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09/17/2018-CC-Agenda Packet-RegularBANGER *TEXAS AGENDA CITY COUNCIL REGULAR MEETING MONDAY, SEPTEMBER 17, 2018 7:00 PM 502 ELM STREET SANGER, TEXAS 1. Call Meeting to Order, Invocation, Pledge of Allegiance. 2. CITIZEN INPUT: (Citizens are allowed 3 minutes to speak. The City Council is unable to respond or to discuss any issues brought up during this section). 3. CONSENT AGENDA: a) Approval of Minutes: 1. City Council Work Session, September 4, 2018 2. City Council Regular Meeting, September 4, 2018 4. Consider Any Items Removed from Consent Agenda. REGULAR AGENDA 5. Consider, Discuss and Act on Ordinance #09-24-18 — Amending Ordinance 909-29-17, Which Will Amend the Budget For The Fiscal Year And Authorizing Amended Expenditures as Provided. 6. Consider, Discuss and Act on Ordinance #09-25-18 — Levying A Tax Rate of $0.6791 per $100 Valuation (The Same Rate as 2017-18 Fiscal Year) for the General Government For the Fiscal Year 2018-2019 and Providing For an Effective Date. 7. Consider, Discuss and Act on Ordinance 409-26-18 — Adopting the Budget Providing for the Appropriation of Funds for Operating and Capital Expenditures for the Fiscal Year Beginning October 1, 2018 and Ending September 30, 2019, Providing for the Intra and Inter Department and Fund Transfers, Providing for Unexpected Revenues Such as Grants, Donations, and Insurance Proceeds, Providing for an Effective Date, and Providing for Approval of the Investment Policy. 8. Consider, Discuss and Act on Ordinance 409-27-18 — Approving the 2018 Tax Rolls and Providing for an Effective Date. 9. Consider, Discuss and Act on Ordinance #09-28-18 — Denying a Proposed Increase Sought by Atmos Energy-Midtex Division in Connection With the Rate Increase Filing it Made on About June 1, 2018; Approving an Alternative Increase in Rates; Directing Atmos to File Conforming Tariffs And to Reimburse the City's Rate Case Expenses; Making Other Findings and Provisions Related to the Subject; Finding that the Meeting Complies With the Open Meetings Act; and Declaring An Effective Date. 10. INFORMATION ITEMS: a. All American Dogs Report — September 2018. b. Update on the Status of the Solid Waste and Recycling Services Agreement. c. ATMOS Energy Rider GCR — Rate Filing Under Docket No. 10170. d. ATMOS Energy Docket Compliance, GUD No. 9400, Atmos Energy Corp., Mid -Tex Division Annual Gas Cost Reconciliation Filing. 11. FUTURE AGENDA ITEMS: (The purpose of this item is to allow the Mayor and members of Council to bring forward items they wish to discuss at a future meeting, A Council Member may inquire about a subject for which notice has not been given. A statement of specific factual information or the recitation of existing policy may be given. Any deliberation shall be limited to a proposal to place the subject on an agenda for a subsequent meeting. Items may be placed on a future meeting agenda with a consensus of the Council or at the call of the Mayot). 12. ADJOURN. I, the undersigned authority, do hereby certify that this Notice of Meeting was posted on the City Website, and on the bulletin board, at the City Hall of the City of Sanger, Texas, a place convenient and readily accessible to the general public at all times. Said notice was posted on the following date and time: r 1,,�v_ at j . M., and remained posted continuously for at least 724iours prior tot the scheduleq tjW qpf said meeting and shall remain posted until meeting is adjourned. Cheryl ryiV City Secretary City of SWnger, Texas This facility. is wheelchair accessible'WJk66 w Tle parking spaces are available. Requests for accommodations or interpretive services must be made 48 hours prior to this meeting. Please contact the City Secretary's office at (940) 458-7930 for further information. CITY OF SANGER, TEXAS MINUTES: CITY COUNCIL WORK SESSION Tuesday September 4, 2018 — 6:00 PM 502 Elm Street, Sanger, Texas COUNCIL MEMBERS PRESENT: Mayor Thomas Muir; Mayor Pro Tem Gary Bilyeu Councilman Bill Boutwell; Councilman Lee Allison; Councilman David Clark. COUNCIL MEMBERS ABSENT: Councilman Allen Chick. The Mayor and four (4) Council Members were present constituting a quorum. STAFF MEMBERS PRESENT: STAFF MEMBERS PRESENT: City Manager Alina Ciocan; Finance Director Clayton Gray; Public Works Director, Neal Welch; Library Director Audrey Tolle; Human Resources Coordinator, Jeriana Staton; Utility Billing Kristen Wallace; Parks and Recreation Director Jim Berman; City Secretary Cheryl Price. 1. Call Meeting to Order Mayor Muir called the Work Session to order at 6:03 PM on Tuesday, September 4, 2018. 2. Discussion Regarding Request for Proposals Submitted for Solid Waste and Recycling Services. Clayton Gray, Finance Director was recognized by Mayor Muir to provide the presentation. He introduced the Committee Members: Alina Ciocan, City Manager; Cheryl Price, City Secretary; Jim Berman, Parks and Recreation Director; Kristen Wallace, Utility Billing (Finance); and, Jeriana Staton, HR Coordinator. He noted there were representatives from the three proposers. They are not present to make a presentation, but are available if the Council has any questions. He asked if each vendor would stand and make an introduction: Greg Raymer and Jason Raymer Community Waste Disposal; Marty Grant and Brian Culhane, Waste Connections; Bill Osweiler, Tim Henderson, and John Gustafson, Frontier Waste Solutions. Clayton Gray summarized the reasons for issuing an RFP which were discussed at a previous City Council meeting. We wanted to see what other vendors could offer Sanger. The goal is to offer the best mix of price and value both for the City and our customers. He noted that the City could work with any three of the vendors. He stated that staff has a good working relationship with our current vendor and we are committed to developing and maintaining a relationship with whichever one of the vendors is chosen. He noted that from his standpoint, he would like to make some improvements to our current contract. We have had some ongoing issues with billing, customer service with calls being routed to the City, not being notified of missed routes until we make an inquiry and some lack of coordination of delivery and set up with commercial containers. He also noted the condition of the containers we have right now. He noted the residential containers are in good shape, some have different names on them but are in good shape. The commercial containers, some are brand new and some of them are an eyesore. He presented photos of some of the commercial containers and their condition and it was noted that some of them are very visible and not in good condition. Also, to be considered is the frequency of collection, doe we want once a week pick-up or to keep twice a week pick up. A survey was performed by Kristen Wallace in Utility Billing who contacted 35 cities in a 30-mile radius. Of the thirty-five (35) cities, thirty-one (31) of the cities have once a week pick up and four (4) (Boyd, Decatur, Rhome and Tioga) have twice a week pick up. He noted the pros and cons for once a week versus twice a week pick up. With once a week pick up there could be a reduction of heavy trucks on the streets, it would require citizens to adjust to a different schedule and depending on which vendor is chosen, may reduce the cost. We received three (3) RFPs: Waste Connections (current vendor), Community Waste Disposal (CWD), and Frontier Waste Solutions. Mr. Gray summarized the time and processes the committee spent in scoring the evaluation criteria and provided a detailed thorough presentation to Council regarding all aspects of service and pricing for residential, commercial, and city services. There was a lengthy question and discussion period between staff, Mayor and Councilmembers, and the three (3) vendors who were each provided equal time to answer any questions that were posed. CWD noted that they have new vehicles that are 4 axle weight compliant which have cost them an extra $20,000 and will provide less wear and tear on the streets. Frontier Waste Solutions, CEO John Gustafson summarized their financial status and noted that they are stable. Mr. Gustafson stated he has been in the business for 35 years and the company is going to be in the business for long term. Mayor Muir questioned the current provider Waste Connections. He noted in the RFP, that the commercial containers be painted every 2-1/2 years. He questioned if they were chosen, if they were willing to replace or re -paint the containers in the front end of the contract. Also, the RFP asked for 95-gallon recycle containers for Residential. The Recycling containers are currently 65 gal and would they be willing to replace the containers to the larger 95-gallon containers at any time the City desires. Marty Grant with Waste Connections stated they would be willing to change out every commercial container within the first 60 days of the new contract or even sooner if they were awarded the contract. As far as the recycle containers they would switch out the containers at any time to the size that the city desires. He noted they would be willing to change their routes to whatever is best for the city (2 days or 4 days a week). It was noted that there is an annual standard industrywide price increase allowed to the vendors. There was discussion regarding the once and twice a week pick up and it was noted that service is as important as price and that going from twice a week pick-up to once a week pick up would be a difficult change for the residents. It was noted the residents could obtain extra containers if they did go to once a week pick up. Also noted that additional trash outside of the container has and will be continued to be picked up. Resident purchased containers would also be emptied. Commercial container condition and screening was discussed at length. Mayor Muir summarized the work session discussion and thanked the committee for all of the details and concise information to help Council decide on a provider. He stated that even with all of the information provided, it is still a hard decision for the Council to make. 3. Overview of Items on Regular Agenda. No items. 4. Adjourn. There being no further business, Mayor Muir adjourned the Work Session at 7:04 PM. CITY OF SANGER, TEXAS MINUTES: REGULAR CITY COUNCIL MEETING Tuesday September 4, 2018 — 7:00 PM. 502 Elm Street, Sanger, Texas COUNCIL MEMBERS PRESENT: Mayor Thomas Muir, Mayor Pro Tern Gary Bilyeu, Councilman Lee Allison, Councilman Bill Boutwell, Councilman David Clark. COUNCIL MEMBERS ABSENT: Councilman Allen Chick. The Mayor and four (4) Council Members were present constituting a quorum. STAFF MEMBERS PRESENT: City Manager Alina Ciocan; Finance Director Clayton Gray; Public Works Director, Neal Welch; Library Director Audrey Tolle; Human Resources Coordinator, Jeriana Staton; Utility Billing Kristen Wallace; Parks and Recreation Director Jim Berman; City Secretary Cheryl Price. Call Meeting to Orderl, Invocation, Pledge of Allegiance. Mayor Muir called the Tuesday, September 4, 2018 City Council Meeting to order at 7:13 PM. The Invocation was given by Councilman Allison and the Pledge of Allegiance was led by Councilman Clark. 2. CITIZEN INPUT: (Citizens are alloived 3 minutes to speak. The City Council is unable to respond or to discuss any issues brought up during this section). No citizens approached the podium wishing to speak. 3. CONSENT AGENDA: a) Approval of Minutes: Mayor Muir noted that the Consent Agenda will be divided into two votes: Item a) and Item b) because Councilman Clark was not at the last meeting and would not vote on the minutes but would like to vote on Item b). 1. City Council Regular Meeting, August 20, 2018 A motion was made by Councilman Boutwell to approve the minutes of the City Council Regular Meeting of August 20, 2018 as presented. The motion was seconded by Mayor Pro Tern Bilyeu. The motion carried with three (3) in favor and one (1) abstention (Councilman Clark abstained because he was not at the meeting)(Councilman Chick absent). b) Approve Ratification of the Following Change Orders Related to the I-35 Outfall Sewer Phase III Project: Change Order #1 With Dickerson Construction Company, Inc. for Additional Boring Under View Road for Water and Sewer at a Cost of $42,478.00. Change Order #2 With Dickerson Construction Company, Inc. for Additional Boring at a Cost of $16,701.00. A motion was made by Councilman Allison to approve the ratification of the following change orders related to the I-35 Outfall Sewer Phase III Project: Change Order #1 with Dickerson Construction Company, Inc. for additional boring under View Road for water and sewer at a cost of $42,478.00; Change Order #2 with Dickerson Construction Company for additional boring at a cost of $16,701.00, as presented. The motion was seconded by Mayor Pro Tem Bilyeu. The motion carried unanimously (Councilman Chick absent). 4. Consider Any Items Removed from Consent Agenda. None. REGULAR AGENDA 5. Consider, Discuss and Act on a Proposal for Award of Contract for Solid Waste and Recycling Services: Choosing a Provider; Frequency for Residential Service at One (1) or Two (2) Times a Week at the Rates Provided in the Request for Proposal (RFP); and, Direct City Manager to Notify Provider and Negotiate the Solid Waste and Recycling Services Agreement for Council Award and Approval. Mayor Muir summarized the City Council Work Session discussion where the staff committee presented the information to the City Council. Councilman Boutwell advised that Council should determine once a week or twice a week service. Councilman Allison noted that he did not think that once or twice a week would reduce the load on the road. There is a certain amount of garbage to be hauled whether it is once a week or twice a week He noted the more often there are out here picking up trash may be more often disruption on the roads, but he did not see it being more detrimental to the roads. Mayor Muir noted that was his concern regarding the streets and that Councilman Allison may be right that the amount of garbage to remove is the same. There was lengthy discussion regarding the streets and each provider gave a brief comment on their observation on the street wear. John Gustafson with Frontier Waste Solutions was recognized. He stated that it is a big issue to take communities from twice a week to once a week from a consumer's prospective. In regard to street wear it is the same amount of garbage being hauled out to the city and it is the issue of the 35,000-pound truck going down the street. He noted the big question is whether twice a week service is what the City needs and what the residents and voters want. How are you going to quantify the street wear versus the dollar savings on the table. The additional truck weight, street wear is immaterial in the grand scheme of things. Greg Raymer, President of Community Waste Disposal (CWD) was recognized. He pointed out two things on the street wear and tear. He reminded the Council of their four -axle vehicle that is weight compliant. It is a really big deal and cost them an extra $20,000 a vehicle and they would be better for the streets. He noted if they drive the City five days a week they would only come through the entire town once a week and would have fewer road miles. It makes more sense if you calculate the miles the truck has to drive down the streets and two day a week service is going to be more miles. Fewer miles should be better for the truck because they are big and heavy. The other item he wanted to mention is the recycling. They are the original recycler in DFW and received their first contract for recycling in 1992 in Euless, Texas and they still do it. He elaborated on their recycling benefits. Mayor Muir asked about the question at hand, with once or twice a week pick up and that CWD's proposal was considerably higher on the twice a week pick up and asked if he had a comment on the difference in pricing at twice a week. Mr. Raymer advised that it is better utilization of the equipment. If you are going to generate about of 50 pounds per week of trash and if it is picked up twice, they would have to have more equipment and there is less utilization of their capital. They do 22 municipalities and a lot of them have switched from twice to once a week. Nobody likes it and it is kind of hard to do but everybody does it and they get used to it and nobody has switched back. Marty Grant with Waste Connections was recognized and stated he agreed with CWD on twice to once a week that the less time you have the vehicles on the streets in front of the homes the better it is for everyone. What that equates to with damage to the road is a hard thing to tell. He noted he lives in the City of Fort Worth and the whole City is once a week. He noted that he has large families living in his neighborhood and it does not seem to be a big issue. He noted that if there was some extra trash outside of the cart he would promise that it would be moved as long as it was put out on the day of service. Mayor Muir asked if there was any differential in cleanliness of the city with the excess trash. Mr. Grant stated that if the trash is put out on the day of service it would get removed by the trash pick up whether it is in a bag or a container provided by the resident. Mayor Pro Tern noted that we are under a time constraint and asked about if we could change from two to one pick up at a later date in the contract maybe in twelve months. All of the vendors noted that they would not have a problem with that addition to the contract. City Manager Alina Ciocan noted that it is a five-year contract. After discussion, Mayor Muir summarized that all of the vendors agreed that we could sign a multiyear deal with a provision in the contract to go to once a week anytime during the contract. It was noted that it would be easier to go from twice a week to once a week. Mayor Muir noted that what he is hearing is that the Council would like further discussion before going to once a week service and likely start the contract at twice a week and possibly go to once a week later in the contract or continue the twice a week for the duration of the contract. Mayor Pro Tern Bilyeu asked about rate increases and noted the current contractor uses the CPI for the annual rate increases and it is built into the contract. and asked if that is what the other contractors use and Frontier noted that it is the standard. CWD noted that they have provided a comprehensive rate adjustment model in their Proposal which is based on third party numbers and could be easily calculated. Mayor Muir noted on that point that there were years when the current Contractor Waste Connections did not propose a CPI rate increase, that they were a good partner on this issue by not bumping the rate every time they could. Mayor Pro Tern Bilyeu asked if there were any citizens who wished to speak on this Agenda Item. Mr. Gustafson was recognized and stated he was sorry and had to step out a minute ago and realized that he did not answer the Mayors question regarding Frontiers long term prospects. He noted to be clear he has an agreement with their current shareholders that in the event that they desire to seek liquidity and choose to go somewhere else, they are prepared buy them out. Marissa Barrett, 607 South 3rd Street. She noted she has grown up in the City and her parents still live here. She has a family of four, two little boys that destroy everything in the house every other day and they only take their trash out once a week now. She noted that she is not speaking for everyone that lives in Sanger. She noted that she also has friends of the same family size and they only put their trash out once a week. Part of the time because they forget and part of the time because there is just not enough garbage in it. She noted everybody in Sanger would like to see the streets last longer, so if there is any chance of not having as much traffic or as heavy of traffic on the road once a week would be beneficial. Joe Strittmatter, Milam Road was recognized and stated that they have trash pick-up once a week. If it did anything it made them recycle more. There were some weeks they would only have half full cans and the weeks they had more trash than usual they would just recycle more. There was additional discussion regarding once or twice a week pick up and the pros and cons of each. Councilman Clark noted that each of the providers have things that he likes and a couple have things that he does not like. The scoring is subjective. He noted he would make a motion. A motion was made by Councilman Clark to approve Award of Contract for Solid Waste and Recycling Services to Frontier Waste Solutions. With a beginning frequency of twice a week service including an option in the contract to go to once a week for Residential Service.at the Rates Provided in the Request for Proposal (RFP); and, Direct City Manager to Notify Provider and Negotiate the Solid Waste and Recycling Services Agreement for Council Award and Approval. The motion was seconded by Councilman Allison. Discussion was called. Councilman Boutwell noted that if you look at the final scores the motion is not in line with the final scores and the current provider has been here for years and we know they can do the job. He noted that they do need to replace the commercial dumpsters, but he has seen them out replacing the residential containers. He noted that when there is extra trash out that he has spoken highly of them for picking up everything that is put out so for him they do a very good job for us. As the Mayor pointed out there were times when they could have increased their existing contract but did not and gave our citizens a break. Councilman Boutwell stated he is against the motion. Councilman Clark noted that any score is subjective and he likes the idea of saving the residents some money. We have increased water and wastewater for five years now and this is a way to cut some of the cost. Councilman Allision noted that the contract would have a termination clause which could be terminated during the five-year period. Mayor Muir noted that what Councilman Allision is saying is that we have raised some issues at this meeting and we should maybe do a more proactive job managing the contract and level of service to our citizenry — not necessarily negotiating but setting expectations. Councilman Allison noted that he would like to see the possibility of small negotiations like just as an example, painting all of the commercial containers one color during the price increase adjustment periods each year. Mayor Pro Tern Bilyeu asked each of the vendors a question regarding the recycling and asked if there were carbon credits associated with the recycling program. All of the vendors noted there were none. There being no further discussion, motion was called. The vote on the motion was a 2 to 2 vote requiring the Mayor to vote. (Councilman Clark and Councilman Allison voting in favor and Mayor Pro Tem Bilyeu and Councilman Boutwell voting against). Mayor Muir voted against the motion breaking the tie with a 3 against-2 favor vote causing the motion to fail (Councilman Chick absent). Discussion ensued. Mayor Muir noted that the committee scoring scored the current provider a little higher and that sometimes we think, the grass is greener on the other side of the fence and sometimes it is not. He noted that the current provider has offered an improvement of service, replacement of the containers, and the goodwill of not having bumped the rates every time they could have during the contracts annual review. A motion was made by Councilman Boutwell to approve Award of Contract for Solid Waste and Recycling Services to Waste Connections with a beginning frequency of twice a week service and including an option in the contract to go to once a week for Residential Service at the Rates Provided in the Request for Proposal (RFP); and, direct City Manager to notify provider and negotiate the Solid Waste and Recycling Services Agreement for Council award and approval. The motion was seconded by Councilman Allison. Discussion was called. Mayor Muir noted that there were key points brought up that were discussed and need to be handled and dealt with if the contract is awarded to Waste Connections. Painting or replacing the commercial containers at the front end of the contract within the first 60 days; corrections to the billing; handling of customer service calls (which is currently in the current contract); communication on the routes being missed, etc.; residential recycling container size increased from 65 to 95 gallon. Councilman Allision noted that staff needs to be cognizant of the negotiation of the contract regarding the levels of service and items that need to be improved and mentioned in detail in the contract to assure that the current concerns are eliminated or at least minimized. Mayor Pro Tem Bilyeu asked if it was an option if the contract could not be negotiated and we could not get what we are looking for that staff would have the ability to negotiate with the other proposers. It was noted that the contract needed to be negotiated in a timely manner due to the time constraints. Marty Grant with Waste Connections noted that if the City needed more time that they are willing to extend their current contract if that is what the City needs. Mayor Pro Tem Bilyeu noted that he appreciated Waste Connections offering that. The motion carried with a 3-1 vote Councilman Clark voting in opposition to the vote (Councilman Chick absent). 6. Conduct a Public Hearing Regarding a Request for a Variance to Allow Open Channel for Storm Water Runoff Which can be Contained Within two (2) — 60" Pipes; and for Delaying Construction of the Detention Facility to Return Downstream Discharge to Pre - Development Conditions, for Proposed Final Plat of Lots 1 & 2, Block A, Lois Business Park Addition, Being 4.29 Acres and Generally Located South of Lois Road East and Approximately 1000 Fee East of the Intersection of Lois Road East and I-35 Northbound Service Road. Planner Muzaib Ruiz was recognized to summarize the request. The applicant is requesting a variance to allow and open channel for storm water runoff instead of using two 60-inch pipes and the second part of the variance is to remove the requirement to build a detention facility for downstream discharge. The intention of the applicant was to delay the construction of the detention pond and not to remove it. The applicant and engineer, Earl Escobar was recognized and stated they are in the process of developing a final plat of a total of four acres with two lots one being two acres and one being 1.93 acres. They only have development plans for one lot at this time. They were required to convey offsite drainage to be piped through the development and since they are only proposing on the one lot a 30,000 square foot warehouse it is cost prohibitive to extend pipe through the development. They are proposing an earthen channel which will still accomplish the same end goal to convey all flows. It would be privately owned and maintained; however, the City would still have access to the property. Drainage details were discussed between the engineer and City Council. In terms of detention they are not asking for it to be removed but asking that it be included in future development which in their case would be the second lot which is the bigger lot. At that point they would build the detention for future development. If phase two is built the open ditch will remain. It was noted that the City's third - party engineer was present to answer any questions. Mr. Belcheff was recognized and noted that they have reviewed the project for the City. He clarified that there are two variances being requested on the subdivision ordinance. The ordinance requires that all flows be carried in two 60-inch pipes underground and it is an expensive thing to do, but not an unusual request. Their pipe flows are not enough to fill those two sixty -inch pipes. He noted it would be a mix of culverts and open channel and they are asking for a variance to leave most of the channels open except for driveways, etc. that they would have to cross. This is not an unusual request. The second variance is to delay the detention pond to a future phase. The plat is currently only proposing one lot and the detention pond requirement should be noted on the plat for a future phase and/or tied to specific conditions and gave examples as to upon completion of 2/3 of the development, before building permit, etc. Mayor Muir opened the public hearing at 8:24 PM and solicited anyone who wished to speak on this item. There being no persons recognized who wished to speak the public hearing was closed at 8:25 PM. 7. Consider, Discuss and Act on a Request for a Variance to Allow Open Channel for Storm Water Runoff Which can be Contained Within two (2) — 60" Pipes; and for Delaying Construction of the Detention Facility to Return Downstream Discharge to Pre - Development Conditions, for Proposed Final Plat of Lots 1 & 2, Block A, Lois Business Park Addition, Being 4.29 Acres and Generally Located South of Lois Road East and Approximately 1000 Fee East of the Intersection of Lois Road East and I-35 Northbound Service Road. Councilman Allison asked Mr. Belcheff if he knew why the City is requiring the pipe instead of open channels. He noted he personally has a problem with open channels. Mr. Belcheff noted that it is his concern that it is usually runoff from another property and there is more of a maintenance issue with open channels. The have offered to put a property owner association that would maintain this earthen channel. There was discussion between Mr. Belcheff and Councilman Allision regarding the channels, maintenance and revisions to the ordinance. Mayor Muir asked if the land around the property develops will the open channel fit with future development of the other land surrounding it. It was noted the property is right on 1-35 and it is Industrial Zoning which is an intense zoning and it may into effect future development. Mayor Muir asked how staff should go about noting the detention pond, by just platting one lot now and noting it for future development or putting it on the plat. Mr. Belcheff noted that the channel is on Lot 3 he suggested putting the notes on the plats and it is best to have a development agreement noting all of the requirements. Once Lot 1 is platted it is going to be hard to make them do something that is on someone else's property. Councilman Boutwell asked what type of business they would put on the property. They said anyone that wants to put a business in a 30,000 building. Mayor Pro Tem Bilyeu noted that if the Engineer says that an open channel will suffice he is good with that, but maintenance needs to be addressed and has to be their responsibility. The note on the plat will say that the City has the right to access the channel to maintain it and site the owner and put a lien on the property for maintenance. There are a couple of steps that the City can take to assure that the channel is maintained. Mayor Pro Tem Bilyeu asked how to trigger the detention pond since it is on a different lot. Mr. Belcheff noted it does complicate the issue and that is why a development agreement should be done and it be tied to the entire development of the tract so that as these pieces are sold off so that it runs with all of the properties. If it is not documented it could become a problem in the future and he would not encourage it not being noted. He advised noted that the drainage channel is on Lot 3 and they are not planning on platting it. He also noted that detention facilities do fail and may not be maintained. Mayor Muir asked how best is it for the Council to tie the obligation into clarification for a possible motion how this would be addressed. Mr. Belcheff noted that the channel that they are talking about is actually offsite of Lot 1 and 2 so it is not even on those two lots which they are trying not to plat. He suggested putting the notes on the plats for Lot 1 or Lot 1 and 2 or the whole entire plat but it is best to have a development agreement that memorializes the agreement and what they are doing in lieu of in exchange for getting the variance and it follows the property as it sells. He recommended approval of the two variances as presented in the requests contingent on staff developing a development agreement that the future development of the detention pond attach to the entire property and the maintenance of the channel is addressed with appropriate penalties to enforce said maintenance. Staff will deal with what is best as far as if there is an association formed for maintenance. A motion was made by Mayor Pro Tem Bilyeu to approve a variance to allow open channel for storm water runoff with the maintenance being the sole responsibility of the property owner; and that they be allowed to initially delay the development of the detention pond with a development agreement developed by staff to implement that detention pond to be developed on the future lots and immediately place the responsibility of the maintenance of the open channel and the detention pond to the owners of the property and providing for a remedy if the property is not maintained, for proposed final plat of Lots 1 & 2, Block A, Lois Business Park Addition, being 4.29 acres and generally located south of Lois Road East and approximately 1000 feet east of the intersection of Lois Road East and I-35 Northbound Service Road. The motion was seconded by Councilman Boutwell. Mayor Pro Tem Bilyeu noted he wanted to add the word allowing for "remedy" if the property is not maintained. Mayor Muir asked if Councilman Boutwell was ok with adding the wording to the motion and Councilman Boutwell stated yes (included in motion above). The motion carried unanimously with a 4-0 vote (Councilman Chick absent). 8. Consider, Discuss and Act on the Final Plat of Lots 1 and 2, Block A, of Red Willow Addition, Being 9.118 Acres in the R. Bebee Survey A-29, and Being in the Extraterritorial Jurisdiction (ETJ) of the City of Sanger, Generally Located South of Lake Ray Roberts Drive and Approximately 375 Feet East of the Intersection of Lake Ray Roberts Drive and Union Hill Road. Planner Muzaib Ruiz was recognized to summarize the request. He stated that it a final plat for Red Willow Addition and they are dividing into two lots. It is in the Lake Ray Roberts Zoning District. It was originally in Agricultural zoning and they recently got R-4 Zoning approved. The lots meet the minimum zoning criteria of four acres and they meet the subdivision regulations. A motion was made by Mayor Pro Tent Bilyeu to approve the Final Plat of Lots 1 and 2, Block A, of Red Willow Addition, being 9.118 Acres in the R. Bebee Survey A-29, and being in the Extraterritorial Jurisdiction (ETJ) of the City of Sanger, generally located south of Lake Ray Roberts Drive and approximately 375 feet east of the intersection of Lake Ray Roberts Drive and Union Hill Road. The motion to was seconded by Councilman Allison. The motion carried unanimously with a 4-0 vote (Councilman Chick absent). Consider, Discuss and Act on the Final Plat of Lake Ridge Estates. Phase 3, Being 11.15 Acres of Land Situated in the Reuben Bebee Survey, Abstract No. 29, an Addition to the City of Sanger, Generally Located North of the Intersection of McReynolds Road and Lake Ridge Drive, and North and East of Lake Ridge Phase I. Planner Muzaib Ruiz was recognized to summarize. He advised the applicant is proposing to subdivide the property into 54 lots of record within the Lake Ridge Subdivision. The lots meet the Lake Ridge Planned Development Standards per the Ordinance. A letter of Map revision for floodplain was issued from FEMA on June 26, 2018. The plat meets the City of Sanger Subdivision regulations and Planned Development Ordinance #05-06-18 and Staff recommends approval contingent upon the following conditions: Off -site easements will be acquired by separate instrument(s) and acknowledged (with filing information noted on the Plat) by the City prior to Plat filing. 2. Building Permits for individual lots and final acceptance by the City of public facilities not be provided until after November 9, 2018, the effective date contained in the FEMA Letter of Map Revision Determination Document. Mayor Pro Tem Bilyeu asked what prompted the requirement 91. Planner Muzaib Ruiz noted that there are easements offsite that are not acquired yet and we are asking them to acquire them by separate instrument and record them on the plat before it is filed. Mayor Pro Tem Bilyeu asked what if those are not recorded on the plat. Staff noted the plat will not be filed. Councilman Allison asked why the minimum finished floor elevations were not on the plat. The developer noted that he took them off because they are no longer in the flood zone. Councilman Allison stated that they should be on the plat. Councilman Allison noted that the City Ordinance states that the homes in a subdivision need to be built at least two feet above the base floor elevation and when issuing the building permits staff looks at the plat and notes the finished floor elevation and that it has to be met. The City's third -party engineer Mr. Belcheff was recognized and stated that he agreed with Councilman Allison that they should be on the plat. He also noted that they would be required to obtain a flood certificate for any lots that are adjacent to or near a flood plain. A motion was made by Mayor Pro Tem Bilyeu to approve the final plat of Lake Ridge Estates. Phase 3, being 11.15 acres of land situated in the Reuben Bebee Survey, Abstract No. 29, an addition to the City of Sanger, generally located north of the intersection of McReynolds Road and Lake Ridge Drive, and north and east of Lake Ridge Phase I with the following conditions: Off -site easements will be acquired by separate instrument(s) and acknowledged (with filing information noted on the Plat) by the City prior to Plat filing. 2. Building Permits for individual lots and final acceptance by the City of public facilities not be provided until after November 9, 2018, the effective date contained in the FEMA Letter of Map Revision Determination Document. 3. Add the Finished Floor Elevations for each lot to the final plat. The motion was seconded by Councilman Clark. The motion carried unanimously (Councilman Chick absent). 10. Consider, Discuss and Act on the Final Plat of Estates at Wind Song Hill Addition, being 66.181 Acres in the J.P.B. January Survey, Abstract No. 658, and Being in the Extraterritorial Jurisdiction (ETJ) of the City of Sanger, Generally Located North of Kildee Trail and East of Bob White Way. Planner Muzaib Ruiz summarized noting the applicant is proposing to subdivide the property into 57 lots of record for single family residential development with a minimum of one acre lots. The property is located within the ETJ of the City of Sanger. The plat was sent to Denton County for a courtesy review. Water service will be Bolivar Water, electric will be provided by CoSery Electric. The plat meets Denton County subdivision regulations. The applicant has also submitted construction/civil plans to Development Services which are currently being reviewed by a third -party engineer. Councilman Allison asked about Flood Plain and was concerned about the plat not having all of the review comments from the civil engineer. Mayor Pro Tern Bilyeu noted that we are some of getting these developments in that are not complete and is hard for staff to keep up with all of this. Planner Muzaib Ruiz noted that the Texas Local Government Code gives us 30 days to approve the plat and the actual construction plans take more than 30 days. Councilman Allison said we could do what other cities do and get a waiver or we can always deny it. It does not mean we have to approve it. Mayor Muir noted that it seems that developers are pushing us to get items on the agenda before they are complete. Mayor Muir noted that he got a call regarding the property from adjacent residents and that they said they were moving dirt. Planner Muzaib Ruiz noted that they were doing that and the City went out and gave them a stop work order. There was lengthy discussion regarding the review of the plans and other items such as TCEQ septic requirements. A motion was made by Councilman Allison to approve the final plat of Estates at Wind Song Hill Addition, being 66.181 Acres in the J.P.B. January Survey, Abstract No. 658, and being in the extraterritorial jurisdiction (ETJ) of the City of Sanger, Generally Located North of Kildee Trail and East of Bob White Way with the following stipulation: 1. Contingent upon the construction plans being completed and review being acceptable by City staff and all of the easements and right-of-way being accommodated by the plans. The motion was seconded by Mayor Pro Tern Bilyeu. The motion carried unanimously with a 4- 0 vote (Councilman Chick absent). There was a short four -minute break taken at this point in the meeting. Meeting reconvened at 9:13 PM 11. Consider, Discuss and Act on the Amended Plat of Lots 1-A and 2-A, Block A of Kirkland Street Addition, Being an Amendment of Lots 1-3, Block A of Kirkland Street Addition, Being 0.473 Acres in the R. Bebee Survey A-29, an Addition to the City of Sanger, Generally Located Southwest of the Intersection of Kirkland Street and Sims Street. Planner Muzaib Ruiz was recognized to provide a summary of the project. The final plat was platted about a month ago and initially was platted into three lots and the applicant would like to replat the lots into two lots. The applicant is proposing to amend the existing plat of Lots 1-3, Block A of Kirkland Street Addition to decrease the total number of lots from 3 to 2 lots. The property is zoned SF-10 and meets all SF 10 zoning standards. A motion was made by Councilman Boutwell to approve the final plat of the amended plat of Lots 1-A and 2-A, Block A of Kirkland Street Addition, being an amendment of Lots 1-3, Block A of Kirkland Street Addition, being 0.473 Acres in the R. Bebee Survey A-29, an addition to the City of Sanger, generally located southwest of the Intersection of Kirkland Street and Sims Street. The motion was seconded by Mayor Pro Tern Bilyeu. The motion carried unanimously with a 4-0 vote (Councilman Chick absent). 12. Conduct the Second Public Hearing on a Proposal to Increase Total Tax Revenues From Properties on the Tax Roll in the Preceding Year by 12.70% with the Proposed Tax Rate of $0.6791 per $100 of Assessed Valuation (Tax Rate is Proposed to Remain the Same as the Preceding Year's Tax Rate of $0.6791 per $100). Schedule and Announce Meeting Date and Time to Adopt Tax Rate (3-14 Days From This Date). Mayor Muir read the above caption noting that at the Monday September 17th 2018 City Council Meeting would be the Meeting Date for final adoption of the proposed budget, the tax rate, and approving the tax rolls. Mayor Muir opened the Public Hearing at 9:17 PM to hear fiom anyone who wished to speak on the proposed tax rate. Mayor Muir noted that the tax rate is staying the same. The property valuations as they go up produces additional revenue as the City is a growing City and we produce additional revenue as we grow so we are holding the tax rate at the same rate. There being no one approaching the podium who wished to speak, the Public Hearing was closed at 9:18 PM. 13. Consider, Discuss and Possibly Act on Approving and Authorizing the City Manager to Execute Amendment #5 With Alan Plummer Associates, Inc. in the Amount of $47,923 for Additional Resident Project Representation Fees Related to the Sanger Wastewater Treatment Plan Improvement Project. Public Works Director Neal Welch was recognized and stated if the Council has any questions he would be glad to answer them. Mayor Muir noted that Jeff Caffey with Alan Plummer is present at the meeting. There was discussion regarding the item and Mayor Muir noted that this puts extra representation for the City on the ground for this project with inspections. Mr. Jeff Caffey with Alan Plummer noted that time and material is completed and there is no more structural work and most of the work is above ground and can be inspected and addressed in two days a month. He noted that there was some discussion of having a Class A Plant Operator on - site on the start up of plant one to make sure it goes well, and this item is not included in this amendment. Mr. Caffey explained the inspection process for the concrete and underground piping. A motion was made by Mayor Pro Tem Bilyeu to approve and authorizing the City Manager to execute Amendment #5 with Alan Plummer Associates, Inc. in the amount of $47,923 for additional resident project representation fees related to the Sanger Wastewater Treatment Plan Improvement Project. The motion was seconded by Councilman Boutwell. The motion carried with a 3-1 vote. Councilman Clark voting in opposition (Councilman Chick absent). 14. Consider, Discuss and Possibly Act on Approving and Authorizing the City Manager to Execute Change Order No. 3 Between the City of Sanger and Felix Construction Company Related to the Sanger Wastewater Treatment Plan Improvement Project Which Includes ($390.48) in Credit and Seventy (70) Additional Days of Contract Time. Public Works Director Neal Welch was recognized and stated there were several things that made up Change Order #3 (noted below) and summarized each item for Council. PCM-08 — Delete one channel of the UV facility. This was a redundant channel that was originally included in the expansion for the future. PCM-09 — Requires the contractor, Felix Construction to provide heat tract tape, heat trace junction boxes, additional insulation and additional air release valves. CMR —12 — Requires the contractors to utilize shotcrete in place of concrete on the east and west slopes of the peak flow storage basin CMR — 13 — Additional steel tank repairs on Plant #1 that were not planned and discovered when the plant was emptied CMR-14- Additional cost for Hydrotank Councilman Allison asked about PCM-08 and the redundant channel for the UV and if it was for when one channel is out the other could be in operation. He noted that it says something about future expansion. Mr. Welch noted that if there is an occasion where we to need to do that we can add the channel real easy. We could add a second channel without a whole lot of work if we ever need it. Councilman Allison asked why we needed a hydrotank if we were tied into City water. Mr. Caffey noted that the plant is on City water but they are using plant recycled water. It is for washing out the storage basin and spray water on the clarifiers. Through questioning by Councilman Clark it was noted that the UV Channel was easy maintenance with a plug and play system and the heat trace tape was an add -in. Mayor Pro Tem Bilyeu asked what the trigger points of the project are now with the timeline changes. Mr. Caffey noted that the Start up of Plant 1 is going to be completed during the second week of October. At that point they will start introducing sludge into Plant 1 and starting the treatment process. It was noted the rotary press is already operational. October 15th is the start of the testing date and November 15th will be the handover date. Mayor Muir noted as an FYI that there are discussions regarding extra personnel that should be on -site during the start-up of the plant and it is not budgeted and will be something we see in the future. Councilman Clark asked about the plant operators licenses the city has. It was noted that we have an A, B and C Licensed Plant Operators. Mayor Pro Tern Bilyeu voiced his concerns regarding the contract amount for the wastewater plant. It was noted that the project being an 11-million-dollar project that we are over approximately $73,000. City Manager Alina Ciocan noted that we do still have about a year to go. Councilman Allison voiced his concern regarding the future upkeep and maintenance of the wastewater plant. A motion was made by Councilman Allison approving and authorizing the City Manager to execute Change Order No. 3 between the City of Sanger and Felix Construction Company related to the Sanger Wastewater Treatment Plan Improvement Project Which includes ($390.48) in credit and seventy (70) additional days of contract time. The motion was seconded by Councilman Boutwell. The motion carried unanimously with a 4-0 vote (Councilman Chick absent). 15. Consider, Discuss and Possibly Act on Approving and Authorizing the City Manager to Execute Change Order No. 2 for the McReynolds Road Project with Pavecon Public Works, LP for a Reconciliation for the Total Project with a Projected Reduction in Cost of $222,202.04 Before Considering Additional Change Orders. Mayor Muir noted that Item #16 is an additional $33,978 additional to this amount. Public Works Director Neal Welch summarized. This is a reconciliation to begin to finalize the numbers and reconcile to date. There will be some additional change orders that will change this amount. The net result is that we are still below the contract amount. We are approximately $11,000 in the positive. Councilman Bilyeu asked if the fence was included in this. Mr. Welch noted that the barbed wire fence is a better fence, however the corners and the tie-in posts need to be improved and they are looking at an updated cost to reinforce the fencing to make the homeowners happy. They were done to TxDOT specifications and need to be done to NRCS specifications. The fence itself meets the specifications but the corner posts and tie-in need to be improved to meet those specifications. There was discussion and concern as to why the specified TxDOT fence for the cattle and what improvements need to be made to improve and beef up the fence structure bracing to meet NRCS specifications and satisfy the property owners. Mayor Pro Tern Bilyeu to approve and authorizing the City Manager to execute change Order No. 2 for the McReynolds Road Project with Pavecon Public Works, LP for a reconciliation for the total project with a projected reduction in cost of $222,202.04 before considering additional change orders. The motion was seconded by Councilman Clark. The motion carried unanimously with a 4-1 vote (Councilman Chick absent). 16. Consider, Discuss and Possibly Act on Approving and Authorizing the City Manager to Execute Change Order No. 3 for the McReynolds Project with Pavecon Public Works, LP for an Additional Cost of $33,978.00 for Changing a Typical Wing Wall for a Storm Water Structure to a Parallel Wing Wall. Director of Public Works Neal Welch summarized. One of the structures toward the east end of the project is a wing wall that would go over the top of an ATMOS gas line and ATMOS does not want any concrete over their line. They are changing the structure to a Parallel Wing Wall to accommodate the request and it will cost and additional $33,978.00. This is a solution to alleviate the problem. A motion was made by Councilman Boutwell to approving and authorizing the City Manager to execute Change Order No. 3 for the McReynolds Project with Pavecon Public Works, LP for an additional cost of $33,978.00 for changing a typical wing wall for a storm water structure to a parallel wing wall. The motion was seconded by Mayor Pro Tern Bilyeu. The motion carried unanimously with a 4-0 vote (Councilman Chick absent). 17. Update on Capital Projects: The Wastewater Treatment Plant and McReynolds Road provided by Director of Public Works, Neal Welch. Director of Public Works Neal Welch provided an updated power point presentation of photos of the Wastewater Treatment Plant and McReynolds Road projects and there were various questions posed about some of the photos by the Mayor and Councilmembers. 18. INFORMATION ITEMS: a. Financial Report — July 2018 b. Capital Projects Recap —August 30, 2018 c. Library Quarterly Report and Update City Manager Alina Ciocan noted that a few months ago when City Council waived the latefees for the Library Fines Mayor Pro Tern Bilyeu requested a six-month update from staff. Library Director Audrey Tolle was recognized to give an update. She there has been no significant changes; the number of long-term overdues has not increased. One thing that they have noticed is that it is new patrons that come in and check out books. There used to be limits for first time check outs and in looking at those numbers we should start limiting the number to two items for the first time check out and when they are returned the amount would be increased. The consortium is also planning to do autorenewals. There was a question as to how many times you can renew. She provided figures regarding the overdues and there was 298 for the year and there was a jump in the summer when people went on vacation and now that summer is over some of the books are coming back. They are seeing more people in the Library and more people are checking out books now that they do not have the threat of overdues hanging over them. d. Monthly Disbursement Report — August 2018 Councilman Clark asked a disbursement for dry cleanings of 359 shirts (Page 137). City Manager Alina Ciocan noted that she would look into it. 19. FUTURE AGENDA ITEMS: (The purpose of this item is to allow the Mayor and members of Council to bring forward items they ►vish to discuss at a future meeting, A Council Member may inquire about a subject for which notice has not been given. A statement of specific factual information or the recitation of existing policy may be given. Any deliberation shall be limited to a proposal to place the subject on an agenda for a subsequent meeting. Items may be placed on a future meeting agenda with a consensus of the Council or at the call of the Mayor). � : 1 L�1117`►!� There being no further business Mayor Muir adjourned the meeting at 10:20 PM. 19 lie] MAN 9 BANGER * T E X A S COUNCIL AGENDA ITEM AGENDA TYPE ® Regular ❑ Special ❑ Consent Reviewed by ® Yes ❑ Not Applicable ❑ Workshop ❑ Executive ❑ Public Hearing Finance Reviewed by Legal ❑ Yes ® Not Applicable COUNCIL MEETING DATE: SUBMITTED BY: September 17, 2018 Alina Ciocan City Manager Reviewed/Approval Initials AC, Date ACTION REQUESTED: ®ORDINANCE ❑ RESOLUTION ❑ APPROVAL ❑ CHANGE ORDER ❑ AGREEMENT ❑ APPROVAL OF BID ❑ AWARD OF CONTRACT ❑ CONSENSUS ❑ REAPPOINTMENTS ❑ OTHER EXPLAIN: AGENDA CAPTION Consider, Discuss and Act on Ordinance #09-24-18 — Amending Ordinance #09-29-17, which will amend the Budget for the 2017-2018 Fiscal Year and authorizing amended expenditures as provided. FINANCIAL SUMMARY ❑N/A ❑GRANT FUNDS ❑OPERATING EXPENSE ❑REVENUE ❑CIP ❑BUDGETED ❑NON -BUDGETED PRIOR CURRENT FUTURE FISCAL YEAR: YEAR YEAR YEAR(S) TOTALS Proposed Expenditure Amount Encumbered Amount BALANCE FUND(S) TO BE USED: General ❑$ Utility ❑ Special ❑ $ BACKGROUND/SUMMARY OF ITEM 1. This budget amendment increases the 2017-2018 budget by $20,000 to provide for necessary expenditures for Enterprise Fund G/L account 008-54-5360, System Maintenance. These expenditures are necessary for maintenance of the waste water treatment plant over the amount included in the original budget. 2. The amendment also increases revenues in the Enterprise Capital Projects Fund G/L account 840-00-4982 and expenditures in the 4A Fund G/L account 41-74-7484 by $500,000 (net $0). This amendment incorporates the expenditure approved by City Council on October 16, 2017 in relation to the IH-35 Sewer Outfall Project Phase III . STAFF OPTIONS & RECOMMENDATION Staff recommends approval of the ordinance. List of Supporting Documents/Exhibits Attached: Prior Action/Review by Council, Boards, • Ordinance 09-24-18 Commissions or Other Agencies: • Exhibit A • Exhibit B ORDINANCE #09-24-18 AN ORDINANCE OF THE CITY OF SANGER, DENTON COUNTY, TEXAS, (BUDGET AMENDMENT 2) AMENDING ORDINANCE #09-29-17, WHICH WILL AMEND THE BUDGET FOR THE 2017-2018 FISCAL YEAR AND AUTHORIZING AMENDED EXPENDITURES AS PROVIDED; PROVIDING FOR THE REPEAL OF ALL ORDINANCES IN CONFLICT; PROVIDING FOR PUBLICATION; PROVIDING FOR A SEVERABILITY CLAUSE; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City Council approved its budget ordinance for the 2017-2018 Fiscal Year on September 11, 2017; and WHEREAS, this amendment was prepared and presented to the City Council and after consideration, it is the consensus of the City Council to amend the approved budget ordinance; and NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF SANGER, TEXAS: Section 1: The annual budget for the 2017-2018 Fiscal Year is hereby amended to increase expenditures by $20,000 in the Waste Water Department as shown in Exhibit "A". Section 2: The annual budget for the 2017-2018 Fiscal Year is hereby amended to increase revenues in the Enterprise Capital Projects fund and expenditures in the 4A Fund by $500,000 as shown in Exhibit `B"; Section 3: Expenditures during the 2017-2018 Fiscal Year shall be made in accordance with the amended budget approved herein, unless otherwise authorized by a duly enacted ordinance of the City and said budget document shall be on file for public inspection in the office of the City Secretary. Section 4: If any section, article, paragraph, sentence, clause, phrase or word in this ordinance or application thereof to any person or circumstance is held invalid or unconstitutional by a court of competent jurisdiction, such holding shall not affect the validity of the remaining portions of the ordinance and the City Council hereby declares it would have passed such remaining portions of the ordinances despite such invalidity, which remaining portions shall remain in full force and effect. Section 5: This ordinance is effective immediately from and after its passage and the publication of the caption, as the law and Charter in such cases provide. PASSED, APPROVED AND ADOPTED by the City Council of the City of Sanger, Denton County, Texas, on this 17t" day of September 2018. APPROVED: Thomas E. Muir, Mayor ATTEST: Cheryl Price, City Secretary EXHIBIT A SANGER *TEXAS PUBLIC WORKS Date: September 7, 2018 To: Finance From: Public Works Department Re: Budget Amendment Would you prepare a Budget Amendment to cover the possibility of unexpected expenditures at the Waste Water Treatment Plant? We currently have funds available to cover our expenditures for this fiscal year, but with 23 days of operation left in this year it concerns me that we could exceed our budgeted funds for FY 2017-2018. 940.458.7930 1 301 Bolivar I PO Box 1729 1 Sanger, TX 76266 1 www.sangertexas.org f facebook.com/SangerTexas V (dCityofSanger . ■_: CITY OF SANGER, TEXAS MINUTES: REGULAR CITY COUNCIL MEETING October 16, 2017, 7:08 p.m. 502 Elm Street, Sanger, Texas COUNCIL MEMBERS PRESENT: Mayor Thomas Muir, Councilman Bill Boutwell, Councilman David Clark, Councilman Allen Chick, Councilman Gary Bilyeu COUNCIL MEMBERS ABSENT: Councilman Lee Allison The Mayor and Four (4) Council Members Were Present Constituting a Quorum. STAFF MEMBERS PRESENT: Cheryl Price City Secretary 1. Call Meeting to Order, Invocation, Pledge of Allegiance. The Regular City Council Meeting was called to order by Mayor Muir on Monday, October 16, 2017 at 7:08 p.m. The Invocation was given by Councilman Chick, and The Pledge of Allegiance was led by Councilman Clark. 2. Citizens Input: (Citizens are allowed 3 minutes to speak. The City Council is unable to respond or to discuss any issues brought up during this section). There were no citizens who wished to speak. 3. CONSENT AGENDA: a) Approval of Minutes: 1. City Council Special Meeting, September 11, 2017 b) Disbursements A Motion was made by Councilman Bilyeu, Seconded by Councilman Boutwell to approve the Consent Agenda as presented. Motion carried unanimously with a 4-0 vote (Councilman Allison Absent), 4. Consider any Items Removed from Consent Agenda. None. REGULAR AGENDA 5. Consider, Discuss and Possibly Approve Recommendation from Pacheco Koch to Award the North Interstate 35 Outfall Sewer Phase III Project Contract to the Low Bidder, Dickerson Construction Company, Inc., in the Amount of $974,490.50, and Authorize the Mayor to Execute Same on behalf of the City. There was minor discussion regarding funding and location of the Project. Mayor Muir advised that the Motion should also include the Authorizing of the Funding of $500,000 from 4A and the balance to be funded by Water and Wastewater Tap Fees. A Motion was made by Councilman Bilyeu to Approve Awarding the North Interstate 35 Outfall Sewer Phase III Project Contract to the Low Bidder, Dickerson Construction Company, Inc., in the Amount of $974,490.60, Authorizing the funding of $500,000 from 4A with the balance to be funded by Water and Wastewater Tap Fees; and, Authorize the Mayor to Execute Same on behalf of the City. Motion was seconded by 'Councilman Boutwell. Motion carried unanimously with a 4-0 vote (Councilman Allision absent). 6. INFORMATION ITEMS None. There being no further business, Mayor Muir adjourned the meeting at 7:16 p.m. BANGER * T E X A S COUNCIL AGENDA ITEM AGENDA TYPE ® Regular ❑ Special ❑ Consent Reviewed by ❑ Workshop ❑ Executive ❑ Public Hearing Finance Reviewed by Legal ® Yes ❑ Not Applicable ❑Yes ®Not Applicable COUNCIL MEETING DATE: SUBMITTED BY: September 17, 2018 Alina Ciocan, City Manager City Manager Reviewed/Approval Initials h-C Date To 1 ACTION REQUESTED: ®ORDINANCE ❑ RESOLUTION ❑ APPROVAL ❑ CHANGE ORDER ❑ AGREEMENT ❑ APPROVAL OF BID ❑ AWARD OF CONTRACT ❑ CONSENSUS ❑ REAPPOINTMENTS ❑ OTHER EXPLAIN: AGENDA CAPTION Consider, Discuss and Act on Ordinance #09-25-18 — Levying a tax rate for the general government for the fiscal year 2018-2019 and providing for an effective date. FINANCIAL SUMMARY ®N/A ❑GRANT FUNDS ❑OPERATING EXPENSE ❑REVENUE ❑CIP []BUDGETED ❑NON -BUDGETED FISCAL YEAR: PRIOR YEAR CURRENT YEAR FUTURE YEAR(S) TOTALS Proposed Expenditure Amount Encumbered Amount BALANCE FUND(S) TO BE USED: General ❑$ Utility El$ El $ BACKGROUND/SUMMARY OF ITEM This Ordinance sets the tax rate for the 2018-2019 fiscal year at $0.6791/$100 valuation, which is the same rate as the 2017-2018 fiscal year. STAFF OPTIONS & RECOMMENDATION Staff recommends approval of the ordinance. List of Supporting Documents/Exhibits Attached: • Ordinance #09-25-18 • Notice of 2018 Tax Year Proposed Property Tax Rate Prior Action/Review by Council, Boards, Commissions or Other Agencies: ORDINANCE 909-25-18 AN ORDINANCE OF THE CITY OF SANGER, DENTON COUNTY, TEXAS, LEVYING A TAX RATE FOR THE GENERAL GOVERNMENT FOR THE FISCAL YEAR 2018- 2019 AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City Council of the City of Sanger finds that a tax rate of $0.6791 per $100 valuation for the Fiscal Year 2018-2019, hereinafter levied for current expenses of the City and general improvements of the City and its property, must be levied to provide the revenue requirements of the budget for the ensuing year; and WHEREAS, all statutory and constitutional requirements for the levy and assessment of ad valorem taxes have been completed in due and correct time and all requirements of the Sanger Charter have been met; NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF SANGER, TEXAS: SECTION 1: That the City Council does hereby levy and adopt the tax rate on $100 assessed valuation for the City for maintenance and operation of the City government for the tax year 2018-2019, as follows: $0.571004/$100 SECTION 2: That the City Council does hereby levy and adopt the tax rate on $100 assessed valuation for the City for debt service for City government for the tax year 2018-2019 as follows: $0.108096/$100 SECTION 3: This ordinance is effective upon its adoption. PASSED, APPROVED AND ADOPTED by the City Council of the City of Sanger, Texas on this 17th day of September 2018. APPROVED: Thomas E. Muir, Mayor ATTEST: Cheryl Price, City Secretary • A A tax rate of $0.679100 per $100 valuation has been proposed by the governing body of CITY OF SANGER. This rate exceeds the lower of the effective or rollback tax rate, and state law requires that two public hearings be held by the governing body before adopting the proposed tax rate. The governing body of CITY OF SANGER proposes to use revenue attributable to the tax rate increase for the purpose of street improvements. PROPOSED TAX RATE PRECEDING YEAR'S TAX RATE EFFECTIVE TAX RATE ROLLBACK TAX RATE $0.679100 per $100 $0.679100 per $100 $0.639033 per $100 $0.680797 per $100 The effective tax rate is the total tax rate needed to raise the same amount of property tax revenue for CITY OF 'ANGER from the same properties in both the 2017 tax year and the 2018 tax year. The rollback tax rate is the highest tax rate that CITY OF SANGER may adopt before voters are entitled to petition for an election to limit the rate that may be approved to the rollback rate. YOUR TAXES OWED UNDER ANY OF THE ABOVE RATES CAN BE CALCULATED AS FOLLOWS: property tax amount = (rate) x (taxable value of your property) / 100 For assistance or detailed information about tax calculations, please contact: Michelle French Denton County Tax Assessor -Collector 1505 E. McKinney Street Denton, TX 76209 940-349-3500 property.tax@dentoncounty.com tax. dentoncounty. com You are urged to attend and express your views at the following public hearings on proposed tax rate: First Hearing: 08/20/2018 7:00 PM at Sanger City Hall 502 Elm Street Sanger, TX 76266 Second Hearing: 09/04/2018 7:00 PM at Sanger City Hall 502 Elm Street Sanger, TX 76266 BANGER * T E X A S COUNCIL AGENDA ITEM AGENDA TYPE ® Regular ❑ Special ❑ Consent Reviewed by ® Yes ❑ Not Applicable ❑ Workshop ❑ Executive ❑ Public Hearing Finance Reviewed by Legal ❑Yes ®Not Applicable COUNCIL MEETING DATE: SUBMITTED BY: September 17, 2018 Alina Ciocan, City Manager City Manager Reviewed/Approval Initials Date g ACTION REQUESTED: ®ORDINANCE ❑ RESOLUTION ❑ APPROVAL ❑ CHANGE ORDER ❑ AGREEMENT ❑ APPROVAL OF BID ❑ AWARD OF CONTRACT ❑ CONSENSUS ❑ REAPPOINTMENTS ❑ OTHER EXPLAIN: AGENDA CAPTION Consider, Discuss and Act on Ordinance #09-26-18 — Adopting the budget providing for the appropriation of funds for operating and capital expenditures for the fiscal year beginning October 1, 2018 and ending September 30, 2019, providing for the intra and inter department and fund transfers, providing for unexpected revenues such as grants, donations, and insurance proceeds, providing for an effective date, and providing for approval of the investment policy. FINANCIAL SUMMARY ®N/A ❑GRANT FUNDS ❑OPERATING EXPENSE ❑REVENUE ❑CIP ❑BUDGETED ❑NON -BUDGETED FISCAL YEAR: PRIOR YEAR CURRENT YEAR FUTURE YEAR(S) TOTALS Proposed Expenditure Amount Encumbered Amount BALANCE FUND(S) TO BE USED: General ❑$ Utility ❑ $ ❑ $ BACKGROUND/SUMMARY OF ITEM This Ordinance adopts the 2018-2019 Official Budget for the City. In addition, it approves the City's investment policy for the coming year. No changes have been made to the investment policy. STAFF OPTIONS & RECOMMENDATION Staff recommends approval of the ordinance. List of Supporting Documents/Exhibits Attached: Prior Action/Review by Council, Boards, • Oridinance #09-26-18 • 2018-2019 Proposed Budget 0 Investment Policy Commissions or Other Agencies: • Budget workshops 0 Budget hearing ORDINANCE 909-26-18 AN ORDINANCE OF THE CITY OF SANGER, DENTON COUNTY, TEXAS, ADOPTING THE BUDGET PROVIDING FOR THE APPROPRIATION OF FUNDS FOR OPERATING AND CAPITAL EXPENDITURES FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2018 AND ENDING SEPTEMBER 30, 2019, PROVIDING FOR THE INTRA AND INTER DEPARTMENT AND FUND TRANSFERS, PROVIDING FOR UNEXPECTED REVENUES SUCH AS GRANTS, DONATIONS, AND INSURANCE PROCEEDS, PROVIDING FOR AN EFFECTIVE DATE, AND PROVIDING FOR APPROVAL OF THE INVESTMENT POLICY. WHEREAS, pursuant to the laws of the State of Texas and the City Charter, the budget covering proposed expenditures for the fiscal year beginning October 1, 2018 and ending September 30, 2019 was filed with the City Secretary; and WHEREAS, budget workshops were conducted by the City Council on the proposed budget at which time the proposed budget was fully considered; and WHEREAS, in accordance with the provisions of the City Charter and the Local Government Code, the City Council of the City of Sanger, Texas published notice of public hearing on the budget on August 9, 2018 and conducted a public hearing on August 20, 2018; and WHEREAS, Chapter 2256 of the Texas Government Code, commonly known as the "Public Funds Investment Act," requires the City to review its investment policy and investment strategies not less than annually; and WHEREAS, the Public Funds Investment Act requires the governing body to adopt a written instrument by rule, order, ordinance, or resolution stating that it has reviewed the investment policy and investment strategies and that the written instrument shall record any changes made to either the investment policy or investment strategies; and WHEREAS, the attached City of Sanger Investment Policy is in compliance with the Public Funds Investment Act and requires no changes to either the investment policy or investment strategies; and WHEREAS, The City has implemented Governmental Accounting Standards Board Statement 54, Fund Balance Reporting and Governmental Fund Type Definitions (GASB 54) and Fund balance categories under GASB 54 are Nonspendable and Spendable and classifications under the Spendable category are Restricted, Committed, Assigned, and Unassigned and these classifications reflect not only the nature of funds, but also provide clarity to the level of restriction placed upon fund balance. NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF SANGER, TEXAS: Section 1. That the City Council adopts the budget for the City of Sanger, Texas, a copy of which is on file in the office of the City Secretary and which hereinafter referred to as the "Budget" for the fiscal year beginning October 1, 2018 and ending September 30, 2019. Section 2. That the budget presented by the City Council and reviewed during the public hearing is hereby approved and adopted for the Fiscal Year 2018-2019. General Fund $7,822,200 Debt Service Fund $917,551 Enterprise Fund $11,994,966 Internal Service Fund $2,031,065 4A Fund $264,673 4B Fund $302,500 Capital Projects Fund $300,000 Enterprise Capital Projects Fund $4,250,000 Special Revenue Funds $39,322 Section 3. That the City Manager be authorized to make intea and inter department fund transfers during the fiscal year as becomes necessary in order to avoid over expenditure of any departments total budget. Section 4. That the City Manager be authorized to increase the budget for items received during the year that have a corresponding revenue and expenditure such as Grants, Donations, and Insurance Proceeds received for property damage. Section 5. That the City Manager be authorized to contract for expenditures under $50,000 for services and projects authorized in the budget. Section 6. That the City of Sanger has complied with the requirements of the Public Funds Investment Act and the City Council has reviewed the investment policy and investment strategies and there are no changes to either the investment policy or investment strategies. Section 7. In circumstances where an expenditure is to be made for a purpose for which amounts are available in multiple fund balance classifications, the order in which resources will be expended is as follows: restricted fund balance, followed by committed fund balance, assigned fund balance, and lastly unassigned fund balance. When it is appropriate for fund balance to be assigned, the City Council hereby delegates the authority to the City Manager. The following fund balances are committed: Equipment Replacement Funds, Library Building Expansion Funds, Beautification Board Funds, all Donated Funds, and Capital Projects Funds. Section 8. This ordinance is effective immediately upon its adoption. PASSED, APPROVED AND ADOPTED by the City Council of the City of Sanger, Texas on this 17th day of September 2018. APPROVED: Thomas E. Muir, Mayor ATTEST: Cheryl Price, City Secretary BANGER .rExa= PROPOSED ANNUAL BUDGET OCTOBER 1, 2018 - SEPTEMBER 30, 2019 In accordance with Local Government code Sec. 102.005(b): This budget will raise more total property taxes than last year's budget by $493,671 (12.70%), and of that amount $182,034 is tax revenue to be raised from new property added to the tax roll this year. ON THE COVER Built in 1902 and donated to the City in 1987, the Sanger Presbyterian Church has a rich history. Once used as a library, the building was retired in 1995 and sat in disrepair for 20 years. The building was fully refurbished in 2016 thanks to the Sanger Area Historical Society and the City. A jewel of Sanger, this beautiful building now serves as an events venue. TABLE OF CONTENTS GENERALFUND..................................................................................................................................3 ENTERPRISEFUND..........................................................................................................................27 INTERNALSERVICE FUND...............................................................................................................41 DEBTSERVICE FUND.......................................................................................................................53 CAPITALPROJECTS FUNDS............................................................................................................59 CapitalProjects Fund.........................................................................................................61 Enterprise Capital Projects Fund......................................................................................65 Capital Projects Summary 2017-2023...........................................................................72 4ACORPORATION FUND.................................................................................................................73 4BCORPORATION FUND.................................................................................................................81 SPECIALREVENUE FUNDS..............................................................................................................87 Hotel/Motel Tax Fund........................................................................................................89 BeautificationFund............................................................................................................93 LibraryRestricted Fund.....................................................................................................96 ParklandDedication Fund................................................................................................98 RoadwayImpact Fee Fund............................................................................................ 101 CourtSecurity Fund.........................................................................................................104 CourtTechnology Fund...................................................................................................107 ChildSafety Fund............................................................................................................110 PoliceDonations Fund.................................................................................................... 113 FireDonations Fund........................................................................................................ 116 ParkDonations Fund......................................................................................................119 LibraryDonations Fund.................................................................................................. 122 The City of Sanger, Texas 2018-2019 Proposed Budget BANGER .rExA= The City of Sanger, Texas 2018-2019 Proposed Budget The City of Sanger, Texas 2018-2019 Proposed Budget BANGER *TEXAS The City of Sanger, Texas 2018-2019 Proposed Budget 9-11-2018 02:55 PM !-GENERAL FUND REVENUES CITY OF SANGER BUDGET LISTING AS OF: AUGUST 31ST, 2018 TAXES U0_-4M0 PROPERTY TAX 00-4311 DELINQUENT PROPERTY TAXES 00-4321 PENALTY & INTEREST 00-4325 SALES TAX REVENUE 00-4350 MIXED DRINK TAX TOTAL TAXES FRANCHISE FEES 00-4460 MUNICIPAL FEES -CENTURY LINK 00-4461 FRANCHISE FEES-ATMOS ENERGY 00-4465 FRANCHISE FEE-SUDDENLINK 00-4470 FRANCHISE FEES-COSERVE DCEC 00-4480 ROW FEES-CEBRIDGE 00-4483 FRANCHISE FEES-SANGER WATER 00-4484 FRANCHISE FEES-SANGER SEWER 00-4485 FRANCHISE FEES-SANGER ELECTRIC 00-4489 FRANCHISE FEES -GARBAGE 00-4490 FRANCHISE FEE -WASTE CONNECTION 00-4495 RIGHT-OF-WAY FEES TOTAL FRANCHISE FEES SOLID WASTE 00-4190-SANITATION BILLINGS 00-4191 SANITITATION PENALTIES TOTAL SOLID WASTE LICENSES & PERMITS 4510 BUILDING PERMITS 4511 ZONING AND PLATS ,v-4513 CIVIL PLAN REVIEW FEES 00-4515 STREET CUT PERMIT 00-4520 HEALTH PERMITS 00-4545 FIRE ALARM/FIRE SPRINKLER 00-4550 AC & MECHANICAL LICENSE FEES 00-4555 IRRIGATION & BACKFLOW LICENSE 00-4575 RV PARK ANNUAL PERMIT FEE 00-4581 BEER & WINE PERMIT FEES TOTAL LICENSES & PERMITS EIT 00-4603 JUDICIAL FEE-COUNTY-JFCT 00-4604 JUDICIAL FEE -CITY 00-4607 STATE TRAFFIC FEE 00-4608 CONSOLIDATED COURT COST04 00-4609 STATE JURY FEE-SJRF 00-4615 CHILD SAFETY COURT COST 00-4617 INSURANCE & DISMISSAL FEES PAGE BUDGET 3,598,116 15,000 18,000 900,000 5,000 4 7,000 48,000 42,000 77,000 2,400 107,342 106,109 403,217 50,400 8,000 00 668 840,000 10.500 850,500 250,000 32,500 57,500 1,000 500 1,500 1,000 1,370 _ 500 0 520 3,040 336 9,840 22,504 2,256 2,648 80 The City of Sanger, Texas 2018-2019 Proposed Budget 9-11-2018 02:55 PM '.-GENERAL FUND REVENUES CITY OF SANGER PAGE BUDGET LISTING AS OF: AUGUST 31ST, 2018 BUDGET 00-4620 SPECIAL EXPENSE FEE 20,000 00-4621 TRUANCY PREVENTION FUND 1,120 00-4625 FINES 35,440 00-4627 WARRANT FEES - FTA 2,880 00-4628 ARREST FEES 2,400 00-4637 TRAFFIC CODE 1,440 00-4639 CIVIL JUSTICE FEE 48 00-4640 DEF.DRIVING. DDC (COURT) 592 00-4643 TIME PAYMENT LOCAL 576 00-4645 MUNICIPAL SERVICE BUREAU 3,880 00-4646 TIME PAYMENT STATE 560 00-4648 TRUANCY DEFENSIVE FD. 1,120 00-4651 TLFTAI-STATE 480 00-4652 TLFTA2-OMNI 136 00-4653 TLFTA3-CITY _ 104 TOTAL FINES & FORFEITURES 112,000 FIRE & AMBULANCE DD---47-4-0FIRE-DENTON CO. INTERLOCAL 10,000 00-4750 AMB-DENTON CO. INTERLOCAL 250,000 00-4765 FIRE - GRANT FUNDING 191,877 00-4772 EMERGICON REVENUE - AMBULANCE 325 000 776,877 TOTAL FIRE & AMBULANCE POLICE & ANIMAL CONTROL -4 5 ANIMAL CONTROL FINES & FEES 1,250 00-4055 MOWING FEES 6,000 00-4056 POLICE FEES & FINES 3,000 00-4057 SANGER ISD/RESOURCE OFFICER 40,716 (1- 4058 STATE REIMBURSEMENTS 1,200 TOTAL POLICE & ANIMAL CONTROL 5�,6 PARKS & RECREATION 00-4032 COMMUNITY CENTER FEES 15,000 00-4033 PARKS & BALLFIELD REVENUE 10,000 00-4034 TOURNAMENT FEES 2,000 00-4035 SPECIAL EVENTS 3,000 00-4036 CHURCH RENTAL FEES TOTAL PARKS & RECREATION 3 500 ,5 LIBRARY 00-418D LIBRARY MISCELLANEOUS 75 00-4181 LIBRARY FINES 1,000 00-4182 LIBRARY COPIES 3,000 00-4183 INTER LIBRARY LOAN 1,500 00-4184 LIBRARY CARDS 75 00-4185 LOST LIBRARY BOOKS 400 00-4186 YOGA CLASS CHARGES 3,500 00-4189 LIBRARY - DENTON CO. INT/LOCAL 15,800 The City of Sanger, Texas 2018-2019 Proposed Budget 9-11-2018 02:55 PM !-GENERAL FUND CITY OF SANGER BUDGET LISTING AS OF: AUGUST 31ST, 2018 REVENUES TOTAL LIBRARY INTEREST 0�$-0INTEREST INCOME TOTAL INTEREST MISCELLANEOUS 00-4900 RENTAL INCOME 00-4910 MISCELLANEOUS INCOME 00-4946 INSURANCE -DAMAGE REIMB TOTAL MISCELLANEOUS OTHER FINANCING SOURCES 00-4009 PROCEEDS FROM SALE OF ASSETS TOTAL OTHER FINANCING SOURCES TRANSFERS 00-4980 TRANSFER FROM ENTERPRISE FUND 00-4987 TRANSFER FROM DSF TOTAL TRANSFERS TOTAL REVENUES PAGE: 3 BUDGET 25,350 4,000 4,000 22,S00 17,000 13,000 52, 500 I&Igll1I1 85,000 12_239.352 7,897,099 The City of Sanger, Texas 2018-2019 Proposed Budget 7 9-11-2018 02:55 PM CITY OF SANGER PAGE: BUDGET LISTING AS OF: AUGUST 31ST, 2018 I —GENERAL FUND POLICE DEPARTMENTAL EXPENDITURES 51-SALARIES AND BENEFITS 20-5110 REGULAR SALARIES 20-5111 MERIT INCREASE 20-5117 VACATION COMPENSATION 20-5120 OVERTIME 20-5125 LONGEVITY PAY 20-5129 CELL PHONE ALLOWANCE 20-5130 FICA 20-5140 RETIREMENT 20-5150 HEALTH INSURANCE 20-5160 WORKER'S COMPENSATION 20-5170 T W C TOTAL 51-SALARIES AND BENEFITS 52-SUPPLIES AND MATERIALS 20-5210 OFFICE SUPPLIES 20-5235 DUES & SUBSCRIPTIONS 20-5240 CONFERENCES & TRAINING 20-5255 WEARING APPAREL 20-5260 SAFETY EQUIPMENT 20-5265 DRUG PREVENTION & INVESTIGATIO 20-5266 CHILD SAFETY 20-5275 FILING FEES 20-5280 COMPUTERS, PRINTERS, ETC TOTAL 52-SUPPLIES AND MATERIALS 53-MAINTENANCE AND OPERAT MOTOR VEHICLE FUEL 5325 R & M MOTOR VEHICLE z-v-5326 R & M MINOR EQUIPMENT 20-5332 OFFICE MACHINE LEASE TOTAL 53-MAINTENANCE AND OPERAT 54-CONTRACT SERVICES 20-5430 PROFESSIONAL SERVICES 20-5431 FORENSIC ANALYSIS SERVICES 20-5450 TECHNICAL SUPPORT 20-5451 ANNUAL SOFTWARE SUPPORT 20-5460 DISPATCH SERVICES TOTAL 54-CONTRACT SERVICES BUDGET 839,985 29,400 6,800 35,000 7,544 9,000 70,972 74,404 124,800 42,889 1,530 5,500 500 10,000 11,200 7,000 1:Soo 500 900 15000 52, 3UU 56,000 20,000 1,500 2,500 80;006 40,500 12,000 25,000 22,500 36,234 33 The City of Sanger, Texas 2018-2019 Proposed Budget 9-11-2018 02:55 PM 1--GENERAL FUND •POLICE DEPARTMENTAL EXPENDITURES 55—UTILITIES 20-5520 CELL PHONE TOTAL 55—UTILITIES 61—CAPITAL OUTLAY 1 5 COMPUTER HARDWARE 20-6130 VEHICLES 20-6145 POLICE EQUIPMENT TOTAL 61—CAPITAL OUTLAY TOTAL 20—POLICE CITY OF SANGER PAGE: 5 BUDGET LISTING AS OF: AUGUST 31ST, 2018 311e� • 111� 111 77,050 100,772 9,000 186,822 1,703,480 The City of Sanger, Texas 2018-2019 Proposed Budget 9 9-11-2018 02:55 PM CITY OF SANGER PAGE: BUDGET LISTING AS OF: AUGUST 31ST, 2018 '.-GENERAL FUND -ANIMAL CONTROL DEPARTMENTAL EXPENDITURES BUDGET 51-SALARIES AND BENEFITS 22-5110 REGULAR SALARIES 38,004 22-5111 MERIT INCREASE 1,330 22-5117 VACATION COMPENSATION 750 22-5120 OVERTIME 1,000 22-5125 LONGEVITY PAY 312 22-5129 CELL PHONE ALLOWANCE 600 22-5130 FICA 3,213 22-5140 RETIREMENT 3,369 22-5150 HEALTH INSURANCE 7,800 22-5160 WORKER'S COMPENSATION 1,495 22-5170 T W C 100 TOTAL 51-SALARIES AND BENEFITS 57,973 52-SUPPLIES AND MATERIALS 22-5210 OFFICE SUPPLIES 50 22-5223 CHEMICAL SUPPLIES 250 22-5235 DUES & SUBSCRIPTIONS 100 22-5240 CONFERENCES & TRAINING 900 22-5248 ANIMAL CARE EXPENSE 66,500 22-5250 TOOLS & EQUIPMENT 500 22-5255 WEARING APPAREL 700 22-5260 SAFETY EQUIPMENT 500 TOTAL 52-SUPPLIES AND MATERIALS 53-MAINTENANCE AND OPERAT 22-5320 MOTOR VEHICLE FUEL 4,000 1--.5325 R & M MOTOR VEHICLE 11000 5326 R & M MINOR EQUIPMENT 500 TOTAL 53-MAINTENANCE AND OPERAT 5,500 54-CONTRACT SERVICES 61-CAPITAL OUTLAY TOTAL 22-ANIMAL CONTROL 132,973 The City of Sanger, Texas 2018-2019 Proposed Budget 10 9-11-2018 02:55 PM '-GENERAL FUND FIRE DEPARTMENTAL EXPENDITURES CITY OF SANGER BUDGET LISTING AS OF: AUGUST 31ST, 2018 51-SALARIES AND BENEFITS 24-SllO REGULAR SALARIES 24-5111 MERIT INCREASE 24-5112 TEMP/PART-TIME SALARIES 24-5117 VACATION COMPENSATION 24-5120 OVERTIME 24-5125 LONGEVITY PAY 24-5126 SPECIAL PAY 24-5129 CELL PHONE ALLOWANCE 24-5130 FICA 24-5140 RETIREMENT 24-5150 HEALTH INSURANCE 24-5160 WORKER'S COMPENSATION 24-5170 T W C 24-5199 GRANT FUNDED PERSONNEL TOTAL 51-SALARIES AND BENEFITS 52-SUPPLIES AND MATERIALS 24-5210 OFFICE SUPPLIES 24-5215 FOOD 24-5223 CHEMICAL SUPPLIES 24-5225 MAPS & SUBSCRIPTIONS 24-5230 ADVERTISING/PUBLIC EDUCATION 24-5235 DUES & SUBSCRIPTIONS 24-5240 CONFERENCES & TRAINING 24-5250 TOOLS & EQUIPMENT 24-5255 WEARING APPAREL "-.5260 SAFETY EQUIPMENT 5262 EMS SUPPLIES 4,-5280 COMPUTERS, PRINTERS, ETC 24-5285 FURNITURE & FIXTURES TOTAL 52-SUPPLIES AND MATERIALS 53-MAINTENANCE AND OPERAT 24-5320 MOTOR VEHICLE FUEL 24-5325 R & M MOTOR VEHICLE 24-5326 R & M MINOR EQUIPMENT 24-5345 LEASE EQUIPMENT 24-5375 MINOR EQUIPMENT 24-5376 IMMUNIZATIONS 24-5390 RADIOS TOTAL 53-MAINTENANCE AND OPERAT PAGE 438,619 15,352 240,000 1,350 56,313 3,072 14"954 600 58,925 39,447 70,200 29,963 3,490 191,877 2,500 2,000 1,250 500 3,250 15,000 5,000 2,500 11,000 33,000 38,500 8,000 5,000 19,000 18,500 11,500 5,000 1,750 1,000 27,000 "T�6 The City of Sanger, Texas 2018-2019 Proposed Budget 11 9-11-2018 02:55 PM GENERAL FUND -FIRE DEPARTMENTAL EXPENDITURES CITY OF SANGER PAGE: 8 BUDGET LISTING AS OF: AUGUST 31ST, 2018 54-CONTRACT SERVICES 24-5420 CONTRACTUAL SERVICES 24-5430 PROFESSIONAL SERVICE (AMB) 24-5450 TECHNICAL SUPPORT 24-5451 ANNUAL SOFTWARE SUPPORT 24-5453 EMS VENDING MACHINE 24-5460 DISPATCH SERVICES TOTAL 54-CONTRACT SERVICES 55-UTILITIES 24-5520 CELL PHONE TOTAL 55-UTILITIES 56-GRANT EXPENSES 24-5610 GRANT EXPENSES 24-5624 GRANT MATCH TOTAL 56-GRANT EXPENSES 61-CAPITAL OUTLAY 4- 145 FIRE EQUIPMENT TOTAL 61-CAPITAL OUTLAY 70-DEBT PAYMENTS 4-7 7 NOTE PAYMENTS 24-7099 INTEREST EXPENSE TOTAL 70-DEBT PAYMENTS '1TAL 24-FIRE BUDGET 3,500 15,000 15,500 3,000 4,200 12,905 l� 5 1/ • 111 •• 11 75,589 —228 7�7 1,602,234 The City of Sanger, Texas 2018-2019 Proposed Budget 12 9-11-2018 02:55 PM 1-GENERAL FUND MUNICIPAL COURT DEPARTMENTAL EXPENDITURES CITY OF SANGER BUDGET LISTING AS OF: AUGUST 31ST, 2018 51-SALARIES AND BENEFITS 26-5110 REGULAR SALARIES 26-5111 MERIT INCREASE 26-5120 OVERTIME 26-5125 LONGEVITY PAY 26-5130 FICA 26-5140 RETIREMENT 26-5150 HEALTH INSURANCE 26-5160 WORKER'S COMPENSATION 26-5170 T W C TOTAL 51-SALARIES AND BENEFITS 52-SUPPLIES AND MATERIALS 26-5210 OFFICE SUPPLIES 26-5235 DUES & SUBSCRIPTIONS 26-5240 CONFERENCES & TRAINING 26-5280 COMPUTERS, PRINTERS, ETC 26-5285 FURNITURE & FIXTURES TOTAL 52-SUPPLIES AND MATERIALS 53-MAINTENANCE AND OPERAT 26-5332 OFFICE MACHINE LEASE TOTAL 53-MAINTENANCE AND OPERAT 54-CONTRACT SERVICES 26-5424 COURT SERVICES 26-5425 LEGAL SERVICES 1r-5426 CREDIT CARD FEES 5450 TECHNICAL SUPPORT TOTAL 54-CONTRACT SERVICES 57-MUNICIPAL FEES 26-5703 JUDICIAL FEE COUNTY JFCT 26-5707 STATE TRAFFIC FEE 26-5708 CONSOLIATED COURT COST 04 26-5709 STATE JURY FEE -SJRF 26-5710 CONSOLIDATED COURT COST 26-5714 JUVENILE CRIME & DELINQUENCY 26-5719 JCPT 26-5721 TPF Fees 26-5725 MUNICIPAL COURT OVER PAYMENTS 26-5731 FUGITIVE APPRENHENSION 26-5733 CTVOC 26-5734 IDF (COURT) 26-5735 CHILD SAFETY &SEAT BELT VIOL. 26-5736 CORR.MGT.INSTIT.CJCF 26-5738 CHILD SAFETY SEATS 26-5739 CIVIL JUSTICE FEES PAGE: BUDGET 81,826 2,864 500 1,060 7,624 6,917 15,600 479 319 117,189 1,800 1,100 1,100 1,000 300 5 3�� 13,500 8,500 2,500 2.500 3,300 11,600 21,600 2,500 60 18 12 830 16 60 72 990 60 16 32 40 The City of Sanger, Texas 2018-2019 Proposed Budget 13 9-11-2018 02:55 PM CITY OF SANGER PAGE: 10 BUDGET LISTING AS OF: AUGUST 31ST, 2018 001-GENERAL FUND .MUNICIPAL COURT 26-5745 COLLECTION AGENCY FEE 5,000 26-5746 TIME PAYMENT STATE 900 26-5751 TLFTAI - State 900 26-5752 TLFTA2 - Omni 400 TOTAL 57-MUNICIPAL FEES 48,406 61-CAPITAL OUTLAY TOTAL 26-MUNICIPAL COURT 199,095 The City of Sanger, Texas 2018-2019 Proposed Budget 14 9-11-2018 02:55 PM CITY OF SANGER PAGE: 11 BUDGET LISTING AS OF: AUGUST 31ST, 2018 1-GENERAL FUND -DEVELOPMENT SERVICES DEPARTMENTAL EXPENDITURES BUDGET 51-SALARIES AND BENEFITS 28-5110 REGULAR SALARIES 230,274 28-5111 MERIT INCREASE 8,060 28-5120 OVERTIME 2,000 28-5125 LONGEVITY PAY 592 28-5129 CELL PHONE ALLOWANCE 1,800 28-5130 FICA 18,416 28-5140 RETIREMENT 19,307 28-5150 HEALTH INSURANCE 31,200 28-5160 WORKER'S COMPENSATION 1,613 28-5170 T W C 360 TOTAL 51-SALARIES AND BENEFITS 52-SUPPLIES AND MATERIALS 28-5210 OFFICE SUPPLIES 1,600 28-5230 ADVERTISEMENT 1,500 28-5235 DUES & SUBSCRIPTIONS 3,500 28-5240 CONFERENCES & TRAINING 4,000 28-5255 WEARING APPAREL 400 28-5275 FILING FEES 1,500 28-5280 COMPUTERS, PRINTERS, ETC 2.000 TOTAL 52-SUPPLIES AND MATERIALS �500 53-MAINTENANCE AND OPERAT 28-5320 MOTOR VEHICLE FUEL 1,300 28-5325 R & M MOTOR VEHICLE 600 28-5332 OFFICE MACHINE LEASE 940 10--5345 LEASE EQUIPMENT 150 TOTAL 53-MAINTENANCE AND OPERAT 2,996 54-CONTRACT SERVICES 28-5426 CREDIT CARD FEES 1,500 28-5430 PROFESSIONAL SERVICES 65,000 28-5440 HEALTH INSPECTIONS 10,000 28-5450 TECHNICAL SUPPORT 4,500 28-5451 ANNUAL SOFTWARE SUPPORT 10,740 TOTAL 54-CONTRACT SERVICESs74� 61-CAPITAL OUTLAY TOTAL 28-DEVELOPMENT SERVICES 422,852 The City of Sanger, Texas 2018-2019 Proposed Budget 15 9-11-2018 02:55 PM "I —GENERAL FUND STREETS DEPARTMENTAL EXPENDITURES CITY OF SANGER BUDGET LISTING AS OF: AUGUST 31ST, 2018 51-SALARIES AND BENEFITS 30-5110 REGULAR SALARIES 30-5111 MERIT INCREASE 30-5117 VACATION COMPENSATION 30-5120 OVERTIME 30-5125 LONGEVITY PAY 30-5129 CELL PHONE ALLOWANCE 30-5130 FICA 30-5140 RETIREMENT 30-5150 HEALTH INSURANCE 30-5160 WORKER'S COMPENSATION 30-5170 T W C TOTAL 51-SALARIES AND BENEFITS 52-SUPPLIES AND MATERIALS 30-5223 CHEMICAL SUPPLIES 30-5240 CONFERENCES & TRAINING 30-5250 TOOLS & EQUIPMENT 30-5255 WEARING APPAREL 30-5260 SAFETY EQUIPMENT TOTAL 52-SUPPLIES AND MATERIALS 53-MAINTENANCE AND OPERAT 30-5320 MOTOR VEHICLE FUEL 30-5325 R & M MOTOR VEHICLE 30-5326 R & M MINOR EQUIPMENT 30-5360 SYSTEM MAINTENANCE -5380 STREET SIGNS TOTAL 53-MAINTENANCE AND OPERAT 54-CONTRACT SERVICES 30-5420 CONTRACTUAL SERVICES TOTAL 54-CONTRACT SERVICES 55-UTILITIES 3 -551-5 ELECTRIC TOTAL 55-UTILITIES 61-CAPITAL OUTLAY 30-6113 SIDEWALK IMPROVEMENTS 30-6120 BUILDING IMPROVEMENTS 30-6130 VEHICLES 30-6145 STREETS EQUIPMENT TOTAL 61-CAPITAL OUTLAY PAGE: 12 BUDGET 191,868 6,715 1,600 500 1,532 1,200 15,562 16,314 31,200 081 2,000 2,000 1,500 4,000 2,200 12,000 12,000 4000 225:000 12,500 50,000 10,000 7,000 5.000 The City of Sanger, Texas 2018-2019 Proposed Budget 16 9-11-2018 02:55 PM GENERAL FUND STREETS DEPARTMENTAL EXPENDITURES 70—DEBT PAYMENTS 30-7006 LEASE PAYABLE (TCB) 30-7099 INTEREST EXPENSE TOTAL 70—DEBT PAYMENTS TOTAL 30-STREETS CITY OF SANGER PAGE: 13 BUDGET LISTING AS OF: AUGUST 31ST, 2018 BUDGET 42,301 9,235 51,536 748,689 The City of Sanger, Texas 2018-2019 Proposed Budget 17 9-11-2018 02:55 PM —GENERAL FUND -PARKS CITY OF SANGER BUDGET LISTING AS OF: AUGUST 31ST PAGE: 14 DEPARTMENTAL EXPENDITURES BUDGET 51—SALARIES AND BENEFITS 32-5110 REGULAR SALARIES 188,270 32-5111 MERIT INCREASE 6,590 32-5117 VACATION COMPENSATION 1,300 32-5119 STANDBY PAY 3,512 32-5120 OVERTIME 61000 32-5125 LONGEVITY PAY 1,936 32-5128 AUTO ALLOWANCE 6,000 32-5129 CELL PHONE ALLOWANCE 600 32-5130 FICA 16,387 32-5140 RETIREMENT 17,180 32-5150 HEALTH INSURANCE 31,200 32-5160 WORKER'S COMPENSATION 91661 32-5170 T W C 433 TOTAL 51—SALARIES AND BENEFITS 52—SUPPLIES AND MATERIALS 32-5210 OFFICE SUPPLIES 32-5211 LANDSCAPE MATERIAL 32-5223 CHEMICAL SUPPLIES 32-5230 ADVERTISING 32-5235 DUES & SUBSCRIPTIONS 32-5240 CONFERENCES & TRAINING 32-5250 TOOLS & EQUIPMENT 32-5255 WEARING APPAREL TOTAL 52—SUPPLIES AND MATERIALS `_ MAINTENANCE AND OPERAT 5320 MOTOR VEHICLE FUEL ��-5325 R & M MOTOR VEHICLE 32-5326 R & M MINOR EQUIPMENT 32-5329 CHRISTMAS LIGHTS & ACCESSORIES 32-5332 OFFICE MACHINE LEASE 32-5333 FLAGS 32-5343 SPORTS FIELD MAINTENANCE 32-5345 LEASE EQUIPMENT 32-5360 SYSTEM MAINTENANCE TOTAL 53—MAINTENANCE AND OPERAT 54—CONTRACT SERVICES 32-5471 CONTRACT TREE MAINTENANCE 32-5472 CONTRACT MOWING TOTAL 54—CONTRACT SERVICES 13,000 5,000 3,000 4,000 1,867 1,500 37,000 3,200 1.000 II 11 wzl •11 CMS J :itIo] The City of Sanger, Texas 2018-2019 Proposed Budget 18 9-11-2018 02:55 PM -GENERAL FUND PARKS DEPARTMENTAL EXPENDITURES 5S-UTILITIES S7--SS15 ELECTRIC 32-5520 CELL PHONE TOTAL 55-UTILITIES 61-CAPITAL OUTLAY 32---61-40 PARK IMPROVEMENTS TOTAL 61-CAPITAL OUTLAY TOTAL 32-PARKS CITY OF SANGER PAGE: 15 BUDGET LISTING AS OF: AUGUST 31ST, 2018 BUDGET 24,0000 24,350 37 000 7, - &*::: The City of Sanger, Texas 2018-2019 Proposed Budget 19 9-11-2018 02:55 PM !—GENERAL FUND RECREATION DEPARTMENTAL EXPENDITURES CITY OF SANGER PAGE: 16 BUDGET LISTING AS OF: AUGUST 31ST, 2018 51—SALARIES AND BENEFITS 34-5110 REGULAR SALARIES 34-5111 MERIT INCREASE 34-5120 OVERTIME 34-5125 LONGEVITY PAY 34-5129 CELL PHONE ALLOWANCE 34-5130 FICA 34-5140 RETIREMENT 34-5150 HEALTH INSURANCE 34-5160 WORKER'S COMPENSATION 34-5170 T W C TOTAL 51—SALARIES AND BENEFITS 52—SUPPLIES AND MATERIALS 34-5Z15 FOOD 34-5230 ADVERTISING 34-5235 DUES & SUBSCRIPTIONS 34-5240 CONFERENCES AND TRAINING 34-5270 PROGRAM SUPPLIES/SPECIAL EVENT TOTAL 52—SUPPLIES AND MATERIALS 53—MAINTENANCE AND OPERAT 4-5 47 VANDALISM REPLACEMENT 34-5360 SYSTEM MAINTENANCE TOTAL 53-MAINTENANCE AND OPERAT 54—CONTRACT SERVICES .OTAL 34—RECREATION F-IllZeil1 41,680 1,459 1,000 08 600 3,446 3,613 7,800 100 60,222 700 1,000 00 500 14 � ;100 250 1,000 — ,Z50 76,172 The City of Sanger, Texas 2018-2019 Proposed Budget 20 9-11-2018 02:55 PM GENERAL FUND LIBRARY DEPARTMENTAL EXPENDITURES CITY OF SANGER BUDGET LISTING AS OF: AUGUST 31ST, 2018 —5110 REGULAR SALARIES -5111 MERIT INCREASE -5112 TEMP/PART TIME SALARIES -5117 VACATION COMPENSATION -5120 OVERTIME -5125 LONGEVITY PAY -5129 CELL PHONE ALLOWANCE -5130 FICA -5140 RETIREMENT -5150 HEALTH INSURANCE -5160 WORKER'S COMPENSATION -5170TWC TOTAL 51-SALARIES AND BENEFITS 52-SUPPLIES AND MATERIALS 42-5200 PRINT BOOKS MATERIALS 42-5201 PERIODICALS 42-5202 eB00KS AND eAUDIO 42-5203 AUDIOBOOKS 42-5204 DVDS 42-5205 OTHER ELECTRONIC SERVICES 42-5206 OTHER COLLECTION MATERIALS 42-5207 LIBRARY SUPPLIES 42-5208 PROGRAM SUPPLIES 42-5209 PROGRAM SERVICES 42-5210 OFFICE SUPPLIES - 5215 FOOD 5235 DUES & SUBSCRIPTIONS 4,-5240 CONFERENCES & TRAINING 42-5280 COMPUTERS, PRINTERS, ETC 42-5285 FURNITURE & FIXTURES TOTAL 52-SUPPLIES AND MATERIALS 53-MAINTENANCE AND OPERAT 4 -5 R M MINOR EQUIPMENT 42-5332 OFFICE MACHINE LEASE TOTAL 53-MAINTENANCE AND OPERAT 54-CONTRACT SERVICES 42LS420 CONTRACTUAL SERVICES 42-5450 TECHNICAL SUPPORT 42-5451 ANNUAL SOFTWARE SUPPORT TOTAL 54-CONTRACT SERVICES PAGE: 17 BUDGET 148,147 6,418 35,720 11200 200 1,440 1,200 14,828 12621 23:4400 911 554 _246,639- 9,000 650 3,700 2,000 1,4050 300 1,000 1,200 5,000 2,500 75 1,675 1,750 1,200 Loso 65 700 2,800 3,500 3,050 1,100 3,160 - 7,310 The City of Sanger, Texas 2018-2019 Proposed Budget 21 9-11-2018 02:55 PM 1-GENERAL FUND `-LIBRARY DEPARTMENTAL EXPENDITURES 56-GRANT EXPENSES 61-CAPITAL OUTLAY TOTAL 42-LIBRARY CITY OF SANGER PAGE: 18 BUDGET LISTING AS OF: AUGUST 31ST, 2018 BUDGET 290,499 The City of Sanger, Texas 2018-2019 Proposed Budget 22 9-11-2018 02:55 PM ',—GENERAL FUND =SOLID WASTE DEPARTMENTAL EXPENDITURES 54—CONTRACT SERVICES 66-5420 CONTRACTUAL SERVICES TOTAL 54—CONTRACT SERVICES 90—BAD DEBT ALLOWANCE TOTAL 66—SOLID WASTE CITY OF SANGER PAGE: 19 BUDGET LISTING AS OF: AUGUST 31ST, 2018 BUDGET 770.000 77�0 770,000 The City of Sanger, Texas 2018-2019 Proposed Budget 23 9-11-2018 02:55 PM I. —GENERAL FUND TRANSFERS. DEPARTMENTAL EXPENDITURES 74—TRANSFERS 74-7— 404 T Ito CIP Fund 74-7499 TRANSFER TO ISF TOTAL 74—TRANSFERS TOTAL 74—TRANSFERS CITY OF SANGER PAGE: 20 BUDGET LISTING AS OF: AUGUST 31ST, 2018 BUDGET 675,000 609,320 �284, 320 1,284,320 The City of Sanger, Texas 2018-2019 Proposed Budget 24 9-11-2018 02:55 PM l—GENERAL FUND -NON—DEPARTMENTAL DEPARTMENTAL EXPENDITURES 51-SALARIES AND BENEFITS CITY OF SANGER BUDGET LISTING AS OF: AUGUST 31ST, 2018 PAGE: 21 BUDGET The City of Sanger, Texas 2018-2019 Proposed Budget 25 9-11-2018 02:55 PM I —GENERAL FUND OTHER FINANCING SOURCES & USES TOTAL EXPENDITURES CITY OF SANGER PAGE: 22 BUDGET LISTING AS OF: AUGUST 31ST, 2018 REVENUES OVER/(UNDER) EXPENDITURES BUDGET 7,822,200 74,899 The City of Sanger, Texas 2018-2019 Proposed Budget 26 The City of Sanger, Texas 2018-2019 Proposed Budget 27 BANGER 7kTEXA5 The City of Sanger, Texas 2018-2019 Proposed Budget 28 7-30-2018 02:29 PM CITY OF SANGER PAGE: 1 BUDGET LISTING AS OF: JULY 31ST, 2018 '3-ENTERPRISE FUND REVENUES BUDGET WATER OD--4I10 WATER BILLING 1,987,811 00-4112 WATER METER REVENUE 40,000 2,0' 277 811 TOTAL WATER SEWER UO-4320 SEWER BILLING _1 964 975 TOTAL SEWER 4, 75 TAP FEES ELECTRIC GROUP 00-4140 ELECTRIC INCOME 7,481,930 00-4141 SECURITY LIGHTS 70,000 00-4145 CONSTRUCTION INCOME 125,000 00-4146 POLE CONTACT FEES 20,000 00-4147 SAWSET POLE FEE 5 000 7,7� TOTAL ELECTRIC GROUP PENALTIES & FEES -4 5 PENALTIES BILLED 151,000 00-4152 SERVICE FEES 66,000 — 17,00 TOTAL PENALTIES & FEES INTEREST 00-4800—INTEREST INCOME 15,000 TOTAL INTEREST �00 r"-CELLANEOUS 4910 MISCELLANEOUS 10 000 u -4913 CREDIT CARD FEES 56,250 00-4930 RETURN CHECK FEES 2 000 TOTAL MISCELLANEOUS 6-07 TRANSFERS TOTAL REVENUES 11,994,966 The City of Sanger, Texas 2018-2019 Proposed Budget 29 7-30-2018 02:29 PM '—ENTERPRISE FUND -WATER DEPARTMENTAL EXPENDITURES CITY OF SANGER PAGE: BUDGET LISTING AS OF: JULY 31ST, 2018 51—SALARIES AND BENEFITS 50_-5Il0 REGULAR SALARIES 50-5111 MERIT INCREASE 50-5117 VACATION COMPENSATION 50-5119 STANDBY PAY 50-5120 OVERTIME 50-5125 LONGEVITY PAY 50-5129 CELL PHONE ALLOWANCE 50-5130 FICA 50-5140 RETIREMENT 50-5150 HEALTH INSURANCE 50-5160 WORKER'S COMPENSATION 50-5170 T W C TOTAL 51—SALARIES AND BENEFITS 52- -5223 CHEMICAL SUPPLIES -5230 ADVERTISING (WA. DRINKING REP) —5235 DUES & SUBSCRIPTIONS -5240 CONFERENCES & TRAINING -5250 MINOR TOOLS -5255 WEARING APPAREL -5260 SAFETY EQUIPMENT TOTAL 52—SUPPLIES AND MATERIALS 53—MAINTENANCE AND OPERAT MOTOR VEHICLE FUEL 5325 R & M MOTOR VEHICLE -5326 R & M MINOR EQUIPMENT 50-5335 PERMIT FEES 50-5345 LEASE EQUIPMENT 50-5350 FRANCHISE FEES 50-5360 SYSTEM MAINTENANCE 50-5372 WATER METER & BOXES 50-5373 R & M WATER WELLS 50-5374 R & M SCADA 50-5377 TESTING 50-5385 WATER PURCHASE 50-5386 UTILITY DEMAND CHARGE TOTAL 53—MAINTENANCE AND OPERAT BUDGET 249,889 8,746 4,000 2,677 26,000 2,136 600 22,495 23,583 46,800 17,063 0 1,500 6,000 1,300 3,000 200 5,000 3,000 -�500 00 15,000 7,500 5,000 34,500 800 107,342 100,000 65,000 30,000 10,000 10,000 75,000 2-�,875 �11 The City of Sanger, Texas 2018-2019 Proposed Budget 30 7-30-2018 02:29 PM 3—ENTERPRISE FUND -WATER DEPARTMENTAL EXPENDITURES 54—CONTRACT SERVICES 50-5430 PROFESSIONAL SERVICES 50-5450 TECHNICAL SUPPORT TOTAL 54—CONTRACT SERVICES 55—UTILITIES 5 _9-55-5ELECTRIC 50-5520 CELL PHONE TOTAL 55—UTILITIES 61—CAPITAL OUTLAY 50-6145 WATER EQUIPMENT TOTAL 61—CAPITAL OUTLAY 71—DEPRECIATION 70—DEBT PAYMENTS 90—BAD DEBT ALLOWANCE TOTAL SO —WATER CITY OF SANGER PAGE: 3 BUDGET LISTING AS OF: JULY 31ST, 2018 BUDGET 1 111 411 150,400 1l •11 1� •11 1,369,657 The City of Sanger, Texas 2018-2019 Proposed Budget 31 7-30-2018 02:29 PM 8—ENTERPRISE FUND -WASTE WATER DEPARTMENTAL EXPENDITURES CITY OF SANGER PAGE: BUDGET LISTING AS OF: JULY 31ST, 2018 51—SALARIES AND BENEFITS 54-5110 REGULAR SALARIES 54-5111 MERIT INCREASE 54-5117 VACATION COMPENSATION 54-5119 STANDBY PAY 54-5120 OVERTIME 54-5125 LONGEVITY PAY 54-5129 CELL PHONE ALLOWANCE 54-5130 FICA 54-5140 RETIREMENT 54-5150 HEALTH INSURANCE 54-5160 WORKER'S COMPENSATION 54-5170 T W C TOTAL 51—SALARIES AND BENEFITS 52—SUPPLIES AND MATERIALS 54-5223 CHEMICAL SUPPLIES 54-5235 DUES & SUBSCRIPTIONS 54-5250 TOOLS & EQUIPMENT 54-5255 WEARING APPAREL 54-5260 SAFETY EQUIPMENT 54-5270 LABORATORY SUPPLIES 54-5285 FURNITURE & FIXTURES TOTAL 52—SUPPLIES AND MATERIALS 53—MAINTENANCE AND OPERAT 54-5325 R & M MOTOR VEHICLE -5326 R & M EQUIPMENT 5335 PERMIT FEES -5350 FRANCHISE FEES 54-5360 SYSTEM MAINTENANCE 54-5377 TESTING TOTAL 53—MAINTENANCE AND OPERAT 54—CONTRACT SERVICES 54-5430 Pro essiona Services 54-5450 TECHNICAL SUPPORT TOTAL 54—CONTRACT SERVICES 55—UTILITIES 54-5515 ELECTRIC 54-5535 SOLID WASTE TOTAL 55—UTILITIES BUDGET 137,075 4,798 1,900 4,073 10,000 1:132 600 12,208 12,798 23400 6:064 60 214,408 30,000 1,500 1,500 1,140 2,000 1,500 500 — 38,140 1,000 00 10,000 106,109 150,000 20,000 �-, 609 3,000 500 3,500 1 111 1 111 111 The City of Sanger, Texas 2018-2019 Proposed Budget 32 7-30-2018 02:29 PM CITY OF SANGER PAGE: 5 BUDGET LISTING AS OF: JULY 31ST, 2018 ' 3—ENTERPRISE FUND WASTE WATER DEPARTMENTAL EXPENDITURES 61-CAPITAL OUTLAY 71-DEPRECIATION 90—BAD DEBT ALLOWANCE TOTAL 54—WASTE WATER BUDGET 713,657 The City of Sanger, Texas 2018-2019 Proposed Budget 33 7-30-2018 02:29 PM CITY OF SANGER PAGE: BUDGET LISTING AS OF: JULY 31ST, 2018 `8-ENTERPRISE FUND -ELECTRIC DEPARTMENTAL EXPENDITURES BUDGET 51-SALARIES AND BENEFITS 58-5110 REGULAR SALARIES 453,130 58-5111 MERIT INCREASE 15,860 58-5117 VACATION COMPENSATION 6,000 58-5119 STANDBY PAY 12,410 58-5120 OVERTIME 7,500 58-5125 LONGEVITY PAY 6,064 58-5128 AUTO ALLOWANCE 6,000 58-5129 CELL PHONE ALLOWANCE 1,800 58-5130 FICA 38,921 58-5140 RETIREMENT 40,803 58-5150 HEALTH INSURANCE 54,600 58-5160 WORKER'S COMPENSATION 7,951 58-5170 T W C 720 TOTAL 51-SALARIES AND BENEFITS 52-SUPPLIES AND MATERIALS 58-5210 OFFICE SUPPLIES 2,000 58-5215 FOOD 58-5230 ADVERTSING 900 58-5235 DUES & SUBSCRIPTIONS 7,500 58-5240 CONFERENCES & TRAINING 7,500 58-5250 TOOLS & EQUIPMENT 12,000 58-5255 WEARING APPAREL 81600 58-5260 SAFETY EQUIPMENT _ 8,000 TOTAL 52-SUPPLIES AND MATERIALS — -MAINTENANCE AND OPERAT -5320 MOTOR VEHICLE FUEL 15,000 ,o-5325 R & M MOTOR VEHICLE 20,000 58-5326 R & M MINOR EQUIPMENT 4,000 58-5329 CHRISTMAS DISPLAY 3,800 58-5330 EQUIPMENT RENTAL 3,000 58-5340 HAZARDOUS WASTE DISPOSAL 1,000 58-5345 LEASE EQUIPMENT 1,500 58-5347 VANDALISM REPLACEMENT 1,000 58-5350 FRANCHISE FEES 404,024 58-5355 METER MAINTENANCE 14,500 58-5360 SYSTEM MAINTENANCE 125,000 58-5365 TRANSFORMERS 49,000 58-5384 TRANSMISSION COSTS 882250 58-5385 WHOLESALE UTILITY PURCHASE 41101:268 58-5390 RADIOS ELECTRIC 2,000 TOTAL 53-MAINTENANCE AND OPERAT6� The City of Sanger, Texas 2018-2019 Proposed Budget 34 7-30-2018 02:29 PM 4—ENTERPRISE FUND ELECTRIC DEPARTMENTAL EXPENDITURES CITY OF SANGER BUDGET LISTING AS OF: JULY 31ST, 2018 54—CONTRACT SERVICES 58-5430 Pro essiona Services 58-5440 ENGINEERING ARCHITECTURAL 58-5450 TECHNICAL SUPPORT 58-5451 ANNUAL SOFTWARE SUPPORT 58-5470 CONTRACT UTILITY WORK 58-5471 CONTRACT TREE MAINTENANCE 58-5472 CONTRACTURAL SERVICES TOTAL 54—CONTRACT SERVICES 55—UTILITIES 58-5520 CELL PHONE TOTAL 55—UTILITIES 61—CAPITAL OUTLAY 58-6140 ELECTRIC IMPROVEMENTS TOTAL 61—CAPITAL OUTLAY 71—DEPRECIATION 70—DEBT PAYMENTS 5 -7 NOTE PAYMENT —PRINCIPAL 58-7099 INTEREST EXPENSE TOTAL 70—DEBT PAYMENTS 90—BAD DEBT ALLOWANCE --QTAL 58—ELECTRIC PAGE: 7 3/1Ze1m 40,000 6,000 5,600 2,000 46,500 28,600 25,000 300 111� i&MKI 1] 54,847 1,617 56,464 6,558,565 The City of Sanger, Texas 2018-2019 Proposed Budget 35 7-30-2018 02:29 PM �—ENTERPRISE FUND -DEBT SERVICE DEPARTMENTAL EXPENDITURES CITY OF SANGER PAGE: 8 BUDGET LISTING AS OF: JULY 31ST, 2018 / v-ur-D 1 r/i T MCIV I J 70-7025 2007 CO & REV BOND PRINCIPAL 70-7026 2007 CO & REV BD INTEREST 70-7028 2012 GO REFUNDING BONDS PRINCI 70-7029 2012 GO REFUNDING BOND INTERES 70-7030 CO 2013 PRINCIPAL 70-7031 CO 2013 INTEREST 70-7035 2015 CO PRINCIPAL 70-7036 2015 CO INTEREST 70-7037 REFUNDING 2016 PRINCIPAL 70-7038 REFUNDING 2016 INTEREST 70-7040 GO 2017 INTEREST 70-7080 BOND ADMINISTRATION FEES TOTAL 70—DEBT PAYMENTS 72—NON DEPARTMENTAL TOTAL 70—DEBT SERVICE BUDGET 59,400 28,460 207,200 16,688 154,000 128,370 115,000 192,350 270,000 33,804 366,600 1,750 1,573,622 The City of Sanger, Texas 2018-2019 Proposed Budget 36 7-30-2018 02:29 PM ,8—ENTERPRISE FUND 'TRANSFERS DEPARTMENTAL EXPENDITURES CITY OF SANGER BUDGET LISTING AS OF: DULY 31ST, 2018 74—TRANSFERS 74-7 S�SFER WW CIP 74-7458 TRANSFER EL STORM RECOVER 74-7480 TRANSFER —PILOT 74-7499 TRANSFER TO ISF TOTAL 74—TRANSFERS TOTAL 74—TRANSFERS PAGE: 9 BUDGET 156,800 115,920 85,000 1,421,745 ,77 ,4 5 1,779,465 The City of Sanger, Texas 2018-2019 Proposed Budget 37 7-30-2018 02:29 PM S—ENTERPRISE FUND -NON—DEPARTMENTAL DEPARTMENTAL EXPENDITURES S1—SALARIES AND BENEFITS CITY OF SANGER PAGE: 10 BUDGET LISTING AS OF: JULY 31ST, 2018 BUDGET The City of Sanger, Texas 2018-2019 Proposed Budget 38 7-30-2018 02:29 PM 8-ENTERPRISE FUND OTHER FINANCING SOURCES & USES TOTAL EXPENDITURES CITY OF SANGER PAGE: 11 BUDGET LISTING AS OF: 3ULY 31ST, 2018 BUDGET ... 0 The City of Sanger, Texas 2018-2019 Proposed Budget 39 BANGER .rExA= The City of Sanger, Texas 2018-2019 Proposed Budget 40 The City of Sanger, Texas 2018-2019 Proposed Budget 41 BANGER *rExA= The City of Sanger, Texas 2018-2019 Proposed Budget 42 7-30-2018 02:29 PM CITY OF SANGER PAGE: 1 BUDGET LISTING AS OF: 7ULY 31ST, 2018 I -INTERNAL SERVIC REVENUES BUDGET TRANSFERS 00-498 ransfer from Ent Fund 1,421,745 00-4981 Transfer from GF 609,320 TOTAL TRANSFERS -�1�b65 TOTAL REVENUES 2,031,065 The City of Sanger, Texas 2018-2019 Proposed Budget 43 7-30-2018 02:29 PM ''0—INTERNAL SERVIC -MAYOR AND COUNCIL DEPARTMENTAL EXPENDITURES CITY OF SANGER PAGE: 2 BUDGET LISTING AS OF: 3ULY 31ST, 2018 51-SALARIES AND BENEFITS -5 WORKER S COMPENSATION TOTAL 51-SALARIES AND BENEFITS 52-SUPPLIES AND MATERIALS - 5 FOOD 10-5230 ADVERTISING 10-5235 DUES & SUBSCRIPTIONS 10-5240 CONFERENCES & TRAINING 10-5280 COMPUTERS, PRINTERS, ETC TOTAL 52-SUPPLIES AND MATERIALS 54-CONTRACT SERVICES 10-541S ACCOUNTING SERVICES 10-5425 LEGAL SERVICES 10-5430 PROFESSIONAL SERVICES 10-5450 TECHNICAL SUPPORT TOTAL 54-CONTRACT SERVICES 61-CAPITAL OUTLAY 10-6120 IMPROVEMENTS TOTAL 61-CAPITAL OUTLAY TOTAL 10—MAYOR AND COUNCIL BUDGET 200 26 500 3,500 4,000 2,000 2.000 27,000 50,000 15,000 18.000 1 /11 1 111 152,200 The City of Sanger, Texas 2018-2019 Proposed Budget 44 7-30-2018 02:29 PM I —INTERNAL SERVIC -ADMINISTRATION CITY OF SANGER PAGE: 3 BUDGET LISTING AS OF: JULY 31ST, 2018 DEPARTMENTAL EXPENDITURES BUDGET 51-SALARIES AND BENEFITS 15-5110 REGULAR SALARIES 245,921 15-5111 MERIT INCREASE 81607 15-5120 OVERTIME 15-5125 LONGEVITY PAY 708 15-5128 AUTO ALLOWANCE 6,000 15-5129 CELL PHONE ALLOWANCE 1,800 15-5130 FICA 20,138 15-5140 RETIREMENT 21,112 15-5150 HEALTH INSURANCE 23,400 15-5160 WORKER'S COMPENSATION 270 15-5170 T W C TOTAL 51-SALARIES AND BENEFITS 328,828 52-SUPPLIES AND MATERIALS 5-5 5 DUES SUBSCRIPTIONS 4,250 15-5240 CONFERENCES & TRAINING 5,000 15-5280 COMPUTERS, PRINTERS, ETC 2,000 15-5285 FURNITURE & FIXTURES 1.500 - 2,750 TOTAL 52-SUPPLIES AND MATERIALS 53-MAINTENANCE AND OPERAT 5-5 5 CONTINGENCY RESERVE 10,000 TOTAL 53-MAINTENANCE AND OPERAT 10,000 54-CONTRACT SERVICES 15-5450 TECHNICAL SUPPORT 5,000 TOTAL 54-CONTRACT SERVICES 506 u-'-CAPITAL OUTLAY 71-DEPRECIATION TOTAL 15-ADMINISTRATION 356,578 The City of Sanger, Texas 2018-2019 Proposed Budget 45 7-30-2018 02:29 PM I -INTERNAL SERVIC PUBLIC WORKS DEPARTMENTAL EXPENDITURES CITY OF SANGER PAGE: BUDGET LISTING AS OF: JULY 31ST, 2018 51-SALARIES AND BENEFITS 18-5110 REGULAR SALARIES 18-5111 MERIT INCREASE 18-5117 VACATION COMPENSATION 18-5120 OVERTIME 18-5125 LONGEVITY PAY 18-5128 AUTO ALLOWANCE 18-5129 CELL PHONE ALLOWANCE 18-5130 FICA 18-5140 RETIREMENT 18-5150 HEALTH INSURANCE 18-5160 WORKER'S COMPENSATION 18-5170 T W C TOTAL 51-SALARIES AND BENEFITS 52-SUPPLIES AND MATERIALS 18-5210 OFFICE SUPPLIES 18-5215 FOOD 18-5230 ADVERTISING 18-5235 DUES & SUBSCRIPTIONS 18-5240 CONFERENCES & TRAINING 18-5275 FILING FEES 18-5280 COMPUTERS, PRINTERS, ETC 18-5285 FURNITURE & FIXTURES TOTAL 52-SUPPLIES AND MATERIALS 53-MAINTENANCE AND OPERAT OFFICE MACHINE LEASE TOTAL 53-MAINTENANCE AND OPERAT 54-CONTRACT SERVICES 18-5426 CREDIT CARD FEES 18-5430 PROFESSIONAL SERVICE 18-5440 ENGINEERING/ARCHTECTURAL 18-5450 TECHNICAL SUPPORT 18-5451 ANNUAL SOFTWARE SUPPORT TOTAL 54-CONTRACT SERVICES 61-CAPITAL OUTLAY 45 OTHER EQUIPMENT TOTAL 61-CAPITAL OUTLAY BUDGET 175,562 6,145 1,950 300 1,396 6,000 1,200 14,731 15,443 23,400 6,202 93 3,000 600 3,310 21554 500 2,000 00 -2.564F 1.584 , 582F 1,000 2,500 75,000 12 ,13 5 6,900 /11 The City of Sanger, Texas 2018-2019 Proposed Budget 46 7-30-2018 02:29 PM CITY OF SANGER PAGE: 5 BUDGET LISTING AS OF: JULY 31ST, 2018 O—INTERNAL SERVIC PUBLIC WORKS DEPARTMENTAL EXPENDITURES 71-DEPRECIATION TOTAL 18-PUBLIC WORKS BUDGET 365,905 The City of Sanger, Texas 2018-2019 Proposed Budget 47 7-30-2018 02:29 PM O—INTERNAL SERVIC FINANCE CITY OF SANGER PAGE: 6 BUDGET LISTING AS OF: DULY 31ST, 2018 DEPARTMENTAL EXPENDITURES BUDGET 51—SALARIES AND BENEFITS 19-5110 REGULAR SALARIES 272,918 19-5111 MERIT INCREASE 91553 19-5117 VACATION COMPENSATION 850 19-5125 LONGEVITY PAY 996 6,000 19-5128 AUTOMOBILE ALLOWANCE 600 19-5129 CELL PHONE ALLOWANCE 22,256 19-5130 FICA 23,332 19-5140 RETIREMENT 39,000 19-5150 HEALTH INSURANCE 1,397 19-5160 WORKER'S COMPENSATION 19-5170 T W C 459 TOTAL 51—SALARIES AND BENEFITS 52—SUPPLIES AND MATERIALS 7,750 19-5210 OFFICE SUPPLIES 1,000 19-5235 DUES & SUBSCRIPTIONS 19-5240 CONFERENCES & TRAINING 7,500 19-5280 COMPUTERS, PRINTERS, ETC _ 3.000 TOTAL 52—SUPPLIES AND MATERIALS 9,,250 54—CONTRACT SERVICES 56,250 19-5426 CREDIT CARD FEES 1,000 19-5429 MVBA COLLECTION FEES 15,000 19-5450 TECHNICAL SUPPORT 30,500 19-5451 ANNUAL SOFTWARE SUPPORT _ —02~750 TOTAL 54—CONTRACT SERVICES CAPITAL OUTLAY < $5K 52,000 _j-6025 COMPUTER HARDWARE _ —52600 TOTAL 60—CAPITAL OUTLAY < $5K 71—DEPRECIATION TOTAL 19—FINANCE 551,361 The City of Sanger, Texas 2018-2019 Proposed Budget 48 7-30-2018 02:29 PM CITY OF SANGER PAGE: 7 BUDGET LISTING AS OF: 7ULY 31ST, 2018 Q0-INTERNAL SERVIC -FLEET SERVICES DEPARTMENTAL EXPENDITURES BUDGET 51-SALARIES AND BENEFITS 36-5110 REGULAR SALARIES 52,583 36-5111 MERIT INCREASE 1,840 36-5120 OVERTIME 500 36-5125 LONGEVITY PAY 156 36-5129 CELL PHONE ALLOWANCE 600 36-5130 FICA 4,260 36-5140 RETIREMENT 4,465 36-5150 HEALTH INSURANCE 7,800 36-5160 WORKER'S COMPENSATION 2,422 36-5170 T W C 95 TOTAL 51-SALARIES AND BENEFITS 52-SUPPLIES AND MATERIALS 36-5223 CHEMICAL SUPPLIES 1,200 36-5235 DUES & SUBSCRIPTIONS 500 36-5245 MECHANIC SHOP SUPPLIES 1,200 36-5250 TOOLS & EQUIPMENT 2,300 36-5252 MECHANIC SUPPLIES 500 36-5255 WEARING APPAREL 2,200 36-5260 SAFETY EQUIPMENT 500 TOTAL 52-SUPPLIES AND MATERIALS 8,400 53-MAINTENANCE AND OPERAT 36-5320 MOTOR VEHICLE FUEL 1,200 36-5321 OIL & LUBRICANTS 5,500 36-5325 R & M MOTOR VEHICLE 1,700 �F-5326 R & M MINOR EQUIPMENT 1,000 5345 LEASE/PURCHASE EQUIPMENT 600 TOTAL 53-MAINTENANCE AND OPERAT 54-CONTRACT SERVICES 36-5451 ANNUAL SOFTWARE SUPPORT 3,400 3,400 TOTAL 54-CONTRACT SERVICES 61-CAPITAL OUTLAY 71-DEPRECIATION TOTAL 36-FLEET SERVICES 96,521 The City of Sanger, Texas 2018-2019 Proposed Budget 49 7-30-2018 02:29 PM '40—INTERNAL SERVIC FACILITIES DEPARTMENTAL EXPENDITURES CITY OF SANGER PAGE: 8 BUDGET LISTING AS OF: JULY 31ST, 2018 52-SUPPLIES AND MATERIALS 98-5212 WATER DELIVERY 98-5245 JANITORIAL SUPPLIES TOTAL 52-SUPPLIES AND MATERIALS 53-MAINTENANCE AND OPERAT 98-5310 R&M BUILDING TOTAL 53-MAINTENANCE AND OPERAT 54-CONTRACT SERVICES 98-5437 JANITORIAL SERVICES 98-5438 HVAC CONTRACT 98-5439 PEST MANAGEMENT CONTRACT TOTAL 54-CONTRACT SERVICES 55-UTILITIES 98-5510 TELEPHONE 98-5515 ELECTRIC 98-5516 GAS SERVICE TOTAL 55-UTILITIES 61-CAPITAL OUTLAY 98-6140 IMPROVEMENTS TOTAL 61-CAPITAL OUTLAY TOTAL 98-FACILITIES BUDGET 2,000 15.000 17,000 40,000 4,000 11,000 55,006 21 1// 85 111 111 114 111 • /11 WEENFIR11 246,000 The City of Sanger, Texas 2018-2019 Proposed Budget 50 7-30-2018 02:29 PM 'RO-INTERNAL SERVIC NON—DEPARMENTAL CITY OF SANGER PAGE: 9 BUDGET LISTING AS OF: JULY 31ST, 2018 DEPARTMENTAL EXPENDITURES BUDGET 51—SALARIES AND BENEFITS 99-5150 HEALTH INSURANCE 10,000 99-5183 SAFETY & INCENTIVE 12.000 TOTAL 51—SALARIES AND BENEFITS 22YO00 52—SUPPLIES AND MATERIALS 99-5220 POSTAGE — 34,000 TOTAL 52—SUPPLIES AND MATERIALS 4,00 53—MAINTENANCE AND OPERAT 99-5332 OFFICE MACHINE LEASE 5,000 99-5397 DAMAGE CLAIMS — REIMBURSE 10,000 TOTAL 53—MAINTENANCE AND OPERAT �0 54—CONTRACT SERVICES 99-5410 TML INSURANCE 110,000 99-5420 TAX COLLECTIONS 30,000 99-5430 PROFESSIONAL SERVICES 43,750 99-5435 MEDICALS/PHYSICALS 2,000 99-5436 BACKGROUND CHECKS 750 99-5452 WEBSITE HOSTING FEES 5,000 �''-�0 TOTAL 54—CONTRACT SERVICES 60—CAPITAL OUTLAY < $5K TOTAL 99—NON—DEPARMENTAL 262,500 The City of Sanger, Texas 2018-2019 Proposed Budget 51 7-30-2018 02:29 PM CITY OF SANGER PAGE: 10 BUDGET LISTING AS OF: 3ULY 31ST, 2018 "'0—INTERNAL SERVIC OTHER FINANCING SOURCES & USES TOTAL EXPENDITURES BUDGET 2,031,065 The City of Sanger, Texas 2018-2019 Proposed Budget 52 The City of Sanger, Texas 2018-2019 Proposed Budget 53 BANGER .rExA= The City of Sanger, Texas 2018-2019 Proposed Budget 54 7-30-2018 03:49 PM CITY OF SANGER PAGE: 1 BUDGET LISTING AS OF: JULY 31ST, 2018 ' 3-DEBT SERVICE FU REVENUES BUDGET TAXES OD--4310 AD VALOREM TAXES - CURRENT _ 695.056 TOTAL TAXES 695,056 INTEREST $00—Interest Income 100 TOTAL INTEREST -10 MISCELLANEOUS TRANSFERS 00-498 RANSFER FROM 4B 212.500 TOTAL TRANSFERS 23�0 TOTAL REVENUES 907,656 The City of Sanger, Texas 2018-2019 Proposed Budget 55 7-30-2018 03:49 PM '3-DEBT SERVICE FU -DEBT SERVICE DEPARTMENTAL EXPENDITURES CITY OF SANGER BUDGET LISTING AS OF: JULY 31ST, 2018 70-DEBT PAYMENTS 70-7023 PRINCIPAL - 2007 CO 70-7024 INTEREST - 2007 CO BONDS 70-7026 PRINCIPAL - 2009 BOND 70-7027 INTEREST - 2009 BONDS 70-7028 2012 GO REFUNDING BOND PRINCIP 70-7029 2012 GO REFUND BOND INTEREST 70-7030 CO 2013 PRINCIPAL 70-7031 CO 2013 INTEREST 70-7037 REFUNDING 2016 PRINCIPAL 70-7038 REFUNDING 2016 INTEREST 70-7080 BOND ADMINISTRATION FEES TOTAL 70-DEBT PAYMENTS TOTAL 70-DEBT SERVICE PAGE: 2 BUDGET 30,600 14,661 190,000 78,225 162,800 13,112 21,000 17,505 230,000 28,796 1,500 The City of Sanger, Texas 2018-2019 Proposed Budget 56 7-30-2018 03:49 PM 3—DEBT SERVICE FU -TRANSFERS DEPARTMENTAL EXPENDITURES CITY OF SANGER PAGE: 3 BUDGET LISTING AS OF: JULY 31ST, 2018 74-TRANSFERS 74- 7401 TRANSFERS TO GENERAL FUND TOTAL 74-TRANSFERS 80—OTHER USES TOTAL 74-TRANSFERS BUDGET 135 129,352 The City of Sanger, Texas 2018-2019 Proposed Budget 57 7-30-2018 03:49 PM —DEBT SERVICE FU OTHER FINANCING SOURCES & USES TOTAL EXPENDITURES CITY OF SANGER BUDGET LISTING AS OF: JULY 31ST, 2018 REVENUES OVER/(UNDER) EXPENDITURES PAGE: 4 BUDGET 917,551 ( 9,895) The City of Sanger, Texas 2018-2019 Proposed Budget 58 The City of Sanger, Texas 2018-2019 Proposed Budget 59 BANGER *TE%AS The City of Sanger, Texas 2018-2019 Proposed Budget 60 9-11-2018 02:55 PM I —CAPITAL PROJECT REVENUES CITY OF SANGER BUDGET LISTING AS OF: AUGUST 31ST, 2018 STREET REVENUE DD_-4_"4 CIP—INTERLOCAL DENTON COUNTY TOTAL STREET REVENUE INTEREST MISCELLANEOUS TRANSFERS 00-4981 TRANSFER FROM GENERAL FUND TOTAL TRANSFERS TOTAL REVENUES PAGE: 1 BUDGET 111 111 111 111 • 111 • 11/ 1,675,000 The City of Sanger, Texas 2018-2019 Proposed Budget 61 9-11-2018 02:55 PM '—CAPITAL PROJECT STREET CIP DEPARTMENTAL EXPENDITURES CITY OF SANGER PAGE: 2 BUDGET LISTING AS OF: AUGUST 31ST, 2018 65-CAPITAL PROJECTS 30-6511 MCREYNOLDS ROAD RECONSTRUCTION TOTAL 65-CAPITAL PROJECTS TOTAL 30-STREET CIP BUDGET 11 111 ill 111 300,000 The City of Sanger, Texas 2018-2019 Proposed Budget 62 9-11-2018 02:55 PM +—CAPITAL PROJECT TRANSFERS DEPARTMENTAL EXPENDITURES 74—TRANSFERS CITY OF SANGER PAGE: BUDGET LISTING AS OF: AUGUST 31ST, 2018 BUDGET The City of Sanger, Texas 2018-2019 Proposed Budget 63 9-11-2018 02:55 PM '—CAPITAL PROJECT OTHER FINANCING SOURCES & USES TOTAL EXPENDITURES CITY OF SANGER PAGE: 4 BUDGET LISTING AS OF: AUGUST 31ST, 2018 REVENUES OVER/(UNDER) EXPENDITURES BUDGET 300,000 1,375,000 The City of Sanger, Texas 2018-2019 Proposed Budget 64 9-11-2018 02:55 PM CITY OF SANGER BUDGET LISTING AS OF: AUGUST 31ST, 2018 0—ENT, CAPITAL PR REVENUES TAP FEES —4 1 WATER TAPS 00-4132 SEWER TAPS TOTAL TAP FEES GRANTS INTEREST a�=4$(S6—Interest Income TOTAL INTEREST TRANSFERS b-0=�9BU Transfer From Ent Fund TOTAL TRANSFERS TOTAL REVENUES PAGE: 1 BUDGET 260,000 340 000 272 720 1* • E The City of Sanger, Texas 2018-2019 Proposed Budget 65 9-11-2018 02:55 PM CITY OF SANGER PAGE: BUDGET LISTING AS OF: AUGUST 31ST, 2018 I —ENT. CAPITAL PR -PUBLIC WORKS DEPARTMENTAL EXPENDITURES 65-CAPITAL PROJECTS BUDGET The City of Sanger, Texas 2018-2019 Proposed Budget 66 9-11-2018 02:55 PM —ENT. CAPITAL PR -WATER DEPARTMENTAL EXPENDITURES 54-CONTRACT SERVICES CITY OF SANGER PAGE: 3 BUDGET LISTING AS OF: AUGUST 31ST, 2018 65-CAPITAL PROJECTS 50-6526 FM 455 RELOCATION OF UTILITIES 50-6527 PLUM STREET WATER LINES TOTAL 65-CAPITAL PROJECTS TOTAL 50—WATER BUDGET 150,000 _ 75.000 225,000 225,000 The City of Sanger, Texas 2018-2019 Proposed Budget 67 9-11-2018 02:55 PM " I -ENT. CAPITAL PR WASTE WATER DEPARTMENTAL EXPENDITURES 54-CONTRACT SERVICES CITY OF SANGER PAGE: 4 BUDGET LISTING AS OF: AUGUST 31ST, 2018 65-CAPITAL PROJECTS 54-6520 New Sewer Plant 54-6523 RAILROAD LIFT STATION 54-6525 WWTP OUTFALL PIPELINE 54-6526 FM455 RELOCATION OF UTILITIES 54-6527 PLUM STREET WASTE WATER TOTAL 65-CAPITAL PROJECTS TOTAL 54-WASTE WATER BUDGET 3,200,000 100,000 500000 150:000 75,000 4,025,000 The City of Sanger, Texas 2018-2019 Proposed Budget 68 9-11-2018 02:55 PM ')—ENT. CAPITAL PR -DEBT SERVICE DEPARTMENTAL EXPENDITURES 54-CONTRACT SERVICES 70—DEBT PAYMENTS 72—NON DEPARTMENTAL CITY OF SANGER PAGE: BUDGET LISTING AS OF: AUGUST 31ST, 2018 BUDGET 5 The City of Sanger, Texas 2018-2019 Proposed Budget 69 9-11-2018 02:55 PM —ENT. CAPITAL PR -TRANSFERS DEPARTMENTAL EXPENDITURES 74—TRANSFERS CITY OF SANGER PAGE: BUDGET LISTING AS OF: AUGUST 31ST, 2018 BUDGET C. The City of Sanger, Texas 2018-2019 Proposed Budget 70 9-11-2018 02:55 PM `°'O—ENT. CAPITAL PR OTHER FINANCING SOURCES & USES CITY OF SANGER PAGE: 7 BUDGET LISTING AS OF: AUGUST 31ST, 2018 TOTAL EXPENDITURES REVENUES OVER/(UNDER) EXPENDITURES BUDGET 4,250,000 ( 3,371,030) The City of Sanger, Texas 2018-2019 Proposed Budget 71 N N U N N Q N L O N N N V N 0) r, O N L O Q� N .a r- W N N 0 O N L O a N -a o +: o N t1 cV o� O Nch O o t2 N N � � Q N m LU 00 O H _ m N ♦� QU) U U (W� tV LLJ °r° Z U- 4 F-U) LU O N W (D a ti ) W 00 N Q Ui U N 0 4. (0 Q w N d O p O o0 O O O O LO � 69 LO O O LO -LO O_ � LO O O Cf> - N O V3 00 LO O — CD 0 d' C1 O r � 69 O O O � p O (D o O O � 69 O O O G C) O O O LO �? ER � O i p O O O CD O O O (Y) M Efl 6ri O i i i i p Ch M 00 00 CO to 00 00 Ir &0 � M d' O O N' (V 69- Q) O U a (6 .0 0 v`O- O to C c_- a c '� caa tn H O CCS p U) U- N a Co U- U) Ca6 a. U) (a N V O X Cn -cor U N U d Ui .O ) a O O O cu n �o Q. U af De- or� :D U 0 0 0 C6 LO ti The City of Sanger, Texas 2018-2019 Proposed Budget 72 The City of Sanger, Texas 2018-2019 Proposed Budget 73 BANGER *TEXAS The City of Sanger, Texas 2018-2019 Proposed Budget 74 6-28-2018 01:23 PM -1 -4A CORPORATION CITY OF SANGER PAGE: 1 BUDGET LISTING AS OF: DUNE 30TH, 2018 REVENUES BUDGET TAXES UO--4-325 STATE SALES TAX 385 000 -- $�W TOTAL TAXES GRANTS INTEREST ab 4$��INTEREST INCOME TOTAL INTEREST RENTAL INCOME TRANSFERS �986Transfer from 4B -- 25.000 TOTAL TRANSFERS 411,750 TOTAL REVENUES The City of Sanger, Texas 2018-2019 Proposed Budget 75 6-28-2018 01:23 PM Al -4A CORPORATION -ECONOMIC DEVELOPMENT DEPARTMENTAL EXPENDITURES CITY OF SANGER PAGE: BUDGET LISTING AS OF: DUNE 30TH, 2018 51-SALARIES AND BENEFITS 4 - REGULAR SALARIES 46-5111 MERIT INCREASE 46-5125 LONGEVITY PAY 46-5128 AUTO ALLOWANCE 46-5129 CELL PHONE ALLOWANCE 46-5130 FICA 46-5140 RETIREMENT 46-5150 HEALTH INSURANCE 46-5160 WORKER'S COMPENSATION 46-5170 T W C TOTAL 51-SALARIES AND BENEFITS 52-SUPPLIES AND MATERIALS 46-5210 OFFICE SUPPLIES 46-5215 FOOD 46-5226 MARKETING & PROMOTION 46-5235 DUES & SUBSCRIPTIONS 46-5240 CONFERENCES AND TRAINING 46-5280 COMPUTERS, PRINTERS, ETC TOTAL 52-SUPPLIES AND MATERIALS 53-MAINTENANCE AND OPERAT -5 R M BUILDING 46-5332 OFFICE MACHINE LEASE TOTAL 53-MAINTENANCE AND OPERAT 54-CONTRACT SERVICES .5430 PROFESSIONAL SERVICE 5450 TECHNICAL SUPPORT 46-5451 ANNUAL SOFTWARE SUPPORT TOTAL 54-CONTRACT SERVICES 55-UTILITIES 4 - 51 ELECTRIC 46-5516 GAS SERVICE TOTAL 55-UTILITIES 56-GRANT EXPENSES IINMINl 94,779 3'318 48 6,000 600 8,024 8,413 7,800 504 90 800 300 10,000 2,000 4,000 00 45,000 1,500 --SO 4� '756 1,750 350 The City of Sanger, Texas 2018-2019 Proposed Budget 76 6-28-2018 01:23 PM ,'l -4A CORPORATION -ECONOMIC DEVELOPMENT DEPARTMENTAL EXPENDITURES 60-CAPITAL OUTLAY < $5K 61-CAPITAL OUTLAY CITY OF SANGER PAGE: BUDGET LISTING AS OF: TUNE 30TH, 2018 70-DEBT PAYMENTS 46=7M7 NOTE PAYMENTS - WAREHOUSE 46-7099 INTEREST EXPENSE TOTAL 70-DEBT PAYMENTS TOTAL 46-ECONOMIC DEVELOPMENT BUDGET 3 48,176 —_613, ,091 26 264,673 The City of Sanger, Texas 2018-2019 Proposed Budget 77 6-28-2018 01:23 PM CITY OF SANGER PAGE: BUDGET LISTING AS OF: DUNE 30TN, 2018 Al —4A CORPORATION TRANSFERS DEPARTMENTAL EXPENDITURES 74—TRANSFERS BUDGET The City of Sanger, Texas 2018-2019 Proposed Budget 78 6-28-2018 01:23 PM -4A CORPORATION OTHER FINANCING SOURCES & USES TOTAL EXPENDITURES CITY OF SANGER PAGE: 5 BUDGET LISTING AS OF: TUNE 3OTH, 2018 REVENUES OVER/(UNDER) EXPENDITURES BUDGET 264,673 147,077 The City of Sanger, Texas 2018-2019 Proposed Budget 79 BANGER .rExa= The City of Sanger, Texas 2018-2019 Proposed Budget 80 The City of Sanger, Texas 2018-2019 Proposed Budget 81 BANGER .rExAs The City of Sanger, Texas 2018-2019 Proposed Budget 82 6-28-2018 01:23 PM 42 —4B CORPORATION REVENUES TAXES W—-325 STATE SALES TAX TOTAL TAXES INTEREST 00-4800 INTEREST INCOME TOTAL INTEREST TOTAL REVENUES CITY OF SANGER PAGE: 1 BUDGET LISTING AS OF: JUNE 30TH, 2018 BUDGET 385,000 —00 1,000 1,000 C:• 1/1 The City of Sanger, Texas 2018-2019 Proposed Budget 83 6-28-2018 01:23 PM 42 —4B CORPORATION "-TRANSFERS DEPARTMENTAL EXPENDITURES 74—TRANSFERS 74-7403 TRANSFER TO DSF 74-7441 TRANSFER TO 4A (ADMIN) TOTAL 74—TRANSFERS TOTAL 74—TRANSFERS CITY OF SANGER PAGE: 2 BUDGET LISTING AS OF: TUNE 30TH, 2018 212,500 25.000 71500 237,500 The City of Sanger, Texas 2018-2019 Proposed Budget 84 6-28-2018 01:23 PM CITY OF SANGER PAGE: 3 BUDGET LISTING AS OF: JUNE 30TH, 2018 —4B CORPORATION -4B FUND DEPARTMENTAL EXPENDITURES 52—SUPPLIES AND MATERIALS 54—CONTRACT SERVICES 61—CAPITAL OUTLAY 5 SPECIAL PROJECTS 76-6116 COMMUNITY PROJECTS TOTAL 61—CAPITAL OUTLAY 65—CAPITAL PROJECTS 70—DEBT PAYMENTS 74—TRANSFERS TOTAL 76-4B FUND BUDGET 15,000 50 000 The City of Sanger, Texas 2018-2019 Proposed Budget 85 6-28-2018 01:23 PM 42 —4B CORPORATION OTHER FINANCING SOURCES & USES TOTAL EXPENDITURES CITY OF SANGER PAGE: 4 BUDGET LISTING AS OF: JUNE 30TH, 2018 REVENUES OVER/(UNDER) EXPENDITURES BUDGET 302,500 83,500 The City of Sanger, Texas 2018-2019 Proposed Budget 86 The City of Sanger, Texas 2018-2019 Proposed Budget 87 BANGER .rExas The City of Sanger, Texas 2018-2019 Proposed Budget 88 6-28-2018 03:25 PM 0-9—HOTEL OCCUPANCY REVENUES CITY OF SANGER BUDGET LISTING AS OF: TUNE 30TH, 2018 TAXES D-0--74330 HOTEL OCCUPANCY TAX REVENUE TOTAL TAXES TOTAL REVENUES PAGE: 1 BUDGET _ 23,�0�060 20,000 The City of Sanger, Texas 2018-2019 Proposed Budget 89 6-28-2018 03:25 PM CITY OF SANGER BUDGET LISTING AS OF: DUNE 30TH, 2018 050-HOTEL OCCUPANCY °''-HOTEL OCCUPANCY TAX DEPARTMENTAL EXPENDITURES 54-CONTRACT SERVICES 50-5420 CONTRACTURAL SERVICES TOTAL 54-CONTRACT SERVICES TOTAL 50-HOTEL OCCUPANCY TAX PAGE: 2 BUDGET 12,000 The City of Sanger, Texas 2018-2019 Proposed Budget 90 6-28-2018 03:25 PM CITY OF SANGER PAGE: BUDGET LISTING AS OF: JUNE 30TH, 2018 -0—HOTEL OCCUPANCY TRANSFERS DEPARTMENTAL EXPENDITURES 74—TRANSFERS BUDGET The City of Sanger, Texas 2018-2019 Proposed Budget 91 6-28-2018 03:25 PM CITY OF SANGER BUDGET LISTING AS OF: DUNE 30TH, 2018 -0—HOTEL OCCUPANCY OTHER FINANCING SOURCES & USES TOTAL EXPENDITURES REVENUES OVER/(UNDER) EXPENDITURES PAGE: 4 BUDGET 12,000 8,000 The City of Sanger, Texas 2018-2019 Proposed Budget 92 6-28-2018 03:25 PM ?-BEAUTIFICATION REVENUES 32-PARKS aO 4117 Park Revenue TOTAL 32-PARKS TOTAL REVENUES CITY OF SANGER BUDGET LISTING AS OF: TUNE 30TH, 2018 PAGE: 1 BUDGET 500 5O6 500 The City of Sanger, Texas 2018-2019 Proposed Budget 93 6-28-2018 03:25 PM 432-BEAUTIFICATION PARKS DEPARTMENTAL EXPENDITURES CITY OF SANGER PAGE: 2 BUDGET LISTING AS OF: JUNE 30TH, 2018 52-SUPPLIES AND MATERIALS 32-5271 BANNER ACCOUNT TOTAL 52-SUPPLIES AND MATERIALS TOTAL 32-PARKS The City of Sanger, Texas 2018-2019 Proposed Budget 94 6-28-2018 03:25 PM JQ2—BEAUTIFICATION OTHER FINANCING SOURCES & USES CITY OF SANGER PAGE: 3 BUDGET LISTING AS OF: TUNE 30TH, 2018 TOTAL EXPENDITURES REVENUES OVER/(UNDER) EXPENDITURES BUDGET 6,000 ( 5,500) The City of Sanger, Texas 2018-2019 Proposed Budget 95 6-28-2018 03:25 PM 442-LIBRARY RESTRIC REVENUES LIBRARY oo-42-4-7 LIBRARY REVENUE TOTAL LIBRARY INTEREST 00-4800-INTEREST INCOME TOTAL INTEREST MISCELLANEOUS 00-4900 Rent Income TOTAL MISCELLANEOUS TOTAL REVENUES CITY OF SANGER PAGE: 1 BUDGET LISTING AS OF: TUNE 30TH, 2018 BUDGET Soo 200 • /11 • 111 9,700 The City of Sanger, Texas 2018-2019 Proposed Budget 96 6-28-2018 03:25 PM - 2-LIBRARY RESTRIC OTHER FINANCING SOURCES & USES CITY OF SANGER PAGE: 2 BUDGET LISTING AS OF: TUNE 3OTH, 2018 REVENUES OVER/(UNDER) EXPENDITURES BUDGET 9,700 The City of Sanger, Texas 2018-2019 Proposed Budget 97 6-28-2018 03:25 PM 450-PARKLAND DEDICA REVENUES LICENSES & PERMITS 00-4524 PARKLAND DEDICATION FEE TOTAL LICENSES & PERMITS INTEREST TOTAL REVENUES CITY OF SANGER PAGE: 1 BUDGET LISTING AS OF: TUNE 30TH, 2018 BUDGET 65,000 The City of Sanger, Texas 2018-2019 Proposed Budget 98 6-28-2018 03:25 PM CITY OF SANGER PAGE: BUDGET LISTING AS OF: JUNE 30TH, 2018 450-PARKLAND DEDICA 'W S DEPARTMENTAL EXPENDITURES 61-CAPITAL OUTLAY BUDGET The City of Sanger, Texas 2018-2019 Proposed Budget 99 6-28-2018 03:25 PM -0-PARKLAND DEDICA OTHER FINANCING SOURCES & USES CITY OF SANGER PAGE: 3 BUDGET LISTING AS OF: TUNE 30TH, 2018 REVENUES OVER/(UNDER) EXPENDITURES BUDGET 65,000 The City of Sanger, Texas 2018-2019 Proposed Budget 100 6-28-2018 03:25 PM ^cl—ROADWAY IMPACT REVENUES LICENSES & PERMITS bb-fT5 5 ROADWAY IMPACT FEES TOTAL LICENSES & PERMITS INTEREST TOTAL REVENUES CITY OF SANGER BUDGET LISTING AS OF: JUNE 30TH, 2018 PAGE: 1 BUDGET 100 000 100,000 The City of Sanger, Texas 2018-2019 Proposed Budget 101 6-28-2018 03:25 PM CITY OF SANGER PAGE: BUDGET LISTING AS OF: TUNE 30TH, 2018 "1.—ROADWAY IMPACT EETS DEPARTMENTAL EXPENDITURES 61-CAPITAL OUTLAY BUDGET The City of Sanger, Texas 2018-2019 Proposed Budget 102 6-28-2018 03:25 PM '`-!-ROADWAY IMPACT OTHER FINANCING SOURCES & USES CITY OF SANGER PAGE: 3 BUDGET LISTING AS OF: TUNE 30TH, 2018 REVENUES OVER/(UNDER) EXPENDITURES BUDGET 100,000 The City of Sanger, Texas 2018-2019 Proposed Budget 103 6-28-2018 03:25 PM CITY OF SANGER BUDGET LISTING AS OF: JUNE 30TH, 2018 '0-COURT SECURITY REVENUES FINES & FORFEITURES 00-4blb COURT SECURITY FEES TOTAL FINES & FORFEITURES TOTAL REVENUES PAGE: 1 BUDGET --- 500 b- 1,500 2018-2019 Pro osed Budget 104 The City of Sanger, Texas P 6-28-2018 03:25 PM 'O-COURT SECURITY MUNICIPAL COURT DEPARTMENTAL EXPENDITURES CITY OF SANGER PAGE: 2 BUDGET LISTING AS OF: TUNE 30TH, 2018 51-SALARIES AND BENEFITS 2b-5115 COURT SECURITY TOTAL 51-SALARIES AND BENEFITS TOTAL 26-MUNICIPAL COURT BUDGET 1500 �50� 1,500 The City of Sanger, Texas 2018-2019 Proposed Budget 105 6-28-2018 03:25 PM CITY OF SANGER PAGE: 3 BUDGET LISTING AS OF: TUNE 30TH, 2018 '()—COURT SECURITY OTHER FINANCING SOURCES & USES TOTAL EXPENDITURES BUDGET 1,500 The City of Sanger, Texas 2018-2019 Proposed Budget 106 6-28-2018 O3:2S PM 'I -COURT TECHNOLOG REVENUES FINES & FORFEITURES 00-4bZ4 COURT TECHNOLOGY FEE TOTAL FINES & FORFEITURES TOTAL REVENUES CITY OF SANGER BUDGET LISTING AS OF: TUNE 30TH, 2018 PAGE: 1 BUDGET 2,000 The City of Sanger, Texas 2018-2019 Proposed Budget 107 6-28-2018 03:25 PM CITY OF SANGER BUDGET LISTING AS OF: ]UNE 30TH, 2018 ''1_—COURT TECHNOLOG MUNICIPAL COURT DEPARTMENTAL EXPENDITURES 54—CONTRACT SERVICES 57—MUNICIPAL FEES —5 4 TECHNOLOGY FUND EXPENSE TOTAL 57—MUNICIPAL FEES TOTAL 26—MUNICIPAL COURT PAGE: 2 BUDGET The City of Sanger, Texas 2018-2019 Proposed Budget 108 CITY OF SANGER PAGE: 3 6-28-2018 03:25 PM BUDGET LISTING AS OF: DUNE 30TH, 2018 -1-COURT TECHNOLOG OTHER FINANCING SOURCES & USES TOTAL EXPENDITURES BUDGET 2,000 The City of Sanger, Texas 2018-2019 Proposed Budget 109 CITY OF SANGER PAGE: 1 6-28-2018 03:25 PM BUDGET LISTING AS OF: TUNE 3OTH, 2018 -5—CHILD SAFETY FE REVENUES FINES & FORFEITURES 00-4U51 CHILD SAFETY FEES TOTAL FINES & FORFEITURES TOTAL REVENUES BUDGET 7 500 7,500 The City of Sanger, Texas 2018-2019 Proposed Budget 110 CITY OF SANGER PAGE: 2 6-28-2018 03:25 PM BUDGET LISTING AS OF: JUNE 30TH, 2018 '5—CHILD SAFETY FE POLICE DEPARTMENTAL EXPENDITURES 57—MUNICIPAL FEES T CHILD TALW—MUNICIPAL FEES EE EXPENSES FEES TOTAL 20—POLICE BUDGET 7 500 7,5 7,500 111 The City of Sanger, Texas 201 B-2019 Proposed Budget CITY OF SANGER PAGE: 3 6-28-2018 03:25 PM BUDGET LISTING AS OF: DUNE 30TH, 2018 '=5-CHILD SAFETY FE BUDGET OTHER FINANCING SOURCES & USES TOTAL EXPENDITURES The City of Sanger, Texas 2018-2019 Proposed Budget 112 CITY OF SANGER PAGE: 1 6-28-2018 03:25 PM BUDGET LISTING AS OF: TUNE 30TH, 2018 ,0-POLICE DONATION REVENUES DONATIONS police Donations TOTAL DONATIONS TOTAL REVENUES BUDGET 2500 � 5�� 2,500 The City of Sanger, Texas 2018-2019 Proposed Budget 113 CITY OF SANGER PAGE: 2 6-28-2018 03:25 PM BUDGET LISTING AS OF: TUNE 30TH, 2018 -0-POLICE DONATION POLICE DEPARTMENTAL EXPENDITURES 52-SUPPLIES AND MATERIALS 20-5ZOI OTHER TOTAL 52-SUPPLIES AND MATERIALS 53-MAINTENANCE AND OPERAT TOTAL 20-POLICE BUDGET 2 500 2,500 114 The City of Sanger, Texas 2018-2019 Proposed Budget CITY OF SANGER PAGE: 3 6-28-2018 03:25 PM BUDGET LISTING AS OF: TUNE 30TH, 2018 ">-0-POLICE DONATION OTHER FINANCING SOURCES & USES TOTAL EXPENDITURES BUDGET 2,500 The City of Sanger, Texas 2018-2019 Proposed Budget 115 6-28-2018 03:25 PM ,4-FIRE DONATIONS REVENUES DONATIONS ATIONS bb Fire Donations TOTAL DONATIONS TOTAL REVENUES CITY OF SANGER BUDGET LISTING AS OF: TUNE 30TH, 2018 PAGE: 1 BUDGET 1,000 116 The City of Sanger, Texas 2018-2019 Proposed Budget 6-28-2018 03:25 PM 4—FIRE DONATIONS -FIRE DEPARTMENTAL EXPENDITURES CITY OF SANGER BUDGET LISTING AS OF: TUNE 30TH, 2018 52—SUPPLIES AND MATERIALS 4-5 OTHER TOTAL 52—SUPPLIES AND MATERIALS TOTAL 24—FIRE PAGE: 2 BUDGET 22 '7 5 2,275 117 The City of Sanger, Texas 2018-2019 Proposed Budget 6-28-2018 03:25 PM 14—FIRE DONATIONS OTHER FINANCING SOURCES & USES TOTAL EXPENDITURES CITY OF SANGER BUDGET LISTING AS OF: JUNE 30TH, 2018 REVENUES OVER/(UNDER) EXPENDITURES PAGE: 3 BUDGET 2,275 ( 1,275) 118 The City of Sanger, Texas 2018-2019 Proposed Budget CITY OF SANGER PAGE: 1 6-28-2018 03:25 PM BUDGET LISTING AS OF: DUNE 30TH, 2018 -'2—PARK DONATIONS REVENUES DONATIONS bbE�2 Park Donations TOTAL DONATIONS TOTAL REVENUES BUDGET 2500 — 5 2,500 The City of Sanger, Texas 2018-2019 Proposed Budget 119 CITY OF SANGER PAGE: 2 6-28-2018 03:25 PM BUDGET LISTING AS OF: TUNE 30TH, 2018 '2-PARK DONATIONS -PARKS BUDGET DEPARTMENTAL EXPENDITURES 52-SUPPLIES AND MATERIALS 120 The City of Sanger, Texas 2018-2019 Proposed Budget 6-28-2018 03:25 PM '12-PARK DONATIONS OTHER FINANCING SOURCES & USES CITY OF SANGER BUDGET LISTING AS OF: TUNE 30TH, 2018 REVENUES OVER/(UNDER) EXPENDITURES PAGE: 3 BUDGET 2,500 The City of Sanger, Texas 2018-2019 Proposed Budget 121 6-28-2018 03:25 PM CITY OF SANGER PAGE: 1 BUDGET LISTING AS OF: 3UNE 30TH, 2018 F42-LIBRARY DONATIO REVENUES LIBRARY UG--4--2-4-7 Library Donations TOTAL LIBRARY TOTAL REVENUES BUDGET 500 5 500 The City of Sanger, Texas 2018-2019 Proposed Budget 122 6-28-2018 03:25 PM "`�—LIBRARY DONATIO LIBRARY DEPARTMENTAL EXPENDITURES CITY OF SANGER BUDGET LISTING AS OF: DUNE 30TH, 2018 52—SUPPLIES AND MATERIALS 42-5227 BOOK EXP FR GEN DONATIONS TOTAL 52—SUPPLIES AND MATERIALS TOTAL 42—LIBRARY PAGE: 2 BUDGET 1,000 The City of Sanger, Texas 2018-2019 Proposed Budget 123 6-28-2018 03:25 PM -42—LIBRARY DONATIO OTHER FINANCING SOURCES & USES TOTAL EXPENDITURES CITY OF SANGER PAGE: 3 BUDGET LISTING AS OF: DUNE 30TH, 2018 REVENUES OVER/(UNDER) EXPENDITURES 1,000 ( 500) The City of Sanger, Texas 2018-2019 Proposed Budget 124 BANGER INVESTMENT POLICY 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. 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 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: 11 The City of Sanger, Texas Investment Policy 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. 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. 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, 2 1 The City of Sanger, Texas Investment Policy 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. 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 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. 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. 3 1 The City of Sanger, Texas hravestrnerat Policy 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. 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. 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. 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. 4 1 The City of Sanger, Texas Investment Policy 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, 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). 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. 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. 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. 5 1 The City of Sanger, Texas Investment Policy SANGER *TEXAS COUNCIL AGENDA ITEM AGENDA TYPE ® Regular ❑ Special ❑ Consent Reviewed by ® Yes ❑ Not Applicable ❑ Workshop ❑ Executive ❑ Public Hearing Finance Reviewed by Legal ❑ Yes ® Not Applicable COUNCIL MEETING DATE: SUBMITTED BY: September 17, 2018 Alina Ciocan, City Manager City Manager Reviewed/Approval Initials Date U ACTION REQUESTED: ®ORDINANCE ❑ RESOLUTION ❑ APPROVAL ❑ CHANGE ORDER n ❑ AWARD OF CONTRACT ❑❑ OTH:APPROVAL ❑ CONSENSUS ❑ REAPPOINTMENTS S PLAID AGENDA CAPTION Consider, Discuss and Act on Ordinance #09-27-18 — Approving the 2018 tax rolls and providing for an effective date. FINANCIAL SUMMARY ®N/A ❑GRANT FUNDS ❑OPERATING EXPENSE ❑REVENUE ❑CIP ❑BUDGETED ❑NON -BUDGETED FISCAL YEAR: PRIOR YEAR CURRENT YEAR FUTURE -YEAR(S) TOTALS Proposed Expenditure Amount Encumbered Amount BALANCE FUND(S) TO BE USED: General ❑$ Utility ❑ $ ❑ $ BACKGROUND/SUMMARY OF ITEM This Ordinance approves the 2018 tax rolls as certified by the Appraisal Review Board of the Denton County Appraisal District. STAFF OPTIONS & RECOMMENDATION Staff recommends approval of the ordinance. List of Supporting Documents/Exhibits Attached: Prior Action/Review by Council, Boards, • Ordinance #09-27-18 Commissions or Other Agencies: • 2018 Certified Totals ORDINANCE #09-27-18 AN ORDINANCE OF THE CITY OF SANGER, DENTON COUNTY, TEXAS, APPROVING THE 2018 TAX ROLLS AND PROVIDING AND EFFECTIVE DATE. THE COUNCIL OF THE CITY OF SANGER HEREBY ORDAINS: SECTION 1. The City Council hereby approves the 2018 tax rolls of the City of Sanger, Texas, as certified by the Appraisal Review Board of the Denton Central Appraisal District, which, with amounts of tax as approved by the governing body, will result in a tax levy in the amount of $4,366,602 based on the Certified Appraisal Roll. SECTION 2: This ordinance is effective upon its adoption. PASSED, APPROVED AND ADOPTED by the City Council of the City of Sanger, Texas on this 17th day of September 2018. APPROVED: Thomas E. Muir, Mayor ATTEST: Cheryl Price, City Secretary As of Certification DENTON County 2018 CERTIFIED TOTALS C16 - SANGER CITY OF 7/14/2018 3:35:05PM Property Count: 4,197 ARB Approved Totals Non Homesite: Ag Market: Timber Market: 58,455,562 34,801,534 0 Total Land Value Improvement 306,888,539 Homesite: 108,391,508 Non Homesite: Count Value Non Real 378 47,854,438 Personal Property: 0 Mineral Property: 0 0 0 Autos: Non Exempt Exempt Ag Total Productivity Market: 34,801,534 0 0 467,162 Ag Use: 0 0 Timber Use: 0 Productivity Loss: 34,334,372 APPROXIMATE TOTAL LEVY = NET TAXABLE * (TAX RATE / 100) 3,935,540.97 = 579,523,041 . (0,679100 / 100) 0 Tax Increment Finance Value: 0.00 Tax Increment Finance Levy: Total Improvements Total Non Real Market Value Productivity Loss Appraised Value Homestead Cap Assessed Value Total Exemptions Amount (Breakdown on Next Page) Net Taxable (+) 192,281,121 (+) 415,280,047 (+) 47,854,438 655,415,606 0 34,334,372 621,081,234 0 10,159,558 610,921,676 0 31,398,635 579,523,041 True Automation, Inc. C16/652971 Page 197 of 1994 DENTON County 2018 CERTIFIED TOTALS As of Certification C 16 - SANGER CITY OF ARB Approved Totals 7/14/2018 3:36:31PM Property Count: 4,197 Exemption Breakdown Exemption Count Local = State 0 Total 500,000 DP 26 500,000 0 90,000 90,000 DV1 11 0 70,500 70,500 DV2 7 7,500 7,500 DV2S 1 0 82,000 82,000 DV3 8 0 223,200 223,200 DV4 29 48,000 48,000 DV4S 5 0 2,669,525 2,669,525 DVHS 16 0 174,934 174,934 DVHSS 1 8,240 8,240 EX 1 Q 4,406 4,406 EX -XL 1 0 1,005,030 1,005,030 EX-XU 8 0 12,597,578 12,597,578 EX-XV 171 0 21,810 21,810 EX-XV (Prorated) 4 0 4,045 4,045 EX366 EX 18 1 1,345,836 0 1,345,836 FIR 407 11,586,031 0 11,586,031 32 960,000 0 960,000 OV65S Totals 14,391,867 17,006,768 31,398,635 C16/652971 Page 198 of 1994 True Automation, Inc. DENTON County 2018 CERTIFIED TOTALS As of Certification C16 - SANGER CITY OF 7/14/2018 3:35:05PM Property Count: 14 Under ARB Review Totals Non Homesite: , 23 307,623 Ag Market: 0 Total Land (+) 460,145 Timber Market: Value Improvement 216,179 Homesite: 249,262 Total Improvements (+) 465,441 Non Homesite: Non Real Count Value 6 70,689,855 Personal Property: 0 Mineral Property: 0 0 Total Non Real (+) 7,6, Autos: 0 Market Value 41 = 71,615,441 Ag Non Exempt Exempt Total Productivity Market: 307,623 0 0 Productivity Loss (-) 300,240 Ag Use: 7,383 0 0 Appraised Value = 71,315,201 Timber Use: 0 Productivity Loss: 300,240 Homestead Cap (') 0 Assessed Value = 71,315,201 Total Exemptions Amount H 7,839,799 (Breakdown on Next Page) Net Taxable = 63,475,402 APPROXIMATE TOTAL LEVY = NET TAXABLE ` (TAX RATE / 100) 431,061.45 = 63,475,402 " (0.679100 / 100) 0 Tax Increment Finance Value: Tax increment Finance Levy: 0.00 True Automation, Inc. Page 199 of 1994 C16/652971 DENTON County 2018 CERTIFIED TOTALS As of Certification C 16 - SANGER CITY OF Property Count: 14 Under ARB Review Totals 7/14l2018 3:36:31 PM Exemption Breakdown �A[ State Total EX366 0 7,839,407 FR 1 7,839,407 Totals 7,839,407 392 7,839,799 C16/652971 Page 200 of 1994 True Automation, Inc. As of Certification DENTON County 2018 CERTIFIED TOTALS C 16 - SANGER CITY OF 7/14/2018 3:35:05PM Grand Totals Property Count: 4,211 Value Land 99,111,471 Homesite: 58,520,638 Non Homesite: 35,109,157 (+) 192,741,266 Ag Market: 0 Total Land Timber Market: Value Improvement Homesite: 307,104,718 108,640,770 Total improvements (+) 415,745,488 Non Homesite: Count Value Non Real 384 118,544,293 Personal Property: 0 Mineral Property: 0 0 Total Non Real + 118,544,293 (_) Autos: 0 Market Value — 727,031,047 Non Exempt Exempt Ag Total Productivity Market: 0 35,109,157 0 Productivity Loss () 34,634,612 Ag Use: 474,545 0 Appraised Value 692,396,435 Timber Use: 0 0 Productivity Loss: 34,634,612 Homestead Cap 010,159,558 Assessed Value = 682,236,877 Total Exemptions Amount (-) 39,238,434 (Breakdown on Next Page) Net Taxable = 642,998,443 APPROXIMATE TOTAL LEVY = NET TAXABLE' (TAX RATE / 100) 4,366,602.43 = 642,998,443 " (0.679100 / 100) 0 Tax Increment Finance Value: 0.00 Tax Increment Finance Levy: True Automation, Inc. Page 201 of 1994 C16/652971 As of Certification DENTON County 2018 CERTIFIED TOTALS C 16 - SANGER CITY OF Property Count: 4,211 Grand Totals 7/14/2018 3:36:31 PM Exemption Breakdown '. Local State I Mal Exemption .Count 500,0000 0 500,000 DP 90,000 90,000 DV1 11 0 70,500 70,500 DV2 7 0 7,500 7,500 DV2S 1 0 82,000 82,000 DV3 8 0 223,200 223,200 DV4 29 0 48,000 48,000 DV4S 5 0 2,669,525 2,669,525 DVHS 16 0 174,934 174,934 DVHSS 1 0 8,240 8,240 EX 1 0 4,406 4,406 EX -XL 1 0 1,005,030 1,005,030 EX-XU 8 0 12,597,578 12,597,578 EX-XV 171 p 21,810 21,810 EX-XV (Prorated) 4 4,437 4,437 EX366 20 9,185,243 0 9,185,243 FIR2 4 11, ,0 0 11,586,031 OV65 32 32 60,000 960 0 960,000 OV65S Totals 22,231,274 17,007,160 39,238,434 C16/652971 Page 202 of 1994 True Automation, Inc. DENTON County 2018 CERTIFIED TOTALS As of Certification C 16 - SANGER CITY OF Property Count: 4,197 ARB Approved Totals 7/14/2018 3:36:31PM State Category Breakdown State Code ' Description Count Acres New Value Market Market Value A SINGLE FAMILY RESIDENCE 2,582 $22,732,954 $404,086,510 B MULTIFAMILY RESIDENCE 61 $1,109,634 $30,660,570 C1 VACANT LOTS AND LAND TRACTS 394 $0 $10,630,949 D1 QUALIFIED AG LAND 101 4,068.0558 $0 $34,801,534 D2 NON -QUALIFIED LAND 18 $0 $591,037 E FARM OR RANCH IMPROVEMENT 87 425.7344 $0 $7,749,947 F1 COMMERCIAL REAL PROPERTY 178 $2,069,116 $99,270,067 F2 INDUSTRIAL REAL PROPERTY 3 $0 $1,093,255 J1 WATER SYSTEMS 1 $0 $102,430 J2 GAS DISTRIBUTION SYSTEM 1 $0 $2,309,020 J3 ELECTRIC COMPANY (INCLUDING CO-OP 4 $0 $1,539,453 J4 TELEPHONE COMPANY (INCLUDING CO- 16 $0 $1,818,223 J5 RAILROAD 5 $0 $896,440 J7 CABLE TELEVISION COMPANY 6 $0 $1,302,000 L1 COMMERCIAL PERSONAL PROPERTY 312 $10,000 $36,045,172 L2 INDUSTRIAL PERSONAL PROPERTY 9 $0 $2,052,188 M1 TANGIBLE OTHER PERSONAL, MOBILE H 213 $437,770 $1,636,532 O RESIDENTIAL INVENTORY 88 $445,767 $3,364,161 S SPECIAL INVENTORY TAX 8 $0 $1,825,009 X TOTALLY EXEMPT PROPERTY 203 $0 $13,641,109 Totals 4,493.7902 $26,805,241 $655,415,606 C16/652971 Page 203 of 1994 True Automation, Inc. As of Certification DENTON County 2018 CERTIFIED TOTALS C 16 - SANGER CITY OF 7/14/2018 3:36:31 PM Under ARB Review Totals Property Count: 14 State Category Breakdown Count Acres New Value Market " Market Value State Code D escription $0 $301,125 A SINGLE FAMILY RESIDENCE 5 $0 $307,623 D1 QUALIFIED AG LAND 2 123.0490 $0 $161,754 D2 NON -QUALIFIED LAND 1 1.0000 $0 $2,500 E FARM OR RANCH IMPROVEMENT 1 $0 $152,584 F1 COMMERCIAL REAL PROPERTY 1 $0 $70,689,463 L1 COMMERCIAL PERSONAL PROPERTY 4 $0 $392 X TOTALLY EXEMPT PROPERTY 2 Totals 124.0490 $0 $71,615,441 C161652971 Page 204 of 1994 True Automation, Inc. DENTON County 2018 CERTIFIED TOTALS As of Certification C 16 - SANGER CITY OF Property Count: 4,211 Grand Totals 7/14/2018 3:36:31PM State Category Breakdown State Code Description Count Acres New Value Market Market Value A SINGLE FAMILY RESIDENCE 2,587 $22,732,954 $404,387,635 B MULTIFAMILY RESIDENCE 61 $1,109,634 $30,660,570 C1 VACANT LOTS AND LAND TRACTS 394 $0 $10,630,949 D1 QUALIFIED AG LAND 103 4,191.1048 $0 $35,109,157 D2 NON -QUALIFIED LAND 19 $0 $752,791 E FARM OR RANCH IMPROVEMENT 88 426.7344 $0 $7,752,447 F1 COMMERCIAL REAL PROPERTY 179 $2,069,116 $99,422,651 F2 INDUSTRIAL REAL PROPERTY 3 $0 $1,093,255 J1 WATER SYSTEMS 1 $0 $102,430 J2 GAS DISTRIBUTION SYSTEM 1 $0 $2,309,020 J3 ELECTRIC COMPANY (INCLUDING CO-OP 4 $0 $1,539,453 J4 TELEPHONE COMPANY (INCLUDING CO- 16 $0 $1,818,223 J5 RAILROAD 5 $0 $896,440 J7 CABLE TELEVISION COMPANY 6 $0 $1,302,000 L1 COMMERCIAL PERSONAL PROPERTY 316 $10,000 $106,734,635 L2 INDUSTRIAL PERSONAL PROPERTY 9 $0 $2,052,188 M1 TANGIBLE OTHER PERSONAL, MOBILE H 213 $437,770 $1,636,532 O RESIDENTIAL INVENTORY 88 $445,767 $3,364,161 S SPECIAL INVENTORY TAX 8 $0 $1,825,009 X TOTALLY EXEMPT PROPERTY 205 $0 $13,641,501 Totals 4,617.8392 $26,805,241 $727,031,047 C16/652971 Page 205 of 1994 True Automation, Inc. DENTON County 2018 CERTIFIED TOTALS C 16 - SANGER CITY OF Property Count: 4,197 ARB Approved Totals As of Certification 7/14/2018 3:36:31 PM CAD State Category Breakdown State Code Description Count - Acres New Value Market Market Value 1 $0 $74,344 A A017 BUILDER HOME PLANS - REFERENCE ON 1 $0 $0 $0 $0 A018 BUILDER HOME PLANS - REFERENCE ON 1 $0 $0 A019 BUILDER HOME PLANS - REFERENCE ON 35 $22,732,954 $403,686,544 Al REAL, RESIDENTIAL, SINGLE-FAMILY 2,543 $0 325622 $098,276 A2 REAL, RESIDENTIAL, MOBILE HOME 5 $0 $,, B1 REAL, RESIDENTIAL, APARTMENTS 19 $1,109,634 $5 5,56262,294 B2 REAL, RESIDENTIAL, DUPLEXES 42 $0 $6,355,806 C1 REAL, VACANT PLATTED RESIDENTIAL L 317 $0 $4,073,012 C2 COMMERCIAL VACANT LOT 72 $0 $202,131 C3 REAL VACANT LOT OUTSIDE CITY 5 101 4,068.0558 $0 $34,801,534 D1 D2 QUALIFIED AG LAND FARM AND RANCH IMPSS ON QUALIFIED O 18 $0 $591,037 3 $0 $558 E E1 LAND AND IMPROVMENTS (NON AG QUA 25 $0 $0 630 $4,470,759 E4 VACANT NON QUALIFIED NON HOMESITE 62 $2,069,1$0 95,828,366 $$1,093,255 F1 REAL COMMERCIAL 173 $0 $1,441,701 F2 REAL, INDUSTRIAL 3 $0 $3,10 ,430 F3 REAL - COMMERCIAL MH PARKS 5 $0 $109,020 J1 REAL & TANGIBLE PERSONAL, UTILITIES, 1 $0 $1,539,453 J2 REAL & TANGIBLE PERSONAL, UTILITIES, 1 $0 $1,818,223 J3 REAL & TANGIBLE PERSONAL, UTILITIES, 4 $0 $ J4 REAL & TANGIBLE PERSONAL, UTILITIES, 16 $0 $896,440 $302,000 J5 REAL & TANGIBLE PERSONAL, UTILITIES, 5 $0 $1,302,000 J7 REAL & TANGIBLE PERSONAL, UTILITIES, 6 $10,000 $21,833,320 L1 BPP TANGIBLE COMERCIAL PROPERTY 209 $0 $2,052,188 L2 BPP TANGIBLE INDUSTRIAL PROPERTY 9 $0 $14,211,852 L3 BPP TANGIBLE COMMERCIAL LEASED E 103 $437,770 $1,598,925 M1 NON INCOME PRODUCING PERSONAL P 212 $0 $37,607 M3 OA1 MOBILE HOMES INVENTORY, RESIDENTIAL SINGLE FAMI 1 6 $378,879 $829,565 OB2 INVENTORY, DUPLEX 1 $66,888 $0 $99,342 $2,435,254 OC1 INVENTORY, VACANT PLATTED LOTS/TR 81 $0 $1,825,009 S SPECIAL INVENTORY 8 $0 $13,641,109 X 203 Totals 4,068.0558 $26,805,241 $655,415,606 C16/652971 Page 206 of 1994 True Automation, Inc. DENTON County 2018 CERTIFIED TOTALS As of Certification C16 - SANGER CITY OF Property Count: 14 Under ARB Review Totals 7/14/2018 3:36:31 PM CAD State Category Breakdown State Code Description Count Acres New Value Market Market Value Al REAL, RESIDENTIAL, SINGLE-FAMILY 5 $0 $301,125 D1 QUALIFIED AG LAND 2 123.0490 $0 $307,623 D2 FARM AND RANCH IMPSS ON QUALIFIED O 1 $0 $161,754 E1 LAND AND IMPROVMENTS (NON AG QUA 1 $0 $2,500 F1 REAL COMMERCIAL 1 $0 $152,584 L1 BPP TANGIBLE COMERCIAL PROPERTY 2 $0 $70,048,042 L3 BPP TANGIBLE COMMERCIAL LEASED E 2 $0 $641,421 X 2 $0 $392 Totals 123.0490 $0 $71,615,441 C16/652971 Page 207 of 1994 True Automation, Inc. DENTON County 2018 CERTIFIED TOTALS C16 - SANGER CITY OF Property Count: 4,211 Grand Totals CAD State Category Breakdown As of Certification 7/14/2018 3:36:31 PM State Code Description Count Acres New Value Market Market Value A 1 $0 $74,344 A017 BUILDER HOME PLANS - REFERENCE ON 1 $0 $0 A018 BUILDER HOME PLANS - REFERENCE ON 1 $0 $0 $0 A019 BUILDER HOME PLANS - REFERENCE ON 35 $0 Al REAL, RESIDENTIAL, SINGLE-FAMILY 2,548 $22,732,954 $403,987,669 A2 REAL, RESIDENTIAL, MOBILE HOME 5 $0 $325,622 B1 REAL, RESIDENTIAL, APARTMENTS 19 $0 $25,098,276 B2 REAL, RESIDENTIAL, DUPLEXES 42 $1,109,634 $5,562,294 C1 REAL, VACANT PLATTED RESIDENTIAL L 317 $0 $6,355,806 C2 COMMERCIAL VACANT LOT 72 $0 $0 $4,073,012 $202,131 C3 REAL VACANT LOT OUTSIDE CITY 5 103 4,191.1048 $0 $35,109,157 D1 D2 QUALIFIED AG LAND FARM AND RANCH IMPSS ON QUALIFIED O 19 $0 $752,791 E 3 $0 $558 E1 LAND AND IMPROVMENTS (NON AG QUA 26 $0 $3,281,130 E4 VACANT NON QUALIFIED NON HOMESITE 62 $0 $4,470,759 F1 REAL COMMERCIAL 174 $2,069,116 $95,980,950 F2 REAL, INDUSTRIAL 3 $0 $0 $1,093,255 $3,441,701 F3 REAL - COMMERCIAL MH PARKS 5 $0 $102,430 J1 REAL & TANGIBLE PERSONAL, UTILITIES, 1 J2 REAL & TANGIBLE PERSONAL, UTILITIES, 1 $0 $2,309,020 J3 REAL & TANGIBLE PERSONAL, UTILITIES, 4 $0 $1,539,453 J4 REAL & TANGIBLE PERSONAL, UTILITIES, 16 $0 $1,818,223 J5 REAL & TANGIBLE PERSONAL, UTILITIES, 5 $0 $896,440 J7 REAL & TANGIBLE PERSONAL, UTILITIES, 6 $0 $1,302,000 Ll BPP TANGIBLE COMERCIAL PROPERTY 211 $10,000 $91,881,362 L2 BPP TANGIBLE INDUSTRIAL PROPERTY 9 $0 $2,052,188 L3 BPP TANGIBLE COMMERCIAL LEASED E 105 $0 $14,853,273 M1 NON INCOME PRODUCING PERSONAL P 212 $437,770 $1,598,925 M3 OA1 MOBILE HOMES INVENTORY, RESIDENTIAL SINGLE FAMI 1 6 $0 $378,879 $37,607 $829,565 OB2 INVENTORY, DUPLEX 1 $66,888 $99,342 OC1 INVENTORY, VACANT PLATTED LOTS/TR 81 $0 $2,435,254 S SPECIAL INVENTORY 8 $0 $1,825,009 X 205 $0 $13,641,501 Totals 4,191.1048 $26,805,241 $727,031,047 C16/652971 Page 208 of 1994 True Automation, Inc. DENTON County 2018 CERTIFIED TOTALS As of Certification C16 - SANGER CITY OF Property Count: 4,211 Effective Rate Assumption 7/14/2018 3:36:31 PM New Value TOTAL NEW VALUE MARKET: $26,805,241 TOTAL NEW VALUE TAXABLE: $26,597,320 New Exemptions Exemption Description Count I EX-XU 11.23 Miscellaneous Exemptions 2 2017 Market Value $150,747 EX-XV Other Exemptions (including public property, r 4 2017 Market Value $63,984 EX366 HB366 Exempt 5 2017 Market Value $598 ABSOLUTE EXEMPTIONS VALUE LOSS $215,329 Exemption Description Count Exemption Amount DP Disability 2 $40,000 DV1 Disabled Veterans 10% - 29% 1 $12,000 DV2 Disabled Veterans 30% - 49% 3 $22,500 DV3 Disabled Veterans 50% - 69% 4 $40,000 DV4 Disabled Veterans 70% - 100% 6 $72,000 DVHS Disabled Veteran Homestead 2 $149,834 OV65 Over 65 45 $1,320,000 PARTIAL EXEMPTIONS VALUE LOSS 63 $1,656,334 NEW EXEMPTIONS VALUE LOSS $1,871,663 Increased Exemptions Exemption Description Count Increased Exemption —Amount INCREASED EXEMPTIONS VALUE LOSS TOTAL EXEMPTIONS VALUE LOSS $1,871,663 New Ag / Timber Exemptions New Annexations Count Market Value Taxable Value $1,184,086 $1,102,849 New Deannexations Average Homestead Value Category A and E Count of HS Residences Average Market Average HS Exemption Average Taxable 1,464 $171,663 $6,940 $164,723 Category A Only Count of HS Residences Average Market Average HS Exemption Average Taxable 1,453 $171,711 $6,964 $164,747 C16/652971 Page 209 of 1994 True Automation, Inc. DENTON County 2018 CERTIFIED TOTALS As of Certification C16 - SANGER CITY OF Lower Value Used Count of Protested Properties Total Market Value Total Value Used 14 $71,615,441.00 $63,469,417 C16/652971 Page 210 of 1994 True Automation, Inc. SANGER + T E X A S COUNCIL AGENDA ITEM AGENDA TYPE ® Regular ❑ Special ❑ Consent by Finance ❑ Yes ® Not Applicable ❑ Yes ® Not Applicable ERevieEwed ❑ Workshop ❑ Executive ❑ Public Hearingby Legal COUNCIL MEETING DATE: SUBMITTED BY: September 17, 2018 Alina Ciocan, City Manager City Manager Reviewed/Approval Initials Date 013R ACTION REQUESTED: ®ORDINANCE ❑ RESOLUTION ® APPROVAL APPROVAL OF BID❑AWARD OF CONTRACT ❑ CHANGE ORDER �APPO�INTIMENTS ❑[—]OTHER ❑ CONSENSUS ❑ EXPLAIN: AGENDA CAPTION Consider, Discuss and Act on Ordinance #09-28-18 — Denying a Proposed Increase Sought by Atmos Energy- Midtex Division in Connection With the Rate increase Filing it Made on About June 1, 2018; Approving an Alternative Increase in Rates; Directing Atmos to File Conforming Tariffs And to Reimburse the City's Rate Case Expenses; Making Other Findings and Provisions Related to the Subject; Finding that the Meeting Complies With the Open Meetings Act; and Declaring An Effective Date. FINANCIAL SUMMARY �N/A ❑GRANT FUNDS ❑OPERATING EXPENSE ❑REVENUE ❑CIP ❑BUDGETED ❑ NON -BUDGETED PRIOR CURRENT FUTURE FISCAL YEAR: YEAR YEAR YEAR(S) TOTALS Pro osed Expenditure Amount Encumbered Amount BALANCE FUND(S) TO BE USED: General ❑$ Utility ❑ $ Special ❑ $ BACKGROUND/SUMMARY OF ITEM See attached Agenda Information Sheet provided by Herrera Law & Associates, Inc. STAFF OPTIONS & RECOMMENDATIONS Staff recommends approval of Ordinance 909-28-18 List of Supporting Documents/Exhibits Attached: Prior Action/Review by Council, Boards, Commissions or • Ordinance #09-28-18 Other Agencies: 0 Agenda Information Sheet None ORDINANCE NO.09-28-18 ORDINANCE BY THE CITY OF SANGER, TEXAS ("CITY") DENYING A PROPOSED INCREASE SOUGHT BY ATMOS ENERGY-MIDTEX DIVISION IN CONNECTION WITH THE RATE INCREASE FILING IT MADE ON ABOUT JUNE 1, 2018; APPROVING AN ALTERNATIVE INCREASE IN RATES; DIRECTING ATMOS TO FILE CONFORMING TARIFFS AND TO REIMBURSE THE CITY'S RATE CASE EXPENSES; MAKING OTHER FINDINGS AND PROVISIONS RELATED TO THE SUBJECT; FINDING THAT THE MEETING COMPLIES WITH THE OPEN MEETINGS ACT; AND DECLARING AN EFFECTIVE DATE WHEREAS, Atmos Energy ("Atmos Energy," "Atmos," or "Company") filed a Statement of Intent with the City on or about June 1, 2018, to increase its annual revenue by approximately $4.5 million in the cities known as Atmos Texas Municipalities ("ATM"), which equates to an increase in annual revenue of approximately 8.0 percent, and is the equivalent of an increase of about $46.0 million on a system -wide basis; and WHEREAS, the City is a regulatory authority under the Gas Utility Regulatory Act ("GURA") and under Chapter 104, § 103.001 et seq. of GURA has exclusive original jurisdiction over Atmos's rates, operations, and services within the municipality; and WHEREAS, in order to maximize the efficient use of resources and expertise in reviewing, analyzing and investigating Atmos's rate request and its changes in tariffs it is prudent to coordinate the City's efforts with a coalition of similarly situated municipalities; and WHEREAS, the City, in matters regarding applications by Atmos to change rates, has in the past joined with other local regulatory authorities to form an alliance of cities known as Atmos Texas Municipalities ("ATM"), and hereby continues its participation in ATM; and 1 of 6 Atmos MidTex 2018 Statement of Intent Final Action WHEREAS, Atmos's rate request consists of a voluminous amount of information including Atmos's rate -filing package, exhibits, schedules, and workpapers; and WHEREAS, Atmos's rate application is the Company's first general rate case since about 2012, and follows annual increases approved under the now -expired tariff known as the "Rate Review Mechanism" ("RRM"); and WHEREAS, Atmos proposed July 6, 2018, as the effective date for its requested increase in rates; and WHEREAS, the City previously suspended Atmos' proposed effective from July 6, 2018, to October 4, 2018; and WHEREAS, the City, exercising its duties as a local regulatory authority with regard to Atmos' rates, services, and operations, through ATM engaged the law firm of Herrera Law & Associates as Special Counsel and rate experts from the consulting firms of the Garrett Group, LLC, GDS and Associates, Inc., and J. Randall Woolridge, Ph.D, to review Atmos' rate filing package; and WHEREAS, Atmos failed to establish the need for an increase of about $46 million and the specific rates Atmos proposed; and WHEREAS, merits at most an increase of about $12.81 million, which is approximately an increase of $1.25 million in the ATM cities, and the specific rates set forth in Exhibit A to this Ordinance, and made a part of this Ordinance as if fully set out in its body; and WHEREAS, Atmos failed to establish the reasonableness of its proposed rate design; and WHEREAS, a reasonable rate design is as set forth in Exhibit A; ►0 00 Atmos NlidTex 2018 Statement of Intent Final Action WHEREAS, Atmos failed to establish the reasonableness of its proposed cost of capital, including Atmos' proposed capital structure; and WHEREAS, a reasonable cost of capital and capital structure is as set forth in Exhibit A to this Ordinance; and WHEREAS, pursuant to Gas Utility Regulatory Act § 103.022, cities have a statutory right to recover their reasonable rate case expenses. NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF SANGER, TEXAS THAT: Section I. The findings set out in the preamble are in all things approved and incorporated herein as if fully set forth. Section 2. Atmos failed to establish that its requested increase in revenue of about $46 million, and its proposed changes in rates as set forth in its Statement of Intent submitted to the City on about June 1, 2018, result in just and reasonable rates, and are therefore, hereby DENIED. Section 3. An increase of about $12.81 million as shown in Exhibit A, and as detailed in Exhibit B to this Ordinance, each of which is hereby incorporated by reference_ and the rates shown below, are hereby APPROVED, to wit: Approved Increase in Annual Revenue (System Wide — MidTex Division) $12,807,858 APPROVED RATE Customer Class/Rate Rate R - Residential $17.89 Customer Charge per month Consumption Charge (per CCF) $0.16052 Rate C - Commercial 3 of 6 Atmos MidTex 2018 Statement of Intent Final Action Customer Charge per month $37.85 Consumption Charge (per CCF) $0.10081 Rate I & T — Indus. & Transp. Customer Charge per month $619.85 Consumption Chrg - First 1,500 MMBTU $0.3655 Consumption Chrg - Next 3,500 MMBTU $0.2908 Consumption Chrg - Over 5,000 MMBTU $0.0761 Section 4. A rate -case -expense surcharge ("RCE Surcharge") as shown below to allow Atmos to recover the City's rate case expenses is hereby APPROVED, said surcharge per class to be in effect for a period of five (5) years: Rate Class RCE Surcharge Residential $0.00030 per ccf Commercial $0.00011 per ccf Industrial & Transportation $0.0001 per MMbtu Section 5. Atmos is hereby ordered to submit to the City a report detailing the rate - case expenses recovered through the RCE Surcharges, said report to be filed by October 1 of each year until full recovery of the rate case expenses and in no event is Atmos permitted to recover in excess of the rate case expenses approved by this Ordinance. Section 6. Atmos' requested return on equity of 10.50% and its proposed capital structure of 60.18% equity and 39.82% long-term debt, are hereby DENIED. Section 7. A return on equity of 9.80%; a cost of long-term debt of 5.45%; and a cost of short -tern debt of 1.68%, are hereby APPROVED. Section 8. A capital structure of 53.81% equity; 38.98% long-term debt; and 7.21% short-term debt, yielding a weighted cost of capital of 7.5189%, are hereby APPROVED. 4 of 6 Atinos MidTex 2018 Staternent of Intent Final Action Section 9. Atmos is hereby ordered to reimburse the City's rate case expenses incurred as a member of the Atmos Texas Municipalities ("ATM") through August 31, 2018, as set forth in Exhibit B, by no later than thirty (30) days from the effective date of this Ordinance. Section 10. Atmos is hereby ordered to reimburse the City's rate case expenses incurred after August 31, 2018, for the City's reasonable costs associated with the City's continued activities related to this rate review or related to proceedings involving Atmos in proceedings before the City or any ATM city, the Railroad Commission of Texas, or any court of law, and that Atmos shall do so on a monthly basis and within 30 days after submission of the City's invoices to Atmos. Section 11. Atmos is directed to submit to the City a set of tariffs modified to correspond to the rates approved by this Ordinance and that it do so by no later than fifteen (15) calendar days after the effective date of this Ordinance, said submittal to be accompanied by an affidavit from an officer of Atmos Energy attesting that the rates presented in the modified tariffs are in accordance with the rates approved by this Ordinance. Section 12. The City shall continue its participation in a coalition of cities known as the Atmos Texas Municipalities ("ATM"), and authorizes intervention in proceedings related to Atmos' Statement of Intent before the Railroad Commission of Texas and related proceedings in courts of law that may have an impact on rates within the City; and Section 13. Subject to the right to terminate employment at any time, the City continues its engagement of and authorizes the law firm of Herrera Law & Associates, PLLC to act as Special Counsel with regard to rate proceedings involving Atmos before the City, the Railroad Commission of Texas, or any court of law, and to retain such experts as may be reasonably necessary for review of Atmos's rate application in such proceedings and subject to approval by the steering committee of the ATM. 5 of 6 Atinos MidTex 2018 Statement oflntent Final Action Section 14. Any relief not expressly granted or approved by this Ordinance is expressly denied. Section 15. A copy of this Ordinance shall be sent to Mr. Alfred R. Herrera, Herrera Law & Associates, PLLC, 816 Congress Ave., Suite 950, Austin, Texas 78701, and a courtesy copy to Atmos's local representative. Section 16. Atmos shall implement the rates approved by this Ordinance beginning October 4, 2018, for service rendered on and after that date. Section 17. To the extent of an inconsistency between this Ordinance and a prior ordinance or resolution related to Atmos' rates, this Ordinance governs and supersedes all prior ordinances or resolutions related to Atmos' rates. Section 18. The meeting at which this Ordinance was approved was in all things conducted in strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551. Section 19. This Ordinance shall become effective from and after its passage. PASSED AND APPROVED this 17t" day of September, 2018. ATTEST: City Secretary, Cheryl Price 6 of 6 Mayor, Thomas E. Muir Atmos MidTex 2018 Statement of Intent Final Action EXHIBIT A EXHIBIT A osed Increase in Annual Revenue ATM City Approved Increase in Annual Revenue Atmos Prop (System Wide —MidTex Division) (System Wide —MidTex Division) $12,807,858 $45,993,529 ATMOS: ATM CITY PROPOSED APPROVED RATE RATE Customer Class/Rate CURRENT Rate R - Residential $17 89 $18.35 $20.21 Customer Charge per month 0 16052 Consumption Charge (per CCF) $ 0.13734 $0.15701 $ Rate C - Commercial $37.85 $41.95 $41.85 Customer Charge per month $0.08746 $0.07729 $0 10081 Consumption Charge (per CCF) Rate I & T — Indus. & Transp. 619.85 $752.00 $752.00 $ Customer Charge per month $0.3655 0.2390 Consumption Chrg - First 1,500 MMBTU $0.3172 $ 0 2908 Consumption Chrg - Next 3,500 MMBTU $0.2322 $0.$ 0.0761 Consumption Chrg - Over 5,000 MMBTU $ 0.0498 $0.0498 $ Cost of Capital and Capital Structure Atmos Requested ATM City Approved ° Return on Equity 10.50% 9.80 0 Cost of Long -Term 5.45% 5.45% Debt Cost of Short- 1 68°/ 1.68% Term Debt Capital Structure Ratios Atmos Requested ATM City Approved 60.18 /° Equity ° 39.82% 7.21/0 Long -Term Debt 0 0% 38.9870 Short -Term Debt Weighted Average Cost of Capital (aka, Rate of Return) Atmos Requested ATM City Approved 5189% Weighted Cost 8.3876/° Pre -Tax Weighted ° Cost 10.0674% 8.9207 tmos MidTex 2018 Statement of Intent — June 1, 201.8 — Approved Change in Revenue, Rates, Cost of A Capital and Capital Structure 2 EXHIBIT B REVENUE REQUIREMENT SCHEDULES Line No. Description 1 Test Year Revenue Requirement 2 Revenue at Present Rates ATMOS ENERGY CORP., MID-TD(DIV ISION ATM COALITION REVENUE REQUIREMENTSUMMARY TEST YEAR ENDING DECEMBER 31, 2017 Atmos Proposed (Note a) Ref. Rate Base/BOB Operating Income Ihl (e) (d) 3 4 GCR 5 6 Operation and Maintenance Expenses 7 8 Taxes Other than IncomeTax -Non-Revenue Related 9 10 Revenue Related Taxes it 12 Depreciation and Amortization Expense 13 14 Interest on Customer Deposits 14. 15 Rate Base 16 Atmos Rate of Return 17 ATM Rateof Return 1g Return Requirement 19 20 Income and Other Taxes 21 22 Revenue Requirements 25 26 Base Revenue Deficiency(excluding revenue taxes) 27 28 Amortization of Excess ADTT-with RevenueTaxes 29 30 Proposed Cost of5ernce-Systemwide Adjusted for Excess ADIT ATM Adjustments ATM Proposed A (See Schedule B) Operating Income (e) (f) 1,494,918,603 $ 1,494,918.603 $ - 5 1,494,918,603 heduleA - 816,965,570 $ 816,965,570 $ 816,965,570 - 187,342,844 S 188,642,689 $ (1,299,845) $ 187,342,844 Schedule F-1 - 43,711,991 43,711,991 $ 43,711,991 Schedule F-5 - 94,200,861 96,255,692 (2,054,831) $ 94,200,861 - 144,321,772 $ 144,321,772 Schedule F-3 144.321,772 - 117,764 $ 117,764 Schedule F-7 117,764 - 2,572,673,972 (830,856) 2,572,673,972 ScheduleS $ 2,573,504,828 7.19 ScheduleG 8.388% 7518s% - 437,246 193,3, g 215,855,775 $ (22,418,528) $ 193,437,246 - 40,517,489 47,913,915 (7,396,426) 40,517,489 Schedule F-6 - 1,520,615,537 553,785,168 $ 1,$ 1693 (33 .,630) S 1,520,615,538 L. 3L. 20 ... 2-1,616,134 g 58,866,565 $ (33,1 99,6301 S 25,696,934 L22-L2 _ 12,889,076 12,873,035 16,041 12,889,076 _------- $ $ 45,993.529 (33,185-671) $ 12,807.858 5 Exhibit MG-2 Summary ATMOS ENERGY CORP., MID-TEX DIVISION ATM RECOMMENDATION SUMMARY TESTYEAR ENDING DECEMBER 31, 2017 Equity/ Pre -Tax Rate Line Description ROE Reference Rate Base ROR Change No. $ 2,573,504,828 10.0674% $ 45,993,529 Requested Amounts MG-2.4 $ (20,861) 10.0674% (2,100) Pension and OPEB Regulatory Asset MG-2.1 $ (66,472) 10.0674% (6,692) Cash Working Capital MG-2.4 (464,794) 10.0674% (46,792) Adjustment toADIT- SEBPAdjustment MG24 (278,730) 10.0674% (28,061) SEBP EDIT Liability Net Adjustment 10.0674% ' Excess ADIT Liability, Net ofADIT 10.0674% - NOL ADIT Regulatory Adjustment 10.0674% NOL EDIT Liability Net Adjustment $ (830,856) $ (83,645) Total Rate Base Adjustments 53.81% MG-2.10 $ 2,572,673,972 -1.1467% (29,499,831) Capital Structure and ROE 9.80% (29,499,831) Total Cost of Capital Adjustments (306,458) Incentives- Restricted Stock Units MG-2.2 (488,558) Incentives - Annual Incentive Plan MG-2.3 (37,089) Non -Qualified Retirement Plans MG-2.4 (216,667) Injuries and Damages MG-2.5 (251,073) Bad Debt Expense MG-2.1 (2,054,831) Taxes Other Than IncomeTax MG-2.1 (231,477) Gross Margin Tax MG-2.1 (15,047) EDIT Amortization SEBP MG-2.4 EDIT Amortization @ 12-31-17 - EDIT Amortization NOL (994) EDIT Amortization Flow Through MG-2.1 $ (3,602,194) Total Revenue and Expense Adjustments $ (33,185,671) Toral Revenue Requirement Adjustments $ 12,807,858 Rate lncease(Decrease) 6 Exhibit MG-2.10 ATMOS ENERGY CORP., MID-TEX DIVISION COST OF CAPITAL TESTYEAR ENDING DECEMBER 31, 2017 Atmos Cost of Capital (Schedule Gl Pre -Tax Capital Cost of Weighted Tax Weighted Line No. Structure Capital Cost 9MLS-U-2 Cost 1 Debt 39.82% 5.20% 2.0686% 1 2.0686% 2 Equity 60. 88% 10.50% 6.3 9909/6 1.2658228 7.99889/- 3 100.00% 8.3876% 10.0674% ATM Recommended Capital Structure Pre -Tax Capital Cost of Weighted Tax Weighted Structure Capital Cost amas-ula Cost 4 LT Debt 38.98% 5.45% 2.1244% 1 .1244% 2.1211 5 STDebt 7.21% 1.68% 0.1211% 1 % 6 Equity 53.81% 9.80% 5.2734% 1.2658228 6.6 5529/b 7 100.00% 7.5189 % 8.9 0070/- -1.1467% 8 Difference ATM Recommended ROE and Capital Structure P re -Tax Capital Cost of Weighted Tax Weighted Structure Capital Cost Gross-Um9MLS-Um Cost 4 LT Debt 38.98% 5.45% 2.1244% 1 .1244 % 2.121% 5 ST Debt 7.21 % 1.68% 0.1211 1 6 Equity 53.81% 9.80% 5.2734% 1.2658228 6.6752% 7 100.00% 7.5189 % 8.9207 0.0000% 8 Difference ---- 7 COST ALLOCATION AND RATE DESIGN SCHEDULES ATMOS ENERGY CORP- MIDJU DIV ISION COMPARISON OF BASE RATE CHARGES Atmos Proposed (See Note 11 ATM Proposed (See Note 1) Incr./(Derr.) Incr./(Decr.) Incr./(Derr.) Incr./(Decr.) Line Rate from Current-$ from Current Rate from Current-$ from Current-% No. Rate Description Current Rate le) (f) Igl 1 1 lal Ib) Icl Idl i Rate R-Residential $ 1B.35 $ 20.21 $ 1.86 10.14% $ 17.89 $ (0.46) -2.52% 2 Customer Charge(per Bill) 0.13734 0.15701 0.01967 14.32% 0.16052 0.02318 16.88% 3 Consumption Charge (per Cct) 4 RateC -Commercial $ 41.95 $ 41.85 $ (0.10) -0.24-A $ 37.85 $ (4.10) -9.78% 5 Customer Charge (per Bill) 0.07729 (0.01017) -11.63% 0.10081 0.01335 15.26% 6 Consumption Charge(per[ctj 0.08746 7 Rates l and T- Industrial&Transportation $ (1.93) -0.26% $ 619.85 $ (132.15) -17.57% 8 Meter Charge $ 752.00 $ 750.07 0.2390 (0.0782) .24.65% 0.3655 O.0483 15.21% 9 Consumption Charge-0 to 1,500 MMBtu 0.3172 0.1901 (0.0421) 48.13% 0.2908 0.0586 25.23% 10 Consumption Charge -Next 3,500 MMBtu 0.2322 0.00% 0.0761 0.0263 52.90% 11 Consumption Charge -All Additional MMBtu 0.0498 0.0498 - Note 1: All proposed charges exclude gascosts, ridersand Atmos' proposed Rate Case Expense Surcharge 9 ATMOS ENERGY CORP., MID-TEX DIVISION ATM RECOMMENDED RATE CASE EXPENSE SURCHARGE - Incurred to Date ATM Consulting Garrett Group $ 43,050 GDS Associates, Inc. 33,753 J. Randell Woodridge 2,600 Total ATM Consulting 79,403 ATM Legal Herrera Law & Associates, PLLC 36,654 Total ATM Legal 36,654 Total Rate Case Expenses to be Recovered $ 116,057 Recovery Period (Years) 5 Annual Recovery $ 23,211 Volumetric Billing Ave rage Monthly Average Monthly ATM Base Rate Revenue Req. ATM RCEAIIocation Determ ats(1) RCESurcharge Usage Bill Impact Ra[e Class $ 497,923,762 $ 18,825 63441015 $ 0.00030 34.60 $ 0.01 Residential 103,088,213 3,897 35:426:746 0.00011 273.30 $ 0.03 Commercial 12,932,750 489 3,554,341 0.0001 4,114.00 $ 0.57 Industrial and Transportation Total $ 613,944,726 $ 23,211 (1) Residential and Commercial volumetric billing determionts amCcf, 1&Tdeterminants are MMBtu. 10 ATMOS ENERGY CORP -MID-TEX DIV ISION COMPARISON OF REVENUE DISTRIBUTION TO CUSTOMERS Atmos Proposed ATM Proposed Incr./(Decr.) Incr./(Derr.) Line Incr./(Deer.) Incr./(Derr.) from Current-% Revenue from Current-$ RomC(h,ent- No. Rate Description Current Revenue Revenue from Current-$ (d) (el Itl l61 -- (a) (6) $ 447,851,269 $ (c) 497,926,227 $ 50,074,958 11.18% $ 458,255,829 $ 10,404,560 1,149,303 2.32% 1.06% 1 Rate R-Residential 108,705,970 103,089,082 (5,616,888) -5.17% 109,855,273 14,703,776 460,559 3.2396 2 3 Rate C-Commercial Rates l and T- Industrial&Transportation 14,243,218 12,932,618 (1,310,600) -9.20;5 $ 582,814,879 $ 12,014,422 2.10% 4 Total $ 570,800,457 $ 613,947,927 $ 43,147,470 7.56% ATMOS ENERGY CORP -MID-TD( DIVISION COMPARISON OF MONTHLY BASE RATE BILL IMPACTS Atmoz Proposed lSee Note 1) ATM Proposed (See Note 1) Base Rate Incr./(Deer.) Incr./(Oecr.) Base Rate Incr./(Derr.) Incr./(Deer.) Line Current Base Bill Total from Current -$ from Current -% Bill Total from Current -$ from Current-% No. Rate Description &Usage Level Rate Bill Total le) )f) (a) I I lal (6) Ic) )4) 1 Rate R- Residential $ 20.21 $ 1.86 10.14% $ 17.89 $ (0,46) -2.52% 2 0Ccf $ 18.35 23.35 2.25 10.68% 21.10 0.00 0.01% 3 20 Ccf 21.10 28.06 2.84 11.28% 25.91 0.70 2.76% 4 50 Ccf 25.22 31.20 3.24 11.59% 29.12 1.16 4.15% 5 70 Ccf 27.96 35.91 3.83 11.93% 33.94 1.86 5.78% 6 100 Ccf 32.08 39.05 4.22 12.12% 37.15 2.32 6.66% 7 120 Ccf 34.83 45.33 5.01 12.42% 43.57 3.25 8.05% 8 160 Ccf 40.32 48.47 5.40 12.54% 46.78 3.71 8.61% 9 180 Ccf 43.07 51.61 5.79 12.65% 49.99 4.17 9.11% 30 200 Ccf 45.82 11 Rate C-Commercial $ 41.95 $ 41.85 $ (0.10) 0.24% $ 37.85 $ (4.10) -7.41 12 0Ccf 46.32 45.71 (0.61) -1.31% 42.89 (3.43) -.% 13 50 Ccf 50.70 49.58 (1.12) -2.20% 47.93 (2.77) -5.46% 14 100 Ccf 59.44 57.31 (2.13) -3.59% 58.01 (1.43) -2.41% 15 00 Ccf 65.04 (3.15) -4.62% 68.09 (0.10) -0,14% 16 300 Ccf 68.19 72.77 (4.17) -5.42% 78.17 1.24 1.61% 17 400 Ccf 76.93 80.50 (5.19) -6.05% 88.25 2.57 3.00% 18 500 Ccf 85.68 129.41 119.14 (10.27) -7.94% 138,65 9.24 7.14% 19 1,000 Ccf 173.14 157.79 (15.36) -8.87-A 189.06 % 20 1,500 Ccf 216.87 196.43 (20.44) -9.43% 23%46 22.59 22.59 10.42% 0.4 21 2,000 Ccf 260.60 235.08 (25.53) -9.79% 289.86 29.26 11.23% 22 2,500 Ccf Note 1: All Proposed charges eaci.de gas costs, riders and Atmo.s proposed Rate Case Expense Surcharge 12 ATMOS ENERGY CORP -MID-TEX DIVISION REVENUE REQUIREMENT ALLOCATION TO CUSTOMER CLASSES -AT CLASS COST OF SERVICE Line No. Revenue Require mentComponent Total Residential Commercial I&T 1 Operating and Mai nten an ce Expenses $ 187,342,844 $ 148,585,126 $ 33,873,802 $ 4,883,916 3,575,042 2 Depreciation Expense 144,321,772 113,626,539 34,337,668 27,120,191 8,259,964 1,114,360 3 Taxes Other than Income 43,711,991 117,764 83,481 34,283 4 Interest on Customer Deposits 193,437,246 151,754,188 36,747,735 4,935,323 5 Return on Investment 40,517,490 31,786,530 7,697,204 1,033,756 6 IncomeTaxes $ 609,449,107 $ 480,173,532 $ 113,733,178 $ 15,542,396 7 Total Cost of Service 8 Revenue Credits 14,543,619 11,458,645 (9,481,039) 2,714,077 (2,302,608) 370,897 (306,962) 9 Amortization ofADFIT (12,090,609) 10 Total Revenue Requirement $ 582,814,879 $ 459,233,848 $ 108,716,493 $ 14,864,538 13 ATM OS ENERGY CORP -MID-TEX DIVISION RATE BASE ALLOCATION TO CUSTOMER CLASSES Line No. Revenue Requirement Component Total Residential Commercial I&T - (a) (b) w (d) (e) 1 Gross Plant $ 4,532,029,129 $ 3,559,151,661 $ 858,973,880 $ 113,903,588 2 Accumulated Depreciation 1,323,023,298 1,042,759,772 247,831,547 32,431,979 3 Net Plant 3,209,005,831 2,516,391,889 611,142,333 81,471,609 4 Cash Working Capital (26,580,445) (21,081,449) (4,806,059) (692,936) 5 Materials and Supplies 1,053,524 835,570 190,490 27,465 6 Prepayments 17,841,836 14,150,695 3,226,015 465,126 7 Pension Expense Regulatory Asset 941,167 746,457 170,174 24,536 8 Customer Deposits (12,941,103) (9,173,792) (3,767,311) - 9 Injuries and Damages Reserve (2,002,505) (1,588,225) (362,077) (52,204) 10 ADFIT&Regulatory Liabilities (603,948,499) (473,595,620) (115,019,577) (15,333,302) 11 Rate Base Adjustments (10,695,834) (8,387,305) (2,036,979) (271,550) 12 Total Rate Base $ 2,572,673,971 $ 2,018,298,220 $ 488,737,009 $ 65,638,742 14 AGENDA INFORMATION SHEET ITEM NO. 9 DENIAL OF ATMOS ENERGY'S PROPOSED INCREASE IN RATES AND APPROVAL OF AN ALTERNATIVE INCREASE IN RATES BACKGROUND On or about June 1, 2018, Atmos Energy Corporation ("Atmos" or "Company") filed a Statement of Intent with members of the coalition of cities known as the Atmos Texas Municipalities ("ATM) comprised of about 50 cities, of which the City is a member, to increase rates by approximately $4.5 million, which equates to an increase of about 8% in annual non -gas -cost revenue in the ATM cities. On a system -wide basis, Atmos's proposed increase would be the equivalent of about $46.0 million; this equates to an increase in annual revenue of about 7.3%. The City, as part of the ATM coalition of cities, engaged the law firm of Herrera Law & Associates as Special Counsel to review Atmos' application. On behalf of ATM, Herrera Law & Associates engaged rate experts to assist in reviewing Atmos' application. Special Counsel and the consulting firms of the Garrett Group, LLC; GDS and Associates, Inc.; and J. Randall Woolridge, Ph.D., recommend that the City deny Atmos' request to increase rates by $46 million (system wide), and instead approve the rates shown in "Exhibit A" to this Agenda Information Sheet and a corresponding increase of about $12.81 million, the details of which are presented in the schedules attached as "Exhibit B" to this Agenda Information Sheet. Atmos proposed an effective date of July 6, 2018 for its change in rates. In prior action the City suspended Atmos's proposed effective date for the statutory time period of 90 days, to October 4, 2018. The City must take final action on Atmos' proposed rates and must do so by no later than October 4, 2018. CITY JURISDICTION TO SET ATMOS'S RATES Unless a city ceded its original jurisdiction to the Railroad Commission of Texas, the Gas Utility Regulatory Act § 103.001 grants a city exclusive original jurisdiction over a gas utility's rates, services, and operations within the city limits. But even if a city has ceded its jurisdiction, to the Railroad Commission, the Gas Utility Regulatory Act § 103.023, grants a city the statutory right to participate in rate proceedings before the Railroad Commission. 1 of 5 Atmos MidTex 2018 Statement of Intent Final Action ATMOS TEXAS MUNICIPALITIES The Atmos Texas Municipalities ("ATM") was organized by a number of municipalities, served by Atmos. Alfred R. Herrera with the law firm of Herrera Law & Associates, PLLC, has previously represented the City as part of ATM in rate cases involving Atmos. The ATM cities are: Austin Fredericksburg Jacksboro Ranger Balch Springs Gatesville Kerens Rice Bandera Glen Rose Lampasas Riesel Bartlett Goldthwaite Lancaster Rockdale Belton Granbury Leander Rogers Blooming Grove Greenville Lometa Round Rock Burnet Groesbeck Longview San Angelo Cameron Hamilton Marble Falls Sanger Cedar Park Heath Mart Somerville Clifton Henrietta Mexia Star Harbor Commerce Hickory Creek Olney Trinidad Copperas Cove Hico Point Whitney Corsicana Hillsboro Pflugerville Electra Hutto Princeton OVERVIEW OF ATM'S SPECIAL COUNSEL RECOMMENDATION ATM's Special Counsel and rate experts, the Garrett Group, LLC and GDS Associates, Inc., and Dr. Woolridge (collectively referred to as "Special Counsel"), recommend that the ATM cities approve an increase in Atmos Energy's annual revenue of about $12.81 million (on a system -wide basis), which equates to an increase of about $1.3 million for the ATM cities and represents an increase of about 2% in annual revenue. Additionally, Special Counsel recommends that the ATM cities approve a surcharge to recover the ATM cities' rate case expenses incurred through August 31, 2018, which total about $116,000.00, as allowed under the Gas Utility Regulatory Act § 103.022. The tables below show the details of Special Counsel's recommendations, including a comparison of Special Counsel's recommendations to Atmos Energy's proposed changes in revenue and rates. Special Counsel further recommends that the rates approved by the City have an effective date Oct. 4, 2018, for service rendered on and after that date; that the City direct Atmos to file tariffs conformed to the rates shown in Attachment A; that in addition to rate case 2of5 Atmos MidTex 2018 Statement of Intent Final Action expenses incurred through August 31, 2018, the City direct Atmos to reimburse the City's rate case expenses, as part of ATM, incurred after August 31, 2018. COMPARISON OF CHANGE IN BILLS: Class of Customer ATMOS: Change in Average Bill (excluding cost of as ATM: Change in Average Bill (excluding cost of gas) Residential — Rate R 11.15% increase 1.47% increase Commercial — Rate C 4.22% decrease 0.69% decrease Industrial — Rate I 12.39% decrease 5.09% increase Transportation — Rate T 12.39% decrease 5.09% increase Class of Customer ATMOS: Change in Average Bill (including cost of as ATM: Change in Average Bill (including cost of gas) Residential — Rate R 4.82% increase 0.76% increase Commercial — Rate C 1.35% decrease 0.22% decrease Industrial — Rate I 2.14% decrease 2.32% increase Transportation — Rate T 2.33% decrease 2.32% increase COMPARISON OF ATMOS' PROPOSED F RULIN I AUE UHAiv UE llr REVENUE TO ATM'S PROPOSED CHANGE IN REVENUE: Class of Customer ATMOS: Change in Revenue (excluding cost of as) ATM: Change in Revenue (excluding cost of eas Residential — Rate R 11.18% increase 2.32% increase Commercial — Rate C 0.14% decrease 1.06% increase Industrial — Rate I 9.20% decrease 3.23% increase Transportation —_Rate T 9.20% decrease 3.23% increase COMPARISON OF ATMOS' PROPOSED RATES TO ATM'S PROPOSED nAr11VQ ATMOS: ATM: $$ and % Proposed $$ and % Proposed Change Customer Class/Rate Current Rate Change Rate Rate R - Residential $1.86 /= $17.89 <$0.46> / Customer Charge per month $18.35 $20.21 10% <2.52%> $0.01967 / $0.16052 $0.02318 / onsumption Charge (per CCF) $ 0.13734 $0.15701 14.32% ,% 16.88% 3 of 5 Atinos MidTex 2018 Statement of Intent Final Action C - Commercial <$.10> / $37.85 <$4.10> / Customer Charge per month $41.95 $41.85 <0.24% <9.78%> <$0.01017> /77,71$0.10081 $0.01335 / Consumption Charge (per CCF) $0.08746 $0.07729 <11.63%> 15.26% Rate I & T - Indus. & Transp. <$1.93> / $619.85 <$132.15> / Customer Charge per month $752.00 $752.00 <0.26%> <17.57%> Consumption Chr First 1,500 p g - <$0.7820> / <24.65%> $0.3655 $0.0483 / 15.21% MMBTU $0.3172 $0.2390� Consumption Chr Next 3,500 p g - <$0.0421> / <18.13%> $0.2908 $0.0586 / 25.23% MMBTU $0.2322 $0.1901. Consumption Chr Over 5 000 p g No change $0.0761 $0.0263 / 52.90% MMBTU $0.0498 $0.0498 Atmos requested recovery of its rate case expenses. However, it did not provide the requisite information to support its request; thus the proposed resolution/ordinance does not address Atmos Energy's rate case expenses. As noted above, cities have a statutory right to recover their reasonable rate case expenses under Gas Utility Regulatory Act § 103.022. Below are shown the monthly surcharges to recover the ATM cities' rate -case expenses for an average customer: Residential: $0.01 per month (based on a surcharge of $0.00030/ccf) Commercial: $0.03 per month (based on a surcharge of $0.00011/ccf) Industrial & Transportation: $0.57 per month (based on a surcharge of $0.0001/MMbtu) Special Counsel has submitted its and the consultants' invoices to the the City of Longview for review. The City of Longview's City Attorney's Office has served in this review/coordinating role for over 10 years. Following that review, the invoices are forwarded to Atmos Energy for reimbursement and provided to all ATM cities for their review. Finally, Special Counsel recommends that the City approve the following elements to determine Atmos Energy's cost of capital and to determine Atmos Energy's rates. Cost of Ca ital Atmos Regnested ATM City Approved Return on Equity 10.50% 9.80% Cost of Long -Term Debt 5.45% 5.45% Cost of Short -Term Debt 1.68% 1.68% 4of5 Atmos MidTex 2018 Statement of Intent Final Action Capital Structure Ratios Atmos Requested ATM City Approved Equity 60.18% 53.81% Long -Term Debt 39.82% 7.21`% Short -Term Debt 0.0% 38.98% Weighted Average Cost of Ca ital aka, Rate of Return Atmos Requested ATM City Approved Weighted Cost 8.3876% 7.51890/) Pre -Tax Weighted Cost 10.0674% 8.9207% ACTION REQUIRED BY October 4, 2018 The City must take action on Atmos's Statement of Intent no later than October 4, 2018. Absent such action, Atmos's rates are deemed approved by operation of law. RECOMMENDATION ATM's Special Counsel and ATM's rate experts recommend that the City adopt the attached resolution or ordinance, as the case may be, which if approved will deny Atmos Energy's proposed increase about $46 million and approve a lesser increase of about $12.81 million; that the City approve the rates that correspond to such an increase, including approval of recovery of the ATM's rate case expenses. The City must take action no later than October 4, 2018. If the City does not take action by October 4, 2018, Atmos's proposed rates will be deemed approved by operation of law, subject to the City's right to hold a hearing to address Atmos's rate application. 5 of 5 Atmos MidTex 2018 Statement of Intent Final Action EXHIBIT A EXHIBIT A Atmos Proposed Increase in Annual Revenue (System Wide - MidTex Division) ATM City Approved Increase (System Wide - $12,807,858 ATMOS: MidTex in Annual Revenue Division) ATM CITY $45,993,529 PROPOSED APPROVED tomer Class/Rate [Rate CURRENT RATE RATE R - Residential Customer Charge per month $18.35 $20.21 $17.89 Consumption Charge (per CCF) $ 0.13734 $0.15701 $0.16052 Rate C - Commercial Customer Charge per month $41.95 $41.85 $37.85 Consumption Charge (per CCF) $0.08746 $0.07729 $0.10081 Rate I & T - Indus. & Transp. Customer Charge per month $752.00 $752.00 $619.85 Consumption Chrg - First 1,500 MMBTU $0.3172 $0.2390 $0.3655 Consumption Chrg - Next 3,500 MMBTU $0.2322 $0.1901 $0.2908 Consumption Chrg - Over 5,000 MMBTU $0.0498 $0.0498 $0.0761 Return on Equity Cost of Long -Term Debt Cost of Short - Term Debt Cost of Capital and Atmos Requested 10.50% tquiry Long -Term Debt Short -Term Debt Weighted Cost Pre -Tax Weighted Cost 5.45 % 1.68% Capital Structure ATM City Approved 9.80% 5.45 % 1.68% Capital Structure Ratios Atmos Requested ATM City Approved 60.18% 53.81% 0 39.82% 7.21 0 0.0% 38.98% Cost of Capital (a Atmos Requested 8.3876% 10.0674% ka, Rate of Return) ATM City Approved 7.5189% 8.9207% Atmos MidTex 2018 Statement of Intent - June 1, 2018 - Approved Change in Revenue, Rates, Cost of Capital and Capital Structure 2 EXHIBIT B REVENUE REQUIREMENT SCHEDULES Line No. Description i 2 4 6 7 8 10 11 12 13 14 14a 15 16 17 18 19 20 21 22 25 26 27 28 29 30 ATMOS ENERGY CORP., MIDJEX DIVISION ATM COALITION REVENUE R—IREMENTSUMMARY TESTYEAR ENDING DECEMBER 31, 2017 At mosProposed (Note a) Ref. Rate Base %BOB Operating income (a) (b) (c) (dl Test Year Revenue Requirement: Revenue at Present Rates GCR Operation and Maintenance Expenses Taxes Other than lncomeTax-Non-Revenue Related Revenue Related Taxes Depreciation and Amortization Expense Interest on Customer Deposits Rate Base Atmos Rateof Return ATM Rate of Return Return Requirement Income and Other Taxes Revenue Requirements Base Revenue Deficiency(excluding revenue taxes) Amortization of Excess ADIT-with Revenue Taxes Proposed Cost ofSe ice -Systemwide Adjusted for ExcessADIT ATM Adjustments ATM Proposed (See Schedule B) Operating income le) (0 ScheduleA $ 1,494,918,603 $ - S 1,494.918,603 - 1,494,918,603 $ 816,965,570 $ 816,965,570 - 816,965,570 Schedule F-1 $ 188,642,669 $ (1,299,845) 5 187,342,844 - 187,342,844 Schedule FS 43,711,991 $ 43,711,991 - 43,711,991 96,255,692 (2,054,831) $ 94,700,861 - 94,200,861 Schedule F-3 144,321,772 $ 144,321,772 - 144,371,772 Schedule F-7 117,764 $ 117,764 - 117,764 Schedules $ 2,573,504,828 (830,856) 2,572,673,972 - 2,572,673,972 ScheduleG 8.38896 $ 215,855,775 $ (22,418,528) S 193,437,246 - 193,437.246 Schedule F-6 47,913,915 (7,396,426) 40,517.489 - 40,517,489 L. 3... L. 20 $ 1,553,785,168 $ (33,169,630j S 1,520,615,538 - 1,520,615,537 L.22-L.2 $ 58,866,565 $ (33,169,630) S 25,696.934 $ $ 25,696,934 12,873,035 16,041 12,889,076 - 12,889,076 $ 45,993,529 (33,185,671) S 12,807,858 $ - $ 12,807,858 5 Exhibit MG-2 Summary ATMOS ENERGYCORP., MID-TEX DIVISION ATM RECOMMENDATION SUMMARY TESTYEAR ENDING DECEMBER 31, 2017 Line Equity/ Pre -Tax Rate No, Description ROE Reference Rate Base ROR Change Requested Amounts $ 2,573,504,828 10.0674% $ 45,993,529 Pension and OPEB Regulatory Asset MG-2.4 $ (20,861) 10.0674% (2,100) Cash Working Capital MG-2.1 $ (66,472) 10.0674% (6,692) Adjustment to ADIT-SEBP Adjustment MG-2.4 (464,794) 10.0674% (46,792) SEBP EDIT Liability Net Adjustment MG-2.4 (278,730) 10.0674% (28,061) Excess ADIT Liability, Net ofADIT 10.0674% NOL ADIT Regulatory Adjustment 10.0674% NOL EDIT Liability Net Adjustment 10.0674% - Total Rate Base Adjustments $ (830,856) $ (83,645) Capital Structure and ROE 53.81% MG-2.10 $ 2,572,673,972 -1.1467% (29,499,831) 9.80% (29,499,831) Total Cost of Capital Adjustments Incentives- Restricted Stock Units MG-2.2 (306,458) Incentives -Annual Incentive Plan MG-2.3 (488,558) Non -Qualified Retirement Plans MG-2.4 (37,089) Injuries and Damages MG-2.5 (216,667) (251,073) Bad Debt Expense MG-2.1 (2,054,831) Taxes Other Than Income Tax MG-2.1 (231,477) Gross Margin Tax MG-2.1 (15,047) EDITAmortization SEBP MG-2.4 EDIT Amortization @ 12-31-17 EDIT Amortization NOL (994) EDIT Amorti zati on Flow Through MG-2.1 $ (3,602,194) Total Revenue and Expense Adjustments $ (33,185,671) Toral Revenue Requirement Adjustments $ 12,807,858 Rate lncease(Decrease) 6 Exhibit MG-2.10 ATMOS ENERGYCORP., MID-TEX DIVISION COST OF CAP ITAL TESTYEAR ENDING DECEMBER 31, 2017 Atmos Cost of Capital (Schedule G) Pre -Tax Line Capital Cost of Weighted Tax Weighted No. Structure Capital Cost Gross Up Cost 1 Debt 39.82% 5.20% 2.0686% 1 2.0686% 2 Equity 60.18% 10.50% 6.3190% 1.2658228 7.99889/o 3 100.00 / 8.3876% 10.0674% ATM Recommended Capital Structure P re -Tax Capital Cost of Weighted Tax Weighted Structure Capital Cost Gross Up Cost 4 LT Debt 38.98% 5.45% 2.1244% 1 2.1244% 5 ST Debt 7.21 % 1.68% 0.1211 % 1 0.1211 % 6 Equity 53.81% 9.80% 5.2734% 1.2658228 6.6752% 7 100.00% 7.5189% 8,9207% 8 Difference -1.1467% ATM Recommended ROE and Capital Structure Pre -Tax Capital Cost of Weighted Tax Weighted Structure Capital Cost Gross Up Cost 4 LT Debt 38.98% 5.45% 2.1244% 1 2.1244% 5 ST Debt 7.21 % 1.68% 0.1211 % 1 0.1211 % 6 Equity 53.81% 9.80 / 5.2734% 1.2658228 6.6752% 7 100.00% 7.5189% 8.9207% 8 Difference 0.0000510, COST ALLOCATION AND RATE DESIGN SCHEDULES ATMOS ENERGY CORP-MID-TEX DIVISION COMPARISON OF BASE RATE CHARGES Atmos Proposed (See Note 1) ATM Proposed (See Note 1) Incr./(Derr.) Incr./(Deer.) Incr.ADecr.) Incr./(Derr.) Line Current Rate Rate from Current -$ from Current-% Rate from Current -$ from Current -% No. Rate Description (d) (el If) Iel Ibl (a) Ibl Irl 1 Rate R-Residential $ 18.35 $ 20.21 $ 1.86 10.14% $ 17.89 $ 10,461 -2.52% 2 Customer Charge(per Bill) 0.13734 0.15701 0.01967 14.32% 0-16052 0.02319 16.88% 3 Consumption Charge (per Cct) 4 Rate C-Commercial $ 41.95 $ 41.85 $ (0.10) -0.24°6 $ 37.85 $ (4,10) -9.78% 5 Customer Charge(per Bill) 0.08746 0.07729 (0.01017) -11.63% 0.10081 0,01335 15.26% 6 Consumption Charge (per Ccf) 7 Rates l and T-Industrial&Transportation $ 750.07 $ (1.93) .0.26% $ 619.85 $ (132,15) -17.57% 8 Meter Charge $ 752.00 0.3172 0.2390 (0.0782) -24.65% 0.3655 0.0483 15.21% 9 Consumption Charge-0 to 1,500 MMBtu 0.1901 (0.0421) -19.13% 0.2908 0.0586 25.23% 10 Consumption Charge -Next 3,500 MM0tu 0.2322 0.00% 0.0761 0.0263 52.90% 11 Consumption Charge -Ali Additional MMBtu 0.0498 0.0498 - Note 1:AII proposed chargesexclude gascosts, ridersand Atmoe proposed Rate Case Expense Surcharge 9 ATMOS ENERGY CORP., MID-TEX DIVISION ATM RECOMMENDED RATE CASE EXPENSESURCHARGE Costs Incurred to Date ATM Consulting Garrett Group $ 43,050 GD5 Associates, Inc. 33,753 1, Randell Woodridge 2,600 Total ATM Consulting 79,403 ATM Legal Herrera Law & Associates, PLLC 36,654 Total ATM Legal 36,654 Total Rate Case Expenses to be Recovered $ 116,057 Recovery Period (years) 5 Annual Recovery $ 23,211 ATM Base Rate Revenue Volumetric Billing Average Monthly Average Monthly Rate Class Req. ATM RCE Allocation Determinants(1) RCESurcharge Usage Bill Impact $ 497,923,762 $ 18,825 63,441,015 $ 0.00030 34.60 $ 0.01 Residential 103,088,213 3,897 35,426,746 0.00011 273.30 $ 0.03 Commercial Industrial and Transportation 12,932,750 489 3,554,341 Om001 4,114.00 $ 0.57 Total $ 613,944,726 $ 23,211 (1)Residential and Commercial volumetric billing determiantsare Ccf, 1&Tdeterminants are MMBtu. 10 ATMOS ENERGY CORP -MID-TEX DIVISION COMPARISON OF REVENUE DISTRIBUTION TO CUSTOMERS Atmos Proposed ATM Proposed Incr./(Decr.) In<r./(Oecr.) incr./(Decr.) Inc,./(Dec,.) Line Current Revenue Revenue from Current-$ from Current-96 Revenue from Current-$ from Current-% No. Rate Description (cl (d) (a) (f) (s) (h) 1 (a) Rate R-Residential (6) $ 447,851,269 $ 497,926,227 $ 50,074,958 11,18% $ 458,255,829 $ 10,404,560 2.32% 2 Rate C-Commercial 108,705,970 103,089,082 (5,616,888) -5.17% 109,855,273 1,149,303 1.06% 3 Rates l and T- Industrial 8, Transportation 14,243,218 12,932,618 11,310,600) -9.20% 14,703,776 460,559 3.23% 4 Total $ 570,800,457 $ 613,947,927 $ 43,147,470 7.56% $ 582,814,879 $ 12,014,422 2.10% ATMOS ENERGY CORP -MID-TEX DIVISION COMPARISON OF MONTHLY BASE RATE BILL IMPACTS Atmos Proposed (See Note 1) ATM Proposed (See Note 11 Current Base Base Rate Incr-ADxr.) Incr./(Deco) Base Rate Incr./(D-) Incr./(Decr.) Line No. Rate Description & Usage Level Rate Bill Total Bill Total from Current-$ from Current-% Bill Total from Current -$ from Current-% - Ial Ibl Icl (d) le) (f) lal Ihl 1 Rate R-Residential $ 18.35 $ 20.21 $ 1.86 10.14% $ 17.89 $ (0.46) -2.52% 2 0Ccf 21.10 23.35 2.25 10.68% 21.10 0.00 0.01% 3 20 Ccf 25.22 28.06 2.84 11.29% 25.91 0.70 2.76% 4 50 Ccf 27.96 31.20 3.24 11,58% 29.12 1.16 4.15% 5 70 Ccf 32.08 35.91 3.83 11.93% 33.94 1.86 5,78% 6 100 Ccf 34.83 39.05 4.22 12.12% 37.15 2.32 6.66% 7 120 Ccf 40.32 45.33 5.01 12.42% 43.57 3.25 8.05% 8 160 Ccf 43.07 48.47 5.40 12.54% 46.78 3.71 8.61% 9 180 Ccf 45.82 51.61 5.79 12.65% 49.99 4.17 9.11% 10 200 Ccf 11 Rate C-Commercial $ 41.95 $ 41.85 $ (0.10) -0.24% $ $ (3,43) -7.41% 12 0Ccf 46.32 45.71 (0.61) -1.31% 42.89 47.93 (3.43) -7.41% 13 50 Ccf 50.70 49.58 (1.12) -2.20% 47.93 (2.77) -5.46°6 14 100 Ccf 59.44 57.31 (2.13) -3.59% 58.01 (1.43) -2.411A i5 200 Ccf 68.19 65.04 (3.15) -4.62% 68.09 (0.10) .0.14% 16 300Ccf 76.93 72.77 (4.17) -5.42% 78.17 1.24 1.61% 17 400 Ccf 85.68 80.50 (5.19) -6.05% 8&25 2.57 3.00% 18 500 Ccf 129.41 119.14 (10.27) -7.94% 138.65 9.24 7.14% 19 1,000 Ccf 173.14 157.79 (15.36) -8.87% 189.06 15.92 9.19% 20 1,500 Ccf 216.87 196.43 (20.44) -9.43% 239.46 22,59 10.42% 21 2,000 Ccf 235.08 (25.53) -9.79% 289.86 29.26 11.23% 22 2,500 Ccf 260.60 Note 1: All proposed charges exclude gas costs, riders and Atmos' proposed Rate Case Expense Surcharge 12 ATMOS ENERGY CORP -MID-TEX DIVISION REVENUE REQUIREMENTALLOCATION TO CUSTOMER CLASSES -AT CLASS COSTOF SERVICE Line No. Revenue Requirement Component Total Residential Commercial I&T (a) (b) (c) (d) (e) 1 Operating and Maintenance Expenses $ 187,342,844 $ 148,585,126 $ 33,873,802 $ 4,883,916 2 Depreciation Expense 144,321,772 113,626,539 27,120,191 3,575,042 3 Taxes Other than Income 43,711,991 34,337,668 8,259,964 1,114,360 4 Interest on Customer Deposits 117,764 193,437,246 83,481 151,754,188 34,283 36,747,735 - 4,935,323 5 Return on Investment 40,517,490 31,786,530 7,697,204 1,033,756 6 7 IncomeTaxes Total Costof5ervice $ 609,449,107 $ 480,173,532 $ 113,733,178 $ 15,542,396 8 Revenue Credits 14,543,619 11,458,645 2,714,077 370,897 9 Amortization ofADFIT (12,090,609) (9,481,039) (2,302,608) (306,962) 10 Total Revenue Requirement $ 582,814,879 $ 459,233,848 $ 108,716,493 $ 14,864,538 13 ATMOS ENERGY CORP -MID-TEX DIVISION RATE BASE ALLOCATION TO CUSTOM ER CLASSES Line No. Revenue Requirement Component Total (a) (b) 1 Gross Plant $ 4,532,029,129 2 Accumulated Depreciation 1,323,023,298 3 Net Plant 3,209,005,831 4 Cash Working Capital (26,580,445) 5 Materialsand Supplies 1,053,524 6 Prepayments 17,841,836 7 Pension Expense Regulatory Asset 941,167 8 Customer Deposits (12,941,103) 9 Injuries and Damages Reserve (2,002,505) 10 ADFIT& Regulatory Liabilities (603,948,499) 11 Rate Base Adjustments (10,695,834) 12 Total Rate Base $ 2,572,673,971 Residential Commercial I&T (c) (d) le) $ 3,559,151,661 $ 858,973,880 $ 113,903,588 1,042,759,772 247,831,547 32,431,979 2,516,391,889 611,142,333 81,471,609 (21,081,449) (4,806,059) (692,936) 835,570 190,490 27,465 14,150,695 3,226,015 465,126 746,457 170,174 24,536 (9,173,792) (3,767,311) - (1,588,225) (362,077) (52,204) (473,595,620) (115,019,577) (15,333,302) (8,387,305) (2,036,979) (271,550) $ 2,018,298,220 $ 488,737,009 $ 65,638,742 14 AN, �-rma' -{ l rn OmO Ommz D -➢ vi cin * -I � O mm * A_rn mmn rrrnz D **i S x D Z n 0 *** o 0 rrrnT -➢ m ➢➢n m I -i Zmc ZO D O Onv v z - O O O mm O OO it N * -i -4m m O 5 5 n n G) 0 O 7C 7c 7� n O 7 ommm Omn�* CL o p m wv➢ D�>v --AA G) O p D z0 n 0 o *^m Op O O➢O -I D O O * O n C C �0 -A G) G) G) 0 fD * n O O n = * p Z fl. s 0 f m o OOq N O 3 NJ A N W H N i--` Ql A F--� A N N O � �''., O �n O 3 S v V CD o N A N N Ol Ol A A V W A z Ol W N O �p N G Fa cn � F� F' H N V U7 N V -AW pp � C) w A W F' N In N W V N V1 L, z NJ lD F, l--� N Ol N W Ol 1� Up 99 W N V-� A m W N W N N N Ili W N NJ A N NJl0 D Ul 7J a) m Q\ O N F, O1 N 'O m 77 D u, W m N A o o W u, oo rn W OWO V A N F' !-� F' O W Ojl V W z O W uj C O r Uri li W W A A W p Lrl C (7) Ili N Ul A O O O A -0 Chris Felan Vice President Rates & ReQuIatory Affairs August 28, 2018 City Official Re: Rider GCR - Rate Filing under Docket No. 10170 Enclosed is Atmos Energy Corp., Mid -Tex Division's Statement of Rider GCR applicable for the September 2018 billing periods. This Statement details the gas cost component of the residential, commercial, and industrial sales rates for customers within your city. This filing is for informative purposes only and no action is required on your city's part. Should you have any questions, please let me know. Sincerely, (11) - uw_ a Attachment Atmos Energy Corporation 5420 LBJ Freeway, Suite 1800 Dallas, TX 75240 P 214-206-2568 F 214-206-2126 Christopher.Felan@atmosenergy.com Z O O UO 00 Z C� co Z Z _ Q Z/3 Q N 0 Y O > � L U—o_ d0U W O E Q w17w-aZW Zoe C),p W� W N W J i) I- C O Q� W Q Q CD a U_ C N O N N ro LO U�l m LO M M O L' I-- m CL i- to tfj (O (O w c r ro m 2.2 is iv m o 0 0 0 U M LO 6a LO LO 0 E � co E OO O M O U � N (L 691 U (U N O U ro d L- N :3 O m � 0 U a) Q mo o ~'t O 00 O O O O 000 O 0 rn co M N m`M� o) M (o N 0 It O O O d' N S 6 M - LoMN N d' N O OOO O O O N O C O M o co O co N N N '00 OM N 69� m d• U9. V' O (0 M ocN M CD CD 00 I-T N N co hN- o V U U o0 0 61:� O u) LO co m c> cl h ti co tl- N 'Ea U U N � co M ti M Cl) (O o) tM0 tM0 r co r (f? N (O (tr o O O O (o O co (O ho) ON�N O O (O (o co 00 d' O O G t0 (O O � � co co co V) C O C Q1 � U N `F+ O O O "D a) b J Vi (n C Q C Q + (p N U > a. o a c a oo �0 0WU p �U C� U O �Y� cn m , N O CU W (� �� O L O C o L 0 �° • c o o •O U o c"a pU- mZ)>N V�kO;N o0 U L' o � �� �0`°� o � o M � row or -0 0 0(a ro U �ro > 0 C)� LL Qo N o C o U vo ro c U C)_oo oro ro ca _:m UU U U) Co Un 0' 40C n 0 ro n O Cm N E -0 N N N E "N in I 0 E 0 7 EN W WN O o a UE E E E m E Ea)N N UQ C1 U) i) N W W W O iq O J W f-- N W (5 W N ro 'O C� F- Q N U' RS CL� X X N tLL. tL cti A Z O N U cv O Z O I- w ZI a m m m m :�E � :E �E :2 2i 2 O "t L d M t- d Ncq fl3 6a � Co ro G� n, U U U U U U do o do CD co It ti N N It O O O V E U U U 2 oo co coo > 00 N d0' (O O co N (O U O Ci O O "O cn N Mn rt" 0 0 `o U 0 O to N C O U w CD Q m � N � N � C N C N C_ J � � O m U o c O _I N c � a •o U � m n ro o tL `o Z voi c m � U � 0 U ro ro o 0 a°- ro a ) C9 w c- N M V' LO Co h co o) t cN^ J OI r �2 T N N N N N N J '- Alk jr AWMMMOS energy Chris Felan Vice President Rates & Reaulatory Affairs August 30, 2018 TO THE GOVERNING BODY OF ALL MUNICIPALITIES SERVED BY ATMOS ENERGY CORP., MID-TEX DIVISION On August 30, 2018, Atmos Energy Corp., Mid -Tex Division (the "Company"), filed its Annual Gas Cost Reconciliation Filing for the twelve month period ended June 30, 2018. This report has been prepared in accordance with the Order of the Railroad Commission of Texas under Gas Utilities Docket No. 9400. This report reconciles the Company's expenditures for gas with the billing of those costs to residential, commercial, and industrial customers for the period noted above. This filing is for informative purposes only and no action is required on your city's part. Enclosed is a copy of the schedules filed with the Commission. Should you have any questions, please contact me at 214-206-2568. Sincerely, (SW_-.3 Chris Felan Vice President, Rates and Regulatory Affairs Atmos Energy, Mid -Tex Division Atmos Energy Corporation 5420 LBJ Freeway, Suite 1862 Dallas, TX 75240 P 214-206-2568 F 214-206-2126 Christopher.Felan@atmosenergy.com ATMOS ENERGY CORP., MID-TEX DIVISION , ANNUAL GAS COST RECONCILIATION FILING FOR THE PERIOD ENDED JUNE 30, 2018 PREPARED IN ACCORDANCE WITH THE ORDER OF THE RAILROAD COMMISSION OF TEXAS UNDER GAS UTILITIES DOCKET NO. 9400 The attached Annual Gas Cost Reconciliation Filing for the period ended June 30, 2018, was prepared by me or under my direct supervision. I hereby certify that the information contained therein is true and correct and that the Filing was prepared in accordance with the order of the Railroad Commission of Texas in Gas Utilities Docket No. 9400. Chris Felan Vice President Rates & Regulatory Affairs Filed: August 30, 2018 A energy Chris Felan Vice President Rates & Reoulatory Affairs August 30, 2018 Ms. Kari French, Director Railroad Commission of Texas Gas Services Division 1701 North Congress Avenue P. O. Box 12967 Austin, Texas 78711-2967 Re: Docket Compliance, GUD No. 9400, Atmos Energy Corp., Mid -Tex Division Annual Gas Cost Reconciliation Filing Dear Ms. French: Attached is Atmos Energy Corp., Mid -Tex Division's (the "Company") Gas Cost Reconciliation filing for the twelve month period ended June 30, 2018. This report has been prepared in accordance with the order of the Railroad Commission of Texas under Gas Utilities Docket ("GUD") No. 9400. In response to the Railroad Commission of Texas Audit No. 06-037, Auditor's Recommendation, the Company has included an additional schedule (Schedule 10) in the filing to reflect the percentage of Lost and Unaccounted for Gas for the reconciliation period. The Company has not included the cost of odorant in gas cost as directed by the Commission; however, the Company again reiterates that it does not agree with this position. Finally, the gas cost portion of bad debts written off has been included in accordance with the system -wide application of the Rider GCR (Gas Cost Recovery) provisions. The Company is requesting an exception to the Final Order issued in GUD 9400, Finding of Fact 121, which directs the Reconciliation Factor to be determined for the "succeeding October through June billing months." In this filing, the Company is requesting the Reconciliation Factor be determined using the months of November through March. The Company has included the standard calculation of the Reconciliation Factor over the nine (9) month period designated in GUD 9400 of ($0.1024) and an alternative calculation of the Reconciliation Factor over a five (5) month period of ($0.1309). The Company will refund the over collection over a five (5) month period. Atmos Energy Corporation 5420 LBJ Freeway, Suite 1862 Dallas, TX 75240 P 214-206-2568 F 214-206-2126 Christopher.Felan@atmosenergy.com Atmos Energy Page 2 Included in this filing is my certification, a Table of Contents that provides a listing and description of each document, and all of the reconciliation schedules and workpapers listed on the Table of Contents. Copies of this filing are being provided to all incorporated municipalities served by Atmos Energy Corp., Mid -Tex Division. Should there be any questions related to this filing, please call me at 214-206-2568. Sincerely, Chris Felan Vice President, Rates and Regulatory Affairs Atmos Energy, Mid -Tex Division Attachments: cc: Mr. Mark Evarts, Railroad Commission of Texas Mr. Alexander Schoch, Railroad Commission of Texas Mr. Edward D. 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