FY 2016 BUDGET PROCESS City Council Budget Retreat

FY 2016 BUDGET PROCESS

City Council Budget Retreat Nov/Dec. Public Hearing Property Tax Level Adoption (As needed) Adoption of Tentative Budget Program Managers/ Employee Input Section Managers Review Division Heads Review Finance Review Process City Council Budget Work Session (Three Days) Review of City Manager's Proposed Budget Div. Heads/EAC Adoption of Final Budget (After Public Hearing) City Council Retreat – December 8 – 10, 2014 Property Tax Levy Adoption City Council Budget Retreat February Budget Team Review – Detailed Budget/Program Review Budget Team/Division Heads/EAC Implementatio n of Budget 2

FY 2016 Budget Calendar Budget Entry due 1/12 � Base, Grants & Capital � Division/Section Checklist CIP Program Updates 1/12 5 year plans available 1/30 February Budget Retreat 2/11& 12

FY 2016 Budget Calendar (cont. ) Department Review 3/13 � Callback for all divisions Carryforwards due Council Budget Session 4/24 Budget Adoption 6/16 3/2 – 3/13 4/22 – 6/2 &

Important Information FY-2016 Budget 1. Base Budget for Sections has been rolled in the Budget System 2. Base Budget targets are being provided to the Sections. This is the dollar amount your submitted Base Budget should tie to when you have completed your modifications. (Due 0112 -2015) 3. Utility Increase Anticipated � Electric – 3% � Water/Sewer – 2% � All others are unknown at this time

Important Information FY-2016 Budget (cont. ) 4. Justifications are REQUIRED for every line item. No exceptions. A minimal explanation may be used for routine purchases (i. e. , copy costs, office supplies, utilities. A full explanation is required for major changes in funding for specific line items. 5. The Interdivisional Service Request (ISR) process has changed considerably. This will be gone over in detail following the overview here. 6. Capital Improvement Plans are due 1/12 including O&M estimates – in Excel again this

Important Information FY-2016 Budget (cont. ) 7. A Division Checklist is required to be completed, signed and sent to your accountant by 01/12/15 for all Sections. (Including Capital Sections) 8. Personnel has not been rolled in the Budget System at this time. 9. Revised Service Levels (RSL) requests are an excel form that are due by 2/19/15 via email to Brandi Suda.

ISR Process for FY-2016 1. 2. 3. All ONG and BASE Facilities work requests (ISR’s) from FY-2015 have been imported into the Budget 2016 Base, along with all narratives. Divisions are responsible for reviewing these rolled work orders, managing the increases expected in labor and materials costs, description, work scope, etc. , within their respective budgets. Divisions/Sections have the obligation to communicate with Facilities/Parks/Streets any major changes in requests or request descriptions within their Division/Section.

ISR Process for FY-2016 (cont. ) 4. 5. 6. Any ISR requests (1 X or ONG) that require funding beyond the Base Budget 2016 target shall be included in the RSL Excel list due February 19, 2015. The Finance will run a city-wide report for F/P/S as a cross-check for major budget changes which affect F/P/S finances and workload projections. The use of the ISR form is discontinued immediately, with the relevant data input by the division in the Budget.

ISR Process for FY-2016 (cont. ) 7. New programs and capital projects may require account setups in both Naviline and Innoprise. These account setup requests should be conveyed to Brandi Suda and Rick Tadder, with a cc to the Accountant, Facilities/Parks/Streets and the Division requesting the work. Account number requests are normally the responsibility of the Division/Section.

Budget Directions – FY 2016 It’s going to be a TIGHT budget year � Preliminary Projections are showing over $1 M deficit in GF Budget Flat at FY 2015 Ongoing funding levels (BASE) � Finance will provide Target Reallocate within Base budget to cover any needed increases Council Budget Priorities: � Increased Staffing � Invest in Employees � Technology � Overall Financial Stabilization

Budget Directions – FY 2016 Revised Service Level (RSL) Requests** � Tie to Council Priorities � Other cuts may be needed to fund RSLs (outside or within your division/section) ** these directions could change and further directions may be coming.

Budget Manual and Forms Located on City. Net under: Innoprise/Harris Links �Training: City of Flagstaff Innoprise Financial Training link Under the Budget Overview Header