2016 Budget Summary 1 2016 Budget and Town

2016 Budget Summary 1

2016 Budget and Town Board Goals The budget document is one of our most powerful and important communications tool, reflecting policy decisions, goals and priorities of the Town Board. Following is a summary of each Board goal with specific 2016 budget items identified to address these goals 2

2016 Budget Summary • $27, 572, 811 • 642, 642 • 306, 075 • 2, 013, 632 • 8, 758, 500 • 8, 297, 142 Town of Superior Metro District #2 Superior Metro District #3 Superior/Mc. Caslin Interchg Superior Urban Renewal Superior Metro District #1 • $47, 590, 802 Total 3

I. Enhance Financial Stability and Business Retention • Superior Town Center MOB/Impact Sport and other select/limited development activities generate new one-time ($3. 3 million) and net on -going revenues ($730 k). Help ensure longterm financial stability. • Diversifying revenues, operating efficiencies, debt refinancing, enhancing property valuations and growth have allowed the Board to lower at lease one (1) Town controlled property tax rates for thirteen consecutive years (including 2016). 4

GF Base Property Tax Decrease Town of Superior Property Tax Rate Comparison 2004 vs 2016 (10% Property Tax Rate Decrease) 10. 000 Mill Levy Rate 9. 000 8. 805 7. 930 8. 000 7. 000 6. 000 2004 2016 5. 000 4. 000 3. 000 2. 000 1. 000 0. 000 5

SMD 2 Property Tax Decrease Superior Metropolitan District #2 Property Tax Rate Comparison - 2004 vs 2016 (33% Property Tax Rate Decrease) 9. 000 8. 000 Mill Levy Rate 8. 000 7. 000 5. 300 6. 000 5. 000 4. 000 3. 000 2004 2016 2. 000 1. 000 0. 000 6

SMD 3 Property Tax Decrease Superior Metropolitan District #3 Property Tax Rate Comparison - 2004 vs 2016 (35% Property Tax Rate Decrease) 9. 000 8. 000 Mill Levy Rate 8. 000 7. 000 6. 000 5. 200 5. 000 4. 000 3. 000 2004 2016 2. 000 1. 000 0. 000 7

SMID Property Tax Decrease Superior/Mc. Caslin Interchange Metropolitan District Property Tax Rate Comparison - 2004 vs 2016 (25% Property Tax Rate Decrease) 40. 000 35. 000 Mill Levy Rate 35. 000 30. 000 26. 000 25. 000 20. 000 15. 000 2004 2016 10. 000 5. 000 0. 000 8

I. Enhance Financial Stability and Business Retention • Financial self-sufficiency of the Town’s utility operations (SMD 1) is on-going objective. From 2006 – 2014, the average annual transfer from the General Fund to SMD 1 exceeded $1. 5 million. • Through SMD 1 rate increases, one-time development revenue, debt refinancing and operational efficiencies this annual transfer is projected, on average, to be cut to roughly $500, 000 over the next five years. 9

I. Enhance Financial Stability and Business Retention • By reducing Town transfers to SMD 1, additional resources are available for critical Town needs • Savings from three debt refundings (SMD 1, Open Space, SMID) to be fully realized beginning in 2016 (annual savings starting at $735 k, increasing to over $1 million) • New 2016 funding for a firm to assist with identification and recruitment of retailers to Superior 10

II. Provide Excellent Public Services and Public Infrastructure • Operating Program Enhancements: • Restart the Superior Call-n-Ride program in 2016 • Continue aggressive street light pole replacement • 2016 study to evaluate broadband/fiber optics delivery to homes 11

II. Provide Excellent Public Services and Public Infrastructure New Staff • Geographic Information System (GIS) Technician • GIS activities for all Town operations including: • including data collection • management and analysis • map preparation • integration of GIS use • 750 hours for GIS work • New planned developments will require significant update of records 12

II. Provide Excellent Public Services and Public Infrastructure • GIS Technician (Continued) • Other duties: • Support new permit system • Interface with Xcel and street lights • Sump pump discharge monitoring • Programing school flashers/speed radar • Perform traffic studies • Wayfinding project • Communicate w/ residents during Town construction projects (i. e. Street Rehab) • Administer cross-connection program 13

II. Provide Excellent Public Services and Public Infrastructure • Capital Programs: • Trail connections/improvements ($2. 5 M over five years) • Street maintenance/rehabilitation ($7 M over five years) • Accelerated Eldorado K 8 school parcel park construction to 2016 ($3 M) • Parks, recreation, pools capital improvements ($2 M over five years) 14

II. Provide Excellent Public Services and Public Infrastructure • Capital Programs (Continued): • Trees, plants, shrub and landscape enhancements ($700 K over five years) • Town Hall expansion ($2. 6 M construction). Consolidate all Town function in one location including: • • • Building Inspection/Permitting Parks/Recreation Administration Public Works/Utilities Administration Boulder County Sheriff Chamber of Commerce 15

II. Provide Excellent Public Services and Public Infrastructure • Capital Programs (Continued): • New Purple Park pavilion (2016) • Williams field artificial turf replacement (2016) • Design of Superior Town Center parks (2016) 16

II. Provide Excellent Public Services and Public Infrastructure • Capital Programs (Continued): • Windy Gap Firming project ($1. 35 M design/mitigation in 2016/2017, $19 M construct in 2018) 17

II. Provide Excellent Public Services and Public Infrastructure • Capital Programs: • Water reuse system improvements ($550 K) • Wastewater plant improvements ($1. 3 M) • Water plant/Water and Wastewater system capital maintenance ($4. 8 M over five years) • Stormwater system improvements ($120 k - 2016) 18

III. Engage Residents through Outreach and Marketing • Update citizen survey • Continue to fully utilize the Town’s recently redesigned web site • Plan for new Town Events while keeping and many times expanding: • Current Town special events • Community volunteer opportunities • Outside group activities who offer independent events in Superior 19

III. Engage Residents through Outreach and Engagement • Continue existing outreach efforts: • Web streaming of Town meetings • Electronic message board • Town sponsored e-mail discussion lists • Town Facebook page • E-mail blasts, individual mailings/flyers • Town wide messaging service • Monthly newsletters • Periodic financing reporting • Annual report on current year’s accomplishments 20

IV. Open Space • $200 k budgeted for trail projects in 2016. The five year capital plan calls for additional trail improvements • Continued open space coordination and education efforts with Boulder County 21

V. Promote/Manage Development Opportunities • Superior Marketplace revitalization and infill • Integrate the Marketplace with the development of the Superior Town Center 22

VI. Encourage Environmental Sustainability • On-going capital monies for environmental “green” enhancements to Town facilities • Continued work with the Recycling and Conservation Advisory Committee on recycling efforts throughout Town • Town sponsored water conservation efforts (i. e. residential water irrigation audits) and a rebate program intended to replace residential high water flow fixtures • Working with Xcel, switch out streets lights to LEDs (long – term cost savings to the Town) 23

2016 Budget – Revenue Assumptions • Property assessments/valuations up 15% with new construction and BOCO property revaluations 24

2016 Budget – Revenue Assumptions • 2016 property tax rates flat, decreasing: • Rates same as 2015 • Town/Library - 7. 93/1. 50 mills • Rates lower than 2015 • SMD 2 – 5. 30 mills (down from 6. 20) • SMD 3 – 5. 20 mills (down from 6. 00) • SMID – 26. 00 mills (down from 28. 00) 25

2016 Budget – Revenue Assumptions • Sales tax revenues ($9. 5 M) increasing at inflationary levels (2 – 3%). Some infill at the Superior Marketplace will help • Vehicles use tax revenues spiking in 2015 ($935 k), then down to historic averages in the future ($775 k/year) 26

2016 Budget – Revenue Assumptions • Sales/Use revenues fund a majority of Town operations: Town of Superior - General Fund Sales/Use Tax Dependency 42% 58% GF Sales/Use Revenues GF Other Revenues 27

2016 Budget – Revenue Assumptions Town of Superior CIPCIP Sales/Use Tax Sales/Use Dependency Town of Superior Open Space Sales/Use Tax Dependency 3% 3% 97% GF Sales/Use Revenues GF Other Revenues 100% Sales/Use Revenues Other Revenues 28

2016 Budget – Revenue Assumptions Superior Urban Renewal Authority (Marketplace) Sales/Use Tax Dependency SMID Sales Tax Dependency 47% Sales/Use Revenues Other Revenues Sales Revenues 53% Other Revenues 29

2016 Budget – Revenue Assumptions SMD 1 Sales/Use Tax Dependency (2016) SMD 1 Sales/Use Tax Dependency (2020) 11% 17% 83% Sales/Use Revenues 89% Other Revenues Sales/Use Revenues Other Revenues 30

2016 Budget – Debt Summary • Existing Debt • Outstanding debt/other obligations dropping from $50 M to $43 M in 2015 • Most debt “non callable” – cannot make accelerated payments. However, can call Open Space and SMD 1 debt (plan to do so once material revenues generated from STC residential) 31

2016 Budget – Debt Summary • Existing Debt (Continued) • SMD 2/3 debt paid off after 2018 (over 5. 0 mills property tax rate goes away) • SURA debt paid off after 2019. The $1 million a year that was paying SURA debt then goes to “SURA Additional Obligations” – almost $2. 5 million beginning 2020. Done with this payment after 2021. Then Superior Marketplace revenue available 100% to SMD 1 and GF. 32

2016 Budget – Debt Summary • New Debt • Town Hall expansion (2016 - $2. 95 million) • Windy Gap firming (2018 - $10. 5 million) • Internal Loan • Accelerate completion of Eldorado K-8 park $2 M loan from Open Space to CIP in 2016. Payback over two years, with interest 33

2016 Budget – Fee Changes • Governmental • Pool guest fees from $2 to $3 per visit (20 punch pass from $35 to $55). Town residents continue to access the pools for free • Hotel Occupancy fee from $2 to $4 night • SMD 1 (Utility Operations) • 5% increase for water and wastewater service charges, standby fees and construction water fee • No storm drainage fee increase 34