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Fiscal Year 2013-2014 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 2 TOWN OF TROPHY CLUB ANNUAL PROGRAM OF SERVICES FISCAL YEAR 2013-14 This budget will raise more total property taxes than last year’s budget by $640,601, which is a 12.2% increase from last year’s budget. The property tax revenue to be raised from new property added to the tax roll this year is $536,307. RECORD VOTE ON ADOPTION OF BUDGET September 23rd, 2013 NAME: TITLE: YES NO Connie White Mayor X Danny Mayer Council Member X Clint Schroder Council Member X Bill Rose Council Member X Greg Lamont Council Member X Jeannette Tiffany Council Member X TOTAL 6 0 MUNICIPAL TAX RATES 2012-13 2013-14 LAST YEAR CURRENT YEAR Maintenance and Operations $0.403543/$100 $0.384300/$100 Debt $0.115000/$100 $0.115000/$100 Total Property Tax Rate $0.518543/$100 $0.499300/$100 Effective Tax Rate $0.518543/$100 $0.509899/$100 Effective Maintenance and Operations Rate $0.406068/$100 $0.396824/$100 Rollback Tax Rate $0.553553/$100 $0.543569/$100 Debt Rate $0.115000/$100 $0.115000/$100 Total Amount of Municipal Debt Obligation $1,472,381 $1,583,092 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 3 ADOPTED ON SEPTEMBER 23, 2013 PREPARED BY: MIKE SLYE TOWN MANAGER STEPEHEN SEIDEL ASSISTANT TOWN MANAGER STEVEN GLICKMAN FINANCE DIRECTOR JOHN ZAGURSKI BUDGET ANALYST TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 4 TABLE OF CONTENTS 2013-2014 READER’S GUIDE Reader’s Guide ................................................................................................................................ 8 Budget Calendar ............................................................................................................................ 16 Manager’s Message ...................................................................................................................... 17 Major Budget Issues...................................................................................................................... 19 STRATEGIC PLANNING Trophy Club Vision 2030……………………………………………………………………………………………… .......... ..25 ORGANIZATION Organizational Chart ..................................................................................................................... 32 Full Time Equivalent Summary ……………………………………………………….… ..................................... ..33 BUDGET IN BRIEF Budget in Brief……………………………………………………….… ............................................................... ..35 All FUNDS SUMMARY All Fund Summary (Budget Year) .................................................................................................. 44 All Fund Summary (Three Year) .................................................................................................... 45 THE GENERAL FUND General Fund Analysis ................................................................................................................... 48 Administrative Services Manager’s Office ..................................................................................................................... 56 Legal ........................................................................................................................................ 60 Human Resources ................................................................................................................... 63 Information Services ............................................................................................................... 66 Public Safety Services Police ....................................................................................................................................... 69 EMS ......................................................................................................................................... 74 Streets ........................................................................................................................................... 78 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 5 Financial Services & Municipal Court ........................................................................................... 81 Community Development & Planning and Zoning ....................................................................... 86 Parks & Medians ........................................................................................................................... 91 Recreation & Community Events .................................................................................................. 96 Facilities Management ................................................................................................................ 100 OTHER MAJOR FUNDS Capital Projects Fund .................................................................................................................. 103 Debt Services Fund ..................................................................................................................... 105 NON-MAJOR FUNDS Court Security Fund .................................................................................................................... 112 Court Technology Fund ............................................................................................................... 113 Crime Control Prevention District ............................................................................................... 114 Economic Development Corporation 4B Fund ........................................................................... 116 Hotel Occupancy Tax Fund ......................................................................................................... 118 Storm Drainage Utility Fund ....................................................................................................... 120 Street Maintenance Sales Tax Fund ............................................................................................ 123 Trophy Club Park Fund ................................................................................................................ 125 CAPITAL IMPROVEMENT PROGRAM Capital Improvement Program ................................................................................................... 130 SUPPLEMENTAL INFORMATION Town Fact Sheet .......................................................................................................................... 136 Town Profile ................................................................................................................................ 137 Purchasing Policy ........................................................................................................................ 139 Investment Policy ........................................................................................................................ 164 Cash Handling Policy ................................................................................................................... 175 Glossary ....................................................................................................................................... 177 Acronyms .................................................................................................................................... 186 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 6 ELECTED OFFICIALS Mayor Connie White Mayor Pro Tem Jeannette Tiffany Council Member Bill Rose Council Member Greg Lamont Council Member Clint Schroeder Council Member Philip Shoffner Council Member Danny Mayer APPOINTED OFFICIALS Town Manager Mike Slye Town Attorney Patricia Adams Town Secretary/HR Manager Tammy Ard Municipal Judge Honorable Mark Chambers KEY STAFF Assistant Town Manager Stephen Seidel Community Development Director Carolyn Huggins Emergency Medical Services & Fire Chief Danny Thomas Finance Director Steven Glickman Information Systems Director Mike Pastor Parks & Recreation Director Adam Adams Police Chief Public Information Officer/Marketing Manager Scott Kniffen April Reiling Streets Director Ed Helton TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 7 THE GOVERNMENT FINANCE OFFICERS ASSOCIATION OF THE UNITED STATES AND CANADA (GFOA) HAS PRESENTED A DISTINGUISHED BUDGET PRESENTATION AWARD TO THE TOWN OF TROPHY CLUB FOR THE ANNUAL BUDGET BEGINNING OCTOBER 01, 2012. IN ORDER TO RECEIVE THIS AWARD A GOVERNMENTAL UNIT MUST PUBLISH A BUDGET DOCUMENT THAT MEETS PROGRAM CRITERIA AS A POLICY DOCUMENT, AS AN OPERATIONS GUIDE, AS A FINANCIAL PLAN, AND AS A COMMUNICATIONS DEVICE. THIS AWARD IS VALID FOR A PERIOD OF ONE YEAR ONLY. WE BELIEVE OUR CURRENT BUDGET CONTINUES TO CONFORM TO PROGRAM REQUIREMENTS AND WE ARE SUBMITTING IT TO GFOA TO DETERMINE ITS ELIGIBILITY FOR ANOTHER AWARD. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 8 READER’S GUIDE The Reader's Guide provides an overview of the Town of Trophy Club’s budget process and budget documents. The Town of Trophy Club has prepared a budget designed to meet the highest standards of performance in municipal budgeting. This document provides a summary of all budgeted funds, including both revenue and expenditure summaries. Major budget documents, the budget process, and the organization of the budget itself are described below. MAJOR BUDGET DOCUMENTS The Town of Trophy Club’s budget process includes the production of three key documents. It is important to understand the timing and purpose of these documents in order to fully understand the process itself. 1. The Manager’s Message The Manager’s Message is submitted to Town Council in late July as a part of the proposed budget. This report summarizes and identifies key issues with regard to revenues and expenditures for the coming year. 2. The Proposed Budget Pursuant to the Town Charter, the proposed budget must be submitted to Town Council by July 31, or at least sixty (60) days prior to the first day of the new fiscal year. This document represents a balanced version of departmental budget requests versus projected revenues. The proposed budget is a product of policy as expressed by the Town Council and is prepared by the Town Manager and the Management Team, which is comprised of the department directors. (Any mathematical differences are due to rounding.) 3. The Adopted Budget The adopted budget represents a modified version of the proposed budget after public hearings and Town Council review in August/September. Any changes deemed necessary by Town Council to funding levels or revenue projections are reflected in the adopted budget. Revisions may also be made to reflect any updates to budget information. THE BUDGET PROCESS The Town of Trophy Club uses a program-based budgeting process. Each budgeting unit or division is given a target or “baseline” funding level based upon the previous year’s funding level. With a few exceptions, no fixed assets, wages and benefits, or one-time packages are included in baseline funding. Any funding request that represents new expenditures and programs, or that is in excess of baseline funding, must be submitted as a separate request or TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 9 “package.” These packages may be either a new or restoration request for resources, depending upon the budgeting unit’s funding target. 1. Revenue Projection The budget revenue projections for the new fiscal year begin early in the current fiscal year. The projections are made by the departments responsible for the revenues with help from the Finance Department. Projections are based upon consultations with state and local agencies, trend analysis, anticipated changes in the local and regional economy, and discussions with directly associated staff members. Although revenue projections are prepared early in the budget process, the budget revenue analysis continues with departmental budget development and extends until the budget is adopted based upon any new information. 2. Proposed Budget Analysis/Compilation The Finance Department reviews and compiles a preliminary draft of departmental budgets to present to the Management Team, which is comprised of the Town Manager and department directors. During Management Team discussions, each department director answers questions from the entire group concerning their budget. Given revenue projections and baseline funding requirements, budget funding changes are made according to necessity and priority. A total recommended funding level is determined and is weighed against available resources. 3. Proposed Budget Development The Town Manager, no later than July 31 each year (Charter Section 9.02), shall prepare and submit to the Town Council the annual budget covering the next fiscal year. The Town Manager’s proposed budget should assume, for each fund, operating revenues and resources that are equal to, or exceed, operating expenditures. The Town Manager’s budget message summarizes funding requirements, major changes in programs, and alternatives for funding. 4. Town Council Budget Study A budget work session is held with the Town Council to review and discuss the proposed budget. Discussions and study may follow at subsequent work sessions up until budget adoption. 5. Capital Program The Town Manager shall prepare and submit to the Council a five (5) year capital program no later than three months before the final date for submission of the budget. The capital program shall be revised and extended each year with regard to TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 10 capital improvements still pending or in the process of construction or acquisition (Charter Section 9.08). 6. Public Hearing/Budget Adoption A public hearing on the proposed budget and two public hearings on the tax rate (if required by Truth in Taxation laws) are held in August and September prior to final budget consideration. At the public hearings, citizens may make formal comments concerning the proposed budget. The public also has the opportunity to attend Town Council budget work sessions in August and September. Budget adoption occurs in September after Town Council deliberations and the public hearings. The Town Council adopts a tax rate to support adopted funding levels. Pursuant to the Town Charter the budget, in place for the preceding year shall remain in place on a month-to-month basis until such time as a new budget has been adopted if no Town Council action is taken before the end of the fiscal year, September 30. 7. Compilation of Adopted Budget/Budget Maintenance The adopted budget is compiled and published during the first months of the new fiscal year. The adopted budget in the form of an amended proposed budget is available for public inspection in October. Ledger accounts are prepared for the new fiscal year prior to October 1. Budget maintenance is a year-round activity of divisions/departments and Budget Office staff. Other spending control mechanisms include monthly review of expenditures by the Finance Department. During the budget process departments make revenue and expenditure estimates for the current year with the assistance of the Budget Team. Finally, program goals, objectives, and measures are evaluated during budget implementation to determine the effectiveness of program activities and levels of appropriate funding for subsequent years. FINANCIAL STRUCTURE The financial structure of the budget is organized by funds. A fund is generally defined as a fiscal and accounting entity which has its own self-balancing set of accounts for recording cash and other financial resources, as well as any liabilities or residual equities or balances. Normally, funds are segregated for the purpose of carrying on specific activities or attaining certain objectives in accordance with special regulations, restrictions, or limitations. However, when appropriate, funds are comprised of departments. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 11 Proprietary Funds Storm Drain Utility Fund Trophy Club Park Fund BUDGETED FUNDS The Town employs three types of funds: Governmental, Proprietary, and Fiduciary. 1. Governmental Funds are accounted for on a modified accrual basis. The specific funds which make up the Governmental Fund type are as follows: General Fund, Debt Service Fund, Capital Projects Fund, CCPD Fund, Street Maintenance Sales Tax Fund, Hotel Occupancy Tax Fund, Court Technology Fund, Court Security Fund, 25th Anniversary Fund, Grants Fund, and EDC 4B Fund. Each of the above-mentioned funds operate separately and independently from one another; therefore, they are budgeted separately and include separate financial statements. Each fund represents a specific function and maintains individual objectives. 2. Proprietary Funds are used to account for “business- type” activities that are financed by the revenues generated from these activities. The Town of Trophy Club has two of these funds: The Trophy Club Park Fund and the Storm Drain Utility Fund. Proprietary Funds are accounted for on the full accrual basis. 3. Fiduciary Funds are resources that the Town of Trophy Club holds in trust for individuals or other governments. The only Fiduciary Fund the town has is the Public Improvement District (PID) No. 1 Debt Services Agency Fund. This fund accounts for bond proceeds, assessments and related debt associated with the issuance of bonds by the Town as an agent for the Public Improvement District. • Major Funds: A major fund must make up at least 10% of the Town’s total expenditures. General Fund - The primary operating fund of the Town. The General Fund contains the control and fiscal accounting for the Town’s general service operations such as administration, public safety, parks, etc. The General Fund’s major revenue sources are ad valorem taxes, sales taxes, licenses and permits, and franchise fees. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 12 Capital Projects Fund - This fund is utilized for the acquisition and construction of major capital assets. Capital Project funds are created to account for proceeds from the sale of general obligation bonds, certificates of obligation, tax or revenue notes, or operating funds set aside or reserved for such projects to be used for the costs associated with the acquisition or construction of major capital assets. Debt Service Fund - This fund is used to record and control the accumulation of resources for payment of general long-term debt principal and interest. The Town issues debt to acquire or construct capital assets, such as roads or parks for the general benefit of Trophy Club citizens. Resources include an applicable portion of the ad valorem tax levy and related interest income usable from debt service. • Non-Major Funds Special Revenue Funds - These Funds are used to account for the receipt of specific revenue sources that are restricted for expenditures for a specified purpose. Included in the special revenue funds are: o Hotel Occupancy Fund – Funds from hotel occupancy taxes can be used to promote tourism in Trophy Club. o Street Maintenance Fund – A 0.25% voter approved sales tax for which funds may be used to maintain the Town’s streets. o Grants Fund – This fund accounts for any receipts and uses of grants the Town may receive throughout the fiscal year. o Crime Control Prevention District (CCPD) Fund – A 0.25% voter approved sales tax for which funds may be used to finance activities related to crime control and prevention including, but not limited to, equipment, training, and programs. o Court Security Fund – This fund is used to provide security for the Trophy Club Municipal Court through a $3 per violation fee. o Court Technology Fund - This fund is used to purchase technology related items used by the Trophy Club Municipal Court through a $4 per violation fee. o 25th Anniversary Fund – This fund is used to account for donations, sponsorships, and expenditures related to the Town’s 25th Anniversary festivities. o EDC 4B Fund – Funded by a 0.50% voter approved sales tax, the Trophy Club 4B Economic Development Corporation is a Discreetly Presented Component Unit that may be used to fund economic and community development. Component units are legally separate organizations for which the elected officials of the primary government are financially accountable. The Town of Trophy Club’s primary government is financially accountable for the Trophy Club 4B Economic TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 13 Development Corporation. The Town presents the financial statements of the 4B Economic Development Corporation discretely. Discrete presentation entails reporting component unit financial data in one or more columns separate from the financial data of the primary government. • Proprietary Funds o Trophy Club Park Fund – Funded by user fees, this fund accounts for revenue and expenditures associated with servicing, maintaining, and improving parkland the Town leases from the Army Corp of Engineers adjacent to Lake Grapevine. o Storm Drainage Utility Fund – Funded by a drainage fee collected from residents and businesses each month, this fund accounts for revenues and expenditures associated construction and maintenance of the Town’s storm drainage system. BASIS OF BUDGETING AND ACCOUNTING The budgetary and accounting policies in this document conform to generally accepted accounting principles (GAAP). The General, Debt Service, Capital Projects, and Special Revenue Funds along with discreetly presented component units are prepared on the modified accrual basis of accounting. Under this basis of accounting, revenues are recognized when they become both "measurable" and "available" to finance expenditures of the current period. Expenditures are recognized when the related fund liability is incurred, except for: (1) inventories of material and supplies, which may be considered expenditures either when purchased or when used; (2) prepaid insurance and similar items, which need not be reported; (3) accumulated unpaid vacation, sick pay, and other employee benefit amounts that need not be recognized in the current period; (4) interest on special assessment indebtedness, which may be recorded when due rather than accrued, if approximately offset by interest earnings on special assessment levies; and (5) principal and interest on long-term debts that are generally recognized when due. Proprietary Funds, which include the Drainage Utility Fund and the Trophy Club Park Fund, are prepared using the accrual basis of accounting. In accrual accounting, revenues are recognized when earned, regardless of when cash is received. Likewise, expenses are also recognized when incurred, not considering the actual cash flow. The measurement focus is thus focused on the flow of economic resources. Depreciation is not displayed. And capital expenditures and bond principal payments are shown as utilized within the fund. ORGANIZATIONAL RELATIONSHIP A department is a major administrative segment of the Town, which indicates overall management responsibility for an operation or a group of related operations within a functional area (e.g., Police Department, Fire Department, Parks Department, and Recreation TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 14 Department). The smallest organizational unit budgeted is the program. The program indicates responsibility for one functional area, and in many cases these functional areas are put together to demonstrate a broader responsibility. When this is done, the programs are combined to make up a department. For example, the Parks Department is comprised of Parks General, Independence Park, Harmony Park, Lakeview Soccer Fields, and Medians & Common Areas. BUDGET ADMINSTRATION AND DEVELOPMENT The Town of Trophy Club’s policies set forth the basic framework for the fiscal management of the Town. These policies were developed within the parameters established by applicable provisions of the Texas Local Government Code and the Town of Trophy Club Charter. The policies are intended to assist the Town Council and Town staff in evaluating current activities and proposals for future programs. I. BUDGET PERIOD Fiscal Year - The fiscal year of the Town of Trophy Club “shall begin on the first (1st) day of each October and end on the last (30th) day of September of each calendar year. Such fiscal year shall also constitute the budget and accounting year” (Charter Section 9.01). II. BUDGET ADMINISTRATION AND DEVELOPMENT A. Submission - The Town Manager shall submit to the Council a proposed budget and accompanying message before the last day of July of each year. The Council shall review the proposed budget and revise it as deemed appropriate prior to general circulation for public hearing (Charter Section 9.04). B. Public Hearing on Budget - The Council shall hold a public hearing on the budget and shall provide adequate public notice of such hearing, including publication of notice as required by State law. C. Truth in Taxation - Budget development procedures will be in conformance with the State law outlined in the Truth in Taxation process. In the event of a tax increase, notices will be provided and required hearing(s) held in conformance to this State law. D. Adoption - The Council, by majority vote, shall adopt the budget by ordinance not later than the 30th day of September. Adoption of the budget shall constitute appropriations of the amount specified as expenditures from the fund indicated. If the Council fails to adopt a budget by the beginning of the fiscal year, the budget currently in place for the preceding year shall remain in place on a month-to-month basis until such time as a new budget has been adopted. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 15 E. Amendment - The Council by ordinance may make supplemental appropriations for the year. To address a public emergency affecting life, health, property, or the public peace, the Council may also make emergency appropriations. Such appropriations may be made by emergency ordinance. The level of budgetary control for amendments must be, at a minimum, made on a fund level. F. Transfers - At any time during or before the fiscal year, the Council may by resolution transfer part or all of the unencumbered appropriation balance from one department, fund, service, strategy or organizational unit to the appropriation for other departments or organizational units or a new appropriation. The Town Manager may transfer funds among programs within a department, fund, service, strategy, or organizational unit and shall report such transfers to the Council in writing in a timely manner. G. Public Records - The budget, budget message, and all supporting schedules shall be in a public record in the office of the Town Secretary and shall be public records available to the public for inspection upon request. H. Balanced Budget Required - The Town of Trophy Club will develop balanced budgets in which current resources (current revenues plus fund balance) will equal or exceed current expenditures. I. Funding of Current Expenditures with Current Revenues - The budget will assure that current expenditures are funded with current revenues. Current operating expenses will not be capitalized or funded through the use of long-term debt. III. REVENUE POLICIES A. Revenue Goal - The Town will attempt to maintain a diversified and stable revenue stream to shelter it from short-run fluctuations in any one revenue source. B. Development of Revenue Projection - The Town will estimate its annual revenues using an objective analytical process. The Town will project revenues for the next two years; and these projections will be updated annually. Each existing and potential revenue source will be examined annually. C. Fund Balance Policy - The Town recently implemented this policy to establish a key element of the financial stability of the Town by setting guidelines for fund balance. Unassigned fund balance is an important measure of economic stability. It is essential that the Town 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 Town’s general operations. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 16 BUDGET CALENDER Fiscal Year 2013 April 1 Monday • Capital & Personnel Needs Request Forms provided to Managers • Denton Central Appraisal District begins sending out weekly preliminary appraisal totals April 12 Friday • Base Budget worksheets provided to Managers April 19 Friday • Capital Needs Request Forms due back from Managers April 29 Monday • Tarrant County Appraisal District submits 1st preliminary appraisal totals May 1 Wednesday • Review of Capital Needs with Managers May 6 Monday • Mid-Year Review Presentation to Council May 10 Friday • Budget Business Plans (goals, measures, etc) due back from Departments May 13 Monday • Tarrant County Appraisal District submits 2nd preliminary appraisal totals May 24 Friday • Meet with Departments to analyze & discuss proposed departments budgets June 11 Tuesday • Publish notice of public hearing of CCPD public hearing • Management Team Strategic Business Planning Retreat June 14 Friday • Preliminary GF Expenditures and Revenues Completed July 15 Monday • Management Budget Update with Council – 5:30PM Workshop July 25 Thursday • Certified Appraisal Roll Due from Denton & Tarrant Appraisal Districts July 31 Wednesday • Hand Deliver Hard Copy of Proposed Budget to Council Members August 1 Thursday • Denton County Tax Assessor/Collector provides Effective and Rollback Tax Rates (Submit to newspaper on August 1st) August 2 Friday • Council Workshop - Budget Discussion - 1:00 PM August 5 Monday • Submit Effective & Rollback Rate Calculations to Town Council • Vote to Propose Tax Rate (if over Effective Rate) • Set Public Hearings for September 3rd and September 9th August 7 Wednesday • Publish Notice of Effective and Rollback Tax Rates, Statement of Increase/Decrease August 14 Wednesday • Publish Notice of Public Hearing on Tax Increase (If applicable) August 19 Monday • Resolution accepting proposed SAP & setting public hearing date August 21 Wednesday • Publish Notice of Hearing on PID Service Assessment. Town Secretary mails public hearing notices to property owners liable for assessment September 3 Tuesday • Public Hearing on PID Service Assessment September 9 Monday • Public Hearing on Budget • Public Hearing on PID Service Assessment • Announce Vote on Tax Rate September 18 Wednesday • Publish Notice of Tax Revenue Increase September 23 Monday • Budget Adoption • Tax Rate Adoption • Approve Tax Roll • Vote to Ratify Property Tax Revenue • Adopt PID Assessment Rate October 1 Tuesday • Fiscal Year 2013-2014 Begins TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 17 September 23, 2013 Trophy Club Town Council 100 Municipal Drive Trophy Club, TX 76262 Dear Town Council: In accordance with the Trophy Club Town Charter and the State of Texas Local Government Code, the adopted FY14 Budget for the fiscal year beginning October 1, 2013 and ending September 30, 2014 is presented along with an attached 5-year Capital Improvement Program. The adopted FY14 Budget presents in financial terms the plan for accomplishment of municipal objectives during the forthcoming fiscal year. Preparation of this document requires a comparison of the anticipated revenues with proposed programs and priorities that are based on Town Council priorities, service demands or prior project commitments. While the proposed budget does not fund all departmental requests, it meets Town Council goals expressed during the planning process. The proposed budget has been formulated by reflecting the core values of:  Providing exceptional governmental services;  Remaining fiscally sound;  Effectively allocating resources to meet citizen needs; and  Valuing our employees The attached document is a conservative financial plan developed utilizing advanced planning methods and Governmental Accounting Standards Board (GASB) 34 provisions and complying with the adopted Fund Balance Policy (GASB 54). Prudent financial and operational philosophies have guided budget development. Every budget seeks to allocate scarce resources, and there will always be more needs than available funds. The adopted FY14 Budget is based on a property tax rate of $0.4993 per $100 assessed valuation, a $0.019243 decrease from the current fiscal year. The FY14 Budget highlights include: • A full-time Animal Control Officer (previously part-time). • An additional Parks Maintenance employee. • 50% funding of a full-time Firefighter. 100 Municipal Drive, Trophy Club, TX 76262 ● Phone 682-831-4600 ● www.trophyclub.org TOWN OF TROPHY CLUB TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 18 • 50% funding of a full-time Marketing/Economic Development analyst. • Adding a Planner to the Planning & Zoning Department. • Adding a part-time accountant/bookkeeper to the Finance Department. • Continued funding of the formal Capital Replacement Program. • Community ‘Skunk Works’ program. • 2% Cost of Living Adjustment effective October 1, 2013 for all employees. • Competitive market salary adjustment for Police patrol officers. • Fence replacement along the common area behind Beck Elementary School. • Implementation of three projects identified in Phase 1 Stormwater Master Plan. • Continued Road improvements including Indian Creek road rehab project and Meadowbrook Drive. The adopted FY14 Budget has been placed on the Town website at www.trophyclub.org in order to continue our efforts to broaden public communication and increase transparency regarding the Town’s finances and budget process. I am grateful to the Town Council for providing clear direction and guidance from the outset of this budget cycle and the conviction to adopt this fiscal year’s budget. This budget lays the groundwork for a continuation of a strong foundation to carry on the Town’s duties and responsibilities and meeting the goals and objectives outlined by the Town Council. Each Department Manager examined their departments for innovative and cost saving approaches for service delivery and customer service. I am very appreciative of the entire Management Team for their dedicated efforts in developing this budget. I appreciate the opportunity to lead an organization that provides our community with better services, programs, and quality of life. Trophy Club truly is “a great place to call home!” Sincerely, Michael T. Slye Town Manager September 23, 2013 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 19 MAJOR BUDGET ISSUES The adopted budget includes total revenues of $10,496,157 and expenditures of $13,964,406. Expenditures exceed revenues by $3,468,246 due to expenditures of $3,528,771 in the Capital Projects Fund for which debt was issued in prior periods. Excluding the Capital Projects Fund, the overall budget contains a surplus (revenues over expenditures) of $60,525, with $56,553 being attributed to the General Fund. This section discusses, by fund, the major issues addressed in the FY 14 budget. GENERAL FUND Revenues – Each revenue source is carefully evaluated during the budget process to ensure adequate levels of funding. As the Town reaches substantial build out, with accompanying smaller increases in assessed value and sharp decreases in licensing and permitting revenue, it endeavors to diversify its revenue sources to reduce reliance on property taxes. Identified diversification areas include maximization of sales tax revenue along the Highway 114 corridor and accompanying increased franchise fee collections that are included with substantial build- out. A. Property Tax – The largest revenue source in the General Fund is the ad valorem tax. Although a tax rate below the effective tax rate was adopted, property tax revenue in FY 14 is expected to grow by $452,148 over the FY 13 estimate. This can be attributed to over $100M in new properties added to the tax roll in FY 14. Extensive growth is expected over the next two years, and is a major consideration when projecting future property tax revenues. 1. Property Tax Rate - The FY14 Budget is based on a property tax rate of $0.4993 per $100 assessed valuation, a $0.019243 decrease from FY 13. A goal of staff and council was to adopt a tax rate below $0.50 per $100 assessed valuation, which was achieved. The adopted tax rate includes $0.1150 to service debt and $0.3843 to fund maintenance and operations. 2. Property Tax Base - The certified 2013 appraisal rolls show an increase of 15.86% over the 2012 certified values. The majority of the increase, 11.71%, is attributed to new properties added to the tax roll this year. The average appraised home value is $291,790. In FY14 there are a projected 265 homes to be built; this will continue to increase the total assessed value of Trophy Club, which will in turn increase total revenues derived from property tax at the current tax rate. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 20 B. Licensing and Permits – Licensing and Permits are the second largest revenue source for the general fund. This revenue source grouping contains Building Permits, Fire Permits, Miscellaneous Permits, Plumbing Permits, and Multifamily Residence License. This revenue source is expected to increase 1.03% from the FY13 estimate, however, as the Town approaches substantial build-out this revenue source will decline sharply. The deep reduction in revenue derived from licensing and permits is considered when looking to the future. Increased property valuation from new property on future tax rolls will make up for the substantial loss of this revenue source along with any increased collections of sales taxes and franchise fees. C. Franchise Fees – The third largest revenue source in the General Fund is franchise fees. It has been identified that franchise fees are an area where the Town can further diversify its revenue sources as it nears build out due to the increase in the number of properties requiring cable, gas, electric, telephone, and refuse services. The fees are projected based on the past and current trends and franchisee’s estimates. Franchise fees are projected to increase 3.6% over the FY13 estimate, and should continue to increase as the Town approaches build out. D. Sales Tax – Sales tax receipts are the fourth largest revenue in the general fund. The FY14 budget projects a 1.07% growth in receipts over the current year’s estimate. Included in the sales tax are general sales taxes and mixed beverage taxes. Sales tax revenue is wholly dependent on the local economic conditions and can fluctuate. The Town does have the potential for major commercial development along the corridor of Highway 114 that could help diversify the Town’s revenue sources in future years. However, in order to remain fiscally responsible, the Town does not assume any major developments will be constructed prior to FY 2016. E. Fines and Fees – Fines and fees represent revenue generated from the municipal court, development related fees, and recreation based fees. This revenue source is expected to decrease 15% compared to the FY13 estimate, due to new developments reaching build- out which decreases the number of development related fees collected and further strengthens the Town’s need to diversify its revenue sources. Strategic Management Planning – Vision TC was adopted in April of 2013 and is being utilized by Trophy Club Town Council to facilitate discussions and decisions. An all Boards and Commissions meeting was held and the plan was presented to them to aid in vertical integration. Last year a charter election was held and provisions were passed, the main change being the addition of a 7th Council seat that will be filled by a November 2013 election. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 21 Municipal Utility District Services Contract – A significant change to previous years is the relationship between the Town and Utility District. In previous years, the Town and Utility District shared some employee expenses equally at 50%. During FY10, the Town and Utility District opted to negotiate an agreement that would eliminate 50% employees of except for Fire/EMS personnel, by entering into an agreement for contract services. The FY14 agreement calls for the Utility District to pay the Town $77,048 to provide IT services, mowing/landscape services, and this year they removed HR duties. The Town will continue to offer Permit services to the Utility District at no charge, and it is agreed that the Utility District will provide their own payroll services and continue to provide building maintenance. Personnel – Being primarily service oriented, municipal governments are extremely reliant on their employees. The Town of Trophy Club is no different, and Council and Management have made a priority of valuing Town employees. However, for a department to add positions a demonstrated need must first exist. Citizens and Council have come to expect the highest level of service at the lowest possible cost, all while being competitive in the marketplace. The adopted budget exemplifies this exact sentiment. A. Compensation - The FY14 Budget includes a 2% Cost of Living Allowance (COLA) in addition to a one-time stipend that varies by position (Director, Manager, Supervisor, etc.). Additionally, competitive market salary adjustments for Police patrol officers are included in the FY14 budget. The overall effort to bring employees salaries to competitive rates will continue, and the Town’s strategy will be reviewed annually to determine the extent of future endeavors. B. Health Insurance - The Health insurance program in FY14 continues with the Texas Municipal League Intergovernmental Employees Benefit Pool (TML IEBP). The Town offers three plans: a PPO, an HRA, and an HAS; rates for the plans increased 5%, 2%, and 0% respectively. TML IEBP is a non-profit health provider centered on providing full service health protection of political subdivisions of Texas. C. Personnel Changes – Personnel changes are considered on an as needed basis after a demonstrated need exists. As the Town grows, service level demand also grows. In order to meet increasing service demand the FY14 budget includes the following personnel changes: • A full-time Animal Control Officer (previously part-time). • An additional Parks Maintenance employee. • A Detective in the Police Department • 50% funding of a full-time Firefighter (Other 50% paid for by the MUD). TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 22 • Funding of a full-time Marketing/Economic Development analyst (Split between the General Fund and 4B). • Adding a Senior Planner to the Planning & Zoning Department. • Adding a part-time accountant/bookkeeper to the Finance Department. Purchased Services and Supplies – Two areas where fiscal responsibility can be applied most effectively are in the services and supplies the Town purchases. The Town endeavors to increase the budgets for previously approved purchased services and supplies at a rate equal to or less than inflation. Any new programs that require the purchase of services or supplies will be carefully examined in the context of any potential revenue they generate and benefit they bring to Town citizens. Equipment Replacement – The Town funds equipment replacement by setting aside an amount each year equal to each department’s equipment depreciation. Expenditures for FY14 include the following items: • Fence replacement along the common area behind Beck Elementary School. • A new truck for animal control, with slide. • A replacement vehicle for a Detective. • A Toughbook and new radios for EMS. • A new generator for Facilities Management. • Various scheduled replacements for Information Services. Fund Balance – The Town Council has adopted a Fund Balance Policy with a goal of 30% of the Town’s annual general fund expenditures being classified as unassigned fund balance. An unassigned fund balance of less than 15% is a cause for concern unless it is planned or deliberate. The Town’s budgeted fund balance in the general fund is projected at 37% of expenditures, which is well above the Town’s policy. The Town endeavors to maintain its current strong fund balance levels, but will consider use of fund balance to fund major capital acquisitions while maintaining an ending fund balance within the Town’s policy. OTHER FUNDS Capital Improvement Program – The five-year Capital Improvement Program includes scheduled construction of major capital improvements such as streets, facilities, parks, etc. These improvements are generally funded by debt, but may be funded by existing fund balances or grants when available. In FY13 the Town issued $3M in Certificates of Obligation (CO) with $1.3M to fund identified streets projects and $1.7M to fund identified drainage improvements. When considering capital improvements the Town considers federal and state TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 23 mandates, the effect on Town citizens, and the effect a project will have on future operating budgets. The following projects are included in the Capital Improvement Program for FY14: • Street improvements including Indian Creek road rehab project and Meadowbrook Drive (both partially funded by Denton County). • Street improvements to Phoenix Drive (Pebble Beach to Shields). • Street improvements to Pin Oak Court. • Implementation of three projects identified in Phase 1 Stormwater Master Plan – Timber Ridge, Fresh Meadow, and Skyline/Indian Creek. • Land Acquisition and Facility Planning for a new police station and a new town hall. Debt Service Fund – In FY 2013 the Town of Trophy Club dissolved the Economic Development Fund 4A. Before dissolving the 4A Fund the Town defeased debt related to the 4A fund and other debt held by the Town, which in turn decreased total debt service payments from last year’s projections. The Town also issued a $3M CO for streets and drainage projects. Economic Development Fund 4A and 4B – In FY13 the Town of Trophy Club dissolved the Economic Development Fund 4A. The 0.50% 4A sales tax was reallocated between the Economic Development Fund 4B and a newly created Crime Control Prevention District. This essentially doubled the revenues for the 4B. Both 4A and 4B combined to service the 2002-A GO Bonds, which were to be defeased prior to dissolving the 4A. Due to a lack of fund balance in 4B the Town defeased the debt with $660,000 of fund balance from the General Fund. To repay this debt the 4B fund has an interlocal agreement with the Town to pay just under $55,000 every year for the next 15 years to the General Fund. Crime Control and Prevention District (CCPD) - The CCPD is a newly created fund for FY14. The fund receives its revenues from a 0.25% sales tax. This fund is to help the police department with capital replacement costs, supplies, and activities related to crime control and prevention. Street Maintenance Sales Tax Fund - In May 2006, citizens approved a 0.25% Street Maintenance Sales Tax, with collections beginning in October 2006. The sales tax was needed to augment the funding provided in the General Fund for the maintenance of town streets. State law requires that the tax be reauthorized by the citizens after the initial four years. In order for the tax to not lapse, the Council held a reauthorization election on May 8, 2010 in which voters approved the reauthorization of the sales tax. Beginning in FY10, the Street Maintenance sales tax receipts and expenditures were reported as a separate fund. The FY14 budget projects a 2.1% growth in receipts. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 24 Storm Drainage Utility Fund - The Town of Trophy Club charges a fee to Trophy Club property owners to cover the costs of providing the infrastructure and facilities that permit the safe drainage of storm water, the prevention of surface water stagnation, and the prevention of pollution arising from nonpoint runoff. The Town engaged the services of Freese and Nichols, Inc. (FNI) to conduct a master drainage study in order to better assess current infrastructure and future needs. Phase I of this study was completed and identified five major areas of concern related to storm drainage. The Town also engaged FNI to complete a financial analysis to correctly identify revenue options, appropriate expenses, and residential/commercial storm drainage fees necessary to accomplish these storm water improvement projects. Based on those recommendations, the fee for residential home owners increased from $3 to $6 in FY 13, and commercial entities were increased based on an Equivalent Residential Unit (ERU) system. The Town has commenced Phase I implementation and issued $1.7 million in Certificates of Obligation backed by storm water fee revenue to address three areas identified by FNI. Additionally, the Town has retained FNI to initiate Phase II which will include a regional analysis on water drainage and the impact on Trophy Club. The Town is looking to partner with surrounding municipalities, counties, and a developer as well as seeking grant funding. Below are the expected projects and their associated costs in a proposed phased timeline. DRAINAGE SYSTEM IMPROVEMENTS FY2014 FY2015 FY2016 FY2017 FY2018 TOTAL Timber Ridge 258,000 - - - - 258,000 Fresh Meadow 724,000 - - - - 724,000 Trophy Club Drive Bridge over Marshall Creek - - - 4,968,000 - 4,968,000 Skyline/Indian Creek (3 Phases) 498,825 - - - 5,507,000 6,005,825 Cypress Court - - - - 1,380,000 1,380,000 Bobcat Blvd. - 575,000 - - - 575,000 TOTAL $1,480,825 $575,000 $ - $4,968,000 $6,887,000 $13,910,825 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 25 Trophy Club Vision 2030 Strategic Vision Overview SGR was retained to facilitate a series of community meetings in which citizens, council members, and staff dialogued together over a series of strategic questions related to Trophy Club’s history, governance, and future. Four meetings were held over a period of four months. At each meeting, participants met in groups of three, which were rotated with each question in order to enable them to interact with a variety of people throughout the process. Trophy Club’s History and Future Trophy Club originally developed around the Country Club and has a rich history as a community in a picturesque setting. While maintaining its connection with golf, the town is now also the home of a great school system through NISD, unique homes, and a population that consists of people of all ages. Trophy Club citizens value having a strong sense of community, and they desire to be actively engaged in local government. Trophy Club is ideally situated on Highway 114 between Alliance Airport and DFW Airport. Due to the strategic location of this corridor, Trophy Club is in a great position to capitalize on the many benefits that this provides to its citizens and stakeholders. At the same time, it is important that Trophy Club plans strategically to maximize these opportunities. Drivers for Trophy Club’s Growth Many factors contributed to Trophy Club’s growth in the past. Some of those which were identified were: • Golf • Location • Family Oriented • Affluent, Yet Affordable • Airport • Picturesque • Rural • IBM • Master Planned Community TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 26 While some of those drivers still currently exist, participants perceive that there are new things that are now driving Trophy Club’s growth. For example, some of the things that are currently driving growth are: • Schools • Real Estate Values • Golf Course • Hwy 114 (Location & Ease) • Entire Hwy System • Location Between DFW Airport and Alliance Airport • Location Between Dallas and Fort Worth • Youth Sports • Safety • Balance of Affluent Yet Affordable • Parks • Family Oriented As Trophy Club moves into its future, it will be important for leaders to realize that the things that draw people to Trophy Club will be similar to the things that are currently drawing people to Trophy Club. The list may expand by a few items, but it is not likely to be radically different. Citizen Satisfaction Trophy Club residents enjoy an excellent quality of life. Community surveys indicate that they are highly satisfied with their lives, with the amenities that they have, and with the city as a whole. This is a very positive thing, but it also creates a measure of anxiety that as growth comes to Trophy Club it will erode the quality of life that residents now experience. There is a deep desire for city leaders to make decisions that will guard against the erosion of their quality of life. Some things that participants hope will never change: • Character & Elegance • Country Club • Small Town Feel • Sense of Community • Enclosed Safety • Quality of Schools • Beauty TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 27 Citizen Hopes Trophy Club residents also anticipate positive changes continuing to happen in the future. The participants desire more cohesiveness in the community. They also desire for there to be better relationships between town leaders and citizens, as well as between citizens themselves. Amongst the changes that participants hope for in the future are the following: • Willingness to Embrace Change • More Inclusive of Entire Town • Less Negativity • Senior Adult Activity Center • Senior Adult Living Center • Increased Property Values • More Progressive Trophy Club’s Future At the intersection of those things that people hope will never change and the things that they hope do change is the vision for Trophy Club 2030. Participants envision Trophy Club in the future of being: • Progressive • Cohesive • Grounded (Not Pretentious) • Regionally Synergized • Re-inventive • Business Friendly • Creative • Safety • Family Oriented • Thriving • Green TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 28 5 Pillars for Trophy Club Vision 2030 1. A Premier Residential Community Trophy Club should strive to be a premier residential community. Although developing the Highway 114 Corridor offers an opportunity for more retail and office developments, Trophy Club will continue to be a predominantly residential community. Participants want leaders to make decisions that will honor the residential nature of Trophy Club. Unique, affordable housing has been a major component of Trophy Club’s heritage, and even as some commercial growth and redevelopment takes place, Trophy Club’s DNA as a town will remain the same. Participants envision Trophy Club becoming the benchmark for what a residential community should be like in 2030. This will mean maintaining a commitment to being re-inventive and being sensitive to the need for redevelopment. Being a premier residential community will also mean becoming more environmentally green and having a proactive posture about protecting the environment by using new technologies and staying in step with emerging environmental standards. Trophy Club’s brand centers on being a premier residential destination. This would include being a community where people can experience aging in place through senior living facilities. Participants believe that being strategic and consistent with greater branding is the key to promoting the positive benefits of Trophy Club. Key Thoughts: • Benchmark Residential Community • Environmentally Friendly • A Community for All Ages • Faith Friendly Community • Strategic Branding Related Council Goals: • Strong Partnerships and Community Involvement • Healthy, Picturesque and Environmentally Sound 2. Economic Development Trophy Club needs to be strategic and intentional in attracting businesses and jobs that add to the quality of life. Although it will continue to be a predominantly residential community, Trophy Club does need to develop more retail shopping and attract more job-producing businesses. Development on Highway 114 provides an opportunity for commercial development in Trophy Club. This is needed not only because of the amenities and jobs that it will provide to citizens, but it is also needed to help offset the town’s dependence upon property taxes. Participants hope to attain a better balance between property taxes and sales taxes, but at the same time, they want leaders to be very intentional and discriminant about the businesses that Trophy Club will house. Attention needs to be given to making sure that these businesses fit in well with the current culture of Trophy Club. At the same time, the TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 29 council should be open to wisely using such tools as establishing a TIF District in order to facilitate economic development. In addition to attracting new businesses, economic development should also focus on doing things that help retain existing businesses. Participants believe that efforts should be made to maximize the use of the town’s parks and park facilities. As a part of this, leaders should carefully examine how Trophy Club Park can best be used to generate revenue for the town. Key Thoughts: • Strategic Commercial Development that Honors Trophy Club’s Residential Culture • Balance between Property Taxes and Sales Taxes • Retain Businesses • Maximize Economic Benefits of Parks and Facilities Related Council Goals: • Business-Friendly Economic Development • Financial and Operational Stewardship 3. Amenities Trophy Club should strive to strategically add and sustain the kinds of amenities that a premier residential community will have by 2030. Some of the things envisioned are as follows: • Make the town more golf cart friendly and more bike friendly • Improve the Trail System, making the town more walkable and more connected • Build a partnership with schools to provide accessibility to the community • Support and enhance parks • Community/Senior Center • Municipal/Public Safety Facility • Maximize accessibility and possibilities offered by Trophy Club Park and Lake Grapevine • Embrace “Modernization,” including staying current with new technology Providing these amenities will require that leaders plan strategically and develop the financial mechanisms to fund them. The town needs more economic development in order to provide the kinds of amenities that residents want. As with the first two pillars, this points to the importance of the council identifying the balance it wants between property taxes and sales taxes. Trophy Club is a picturesque community; residents value this. Residents desire that parks, trails, and other things that enable them to enjoy the area continue to be a priority for the future. Code enforcement is an important aspect of maintaining the beauty of the city, and maximizing the natural beauty of Trophy Club—including enhancing the view and entrance from Highway 114. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 30 Key Thoughts: • Strategically Add Amenities that Residents Want • Use Economic Development to Provide more Amenities • Maintain Picturesque Beauty of Trophy Club • Make the View and Entrance from Highway 114 more Appealing Related Council Goals: • Financial and Operational Stewardship • Healthy, Picturesque, and Environmentally Sound 4. Excellence in Governance Trophy Club needs to become known for excellence in communication and transparency from the Council and Management. Participants desire that Trophy Club’s governance be characterized by transparency and excellence in communicating with citizens. They envision the town leadership being proactive in seeking citizen input in a variety of ways. Excellence includes being intentional about communicating plans, events, news, and developments to the public. Trophy Club is well known for being a safe place to live, and since residents value this safety, they want to foster a high standard in public safety, staff, and municipal services. Key Thoughts: • Pro-active Communication • Strive for Excellence • Highly Transparent • Promote Public Safety Related Council Goals: • Safe and Secure • Financial and Operational Stewardship 5. Trophy Club’s Relationship with Other Governmental Agencies Maintaining healthy relationships with other governmental agencies is a key to Trophy Club’s success, and none is more important to Trophy Club than its relationship with NISD. This must be an ongoing priority. The school’s success will have a big impact upon the town’s success. In order to continue to provide excellent customer service to citizens in the region Trophy Club also needs to maintain healthy relationships with entities such as: • Southlake • Roanoke TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 31 • Westlake • Denton County • Tarrant County • MUD • TxDot • Corps of Engineers • Other cities in the region Trophy Club should continue to be cooperative with MUD while also examining the ways in which this relationship should evolve. Dialogue with MUD about the most cost effective and efficient way to provide services in the future should begin now. Key Thoughts: • Maintain Positive Relationships with other Governmental Agencies • Trophy Club’s Relationships with MUD and NISD are Especially Important Related Council Goals: • Strong Partnerships and Community Involvement • Business-Friendly Economic Development TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 32 CITIZENS OF TROPHY CLUB MAYOR & COUNCIL MEMBERS Town Secretary/ HR Manager HR Coordinator TOWN MANAGER Assistant Town Manager IT Director Network Specialist Director of Finance Budget Analyst Financial Analyst Acct/Bookkeeper Community Development Director Building Official Building Inspector Permit Offical Admin Asst Code Enforcement Officer Senior Planner Court Administrator Economic Development ED/Marketing (.5) Storm Water & Drainage Public Relations Manager ED/ Marketing (.5) Director of Street Services Streets Crew Leader Street Maintenance Workers Director of Parks & Recreation Aquatics/Outdoor Supervisor Recreation Supervisor Trophy Club Park Parks Superintendent Parks Crew Leader Landscape Maintenance Workers Parks Irrigator Irrigation Technician Athletic Crew Leader Athletic Field Technicians Police Chief Police Commander - Operations Patrol Sergeant Patrol Officers Reserve Officers Patrol Sergeant Patrol Officers Reserve Officers Police Sergeant - CID Juvenile Investigator School Resource Officer Animal Control Admin Asst Fire Chief Fire Lieutenants Driver Engineers Firefighters Executive Secretary Town Attorney Town Organizational Chart TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 33 Full Time Equivalent (FTE) Summary 2009-10 ACTUAL 2010-11 ACTUAL 2011-12 ACTUAL 2012-13 ACTUAL 2013-14 CHANGES 2013-14 ADOPTED GENERAL FUND Administrative Services Manager's Office 3.5 4.0 4.8 4.0 2.0 6.0 Human Resources 0.5 1.0 1.0 1.0 - 1.0 Information Services 1.0 2.0 2.0 2.0 - 2.0 Legal 1.0 1.0 1.0 1.0 - 1.0 Public Safety Services Police 15.5 16.0 16.5 20.8 2.2 23.0 Emergency Medical Services 6.3 6.3 6.6 6.8 0.7 7.5 Streets 4.0 4.0 4.0 3.8 - 3.8 Parks 7.5 7.5 11.5 9.5 0.8 10.3 Medians - - - 3.0 - 3.0 Recreation* 2.1 2.1 2.1 2.1 - 2.1 Planning and Zoning 1.0 1.0 1.0 1.0 0.8 1.8 Community Development 1.5 2.0 3.5 5.0 - 5.0 Financial Services Finance 3.0 3.0 3.0 3.0 0.4 3.4 Municipal Court 1.0 1.0 1.0 1.0 - 1.0 Facilities Management N/A N/A N/A N/A N/A N/A TOTAL GENERAL FUND 48.0 51.0 58.0 63.0 6.8 70.8 TROPHY CLUB PARK FUND 1.4 1.4 2.7 1.4 - 1.4 STREET MAINTENANCE SALES TAX FUND 0.6 0.6 0.6 0.7 - 0.7 STORM DRAINAGE UTILITY FUND 0.3 0.3 0.3 0.5 - 0.5 ECONOMIC DEVELOPMENT 4B - - - - 0.4 0.4 TOTAL FULL TIME EQUIVALENTS (FTEs) 50.3 53.3 61.6 66.6 7.2 73.8 *Does not Include Seasonal FTEs for FY 14 • The Town Managers office merged the positions of Human Resource Manager with the Town Secretary position. Three new positions were created: a Human Resources Generalist position, an Executive Secretary position, and a shared Marketing/Economic Development Specialist (shared with the Economic Development 4B Fund). • Finance added a part-time accounting/bookkeeper position. • Three police officers that entered after the first quarter last year are now equivalent to 1 FTE (which equivocates to a 0.7 FTE increase); the animal control officer went from part-time to full-time, which added 0.5 FTE, and the department added a new detective position. • EMS added a full-time firefighter that is split with the MUD. • Planning & Zoning is adding a Senior Planner position this year. Budget in Brief TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 35 Budget in Brief The Town of Trophy Club weathered the recession well, not experiencing the shortfalls and deep budget cuts that many across the county felt. Texas, more specifically North Texas, has been one of the strongest areas to recover and grow after the recession. The financial outlook for the Town is positive showing a growth in new home starts and a corresponding increase in revenues, with the new possibility of a mixed-use development that will potentially expand the sales tax base. The slow growth and uncertainty of the United States’ economy makes it even more important now to be fiscally responsible with the budget and our estimates in the future. This year’s budget document reflects the Town Council and Town Staff’s efforts to meet the challenges the next year will bring. The Town of Trophy Club is coming close to build-out, as a result the revenues received from housing related permits will decrease, but total assessed property value is still expected to increase. The biggest challenge that the Town now faces is to be fiscally responsible while maintaining its high level of service. With a steadily growing population there will be a corresponding increase in services and town personnel. The budget is developed around the goals and objectives set forth by the Town council in the Strategy map. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 36 Staff Initiative Personnel • Provide quality personnel support services in employment, training, employee relations, benefits, compensation, and payroll such that employees are enabled to better serve community members and meet the organizational goals of the Town. • Promote competitive pay, benefits, and a healthy work environment in order to retain and attract qualified and competent staff. Technology • Utilize current and new technology to create greater efficiency in the Town government. o Online Records Migration Economic Development • Continue to work with commercial property owners and brokers to attract and retain businesses. • Begin implementing EDC Strategic Plan. Public Safety • Provide a safe environment for the citizens and visitors of Trophy Club by increasing police-community partnerships and encouraging voluntary compliance of all laws and ordinances. • Trophy Club EMS will continue to provide and maintain community education programs. Town Facilities • The Town will begin the process of acquiring land for a new police building and municipal complex. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 37 Budget Highlights • The Town of Trophy Club lowered its tax rate 3.7% from $0.518543/$100 in FY13 to $0.4993/$100. Despite the decreased tax rate, property tax revenue is expected to increase $454,320 or 11% from the FY13 budget. • General Fund expenditures are expected to increase 7.3% compared to the previous year’s adopted budget. Personnel expenditures are expected to increase 10.7% compared to the previous year’s budget, primarily due to new personnel added for FY14. Capital replacement expenditures are expected to decrease 18.3% from the FY13 budget due to less scheduled replacements compared to FY13. • Street and Drainage construction projects, funded by the 2013 CO, are expected to begin in FY14. Projects include: Indian Creek, Pin Oak Court, and Phoenix Drive Street Reconstruction and Drainage System Improvements for Timber Ridge, Fresh Meadow, and Skyline/Indian Creek. • In FY13 the Town dissolved the EDC 4A Fund and allocated the 0.50% sales tax between the EDC 4B Fund and a new, voter approved Crime Control and Prevention District (CCPD). • The Town secured architectural services to complete a study for a proposed Police Station and Town Hall and is currently in the land acquisition and planning process for the Police Station. The Police Station is a priority due to working space and the fact that the Town does not own the current facility. It is expected that a Town Hall will follow shortly after the Police Station due to limited work space in the current facility. Estimated costs for the two facilities combined are in the $8M to $12M range and would be financed with debt. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 38 56% 11% 25% 1% 1% 3% 1% 1% 0% 2% Expenditures All Funds $13,964,403 General Fund Debt Service Fund Capital Projects Fund CCPD Fund Street Maint. Fund Stormwater Drainage Utility Fund Trophy Club Park Fund Hotel Occupancy Fund Court Technology Fund EDC 4B Fund 57% 12% 7% 9% 2% 6% 6% 0% 1% 0% 1% Total Revenues $10,496,157 Property Tax Sales Tax Franchise Fees Licenses and Permits Intergovernmental Fines and Fees Charges for Service Grants / Contributions Occupancy Tax Investment Income Miscellaneous Income Revenues- All Funds Property Tax $ 5,959,720 General Fund 4,589,856 Debt Service Fund 1,369,864 Sales Tax 1,235,375 General Fund 625,375 CCPD 152,500 Street Maint. Fund 152,500 EDC 4B 305,000 Franchise Fees 729,870 License and Permits 937,860 Intergovernmental 214,008 Fines and Fees 633,227 General Fund 494,227 Trophy Club Park Fund 130,000 Court Technology Fund 5,000 Court Security Fund 4,000 Charges for Service 594,297 General Fund 202,263 Stormwater Drainage Utility Fund 392,034 Occupancy Tax 100,000 Investment Income 6,800 General Fund 5,500 Debt Services Fund 1,000 Capital Projects Fund 100 Hotel Occupancy Fund 100 EDC 4B 100 Miscellaneous Income 85,000 Total Revenues $ 10,496,157 Expenditures All Funds General Fund $ 7,838,406 Debt Service Fund 1,585,092 Capital Projects Fund 3,528,871 CCPD Fund 85,000 Street Maintenance Fund 112,675 Stormwater Drainage Utility 378,283 Trophy Club Park Fund 121,710 Hotel Occupancy Fund 100,100 Court Technology Fund 4,166 EDC 4B Fund 210,100 Total Expenditures $13,964,403 Please note: Expenditures exceeding revenues in total reflects a draw-down in available balances – primarily due to capital projects expenditures (Corresponding bond proceeds reflected as revenue in prior years – related expenditures generally made over several years) TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 39 General Fund – Revenues 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted % Change (From FY 13 Budget) % Change (From FY 13 Estimate) Property Taxes $4,135,536 $4,137,708 $4,589,856 11.0% 10.9% Licensing and Permits 870,185 928,301 937,860 7.8% 1.0% Franchise Fees 675,654 704,403 729,870 8.0% 3.6% Sales Taxes 634,170 618,700 625,375 -1.4% 1.1% Fines and Fees 493,910 569,019 494,227 0.1% -13.1% Intergovernmental 163,643 169,512 214,008 30.8% 26.2% Charges for Service 217,161 224,508 202,263 -6.9% -9.9% Investment Income 4,000 5,300 5,500 37.5% 3.8% Miscellaneous Income 97,500 193,084 85,000 -12.8% -56.0% TOTAL $7,291,759 $7,550,535 $7,883,959 8.1% 4.4% 58% 12% 9% 8% 6% 3% 3% 0% 1% PROPERTY TAXES LICENSING AND PERMITS FRANCHISE FEES SALES TAXES FINES AND FEES INTERGOVERNMENTAL CHARGES FOR SERVICES INVESTMENT INCOME MISCELLANEOUS INCOME FY 2014 Revenues TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 40 Revenues – Highlights: • Property tax revenue is expected to increase $454,320 or 11% over the FY13 budget as a result of new properties being added to the tax roll for FY14 despite a tax rate decrease of 3.7%. • Revenue from Licensing and Permits are expected to increase 7.8% or $67,675 from the FY13 budget due to continued high levels of residential permits issued anticipated throughout FY14. • Franchise fee collections are expected to increase 8% or $54,216 from the FY13 budget due to more homes and businesses residing within Trophy Club compared to the previous year. • Sales Taxes are expected to increase 1.1% or $6,675 from FY13 estimates. • Intergovernmental revenues are expected to increase 30.8% or $50,365 primarily related to payments from EDC 4B to the General Fund to repay amounts borrowed from the General Fund to defease debt in FY13. • General Fund - Expenditures By Department FY14 EXPENDITURES 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted % Change (From FY 13 Budget) % Change (From FY 13 Est.) Manager's Office $ 691,824 $ 700,645 $ 872,641 26.1% 24.5% Human Resources 113,906 105,538 98,382 -13.6% -6.8% Information Services 348,141 359,146 374,271 7.5% 4.2% Legal 168,638 164,977 184,246 9.3% 11.7% Police 1,811,015 1,893,241 1,963,011 8.4% 3.7% Emergency Medical Services 810,618 802,615 853,933 5.3% 6.4% Streets 465,184 456,090 444,452 -4.5% -2.6% Medians 323,225 340,217 306,772 -5.1% -9.8% Parks 936,633 909,436 980,967 4.7% 7.9% Recreation & Community Events 611,552 588,439 609,743 -0.3% 3.6% Planning & Zoning 164,620 260,223 241,753 46.9% -7.1% Community Development 333,028 317,995 355,601 6.8% 11.8% Finance 368,303 366,122 395,440 7.4% 8.0% Municipal Court 83,946 64,361 84,994 1.2% 32.1% Facilities Management 72,961 73,940 72,200 -1.0% -2.4% TOTAL EXPENDITURES $7,303,594 $7,402,985 $7,838,406 7.3% 5.9% TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 41 By Use FY14 EXPENDITURES 2012-2013 Adopted 2012-2013 Estimated 2013-2014 Adopted % Change (From FY13 Budget) % Change (From FY13 Estimate) Personnel Services $5,244,665 $5,141,571 $5,806,764 10.7% 12.9% Purchased Service 1,374,596 1,572,871 1,399,973 1.8% -11% Supplies 339,250 355,900 347,010 2.3% -2.5% Capital 280,009 284,459 228,743 -18.3% -19.6% Community Events 49,700 48,184 55,915 12.5% 16% Total $7,304,472 $7,402,985 $7,838,406 7.3% 5.9% Expenditures – Highlights: • Personnel – Total personnel expenditures are expected to increase 10.7% or $562,099 from the FY13 budget. The expenditures include multiple new positions funded from the General Fund including: o A full-time Animal Control Officer (previously part-time). o A new Detective in the Police Department. o An additional Parks Maintenance employee. o 50% funding of a full-time Firefighter. o 50% funding of a full-time Marketing/Economic Development Analyst. o Adding a Senior Planner to the Planning & Zoning Department. o Adding a part-time accountant/bookkeeper to the Finance Department. In addition to the new positions, a 2% cost of living adjustment was given to all employees effective October 1, 2013. Market adjustments were also applied to Patrol Officers in the Police Department. • Purchased Services / Supplies – The total of these categories are expected to increase 1.9% or $33,137 from the FY13 budget, which maintains consistency with the Town’s goal to keep increases near levels of inflation. The largest addition to this category is $7,500 per year ongoing maintenance for online budget software purchased in FY13. • Capital – Capital expenditures are expected to decrease 18.3% or $51,266 from the FY13 budget as scheduled replacements are decreased from the previous year. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 42 Future Challenges Trophy Club is in excellent financial condition and weathered the recession well with expansive residential growth to combat any depressed valuations of existing properties. However, as the Town reaches residential build-out over the next two years, with accompanying severe declines in licensing and permit revenue, the Town maintained a cautious approach in developing the FY14 budget. When residential build-out occurs, any growth in assessed valuation will reflect appreciation in the existing tax base, essentially leveling property tax revenues. Additionally, with residential build-out comes increased service level demand that may require additional staffing. New staff is added only if a demonstrated need exists and is evaluated in the context of the benefit to citizens versus the cost. The Town currently has an estimated FY13 ending fund balance of $2,851,702 or 39% of General Fund expenditures. The FY14 budget estimates an ending fund balance of $2,908,255 or 37% of General Fund expenditures. The Town goal is to maintain a fund balance of at least 30% of General Fund expenditures, which would equal $2,220,896 in FY13 and $2,351,522 in FY14. Town policy requires a minimum fund balance of 15% of General Fund expenditures, which would equal $1,110,448 in FY13 and $1,175,761 in FY14. $- $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 $6,000,000 $7,000,000 $8,000,000 $9,000,000 FY 2010 FY 2011 FY 2012 FY 2013 (Estimate) FY 2014 (Adopted) Revenues Expenditures Fund Balance Fund Balance Goal Fund Balance Required Fund Balance 39% 39% 44% 49% 37% All Fund Section TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 44 All Funds Summary (Budget Year) TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 45 All Funds Summary (Three Year) TOWN OF TROPHY CLUB, TEXAS Annual Program of Service 46 All Funds Summary (Three Year) (1) Non-Major Government Funds Include: Court Security Fund, Court Technology Fund, Street Maintenance Sales Tax Fund, Crime Control Prevention District Fund, and Hotel Occupancy Tax Fund The General Fund TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 48 The General Fund Revenues, Expenditures (By Department) & Fund Balance 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted 2014-15 Projected 2015-16 Projected Beginning Fund Balance $ 2,067,837 $ 2,113,820 $ 2,642,792 $ 3,348,852 $ 3,348,852 $ 2,851,702 $ 2,964,808 $ 2,665,332 Revenues Property Tax 3,215,161 3,442,842 3,852,874 4,135,536 4,137,708 4,589,856 5,048,842 5,452,749 License and Permitting 675,485 792,067 1,112,979 870,185 928,301 937,860 506,685 304,185 Franchise Fees 519,959 608,806 693,722 675,654 704,403 729,870 735,394 757,822 Sales Tax 541,711 508,187 606,714 634,170 618,700 625,375 649,171 665,361 Fines and Fees 336,908 554,312 684,807 493,910 569,019 494,227 450,211 456,411 Intergovernmental 76,526 290,498 265,686 163,643 169,512 214,008 87,000 87,000 Charges for Service 184,684 209,305 214,821 217,161 224,508 202,263 191,736 191,736 Investment Income 5,662 4,124 5,632 4,000 5,300 5,500 10,000 10,000 Miscellaneous Income 98,331 91,320 87,000 97,500 193,084 85,000 97,500 97,500 Total Revenues 5,654,427 6,501,461 7,524,235 7,291,759 7,550,535 7,883,959 7,776,539 8,022,764 Expenditures General Government 19,888 Manager's Office 607,341 556,489 636,758 691,824 700,645 872,641 898,820 925,785 Human Resources 44,304 90,060 94,839 113,906 105,538 98,382 101,334 104,373 Information Services 155,490 287,448 330,204 348,141 359,146 374,271 384,158 394,341 Legal 146,431 146,881 154,236 169,516 164,977 184,246 189,719 195,358 Police 1,402,229 1,463,179 1,638,863 1,811,015 1,893,241 1,963,011 2,021,901 2,082,559 Emergency Medical Services 646,249 688,213 695,139 810,618 802,615 853,933 873,309 899,508 Streets 375,124 384,513 417,998 465,184 456,090 444,452 491,786 506,539 Medians - - - 323,225 340,217 306,772 315,975 325,454 Parks 777,463 951,328 1,141,216 936,633 909,436 980,967 1,012,580 1,042,876 Recreation & Community Events 511,720 571,805 518,440 611,552 588,439 609,743 441,749 454,102 Planning & Zoning 160,895 154,225 233,134 164,620 260,223 241,753 369,355 375,126 Community Development 183,383 189,425 248,339 333,028 317,995 355,601 366,269 377,257 Finance 257,275 360,548 528,143 368,303 366,122 395,440 407,303 419,522 Municipal Court 73,782 80,260 78,929 83,946 64,361 84,994 87,544 90,169 Facilities Management 73,369 76,484 65,341 72,961 73,940 72,200 74,366 76,597 Total Expenditures 5,434,943 6,000,858 6,781,579 7,304,472 7,402,985 7,838,406 8,036,168 8,269,566 Other Financing Sources (Uses) Transfers In 17,400 75,000 64,019 12,300 15,300 11,000 13,500 13,500 Transfers Out (190,901) (46,631) (100,615) - (660,000) - - - Total Other Sources (Uses) (173,501) 28,369 (36,596) 12,300 (644,700) 11,000 13,500 13,500 Net Increase (Decrease) 45,983 528,972 706,060 - (497,150) 56,553 (246,129) (233,302) Ending Fund Balance $ 2,113,820 $ 2,642,792 $ 3,348,852 $ 3,348,852 $ 2,851,702 $ 2,908,255 $ 2,662,126 $ 2,428,824 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 49 General Fund Revenues The largest revenue source in the General Fund is the ad valorem Property Tax. Property tax revenues are calculated by multiplying the tax rate by the property tax base. The tax rate for the fiscal year 2014 (FY14) adopted budget is based on a $0.4993 ad valorem tax rate. This rate is 2.0% less than the calculated effective tax rate ($0.509899) that would provide the same level of revenue on existing properties as FY13. This is a 3.7% decrease from the ad valorem tax rate of FY13 ($0.518543). The ad valorem tax rate is comprised of two components. The first is the maintenance and operations component (M&O) that is used to calculate revenue to fund the Town’s General Fund operations. The second component is the Interest & Sinking (I&S) portion that is used to calculate revenue to pay the Town’s general debt service obligations. The Property Tax Base is calculated by both Denton County and Tarrant County, since the Town of Trophy Club has property in both counties; by adding both appraised values together you have the total appraised value for Trophy Club. After adding up both 2013 appraisal rolls, total property value shows an increase of 15.8% over the 2012 certified values, with a current average home value of $291,790. In FY14 there are a projected 265 homes to be built; this will 0 1,000,000 2,000,000 3,000,000 4,000,000 5,000,000 6,000,000 7,000,000 8,000,000 Revenue Summary MISCELLANEOUS INCOME INVESTMENT INCOME CHARGES FOR SERVICES INTERGOVERNMENTAL FINES AND FEES SALES TAXES FRANCHISE FEES LICENSING AND PERMITS PROPERTY TAXES $- $200,000,000.00 $400,000,000.00 $600,000,000.00 $800,000,000.00 $1,000,000,000.00 $1,200,000,000.00 FY 06 FY 07 FY 08 FY 09 FY 10 FY 11 FY 12 FY 13 FY 14 Total Taxable Value TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 50 continue to increase the total assessed value of Trophy Club, which will in turn increase revenues derived from property tax. Over the next two years it is projected that the property tax base will increase substantially until complete build-out occurs. Licensing and Permits are the second largest revenue source for the general fund. This revenue source grouping contains Building Permits, Fire Permits, Miscellaneous Permits, Plumbing Permits, and Multifamily Residence License. This revenue source is expected to increase 1.03% from the FY13 estimate. In the next two years building related permits and licensing are expected to substantially decrease as Trophy Club approaches build-out. Franchise Fees are the third largest revenue source in the General Fund. These fees are charged to gas, electric, telecommunications, solid waste, and cable companies for the use of the city’s right-of- way, typically 4-6% of the utilities’ annual revenues. They are projected based on past and current trends and franchisee’s estimates. Franchise fees are projected to increase 3.6% over the FY13 estimate. The Sales Tax is the fourth largest revenue source in the General Fund. The State of Texas charges a 6.25% sales tax; local governments have an additional 1.0% sales tax that they receive. The other 1.0% of the sales tax use has to be approved for a specific use by voters. In the Town of Trophy Club consumers pay 8.25% sales tax total. The general fund receives 1% of the sales tax from local sales. Included in the sales tax totals is the Mixed Beverage tax, $- $200,000 $400,000 $600,000 $800,000 $1,000,000 $1,200,000 License and Permitting $- $100,000 $200,000 $300,000 $400,000 $500,000 $600,000 $700,000 Sales Tax Revenue $- $50,000 $100,000 $150,000 $200,000 $250,000 $300,000 $350,000 $400,000 Franchise Fees Electric Gas Telecommunications Cable Refuse TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 51 State of Texas 6.25% Trophy Club 1.00% TC Economic Dev. 4B 0.50% Street Maintenance 0.25% CCPD 0.25% Total 8.25% this tax only brings in 2.0% of the revenue for this category. The FY14 budget projects a 1.07% growth in receipts over the current year’s estimate. The sales tax revenue is wholly dependent on the local economic conditions and can fluctuate. Fines and Fees are charges for utilizing a government service or receiving a penalty. The main revenue sources for Fines and Fees are development related fees, recreational fees, and court related fines and fees. Development fees are expected to decrease 15% compared to FY13 estimate, due to new developments reaching build-out, which decreases the number of development related fees collected. Development related fees are P & Z Adminstrative Fees, Developer Fees, Zoning Fees, and Platting Fees. The majorty of the revenue received is from the Developer’s Fee. These fees steeply rose from 2010-2012 due to a new development, but with the development coming close to build-out, revenues are projected to decrease steeply. The municipal court derives its revenues from citations primarily associated with motor vehicles, misdemeanors, and code enforcement. The fines and fees from the Municpal Court have remained fairly constant and are projected to remain that steady for the next three years. 0 50,000 100,000 150,000 200,000 250,000 300,000 350,000 Development Related Fee Total TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 52 Recreation based fees have increased in FY14 due to an increased admissions fee to the pool and an increase to the pool rental fee. Other recreation based fees are projected to increase with the growth in population. Overall Fines and Fees are projected to decrease from the fiscal year 2013 estimate due to a decrease in building related fees as the Town approaches substantial build-out. After fiscal year 2014, Fines and Fees are expected to stablize. Investment Income - The Town of Trophy Club maintians an investment policy to ensure the safety of principal, maintain sufficient liquidity to meet operational needs, maintain the trust of the public, and optimize interest earnings. Investment earnings are expected to increase $1,500 or 37.5% from the FY13 budget. Miscellaneous – Miscellaneous revenues represent unanticipated revenues as well as minor sources not contained in other categoreis. Included in this category are other various non- routine revenues recieved. Tower rental and gas well revenues also fall into this category. $0 $100,000 $200,000 $300,000 $400,000 $500,000 $600,000 $700,000 $800,000 FINES AND FEES $0 $50,000 $100,000 $150,000 $200,000 $250,000 $300,000 Recreation fees TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 53 General Fund - Expenditures Expenditures by Category Personnel – Personnel related expenditures are expected to increase $562,099 or 10.7% in FY14 primarily due to the addition of new positions. The Town Animal Control Officer was moved to a full-time position from part-time. A new Detective was budgeted in the Police Department. A new Senior Planner was budgeted in Planning & Zoning and an additional Park Maintenance employee was budgeted in the Parks Department. The FY14 budget also includes 50% funding for both a Firefighter (50% covered by the MUD) and a Marketing/Economic Development Analyst (50% covered by 4B). Additionally, a part-time Accountant/Bookkeeper was budgeted in the Finance Department. The FY14 budget also includes 2% cost of living adjustments for all employees and market adjustments for Patrol Officers to remain competitive in the marketplace. Purchased Services / Supplies – The sum of these categories are expected to increase $33,137 or 1.9% from FY13. The largest increase comes from $7,500 per year for ongoing maintenance of the new online budget software purchased in FY13. Otherwise these categories are expected to experience only small increases in the near future. Capital – Capital expenditures are expected to decrease $51,266 or 18.3% from the FY13 budget as there is less equipment to replace in FY14. General Fund equipment replacement budgeted for FY14 includes: A police Tahoe, animal control vehicle (with slide), detective replacement car, EMS radios and Toughbook, fence replacement in the common area behind Beck Elementary School, a new generator for facilities maintenance, and scheduled Information Technology replacements. 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted 2014-15 Projected 2015-16 Projected Expenditures Personnel Services 3,723,981 4,256,527 4,716,652 5,244,665 5,141,571 5,806,764 5,786,078 5,953,424 Purchased Services 1,135,505 1,194,653 1,327,784 1,374,596 1,572,871 1,399,973 1,557,895 1,598,873 Supplies 212,569 278,752 327,733 339,250 355,900 347,010 357,421 368,142 Capital 320,211 222226 361,521 280,009 284,459 228,743 283,182 289,807 Community Events 42,677 48114 47,889 49,700 48,184 55,915 57,592 59,320 Total Expenditures 5,434,943 6,000,858 6,781,579 7,304,472 7,402,985 7,838,406 8,036,168 8,269,566 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 54 Revenue Summary FY10 Actual FY11 Actual FY12 Actual FY13 Adopted FY 13 Estimate FY 14 Adopted FY15 Proposed FY16 Proposed PROPERTY TAXES Property Taxes 3,164,661 3,408,917 3,788,436 4,070,410 4,068,304 4,517,575 4,969,333 5,366,879 Property Taxes/Prior Year 23,500 11,510 36,357 30,528 46,602 33,882 37,270 40,252 Property Taxes/P & I 27,000 22,415 28,081 34,598 22,802 38,399 42,239 45,618 TOTAL PROPERTY TAXES $ 3,215,161 $ 3,442,842 $ 3,852,874 $ 4,135,536 $ 4,137,708 $ 4,589,856 $5,048,842 $5,452,749 SALES TAXES Mixed Beverage Tax 12,030 14,689 17,151 8,080 15,700 15,375 15,721 16,075 Sales Tax - General 529,681 493,498 589,563 626,090 603,000 610,000 633,450 649,286 TOTAL SALES TAXES $ 541,711 $ 508,187 $ 606,714 $ 634,170 $ 618,700 $ 625,375 $ 649,171 $ 665,361 FRANCHISE FEES Electric 290,948 349,414 358,050 350,000 353,803 359,110 360,500 371,315 Gas 37,322 48,811 52,302 54,394 49,000 56,570 55,482 56,592 Telecommunications 52,391 46,938 50,108 62,424 53,000 54,060 57,222 58,366 Cable 96,564 113,687 163,420 128,838 180,000 189,000 187,503 193,128 Refuse 42,734 49,956 69,842 79,998 68,600 71,130 74,687 78,421 TOTAL FRANCHISE FEES $ 519,959 $ 608,806 $ 693,722 $ 675,654 $ 704,403 $ 729,870 $ 735,394 $ 757,822 FINES AND FEES P & Z Administrative Fees 6,000 2,407 3,727 3,000 3,500 3,000 3,000 3,000 Developer Fees 32,818 160,541 277,995 90,000 215,000 50,000 10,000 10,000 Zoning Fees - 1,443 795 500 6,141 500 500 500 Platting Fees 5,030 2,605 10,733 3,000 8,585 3,000 3,000 3,000 Denton/Tarrant Cty Pledge - EMS 12,009 5,546 5,294 7,000 5,300 5,000 5,000 5,000 Municipal Court Fines/Fees 115,651 165,300 105,941 140,000 94,000 140,000 140,000 144,200 Municipal Court Security Fee 4,500 2,161 43,193 - - - - - Misc Police Revenue 500 598 321 7,671 1,367 3,600 - - Association Concession Fees - - - 11,000 - - - - Day Camp Programs 57,411 51,014 59,285 69,000 49,298 70,000 70,000 70,000 Aquatic Programs 21,600 20,997 17,613 16,000 18,099 17,865 16,000 16,000 Recreation Programs 3,300 - - - - - - - Pool Concessions 9,000 20,789 20,579 17,000 21,618 23,000 17,000 17,000 Pool Entry Fees 32,339 75,629 86,315 70,000 92,215 118,097 119,278 120,471 Swim Team Programs 22,000 29,055 28,643 31,239 26,550 28,265 31,864 32,501 Records Management Revenue 750 526 4,041 1,000 1,000 1,000 1,000 1,000 Cty Veh Reg Fees/Child Safety - - 7,841 8,000 10,470 8,000 8,000 8,000 Community Events Revenue 8,000 3,601 1,782 8,500 5,546 6,000 8,500 8,500 Pool Rentals 6,000 12,100 10,709 11,000 10,330 16,900 17,069 17,240 TOTAL FINES AND FEES $ 336,908 $ 554,312 $ 684,807 $ 493,910 $ 569,019 $ 494,227 $ 450,211 $ 456,411 LICENSES AND PERMITS Building Permits 581,685 664,176 990,735 727,500 760,000 773,000 375,000 187,500 Fire Permits/Sprinkler 800 425 1,150 400 400 450 400 400 Miscellaneous Permits 38,000 53,790 59,324 135,875 151,000 149,000 115,875 100,875 Plumbing Permits 55,000 67,266 61,770 - 10,491 9,000 9,000 9,000 Multifamily Residence License - 6,410 - 6,410 6,410 6,410 6,410 6,410 Storm Drainage - - - - - - - - TOTAL LICENSES AND PERMITS $ 675,485 $ 792,067 $ 1,112,979 $ 870,185 $ 928,301 $ 937,860 $ 506,685 $ 304,185 MISCELLANEOUS Auction Sales 12,000 955 18,130 5,000 5,000 5,000 5,000 5,000 Vending Revenue 900 463 144 - - - - - Gas Well Revenues 5,000 1,607 285 500 1,512 500 500 500 Tower Revenue 30,000 32,866 34,500 48,000 34,500 34,500 48,000 48,000 Recreation Rentals 8,000 5,233 10,511 11,000 18,088 20,000 11,000 11,000 Miscellaneous Revenue 42,431 50,196 23,430 33,000 133,984 25,000 33,000 33,000 TOTAL MISCELLANEOUS $ 98,331 $ 91,320 $ 87,000 $ 97,500 $ 193,084 $ 85,000 $ 97,500 $ 97,500 INVESTMENT INCOME TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 55 Interest Income 5,662 4,124 5,632 4,000 5,300 5,500 10,000 10,000 TOTAL INVESTMENT INCOME $ 5,662 $ 4,124 $ 5,632 $ 4,000 $ 5,300 $ 5,500 $ 10,000 $ 10,000 CHARGES FOR SERVICES EMS Runs 130,747 152,478 156,496 155,000 125,000 130,000 130,000 130,000 Police Grants 27,802 - - - - - - - Loan Proceeds - - - - - - - - Misc Fire Revenue - - - - - - - - Animal Registration/Donations 4,300 3,478 3,990 3,425 2,423 3,500 3,500 3,500 CIA Lien Revenues 1,000 849 1,835 1,000 - 500 500 500 PID Reimbursement - - - 4,051 43,400 14,578 4,051 4,051 NISD Contribution 20,835 52,500 52,500 53,685 53,685 53,685 53,685 53,685 Insurance Settlements - - - - - - - - Convenience Fees - - - - - - - - TOTAL CHARGES FOR SERVICES $ 184,684 $ 209,305 $ 214,821 $ 217,161 $ 224,508 $ 202,263 $ 191,736 $ 191,736 INTERGOVERNMENTAL MUD Service Contract - 228,076 190,769 85,465 85,465 77,048 - - Inter. Gov. Trans In 70,672 54,865 59,310 78,178 78,178 136,960 87,000 87,000 Recovery of Prior Year Expense 5,854 7,557 15,607 - 5,869 - - - TOTAL INTERGOVERNMENTAL $ 76,526 $ 290,498 $ 265,686 $ 163,643 $ 169,512 $ 214,008 $ 87,000 $ 87,000 TOTAL REVENUES $ 5,654,427 $ 6,501,461 $ 7,524,235 $ 7,291,759 $ 7,550,535 $ 7,883,959 $7,776,539 $8,022,764 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 56 Manager’s Office Mission: To provide leadership and direction for the Trophy Club team by utilizing Best Management Practices, progressive thinking and planning, as well as promoting a positive public image of the organization and the Town on both a local and regional basis. The Manager’s Office seeks to support the Town’s mission by building strong partnerships and deepening community involvement, creating business-friendly economic development, developing environmentally sound policies, ensuring the safety and security of all residents and staff, and maintaining financial and operational stewardship. Top 3 Accomplishments from FY13 1. Website Redesign 2. Completion and adoption of the Trophy Club Vision 2030 Plan 3. Successful election to reallocate sales tax monies from EDC 4A (dissolved) to CCPD (created) and add an additional ¼ cent to EDC 4B Strategic Plan Goal 1- Facilitate staff efforts to fulfill day-to-day requirements for the Town as well as Council goals • Manage day-to-day Town operations • Implement FY14 Budget • Foster a positive work environment • Goal-setting retreats with Town Council and Management Team Goal 2- Meet and negotiate with various representatives, local and otherwise, on behalf of the Town • Continue to partner with government entities to seek opportunities on regional services and programs • Continue to partner with the Metroport Chamber of Commerce, Metroport Cities, Northwest Communities, Trophy Club Country Club, and other local and regional organizations. Goal 3- Act in a leadership role for the staff and act to spearhead Council initiatives • Continue to plan and act accordingly to evaluate land acquisition opportunities and facility development • Continue developing communication initiatives such as newsletters, Annual Report, website, etc. • Town fiscal integrity • Continue to update and maintain Town Codification • Implement Vision 2030 • Manage Street and Storm Water Capital Improvement Projects Goal 4- Work with Economic Development to attract new businesses to the Town • Host developers/business Alliance Development Forum • Continue to work with commercial property owners and brokers to attract and retain businesses • Begin implementing EDC Strategic Plan • Continue to focus and develop Trophy Club and regional marketing initiatives Goal 5- Spearhead new programs and Town initiatives to foster Town progress and long-term growth • Review Town ordinances and codes for appropriate updates • Continue to seek and apply for award recognition TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 57 Workload & Productivity Measures 2011-2012 Actual 2012-2013 Estimate 2012-2013 Actual 2013-2014 Estimate • Produce weekly update for the Town Council 36 45 49 45 • Number of Open Records Requests Processed 171 350 335 375 • Number of Elections Conducted 1 2 2 2 • Completion of program and services adopted or amended in Budget 100% 100% 100% 100% • Town documents uploaded to records management software within 3 days of approval 100% 100% 90% 95% • Post approved minutes of all Town Boards and Commissions to the Town’s website 100% 100% 100% 100% Staff 2011-2012 Actual 2012-2013 Actual 2013-2014 Adopted • FTE 4.8 4.0 6.0 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 58 ----------------Past----------------- ----Projected Year---- --Budget-- Financial Summary 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted % Change (Est. vs. Ado.) Personnel Services $359,529 $ 424,366 $495,717 $ 547,126 $562,115 $711,541 27% Purchased Services 118,756 66,406 71,716 83,809 72,797 95,240 31% Supplies 18,431 32,984 69,325 60,889 65,733 65,860 <1% Capital 110,625 32,733 - - - - NA TOTAL $607,341 $ 556,489 $636,758 $ 691,824 $700,645 $872,641 25% 11% 1% 5% 2% 25% 11% 6% 4% 13% 8% 3% 5% 5% 1% 1% 0% 5% 10% 15% 20% 25% 30% Percent of General Fund Expenditures TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 59 MANAGER'S OFFICE 2009-10 2010-11 2011-12 2012-13 2012-13 2013-14 2014-15 2015-16 DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ESTIMATE ADOPTED PROJECTED PROJECTED PERSONNEL SERVICES Salaries & Wages 270,808 319,618 382,614 405,948 418,000 511,872 527,228 543,045 Overtime - - - - - - - - Longevity 1,491 1,138 1,288 1,728 1,728 2,146 2,210 2,277 Retirement 37,434 46,647 53,290 57,040 63,000 85,705 88,276 90,924 Medical Insurance 15,639 19,322 18,770 20,207 19,153 42,636 43,915 45,233 Dental Insurance 955 1,155 1,501 1,580 1,637 3,055 3,147 3,241 Vision Insurance 184 223 383 381 405 706 727 749 Life Insurance & Other 1,268 1,848 1,172 2,702 3,871 3,224 3,321 3,420 Social Security Taxes 16,671 20,354 21,813 25,875 23,455 31,052 31,984 32,943 Medicare Taxes 4,212 4,791 5,578 6,051 6,100 7,262 7,480 7,704 Unemployment Taxes 721 748 1,086 1,566 1,000 1,297 1,336 1,376 Worker's Compensation 1,315 887 796 1,066 1,192 1,204 1,240 1,277 Auto Allowance 8,300 7,094 7,207 12,000 12,000 12,000 12,360 12,731 Stipend - - - 10,000 10,000 8,400 8,652 8,912 Pre-Employment Physicals/Testing 69 87 62 - 125 - - - Employee Relations 461 454 157 982 450 982 1,011 1,042 TOTAL PERSONNEL SERVICES $ 359,529 $ 424,366 $ 495,717 $ 547,126 $ 562,115 $ 711,541 $ 732,887 $ 754,874 PURCHASED SERVICES Telephone 160 294 750 746 1,200 718 740 762 Communications/Pagers/Mobiles 2,465 3,086 2,094 3,531 3,000 4,057 4,179 4,304 Service Charges & Fees - 33 723 - - - - - Newsletter/Year In Review/Communication - 9,233 10,000 10,000 5,500 10,000 10,300 10,609 Dues & Memberships 13,287 12,348 15,321 15,476 13,000 17,975 18,514 19,070 Meetings 1,460 2,732 7,880 9,463 5,500 8,345 8,595 8,853 Schools & Training 2,671 2,953 4,752 4,795 2,500 4,440 4,573 4,710 Travel & Per Diem 2,460 4,143 7,162 9,310 6,000 12,065 12,426 12,799 Elections 19,157 4,648 5,509 9,000 21,673 17,860 18,396 18,948 Advertising 3,820 3,569 1,661 1,500 323 1,000 1,030 1,061 Meals on Wheels 1,200 1,200 3,000 - 2,000 2,000 2,060 2,122 Independent Labor 1,601 1,502 1,783 1,607 1,500 1,600 1,648 1,697 Records Management 785 1,949 1,316 1,500 1,500 1,500 1,545 1,591 Printing 1,326 541 290 680 100 680 700 721 Professional Outside Services 68,364 18,175 9,475 16,200 9,000 13,000 13,390 13,792 TOTAL PURCHASED SERVICES $ 118,756 $ 66,406 $ 71,716 $ 83,809 $ 72,797 $ 95,240 $ 98,097 $ 101,040 SUPPLIES Maintenance Supplies - - 82 - 51 100 103 106 Publications/Books/Subscriptions 133 153 281 300 282 100 103 106 Miscellaneous Expenses - 3,682 - 3,000 3,000 3,000 3,090 3,183 Contingency Expense - - 14,136 28,000 28,000 28,000 28,840 29,705 Furniture/Equipment < $5000 2,444 2,664 3,764 2,000 2,000 2,000 2,060 2,122 Postage 1,755 1,453 1,368 1,545 1,500 1,400 1,442 1,485 Mayor/Council Expenses 12,114 22,099 44,759 24,044 28,000 28,760 29,623 30,511 Office Supplies 1,985 2,933 4,935 2,000 2,900 2,500 2,575 2,652 TOTAL SUPPLIES $ 18,431 $ 32,984 $ 69,325 $ 60,889 $ 65,733 $ 65,860 $ 67,836 $ 69,871 CAPITAL Land Acquisition 110,625 32,733 - - - - - - TOTAL CAPITAL $ 110,625 $ 32,733 $ - $ - $ - $ - $ - $ - TOTAL EXPENDITURES $ 607,341 $ 556,489 $ 636,758 $691,823 $ 700,645 $ 872,641 $ 898,820 $ 925,785 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 60 LEGAL Mission: To assist the Town of Trophy Club in achieving its goals and objectives by providing legal services that offer efficient and ethical Town representation consistent with professionally- accepted legal practices. Strategic Plan Goal 1- Provide legal support to Council and Town staff • Legislation • Municipal Court/Police • Legal Advice/briefings • Zoning and development • Code enforcement Goal 2- Provide efficient and effective legal representation • Identification of liability risks • Joint Governmental contracts Goal 3- Promote positive recognition and reputation with the general public and external contacts • Promote regional positive recognition • Promote professional development • Provide direct contact to residents Goal 4- Proactively reduce liability to Town by having risk management services • Develop inspection procedures • Safety protocols and training for departments • Claims management • Personnel policy interpretation Goal 5- Increase efforts to collect monies due to the Town in a timely manner • PID • Facility damages • Court Staff 2011-2012 Actual 2012-2013 Actual 2013-2014 Adopted • FTE 1.00 1.00 1.00 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 61 Workload & Productivity Measures 2011-2012 Actual 2012-2013 Estimate 2012-2013 Actual 2013-2014 Estimate • Ordinances/Resolutions/Documents reviewed/prepared 250 275 275 275 • Agendas reviewed 39 41 41 41 • Requests for general legal research/advice 1,175 1,460 1500 1510 • Meetings attended 176 180 181 180 • Percentage of trials successfully prosecuted 95% 95% 100% 95% • Requests for legal services processed within provided deadline 95% 95% 95% 95% ----------------Past---------------- ----Projected Year---- --Budget-- Financial Summary 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted % Change (Est. vs. Ado.) Personnel Services $131,294 $ 131,899 $140,092 $146,794 $146,397 $151,546 4% Purchased Services 15,137 14,982 14,139 22,672 18,580 32,640 76% Supplies - - 5 50 - 60 NA TOTAL $146,431 $ 146,881 $154,236 $169,516 $164,977 $184,246 12% 11% 1% 5% 2% 25% 11% 6% 4% 13% 8% 3% 5% 5% 1% 1% 0% 5% 10% 15% 20% 25% 30% Percent of General Fund Expenditures TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 62 LEGAL 2009-10 2010-11 2011-12 2012-13 2012-13 2013-14 2014-15 2015-16 DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ESTIMATE ADOPTED PROJECTED PROJECTED PERSONNEL SERVICES Salaries & Wages 107,764 107,811 110,635 112,475 112,475 115,566 119,033 122,604 Life Insurance & Other - - 366 - 1,248 729 751 773 Retirement 14,485 15,252 15,370 16,097 15,895 17,216 17,732 18,264 Longevity - - - 878 878 975 1,004 1,034 Medical Insurance - 79 4,432 5,052 4,301 5,304 5,463 5,627 Dental Insurance - 6 344 362 353 362 373 384 Vision Insurance - 1 82 81 79 81 83 86 Social Security Taxes 6,914 6,734 6,772 7,128 6,788 7,337 7,557 7,784 Medicare Taxes 1,617 1,585 1,601 1,667 1,636 1,716 1,767 1,821 Unemployment Taxes 189 159 261 261 10 187 193 198 Worker's Compensation 325 272 229 293 234 273 281 290 Stipend - - - 2,500 2,500 1,800 1,800 1,800 TOTAL PERSONNEL SERVICES $ 131,294 $ 131,899 $ 140,092 $ 146,794 $ 146,397 $ 151,546 $ 156,038 $ 160,666 PURCHASED SERVICES Telephone 67 74 90 93 195 76 78 81 Communications/Pagers/Mobiles 796 851 641 694 620 694 715 736 Schools & Training 175 175 175 425 250 425 438 451 Travel & Per Diem 972 1,040 1,192 1,784 500 1,739 1,791 1,845 Office Supplies - 41 5 100 115 130 134 138 Publications/Books/Subscripts 8,137 7,503 7,235 9,121 8,000 9,121 9,395 9,676 Dues & Memberships 425 410 380 455 400 455 469 483 Professional Outside Services 4,564 4,888 4,421 10,000 8,500 20,000 20,600 21,218 TOTAL PURCHASED SERVICES $ 15,137 $ 14,982 $ 14,139 $ 22,672 $ 18,580 $ 32,640 $ 33,619 $ 34,628 SUPPLIES Postage - - 5 - - 10 10 11 Miscellaneous Expenses - - - 50 - 50 52 53 TOTAL SUPPLIES $ 0 $ 0 $ 5 $ 50 $ 0 $ 60 $ 62 $ 64 TOTAL EXPENDITURES $ 146,431 $ 146,881 $ 154,236 $ 169,516 $ 164,977 $ 184,246 $ 189,719 $ 195,358 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 63 Human Resources Mission: To provide quality personnel support services in employment, training, employee relations, benefits, compensation, and payroll such that employees are enabled to better serve community members and meet the organizational goals of the Town. Top 3 Accomplishments from FY13 1. Provided benefit, policy, & safety training 2. Updated paid leave policy 3. 204 full-time employment applications processed Strategic Plan Goal 1 - Promote competitive pay, benefits and a healthy work environment in order to retain and attract qualified and competent staff • Pay/Benefit surveys • Annual insurance open enrollment and accompanying training • Provide personnel training Goal 2 - To protect the Town’s assets and resources by minimizing the internal and external exposures and associated risks • Revise and implement departmental SOP’s • Ensure safety training occurs on an annual basis • Professional and skill training Goal 3 - Advise and support the organization in all aspects of Human Resources • Benefit Administration • Ensure Town’s H.R. business is conducted in compliance with regulations and internal policies • Provide policy training Goal 4 - Ensure the Town is compliant with all aspects of Health Care Reform and Patient Protection & Affordable Care Act (PPACA) • Stay current on changes with National Health Care Reform & PPACA to ensure the Town is compliant • Provide training as needed Goal 5 - Ensure recruitment, placement, evaluation and separation of employees are in compliance with laws • Job descriptions and recruitment • Performance evaluation monitoring system • Exit interview process Staff 2011-2012 Actual 2012-2013 Actual 2013-2014 Adopted • FTE 1.0 1.0 1.0 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 64 ------------Past------------- --Projected Year-- -Budget- Financial Summary 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted % Change (Est. vs. Ado.) Personnel Services $ 41,740 $ 86,338 $ 90,623 $107,977 $100,283 $ 92,186 -9% Purchased Services 2,383 2,375 2,836 4,558 3,895 4,896 26% Supplies 181 1,347 1,380 1,371 1,360 1,300 -5% TOTAL $44,304 $ 90,060 $ 94,839 $113,906 $105,538 $ 98,382 -7% 11% 1% 5% 2% 25% 11% 6% 4% 13% 8% 3% 5% 5% 1% 1% 0% 5% 10% 15% 20% 25% 30% Percent of General Fund Expenditures Workload & Productivity Measures 2011-2012 Actual 2012-2013 Estimate 2012-2013 Actual 2013-2014 Estimate • Number of applications processed (not including seasonal) 365 250 200 200 • FMLA requests processed 2 5 5 5 • Workers’ compensation claims processed 17 5 12 11 • Benefit issues identified and resolved within 10 working days 100% 100% 100% 100% • Percentage of worker’s compensation filed within legal requirements 100% 100% 100% 100% • Maintain 90% employee retention (not including seasonal) 100% 100% 100% 100% TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 65 HUMAN RESOUCES 2009-10 2010-11 2011-12 2012-13 2012-13 2013-14 2014-15 2015-16 DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ESTIMATE ADOPTED PROJECTED PROJECTED PERSONNEL SERVICES Salaries & Wages 25,798 56,011 56,303 61,350 60,226 50,000 51,500 53,045 Longevity 98 255 473 563 563 - - - Retirement 3,476 7,904 7,824 9,018 8,830 7,274 7,492 7,717 Medical Insurance 2,669 6,063 4,945 5,052 4,301 9,074 9,346 9,627 Dental Insurance 155 439 344 362 363 624 643 662 Vision Insurance 30 61 82 81 81 138 142 146 Life Insurance & Other 163 207 366 558 921 526 542 558 Social Security Taxes 1,659 3,489 3,453 3,994 3,910 3,100 3,193 3,289 Medicare Taxes 388 816 808 934 915 725 747 769 Unemployment Taxes 95 117 261 261 117 187 193 198 Worker's Compensation 78 131 111 164 131 115 118 122 Stipend - - - 2,500 2,500 - - - Employee Relations 1,268 1,505 4,475 5,000 5,500 7,900 8,137 8,381 Tuition Reimbursement 2,851 2,311 8,451 14,535 9,524 10,104 10,407 10,719 Employee Assistance Program 1,131 3,051 2,727 3,605 2,401 2,419 2,492 2,567 Flexible Benefits Admin Fee 1,882 3,978 - - - - - - TOTAL PERSONNEL SERVICES $ 41,740 $ 86,338 $ 90,623 $ 107,977 $ 100,283 $ 92,186 $ 94,952 $ 97,800 PURCHASED SERVICES Telephone 7 32 132 75 85 100 103 106 Communications/Pagers/Mobiles 184 417 228 900 900 900 927 955 Dues & Memberships 240 315 240 811 500 1,046 1,077 1,110 Meetings 342 - 20 260 25 260 268 276 Schools & Training 88 75 299 1,484 2,095 1,950 2,009 2,069 Travel & Per Diem 334 87 - 65 65 100 103 106 Physicals/Testing - 1,346 1,909 850 175 540 556 573 Printing 29 103 8 113 50 - - - Advertising 1,160 - - - - - - - TOTAL PURCHASED SERVICES $ 2,383 $ 2,375 $ 2,836 $ 4,558 $ 3,895 $ 4,896 $ 5,043 $ 5,194 SUPPLIES Publications/Books/Subscriptions - 240 600 453 60 - - - Postage 107 691 236 300 300 300 309 318 Office Supplies 74 416 544 618 1,000 1,000 1,030 1,061 TOTAL SUPPLIES $ 181 $ 1,347 $ 1,380 $ 1,371 $ 1,360 $ 1,300 $ 1,339 $ 1,379 TOTAL EXPENDITURES $ 44,304 $ 90,060 $ 94,839 $ 113,906 $ 105,538 $ 98,382 $ 101,334 $ 104,373 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 66 Information Services Mission: To increase the productivity of Trophy Club services by developing and maintaining technological and informational support systems for the Town of Trophy Club and the Trophy Club Municipal Utility District. The Information Services Department seeks to enhance the Town’s mission by improving the effectiveness and efficiency of operational processes which promotes financial and operational stewardship. Top 3 Accomplishments from FY13 1. Upgrade bandwidth for the entire organization 2. Texas Certified Government Chief Information Officer certification 3. Computer Replacement Rollout Strategic Plan Goal 1- Cost effective solutions to current and future projects • Printer consumables • E-Cycle • Power efficient options Goal 2- Provide a secure infrastructure for all users and services within Trophy Club • Date security • Application/security patching • Security policies • Business continuity Goal 3- Support systems and applications that meet the goals of the whole organization • Online Records Migration Goal 4- Provide timely and efficient support services to all departments • Helpdesk monitoring • Network monitoring • Environmental monitoring Goal 5- Develop/maintain a technically-skilled staff that is competent in current and emerging technology • Texas Association of Governmental Information Technology Managers • Microsoft certification Staff 2011-2012 Actual 2012-2013 Actual 2013-2014 Adopted • FTE 2.0 2.0 2.0 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 67 Workload & Productivity Measures 2011-2012 Actual 2012-2013 Estimate 2012-2013 Actual 2013-2014 Estimate • Applications supported 171 174 175 175 • Devices/Servers supported 264 306 306 310 • Work order requests 702 1025 1020 1035 • Scheduled server uptime 99% 99% 99% 99% • Scheduled web services uptime 99% 99% 99% 99% • Work orders resolved within Helpdesk predefined timeframe categories 77% 85% 82% 85% ------------Past------------ --Projected Year-- -Budget- Financial Summary 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted % Change (Est. vs. Ado.) Personnel Services $ 78,067 $159,921 $172,779 $ 180,259 $177,120 $185,804 5% Purchased Services 54,613 59,517 56,386 99,654 106,760 112,608 5% Supplies 16,192 19,040 29,841 16,687 23,725 24,318 2% Capital 6,618 48,970 71,198 51,541 51,541 51,541 0% TOTAL $155,490 $287,448 $330,204 $ 348,141 $359,146 $374,271 4% 11% 1% 5% 2% 25% 11% 6% 4% 13% 8% 3% 5% 5% 1% 1% 0% 5% 10% 15% 20% 25% 30% Percent of General Fund Expenditures TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 68 INFORMATION SYSTEMS 2009-10 2010-11 2011-12 2012-13 2012-13 2013-14 2014-15 2015-16 DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ESTIMATE ADOPTED PROJECTED PROJECTED PERSONNEL SERVICES Salaries & Wages 59,045 119,694 131,135 132,858 130,440 136,509 140,604 144,822 Longevity 338 825 975 1,125 1,125 1,455 1,499 1,544 Retirement 7,978 17,002 18,293 19,248 18,898 20,507 21,122 21,756 Medical Insurance 4,929 11,348 9,921 10,104 9,863 10,609 10,927 11,255 Dental Insurance 310 632 687 723 706 723 745 767 Vision Insurance 60 122 163 162 160 162 167 172 Life Insurance & Other 341 437 732 1,148 1,944 1,356 1,397 1,439 Social Security Taxes 3,809 7,555 8,167 8,524 8,344 8,740 9,002 9,272 Medicare Taxes 891 1,767 1,910 1,994 1,659 2,044 2,105 2,168 Unemployment Taxes 189 239 524 522 200 374 385 397 Workman's Compensation 179 300 272 351 281 325 335 345 Stipend - - - 3,500 3,500 3,000 3,090 3,183 TOTAL PERSONNEL SERVICES $ 78,067 $ 159,921 $ 172,779 $ 180,259 $ 177,120 $ 185,804 $ 191,378 $ 197,119 PURCHASED SERVICES Telephone 8,372 7,300 5,248 7,260 6,500 5,808 5,982 6,162 Communications/Pagers/Mobiles 900 1,489 1,506 2,289 2,289 2,483 2,558 2,634 Dues & Memberships 137 100 100 250 250 250 258 265 Meetings 11 22 - 22 - 22 23 23 Schools & Training 774 750 3,352 4,900 2,950 3,500 3,605 3,713 Travel & Per Diem 385 1,654 - 3,510 1,700 2,259 2,327 2,397 Software & Support 38,869 44,765 43,061 77,702 89,500 93,215 96,011 98,892 Office Supplies 373 732 666 721 721 721 743 765 Independent Labor 1,997 2,428 1,002 1,650 1,850 3,000 3,090 3,183 Printing 17 - - - - - - - Security 2,779 277 1,499 1,350 1,000 1,350 1,391 1,432 TOTAL PURCHASED SERVICES $ 54,613 $ 59,517 $ 56,386 $99,654 $106,760 $112,608 $115,986 $119,466 SUPPLIES Uniforms - - - 125 125 125 129 133 Publications/Books/Subscripts 91 - - - - - - - Hardware 9,823 10,737 20,584 8,862 16,000 16,493 16,988 17,497 Postage 2 228 86 200 100 200 206 212 Printer Supplies & Maintenance 6,277 8,075 9,171 7,500 7,500 7,500 7,725 7,957 TOTAL SUPPLIES $ 16,192 $ 19,040 $ 29,841 $ 16,687 $ 23,725 $ 24,318 $ 25,048 $ 25,799 CAPITAL Copier Lease Installments 6,618 6,193 6,202 6,834 6,834 6,834 7,039 7,250 Capital Replacement - 42,777 64,996 44,707 44,707 44,707 44,707 44,707 TOTAL CAPITAL $ 6,618 $ 48,970 $ 71,198 $ 51,541 $ 51,541 $ 51,541 $ 51,746 $ 51,957 TOTAL EXPENDITURES $ 155,490 $ 287,448 $ 330,204 $ 348,141 $ 359,146 $ 374,271 $ 384,158 $ 394,341 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 69 Police Mission: To provide a safe environment for the citizens and visitors of Trophy Club by increasing police-community partnerships and encouraging voluntary compliance of all laws and ordinances; this enhances the Town’s mission to provide a safe and secure environment, build strong partnerships and encourage community involvement. Top 3 Accomplishments from FY13 1. Although overall reported index crimes increased by a total of 10 in FY 2012-13 over FY 2011-12, we maintained low crime rate for the Town of Trophy Club increasing from 120 in FY 2011-12 to 130 in FY 2012-13. We still remain below the reported index crimes in FY 2010-11 (155). 2. Oversaw the creation and implementation of the Crime Control and Prevention District. This process started well before the election in May and required the appointment of a temporary board and development of a two year plan and budget for the district. After the election, the temporary board was appointed to regular status and the plan and budget were approved. It is anticipated that a portion of the sales tax received through the CCPD will be allocated to debt service on a new police facility. 3. Continued to provide community outreach programs with two Citizen Police Academy classes and four Concealed Handgun classes. Strategic Plan Goal 1- Enhance public safety and reduce disorderly behavior • Preventive patrol of burglary prone areas • Enhance follow-up investigations with technological assets • Improve community service training • Increase CERT capabilities Goal 2- Enhance Community Policing Strategies • Bicycle Patrol/Rodeos • National Night Out Against Crime • Safety Fair in conjunction with Fire Department • Continue SRO Program Goal 3- Enhance community service opportunities • Citizens’ Police Academy – maintain at two (2) per year • Increase Citizens on Patrol participation Goal 4- Further enhance reputation of department • Continue to pursue recognition program Goal 5- Improve communications with community • Increase use of Connect CTY TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 70 Staff 2011-2012 Actual 2012-2013 Actual 2013-2014 Adopted • FTE 16.5 20.8 23.0 Performance Measures - Enforcement 2011-2012 Actual 2012-2013 Estimate 2012-2013 Actual 2013-2014 Estimate Uniform Crime Report Data • Part One Property Crimes 102 115 101 95 • Property Crime Rate/1000 Pop* 12.75 14.375 9.62 9.05 • Part One Violent Crimes 28 28 29 22 • Violent Crime Rate/1000 Pop* 3.5 3.5 2.76 2.10 • Arrests 157 148 103 125 Patrol and Traffic Enforcement • # of DWI Arrests 7 7 9 15 • # of Traffic Citations 1,100 1,750 1,314 1,500 • # of Parking Citations 150 175 101 125 • # of Incidents-Including Self- Initiated 18,530 20,500 23,777 25,000 Community Partnerships • % Residents who feel safe shopping in TC 98% 98% 98% 98% • % Residents who feel safe at home 98% 98% 99% 99% • % Residents who feel safe in their own neighborhood 99% 99% 99% 99% • % Residents who feel safe in TC in general 100% 100% 100% 100% • % Residents who give “Good” or “Excellent” to quality of police services 94% 95% 95% 95% Support Services • # of Requests for Public information 115 115 73 120 Training • Average Training Hours Per Officer 50 50 81 85 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 71 -----------------Past---------------- -----Projected Year----- --Budget-- Financial Summary 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted % Change (Est. vs. Ado.) Personnel Services $1,158,032 $1,273,131 $1,369,690 $1,522,209 $1,523,980 $1,679,317 10% Purchased Services 86,207 115,726 132,646 161,147 261,972 162,763 -38% Supplies 56,653 59,095 63,286 89,153 84,916 83,925 -1% Capital 101,337 15,227 73,241 38,506 22,373 37,006 165% TOTAL $1,402,229 $1,463,179 $1,638,863 $1,811,015 $1,893,241 $1,963,011 4% 11% 1% 5% 2% 25% 11% 6% 4% 13% 8% 3% 5% 5% 1% 1% 0% 5% 10% 15% 20% 25% 30% Percent of General Fund Expenditures TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 72 POLICE 2009-10 2010-11 2011-12 2012-13 2012-13 2013-14 2014-15 2015-16 DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ESTIMATE ADOPTED PROJECTED PROJECTED PERSONNEL SERVICES Salaries & Wages 779,743 846,645 949,328 1,050,716 1,050,716 1,143,928 1,178,246 1,213,593 Overtime 46,256 49,762 59,287 34,483 42,600 41,843 43,098 44,391 Holiday Pay 14,826 14,714 17,007 21,012 21,012 23,583 24,290 25,019 Longevity 6,918 8,145 8,578 9,415 9,415 10,450 10,764 11,086 Certification 8,650 11,868 6,575 8,400 8,400 11,100 11,433 11,776 Retirement 115,418 129,840 133,034 147,337 153,536 171,527 176,673 181,973 Medical Insurance 83,344 105,977 80,859 93,171 84,576 110,027 113,328 116,728 Dental Insurance 6,051 6,409 7,072 7,364 8,048 8,920 9,188 9,463 Vision Insurance 1,039 1,121 1,709 1,796 1,904 2,166 2,231 2,298 Life Insurance & Other 4,735 3,120 5,405 8,965 14,675 9,814 10,108 10,412 Social Security Taxes 51,837 54,785 61,328 69,248 69,615 75,056 77,308 79,627 Medicare Taxes 12,123 12,764 14,347 16,195 16,195 17,553 18,080 18,622 Unemployment Taxes 2,778 1,970 6,061 7,389 1,000 5,521 5,687 5,857 Workman's Compensation 22,474 22,761 17,272 24,068 19,381 23,629 24,338 25,068 Stipend - - - 19,000 20,000 23,000 23,690 24,401 Clothing Allowance 1,800 1,832 1,168 1,200 1,200 1,200 1,236 1,273 Pre-Employment Physicals/Testing 40 1,418 660 2,450 1,707 - - - TOTAL PERSONNEL SERVICES $ 1,158,032 $ 1,273,131 $ 1,369,690 $ 1,522,209 $ 1,523,980 $ 1,679,317 $ 1,729,697 $ 1,781,587 PURCHASED SERVICES Telephone 214 416 975 750 1,500 960 989 1,018 Communications/Pagers/Mobiles 8,834 8,385 7,045 9,952 6,276 9,952 10,251 10,558 Electricity 16,462 15,564 12,907 18,800 16,544 17,000 17,510 18,035 Water 1,247 1,278 873 1,500 900 1,500 1,545 1,591 Dues & Memberships 1,292 2,026 1,724 2,175 2,005 2,135 2,199 2,265 Meetings - 22 282 275 100 275 283 292 Schools & Training 5,698 2,644 4,181 5,500 4,289 5,500 5,665 5,835 Qualifying Expenses 1,725 327 3,168 4,250 3,477 5,400 5,562 5,729 Printing 679 309 583 800 400 800 824 849 Emergency Management 1,000 1,000 1,000 3,400 1,000 1,000 1,030 1,061 Travel & Per Diem 4,207 2,187 3,725 4,500 3,100 4,500 4,635 4,774 Postage 376 976 351 1,000 500 750 773 796 Publications/Books/Subscripts 755 73 1,396 - - 1,450 1,494 1,538 Animal Control 1,196 1,604 7,288 4,750 3,636 6,250 6,438 6,631 Code Enforcement - 459 - - - - - - Investigative Materials & Supp 1,326 1,622 1,780 4,000 3,500 5,320 5,480 5,644 Miscellaneous Expenses 514 572 1,455 1,250 850 1,250 1,288 1,326 Furniture/Equipment < $5000 293 659 225 2,000 1,700 2,000 2,060 2,122 TCIC Access - - - - - - - - Dispatch - Denton County - 31,766 45,553 51,141 51,141 51,141 52,675 54,255 Independent Labor 2,050 950 4,150 12,000 3,650 6,000 6,180 6,365 Vehicle Maintenance 21,031 23,368 19,041 18,100 17,100 23,830 24,545 25,281 Equipment Maintenance 1,626 2,615 4,120 2,250 3,850 3,250 3,348 3,448 Prompt Payment Act Interest - 4 - - - - - - Building Maintenance 8,961 10,186 10,264 12,500 136,200 12,500 12,875 13,261 Cleaning Services 6,720 6,714 560 - - - - - Professional Outside Services - - - 254 254 - - - TOTAL PURCHASED SERVICES $ 86,207 $ 115,726 $ 132,646 $ 161,147 $ 261,972 $ 162,763 $ 167,646 $ 172,676 SUPPLIES Fuel & Lube 35,654 43,135 40,647 59,203 57,000 58,525 60,280 62,089 Uniforms 4,708 7,004 4,777 10,900 11,803 12,900 13,287 13,686 Protective Clothing 110 2,759 3,319 9,750 8,050 3,200 3,296 3,395 Small Equipment 13,391 2,572 10,696 5,000 3,400 5,000 5,150 5,305 Office Supplies 1,330 1,971 1,564 2,800 2,500 2,800 2,884 2,971 Maintenance Supplies 1,460 1,654 2,283 1,500 2,163 1,500 1,545 1,591 TOTAL SUPPLIES $ 56,653 $ 59,095 $ 63,286 $ 89,153 $ 84,916 $ 83,925 $ 86,442 $ 89,036 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 73 CAPITAL Programs & Special Projects 397 1,127 521 3,000 700 1,500 1,545 1,591 Child Safety Programs 18,011 - - - - - - - Grant Match 32,152 - - - - - - - Lease Payment 33,150 - - - - - - - Radar - - 2,400 1,500 1,500 1,500 1,545 1,591 Capital Replacement - - 70,320 34,006 20,173 34,006 35,026 36,077 Video Equipment 17,628 - - - - - - - Vehicles - 14,100 - - - - - - Police Records Management System - - - - - - - - TOTAL CAPITAL $ 101,337 $ 15,227 $ 73,241 $ 38,506 $ 22,373 $ 37,006 $ 38,116 $ 39,260 TOTAL EXPENDITURES $ 1,402,229 $ 1,463,179 $ 1,638,863 $ 1,811,015 $ 1,893,241 $ 1,963,011 $ 2,021,901 $ 2,082,559 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 74 Emergency Medical Services Mission: To provide quality service to the citizens of Trophy Club by providing timely and efficient response to fire, medical, rescue, and calls for public service. Our mission enhances the Town’s mission by providing a safe and secure environment to all Town residents as well as developing strong partnerships and community involvement. Top 3 Accomplishments from FY13 1. Maintained (3) staff members certified to AHA Instructor Level a. CPR Quick Class – 2 classes with 6 participants b. Friends & Family CPR/AED – 4 classes with 23 participants c. Heartsaver CPR/AED – 7 classes with 66 participants 2. Contract with Tarrant County College for Instructor-Led EMS CE: a. Pre-hospital Emergency Pediatric Provider (PEPP) b. Pre-hospital Trauma Life Support (PHTLS) c. Advanced Medical Life Support (AMLS) d. Advanced Cardiac Life Support (ACLS) e. Basic Life Support (BLS) 3. Contract with Kaplan University for Online CE Strategic Plan Goal 1- Provide quality service to the citizens • Educational classes • Emergency Response • Program development Goal 2- Provide and maintain community education programs • CPR classes • School education • Citizen Fire Academy • Home inspection programs Goal 3- Program development for corporate and Town staff • Day camp programs • Staff safety awareness classes • Citizen Fire Academy • EMS Training Goal 4- Resource management and working agreements with regional assets • Medical control • Northeast Fire Department Association (NEFDA) • Denton and Tarrant County ILA Goal 5- Program development that maintains our ability to collect and support billing and records management • Intermedix contract TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 75 Staff 2011-2012 Actual 2012-2013 Actual 2013-2014 Adopted • FTE 6.6 6.8 7.5 Workload & Productivity Measures 2011-2012 Actual 2012-2013 Estimate 2012-2013 Actual 2013-2014 Estimate • EMS alarms responded to 350 350 359 364 • Medical transports completed 270 270 262 270 • Continuing education training hours (total employees) 675 675 675 731 • Third party collection rate 65% 65% 65% 65% • Response time to EMS alarms in less than six minutes 90% 90% 90% 90% ----------Past----------- --Projected Year-- --Budget-- Financial Summary 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted % Change (Est. vs. Ado.) Personnel Services $555,336 $ 585,980 $ 588,558 $645,756 $646,393 $ 713,653 10% Purchased Services 30,176 33,301 39,760 43,565 36,944 41,081 11% Supplies 22,737 33,182 24,942 30,753 28,734 27,186 -5% Capital 38,000 35,750 41,879 90,544 90,544 72,013 -20 TOTAL $646,249 $ 688,213 $ 695,139 $810,618 $802,615 $ 853,933 6% TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 76 11% 1% 5% 2% 25% 11% 6% 4% 13% 8% 3% 5% 5% 1% 1% 0% 5% 10% 15% 20% 25% 30% Percent of General Fund Expenditures TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 77 EMERGENCY MEDICAL SERVICES 2009-10 2010-11 2011-12 2012-13 2012-13 2013-14 2014-15 2015-16 DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ESTIMATE ADOPTED PROJECTED PROJECTED PERSONNEL SERVICES Salaries & Wages 365,663 368,468 395,405 417,043 417,000 449,202 462,678 476,558 Overtime 33,267 54,822 36,777 32,178 42,000 44,224 45,551 46,917 DPS Holiday Pay 10,020 8,778 8,829 12,694 12,694 14,268 14,696 15,137 Longevity 2,573 2,733 3,271 4,104 4,104 4,768 4,911 5,058 Certification 5,194 2,377 1,350 3,675 3,675 4,350 4,481 4,615 Retirement 53,486 59,299 59,260 65,644 65,644 75,663 77,933 80,271 Medical Insurance 36,612 44,233 36,711 48,324 39,931 56,350 58,041 59,782 Dental Insurance 2,623 2,725 3,209 3,719 3,750 4,230 4,357 4,488 Vision Insurance 418 440 723 823 751 977 1,006 1,036 Life Insurance & Other 2,020 1,297 2,085 4,208 5,884 3,986 4,106 4,229 Social Security Taxes 24,632 25,280 25,613 26,229 27,800 28,769 29,632 30,521 Medicare Taxes 5,761 5,915 5,990 6,206 6,656 6,714 6,915 7,123 Unemployment Taxes 1,559 902 2,046 2,824 209 1,681 1,731 1,783 Workman's Compensation 11,212 8,377 7,222 8,960 7,421 8,771 9,034 9,305 Stipend - - - 8,575 8,575 9,150 9,425 9,707 Pre-Employment Physicals/Testing 295 334 67 550 300 550 567 583 TOTAL PERSONNEL SERVICES $ 555,336 $ 585,980 $ 588,558 $ 645,756 $ 646,393 $ 713,653 $ 735,063 $ 757,114 PURCHASED SERVICES Electricity - - - - 4,800 4,800 - - Water - - - - 1,260 1,260 - - Building Maintenance - - - - 25 - - - Vehicle Maintenance 1,520 3,164 3,437 3,790 4,500 4,000 4,120 4,244 Equipment Maintenance 1,676 2,282 1,623 6,290 2,800 6,200 6,386 6,578 Collection Fees 20,283 21,320 18,071 16,275 12,400 14,275 14,703 15,144 Hazmat Disposal 215 667 2,576 700 700 700 721 743 Telephone/Utilities 46 130 157 6,247 220 120 124 127 Communications/Pagers/Mobiles 2,044 2,683 4,870 2,837 2,837 2,763 2,846 2,932 Dispatch - Denton/Tarrant County - - - 1,316 1,316 1,259 1,297 1,336 Inspection Fees 804 - - 870 - 870 896 923 Dues & Memberships 280 185 474 574 760 574 591 609 Meetings 44 33 75 140 40 136 140 144 Schools & Training 1,176 878 1,989 1,250 1,732 1,250 1,288 1,326 Travel & Per Diem 152 - 1,801 1,294 1,801 1,174 1,209 1,245 Flags & Repair 1,936 1,959 4,687 1,983 1,754 1,700 1,751 1,804 TOTAL PURCHASED SERVICES $ 30,176 $ 33,301 $ 39,760 $ 43,565 $ 36,944 $ 41,081 $ 36,072 $ 37,154 SUPPLIES Postage 37 42 53 67 67 70 72 74 Publications/Books/Subscripts 150 - - 206 206 200 206 212 Miscellaneous Expenses 351 389 31 1,200 200 1,200 1,236 1,273 Fuel & Lube 4,436 6,530 5,756 6,286 6,000 6,466 6,660 6,859 Uniforms 3,068 3,726 3,177 2,800 2,800 1,500 1,545 1,591 Small Equipment 1,259 1,142 875 2,060 2,906 2,200 2,266 2,334 Disposable Supplies 4,705 6,974 7,739 7,000 6,000 5,000 5,150 5,305 Medical Control 6,804 10,824 3,024 7,000 7,000 7,000 7,210 7,426 Pharmacy 1,436 2,979 3,512 3,080 2,200 2,500 2,575 2,652 Oxygen 459 576 674 900 1,200 900 927 955 Office Supplies 33 - 101 155 155 150 155 159 Maintenance Supplies - - - - - - - - TOTAL SUPPLIES $ 22,737 $ 33,182 $ 24,942 $ 30,753 $ 28,734 $ 27,186 $ 28,001 $ 28,841 CAPITAL Capital Replacement - - - 72,013 72,013 72,013 74,173 76,399 Vehicles 4,344 35,750 11,723 2,140 2,140 - - - Lease Payment - Ambulance* 11,770 - 30,156 16,391 16,391 - - - Lease Payment - Ambulance 21,886 - - - - - - - TOTAL CAPITAL $ 38,000 $ 35,750 $ 41,879 $ 90,544 $ 90,544 $ 72,013 $ 74,173 $ 76,399 TOTAL EXPENDITURES $ 646,249 $ 688,213 $ 695,139 $ 810,620 $ 802,615 $ 853,933 $ 873,309 $ 899,508 * Lease payments combined in FY12. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 78 Streets Mission: To provide a safe, clean, and well-maintained roadway system to the residents of Trophy Club Top 3 Accomplishments from FY13 1. Finished and accepted the Roundabout Project. 2. Designed, bid, and awarded contract for the Indian Creek Reconstruction Project 3. Inspected and accepted new infrastructure for 7 new neighborhoods in the Highlands of Trophy Club. Strategic Plan Goal 1- Provide well-maintained streets and storm drains • Concrete street repairs • Inlet and structure inspection, cleaning, and repair • Street, curb, and gutter sweeping • Emergency response • Signs and markings • New construction Goal 2- Provide timely & knowledgeable response to resident issues • Quick customer response • Customer service Goal 3- Establish 5 year plan for Streets and Storm Drainage • Identify and rank streets in need of reconstruction • Identify and rank streets in need of maintenance • Identify projects associated with improved traffic flow and transportation needs • Identify and rank storm drainage projects Goal 4- Provide support for other Town Departments and MUD 1 • Parks • Police Department • MUD 1 Staff 2011-2012 Actual 2012-2013 Actual 2013-2014 Adopted • FTE 4.0 3.8 3.8 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 79 Workload & Productivity Measures 2011-2012 Actual 2012-2013 Estimate 2012-2013 Actual 2013-2014 Estimate • Street sweeping (curb miles) 87 90 90 93 • Concrete placed/poured (cubic yards) 233 450 320 400 • Striping (linear feet) 37,665 35,250 38,346 39,500 • Respond to calls in under 4 business hours 100% 100% 100% 100% • Ratio of lane miles of street maintained per employee 29.65:1 29.65:1 29.65:1 29.65:1 ----------Past---------- --Projected Year-- --Budget-- Financial Summary 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted % Change (Est. vs. Ado.) Personnel Services $258,019 $261,261 $268,816 $ 267,982 $249,815 $ 264,010 6% Purchased Services 109,434 111,137 139,640 158,866 168,779 176,302 4% Supplies 6,8 21 12,115 9,542 4,330 3,490 4,140 19% Capital 850 - - 34,006 34,006 - NA TOTAL $368,303 $384,513 $417,998 $ 465,184 $456,090 $ 444,452 -3% 11% 1% 5% 2% 25% 11% 6% 4% 13% 8% 3% 5% 5% 1% 1% 0% 5% 10% 15% 20% 25% 30% Percent of General Fund Expenditures TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 80 STREETS 2009-10 2010-11 2011-12 2012-13 2012-13 2013-14 2014-15 2015-16 DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ESTIMATE ADOPTED PROJECTED PROJECTED PERSONNEL SERVICES Salaries & Wages 169,872 178,590 188,401 177,436 168,289 174,527 179,763 185,156 Overtime 553 2,137 599 3,000 1,743 3,000 3,090 3,183 Longevity 536 1,061 1,752 2,261 2,261 2,602 2,680 2,760 Retirement 23,432 25,685 26,846 26,352 24,135 26,973 27,782 28,616 Medical Insurance 22,481 25,896 23,692 22,756 20,384 23,821 24,536 25,272 Dental Insurance 1,491 1,532 1,962 1,896 1,757 1,629 1,678 1,728 Vision Insurance 249 248 497 477 407 363 374 385 Life Insurance & Other 1,002 621 1,046 1,634 1,634 1,592 1,640 1,689 Social Security Taxes 10,238 10,771 10,981 11,035 9,392 10,861 11,187 11,522 Medicare Taxes 2,395 2,519 2,563 2,581 2,197 2,540 2,616 2,695 Unemployment Taxes 841 411 1,059 987 51 706 727 749 Workman's Compensation 24,929 11,790 9,418 11,507 11,507 10,110 10,413 10,726 Stipend - - - 5,530 5,530 5,286 5,445 5,608 Pre-Employment Physicals/Testing - - - 530 530 - - - TOTAL PERSONNEL SERVICES $ 258,019 $ 261,261 $ 268,816 $ 267,982 $ 249,815 $ 264,010 $ 271,931 $ 280,088 PURCHASED SERVICES Telephone 18 22 76 62 111 125 129 133 Communications/Pagers/Mobiles 2,464 2,535 2,671 2,741 2,741 2,741 2,823 2,908 Dues & Memberships - 151 155 428 174 428 441 454 Meetings - 44 - - 13 100 103 106 Schools & Training 398 - 398 458 398 458 472 486 Travel & Per Diem 576 - 798 812 567 812 836 861 Electricity 104,962 107,027 127,292 144,988 159,475 164,988 169,938 175,036 Property Maintenance - - 1,295 - - - - - Water - - 5,017 - - - - - Vehicle Maintenance 578 525 626 2,741 1,300 500 515 530 Equipment Maintenance 438 833 1,312 6,636 4,000 6,150 6,335 6,525 TOTAL PURCHASED SERVICES $ 109,434 $ 111,137 $ 139,640 $ 158,866 $ 168,779 $ 176,302 $ 181,591 $ 187,039 SUPPLIES Postage 124 9 3 50 35 100 103 106 Fuel 4,741 7,189 5,436 - - - - - Uniforms 1,537 2,364 1,900 2,340 2,000 2,340 2,410 2,483 Small Tools 321 2,082 2,011 1,500 1,300 1,500 1,545 1,591 Office Supplies 98 471 192 440 155 200 206 212 TOTAL SUPPLIES $ 6,821 $ 12,115 $ 9,542 $ 4,330 $ 3,490 $ 4,140 $ 4,264 $ 4,392 CAPITAL Capital Replacement - - - 34,006 34,006 - 34,000 35,020 Lease Payment 850 - - - - - - - Transfer to Debt Service - - - - - - - TOTAL CAPITAL $ 850 $ - $ - $ 34,006 $ 34,006 $ - $ 34,000 $ 35,020 TOTAL EXPENDITURES $ 375,124 $ 384,513 $ 417,998 $ 465,184 $ 456,090 $ 444,452 $ 491,786 $ 506,539 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 81 Finance & Municipal Court Mission: To provide the highest quality financial management, support, fiduciary oversight, and public accountability to the citizens and community of Trophy Club and its designated officials. The Finance Department endeavors to promote the Town’s mission by creating strong partnerships and encouraging community involvement as well as enhance the Town’s financial and operational stewardship. Top 3 Accomplishments from FY13 1. Received Distinguished Budget Presentation Award and Certified Award for Excellence in Financial Reporting from GFOA 2. First year of completing in-house financial statements 3. Implemented/Converted to Incode Financial/Court Software Strategic Plan Goal 1- Providing timely and accurate financial information to Town departments and the community • Produce monthly financial report • Publish CAFR before March 31st • Publish Budget Document before December 31st • Produce quarterly investment report Goal 2- Complying with State and Federal regulations regarding financial management, accounting, and control; • Receive unqualified annual audit opinion • Meet continuing disclosure requirements Goal 3- Meeting industry standards of financial management and reporting • Continue development/update of accounting policies and procedures to ensure compliance with Governmental Accounting Standards Board (GASB)/GAAP requirements) • Implement GASB 65 “Items previously reported as assets and liabilities” • Revise purchasing policy to meet state requirements Goal 4- Be a role model to the organization for business management, ethical values, and organizational efficiency and effectiveness • Improve budget process for efficiency and transparency • Being apprised of all GASB announcements • Maintaining ethical standards to meet GFOA and GFOAT standards TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 82 Workload & Productivity Measures 2011-2012 Actual 2012-2013 Estimate 2012-2013 Actual 2013-2014 Estimate • Checks processed 1,522 5,242 1,503 1,600 • Payroll transactions processed 415 4,285 557 600 • General obligation bond rating AA AA AA AA -------------Past------------- --Projected Year-- -Budget- Financial Summary (Court) 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted % Change (Est. vs. Ado.) Personnel Services $ 60,534 $ 64,880 $ 68,308 $ 68,972 $ 55,466 $ 70,630 27% Purchased Services 10,974 13,688 9,454 12,810 7,610 12,064 59% Supplies 2,274 1,692 1,167 2,164 1,285 2,300 79% TOTAL $ 73,782 $ 80,260 $78,929 $ 83,946 $ 64,361 $84,994 32% Staff (Finance) 2011-2012 Actual 2012-2013 Actual 2013-2014 Adopted • FTE 3.0 3.0 3.4 Staff (Court) 2011-2012 Actual 2012-2013 Actual 2013-2014 Adopted • FTE 1.0 1.0 1.4 -----------Past---------- --Projected Year-- -Budget- Financial Summary (Finance) 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted % Change (Est. vs. Ado.) Personnel Services $ 160,906 $259,463 $259,680 $262,814 $257,278 $285,438 11% Purchased Services 90,541 96,684 110,446 100,262 102,135 104,952 3% Supplies 5,828 4,401 7,178 5,227 6,709 5,050 -33% Capital - - 150,839 - - - NA TOTAL $ 257,275 $360,548 $528,304 $368,303 $366,122 $395,440 8% TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 83 11% 1% 5% 2% 25% 11% 6% 4% 13% 8% 3% 5% 5% 1% 1% 0% 5% 10% 15% 20% 25% 30% Percent of General Fund Expenditures TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 84 Finance 2009-10 2010-11 2011-12 2012-13 2012-13 2013-14 2014-15 2015-16 DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ESTIMATE ADOPTED PROJECTED PROJECTED PERSONNEL SERVICES Salaries & Wages 115,874 194,234 196,650 190,441 190,441 207,457 213,681 220,091 Overtime 6,295 - - - - - - - Longevity 870 180 - 135 135 150 155 159 Retirement 16,578 26,658 27,484 27,241 24,978 30,522 31,438 32,381 Medical Insurance 10,009 21,874 17,992 22,475 19,491 24,876 25,622 26,391 Dental Insurance 694 1,017 1,004 1,347 1,280 1,756 1,809 1,863 Vision Insurance 109 175 229 300 160 414 426 439 Life Insurance & Other 615 654 994 1,694 2,540 1,706 1,757 1,810 Social Security Taxes 7,219 10,862 11,148 11,266 10,508 12,298 12,667 13,047 Medicare Taxes 1,688 2,540 2,713 2,635 2,495 2,876 2,962 3,051 Unemployment Taxes 395 618 1,044 783 600 700 721 743 Worker's Compensation 456 522 422 497 400 483 497 512 Stipend - - - 4,000 4,000 2,200 2,266 2,334 Pre-Employment Physicals/Testing 104 129 - - 250 - - - TOTAL PERSONNEL SERVICES $ 160,906 $ 259,463 $ 259,680 $ 262,814 $ 257,278 $ 285,438 $ 294,001 $ 302,821 PURCHASED SERVICES Auditing 38,989 37,819 58,000 37,000 35,000 38,500 39,655 40,845 Appraisal 32,368 37,831 40,886 40,259 42,907 44,157 45,482 46,846 Tax Admin Fees 3,647 3,971 2,971 5,044 3,831 5,526 5,692 5,862 Telephone 106 349 347 350 300 280 288 297 Communications/Pagers/Mobiles 381 807 685 900 615 900 927 955 Building Maint & Supplies - - 6 - - - - - Dues & Memberships 1,496 1,021 1,175 635 1,310 1,470 1,514 1,560 Advertising 1,240 3,331 2,339 3,800 2,150 3,800 3,914 4,031 Meetings 265 226 95 150 311 150 155 159 Schools & Training 1,873 1,635 1,666 2,356 371 1,481 1,525 1,571 PID - 112 (84) - 87 - - - Travel & Per Diem 1,264 2,452 2,360 2,768 1,434 1,688 1,739 1,791 Service Charges & Fees 144 300 - 7,000 500 7,000 7,210 7,426 Professional Outside Services 8,768 6,830 - - 13,319 - - - TOTAL PURCHASED SERVICES $ 90,541 $ 96,684 $ 110,446 $ 100,262 $ 102,135 $ 104,952 $ 108,100 $ 111,343 SUPPLIES Postage 306 1,476 1,212 927 850 1,000 1,030 1,061 Publications/Books/Subscriptions 36 280 26 500 576 500 515 530 Miscellaneous Expenses 54 - 2,325 100 436 100 103 106 Furniture/Equipment < $5000 2,466 - - 600 1,200 250 258 265 Office Supplies 814 1,685 1,480 1,100 1,700 1,200 1,236 1,273 Printing 2,153 960 2,135 2,000 1,947 2,000 2,060 2,122 TOTAL SUPPLIES $ 5,828 $ 4,401 $ 7,178 $ 5,227 $ 6,709 $ 5,050 $ 5,202 $ 5,358 CAPITAL Accounting Software - - 150,839 - - - - - TOTAL CAPITAL $ - $ - $ 150,839 $ - $ - $ - $ - $ - TOTAL EXPENDITURES $ 257,275 $ 360,548 $ 528,304 $ 368,303 $ 366,122 $ 395,440 $ 407,303 $ 419,522 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 85 Municipal Court 2009-10 2010-11 2011-12 2012-13 2012-13 2013-14 2014-15 2015-16 DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ESTIMATE ADOPTED PROJECTED PROJECTED PERSONNEL SERVICES Salaries & Wages 44,489 47,397 50,763 49,175 40,000 51,500 53,045 54,636 Overtime - - - - - - - - Longevity - - 140 200 200 - - - Certification 900 900 718 1,200 1,200 1,200 1,236 1,273 Retirement 6,006 6,650 6,854 7,032 4,800 7,521 7,747 7,979 Medical Insurance 4,519 5,385 4,671 5,052 3,400 5,304 5,463 5,627 Dental Insurance 310 322 358 362 280 362 373 384 Vision Insurance 60 62 86 81 67 81 83 86 Life Insurance & Other 310 185 343 492 744 526 542 558 Social Security Taxes 2,892 3,027 3,197 3,198 2,600 2,664 2,744 2,826 Medicare Taxes 676 708 748 748 593 623 642 661 Unemployment Taxes 231 126 329 300 200 226 233 240 Workman's Compensation 141 118 101 132 132 123 127 130 Stipend - - - 1,000 1,000 500 515 530 Pre-emp Physicals/Testing - - - - 250 - - - TOTAL PERSONNEL SERVICES $ 60,534 $ 64,880 $ 68,308 $ 68,972 $ 55,466 $ 70,630 $ 72,749 $ 74,931 PURCHASED SERVICES Judge's Compensation 3,900 4,500 3,900 5,562 3,900 5,000 5,150 5,305 Jury Fees 72 12 - 185 - 185 191 196 Telephone 70 119 169 140 250 160 165 170 Service Charges & Fees 1,883 4,337 1,301 - - - - - Dues & Memberships 230 280 101 215 80 215 221 228 Meetings - - - 200 30 - - - Schools & Training 964 850 500 750 500 750 773 796 Travel & Per Diem 930 1,153 1,043 2,110 1,150 2,110 2,173 2,238 Professional Outside Services 648 976 1,458 1,650 700 1,650 1,700 1,750 Advertising - 172 - - - - - - Prisoner-Sit Out DCSO 160 40 - 144 - 144 148 153 Collection Fees 310 - - - - - - - Printing 1,807 1,249 982 1,854 1,000 1,850 1,906 1,963 TCIC Warrant Expense - - - - - - - - TOTAL PURCHASED SERVICES $ 10,974 $ 13,688 $ 9,454 $ 12,810 $ 7,610 $ 12,064 $ 12,426 $ 12,798 SUPPLIES Publications/Books/Subscripts 185 110 - 200 - 150 155 159 Miscellaneous Expenses 126 11 131 - - - - - Furniture/Equipment < $5000 769 - - - 113 200 206 212 Warrant Roundup Expenses 288 80 272 600 422 600 618 637 Office Supplies 477 408 299 464 300 450 464 477 Postage 429 1,083 465 900 450 900 927 955 TOTAL SUPPLIES $ 2,274 $ 1,692 $ 1,167 $ 2,164 $ 1,285 $ 2,300 $ 2,369 $ 2,440 TOTAL EXPENDITURES $ 73,782 $ 80,260 $ 78,929 $ 83,946 $ 64,361 $ 84,994 $ 87,544 $ 90,169 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 86 Community Developement Mission: To maintain Trophy Club in such a manner that it enhances quality of life for current and future residents by seeking compliance with the Town’s Code of Ordinances and to provide prompt, friendly, and efficient customer service to all. Top 3 Accomplishments from FY13 1. Adopted 2009 ICC (building codes) and 2011 NEC (electrical code) 2. Implemented credit card and online payments 3. Implemented/Converted to Incode Software Strategic Plan Goal 1 - Structurally sound residential and commercial construction • Inspections by Fully Licensed Inspector/Certified Building Official • Customer service • Plan review (residential and commercial) Goal 2 - Quality residential and commercial developments in Trophy Club • Liaison • Customer Service • Code Enforcement Goal 3 - Streamlined permitting for efficient and timely service to community • On-Line permitting capabilities • Effective communication policies allow for quick customer response times Goal 4 - Beautification efforts • Community Clean Up Event • Trash Collection, Electronic recycling, Shredding Goal 5 - Improve and/or update zoning and other land use ordinances • Improved/Updated Ordinances • Residential • Commercial • Code enforcement TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 87 Workload & Productivity Measures 2011-2012 Actual 2012-2013 Estimate 2012-2013 Actual 2013-2014 Estimate • Number of inspections annually * 3,581 4,855 5,100 • Number of permits issued per year 1785 1,474 1,572 1650 • P & Z meetings 11 11 14 10 • ZBA meetings 7 0 0 2 • Plats processed 12 10 8 3 • Ord. amendments to reflect Council policies 2 5 1 1 • High Grass/Weeds 97** 110 110 105 • Sign Violations 75** 50 50 70 • Trailer/Boat/Vehicle Parking 21** 25 42 60 • Outdoor Storage 35** 20 9 20 • Turnaround time for plan review (in work days) 10 25 10 10 • Turnaround time to perform inspections after called in by contractor (in work days) 1 1 1 1 *A change in software occurred during this fiscal year and the inspection data would have to be retrieved from storage and counted manually. **Code Enforcement was moved from Police Dept. to Community Development in Fall 2011. New employee hired 1/23/12 and the numbers for 2011-2012 reflect her work from January 23, 2012 through September 30, 2012. Staff (Community Development) 2011-2012 Actual 2012-2013 Actual 2013-2014 Adopted • FTE 3.5 5.0 5.0 Staff (Planning and Zoning) 2011-2012 Actual 2012-2013 Actual 2013-2014 Adopted • FTE 1.0 1.0 1.8 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 88 -----------Past----------- --Projected Year-- -Budget- Financial Summary (Comm. Dev.) 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted % Change (Est. vs. ADO.) Personnel Services $112,591 $140,016 $185,084 $297,611 $283,535 $313,976 11% Purchased Services 63,448 46,069 33,087 20,443 18,358 26,323 43% Supplies 1,759 3,340 12,804 10,972 12,100 11,300 -7% Capital 5,585 - 17,364 4,002 4,002 4,002 0% TOTAL $183,383 $189,425 $248,339 $333,028 $317,995 $355,601 12% -------------Past----------- --Projected Year-- -Budget- Financial Summary (P & Z) 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted % Change (Est. vs. ADO.) Personnel Services $ 79,895 $ 89,194 $ 99,378 $104,943 $102,448 $179,882 76% Purchased Services 80,113 64,113 133,405 58,492 156,600 60,686 -258% Supplies 887 918 351 1,185 1,175 1,185 1% TOTAL $ 160,895 $154,225 $233,134 $164,620 $260,223 $241,753 8% 11% 1% 5% 2% 25% 11% 6% 4% 13% 8% 3% 5% 5% 1% 1% 0% 5% 10% 15% 20% 25% 30% Percent of General Fund Expenditures TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 89 COMMUNITY DEVELOPEMENT 2009-10 2010-11 2011-12 2012-13 2012-13 2013-14 2014-15 2015-16 DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ESTIMATE ADOPTED PROJECTED PROJECTED PERSONNEL SERVICES Salaries & Wages 84,719 103,246 138,963 211,659 202,584 218,000 224,540 231,276 Overtime - - 247 - 1,000 - - - Longevity 548 1,065 915 1,005 1,005 1,360 1,401 1,443 Retirement 11,456 14,701 18,943 30,403 29,506 32,682 33,662 34,672 Medical Insurance 7,188 10,880 11,012 27,526 20,777 34,061 35,083 36,135 Dental Insurance 548 675 902 1,971 1,999 2,333 2,403 2,475 Vision Insurance 105 130 214 438 459 519 535 551 Life Insurance & Other 502 417 950 1,927 3,356 1,986 2,046 2,107 Social Security Taxes 5,453 6,525 8,724 12,631 12,631 12,871 13,257 13,655 Medicare Taxes 1,275 1,526 2,040 2,954 2,954 3,010 3,100 3,193 Unemployment Taxes 284 278 1,391 1,305 1,000 934 962 991 Workman's Compensation 514 508 451 992 757 920 948 976 Stipend - - - 4,500 5,500 5,300 5,459 5,623 Pre-Employment Physicals/Testing - 65 332 300 7 - - - TOTAL PERSONNEL SERVICES $ 112,591 $ 140,016 $ 185,084 $ 297,611 $ 283,535 $ 313,976 $ 323,395 $ 333,097 PURCHASED SERVICES Inspection Services 28,174 28,045 16,300 5,000 1,500 5,000 5,150 5,305 Plan Review Services 1,405 9,203 - - - 5,000 5,150 5,305 Vehicle Maintenance 462 158 862 1,750 1,500 3,000 3,090 3,183 Telephone 67 207 337 325 700 560 577 594 Communications/Pagers/Mobiles 1,724 1,120 1,506 2,008 2,008 2,008 2,068 2,130 Dues & Memberships 155 400 421 800 400 667 687 708 Meetings - 65 22 100 75 100 103 106 Schools & Training 579 679 1,365 1,860 1,400 1,860 1,916 1,973 Trash Removal/Recycling 25,095 - - - - - - - Health Inspections 5,600 5,300 6,000 6,100 5,975 6,100 6,283 6,471 Abatements - - 2,055 1,000 3,200 1,000 1,030 1,061 Travel & Per Diem - - 517 500 200 28 29 30 Advertising - - - 100 500 100 103 106 Printing 186 892 890 900 900 900 927 955 Professional Outside Services - - 2,812 - - - - - TOTAL PURCHASED SERVICES $ 63,448 $ 46,069 $ 33,087 $ 20,443 $ 18,358 $ 26,323 $ 27,113 $ 27,926 SUPPLIES Postage 27 132 825 200 900 500 515 530 Publications/Books/Subscripts - 17 661 800 650 800 824 849 Miscellaneous Expenses 87 222 4,792 600 1,250 600 618 637 Fuel 1,299 1,824 3,978 6,000 6,300 6,000 6,180 6,365 Uniforms 210 356 1,181 1,872 1,700 1,900 1,957 2,016 Office Supplies 136 789 1,367 1,500 1,300 1,500 1,545 1,591 TOTAL SUPPLIES $ 1,759 $ 3,340 $ 12,804 $ 10,972 $ 12,100 $ 11,300 $ 11,639 $ 11,988 CAPITAL Capital Replacement - - 17,364 4,002 4,002 4,002 4,122 4,246 Lease Payment 5,585 - - - - - - - TOTAL CAPITAL $ 5,585 $ - $ 17,364 $ 4,002 $ 4,002 $ 4,002 $ 4,122 $ 4,246 TOTAL EXPENDITURES $ 183,383 $ 189,425 $ 248,339 $ 333,028 $ 317,995 $ 355,601 $ 366,269 $ 377,257 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 90 PLANNING & ZONING 2009-10 2010-11 2011-12 2012-13 2012-13 2013-14 2014-15 2015-16 DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ESTIMATE ADOPTED PROJECTED PROJECTED PERSONNEL SERVICES Salaries & Wages 61,129 67,894 76,872 77,853 76,124 131,751 135,704 139,775 Longevity 160 220 280 510 510 600 618 637 Retirement 8,213 9,715 10,719 11,321 11,084 19,516 20,101 20,705 Medical Insurance 4,519 5,275 4,432 5,052 4,301 13,017 13,408 13,810 Dental Insurance 310 316 344 362 353 985 1,015 1,045 Vision Insurance 60 61 82 81 81 219 226 232 Life Insurance & Other 344 241 366 610 1,017 1,078 1,110 1,144 Social Security Taxes 3,886 4,192 4,752 5,014 4,872 8,317 8,567 8,824 Medicare Taxes 909 980 1,111 1,173 1,139 1,945 2,003 2,063 Unemployment Taxes 189 127 261 261 261 345 355 366 Workman's Compensation 176 173 159 206 206 309 318 328 Stipend - - - 2,500 2,500 1,800 1,854 1,910 TOTAL PERSONNEL SERVICES $ 79,895 $ 89,194 $ 99,378 $ 104,943 $ 102,448 $ 179,882 $ 185,278 $ 190,837 PURCHASED SERVICES Telephone 140 145 510 400 500 400 412 424 Printing 79 276 453 100 350 200 206 212 Communications/Pagers/Mobile - 684 616 705 705 900 927 955 Prompt Payment Act Interest 507 - - - - - - - Dues & Memberships 235 245 334 320 320 305 314 324 Meetings 54 157 85 176 75 176 181 187 Schools & Training 75 - 455 820 150 820 845 870 Travel & Per Diem 167 30 525 771 100 785 808 832 Advertising 1,774 595 3,628 900 500 900 927 955 Engineering Services 67,543 36,133 115,243 45,000 115,000 45,000 115,000 115,000 Platt Filing Fees 241 693 1,657 700 900 700 721 743 Computer Mapping 164 1,289 1,829 2,100 6,000 4,000 4,000 4,000 ZBA Hearings - - - - - - - - Professional Planning Services 9,134 23,366 8,070 6,000 32,000 6,000 58,000 58,000 Appraisal - 500 - 500 - 500 515 530 TOTAL PURCHASED SERVICES $ 80,113 $ 64,113 $ 133,405 $ 58,492 $ 156,600 $ 60,686 $ 182,856 $ 183,032 SUPPLIES Publications/Books/Subscripts 72 335 - 335 125 335 345 355 Miscellaneous Expenses 95 20 31 50 50 50 52 53 Office Supplies 338 300 259 300 400 300 309 318 Postage 382 263 61 500 600 500 515 530 TOTAL SUPPLIES $ 887 $ 918 $ 351 $ 1,185 $ 1,175 $ 1,185 $ 1,221 $ 1,257 TOTAL EXPENDITURES $ 160,895 $ 154,225 $ 233,134 $ 164,620 $ 260,223 $ 241,753 $ 369,355 $ 375,126 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 91 Parks Mission: To preserve and enhance the Town of Trophy Club’s exceptional quality of life through the planning, maintaining, and landscaping of the parks and public areas. The Parks Department reinforces the Town’s mission by ensuring a healthy, picturesque and environmentally sound community. Top 3 Accomplishments from FY13 1. Created and implemented the new Park Ordinance 2. Exceeded pool revenue numbers by $20,000 3. Installed connection trail across Independence East to merge with the portion of trail donated by LDS Strategic Plan Goal 1 - Proactively maintain and reinforce sound environmental practices within the community • Installation and retrofit to drip irrigation • Public environmental awareness • Installation and retrofit to xeriscape landscaping Goal 2 - Maintain current and future park and public amenities for increased resident enjoyment • Sports field maintenance • Trail creation and maintenance • Facility maintenance • Staff resource training • Medians and common areas Goal 3 - Implement the physical improvements to Trophy Club Park as identified in the master plan • Round-about • Trail development • Beautification area in Trophy Club Park • Aquatic area maintenance Goal 4 - Evaluate maintenance procedures for new amenities • Concrete trail maintenance and pond maintenance • Long term solutions for park drainage issues • Evaluate new open space and park/land maintenance areas • Infrastructure repair and replacement plan Goal 5 - Bring new park amenities online • New fencing along public trails • Additional playground • Independence East trail extension TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 92 Staff (Parks) 2011-2012 Actual 2012-2013 Actual 2013-2014 Adopted • FTE 11.5 9.5 10.3 Workload & Productivity Measures 2011-2012 Actual 2012-2013 Estimate 2012-2013 Actual 2013-2014 Estimate • Medians and common areas maintained 85 102 114 114 • Sports fields maintained 17 22 22 22 • Average weekly irrigation repairs/adjustments/replacements 50 75 75 75 • Addition of irrigated sections along Highlands Trail 0 5 5 5 • Average number of fields prepped and striped weekly during sports season 27 36 36 38 • Conversion of non-irrigated medians to Xeriscape landscaping 5 3 7 10 Staff (Medians) 2011-2012 Actual 2012-2013 Actual 2013-2014 Adopted • FTE 0.0 3.0 3.0 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 93 ---------Past--------- ---Projected Year--- -Budget- Financial Summary (Parks) 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted % Change (Est. vs. Ado.) Personnel Services $ 426,942 $454,565 $ 653,640 $562,470 $538,499 $627,442 17% Purchased Services 278,245 401,333 433,544 270,356 260,010 250,004 -4% Supplies 32,480 61,894 47,032 37,397 43,934 39,340 -12% Capital 39,796 33,536 7,000 66,410 66,993 64,181 -4 TOTAL $ 777,463 $951,328 $1,141,216 $936,634 $909,436 $980,967 8% ------------Past---------- ---Projected Year--- --Budget-- Financial Summary (Medians) 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted % Change (Est. vs. Ado.) Personnel Services $ - $ - $ - $161,194 $146,833 $ 158,159 8% Purchased Services - - - 147,267 172,326 134,699 -22% Supplies - - - 14,764 21,058 13,913 -34% TOTAL $ - $ - $ - $323,225 $340,217 $ 306,772 -10% 11% 1% 5% 2% 25% 11% 6% 4% 13% 8% 3% 5% 5% 1% 1% 0% 5% 10% 15% 20% 25% 30% Percent of General Fund Expenditures TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 94 PARKS 2009-10 2010-11 2011-12 2012-13 2012-13 2013-14 2014-15 2015-16 DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ESTIMATE ADOPTED PROJECTED PROJECTED PERSONNEL SERVICES Salaries & Wages 285,124 297,726 439,758 372,957 360,000 413,741 426,153 438,938 Overtime 13,083 15,543 20,119 12,500 12,500 12,500 12,875 13,261 Longevity 2,368 2,860 3,345 2,267 2,265 3,002 3,092 3,185 Certification - 3,105 1,250 1,000 1,000 1,000 1,030 1,061 Retirement 40,735 45,066 66,301 55,646 53,400 64,335 66,265 68,253 Medical Insurance 44,373 52,376 64,901 57,384 50,000 65,449 67,412 69,435 Dental Insurance 3,131 3,143 5,007 4,166 3,811 4,501 4,636 4,775 Vision Insurance 537 1,210 1,166 912 862 1,016 1,046 1,078 Life Insurance & Other 1,968 1,261 2,982 3,667 5,387 4,080 4,202 4,328 Social Security Taxes 18,188 17,871 27,918 23,441 22,302 25,899 26,676 27,476 Medicare Taxes 4,254 4,147 6,529 5,482 5,225 6,057 6,239 6,426 Unemployment Taxes 1,417 1,096 3,908 2,480 1,500 1,914 1,971 2,031 Workman's Compensation 9,650 7,221 9,009 9,613 8,847 9,533 9,819 10,114 Auto Allowance 2,100 1,448 1,012 2,100 2,100 2,100 2,163 2,228 One-Time Stipend - - - 8,750 8,750 12,000 12,360 12,731 Pre-Employment Physicals/Testing 14 492 435 105 550 315 324 334 TOTAL PERSONNEL SERVICES $ 426,942 $ 454,565 $ 653,640 $ 562,470 $ 538,499 $ 627,442 $ 646,265 $ 665,653 PURCHASED SERVICES Telephone 59 148 394 437 437 425 438 451 Communications/Pagers/Mobiles 4,134 5,345 6,131 6,224 6,224 7,224 7,441 7,664 Electricity 21,946 25,165 34,195 51,275 44,375 42,800 45,114 46,467 Water 55,583 105,029 145,812 68,330 66,216 60,750 62,573 64,450 Dues & Memberships 112 249 318 762 762 780 803 828 Meetings 595 1,120 787 1,000 1,000 1,000 1,030 1,061 Schools & Training 1,511 3,183 912 2,525 2,619 3,025 3,116 3,209 Safety Program 275 70 900 500 500 450 464 477 Travel & Per Diem 1,230 1,206 1,704 1,797 1,797 2,967 3,056 3,148 Advertising - 2,071 2,274 700 175 700 721 743 Storage Rental - 538 2,222 9,274 11,149 4,200 4,326 4,456 Vehicle Maintenance 7,942 4,945 7,692 7,465 7,965 8,001 8,241 8,488 Equipment Maintenance 6,978 10,381 12,053 9,225 13,776 10,225 10,532 10,848 Building Maintenance 56 5,059 3,787 1,000 3,019 2,500 2,575 2,652 Property Maintenance 164,856 186,045 211,702 107,859 98,000 102,900 107,223 110,440 Tree City 10,188 12,736 - - - - - - Professional Outside Services 1,426 - 1,015 500 500 500 515 530 Engineering - 35,799 - - - - - - Portable Toilets 1,353 2,244 1,646 1,483 1,496 1,557 1,604 1,652 TOTAL PURCHASED SERVICES $ 278,245 $ 401,333 $ 433,544 $ 270,356 $ 260,010 $ 250,004 $ 259,770 $ 267,563 SUPPLIES Fuel 13,047 19,830 23,713 17,140 23,667 17,727 18,259 18,806 Postage 20 33 15 52 52 50 52 53 Publications/Books/Subscripts 427 39 151 515 515 500 515 530 Uniforms 5,521 6,859 8,705 8,130 8,130 7,622 7,851 8,086 Small Equipment - - - - 558 - - - Small Tools 9,562 25,946 12,719 6,300 9,204 9,800 10,094 10,397 Safety Equipment 1,495 1,330 965 700 947 1,980 2,039 2,101 Miscellaneous Expenses 73 9 100 200 - 300 309 318 Furniture/Equipment < $5000 - 7,642 285 2,000 500 1,000 1,030 1,061 Hardware 2,118 - - 2,000 - - - - Office Supplies 219 206 379 361 361 361 372 383 TOTAL SUPPLIES $ 32,480 $ 61,894 $ 47,032 $ 37,397 $ 43,934 $ 39,340 $ 40,520 $ 41,735 CAPITAL Capital Expense - 24,460 7,000 - 583 - - - Capital Replacement 30,348 - - 61,481 61,481 61,481 63,325 65,225 Repairs & Maintenance 9,448 9,076 - 4,929 4,929 2,700 2,700 2,700 TOTAL CAPITAL $ 39,796 $ 33,536 $ 7,000 $ 66,410 $ 66,993 $ 64,181 $ 66,025 $ 67,925 TOTAL EXPENDITURES $ 777,463 $ 951,328 $ 1,141,216 $ 936,634 $ 909,436 $ 980,967 $ 1,012,580 $ 1,042,876 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 95 MEDIANS 2009-10 2010-11 2011-12 2012-13 2012-13 2013-14 2014-15 2015-16 DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ESTIMATE ADOPTED PROJECTED PROJECTED PERSONNEL SERVICES Salaries & Wages - - - 105,083 95,937 100,984 104,014 107,134 Overtime - - - 2,000 1,500 2,000 2,060 2,122 Longevity - - - 1,576 1,576 1,896 1,953 2,011 Certification - - - 500 500 500 515 530 Retirement - - - 15,702 14,000 15,854 16,330 16,820 Medical Insurance - - - 18,815 16,963 19,683 20,273 20,882 Dental Insurance - - - 1,609 1,600 1,609 1,657 1,707 Vision Insurance - - - 357 355 357 368 379 Life Insurance & Other - - - 1,081 1,081 1,042 1,073 1,105 Social Security Taxes - - - 6,503 6,134 6,296 6,485 6,679 Medicare Taxes - - - 1,521 1,496 1,472 1,516 1,562 Unemployment Taxes - - - 783 27 560 577 594 Workman's Compensation - - - 2,664 2,664 2,306 2,375 2,446 One-Time Stipend - - - 3,000 3,000 3,600 3,708 3,819 TOTAL PERSONNEL SERVICES $ - $ - $ - $ 161,194 $ 146,833 $ 158,159 $ 162,904 $ 167,791 PURCHASED SERVICES Communications/Pagers/Mobiles - - - 1,413 1,413 1,413 1,455 1,499 Electricity - - - 11,000 11,000 1,000 1,030 1,061 Water - - - 32,291 39,250 29,726 30,618 31,537 Schools & Training - - - 300 300 - - - Safety Program - - - 150 150 150 155 159 Meetings - - - 100 100 100 103 106 Vehicle Maintenance - - - 1,988 2,988 1,988 2,048 2,109 Tree City - - - - - 11,694 12,045 12,407 Property Maintenance - - - 92,950 112,950 83,553 86,059 88,641 Equipment Maintenance - - - 3,075 3,075 3,075 3,167 3,262 Building Maintenance - - - 4,000 1,100 2,000 2,060 2,122 TOTAL PURCHASED SERVICES $ - $ - $ - $ 147,267 $ 172,326 $ 134,699 $ 138,740 $ 142,902 SUPPLIES Postage - - - 50 50 - - - Fuel - - - 5,706 12,000 5,388 5,550 5,716 Uniforms - - - 2,199 2,199 2,350 2,421 2,493 Small Tools - - - 6,500 6,500 6,175 6,360 6,551 Safety Equipment - - - 309 309 - - - TOTAL SUPPLIES $ - $ - $ - $ 14,764 $ 21,058 $ 13,913 $ 14,331 $ 14,761 TOTAL EXPENDITURES $ - $ - $ - $ 323,225 $ 340,217 $ 306,772 $ 315,975 $ 325,454 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 96 Recreation & Community Events Mission: To preserve and enhance the Town of Trophy Club’s exceptional quality of life by offering our citizens a variety of recreational and athletic opportunities and special events that combine to create an environment that fosters both community spirit and pride. Top 3 Accomplishments from FY13 1. Worked with volunteers as they ran the Fourth of July Parade and had the largest number of parade entries to date 2. Held our first Back to Nature event 3. Increased participation numbers for every portion of the Fourth of July Celebration Strategic Plan Goal 1- Promote physical activity and a healthy lifestyle • Triton Swim Team • Tennis camp • Sports association support • Volunteer support Goal 2- Offer unique recreation programs, events, and amenities to residents of all ages • Family Camp-out • Summer Adventure Camp • Freedom Dog Park • Third-party programs Goal 3- Encourage community involvement through increased awareness and opportunities • Business vendors at community events • Eagle Scout projects • Facility Rentals • Community events Goal 4- Evaluation of revenue-producing programs • Baseball and soccer tournaments • Birthday parties • Pool fees • Enterprise program fund Goal 5- Bring new programming on-line • Dog Obedience & training classes • Active adult classes • Nature classes Staff 2011-2012 Actual 2012-2013 Actual 2013-2014 Adopted • FTE 2.1 2.1 2.1 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 97 Workload & Productivity Measures 2011-2012 Actual 2012-2013 Budget 2012-2013 Estimate 2013-2014 Adopted • Recreation programs Offered 6 7 5 10 • Community Events Offered 6 7 7 8 • Swim Team Enrollment 180 195 196 196 • Day Camp Enrollment 82 85 83 72 • Attendees at Community Events 5,000+ 6,000+ 6,000+ 10,000+ • Community/Volunteer Partnerships 30 32 36 40 • Skunkworks Programs 0 0 1 2 -------Past-------- --Projected Year-- --Budget-- Financial Summary 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted % Change (Est. vs. Ado.) Personnel Services $301,096 $325,517 $324,287 $368,558 $351,409 $373,180 6% Purchased Services 104,574 96,175 87,978 116,689 114,365 116,215 2% Supplies 45,973 45,989 58,286 61,605 59,481 64,433 8% Capital 17,400 56,010 - 15,000 15,000 - NA Community Events 42,677 48,114 47,889 49,700 48,184 55,915 16% TOTAL $511,720 $571,805 $518,440 $611,552 $588,439 $609,743 4% 11% 1% 5% 2% 25% 11% 6% 4% 13% 8% 3% 5% 5% 1% 1% 0% 5% 10% 15% 20% 25% 30% Percent of General Fund Expenditures TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 98 RECREATION & COMMUNITY EVENTS 2009-10 2010-11 2011-12 2012-13 2012-13 2013-14 2014-15 2015-16 DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ESTIMATE ADOPTED PROJECTED PROJECTED PERSONNEL SERVICES Salaries & Wages 237,128 260,839 258,706 290,317 276,453 293,613 132,696 136,677 Overtime 2,910 4,047 1,616 3,800 1,500 3,800 - - Longevity 509 338 383 524 524 760 783 806 Retirement 14,321 15,031 15,716 18,026 18,070 19,332 19,912 20,509 Medical Insurance 11,087 12,355 10,114 11,300 11,029 11,851 12,207 12,573 Dental Insurance 671 691 711 832 813 833 858 884 Vision Insurance 124 129 184 199 194 199 205 211 Life Insurance & Other 408 347 769 1,161 1,914 1,173 1,208 1,244 Social Security Taxes 14,990 15,848 17,673 18,208 18,208 18,442 8,230 8,477 Medicare Taxes 3,506 3,707 4,133 4,259 4,259 4,313 1,925 1,983 Unemployment Taxes 3,305 1,655 4,986 5,080 2,500 4,261 404 416 Worker's Compensation 6,979 6,340 5,720 7,195 7,195 6,498 2,950 3,038 Auto Allowance 2,100 1,525 1,012 2,100 2,100 2,100 2,163 2,228 One-Time Stipend - - - 2,850 3,650 3,300 - - Pre-Employment Physicals/Testing 3,058 2,665 2,564 2,707 3,000 2,705 - - TOTAL PERSONNEL SERVICES $ 301,096 $ 325,517 $ 324,287 $ 368,558 $ 351,409 $ 373,180 $ 183,540 $ 189,046 PURCHASED SERVICES Telephone 1,053 1,459 1,672 1,191 1,395 1,224 1,261 1,299 Communications/Pagers/Mobiles 2,371 2,592 2,562 3,754 7,090 3,061 3,153 3,247 Dues & Memberships 3,518 5,956 6,787 6,623 8,623 6,994 7,204 7,420 Schools & Training 1,089 1,384 1,257 3,060 2,760 4,025 4,146 4,270 Travel & Per Diem 1,344 2,672 5,262 4,914 5,314 5,986 6,166 6,351 Advertising 1,999 3,202 2,970 4,540 3,641 3,433 3,536 3,642 Community Events - - 2,502 - - - - - Special Events 675 1,371 1,322 1,751 1,451 1,804 1,858 1,914 Electricity 20,419 17,732 7,929 20,000 21,000 20,000 20,600 21,218 Water 21,710 19,235 18,377 20,000 17,000 20,000 20,600 21,218 Rent 4,781 - (2,896) - - - - - Printing 1,524 1,226 2,592 3,662 2,576 3,701 3,812 3,926 Meetings 813 753 505 1,117 1,117 1,137 1,171 1,206 Software & Support 8,950 8,500 8,500 3,500 3,500 3,500 3,605 3,713 Insurance - - - 486 - 486 501 516 Independent Labor 1,861 1,070 408 742 42 2,742 2,824 2,909 Library Interlocal Agreement - - - 15,000 15,000 15,000 15,000 15,000 Equipment Maintenance 1,032 - 1,183 - - - - - Property Maintenance 19,405 17,342 13,656 14,900 14,900 9,997 10,297 10,606 Prompt Payment Act Interest - 3 - - - - - - Refund Prior Year Reserve 300 - - - - - - - Health Inspections - - - 239 239 246 253 261 Field Trips 4,561 3,877 4,974 4,031 3,531 5,500 5,665 5,835 Rent Equipment 3,831 4,809 4,885 5,729 4,729 5,729 5,901 6,078 Collection Fees 3,338 2,992 3,531 1,457 457 1,650 1,700 1,750 TOTAL PURCHASED SERVICES $ 104,574 $ 96,175 $ 87,978 $ 116,689 $ 114,365 $ 116,215 $ 119,251 $ 122,379 SUPPLIES Uniforms 5,134 6,244 9,281 6,905 5,999 7,283 7,501 7,727 Safety Equipment 1,744 288 1,271 1,092 1,092 1,123 1,157 1,191 Publications/Books/Subscriptions 467 22 0 464 464 464 478 492 Office Supplies 1,293 1,602 1,417 1,912 1,912 1,923 1,981 2,040 Furniture/Equipment < $5000 2,550 1,909 2,990 6,656 8,156 7,881 8,117 8,361 Miscellaneous Expenses 53 606 928 312 312 312 321 331 Fuel 69 - - - - - - - Small Equipment 4,144 2,222 5,893 4,000 4,000 4,120 4,244 4,371 Chemicals 17,707 15,373 20,286 20,085 19,085 20,688 21,309 21,948 Hardware 801 7,629 3,463 2,000 2,000 2,000 2,060 2,122 Program Supplies 3,081 3,120 3,800 5,460 4,960 5,544 5,710 5,882 Maintenance Supplies 1,938 1,606 677 1,750 1,750 1,801 1,855 1,911 Concessions 6,899 5,348 8,167 10,815 9,315 11,139 11,473 11,817 Postage 93 20 113 155 436 155 160 164 TOTAL SUPPLIES $ 45,973 $ 45,989 $ 58,286 $ 61,605 $ 59,481 $ 64,433 $ 66,366 $ 68,357 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 99 CAPITAL Capital Expense - 49,010 - - - - - - Capital Replacement - - - 15,000 15,000 - 15,000 15,000 Repairs & Maintenance 17,400 7,000 - - - - - - TOTAL CAPITAL $ 17,400 $ 56,010 $ - $ 15,000 $ 15,000 $ 0 $ 15,000 $ 15,000 Community Events General 1,536 618 1,712 1,815 1,815 4,770 4,913 5,060 Fall Festival Activities 5,375 7,339 8,120 8,158 8,158 5,000 5,150 5,305 Christmas Lighting Activities 1,984 2,633 2,578 5,300 5,884 11,728 12,080 12,442 Pitch Hit Run Activities 301 49 585 - - - - - Easter Activities 1,790 2,549 2,142 3,010 2,668 3,045 3,136 3,230 Arbor Day Activities 5,550 6,356 6,055 4,500 2,792 4,355 4,486 4,620 Spring Pet Fair Activities 4,078 3,574 4,595 5,867 5,867 5,017 5,168 5,323 4th of July Activities 22,063 24,996 22,102 21,050 21,000 22,000 22,660 23,340 TOTAL COMMUNITY EVENTS $ 42,677 $ 48,114 $ 47,889 $ 49,700 $ 48,184 $ 55,915 $ 57,592 $ 59,320 TOTAL EXPENDITURES $ 511,720 $ 571,805 $ 518,440 $ 615,298 $ 588,439 $ 609,743 $ 441,749 $ 454,102 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 100 Facility Management Description: Facility Management is a non-departmental expenditure, meaning that the expense is associated with the entire organization instead of a particular department. Facility management includes the utilities for the Town of Trophy Club Facilities, maintenance on the facility, the cleaning service, and insurance for the facility. Staff 2011-2012 Actual 2012-2013 Actual 2013-2014 Adopted • FTE 0.0 0.0 0.0 --------Past-------- --Projected Year-- --Budget-- Financial Summary 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted % Change (Est. vs. Ado.) Purchased Services $ 71,016 $73,729 $62,747 $ 70,261 $ 71,740 $ 69,500 -3% Supplies 2,353 2,755 2,594 2,700 2,200 2,700 23% TOTAL $ 73,369 $76,484 $65,341 $ 72,961 $ 73,940 $ 72,200 -2% 11% 1% 5% 2% 25% 11% 6% 4% 13% 8% 3% 5% 5% 1% 1% 0% 5% 10% 15% 20% 25% 30% Percent of General Fund Expenditures TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 101 FACILITY MANAGEMENT 2009-10 2010-11 2011-12 2012-13 2012-13 2013-14 2014-15 2015-16 DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ESTIMATE ADOPTED PROJECTED PROJECTED PURCHASED SERVICES Electricity 15,909 13,811 13,584 15,227 15,000 15,000 15,450 15,914 Water 655 766 1,027 1,500 1,000 1,500 1,545 1,591 Insurance 40,732 44,443 42,306 45,834 44,240 46,500 47,895 49,332 Cleaning Services - - 2,801 - - - - - Equipment Maintenance - 582 - - - - - - Building Maintenance 5,675 5,994 3,029 5,000 11,000 5,000 5,150 5,305 Cleaning Services Supplies 8,045 8,133 - 2,700 500 1,500 1,545 1,591 TOTAL PURCHASED SERVICES $ 71,016 $ 73,729 $ 62,747 $ 70,261 $ 71,740 $ 69,500 $ 71,585 $ 73,733 SUPPLIES Maintenance Supplies 1,592 2,151 2,553 2,700 2,200 2,700 2,781 2,864 Vending Machine Supplies 761 604 41 - - - - - TOTAL SUPPLIES $ 2,353 $ 2,755 $ 2,594 $ 2,700 $ 2,200 $ 2,700 $ 2,781 $ 2,864 TOTAL EXPENDITURES $ 73,369 $ 76,484 $ 65,341 $ 72,961 $ 73,940 $ 72,200 $ 74,366 $ 76,597 Other Major Funds TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 103 Capital Projects Fund The Capital Projects Fund receives the proceeds from bonds or other legally authorized dept instruments issued for a specific project. The related expenditures associated with capital projects are recorded in this fund. The Capital Improvement Program is reviewed each year by the Town Council to determine the need for projects and the issuance of debt to finance planned improvements or projects. In FY 2014 the fund balance in the Capital Projects Fund is expected to decrease $3,528,871, or 82.2% from the FY 13 estimated ending fund balance due to the use of bond proceeds, namely the 2013 CO, to reconstruct streets and perform drainage system upgrades. The Capital Projects Fund Balance includes funds originating from: A. 2010 General Obligation Bond - $5 Million o The voters approved the bond for park projects which include: o Eastside Trail Head o Harmony Park o Independence Park o Freedom Park o Trail Improvements B. 2012 Tax Note - $500,000 o This note was approved by council for facility planning and land acquisition o To date, the Town has spent $49,739 to date on a Town Facility Study for a new Police Department and Town Hall C. 2013 Certificate of Obligation - $3 Million o Council approved this bond to be used for street and drainage projects which include: o Indian Creek – Street Reconstruction and Drainage Improvements o $183,321 has been spent to date on this project o Timber Ridge - Drainage Project o $34,568 has been spent to date on this project o Fresh Meadow - Drainage Project o $18,938 has been spent to date on this project o Phoenix Drive – Street Reconstruction o Pin Oak court – Street Reconstruction o Skyline/Indian Creek – Drainage Project TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 104 ------------------Past------------------ ---Projected Year--- --Budget-- Financial Summary 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted % Change (Est. vs. Ado.) Revenue 720,281 305,705 323,781 - - - NA Expenditures 3,306,994 5,418,119 1,427,344 911,936 662,206 3,528,871 433% Other Sources (Uses) 5,593,909 (45,000) 500,000 - 3,017,930 - NA DESCRIPTION 2009-10 ACTUAL 2010-11 ACTUAL 2011-12 ACTUAL 2012-13 ADOPTED 2012-13 ESTIMATE 2013-14 PROPOSED 2014-15 PROJECTED 2015-16 PROJECTED BEGINNING FUND BALANCE $ 3,750,206 $ 6,757,402 $ 1,599,988 $ 996,425 $ 1,937,412 $ 4,293,136 $ 764,265 $ 694,987 REVENUE Contributions/Grants 694,837 264,381 322,536 - - - - - Interest Revenue 5,444 6,323 1,245 - - - - - Miscellaneous Revenue 20,000 - - - - - - - Intergovernmental Revenue - 35,001 - - - - - - TOTAL REVENUES $ 720,281 $ 305,705 $ 323,781 $ - $ - $ - $ - $ - EXPENDITURES General Government 1,271 27,489 2,453 - - - - - Bond Issuance Costs 82,245 - 21,200 - - - - - Capital Outlay 3,223,478 5,390,630 1,403,691 911,936 662,206 3,528,871 69,278 94,016 TOTAL EXPENDITURES $ 3,306,994 $ 5,418,119 $ 1,427,344 $ 911,936 $ 662,206 $ 3,528,871 $ 69,278 $ 94,016 OTHER FINANCING SOURCES (USES) Bond Issuance 5,560,000 - 500,000 - 3,017,930 - - - Transfers In 54,489 15,000 - - - - - - Transfers Out (20,580) (60,000) - - - - - - TOTAL OTHER FINANCING SOURCES (USES) $ 5,593,909 $ (45,000) $ 500,000 $ - $ 3,017,930 $ - $ - $ - NET INCREASE (DECREASE) $3,007,196 $(5,157,414) $ (603,563) $ (911,936) $ 2,355,724 $ (3,528,871) $ (69,278) $ (94,016) ENDING FUND BALANCE $6,757,402 $ 1,599,988 $ 996,425 $ 84,489 $ 4,293,136 $ 764,265 $ 694,987 $ 600,971 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 105 Debt Service Fund The Debt Service Fund is used for the accumulation of resources for payment of long-term debt principal and interest. The long-term debt is used to finance major capital improvements including the construction of parks, streets, public facilities, and other general government projects. Resources include an applicable portion of the Ad Valorem Tax Levy and related interest income usable for debt service. DEBT MANAGEMENT SUMMARY A. Debt Issuance. The Town issues debt only for the purpose of acquiring or constructing capital assets for the general benefit of its citizens and to allow it to fulfill its various missions as a town. Debt may be issued for the purposes of purchasing land or rights-of-way and/or improvements to land, for construction projects to provide for the general good, or for capital equipment. B. Types of Debt. 1. General Obligation Bonds (GOs). General obligation bonds are used to fund capital assets of the general government, are not to be used to fund operating needs of the Town, and are backed by the full faith and credit of the Town, as well as, the ad valorem tax authority of the Town. General obligation bonds must be authorized by a vote of the citizens of the Town of Trophy Club. 2. Certificates of Obligation (COs). Certificates of obligation are used to finance permanent improvements and land acquisition, the need for which arises between bond elections. In addition, they may also be used to finance costs associated with capital project overruns or to acquire equipment. Debt service for COs may be from general tax revenues under certain circumstances as defined by law. They may also be backed by a specific revenue stream(s) or by a combination of tax revenues and specific revenue streams. 3. Method of Sale. The Town uses a competitive bidding process in the sale of bonds unless the nature of the issue warrants a negotiated bid. In situations where a competitive bidding process is not elected, the Town will present the reasons why, and the Town will actively participate with the financial advisor in the selection of the underwriter or direct purchaser. 4. Bidding Parameters. The notice of sale will be carefully constructed so as to ensure the best possible bid for the Town, in light of the existing market conditions and other prevailing factors. Parameters to be examined include: • Limits between lowest and highest coupons • Coupon requirements relative to the yield curve • Method of underwriter compensation, discount or premium coupons • Use of true interest cost (TIC) versus net interest cost (NIC) TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 106 • Use of bond insurance • Deep discount bonds • Variable rate bonds • Call provisions C. Analysis of Financing Alternatives. Staff will explore alternatives to the issuance of debt for capital acquisitions and construction projects. These alternatives will include, but not be limited to: 1) grants in aid, 2) use of reserves, 3) use of current revenues, 4) contributions from other developers and others, 5) leases, and 6) impact fees. D. Disclosure. Full disclosure of operations will be made to the bond rating agencies and other depositories of financial information as required by the Security and Exchange Commission (SEC) Rule 15c2-12, specifically, Texas Municipal Advisory Council (State Information Depository). E. Rating Agency Communication. The Town management will seek to maintain and improve its current bond rating so its borrowing costs are reduced to a minimum and its access to credit preserved. The Town management, with the assistance of financial advisors and bond counsel, will prepare the necessary materials for presentation to the rating agencies, will aid in the production of Official Statements, and will take responsibility for the accuracy of all financial information released. D. Federal Requirements. The Town will maintain procedures to comply with arbitrage rebate and other federal requirements. E. Debt Limit. The State of Texas limits the ad valorem tax rate to $2.50 per $100 valuation. The Town of Trophy Club’s adopted rate of $0.4993 per $100 valuation falls well below this limit. F. Bond Rating. The Town of Trophy Club went through a bond rating process in May 2010. Moody’s Investor Service upgraded the Town from an A2 to Aa3, and Standard and Poors’ gave the Town a AA rating as their initial rating. The Town’s bond rating directly affects the cost of debt. The Town’s policies are focused on issues which maintain high bond ratings and keep debt costs reasonable. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 107 ------------------Past------------------ ---Projected Year--- --Budget-- Financial Summary 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted % Change (Est. vs. Ado.) Revenue 843,468 1,252,364 1,287,814 1,389,405 1,404,073 1,370,864 -2% Expenditures 911,721 1,429,279 1,360,266 1,474,681 1,474,681 1,585,092 7% Other Sources (Uses) 88,016 179,236 81,331 79,626 81,512 21,362 -74% $2,000 $445,092 $1,138,000 2013-14 Debt Service Expenditures Paying Agent Fees Bond Interest Expense Bond Principal Payment TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 108 Town of Trophy Club Debt Schedule 0 200,000 400,000 600,000 800,000 1,000,000 1,200,000 1,400,000 1,600,000 1,800,000 2,000,000 Debt Service Fund Revenues ($1,598,664) Interfund Trans In (Crime Control) Interfund Trans In (Street Maintenance) Interfund Trans In (General Fund) Interfund Trans In (Storm Drainage) Intergov Trans In (EDC4A, 4B) Interest Income Property Taxes/P & I & Deliquent Property Taxes Total Debt Service Principal Interest Total FY 2014 $ 1,138,000 $ 445,092 $ 1,583,092 FY 2015 853,000 407,186 1,260,186 FY 2016 773,000 383,700 1,156,700 FY 2017 798,000 360,259 1,158,259 FY 2018 833,000 335,145 1,168,145 FY 2019 863,000 308,931 1,171,931 FY 2020 888,000 281,963 1,169,963 FY 2021 913,000 251,415 1,164,415 FY 2022 953,000 217,579 1,170,579 FY 2023 778,000 181,752 959,752 FY 2024 805,000 152,761 957,761 FY 2025 620,000 124,876 744,876 FY 2026 665,000 99,951 764,951 FY 2027 695,000 73,380 768,380 FY 2028 465,000 45,538 510,538 FY 2029 355,000 29,906 384,906 FY 2030 370,000 15,263 385,263 Totals $ 12,765,000 $ 3,714,699 $ 16,479,699 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 109 Town of Trophy Club Debt Schedule 2004 -Combination Tax & Revenue Certificates of Obligation 2007 General Obligation Bonds 2010 - General Obligation Bonds Principal Interest Total Principal Interest Total Principal Interest Total FY 2014 $ 33,000 $ 17,578 $ 50,578 $ 135,000 $ 111,063 $ 246,063 $ 185,000 $ 171,431 $ 356,431 FY 2015 33,000 15,989 48,989 145,000 103,638 248,638 195,000 164,956 359,956 FY 2016 33,000 14,439 47,439 150,000 97,693 247,693 200,000 159,106 359,106 FY 2017 33,000 12,810 45,810 155,000 91,693 246,693 210,000 153,106 363,106 FY 2018 33,000 11,221 44,221 165,000 85,493 250,493 220,000 146,806 366,806 FY 2019 33,000 9,632 42,631 170,000 78,893 248,893 230,000 140,206 370,206 FY 2020 33,000 8,065 41,064 180,000 72,093 252,093 240,000 133,306 373,306 FY 2021 33,000 6,453 39,453 185,000 64,668 249,668 250,000 123,706 373,706 FY 2022 33,000 4,864 37,864 195,000 56,990 251,990 260,000 113,706 373,706 FY 2023 33,000 3,275 36,274 205,000 48,703 253,703 275,000 103,306 378,306 FY 2024 35,000 1,690 36,690 215,000 39,990 254,990 285,000 92,306 377,306 FY 2025 - - - 220,000 30,745 250,745 300,000 80,906 380,906 FY 2026 - - - 235,000 21,120 256,120 310,000 68,906 378,906 FY 2027 - - - 245,000 10,780 255,780 325,000 56,506 381,506 FY 2028 - - - - - - 340,000 43,506 383,506 FY 2029 - - - - - - 355,000 29,906 384,906 FY 2030 - - - - - - 370,000 15,263 385,263 Totals $365,000 $ 106,017 $ 471,017 $ 2,600,000 $ 913,557 $ 3,513,557 $ 4,550,000 $ 1,796,937 $ 6,346,937 2010 - General Obligation Refunding Bonds 2012 - Tax Note 2013 - Certificates of Obligation Principal Interest Total Principal Interest Total Principal Interest Total FY 2014 $ 365,000 $ 56,650 $ 421,650 $ 280,000 $ 2,776 $ 282,776 $ 140,000 $ 85,594 $ 225,594 FY 2015 170,000 47,525 217,525 100,000 578 100,578 210,000 74,500 284,500 FY 2016 175,000 43,275 218,275 - - - 215,000 69,188 284,188 FY 2017 180,000 38,900 218,900 - - - 220,000 63,750 283,750 FY 2018 185,000 33,500 218,500 - - - 230,000 58,125 288,125 FY 2019 190,000 27,950 217,950 - - - 240,000 52,250 292,250 FY 2020 195,000 22,250 217,250 - - - 240,000 46,250 286,250 FY 2021 200,000 16,400 216,400 - - - 245,000 40,188 285,188 FY 2022 210,000 8,400 218,400 - - - 255,000 33,619 288,619 FY 2023 - - - - - - 265,000 26,469 291,469 FY 2024 - - - - - - 270,000 18,775 288,775 FY 2025 - - - - - - 100,000 13,225 113,225 FY 2026 - - - - - - 120,000 9,925 129,925 FY 2027 - - - - - - 125,000 6,094 131,094 FY 2028 - - - - - - 125,000 2,031 127,031 FY 2029 - - - - - - - - - FY 2030 - - - - - - - - - Totals $ 1,870,000 $ 294,850 $ 2,164,850 $ 380,000 $ 3,355 $ 383,355 $ 3,000,000 $ 599,981 $ 3,599,981 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 110 $0 $200,000 $400,000 $600,000 $800,000 $1,000,000 $1,200,000 $1,400,000 $1,600,000 FY 2014 FY 2016 FY 2018 FY 2020 FY 2022 FY 2024 FY 2026 FY 2028 FY 2030 Annual Debt Service Payment By Issue 2013 - Certificates of Obligation 2012 - Tax Note 2010 - General Obligation Refunding Bonds 2010 - General Obligation Bonds 2007 General Obligation Bonds 2004 -Combination Tax & Revenue Certificates of Obligation DESCRIPTION 2009-10 ACTUAL 2010-11 ACTUAL 2011-12 ACTUAL 2012-13 ADOPTED 2012-13 ESTIMATE 2013-14 PROPOSED 2014-15 PROJECTED 2015-16 PROJECTED BEGINNING FUND BALANCE $ 63,305 $ 83,067 $ 85,388 $ 92,571 $ 94,267 $ 58,785 $ 62,191 $ 222,633 REVENUE Property Taxes 670,024 1,006,365 1,057,045 1,159,968 1,162,551 1,351,864 1,574,567 1,674,885 Property Taxes/P & I & Delinquent 5,742 8,622 6,967 5,000 17,600 18,000 5,000 5,000 Interest Income 6,471 4,592 880 1,000 1,000 1,000 1,000 1,000 Intergov Trans In (EDC4A, 4B) 161,230 232,785 222,922 223,437 729,909 - - - TOTAL REVENUE $ 843,468 $ 1,252,364 $ 1,287,814 $ 1,389,405 $ 1,911,060 $ 1,370,864 $ 1,580,567 $ 1,680,885 EXPENDITURES Paying Agent Fees 2,016 2,150 4,250 2,300 2,300 2,000 2,000 2,000 Bond Interest Expense 369,706 549,805 471,016 445,381 445,381 445,092 818,853 762,513 Bond Issuance Expense - 74,324 - - - - - - Bond Principal Payment 540,000 803,000 885,000 1,027,000 2,193,987 1,138,000 878,000 1,023,000 TOTAL EXPENDITURES $ 911,721 $ 1,429,279 $1,360,266 $1,474,681 $2,641,668 $1,585,092 $ 1,698,853 $ 1,787,513 OTHER FINANCING SOURCES (USES) Interfund Trans In (Storm Drainage) 64,836 64,204 27,244 27,040 27,244 205,075 203,000 205,046 Interfund Trans In (General Fund) 23,180 31,631 54,087 52,586 660,000 - - - Interfund Trans In (Street Maintenance) - - - - 7,882 13,287 - - Interfund Trans In (Crime Control) - - - - - - 75,000 75,000 Transfers Out - - - - - - - - Issuance of long-term debt - 2,790,000 - - - - - - Payment to refund bond escrow agents - (2,825,503) - - - - - - Premium on issuance of long-term debt - 118,904 - - - - - - TOTAL OTHER SOURCES (USES) $ 88,016 $ 179,236 $ 81,331 $ 79,626 $ 695,126 $ 218,362 $ 278,000 $ 280,046 NET INCREASE (DECREASE) $ 19,763 $ 2,321 $ 8,879 $ 5,650 $ (35,482) $ 4,134 $ 159,714 $ 173,418 ENDING FUND BALANCE $ 83,067 $ 85,388 $ 94,267 $ 86,921 $ 58,785 $ 62,919 $ 222,633 $ 396,051 Non-Major Funds Section TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 112 Court Security Fund The Court Security Fund is used for the purpose of providing security personnel, services, and items to the Trophy Club Municipal Court and to promote financial stewardship by delivering responsive customer service. This fund is primarily used to offset the expenditures associated with providing bailiff services for the Trophy Club Municipal Court. ------------------Past------------------ ---Projected Year--- --Budget-- Financial Summary 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted % Change (Est. vs. Ado.) Revenues - - 3,499 3,030 4,227 4,000 -5% Expenditures - - - - - - 0% Other Sources (Uses) - - 13,949 (3,000) (3,000) (3,000) 0% DESCRIPTION 2009-10 ACTUAL 2010-11 ACTUAL 2011-12 ACTUAL 2012-13 ADOPTED 2012-13 ESTIMATE 2013-14 PROPOSED 2014-15 PROJECTED 2015-16 PROJECTED BEGINING FUND BALANCE $ - $ - $ - $ 100 $ 17,448 $ 18,675 $ 19,675 $ 20,755 Revenue Court Security Revenues - - 3,499 3,030 4,227 4,000 4,080 4,202 TOTAL REVENUES $ - $ - $ 3,499 $ 3,030 $ 4,227 $ 4,000 $ 4,080 $ 4,202 TOTAL EXPENDITURES $ - $ - $ - $ - $ - $ - $ - $ - OTHER SOURCES (USES) Transfers in - - 13,949 - - - - - Transfers out - - - (3,000) (3,000) (3,000) (3,000) (3,000) TOTOAL OTHER SOURCES (USES) $ - $ - $ 13,949 $ (3,000) $ (3,000) $ (3,000) $ (3,000) $ (3,000) NET INCREASE (DECREASE) $ - $ - $ 17,448 $ 30 $ 1,227 $ 1,000 $ 1,080 $ 1,202 ENDING FUND BALANCE $ - $ - $ 17,448 $ 130 $ 18,675 $ 19,675 $ 20,755 $ 21,957 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 113 Court Technology Fund The Court Technology Fund is used for the sole purpose of financing the purchase of or maintenance of technological enhancements for the Trophy Club Municipal Court and promoting financial and operational stewardship by improving the effectiveness and efficiency of operational processes. The court technology fee is primarily used to offset the costs related to the annual maintenance and support of the INCODE Court Software system along with any other technology purchases made by the municipal court. ---------------Past---------------- ---Projected Year--- --Budget-- Financial Summary 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted % Change (Est. vs. Ado.) Revenues - - 4,510 4,545 5,600 5,000 -11% Expenditures - - 1,240 3,275 5,125 4,166 -19% Other Sources (Uses) - - 29,244 - - - 0% DESCRIPTION 2009-10 ACTUAL 2010-11 ACTUAL 2011-12 ACTUAL 2012-13 ADOPTED 2012-13 ESTIMATE 2013-14 ADOPTED 2014-15 PROJECTED 2015-16 PROJECTED BEGINNING FUND BALANCE $ - $ - $ - $ - $ 32,514 $ 32,989 $ 33,823 $ 35,757 REVENUES Court Technology Revenue - - 4,510 4,545 5,600 5,000 5,100 24,310 TOTAL REVENUES $ - $ - $ 4,510 $ 4,545 $ 5,600 $ 5,000 $ 5,100 $ 24,310 EXPENDITURES Software & Support - - 1,240 3,275 5,125 4,166 3,166 3,166 TOTAL EXPENDITURES $ - $ - $ 1,240 $ 3,275 $ 5,125 $ 4,166 $ 3,166 $ 3,166 OTHER SOURCES (USES) Transfers in - - 29,244 - - - - - TOTAL OTHER SOURCES (USES) $ - $ - $ 29,244 $ - $ - $ - $ - $ - NET INCREASE (DECREASE) $ - $ - $ 32,514 $ 1,270 $ 475 $ 834 $ 1,934 $ 21,144 ENDING FUND BALANCE $ - $ - $ 32,514 $ 1,270 $ 32,989 $ 33,823 $ 35,757 $ 56,901 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 114 Crime Control Prevention District Chapter 363 of the Texas Local Government Code allows for the creation of a Crime Control and Prevention District (hereinafter, “CCPD‟). A Crime Control and Prevention District (CCPD) is a local sales tax funded organization, governed by an independent board appointed by the Town Council that may finance all costs of a crime control and crime prevention program, including costs for personnel, administration, expansion, enhancement and capital expenditures. The sales tax funds the CCPD with 1/4 of 1 percent, which the voters approved on May 11, 2013. Crime Control Prevention District Two-Year Plan Goal 1: Development of a needs assessment and if necessary procurement of design/engineering services for a Police Building – The Police Building is in abysmal condition. This is a critical issue for the Department. In order to carry out its mission, the Department must move forward with a needs assessment, development of architectural and engineering plans, and locating a site for a future police building. Goal 2: Equipment and New Technology – In order to carry out its mission, the police department must equip and train its officers with various tools to maintain and improve public safety. Such tools may include small pieces of equipment assigned to individual officers up to and including capital equipment. Supervisors, in conjunction with the Town’s Information Technology staff continually evaluate new technology that can be employed to enhance our efficiency. Goal 3: Staffing Levels – Critical law enforcement services in the Town of Trophy Club rely upon establishing minimum staffing levels in specific areas in order to carry out its mission. The district will support local law enforcement with additional staffing in order to ensure minimum staffing for School Resource Officers. CRIME CONTROL AND PREVENTION DISTRICT- TWO YEAR PLAN Throughout the history of law enforcement in America, changes in technology ushered in changes in crime control strategies. As equipment, technology, and training have improved agencies moved from the traditional model to the professional model to the community policing model to the intelligence-led model. The Trophy Club Police Department recognizes the effectiveness of the two most recent models but also recognizes the effectiveness of traditional law enforcement practices such as rapid response to calls for service. The Trophy Club Police Department primarily uses a hybrid form of community policing, embracing the problem-solving and partnership aspects of community policing. Also included are what many consider a more traditional response by having a uniformed officer respond to all calls for service as quickly as time permits. Detective’s not civilian personnel follow-up on all criminal events. However, in keeping with the problem oriented/community oriented model, TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 115 officers look for potential problem areas where there are reoccurring problems and partner with residents and other stake holders to resolve those problems. The Town of Trophy Club is a proactive town and its police department is no different. The department attempts to equip its staff with the most effective safety and crime fighting equipment they can reasonably afford. Funding sources have traditionally included the general fund and grants. There are obvious limits on these sources of funding. The Department competes with other Town departments for general fund dollars and against other public and non-profit agencies for grant funding. Any increase to the sales tax rate such as proposed through the creation of the CCPD will collect taxes from non-residents who consume law enforcement services and provide needed funding to improve public safety. The 1/4 of a cent sales tax allocated for the CCPD appears as a fair way of spreading that burden because the choice to make purchases for which sales tax dollars are collected rest solely with the purchaser. DESCRIPTION 2009-10 ACTUAL 2010-11 ACTUAL 2011-12 ACTUAL 2012-13 ADOPTED 2012-13 ESTIMATE 2013-14 Adopted 2014-15 PROJECTED 2015-16 PROJECTED REVENUES Sales Tax - - - - - 152,500 157,075 161,787 Interest/Miscellaneous - - - - - - - - TOTAL REVENUES $ - $ - $ - $ - $ - $152,500 $157,075 $161,787 EXPENDITURES Supplies Small Equipment - - - - - 18,500 19,055 19,627 Auditing - - - - - - 1,000 1,000 TOTAL SUPPLIES $ - $ - $ - $ - $ - $ 40,054 $ 20,055 $ 20,627 Capital Transfer to Debt Service - - - - - 67,500 75,000 75,000 Vehicles - - - - - 26,000 26,000 26,000 Vehicle Equipment - - - - - 18,946 - - TOTAL CAPITAL $ - $ - $ - $ - $ - $ 112,446 $ 101,000 $ 101,000 SUPPLIES - - - - - 40,054 20,055 20,627 CAPITAL - - - - - 112,446 101,000 101,000 TOTAL EXPENDITURES $ - $ - $ - $ - $ - $152,500 $121,055 $121,627 -----------------Past----------------- ---Projected Year--- -Budget- Financial Summary 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted Revenue - - - - - 152,500 Expenditures - - - - - 152,500 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 116 Economic Development Corporation 4B Fund Mission: To promote economic development within the Town and the State of Texas in order to eliminate unemployment and under employment, and to promote and encourage employment and the public welfare of, for, and on behalf of the town by undertaking, developing, providing, and financing projects under the Economic Development Act and as defined in Section 4B of the Act. Funded by 0.5% sales and use tax receipts (FY13 funding for 4B was 0.25% sales and use tax, was doubled when the Economic Development Corporation 4A Fund was dissolved). The Trophy Club Economic Development Corporation 4B (EDC 4B), aims to: design superior strategies and oversight plans that are geared toward intensifying economic activity and heightening the already superior Trophy Club lifestyle. ----------------Past---------------- ---Projected Year--- -Budget- Financial Summary 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted % Change (Est. vs. Ado.) Revenue 132,917 123,737 161,656 156,623 218,000 305,100 40% Expenditures 91,378 82,317 161,656 196,623 433,178 210,100 -51% $0 $50,000 $100,000 $150,000 $200,000 $250,000 $300,000 $350,000 $400,000 $450,000 $500,000 Revenues vs. Expenditures REVENUES EXPENDITURES TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 117 DESCRIPTION 2009-10 ACTUAL 2010-11 ACTUAL 2011-12 ACTUAL 2012-13 ADOPTED 2012-13 ESTIMATE 2013-14 Adopted 2014-15 PROJECTED 2015-16 PROJECTED BEGINNING FUND BALANCE $ 258,176 $ 299,715 $ 341,135 $ 355,842 $ 382,708 $ 167,530 $ 262,530 $ 372,245 REVENUES Sales Tax - General 132,420 123,375 147,391 156,523 218,000 305,000 311,100 317,322 Interest Income 497 362 - 100 - 100 102 104 Advertising Income - - 13,850 - - - - - TOTAL REVENUES $ 132,917 $ 123,737 $ 161,241 $ 156,623 $ 218,000 $ 305,100 $ 311,202 $ 317,426 EXPENDITURES Auditing 916 1,090 1,000 3,500 3,500 1,000 1,500 1,500 Dues & Memberships 200 450 300 600 500 600 600 600 Schools & Training 1,020 3,061 1,766 3,670 1,955 2,320 2,366 2,414 Travel & Per Diem 2,225 1,711 2,396 4,040 120 3,226 3,291 3,356 Elections - - - 9,000 6,116 - - - Advertising 7,672 787 12,952 6,500 3,000 16,500 16,830 17,167 Miscellaneous Expenses 424 2,523 2,984 20,341 14,000 6,750 15,000 15,300 Community Events 1,000 - - - - - - - EDC Projects* 34,724 14,766 23,464 63,193 113,193 50,744 30,000 30,000 Intergov Trans Out (GF I&S) 26,362 31,683 26,783 26,783 234,533 54,964 54,964 54,964 Intergov Trans Out (GF) 16,835 26,246 47,151 51,996 55,738 71,996 73,436 74,905 Office Supplies - - 872 2,000 522 1,000 1,500 1,500 Printing - - - 5,000 - 1,000 2,000 2,000 TOTAL EXPENDITURES $ 91,378 $ 82,317 $ 119,668 $ 196,623 $ 433,178 $ 210,100 $ 201,487 $ 203,705 Net Increase (Decrease) $ 41,539 $ 41,420 $ 41,573 $ (40,000) $ (215,178) $ 95,000 $ 109,715 $ 113,721 Ending Fund Balance $ 299,715 $ 341,135 $ 382,708 $ 315,842 $ 167,530 $ 262,530 $ 372,245 $ 485,966 $0 $100,000 $200,000 $300,000 $400,000 $500,000 $600,000 Fund Balance TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 118 Hotel Occupancy Tax Fund Mission: To promote tourism in Trophy Club by developing strong community partnerships which create a positive regional identity. Created for Fiscal Year 2007-08 following the November 20, 2006 Town Council adopted and levied tax for the occupancy of hotel rooms, the Hotel Occupancy Tax Fund’s primary function is to account for the receipt and distribution of the Town’s Hotel/Motel Occupancy Tax and promote tourism to Trophy Club. ------------------Past------------------ ---Projected Year--- -Budget- Financial Summary 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted % Change (Est. vs. Ado.) Revenues 17,713 22,645 20,575 111,050 80,011 100,100 25% Expenditures 19,000 20,500 21,144 111,051 80,011 100,100 25% $- $20,000 $40,000 $60,000 $80,000 $100,000 $120,000 $140,000 Revenues vs. Expenditures TOTAL REVENUES TOTAL EXPENDITURES $(500) $- $500 $1,000 $1,500 $2,000 $2,500 Fund Balance TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 119 DESCRIPTION 2009-10 ACTUAL 2010-11 ACTUAL 2011-12 ACTUAL 2012-13 ADOPTED 2012-13 ESTIMATE 2013-14 PROPOSED 2014-15 PROJECTED 2015-16 PROJECTED BEGINNING FUND BALANCE $ 1,032 $ (255) $ 1,890 $ 1,965 $ 1,321 $ 1,321 $ 1,321 $ 1,321 REVENUE Occupancy Tax 17,686 22,645 20,543 111,000 80,000 100,000 103,000 128,750 Interest Income 28 - 32 50 11 100 103 106 TOTAL REVENUE $ 17,713 $ 22,645 $ 20,575 $ 111,050 $ 80,011 $ 100,100 $ 103,103 $ 128,856 PURCHASED SERVICES Advertising - - - 876 876 - - - 4th of July Activities 19,000 20,500 425 - - - - - Event Rentals - - 20,719 17,665 23,500 32,840 33,825 34,840 PURCHASED SERVICES $ 19,000 $ 20,500 $ 21,144 $ 18,541 $ 24,376 $ 32,840 $ 33,825 $ 34,840 CAPITAL Future Civic Center Contribution - - - 92,510 55,635 67,260 69,278 94,016 TOTAL CAPITAL $ - $ - $ - $ 92,510 $ 55,635 $ 67,260 $ 69,278 $ 94,016 TOTAL EXPENDITURES $ 19,000 $ 20,500 $ 21,144 $ 111,051 $ 80,011 $ 100,100 $ 103,103 $ 128,856 NET INCREASE (DECREASE) $ (1,287) $ 2,145 $ (569) $ (1) $ - $ - $ - $ - ENDING FUND BALANCE $ (255) $ 1,890 $ 1,321 $ 1,964 $ 1,321 $ 1,321 $ 1,321 $ 1,321 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 120 Storm Drainage Utility Fund Mission: To provide a safe, clean, and well-maintained storm drainage system to the residents of Trophy Club. Workload & Productivity Measures 2011-2012 Actual 2012-2013 Estimate 2012-2013 Actual 2013-2014 Estimate • Storm Drain Structure Inspection & Cleaning 1150 1200 1200 1550 • Storm Drain System Repairs 76 85 56 60 • Street, Curb, and Gutter Sweeping (curb miles) 87 90 90 93 • Response to calls in under 4 business hours 100% 100% 100% 100% Staff 2011-2012 Actual 2012-2013 Budget 2012-2013 Estimate 2013-2014 Proposed • FTE 0.33 0.50 0.50 0.50 Strategic Plan Goal 1- Provide well-maintained Storm Drainage System • Inlet & structure inspection, cleaning , and repair • Street, curb, and gutter sweeping • Emergency response • Signs and markings • New construction Goal 2- Provide timely & knowledgeable response to resident issues • Quick response time for complaints • Customer service oriented Goal 3- Stormwater Master Plan • Begin Phase I implementation • Continue with Phase II development • Develop HMAP • Develop TWDB Grant Application Goal 4- Provide support for other Town Departments and MUD 1 • Parks • Police Department • MUD TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 121 ------------------Past------------------ ---Projected Year--- -Budget- Financial Summary 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted % Change (Est. vs. Ado.) Revenues 128,881 136,093 186,668 375,100 376,060 392,034 4% Expenditures 52,088 156,461 96,488 347,841 177,034 378,283 114% Other Sources (Uses) 51,577 (60,819) (64,382) (27,040) (27,241) (213,214) 683% $- $50,000 $100,000 $150,000 $200,000 $250,000 $300,000 $350,000 $400,000 $450,000 Revenues vs. Expenditures TOTAL REVENUES Total Expenditures 0 50000 100000 150000 200000 250000 300000 Ending Fund Balance TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 122 DESCRIPTION 2009-10 ACTUAL 2010-11 ACTUAL 2011-12 ACTUAL 2012-13 ADOPTED 2012-13 ESTIMATE 2013-14 PROPOSED 2014-15 PROJECTED 2015-16 PROJECTED BEGINNING FUND BALANCE $ - $ 128,370 $ 47,183 $ 49,703 $ 72,981 $ 244,766 $ 45,303 $ 58,973 REVENUES Storm Drainage Fee Revenue 128,881 136,021 180,668 369,100 370,060 386,034 397,615 409,543 Interest Income - 72 - - - - - 0 Recycling Revenue - - 6,000 6,000 6,000 6,000 6,000 6,000 TOTAL REVENUES $ 128,881 $ 136,093 $ 186,668 $ 375,100 $ 376,060 $ 392,034 $ 403,615 $ 415,543 EXPENDITURES PERSONNEL SERVICES Salaries & Wages 14,664 14,667 15,203 23,112 23,000 23,748 24,460 25,194 Overtime 56 304 118 - 300 - - - Longevity 74 94 171 304 304 349 359 370 Retirement 1,987 2,130 2,148 3,383 3,350 3,615 3,723 3,835 Medical Insurance 1,761 2,001 1,657 2,526 2,465 2,652 2,732 2,814 Dental Insurance 102 104 115 171 176 181 186 192 Vision Insurance 20 20 27 41 40 41 42 43 Life Insurance & Other 93 60 223 238 410 245 252 260 Social Security Taxes 943 934 946 1,498 1,465 1,540 1,586 1,634 Medicare Taxes 221 218 221 350 343 360 371 382 Unemployment Taxes 62 36 86 131 54 93 96 99 Workman's Compensation 1,343 295 752 1,477 1,183 1,355 1,396 1,438 Stipend - - - 750 750 750 773 796 TOTAL PERSONNEL SERVICES $ 21,327 $ 20,863 $ 21,667 $ 33,981 $ 33,839 $ 34,929 $ 35,977 $ 37,056 PURCHASED SERVICES 105 2,444 2,555 2,555 2,570 2,494 2,569 2,646 Dues & Memberships 6,339 3,509 3,998 104,000 104,000 104,000 107,120 110,334 Engineering 695 - 8,000 9,260 9,260 16,860 17,366 17,887 Independent Labor 329 22 - - - - - - Property Maintenance 2,194 1,015 464 - - - - - Vehicle Maintenance 3,850 3,850 3,850 5,250 2,000 4,000 4,120 4,244 Street Sweeping 1,022 3,951 567 - - - - - Equipment Maintenance 12,099 6,111 12,896 16,000 16,500 16,000 16,480 16,974 Trash Removal/Recycling 105 2,444 2,555 2,555 2,570 2,494 2,569 2,646 TOTAL PURCHASED SERVICES $ 26,634 $ 20,902 $ 32,330 $ 137,065 $ 134,330 $ 143,354 $ 147,655 $ 152,084 SUPPLIES Miscellaneous Expenses - - - - 110 - - - Fuel 3,561 3,976 1,675 - - - - - Small Tools 567 3,188 565 - - - - - TOTAL SUPPLIES $ 4,127 $ 7,164 $ 2,240 $ - $ 110 $ - $ - $ - CAPITAL Capital Expenses - 107,532 40,251 176,795 8,755 200,000 - - Capital Replacement - - - - - - - - TOTAL CAPITAL $ - $ 107,532 $ 40,251 $ 176,795 $ 8,755 $ 200,000 $ - $ - TOTAL EXPENDITURES $ 2,088 $ 156,461 $ 96,488 $ 347,841 $ 177,034 $ 378,283 $ 183,632 $ 189,140 OTHER FINANCING SOURCES (USES) Transfers In 116,413 3,385 - - - - - - Transfers Out (64,836) (64,204) (64,382) (27,040) (27,241) (213,214) (206,313) (207,646) TOTAL OTHER SOURCES (USES) $ 51,577 $ (60,819) $ (64,382) $ (27,040) $ (27,241) $ (213,214) $ (206,313) $ (207,646) NET INCREASE (DECREASE) $ 128,370 $ (81,187) $ 25,798 $ 219 $ 171,785 $ (199,463) $ 13,670 $ 18,757 ENDING FUND BALANCE $ 128,370 $ 47,183 $ 72,981 $ 49,922 $ 244,766 $ 45,303 $ 58,973 $ 77,730 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 123 Street Maintenance Sales Tax Fund Mission: To provide a safe, clean, and well-maintained roadway system to the residents of Trophy Club. Workload & Productivity Measures 2011-2012 Actual 2012-2013 Budget 2012-2013 Estimate 2013-2014 Proposed • Street, curb, and gutter sweeping (curb miles) 87 90 90 93 • Concrete placed/poured (cubic yards) 233 450 320 400 • Striping (linear feet) 37,765 35,320 38,346 39,500 • Respond to calls in under 4 business hours 100% 100% 100% 100% • Ratio of lane miles of street maintained per employee 29:65:1 29:65:1 29:65:1 29:65:1 Staff 2011-2012 Actual 2012-2013 Budget 2012-2013 Estimate 2013-2014 Proposed • FTE 0.63 0.72 0.72 0.72 Strategic Plan Goal 1- Provide well-maintained streets • Concrete street repairs • Street, curb, and gutter sweeping • Emergency response • Signs and markings • New construction Goal 2- Provide timely & knowledgeable response to resident issues • Responsive • Friendly • Customer service Goal 3- Establish 5 year plan for street maintenance • Identify and rank streets in need of maintenance Goal 4- Provide support for other Town Departments and MUD 1 • Parks • Police Department • MUD 1 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 124 ------------------Past------------------ ---Projected Year--- -Budget- Financial Summary 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted % Change (Est. vs. Ado.) Revenues 132,420 123,433 147,391 149,344 201,344 152,500 2% Expenditures 94,439 123,279 106,142 148,430 188,123 112,675 -40% Other Sources - (3,385) - (7,882) (7,882) (13,287) 269% DESCRIPTION 2009-10 ACTUAL 2010-11 ACTUAL 2011-12 ACTUAL 2012-13 ADOPTED 2012-13 ESTIMATE 2013-14 ADOPTED 2014-15 PROJECTED 2015-16 PROJECTED BEGINNING FUND BALANCE $ - $ 37,981 $ 34,750 $ 71,012 $ 75,999 $ 29,338 $ 55,876 $ 75,276 REVENUES Investment Income - 59 - - - - - - Sales Tax 132,420 123,374 147,391 156,523 149,344 152,500 157,075 161,787 TOTAL REVENUES 132,420 123,433 147,391 156,523 149,344 152,500 $157,075 $161,787 EXPENDITURES PERSONNEL SERVICES Salaries & Wages 20,014 18,109 17,821 22,717 22,785 23,342 23,342 23,342 Overtime - 59 114 - 200 - - - Longevity - - 160 160 340 410 410 410 Retirement 2,290 2,536 2,517 3,330 3,211 3,581 3,581 3,581 Medical Insurance 3,340 3,794 2,962 3,636 3,799 3,818 3,818 3,818 Dental Insurance 194 198 198 260 261 260 260 260 Vision Insurance 37 38 47 58 59 58 58 58 Life Insurance & Other 126 65 142 234 390 241 241 241 Social Security Taxes 1,092 792 1,173 1,475 1,421 1,526 1,526 1,526 Medicare Taxes 255 186 280 345 332 357 357 357 Unemployment Taxes 42 54 160 188 6 134 134 134 Workman's Compensation 2,390 1,145 972 1,454 1,166 1,342 1,342 1,342 Stipend - - - 720 720 864 864 864 TOTAL PERSONNEL SERVICES $ 29,780 $ 26,976 $ 26,546 $ 34,577 $ 34,690 $ 35,933 $ 35,933 $ 35,933 PURCHASED SERVICES Vehicle Maintenance - - - 1,424 800 3,665 3,665 3,665 Street Maintenance 53,906 48,178 41,495 92,391 70,000 51,377 51,377 51,377 Signs and Markings 10,753 10,865 23,166 10,000 25,000 15,000 15,000 15,000 TOTAL PURCHASED SERVICES $ 64,659 $ 59,043 $ 64,661 $ 103,815 $ 95,800 $70,042 $ 70,042 $ 70,042 SUPPLIES Fuel & Lube - - 2,984 9,405 5,000 6,000 6,000 6,000 Uniforms - - - - - - - - Small Tools - - - 633 633 700 700 700 TOTAL SUPPLIES $ - $ - $ 2,984 $ 10,038 $ 5,633 $ 6,700 $ 6,700 $ 6,700 CAPITAL Capital Replacement - 37,260 11,951 - 52,000 - - - TOTAL CAPITAL $ - $ 37,260 $ 11,951 $ - $ 52,000 $ - $ - $ - TOTAL EXPENDITURES $ 94,439 $ 123,279 $ 106,142 $ 148,430 $ 188,123 $ 112,675 $ 112,675 $ 112,675 OTHER FINANCING SOURCES (USES) Transfers In - - - - - - - - Transfers Out - (3,385) - (7,882) (7,882) (13,287) (25,000) (25,000) TOTAL OTHER SOURCES (USES) $ - $ (3,385) $ - $ (7,882) $ (7,882) $ (13,287) $(25,000) $ (25,000) NET INCREASE (DECREASE) $ 37,981 $ (3,231) $ 41,249 $ 211 $ (46,661) $ 26,538 $ 19,400 $ 24,112 ENDING FUND BALANCE $ 37,981 $ 34,750 $ 75,999 $ 71,223 $ 29,338 $ 55,876 $ 75,276 $ 99,388 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 125 Trophy Club Park Fund Mission: To provide the facilities and programs that meet the recreational needs of Trophy Club as it develops; to preserve open space for the enjoyment of all visitors; and to provide specific areas for environmental education. The Trophy Club Park Fund is aimed toward ensuring that all current Trophy Club Park facilities and programs are maintained and operated at a standard of excellence. To this end, the Fund is also intended to explore and create new facilities and programs that allow Trophy Club residents to utilize the park resources to the fullest extent possible. Much of the equestrian/pedestrian trail work in this park continues to be performed by volunteers. Workload & Productivity Measures 2011-2012 Actual 2012-2013 Estimate 2012-2013 Actual 2013-2014 Estimate • Motorized trails maintained (miles) 9 9 9 9 • Non-motorized trails maintained (miles) 3 4 7 7 • Park attendant monitoring (hours per week) 32 32 32 32 • Special events at park 8 6 6 7 • Classes offered at park 4 4 3 5 Staff 2011-2012 Actual 2012-2013 Budget 2012-2013 Estimate 2013-2014 Proposed • FTE 1.4 2.5 1.4 1.4 ----------Past---------- --Projected Year-- --Budget-- Financial Summary 2009-10 Actual 2010-11 Actual 2011-12 Actual 2012-13 Adopted 2012-13 Estimate 2013-14 Adopted % Change (Est. vs. Ado.) Revenues 77,594 117,019 138,712 125,000 128,000 130,000 -6% Expenditures 100,207 98,935 130,185 112,668 110,193 121,710 -1% Other Sources (Uses) - (15,000) - (12,300) (12,300) (8,000) -41% TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 126 $0 $20,000 $40,000 $60,000 $80,000 $100,000 $120,000 $140,000 Revenues vs. Expenditures Total Revenues Total Expenditures -$40,000 -$35,000 -$30,000 -$25,000 -$20,000 -$15,000 -$10,000 -$5,000 $0 $5,000 2009-10 ACTUAL 2010-11 ACTUAL 2011-12 ACTUAL 2012-13 ADOPTED 2012-13 ESTIMATE 2013-14 ADOPTED 2014-15 PROJECTED 2015-16 PROJECTED Fund Balance TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 127 DESCRIPTION 2009-10 ACTUAL 2010-11 ACTUAL 2011-12 ACTUAL 2012-13 ADOPTED 2012-13 ESTIMATE 2013-14 PROPOSED 2014-15 PROJECTED 2015-16 PROJECTED BEGINNING FUND BALANCE $ (15,113) $ (37,726) $ (34,642) $ (29,100) $ (26,115) $ (20,608) $ (20,318) $ (19,893) REVENUES Park Revenues 76,538 115,658 138,712 125,000 128,000 130,000 133,900 137,917 Interest Income 3 - - - - - - - Recovery of Prior Year Expense 1,054 1,355 - - - - - - TOTAL REVENUES $ 77,594 $ 117,019 $ 138,712 $ 125,000 $ 128,000 $ 130,000 $ 133,900 $ 137,917 EXPENDITURES PERSONNEL SERVICES Salaries & Wages 29,695 34,624 36,506 45,199 38,513 35,390 36,452 37,545 Longevity 64 - - 64 64 88 91 93 Retirement 2,372 2,913 2,939 3,079 3,024 3,318 3,418 3,520 Medical Insurance 1,779 2,425 1,984 2,021 2,027 2,122 2,186 2,251 Dental Insurance 103 126 137 145 145 145 149 154 Vision Insurance 20 25 33 32 33 32 33 34 Life Insurance & Other 102 82 146 463 463 355 366 377 Social Security Taxes 1,920 2,162 2,240 2,878 2,386 2,299 2,368 2,439 Medicare Taxes 449 506 524 673 558 538 554 571 Unemployment Taxes 435 206 489 365 59 261 269 277 Worker's Compensation 1,181 1,041 877 1,123 896 799 823 848 Stipend - - - 1,150 600 1,600 1,648 1,697 Pre-Employment Physicals/Testing 131 17 102 140 140 140 144 149 TOTAL PERSONNEL SERVICES $ 38,252 $44,127 $ 45,977 $ 57,332 $ 48,907 $ 47,087 $ 48,500 $ 49,955 PURCHASED SERVICES Telephone 548 681 998 912 912 1,380 1,421 1,464 Communications/Pagers/Mobiles 1,768 1,722 1,547 4,205 4,205 3,483 3,587 3,695 Postage - 38 169 - - 300 309 318 Electricity 2,738 2,215 2,068 2,900 2,900 2,000 2,060 2,122 Water 1,347 2,755 2,054 1,860 1,860 1,600 1,648 1,697 Service Charges & Fees 1,521 4,391 6,043 1,654 1,654 1,736 1,788 1,842 Park Administration 10,000 - - - - - - - Police and EMS Services 5,000 - - - - - - - Software & Support 3,247 1,416 453 - 2,000 1,928 1,986 2,045 Auditing 972 - - 1,000 1,000 1,000 1,000 1,000 Independent Labor - - - 8,000 11,000 10,200 10,506 10,821 Insurance 5,000 - - - - - - - Dues & Memberships - 355 200 1,400 1,400 1,450 1,494 1,538 Schools & Training 55 - 879 950 750 1,280 1,318 1,358 Travel & Per Diem - 219 854 1,077 1,077 1,093 1,126 1,160 Advertising - 3,731 1,514 1,360 2,110 1,440 1,483 1,528 Equipment Maintenance 2,705 730 2,176 2,158 2,158 2,926 3,014 3,104 Professional Outside Services 28 - - 1,000 - - - - Collection Fees - - - 1,300 1,300 1,300 1,339 1,379 Community Events 3,090 3,628 5,587 5,750 5,600 6,500 6,695 6,896 Property Maintenance 18,418 24,204 37,382 7,500 8,500 12,000 12,360 12,731 Printing - - 712 500 - 1,375 1,416 1,459 Consultants - 175 - - - 5,000 5,150 5,305 Prompt Payment Act Interest - 27 - - - - - - Portable Toilets 2,985 4,688 3,590 3,960 3,960 4,158 4,283 4,411 TOTAL PURCHASED SERVICES $ 59,423 $ 50,975 $ 66,226 $ 47,486 $ 52,386 $ 62,149 $ 63,983 $ 65,873 SUPPLIES Fuel 225 265 259 400 400 1,404 1,446 1,490 Uniforms 110 381 456 450 450 845 870 896 Small Tools - 1,962 1,883 750 1,500 1,400 1,442 1,485 Furniture/Equipment < $5000 305 - - - - 1,720 1,772 1,825 Office Supplies 1,337 487 151 250 250 955 984 1,013 Maintenance Supplies 203 355 2,185 300 800 425 438 451 Miscellaneous Expenses 352 383 425 500 300 525 541 557 TOTAL SUPPLIES $ 2,532 $ 3,833 $ 5,359 $ 2,650 $ 3,700 $ 7,274 $ 7,492 $ 7,717 CAPITAL Park Improvement - - 12,623 5,200 5,200 5,200 - - Grant Match - - - - - - - - TOTAL CAPITAL $ - $ - $ 12,623 $ 5,200 $ 5,200 $ 5,200 $ - $ - Total Expenditures $ 100,207 $ 98,935 $ 130,185 $ 112,668 $ 110,193 $ 121,710 $ 119,975 $ 123,545 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 128 DESCRIPTION 2009-10 ACTUAL 2010-11 ACTUAL 2011-12 ACTUAL 2012-13 ADOPTED 2012-13 ESTIMATE 2013-14 PROPOSED 2014-15 PROJECTED 2015-16 PROJECTED OTHER FINANCING SOURCES (USES) Transfers Out - (15,000) - (12,300) (12,300) (8,000) (13,500) (13,500) TOTAL OTHER SOURCES (USES) $ - $ (15,000) $ - $ (12,300) $ (12,300) $ (8,000) $ (13,500) $ (13,500) NET INCREASE (DECREASE) $ (22,613) $ 3,084 $ 8,527 $ 32 $ 5,507 $ 290 $ 425 $ 872 ENDING FUND BALANCE $ (37,726) $ (34,642) $ (26,115) $ (29,068) $ (20,608) $ (20,318) $ (19,893) $ (19,021) Capital Improvement Program TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 130 Capital Improvement Program The Capital Improvement Program (CIP) represents the Town’s plan for development. The Capital Improvement Program is reviewed each year to reflect changing priorities and to provide a framework for identifying capital requirements, the impact of capital projects on operating budgets, scheduling, and coordinating related projects. Capital project funds are created to account for proceeds from the sale of general obligation bonds, certificates of obligation, tax or revenue notes, or operating funds set aside or reserved for such projects to be used for the costs associated with the acquisition or construction of major capital improvements. Budgets are developed by project and may transcend more than one fiscal year. The Capital Improvement Program budget is prepared based on the following criteria: 1. Public safety, health, and life 2. Service demands 3. Legal requirements, liability, and mandate 4. Quality and reliability of current service level 5. Economic growth and development 6. Funding ability 7. Operating budgets The five year Capital Improvement Program shown on the next page illustrates by fund and function the estimated costs for equipment purchases and/or improvement projects. For fiscal year 2013-14, vehicle and equipment purchases have been fully funded within the Capital Projects Fund (refer to the Capital Replacement budget). Additionally, the Town has secured $3,000,000 in funding from Certificates of Obligation for road improvements and storm drainage projects. Additionally, a small portion of improvement costs for Indian Creek Drive will be covered by the remaining $2,000,000 from Denton County TRIP08 Bond funds. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 131 Projects in Progress and Current (Funded) Projects Description Type of Project Funding Sources Spent to Date Remaining Cost Total Cost Indian Creek: Project will reconstruct four lanes of pavement, medians, and storm drainage improvements from Edgemere to Meadowbrook. The project will also construct new sidewalks along Indian Creek. The project also calls for paving and drainage reconstruction improvements along Meadowbrook. Street & Drainage 2013 CO & Denton County Monies $183,321 $1,454,520 $1,637,841 Timber Ridge: The drainage project will upsize storm drainage pipes to accommodate water upstream and alleviate flooding risk. Drainage 2013 CO $34,568 $ 223,432 $ 258,000 Fresh Meadow: The project will upsize storm drainage pipes within the street as well as add additional street inlets to accommodate water upstream. An existing swale will be regarded to carry water into a downstream golf course pond. A new spillway will be constructed to help funnel and control water exiting the pond during heavy rain events. Drainage 2013 CO $18,938 $ 705,062 $ 724,000 Phoenix Drive – Reconstruction of a neighborhood street and any needed storm drainage infrastructure repair or replacement Streets 2013 CO and General Fund Assigned Fund Balance $ - $ 540,000 $ 540,000 Pin Oak Court – Reconstruction of a neighborhood street and any needed storm drainage infrastructure repair or replacement. Streets 2013 CO and General Fund Assigned Fund Balance $ - $ 266,000 $ 266,000 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 132 Projects in Progress and Current (Funded) Projects (cont.) Future (Funded) Projects Description Projected Start Date Funding Source Total Cost Pebble Beach Drive – Reconstruction of street from Indian Creek to North Cul-De-Sac FY 2015 Proposed Bonds $ 527,000 Timber Court – Street reconstruction FY 2015 Proposed Bonds $ 44,000 Indian Creek Drive – Reconstruction of street from Meadowbrook to Green Hill FY 2015 Proposed Bonds $ 443,000 Indian Creek Drive- Reconstruction of street from Greenhill to Harmony Park FY 2015 Proposed Bonds $ 819,000 Municipal & Police Services Facility – New Facilities FY 2015 Proposed Bonds $ 8,000,000 Proposed FY 2015 Total $ 9,833,000 Trophy Club Drive – Street reconstruction southbound from Durango to Bobcat FY 2016 Proposed Bonds $ 1,372,100 Trophy Club Drive – Street reconstruction from Marshall Creek roundabout to Meadow Creek FY 2016 Proposed Bonds $ 402,000 Trophy Club Drive – Street reconstruction from Village Trail to SH 114 FY 2016 Proposed Bonds $ 925,000 Proposed FY 2016 Total $ 2,699,100 Description Type of Project Funding Sources Spent to Date Remaining Cost Total Cost Skyline/Indian Creek (3 Phases) – Skyline/Indian Creek is a natural creek that flows to the north ultimately discharging into Lake Grapevine. There are improvements that need to be made to the creek channel to better accommodate water flows, prevent erosion, and reduce flooding risk. Part 1 will be completed during the 2013-14 Indian Creek Reconstruction project. However, the two remaining pieces will be done in the future due to obtaining drainage easements from every property owner along the creek. Drainage 2013 CO and Storm Drainage Fund Balance $ - $ 498,852 $498,852 Land & Facility Planning Land 2012 Tax Note $ 49,739 $ 428,211 $ 477,950 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 133 Future (Funded) Projects (cont.) Description Projected Start Date Funding Source Total Cost Troon Court Drive – Street reconstruction from Indian Creek to Cul-De-Sac FY 2017 Proposed Bonds $ 615,000 Murfield Court – Street Reconstruction FY 2017 Proposed Bonds $ 300,000 Woodlands Court – Street Reconstruction FY 2017 Proposed Bonds $ 222,000 Portland Drive – Street Reconstruction FY 2017 Proposed Bonds $ 264,000 Proposed FY 2017 Total $ 1,401,000 Wilshire Drive – Street Reconstruction FY 2018 Proposed Bonds $ 575,000 Lee Court – Street Reconstruction FY 2018 Proposed Bonds $ 366,000 Glendale Court – Street Reconstruction FY 2018 Proposed Bonds $ 200,000 Ross Court - Street Reconstruction FY 2018 Proposed Bonds $ 163,000 Llano Drive – Street Reconstruction FY 2018 Proposed Bonds $ 362,000 Municipal Drive – Street Reconstruction FY 2018 Proposed Bonds $ 58,000 T.W. King Parking Area/ Emergency Exit FY 2018 Proposed Bonds $ 93,000 Proposed FY 2018 Total $ 1,817,000 Future Consideration Description Projected Start Date Total Cost Trophy Club Drive Bridge over Marshall Creek FY 2017 $ 4,968,000 Cypress Court - Drainage system Improvements FY 2018 $ 5,507,000 Bobcat Blvd. - Drainage system Improvements FY 2018 $ 1,380,000 Operation and Maintenance Costs Annually, the projected costs of operations and maintenance associated with capital projects anticipated to be completed and coming on line are estimated and included in the respective departments’ operating budget. Any associated tax rate impact and/or estimated user fee analysis is included in each fiscal year’s proposed budget. The Town Council discusses and debates funding options during budget deliberations. Street reconstruction, parking lot reconstruction, and drainage improvements are not anticipated to have additional maintenance expenditures within the five year window. Costs associated with on-going operations are shown in accordance to the cost to contract maintenance services. The Town may choose to utilize Town Staff, which would likely have similar cost - but also with a higher service level. On-going operating costs for facility construction is estimated on the basis of the new facility’s cost of utilities, janitorial services, supplies, and general building and parking lot maintenance less the costs associated with the facility being replaced, if applicable. In the engineering phase of facility development, more accurate assumptions can be formed in regards to these costs. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 134 FY 2014 Capital Purchases Project FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 Total Municipal & Police Service Facility - - - $100,000 $103,000 $106,090 $309,090 T.W. King Parking Area/ Emergency Exit - - - - - $1,000 $1,000 Total - - - $10,000 $103,000 $107,090 $310,090 DEPARTMENT FY14 PURCHASES FUNDING SOURCE GF EXPENDITURES CCPD EXPENDITURES TOTAL CAPITAL Police Tahoe CCPD 44,946 44,946 Animal Control Vehicle GF 17,803 17,803 Animal Control Slide GF 6,952 6,952 Detective Replacement GF 20,389 20,389 EMS Radios GF 34,200 34,200 Toughbook GF 6,000 6,000 Parks Fence Replacement GF 20,000 20,000 Facilities Maintenance Generator GF 10,000 10,000 IT Replacement Schedule GF 44,707 44,707 Total Expense $ 160,051 $ 44,946 $204,997 TOWN OF TROPHY CLUB, TEXAS Annual Program of Services Supplemental Information TOWN OF TROPHY CLUB, TEXAS FACT SHEET Phone: 682-831-4600 – Fax: 817-491-9312 Website: www.trophyclub.org 136 TC MUD 1 The Trophy Club Municipal Utility District No. 1 (TC MUD 1) provides water, wastewater treatment, sewer and fire protection to the Town of Trophy Club and parts of Solana. The TC MUD 1 is a separate governmental entity from the Town and operates under its own Board of Directors and staff. To pay your water bill online or obtain further information about the District, visit Trophy Club Municipal Utility District No. 1 at www.tcmud.org. COMMUNITY Residents ................................. 10,500 Square Miles ............................ 4.2 Number of Households…………3,750 Household Size ........................ 2.8 Average Value…………………..$291,790 LOCATION From DFW Airport .................... 10 miles From Dallas………………………30 miles From Ft. Worth…………………..23 miles QUALITY OF LIFE Texas’ first premiere planned community with a wide range of home prices from the low $100’s to $1,000,000. Country Club features two, 18-hole golf courses including the only course designed by Ben Hogan. Active lifestyle includes over 1,000 acres of parks, Community Pool/Splash Pad, a nature preserve, disc golf course and Grapevine Lake access. TOWN AMENITIES Community Swimming Pool 817-491-0500 Freedom Dog Park 682-831-4603 Harmony Park 682-831-4603 Independence Park 682-831-4603 Trophy Club Park 817-491-9616 COMMUNITY CHURCHES Bara Church 817-500-5848 Church at Trophy Lakes 817-430-8818 Fellowship United Methodist Church 817-430-1500 Lake Cities Church of Christ 817-430-1161 CLUBS AND ASSOCIATIONS Trophy Club Country Club 817-837-1900 Trophy Club Northwest Youth Football Trophy Club/Roanoke Girls Softball Association Trophy Club/Roanoke Soccer Association Trophy Club/Roanoke Youth Baseball Association Trophy Club/Roanoke Youth Basketball Trophy Club Women’s Club WE’RE THIS CLOSE .... American Airlines Center 40 minutes Bass Performance Hall 35 minutes Casa Manana 30 minutes Cowboy Stadium 30 minutes Dallas Museum of Art 32 minutes Dallas Zoo 31 minutes Ft. Worth Botanical Gardens 30 minutes Ft. Worth Zoo 35 minutes Hurricane Harbor 26 minutes Kimball Art Museum 30 minutes Morton H. Meyerson Symphony 35 minutes NRH2O Water Park 33 minutes Rangers Ballpark in Arlington 30 minutes Six Flags Over Texas 27 minutes Texas Motor Speedway 10 minutes TOWN FINANCIAL STATUS Standard and Poor’s - AA Moody’s Investors Service – Aa3 TOWN ISO RATING Class 3 - Effective November 1, 2008 TAX RATES (Per $100 Valuation) Denton County ........................................................ $0.282867 MUD No. 1 .............................................................. $0.133390 Northwest ISD ......................................................... $1.37500 PID No. 1 (Emergency Services) (Denton County) . $0.10925 Tarrant County ........................................................ $0.26400 Tarrant County College District ............................... $0.14897 Tarrant County Hospital District .............................. $0.227897 Town ...................................................................... $0.4993 TAXES – COMBINED (Per $100 Valuation) MUD No. 1 (Tarrant County) .................................. $2.67 MUD No. 1 (Denton County) .................................. $2.31 PID No. 1 (Emergency Services) (Denton County). $2.29 STATE SALES TAX – 8.25% (6.25% State, 0.25% CCPD, 0.50% EDC 4B, 0.25% Street Maintenance and 1.00% Town) PUBLIC IMPROVEMENT DISTRICT (PID) ASSESSMENTS For specific PID information, please visit www.trophyclub.org/pid UTILITIES Water and Sewer ......................... Trophy Club MUD 1 Gas/Electricity .............................. www.powertochoose.org Telephone .................................... AT&T Cable ............................................ Charter Communications NORTHWEST ISD Public Information:........................ 817-215-0000 nisd@nisdtx.org Lakeview Elementary ……………..817-215-0750 Samuel Beck Elementary ............. 817-215-0450 Medlin Middle School ................... 817-215-0500 Byron Nelson High School ........... 817-698-5600 Northwest High School ................. 817-215-0200 Steele Accelerated High School ... 817-698-5800 TOWN COUNCIL Mayor Connie White Council Members: Jeannette Tiffany, Mayor Pro Tem Bill Rose Clint Schroeder Danny Mayer Greg Lamont Philip Shoffner DEPARTMENTS Town Manager Mike Slye Assistant Town Manager Stephen Seidel Town Secretary Tammy Ard Community Development Director Carolyn Huggins Finance Director Steven Glickman Fire Chief Danny Thomas Information Systems Director Mike Pastor Parks & Recreation Director Adam Adams PIO/Marketing Manager April Reiling Police Chief Scott Kniffen Streets Director Ed Helton Facebook & Twitter @TrophyClubGov TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 137 PROFILE OF TROPHY CLUB, TEXAS The Town of Trophy Club, Texas incorporated in 1985 as Texas’ first premiere planned community and is located in the North Central portion of Texas. This area of the state has proven to be one of the top growth areas in Texas and the United States. The Town currently occupies a land area of just over 4 square miles and serves a growing population of approximately 8,024. The Town is empowered to levy a property tax on real property located within its boundaries. Trophy Club is also empowered, by state statute, to extend its corporate limits by annexation, which has occurred periodically when deemed appropriate by the governing council of the Town. Trophy Club has operated as a Home Rule municipality utilizing Council-Manager since 2004. Policy-making and legislative authority are vested in the Town Council consisting of the Mayor and five other members. The Town Council is responsible for, among other things, passing ordinances, adopting the budget, appointing boards and committees, and hiring the Town Manager, Town Attorney and Town Secretary. The Town Council is elected on a non- partisan basis. The Town Council consists of seven (7) members, a Mayor and six (6) council members elected by the Town at-large-by-place for a term of three (3) years or until their successors have been elected and take office. Each Councilmember shall be elected to and occupy a place on the Council, such Places being numbered (e.g., Place 1, Place 2, Place 3, etc.). The Mayor and five (5) Council members shall be elected and serve in the following manner: The Mayor shall have a three-year term beginning with the May 2011 election. Council members elected at the May 2009 election shall draw lots to determine Places 1 and 2. Places 1 and 2 shall receive a two-year term at the May 2009 election; thereafter, Places 1 and 2 shall have three year terms. The Town Manager is responsible for carrying out the policies and ordinances of the Town Council, overseeing the day-to-day operations of the government and for appointing the heads of the various Town departments. The Town of Trophy Club provides a full range of municipal services including general government, public safety (police and EMS), streets, parks and recreation, planning and zoning, code enforcement, and drainage utilities. Water/wastewater and Fire protection are provided through the Municipal Utility District. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 138 Trophy Club’s location is ideal for both businesses and residents, many of whom commute to Dallas, Denton, Las Colinas, and Fort Worth. Trophy Club maintains a small-town feel while having the advantages of nearby metro areas and offers an outstanding quality of life, with great educational and recreational amenities. Two 18-hole premier golf courses are available, including the only course designed by Ben Hogan. The region possesses a varied manufacturing and industrial base that has added to the relative stability of the unemployment rate with approximately half of the local workforce employed in management, professional, and related occupations. Figures from the Texas Workforce Commission indicate a state unemployment rate of 8.5 percent while the national unemployment rate is 9.1%. Trophy Club is positioned for a bright future with new families and businesses joining existing residents and companies and building on the Town’s foundation of pleasant residential neighborhoods, excellent educational institutions, and numerous recreational activities to truly establish itself as a “a great place to call home.” TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 139 SECTION 1.0: POLICIES 1.01 Purpose The purpose of the Town’s Procurement Policy is to provide the parameters for the expenditure of funds in the procurement of goods and services for the Town of Trophy Club. The policies and procedures outlined herein are intended to comply with the Town of Trophy Club’s Mission and legally mandated federal and state statutes. 1.02 Policy Regardless of the value of the expenditure it is the policy of the Town of Trophy Club to promote competition that produces the highest quality goods and services at the lowest possible price whether or not the item is subject to bid. The Town Manager in coordination with the Town Council is charged with establishing the policies for the procurement of all goods and services. The Finance Department: • Develops purchasing objectives, programs, and procedures for the acquisition of materials, equipment, supplies, and services; • Helps department managers provide open and fair competition to vendors; and • Helps departments prepare and obtain approval of purchase orders, price agreements, and contracts; The City Secretary’s Office/Department Managers or designee: • Receives, and monitors formal bids for purchases. The Department Managers: • Develops and maintains technical and non-technical commodity specifications; • Ensures funding is available for procurement in department budgets. • Provides open and fair competition to vendors; • Prepares requisitions; • Obtains approval of purchase orders, price agreements, and contracts; TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 140 • Prepares requests for proposals (RFPs) , requests for qualifications (RFQs) and requests for bids (RFBs); and • Monitors and evaluates the performance of vendors including but not limited to, compliance with contract specifications. 1.02 Free and Open Competition All procurement transactions, regardless of dollar value, whether advertised or negotiated, shall be conducted in a manner so as to provide maximum free and open competition. The Town Manager or Town Council should be alert to organizational conflicts of interest or noncompetitive practices among contractors that may restrict or eliminate competition or otherwise restrain trade. In order to ensure objective contractor performance and eliminate unfair competitive advantage, contractors who develop or draft specifications and other requirements for solicitation instruments (Requests for Bids or Proposals) shall be excluded from competing for such procurement. 1.03 Compliance In order to have an efficient purchasing function, all departments must work in close cooperation with the Finance Department. Departments can ensure compliance with the Town’s policies and procedures by: • Informing departmental personnel of the purchasing requirements and ensuring adherence; • Planning purchases in advance in order to allow sufficient time to advertise, when necessary, obtain proposals, quotations, or bids, determine best source, and issue purchase orders with reasonable lead-time for delivery and thus prevent emergencies; • Providing accurate and concise specifications for items requested and timely preparing requisitions; • Inspecting or supervising the inspection of commodities, services and equipment delivered; and determining acceptability of their quality, quantity, and conformity with specifications; and • Providing complete written documentation of a vendor's performance to be used in future bid award evaluations. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 141 SECTION 2.0: CODE OF ETHICS Officers and employees of The Town of Trophy Club are public servants, who will carry out their activities in a fair and legal manner avoiding actual or perceived conflicts of interest. All officers and staff members are expected to conduct the activities of the Town in full compliance with the law and in an honest, fair, and courteous manner. Officers and staff members must neither ask nor expect contractors, vendors or others with whom the Town does business to favor the Town, the officer or the individual staff member with special treatment. Officers and staff members should not permit personal preferences and dislikes to affect decisions related to their duties. To do so acts against the Town’s policy which is to treat all individuals, members, potential members, contractors, and others fairly and equitably. Conversely, officers and staff members are expected to use their best professional judgment and expertise when evaluating potential vendors and contracts for purchasing goods and services. This section does not preclude officers and staff from considering past purchasing experience with a specific vendor when making a future purchasing decision or recommendation to Town Council. Third party references and vendor experience may be considered by the Town when evaluating and awarding contracts for purchases. SECTION 3.0: CONFLICT OF INTEREST 3.01 Contracts Specifically, with reference to contracts, no employee or officer of the Town who exercises any functions or responsibilities in the review or approval of an undertaking or the carrying out of one of Town’s contracts shall participate in any decision relating to that contract if the decision affects his or her personal financial interest, such officer or employee has a substantial interest as defined by state law, or participation by such officer or employee is otherwise prohibited by state law or Town policy. If a former staff member or Town officer has worked less than one year for a business seeking to contract with the Town, the business entity must make this known and must describe the relationship between the former employee/officer and the firm. In no instance may this former employee/officer have hours billed on any project or program. To do so is reason for not awarding a contract. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 142 3.02 Declaration of Conflict of Interest In the event of a conflict of interest as defined by state law, the affected officer or employee must file a signed affidavit declaring his or her conflict of interest. The affidavit must be filed with the Town Secretary. Such official, officer or employee must abstain from discussion of or voting on a bid, proposal or contract submitted by a business entity in which he/she has a substantial interest. More specifically, in addition to the requirement to complete an affidavit, when an item is placed before a Board, Commission, Committee, or Town Council for review, any and all members of those bodies who has a conflict of interest shall announce that he/she has such conflict and shall leave the room until the body has discussed and taken action on the item for which the member has a conflict. Moreover, it is the policy of the Town that an employee who has a substantial interest in a business entity as defined by state law, shall follow the procedure outlined in this section by completing an affidavit and leaving the room where a discussion and/or vote is taking place regarding the business entity in which the employee has an interest. Further it is the obligation of officials, officers and employees to avoid apparent conflicts of interest by abstaining and following the procedures specified in this section. Officials, officers and employees shall abstain from participating in the procurement process, which includes but is not limited to discussions, lobbying, rating, scoring, recommending, providing current copies of contracts outside of Public Information Act process, explaining or assisting in the design or approval of the procurement process on contract with the organization he or she represents or from which he or she receives a direct financial benefit; or on contracts with organizations in which a family member will realize a direct benefit. 3.03 Violations and Remedies Violations of the provisions of this Article constitute misconduct, subjecting the violator to any and all penalties prescribed by law. Penalties, sanctions or other disciplinary actions, to the extent permitted by state or local law, rules or regulations, shall be imposed for violations of the code of conduct/conflict of interest standards, by the Town’s officers, employees or agents or by persons, contractors or their agents, when the procurement involves state or federal programs and/or funds. Appropriate sanctions, penalties or disciplinary actions shall be applied for violation(s) of these policies and/or state law. Violations of state or federal law shall be referred to the proper authority having jurisdiction over it. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 143 3.04 Substantial Interest. A person has a substantial interest in a business entity if: (1) the person owns 10 percent or more of the voting stock or shares of the business entity or owns either 10 percent or more or $15,000 or more of the fair market value of the business entity; or (2) funds received by the person from the business entity exceed 10 percent of the person’s gross income for the previous year. Additionally, a local public official is considered to have a substantial interest if a person related to the official in the first degree by blood or marriage, as defined by Chapter 573 of the Texas Government Code, has a substantial interest as defined herein. SECTION 4.0: LEGAL CONSIDERATIONS 4.01 Procurements Exempt from State Law Competitive Bid Requirements Purchases made by the Town shall be in accordance with State law. Except as specifically exempted by state law or by the terms of this Procurement Polices and Procedures Manual, including but not limited to Sections Four, Five and Seven, written, competitive bids must be taken for all procurements over $25,000. Procurements exempt from the competitive bid requirement are as follows: • Those made in case of public calamity, where it is necessary to act immediately to appropriate money to relieve the necessity of the Town’s residents or to protect or to preserve Town property and for which Town Council has approved a Resolution ratifying the expenditure as an exception to the competitive bid requirement. Public calamity shall mean a grave event or occurrence that causes great loss or distress for the residents of the Town, including but not limited to natural disasters, acts of war, acts of terrorism, and other events as authorized by law or as determined by the Town Council to constitute a public calamity after consideration of the existing facts and circumstances. Purchases made pursuant to this exception shall be in accordance with the Emergency Management Procedures in effect at the time of the purchase. • Those made necessary by unforeseen damage to Town property, machinery or equipment for which Town Council has approved a Resolution ratifying the expenditure as an exception to the competitive bid requirement. Such resolution shall explain the nature of the damage, the cause of the damage, and the urgent need that supports the use of an exception to competitive bid. Unforeseen damage shall mean unexpected damage caused by some natural force or act of vandalism or other criminal or negligent act or omission. Purchases made pursuant to this exception shall be in accordance with the Emergency Management Procedures in effect at the time of the purchase; TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 144 A procurement necessary to preserve or to protect the public health or safety of the Town’s residents for which Town Council has approved a Resolution ratifying the expenditure as an exception to the competitive bid requirement. Purchases made pursuant to this exception shall be in accordance with the Emergency Management Procedures in effect at the time of the purchase; • Those for personal, professional, or planning services as budgeted are exempt from competitive bid; however, the procurement of those types of services shall be done in accordance with state law requirements and the RFQ/RFP process as specified in the Town’s Procurement Policies and Procedures manual, including but not limited to Section 5.07 of that manual; • Those for work performed and paid for by the day as work progresses as budgeted by the Town Council; • A purchase of land or right-of-way for which Town Council has approved a Resolution authorizing the expenditure as an exception to the competitive bid requirement; • Items that are available from only one source and for which Town Council has approved a Resolution authorizing the expenditure as an exception to the competitive bid requirement; • A purchase of rare books, appears, and other library materials for a public library and for which Town Council has approved a Resolution authorizing the expenditure as an exception to the competitive bid requirement; • Paving, drainage, street widening, and other public improvements, or related matters, if at least one-third of the cost is to be paid by or through special assessments levied on property that will benefit from the improvements; • A public improvement project, already in progress, authorized by the voters of the municipality, for which there is a deficiency of funds for completing the project in accordance with the plans and purposes authorized by the voters and for which Town Council has approved a Resolution authorizing the expenditure as an exception to the competitive bid requirement; A payment under a contract by which a developer participates in the construction of a public improvement as provided by Chapter 212 of the Texas Local Government Code and for which Town Council has approved a Resolution authorizing the expenditure as an exception to the competitive bid requirement; TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 145 • Personal property sold: o At an auction by a state licensed auctioneer provided that such purchase has been approved as a part of the budget or that the Town Council has approved a Resolution authorizing the expenditure as an exception to the competitive bid requirement; o At a going out of business sale held in compliance with Chapter 17, Texas Business and Commerce Code provided that such purchase has been approved as a part of the budget or that the Town Council has approved a Resolution authorizing the expenditure as an exception to the competitive bid requirement o By a political subdivision of the state of Texas, a state agency of the State of Texas, or an entity of the federal government pursuant to an interlocal agreement approved by Town Council; or o Under an interlocal contract for cooperative purchasing administered by a regional planning commission established under Chapter 391 of the Texas Local Government Code provided that such purchase has been approved as a part of the budget and that Town Council has approved the interlocal contract for cooperative purchasing; • Services performed by blind or severely disabled persons; Goods purchased by a municipality for subsequent retail by the municipality and for which Town Council has approved a Resolution authorizing the expenditure as an exception to the competitive bid requirement; • Electricity; or • Purchases made pursuant to an approved cooperative purchasing program or those from an approved state program provided that Town Council has approved participation in the cooperative purchasing or approved state program. Contracts shall be awarded in a manner consistent with the provisions of Town policy statements and state law. 4.02 Conflict of Interest An employee of the Town may not solicit bid quotations from relatives of the employee or relatives of another Town employee on products to be purchased by The Town. 4.03 Public Access to Procurement Information Procurement information shall be a public record to the extent provided by the Texas Open Records Act and the Freedom of Information Act and shall be TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 146 available to the public as provided therein. If a proposal contains information that the bidder considers proprietary and does not want disclosed to the public or used for any purpose other than the evaluation of the offer, all such information must be clearly marked as proprietary and confidential by making such notation on each page or portion thereof containing propriety and confidential information. The Town reserves the right to duplicate, use or disclose the information as needed to prepare contract documents and working documents for the project and is not liable for accidental disclosure of such information. 4.04 Confidentiality of Bidders Quotations A vendor’s bid/proposal is confidential until opened. Therefore, no bid or proposal shall be opened before the date and time of the published opening of such bid/proposal. Opening bids/proposals prior to the publication date and time is a violation of state law and Town policy. SECTION 5.0: METHODS OF PROCUREMENT 5.01 General The Town has four methods for procuring goods and services each of which is determined by the total estimated cost of the purchase. However, regardless of the cost of the purchase, the objective is to secure the highest quality goods and services at the lowest possible price. No purchase may be split to circumvent the dollar amount requirements. With the exception of Petty Cash and procurement card purchases, the procurement process begins with the preparation and approval of a Purchase Order (see Section 6.0). All purchases except those made through Petty Cash, Procurement Card, or those listed under the exemptions in Section 6.1 must be made through an approved Purchase Order or Contract. Purchase Orders will not be issued “after-the-fact”. 5.02 Petty Cash Purchases - Cost up to $100 All Town departments and employees have access to the use of petty cash funds for individual item purchases with dollar values not in excess of $100. The petty cash fund is to be used for small purchases that the employee can pick up at a local facility if a purchasing card is not accepted or if the employee has not been given a purchase card. Town employees are not to misuse petty cash funds by splitting a purchase into more than one transaction in order not to exceed the $100 limit. A petty cash slip must be completed and signed by the requesting employee and authorized by the employee’s manager. Receipts for each transaction must accompany the petty cash slip. Neither a purchase requisition nor competitive bids are required when using petty cash. 5.03 Procurement Card Purchases –Travel Expenses TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 147 • Personal travel expenses (expenses made in support or for the benefit of anyone other than the employee/official or expenses made in support or for the benefit of the employee which are not attributable to Town business) may not be charged to a procurement card issued by the Trophy Club Entities. All travel and related expenses incurred must be documented and submitted to the Town along with a completed Travel Expense Form that includes all receipts and supporting documents in accordance with IRS codes and regulations. A copy of the Travel Expense Form is attached as Exhibit “A” to this Procurement Policies and Procedures Manual. • If the training or seminar was not approved through the budget process, written permission must be obtained from the Department Manager or Town Manager prior to travel. There must be money in the budget to cover the travel unless the Town Manager or designee makes the exception. • Transportation – Attach a copy of the airline ticket showing flight times to the appropriate purchasing card transaction sheet received from the Procurement Card Administrator. If the mileage to drive your personal car is more than the cost of the airline ticket plus ground transportation (i.e. taxi or shuttle service) plus airport parking costs, the employee reimburses the difference. Attach a copy of taxi or shuttle service receipts if applicable to the purchasing card transaction sheet if they take a purchasing card. If you drive your personal car and claim mileage, you cannot charge your gasoline on your purchasing card. If you drive a Town of Trophy Club vehicle or if you receive a car allowance, you can charge your gasoline for out-of-town trips. • Lodging – A copy of the invoice showing all expenses should be attached to the purchasing card transaction sheet received from the Procurement Card Administrator. In-room movies or pay television, phone calls, golf, sporting events, dry cleaning or laundry, and valet parking are not reimbursable expenses. For Texas destinations, you need to present a copy of the Texas Sales and Use Tax Exemption Certification. State taxes should not be paid but city taxes may or may not be exempt depending on local resolutions. • Meals – receipts should be attached to the purchasing card transaction sheet received from the Procurement Card Administrator. You actually need two receipts. One would include the breakdown of items bought. The other would be the receipt that shows the actual amount charged that includes a reasonable tip of not more than 15%. No alcoholic beverages may be charged. The total for the day depends on the time you leave and the time you come back. Generally, you must be traveling by 7:00 a.m. to receive breakfast and stay after 7:00 p.m. to receive the evening meal. The most per day is $30 if you are traveling or at a conference the full day. If there is a TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 148 partial day of travel, you will need to keep the daily total to $10 per meal. If your conference includes a meal, you should consider the meal to be $10 of your daily amount. • Registration – if you do an on-line registration, be sure to screen print details that show how much the conference costs, dates of the conference, and name of the conference. If you fax the registration information, keep a copy of the same details. Attach the copy to the purchasing card transaction sheet. • Any unauthorized expenses are the responsibility of the cardholder and must be reimbursed to the Town of Trophy Club. • The Town Manager or designee must approve any exceptions to the above. 5.04 Procurement Card Purchases The intent of the procurement card is to provide a controlled, but less labor- intensive alternative to the existing procedures for purchasing and paying for items up to the pre-determined credit limits. The Department Managers shall determine employees within each Department who are to be issued a procurement card and the transaction value limit to be assigned to each individual’s card. The Town Manager or designee shall approve all limits. Cards are issued in the name of the designated Town employee and the Trophy Club Entities. The card remains the property of the Trophy Club Entities. Each potential cardholder shall attend a training session and sign a procurement card policy that documents the cardholder’s responsibilities prior to being issued a card. The Procurement Card is to be used to make purchases for operations included in the Town’s approved budget. Violations of these requirements may result in revocation of use privileges and/or disciplinary action, up to and including termination of employment. Employees who have inappropriately used the Procurement Card will be required to reimburse the Town for all costs associated with the improper use. Department Managers shall report any violations of this policy or abuse of a procurement card to the Town Manager or designee. Department Managers who fail to properly report such violation or abuse shall be subject to disciplinary action, up to and including termination of employment. Each employee who has been issued a card shall ensure that a receipt that indicates the place, date and nature of the purchase is obtained each time the card is used. The receipts will be attached to the procurement card transaction sheet, which will be signed, dated, and turned in to each applicable Department Manager who will review each purchase for appropriateness. The Department Manager shall sign the purchasing card transaction sheet as an indication that all TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 149 transactions have been reviewed and approved and forward to the Procurement Card Administrator within the specified time limit of no more than three days. The Procurement Card Administrator will reconcile the individual Department packets with the monthly statement received from the issuing Bank. Should any charges not be supported by receipts, the Procurement Card Administrator will notify the applicable Department Manager who shall obtain a receipt or other proper documentation evidencing the nature and amount of the purchase. In the event that a receipt is lost or an employee fails to obtain a receipt, a lost receipt form shall be completed and attached to the procurement card transaction sheet. Such form shall contain an explanation of the reason that the receipt was not obtained or was lost and any and all steps taken to obtain a duplicate copy of the receipt. The lost receipt form shall be signed by the Manager or Director of the Employee’s Department. An employees procurement card privileges may be revoked for failure to provide a receipt or otherwise comply with the Town Purchasing Policies and Procedures Manual. Use of a procurement card for a purchase in excess of $2,500 shall require the review and approval of the Town Manager or designee. If a purchase order is issued, attach the original purchase order with the appropriate signatures to the procurement card transaction sheet so that Finance can close the purchase order for financial reporting. The Procurement Card Administrator is responsible for compliance with the issuing bank’s Procurement Card guidelines and notifying the Town Manager or designee of any problems. Additionally, each Department Manager shall be responsible for taking appropriate remedial action to correct noncompliance with the Town’s policies and procedures governing procurement cards by his or her respective employees. 5.05 Purchases over $3,000 but less than $25,000. If the cost of the item(s) exceed $3,000 but is less than $25,000, departments are required to secure at least three (3) documented quotes on the item(s). In keeping with State Law, at least two (2) of the quotes must be from Historically Underutilized Business (HUBs) located in Denton County. If a purchase falls within the foregoing cost parameters and if a firm classified as a HUB handles that type of product, such HUB must be contacted on a rotating basis, but a department must attempt to contact at least two HUB's on each order. Once all bids have been received and evaluated, the Department Manager or his or her designee will place the purchase to the lowest responsible bidder. In the event that a Department Manager or his or her designee desires to award a bid to a bidder other than the low bidder, such employee provide a detailed TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 150 explanation in writing specifying why the lowest bidder was not accepted. Such written explanation shall be attached to the bid sheet. 5.06 Competitive Sealed Bids - Cost over $25,000 The Town Council must approve all non-budgeted or unanticipated purchases with values in excess of $25,000 prior to the purchase. Once a resolution has been passed or approval has been granted, the purchase must be made through the use of competitive sealed bids (see Section 7.0) or some other purchasing method as authorized by this policy. Invitations for sealed bids shall include specific instructions to the vendors concerning bid submission requirements including the time, date and place for receipt of bids by the Town. Competitive sealed bids are to be advertised in local newspapers of general circulation under the legal notices section. The bid must be advertised at least 14 days prior to the date of the bid opening. The advertisement is to give adequate instruction as to the nature of the bid, date and time of bid opening, and bidders conference, if applicable. Exceptions to Competitive Sealed Bidding Competitive sealed bidding is not necessary if one of the exceptions in Section 4.0 of these policies is applicable. 5.07 Professional Consulting Services Contracts –RFQ/RFP Process. a. RFQ/RFP Process. Professional consulting services means those within the scope of the practices of accounting, architecture, land surveying, professional engineering, and other areas as defined by the laws of the State of Texas. Such services to the Town are to be provided pursuant to a third party independent contractor agreement for a specified time period. Competitive bidding shall not be used to select the professionals/consultants contracted by the Town. Compensation will be negotiated before the contract is signed and after the consultant has been selected on the basis of his or her demonstrated competence and qualifications to perform the services for a fair and reasonable price. When professional consulting services are needed, the Department requesting the services will prepare a Request for Qualifications setting forth a description of the scope of services needed, the minimum desired qualifications, credentials and experience, and the relative importance of each, and will forward that information to the Town Manager. The RFQ shall be advertised and may also be sent out to qualified vendors whom Town staff recommends. The Town Manager will assemble a team (Selection Team) of appropriate staff that will evaluate the responses submitted by those firms whose qualifications meet the requirements set forth in the Request for Qualifications. Requests for Proposals TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 151 shall be solicited and processed in accordance with the requirements set forth in Section 5.07(b) hereof. b. RFP Process. A Request for Proposal (RFP) will be sent to each consultant identified by the Selection Team in accordance with the RFQ process set forth in Section 5.07(a) above. However, if the two-step RFQ/RFP Process is not utilized and the single step RFP process is utilized, then the RFP must be advertised and must require that proposals contain information identifying qualifications, credentials, and experience of those vendors submitting a response. The RFP shall also list the services desired and a deadline for return of the RFP. The request shall require the responding professionals/consultants to provide a schedule for completion of the scope of services, where applicable. Copies of the proposal(s) shall be submitted to the Town Secretary who shall process the responses in accordance with Section 7.0 and who will forward to the members of the Selection Team. Interviews shall be scheduled with the highest ranked firms. The Selection Team will ask each finalist to make a presentation of experience and then may question the firms as to capability and methods of approach for furnishing the required services. Professional compensation is not considered in these discussions. The qualified firm(s) shall be ranked from most qualified to least qualified. The Selection Team shall begin negotiations with the most qualified to develop a contract. The Town contract shall include all relevant terms and conditions, including but not limited to, compensation, time required and full scope of work to be performed. If an agreement satisfactory to both the Town and a firm cannot be reached, negotiations will be terminated with that firm and the process started over with the second choice candidate and so on. As soon as an agreement is reached, the Selection Team shall make its recommendation to the Town Council. c. Frequency. The RFQ/RFP process for professional services may be utilized bi- annually. 5.08 Annual Contracts For goods or services that are used repetitively throughout the Town such as office supplies, paper goods, mailing services, or stationery, the Town may enter into an annual contract with a supplier. The purpose of entering into an annual contract is to eliminate the need to obtain competitive pricing each time repetitively used items are requested. The Town will obtain competitive sealed bids requiring that bid prices remain in effect for a specified period. The Town will enter into agreement, upon approval of the Town Council (if the contract price exceeds $25,000), with the approved bidder by signing a contract stating the terms and conditions. Once the contract period nears the end of the term, TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 152 the Finance Department will re-advertise the bid request for the following year giving fair opportunity for vendors to respond. 5.09 Sole Source Purchases When a department identifies a potential sole source purchase, a detailed justification explaining why a sole source purchase is necessary must be provided to the Town Manager or designee in advance for review and concurrence. Upon review and concurrence of the Town Manager or designee, a Resolution outlining the basis for the sole source purchase shall be submitted for Town Council approval. Except as specifically provided otherwise in these policies, a sole source purchase may only be made pursuant to an approved Town Council Resolution. 5.10 State Contract Purchasing The Town has the option of purchasing items on contract through the Houston- Galveston Area Council Cooperative Purchasing program and the State of Texas central purchasing agency. Participation in these programs is strictly voluntary and the Town is not obligated to purchase through either. According to Section 271.081 - 271.083 of the Texas Local Government Code, The Town is not required to obtain competitive bids for items that are on state or local government contract. Because the State of Texas central purchasing agency purchases in large quantities through a state cooperative purchasing program, prices are generally lower than retail. One must keep in mind when purchasing items under state contract that there are no alterations or modifications to the specifications that are listed with the cooperative purchasing programs. Alternative Project Delivery Methods for Certain Projects Alternative project delivery methods, include but are not limited to, construction manager at risk, construction manager agent and design build contracts. Any of the alternative project delivery methods specified in Subchapter H of Chapter 271 of the Texas Local Government Code, as amended, may be utilized provided that the purchase and the procedures utilized in making that purchase comply with all requirements specified therein. 5.12 Payment Corrections In the event that an error has been detected in the general ledger, an employee shall complete a Journal Entry Correction Form. This form must be authorized by the Department Head and then to submitted to the Finance Department with all appropriate documentation. Furthermore, With all corrections made via a journal entry requires approval by the Finance Director. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 153 SECTION 6.0: THE REQUISITION PROCESS 6.01 Procedure for Non-Emergency Purchases When the need arises for a single purchase of goods and/or services with an estimated value in excess of $10,000, the user Department shall originate an on- line purchase order. The purchase order must be prepared far enough in advance of the date that the goods or services are needed to allow all procurement procedures to properly function, including: • Securing appropriate approval of the purchase • Advertising for bids, if necessary • Obtaining bids or price quotations • Evaluating bids • Preparing the contract • Allowing delivery of goods or services in a timely manner Each Department is responsible for ensuring that duplicate purchases are not made. Once a purchase order is received, the Department Manager must: • Check the purchase order for completeness, including quantity and concise specifications; • If specified as a sole source, ensure the reason for the sole source is documented and appropriate; • Verify the budget authority. Check budget line item authority and budget balance for sufficient unencumbered amount to cover the purchase. Once the vendor selection process has been completed, the Department Manager will bring the requisition to Finance who will prepare the purchase order. The Department Manager will then secure the appropriate approval of the purchase order or contract. The Town is not liable for making payment to vendors for purchases that have not had prior approval of the Department Manager and have not been issued a purchase order number. The Department needs to attach the approved Purchase Order to the invoice received and forward to Finance for payment. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 154 6.02 Procedure for Emergency Purchases The designation of emergency purchase indicates a situation of such urgency that normal purchasing procedures must be modified in the interest of time, and therefore no competitive bids are required. The Town is allowed to make emergency or exempted purchases without competitive bidding as defined in Texas statutes. An approved Town Council Resolution is required for all emergency purchases; provided however, that if due to exigent circumstances, the purchase must be made and time does not allow the posting and holding of a Council meeting, the Town Manager or designee, may authorize the expenditure by providing written permission to make the emergency purchase in accordance with the Emergency Management Procedures in effect at the time of the purchase; provided however, that the Town Manager or designee shall prepare and submit , a ratifying Resolution to Council at the first available Council meeting after the purchase is made where the item may be properly posted as required by law. A purchase is not considered to be an emergency if the expenditure becomes necessary due to poor planning. All emergency purchases are processed as follows: • The applicable Department Manager will be notified immediately with as much information as possible about the emergency purchase required. • The Department Manager contacts as many vendors as necessary to arrange the emergency purchase. The purchase is completed by telephone by issuing a verbal purchase order number to the vendor and requesting expedited delivery. The purchase order is either mailed or faxed to the vendor at a later date. • Staff making the request may be required to pick-up the emergency purchase from the vendor, if applicable, if expedited delivery from the vendor is not available. • Council approval or ratification must be obtained for all such emergency purchases exceeding $25,000.00. SECTION 7.0: PURCHASING PROCESSES 7.01 Policy Competitive written or telephone bids are to be sought for all purchases over $3,000 (see Section 5.05). All practical means to obtain the best price available should also be used when making emergency purchases. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 155 Competitive sealed bids are required for those bids exceeding $25,000 (see Section 5.06). The bid consists of the items offered by the vendor in response to the specifications, along with details governing the offer. The Town bidding procedures contain the following general requirements: • A short summary of the Request For Bid (RFB) or Request for Proposal (RFP) shall be published in local newspapers of general. The advertisement is to be published under the Legal Notices section of the newspaper. This should be coordinated through the City Secretary’s Office. • Bids are received until the date and hour set out in the specifications. The Town Secretary or designee will mark bids with the date and time at which they are received. Once a bid is submitted, the bidder cannot alter or correct a bid. A vendor who wishes to withdraw a previously submitted bid and/or submit an alternate bid may only do so prior to the bid opening. Under no circumstances will bids be accepted after the specified date and time. • The bids are to be opened at the date and hour specified in the bid and notice documents, and submitted to the requesting department for review. Generally, the lowest and best responsible bid is accepted. Occasionally, a bid may be split between vendors to obtain optimum pricing. If no bid is found to be acceptable, the entire bidding process must be repeated. Sealed bids are opened publicly in the presence of at least three (3) Town employees. The Town Secretary or designee will coordinate the opening of the bids. • Bids are to be kept confidential from competitors until after the bid has been opened. Once the bid is opened, the bid becomes open record in accordance with the Texas Open Records Act. • Sealed bids must be submitted to the Town of Trophy Club by mail or hand delivered to Town offices. Envelopes must be clearly marked that a sealed bid is enclosed. Faxed or late bids will not be considered for award. They should be addressed to the Town Secretary. • The Town of Trophy Club reserves the right to reject any and all bids submitted and to waive any and all irregularities. It is the consistent policy of the Town to use competitive principles in awarding all public contracts of any amount with only limited exceptions as allowed by law. This includes the purchase and lease of goods, the purchase of services, TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 156 and construction projects. These competitive principles apply to all departments of the Town of Trophy Club. 7.02 Requests for Bids (RFB) or Requests for Proposals (RFP) RFBs and RFPs are used to notify vendors that the Town has specific requirements for goods and/or services and that vendors are being offered an opportunity to fulfill those requirements. The bid system is to be kept simple and practical, and the bids must be advertised as widely as possible in order for competition to work. Complicated bid invitations or requests for proposals discourage competition and drive up prices. 7.03 Bid Packet A bid packet contains documents needed by the vendor to respond to the requirements of the RFB/RFP. It may include several elements: Request for Bid (RFB) or Request for Proposal (RFP): This is the cover form for the bid/proposal package. It provides specific information that the bidder will need to respond. As applicable, it should include: • Quantity and brief description of goods or services to be provided • Request for unit cost, extended cost, and total cost of items bid • Estimated delivery time if vendor is awarded the bid • Closing date and time for receiving bids or proposals. • Place where bids or proposals are to be sent, including the address and office • Person to contact for additional information • Instructions to bidders (see example in Appendix F) • For RFPs only: Factors to be used in the evaluation process, the weights attached to each factor. Evaluation factors may include price, experience of vendor’s staff, ability to respond in a timely way, past recommendations, safety record in accordance with a duly adopted Town vendor safety record policy, and financial soundness, as well as any others considered necessary. Other evaluation factors will depend on the individual requirements attached with the procurement. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 157 Standard Terms and Conditions: All conditions of doing business with the Town will remain constant for all contracts and purchases, unless specifically deleted. They are usually presented as an attachment to the RFP. Special Provisions: Terms and conditions required for a particular contract or purchase. Specification: The description of the purchase requirements. In place of enclosing the actual specification, information about where the specification may be obtained may be substituted. Pricing: The offer and acceptance page. The vendor quotes prices in accordance with the specification requirements. Prices are usually provided by unit and include the total cost for the estimated amount required. A list of attendees and minutes of the bidders conference by the City Secretary or staff must be kept as part of the procurement file. 7.04 Competitive Proposals Competitive proposals can only be used for procurements of high-technology products or services as allowed by law. The specification shall be written using performance standards rather than the description of the good or service. The specification must also specify the relative importance of price and other evaluation factors by identifying the weight to be given to each factor. • Vendors submit a proposal for a system to satisfy the requirements set forth in the proposal. Proposals may incorporate various types of hardware or services to accomplish the performance objectives set forth in the specifications. • After proposals are received, the Town may enter into discussions with offerors who submit proposals and who are determined to be reasonably qualified for the award of the contract based upon proposal specifications. Offerors shall be treated fairly and equally with respect to any opportunity for discussion and revision of proposals. Revisions may be permitted during the discussion process after submissions and before the award of the contract in order to obtain the best final offers. • The contract must be awarded to the responsible offeror whose proposal is determined to be the most advantageous to the Town considering the relative importance of price and the other evaluation factors included in the request for proposal. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 158 7.05 Cancellation of a RFB/RFP RFBs and RFPs may be canceled by the Town at any time before the date set for opening bids. A cancellation notice should be mailed or faxed to all vendors receiving bid or proposal invitations. 7.06 Modification of a RFB/RFP RFBs and RFPs submitted to vendors may also be modified by the Town after being issued but before the final date for submission. When modifications are required, addenda shall be mailed and/or faxed to all vendors receiving bid or proposal packets. The modification notification should state whether the bid opening date is or is not extended. The bid opening date may be extended if notification of the amendment will not give vendors ample time to respond to the modified request. 7.07 Receiving the Bid or Proposal – Procedural Requirements Receiving competitive bids and proposals must be done properly in order to ensure that no possibility of favoritism or even the appearance of favoritism exists. Notice of the time and place at which the bids/proposals will be publicly opened must be published at least once a week for two consecutive weeks. The date of the first publication must be at least fifteen (15) days before the date of public opening. • Each bid or proposal must be returned to the Town Secretary’s Office as designated in the invitation. Each proposal is to be in a separate envelope, sealed and with the bid or proposal identification number marked on the outside of the envelope. If more than one bid is to be submitted, vendors are required to use separate envelopes for each bid. • The bid or proposal envelope must be clearly marked by the offeror with the date upon which it is submitted to the Town and the Town Secretary or designee shall mark the date and time of receipt of by the Town. • The bid or proposal envelope should then be filed unopened together with the other bids or proposals for the same bid invitation until the time of the bid opening. • Bids or proposals must be received by and opened on the date, hour and location as specified in the invitation/request. Vendors are invited and encouraged to attend the bid opening. Bid openings are considered open meetings and anyone can attend. Three (3) Town representatives (i.e. employee, town official, or professional staff) must be present at all bid openings. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 159 • All bids and proposals must be sealed with the identification number clearly marked on the outside of the envelope. One bid or proposal may be submitted per envelope. Opened bids shall be kept on file and available for inspection. 7.08 Disqualified Bids The following are grounds for disqualifying a submitted bid: • Incomplete bids/proposals may be considered non-responsive. Such bids/proposals may be considered for award if the non-responsiveness is due to a non-material omission. (i.e. the omission does not affect price, quality, quantity, delivery or other material contractual conditions). • Unsigned bids/proposals, or bids/proposals with unauthorized signatures. • Bids or proposals received after the date and time for opening. Late bids/proposals are not considered for award of the purchase, will not be opened, and will be returned to the submitting bidder/proposer. • Bids/proposals where prices are conditional on award of another bid, or when prices are subject to unlimited escalation. If allowed by the specification, prices may be subject to escalation based on an independent wholesale index. 7.09 Correction or Withdrawal of a Bid Bids may not be altered or amended after the submission deadline. A non-material omission or error may be waived if: • The omission or error relates to a matter of form, not substance; and • Does not otherwise prejudice the other bidders/offerors. Any alteration or change made to a bid or offer prior to opening must be initialed by the authorized signatory of the bidder guaranteeing authenticity. Mathematical errors may not be corrected. In the event of a conflict between a unit price for an item(s) and the total price for such item(s), the Town reserves the right to resolve the conflict by accepting the lowest price. SECTION 8.0: EVALUATING COMPETITIVE BIDS 8.01 General The Finance Director or his designee will provide tabulations, calculation checks, price extension and information about compliance with specifications to the RFB/RFP. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 160 8.02 Tabulating the Results When bids or proposals are opened, the results are tabulated by the Finance Director or his designee for easy reference. The following information is included in the bid analysis: • All calculations and sums are double checked for accuracy. • Unit prices are extended to a total price for the requested quantity. • The bid or proposal is verified to determine if all requirements listed meet specifications. All areas where the bid/proposals fail to meet conditions included in the specifications and whether any failures disqualify the bid/proposal are listed. Any modifications to the specifications submitted by the vendor are so noted. • All required samples to be included, if applicable, are verified by the Department. • Samples of the desired product, if required, are tested and results of the test noted by the Department. 8.03 Basis for Purchase Decision The evaluation and recommendation includes whether or not the vendor has submitted a responsive bid or proposal (one that meets all criteria of the RFB/RFP). Additionally, information on the vendor’s record of being a responsible bidder (one who has proven capable of performing a contract and/or appears financially and technically capable of adequately performing this contract) is included. If the bidder’s safety record is to be considered, the evaluation states if the bidder has an acceptable record, and if not, the identifiable factors that were not satisfactory as required by the written definition and criteria for accurately determining the safety record of a bidder and the Town has complied with all other requirements of §252.0435 of the Texas Local Government Code, as amended. SECTION 9.0: AWARDING THE BID 9.01 Policy The Town awards bids to the vendor who meets the requirements set forth in the bid documents who offers the lowest cost or the vendor who provides goods or services at the best value for the Town pursuant to the criteria set forth in Section 252.043 of the Texas Local Government Code, as amended. If staff recommends award of a bid to a vendor who is not the lowest responsible bidder, justification for the vendor selection must be documented. In the event that no bid is deemed satisfactory, the Town may declare that all bids are unacceptable. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 161 9.02 Disqualification of a Bidder If a bidder has provided unsatisfactory service or products to the Town in the past, those experiences are to be thoroughly documented in order to support any later disqualifications. A vendor who fails to provide satisfactory products, goods or services or who has breached, terminated or been terminated from a contract with the Town in the past will be removed from the Approved Vendors List for future bidding opportunities and may be disqualified from bidding on future projects. SECTION 10.0: PROTESTING A BID Upon selection of an offeror or bidder, all competitors must be notified in writing of the procurement results and advised of their right to appeal the decision by the Department. A protest must be submitted to Town Manager or designee within seven (7) calendar days of the date upon which the Town’s written notice of procurement results is made. All such protests will be reviewed by the Town Manager or designee who will issue a written decision regarding the protest. An appeal from the decision of the Town Manager or designee may be made to Town Council and shall be placed on the Council agenda on the first available date for which notice and publication requirements may be met after a written notice of appeal is received by the Town Secretary. SECTION 11.0: PROCUREMENT SPECIFICATIONS A specification is a concise description of goods or services the Town seeks to buy, and the requirements the vendor must meet in order to be considered for the award. A specification may include requirements for testing, inspection or preparing an item for delivery, or preparing or installing it for use. The specification is the total description of the purchase. A good specification has four characteristics: • It sets the minimum acceptability of the good or service. The term minimum acceptability is key, since the vendor must know the minimum standard to determine what to provide. Setting too high a standard means tax dollars will be wasted, while setting too low a standard means the good or service will not meet the expectations of the user. • It should promote competitive bidding. The maximum number of responsible vendors should be able to bid to the specifications. Restrictive specifications decrease competition. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 162 • It should contain provisions for reasonable tests and inspections for acceptability of the good or service. The methods and timing of testing and inspecting must be indicated in the specification. Tests should refer to nationally recognized practices and standards, whenever possible. • It should provide for an equitable award to the lowest responsible bidder. The buyer obtains goods or services that will perform to expectations, and the vendor is able to provide the goods or services at an equitable price. SECTION 12.0: MODIFICATION AND TERMINATION OF CONTRACTS 12.01 Policy All modifications or changes to a contract must be in writing. The Town Manager or designee may approve a modification or change order that increases or decreases a contract by $15,000 or less. The Town Council must approve modifications or change orders exceeding $15,000. The original contract price is not to be increased by more than 25%. Additionally, funding must be available to cover the cost of the price increase. The original contract price may not be decreased by more than 25% without the consent of the contractor. A contract awarded by the Town Council may only be terminated upon the approval of such termination by Town Council. 12.02 Requirement to Re-bid • In the event that a change order exceeds 25% of the contract price, a new bid must be solicited using the same bidding procedures as noted in Section 6.0. A new bid solicitation is to be issued if the procurement of supplies, equipment or services is materially different from that specified in the previous bid process regardless of the percentage in increase in the contract price. SECTION 13.0: DELIVERY OF GOODS Once goods are delivered to the Town’s offices, receipt of delivery is noted by signature of the receiving department or the receptionist in the Administration Building. If the receptionist receives goods, he/she will notify the department to which the goods belong. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 163 The person receiving the goods should make every effort to inspect the goods prior to signing the delivery ticket. If visible damage to a container being delivered is detected, it should be noted on the delivery ticket. Although damage to the contents of the package may not be seen, making this notation on the delivery ticket could make filing a claim easier if in fact the contents are damaged. Sometimes, damage to goods is concealed in packaging and the receiving party has no way of knowing of the damage. SECTION 14.0: DISPOSAL OF SURPLUS PROPERTY Annually, all departments shall review their assets and determine which items are no longer needed. A list of surplus, obsolete or unused supplies, materials or equipment, including description, make, model, and serial numbers should be forwarded to the Town Manager. Upon review and approval by Town Manager or designee the items on the department’s lists may be transferred to other departments or sold through public auction. A copy of the items sold including amounts, names, and addresses will be provided to the Finance Department so that it can be removed from asset lists and insurance. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 164 INVESTMENT POLICY I. POLICY It is the policy of the Town of Trophy Club that after allowing for the anticipated cash flow requirements of the Entity and giving due consideration to the safety and risk of investment, all available funds shall be invested in conformance with these legal and administrative guidelines, seeking to optimize interest earnings while maintaining appropriate oversight of all investments. Effective cash management is recognized as essential to good fiscal management. Investment interest is a source of revenue to Entity funds. The Entity’s investment portfolio shall be designed and managed in a manner designed to maximize this revenue source, to be responsive to public trust, and to be in compliance with legal requirements and limitations. Investments shall be made with the primary objectives of:  Safety and preservation of principal;  Maintenance of sufficient liquidity to meet operating needs;  Public trust from prudent investment activities;  Optimization of interest earnings on the portfolio; II. PURPOSE The purpose of this investment policy is to comply with the Town of Trophy Club requirements and Chapter 2256 of the Government Code (“Public Funds Investment Act”), which require each Entity to adopt a written investment policy regarding the investment of its funds and funds under its control. The Investment Policy addresses the methods, procedures and practices that must be exercised to ensure effective and judicious fiscal management of the Entity’s funds. III. SCOPE This Investment Policy shall govern the investment of all financial assets of the Entity. These funds are accounted for in the Entity’s annual audited financials statements and include:  General Fund;  Special Revenue Funds;  Capital Projects Funds;  GASB-34 Funds; TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 165  Debt Service Funds, including reserves and sinking funds, to the extent not required by law or existing contract to be kept segregated and managed separately;  Economic Development 4-A and 4-B funds;  Trophy Club Park funds;  Any new fund created by the Entity, unless specifically exempted from this Policy by the Board of Trustees (Board) or by law. This Investment Policy shall apply to all transactions involving the financial assets and related activity for all the foregoing funds. However, this policy does not apply to the assets administered for the benefit of the Entity by outside agencies under deferred compensation programs. IV. INVESTMENT OBJECTIVES The Entity shall manage and invest its cash with four primary objectives, listed in order of priority: safety, liquidity, public trust, and yield, expressed as optimization of interest earnings. The safety of the principal invested always remains the primary objective. All investments shall be designed and managed in a manner responsive to the public trust and consistent with state and local law. The Entity shall maintain a comprehensive cash management program, which includes collection of account receivables, vendor payments in accordance with invoice terms, and prudent investment of available cash. Cash management is defined as the process of managing monies in order to insure maximum cash availability and maximum earnings on short-term investment of idle cash. Safety [PFIA 2256.005(b)(2)] Safety of principal is the foremost objective of the investment program. Investments shall be undertaken in a manner that seeks to ensure the preservation of capital in the overall portfolio. The objective will be to mitigate credit and interest rate risk.  Credit Risk: The Entity will minimize credit risk, the risk of loss due to the failure of the issuer or backer of the investment, by: − Limiting investments to the safest types of investments; − Pre-qualifying the financial institutions and broker/dealers with which the Entity will do business; − Diversifying the investment portfolio so that potential losses on individual issuers will be minimized.  Interest Rate Risk: the Entity will minimize the risk that the interest earnings and the market value of investments in the portfolio will fall due to changes in general interest rates, by: TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 166 − Structuring the investment portfolio so that investments mature to meet cash requirements for ongoing operations, thereby avoiding the need to liquidate investments prior to maturity. − Investing operating funds primarily in certificates of deposit, shorter-term securities, money market mutual funds, or local government investment pools functioning as money market mutual funds. − Diversifying maturities and staggering purchase dates to minimize the impact of market movements over time. Liquidity [PFIA 2256.005(b)(2)] The investment portfolio shall remain sufficiently liquid to meet all operating requirements that may be reasonably anticipated. This is accomplished by structuring the portfolio so that investments mature concurrent with cash needs to meet anticipated demands. Because all possible cash demands cannot be anticipated, a portion of the portfolio will be invested in shares of money market mutual funds or local government investment pools that offer same- day liquidity. In addition, a portion of the portfolio will consist of securities with active secondary or resale markets. Public Trust All participants in the Entity’s investment process shall seek to act responsibly as custodians of the public trust. Investment officers shall avoid any transaction that might impair public confidence in the Entity’s ability to govern effectively. Yield (Optimization of Interest Earnings) [PFIA 2256.005(b)(3)] The investment portfolio shall be designed with the objective of attaining a market rate of return throughout budgetary and economic cycles, taking into account the investment risk constraints and liquidity needs. Return on investment is of secondary importance compared to the safety and liquidity objectives described above. V. RESPONSIBILITY AND CONTROL Delegation of Authority [PFIA 2256.005(f)] In accordance with the Town of Trophy Club requirements and the Public Funds Investment Act, the Town Council designates the Director of Finance as the Entity’s Investment Officer. An Investment Officer is authorized to execute investment transactions on behalf of the Entity. No person may engage in an investment transaction or the management of Entity funds except as provided under the terms of this Investment Policy as approved by the Town Council. The investment authority granted to the investing officer is effective until rescinded by the Town Council. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 167 Quality and Capability of Investment Management [PFIA 2256.005(b)(3)] The Entity shall provide periodic training in investments for the designated investment officers and other investment personnel through courses and seminars offered by professional organizations, associations, and other independent sources in order to insure the quality and capability of investment management in compliance with the Public Funds Investment Act. Training Requirement (PFIA 2256.008) In accordance with the Town of Trophy Club requirements and the Public Funds Investment Act, designated Investment Officers shall attend an investment training session no less often than once every two years commencing September 1, 1997 and shall receive not less than 10 hours of instruction relating to investment responsibilities. A newly appointed Investment Officer must attend a training session of at least 10 hours of instruction within twelve months of the date the officer took office or assumed the officer’s duties. The investment training session shall be provided by an independent source. For purposes of this policy, an “independent source” from which investment training shall be obtained shall include a professional organization, an institution of higher education or any other sponsor other than a business organization with whom the Entity may engage in an investment transaction. Internal Controls (Best Practice) The Director of Finance is responsible for establishing and maintaining an internal control structure designed to ensure that the assets of the entity are protected from loss, theft, or misuse. The internal control structure shall be designed to provide reasonable assurance that these objectives are met. The concept of reasonable assurance recognizes that (1) the cost of a control should not exceed the benefits likely to be derived; and (2) the valuation of costs and benefits requires estimates and judgments by management. Accordingly, the Director of Finance shall establish a process for annual independent review by an external auditor to assure compliance with policies and procedures. The internal controls shall address the following points.  Control of collusion.  Separation of transactions authority from accounting and record keeping.  Custodial safekeeping.  Avoidance of physical delivery securities.  Clear delegation of authority to subordinate staff members.  Written confirmation for telephone (voice) transactions for investments and wire transfers.  Development of a wire transfer agreement with the depository bank or third party custodian. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 168 Prudence (PFIA 2256.006) The standard of prudence to be applied by the Investment Officer shall be the “prudent investor “ rule. This rule states that “Investments shall be made with judgment and care, under circumstances then prevailing, which persons of prudence, discretion and intelligence exercise in the management of their own affairs, not for speculation, but for investment, considering the probable safety of their capital as well as the probable income to be derived.” In determining whether an Investment Officer has exercised prudence with respect to an investment decision, the determination shall be made taking into consideration:  The investment of all funds, or funds under the Entity’s control, over which the officer had responsibility rather than a consideration as to the prudence of a single investment.  Whether the investment decision was consistent with the written approved investment policy of the Entity. Indemnification (Best Practice) The Investment Officer, acting in accordance with written procedures and exercising due diligence, shall not be held personally responsible for a specific investment’s credit risk or market price changes, provided that these deviations are reported immediately and the appropriate action is taken to control adverse developments. Ethics and Conflicts of Interest [PFIA 2256.005(i)] Officers and employees involved in the investment process shall refrain from personal business activity that would conflict with the proper execution and management of the investment program, or that would impair their ability to make impartial decisions. Employees and Investment Officers shall disclose any material interests in financial institutions with which they conduct business. They shall further disclose any personal financial/investment positions that could be related to the performance of the investment portfolio. Employees and officers shall refrain from undertaking personal investment transactions with the same individual with which business is conducted on behalf of the Entity. An Investment Officer of the Entity who has a personal business relationship with an organization seeking to sell an investment to the Entity shall file a statement disclosing that personal business interest. An Investment Officer who is related within the second degree by affinity or consanguinity to an individual seeking to sell an investment to the Entity shall file a statement disclosing that relationship. A statement required under this subsection must be filed with the Texas Ethics Commission and the Town of Trophy Club. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 169 VI. SUITABLE AND AUTHORIZED INVESTMENTS Portfolio Management The Entity currently has a “buy and hold” portfolio strategy. Maturity dates are matched with cash flow requirements and investments are purchased with the intent to be held until maturity. However, investments may be liquidated prior to maturity for the following reasons:  An investment with declining credit may be liquidated early to minimize loss of principal.  Cash flow needs of the Entity require that the investment be liquidated. Investments [PFIA 2256.005(b)(4)(A)] Entity funds governed by this policy may be invested in the instruments described below, all of which are authorized by Chapter 2256 of the Government Code (Public Funds Investment Act). Investment of Entity funds in any instrument or security not authorized for investment under the Act is prohibited. The Entity will not be required to liquidate an investment that becomes unauthorized subsequent to its purchase. I. Authorized 1. Obligations of the United States of America, its agencies and instrumentalities. 2. Certificates of Deposit issued by a bank organized under Texas law, the laws of another state, or federal law, that has its main office or a branch office in Texas, or by a savings and loan association or a savings bank organized under Texas law, the laws of another state, or federal law, that has its main office or a branch office in Texas and that is guaranteed or insured by the Federal Deposit Insurance or its successor or secured by obligations in a manner and amount provided by law for deposits of the Entity. 3. Money Market Mutual funds that are 1) registered and regulated by the Securities and Exchange Commission, 2) have a dollar weighted average stated maturity of 90 days or less, 4) rated AAA by at least one nationally recognized rating service, and 4) seek to maintain a net asset value of $1.00 per share. 4. Local government investment pools, which 1) meet the requirements of Chapter 2256.016 of the Public Funds Investment Act, 2) are rated no lower than AAA or an equivalent rating by at least one nationally recognized rating service, and 3) are authorized by resolution or ordinance by the Board. All prudent measures will be taken to liquidate an investment that is downgraded to less than the required minimum rating. (PFIA 2256.021) TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 170 II. Not Authorized [PFIA 2256.009(b)(1-4)] Investments including interest-only or principal-only strips of obligations with underlying mortgage-backed security collateral, collateralized mortgage obligations with an inverse floating interest rate or a maturity date of over 10 years are strictly prohibited. VII. INVESTMENT PARAMETERS Maximum Maturities [PFIA 2256.005(b)(4)(B)] The longer the maturity of investments, the greater their price volatility. Therefore, it is the Entity’s policy to concentrate its investment portfolio in shorter-term securities in order to limit principal risk caused by changes in interest rates. The Entity attempts to match its investments with anticipated cash flow requirements. The Entity will not directly invest in securities maturing more than two (2) years from the date of purchase; however, the above described obligations, certificates, or agreements may be collateralized using longer dated investments. The composite portfolio will have a weighted average maturity of 365 days or less. This dollar- weighted average maturity will be calculated using the stated final maturity dates of each security. [PFIA 2256.005(b)(4)(C)] Diversification [PFIA 2256.005(b)(3)] The Entity recognizes that investment risks can result from issuer defaults, market price changes or various technical complications leading to temporary illiquidity. Risk is controlled through portfolio diversification that shall be achieved by the following general guidelines:  Limiting investments to avoid overconcentration in investments from a specific issuer or business sector (excluding U.S. Treasury securities and certificates of deposit that are fully insured and collateralized in accordance with state and federal law);  Limiting investment in investments that have higher credit risks (example: commercial paper);  Investing in investments with varying maturities, and;  Continuously investing a portion of the portfolio in readily available funds such as local government investment pools (LGIPs), or money market funds to ensure that appropriate liquidity is maintained in order to meet ongoing obligations. The following maximum limits, by instrument, are established for the Entity’s total portfolio: 1. U.S. Treasury Securities 85% 2. Agencies and Instrumentalities 85% TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 171 3. Certificates of Deposit 85% 4. Money Market Mutual Funds 50% 5. Authorized Pools 100% VIII. SELECTION OF BANKS AND DEALERS Depository At least every 5 years a Depository shall be selected through the Entity’s banking services procurement process, which shall include a formal request for proposal (RFP). The selection of a depository will be determined by competitive bid and evaluation of bids will be based on the following selection criteria:  The ability to qualify as a depository for public funds in accordance with state law.  The ability to provide requested information or financial statements for the periods specified.  The ability to meet all requirements in the banking RFP.  Complete response to all required items on the bid form  Lowest net banking service cost, consistent with the ability to provide an appropriate level of service.  The credit worthiness and financial stability of the bank. Authorized Brokers/Dealers (PFIA 2256.025) The Entity shall, at least annually, review, revise, and adopt a list of qualified broker/dealers and financial institutions authorized to engage in securities transactions with the Entity. Those firms that request to become qualified bidders for securities transactions will be required to provide a completed broker/dealer questionnaire that provides information regarding creditworthiness, experience and reputation. and 2) a certification stating the firm has received, read and understood the Entity’s investment policy and agree to comply with the policy. Authorized firms may include primary dealers or regional dealers that qualify under Securities & Exchange Commission Rule 15C3-1 (Uniform Net Capital Rule), and qualified depositories. All investment providers, including financial institutions, banks, money market mutual funds, and local government investment pools, must sign a certification acknowledging that the organization has received and reviewed the Entity’s investment policy and that reasonable procedures and controls have been implemented to preclude investment transactions that are not authorized by the Entity’s policy. [PFIA 2256.005(k-l)] Competitive Bids (Best Practice) It is the policy of the Entity to require competitive bidding for all individual security purchases and sales except for: a) transactions with money market mutual funds and local government TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 172 investment pools and b) treasury and agency securities purchased at issue through an approved broker/dealer or financial institution. Delivery vs. Payment [PFIA 2256.005(b)(4)(E)] Securities shall be purchased using the delivery vs. payment method with the exception of investment pools and mutual funds. Funds will be released after notification that the purchased security has been received. IX. SAFEKEEPING OF SECURITIES AND COLLATERAL Safekeeping and Custodian Agreements (Best Practice) The Entity shall contract with a bank or banks for the safekeeping of securities either owned by the Entity as part of its investment portfolio or held as collateral to secure demand or time deposits. Securities owned by the Entity shall be held in the Entity’s name as evidenced by safekeeping receipts of the institution holding the securities. Collateral for deposits will be held by a third party custodian designated by the Entity and pledged to the Entity as evidenced by safekeeping receipts of the institution with which the collateral is deposited. Original safekeeping receipts shall be obtained. Collateral may be held by the depository banks trust department, a Federal Reserve Bank or branch of a Federal Reserve bank, a Federal Home Loan Bank, or a third party bank approved by the Entity. Collateral Policy (PFCA 2257.023) Consistent with the requirements of the Public Funds Collateral Act, it is the policy of the Entity to require full collateralization of all Entity funds on deposit with a depository bank, other than investments. In order to anticipate market changes and provide a level of security for all funds, the collateralization level will be 102% of market value of principal and accrued interest on the deposits or investments less an amount insured by the FDIC. At its discretion, the Entity may require a higher level of collateralization for certain investment securities. Securities pledged as collateral should be held by an independent third party with which the Entity has a current custodial agreement. The Director of Finance is responsible for entering into collateralization agreements with third party custodians in compliance with this Policy. The agreements are to specify the acceptable investment securities for collateral, including provisions relating to possession of the collateral, the substitution or release of investment securities, ownership of securities, and the method of valuation of securities. A clearly marked evidence of ownership (safekeeping receipt) must be supplied to the Entity and retained. Collateral shall be reviewed at least quarterly to assure that the market value of the pledged securities is adequate. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 173 Collateral Defined The Entity shall accept only the following types of collateral:  Obligations of the United States or its agencies and instrumentalities;  Direct obligations of the state of Texas or its agencies and instrumentalities;  Collateralized mortgage obligations directly issued by a federal agency or instrumentality of the United States, the underlying security for which is guaranteed by an agency or instrumentality of the United States;  Obligations of states, agencies, counties, cities, and other political subdivisions of any state rated as to investment quality by a nationally recognized rating firm not less than A or its equivalent with a remaining maturity of ten (10) years or less;  A surety bond issued by an insurance company rated as to investment quality by a nationally recognized rating firm not less than A;  A letter of credit issued to the Entity by the Federal Home Loan Bank. Subject to Audit All collateral shall be subject to inspection and audit by the Director of Finance or the Entity’s independent auditors. X. PERFORMANCE Performance Standards The Entity’s investment portfolio will be managed in accordance with the parameters specified within this policy. The portfolio shall be designed with the objective of obtaining a rate of return through budgetary and economic cycles, commensurate with the investment risk constraints and the cash flow requirements of the Entity. Performance Benchmark (Best Practice) It is the policy of the Entity to purchase investments with maturity dates coinciding with cash flow needs. Through this strategy, the Entity shall seek to optimize interest earnings utilizing allowable investments available on the market at that time. Market value will be calculated on a quarterly basis on all securities owned and compared to current book value. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 174 XI. REPORTING (PFIA 2256.023) Methods The Investment Officer shall prepare an investment report on a quarterly basis that summarizes investment strategies employed in the most recent quarter and describes the portfolio in terms of investment securities, maturities, and shall explain the total investment return for the quarter. The quarterly investment report shall include a summary statement of investment activity prepared in compliance with generally accepted accounting principals. This summary will be prepared in a manner that will allow the Entity to ascertain whether investment activities during the reporting period have conformed to the Investment Policy. The report will be provided to the Town Council. The report will include the following:  A listing of individual securities held at the end of the reporting period.  Unrealized gains or losses resulting from appreciation or depreciation by listing the beginning and ending book and market value of securities for the period.  Additions and changes to the market value during the period.  Average weighted yield to maturity of portfolio as compared to applicable benchmark.  Listing of investments by maturity date.  Fully accrued interest for the reporting period  The percentage of the total portfolio that each type of investment represents.  Statement of compliance of the Entity’s investment portfolio with state law and the investment strategy and policy approved by the Town Council. An independent auditor will perform a formal annual review of the quarterly reports with the results reported to the governing body [PFIA 2256.023(d)]. Monitoring Market Value [PFIA 2256.005(b)(4)(D)] Market value of all securities in the portfolio will be determined on a quarterly basis. These values will be obtained from a reputable and independent source and disclosed to the governing body quarterly in a written report. XII. INVESTMENT POLICY ADOPTION [PFIA 2256.005(e)] The Entity’s investment policy shall be adopted by ordinance/resolution of the Town Council. It is the Entity’s intent to comply with state laws and regulations. The Entity’s investment policy shall be subject to revisions consistent with changing laws, regulations, and needs of the Entity. The Town Council shall adopt an ordinance/resolution stating that it has reviewed the policy and investment strategies annually, approving any changes or modifications. TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 175 TOWN OF TROPHY CLUB CASH HANDLING POLICY During hours of operation, coins, currency and checks will be secured in a designated locked drawer or cash register. CASH: When not in use all coins, currency and checks must be stored in one of three locking bank bags assigned to each cashier and secured in the designated safe. Each cashier will be assigned a cash till (cash drawer) for use during their scheduled shift. Cash in this till remains the property of the Town of Trophy Club and at no time will be converted to or otherwise allowed for personal use. There is only one cashier assigned per till. When not in use, the till must be secured in one of the three locking bank bags assigned to each cashier. Cash tills are provided to perform the function of cashier only. At no time will the cashier use this till to cash checks, pay vouchers, provide petty cash, issue refunds, or any other cash related function except to make change for cash transactions, store cash received for services/goods, and store check payments received for same said functions. Cash tills must be counted at the beginning of a shift and at shift end to ensure the till is at the issued balance. EACH CASH TILL MUST ALWAYS REMAIN AT THE ISSUED BALANCE. Cash till variances, missing tills, or theft must be reported immediately to the supervisor. Proper identification must be requested from the presenting party. Lack of identification is proper grounds for check refusal. Checks must be restrictively endorsed upon receipt (i.e. stamped “For Deposit Only” upon receipt). CHECKS: Checks must be made payable to the Town of Trophy Club and are to be accepted for the amount of the purchase/transaction only. Personal checks can not be exchanged for cash. Checks must not be post dated or otherwise held for future processing. Third party checks are not permitted. Record each transaction in designated cash receipt application or cash register immediately when received. Payment type (cash, check, or credit card) must be indicated on each transaction. REPORTING AND DEPOSITS: Daily reconciliations are required for each cashier’s shift. The reconciliation for each cashier’s shift must be completed immediately at the close of his/her shift. Each cashier will prepare a TOWN OF TROPHY CLUB, TEXAS Annual Program of Services 176 deposit slip related to that shift’s transactions. The original deposit slip and all cash and checks related to that shift’s receipts must be secured in one of the cashier’s bank bags and turned into the cashier’s supervisor, or his/her designee. The remaining cashier’s designated till will be secured in a locking bank bag assigned to the cashier. Each cashier must close out their respective transactions at the end of each shift and balance the cash and checks to the transaction report and/or the cash register tape for the same period. The supervisor or his/her designee will deliver all deposits related to the previous business day to the Finance Department along with the cash receipts report and related duplicate copy of the deposit slip. Cash counting and/or deposit preparation must be performed out of public view. If a cashier’s cash and checks do not balance to the transaction report for the same period, the resulting shortage or overage must be reported immediately to the cashier’s supervisor. The cashier will secure all relevant documents, reports, and the related cash and checks in a locking bank bag and provide such to the supervisor or his/her designee. The supervisor will notify the Director of Finance and take the locked bank bag to the Director of Finance or his/her designee. The Director of Finance and/or his/her designee will verify the shortage or overage. TOWN OF TROPHY CLUB, TEXAS Annual Program of Service 177 GLOSSARY The Annual Program of Services contains specialized and technical terminology that is unique to public finance and budgeting. To assist the reader of this document in understanding these terms, a budget glossary has been included in this document. Accrual Basis: A basis of accounting under which transactions are recognized when they occur, regardless of the timing of related cash flows. For example, in accrual accounting, revenue that was earned between April 1 and June 30, but for which payment was not received until July 10, is recorded as being received on June 30 rather than July 10. Accrued Expenses: Expenses incurred but not due until a later date. Administrative Transfer: An interfund transfer designed to recover General Fund expenditures conducted on behalf of Proprietary funds. Ad Valorem Taxes (Current): All property, real, personal, tangible, intangible, annexations, additions, and improvements to property located within the taxing unit’s jurisdiction, which are subject to taxation on January 1 of the current fiscal year. Each year, by ordinance, the Town Council exempts taxes on automobiles and other items from the tax levy. Following the final passage of the appropriation ordinance, Town Council sets the tax rate and levy for the fiscal year beginning October 1 and continuing through the following September 30. Ad Valorem Taxes (Delinquent): All taxes are due on receipt of bill and are delinquent if not paid before February 1 of the fiscal year in which they are imposed, except when the taxing unit postpones the delinquency date due to late mailing of tax bills or successful rollback elections. Ad Valorem Taxes (Penalty and Interest): A delinquent tax incurs a penalty of six percent (6%) of the amount of the tax for the first calendar month it is delinquent, plus one percent (1%) for each additional month or portion of the month the tax remains unpaid prior to July 1 of the year in which it becomes delinquent. However, the delinquent tax on July 1 incurs a total penalty of twelve percent (12%) of the amount of the delinquent tax without regard to the number of months the tax has been delinquent. Appropriation: A legal authorization granted by a governing body to make expenditures and to incur obligations for specific purposes. Appropriation Ordinance: The official enactment by the Town Council to establish legal authority for Town officials to obligate and expend resources. Assessed Valuation: A value that is established for real or personal property for use as a basis for levying property taxes. (Note: Property values are established by the Denton County Appraisal District.) Audit: A comprehensive examination of how an organization’s resources were actually utilized, concluding in a written report of the findings. A financial audit is a review of the accounting TOWN OF TROPHY CLUB, TEXAS Annual Program of Service 178 system and financial information to determine how government funds were spent and whether expenditures were in compliance with the legislative body’s appropriations. A performance audit consists of a review of how well the organization met its stated goals. Balance Sheet: A financial statement that discloses the assets, liabilities, and equity of a specific governmental fund as of a specific date. Balanced Budget: A budget in which estimated revenues equal estimated expenditures. Bond: A written promise to pay a sum of money on a specific date at a specified 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 and revenue bonds. These are most frequently used for construction of large capital projects, such as buildings, streets and bridges. Budget: A plan of financial operation embodying an estimate of proposed expenditures for a given period and the proposed means of financing them. Used without any modifier, the term usually indicates a financial plan for a single fiscal year. The term “budget” is used in two senses in practice. Sometimes it designates the financial plan presented to the governing body for adoption and sometimes the financial plan finally approved by that body. It is usually necessary to specify whether the budget under consideration is preliminary and tentative or whether it has been approved by the governing body. Budget Adjustment: A legal procedure utilized by the Town staff and Town Council during to revise a budget appropriation. The Town of Trophy Club’s Town Charter requires Town Council approval through the adoption of a supplemental appropriation ordinance (which specifies both the source of revenue and the appropriate expenditure account) for any interfund adjustments. Town staff has the prerogative to adjust expenditures within a departmental budget. Budget Calendar: The schedule of key dates or milestones, which the Town departments follow in the preparation, adoption, and administration of the budget. Budget Document: The instrument used by the operational authority to present a comprehensive financial program to the Town Council. Budget Message: The opening section of the budget which provides the Town Council and the public with a general summary of the most important aspects of the budget, changes from the current and previous fiscal years, and the views and recommendations of the Town Manager. Budgeted Funds: Funds that are planned for certain uses but have not yet been formally or legally appropriated by the governing body. Capital Equipment Budget: The portion of the annual operating budget that appropriates funds for the purchase of capital equipment items. These expenditures are often separated from regular operating items, such as salaries, services, and supplies. The capital equipment budget includes funds for capital equipment purchase, which are usually distinguished from TOWN OF TROPHY CLUB, TEXAS Annual Program of Service 179 operating items according to their value and projected useful life. Examples include vehicles, minor equipment, furniture, machinery, building improvements, and special tools. The dollar value varies according to the policy established by each jurisdiction. Capital Improvements: A permanent addition to the Town’s assets, including the design, construction or purchase of land, buildings or facilities or major renovations of the same. Cash Basis: A basis of accounting under which transactions are recognized only when cash changes hands. Cash Management: The management of cash necessary to pay for government services while investing temporary cash excesses in order to earn interest revenue. Cash management refers to the activities of forecasting the inflows and outflows of cash, mobilizing cash to improve its availability for investment, establishing and maintaining banking relationships, and investing funds in order to achieve the highest interest and return available for temporary cash balances. Commitment: The pledge of appropriated funds to purchase an item or service. Funds are committed when a requisition is issued through the purchasing division of the Town. Cost: (1) The amount of money or other consideration exchanged for property or services. (2) Expense. Cost Accounting: That method of accounting, which provides for assembling and recoding all of the elements of cost incurred to accomplish a purpose, to carry on an activity or operation, or to complete a unit of work or a specified job. Current Taxes: Taxes that are levied and due within one year. Debt Service: The Town's obligation to pay the principal and interest of all bonds and other debt instruments according to a pre-determined payment schedule. Deficit: (1) The excess of the liabilities of a fund over its assets. (2) The excess of expenditures over revenues during an accounting period; or, in the case of proprietary funds, the excess of expense over income during an accounting period. Delinquent Taxes: Taxes that remain unpaid on and after the date on which a penalty for non-payment is attached. Department: An organizational unit which has the responsibility of providing programs, activities, and functions in a related field. Depreciation: The process of estimating and recording the lost usefulness, expired useful life or diminution of service from a fixed asset that cannot or will not be restored by repair and will be replaced. The cost of the fixed asset's lost usefulness is the depreciation or the cost to reserve in order to replace the item at the end of its useful life. TOWN OF TROPHY CLUB, TEXAS Annual Program of Service 180 Disbursement: Payment for goods and services in cash or by checks. Division: An administrative segment of the Town, which indicates management responsibility for an operation or a group of related activities within a functional area. Divisions are the basic units of the budget upon which departments are composed. Encumbrances: Commitments related to unperformed (executory) contracts for goods or services. Enterprise Fund: A fund established to account for operations (a) that are financed and operated in a manner similar to private business enterprises – where the intent of the governing body is that the costs (expenses, including depreciation) for providing goods or services to the general public on a continuing basis be financed or recovered primarily through user charges; or (b) where the governing body has decided that periodic determination of revenues earned, expenses incurred, and/or net income is appropriate for capital maintenance, public policy, management control, accountability, or other purposes. Examples of Enterprise funds are those for water, gas, and electric utilities; swimming pools; airports; parking garages; and transit systems. Expenditure: This term refers to the outflow of funds paid or to be paid for an asset obtained or goods and services obtained regardless of when the expense is actually paid. This term applies to all funds. Note: An encumbrance is not an expenditure. An encumbrance reserves funds to be expended. Expenses: Charges incurred (whether paid immediately or unpaid) for operation, maintenance, interest and other charges. Fiscal Year: The time period designated by the Town signifying the beginning and ending period for recording financial transactions. The Town of Trophy Club has specified October 1 to September 30 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, and improvements other than buildings, machinery, and other equipment. Full Faith and Credit: A pledge of the general taxing power of a government to repay debt obligations (typically used in reference to bonds.) Franchise Fee: This is a charge paid for the use of Town streets and public right of way and is in lieu of all other municipal charges, fees, street rentals, pipe taxes or rentals, easement or other like franchise fees, inspections, fees, and /or charges of every kind except only Ad Valorem and special assessment taxes for public improvements (i.e., gas, telephone and cable TV). Full-time Equivalent (FTE): A unit of measure based on the number of hours that an employee works during the fiscal year. One FTE is equal to 2080 hours. TOWN OF TROPHY CLUB, TEXAS Annual Program of Service 181 Function: A group of related activities aimed at accomplishing a major service or regulatory program for which a government is responsible. Fund: An accounting entity that has a set of self-balancing accounts and that records all financial transactions for specific activities of government functions. Eight commonly used funds in public accounting are: general fund, special revenue funds, debt service funds, capital project funds, enterprise funds, trust and agency funds, internal service funds, and special assessment funds. Fund Balance: Fund balance is the excess of assets over liabilities and is, therefore, also known as surplus funds. General Fund: The fund used to account for all financial resources except those required to be accounted for in another fund. General Obligation Bonds: Bonds that finance a variety of public projects, such as streets, buildings, and improvements. The repayment of these bonds is usually made from the General Debt Service Fund, and these bonds are backed by the full faith and credit of the issuing government. Generally Accepted Accounting Principles (GAAP): Uniform minimum standards of and guidelines to financial accounting and reporting. They govern the form and content of the basic financial statements of an entity. They encompass the conventions, rules, and procedures necessary to define accepted accounting practice at a particular time. They include not only broad guidelines of general application, but also detailed practices and procedures. They provide a standard by which to measure financial presentations. 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, and General Debt Service). Grants: Contributions or gifts of cash or other assets from another government to be used or expended for a specified purpose, activity, or facility. Income: A term used in proprietary fun type accounting to represents (1) revenues or (2) the excess of revenues over expenses. Interfund Transfers: Amounts transferred from one fund to another to recover the charge for administrative services. Intergovernmental Revenue: Revenue received from another governmental entity for a specified purpose. In the Town of Trophy Club, these are funds from Denton County, the State of Texas, and through recovery of indirect costs from federal and state agencies. Internal Service Fund: A fund used to account for the financing of goods or services provided by TOWN OF TROPHY CLUB, TEXAS Annual Program of Service 182 one department to another department on a cost reimbursement basis. Investments: Securities and real estate held for the production of revenues in the form of interest, dividends, rentals or lease payments. Levy: (Verb) To impose taxes, special assessments or service charges for the support of governmental activities. (Noun) The total amount of taxes, special assessments or service charges imposed by a government. Line-Item Budget: A budget that lists each expenditure category (salary, materials, telephone service, travel, etc.) separately along with the dollar amount budgeted for each specified category. Long-Term Debt: Debt with a maturity of more than one year after the date of issuance. Mixed Beverage Tax: A tax imposed on the gross receipts of a Licensee for the sale, preparation or service of mixed beverages or from the sale of ice or non-alcoholic beverages and consumed on the premised of the permittee. Modified Accrual Basis: The accrual basis of accounting adapted to the governmental fund type spending measurement focus. Under it, revenues are recognized when they become both “measureable” and “available to finance expenditures of the current period.” Expenditures are recognized when the related fund liability is incurred except for (1) inventories of materials and supplies which may be considered expenditures either when purchased or when used; (2) prepaid insurance and similar items which need not be reported; (3) accumulated unpaid vacation, sick pay and other employee benefit amounts which need not be recognized in the current period, but for which larger-than-normal accumulations must be disclosed in the notes to the financial statements; (4) interest on special assessment indebtedness which may be recorded when due rather than accrued, if approximately offset by interest earnings on special assessment levies; (5) principal and interest on long-term debt which are generally recognized when due. Operating Budget: Plan of current expenditures and the proposed means of financing them. The annual operating budget (or, in the case of some state governments, the biennial operating budget) is the primary means by which most of the financing acquisition, spending, and service delivery activities of a government are controlled. The use of annual operating budgets is usually required by law. Even where not required by law, however, annual operating budgets are essential to sound financial management and should be adopted by every government. Operating Expenses: Fund expenses which are directly related to the fund’s primary service activities. Operating Grants: Grants which are restricted by the grantor to operating purposes or which may be used for either capital or operating purposed at the discretion of the grantee. Operating Income: The excess of fund operating revenues over operating expenses. TOWN OF TROPHY CLUB, TEXAS Annual Program of Service 183 Operating Revenues: Fund revenues, which are directly related to the fund’s primary service activities. They consist primarily of use charges for services. Ordinance: A formal legislative enactment by the governing board of a municipality. If it is not in conflict with any higher form of law, such as a state statute or constitutional provision, it has the full force and effect of law within the boundaries of the municipality to which it applies. The difference between an ordinance and a resolution is that the latter requires less legal formality and has a lower legal status. Ordinarily, the statutes or charter will specify or imply those legislative actions, which must be by ordinance and those which may be by resolution. Revenue raising measures, such as the imposition of taxes, special assessments and service charges, universally require ordinances. Other Financing Sources: Governmental fund general long-term debt proceeds, operating transfers out, and material proceeds of fixed asset dispositions. Such amounts are classified separately from revenues. Overlapping Debt: The proportionate share of the debts of local governments located wholly or in part within the limits of the reporting government, which must be borne by property within each government. Performance Budget: A budget that focuses upon activities rather than line items. Workload and unit cost data are collected in order to assess the efficiency of services. Typical data collected might include miles of streets paved per year, cost of paved streets per mile, tons of garbage collected per employee hour or cost per employee hour of garbage collection. Performance Measures: Specific quantitative and qualitative measures of work performed as an objective of the department. Productivity Measures: Productivity measures should reflect how well a program is performing its activities to meet the needs of the public and the organization. They should measure productivity, effectiveness, efficiency or the impact of a service provided. While activity measures indicate “how much” activity the division/department is performing, productivity measures identify “how well” the division/department is performing. Program Budget: A budget that focuses upon the goal and objectives of an agency or jurisdiction rather than upon its organizational budget units or object classes or expenditures. Program Description: Describes the nature of service delivery provided at this level of funding. It clearly explains how service delivery will be different from the prior budget year. Program Goals: Program goals describe the purpose or benefit the division/department plans to provide to the community and/or organizations it serves. Goals identify the end result the division/department desires to achieve with its activities, but goals are often ongoing and may not be achieved in one year. TOWN OF TROPHY CLUB, TEXAS Annual Program of Service 184 Program Objectives: Program Objectives are quantifiable steps toward accomplishing stated goals. They should have a specific time frame or measurable achievement. Objectives should be able to be reached or completed within the current fiscal year. Objective statements are not required for every activity performed, but should focus on the major steps necessary for achieving established goals. Property Tax: Property taxes are levied on both real and personal property according to the property’s valuation and the tax rate. Reconciliation: A detailed analysis of changes in revenue or expenditure balances within a fund. Requisition: A written request from a department to the purchasing office for specific goods or services. This action precedes the authorization of a purchase order. Reserve: An account used to indicate that a portion of a fund's balance is legally restricted for a specific purpose and is, therefore, not available for general appropriations. Retained Earnings: The difference between assets and liabilities for enterprise and internal service funds. Revenue Bonds: Bonds usually sold for constructing a project that will produce revenue for the government. All or part of the revenue is used to pay the principle and interest of the bond. Revenues: (1) Increases in governmental fund type net current assets from other than expenditure refunds and residual equity transfers. Under NCGA Statement 1, general long-term debt proceeds and operating transfers in are classified as “other financing sources” rather than revenues. (2) Increases in proprietary fund type net total assets from other than expense refunds, capital contributions and residual equity transfers. Under NCGA Statement 1, operating transfers in are classified separately from revenues. Sales Tax: A general “sales tax” is levied on persons and businesses selling merchandise or services in the town limits on a retail basis. The categories for taxation are defined by state law. Money collected under authorization of this tax is for the use and benefit of the Town; however, no town may pledge anticipated revenues from this source to secure the payment of funds or other indebtedness. Shared Revenues: Revenues levied by one government but shared on a pre-determined basis, often in proportion to the amount collected at the local level, with another government or class of governments. Tax Rate: The amount of tax stated in terms of a unit of the tax base; for example, $.50 per $100 (one hundred dollars) assessed valuation of property. Tax Rate Limit: The maximum rate at which a government may levy a tax. The limit may apply to taxes raised for a particular purpose, or to taxes imposed for all purposes, and may apply to a single government, to a class of governments, or to all governments operating in a particular TOWN OF TROPHY CLUB, TEXAS Annual Program of Service 185 area. Overall tax rate limits usually restrict levies for all purposes and of all governments, state and local, having jurisdiction in a given area. Tax Roll: The official list showing the amount of taxes levied against each taxpayer or property. Frequently, the tax roll and the assessment roll are combined, but even in these cases the two can be distinguished. Taxes: Compulsory charges levied by a government for the purpose of financing services performed for the common benefit. This term does not include specific charges made against particular persons or property for current or permanent benefits such as special assessments. Neither does the term include charges for services rendered only to those paying such charges as, for example, sewer service charges. Trial balance; A list of the balances of the accounts in a ledger kept by double entry with the debit and credit balances shown in separate columns. Unencumbered Balance: The amount of an appropriation that is neither expended nor encumbered. It is essentially the amount of money still available for future purchases. Working Capital: Budgeted working capital is calculated as a fund’s current assets less current liabilities and outstanding encumbrances. TOWN OF TROPHY CLUB, TEXAS Annual Program of Service 186 Acronyms ACLS – Advanced Cardiac Life Support AED – Automated External Defibrillation AMLS – Advanced Medical Life Support BLS – Basic Life Support CCPD – Crime Control Prevention District CE – Certification Exam CERT - Community Emergency Response Teams CPR - Cardiopulmonary Resuscitation CO – Certificates of Obligation COLA – Cost of Living Adjustment DCSO – Denton County Sheriff’s Office DFW – Dallas and Fort Worth DWI – Driving While Intoxicated EDC – Economic Development Corporation E.g. - for example (from the Latin exempli gratia) EMS – Emergency Medical Service FMLA – Family Medical Leave Act FNI - Freese and Nichols Inc. FTE – Full Time Equivalent FY - Fiscal Year GAAP - Generally Accepted Accounting Principals TOWN OF TROPHY CLUB, TEXAS Annual Program of Service 187 GASB - Governmental Accounting Standers Board GF - General Fund GFOA – Government Finance Officers Association of the United States and Canada GO – General Obligation HRA - Health Reimbursement Account HSA – Health Savings Account HR – Human Resources ICC – International Code Council I.e. - in other words or that is (from the Latin id est) I & S – Interest and Sinking M & O - Maintenance and Operation MUD – Municipal Utility District NEC – National Election Codes NEFDA - Northeast Fire Department Association NISD – Northwest Independent School District PEPP – Pre-hospital Emergency Pediatric Provider PHTLS – Pre-hospital Trauma Life Support P & I – Principal and Interest PID – Public Improvement District PPACA - Patient Protection & Affordable Care Act PPO - Preferred Provider Organization P & Z – Planning and Zoning TOWN OF TROPHY CLUB, TEXAS Annual Program of Service 188 SGR – Strategic Government Resources Inc. SOP – Standard Operating Procedure SRO – School Resources Officer TC - Trophy Club TIF – Tax Incremental Finance TML – Texas Municipal League TML IEBP – Texas Municipal League Intergovernmental Employee Benefits Pool ZBA – Zoning Board of Adjustment