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02/29/1984 - Packet Wr✓' %Wow TIGARD BUDGET COMMITTEE - FEBRUARY 29, 1984 - 7:30 p.m. FOWLER JUNIOR HIGH-LGI ROOM-10865 S.W. WALNUT, TIGARD, OR. 97223 7:30 1. CALL TO ORDER 7:35 2. ROLL CALL. Hoffman Evans Edwards Smith Duffy Bishop Brian Cook Scheckla Scott 7:40 3. APPROVE MINUTES 7:45 4. STAFF UPDATE 5. POLICY & ADMINISTRATION: 8:00 o Overview, City Administrator o Mayor & City Council Division o City Administration 8:30 6. GENERAL GOVERNMENT o Finance Director o City Attorney 9:30 7. MISCELLANEOUS 10:00 8. ADJOURN (0197F) COST - SAVINGS ANALYSIS PAST ACCOUNTING APPLICATIONS 1980-81 1981-82 1982--83 198184 Costs Savings Costs Savings Costs Savings Costs Savings Personal Services 20,000 33,800 51,000 10,000 10,000 Material & Services Professional Services 4,350 1,600 8,460 Rents and Leases 273 3,276 3,276 Hardware Maintenance 4,956 4,956 6,018 6,018 ftware maintenance 651 Supplies 3,300 5,070 1,500 2,265 Capital Outlay Software 15,320 3,040 Hardware 42,035 Overhead (15%) 10,000 784 3,495 2,090 5,830 4,486 9,490 76,660 __0- 6,013 26,795 16,024 44,700 34,391 72,755 Net <76,660> 20,782 28,676 38,364 Cumulative Net <76,660> <55,878> <27,202> 11, 162 Service Levels II III II I Accounts Payable Checks 2,356 2,675 114% 3,706 139% Payroll/Benefits Checks 1,848 2, 190 119% 2,778 127% wer Receipts 2, 156 2,831 131% 4,831 171% wer/Storm Billings 17,429 18,373 105% 19,745 107% Assessment Billings 310 496 160% 752 152% $LID Projects-New 979,917 2,205,450 489,757 1980-81 Costs: Kept Dual Systems; Prof. Serv. - Coopers & Lybrand fee. 1981--82 Costs: Add Printer on Contract plus TC, modem, etc. (1 mo. ) . Savings: Add 1 .3 FTE. to provide Level III w/o computer and 15% for supplies; 1982--83 Costs: Paid Cogebec for Payroll and Business Licenses . Savings: Add 2.0 FTE (includes 1 .3 from 1981-82); 1983-84 Costs: Overtime and temporary to handle added charge for impervious surfaces; Install new Utility Billing Program. Savings: Avoid hiring 1 .0 FTE (plus keep 2.0 from previous year) COST SAVINGS ANALYSTS February 29, 1984 SUMMARY COMPARISONS 1984-85 1985--86 1986-87 1987-88 1988-89 Costs Savings Costs Savings Costs Savings Costs Savings Costs Savings Option A: Conversion to VS hardware and software in 1984-85, avoiding costs associated with keeping current MVP and OIS hardware, and Cogebec software. .1ounting Applications 87,354 97,384 78,601 99,671 114,956 124,500 106, 101 146,065 116,710 143, 190 Support Services Applic. 54,977 68,977 56,309 62,138 49,201 54,551 56,159 60,536 56,504 61,909 Other Current Applic, 12,88_0 6,104 31,839 34,337 20,125 47,073 13,225 40,834 13,225 41,495 Subtotals 155,211 172,465 166,749 196,146 184,282 22.6,124 175,485 247,435 186,439 246,594 Net 17,254 29,397 41,842 71,950 60, 155 Cumul . Net 17,254 46,651 88,493 160,443 220,598 COST SAVINGS ANALYSIS February 29, 1984 SUMMARY COMPARISONS 1984-85 1985-86 1986-87 1987-88 1988--89 Costs Savings Costs Savings Costs Savings Costs Savings Costs Savings Option B: Conversion to MVP , ovErn software in fI 1� 85, avoiding costs I associated with the Cogebec sofeware. Accounting Application 74,591 83,354 98,641 99,671 1113,850 124,500 107,870 146,065 121,670 143,190 Support Services Applic. 38, 127 49,282 56,949 52,349 49,277 44,677 56, 177 51,577 63,365 58,765 Other Current Applic. 10,506 _11, 167 25,964 _26,626 _14,154 44,042 _ 7,254 3�.7_,143 _ 7,254 _41,242 Subtotals 123,224 143,803 181,554 178,646 177,281 213,219 171,301 234,785 192,289 243, 197 Net 20,579 <2,908> 35,938 63,484 50,908 Cumul. Net 20,579 17,671 53,609 117,093 168,001 OPTION A: Conversion to the Wang VS Hardware and VS GovErn Software in 1984-85 1984-85 1985-86 1986-87 1987-88 1988-89 Accountinq Applications Costs Savings Costs Savings Costs Savings Costs Savings Costs Savings Personal Services 21,500 21.,500 22,500 43,500 45,000 67,000 47,000 70,000 50,000 85,000 Temporary or Overtime 10,000 20,000 5,000 10,000 10,000 10,000 5,000 5,000 Materials and Services Professional Services 11,000 8,000 9,000 9,000 ! 10,000 Rents and Leases 29,675 3,011 26,664 26,664 26,664 i 26,664 Hardware Maintenance 6,372 7,446 6,732 8, 146 7,848 8,410 7,848 11,014 7,848 11,014 . oSftware Maintenance 3,688 3,688 3,700 3,700 3,725 )P plies 4,725 6,225 4, 125 8,025 6,750 11,550 7,050 12,000 8,250 13,500 Capital Outlay Software 3,000 i Hardware 15,500 6,000 10,000 2,300 15,000 Overhead (15%) 11,394 12,702 _10,250 13,000 114,994 16,240 13,839 19,050 15,223 18,676 Subtotals 87,354 97,384 78,601 99,671 , 114,956 124,500 106,101 146,065 116,710 143,190 Cum. Net 10,030 31, 100 40,644 80,608 107,088 Service Level II III II III II III II III II 1984--85 Costs: Contracts - End "old" contract ($3,011) plus new 5-year lease purchase (26,664) for GovErn Software and installation ($39,000) and VS Hardware, some used ($60,000) . Savings: In addition to 1 .0 in "costs", avoid adding extra temporary to work through computer down time; avoid Prof. Serv. costs to Cogebec for reprogramming; avoid supplies used for long reports; add CRT and 4--part multiplexer; sell MVP Hardware. 1985-86 Savings: Avoid 1.0 New FTE; avoid Prof. Serv. costs to Cogebec for reprogramming; avoid adding software packages for reports and budget (independent of data banks) to provide Level III; add printer. 10' . 87 Costs: Add 1 .0 FTE to continue Level III; add CRT' and printer. Savings: Avoid adding additional 1 .0 FTE; avoid Pt Assional Serv. costs to Cogebec; avoid adding a CRT. 198_7-••88 Savin s: Avoid Professional Serv. costs to Cogebec; avoid adding disk drive and memory upgrade. 1988-89 Savings: Avoid adding 1 .0 FTE; avoid Professional Serv. to Cogebec. NOTE: In 1989-90, lease is ended so annual costs decrease by $26,664. OPTION A: Conversion to the Wang VS Hardware and VS GovErn Software in 1984-85 1984-85 1985-86 1986-87 1987-88 1988-89 II III II III II II II Support Serv. Applications Costs Savings Costs Savings Costs Savings Costs Savings Costs Savings Personal Services 5,000 19,000 25,000 19,000 25,000 19,000 25,000 19,000 25,000 Temporary or Overtime 5,000 5,000 5,000 5,000 5,000 5,000 10,000 10,000 10,000 10,000 Materials and Services Professional Services Rents and leases 23,000 18,080 6,420 1,921 4,500 4,500 4,500 41rdware Maintenance 4,056 6,700 4,944 7,612 5, 184 7,936 5,484 8,260 5,784 8,584 ftware Maintenance Supplies 750 1,500 3,600 4,500 3,600 4,500 4,350 5,250 4,350 5,250 Capital Outlay Software math pak? Hardware 15,000 23,700 10,000 10,000 5,500 5,000 5,500 5,000 5,500 5,000 Overhead (15%) _7,177 8,997 7 345 _81005 _6,417 7, 115 _7,325 _8,026 _7,370 8,075 Subtotal 54,977 68,977 56,309 62, 138 49,201 54,551 56, 159 60,536 56,504 61,909 Cum. Net 14,000 19,829 25, 179 29,556 34,961 Service level II III III III III 1984--85 Costs: Eleven mo, remaining on Imperial Agree. (13,470) and Allco Agree. for 12-mo. (4,610) plus new agree. (5 yr. ) to upgrade CRTs and add ($4,093/yr. ); add VS archiving and regular workstation. Savings: Archiving time is decreased on the VS; avoid adding two OIS workstations and an OIS upgrade; sell OIS CPU ($10,000) . 1985--86 Costs: Five mo. remaining on Allco Agree. (1921); add 1 workstation and printer possibly for off-site. Savings: Add workstation and printer (OIS) 1r87 Costs: Add VS workstation with PC capabilities. Savings: Add OIS workstation. 15_ : 88 Costs: Add VS workstation with PC capabilities. Savings: Add OIS workstation. 1988-89 Costs: Add VS workstation with PC capabilities. Savings: Add OIS workstation. OPTION A: Conversion to the Wang VS Hardware and VS GovErn Software in 1984-85 1984-85 1985-86 1986-87 1987-88 1988.1-89 Other Current Applications Costs Savings Costs Savings Costs Savings Costs Savings Costs Sav_ ings (Engineering & Court) Personal Services 2,000 2,000 22,000 22,000 22,000 Temporary or Overtime 5,000 5,500 6,000 6,500 Materials and Services Professional Services Rents and Leases 6,000 3,686 3,000 3,000 3,000 Hardware Maintenance 4,000 1,808 6,000 3,808 6,000 3,808 6,000 3,808 6,000 3,808 1ftware Maintenance 1,200 1,200 2,000 2,000 2,500 2,500 2,500 2,500 2,500 2,500 pplies 300 1,050 1, 125 1,200 1,275 Capital Outlay Software 6,000 6,000 6,000 6,000 Hardware 10,000 10,000 Overhead (15X) _1,680 796 4, 153 _4_,479 2,625 6, 140 1,725 5,326 113,225 1,725 5,412Subtotal 12,880 6, 104 31,839 34,337 20,125 47,073 13,225 40,834 41,495 Cum. Net <6,776> <4,278> 42,795 83,629 125, 124 Service Level Engineering Service Level Court II III III III III 1984-85 Costs: Add Court software and Engineering hardware (CPU & Disk Drive) to 5-yr. Lease Purchase plus remaining on agreements ($3, 128) . Savings: Save personnel time by decreasing down time for court. 1985-86 Costs: Remaining share on Allco agreement (770); Engineering software and hardware. Savings: Avoid overtime for increase workload. 1986--87 Costs: Engineering software. Sav_i_ngs: Adding 1 .0 FTE for maps. OPTION B: Keep MVP and OIS hardware and changing to MVP GovErn in 1984-85. 1984--85 1985-86 1986-87 1987-88 1988-89 Accountinq Applications Costs Savings I Costs Savings Costs Savings Costs Savings Costs Savings Personal Services 21,500 21,500 43,500 43,500 45,000 67,000 47,000 70,000 50,000 85,000 Temporary & Overtime 10,000 20,000 10,000 10,000 10,000 10,000 10,000 15,000 5,000 Materials and Services Professional Services 11,000 8,000 9,000 9,000 10,000 Rents and Leases 20,000 3,011 16,800 16,800 16,800 16,800 Hardware Maintenance 6,372 7,446 7,200 8, 146 7,700 8,410 7,700 11,014 8,000 11,014 Software Maintenance 3,750 3,750 3,750 3,750 3,750 pplies 3,240 6,225 6,525 8,025 8,250 11,550 8,550 12,000 9,750 13,500 G tal Outlay Software 3,000 3,000 Hardware 3,300 5,000 6,000 7,500 2,300 15,000 2,500 Overhead (15%) 9,729 10,872 12,866 23,000 14,850 _16,240 14,070 19,050 15,870 18,676 Subtotals 74,591 83,354 98,641 99,671 113,850 124,500 107,870 146,065 121,670 143, 190 Cum. Net 8,763 9,793 20,443 58,638 80, 158 Service Level II II II II II 1984-85 Costs: Part-time for down-time and start-up; pay remaining Imperial lease (3011), and have 5-yr. lease-purchase for software, installation, and hardware (16,800) . Savings: Add CRT, and memory and disk upgrade; Part-time to help during lengthy down-time and start-up; avoid contracting with Cogebec for programming. 1985-86 Costs: Add 1 .0 FTE to work on special reports, not output from MVP; add hardware upgrade and report software. Savings: Avoid adding a CRT, multiplexer, and software for reports. 1986-87 Costs: Add Multiplexer and printer. Savings: Avoid adding a CRT. 19_87-88 Costs: Savings: Avoid adding upgrade and disk drive. Lf 189 Costs: Add a CRT. Sam: Avoid adding 1 .0 for increased workload. OPTION B: Keep MVP and OIS hardware and changing to MVP GovErn when necessary 1984-85 1985-86 1986-87 1987-88 1988•-89 Su ort_.Serv. Applications Costs Savings Costs Savings Costs Savings Costs Savings Costs Savings Personal Services 19,000 19,000 19,000 19,000 19,000 19,000 19,000 19,000 Temporary & Overtime 5,000 5,000 5,000 5,000 5,000 5,000 10,000 10,000 15,000 15,000 Materials and Services Professional Services Rents and Leases 2.2,080 18,080 5,921 1,921 4,000 4,000 4,000 Hardware Maintenance 5,324 5,324 6,000 6,000 6,250 6,250 6,500 6,500 7,000 7,000 Software Maintenance ` pplies 750 750 3,600 3,600 3,600 3,600 4,350 4,350 5,100 5,100 G. tal Outlay Software Hardware 13,700 10,000 10,000 5,000 5,000 I 5,000 5,000 5,000 5,000 Overhead (15X) 4,973 6,428 . 7,428 .6 828 ...6,427 .5,827 7,327 6,727 8,265 7,665 Subtotals 38, 127 -49,282 -56,949 52,349 -49,277 44,677 56,177 51,577 63,365 58,765 Cum. Net 11,155 6,555 1,955 <2,645> <7,245> Service Level II III III III :CII 1984-85 Costs: Remaining amount on Imperial (13,470) and Allco (4,610) plus 2 CRTs and upgrade to OIS on new agree. (4,000) . Savings: Avoid adding 2 CRTs and upgrade. 1985-86 Costs: Remaining on Allco (1,921); add CRT and printer. Savings: Avoid adding CRT and Printer. 1986-87 Costs: Add CRT. 1987-88 Costs: Add CRT. 1988-89 Costs: Add CRT. OPTION B: Keep MVP and OIS hardware and changing to MVP GovErn when necessary 1984-85 1985-86 1986-87 1987-88 1988--89 Other Current Applications Costs Savings Costs Savings Costs Savings Costs Savings Costs Savings Personal Services 22,000 2.2,000 25,000 Temporary & Overtime 500 500 600 600 700 Materials and Services Professional Services Rents and Leases 3, 128 3, 128 770 770 Hardware Maintenance 1,808 1,808 3,808 3,808 3,808 3,808 3,808 3,808 3,808 3,808 Software Maintenance 1,200 1,200 2,000 2,000 2,500 2,500 2,500 2,500 2,500 2,500 plies 75 75 3,390 3,390 3,855 C,.,> tal Outlay Software 1,000 1,000 6,000 6,000 6,000 6,000 Hardware 2,000 2,000 10,000 10,000 , Overhead (15%) 1,370 __1,456 _ 3,386 3,473 I 1,846 5,744 946 4,845 946 5,379 Subtotals 10,506 11, 167 25,964 26,626 14, 154 44,042 7,254 37,143 7,254 41,242 Cum. Net 661 1,323 I 31,211 61. 100 95,088 Service Level II III III ' III I III 1984-85 Costs: Court software upgrade to save 500--700 annually; remaining Imperial agree. plus share of Allco (3,128); add upgrade for Engineering. Savings: Add software and hardware. 1985-86 Costs: Remaining share of Allco (770); Engineering software and hardware (savings also) . O'DONNELL. DATE February 21, 1984 SULLIVAN & RAMIS ATTORNEYS AT LAW 14iow; TO Tigard Budget COittee 1727 N W HOYT STREET PORTLAND. OREGON 97209 15031222-4402 FROM Tim Ramis, City Attorney RE 1984-85 Budget Allocation The purpose of this memorandum is to provide you with a perspective on the budget for the city attorney. At present the budgeted amount for fiscal year 1984-85 is $15, 000 . We will be available to provide that level of service; however, the city must recognize: 1. There will be insufficient funds to allow for review of ongoing city activities and the result may be costly lawsuits which the city will be required to defend. The new wave of lawsuits is against municipalities . 2. The actual cost for legal services of necessity will greatly exceed the amount allocated and this will create uncertainty with regard to staff levels. The city will find itself in a position of having to cut staff to pay legal bills . Legal issues continue to arise. The recent election ordinance is an example. 3. The city does not have adequate procedures in place to operate without the review by legal staff and hence is susceptible to lawsuits. Developing procedures has been the focus of the 1983-84 budget '+ year. The following chart is intended to show that the budgeted amount is not realistic. It shows the 1983-84 expenditures for the following jurisdictions : Number Dollar Jurisdiction Population Staff Att. Amount Beaverton 32 , 000 3 $ 221, 900 Lake Oswego 23, 000 2 $ 134 , 132 Oregon City 14 , 300 Contract $ 48 , 000 Tualatin 9, 750 Contract $ 28 , 600 TVR: sw 2/21/84 S E W E R C L E A N E R F�. The city sewer cleaning machine is a 1968 unit mounted on a 1971 chassis . Parts are getting hard to get and the lead time on parts is very high, if you can get them at all . Operations costs for the last six months alone has been over $1, 200 .00 with 784 hours of down-time . The water tank is in bad shape and needs to be replaced . The hydraulic system is giving many problems and is in need of much repair. This machine is an emergency piece of equipment and needs to be available twenty-four hours a day . Used and older sewer cleaning machines are capable of only 1000-1200 P.S. I . maximum operating pressures . This is insuffic- ient for cleaning grease from lines and necessitates several runs into a line to remove rock, debris and grease . New cleaning machines are capable of operating pressures of 2000 P .S . I . plus . This is sufficient pressure to clean grease and debris from the line . This will also require less time spent in the line and the number of times you have to run a line . Older machines carry 1000 gallons of water which makes for fre- quent trips to fill with water, where as a new machine will carry 1500-2000 gallons of water, requiring less trips to fill with wat- er, giving more time on the job site for productivity . It is estimated that the above mentioned advantages with a new machine will increase our line-cleaning and T.V. inspection footage by 45-55%. Equipment repair and labor cost will drop by 7076, parts cost 80% and down-time 85% for the first two ,years in-service . With the new machine, it will allow us to meet our goals to clean all the city ' s storm and sewer line in three years and take care of the other problems that arise . r M E M O R A N D U M DATE: February 17, 1984 TO: Budget Chairman and Committee Members, City of Tigard FROM: Jerri L. Widner, Finance Director, City of Tigard `�`f SUBJECT: SHARED REVENUE PROJECTIONS 1984-85 The requested and proposed budget revenues were based on forecasting from the six month data. The liquor tax shared revenues were projected to be substantially lower than 1983-84 budget based on the revenue already received. The payment we received this week was $34,000. Since our last two receipts have been $2,000 and $5,000 respectively, I was really concerned about our budget projections. I contacted the League of Oregon Cities and OLCC to find out why our payments have been so varied. Apparently, OLCC purchased large inventories in the fall months in time for the holiday season. During these months our revenues are very low. In fact, the lowest we received was only 20% of our average. The payments after the first of the year are much higher and the one we just received was three times our average. Therefore, when we prepare the recommended budget, we will be able to adjust the following revenues upward: page 4 line item 410 $ 38,800 line item 411 132,000 page 9 line item 413 300,000 For general fund purposes, we will have a net increase in revenues of $72,000. The State Tax Street Fund will have an increase in revenues of $34,000. These changes are based on per capita rates of $2.13 for cigarette revenue; $7.80 for liquor revenue and $16.50 for State Gas Tax. The population used for the calculation is 18,200. Last year, the League of Oregon Cities advised us to use $8.13 per capita for liquor. After talking with them yesterday, I found out that the actual receipts this year will probably be $7.69. Rather than use their 1984-85 projection of $7.80, I multiplied our average of $11,000 per month x 12. Usually the population factor is computed at actual for six months and then inflated for six months. Because of the decreasing revenue receipts, we have been experiencing, I conservatively used only our current population. (200F) BUDGET FOLLOW-UP FROM FEBRUARY 15, 1984 MEETING 1. The Budget Committee requested that medical/dental benefits be recomputed to reflect the current status of employees. The League of Oregon Cities negotiates the premiums for the plans. This process is not started until April of each year, therefore I have factored in a 15% inflation to the current premiums consistent with the labor contract settlements. I would caution that some of the current employees are single or have only 1 dependent. If these employees were to add dependents, it could change the premium cost to the City. If there is turnover in personnel that are primarily in the single or 1 dependent bracket and are replaced with personnel with families, the premium cost could be more. Revised Requested Revised Proposed Requested Requested Difference Proposed Proposed Difference Community Services: Police Admin. 6,060 6,060 (25) 6,035 6,035 (25) Patrol 59,904 56,694 (3,210) 49,152 47,484 (1,668) Investig. 13,824 13,815 (9) 9,216 9,210 (6) Support 21,504 20,871 (633) 21,504 20,871 (633) Police Subtotal 101,292 97,415 (3,877) 85,932 83,600 (2,332) Finance Admin. 10,080 9,105 (975) 2,500 3,584 1,084 Acctg. 8,820 7,894 (926) 8,820 7,894 (926) Support 10,080 9,145 (935) 10,080 9,145 (935) Finance Subtotal 28,980 16,144 (2,836) 21,400 20,623 (777) Municipal Court 1,260 1,234 (26) 1,260 1,234 (26) Library 17,640 10,238 (7,402) 3,569 6,482 2,913 Community Service Total 149,172 135,031 (14,141) 112,161 111,939 (222) Community Development: Public Wks. Admin 5,040 4,936 (104) 5,040 4,936 (104) Wastewater 16,380 15,708 (672) 16,380 15,708 (672) Streets 11,550 11,055 (495) 11,550 11,055 (495) Parks 5,670 5,553 (117) 3,150 3,085 ( 65) Shop 9,030 5,394 (3,636) 9,030 5,394 (3,636) Engineer. 20,160 19,676 (484) 20,160 19,676 (484) Public Works Subtotal 67, , 830 62,322 (5,508) 65,310 59,854 (5,456) Planning Admin. 5,040 4,902 (138) 5,040 4,902 (138) Bldg. 8,080 5,711 (2,369) 8,080 5,711 (2,369) Planning 5,040 3,584 (1,456) 5,040 3,584 (1,456) Planning Subtotal 18,160 14,197 (3,963) 18,160 12,963 (5,197) Community Dev. Total 85,990 76,519 (9,471) 83,470 72,817 (10,653) Policy & Administration: Mayor & Council 12,600 9,872 (2,728) -0- -0- -0- Administration 7,560 7,404 (156) 6,300 6,787 487 ,* ,ulicy/Admin. Subtotal 20,160 17,276 (2,884) 6,300 6,787 487 GRAND TOTALS 255,322 228,826 (26,496) 201,931 191,543 (10,388) 2. It was also requested that more details be made available regarding the accounting division's Office Supplies and Expense requested and proposed budgets. The following is a "comparison of the 1983-84 budget and the 1984-85: 1983-84 1984-85 Printing Sewer Bills $ 2,000 $ 8,000 Receipts -0- 1,000 Budget 500 500 Checks 1,000 1,000 Misc. copy costs 1, 700 2,500 Stationery & Supplies 2,300 2,300 Bank Service Charges -0- 200 Postage 3,800 11,400 Total $11,300 $26,900 The postage gets less expensive if we mail more bills at a time: $.17 vs. $.20. Although our study has not been completed regarding monthly billing cycles, we have included this possibility in the budget process. Reasons for going to monthly cycles are briefly: Increased cash flow for investment purposes, less overtime and part-time help to accommodate rate changes, easier for citizens to pay a smaller amount monthly rather than an amount three times as much quarterly, billings will be going out on schedule, will be able to change the billing form to a less expensive kind. Further update information will be provided at the budget committee meeting. (0199F) 44wo, PAC,- ; MEMORANDUM CITY OF TIGARD, OREGON TO: Mayor and City Council February 23, 1984 FROM: Deputy City Recorder, Loreen Wilson SUBJECT: Council Mail Per Council policy, when a request is received from a Councilor for information, each Councilor should receive a copy of that information. Councilor Scheckla requested a copy of the attached summary of the 1984-85 Engineering Division's Budget. lw SUMMARY 1984-85 ENGINEERING DIVISION 13UDGET PERSONNEL GENERAL SAN.SEW. STORM SEW ST.STREET STREET PARK SERVICES: FUND FUND FUND TAX FUND SDC FUND SDC FUND TOTAL (JH) Engr Supt 30%+5% 15% 10% 10% 25% 5% (BT) Crew Chief 30% 25% 10% 20% 10% 5% (BL) Tech II 10% 25% - 20% 35% 10% (RC) Crew Chief 10%+20% 15% 20% - 30% 5% (BB) Tech II 30% 20% 15% - 30% 5% (TM) Tech I 30% 20% 15% - 30% 5% (NEW) Aide 10% 25% 20% 20% 15% 10% (NEW) EIT 60% 10% 10% - 10% 10% (8 = 100% Manhours) 0.8 + 1.55 1.55 1.0 0.7 1.85 0.55 10% + 19% 19% 12% 9% 24% 7% Sub-Totals $70,957 $46,489 $29,362 $22,021 $58,723 $17,128 $244,680 (24468)+(46489) or (34.5%)+(65.5%) v 4TERIALS & SUPPLIES: Sub-Totals (M&S) $13,760 $9,890 $6,569 $4,270 $13,189 $3,322 $21,000** (4745)+(9015) or (34.5%)+(65.5%) CAPITAL OUTLAY: Sub-Totals (C.O.) $2,320 $2,320 (-0-)+(2,320) or (0%)+(100%) SOURCE TOTALS: Sub-Totals: $87,037 $56,379 $35,931 $26,291 $71,912 $20,450 $457,000 G.F. Expend: (29,213)+57,824) or (33.6%)+(66.4%) (Minus) Recov.Fees: 15,000 57,824 Net Cost (G.F. ) 14,213 -0- "NOTE: $159,000 for streetlights and traffic signals is not detailed by source under M & S. but is included in "total" column. . . " ,s Co. :z I G� s ale 0- ko9 1000> CITYOF TIGAM WASHINGTON COUNTY, OREGON February 24, 1984 Mayor and City Council City of King City, Oregon 15390 S.W. 116th Avenue King City, Oregon 97223 Subject: Library Services Contract Proposal Honorable Persons: For the last eight years, the citizens of the City of King City have enjoyed non-fee library access through the WCCLS system. Over 489 King City residents currently hold cards at the Tigard City Library. Additionally, the City of Tigard has provided the City of King City with large-print books through its outreach program. At this time, however, a new WCCLS levy is in jeopardy and the continuation of non-fee library services is threatened. The City of Tigard is interested in exploring possible intergovernmental alternatives with the City of King City to assure the continuance of low-cost library service to its citizens. Based on our direct service costs, the City of Tigard is considering a $50 per year charge for out of City users. If this were applied to King City residents, the cost to your citizen would range from $24,950 - $25,500. The per household cost equivalent was found to be $27.22, which at your 1,238 households would cost $33,698 per year. Alternatively, the City of Tigard respects the history of intergovernmental cooperation between the two communities and we would like to suggest a contract flat rate relationship for your consideration at a considerable savings to your community. The cost of administering individual card sales and the uncertainty as to the exact number of cards sold at the $50 rate is not ideal for us either. We would like to suggest that the two cities contract on the basis of the same tax rate equivalent applied to City of Tigard residents. Based on the Portland State University report on Urban Services, Tigard Library costs at $.26/$1,000 are the lowest and yet still provides full library service. If the $.26 rate were applied to your approximate $80,000,000 assessed value, an intergovernmental service contract allowing King City residents the same privileges as Tigard residents would cost approximately $20,000 per year. -- 12755 S.W. ASH PO. BOX 23397 TIGARD, OREGON 97223 PH 639-4171 Mayor and City Council City of King City, Oregon February 24, 1984 Page - 2 - The savings to King City residents would range from $4,950 minimum to $13,698 per year. The certainty of funding and the ease of administration make it attractive to the City of Tigard. This seems to offer potential as a classic "Win-Win" situation good for both communities. Please advise either Mrs. Irene Ertell, Tigard Librarian, or myself if you would care to discuss these concepts further. As always, thank you for your continued cooperation. Yours truly, CITY OF TIGARD Robert . Jean City Ad inistrator RWJ/pn (0314p) `YWw✓ M E M O R A N D U M CITY OF TIGARD, OREGON TO: Mayor and City Council February 27, 1984 FROM: Bob Jean, City Administrator SUBJECT: $2.2 Million City Building Bon Debt Service Costs I asked Rebecca Marshall of Foster & Marshall to recalculate the costs on the Sturgis site assuming a $2.2 million bond issue. Given the timing of our issue, it actually came out a little better than the approximate figures I gave you at the February 20, 1984 meeting. The first year tax rate cost is projected to be $.14 per thousand, then $.30 per thousand in the second year, and declining each year thereafter. The 25 year average tax rate cost will be $.1173 per thousand. These estimates are based on the same assumptions used in earlier data for the Space Needs III Report. Bonds were assumed to sell at 10% (current rates are slightly lower). Assessed value projections were those used in earlier analyses (although current development activity is actually stronger than projected). Stronger assessed value growth through annexations or new development along with a better bond market could significantly reduce these costs even further and faster. I feel, therefore, that these estimates should be reasonably reliable, although my calculations show that the costs might even be lower. RWJ/pn (0330p) fir M E M O R A N D U M CITY OF TIGARD, OREGON TO: Budget Committee February 27, 1984 r FROM: Bob Jean, City Administrator � . SUBJECT: Tax Rate Projections Assuming Ta Base and Building Bond The following are the 5-year projections for tax rates assuming voter approval of both the requested Tax Base and the City Building Bond: Assessed Tax FY Value (000) Tax Base (Rate) Building Bond (Rate) Rate (High) 1984-85 $ 838,128 $1,400,000 ($1.67) $ 110,000 ($.13) $1.80 1985-86 $ 921,940 $1,484,000 ($1.60) $ 253,250 ($.27) $1.87 1986-87 $1,041,135 $1,573,040 ($1.51) $ 254,500 ($.24) $1.75 1987-88 $1,115,548 $1,667,422 ($1.49) $ 255,250 ($.22) $1.71 1988-89 $1,227,103 $1, 767,467 ($1.44) $ 255,500 ($.20) $1.64 Average: 1.75 However, if the Committee uses the revised revenue estimates (fund balance, liquor and cigarette revenues) , cuts General Fund expenditures in the Requested Budget by about $50,000 and is willing to risk low General Fund contingency (i.e. , 2-year vs. 3 - 4 year tax base), then the Tax Base request could be reduced to $1,300,000. The 5-year tax rate projections would then be: Assessed Tax FY Value (000) Tax Base (Rate) Building Bond (Rate) Rate (Low) 1984-85 $ 838,128 $1,300,000 ($1.55) $ 110,000 ($.13) $1.68 1985-86 $ 921,940 $1,378,000 ($1.49) $ 253,250 ($.27) $1.76 1986-87 $1,041,135 $1,460,680 ($1.40) $ 254,500 ($.24) $1.64 1987-88 $1,115,548 $1,548,320 ($1.38) $ 255,250 ($.22) $1.60 1988-89 $1,227,103 $1,641,220 ($1.33) $ 255,500 ($.20) $1.53 Average: 1.64 Using these assumptions, then the total cost to an average household would be: Assessed Tax Rate Tax Tax Rate Tax FY Value High High Low Low 1983-84 $70,000 N/A N/A $ 1.18 $ 82.60 1984-85 $73,500 $ 1.80 $132.30 $ 1.68 $123.48 1985-86 $77,175 $ 1.87 $144.31 $ 1.76 $135.82 1986-87 $81,033 $ 1.75 $141.80 $ 1.64 $132.89 1987-88 $85,085 $ 1.71 $145.49 $ 1.60 $136.13 1988-89 $89,339 $ 1.64 $146.51 $ 1.53 $136.68 Budget Committee Tax Rate Projections Assuming Tax Base and Building Bond February 27, 1984 Page - 2 - In 1983-84 an average household paid $82.60 in City property tax. If the Tax Base were approved under the revised (low) assumption, then the tax for City operations at $1.55 would be about $108.50 per year; about $25.90 more per year, or $2.15 per month. This compares with the $1.67 tax rate, or $2.87 per month in the Requested Budget. In 1984-85, if both the $1.3 million Tax Base and the City Building Bond are approved, then the average household would pay $40.88 more than this year. That's about $3.40 per month. The essential question then becomes, "Is it worth $3.40 more per month for: Library open 56 hours vs. 24 hours per week. . . Police response time in 3 - 4 minutes vs. 6 - 10 minutes. . . Neighborhood and Greenway Park maintenance. . . A new Library. . . A new Police Station. . . Owning vs. Renting City Hall?" RWJ/pn (0331p) TIGARD BUDGET COMMITTEE - FEBRUARY 22, 1984 - 7:30 p.m. FOWLER JUNIOR HIGH-FRENCH ROOM-10865 S.W. WALNUT, TIGARD, OR. 97223 Q) w P Q) ro c v •� •4 m H W 7:30 1. CALL TO ORDER 7:35 2. ROLL CALL. Hoffman Evans Edwards Smith Duffy Bishop Brian Cook Scheckla Scott 7:40 3. APPROVE MINUTES 7:45 4. STAFF UPDATE 5. COMMUNITY DEVELOPMENT: 8:00 o Overview, City Administrator 8:10 o Public Works, Public Works Director 9:00 o Planning and Development, Planning Director 9:15 6. T.U.R.A. BUDGET 9:30 7. DISCUSSION 10:00 8. ADJOURN (0197F)