HomeMy WebLinkAboutOrd 783-2018 Adopting the FY 2018-2019 BudgetCITY OF ANNA, TEXAS
Ordinance No. -
Ordinance Adopting the Budget for the 2018 - 2019 Fiscal Year
A ORDINANCE MAKING APPROPRIATIONS FOR THE SUPPORT OF THE CITY OF ANNA
FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2018 AND ENDING SEPTEMBER 30,
2019; APPROPRIATING MONEY TO AN INTEREST AND SINKING FUND TO PAY
INTEREST AND PRINCIPAL ON THE CITY'S INDEBTEDNESS; AND ADOPTING THE
ANNUAL BUDGET OF THE CITY OF ANNA FOR THE 2018 - 2019 FISCAL YEAR.
WHEREAS, the budget, appended hereto as Exhibit A, for the fiscal year beginning October
1, 2018 and ending September 30, 2019, was duly presented to the City Council by the City
Manager and a public hearing was ordered by the City Council and a public notice of said
hearing was caused to be given by the City Council and said notice was published in the Anna -
Melissa Tribune and said public hearing was held according to said notice; now, therefore,
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ANNA THAT:
SECTION 1. The appropriations for the fiscal year beginning October 1, 2018, and ending
September 30, 2019 for the support of the general government of the City of Anna, Texas, be
fixed and determined for said terms in accordance with the expenditures shown in the City's
fiscal year 2018 - 2019 budget, a copy of which is appended hereto as Exhibit A;
SECTION 2. The budget, as shown in words and figures in Exhibit A, is hereby approved in
all respects and adopted as the City's budget for the fiscal year beginning October 1, 2018
and ending September 30, 2019.
SECTION 3. That there is hereby appropriated the amount shown in said budget necessary
to provide for an interest and sinking fund for the payment of principal and interest and the
retirement of the bonded debt requirements of fiscal year 2018 - 2019 of the City of Anna.
SECTION 4. In addition to Exhibit A, and in accordance with Section 7.08 of the Anna City
Charter, the budget also includes a contingency appropriation of $202,794 in the General
Fund and $109,885 in the Utility Fund. All expenditures from this contingency appropriation
shall be in accordance with Section 7.08 of the Anna City Charter.
PASSED AND APPROVED by record roll call vote on this, the 11th day of September, 2018.
Ayes
ATTESTED:
Carrie L. Smith, City Secretary
ORD. '793',201F
Nays
Abstained
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Anna
City of Anna
Fiscal Year 2018-2019
Budget Cover Page
This budget will raise more revenue from property taxes than
last year's budget by an amount of $1,218,464, which is a 22.66
percent increase from last year's budget. The property tax
revenue to be raised from new property added to the tax roll this
year is $686,940.
The members of the governing body voted on the budget as follows:
FOR:
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PRESENT and not voting:
ABSENT:
Property Tax Rate Comparison
2018-2019
2017-2018
Property Tax Rate:
$0.591288/100
$0.601288/100
Effective Tax Rate:
$0.536478/100
$0.550525/100
Effective Maintenance & Operations Tax Rate:
$0.427266/100
$0.443399/100
Rollback Tax Rate:
$0.624613/100
$0.601288/100
Debt Rate:
$0.163166/100
$0.122418/100
Total amount of municipal debt obligations for City of Anna: $56,213,750
• $33,728,000 is directly secured by property taxes through the I&S rate
• $16,552,000 is secured by a tax pledge and is supported by the I&S
rate and water & sewer revenues.
• $5,933,750 in revenue and contractual debt obligations to the Greater
Texoma Utility Authorization is also secured by water & sewer
revenues
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Content
Budget Letter
3
City Organization
10
Strategic Vision and Goals
12
City Statistics
16
Community Profile
17
Budget Process
20
Budget Calendar
24
Description of Fund Structure
25
Staffing Schedule
28
General Fund
Revenue
29
Expenditures
35
Departmental Summaries
37
Restricted Revenue Trusts
67
Debt Service Fund
Revenue
73
Debt Service Obligations
75
Debt Schedule
77
Utility Fund
Revenue
80
Expenditures
82
Departmental Summaries
84
Utility Fund Debt
Component Units
96
Summary of Units
99
Community Development Corporation
101
Economic Development Corporation
104
Su,Qplemental Information
Capital Improvement Plan
107
Debt Management Plan
173
Bond Ratings
179
Financial and Investment Policies
190
Budget Information from City Charter
216
Budget Ordinance
225
of Terms
Anna
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Anna
August 14, 2018
Honorable Mayor and Council Members:
In accordance with the City Charter and the laws of the state of Texas
governing home rule cities, please accept this letter as my budget
transmittal and executive summary of the draft fiscal year 2018-19 budget.
The Annual Budget is the most important document that is adopted by the
City Council each year. In developing this document, a significant amount
of time is devoted by City Council Members and City Staff. An Annual
Budget is developed through an extensive process of reviewing requests
received from various City departments then prioritizing those requests in
a manner that utilizes resources effectively, within fiscal constraints, while
working to achieve the City's strategic goals.
STRATEGIC GOALS
As part of the Strategic Plan, the City Council
has identified seven (7) strategic goals that help
frame the City's operational work plans. The
Strategic Plan is a working document that
provides guidance to City Staff when making
budgetary and operational decisions.
Fiscal Year 2018
Strategic Goals
Goal 1
Pursue Targeted Economic
Development
Goal 2
Improve the Curb/Aesthetic
Appeal of our Community
Goal 3
Diversify Housing &
Neighborhood Options
Goal 4
Promote Our Community
Identity
Goal 5
Encourage Inter -local
Cooperation
Goal 6
Upgrade City Facilities and
Infrastructure
Goal 7
Build Transportation
Infrastructure
VALUE OF TAXABLE PROPERTY
AND GROWTH
The City continues to see healthy increases in
the value of existing property. Based on the
certified taxable assessed value for the 2018 tax
year, it is estimated that existing property values
have increased by approximately 12% and
$116,176,921 was added to the tax roll.
We remain cautiously optimistic that we will
experience modest, but slowing, appreciation in
the value of existing properties and that
additional value will be added to the tax roll as a
result of new construction in the near term. New
value added to the tax role will continue to be
primarily from residential growth; however,
commercial developments currently under
construction off of FM 455 (White St.) are making
a substantial contribution to the growth of our
commercial tax base as well.
The growth in taxable value of real property
corresponds to a significant increase in
residential growth and population over the past
few years.
According to the most recent population
estimates published by the North Central Texas
Council of Governments, the City of Anna
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population is approximately 14,000.
We anticipate steady 7 to 10 percent growth over
the next few years as the inventory of available
lots increases. There are currently 1,170
residential lots under construction and another
2,594 in the planning phase or under design. The
City has forecasted the construction of
approximately 300 new single-family homes
during the 2019 fiscal year.
TAX RATE
For the 2017-18 fiscal year budget, the City
Council reduced the tax rate to $0.601288 cents
per $100 of taxable assessed valuation marking
the fourth straight year of reducing the tax rate.
The proposed 2018-19 budget is funded with a
property tax rate of $0.591288 cents per $100
of taxable assessed valuation. When compared
with other cities in our area, the City of Anna
still has one of lowest per -capita property tax
levies.
The total tax rate is divided between General Fund
maintenance and operations and the Debt Service
Fund. Of the total tax rate, $0.428122 cents will be
dedicated to the General Fund maintenance and
operations, and $0.163166 cents will be dedicated
to general obligation debt service. The portion of
the tax rate dedicated to debt service will be about
27.6% of the overall City tax rate.
The average taxable single-family home value
for the 2018 tax year is approximately $204,258,
an increase of $23,258 from the previous year.
At the proposed tax rate of $0.591288 the
municipal taxes paid on the average single-
family home will be $1,208.
EMPLOYEE PAY AND BENEFITS
In September of 2016, the City updated its pay
classification plan based on a comparison of
similar positions in this market area. Since then, a
number of cities in our market area have also
adjusted their pay plans. This has resulted in
significant market pressure and increased
competition to hire and retain qualified employees.
In response to this market pressure, the proposed
budget includes funding of a merit increase, and a
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Anna
contingency allocation for pay plan adjustments
after a thorough market analysis has been
completed.
The City currently pays for health insurance for
all City employees through a plan provided by
the Texas Municipal League
Intergovernmental Employee Benefit Pool
(TMLIEBP). The fiscal year 2018-19 budget
includes a 7% increase in the cost of health
benefits provided to full-time employees.
STAFFING LEVELS
The City currently supports a staff of 79.5 full-
time equivalent (FTE) employees allocated
among various operating departments. The
budget recommends the addition of twelve
(12) new full-time positions. Staffing levels
have been increased to maintain quality
service delivery as our population and demand
for services continues to grow.
FLEET REPLACEMENT AND
MAINTENANCE
In order to improve the City's ability to budget for
future fleet replacements, the proposed budget
includes continued funding for an open-end or
equity lease agreement with Enterprise Fleet
Management for vehicle replacement and
maintenance services. This will allow the City to
replace vehicles in a more -timely manner which
reduces maintenance and fuel costs and allows
the City to receive a larger amount of equity out of
the sale of the vehicles. With this program, all
maintenance costs will be fixed for non -emergency
vehicles. Supervisors will also have access to a
dashboard to track fuel costs per vehicle and
receive maintenance alerts to ensure needed work
is completed.
GENERAL FUND
The General Fund is the City's main operating
fund, which is used to account for all financial
resources except those required to be reported
in another fund. The General Fund receives
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revenues from property taxes, permits,
franchise taxes, sales tax, fines, fees for
services, interest income, and several other
miscellaneous general revenue sources. This
fund finances the operations of the
Administration, City Council, City Manager, City
Secretary, City Attorney, Finance,
Development, EMS, Fire, Animal Control,
Police, Municipal Court, Parks, and Street
departments.
For the 2018-19 fiscal year, General Fund
revenues are expected to total $8,369,061 which
is an increase of approximately 5.5% over the
previous year's revised budget. The two largest
revenue sources in the General Fund are
property tax and sales tax. Property tax revenue
to the General Fund is anticipated at $4,774,602
(an increase of 11.8%), and sales tax revenue is
projected at $1,612,500. The growth of this fund
is largely the result of continuing residential and
commercial development and population growth
in Anna.
General Fund operating expenditures for the
2018-19 fiscal year are budgeted at $8,369,061
reflecting a-.1.93% decrease over the previous
year's budget.
Streets and Transportation Infrastructure
In November of 2017 a ballot proposition to
reallocate a portion of the local option sales tax
to the General Fund was approved. As a
result, the portion of the sales tax revenue
allocated to the General Fund increased from
1% to 1.25%. This reallocation was effective in
April 2017. The revenue generated in FY 2019
by the additional 0.25% sales tax allocation is
estimated at $300,000. In FY 2018, the City
issued $4.16 million of bonds to fund street
projects. The revenue from the sales tax
reallocation will be used to off -set the bond
payments.
Municipal Facilities
For the past several years, the City of Anna has
been studying alternatives for the construction
Anna
of new buildings and facilities as we continue to
grow.
In FY 2018, the City issued bonds to fund the
construction of a Municipal Complex. Due to the
bond issuance, the property tax rate reflects a
shift of $.04 from the Maintenance and
Operations (M&O) portion of the tax rate to the
Interest and Sinking (I&S) portion of the tax rate
for the bond payments for the new facilities.
Sales tax revenues generated from the opening
of a new retail center at the NE corner of FM
455 and US 75 will be used to help off -set the
shift in the tax rate. The Municipal Complex will
include a new City Hall and Police Station and a
new stand-alone Fire Station.
Organization and Personnel
In order to maintain quality service delivery as
our population continues to grow, the General
Fund budget proposes the addition ten (9) new
positions:
A Payroll Specialist position will be added to the
Finance Department to allow needed
separation of duties between human resources
and payroll and to keep up with the growing
number of City employees.
• Two Police Officers and a Sergeant positions
will be added to the Police Department to add
additional patrol to City streets and to provide
supervision to the Criminal Investigations
Division and Support Services Division.
• A Civilian Support Position will be added to the
Police Department to help alleviate some of
the administrative duties of CID personnel and
to allow them more time on investigations.
Two Firefighter positions will be added to Fire
Department in order to provide adequate
staffing to respond to citizen needs as the City
continues to grow.
A GIS employee will be added to the Planning
and Development Department in order to
develop a refined GIS presence for day to day
operations, research, and mapping.
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• A Streets Maintenance Worker II will be added
to the Streets Department in order to assist
with the growing needs for street maintenance
projects.
In addition, the Receptionist position will be
reclassified as Administrative Assistant/Records
Clerk to reflect increasing responsibilities of this
position.
DEBT SERVICE FUND
The Debt Service Fund (sometimes referred to
as the Interest and Sinking or I&S Fund) is a
special fund established to account for the
accumulation and expenditure of resources for
payment of principal and interest on tax
supported bond debt. Bonded debt includes
general obligation bonds, certificates of
obligations and combination tax and revenue
certificates of obligation. The principal source of
revenue is assessed property taxes as
established by ordinance.
The City of Anna currently holds just over $50.2
million in outstanding tax supported debt, $16.5
million of that amount was issued for water and
sewer infrastructure projects and can be
payable from water and sewer revenues;
however, to obtain more favorable financing
terms, the debt has a tax pledge. The balance of
tax supported debt, just under $34 million, was
issued for general fund purposes.
In April 2018, the City issued approximately $31
million to acquire and construct a new Municipal
Complex and to improve streets.
In March of 2017, the Fitch Ratings upgraded the
City of Anna bond rating from "A' to "AA- "citing
"the city's exceptionally strong financial operations,
solid expenditure flexibility and strong revenue
growth prospects, as well as the city's substantial
independent ability to raise revenues." In October
2017, Moody's Investor Service upgraded the City
of Anna bond rating from Al to Aa3 citing "the
City's strong operating performance, affordable
debt and pension profile."
The total debt service on tax secured debt for FY
2019 is $2,043,917. The I&S revenue is budgeted
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at $1,8271,909. This is due to a planned draw on
funds remaining in the Debt Service Fund at the
end of FY 2018. This increase in debt service
obligations is due to the issuance of the bonds for
the Municipal Complex and streets projects.
In order to keep the Debt Service tax rate
stable, the City of Anna and First Southwest,
our financial advisor developed a series of
planned refundings of existing debt. This plan
was based upon very conservative assumptions
in growth of the property tax base and interest
rates. Additionally, the refundings were
scheduled to coincide with interest rate resets
and, where possible, refunding bonds that were
callable and were advance refunded. By doing
this, the plan minimized the present value cost
to the City.
UTILITY FUND
The Utility Fund (sometimes referred to as the
Water & Sewer Fund) is an enterprise fund that
accounts for the water, sewer and solid waste
services that are provided to city residents and
customers located outside the city limits. All
activities to maintain these services are
accounted for in this fund, including operations,
maintenance, billing and collections,
administration, financing, and related debt
service. The Water & Sewer Fund includes the
Administration, Water, Sewer, Solid Waste, and
Utility Billing Departments.
The Water & Sewer Fund's principle source of
revenues are charges to customers for water
consumption, wastewater collection, refuse
collection, and fees related to providing
consumers with new water and wastewater
services. Total fund revenues for FY 2018-19
are estimated at $9,235,702 (a decrease of -
.32%). This decrease in revenues is due to the
removal of the transfer from the Debt Service
Fund. These funds will now remain in the Debt
Service Fund for debt payments due to the
issuance of the bonds for the Municipal
Complex. Total expenditures are budgeted at
$9,235,702 (a decrease of-5.74%). This is in
turn is due to a reduction in the transfer out line.
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Organization and Personnel
In order to maintain quality service delivery as
our population continues to grow, the Utility
Fund budget proposes the addition three (3)
new positions:
A Right -Of -Way Inspector will be
added to the Administrative
Department to manage public right-of-
way activities by franchise utilities.
• An Work Order Services Technician
will be added to the Water
Department in order to provide
quicker response with service orders
and assist with the growing work load
as the City continues to grow.
• A Wastewater Crew Leader will be
added to the Sewer Department to
lead a crew over maintenance in the
collections system.
Automated Meter Infrastructure (AMI)
The 2016-2017 budget included funding for the
fully automated meter infrastructure (AMI) program.
The new AMI system replaced all existing meters
with smart meters that have improved accuracy,
increased efficiency, and offered better service to
our utility customers. The AMI customer funding
for the annual cost of the portal ($1.50 per year
per meter) is included in the proposed budget. The
customer web portal provides customers with the
option to view real time consumption data and set
up customer driven consumption updates and
alerts. This system will provide water customers
more information and greater control over their
water usage.
Debt Management
Currently the Utility Fund holds just under $22.4
million in outstanding debt. The City has worked
closely with our financial advisors, First
Southwest, to develop a sound debt management
plan for the Utility Fund.
In order to appropriately manage the Utility Fund
Anna
debt, the City and First Southwest developed a
plan to take advantage of call dates and pursue
advance refundings of the City's outstanding
Utility Fund debt. The refundings that occurred in
FY 2018 allowed the debt to be in line with the
City's financial plan and maintain annual debt
payments at or below $2 million.
Every effort has been made to minimize the
present value costs to the City. The current plan
makes very conservative assumptions regarding
interest rates and was reviewed and analyzed
and every effort has been made to minimize the
present value costs to the City. In addition, the
current plan was also reviewed and analyzed in
conjunction with a utility rate study to evaluate the
current water and sewer rates.
Regional Water Charges
The City of Anna along with the cities of Melissa,
Van Alstyne, and Howe belong to a strategic
alliance called the Collin Grayson Municipal
Alliance (CGMA). The alliance (CGMA)
purchases treated surface water from the North
Texas Municipal Water District (NTMWD) through
a contract with the Greater Texoma Utility
Authority (GTUA). The CMGA purchases a
minimum take or pay (MT/P) allocation of water
through GTUA from NTMWD. Currently each city
is responsible for percentage of the total MT/P
amount that corresponds to the total amount of
water each city uses.
This treated surface water supplements the
City's water supply especially during the
summer months when water consumption is
highest. As our population grows and demand
for water increases, we are using more and
more treated surface water to supplement our
well water. As we have forecasted
consumption and production of our wells, we
anticipate that that we will again exceed the
MT/P allocation for treated surface water in FY
2019. When this happens, the MT/P amount
will reset at the new consumption level, and
City of Anna will be responsible for the cost of
all the water we consume above the current
MT/P amount. The increase in consumption
coupled with an increase in the price of water
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supplied from NTMWD has resulted in a 24.7%
increase in the budgeted cost for treated
surface water.
Regional Wastewater Charges
The City operates its existing wastewater
treatment plant just under its permitted capacity
of 0.5 million gallons per day. Flows in excess of
the plants capacity are diverted into the North
Texas Municipal Water District (NTMWD)
regional wastewater system using the Slayter
Creek Wastewater Interceptor (SCWI) which was
completed in 2014. Additionally, flows from
newly developed areas in the southeast portion
of the City are diverted into the NTMWD system
using the Clement Creek Trunk Sewer, which
was constructed in 2015. Wastewater flowing
into the NTMWD system through these basin
collection systems will increase as the City
continues to develop.
Since becoming operational, the SCWI and
Clement Creek systems have been used to
provide wastewater capacity for new
developments. The systems, at first, were used
intermittently, but are now in constant use as the
basins continue to develop. Additionally, the
systems are used to provide relief to the
wastewater treatment plant during storm events.
During heavy and extended rainfall, storm water
can penetrate older or deficient portions of the
sewer system increasing the amount of water
flowing to the plant. The penetration of storm
water in to the wastewater system is commonly
referred to as "inflow & infiltration" or I&I. With
the unprecedented amount of rain received in
2015 and 2016, it became apparent that the City
was experiencing a significant inflow and
infiltration or I&I problem. To address this, the
Public Works Department implemented an
aggressive program to identify and repair inflow
and infiltration in the collection system. During
FY 2016-2017, the City funded an engineering
study to identify the primary sources of infiltration
underground. This study included flow
monitoring and was extended into the FY 2018
budget year so that additional wet -weather flow
data could be collected. The flow -monitoring
phase of the study is complete and the findings
Anna
and proposed capital projects list will be finalized
and presented to the City Council before the
close of 2018.
The City pays a transport and treatment charge
to NTMWD for all the wastewater that we pass
into their system. Depending on the amount of
rainfall and I&l, the annual amount of these
charges can vary significantly. FY 2018 has been
a fairly dry year; therefore, the actual charges are
estimated at 22% less than budgeted. The rate
charged by NTMWD to transport and treat our
wastewater is expected to increase by 10%. The
FY 2018-19 budget includes an approximately
4% increase in the budgeted cost for transport
and treatment of wastewater.
Utility Rates
In order to ensure that our utility rates will
continue to support our operating costs and debt
service obligations, Staff hires a rate consultant
to evaluate our utility system's operation costs
and debt payments and recommend any rate
adjustments that would be necessary to fully fund
the cost of operating our system while
maintaining an adequate financial reserve. The
most recent rate study recommended no water
and sewer rate increase this year. Should
consumption patterns change and result in
decreased consumption, the City's water
revenues may fall below the budget estimate.
Staff will monitor revenues throughout FY 2018-
19 and recommend any action should actual
revenue not meet budgeted projections.
This budget does not include utility system
depreciation costs. Finance staff will make
adjustments for depreciation expense in the
preparation of the city's annual audit.
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RESTRICTED REVENUE
TRUST FUNDS
Utility
Fund
The City has established a number of Trust
Funds the uses of which are restricted to certain
pre -determined expense categories. The
following is a summary of the revenue and
expenditures that will be budgeted in the various
Trust Funds. Information on the revenue and
expenditures for the various funds is provided
Within this budget document.
FY 2018-19 PROJECTED
FUND
EXPENDITURES
Special Revenue
$11,520
Fund
Grant Fund
$267,875
Fire Trust Fund
$18,100
Park Trust Fund
$505,800
State and Federal
$0
Seizure Fund
"Roadway Impact Fee
$90,450
& Development Fee
Funds
'Water Impact Fee &
$134,000
Development Fee
Funds
`Sewer Impact Fee &
$134,000
Development Fee
Funds
- Expenses from the Roadway, Water, and Sewer Impact and Development
Fee Funds are reimbursements based upon agreements negotiated between
the City and a developer to reimburse the developer for the construction of
capital Improvements that benefit the City.
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FY 2018-19 PROJECTED
FUND
REVENUE
Special Revenue
$22 151
Fund
Grant Fund
$265,850
Fire Trust Fund
$6,100
Park Trust Fund
$483,300
Roadway Impact &
Development Fee
$480,543
Funds
Water Impact Fee &
Development Fee
$591,600
Funds
Sewer Impact Fee &
Development Fee
$879,600
Funds
CLOSING
While budgets are always a challenge, we have
worked diligently to propose a budget that is
both balanced and sufficient to meet the needs
of the coming fiscal year. The staff of the
Finance Department has put tremendous effort
into the development of this document, and I
would like to thank them and each department
director for their hard work during this process.
We express our appreciation to the City Council
for your diligent efforts throughout the year in
providing guidance, direction and support for
our efforts to serve the citizens of Anna.
As Anna continues to grow, the City remains
committed to the vision and goals outlined in its
Strategic Plan. The 2018-19 fiscal year budget
is designed to preserve and enhance the quality
of existing services and respond appropriately
to our city's continuing growth and development.
Respectfully Submitted,
V P-1-
Jim Proce
City Manager
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City Organization
Nate Pike
Mayor
Kevin Toten Chris Reeves
Place 1 Place 4
Alonzo Tutson Nathan Bryan
Place 2 Place 5, Deputy Mayor Pro Tem
John Beazley Lee Miller
Place 3, Mayor Pro Tem Place 6
Jim Proce
City Manager
Jeff Caponera Maurice Schwanke
Chief of Police Director of Planning and Development
Dana Thornhill Joseph Johnson
Director of Finance Director of Public Works
Carrie Smith Tim Gothard
City Secretary Fire Chief
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Mayor and City
Council
Boards ands
Municipal Judge
City Attorney
City Manager
City Secretary
Commissions
Human Resource
Assistant to the
Manager 11 City Manager
Police
Finance
Public Works
Planning &
Fire
Development
Water
Comprehensive
Crime Prevention
Accounts Payable
Production &
planning
Fire Prevention
Distribution
Wastewater
Patrol
Accounting
Collection &
Plan Review
Fire Suppression
Treatment
Criminal
Street
Building Permits
Fire Safety
nvestigations
Utility Billing
Maintenance
&Inspections
Education
111Code
Community
Municipal Court
Engineering
Health
Programs
Inspections
Enforcement
Animal Control
Information
Capital Projects
Parks
Technology
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Anna
Strategic Vision and Goals
Our Strategic Vision
Anna is a community of friends and family working together to build
a safe and sustainable future.
Our Guiding Principles
* Fiscal Responsibility
We believe that fiscal responsibility and the prudent stewardship of public funds is essential for
confidence in city operations.
* Accountability
We are responsible, committed, and accountable to the public who trust us to carry out our duties with
integrity.
* Customer Focus
We are a team, dedicated to serving our citizens and residents. Our currency is the goodwill of the
public. Goodwill is earned or lost with every contact and conversation.
* Transparency
We are open and fair in sharing information with the public about our policies, procedures, programs,
and practices.
* Innovation
We provide unique approaches and creative solutions to the problems and opportunities before us.
Strategic Goals and Objectives
*Pursue Targeted Economic Development
*Improve Curb/Aesthetic Appeal of our Community
*Diversify Housing and Neighborhood Options
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Anna
*Promote Our Community Identity
*Encourage Inter -Local Cooperation
* Upgrade City Facilities and Infrastructure
*Build Transportation Infrastructure
Strategic Plan Implementation Strategy
Pursue Targeted Economic Development
1. Attract professional jobs
• Develop a professional business park in Anna and fill it up with tenants.
Focus on attracting jobs in the medical industry.
• Explore opportunities to build the professional workforce in Anna through partnerships
with businesses and educational institutions.
2. Promote downtown development
3. Study land use and create a road map to optimal future economic growth in each area
• Create zoning overlay districts in the downtown and along major transportation corridors
/1 that promote quality development and attract high -quality businesses.
Improve Curb/Aesthetic Appeal of the Community
1. Focus on aesthetic improvements to major transportation corridors
• Implement a way -finding community signage program.
• Design and construct landscape and monument enhancements at inter -changes along
US 75 as they are built or reconstructed.
• Design and construct landscape enhancements within the FM 455 median between US
75 and SH5.
• Develop design standards for future local median divided roadways.
2. Improve and expand the City's parks and opens spaces.
• Continue focus on maintenance and operation of existing parks and facilities in order to
create an excellent "customer experience".
• Focus on improvements to Natural Springs Park (ponds, restrooms, parking areas, office
space)
• Evaluate feasibility of City recreation programs (youth and adult).
• Update the City's Parks Master Plan.
Diversify Housing & Neighborhood Options
Explore opportunities to renegotiate or revise existing entitlements in order to promote
construction of higher quality value residential neighborhoods.
i► 2. Update comprehensive plan.
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Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
• Review community housing plan to identify target density and lot size mix for single family
development; and the optimal unit percentage mix of the various residential housing
types (single family, multifamily, etc.)
Promote Community Identity
1. Be recognized in regional and national publications for our community brand.
Encourage Community Partnerships and Inter -Local Cooperation
Form stronger relationships with the Greater Anna Chamber of Commerce, Anna ISD, Collin
County Commissioner Court, North Central Texas Council of Governments, and other similar
community organizations and partners
• As time permits, attend and become involved in meetings of our various community
partners.
• As appropriate, serve on boards, advisory commission, study groups, etc.
2. Promote community functions that foster civic pride
3. Support and promote community volunteer programs
Upgrade City Facilities and Infrastructure
1. Develop financing plan for the reconstruction of the Central Fire Station #1; remodel and
expansion of Police Department facilities; and future construction of: Fire Station #2.
2. Construct a new Anna City Hall that consolidates city offices and provides sufficient space for
staff, accommodates future growth, improves operational efficiency, and serves as an anchor to
our downtown.
3. Make improvements to city infrastructure that are necessary to accommodate the growth of our
community.
• Complete capacity, management, operations, and maintenance (CMOM) program for the
wastewater system.
• Focus on I&I detection and repair.
• Complete storm water/drainage study & develop a master plan
• Construct the Foster Crossing water line project and the Collin Pump Station activation
project
• Construct the US 75 utility relocation project
• Continue transition to a complete automated metering infrastructure system.
Build Transportation Infrastructure
1. Continue coordination and cooperation with TxDOT on the reconstruction of US 75 from SH 121
to the Collin County Line.
2. Continue coordination and cooperation with TxDOT on the reconstruction of SH5 from SH121 to
the Collin County Line.
3. Construct the Hackberry Lane Reconstruction Project (SH 5 to Slayter Creek)
/'N
r•N
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Overview General Debt Service Utility Component Supplemental
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Anna
4. Secure funding to complete design and right-of-way acquisition for the Ferguson Parkway project
(Taylor to Outer Loop) so that it is shovel -ready pending additional funding opportunities.
5. Complete street audit/condition assessment/prioritization for existing streets.
6. Complete design and proceed with right-of-way acquisition for extension of Rosamond Parkway
to US 75.
7. Identify and apply for viable grant funding opportunities through NCTCOG and TxDOT for major
transportation projects.
8. Adopt 50% of the NCTCOG metropolitan transportation plan policy bundle voluntary measures to
obtain transportation development credits that can be leveraged as cash match for transportation
projects.
9. Prioritize and attend key transportation meetings with Collin County, TxDOT, and NCTCOG and
purse cooperative opportunities.
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Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
City statistics
Date of Incorporation
Anna
1913
Date of Home Rule Charter Adoption 7-May-05
Form of Government Council/Mayor
Estimated Population as of January 1, 2018 13,690
Area in Square Miles 15.6
Planning Area in Square Miles (Including ETJ) 61.1
Fire Protection
Number of Full Time Equivalents
Number of Volunteers
Calls for Service (2017 Fiscal Year)
13
22
1,438
Fire Inspections (2017 Fiscal Year) 119
Police Protection
Sworn Officers
Calls for Service (2017 Fiscal Year)
Arrests (2017 Fiscal Year)
Water and Sewer Utility
20
10140
337
Active Residential Accounts (2017 Fiscal Year)
4,903
Active Non -Residential Accounts (2017 Fiscal Year)
199
Average Daily Water Production (2016)
1,697,883
Ground Storage Capacity (gallons)
1,000,000
Elevated Storage Capacity (gallons)
1,500,000
Ground (Well) Water Production Capacity (gallons per
day)
1,656,000
Water Distribution Capacity (gallons per day)
2,520,000
Waste Water Treatment Capacity (gallons per day) 500,000
Building Permits
Parkland Acreage
Residential Building Permits (2017 Fiscal Year) 440
Residential Market Value (2018 Certified Tax Roll) $898,171,199
Non -Residential Building Permits (2017 Fiscal Year) 11
Non -Residential Market Value (2018 Certified Tax Roll) $548.964.257
Acres of Developed Parkland 121
Acres of Undeveloped Parkland 76
A"N
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Overview General Debt Service
Utility Component
Fund Fund
Fund Units
Community
Profile
County: Collin
Supplemental
Information
Anna
Location: Anna is located on State Highway 5, Farm Road
455, and U.S. Highway 75 eleven miles northeast of McKinney
and approximately 40 miles north of Dallas in north central
Collin County.
Area: Approximately 15 square miles
Form of Government: Council/Manager
Number of Council: 7
History of Anna
Anna sprang to life in the mid-1800's with the
^ arrival of pioneers staking their claim to a better
life along the railroad and the Texas high plains.
Although Collin McKinney settled within a few
miles of the future townsite in 1846, John L. Greer,
who arrived in 1867, is credited with building the
first home and store in the new community. The
Houston and Texas Central Railway, at that time
built between Dallas and Denison, passed through
the area in 1873. By the time Anna was platted in
1883, it had a population of twenty, two stores, a
steam gristmill, and a Baptist church. A post office
also opened in that year. By 1890, the town had a
population of 100 to 200. In the mid-1980's Anna
had 855 residents, several businesses, and a
strong sense of community. Anna was
incorporated in 1913, with John L. Greer as first
mayor. The Census shows the population
increased to 1,225 By 2000 and to 8,249 by 2010.
Today the estimated population is approximately
14,000.
(Source: City of Anna and Anna Chamber of Commerce)
Local Economy
The City of Anna's economic outlook continues to
improve due to the overall improvement in the
economy and continued residential and
commercial growth. This is evidenced by local
economic indicators such as a continued increase
in tax appraisal values, the increase in residential
building permits, and continued sales tax growth.
Please see General Fund revenue section
beginning on page 28 for historical information on
taxable assessed value, tax rate, sales tax, and
building permits.
The Anna Economic Development Corporation
actively recruits companies that add to the
diversity of the City's local industry while providing
residents with good employment. A new Walmart
Super Center opened in April 2017. This will
continue to have a significant impact on the City's
sales tax revenue. The Walmart store is the
primary anchor of a 30-acre retail site that we
anticipate will in the near future.
Anticipated growth is expected to continue for the
north Collin County region. This has improved the
overall connectivity and mobility to and within
Anna, but also will bring continued growth and
new development.
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Overview General Debt Service
Fund Fund
Utility
Fund
Component Supplemental
Units Information
Anna
DEMOGRAPHICS
Education
Employment
ANNA
ISO
ANNA CENSUS 2010 DATA
➢
Number of Enrolled Students: 3,602
Population (16 years and older)
5084
➢
Rattan Elementary 548
In Labor Force
3742
➢
Bryant Elementary 684
Civilian Labor Force
3719
➢
Harlow Elementary 553
➢
Anna Middle School 862
Employed
3583
➢
Anna High School 955
Employed In:
Management, Business, Science,
AREA
UNIVERSITIES AND COLLEGES
and Arts
1198
Service Occupations
607
➢
Collin County College at Allen (Allen)
Sales and Office Occupations
996
➢
Collin College Preston Ridge Campus
Natural resources, construction, &
(Frisco)
maintenance
358
➢
Collin College Higher Education Center
Production, transportation, &
(McKinney)
material moving
424
➢
Collin College Central Park Campus
Unemployed
136
(Plano)
Armed Forces
23
➢
Grayson County College (Denison)
Not in Labor Force
1342
➢
Texas A&M University (Commerce)
➢
Southern Methodist University (Dallas)
(source: census 2010)
➢
Southern Methodist University at Legacy
(Plano)
➢
University of Dallas (Plano)
➢
Austin College (Sherman)
➢
University of Texas at Dallas (Richardson)
➢
University of North Texas (Denton)
➢
Texas Women's University (Denton)
2011 2012 2013 2014 2015 2016 2017
City of Anna 8,300 8,580 9,360 10,350 10,980 11,320 12,390
Collin County 764,424 788,580 811,308 836,947 862,215 939,585 969,603
I.W,
.^
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Overview General Debt Service Utility Component Supplemental
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Anna
City of Anna Population Growth
12000
10000
8000 —
6000
4000
2000 -
0
2C51 2009 2011 2013 2015 2017
ANNA RECOGNIZED AS ONE OF THE SAFEST CITIES
During FY 2017, Anna was recognized as being on of the top 50 safest cities by the National Council for
Home Safety and Security and Safewise. To determine the safest cities in Texas, both sources used the FBI
Uniform Crime Report statistics.
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Anna
Budget Process
The annual budget is the single most important financial responsibility of a
local government. Citizens are able to see how city officials and staff plan to
spend taxpayer dollars. Once the budget is adopted, funds may only be spent
in a manner consistent with the stated plans, objectives, and policies outlined
in the budget unless amended in accordance with the City Charter and by
approval of the City Council.
The budget begins with a transmittal letter written
by the City Manager to the City Council. The
purpose of this letter is to officially present the
budget to the City Council and provide an
executive summary highlighting budget conditions
and trends for the City of Anna.
The budget is divided into four specific sections:
introduction, financial/operational summaries by
fund, component units, and supplemental
information. The introduction contains the
transmittal letter, policy statements to guide City
officials and staff, and an overview of budget
practices and administration within the City of
Anna. The financial/operational section of the
budget will contain specific information on each
fund and the various departments the City
operates. Activities, services, goals, and
objectives will be outlined for each department.
Comparisons of revenue and expenditures will be
presented for the actual amounts from the
previous fiscal year (FY), the current FY budget,
the current FY estimate, and the proposed budget
for the upcoming FY.
General Budget process, practice, and
administration
The budget follows a FY beginning on October 1
and ending on September 30. Each year the
budget is adopted by the Council, which sets the
legal spending limits for the government during the
upcoming FY. In order to prepare for and adopt
the budget on time, the city must follow a schedule
allowing for sufficient time to adequately evaluate
current and past budgets, current economic
conditions, and project revenues and expenditures
for the upcoming budget. The budget is
developed by line items at the department level
and adopted at the fund level.
Many individuals are involved in the budget
process. City officials, department staff, and the
public are all involved; however, the primary
responsibility to assemble and create the
document falls upon the City Manager and
Finance Director. The City follows a schedule to
ensure the budget progresses in a timely manner.
Following you will see a budget calendar the City
follows(ed) for the preparation and adoption of this
document.
Throughout the year the Finance Department
provides periodic and regular reports to
department directors. These reports are used to
analyze current and projected revenues and
expenditures. In this way, department heads are
able to control their expenditures, maintain their
budgets, and project future expenditures
throughout the year. This is crucial to the budget
process as conditions and situations may change
throughout the year. Once the budget is adopted,
it can only be amended under certain provisions
established through the City's charter. If
?0 1
I''1
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Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
/10\
amendments are required it is imperative that
budget amendments be accurate and only occur
when absolutely necessary. In this way, the
budget process occurs continually throughout the
year; first to ensure that budgets are maintained,
second to prepare for any amendments that may
be necessary due to unforeseen circumstances,
and third to evaluate trends in preparation for the
upcoming budget.
While the budget process is ongoing, the bulk of
the work begins at the end of the 2nd quarter of
each fiscal year. Beginning in April, department
directors submit their proposed operating budgets
and capital improvements plans to the City
Manager. This includes the estimated cost for all
projects currently in the capital plan and plans for
any newly proposed projects. These expenditure
projections are reviewed extensively for accuracy,
justification, and cost-effectiveness. By the end of
April all projected revenues and expenditures for
the subsequent fiscal year are due. Throughout
the first 2 weeks of May, the City Manager and
Finance Director will meet jointly with each
department head to review the department's
budget proposal, including the line item details.
Additionally, the City Manager and Finance
Director will refine the Capital Improvements Plan
to determine which projects or items should be
addressed in the upcoming budget year. The
remaining capital improvements and large capital
purchases are also outline for a five-year period,
as well as the potential funding sources.
The City Council conducts workshop sessions
throughout April, May, June, and July to discuss
departmental budgets, review supplemental
requests, and review priorities. The workshop
meetings with the Council are public meetings
where citizens can come to participate and hear a
review of each department's current
accomplishments and discuss priorities and goals
for the subsequent year's budget.
During the time workshops are scheduled, staff
will continue to refine the budget as more
rlmN information becomes available. Budget requests
and priorities are carefully weighed to ensure that
city functions and services will be maintained while
allowing for increased services where necessary.
Upon conclusion of all department budget
workshops and in consideration of priorities
established in the City's Strategic Plan, staff will
present a preliminary draft of a balanced budget to
the City Council by the middle of August. Once
the Council has reviewed the preliminary draft, a
final workshop will be held in late August when the
budget has been made available for public review.
Once the budget is made available, a public
hearing will be held on the budget where citizens
can express their views on particular budget items.
The hearing typically occurs in late August or early
September.
As will be discussed later, property taxes are a
major driver of the City's Budget. The Collin
Central Appraisal District (CAD) provides the tax
roll with information on the taxable value of
properties within the City of Anna. Staff receives
periodic reports from the CAD to evaluate trends
in the taxable value in order to estimate property
tax revenue. Once certified tax rolls are available
from Collin County, the City will finalize the
proposed budget including a recommended
property tax rate that will allow the city to meet its
financial obligations. The certified tax rolls are
typically available no later than July 25th, the
proposed budget presented in late July will
include the proposed tax rate to fund the
budget.
Depending on the official tax rate calculation from
the Collin County Tax Assessor -Collector, tax rate
hearings typically occur in late August and/or early
September. Formal adoption of the budget and
tax rate is typically scheduled for mid -September.
The Government Finance Officers Association of
the United States and Canada (GFOA) presented
a Distinguished Budget Presentation Award to the
City of Anna for its annual budget for the fiscal
year beginning October 1, 2017. In order to
receive this award the governmental unit must
publish a budget document that meets the
program criteria as a policy document, an
operations guide, as a financial plan, and as a
communications device.
21
Overview General Debt Service Utility
Fund Fund Fund
Component Supplemental
Units Information
While the City of Anna has received this award for
five consecutive years, it is valid for a period of
one year only. We believe our current budget
continues to conform to program requirements,
and we intend to submit it to GFOA to determine
its eligibility for another award.
Anna
For more information on the budget process and
administration of the budget, please refer to Article
7 of the City of Anna Charter included in the
supplemental section of the budget.
r�
22
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Am*.,
Anna
GOVERNMENT FINANCE OFFICERS ASSOCIATION
Distinguished Budget
Presentation Award
PRESENTED TO
City of Anna
Texas
For the Fiscal Year Beginning
October 1, 2017
Executive Director
Government Finance Officers Association of the United States and Canada (GFOA) presented
a Distinguished Budget Presentation Award to the City of Anna, Texas for its Annual Budget for the
fiscal year beginning October 1, 2017. In order to receive the award, a governmental unit must
publish a budget document that meets program criteria as a policy document, as a financial plan, as
an operations guide, and as a communication device.
This award is valid for a period of one year only. We believe our current budget continues to
confirm the program requirements, and we are submitting it to GFOA to determine eligibility for
another award. This is the fifth consecutive year that the City of Anna has received the
Distinguished Budget Presentation Award from GFOA.
23
Overview General Debt Service Utility Component Supplemental
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Anna
FY 2019 Budget Calendar
April13th April20th April30th
• i it 5 Year CIP Departmental FY City Manager &
ity Manager 2019 Budget Finance to meet
,7-
Projections Due with Directors
May 1 -14
• M and Finance
May •
- `ontinue to
with Dire
IL
June 12th
Council
Workshop - Draft
Water, Sewer, &
UB Budget
July 24th
Resolution of
Date, Time &
Place on Budget
00 Hearing
kL
August 14th
August 201Q resent Proposed
Budget/Vote on
00 Max Tax Rate
%7H
September 4th
• •'Special Called
Meeting- 2nd
000
•earing Tax Rate
& Budget Hearing
May 8th
Council Workshop -
Preliminary
Revenue Estimates
June 1st-30th
City Manager &
Finance to refine
budget
July 25th
Chief Appraiser -
Certify Appraisal
Rolls
August 28th
1st Hearing on
the Tax Rate
September 11th
City Council Adopt
Budget & Ratify
Tax Rate
May 22nd
Review Draft
Admin, Public
Safety & Courts
Budgets
24
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
^s
/1
Anna
Description of Fund Structure
The budget is organized by funds with departments and line items all
rolling up to the fund level. A fund is generally defined as a
fiscal/accounting entity with its own set of self -balancing accounts.
Each fund can be presented independent of the other funds to
illustrate that funds' purpose for specific activities.
The City of Anna deploys Governmental and
Proprietary Funds. Governmental funds are used
for the bulk of the activities carried out by the City.
The focus of Governmental funds is the flow of
current financial resources. The Governmental
funds account for services like Police and Fire in
the General Fund, as well as debt in the Debt
Service Fund, capital projects in the Capital
Improvements Fund, and restricted/special
revenues. Propriety or Enterprise funds focus is
that of a business which charges a fee to cover
the cost of providing goods or services. The
Utility Fund, which accounts for water, sewer, and
trash services provided to the citizens of Anna, is
an Enterprise Fund.
Basis of Budgeting
Budgetary basis refers to the basis of accounting
used to estimate financing sources and uses in the
budget. Accrual basis of accounting is used to
estimate financing sources and uses in the
budget. Accrual basis of accounting indicates
revenues are recorded as they are earned
(whether or not cash is received at the time) and
expenditures are recorded when goods and
services are received (whether cash disbursement
has been made at the time or not). Modified
accrual is the method under which revenues and
other financial resource increments are recognized
when they become susceptible to accrual; that is,
when they become both "measurable" and
"available" to finance expenditures of the current
period. "Available" means collectible in the current
period or soon enough thereafter to be used to
pay the liabilities of the current period.
The City of Anna accounts and budgets for all
Governmental Funds using the modified accrual
basis of accounting except where the accrual
basis is specified by generally accepted
accounting principles. The Proprietary/Enterprise
Funds are accounted for using the accrual basis of
accounting in accordance with generally accepted
accounting principles.
Governmental Fund Types
General Fund — This is the primary operating fund
for the City. The General Fund revenue is from
taxes, fees, fines, licenses, etc. General Fund
expenditures are for typical municipal services
such as Police, Fire, Ambulance, Parks, Streets,
and Administration.
Debt Service Fund — This fund accounts for all the
long-term debt supported by taxes and issued to
support governmental fund type activities. A
portion of the property tax levy (Interest and
Sinking Rate) is dedicated to support this fund.
Principal and interest payments on long term debt
are found in the Debt Service Fund.
Capital Improvements Fund —This fund accounts
for major capital projects and improvements such
as streets, sidewalks, park projects, etc.
Revenues for this fund are restricted for the
project. Revenue sources include bond proceeds,
fund transfers, and intergovernmental revenue
25
overview General Debt Service Utility Component Supplemental
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from other governmental entities such as TxDOT
and Collin County.
Restricted Revenue Trusts Funds— With the
exception of capital projects, this accounts for
revenue sources that are legally restricted to
expenditures for a specific purpose and in
accordance with the enabling legislation.
Proprietary/Enterprise Fund Types
Utility Fund — This fund accounts for the operation
GENERALFUND
RELATIONSHIP
Anna
and maintenance of the City's water and waste
water utility system and the contract for solid
waste collection services. This fund is financially
supported solely by user charges for utility and
trash service.
Below are two diagrams representing the
departments that make up the General Fund and
the Utility Fund, as well as a chart which shows
the funds that support and/or are managed by
each department.
GENERALFUND
Ap,
lo..
Ki
e,
r-%k
overview General
Debt Service
Utility
Component
Supplemental
Fund
Fund
Fund
Units
Information
Anna
General Fund
Administration
J
City Council
J
City Manager
J
City Secretary
J
Finance
J
Development
J
Police
J
Animal Control
J
Fire
J
Ambulance
Municipal Court
J
Streets
J
Public Works Administration
Water
Sewer
Solid Waste
UTILITY FUND
RELATIONSHIPS
Special Capital
Fund Revenue Funds Proiects Funds
J
J
J
J
J
J
J
J
J
J
J
J
J
J
27
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
Staffing Schedule
FISCAL YEAR 2019
ACTUAL
ACTUAL
ACTUAL
ACTUAL
PROPOSED
Increase
(Decrease)
General Fund
FY15
FY16
FY17
FY18
FY19
FY19
City Manager
2.5
2.5
2.5
3.5
3.5
City Secretary
1
1
1
1
1
-
Finance
4
4
4
4
5
1
Development
4
4
4
4
5
1
Fire
7
7
9
11
13
2
Police
15
16
17
18
22
4
Municipal Court
1
1
1
1
1
-
Parks & Recreation
2
4
5
7
7
-
Streets
0
3
3
6
7
1
Total General Fund
36.5
42.5
46.5
55.5
64.5
9
Public Works Administration
0
5
5
6
7
1
Public Works Water
13
4
4
7
9
2
Public Works Sewer
2
4
4
6
7
1
Utility Billing
2.5
2.5
3.5
4
3
-1
Total Water & Sewer Fund
17.5
15.5
16.5
23
26
3
Community Development
0
0
0
1
1
-
Total City of Anna
54
58
63
79.5
91.5
12
Employees, All Funds
All positions are shown as full-time
equivalents (FTE).
Proposed FY19
Add 1 FTE in Finance Payroll Specialist
Add 1 FTE in Development for a GIS Employee
Add 2 FTE in Fire for Firefighters
Add 4 FTE in Police for 2 Police Officers, a Civilian Support Position, and a Sergeant
Add 1 FTE in Streets for a Maintenance Worker II
Add 1 FTE in Public Works Administration for a Right of Way Inspector
Add 1 FTE in Public Works Water for a Service Order Technician
Move 1 FTE in Utility Billing Service Order Technician to Pubic Works Water
Add 1 FTE Public Works Sewer for a Wastewater Crew Leader
14MN
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Overview General Debt Service Utility Component Supplemental
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Anna
General Fund
Revenue
The City of Anna finances its general fund activities from three types of
revenue; taxes, fines & fees, and user charges. These include property and
sales taxes, licenses & permits, and fines. Beneficiaries of General Fund
Services are not generally required to pay a fee commensurate with the
value of the services received. The top four revenue sources are (1) property
taxes, (2) sales tax, (3) franchise tax, and (4) development fees. Most
franchise taxes in the City of Anna are not locally controlled and are subject
to state law. The focus will be on the three locally controlled revenue
sources, property taxes, sales tax, and development fees which constitute
approximately 85% of FY 2019 revenues.
FY 2019 PROPOSED GENERAL FUND BUDGET
SALES TAX, 19°%
PROPERTY TA
PNIENT, 9
FRANCHISE TAX, 6%
COURT,1%
OTHER, 4%
TRANSFER IN, 4%
gen
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Property Tax
The Ad Valorem Property Tax revenue (57%) is
a function of the tax rate the City formally adopts
each year. The Collin Central Appraisal District
(CCAD) establishes the value of each property
within the City of Anna and the City applies the
maintenance and operations portion of the rate
to the certified value provided by CCAD. The
certified taxable assessed value for the tax year
2018 is $1,115,372,832. This represents an
increase of 25.12% and is due, in part, to the
addition of just over $116 million in new value
and an increase of approximately 12% in the
taxable assessed value of existing properties.
1,200,000,000
1,000,000,000
600,000,000
400,000,000
200,000,000
Anna
After four years of declining property values
between 2009 and 2012, property values
eventually stabilized in 2013 when the total
taxable value exceeded for the first time the
previous peak for taxable value set in 2008.
Beginning in 2013, strong population growth and
new construction has delivered increasing
demand for new homes and led to growth in the
taxable value each year. Continued growth and
new construction in 2017 has contributed to a
significant increase in total taxable value for the
2018 tax year. We remain guardedly optimistic
that a trend of market appreciation and modest
growth will continue in the coming years.
Taxable Assessed Value Over Time
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
The growth in taxable value corresponds to a significant increase in population over the past year. According
to the most recent population estimates published by the North Central Texas Council of Governments, the
City of Anna population as of January 1, 2018 was approximately 14,000.
ce
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
60
60
h\
The following table details the change in TAV, tax rate(s), and property tax revenue over time:
Tax Year
Assessed Value
Total Tax Rate
M&O Rate
Debt Service Rate
Total Property Tax
Revenue
2000
29,991,809
0.529900
0.256300
0.273500
$ 150,809.00
2001
35,320,292
0.579900
0.151100
0.428800
$ 182,838.00
2002
52,462,163
0.499700
0.499700
0.000000
$ 288,103.00
2003
79,351,888
0.499700
0.499700
0.000000
$ 407,430.00
2004
136,234,607
0.499700
0.499700
0.000000
$ 693,504.00
2005
211,508,957
0.525000
0.525000
0.000000
$ 1,148,140.00
2006
288,590,455
0.525000
0.525000
0.086300
$ 1,541,817.00
2007
356,238,071
0.575000
0.466700
0.108200
$ 2,015,950.00
2008
383,961,925
0.575000
0.479400
0.095500
$ 2,207,626.00
2009
378,153,710
0.622733
0.529939
0.092800
$ 2,354,888.00
2010
365,119,804
0.650332
0.554225
0.096107
$ 2,374,491.00
2011
362,969,678
0.065033
0.559367
0.090965
$ 2,360,508.00
2012
376,578,308
0.065033
0.559367
0.090965
$ 2,449,009.00
2013
430,704,884
0.650332
0.559367
0.090965
$ 2,801,012.00
2014
510,888,329
0.649000
0.545826
0.103174
$ 3,315,665.00
2015
609,657,456
0.639000
0.532341
0.106659
$ 3,895,711.00
2016
726,642,896
0.629000
0.506582
0.122418
$ 4,570,584.00
2017
891,474,571
0.601288
0.478870
0.122418
$ 5,360,330.00
2018 Certified
1,115,372,832
0.591288
0.428122
0.163166
$ 6,595,066.00
31
Overview General Debt Service utility Component Supplemental
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Anna
Tax Rate
Below is a summary of the proposed 2018 tax year tax rates of our comparison cities to our proposed
2018 tax rate.
Tax Rate Comparison
0.8
0'7
0.688
0.645
0.591 0.610 0.622
0.6
0.505 0.520 0.525
OS 0.447
0.4 0.360
03
0.2
0.1
0.0
Fairview Frisco Allen Prosper McKinney Anna Melissa Royse Ctty Celina Uttle Elm Princeton
Sales Tax
Sales tax revenue accounts for 19% of General
Fund Revenue. The City currently levies a 2%
sales tax that is in addition to the 6.25% the
state levies. In November of 2017, a ballot
proposition to reallocate a portion of the local
option sales tax to the General Fund was
approved. As a result, the portion of the sales
tax revenue allocated to the General Fund
increased from 1 % to 1.25%, with .25% being
dedicated to streets projects. This reallocation
was effective in April 2017. The remaining .75%
goes to fund the Community Development
Corporation. As the City has grown, so has the
sales tax base. The sales tax for
FY 2019 reflects a conservative increase of
approximately 5% over the FY 2018 estimate.
Since 2010 the City has seen average annual
sales tax growth of approximately 18.5%.
approach to budgeting sales tax revenue. In
years with declining values, sales tax was a
bright spot in mitigating declining property tax
revenue. As a result, the approach is to budget
The City has historically taken a conservative
conservatively for growth in sales tax. In past
years, the City estimated no growth over the prior
year when projecting for the next year's sales tax
revenue.
This allowed the City to fund supplemental
requests and budget amendments later in the
fiscal year if sales tax exceeds expectations.
However, due to the addition of Wal-Mart and the
current trend in sales tax, the City did project a
slight increase of just under 5% for FY 2019 over
the estimated FY 2018. The City will continue to
monitor and analyze the potential revenue source.
General Fund Sales Tax Revenue
Fiscal Year
Sales Tax
%Change
2000
$37,586
-12.06%
2001
$43,827
16.60%
2002
$61,160
39.55%
2003
$78,236
29.38%
2004
$115,843
46.39%
2005
1 $155,399
34.15%
2006
$225,886
45.36%
2007
$286,947
30.12%
2008
$348,632
14,56%
2009
$384,642
14.23%
2010
$438,071
12.67%
2011
$537,544
18.92%
2012
$522,840
10.64%
2013
$574,679
11.37%
2014
$675,516
14.12%
2015
$736,481
10.43%
2016
$771,155
4.71%
2017
$1,203,749
56.10%
2018 Estimated
$1,537,000
27.68%
2019 Proposed
$1,612,500
4.91%
i►,
l"ft�
32
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Aa*.
Sales Tax History
$1,800,000
Anna
$1,600,000
$1,400,000
$1,200,000
$1,000,000
$800,000
$600,000
$400,000
$200,000
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Development
Development revenue is driven by building
activity in the City. Development revenue is a
combination of building permits, zoning fees,
plat fees, contractor registration fees, and all
other fees related to the permitting and
approval of construction activity in the City. The
City experienced a sharp decline in building
permits from 2006 through 2010 that coincided
with the recession. As the economy improved,
we saw strong growth in single family permits
through 2012; however, lot inventory began to
diminish as developers had not added inventory
to keep up with demand. As that inventory
diminished we observed modest drop in
building activity. In 2016, as the developers
began increasing thelot inventory to keep up
with the continually increasing demand for
housing in Anna, the City began tosee a strong
Estimated Proposed
growth once again in single family permits.
To date in FY 2018, the City has received 188
building permit applications for single family
homes which is down over the prior year due
once again experiencing a shortage in lots.
The FY 2019 budget reflects a conservative
increase of 300 building permits for purposes of
budgeting revenue and expenditures.
We anticipate that new home construction will
continue to increase as subdivisions that are
under construction or in various stages of the
development process are completed and
become available in the market There are
currently six residential developments under
construction that will add over 1,170 single
family lots to our inventory over the next 12 to 18
months. In addition, there are 2,594 lots that are
currently in the planning phase.
33
Overview General Oebt Service Utility Component Supplemental
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Anna
Building Permits by Year
500
450
400
350
300
250
200
150
100
50 ® �.
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 YTD
Illustrated below is a brief history of revenue
sources for the City of Anna. Proposed revenue
for FY 2019 is up 6.75% over the budgeted
amount for FY 2018. Property taxes are up by
14.47% over FY 2018 due to continued
population growth and growth in commercial
development. The estimate for FY 2018 is based
upon performance over the first 3 quarters of the
fiscal year including historical and seasonal /%%.
trends.
General Fund Revenue Summary
PROPERTY TAX
$3,731,880
$4.269.004
$4,277,741
$4,774,602
11.84%
SALES TAX - GENERAL
$1,059,423
$1,360,028
$1,250,000
$1,312,500
-3.49%
SALES TAX - STREETS
$144,326
$336,326
$287,000
$300,000
-10.80%
DEVELOPMENT
$1,168,117
$821,500
$864,000
$752,000
-8.46%
FRANCHISE FEES
$504,330
$460.000
$498,000
$509,000
10.65%
COURTFEES
$73,918
$89,000
$52,600
$52,500
-41.01%
OTHER
$722,687
$598,013
$706,013
$293,341
-50.95%
TRANSFER IN - UT
FUND
$0
$0
$0
$375,118
100.00%
M
Overview General Debt Service Utility Component SUpplemental
Fund Fund Fund Units Inlonnalion
General Fund
Expenditures
The General Fund accounts for the expenditures associated with operating
the general government services one typically expects from their municipal
government and are funded in part or in whole with property taxes. These
services include public safety, parks, streets, planning, and the general
administrative support for these services and the City Council.
The chart below illustrates the percentage of the
budget attributed to each department. For FY
2019, public safety will account for 49% of the
budget. This includes police, fire, ambulance
services, and animal control.
The table on the following page illustrates a brief
history for each department from FY 2017
through FY 2019. The table includes actual costs
from FY 2017, budgeted and estimated costs for
FY 2018, proposed budget for FY 2019, and the
percent change from the FY 2018 budget.
The proposed FY 2019 budget has a decrease of -
1.93% over the FY 2018 budget. This is due to the
removal of the transfer out for municipal facilities.
These funds will be used to offset the reduction in
the maintenance and operations (M&O) portion of
the tax rate. Increases in department budgets can
be attributed to (1) new positions funded in the
budget, (2) merit increases (3) equipment
replacement costs, and (4) increases in employee
benefit costs. These changes are detailed in the
departmental summaries thatfollow.
FY2019 PROPOSED GENERAL FUND BUDGET
PARK
MUNICIPAL COURT 6%
POLICI
28%
AMBULANCI
2%
STREET
--' T^ANSFER OUT
0%
FIRE ANIMALCONTROL
18% 1%
IDMINISTRATION
6%
CITY MANAGER'S
OFFICE
6%
CITY SECRETARY
2%
NANCE
6%
WENT
1U%
35
Overview General Debt Service Utility
Fund Fund Fund
Component
Units
Supplemental
Information
Anna
General Fund Expenditure S
ACTUAL
BUDGET
ESTIMATE
PROPOSED
% CHANGE
ADMINISTRATION
$303,262
$381,067
$499,404
$487,902
28.04%
CITY COUNCIL
$27,656
$36,625
$30,134
$33,803
-7.71%
CITY MANAGER'S OFFICE
$319,656
$420,538
$440,348
$520,081
23.67%
CITY SECRETARY
$138,368
$143,839
$132,897
$138,379
-3.80%
FINANCE
$415,223
$429,540
$402,296
$482,630
12.36%
DEVELOPMENT
$851,779
$783,567
$815,268
$796,737
1.68%
ANIMALCONTROL
$50,773
$56,799
$57,513
$57,909
1.95%
FIRE
$1,001,599
$1,269,487
$1,241,401
$1,538,002
21.15%
AMBULANCE
$143,173
$142,270
$142,270
$142,270
0.00%
POLICE
$1,849,323
$2,097,628
$1,928,687
$2,376,057
13.27%
MUNICIPAL COURT
$115,543
$133,572
$127,293
$130,071
-2.62%
PARK
$375,123
$540,951
$547,092
$512,523
-5.26%
STREET
$520,426
$1,620,676
$1,310,234
$906,498
-44.07%
XFER TO GRANT FUND
$0
$71,134
$68,007
$32,854
-53.81%
XFER FOR MUNICIPAL FACILITIES
$117,785
$405,886
$350,000
$0
-100.00%
XFER FOR STREETS PROJECTS
$0
$0
$0
$0
0.00%
CONTINGENCY
$0
$0
$0
$213,345
100.00%
TOTAL
$6,229,690
$8,533,579
$8,092,843
$8,369,061
-1.93%
36
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Anna
Departmental Summaries
Each departmental summary includes its purpose, FY 2018
Accomplishments, and FY 2019 goals. A summary of expenditures are
included as well as new programs or noteworthy changes from the FY 2019
budget. Expenditures are summarized into the following categories:
Payroll
Payroll expenditures include all the costs
associated with the employees in that
department.
The payroll category includes salaries and
wages, overtime, payroll taxes, health
insurance,
retirement, unemployment, workers
compensation, and other related payroll costs.
A-'` Supplies
Supply expenditures include office supplies,
vehicle supplies, fuel, postage, medical
supplies, clothing supplies, chemical supplies,
protective gear and other consumable items.
Maintenance
Maintenance expenditures include maintenance
and repair costs for all city assets, equipment,
and other city owned property, such as
buildings, streets, parks, water and sewer
General Fund
system (in the Utility Fund), vehicles, equipment,
etc.
Services
Service expenditures include services which
the City pays for. Items such as utility costs,
telephones, liability & property insurance,
employee travel & education, advertising for
public notices, etc. This category also
includes professional services such as
engineering or auditing, and contracted
services such as IT
services, dispatch services, legal, animal
control, etc.
Capital Expenditures
Capital expenditures include items such as
machinery, equipment, motor vehicles, building
renovations, etc.
The table below illustrates how departments will
be summarized.
ACTUAL
BUDGET
ESTIMATE
PROPOSED
CHANGE
PAYROLL
$3,613,255
$4,294,997
$4,078,900
$5,309,538
24%
SUPPLIES
$327,148
$522,177
$491,770
$438,867
-16%
MAINTENANCE
$221,861
$390,848
$270,400
$196,000
-50%
SERVICES
$1,642,595
$1,777,522
$1,866,704
$1,990,957
12%
CAPITAL EXPENDITURES
$294,697
$1,071,015
$967,062
$187,500
-82%
TRANSFER OUT
$117,785
$477,020
$418,007
$32,854
100%
CONTINGENCY
$12,349
$0
$0
$213,345
100%
TOTAL
$6,229,690
$8,533,579
$8,092,843
$8,369,061
-1.93%
37
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Anna
10-400 Administration
Purpose / Description
The Administration Department provides general administrative support to all
the functions, programs, activities, and projects in the General Fund. These
activities have costs not readily assignable to any specific department.
Administration covers several shared expenses at City Hall (utilities, supplies,
etc.) as well as other General Fund expenses (IT services).
FY 18 Accomplishments
Hurricane Creek Economic Development PID/TIRZ Agreement
Municipal Facilities Project - The complex will include a new Central Fire Station as well as a
City Hall and Police combination facility. The funding for the project has been secured and the
city anticipates completion of these facilities in late 2020
FY 2019 Objectives
Guiding Principle: Customer Focus
Conduct an event where households can drop off household hazardous waste not eligible for
disposal through our current solid waste contract
Goal: Diversify Housing and Neighborhood Options
Continued working with various development groups concerning improvement agreements
IM
Overview General Debt Service Utility Component Supplemental
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Anna
FY19 PROPOSED ADMINISTRATION BUDGET
SUPPLIES MAINT
2% 2°%
SERVICES
96%
Administration Expenditure Summary
ACTUAL
BUDGET
ESTIMATE
PROPOSED
% CHANGE
SUPPLIES
$6,134
$24,005
$23,505
$10,504
-56.24%
MAINT
$927
$8,100
$8,400
$8,100
0.00%
SERVICES
$283,853
$348,962
$467,499
$469,298
34.48%
CAP EX
$12,349
$0
$0
$0
100.00%
TOTAL
$303,262
$381,067
$499,404
$487,902
28.04%
39
Overview General Debt Service Utility Component Supplemental
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Anna
10-403 City Council
Purpose / Description
The City Council is the legislative body of the city functioning under a Home
Rule Charter. This department is designed to provide funding related to
administration of legislative matters including, professional development of
Council members.
FY19 PROPOSED CITY COUNCIL BUDGET
SUPPLIES
12%
Jt:KVK.I:J
88%
City Council Expenditure Summary
ACTUAL
BUDGET
ESTIMATE
PROPOSED
% CHANGE
SUPPLIES
$2,758
$9,500
$10,900
$4,000
-57.89%
MAINT
$0
$0
$0
$0
0.00%
SERVICES
$24,898
$27,125
$19,234
$29,803
9.87%
CAP EX
$0
$0
$0
$0
0.00%
TOTAL
$27,656
$36,625
$30,134
$33,803
-7.71%
L'LI
Overview General Debt Service Utility Component Supplemental
Fund Fund fund Units Information
10-406 City Manager
Purpose / Description
The City Manager oversees the implementation of City Council policies and
directives, manages the day-to-day operations of the City, administers the
annual operating budget, and promotes the overall interests of the
community. The City Manager's Office includes an Assistant to the City
Manager and the Human Resources Manager. The Assistant to the City
Manager serves as the City's public relations manager and provides oversight
of the City's Economic and Community Development Corporations.
FY 2018 Accomplishments
Managed implementation of the FY 2017-2018 Budget and Strategic Goals
Completed redesign of the City's website and optimize interface for mobile devices/tablets
Coordinated acquisition of easements for critical infrastructure projects
Continued coordination with TxDOT and other governmental partners on priority
transportation projects including the reconstruction of FM 455 and US 75
Completed the bond sale to fund construction of a new Municipal Complex
Implemented TIMECLOCK Plus an automated time and attendance program to streamline bi-
weekly payroll processes
Implemented Onboard Program for new hires
Implemented the Eagle Recognition Program for years of service awards
Successful completion of Employee Engagement Survey
Started the beginning processes with Laserfische and City Secretary for electronic record
keeping
FY 2019 Objectives
Evaluate the potential of implementing the TMRS Restricted Prior Service Credit
Guiding Principles: Fiscal Responsibility
Manage implementation of the FY 2018-2019 Budget and Strategic Goals
Continue to promote fiscally responsible practices in the management of city operations
Guiding Principles: Customer Focus
Ensure quality and timeliness of website and social media content
41
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Anna
Goal: Pursue Targeted Economic Development
Partner with the Economic Development Corporation and pursue activities and projects that
promote business and the job growth within the City of Anna
• Partner with the Economic Development Corporation on the purchase and development of
land for a new business park
Goal: Upgrade City Facilities and Infrastructure
• Commence architectural design for new community and municipal facilities
Goal: Build Transportation Infrastructure
• Continue coordination with TxDOT and other governmental partners on priority transportation
projects including reconstruction of US 75 and future reconstruction of State Highway 5
New & Noteworthy for FY 2019
The Receptionist position will be reclassified as Administrative Assistant/Records Clerk to
reflect increasing responsibilities of this position
42
Overview General Debt Service Utility Component Supplemental
Fund Fund Rmd Units Information
Ira
FY19 PROPOSED CITY MANAGER OFFICE
BUDGET
sul>�ue�.�
SERVICES, 4%
PAYROLL, 95%
City Manager Expenditure Summary
ACTUAL
BUDGET ESTIMATE
PROPOSED
% CHANGE
PAYROLL
$309,989
$401,938
$417,860
$491,456
22.27%
SUPPLIES
$467
$5,210
$6,553
$6,885
32.15%
MAINT
$0
$0
$0
$0
0.00%
SERVICES
$9,200
$13,390
$15,935
$21,740
62.36%
CAP EX
$0
$0
$0
$0
0.00%
TOTAL
$319,656
$420,538
$440,348
$520,081
23.67%
City Manager FTE Schedule
Description
FY15
FY16
FY17
FY18
FY19
City Manager
1
1
1
1
1
Assistant to the City
Manager
0.5
0.5
0.5
1
1
EDC/CDC Director
0.5
0.5
0.5
0
0
HR Manager
0
0
0
1
1
Admin Asst./Records Clerk
0
0
0
0
0.5
Receptionist
0.5
0.5
0.5
0.5
0
TOTAL
2.5
2.5
2.5
3.5
3.5
43
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Anna
10-409 City Secretary
Purpose / Description
The City Secretary provides administrative support to the City Council;
attends all the City Council meetings and keeps minutes of the proceedings;
works with the City Manager to prepare agendas and support materials for
City Council meetings; responds to requests for public information;
coordinates City elections; oversees the Records Management Program for
the City; and serves as custodian of all official City records.
FY 2018 Accomplishments
• Continued to digitize municipal records
• Coordinated the November 2017, May 2018 and June 2018 General Elections
• Provided support to City Council by attending all public meetings and hearings, and keeping
minutes of the proceedings of all public meetings and hearings
• Provided support to City Staff by ensuring official City documents are accessible
• Coordinated the re -codification of City Ordinances
FY 2019 Objectives
Guiding Principle: Accountability
• Conduct May 2019 General Election
• Complete re -codification project
• Prepare inventory of all departments records
Er
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
SER
FY19 PROPOSED CITY SECRETARY BUDGET
SUPPLIES, 1%
Anna
PAYROLL, 75%
City Secretary Expenditure Summary
0•
ACTUAL
BUDGET
ESTIMATE
PROPOSED
% CHANGE
PAYROLL
$94,541
$101,040
$100,618
$104,499
3.42%
SUPPLIES
$908
$650
$200
$1,200
84.62%
MAINT
$0
$0
$0
$0
0.00%
SERVICES
$42,919
$42,149
$32,079
$32,680
-22.47%
CAP EX
$0
$0
$0
$0
0.00%
TOTAL
$138,368
$143,839
$132,897
$138,379
-3.80%
City Secretary FTE Schedule
Description FY15 FY16 FY17 FY18 FY19
City Secretary 1 1 1 1 1
TOTAL 1 1 1 1 1
45
overview General Debt Service Utility Component Supplemental
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Anna
10-414 Finance
The Finance Department maintains the financial integrity of the city and
provides comprehensive and integrated financial management of the day-to-
day operations of the city. The Finance Department keeps and maintains
financial records; provides accurate financial reporting; invests public funds in
compliance with applicable laws, ordinances, and policies; oversees
purchasing, accounts payable; and general human resource administration;
and manages the City's information technology support operations.
FY 2018 Accomplishments
• Received the GFOA Distinguished Budget Presentation Award
• Submitted the Comprehensive Annual Financial Report for the GFOA Certificate ofAchievement
for Financial Excellence in Reporting
• Began evaluating financial software needs which will allow staff to increase efficiency
• Improved internal controls
• Improved efficiency in financial reporting
• Completed restructuring of bank accounts which allowed the City to invest funds more
efficiently and to increase investment returns
• The external audit for the period ending September 30, 2017 resulted in no deficiencies or
management comment items
• The City received a bond rating upgrade from Al to Aa3 citing from Moody's Investor Service
• Provided financial analysis to monitor the economic incentive agreements related to various
agreements
• Added an Accounting Technician position to help process accounts payable and keep up
with growing demand for service
• Continued to work to ensure financial transparency
FY 2019 Objectives
Guiding Principle: Fiscal Responsibility
• Ensure excellent fiscal management to maintain public trust
• Continue to monitor the impact of the economy on current financial conditions affecting the
City's revenues and expenses
• Continue to work toward improving and streamlining processes to ensure efficiency
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
,AV%k
r.
Anna
Guiding Principle: Accountability
• Complete a review of financial policies and make updates to reflect process and procedural
changes
• and/or improvements
• Monitor long range financial plans for debt management and selected operating funds
• Create a Financial Procedures Manual
• Continue to evaluate and improve internal controls
Guiding Principle: Innovation
• Continue to partner with Enterprise Fleet Management to better manage and budget for vehicle
maintenance, purchases, and replacement
• Continue to evaluate financial management, and reporting software needs of the City, and make
recommendations for upgrades and new software as necessary
Guiding Principle: Transparency
• Ensure Annual Debt Report is updated on the City's website for compliance of House Bill
1378
• Ensure Check Registers are updated on a quarterly basis on the City's website
• Publish Annual Budget and Comprehensive Annual Finance Reports on the City's website
• Continue to improve upon and provide additional information in the budget book and CAFR in
order to increase transparency and to receive professional awards and recognition from
GFOA
New & Noteworthy for FY 2019
• A Payroll Specialist position has been added to allow needed separation of duties
between Human Resources and Payroll and to keep up with the growing number of City
employees
47
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Anna
FY19 PROPOSED FINANCE BUDGET
SERVICES
7%
PAYROLL
91%
Finance Expenditure
Summary
0•
ACTUAL
BUDGET
ESTIMATE
PROPOSED
%CHANGE
PAYROLL
$339,646
$375,712
$357,400
$440,331
17.20%
SUPPLIES
$4,475
$7,050
$6,510
$6,800
-3.55%
MAINT
$0
$0
$0
$0
0.00%
SERVICES
$71,102
$46,778
$38,386
$35,499
-24.11%
CAP EX
$0
$0
$0
$0
0.00%
TOTAL
$415,223
$429,540
$402,296
$482,630
22.36%
Finance
FTE Schedule
Description
FY15
FY16
FY17
FY18
FY19
Finance Director
1
1
1
1
1
Accountantll
1
1
1
1
1
Finance/Budget Analyst
1
1
1
1
1
Payroll Specialist
0
0
0
0
1
Account Clerk
0
0
0
1
1
HR Manager
0
0
1
0
0
HR Administrator
1
1
0
0
0
TOTAL
4
4
4
4
5
W
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
10-420 Development
Purpose / Descriptio
The Development Department promotes sustainable development consistent
with the City's Strategic Plan through fair, consistent and ethical enforcement
of the City's land development regulations. The Development Department
ensures that new development occurring within the City and its extra-
territorial jurisdiction is consistent and in compliance with the City's
comprehensive plan, zoning ordinance, subdivision ordinance, building
codes, and other development regulations.
FY 2018 Accomplishments
Continued to work on updates to the City's Comprehensive Plan
Initiated a Neighborhood Design Manual
Conducted semi-annual (or as needed) meetings with builders to discuss procedure changes
and to listen to and address concerns
Resubmitted an application for TOOT Green Ribbon program
Initiated the Hurricane Creek Regional Sewer project
Review and processing of all permits that were submitted
FY 2019 Objectives
Goal: Improve Curb/Aesthetic Appeal of Community
Utilize the Green Ribbon Program to design and construct landscape enhancements within
the FM 455 median between U.S. Hwy 75 and SH 5
Develop a Downtown Wayfinding Plan consistent with our Strategic Plan
Develop schematic design for 4th Street streetscape improvements
Goal: Diversify Housing & Neighborhood Options
Continue and complete update of the City's Comprehensive Plan
Complete the Neighborhood Design Manual
Guiding Principle: Accountability
Continue to improve and streamline process for the issuance of permits and processing
development applications
Draft development regulations for the downtown district consistent with the updated
Comprehensive Plan
EEO
Overview General Debt Service Utility Component
Fund Fund Fund Units
Supplemental
Information
Anna
New & Noteworthy for FY 2019
• A GIS employee will be added to the Planning and Development Department to develop a
refined GIS presence for day to day operations, research, and mapping
50
Ina
FMO
,ft�
Overview General
Debt Service
Utility
Component
Supplemental
Fund
Fund
Fund
Units
Information
Anna
FY19 PROPOSED DEVELOPMENT BUDGET
SERVICES
43%
PAYROLL
55%
SUPPLIES
2%
Development Expenditure Summary
2017
0
ACTUAL
BUDGET
ESTIMATE
PROPOSED
% CHANGE
PAYROLL $317,215
$335,771
$362,050
$437,107
30.18%
SUPPLIES $6,542
$15,429
$14,544
$14,540
-5.76%
MAINT $375
$2,800
$2,800
$2,800
0.00%
SERVICES $527,646
$429,567
$435,874
$342,290
-20.32%
CAP EX $0
$0
$0
$0
0.00%
TOTAL $851,779
$783,567
$815,268
$796,737
1.68%
Development
FTE Schedule
Description
FY15
FY16
FY17 FY18
FY19
Director of Planning
1
1
1
1
1
Planner 11
1
1
1
1
1
Planner 1
1
1
1
1
1
G/S Specialist
0
0
0
0
1
Administrative Assistant
1
1
1
1
1
TOTAL
4
4
4
4
5
51
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
10-525 Animal Control
Animal control and animal shelter services are currently provided through a
contract with Collin County. Services include responding to citizen complaints
regarding animal control issues. The contract also allows animals captured
within the City of Anna to be housed at the Collin County animal shelter.
Animal Control does not have any personnel related costs as it is a
contracted service. The contract does not provide pro -active or routine
patrols and enforcement of animal control ordinances.
FY19 PROPOSED ANIMAL CONTROL BUDGET
Animal Control Expenditure Summary
,t e 01 1"yt "ui, 0 _
a ' rs k . +
ACTUAL BUDGET ESTIMATE PROPOSED
SERVICES $50,773 $56,799 $57,513 $57,909
TOTAL $50,773 $56,799 $57,513 $57,909
%CHANGE
1.95%
1.95%
52
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
10-543 Fire
Purpose / Description
The Fire Department provides professional fire suppression, rescue, fire
prevention, fire education, and emergency medical response services to the
community of Anna.
FY 2018 Accomplishments
• Conducted 5th annual Operation Santa
• Reviewed & updated fire prevention and inspection procedures
• Mapped all fire hydrants in the City
• Continued emergency management training with City Staff
• Applied for and received ten training grants from the Texas Forest Service
• Became involved with the NCTTRAC Zone 5
FY 2019 Objectives
Goal: Promote our Community Identity
• Begin the process to become a recognized department through the Texas Fire Chiefs
Association Best Practices Recognition program
• Continue to research and develop community safety and public relation programs
➢ Operation Santa
➢ Summer Camp for children
➢ Community C.P.R. Classes
➢ City employee C.P.R. training
➢ Citizens Fire Academy
➢ Fire Department Open House
Goal: Encourage Inter -Local Cooperation
• Maintain a proactive EMS program and continue to work with area departments and have
representation at the NCTTRAC Zone 5 meetings
• Continue to serve on the Anna ISD career technology advisory committee
• Continue to assist Public Works with fire hydrant mapping and testing
• Participate with the Collin County Volunteer Groups assisting in Disasters (CCVOAD)
Organization
Oa\
53
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
Goal: Upgrade City Facilities and Infrastructure
Work with the architect and contractor in the development and construction phases of Central
Fire Station
Work with UT Dallas in the development of a staffing study
• Continue to provide Emergency Management training to City staff
• Enhance professional staff development
New & Noteworthy for FY 2019
Two Firefighter positions will be added to improve personnel coverage increasing firefighter
safety and providing a more stable staffing model for our customers
Continued funding to provide for enhanced health screenings for employees and volunteers.
Increasing firefighter safety and fitness
Emergency outdoor notification system updated by adding a siren. This will enhance the
notification system to the customers who live in the south section of town
Two new vehicles will replace older vehicles in the fleet. One will be used as a command
vehicle and the other a new cab and chassis for a rescue unit
The FD will absorb the previously grant funded positions into the budget as they grant will
end 09/30/18
54
n
Overview General Debt Service Utility Component
Fund Fund Fund Units
Supplemental
Information
r-
A00N
MAI
3°
SUPPLIES
7%
FY19 PROPOSED FIRE BUDGET
CAP EX
2%
Fire Expenditure Summary
ACTUAL
PAYROLL
$672,978
SUPPLIES
$142,507
MAINT
$94,572
SERVICES
$67,495
CAP EX
$24,048
TOTAL
$1,001,599
Anna
'ROLL
3%
BUDGET
ESTIMATE
PROPOSED
%CHANGE
$807,835
$834,250
$1,122,757
38.98%
$194,900
$188,340
$109,120
-44.01%
$50,948
$32,500
$39,500
-22.47%
$79,310
$63,811
$239,125
201.51%
$136,494
$122,500
$27,500
-79.85%
$1,269,487
$1,241,401
$1,538,002
21.15%
Fire FTE Schedule
Description
FY15
FY16
FY17
FY18
FY19
Fire Chief
1
1
1
1
1
Deputy Chief
0
0
0
1
1
Fire Marshal/Code Enf Officer
1
1
1
1
1
Fire Shift Captain
3
3
3
3
3
Fire Fighter Day Shift
1
1
1
2
1
Fire Fighter
1
1
3
3
6
TOTAL
7
7
9
it
13
99
Overview General Debt Service Utility Component Supplemental
Fund Fetid Fund Units Information
10-544 Ambulance
Purpose / Description
Ambulance service is currently provided by AMR through a contract with
Collin County. The Ambulance Department does not have any personnel
costs as it is a contracted service.
FY19 PROPOSED AMBULANCE BUDGET
Ambulance Expenditure Summary
0:
ACTUAL BUDGET ESTIMATE PROPOSED
SERVICES $143,173 $142,270 $142,270 $142,270
TOTAL $143,173 $142,270 $142,270 $142,270
% CHANGE
0.00%
0.00%
56
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
/'!
Anna
10-550 Police
Purpose / Description
It is the Mission of the Anna Police Department to provide quality impartial police
services to our residents and visitors; this is, accomplished through Integrity,
Courtesy, Honor and Respect. In building strong collaborative partnerships with
members of the Anna community, we are committed to reducing crime, reducing
the fear of crime and maintaining a high quality of life within our city.
FY 2018 Accomplishments
Awarded "Texas Safest Cities" designation for 2018 (2nd year in a row)
• Established a Crime Stoppers program
➢ (P3Tips)
• Established social media presence
➢ Facebook
➢ Twitter
➢ Independent PD Website
• Established Coffee with Anna Cops Program
• Updated alarm ordinance and established new process for handling alarm permits and false
alarm management
➢ PM AM Corporation
• Applied for and received grant funding for two projects
➢ $139,379 for new records management system
➢ $79,871 for the continuation of the Child Abuse/Family Violence Investigator
Created bicycle unit to improve community relations
D Two officers were sent to 40-hour police bicycle certification school
• Cyber Counterintelligence Analyst certification for one investigator
Property room audit completed
• Training and implementation of Conducted Electronic Weapons (TASER)
• Explorer Post competed in regional competition and placed in two of the five events
FY 2019 Objectives
Goal: Promote our Community Identity
• Continue to build the strength of the social media platforms
• Continue efforts to become a recognized department through the Texas Police Chiefs
Association Best Practices Recognition program
• Develop solid recruiting/retention strategies (videos and other marketing tools)
• Continue building on the Coffee with Anna Cops Program
➢ Include a monthly evening event
• Continue participation in National Night Out, Glow Fest, July 4t^, and the Christmas Parade
events
• Continue to grow the Anna Police Explorer Post
57
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
Goal: Encourage Inter -Local Cooperation
• Complete mental health crisis intervention training (CIT) certification for all Police Officers
➢ Further develop our relationship with LifePath Systems and other mental health
providers
• Chief will continue as a sitting member of the North Central Texas Council of Governments
Criminal Justice Policy Development Committee
• Chief will continue as a sitting member of the Anna ISD Career and Technical Education
board
• Continue developing partnerships with other Collin County police agencies
New & Noteworthy for FY 2019
• Increased payroll costs
➢ Anticipated costs associated with the addition of four new positions
• CID Sergeant
• Two patrol officers
• One civilian CID clerk.
The PD will absorb the previously grant funded SRO into the budget as the three-year grant
will end 09/30/18
New in FY 2019, is the addition of a narcotics canine program. The Police K-9's
extraordinary ability to smell, agility, courage, and determination are recognized both OON
Nationally and Internationally. The Police dogs will be cross -trained to detect narcotics and
track to find lost/endangered missing children and adults. In addition, the K-9 will help build
public relations between the police and community by conducting school visits and public
demonstrations. The K-9 will also be a visible deterrent to criminal activity.
58
Overview General
Fund
Debt Service Utility
Fund Fund
Component
Units
Supplemental
Information
Anna
SUPPL
7%
FY19 PROPOSED POLICE BUDGET
CAP EX
0%
ILL
/77°
Police Expenditure Summary
ACTUAL
BUDGET
ESTIMATE
PROPOSED
% CHANGE
PAYROLL
$1,430,604
$1,512,140
$1,385,569
$1,867,389
23.49%
SUPPLIES
$102,353
$147,633
$136,935
$172,843
17.08%
MAINT
$16,285
$38,000
$36,200
$25,540
-32.79%
SERVICES
$172,504
$226,333
$237,800
$310,285
37.09%
CAP EX
$127,577
$173,522
$132,183
$0
-100.00%
TOTAL
$1,849,323
$2,097,628
$1,928,687
$2,376,057
13.27%
Police
FTE Schedule
Description
FY15
FY16
FY17
FY18
FY19
Police Chief
1
1
1
1
1
Records Administrator
1
1
1
1
1
Police Lieutenant
1
1
1
1
1
Police Sergeant
2
2
3
4
5
Police Officer
10
9
8
9
12
Child & Family Violence
Inv 0
0
1
1
1
Admin Asst
0
0
0
0
1
School Resource Officer
0
2
2
1
0
TOTAL
15
16
17
18
22
59
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
10-552 Municipal Court
Purpose / Description
The Municipal Court provides a fair, impartial and unbiased court system for
persons charged with criminal offenses. The Anna Municipal Court has
jurisdiction over all fine -only offenses that have been committed within the
Anna city limits including Class C misdemeanors, traffic offenses and
violations of City ordinances.
FY 2018 Accomplishments
• Continued to work with AMS and the Police Department on collection of warrants
• Continued to partner with a collection agency to increase warrantcollections
• Improved reliability of court data and payment service on kiosk
• Cross trained UB office staff to help with the processing of cases
• Increased community awareness of Municipal Courts' Week
FY 2019 Objective
Strategic Goal: Encourage Inter -Local Cooperation
• Implement and plan to participate in the Texas Warrant Round -up
Guiding Principles: Innovation
• Evaluate system to allow defendants to receive notification of citation and pay ticket via
smartphone
Guiding Principle: Accountability
• Continue work towards Level III Court Certification
• Continue to work with AMS and the Police Department on collection of warrants
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
,,
SERVICE`.
42%
FY19 PROPOSED COURT BUDGET
SUPPLIES
3%
Municipal Court Expenditure Summary
Anna
PAYROLL
55%
ACTUAL
BUDGET
ESTIMATE
PROPOSED
PAYROLL
$67,088
$71,517
$69,069
$71,847
SUPPLIES
$2,306
$3,950
$3,400
$3,400
MAINT
$0
$0
$0
$0
SERVICES
$46,149
$58,105
$54,824
$54,824
CAP EX
$0
$0
$0
$0
TOTAL
$115,543
$133,572
$127,293
$130,071
Municipal Court FTE Schedule
% CHANGE
0.46%
-13.92%
0.00%
-5.65%
0.00%
-2.62%
Description FY15 FY16 FY17 FY18 FY19
/gWA, Court Administrator 1 1 1 1 1
TOTAL
61
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
10-555 Parks
Purpose / Description
The Parks department oversees the development and maintenance of the
City's parks and recreation facilities. The department also supports
community organizations that provide sports and recreation opportunities for
the youth of our community.
FY 2018 Accomplishments
• Two Parks Maintenance Workers was added in the Parks Department to assist with
maintenance and to help improve the aesthetic appeal of City parks
• Completion of the Parks Department office, breakroom and restroom at Natural Springs Park
• Dredging of the front Pond at Natural Springs Park
• New driveway and parking lot with 28 spaces added at Natural Springs Park
• Land swap completed at Natural Springs Park
• Parking lot was expanded at Slayter Creek Park
• New sidewalk along Rosamond that connects to the high school and middle School
constructed
• Repaired sidewalk panels along walking trial in Slayter Creek Park
• Start of a co-ed softball league
• 118 Field/Pavilion/Gazebo rentals
FY 2019 Objectives
Goal: Improve Curb/Aesthetic Appeal of Community
Continue to improve the maintenance and operation of existing parks and facilities to create
an excellent customer experience
• Repair trail surface in several areas of Slayter Creek Park
• Ensure maintenance of the State Highway 455 & Ferguson medians
Guiding Principles: Customer Focus
Continue to evaluate feasibility of City recreation programs (youth and adult)
n
,^.
62
F�l
Overview General Debt Service Utility
Fund Fund Fund
Component Supplemental
Units Information
Anna
SUPPLIES
10%
FY19 PROPOSED PARKS BUDGET
SERVICES CAP EX
M AINT 8% 0%
Parks Expenditure Summary
'ROLL
4%
ACTUAL
BUDGET
ESTIMATE PROPOSED
PAYROLL
$216,826
$318,170
$32S,22S
$376,848
SUPPLIES
$38,511
$52,250
$52,033
$49,700
MAINT
$32,201
$38,200
$43,500
$43,500
SERVICES
$35,810
$35,246
$33,334
$42,475
CAP EX
$51,774
$97,085
$93,000
$0
TOTAL
$375,123
$540,951
$547,092
$512,523
Parks
FTE Schedule
% CHANGE
18.44%
-4.88%
13.87%
20.51%
-100.00%
-5.26%
Description
FY1S
FY16
FY17
FY18
FY19
Parks Superintendent
0
1
1
1
1
Maintenance Worker 11
0
0
1
0
1
Maintenance Worker I
1
1
2
4
3
Crew Leader- Parks
1
1
0
1
1
Seasonal Laborer
0
1
1
1
1
TOTAL
2
4
5
7
7
63
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
10-580 Street
Purpose / Description
The Street Department is responsible for the maintenance of the City's
roadway and storm water drainage systems. Services funded by this
department include: cleaning streets, clearing and mowing public rights of
way, routine maintenance and repair of street pavement and sidewalks,
installation and maintenance of street signs, and maintenance of the storm
drainage system. State, highways and FM roads are maintained by the
Texas Department of Transportation.
FY 2018 Accomplishments
• Continued street audit with MicroPaver auditing software
• New roller has been used to complete large-scale repairs in-house
• Sidewalk repair significantly increased this year due to recruiting and equipping top-level staff
• Completed Storm Water Master Plan
• Continued street sign replacement for TMUTCD compliance
• Reconstructed Fourth, Easton and Second Streets along with major drainage repair in that
area and reconstructed the Butler Street entrance
Completed construction upgrading CR 370 to two -course asphalt
• Completed design and began right-of-way acquisition for improvements to Hackberry Lane
between SH 5 and Slayter Creek
The sales -tax reallocation fund is growing and allowed for a bond issue in excess of $4
million that will allow for major road planning, construction and improvements
Added Streets Superintendent greatly improved the proactivity and efficiency within the
Department
FY 2019 Objectives
Goal: Upgrade City Facilities and Infrastructure
• Adopt erosion control and storm drainage design manual
• Street audit will be finalized within the MicroPaver software
• Continue street and regulatory sign TMUTCD compliance
• Implement Storm Water Master Plan and mechanism for funding CIP
/N
r^
M
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Goal: Encourage Inter -Local Cooperation, Improve Curb/Aesthetic Appeal of
Community
• Develop an Adopt -A -Street program
• Continue work in preparation for the City of Anna becoming an MS4 in 2020 by working with
and training developers
Goal: Build Transportation Infrastructure
Continue work with TxDOT, NCTCOG and the RTC to secure funding for priority local street
projects including:
➢ Ferguson Road between Taylor and the Collin County Outer Loop
➢ Hackberry Ln. between SH 5 and Slayter Creek
➢ Rosamond Parkway between AHS and US 75
Goal: Promote our Community Identity
Enhance customer outreach through improved customer service and marketing (public
education flyers, social media campaigns, etc.)
New & Noteworthy for FY 2019
• A Streets Maintenance Worker II position will be added to enable two full-time crews in
the Department
• Revenue from the sales tax reallocation will fund debt service of $4 million+ to pay for
major infrastructure planning, construction and rehabilitation
• MS4 startup in preparation for the City becoming an MS4 in 2020
• Major upgrades/retrofits to school zone lights City-wide
65
Overview General Debt Service Utility Component
Fund Fund Fund Units
FY19 PROPOSED STREET BUDGET
SERVICES
CAP EX
I ooi
SUPPLIES
89/1' 7%
Street Expenditure Summary
PAYROLL
44%
Supplemental
Information
Anna
_2018
2019
ACTUAL
BUDGET
ESTIMATE
PROPOSED
% CHANGE
PAYROLL
$164,367
$370,874
$226,859
$397,304
7.13%
SUPPLIES
$20,187
$61,600
$48,850
$59,875
-2.80%
MAINT
$77,501
$252,800
$147,000
$76,560
-69.72%
SERVICES
$167,073
$271,488
$268,146
$212,759
-21.63%
CAP EX
$91,298
$663,914
$619,379
$160,000
-75.90%
TOTAL
$520,426
$1,620,676
$1,310,234
$906,498
-44.07%
Street FTE Schedule
Description
FY15
FY16
FY17
FY18
FY19
Streets Superintendent
0
0
0
1
1
Streets Supervisor
0
1
1
1
0
Crew Leader
0
0
0
0
1
Traffic Safety Technician
0
0
0
1
1
Maintenance Worker/1
0
0
0
0
1
Maintenance Worker 1
0
2
2
3
3
TOTAL
0
3
3
6
7
.1
O'1
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
Restricted Revenue Trusts
The Restricted Revenue Trust Funds are separated in different funds due to
being restricted for a specific purpose and to separate these funding sources
from operating funds. In prior fiscal years, these funds were incorporated
within the General Fund or Utilities Fund. With the exception of Water &
Sewer Improvement Funds, these restricted revenue trusts are a
Governmental Fund type. Monies in the restricted revenue trusts are
restricted based upon the circumstances of their receipt. Restrictions are
placed on the use of these trusts funds for a number of reasons including, but
not limited to laws, ordinances, grant contracts, donations, etc.
The City manages the following restricted
revenue trusts:
• Special Revenue Fund
• Grant fund
• Eastside Park Trust
• Fire Trust
• Park Trust
• State Seizure and Federal Seizure
Funds
• Street Capital Improvement Fund
• Water & Sewer
Improvement Funds
(Impact and Developer
Fees)
Special Revenue Fund
These funds are used to account for funds that
have external legal restrictions associated with
their use. This fund includes the following types of
revenues: Court Technology fees, Court Building
Security fees, Child Safety fees, and Cable Public
Education Government (PEG) Fees.
The Court Technology fees account for a portion
of court fines to support the use of technology in
the courtroom. The FY 2019 budget includes the
annual software licensing of the ticketwriters.
The Building Security fees are used to maintain
security in the court room and is budgeted for
overtime pay to officers acting as a bailiff for the
court when necessary.
The Child Safety fees account for a portion of
Collin County court fees that can be used to fund
various programs designed to enhance child
safety as outlined in State Code. As the City does
not operate a school crossing guard program, the
funds will be used on other public safety programs
in accordance with State Code. The FY 2019
budget is being used for the Child Abuse Task
Force membership as well as to purchase
additional signs for the Drive Like Your Kids Live
Here Program.
PEG Fees are a portion of fees assessed by a
cable franchise provider. These fees are restricted
by state code to support a municipality's public
access cable channel. These funds will be held in
reserve until they can support an eligible
expenditure. There are no funds budgeted to be
spent in FY 2019.
67
Overview General Debt Service
Utility
Component
Supplemental
Fund Fund
Fund
Units
Information
Anna
ACTUAL
BUDGET
ESTIMATE
PROPOSED
% CHANGE
COURT TECHNOLOGY FEES
$1,823
$1,900
$1,537
$1,720
-10.47%
COURT BUILDING SECURITY
$1,423
$1,428
$1,158
$1,383
-3.25%
FEES
CHILD SAFETY FEES
$14,124
$10,989
$10,814
$10,900
-0.82%
PEG FEES
$8,272
$8,400
$7,408
$8,148
-3.00%
TOTAL REVENUE
$25,641
$22,717
$20,917
$22,151
-2.56%
1
ACTUAL
BUDGET
ESTIMATE
PROPOSED
% CHANGE
COURTTECHNOLOGY EXP
$1,720
$1,720
$1,720
$1,720
0.00%
COURT BUILDING SECURITY EXP
$1,051
$4,000
$856
$1,800
-122.22%
CHILD SAFETY EXP
$0
$11,275
$10,775
$8,000
-40.94% .-.
PEG EXP
$0
$0
$0
$0
0.00%
TOTAL EXPENSE
$2,771
$16,995
$13,351
$11,520
-32.22%
Overview
General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Grant Fund
Anna
The Grant Fund was created in FY 2018 in order to track grant awards previously budgeted in multiple funds
in one fund separate from operating funds. The fund is used to account for funds received from other state or
federal government agencies that have restricted legal requirements and multi-yearbudgets. In the event
matching funds are required for a grant, the City's matching portion is transferred from the applicable
operating fund.
In FY 2019, the grants included in this fund are the Child Abuse Investigator/Family Violence Grant, grant
projects funded through the Texas Forestry Service, a National Incident Based Reporting Equipment Grant,
Bullet Proof Vest Grant, and funds from the Law Enforcement Officer Standards and Education. LEOSE
funds and Texas Forestry Service grants received by the City of Anna will be used for acceptable training
programs.
CHILD ABUSE/FV INV GRANT
POLICE
$79,871
NIBRS EQUIPMENT GRANT
POLICE
$139,427
LEOSE
POLICE
$2,207
TX FORESTRY SERVICE GRANT
FIRE
$9,650
BULLET PROOF VEST GRANT
POLICE
$2,696
TRANSFER IN GENERAL FUND
$31,999
TOTAL REVENUE
$265,850
CHILD ABUSE/FV INV GRANT
NIBRS EQUIPMENT GRANT
LEOSE
BULLET PROOF VEST GRANT
TX FORESTRY SERVICE GRANT
TOTALEXPENSE
POLICE
POLICE
POLICE
POLICE
FIRE
$109,174
$139,427
$3,997
$5,392
$9,885
$267,875
nt
Overview General Debt Service Utility Component Supplemental
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Anna
The Eastside Park Trust
The Eastside Park Trust was created from a private donation for improvements to the Eastside Park,
otherwise known as Geer Park. The trust has a just over $12,857 in fund balance; no additional resources
are dedicated to grow the fund balance at this time. The available funds will be held in reserve until a
project is selected for funding that meet the restrictions of the donation. All interest earnings from the
donation are held in the same trust for the same purpose.
Fire Trust
The Fire Trust accounts for voluntary fees negotiated with developers for support of the Anna Fire
Department. Fire Trust revenues and expenditures are illustrated below. The FY 2018 budget anticipated a
decline in revenues. The FY 2019 budget reflects a conservative estimate for these fees.
During FY 2019, it is anticipated that the Fire Trust will be used to purchase necessary tools and
equipment.
ACTUAL
BUDGET
ESTIMATE
PROPOSED
%CHANGE
DEVELOPER FEES $37,900
$16,200
$14,350
$5,500
-66.05%
INTEREST REVENUE $189
$0
$600
$600
100.00%
TOTAL REVENUES $38,089
$16,200
$14,950
$6,100
-62.35%
ACTUAL
BUDGET
ESTIMATE
PROPOSED
% CHANGE
TOOLS & EQUIPMENT $0
$18,700
$17,222
$10,100
-45.99%
MACHINERY & EQUIPMENT $0
$8,000
$7,665
$8,000
0.00%
TOTAL EXPENSE $0
$26,700
$24,887
$18,100
-32.21%
70
Overview
General Debt Service Utility Component Supplemental
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Park Trust
Anna
The Park Trust is funded by park development fees as stipulated in either developer agreements or the
subdivision ordinance and are used to fund the City's master parks plan through development,
improvement, or maintenance of the City's parks. Park Trust revenues and expenditures are illustrated below.
Estimated and proposed revenues are the result of building activity in the City. In FY 2019, the proposed
expenditures in the Parks Trust include improvements to Sherley Park, a storage building, new trash cans,
and fence at Slayter Creek, a picnic area for Natural Springs Park, backstops at Greer Park and Bryant Park,
a tractor and a locomotive to be located at the Sherley Heritage Park.
DEVELOPER FEES
GRANT REVENUE
INTEREST REVENUE
ACTUAL BUDGET ESTIMATE PROPOSED
$548,861 $262,813 $324,646 $475,800
$0 $40,000 $40,000 $0
$2,051 $1,500 $7,500 $7,500
% CHANGE
81.04%
-100.00%
400.00%
ACTUAL
BUDGET
ESTIMATE
PROPOSED
%CHANGE
CONTRACT SERVICES
$8,900
$0
$0
$0
0.00%
MAINT&REPAIR -GROUNDS
$0
$9,000
$0
$0
-100.00%
OTHER SUPPLIES-MISC.
$0
$1,500
$0
$0
-100.00%
LAND & IMPROVEMENTS
$114,826
$359,563
$362,000
$105,300
-70.71%
OTHER CAPITAL EXPENDITURES
$3,078
$0
$8,063
$400,500
100.00%
TOTAL EXPENSE
$126,804
$370,063
$370,063
$505,800
30.19%
State and Federal Seizure Funds
Police Seizure Funds are funds recognized from revenues generated from property seized in connection
with illegal activity once they are forfeited after prosecution. Funds can only be used in accordance with
applicable state and federal laws. These funds can only be used to support the Police Department.
Typically, the City has used these funds only for capital purchases in the Police Department, not to
supplement operations. Seizure funds are held in reserve until a sufficient balance can support a specific
need. No expenditures are budgeted for FY 2019.
Street Capital Improvement Funds
The City has three funds for street capital improvements. These funds account for fees negotiated with
developers for the improvements of streets and roadway impact fees. There are two funds set up to track the
two different service areas separately and one set up to track the developer agreements. The City is working
to build up this fund for the strategic roadway improvements. The developer reimbursement is based upon an
agreement negotiated between the City and a developer to reimburse the developer for roadway
improvements that benefit the City. The projected revenue to be received during FY 2019 for street capital
71
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Anna
improvements is projected to be $480,543 with $90,450 being reimbursed back to the developers.
Water & Sewer Improvement Funds (Impact and Developer Fees)
The city maintains four funds to account for water and sewer impact and water and sewer developer fees to
be used in accordance with applicable laws, regulations, and ordinances. These funds are typically held in
reserve for the use of one-time expenditures and not to supplement operations. The projected revenue to
be received during FY 2019 for water and sewer improvements is $1,471,200 with $268,000 being
reimbursed back to the developer.
72
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Debt Service Fund
Revenue
The Debt Service Fund is a special revenue fund used to account for a
portion of the ad valorem property tax revenue exclusively reserved for
principal and interest payments on debt issued for General Fund
purposes. Unlike Enterprise Funds, which are intended to operate like a
business enterprise, the General Fund's intent is to focus on the flow of
current financial resources.
Debt accounted for in the Debt Service
Fund includes bonded debt and notes
supported by taxes. Bonded debt
includes general obligation bonds,
certificates of obligations and combination
tax and revenue certificates of obligation.
Revenues generated from the City's
Interest and Sinking (1&S) portion of the
tax rate are deposited into the Debt
Service Fund and are dedicated to pay
the principal and interest of outstanding
debt secured by property taxes. All debt
issued for general government purposes
is accounted for in the Debt Service Fund.
However, from time to time, the City has
also issued combination tax and revenue
certificates of obligation to support water
and sewer infrastructure projects. These
bonds are accounted for in the Utility
Fund. Under these Bond Covenants,
there remains a tax pledge to support the
debt if surplus revenues from the water
and sewer operations are not sufficient to
make the debt payments. Of the
outstanding Debt Service Obligations for
FY 2019, 33% is related to tax secured
debt issued for water and sewer projects.
The total debt service on tax secured
debt for FY 2019 is $2,043,917. The I&S
revenue is budgeted at $1,827,909. This
was a planned draw down on fund
balance remaining from FY 2018.
Debt Service Revenue Summary
ACTUAL
BUDGET
ESTIMATE
Property Tax Revenue
$897,740
$1,091,329
$1,091,329
Bond Proceeds
$850,000
$0
$0
Other Sources
$2,044
$1,400
$6,500
Total
$1,749,784
$1,092,729
$1,097,829
PROPOSED
$1,819,909
$0
$8,000
$1,827,909
% CHANGE
66.76%
0.00%
471.43%
67.28%
73
Overview General Debt Service Utility Component
Fund Fund Fund Units
FY 2019 PROPOSED DEBT SERVICE REVENUE
Property Tax Revenue
100%
FY 2019 OUTSTANDING TAX SECURED DEBT
General Funi
Related
67%
Supplemental
Information
Anna
;er and
r Related
2%
74
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Debt Service Fund
Obligations
The City of Anna currently holds just over $51.2 million in outstanding tax
supported debt. Of the outstanding tax supported debt, approximately
$17.2 million was issued for water and sewer infrastructure projects and is
payable from water and sewer revenues; however, to obtain more
favorable financing terms, the debt has a tax pledge. The balance of tax
supported debt, just under $34 million, was issued for general fund
purposes. In October of 2017, the City's certificate of obligation debt
rating received a rating increase by Moody's from Al to Aa3 citing,
"material assessed valuation growth supported by high residential
demand. The rating also reflects ample reserves a benefit of consistently
strong operating performance, as well as affordable debt and pension
profile."
The debt service obligations since FY 2017 are detailed below.
FY 2019 PROPOSED DEBT SERVICE BUDGET
OTHER SERVICES
0%
82%
75
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Anna
Debt Service Expenditure Summary
ACTUAL BUDGET ESTIMATE PROPOSED
PRINCIPAL $328,000
INTEREST $87,395
OTHER SERVICES $854,230
XFER FOR TAX PLEDGE $467,424
.__._ Total_ _..... $1,737,048
Debt Management Plan
$297,000 $342,000
$371,000
CHANGE
$114,738
$67,602
$1,672,917
$6,556
$8,250
$5,500
$674,435
$445435
_ $0
$1,092,729
$863 287
$2,049,417
24.92 %
1358.03%
-16.11%
-100.00%
87.55%.,�
The City has worked closely with our financial advisors, First Southwest, to develop a sound debt
management plan. Looking to the future, the City anticipates spikes in our debt service starting in
FY 2027. In order for the City to not increase the I&S tax rate, the Tax Levy will need to increase by
2% annually. In the event a 2% tax increase does not occur, the City and First Southwest will
evaluate the potential for refunding opportunities of existing debt.
The current debt plan is based upon very conservative assumptions in growth of the property tax
base and interest rates. Additionally, any planned refundings will be scheduled to coincide with
interest rate resets and, where possible, refunding bonds that are callable and advance refundable.
In this way the plan will minimize the present value cost to the city.
The table below illustrates the total annual debt service for all tax pledged debt
through FY 2048.
76
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/Aft1
Outstanding Debt Schedule - Tax Pledged Debt
PERIOD
ENDING
PRINCIPAL
INTEREST
TOTAL DEBT
SERVICE
% CHANGE
9/30/2019
1,106,000
2,217,817
3,323,817
118.53%
9/30/2020
1,247,000
1,846,500
3,093,500
-6.93%
9/30/2021
1,281,000
1,808,264
3,089,264
-0.14%
9/30/2022
1,325,000
1,770,251
3,095,251
0.19%
9/30/2023
1,364,000
1,728,451
31092,451
-0.09%
9/30/2024
1,415,000
1,682,890
3,097,890
0.18%
9/30/2025
1,461,000
1,635,221
3,096,221
-0.05%
9/30/2026
1,s00,000
1,585,911
31085,911
-0.33%
9/30/2027
1,716,000
1,529,235
3,245,235
5.16%
9/30/2028
1,785,000
1,463,125
3,248,125
0.09%
9/30/2029
2,030,000
1,389,138
3,419,138
5.26%
9/30/2030
2,530,000
1,297,501
3,827,501
11.94%
9/30/2031
2,635,000
1,190,955
3,825,955
-0.04%
9/30/2032
2,735,000
1,096,099
3,821,099
-0.13%
9/30/2033
2,820,000
983,683
3,803,683
-0.46%
9/30/2034
1,745,000
897,556
2,642,556
-30.53%
9/30/2035
1,375,000
835,900
2,210,900
-16.33%
9/30/2036
1,430,000
779,800
2,209,800
-0.05%
9/30/2037
1,485,000
721,500
2,206,500
-0.15%
9/30/2038
1,545,000
660,900
2,205,900
-0.03%
9/30/2039
1,305,000
603,900
1,908,900
-13.46%
9/30/2040
1,360,000
550,600
1,910,600
0.09%
9/30/2041
1,415,000
495,100
1,910,100
-0.03%
9/30/2042
1,475,000
437,300
1,912,300
0.12%
9/30/2043
2,535,000
377,100
1,912,100
-0.01%
9/30/2044
1,595,000
314,500
1,909,500
-0.14%
9/30/2045
1,660,000
249,400
1,909,400
-0.01%
9/30/2046
1,730,000
181,600
1,911,600
0.12%
9/30/2047
1,800,000
111,000
1,911,000
-0.03%
9/30/2048
1,875,000
37,500
1,912,500
0.08%
TOTAL
50,280,000
30,468,fi97
80,748,697
77
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The chart below illustrates the outstanding general fund related debt through FY 2048. The amounts
included here represent just the portion of all tax secured debt that was issued for general fund purposes.
The amounts reflected do not include any projected savings from planned refundings.
Outstanding Debt Schedule - GO Debt Debt
PERIOD
ENDING
PRINCIPAL
INTEREST
TOTAL DEBT
SERVICE
%CHANGE
9/30/2019
371,000
1,672,917
2,043,917
399.00%
9/30/2020
497,000
1,323,132
1,820,132
-10.95%
9/30/2021
504,000
1,308,163
1,812,163
-0.449/o
9/30/2022
520,000
1,295,364
1,815,364
0.18%
9/30/2023
535,000
1,280,839
1,815,839
0.03%
9/30/2024
556,000
1,264,362
1,820,362
0.25%
9/30/2025
571,000
1,247,106
1,818,106
-0.12%
9/30/2026
588,000
1,229,323
1,817,323
-0.0490
9/30/2027
611,000
1,206,885
1,817,885
0.03%
9/30/2028
640,000
1,177,875
1,817,875
0.00%
9/30/2029
575,000
1,145,700
1,820,700
0.16%
9/30/2030
1,110,000
1,101,400
2,211,400
21.46%
9/30/2031
1,165,000
1,044,525
2,209,525
-0.08%
9/30/2032
1,215,000
991,100
2,206,100
-0.16Yo
9/30/2033
1,265,000
941,500
2,206,500
0.02%
9/30/2034
1,320,000
889,800
2,209,800
0.15%
9/30/2035
1,375,000
835,900
2,210,900
0.05%
9/30/2036
1,430,000
779,800
2,209,800
-0.05%
9/30/2037
1,485,000
721,500
2,206,500
-0.15%
9/30/2038
1,545,000
660,900
2,205,900
-0.03%
9/30/2039
1,305,000
603,900
1,908,900
-13.46Vo
9/30/2040
1,360,000
550,600
1,910,600
0.09%
9/30/2041
1,415,000
495,200
1,910,100
-0.03%
9/30/2042
1,475,000
437,300
1,912,300
0.12%
9/30/2043
1,535,000
377,100
1,912,100
-0.01%
9/30/2044
1,595,000
314,500
1,909,500
-0.14%
9/30/2045
1,660,000
249,400
1,909,400
-0.01%
9/30/2046
1,730,000
181,600
1,911,600
0.12%
9/30/2047
1,800,000
111,000
1,911,000
-0.03%
9/30/2048
1,875,000
37,500
1,912,500
0.08%
TOTAL
33,728,000
25,476,0901
59,204,090
/'1
78
Overview General Debt Service
Fund Fund
Utility Component Supplemental
Fund Units Information
The City does not currently have any
debt limit in terms of a dollar amount.
However, municipal debt limits in Texas
are established by state code. All taxable
property within the City is subject to the
assessment, levy and collection by the
City of a continuing, direct annual ad
valorem tax sufficient to provide for the
payment of principal of and interest on all
ad valorem tax debt within the limits
prescribed by law. Article XI, Section 5,
of the Texas Constitution is applicable to
the City, and limits its maximum ad
valorem tax rate to $2.50 per $100
Taxable Assessed Valuation for all City
purposes. Administratively, the Attorney
General of the State of Texas will permit
allocation of $1.50 of the $2.50
maximum tax rate for all general
obligation debt service, as calculated at
the time of issuance.
^h The proposed budget has an ad
valorem tax rate of $0.591288 per $100
Taxable Assessed Value. Of that
amount, $0.163166 is dedicated to I&S,
or Debt Service.
The following are planned steps to
manage the City's I&S Fund tax rate:
Anna
1. The City has levied an Interest and
Sinking Fund tax rate of $0.163166
in Tax Year 2018.
2 The City's tax base is now at
$1,115,372,832 which means the
City is not dependent on future
refundings and restructurings to
manage its I&S tax rate.
3, Assuming 2% growth, no debt
refundings/ restructurings and no
new debt; the City could cover all of
its I&S tax -supported obligations
through maturity in 2048 at current
revenue levels.
If refundings are completed this would
support capacity for additional future
general fund bond issues for needs that
arise as the City continues to grow and
develop. All refundings will be carefully
analyzed by staff, our financial advisors,
and the City Council. The City's debt
management plan is a joint effort with our
financial advisors. The items presented
here have been developed with our
advisors and are only for planning
purposes. Actual results and actions will
be dependent upon the economic
conditions at the time refundings are
considered.
79
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Utility Fund
The Utility Fund is an enterprise fund that accounts for the water, sewer,
inspection fees, and solid waste collection services that are provided to the
City's residents including some customers outside the City. Enterprise Funds
are used to account for operations that are financed and operated in a
manner similar to private business. The intent is that the costs of providing
goods or services are financed primarily through user charges.
The Utility Fund accounts for all costs
associated with operating the City's Utility
Services, this includes operations,
maintenance, billing & collections,
administration, financing, and related debt
service.
The Utility Fund's principle source of revenue
is charges to customers for water
consumption, wastewater collection, solid
waste collection, and fees related to providing
consumers with utility services. The FY 2019
proposed revenue also includes inspection
fees for public infrastructure inspections.
Rather than contract for this service, the city
hired construction inspectors beginning in FY
2015 to inspect public infrastructure projects
funded through public and/or private
development. Additionally, the Utility Fund
includes a transfer from the Debt Service
Fund to support debt service on debts issued
for water & sewer infrastructure that includes
a tax pledge.
The City of Anna utility rates include a base
charge and a volumetric rate for water
consumption beyond 2,000 gallons per month.
The base rate provides stability in our revenue as
water sales are more volatile than other revenue
sources and change based upon the climate and
precipitation. Customer growth has helped ease
pressure on utility rates and water and sewer
rates are projected to remain unchanged for FY
2019. However, GTUA water costs are projected
to increase 24.7% as rates and demand for
treated surface water are projected to increase in
FY 2019.
:1
Overview
General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
SEWER
29%
WATER
SEWER
SOLID WASTE
INSPECTION FEES
TRANSFERS IN
TOTAL
Anna
FY 2019 PROPOSED REVENUE
INSPECTION
FEES
cnrIF) rArncTF 4%
WATER
56%
Utility Fund Revenue Summary by Department
ACTUAL
BUDGET
ESTIMATE
PROPOSED
%CHANGE
$4,367,664
$4,685,700
$4,880,884
$5,218,258
11.37%
$2,369,731
$2,653,438
$2,536,008
$2,693,998
1.53%
$911,084
$930,013
$949,822
$998,446
7.36%
$704,164
$322,187
$455,000
$325,000
0.87%
$467,424
$674,435
$445,435
$0
-100.00%
$8,820,067
$9,265,773
$9,267,149
$9,235,702
-0.32%
[id
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
Utility Fund
Expenditures
The Utility Fund accounts for all the costs associated with providing and
maintaining utility services. These services are provided by the Admin,
Water, Sewer, Solid Waste, and Utility Billing departments. Departmental
summaries are provided with expenditures categorized by type. Like the
General Fund, these types are payroll, supplies, maintenance, and capital
expenditures; however, the Water & Sewer Fund includes transfers to the
capital project fund to support future facility needs.
The chart below illustrates the percentage
of costs associated with each department.
The tables below illustrate a brief history
from FY 2017 through FY 2019. The table
includes actual costs from FY 2017,
budgeted and estimated costs for FY
2018, proposed budget for FY 2019, and
the percent change from the FY 2018
budget.
The departmental summaries provide
greater detail on increased
expenditures; however, the bulk of the
increase in Administration, Water, and Sewer
are due to the addition of 3 FTE's to the Utility
Fund and an increase in services for GTUA
water purchases.
The table below illustrates the total decrease
of 5.74% is primarily the decrease in transfer
to capital projects. The changes will be
discussed in the departmental summaries.
Utility Fund Expenditure Summary by Department
ADMINISTRATION
WATER
SEWER
SOLID WASTE
UTILITY BILLING
XFER TO CAPITAL PROJECTS
CONTINGENCY
TOTAL
ACTUAL BUDGET ESTIMATE PROPOSED
$533,162 $770,665 $692,342 $873,360
$2,620,489 $3,508,672 $3,406,813 $3,803,712
$1,886,549 $2,892,387 $2,363,088 $2,871,295
$741,474
$785,319
$800,793
$841,793
$319,339
$381,495
$419,641
$362,422
$467,424
$1,459,435
$1,459,435
$375,118
$0
$0
$0
$108,003
/o
CHANGE
13.33%
8.41%
-0.73%
7.19%
-5.00%
-74.30
100.00
$6,568,436 $9,797,973 $9,142,110 $9,235,702 _5.74%
M
Overview General
Fund
Debt Service Utility
Fund Fund
Component
Units
Supplemental
Information
Anna
PAYROLL
SUPPLIES
MAINT
SERVICES
CAP EX
XFER TO CAPITAL PROJECTS
CONTINGENCY
TOTAL
Utility Fund Expenditure by Type
ACTUAL
BUDGET
ESTIMATE
PROPOSED
%
CHANGE
$1,117,239
$1,645,052
$1,363,675
$1,864,842
13.36%
$112,944
$115,493
$113,828
$143,061
23.87%
$353,874
$401,800
$478,900
$542,280
34.96%
$4,489,624
$5,572,862
$5,359,396
$6,077,798
9.06%
$27,331
$603,331
$366,877
$124,600
0.00%
$467,424
$1,459,435
$1,459,435
$375,118
-74.30%
$0
$0
$0
$108,003
100.00%
$6,568,436
$9,797,973
$9,142,110
$9,235,702
-5.74%
FY 2019 PROPOSED UTILITY FUND BUDGET
SEWER
31%
XFER TO CAPITAL
PROJECTS UTILITY BILLING
4% 4%
M
Overview General Debt Service Utility Component Supplemental
Fund Fund Find Units Information
Anna
60-400 Administration
Purpose / Description
TheAdministrative Department provides general administrative support to all
the functions, programs, activities, and projects in Public Works and the
Utility Fund. These activities have costs not readily assignable to any specific
department.
Administration covers a number of shared expenses at Public Works
headquarters (utilities, supplies, etc.) as well as other Utility Fund
expenses (i.e. IT, Legal, and Audit services, Construction Inspections).
FY 2018 Accomplishments
• Began design of the following projects:
➢ EasttWest Collector Water Line Project
➢ 2018 Downtown Asphalt Rehabilitation & Drainage Project
➢ Hurricane Creek Regional Sewer
➢ Storm Water Master Plan
➢ Inflow & Infiltration Study
Completed design and began construction on the following projects:
➢ US 75 Utility Relocation Project
➢ Foster Crossing Water Line
➢ 2017/2018 Downtown Asphalt Rehabilitation Project
• Completed Construction on the following projects:
➢ Water Disinfection Upgrades
➢ Hackberry Elevated Storage Tank Throckmorton Creek Wastewater Interceptor
➢ Sherley Above Ground Storage Tank Rehabilitation
➢ 2018 Downtown Asphalt Rehabilitation Project
• Completed updates to the Roadway, Water and Wastewater Capital Improvements Projects
list and updated impact fee studies
Continued coordination with TOOT, NCTCOG and Collin County on Transportation Priorities
including Ferguson Parkway. In 2017, $70+ million was allocated towards TxDOT projects
affecting the City of Anna and in 2018 NCTCOG remains committed to assisting with
Ferguson Parkway. Also, in 2018 construction has commenced on the Rosamond
Interchange.
Began design of the following projects:
➢ East/West Collector Project
r\
84
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
Completed design and began construction on the following projects:
➢ Hackberry Road Project
Hosted National Public Works Week event and continued community outreach programs
As approved in the budget, recruited top-level staff within the 4 divisions of Public Works
Added Construction Superintendent greatly improved the efficiency within Administration
Continued development of new design standards and details
FY 2019 Objectives
Goal: Upgrade City Facilities and Infrastructure and Encourage Inter -Local
Cooperation
Adopt a storm drainage design and erosion control manual
• Complete the following projects:
➢ Foster Crossing Water Line
➢ Asphalt Rehabilitation
➢ US 75 Utility Relocation
• Along with regional partners including the GTUA, pursue surface water purchase from other
sources
Continue coordination with TxDOT, NCTCOG and Collin County related to transportation
projects
Goal: Build Transportation Infrastructure
Complete the following project:
➢ Hackberry Rd. Reconstruction
• Complete design and right-of-way acquisition for Rosamond Parkway and for Ferguson
Parkway and seek funding opportunities for construction
Goal: Promote our Community Identity
Begin implementing policies and strategies to allow for future Public Works Department
accreditation with the American Public Works Association (APWA)
Continue to host National Public Works Week and expand community outreach programs
Goal: Improve Curb/Aesthetic Appeal of Community
Adopt new construction design standards and details
New & Noteworthy for FY 2019
• A Right -of -Way Inspector will be added to the Construction Inspection Department to manage
use and construction of franchise utilities within right-of-ways
A new web -based software program will be added for asset and task management
• The Construction Superintendent will obtain a Certified Public Manager accreditation
• Two administrative -level staff will achieve Certified Water Professional Status in FY2019
85
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
FY19 PROPOSED ADMINISTRATION BUDGET
MAINT SERVICES
WILL
,%
Administration Expenditure Summary
ACTUAL
BUDGET
ESTIMATE
PROPOSED
% CHANGE
PAYROLL
$418,160
$574,000
$507,000
$640,783
11.63%
SUPPLIES
$21,699
$27,620
$24,100
$35,069
26.97%
MAINT
$2,732
$4,900
$4,000
$3,900
-20.41%
SERVICES
$90,571
$120,289
$132,242
$193,608
60.95%
CAP EX
$0
$43,856
$25,000
$0
-100.00%
TOTAL
$533,162
$770,665
$692,342
$873,360
13.33%
Administration FTE Schedule
Description
FY15
FY16
FY17
FY18
FY19
Director of Public Works
0
1
1
1
1
Asst Director of Public
Works
0
0
0
1
1
PW Superintendent
0
1
1
0
0
Engineering Superintendent 0
0
0
1
1
Construction Inspector
0
2
2
2
2
Right of Way Inspector
0
0
0
0
1
Administrative Assistant
0
1
1
1
1
TOTAL
0
5
5
6
7
L2
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
s
60-701 Water
Purpose / Description
The Water Department is responsible for the operation and maintenance of
the City's water production and distribution system that includes the
operation of seven groundwater production wells and connections to
treated surface water purchased from the Greater Texoma Utility Authority
through a contract with the North Texas Municipal Water District.
FY 2018 Accomplishments
• Completed SCADA upgrades allowing the water system to operate more efficiently
• The Automated Metering System and Customer Portal are fully functional
Completed and finalized the Hackberry Elevated Storage and Sherley Above Ground Storage
Projects
• Reduced water loss through meter replacements, improved record keeping and field monitoring
• Completed the Water Disinfection Upgrade
• Managed water system through a period of record growth and increased calls for service
• Improved customer service through staff training and positive Service Order Technician
interactions with the Public
• Added Water Superintendent greatly improved the proactivity and efficiency within the
department
FY 2019 Objectives
Goal: Upgrade City Facilities and Infrastructure
Complete the construction of the following projects:
➢ Foster Crossing Water Line Project
➢ East/West Collector Water Line Project
➢ US 75 Utility Relocation Project
• Begin integrating assimilated map data into GIS
Complete major improvements to SCADA
Goal: Promote our Community Identity
Position the department for "Superior" water system rating application with the TCEQ
Enhance customer outreach through improved customer service and marketing (public
education flyers, social media campaigns, etcetera)
Goal: Improve Curb/Aesthetic Appeal of Community
Position the department for "Superior" water system rating application with the TCEQ
m
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
Goal: Encourage Inter -Local Cooperation
Along with regional partners including the GTUA, pursue surface water purchase from other
sources
New & Noteworthy for FY 2019
• Move Service Order Technician from Utility Billing Department to Water Department.
• A second Service Order Technician will be added to meet the rising demand for calls for
service; the current position will become a lead position
• Increased cost for purchase of treated surface water through regional partnership with
Greater Texoma Utility Authority (GTUA)
• Replacement of the aging mini -excavator will enable continued deploying of multiple crews
Major upgrades to SCADA will allow for improved efficiency, water quality and enhanced
water distribution management and control
O�%
90
Overview
General Debt Service Utility Component Supplemental
fund Fend Fund Units Information
PAYROLL
SUPPLIES
MAINT
SERVICES
CAP EX
TOTAL
FY19 PROPOSED WATER BUDGET
CAP Ex
0% PAYROLL
1 r.^/
SERVICES
71%
Water Expenditure Summary
ACTUAL
BUDGET
$262,381
$473,652
$61,369
$56,954
$326,598
$280,100
$1,952,753
$2,369,735
$17,387
$328,231
$2,620,489
$3,508,672
Anna
DLIES
MAINT
11%
ESTIMATE
PROPOSED
% CHANGE
$332,925
$600,909
26.87%
$55,549
$67,717
18.90%
$391,100
$441,400
57.59%
$2,418,362
$2,693,686
13.67%
$208,877
$0
-100.00%
$3,406,813
$3,803,712
8.41%
Description
FY15
FY16
FY17
FY18
FY19
Water Superintendent
0
0
0
1
1
Water Supervisor
0
1
1
1
1
Maintenance Worker 11
1
1
1
1
0
Maintenance Worker
7
2
2
3
4
Water Operator
0
0
0
1
1
Field Supervisor - PW
1
0
0
0
0
Crew Leader- PW
1
0
0
0
0
TOTAL
10 4 4 7 7
0
overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
r
60-705 Sewer
Purpose / Description
The Sewer Department is responsible for the operation and maintenance
of the City's wastewater collection and treatment system that includes the
operation of a 500 mgd wastewater treatment plant and connections to the
North Texas Municipal Water District Upper East Fork Regional Interceptor
System.
FY 2018 Accomplishments
Reduced storm water inflow by locating and repairing numerous inflow points
Completed the Inflow and Infiltration Study
Updated and consolidated infrastructure maps
Increased number of in-house lift station repairs
Completed the Throckmorton Creek Trunk Sewer Project
Completed several upgrades at the WWTP increasing operational and process control
Removed three lift stations from service by constructing new gravity sewer lines
Updated Wastewater Master Plan, Impact Fee Study and maps
Added Wastewater Superintendent greatly improved the proactivity and efficiency within the
Department
Continued "Cease the Grease" public education program and promoted at Public Works
Week
Updated Wastewater Master Plan, Impact Fee Study and maps
FY 2019 Objectives
Goal: Upgrade City Facilities and Infrastructure
Secure funding for identified Inflow and Infiltration engineering study CIP projects
Implement Capacity, Management, Operation and Maintenance (CMOM) program
Continue inflow and infiltration repairs
Construct the Hurricane Creek Regional Sewer
Increase preventative maintenance on wastewater collection system
Begin integrating assimilated map data into GIS
Goal: Promote our Community Identity
Enhance customer outreach through improved customer service and marketing
Goal: Encourage Inter -Local Cooperation
Obtain membership status in NTMWD UEFIS
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
New & Noteworthy for FY 2019
• A Wastewater Crew Leader will be added to the department to lead the collection system
operations and maintenance. This position will enable two fully independent crews.
• Major upgrades to SCADA, WWTP controls and Lift Station controls will be implemented
• A Capacity, Management, Operation and Maintenance (CMOM) program will be initiated
moving us towards membership status with the NTMWD
• Key equipment will be added to enhance collection system maintenance
91
Overview General
Fund
Debt Service
Fund
Utility
Fund
Component
Units
Supplemental
Information
Anna
FY19 PROPOSED SEWER BUDGET
PAYROLL
t AO/ -
SEf
79%
Sewer Expenditure Summary
ACTUAL
BUDGET
ESTIMATE
PROPOSED
% CHANGE
PAYROLL
$250,835
$359,746
$293,200
$440,231
22.37%
SUPPLIES
$23,987
$23,144
$26,050
$37,375
61.49%
MAINT
$24,510
$116,000
$83,000
$96,180
-17.09%
SERVICES
$1,577,273
$2,169,020
$1,827,838
$2,172,909
0.18%
CAP EX
$9,944
$224,477
$133,000
$124,600
-44.49%
TOTAL
$1,886,549
$2,892,387
$2,363,088
$2,871,295
-0.73%
Sewer FTE Schedule
Description
FY15
FY16
FY17
FY18
FY19
Wastewater
0
0
0
1
1
Superintendent
Wastewater Supervisor
0
1
1
0
0
Senior Wastewater
1
1
1
1
1
Operator
Wastewater Crew Leader
0
0
0
0
1
Wastewater Operator
1
0
0
0
0
Maintenance Worker/1
0
0
0
1
1
Maintenance Worker 1
0
2
2
3
3
TOTAL
2
4
4
6
7
92
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
60-708 Solid Waste
Purpose / Description
Solid Waste service is currently provided by Bradshaw & Sons through a
contract with the City. The Solid Waste Department does not have any
personnel costs as it is a contracted service.
FY19 PROPOSED SOLD WASTE BUDGET
Solid Waste Expenditure Summary
2018
2019
ACTUAL
BUDGET
ESTIMATE
PROPOSED
% CHANGE
PAYROLL
$0
$0
$0
$0
0.00%
SUPPLIES
$0
$0
$0
$0
0.00%
MAINT
$0
$0
$0
$0
0.00%
SERVICES
$741,474
$785,319
$800,793
$841,793
7.19%
CAP EX
$0
$0
$0
$0
0.00%
TOTAL
$741,474
$785,319
$800,793
$841,793
7.19%
93
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
60-710 Utility Billing
Purpose / Description
Utility billing is responsible for the billing of water, sewer, and trash collection
services provided to the citizens of Anna and other customers of theCity's
utility system.
FY 2018 Accomplishments
• Updated all Utility Billing forms on the City website in a user-friendly format
• Participated in the set up and implementation of the portal for utility customers
• Worked with a rate consultant to evaluate and assess utility rates
• Continued to work with Public Works Department on the AMI metering project
• Worked with Bradshaw & Son Trash Service on a new Solid Waste Collection and Disposal
Contract
• Processed an increased number of payments for New Utility Deposit setups and utility bill
payments
FY 2019 Objectives
Guiding Principle: Customer Focus
Ensure all UB staff is knowledgeable of the WaterSmart customer portal in order to provide
assistance to customers
• Work to increase confidence of citizens in the Utility Billing Department
Guiding Principle: Accountability
• Continue working with AMS on delinquent account collections
Guiding Principle: Innovation
• Review more efficient payment options for online bill payments in order to reduce credit card
costs and provide citizens with one portal that offers multiple payment options
60
m
Overview General
Fund
Debt Service Utility
Fund Fund
Component
Units
Supplemental
Information
Anna
FY19 PROPOSED UTIILITY BILLING BUDGET
CAP EX
0%
SERVICES
49%
SUPPLIES
1%
PAYROLL
50%
Utility Billing Expenditure Summary
2018
2019
ACTUAL
BUDGET
ESTIMATE
PROPOSED
% CHANGE
PAYROLL $185,863
$237,654
$230,550
$182,919
-23.03%
SUPPLIES $5,889
$7,775
$8,129
$2,900
-62.70%
MAINT $33
$800
$800
$800
0.00%
SERVICES $127,554
$128,499
$180,162
$175,803
36.81%
CAP EX $0
$6,767
$0
$0
-100.00%
TOTAL $319,339
$381,495
$419,641
$362,422
-5.00%
Utility Billing FTE
Schedule
Description
FY15 FY16
FY17
FY18
FY19
Customer Service
1 1
1
1
1
Manager
Senior Utility Billing
1 1
1
1
1
Clerk
Service Order
0 0
1
1
2
Technician
UB Clerk
0 0
0
0.5
0.5
Adm Asst/Records
Clerk
0 0
0
0
0.5
Receptionist
0.5 0.5
0.5
0.5
0
-00*� TOTAL
2.5 2.5
3.5
4
5
Overview General Debt Scn wo' Uti6ly Coniponcnl Supplem en Id
Fund Fmtd Fund Units Wormatlon
r ,
i
Utility Fund
Debt
Unlike the General Fund, there is no special fund to account for Utility Fund
debt. All Utility Fund debt is accounted for within the Utility Fund. An
Enterprise Fund is focused upon the total cost of providing services. With
that focus in mind, the Utility Fund includes all costs to provide utility
services to our customers, including the cost of long term debt service.
All debt accounted for in the Utility Fund is supported by the revenues generated from the Utility
Fund's operations. While some debt instruments have a tax pledge, utility revenues are generally
sufficient to support all Utility Fund debt. In FY 2019, debt service accounts for 23% of the Utility
Fund budget. In the department summaries, debt is split between the water and sewer departments
and is grouped with "services" for purposes of categorizing expense types. However, Utility Fund
debt it is highlighted here to illustrates its specific share of the budget.
FY 2019 UTILITY FUND SHOWING DEBT
XFER TO CAPITAL
CAP EX PROJECTS
1% 4%
;UPPLIES
2%
.-
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
1*1"\
001\
Anna
Debt Management Plan
Not unlike the Debt Service Fund, the Utility Fund also faces challenges with its outstanding
debt. Currently the Utility Fund holds just over $22.4 million in outstanding debt. The City has
worked closely with our financial advisors, First Southwest, to develop a sound debt
management plan for the Utility Fund as well.
In order to appropriately manage Utility Fund debt, the City and First Southwest developed a plan
to take advantage of call dates and pursue advance refundings of the City's outstanding Utility
Fund debt. During FY 2018, the City was able to refund several obligations. By doing so, the
City's outstanding debt is now in line with the financial plan to keep debt service payments at or
below $2 million annually. The City will continue work with its financial advisor and pursue any
additional refunding opportunities. The current plan makes very conservative assumptions
regarding interest rates and is reviewed and analyzed in conjunction with a utility rate study to
evaluate the current water and sewer rates.
The following table outlines the current and future debt payments. The table along with the
subsequent chart details the debt payments through 2040.
Utility Fund Outstanding; Debt Schedule
PERIOD
ENDING
PRINCIPAL
INTEREST
INTEREST
REDUCTION &
RECOVERY
TOTAL DEBT
SERVICE
9/30/2019
$1,006,250
$835,548
$103,742
$1,945,540
9/30/2020
$1,033,750
$803,528
$103,742
$1,941,020
9/30/2021
$1,073,250
$769,190
$103,742
$1,946,182
9/30/2022
$1,108,750
$732,180
$103,742
$1,944,672
9/30/2023
$1,145,250
$692,683
$103,742
$1,941,675
9/30/2024
$1,189,000
$650,728
$103,742
$1,943,470
9/30/2025
$1,232,500
$606,719
$103,742
$1,942,961
9/30/2026
$1,382,000
$560,619
$1,942,619
9/30/2027
$1,438,750
$505,140
$1,943,890
9/30/2028
$1,493,750
$451,567
$1,945,317
9/30/2029
$1,550,000
$392,373
$1,942,373
9/30/2030
$1,608,750
$334,300
$1,943,050
9/30/2031
$1,670,000
$273,767
$1,943,767
9/30/2032
$1,732,500
$210,853
$1,943,353
9/30/2033
$1,777,500
$145,842
$1,923,342
9/30/2034
$661,250
$98,546
$759,796
9/30/2035
$248,750
$77,134
$325,884
9/30/2036
$263,750
$62,764
$326,514
9/30/2037
$280,000
$47,500
$327,500
9/30/2038
$185,000
$34,397
$219,397
9/30/2039
$197,500
$23,612
$221,112
9/30/2040
$207,500
$12,097
$219,597
TOTAL
$22,485,750
$8,321,085
$726,193
$31,533,028
M
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
The table below summarizes the outstanding debt service obligations for the Utility Fund through 2040.
$2,500,000
$2,000,000
$1,500,000
$1,000,000
$500,000
$0
Project Utility Fund Debt Service
I I I I I I I I I I I I I I I I I I I I I I
`1 rV0 N N N N N N N N Cr) co Om M tN M to m M ro m ro
0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0
N N N N N N N N tV N N N N N N N N N N N N N
■ TOTAL DEBT SERVICE
This was developed by the City of Anna using data provide by our financial advisors, First Southwest and assumptions
developed Jointly. It is for planning and discussion purposes only. Actual results may vary based upon future economic
conditions.
The following steps have been developed by the 2 It is the City's current intent to
City and First Southwest to address the Utility maintain water and sewer
Fund debt: system annual debt service at a
1. The City's budgeted rates and charges
are sufficient to cover both the contract
revenue obligations as well as the
general obligations debt issued for water
and sewer system improvements.
maximum level of approximately
$2 million per year.
3. Upcoming refundings would have the goal
of reducing debt service payments.
V•
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
I
Component Units
The City of Anna is closely involved with the Anna Economic Development
Corporation (EDC) and the Anna Community Development Corporation
(CDC). The corporations are sometimes referred to as Type A and Type B
corporations (respectively). These corporations are presented in the
annual budget as a component unit of the City of Anna.
Each corporation acts under the direction of
a seven -member board appointed by the
City
Council and has their own budget separate and
distinct from the City of Anna budget. In
addition to being managed by their boards,
both the EDC and CDC budgets must be
approved by the City Council. As discussed
previously in this budget, the city sales tax rate
is 8.25%. The state takes 6.5% leaving 2% in
the city.
Prior to April 2017, of the remaining 2%, the
City of Anna received 1 %, and the EDC and
CDCeach received 0.5%. However, legislation
authorized cities to hold an election to
reallocate the 2% local option sales tax. In
November 2016, the City held an election to
defund the sales and use tax for the Type A
ACTUAL
SALES TAX
$674,037
INTEREST
$1,676
BOND PROCEEDS
$1,850,000
TRANSFER IN - EDC
$725,000
TOTAL
$3,250,713
Economic Development Corporation, and to
increase the sales tax by an additional 0.25%
for the Type B Community Development
Corporation. In addition, the City sales tax was
increased by 0.25% to 1.25%. Revenue from
the additional 0.25% will be used to fund road
and transportation projects. The sales tax
reallocation went into effect on April 1, 2017.
The EDC budget will remain through FY 2019
to show revenue generated from a lease
agreement on a small business incubator
operated out of the old post office which is
owned by the EDC. The CDC will rely almost
exclusively on sales tax for their revenue. The
table below illustrates the revenue sources for
the EDC and CDC. In FY 2017, the CDC sold
bonds in order to purchase land for a
business park.
CDC Revenue
BUDGET ESTIMATE
$822,615 $855,454
$1,800 $2,357
$0 $0
$0 $0
$824,415 $857,811
PROPOSED % CHANGE
$898,227
9.19%
$2,474
37.44%
$0
0.00%
$0
0.00%
$900,701
9.25%
overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
EDC Revenue
ACTUAL
BUDGET
ESTIMATE
PROPOSED
% CHANGE
SALES TAX
$241,060
$0
$0
$0
0.00%
INTEREST
$1,978
$650
$802
$660
1.54%
RENTAL
$12,133
$25,716
$20,000
$23,952
-6.86%
MISCELLANEOUS
$42,780
$45,480
$41,090
$6,000
0.00%
TOTAL
$297,951
$71,846
$61,892
$30,612
-57.39%
Type B corporations have the ability to perform all the same functions as Type A corporations, as well as
additional projects not authorized for Type A corporations. The CDC will continue to pursue projects that
improve the quality of life in Anna through projects ranging from the creation of jobs to investments in park
facilities. Improvements funded through the CDC have specific eligibility requirements that must be met in
order to receive funding. Chapter 501 of the Local Government Code govern both Type A and Type B
corporations. Additionally, Chapter 504 specifically governs Type A corporations while Chapter 505
specifically governs Type B corporations.
?O,
100
Overview General Debt Sei vice Utility Component Supplemental
Fund Fund Fund Units Information
Anna
Community Development
Corporation
Purpose / Description
The Anna Community Development Corporation works to expand the city's
business tax base and professional workforce through targeted economic
development. The Corporation also identifies and funds community facilities
and related projects that enhance and improve the quality of life inAnna.
FY 2018 Accomplishments
• Supported the Greater Anna Chamber of Commerce and their 5 annual community events.
• Hired a new Chief Administrative Officer
• Completed a market study of our trade area
• Completed a traffic count study
• Attended ICSC to build relationships with developers, brokers, and retailers interested in
locating in Anna.
• Maintained appropriate cash flow and coverage ratios for sound fiscal health and bond ratings
FY 2019 Objectives
Goal: Promote our Community Identity
Continue to promote community functions that foster civic pride and promote our community
identify through partnerships with GACC, Anna [So, and other community organizations
• Implement through targeted marketing efforts the City's identity
Goal: Pursue Targeted Economic Development
Pursue targeted economic development consistent with the City's Strategic Plan
• Attend the ICSC local and national conferences to promote the Anna brand and build
relationships with retailers and developers
• Identify opportunities to build the professional workforce in Anna through partnerships with
businesses and educational Institutions
• Continue to promote development of the Business Park in an effort to diversity the tax base
and jobs to the community
Goal: Improve Curb/Aesthetic Appeal of Community
Fund as appropriate improvements to the City's parks and park amenities
101
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
New & Noteworthy for FY 2019
• CDC staff will launch a new online map feature that will market our commercial real estate
inventory
• CDC staff will implement a new software program called Data Impact Service. The software
will allow staff to better formulate and evaluate the economic impacts of a project/business
locating in Anna. This software tool will provide an analysis of efficiency (cost -benefit) to the
community by evaluating the impact of new jobs created, capital investment, salaries,
operating costs, etc. This information will assist staff, board members, and councilmembers
in decision -making related to potential incentives agreements
00"4,
102
Overview General
Debt Service
Utility
Component
Supplemental
Fund
Fund
Fund
Units
Information
Anna
FY19 PROPOSED CDC BUDGET
PAYROLL
10%
SERVICES
90%
CDC Expenditure Summary
PAYROLL
^y V ^` $0
V V V $77,155
`V $46,422
V $89,744
16.32%
SUPPLIES
$259
$2,900
$2,100
$2,400
-17.24%
MAINT
$0
$0
$0
$0
0.00%
SERVICES
$322,613
$722,317
$796,631
$808,557
11.94%
CAP EX
$2,892,391
$0
$0
$0
0.00%
TOTAL
$3,215,263
$802,372
$845,153
$900,701
12.25%
CDC FTE Schedule
Description FY15 FY16 FY17 FY18 FY19
Economic Development Officer 0.5 0.5 0.5 0 0
CDC Chief Administrative Officer 0 0 0 1 1
TOTAL 0.5 0.5 0.5 1 1
103
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Economic Development
Corporation
Purpose / Description
The Anna Economic Development Corporation works to coordinate efforts to
expand the city's business tax base with a focus on creating primary jobs
within the City of Anna
FY 2018 Accomplishments
Renovated the property at 312 North Powell Parkway to allow for more private offices
Cultivated relationships with medical groups and hospitals that could potentially locate in
Anna
Built a water line along the south edge of the Business Park property
Engaged a landscape architect to design an entry feature and sign for the Business
Park
FY 2019 Objectives
Goal: Promote our Community Identity
Implement through targeted marketing efforts the City's identity
Goal: Pursue Targeted Economic Development
• Pursue targeted economic development consistent with the City's Strategic Plan
• Attend the ICSC local and national conferences to promote the Anna brand and build
relationships with retailers and developers
• Identify opportunities to build the professional workforce in Anna through partnerships with
businesses and educational Institutions
• Continue to promote development of the Business Park in an effort to diversity the tax base
and jobs to the community
104
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
FY19 PROPOSED EDC BUDGET
SUPPLIES MAINT
1% 6%
SERVICES
93%
EDC Expenditure Summary
2017
2018
2019
ACTUAL
BUDGET
ESTIMATE
PROPOSED
% CHANGE
SUPPLIES
$1,555
$900
$0
$500
-44.44%
MAINT
$12,772
$10,000
$0
$5,000
-50.00%
SERVICES
$117,678
$48,656
$45,352
$76,550
57.33%
CAP EX
$132,594
$100,000
$53,161
$0
-100.00%
TRANSFER CDC
$725,000
$0
$0
$0
0.00%
TOTAL
$989,599
$159,556
$98,513
$82,050
-48.58%
105
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Supplemental Information
The supplemental Information section contains the following information:
• Capital Improvements Plan
• Debt Management Plan
• Bond Ratings
• Financial and Investment Policies
• Budget Information from City Charter
• Budget Ordinance
106
Overview General Debt Service Utlllty Component Supplemental
Fund Fund Fund Units Information
Capital Improvements
The Capital Improvements section includes improvements that
benefit both the General and Utility Fund. General Fund Capital
Improvements are set aside in a dedicated Capital Improvements
Fund to account for financial resources to be used for the acquisition
and construction of major capital facilities that benefit the General
Fund. While most Utility Fund Capital Improvements are accounted
for within the Utility Fund, funds that are set aside for future major
capital facilities are also accounted for in a separate Capital
Improvements Fund. The separation of capital improvements into
separate distinct funds is related to governmental accounting.
Capital Improvements are the result of long term
planning that occurs in the Capital Improvements
Plan (CIP). Each year projects are updated and
projected across a 5-year time horizon and
beyond. These projects are given priority based
upon a combination of factors including
community needs/interests and available funding.
Capital projects may be funded with bonds,
grants, fund balance, special restricted revenue or
other sources of capital including private
investment.
CIP Impact on Operating Budgets
When certain types of capital projects are
developed and completed, they have ongoing
financial impacts upon the City's operating
budgets. These impacts can take the form of
personnel costs, or operating costs such as
maintenance, supplies, electricity, fuel, janitorial
services, etc. Typically, replacement capital
projects/assets do not have an immediate impact
on the City's current or future budgets if they are
replacing an existing asset.
FY 2018-19 Major CIP Projects
In FY 2019, the Capital Improvements projects the
City will begin working on include the following
projects:
• Municipal Complex
• Central Fire Station
• Sherley Elevated Storage Tank Rehab
• U.S. 75 Utility Relocation B (FM455 to
GCL)
• Wastewater Line Rehab
• State Hwy 5 Utility Relocations/Project A
• State Hwy 5 Utility Relocations/Project B
• Ferguson Road (Taylor to CCOL)
• Rosamond West (Exiting terminus to US
75)
• East Hackberry Reconstruction (SH 5 to
Slayter Creek)
Additional projects for annual street rehabilitation
included in the capital projects summary are
funded in the in the regular operating budget for
the Streets Department presented previously and
are not included here.
107
Overview General Debt Service
Fund Fund
Utility Component Supplemental
Fund Units Information
There are additional public infrastructure projects
that will be completed by private developers and
are subject to inspection and acceptance by the
City of Anna. These projects are often referred to
as contributed capital and typically include water,
sewer, street, and park improvements and
infrastructure. These projects are typically
managed, carried out, and funded by private
developers. These projects are not included in
the annual budget.
The table below highlights the description of the
FY 2019 CIP projects, description, estimated cost,
potential funding sources, and any impact on
operating budgets. The summary of the 5-year
CIP will follow.
Anna
/'N
108
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
CAPITAL IMPROVEMENTS PLAN
Capital Projects
FY 19
FY 20
FY 21
FY 22
FY 23
TBD
Total
BUILDINGS .. ,'., _...
12369487
14,510,257
-
-
-
13346000
40,225,744
New Munici a1Com lex
9,131,200
10,348,800
1,94$000
21,428,000
Cen trot Fire Station
3,238,287
4,123,457
7,359,744
Fire Station#2
3,84$000
3,M,000
New Police5totion
7,550,000
7,550,000
Waste Water Barn Replacement
40,000
40,000
WATER AND WASTEWATER
Sherley Elevated Storage Tank Rehabilitation
M8
150,OW
7664,630
022,354
589,807
12,615, l
150,000
US 75 Utility Relocation B-FM455 to GCL
527,757
527,757
Grayson Pum Stotlon
3,11 WO
3,i1OW0
Wastewater Line Oehabilation Based on l&1 Stud
W01000
900000
IM40W
WWIPUpgrades (Rotary Press UVS stem
000000
110001000
East Hockber Waterline
147,807
147,807
State Hwy S Utility Relocation- ProectA
M121
4071,030
Z0391151
State Hw S Utility Relocation- Pro'ectB
592,470
1,000,000
2,02Z354
3,614,824
FosterCrossing Water Line B(Extension to U575)
583,600
583,600
Collin Pump Station Activation
44ZOOO
442,000
STREETS --_` _-..IN MEN-__11111111
Annual Rehab Program
4667423
1,210,000
279000
225,000
.. 'OW
1 240,000
255000
255,000
v=
270,000
084405
Z200,000
Ferguson Road (Taylor to CCOL
1,829,458
1,829,4SB
Ferguson Road North- (Hackberry to Rosamond
6440999
6,440,999
Hockbe West- (Feiguson to US 75
5,289,496
5,288,496
Taylor Blvd. (Ferguson to US 75
4.9W,000
491)[1000
Rosamond West(Existing terminus to US 75
796,500
6,58&167
7,384,667
Montuo Rd./CR371
1,943320
1,943,320
Leonard Blvd. South
TBD
Leonard Blvd. North
TOO
E. Hackberry Reconstruction( SH5 to Sla ter Creek
1 831,465
831,465
PARKS
NSP Dog Park
555,0001:
555,000
.555,000
1 555,000
VEHICLES
FD-Replace E-9171-2010E-One
:480000..
480,000
OWOW
37,000
195000
jjjjF&71Z000
480,OW
FD-Replace E-902-2002Frei htlinerre/ace with Quint
1/000,000
3,000,000
ST-2015F-350Cement Muterinsert
30,000
30,00)
ST- 2035 Peterbilt 337Dum Thin
QQOW
90,000
WA- 2000 International4700 T44EDum Truck
75,000
75,0W
WW - 2016 0-3500 w/crane
37,000
37,000
MACHINERY & EQUIPMENT
97,5W
424,300
252,O00
797,000
30,5W
828,W0
.;
FD - Heart Monitor
30,000
33,000
63,000
FD-Outdoor WarningSirens
27,500
29,000
30,5W
87,000
FD Ea le Air Cadet SCBA oircam ressor
50,000
50,000
FD Radio Replacements
40,000
40,0W
FOSCBA's
7OWO
100,000
1700W
FD Tm lc Light Controls stem
32,3W
35,000
67,300
PD-Anti Idlin Project
40,000
40,000
PD-MDCRe lacement
25000
25000
PD- 3-DSconner
70000
70 W0
PK- 2W7Rhino MowerSR151D#53018
25,000
25,000
PK- IW9John Deer-W3Troct0r1D#5301
62,000
62,000
PK-2010 Toro 59W6Gan MowerlD#5402
92,W0
92,000
PK- 2010Toro Reel Mower33WD ID#5403
38 000
38,000
PK-101SKubota Tractor
34,000
34,000
PK-2015John Deer Mower Flex Win Attachment UnIt5301A
31,000
31,000
PK-Remcors ra
40000
40,O00
PK-Vacuum/verticutterto clean thatch rom ields
45000
45,000
ST-Boma Roller BW-13ttAD-5
55,000
55,000
ST- GradAll Excavator
375,000
3750W
WA-1012Mini Excavator
7�000
75,000
WA-We1ISo storters
700W
70,000
WA- Vermeer VX56500 Vac -Troller
85,000
85000
WW-2004 Pipe Hun ter Sewer let Machine
80,000
80,000
WW- Vac Truck
350,OW
350,000
WW-Vac Truck
350,000
350,OW
'TOTAL
19.952.758
22.824.197
3,514,354
1,0 000
3W,SW
90,674,789
B8,34S, .
W
Overview General
Debt Service
Utility
Component
Fund
Fund
Fund
Units
K` e
Supplemental
Information
Anna
CITY OF ANNA
FY 2018 CAPITAL IMPROVEMENTS
PLAN
The addition of a permanent structural improvement or the restoration ofsome aspect of
property that will either enhance the property's overall value or
increases its useful life.
*all costs presented in the plan are subject to available funding and periodic review and
revision, inclusion in the plan is not guarantee offunding
**all images used to depict project do not necessarily reflect the actual project and may
change based upon need and available products
?0\
110
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
BUILDINGS
A relatively permanent enclosed construction over a plot of land, having a roof and usually
windows and often more than one level, used for any of a wide variety of activities.
111
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 19 - FY 20
Ci Hall
Admin
Total Project Cost
1 $ 19,480,000
FY 19 Budget $ 9,131,200
Project Description
Consistent with the Downtown Revitalization Plan, the
City plans to build a new Municipal Complex. While
conceptual at this point, the new space will provide a
L
centralized location to interact with all City service
ti
except for public safety.
Regulatory or Legal Mandates
Operational Necessity/Justification
ADA requirements, competitive bids
With current and future growth projections for the city
and the region, we are planning forfuture needs. We
have outgrown our facilities and are in need of updated
and permanent accommodations.
City Sources of Funding Non -City Sources of Funding
Modest amounts of fund balance if available and Bonds
approved
Proposed Project Budget
EIW
Land Acquisition -
Testing Services -
Design Costs
Const. Costs 9,131,200 10,348,800 19,480,000
Const. Mngmt.
Furn/Fixt/Equip
Engineering
Other Prof. Fees -
Contingencies
Total 9,131, 200 10,348,800 19,48 000
112
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
r .
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 19 - FY 20
Central Fire Station
Fire
Total Project Cost
1 $ 7,359,744
FY 19 Budget
$ 3,238,287
Project Description
The currentfire station, built In 1967 has had several
additions and renovations. It has served the community
well. However, it is currently not efficient or effective In
serving the community for the longterm. Anewfacility
Incorporating drive through apparatus bays, offices,
storage, administrative & training areas, crew quarters and
amenities Is greatly needed. The facility would be
designed to meet the needs of Anna for the next 30+ years
and would provide a much greater level of enhanced
customer service then the current facility. Additionally, the
design would help anchor to future growth along highway
5.
Regulatory or Legal Mandates
Operational Necessity/Justification
None
The currentfire station is somewhat limited in its ability
to support the growing community for effective and
efficient operations of the Fire Department
City Sources of Funding Non -City Sources of Funding
Bonds, and there may be some opportunity for limited
grant funding assistance but it is not anticipated that
this would provide full funding, if any, for this project.
Proposed Project Budget
FY 19 FY 20 FY --..., . _
Land Acquisition
Testing Services -
Design Costs -
Const. Costs 3,238,287 4,121,457 7,359,744
Const. Mngmt. -
Furn/Fixt/Equip -
Engineering -
OtherProf.Fees -
Contin encies -
Total 3,238,287 4,121,457 7,359,744
113
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
TBD
Fire Station #2
Fire
Total Project Cost
$ 3,848,000
FY 19 Budget
$
Project Description
As the city of Anna grows and population densities, sub
-divisions and commercial development increases so does
the need to provide timely service to those portions of our
community that exceed benchmark response times. A
second station will facilitate efficient and effective
response to areas that may be underserved.
1.
i
Regulatory or Legal Mandates
Operational Necessity/Justification
None
To maintain effective response capabilities in new
growth areas of the city.
City Sources of Funding
Non -City Sources of Funding
Bonds, and there may be some opportunity for limited
grant funding assistance but it is not anticipated that
this would provide full funding, if any, forthis project.
Land will be provided as part of a development
agreement.
Proposed Project Budget
r
Land Acquisition
Testing Services 14,000 14,000
Design Costs 262,000 262,000
Const. Costs 31254,000 3,254,000
Const. Mngmt. -
Furn/Fixt/Equip 136,000 136,000
Engineering 33,000 33,000
Other Prof. Fees 38,000 38,000
Contingencies 111,000 111,000
Total - - - - - 3,848,000 3,948,000
/"1
114
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
TBD
New Police De artment
Police
Total Project Cost $ 7,550,000
FY 19 Budget
$ -
Project Description
As Identified in our space need assessment conducted in FY 14,
the City will need to build a new Police Station to accommodate
the current and expected grout.
tF
1
n
Regulatory or Legal Mandates
Operational Necessity/Justification
With current and future growth projections for
ADA requirements, competitive bids
the city and the region, we are planning for
future needs. When the new City Hall is
complete it will free up some space; however,
a new facility will ultimately be necessary.
City Sources of Funding
Non -City Sources of Funding
Bonds
Proposed Project Budget
FY 19 FY 1 FY 21 FY 22 FY 23 TBD Total
Land Acquisition
Testing Services 23,000 23,000
Design Costs 529,000 529,000
Cons. Costs 6,173,480 6,173,480
Const. Mngmt. -
Furn/Fixt/Equip 427,OOD 427,000
Engineering 63,000 63,000
Other Prof. Fees 114,000 114,000
Contingencies 220,520 220,520
Total - - - - - 7,550,000 7,550,000
115
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
LWWTP
Department
FY20
Lab Remodel
Sewer
Total Project Cost
$ 40,000
FY 19 Budget
$
Project Description
Remodel the lab atthe WWTP plantthe supports plant
operaaions and reporting. The remodel would include
updating the office space and furniture forthe WWTP
personnel.
on
RIM
Regulatory or Legal Mandates
Operational Necessity/Justification
None
Lab is dated and in need of repairs and improvements
to improve working conditions and operations.
City Sources of Funding
Non -City Sources of Fund in
Bonds
Proposed Project Budget
:D Total
Land Acquisition
Testing Services -
Design Costs -
Const. Costs 40,000 40,000
Const. Mngmt. -
Furn/Fixt/Equip -
Engineering -
Other Prof. Fees -
Contingencies -
Total - 40,000 - - - - 40,000
116
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
WATER AND SEWER
A transparent, odorless, tasteless liquid, a compound of hydrogen and oxygen; Liquid and solid waste
carried off in sewers or drains
117
Overview General
Fund
Debt Service
Fund
Utility
Fund
Component
Units
Supplemental
Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s) Project Name Department
FY 19 Sherley EST Restoration Water
TotaIProiect Cost $ 150,000 1 FY 19 Budget 5 150.000
Proiect Descriotion
Restoration of the Sherley Elevated Storage Tank
including any potential metal work, potential lead
mitigation, sandblasting, prime coat and repaint. This
tank, while not in service, reflects on our water system.
If it is to be retained it should be restored.
Regulatory or Legal Mandates
Operational Necessity/Justification
The tank is a historic landmark, is located in our historic
district, stands near historic church and should be
preserved. Tanks of this type were common in the
1920's and this tank is from that era.
City Sources of Funding Non -City Sources of Funding
"o be determined. The cost would be less if lead Possible grantfundingfrom the Texas Historical
nitigation was performed prior to the last repaint. Cost Commission. We need to apply to have the tank included
o restore the tank with no lead mitigation is estimated in the National Registerof Historic Places in orderto
It $60,000. qualify for a Certified Local Government Grant. Grant
funding is available for developing a preservation
Plan/ordinance as well.
Proposed Project Budget
/�N
.ana Acquisition
-
-estingServices
4,000
4,000
lesign Costs
6,000
6,000
:onst. Costs
140,000
140,000
:onst. Mngmt.
-
:urn/Fixt/Equip
-
.ngineering
-
)ther Prof. Fees
-
:ontin encies
-
Total
150,000 - - -
- - 150,000
118
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 19
US 75 UtilityRelocation - B
Water
Total Project Cost
$ 527,757
FY 19 Budget $ 527,757
Project Description
Relocation of water and sewer lines in conflict with
improvements to US 75 between FM 455 and the
Grayson County Line.
Regulatory or Legal Mandates
Operational Necessity/Justification
TxDOT.
Water and wastewater lines must be relocated in order
for the reconstruction of US 75 up to the Grayson
County line to be completed.
City Sources of Funding
Non -City Sources of Funding
Impact Fees (potentially)
TxDOT SIB Loan. Project is partially reimburseable.
Proposed Project Budget
r FY 22 FY 23 TBD Total
Land Acquisition 17,813 17,813
Testing Services 12,438 12,438
Design Costs -
Const. Costs 497,506 497,506
Const. Mngmt. -
Furn/Flxt/Equip -
Engineering -
Other Prof. Fees -
Contingencies -
_
Total 527,757
119
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 20
Grayson P mp station
Water
Total Project Cost
$ 3,110,000
FY 19 Budget
$
Project Description
_
Installation of pump station, pumps, back-up generator,
and all piping and appurtenences. Construction of a
500,000 gallon ground storage reservoir.
Jim
Regulatory or Legal Mandates
Operational Necessity/Justification
TCEQ requirement for pumping and storage capacity.
While the Foster Crossing Water Line and Collin Pump
Station activation will provide capacity for the shortterm,
the Grayson Pump Station will need to be constructed in
orderto meet projected demand. The design is complete
but the layout may be modified due to the acquisition of
the adjacent property.
City Sources of Funding
Non -City Sources of Funding
Impact Fees. Potential Certificate of Obligation.
Proposed Project Budget
FY 19 FY r FY 21 FY 22 FY 23 TBD Total
Land Acquisition -
Testing Services 15,000 15,000
Design Costs -
Const. Costs 3,075,000 3,075,000
Const. Mngmt. -
Furn/Fixt/Equip -
Engineering 20,000 20,000
Other Prof. Fees -
Contingencies -
Total - 3,110,000 - - - - 3,110,000
120
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
/'1
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 19 - FY20
WW Line Rehab
Sewer
Total Project Cost
$ 1,000,000
FY 19 Budget
$ 100,000
Project Description
t -
Replacement of old line based on recommendations
from the FY 17 / FY 181&1 Study.
Regulatory or Legal Mandates
Operational Necessity/Justification
Old sewer lines may allow storm water to infiltrate into
Avoid fines from violations, less cost to treat
the collection system causing regulatory violations due
wastewater.
to bypassing at the plant or sanitary sewer overflows.
City Sources of Funding
Non -City Sources of Funding
TBD.
TBD.
Proposed Project Budget
:D Total
Land Acquisition -
Testing Services -
Design Costs 100,000 100,000
Const. Costs 900,000 900,000
Const. Mngmt. -
Furn/Fixt/Equip -
Engineering -
OtherProf.Fees -
Contingencies -
Total 100,000 90U,000 - - - - 1,000,000
121
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 20
WWTP Upgrades
Sewer
Total Project Cost
$ 1,000,000
FY 19 Budget
$
Project Description`
—
Upgrade existing equipment and appurtenances to
t
meet TCEQ guidelines and allow for maximum
useful life and efficient operations of the existing
WWTP. Replacement of belt press. UV system
upgrades.
Regulatory or Legal Mandates
Operational Necessity/justification
Texas Commission on Environmental Quality (TCEQ)
In order to keep pace with growth and avoid costly and
requires certain standards be maintained in order to
unnecessary TCEQ violations.
operate a WWTP. This project will allow the city to
make necessary upgrades to the WWTP.
City Sources of Funding Non -City Sources of Funding
Sewer impact fees if available and consistent with CIP TBD.
plan.
Proposed Project Budget
Land Acquisition -
Testing Services -
Design Costs 100,000 100,000
Const. Costs 900,000 900,000
Const. Mngmt. -
Furn/Fixt/Equip -
Engineering -
OtherProf.Fees -
Contingencies -
Total - 1,000,000 - - - - 1,000,000
122
overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
TBD
E. Hackberr, Water Line
Water
Total Project Cost $ 147,807
FY 19 Budget $ -
Project Description
Relocation of 1,050 linear feet of 8" water line along
j
Hackberry Dr. betweeen Slayter Creek and SH 5 to make
room for the ultimate 4-lane pavement section.
Cflr-11 \
Regulatory or Legal Mandates
Operational Necessity/Justification
N/A
Hackberry Rd, can be improved per the Phase 1
pavement plan without relocating this water line,
however, the road project cannot proceed to Phase 2
without relocating the water line.
Ci�Sources of Fundin�of Funding
Non -City Sources of Funding
TBD.
N/A
Proposed Project Budget
r FY 21 FY 22 FY 23 TBD Total
Land Acquisition 4,029 4,029
Testing Services Z819 2,819
Design Costs 28,192 28,192
Const. Costs 112,767 112,767
Const. Mngmt. -
Furn/Fixt/Equip -
Engineering -
OtherProf.Fees
,Contingencies -
Total - - - - - 147,807 147,807
123
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anne
"ON
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 19 - FY 20
SH 5 Utility Relocation - A
Water
Total Project Cost $ 2,039,151
FY 19 Budget $ 968,121
Project Description
TxDOT plans to start reconstruction of SH 5 in April of
2021. This means that we need to begin our utility
..
relocation for PROJECT A no later than September 2019
with completion by January 2021. There has been
J/
discussion regarding phasing the project so that the
49Pj j
111
costs for relocation are incremental. We will contine to
pursue this discussion and further refine the schedule.
We anticipate this will be broken into two projects as
we are presenting.
Regulatory or Legal Mandates
Operational Necessity/Justification
TxDOT requires that the City's water and sewer
Water and wastewater lines must be relocated in order
infrastructure be relocated out of their acquired right -of-
for the reconstruction of SH 5 to be completed.
way.
City Sources of Funding
Non -City Sources of Funding
Impact fees.
Collin County and TxDOT. State Infrastructure Bank (SIB)
Loan.
Proposed Project Budget
FY 19 FY r FY 21 FY 22 FY 23 TBD Total
Land Acquisition 117,930 117,930
Testing Services 39,276 39,276
Design Costs 310,915 r 310,915
Contt. Costs 500,000 1,071,030 r 1,571,030
v
Contt. Mngmt. -
Furn/Fixt/Equip r -
Engineering -
OtherProf.Fees -
Contingencies -
Total 968,121 1,071,030 - - - - 2,039,151
124
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
/"k
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name 7
Department
FY 19 - FY 21
SH 5 UtilityRelocation
- B
I Water
Total Project Cost 1 $ 3,614,824
FY 19 Budget
$ 592,470
Project Description
-
TxDOT will be reconstructing SH 5. We anticipate we
will need to begin our utility relocation for PROJECT B
no later than September 2020 with completion by
January 2022. There has been discussion regarding
phasing the project so that the costs for relocation are
incremental. We will contine to pursue this discussion
_
and further refine the schedule. We anticipate this will
be broken Into two projects as we are presenting.
Regulatory or Legal Mandates
Operational Necessity/Justification
TxDOT requires that the City's water and sewer
Water and wastewater lines must be relocated in order
infrastructure be relocated out of their acquired right -of
for the reconstruction of SH 5 to be completed.
way.
City Sources of Funding
Non -City Sources of Funding
Impact fees.
Collin County and TxDOT. State Infrastructure Bank (SIB)
Loan.
Proposed Project Budget
TBID, Total
Land Acquisition 205,525 205,525
Testing Services 73,716 73,716
Design Costs 386,945 r 386,945
Const. Costs 1,000,000 1,948,638 2,948,638
Const. Mngmt r -
Furn/Fixt/Equip -
Engineering -
OtherProf.Fees -
Contingencies -
Total 592,470 11000,000 2,022,354 - - - 3,614,824
125
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 20
FCWL B
Water
Total Project Cost $ 583,600
FY 19 Budget
$ -
Proiect Description
Installation of an additional 2,792 linear feet of twelve -
inch water line generally along Foster Crossing between
the Pecan Grove Subdivision and US 75.
` v'
Regulatory or Legal Mandates
Operational Necessity/Justification
N/A
This project would extend the Foster Crossing Water
Line to US 75 from Pecan Grove. The line would serve
development and enable the City to fully utilize the
Collin Pump Station located near the Collin County
Outer Loop.
City Sources of Funding
Non -City Sources of Funding
Impact Fees.
N/A
Proposed Project Budget
:D Total
Land Acquisition 42,350 42,950
Testing Services 11,519 11,519
Design Costs 69,000 69,000
Contt. Costs 460,731 460,731
Costt. Mngmt. -
Furn/Fixt/Equip -
Englneering -
OtherProf.Fees -
,Contingencies -
Total - 583,600 - - - - 583,600
126
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K..3
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 19
Collin Pump Station Activation
Water
Total Project Cost $ 442,000
FY 19 Budget $ -
Project Description
With the well and surface water blending projects
—'
complete, the next step is to acitvate the Collin Pump
Station. Collin Pump Station is a surface water take
- - - - - - - -
point. The Foster Crossing Water Line along with the
-
activation of this pump station will allow surface waterimam
`
to be pumped Into newer sections of the system
.
reducing potential water quality issues that could be
casued by introducing unblended surface water in the
bw
older section of town.
Regulatory or Legal Mandates
Operational Necessity/Justification
The city is approaching and may exceed the TCEQ
This project is necessary in order to accommodate TBD
mandated maximum daily capacity our water
growth, activate an existing unused asset, and provide
system. Upgrades are necessary to keep pace with
for redundancy within the water system.
growth.
City Sources of Funding
Non -City Sources of Funding
Impact fee funds. 2014 Bond.
Proposed Project Budget
FY 19 FY 20 FY 21 FY 22 FY 23 :D Total
Land Acquisition -
TestingSe"ices -
Design Costs -
Const. Costs 328,131 328,131
Costt. Mngmt. -
Fu rn/Fixt/Equip -
Engineering 72,090 72,090
Other Prof. Fees 9,011 9,011
Contingencies 32,768 32,768
Total 442,000 442,000
127
overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
STREETS
A public thoroughfare, usually paved, in a village, town, or city
128
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
AIM\
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
Annually
Street Rehab Proram
Streets
Total Project Cost
$ 2,200,000
FY 19 Budget
$ 1,210,000
Proiect Description
Each year the city will reserve $100,000+ of general
fund revenues to repair street. The particular street
----
project each year will determined based upon the level
of wear found upon city streets. Staff recommends
increasing the amount by $15,000 each year. In FY 19
we also expect $1 million in bond proceeds to be
"� e
allocated to Street Rehab.
Regulatory or Legal Mandates
Operational Necessity/Justification
Competitive bids, safety of citizens.
City streets have an anticipated life expectancy. As the
city grows and the streets experience wear and tear
roads will need to be repaired/replaced.
City Sources of Funding Non -City Sources of Funding
General Fund revenues. 2018 General Obligation Bond.
Proposed Project Budget
Land Acquisition -
Testing Services
Design Costs
Const. Costs 1,210,000 225,000 240,000 255,000 270,000 2,200,000
Const. Mngmt. -
Furn/Fixt/Equip -
Engineering -
Other Prof. Fees -
Contingencies -
Total 1,210,000 225,000 240,000 255,000 270,000 - 2,200,000
129
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY19
Ferguson South
Streets
Total Project Cost
$ 1,829,458
FY 19 Budget
$ 1,829,458
Project Description
Construct 1.2 miles of roadway connecting Ferguson
between Taylor Blvd. and the Collin County Outer Loop
( ) gCCOL . Road is a future 6-lane divided in 120' of ri ht-
f IO R:nJ
of -way. Phase 1 would construct 2 concrete curb and
gutter lanes and include a 3-lane bridge. We expect
bond money to be allocated to the project fro design
i. L.�. I t.........
Eo
and ROW acquisition from the 2018 General Obligation
, .
Bond. We are also pursuing grant funding from the
COG.
----•
x li
. j
Regulatory or Legal Mandates
Operational Necessity/Justification
This project is a top priority due to the connectivity to
two regional roadways (FM 455 and the CCOL). The
project gets traffic to our population center without
having to use the congested intersections of FM 455 at
US 75 and FM 455 at SH 5.
City Sources of Funding
Non -City Sources of Funding
Dedicated fund balance and revenue for streets.
Bonds
General Obligation bond. NCTCOG Grant.
Proposed Project Budget
21 FY13
Land Acquisition 1,577,678
1,577,678
Testing Services
-
Design Costs 251,780
251,780
Const. Costs
-
Const. Mngmt.
-
Furn/Fixt/Equip
-
Engineering
-
OtherProf.Fees
-
Contingencies
-
Total 1,829,458 - -
- - - 1,829,458
/'1
130
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
TBD
Fergus n North
Streets
Total Project Cost
$ 6,440,999
FY 19 Budget $
Proiect Description
's�N
Design and acquire right-of-way for Ferguson between
Hackberry and future Rosamond. Road is a future 6-lane
RuymnRMtvq-s
divided in 120' of right-of-way.
1t R
-i
F' 1 -
I �
P+YmwbY.A ]! �wYq�biK6
Regulatory or Legal Mandates
Operational Necessity/Justification
This road connects Ferguson to FM 455 providing
connectivity to 2 major east -west corridors namely
Hackberry and future Rosamond.
City Sources of Funding
Non -City Sources of Funding
Dedicated fund balance and revenue for streets.
General Obligation bond.
Proposed Project Budget
:. Total
Land Acquisition 100,000 100,000
Testing Services -
Design Costs 595,800 595,800
Const. Costs 4,787,666 4,787,666
Const. Mngmt. -
Fu rn/Fixt/Equip -
Engineering -
OtherProf.Fees -
Contingencies 957,533 957,533
Total - - - - - 6,440,999 6,440,999
131
Overview General Debt service Utility Component Sump leinen ta'
Fund Fund Fund Units Inform,Ciou
e;
l
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
TBD
Hackber West
Streets
Total Project Cost
$ 5,288,496
FY 19 Budget $
Project Description
Design and acquire right-of-way for 1 mile of roadway
connecting Hackberry between Avery Pointe (near
..mwnsnea-s
Ferguson) and US 75. Road is a future minor collector.
This project could move up in the schedule depending
upon the Council's prioritization of bond projects.
p "Vd 79
Regulatory or Legal Mandates
Operational Necessity/Justification
This project provides connectivity between 3 major
north -south corridors namely US 75, Ferguson and SH 5.
City Sources of Funding
Non -City Sources of Funding
Dedicated fund balance and revenue for streets.
General Obligation bond.
Proposed Project Budget
r FY 21 FY 22 FY 23 TBD Total
Land Acquisition 100,000 100,000
Testing Services -
Design Costs 496,500 496,500
Const. Costs 3,909,997 3,909,997
Const. Mngmt. -
Furn/Fixt/Equip -
Engineering -
Other Prof. Fees -
Contingencies 781,999 781,999
Total - - - - - 5,288,496 5,288,496
132
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Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
TBD
Ta for Blvd.
Streets
Total Project Cost
$ 4,900,000
FY 19 Budget $
Proiect Description
Reconstruction of 1.1 miles of roadway between US 75
and Ferguson Parkway. Road is a TBD minor collector in
80' of right-of-way.
p.ryuwn pukw�y . '.
(Ella 8t b OUHr bep)
Regulatory or Legal Mandates
Operational Necessity/Justification
The current roadway is a 2-lane chip -seal road. This
project is an important component of the City s overall
transportation plan providing connectivity between US
75 and neighborhoods south of FM 455 as well as
connecting to Ferguson.
City Sources of Funding Non -City Sources of Funding
Dedicated fund balance and revenue for streets. Bonds
Proposed Project Budget
-.y a'FY 23 TBID Total
Land Acquisition -
Testi ng Se rvi ces -
Design Costs
Const. Costs 4,900,000 4,900,000
Const. Mngmt. -
Furn/Fixt/Equip -
Engineering -
Other Prof. Fees -
Contingencies -
Total - - - - - 4,900,000 4,900,000
133
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Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 19 & TBD
Rosamond West
Streets
Total Project Cost
$ 7,384,667
FY 19 Budget $
796,500
Project Description
Design and acquire right-of-way for a new roadway
between existing Rosamond (nearSH 5) and FM 2862.
rnwm. rmay •.
Rosamond is a future 6-lane divided major collector in
120' of right-of-way.
m.�.wrw...
m.n mmrmu.wt
xrxmr,r.• e...y..
mma �••
Regulatory or Leval Mandates
Operational Necessity/Justification
This project would connect SH 5 to US 75 providing
needed connectivity.
City Sources of Funding Non -City Sources of Fundins
Dedicated fund balance and revenue for streets.
General Obligation bond.
Proposed Project Budget
:D
Total
Land Acquisition 100,000
100,000
Testing Services
-
Design Costs 696,500
696,500
Contt. Costs 5,490,139
5,490,139
Const. Mngmt
-
Furn/Fixt/Equip
-
Engineering
-
Other Prof. Fees
-
Contingencies 1,098,028
1,098,028
Total 796,500 - - - - 6,588,167
7,384,667
134
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
TBD
Matua Rd/CR 371
Streets
Total Project Cost
$ 1,943,320
FY 19 Budget
$
Project Description
Reconstruct Mantua Rd./CR 371 from Highway 5 to U.S.
-
75
Regulatory or Legal Mandates
Operational Necessity/Justification
In preparation for and response to growth, this is a
future project the city anticipates to meet our
transportation needs.
City Sources of Funding
Non -City Sources of Funding
General Fund Revenue.
Bonds.
Proposed Project Budget
r FY 21 FY 22 FY 23 TBID Total
Land Acquisition -
Testing Services -
Design Costs -
Const. Costs 1,943,320 1,943,320
Const. Mngmt. -
Furn/Fixt/Equip -
Engineedng -
OtherProf.Fees -
Contingencies -
Total - - - - - 1,943,320 1,943,320
135
overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
TBD
Leonard South
Streets
Total Project Cost
$
FY 19 Budget $
Project Description
Construct 0.85 miles of roadway connecting future
Leonard Blvd. between the Collin County Outer Loop
(CCOL) and Sharp St. Future major collector 6-lane
divided in 120' of right-of-way.
Leonora e_
3
(outer Loop to South
End el Existing LeonarrJ) ,.
Regulatory or Legal Mandates
Operational Necessity/Justification
This project connects the CCOL to the Anna Crossing
development where existing Leonard ends today. The
road is also adjacent to a major school site and crosses
future Foster Crossing a future 4-lane divided roadway.
City Sources of Funding
Non -City Sources of Funding
Dedicated fund balance and revenue for streets
Proposed Project Budget
t :e Total
Land Acquisition TBD
Testing Services TBD
Design Costs TBD
Const. Costs TBD
Const. Mngmt. TBD
Furn/Fixt/Equip TBD
Engineering TBD
Other Prof. Fees TBD
Contingencies TBD
Total
."*
136
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
TBD
Leonard North
Streets
Total Project Cost
$
FY 19 Budget $
Proiect Description
Construct 0.88 miles of roadway connecting future
Finleyto FM 455. Road is a future majorcollector6-lane
divided in 120' of right-of-way.
Leonard Blvd.
(S.H. 455 to North End
of Existing Leonard)
Regulatory or Legal Mandates
Operational Necessity/Justification
This project is a major section of Leonard needed to
connect the CCOL to FM 455 east of SH 5. As the ISD
builds its new campuses along Leonard south of Anna
Crossing, this section will play a role in connectivity to
FM 455.
City Sources of Funding Non -City Sources of Funding
Dedicated fund balance and revenue for streets. Bonds
General Obligation bond.
Proposed Project Budget
t
Land Acquisition TBD
Testing Services TBD
Design Costs TBD
Const. Costs TBD
Const. Mngmt. TBD
Furn/Fixt/Equip TBD
Engineering TBD
Other Prof. Fees TBD
Contingencies TBD
Total - - - - - - -
137
Overview General Debt service Utility Component Supplemental
Fund Fund Fund Units h, I urmation
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 19
Hackberry - Slayter Creek
Streets
Total Project Cost
$ 831,465
FY 19 Budget
$ 831,465
Protect Description
Reconstruct Hackberry Lane from Highway 5 to Slayter
},
Creek. Hackberry Lane transitions from a four lane
divided road to a narrow two lane road. Project will
improve the transition, install curb and gutter, and
create turn lanes at Highway 5. As of 30/1/16 the road
is fully designed. Next steps will be to bid and
_
construct.
Regulatory or Legal Mandates
Operational Necessity/Justification
With the growth in the West Crossing development,
Hackberry lane is experiencing increased traffic. This
particular section needs to be improved for safety
reasons as well as road capacity.
City Sources of Funding
Non -City Sources of Funding
Impact fees, General Obligation Debt.
Proposed Project Budget
FY 19 FY 20 FY 21 FY 22 FY 23 :D Total
Land Acquisition 85,350 85,350
Testing Services 16,325 16,325
Design Costs 23,090 23,090
Const. Costs 653,000 653,000
Const. Mngmt. -
Furn/Fixt/Equip -
Engineering 53,700 53,700
Other Prof. Fees -
Contingencies -
Total 831,465 - - - - - 831,465
/^.
138
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
/'►
Anna
PARKS
An area of land, usually in a largely natural state, for the enjoyment of the public, having facilities for rest
and recreation, often owned, set apart, and managed by a city, state, or nation
139
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
TBD
Dog
Park
Parks
Total Project Cost
$ 555,000
FY 19 Budget
$
Project Description
The Park would include a concrete parking lot and
access to White Street and the cross access ($141,000),
2,
a steel fence ($84,000), new trail ($25,000), pergola
shade structure ($10,000) and equipment ($22,000).
y
Equipment would be benches, Water Fountains, Trash
v
Cans, Obstacle, and Misc.).
s {
Regulatory or Legal Mandates
Operational Necessity/Justification
None
The City of Anna parks master plan is a comprehensive
plan for an interconnected top notch park system. Anna
is known for its park system and these improvements
will enhance the City's park system
City Sources of Funding
Non -City Sources of Funding
Parks Trust Fund Revenues, General Fund Revenues
Proposed Project Budget
r
R
Land Acquisition
Testing Services
-
Design Costs
-
Const. Costs
555,000 555,000
Const. Mngmt.
-
Furn/Fixt/Equip
-
Engineering
-
OtherProf.Fees
-
Contingencies
-
Total - -
- - 555,000 555,000
140
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
VEHICLES
Any means in or by which someone travels or something is carried or conveyed
141
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 19 - FY 21
FD Vehicle Replacement
Fire
Total Project Cost
$ 2,000,000
FY 19 Budget
$ 480,000
Proiect Description
Schedule includes replacing unit E-902 with a quint in
FY 21. And, replacing E-901 in FY19.
Regulatory or Legal Mandates
Operational Necessity/Justification
All purchases will follow the City's purchasing policy
With the addition of multiple large commercial centers,
and those guidelines set forth by Chapter 252; Local
and high rise apartments, and future hotels. The
Government Code.
addition of an aerial device (quint) is required for life
safety and property conservation. In addition the two
current Fire Engines are getting older and require
additional maintenance each year. The addition of a
aerial device will be required to maintain our current
ISO rating.
City Sources of Funding
Non -City Sources of Funding
General Fund Revenues
Bonds and grants if available.
Proposed Project Budget
FY 19 FY 20 FY 21 FY 22 FY 23 :. Total
Land Acquisition -
Testing Services -
Design Costs -
Const. Costs -
Const. Mngmt. -
Furn/Fixt/Equip 480,000 1,000,000 1,480,000
Engineering -
Other Prof. Fees -
Contingencies -
Total 480,000 - 1,000,000 - - - 1,480,000
142
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
LStreetVehicle
Department
TBD
Replacement
Streets
Total Project Cost
$
30,000
FY 19 Budget
$
Project Description
Purchase of a cement mixer insert. If approved the
mixer would need to be mounted on a truck to be
--- ��
provided by Enterprise.
Regulatory or Legal Mandates
Operational Necessity/Justification
The mixer would allow the Street Division to purchase concrete at
the batch plant for substantial savings in d me and money. Crews
would not have to be on the same schedule as the cement truck,
and this would speed repairs. With this machine we can buy up to
10 yards of concrete per week for $190 total. When delivered by
an outside company, the cost Is $140 per yard with a ten yard
minimum for a total of $1,400.
City Sources of Funding
Non -City Sources of Funding
General Fund revenue and reserves.
Proposed Project Budget
r
FY 21 FY 22 FY 23 TBD Total
Land Acquisition
-
Testing Services
-
Design Costs
Const. Costs
-
Const. Mngmt.
-
Furn/Fixt/Equip
30,000 30,000
Engineering
-
Other Prof. Fees
-
Contingencies
-
Total - -
- - - 30,000 30,000
143
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
TBD
Peterbilt Dum Truck
Streets
Total Project Cost
$ 90,000
FY 19 Budget
$
Project Description
Replacement of 2015 Peterbilt Dump Truck in 10 years
a' '
per replacement schedule.
„
Regulatory or Legal Mandates
Operational Necessity/Justification
Replacement per 10-year replacement schedule.
City Sources of Funding Non -City Sources of Funding
General fund revenue and reserves.
Proposed Project Budget
:i
Land Acquisition -
Testing Services -
Design Costs -
Const. Costs -
Const. Mngmt. -
Furn/Fixt/Equip 90,000 90,000
Engineering -
OtherProf.Fees -
Contingencies -
Total - - - - - 90,Oo0 90,Oo0
144
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
TBD
International Replacement
Water
Total Project Cost
$ 75,000
FY 19 Budget
$
Protect Description
Replace 2000 International Dump Truck. This truck was
orignally replaced by the new Peterbilt dump truck but is
now needed in other departments due to work load.
Regulatory or Legal Mandates
Operational Necessity/Justification
Equipment ages and requires replacement based upon
useful life. Replacements will be evaluated based upon
department need and available resources.
City Sources of Funding
Non -City Sources of Funding
Utility Fund Revenue and reserves. NCTCOG Grant.
Proposed Project Budget
Land Acquisition -
Testing Services -
Design Costs -
Const. Costs -
Const. Mngmt. -
Furn/Fixt/Equip 75,000 75,000
Engineering -
Other Prof. Fees -
Contingencies -
Total - - - - - 75,000 75,000
145
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 22
Sewer Vehicle Replacement
Sewer
Total Project Cost
$ 37,000
FY 19 Budget
$
Project Description
Replace fleet trucks as needed based upon operational
requirements and life span of vehicles. Recommend
replacement of the 2016 D-3500 with crane in FY 22.
We would buy the bed and place it on a leased vehicle.
Cost is for bed only.
10
Regulatory or Legal Mandates Legal Mandates
Operational Necessity/Justification
Trucks age and require replacement based upon useful
life of the equipment. Replacements will be evaluated
based upon department need and available resources.
Ci�Sources of Funding Funding
Non -City of Funding
Utility Fund revenue and reserves.
Proposed Project Budget
FY 19 FY 20 FY 21 FY 22 FY 23 :. Total
Land Acquisition -
Testing Services -
Design Costs -
Const. Costs -
Const. Mngmt. -
Furn/Fixt/Equip 37,000 37,D00
Engineering
Other Prof. Fees -
Contingencies -
Total 37,000 37,000
146
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
MACHINERY AND EQUIPMENT
An apparatus consisting of interrelated parts with separate functions, used in the performance of some
kind of work, anything kept, furnished, or provided for a specific purpose
147
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY21-TBD
Heart Monitor Replacement
Fire
Total Project Cost
$ 63,000
FY 19 Budget
$
Project Description
Currently, the Department responds to approximately
1500 calls per year. Of these calls approximately sixty-
((r..■... j
two percent are Emergency Medical Services (E.M.S.)
= m
related. We have also seen an increase of multiple calls
occurring at the same time. This project will replace the
existing heart monitor and utilize it as a back up and
•_
training device. A second monitor would be purchased
to support the growing community and service
demands.
Regulatory or Legal Mandates
Operational Necessity/Justification
All purchases will follow the Citys purchasing policy
Call volume will dictate the need for another Heart
and those guidelines set forth by Chapter 252; Local
Monito On FY 2021.
Government Code.
City Sources of Funding
Non -City Sources of Funding
General Fund Revenues, Fire Capital Fund
Proposed Project Budget
FY 19 FY r FY 21 FY 22 FY 23 TBD Total
Land Acquisition -
Testing Services -
Design Costs -
Const. Costs -
Const. Mngmt. -
Furn/Fixt/Equip 30,000 33,000 63,000
Engineering -
Other Prof. Fees -
Contingencies -
Total - - 30,000 - - 33,000 63,000
R
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
it
A'"., .f.'..'''.
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 19 - FY 23
Outdoor warning siren
Fire
Total Project Cost
1 $ 87,000
FY 19 Budget
$ 27,500
Project Description
Install Outdoor Warning Sirens as needed to alert
citizens of potential weather threats..
Regulatory or Legal Mandates
Operational Necessity/Justification
Needed to provide citizens with a sense of security
regarding upcoming weather threats.
City Sou of Funding Funding
Non -City Sources of Funding
General fund revenue and reserves.
Potential Grant Funding
Proposed Project Budget
FY 19 FY 20 FY 21 FY 22 FY 23 :D Total
Land Acquisition -
Testing Services -
Design Costs -
Const. Costs -
Const. Mngmt. -
Furn/Fixt/Equip 27,500 29,000 30,500 87,000
Engineering -
OtherProf.Fees -
Contingencies -
Total 27,500 - 29,000 - 30,500 - 87,000
149
overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 21
SCBA Air Compressor
Fire
Total Project Cost $ 50,000
FY 19 Budget
$
Project Description
This piece of equipment is utilized to refill the
Department's Self Contained Breathing Air cylinders
(SCBXs). The air that is placed in these cylinders is a
-,
compressed airto assist the firefighter while wearing
his SCBA in Hazardous environments. The air that is
produced by the compressor is tested quarterly to
NRVI IItlA4
assure It meets NFPA standards.
Regulatory or Legal Mandates
Operational Necessity/Justification
All purchases will follow the Citys purchasing policy
The current compressor, is still in operating condition
and those guidelines set forth by Chapter 252; Local
and passes air quality testing. As the unit continues to
Government Code.
age it will need to be replaced with a new model a new
unit will nee dto be installed in Central Fire Station
when it is constructed.
City Sources of Funding
Non -City Sources of Funding
General Fund Revenues, Fire Capital Fund
Proposed Project Budget
FY 19 FY r
Land Acquisition -
Testing Services -
Design Costs -
Const. Costs -
Const. Mngmt. -
Furn/Fixt/Equip 50,000 50,000
Engineering -
Other Prof. Fees -
Contingencies
Total 50,000 50,000
150
Overview
General Debt Service Utility Component
Fund Fund Fund Units
Supplemental
Information
(rr
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 20
Radio Re acements
Fire
Total Project Cost $ 40,000
FY 19 Budget $ -
Project Description
This project would consist of replacing current',
radios with digital radios that will meet federal
inter operable regulations. Radios and
communication devices are critical to firefighter
safety and efficient and effective emergency
operations.
Regulatory or Legal Mandates
Operational Necessity/Justification
Federal interoperabie P25 regulations.
The departments have some radios that are no
longer supported by Motorola with limimted repair
options and parts available. These units will be
replaced with the newest digital compliant radios.
Current radios could be utilized for other city
departments If needed.
City Sources of Sources of Funding
Non -City Sources of Funding
Grantfunding from various sources will be
General Fund, Fire Trust
researched and applied for accordingly.
Proposed Project Budget
r
Land Acquisition
Testing Services
Design Costs
Const. Costs
Const. Mngmt.
Furn/Fixt/Equip 40,000 40,000
Engineering
Other Prof. Fees
,Contingencies
Total - 40,000 - - - - 40,000
151
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Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 20 - TBD
SCBA's
Fire
Total Project Cost
$ 170,000
FY 19 Budget
$
Project Description
The purchase of 12 self contained breathing apparatus
(SCBA) will allow for the replacement of all Department
SCBA's. The Units have been refurbished in 2017 and
i
life on the cylinders will expire in 2021. Keeping our
G
SCBA's up to date with the current NFPA standard is
critical. The life of these SCBA's will be expired and
these units must be replaced at this time.
1i
Regulatory or Legal Mandates
Operational Necessity/Justification
None
Life of the cylinders will be expiring and these units
must be replaced at this time.
City Sources of Funding Non -City Sources of Funding
Pending Grant Application, Fire Trust Grant opportunities will be sought and applied for when
available.
Proposed Project Budget
FY 19 FY t FY 21 FY 22 FY 23 TBD Total
Land Acquisition -
Testing Services -
Design Costs -
Const. Costs -
Const. Mngmt. -
Furn/Fixt/Equip 70,000 100,000 170,000
Engineering
Other Prof. Fees
Contingencies
Total - 70,000 - - - 100,000 170,000
152
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r
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 20 - FY 21
Traffic Light Controls
Fire
Total Project Cost
$ 67,300
FY 19 Budget
$
Project Description
This purchase would equip traffic control systems with
a system that would allow for safe entry into and away
from a intersection. Emergency vehicles would be
equipped with a signaling device that would activate
the system located in the traffic signals and turn the
intersection to red in all directions. As traffic counts
increase this will be method to allow emergency
vehicles safe access through controlled intersections to
emergency scenes.
Regulatory or Legal Mandates
Operational Necessity/Justification
None
This device allows vehicles equipped with signaling
devices to control intersections by turning the signal to
red. Devices can also be used at gated communities,
increases firefighter safety and decreases the chances
of intersection accidents involving fleet vehicles.
City Sources of Funding
Non -City Sources of Funding
General Fund
Grant funding from various sources will be researched
and applied for accordingly. Some cost may also be
diverted to developers through agreements and
possible road impact fees.
Proposed Project Budget
Land Acquisition
-
Testing Services
-
Design Costs
-
Const. Costs
Const. Mngmt.
Furn/Fixt/Equip - 32,300 35,000
67,300
Engineering
-
OtherProf.Fees
-
Contingencies
-
Total 32,300 35,000
67,300
153
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Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
De artment
FY 20
Anti -Idling
Project
Police
Total Project Cost $ 40,000
FY 19 Budget $ -
Project Description
This project is designed to reduce the number of hours
a patrol unit idles during a shift. This will be
STOP IDLING
accomplished by installing anti -idling devices in the
-
patrol fleet. This project will help decrease fuel
k
consumption and will demonstrate we are willing to do
f
our part to mitigate our carbon footprint. Studies show
agencies that install anti -idling devices typically see a
ROI within the first six months following installation.
Regulatory or Legal Mandates
Operational Necessity/Justification
Although Anna does not currently have a Memorandum
Patrol units typically operate 24/7. Because of the
of Agreement with TCEQ and our patrol fleet is exempt
technology in the cars (MDC, camera, WIFI hotspot) the
under the EPA's anti -idling regulations, Collin County
cars are left running to keep the equipment cool and to
does fall within the NCTCOG's area of concern for
keep the battery from dying. It is also difficult and
ozone quality. This is a voluntary project that will help
ineffecient for an officer to continually log into his or
reduce wasteful consumption of fuel and help eliminate
her computer when there is an emergency. There is an
our carbon footprint.
inherent cost associated with the wear on engines,
idling forces those costs to increase as parts wear
faster when the engine idles for long periods. This
technology will eliminate wasteful idling while at the
same time keep the equipment and the officer
functioning at optimal levels.
City Sources of Funding
Non -City Sources of Funding
General fund revenue and reserves.
NCTCOG
Proposed Project Budget
:. Total
Land Acquisition
-
Testing Services
-
Design Costs
-
Const. Costs
-
Const. Mngmt.
-
Furn/Fixt/Equip 40,000
40,000
Engineering
-
OtherProf.Fees
-
Contingencies
-
Total - 40,000 -
- - - 40,000
/00\
154
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IQ
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 21
MDC Replacement
Police
Total Project Cost 1 $ 25,000
FY 19 $ -
Project Description
This project will replace all Mobile Data Computers
(MDC) in the patrol vehicles. Their replacement is
based on extensive everyday use and costs
associated with upgrading exceeding the value of the
units.
Regulatory or Legal Mandates
Operational Necessity/Justification
All purchases will follow the City's purchasing policy
Operational Necessity/Justification:
and those guidelines set forth by Chapter 252; Local
All computers have a life expectancy. Officers use each of the
Government Code.
computers daily. The MDC's are exposed to temperature
extremes and are used daily by multiple officers. Because of
this, parts wear quickly. In addition, technology advances
almost daily and the computers are limited to one or two
upgrades before the costs outweigh functionality. As
technology advances, so does the need for faster more
efficient data terminals. Replacement of the MDC's will allow
the agency to manage the high-tech demands associated with
the increasing patrol extremes.
City Sources of Funding
Non -City Sources of Funding
General Fund revenue
Proposed Project Budget
FY 19 FY r FY 21 IFY i2 IFY 23 TEO Total
Land Acquisition -
Testing Services -
Design Costs -
Const. Costs -
Const. Mngmt. -
Fum/Fixt/Equip 25,000 25,000
Engineering -
OtherProf.Fees -
Contingencies -
Total - 25,000 - 25,000
155
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Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 20
3D Scanner
Police
Total Project Cost $ 70,000
FY 19 $ -
Project Description
This project will allowthe PD to acquire two 3D scene
mapping and photograph systems to use for accident
and crime scene Investigation.
Regulatory or Legal Mandates
Operational Necessity/justification
All purchases will follow the City's purchasing policy
Operational Necessity/Justification:
and those guidelines set forth by Chapter 252; Local
Investigation of major crime and crash scenes is both time
Government Code.
consuming and tedious. Measurements must be taken with
extreme precision and photographs must be a clear and
accurat representation of the scene. Currently, we relying on
outside agencies to respond with technology and trained
personnel to work these scenes. This is not only inefficient,
but it depletes valuable resources from other agencies
because they are assiting with our scenes. In addition,
during crash Investigations we have in some cases had to
close the highway multiple times to accomodate the
schedules of other agencies and equipment. This system
would allow us to produce 3 dimensional diagrams of both
crash and crime scenes and will provide the measurements
within 1mm. This system will reduce the amount of time the
roadways are closed and require less personnel to work the
scene.
City Sources of Funding
Non -City Sources of Funding
General Fund Revenue
Proposed Project Budget
FY 19 FY r FY 21 FY ZZ FY 23 TED Total
Land Acquisition -
Testing Services -
Design Costs -
Const. Costs -
Const. Mngmt. -
Furn/Fixt/Equip 70,000.00 70,000.00
Engineering -
Other Prof. Fees -
Contin encies
Total 70,000.00 - 70,000.00
140%�
156
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Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 22
Rhino Mower
Parks
Total Project Cost
$ 25,000
FY 19 Budget $ -
Project Description
Replacement for 2007 Rhino Mower.
Regulatory or Legal Mandates
Operational Necessity/Justification
Replacement for the Rhino mower to help with right a way
None
mowing and any large areas.
City Sources of Funding
Non -City Sources of Funding
Parks Trust Fund Revenues
Proposed Project Budget
:D Total
Land Acquisition -
TestingServices -
Design Costs -
Const. Costs -
Const. Mngmt. -
Fum/Fixt/Equip 25,000 25,000
Engineering -
Other Prof. Fees -
Contingencies -
Total - - 25,000 - - 25,000
157
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Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 22
Tractor Replacement
Parks
Total Project Cost $ 62,000
FY 19 Budget $ -
Project Description
I
A 85-HP Tractor for pulling a bushhog for maintaining
road ditches and rough areas and for pulling the flex -
wing grooming mowers in large open spaces areas
such as Natural Springs Park and Slayter Creek Park
-
Regulatory or Legal Mandates
Operational Necessity/Justification
None
We currently use the tractor for pulling a bushhog for
maintaining road ditches and rough areas. This would
be a better steward of City funds since a smaller sized
self propelled unit would be approximately $80,000.
City Sources of Funding
Non -City Sources of Funding
Parks Trust Fund Revenues
None
Proposed Project Budget
FY19 FY r FY 21 FY 22 FY 23 TBD Total
Land Acquisition -
Testing Services -
Design Costs -
Const. Costs -
Const. Mngmt. -
Furn/Fixt/Equip 62,000 62,000
Engineering -
Other Prof. Fees -
Contingencies -
Total - - - 62,000 - - 62,000
A
158
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 20
Replace Toro 5900
Parks
Total Project Cost
$ 92,000
FY 19 Budget $
Proiect Description
Replace Toro 5900.
¢ 4
Irk
4
>l
Regulatory or Legal Mandates
Operational Necessity/Justification
This piece of equipment is still servicable but will need
to be replaced in the distant TIED. Mower capacity
allows for efficient mowing of large park areas.
City Sources of Funding
Non -City Sources of Funding
Park Trust Fund Revenues
Proposed Project Budget
FY 19 FY r FY 21 FY 22 FY 23 TIEDTotal
Land Acquisition
Testing Services -
Design Costs -
Const. Costs -
Const. Mngmt. -
Furn/Fixt/Equip 92,000 92,000
Engineering -
Other Prof. Fees -
Contingencies -
Total - 92,000 - - - - 92,000
159
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Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 21
Replace Toro 3100D
I Parks
Total Project Cost
$ 38,000
FY 19 Budget
$
Project Description
Replace existing Toro 3100D Reelmaster mower.
Regulatory or Legal Mandates
Operational Necessity/Justification
This piece of equipment is reaching the end of its useful
life and is important to establish and maintain quality
playing surface on the ball fields.
City Sources of Funding
Non -City Sources of Funding
Park Trust Fund Revenues
Proposed Project Budget
1
LanclAcqulsition
Testing Services -
Design Costs -
Const. Costs -
Const. Mngmt. -
Fu rn/Fi xt/Equip 38,000 38,000
Engineering -
OtherProf.Fees -
Contingencies -
Total - - 38,000 - - - 38,000
A",
,'O\
160
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
/"�
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
TBD
Kubota tractor
Parks
Total Project Cost $ 34,000
FY 19 Budget
Project Description
Replacement for 2012 existing Tractor.
.ram l
Regulatory or Legal Mandates
Operational Necessity/Justification
None
Replacement for the Kubota to help with loading,
tilling, scraping and using it for any kind of dirt
work.
City Sources of Funding
Non -City Sources of Funding
Park Trust Fund Revenues
Proposed Project Budget
:. Total
Land Acquisition -
Testing Services -
Design Costs -
Const. Costs -
Const. Mngmt. -
Furn/Fixt/Equip - 34,000 34,000
Engineering -
Other Prof. Fees -
Contingencies -
Total - - - - - 34,000 34,000
161
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Fund Fund Fund Units Informa tio.
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
TBD —+Flex-Wing
Grooming Mower
Parks
Total Project Cost $ 31,000
1 FY 19 Budget $ -
Project Description
The Flex -Wing Grooming Mower piece of Equipment
(FM2120R) would be pulled behind the 5083 John Deere
tractor currently owned. It could be up to 20' wide and used
for grooming non irrigated fields and open spaces such as the
`r
Disc Golf Course, Natural Springs Park and areas of Slayter
Creek Park that are not irrigated.
Strength, performance and dependability
Regulatory or Legal Mandates
Operational Necessity/Justification
We currently use the tractor for pulling a bushhog for
maintaining road ditches and rough areas. This would be
a better steward of City funds since a smaller sized self
propelled unit would be approximately $80,000.
City Sources of Funding
Non -City Sources of Funding
Parks Trust Fund Revenues
Proposed Project Budget
r FY 23 TBD Total
Land Acquisition -
Testi ng Services -
Design Costs -
Const. Costs -
Const. Mngmt. -
Fum/Fixt/Equip 31,000 31,000
Engineering -
Other Prof. Fees -
Contingencies -
Total - - - - - 31,000 31,000
162
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Anna
City of Anna -Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
TBD
Replace Remcor Spray Rig
I Parks
Total Project Cost $
40,000
FY 19 Budget
Project Description
Replace Remcor Spray Rig
Regulatory or Legal Mandates
Operational Necessity/Justification
Would spray all pestides and herbicides at each park.
City Sources of Funding
Non -City Sources of Funding
Parks Trust Fund Revenues
Proposed Project Budget
Land Acquisition
-
Testing Services
-
Design Costs
-
Const. Costs
-
Const. Mngmt.
-
Fum/Fixt/Equ -
40,000 40,000
Engineering
-
Other Prof. Fees
-
Contingencies
-
Total - -
- - - 40,000 40,000
163
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY21
Vacuum/Verticutter
Parks
Total Project Cost $ 45,000
FY 19 Budget $ -
Proiect Description
Vacuum/verticutter that can be pulled by our kabota
tractor that will pull out dead grass and vacuum it up.
-
S
i!
Regulatory or Legal Mandates
Operational Necessity/justification
Cleans fields from thatch build up and will result in
healthier playing fields. Thatch build up can cause
fungis and other diseases.
City Sources of Funding
Non -City Sources of Funding
Parks Trust Fund Revenues
Proposed Project Budget
r IFY 21 FY 22 IFY 23 TBD Total
Land Acquisition -
Testi ng Servi ces -
Design Costs -
Const. Costs -
Const. Mngmt. -
Furn/Fixt/Equip 45,000 45,000
Engineering -
OtherProf.Fees -
Contingencies -
_ _
Total - - 45,000
164
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
TBD
Roller Replacement
Streets
Total Project Cost
$ 55,000
FY 19 Budget
$
Proiect Description
10-year replacement of the 2016 Bomag Roller.
t_ 1
tD
Regulatory or Legal Mandates
Operational Necessity/Justification
10-year replacement per industry standard.
City Sources of Funding
Non -City Sources of Funding
General fund revenue and reserves.
Proposed Project Budget
:D Total
Land Acquisition -
Testing Services -
Design Costs -
Const. Costs -
Const. Mngmt. -
Furn/Fixt/Equip 55,000 55,000
Engineering -
Other Prof. Fees -
Contingencies -
Total 55,000 55,000
165
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
TBD
Gradall
Streets
Total Project Cost
$ 375,000
FY 19 Budget
$
Proiect Description
Future replacement of the Gradall Excavator.
Regulatory or Legal Mandates
Operational Necessity/Justification
As the Department grows this machine will be utilized
more. The existing machine is nearthe end of its useful
life.
City Sources of Funding
Non -City Sources of Funding
General fund revenue and reserves.
Proposed Project Budget
Land Acquisition -
Testing Services -
Design Costs -
Const. Costs -
Const. Mngmt. -
Furn/Fixt/Equip 375,000 375,000
Engineering -
Other Prof. Fees -
Contingencies -
Total 375,000 375,000
0" %
.:
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
rma
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 22
Mini Excavator
Water
Total Project Cost
$ 75,000
FY 19 Budget
$
Project Description
2012 Caterpillar tracked mini -excavator used for water
operations.
Regulatory or Legal Mandates
Operational Necessity/Justification
Machine is a 2012 and is due for replacement in 2022
per a 10-year replacement schedule.
City Sources of Funding
Non -City Sources of Funding
Utility Fund revenue and reserves.
Proposed Project Budget
Land Acquisition -
Testing Services -
Design Costs -
Const. Costs
Const. Mngmt.
Furn/Fixt/Equip 75,000 75,000
Engineering -
OtherProf.Fees -
Contingencies -
Total - - - 75,000 - - 75,000
167
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
!►.
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 19
Well Soft Starters
Water
Total Project Cost
$ 70,000
FY 19 Budget
$ 70,000
Project Description
Soft starters allow groundwater wells to turn on and off
slowly reducing the wear on the pump bearings, motor
bearings and shaft. This prolongs the life of the pump
and motor. This proposal would install soft starters for
Wells 3, 4 and 5. The costs would be $20,000 each for
Wells 3 & 4, and $30,000 for Well 5.
Regulatory or Legal Mandates
Operational Necessity/Justification
The installation would reduce the frequency of pump
and/or motorfailure thereby reducing maintenance
costs and the need to purchase additional water.
City Sources of Funding Non -City Sources of Funding
Utility Fund revenue and reserves.
Proposed Project Budget
FY 19 FY 20 FY 21 FY 22 FY 23 :D Total
Land Acquisition -
Testing Services -
Design Costs -
Const. Costs -
Const. Mngmt. -
Furn/Fixt/Equip 70,000 70,000
Engineering -
Other Prof. Fees -
Contingencies -
Total 70,000 - - - - - 70,000
IM
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
TBD
Vac -trailer
Sewer
Total Project Cost
$ 85,000
FY 19 Budget
$
Protect Description
Purchase of a hydro excavation and vacuum trailer. The
;
equipment would be used to locate missing valves,
uncover high risk utilities (gas, electric, and fiber), and
clean grease and debris from lift stations and
manholes.
f
0
Regulatory or Legal Mandates
Operational Necessity/Justification
The equipment could help to avoid noncompliance due
The equipmentwould be used to locate missing water
to overflows caused by grease in lift stations and
valves, uncover high risk utilities (gas, electric, and fiber),
manholes.
and clean grease and debris from liftstations and
manholes. The equipment would save money by damage
avoidance and reducing wear and tear on lift station
pumps.
City Sources of Funding
Non -City Sources of Funding
To be determined.
Proposed Project Budget
r FY
THID
Land Acquisition
Testing Services
Design Costs
Const. Costs
-
Const. Mngmt.
-
Furn/Fixt/Equip
85,000 85,000
Engineering
Other Prof. Fees
-
Contingencies
-
Total - -
- - 85,000 85,000
169
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r
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 20
SewerletTrailer
Sewer
Total Project Cost
$ 80,000
FY 19 Budget
$
Project Description
Replace equipment every 10 years or as needed based
upon operational requirements and life span of
equipment. Recommend replacement of the 2004
Sewer Jet Machine in 2020 based upon condition.
-
.1 i.
Regulatory or Legal Mandates
Operational Necessity/Justification
Replace equipment as it reaches the end of its useful
life.
City Sources of Funding Non -City Sources of Funding
Utility Fund revenue and reserves.
Proposed Project Budget
23 TBD Total
Land Acquisition -
Testing Services -
Design Costs -
Const. Costs -
Const. Mngmt. -
Furn/Fixt/Equip 80,000 80,000
Engineering -
Other Prof. Fees -
Contingencies -
Total - 80,000 - - - - 80,000
170
overview
General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
i
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY19
Ultra -violets stem
Sewer
Total Project Cost
$ 120,000
FY 19 Budget
$ 120,000
Project Description
The ultra -violet (UV) system at the wastewater
treatment plant (WWTP) is becoming obsolete and
—— -`
� � 1
it is no longer feasible to find replacement parts
quickly. The ultra -violet system is critical to permit
r� �-
compliance as it is the disinfection component of
the wastewater treatment plant.
4
Regulatory or Legal Mandates
Operational Necessity/Justification
Permit compliance. If the WWTP is removed from
service due to UV failure, then NTMWD treatment
costs will increase.
City Sources of Funding
Non -City Sources of Funding
Utility Fund revenue and reserves.
Proposed Project Budget
Land Acquisition
Testing Services
-
Design Costs
-
Const. Costs
-
Const. Mngmt.
-
Furn/Fixt/EqL 120,000
120,000
Engineering
-
Other Prof. Fees
Contingencies
-
Total 120,000
120,000
171
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
000.
City of Anna - Capital Projects Detail Sheet
Budget Year (s)
Project Name
Department
FY 22
Vac Truck
Sewer
Total Project Cost
$
350,000
FY .9 Budget
$
Proiect Description
Purchase Sewer Vac -Truck for large scale sewer
maintenance operations.
Regulatory or Legal Mandates
Operational Necessity/Justification
As the City adds wastewater personnel to maintain the
collection system, a sewervac truck is necessary in
order to properly clean and maintain the system. The
machine can also be used forvarious otheroperations
including prevention of SSO's.
City Sources of Funding
Non -City Sources of Funding
Utility Fund revenue and reserves.
Proposed Project Budget
_ 20
IFY 21 a% : r
Land Acquisition
Testing Services
-
Design Costs
-
Const. Costs
-
Const, Mngmt.
-
Furn/Fixt/Equip
350,000 350,000
Engineering
-
Other Prof. Fees
-
Contingencies
-
Total - -
- 350,000 - - 350,000
172
Overview General Debt 5ervice Utility Component Supplemental
Fund Fund Fund Units Information
,^
Anna
CITY OF ANNA
DEBT MANAGEMENT PLAN
The City of Anna is situated in a high growth are in Collin County along Highway 75. During the high growth,
the City experienced in the early part of 2000, the City issued debt for significant water and sewer infrastructure
projects. As the growth in the City has picked up over the past 4-5 years, the City has again found the need to
issue additional debt for water and sewer improvements.
Staff has worked diligently with our financial advisors, First Southwest, to develop and implement a debt
management plan that will take advantage of call dates, rate resets, and market conditions in order to maximize
the City's economic position as it relates to current and future debt issues.
The following will detail current debt held by the City of Anna with the anticipated steps to ensure our financial
goals are met.
City's Outstanding General Obligation Debt as of Fiscal Year Ending September 30, 2018
Amount
Call
Final
Series
Name
Outstanding
Interest Rates
Date
Maturity
Supported by:
2012
Comb Tax & Rev
$3,890,000
1.50%to 2.50%
2/15/19
2/15/33
W&S Revs
2014
Comb Tax & Rev
$3,965,000
2.00%to 3.65%
2/15/24
2/15/34
W&S Revs
2014A
Comb Tax & Rev
$2 377,000
0.95% to 3.60%
n/a
2/15/26
W&S Revs
Ref Bonds
2014E
GO Ref Bonds
$1,328,000
0.30%to 2.40%
n/a
2/15/26
I&S Taxes
2016
GO Ref Bonds
$690,000
2,00%
n/a
2/15/27
I&S Taxes
2017
Comb Tax & Rev
$7 120,000
4.00%
n/a
2/15/33
I&S Taxes/
C/O
W&S Revs
2018
Comb Tax & Rev
$30,910,000
3.719% to
n/a
2/15/48
I&S Taxes
C/O
3.790%
TOTAL
$50,280,000
173
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
Breakdown of General Obligation Debt as of Fiscal Year Ending September 30, 2018
I&S Tax Supported General Obligation Debt:
Amount
Interest
Final
Series
Name
Outstanding
Rates
Call Date
Maturity
Supported by:
2014B
GO Ref Bonds
$1,328,000
0.30%to
n/a
2/15/26
I&STaxes
2.40%
2016
GO Ref Bonds
$690,000
I&S Taxes
2017
Comb TaxO&Rev
$800,000
n/a
2/15/33
I&STaxes
2018
Comb Tax & Rev
$30,910,000
n/a
2/15/48
I&S Taxes
TOTAL
$33,728,000
Water & Sewer System Supported General Obligation Debt with Tax Pledge:
AO*N
Amount
Interest
Final
Series
Name
Outstanding
Rates
Call Date
Maturity
Supported by:
2012
Comb Tax & Rev
$3,890,000
1,50% to
2/15/19
2/15/33
W&S Revs
C/O
2.50%
2014
Comb Tax & Rev
$3,965'000
2.00%to
2/15/24
2/15/34
W&S Revs
C/O
3.65%
2014A
Comb Tax & Rev
$2 377 000
0.95%to
n/a
2/15/26
W&S Revs
Ref Bonds
3.60%
2017
Comb Tax & Rev
$6,320,000
n/a.
2/15/33
W &S Revs
TOTAL
$16,552,000
174
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GIQ
Anna
Other Obligations as of Fiscal Year Ending September 30, 2018
Contract Debt (Greater Texoma Utility Authority) Supported by Water & Sewer System Revenue:
Amount
Interest
Call
Final
Series
Name
Outstanding
Rates
Date
Maturity
GTUA Contract
2005
Contract Rev
$435,000
4.79%to
4/1/15
10/1/28
Collin/Grayson
Bonds
5.74%
Project
2006
Contract Rev
$1,040,000
3.40%to
12/1/16
6/1/26
Anna/Melissa Project
Bonds
3.75%
2006
TWDB State
$2,168,750
5.68%to
n/a
8/1/40
Collin/Grayson
Participation Loan
5.83%
Project
2007
Contract Rev
$1,390,000
3.40%to
12/1/17
6/1/28
Anna/Melissa Project
Bonds
4.10%
2007
Contract Rev
$900,000
4.52%to
4/1/17
10/1/36
Collin/Grayson
Bonds
5.62%
Project
TOTAL
$5,933,750
The Contract Debt is included in the operating expenses of the Water and Sewer System, therefore, senior to
the "Water & Sewer System Supported General Obligation Debt with a Tax Pledge."
Interest and Sinkina Fund Tax Debt Management
1. The City has levied an Interest and Sinking Fund rate of $0.163166 in Tax Year 2018.
2. The City's tax base is now at $1,115,372,832 which means the City is not dependent on future
refundings and restructuring to manage it's I&S rate.
3. Assuming 2% growth, no debt refundings/restructures and no new debt; the City could cover all of its
I&S tax support obligations through maturity in 2048 at current revenue levels.
175
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Ann
The table below illustrates the planned debt service obligations specifically related to tax secured debt.
PERIOD
ENDING
PRINCIPAL
INTEREST
TOTAL DEBT
SERVICE
CHANGE
9/30/2019
371,000
1,672,917
2,043,917
399.00%
9/30/2020
497,000
1,323,132
1,820,132
-10.95%
9/30/2021
504,000
1,308,163
1,812,163
-0.44%
9/30/2022
520,000
1,295,364
1,815,364
0.18%
9/30/2023
535,000
1,280,839
1,815,839
0.03%
9/30/2024
556,000
1,264,362
1,820,362
0.25%
9/30/2025
571,000
1,247,106
1,818,106
-0.12%
9/30/2026
588,000
1,229,323
1,817,323
-0.049/o
9/30/2027
611,000
1,206,885
1,817,885
0.03%
9/30/2028
640,000
1,177,875
1,817,875
0.00%
9/30/2029
675,000
1,145,700
1,820,700
0.16%
9/30/2030
1,110,000
1,101,400
2,211,400
21,46%
9/30/2031
1,165,000
1,044,525
2,209,525
-0.08%
9/30/2032
1,215,000
991,100
2,206,100
-0.16%
9/30/2033
1,265,000
941,500
2,206,500
0.02%
9/30/2034
1,320,000
889,800
2,209,800
0.15%
9/30/2035
1,375,000
835,900
2,210,900
0.05%
9/30/2036
1,430,000
779,800
2,209,800
-0.05%
9/30/2037
1,485,000
721,500
2,206,500
-0.15%
9/30/2038
1,545,000
660,900
2,205,900
-0.03%
9/30/2039
1,305,000
603,900
1,908,900
-13.469/o
9/30/2040
1,360,000
550,600
1,910,600
0.09%
9/30/2041
1,415,000
495,100
1,910,100
-0.03%
9/30/2042
1,475,000
437,300
1,912,300
0.12%
9/30/2043
1,535,000
377,100
1,912,100
-0.01%
9/30/2044
1,595,000
314,500
1,909,500
-0.14%
9/30/2045
1,660,000
249,400
1,909,400
-0.01%
9/30/2046
1,730,000
181,600
1,911,600
0.12%
9/30/2047
1,800,000
111,000
1,911,000
-0.03%
9/30/2048
1,875,000
37,500
1,912,500
0.08%
TOTAL
33,728,000
25,476,0901
59,204,090
A"\
176
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Anna
Water and Sewer System Fund Debt Management
1. The City's budgeted rates and charges are sufficient to cover both the contract revenue obligations as
well as the general obligations issued for water and sewer system improvements.
2. It is the City's current intent to maintain water and sewer system annual debt service at a maximum
level of approximately $2 million per year.
3. Refunding that occurred in FY 2018 accomplished the goal of reducing debt service payments in fiscal
years 2019 - 2026.
The following table illustrates the planned debt service for the Utility Fund debt including those debt
instruments with a tax pledge.
PERIOD
ENDING
PRINCIPAL
INTEREST
INTEREST
REDUCTION
& RECOVERY
TOTAL
DEBT
SERVICE
9/30/2019
$1,006,250
$835,548
$103,742
$1,945,540
9/30/2020
$1,033,750
$803,528
$103,742
$1,941,020
9/30/2021
$1,073,250
$769,190
$103,742
$1,946,182
9/30/2022
$1,108,750
$732,180
$103,742
$1,944,672
9/30/2023
$1,145,250
$692,683
$103,742
$1,941,675
9/30/2024
$1,189,000
$650,728
$103,742
$1,943,470
9/30/2025
$1,232,500
$606,719
$103,742
$1,942,961
9/30/2026
$1,382,000
$560,619
$1,942,619
9/30/2027
$1,438,750
$505,140
$1,943,890
9/30/2028
$1,493,750
$451,567
$1,945,317
9/30/2029
$1,550,000
$392,373
$1,942,373
9/30/2030
$1,608,750
$334,300
$1,943,050
9/30/2031
$1,670,000
$273,767
$1,943,767
9/30/2032
$1,732,500
$210,853
$1,943,353
9/30/2033
$1,777,500
$145,842
$1,923,342
9/30/2034
$661,250
$98,546
$759,796
9/30/2035
$248,750
$77,134
$325,884
9/30/2036
$263,750
$62,764
$326,514
9/30/2037
$280,000
$47,500
$327,500
9/30/2038
$185,000
$34,397
$219,397
9/30/2039
$197,500
$23,612
$221,112
9/30/2040
$207,500
$12,097
$219,597
TOTAL
$22,485,750
$8,321,085
$726,193
$31,533,028
177
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Anna
Debt Management Plan Considerations
1. The City is currently rated "AA-" by Fitch and "AaY by Moody's. It is assumed the City will be able to
maintain it's "A" category ratings to achieve the goals set forth in the debt management plan.
2. The City may undertake new debt in the future; however, new debt is expected to fall within the
guidelines of the City's debt management plan and would not have unplanned or negative budgetary
impact on the City's finances, tax rates, and utility rates.
3. The City's current practice of conservative assumptions (tax base and utility fund revenues) are
incorporated into the City's debt management plan and future borrowings.
4. The City may extend the original maturity of refunded obligations if it is necessary to achieve cash
flow goals. At this time, the City does not expect to extend original maturity of I&S tax supported
debt, but it could extend original maturity of water and sewer revenue supported bonds evaluated on
a case -by -case basis.
G1
o'1
178
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'~ FitchRatings
FITCH UPGRADES ANNA, TX COS TO tAA-'
ON CRITERIA CHANGE; OUTLOOK STABLE
Fitch Ratings -New York-21 March 2017: Fitch Ratings has upgraded the following City of Anna, TX
(the city) ratings to'AA-' from'A':
--$530,000 combination tax and limited surplus revenue certificates of obligation (COS), series 2006;
--Long-Term Issuer Default Rating (IDR).
The Rating Outlook is Stable.
SECURITY
The COS are payable by a pledge of ad valorem taxes levied annually within the limits prescribed by law
against all taxable property in the city. The COS are further payable from a limited pledge (not to exceed
$1,000) of surplus net waterworks and sewer system revenues.
The upgrade of the IDR and CO rating to 'AA-' reflects the application of Fitch's revised criteria for
U.S. state and local governments, released on April 18, 2016. The revised criteria highlight the city's
exceptionally strong financial operations, solid expenditure flexibility and strong revenue growth
prospects, as well as the city's substantial independent ability to raise revenues. The'AA-' also considers
the moderately elevated long-term liability burden.
Economic Resource Base
The city is located 40 miles north of Dallas in relatively affluent Collin County. Easy access to Dallas
and affordable land has spurred rapid population growth. The 2015 estimated population of
approximately 11,400 residents increased by a significant 38% since the 2000 census.
Revenue Framework: 'aaa' factor assessment
Revenue growth prospects are strong, benefiting from continued residential development and strong
population gains. The city has ample legal ability to independently raise property tax revenues.
Expenditure Framework: 'aa' factor assessment
Fitch expects the city's expenditures to generally grow in line with revenues. Anna maintains ample
flexibility over labor costs (its largest operating outlay) based on the absence of collective bargaining or
contractual labor agreements. Additionally, the city's moderate carrying costs do not hinder its
expenditure flexibility.
Long -Term Liability Burden: 'a' factor assessment
Long-term liabilities, driven primarily by overlapping debt, are elevated but still in the moderate range.
Fitch expects the city's long-term liability burden to increase but remain within this moderate range
based on the city's debt needs and regional growth pressures. The city's net pension liability is negligible.
Operating Performance: 'aaa' factor assessment
/^. The city's budget flexibility, supplemented by large operating reserves, provide exceptional gap -
closing capacity through typical economic cycles.
179
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Anna
RATING SENSITIVITIES
Growth Management: The 'AA-' IDR assumes the city's ongoing ability to manage growth, as
demonstrated by maintenance of an adequate financial cushion, affordable debt carrying costs and a
manageable long-term liability burden. A material decrease in the long-term liability burden would be
a positive credit consideration.
CREDIT PROFILE
Rapid population growth north from Dallas into Collin County has fueled Anna's local economy.
The city's primarily residential tax base has more than tripled since 2005, and recent growth has been
substantial. Average annual growth in taxable assessed value (TAV) from fiscal 2015
through fiscal 2017 has been close to 19%. The city reports significant new residential construction
projects, accompanied by some commercial projects. Fitch believes ongoing growth in TAV through
the medium term is likely, based on the city's availability of developable property and its manageable
commuting distances to various cities in the Dallas -Fort Worth metroplex.
There is minimal taxpayer concentration, and the city's top 10 taxpayers consist of a mix of retail and
commercial establishments. The city's wealth levels are lower than the state and national averages;
however, the county's poverty levels and unemployment rate are significantly lower than state and
national rates (no employment information is available for the city).
Revenue Framework
The city's general fund revenues include primarily property tax revenues (57%), sales tax revenues (13%)
and licenses and permits revenue (12%), based on fiscal 2016 unaudited results.
Fitch views the city's revenue growth prospects as strong. The rolling 10-year revenue CAGR for
general fund revenues for both fiscal years 2014 and 2015 was well above U.S. GDP performance, aided
primarily by gains in TAV as well as increased retail activity and periodic policy action on the tax rate.
Significant growth remains likely, as developers continue residential and commercial projects in varying
stages of planning and start-up.
Anna's fiscal 2017 tax rate of $0.6290 per $100 of TAV provides ample capacity below the
constitutional cap of $2.50. There are no legal limits to management's ability to implement annual
property tax increases below this cap, although an annual property tax levy increase in excess of 8%
above the prior year levy triggers the possibility of a voter -implemented rollback election.
Expenditure Framework
Public safety is the city's largest expenditure item, accounting for approximately 43% ofthe city's fiscal
2016 unaudited expenditures. General government spending accounts forabout2l %.
Fitch expects the city's operating expenditures to generally grow in line with the city's anticipated strong
revenue growth due to increasing service demands.
Anna retains flexibility over its largest operating expenditure, workforce costs, and does not participate
in any contractual labor agreements. The city's carrying costs, consisting of debt service, required
pension contributions and retiree healthcare benefit outlays, were a moderate 17% of fiscal 2015
spending.
Long -Tenn Liability Burden
The long-term liability burden, including overall debt and net pension liabilities, represents an elevated
24% of resident personal income. The vast majority of this burden is overlapping debt ($96 million),
issued primarily by the local school district. Fitch expects the long-term liability burden to remain
comfortably within the'& assessment range, even incorporating road and city
1-,
V'\
�a
180
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.ftk
Anna
hall capital needs over the next several years that are expected to be funded by approximately $17
million of new debt. Amortization of existing debt is average with 50% of principal retired in 10 years.
The city's fiscal 2015 net direct debt totaled $6 million.
The city's pensions are provided through the Texas Municipal Retirement System, an agent multiple -
employer defined benefit plan. Under GASB Statement 68 the city reported a fiscal 2015 net pension
liability (NPL) of approximately $875,000, with fiduciary assets covering 79%of total pension liabilities
at the plan's 7% investment return assumption.
Operating Performance
The city is exceptionally well positioned to address fiscal challenges associated with a typical
economic downturn. Fitch believes the city could tap its healthy fund balance, as well as lean on its
strong revenue raising capacity and expenditure cutting flexibility, to offset temporary revenue
pressures withoutjeopardizing its fundamental financial flexibility.
The city has consistently maintained a very strong financial operating profile, with unrestricted general
fund reserves above 50% of spending since fiscal 2009. The reserves are well above Fitch's modeled reserve
safety margin for municipalities with moderate revenue volatility and superior inherent budget flexibility,
and they comfortably exceed the city's formal fund balance policy minimum of25%of operating
expenditures.
Unaudited results for fiscal 2016 show an approximate $475,000 increase in the general fund balance
(approximately 9% of spending), the result of both revenues and expenditures tracking favorably to
/0N budget. The ending unrestricted general fund balance of approximately $3.3 million is projected to equal
roughly 6 1 % of expenditures.
The adopted fiscal 2017 $6 million general fund budget reflects a 12% increase over the prior year's
budget to accommodate growing service needs for an expanding population. The budget includes
the addition of several new employees, wage and benefit increases, and is balanced without the use
of reserves. In November 2016, the city received voter approval to re -allocate a portion of its 2%
local option sales tax to the general fund, which will now receive 1.25%
(compared to I % historically). The additional .25%, which is expected to generate approximately
$187,500 annually, will fund transportation and road improvements.
Contact:
Primary Analyst
Nicole Wood
Director
+1-212-908-0735
Fitch Ratings, Inc.
33 Whitehall Street
New York, NY 10004
Secondary Analyst
Jeremy Stull Analyst
+1-646-582-4981
/"k Committee Chairperson Steve
Murray
Senior Director
+1-512-215-3729
In addition to the sources of information identified in Fitch's applicable criteria specified below, this
action was informed by information from Lumesis and InvestorTools.
181
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Anna
Media Relations: Elizabeth Fogerty, New York, Tel:+1 (212) 908 0526, Email:
elizabeth.fogerty@fitchratings.com.
Additional information is available on www.fitchratings.com Applicable
Criteria
U.S. Tax -Supported Rating Criteria (pub. 18 Apr 2016)
https://www.fitchratings.com/site/re/879478
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182
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
CREDIT OPINION City of Anna, TX
30 October 2017
New Issue - Moody's Upgrades to Aa3, City of Anna's, TX
New Issue GOLT
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1-212-553-1653
ASaa Paciftc
852-3551-3077
Japan
81-3-5408-4100
EMEA
44-20-7772-5454
Summary Rating Rationale
Moodys Investors Service has assigned a Aa3 rating to the City of Anna s, TX appradmately
SB million Combination Tax and Revenue Refunding Bonds, Series 2017. At the same time,
Moody's has upgraded the outstanding general obligation bonds to Aa3 from Al, affecting
$121 million. Moody's has also upgraded the isuer rating to Aa3.
The Aa3 rating reflects material assessed valuation growth supported by high residential
demand because of the city's favorable location to a strong job market in the Dallas Fort
Worth metropolitan area The rating also reflects ample reserves a benefit of consistently
strong operating performance, as well as an affordable debt and pension profile.
Credit Strengths
n Rapidly growing tat base favorably located north of Dallas
a Consistently positive operating performance drives high reserve levels
a Affordable debt and pension profile
Credit Challenges
n Income levels are slightly under the Aa3 median
n Unanticipated Challenges related to rapid growth
Rating Outlook
Moody's does not generally assign outlooks to issuers with this amount of debt outstanding.
Factors that Could Lead to an upgrade
• Continued and material assessed valuation growth
a Irtcreases in income levels
a Favorable financial performance that results in reserve levels above similaly rated peers
Factors that Could Lead to a Downgrade
» Tar base contraction
n Significant increases in debt and pension levels that pressure city operations
1l-K
Overview General Debt Service Utility Component Supplemental
Fund Fund Fund Units Information
Anna
h> Material decrease in reserves or liquidity
Key Indicators
Mmi
1declal Fahily Inmmery of USl le3hn)
107P%
1069%
850%
D7.9%
107596
Finances
Opealitglil a (9000)
$ 4,56S Is
4,688 If
5.109 $
517M S
6,509
Fund Bdarmasa%olftvexrai
SIA%
509%
50.9%
47A%
50.8%
CashWahoeasa%offlarer3hes
562%
48D%
61D%
61A%
643%
Od4rFaido s
Net Direct Debt dD00)
$ 4,5211, S
4,768 $
4.430 S
4,171 $
SAM
Na Direct Debt Operating R.vanue3(t)
M
roe
0.9x
0.7x
0.Sx
Net Dim Ddxl rill Value[%)
12%
13%
t0%
09%
089:
W �d D. snc-lndzdcs e� and dill cricc 6a,t
Sove GrygrAnn> nrCcrtpabvr�ArxafFw�vStRgnaFY20t1- 2076.Moodjskweavz5a»m
Detailed Rating Considerations
Economy and Tax Base: Residential Demand Drives Gains In Assessed Valuation
The City of Anna's tax base is poised to continue to experience assessed valuation growth, because of its favorable location in north
Dallas (Al negative) with access to several employment opportunities in nearby Plano (Aaa stable), Richardson (Aaa stable) and Dallas.
Located i1 C011in count; (Aaa stable), Anna is apprmdmately 40 miles from Dallas and encompasses 15 square miles. Population
growth in the city has been impressive, increasing 573.4%over the last decade, per the 2010 U.S. Census. Since then, the city's 2017
estimated population of 9,733 reflects an increase of approximately 539%. Income levels in IN area are slightly weaker than peers
with the 2015 median family income equal to 1075% of the nation, per the American Community Survey.
Driven by favorable in -migration trends as well as relative affordability in the north Dallas area, the city's assessed valuation
performance significantly ouhveighs peers with an annual average increase of 18-8%over the prior five years. In hscaf 2018, assessed
valuation grew 22-796 to S8915 million, following a 192% increase reported in the prior year. City officials anticipate assessed
valuation performance will remain favorable, but are conservatively budgeting for a 10% increase within the next year despite ongoing
development projects. A huge retail store recently opened in the area, and city officials anticipate the store will spur further smaller
commercial development in the related area Residential projects continue within the city and city officials report new homes range
between S200,000 to 5250,000. Major taxpayer concentration is minimal with the top 10 taxpayers accounting for less than 7% of
total assessed values in fiscal 2018.
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Anna
MOODY'S INVESTORS SERVICE U.S. PUBLIC FINANCE
Financial Operations and Reserves: Consistently High Reserve Levels Supported by Sotld Operating Performance
The city's financial profile is expected to remain healthy due to budgeting practices that typically result in favorable operating
performance, compared to the budget. Vldhin the past sbc years, revenues have outpaced expenditures in the operating funds (general
and debt service) in each year except fiscal 2013, when a modest deficit was reported- In fiscal 2016, which ended on September
30,2016, operating performance resulted in a S558,000 increase, boosting the total fund balance to $3.3 million, an ample 50.8% of
operating revenues. Majority of the balance was housed in the general fund, as reserves in the debt service fund are minimal.
Estimates for fiscal 2017 reflect a $1.1 million surplus within the general fund, resulting in a balance of $4.4 million (a favorable 611% of
estimated general fund revenues). The foal 2018 adopted budget was balanced and included new personnel as well as a 3% raise for
all employees.
Majority of the revenues received during the fiscal year were from property taxes (613%), followed by sales taxes (11.8%) and then
licenses and permits (10.9%)-
The city maintains significant flexibility under Its property tax cap of 525 (no more than S15 for debt) per S1,000 of assessed values per
state law. In fiscal 2017 the total tax rate was S629 with $5.01 for operations, and S1.22 for debt service. The total tar rate reduced to
$6.01 in fiscal 2018 with $479 for operations, and $122 for debt.
Sales taxes are capped at 1% for general fund purposes. Although, in November 2016, voters approved a reallocation of Ya of 1% in
sales taxes from the economic development fund which has been informally allocated for street projects; this revenue stream will Rote
into the general fund but will be tracked separately. Sales tax collections have historically been robust averaging 8.5%over the past five
years. In fiscal 2017, sales taxes grew 66.1% due to the opening of a major retailer- Sales taxes are estimated to grow 32% in Fiscal 2018
as the City realizes the first full year of the retailer opening, and also receives the Y. of 1% sales tax allocation for streets.
UQUIDFTY
In line with the operating perfomrance, the city's liquidity position has increased, readying 53-6 million (54.7% of operating revenues)
in total operating funds in fiscal 2016, The farall 20171iquidity is expected to increase in line with the city's anticipated positive
operating performarca
Debt and Pensions: Modest Debt and Pension Levels
The citys debt profile is likely to increase within the next 12 - Z4 months as the city Considers debt issuance for buildings. Post sale, the
city will have S212 million outstanding in general obligation limited tax debt, resulting in a direct debt burden of 2.496, on a fiscal 2018
valuation. However, majority of the city's debt is supported by the utility system, which reduces the debt burden to 0.4%.
The city does not have any authorized unissued debt. However, the city anticipates debt issuance of between $14 and $25 million
for an administrative office, as well as a public safety facility in the near tern. The city has road heads, due to a growing population.
However, the city expects to fund the needs through a Y. of 1% sales tax levy, which has been informally allocated from the economic
development fund for street projects and provides a relatively stable source of funding. The levy is expected to yield S336,326 in fiscal
2018.
DEBT STRUCTURE
The debt service schedule is relatively flat with a final maturity scheduled for fiscal 2034.
All of the city's debt is fixed rate, and the city is riot party to any derivative agreement.
PENSIONS AND OPEB
The city participates in the Texas Municipal Retirement System (TMRS), a multi -employer agent plan. In fiscal 2016, the city reported
an unfunded liability of S1 million. Moody's adjusted net pension liability (ANPL) was 53.4 million in fiscal 2016. The three-year
average ANPL is elevated at modest at 0.5%of fuB value or a minimal 0.5 tinges frsol 2016 operating revenues. Moodys ANPL reflects
certain adjustments we make to improve comparability of reported pension liabilities. The adjustments are not intended to replace
the city's reported contribution information, or the reported liability information of the statewide cost -sharing plans, but to improve
comparability with other rated entities.
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Anna
For the year ended September 30, 2016, the city re -cognized total pension expense of 5445,000 which was equal to the actuarial
determined contribution rate. The city+s fiscal 2016 contribution rate was also above the Moody's Calculated "tread water' level of
S395,000. The 'tread water' indicator measures the annual goverment contribution required to prevent the reported net pension
liability from growing, under repotted assumptions. Contributions above this level cover all net pension liability interest plus pay down
some principal; this is stronger from a credit perspective compared to contributions below this level. Ratios comparing government
contributions to the "tread water' level and 'tread water" costs to government revenues shed fight on budgetary fixed cost burdens.
The City offers other post employment benefits (OPEB) in the form of a supplemental death benefit, through TMRS- The city may
terminate the coverage and discontinue participation by adopting an ordinance before November 1 of any year to be effective the
following January 1. In fsol 2016, the city paid 54.083 as part of the required contribution.
Fixed costs, including pension Contributions, debt service and OPEB totaled $878,000, an affordable 13.5% of operating revenues
Management and Governance: High Institutional Framework Score
Texas Cities have an Institutional Framework score of Aa, which is high compared to the nation. Institutional Framework scores
measure a senor's legal ability to increase revenues and decrease expenditures. Property taxes, one of the sectors major rev grim
sources are abject to a cap, which cannot be overridden. However, the cap of $25 per S1,000 of assessed values with no more than
$15 allocated for debt, still allows for significant revenue -raising ability. Unpredictable revenue fluctuations tend to be minor, or under
5% arm iaRy. Across the sector, fixed and mandated costs are generally greater than 25% of expenditures. Texas is a Right to Work
state, providing significant expenditure- Cutting ability_ Unpredictable expenditure fluctuations tend to be minor, under 5% annually.
The city operates under a counciVrtsanager foam of government with a City council comprised of the Mayor and six council members
elected for staggered three year terms. The city demonstrates good gowmance by utiU&g conservative budgeting evident by actual
performance surpassing expectations, and multiyear capital planning.
Legal Security
The bonds are secured by a direct and Continuing annual ad valorem tau, levied against all tacable property within the limits prescribed
by law. The bonds are additionally secured by a pledge of the surplus net revenues of the city's water and wastewater system.
Use of Proceeds
A portion of the proceeds will be used to refund and restructure the citys outstanding contract tax obligation to the Greater Texoma
Utility Authority, which is currently supported by the utility system. The transaction will result in level debt service of 52 million
between fiscal 2019 and 2032, from a prior range of $1.6 million to S2.7 million, and extend the final maturity by two years. The
transaction will also yield an estimated savings of 13.8%
The proceeds will also refund outstanding Series 2006 and 2009 bonds for an estimated 40-S% in savings. There will be no extension
of final maturity on this portion of the transaction -
obligor Profile
The City of Anna is located in north Collin County, approximately 4D miles north of Galas, TX. The Gty's population was 8,249 as of
the 2010 US Census, an increase of 573% from the prior census periods. The largest industry sectors [hat drive the local economy are
protmionaVscientifidtechniral services, retail trade, and finano2 insurance.
Methodology
The principal methodology used in this rating was US Local Goverment General Obligation Debt published in December 2016. Please
see the Rating Methodologies page on www.moodys.c:m for a copy of this methodology.
Ratings
Wait 2
Anna (Ctty of) TX
mue Rama
Combination Tax and Revenue Refunding Bonds, Aa3
Series2017
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Rating Type
Underlying LT
Sale Amount
SR,515,000
Expected Sale Date
M412017
Rating Description
General ObWicn
Limited Tax
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contacts
AGebGa KuMnlb ♦1.214.979.6847
W-SMn An3YV
a 3ebm3.kuM1mopMm 0dyscam
MOODY'S
INVESTORS SERVICE
7 300ctoMf209
Anna
[VENT SERVICES
Americas
1-212553-1653
Asla Pacific
832-3551-3077
Japan
81-3-54884708
EMEA
44-20-"7 -5354
❑[y of AM; TX Nw bwa- MwEyf Up[nC A W A33. CRY N Apm S. TX COLT
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Supplemental
Information
City of Anna, Texas
Financial Policies
February 10, 2015
Anna
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BUDGET POLICY
Introduction:
Anna
The City of Anna, Texas financial policies set forth the basic framework for the fiscal management
of the City. These policies are to ensure consistency in the City's financial processes related to
revenue, expenditures, purchasing, accounting, investing, fiscal management and integrity, and
fund balance. The City's financial policies are intended to assist the City council and City staff in
evaluating current activities and proposals for future programs. The policies are to be reviewed
on an annual basis and modified to accommodate changing circumstances and conditions. The
City of Anna will ensure long-standing policies that provide guidelines for current decision -making
processes and future plans.
Operating Budget Policies:
The fiscal year of the City of Anna shall begin on October 1 of each calendar year and end on
September 30 of the following calendar year. The fiscal year will also be established as the
accounting and budget year.
The operating budget will be balanced with current revenues and a portion of beginning
resources or fund balances which will be greater than or equal to current expenditures or
expenses. The City Manager's budget shall assume, for each fund, operating revenues that are
equal to, or exceed operating expenditures.
Annual estimates of revenues in all funds will be based on historical trends, and reasonable
expectations and assumptions regarding growth, the state of the economy, and other relevant
factors. A conservative approach will be observed in estimating revenues.
Expenditures in all funds will be managed so as to ensure the fund's obligations are met when
due. Throughout the year the Finance Department will provide regular budgetary comparisons
reports to Department Directors and the City Manager. These reports will highlight Adopted
Budget, Adjusted Budget, Current, Year to Date, and Previous Year expenditures and revenues.
These periodic budgetary comparisons statements of revenue and expenditures will allow
department directors to adequately manage their department's budget and anticipate revenues
and expenditures.
Expenditures within the each Fund will remain within each department's original appropriation
unless an intra-fund budget transfer is approved by the City Manager. The City Manager is
authorized to approve intra-fund transfers. Only the City Council may approve inter -fund
transfers. Budget amendments will occur when total actual expenditures exceed budgeted
expenditures in any fund(s). Budget amendments are authorized only by the City Council
approved by ordinance. If at any time during a fiscal yearthe City Manager estimates that current
year expenditures in any fund will exceed available revenues, the City Manager will submit a plan
to the City Council addressing the estimated deficit including a plan of action to overcome the
estimated deficit.
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Anna
Anna's budget is coordinated to identify major policy issues for the City Council to consider
several months prior to the budget approval date. In this way, the Council has adequate time to
evaluate decisions and ensure proper decisions are made. The budget review process will include
City Council, City staff, and citizen participation through public hearings.
Each department head is responsible for ensuring proper budgetary procedures are followed
throughout his or her department.
Investments made by the City of Anna will be in compliance with policies contained in the City of
Anna Investment Policy and the Public Funds Investment Act. All investments will be evaluated
upon safety, liquidity, and yield. Interest earned from investment of available funds is based on
departmental ownership of the invested dollars and will be booked to the appropriate
department's fund when realized.
After City council adoption, the budget shall be in effect for the budget year. Final adoption of
the budget by the City council shall constitute the official appropriations for the current year and
shall constitute the basis of the official levy of the property tax. Following the final adoption of
the budget by ordinance, the City Council shall pass an ordinance levying property taxes for the
current year.
Fund Balance:
A key element of the financial stability of the City is to establish guidelines or "safe harbors' for
fund balance. Unassigned fund balance is an important measure of economic stability. It is
essential that the City maintain adequate levels of unassigned fund balance to mitigate financial
risk that can occur from unforeseen revenue fluctuations, unanticipated expenditures, and
similar circumstances. The fund balance also provides cash flow liquidity for the City's general
operations.
For governmental funds, it is important to distinguish between fund equity and fund balance. A
fund's equity is typically the difference between its assets and liabilities. Fund balance is an
accounting distinction made between the portions of fund equity that are spendable and non -
spendable. The Governmental Accounting Standards Board has established 5 classifications of
fund balance:
1. Nonspendable fund balance — includes amounts that are not in a spendable form or are
required to be maintained intact. Examples are inventory or permanent funds (i.e.
endowment funds).
2. Restricted fund balance — includes amounts that can be spent only for the specific
purposes stipulated by external resource providers either constitutionally or through
enabling legislation. Examples include grants and child safetyfees.
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/'%
Anna
3. Committed fund balance — includes amounts that can be used only for the specific
purposes determined by a formal action of the government's highest level of decision -
making authority. Commitments may be changed or lifted only by the government taking
the same formal action that imposed the constraintoriginally.
a. The City Council is the City's highest level of decision -making authority and the
formal action that is required to be taken to establish, modify, or rescind a fund
balance commitment is a resolution approved by the Council at the City's Council
meeting. The resolution must either be approved or rescinded, as applicable, prior
to the last day of the fiscal year for which the commitment is made. The amount
subject to the constraint may be determined in the subsequent period.
4. Assigned fund balance — comprises amounts intended to be used by the government for
specific purposes. Intent can be expressed by the governing body or by an official or body
to which the governing body delegates the authority. In governmental funds other than
the general fund, assigned fund balance represents the amount that is not restricted or
committed. This indicates that resources in other governmental funds are, at a minimum,
intended to be used for the purpose of that fund (i.e. only funds in the capital projects
fund may be used for capital projects).
a. The City Council has authorized the City Manager to assign fund balance to a
specific purpose as approved by this fund balance policy.
5. Unassigned fund balance— is the residual classification of the general fund and includes
all amounts not contained in other classifications. Unassigned amounts are technically
available for any purpose.
Minimum Unassigned Fund Balance
The City shall set aside resources during years of growth to fund a reserve for years of decline
and/or to fund capital out of current funds for projects that would have otherwise been funded
through debt financing. It shall be the goal of the City to maintain an unassigned fund balance
in the General Fund of 25% of total appropriations.
Minimum Unrestricted Net Assets
The City shall set aside resources during years of growth to fund a reserve for years of decline
and/or to fund capital out of current funds for projects that would have otherwise been fundec
through debt financing. It shall be the goal of the City to maintain unrestricted net assets in the
Utility Fund (a non -governmental type fund) of 25% of total appropriations.
At the close of each fiscal year, the unencumbered balance of each appropriation shall revert to
the fund from which it was appropriated.
If minimum fund balance falls below the goals stated above, the City Manager will develop a
strategy to initially evaluate current government wide spending to determine areas where cost
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efficiencies may be realized and implement those efficiencies. Should the analysis prove
insufficient to attain the goal, a multi -year strategy will be put in place to meet the goals through
a combination of cost cutting, cost recovery, and revenue enhancing strategies.
Order of Expenditure of Funds
When multiple categories of fund balance are available for expenditure (for example, a
construction project is being funded partly by a grant, funds set aside by the City Council, and
unassigned fund balance), the City will start with the most restrictive category and spend those
funds first before moving down to the next category with available funds.
Financial Policies:
The accounts of the City are organized and operated on the basis of funds and account groups.
Fund accounting segregates funds according to their intended purpose and is used to aid
management in demonstrating compliance with finance -related legal and contractual provisions.
The City's annual budget shall be prepared and adopted on a basis consistent with generally
accepted accounting principles for all governmental and proprietary funds except the capital
projects fund, which adopts project -length budgets.
Account balances shall be reported on the modified accrual basis of accounting within the
General Fund and other governmental funds and the accrual basis of accounting in the Utilities
Fund.
Quarterly Reports:
Revenues actually received will be regularly compared to budgeted revenues and variances will
be investigated. This process will be summarized in the quarterly budget reports prepared and
submitted by the City Manager's Office.
The City Manager shall submit to the City Council each quarterly financial report of the City. The
report will compare budget estimates against the previous quarter's realized revenues including
year to date realized revenues. The previous fiscal years performance will also be included.
General Obligation Bonds/ Debt:
Anna shall have the power to borrow money on the full faith and credit of the City and to issue
general obligation bonds for permanent public improvements. The City will also be allowed to
borrow money for any other public purpose not prohibited by the Constitution and laws of the
State of Texas, and to issue refunding bonds to refund outstanding bonds of the City previously
issued. All such bonds shall be voted on and issued in conformity with the laws of the State of
Texas.
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Any and all bond funds approved by the vote of the Citizens of Anna will be expended only for
the purposes stated in the bond issue.
The City shall also from time to time borrow money utilizing other available instruments including
revenue bonds, certificates of obligation, et al.
In all cases, the City shall evaluate the following prior to incurring debt obligations:
• Ensure that the purpose of the debt is consistent with type of debt instrument
• Where possible, match the useful life of the asset with the maturity of the debt
• Review the maintenance & operations property tax rate against the debt service tax rate
and ensure that no more than 35% of the total tax rate is used for debt obligations.
The City will manage the length and maturity of its long-term debt in order to lower net interest
cost and to maintain future flexibility by paying off debt earlier.
Revenues:
The City of Anna strives to maintain and enhance a diversified and stable revenue system to
shelter it from fluctuations in any single revenue source. The City also pursues an aggressive
policy of collecting all money due to the City. The City will continue an aggressive policy to reduce
the level of delinquent taxes.
For every annual budget, the City shall levy two property tax rates: maintenance/operations
(M&O) and debt service (I&S). The debt service levy shall be sufficient for meeting all principal
and interest obligations associated with the City's outstanding debt, less money transferred into
the debt service fund from other funds and any self-sustaining debt such as revenue bonds, for
the budget year. The operation and maintenance levy shall be accounted for in the General Fund.
The City is primarily a bedroom community with a heavy reliance upon property taxes. In order
to supplement property taxes, the City has and will continue to support economic development
and community development to create a vibrant community with a growing sales tax base to
defray the reliance upon property taxes.
The City Manager shall project revenues from every source based on actual collections from the
preceding years and estimated collections of the current fiscal year. There are a variety of factors
that may impact revenues for an upcoming fiscal year, and the City Manager will take these into
account when projecting collections. Sales tax revenue projections should be conservative due
to the nature of this more volatile revenue source.
Types of City Funds:
• General Fund is the government's primary operating fund.
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• Debt Service Fund accounts for the resources accumulated and payments made for
principal and interest on long-term obligation debt of governmental funds.
• Capital Projects Fund accounts for the acquisition of capital assets or construction of
major capital projects not being financed by any otherfund.
• Utility Fund is used to account for the City's water and wastewater operations and
certain long-term debt.
Fire Trust:
As part of the General Fund, the City operates a Fire Trust Account. This account is used to
support the following activities in the Fire Department:
• Purchase of equipment
• Purchase of fire apparatus
• Support of Fire Department Grants, including use as matching funds
Funds in the Fire Trust and held in a special account and maintained in the City's financial
software. Interest earned on Fire Trust deposits are maintained in the Fire Trust. Donations to
the Fire Department, including funds voluntarily contributed by developers to support the Fire
Department, are deposited into the Fire Trust.
Financial Statements:
&NO
An annual independent audit will be completed and filed with the City Secretary within one
hundred eighty (180) days from the completion of each fiscal year, the results of which shall be
presented to and approved by the City Council. The financial statements to the City are to be
prepared in conformity with generally accepted accounting principles (GAAP) in the United States
of America as applied to governmental units. The Governmental Accounting Standards Board
(GASB) is the accepted standard -setting body for establishing governmental accounting and
financial reporting principles.
The City shall contract with a qualified independent auditing firm on an annual basis, and shall
use the same firm no more than five consecutive years.
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PURCHASING POLICY
Section 1. Purpose
The purpose of the Purchasing Policy and Procedures is to provide a means forth e acquisition of
supplies and services that are required for theoperation of the City of Anna.
Section 2. Authorization and Procedures
The City Manager is authorized to make purchases and enter into contracts on behalf of the City
if the amount does not exceed $50,000. The City Manager is also authorized to make Emergency
Purchases consistent with this Purchasing Policy. Notwithstanding anything to the contrary in this
Purchasing Policy or in any other City ordinance, rule, regulation or policy; except for Emergency
Purchases authorized under this Policy, all purchases, transactions and contracts for expenditures
regardless of amount must be expressly approved in advance by the City Council during a duly
noticed public meeting if —with respect to such purchase, transaction or contract for
expenditure —any City Official (as defined in the Anna Code of Ethics) is: (1) required to file a
Conflicts Disclosure Statement under Chapter 176 of the Texas Local Gov't Code or the Anna Code
of Ethics, as amended; or (2) is a Vendor as that term is described under Section 176.002 of the
Texas Local Gov't Code, which includes acting as an agent of a Vendor. Otherwise, the following
purchasing procedure is outlined in accordance with the noted dollar thresholds of expenditures.
a) Expenditures for Goods or Services $.01 - $999: Department Directors are allowed to make and
authorize purchases for goods orservices up to $999 without seeking quotes or bids. Expenditures
in this category do not require a purchase order.
b) Expenditures for Goods or Services $1,000 - $2,999: Expenditures for good or services
equal to or greater than $1,000 but not exceeding $2,999 may be approved at the
department level by the Department Director. Department Directors should request and
review at least three different quotes or bids unless the purchase is listed under the
General Exemptions in Texas Local Government Code Chapter 252.022. This is an informal
bid process and quotes or bids may be obtained via mail, e-mail, delivery service,
telephone, facsimile, catalogues, internet websites, in-store price comparison, verbal
quotes, or any other reasonable method of comparing vendorpricing.
1. Upon receipt and evaluation of the quotes or bids, the Department Director shall
submit to the Finance Department a purchase order and purchasing memo
summarizing the bids received and the recommended or selectedvendor.
2 In lieu of requesting three different quotes or bids, and when authorized by the City
Manager, Department Directors may purchase goods or services in this category
through a local government purchasing cooperative or interlocal purchasing
agreement of which the City of Anna is a member or is eligible to participate, and
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where the products and services to be purchased have been submitted for
competitive procurement as outlined by state statute.
c) Expenditures for Goods or Services $3,000 - $49,999: Expenditures for good or services
equal to or greater than $3,000 but not exceeding $49,999 are also bid on an informal
basis with at least three written bids or quotes required unless the purchase is listed
underthe General Exemptions in Texas Local Government Code Chapter 252.022. The City
will contact Historically Underutilized Business as stipulated in Texas Local Government
Code Chapter 252.0215 unless the purchase is listed under the General Exemptions in
Texas Local Government Code Chapter252.022.
1. All purchases in this category must be approved in advance by the City Manager and
the Finance Department. Upon receipt and evaluation of the quotes or bids, the
Department Direct shall submit to the City Manager a purchase order and purchasing
memorandum summarizing the responses and recommending a vendor. The
memorandum shall include supporting documentation for all quotes or bids and
evidence the department contacted Historically Underutilized Businesses as outlined
above. After authorization has been received from the City Manager, the purchase
order can be submitted to the Finance Department for final approval and processing.
2 In lieu of providing three different written quotes, goods or services in this category
may be purchased through a local government purchasing cooperative or interlocal
purchasing agreement of which the City of Anna is a member or is eligible to
participate, and where the products and services to be purchased have been
submitted for competitive procurement as outlined by statestatute.
d) Expenditures for Goods or Services $50,000 and over: Except for Emergency Purchases
authorized under this Policy, all purchases above $50,000 must be purchased under
formal competitive sealed bidding rules or as otherwise permitted by the Local
Government Code under Chapters 252 and 271. No bid process shall begin until approved
by the City Council and City Manager. The City Council hereby selects as its designated
representative the City Manager of the City of Anna, Texas to discharge on its behalf any
duty it may have now or in the future with respect to any purchase or contract to
determine the method(s) of purchase that will provide the best value to the City.
e) Professional Services: Notwithstanding anything to the contrary in this Purchasing Policy
or in any other City ordinance, rule, regulation or policy, purchases of professional
services regulated by the Professional Services Procurement Act (PSPA) shall be in
accordance with the requirements outlined in the PSPA as amended.
f) Emergency Purchases: Notwithstanding anything to the contrary in this Purchasing Policy
or in any other City ordinance, rule, regulation or policy, the City Manager is
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authorized to make or approve any emergency purchase necessary to respond to a public
calamity, to preserve or protect the public health or safety of the municipality's residents,
or because of unforeseen damage to public machinery, equipment, or other property; in
accordance with the General Exemptions authorized in Section 252.022 of the Texas Local
Government Code without seeking bids or contacting Historically Underutilized
Businesses. The City Manager is authorized to declare or determine an emergency that
necessitates an emergency purchase, and shall advise the City Council of any such
emergency purchase in excess of $50,000. When an emergency occurs during regular
business hours and the expense exceeds the normal department approval amount, the
department director shall contact the City Manager or his designee, to receive
authorization for the emergency purchase.
g) Responsibilities:
1 The City Manager administers this Purchasing Policy, approves purchases between
$3,000 and $49,999, and oversees the competitive bidding process for all purchases
in excess of $50,000 requiring approval of the City Council.
2 Department Directors prepare and review solicitations for the purchase of goods and
AMM` services as outlined in this Purchasing Policy. Directors sign off on and approve all
department purchases and ensure that all purchasing requirements are met.
Department Directors ensure that reasonable and prudent steps are taken to assure
that the best value is obtained for the goods or services to beprocured.
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3. The Finance Department reviews budgets to determine availability of funds for
purchases.
4. Accounts Payable receives, reviews, and processes all purchase orders and payment
requests.
5. Each city employee authorized to purchase supplies, equipment, or services shall be
familiar with and follow this Purchasing Policy and related purchasingprocedures.
Section 3. Petty Cash
Petty Cash is deemed appropriate when it allows for more efficient procurement of minor goods
and services. Petty Cash may only be used for minor purchases of goods or services up to $50.00.
An employee requesting the Petty Cash must have approval from their Department Director.
Documentation for the use of Petty Cash is required at time of reimbursement, and must include
an invoice or receipt for the purchase. The employee requesting reimbursement will be required
to sign for receipt of the cash.
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Section 4. Purchase Orders
Purchase orders are required for all purchases in excess of $999, unless otherwise indicated
below. Purchase orders may be submitted for purchases less than $999 but are not required.
Purchase orders shall be submitted to Accounts Payable for processing after obtaining the
appropriate approval signatures and with all supporting documentation attached. Purchase
orders submitted without appropriate approval or required documentation will be returned to
the originating department.
Subject the limits on the City Manager's authority to make purchases and enter into contracts on
behalf of the City as outlined in the Section 2 of this Policy, purchase of the following items do
not require the solicitation of bids or a purchase order and can be paid by completing a check
request or payment authorization:
• Insurance Premium Payments
• Retirement System Payments (TMRS)
• Debt Service Payments
• Utility Service Payments
• Operating Leases/Maintenance Agreements
• Contracted Services (if contract was entered in accordance with thispolicy)
• Travel and Lodging
• Registration fees
• Membership/Professional Association dues and fees
• Postage
• Subscription Services
• Other similar routine purchases authorized by the City Manager
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PURCHASING CARD POLICY
Purpose:
Anna
The purpose of the Purchasing Card Program is to provide the City with an efficient and
controllable method of making small dollar commodity, service, and travel purchases. The City
will issue cards from a company that has received the State of Texas purchasing card contract or
under a Co-operative purchasing agreement with another municipality within the State of Texas.
The card will be primarily used in place of petty cash, small regular purchase orders, blanket
purchase orders (where sales are made over-the-counter), emergency purchase orders, and all
other credit cards. This card policy is not intended to replace, but rather supplement existing
purchasing, travel and other City policies. Participating in the purchasing card program will be the
option of the employer. Employees that are not issued a card may obtain travel advances or
reimbursements
Use:
The card will be used for the following:
1) Any transaction that does not exceed $1,500 or the cardholder's transaction limit,
whichever is less.
2) Over-the-counter type retail purchases normally made using a charge account or
discontinued credit cards.
3) Travel related purchases in compliance with the City of Anna Travel Policy.
4) Any other business related purchase as long as:
a. The vendor accepts credit cards, and the goods/services purchases are not covered
under a City supply contract. Accounting Department will periodically update staff
via email of any commodities that cannot be purchased with the purchasing card.
b. All other purchases are to be made using the standard purchasing process.
Transaction/Card Limits:
Each individual purchasing card will have transaction and/or spending limits. The Finance Director
has the ability also to limit types of purchases, place of purchase and hours of day purchases can
be made on individual cards. The total purchase price as printed on the individual credit card
receipt is known as the "transaction amount". The purchasing card may be limited by the
merchant type, transaction amount, and monthly transaction limit. The Department Director,
Finance Director, and City Manager determine limits.
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Cardholder Class
*Per Transaction
*Per Month
Management
City Manager, Department Directors
$ 2,500
$ 5,000
Supervisory
Division Heads Supervisors
$ 1,500
$ 3,000
Intermediate Level Users $ 500
$ 2,000
*The City Manager may set different limits for specific individuals as needed.
Restrictions:
Employees may NOT use the card for the following:
1. Any purchases of items for personal use
2. Cash refunds or advances
3. Any purchases of goods/services at a merchant type not considered prudent or of
good judgment
4. Any transaction amount greater than the cardholder's transaction limit
5. Items under contract, unless an emergency exception is granted by the Finance
Department
6. Alcohol, liquor, and tobacco products of any kind
7. Separate, sequential and component purchases or any transaction made with intent
to circumvent City purchasing policy or state law
8. Any other purchase specifically excluded in the City purchasing policy
Receipts:
All purchases must be supported by a receipt for the purchaser. Any purchase without a receipt
shall be the responsibility of the purchaser unless approved by the City Manager.
Audit review.
Purchases using the Anna Purchasing cards shall be reviewed for compliance with this policy by
City Auditor during the annual audit process.
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ETHICS POLICY
This Ethics Policy is cumulative of any provisions governing ethics or conflicts of interest under
state law, the City of Anna's Home -Rule Charter, and the Anna Code of Ethics, all as amended,
and in the event of any conflict between any such provisions, the most restrictive provision shall
govern. This Ethics Policy will promote the objectives of protecting government integrity and
facilitating the recruitment and retention of qualified ethical personnel needed by the City of
Anna. Such policy is implemented by prescribing essential standards of ethical conduct without
creating unnecessary obstacles to entering publicservice.
As a public entity, the City is expected to be able to demonstrate to the public that it has spent
theirtax dollars wisely. All participants in the City are responsible for insuring that money is spent
in accordance with the terms and conditions of all the policies of the City of Anna. Public
employees must discharge their duties impartially so as to assure fair competitive access to
government procurement by responsible contractors. Public officials and employees must take
precautions to avoid even the appearance of impropriety, self -dealing, favoritism, or undue
influence.
Therefore, all persons with the responsibility of handling City of Anna monies must obtain and/or
create as appropriate adequate documentation, including a clear explanation of exactly what
^` each purchase is for.
General Ethical Standards:
1. It shall be a breach of ethics to attempt to realize personal gain through public
employment with the City of Anna by any conduct inconsistent with the proper discharge
of the employee's duties.
2. It shall be a breach of ethics to attempt to influence any public employee of the City of
Anna to breach the standards of ethical conduct set forth in this code.
3. It shall be a breach of ethics for any employee of the City of Anna to participate directly
or indirectly in a procurement when the employee knowsthat:
a. The employee or any member of the employee's immediate family has a financial
interest in the procurement;
b. A business or organization in which the employee, or any member of the
employee's immediate family, has a financial interest pertaining to the
procurement;
c. Any other person, business or organization with whom the employee or any
member of the employee's immediate family is negotiating or has an arrangement
concerning prospective employment is involved in the procurement.
4. It shall be a breach of ethics for any employee of the City of Anna to accept, receive, or
arrange for any gratuity or any offer of employment in connection with any decision,
approval, denial, recommendation, preparation of any part of a program requirement or
purchase request, influencing the content or any specification or procurement standard,
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5.
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rendering of advice, investigation, auditing, or in any other advisory capacity in any
proceeding or application, request for ruling, determination, claim or controversy, or
other particular matter pertaining to any program requirement of a contract or
subcontract, or to any solicitation or proposal thereof, pending before this government.
It shall be a breach of ethics for any employee of the City of Anna to approve or allow any
purchase, transaction or contract for expenditure regardless of the amount unless said
employee has been expressly authorized to do so in advance by the City Council during a
duly noticed public meeting if —with respect to such purchase, transaction or contract for
expenditure —any City Official (as defined in the Anna Code of Ethics) is: (1) required to
file a Conflicts Disclosure Statement under Chapter 176 of the Texas Local Gov't Code or
the Anna Code of Ethics, as amended; or (2) is a Vendor as that term is described under
Section 176.002 of the Texas Local Gov't Code, which includes acting as an agent of a
Vendor.
It shall be a breach of ethics for any employee or former employee of the City of Anna
knowingly to use confidential information for actual or anticipated personal gain, or for
the actual or anticipated gain of any person.
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I-TA.,:.,»1.1NORY,
The City Council shall select a bank depository that will meet the needs of the City and comply with
all state laws governing such depositories and the management and safeguarding of public funds.
The City shall issue a request for proposals/qualifications for bank depository services every five
years, or more often if necessary. However, said requirements shall not restrict the number of
years, either cumulatively or consecutively, that any single bank depository shall be used.
Depositories shall be selected based on a number of criteria, including, but not limited to, ability
to comply with state and local statutes, customer service, hours of operation, yield on deposits,
geographic proximity to City hall, services offered, etc.
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City of Anna, Texas
Investment Policy
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INVESTMENT POLICY
A component part of the overall financial management of the City of Anna, Texas is an effective cash
management plan. Many factors determine the amount of funds on hand during any fiscal year, but
these funds are an important revenue source for the City budget. It is imperative that these funds be
managed in such a way as to be responsive to the public need and consistent with a conservative cash
management plan. To provide this framework for effective cash management, an Investment Policy
and a Statement of Investment Strategy have been prepared.
Purpose:
The Investment Policy is authorized by the City Council of the City of Anna in accordance with
Chapter 2256, Texas Government Code, also known as the Public Funds Investment Act (PFIA). The
Policy addresses the methods, procedures and practices that must be exercised to ensure effective and
judicious fiscal management of City funds. All such funds will be managed within the guidelines of
this Policy with the exception of pension and other deferred compensation plans that are separately
managed. Bond funds, in addition to this Policy, shall be managed in accordance with their issuing
documentation and all applicable state and federal law.
This Policy provides a separate written investment strategy for each of the City's funds. Each
investment strategy describes the investment objectives for each particular fund according to the
following priorities:
1) Investment Suitability
2) Preservation and Safety of Principal
3) Liquidity
4) Marketability Prior to Maturity of each Investment
5) Diversification
6) Yield
Annual Review:
The Investment Policy and the Statement of Investment Strategy will be reviewed on an annual basis
by the City Council. Revisions and/or amendments will be approved and documented by the City
Council. A written document shall attest to the annual review and amendment adoption.
Investment Objectives:
The investment of funds will be governed by the following investment objectives, in order of priority:
1. Preservation and Safety of Principal
Preservation of capital is the foremost objective of the City. Each investment transaction
041k, shall seek first to ensure that capital losses are avoided, whether they are from issuer
defaults, erosion of market value, or other risks.
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2. Liquidity
The City's investment portfolio will remain sufficiently liquid to enable the City to meet
all operating requirements that can be reasonably anticipated. Liquidity will be achieved
by matching investment maturities with forecasted cash flow requirements.
3. Public Trust
All employees involved in the City's investment program shall seek to act responsibly as
custodians of the public trust. All employees involved in the investment process shall avoid
any transaction which might impair public confidence in the City's ability to govern
effectively.
4. Yield
The investment portfolio of the City shall be designed to attain a market rate of return
throughout budgetary and economic cycles taking into account risk constraints and liquidity
needs. Return on investment, while important, is of less importance than safety and liquidity.
Authorized Investments:
While the PFIA allows a wide range of eligible investments, the City has chosen to allow only the
following, which are more restrictive than the PFIA:
F
1. Obligations of the United States government or its agencies and instrumentalities, including
the Federal Home Loan Banks.
2. Other obligations, the principal and interest of which are unconditionally guaranteed or insured
by, or backed by the full faith and credit of, this State or the United States or their respective
agencies and instrumentalities, including obligations that are fully guaranteed or insured by the
Federal Deposit Insurance Corporation or by the explicit full faith and credit of the United
States.
3. Direct obligations of this State or its agencies and instrumentalities.
4. Certificates of Deposit, and other forms of deposit, issued in compliance with the PFIA and
insured by the FDIC, or when applicable, collateralized in accordance with this Policy and the
Public Funds Collateral Act.
Repurchase agreements placed and secured in compliance with the PFIA and, collateralized
with a minimum market value of 102 percent of the dollar value of the transaction plus
accumulated accrued interest.
6. SEC -registered, AAAm, or its equivalent, (as rated by Fitch, Moody's or Standard & Poor's),
no-load money market mutual funds. The investment objective of the fund must be to maintain
a stable dollar net asset value of $1.0000. The City may not invest funds under its control in
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an amount that exceeds 10% of total assets of any individual money market mutual fund. A
fund prospectus shall be reviewed for compliance with this Policy prior to depositing monies.
7. State or local investment pools organized under the Interlocal Cooperation Act, operating in
compliance with the PFIA and authorized by the City Council. The investment pool must be
rated AAAm, or its equivalent, (as rated by Fitch, Moody's or Standard & Poor's). The
investment objective of the pool must be to maintain a stable dollar net asset value.
Prohibited Investments:
The City is expressly prohibited from entering into options trading or futures contracts, hedging or
purchasing any security that is not authorized by Texas State law, or any direct investment in asset
backed or mortgage -backed securities. The City expressly prohibits the acceptance of Interest -only
(IO) and Principal -only (PO) Collateralized Mortgage Obligations (CMOs) as collateral for bank
deposits or repurchase agreements. No transactions may be entered for speculation. No transaction
may be entered using leverage.
Protection of Principal:
The City shall seek to control the risk of principal loss due to the failure of an issuer or grantor. Such
A'M` default risk shall be controlled by investing only in the safest types of issuers as defined in the Policy
and by collateralization as required by law.
Individual security transactions shall be executed by "delivery versus payment" (DVP) method
through the City's safekeeping agent. By so doing, City funds are not released until the City has
received, through the safekeeping agent, the securities purchased.
Diversification by Investment Type:
When appropriate and applicable, diversification by investment type shall be maintained by ensuring
an active and efficient secondary market in portfolio investments, and by controlling the market and
opportunity risks associated with specific investment types. Undue concentrations of assets in a
specific maturity sector shall be avoided. Bond proceeds may be invested to comply with Federal
arbitrage restrictions or to facilitate arbitrage record -keeping and calculation.
Diversification by Investment Maturity:
In order to minimize risk of loss due to interest rate fluctuations, investment maturities will not exceed
the anticipated cash flow requirements of the funds. Maturity guidelines by fund are as follows:
Operating Funds Strategy:
Suitabifity - Any investment eligible in the Investment Policy is suitable for Operating Funds.
100. Safety of Principal - All investments shall be of high quality with no perceived default risk. Market
price fluctuations may occur. However, by managing the weighted average days to maturity for the
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Operating Fund's portfolio to less than 270 days and restricting the maximum allowable maturity to
two years, the price volatility of the overall portfolio will be minimized.
Marketability - Securities with active and efficient secondary markets are necessary in the event of
an unanticipated cash flow requirement.
Liquidity - The Operating Fund requires the greatest short-term liquidity of any of the Fund types.
Cash equivalent investments will provide daily liquidity and may be utilized as a competitive yield
alternative to fixed maturity investments.
Diversification - Investment maturities should be staggered throughout the budget cycle to provide
cash flow based on the anticipated operating needs of the City. Market cycle risk will be reduced by
diversifying the appropriate maturity structure out through two years.
Yield - Attaining a competitive market yield for comparable investment -types and portfolio
restrictions is the desired objective. The yield of an equally weighted, rolling three-month Treasury
Bill portfolio will be the minimum yield objective.
Construction and Capital Improvement Funds Strategy:
Suitability - Any investment eligible in the Investment Policy is suitable for Construction and Capital
Improvement Funds.
Safety of Principal — All investments will be of high quality with no perceived default risk. Market
fluctuations may occur. However, by restricting the maximum maturity to the lesser of the anticipated
cash flow requirements or the IRS defined temporary period, the market risk of the portfolio will be
minimized.
Marketability - The balancing of short-term and long-term cash flow needs requires the Construction
and Capital Improvement Funds portfolio to have securities with active and efficient secondary
markets.
Liquidity - Construction and Capital Improvement Funds used as part of a CIP plan or scheduled
repair and replacement program are reasonably predictable. However, unanticipated needs or
emergencies may arise. Maintaining minimum cash equivalent investment amounts will reduce the
liquidity risk of unanticipated expenditures. A singular repurchase agreement may be utilized if
disbursements are allowed in the amount necessary to satisfy any required expenditures. This
investment structure is commonly referred to as a flexible repurchase agreement.
Diversification - Investment maturities should blend the short-term and long-term cash flow needs to
provide adequate liquidity, yield enhancement and stability. A "barbell" maturity ladder may be
appropriate.
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Yield - Attaining a competitive market yield for comparable investment -types and portfolio structures
is the desired objective. The yield of an equally weighted, rolling six-month Treasury Bill portfolio
will be the minimum yield objective.
Debt Service Funds Strategy:
Suitability - Any investment eligible in the Investment Policy is suitable for the Debt Service Fund.
Safety of Principal - All investments shall be of high quality with no perceived default risk. Market
price fluctuations may occur. However, by managing Debt Service Funds to not exceed the debt
service payment schedule, the market risk of the overall portfolio will be minimized.
Marketability - Securities with active and efficient secondary markets are not necessary as the event
of an unanticipated cash flow requirement is not probable.
Li uidi - Debt Service Funds have predictable payment schedules. Therefore, investment maturities
should not exceed the anticipated cash flow requirements. Cash equivalent investments may provide
a competitive yield alternative for short term fixed maturity investments. A singular repurchase
agreement may be utilized if disbursements are allowed in the amount necessary to satisfy any debt
service payment. This investment structure is commonly referred to as a flexible repurchase
agreement.
Diversification - Market conditions influence the attractiveness of fully extending maturity to the next
"unfunded" payment date. Generally, if investment rates are anticipated to decrease over time, the City
is best served by locking in most investments. If the interest rates are potentially rising, then investing
in shorter and larger amounts may provide advantage. At no time shall the debt service schedule be
exceeded in an attempt to bolster yield.
Yield - Attaining a competitive market yield for comparable investment -types and portfolio
restrictions is the desired objective. The yield of an equally weighted, rolling three-month Treasury
Bill portfolio shall be the minimum yield objective.
Ensuring Liquidity:
Liquidity shall be achieved by analyzing and anticipating cash flow requirements, by investing in
securities with active secondary markets and by maintaining minimum cash equivalent investment
balances. An investment may be liquidated or redeemed prior to maturity for the following reasons:
1. To meet unanticipated cash requirements
2. To re -deploy cash into other investments expected to outperform current holdings
3. To otherwise to adjust the portfolio.
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Depository Agreements:
The City will select and designate a qualified primary bank depository in compliance with State law
and the City's purchasing policy. Additionally the City may utilize other depository institutions to
expand deposit placement opportunities or provide specialty services.
All depository balances shall be insured or collateralized in compliance with applicable State law. The
City reserves the right, in its sole discretion, to accept or reject any form of insurance or
collateralization pledged towards depository deposits. Depositories will be required to sign a
Depository Agreement with the City. The Agreement shall address any concerns in relation to
acceptable collateral, levels of collateral, substitution and addition of collateral, and reporting and
monitoring of collateral. The collateralized deposit portion of the Agreement shall define the City's
rights to the collateral in case of default, bankruptcy, or closing and shall establish a perfected security
interest in compliance with Federal and State regulations, including:
• The Agreement must be in writing;
• The Agreement has to be executed by the Depository and the City contemporaneously with
the acquisition of the asset;
• The Agreement must be approved by the Board of Directors or Designated Committee of
the Depository and a copy of the meeting minutes must be delivered to the City; and
• The Agreement must be part of the Depository's `official record" continuously since its
execution.
Safekeeping and Custody.
The City shall contract with a bank or banks for the safekeeping of securities either owned by the City
as part of its investment portfolio or held as collateral to secure financial institution deposits and
repurchase agreements.
Securities owned by the City shall be held in the City's account as evidenced by safekeeping receipts
of the institution holding the securities. Safekeeping institutions shall be independent from the parties
involved in the investment transaction.
Collateral will be held by a third parry custodian designated by the City and pledged to the City as
evidenced by pledge receipts of the institution with which the collateral is deposited. Original pledge
receipts shall be obtained. Collateral may be held by a Federal Reserve Bank or branch of a Federal
Reserve Bank, a Federal Home Loan Bank, or a third party bank approved by the City and eligible
under State law.
Competitive Environment.
It is the policy of the City to provide a competitive environment for all individual investment purchases
and sales, and financial institution, money market mutual fund, and local government investment pool
selections.
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Authority to Invest:
The City Manager and Finance Director shall be the Investment Officers. The Investment Officers
shall oversee and approve any deposit, withdrawal, investment, transfer, documentation, and otherwise
manage City funds according to this Policy. No person may engage in an investment transaction or
the management of funds except as provided under the terms of the Investment Policy, the Statement
of Investment Strategy, and other operational procedures established by the City Manager.
In order ensure qualified and capable investment management, within twelve (12) months after taking
office or assuming duties, each Investment Officer shall attend training relating to his/her investment
responsibilities and accumulate not less than ten (10) hours of instruction. On an ongoing basis, all
Investment Officers shall receive not less than eight (8) hours of instruction in each subsequent two-
year period that begins on the first day of the City's fiscal year and consists of the two consecutive
fiscal years after that date. Training will be conducted by an independent source approved by the
Investment Committee and must include education in investment controls, security risks, strategy
risks, market risks and compliance with the Public Funds Investment Act.
Prudent Investment Management:
Each Investment Officer shall perform his/her duties in accordance with the adopted Investment Policy
/^ and internal procedures. In determining whether an Investment Officer has exercised prudence with
respect to an investment decision, the investment of all funds over which the Investment Officer had
responsibility, rather than the prudence of a single investment, shall be considered. Investment
Officers acting in good faith and in accordance with these policies and procedures shall be relieved of
personal liability.
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Standard of Care:
The standard of care used by the City shall be the "prudent person rule" and shall be applied in the
context of managing the overall portfolio within the applicable legal constraints. The PFIA states:
"Investments shall be made with judgment and care, under circumstances then prevailing, that
a person of prudence, discretion, and intelligence would exercise in the management of the
person's own affairs, not for speculation, but for investment, considering the probable safety
of capital and the probable income to be derived. "
Standard of Ethics:
Each Investment Officer shall act as custodian of the public trust avoiding any transaction which might
involve a conflict of interest, the appearance of a conflict of interest, or any activity which might
otherwise discourage public confidence. An Investment Officer shall refrain from personal business
activity that could conflict with proper execution of the investment program, or which could impair
his/her ability to make impartial investment decisions. Additionally, an Investment Officer shall file
with the Texas Ethics Commission and the City Council a statement disclosing any personal business
relationship with an entity seeking to sell investments to the City or any relationship with the second
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14,
degree by affinity or third degree of consanguinity to an individual seeking to sell investments to the
City.
Internal Controls:
The City Manager will establish a system of internal controls that shall be designed to prevent losses
of public funds arising from fraud, employee error, and misrepresentation by third parties,
unanticipated changes in financial markets, or imprudent actions by City staff. Controls deemed most
important would include, but not be limited to:
1. Control of collusion
2. Separation of duties
3. Separating transaction authority from accounting and record -keeping
4. Custodial safekeeping
5. Avoidance of bearer -form securities
6. Clear delegation of authority
7. Written confirmation of telephone transactions
8. Documentation of transactions
As part of the annual audit, the Investment Officers shall facilitate an independent review by the City's
external auditor to assure compliance with policies and procedures. 101
Monitoring Market Value:
Market value of all collateral, mutual funds, pools, and securities will be monitored periodically and
obtained from a reputable and independent source.
Effect of Loss of Rating:
All prudent measures will be taken to liquidate an investment that is downgraded to less than the
required minimum rating. At least quarterly, the City shall monitor the rating of all investments, as
applicable.
Exemption for Existing Investments:
The City is not required to liquidate investments authorized at the time of purchase.
Performance:
The City's investment portfolio shall be designed to obtain a market rate of return on investments
consistent with risk constraints and expected cash flow of the City. Weighted average yield to maturity
shall be the performance measurement standard.
Authorized Broker/Dealers:
The Investment Committee shall, at least annually, review, revise, and adopt a list of qualified
broker/dealers authorized to engage in securities transactions with the City. Authorized firms include
primary dealers or secondary dealers that qualify under Securities & Exchange Commission Rule
15C3-1 (Uniform Net Capital Rule)
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Investment Policy Certification;
All local government investment pools and discretionary investment management firms must sign a
certification acknowledging that the organization has received and reviewed the City's Investment
Policy, and that reasonable procedures and controls have been implemented to preclude investment
transactions that are not authorized by the City's Policy in accordance with the PFIA.
Investment Committee:
An Investment Committee comprised of the City Manager, City Finance Director and the City Finance
and Budget Analyst will meet on a periodic basis. The Committee shall monitor the investment
activities; assist in the development of investment policies, strategies and procedures; and annually
review and approve the City's broker/dealers and independent training sources.
Reporting:
The Investment Officers shall prepare an investment report at least quarterly in compliance with the
PFIA. This report will be prepared in a manner that will allow the City to ascertain whether investment
activities during the reporting period have conformed to this Policy. The report will be provided to the
City Council.
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CITY OF ANNA, TEXAS
HOME -RULE CHARTER
Originally adopted by vote of the people of the City of Anna, Texas on
May 7, 2005
Amended on
November 4, 2008 and May 12, 2012
Codified as:
PART I of The Anna City Code of Ordinances
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ARTICLE 7—FINANCIAL PROCEDURES
SECTION 7.01 Fiscal Year
Supplemental
Information
Anna
The fiscal year of the City begins on the first day of October and ends on the last day of September on the
next succeeding year. Such fiscal year also constitutes the budget and accounting year.
SECTION 7.02 Submission of Budget and Budget Message
On or before the 15th day of August of the fiscal year, the City Manager must submit to the City Council a
budget for the ensuing fiscal year and an accompanying budget message.
SECTION 7.03 Budget Message
The City Manager's message must explain the budget both in fiscal terms and in terms of the work
programs. It must outline the proposed financial policies of the City for the ensuing fiscal year, describe the
important features of the budget, indicate any major changes from the current year in financial policies,
expenditures, and revenues together with the reasons for such changes, summarize the City's debt position
and include such other material as the City Manager deems desirable.
SECTION 7.04 Budget a Public Record
The budget and all supporting schedules must be filed with the person performing the duties of City
Secretary when submitted to the City Council and must be open to public inspection by anyone interested.
SECTION 7.05 Public Hearing on Budget
At the City Council meeting when the budget is submitted, the City Council must name the date and place of
a public hearing and have published in the official newspaper of the City, at least twice, the time and place,
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which will be not less than ten days nor more than 30 days after the date of notice. At this hearing,
interested citizens may express their opinions concerning items of expenditures, giving their reasons for
wishing to increase or decrease any items of expense.
SECTION 7.06 Proceeding on Adoption of Budget
After public hearing, the City Council must analyze the budget, making any additions or deletions which they
feel appropriate, and must, at least ten days before the beginning of the next fiscal year, adopt the budget
by the affirmative vote of a majority of the full membership of the City Council. Should the City Council take
no final action on or before such day, the current budget will continue to be in force on a month -to -month
basis until a new budget is adopted.
SECTION 7.07 Budget, Appropriation and Amount to be Raised by Taxation
On final adoption, the budget is in effect for the budget year. Final adoption of the budget by the City
Council constitutes the official appropriations as proposed by expenditures for the current year and
constitutes the basis of official levy of the property tax as the amount of tax to be assessed and collected for
the corresponding tax year. Estimated expenditures will in no case exceed proposed revenue plus cash on
hand. Unused appropriations may be transferred to any item required for the same general purpose.
SECTION 7.08 Contingent Appropriation
Provision may be made in the annual budget and in the appropriation ordinance for a contingent
appropriation in an amount not more than three percent of the total general fund expenditures, to be used
in case of unforeseen items of expenditures. This contingent appropriation must apply to current operating
expenses and must not include any reserve funds of the City. Such contingent appropriation is under the
control of the City Manager and may be distributed by him only after prior approval by the City Council. The
proceeds of the contingent appropriation may be disbursed only by transfer to other departmental
appropriation, the spending of which must be charged to the departments or activities for which the
appropriations are made.
SECTION 7.09 Amending the Budget
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Under conditions which may arise and which could not reasonably have been foreseen in the normal
process of planning the budget, the City Council may, by the affirmative vote of a majority of the full
membership of the City Council, amend or change the budget to provide for any additional expense in which
the general welfare of the citizenry is involved. These amendments must be by ordinance, and must become
an attachment to the annual budget.
SECTION 7.10 Certification; Copies Made Available
A copy of the budget, as finally adopted, must be filed with the person performing the duties of City
Secretary and such other places required by state law or as the City Council may designate. The final budget
must be printed or otherwise reproduced and sufficient copies made available upon request for the use of
all offices, agencies, interested persons and civic organizations.
SECTION 7.11 Capital Program
The City Manager must submit a five-year capital program as an attachment to the annual budget. The
program as submitted must include:
(1) a clear summary of its contents;
(2) a list of all capital improvements which are proposed to be undertaken during the five fiscal years
succeeding the budget year, with appropriate supporting information as to the necessity for such
improvements;
(3) cost estimates, method of financing, and recommended time schedules for each improvement; and
(4) the estimated annual cost of operating and maintaining the facilities to be constructed or acquired.
The above information may be revised and extended each year with regard to capital improvements
still pending or in the process of construction or acquisition.
SECTION 7.12 Defect Does Not Invalidate the Tax Levy
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Errors or defects in the form or preparation of the budget or the failure to perform any procedural
requirements do not nullify the tax levy or the tax rate.
SECTION 7.13 Lapse of Appropriations
Every appropriation, except an appropriation for a capital expenditure, lapses at the close of the fiscal year
to the extent that it has not been expended or encumbered. An appropriation for a capital expenditure
continues in force until the purpose for which it was made has been accomplished or abandoned. The
purpose of any such appropriation is deemed abandoned if three years pass without any disbursement from
or encumbrance of the appropriation. Any funds not expended, disbursed or encumbered will be deemed
excess funds.
SECTION 7.14 Borrowing
(a) The City has the right and power, except as prohibited by law or this Charter, to borrow money by
whatever method it may deem to be in the public interest.
(b) General Obligation Bonds.
The City has the power to borrow money on the credit of the City and to issue general
obligation bonds for permanent public improvements or any other public purpose not
prohibited by law and this Charter, and to issue refunding bonds to refund outstanding
bonds previously issued. All such bonds must be issued in conformity with state and federal
law and must be used only for purposes for which they were issued.
2 Any bonds issued under the provisions of this Section may not be issued without an
election. The City Council must prescribe the procedure for calling and holding such
elections, must define the voting precincts and must provide for the return and canvass of
the ballots cast at such elections.
3 If at such elections a majority of the vote is in favor of creating such a debt or refunding
outstanding valid bonds of the City, it will be lawful for the City Council to issue bonds as
proposed in the ordinance submitting same. However, if a majority of the votes are against
the creation of such debt or refunding such bonds, the City Council is without authority to ,^
issue the bonds. In all cases when the City Council orders an election for the issuance of
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bonds of the City, it must at the same time submit the question of whether or not a tax may
be levied upon the property within the City for the purpose of paying the interest on the
bonds and to create a sinking fund for their redemption.
(c) Revenue Bonds.
1 The City has the power to borrow money for the purpose of constructing, purchasing,
improving, extending or repairing of public utilities, or any other self-liquidating municipal
function not prohibited by state or federal law.
2 With an affirmative vote of at least two-thirds of the Council Members present and having
authority to vote, the City has the power to issue revenue bonds and to evidence the
obligation created thereby.
3 Such bonds are a charge upon and payable from all or any part of the properties pledged or
from the income gained from the properties, or both. The holders of the revenue bonds are
not entitled to demand payment on the bonds out of monies raised or to be raised by
taxation.
4 All such bonds must be issued in conformity with state and federal law and must be used
only for the purpose for which they were issued.
(d) Emergency Funding. In any budget year, the City Council may, by affirmative vote of at least two-
thirds of the Council Members present and having authority to vote, authorize the borrowing of
money. Notes may be issued which are repayable not later than the end of the current fiscal year.
SECTION 7.15 Purchasing
(a) The City Council may by ordinance, give the City Manager general authority to contract for
expenditure without further approval of the City Council for all budgeted items not exceeding limits
set by the City Council within the ordinance.
(b) All contracts for expenditures or purchases involving more than the limits must be expressly
approved in advance by the City Council. All contracts or purchases involving more than the limits
set by the City Council must be awarded by the City Council in accordance with state and federal
law.
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(c) Emergency contracts as authorized bylaw and this Charter maybe negotiated by the City Councilor
City Manager if given authority by the City Council, without competitive bidding, and in accordance
with state and federal law. Such emergency may be declared by the City Manager if approved by the
City Council, or may be declared by the City Council.
SECTION 7.16 Administration of Budget
(a) No payment may be made or obligation incurred against any allotment or appropriation except in
accordance with appropriations duly made, unless the City Manager, or the City Manager's
designee, first certifies that there is a sufficient unencumbered balance in the budget and that
sufficient budget funds are or will be available to cover the claim or meet the obligation when it
becomes due and payable.
(b) Any authorization of payment or incurring of obligation in violation of Subsection (a) of this Section
is void and any payment so made illegal.
(c) This prohibition does not prevent the making or authorizing of payments, or making of contracts for
capital improvements to be financed wholly or partly by the issuance of bonds, time warrants,
certificates of indebtedness, or certificates of obligation, or to prevent the making of any contract or
lease providing for payments beyond the end of the fiscal year, providing that such action is made or
approved by ordinance.
(d) The City Manager must submit to the City Council each month a report covering the revenues and
expenditures of the City in such form as requested by the City Council.
SECTION 7.17 Depository
All monies received by any person, department or agency of the City for or in connection with the affairs of
the City must be deposited promptly in the City depository or depositories. The City depositories must be
designated by the City Council in accordance with such regulations and subject to the requirements as to
security for deposits and interest thereon as may be established by ordinance and law. Procedures for
withdrawal of money or the disbursement of funds from the City depositories may be prescribed by
ordinance.
SECTION 7.18 Independent Audit
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When deemed necessary by the City Council, it may call —and at the close of each fiscal year —must call for
an independent audit of all accounts of the City by a certified public accountant. No more than five
consecutive annual audits may be completed by the same firm. The certified public accountant selected may
have no personal interest, directly or indirectly, in the financial affairs of the City or any of its officers. The
report of audit, with the auditor's recommendations, will be made to the City Council. Upon completion of
the audit, the summary must be published immediately in the official newspaper of the City and copies of
the audit placed on file in the office of the person performing the duties of City Secretary, as a public record.
SECTION 7.19 Power to Tax
(a) The City has the power to levy, assess and collect taxes of every character and type for any
municipal purpose not prohibited by state or federal law.
(b) The City has the power to grant tax exemptions in accordance with the laws of the State of Texas.
SECTION 7.20 Office of Tax Collector
There must be an office of taxation to collect taxes, the head of which is the City Tax Collector. The City
Council may contract for such services.
SECTION 7.21 Taxes; When Due and Payable
(a) All taxes due in the City are payable at the office of the City Tax Collector, or at such location or
locations as may be designated by the City Council, and may be paid at any time after the tax rolls
for the year have been completed and approved. Taxes for each year must be paid before February
1 of the next succeeding year, and all such taxes not paid before that date are delinquent, and
subject to penalty and interest as the City Council may provide by ordinance. The City Council may
provide discounts for the payment of taxes before January 1 in amounts not to exceed those
established by state law.
(b) Failure to levy and assess taxes through omission in preparing the appraisal rolls does not relieve the
person, firm or corporation so omitted from obligation to pay such current or past due taxes as
shown to be payable by recheck of the rolls and receipts for the years in question, omitting penalty
and interest.
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SECTION 7.22 Tax Liens, Liabilities and Suits
(a) All taxable property located in the City on January 1 of each year is charged from that date with a
special lien in favor of the City for the taxes due. All persons purchasing any such property on or
after January 1 in any year take the property subject to the liens provided above. In addition to
these liens, on January 1 of any year, the owner of property subject to taxation by the City is
personally liable for the taxes due for that year.
(b) The City has the power to sue for and recover personal judgment for taxes without foreclosure, or
to foreclose its lien or liens, or to recover both personal judgment and foreclosure. In any such suit
where it appears that the description of any property in the City appraisal rolls is insufficient to
identify such property, the City has the right to plead a good description of the property to be
assessed, to prove the same, and to have its judgment foreclosing the tax lien or for personal
judgment against the owners for such taxes.
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CITY OF ANNA, TEXAS
Ordinance
Ordinance Adopting the Budget for the 2018 — 2019 Fiscal Year
A ORDINANCE MAKING APPROPRIATIONS FOR THE SUPPORT OF THE CITY OF ANNA
FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2018 AND ENDING SEPTEMBER 30,
2019; APPROPRIATING MONEY TO AN INTEREST AND SINKING FUND TO PAY
INTEREST AND PRINCIPAL ON THE CITY'S INDEBTEDNESS; AND ADOPTING THE
ANNUAL BUDGET OF THE CITY OF ANNA FOR THE 2018 — 2019 FISCAL YEAR.
WHEREAS, the budget, appended hereto as Exhibit A, for the fiscal year beginning October
1, 2018 and ending September 30, 2019, was duly presented to the City Council by the City
Manager and a public hearing was ordered by the City Council and a public notice of said
hearing was caused to be given by the City Council and said notice was published in the Anna -
Melissa Tribune and said public hearing was held according to said notice; now, therefore,
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ANNA THAT:
/'ft� SECTION 1. The appropriations for the fiscal year beginning October 1, 2018, and ending
September 30, 2019 for the support of the general government of the City of Anna, Texas, be
fixed and determined for said terms in accordance with the expenditures shown in the City's
fiscal year 2018 — 2019 budget, a copy of which is appended hereto as Exhibit A;
,�.
SECTION 2. The budget, as shown in words and figures in Exhibit A, is hereby approved in
all respects and adopted as the City's budget for the fiscal year beginning October 1, 2018
and ending September 30, 2019.
SECTION 3. That there is hereby appropriated the amount shown in said budget necessary
to provide for an interest and sinking fund for the payment of principal and interest and the
retirement of the bonded debt requirements of fiscal year 2018 — 2019 of the City of Anna.
SECTION 4. In addition to Exhibit A, and in accordance with Section 7.08 of the Anna City
Charter, the budget also includes a contingency appropriation of $202,794 in the General
Fund and $109,885 in the Utility Fund. All expenditures from this contingency appropriation
shall be in accordance with Section 7.08 of the Anna City Charter.
PASSED AND APPROVED by record roll call vote on this, the 11th day of September, 2018.
Ayes Nays Abstained
ATTESTED: APPROVED:
Carrie L. Smith, City Secretary Nate Pike, Mayor
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Glossary of Terms
Accrual
Method of accounting that recognizes the financial effect of transactions, events, and
inter -fund activities when they occur, regardless of the timing of related cash flows.
Ad Valorem Tax
A tax computed from the assessed evaluation of land and improvements.
Assigned Fund
Fund balance amounts a government intends to use for a specific purpose; intent
Balance
can be expressed by the governing body or by an official or body which the
governing body delegates the authority.
Balanced Budget
A budget adopted by the legislative body and authority by ordinance where the
proposed expenditures equal to or less than the proposed resources.
Appropriation
An authorization made by the legislative body a government which permits officials to
incur obligations against and to make expenditures of governmental resources.
Specific appropriations are usually made a the fund level and are granted for a one
year period.
Assessed Valuation
A value that is established for real or personal property for us as a basis for levying
property taxes. (Note: Property values are established by the Central Appraisal
District.)
Assets
Resources owned or held by the City which have monetary value.
Bonds
A written promise to pay a sum of money on a specific date at a specific interest rate.
The interest payments and the repayment of the principal are detailed in a bond
ordinance. The most common types of bonds are general obligation bonds and
revenue bonds.
Budget
The City's financial plan for a specific fiscal year that contains both the estimated
revenues to be received during the year and the proposed expenditures to be
incurred to achieve related objectives.
Budget Document
The compilation of the spending plans for the various funds, along with supporting
schedules, tables and charts which, in total, comprises the annual revenue and
expenditure plan.
Capital Expenditures
Expenditures, which result in the acquisition of or addition to fixed assets.
Capital Improvements
The process of planning, monitoring, programming, and budgeting over a multi -
Plan
year period to allocate the City's capital monies.
Certificates of
Similar to general obligation bonds except the certificates require no voter
Obligation
approval.
Committed Fund Fund balance amounts constrained to specific purposes by a government itself,
Balance using its highest level of decision -making authority; to be reported as committed,
amounts cannot be sued for any other purpose unless the government takes the
same highest -level action to remove or change the constraint.
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Component Unit
Current Taxes
Anna
Component units are legally separate organizations that must be included in the
financial report of the primary government.
Taxes that are levied and due within one year.
Debt Service Fund A fund used to account for the monies set aside for the payment of interest and
principal to holders of the City's general obligations and revenue bonds, the sale of
which finances long-term capital improvements, such as facilities, streets and
drainage, parks and water/wastewater systems.
Department
A functional unit of the city containing one or more divisions or activities.
Delinquent Taxes
Taxes that remain unpaid on and after the date on which a penalty for non-payment
is attached.
Enterprise Fund
A fund established to account for operations that are financed and operated in a
manner similar to private business enterprises, where the intent of the governing
body is that the costs of providing goods or services to the general public on a
continuing basis be financed or recovered primarily through user charges.
Effective Tax Rate
A calculated rate that would provide about the same amount of revenue received in
the year before on properties taxed in both years.
Encumbrances
Obligations in the form of a purchase order, contracts, or salary commitments which
are chargeable to an appropriation and for which a part of the appropriation is
reserved. When paid, the encumbrance is liquidated.
Expenditures
The cost of goods received or services rendered whether cash payments have been
made or encumbered.
Fiscal Year
A twelve-month period designated as the operating year for accounting and
budgeting purposes in an organization. The City of Anna has specified October 1st
to September 30th as its fiscal year.
Fixed Assets
Assets of a long-term character which are intended to continue to be held or used,
such as land buildings, improvements, and infrastructure.
Full Time Equivalent
A unit of measure based on the number of hours that an employee works during
(FTE)
the fiscal year. One FTE is equal to 2080 hours.
Fund
An accounting entity that has a set of self -balancing accounts and that records all
financial transactions for specific activities or government functions. Eight commonly
used funds in public accounting are: general fund, special revenue fund, debt service
funds, capital projects funds, enterprise funds, trust and agency funds, internal
service funds, and special assessment funds.
Fund Balance
The excess of a fund's current assets over its current liabilities; sometimes called
working capital in enterprise funds. A negative fund balance is often referred to as a
deficit.
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General Fund
The fund used to account for all financial resources except those required to be
accounted for in another fund. The General Fund is tax supported.
General Obligation
Monies owed on interest and principal to holders of the City's general obligation
Debt
bonds. The debt is supported by revenue provided from real property which is
assessed through the taxation power of the local governmental unit.
Governmental Funds
Those funds through which most governmental functions typically are financed. The
acquisition use and financial resources and the related current liabilities are
accounted for through governmental funds. (General, Special Revenue, General
Debt Service, General Capital Projects)
Infrastructure
That portion of a city's assets located at or below ground level, including water
system, sewer system, and streets.
Liabilities
Debt or other legal obligations arising out of transactions in the past which must be
liquidated, renewed, or refunded at some future date. The term does not include
encumbrances.
Levy
To impose taxes, special assessments, or service charges for the support of
governmental activities.
Modified Accrual
The accrual basis of accounting adapted to the governmental fund type spending
Basis
measurement focus. Under this basis, revenues are recognized when they become
both "measurable and available to finance expenditures with the current period."
Expenditures are recognized when the related fund liability is incurred.
Non -Spendable
Fund balance amounts which are not in a spendable form (such as inventory) or
Fund Balance
are legally or contractually required to be maintained intact.
Operating Budget
Plans of current expenditures and the proposed means of financing them. The
annual operating budget is the primary means by which most of the financing,
acquisition, spending, and service delivery activities of the city are controlled.
Operating
Fund expenditures which are directly related to the fund's primary service
Expenditures
activities.
Operating Revenues
Fund revenues, which are directly related to the fund's primary service activities.
They consist primarily of user charges for services.
Performance
Specific quantitative measure of work performed within an activity or program.
Measures
They may also measure results obtained through an activity or program.
Revenues
All amount of money received by a government from external sources.
Restricted Fund
Fund balance amounts constrained to specific purposes by their external
Balance
providers (such as grants or bondholders), through constitutional provisions or by
enabling legislation.
Rollback Tax Rate
Provides the taxing unit with about the same amount of tax revenue it spent the
previous year for day-to-day operations, plus an extra eight percent increase for r..�
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Anna
those operations and sufficient funds to pay debts in the upcoming year. It is a
calculated maximum rate allowed by law without voter approval.
Special Revenue
A Special Revenue Fund is a governmental fund that is used to account for the
proceeds of specific revenue sources that are restricted or committed for a specific
project and purpose, other than debt service or capital projects.
Tax Rate
A percentage applied to all taxable property to raise general revenues. It is derived
by dividing the total tax levy by the taxable net property valuation.
Taxes
Compulsory charges levied by a government for the purpose of financing services
performed for the common benefit.
Tax Roll
The official list showing the amount of taxes levied against each taxpayer or property.
Unassigned Fund
Any fund in excess of non -spendable, restricted, committed, and assigned
Balance
components; these fund balance amounts that are available for any purpose. These
amounts are reported only in the General Fund.
Working Capital
Budgeted working capital is calculated as a fund's current assets less current
liabilities plus current portion of long-term debt.
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