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2016-2017 Adopted BudgetOFFICIAL BUDGET FISCAL YEAR 2016–2017 THE CITY OF CITY OF SANGER, TEXAS ANNUAL BUDGET OCTOBER 1, 2016 – SEPTEMBER 30, 2017 This budget will raise more total property taxes than last year’s budget by $381,579, which is a 10.6% increase from last year’s budget. The property tax revenue to be raised from new property added to the tax roll this year is $81,020. The members of the governing body voted on the budget as follows: FOR: Lee Allison, Councilmember Place 1 Gary Bilyeu, Mayor Pro Tem / Councilmember Place 2 Allen Chick, Councilmember Place 4 David Clark, Councilmember Place 5 AGAINST:None PRESENT and not voting: Thomas Muir, Mayor (only votes in case of a tie) ABSENT:William Boutwell, Councilmember Place 3 PROPERTY TAX RATE COMPARISON 2015-2016 2016-2017 Property Tax Rate $0.679500 / $100 $0.679500/ $100 Effective Tax Rate $0.635453 / $100 $0.619554/ $100 Effective Maintenance & Operations Tax Rate $0.513353 / $100 $0.468064/ $100 Rollback Tax Rate $0.669878 / $100 $0.633203/ $100 Debt Rate $0.166147 / $100 $0.127694/ $100 The total amount of municipal debt obligation secured by property taxes for the City of Sanger, Texas is $5,427,817.  ii      CITY OF SANGER, TEXAS ANNUAL BUDGET OCTOBER 1, 2016 – SEPTEMBER 30, 2017 SUBMITTED TO THE MAYOR AND CITY COUNCIL AUGUST 15, 2016 THOMAS MUIR Mayor LEE ALLISON Council Member, Place 1 GARY BILYEU Mayor Pro Tem Council Member, Place 2 WILLIAM BOUTWELL Council Member, Place 3 ALLEN CHICK Council Member, Place 4 DAVID CLARK Council Member, Place 5 BUDGET PREPARED BY MIKE BRICE City Manager CLAYTON GRAY Finance Director iii      ORGANIZATIONAL VALUES We respect each other We communicate We perform quality work We are responsive to our customers We behave ethically We have an attitude of service We are proactive We focus on our customers We work together iv      TABLE OF CONTENTS INTRODUCTION Budget Message .............................................................................................................................. 1 Ten Year Capital Improvement Plan .............................................................................................. 13 Authorized Personnel .................................................................................................................... 18 Personnel Projection for 2017 to 2021 ........................................................................................... 19 Organization Chart ......................................................................................................................... 21 Budget Calendar ............................................................................................................................ 22 The Budget Process ...................................................................................................................... 23 Fund Relationship with Functional Areas ....................................................................................... 24 Ordinance Adopting the Annual Budget ......................................................................................... 25 Ordinance Adopting the Property Tax Rate ................................................................................... 27 BUDGET SUMMARY Combined Funds Budget Summary ............................................................................................... 29 GENERAL FUND Introduction .................................................................................................................................... 31 General Fund Budget Summary .................................................................................................... 32 Revenues ....................................................................................................................................... 33 Departmental Budgets Police ................................................................................................................................ 37 Animal Control .................................................................................................................. 41 Fire .................................................................................................................................... 43 Municipal Court ................................................................................................................. 47 Development Services ...................................................................................................... 51 Streets ............................................................................................................................... 55 Parks ................................................................................................................................. 59 Recreation ......................................................................................................................... 63 Library ............................................................................................................................... 65 Solid Waste ....................................................................................................................... 69 Transfers to Other Funds .................................................................................................. 71 DEBT SERVICE FUND Introduction .................................................................................................................................... 73 Debt Service Fund Budget Summary ............................................................................................ 74 Debt Service Expenditures ............................................................................................................ 75 Debt Service Requirements ........................................................................................................... 76 ENTERPRISE FUND Introduction .................................................................................................................................... 77 Enterprise Fund Budget Summary ................................................................................................. 78 Revenues ....................................................................................................................................... 79 v  TABLE OF CONTENTS Continued ENTERPRISE FUND Departmental Budgets Water ................................................................................................................................. 81 Waste Water ..................................................................................................................... 85 Electric .............................................................................................................................. 89 Debt Service ...................................................................................................................... 93 Transfers to Other Funds .................................................................................................. 95 INTERNAL SERVICE FUND Introduction .................................................................................................................................... 97 Internal Service Fund Budget Summary ........................................................................................ 98 Departmental Budgets City Council ....................................................................................................................... 99 Administration ................................................................................................................. 101 Public Works Administration ............................................................................................ 105 Finance Department ........................................................................................................ 109 Fleet Services ................................................................................................................. 113 Non-Departmental ........................................................................................................... 117 4A CORPORATION ................................................................................................................................... 119 4B CORPORATION ................................................................................................................................... 123 SPECIAL REVENUE FUNDS Introduction .................................................................................................................................. 125 Hotel/Motel Tax Fund .................................................................................................................. 126 Beautification Fund ...................................................................................................................... 127 Library Restricted Fund ............................................................................................................... 128 Court Security Fund ..................................................................................................................... 129 Court Technology Fund ............................................................................................................... 130 Child Safety Fund ........................................................................................................................ 131 Police Donations Fund ................................................................................................................. 132 Fire Donations Fund .................................................................................................................... 133 Park Donations Fund ................................................................................................................... 134 Library Books Fund ...................................................................................................................... 135 APPENDIX About Sanger ............................................................................................................................... 137 Financial Management Policy ...................................................................................................... 139 Investment Policy ......................................................................................................................... 147 2015 Performance Measure Highlights ........................................................................................ 151 Debt Service Schedules .............................................................................................................. 155 vi  Introduction The intent of this budget message is to explain both the structure of the budget and the atmosphere in which it was created. The budget message outlines the highlights of this year’s budget. It also discusses the City’s Strengths, Weaknesses, Opportunities and Threats (SWOT analysis) for the upcoming year. Finally, it discusses the structure of the budget, where revenues come from and where the money goes. The budget message should provide the reader insight into municipal government finances and make the raw numbers more understandable. I encourage the reader to take a few moments to read through the budget message. I believe it will give you valuable insight into the budget process. It will also provide insight into the thinking and conditions in which the budget was prepared. Municipal budgets are always challenging. There simply is never enough money to fix every problem and address every concern. While the economy remains strong, revenues are fairly flat when compared to 2016. This limits our ability to expand services beyond what is already being provided. 2017 will see the continuance of an aggressive effort to address our deteriorating infrastructure and expand utilities to support commercial and industrial growth. These activities are detailed in the Ten Year Capital Plan included in this budget. This will require strong leadership from the Mayor and Council. The result will be a community that continues to grow and improve the quality of life for its citizens. Review of 2016 The housing market remains very strong, and demand is still high due to the shortage of housing in the area and low- interest rates. Additional residents add to several revenue streams but also increases the need for services which is often times offsetting, negating any revenue gains. Sales tax is trending up slightly, and we are projecting an 8% increase in sales tax revenue. New residential and commercial construction and increased valuations are reflected in an anticipated increase in the property tax base. We anticipate approximately a 6% increase in the property tax base in 2016. As always, we take a conservative approach to budgeting revenues. We continue to work on the Capital projects scheduled for this year, and many of these will carry over into next year. The addition of water and wastewater lines on the east side of I35 between FM455 and Lois Road will begin this summer. We are acquiring the necessary easements for the reconstruction and overlay of McReynolds Road from Ranger Creek to FM 2164. We will be carrying over most of the $350,000 in this year’s budget for street rehabilitation to help cover the cost of McReynolds Road to next year. Engineering and permitting are continuing on the wastewater treatment plant with the first phase of construction anticipated for next year. Utility Revenues are down somewhat this year due to the unusually wet spring and mild temperatures. This will result in less of a fund balance being available at the end of the year although we do anticipate ending the year with revenues higher than expenditures. We will do this by closely monitoring the budget and watching expenditures. BUDGET MESSAGE The City of Sanger, Texas Page 1 Annual Budget 2016-2017 0 100,000 200,000 300,000 400,000 500,000 600,000 700,000 800,000 900,000 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Sales Tax Ten Year History FY 2017 Budget Highlights Capital Equipment The proposed budget includes the following Capital Equipment. All the vehicles listed below are replacing existing vehicles with the exception of one police vehicle. Department Equipment Financing Method Cost Police Three Police Vehicles Purchase 164,000$ Fire 2 Life Pak 15's Purchase 86,000$ Fire Pumper Truck (Subject to Grant Approval)Grant Match 72,500$ Parks 2 Advance warning systems for lightning Purchase 15,000$ Parks Bobcat Predator Pro Zero Turn Mower Purchase 14,000$ Water Kubota Mini Excavator Purchase 58,772$ Water BigTex 14K Tandem 16' Heavy Duty Bed Trailer Purchase 4,999$ Water Bobcat Predator Pro Zero Turn Mower Purchase 14,000$ Electric New Truck Purchase 33,151$ Electric Vacuum Pump Purchase 52,600$ BUDGET MESSAGE The City of Sanger, Texas Page 2 Annual Budget 2016-2017     Expenditures by Classification As you can see in the table below, overall expenditures are projected to rise by a little over 1.5%. We have been very conservative in our budgeting and have looked at the history of each individual line item when planning next year’s expenditures. The largest increases are in Salaries & Benefits and Debt Service. Increased Salaries & Benefits are the result of adding two new positions in the new year. Debt Service is increasing as a result of required payments on the Certificates of Obligation, Series 2015. Maintenance & Operations, Utilities, and Capital Expenses are all decreasing. Expenditures by Classification 2015 Actual 2016 Budget 2017 Budget Difference % Change Salaries & Benefits 4,310,940$ 4,978,766$ 5,201,863$ 223,097$ 4.48% Supplies & Materials 375,512$ 458,889$ 491,169$ 32,280$ 7.03% Maintenance & Operations 6,947,156$ 7,342,703$ 7,239,478$ (103,225)$ -1.41% Contract Services 1,172,574$ 1,339,969$ 1,423,836$ 83,867$ 6.26% Utilities 502,671$ 634,007$ 543,964$ (90,043)$ -14.20% Capital Expenses 325,023$ 612,102$ 595,822$ (16,280)$ -2.66% Debt Service 1,281,912$ 1,275,474$ 1,452,919$ 177,445$ 13.91% Other Department Expense 44,923$ 57,472$ 133,282$ 75,810$ 131.91% Transfers 1,032,393$ 926,800$ 926,800$ -$ 0.00% Total 15,993,104$ 17,626,182$ 18,009,133$ 382,951$ 2.17% Personnel I am recommending a 2% merit raise (Range from 0-3%) for employees again this year. If there is a council desire to increase this recommendation to 3%, this will add $ 36,000 to the proposed budget. This year we are proposing to add two new positions. We propose adding a Lieutenant to the Police department. This will help alleviate the flat structure currently and provide additional supervisor coverage at night. We also propose adding and event coordinator to the recreation department. This will be our first employee in this department. Parks and recreation continue to increase the number of events annually and have plans on adding, even more, necessitating the need for this position. This person will also fulfill the administrative assistant role for both Parks and Fire. Operating Expenses We do not directly control many of our operating expenses like health care costs and the price of fuel. Absorbing these costs can leave very little extra money left for the expansion of services. Any proposed increases in operating costs must be accompanied by written justification from the department head. All of the department heads have done a good job in their proposed budgets of keeping operating expenses in check. One big unknown this year is health insurance costs. We will not know these numbers until late summer. Because we allocate a set amount to each employee for insurance benefits, this will not impact the proposed budget.   BUDGET MESSAGE The City of Sanger, Texas Page 3 Annual Budget 2016-2017     Capital Projects Capital projects this year will be quite extensive. Capital projects are discussed in detail in the Capital Improvement Plan included in the overall budget. In summary, capital projects will include reconstruction and resurfacing of McReynolds Road in conjunction with Denton County and Extension and expansion of sewer lines along the east side of I35. We will also be replacing the Cowling Rd. Lift Station and Force Main. We anticipate applying for a Community Development Block Grant (CDBG) for replacement of Water, Waste Water Lines, and Street reconstruction along Plum St. from 5th to 10th Streets. This will also help relieve anticipated traffic congestion along Chapman Rd (FM 455) when TXDOT begins its widening project along FM455. 4B has committed funds for extending the trail system at Porter Park to the parkland on the east side of I35. This project is in design. We applied for a grant to fund a portion of this project but were not successful. Reserves The Council set a goal of increasing emergency reserves to $2,000,000 we realized that goal at the end of the 2014 Budget Year. The resolution also created a “Storm Reserve Fund”. This fund is funded by 2% of electric utility revenue and is intended to be used in the event of extensive storm damage to the City’s infrastructure. The storm reserve fund will end the year with approximately $640,000 in reserve. $0 $200,000 $400,000 $600,000 $800,000 $1,000,000 $1,200,000 2011 2012 2013 2014 2015 Contingency Reserve Funds General Fund Enterprise Fund Storm Reserve  Fund Summary While there are some structural changes in the budget, operationally there will be few changes. The staff has prepared a proposed budget with cautious optimism for 2017 that addresses both our short term and long term needs. As always we will closely monitor both revenues and expenses throughout the year and adjust accordingly as conditions dictate.   BUDGET MESSAGE The City of Sanger, Texas Page 4 Annual Budget 2016-2017 SWOT Analysis A SWOT analysis is a look at the City’s Strengths, Weaknesses, Opportunities and Threats (SWOT). It is intended to give the reader a strategic perspective of current and future issues. These issues have an effect on both revenues and expenditures. Strengths The local economy remains strong as indicated by the increase in construction and low unemployment. The area continues to see a large influx of new residents each year and this trend is expected to continue for the foreseeable future. Sanger’s location is one of its greatest strengths and something we aggressively market. Rail and Interstate access and developable industrial land also top the list of Sanger’s strengths. Commercial interest in the industrial property has picked up in the last year. We continue to utilize the information developed by The Retail Coach to assist us in recruiting retailers and other business. We are also extending utilities along the east side of Interstate 35 to entice new businesses and industry to the City. Another asset is the quality of life enjoyed by the citizens of Sanger. Sanger residents have access to all of the amenities of the metroplex while enjoying life in a quiet, small town atmosphere. Access to Lake Ray Roberts is also a quality of life asset and an economic boost for Sanger. The new sports park has been a tremendous quality of life improvement for our citizens as well. It is well used and has been well received by the citizens. It has also been a tremendous advertising tool for Sanger. Last year we added a splash park to replace our obsolete swimming pool. This is also a quality of life improvement for our citizens to enjoy. In 2016 the 4B board has authorized funding for the expansion of the trail system to the East side of I35. This will be the first phase in the development of the 55 acres of parkland on the opposite side of the interstate from Porter Park. Sanger Electric is another strength enjoyed by the City of Sanger. Sanger Electric generated almost $7,500,000 in gross revenue last year. This revenue not only supports the Enterprise Fund but the General Fund, and Storm Recovery Fund as well. Without this revenue, property taxes and other utility fees would need to be much higher. Sanger also enjoys having both a 4A and 4B economic development board. Each of these boards generates approximately $300,000 annually in revenue. These monies have allowed Sanger to compete economically and make the quality of life improvements. 4B funds are currently being used to pay for the debt service on the Porter Sports Complex and other projects. 4A funds were used to purchase a 51,000 square foot warehouse for job creation. It has been leased creating jobs as well as a positive cash flow in rent. This year 4A will continue assisting with the extension of utility lines for development of additional industrial properties. Sanger has approximately $2.6 Million set aside in Contingency Reserve Funds for use in the case of emergency. Eventually, every City faces some type of disaster. Be it a tornado, flood, ice storm or another disaster two things are certain; the City will need money for the recovery efforts, and traditional revenue sources will be negatively impacted at the same time. Having these funds on hand will help us recover as quickly as possible without destroying us financially. Weaknesses To a large extent cities in Texas are dependent on property taxes to fund their general revenue operations. In Sanger, approximately 40% of general fund operating revenues come from property tax. The weakness here is that almost half of the property tax in Sanger comes from residential improvements (See Figure 1 below). Demand for service is much higher from residential properties than from commercial properties. This means that, when averaged out, residences rarely pay the full amount in property tax for the services they receive from the City. Commercial properties, however, typically generate more property tax than they require in services. Growing our commercial BUDGET MESSAGE The City of Sanger, Texas Page 5 Annual Budget 2016-2017 property tax base is essential to providing quality service to our customers while limiting the property tax burden on our residents. Recruiting more industrial and commercial development continues to be a priority. Property Tax  by Source ‐2016 Residential Commercial Agriculture Personal Property Another weakness is median home prices in Sanger. While the median home price in the DFW Metro area is around $200,000, the median home price in Sanger is half that. This results in a much lower tax income per lot than in other areas. We need to diversify our housing mix to include houses in higher price ranges that generate higher property taxes. This will also help alleviate the tax burden on families with lower incomes and those with fixed incomes. We have seen a better mix and a higher average home cost this past couple of years. As a result, we see our average valuation increase. We need to proactively encourage this trend to help eliminate this weakness. Another weakness that stifles growth is the fact that as the city limit expands, we add areas that are not in our water supply CCN. Because the water supply corporation that serves these areas does not provide fire protection, development is severely limited. Recent legislation has alleviated this to some extent by providing a mechanism to transfer the CCN. However, the issue still remains a hindrance to growth due to the costs associated with the transfer. Opportunities Industrial Development As mentioned under strengths, Sanger is uniquely located to service both North Texas and Southern Oklahoma and has hundreds of acres of developable land with both interstate highway and rail access. Not only are these properties being marketed by the land owners but the City is also marketing these properties through the Greater Dallas Chamber of Commerce. Sanger must capitalize on these industrial prospects and aggressively market its strengths. To do this will require additional investment in infrastructure to ensure that industrial sites are “shovel ready” when companies are ready to move. To that end, plans are in the works to extend water and wastewater lines to potential industrial sites along I35 to entice industrial development. We are also working with private developers to develop shovel-ready industrial parks to spur industrial growth. BUDGET MESSAGE The City of Sanger, Texas Page 6 Annual Budget 2016-2017 Residential Development There have been 39 new home starts so far in Fiscal Year 2016. The average assessed value remained a little over $100,000 for single-family residents in 2015. It is important that this growth is diversified across a wide range of the housing market from starter homes to homes that exceed $500,000 in price. Homes in higher price ranges generate higher property taxes but typically require the same amount of services as homes of lesser appraised value. This allows the City to provide services at a lower tax rate, saving everyone on their property taxes. Currently, the average home value in Sanger is approximately $100,000. At that value, a home will generate approximately $665 in City property tax each year. In comparison, a $250,000 home generates $1662 at the same tax rate. Simply put, higher priced homes translate into lower property taxes and increased services for everyone. Commercial Development Commercial development will follow residential development. Sanger is experiencing some commercial growth and should see more as the area’s population increases. The good news is that Sanger has plenty of developable commercial property. The bad news is some of the large tracts available for commercial development lack infrastructure (water and sewer) on site. As with industrial development, we need to extend water and sewer into these areas to make them more attractive for development. In 2016 new water and sewer lines were extended along the West side of I35 to promote commercial development. The City must continue to promote commercial development, especially development that generates both property and sales tax. Threats One threat that bears close watch is the increased cost of health insurance. We will not know until late in the budget process if we will face an increase this year or not but an increase is highly likely. Many aspects of healthcare reform continue to take effect. These new requirements will raise the cost of providing health insurance for both the City and its employees. Another significant threat is action taken by the State Legislature. Cities will take multiple hits this year as the State reduces State funding for programs, keeps more revenue for themselves and passes new unfunded mandates that will cost the cities money to implement. In their quest to balance the budget without raising taxes, they are significantly impacting budgets and services at the local level. A general downturn in the economy is another potential threat, while the local economy is booming worldwide it is softening. It is imperative that we monitor it closely and stay ahead of any downturn. Understanding the Municipal Budget This section is intended to give the reader an overview of how the budget works. Municipal budgets are governed by Federal and State Statutes and local regulations. The intent here is not to explain every requirement for municipal budgeting but to discuss generally how the budget works. The City operates six major funds. They are the General Fund, Enterprise Fund, 4A Economic Development Fund, 4B Economic Development Fund, Debt Service Fund and Capital Improvement Fund. These funds are explained in detail below. The City’s fiscal year runs from October 1st through September 30th each year. The budget process begins in the spring of each year internally. Budget workshops are held during the summer of each year with the City Council and economic development boards. Public hearings are also held on the budget. The budget must be approved and next year’s property tax rate set before October 1st each year (see Timetable for Adopting the Budget). When the economy is volatile, such a lengthy process can lead to financial issues down the road. For example, a road project that is scheduled to begin in the summer would be estimated in the spring of the previous year, over a year earlier. Due to market volatility, the actual cost could be significantly higher or lower than estimated. This can occur frequently in government and is usually not understood by the public. BUDGET MESSAGE The City of Sanger, Texas Page 7 Annual Budget 2016-2017 To a great extent the City works on a pay as you go basis. Revenues must be sufficient to cover expenses. Sometimes this can create some short-term issues because of the timing of revenues. For example, the largest revenue stream in the General Fund is property taxes. However, we do not receive the bulk of these funds until the second quarter of the fiscal year (January – March). This means that other revenues must be used to cover expenses in the first quarter and that discretionary expenses (like buying new vehicles) are usually deferred until after the first quarter. Because the City cannot spend money it does not have, it must find an alternative method of financing large infrastructure projects. Replacing or adding new roadways, water lines, sewer lines and drainage improvements are very expensive. After paying for operations, most cities do not have sufficient funds left over to pay for these improvements as they are done. Therefore, cities sell municipal bonds to pay for these improvements up front. The bonds are then paid off over a period of time, spreading the expense over a number of years. The City must pledge either property tax or some other revenue like utility fees toward repaying the bonds. The downside is that these pledged funds cannot be used for other purposes in future years. This means that long-term debt must be managed and controlled so that necessary improvements are made without hamstringing future budgets. Another important point is that revenue numbers in the budget are estimates of what we think will be collected next year. The monies you see in revenue are not sitting in the bank October 1st waiting to be used. If revenues do not meet projections, then expenditures must be curtailed to meet those shortfalls. If revenues exceed projections, then excess fund balances at the end of the year can be used to build up reserves, do capital projects or supplant next year’s revenues. Understanding Property Tax Property Taxes are historically the primary funding source for General Fund operations. The property tax calculation process can be very complicated. Having a basic understanding of how it is calculated and the rules involved is essential in making sound decisions on the property tax rate. Because of the way the rate is calculated, decisions made about the rate this year will impact future year’s budgets as well. Property tax valuations run more than a year behind. For example, at the beginning of each year, the Tax Assessors office determines the taxable value of property for the year before. They then send notice to property owners of the assessed value of their property. Property owners then have an opportunity to protest that value if they feel it is unfair. The County Tax Assessors office hears the disputes and then certifies the Total Net Taxable Valuation for the City sometime around the end of July. The City then sets the rate for the upcoming year with the taxes due in January. Therefore, the taxes collected in January of 2017 are based on property values determined for 2015 and certified in 2016. This is why increases or decreases in property tax collections lag behind overall increases or decreases in property values. The property tax rate is made up of two components; the Interest and Sinking (I&S) rate and the Maintenance and Operation (M&O) rate. The I&S rate is the rate necessary to generate enough revenue to service the debt on bonds pledged against the property tax. The M&O rate is the portion of the property tax used for day to day operations of General Fund departments. The I&S rate is set by the Assessor’s office based on the net taxable valuation and the amount of debt. (Debt/Valuation= I&S tax rate). The City does not determine this rate, although it is included in the overall rate set by the city. Two key rules apply when determining the tax rate. The first is the Effective Rate. The Effective Rate is the rate that, based on this year’s valuation, will service the debt (I&S rate) and raise the same amount of revenue as was raised last year for M&O. The Effective Rate may be higher or lower than the year before depending on a decrease or increase in the total valuation and increase or decrease in debt service. BUDGET MESSAGE The City of Sanger, Texas Page 8 Annual Budget 2016-2017     The second term is the Rollback Rate. To oversimplify, if a City sets the tax rate so that it will generate more than 108% of the revenues generated last year, it is subject to the filing of a petition by the voters to send the tax rate to an election. If the City stays under 108%, it cannot be challenged by petition. When a City sets the tax rate for the year, it is really determining the M&O rate since the I&S rate is a function of taxable value and debt. This is important for a number of reasons. First, any rate set below the Effective Rate means a decrease in revenues. This decrease in revenue comes 100% from M&O revenue. Second, if total valuation falls (as happened in 2010) and debt also decreases, the Effective Rate will be higher than the Rollback Rate. This means that to raise the same amount of operating funds in 2010; we would have had to exceed the Rollback Rate. While this is a rare occurrence for a growing City, it drives home the fact that setting the tax rate needs to be based on a number of factors considered together. Tax rates can vary widely between cities. For example, there are 88 Cities in Texas with a population between 5,000 and 10,000. Property taxes range from $0.1468/$100 to $0.957898/$100 in those cities. The maximum a home rule city can charge is $2.50/$100. Net Taxable Valuations also vary widely and are the primary factor in determining what rate a city needs to charge to pay for debt and operations. Two examples help to clarify this point. The first is Highland Park with a net taxable valuation of over 4.5 Billion. Highland Park’s tax rate is only $0.22/100, but it generates over $10,000,000 a year in revenue. On the other end of the spectrum is the city of Mathis with a tax rate of $0.957898. Mathis’ net taxable valuation is only $85,987,583 and generates revenue of $823,763. So, even though Mathis’ rate is over four times higher than Highland Park’s, it generates less than a tenth of the revenue. I do not suggest any increase lightly and in fact, would like to see us lower the tax rate over time. However, until we start growing our commercial property tax base, this will be difficult to achieve. The key is growing our total net taxable value without adding a greater burden on services than what we receive in additional revenue. Again, this will require adding commercial property to the tax rolls. As stated earlier, new residential properties, while increasing the tax role, also increase service demand and are usually break even at best. General Fund The General Fund is the fund used to finance the operations of general government. The General Fund includes Public Safety, a portion of Public Works, Community Services, Sanitation, and a portion of Administrative and Support Services. Public Safety includes; Police, Municipal Court, Animal Control, Code Enforcement, Fire and Ambulance departments. Sanitation is solid waste (Sanitation is contracted out to a third party operator). Community Services include; Development Services and the Library. The park and recreation and street departments are shown on their own to more clearly show the portion of the general fund spent on these departments. Internal Services include Administration, Custodial, Finance, Fleet Maintenance and Human Resources.   BUDGET MESSAGE The City of Sanger, Texas Page 9 Annual Budget 2016-2017 Police and Animal Control 26%Fire and Ambulance 19% Municipal Court 4% Development Services 4% Streets 9% Parks 8%Recreation 2%Library 4% Solid Waste 11% Internal Services 13% General Fund Expenditures General Fund revenues come from a myriad of sources Including property tax, sales tax, court fees, Fire and EMS revenues and franchise fees. By far, the largest revenue stream is property tax. Due to growth and appreciation of property values, Sanger has enjoyed increasing property taxes over the last twelve years. $0.00 $500,000.00 $1,000,000.00 $1,500,000.00 $2,000,000.00 $2,500,000.00 $3,000,000.00 $3,500,000.00 Property Tax Revenue Growth General Fund revenues do not cover expenditures. The difference is made up by the transfer of excess revenues from the Enterprise Fund. These funds come primarily from the Electric utility. Without these funds, property taxes would have to be increased or services severely cut to balance the budget. The Transfer in 2016 was budgeted at $200,000. It is projected at $150,000 for 2017. Typically, due to cost savings throughout the year, this transfer for operations is not necessary, and we have used these funds to build up reserves. This will likely not be the case this year due to lagging utility revenues caused by the wet weather and mild winter. BUDGET MESSAGE The City of Sanger, Texas Page 10 Annual Budget 2016-2017     Enterprise Fund The Enterprise Fund is made up of utility departments including Water, Wastewater, and Electric. Enterprise utilities are intended to generate more revenue than is needed for operations. This excess revenue is used to pay for infrastructure improvements and support the General Fund to defer higher property taxes. Not only does the Electric Utility generate the bulk of gross revenues, but it also produces the majority of excess revenues. In fact, after adding capital costs to operating costs the Water and Wastewater Utility barely break even. Fortunately, we have locked in the rate we pay for wholesale electric through May of 2019, so no significant increases in Electric rates are anticipated. Recently the State has mandated that regional groundwater districts be established statewide to manage groundwater resources. To pay for the district's water producers will have to pay a fee on the water removed from the ground. We are calculating that this will cost Sanger about $36,000 a year. The staff is proposing increasing the base rate for water by $2.00 to cover this additional expense imposed by the regional water district. One increase we have to absorb in the electric utility is the increase in transmission and congestion costs we pay. This cost has risen by over 60% in the last three years and continued to rise. These costs are regulated by the electric reliability council of Texas and are used partially to help pay for new transmission lines from West Texas to other parts of the State. The staff is also recommending a $1.00 increase in the base electric rate to cover increased transmission costs. The staff is recommending a 7.5% rate increase in sewer rates next year to pay the interest only bond payment for the Cowling Road lift station replacement and phase one of the rehabilitation and expansion of the wastewater treatment plant. Full payment of the bonds in future years will require additional increases over the next two to three years. These rate increases will pay the bond debt without having to rely on property tax to do so. The staff is proposing a 5% increase in water rates to cover cost increases both in ground water and water purchased from Upper Trinity Regional Water District. Expenditures in the Enterprise Fund are overwhelmingly spent on Public Works as they should be. Expenditures include daily operations of the utilities, capital improvements, and debt service on bonds for capital improvements. Internal Service Fund The internal service fund includes departments with responsibilities in both the General and Enterprise Funds. The Internal Service Fund allows us to show the department's entire budget in one place, making it more transparent and easier to manage. The departments include Non-Departmental costs, Mayor and Council, Administration, Public Works Administration, Finance and Fleet Services. Instead of each department having a separate budget for each fund, those departments have a single budget in the Internal Service Fund. This makes it easier for the reader to see the true cost of the department without having to look in two different places. It also streamlines cost allocation internally. Economic Development Funds Under Texas Law, certain municipal governments can establish Economic Development Corporations for the purposes of attracting economic development and other limited purposes. These corporations are overseen by boards appointed by the City Council. Sanger is one of the few Cities that has both a 4A and 4B Economic Development Corporation. Both of these corporations receive revenues from a separate ½ cent sales tax. This sales tax generates around $300,000 each year for each of the corporations. Due to changes in legislation the 4A board can now fund projects authorized under either 4A or 4B statutes. This gives us the flexibility to combine 4A and 4B funds if we need to for either industrial development or to enhance the   BUDGET MESSAGE The City of Sanger, Texas Page 11 Annual Budget 2016-2017     quality of life. Historically this money has been used to pay off the debt for the land associated with the Wal-Mart Distribution Center. Over the years, the 4A Board has also built up a healthy reserve. The 4B Board can fund any project authorized under the 4A statutes. In addition, the 4B Board can fund improvements in other areas including parks and recreation. Historically 4B monies have been used to help fund infrastructure improvements, park and recreation improvements and, most recently, the new Splash Pad. The 4B Board also maintains a modest reserve and is currently committed to servicing up to $180,000 annually of the 2009 CIP for the new sports park and $32,500 per year for the splash park debt service. The 4B Board has also committed $300,000 to The Porter Park Trail linkage. Thanks to these two boards the City of Sanger has been able to provide economic development incentives and make park and recreation improvements that it simply could not afford otherwise. While these funds can only be used for limited purposes, having them frees up other revenues for other purposes. Debt Service Fund and Capital Projects Fund The Debt Service Fund is where long term, property tax funded debt is paid. The Capital Projects Fund is where expenditures on Capital Projects are paid. Both debt service and capital projects serve as internal service funds used for accounting purposes. Hotel/Motel Tax Fund These expenditures are tightly regulated by state law. To ensure that these funds are spent appropriately, they are placed in a separate fund and not commingled with the General Fund. Conclusion Revenue growth will allow us to maintain current service levels and continue to maintain and repair infrastructure this year. This means continuing to fill potholes and repave streets, replace old water and wastewater lines, build sidewalks and maintain our parks in an attractive condition. Staff have worked hard and kept up with their responsibilities even when short staffed. They have willingly accepted cross training so they could help out in other departments when needed. They have been very frugal with spending. I want to commend all of our employees for their hard work and dedication this year I also want to thank the Mayor and Council for their continued support and leadership. The Mayor and Council have had to make some hard decisions. They have poured much thought into those decisions and haven’t flinched when doing the right thing was not going to be popular. The Citizens of Sanger are fortunate to have such people guiding the City. The municipal budgeting process can be confusing, especially when looking only at the raw numbers. We have worked hard to make the budget more transparent and understandable. I think you will see even more improvements and transparency this year. However, the budget is still just numbers. The budget message explains the meaning of those numbers. It is intended to shed light on the budget process and provide a general overview of its structure. It is also intended to shed light on the thoughts and concerns that went into formulating the budget. I hope you have found it helpful. Michael Brice City Manager I want to thank Jim Berman, Parks and Recreation Director, for taking the lead on preparing this year's budget message.   BUDGET MESSAGE The City of Sanger, Texas Page 12 Annual Budget 2016-2017     This plan addresses capital improvement needs in the City of Sanger over the next ten years in the areas of Streets, Thoroughfares, Sidewalks, Drainage, Water Lines, Wastewater Lines, Parks and other Facilities. The plan discusses needs in each area funding sources for projects expected in FY 2017. As in any city with older infrastructure, maintenance and rehabilitation of existing infrastructure is an ongoing and never ending process. It is easy to get behind and hard to catch up. Over the last five years more and more resources have been dedicated to infrastructure maintenance and replacement and several projects have been completed. We have rebuilt several thoroughfares including portions of Keaton Road, Freese Drive, Railroad Avenue and Cowling Road. We have replaced several thousand feet of deteriorated Wastewater Lines. We have rebuilt three major drainage structures and rehabbed several smaller ones. We have purchased and remodeled a new police station and remodeled the Municipal Court. This is a trend that needs to continue as we try to catch up with our aging and ailing infrastructure. At the same time, we must expand our water and wastewater lines into areas that are prime for commercial and industrial development. We recently completed expansion of water and sewer service on the west side of I35. This year will see the first phase of expansion on the east side of I35. While residential development is nice, commercial and industrial development produce far more revenue and are less of an impact on services. Commercial and Industrial development also create jobs for our citizens and improve the quality of life. Over $100,000,000 in water, wastewater, roads and drainage projects have been identified that should be completed in the next ten years. This includes the two big ticket items of expanding the wastewater treatment plant and expanding FM 455. To spur economic growth, the Council issued $4,500,000 in bonds in 2013 to fund extending water and wastewater lines into industrial and commercial areas. The objective is to attract new businesses to these areas that will help fund future improvements such as rehabbing and expanding the wastewater treatment plant. In addition, these bonds helped pay for two new water wells completed in 2016 and the splash park completed in 2014. The water wells will ensure we have sufficient water to meet peak demands while maintaining sufficient fire protection reserves. These wells have been completed and will soon be tied in to the system. The sale of these bonds represents a proactive step by the Council to facilitate commercial and industrial growth. Projects Completing in FY 2016  Jones, Kirkland, Smith and Sims Street Reconstruction  West Side I35 Wastewater Line Extension  West Side I35 Water Line Extension  New Water Wells Phase I (Drilling)  Presbyterian Church Restoration Projects in progress continuing in FY 2017 Anticipated Funding Source  East I35 Wastewater Line Upgrade 2013 Bond Funds/ WWCIP Funds/4A  New Water Wells Phase II (System Tie In) Water CIP Funds/2013 Bond Funds  McReynolds Road Reconstruction Denton County/Street Funds  Cowling Road Lift Station Replacement 2015 Bond Funds  Final Design of WW Treatment Plant Expansion WW Tap Fees  FM 455 Widening (TXDOT Project) TXDOT/County/City  East Side I35 Multi-Use Trails 4B Funds   TEN YEAR CAPITAL IMPROVEMENT PLAN The City of Sanger, Texas Page 13 Annual Budget 2016-2017     New Projects in 2017 Anticipated Funding Source  Cowling Road Water Improvements To Address Nitrification 2013 Bond Funds  Reconstruction of Plum Street from Fifth to Tenth (If funds are available) Street Funds  Replacement of Water and Sewer Lines Along Plum Water CIP Funds/ WW Capital Fund Future Projects: Anticipated Funding Source  View Road Water Line Extension Water CIP Funds/4A  View Road Wastewater Line Extension WW CIP Funds/4A  Phase I WW Treatment Plant Rehabilitation 2015 Bond Funds  Relocation of Utilities along FM 455 Expansion Not Identified  Rebuild and Expand Marion Road Not Identified  Rebuild Bolivar Street Not Identified  Rebuild Belz Road and Jennifer Circle Not Identified  Rebuild Duck Creek Road Not Identified FM 455 Expansion Issues One issue looming on the horizon is the relocation of utilities for the expansion of FM 455. For us that includes water, wastewater and electric utilities. We have had some preliminary discussions with TXDOT and the County on who will pay for these relocations. However, at this time, no funding sources have been identified. Another big issue with the expansion of FM 455 will be traffic congestion during construction. We hope to have McReynolds Road completed before FM 455 begins to help relieve some of the congestion. We are also working on a CDBG grant to rebuild Plum Street from Fifth Street to Tenth Street to alleviate some of the congestion through town. To do this we also need to replace the water and sewer lines along plum. Our ability to accomplish this in time will depend on the award of the Grant and the timing of FM 455 construction. Water Capital Projects The Water Capital Reserve Fund began the year with a balance of approximately $1,450,000. $900,000 of these funds were recently approved by Council to help pay for the new water well on the west side and the new water line along I35 from FM 455 to Belz Road. With additional fee collected so far this year, the balance as of June 1, 2016 is approximately $550,000. In the future, some of these funds will be used to make fire protection improvements as identified in the 2010 Water and Wastewater Capital Improvement Plan (Plum Street Water Line) and for the extension of water service along the East side of I35 to View Road. Future projects, as funds come available; will include additional line extensions for development and to tie the system together for better fire protection and more efficient operations. New regulations imposed by the Texas Commission on Environmental Quality (TCEQ) will mandate that we make improvements at our intake point where we receive water from Upper Trinity. A rough estimate for these improvements is in the $150,000 range. This is due to the blending of ground water and surface water and the conflicting ways they are disinfected. Even though we have not experienced any problems, we must still comply with the new regulations. In consultation with Perkins Engineering we have looked at several options to meet the regulations. This option seems the most workable and the least expensive in the long term.   TEN YEAR CAPITAL IMPROVEMENT PLAN The City of Sanger, Texas Page 14 Annual Budget 2016-2017     Wastewater Capital Projects Development along the I35 corridor is accelerating the need to extend wastewater lines to the area. This will also accelerate the need to upsize the trunk line running back south on the east side of I35. To move this project along, the Council authorized the selling of bonds to help fund these projects. We started the first phase of construction on these projects in 2015 and completed it in 2016. The second phase, upsizing the wastewater line on the east side of I35, will hopefully begin this fall. To create more revenue for wastewater infrastructure improvements we started setting aside 10% of monthly wastewater revenues in 2014. The current balance in this fund is $331,633. We are using these funds to address I&I issues and replace older wastewater lines in conjunction with street improvements. We intend to use these funds to replace the line along plum before street reconstruction. We currently have $1,244,000 in waste water tap fees. We have used these funds primarily to pay for the design, engineering and permitting of the waste water treatment plant refurbishing and expansion. As that phase of the project comes to an end we will have the opportunity to use these funds on other projects identified in the Capital Improvement Plan. At the recommendation of Alan Plummer and Associates, Council decided to refurbish and expand the existing waste water treatment plant rather than build a new one in January 2014. Engineering, design and permitting are in their final phases. Construction is programmed to begin in late 2017 or early 2018. This will be a multi-year project. The Cowling Road lift station is quickly reaching capacity and needs to be replaced. This will also require replacing the force main with a higher capacity main. Design and engineering began in 2016 and will continue this year. Construction is expected to begin in the spring of 2017. 2015 Bond funds will be used for this project. Streets and Thoroughfares Many streets in Sanger are in dire need of rehabilitation. The last few years we have concentrated our efforts on improving the thoroughfares that carry the most traffic. This does not mean that there are not residential streets that are in as bad or worse condition. However, focusing on thoroughfares as our priority gives us the greatest positive impact for the most people. If funding can be secured in the future, Marion Rd., Bolivar from 5th to the Service road, Belz Rd. and Duck Creek will also be candidates for improvement. Plans this year call for the reconstruction of McReynolds Road. This will be funded through County Funds and Sanger Street Funds. This project has been severely delayed because of the inability to secure easements from a small number of land owners. This delay, in turn, has prevented us from rehabilitating interior residential streets because we do not know how much McReynolds road is going to cost. This has forced us to hold the majority of our street improvement funds in reserve. We will be going to bid this summer and finally Identifying the cost of McReynolds Road. We will then know what funds, if any, we have available to start work on interior residential streets. If funds are available, we plan on reconstructing Plum Street from Fifth to Tenth so that it can serve as a reliever during the FM 455 widening. FM 455 is scheduled for widening in the next few years. It is anticipated that funding for this project will come from County road construction bonds and TxDOT. However, there may be some cost to the City with associated utility relocation. Reconstruction of the Cowling Road Bridge over Clear Creek is another need. This bridge is on TxDOT’s off system bridge list for reconstruction but it is not funded at this time. The cost is likely to be well over $4,000,000, which means it will have to wait for TxDOT funding.   TEN YEAR CAPITAL IMPROVEMENT PLAN The City of Sanger, Texas Page 15 Annual Budget 2016-2017     Sidewalks We made great strides on sidewalks in the last few years. Sidewalks were extended almost the entire length of Keaton Road from FM 455 to the sports park. Our goal is to connect existing sidewalks and add new ones that allow pedestrians to travel throughout town without having to walk on busy streets. Although some of these sidewalks will pass through residential neighborhoods, the goal is not to build residential sidewalks but to create paths that link subdivisions with destinations such as schools, parks, downtown and commercial areas. We normally budget $50,000 per year for sidewalks, so the work will have to be done in phases. Other portions will be done in conjunction with other projects such as the future widening of FM 455 and McReynolds Road. Phase I will be to connect existing segments and create a central loop. This phase will provide access between five of the seven schools, Downtown, and several neighborhoods and subdivisions. This year we will be extending the sidewalk along Keaton Road North from its termination at Keaton and Holt. Phase II will link the other two schools to the inner loop. It will also connect the Sable Creek and Ranger Creek subdivisions to the system. Phase III connects the Quail Run and Lake Ridge subdivisions to the system, creates an old town loop and connects Switzer Park. It also extends the sidewalk up 5th street to FM 455. Phase IV extends the system along FM 455 from Metz Road to Marion Road. It also connects the Sanger Trail Apartments and subdivision to the system. This section needs to be done along with or after the road is widened. Once completed, sidewalks will link every school and major subdivision. Links will also provide walking access to the new sports park, public facilities and business areas throughout town without having to walk on busy streets. Parks and Facilities We have finally begun the restoration of the Historic Presbyterian Church. This project has been delayed for years due to the lack of funds. A fundraising effort by the Sanger Area Historical Society to raise funds for the restoration began about two years ago. The 4A and 4B Development Corporations also contributed funds to this project. The project should be complete in early fall of 2016, weather permitting. Another small project being done in 2016 is the remodeling of offices at the old police station located at 301 Bolivar. Once completed, the Public Works Offices will be moving over there. This will free up additional space at 201 Bolivar for Community and Economic Development and Parks and Recreation. This project is being paid for out of the existing 2016 Budget. By far our greatest and most expensive facility need is rehabilitation and expansion of the wastewater treatment plant. The cost of this project will be in the range of $10,000,000 and will have to be financed over the long term by bonds. Financing this plant will significantly encumber our ability to do other projects for several years. However, this project is necessary to handle future growth. Facility needs that are farther out on the horizon include: Expansion of the library and a new fire station. A remodel of the community center also needs to be considered as it is becoming worn and dated. Farther out will be a recreation center and building a second fire station. Many of these are expensive projects that would require bond funding. Therefore, they may not be feasible until a good portion of our bond debt is retired in 2021. 4B has committed funds for extending the trail system at Porter Park to the parkland on the east side of I35. This project is in design. We applied for a grant to fund a portion of this project but were not successful. Other parks projects as identified in the parks master plan will soon undergo a prioritization process involving the community,   TEN YEAR CAPITAL IMPROVEMENT PLAN The City of Sanger, Texas Page 16 Annual Budget 2016-2017     parks board, 4B board and City Council. Once prioritized, these projects will be programmed in as funds are available. Conclusion As you can see, a myriad of projects is planned over the next ten years and they will keep us very busy. Many of these projects will go unseen to most citizens but they all directly impact the quality of life in the community by ensuring reliable utilities, safe streets and sidewalks and adequate public facilities. It is important to note again that even after all of this work is complete, there will still be other needs arise as our infrastructure continues to age. Like every City, we will continue the struggle of balancing needs and resources to maintain current facilities and infrastructure, prepare for growth and improve the quality of life in our community. Adequate funds for large capital projects will continue to be a hindrance until other bond issues begin paying off in 2021 and until we grow sufficiently to expand the tax base. For the last two years we have diverted more resources for infrastructure rehabilitation. You will see expenditures in the 2017 proposed budget for such improvements as street reconstruction, new sidewalks, water and wastewater line replacement, wastewater plant rehabilitation and expansion and electrical system improvements. As future revenues improve we need to channel more funds toward these needs. This plan identifies and prioritizes our most pressing needs in capital improvements for the next ten years. Some parts of the plan, like sidewalk improvements, project out further than ten years for comprehensive planning purposes. Revenue sources are identified for those projects ongoing this budget year. As with any plan it will change over time and it will be updated on an annual basis to keep it current and relevant. Mike Brice City Manager   TEN YEAR CAPITAL IMPROVEMENT PLAN The City of Sanger, Texas Page 17 Annual Budget 2016-2017     Full Time Part Time Full Time Part Time Full Time Part Time General Fund Authorized Personnel Police 14 0 14 0 15 0 Animal Control 101010 Fire * 9 1 12 1 12 1 Municipal Court 2 2 2 2 2 2 Development Services 3 0 3 0 3 0 Streets 304040 Parks 636262 Recreation 0 0 0 0 1 0 Library 3 2 3 2 3 2 General Fund Totals 41 8 45 7 47 7 Enterprise Fund Authorized Personnel Water 506060 Waste Water 2 0 2 0 2 0 Electric 70 70 70 Enterprise Fund Totals 14 0 15 0 15 0 Internal Service Fund Authorized Personnel Administration 40 40 40 Public Works Administration 2 0 2 0 2 0 Finance 415050 Fleet Services 2 0 2 0 2 0 Internal Service Fund Totals 12 1 13 0 13 0 Total Authorized Personnel 67 9 73 7 75 7 * Six FTE positions are staffed by part time personnel 2015 2016 2017     AUTHORIZED PERSONNEL The City of Sanger, Texas Page 18 Annual Budget 2016-2017     Revenue projections are looking favorable for next year. With the expected increases in sales tax and property tax revenue available we are proposing to offer a merit raise to current employees and add two additional positions to the proposed budget. As always there is a direct correlation between revenues and staffing. In 2016 we added two additional full time firefighter/paramedics positions, staffed with part time personnel, and one full time position to the Water Department. This gives us four Fire personnel on duty 24 hours a day. This allows for much more flexibility in responding to emergencies. It also brings us into compliance with the National Fire Protection Association (NFPA) standards of four personnel on scene for initial fire attack. This is the next step in transitioning from a combination paid/volunteer department to a fully paid department. A full transition will take several more years to complete. This year we are proposing to add two new positions. We propose adding a Lieutenant (Detective) to the Police Department. This will help alleviate the flat command structure currently and provide additional assistance with the investigation caseload which is steadily increasing. We also propose adding an event coordinator to the Recreation Department. This will be our first employee in this department. Parks and Recreation continue to increase the number of events held annually and have plans on adding even more events in the future, necessitating the need for this position. This person will also fulfill the administrative assistant role for both Parks and Fire. 2016 Plan to Add Additional Personnel in the Future As Needed 2017 2018 2019 2020 2021 Parks Maint. Water Maint. Elect. Lineman Police Lieutenant (Detective) Special Events Coordinator Police Lieutenant (Patrol) Fire Lieutenant Police Officer Fire Lieutenant Police Officer Firefighter 3 Firefighters Estimated Cost1 $135,648.00 $143,202.00 $134,046.00 $131,000.00 $168,000.00 Note 1: Includes salary and benefits. Figure does not include additional equipment, vehicles, or training. We continue to experience an upturn in new construction and interest in developing new subdivisions. If this continues, and even increases, we will need to add additional personnel to both water and electric to keep up with new service demand as well as routine maintenance. As we expand our parks we will need to add additional personnel there as well. Additional residents will also place greater demands on public safety. This will require additional police officers and firefighters to meet these growing needs. The Police Lieutenant (Patrol), programmed for 2018, will provide additional supervision and manpower at night. He or she would also help with some of the routine administrative duties. The Fire Lieutenants, programmed for 2018 and 2019, will give us supervisory coverage on all three shifts. Currently only one shift has a lieutenant with the other two shifts being covered by part time officers. In future years additional police officers and firefighters will be needed to respond to increasing call volumes.   PERSONNEL PROJECTION 2017 - 2021 The City of Sanger, Texas Page 19 Annual Budget 2016-2017     These needs are based on projected growth and increased demand for service. Obviously, they will also require growth in revenues as well. It is hard to anticipate future revenues so the plan needs to remain flexible. We must also take into account other costs like vehicles, equipment, training and added maintenance when adding additional staff. Our goal is to staff adequately to provide service that is both efficient and effective, while operating within the confines of current revenues. We also want to be as sure as possible that any additional staff can be sustained should revenue streams slow down. I believe that this personnel plan meets these goals.   PERSONNEL PROJECTION 2017 - 2021 The City of Sanger, Texas Page 20 Annual Budget 2016-2017       ORGANIZATIONAL CHART The City of Sanger, Texas Page 21 Annual Budget 2016-2017     Budget Calendar FY 2016-2017 Monday 4/4/16 Announce Budget Schedule at Staff Meeting 4/13/16 - 4/15/16, 4/20/16 - 4/22/16 Gray & Berman meet with Departments 4/25/16 - 4/29/16 Gray & Berman meet prepare preliminary budget Thursday 5/5/16 Brice, Gray & Berman meet to discuss revenues Friday 5/13/16 Submit preliminary budget to Brice for review 5/13/16 - 5/20/16 Brice review budget 5/30/16 - 06/03/16 Budget Team meet with departments Wednesday 6/15/16 Preliminary Budget Completed Tuesday 7/5/16 Budget Workshop Monday 7/18/16 Budget Workshop Monday 7/25/16 Budget Workshop (if needed) Monday 7/25/16 Chief Appraiser Certifies Tax Roll Thursday 7/28/16 Notice of Qtr Page Ad - Appraisal District Property Tax Rates Friday 7/29/16 Budget must be filed with the City Secretary. The budget needs to be ready for inspection by any taxpayer and posted on the website Monday 8/1/16 Meeting with City Council to discuss tax rate. If proposed tax rate will raise more revenue than the proceeding year's revenue, take record vote and schedule public hearing Thursday 8/4/16 Notice of Public Hearing on tax increase, send to paper (1st qtr page notice). Must publish at least 7 days before Public Hearing Monday 8/15/16 First Public Hearing on Tax Rate and Budget Thursday 8/25/16 Notice of 2nd Public Hearing if necessary Tuesday 9/6/16 Second Public Hearing on Tax Rate Schedule and announce meeting to adopt tax rate 3-14 days from this date Monday 9/19/16 Adopt budget for operating and capital expense. Adopt tax rate   BUDGET CALENDAR The City of Sanger, Texas Page 22 Annual Budget 2016-2017     The fiscal year of the City of Sanger begins on October 1st and ends on September 30th of the following calendar year. This fiscal year establishes both the budget year and the accounting year. The budget is developed at a departmental level. In March, the Finance Director develops worksheets that detail expenditures for the past four years, year to date balances as of March 31st, and projected totals through the end of the current fiscal year. Upon completion, these worksheets are distributed to individual departments for review and completion. Each department prepares an estimate for their projected totals through the end of the fiscal year and estimates for the upcoming year. For any increases or addition of new items to the budget, departments will document the justification for the requested increases. Once the departments have completed the worksheets, they are returned along with any supporting documentation to the Finance Director. Revenues are projected based on historical trends, the current economic climate and expected future trends. Personnel expenses are prepared based upon the current year, adjusted as necessary for staffing changes or changes in the cost of benefits. Utility expenses are projected based on the current and prior years, modified where applicable due to utility rate changes or changes to City facilities. The departmental budget worksheets are combined with revenues, personnel and utility expenses to prepare a working budget, which is reviewed by the City Manager. A budget team consisting of the City Manager, the Finance Director and the Parks and Recreation Director meets with each department to review and discuss the requested budget in detail. These meetings assist the City Manager in determining his priorities for the budget. A series of public budget workshops are held with the City Council, allowing for citizen input for the budget process. These workshops allow the City Council to formulate its priorities for the proposed budget. Following these workshops, the proposed budget is formulated. This proposed budget is filed with the City Secretary and public hearings on the budget to allow for citizen input. Following the public hearings, the budget is ready to be adopted. The budget may be adopted at any regular or special meeting of the City council prior to the beginning of the fiscal year. On final adoption, the budget is in effect for the budget year. During the year, the City Council may amend or change the budget to provide for any additional expense.   THE BUDGET PROCESS The City of Sanger, Texas Page 23 Annual Budget 2016-2017       FUND RELATIONSHIP WITH FUNCTIONAL AREAS The City of Sanger, Texas Page 24 Annual Budget 2016-2017 The City of Sanger, Texas Page 25 Annual Budget 2016-2017 The City of Sanger, Texas Page 26 Annual Budget 2016-2017 The City of Sanger, Texas Page 27 Annual Budget 2016-2017     The City of Sanger, Texas Page 28 Annual Budget 2016-2017     General Fund Debt Service Fund Enterprise Fund Internal Service Fund 4A Fund 4B Fund Special Revenue Funds Total Beginning Fund Balance 2,295,917 248,760 14,642,032 - 1,888,130 928,487 152,382 20,155,708 Revenues Property Tax 2,844,518 676,038 - - 362,500 362,500 20,000 4,265,556 Sales & Mixed Drink Tax 805,000 - - - - - - 805,000 Franchise Fees 901,565 - - - - - - 901,565 Fees & Services 1,422,704 - 11,737,500 - - - - 13,160,204 Licenses & Permits 130,100 - - - - - - 130,100 Fines 140,000 - - - - - 15,500 155,500 Interest Income 4,000 100 15,000 - 1,000 1,000 - 21,100 Miscellaneous 77,500 - 42,000 - 78,000 - 7,500 205,000 Total Revenues 6,325,387 676,138 11,794,500 - 441,500 363,500 43,000 19,644,025 Other Sources Transfers In 342,999 212,500 - 1,540,149 50,000 - - 2,145,648 Total Other Sources 342,999 212,500 - 1,540,149 50,000 - - 2,145,648 Total Revenues/Sources 6,668,386 888,638 11,794,500 1,540,149 491,500 363,500 43,000 21,789,673 Expenditures Salaries & Benefits 3,108,377 - 1,091,683 1,001,803 123,822 - 2,500 5,328,185 Supplies & Materials 301,589 - 83,590 105,990 20,800 - 11,822 523,791 Maintenance & Operations 433,659 - 6,754,919 50,900 6,867 - - 7,246,345 Contract Services 1,021,574 - 76,200 326,062 6,250 - 25,000 1,455,086 Utilities 160,020 - 341,850 42,094 4,100 - - 548,064 Capital Expenses 329,000 - 253,522 13,300 - 300,000 - 895,822 Debt Service 108,000 790,583 1,344,919 - 61,267 - - 2,304,769 Court Costs 58,282 - - - - - - 58,282 Other Expenses 75,000 - - - - - 75,000 Total Expenditures 5,595,501 790,583 9,946,683 1,540,149 223,106 300,000 39,322 18,435,344 Other Uses Transfers Out 1,012,045 107,999 1,654,904 - - 237,500 - 3,012,448 Total Other Uses 1,012,045 107,999 1,654,904 - - 237,500 - 3,012,448 Total Expenses/Uses 6,607,546 898,582 11,601,587 1,540,149 223,106 537,500 39,322 21,447,792 Excess of Revenues/Sources 60,840 (9,944) 192,913 - 268,394 (174,000) 3,678 341,881 over Expenditures/Uses Ending Fund Balance 2,356,758 238,816 14,834,945 - 2,156,524 754,487 156,060 20,497,589   COMBINED FUNDS BUDGET SUMMARY   COMBINED FUNDS BUDGET SUMMARY The City of Sanger, Texas Page 29 Annual Budget 2016-2017     Property Tax 21.7% Sales/Mixed Drink Tax 4.1% Franchise Fees 4.6% Fees & Services 67.0% Licenses & Permits 0.7% Fines 0.8% Interest Income 0.1% Miscellaneous 1.0% Revenues by Category All Funds Salaries & Benefits 28.9% Supplies & Materials 2.8% Maintenance & Operations 39.3% Contract Services 7.9% Utilities 3.0% Capital Expenses 4.9% Debt Service 12.5% Court Costs 0.3% Other Expenses 0.4% Expenditures by Cagetory All Funds   COMBINED FUND BUDGET SUMMARY The City of Sanger, Texas Page 30 Annual Budget 2016-2017     The General Fund is the principle operating fund for resources (revenues) and uses of resources (expenditures) for what are generally recognized as governmental functions and services. In general, all activities are recorded in this fund unless there is a managerial or legal reason for it to be recorded in another fund. The General Fund receives revenues from property taxes, sales taxes, franchise fees, fines, fees for service, interest income and other miscellaneous general revenue sources. The General Fund includes these departments: o Police o Animal Control o Fire o Municipal Court o Development Services o Streets o Parks o Recreation o Library o Solid Waste The basis of accounting for the General Fund for both financial reporting and budgeting is the modified accrual basis.   GENERAL FUND The City of Sanger, Texas Page 31 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 Actual Budget Estimate Budget Beginning Fund Balance 1,084,287 1,725,506 1,725,506 2,295,917 Revenues Taxes 2,980,942 3,070,000 3,245,487 3,649,518 Franchise Fees 741,011 891,195 894,549 901,565 Solid Waste 740,850 735,000 747,888 748,500 Licenses & Permits 124,037 125,750 130,618 130,100 Fines 113,958 140,000 139,022 140,000 Fire & EMS 489,211 495,000 587,120 585,000 Police & Animal Control 54,492 55,150 62,600 49,254 Parks & Recreation 13,861 9,200 14,860 18,800 Library 23,938 21,140 21,428 21,150 Interest Income 2,712 2,500 8,396 4,000 Miscellaneous 112,753 77,500 67,940 77,500 Total General Fund Revenues 5,397,765 5,622,435 5,919,908 6,325,387 Other Sources Transfers In 493,535 461,536 401,536 342,999 Total Other Sources 493,535 461,536 401,536 342,999 Total Revenues/Sources 5,891,300 6,083,971 6,321,444 6,668,386 Expenditures Salaries & Benefits 2,522,214 2,910,651 2,793,748 3,108,377 Supplies & Materials 225,456 272,639 265,581 301,589 Maintenance & Operations 332,353 372,666 336,693 433,659 Contract Services 879,136 958,069 924,098 1,021,574 Utilities 140,744 186,768 132,977 160,020 Capital Expenses 195,134 340,700 340,000 329,000 Debt Service 195,628 166,536 103,051 108,000 Court Costs 42,769 57,472 45,053 58,282 Other Expenses 2,154 - 2,962 75,000 Total Expenditures 4,535,588 5,265,501 4,944,164 5,595,501 Other Uses Transfers Out 714,493 806,869 806,869 1,012,045 Total Other Uses 714,493 806,869 806,869 1,012,045 Total Expenses/Uses 5,250,081 6,072,370 5,751,033 6,607,546 Excess of Revenues/Sources 641,219 11,601 570,411 60,840 over Expenditures/Uses Ending Fund Balance 1,725,506 1,737,107 2,295,917 2,356,758   GENERAL FUND BUDGET SUMMARY The City of Sanger, Texas Page 32 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 Actual Budget Estimate Budget Taxes 4310 Property Tax 2,156,872 2,310,000 2,394,399 2,804,518 4311 Delinquent Prop. Tax 20,497 15,000 14,112 20,000 4321 Penalty & Interest Prop. Tax 26,221 15,000 15,798 20,000 4325 Sales Tax 773,477 725,000 816,148 800,000 4350 Mixed Drink Tax 3,875 5,000 5,030 5,000 Total Taxes 2,980,942 3,070,000 3,245,487 3,649,518 Franchise Fees 4460 Century Link 6,941 9,500 13,175 9,000 4461 ATMOS 54,341 45,000 43,264 45,000 4465 Suddenlink 24,468 40,000 42,718 42,000 4470 COSERV 49,037 70,000 67,202 70,000 4480 Cebridge 12,534 1,000 2,534 2,400 4483 Water 78,500 99,000 99,000 100,200 4484 Sewer 70,000 94,080 94,080 97,500 4485 Sanger Electric 398,750 485,415 485,415 485,265 4489 Progressive 40,329 42,000 41,046 42,000 4490 Roll-offs 5,338 5,000 5,919 8,000 4495 ROW fees 773 200 196 200 Total Franchise Fees 741,011 891,195 894,549 901,565 Solid Waste 4190 Sanitation Billing 729,840 725,000 737,112 738,000 4191 Sanitation Penalties 11,010 10,000 10,776 10,500 Total Solid Waste 740,850 735,000 747,888 748,500 Licenses & Permits 4510 Building Permits 97,431 100,000 81,064 100,000 4511 Zoning Variances and Plats 5,000 4,000 5,024 5,000 4512 Variances and Plats 1,528 0 2,580 2,500 4520 Health Permits 15,588 15,000 34,300 17,000 4530 Electrical Licenses 1,755 2,000 2,000 1,000 4540 Plumbing Licenses 85 200 0 400 4545 Fire Alarm/Sprinkler 240 200 100 200 4550 AC & Mechanical 1,250 1,000 1,900 1,500 4555 Irrigation 700 1,000 2,000 2,000 4575 RV Park Annual Permit 0 1,350 650 0 4580 SOB Annual Permit 0 500 1,000 0 4581 Beer & Wine Permit 460 500 0 500 Total Licenses & Permits 124,037 125,750 130,618 130,100   GENERAL FUND REVENUES The City of Sanger, Texas Page 33 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 Actual Budget Estimate Budget 4600 Default/Court 757 650 460 500 4603 Judicial Fee- County-JFCT 2,941 3,800 3,626 3,700 4604 Judicial Fee-City 337 420 408 450 4606 Expunction Fee 0 0 22 0 4607 State Traffic Fee 9,706 12,300 11,772 12,000 4608 Consolidated Court Fee 21,660 28,130 27,214 27,300 4609 State Jury Fee 2,158 2,820 2,698 2,750 4615 Child Safety Court Cost 2,137 3,310 280 300 4617 Insurance & Dismissal Fees 340 100 980 1,000 4620 Special Expense Fee 16,849 25,000 13,856 14,000 4621 Truancy Prevention Fund 1,011 1,400 1,292 1,300 4625 Fines 38,870 44,300 56,954 57,000 4627 Warrant Fees 4,182 3,600 4,778 4,800 4628 Arrest Fees 2,353 3,000 3,142 3,150 4630 LEOSE-Police 0 0 10 0 4637 Traffic Code 1,208 1,800 1,164 1,200 4639 Civil Justice Fee 38 60 52 50 4640 Defensive Driving Fee 622 740 826 850 4642 Cash Bonds Court (30) 0 0 0 4643 Time Payment Local 592 720 488 500 4645 Municipal Service Bureau 5,266 4,850 5,492 5,500 4646 Time Payment State 584 700 488 500 4648 Truancy Defensive Fund 1,084 1,400 1,352 1,400 4651 TLFTA1 862 600 1,120 1,150 4652 TLFTA2 253 170 324 350 4653 TLFTA3 178 130 224 250 Fines 113,958 140,000 139,022 140,000 Fire & EMS 4740 Fire Denton Co. Interlocal 10,000 10,000 10,000 10,000 4750 EMS Denton Co. Interlocal 247,958 250,000 250,000 250,000 4770Intermedix 733000 4772 Emergicon 230,520 235,000 327,120 325,000 Total Fire & EMS 489,211 495,000 587,120 585,000 Police and Animal Control 4050 Animal Control Fees 1,390 1,250 1,310 1,250 4051 Child Safety 7,917 8,000 11,431 0 4055 Mowing Fees 7,732 5,000 6,596 6,000 4056 Police Fees 3,134 3,500 2,982 3,000 4057 Sanger ISD Resource Officer 32,702 37,000 39,811 38,604 4058 State Reimbursements 1,617 400 470 400 Total Police and Animal Control 54,492 55,150 62,600 49,254   GENERAL FUND REVENUES The City of Sanger, Texas Page 34 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 Actual Budget Estimate Budget Parks & Recreation 4032 Community Center Fees 6,253 5,000 7,200 6,200 4033 Park & Ballfield Revenues 7,608 4,200 7,300 7,600 4034 Tournament Fees 0 0 360 2,000 4940 Park Donations 0 0 0 3,000 Total Parks and Recreation 13,861 9,200 14,860 18,800 Library 4180 Library Misc. 2,167 1,100 72 75 4181 Library Fines 2,157 2,000 1,518 1,500 4182 Library Copies 2,413 2,000 1,974 2,000 4183 Inter Library loan 1,034 2,400 82 100 4184 Library Cards 81 75 68 75 4185 lost Books 335 65 214 100 4189 Denton County 0 0 1,700 1,500 Library Grant 15,751 13,500 15,800 15,800 Total Library 23,938 21,140 21,428 21,150 4800 Interest Income 2,712 2,500 8,396 4,000 Interest Income 2,712 2,500 8,396 4,000 Miscellaneous Income 4009 Proceeds from Sale of Assets 60,797 25,000 13,948 25,000 4900 Rental Income 22,352 22,500 22,986 22,500 4910 Misc. Income GF 15,191 17,000 26,804 17,000 4946 Insurance Damage Reimb. 14,413 13,000 4,202 13,000 Total Miscellaneous 112,753 77,500 67,940 77,500 Total General Fund Revenues 5,397,765 5,622,435 5,919,908 6,325,387 Transfers 4980 PILOT from EF 335,000 85,000 85,000 85,000 4980 Transfer from EF 0 150,000 150,000 150,000 Transfer from ERF 0 60,000 0 0 4987 From DSF 158,535 166,536 166,536 107,999 Total Transfers 493,535 461,536 401,536 342,999 Total General Fund Revenues & Tran 5,891,300 6,083,971 6,321,444 6,668,386   GENERAL FUND REVENUES The City of Sanger, Texas Page 35 Annual Budget 2016-2017     The City of Sanger, Texas Page 36 Annual Budget 2016-2017     The Police Department provides law enforcement services for the City. It is tasked with upholding and protecting the safety and security of citizens and visitors to the City of Sanger. The police department also is charged with code enforcement and environmental enforcement responsibilities. Budget Summary 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Difference % Change Salaries & Benefits 910,645 1,075,155 1,027,114 1,116,919 41,764 3.88% Supplies & Materials 34,255 46,500 47,400 48,100 1,600 3.44% Maintenance & Operations 57,480 90,000 90,000 90,000 - 0.00% Contract Services 91,629 98,919 119,419 119,419 20,500 20.72% Utilities 23,729 27,447 24,400 25,500 (1,947) -7.09% Capital Expenses 110,920 203,000 203,000 164,000 (39,000) -19.21% Total 1,228,658 1,541,021 1,511,333 1,563,938 22,917 1.49% Authorized Employees 2015 2016 2017 Full Time 14 14 15 Part Time 000   POLICE DEPARTMENT The City of Sanger, Texas Page 37 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 20-Police Expenditures Actual Budget Estimate Budget 51-Salaries And Benefits 5110 Regular Salaries 657,776 742,210 704,000 764,917 5111 Merit Increase - 14,844 14,844 15,299 5117 Vacation Compensation - 6,000 - 6,000 5120 Overtime 31,973 35,000 40,000 35,000 5125 Longevity Pay 7,960 8,672 - 8,660 5130 F I C A 50,685 59,221 62,000 63,669 5140 Retirement 48,830 55,815 60,000 65,105 5150 Health Insurance 97,667 117,000 110,000 117,000 5160 Worker's Compensation 15,388 35,758 36,000 38,533 5170 T.E.C.131 135 20 2,736 5180 Medical/Physicals 210 500 250 - 5182 Background Checks 25 - - - Total 51-Salaries And Benefits 910,645 1,075,155 1,027,114 1,116,919 52-Supplies And Materials 5210 Office Supplies 3,686 5,500 5,500 5,500 5235 Dues And Subscriptions 3,655 500 500 500 5240 Conferences And Training 892 6,000 6,000 6,000 5245 Janitorial Supplies, Etc.506 700 700 700 5255 Wearing Apparel 17,482 9,800 9,800 10,500 5260 Safety Equipment 4,237 7,000 7,000 7,000 5265 Drug Prev & Investigation 847 1,500 1,500 1,500 5266 Child Safety - 500 500 500 5275 Filing Fees 900 900 900 5280 Computer Systems - 15,000 15,000 15,000 5298 Non Capital Supplies And Materials 2,050 - - - Total 52-Supplies And Materials 34,255 46,500 47,400 48,100 53-Maintenance And Operations 5310 R& M Building 908 10,000 10,000 10,000 5310 Motor Vehicle Fuel 33,540 56,000 56,000 56,000 5325 R & M Motor Vehicle 19,389 20,000 20,000 20,000 5326 R & M Minor Equipment 1,525 1,500 1,500 1,500 5332 Office Machine Lease 2,118 2,500 2,500 2,500 Total 53-Maintenance And Operations 57,480 90,000 90,000 90,000   POLICE DEPARTMENT The City of Sanger, Texas Page 38 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 20-Police Expenditures Actual Budget Estimate Budget 54-Contract Services 5420 Contractual Services 183 - - - 5430 Professional Services 20,228 20,000 40,500 40,500 5450 Technical Support 20,465 21,000 21,000 21,000 5451 Annual Software Support 12,871 22,500 22,500 22,500 5460 Dispatch Services 37,882 35,419 35,419 35,419 5498 Non Cap Contract Services Total 54-Contract Services 91,629 98,919 119,419 119,419 55-Utilities 5510 Telephone Services - 2,900 - - 5515 Electric 9,185 9,194 8,000 8,800 5516 Gas Utilities 823 853 800 700 5520 Cell Phone 13,721 14,500 15,600 16,000 Total 55-Utilities 23,729 27,447 24,400 25,500 61-Capital Outlay 6120 Building Improvements 14,630 - - - 6130 Vehicles 96,290 98,000 98,000 154,700 6135 Mobile Equipment - 105,000 105,000 9,300 Total 61-Capital Outlay 110,920 203,000 203,000 164,000 Total 20-Police 1,228,658 1,541,021 1,511,333 1,563,938   POLICE DEPARTMENT The City of Sanger, Texas Page 39 Annual Budget 2016-2017     The City of Sanger, Texas Page 40 Annual Budget 2016-2017     Animal Control provides for the safety of the public through the control of wild and domesticated animals. It is also charged with providing for the welfare of animals within the City. Animal control is responsible for the adoption of abandoned and surrendered animals. Animal control operates under the supervision of the Police Chief. Budget Summary 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Difference % Change Salaries & Benefits 49,927 51,218 55,394 52,605 1,387 2.71% Supplies & Materials 54,976 48,100 48,100 48,100 - 0.00% Maintenance & Operations 4,299 7,800 1,500 5,500 (2,300) -29.49% Utilities 600 600 600 600 - 0.00% Total 109,802 107,718 105,594 106,805 (913) -0.85% Authorized Employees 2015 2015 2017 Full Time 1 1 1 Part Time 0 0 0   ANIMAL CONTROL DEPARTMENT The City of Sanger, Texas Page 41 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 22-Animal Control Expenditures Actual Budget Estimate Budget 51-Salaries And Benefits 5110 Salaries 35,403 34,768 38,000 35,461 5111 Merit Increase - 695 695 709 5120 Overtime 701 1,000 1,000 1,000 5125 Longevity Pay 120 172 168 216 5130 F I C A 2,647 2,771 3,000 2,906 5140 Retirement 2,543 2,612 3,100 2,971 5150 Health Insurance 7,546 7,800 8,700 7,800 5160 Worker's Compensation 958 1,290 600 1,352 5170 T.E.C.9 10 31 190 5175 Earp (Employer Assist.Prog)- 50 50 - 5180 Medical/Physicals - 50 50 - Total 51-Salaries And Benefits 49,927 51,218 55,394 52,605 52-Supplies And Materials 5210 Office Supplies - 50 50 50 5223 Chemical Supplies 23 250 250 250 5235 Dues And Subscriptions 60 100 100 100 5240 Conferences And Training - 900 900 900 5245 Janitorial Supplies - 100 100 100 5248 Animal Care Expense 54,063 45,000 45,000 45,000 5250 Tools & Equipment 130 500 500 500 5255 Wearing Apparel 673 700 700 700 5260 Safety Equipment 27 500 500 500 Total 52-Supplies And Materials 54,976 48,100 48,100 48,100 53-Maintenance And Operations 5320 Motor Vehicle Fuel 4,299 6,300 - 4,000 5325 R & M Motor Vehicle - 1,000 1,000 1,000 5326 R & M Minor Equipment - 500 500 500 Total 53-Maintenance And Operations 4,299 7,800 1,500 5,500 55-Utilities 5520 Cell Phone 600 600 600 600 Total 55-Utilities 600 600 600 600 Total 22-Animal Control 109,802 107,718 105,594 106,805   ANIMAL CONTROL DEPARTMENT The City of Sanger, Texas Page 42 Annual Budget 2016-2017     The Fire Department is responsible for all facets of fire suppression and prevention within the City and surrounding area of the county. It is a combination department made up of paid staff and volunteers. The fire station is staffed around the clock for rapid response to emergencies. Other duties include rescue, emergency medical services and public education. Budget Summary 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Difference % Change Salaries & Benefits 585,455 729,331 675,205 756,465 27,134 3.72% Supplies & Materials 53,242 79,520 75,065 97,450 17,930 22.55% Maintenance & Operations 62,085 73,180 64,385 87,550 14,370 19.64% Contract Services 20,033 26,000 26,400 29,000 3,000 11.54% Utilities 15,196 20,519 14,985 18,600 (1,919) -9.35% Capital Expenses 10,490 - - 86,000 86,000 - Debt Service 144,092 115,000 51,515 56,464 (58,536) -50.90% Other Department Expense 2,154 - 2,962 75,000 75,000 - Total 892,747 1,043,550 910,517 1,206,529 162,979 -2.81% Full Time Equivalents*9 12 12 * Part Time 111 * Six FTE positions staffed by part time personnel.   FIRE DEPARTMENT The City of Sanger, Texas Page 43 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 24-Fire And Ambulance Expenditures Actual Budget Estimate Budget 51-Salaries And Benefits 5110 Salaries 242,973 275,000 242,000 277,138 5111 Merit Increase - 9,705 9,705 10,872 5112 Temp/Part-Time Salaries 142,283 240,000 210,000 240,000 5120 Overtime 70,531 54,000 56,000 54,000 5125 Longevity Pay 1,828 1,305 - 2,428 5126 Special Pay 9,623 10,800 10,800 9,969 5130 F I C A 32,481 36,213 43,000 47,544 5140 Retirement 20,811 17,908 22,000 24,613 5145 Pension Fund 3,276 6,000 3,100 6,000 5150 Health Insurance 42,234 46,800 40,000 46,800 5160 Worker's Compensation 8,881 19,000 24,000 23,800 5165 Disability Insurance 9,176 8,000 12,000 8,000 5170 T.E.C.1,006 4,000 2,000 5,301 5180 Medical/Physicals 185 500 500 - 5185 Flex Fees - 100 100 - 5182 Background Checks 167 - - - Total 51-Salaries And Benefits 585,455 729,331 675,205 756,465 52-Supplies And Materials 5210 Office Supplies 1,410 1,750 1,500 1,750 5215 Food 464 1,000 750 1,000 5223 Chemical Supplies 315 750 750 1,250 5225 Maps & Subscriptions - 500 - 500 5230 Advertising/Public Education 2,879 3,250 3,250 3,250 5235 Dues & Registration 4,777 10,500 16,000 20,000 5240 Conferences And Training - 3,200 3,200 3,200 5245 Janitorial Supplies 480 1,000 1,000 1,000 5250 Tools & Equipment 933 2,000 2,000 2,000 5255 Wearing Apparel 11,811 11,000 11,000 11,000 5260 Safety Equipment 6,506 8,955 - 10,000 5262 Ems Supplies 22,096 26,000 29,000 33,500 5280 Computer Systems - 6,615 6,615 6,000 5285 Furniture & Fixtures - 3,000 - 3,000 5298 Non Capital Supplies & Materials 1,571 - - - Total 52-Supplies And Materials 53,242 79,520 75,065 97,450   FIRE DEPARTMENT The City of Sanger, Texas Page 44 Annual Budget 2016-2017     24-Fire And Ambulance Expenditures Actual Budget Estimate Budget 53-Maintenance And Operations 5310 R & M Building 5,599 7,500 7,500 7,500 5320 Motor Vehicle Fuel 18,088 22,500 15,000 22,500 5325 R & M Motor Vehicle 27,990 22,795 22,000 22,000 5326 R & M Minor Equipment 8,691 11,750 11,750 11,500 5345 Lease Equipment 1,344 - - 6,300 5375 Minor Equipment 223 1,750 1,750 1,750 5376 Hep. B Immunizations - 1,000 500 1,000 5390 Radios Fire Dept.150 5,885 5,885 15,000 Total 53-Maintenance And Operations 62,085 73,180 64,385 87,550 54-Contract Services 5430 Professional Services/Emergicon 2,935 7,000 7,000 5,000 5440 Medical Services - - - - 5450 Technical Support 5,860 6,000 8,400 10,500 5451 Annual Software Support 1,455 3,000 - 3,000 5460 Dispatch Services 9,783 10,000 11,000 10,500 Total 54-Contract Services 20,033 26,000 26,400 29,000 55-Utilities 5510 Telephone Services - 1,319 - - 5515 Electric 11,939 15,000 11,385 15,000 5516 Gas Service 561 600 600 600 5520 Cell Phone 2,696 3,600 3,000 3,000 Total 55-Utilities 15,196 20,519 14,985 18,600 56-Grant Expense 5610 Grant Expense - - 2,962 2,500 5624 Grant Match 2,154 - - 72,500 Total 56-Grant Expense 2,154 - 2,962 75,000   FIRE DEPARTMENT The City of Sanger, Texas Page 45 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 24-Fire And Ambulance Expenditures Actual Budget Estimate Budget 61-Capital Outlay 6130 Vehicles 8,592 - - - 6135 Mobile Equipment - - - 86,000 6145 Fire Equipment 1,898 - - - Total 61-Capital Outlay 10,490 - 86,000 70-Debt Payments 7006 Lease Payment 138,345 115,000 38,356 51,752 7099 Interest Expense 5,747 - 13,159 4,712 Total 70-Debt Payments 144,092 115,000 51,515 56,464 Total 24-Fire And Ambulance 892,747 1,043,550 910,517 1,206,529   FIRE DEPARTMENT The City of Sanger, Texas Page 46 Annual Budget 2016-2017     The Municipal Court is responsible for the adjudication of criminal matters arising from events occurring within the City. The Municipal Court tracks and collects fines and warrants, holds court to adjudicate cases and renders fines to the appropriate state agency. Budget Summary 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Difference % Change Salaries & Benefits 103,871 129,596 115,248 131,846 $2,250 1.74% Supplies & Materials 4,375 5,000 4,060 4,800 ($200) -4.00% Maintenance & Operations 10,811 3,200 1,817 2,700 ($500) -15.63% Contract Services 29,411 36,000 21,262 36,000 $0 0.00% Utilities 5,243 9,450 4,341 8,100 ($1,350) -14.29% Court Costs 42,769 57,472 45,053 58,282 $810 1.41% Total 196,480 240,718 191,781 241,728 1,010 0.42% Authorized Employees 2015 2016 2017 Full Time 2 2 2   MUNICIPAL COURT DEPARTMENT The City of Sanger, Texas Page 47 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 26-Municipal Court Expenditures Actual Budget Estimate Budget 51-Salaries And Benefits 5110 Regular Salaries 75,788 94,487 80,000 96,042 5111 Merit Increase - 1,890 1,890 1,921 5120 Overtime - 500 500 500 5125 Longevity Pay 1,012 1,108 1,108 1,204 5130 F I C A 6,401 7,511 7,600 7,625 5140 Retirement 5,305 7,079 6,500 7,796 5150 Health Insurance 14,833 15,600 16,000 15,600 5160 Worker's Compensation 328 471 700 478 5170 T.E.C.204 800 800 680 5180 Medical/Physicals - 100 100 - 5182 Background Checks - 50 50 - Total 51-Salaries And Benefits 103,871 129,596 115,248 131,846 52-Supplies And Materials 5210 Office Supplies 2,141 2,200 1,800 2,000 5235 Dues And Subscriptions 851 900 760 900 5240 Conferences And Training 1,024 1,100 930 1,100 5245 Janitorial Supplies 359 500 270 500 5285 Furniture & Fixtures - 300 300 300 Total 52-Supplies And Materials 4,375 5,000 4,060 4,800 53-Maintenance And Operations 5310 R & M Building 9,816 2,000 995 1,500 5320 Office Machine Lease 995 1,200 822 1,200 Total 53-Maintenance And Operations 10,811 3,200 1,817 2,700 54-Contract Services 5424 Court Services 14,799 15,000 11,902 15,000 5425 Legal Services 8,850 13,000 6,150 13,000 5426 Credit Card Fees 1,606 2,500 1,110 2,500 5450 Technical Support 1,929 5,500 2,100 5,500 5451 Annual Software Support 2,227 - - - Total 54-Contract Services 29,411 36,000 21,262 36,000   MUNICIPAL COURT DEPARTMENT The City of Sanger, Texas Page 48 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 26-Municipal Court Expenditures Actual Budget Estimate Budget 55-Utilities 5510 26-5510 Telephone Services - 1,350 - - 5515 26-5515 Electric 5,243 8,100 4,341 8,100 Total 55-Utilities 5,243 9,450 4,341 8,100 57-Municipal Fees 5703 Judicial Fee County Jfct 2,935 4,000 3,736 4,000 5707 State Traffic Fee 9,514 14,000 11,478 14,000 5708 Consolidated Court Cost 04 19,601 26,000 17,270 26,000 5709 State Jury Fee -Sjrf 1,960 2,600 2,946 3,000 5710 Consolidated Court Cost - 75 - 75 5714 Juvenile Crime & Delinquency - 22 - 22 5719 Jcpt - 15 - 15 5421 Tpf Fees 1,010 800 900 1,000 5724 Technology Fund Expense - 1,600 - - 5725 Municipal Court Over Payments 50 20 - 20 5731 Fugitive Apprehension - 75 - 75 5733 Ctvoc - 90 - 90 5734 Idf (Court)976 1,200 844 1,200 5735 Child Safety &Seat Belt Viol - 75 - 75 5736 Corr.Mgt.Instit.Cjcf - 20 - 20 5738 Child Safety Seats 35 40 - 40 5739 Civil Justice Fees - 40 40 50 5745 Collection Agency Fee 5,168 5,000 5,563 6,000 5746 Time Payment State 588 1,000 1,076 1,100 5751 Tlfta1 - State 680 400 780 1,000 5752 0Tlfta2 - Omni 252 400 420 500 Total 57-Municipal Fees 42,769 57,472 45,053 58,282 Total 26-Municipal Court 196,480 240,718 191,781 241,728   MUNICIPAL COURT DEPARTMENT The City of Sanger, Texas Page 49 Annual Budget 2016-2017     The City of Sanger, Texas Page 50 Annual Budget 2016-2017     Development Services issues business related permits and provides inspection services for both new and existing construction. Development Services also reviews and approves construction plans and documents and works with builders and property owners on development issues. Development Services is also responsible for planning and zoning and provides support for the planning and zoning commission. Development Services maintains the comprehensive master plan, zoning maps and city limits maps and files the necessary documents with the County. Budget Summary 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Difference % Change Salaries & Benefits 211,856 177,693 177,737 229,878 $52,185 29.37% Supplies & Materials 8,738 9,245 9,245 9,995 $750 8.11% Maintenance & Operations 3,751 3,525 3,525 3,392 ($133) -3.77% Contract Services 15,421 26,250 26,250 32,450 $6,200 23.62% Utilities 4,385 4,700 4,000 4,520 ($180) -3.83% Total 244,151 221,413 220,757 280,235 58,822 26.57% Authorized Employees 2015 2016 2017 Full Time 3 3 3 Part Time 0 0 0   DEVELOPMENT SERVICES DEPARTMENT The City of Sanger, Texas Page 51 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 28-Development Services Expenditures Actual Budget Estimate Budget 51-Salaries And Benefits 5110 Salaries 166,106 135,567 135,567 172,569 5111 Merit Increase - 2,711 2,711 3,451 5125 Longevity Pay 760 760 904 1,048 5130 F I C A 11,676 10,726 10,726 13,638 5140 Retirement 11,623 10,109 10,109 13,945 5150 Health Insurance 21,190 15,600 15,600 23,400 5160 Worker's Compensation 475 1,120 1,120 1,314 5170 T.E.C.26 1,000 1,000 513 5180 Medical Physicals - 50 - - 5182 Background Checks - 50 - - Total 51-Salaries And Benefits 211,856 177,693 177,737 229,878 52-Supplies And Materials 5210 Office Supplies 1,501 1,380 1,380 1,380 5230 Advertisement 715 1,500 1,500 1,500 5235 Dues And Subscriptions 4,763 3,500 3,500 3,500 5240 Conferences And Training 202 500 500 500 5245 Janitorial Supplies 497 250 250 250 5250 Tools & Equipment - 220 220 220 5255 Wearing Apparel 573 395 395 395 5275 Filing Fees 487 1,500 1,500 1,500 5280 Computer Systems - - - 750 Total 52-Supplies And Materials 8,738 9,245 9,245 9,995 53-Maintenance And Operations 5310 R & M Building 647 300 300 300 5320 Motor Vehicle Fuel 1,017 1,000 1,000 1,000 5325 R & M Motor Vehicle 680 225 225 225 5332 Office Machine Lease 1,407 2,000 2,000 1,867 Total 53-Maintenance And Operations 3,751 3,525 3,525 3,392   DEVELOPMENT SERVICES DEPARTMENT The City of Sanger, Texas Page 52 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 28-Development Services Expenditures Actual Budget Estimate Budget 54-Contract Services 5420 Contractual Services 183 800 800 - 5426 Credit Card Fees - - - 1,500 5430 Professional Services 3,171 6,200 6,200 11,700 5440 Health Inspections 4,150 9,000 9,000 9,000 5450 Technical Support 4,667 4,500 4,500 4,500 5451 Annual Software Support 3,250 5,750 5,750 5,750 Total 54-Contract Services 15,421 26,250 26,250 32,450 55-Utilities 5515 Electric 2,381 2,600 2,100 2,600 5516 Gas Service 804 900 700 720 5520 Cell Phone 1,200 1,200 1,200 1,200 Total 55-Utilities 4,385 4,700 4,000 4,520 Total 28-Development Services 244,151 221,413 220,757 280,235   DEVELOPMENT SERVICES DEPARTMENT The City of Sanger, Texas Page 53 Annual Budget 2016-2017     The City of Sanger, Texas Page 54 Annual Budget 2016-2017     The Street Department is responsible for maintaining the roads, streets, alleys, sidewalks and right of ways in the City of Sanger. They also maintain street signs. The Street Department serves as the liaison with contractors building new streets or rehabilitating old streets. Budget Summary 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Difference % Change Salaries & Benefits 193,410 236,031 237,320 241,509 5,478 2.32% Supplies & Materials 5,802 8,194 7,009 8,194 - 0.00% Maintenance & Operations 118,766 112,900 100,966 162,900 50,000 44.29% Contract Services - 4,800 4,800 4,800 - 0.00% Utilities 47,147 74,590 46,781 61,200 (13,390) -17.95% Capital Expenses 38,939 75,000 75,000 50,000 (25,000) -33.33% Debt Service 51,536 51,536 51,536 51,536 - 0.00% Total 455,600 563,051 523,413 580,139 17,088 3.03% Authorized Employees 2015 2016 2017 Full Time 3 4 4 Part Time 0 0 0   STREET DEPARTMENT The City of Sanger, Texas Page 55 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 30-Streets Expenditures Actual Budget Estimate Budget 51-Salaries And Benefits 5110 Regular Salaries 136,450 153,038 157,500 156,810 5111 Merit Increase - 3,060 3,060 3,137 5117 Vacation Compensation - 1,700 - 1,700 5120 Overtime 924 500 500 500 5125 Longevity 1,744 1,960 1,950 2,108 5130 F I C A 10,318 12,137 13,400 12,481 5140 Retirement 9,614 11,439 12,650 12,763 5150 Health Insurance 25,152 31,200 31,050 31,200 5160 Workers Comp 9,107 19,563 17,000 20,117 5170 T.E.C.32 1,284 10 693 5180 Medical/Physicals 50 100 150 - 5182 Background Checks 19 50 50 - Total 51-Salaries And Benefits 193,410 236,031 237,320 241,509 52-Supplies And Materials 5223 Chemical Supplies - 1,500 800 1,500 5230 Advertising 24 - - - 5235 Dues And Subscriptions 635 1,000 1,000 1,000 5240 Conferences And Training - 100 - 100 5255 Wearing Apparel 2,285 2,794 2,409 2,794 5260 Safety Equipment 1,583 2,800 2,800 2,800 5298 Non Capital Supplies & Materials 1,275 - - - Total 52-Supplies And Materials 5,802 8,194 7,009 8,194 53-Maintenance And Operations 5310 R & M Building 415 2,300 2,300 2,300 5320 Motor Vehicle Fuel 8,613 10,000 9,000 10,000 5325 R & M Motor Vehicle 8,341 9,000 4,726 9,000 5326 R & M Minor Equipment 2,097 5,000 7,500 5,000 5330 Equipment Rental 50 - - - 5360 System Maintenance 88,569 75,000 75,000 125,000 5380 Street Signs 10,456 11,600 2,400 11,600 5390 Radios 225 - 40 - Total 53-Maintenance And Operations 118,766 112,900 100,966 162,900 54-Contract Services 5420 Contract Services - 4,800 4,800 4,800 Total 54-Contract Services - 4,800 4,800 4,800   STREET DEPARTMENT The City of Sanger, Texas Page 56 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 30-Streets Expenditures Actual Budget Estimate Budget 55-Utilities 5515 Electric 46,547 73,990 46,181 60,000 5520 Cell Phone 600 600 600 1,200 Total 55-Utilities 47,147 74,590 46,781 61,200 61-Capital Outlay 6113 Sidewalk Improvements 38,939 - - 50,000 6145 Streets Equipment - 75,000 75,000 Total 61-Capital Outlay 38,939 75,000 75,000 50,000 70-Debt Payments 7006 Lease Payment 40,570 38,324 38,324 39,606 7099 Interest Expense 10,966 13,212 13,212 11,930 Total 70-Debt Payments 51,536 51,536 51,536 51,536 Total 30-Streets 455,600 563,051 523,413 580,139   STREET DEPARTMENT The City of Sanger, Texas Page 57 Annual Budget 2016-2017     The City of Sanger, Texas Page 58 Annual Budget 2016-2017     The Park Department is responsible for the maintenance operations associated with all City Park and Facilities; this department is also responsible for all building maintenance operations throughout the organization. The Parks Department is responsible for the brush removal program and vector control operations. Budget Summary 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Difference % Change Salaries & Benefits 275,325 299,572 302,766 313,170 13,598 4.54% Supplies & Materials 33,354 34,655 36,850 35,400 745 2.15% Maintenance & Operations 59,476 62,500 55,800 62,867 367 0.59% Contract Services 38,093 56,000 51,000 69,600 13,600 24.29% Utilities 21,133 33,913 26,870 26,900 (7,013) -20.68% Capital Expenses 28,664 62,700 62,000 29,000 (33,700) -53.75% Total 456,045 549,340 535,286 536,937 (12,403) -2.26% Authorized Employees 2015 2016 2017 Full Time 6 6 6 Part Time 322   PARKS DEPARTMENT The City of Sanger, Texas Page 59 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 32-Parks Expenditures Actual Budget Estimate Budget 51-Salaries And Benefits 5110 Regular Salaries 189,992 198,357 204,000 203,363 5111 Merit Increase - 3,967 - 4,067 5117 Vacation Compensation - 1,500 - 1,500 5119 Standby P Ay - - - 4,629 5120 Overtime 7,240 6,000 6,000 6,000 5125 Longevity Pay 1,172 1,460 1,384 1,648 5130 F I C A 14,181 15,635 18,000 16,854 5140 Retirement 13,708 14,736 17,000 17,234 5150 Health Insurance 41,479 46,800 44,700 46,800 5160 Worker's Compensation 6,778 9,217 11,500 9,935 5170 T.E.C.402 1,600 32 1,140 5180 Medical/Physicals 290 200 100 - 5185 Background Checks 83 100 50 - Total 51-Salaries And Benefits 275,325 299,572 302,766 313,170 52-Supplies And Materials 5210 Office Supplies - 100 600 600 5211 Landscape Material 2,028 4,000 6,400 5,000 5221 Beautification Board 1,362 - 50 - 5223 Chemical Supplies 8,686 19,000 19,000 20,000 5230 Advertising 127 100 100 100 5235 Dues And Subscriptions 4,283 440 2,200 500 5240 Conferences And Training 41 2,515 2,200 2,500 5245 Janitorial Supplies 1,910 2,000 1,300 1,500 5250 Tools & Equipment 2,758 2,800 2,500 2,800 5255 Wearing Apparel 2,730 2,400 2,200 2,400 5260 Safety Equipment 1,125 1,000 - - 5270 Program Supplies 2,052 - - - 5285 Furniture And Fixtures - 300 300 - 5298 Non Capital Supplies And Materials 6,252 - - - Total 52-Supplies And Materials 33,354 34,655 36,850 35,400   PARKS DEPARTMENT The City of Sanger, Texas Page 60 Annual Budget 2016-2017     32-Parks Expenditures Actual Budget Estimate Budget 53-Maintenance And Operations 5310 R&M Building And Structures 1,673 2,500 1,000 2,000 5320 Motor Vehicle Fuel 13,094 15,000 14,000 15,000 5325 R & M Motor Vehicle 2,689 9,500 6,000 8,000 5326 R & M Minor Equipment 3,748 3,000 3,000 3,000 5329 Christmas Lights & Accessories 11,796 2,500 3,800 4,000 5332 Office Machine Lease - - - 1,867 5333 Flags 484 1,500 1,500 1,500 5343 Park Maintenance 23,841 25,000 25,000 26,000 5345 Lease Equipment 780 1,000 500 500 5360 System Maintenance 1,371 2,500 1,000 1,000 Total 53-Maintenance And Operations 59,476 62,500 55,800 62,867 54-Contract Services 5471 Contract Tree Maintenance 2,902 3,000 3,000 3,000 5472 Contract Mowing 12,244 23,000 23,000 36,600 5475 Part-Time Salaries 22,947 30,000 25,000 30,000 Total 54-Contract Services 38,093 56,000 51,000 69,600 55-Utilities 5510 32-5510 Telephone Service - 1,750 - - 5515 32-5515 Electric 20,286 30,284 25,000 25,000 5516 Gas Service - 1,279 1,270 1,300 5520 32-5520 Cell Phone 847 600 600 600 Total 55-Utilities 21,133 33,913 26,870 26,900 61-CAP 6130 Vehicles 28,664 - - - 6135 Mobile Equipment - 7,900 7,900 - 6137 Tractor & Riding Mowers 47,000 46,300 14,000 6140 Parks Improvements - 7,800 7,800 - 6145 Parks Equipment - - - 15,000 Total 61-Capital Outlay 28,664 62,700 62,000 29,000 Total 32-Parks 456,045 549,340 535,286 536,937   PARKS DEPARTMENT The City of Sanger, Texas Page 61 Annual Budget 2016-2017     The City of Sanger, Texas Page 62 Annual Budget 2016-2017     The Recreation Department is responsible for organizing, planning and implementation of all Department Special Events. This Department also coordinates with all athletic leagues for facility scheduling and usage. This Department also serves the administration function for Parks, Fire as well as Recreation. Budget Summary 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Difference % Change Salaries & Benefits - - - 52,634 52,634 0.00% Supplies & Materials 1,800 5,400 5,400 14,200 8,800 162.96% Maintenance & Operations 10,050 10,250 10,250 10,250 - 0.00% Contract Services 5,000 5,000 5,000 16,755 11,755 235.10% Utilities 15,800 5,800 5,000 6,600 800 13.79% Total 32,650 26,450 25,650 100,439 73,989 279.73% Authorized Employees 2015 2016 2017 Full Time 0 0 1 Part Time 000   RECREATION DEPARTMENT The City of Sanger, Texas Page 63 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 34-Recreation Expenditures Actual Budget Estimate Budget 51-Salaries And Benefits 5110 Regular Salaries - - - 36,764 5111 Merit Increase - - - 735 5120 Overtime - - - 1,000 5125 Longevity Pay - - - 212 5130 F I C A - - - 2,961 5140 Retirement - - - 2,810 5150 Health Insurance - - - 7,800 5160 Worker's Compensation - - - 181 5170 T.E.C.- - - 171 Total 51-Salaries And Benefits - - - 52,634 52-Supplies And Materials 5211 Landscape Material 400 - - - 5213 Building Supplies 400 - - - 5215 Food - 500 500 500 5230 Advertising - 200 200 500 5245 Janitorial Supplies 1,000 - - - 5270 Program Supplies/Special Events - 4,700 4,700 10,200 5280 Computers - - - 3,000 Total 52-Supplies And Materials 1,800 5,400 5,400 14,200 53-Maintenance And Operations 5310 R&M Building And Structures 9,000 9,000 9,000 9,000 5345 Lease Equipment 800 - - - 5347 Vandalism Replacement 250 250 250 250 5360 System Maintenance - 1,000 1,000 1,000 Total 53-Maintenance And Operations 10,050 10,250 10,250 10,250 54-Contract Services 5430 Professional Services 5,000 5,000 5,000 16,755 Total 54-Contract Services 5,000 5,000 5,000 16,755 55-Utilities 5515 34-5515 Electric 5,000 5,000 4,000 5,000 5516 Gas Service 800 800 1,000 1,000 5520 34-5520 Cell Phone - - - 600 Total 55-Utilities 15,800 5,800 5,000 6,600 Total 34-Recreation 32,650 26,450 25,650 100,439   RECREATION DEPARTMENT The City of Sanger, Texas Page 64 Annual Budget 2016-2017     The Library provides written, audio and video materials for loan to the public. The library also provides computer and internet access free of charge. Librarians assist customers with researching a wide range of subjects. The Library also provides a wide range of educational programs to both adults and children. Budget Summary 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Difference % Change Salaries & Benefits 191,725 212,055 202,964 213,351 1,296 0.61% Supplies & Materials 28,914 36,025 32,452 35,350 (675) -1.87% Maintenance & Operations 5,635 9,311 8,450 8,500 (811) -8.71% Contract Services 7,392 5,100 4,967 13,550 8,450 165.69% Utilities 7,511 9,749 6,000 8,000 (1,749) -17.94% Capital Expenses 6,121 - - - - - Total 247,298 272,240 254,833 278,751 6,511 2.39% Authorized Employees 2015 2016 2017 Full Time 3 3 3 Part Time 222   LIBRARY DEPARTMENT The City of Sanger, Texas Page 65 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 42-Library Expenditures Actual Budget Estimate Budget 51-Salaries And Benefits 5110 Regular Salaries 128,100 131,000 131,000 131,977 5111 Merit Increase 2,700 3,456 5112 Temp/Part Time Salaries 19,975 29,190 23,050 30,000 5117 Vacation Compensation - 500 - - 5120 Overtime - 200 - - 5125 Longevity Pay 864 1,008 1,000 1,152 5130 F I C A 10,768 12,579 12,900 10,551 5140 Retirement 8,966 9,406 10,600 10,788 5150 Health Insurance 22,279 23,400 23,500 23,400 5160 Worker's Compensation 420 772 700 837 5170 T.E.C.253 1,200 24 1,190 5180 Medical/Physicals 70 50 140 - 5182 Background Checks 30 50 50 - 5185 Flex Fees Total 51-Salaries And Benefits 191,725 212,055 202,964 213,351 52-Supplies And Materials 5200 Print Books/Materials 14,747 9,550 9,400 9,000 5201 Periodicals 860 1,150 719 1,100 5202 E-Books And E-Audio - 5,000 4,200 4,500 5203 Audiobooks - 1,500 1,500 2,000 5204 Dads - 1,500 1,400 1,500 5205 Other Electronic Services - 250 150 450 5206 Other Collection Materials - 300 200 300 5207 Library Supplies - 1,000 1,000 1,000 5208 Program Supplies - 700 700 900 5209 Program Services - 5,500 4,300 5,000 5210 Office Supplies 2,234 2,800 2,600 2,800 5215 Food - 50 50 75 5220 Postage - - - - 5235 Dues & Registrations 1,273 1,675 1,400 1,675 5240 Conferences And Training 1,183 1,750 1,600 1,750 5245 Janitorial Supplies 1,138 1,500 1,400 1,500 5270 Programs And Library Supplies 1,326 - - - 5280 Computer Systems - 1,200 1,200 1,200 5285 Furniture And Fixtures 106 600 633 600 5298 Non Capital Supplies And Materials 6,047 - - - Total 52-Supplies And Materials 28,914 36,025 32,452 35,350   LIBRARY DEPARTMENT The City of Sanger, Texas Page 66 Annual Budget 2016-2017     42-Library Expenditures Actual Budget Estimate Budget 53-Maintenance And Operations 5310 R & M Building 2,386 6,000 5,000 5,000 5326 R&M Minor Equipment 733 700 700 700 5332 Office Machine Lease 2,516 2,611 2,750 2,800 Total 53-Maintenance And Operations 5,635 9,311 8,450 8,500 54-Contract Services 5420 Contractual Services 4,095 2,200 2,567 2,650 5430 Professional Services - - - 8,000 5450 Technical Support 255 1,100 800 1,100 5451 Annual Software Support 3,042 1,800 1,600 1,800 Total 54-Contract Services 7,392 5,100 4,967 13,550 55-UTI 5510 Telephone Services - 611 - - 5515 Electric 6,711 8,538 5,000 7,000 5520 Cell Phone 800 600 1,000 1,000 Total 55-Utilities 7,511 9,749 6,000 8,000 61-Capital Outlay 6120 Building Improvements 6,121 - - - Total 61-Capital Outlay 6,121 - - - Total 42-Library 247,298 272,240 254,833 278,751   LIBRARY DEPARTMENT The City of Sanger, Texas Page 67 Annual Budget 2016-2017     The City of Sanger, Texas Page 68 Annual Budget 2016-2017     The City contracts with Progressive Waste Management for solid waste services in the City of Sanger. Progressive is responsible for providing residential and commercial waste management services to the businesses, schools, and residents of Sanger. Budget Summary 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Difference % Change Contract Services 672,157 700,000 665,000 700,000 - 0.00% Total 672,157 700,000 665,000 700,000 - 0.00% Authorized Employees 2015 2016 2017 Full Time 0 0 0 Part Time 000   SOLID WASTE DEPARTMENT The City of Sanger, Texas Page 69 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 66-Solid Waste Expenditures Actual Budget Estimate Budget 54-Contract Services 5420 Contractual 672,157 700,000 665,000 700,000 Total 54-Contract Services 672,157 700,000 665,000 700,000 Total 66-Solid Waste 672,157 700,000 665,000 700,000   SOLID WASTE DEPARTMENT The City of Sanger, Texas Page 70 Annual Budget 2016-2017     The City transfers between funds in order to properly account for revenues and expenses. Budget Summary 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Difference % Change Transfers 714,493 806,869 806,869 1,012,045 205,176 25.43% Total 714,493 806,869 806,869 1,012,045 205,176 25.43% Authorized Employees 2015 2016 2017 Full Time 0 0 0 Part Time 000   TRANSFERS TO OTHER FUNDS The City of Sanger, Texas Page 71 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 74-Transfers Actual Budget Estimate Budget 74-Transfers 7404 Transfer To Capital Improvement Fund 364,493 350,000 350,000 550,000 7499 Transfer To Internal Service Fund 350,000 456,869 456,869 462,045 Total Transfers 714,493 806,869 806,869 1,012,045   TRANSFERS TO OTHER FUNDS The City of Sanger, Texas Page 72 Annual Budget 2016-2017     The Debt Service Fund accounts for the receipt of funds from a tax levy and other sources for the accumulation of funds to meet the principal and interest obligations on General Fund Obligations. The State of Texas limits the ad valorem tax rate to $2.50 per $100 of assessed valuation for all City purposes. The City’s adopted tax rate of $0.551806 for maintenance and operations plus $0.127694 for debt service equals the total tax rate of $0.6795, which is well below the maximum rates allowed by law.   DEBT SERVICE FUND The City of Sanger, Texas Page 73 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 Actual Budget Estimate Budget Beginning Fund Balance 236,535 248,761 248,761 248,760 Revenues Property Taxes 796,750 790,723 790,723 676,038 Interest Income 115 100 100 100 Total General Fund Revenues 796,865 790,823 790,823 676,138 Other Sources Transfers In 212,500 212,500 212,500 212,500 Total Other Sources 212,500 212,500 212,500 212,500 Total Revenues/Sources 1,009,365 1,003,323 1,003,323 888,638 Expenditures Debt Service 838,604 836,788 836,788 790,583 Total Expenditures 838,604 836,788 836,788 790,583 Other Uses Transfers Out 158,535 166,536 166,536 107,999 Total Other Uses 158,535 166,536 166,536 107,999 Total Expenses/Uses 997,139 1,003,324 1,003,324 898,582 Excess of Revenues/Sources 12,226 (1) (1) (9,944) over Expenditures/Uses Ending Fund Balance 248,761 248,760 248,760 238,816   DEBT SERVICE FUND BUDGET SUMMARY The City of Sanger, Texas Page 74 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 Actual Budget Estimate Budget 70-Debt Payments 7020 Co 2006 Principal 202,400$ 211,600$ -$ -$ 7021 Co 2006 Interest 67,411 59,316 29,658$ - 7023 Co 2007 Principal 25,500 27,200 27,200$ 28,900 7024 Co 2007 Interest 19,519 18,401 18,401$ 17,204 7026 Co 2009 Principal 165,000 170,000 170,000$ 175,000 7027 Co 2009 Interest 104,150 98,375 98,375$ 92,425 7028 Refunding 2012 Principal 182,600 184,800 184,800$ 154,000 7029 Refunding 2012 Interest 31,614 27,962 27,962$ 22,418 7030 Co 2013 Principal 19,800 19,800 19,800$ 20,400 7031 Co 2013 Interest 19,230 18,834 18,834$ 18,438 7037 Refunding 2016 Principal - - 6,900$ 218,500 7038 Refunding 2016 Interest - - 9,129$ 41,998 7080 Bond Administration Fees 1,380 500 500$ 1300 Total Debt Payments 838,604$ 836,788$ 611,559$ 790,583$ 74-Transfers 7401 Transfer To General Fund 158,535 166,536 166,536 107,999 Total 74-Transfers 158,535 166,536 166,536 107,999 Total Debt Service 997,139 1,003,324 778,095 898,582   DEBT SERVICE FUND EXPENDITURES The City of Sanger, Texas Page 75 Annual Budget 2016-2017     Fiscal Year Principal Interest Total 2017 688,157 209,125 897,282 2018 701,108 188,603 889,711 2019 731,548 163,149 894,697 2020 703,516 136,562 840,078 2021 699,979 111,337 811,316 2022 320,190 84,765 404,955 2023 334,652 71,541 406,193 2024 346,867 57,435 404,302 2025 309,300 42,687 351,987 2026 323,900 28,193 352,093 2027 71,800 13,023 84,823 2028 28,800 9,768 38,568 2029 30,600 8,400 39,000 2030 31,800 6,870 38,670 2031 33,600 5,280 38,880 2032 35,400 3,600 39,000 2033 36,600 1,830 38,430 Total 5,427,817 1,142,168 6,569,985 Debt Service Fund Annual Debt Service Requirements  ‐  100,000  200,000  300,000  400,000  500,000  600,000  700,000  800,000  900,000  1,000,000 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 Debt Service Fund Annual Debt Service Requirements Principal Interest   DEBT SERVICE FUND REQUIREMENTS The City of Sanger, Texas Page 76 Annual Budget 2016-2017     The Enterprise Fund is the financial structure used for the accounting of providing water, sanitary sewer, and electric services to the residents of the City and for the billing and collection of charges to customers for these services. The Enterprise Fund receives revenues from the billing of water, waste water and electric, interest income and other miscellaneous revenue sources. The Enterprise Fund includes these departments: o Water o Waste Water o Electric o Debt Service The basis of accounting for the Enterprise Fund for both financial reporting is the accrual basis.   ENTERPRISE FUND The City of Sanger, Texas Page 77 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 Actual Budget Estimate Budget Beginning Fund Balance 13,777,662 14,203,952 14,203,952 14,642,032 Revenues Water 1,486,426 1,662,500 1,486,426 1,740,000 Waste Water 1,343,170 1,568,000 1,343,170 1,700,000 Electric 8,067,223 8,090,250 8,049,480 8,087,500 Penalties and Fees 207,444 205,000 204,450 210,000 Interest Income 10,818 12,000 15,712 15,000 Miscellaneous 39,739 36,500 36,242 42,000 Total Enterprise Fund Revenues 11,154,820 11,574,250 11,135,480 11,794,500 Expenditures Salaries & Benefits 969,655 1,057,436 1,051,023 1,091,683 Supplies & Materials 78,697 80,790 80,649 83,590 Maintenance & Operations 6,585,567 6,906,080 6,245,436 6,754,919 Contract Services 36,820 76,200 49,412 76,200 Utilities 323,233 410,139 312,332 341,850 Capital Expenses 129,889 271,402 218,500 253,522 Debt Service 1,086,284 1,108,938 1,097,221 1,344,919 Total Expenditures 9,210,145 9,910,985 9,054,573 9,946,683 Other Uses Transfers Out 1,518,385 1,642,827 1,642,827 1,654,904 Total Other Uses 1,518,385 1,642,827 1,642,827 1,654,904 Total Expenses/Uses 10,728,530 11,553,812 10,697,400 11,601,587 Excess of Revenues/Sources 426,290 20,438 438,080 192,913 over Expenditures/Uses Ending Fund Balance 14,203,952 14,224,390 14,642,032 14,834,945   ENTERPRISE FUND BUDGET SUMMARY The City of Sanger, Texas Page 78 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 Actual Budget Estimate Budget Water 4110 Water Billing 1,461,476 1,650,000 1,461,476 1,720,000 4112 Water Meter Revenue 24,950 12,500 24,950 20,000 Total Water 1,486,426 1,662,500 1,486,426 1,740,000 4120 Total Sewer 1,343,170 1,568,000 1,343,170 1,700,000 Electric 4140 Electric Income 7,980,094 8,000,000 7,980,094 8,000,000 4141 Security Lights 69,160 70,000 69,160 70,000 4146 Pole Contact Fee 17,570 17,500 - 17,500 4147 Saw Set Pole Fees 60 2,500 120 - 4148 Meter Bases 339 250 106 - Total Electric 8,067,223 8,090,250 8,049,480 8,087,500 Penalties & Fees 4151 Penalties 147,464 150,000 144,990 150,000 4152 Service Fees 59,980 55,000 59,460 60,000 Total Penalties and Fees 207,444 205,000 204,450 210,000 4800 Total Interest 10,818 12,000 15,712 15,000 Miscellaneous Income 4910 Miscellaneous Income 11,434 10,000 3,408 10,000 4913 Credit Card Fees 26,590 25,000 30,524 30,000 4930 Returned Check Fees 1,715 1,500 2,310 2,000 Total Miscellaneous 39,739 36,500 36,242 42,000 Total Revenues 11,154,820 11,574,250 11,135,480 11,794,500   ENTERPRISE FUND REVENUES The City of Sanger, Texas Page 79 Annual Budget 2016-2017     The City of Sanger, Texas Page 80 Annual Budget 2016-2017     The Water Department operates and maintains the city's potable water system providing service to over 2000 customers. Budget Summary 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Difference % Change Salaries & Benefits 298,897 372,397 322,204 365,653 (6,744) -1.81% Supplies & Materials 17,265 19,500 24,300 22,500 3,000 15.38% Maintenance & Operations 555,347 612,325 601,380 609,325 (3,000) -0.49% Contract Services 4,352 8,500 9,500 8,500 - 0.00% Utilities 152,605 189,718 150,000 161,000 (28,718) -15.14% Capital Expenses 44,153 213,402 218,500 167,771 (45,631) -21.38% Total 1,072,619 1,415,842 1,325,884 1,334,749 (81,093) -5.73% Authorized Employees 2015 2016 2017 Full Time 5 6 6 Part Time 000   WATER DEPARTMENT The City of Sanger, Texas Page 81 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 50-Water Expenditures Actual Budget Estimate Budget 51-Salaries And Benefits 5110 Regular Salaries 202,578 237,680 206,500 225,565 5111 Merit Increase - 4,754 4,754 4,511 5112 Part-Time Salaries 2,919 - - - 5117 Vacation Compensation - 2,000 - 2,000 5119 Standby Pay - - - 2,392 5120 Overtime 17,858 26,000 16,400 26,000 5125 Longevity Pay 1,308 1,521 3,100 1,692 5130 F I C A 16,379 19,168 18,700 19,948 5140 Retirement 14,879 18,066 17,900 20,398 5150 Health Insurance 36,251 46,800 39,500 46,800 5160 Worker's Compensation 6,429 14,558 15,000 15,150 5170 T.E.C.192 1,700 - 1,197 5180 Medical/Physicals 85 100 300 - 5182 Background Checks 19 50 50 - Total 51-Salaries And Benefits 298,897 372,397 322,204 365,653 52-Supplies And Materials 5210 Office Supplies 893 - - - 5220 Postage 503 1,500 1,500 1,500 5223 Chemical Supplies 3,290 6,000 4,500 6,000 5230 Advtg (Wa. Drinking)1,620 1,300 1,300 1,300 5235 Dues And Subscriptions 1,993 3,000 3,000 3,000 5240 Conferences And Training - 200 - 200 5245 Janitorial Supplies - - - - 5250 Minor Tools 2,040 2,500 6,500 5,000 5255 Wearing Apparel 2,934 2,500 5,000 3,000 5260 Safety Equipment 1,260 2,500 2,500 2,500 5298 Non Capital Supplies And Materials 2,732 - - - Total 52-Supplies And Materials 17,265 19,500 24,300 22,500   WATER DEPARTMENT The City of Sanger, Texas Page 82 Annual Budget 2016-2017     50-Water Expenditures Actual Budget Estimate Budget 53-Maintenance And Operations 5310 R & M Building 6,070 1,525 1,000 1,025 5320 Motor Vehicle Fuel 15,187 22,000 10,000 15,000 5325 R & M Motor Vehicle 2,225 7,500 15,000 7,500 5326 R & M Minor Equipment 925 5,000 1,000 5,000 5335 Permit Fees 27,843 34,500 34,500 34,500 5345 Lease Equipment 780 800 300 800 5350 Franchise Fees 78,500 99,000 99,000 99,000 5358 Water Main Application 985 - - - 5360 System Maintenance 94,960 70,000 70,000 70,000 5372 Water Meter & Boxes 62,957 40,000 45,000 50,000 5373 R & M Water Wells 26,142 30,000 70,000 30,000 5374 R & M Scada 2,145 10,000 10,000 10,000 5377 Testing 3,851 12,000 5,500 8,000 5385 Water Purchase 61,184 75,000 65,000 65,000 5386 Utility Dem and Charge 196,755 205,000 175,000 213,500 5390 Radios 225 - 80 - 5399 Inventory Adjustment (25,387) - - - Total 53-Maintenance And Operations 555,347 612,325 601,380 609,325 54-Contract Services 5430 Professional Svcs 2,832 7,500 7,500 7,500 5450 Technical Support 1,520 1,000 2,000 1,000 Total 54-Contract Services 4,352 8,500 9,500 8,500 55-Utilities 5510 50-5510 Telephone Services - 1,335 - - 5515 50-5515 Electric 151,717 187,483 150,000 160,000 5520 50-5520 Cell Phone 888 900 - 1,000 Total 55-Utilities 152,605 189,718 150,000 161,000 61-Capital Outlay 6130 Vehicles 29,332 31,100 30,000 - 6135 Mobile Equipment 92,302 98,500 77,771 6140 Other Improvements 14,821 - - - 6145 Water Equipment - 90,000 90,000 90,000 Total 61-Capital Outlay 44,153 213,402 218,500 167,771 Total 50-Water 1,072,619 1,415,842 1,325,884 1,334,749   WATER DEPARTMENT The City of Sanger, Texas Page 83 Annual Budget 2016-2017     The City of Sanger, Texas Page 84 Annual Budget 2016-2017     The Waste Water department is responsible for the collection and treatment of waste water through the City's sanitary sewer system. Budget Summary 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Difference % Change Salaries & Benefits 149,121 151,071 165,804 157,754 6,683 4.42% Supplies & Materials 10,311 18,540 12,540 18,340 (200) -1.08% Maintenance & Operations 150,603 329,540 244,380 281,380 (48,160) -14.61% Contract Services - 500 250 500 - 0.00% Utilities 162,008 208,064 155,100 170,600 (37,464) -18.01% Capital Expenses 45,736 - - - - - Total 517,779 707,715 578,074 628,574 (79,141) -11.18% Authorized Employees 2015 2016 2017 Full Time 2 2 2 Part Time 000   WASTE WATER DEPARTMENT The City of Sanger, Texas Page 85 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 54-Waste Water Expenditures Actual Budget Estimate Budget 51-Salaries And Benefits 5110 54-5110 Regular Salaries 99,456 95,000 108,400 99,575 5111 54-5111 Merit Increase - 1,862 1,862 1,992 5117 54-5117 Vacation Compensation - 1,000 - 1,000 5119 Standby Pay - - - 5,044 5120 54-5120 Overtime 15,743 15,000 14,300 10,000 5125 54-5125 Longevity Pay 856 952 952 1,048 5130 54-5130 F I C A 7,998 8,707 9,550 9,047 5140 54-5140 Retirement 8,041 8,422 9,790 9,251 5150 54-5150 Health Insurance 15,002 15,600 16,100 15,600 5160 54-5160 Worker's Compensation 2,007 3,678 4,000 4,684 5170 54-5170 T.E.C.18 750 750 513 5180 54-5180 Medical/Physicals - 50 50 - 5182 54-5182 Background Checks - 50 50 - Total 51-Salaries And Benefits 149,121 151,071 165,804 157,754 52-Supplies And Materials 5223 Chemical Supplies 4,560 10,000 5,000 10,000 5235 Dues And Subscriptions 272 1,500 1,000 1,500 5240 Conferences And Training 40 200 - - 5245 Janitorial Supplies - 200 100 200 5250 Tools & Equipment 2,278 1,500 1,500 1,500 5255 Wearing Apparel 924 1,140 1,140 1,140 5260 Safety Equipment 922 2,000 2,000 2,000 5270 Laboratory Supplies - 1,500 1,500 1,500 5285 Furniture And Fixtures - 500 300 500 5298 Non Capital Supplies And Materials 1,315 - - - Total 52-Supplies And Materials 10,311 18,540 12,540 18,340 53-Maintenance And Operations 5310 R & M Building 1,558 5,000 2,500 5,000 5325 R & M Motor Vehicle 595 1,000 1,500 1,000 5326 R & M Equipment - 500 500 500 5335 Permit Fees 8,785 20,800 20,800 20,800 5350 Franchise Fees 70,000 94,080 94,080 94,080 5358 Collection System Maintenance 10,866 40,000 - - 5360 Plant Maintenance 37,258 158,160 115,000 150,000 5377 Testing 7,110 10,000 10,000 10,000 5398 Non Cap Maint & Operations 14,431 - - - Total 53-Maintenance And Operations 150,603 329,540 244,380 281,380   WASTE WATER DEPARTMENT The City of Sanger, Texas Page 86 Annual Budget 2016-2017     54-Waste Water Expenditures Actual Budget Estimate Budget 54-Contract Services 5450 Technical Support - 500 250 500 Total 54-Contract Services - 500 250 500 55-Utilities 5510 Telephone Services - - - - 5515 Electric 155,748 197,464 150,000 160,000 5520 Cell Phone 600 600 600 600 5535 Solid Waste 5,660 10,000 4,500 10,000 Total 55-Utilities 162,008 208,064 155,100 170,600 61-Capital Outlay 6140 Other Improvements 45,736 - - - Total 61-Capital Outlay 45,736 - - - Total 54-Waste Water 517,779 707,715 578,074 628,574   WASTE WATER DEPARTMENT The City of Sanger, Texas Page 87 Annual Budget 2016-2017     The City of Sanger, Texas Page 88 Annual Budget 2016-2017     The electric department provides service to over 2000 customers and maintains the electrical distribution system with the City's Electric service area. Budget Summary 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Difference % Change Salaries & Benefits 521,637 533,968 563,015 568,276 34,308 6.43% Supplies & Materials 51,121 42,750 43,809 42,750 - 0.00% Maintenance & Operations 5,879,617 5,964,215 5,399,676 5,864,214 (100,001) -1.68% Contract Services 32,468 67,200 39,662 67,200 - 0.00% Utilities 8,620 12,357 7,232 10,250 (2,107) -17.05% Capital Expenses 40,000 58,000 - 85,751 27,751 47.85% Debt Service 50,235 57,283 100,468 128,052 70,769 123.54% Total 6,583,698 6,735,773 6,153,862 6,766,493 30,720 0.46% Authorized Employees 2015 2016 2017 Full Time 7 7 7 Part Time 000   ELECTRIC DEPARTMENT The City of Sanger, Texas Page 89 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 58-Electric Expenditures Actual Budget Estimate Budget 51-Salaries And Benefits 5110 Regular Salaries 396,137 385,468 412,300 405,760 5111 Merit Increase - 7,709 7,709 8,116 5117 Vacation Compensation - 5,500 - - 5119 Standby Pay - - - 10,845 5120 Overtime 7,099 7,500 5,300 7,500 5125 Longevity Pay 4,720 5,056 5,056 5,392 5130 F I C A 28,831 30,556 34,000 33,569 5140 Retirement 28,272 28,799 33,700 34,326 5150 Health Insurance 51,980 54,600 54,800 54,600 5160 Worker's Compensation 4,485 6,180 10,000 6,828 5170 T.E.C.63 2,500 - 1,340 5180 Medical/Physicals 50 50 150 - 5182 Background Checks - 50 - - Total 51-Salaries And Benefits 521,637 533,968 563,015 568,276 52-Supplies And Materials 5210 Office Supplies 732 2,000 2,359 2,000 5215 Food 378 500 500 500 5230 Advertising 715 900 900 900 5235 Dues And Subscriptions 11,308 5,000 10,100 5,000 5240 Conferences And Training 725 5,000 600 5,000 5245 Janitorial Supplies 581 750 750 750 5250 Tools & Equipment 3,694 12,000 12,000 12,000 5255 Wearing Apparel 8,877 8,600 8,600 8,600 5260 Safety Equipment 9,321 8,000 8,000 8,000 5298 Non Capital Supplies And Materials 14,790 - - - Total 52-Supplies And Materials 51,121 42,750 43,809 42,750   ELECTRIC DEPARTMENT The City of Sanger, Texas Page 90 Annual Budget 2016-2017     58-Electric Expenditures Actual Budget Estimate Budget 53-Maintenance And Operations 5310 R & M Building 2,204 4,000 4,000 4,000 5320 Motor Vehicle Fuel 10,727 20,000 20,000 20,000 5325 R & M Motor Vehicle 22,760 20,000 20,000 20,000 5326 R & M Minor Equipment 1,327 4,000 4,000 4,000 5329 Christmas Display 3,887 3,800 3,800 3,800 5330 Equipment Rental 306 5,000 5,000 3,000 5340 Hazardous Waste Disposal - 1,000 1,000 1,000 5345 Lease Equipment 1,344 1,500 1,500 1,500 5347 Vandalism Replacement - 1,000 1,000 1,000 5350 Franchise Fees 398,750 485,415 485,414 485,414 5355 Meter Maintenance 7,653 14,500 14,500 14,500 5360 System Maintenance 49,951 155,000 155,000 155,000 5365 Transformers 11,910 49,000 49,000 49,000 5384 Transmission Costs 837,256 1,000,000 837,956 900,000 5385 Wholesale Utility Purchase 4,551,008 4,200,000 3,764,298 4,200,000 5386 Fines & Penalties - - 33,168 - 5390 Radios Electric 150 - 40 2,000 5399 Inventory Adjustment (19,616) - - - Total 53-Maintenance And Operations 5,879,617 5,964,215 5,399,676 5,864,214 54-Contract Services 5440 Engineering Architect - 6,000 - 6,000 5450 Technical Support 5,060 5,600 5,560 5,600 5451 Annual Software Support 1,211 2,000 - 2,000 5470 Contract Utility Work 1,200 25,000 5,502 25,000 5471 Contract Tree Trimming 24,997 28,600 28,600 28,600 Total 54-Contract Services 32,468 67,200 39,662 67,200 55-Utilities 5510 Telephone Services - 1,231 - - 5515 Electric 7,157 9,026 6,000 9,000 5520 Cell Phone 1,463 2,100 1,232 1,250 Total 55-Utilities 8,620 12,357 7,232 10,250   ELECTRIC DEPARTMENT The City of Sanger, Texas Page 91 Annual Budget 2016-2017     58-Electric Expenditures Actual Budget Estimate Budget 61-Capital Outlay 6130 Vehicles 40,000 58,000 - 33,151 6135 Mobile Equipment - - - 52,600 Total 61-Capital Outlay 40,000 58,000 - 85,751 70-Debt Payments 7020 Lease Payment 46,333 54,500 95,366 120,147 7099 Interest Expense 3,902 2,783 5,102 7,905 Total Other Expenditures 50,235 57,283 100,468 128,052 Total 58-Electric 6,583,698 6,735,773 6,153,862 6,766,493   ELECTRIC DEPARTMENT The City of Sanger, Texas Page 92 Annual Budget 2016-2017     Debt Service is used to pay principal, interest, and bond fees on the City's debt. Budget Summary 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Difference % Change Debt Service 1,036,049 1,051,655 996,753 1,216,867 165,212 15.71% Total 1,036,049 1,051,655 996,753 1,216,867 165,212 15.71% Authorized Employees 2015 2016 2017 Full Time 0 0 0 Part Time 000   DEBT SERVICE The City of Sanger, Texas Page 93 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 70-Debt Service Actual Budget Estimate Budget 70-Debt Payments 7017 N/P Meter System Principal 70,492 - - - 7018 N/P Meter System Interest 1,378 - - - 7022 Co 2006 Principal 237,600 248,400 - - 7023 Co 2006 Interest 79,136 69,632 34,816 - 7025 Co 2007 Principal 49,500 52,800 52,800 56,100 7026 Co 2007 Interest 37,891 35,719 35,719 33,396 7028 Go Refunding 2012 Principal 232,400 235,200 235,200 196,000 7029 Go Refunding 2012 Interest 40,236 35,588 35,588 28,532 7030 Co 2013 Principal 145,200 145,200 145,200 149,600 7032 Co 2013 Interest 141,020 138,116 138,116 135,212 7035 Co 2015 Principal - 90,000 100,548 115,000 7036 Co 2015 Interest - - 198,949 195,725 7037 Refunding 2016 Principal - - 8,100 256,500 7038 Refunding 2016 Interest - - 10,717 49,302 7080 Bond Administration Fees 1,196 1,000 1,000 1,500 Total Debt Service 1,036,049 1,051,655 996,753 1,216,867   DEBT SERVICE The City of Sanger, Texas Page 94 Annual Budget 2016-2017     The City transfers between funds in order to properly account for revenues and expenses. Budget Summary 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Difference % Change Transfers 1,518,385 1,642,827 1,642,827 1,654,904 12,077 0.74% Total 1,518,385 1,642,827 1,642,827 1,654,904 12,077 0.74% Authorized Employees 2015 2016 2017 Full Time 0 0 0 Part Time 000   TRANSFERS TO OTHER FUNDS The City of Sanger, Texas Page 95 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 74-Transfers Actual Budget Estimate Budget 74-Transfers 7401 Transfer To General Fund 250,000 150,000 150,000 150,000 7441 Transfer To 4A 25,000 25,000 25,000 25,000 7454 Transfer To WW Cap 140,000 156,800 156,800 156,800 7458 Transfer To Electric Storm Recovery 167,900 160,000 160,000 160,000 7480 Transfer Pilot 85,000 85,000 85,000 85,000 7499 Transfer To Internal Service Fund 850,485 1,066,027 1,066,027 1,078,104 Total Transfers 1,518,385 1,642,827 1,642,827 1,654,904   TRANSFERS TO OTHER FUNDS The City of Sanger, Texas Page 96 Annual Budget 2016-2017     Revenues and expenses related to services provided to organizations inside the City on a cost reimbursement basis are accounted for in an Internal Service Fund. The City’s Internal Service Fund was set up to provide administrative support services to other Funds of the City. The Internal Service Fund receives revenues from transfers from the General Fund and the Enterprise Fund. The Internal Service Fund includes these departments: o Mayor and Council o Administration o Public Works Administration o Finance o Fleet Services o Non-Departmental The basis of accounting for the Internal Service Fund for both financial reporting and budgeting is the modified accrual basis.   INTERNAL SERVICE FUND The City of Sanger, Texas Page 97 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 Actual Budget Estimate Budget Beginning Fund Balance - - - - Revenues Transfers In 1,214,978 1,522,896 1,391,341 1,540,149 Total Internal Service Fund Revenues 1,214,978 1,522,896 1,391,341 1,540,149 Expenditures Salaries & Benefits 819,071 1,010,679 925,859 1,001,803 Supplies & Materials 71,359 105,460 104,412 105,990 Maintenance & Operations 29,236 63,957 37,986 50,900 Contract Services 256,618 305,700 287,628 326,062 Utilities 38,694 37,100 34,300 42,094 Capital Expenses - - 1,156 13,300 Total Expenditures 1,214,978 1,522,896 1,391,341 1,540,149 Excess of Revenues over Expenditures - - - - Ending Fund Balance - - - -   INTERNAL SERVICE FUND BUDGET SUMMARY The City of Sanger, Texas Page 98 Annual Budget 2016-2017     The City Council is elected by the people and is responsible for setting general policy and direction for city government. The Council's budget is split between the General fund and Enterprise fund. The Council's budget includes funds to pay for legal services, audit services and elections. Budget Summary 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Difference % Change Salaries & Benefits 102 125 123 125 - 0.00% Supplies & Materials 6,699 13,500 14,200 13,500 - 0.00% Contract Services 41,380 60,200 59,200 60,000 (200) -0.33% Total 48,181 73,825 73,523 73,625 (200) -0.27% Authorized Employees 2015 2016 2017 Full Time 0 0 0 Part Time 0 0 0   CITY COUNCIL DEPARTMENT The City of Sanger, Texas Page 99 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 10-Mayor And Council Expenditures Actual Budget Estimate Budget 51-Salaries And Benefits 5160 Worker's Compensation 102 125 123 125 Total 51-Salaries And Benefits 102 125 123 125 52-Supplies And Materials 5210 Office Supplies 571 0 800 0 5215 Food 41 500 150 500 5230 Advertising 1,510 1,500 750 1,500 5235 Dues & Registrations 2,325 3,500 3,500 3,500 5240 Travel Expense 0 2,000 0 2,000 5280 Computers, Printers, Etc 6,000 9,000 6,000 5298 Non Cap Supplies & Materials 2,252 0 0 0 Total 52-Supplies And Materials 6,699 13,500 14,200 13,500 54-Contract Services 5415 Accounting Services 23,480 30,000 25,000 25,000 5425 Legal Services 6,282 16,000 25,000 20,000 5430 Professional Services 7,985 10,000 5,000 10,000 5450 Technical Support 3,633 4,200 4,200 5,000 Total 54-Contract Services 41,380 60,200 59,200 60,000 Total 10-Mayor And Council 48,181 73,825 73,523 73,625   CITY COUNCIL DEPARTMENT The City of Sanger, Texas Page 100 Annual Budget 2016-2017     Administration is responsible for the daily operations of all aspects of city government. Administration includes the offices of city manager, city secretary and human resources. Its responsibilities include human resources and payroll, record keeping, administration of contracts, oversight of other departments, economic development and long range planning. Budget Summary 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Difference % Change Salaries & Benefits 339,579 362,275 368,740 376,398 14,123 3.90% Supplies & Materials 8,344 13,500 11,500 13,500 - 0.00% Maintenance & Operations 1,316 12,000 500 12,000 - 0.00% Contract Services - - 7,500 7,500 7,500 - Utilities 3,837 4,000 4,000 4,000 - 0.00% Capital Expenses - - 1,156 - - - Total 353,076 391,775 393,396 413,398 21,623 5.52% Authorized Employees 2015 2016 2017 Full Time 4 4 4 Part Time 0 0 0   ADMINISTRATION DEPARTMENT The City of Sanger, Texas Page 101 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 15-Administration Expenditures Actual Budget Estimate Budget 51-Salaries And Benefits 5110 Regular Salaries 264,173 270,360 275,000 281,554 5111 Merit Increase 0 7,000 7,000 5,631 5120 Overtime 39 200 200 5125 Longevity Pay 1,748 1,940 1,940 2,132 5128 Auto Allowance 5,750 6,000 6,000 6,000 5130 F I C A 19,138 21,800 22,000 22,699 5140 Retirement 18,827 20,535 22,500 23,210 5150 Health Insurance 28,500 31,200 31,300 31,200 5160 Worker's Compensation 1,386 3,000 3,000 3,084 5170 T.E.C.18 40 0 688 5180 Medical/Physicals 0 100 0 0 5185 Background Checks 0 100 0 0 Total 51-Salaries And Benefits 339,579 362,275 368,740 376,398 52-Supplies And Materials 5210 Office Supplies 532 0 0 0 5215 Food 19 0 0 0 5225 Maps & Subscription 215 0 0 0 5230 Advertising 1,343 2,000 1,500 2,000 5235 Dues & Registration 3,225 3,000 3,000 3,000 5240 Travel Expense 1,801 5,000 1,500 5,000 5255 Janitorial Apparel 0 500 500 500 5280 Computers, Printers, Etc 0 3,000 5,000 3,000 5298 Non Cap Supplies & Materials 1,209 0 0 Total 52-Supplies And Materials 8,344 13,500 11,500 13,500 53-Maintenance And Operations 5305 Contingency Reserve 0 10,000 0 10,000 5320 Motor Vehicle Fuel 594 1,000 500 1,000 5325 R & M Motor Vehicle 722 1,000 0 1,000 Total 53-Maintenance And Operations 1,316 12,000 500 12,000 54-Contract Services 5450 Technical Support 0 0 7,500 7,500 Total 54-Contract Services 0 0 7,500 7,500   ADMINISTRATION DEPARTMENT The City of Sanger, Texas Page 102 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 15-Administration Expenditures Actual Budget Estimate Budget 55-Utilities 5515 Electric 2,370 2,400 2,400 2,400 5516 Gas Service 317 400 400 400 5520 Cell Phone 1,150 1,200 1,200 1,200 Total 55-Utilities 3,837 4,000 4,000 4,000 60-Capital Outlay < $5K 6010 Computer Equipment 0 0 1,156 0 Total 60-Capital Outlay <$5K 0 0 1,156 0 Total 15-Administration 353,076 391,775 393,396 413,398   ADMINISTRATION DEPARTMENT The City of Sanger, Texas Page 103 Annual Budget 2016-2017     The City of Sanger, Texas Page 104 Annual Budget 2016-2017     Public Works Administration oversees the street, park and recreation, fleet maintenance, water and wastewater departments. It is also responsible for engineering services and liaison with outside engineers and contractors. Public Works Administration oversees most capital improvement projects. Engineering also reviews new subdivision plans and serves as the flood plain coordinator. Budget Summary 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Difference % Change Salaries & Benefits 122,734 199,788 159,850 161,279 (38,509) -19.27% Supplies & Materials 8,164 18,360 20,170 12,790 (5,570) 69.66% Maintenance & Operations 2,505 2,100 3,506 3,500 1,400 166.67% Contract Services 11,047 18,000 18,000 25,000 7,000 138.89% Utilities 3,785 4,100 4,100 9,600 5,500 234.15% Total 148,235 242,348 205,626 212,169 (30,179) 87.55% Authorized Employees 2015 2016 2017 Full Time 2 2 2 Part Time 0 0 0   PUBLIC WORKS ADMINISTRATION DEPARTMENT The City of Sanger, Texas Page 105 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 18-Public Works Admin Expenditures Actual Budget Estimate Budget 51-Salaries And Benefits 5110 Regular Salaries 93,928 142,274 114,000 115,905 5111 Merit Increase - 2,846 2,846 2,318 5117 Vacation Compensation - 500 - 500 5120 Overtime - 300 300 300 5125 Longevity Pay 52 368 204 300 5128 Vehicle Allowance 6,000 6,000 6,000 6,000 5130 F I C A/Medicare 7,350 11,635 9,800 9,595 5140 Retirement 6,126 10,965 9,500 9,811 5150 Health Insurance 8,407 23,400 15,700 15,600 5160 Worker's Compensation 625 750 1,500 602 5170 `246 600 - 348 5180 Medical/Physicals - 100 - - 5182 Background Checks - 50 - - Total 51-Salaries And Benefits 122,734 199,788 159,850 161,279 52-Supplies And Materials 5210 Office Supplies 2,891 3,400 3,400 3,400 5215 Food - 200 100 200 5230 Advertising 587 250 250 250 5235 Dues And Subscriptions 2,366 1,310 3,310 3,310 5240 Conferences And Training 1,777 1,330 1,330 1,330 5245 Janitorial Supplies 543 1,500 1,500 1,500 5275 Filing Fees - 990 900 500 5280 Computer Systems - 9,080 9,080 2,000 5285 Furniture And Fixtures - 300 300 300 Total 52-Supplies And Materials 8,164 18,360 20,170 12,790 53-Maintenance And Operations 5310 R & M Building 921 600 636 2,000 5310 Motor Vehicle Fuel 176 - - - 5332 Office Machine Leas 1,408 1,500 1,500 1,500 5345 Lease Equipment - - 1,370 - Total 53-Maintenance And Operations 2,505 2,100 3,506 3,500   PUBLIC WORKS ADMINISTRATION DEPARTMENT The City of Sanger, Texas Page 106 Annual Budget 2016-2017     18-Public Works Admin Expenditures Actual Budget Estimate Budget 54-Contract Services 5430 Professional Service 2,500 2,500 2,500 2,500 5440 Engineering/Architect 100 8,000 8,000 8,000 5450 Technical Support 10,337 7,500 7,500 7,500 5451 Annual Software Sup (1,890) - - 7,000 Total 54-Contract Services 11,047 18,000 18,000 25,000 55-UTI 5515 Electric 2,381 2,600 2,600 8,100 5516 Gas Service 804 900 900 900 5520 Cell Phone 600 600 600 600 Total 55-Utilities 3,785 4,100 4,100 9,600 Total 18-Public Works 148,235 242,348 205,626 212,169   PUBLIC WORKS ADMINISTRATION DEPARTMENT The City of Sanger, Texas Page 107 Annual Budget 2016-2017     The City of Sanger, Texas Page 108 Annual Budget 2016-2017     The Finance Department is responsible for all banking and investments activities of the City. Finance also handles accounts payable and utility billing. Finance assists administration with budget preparation and monitoring and provides reports to the manager and council on current revenues and expenditures. Budget Summary 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Difference % Change Salaries & Benefits 271,630 319,563 321,011 331,323 11,760 3.68% Supplies & Materials 10,829 18,000 17,150 23,500 5,500 30.56% Maintenance & Operations 498 2,000 1,000 2,000 - 0.00% Contract Services 66,783 64,000 67,881 70,812 6,812 10.64% Utilities 3,137 4,000 3,500 3,894 (106) -2.65% Total 352,877 407,563 410,542 431,529 23,966 5.88% Authorized Employees 2015 2016 2017 Full Time 4 5 5 Part Time 1 0 0   FINANCE DEPARTMENT The City of Sanger, Texas Page 109 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 19-Finance Expenditures Actual Budget Estimate Budget 51-Salaries And Benefits 5110 Regular Salaries 206,790 235,000 235,500 245,695 5111 Merit Increase - 4,769 4,769 4,914 5125 Longevity Pay 716 912 1,432 676 5130 F I C A 14,618 18,721 18,500 19,270 5140 Retirement 14,388 17,644 18,500 19,704 5150 Health Insurance 34,187 39,000 39,000 39,000 5160 Worker's Compensation 822 1,817 1,500 1,209 5170 T.E.C.43 1,700 1,700 855 5180 Medical/Physicals 35 - 70 - 8182 Background Checks 31 - 40 - Total 51-Salaries And Benefits 271,630 319,563 321,011 331,323 52-Supplies And Materials 5201 Other 618 - - - 5210 Office Supplies 6,063 7,000 6,900 7,500 5230 Advertising 119 - - - 5235 Dues And Subscriptions 1,740 1,000 1,000 1,000 5240 Conferences And Training 651 6,000 5,500 6,000 5245 Janitorial Supplies 603 1,000 750 1,000 5280 Computer Systems - 3,000 3,000 3,000 5280 Furniture and Fixtures - - - 5,000 5298 Non Capital Supplies And Materials 1,035 - - - Total 52-Supplies And Materials 10,829 18,000 17,150 23,500 53-Maintenance And Operations 5310 R & M Building 467 2,000 1,000 2,000 5325 R & M Motor Vehicle 31 - - - Total 53-Maintenance And Operations 498 2,000 1,000 2,000 54-Contract Services 5426 Credit Card Fees 33,063 33,000 33,000 35,000 5450 Technical Support 14,732 15,000 15,000 15,000 5451 Annual Software Support 18,988 16,000 19,881 20,812 Total 54-Contract Services 66,783 64,000 67,881 70,812   FINANCE DEPARTMENT The City of Sanger, Texas Page 110 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 19-Finance Expenditures Actual Budget Estimate Budget 55-Utilities 5515 Electric 2,370 3,000 2,600 3,000 5516 Gas Service 317 400 300 294 5520 Cell Phone 450 600 600 600 Total 55-Utilities 3,137 4,000 3,500 3,894 Total 19-Finance 352,877 407,563 410,542 431,529   FINANCE DEPARTMENT The City of Sanger, Texas Page 111 Annual Budget 2016-2017     The City of Sanger, Texas Page 112 Annual Budget 2016-2017     Fleet services provides vehicle and equipment maintenance for all City departments. Budget Summary 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Difference % Change Salaries & Benefits 72,550 113,928 61,135 112,678 (1,250) -1.10% Supplies & Materials 5,070 9,200 8,392 9,700 500 5.43% Maintenance & Operations 13,772 26,857 27,480 12,400 (14,457) -53.83% Contract Services 895 5,000 - 5,000 - 0.00% Utilities 9,648 6,000 3,700 5,600 (400) -6.67% Capital Expenses - - - 13,300 13,300 - Total 101,935 160,985 100,707 158,678 (2,307) -1.43% Authorized Employees 2015 2016 2017 Full Time 2 2 2 Part Time 000   FLEET SERVICES DEPARTMENT The City of Sanger, Texas Page 113 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 36-Fleet Services Expenditures Actual Budget Estimate Budget 51-Salaries And Benefits 5110 Regular Salaries 53,214 76,143 41,850 78,549 5111 Merit Increase - 1,800 - 1,570 5117 Vacation Compensation - 1,000 - - 5120 Overtime 730 500 500 500 5125 Longevity Pay 608 900 12 108 5130 F I C A 3,776 6,885 3,350 6,175 5140 Retirement 3,822 6,750 3,335 6,314 5150 Health Insurance 8,360 15,600 7,828 15,600 5160 Worker's Compensation 1,953 3,550 4,140 3,511 5170 T.E.C.18 700 20 351 5180 Medical/Physicals 50 50 50 - 5182 Background Checks 19 50 50 - Total 51-Salaries And Benefits 72,550 113,928 61,135 112,678 52-Supplies And Materials 5223 Chemical Supplies 557 800 600 500 5235 Dues And Subscriptions 50 500 25 500 5245 Janitorial Supplies - - - 500 5250 Tools & Equipment 1,284 2,300 3,867 2,300 5252 Mechanic Supplies 1,231 1,700 1,700 1,700 5255 Wearing Apparel 541 900 800 2,200 5260 Safety Equipment 751 500 400 500 5280 Computer Systems - 2,500 1,000 1,500 5298 Non Capital Supplies And Materials 656 - - - Total 52-Supplies And Materials 5,070 9,200 8,392 9,700 53-Maintenance And Operations 5310 R & M Building 3,725 2,400 6,600 2,400 5320 Motor Vehicle Fuel 897 1,800 1,000 1,000 5321 Oil & Lubricants 3,640 5,000 4,000 5,500 5325 R & M Motor Vehicle 4,714 1,500 1,930 1,500 5326 R & M Minor Equipment 15 1,500 100 1,200 5345 Lease/Purchase Equip 781 800 - 800 5390 Radios - 13,857 13,850 - Total 53-Maintenance And Operations 13,772 26,857 27,480 12,400   FLEET SERVICES DEPARTMENT The City of Sanger, Texas Page 114 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 36-Fleet Services Expenditures Actual Budget Estimate Budget 54-Contract Services 5430 Professional Services 895 - - - 5451 Annual Software Support - 5,000 - 5,000 Total 54-Contract Services 895 5,000 - 5,000 55-Utilities 5515 36-5515 Electric 9,298 5,000 2,200 5,000 5516 Gas 350 1,000 1,500 600 Total 55-Utilities 9,648 6,000 3,700 5,600 61-Capital Outlay 6120 Building Improvements - - - 6,000 6145 Fleet Equipment - - - 7,300 Total 61-Capital Outlay - - 13,300 Total 36-Fleet Services 101,935 160,985 100,707 158,678   FLEET SERVICES DEPARTMENT The City of Sanger, Texas Page 115 Annual Budget 2016-2017     The City of Sanger, Texas Page 116 Annual Budget 2016-2017     The Non Departmental budget accounts for expenses that cannot easily be attributed to any specific department. This includes postage, property and liability insurance and tax collection fees. Budget Summary 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Difference % Change Salaries & Benefits 12,476 15,000 15,000 20,000 5,000 33.33% Supplies & Materials 32,253 32,900 33,000 33,000 100 0.30% Maintenance & Operations 11,145 21,000 5,500 21,000 - 0.00% Contract Services 136,513 158,500 135,047 157,750 (750) -0.47% Utilities 18,287 19,000 19,000 19,000 - 0.00% Total 210,674 246,400 207,547 250,750 4,350 1.77% 2015 2016 2017 Full Time 0 0 0 Part Time 000   NON-DEPARTMENTAL The City of Sanger, Texas Page 117 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 99-Non-Departmental Expenditures Actual Budget Estimate Budget 51-Salaries And Benefits 5150 Health Insurance 9,330 10,000 10,000 10,000 5183 Safety & Incentive 3,146 5,000 5,000 10,000 Total 51-Salaries And Benefits 12,476 15,000 15,000 20,000 52-Supplies And Materials 5210 Office Supplies 881 900 1,000 1,000 5220 Postage 31,372 32,000 32,000 32,000 Total 54-Supplies & Materials 32,253 32,900 33,000 33,000 53-Maintenance & Operations 5305 Contingency Reserve 5332 Office Machine Lease 5,583 6,000 5,500 6,000 5397 Reimburse For Damage Claims 5,562 15,000 0 15000 Total 53-Maintenance And Operations 11,145 21,000 5,500 21,000 54-Contract Services 5410 Tamla Insurance 86,021 90,000 82,047 90,000 5420 Tax Collections 22,653 25,000 25,000 25,000 5430 Professional Services 27,839 43,500 28,000 40,000 5435 Medicals/Physicals - - - 2,000 5436 Background Checks - - - 750 5455 Annual Bond Admin Fees - Total 54-Contract Services 136,513 158,500 135,047 157,750 55-Utilities 5510 Telephone Services 18,287 19,000 19,000 19,000 Total 55-Utilities 18,287 19,000 19,000 19,000 Total 99-Non-Departmental 210,674 246,400 207,547 250,750   NON-DEPARTMENTAL The City of Sanger, Texas Page 118 Annual Budget 2016-2017     The Sanger Texas Industrial Development Corporation (4A Fund) is funded by a 1/2 cent sales tax. It is used to help new and existing businesses expand in Sanger with a primary goal of bringing jobs to the Sanger community. Primary jobs include manufacturing and distribution jobs that increase income and enhance the local economy. The Sanger Texas Industrial Development Corporation is governed by a board of five directors, all of whom are appointed by the City Council of the City of Sanger. The 4A Fund was incorporated in the state of Texas as a non- profit industrial development corporation under section 4A of the Development Corporation Act of 1979. Budget Summary 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Difference % Change Sales Tax 393,664 362,500 366,000 362,500 - 0.00% Rental Income (103 Bolivar)78,667 78,000 78,000 78,000 - 0.00% Interest Income 1,268 1,000 1,200 1,000 - 0.00% Miscellaneous Income 20,075 - - - - - Transfer In 50,000 50,000 50,000 50,000 - 0.00% Total Revenues 543,674 491,500 495,200 491,500 - 0.00% Expenditure Summary Salaries & Benefits 99,195 111,922 109,900 123,822 11,900 10.83% Supplies & Materials 14,110 16,700 16,700 20,800 4,100 24.55% Maintenance & Operations 932 5,000 5,000 6,867 1,867 37.34% Contract Services 1,399 5,500 12,725 6,250 750 5.89% Utilities 600 600 600 4,100 3,500 583.33% Grant Expenses 15,075 - - - - - Debt Service 61,267 61,267 61,266 61,267 - 0.00% Total Expenditures 192,578 200,989 206,191 223,106 22,117 10.73% Revenue Over (Under) Expenditure 351,096 290,511 289,009 268,394 (22,117) Beginning Fund Balance 1,246,523 1,597,619 1,597,619 1,888,130 Ending Fund Balance 1,597,619 1,888,130 1,886,628 2,156,524   4A CORPORATION The City of Sanger, Texas Page 119 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 46-Economic Development Actual Budget Estimate Budget 51-Salaries And Benefits 5110 Regular Salaries 70,991 82,000 81,200 91,000 5111 Merit Increase - 2,460 - 2,730 5125 Longevity Pay 4 52 100 100 5128 Auto Allowance 5,750 6,000 6,000 6,000 5130 F I C A 5,664 6,595 7,300 7,683 5140 Retirement 5,295 6,215 6,700 7,856 5150 Health Insurance 7,175 7,800 7,800 7,800 5160 Worker's Compensation - 500 500 482 5170 T.E.C.216 200 200 171 5180 Medical/Physicals 35 50 50 - 5182 Background Checks - 50 50 - Total 51-Salaries And Benefits 95,130 111,922 109,900 123,822 52-Supplies And Materials 5210 Office Supplies 457 1,000 1,000 1,000 5215 Food 86 300 300 300 5226 Marketing And Promotion - 9,500 9,500 11,500 5235 Dues And Registrations 2,610 2,000 2,000 2,000 5240 Conferences And Training 28 3,500 3,500 4,000 5280 Computer Systems - 400 400 500 5285 Furniture And Fixtures - - - 1,500 5298 Non Capital Supplies And Materials 4,587 - - Total 52-Supplies And Materials 7,768 16,700 16,700 20,800 53-Maintenance And Operations 5310 R & M Building 933 5,000 5,000 5,000 5332 Office Machine Lease - - - 1,867 Total 53-Maintenance And Operations 933 5,000 5,000 6,867 54-Contract Services 5430 Professional Service 519 2,500 9,725 3,000 5445 Property Taxes - - - - 5450 Technical Support 880 1,500 1,500 1,500 5451 Annual Software Support 1,500 1,500 1,750 Total 54-Contract Services 1,399 5,500 12,725 6,250   4A CORPORATION The City of Sanger, Texas Page 120 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 46-Economic Development Actual Budget Estimate Budget 55-Utilities 5515 Electric - - - 2,600 5516 Gas Service - - - 900 5520 Cell Phone 600 600 - 600 Total 55-Utilities 600 600 - 4,100 56-Grant Expense 5610 Grant Expense 15,075 - - - Total Grant Expense 15,075 - - - 70-Debt Payments 7005 Note Pymts - Gnb 7007 Note Pymts - Warehouse 39,762 40,093 41,218 43,949 7099 Interest Expense 21,505 21,174 20,048 17,318 Total 70-Debt Payments 61,267 61,267 61,266 61,267 Total 4A Fund Expenditures 182,172 200,989 205,591 223,106   4A CORPORATION The City of Sanger, Texas Page 121 Annual Budget 2016-2017     The City of Sanger, Texas Page 122 Annual Budget 2016-2017     The Sanger Texas Economic Development Corporation (4B Fund) is funded by a 1/2 cent sales tax. It is used to enhance the local economy by improving the quality of life. This includes park improvements, downtown streetscaping and other projects that make living in Sanger enjoyable. The Sanger Texas Economic Development Corporation is governed by a board of seven directors, all of whom are appointed by the City Council of the City of Sanger. The 4B Fund was incorporated in the state of Texas as a nonprofit industrial development corporation under Section 4B of the Development Corporation Act of 1979. Budget Summary 2014-15 Actual 2015-16 Budget 2015-16 Estimated 2016-17 Budget Difference % Change Sales Tax 393,664 362,500 366,000 362,500 - 0.00% Interest Income 1,306 1,000 1,300 1,000 - 0.00% Total Revenues 394,970 363,500 367,300 363,500 - 0.00% Expenditure Summary Capital Expenditures - 39,500 39,500 300,000 260,500 659.49% Transfers 237,500 237,500 237,500 237,500 - 0.00% Total Expenditures 237,500 277,000 277,000 537,500 260,500 94.04% Revenue Over (Under) Expenditure 157,470 86,500 90,300 (174,000) (260,500) Beginning Fund Balance 684,517 841,987 841,987 928,487 Ending Fund Balance 841,987 928,487 932,287 754,487   4B CORPORATION The City of Sanger, Texas Page 123 Annual Budget 2016-2017     2014-15 2015-16 2015-16 2016-17 76-4B Fund Actual Budget Estimate Budget 61-Capital Outlay 6113 Design Hike And Bike Trail - 39,500 39,500 - 6114 Construction Hike And Bike Trail - - - 300,000 Total 61-Capital Outlay - 39,500 39,500 300,000 74-Transfers 7403 Transfer To Debt Service Fund 212,500 212,500 212,500 212,500 7441 Transfer To 4A 25,000 25,000 25,000 25,000 Total 74-Transfers 237,500 237,500 237,500 237,500 Total 4B Fund Expenditures 237,500 277,000 277,000 537,500   4B CORPORATION The City of Sanger, Texas Page 124 Annual Budget 2016-2017       The City utilizes Special Revenue Funds to account for the proceeds of specific revenue sources tha are restricted or committed to expenditure for specific purposes. The City utilizes the following Special Revenue Funds: o Hotel Occupancy Tax Fund o Beautification Fund o Library Restricted Fund o Court Security Fund o Court Technology Fund o Child Safety Fee Fund o Police Donations Fund o Fire Donations Fund o Parks Donations Fund o Library Donations Fund   SPECIAL REVENUE FUNDS The City of Sanger, Texas Page 125 Annual Budget 2016-2017     The Hotel Occupancy Tax Fund is used to account for revenues from the Hotel Occupancy Tax. 2014-15 2015-16 2015-16 2016-17 Actual Budget Estimate Budget Beginning Fund Balance 24,648 33,061 33,061 41,061 Revenues Taxes 16,826 20,000 20,000 20,000 Total Hotel Tax Fund Revenues 16,826 20,000 20,000 20,000 Expenditures Contract Services 8,413 10,000 12,000 12,000 Total Hotel Tax Fund Expenditures 8,413 10,000 12,000 12,000 Excess of Revenues/Sources 8,413 10,000 8,000 8,000 over Expenditures/Uses Ending Fund Balance 33,061 43,061 41,061 49,061 CITY OF SANGER, TEXAS PROPOSED BUDGET FISCAL YEAR 2016-2017 HOTEL OCCUPANCY FUND REVENUES AND EXPENDITURES   SPECIAL REVENUE FUNDS The City of Sanger, Texas Page 126 Annual Budget 2016-2017     The Beautification Fund is utilized to account for revenue sources dedicated to beautification of City-owned parks by the Parks Department. 2014-15 2015-16 2015-16 2016-17 Actual Budget Estimate Budget Beginning Fund Balance 5,508 5,525 5,525 5,525 Revenues Miscellaneous 17 500 - 500 Total Beautification Fund Revenues 17 500 - 500 Expenditures Supplies & Materials - 6,000 - 6,000 Total Beautification Fund Expenditures - 6,000 - 6,000 Excess of Revenues/Sources 17 (5,500) - (5,500) over Expenditures/Uses Ending Fund Balance 5,525 25 5,525 25 CITY OF SANGER, TEXAS PROPOSED BUDGET FISCAL YEAR 2016-2017 BEAUTIFICATION FUND REVENUES AND EXPENDITURES   SPECIAL REVENUE FUNDS The City of Sanger, Texas Page 127 Annual Budget 2016-2017     The Library Restricted Fund is utilized to account for specific revenues set aside for future Library expenditures. 2014-15 2015-16 2015-16 2016-17 Actual Budget Estimate Budget Beginning Fund Balance 72,945 75,564 75,564 80,554 Revenues Interest Income 219 - 190 Miscellaneous 2,400 4,800 4,800 500 Total Library Restricted Fund Revenue 2,619 4,800 4,990 500 Expenditures Supplies & Materials - - - - Total Library Restricted Fund Expendit - - - - Excess of Revenues/Sources 2,619 4,800 4,990 500 over Expenditures/Uses Ending Fund Balance 75,564 80,364 80,554 81,054 CITY OF SANGER, TEXAS PROPOSED BUDGET FISCAL YEAR 2016-2017 LIBRARY RESTRICTED FUND REVENUES AND EXPENDITURES   SPECIAL REVENUE FUNDS The City of Sanger, Texas Page 128 Annual Budget 2016-2017     The Court Security Fund is utilized to account for Court Security Fees imposed on convictions by the Sanger Municipal Court. 2014-15 2015-16 2015-16 2016-17 Actual Budget Estimate Budget Beginning Fund Balance 6,756 5,687 5,687 6,837 Revenues Fines 1,607 2,500 1,900 2,500 Total Court Security Fund Revenues 1,607 2,500 1,900 2,500 Expenditures Salaries & Benefits 2,676 2,500 750 2,500 Total Court Security Fund Expenditure 2,676 2,500 750 2,500 Excess of Revenues/Sources (1,069) - 1,150 - over Expenditures/Uses Ending Fund Balance 5,687 5,687 6,837 6,837 COURT SECURITY FUND REVENUES AND EXPENDITURES CITY OF SANGER, TEXAS PROPOSED BUDGET FISCAL YEAR 2016-2017   SPECIAL REVENUE FUNDS The City of Sanger, Texas Page 129 Annual Budget 2016-2017     The Court Technology Fund is utilized to account for Court Technology Fees imposed on convictions by the Sanger Municipal Court. 2014-15 2015-16 2015-16 2016-17 Actual Budget Estimate Budget Beginning Fund Balance 757 1,081 1,081 981 Revenues Fines 2,193 3,000 2,900 3,000 Total Court Technology Fund Revenue 2,193 3,000 2,900 3,000 Expenditures Contract Services 1,869 3,000 3,000 3,000 Total Court Technology Fund Expendit 1,869 3,000 3,000 3,000 Excess of Revenues/Sources 324 - (100) - over Expenditures/Uses Ending Fund Balance 1,081 1,081 981 981 CITY OF SANGER, TEXAS PROPOSED BUDGET FISCAL YEAR 2016-2017 COURT TECHNOLOGY FUND REVENUES AND EXPENDITURES   SPECIAL REVENUE FUNDS The City of Sanger, Texas Page 130 Annual Budget 2016-2017     The Child Safety Fund is utilized to account for Child Safety Fees collected by the Sanger Municipal Court. 2014-15 2015-16 2015-16 2016-17 Actual Budget Estimate Budget Beginning Fund Balance - - - 9,000 Revenues Fines - - 10,000 10,000 Total Child Safety Fee Fund Revenues - - 10,000 10,000 Expenditures Contract Services - - 1,000 10,000 Total Child Safety Fee Fund Expenditur - - 1,000 10,000 Excess of Revenues/Sources - - 9,000 - over Expenditures/Uses Ending Fund Balance - - 9,000 9,000 CITY OF SANGER, TEXAS PROPOSED BUDGET FISCAL YEAR 2016-2017 CHILD SAFETY FEE FUND REVENUES AND EXPENDITURES   SPECIAL REVENUE FUNDS The City of Sanger, Texas Page 131 Annual Budget 2016-2017     The Police Donations Fund is utilized to account for specific funds donated for the exclusive use of the Sanger Police Department. 2014-15 2015-16 2015-16 2016-17 Actual Budget Estimate Budget Beginning Fund Balance 4,547 1,385 1,385 1,338 Revenues Miscellaneous - 2,500 2,500 2,500 Total Police Donations Fund Revenues - 2,500 2,500 2,500 Expenditures Supplies & Materials 3,162 2,547 2,547 2,547 Total Police Donations Fund Expenditu 3,162 2,547 2,547 2,547 Excess of Revenues/Sources (3,162) (47) (47) (47) over Expenditures/Uses Ending Fund Balance 1,385 1,338 1,338 1,291 CITY OF SANGER, TEXAS PROPOSED BUDGET FISCAL YEAR 2016-2017 POLICE DONATIONS FUND REVENUES AND EXPENDITURES   SPECIAL REVENUE FUNDS The City of Sanger, Texas Page 132 Annual Budget 2016-2017     The Fire Donations Fund is utilized to account for specific funds donated for the exclusive use of the Sanger Fire Department. 2014-15 2015-16 2015-16 2016-17 Actual Budget Estimate Budget Beginning Fund Balance 2,775 4,175 4,175 2,900 Revenues Miscellaneous 1,400 1,000 1,000 1,000 Total Fire Donations Fund Revenues 1,400 1,000 1,000 1,000 Expenditures Supplies & Materials - 2,275 2,275 2,275 Total Fire Donations Fund Expenditure - 2,275 2,275 2,275 Excess of Revenues/Sources 1,400 (1,275) (1,275) (1,275) over Expenditures/Uses Ending Fund Balance 4,175 2,900 2,900 1,625 FIRE DONATIONS FUND REVENUES AND EXPENDITURES CITY OF SANGER, TEXAS PROPOSED BUDGET FISCAL YEAR 2016-2017   SPECIAL REVENUE FUNDS The City of Sanger, Texas Page 133 Annual Budget 2016-2017     The Park Donations Fund is utilized to account for specific funds donated for the exclusive use of the Parks Department. 2014-15 2015-16 2015-16 2016-17 Actual Budget Estimate Budget Beginning Fund Balance 2,536 2,536 2,536 3,036 Revenues Miscellaneous - 500 500 2,500 Total Park Donations Fund Revenues - 500 500 2,500 Expenditures Supplies & Materials - - - - Total Park Donations Fund Expenditure - - - - Excess of Revenues/Sources - 500 500 2,500 over Expenditures/Uses Ending Fund Balance 2,536 3,036 3,036 5,536 CITY OF SANGER, TEXAS PROPOSED BUDGET FISCAL YEAR 2016-2017 PARK DONATIONS FUND REVENUES AND EXPENDITURES   SPECIAL REVENUE FUNDS The City of Sanger, Texas Page 134 Annual Budget 2016-2017     The Library Donations Fund is utilized to account for specific funds donated for the exclusive use of the Sanger Public Library. 2014-15 2015-16 2015-16 2016-17 Actual Budget Estimate Budget Beginning Fund Balance 1,150 1,650 1,650 1,150 Revenues Miscellaneous 500 500 500 500 Total Library Donations Fund Revenue 500 500 500 500 Expenditures Supplies & Materials - 1,000 1,000 1,000 Total Library Donations Fund Expendit - 1,000 1,000 1,000 Excess of Revenues/Sources 500 (500) (500) (500) over Expenditures/Uses Ending Fund Balance 1,650 1,150 1,150 650 CITY OF SANGER, TEXAS PROPOSED BUDGET FISCAL YEAR 2016-2017 LIBRARY DONATIONS FUND REVENUES AND EXPENDITURES   SPECIAL REVENUE FUNDS The City of Sanger, Texas Page 135 Annual Budget 2016-2017     The City of Sanger, Texas Page 136 Annual Budget 2016-2017     OVERVIEW The City of Sanger, Texas was incorporated in 1886 and operates under a Council-Manager form of government. The City provides general government, public safety, public works, culture and recreation, water, sewer and electricity operations. HISTORY Sanger was founded in 1886 as a stop on the Santa Fe Railroad. Cattle from the ranches of north Denton County were driven up the old cattle trails through Sanger to northern markets. The cattle industry of the prairies of north Denton County contributed to the founding of the town, and wheat growing contributed substantially to its economy as did the production of oats, maize, millet and cotton. Santa Fe named Sanger in honor of one of its customers, the Sanger family who owned stores in Waco and Dallas. The F.M. Ready family was the first to settle in Sanger in October 1887, the same year as the first engine and caboose arrived. In 1920 the building of a state highway that connected Sanger and Dallas helped compensate for the declining rail business. Cattle and other livestock are raised around Sanger, and there are several horse farms for the breeding and training of registered stock. The oldest continual business was Wilson Lumber Company, founded by Andy Marshall Wilson in the 1890s. His son, T. C. (Tilford Clifton Wilson), expanded the business and was the longest serving city councilman and mayor in Sanger history. Wilson Lumber Company was finally sold by the family in 2001, becoming Denton County Building Supply. LOCATION Sanger is strategically located along Interstate 35 in Northern Denton County. The City occupies 10.9 square miles along Interstate 35. Its location offers residents and businesses direct access to the amenities of a major metropolitan area, extensive labor market, airports and top universities while still retaining a small town quality of life. Sanger is approximately 50 miles from Downtown Dallas and 50 miles from Downtown Fort Worth. Dallas/Fort Worth International Airport is 38 miles away.      ABOUT SANGER The City of Sanger, Texas Page 137 Annual Budget 2016-2017     POPULATION 1 1920 1,204 1930 1,119 1940 1,000 1950 1,170 1960 1,190 1970 1,603 1980 2,574 1990 3,508 2000 4,534 2010 6,916 2015 (estimated) 7,747 AGE DISTRIBUTION 1 Median Age 29.5 ETHNICITY 1 HOUSING 1 1 Unit 2,644 2 Units 16 3 or 4 Units 18 5 to 9 Units 146 10 to 19+ Units 58 More than 20 Units 43 Mobile Home 205 Total Housing Units 2,644 Median Household Income $53,862 MAJOR EMPLOYERS 2 Wal-Mart Distribution Center Sanger Independent School District Sam’s Distribution Center BOND RATINGS 3 Moody’s A1 SALES TAX RATE 2 State of Texas 6.25% City of Sanger 1.00% 4A 0.50% 4B 0.50% Total 8.25% SCHOOLS 2 Butterfield Elementary School Chisholm Trail Elementary School Clear Creek Intermediate School Sixth Grade Campus Sanger Middle School Linda Tutt High School Sanger High School ___________________________________ 1 factfinder.census.gov 2Sanger Economic Development Corporation 3 Moody’s Investors Service   ABOUT SANGER The City of Sanger, Texas Page 138 Annual Budget 2016-2017     Introduction The City of Sanger, Texas financial policies set forth the basic framework for the fiscal management of the City. These policies were developed within the parameters established by applicable provisions of the Texas Local Government Code and the Sanger City Charter. The policies are intended to assist the City Council and city staff in evaluating current activities and proposals for future programs. The policies are to be reviewed on an annual basis and modified to accommodate changing circumstances or conditions. The scope of these policies generally spans accounting, auditing, financial reporting, internal controls, operating and capital budgeting, revenue management, expenditure control and debt management, all to make it possible both: (a) to present fairly and with full disclosure the financial position and results of financial operations of the City in conformity to generally accepted accounting principles (GAAP), and (b) to determine and demonstrate compliance with finance-related legal and contractual provisions. It is the goal of the Statement of Financial Management Policies to enable the City to adhere to the principles of sound municipal finance and to continue its long-term stable and positive financial condition. Annual Budget 1. The fiscal year of the City of Sanger shall begin on October 1 of each calendar year and will end on September 30 of the following calendar year. The fiscal year will also be established as the accounting and budget year. 2. The City Manager, prior to August first of each year, shall prepare and submit to the City Secretary the annual budget covering the next fiscal year. The budget shall provide a complete financial plan of all city funds and activities and, except as required by law or the City Charter, shall be in such form as the Council may require. The budget shall contain the following information: a. The City Manager’s budget message outlining the proposed financial policies for the next fiscal year with an explanation of any changes in expenditures from the previous year, any major changes in policies, and a complete statement regarding the financial condition of the City. (Proposition 1 approved at an election held November 7, 2006 and certified by Resolution 11-19-06 adopted November 20, 2006.) b. An estimate of all revenues from taxes and other sources, including the present tax structure, rates, and property valuations for the ensuing year; c. A carefully itemized list of proposed expenses and revenues by fund, service type, and project for the budget year, as compared to actual expenditures and revenues of the last ended fiscal year and the projected final expenditures and revenues for the current fiscal year; d. A description of all outstanding bond indebtedness, showing amount, date of issue, rate of interest, and maturity date; also any other indebtedness which the City has incurred and which has not been paid; e. A statement proposing any capital expenditures deemed necessary for undertaking during the next budget year and the recommended provision for financing; and f. Such other information as is required by City Council or deemed desirable by the City Manager. 3. The City Manager’s budget should assume, for each fund, operating revenues that are equal to or exceed operating expenditures. The City Manager’s budget message shall explain the reasons for any fund that reflects operating expenditures exceeding operating revenues.   FINANCIAL MANAGEMENT POLICY The City of Sanger, Texas Page 139 Annual Budget 2016-2017     4. The City Council shall hold a public hearing on the budget, as submitted, at the time and place so advertised in the official newspaper, which will be no less than seven (7) days or more than fifteen (15) days after the date of notice. All interested persons shall be given the opportunity to be heard, either for or against, any item of the proposed budget. 5. The budget and tax rate may be adopted at any regular or special meeting of the Council prior to the beginning of the budgeted fiscal year by a majority vote of a two thirds (2/3) quorum. The Council may amend the proposed budget by increasing, decreasing, or removing any programs or amounts, except for expenditures required by law, for debt service, or for estimated cash deficit. No amendment to the budget shall increase the authorized expenditures to an amount greater than the total of estimated income plus funds available from prior years. 6. 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. 7. On final adoption, the budget shall be in effect for the budget year. Final adoption of the budget by the City Council shall constitute the official appropriations for the current year and shall constitute the basis of the official levy of the property tax. Under conditions which may arise, the City Council may amend or change the budget to provide for any additional expense. Capital Program 1. The City Manager shall submit a five-year capital improvement program (CIP) as an attachment to the annual budget. The CIP shall induce the following: a. A clear, general summary of its contents; b. A list of all capital improvements which are proposed for the five (5) fiscal years including the budget year, with appropriate supporting information as to the necessity for such improvements; c. Cost estimates, method of financing and recommended time schedules for each improvement; and d. The estimated annual cost of operating and maintaining the facilities to be constructed or acquired. Basis of Accounting and Budgeting 1. The City’s finances shall be accounted for in accordance with generally accepted accounting principles (GAAP) as established by the Governmental Accounting Standards Board (GASB). a. The accounts of the City are organized and operated on the basis of funds and account groups. Fund accounting segregates funds according to their intended purpose and is used to aid management in demonstrating compliance with finance-related legal and contractual provisions. The minimum number of funds is maintained consistent with legal and managerial requirements. Account groups are a reporting device to account for certain assets and liabilities of the governmental funds not recorded directly in those funds. b. Governmental fund types use the flow of current financial resources measurement focus and the modified accrual basis of accounting. Under the modified accrual basis of accounting, revenues are recognized when susceptible to accrual (i.e., when they are “measurable and available”). “Measurable” means the amount of the transaction can be determined and “available” means collectible within the current period or soon enough thereafter to pay liabilities of the current period. Substantially all revenues are considered to be susceptible to accrual. Ad valorem, sales, hotel, franchise and tax revenues recorded in the General Fund and ad valorem tax revenues recorded in the Debt Service Fund are recognized under the susceptible to accrual concept. Licenses and permits, charges for services, fines and forfeitures, and miscellaneous revenues (except earnings   FINANCIAL MANAGEMENT POLICY The City of Sanger, Texas Page 140 Annual Budget 2016-2017     on investments) are recorded as revenues when received in cash because they are generally not measurable until actually received. Investment earnings are recorded as earned since they are measurable and available. Expenditures are recognized when the related fund liability is incurred, if measurable, except for principal and interest on general long-term debt, which are recorded when due, and compensated absences, which are recorded when payable from currently available financial resources. c. The City utilizes encumbrance accounting for its governmental fund types, under which purchase orders, contracts and other commitments for the expenditure of monies are recorded in order to reserve that portion of the applicable appropriation. d. The City’s proprietary fund types are accounted for on a flow of economic resources measurement focus and use the accrual basis of accounting. Under this method, revenues are recorded when earned, and expenses are recorded at the time liabilities are incurred. 2. The City’s annual budgets shall be prepared and adopted on a basis consistent with generally accepted accounting principles for all governmental and proprietary funds 3. The issuance of Statement 34 by GASB has influenced the creation and reporting of individual funds. GASB 34 essentially mandates dual accounting systems: one for government-wide (i.e. the government as a single entity) reporting and another for individual fund reporting. Under GASB 34 for individual funds, the City will continue utilizing the accounting and budgeting processes as described in paragraphs (1) and (2) of this section. However, because GASB 34 mandates the flow of economic resources measurement focus and accrual basis of accounting for the government-wide reporting, extensive reconciliation must be performed to present aggregated fund information in the government-wide reporting model. Therefore, individual operating funds will be created with the objective of reducing fund to government-wide reconciliation as much as possible. When appropriate, individual funds will be examined as to whether it will be appropriate to account for them as proprietary fund types. Also, the City will limit the use of internal service funds and incorporate the financial transactions of those funds into other governmental funds. Budget Administration 1. All expenses of the City shall be made in accordance with the adopted annual budget. Budgetary control is maintained at the individual expenditure account level by the review of all requisitions of estimated purchase amounts prior to the release of purchase orders to vendors. 2. The following represents the City’s budget amendment policy delineating responsibility and authority for the amendment process. Transfers between expenditure accounts in one department may occur with the approval of the City Manager and Finance Director Transfers between operating departments may occur with the approval of the City manager and Finance Director provided that a department’s total budget is not changed by more than $50,000. Transfers between funds must be accomplished by budget amendment approved by the City Council. Budget amendments calling for new fund appropriations must also be approved by the City Council. Financial Reporting 1. At the close of each fiscal year, and at such other times as it may be deemed necessary, the Council shall direct that an independent audit be made on all accounts of the City by a certified public accountant. The certified public accountant shall have no personal interest directly or indirectly, in the financial affairs of the City or any of its officers and shall report directly to the Council. Upon completion of the audit, a summary of the results thereof shall be placed on file in the City Secretary's office for public record. A copy of the comprehensive financial annual report shall be available at City Hall.   FINANCIAL MANAGEMENT POLICY The City of Sanger, Texas Page 141 Annual Budget 2016-2017     2. The City Manager shall submit to the Council a monthly report of the financial condition of the City by department for the fiscal year-to-date. The financial records of the City will be maintained on a modified accrual basis to support this type of financial management. The City Manager shall make available to the Council the monthly cash disbursements journal of the City of all funds and accounts. Revenues 1. To protect the City’s financial integrity, the City will maintain a diversified and stable revenue system to shelter it from fluctuations in any one revenue source. Recognizing that sales tax is a volatile, unpredictable source of revenue, the City will attempt to reduce its dependence on sales tax revenue. 2. For every annual budget, the City shall levy two property tax rates: operation/ maintenance and debt service. The debt service levy shall be sufficient for meeting all principal and interest payments associated with the City’s outstanding general obligation debt for that budget year. The debt service levy and related debt service expenditures shall be accounted for in the Debt Service Fund. The operation and maintenance levy shall be accounted for in the General Fund. City Council will consider exceeding the rollback rate only after options have been presented by staff to avoid the rollback by increasing revenue from other sources or reducing expenditures. 3. The City will maintain a policy of levying the lowest tax rate on the broadest tax base. Minimal exemptions may be provided to homeowners, senior citizens, and disabled veterans. The City may consider providing tax abatements or other incentives to encourage development. 4. The City will establish user charges and fees at a level that attempts to recover the full cost of providing the service. a. User fees, particularly utility rates, should identify the relative costs of serving different classes of customers. b. Where possible, utility rates should be designed to reduce peak (hour and day) demands on the utility systems. c. The City will make every reasonable attempt to ensure accurate measurement of variables impacting taxes and fees (e.g. verification of business sales tax payments, verification of appraisal district property values, and accuracy of water meters). 5. The City will attempt to maximize the application of its financial resources by obtaining supplementary funding through agreements with other public and private agencies for the provision of public services or the construction of capital improvements. 6. The City will consider market rates and charges levied by other public and private organizations for similar services in establishing tax rates, fees and charges. 7. When developing the annual budget, the City Manager shall project revenues from every source based on actual collections from the preceding year and estimated collections of the current fiscal year, while taking into account known circumstances which will impact revenues for the new fiscal year. The revenue projections for each fund should be made conservatively so that total actual fund revenues exceed budgeted projections. Operating Expenditures 1. Operating expenditures shall be accounted, reported, and budgeted for in the following major categories: a. Operating, Recurring Expenditures i. Salaries and Benefits ii. Supplies and Materials iii. Maintenance and Operations iv. Contractual Services   FINANCIAL MANAGEMENT POLICY The City of Sanger, Texas Page 142 Annual Budget 2016-2017     v. Utilities vi. Capital Replacement vii. Other Expenses b. Operating, Non-Recurring Expenditures i. Capital Equipment 2. The annual budget shall appropriate sufficient funds for operating, recurring expenditures necessary to maintain established (i.e. status quo) quality and scope of city services. 3. The City will constantly examine the methods for providing public services in order to reduce operating, recurring expenditures and/or enhance quality and scope of public services with no increase to cost. 4. Salaries and benefits expenditures will reflect the minimum staffing needed to provide established quality and scope of city services. To attract and retain employees necessary for providing high-quality service, the City shall maintain a compensation and benefit package competitive with the public and, when quantifiable, private service industries. 5. Supplies and materials expenditures shall be sufficient for ensuring the optimal productivity of City employees. 6. Maintenance and operations expenditures shall be sufficient for addressing the deterioration of the City’s capital assets to ensure the optimal productivity of the capital assets. Maintenance should be conducted to ensure a relatively stable level of maintenance expenditures for every budget year. 7. Utility expenditure providers shall, when options are available, be selected on the basis of the provider’s competitive pricing and service. 8. The City will utilize contractual services for the provision of city services whenever private contractors can perform the established level of service at less expense to the City. The City will regularly evaluate its agreements with private contractors to ensure the established levels of service are performed at the least expense to the City. 9. Capital equipment is defined as equipment that exceeds $5,000 and has a useful life of at least one year. Bulk purchases of smaller equipment with a useful life of at least one year will be capitalized if the total amount of the purchase exceeds $25,000. Existing capital equipment shall be replaced when needed to ensure the optimal productivity of City employees. 10. Expenditures for additional capital equipment shall be made only to enhance employee productivity, improve quality of service, or expand scope of service. 11. Expenditures for other expenses not included in the categories above shall be made strictly on the basis of economic and business merit, ensuring the best possible return on each dollar spent. 12. To assist in controlling the growth of operating expenditures, operating departments will submit their annual budgets to the City Manager during the budget preparation process. Departments shall provide justification where projected expenditures exceed prior year budgeted amounts. Fund Balance 1. The annual budget shall be presented to City Council with each fund reflecting an ending fund balance which is no less than 25 percent of that fund’s annual operating expenditures. To satisfy the particular needs of individual funds, ending fund balances may be established which exceed the 25 percent minimum. 2. Fund balance that exceeds the minimum level established for each fund may be appropriated for non- recurring capital projects or programs, reserves or as the Council directs. 3. The City will exercise diligence in avoiding the appropriation of fund balance for recurring operating expenditures. In the event fund balance is appropriated for recurring operating expenditures to meet the needs of the Sanger community, the budget document shall include an explanation of the circumstances   FINANCIAL MANAGEMENT POLICY The City of Sanger, Texas Page 143 Annual Budget 2016-2017     requiring the appropriation and the methods to be used to arrest the future use of fund balance for operating expenditures. Fund Transfers 1. With the exceptions noted below, there will be no operating transfers between funds. Any costs incurred by one fund to support the operations of another shall be charged directly to the fund. 2. Fund transfers may occur when surplus fund balances are used to support non-recurring capital expenses or when needed to satisfy debt service obligations. 3. Transfers are permitted between funds to support economic development programs. 4. Transfers are permitted from the Enterprise Fund to other funds to cover the cost of operations. Debt Expenditures 1. The City shall have the right and power, except as prohibited by law or the City Charter, to borrow money by whatever method it may deem to be in the public interest. 2. The City shall have the power to borrow money on the credit of the City and to issue general obligation bonds for permanent public improvements or for any other public purpose not prohibited by law and the City Charter and to issue refunding bonds to refinance outstanding bonds previously issued. All such bonds or certificates of obligation shall be issued in conformity with the laws of the State of Texas and shall be used only for purposes for which they were issued. General obligation bonds shall not be issued without an election. In all cases when the City Council shall order an election for the issuance of bonds of the City, it shall, at the same time, state whether or not a tax rate increase is anticipated for the purpose of paying the principal and interest on the bonds and to create a sinking fund for their redemption. 3. The City shall have the power to borrow money for the purpose of constructing, purchasing, improving, extending or repairing public utilities, recreational facilities, or any other self-liquidating municipal function not prohibited by the Constitution and the laws of the State of Texas, and to issue revenue bonds to evidence the obligation created thereby. Such shall be a charge upon and payable from the properties, or interest therein pledged, or the income therefrom, or both. The holders of the revenue bonds shall never have the right to demand payment thereof out of moneys raised or to be raised by taxation. All such bonds shall be issued in conformity with the laws of the State of Texas and shall be used only for the purpose for which they were issued. 4. When needed to minimize annual debt payments, the City will obtain insurance for new debt issues. Capital Project Expenditures 1. The City will develop a multi-year plan for capital projects, which identifies all projects likely to be constructed within a five-year horizon. The multi-year plan will reflect for each project the likely source of funding and attempt to quantify the project’s impact to future operating expenditures. 2. Capital projects will be constructed to: a. Protect or improve the community’s quality of life. b. Protect or enhance the community’s economic vitality. c. Support and service new development. 3. To minimize the issuance of debt, the City will attempt to support capital projects with appropriations from operating revenues or excess fund balances (i.e. “pay-as-you-go”). Purchasing 1. All purchases and contracts over $3,000 shall conform to Chapter 252, Subchapter B of the Local Government Code of Texas, as amended. Purchases of goods or services over $50,000 shall be submitted   FINANCIAL MANAGEMENT POLICY The City of Sanger, Texas Page 144 Annual Budget 2016-2017     to the City Council for approval. The adoption of the annual budget gives the City Manger the authority to approve all other purchases for goods or services in accordance with each department’s approved budget. 2. Purchases of goods or services at a total cost of $1,000 or more must be made through the City’s purchase order system. Written purchase orders shall also be used for vendors requiring formal City authorization regardless of dollar amount. 3. Purchases of goods or services at a total cost of less than $1,000 may be made via a written Accounts Payable Voucher, signed and submitted by the applicable Department Director to the Finance Department. 4. All invoices approved for payment by the proper City authorities shall be paid by the Finance Department within thirty (30) calendar days of receipt in accordance with provisions of Article 601f, Section 2 of the State of Texas Civil Statutes.   FINANCIAL MANAGEMENT POLICY The City of Sanger, Texas Page 145 Annual Budget 2016-2017     The City of Sanger, Texas Page 146 Annual Budget 2016-2017     Investment Policy For the City of Sanger, Texas Approved September 15, 2014 I. POLICY STATEMENT It is the objective of the City of Sanger, Texas (“City”) that the administration of its funds and the investment of those funds shall be handled in the highest public trust. Investments shall be made in a manner which will provide the maximum security of principle invested through limitations and diversification while meeting the daily cash flow needs of the city and conforming to all applicable federal, state, and local statutes, rules and regulations governing the investment of public funds. The receipt of a market rate return will be secondary to the requirements for safety and liquidity. The earning from investments shall be used in a manner that best serves the public trust and interest of the City. This policy serves to satisfy the statutory requirements of defining and adopting a formal investment policy and shall be reviewed annually for modifications. It is the intent of the City to be in compliance with local law and the provisions of Public Funds Investment Act of the Texas Government Code Chapter 2256. II. SCOPE This Investment Policy applies to the investment activities, all financial assets and funds held by the City of Sanger, Texas. Funds covered and managed by this Investment Policy include: A General Fund – Used to account for resources traditionally associated with government, which are not required to be accounted for in another fund. B. Debt Service Fund – Used to account for resources to be used for the payment of principle, interest and related costs on debt. C. Enterprise Fund – Used to account for operations that are financed and operated in a manner similar to private business enterprises. D. Capital Improvement Fund – Used to account for resources to enable the acquisition or construction of major capital facilities which are not financed by enterprise funds, internal service funds, or trust funds. E. Special Revenue Funds – Used to account for proceeds from specific revenue sources which are restricted to expenditures for specific purposes. 1. 4A Fund 2. 4B Fund 3. Employee Benefits Fund III. INVESTMENT OBJECTIVES AND STRATEGY It is the policy of the City that all funds shall be invested in conformance with state and federal regulations, applicable bond ordinance requirements, and adopted Investment Policy. In accordance with the Public Funds Investment Act, the following prioritized primary objectives, in accordance with the Texas Government Code Section 2256.005(d) apply to the City’s investment strategy. Listed in order of their priority, these objectives encompass: A. Suitability – Understanding the suitability of the investment to the financial requirement of the City is important. Any investment eligible in the Investment Policy is suitable for all City funds. B. Safety – Preservation and safety of principal are the primary objectives of the Investment Policy. Investments of the City shall be undertaken in a manner that seeks to insure the preservation of capital in the overall portfolio. To obtain this goal, diversification is required in the portfolio’s composition. The suitability of each investment decision will be made on the basis of these objectives. The City prefers to invest in money market accounts, certificates of deposits, and United States government backed agency discount notes.   INVESTMENT POLICY The City of Sanger, Texas Page 147 Annual Budget 2016-2017     C. Liquidity – The City’s investment portfolio will remain sufficiently liquid to meet operating requirements that might be reasonably anticipated. The City’s investment portfolio will remain sufficiently liquid and enable it to meet all operating requirements which might be reasonably anticipated. D. Diversification – Investment maturities shall be staggered throughout the budget cycle to provide cash flow based on the anticipated needs of the City. Diversifying the appropriate maturity structure will reduce market cycle risk. Diversification of the portfolio will include diversification by maturity and market sector and will include the use of a number of brokers/dealers for diversification and market coverage. Competitive bidding will be used on each sale and purchase. E. Yield – Attaining a competitive market yield, commensurate with the City’s investment risk constraints and cash flow characteristic of the portfolio, is the desired objective. The City’s investment portfolio shall be designed with the objective of attaining a market rate of return throughout budgetary and economic cycles, taking into account the City’s risk constraints and the cash flow of the portfolio. “Market rate of return” may be defined as the average yield of the current three-month U.S. Treasury Bill or such other index that most closely matches the average maturity of the portfolio. The City’s objective shall be a reasonably safe yield rate in accordance with payment schedules and other investment goals. Effective cash management is recognized as essential to good fiscal management. Cash management is defined as the process of managing monies in order to ensure maximum cash availability. The City shall maintain a comprehensive cash management program which includes collection of accounts receivable, prudent investment of its available cash, disbursement of payments in accordance with invoice terms and the management of banking services. The City staff will follow the “Prudent Person” statement relating to the standard of care that must be exercised when investing public funds as expressed in the Texas Government Code Section 2256.006(a-b). The Investment Officers shall avoid any transactions that might impair public confidence in the City’s ability to govern effectively. The governing body recognizes that in diversifying the portfolio, occasional measured unrealized losses due to market volatility are inevitable, and must be considered within the context of the overall portfolio’s investment return, provided that adequate diversification has been implemented. The prudence of the investment decision shall be measured in accordance with the tests set forth in the Texas Government Code Section 2256.006(b). It shall be the policy of the City not to invest in speculative instruments such as derivatives. IV. LEGAL LIMITATIONS, RESPONSIBILITIES AND AUTHORITY Direct specific investment parameters for the investment of public funds in Texas are found in the Public Funds Investment Act of the Texas Government Code Section 2256. The Interlocal Cooperation Contracts, Section 791, of the Texas Government Code authorizes local governments to participate in public funds investments in conjunction with other local governments and agencies of the state of Texas. Section 791 along with Section 2256 of the Texas Government Code provides authorization for participation in investment pools to invest public funds jointly with objectives of preservation and safety of principal, liquidity, and yield. V. DELEGATION OF INVESTMENT AUTHORITY The City Manager and the Finance Director acting on behalf of the City Council are designated as the Investment Officers of the City and are responsible for investment management decisions and activities. The Council is responsible for considering the quality and capability of staff, investment advisors, and consultants involved in investment management and procedures. All participants in the investment process shall seek to act responsibly as custodians of the public trust. The Investment Officers shall develop and maintain written administrative procedures for the operation of the investment program which are consistent with the investment policy. Procedures will include reference to   INVESTMENT POLICY The City of Sanger, Texas Page 148 Annual Budget 2016-2017     safekeeping, wire transfers, certificates of deposit, and fund accounts. Additional procedures will be documented for the performance of wire transfer agreements; banking services contracts, and other investment related activities. The Investment Officers shall be responsible for all transactions undertaken and shall establish a system of controls to regulate the activities of subordinate officials and staff. The Investment Officers shall designate a staff person as a liaison/deputy in the event circumstances require timely action and the Investment Officers are not available. No officer or designee may engage in an investment transaction except as provided under the terms of this policy and the procedures established by the Investment Officers and approved by the City Council. VI. PRUDENCE – STANDARD OF CARE The standard of prudence to be used in the investment function shall be the “prudent person” standard and shall be applied in the context of managing the overall portfolio. The Texas Government Code Section 2256.006(a) states Investments shall be made with judgment and care, under prevailing circumstances, that a person of prudence, discretion, and intelligence would exercise in the management of the person’s own affairs, not for speculation, but for investment, considering the probable safety of capital and the probable income to be derived. Limitation of Personal Liability The Investment Officers and those delegated investment authority under this policy, when acting in accordance with the written procedures and this policy and in accordance with the written procedures and this policy and in accord with the Prudent Person Rule, shall be relieved of personal responsibility and liability in the management of the portfolio provided that deviations from expectations for a specific security’s credit risk or market price change or portfolio shifts are reported in a timely manner and that appropriate action is taken to control adverse market effects. VII. INTERNAL CONTROLS The Investment Officers shall establish a system of written internal controls which will be reviewed annually with the independent auditor of the City. The controls shall be designed to prevent losses of public funds arising from fraud, employee error, misrepresentation by third parties, unanticipated changes in financial markets, or imprudent actions by employees or Investment Officers of the City. Cash Flow Forecasting Cash flow forecasting is designated to protect and sustain cash flow requirements of the City. Supplemental to the financial and budgetary systems, the Investment Officers will maintain a cash flow forecasting process designed to monitor and forecast cash positions for investment purposes. Cash flow will include the historical researching and monitoring of specific cash flow items, payables, and receivables as well as overall cash position and patters. VIII. AUTHORIZED INVESTMENTS Acceptable investments under this policy shall be limited to the instruments listed below. The investments shall be selected in a manner which promotes diversity of the market sector and maturity. The selection of high-grade government investments and high-grade money market instruments is designed to assure the marketability of those investments should the need for liquidity arise. A. Obligations of the United States Government, its agencies and instrumentalities, and government sponsoring enterprises, not to exceed two years to stated maturity; B. Fully insured or collateralized certificates of deposit from a bank doing business in the State of Texas and under the terms of a written depository agreement with that bank, not to exceed three years to the stated maturity; C. Money market funds authorized by the Public Funds Investment Act of the Texas Government Code Chapter 2256. D. Texas Local Government Investment Pools authorized by the Public Funds Investment Act of the Texas Government Code Chapter 2256. Additional types of securities approved for investment of public funds by Texas state statutes are not eligible for investment by the City until this Investment Policy has been amended and the amended version approved by the City Council authorizing investment of these additional types of securities.   INVESTMENT POLICY The City of Sanger, Texas Page 149 Annual Budget 2016-2017     Competitive Bidding Requirements All securities, excluding certificates of deposit, will be purchased or sold after three (3) offers/bids are taken to verify that the City is receiving fair market value/price for the investment. Delivery versus Payment All security transactions, including collateral for repurchase agreements, entered into by the City, shall be conducted on a delivery versus payment (DVP) basis. IX. SAFEKEEPING AND COLLATERALIZATION The laws of the State and prudent treasury management require that all purchased securities be bought on a delivery versus payment basis and be held in safekeeping by either the City, an independent third party financial institution, or the City’s designated depository. All safekeeping arrangements shall be designed by the Investment Officers and an agreement of the terms executed in writing. The third party custodian shall be required to issue safekeeping receipts to the City listing each specific security, rate, description, maturity, cusip number, and other pertinent information. Each safekeeping receipt will be clearly marked that the security is held for the City or pledged to the City. All securities pledged to the City for certificates of deposit or demand deposits shall be held by an independent third party bank domiciled in Texas. The safekeeping bank may be written within the same holding company as the bank, from which the securities are pledged. Collateralization Collateralization shall be required on all public funds of the City over the FDIC insurance coverage limit, and in order to anticipate market changes and provide a level of additional security for all funds, the collateralized level required will be 102% of the market value of the principal accrued interest. XII. PERFORMANCE EVALUATION AND REPORTING The Investment Officers shall submit quarterly and annual reports to the City Council containing a written report of investment transactions and investment positions as of the date of report. The report will be prepared jointly by all involved in the investment activity and be signed by the Investment Officer(s). XIII. DEPOSITORIES The City will designate one banking institution through a competitive process as its central banking service provider. This institution will be used for normal banking services including disbursements, deposits, and lockbox. As a matter of ensuring liquidity and security should the funds deposited with the designated bank be temporarily unavailable, the City will maintain an emergency reserve in another qualified bank. XIV. INVESTMENT POLICY ADOPTION BY CITY COUNCIL The City’s Investment Policy shall be formally approved and adopted by resolution of the City Council and reviewed annually in accordance with the provisions of the Public Funds Investment Act of the Texas Government Code Chapter 2256. XV. AMENDMENT In the event Texas state law changes and the City cannot invest in the investments described by this policy, this policy shall automatically be conforming to existing law.   INVESTMENT POLICY The City of Sanger, Texas Page 150 Annual Budget 2016-2017     2015 Performance Measure Highlights As we begin 2016 we start our fourth year of measuring performance in the departments. Each department has developed performance measures for their department and established benchmarks for those performance measures. Most performance measures are reported monthly. One purpose of monitoring performance measures is to check for trends that might indicate a problem with service delivery. This helps me keep on top of things. We also publish it on the website each month so the public can see how we are doing. We do not use performance measures as continuous improvement tools. However, monitoring them has led to service improvements and efficiencies. Department heads are tasked with improving their departments in their annual performance review. Performance measures are leading indicators of core performance for the department and should not change much over time. When they do, we look into what is causing the change. Following this synopsis is a list of all the performance measures but first let’s look at some highlights. Administration continues to process Freedom of Information requests within the statutorial time limit 100% of the time. The police department’s response time has decreased over the last five years. This is likely due to more accurate information from the software system. However, this is one I monitor closely because an increase could indicate the need for more police personnel on the street. Code enforcement continues to send out letters on complaints the same day it is received 75% of the time and always within the three-day benchmark. Because of the time requirements of the statutes it is imperative that we start the process as quickly as possible. One benchmark that will change for 2016, due to the additional fire personnel added to this year’s budget, is the number of personnel on fire calls within the first ten minutes. The benchmark will go from three to four. This is imperative for firefighter safety since mutual aid assistance is so far away. I also monitor their response times closely within the city limits as an indicator of the need for more resources. In the municipal court, case disposal within sixty days has been a real challenge. We hope to improve in this area now that we are working with a new collection agency. Another performance measure that is getting our attention is in Development Services. Turn around on building permits is trending upward due to the increase in volume. This is one reason we hired Bureau Veritas to assist us with inspections. The condition of our parks continues to rate consistently high with park patrons which is a testament to the care the parks department provides. Finance scored 100% on all of their performance measures for the entire year last year due to their high diligence and strong internal controls. Also, the Electric department has rated 100% satisfied in customer service for the last three years. The end of the year is also the time we look at revising any of the benchmarks. I have already mentioned a couple that will be adjusted. Another adjustment will be in the water department concerning the amount of time it takes to respond to a water leak. The benchmark was initially set at sixty minutes. However, they have consistently responded in less than twenty minutes for the last two years. We are currently considering lowering this benchmark to 20 minutes based on past history. This gives us a more appropriate benchmark to monitor. You will notice that some performance measures do not have benchmarks but say “Info Only”. These are input and output performance measures opposed to outcome performance measures. Outcome performance measures are customer focused. In other words, how does the activity impact the customer? Input and output performance measures measure trends over time. We use input and output performance measures to track key indicators internally. They help us predict future service levels and needs.   PERFORMANCE MEASURES The City of Sanger, Texas Page 151 Annual Budget 2016-2017     Performance measures are used differently from organization to organization. We use them to indicate potential problems and as a quality assurance tool. We also use them for future planning purposes. For example, an increase in police response times might indicate a need for additional personnel. We use them to establish a base level of service while using other processes like the merit pay system to encourage and reward higher levels of service. I hope you find this report informative and helpful. Mike Brice, City Manager Performance Measure Critical Mission Stakeholders Frequency Benchmark FY 2013 Average FY 2014 Average FY 2015 Average Administration New employee orientation will be completed within 2 business days on average. Human Resources Employees Quarterly 2 Days 1.1 1 1.15 100% of employees will complete their annual training each year. Human Resources Employees Annually 100% 100% 100% 100% Monthly Human Resources reports will be submitted on or before the due date. Human Resources Vendors/ Govt. Entities Monthly 100% 100% 100% 100% 100% of open records requests are processed in the time allowed. Records Management Public Monthly 100% 100% 100% 100% Economic Development Inquiries are followed up on within 24 hours on average to ensure a prompt response. Responsive Potential Businesses Monthly 100% 100% 100% 100% Annually update a plan for long term infrastructure improvements that will facilitate retail and industrial growth. Infrastructure Improvements Public/ Business Annually By October First Complete Police To promote community interaction each officer will make 5 public contacts per shift on average. Community Interaction Public Monthly 5 or more 7.17 7.19 5.84 To meet customer expectations, respond to calls for service within 7 minutes on average. Customer Service Public Monthly Under 7 minutes 6.42 5.84 4.55 Keep the public informed by providing local media crime and prevention information 4 times per month. Public Information and Crime Prevention Public Monthly 4 or more 3.92 4.42 5.27 Respond promptly to complaints by sending registered letters on all valid complaints within 3 business days on average. Code Enforcement Public Monthly 3 or less 0.97 0.34 0.25 Animal Control To promote community interaction the Animal Control Officer will make 4 public contacts per shift on average. Customer Service Public Monthly 4 4.34 5.73 5.45 Fire On Average, 3 personnel will be on scene within 10 minutes of dispatch on fire related emergencies. Fire Suppression Public Monthly 3 or more 3.12 3.26 3.24 Time of alarm until arrival on scene on fire calls inside the city limits. Fire Suppression 6 minutes or Less on Average 6 06:31 Time of alarm until patient care is initiated inside the City Limits EMS 6 minutes or Less on Average 4.73 05:14 98% of patient will arrive at the Hospital with their condition either improved or Unchanged. EMS Public Monthly 98% 99% 99% 98% Municipal Court On a scale of 1 to 4, defendants rate us at 3 or higher on being treated fairly. Fair Treatment Public Monthly 3 or Higher 3.46 3.77 4.05 On a scale of 1 to 4, defendants rate us at 3 or higher on being provided prompt service. Prompt Service Public Monthly 3 or higher 3.56 3.76 3.73 On a scale of 1 to 4, defendants rate us at 3 or higher on being provided courteous service. Courteous Service Public Monthly 3 or higher 3.55 3.92 3.65 To meet expectations of promptness 98% of cases will be disposed of or turned over to collections in 60 Days on average Prompt Service Public Monthly 98%Measure Revised 49% 46% Complete   PERFORMANCE MEASURES The City of Sanger, Texas Page 152 Annual Budget 2016-2017     Performance Measure Critical Mission Stakeholders Frequency Benchmark FY 2013 Average FY 2014 Average FY 2015 Average Development Services Process permit applications in 5 business days or less on average (excluding time waiting for applicant action). Prompt Service Public Monthly 5 or Less 1.58 1.35 2.61 80% of responders to a notice of public hearing will report being well informed by the notice and other information provided. Citizen Engagement Public Monthly 80%96% 97% Council and Board members will report being well informed on the issue at hand 90% of the time. Information Boards Monthly 90% 96% 100% 98% Streets Number of potholes repaired during the month. Number of utility cut repairs during the month. Number of traffic signs replaced during the month. Tons of Asphalt used for patching Street Maintenance Public Monthly Info Only 51.74 Yards of concrete street repair.Street Maintenance Public Monthly Info Only 22.83 Parks To meet customer expectations of promptness 90% of brush work orders will be completed within 4 business days, on average, of the request. Brush Removal Public Monthly 90% 90% 92% 87% To meet customer expectations patrons will rate their satisfaction level with the maintenance of public parks at 3 or higher. Park Maintenance Public Monthly 3 or higher 3.69 3.41 3.62 To meet customer expectations park patrons will rate their satisfaction level with the condition of the public parks at 3 or higher. Public Satisfaction Public Monthly 3 or Higher 3.54 3.55 3.57 Citizens are engaged by volunteering X numbers of hours on average each month in the parks. Citizen Engagement Public Monthly Info Only 28.08 27.33 The number of acres mowed each month.Park Maintenance Management Monthly Info Only 153.60 129.40 Number of rentals each month Cost Recovery Management Monthly Info Only 32.92 11.42 Cumulative percentage of expenditures recovered anually. Cost Recovery Management Monthly Info Only 1.02% 0.63% Library 80% of information seekers will be satisfied with the results of their library visit. Provide Information Public Monthly 80% 83% 90% 89% 80% of patron's seeking information remotely will be satisfied with the results of their inquiry. Provide Information Public Monthly 80% 85% 97% 97% To meet patron's expectations, the average wait time for a computer will be less than 10 minutes. Public Computer Access Public Monthly 10 minutes or less 7.0 5.35 5.16 90% of patrons requesting computer assistance will be satisfied with the result. Public Computer Access Public Monthly 90% 97% 91% 93% 90% of patrons seeking materials for entertainment will be satisfied with the results of their library visit. Recreational Reading, listening and viewing Public Monthly 90% 96% 98% 98% Finance To ensure accurate billing 98% of utility bills will be correct prior to posting. Utility Billing Utility Customers Monthly 98% 97% 100% 100% To meet Department expectations 98% of purchase requests will be processed to purchase orders within 3 business days on average. Purchasing Employees Monthly 98% 100% 100% 100% To meet vendors expectations 100% of all accurate invoices will be paid within 30 days. Accounts Payable Vendors Monthly 98% 100% 100% 100% To meet our fiduciary duty 98% of bank deposits will be accurate when they are deposited in the bank. Cash Collections Public Monthly 98% 99% 100% 100% To meet employee expectations 98% of all checks will be processed without any errors attributable to the finance department. Payroll Employees Monthly 98% 100% 100% 100% 98% of Customers will rate their satisfaction with our service as three or better on a scale of 1-4. Customer Service Customers Monthly 98% 100% 100% 100% Fleet Services Complete repair orders in a maximum of five business days on average. Customer Service Internal Customers Monthly 5 days 3.45 3.75 Complete all scheduled routine maintenance in a maximum of five business days on average. Customer Service Internal Customers Monthly 5 days 3.05 2.82 Number of Completed routine Maintenance orders Complete all emergency repair orders within the same business day. Customer Service Internal Customers Monthly 1 day 0.17 0.38 Currently Under Revision   PERFORMANCE MEASURES The City of Sanger, Texas Page 153 Annual Budget 2016-2017     Performance Measure Critical Mission Stakeholders Frequency Benchmark FY 2013 Average FY 2014 Average FY 2015 Average Water/ Waste Water Line Maintenance To meet customer expectations of prompt service, water leaks will be responded to within sixty minutes or less on average. Water line maintenance Public Monthly 60 minutes or less 11.43 0:12:55 To meet customer expectations of prompt service, minor sewer blockages will be corrected within sixty minutes or less on average. Waste Water Collection Public Monthly 60 minutes or less 50.41:161:22 New water meters will be set within two working days of generated work order on average. New Service Public Monthly 2 Days 1.43 1.00 Number of water main breaks per month Info Only 2.4 2.82 2.50 Number of re-reads per month Info Only 732.00 823.50 Number of new services installed per month Info Only 3.75 8.33 Monthly Water Consumption Info Only 23,516,208 22,029,612 Waste Water Treatment Average Daily Gallons Treated per Month Info Only 581,910 634,310 Sewer Line Repairs Info Only 1.18 1.25 Daily Peaks over 700,000 gallons Info Only 1.17 5.25 Reduce odor and eliminate unwanted discharge by processing an average of 10 cubic yards of sludge on average each month. Waste Water Treatment Public Monthly 10 or more 18.33 15.88 10.83 Electric To meet customer expectations, response time to outages will be less than 90 minutes on average. Dependable Service Customer Monthly 90 minutes or less 64.18 76.95 76.23 90% of customers who call with a service problem will be satisfied with the service provided. Customer Satisfaction Customer Monthly 90% 100% 100% 100%   PERFORMANCE MEASURES The City of Sanger, Texas Page 154 Annual Budget 2016-2017     Fiscal Year Principal Interest Total Principal Interest Total Principal Interest Total Principal Interest Total 2017 688,157 209,125 897,282 893,347 450,071 1,343,418 43,949 17,318 61,267 1,625,453 676,514 2,301,967 2018 701,108 188,603 889,711 856,525 427,863 1,284,388 46,014 15,253 61,267 1,603,647 631,719 2,235,366 2019 731,548 163,149 894,697 876,188 400,500 1,276,688 48,176 13,091 61,267 1,655,912 576,740 2,232,652 2020 703,516 136,562 840,078 900,200 371,217 1,271,417 50,439 10,828 61,267 1,654,155 518,607 2,172,762 2021 699,979 111,337 811,316 1,000,200 341,238 1,341,438 52,809 8,458 61,267 1,752,988 461,033 2,214,021 2022 320,190 84,765 404,955 521,500 308,791 830,291 55,290 5,977 61,267 896,980 399,533 1,296,513 2023 334,652 71,541 406,193 538,600 292,064 830,664 57,887 3,380 61,267 931,139 366,985 1,298,124 2024 346,867 57,435 404,302 553,000 274,853 827,853 41,887 4,063 45,950 941,754 336,351 1,278,105 2025 309,300 42,687 351,987 570,700 256,343 827,043 880,000 299,030 1,179,030 2026 323,900 28,193 352,093 596,100 235,189 831,289 920,000 263,382 1,183,382 2027 71,800 13,023 84,823 618,200 212,435 830,635 690,000 225,458 915,458 2028 28,800 9,768 38,568 551,200 187,694 738,894 580,000 197,462 777,462 2029 30,600 8,400 39,000 579,400 165,497 744,897 610,000 173,897 783,897 2030 31,800 6,870 38,670 603,200 141,177 744,377 635,000 148,047 783,047 2031 33,600 5,280 38,880 626,400 115,689 742,089 660,000 120,969 780,969 2032 35,400 3,600 39,000 654,600 89,072 743,672 690,000 92,672 782,672 2033 36,600 1,830 38,430 678,400 61,279 739,679 715,000 63,109 778,109 2034 425,000 32,484 457,484 425,000 32,484 457,484 2035 445,000 20,672 465,672 445,000 20,672 465,672 Total 5,427,817 1,142,168 6,569,985 12,487,760 4,384,128 16,871,888 396,451 78,368 474,819 18,312,028 5,604,664 23,916,692 TotalGeneral Fund Enterprise Fund 4A Total Debt   DEBT SERVICE SCHEDULES The City of Sanger, Texas Page 155 Annual Budget 2016-2017     Fiscal Year Principal Interest Total Principal Interest Total Principal Interest Total 2017 28,900 17,204 46,104 56,100 33,396 89,496 85,000 50,600 135,600 2018 28,900 15,932 44,832 56,100 30,928 87,028 85,000 46,860 131,860 2019 30,600 14,660 45,260 59,400 28,460 87,860 90,000 43,120 133,120 2020 32,300 13,314 45,614 62,700 25,846 88,546 95,000 39,160 134,160 2021 34,000 11,894 45,894 66,000 23,086 89,086 100,000 34,980 134,980 2022 35,700 10,398 46,098 69,300 20,182 89,482 105,000 30,580 135,580 2023 37,400 8,826 46,226 72,600 17,134 89,734 110,000 25,960 135,960 2024 37,400 7,180 44,580 72,600 13,940 86,540 110,000 21,120 131,120 2025 39,100 5,536 44,636 75,900 10,744 86,644 115,000 16,280 131,280 2026 42,500 3,814 46,314 82,500 7,406 89,906 125,000 11,220 136,220 2027 44,200 1,944 46,144 85,800 3,776 89,576 130,000 5,720 135,720 Total 391,000 110,702 501,702 759,000 214,898 973,898 1,150,000 325,600 1,475,600 General Fund 34%Enterprise Fund: 66%Total Certificates of Obligation, Series 2007       Fiscal Year Principal Interest Total 2017 175,000 92,425 267,425 2018 180,000 85,425 265,425 2019 190,000 78,225 268,225 2020 195,000 70,625 265,625 2021 205,000 62,825 267,825 2022 215,000 53,856 268,856 2023 225,000 44,450 269,450 2024 235,000 34,325 269,325 2025 245,000 23,750 268,750 2026 255,000 12,112 267,112 Total 2,120,000 558,018 2,678,018 General Fund 100% Certificates of Obligation, Series 2009     Fiscal Year Principal Interest Total Principal Interest Total Principal Interest Total 2017 154,000 22,418 176,418 196,000 28,532 224,532 350,000 50,950 400,950 2018 156,200 17,798 173,998 198,800 22,652 221,452 355,000 40,450 395,450 2019 162,800 13,112 175,912 207,200 16,688 223,888 370,000 29,800 399,800 2020 169,400 8,228 177,628 215,600 10,472 226,072 385,000 18,700 403,700 2021 145,200 3,993 149,193 184,800 5,082 189,882 330,000 9,075 339,075 Total 787,600 65,549 853,149 1,002,400 83,426 1,085,826 1,790,000 148,975 1,938,975 General Obligation Refunding Bonds, Series 2012 General Fund 44%Enterprise Fund: 56%Total          DEBT SERVICE SCHEDULES The City of Sanger, Texas Page 156 Annual Budget 2016-2017       Fiscal Year Principal Interest Total Principal Interest Total Principal Interest Total 2017 20,400 18,438 38,838 149,600 135,212 284,812 170,000 153,650 323,650 2018 21,000 18,030 39,030 154,000 132,220 286,220 175,000 150,250 325,250 2019 21,000 17,505 38,505 154,000 128,370 282,370 175,000 145,875 320,875 2020 21,600 16,980 38,580 158,400 124,520 282,920 180,000 141,500 321,500 2021 22,200 16,332 38,532 162,800 119,768 282,568 185,000 136,100 321,100 2022 22,800 15,666 38,466 167,200 114,884 282,084 190,000 130,550 320,550 2023 24,000 14,982 38,982 176,000 109,868 285,868 200,000 124,850 324,850 2024 24,600 14,262 38,862 180,400 104,588 284,988 205,000 118,850 323,850 2025 25,200 13,401 38,601 184,800 98,274 283,074 210,000 111,675 321,675 2026 26,400 12,267 38,667 193,600 89,958 283,558 220,000 102,225 322,225 2027 27,600 11,079 38,679 202,400 81,246 283,646 230,000 92,325 322,325 2028 28,800 9,768 38,568 211,200 71,632 282,832 240,000 81,400 321,400 2029 30,600 8,400 39,000 224,400 61,600 286,000 255,000 70,000 325,000 2030 31,800 6,870 38,670 233,200 50,380 283,580 265,000 57,250 322,250 2031 33,600 5,280 38,880 246,400 38,720 285,120 280,000 44,000 324,000 2032 35,400 3,600 39,000 259,600 26,400 286,000 295,000 30,000 325,000 2033 36,600 1,830 38,430 268,400 13,420 281,820 305,000 15,250 320,250 Total 453,600 204,690 658,290 3,326,400 1,501,060 4,827,460 3,780,000 1,705,750 5,485,750 General Fund 12%Enterprise Fund: 88%Total Certificates of Obligation, Series 2013     Fiscal Year Principal Interest Total 2017 115,000 195,725 310,725 2018 115,000 193,500 308,500 2019 110,000 190,950 300,950 2020 180,000 187,375 367,375 2021 295,000 181,638 476,638 2022 285,000 173,725 458,725 2023 290,000 165,062 455,062 2024 300,000 156,325 456,325 2025 310,000 147,325 457,325 2026 320,000 137,825 457,825 2027 330,000 127,413 457,413 2028 340,000 116,062 456,062 2029 355,000 103,897 458,897 2030 370,000 90,797 460,797 2031 380,000 76,969 456,969 2032 395,000 62,672 457,672 2033 410,000 47,859 457,859 2034 425,000 32,484 457,484 2035 445,000 20,672 465,672 Total 5,770,000 2,408,275 8,178,275 Enterprise Fund: 100% Certificates of Obligation, Series 2015     Fiscal Year Principal Interest Total Principal Interest Total Principal Interest Total 2017 218,500 41,998 260,498 256,500 49,302 305,802 475,000 91,300 566,300 2018 220,800 37,628 258,428 259,200 44,172 303,372 480,000 81,800 561,800 2019 230,000 28,796 258,796 270,000 33,804 303,804 500,000 62,600 562,600 2020 241,500 19,596 261,096 283,500 23,004 306,504 525,000 42,600 567,600 2021 248,400 9,936 258,336 291,600 11,664 303,264 540,000 21,600 561,600 Total 1,159,200 137,954 1,297,154 1,360,800 161,946 1,522,746 2,520,000 299,900 2,819,900 General Fund 46% Enterprise Fund: 54% Total General Obligation Refunding Bonds, Series 2016        DEBT SERVICE SCHEDULES The City of Sanger, Texas Page 157 Annual Budget 2016-2017     Fiscal Year Principal Interest Total 2017 43,949 17,318 61,267 2018 46,014 15,253 61,267 2019 48,176 13,091 61,267 2020 50,439 10,828 61,267 2021 52,809 8,458 61,267 2022 55,290 5,977 61,267 2023 57,887 3,380 61,267 2024 41,887 4,063 45,950 Total 396,451 78,368 474,819 4A 100% Warehouse Purchase Note     Fiscal Year Principal Interest Total 2017 48,824 1,411 50,235 Total 48,824 1,411 50,235 Auger Purchase Note Enterprise Fund: 100%     Fiscal Year Principal Interest Total 2017 39,606 11,930 51,536 2018 40,931 10,604 51,535 2019 42,301 9,235 51,536 2020 43,716 7,819 51,535 2021 45,179 6,357 51,536 2022 46,690 4,845 51,535 2023 48,252 3,283 51,535 2024 49,867 1,668 51,535 Total 356,542 55,741 412,283 General Fund: 100% Street Equipment Purchase Note     Fiscal Year Principal Interest Total Principal Interest Total Principal Interest Total 2017 51,751 4,712 56,463 71,323 6,493 77,816 123,074 11,205 134,279 2018 53,277 3,186 56,463 73,425 4,391 77,816 126,702 7,577 134,279 2019 54,847 1,616 56,463 75,588 2,228 77,816 130,435 3,844 134,279 Total 159,875 9,514 169,389 220,336 13,112 233,448 380,211 22,626 402,837 General Fund 42%Enterprise Fund: 58%Total Fire Equipment & Electric Equipment Note       DEBT SERVICE SCHEDULES The City of Sanger, Texas Page 158 Annual Budget 2016-2017