Gallatin County, Montana Infrastructure Effective Safety Government Health Gallatin Culture FINAL OPERATING BUDGET AND CAPITAL EQUIPMENT AND PROJECT BUDGET FOR FISCAL YEAR 2015 – 2016 COUNTY COMMISSION R. Stephen White, Chairman Joe P. Skinner, Member Don Seifert, Member Charlotte Mills, Clerk and Recorder Jim Doar, County Administrator SUPPORT STAFF Jim Doar, County Administrator Ed Blackman, Finance Director Cynde Hertzog, Human Resource Director Justine Swanson, Finance Coordinator 2 PUBLIC REVIEW The County Commission held public hearings on the Preliminary Budget on July 7th, when it was approved along with public hearings on July 28th and August 4th in the Community Room of the County Courthouse, 311 West Main, Bozeman, MT. The Commission considered and approved the Final Budget on August 25th. The Final Budget is based on available funds taking into consideration the input received during all public hearings, including the budget work sessions. The Final Budget was presented, discussed and approved on August 25th at a regular noticed public meeting. The Final Budget does not levy the Floating Mills for FY 07 through FY 2016 in the amount of $1,489,762 for Operating Budgets and $148 for County rural budgets (Road, Library - property outside incorporated Cities and Towns). The Commission could levy an additional $849,460 for Permissive Medical Levy in FY 2016. All interested persons were encouraged and given the opportunity to send written comments to the County Commission or attend a public meeting to voice their thoughts on the Final Budget or any aspect of the FY 2016 County Operating and Capital Budget. The FY 2016 Final Operating, Capital Equipment and Capital Budget is available for review by the public in the Gallatin County Clerk & Recorder, County Commission, and County Finance Offices in the Gallatin County Courthouse, 311 West Main, Bozeman, Montana, during regular business hours, Monday through Friday. The Budget is also available on- line at www.gallatin.mt.gov. Summaries of the document are available at the Belgrade, Bozeman, Manhattan, Three Forks and West Yellowstone Libraries. Copies of the full document may be purchased at the County Finance Office for $35. Supporting documentation, including line item appropriations and revenues may be viewed at the County Finance Office and the County Clerk and Recorders office. 3 FY 2016 FINAL BUDGET Table of Contents Description Page No. Executive Summary 7 Budget Message 9 Organizational Chart 26 Gallatin County Profile 27 Budget Process 35 Financial Policies 44 Financial Structure 53 Financial Summaries 59 Overview of Budgeted Resources 60 Revenue Assumptions, Estimates and Trends 65 Estimates, Projections and Mill Levy Information 72 General Government 77 Overview of General Government 78 Departmental Summaries Administrator 81 Attorney 83 Auditor 85 Clerk & Recorder 87 Clerk of District Court 95 Commission 97 Compliance 99 Finance 101 Geographic Information Systems (GIS) 105 Grant and Project Administration 107 Human Resources 109 Information Technology Services (ITS) 111 Justice Court 113 Planning and Community Development 115 Superintendent of Schools 119 Treasurer 121 4 FY 2016 FINAL BUDGET Table of Contents Public Health 129 Overview of Public Health 130 Departmental Summaries Public Health Fund 133 Other Public Health Activities 151 Rest Home 153 Water Quality 155 Public Safety 157 Overview of Public Safety 158 Departmental Summaries Coroner 161 Court Services 163 DUI Task Force 163 Emergency Management and Hazardous Materials 167 Enhanced Dispatch and Law Enforcement Records 169 Fire Districts and Fire Service Areas 175 Fire Marshall 177 Public Safety Activity Grants 179 Sheriff 187 Public Works 199 Overview of Public Works 200 Departmental Summaries Airport at Three Forks - Pogreba Field 203 Facilities - Central Maintenance 205 Noxious Weed 207 Other Public Works Activity 209 Road Department 211 Rural Improvement Districts (RID) 217 Solid Waste Disposal 219 5 FY 2016 FINAL BUDGET Table of Contents Recreation and Other 223 Overview of Recreation and Other 224 Departmental Summaries Extension Services 227 Fair Activity 229 Library Activity 231 Open Space Activity 233 Other Activities 235 Park Activities 237 Senior Citizen Activity 239 Capital Projects 241 Overview of Capital Improvement Program (CIP) and Capital Budget 242 Listing Capital Outlay / Capital Projects 249 Debt Management 263 Overview of Debt Management 264 Gallatin County Debt Management 264 Bond Rating 269 Debt Management Policies 271 Debt Service Schedules of Major Outstanding Bonds 272 Appendix 277 Resolution Adopting Final Budget 278 Resolution Setting Mill Levies 289 Comparison Millage (Mills) and Taxes 298 History of Real Property Tax Collection 302 Personnel Information 305 Statistical Information 320 Consumer Price Index 323 Unincorporated Districts 324 Acronyms 325 Glossary 329 6 EXECUTIVE SUMMARY Gallatin County Commissioners Commissioner R. Stephen White, Chairman Elected as Commissioner - 2006 and 2012 Commissioner Joe P. Skinner, Member Elected as Commissioner – 2004 and 2010 Commissioner Don Seifert, Member Elected as Commissioner – 2014 7 8 EXECUTIVE SUMMARY Budget Message County Commission GALLATIN COUNTY 311 West Main Street, Room 306 z Bozeman, MT 59715 R. Stephen White [email protected] Joe Skinner Don Seifert Phone (406) 585-3000 Fax (406) 582-3003 Final Budget Message August 25, 2015 Residents of Gallatin County: This document is the Final Operating, Capital Equipment and Projects Budget for Gallatin County, Montana for the fiscal year ending June 30, 2016 (FY 2016). The document represents the County’s continued efforts to provide and maintain quality services to citizens while maintaining or reducing the costs to provide those services. The FY 2016 Final Budget demonstrates the Commission’s commitment to balancing the budget and maintaining the County’s long-term financial stability, while keeping tax increases to a minimum. Some changes to the budget from the previous year that are noteworthy include an increase in County staffing levels and an increase to taxes. The budget includes an increase of 8.09 Full Time Equivalents (FTE) in County Tax Supported Funds and a decrease of 4.12 FTE in Non Tax Supported Funds. The result is an overall increase of 3.97 FTE. Unfortunately, the Commission has found that taxes need to increase by $1,076,149 for Operating Budgets and $129,430 for Permissive Medical Levy. The increases in taxes are necessary to support Deputy County Attorney cost increases, Pre-Trial Officer, Detention Officer, Planning Assistant, Sheriff Grant Match costs, and Treasurer Motor Vehicle Clerk along with health insurance premium increases. While the budget does increase taxes by 4.36%, the Commissioners did not levy an additional $2,339,055 (8.1%) in permitted taxes. For FY 2016, the Commission undertook a major project to overhaul the Performance Management system for the County. In consultation with the Government Finance Officers Association, the Commission established a set of priorities captured in the following five (5) citizen-centered statements: • I want to support an effective and efficient government; • I want to be safe; • I want to know all residents have the ability to be healthy; • I want to have sustainable infrastructure; and, • I want to promote the Gallatin County culture. The County is continuing to expand on this project with the goal of full implementation in the FY 2017 Budget. A brief summary of the Final Budget follows. 9 EXECUTIVE SUMMARY Budget Message Overview of Budgeted Resources The following table depicts beginning balances, estimated revenues, approved expenditures, and projected ending balances for the budget year. All funds of the County are included in the Final budget. The table reflects estimated revenues of $84.3 million, budgeted expenditures of $137.2 Million, resulting in a decrease in the ending balance of $52.9 million. Explanations of the significant changes in fund and cash balances (those greater than 10%) for each of the major fund groups are found immediately following the table. CHANGES IN FUND BALANCE / CASH BALANCE Projected Changes in Fund Balances or Cash Balances FY 2016 FINAL BUDGET -- July 1, 2015 through June 30, 2016 (FY 2016) GOVERNMENTAL FUNDS PROPRIETARY FIDUCIARY TOTAL FUNDS FUNDS Enterprise Trust ALL General Special Debt Capital & Internal & Revenue Service Projects Funds Agency FUNDS Beginning Fund Balance (Cash)$ 4,256,859 $ 24,277,984 $ 1,894,968 $ 9,186,672 $ 20,009,569 $ 10,736,936 $ 70,362,988 Estimated Revenues 10,831,213 31,567,521 5,014,651 4,211,233 18,111,384 14,520,173 84,256,175 less FY 2016 Final Budget (13,351,030) (50,476,680) (6,529,619) (12,477,905) (30,682,251) (23,671,036) (137,188,521) Projected Changes to Fund Balance (Cash) (2,519,817) (18,909,159) (1,514,968) (8,266,672) (12,570,867) (9,150,863) (52,932,346) Estimated Ending Fund Balance (Cash)$ 1,737,042 $ 5,368,825 $ 380,000 $ 920,000 $ 7,438,702 $ 1,586,073 $ 17,430,642 General Fund • The General Fund will use $2,519,817 (59.2%) in working capital to fund $351,298 in capital outlay, $678,462 in Bridge replacement / repairs, $150,000 in retirement costs, $528,000 for one-time transfers, $293,819 in debt service and $463,463 in one time operational costs. Two factors that will mitigate the potential use of working capital are: o The County utilizes conservative revenue estimates with actual revenues normally coming in higher (121.81% in FY 2015). o The approved budget is the maximum spending limits for departments.