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City of Frisco, Texas Annual Draft Budget Fiscal Year 2022

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City of Frisco, Texas Annual Draft Budget Fiscal Year 2022 CITY OF FRISCO, TEXAS ANNUAL DRAFT BUDGET FISCAL YEAR 2022 THIS PAGE LEFT BLANK INTENTIONALLY City of Frisco Fiscal Year 2021-2022 Budget Cover Page Proposed August 3, 2021 This budget will raise more revenue from property taxes than last year's budget by an amount of $13,533,327 which is a 9.63 percent increase from last year's budget. The property tax revenue to be raised from new property added to the tax roll this year is $6,903,188. The members of the governing body voted on the budget as follows: FOR: AGAINST: PRESENT and not voting: ABSENT: Property Tax Rate Comparison 2021-2022 2020-2021 Property Tax Rate: $0.446600/100 $0.446600/100 No-New-Revenue Tax Rate: $0.423961/100 $0.450894/100 No-New-Revenue Maintenance & Operations Tax Rate: $0.286059/100 $0.297145/100 Voter-Approval Tax Rate: $0.456028/100 $0.455172/100 Debt Rate: $0.151385/100 $0.147627/100 Total debt obligation for City of Frisco secured by property taxes: $576,596,953 FY 2022 City of Frisco, Texas - 4 - DISTINGUISHED BUDGET PRESENTATION AWARD The Government Finance Officers Association of the United States and Canada (GFOA) presented a Distinguished Budget Presentation Award to City of Frisco, Texas for its annual budget for the fiscal year beginning October 1, 2020. In order to receive this award, a governmental unit must publish a budget document that meets program criteria as a policy document, as an operations guide, as a financial plan and as a communications device. This award is valid for a period of one year only. We believe our current budget continues to conform to program requirements and we are submitting it to GFOA to determine its eligibility for another award. FY 2022 City of Frisco, Texas - 5 - WE VALUE: Integrity Outstanding Customer Service Fiscal Responsibility Operational Excellence Our Employees FY 2022 City of Frisco, Texas - 6 - CITY OF FRISCO, TEXAS OFFICE OF THE MAYOR AND COUNCIL Jeff Cheney Mayor Bill Woodard Brian Livingston Mayor Pro-Tem Deputy Mayor Pro-Tem Place 4 Place 6 John Keating Shona Huffman Place 1 Place 2 Angelia Pelham Dan Stricklin Place 3 Place 5 FY 2022 City of Frisco, Texas - 7 - EXECUTIVE TEAM George Purefoy City Manager Henry J. Hill Deputy City Manager Ron Patterson Deputy City Manager Ben Brezina Assistant City Manager Kristi Morrow City Secretary Dana Baird Director of Communications and Media Relations Anita Cothran Chief Financial Officer Jennifer Hundt Director of Budget and Planning Services Kim Sinclair Director of Financial Services David Shilson Police Chief Mark Piland Fire Chief Lauren Safranek Director of Human Resources Daniel Ford Director of Administrative Services Curt Balogh Chief Information Officer Shelley Holley Director of Library Shannon Coates Director of Parks & Recreation Paul Knippel Director of Engineering Services & Public Works John Lettelleir Director of Development Services Jason Ford President of the Economic Development Corporation Marla Roe Executive Director of Convention & Visitor's Bureau FY 2022 City of Frisco, Texas - 8 - CITY OF FRISCO ORGANIZATIONAL CHART City of Frisco, Texas - 9 - FY 2022 TABLE OF CONTENTS Required State Tax Notice 3 Award 5 Values 6 Recognition 7 Executive Team 8 Organizational Chart 9 Table of Contents 10 City Manager's Budget Transmittal Letter 15 Executive Summary 19 Performance Measures 32 BUDGET IN BRIEF Budget Process 47 Budget Process Flowchart 49 Combined Budget Summary 50 Three Year Revenue and Expenditure Summary 52 Key Budget Points 57 Historical Narrative and Charts: History of Frisco 58 Personnel 61 Population Growth Pattern Chart 65 10 Year Analysis of Property Valuation Growth 65 Composition of Tax Rate for the Past Ten Years 66 Area Tax Rate Comparison - Surrounding Cities 67 Budget Overview 68 Fund Structure 69 Fund Accounting 70 GENERAL FUND AND SUBSIDIARIES Budget Summary 75 Revenue Summary 76 Schedule of Revenues 78 Summary Expenditure Report by Department 79 Capital, Supplemental and Program Expenditure Listing 80 Department Summaries: General Government 85 Budget and Planning Services 97 Financial Services 105 Police 113 Fire 133 Public Works 145 Human Resources 153 Administrative Services 159 Information Technology 171 Library 179 Parks and Recreation 187 Engineering Services 201 Development Services 207 Non-Departmental 215 City of Frisco, Texas - 10 - FY 2022 TABLE OF CONTENTS, CONTINUED GENERAL FUND AND SUBSIDIARIES, CONTINUED Insurance Reserve Fund Budget Summary 217 Capital Reserve Fund Budget Summary 218 Public Leased Facility Fund Budget Summary 219 Special Events Fund Budget Summary 220 Workforce Housing Fund Budget Summary 221 Public Art Fund Budget Summary 222 ENTERPRISE FUNDS Enterprise Funds Revenue Summary 229 Utility Fund Budget Summary 231 Utility Fund Schedule of Revenues 232 Utility Fund Summary Expense Report by Department 233 Capital, Supplemental and Program Expense Listing 234 Department Summaries: General Government 235 Budget and Planning Services 237 Public Works 241 Administrative Services 253 Information Technology 257 Engineering Services 267 Non-Departmental 273 Stormwater Fund Budget Summary 275 Environmental Services Fund Budget Summary 289 SPECIAL REVENUE FUNDS Tax Increment Reinvestment Zone #1 Fund Budget Summary 301 Tax Increment Reinvestment Zone #5 Fund Budget Summary 303 Tax Increment Reinvestment Zone #6 Fund Budget Summary 305 Court Fees Fund Budget Summary 307 Traffic Control Enforcement Fund Budget Summary 308 Hotel/Motel Fund Budget Summary 309 Tourism Public Improvement District Fund Budget Summary 315 Panther Creek PID Fund Budget Summary 316 Grants and Contracts Fund Budget Summary 317 CDBG Grant Fund Budget Summary 319 Public Television Franchise Fund Budget Summary 322 DEBT SERVICE FUND Debt Service Fund Budget Summary 325 Debt Charts - Composition of Debt 326 Long-term Debt Schedules 328 City of Frisco, Texas - 11 - FY 2022 TABLE OF CONTENTS, CONTINUED OTHER FUNDS Long Range Capital Plan - Roads and Water Infrastructure Funding Summary 341 Long Range Financial Plan - Water/Wastewater Operating Fund 346 Capital Projects Narrative Summary 347 Capital Projects Fund Budget Summary 353 Capital Projects Schedule 354 Capital Projects Source of Funds 357 Thoroughfare Impact Fees Fund Budget Summary 359 Park Dedication Fee Fund Budget Summary 360 Utility Capital Projects Fund Budget Summary 361 Utility Capital Projects Fund Schedule of Projects 362 Utility Impact Fees Fund Budget Summary 363 Community Development Corporation Budget Summary 365 Community Development Corporation Remediation Budget Summary 373 Economic Development Corporation Budget Summary 377 Charitable Foundation Fund Budget Summary 383 SUPPLEMENTAL INFORMATION Abbreviations and Acronyms 387 Glossary 390 Miscellaneous Statistics 394 Financial Policies 398 Department Organization Charts 405 City of Frisco, Texas - 12 - FY 2022 City of Frisco, Texas - 13 - FY 2022 THE CITY OF FRISCO, TEXAS The City of Frisco is a Texas home-rule charter city located within the counties of Collin and Denton counties. The estimated population for FY22 is 223,440 with a total estimated buildout population of +/- 323,000. The City area is currently 69.1 square miles with 1.0 square mile of Extra Territorial Jurisdiction (ETJ). City of Frisco, Texas - 14 - FY 2022 August 3, 2021 Honorable Mayor Cheney and City Council Members, The Adopted Fiscal Year 2022 (FY 22) budget (October 1, 2021 – September 30, 2022) is presented for your review and consideration for approval. The Proposed Budget as presented is balanced for all operating funds. Revenues are sufficient to cover program costs with certain fund balance being drawn down for special programs and/or expenses. Strong financial reserves and our basic financial policies have provided us with stability during a year of challenges, opportunities, changes and recovery. Outstanding Customer Service The City’s population is currently estimated to be 212,677 on January 1, 2022. The official census was conducted, and we will adjust our population estimates to the census data later this year. In February 2021, we responded to the winter storm by activating the Emergency Operations Center (EOC). Utility customers were able to call the EOC for emergency water cutoffs and staff assisted with several warming stations that citizens without power could use to warm up and recharge. These services were provided in addition to the normal operations associated with a major winter storm. The storm and the state-wide electricity grid failure made for a busy week for the entire staff. Additionally, led by the Frisco Fire Department Emergency Management Team, the City opened and managed a COVID-19 Vaccine Clinic for several months this year to assist our federal and state government with battling the pandemic by providing vaccinations distributed through the State to City residents and others who registered from throughout North Texas. Stonebriar Centre provided the former Sears Department Store as the site for the vaccines. Toyota Corporation assisted with efficiency recommendations and our personnel provided one of the best and most efficient vaccination centers anywhere. These unanticipated challenges brought out the strong willingness and desire of our staff to provide citizens with vital services in times of extreme need. Ongoing Projects Several long-time projects were brought forward during the last year including the start of construction of the Frisco Public Library which is projected to be completed in about 1 year from now and the construction of the Municipal Court Facility which is nearing completion. Both projects are adaptive reuse projects and are located within the Frisco Square area. Grand Park design and the resolution of agreements with the State of Texas to clean up the environmental problems caused by the former Exide Battery Plant are also in process. The City took ownership and operational management of the former plant in October 2020. As part of this project Stewart Creek which goes through Grand Park will be cleaned up as well. We project that the Exide cleanup will take approximately seven years to complete. In the meantime, we will be seeking to take a fresh look at the Grand Park design and make changes in light of the positive moves being made to complete the Exide clean up.
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