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November 8, 2019 TOWNSHIP of LOWER MERION

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November 8, 2019 TOWNSHIP of LOWER MERION 2020 Proposed Budget Township of Lower Merion Montgomery County, Pennsylvania November 8, 2019 TOWNSHIP OF LOWER MERION MONTGOMERY COUNTY, PENNSYLVANIA 2020 BUDGET Daniel S. Bernheim, Esq. President, Board of Commissioners Ernie 8. McNeely Township Manager Commissioner C. Brian McGuire Chairperson, Finance Committee ® GOVERNMENT FINANCE OFFICERS ASSOCIATION Distinguished Budget Presen ta ti on Award PRESENTED TO Township of Lower Merion Pennsylvania For the Fiscal Year Beginning January 1, 2019 Executive Director The Government Finance Officers Association of the United States and Canada (GFOA) presented an award of Distinguished Presentation to the Township of Lower Merion for its annual budget for the fiscal year beginning 20 I 9 - the fourteenth consecutive award winning year. In order to receive this award, a governmental unit must publish a budget document tr1at meets program criteria as a policy document, as an operations guide, as a financial plan and as a communications device. The award is valid for a period of one year only. The Township believes its current budget continues to conform to program requirements. and is submitting it to GFOA to determine its eligibility for another award. TOWNSHIP OF LOWER MERION BOARD OF COMMISSIONERS MISSION STATEMENT It shall be the primary m1ss1on of the Lower Merion Township Board of Commissioners (Board) to continually provide the appropriate organizational oversight and policy direction necessary to maintain and enhance the highest possible level of public service delivery and quality of life for the Lower Merion community. This shall be accomplished by working diligently with the Township Manager, appointed boards and commissions, all other representatives of the Township (both elected and appointed), other governmental organizations, and by maintaining an ongoing liaison with the Township's many civic associations to ensure that constituent concerns and issues are addressed in a prompt and efficient manner. The Township's overall financial position shall at all times be carefully monitored by the Board. It shall ensure that all financial issues, subsequent Board decisions, and the ramifications thereof can be properly programmed into the Township's Annual Operating and Capital Budget in addition to the Township's long-range financial planning program. The maintenance of the Township's physical infrastructure and an adequate fund balance to meet extraordinary circumstances, as defined by the Board's formal fiscal policy, shall at all times be at the forefront of fiscal determinations. This mission of the Board shall be accomplished outside the realm of partisan political concerns and through a commitment toward mutual cooperation in order that the best interests of the community and the maintenance of a quality of life that is second to none can be realized. 2020 BUDGET BOARD OF COMMISSIONERS 2019 OFFICERS President - Daniel S. Bernheim, Esq. (Gladwyne, Merion Park & Penn Valley - Ward No. 1) Vice President - C. Brian McGuire (Cynwyd & Merion Park - Ward No. 13) MEMBERS Joshua L. Grimes, Esq. (Gladwyne & Penn Valley- Ward No. 2) Michael F. McKeon, Esq. (Belmont Hills, Penn Valley & Bala Cynwyd - Ward No. 3) Anthony C. Stevenson, Ed. D. (Ardmore & Haverford - Ward No. 4) Ray A Courtney (North Ardmore & Wynnewood-Ward No. 5) Andrew S. Gavrin (Rosemont & Villanova-Ward No. 6) Elizabeth S. Rogan (Wynnewood-Ward No. 7) Anna Durbin (South Wynnewood & East Ardmore - Ward No. 8) George T. Manos, AIA (Bala Cynwyd - Ward No. 9) V. Scott Zelov (Haverford & Bryn Mawr - Ward No. 1OJ Tiffany O'Neill (Bryn Mawr, Gladwyne & Rosemont - Ward No. 11) Todd M. Sinai (Merion - Ward No. 12) Rick Churchill (Penn Wynne & Wynnewood - Ward No. 14) 2020 BUDGET EXECUTIVE OFFICIALS AND STAFF BOARD APPOINTED OFFICIALS Ernie B. McNeely, Township Manager Samuel T. Adenbaum, Treasurer (Elected Official} Gilbert P. High, Jr., Esq., Township Solicitor Edward P. Pluciennik, Township Engineer Jody L. Kelley, Township Secretary TOWNSHIP MANAGER APPOINTED STAFF Robert E. Duncan, Assistant Township Manager Christopher Leswing, Director of Building & Planning Eric M. Traub, Chief Financial Officer Charles J. McGaNey, Chief Fire Officer/Fire Marshal Beth Ulick, Director of Human Resources James E. Weiman, Chief Technology Officer David Belanger, Director of Libraries Thomas D. Pintande, Director of Parking SeNices Donna L. Heller, Director of Parks & Recreation Michael J. McGrath, Superintendent of Police Thomas J. Walsh, Public Information Officer Paul A. McElhaney, Director of Public Works TOWNSHIP OF LOWER MERION CITIZENS OF LOWER MERION TOWNSHIP TOWNSHIP TREASURER BOARD OF COMMISSIONERS TOWNSHIP TOWNSHIP TOWNSHIP TOWNSHIP COMMISSIONS SOLICITOR SECRETARY MANAGER ENGINEER AND BOARDS* ASSISTANT TOWNSHIP MANAGER BUILDING& FINANCE PLANNING INFORMATION FIRE TECHNOLOGY LIBRARIES HUMAN RESOURCES PARKS& POLICE RECREATION PARKING PUBLIC SERVICES INFORMATION *COMMISSIONS AND BOARDS BID OPENING COMMITTEE PUBLIC CABLE TELEVISION ADVISORY COMMITTEE CIVIL SERVICE COMMISSION WORKS ELECTRICAL EXAMINING BOARD EMPLOYEE RETIREMENT PLAN ENVIRONMENTAL ADVISORY COUNCIL HEALTH ADVISORY COUNCIL HISTORICAL ARCHITECTURAL REVIEW BOARD HISTORICAL COMMISSION HUMAN RELATIONS COMMISSION LOWER MERION LIBRARY SYSTEM LOWER MERION POLICE PENSION FUND PERSONNEL REVIEW BOARD PLANNING COMMISSION SHADE TREE COMMISION UNIFORM CONSTRUCTION CODE APPEALS BOARD VACANCY BOARD ZONING HEARING BOARD 2020 BUDGET EXPENDITURE SUMMARY ALL BUDGETED FUNDS Budgeted Expenditures General Fund $ 70,624,43.3 Highway Aid Fund 1,760,000 Special Revenue Fund 4,378,607 Sinking Fund 12, 100,778 Capital Projects Fund 28,315,000 Sanitary Sewer Fund 8,730,625 Solid Waste Fund 7,562,252 Equipment 4,650,793 Subtotal 138, 122,488 Transfers Between Funds I 18,329,675) Net Budgeted Expenditures 119,792,813 Net Budgeted Revenue 109,240,679 Net Change in Fund Balances ( 10,552, 134) Budgeted 2020 Beginning Fund Balances 60,238,507 Budgeted 2020 Ending Fund Balances $ 49,686,373 2020 BUDGET HIGHLIGHTS Key Dates Distribution of Budget to the Board, Libraries, Website, and the Media: November 8, 2020. Public Hearings: November 20 December 4 Budget Adoption: December 18 Personnel Net Full-Time Equivalent (FTE} Positions will increase 3.8 FTE's from the 2019 Budget level of 470.2 to 474.0 in 2020. Refer to the Personnel Section of the Budget Message for more details. Taxes and Fees • The Real Estate Tax millage rate will remain unchanged for 2020 for the ninth consecutive year. • The 2020 Budget does not anticipate a rate increase to the Sanitary Sewer Rental Fee. The Sanitary Sewer rental rate will be further reviewed before the official 2020 Sanitary Sewer rental rate is adopted by ordinance and billed in May 2020. • In 2020, Solid Waste Fees are proposed to increase 8% compared to 2019, except for a 0% increase for the mini can. Proposed Solid Waste Fees for 2020 are: one mini can per week ($237), one container per week ($365}, two containers per week ($437} and $72 for each additional can. The Rear Yard Collection Fee for trash and recycling placed more than 5 feet from the curb line will increase to $249. General Fund Budget Summary 2019 Estimated Actual: • The 2019 Revenue is estimated at $69,885,250, an increase of $5,630,850 or 8.8% compared to the 2019 Budget. • The 2019 Expenditures are estimated at $67,585,480, a decrease of $625,265 or 0.9% compared to the 20 19 Budget. • The 2019 Estimated Actual revenues exceed expenditures by $2,299,770, compared to a budgeted deficit of $3, 956,345. 2020 Budget • The 2019 ending fund balance {undesignated) is estimated at $23,450,002 or 34.8% of the 2019 Estimated Actual Expenditures. • The 2020 Revenue is budgeted at $66,048,850, an increase of $1,794,450 or 2.8% compared to the 20 19 Budget. • The 2020 Expenditures are budgeted at $70,624,433, an increase of $2,413,688 or 3.5% compared to the 2019 Budget. • The 2020 Budget expenditures exceed revenue by $4,575,583 requiring a planned budgeted drawdown of fund balance to balance operating revenue with expenditures. • The 2020 Budget ending fund balance {undesignated) is estimated at $18,874,419 or 26.8% of the 2020 Budget Expenditures. 2020 BUDGET TABLE OF CONTENTS BUDGET MESSAGE I READER'S GUIDE 35 FUND BUDGETS PAGE NO. FINANCIAL POLICIES 43 FUND STRUCTURE 52 ALL FUNDS SUMMARY 54 REVENUE AND EXPENDITURE SUMMARY 55 GENERAL FUND 56 GENERAL FUND: REVENUE/EXPENDITURE/FUND BALANCE 57 GENERAL FUND: SOURCES OF REVENUE 58 GENERAL FUND REVENUE SUMMARY 59 GENERAL FUND REVENUE TRENDS AND ASSUMPTIONS 60 GENERAL FUND EXPENDITURES BY PROGRAM AREA 65 GENERAL FUND EXPENDITURE SUMMARY 66 EXPLANATION OF GENERAL FUND FUNCTIONAL AREAS 67 HIGHWAY AID FUND 68 SPECIAL REVENUE FUND 69 SINKING FUND 70 CAPITAL PROJECTS FUND 7 I SANITARY SEWER FUND 72 SOLID WASTE FUND 73 EQUIPMENT FUND 74 DEPARTMENTAL BUDGETS PAGE NO. DEPARTMENT BUDGETS 75 BOARD OF COMMISSIONERS 77 TOWNSHIP MANAGER'S OFFICE 83 OFFICE OF PUBLIC INFORMATION 91 LEGAL OFFICE I 0 I TREASURER'S OFFICE 105 FINANCE 109 INFORMATION TECHNOLOGY 12 I HUMAN RESOURCES 129 DEPARTMENTAL BUDGETS (CONTINUED! PAGE NO. PARKING SERVICES 137 POLICE 145 FIRE 157 BUILDING & PLANNING 167 TOWNSHIP ENGINEER 179 PUBLIC WORKS COMBINED BUDGET 183 PUBLIC WORKS -ADMINISTRATION 185 PUBLIC WORKS- HIGHWAY DIVISION 193 PUBLIC WORKS - ELECTRICAL DIVISION 201 PUBLIC WORKS - SHADE TREE DIVISION 209 PUBLIC WORKS - FACILITIES MAINTENANCE DIVISION 217 PUBLIC WORKS - FLEET & EQUIPMENT MAINTENANCE DIVISION 225 PUBLIC WORKS - SANITARY SEWER DIVISION 233 PUBLIC WORKS - REFUSE DIVISION 241
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