 Lots $ 2967 N/A 51 - 100 Lots $ 2625 N/A 100+ Lots $ 2282 N/A Minimum Charge $ 29100 N/A Non - Residential Development per ISU $ 2282 N/A Minimum Charge $ 34900 N/A Resubmittal Fees First Resubmittal No Charge N/A Subsequent Resubmittal $ 29100 N/A Storm Drainage Inspection Fees * ** Residential Development (per lot) $ 17 12 N/A Non - Residential Development (per ISU) $ 17 12 N/A Minimum Charge $ 17500 N/A Conveyance Facility Extensions (per foot) $ 091 N/A Minimum Charge $ 34900 N/A Unscheduled Inspections * * ** (per site visit) $ 5200 N/A Utility/Lien Search Fee (Manual) per parcel $ 3000 $ 3000 *Pavement Restoration Charge May Also Be Assessed ** Fees include original review and one resubmittal review Additional reviews will be charged at miscellaneous hourly rate (above) * ** Does not apply to single family residence or duplex construction on an existing established lot * * ** (Unscheduled inspections shall be tracked through the course of a project and billed after the final site inspection Fees for unscheduled inspections shall be paid prior to final occupancy approval ) 228 ORDINANCE NO. 51 AN ORDINANCE of the City Council of the City of Bremerton, Washington, approving and adopting the budget for the City of Bremerton for the fiscal year 2012, and appropriating the amounts set forth in each fund in accordance with RCW 3 5.3 3 075. WHEREAS, State law, Chapter 35.33 RCW requires the City to adopt an annual budget and provides procedures for the filing of estimates, a preliminary budget, deliberations, public hearings, and final fixing of the budget, and WHEREAS, a preliminary budget for the fiscal year 2012 has been prepared and filed in the Office of the City Clerk for the City of Bremerton, public hearings have been held for the purposes of fixing the final City Budget; and the City Council has deliberated and has made adjustments and changes deemed necessary and proper, NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF BREMERTON, WASHINGTON, DOES HEREBY ORDAIN AS FOLLOWS. SECTION 1. That the 2012 Annual Budget for the City of Bremerton, Washington, on file in the office of the City Clerk, covering the period from January 1, 2012, through December 31, 2012, with regular revenues and unencumbered fund balances of $130,393,561 and expenditures and ending fund balances of $130,393,561 is hereby approved and adopted, and the respective amounts provided for in said budget for the several funds of the City of Bremerton are hereby fixed and adopted as follows: General Fund (001) City Council Executive Financial Services Legal Human Resources Community Development Municipal Court City Auditor Law Enforcement Fire/Emergency Medical Police/Fire Pension 332,770 370,360 1,149,840 971,550 333,210 1,408,536 1,294,187 170,960 9,498,837 8,311,214 2,544,000 2012 Budget 229 General Facilities 807,117 General Parks 2,593,741 Engineering 2,134,928 Non - Departmental 3,461,171 Ending Fund Balance 2,240,856 Total General Fund $ 37,623,277 Arterial Street (101) 4,904,100 Street (102) 2,407,048 Contingency Reserve (103) 117,745 Lodging Tax (104) 465,312 Parking System (105) 1,695,541 Community Development Block Grant (106) 2,918,090 Abatement Revolving (108) 219,371 Police Special Projects (110) 969,205 Public Access Television (113) 527,335 Gift & Donations Fund (114) 82,970 Trial Improvement (116) 60,643 One Percent For Arts (117) 53,873 Conference Center Operating (120) 1,795,493 Bond Fund (201) 735,135 2010 LTGO (203) 706,289 2010 UTGO/LTGO - B (203) 552,846 Park Plaza Construction (305) 110,319 Park Plaza Phase H (306) 4,089,802 General Government Capital Improvement (308) 565,941 Park Facilities Construction (3 10) 1,689,308 Evergreen Park Remediation (311) 210,551 Lower Wheaton Way (33 1) 1,610,160 Water Utility (401) 14,713,805 Water Capital (404) 1,677,500 Wastewater Utility (45 1) 22,931,409 Wastewater Capital (454) 4,865,000 Stormwater Utility (481) 4,881,145 Gorst Creek Watershed (482) 451,424 Stormwater Capital (484) 1,421,000 Gold Mountain Golf Complex (407) 2,392,297 Risk Management (503) 3,580,272 Employment Security (506) 311,105 Accumulated Leave Liability (507) 248,700 2012 Budget 230 Equipment Rental Reserve — Operations & Maintenance (509) 1,762,928 Equipment Rental Reserve — Equipment Reserves (5 10) 5,952,590 Information Services (511) 1,094,032 Total All Funds $ 130,393,561 SECTION 2. That the totals for the funds noted in Section 1 above and as set forth in the official "City of Bremerton 2012 Annual Budget' adopted herein, are hereby appropriated for the fiscal year 2012. SECTION3. Effective January 1, 2012, the annual compensation of the Municipal Court Judge shall be $134,625.00 which is 95% of the District & Superior Court salaries as established on September 1, 2011 SECTION 4. Effective January 1, 2012, the base salaries of employees covered under the "management, professional, confidential & fiduciary" pay plans shall not be increased over 2011 pay rates. SECTION S. Effective January 1, 2012, the base salary of the Mayor shall be $122,425.00 which represents no increase over the 2011 base salary SECTION 6 Nothing contained herein shall be construed to require the City of Bremerton or its officers to fill any vacancy in any of the positions established by this ordinance resulting from the discharge, resignation or retirement of such employee. Nothing herein contained shall require the City of Bremerton or its officers to pay the maximum amount budgeted for any position shown therein SECTION 7. Severabdq If any one or more sections, subsections, or sentences of this Ordinance are held to be unconstitutional or invalid, such decision shall not affect the validity of the remaining portion of this Ordinance and the same shall remain in full force and effect SECTION 8. Effective Date This ordinance shall take effect and be in force ten (10) days from and after its passage, approval and publication as provided by law PASSED by the City Council the / 4+ day of "Djum b� , 2011 WILL M A10PIN , 50,6 _ . 2012 Budget 231 Approved this 14 -1- of -- 51 2011 Maior AS TO FORM SHANNON CORIN, Interim City Clerk ROGER A LUBOVICH, City PUBLISHED the IT L day of DAGQm b r 2011 EFFECTIVE the day of O .,PLC Q rnoWr 9 2011 ORDINANCE NO E2 - 1 - 7-3 2012 Budget 232