Lo veland City C ouncil

Adopted 2005 BUDGET BOOK This year, we would like to celebrate our City Council and our volunteer Boards and Commissions members for all the work that they do. City Council has so many difficult decisions and challenges they face and yet they always bring a smile to the Council Chambers. Boards and Commissions member volunteer their time to help with a wide variety of issues including policy creation and approval, recommendations to Council, and staff projects. City staff would not be able to complete everything they do without the help from City Council and the Boards and Commissions. With this year’s Annual Budget Book we would like to say thank you.

you! hank T

*Unfortunately due to space constraints, not all of the boards and commissions are located on the tab of the department they are associated with. Pre-Introduction

Loveland is a community - that is characterized by welcoming neighborhoods and a sense of individual belonging;

that embraces the heritage and natural beauty of the region and values its strategic location;

that is well planned and environmentally sensitive, where all citizens are safe and secure and have equal access to services and amenities, including plentiful recreational and cultural activities;

with an integrated system of technology, utility and transportation networks that supports a vital economy and coordinates with regional plans;

that is a continuously developing partnership of citizens, business and educational communities, with a stable and diverse economic base that offers ample employment and business opportunities to all;

that encourages active public involvement and is responsive to the needs of its citizens.

City of Loveland 1 Budget 2005 Pre-Introduction AWARD FOR DISTINGUISHED BUDGET PRESENTATION

The Government Finance Officers Association (GFOA) of the United States and Canada presented an award of Distinguished Presentation to the City of Loveland for its annual budget for the fiscal year beginning January 1, 2004.

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 communication device.

The 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.

City of Loveland 2 Budget 2005 Pre-Introduction BUDGET STAFF John Hartman, Budget Officer Aleesa Whiteis, Budget Analyst Dawn Wirth, Administrative Assistant

City of Loveland, Budget Division 500 East Third Street Loveland, Colorado 80537 970–962–2329 www.cityofloveland.org

CITIZENS’ FINANCE ADVISORY COMMISSION Jim Pawlowski, Chair Jennifer Kersten, Vice-Chair Gene Culbertson Molly Elder Leonard Kopec Ruth Larkin Teresa Molloy William McCullough David Schwab Dave Clark (Council Liaison) Walt Skowron (Council Liaison)

City of Loveland 3 Budget 2005 Pre-Introduction TABLE OF CONTENTS

Budget Message i Using the Budget Document v Budget Guide vi

INTRODUCTION City Limits 1-1 City Organizational Chart 1–2 Officials of the City of Loveland 1–3 General Information 1–4 Scope of Services 1–6 Budget Process 1–7 Financial Policies 1–8 Financial Information 1–12

BUDGET OVERVIEW Total City Budget 2–1 Total Source of Funds 2–4 Total Uses of Funds 2–4 Revenue Overview 2–5 Expenditure Overview 2–10 Fund Summaries 2–15 Fund Balance Summary 2–24 Staffing Levels 2–25 Debt Service and Financial Obligations 2–26 TABOR Revenue 2–28

10 YEAR FINANCIAL PLAN Ten-Year Financial Forecast Overview 3–1 General Fund Overview 3–3 Resource Allocation Plan 3–6

OPERATING SUMMARY Legislative 4–1 Department of Executive and Legal 5–1 Department of Community Services 6–1 Department of Cultural Services 7–1 Department of Finance Services 8–1 Department of Fire and Rescue Services 9–1 Department of Human Resources 10–1 Department of Information Technology 11-1 Loveland Public Library 12–1 Department of Parks and Recreation 13–1 Department of Police Services 14–1 Department of Public Works 15–1

City of Loveland 4 Budget 2005 Pre-Introduction Non-Departmental 16–1 General Equipment Replacement Plan 17–1 Enterprise Funds 18–1 Other Funds 19–1

CAPITAL IMPROVEMENT PLAN Capital Improvement Plan 20–1 All Funds Summary 20–2 Capital Improvement Plan Overview 20–3 Capital Projects Fund 20–6 Internal Services Fleet Fund 20–9 Capital Expansion Fee Fund 20–10 Park Improvement Fund 20–15 Conservation Trust Fund 20–16 Open Space Sales Tax Fund 20–17 Golf Enterprise Fund 20–18 Storm Water Enterprise Fund 20–19 Water Enterprise Fund 20–20 Wastewater Enterprise Fund 20–22 Power Enterprise Fund 20–23

APPENDIX Glossary of Terms 21–1

City of Loveland 5 Budget 2005 Pre-Introduction USING THE BUDGET DOCUMENT The City of Loveland Budget provides city residents and the City Council with a funding plan for the year 2005. The Operating Budget Section is organized by function (i.e. Community Services) which mirrors the City’s departmental organization chart, and is further separated by divisions, which represent discrete activities within a department.

The department and division summaries provide historical cost information along with the current and recommended budget. Revenues that are attributed to a department are also presented. Included in this section are concise explanations of changes that have occurred from the 2004 Forecast. “Budget Variances” are increases or decreases to the base budget due to operational changes or other known factors. “Normal Increases/Decreases” represent the increase or decrease due to the pay plan, inflation factors, or transfers between categories (i.e. from supplies to purchased services). “Supplements” are increases which are required to maintain existing services levels (noted as workload), provide new services (noted as improvement), or as required by state or federal law (noted as mandated). “Cost Reductions” are reductions to the budget due to decisions to decrease services and/or improve the efficiency and effectiveness of providing the service.

Included with the cost information is the department mission statement, descriptions of the program objectives for the coming year, along with measures which show the effectiveness or “outcome” of the programs.

References are made in the Operating Section to the Capital Plan, which is included in a separate section of the budget document. Appropriations in the Capital Plan for 2004, with the exception of General Fund agencies, are included within a department’s budget. The future years are approved by the City Council in concept only. The Capital Plan is updated annually based on Council priorities and goals.

The City of Loveland Budget is a comprehensive decision–making document, designed to present an accurate description of how the City operates, its policies and goals and services provided.

For the answer to questions regarding the budget or for additional information, please call the Budget Division at (970) 962–2329.

City of Loveland 6 Budget 2005 Pre-Introduction BUDGET GUIDE This budget guide is a summary of the information contained in each section of the budget document. There are five main sections: Introduction, Budget Overview, Department Summaries, Capital Improvement Program and Appendix.

Introduction This section provides general information about the City. It includes: a City organizational chart; a list of the City officials; demographic and economic information; a summary of the budget process; the underlying policies and rules that guide and shape the budget; a brief description of each fund type.

Budget Overview The City’s total proposed budget and summaries of each fund type are presented in this section. It shows the City’s total proposed budget summary in both gross and net form and a discussion of the major revenues and expenses, and major factors that will impact both revenues and expenses. Summaries of the four fund types are compiled in gross amount form showing the primary services provided and the major sources of revenue. This section also includes: a list of full time equivalent positions by department/division; a debt service summary; the impact of Amendment 1 (TABOR) restrictions on the City’s budget.

Operating Summary This section details revenues and operating expenditures for all departments. Descriptions of each department, its mission and goals, measurements to quantify the effectiveness or “outcome” of the program, a summary of authorized positions, revenue attributable to the departments, and any significant changes in departmental budgets are included.

Capital Improvement Plan This section contains a five–year capital improvement program for the City. It describes the major 2005 projects and their financial impact on the operating budget.

City of Loveland 7 Budget 2005 INTRODUCTION

Since 1990, Larry Walsh has been involved with public service in the community of Loveland. Mayor Walsh was the second elected Mayor in the City of Loveland being elected to office in 2003. Prior to being elected Mayor, his service on the City Council began in 1997 when he was first elected to a four-year term and re-elected to a second four-year term in 2001. He was appointed by the City Council to serve as Mayor Pro Tem in November 2001, which he served until his election to the office of Mayor in November 2003.

In 1990, Larry became involved with the Agenda for the 90’s the same year he began serving on the Loveland Planning Commission until his election to office. Within one year he became the Vice Chairman and the following year served as the Chairman for the next 5 years. During his tenure as Chairman Larry guided a two-year effort of developing a Comprehensive Master Land Use plan which today serves as the guiding philosophy for growth management in Loveland.

Currently, Larry serves on the Airport Steering Committee, Legislative Review Committee, Visual Arts Commission and is on the Board of Directors for Platte River Power Authority.

Besides, being Loveland’s Mayor, Larry has more than 20 years of leadership with Flatiron Constructors, Inc as a Project Manager and as a Design/Build Acquisition Manager specializing in the development and construction of major Mayor Larry Walsh transportation projects throughout the United States. His professional career has dovetailed with his community service providing a resource and knowledge base in the areas of the 2020 Master Transportation Plan for the City of Loveland and the regional North Front Range MPO.

In 1997, Larry was recognized in “People Who Make a Difference” for his volunteer service & contributions to the community in the area of Government in making Loveland a better place to live.

Mayor Walsh has served on a variety of Boards and Commissions with the city over the years including the Construction Advisory Board, Disabilities Advisory Commission, Fire & Rescue Commission, Board of Directors for Loveland Center for Business Development, US Highway 34 Corridor Committee, Transportation Finance Committee, Old Fairgrounds Re-Use Subcommittee.

Mayor Walsh believes the best interests in the community are achieved by working together. He believes the community vision is a quality life for all of our residents beginning with an economically viable community. He successfully inspired the City Council to set aside 10 % of the sales tax revenue as a City Council reserve to be used for capital construction projects. In 2004, Mayor Walsh and the City Council approved a $590 million public private partnership with Centerra in a 25-year deal placing Loveland into a position of economic leadership in Northern Colorado while providing funding for major transportation infrastructure projects along I-25 and US Highway 34.

Larry began his formal education at Iowa State University receiving a Bachelor of Science Degree in Construction Engineering and has an MBA from the University of Colorado.

Mayor Walsh and his wife Melissa have resided in Loveland for over 20 years and have one child, who is a recent graduate of Mountain View High School. Introduction Limits 2005 y

Colorado Cit City of Loveland,

City of Loveland 1-1 Budget 2005 Introduction Deputy City Manager City Deputy Risk Risk Fleet Meter Meter Utility Utility Utility Billing Budget Finance Airport Reading Purchasing Warehouse Accounting Accounting/ Management Replacement Power Power Power Utility Utility Water & & Water Wastewater Water Utility Clerk City Street Street COLT COLT Traffic Traffic Project Project Vehicle Vehicle (Transit) Boards & Boards Engineering Engineering Engineering Solid Waste Sales Tax Storm Water Storm Maintenance Maintenance Development Development Commissions Municipal Judge Municipal Svcs. Svcs. Svcs. Police Works Public Admin. Support Support Information Information of Parks y Parks & & Parks Recreation Open Space Open Golf Courses Loveland City Manager City Council Communit Library Human Human Benefits Employee Resources Mgt. Fire & Rescue Emergency Emergency Support Svcs Recreation Operations Facilities City Attorney Svcs Rialto Rialto Theater Cultural Current Services Building Museum Operations Planning Community Community Assistant City Manager Assistant City Technology Information Information Support Svcs Support Programming Networks and and Networks Public Public Business Business Strategic Strategic Planning Relations Information SvcsHuman GIS City of Loveland 1-2 Budget 2005 Introduction OFFICIALS OF THE CITY OF LOVELAND

City Council Larry Walsh, Mayor Gene Pielin, Mayor Pro-Tem Ron Weaks, Councilor, Ward I* Jan Brown, Councilor, Ward I Dave Clark, Councilor, Ward IV Steven Dozier, Councilor, Ward III Larry Heckel, Councilor, Ward IV Glenn Rousey, Councilor, Ward II Walt Skowron, Councilor, Ward III (*Don Marostica resigned in July 2004, Ron Weaks was elected in the Nov. 2004 election).

Executive Staff Don Williams, City Manager Mike Hart, Deputy City Manager/Finance Director Dave Gordon, Airport Director Greg George, Community Services Director Susan Ison, Cultural Services Director Mark Miller, Fire Chief John Van Eden, Human Resources Director Ted Schmidt, Library Director Gary Havener, Parks & Recreation Director Tom Wagoner, Police Chief Keith Reester, Public Works Director Ralph Mullinix, Water & Power Director

Municipal Court Bill Starks, Municipal Judge

Legal Staff John Duval, City Attorney Caroline Blackwell, Assistant City Attorney Sharon Citino, Assistant City Attorney Karen Stevens, Assistant City Attorney Robert Fink, City Prosecutor

City of Loveland 1-3 Budget 2005 Introduction GENERAL INFORMATION History and Location The City of Loveland, Colorado, is located approximately 50 miles north of Denver, directly east of the Big Thompson River’s emergence from the Front Range of the Rocky Mountains. Situated in southeastern Larimer County, the city limits encompass 30.63 square miles and an estimated current population of 60,450. Loveland is the thirteenth largest city in the state of Colorado.

Demographics Loveland’s population is older, with a median age of 36 in 2000, than Larimer County, the State, and the national averages at 33.2, 34.3, and 35.3 respectively. People 65 years of age or older represented 12.5% of Loveland’s total population in 2000. By comparison, the percentage of persons 65 years or older in Larimer County, the State, and the Age Distribution (2000 Census) nation were 12.4%, 9.7%, and 9.3% respectively. However, there is an indication 65+ that this trend may change. Persons under 18 (13%) 0-14 years of age represented 26.9% of Loveland’s (22%) total population in 2000. By comparison, the 55-64 percentage of persons under 18 years of age in (8%) Larimer County, the State, and the nation were 15-24 23.4%, 25.6%, and 25.7% respectively. (13%) 45-54 (14%) 35-44 25-34 (17%) (14%) Loveland Population Growth

70,000

The City’s population is 20.1% of Larimer 60,000 County’s total population. The City has 50,000 experienced an annual population growth rate of 2.64% since 1990. However, the number of 40,000 persons per household has declined since 1990. In 2000, the number of persons per household was 30,000 2.55, compared to 2.62 in 1990. 20,000

10,000

- 95 96 97 98 99 00 01 02 03 04 05 Economics Unemployment Rate for July 2004 (Not seasonally adjusted): Loveland 4.5% Larimer County 4.7% Colorado 5.1% United States 5.5%

City of Loveland 1-4 Budget 2005 Introduction Major Employers in Loveland (2003) Employees Agilent Technologies 2,454 Thompson School District 1,888 McKee Medical Center 950 Wal-Mart Distribution Center 909 Hewlett-Packard 730 City of Loveland 681 Woodward Governor 650 Teledyne WaterPik 585 Hach Company 550 Wal-Mart SuperCenter 500 Group Publishing 270

Family Income (2004 Estimate)* Median family income (includes all earners in household) $59,833

Larimer County Income (2002 Estimate) ** Mean annual income (all occupations) $35,349

Housing Costs in Loveland Average sale price for a single family home (1st Qtr 2004)*** $203,000 Average apartment rental rates (1st Qtr 2004) **** $748.63/month

Sources: * U.S. Department of Housing and Urban Development ** Colorado Department of Labor and Employment *** The Group Inc., Real Estate Insider, Aug. 2003 **** Colorado Division of Housing, Multi-Family Housing Vacancy & Rental Survey 2/04

Taxes City property tax levy for 2003 9.564 mills City of Loveland sales tax levy 3.0% Larimer County sales tax levy 0.8% State of Colorado sales tax levy 2.9%

Governing Body Loveland operates as a home rule city according to a city charter and ordinances, under a city council- city manager form of government.

Voters select members of the City Council in elections on the first Tuesday in November of odd- numbered years. The Council has a total of nine members. Each of four city wards elects two councilors to serve staggered four-year terms. The mayor is elected at large to serve a two-year term. The mayor pro-tem is chosen by the Council from its membership.

City of Loveland 1-5 Budget 2005 Introduction SCOPE OF SERVICES Loveland is a full service municipality. The major services provided by the City include: ¾ Building ¾ Cemetery ¾ Community Planning ¾ Engineering ¾ Fire and Rescue ¾ Fort Collins–Loveland Airport ¾ Loveland Museum & Gallery ¾ Loveland Public Library ¾ Municipal Court ¾ Parks and Recreation ¾ Police ¾ Power Utility ¾ Rialto Theater ¾ Solid Waste Collection ¾ Storm Water Utility ¾ Streets Maintenance ¾ Wastewater Utility ¾ Water Utility

Employees and Benefits The City currently has 684 authorized regular full–time and part–time positions on a full–time equivalent basis. In addition, a varying number are employed on a temporary and seasonal basis as needed. Loveland neither recognizes nor bargains with any employee union.

The City determines employee compensation by performance within a market–based pay plan. Using market pay established through an independent survey as the mid–point, the salary range for each level is set at 12.5-20% above and below the mid–point.

Benefits include medical, dental, disability and life insurance, as well as, a pension plan for all full–time regular employees. Part–time employees who work at least 20 hours per week are eligible to participate in benefit plans under a cost–sharing arrangement.

City of Loveland 1-6 Budget 2005 Introduction BUDGET PROCESS Budget Administration This budget has been structured and prepared using the guidelines of the National Council on Governmental Accounting (NCGA) and the Government Finance Officers Association (GFOA). Two publications, Governmental Accounting, Auditing and Financial Reporting (GAAFR) and the Governmental Accounting and Financial Reporting Standards as adopted by the Governmental Accounting Standards Board (GASB) guide the budget process. The City of Loveland prepares its budget on a calendar–year basis as required by the City Charter. The budget must be balanced or show a revenue surplus.

Basis of Accounting The budget parallels the City’s accounting system. A modified accrual basis is used for general government operations. Significant revenues are recorded when measurable and available. Expenditures are recorded when incurred. Records for the City’s enterprise funds, proprietary funds, and non– expendable trust and pension funds are maintained on a full accrual basis. For budgetary purposes depreciation, accrued liabilities for accumulated leave balances, and market value adjustments to City investments are not included in calculating fund balances. Building and equipment repair and maintenance are budgeted for annually. Payments for accrued leave are paid within the existing budget as employees leave. Investments are held to maturity so market value during the term of the investment is not an issue to allocating resources.

Citizens’ Finance Advisory Commission A Citizens’ Finance Advisory Commission (CFAC) is appointed by City Council to participate in a review of the budget, evaluate all financial policies and report its findings to the Council. The commission consists of nine members who serve staggered terms of three years each. Its members are involved in the budget process and provide input to the Council during the adoption process.

City of Loveland 1-7 Budget 2005 Introduction FINANCIAL POLICIES The City of Loveland financial policies, compiled below, set forth the basic framework for the overall financial management of the City. These policies assist the City Council’s decision–making process and provide guidelines for evaluating both current activities and proposals for future programs. These policies are reviewed annually and presented to Council for approval.

General Policies City of Loveland will: ¾ Annually prepare a budget, submit it to Council for approval and publicly issue a budget document. ¾ Identify costs and funding sources before recommending approval of capital and operating budgets. ¾ Provide for sound financial planning, the best possible bond rating, funding of depreciation and adequate working capital in all funds. ¾ Take measures to protect against catastrophic losses through a combination of insurance, funded self insurance, and cash reserves. ¾ Provide for recommended maintenance and replacement of facilities and equipment. Each department will prepare and annually update a maintenance and replacement plan. ¾ Follow the City of Loveland Charter when preparing the City’s budget. ¾ View the budget as a dynamic rather than static plan which requires periodic adjustment as circumstances change. Approval of City Council is required for increases in total fund budgets and shifts in appropriations among departments in excess of $25,000. ¾ Encourage citizen involvement in the budget process by having a Citizens’ Finance Advisory Commission, public hearings and informal meetings.

Operating Budget Policies City of Loveland will: ¾ Pay for all current year operating expenses with current year revenues and/or available fund balances. ¾ Provide for the adequate funding of all pension plans. ¾ Update operating expenditure projections for the budget year plus nine years. Projections will include increased operating costs associated with future capital improvements. ¾ Establish and monitor performance indicators and productivity indicators associated with operating expenses. ¾ Maintain a positive cash balance in each operating fund at the end of each fiscal year. ¾ Attempt to maintain present service levels for all priority and essential services within existing Amendment 1 revenue limitations.

Capital Budget Policies City of Loveland will: ¾ Update capital improvement plan projections for the budget year plus four years. ¾ Evaluate the relative merit of each capital project according to Council’s goals and priorities. ¾ Give priority to capital projects that are mandated by federal or state legislation.

City of Loveland 1-8 Budget 2005 Introduction Revenue Management Policies City of Loveland will: ¾ Impose taxes, fees and rates at appropriate levels to fund their intended purposes. Maintain a balance to provide for a diversified and stable revenue system. ¾ Estimate annual revenues using an objective, analytical process. ¾ Update revenue projections for the budget year plus nine years. ¾ Annually review costs of activities supported by taxes, rates, user fees, plant investment fees and capital expansion fees. ¾ Set fees and user charges for each enterprise fund that maintains the enterprise status pursuant to TABOR. ¾ Review new sources of revenue to fund operating and capital costs consistent with Council’s goals and priorities. ¾ Allocate revenues from restricted funds in accordance with municipal code provisions.

Reserve Management Policies City of Loveland will: ¾ Establish reserves from restricted cash accounts for growth–related development. The reserve balance will be equal to the unexpended balance of cash less current liabilities in each restricted account. ¾ Establish bond reserves based on requirements of individual bond ordinances. ¾ Establish capital reserves which accumulate funds for the planned construction or replacement of city infrastructure or for the acquisition of capital equipment not funded through growth–related fees. These amounts will be determined by five–year or longer capital plans. ¾ Establish other reserves related to special items as approved by City Council. This would include accumulating reserves to retire debt at an accelerated schedule. ¾ Maintain the General Fund Unrestricted balance at 6% of General Fund revenue.

Definitions of Reserve Terms Operating - Reserves to cover unanticipated expenditures of a nonrecurring nature or to meet unexpected small increases in service delivery costs. These also cover operating carryover balances associated with cash flow needs and to provide an orderly adjustment to changes resulting from termination of revenue sources through actions of other governmental bodies. Reserve amounts are based on a percentage of the operating budget within each appropriate fund.

Emergency - Reserves to cover costs associated with natural disasters or other unforeseen and declared emergency situations. Reserve amounts are based on a percentage of the operating budget in the general fund. This reserve satisfies the requirements of Amendment 1.

Liability - Reserves to cover accrued liabilities from items such as vacation, sick leave or comp–time. Reserve amounts are based on a percentage of fund liabilities.

Equipment replacement - Provide for the replacement of fund assets such as office equipment and furniture, computers, vehicles, and tools and equipment used in operating the program. Items not included are city infrastructure, utility infrastructure and equipment covered under capital reserves, and the replacement of city buildings.

Designated - Reserves for planned capital projects which will be appropriated in future years based on the capital plan or for known debt payments in the future.

City of Loveland 1-9 Budget 2005 Introduction

Restricted - Reserves for funds restricted by ordinance or law. An example is impact fee reserves which may only be spent on capital projects that are the result of growth.

Transfers Policies City of Loveland will: ¾ Classify the following City of Loveland activities as enterprises: Golf Power Solid Waste Storm Water Water Wastewater ¾ Require that all City enterprises make payments to the City in lieu of taxes that are reasonable and proportionate to taxes paid to the City by private businesses unless the City Council grants exceptions. Transfer payments are based on percentage of certain revenues received by the fund. Specific transfers to the City from the affected funds are done on a monthly basis per the rates established as follows: Water, Wastewater, Storm Water, Power, and Solid Waste at 6% and Golf at 3%. ¾ Require that all departments furnish to other department such services, labor and materials as needed by the director of such department. Any labor or material shall be charged to the using department according to accounting procedures established by the City Manager. These charges are direct reimbursements for services provided and shall be calculated annually utilizing a cost of service analysis.

Investment Management Policies City of Loveland will: ¾ Deposit funds only in financial institutions which are insured by the Federal Deposit Insurance Corporation or are approved for full collateralization by the public deposit protection act or other state statutes. ¾ Pool cash from all legally permitted funds for investment purposes. ¾ Maximize the investment rate of return. Adhere to lawful investment options. Safety of the principal shall be the dominant requirement, followed by sufficient liquidity to meet operating requirements, and then yield. ¾ Place custody of the City’s investment securities with a third–party financial institution for the purpose of safekeeping of securities. ¾ Provide monthly investment reports.

Debt Management Policies City of Loveland will: ¾ Confine long–term borrowing to major capital improvements that cannot be financed from current revenues. ¾ Repay debt within the expected useful life of the project or sooner. ¾ Prohibit the use of long–term debt for operating expenses. ¾ Issue debt which is relative to payback ability. Borrowing must not overburden future tax payers. When applicable, state law is the controlling policy. ¾ When practical, borrow from other funds. Monies borrowed must be repaid with interest before needed for their intended purpose(s). Repayment schedules and reserve sources for repayment shall be validated before borrowing from any fund. ¾ Review debt at least annually for repayment or refinance opportunities. A repayment strategy shall be a part of all recommended bond issues.

City of Loveland 1-10 Budget 2005 Introduction Accounting, Auditing and Reporting Policies City of Loveland will: ¾ Provide regular information concerning cash position and investment performance through its accounting system. ¾ Establish and maintain a high degree of accounting competency. Financial accounting and reporting will be done in accordance with methods prescribed by the Governmental Accounting Standards Board and the Government Finance Officers Association, or their equivalents. ¾ Present monthly and annual reports to the City Council summarizing financial activity delineated by fund. ¾ Present a quarterly report on the status of major capital projects. ¾ Present a quarterly performance measurement report on the actual achievement towards the performance measure indicators. ¾ Maintain financial systems to monitor expenditures, revenues and performance of all municipal programs on an ongoing basis. ¾ Provide full disclosure in annual financial statements and bond representations. ¾ Use an independent certified public accounting firm to perform an annual audit. ¾ Publicly issue a Comprehensive Annual Financial Report. ¾ Comply with all required reporting requirements related to bond issuance terms.

City of Loveland 1-11 Budget 2005 Introduction FINANCIAL INFORMATION Fund Accounting Fund accounting is used throughout the City, both for budgeting and accounting. Under this system, money is divided into separate accounts, rather than being held in one central account. The City has 29 funds. Each fund has been established for a specific purpose and is somewhat like a separate bank account.

Those funds used to pay for operations, maintenance and other ongoing activities are like checking accounts. Generally, revenues flowing into the fund are spent during the same year. Unless there is a change in service levels, spending is similar year to year.

Other funds are more like savings accounts. Money accumulates for periodic capital needs, such as construction of a new park or an electric substation. The balance in those funds grows until an expenditure is made. Spending can vary greatly from year to year.

Appropriation and Expenditure The total appropriation includes internal transfers and internal service charges, which are counted both as revenues and expenditures twice, and occasionally three times. For these reasons the total appropriated amount in a fund can be significantly higher than actual spending. The net City budget excludes internal service charges and internal transfers. It represents a close approximation of projected spending.

Fund Types: The city classifies funds into several types: General Fund, Internal Services Fund, Enterprise Funds, Special Revenue Funds and Fiduciary Funds.

The General Fund includes the majority of City services. City Council, City Manager’s Office, City Attorney’s Office, City Clerk, Sales and Use Tax Administration, Municipal Court, Community Services, Police, Public Works, Fire and Rescue, Parks and Recreation, and Cultural Services are included. General Fund revenues include sales tax, use tax, property tax, user fees, fines, permits, licenses, internal transfers and intergovernmental revenue.

The Internal Services Fund provides support services to other City departments. It is financed by transfers from other funds or internal service charges. Included in this fund are Public Grounds Maintenance, City Fleet, Vehicle Maintenance, Management Information Services, Finance Administration, Accounting, Purchasing, Budget, Human Resources, Facilities Management, Risk Management and Employee Benefits.

Enterprise Funds are self–supporting through user fees. They include Water, Wastewater, Storm Water, Power, Solid Waste and Golf.

Special Revenue Funds are established by federal/state law, or by municipal ordinance/resolution. Included are Capital Projects, Library, Local Improvements, Capital Expansion Fees, Park Improvement, Conservation Trust, Open Space, Community Development Block Grant, Art in Public Places, the General Improvement District # 1 (GID), the Loveland Special Improvement District #1, and the Loveland Urban Renewal Authority. Each has its own specific revenue source.

City of Loveland 1-12 Budget 2005 Introduction Fiduciary Funds are used to account for assets held by the City in a trustee capacity. Each fund is established by state law, municipal ordinance or resolution. They include Fire Pension and Cemetery Perpetual Care. These funds are not included in the City’s total budget summary table.

The Airport Fund , and the Loveland Larimer Building Authority Fund (LLBA) do not belong to any fund type, but are included in this document for informational purposes. The Airport is a separate entity established by the cities of Fort Collins and Loveland. The City of Loveland does not have absolute authority to control this fund. The LLBA was established by Larimer County and the City of Loveland to construct and operate the new combined Police and Courts facility. None of these funds are included in the City’s total budget summary.

Transfers Because money is budgeted and accounted for in separate funds rather than being pooled in one account, transfers occur among funds. Transfers take three primary forms: payment in lieu of tax (PILT), direct charges and operating transfers.

Payment in Lieu of Tax - Payment in lieu of tax, which is transferred from the Enterprise Funds to the General Fund, approximates property taxes a private enterprise would pay. The services supported by payment in lieu of taxes are the same as those supported by property taxes. Police, fire and street maintenance services are examples. These charges are based on certain revenues received by the Enterprise Funds. The transfers are done on a monthly basis per the rates established by the intra-city transfers policies.

Direct Charges - Direct charges represent payments for support services provided by one City department to another City department. These charges are direct reimbursements for services provided and are calculated annually utilizing a cost of service analysis. Examples of support for which direct charges apply include Accounting, Human Resources and Management Information Services.

Operating Transfers - This represents the transfer from one fund to another fund for operational purposes or for capital outlays without the expectation of any support services in return. One example is the transfer from the General Fund to the Library Fund. The majority of the Library’s funding comes from the General Fund, though the Library does not provide support services to the General Fund. These transfers also include the transfer from one fund to another for the purpose of capital outlays. One example is the transfer from the Capital Expansion Fees Fund to the Capital Projects Fund for the construction of new streets.

City of Loveland 1-13 Budget 2005 BUDGET OVERVIEW

A Colorado Licensed Real Estate Broker since 1977, Don’s specialty is representing buyers and sellers of commercial real estate, and expediting their platting, approval, and development processes through local governments. Since 1994, Don has five PUD subdivisions to his credit. These Colorado projects, in Loveland and Milliken, include single-family, multi-family, affordable housing, commercial, industrial, and retail zoning.

Don has an excellent working rapport with the City of Loveland, and its planning commissions and City Councils. Don just recently resigned as a member of the Loveland City Council but still serves on committees with the Colorado Municipal League and the National League of Cities. Don has an excellent understanding of the financial structure, marketing, and workings of the real estate business world. He has represented several large and small companies and individuals in their acquisition and disposal of real estate Marostica throughout Colorado, Arizona and Wyoming. Don recently served says as the only real estate broker and developer on a panel of 25 goodbye to business leaders. Council after serving 3 Don’s background includes a 1970 Bachelors Degree from years on Colorado State University and a 1975 Masters Degree from the Council. He Don University of Northern Colorado. He served in the United States resigned in Army as an Officer, and taught and coached at Rocky Mountain July ‘04. Marostica High School in Fort Collins for four years. Ron Weaks replaced Don on Council in Nov. 2004.

Glenn Rousey was born in Inglewood, California before moving to Illinois. From there, Glenn graduated from college with an Associates of Arts in Fire Science Technology, Fire Science and an Associates of Arts in Fire Science Technology, Fire Protection. He became a Certified Fire Instructor 2, after he completed Fire Officer 2, Fire Investigator, and a Firefighter 3. He served with the Rock Island Fire Department in Illinois for 27 years before retiring as Fire Marshal in 1997.

Glenn taught at Aims Community College (ACC) in Greeley, Colorado as the Lead Instructor in the Fire Science Department from 1997 to 2001. He still serves as an adjunct facility member at ACC.

Glenn has also served on many committees, including Rock Island Firefighters Local 26, Rock Island Noon Lions, Bi-State Fire Prevention Officers, and Aims Community College speakers bureau, not to mention serving on Loveland City Council in Ward 2 since November 2001. He has been a guest speaker for many conferences and published numerous articles in fire related magazines.

Although he has had a busy career, Glenn spends the rest of his time with his family; wife, Sherry, and two daughters, Jodean and Anna Lisa. Glenn Rousey Budget Overview TOTAL CITY BUDGET The 2005 budget is balanced and financially conservative. This budget is in compliance with the provisions of Colorado’s TABOR restrictions, and existing service levels are maintained. The total City budget as shown below is the combined budgets of all parts of the organization except for the Airport Fund, the Loveland–Larimer Building Authority, and Fiduciary Funds. The table below shows the gross City budget, as well as, the net City budget, which excludes transfers and internal service charges, and closely approximates projected spending.

2003 2004 2005 % Change Actual Forecast Budget 2004-05 REVENUE Beginning Balance 144,689,115 137,265,130 96,697,680 Taxes 36,901,509 39,428,130 41,104,470 4.3% Intergovernmental 4,632,925 5,763,790 4,515,160 (21.7%) Impact Fees 16,920,654 13,320,000 16,065,440 20.6% User Fees 13,860,326 15,930,260 15,856,680 (0.5%) Interest 3,016,885 2,478,870 3,359,610 35.5% Others 1,746,812 1,412,840 1,496,260 5.9% Utility Fees 41,352,053 44,598,000 49,046,800 10.0% Utility Other 1,246,966 2,268,500 3,759,400 65.7% Total Net Revenue 119,678,130 125,200,390 135,203,820 8.0%

Transfers 22,182,529 38,655,150 23,632,070 (38.9%) Internal Service Charges 7,780,292 8,394,950 9,824,210 17.0% Total Revenue 149,640,951 172,250,490 168,660,100 (2.1%) Total Resources 294,330,066 309,515,620 265,357,780

APPROPRIATIONS General Fund 43,928,157 56,221,710 53,070,860 (5.6%) Enterprise 71,407,137 94,502,020 78,720,670 (16.7%) Internal Service 17,371,042 17,510,900 19,957,820 14.0% Special Revenue 21,582,296 49,079,510 23,225,160 (52.7%) Total 154,288,632 217,314,140 174,974,510 (19.5%)

Less Transfers 22,182,529 38,655,150 23,632,070 (38.9%) Less Internal Service Charges 7,780,292 8,394,950 9,824,210 17.0% Total Net Appropriations 124,325,811 170,264,040 141,518,230 (16.9%)

Ending Balance 140,041,434 92,201,480 90,383,270

City of Loveland 2-1 Budget 2005 Budget Overview FUND SUMMARY SCHEDULE

Gross Budget Internal Capital Local General Services Enterprise Projects Library Improv. CEF Fund Fund Funds Fund Fund Fund Fund Beginning Balance 11,501,800 10,423,570 50,309,790 357,210 250,760 296,080 25,869,390

Revenues Legislative Executive/Legal 623,500 Community Services 1,937,520 Cultural Services 150,050 365,280 Finance 163,570 2,377,020 Fire & Rescue 910,350 702,280 Human Resources 7,550,400 Information Technology Library 2,167,530 435,770 Parks & Recreation 2,480,860 3,478,130 3,244,620 Police 314,370 314,490 Public Works 6,562,920 2,266,250 7,851,960 4,460,330 Water & Power 58,175,650 Non-Departmental 39,792,650 8,062,590 8,588,140 8,880 1,625,210 Total Revenue 52,935,790 20,256,260 69,505,740 8,588,140 2,167,530 8,880 11,147,980 Total Resources 64,437,590 30,679,830 119,815,530 8,945,350 2,418,290 304,960 37,017,370

Appropriations Legislative 104,130 Executive/Legal 2,222,540 235,000 Community Services 1,938,560 Cultural Services 1,055,950 Finance 517,390 3,218,030 2,391,170 Fire & Rescue 6,490,710 275,000 Human Resources 8,543,430 Information Technology 2,563,000 Library 2,167,530 Parks & Recreation 6,448,530 380,860 3,738,240 1,660,000 2,880,000 Police 12,703,540 - Public Works 7,774,860 5,142,500 7,749,370 6,418,140 3,817,640 Water & Power 64,841,890 Non-Departmental 13,814,650 110,000 Total 53,070,860 19,957,820 78,720,670 8,588,140 2,167,530 - 6,697,640 Ending Balance 11,366,730 10,722,010 41,094,860 357,210 250,760 304,960 30,319,730

City of Loveland 2-2 Budget 2005 Budget Overview

Special Revenue Funds Park GID Con. Comm. Cnty. Art in Improv. #1 Trust Dev. Blk. Open Pub. Places Loveland Loveland Fund Fund Fund Gnt. Fund Sp. Fund Fund SID #1 URA Total 1,255,350 2,170 2,464,080 - 3,069,730 702,140 1,695,610 1,800 108,199,480

- 623,500 344,100 2,281,620 71,060 586,390 2,540,590 1,612,630 7,550,400 - 2,603,300 388,890 573,000 1,465,160 11,630,660 628,860 21,141,460 58,175,650 31,300 1,158,770 17,500 59,285,040 388,890 31,300 573,000 344,100 1,465,160 71,060 1,158,770 17,500 168,660,100 1,644,240 33,470 3,037,080 344,100 4,534,890 773,200 2,854,380 19,300 276,859,580

104,130 2,457,540 344,100 2,282,660 684,360 1,740,310 6,126,590 6,765,710 8,543,430 2,563,000 2,167,530 310,000 1,432,300 1,863,090 18,713,020 12,703,540 24,500 30,927,010 64,841,890 1,113,500 15,038,150 310,000 24,500 1,432,300 344,100 1,863,090 684,360 1,113,500 - 174,974,510 1,334,240 8,970 1,604,780 - 2,671,800 88,840 1,740,880 19,300 101,885,070

City of Loveland 2-3 Budget 2005 Budget Overview

2005 TOTAL SOURCES OF FUNDS (excluding Interfund transfers)

User Fees Impact Fees Others 7% 6% 3% Intergovernmental 2% Taxes 17%

Beginning Balance Utility Charges 44% 21%

2005 TOTAL USES OF FUNDS (excluding Interfund transfers)

Enterprise Funds 46% Special Revenue Funds 13%

General Fund Internal Services 30% Fund 11%

City of Loveland 2-4 Budget 2005 Budget Overview REVENUE OVERVIEW Property Tax Loveland must comply with the TABOR limitation on property tax revenue (inflation plus local growth). In 1998, voters approved an allowance for the City to keep and spend all property tax revenue over the TABOR limit for the years 1998–2002 for street construction and youth services. In Longmont 2001, voters approved an allowance for the City to keep and spend all property tax revenue Greeley through 2012 for Police, Fire, street construction and maintenance, and parks Fort Collins construction and maintenance. Loveland The 2005 mill levy rate will remain at the 2004 level, which is 9.564 mills. A mill is one–tenth 0246810121416 of one cent. In other words, one mill represents Mill Levy $1 for every $1,000 of assessed property value. The mill levy is multiplied by the assessed valuation of a property to calculate the property tax. The City’s levy has been 9.564 since 1992 and Loveland continues to have one of the lowest city government property tax levies in Northern Colorado. On average, the City collects 97.5% of the total value.

An amendment to the Colorado State City of Constitution requires that a constant Loveland 11.8% relationship between residential and Larimer business property tax revenues be County maintained on a statewide basis. 27.6% Commercial and industrial properties are assessed at 29% and residential properties at 7.96% of their market value. The result is Special for properties of equal value, a business Districts pays over three times as much property tax 3.3% as a residence. School District 57.3% A number of special districts also overlap portions of the City’s boundaries and affect some properties. Loveland’s City government sets only the City mill levy and has no control over mill levies set by other entities. The City of Loveland receives less than 12% of a homeowner’s property tax dollars as shown in the chart above.

Property Tax Levy for the General Fund

2002 2003 2004 Mill Levy 9.564 9.564 9.564 Valuation $ 576,068,500 $ 610,068,180 $ 634,115,927 Net Tax Revenue $ 5,399,330 $ 5,718,000 $ 5,943,390 (98% of Total - County Collection fee is 2%)

City of Loveland 2-5 Budget 2005 Budget Overview

Sales and Use Tax Sales tax is the largest revenue source in the taxes category. Loveland’s current city sales tax rate is 3%. Through July 2004, sales tax collections were 6.4% higher than one year ago. The 2005 sales tax collections are projected to increase by 7.2% Annual Sales Tax Collection over 2004 forecasted revenue. The increase is due to a combination of an increase in 25.0 existing business sales of 5% and an additional $508,000 is projected from the M 20.0 opening of the new Lifestyle Center late in i 2005 and other new development in the l 15.0 Centerra Project. l i 10.0 o Beginning on January 1, 1998, the City n began collecting its sales tax in–house s 5.0 instead of using the services provided by the State of Colorado. This change of collection - procedure yielded an additional month of 97 98 99 00 01 02 03 04 04 05 Bgt Fcst Bgt sales tax in 1997. For an equitable comparison, this additional month is not included in the 1997 figure shown in the annual sales tax collection chart.

Use tax is also 3%, but only applies to building materials and motor vehicles and is distributed the same as sales tax.

Annual Use Tax Collection Use tax collections on building materials are $6.0 projected to decrease by 7%. The decrease is projected, even with the anticipated $5.0 additional revenue from the new Lifestyle M Center, because of a lower rate of increase i $4.0 l in residential construction and a projected lower rate of increase in building valuations. l $3.0 i Collections on motor vehicles are projected o $2.0 to increase by 2% over the 2004 forecast, n which has seen smaller collections than in s $1.0 past years.

$0.0 97 98 99 00 01 02 03 04 04 05 Bgt Fcst Bgt

Other Taxes Liquor occupational tax - The projection is based on the number of businesses that sell liquor in the City; the revenues are very consistent from year to year. Specific ownership tax - A tax paid by owners of motor vehicles in lieu of personal property tax. For 2004, the revenues are projected to increase 3.0%.

City of Loveland 2-6 Budget 2005 Budget Overview Cigarette tax - A tax levied on the wholesaling of cigarettes. This source of revenues varies to a small degree from year to year. Gas franchise tax - A tax levied on the Public Service Company in granting the company the privilege to construct, purchase and operate within the City. The current tax levy is 3% of gross gas revenue. Telephone franchise tax - A tax levied on the telephone company to operate within the City. The levy is adjusted annually based on changes in the consumer price index. Cable television franchise tax - A franchise fee levied on the cable company to operate within the City. The current fee is 5% of the company’s annual gross revenue.

Annual CEF Collections Impact Fees Capital Expansion Fees (CEF) are 10.0 imposed on every additional 9.0 residential dwelling unit, square foot M 8.0 of retail office and institutional i construction, as well as, every acre of l 7.0 l 6.0 industrial development. These fees are intended to cover growth–related i 5.0 o capital costs. The City also imposes n 4.0 System Impact Fees (SIF) on s 3.0 customers who increase utility 2.0 demands that require future facilities 1.0 expansion, such as new water lines, - additional treatment plant capacity, or 97 98 99 00 01 02 03 04 04 05 a new substation. Bgt Fcst Bgt User Fees One of the sources of this revenue is from the Hatfield Chilson Recreation/Senior Center. Through user fees, a substantial part of the cost of operating programs and facilities is borne by those who use them. There are modest fee increases for most Parks and Recreation fees. Other sources of this revenue include golf fees, solid waste fees, and the street maintenance fee.

Interest The cash balances in all funds are invested in interest–bearing investments of maturities appropriate to the projected cash requirements of the funds. In 2005, the projected interest rate is 3.5%.

Intergovernmental Revenues These revenues are received from federal, state and county sources. The largest item is the Highway Users Tax Fund, which is derived from gasoline taxes. Distributions are made to cities based on the number of registered vehicles and number of miles of maintained streets. Legislation requires the City to establish a minimum annual contribution for street maintenance to remain eligible for tax proceeds. The 2005 budget includes an amount which exceeds the minimum requirement, and the tax proceeds are projected to remain steady. Other sources include: road and bridge taxes from Larimer County for road and bridge construction, maintenance and administration; ambulance dispatch service revenues from the Thompson Valley Hospital District; fire dispatch services for the City of Berthoud; the State Highway Maintenance Contract and Traffic Signal Maintenance Contract budgeted according to the stated amount of the contracts; and federal grants for mass transportation.

City of Loveland 2-7 Budget 2005 Budget Overview Utility Charges Water Utility Charges These are revenues generated from the provision of basic utility services. The City provides four 10.0 M 9.0 utility services: water, wastewater, storm water i l 8.0 and power. l 7.0 i 6.0 o Water Utility Charges 5.0 n In 2001, water fees were reduced 33%, due to the s 4.0 early debt repayment. Revenues are projected to 3.0 stabilize in 2004 after the severe drought the 2.0 region experienced in 2003. No fee increases are 1.0 - included in the 2005 budget. 97 98 99 00 01 02 03 04 04 05 Bgt Fcst Bgt

Wastewater Utility Charges

6.0 Wastewater Utility Charges M 5.0 i The wastewater revenues included an 18% increase in l 4.0 the 2002 budget and another 15% increase in 2003 l due to new EPA mandates that effectively reduce the i 3.0 o treatment plant capacity. No fee increases are n 2.0 included in the 2005 budget. s 1.0

- 97 98 99 00 01 02 03 04 04 05 Bgt Fcst Bgt Storm Water Utility Charges

Storm Water Utility Charges 3.5 The storm water revenues included rate increases M 3.0 i of 25% in 2001, and another 25% in 2002, to pay l 2.5 l for federal discharge quality mandates and an i 2.0 accelerated capital program. No fee increases are o 1.5 n included in the 2005 budget. s 1.0 0.5

- 97 98 99 00 01 02 03 04 04 05 Bgt Fcst Bgt Power Utility Charges

35.0 Power Utility Charges The power rates have remained low for the past few M 30.0 i years with no rate increases. Since the early 25.0 l retirement of the Electric Revenue Bonds in 1995, l 20.0 i rates have decreased twice and the utility o 15.0 implemented a power rate reduction in 1999 n s 10.0 resulting in a 6% reduction in revenues. Due to 5.0 increased wholesale costs, a 4.4% average retail rate increase is included in the budget. - 97 98 99 00 01 02 03 04 04 05 Bgt Fcst Bgt

City of Loveland 2-8 Budget 2005 Budget Overview

Utility Others These are revenues generated from sources other than regular utility charges. Some of the examples are wheeling power fees, wholesale water sales and sale of water meters. These revenues are projected based on historical averages.

Other Revenues These are miscellaneous revenues that do not belong to any of the above revenue categories. Revenues such as donations, proceeds on the sale of assets, employees’ contributions to the health and dental plans, and rents are included here.

Transfers Transfers occur between funds to pay for services provided by other departments, for Payments In Lieu of Taxes (PILT) which are charged to all enterprise funds based on a percentage of revenue received, or to combine funds received from different revenue sources within one fund to budget for a capital project.

Fund Balance The beginning fund balance, while not a true “revenue”, is a major source of funding for the 2005 budget. Fund balance is created from monies saved in previous years for specific capital projects or operating contingencies, and revenue received above the amounts appropriated for expenditure. Fund balance will decrease in the 2005 budget. The decline is due to a planned spend–down for capital projects primarily utilizing Impact Fees which have been collected in prior years for growth related projects. The fund balance will continue to decline over the next five years as major capital projects, which are included in the Capital Improvement Plan, are completed.

The 2004 Forecast includes capital projects, which were budgeted in prior years but not completed before 2003 and assumes these, as well as, new 2004 projects, will be completed by year end. This accounts for a portion of the large decline in fund balance between 2004 and 2005. After the year ends, a supplemental budget will be presented to City Council to re-appropriate the ending balances of capital projects remaining incomplete.

City of Loveland 2-9 Budget 2005 Budget Overview EXPENDITURE OVERVIEW Total City Expenses Total Expenses (Including Transfers) The City divides expenditures into account groups to describe how it is spending its funds. The account groups are Personal Services, Capital Debt Service Transfers 25% 1% Supplies, Purchased Services, Fixed Costs, Debt 14% Service, Transfers, and Capital. The personal services group includes all salaries, the City’s contribution towards FICA and retirement Personal accounts, the City’s share of insurance benefits, Fixed Charges Services workers’ compensation costs, and other costs 7% 28% related to compensation and benefit packages. Purchased Supplies The Supplies group includes all office supplies, Services 2% 23% parts and materials necessary to provide the services funded in the budget. The Purchased Services group includes all services provided to the City by outside sources. Examples include telephone service, postage, subscriptions, and contract services. The Fixed Charges group includes insurance premium payments, vehicle rental and maintenance costs, which are paid to the Internal Service Fund, and other rental costs. The Debt Service group includes principal and interest costs associated with any approved debt issues. The Transfer group is for any transfer between City funds. The Capital group is for the purchase of items that cost more than $2,500 and have a useful life of more than one year, and all infrastructure and vertical construction projects.

Of the City’s total budget of $174.9 million, the percentage attributed to each account group is shown above.

Net Total City Budget (Excluding Total Expense (Excluding Transfers) Transfers) For the Total City Budget, the net budget is a more Debt Service Capital 1% Personal accurate indicator of actual City spending. The net 26% budget does not include transfers between funds or Services 33% internal service charges. This is necessary since using transfers and internal service charges double counts some revenues and expenses two and occasionally three times. Supplies Purchased 3% Fixed Charges Services Of the Total Net City Budget of $141.5 million, the 8% percentage attributed to each account group is as 29% shown.

City of Loveland 2-10 Budget 2005 Budget Overview Total Expenses Total City Expenses (Less Transfers (Less Transfers and Purchased Power) and Purchased Power) The Purchased Services percentage in the chart on Debt Service the previous page, for analytical purposes, is 1% Personal overstated. The total Purchased Service cost Capital Services includes the cost of Purchased Power of 37% 37% approximately $24.9 million. This is the cost of electricity that is purchased from the Platte River Power Authority and then distributed and resold to Supplies Purchased 4% the customers of the Power Utility. With Fixed Charges Services purchased power excluded from the net City 9% 12% budget, the percentages attributed to each account group are as shown.

Operating Expenses Operating Expenses (Less Capital, Transfers & Purchased Power) Operating costs make up 52% of the City’s budget and require on–going resources to fund these costs. The total operating costs Fixed Charges Debt Service are shown in the following chart. A 14% 2% discussion of each of the operating expense Personal Services groups follows. Purchased 59% Services 19% Supplies 6%

Personal Services Other As can be seen by the above Personal Services chart, personal services are the Workers' Comp largest expense for City Retirement operations. The City offers a comprehensive compensation F.I.C.A. Taxes package that includes salary, retirement contributions, and Insurance Benefits insurance benefits. Of these Salaries costs, salary is the largest component, at 75% of the total 0% 20% 40% 60% 80% personal services costs.

Salary Costs The City’s pay system can be described as a market based pay plan with budgetary constraints. The pay plan is based upon comparing City of Loveland salaries to other public and private employer salaries in the Northern Colorado area, using data from the Mountain States Employers Council Northern Colorado

City of Loveland 2-11 Budget 2005 Budget Overview Survey and Colorado Municipal League General and Executive Survey. Positions are grouped into pay levels based upon comparative factors of skill, effort, and responsibility. Each pay level has a pay range. The midpoint of each pay range is the average of all salaries paid in other organizations included in salary surveys completed each year. However, an employee’s salary is not automatically raised to reflect range movement. The change in an employee’s salary is determined by a merit evaluation of their work performance. As a guideline, employees who are consistently meeting job standards would be paid a salary within the market level of performance.

Retirement Costs For general employees the City offers a pension plan based on the 401(a) provisions. The City contributes to an employee’s plan on a graduated scale based on length of service. After six months of employment, the City contributes 5% of the employee’s monthly base salary. This percentage is capped at 9% beginning with 21 years of services. The employee is required to contribute 3% of their base salary. An employee, after three years of service, will be vested in the City contribution. The City has separate pension plans for certified Fire employees and Police officers. In both plans, the City contributes 11% of the base monthly salary. In the Fire plan, the employee is required to contribute 9% and Police officers are required to contribute 7%. Fire employees vest in the City contribution after six years of service, and Police officers after five years of service. Employees are also offered a 457 Deferred Compensation Plan, to which they may contribute.

Insurance Benefit Costs The City has self–insured medical coverage with two medical plan options, a Health Maintenance Organization (HMO) and a Preferred Provider Organization (PPO). All employees working 20 hours or more per week are eligible for medical benefits. Full–time employees receive full coverage and part– time employees receive coverage pro–rated depending on the number of hours worked. For employees choosing single coverage, the City contributes 100% of the premium cost. For employees choosing dependent and family coverage, the City contributes 80% of the premium cost. The City also provides dental insurance to employees, with the City contributing 100% for single coverage and the equivalent of single coverage for employees choosing dependant or family coverage. Other insurance costs to the City include coverage for short–term and long–term disability.

Premium costs had been relatively flat until 2001 when we experienced an increase in claims costs of over 14%. In 2002, we experienced a 16.5% increase, and in 2003 and 2004, an 18% increase. In 2005, due to changes in the benefit plan, claims cost increases are expected to be significantly lower.

Workers’ Compensation Workers’ compensation premium costs and claims are managed by the Risk Management Division, and budgeted in the Risk and Insurance Internal Service Fund. Workers’ compensations costs are then charged to each department based on the department’s claims history and forecast liability costs. The total cost for the City is anticipated to increase 20% in 2005.

Supplies Safety and Training Supplies Six percent of the operating budget is for Software supplies. Operating supplies such as parts, tools and equipment, paint, landscaping material, and Other street materials are 87% of this cost. Office Office supplies & equip. supplies and equipment are 7%, with the Operating supplies

0% 20% 40% 60% 80% 100% City of Loveland 2-12 Budget 2005 Budget Overview remainder in computer software, training and safety supplies, and other miscellaneous supplies.

Purchased Services This account group is for services provided by sources outside the City and is 19% of the operating budget. The two largest categories within this account group are contract and professional services and street rehabilitation. Contract and professional services is 27% of the total purchased services and includes payments for custodial services, engineering services, attorney services, and other contractual services.

Street rehabilitation is 19% of the total for Food Sales Tax Refund this category. The Street Rehabilitation Economic Development Program is for resurfacing or the Purchased Services reconstruction of existing streets. In past Human Relations Grants years, streets were scheduled for resurfacing every 10 years. The City Training & Travel Council adopted a new street maintenance Gen eral Liab fee in 2001 that is charged to all residential and commercial properties within the City Fees and Assessments limits. The revenue from this program

Postage, Tel & Print allows the scheduled resurfacing to be moved up to every seven years. Other Other significant components of this Utilities account group are the charges for repair Repair & Maintenance and maintenance (13%), general liability costs (5%), postage, telephone and printing Street Rehab (8%), and electric, water, sewer, gas and

Contract and Prof Svcs landfill charges (12%).

0% 5% 10% 15% 20% 25% 30% 35%

Fixed Costs Fixed charges are 14% of the operating budget and are comprised primarily of insurance premiums and claims, and vehicle maintenance and rental charges. Seventy-six percent of the fixed costs are for insurance fees and premiums, insurance deductibles, and insurance claims, which are managed through the Employee Benefit Bld. & Other Rent Internal Service Funds and Risk and Insurance. Twenty- Employee Programs Fixed Costs one percent of the Fixed Cost group is for vehicle Insurance Deductable maintenance and rental Insurance Fees & Premium charges. The remainder of the costs is for employee Vehicle programs and building and equipment rentals. Insurance Claims

0% 10% 20% 30% 40% 50% 60%

City of Loveland 2-13 Budget 2005 Budget Overview

Debt Service This account group is for repayment on all bonded debt or any lease–purchase agreements and is 2% of the operating budget. All bonded debt is in the Golf Enterprise Funds. In 2001, the City paid the Water Enterprise general obligation bonded debt off early with fund balance. A fund balance reserve with the full amount of the revenue bond debt in Water has been established to pay the raw water bonds for the Windy Gap Project.

The Golf debt will be retired in 2010.

City of Loveland 2-14 Budget 2005 Budget Overview FUND SUMMARIES The following four tables present revenue and expenditure summaries by departments/divisions for the four main fund types: the General Fund, Enterprise Funds, the Internal Services Fund, and Special Revenue Funds. These summaries are in gross budget form. Explanations for expenditure variances and detailed information regarding each department/division can be found in the Operating Summary section. General Fund

2003 2004 2005 % Change Actual Forecast Budget 2004-05 REVENUE Beginning Balance 13,221,700 15,998,000 11,501,800 Taxes 33,776,531 36,882,230 38,516,600 4.4% Licenses & Permits 1,601,825 3,050,700 2,151,930 (29.5%) Intergovernmental 3,607,881 3,907,370 3,669,820 (6.1%) Charges for Service 3,593,781 3,608,500 3,934,130 9.0% Fines & Penalties 620,173 610,630 615,900 0.9% Interest 445,696 350,010 400,000 14.3% Miscellaneous 409,611 323,370 409,120 26.5% Transfers 2,648,965 2,992,700 3,238,290 8.2% Total Revenue 46,704,463 51,725,510 52,935,790 2.3% Total Resources 59,926,163 67,723,510 64,437,590

APPROPRIATIONS Legislative 94,944 102,030 104,130 2.1% Executive/Legal 1,892,730 2,174,900 2,208,790 1.6% Community Services 1,397,290 1,869,650 1,882,560 0.7% Cultural Services 934,647 998,780 1,031,710 3.3% Finance 355,208 385,000 517,390 34.4% Fire & Rescue 5,072,226 5,782,820 6,405,160 10.8% Parks & Recreation 5,167,009 5,568,610 5,900,280 6.0% Police 10,862,712 12,037,790 12,473,530 3.6% Public Works 6,771,250 7,056,110 7,720,860 9.4% Non-Departmental 10,342,857 19,603,660 13,814,650 (29.5%) Equipment Replacement 1,037,284 642,360 1,011,800 57.5% Total General Fund 43,928,157 56,221,710 53,070,860 (5.6%)

Ending Balance 15,998,006 11,501,800 11,366,730

City of Loveland 2-15 Budget 2005 Budget Overview GENERAL FUND The General Fund is where most City services to the public are budgeted. These services include City administration and legal services, police and fire protection, parks, recreation, cultural activities, street maintenance and repair, mass transportation, and development review and regulation. By transferring revenues to other funds, the General Fund is also the primary funding source for the Loveland Public Library. The Internal Support Service Fund provides administrative services and facility maintenance for the General Fund Departments and the Capital Projects Fund provides vertical construction, large building maintenance projects, road projects, major equipment purchases, and information technology improvements.

Nearly three quarters of the funding for these services is through taxes, primarily sales and use taxes. The other funding sources are State revenue sharing through motor vehicle fees, road and bridge taxes, federal grants, user fees, various licenses and permits, fines, and payments from all enterprise funds as payment in lieu of taxes that would have been collected if these enterprises were private operations.

General Fund revenues are anticipated to increase 2.3% over the 2004 forecast. The major sources of the increase are sales and use taxes. Growth in retail sales and auto sales will be moderate reflecting the slow return of the economy. Building permit revenue is anticipated to decrease in the coming year due to two major hospital projects permitting in 2004; however permit activity for residential and commercial property is expected to remain steady.

The services provided by the General Fund are labor intensive. When transfers are excluded, personal services account for over 70% of General Fund expenditures. Another 18% is in purchased services, primarily for outsourcing the street rehabilitation program. The remaining expenses are for supplies, vehicle maintenance and replacement, and other equipment replacement.

Transfers account for 30% of the General Fund expenses. Sixty-five percent of the transfer expense is to the Library Fund and the Internal Service Fund, both of which are also labor–intensive services. Twenty-six percent of the transfer expense is for capital projects with the remaining expenses for transfers to the Wastewater Enterprise for the first of two payments to reimburse the fund for development incentives on the east side of town, to the Capital Expansion Fee (CEF) fund as part of the Council’s Economic Incentive Program, and for payments to the Water and Power enterprises for the expense of billing the street maintenance fee.

Within the ending balance are several reserves, some of which are restricted. The reserves include: the Emergency Reserve required by the TABOR amendment to the State Constitution; the balance of revenues which are over the TABOR revenue limitations, the Council Capital Reserve; a contingency reserve; an equipment replacement reserve; and an unfunded liability reserve. The amount of each reserve is listed below. The remainder of the ending fund balance is unrestricted, to be used for future operating costs and/or as a hedge against a sudden, unexpected decline in the economy and exceeds the policy of having the unrestricted balance equal 6% of revenue.

City of Loveland 2-16 Budget 2005 Budget Overview

TABOR Emergency Reserve 1,474,810 TABOR Revenue Over Revenue Cap 2,354,200 Council Capital Reserve 3,564,890 Council Contingency Reserve 100,000 Equipment Replacement Reserve 250,000 Unfunded Liability Reserve 125,000 Unrestricted Balance 3,497,830

The TABOR Emergency Reserve is one of the requirements included in the TABOR Amendment to the State Constitution. Three percent of the total operating expenses must be reserved, and can only be appropriated by an ordinance declaring an emergency.

The TABOR Revenue Reserve is for revenues over the TABOR revenue limitations. The $2,354,200 is the balance of revenues over the limitation that has not yet been appropriated by Council. The reserve is limited, by the ballot language, to Police and Fire, Street Construction and Maintenance, and Parks Construction and Maintenance.

The Council Capital Reserve, originally established by ordinance, required 10% of all tax revenue below the TABOR revenue limitations be set aside for capital projects. This reserve has primarily been used for the annual payment of the sale/leaseback arrangement used to fund the new Loveland Larimer Police and Courts Building. The ordinance will sunset in 2004. For 2005, Council has passed an ordinance reestablishing the reserve for another five years, changing the set aside requirement to 5% of all tax revenue below the TABOR revenue limitations, and continuing the restriction requiring funds be used for capital projects.

The Council Contingency Reserve is included each year for small projects that could not be foreseen in the budget development process. The Equipment Replacement Reserve is a contingency against a significant equipment failure. The Unfunded Liability Reserve is a contingency against a significant increase in staff turnover. As policy, employees are paid for vacation time and in some cases a portion of sick leave time that is unused at the time they leave City employment.

City of Loveland 2-17 Budget 2005 Budget Overview Enterprise Funds

2003 2004 2005 % Change Actual Forecast Budget 2004-05 REVENUES Beginning Balance 93,954,251 82,769,450 50,309,790 Impact Fees 7,398,612 4,711,000 6,443,000 36.8% User Fees 7,074,369 7,308,200 7,549,450 3.3% Interest 1,684,230 1,318,460 1,659,400 25.9% Others 97,637 35,100 37,240 6.1% Transfers 1,368,470 1,803,100 1,010,450 (44.0%) Utility Charges 41,352,053 44,598,000 49,046,800 10.0% Utility Other 1,246,966 2,268,500 3,759,400 65.7% Total Revenue 60,222,336 62,042,360 69,505,740 12.0% Total Resources 154,176,587 144,811,810 119,815,530

APPROPRIATIONS Golf 3,013,852 3,987,310 3,738,240 (6.2%) Power 33,072,663 36,213,340 38,943,830 7.5% Solid Waste 3,205,276 3,463,690 3,740,190 8.0% Storm Water 2,719,063 7,932,600 4,009,180 (49.5%) Wastewater 10,099,248 13,192,700 9,345,000 (29.2%) Water 19,297,033 29,712,380 18,944,230 (36.2%) Total Enterprise Funds 71,407,137 94,502,020 78,720,670 (16.7%)

Ending Balance 82,769,450 50,309,790 41,094,860

City of Loveland 2-18 Budget 2005 Budget Overview ENTERPRISE FUNDS Enterprise funds by law are required to be self–supporting. The TABOR amendment limits the amount of tax subsidy to 10% of the total operating cost. City of Loveland enterprise funds do not have any subsidy currently, and are entirely funded by user fees. Details of the operating costs for each fund are in the Enterprise Fund Chapter of the Operating Section. The capital projects for each fund are included in the Capital Improvement Plan Chapter.

The Golf Enterprise Fund manages the three City–owned golf courses. The main source of revenues is from user fees paid by patrons of the golf courses. The fee schedule is set to recover all operating and capital costs involved in the operation of the three courses.

The Power Enterprise Fund includes all costs, operating, purchased power, and capital, associated with distributing electricity to City residents and business. The City of Loveland has the third lowest rate for electricity of all providers within Colorado. A rate increase of 4.4% is proposed to pass through increased wholesale costs to the utility.

The Solid Waste Fund includes all costs, operating and capital, associated with the collection and disposal of the City’s solid wastes and manages a contract for mosquito control services. The fund is administered by the Public Works Department. The City of Loveland has been nationally recognized for the success of the “Pay As You Throw” Program and the high rate of materials recycled and removed from the waste stream.

The Water Enterprise Fund includes all costs, operating and capital, associated with providing the City with an adequate supply of water. The City of Loveland has the third lowest rate of all providers in our surrounding region.

The Storm Water Enterprise Fund includes all costs, operating, and capital, associated with treating the City’s storm water runoff and returning clean usable water to downstream users. The fund is administered by the Public Works Department to more closely align the storm water management with street construction and maintenance.

The Wastewater Enterprise Fund includes all costs, operating and capital, associated with treating the City’s wastewater and returning clean usable water to downstream users.

The Water and Power Department administers the Water Enterprise Fund, the Wastewater Enterprise Fund, and the Power Enterprise Fund. The consolidation of these three enterprises under one department results in administrative savings for each enterprise.

City of Loveland 2-19 Budget 2005 Budget Overview Internal Service Funds

2003 2004 2005 % Change Actual Forecast Budget 2004-05 REVENUES Beginning Balance 10,188,711 10,158,280 10,423,570 Charges for Service 1,463,189 1,821,630 2,080,230 14.2% Intergovernmental 89,881 - - - Interest 151,263 306,150 311,160 1.6% Miscellaneous (11,445) 51,630 20,000 (61.3%) Transfers 7,867,437 7,201,830 8,020,660 11.4% Internal Service Charges 7,780,292 8,394,950 9,824,210 17.0% Total Revenue 17,340,617 17,776,190 20,256,260 14.0% Total Resources 27,529,328 27,934,470 30,679,830

APPROPRIATIONS Employee Benefits 5,276,663 5,935,950 7,427,570 25.1% Internal Support Services 6,971,182 7,430,780 8,158,340 9.8% Fleet Services 4,102,178 2,489,760 2,608,800 4.8% Risk & Insurance 1,021,019 1,654,410 1,763,110 6.6% Total Internal Services Fund 17,371,042 17,510,900 19,957,820 14.0%

Ending Balance 10,158,287 10,423,570 10,722,010

City of Loveland 2-20 Budget 2005 Budget Overview INTERNAL SERVICE FUNDS The Internal Service Funds provide general administrative services, benefits and risk administration, and fleet maintenance and replacement. Funding for these funds is from transfers from the General Fund and Enterprise Funds, internal service charges, and, in Fleet Services, payments from the Thompson Valley School District R1 for maintenance for the School district’s fleet. Detailed expenses for the divisions in these funds are in the Operating Section under the Finance, Human Resources and Public Works departments.

The Employee Benefit Fund, administered by the Human Resources Department, is for management of the City’s self–insured benefit program. Revenues for the fund are from internal service charges in each department’s budget, which covers 80% of the benefit cost, and payments by the employees for the remaining 20% of the cost. Expenses are for medical and dental claims, purchased insurance for protection beyond a certain limit for individual cases and total claims, disability insurance costs, and administration costs.

The Internal Support Services Fund provides general administrative services, information technology services, and facility and grounds maintenance. A summary of the Internal Support Services Fund is in the Other Funds Chapter on page 19–11.

The Fleet Services Fund provides vehicle maintenance and replacement of the City fleet. Revenues for the fund are from internal service charges in each department’s budget based on the amortization of existing vehicles, forecasted maintenance costs, and a payment from the Thompson Valley School District for maintenance of the District’s fleet. Reserves are carried within the fund for future vehicle replacement. The City does not use a fully funded replacement plan, but a revolving fund philosophy. The reserves are established to ensure the solvency of the fund over a 10–year period. The Finance Department manages the Fleet Replacement Fund and the Public Works Department manages Vehicle Maintenance.

The Risk & Insurance Fund is administered by the Finance Department. The City is self–insured for general liability and workers’ compensation insurance, with purchased insurance for coverage over certain limits. Revenues for the fund are from internal service charges within each department’s budget, based on the individual department’s rolling five-year claims history and the forecast insurance costs. The Risk Management Division also administers the City’s Safety Program, to reduce workers’ compensation liability, and provides assistance for environmental issues and federal compliance to the departments.

City of Loveland 2-21 Budget 2005 Budget Overview Special Revenue Funds

2003 2004 2005 % Change Actual Forecast Budget 2004-05 REVENUE Beginning Balance 40,546,153 44,337,400 35,964,320 Property Tax 21,730 32,800 48,000 46.3% Other Tax 3,103,248 2,513,100 2,539,870 1.1% Intergovernmental 935,163 1,856,420 845,340 (54.5%) Impact Fees 9,522,042 8,609,000 9,622,440 11.8% User Fees 127,162 141,230 140,940 - Interest 735,696 504,250 989,050 96.1% Others 630,836 392,110 414,000 5.6% Transfers 10,297,657 26,657,520 11,362,670 (57.4%) Total Revenue 25,373,534 40,706,430 25,962,310 (36.2%) Total Resources 65,919,687 85,043,830 61,926,630

APPROPRIATIONS Art in Public Places 108,727 101,080 684,360 577.0% Capital Expansion Fees 7,293,772 14,620,380 6,697,640 (54.2%) Capital Projects 8,709,892 25,505,150 8,588,140 (66.3%) Community Dev. Block Grant 352,000 344,650 344,100 (0.2%) Conservation Trust 333,200 1,902,040 1,432,300 (24.7%) County Open Space 1,605,295 1,174,230 1,863,090 58.7% Library 1,890,516 2,048,540 2,167,530 5.8% Loveland GID #1 15,240 149,500 24,500 (83.6%) Parks Improvement - 482,230 310,000 (35.7%) Loveland SID #1 1,273,654 2,751,710 1,113,500 (59.5%) Total Special Revenue Fund 21,582,296 49,079,510 23,225,160 (52.7%)

Ending Balance 44,337,391 35,964,320 38,701,470

City of Loveland 2-22 Budget 2005 Budget Overview SPECIAL REVENUE FUNDS The Special Revenue Funds are for programs that, by Council policy, have dedicated revenue sources, and with the exception of the Library Fund and Community Development Block Grant (CDBG) Fund, are primarily capital in nature. For detail on the projects within these funds, see the Capital Improvement Plan Chapter near the back of the book. For detail on the Library and CDBG, see the Community Services Department and Library Department Chapters in the Operating Summary Section. The Other Funds Chapter contains detailed explanations of the expenses in the other special revenue funds.

The Art in Public Places Fund is to budget for art acquisition and maintenance. By City Ordinance, 1% of the cost of all construction projects over $50,000 is deposited into the fund.

The Capital Expansion Fee Fund (CEF) is where all impact fees are budgeted. Only capital projects that are fully funded by CEFs are budgeted as expenses in the fund. Projects that are partially funded by CEFs are budgeted in the Capital Projects Fund by transferring funds to the Capital Projects Fund. This method allows for a full accounting of all impact fees collected and their use.

The Capital Projects Fund is where all vertical construction, non–enterprise infrastructure, major building maintenance projects, and major equipment purchases for General Fund agencies are budgeted. The funding sources for the fund are primarily transfers from the General Fund and the Capital Expansion Fee Fund. This allows for the full cost of a project to be budgeted, when the funding for the project is from different sources.

The Community Development Block Grant Fund is for federal funds the City receives from the U.S. Department of Housing and Urban Development. Loveland is an entitlement city, which allows the City to receive funds each year without reapplication. Currently, the funding is directed towards affordable housing needs in the community.

The Conservation Trust Fund is for park and recreation projects funded by Colorado Lottery funds. Expenses are for the construction and maintenance of the recreational trail, which on completion, will circle the City. Lottery funds previously provided a portion of the funding for construction of the Hatfield–Chilson Recreation Center and are used as one funding source for the construction of the new Youth Athletic Complex.

The County Open Space Fund is for the City’s share of revenue from the County Open Space Sales Tax. The funding is for the purchase and maintenance of open land for the City.

The Library Fund is for all operational and capital costs incurred by the City of Loveland Public Library. Ninety-three percent of the revenue for the fund is from a transfer from the General Fund. Eighty -two percent of the expenses in the fund are for personal services, with the remaining percent being operating costs at the Library.

The Loveland General Improvement District (GID) #1 is a special district established with its own mill levy to maintain downtown public parking lots and street amenities.

The Park Improvement Fund is for the replacement of park amenities and infrastructure, such as shelters, pump stations, or other similar amenities or equipment. Revenue sources for the fund are park shelter use fees, ball field and tennis court rentals, and county fees collected within the Urban Growth Area.

City of Loveland 2-23 Budget 2005 Budget Overview Fund Balance Summary

2004 2005 Ending Balance Ending Balance General Fund 11,501,800 11,366,730

Internal Services: Employee Benefits 307,240 430,070 Internal Support Services 383,400 287,650 Fleet Services 4,688,070 5,183,610 Risk & Insurance 5,044,860 4,820,680 Total 10,423,570 10,722,010

Special Revenue: Capital Projects 357,210 357,210 Library 250,760 250,760 Capital Expansion Fees 25,869,390 30,319,730 Local Improvement 296,080 304,960 Parks Improvement 1,255,350 1,334,240 Loveland GID #1 2,170 8,970 Conservation Trust 2,464,080 1,604,780 Opens Space Sales Tax 3,069,730 2,671,800 Art in Public Places 702,140 88,840 Loveland SID#1 1,695,610 1,740,880 Loveland URA 1,800 19,300 Total 35,964,320 38,701,470

Enterprise: Golf 1,085,900 825,790 Water 33,162,250 25,966,100 Wastewater 3,226,410 2,117,670 Stormwater 1,345,660 1,377,020 Power 9,674,530 8,922,010 Solid Waste 1,815,040 1,886,270 Total 50,309,790 41,094,860

Total All Funds 108,199,480 101,885,070

City of Loveland 2-24 Budget 2005 Budget Overview STAFFING LEVELS This table represents a comparison of positions that are authorized in the budget for all funds from 2003 to 2005. The summary includes all full–time and part–time benefited positions, but does not include temporary or non–benefited positions.

FTE Revised Budget Change Department 2003 FTE 2004 FTE 2005 2004-05 Executive & Legal 18.0 18.3 18.0 (0.3) Community Services 23.5 25.5 25.5 - Cultural Services 11.3 11.3 11.3 - Finance 6.0 6.0 7.5 1.5 Fire and Rescue 53.0 61.8 61.8 - Parks and Recreation 57.4 58.0 59.0 1.0 Police 124.0 124.0 124.0 - Public Works 47.4 46.4 49.4 3.0 TOTAL GENERAL FUND 340.6 351.3 356.5 5.2

Finance 16.6 16.6 17.6 1.0 Public Works/Facilities Mgt. 20.8 20.8 20.8 - Human Resources 10.6 10.6 10.6 - Information Technology 17.5 17.3 20.7 3.4 Parks/Public Ground Maint. 2.2 2.2 2.2 - Public Works/Vehicle Maint. 14.7 14.7 15.2 0.5 TOTAL INTERNAL SVC. FUND 82.4 82.2 87.1 4.9

Parks & Recreation/Golf 16.5 16.5 16.5 - Public Works/Solid Waste 23.7 23.7 23.7 - Public Works/Storm Water 10.3 10.8 12.1 1.3 Water & Power 121.5 122.0 122.0 - Finance 33.0 33.0 34.0 1.0 TOTAL ENTERPRISE FUNDS 205.0 206.0 208.3 2.3

Parks/Conservation Trust 1.0 1.0 1.0 - Community Dev. Block Grant 1.0 0.7 1.0 0.3 Library 28.5 28.5 28.5 - Parks/Open Space Sales Tax Fund 2.0 2.2 2.2 - TOTAL OTHER FUNDS 32.5 32.4 32.7 0.3

Total City Employees (FTE) 660.5 671.9 684.6 12.7

City of Loveland 2-25 Budget 2005 Budget Overview DEBT SERVICE & FINANCIAL OBLIGATIONS Payments on all of the City of Loveland’s long–term obligations are included in debt service. This includes revenue bonds and lease purchase agreements. Also included are the City’s obligations for debt issued by other entities for the Windy Gap project.

Outstanding bonds as of December 31, 2003, totaled $1,435,000 for golf course construction. All bonds are considered to be self–supporting with revenues providing for adequate debt service coverage.

Currently, the City’s revenue bonds are rated as follows: Moody’s Investors Service A1 Standard and Poor A+

The City also has a number of lease–purchase agreements for equipment or facilities. In general, the agreements were entered into because it was possible to borrow at a lower rate than that earned on the City’s cash investments. Payments are made as part of operating budgets. Because of our financial planning practices and because the amounts are small, they do not adversely affect other parts of the operating budgets.

Legal Debt Limit The City of Loveland is a home rule city. The Colorado Revised Statutes provides that general obligation indebtedness for all purposes shall not at any time exceed 3% of actual value, as determined by the County Assessor, of the taxable property in the City. The exception is debt that may be incurred in supplying water. The City’s debt is within the legal debt limit as demonstrated by the table below:

Computation of legal debt limit 2004 actual value 4,904,742,260 Debt limit: 3% of actual value 147,142,270 Amount of bonded debt applicable to debt limit –0–

City of Loveland 2-26 Budget 2005 Budget Overview Bond Issues Balance——————Payments Due——————––––Maturity 12/31/03 2004 2005 2006 2007 Date Revenue Bonds: Raw Water (1) — 838,150 838,150 838,150 838,150 2017 Golf Course (2) 1,435,000 243,105 245,318 244,987 247,832 2010 Bond Total 1,435,000 1,081,255 1,083,468 1,083,137 1,085,982

Notes: 1 The Municipal Subdistrict of the Northern Colorado Water Conservancy District holds the debt for the Windy Gap project. Loveland is responsible for 1/12 of the payments. 2 The City of Loveland refunded the original Golf Course C.O.P.s with revenue bonds on Sept. 15, 1998.

Combined Bond issues 1.5

M i l 1.0 l i o n 0.5 s

0.0 20 20 20 20 20 20 20 20 20 20 20 20 20 20 04 05 06 07 08 09 10 11 12 13 14 15 16 17

Go lf Water

Lease Purchases Total Max Last ------Payment Due------Payment Payment 2004 2005 Liability (1) Date Lease Purchases: Library computer system 51,605 57,750 299,377 2009 Police Radios 104,605 104,605 304,300 2007 Golf GPS System 41,685 71,460 453,147 2012 Total 197,895 233,815 1,056,824

Note: (1) This is the total payment liability from 2004 to the end of the payments.

City of Loveland 2-27 Budget 2005 Budget Overview TABOR REVENUE In 1992, Colorado passed a State Constitutional Amendment, known as TABOR, which imposed tax and spending limitations on governmental entities. In 1994, Loveland citizens approved a ballot issue authorizing the City to receive and expend all revenues generated from 1993 through 1997, thus waiving the limits of TABOR. In the 1999 election, the voters again authorized the City to receive and expend all revenues generated from 1998 through 2002. The 1999 ballot issue stipulated that these monies are to be spent on street construction and youth services. In 2002, voters once again, authorized the City to receive and expend all revenues generated from 2003 through 2012. This ballot issue stipulated that these monies be spent on Police and Fire, street maintenance and construction, and park maintenance and construction.

Revenues Above TABOR Limit 1993 actual revenues above TABOR limit 114,463 1994 actual revenues above TABOR limit 1,180,256 1995 actual revenues above TABOR limit 1,181,686 1996 actual revenues above TABOR limit - 1997 actual revenues above TABOR limit 2,517,635 1998 actual revenues above TABOR limit 1,626,070 1999 actual revenues above TABOR limit 2,073,130 2000 actual revenues above TABOR limit 2,473,658 2001 actual revenues above TABOR limit 2,551,061 2002 actual revenues above TABOR limit 2,452,548 2003 actual revenues above TABOR limit 1,307,281 2004 projected revenues above TABOR limit 3,776,479 2005 projected revenues above TABOR limit 2,081,168 Total Revenue 23,335,435

*NOTE: Please see next page for total list of projects.

City of Loveland 2-28 Budget 2005 Budget Overview Projects: Land Acquisition (1995,1996) 486,896 Fire Apparatus (1995,1996) 443,879 Street Rehabilitation (1995,1996) 500,000 Open Space Studies (1995,1996,1997) 98,543 Police Overhires (1995) 57,600 Fire Station 1 and 5 Studies (1996,1997) 50,000 Police and Fire Vehicles (1996,1997) 115,195 Fire Station 5 and Equipment (1997,1998) 425,210 Police Vehicles and Equipment (1997) 84,010 Public Safety Radio Communication System (1998) 1,500,000 Streets (1998) 160,000 Public Safety Computer System (1998) 744,000 Streets Grant Match (1999) 286,000 Emergency Notification System (1999) 32,020 Fire Equipment (1999) 10,687 Boyd Lake Avenue Bridge Reconstruction (2000 Budget) 200,000 Swimming Pool at Mountain View High School (2001 Budget) 2,900,000 Street Construction Projects (2001 Budget) 760,000 Street Rehabilitation and Maintenance (2001 Budget) 820,000 City/School Playground Development (2001 Budget) 25,000 Street Construction Projects (2002 Budget) 369,157 Street Rehabilitation and Maintenance (2002 Budget) 848,700 City/School Playground Partnership (2002 Budget) 25,000 Youth Sports Athletic Complex (2002 Budget) 2,800,000 Street Rehabilitation and Maintenance (2003 Budget) 1,545,170 Street Construction Projects (2003 Budget) 320,830 Street Rehabilitation and Maintenance (2004 Budget) 974,800 Street Construction (2004 Budget) 1,000,000 Street Rehabilitation and Maintenance (2005 Budget) 1,023,540 Fire Apparatus Replacement (2005 Budget) 275,000 Fairgrounds Renovation (2005 Budget) 100,000 Street Construction (2005 Budget) 2,000,000 Total Projects 20,981,237

Balance 2,354,198

City of Loveland 2-29 Budget 2005 10-YEAR FINANCIAL PLAN

As a Chicago native, Gene graduated from the University of Illinois at Champaign- Urbana with a degree in horticulture. After serving in the US Army in Okinawa during the Vietnam War, Gene returned home and worked for a wholesale horticultural firm.

After leaving Chicago, Gene and his partners purchased Plants n’ Things (now named Loveland Garden Center) in south Loveland. They chose Loveland because of the climate, the people and the growth rate in 1979. They operated the garden center until 1992 and Gene continues to serve as a member of the Colorado Greenhouse Growers on its board of directors. The Loveland Chamber ambassadors got them involved in the Chamber and local city government. The people he met and worked with helped him gain a true understanding of the issues that confronted small business, the city and the region.

Gene began participating on several committees, such as: the Beautification Committee, that funded improvements on Lake Loveland. He’s served on the Open Gene Pielin Space Committee where a new open space plan was created and is still used today. He served on the Loveland Chamber of Commerce when large donations were made towards a new Chamber building and Gene believes without the generosity of these families, the City might not have a new Chamber building today. While serving on the Planning Commission, Gene learned about development codes and ordinances and the general shaping of our community. From there he ran for City Council and thanks to the support of thousands of Loveland citizens, he is serving his second full term. He currently serves on the Library Board, the Open Space Committee, the Housing Authority, the Loveland Chamber Board, and other ad hoc committees. Loveland holds a special place for Gene. He found out early on that an involved citizen can make a difference and voices and votes do count. He believes none of his accomplishments would be possible without the help and support of his family, friends, and supporters. We have a dynamic City which will continue to grow and Gene hopes to see you on a committee, at a youth event, at the Rialto, or in our Council Chambers.

Walt’s public service contributions to the City of Loveland and the State of Colorado during the past 44 years comprise an outstanding background of achievements and a host of awards and honors to numerous to list due to space limitations. From Walt’s viewpoint, it is more pertinent to present his biographical credentials based on what he thinks and has done to work with others concerned about the future destiny of our city, state and nation.

Walt’s lifelong passion for forthright and responsible approaches to solving people problems is some of the many reasons he has been so successful in the world of business. He is often recruited as counsel to top government, business and educational leaders.

Walt is a military veteran and served during the Korean War. He was President of the Loveland Chamber of Commerce in 1971.

Walt retired from Hewlett-Packard and Agilent in 1999 concluding a 37-year technical engineering career as HP’s Global Events Manager. As City Councilman, Walt is council liaison for seven City Boards and commissions. He serves on the Colorado Municipal League Taxation Committee and is Vice- Chairman of the National League of Cities taskforce panel on Municipalities Transition on Community and Regional Development.

Walt is married and will soon celebrate his 36th wedding anniversary with his Walt Skowron bride Beverly. His hobbies include global travel, landscape gardening, pro-bono elder financial planning, deep-sea fishing and raising Japanese KOI fish. 10-Year Financial Plan 10-YEAR FINANCIAL PLAN OVERVIEW The City of Loveland Charter requires, as a part of the budget submission, a five-year capital plan. The Capital Improvement Plan Chapter of this document satisfies this requirement. As policy, staff has expanded this requirement and develops a 10-Year Operating and Capital Plan, or the 10-Year Resource Allocation Plan.

The plan is intended to be a living document, and is updated at least on an annual basis attempting to integrate the City of Loveland Land Use Master Plan and Departmental Master Plans. The plan is used for discussions with Council on policy priorities at the beginning of the budget process, and provides a long term planning tool for the City departments for service development. It also provides an estimate of when revenues will be available for service increases or improvements. The plan is designed to insure that operating revenues for new services, or new capital expansions, will be available in future years to maintain the new buildings or equipment or operate the expanded service after they have come on-line.

What is a 10-Year Resource Allocation Plan? ¾ It is a multi-year planning instrument that enables the City to look to the future, and, based on emerging issues and trends, to direct its resources to meet specific and achievable goals. ¾ It encompasses the policy direction and priorities of Council. ¾ It projects resources for the next 10 years and forecasts compliance with the TABOR (Amendment 1) restrictions. ¾ It is a living document that enables management and Council to make funding decisions for service delivery and capital requests in a more predictable manner. ¾ It is a flexible guide to the future revenues and expenditures in the City. ¾ It is the basis for the development of future budgets. ¾ It notifies Council when projected revenues are insufficient to cover the projected expenses for priority projects. In order to balance the budgets, Council can make decisions based on a combination of the following options: ƒ Cut projected operating or capital expenses by a critical review of departmental budgets. ƒ Move projects or services funded in the plan to later years. ƒ Increase revenue by increasing taxes or fees or enacting new taxes or fees. ƒ Reduce the amount of required reserve. ƒ Adjust the assumptions used in the forecast model.

The Special Revenue Funds are primarily capital in nature with dedicated funding sources, with the exception of the Library Fund. The Library Fund is funded primarily by a transfer from the General Fund. Increases to Library funding are accounted for in the Non-Departmental line of the General Fund Forecast.

The Internal Service funds are funded in a similar fashion, but include transfers from the Enterprise Funds, as well as, the General Fund. The General Fund portion of the increase to these funds appears in the Non-Departmental line. Due to the fact that the Enterprise Funds utilize their own funding sources and are balanced, only the General Fund portion is discussed in this document.

Council does not formally adopt the 10-Year Resource Allocation Plan. However, through discussions with the Council, conceptual approval of the future years is obtained to ensure the plan meets Council priorities and goals. Since this is a living document, the plan may change significantly from year to year, due to changes in the local economy that will impact the revenue stream, changes in Council policies or

City of Loveland 3-1 Budget 2005 10-Year Financial Plan goals, or legislative changes at the state and federal level that impact service provisions or available revenues.

City of Loveland 3-2 Budget 2005 10-Year Financial Plan GENERAL FUND OVERVIEW Forecast Assumptions The forecast of the Consumer Price Index (CPI) and Local Growth Factor used for the TABOR limit are based on the historical average the City has experienced. Actual amounts are not known until the month of March following the end of an individual fiscal year. The amount for the CPI is 2.5% in 2005 through 2008, and 3.0% for the remaining years. The local growth factor is 4.13% in 2005 based on the property valuations from the County Assessor, 4.1% in 2006, 6.3% to reflect the Lifestyle Center’s entry on the tax roles, and 4.1% for the remaining years, which is the City’s historical average.

Revenue Assumptions General Fund: ¾ By State law the Property Assessor is required to reassess all property values every two years to meet the requirements of the Gallagher Amendment to the State Constitution. Historically, the City has experienced growth in assessments of 5.8% in non-reassessment years and 13.6% in reassessment (Gallagher) years. The property tax revenues assume the millage rate will remain the same throughout the plan and revenues will increase by the same amount as the property assessments. ¾ The City’s sales tax base for 2005-2014 increases at a rate of 5.0%. ¾ The sales tax projections for the Lifestyle Center and the Centerra developments are based on the sales per square foot shown in the Master Financing Agreement between the City and the developer. ¾ All other taxes and user fees increase 3.5% for 2005-2014. ¾ PILT increases are projected at 3.3% for most years in the plan. ¾ Interest is calculated at 3.5% of the beginning balance adjusted to assume that the combined TABOR and Council reserves will not exceed $10 million, based on the current investment instruments held by the City, for 2005-14. ¾ The TABOR excess projections are preliminary and will vary depending on the CPI and local growth percentage for each year and actual revenues.

Expense Assumptions ¾ 2005 is the adopted budget for the departments. ¾ Department base budgets are increased 4.5% from the 2005 adopted amount. ¾ Included in the 2005 operating expense line is a transfer to the CEF Fund for $395,000 to reimburse the fund for incentives given in the McKee hospital project. ¾ Included in the capital expenses in 2005 and 2006 is a transfer of $750,000 in each year to reimburse the fund for incentives given for projects on the east side of town. ¾ $460,000 is added to the Parks and Recreation budget in 2006 for the operating cost of the Youth Sports Complex scheduled to open in 2006. $100,000 of new revenue from the Complex is also included. ¾ The street construction General Fund portion is funded at $2 million in each year using TABOR revenues or General Fund revenues when TABOR reserves are not available.

Required Reserve Assumptions ¾ The required balance includes the TABOR 3% emergency operating reserve; a Council Contingency reserve of $100,000; an unfunded liability reserve of $125,000; and an equipment replacement reserve of $250,000; projected revenues which are above the TABOR cap and not currently designated toward specific projects; and the amount of Council Capital Reserve not

City of Loveland 3-3 Budget 2005 10-Year Financial Plan currently designated for specific projects. The ability to keep and spend TABOR excess revenue and use this revenue for Police, Fire, street construction and maintenance, and parks construction and maintenance was approved by the voters in the November 2001 election. This approval expires with the 2013 budget year. ¾ The TABOR 3% operating reserve is a requirement of Article X, Section 20 of the State Constitution, which mandates government reserve 3% of the current year operating costs, excluding bonded debt, to be used for declared emergencies only. ¾ The Contingency Reserve is established to provide a funding source for small one-time projects, which could not have been anticipated during the development of the annual budget. ¾ The unfunded liability reserve provides resources in the event payouts for accrued leave or other unfunded liabilities exceed budgeted resources in any one year. ¾ The Council Capital Reserve was established by ordinance in 2000. The ordinance requires setting aside 10% of all tax revenue under the TABOR revenue cap for capital projects. The reserve funded the payment of the sale/leaseback arrangement that was used to finance the Police and Courts Building. The City paid these payments off two years early making the final payment in 2004. The ordinance will sunset in 2004. There is a remaining balance in the reserve of $1.85 million. ¾ Beginning in 2005, the Council Capital Reserve by ordinance is reestablished for another five years setting aside 5% of all tax revenue under the TABOR revenue cap for capital projects. The ordinance will sunset in 2009. ¾ In the forecast, the City is projected to be above the TABOR revenue limit beginning in 2005 and through 2010, going under the revenue cap in 2011-2014. However, in any one year, the amount we are forecast to be under the limit is less than 1.2%. Due to the many variables used in calculating both City revenues and the revenue limitations, it is likely that actual revenues will remain above the limit in the future.

Analysis The plan as presented shows there is $900,000 available for new operational expenses in each year of the plan. One million dollars is allocated for new capital expense, above the requirements of the transportation plan, in all years of the plan. The policy of having the unreserved balance equal 6% of revenue is substantially met in the first five years of the plan.

Based on supplemental requests that were included in the 10-year planning process done earlier this year and the 2005 Capital Plan there will be difficult decisions staff and City Council will have to make in the near term. Policy issues that are being discussed by staff are:

¾ Increasing the Fire Department staffing so that three paid firefighters are on all apparatus, on every shift. To do this would require the addition of approximately 14 new firefighters; ¾ Adding Fire Station 7 and Fire Station 8 with at least nine new staff members at each station; ¾ Expansion of the Public Library; ¾ Expansion of the Parks and Recreation System, including the development and operation of Mehaffey Park, the expansion with the accompanying increase in operating expenses at Kroh Park, the opening of a new Aquatics facility and a new Recreation facility, Phase II operations for the Youth Sports Complex, development and operations of the old Fairgrounds site, and the development and operations of a new regional park. ¾ Increasing Police Department staffing to reach a ratio of 1.6 sworn officers per 1,000 population and 2.5 total employees per 1,000 population. Achieving this goal will require the addition of 48 new staff members. The current ratios are 1.4 and 2.1.

City of Loveland 3-4 Budget 2005 10-Year Financial Plan ¾ Increased staffing in all departments to maintain current service levels due to growth in the community.

There is not enough revenue in the plan to fully fund all of these policy objectives. The decisions to balance this diverse set of requests will need to be made within the available dollars shown in the plan to ensure the financial stability of the organization. The timing of some of the expansions and staffing policies will need to be delayed to years outside the scope the current plan or a decision made not to pursue the policy in any year.

City of Loveland 3-5 Budget 2005 10-Year Financial Plan 2005 Resource Allocation Plan 2003 2004 2005 2006 2007 Approved Actual Budget Budget Projected Projected Beginning Working Cash Balance $13,221,700 15,998,000 $11,501,800 $11,366,730 $11,187,060 REVENUES Property Tax 5,377,358 5,662,000 5,831,860 6,624,990 7,009,240 Current Sales Tax Base 22,009,494 23,190,000 24,349,500 25,566,980 26,845,330 Sales Tax Lifestyle Center - - 423,500 1,270,500 2,117,500 Sales Tax Centerra West - - 85,020 338,580 892,800 Sales Tax Centerra East - - - - - Use Tax 4,826,436 5,861,400 5,664,770 5,275,350 5,880,490 Other Tax 1,563,243 2,168,830 2,161,950 2,237,620 2,304,750 Intergovernmental 3,607,881 3,907,370 3,669,820 3,761,566 3,855,605 Licenses & Permits 1,601,825 3,050,700 2,151,930 2,259,527 2,372,503 User Fees 2,648,611 2,633,700 2,910,590 3,012,460 3,117,900 Fines & Forfeits 620,173 610,630 615,900 618,980 622,074 Interest 445,696 350,010 400,000 397,840 447,480 Others 409,611 323,370 409,120 423,440 438,260 Interfund Transfers 2,648,965 2,992,700 3,238,290 3,350,840 3,483,972 Transportation Additional Revenue 945,170 974,800 1,023,540 1,074,720 1,128,460 Parks & Rec Additional Revenue Sports Complex - - - 100,000 103,500 TOTAL REVENUE 46,704,463 51,725,510 52,935,790 56,313,392 60,619,863 TOTAL REVENUE & SOURCES $59,926,163 $67,723,510 $64,437,590 $67,680,122 $71,806,923 EXPENSES Legislative 94,944 102,030 104,130 118,820 127,870 Executive & Legal 1,243,707 1,409,580 1,480,080 1,546,684 1,616,284 Community Services 2,359,545 3,035,220 3,034,180 3,170,718 3,313,400 Cultural Services 934,647 998,780 1,031,710 1,078,137 1,126,653 Finance 355,208 385,000 517,390 540,673 565,003 Fire & Rescue 5,072,226 5,782,820 6,405,160 6,693,392 6,994,595 Parks & Recreation 5,167,009 5,568,610 5,900,280 6,625,793 6,923,953 Police 10,862,712 12,037,790 12,473,530 13,034,839 13,621,407 Public Works 6,458,018 6,655,860 7,297,950 7,626,358 7,969,544 Non-Departmental 8,102,859 8,549,220 9,159,150 9,571,312 10,002,021 Commercial Incentive Program 291,737 405,220 350,000 350,000 350,000 McKee Incentive Package - - 395,000 - - Available inflated out - - - - 940,500 Available funds - - - 900,000 900,000 TOTAL APPROPRIATIONS $40,942,611 $44,930,130 $48,148,560 $51,256,724 $54,451,230 CAPITAL Police/Courts Building Payment 1,529,411 4,375,000 - - - Net Capital Expense 86,079 3,539,970 1,160,500 1,000,000 1,000,000 Street Construction projects 332,772 2,734,250 2,000,000 2,000,000 2,000,000 Payment to Wastewater for Development Incentives - - 750,000 750,000 - Equipment Replacement Executive & Legal - 4,750 13,750 2,500 5,000 Finance - - - 5,500 - Community Services 12,000 - 56,000 32,000 - Police 40,160 110,000 230,010 223,970 125,080 Fire & Rescue 68,439 68,670 85,550 101,710 112,720 Parks & Recreation 847,908 359,440 548,250 948,760 832,800 Cultural Services - 16,500 24,240 16,100 27,800 Public Works 68,777 38,000 54,000 155,800 189,100 Non-Departmental - 45,000 - - - Total Equipment Replacement 1,037,284 $642,360 $1,011,800 $1,486,340 $1,292,500 TOTAL CAPITAL EXPENDITURES $2,985,546 $11,291,580 $4,922,300 $5,236,340 $4,292,500 NET CHANGE IN WORKING CASH BALANCE $2,776,306 ($4,496,200) ($135,070) ($179,673) $1,876,133 Ending Working Cash Balance 15,998,006 11,501,800 11,366,730 11,187,057 13,063,193 Required Balance 11,633,049 7,323,269 7,868,901 8,986,768 9,710,133 NET SURPLUS (DEFICIT) $4,364,957 $4,178,531 $3,497,829 $2,200,290 $3,353,060 Reserve policy requirement (6% of revenue) $2,802,268 $3,103,531 $3,176,147 $3,378,803 $3,637,192 amount above (under) policy $1,562,690 $1,075,000 $321,682 ($1,178,514) ($284,132)

City of Loveland 3-6 Budget 2005 10-Year Financial Plan 2008 2009 2010 2011 2012 2013 2014 Projected Projected Projected Projected Projected Projected Projected $13,063,190 $15,328,040 $17,706,590 $20,712,610 $23,418,730 $26,314,840 $28,703,680

7,962,500 8,424,330 9,570,040 10,125,100 11,502,110 12,169,230 13,824,250 28,187,600 29,568,790 30,988,090 32,444,530 33,936,980 35,464,140 37,024,560 2,618,200 2,618,200 2,618,200 2,618,200 2,618,200 2,618,200 2,618,200 1,445,300 1,929,700 2,235,200 2,430,000 2,624,800 2,809,500 2,921,900 - 234,400 733,200 1,336,500 1,782,800 2,180,200 2,606,000 5,958,760 5,775,880 6,084,330 6,147,690 6,169,880 6,383,660 6,430,230 2,373,890 2,445,110 2,518,460 2,594,010 2,671,830 2,751,980 2,834,540 3,951,995 4,050,795 4,152,064 4,255,866 4,362,263 4,471,319 4,583,102 2,491,128 2,615,684 2,746,469 2,883,792 3,027,982 3,179,381 3,338,350 3,227,030 3,339,980 3,456,880 3,577,870 3,703,100 3,832,710 3,966,850 625,185 628,311 631,452 634,610 637,783 640,971 644,176 587,840 705,050 704,940 724,170 721,970 720,370 689,210 453,600 469,480 485,910 502,920 520,520 538,740 557,600 3,597,309 3,714,419 3,835,444 3,960,573 4,089,895 4,223,551 3,969,071 1,184,880 1,244,120 1,306,330 1,371,650 1,440,230 1,512,240 1,587,850 107,123 110,872 114,752 118,769 122,926 127,228 131,681 64,772,339 67,875,120 72,181,762 75,726,249 79,933,268 83,623,421 87,727,571 $77,835,529 $83,203,160 $89,888,352 $96,438,859 $103,351,998 $109,938,261 $116,431,251

129,160 129,160 129,160 129,160 129,160 129,160 $129,160 1,689,017 1,765,023 1,844,449 1,927,449 2,014,184 2,104,823 2,199,540 3,462,503 3,618,316 3,781,140 3,951,292 4,129,100 4,314,909 4,509,080 1,177,353 1,230,333 1,285,698 1,343,555 1,404,015 1,467,195 1,533,219 590,428 616,997 644,762 673,776 704,096 735,781 768,891 7,309,352 7,638,272 7,981,995 8,341,184 8,716,538 9,108,782 9,518,677 7,235,531 7,561,130 7,901,381 8,256,943 8,628,505 9,016,788 9,422,544 14,234,370 14,874,917 15,544,288 16,243,781 16,974,751 17,738,615 18,536,852 8,328,173 8,702,941 9,094,573 9,503,829 9,931,502 10,378,419 10,845,448 10,452,112 10,922,457 11,413,967 11,927,596 12,464,338 13,025,233 13,611,368 350,000 350,000 350,000 350,000 350,000 350,000 350,000 ------1,923,323 2,950,372 4,023,639 5,145,202 6,317,237 7,542,012 8,821,903 900,000 900,000 900,000 900,000 900,000 900,000 900,000 $57,781,321 $61,259,919 $64,895,053 $68,693,768 $72,663,425 $76,811,717 $81,146,682

------1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 ------

3,500 6,170 6,448 6,738 7,041 7,358 7,689 - 2,000 2,090 2,184 2,282 2,385 2,492 - 20,900 21,841 22,823 23,850 24,924 26,045 252,340 127,860 133,614 139,626 145,910 152,475 159,337 119,460 128,840 134,638 140,697 147,028 153,644 160,558 1,152,670 774,070 797,290 821,210 845,850 871,230 897,370 7,200 24,600 25,707 26,864 28,073 29,336 30,656 191,000 142,800 149,226 155,941 162,959 170,292 177,955 - 9,410 9,833 10,276 10,738 11,222 11,727 $1,726,170 $1,236,650 $1,280,686 $1,326,359 $1,373,731 $1,422,865 $1,473,829 $4,726,170 $4,236,650 $4,280,686 $4,326,359 $4,373,731 $4,422,865 $4,473,829 $2,264,848 $2,378,552 $3,006,023 $2,706,123 $2,896,112 $2,388,838 $2,107,060 15,328,038 17,706,592 20,712,613 23,418,733 26,314,842 28,703,678 30,810,740 11,920,385 14,390,867 17,079,853 19,950,274 23,002,503 26,209,659 29,612,476 $3,407,653 $3,315,725 $3,632,760 $3,468,459 $3,312,339 $2,494,019 $1,198,264 $3,886,340 $4,072,507 $4,330,906 $4,543,575 $4,795,996 $5,017,405 $5,263,654 ($478,687) ($756,782) ($698,146) ($1,075,116) ($1,483,657) ($2,523,386) ($4,065,391)

City of Loveland 3-7 Budget 2005 10-Year Financial Plan

2005 Resource Allocation Plan 2003 2004 2005 2006 2007 Approved Actual Budget Budget Projected Projected CALCULATION OF REQUIRED BALANCE TABOR Excess Reserve Beginning Balance 1998-2002 5,228,610 3,807,780 507,780 - - Street Construction (320,830) (1,000,000) (507,780) - - Funding for Youth Sports Center (500,000) (2,300,000) - - - Additional Street Rehabilitation Funding (600,000) - - - - TABOR Excess Reserve Ending Balance 1998-2002 3,807,780 507,780 - - -

TABOR Excess Reserves Beginning Balance 2003-2012 - 362,111 3,163,790 2,354,198 1,522,937 Projected Tabor Annual Excess 1,307,281 3,776,479 2,081,168 2,243,460 1,710,040 Street Construction - - (1,492,220) (2,000,000) (2,000,000) Utility Fee From Tabor Excess (945,170) (974,800) (1,023,540) (1,074,720) (1,128,460) Fire Apparatus Replacement - - (275,000) - - Fairgrounds renovation - - (100,000) - - TABOR Excess Reserve Ending Balance 2003-2012 362,111 3,163,790 2,354,198 1,522,937 104,517

TABOR Excess Reserves Beginning Balance 2013 - - - - - Projected Tabor Annual Excess - - - - - TABOR Excess Reserve 2013 - - - - -

TABOR 3% Emergency 1,276,520 1,325,480 1,474,810 1,582,290 1,672,310 Council Contingency 100,000 100,000 100,000 100,000 100,000 Unfunded Liability 125,000 125,000 125,000 125,000 125,000 Equipment Replacement 250,000 250,000 250,000 250,000 250,000 Pay Plan 279,110 - - - - Required Reserves 2,030,630 1,800,480 1,949,810 2,057,290 2,147,310 Council Reserve Beginning Balance 3,774,408 5,432,527 1,851,219 3,564,893 5,406,540 Annual Council Set-Aside (5% Tax Revenue) 3,187,530 3,093,692 1,713,674 1,841,647 2,051,766 Police/Court Payment (1,529,411) (4,375,000) - - - Funding for Youth Sports Center - (2,300,000) - - - Council Reserve Ending Balance 5,432,527 1,851,219 3,564,893 5,406,540 7,458,306 REQUIRED BALANCE 11,633,049 7,323,269 7,868,901 8,986,768 9,710,133

City of Loveland 3-8 Budget 2005 10-Year Financial Plan 2008 2009 2010 2011 2012 2013 2014 Projected Projected Projected Projected Projected Projected Projected

------

104,517 ------2,135,190 929,460 656,737 - - - - (1,054,827) - - - - - (1,184,880) (929,460) (656,737) ------

------

1,785,220 1,874,610 1,984,980 2,100,300 2,220,790 2,346,700 2,478,260 100,000 100,000 100,000 100,000 100,000 100,000 100,000 125,000 125,000 125,000 125,000 125,000 125,000 125,000 250,000 250,000 250,000 250,000 250,000 250,000 250,000 ------2,260,220 2,349,610 2,459,980 2,575,300 2,695,790 2,821,700 2,953,260 7,458,306 9,660,165 12,041,257 14,619,873 17,374,974 20,306,713 23,387,959 2,201,859 2,381,092 2,578,616 2,755,101 2,931,739 3,081,247 3,271,257 ------9,660,165 12,041,257 14,619,873 17,374,974 20,306,713 23,387,959 26,659,216 11,920,385 14,390,867 17,079,853 19,950,274 23,002,503 26,209,659 29,612,476

City of Loveland 3-9 Budget 2005 OPERATING SUMMARY

Larry was elected to City Council Ward IV to fill the two year term upon the resignation of Kurtis Loomis. He then ran successfully and was subsequently elected for a four year term. Larry has been involved in public service with the community for many years. He served on the Loveland Charter Commission and the Agenda for the 90’s. He was on the Loveland Planning Commission for six years. He was a field director for the Loveland Baseball Association for a number of years. He has 28 years of fire service with Loveland, serving as it’s chief for four years, also serving as an officer for many years in various other positions while with the department. He was instrumental in bringing the firefighter’s training facilities into fruition. He also currently serves on the board for the Loveland Fire Protection District. He has at this time nearly competed the project of the new Canyon Fire Station at Drake, Colorado, serving as the general manager and contractor.

Larry started and maintains a 30-year home building business in the Loveland area, with his wife, family business associates. He has may years of business experience being employed in the building, development and real estate industry. He feels this has helped him make good sense business choice for the City of Loveland.

He believes in giving of his time to work together with regional entities to help solve our transportation and traffic issues. He attends many meetings discussing plans for both the cities street issues, as well as the I-25 corridor challenge. Larry feels that Loveland should encourage good paying clean businesses to locate here to further support our city’s economic base. The goal is to keep the community of Loveland a vital part of the growing front range with good planning and growth management Larry Heckel policies while maintaining our quality of life enjoyed by the citizens of Loveland.

Dave Clark has lived in Loveland for over 40 years and has worked in the family commercial construction business since 1970. He takes pride in the many offices, stores, churches, parks and museum facilities that his company has built or expanded over the years. Dave was elected as a Councilor representing Ward IV in January, 2004 to a term that expires November, 2005. This council position was left vacant by Larry Walsh when he was elected Mayor.

Assisting youth with the development of leadership skills and the appreciation for their role in shaping a community for the future has been a priority for Dave over the years. He has been involved in the Boy Scouts of America for twenty years and currently serves as the city council liaison to the City of Loveland Youth Advisory Commission.

Dave served on the Planning Commission for two years prior to being elected as a councilor. The experience was invaluable because land use and other planning issues appear for consideration on the agendas for nearly every city council meeting. During his first year as a council member he has been working to study issues important to the community. He has served as council liaison on the Comprehensive Master Plan Update committee, a citizen committee developing the vision of the community in year 2030. Dave believes that an essential component of community leadership is looking into the future, creating a vision, and developing goals to shape the vision into a reality. Part of achieving the current community vision includes supporting the downtown revitalization effort to capitalize on the momentum that Dave believes will help to ensure that the Dave Clark downtown area remains a community hub.

Dave and his wife, Paula, have been married for 24 years and have been blessed with six children. Loveland has been an ideal place to grow up and raise his family. He believes that effective leadership today will ensure that the community he and his family have enjoyed for forty years will be just as valuable to the families that call Loveland their home in the next 40 years. LEGISLATIVE

Steve Dozier was born in Denver, Colorado. He initially moved to Loveland in 1978 and has lived here for almost 15 years.

As a self-taught software engineer, Steve has over 25 years experience in the computer software development industry. He has chosen to make Loveland the place to raise his family. Nestled next to the Rocky Mountains, he wants his children to enjoy the wonderful environment that Loveland has provided for him.

Steve participates in many organizations within the community, including his church, his children’s schools, homeowners association, and the city. He has served on many boards and commission throughout the past nine years that he has served on city council, including the Construction Advisory Board, Water Board, Telecommunications Commission, Handicap Advisory Board, and Finance Audit Committee. Steve is also the council liaison to the Loveland Center for Business Development. Steve Dozier

Jan Brown is a Councilor for Ward 1. Jan has been honored to serve the citizens of Loveland on the City Council since November 2, 1999. Her second term on City Council will expire in 2007.

She relocated to Loveland from Nebraska in 1985. In 1992 Jan graduated from the Boulder School of Massage Therapy and opened a small business in the downtown area: All About You Health and Beauty Spa. Downtown revitalization and marketing became important components of expanding her business clientele. Her involvement in community efforts to sustain the downtown area as a business center and the hub of community involvement inspired her to provide community leadership as a city council member. She feels it is important to celebrate and nurture the historic attributes of the downtown area to create a unique customer experience.

Jan’s community service over the years has included serving on many boards, commissions and ad hoc committees including: Senior Advisory Board, Youth Advisory Board, Parks and Recreation Commission, Loveland Utilities Commission, Cultural Services Commission, Open Lands Commission, Downtown Working Ad Hoc Committee and the Economic Development Ad Hoc Committee. Serving on these commissions and committees has provided Jan with an in-depth background on many City services related to the quality of Jan Brown life in Loveland.

Jan has been married for 33 years to Stephen. Three grown children and six grandchildren enrich her life and give her inspiration to continue to strive for making long range decisions that will ensure Loveland will continue to be a community of choice for families in Northern Colorado. Legislative Legislative Summary

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE City Council 94,944 102,030 104,130 2.1% - -

APPROPRIATIONS Personal Services 49,925 50,380 52,480 4.2% Supplies 183 600 600 0.0% Purchased Services 44,836 51,050 51,050 0.0% Total 94,944 102,030 104,130 2.1%

BUDGET VARIANCES 2,100 Increase in personal services due to salary increases approved for new members on Council.

2,100 Total Increase

CITY COUNCIL Overview The City Council is the legislative and policy–making body of the city government. The Mayor and the Council members, working together as a single body, are entrusted with representing and interpreting the needs of Loveland citizens by balancing diverse public interests, establishing policies, and providing leadership and vision for the community. The Council appoints a City Manager to implement policies and manage the day–to–day operations of the Loveland municipal government. In addition, the Council appoints a City Attorney and a Municipal Judge. The Council also oversees the City’s 26 citizen boards and commissions.

In elections held the first Tuesday in November of odd–numbered years, voters select the Mayor and members of the City Council. The Council has a total of nine members. Each of four city wards elects two council members to serve staggered four–year terms. The Mayor, elected from the city at large, serves a two–year term. The Mayor Pro Tem is chosen by the affirmative vote of a majority of the entire Council. As compensation for their work on behalf of the citizens, Council members are paid $400 per month; the Mayor Pro Tem, $500 per month; and the Mayor, $600 per month. In 2004, Council adopted an ordinance changing the compensation schedule. The new schedule will take effect for new members beginning with the election in 2005. The new schedule is Council members $600 per month; the Mayor Pro Tem, $800 per month; and the Mayor, $1,000 per month. Existing members do not receive the increased amount unless they are voted back on Council after their current term expires.

City of Loveland 4-1 Budget 2005 EXECUTIVE & LEGAL

Human Services Commission Board Members

uman Services Commission

HThe Human Services Commission acts as a sounding board for social concerns, reviews all grant applications made to the City for Community Development Block Grant funds and Human Relations Commission grant program funds, makes funding recommendations to City Council regarding grant funding allocation, and provides citizen input on consolidated planning documents as required by the U.S. Department of Housing and Urban Development. EXECUTIVE & LEGAL The mission of the City L Attorney’s Office is to provide high-quality, prompt and cost-effective legal services to the City Council, City boards and commissions, and City staff and, in so doing, to benefit Loveland’s citizens by protecting the City’s legal and financial interests and by supporting the City’s provision of municipal services; and, within the bounds of justice and professional responsibility, to vigorously prosecute in Loveland Municipal Court violations of the City Charter and Code.

The mission of the Municipal Court, created by the City Charter, is to provide due process and justice in an impartial, fair and efficient manner to its residents, visitors and employees. Executive & Legal Department Department of Executive & Legal Summary

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE City Manager 371,657 420,040 459,530 9.4% 3.8 3.8 City Attorney 520,504 567,020 609,160 7.4% 5.6 5.6 Municipal Court 264,010 310,140 325,630 5.0% 4.0 4.0 Business Relations 87,536 112,380 85,760 (23.7%) 1.0 1.0 Strategic Planning 274,610 315,470 277,850 (11.9%) 3.0 3.0 Human Services 374,413 449,850 450,860 0.2% 0.9 0.6 Total Executive & Legal 1,892,730 2,174,900 2,208,790 1.6% 18.3 18.0

REVENUES Municipal Court 622,088 623,200 623,500 0.0% Total General Fund 622,088 623,200 623,500 0.0%

APPROPRIATIONS Personal Services 1,370,443 1,507,690 1,613,830 7.0% Supplies 23,596 36,830 37,030 0.5% Purchased Services 498,691 630,380 557,930 (11.5%) Total 1,892,730 2,174,900 2,208,790 1.6%

City of Loveland 5-1 Budget 2005 Executive & Legal Department DIVISION DEPARTMENT City Manager Executive & Legal

Section Summary: 03 Actual 04 Forecast 05 Budget City Manager 371,657 420,040 459,530

APPROPRIATIONS Personal Services 346,999 382,110 427,180 Supplies 5,171 9,780 9,680 Purchased Services 19,487 28,150 22,670 Total 371,657 420,040 459,530

FTE 3.8 3.8 3.8

BUDGET VARIANCES 1,610 Increase in personal services for worker's compensation due to the allocation of the City's cost based on the division's experience rating and forecasted liability costs.

6,930 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims. (5,280) Decrease in purchased services for general liability costs based on the department's historical experience and forecasted liability costs.

36,230 Normal Increases/Decreases 36,530 Personal Services (100) Supplies (200) Purchased Services

39,490 Total Increase

City of Loveland 5-2 Budget 2005 Executive & Legal Department CITY MANAGER’S OFFICE Overview The City Manager is the chief executive officer of the City of Loveland. This position is appointed by the City Council and is responsible for the execution of City Council policies, directives, and legislative action. Leadership in this capacity involves coordinating departmental functions and relationships with many external organizations to achieve alignment with City Council priorities for the community. This alignment effort is communicated in the annual budget and the ten-year financial plan.

All City staff report to the City Manager, except the Municipal Court and the City Attorney’s Office. It is the City Manager’s responsibility to integrate the talents of all department heads within a common vision that enables the organization to deliver service based on City Council direction. This management team works together to create an environment that encourages innovation, creativity, and growth. The City Manager’s Office encourages management and every employee to hold each other accountable for achieving excellence. A performance measurement system has been established to create a means of communication that will align expectations for service delivery and the actual service delivery using resources available. The elements of this system serve as a tool to assess the efficiency and effectiveness of resource allocation. Activities in the Public Information Office, organizationally within the City Manager’s Office, are a conduit for getting information about all organization initiatives to those within the organization and external to the organization.

Many organizations external to the organization help to shape the community and set the path for the future. The City Manager is responsible for coordinating relationships with: other agencies, such as federal, state, county and other municipalities; other non-profit organizations; the City of Loveland’s 26 boards and commissions; and businesses and other private agencies.

It is critical to manage those relationships in a way that the citizens receive the most benefit today and in the future. It must pave the way to an efficient, results oriented government, which partners with all segments of the community to face the challenges of the future.

Objectives Articulate City Council goals and communicate initiatives intended to achieve those goals. Develop quality of life measures and guidelines to assist in establishing departmental goals. Develop citywide strategic plans to achieve City goals.

City of Loveland 5-3 Budget 2005 Executive & Legal Department DIVISION DEPARTMENT City Attorney Executive & Legal

Section Summary: 03 Actual 04 Forecast 05 Budget City Attorney 520,504 567,020 609,160

APPROPRIATIONS Personal Services 473,672 516,250 558,800 Supplies 4,438 6,400 6,400 Purchased Services 42,394 44,370 43,960 Total 520,504 567,020 609,160

FTE 5.6 5.6 5.6

BUDGET VARIANCES 11,160 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims. 2,250 Increase in personal services for worker's compensation due to the allocation of the City's cost based on the division's experience rating and forecasted liability costs. 2,900 Increase in personal services due to the reclassification of an Attorney I position to an Attorney II.

900 Increase in purchased services due to increases in required membership fees and dues.

6,130 Increase in purchased services for subscriptions due to an increased rate for the Westlaw service used for legal research.

(7,340) Decrease in purchased services for general liability costs based on the department's historical experience and forecasted liability costs.

26,140 Normal Increases/Decreases 26,240 Personal Services (100) Purchased Services

42,140 Total Increase

City of Loveland 5-4 Budget 2005 Executive & Legal Department CITY ATTORNEY’S OFFICE Overview The Loveland Home Rule Charter sets out the duties of the City Attorney as follows: “The City Attorney shall serve as the chief legal adviser for the City, shall advise the Council and other city officials in matters relating to their official powers and duties, and shall perform such other duties as may be designated by Council.”

The Loveland Municipal Code also requires the City Attorney to appear for the City in all actions or suits in which the City is a party and s/he is authorized to make any and all affidavits or instruments in writing for the proper conduct in any suit in which, in her/his opinion, the city’s interests require. The City Attorney must attend all meetings of the Council and draw all ordinances, contracts and other instruments when requested by the Council to do so. The City Attorney may appoint assistants as necessary and as authorized in the budget, to serve under the direction and control of the City Attorney.

The City Attorney’s Office handles all prosecution in the Loveland Municipal Court. When matters are appealed from the Loveland Municipal Court to the District Court, this office handles the appeals. A vital part of handling Municipal Court matters is consultation with defendants in Municipal Court on their particular cases, which includes an education effort about law enforcement in general.

The City Attorney’s Office handles most legal matters for the City. Occasionally, certain areas that require specialized expertise are handled by outside counsel. When lawsuits are filed against the City on matters for which the City has liability insurance coverage, the insurance company retains an attorney to represent the City, at the insurance company’s expense. In these matters, the City Attorney assists the attorney retained by the insurance company with the defense of the lawsuits.

The City Attorney’s Office consults frequently with the City Manager’s Office regarding various matters which have legal implications for the City.

Objectives 90% of clients answer satisfied or very satisfied on customer survey. To contain direct costs for legal services.

2003 2004 2005 Performance Measures Actual Projected Projected % of answers to survey with satisfied/very satisfied response. 97% 90% 90%

Cost per hour. $62.89 $64.00 $66.00

City of Loveland 5-5 Budget 2005 Executive & Legal Department DIVISION DEPARTMENT Municipal Court Executive & Legal

Section Summary: 03 Actual 04 Forecast 05 Budget Municipal Court 264,010 310,140 325,630

REVENUES Court Costs 43,290 39,000 40,000 Court Administration Fees 5,755 6,000 6,000 Court Summons Surcharge 72,648 55,000 70,000 Traffic Fines 440,866 428,000 425,000 Municipal Ordinance Fines 36,690 38,500 40,000 Parking Fines 13,655 33,150 22,000 Other Fines 7,134 10,980 12,900 Other Service Charges 2,050 12,570 7,600 Total 622,088 623,200 623,500

APPROPRIATIONS Personal Services 241,361 267,960 284,140 Supplies 6,047 10,800 10,950 Purchased Services 16,602 31,380 30,540 Total 264,010 310,140 325,630

FTE 4.0 4.0 4.0

City of Loveland 5-6 Budget 2005 Executive & Legal Department BUDGET VARIANCES 1,050 Increase in personal services for worker's compensation due to the allocation of the City's cost based on the division's experience rating and forecasted liability costs.

7,790 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

500 Increase in supplies due to increased costs for the Westlaw service used for legal research.

200 Increase in purchased services for printing based on historical experience.

(400) Decrease in purchased services for repair and maintenance based on historical experience.

(690) Decrease in purchased services for general liability costs based on the department's historical experience and forecasted liability costs.

7,040 Normal Increases/Decreases 7,340 Personal Services (350) Supplies 50 Purchased Services

15,490 Total Increase

City of Loveland 5-7 Budget 2005 Executive & Legal Department

MUNICIPAL COURT

Overview The Municipal Court’s authority and responsibility is established by the Home Rule Charter and state law. It functions to adjudicate and process municipal code and charter violations.

The Court will process approximately 12,000 cases in 2004 with the following attendant responsibilities: Maintain Traffic Violations Bureau for “decriminalized” traffic infractions; formal arraignment on all other charges with advisement of legal rights and procedures; provision of a trial by judge or jury for disputed violations; sentencing of convicted violators; keep records and report convictions as required; maintain administrative record keeping; issue and account for warrants for the arrest of non–compliant offenders; collect fines and costs; and set minimum fines and costs except as otherwise established by local or State law.

Objectives Process payments within one (1) business day. Conduct 100% further proceeding settings within 72 hours of receipt. Process all court events within 24 hours of court.

2003 2004 2005 Performance Measures Actual Projected Projected % payments processed within 1 day. 100% 95% 95%

% of proceeding settings within 72 hours of receipt. 99% 90% 90%

% of court events processed within 24 hours. 98% 90% 90%

City of Loveland 5-8 Budget 2005 Executive & Legal Department DIVISION DEPARTMENT Business Relations Executive & Legal

Section Summary: 03 Actual 04 Forecast 05 Budget Business Relations 87,536 112,380 85,760

APPROPRIATIONS Personal Services 49,615 53,700 40,280 Supplies 3,743 5,800 5,800 Purchased Services 34,178 52,880 39,680 Total 87,536 112,380 85,760

FTE 1.0 1.0 1.0

BUDGET VARIANCES 970 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims. 380 Increase in purchased services for general liability costs based on the department's historical experience and forecasted liability costs.

(13,580) Decrease in purchased services due to one-time funding for the Business Appreciation Event.

(14,390) Normal Decreases (14,390) Personal Services

(26,620) Total Decrease

City of Loveland 5-9 Budget 2005 Executive & Legal Department

BUSINESS RELATIONS Overview The Business Relations Division’s vision is to provide the opportunity for a quality job to every Loveland resident. To build the vision, the division strives to retain and expand the job base within the City of Loveland. The main service provided by the division is business assistance. The division works with existing employers to insure that existing jobs remain with the community, as well as, potential new jobs created by existing businesses. In addition, the division provides assistance to potential new businesses looking to relocate to the community. Services include, but are not limited to, detailed community information, support throughout the development review process, community tours, appropriate site and building identification, special programs, incentive assistance, and workforce development.

Objectives To respond to every prospect request within 24 hours (1 business day). Effectively promote and close deals in Loveland for primary jobs. Retain existing Loveland jobs. Attract new primary jobs. To provide high quality assistance to new and existing business. To create and maintain a good relationship between the City and the top 25 existing businesses. Attain 10% primary job growth for the next 10 years.

2003 2004 2005 Performance Measures Actual Projected Projected % prospect requests responded to within 24 hours. 96% 100% 100%

% satisfaction of clients assisted. N/A 95% 95%

# of clients assisted. N/A 80 80

% of top 25 businesses satisfied with Business Relations assistance. N/A 95% 95%

# of primary jobs created due to Business Relations assistance. N/A 150 150

# of non-primary jobs created due to Business Relations assistance. N/A 300 300

City of Loveland 5-10 Budget 2005 Executive & Legal Department DIVISION DEPARTMENT Strategic Planning Executive & Legal

Section Summary: 03 Actual 04 Forecast 05 Budget Strategic Planning 274,610 315,470 277,850

APPROPRIATIONS Personal Services 228,792 238,320 254,460 Supplies 3,624 4,050 4,050 Purchased Services 42,194 73,100 19,340 Total 274,610 315,470 277,850

FTE 3.0 3.0 3.0

BUDGET VARIANCES 5,840 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims. 1,110 Increase in personal services for workers' compensation due to the allocation of the City's liability cost based on the division's experience rating and forecasted liability costs.

(3,290) Decrease in purchased services for general liability insurance costs based on the division's historical experience and forecasted liability costs.

(50,470) Decrease in purchased services for one-time reappropriation of professional services.

9,190 Normal Increases 9,190 Personal Services

(37,620) Total Decrease

City of Loveland 5-11 Budget 2005 Executive & Legal Department

STRATEGIC PLANNING Overview The Strategic Planning Division manages a proactive community–wide planning program, which defines long–term strategies for maintaining and enhancing the quality of life in Loveland. The Community Vision is accomplished through the development of key planning documents and various City programs in collaboration with citizens, elected officials, and other City departments. Staff participates in regional planning projects involving multi–jurisdictions in Northern Colorado to identify opportunities to jointly address land use and growth issues on a regional scale. The division's goal is to provide the community with services that balance existing resources with the public interest, encouraging quality planning for Loveland's future.

Objectives Increase level of effective communication. Keep comprehensive master plan current. Implement redevelopment programs for the downtown in a timely fashion.

2003 2004 2005 Performance Measures Actual Projected Projected % respondents to survey indicating effective communication of planning initiatives. 100% 80% 80%

% of projects in yearly work program advanced to decision point by Management / Council /or other decision maker. 93% 85% 85%

% of downtown initiatives and projects in yearly work program advanced to decision point by Management / Council / or other decision maker. 100% 85% 85%

% of referral review comments completed by established due date. N/A 95% 95%

% of Historic Preservation Commission packets sent to Commissioners 5 days or more in advance of meeting. N/A 95% 95%

City of Loveland 5-12 Budget 2005 Executive & Legal Department DIVISION DEPARTMENT Human Services Executive & Legal

Section Summary: 03 Actual 04 Forecast 05 Budget Human Services 374,413 449,850 450,860

APPROPRIATIONS Personal Services 30,004 49,350 48,970 Supplies 573 - 150 Purchased Services 343,836 400,500 401,740 Total 374,413 449,850 450,860

FTE 0.6 0.9 0.6

BUDGET VARIANCES (8,560) Decrease in personal services due to the reallocation of dollars between the Community Development Block Grant (CDBG) and Human Services. (100,000) Decrease in purchased services in Human Relation Commission grants due to one-time re- appropriation of past year grants. 9,570 Normal Increases 8,180 Personal Services 150 Supplies 1,240 Purchased Services

SUPPLEMENTS 100,000 Improvement: Increase in purchased services for additional funds for the Human Services Commission Grant Program.

1,010 Total Increase

City of Loveland 5-13 Budget 2005 Executive & Legal Department

HUMAN SERVICES Overview The City of Loveland provides funds for human service needs in the community through the Human Relations Commission Grant Program. The Human Relations Commission prepares an annual recommendation for allocation of the grant funds for City Council. The grant funds are allocated to a variety of non-profit human service agencies in Loveland that meet the annual goals set by the Human Relations Commission.

Objectives Increase number of respondents that indicate satisfaction with City’s grant process and administration. Increase number of affordable housing units within the City at the same rate as there is growth in total housing.

2003 2004 2005 Performance Measures Actual Projected Projected % of agencies responding to a survey indicating “Satisfaction” with the City’s grant process and administration. 89% 90% 90%

% increase in affordable housing units. N/A 3% 3%

% increase in total housing units. N/A 3% 3%

City of Loveland 5-14 Budget 2005 COMMUNITY SERVICES

ffordable Housing Commission A This Commission establishes a permanent affordable housing commission for the City of Loveland. The purpose of the Commission is to study the dimension and scope of the need for affordable housing in Loveland; review existing affordable housing incentives and policies; and, develop specific incentives and regulatory-based strategies to increase affordable housing in Loveland.

The Meadows COMMUNITY SERVICES The mission of the Community S Services Department is to improve the economic vitality, community livability, and social equity of the City of Loveland through comprehensive community planning, commitment to safety, sustainable affordable housing initiatives, and thoughtful economic development in partnership with community stakeholders. Community Services Department Department of Community Services Summary

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE Administration 229,243 184,150 191,400 3.9% 2.0 2.0 Building 639,744 925,670 933,740 0.9% 13.0 13.0 Current Planning 528,303 759,830 757,420 (0.3%) 10.5 10.5 Total 1,397,290 1,869,650 1,882,560 0.7% 25.5 25.5

REVENUES Building 1,484,232 2,659,900 1,856,520 (30.2%) Current Planning 57,156 87,200 81,000 (7.1%) Total 1,541,388 2,747,100 1,937,520 (29.5%)

APPROPRIATIONS Personal Services 1,256,138 1,563,850 1,750,650 11.9% Supplies 25,210 30,720 22,570 (26.5%) Purchased Services 94,627 234,570 79,400 (66.2%) Fixed Charges 21,315 26,470 29,940 13.1% Capital - 14,040 - - Total 1,397,290 1,869,650 1,882,560 0.7%

COMMUNITY SERVICES Overview The Community Services Department provides management of growth management and development issues. The services provided include development application coordination and plan review, building inspection, and code enforcement.

City of Loveland 6-1 Budget 2005 Community Services Department DIVISION DEPARTMENT Administration Community Services

Section Summary: 03 Actual 04 Forecast 05 Budget Administration 229,243 184,150 191,400

APPROPRIATIONS Personal Services 179,239 169,670 179,600 Supplies 8,907 4,400 4,150 Purchased Services 41,097 10,080 7,650 Total 229,243 184,150 191,400

FTE 2.0 2.0 2.0

BUDGET VARIANCES 780 Increase in personal services for workers' compensation due to allocating the City's cost to the division level based on the division's experience rating and forecasted liability costs.

3,890 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

(2,280) Decrease in purchased services for general liability insurance costs due to allocating the City's cost to the division level based on the division's historical experience and forecasted liability costs.

4,860 Normal Increases/Decreases 5,260 Personal Services (250) Supplies (150) Purchased Services

7,250 Total Increase

ADMINISTRATION Overview The Administration Division, through the department director, provides leadership and management, determines staffing and budgetary needs, and establishes program guidelines for the department.

City of Loveland 6-2 Budget 2005 Community Services Department DIVISION DEPARTMENT Building Community Services

Section Summary: 03 Actual 04 Forecast 05 Budget Building 639,744 925,670 933,740

REVENUES Building Permits 1,451,557 2,630,000 1,824,020 Contractor License Fee 32,204 28,900 31,000 Other fees 471 1,000 1,500 Total 1,484,232 2,659,900 1,856,520

APPROPRIATIONS Personal Services 598,438 731,060 877,540 Supplies 8,511 18,220 9,720 Purchased Services 13,557 141,140 21,910 Fixed Charges 19,238 21,210 24,570 Capital - 14,040 - Total 639,744 925,670 933,740

FTE 11.0 13.0 13.0

Note: 2 positions, a Plan Reviewer and Building Inspector were added mid-year 2004.

City of Loveland 6-3 Budget 2005 Community Services Department BUDGET VARIANCES 26,480 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

97,010 Increase in personal services to annualize the addition of one Plan Reviewer position and one Building Inspector position added mid-year in 2004.

(16,870) Decrease in personal services for workers' compensation due to the allocation of the City's liability cost based on the division's experience rating and forecasted liability costs.

(7,500) Decrease in supplies for one-time office furniture purchases. (1,000) Decrease in supplies for one-time tool purchases.

(5,600) Decrease in purchased services for general liability insurance costs based on the division's historical experience and forecasted liability costs.

(113,630) Decrease in purchased services for professional services due to one-time plan review and building inspections for two major hospital projects.

3,360 Increase in fixed charges due to increase in costs associated with vehicle and equipment rental based on projected fuel and maintenance costs.

(14,040) Decrease in capital for one-time motor vehicle expenses associated with Building Inspector position added mid-year in 2004.

39,860 Normal Increases 39,860 Personal Services

8,070 Total Increase

City of Loveland 6-4 Budget 2005 Community Services Department

BUILDING Overview The Building Division coordinates and performs various administrative services related to development and construction activities. These include permit application, review, inspection, issuance of Certificates of Occupancy process, as well as, monitoring construction activity. This administration is to protect the public health, safety, and welfare.

In addition to these functions, information on zoning and building codes regulations are provided, as well as, coordinating code enforcement activities. Also, the Building Division works closely with the Construction Advisory Board, who serves as the Board of Appeals, in conjunction with, contractor licensing and business practices of the licensed contracting community.

Objective Reduce the percentage of plans with code omissions found in the field. Maintain average turn-around time of 3 weeks for commercial plans. Minimize number of corrections/reinspections. Ensure initial response to zoning code complaint is made within 24 hours (1 working day). Ensure that quality of building code inspections is not compromised because of individual inspector’s workload.

2003 2004 2005 Performance Measures Actual Projected Projected % of plans with code omissions found in the field. 12% 11% 11%

% of average turn-around time for plans in 3 weeks 79% 100% 100% (commercial).

% of inspections where corrections / re-inspection notice 19% 15% 15% must be issued.

% of code enforcement cases settled without court action. N/A 85% 85%

# of building sites inspected per day per full-time equivalency inspector. N/A 10 10

City of Loveland 6-5 Budget 2005 Community Services Department DIVISION DEPARTMENT Current Planning Community Services

Section Summary: 03 Actual 04 Forecast 05 Budget Current Planning 528,303 759,830 757,420

REVENUES Annexation Filing Fee 18,608 17,200 11,000 Planning Filing Fee 38,548 70,000 70,000 Total 57,156 87,200 81,000

APPROPRIATIONS Personal Services 478,461 663,120 693,510 Supplies 7,792 8,100 8,700 Purchased Services 39,973 83,350 49,840 Fixed Charges 2,077 5,260 5,370 Total 528,303 759,830 757,420

FTE 10.5 10.5 10.5

BUDGET VARIANCES 20,300 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

1,540 Increase in personal services for workers' compensation due to the allocation of the City's liability cost based on the division's experience rating and forecasted liability costs.

600 Increase in supplies in other supplies based on historical data.

(9,300) Decrease in purchased services for general liability insurance costs based on the division's historical experience and forecasted liability costs.

(23,610) Decrease in purchased services in professional services for one time consulting services.

110 Increase in fixed charges due to increase in costs associated with vehicle and equipment rental based on projected fuel and maintenance costs.

7,950 Normal Increases/Decreases 8,550 Personal Services (600) Purchased Services

(2,410) Total Decrease

City of Loveland 6-6 Budget 2005 Community Services Department

CURRENT PLANNING Overview Current Planning provides review services and coordinates the City’s development review process. The goals of the Current Planning Division are: create and administer an efficient development review process; to preserve and enhance community quality of life and the natural environment; promote the development of economic vitality and diversity; and promote the cost–effective delivery of public services. The Division facilitates public meetings to gather input related to development proposals. Public input, staff comments, and other relevant information are compiled by Current Planning into reports for Planning Commission and City Council consideration.

Objectives Implement the Comprehensive Master Plan (CMP) Land Use Map through zoning review process. Provide review comments to development applicants in timely manner. Improve understanding of neighborhood concerns and assist developers in designing projects that are compatible with existing neighborhoods. Provide timely and accurate information services to applicants and general public in polite, professional, and understanding manner.

2003 2004 2005 Performance Measures Actual Projected Projected % of development applications where City Council takes action in accordance with City staff recommendation. 99% 95% 95%

% of times applicant received written comments from DRT within 5 weeks of application submittal date. 90% 90% 90%

% of development applications where neighborhood issues are resolved as indicated by no filing of an appeal. 98% 90% 90%

% of respondents to customer survey indicating service received as being excellent. 92% 90% 90%

City of Loveland 6-7 Budget 2005 CULTURAL SERVICES

ultural Services Board C

The Cultural Services Board oversees the Loveland Museum/Gallery and Rialto Theater, in an advisory capacity, serving as “sounding boards” and offering suggestions for programs, policies, and events at both facilities. Board members also frequently volunteer to staff events and work on special projects with Museum and Rialto staff.

Loveland Museum

isual Arts Commission

V The Visual Arts Commission oversees the City’s Arts in Public Places Program which sets aside 1% of all City capital projects of $50,000 or more. They accept gifts of art from private donors for placement on City property; make purchases of art for the City’s art collection (usually for the site, which generated the funding); provide for suitable display of the collection; and provide for maintenance of the collection.

Art In The Park Show CULTURAL SERVICES The mission of the Cultural S Services Department is to serve as a regional historical and cultural arts center by enriching the community, and visitors of all ages and backgrounds, through high quality, diverse, and affordable performing arts, exhibits and events. Cultural Services Department Department of Cultural Services Summary

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE Museum 673,812 727,660 752,030 3.3% 8.6 8.6 Rialto 260,835 271,120 279,680 3.2% 2.7 2.7 Total 934,647 998,780 1,031,710 3.3% 11.3 11.3

REVENUES Museum 55,686 71,800 45,000 Rialto 119,550 99,400 105,050 Total 175,236 171,200 150,050

APPROPRIATIONS Personal Services 649,678 689,400 740,010 7.3% Supplies 80,408 75,530 90,580 19.9% Purchased Services 180,532 215,680 184,950 (14.2%) Fixed Charges 13,572 13,170 16,170 22.8% Capital 10,457 5,000 - (100.0%) Total 934,647 998,780 1,031,710 3.3%

FTE Museum 8.6 8.6 8.6 Rialto 2.7 2.7 2.7 Total 11.3 11.3 11.3

CULTURAL SERVICES Overview The Cultural Services Department presents diverse cultural programs to enrich the community, and visitors of all ages and backgrounds, through high quality and affordable performing arts, exhibits and events. The Department includes the Loveland Museum/Gallery, the Rialto Theater and the Art in Public Places Program. The Museum/Gallery serves as a regional cultural center by collecting Loveland’s history and by presenting art and history exhibits and events. The historic Rialto Theater presents live theater, dance, concerts, films, lectures and children’s programs. The Art in Public Places Program commissions work for new public buildings and cares for the 200+ interior and exterior pieces in the City’s collection.

City of Loveland 7-1 Budget 2005 Cultural Services Department DIVISION DEPARTMENT Museum Cultural Services

Section Summary: 03 Actual 04 Forecast 05 Budget Museum 673,812 727,660 752,030

REVENUES Donations 24,732 46,320 15,000 Gallery Sales 1,679 2,090 2,000 Museum Store Sales 11,819 8,320 11,000 Program Revenue 17,291 15,000 17,000 Other Revenue 165 70 - Total 55,686 71,800 45,000

APPROPRIATIONS Personal Services 512,485 540,090 580,280 Supplies 68,918 60,520 74,770 Purchased Services 92,409 126,850 96,780 Fixed Charges - 200 200 Total 673,812 727,660 752,030

FTE 8.6 8.6 8.6

City of Loveland 7-2 Budget 2005 Cultural Services Department BUDGET VARIANCES 17,000 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims. 2,510 Increase in personal services for workers' compensation due to the allocation of the City's liability cost based on the division's experience rating and forecasted liability costs.

(5,820) Decrease in purchased services for general liability insurance based on the divisions historical experience and forecasted liability costs.

(18,250) Decrease in purchased services in cultural marketing due to one-time programs.

(6,000) Decrease in purchased services for professional services for one-time costs.

1,300 Increase in supplies for costs associated with museum collections based on historical experience.

2,000 Increase in supplies for costs associated with education programs based on historical experience. 8,980 Increase in supplies for costs associated with exhibits based on anticipated increase in costs.

22,650 Normal Increases 20,680 Personal Services 1,970 Supplies

24,370 Total Increase

City of Loveland 7-3 Budget 2005 Cultural Services Department

MUSEUM Overview Loveland Museum/Gallery: The mission of the Loveland Museum/Gallery is to serve as a regional cultural center by collecting, preserving and interpreting Loveland’s history, and by presenting exemplary art and history exhibits, programs and events for the enrichment of visitors of all ages and backgrounds.

Art In Public Places Program: The Visual Arts Commission serves to embellish Loveland with Public Art through purchases, donations and commissions, and through partnerships with private arts organizations.

Objectives Offer exhibits which may be described as diverse, educational and/or make an aesthetic impact, encouraging return visits from patronage. A 10% increase in attendance due to return visits is desired. 5% increase in “out of town” visitors. Increase youth and teen class participation. Increase the number of classes offered. Offer events that are diverse, well attended, entertaining, and community-oriented at no cost to the public.

2003 2004 2005 Performance Measures Actual Projected Projected % increase in the number of return visits per year. N/A 10% 10%

% increase in the number of “out of town” visitors. N/A 5% 5%

% increase in event attendance. 22% 5% 5%

% increase in youth and teen program participation. N/A 5% 5%

City of Loveland 7-4 Budget 2005 Cultural Services Department DIVISION DEPARTMENT Rialto Cultural Services

Section Summary: 03 Actual 04 Forecast 05 Budget Rialto 260,835 271,120 279,680

REVENUES Ticket Sales 47,500 42,000 38,500 Restoration Fee 14,000 12,700 15,000 Rental 13,500 13,200 14,500 Concessions 11,050 15,800 15,800 Donations 28,000 10,000 13,000 Other 5,500 5,700 8,250 Total 119,550 99,400 105,050

APPROPRIATIONS Personal Services 137,193 149,310 159,730 Supplies 11,490 15,010 15,810 Purchased Services 88,123 88,830 88,170 Fixed Charges 13,572 12,970 15,970 Capital 10,457 5,000 - Total 260,835 271,120 279,680

FTE 2.7 2.7 2.7

City of Loveland 7-5 Budget 2005 Cultural Services Department BUDGET VARIANCES 4,980 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims. 420 Increase in personal services for workers' compensation due to the allocation of the City's liability cost based on the division's experience rating and forecasted liability costs.

(5,000) Decrease in capital for one-time capital purchases.

(1,860) Decrease in purchased services for general liability insurance based on the division's historical experience and forecasted liability costs.

5,020 Normal Increases/Decreases 5,020 Personal Services 800 Supplies (3,800) Purchased Services 3,000 Fixed Charges

SUPPLEMENTS 5,000 Improvement - Increase in purchased services to build an audio console workspace and cabinets for increased security of the equipment.

8,560 Total Increase

City of Loveland 7-6 Budget 2005 Cultural Services Department

RIALTO THEATER Overview Since the renovation and reopening in February 1996, the historic theater has become a popular venue for theater, dance, concerts, movies, lectures, and children’s programming. Rental use of the theater continues to grow as well, and several community performing arts groups have adopted the Rialto as their home theater.

Objectives Increase in the actual number of events each year by 2%. Increase attendance by 5% per year. Diverse program is perceived as balancing a number of different genres/styles each year.

2003 2004 2005 Performance Measures Actual Projected Projected % increase in events. 4% 2% 2%

% increase in attendance. -1% 5% 5%

% cost recovered from Rialto revenue. 37.8% 37.0% 37.0%

City of Loveland 7-7 Budget 2005 FINANCE DEPARTMENT

itizens’ Finance Advisory Commission C The Citizens' Finance Advisory Commission (CFAC) serves as an advisory body to the City Council regarding the development of the annual City budget. The primary duties of the CFAC are to provide an opinion to Council on whether the proposed budget submitted by City staff is within the general direction and philosophy Council provided at the beginning of the budget development process and on specific issues that impact the budget. CFAC also provides advice to Council on setting budget priorities for the budget development process.

isabilities Advisory Commission D

The Disabilities Advisory Commission makes recommendations to City Council on problems relating to handicapped persons and their interaction with the community. In addition, the commission reviews building and development plans and advises city staff on Pictures from matters of handicapped Barrier accessibility. Awareness Day hosted by the Disabilities Advisory Commission FINANCE DEPARTMENT The mission of the Finance D Department is to ensure that the City government is a financially sound organization and to enhance the decision making process by providing timely and accurate forecasts and reports to City management, City Council, and the general public, and to provide effective and efficient services to the citizens and city departments. Finance Department Department of Finance Summary

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE General Fund City Clerk 243,382 265,180 277,020 4.5% 4.0 4.0 Sales Tax Administration 111,826 119,820 240,370 100.6% 2.0 3.5 Subtotal General Fund 355,208 385,000 517,390 34.4% 6.0 7.5

Internal Service Administration 291,026 315,010 401,670 27.5% 2.8 3.8 Accounting/Purchasing 498,584 552,940 580,590 5.0% 8.0 8.0 Budget 153,121 162,480 168,110 3.5% 2.0 2.0 Fleet Management 2,575,692 427,820 304,550 (28.8%) - - Risk & Insurance 1,021,019 1,654,410 1,763,110 6.6% 3.8 3.8 Subtotal Internal Service 4,539,442 3,112,660 3,218,030 3.4% 16.6 17.6

Enterprise Utility Accounting 587,076 442,660 493,620 11.5% 5.2 5.2 Utility Billing 931,733 990,630 1,114,820 12.5% 15.3 16.3 Meter Reading 408,223 457,010 505,270 10.6% 8.5 8.5 Warehouse 274,336 356,020 277,460 (22.1%) 4.0 4.0 Subtotal Enterprise 2,201,368 2,246,320 2,391,170 6.4% 33.0 34.0 Total 7,096,018 5,743,980 6,126,590 6.7% 55.6 59.1

REVENUES General Fund Sales Tax Collection Fee 18,718 29,270 30,000 2.5% PIF/RSF Fees - - 133,570 - Total Gen. Fund Revenue 18,718 29,270 163,570 458.8%

Internal Service Fund Fleet Management 2,436,493 855,010 838,090 (2.0%) Risk & Insurance 1,272,001 1,615,470 1,538,930 (4.7%) Total Int. Svc. Revenue 3,708,494 2,470,480 2,377,020 (3.8%) Total 3,727,212 2,499,750 2,540,590 1.6%

APPROPRIATIONS Personal Services 3,028,066 3,198,470 3,636,320 13.7% Supplies 370,608 59,100 79,290 34.2% Purchased Services 583,569 667,530 681,740 2.1% Fixed Charges 757,915 1,293,860 1,411,030 9.1% Transfers 1,753,524 141,100 76,550 (45.7%) Capital 602,336 383,920 241,660 (37.1%) Total 7,096,018 5,743,980 6,126,590 6.7%

City of Loveland 8-1 Budget 2005 Finance Department FINANCE DEPARTMENT Overview The Department of Finance provides various general government support functions. The responsibilities include the annual city budget, annual financial report, risk and insurance, environmental compliance, general government accounting, investments, long–range financial planning, utility billing, customer service, meter reading, fleet replacement funding, utility accounting, rates and fees, finance, and warehousing.

In 2000, the Finance staff from the City and the Water & Power Utilities merged to form one distinct department. This has allowed additional financial support to be provided to all areas of the City without increasing resources. The Department produces two major documents each year, the City of Loveland Budget (both the recommended and adopted versions), and the Comprehensive Annual Financial Report (CAFR). These two documents provide comprehensive accounting for the city’s revenues, expenditures, and financial condition, as well as, the financial policies and business plan for the coming year.

The Department has begun an effort to develop a ten year financial plan, to be used for resource allocation decisions and timing of improvements to stay within the projected dollars that will be available. The plan is a living document that will be updated annually to reflect changing priorities or circumstances. 2005 is the fourth year of that process. While improvements still need to be made in the process, this planning effort guided the decision making for the 2005 budget process.

The primary functions of the department are revenue collection, accounting and purchasing, risk management, and budget development. In addition, the department manages the fleet replacement fund and the warehouse operation. In 1998, the City, using its home rule powers, began collecting its own sales taxes and auditing businesses within the City to insure compliance, rather than relying on the State for this function. The change has resulted in an increased collection rate netting more sales tax collections that become available for appropriation. Revenue collection is done through three divisions, the Sales Tax Division, Utility Billing Division and Meter Reading Division. Accounting and purchasing is through the Accounting and Utility Accounting divisions. The Budget Division prepares and administers the annual budget. The Risk Management Division manages the City’ self–insured general liability and property insurance program, the worker’s compensation insurance program, and the safety and environmental compliance programs.

City of Loveland 8-2 Budget 2005 Finance Department DIVISION DEPARTMENT Administration Finance

Section Summary: 03 Actual 04 Forecast 05 Budget Internal Service Fund Administration 291,026 315,010 401,670

APPROPRIATIONS Personal Services 265,325 270,440 360,820 Supplies 4,581 3,250 3,250 Purchased Services 5,375 41,320 37,600 Capital 15,745 - - Total 291,026 315,010 401,670

FTE 2.8 2.8 3.8

BUDGET VARIANCES 1,230 Increase in personal services for workers' compensation due to the allocation of the City's liability cost based on the division's experience rating and forecasted liability costs.

15,500 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

(3,720) Decrease in purchased services for general liability insurance costs based on the division's historical experience and forecasted liability costs.

8,840 Normal Increases 8,840 Personal Services

SUPPLEMENTS 64,810 Improvement - Increase in personal services for one Internal Auditor Position to audit actual expenditures in selected divisions/departments, and train department staff on accounting issues and methods.

86,660 Total Increase

ADMINISTRATION The Finance Administration Division is responsible for coordinating the financial support services to City departments, manages the City’s investment portfolio, risk management efforts, fleet replacement and warehouse operation, and develops financial planning tools to guide resource allocation decisions.

City of Loveland 8-3 Budget 2005 Finance Department DIVISION DEPARTMENT City Clerk Finance

Section Summary: 03 Actual 04 Forecast 05 Budget City Clerk 243,382 265,180 277,020

APPROPRIATIONS Personal Services 211,806 224,860 239,530 Supplies 1,950 2,850 2,850 Purchased Services 29,626 37,470 34,640 Total 243,382 265,180 277,020

FTE 4.0 4.0 4.0

BUDGET VARIANCES 7,790 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

260 Increase in personal services for workers' compensation due to the allocation of the City's liability cost based on the division's experience rating and forecasted liability costs.

(2,830) Decrease in purchased services for general liability costs based on the division's historical experience and forecasted liability costs.

6,620 Normal Increases 6,620 Personal Services

11,840 Total Increase

City of Loveland 8-4 Budget 2005 Finance Department

CITY CLERK Overview The City Clerk’s Division maintains current files on all minutes, ordinances, resolutions, contracts, agreements, and easements, titles and deeds for the City Council and management. The City Clerk attends and records all Council meetings, conducts municipal elections, receives and deposits all revenue other than utility payments and City Sales Tax revenue, issues licenses and permits, and operates the central switchboard. The City Clerk is also responsible for retaining e-mail documents sent to City Councilors deemed to be public record as well as scanning public records into the imaging system for citizen and employee access. Facilities Reservations; handling reservations for the Foote Lagoon, Gertrude Scott Room (Library MPR), The Pulliam Building, as well as, the Council Chambers and the Conference room on the main floor of the Municipal Building are made through this division. In June, 2004, administration of the Food Sales Tax Rebate Program was moved to the City Clerk’s Office.

Objectives Accurate and prompt retention and retrieval of records. Direct citizen and staff calls to proper entity. To ensure that all employees involved have accurate training in order to comply with State Statutes relating to Municipal Elections. Provide licensees with accurate and timely processing of license applications and compliance with State of Colorado regulations relating to liquor/beer licensing.

2003 2004 2005 Performance Measures Actual Projected Projected % of permanent records available electronically. N/A 90% 90%

% of citizen and staff requests responded to within 24 hours. 95% 95% 95%

% of liquor license applications processed within 1 week of approval by local authority. 100% 100% 100%

City of Loveland 8-5 Budget 2005 Finance Department DIVISION DEPARTMENT Sales and Use Tax Administration Finance

Section Summary: 03 Actual 04 Forecast 05 Budget General Fund Sales Tax Collection 111,826 119,820 138,260 Fee Collection - - 102,110 Total Sales & Use Tax Administration 111,826 119,820 240,370

REVENUES Sales Tax Collection Fee 18,718 29,270 30,000 PIF/RSF Fees - - 133,570 Total 18,718 29,270 163,570

APPROPRIATIONS Personal Services 98,671 102,640 174,380 Supplies 1,501 4,530 8,680 Purchased Services 11,654 12,650 49,310 Capital - - 8,000 Total 111,826 119,820 240,370

FTE 2.0 2.0 3.5

City of Loveland 8-6 Budget 2005 Finance Department BUDGET VARIANCES 3,890 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

440 Increase in personal services for workers' compensation due to the allocation of the City's liability cost based on the division's experience rating and forecasted liability costs.

(1,340) Decrease in purchased services for general liability costs based on the division's historical experience and forecasted liability costs.

2,950 Normal Increases/Decreases 2,950 Personal Services 400 Supplies (400) Purchased Services

SUPPLEMENTS 102,110 Workload - Increase in personal services ($70,920), operating ($32,650) and capital ($8,000) for one full-time PIF & RSF Technician and one half-time administrative specialist. These positions will be responsible for the collection and monitoring compliance of the Centerra/Lifestyle Center Retailers for the Public Improvement Fees and Retail Sales Fees. The City will collect a fee of $133,570 to provide this service.

2,500 Workload - Increase in supplies for costs associated with software maintenance fees.

10,000 Workload - Increase in purchased services in professional services for contractual audit services. 120,550 Total Increase

City of Loveland 8-7 Budget 2005 Finance Department SALES & USE TAX ADMINISTRATION Overview The Sales & Use Tax Administration Division is responsible for processing receipts of sales tax returns, monitoring businesses’ compliance with the City’s sales & use tax ordinances, and overseeing collection of City sales tax instead of relying on the State for this function. The main emphasis is educating and assisting businesses in voluntary compliance with the ordinances, while maintaining the resources to enforce the ordinances if necessary.

Beginning in 2005, the City will begin the collection of Public Improvement Fees (PIF) and Retail Sales Fees (RSF) and monitor compliance from retailers in the Centerra development and at the new Lifestyle Center. The PIF is levied by the Centerra Public Improvement Collection Corporation and the RSF is levied by the McWhinney Centerra Lifestyle Center LLC, and the Centerra Retail Sales Fee Corporation for public improvements associated with the Centerra development, including the lifestyle center. The City will receive a fee from these entities for the collection and compliance monitoring effort.

Objectives Enter sales tax returns for the month no later than the 1st business day of the next month. Issue sales tax licenses within a week of receiving the application. Respond to audits resulting in vendor assessments made by contract auditors by deadline due dates. Contact delinquent vendors within a week of notification of delinquency.

2003 2004 2005 Performance Measures Actual Projected Projected % of months all sales tax returns processed by 1st business day of the next month. 100% 92% 92%

% of sales tax licenses issued within a week of receiving application. 82% 95% 95%

% of delinquent vendors contacted within one week of notification. 93% 90% 90%

City of Loveland 8-8 Budget 2005 Finance Department DIVISION DEPARTMENT Accounting/Purchasing Finance

Section Summary: 03 Actual 04 Forecast 05 Budget Internal Service Fund Accounting 400,009 443,380 463,110 Purchasing 98,575 109,560 117,480 Total 498,584 552,940 580,590

APPROPRIATIONS Personal Services 428,362 458,430 493,770 Supplies 6,113 11,680 10,550 Purchased Services 64,109 82,830 76,270 Total 498,584 552,940 580,590

FTE 8.0 8.0 8.0

BUDGET VARIANCES 15,570 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

1,950 Increase in personal services for workers' compensation due to the allocation of the City's liability cost based on the division's experience rating and forecasted liability costs.

(5,960) Decrease in purchased services for general liability costs based on the department's historical experience and forecasted liability costs.

16,090 Normal Increases/Decreases 17,820 Personal Services (1,130) Supplies (600) Purchased Services

27,650 Total Increase

City of Loveland 8-9 Budget 2005 Finance Department ACCOUNTING / PURCHASING Overview Accounting is responsible for the disbursement of City funds and for providing accurate, timely and informative financial information to a variety of users. This division prepares the Comprehensive Annual Financial Report and has been awarded the “Certificate of Achievement for Excellence in Financial Reporting” by the Government Finance Officers Association every year since 1980. Purchasing manages the City’s decentralized purchasing program to ensure compliance with local and state laws while using effective, efficient and flexible practices.

Objective Pay vendors in an accurate and timely manner.

2003 2004 2005 Performance Measures Actual Projected Projected % of bills paid within 1 week of receipt. 100% 98% 98%

% of checks reissued due to error. 0.4% 0.5% 0.5%

# of account payable transactions per FTE. 15,240 16,000 16,000

City of Loveland 8-10 Budget 2005 Finance Department DIVISION DEPARTMENT Budget Finance

Section Summary: 03 Actual 04 Forecast 05 Budget Internal Service Fund Budget 153,121 162,480 168,110

APPROPRIATIONS Personal Services 141,763 145,560 153,600 Supplies 323 1,530 1,100 Purchased Services 11,035 15,390 13,410 Total 153,121 162,480 168,110

FTE 2.0 2.0 2.0

BUDGET VARIANCES 2,810 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims. 660 Increase in personal services for workers' compensation due to the allocation of the City's liability cost based on the division's experience rating and forecasted liability costs.

(1,980) Decrease in purchased services costs associated with general liability insurance based on the division's historical experience and forecasted liability costs.

4,140 Normal Increases/Decreases 4,570 Personal Services (430) Supplies

5,630 Total Increase

City of Loveland 8-11 Budget 2005 Finance Department BUDGET Overview The Budget Division prepares and administers the City’s annual operating budget and capital plan; forecasts and monitors the City’s expenditures and revenues; forecasts the five–year operating and capital plans; and provides financial data, support and analysis to other City departments. In addition, this division participates in policy analysis and formation and ensures city compliance with federal and state legislation that affect the budget. The division has received the “Distinguished Budget Presentation Award” from the Government Finance Officers Association every year since 1985.

Objective Collecting and disseminating data in timely and accurate manner. Accurate revenue projection. Accurately forecast current year expenses to reduce the number of year end supplemental budgets.

2003 2004 2005 Performance Measures Actual Projected Projected % of current year revenue forecast to actual with 4 months of data. 97% 95% 95%

% of adopted budget revenues to actual. 102% 95% 95%

% of General Fund expenses forecast to actual with 4 months of data. 109% 105% 105%

% of General Fund unrestricted fund balance to total General Fund revenue. 9% 6% 6%

City of Loveland 8-12 Budget 2005 Finance Department DIVISION DEPARTMENT Fleet Management Finance

Section Summary: 03 Actual 04 Forecast 05 Budget Internal Service Fund Fleet Management 2,575,692 427,820 304,550

REVENUES & SOURCES Beginning Balance 4,348,302 4,209,100 4,636,290 School District 30,126 - - Interest 46,206 92,790 139,090 Federal Transportation Authority Grant 89,881 - - Vehicle repair 1,561,105 - - Vehicle rent 717,913 713,500 679,000 Sale of Assets (8,738) 20,000 20,000 Miscellaneous - 28,720 - Subtotal Revenue 2,436,493 855,010 838,090 TOTAL RESOURCES 6,784,795 5,064,110 5,474,380

APPROPRIATIONS Supplies 334,505 - - Transfers 1,715,724 141,100 76,550 Capital 525,463 286,720 228,000 Total 2,575,692 427,820 304,550

Ending Balance 4,209,103 4,636,290 5,169,830

BUDGET VARIANCES (64,550) Decrease in transfers due to the transfers to Enterprise Funds for the purchase of equipment.

(58,720) Decrease in capital for replacement vehicle purchases based on the five-year plan.

(123,270) Total Decrease

CITY FLEET Overview City Fleet finances vehicle operating costs and future replacement of vehicles and equipment. Annually, funds are set aside for future replacement of all City vehicles.

Objectives Implement new billing of City fleet to ensure adequate replacement funding of the fleet and stabilize department expense lines.

City of Loveland 8-13 Budget 2005 Finance Department DIVISION DEPARTMENT Risk & Insurance Finance

Section Summary: 03 Actual 04 Forecast 05 Budget Internal Service Fund Risk & Insurance 1,021,019 1,654,410 1,763,110

REVENUES & SOURCES Beginning Balance 4,832,818 5,083,800 5,044,860 Interest 85,628 146,510 151,350 Transfers 98,803 - - Workers' Compensation 555,979 574,330 708,130 General Liability Charges 531,591 894,630 679,450 Subtotal Revenue 1,272,001 1,615,470 1,538,930 Total 6,104,819 6,699,270 6,583,790

APPROPRIATIONS Personal Services 244,667 251,950 268,730 Supplies 5,950 7,410 7,410 Purchased Services 130,681 126,720 103,110 Fixed Charges 601,921 1,268,330 1,383,860 Transfers 37,800 - - Total 1,021,019 1,654,410 1,763,110

Ending Balance 5,083,800 5,044,860 4,820,680

FTE 3.8 3.8 3.8

BUDGET VARIANCES 6,930 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

(23,050) Decrease in purchased services due to a one-time reappropriation of funds for a clean-up project. 27,020 Increase in fixed charges for worker's compensation insurance due to increased premium costs and forecasted increase in claims.

88,510 Increase in fixed charges for liability insurance due to increased premium costs and forecasted increase in claims.

9,290 Normal Increases/Decreases 9,850 Personal Services (560) Purchased Services

108,700 Total Increase

City of Loveland 8-14 Budget 2005 Finance Department RISK MANAGEMENT Overview The Risk Management Division is responsible for protecting the operating effectiveness of the City by minimizing the costs associated with the City's property, liability, workers' compensation and environmental exposures. This is accomplished through identification and evaluation of the City's risks, implementation of appropriate safety, environmental and loss control programs, risk financing measures and claims management.

Objectives Reduce cost of claims as a percentage of payroll. Improve claim efficiency and processing by assuring claims are reported within 1 business day of receipt. Contact employees within 2 business days after receiving notification of lost time due to a work- related injury. Workers’ compensation claims are closed within 90 days. Meet applicable local, state, and federal regulations for environmental compliance and reduce the potential of fines.

2003 2004 2005 Performance Measures Actual Projected Projected Workers’ compensation claims per FTE. .22 .24 .23

% of insurance carrier loss control requirements complied. 96% 95% 95%

Workers’ compensation losses as % of total City payroll. 1.27% 1.25% 1.24%

# of major federal or state environmental inspection violations. 0 0 0

# of minor federal or state environmental inspection violations. N/A 4 4

Recover 50% of the cost for environmental remediation where available. N/A $8,000 $25,000

City of Loveland 8-15 Budget 2005 Finance Department DIVISION DEPARTMENT Utility Accounting Finance

Section Summary: 03 Actual 04 Forecast 05 Budget Enterprise Fund Utility Accounting 587,076 442,660 493,620

APPROPRIATIONS Personal Services 367,374 379,460 417,620 Supplies 2,322 5,000 4,300 Purchased Services 84,793 58,200 71,700 Fixed Charges 132,131 - - Total Operating 586,620 442,660 493,620

Capital 456 - - Total Capital 456 - -

Total Utility Accounting 587,076 442,660 493,620

FTE 5.2 5.2 5.2

BUDGET VARIANCES 19,200 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

(500) Decrease in purchased services due to decrease in repair and maintenance costs based on historical data.

17,260 Normal Increases/Decreases 18,960 Personal Services (700) Supplies (1,000) Purchased Services

SUPPLEMENTS 15,000 Improvement - Increase in purchased services to conduct a water rate study.

50,960 Total Increase

City of Loveland 8-16 Budget 2005 Finance Department UTILITY FINANCE Overview The Utility Finance Division works with many outside agencies, as well as, the City Council, various boards and commissions, other City departments, and utility customers on a daily basis. The restructuring of the utility has provided new opportunities for the division to work together to provide higher levels of customer service to rate payers and to other City divisions. There are four sections that have been moved from Water and Power to the Finance Department. They are Meter Reading, Utility Billing, Warehouse, and Utility Accounting. Funding for these divisions is from the Water, Wastewater and Power Enterprise Funds.

UTILITY ACCOUNTING Overview The Utility Accounting Division is responsible for the annual budget, monthly financial reports, year– end financial processing, daily process of source documents, payroll processing, and tracking projects costs for the Water and Power Utilities. In addition, the Division is responsible for providing accounting and long–range financial planning services for the Public Works and Police Departments. This Division will have ongoing interactions with the Loveland Utilities Commission, City Council, and the Citizens’ Finance Advisory Committee.

Objective Bill or refund 85% of all Power Aid-To-Construction work orders within 45 days of completion of project. Complete preparation of all monthly financial statements within 5 business days of month-end close 90% of the time, and with a 90% accuracy rate. Process 90% of all accounts payable source documents received by the end of business on Friday, and have them to City Accounting for payment in the following week’s check writing.

2003 2004 2005 Performance Measures Actual Projected Projected % of Aid-To-Construction work orders billed or refunded within 45 days of completion of project. 7% 85% 85%

% of monthly financial statement preparation completed within 5 business days of the month-end close and accuracy rate. 89% 90% 90%

% of accounts payable source documents received by the end of business on Friday, processed and to the City’s Accounting Division for payment in the following week’s check writing. 98% 90% 90%

City of Loveland 8-17 Budget 2005 Finance Department DIVISION DEPARTMENT Utility Billing Finance

Section Summary: 03 Actual 04 Forecast 05 Budget Enterprise Fund Utility Billing 931,733 990,630 1,114,820

APPROPRIATIONS Personal Services 687,922 729,030 840,260 Supplies 5,985 9,950 12,650 Purchased Services 212,484 250,500 255,100 Fixed Charges 1,709 1,150 1,150 Total Operating 908,100 990,630 1,109,160

Capital 23,633 - 5,660 Total Capital 23,633 - 5,660

Total Utility Billing 931,733 990,630 1,114,820

FTE 15.3 15.3 16.3

BUDGET VARIANCES 30,140 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims. 3,700 Increase in purchased services due to increase in bad debt expense.

36,100 Normal Increases 32,500 Personal Services 2,700 Supplies 900 Purchased Services

SUPPLEMENTS 54,250 Improvement - Increase in personal services due to the addition of one Customer Service Clerk position. The cost is split between the Water, Wastewater, and Power Utilities.

124,190 Total Increase

City of Loveland 8-18 Budget 2005 Finance Department UTILITY BILLING Overview Utility Billing is responsible for providing customer service and processing monthly statements and payments for all electric, water, wastewater, storm drainage, solid waste, and street maintenance consumers.

Objective Process and mail monthly bills, process payments daily, respond to customer and City inquiries, collect account receivables, provide financial and consumptive data to customers and departments.

2003 2004 2005 Performance Measures Actual Projected Projected % of bills mailed within 4 days of meter reading. N/A 90% 98%

% of payments processed on day of receipt. 100% 100% 100%

% of telephone responses in less than 15 seconds. 85% 100% 100%

% of bad debt write off to electric revenue billed. 0.17% 0.20% 0.20%

City of Loveland 8-19 Budget 2005 Finance Department DIVISION DEPARTMENT Meter Reading Finance

Section Summary: 03 Actual 04 Forecast 05 Budget Enterprise Fund Meter Reading 408,223 457,010 505,270

APPROPRIATIONS Personal Services 375,757 417,890 452,510 Supplies 4,339 6,000 20,850 Purchased Services 8,796 11,950 10,100 Fixed Charges 19,331 21,170 21,810 Total Operating 408,223 457,010 505,270

Total Meter Reading 408,223 457,010 505,270

FTE 8.5 8.5 8.5

BUDGET VARIANCES 17,360 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

640 Increase in fixed charges due to an increase in costs associated with vehicle and equipment rental.

15,210 Normal Increases/Decreases 17,260 Personal Services (200) Supplies (1,850) Purchased Services

SUPPLEMENTS 15,050 Improvement - Increase in supplies for new probes to read water touch pads.

48,260 Total Increase

City of Loveland 8-20 Budget 2005 Finance Department METER READING Overview Meter Reading is responsible for reading all electric and water meters monthly, and connecting and disconnecting services daily, as well as, monitoring for meter diversions.

Objective Produce accurate and timely meter readings and trouble reports, and provide minor meter property service orders in a timely, efficient and customer friendly manner.

2003 2004 2005 Performance Measures Actual Projected Projected Cost to read meter. $0.46 $0.50 $0.50

Accuracy rate of meter reads. 99.9% 99.9% 99.9%

% of porchlight service orders completed within 5 days. 97% 90% 90%

Budget Variances 7,800 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims. (97,200) Decrease in capital for one-time equipment purchases.

10,840 Normal Increases 9,090 Personal Services 750 Supplies 1,000 Fixed Charges

(78,560) Total Decrease

City of Loveland 8-21 Budget 2005 Finance Department DIVISION DEPARTMENT Warehouse Finance

Section Summary: 03 Actual 04 Forecast 05 Budget Enterprise Fund Warehouse 274,336 356,020 277,460

APPROPRIATIONS Personal Services 206,419 218,210 235,100 Supplies 3,039 6,900 7,650 Purchased Services 25,016 30,500 30,500 Fixed Charges 2,823 3,210 4,210 Total Operating 237,297 258,820 277,460

Capital 37,039 97,200 - Total Capital 37,039 97,200 -

Total Warehouse 274,336 356,020 277,460

FTE 4.0 4.0 4.0

BUDGET VARIANCES 7,800 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

(97,200) Decrease in capital for one-time equipment purchases.

10,840 Normal Increases 9,090 Personal Services 750 Supplies 1,000 Fixed Charges

(78,560) Total Decrease

City of Loveland 8-22 Budget 2005 Finance Department

WAREHOUSE Overview Warehouse responsibilities include inventory items used by all departments in the City, disposing of obsolete items, overseeing yard materials, maintaining an inventory of department tools and delivering trash tags and bags to city merchants, as well as, materials and office supplies to other City employees. This section will also coordinate fleet replacement and scheduled maintenance for the Water and Power Utility vehicles.

Objectives Provide timely and accurate availability of materials while maintaining the lowest achievable inventory.

2003 2004 2005 Performance Measures Actual Projected Projected % of transactions entered on the iSeries correctly. N/A 98% 98%

City of Loveland 8-23 Budget 2005 FIRE DEPARTMENT

ire & Rescue Advisory Commission

F In 1995, after eleven months of comprehensive study by the Fire Protection Master Planning Task Force, a Fire Protection Master Plan for the City of Loveland was developed. One of the recommendations of the Master Plan was to establish a Fire and Rescue Advisory Commission, comprised of eight non-fire service members. The scope of Newest fire station in Loveland ~ Fire Station #6 responsibility would be:

1. To serve in an advisory capacity to the City Council in the implementation of the Fire Protection Master Plan and future strategic planning for the Fire and Rescue Department. 2. To serve in an advisory capacity to the Fire Chief relative to Fire Protection, Rescue and Emergency Management issues.

It must be emphasized that the Commissions' primary role is advisory in nature, both to Fire Department staff and City Council. However, FRAC also has quasi-judicial responsibilities to hear variance requests related to Fire Code issues and select sections of the Uniform Building Code and Uniform Fire Code. FIRE DEPARTMENT Through commitment, D compassion and courage, the mission of the Loveland Fire & Rescue Department is to protect and save life and property. Fire & Rescue Department Fire & Rescue Department Summary

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE Operations 4,374,714 4,968,670 5,546,950 11.6% 54.8 54.8 Support Services 683,196 794,830 839,670 5.6% 7.0 7.0 Emergency Management 14,316 19,320 18,540 (4.0%) - - Total 5,072,226 5,782,820 6,405,160 10.8% 61.8 61.8

REVENUES Operations 755,112 732,160 815,650 11.4% Support Services 31,609 102,660 94,700 (7.8%) Emergency Management - 3,140 - (100.0%) Total 786,721 834,820 910,350 9.0%

APPROPRIATIONS Personal Services 4,422,559 5,018,590 5,601,730 11.6% Supplies 132,201 173,610 145,610 (16.1%) Purchased Services 354,480 398,030 381,850 (4.1%) Fixed Charges 162,986 154,490 205,110 32.8% Capital - 38,100 70,860 --- Total 5,072,226 5,782,820 6,405,160 10.8%

FIRE & RESCUE Overview The Department of Fire & Rescue Services is a combination department consisting of career and volunteer firefighters staffing the engines, rescue and truck companies, supported by volunteer firefighters staffing water tenders and other support apparatus. The Department delivers a wide range of emergency services including fire suppression, fire prevention, emergency medical services, technical rescue, hazardous materials mitigation, coordination of the City’s Emergency Management Program and public education. The Department provides these services through the resources of 62 career personnel and approximately 80 volunteers working as a team. The Department also provides services to the Loveland Rural Fire Prevention District, with the District paying it’s proportional cost of the Loveland Fire and Rescue Department’s staffing and operational costs.

Objectives Have a minimum of 4 personnel on each engine company and truck company 24/7. Increase minimum number of firefighters on all significant incidents so critical tasks can be performed safely.

City of Loveland 9-1 Budget 2005 Fire & Rescue Department DIVISION DEPARTMENT Fire Suppression Fire & Rescue

Section Summary: 03 Actual 04 Forecast 05 Budget Fire Suppression 4,374,714 4,968,670 5,546,950

REVENUES Charges for Services 31,533 - 15,000 Rural Fire District 583,980 639,130 730,650 Rural Fire - Pension 94,684 90,000 50,000 Rural Fire - Special Payment 25,389 3,030 20,000 Other Intergovernmental 2,598 - - State Grant 16,928 - - Total 755,112 732,160 815,650

APPROPRIATIONS Personal Services 3,824,455 4,345,910 4,876,760 Supplies 111,040 149,640 121,640 Purchased Services 300,993 306,770 299,080 Fixed Charges 138,226 128,250 178,610 Capital - 38,100 70,860 Total 4,374,714 4,968,670 5,546,950

FTE 46.0 54.8 54.8

Note: A 35 hour clerical position was added mid-year in 2004.

City of Loveland 9-2 Budget 2005 Fire & Rescue Department BUDGET VARIANCES (5,530) Decrease in personal services for workers' compensation due to the allocation of the City's cost based on the division's experience rating and forecasted liability costs.

113,260 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

303,360 Increase in personal services to annualize the cost of staffing Station 6.

20,000 Increase in personal services for overtime based on historic costs for wildfire assistance. The cost is offset by a reimbursement from the Rural District.

(46,220) Decrease in purchased services for general liability costs based on the division's historical experience and forecasted liability costs.

15,000 Increase in purchased services for training due to the contractual payment to Aims Community College for training classes. The costs are offset by payment from Aims to the department for rental of the Fire Training Grounds.

50,460 Increase in fixed costs for vehicle maintenance and rental based on projected fuel costs and maintenance costs, including the addition of Engine 6 to the fleet.

(38,100) Decrease in capital costs due to one-time purchase of equipment.

70,190 Normal Increases/Decreases 99,760 Personal Services (28,000) Supplies (1,470) Purchased Services (100) Fixed Charges

SUPPLEMENTS 95,860 Improvement - Increase in purchased services for training ($25,000) and in capital for equipment ($70,860) to increase the technical rescue capability.

578,280 Total Increase

City of Loveland 9-3 Budget 2005 Fire & Rescue Department FIRE SUPPRESSION Overview The Fire Suppression Division provides primary fire attack and rescue efforts, including dive rescue, rope rescue, aircraft rescue/firefighting, technical rescue, emergency medical services and hazardous materials mitigation. The department continues to see an increase in emergency medical related incidents and hazardous materials responses and structure fires.

The focus in 2005 will be reorganization of department structure relative to operational issues with career and volunteer members, increasing volunteer membership to the maximum limit, as well as, focused efforts in the specialty rescue areas of collapse, confined space, and trench rescue operations.

Objectives Respond to emergency incidents within the City limits in five minutes or less 90% of the time. Control fire within 15 minutes of arrival 80% of the time in single-family residences. All firefighters and officers certified at the level required for their rank by January 2005.

2003 2004 2005 Performance Measures Actual Projected Projected % of Fire and EMS responses in 5 minutes or less.* 73% 80% 83%

% of single family home fires contained in 15 minutes. 69% 80% 80%

% of firefighters and officers certified. 98% 100% 100%

* Note: The 5 minute response time does not include dispatch time.

City of Loveland 9-4 Budget 2005 Fire & Rescue Department DIVISION DEPARTMENT Fire Prevention Fire & Rescue

Section Summary: 03 Actual 04 Forecast 05 Budget Support Services 683,196 794,830 839,670

REVENUES Fire Works Permits 7,900 15,500 15,500 Fire Permit & Inspection Fees 17,070 22,600 16,000 Rural Fire Inspection Fees 825 2,260 1,700 Special Event Fees 3,365 60,900 60,000 Fire Extinguisher Class 168 - - Contractor Licenses 1,330 1,400 1,500 Donations 951 - - Total 31,609 102,660 94,700

APPROPRIATIONS Personal Services 598,105 672,680 724,970 Supplies 21,161 23,970 23,970 Purchased Services 39,171 71,940 64,230 Fixed Charges 24,759 26,240 26,500 Total 683,196 794,830 839,670

FTE 7.0 7.0 7.0

City of Loveland 9-5 Budget 2005 Fire & Rescue Department BUDGET VARIANCES 19,040 Increase in personal services for workers' compensation due to the allocation of the City's cost based on the division's experience rating and forecasted liability costs.

13,630 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

7,800 Increase in personal services for special event pay for events at the new events center and other special events. The cost is offset by a special event fee paid by the organizer of a special event.

(7,710) Decrease in purchased services for general liability costs based on the division's historical experience and forecasted liability costs.

260 Increase in fixed costs for vehicle maintenance and rental based on projected fuel costs and maintenance costs.

11,820 Normal Increases 11,820 Personal Services

44,840 Total Increase

City of Loveland 9-6 Budget 2005 Fire & Rescue Department FIRE PREVENTION Overview The Fire Prevention Division’s focus is primarily to safeguard citizen’s lives and property through effective emergency management coordination, inspection of buildings as part of code enforcement effort, and implementation of business occupancy risk reduction efforts. This is accomplished through plan review processes, code compliance inspections, follow–up of citizen complaints, and the regulation of storage and handling of hazardous materials. The division also initiates fire cause and origin investigations and, where arson is suspected, provides evidence to the district attorney in prosecutions.

The Fire Prevention Bureau strives to provide high quality customer service and fire safety public education to the community through presentations, demonstrations and our Fire Safety House.

The focus in 2004 has been on streamlining our workflow process to become more efficient in dealing with our day-to-day operations due to an increasing workload. In 2005, we will continue to improve our service to the community and meet the increasing demands of our community. Fire prevention education will remain a high priority and we will be working with other City of Loveland departments in determining our at-risk population and areas to focus on relative to educating the community.

Objectives Conduct effective inspections of commercial buildings and business occupancy risk reduction efforts of 60% of businesses annually. Conduct inspections and public education in 100% of commercial daycares, preschools, and R2J School District. Complete all plan review within 15 working days. Conduct timely and thorough fire investigations to determine cause and origin of every fire within our jurisdiction.

2003 2004 2005 Performance Measures Actual Projected Projected % of commercial properties inspected and cleared of violations annually. 56% 45% 50%

% of schools & commercial daycares visited each year. 100% 100% 100%

% of plan reviews completed within 15 working days. 44% 75% 80%

% of fires where cause of origin was determined. 98% 90% 99%

% of fires started by juveniles. N/A 5% 5%

% of K-5 students in all schools that receive fire education. N/A 80% 80%

City of Loveland 9-7 Budget 2005 Fire & Rescue Department DIVISION DEPARTMENT Emergency Management Fire & Rescue

Section Summary: 03 Actual 04 Forecast 05 Budget Emergency Management 14,316 19,320 18,540

Revenue State Grant - 3,140 -

Total Revenue - 3,140 -

APPROPRIATIONS Purchased Services 14,316 19,320 18,540 Total 14,316 19,320 18,540

BUDGET VARIANCES (780) Decrease in purchased services for professional services due to a one-time federal grant.

(780) Total Decrease

EMERGENCY MANAGEMENT Overview This section is responsible for the Loveland Emergency Response Plan, training department directors and senior managers, developing and equipping the Emergency Operations Center, and providing training exercises that assess the emergency management capabilities of the City. This function includes developing plans for public notification capabilities and coordinating emergency management activities with county, state and federal agencies.

Objectives Develop Comprehensive Emergency Response Plan and Emergency Operations Center for the City of Loveland that is not only local but also regional. Continue training for City employees for local and regional preparedness in the event of major incident and compliance with Homeland Security guidelines.

City of Loveland 9-8 Budget 2005 HUMAN RESOURCES DEPARTMENT

mployee’s Pension Board

E The Employee’s Pension Board oversees the pension plans of all employees (except for sworn police and fire employees.) This board is comprised of two citizen members, two employee members elected by their peers and a permanent employee member (the Accounting Manager). The Board is responsible for all policy decisions relating to the plans’ design, administration and employee education. The Board recommends major changes to City Council such as a change of plan administrator.

Employee’s relaxing at the annual summer picnic HUMAN RESOURCES We in Human Resources seek R new and better ways to help recruit, develop, support and retain individuals who provide quality services for the City’s customers. Human Resources Department Human Resources Summary

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE Internal Service Fund Human Resources 893,476 995,190 1,115,860 12.1% 10.6 10.6 Employee Benefits 5,276,663 5,935,950 7,427,570 25.1% - - Total 6,170,139 6,931,140 8,543,430 23.3% 10.6 10.6

REVENUES Internal Service Fund Employee Benefits 5,236,422 5,939,790 7,550,400 Total 5,236,422 5,939,790 7,550,400

APPROPRIATIONS Personal Services 671,323 698,220 776,640 11.2% Supplies 59,136 63,650 28,650 - Purchased Services 158,865 213,820 241,070 12.7% Fixed Charges 5,280,815 5,951,950 7,493,570 25.9% Capital - 3,500 3,500 - Total 6,170,139 6,931,140 8,543,430 23.3%

City of Loveland 10-1 Budget 2005 Human Resources Department DIVISION DEPARTMENT Human Resources Human Resources

Section Summary: 03 Actual 04 Forecast 05 Budget Internal Service Fund Human Resources 893,476 995,190 1,115,860

APPROPRIATIONS Personal Services 667,073 698,220 776,640 Supplies 27,481 28,650 28,650 Purchased Services 158,865 213,820 206,070 Fixed Charges 40,057 51,000 101,000 Capital - 3,500 3,500 Total 893,476 995,190 1,115,860

FTE 10.6 10.6 10.6

BUDGET VARIANCES 20,900 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims. 3,260 Increase in personal services for workers' compensation due to the allocation of the City's liability cost based on the department's experience rating and forecasted liability costs.

(7,750) Decrease in purchased services for general liability insurance costs based on the department's historical experience and forecasted liability costs. 54,260 Normal Increases 54,260 Personal Services

SUPPLEMENTS 50,000 Mandated: Increase in fixed costs for Unemployment Insurance due to increases in the rates charged by the State. This is a state mandated program.

120,670 Total Increase

City of Loveland 10-2 Budget 2005 Human Resources Department

HUMAN RESOURCES Overview The Human Resources department provides the following services to the City and its employees and volunteers: recruitment, selection and orientation; compensation plan development; benefits development and administration; counseling and discipline; policy development; payroll and record keeping; training and employee development; employee recognition program; and the community volunteer program.

Objectives Facilitate a leadership development planning process citywide. Retain new benefited employees and long-term volunteers after 6 months of placement. Reduce Open Doors Program appeals. Reduce voluntary termination rate.

2003 2004 2005 Performance Measures Actual Projected Projected Vacancy rate. 4% 5% 4%

% of new employees / job transfers / long-term / volunteers retained after 6 months. 92% 95% 95%

Voluntary turnover rate. 5% 5% 4%

Total Open Doors Program appeals. 10 10 9

Budget Variances 1,491,620 Increase in fixed charges due to higher charges for claims, health insurance fees and administrative expenses.

City of Loveland 10-3 Budget 2005 Human Resources Department DIVISION DEPARTMENT Employee Benefits Human Resources

Section Summary: 03 Actual 04 Forecast 05 Budget Internal Service Fund Employee Benefits 5,276,663 5,935,950 7,427,570

REVENUES & SOURCES Beginning Balance 343,641 303,400 307,240 Interest 9,223 43,750 9,220 City Contribution - Health Insurance 3,879,715 4,211,770 5,526,400 City Contribution - Life Insurance 155,742 168,960 177,430 City Contribution - Dental Insurance 256,018 284,300 351,870 City Contribution - Disability 122,229 138,170 136,950 Employee Contribution - Health Ins. 624,634 862,660 1,109,220 Employee Contribution - Dental Ins. 155,495 176,770 180,310 COBRA Health 30,963 42,760 50,000 COBRA Dental 2,403 7,740 9,000 Miscellaneous Revenue - 2,910 - Subtotal Revenue 5,236,422 5,939,790 7,550,400 Total Resource 5,580,063 6,243,190 7,857,640

APPROPRIATIONS Personal Services 4,250 - - Purchased Services 31,655 35,000 35,000 Fixed Charges 5,240,758 5,900,950 7,392,570 Total 5,276,663 5,935,950 7,427,570

Ending Balance 303,400 307,240 430,070

BUDGET VARIANCES 1,491,620 Increase in fixed charges due to higher charges for claims, health insurance fees and administrative expenses.

1,491,620 Total Increase

City of Loveland 10-4 Budget 2005 Human Resources Department EMPLOYEE BENEFIT FUND Overview Human Resources is responsible for the administration of the Employee Benefit Fund. This fund offers a competitive benefit package to employees. For medical and dental insurance the city is self–insured, with insurance protection beyond a certain limit for individual cases and total claims.

Medical claim costs are on the rise nationally and it is impacting the City’s cost. The City implemented a managed–care system in 1995 that slowed down the annual rate of increase in our benefit fund. Unfortunately, the cost saving advantages of managed care has been realized and the City is again faced with the nationwide reality that the cost of medical services and prescription medication continues to increase at a rapid rate. In 2001, premiums increased almost 14%. That rate accelerated to 16.5% in 2002, and 18% in 2003 and is projected to be over 30% in 2004. Nationwide health insurance premiums are projected to increase at an increased rate over the last few years. However, the City is implementing aggressive cost saving measures in the form of plan changes for the 2005 plan year. These measures are expected to reduce the use of services and therefore the rate of increase in claims cost in 2005.

Objectives Go out to bid for benefits vendors. Implement benefits plan cost control measures for 2005 plan.

City of Loveland 10-5 Budget 2005 INFORMATION T ECHNOLOGY DEPARTMENT

elecommunications Commission

T The Telecommunications Commission advises the City Council on matters pertaining to telecommunications in the City, including but not limited to, compliance with terms of any telecommunications franchise agreement currently existing, receiving and reviewing citizen complains concerning franchise agreement compliance, reviewing developments in the telecommunications industry, reviewing proposals and making recommendations relating to public access channels. INFORMATION TECHNOLOGY The mission of the Information Technology EPARTMENT Department is to provide D for interactive government services using effective communication and technology savvy employees throughout the organization that align technology initiatives with the City’s service delivery objectives using a collaborative approach to building a roadmap for future success. Information Technology Department Department of Information Technology Summary

2003 2004 2005 % Change 2004 2005 Internal Service Fund Actual Forecast Budget 2004-05 FTE FTE Mgmt. Info. Svcs. 1,909,519 1,936,870 - (100.0%) 14.0 - Administration - - 210,020 100.0% - 1.0 Networks & Programming - - 953,630 100.0% - 11.0 Support Services - - 1,118,410 100.0% - 5.0 Geographic Info. Svcs. 236,980 251,790 280,940 11.6% 3.3 3.7 Total IT 2,146,499 2,188,660 2,563,000 17.1% 17.3 20.7

APPROPRIATIONS Personal Services 1,219,034 1,222,050 1,600,090 30.9% Supplies 65,705 75,130 82,130 9.3% Purchased Services 608,487 656,480 645,780 (1.6%) Fixed Charges 569 - - - Capital 252,704 235,000 235,000 - Total 2,146,499 2,188,660 2,563,000 17.1%

In 2005, the Management Information Services (MIS) Division was combined with Geographic Information Services Division to form the Information Technology Department. As part of this reorganization MIS was divided into three divisions, Admistration, Networks and Programming, and Support Services.

INFORMATION TECHNOLOGY Overview For 2005, the City will combine two existing divisions under one management structure. The Land Records Management Division, which formerly resided in the Community Services Department, will move to be combined with the Management Information Services Division. The Land Records Management Division will be renamed Geographic Information Services. The change is expected to improve organization-wide strategic and operational planning, improve customer service to the user departments, and make more effective use of technology resources.

City of Loveland 11-1 Budget 2005 Information Technology Department DIVISION DEPARTMENT Management Information Services Information Technology

Section Summary: 03 Actual 04 Forecast 05 Budget Internal Service Fund MIS 1,909,519 1,936,870 - Total 1,909,519 1,936,870 -

APPROPRIATIONS Personal Services 1,027,274 1,025,720 - Supplies 53,555 52,420 - Purchased Services 575,417 623,730 - Fixed Charges 569 - - Capital 252,704 235,000 - Total 1,909,519 1,936,870 -

FTE 14.0 14.0 -

In 2005, the Management Information Services (MIS) Division was combined with Geographic Information Services Division to form the Information Technology Department. As part of this reorganization MIS was divided into three divisions, Administration, Networks and Programming, and Support Services.

City of Loveland 11-2 Budget 2005 Information Technology Department DIVISION DEPARTMENT Administration Information Technology

Section Summary: 03 Actual 04 Forecast 05 Budget Internal Service Fund Administration - - 210,020 Total - - 210,020

APPROPRIATIONS Personal Services - - 131,980 Supplies - - 4,060 Purchased Services - - 73,980 Fixed Charges - - - Capital - - - Total - - 210,020

FTE - - 1.0

BUDGET VARIANCES 1,950 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims. 10,190 Increase in personal services for workers' compensation due to allocating the City's cost to the division level based on the division's experience rating and forecasted liability costs.

7,870 Increase in purchased services for general liablity insurance costs based on the division's historical experience and forecasted liability costs.

4,640 Normal Increases 4,640 Personal Services

SUPPLEMENTS 5,900 Improvement - Increase in personal services to reclassify the Information Services Manager position to an Information Services Director position.

30,550 Total Increase

City of Loveland 11-3 Budget 2005 Information Technology Department

INFORMATION SYSTEMS Overview The three new divisions, Administration, Programming and Network Support, and Support Services, provide innovative information technology and services that are reliable, accessible, and cost effective for the City of Loveland staff and citizens. Examples are network and computer hardware/software support to Utility Billing, Public Safety, Accounting, Payroll, Public Library, Planning and Building Divisions, Parks & Recreation, and the Utility functions of the City. The telecommunications systems of phones, Phonemail, and the Platte River Power Authority’s (PRPA) fiber optic backbone are provided and supported by this workgroup. These divisions also assist city departments regarding networking, personal computers, email, document management, the City’s web presence, and technology issues in general. A technology training lab is equipped and ready to provide training opportunities for city partners, like Loveland’s Business Development Center, and city staff.

Objectives 80% of the customers are satisfied with services. Systems will be available 7 days a week from 6:00 a.m. to 10 p.m. with 1% or less of unscheduled downtime. Backups are successfully completed 100% of the time. 100% of time backed files are restored as needed. Urgent and high priority calls are resolved in 1 working day; standard calls are resolved in 3 or less working days. By utilizing technology, refresh plans for desktop, laptop, and server computers, make sure that the City’s technology platforms do not become functionally obsolete by replacing one-third of the inventory annually.

2003 2004 2005 Performance Measures Actual Projected Projected % of time network is up and available. 99% 99% 99%

% of initial response within 24 hours. 83% 95% 95%

% of high priority calls resolved in 1 day. 78% 80% 80%

% standard calls resolved in 3 working days or less. 73% 70% 70%

City of Loveland 11-4 Budget 2005 Information Technology Department DIVISION DEPARTMENT Networks and Programming Information Technology

Section Summary: 03 Actual 04 Forecast 05 Budget Internal Service Fund Networks and Programming - - 953,630 Total - - 953,630

APPROPRIATIONS Personal Services - - 894,810 Supplies - - 20,600 Purchased Services - - 38,220 Total - - 953,630

FTE - - 11.0

BUDGET VARIANCES 27,630 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

26,700 Normal Increases 26,700 Personal Services

SUPPLEMENTS 117,500 Improvement - Increase in personal services ($110,500) and operating costs ($7,000) for one new position, a Programming and Networks Administration Manager.

73,200 Improvement - Increase in personal services for one new position, an IT Administrator position. This position will be assigned to the Police Department full-time and will be stationed on-site at the Police & Courts Building.

245,030 Total Increase

City of Loveland 11-5 Budget 2005 Information Technology Department DIVISION DEPARTMENT Support Services Information Technology

Section Summary: 03 Actual 04 Forecast 05 Budget Internal Service Fund Support Services - - 1,118,410 Total - - 1,118,410

APPROPRIATIONS Personal Services - - 350,080 Supplies - - 34,760 Purchased Services - - 498,570 Capital - - 235,000 Total - - 1,118,410

FTE - - 5.0

BUDGET VARIANCES 17,920 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims. 8,980 Normal Increases 8,980 Personal Services

SUPPLEMENTS 66,800 Improvement - Increase in personal services for one new position, a Help Desk Specialist position.

93,700 Total Increase

City of Loveland 11-6 Budget 2005 Information Technology Department DIVISION DEPARTMENT Geographic Information Systems Executive & Legal

Section Summary: 03 Actual 04 Forecast 05 Budget Internal Service Fund Geographic Information System 236,980 251,790 280,940 Total 236,980 251,790 280,940

APPROPRIATIONS Personal Services 191,760 196,330 223,220 Supplies 12,150 22,710 22,710 Purchased Services 33,070 32,750 35,010 Total 236,980 251,790 280,940

FTE 3.5 3.3 3.7

NOTE: The .4 FTE year to year change is due to the reclassification of a vacant 30 hour GIS Technician Position to a 40 hour GIS Specialist position. 20 hours of this position are being allocated to Public Works and Storm Water.

BUDGET VARIANCES 5,800 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

850 Increase in personal services for workers' compensation due to allocating the City's cost to the division level based on the division's experience rating and forecasted liability costs.

(4,440) Decrease in purchased services for general liability insurance costs based on the division's historical experience and forecasted liability costs.

13,520 Normal Increases 13,520 Personal Services

SUPPLEMENTS 6,720 Workload - Increase in personal services for a GIS intern position.

6,700 Workload - Increase in purchased services for maintenance costs associated with maintaining citywide GIS.

29,150 Total Increase

City of Loveland 11-7 Budget 2005 Information Technology Department

GEOGRAPHIC INFORMATION SYSTEMS Overview The Geographic Information Systems Division (GIS) is responsible for the maintenance of the City’s centralized land-based information and of the City’s Geographic Information System. With this information, the Division provides City mapping and data products for many areas within the City. GIS also creates custom computer programs for use by City staff to assist in analyzing GIS and other land related data. The Division assists with the support of computers and related technical issues for the Department; and maintains the land-based applications on the City’s mainframe computer. Addressing for property within the City is done in the GIS Division.

Objectives Ensure that initial review of plats is completed by due date. Ensure timely access to newly created lots via the City’s geographic information system and the iSeries. Ensure that the geographic information system is available to all users at all times. Provide a GIS and mapping service to City departments that do not have their own GIS capabilities. Increase frequency of delivery of street and address data for the City’s 911/computer aided dispatch system from quarterly to monthly.

2003 2004 2005 Performance Measures Actual Projected Projected % of initial plat reviews completed by due date. 99% 100% 100%

% of lots entered into the geographic information system within 5 weeks of approval. 99% 90% 90%

% of time the geographic information system is available to users. 99% 99% 99%

% of special projects completed within the timeframe given. 91% 90% 90%

% of updates submitted on a monthly basis for new street and address information compiled for 911 computer-aided dispatch database. 100% 100% 100%

City of Loveland 11-8 Budget 2005 LOVELAND PUBLIC LIBRARY

ibrary Board

L The Library Board advises the City Manager and City Council on all matters pertaining to the management of a municipal library. This includes providing a qualified Library Director, budgeting and financing adequately to staff the library, provide appropriate Loveland Public Library books and other library materials, (including the availability of modern technology needed for operations), reporting periodically to the council and management, and providing for citizen input and involvement in determining library policies, hours of operation, fees, rules of conduct and such other services needed and desired for operation of a modern information system for the people of Loveland. LOVELAND IBRARY The mission of the Loveland L Public Library is to serve as the information center of the community, to be accessible and active in outreach to the people of all ages and backgrounds informing, educating, entertaining, and culturally enriching them and bridging the past to the future and connecting one community resource with another with a diverse collection of resources and services. The Library seeks to fulfill this mission by emphasizing excellent customer service in a welcoming environment. Loveland Public Library Loveland Public Library

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE Special Revenue Fund Library 1,890,516 2,048,540 2,167,530 5.8% 28.5 28.5

REVENUES Beginning Balance 257,190 273,110 250,760

Library 1,906,439 2,026,190 2,167,530 7.0% Subtotal Revenue 1,906,439 2,026,190 2,167,530 7.0% Total Resources 2,163,629 2,299,300 2,418,290

APPROPRIATIONS Personal Services 1,512,326 1,649,990 1,840,980 11.6% Supplies 215,306 244,150 190,570 (21.9%) Purchased Services 91,862 101,730 73,970 (27.3%) Fixed Charges 3,364 1,070 4,500 320.6% Debt Svc./Lease Payments 51,605 51,600 57,510 11.5% Capital 16,053 - - - Total 1,890,516 2,048,540 2,167,530 5.8%

Ending Balance 273,113 250,760 250,760

City of Loveland 12-1 Budget 2005 Loveland Public Library DIVISION DEPARTMENT Library Library

Section Summary: 03 Actual 04 Forecast 05 Budget Library 1,890,516 2,048,540 2,167,530

REVENUES Charges for Service 9,974 11,000 12,000 Fines 74,756 81,000 81,000 Interest 4,512 11,270 10,000 Donations 44,827 35,000 35,000 Transfer from General Fund 1,772,370 1,887,920 2,029,530 Total Revenue 1,906,439 2,026,190 2,167,530

APPROPRIATIONS Personal Services 1,512,326 1,649,990 1,840,980 Supplies 215,306 244,150 190,570 Purchased Services 91,862 101,730 73,970 Fixed Charges 3,364 1,070 4,500 Debt Service/Lease Payments 51,605 51,600 57,510 Capital 16,053 - - Total 1,890,516 2,048,540 2,167,530

FTE 28.5 28.5 28.5

City of Loveland 12-2 Budget 2005 Loveland Public Library BUDGET VARIANCES 57,980 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims. 5,640 Increase in personal services for workers' compensation due to the allocation of the city's cost based on the department's experience rating and forecasted liability costs.

(53,280) Decrease in supplies for books and periodicals due to a one time appropriation.

(12,000) Decrease in purchased services in other services due to past year balances which were reappropriated.

(19,620) Decrease in purchased services for general liability insurance based on the division's historical experience and forecasted liability costs.

4,000 Increase purchased services for travel and training.

3,430 Increase in fixed charges for vehicle and maintenance expenses based on projected fuel and maintenance costs.

5,910 Increase in debt for a lease purchase to replace the Library's six year old integrated automation system. This is the first year of a five year lease.

126,930 Normal Increases/Decreases 127,370 Personal Services (300) Supplies (140) Purchased Services

118,990 Total Increase

City of Loveland 12-3 Budget 2005 Loveland Public Library LIBRARY Overview The Loveland Public Library offers a wide array of materials, programs and services to the residents of Loveland and the area through its 17 year old, 32,000 square foot building and outreach services minivan. Many of the traditional measures of public library service indicate the Library to be a very busy and well received city service.

The Colorado State Library’s “2003 Statistics from Public Libraries Located in Metropolitan Areas with Operating Incomes Exceeding $1.25 Million” reports Loveland’s rank among the 19 reporting libraries as follows:

Inputs (Resources available to Provide Service) FTE Staff per 1,000 served: 9 of 19, 7.7% above median. Materials Expenditure per capita: 16 of 19, 35% below median. Operating Expenditures per capita: 11 of 19, 4% below median. Serials per 1,000 served: 7 of 19, 11.5% above median. Volumes per capita: 11 of 19, 6% below median.

Outputs (Measures of Library Activity) Circulation/Borrowing per capita: 9 of 19, 12.4% above median. Registration as percent of population: 9 of 19, 1.3% above median.

This information is found at http://www.lrs.org/asp_public/metro.asp and can be compared with previous year’s information.

Objectives Add more customer service-orientated content to the library web page and keep information on the web page current and relevant. Increase visit to online services by residents. Maintain pre-school literacy experiences of the target population (Birth-5). Maintain Library circulation of materials per capita.

2003 2004 2005 Performance Measures Actual Projected Projected Library wide materials borrowing per capita. 11.29 11.75 11.75

% increase in number of web page hits. 17% 15% 15%

% increase in Library visits. 10% 10% 5%

% increase in public use of Library database. 5% 5% 5%

% increase in webpage content. N/A 10% 10%

% increase in visits to online databases. N/A N/A 5%

City of Loveland 12-4 Budget 2005 PARKS & RECREATION DEPARTMENT

arks & Recreation Commission

P The Parks and Recreation Commission advises the City Council and City staff with regard to the maintenance, administration, expansion and development of the city’s parks and the city’s park and recreation programs.

olf Various parks, golf G courses, and open space Advisory around Loveland Board

The Golf Advisory Board advises and assists the Department of Parks and Recreation and the City Council on matters pertaining to golf, the City’s golf courses and the golfing public.

pen Lands Advisory Commission

O The Open Lands Advisory Commission makes recommendations to City Council regarding the attributable revenue share of the Larimer County open space sales and use tax, and regarding the use of any funds designated by the City for open lands purposes. Further, the Commission makes recommendations concerning the acquisition, disposal, jurisdictional transfers, planning, preservation, development, use and management of open space, natural areas, wildlife habitat, and other associated open land issues. PARKS & ECREATION The mission of the Loveland R Parks and Recreation Department is to provide effective, efficient and high quality leisure facilities, sites, services and programs for citizens of and visitors to the community. Parks & Recreation Department Department of Parks & Recreation Summary

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE General Fund: Administration 423,512 453,510 490,050 8.1% 3.3 3.3 Parks 2,132,906 2,184,640 2,335,240 6.9% 24.4 25.4 Recreation 2,610,591 2,930,460 3,074,990 4.9% 30.3 30.3 Subtotal General Fund 5,167,009 5,568,610 5,900,280 6.0% 58.0 59.0

Internal Service Fund Public Grounds 327,497 342,650 380,860 11.2% 2.2 2.2

Total 5,494,506 5,911,260 6,281,140 6.3% 60.2 61.2

REVENUES General Fund Parks 159,002 175,900 177,070 .7% Recreation 2,081,522 2,114,100 2,303,790 9.0% Total 2,240,524 2,290,000 2,480,860 8.3%

APPROPRIATIONS Personal Services 4,268,027 4,671,310 4,992,120 6.9% Supplies 455,758 441,170 453,600 2.8% Purchased Services 573,425 632,220 645,770 2.1% Fixed Charges 181,630 166,560 189,650 13.9% Capital 15,666 - - - Total 5,494,506 5,911,260 6,281,140 6.3%

City of Loveland 13-1 Budget 2005 Parks & Recreation Department PARKS & RECREATION Overview The Parks and Recreation Department is responsible for all the public recreational and parks areas including development, programming and operations. The department operates the Hatfield Chilson Recreation/Senior Center, Winona Pool, a mountain park, one 9–hole and two 18–hole public golf courses, batting cages, and Lake Loveland swimming beach. This Department also provides maintenance at the City’s public facilities, the Civic Center and Service Center grounds. The citywide natural areas program for open space needs, as well as, the off–road recreational trail system is managed through the Department.

The Department offers both competitive and recreational athletic programs including adult volleyball, basketball, softball and soccer. Organized youth sports are available in softball, football, basketball, baseball and soccer. An extensive number of recreational classes and instructional programs are provided for all ages in arts and crafts, as well as, hobby and cultural activities. The Chilson Center offers both athletic and fitness facilities, in addition to recreational activities.

During 2005, the Department estimates generating in excess of $2.0 million in user fees and revenues from recreational programs, athletic events, activities and uses of the Chilson Center and Winona Pool, resulting in an 85% Recreation Division cost recovery. An additional $3 million is generated from user fees to the Golf Enterprise Fund. The Department operates on a modified “user pay” philosophy and recovers expenditures with revenues where possible and within market conditions. Cost recovery policies are used to assist in department fee and budget decisions.

Objectives Development of Youth Sports Park. Completion of renovation project at Centennial Park. Construction of recreational trail underpass on north Highway 287. Water augmentation of Jayhawker Ponds.

City of Loveland 13-2 Budget 2005 Parks & Recreation Department

DIVISION DEPARTMENT Administration Parks & Recreation

Section Summary: 03 Actual 04 Forecast 05 Budget Administration 423,512 453,510 490,050

APPROPRIATIONS Personal Services 345,303 341,600 384,960 Supplies 10,478 14,900 14,900 Purchased Services 67,731 97,010 90,190 Total 423,512 453,510 490,050

FTE 3.3 3.3 3.3

BUDGET VARIANCES 6,430 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

22,620 Increase in personal services for workers' compensation due to the allocation of the City's cost based on the department's experience rating and forecasted liability costs.

(6,820) Decrease in purchased services for general liability insurance based on the department's historical experience and forecasted liability costs.

14,310 Normal Increases 14,310 Personal Services

36,540 Total Increase

ADMINISTRATION Objectives This Division is responsible for the planning, design and construction, and operation and maintenance of the City’s parks, natural areas and open spaces, the Loveland Cemetery, recreational trails, and the special use and public ground areas.

City of Loveland 13-3 Budget 2005 Parks & Recreation Department DIVISION DEPARTMENT Parks Parks & Recreation

Section Summary: 03 Actual 04 Forecast 05 Budget Cemetery 224,528 238,640 255,560 Grounds 632,120 666,410 681,250 Mountain Parks 155,886 133,290 137,670 Operations 485,748 517,520 576,560 Projects/Fleet Maintenance 483,934 471,240 518,270 Planning 150,690 157,540 165,930 Total 2,132,906 2,184,640 2,335,240

REVENUES Cemetery 159,002 175,080 177,070 Total 159,002 175,080 177,070

APPROPRIATIONS Personal Services 1,542,200 1,634,340 1,753,630 Supplies 234,768 219,790 231,470 Purchased Services 195,539 198,920 198,920 Fixed Charges 147,954 131,590 151,220 Capital 12,445 - - Total 2,132,906 2,184,640 2,335,240

FTE 24.3 24.4 25.4

City of Loveland 13-4 Budget 2005 Parks & Recreation Department BUDGET VARIANCES 49,170 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims. 19,630 Increase in fixed charges due to increase in costs associated with vehicle and equipment rental based on projected fuel and maintenance costs.

39,920 Normal Increases 39,920 Personal Services

SUPPLEMENTS - Improvement - Increase for one new Construction Coordinator/Project Manager position to lead on-site management of the Youth Sports Park and future construction projects. The dollars associated with this position will be funded out of the CEF Funds in 2005, thus no increase in funding is shown here.

41,880 Improvement - Increase in personal services ($30,200) and operating ($11,680) for maintenance of Centennial Park after construction is complete.

150,600 Total Increase

City of Loveland 13-5 Budget 2005 Parks & Recreation Department

PARKS Overview Cemetery - This section manages and maintains the 46-acre City of Loveland Cemetery, which is comprised of Lakeside Cemetery and Loveland Burial Park.

Parks Maintenance - Loveland maintains 26 developed parks, covering 263 acres and containing 22 softball fields, 23 playgrounds, 11 reservable picnic shelters, 4 racquetball courts and 21 tennis courts. For management purposes, the maintenance of these parks is split into Operations and Grounds.

Parks Planning - This section performs project planning and project management of parks, recreation areas, trails and construction projects.

Projects/Fleet Maintenance - This section performs in–house park construction and maintains turf and construction equipment used in the parks system.

2004 FTE 2005 FTE Cemetery 3.6 3.6 Grounds 6.5 6.5 Mountain Park 2.0 2.0 Operations 5.0 5.0 Projects/Fleet Maintenance 5.3 5.3 Planning 2.0 3.0 Total 24.4 25.4

Objectives Increase youth sport facilities available. Extend cemetery lots available for burials. Provide high quality park facilities for public use.

2003 2004 2005 Performance Measures Actual Projected Projected Developed park acreage maintained. 263 263 263

Operating cost / developed park acre. $6,075 $6,290 $6,600

Cemetery Operation Cost Recovery. 79% 72% 73%

City of Loveland 13-6 Budget 2005 Parks & Recreation Department DIVISION DEPARTMENT Recreation Parks & Recreation

Section Summary: 03 Actual 04 Forecast 05 Budget Adult Athletics 265,370 291,230 299,480 Concessions/Batting Cages 121,007 144,920 146,220 Hatfield Chilson Recreation Center 1,306,616 1,499,660 1,576,210 Outdoor Aquatics 102,186 121,380 126,340 Recreation Programs 438,618 456,720 450,640 Senior Services 156,875 174,510 223,040 Youth Athletics 219,919 242,040 253,060 Total 2,610,591 2,930,460 3,074,990

REVENUES Outdoor Aquatics 94,681 127,500 127,500 Youth Athletics 181,437 183,910 192,680 Recreation Programs 243,455 229,800 229,500 Recreation Center 1,047,725 1,151,400 1,184,500 Adult Athletic Programs 318,019 342,610 342,610 Concessions 144,463 149,500 149,500 Senior Services 51,742 70,500 77,500 Total 2,081,522 2,255,220 2,303,790

APPROPRIATIONS Personal Services 2,166,707 2,462,270 2,606,220 Supplies 183,785 178,570 178,570 Purchased Services 244,501 275,180 275,180 Fixed Charges 12,377 14,440 15,020 Capital 3,221 - - Total 2,610,591 2,930,460 3,074,990

FTE 29.8 30.3 30.3

Note: One Recreation Coordinator position was increased from half time to full time mid-year 2004.

City of Loveland 13-7 Budget 2005 Parks & Recreation Department BUDGET VARIANCES 55,740 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

580 Increase in fixed charges due to increase in costs associated with vehicle and equipment rental based on projected fuel and maintenance costs.

88,210 Normal Increases 88,210 Personal Services

144,530 Total Increase

City of Loveland 13-8 Budget 2005 Parks & Recreation Department RECREATION Overview Adult Athletics - Adult Athletics is supported by user fee revenues to provide coordination and supervision for adult athletic programming. Adult programs include: competitive leagues in basketball, volleyball, in–line hockey, soccer, softball and softball tournaments.

Batting Cages/Concessions - This area operates seasonal food concessions at Winona Pool, Lake Loveland Beach and Kroh Park, as well as, the concessions at Barnes Park. The Barnes Park Batting Cages feature pitching machines, which are open during league and tournament play.

Hatfield Chilson Recreation/Senior Center - The Hatfield Chilson Recreation/Senior Center is a multi–purpose facility designed for all ages of guests for programmed instruction or drop–in use. The Center includes 2 gymnasiums, an indoor running track, an aerobics room, weight training areas, 3 racquetball courts, a steam room and whirlpool, and a 25–meter indoor pool with a water slide. The adjacent Senior Center provides a large banquet room for dances, socials, meals and meetings. A game room, billiard area, lounge and kitchen are available for the seniors as well.

Outdoor Aquatics - Outdoor Aquatics includes the Lake Loveland Swim Beach and Winona Swim Pool. The City operates a supervised swimming area at Lake Loveland at no admission charge to the public. Winona is an outdoor swimming pool with a water slide and leisure pool for younger children, open for operation during the summer months.

Recreation Programs - Recreation programs include outdoor recreation, general instruction and recreation activities. Outdoor recreation programs include horseback riding, canoeing, skiing, camping and rock climbing for all ages. In addition, diverse activities in crafts and cultural arts, dance, music, computers, cooking, martial arts and financial planning are offered.

Senior Services - This program provides social, educational, recreational, and health–related programs and services to Loveland’s senior population.

Youth Athletics - The Youth Athletics Program offers year–round instruction in softball, football, basketball, baseball, tennis, gymnastics, in–line hockey and soccer.

2004 2005 FTE FTE Adult Athletics 2.2 2.2 Concessions/Batting cages 0.4 0.4 Hatfield–Chilson Recreation Center 18.4 18.4 Outdoor Aquatics 0.3 0.3 Recreation Programs 3.9 3.9 Senior Services 2.8 2.8 Youth Athletics 2.3 2.3 Total 30.3 30.3

City of Loveland 13-9 Budget 2005 Parks & Recreation Department Objectives Maintain clean, safe and attractive facilities. Increase level of participation in programs. Meet and exceed City Council and Department cost recovery goals through effective and efficient financial management of resources. Increase amount of registrations processed by automated registration systems.

2003 2004 2005 Performance Measures Actual Projected Projected % of cost recovered in Recreation Programs/Facilities. 80% 78% 76%

% cost recovery at Chilson Center through user fees & charges. 78% 77% 76%

Average daily attendance at Chilson Center. 1,063 1,040 1,060

City of Loveland 13-10 Budget 2005 Parks & Recreation Department DIVISION DEPARTMENT Public Grounds Parks & Recreation

Section Summary: 03 Actual 04 Forecast 05 Budget Internal Service Fund Public Grounds 327,497 342,650 380,860

APPROPRIATIONS Personal Services 213,817 233,100 247,310 Supplies 26,727 27,910 28,660 Purchased Services 65,654 61,110 81,480 Fixed Charges 21,299 20,530 23,410 Total 327,497 342,650 380,860

FTE 2.2 2.2 2.2 BUDGET VARIANCES 4,210 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

2,020 Increase in personal services for workers' compensation due to allocating the City's cost to the division level based on the division's experience rating and forecasted liability costs.

(350) Decrease in purchased services for general liability insurance costs, due to allocating the City's cost to the division level based on the division's historical experience and forecasted liability costs.

2,880 Increase in fixed charges for vehicle and maintenance expenses based on projected fuel and maintenance costs.

20,720 Increase in purchased services for grounds maintenance of the old fairgrounds ($10,210) and Fire Station #6 ($10,510).

750 Increase in supplies for landscape materials at Fire Station #6.

7,980 Normal Increases 7,980 Personal Services

38,210 Total Increase

PUBLIC GROUNDS Overview This Division provides grounds maintenance around public buildings, fire stations and special use areas including McWhinney-Hahn Sculpture Park, the Civic Center Complex, and the old Fairgrounds.

City of Loveland 13-11 Budget 2005 POLICE DEPARTMENT

olice Department Citizen Advisory Board

P The Police Department Citizen Advisory Board serves in an advisory capacity to the Police Department and City Council concerning police related issues such as the police master plan, policies and procedures and to support communication and education between the community and the Loveland Police Department. POLICE EPARTMENT The Department of Loveland D Police Services exists for the purpose of providing an enhanced level of safety in our community, protecting the rights guaranteed to all people by the Constitution, and improving the quality of life of each citizen. Police Department Department of Police Services Summary

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE General Fund Administration 1,408,124 1,407,360 1,374,670 (2.3%) 7.0 7.0 Operations 5,510,811 6,084,600 6,469,380 6.3% 65.0 65.0 Information Services 2,176,314 2,639,540 2,647,480 0.3% 30.0 30.0 Support Services 1,767,463 1,906,290 1,982,000 4.0% 22.0 22.0 Total 10,862,712 12,037,790 12,473,530 3.6% 124.0 124.0

REVENUES General Fund Licenses & Permits 40,492 183,500 160,710 (12.4%) Charges for Services 5,754 1,050 12,000 - Intergovernmental 113,407 104,000 104,000 - Grants 75,591 88,900 33,660 (62.1%) Donations 1,750 - 1,000 - Miscellaneous 16,463 2,210 3,000 35.7% Total 253,457 379,660 314,370 (17.2%)

APPROPRIATIONS Personal Services 8,952,934 9,636,340 10,199,120 5.8% Supplies 182,953 204,980 189,430 (7.6%) Purchased Services 1,081,423 1,420,370 1,336,540 (5.9%) Fixed Charges 645,402 650,610 660,840 1.6% Capital - 125,490 87,600 (30.2%) Total 10,862,712 12,037,790 12,473,530 3.6%

City of Loveland 14-1 Budget 2005 Police Department POLICE DEPARTMENT Overview The Police Department provides professional law enforcement services for the citizens of Loveland by enforcement of federal, state, and local laws and ordinances. More than 82% of the department’s caseload is service–related and non-criminal in nature. The Police Department strives to maintain peace and order throughout the community by providing education, preventing criminal activity, and responding to calls for assistance and reports of criminal law violations.

In 1992, the Department was the 238th agency to receive National Law Enforcement Accreditation out of over 17,000 agencies. In November 2000, the agency was reaccredited and has maintained this status after the 2003 process.

The Department moved into its’ new quarters, the 104,000 square foot Loveland-Larimer Police and Courts Building in February 2002. The new building has enhanced customer service and employee efficiency.

Objectives Promote community-based problem solving. Increase the community’s perception of safety within the City by reducing the fear of crime. Improve the quality of service provided to the community by the Police Department.

City of Loveland 14-2 Budget 2005 Police Department DIVISION DEPARTMENT Administration Police

Section Summary: 03 Actual 04 Forecast 05 Budget Administration 1,402,124 1,401,360 1,368,670 Journey Conference 6,000 6,000 6,000 Total 1,408,124 1,407,360 1,374,670

REVENUES Special Event Fees 40,432 - - Police Training 4,890 - 1,000 Donations 250 - 1,000 Police Auction 3,458 2,210 3,000 Total 49,030 2,210 5,000

APPROPRIATIONS Personal Services 767,673 641,640 721,900 Supplies 29,346 23,050 22,150 Purchased Services 611,105 742,670 630,620 Total 1,408,124 1,407,360 1,374,670

FTE 7.0 7.0 7.0

BUDGET VARIANCES 2,810 Increase in personal services for workers' compensation due to allocating the City's cost to the division level based on the division's experience rating and forecasted liability costs.

13,630 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

(167,780) Decrease in purchased services for general liability costs due to allocating the City's cost to the division level based on the division's historical experience and forecasted liability costs.

44,830 Increase in purchased services for animal control services based on the contract with the Humane Society.

12,000 Increase in purchased services payments of psychologist fees.

(1,100) Decrease in purchased services for repair and maintenance based on historical experience.

62,920 Normal Increases/Decreases 63,820 Personal Services (900) Supplies

(32,690) Total Decrease

City of Loveland 14-3 Budget 2005 Police Department ADMINISTRATION Overview This executive level unit includes the Office of the Chief of Police and the Office of Professional Standards. Our Professional Standards section handles internal and citizen complaints against police employees, oversees the personnel function, and the Department Training Sergeant and Accreditation. The unit is staffed by a police lieutenant and is responsible for investigation of serious complaints, tracking, assigning, and reporting on all complaints, investigations, and commendations received by the department. The Lieutenant also conducts annual staff inspections of the department divisions and their units. The unit administers the department pay plan and supervises the training, accreditation, and personnel units. The Training Unit is responsible for managing, assigning, and reporting on all police employee training assignments and mandatory training classes and attendance. It also oversees the animal control services contract. The section is staffed by a police sergeant, who also serves as the Department Public Information Officer. The Personnel Section is responsible for handling all police employee recruitment, selection, and hiring. The section is staffed by a police sergeant who also conducts department policy reviews, personnel performance system audits, and recommends policy and procedure changes when required. Our Accreditation section is responsible for administration and management of the Department’s International Accreditation Program. The section is staffed by a civilian, who maintains ongoing audits of department policy and procedures, and modifies required directives to insure compliance with Accreditation Standards. The section is also the liaison to the Commission on Accreditation of Law Enforcement Agencies and manages tri-annual onsite audits by Commission assessors, who were in Loveland in July 2003.

2004 FTE 2005 FTE Administration 7.0 7.0 Total 7.0 7.0

Objectives To enhance employee safety and skills. To insure prompt investigation of citizen complaints. To have 80% of survey respondents say they feel safe.

2003 2004 2005 Performance Measures Actual Projected Projected % of citizen complaint investigations completed within 30 calendar days. 67% 95% 95%

% of complaints where the complainant was notified within 5 working days that the case has been assigned and the investigation begun. N/A 95% 95%

% of survey respondents that responded “Safe” on a City survey. 28% 80% 80%

City of Loveland 14-4 Budget 2005 Police Department DIVISION DEPARTMENT Operations Division Police

Section Summary: 03 Actual 04 Forecast 05 Budget Operations Administration 240,312 267,690 274,650 Patrol 4,787,363 5,262,880 5,630,450 Traffic 483,136 554,030 564,280 Total 5,510,811 6,084,600 6,469,380

REVENUES Special Events 60 183,500 160,710 State & Federal Grants 17,901 30,960 33,660 Charges for Service - - 10,000 Other 13,004 - - Total 30,965 214,460 204,370

APPROPRIATIONS Personal Services 4,750,737 5,249,390 5,543,190 Supplies 100,022 114,900 109,100 Purchased Services 41,510 64,200 128,650 Fixed Charges 618,542 650,610 660,840 Capital - 5,500 27,600 Total 5,510,811 6,084,600 6,469,380

FTE 65.0 65.0 65.0

City of Loveland 14-5 Budget 2005 Police Department BUDGET VARIANCES 21,780 Increase in personal services for workers' compensation due to the allocation of the City's cost based on the division's experience rating and forecasted liability costs. 126,720 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

1,100 Increase in supplies for tools and equipment based on historical experience.

(6,450) Decrease in supplies for clothing based on historical experience.

57,010 Increase in purchased services for general liability costs due to allocating the City's cost to the division level based on the division's historical experience and forecasted liability costs.

4,400 Increase in costs for purchased services for the motorcycle lease and maintenance.

11,230 Increase in fixed costs for vehicle maintenance and rental based on projected fuel costs and maintenance costs.

(5,500) Decrease in capital costs due to a one-time purchase.

146,890 Normal Increases/Decreases 145,300 Personal Services (450) Supplies 3,040 Purchased Services (1,000) Fixed Charges

SUPPLEMENTS 27,600 Improvement - Increase in capital to replace 3 Astrovans and upgrade to pursuit-rated sport utility vehicles.

384,780 Total Increase

City of Loveland 14-6 Budget 2005 Police Department OPERATIONS Overview This division manages the following sections: Patrol, Traffic, Chaplains and Explorer Scouting. Patrol provides front line law enforcement services to the community 24 hours per day, 365 days per year. Lieutenants command each of the three patrol shifts. Patrol officers are assigned a patrol car on a 24– hour take–home basis. This program has been successful in increasing the visibility of police and in reducing fleet costs. This division also includes the Reserve Officers Program, Bicycle Program, Gangstop Officers, Mounted Patrol Unit, K–9 Unit, SWAT, Bomb Squad, and the Chaplains Program. Traffic officers are assigned to address the frequent traffic complaints coming into the City, as well as, increasing traffic enforcement to lower accident rates. One sergeant is assigned to oversee the traffic unit.

2004 FTE 2005 FTE Operations Administration 2.0 2.0 Traffic 6.0 6.0 Patrol 57.0 57.0 Total 65.0 65.0

Objectives To arrive on scene to emergency calls within 4 minutes of dispatch. To develop and maintain productive problem solving partnerships with public and private organizations. To improve safety of City streets through police involvement in directed traffic enforcement.

2003 2004 2005 Performance Measures Actual Projected Projected % increase in seatbelt compliance. N/A 5% 5%

% of emergency calls where police arrive on scene within 4 minutes. 83% 85% 85%

% reduction in injury accidents throughout the City. N/A 5% 5%

City of Loveland 14-7 Budget 2005 Police Department DIVISION DEPARTMENT Information Services Division Police

Section Summary: 03 Actual 04 Forecast 05 Budget Administrative Services 243,811 422,440 360,840 Communications 1,406,485 1,601,820 1,632,700 Records 526,018 615,280 653,940 Total 2,176,314 2,639,540 2,647,480

REVENUES Grants 57,690 57,940 - Dispatch Services 113,407 104,000 104,000 Records 864 1,050 1,000 Donations 1,500 - - Total 173,461 162,990 105,000

APPROPRIATIONS Personal Services 1,739,237 1,934,760 2,057,990 Supplies 33,021 42,150 34,800 Purchased Services 404,056 542,640 494,690 Capital - 119,990 60,000 Total 2,176,314 2,639,540 2,647,480

FTE 30.0 30.0 30.0

City of Loveland 14-8 Budget 2005 Police Department BUDGET VARIANCES 9,690 Increase in personal services for workers' compensation due to the allocation of the City's cost based on the division's experience rating and forecasted liability costs.

50,240 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

(5,700) Decrease in supplies for office supplies based on historical experience.

(1,600) Decrease in supplies for tools and equipment based on historical experience.

13,230 Increase in purchased services for general liability costs due to allocating the City's cost to the division level based on the division's historical experience and forecasted liability costs.

(12,000) Decrease in purchased services for pre-employment screening costs based on projected turnover rates.

(50,410) Decrease in purchased services for professional services, repair and maintenance, training, and other services due to a one-time grant from LETA.

5,190 Increase in purchased services for repair and maintenance of the CAD system based on contractual arrangements.

(59,990) Decrease in capital due to a one-time reappropriation of funds for the purchase of laptop computers.

59,290 Normal Increases/Decreases 63,300 Personal Services (50) Supplies (3,960) Purchased Services

7,940 Total Increase

City of Loveland 14-9 Budget 2005 Police Department INFORMATION SERVICES Overview This Division is responsible for 911 communications and dispatching for police, fire and EMS, police records and information technology, including technology project management and crime analysis. The Communications section is responsible for the 24-hour emergency dispatching for the Loveland Police and Fire Departments, Berthoud Fire Department, and the Thompson Valley Ambulance Service. Loveland is the answering point for 911 calls in all of southern Larimer County, covering in excess of two hundred square miles and handling an estimated 65,435 calls in 2003. The center is managed by a civilian manager and two communication supervisors. Our Records Section is responsible for typing police reports; recording summons; sorting, filing, and maintaining case reports; maintaining and dispersing criminal history information on persons; compiling statistical information; and acting as the receptionist and front desk report taker for the Police Department. The unit is managed by a civilian manager and a supervisor. The Administration Services section is responsible for the management of data for police reporting, which involves the review of data input, output, and storage. This area is also responsible for recommending new technology purchases and training police employees in their use. Our Crime Analyst provides pertinent information relative to crime patterns and trend correlation to assist operational and administrative personnel in planning the deployment of resources for the prevention and suppression of criminal activities. The Crime Analyst is a civilian and serves collaterally as the Police Information Manager over the Records section.

2004 FTE 2005 FTE Administration Services 2.0 2.0 Communications 18.0 18.0 Records 10.0 10.0 Total 30.0 30.0

Objectives To answer all 911 calls within 2 rings and/or 5 seconds of initial ring time into Communication Center. To provide timely processing of police reports.

2003 2004 2005 Performance Measures Actual Projected Projected % of 911 calls answered within 2 rings. 86% 100% 100%

% of time traffic accident and police reports involving a felony are available to all customers within 2 business days. 17% 80% 80%

City of Loveland 14-10 Budget 2005 Police Department DIVISION DEPARTMENT Support Services Police

Section Summary: 03 Actual 04 Forecast 05 Budget Community Policing 84,963 96,310 98,620 Community Resources 304,682 335,040 328,720 Drug Free Grant 111,867 135,940 141,100 Investigations 723,247 765,740 813,980 Narcotics & Vice 204,303 209,860 219,230 Services Administration 173,526 176,170 186,950 Technical Support 164,875 187,230 193,400 Total 1,767,463 1,906,290 1,982,000

APPROPRIATIONS Personal Services 1,695,288 1,810,550 1,876,040 Supplies 20,562 24,880 23,380 Purchased Services 24,753 70,860 82,580 Fixed Charges 26,860 - - Total 1,767,463 1,906,290 1,982,000

FTE 22.0 22.0 22.0

BUDGET VARIANCES 7,250 Increase in personal services for workers' compensation due to the allocation of the City's cost based on the division's experience rating and forecasted liability costs.

35,700 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

12,080 Increase in purchased services for general liability costs due to allocating the City's cost to the division level based on the division's historical experience and forecasted liability costs.

20,680 Normal Increases/Decreases 22,540 Personal Services (1,500) Supplies (360) Purchased Services

75,710 Total Increase

City of Loveland 14-11 Budget 2005 Police Department SUPPORT SERVICES Overview This Division manages and administers all department support services including Investigations, Special Investigations Unit, Community Resource Unit, and the Technical Support Unit. Our Investigations Unit handles major crime scenes and follow–up investigations in the areas of general crime, juvenile investigations, sexual offenses, and check fraud. The Technical Support Unit is responsible for collecting, transporting, storing, and processing property and evidence for the department. The Community Response Unit is the home for three School Resource Officers, one Crime Prevention Officer, Senior Volunteers, and Restorative Justice Program. The Crime Prevention Officer coordinates community outreach for all age groups. Examples include: Crime Prevention Education, Adult Protection Services, Neighborhood Watch programs, the Annual Fishing Derby and Senior Volunteers. During the school year, the three School Resource Officers work full-time in the Loveland high schools and middle schools and carry out a wide variety of duties. They are the first responders to emergencies in the school; investigate school related crimes, teach classes, and sometimes take on coaching responsibilities. The Loveland Restorative Justice Program is the only such program with a full time dedicated law enforcement officer in the United States. In the program, criminal violators come face to face with the crime victim. A facilitator leads the meeting and the victim is able to explain to the violator how the crime adversely affected their life.

2004 FTE 2005 FTE Community Resources 4.0 4.0 Crime Prevention 1.0 1.0 Investigations 9.0 9.0 Special Investigations Unit 2.0 2.0 Support Services Administration 2.0 2.0 Technical Support 2.0 2.0 Drug Free Grant 2.0 2.0 Total 22.0 22.0

Objectives To have 70% of total cases assigned to detectives be successfully cleared by a police investigation. To work with community members in the Restoration Justice process to lower the recidivism rate among juvenile offenders. Provide crime trend information involving specific neighborhoods in 40% of all neighborhood community resource meetings.

2003 2004 2005 Performance Measures Actual Projected Projected % of total cases assigned to the Investigations Unit for follow up that were successfully cleared. 85% 70% 70%

% decrease of repeat offenders after Restorative Justice conference. N/A 16% 16%

% of citizens surveyed who attended police/neighborhood meetings and responded they received valuable information. 73% 100% 100%

City of Loveland 14-12 Budget 2005 PUBLIC W ORKS DEPARTMENT

ransportation Advisory Board

T The Transportation Advisory Board advises City Council on matters pertaining to all modes of transportation. The Board reviews and recommends updates to the Transportation Master Plan, considers local and regional transportation matters, reviews and recommend changes to policies related to transportation, and examines the budget and capital improvements plan related to Engineering, Streets and Transit. The board also reviews and recommends changes to transportation and transit fee, rates and charges. The board may address other issues as assigned by City Council.

Transportation Advisory Board Members PUBLIC W ORKS DEPARTMENT The Department of Public D Works’ mission is to ensure Loveland remains a pleasant, safe, and economically-viable community for all its citizens and visitors by providing and maintaining reliable and cost-effective transportation systems, storm drainage, solid waste management, city facilities, and equipment. Public Works Department Department of Public Works Summary

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE General Fund Administration 199,299 106,320 112,810 6.1% 1.0 1.0 Project Engineering 3,023,905 3,088,600 3,399,290 10.1% 6.3 8.3 Street Maintenance 1,474,935 1,559,630 1,786,310 14.5% 13.6 14.6 COLT 650,048 743,820 755,510 1.6% 10.5 10.5 Traffic Engineering 1,063,738 1,112,490 1,199,030 7.8% 10.0 10.0 Development Engineering 313,232 400,250 422,910 5.7% 5.0 5.0 Weed Control 46,093 45,000 45,000 - - - Subtotal General Fund 6,771,250 7,056,110 7,720,860 9.4% 46.4 49.4

Internal Services Facilities Management 2,660,978 2,717,310 2,838,250 4.5% 20.8 20.8 Vehicle Maintenance 1,526,486 2,061,940 2,304,250 11.8% 14.7 15.2 Subtotal Internal Services 4,187,464 4,779,250 5,142,500 7.6% 35.5 36.0

Total Public Works 10,958,714 11,835,360 12,863,360 8.7% 81.9 85.4

REVENUES General Fund Engineering 5,831,962 6,010,900 6,268,880 4.3% Street Maintenance 90,218 151,290 97,590 (35.5%) COLT 148,684 359,710 60,500 (83.2%) Traffic Engineering 126,107 126,160 135,950 7.8% Subtotal General Fund 6,196,971 6,648,060 6,562,920 (1.3%)

Internal Service Fund Vehicle Maintenance 1,548,270 2,091,940 2,266,250 8.3% Subtotal Internal Service 1,548,270 2,091,940 2,266,250 8.3%

Total 7,745,241 8,740,000 8,829,170 1.0%

APPROPRIATIONS Personal Services 4,797,138 5,024,650 5,621,090 11.9% Supplies 1,302,515 1,629,600 1,814,140 11.3% Purchased Services 4,069,689 4,355,920 4,476,060 2.8% Fixed Charges 651,824 659,380 719,250 9.1% Transfers 90,060 88,400 90,120 1.9% Capital 47,488 77,410 142,700 84.3% Total 10,958,714 11,835,360 12,863,360 8.7%

City of Loveland 15-1 Budget 2005 Public Works Department PUBLIC WORKS Overview The Department of Public Works provides planning, design, construction, and maintenance services for the general public and the City’s internal operations. The use of City facilities for meetings and special events is coordinated and supported by Public Works. This Department also manages the purchasing of vehicles and equipment for the City and maintains these plus the school district vehicles.

The public services provided include: transportation system design; street construction management and inspection; pavement management; traffic signals, signs, and pavement markings installation and maintenance; storm water collection systems design and maintenance; street maintenance and repair; snow and ice removal; fixed route and paratransit bus service; solid waste management and recycling; weed control; and mosquito control.

City of Loveland 15-2 Budget 2005 Public Works Department DIVISION DEPARTMENT Administration Public Works

Section Summary: 03 Actual 04 Forecast 05 Budget Administration 199,299 106,320 112,810

APPROPRIATIONS Personal Services 124,190 79,120 86,480 Supplies 10,099 5,060 5,060 Purchased Services 65,010 22,140 21,270 Total 199,299 106,320 112,810

FTE 1.0 1.0 1.0

BUDGET VARIANCES 280 Increase in personal services for workers' compensation due to allocating the City's cost to the division level based on the division's experience rating and forecasted liability costs.

1,130 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

(870) Decrease in purchased services for general liability costs due to allocating the City's cost to the division level based on the division's historical experience and forecasted liability costs.

5,950 Normal Increases 5,950 Personal Services

6,490 Total Increase

ADMINISTRATION Overview The Administration Division, through the department director, provides leadership and management, determines staffing and budgetary needs, coordinates a departmental public relations program, and coordinates project development and completion.

City of Loveland 15-3 Budget 2005 Public Works Department DIVISION DEPARTMENT Project Engineering Public Works

Section Summary: 03 Actual 04 Forecast 05 Budget Engineering 3,023,905 3,088,600 3,399,290

REVENUES Use Tax Auto 2,342,277 2,473,400 2,522,870 Highway Users Tax 1,614,407 1,689,800 1,723,600 State Road & Bridge Tax 576,708 600,000 621,000 Motor Vehicle Fees 202,013 208,700 212,870 Transportation Fee 945,170 974,800 1,023,540 New Street Inspection Fee 59,707 64,200 65,000 Concrete Program 91,680 - 100,000 Total 5,831,962 6,010,900 6,268,880

APPROPRIATIONS Personal Services 417,647 431,790 540,310 Supplies 13,434 7,850 16,150 Purchased Services 2,546,222 2,626,910 2,804,140 Fixed Charges 22,763 22,050 23,690 Capital 23,839 - 15,000 Total 3,023,905 3,088,600 3,399,290

FTE 6.3 6.3 8.3

City of Loveland 15-4 Budget 2005 Public Works Department BUDGET VARIANCES 3,380 Increase in personal services for workers' compensation due to the allocation of the City's cost based on the division's experience rating and forecasted liability costs.

29,750 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

18,620 Increase in personal services for the addition of a half-time clerk position.

(18,620) Decrease in purchased services to provide funding for the new clerk position.

8,820 Increase in purchased services for general liability costs due to allocation of costs at the division level based on the division's experience rating and forecasted liability costs.

260 Increase in purchased services for the City's matching share to the North Front Range Metropolitan Planning Organization (MPO) based on the annual Unified Planning Work Program.

187,030 Increase in purchased services for the street rehabilitation program due to increased revenue collections of the Transportation Utility fee.

1,640 Increase in fixed charges for vehicle maintenance and rental costs based on projected fuel prices and forecasted maintenance costs.

(27,090) Normal Decreases (26,830) Personal Services (260) Purchased Services

SUPPLEMENTS 84,900 Workload - Increase in personal services ($61,600), supplies ($8,300), and capital ($15,000) to add one Construction Inspector position and a vehicle.

22,000 Improvement - Increase in personal services for a half time GIS Specialist position. Fifty percent of the cost will be allocated to the Storm Water Enterprise.

310,690 Total Increase

City of Loveland 15-5 Budget 2005 Public Works Department PROJECT ENGINEERING Overview The Project Engineering Division is involved with most aspects of street design, construction, safety and maintenance. This division manages the design and construction of capital street and bridge projects. Updating and implementing a long–range transportation master plan is one of the major responsibilities of this division.

Objectives Identify projects and estimated budgets within 15% of actual costs. Acquire needed right-of-way in advance to avoid construction delays. Improve pavement rating of arterials and collector streets to a rating of 90. Improve local streets to a rating of 85.

2003 2004 2005 Performance Measures Actual Projected Projected Miles of city streets. 284 296 306

% of total miles of streets resurfaced by contractors. 8% 10% 10%

% of total miles of streets resurfaced with chipseal. N/A 6% 6%

% of total miles of street resurfaced by overlay/reconstruction. N/A 2% 2%

% of total miles of cul de sac overlays. N/A 1% 1%

% of total miles of streets resurfaced by a paving train rebuild. N/A 1% 1%

% of actual cost to construction projects budgets. 84% 90% 90%

Rating of arterial and collector streets on a yearly basis. N/A 90 90

Rating of local streets. N/A 85 85

Capital expenditures per capita. N/A $130 $130

Capital expenditure per accepted mile of street. N/A $26,530 $26,530

City of Loveland 15-6 Budget 2005 Public Works Department DIVISION DEPARTMENT Street Maintenance Public Works

Section Summary: 03 Actual 04 Forecast 05 Budget Street Maintenance 1,474,935 1,559,630 1,786,310 Weed Control 46,093 45,000 45,000 Total 1,521,028 1,604,630 1,831,310

REVENUES State Highway Maintenance 26,894 26,890 26,890 Recycled Asphalt 33,148 35,600 29,000 Waste Hauler License 4,800 8,400 6,200 Street Cut Permits 19,705 80,400 20,000 Weed Mowing 5,335 - 5,500 Rotomill Charges - - 5,000 Street Patch Fee - - 5,000 Miscellaneous 336 - - Total 90,218 151,290 97,590

APPROPRIATIONS Personal Services 863,279 946,260 1,067,050 Supplies 221,799 165,530 228,600 Purchased Services 118,402 181,200 183,250 Fixed Charges 317,548 311,640 322,410 Capital - - 30,000 Total 1,521,028 1,604,630 1,831,310

FTE 13.6 13.6 14.6

City of Loveland 15-7 Budget 2005 Public Works Department BUDGET VARIANCES 1,280 Increase in personal services for workers' compensation due to the allocation of the City's cost based on the division's experience rating and forecasted liability costs.

46,270 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

1,000 Increase in supplies for sand, gravel and asphalt based on historical experience and projected price increases.

2,320 Increase in purchased services for general liability costs due to allocation of costs at the division level based on the division's experience rating and forecasted liability costs.

11,770 Increase in fixed charges for vehicle maintenance and rental costs based on projected fuel prices and forecasted maintenance costs.

21,240 Normal Increases/Decreases 22,240 Personal Services 270 Supplies (270) Purchased Services (1,000) Fixed Charges

SUPPLEMENTS 80,000 Workload - Increase in supplies ($50,000) and capital ($30,000) for chemicals used in snow fighting efforts and for three anti-icing chemical storage tanks.

62,800 Workload - Increase in personal services ($51,000) and supplies ($11,800) for one new equipment operator position. Included in this request is a new dump truck with snow removal equipment ($137,700), which is budgeted in the Capital Projects Fund.

226,680 Total Increase

City of Loveland 15-8 Budget 2005 Public Works Department STREET MAINTENANCE Overview The Street Maintenance Division’s activities include street patching and repair, minor asphalt overlays, asphalt milling, alley and road shoulder maintenance, roadside mowing and weed spraying. The division provides major support for the annual Street Resurfacing Program - a citywide street reconstruction and resurfacing program planned and managed by the Projects Engineering Division. The Streets Division is also responsible for winter roadway maintenance. Crews plow snow, apply de– icing and anti–icing chemicals, load and haul snow/ice from the downtown district and other confined areas, and clear designated sidewalks. Contractors are used extensively for routine sidewalk snow removal. For major storms, contractors are used to supplement City plowing efforts and assist with post–storm cleanup.

WEED CONTROL ENFORCEMENT Overview The City contracts with Advanced Pest Management, Inc., an affiliate of Colorado Mosquito Control, Inc., for enforcement of the municipal ordinance that governs uncontrolled weeds on private property. Noncompliant property owners are notified when their weeds exceed the height limitations of the ordinance. Follow–up measures are taken to ensure the timely mowing and removal of these weeds, if necessary. The Street Maintenance Division administers this seasonal contract, and is also responsible for weed mowing and spraying along public rights–of–way.

Objectives Rebuild at least 15% of city alley with recycled asphalt & Reclamite. Crack-seal at least 10% of residential/collector streets annually. Increase pothole repair response time. Ensure arterials and highways are plowed within 8 hours of snow’s end.

2003 2004 2005 Performance Measures Actual Projected Projected % alley reconstructed with recycled asphalt & Reclamite. 14% 15% 15%

% local streets crack-sealed by City crews. 4% 10% 10%

% potholes repaired within 2 business days of call. 96% 95% 95%

% priority 1 snow routes plowed within 8 hrs of snow’s end. 100% 100% 100%

Division street rehabilitation expenditures per capita. $4.99 $5.00 $5.00

Division street rehabilitation expenditures per city mile. $1,013 $1,020 $1,025

City of Loveland 15-9 Budget 2005 Public Works Department DIVISION DEPARTMENT City of Loveland Transportation (COLT) Public Works

Section Summary: 03 Actual 04 Forecast 05 Budget COLT 650,048 743,820 755,510

REVENUES Paratransit Fares 4,731 6,400 4,000 Fixed Route Fares 22,948 25,000 11,500 Medicaid 24,524 11,210 12,000 Advertising - 26,680 15,000 Federal Grants 80,590 270,920 - Special Events 1,393 1,000 3,500 Pass Fares 14,398 18,500 14,500 Donations 100 - - Total 148,684 359,710 60,500

APPROPRIATIONS Personal Services 476,455 452,840 483,410 Supplies 11,475 30,400 10,350 Purchased Services 21,379 105,940 74,700 Fixed Charges 140,739 154,640 187,050 Total 650,048 743,820 755,510

FTE 11.5 10.5 10.5

City of Loveland 15-10 Budget 2005 Public Works Department BUDGET VARIANCES (13,040) Decrease in personal services for workers' compensation due to the allocation of the City's cost based on the division's experience rating and forecasted liability costs.

(17,800) Decrease in supplies for computer software due to a one-time federal grant for paratransit scheduling software.

7,660 Increase in purchased services for general liability costs due to allocation of costs at the division level based on the division's experience rating and forecasted liability costs.

(35,500) Decrease in purchased services for professional services due to one-time costs for a transit development plan.

1,300 Increase in fixed charges for insurance deductibles based on historical experience.

30,710 Increase in fixed charges for vehicle maintenance and rental costs based on projected fuel prices and forecasted maintenance costs.

38,360 Normal Increases/Decreases 43,610 Personal Services (2,250) Supplies (3,400) Purchased Services 400 Fixed Charges

11,690 Total Increase

City of Loveland 15-11 Budget 2005 Public Works Department CITY OF LOVELAND TRANSPORTATION (COLT) Overview The COLT Division operates three paratransit buses, one mid–sized bus and one low–floor heavy–duty transit bus to provide quality, low–cost transportation to Loveland residents.

Objectives Arrive at fixed route transfer points and primary stops within 3 minutes of schedule. Increase average paratransit vehicle occupancy.

2003 2004 2005 Performance Measures Actual Projected Projected Net General Fund cost as a percentage of total cost. 77% 60% 91%

Cost per service hour: Total Cost N/A $18.74 19.03 Fixed Route N/A $19.24 19.55 Paratransit N/A $18.36 18.65

Cost per service mile: Total cost N/A $1.73 $1.76 Fixed route N/A $1.25 $1.27 Paratransit N/A $2.46 $2.50

Cost per passenger: Total cost N/A $4.68 $4.75 Fixed route N/A $2.67 $2.71 Paratransit N/A $11.45 $11.63

Passengers per service mile: Total N/A 4.0 4.0 Fixed route N/A 7.3 7.3 Paratransit N/A 1.6 1.6

City of Loveland 15-12 Budget 2005 Public Works Department DIVISION DEPARTMENT Traffic Engineering Public Works

Section Summary: 03 Actual 04 Forecast 05 Budget Traffic Engineering 1,063,738 1,112,490 1,199,030

REVENUES Traffic Signal Maintenance 125,844 125,850 125,850 Ambulance District Payment - - 9,600 Recycled Materials 263 310 500 Total 126,107 126,160 135,950

APPROPRIATIONS Personal Services 749,877 752,580 804,810 Supplies 182,374 218,030 218,030 Purchased Services 32,480 56,850 48,910 Fixed Charges 78,376 85,030 84,080 Capital 20,631 - 43,200 Total 1,063,738 1,112,490 1,199,030

FTE 10.0 10.0 10.0

BUDGET VARIANCES 3,850 Increase in personal services for workers' compensation due to the allocation of the City's cost based on the division's experience rating and forecasted liability costs.

21,420 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

(7,940) Decrease in purchased services for general liability costs due to allocation of costs at the division level based on the division's experience rating and forecasted liability costs.

(950) Decrease in fixed costs for vehicle maintenance and rental costs based on forecasted fuel costs and maintenance costs.

26,960 Normal Increases 26,960 Personal Services

SUPPLEMENTS 43,200 Improvement - Increase in capital to replace to cost-plus pickup trucks and add them to the fleet.

86,540 Total Increase

City of Loveland 15-13 Budget 2005 Public Works Department TRAFFIC ENGINEERING Overview The Traffic Engineering Division is responsible for the installation, operations, and maintenance of all traffic control devises in the public right of way in the city. Citywide programs of responsibility include the Signal System, Sign Program, and Markings Program. The Division also issues City of Loveland Right of Way Work Permits for anything from sidewalk replacements and special events to major street detours for construction projects. The Division’s main goal is the safety of workers and the people using all forms of transportation. Safety projects such as the installation of new traffic signals and school zone flashers are sometimes federally funded by various grants through the Colorado Department of Transportation. Grant administration duties include applications, design, contract administration and construction engineering and inspection.

This Division is also responsible for promoting and planning alternative transportation services and the Traffic Calming Program for neighborhoods. This includes coordination with the regional Smart Trips Program, to encourage vehicular travel reduction through car-pooling and bicycling programs.

Objectives Reduce injury accidents and arterial corridor delays. Maintain or reduce arterial corridor travel times.

2003 2004 2005 Performance Measures Actual Projected Projected Injury accidents per million vehicle miles traveled. N/A .490 .490

Afternoon peak travel time (in minutes & seconds): Eisenhower from Rocky Mtn. Blvd. to Wilson Ave. N/A 11:22 11:22 US 287 from State Hwy 402 to 71st. N/A 10:44 10:44 Taft Ave. from State Hwy 402 to 57th. N/A 8:28 8:28 29th from Madison to Wilson. N/A 5:47 5:47

Traffic operations cost per capita. N/A $19.00 $19.74

Traffic operations cost per street mile. N/A $3,850 $4,000

City of Loveland 15-14 Budget 2005 Public Works Department DIVISION DEPARTMENT Development Engineering Public Works

Section Summary: 03 Actual 04 Forecast 05 Budget Development Engineering 313,232 400,250 422,910

APPROPRIATIONS Personal Services 300,529 369,410 397,350 Supplies 5,281 6,400 6,400 Purchased Services 7,422 24,440 19,160 Total 313,232 400,250 422,910

FTE 5.0 5.0 5.0

BUDGET VARIANCES 1,300 Increase in personal services for workers' compensation due to the allocation of the City's cost based on the division's experience rating and forecasted liability costs.

9,740 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

(5,280) Decrease in purchased services for general liability costs due to allocation of costs at the division level based on the division's experience rating and forecasted liability costs.

16,900 Normal Increases 16,900 Personal Services

22,660 Total Increase

City of Loveland 15-15 Budget 2005 Public Works Department

DEVELOPMENT ENGINEERING Overview Development Engineering represents the community interests in the evaluation of anticipated traffic impacts from new land development projects. This Division updates and maintains the City’s street design and construction standards, as well as, the policies regarding acceptable levels of traffic congestion to ensure that adequate transportation infrastructure is provided by new developments. The Development Engineering staff advises the Planning Commission and City Council on transportation issues at public hearings, as well as, provides technical information and process assistance to citizens, developers, realtors, attorneys, and consulting engineers.

Objectives Ensure that Transportation Engineering Division review of commercial building permits is completed within 15 working days. Ensure that Transportation Engineering Division review of planning and zoning major development applications is completed by the due date. Enhance communications with citizen groups and development community groups with the result being improved products and processes. Ensure that all phone calls are returned by the end of the next business day.

2003 2004 2005 Performance Measures Actual Projected Projected % of use-by-right commercial building permits reviewed within 15 business days. N/A 90% 90%

% of discretionary reviews that are completed by the due date established by the Development Review Schedule. N/A 90% 90%

% of calls returned by the end of the next business day. 93% 100% 100%

% of development applications where City Council action does not include a change in transportation conditions recommended by City Staff. N/A 95% 95%

City of Loveland 15-16 Budget 2005 Public Works Department DIVISION DEPARTMENT Facilities Management Public Works

Section Summary: 03 Actual 04 Forecast 05 Budget Internal Service Fund Support Services 407,430 448,040 515,050 General Building Maintenance 1,804,220 1,846,170 1,866,750 Service Center 176,305 145,600 148,950 Chilson Recreation Center 209,210 179,400 209,400 Golf Courses 63,813 98,100 98,100 Total 2,660,978 2,717,310 2,838,250

APPROPRIATIONS Personal Services 1,082,642 1,122,150 1,276,170 Supplies 315,716 242,500 258,500 Purchased Services 1,179,965 1,200,870 1,199,120 Fixed Charges 82,655 74,380 87,960 Capital - 77,410 16,500 Total 2,660,978 2,717,310 2,838,250

FTE 20.8 20.8 20.8

City of Loveland 15-17 Budget 2005 Public Works Department BUDGET VARIANCES 3,970 Increase in personal services for workers' compensation due to the allocation of the City's cost based on the division's experience rating and forecasted liability costs.

52,620 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

40,000 Increase in purchased services for the Civic Center security contract. These funds are transferred from the Non-Departmental section, where the contract has been budgeted to properly align cost with the function.

(11,860) Decrease in purchased services for general liability costs based on the division's historical experience and forecasted liability costs.

(29,890) Decrease in purchased services for repair and maintenance due to one-time projects.

13,580 Increase in fixed costs for vehicle maintenance and rental costs based on forecasted fuel costs and maintenance costs.

(77,410) Decrease in capital due to one-time projects.

97,430 Normal Increases 97,430 Personal Services

SUPPLEMENTS 16,000 Improvement - Increase in supplies to support events at the old Fairgrounds.

15,000 Workload - Increase in capital to replace a postage machine.

1,500 Improvement - Increase in capital to upgrade a pickup scheduled to be replaced to a larger truck that can be used for snow removal and furniture moving.

120,940 Total Increase

City of Loveland 15-18 Budget 2005 Public Works Department FACILITIES MANAGEMENT Overview The Facilities Management Division (FM) manages the operation and construction of all the City’s physical facilities. It coordinates and supports meetings and special events scheduled within City facilities, and provides full mail service to all City employees. Facilities Management also provides technical and specialized trade and construction support to City facilities.

Objectives Extend the life cycle of the City’s building systems and equipment through consistent Preventive maintenance programs. Ensure the City’s costs to support and maintain its buildings are consistent with best-in-class measures form the International Facility Management Association. Respond quickly and effectively to all FM customer requests.

2003 2004 2005 Performance Measures Actual Projected Projected % of preventive maintenance on building systems and equipment completed within the manufacturer’s recommended guidelines. 76% 80% 95%

Cost per square foot to maintain each key City facility. $4.03 $4.35 $4.35

% of all priority and emergency customer requests responded to within 1 day of notification. 79% 95% 95%

% of all customer requests completed on or before the date that the project was originally scheduled for completion. 86% 90% 90%

% of weekly communication to customers whose on-line are past their due date. 100% 100% 100%

City of Loveland 15-19 Budget 2005 Public Works Department DIVISION DEPARTMENT Vehicle Maintenance Public Works

Section Summary: 03 Actual 04 Forecast 05 Budget Vehicle Maintenance 1,526,486 2,061,940 2,304,250

REVENUE Beginning Balance - 21,780 51,780 School District 548,928 652,650 652,650 Rural Fire District 28,078 30,000 30,000 Transfer from Fleet Fund 971,264 - - Transfer from General Fund - - 18,620 Internal Service Charges - 1,409,290 1,564,980 Total Revenue 1,548,270 2,091,940 2,266,250 Total Resources 1,548,270 2,113,720 2,318,030

APPROPRIATIONS Personal Services 782,519 870,500 965,510 Supplies 542,336 953,830 1,071,050 Purchased Services 98,810 137,570 125,510 Fixed Charges 9,743 11,640 14,060 Transfers 90,060 88,400 90,120 Capital 3,018 - 38,000 Total 1,526,486 2,061,940 2,304,250

Ending Balance 21,784 51,780 13,780

FTE 14.7 14.7 15.2

City of Loveland 15-20 Budget 2005 Public Works Department BUDGET VARIANCES 1,000 Increase in personal services for workers' compensation due to the allocation of the City's cost based on the division's experience rating and forecasted liability costs.

28,530 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

64,000 Increase in supplies for fuel based on projected fuel costs and usage.

52,970 Increase in parts and supplies based on projected costs for vendor parts and large component parts.

(10,470) Decrease in purchased services for general liability costs due to the allocation of costs at the division level based on the division's experience rating and forecasted liability costs.

1,420 Increase in fixed costs for vehicle maintenance and rental costs based on forecasted fuel costs and maintenance costs.

1,720 Increase in transfers to the Internal Service Support Fund for the vehicle maintenance shop allocation of facility maintenance costs.

46,520 Normal Increases/Decreases 46,860 Personal Services 250 Supplies (1,590) Purchased Services 1,000 Fixed Charges

SUPPLEMENTS 18,620 Improvement - Increase in personal services for a half-time clerical position.

38,000 Improvement - Increase in capital to replace a stationary hoist with a mobile lift system.

242,310 Total Increase

City of Loveland 15-21 Budget 2005 Public Works Department VEHICLE MAINTENANCE Overview The Vehicle Maintenance Division performs preventive, scheduled and unscheduled maintenance of all City and Thompson School District vehicles, whether they are owned or leased. This Division is responsible for all vehicle specifications and equipment recommendations, and maintains a standard parts inventory to provide all preventive maintenance parts and some specialized parts to reduce unscheduled downtime on essential equipment.

Complete fleet management services include: vehicle specifications, formal bidding and purchasing, outfitting, planning life cycles and preventative maintenance schedules, standardized equipment selection and amortizing replacement funding, and disposing of depreciated and obsolete vehicles and equipment. This service is provided to the following divisions: Police, Facility Maintenance, Parks and Recreation, Streets, Engineering, Traffic, Building Inspection and Planning.

Only maintenance and repair services are provided to the following divisions: Thompson School District Transportation and Operations, Meter Readers, Water and Power, Warehouse, Technical Services, Golf, COLT, Storm Drainage, Street Sweeping, Solid Waste and Fire.

Two work shifts are staffed to provide repair and maintenance service to all vehicles 15 hours per day, five days per week. Twenty four hours, seven days a week emergency response is available.

Objectives Complete quarterly preventative maintenance within 1 working day. Complete annual preventative maintenance within 3 working days. Maximize vehicle availability.

2003 2004 2005 Performance Measures Actual Projected Projected # of vehicles serviced. 597 624 626

% of quarterly PMs completed in 1 day. 92% 98% 98%

% of annual PMs completed in 3 days. 88% 90% 90%

% of light duty vehicle down time. N/A 5% 5%

% of street sweep and refuse trucks vehicle down time. N/A 16% 16%

Average miles/mechanic hour for light duty (excluding police car). 581 500 500

Average miles/mechanic hours for police car. N/A 500 500

Average miles/mechanic hour for heavy duty vehicles. N/A 400 400

Average miles per mechanic hour for school buses. N/A 150 150

City of Loveland 15-22 Budget 2005 NON-DEPARTMENTAL

istoric Preservation Commission

H The Historic Preservation Commission, comprised of seven members, advises the City Council on all matters related to historic preservation. The Commission reviews resources nominated for designation as either an historic landmark or district and makes recommendations to the City Council. the Commission reviews and makes decisions on any application for a landmark alternation certificate. The Commission advises and assists owners of historic properties on physical and financial aspects of preservation, renovation,

rehabilitation, and reuse, including nomination to the local, state or National Register of Historic Places. The Commission develops and assists in public education programs, conducts surveys of historic sites, properties, or areas, and actively pursues financial assistance and incentive programs for preservation-related programs. The Commission administers the program for awarding zero-interest loans for the rehabilitation of historic structures, and reviews and makes recommendations to the City Council regarding amendments to the City of Loveland Historic Preservation Plan. Non-Departmental Non-Departmental Summary

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE General Fund City Services 9,980,468 19,252,710 13,436,620 (30.2%) - - Community Support 362,389 350,950 378,030 7.7% - - Total 10,342,857 19,603,660 13,814,650 (29.5%) - -

REVENUES General Fund Taxes 28,789,479 34,408,830 35,993,730 4.6% Licenses & Permits 14,564 12,700 15,500 22.0% Intergovernmental 42,062 42,000 10,000 (76.2%) Charges for Service 73,043 44,670 43,630 (2.3%) Interest 411,425 350,010 400,000 14.3% Miscellaneous 121,343 123,090 91,500 (25.7%) Transfers 2,246,187 2,992,700 3,238,290 8.2% Total 31,698,103 37,974,000 39,792,650 4.8%

APPROPRIATIONS Supplies 33,103 59,500 53,000 (10.9%) Purchased Services 1,078,268 1,121,280 1,094,370 (2.4%) Fixed Charges 3,788 2,910 4,700 - Transfers 9,227,698 18,419,970 12,662,580 (31.3%) Total 10,342,857 19,603,660 13,814,650 (29.5%)

City of Loveland 16-1 Budget 2005 Non-Departmental DIVISION DEPARTMENT City Services Non-Departmental

Section Summary: 03 Actual 04 Forecast 05 Budget City Services 9,980,468 19,252,710 13,436,620

REVENUES Property Tax 4,230,004 5,662,000 5,831,860 Specific Ownership Tax 535,482 614,200 632,630 Sales Tax 19,870,305 23,190,000 24,858,020 Use Tax Building 2,479,663 3,388,000 3,141,900 Franchise Tax 1,433,725 1,388,500 1,293,320 Other Tax 240,300 166,130 236,000 Licenses & Permits 14,564 12,700 15,500 State Severance Tax 42,062 42,000 10,000 Charges for Service 57,382 26,260 25,220 Community Building Use 15,661 18,410 18,410 Interest 411,425 350,010 400,000 PILT - Water Fund 352,227 395,700 399,380 PILT - Wastewater Fund 240,329 337,000 342,370 PILT - Storm Water 137,133 196,000 204,000 PILT - Power 1,430,008 1,750,000 1,966,030 PILT - Golf - 94,000 103,300 PILT - Solid Waste 86,490 220,000 223,210 Miscellaneous 121,343 123,090 91,500 Total 31,698,103 37,974,000 39,792,650

APPROPRIATIONS Supplies 33,103 59,500 53,000 Purchased Services 715,879 770,330 716,340 Fixed Charges 3,788 2,910 4,700 Transfers 9,227,698 18,419,970 12,662,580 Total 9,980,468 19,252,710 13,436,620

City of Loveland 16-2 Budget 2005 Non-Departmental BUDGET VARIANCES 15,000 Increase in purchased services for printing costs for the Council agenda packet and legal publications.

(46,500) Decrease in purchased services for investment fees due to the new investment contract.

(30,900) Decrease in purchased services for security service contract. These costs are transferred to the Facilities Management Division since the Division administers the contract.

5,950 Increase in purchased services for the payment to the Loveland-Larimer Building Authority for the City's share of the maintenance costs of the Loveland-Larimer Police and Courts Building.

141,610 Increase in transfers to the Loveland Public Library based on the Library's budget.

515,800 Increase in transfers for the transfer to the Internal Services Fund based on the General Fund's allocation for these services.

(7,488,720) Decrease in transfers for the transfer to the Capital Projects Fund based on the Capital Plan.

3,100 Increase in transfers for a transfer to Water & Power for the collection costs associated with the Street Maintenance Fee.

750,000 Increase in transfers for the first year of a two-year payment to the Wastewater Fund to reimburse the fund for development incentives approved by Council.

(55,220) Decrease in transfers for the Economic Development Incentive account due to a one-time re-appropriation of funds.

(28,720) Decrease in transfers due to a one-time transfer to the Fleet Fund.

18,620 Increase in transfers to the Vehicle Maintenance Fund for the supplement for a half-time clerical position.

395,000 Increase in transfers to the CEF Fund for the incentive agreement with McKee Hospital.

(11,110) Normal Increases/Decreases (6,500) Supplies 2,460 Purchased Services 1,790 Fixed Charges (8,860) Transfers

(5,816,090) Total Decrease

City of Loveland 16-3 Budget 2005 Non-Departmental DIVISION DEPARTMENT Community Support Non-Departmental

Section Summary: 03 Actual 04 Forecast 05 Budget Community Services 362,389 350,950 378,030

APPROPRIATIONS Purchased Services 362,389 350,950 378,030 Total 362,389 350,950 378,030

BUDGET VARIANCES 6,200 Increase in purchased services for the Loveland Center for Business Development based on the Center's budget.

11,550 Increase in purchased services for the food sales tax refund program based on historical experience.

6,000 Increase in purchased services for the School Crossing Guard program based on historical experience.

3,330 Normal Increases 3,330 Purchased Services

27,080 Total Increase

City of Loveland 16-4 Budget 2005 GENERAL FUND EQUIPMENT REPLACEMENT

lanning Commission

P The Planning Commission reviews maps, plats, zoning ordinances, subdivision ordinances, and planning matters and makes recommendations to the City Council. The Planning Commission also serves as the ex officio Zoning Board of Adjustment for the City which decides appeals and reviews orders regarding the administration or enforcement of Title 18 – Zoning. The Planning Commission is involved in revising and updating the Master Plan, the Sign Code, Development Standards, Landscaping Standards, and other development matters.

General Fund Equipment Replacement General Fund Equipment Replacement

Description 2005 2006 2007 2008 2009 Copier 10,000 - - - - Subtotal City Manager's Office 10,000 - - - - Fax Machine - 1,500 - - 1,500 Printer - 3,500 - - - Receipt Printer - 500 - - 500 Subtotal City Clerk - 5,500 - - 2,000 Printers 750 - - - - Subtotal City Attorney's Office 750 - - - - Copier replacement for Planning Division 10,000 - - - - Fax machine replacement 1,000 - - - - Large scale scanner & plotter replacement 45,000 - - - - GPS unit replacement - 14,000 - - - GIS server replacement - 13,500 - - - Color printer replacement - 4,500 - - - Subtotal Community Services 56,000 32,000 - - - Copiers - 4,000 18,000 - 5,000 Popcorn machine - - - - 6,000 Ice machine -- Rialto 2,000 - - 2,000 - Fax machines -- Museum 4,000 - - 4,000 - Light board -- Rialto 8,500 - - - - Theater lighting -- Rialto 2,100 2,100 2,100 1,200 3,000 Plotter - 10,000 - - - Printers -- Museum 2,940 - - - 4,500 Printers -- Rialto 3,500 - - - 4,500 Banquet tables -- Museum 1,200 - 1,200 - 1,600 Banquet chairs - - 6,500 - - Subtotal Cultural Services 24,240 16,100 27,800 7,200 24,600 Copier 4,000 6,000 15,000 10,000 15,000 Technical rescue team - 11,000 13,000 15,000 17,000 Dive rescue 10,350 5,500 6,500 7,500 7,800 EMS equipment - 4,000 - 5,000 - Haz mat equipment 1,700 2,500 2,000 3,600 3,000 Hose & nozzles 10,000 10,000 11,000 11,500 12,000 Printer/FAX 3,500 3,500 4,000 4,000 4,500 SCBA 16,000 16,214 13,224 11,858 12,544 Small equipment 25,000 25,000 27,000 27,000 30,000 Communications 15,000 18,000 21,000 24,000 27,000 Subtotal Fire & Rescue 85,550 101,714 112,724 119,458 128,844

City of Loveland 17-1 Budget 2005 General Fund Equipment Replacement Description 2005 2006 2007 2008 2009 Printer replacements 2,500 - - 3,500 - FAX machine - 2,500 - - - Copier - - 5,000 - - Receipt printer 500 - - - - Subtotal Municipal Court 3,000 2,500 5,000 3,500 - Mountain park equipment replacement 73,620 216,210 240,890 308,760 211,490 Chilson equipment replacement 131,780 318,820 161,040 516,380 103,280 Recreation equipment replacement 35,560 86,510 23,100 10,540 87,270 Irrigation systems replacement 166,370 165,140 206,830 130,000 197,390 Playground equipment replacement 102,480 98,600 162,360 131,070 110,230 Asphalt repairs at park locations 17,640 31,890 22,890 32,200 33,620 Hardcourt resurfacing 20,800 31,590 15,690 23,720 30,790 Subtotal Parks & Recreation 548,250 948,760 832,800 1,152,670 774,070 Replace horse (mounted patrol) - 4,370 - - - Computer software upgrades 41,800 43,680 45,650 47,700 49,850 CAD/RMS server hardware upgrade - 43,680 - 47,700 - Motorola portable radio replacements 16,720 - - 19,080 19,940 Radio repeaters replacement 41,800 43,680 - - - Printer replacement 5,230 5,460 2,850 2,980 6,230 Photocopier replacements 59,570 - 22,820 - 6,230 Intoxilizer replacement - - - 5,960 - SWAT equipment replacement 5,230 5,460 5,710 5,960 6,230 SIU transmitter replacement 2,610 - - - - Hostage phone replacement - - - 11,930 - Truck used for mounted replacement - 21,840 - - - Radar unit replacement 5,230 5,460 5,710 5,960 6,230 Bullet-proof vest replacement 6,790 7,100 7,410 7,750 8,100 McGruff robot replacement - - 11,410 - - Canine replacement 4,700 - 5,140 - 5,610 Camera replacement - - 2,850 - - Varda alarm replacement - - - 5,960 - Paper shredder replacement - - - - - Fax machine replacement - - - 2,390 2,490 Packset battery replacement 4,180 4,370 4,570 4,770 4,990 Handgun replacement 10,030 10,480 10,960 11,450 11,960 Laptop replacement - 28,390 - 31,010 - Radio consoles replacement - - - 41,740 - Video enhancement equipment 26,120 - - - - Subtotal Police 230,010 223,970 125,080 252,340 127,860

City of Loveland 17-2 Budget 2005 General Fund Equipment Replacement Description 2005 2006 2007 2008 2009 Signal equipment 44,000 48,000 52,000 56,000 60,000 Copier for Streets Division 10,000 - - - - 1976 Hyster pneumatic roller - - 80,000 - - Bomag vibratory roller - - - 50,000 - Side/rear flail mowers for JD - - - - 26,800 Side/rear mowers for MF - - 27,000 - - Sullair air compressor - - - - 30,400 Steppe distributor for 8312 mount - 36,200 - - - Western pickup plow - - - 5,300 - Hiniker pickup plow - - - 5,300 - Schmidt MF5 plow - 16,200 - - 19,000 Henke plow - 16,200 - - - Schmidt MF3 plow - - - 17,500 - Larson sander - 23,000 - 25,000 - Hiway sander - - 24,000 - - Schmidt MF3 plow - 16,200 - - - Sweepster 9' broom - - - 9,600 - Anti-icing system - - - 22,300 - John Deere self-propelled mower - - 6,100 - 6,600 Subtotal Public Works 54,000 155,800 189,100 191,000 142,800

Total General Fund 1,011,800 1,486,344 1,292,504 1,726,168 1,200,174

City of Loveland 17-3 Budget 2005 ENTERPRISE FUNDS

oveland Utilities Commission L The Loveland Utilities Commission consists of nine regular members appointed by the city council. The term of office of each member shall be three years, except that the initial term of three of the members shall be two years each and the initial term of three of the members shall be one year each, so that the terms of the commission members shall be staggered with three members to be appointed each year. A member of the City Council, appointed by the Mayor, shall serve as the non-voting City Council liaison to the commission. The director of the Water and Power Department shall serve as a non-voting staff liaison to the commission.

/ Enterprise Funds Golf Summary

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE Golf Admin. & Support 1,053,780 1,183,820 1,206,850 1.9% 5.5 5.5 Olde Course/Cattail Creek 757,947 808,110 852,320 5.5% 5.0 5.0 Mariana Butte 733,274 823,070 841,420 2.2% 6.0 6.0 Total Golf 2,545,001 2,815,000 2,900,590 3.0% 16.5 16.5

REVENUES Beginning Balance 1,275,264 1,594,920 1,085,900 Olde Course 1,046,140 1,110,000 1,110,000 - Mariana Butte 1,653,790 1,701,850 1,701,850 - Cattail Creek 314,453 358,280 358,280 - Interest 35,732 40,160 40,000 (0.4%) Miscellaneous 234,524 268,000 268,000 - Transfers 48,870 - - - Total Revenue 3,333,509 3,478,290 3,478,130 (0.0%) Total Resources 4,608,773 5,073,210 4,564,030

APPROPRIATIONS Personal Services 1,392,552 1,444,140 1,536,570 6.4% Supplies 335,010 350,390 361,530 3.2% Purchased Services 397,069 491,640 390,920 (20.5%) Fixed Charges 6,305 10,300 10,300 - Debt Service/Lease Payments 258,755 252,290 332,500 31.8% Transfers 155,310 266,240 268,770 1.0% Total Operating 2,545,001 2,815,000 2,900,590 3.0%

Capital 468,851 1,172,310 837,650 (28.5%) Total Golf 3,013,852 3,987,310 3,738,240 (6.2%)

Ending Balance 1,594,921 1,085,900 825,790

City of Loveland 18-1 Budget 2005 Enterprise Funds GOLF Overview The City operates three golf courses. The Olde Course and Mariana Butte are par 72, 18-hole golf courses and Cattail Creek is a par 3, 9-hole golf course. This fund accounts for the operation and maintenance of all the golf courses, and supervision of golf activities through contractual golf professionals who operate the concession and pro shop areas.

The golf courses operate as an enterprise fund, generating operating and ongoing capital funding needs through user fees, charges and investment of funds.

Objectives Recover 125% above the required mandated cost recovery number to ensure continuation of the Capital Improvement and Equipment Replacement programs. Maintain a consistent speed of play that provides for an efficient use of the facility and an enjoyable round for patrons. Increase ease of access to and user friendliness of acquiring tee times by automated systems. Improve and expand existing golf facilities.

2003 2004 2005 Performance Measures Actual Projected Projected % of revenue exceeding operating expense. 42% 25% 25%

% of rounds within predetermined speed of play. 87% 85% 88%

% automated tee times. 80% 85% 85%

City of Loveland 18-2 Budget 2005 Enterprise Funds DIVISION DEPARTMENT Golf Administration/Support Parks & Recreation

Section Summary: 03 Actual 04 Forecast 05 Budget Golf Administration 699,374 816,260 829,860 Golf Support 354,406 367,560 376,990 Total Golf Admin/Support 1,053,780 1,183,820 1,206,850

APPROPRIATIONS Personal Services 479,335 498,160 532,340 Supplies 81,905 81,910 77,250 Purchased Services 76,874 83,570 72,340 Fixed Charges 1,601 1,650 1,650 Debt Service/Lease Payments 258,755 252,290 254,500 Transfers 155,310 266,240 268,770 Total Operating 1,053,780 1,183,820 1,206,850

Capital - 17,390 12,000 Total Golf Administration 1,053,780 1,201,210 1,218,850

FTE 5.5 5.5 5.5

BUDGET VARIANCES 10,550 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

4,640 Increase in personal services for workers' compensation due to the allocation of the City's cost based on the department's experience rating and forecasted liability costs.

(9,230) Decrease in purchased services for general liability insurance costs based on the department's historical experience and forecasted liability costs.

(5,390) Decrease in capital due to one-time equipment purchases.

2,210 Increase in debt service and lease payments based on the debt schedule.

2,530 Increase in transfers to the Internal Service Fund based on the allocation for internal service budgets.

12,330 Normal Increases/Decreases 18,990 Personal Services (4,660) Supplies (2,000) Purchased Services

17,640 Total Increase

City of Loveland 18-3 Budget 2005 Enterprise Funds DIVISION DEPARTMENT Olde Course/Cattail Creek Parks & Recreation

Section Summary: 03 Actual 04 Forecast 05 Budget Olde Course/Cattail Maintenance 630,574 644,310 685,620 Olde Course Clubhouse 77,938 114,100 118,800 Cattail Creek Clubhouse 49,435 49,700 47,900 Total 757,947 808,110 852,320

APPROPRIATIONS Personal Services 440,169 459,280 486,590 Supplies 143,741 139,030 153,030 Purchased Services 172,233 205,950 171,850 Fixed Charges 1,804 3,850 3,850 Debt Service/Lease Payments - - 37,000 Total 757,947 808,110 852,320

Capital 310,956 567,250 336,750 Total 1,068,903 1,375,360 1,189,070

FTE 5.0 5.0 5.0

BUDGET VARIANCES 9,740 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

10,000 Increase in supplies for chemicals, drugs and lab supplies based on historical data.

(37,000) Decrease in purchased services to budget the lease purchase cost for the GPS cart system in the proper account.

37,000 Increase in debt service/lease payments for GPS cart system lease purchase payment. This is the second year of an eight year lease.

(230,500) Decrease in capital due to one-time equipment purchases.

24,470 Normal Increases 17,570 Personal Services 4,000 Supplies 2,900 Purchased Services

(186,290) Total Decrease

City of Loveland 18-4 Budget 2005 Enterprise Funds DIVISION DEPARTMENT Mariana Butte Parks & Recreation

Section Summary: 03 Actual 04 Forecast 05 Budget Mariana Butte Maintenance 640,102 680,210 702,620 Mariana Butte Clubhouse 93,172 142,860 138,800 Total 733,274 823,070 841,420

APPROPRIATIONS Personal Services 473,048 486,700 517,640 Supplies 109,364 129,450 131,250 Purchased Services 147,962 202,120 146,730 Fixed Charges 2,900 4,800 4,800 Debt Service/Lease Payments - - 41,000 Total Operating 733,274 823,070 841,420

Capital 157,895 587,670 488,900 Total Mariana Butte 891,169 1,410,740 1,330,320

FTE 6.0 6.0 6.0

BUDGET VARIANCES 11,680 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

(41,000) Decrease in purchased services to budget the lease purchase cost for the GPS cart system in the proper account.

(8,760) Decrease in purchased services in repair and maitenance based on historical data.

41,000 Increase in debt service/lease payments for GPS cart system lease purchase payment. This is the second year of an eight year lease.

(98,770) Decrease in capital due to one-time equipment purchases.

15,430 Normal Increases/Decreases 19,260 Personal Services 1,800 Supplies (5,630) Purchased Services

(80,420) Total Decrease

City of Loveland 18-5 Budget 2005 Enterprise Funds Solid Waste Management Summary

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE Solid Waste Collection 1,442,290 1,826,400 1,854,130 1.5% 11.8 11.8 Recycling 768,176 838,410 876,890 4.6% 8.3 8.3 Yard Waste 279,692 568,430 630,920 11.0% 3.6 3.6 Mosquito Control 160,450 160,450 178,050 11.0% -- -- Total Solid Waste 2,650,608 3,393,690 3,539,990 4.3% 23.7 23.7

REVENUES Beginning Balance 1,089,622 1,671,000 1,815,040 Charges for Service 3,456,654 3,555,070 3,762,020 5.8% Interest 12,728 49,400 49,400 - Miscellaneous (14,107) 3,260 - (100.0%) Transfers 331,380 - - - Total Revenue 3,786,655 3,607,730 3,811,420 5.6% Total Resources 4,876,277 5,278,730 5,626,460 6.6%

APPROPRIATIONS Personal Services 1,315,592 1,414,220 1,483,560 4.9% Supplies 196,710 421,150 341,250 (19.0%) Purchased Services 473,843 698,090 770,700 10.4% Fixed Charges 286,665 466,500 469,400 0.6% Transfers 377,798 393,730 475,080 20.7% Total Operating 2,650,608 3,393,690 3,539,990 4.3%

Capital 554,667 70,000 200,200 186.0% Total 3,205,275 3,463,690 3,740,190 8.0%

Ending Balance 1,671,002 1,815,040 1,886,270

City of Loveland 18-6 Budget 2005 Enterprise Funds SOLID WASTE Overview The City of Loveland provides solid waste collection and curbside recycling service to nearly all single– family, and to half of all multi–family dwellings, within City limits. The Waste Management Program is operated as an enterprise fund using full cost accounting principles, with all direct and indirect costs covered by user fees. A 6% payment–in–lieu–of–taxes (PILT) is made to the General Fund annually. In 2005, these PILT charges will be about $220,000.

The City’s Waste Management Program is popular with the community as noted by the City’s annual community satisfaction survey. The program has received numerous waste management awards and honors, and was one of eighteen communities selected by the United States Environmental Protection Agency for inclusion in a detailed report entitled Cutting the Waste Stream in Half: Community Record– Setters Show How.

Objectives Reduce complaints regarding missed setouts. Resolve all complaints in 1 business day. Reduce the number of injuries to field staff. Reduce at fault accidents by employees.

2003 2004 2005 Performance Measures Actual Projected Projected Missed setouts per 10,000 collections. 3.62 3.50 3.40

% of complaints resolved in 1 business day. 100% 95% 95%

% of field personnel with no OSHA recordable injuries. 86% 95% 95%

% of field personnel with no at-fault accidents. 91% 95% 95%

City of Loveland 18-7 Budget 2005 Enterprise Funds DIVISION DEPARTMENT Solid Waste Collections Public Works

Section Summary: 03 Actual 04 Forecast 05 Budget Solid Waste Collections 1,442,290 1,826,400 1,854,130

Revenue Charges for Services 1,618,823 1,668,310 1,778,760 Interest 6,873 25,500 25,500 Miscellaneous (14,110) 3,230 - Transfers 127,120 - - Total Revenue 1,738,707 1,697,040 1,804,260

APPROPRIATIONS Personal Services 652,764 719,470 735,970 Supplies 146,507 377,920 279,160 Purchased Services 282,407 346,210 353,170 Fixed Charges 167,415 182,080 237,830 Transfers 193,197 200,720 248,000 Total Operating 1,442,290 1,826,400 1,854,130

Capital 32,947 70,000 200,200 Total Solid Waste 1,475,237 1,896,400 2,054,330

FTE 11.8 11.8 11.8

City of Loveland 18-8 Budget 2005 Enterprise Funds BUDGET VARIANCES 27,280 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

(6,640) Decrease in personal services for workers' compensation due to the allocation of the City's cost based on the department's experience rating and forecasted liability costs.

(32,110) Decrease in supplies for bags and tags due to the transition to 32 gallon cart service.

(66,030) Decrease in supplies due to the one-time cost of stocking 32 gallon carts.

(3,560) Decrease in purchased services for general liability insurance costs based on the departments historical experience and forecasted liability costs.

10,450 Increase in purchased services for repair and maintenance based on projected costs for dumpster and roll off repair.

54,890 Increase in fixed charges for vehicle maintenance and rental costs based on projected fuel prices and forecasted maintenance costs.

11,750 Increase in the transfers for PILT based on projected revenue.

9,780 Increase in the transfer to Water and Power due to the allocation of billing costs.

25,750 Increase in the transfers for internal services based on the allocated costs.

(70,000) Decrease in capital due to one-time equipment purchases.

(3,830) Normal Increases/Decreases (4,140) Personal Services (620) Supplies 70 Purchased Services 860 Fixed Charges

SUPPLEMENTS 154,000 Workload - Increase in capital to replace a collection vehicle with a rear load refuse truck. 27,000 Workload - Increase in capital to replace a pickup truck and upgrade to have a Tommy Lift System installed.

19,200 Workload - Increase in capital to purchase 20-cubic yard and 30-cubic yard roll off containers.

157,930 Total Increase

City of Loveland 18-9 Budget 2005 Enterprise Funds COLLECTION Overview Trash collection by public and private haulers by City ordinance must operate under a volume–based rate system. For City service, residents can choose among two disposal options: prepaid tags for customer trash bags, or subscription–based trash carts. City carts come in three different sizes giving customers more choice and more control over their disposal costs. City rates compare quite favorably with private waste haulers’ rates within Loveland, and within surrounding communities.

Objectives Increase tons collected per refuse collector. Increase number of stops per day by refuse collector. Decrease missed collections due to collector error.

2003 2004 2005 Performance Measures Actual Projected Projected Tons collected per single family refuse collector. 2,235 2,300 2,400

Single family stops per day per refuse collector. 949 990 1030

Missed collections per 10,000 due to collector error. 3.16 3.00 3.00

Operating cost per customer for refuse collection. $68.82 $72.00 $75.00

City of Loveland 18-10 Budget 2005 Enterprise Funds DIVISION DEPARTMENT Recycling Public Works

Section Summary: 03 Actual 04 Forecast 05 Budget Recycling 768,176 838,410 876,890

Revenues Charges for Services 989,618 1,026,160 1,092,060 Interest 3,946 16,800 16,800 Miscellaneous (38) - - Transfers 111,530 - - Total Revenue 1,105,056 1,042,960 1,108,860

APPROPRIATIONS Personal Services 460,180 480,790 495,400 Supplies 40,857 28,270 45,670 Purchased Services 33,260 36,280 47,320 Fixed Charges 119,250 170,490 140,510 Transfers 114,629 122,580 147,990 Total Operating 768,176 838,410 876,890

Capital 187,493 - - Total Solid Waste 955,669 838,410 876,890

FTE 8.3 8.3 8.3

City of Loveland 18-11 Budget 2005 Enterprise Funds BUDGET VARIANCES 12,190 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

(1,600) Decrease in personal services for workers' compensation due to the allocation of the City's cost based on the division's experience rating and forecasted liability costs.

8,160 Increase in supplies for carts and bins based on projected replacement costs.

4,000 Increase in supplies for tools based on anticipated replacement costs.

1,700 Increase in supplies for parts and supplies based on projected costs.

2,520 Increase in supplies for other supplies based on projected costs.

(2,320) Decrease in purchased services for general liability insurance costs based on the division's historical experience and forecasted liability costs.

7,500 Increase in purchased services for disposal costs based on projected costs to dispose of tires and appliances.

6,840 Increase in purchased services for repair and maintenance based on projected maintenance costs for the stationary compactors and other recycling equipment.

(30,540) Decrease in fixed charges for vehicle maintenance and rental costs based on projected fuel prices and forecasted maintenance costs.

3,960 Increase in the transfers for PILT due to increased revenue.

15,060 Increase in the transfers for internal services based on the allocated costs.

6,390 Increase in the transfer to Water and Power due to the allocation of billing costs.

4,620 Normal Increases/Decreases 4,020 Personal Services 1,020 Supplies (980) Purchased Services 560 Fixed Charges

38,480 Total Increase

City of Loveland 18-12 Budget 2005 Enterprise Funds RECYCLING Overview Mandatory monthly environmental fees fund the City’s recycling, green waste composting, household hazardous waste collection, community large item disposal program, and solid waste planning programs. Over 50% of the community’s residential wastes are recycled annually, which extends the life of the Larimer County landfill.

Objectives Increase the percentage of city-collected discards recycled/composted. Revitalize our recycling education and promotion program. Increase the number of single family customers that recycle. Decrease the number of missed collections due to collector error.

2003 2004 2005 Performance Measures Actual Projected Projected % of City-collected waste recycled / composted. 54% 55% 56%

Pounds recycled per City-served customer. 563 570 580

Single family stops per day per recyclables collector. 1,186 1,240 1,290

Missed collections per 10,000 due to collector error. 2 2 2

Operating cost per customer for recycling services. $36.83 $38.00 $40.00

City of Loveland 18-13 Budget 2005 Enterprise Funds DIVISION DEPARTMENT Yard Waste Public Works

Section Summary: 03 Actual 04 Forecast 05 Budget Yard Waste 279,692 568,430 630,920

Revenue Charges for Services 677,500 686,700 711,200 Interest 1,909 7,100 7,100 Miscellaneous 41 30 - Transfers 92,730 - - Total 772,180 693,830 718,300

APPROPRIATIONS Personal Services 202,648 213,960 252,190 Supplies 9,347 14,960 16,420 Purchased Services 25 157,450 194,560 Fixed Charges - 113,930 91,060 Transfers 67,672 68,130 76,690 Total 279,692 568,430 630,920

Capital 334,227 - - Total Solid Waste 613,919 568,430 630,920

FTE 3.6 3.6 3.6

City of Loveland 18-14 Budget 2005 Enterprise Funds BUDGET VARIANCES 6,220 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

(960) Decrease in personal services for workers' compensation due to the allocation of the City's cost based on the division's experience rating and forecasted liability costs.

7,210 Increase in personal services for temporary salaries.

1,760 Increase in supplies for other supplies based on historical experience.

(960) Increase in purchased services for general liability insurance costs based on the division's historical experience and forecasted liability costs.

34,870 Increase in purchased services for yard waste hauling services based on projected costs.

(23,100) Decrease in fixed charges for vehicle maintenance and rental costs based on projected fuel prices and forecasted maintenance costs.

1,450 Increase in the transfers for PILT due to increased revenue.

4,480 Increase in the transfers for internal services based on the allocated costs.

2,630 Increase in the transfer to Water and Power due to the allocation of billing costs.

28,890 Normal Increases/Decreases 25,760 Personal Services (300) Supplies 3,200 Purchased Services 230 Fixed Charges

62,490 Total Increase

City of Loveland 18-15 Budget 2005 Enterprise Funds YARD WASTE Overview Yard wastes – i.e. grass clippings, leaves, garden trimmings, tree branches – comprise nearly one-third of our community’s annual residential waste stream. If properly separated for recycling, these materials are easily converted into valuable soil amendments and landscape mulches. Compost derived from green wastes contains valuable nutrients and increases the water holding capacity and “workability” of our area’s heavy clay soils. The City of Loveland is partnered with A-1 Organics, a Northern Colorado company that manufactures and markets a variety of landscaping products, including Loveland’s own compost, now sold in both bags and bulk form.

Objectives Increase pounds collected/composted per residential customer. Increase stops per day per yard waste collector. Decrease missed collections due to collector error.

2003 2004 2005 Performance Measures Actual Projected Projected Single family stops per day per yard waste collector. 712 740 770

Pounds collected and composted per single family customer. 1,188 1,200 1,200

Missed collections per 10,000 due to collector error. 13.07 10.00 10.00

Operating cost per customer for yard waste collection. $25.06 $27.00 $29.00

City of Loveland 18-16 Budget 2005 Enterprise Funds DIVISION DEPARTMENT Mosquito Control Public Works

Section Summary: 03 Actual 04 Forecast 05 Budget Mosquito Control 160,450 160,450 178,050

Revenues Charges for Service 170,712 173,900 180,000 Total 170,712 173,900 180,000

APPROPRIATIONS Purchased Services 158,150 158,150 175,650 Transfers 2,300 2,300 2,400 Total 160,450 160,450 178,050

FTE 0.0 0.0 0.0

BUDGET VARIANCES 17,500 Increase in purchased services for mosquito control costs based on the contract with the service provider.

100 Increase in the transfers to internal services based on the allocated costs.

17,600 Total Increase

MOSQUITO CONTROL Overview Colorado Mosquito Control, Inc., a private contractor, operates this seasonal program. The company utilizes physical, biological, and chemical methods of control to minimize mosquito nuisance. The Solid Waste Division manages the program.

City of Loveland 18-17 Budget 2005 Enterprise Funds Storm Water Summary

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE

Administration/Engineering 535,564 841,820 845,950 0.5% 4.7 5.0 Collections 305,338 390,510 492,790 26.2% 3.8 4.8 Street Sweeping 225,017 209,910 221,440 5.5% 2.3 2.3 Total 1,065,919 1,442,240 1,560,180 8.2% 10.8 12.1

REVENUES Beginning Balance 4,456,624 5,526,600 1,345,660 Utility Charges 3,194,182 3,255,000 3,400,000 4.5% Utility Other 60,279 81,000 60,000 (25.9%) Impact Fees 382,147 315,000 498,000 58.1% Interest 73,393 55,000 75,000 36.4% Transfers 65,400 42,160 6,540 (84.5%) Miscellaneous 13,638 3,500 1,000 (71.4%) Total Revenue 3,789,039 3,751,660 4,040,540 7.7% Total Resources 8,245,663 9,278,260 5,386,200 (41.9%)

APPROPRIATIONS Personal Services 539,985 652,950 784,450 20.1% Supplies 73,741 129,430 92,940 (28.2%) Purchased Services 62,760 228,580 198,380 (13.2%) Fixed Charges 57,794 80,880 92,380 14.2% Transfers 331,639 350,400 392,030 11.9% Total Operating 1,065,919 1,442,240 1,560,180 8.2%

Capital 1,653,144 6,490,360 2,449,000 (62.3%) Total Storm Water 2,719,063 7,932,600 4,009,180 (49.5%)

Ending Balance 5,526,600 1,345,660 1,377,020

City of Loveland 18-18 Budget 2005 Enterprise Funds STORM WATER Overview The Storm Water Utility is responsible for the design, construction, maintenance and repair of the Storm Water collection system within the City and operates as an enterprise fund.

Objectives Continue the drainage minor project construction and repair program in order to solve the community’s backlog of nuisance drainage problems. Construction of the South Loveland Outfall Phase II Regional Detention Pond (Wernimont Pond) and outlet conduit to serve existing development south of the Big Thompson Manufacturing Ditch. Construction of the Westerdoll Dam Rehabilitation project to provide a new outlet works /spillway in support of pending development in the area and the northerly extension of Boise Avenue. Construction of the North Wilson Avenue Phase I and II regional improvements in support of pending development in the area.

2003 2004 2005 Performance Measures Actual Projected Projected # of minor construction / repair projects completed. 24 20 20

# of arterial/highway curb miles of streets. N/A 154 160

# of times arterials swept. 11.51 12.00 12.00

# of collector/residential curb miles of streets. N/A 466 466

# of times collector/residential streets swept. 5.34 4.00 4.00

# of times downtown district swept and/or flushed. 22 40 40

% drainage inlets vacuumed. 99% 95 % 95%

% of actual project cost to budget. N/A 90% 90%

Total capital expenditures per capita. N/A $111.71 $111.71

City of Loveland 18-19 Budget 2005 Enterprise Funds DIVISION DEPARTMENT Storm Water Administration/Engineering Public Works

Section Summary: 03 Actual 04 Forecast 05 Budget Administration/Engineering 535,564 841,820 845,950

APPROPRIATIONS Personal Services 168,488 256,540 289,140 Supplies 9,900 74,700 43,450 Purchased Services 19,135 154,780 115,930 Fixed Charges 6,402 5,400 5,400 Transfers 331,639 350,400 392,030 Total 535,564 841,820 845,950

FTE 4.2 4.7 5.0

Note : One half-time engineer position added mid-year in 2004.

City of Loveland 18-20 Budget 2005 Enterprise Funds BUDGET VARIANCES (8,060) Decrease in personal services for workers' compensation due to the allocation of the City's cost based on the division's experience rating and forecasted liability costs.

7,440 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

(4,000) Decrease in supplies for office supplies based on historical experience.

(25,000) Decrease in supplies for parts and supplies based on historical experience.

(5,000) Decrease in purchased services for printing based on historical experience.

(14,090) Decrease in purchased services for general liability insurance costs based on the department's historical experience and forecasted liability costs.

(12,000) Decrease in purchased services for training based on historical experience.

8,700 Increase in transfers for PILT based on the revenue estimates.

32,930 Increase in transfers to the Internal Service Fund based on the allocation for internal service budgets.

1,210 Normal Increases/Decreases 11,220 Personal Services (2,250) Supplies (7,760) Purchased Services

SUPPLEMENT 22,000 Improvement - Increase in personal services for the Storm Water Enterprises allocation of a new GIS Specialist position. The total request is for $44,000 with the balance budgeted in the Public Works Project Engineering Division.

4,130 Total Increase

City of Loveland 18-21 Budget 2005 Enterprise Funds DIVISION DEPARTMENT Storm Water Collection Public Works

Section Summary: 03 Actual 04 Forecast 05 Budget Collections 305,338 390,510 492,790

APPROPRIATIONS Personal Services 214,588 270,680 364,050 Supplies 40,377 28,800 24,460 Purchased Services 35,820 66,510 75,260 Fixed Charges 14,553 24,520 29,020 Total Operating 305,338 390,510 492,790

FTE 3.8 3.8 4.8

BUDGET VARIANCES 24,300 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

13,490 Increase in personal services for workers' compensation due to the allocation of the City's cost based on the division's experience rating and forecasted liability costs.

(5,190) Decrease in supplies for parts and supplies and other supplies based on historical experience.

2,910 Increase in purchased services for general liability insurance costs based on the department's historical experience and forecasted liability costs.

5,000 Increase in purchased services due to increased traffic control and detention weed mowing costs.

5,000 Increase in fixed costs for vehicle maintenance based on projected fuel and maintenance

4,770 Normal Increases/Decreases 4,580 Personal Services (150) Supplies 840 Purchased Services (500) Fixed Charges

SUPPLEMENTS 52,000 Improvement - Increase in personal services ($51,000) and supplies ($1,000) to add an equipment operator position for street sweeping and cleaning catch basins and storm sewers.

102,280 Total Increase

City of Loveland 18-22 Budget 2005 Enterprise Funds DIVISION DEPARTMENT Street Sweeping Public Works

Section Summary: 03 Actual 04 Forecast 05 Budget Street Sweeping 225,017 209,910 221,440

APPROPRIATIONS Personal Services 156,909 125,730 131,260 Supplies 23,464 25,930 25,030 Purchased Services 7,806 7,290 7,190 Fixed Charges 36,838 50,960 57,960 Total 225,017 209,910 221,440

FTE 2.3 2.3 2.3

BUDGET VARIANCES 8,060 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

7,000 Increase in fixed costs for equipment maintenance based on projected fuel and maintenance costs.

(3,530) Normal Decreases (2,530) Personal Services (900) Supplies (100) Purchased Services

11,530 Total Increase

City of Loveland 18-23 Budget 2005 Enterprise Funds Water Utility Summary

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE

Water 5,844,807 8,024,370 6,664,480 (16.9%) 43.8 43.8 Finance 446,028 463,270 538,130 16.2% 7.6 7.7 Total 6,290,835 8,487,640 7,202,610 (15.1%) 51.4 51.5

REVENUES Beginning Balance 60,022,555 52,969,120 33,162,250 Utility Charges 5,970,049 6,232,000 6,656,300 6.8% Utility Other 788,014 578,400 847,200 46.5% Impact Fees 4,368,197 2,258,000 3,128,000 38.5% Interest 1,046,394 798,900 1,110,000 38.9% Miscellaneous 3,945 3,840 3,840 - Transfers 67,000 34,370 2,740 (92.0%) Total Revenue 12,243,599 9,905,510 11,748,080 18.6% Total Resources 72,266,154 62,874,630 44,910,330 (28.6%)

APPROPRIATIONS Personal Services 2,914,375 3,118,130 3,216,580 3.2% Supplies 495,360 593,210 608,300 2.5% Purchased Services 1,248,145 1,597,870 1,621,430 1.5% Fixed Charges 109,390 126,020 133,590 6.0% Debt Service 826,867 826,690 825,800 (0.1%) Transfers 696,698 2,225,720 796,910 (64.2%) Total 6,290,835 8,487,640 7,202,610 (15.1%)

Capital 13,006,198 21,224,740 11,741,620 (44.7%) Total Water 19,297,033 29,712,380 18,944,230 (36.2%)

Ending Balance 52,969,121 33,162,250 25,966,100

City of Loveland 18-24 Budget 2005 Enterprise Funds DIVISION DEPARTMENT Water Utility Water & Power

Section Summary: 02 Actual 03 Forecast 04 Budget Water 5,844,807 8,024,370 6,664,480

REVENUES Utility Charges 5,970,049 6,232,000 6,656,300 Utility Other 788,014 578,400 847,200 Impact Fees 4,368,197 2,258,000 3,128,000 Interest 1,046,394 798,900 1,110,000 Miscellaneous 3,945 3,840 3,840 Transfers 67,000 34,370 2,740 Total 12,243,599 9,905,510 11,748,080

APPROPRIATIONS Personal Services 2,563,603 2,732,450 2,793,270 Supplies 492,152 587,120 587,150 Purchased Services 1,161,084 1,532,230 1,533,970 Fixed Charges 104,403 120,160 127,380 Debt Service 826,867 826,690 825,800 Transfers 696,698 2,225,720 796,910 Total 5,844,807 8,024,370 6,664,480

Capital 12,982,565 21,224,740 11,739,920 Total Water 18,827,372 29,249,110 18,404,400

FTE 43.3 43.8 43.8

City of Loveland 18-25 Budget 2005 Enterprise Funds BUDGET VARIANCES 72,020 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

12,900 Increase in personal services for workers' compensation costs due to the allocation of the City's cost based on the Department's experience rating and forecasted liability costs.

(55,000) Decrease in personal services due to a reallocation of expenses to the Wastewater Enterprise.

(25,000) Decrease in personal services due to a reduction in overtime expense based on historical experience.

10,000 Increase in supplies for the Water Metering Division based on historical experience.

(8,000) Decrease in supplies for the Water Conservation Drought Program.

3,590 Increase in purchased services for general liability costs based on the Department's experience rating and forecasted liability costs.

34,000 Increase in purchased services for the CBT Facilities contract.

(10,000) Decrease in purchased services for the CBT assessments.

17,000 Increase in purchased services for the environmental services for additional algae monitoring.

14,300 Increase in purchased services due to an increase in the Water Enterprise allocation for contract locating services.

(65,000) Decrease in purchased services for contract street repairs based on the capital program.

45,730 Increase in transfers to the Internal Service fund based on the allocation for Internal Service budgets.

25,460 Increase in transfers for PILT payments to the General Fund based on the revenue estimates.

(1,500,000) Decrease in transfers due to the one-time transfer to the Wastewater Enterprise to fund a loan for construction costs associated with infrastructure development on the east side of town.

68,110 Normal Increases/Decreases 55,900 Personal Services (1,970) Supplies 7,850 Purchased Services 7,220 Fixed Charges (890) Debt Service

(1,359,890) Total Decrease

City of Loveland 18-26 Budget 2005 Enterprise Funds WATER UTILITY Overview The Water Utilities Division consists of all groups and programs responsible for the day–to–day operations, engineering, and management for the department’s two water–related utilities: water and wastewater. Groups within the Division also provide some support services to the Power Operations Division such as utility locates, inspection, drafting, and Geographical Information Systems (GIS).

The following sections comprise the Water Utilities Division: √ Construction and Inspection √ Technical Services √ Engineering √ Treatment Operations √ Information Technology √ Water Resources √ Maintenance and Operations √ Water Metering √ Key Accounts Program

Construction and Inspection - This section is responsible for utility location and construction inspections for all water and electric construction. This section coordinates small construction projects.

Engineering - Engineering reviews all new development proposals with respect to water and wastewater design and construction. This section manages the capital projects for both water utilities.

Information Technology - This section operates the department’s computerized drafting and geographical information systems (GIS). The water, wastewater and electric system maps are all maintained and updated by this section. They also are responsible for the department’s information technology needs such as specialized software applications, databases, development and maintenance, survey fieldwork and computer networks.

Maintenance and Operations - Maintenance and Operations is comprised of equipment operators who maintain the water transmission and distribution systems and the wastewater collection system. They repair water line leaks, clean treated water tanks, flush hydrants and inspect, wash and repair sewer lines.

Technical Services - Technicians maintain and repair all water and wastewater treatment plant controls such as pumps, motors, valves, electrical systems, and electronic components. They also are responsible for all the wastewater lift stations and water pumping stations throughout the city.

Treatment Operations - Water treatment and production, wastewater treatment and reclamation, and water quality laboratories are in this section. Certified plant operators at both plants monitor treatment processes, perform process testing, and notify technicians when equipment needs to be repaired or replaced. Laboratory personnel perform various analysis of the water to insure proper treatment is accomplished.

Water Resources - The Water Resources Section is primarily responsible for the raw water planning and water supply activities of the department. Responsibilities include everything from day–to–day administration of water rights to long–range planning for future water needs. This section works closely with the Loveland Utilities Commission in all matters concerning water resources.

City of Loveland 18-27 Budget 2005 Enterprise Funds Water Metering - Water Metering is responsible for repairing and maintaining water meters, assisting contractors with new water taps, inspecting new lawn irrigation systems, testing meters and providing customer service.

Key Accounts Program - The Water Division will provide a single-point-of-contact for larger customers on water issues through the Key Accounts Program. The program is designed to facilitate customer service and build long-term relationships with the designated key accounts.

Objectives Have 90% of respondents on customer surveys indicate they are satisfied or very satisfied with their water service. Maintain or decrease number of waterline breaks per mile on the water distribution system. Meet or exceed all applicable local, state, and federal regulations in the treatment and distribution of water.

2003 2004 2005 Performance Measures Actual Projected Projected # of leaks or breaks per 100 miles of distribution system. N/A 25 25

# of major state or federal violations per year. 0 0 0

# of minor state or federal violations per year. 3 3 3

Water treatment cost per thousand gallons. N/A $0.37 $0.37

Maintenance costs per 100 miles of piping system. N/A $655,000 $655,000

% of unaccounted for lost treated water. N/A 16% 16%

# of property damage incidents that exceed $1,000. N/A 2 2

# of personal injury accidents resulting in lost work time per year. N/A 1 1

City of Loveland 18-28 Budget 2005 Enterprise Funds DIVISION DEPARTMENT Water Finance Finance

Section Summary: 03 Actual 04 Forecast 05 Budget Utility Billing 178,072 184,530 199,710 Meter Reading 93,550 105,130 127,810 Warehouse 47,439 51,760 55,490 Utility Accounting 126,967 121,850 155,120 Total 446,028 463,270 538,130

APPROPRIATIONS Personal Services 350,772 385,680 423,310 Supplies 3,208 6,090 21,150 Purchased Services 87,061 65,640 87,460 Fixed Charges 4,987 5,860 6,210 Total 446,028 463,270 538,130

Capital 23,633 - 1,700

Total Water Finance 469,661 463,270 539,830

FTE 7.6 7.6 7.7

BUDGET VARIANCES 40,710 Normal Increases 33,530 Personal Services 10 Supplies 6,820 Purchased Services 350 Fixed Charges

SUPPLEMENTS 4,100 Improvement - Increase in personal services to add a Customer Service Clerk in Utility Billing. The total cost of this increase is $51,300, which is split between the Water, Wastewater, and Power Utilities.

15,050 Improvement - Increase in purchased services in Meter Reading to purchase new probes to read water touch pads.

15,000 Improvement - Increase in purchased services for Utility Accounting to do a water rate study.

74,860 Total Increase

City of Loveland 18-29 Budget 2005 Enterprise Funds Wastewater Utility Summary

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE Wastewaster 3,325,780 3,577,360 4,081,060 14.1% 29.0 29.0 Finance 160,771 183,770 200,220 9.0% 3.3 3.4 Total 3,486,551 3,761,130 4,281,280 13.8% 32.3 32.4

REVENUES Beginning Balance 10,886,312 8,106,580 3,226,410 Utility Charges 5,371,241 5,601,000 5,706,100 1.9% Utility Other 46,402 10,100 8,500 (15.8%) Impact Fees 1,672,467 1,088,000 1,605,000 47.5% Interest 210,672 80,000 140,400 75.5% Miscellaneous 1,550 500 1,300 160.0% Transfers 17,180 1,532,930 774,960 (49.4%) Total Revenue 7,319,512 8,312,530 8,236,260 (0.9%) Total Resources 18,205,824 16,419,110 11,462,670 (30.2%)

APPROPRIATIONS Personal Services 1,855,380 1,937,330 2,089,320 7.8% Supplies 152,506 250,420 247,600 (1.1%) Purchased Services 857,234 937,510 1,263,010 34.7% Fixed Charges 66,886 62,150 68,770 10.7% Transfers 554,545 573,720 612,580 6.8% Total 3,486,551 3,761,130 4,281,280 13.8%

Capital 6,612,697 9,431,570 5,063,720 (46.3%) Total Wastewater 10,099,248 13,192,700 9,345,000 (29.2%)

Ending Balance 8,106,576 3,226,410 2,117,670

City of Loveland 18-30 Budget 2005 Enterprise Funds DIVISION DEPARTMENT Wastewater Utility Water & Power

Section Summary: 03 Actual 04 Forecast 05 Budget Wastewater 3,325,780 3,577,360 4,081,060

REVENUES Utility Charges 5,371,241 5,601,000 5,706,100 Utility Other 46,402 10,100 8,500 Impact Fees 1,672,467 1,088,000 1,605,000 Interest 210,672 80,000 140,400 Miscellaneous 1,550 500 1,300 Transfers 17,180 1,532,930 774,960 Total 7,319,512 8,312,530 8,236,260

APPROPRIATIONS Personal Services 1,717,642 1,782,710 1,916,210 Supplies 151,450 248,230 245,370 Purchased Services 836,105 911,540 1,239,150 Fixed Charges 66,037 61,160 67,750 Transfers 554,546 573,720 612,580 Total 3,325,780 3,577,360 4,081,060

Capital 6,612,697 9,431,570 5,063,040 Total Wastewater 9,938,477 13,008,930 9,144,100

FTE 28.5 29.0 29.0

City of Loveland 18-31 Budget 2005 Enterprise Funds BUDGET VARIANCES 12,300 Increase in personal services for workers' compensation costs due to the allocation of the City's cost based on the department's experience rating and forecasted liability costs.

55,000 Increase in personal service due to the reallocation of expenses from the Water Enterprise.

(10,300) Decrease in personal services for overtime based on historical experience.

58,980 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

126,540 Increase in purchased services for general liability costs based on the department's experience rating and forecasted liability costs.

70,000 Increase in purchased services for sludge hauling costs based on projected cost increases.

87,720 Increase in purchased services for utility expenses at the Treatment Plant for UV disinfection and increased aeration.

13,900 Increase in purchased services for the contract for locating services.

6,310 Increase in transfers for PILT payments to the General Fund based on the revenue estimates.

32,550 Increase in transfers to the Internal Service Fund based on the allocation for Internal Service budgets.

18,700 Normal Increases/Decreases 17,520 Personal Services (2,860) Supplies (2,550) Purchased Services 6,590 Fixed Charges

SUPPLEMENTS 32,000 Improvement - Increase in purchased services for a contract to clean and videotape the sewer line west of the Southside Lift Station.

503,700 Total Increase

City of Loveland 18-32 Budget 2005 Enterprise Funds WASTEWATER Overview The Water Utilities Division consists of all groups and programs responsible for the day–to–day operations, engineering, and management for the department’s two water–related utilities: water and wastewater. Groups within the division also provide some support services to the Power Operations Division such as utility locates, inspection, drafting, and GIS.

The following sections comprise the Water Utilities Division: √ Construction and Inspection √ Technical Services √ Engineering √ Treatment Operations √ Information Technology √ Water Resources √ Maintenance and Operations √ Water Metering

Objectives Have 90% of respondents on customer surveys indicate they are satisfied or very satisfied with their water service. Maintain or decrease number of sewage backups per mile on the sewage collection system. Meet or exceed all applicable local, state, and federal regulations in the collection and treatment of wastewater.

2003 2004 2005 Performance Measures Actual Projected Projected # of collection system plugs or backups per 100 miles of collection system. N/A 8 8

# of major violations of state or federal regulations per year. 0 0 0

# of minor violations of state or federal regulations per year. 4 4 4

Wastewater treatment cost per thousand gallons. N/A $0.84 $0.84

Maintenance cost per 100 miles of piping system. N/A $385,000 $385,000

# of personal property damage incidents exceeding $1,000. N/A 3 3

# of personal injury accidents resulting in lost work time per year. N/A 1 1

City of Loveland 18-33 Budget 2005 Enterprise Funds DIVISION DEPARTMENT Wastewater Finance Finance

Section Summary: 03 Actual 04 Forecast 05 Budget Utility Billing 83,259 93,820 104,080 Meter Reading 16,267 18,270 19,610 Utility Accounting 61,245 71,680 76,530 Total 160,771 183,770 200,220

APPROPRIATIONS Personal Services 137,738 154,620 173,110 Supplies 1,055 2,190 2,230 Purchased Services 21,129 25,970 23,860 Fixed Charges 849 990 1,020 Total 160,771 183,770 200,220

Capital - - 680 Total 160,771 183,770 200,900

FTE 3.3 3.3 3.4

BUDGET VARIANCES 12,350 Normal Increases/Decreases 14,390 Personal Services 40 Supplies (2,110) Purchased Services 30 Fixed Charges

SUPPLEMENTS 4,100 Improvement - Increase in personal services to add a customer service clerk in Utility Billing. The total cost of this increase is $51,300, which is split between the Water, Wastewater, and Power Utilities.

16,450 Total Increase

City of Loveland 18-34 Budget 2005 Enterprise Funds

Power Utility Summary

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE Power 25,106,676 27,172,650 30,907,020 13.7% 49.2 49.2 Finance 1,533,441 1,502,080 1,647,160 9.7% 22.1 22.9 Total 26,640,117 28,674,730 32,554,180 13.5% 71.3 72.1

REVENUES Beginning Balance 16,223,874 12,901,230 9,674,530 Utility Charges 26,816,581 29,510,000 33,284,400 12.8% Utility Other 352,271 1,599,000 2,843,700 77.8% Impact Fees 975,800 1,050,000 1,212,000 15.4% User Fees 368,808 315,000 349,300 10.9% Interest 305,310 295,000 244,600 (17.1%) Miscellaneous 92,611 24,000 31,100 29.6% Transfers 838,640 193,640 226,210 16.8% Total Revenue 29,750,022 32,986,640 38,191,310 15.8% Total Resources 45,973,896 45,887,870 47,865,840

APPROPRIATIONS Personal Services 3,598,975 3,677,400 3,955,320 7.6% Supplies 354,020 382,150 382,450 .1% Purchased Services 20,687,450 22,362,200 25,641,350 14.7% Fixed Charges (282,605) (245,240) (242,750) (1.0%) Transfers 2,282,277 2,498,220 2,817,810 - Total 26,640,117 28,674,730 32,554,180 13.5%

Capital 6,432,547 7,538,610 6,389,650 (15.2%) Total Power 33,072,664 36,213,340 38,943,830

Ending Balance 12,901,232 9,674,530 8,922,010

City of Loveland 18-35 Budget 2005 Enterprise Funds POWER OPERATIONS Overview The Power Operations Division maintains the City’s electric distribution system and achieved a 99.994% reliability for our customers in 2002. Power is a retail distributor of electricity to over 25,000 customers in and around Loveland, as well as, a wholesale distributor of electricity to Xcel Energy. Loveland owns and maintains the distribution system, as well as, a small hydroelectric generating plant in the Big Thompson Canyon.

Over 99% of our electricity is purchased from Platte River Power Authority (PRPA). The municipalities of Estes Park, Fort Collins, Longmont, and Loveland formed PRPA in 1973. Approximately 35% of the electricity consumed by the four cities is hydroelectric.

The Power Operations Division operates and maintains the entire electric utility infrastructure. This Division plans, designs, and builds system improvements to meet the customer’s electrical needs to the highest degree possible.

To provide much needed capacity to serve the City’s ever increasing growth of commercial and residential customers in the City’s service territory, a new substation east of Boyd Lake and west of Loveland-Fort Collins Airport, named Crossroads Substation, was completed in 2002. This project was completed jointly with the Platte River Power Authority and the City of Loveland.

Objectives Have one of the highest Average Service Availability Indexes (ASAI) in the Front Range region while having the average customer experience an outage of the power distribution system not longer than 1 hour. Consistently maintain residential rates in the lowest quartile among the rural electrics, municipalities, and investor owned utilities in the state.

2003 2004 2005 Performance Measures Actual Projected Projected System Average Interruption Frequency Index (SAIFI). N/A 0.6 0.6 Note: the national average = 1.5

Customer Average Interruption Duration Index (CAIDI). N/A 60 60 Note: the national average = 81

Average Number of momentary interruptions per customer per year (MAIFI). Note: the national average = 6.6 N/A 3.0 3.0

Average Service Availability Index (ASAI). N/A 99.993 99.993

# of incident reports related to workers’ compensation. N/A 9 9

# of personal property damage incidents that could have been prevented by staff. N/A 12 12

Non-purchased power expenses per kilowatt hour sold. N/A $0.019 $0.019

City of Loveland 18-36 Budget 2005 Enterprise Funds DIVISION DEPARTMENT Power Utility Water & Power

Section Summary: 03 Actual 04 Forecast 05 Budget Power 25,106,676 27,172,650 30,907,020

REVENUES Utility Charges 26,816,581 29,510,000 33,284,400 Utility Other 352,271 1,599,000 2,843,700 Impact Fees 975,800 1,050,000 1,212,000 User Fees 368,809 315,000 349,300 Interest 305,310 295,000 244,600 Miscellaneous 92,611 24,000 31,100 Transfers 838,640 193,640 226,210 Total 29,750,022 32,986,640 38,191,310

APPROPRIATIONS Personal Services 2,450,013 2,473,110 2,606,250 Supplies 342,598 362,580 360,380 Purchased Services 20,464,551 22,102,660 25,385,270 Fixed Charges (432,763) (263,920) (262,690) Transfers 2,282,277 2,498,220 2,817,810 Total 25,106,676 27,172,650 30,907,020

Capital 6,395,052 7,441,410 6,386,370 Total Power 31,501,728 34,614,060 37,293,390

FTE 50.2 49.2 49.2

City of Loveland 18-37 Budget 2005 Enterprise Funds BUDGET VARIANCES 20,150 Increase in personal services for workers' compensation costs due to the allocation of the City's cost based on the department's experience rating and forecasted liability costs.

91,700 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

(88,000) Decrease in overtime based on historical experience.

(41,410) Decrease in purchased services for general liability costs based on the department's experience rating and forecasted liability costs.

3,339,000 Increase in purchased services for the cost of purchased power due forecasted increase in costs and demand.

(30,000) Decrease in purchased services for the Key Accounts program due to the non-recurrence of a Demand Side Management Pilot Program.

(28,200) Decrease in purchased services for the Utility's allocation of costs for contract locating services.

20,000 Increase in purchased services for a contracted pole testing program.

23,700 Increase in purchased services due to increased annual software licensing fees.

1,250 Increase in fixed costs for vehicle and equipment rental and maintenance based on projected fuel costs and forecasted maintenance costs.

196,030 Increase in transfers for PILT payments to the General Fund base on the revenue estimates.

123,560 Increase in transfers to the Internal Service fund based on the allocation for Internal Service budgets.

106,590 Normal Increases/Decreases 109,290 Personal Services (2,200) Supplies (480) Purchased Services (20) Fixed Charges

3,734,370 Total Increase

City of Loveland 18-38 Budget 2005 Enterprise Funds DIVISION DEPARTMENT Power Finance Finance

Section Summary: 03 Actual 04 Forecast 05 Budget Utility Billing 646,769 712,280 805,370 Meter Reading 298,406 333,610 357,850 Warehouse 189,858 207,060 221,970 Utility Accounting 398,408 249,130 261,970 Total 1,533,441 1,502,080 1,647,160

APPROPRIATIONS Personal Services 1,148,962 1,204,290 1,349,070 Supplies 11,422 19,570 22,070 Purchased Services 222,899 259,540 256,080 Fixed Charges 150,158 18,680 19,940 Total 1,533,441 1,502,080 1,647,160

Capital 37,495 97,200 3,280 Total Power Finance 1,570,936 1,599,280 1,650,440

FTE 22.1 22.1 22.9

BUDGET VARIANCES 58,550 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

43,430 Normal Increases/Decreases 43,130 Personal Services 2,500 Supplies (3,460) Purchased Services 1,260 Fixed Charges

SUPPLEMENTS 43,100 Improvement - Increase in personal services to add a Customer Service Clerk in Utility Billing. The total cost of this increase is $51,300, which is split between the Water, Wastewater, and Power Utilities.

145,080 Total Increase

City of Loveland 18-39 Budget 2005 Enterprise Funds Water & Power Department Summary

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE Water 5,844,807 8,024,370 6,664,480 (16.9%) 43.8 43.8 Wastewater 3,325,780 3,577,360 4,081,060 14.1% 29.0 29.0 Power 25,106,676 27,172,650 30,907,020 13.7% 49.2 49.2 Total 34,277,263 38,774,380 41,652,560 7.4% 122.0 122.0

REVENUES Utility Charges 38,157,871 41,343,000 45,646,800 10.4% Utility Other 1,186,687 2,187,500 3,699,400 69.1% Impact Fees 7,016,464 4,396,000 5,945,000 35.2% User Fees 368,808 315,000 349,300 10.9% Interest 1,562,376 1,173,900 1,495,000 27.4% Miscellaneous 98,107 28,340 36,240 27.9% Transfers 922,820 1,760,940 1,003,910 (43.0%) Total 49,313,133 51,204,680 58,175,650 13.6%

APPROPRIATIONS Personal Services 6,731,257 6,988,270 7,315,730 4.7% Supplies 986,200 1,197,930 1,192,900 (0.4%) Purchased Services 22,461,741 24,546,430 28,158,390 14.7% Fixed Charges (262,322) (82,600) (67,560) (18.2%) Debt Service 826,867 826,690 825,800 (0.1%) Transfers 3,533,520 5,297,660 4,227,300 (20.2%) Total 34,277,263 38,774,380 41,652,560 7.4%

Capital 25,990,314 38,097,720 23,189,330 (39.1%) Total Water & Power 60,267,577 76,872,100 64,841,890 (15.6%)

WATER & POWER Overview The Water and Power Department serves about 25,000 customers with a staff of 122 FTEs. It is an efficient and cost–effective organization that provides high quality water, reliable electricity and responsive service to the citizens of the City of Loveland.

The Department is made up of the Electric, Wastewater, and Water Utilities. All costs are allocated to the three utility funds.

City of Loveland 18-40 Budget 2005 OTHER FUNDS

Photos of some Youth Advisory Commission members planting a tree in Loveland.

outh Advisory Commission Y The Youth Advisory Commission serves as a link between the City Council and the youth of Loveland to identify issues pertaining to youth, communicate the concerns of youth to the City Council, and suggest possible action to be taken. The Commission takes direction action by working with the City Council to suggest action items for the Council agenda, proposing City programs, activities, ordinances, amendments and lobbying for youth interests. Other Funds Airport Fund Summary

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE Airport 588,828 1,138,370 530,470 (53.4%) 3.8 3.8

REVENUES Beginning Balance 234,087 221,940 222,890 Airport Revenue 345,889 493,000 563,000 14.2% Contributions from Govts 225,769 644,080 120,000 (81.4%) Interest 5,026 2,240 6,690 198.7% Total Revenue 576,684 1,139,320 689,690 (39.5%) Total Resources 810,771 1,361,260 912,580

APPROPRIATIONS Personal Services 234,492 237,860 254,060 6.8% Supplies 13,032 17,500 17,500 - Purchased Services 200,833 731,140 165,920 (77.3%) Fixed Charges 44,757 65,420 69,540 6.3% Transfers 23,450 23,450 23,450 - Capital 72,264 63,000 - (100.0%) Total 588,828 1,138,370 530,470 (53.4%)

Ending Balance 221,943 222,890 382,110

City of Loveland 19-1 Budget 2005 Other Funds BUDGET VARIANCES 4,490 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

1,650 Increase in personal services for workers' compensation due to the allocation of the City's cost based on the Department's experience rating and forecasted liability costs.

(2,320) Decrease in purchased services for general liability insurance costs based on the division's historical experience and forecasted liability costs.

(30,000) Decrease in purchased services due to one-time advertising costs.

(545,400) Decrease in purchased services for professional services due to one-time costs for the Airport Master Plan.

2,500 Increase in purchased services for telephone expenses based on historical experience.

4,120 Increase in fixed costs for vehicle maintenance due to additions to the fleet and forecast maintenance costs.

(63,000) Decrease in capital due to one-time capital projects.

5,710 Normal Increases 5,710 Personal Services

SUPPLEMENTS 4,350 Workload - Increase in personal services due to the reclassification of one administrative position.

5,000 Improvement - Increase in purchased services for professional services to provide surveys of land leases. The expense is offset by a new revenue from reimbursement of these costs by the lessee.

5,000 Workload - Increase in purchased services for disposal costs of de-icing chemicals and waste materials.

(607,900) Total Decrease

City of Loveland 19-2 Budget 2005 Other Funds AIRPORT Overview The Fort Collins-Loveland Municipal Airport’s mission is to provide a safe and efficient air transportation airport facility to the general public and aviation community by providing airport facilities that meet Federal Aviation Administration (FAA) safety standards and to implement a plan that ensures the efficient development of the airport to meet the needs of the Fort Collins and Loveland communities.

The Fort Collins–Loveland Municipal Airport was developed by the two cities in the mid 1960s. The cities jointly oversee management of the airport. An Airport Director, who reports to both city managers, provides on–site management of the day–to–day operations. The city managers and the Airport Steering Committee are responsible for making major decisions similar to other operations of the City. An intergovernmental agreement specifies that the City of Fort Collins will provide supervision of the Airport Director and Loveland will provide administrative support. Each city receives fair compensation for its services to ensure that costs are being shared equally.

Airport revenues cover operating costs and capital projects. Each city contributes equal funding of $60,000 for airport operating and capital costs. These contributions are included in airport revenues. Airport development and improvements funds are also received, for eligible projects, from the FAA and the Colorado Department of Transportation, Division of Aeronautics.

The Airport negotiates land leases for the construction of hangars. The leases provide land rent revenues and, because they attract more aircraft to the airport, increase fuel sales which financially benefit the airport. Ownership of the hangars reverts to the Airport at the end of the lease, providing the Airport with revenue producing infrastructure.

Beginning midyear in 2003, commercial service returned to the airport with flights to Las Vegas, Nevada by Allegiant Airlines.

Because Loveland provides support services for the Airport, the City adopts the Airport budget and includes it in this document. The Airport publishes no separate budget document.

Objective Become self-sufficient by 2009. Increase availability of Airport ground for hangar construction.

2003 2004 2005 Performance Measures Actual Projected Projected % increase in fuel sales. 3% 5% 5%

% increase in operating revenue. -47% 10% 10%

% increase in ground rental income. 0% 5% 5%

City of Loveland 19-3 Budget 2005 Other Funds Art in Public Places Fund Summary

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE Art in Public Places 108,727 101,080 684,360 577.0% - -

REVENUES Beginning Balance 379,435 434,330 702,140 Gifts/Donations 3,500 - - 1% for the Arts 153,775 355,110 50,000 Interest 6,343 13,780 21,060 Total Revenue 163,618 368,890 71,060 Total Resources 543,053 803,220 773,200

APPROPRIATIONS Personal Services 6,070 5,430 7,430 36.8% Supplies 6,912 1,500 2,000 33.3% Purchased Services 34,997 19,150 74,930 291.3% Capital 60,748 75,000 600,000 700.0% Total 108,727 101,080 684,360

Ending Balance 434,326 702,140 88,840

City of Loveland 19-4 Budget 2005 Other Funds BUDGET VARIANCES 500 Increase in other supplies based on anticipated spending by the Visual Arts Commission.

SUPPLEMENTS 300,000 Improvement: Increase in capital for art purchased by the Arts Commission.

225,000 Improvement: Increase in capital for one-time construction costs for art purchased by the Arts Commission.

2,000 Improvement: Increase in personal services for part-time salaries for the Cold Wax Volunteer Program, adopted May 2004. The Visual Arts Commission is anticipated to permanently adopt this program.

2,500 Workload: Increase in purchased services for Sculpture Competition costs.

18,500 Workload: Increase in purchased services for repair and maintenance of art placed around the City.

1,500 Workload: Increase in purchased services for travel and meetings for Visual Arts Commission members to attend conferences.

33,280 Workload: Increase in purchased services for cost associated with the installation of new art purchased.

583,280 Total Increase

ART IN PUBLIC PLACES Overview The Art in Public Places Fund is managed by the Cultural Services Department. The Art in Public Places Program was established by ordinance in 1985. One percent of the cost of all City construction projects is deposited into the fund to be used for the acquisition of works of art, maintenance and repairs of works of art, and related administrative expenses. A construction project is defined as the construction, rehabilitation, renovation, remodeling, equipping, or improvement of any street, park, utility line, or other public improvement by or for the City.

Art purchased through the program must be displayed in a public place, or with the owner’s agreement, on private property that has substantial public exposure. The City currently owns works of art with an estimated value of $5.6 million.

City of Loveland 19-5 Budget 2005 Other Funds Community Development Block Grant Fund Summary

03 Actual 04 Forecast 05 Budget CDBG 352,000 344,650 344,100

REVENUES Grant Revenue 352,000 344,650 344,100 Total 352,000 344,650 344,100

APPROPRIATIONS Personal Services 61,430 46,830 55,390 Supplies 700 1,000 1,300 Purchased Services 289,870 296,820 287,410 Total 352,000 344,650 344,100

FTE 1.0 0.7 1.0

BUDGET VARIANCES 8,560 Increase in personal services due to reallocation of dollars between the Human Services Division and CDBG.

(9,410) Decrease in purchased services due to reduced grant funding and higher administration costs.

300 Normal Increases 300 Supplies

(550) Total Decrease

City of Loveland 19-6 Budget 2005 Other Funds

COMMUNITY DEVELOPMENT BLOCK GRANT Overview CDBG: The City of Loveland receives Community Development Block Grant (CDBG) funds from the U.S. Department of Housing and Urban Development. As an entitlement city, Loveland receives these funds each year without reapplication. Congress limits these funds to the housing and human service needs of low and moderate income persons in Loveland, to eliminate slum and blight, and meet urgent community needs. Each year, the Community Development Block Grant Advisory Board advises the City Council on the allocation of funds for projects that meet these objectives. For the past several years, the City Council has used the majority of CDBG funds to meet affordable housing needs in the community.

Affordable Housing: The City of Loveland encourages development of affordable housing through a fast-track development review process, a use tax credit for qualifying affordable housing development, and building permit and development fee waivers for certain non-profit developers of affordable housing such as Habitat for Humanity and the Housing Authority of the City of Loveland.

Objectives Increase housing opportunities and housing assistance for a minimum of 200 households with incomes at or below 80% of the median family income by year 2007. Increase affordable housing and homelessness education and awareness in the community. Increase the number of transitional housing units (permanently affordable rental housing provided to homeless families for a period of 2-3 years) 10 units by 2008. Maintain funding for existing transitional housing units.

2003 2004 2005 Performance Measures Actual Projected Projected # of new housing units acquired or built with CDBG funding and sold or rented to households with incomes at or below 80% of the median family income. 54 40 40

# of people receiving information regarding affordable housing and homelessness. 5,000 1,000 1,000

# of permanently affordable transitional units purchased or constructed with the aid of CDBG funding by year 2005. 3 10 10

City of Loveland 19-7 Budget 2005 Other Funds Conservation Trust Fund Summary

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE Conservation Trust Fund 333,200 1,902,040 1,432,300 (24.7%) 1.0 1.0

REVENUES Beginning Balance 3,621,267 3,875,970 2,464,080 Lottery Proceeds 510,872 425,000 500,000 17.6% Grants 37,423 - - - Interest 39,605 65,150 73,000 12.0% Total Revenue 587,900 490,150 573,000 16.9% Total Resources 4,209,167 4,366,120 3,037,080

APPROPRIATIONS Personal Services 78,461 96,560 97,530 1.0% Supplies 11,519 15,650 15,650 - Purchased Services 42,641 4,410 3,460 (21.5%) Fixed Charges 14,998 17,420 15,660 (10.1%) Transfers - 1,200,000 - - Capital 185,581 568,000 1,300,000 128.9% Total 333,200 1,902,040 1,432,300 (24.7%)

Ending Balance 3,875,967 2,464,080 1,604,780

City of Loveland 19-8 Budget 2005 Other Funds BUDGET VARIANCES 1,950 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

(3,890) Decrease in personal services for workers' compensation due to the allocation of the City's liability cost based on the department's experience rating and forecasted liability costs.

(950) Decrease in purchased services for general liability insurance costs based on the department's historical experience and forecasted liability costs.

(1,760) Decrease in fixed charges due to a decrease in costs associated with vehicle and equipment rental based on projected fuel and maintenance costs.

(1,200,000) Decrease in transfers for one-time costs associated with the construction of the Youth Athletic Complex.

732,000 Increase in capital for one-time acquisition and construction of the Recreation Trail System.

2,910 Normal Increases 2,910 Personal Services

(469,740) Total Decrease

CONSERVATION TRUST Overview These revenues are derived from state lottery and Lotto proceeds and are restricted for recreational facilities and park projects. City Council dedicated these funds in 1988 for the construction of the recreational trail system.

Objective Increase recreation trail miles to achieve recommended service levels in the Master Plan. Complete Highway 287 Underpass in North Loveland.

2003 2004 2005 Performance Measures Actual Projected Projected Miles of developed trail. 13.5 14.5 15.5

City of Loveland 19-9 Budget 2005 Other Funds General Improvement District #1 Summary

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE GID #1 15,240 149,500 24,500 (83.6%) - -

REVENUES Beginning Balance 108,148 116,600 2,170 Real Property 21,730 31,000 31,000 - Interest on Investments 1,962 4,070 300 (92.6%) Total Revenue 23,692 35,070 31,300 (10.7%) Total Resources 131,840 151,670 33,470

APPROPRIATIONS Supplies 1,362 3,000 2,000 (33.3%) Purchased Services 1,878 9,500 10,500 10.5% Transfers 12,000 137,000 12,000 (91.2%) Total 15,240 149,500 24,500 (83.6%)

Ending Balance 116,600 2,170 8,970

BUDGET VARIANCES (125,000) Decrease in transfers due to a one-time transfer to the Capital Projects Fund for the Downtown Project.

- Normal Increases/Decreases (1,000) Supplies 1,000 Purchased Services

(125,000) Total Decrease

GENERAL IMPROVEMENT DISTRICT #1 Overview This fund is managed by the Public Works Department. Revenues are provided by an ad valorem tax on all properties within the District’s boundaries. The tax provides funding for the construction of parking and pedestrian improvements within the District. The mill levy for the District will remain unchanged at 2.684 mills.

City of Loveland 19-10 Budget 2005 Other Funds Internal Support Services Fund Summary

2003 2004 2005 % Change Actual Forecast Budget 2004-05 Departments: Accounting 498,584 552,940 580,590 5.0% Budget 153,121 162,480 168,110 3.5% Facilities Management 2,660,978 2,717,310 2,838,250 4.5% Finance Administration 291,026 315,010 401,670 27.5% Human Resources 893,476 995,190 1,115,860 12.1% Information Technology 2,146,499 2,188,660 2,563,000 17.1% Non-departmental - 156,540 110,000 (29.7%) Public Grounds 327,497 342,650 380,860 11.2% Total 6,971,181 7,430,780 8,158,340 9.8%

REVENUES Beginning Balance 663,950 540,200 383,400 Charges for Service 42,562 49,050 49,050 - Interest 10,206 23,100 11,500 (50.2%) Miscellaneous (2,707) - - - Transfers 6,797,370 7,201,830 8,002,040 11.1% Total Revenue 6,847,431 7,273,980 8,062,590 10.8% Total Resources 7,511,381 7,814,180 8,445,990

APPROPRIATIONS Personal Services 4,018,016 4,149,950 4,908,400 18.3% Supplies 446,646 390,650 412,840 5.7% Purchased Services 2,093,490 2,271,820 2,259,730 (0.5%) Fixed Charges 144,580 145,910 212,370 45.5% Transfers - 156,540 110,000 - Capital 268,450 315,910 255,000 (19.3%) Total 6,971,182 7,430,780 8,158,340 9.8%

Ending Balance 540,200 383,400 287,650

City of Loveland 19-11 Budget 2005 Other Funds INTERNAL SUPPORT SERVICES FUND Overview Divisions included in the Internal Support Services Fund primarily provide services to the other City departments, rather than the general public. Revenues for the fund are from transfers from the General Fund and the Enterprise Funds based on an allocation of the services provided to these funds. This is one fund within the Internal Service Fund classification. The other funds are Employee Benefits (Human Resources Department), Fleet Management, Risk & Insurance (both in the Finance Department), and Vehicle Maintenance (Public Works Department). Summaries of these funds are provided in the Operating Section, in the specific department section that administers the fund. Detail for the divisions included in the Internal Support Service Fund can also be found in the Operating section under the Department chapter in which they reside.

The Finance Administration, Accounting, and Budget Divisions provide financial assistance and reporting to the Council, the departments and the public. The two major publications provided for the public are the annual budget document and the Comprehensive Annual Financial Report (CAFR). In addition, departments are provided advice and assistance in preparing their annual budget submissions, developing long–term financial plans, and accounting for all activities of the departments.

The Facilities Management Division, under the Public Works Department, maintains all City buildings and all parking areas.

The Human Resources Department provides assistance in all personnel matters including hiring, termination, and benefits. The Department also provides training to all departments in personnel management and policies and administers the Volunteer Program.

The Information Technology Department, maintains the City’s information management systems, geographic information systems and telephone system. The Division administers the annual computer replacement program to keep the City current with changes in technology. The City’s internal networks have improved efficiency and productivity throughout the City.

The Public Grounds Division, administered through the Parks & Recreation Department, maintains the open areas and landscaping at the Civic Center, Service Center, and other City building sites.

City of Loveland 19-12 Budget 2005 Other Funds Loveland Larimer Building Authority Summary

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE Building Operations 447,020 442,330 435,800 (1.5%) 2.0 2.0 Grounds Maintenance - - 14,250 - - Total 447,020 442,330 450,050 1.7% 2.0 2.0

REVENUES Larimer County Contribution 102,810 101,740 103,510 1.7% Transfer from General Fund 344,210 340,590 346,540 1.7% Total 447,020 442,330 450,050 1.7%

APPROPRIATIONS Personal Services 91,280 99,920 108,360 8.4% Supplies - - 1,250 Purchased Services 340,440 342,410 340,440 (0.6%) Fixed Charges 5,300 - - Capital 10,000 - - Total 447,020 442,330 450,050 1.7%

BUDGET VARIANCES (890) Decrease in personal services for workers' compensation due to the allocation of the City's cost based on the division's experience rating and forecasted liability costs.

3,900 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

(1,970) Decrease in purchased services for general liability costs due to the allocation of costs at the division level based on the division's experience rating and forecasted liability costs.

1,250 Increase in supplies for landscape materials.

5,430 Normal Increase 5,430 Personal Services

7,720 Total Increase

City of Loveland 19-13 Budget 2005 Other Funds LOVELAND LARIMER BUILDING AUTHORITY Overview The Loveland Larimer Building Authority was created to construct and operate the new Police/Court Facility on Monroe and 10th Street. This will be the third year the facility is in operation. The contribution from the City and the County is determined based on the square footage each entity occupies in the facility. The two FTEs include a building attendant and a facilities maintenance technician, and will be supervised through the Public Works Department, Facility Maintenance Division. Operating costs include janitorial supplies, parts and supplies (other than janitorial), custodial costs, utilities, and repair and maintenance.

Beginning in 2005, the Parks and Recreation Department will manage the grounds maintenance at the site.

City of Loveland 19-14 Budget 2005 Other Funds Park Improvement Fund Summary

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE Park Improvements - 482,230 310,000 (35.7%) - -

REVENUES Beginning Balance 1,570,999 1,652,900 1,255,350 County Fees 1,193 1,220 1,240 1.6% User Fees 42,432 49,230 47,940 (2.6%) Interest 24,368 34,230 39,710 16.0% Other Revenue 13,909 - 300,000 - Total Revenue 81,902 84,680 388,890 359.2% Total Resources 1,652,901 1,737,580 1,644,240

APPROPRIATIONS Transfers - 400,000 260,000 - Capital - 82,230 50,000 (39.2%) Total - 482,230 310,000 (35.7%)

Ending Balance 1,652,901 1,255,350 1,334,240

BUDGET VARIANCES (140,000) Decrease in transfers for one-time costs associated with Youth Sports Complex.

(32,230) Decrease in capital one-time costs associated with repair and improvement of existing park structures and facilities.

(172,230) Total Decrease

PARK IMPROVEMENT FUND Overview The Parks & Recreation Department administers and manages the parks and recreation improvement program which is responsible for the capital repair and improvement of existing park structures and facilities.

City of Loveland 19-15 Budget 2005 Other Funds Open Space Sales Tax Fund Summary

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE Open Space 1,605,295 1,174,230 1,863,090 58.7% 2.2 2.2

REVENUES Beginning Balance 3,061,227 2,788,330 3,069,730 County Open Space Taxes 1,310,711 1,373,630 1,401,100 2.0% Interest on Investments 21,682 80,000 35,060 (56.2%) Miscellaneous - 2,000 29,000 100.0% Total Revenue 1,332,393 1,455,630 1,465,160 0.7% Total Resources 4,393,620 4,243,960 4,534,890

APPROPRIATIONS Personal Services 115,535 137,650 151,420 10.0% Supplies 1,559 2,500 8,100 224.0% Purchased Services 18,116 34,080 36,570 7.3% Capital 1,470,085 1,000,000 1,667,000 66.7% Total 1,605,295 1,174,230 1,863,090 58.7%

Ending Balance 2,788,325 3,069,730 2,671,800

BUDGET VARIANCES 3,890 Increase in personal services for insurance benefits due to increased premium costs and forecasted increase in claims.

490 Increase in personal services for workers' compensation due to the allocation of the City's liability cost based on the department's experience rating and forecasted liability costs.

(1,910) Decrease in purchased services for general liability insurance costs based on the department's historical experience and forecasted liability costs.

667,000 Increase in capital based on the capital plan.

9,390 Normal Increases 9,390 Personal Services

SUPPLEMENTS 10,000 Improvement: Increase in supplies ($5,600) and purchased services ($4,400) for Open Lands maintenance.

688,860 Total Increase

City of Loveland 19-16 Budget 2005 Other Funds OPEN SPACE Overview The Parks & Recreation Department administers and manages the open space program to identify, acquire, and maintain areas in conformance with the Natural Areas Plan. Funding is from the Larimer County open lands sales tax of .25 cents, which was approved through 2018. There are currently 1,801 acres of open lands preserved.

Objective Increase amount of Open Lands in and surrounding Loveland. Increase number of Management and Maintenance Plans.

2003 2004 2005 Performance Measures Actual Projected Projected # of acres of open lands preserved. 1,764 1,824 1,917

Open Lands operational cost. $135,200 $182,961 $198,240

Open Lands operational cost per acre. $76.64 $100.31 $103.41

City of Loveland 19-17 Budget 2005 Other Funds Loveland Special Improvement District #1

2003 2004 2005 % Change 2004 2005 Actual Budget Budget 2004-05 FTE FTE Loveland SID #1 1,273,654 2,751,710 1,113,500 (59.5%) - -

REVENUES Beginning Balance 2,574,787 3,282,850 1,695,610 Assessments 1,792,537 1,139,470 1,138,770 (36.4%) Interest 189,178 25,000 20,000 (86.8%) Total Revenue 1,981,715 1,164,470 1,158,770 (41.2%) Total Resources 4,556,502 4,447,320 2,854,380

APPROPRIATIONS Debt 1,001,855 2,102,500 1,113,500 109.9% Capital 271,799 649,210 - 138.9% Total 1,273,654 2,751,710 1,113,500 116.0%

Ending Balance 3,282,848 1,695,610 1,740,880

BUDGET VARIANCES (6,500) Decrease in debt costs due to one-time Trustee Fees to call bonds early in 2004.

(982,500) Decrease in debt costs based on the debt repayment schedule.

(649,210) Decrease in capital due to one-time construction costs.

(1,638,210) Total Decrease

LOVELAND SPECIAL IMPROVEMENT DISTRICT #1

Overview The City serves as the sponsoring agency for the Special Improvement District. The District was established to allow for the collection of assessments from property owners in the district to back bonded debt used to construct infrastructure improvements in the district. The City does not have any legal obligation towards this debt.

City of Loveland 19-18 Budget 2005 Other Funds Loveland Urban Renewal Authority

2003 2004 2005 % Change 2004 2005 Actual Forecast Budget 2004-05 FTE FTE Loveland URA ------

REVENUES Beginning Balance - - 1,800 Property Tax Increment - 1,800 17,000 -- Sales Tax Increment - - - -- Interest - - 500 -- Total Revenue - 1,800 17,500 -- Total Resources - 1,800 19,300 --

APPROPRIATIONS Total - - -

Ending Balance - 1,800 19,300

LOVELAND URBAN RENEWAL AUTHORITY

Overview The Urban Renewal Authority (URA) was established to enable the use of tax increment financing to fund redevelopment and infrastructure improvements within the boundaries of the Authority. The Authority currently has two project areas, the downtown area, and the Centerra area on the east side of the City. When sufficient funding is available projects will be budgeted.

City of Loveland 19-19 Budget 2005 CAPITAL IMPROVEMENT PLAN

onstruction Advisory Board

C The Construction Advisory Board consists of eleven members appointed by the City Council. Members advise the Council on matters pertaining to the regulation of construction activities including uniform building codes, subdivision improvement requirements, and development standards. The Board serves as the Board of Appeals in connection with the building code, mechanical code, plumbing code, electrical codes, and other codes adopted in Title 15 – Buildings and Construction in Loveland Construction. Capital Improvement Plan CAPITAL IMPROVEMENT PLAN The City of Loveland’s Five–Year Capital Improvement Plan is the financial plan for the City to maintain existing facilities and infrastructure and meet the needs for new facilities and infrastructure, which are funded through taxes, impact fees, or other special revenues. Projects have been prioritized using the Council’s major goals for the City, by need and by operating impacts to the General Fund. Projects have been funded in the plan to minimize operating impacts in any one year, so that operating expenditures will keep pace with revenue growth allowed under TABOR. Most of the funding for the plan is from dedicated resources, not General Fund resources as shown in the graph below.

All projects included in the first year of the Capital Plan are funded in the 2005 Recommended Budget. Projects included in the “out–years” (2006–2009) will be approved by Council in concept only. The plan will be updated annually to address specific needs as they arise, or as Council goals and policy changes.

2005 Capital Budget Funding Sources

Gen eral Fund Special 8% Revenue Funds 24%

Enterprise Funds Internal 67% Service Fund 1%

There are far more capital needs than the City has resources to fund. Growth within the City has strained both the street system and the parks system to maintain levels of service to which the community has become accustomed.

The City has developed a 20-Year Transportation Plan to widen existing and construct new streets necessary to keep traffic movement at “Level C”. The Transportation Plan is funded with CEF revenue and $2 million of General Fund revenues in each year of the Plan. For 2005, the General Fund portion is funded by using the TABOR revenue reserves.

City of Loveland 20-1 Budget 2005 Capital Improvement Plan 2005 Capital Plan All Funds Summary

2004 2005 Revised Budget General Fund General Capital Fund 25,505,150 8,588,140 Internal Service Fund 602,630 414,550 Total General Fund 26,107,780 9,002,690

Special Revenue Funds Capital Expansion Fee Fund 14,620,380 6,697,640 Parks Improvement Fund 482,230 310,000 Conservation Trust Fund 568,000 1,300,000 Open Space Sales Tax Fund 1,000,000 1,667,000 Total Special Revenue Funds 16,670,610 9,974,640

Enterprise Funds Golf Fund 1,172,310 837,650 Storm Water Fund 6,490,360 2,449,000 Water Fund 21,224,740 11,741,620 Waste Water Fund 9,431,570 5,063,720 Power Fund 7,538,610 6,389,650 Total Enterprise Funds 45,857,590 26,481,640

Total City Capital Expenditures 88,635,980 45,458,970

Less Transfers (12,445,380) (5,504,190)

Net Capital Expenditures 76,190,600 39,954,780

City of Loveland 20-2 Budget 2005 Capital Improvement Plan CAPITAL IMPROVEMENT PLAN OVERVIEW The majority of the Capital Plan resides in the Enterprise Funds and the Capital Expansion Fee (CEF) fund. The CEF fund is where all impact fees with the exception of Plant Investment Fees (PIF) and System Impact Fees (SIF) are budgeted. The PIFs and SIFs are included within the Utility Enterprise funds capital programs. The following is a summary of the major projects included in the Capital Improvement Plan.

Building Projects Facility Maintenance Projects – In 2003, the City began an accelerated facility maintenance program. Many of the City facilities are now over 10 years in age, and will require an increased maintenance effort. This will include roof replacements, upgrades or replacement of heating and cooling systems, carpet replacement, and general repair. The City will put over $3.5 million towards this effort over the five-year period. The funding source in General Fund revenues.

Service Center Addition – Phase III of the addition to the Service Center Complex will house the Streets, Solid Waste, Traffic Engineering, Street Project Engineering and the Storm Water Divisions, along with the equipment associated with these operations. The project is projected to cost $6.1 million to complete, and is projected to open in 2008. The funding source is General Government impact fees and Storm Water and Solid Waste Enterprise revenues.

Golf Course Club House Improvements – Included in the plan is $200,000 for improvements to the Olde Course Club House and Shop Buildings, and over $1.3 million for improvements to the Club House at the Mariana Butte Course. The funding source for both projects is Golf Enterprise revenues.

Recreation Center Expansion – The expansion of the Recreation Center will provide additional court space, and exercise space. The total cost is projected to be $8.2 million. The funding source is Recreation impact fees.

Park Projects Mehaffey Park – Development of the new 60-acre community park in the northwest side of town, with play facilities and athletic fields. The total projected cost is $6.5 million and the facility is planned to open in 2007. The funding source is Park impact fees.

Recreation Facility Pool Expansion and Improvement – The project to enhance the recreation facility and pool is projected at $0.9 million in 2009. The funding source is Recreation impact fees.

Open Land Acquisition – Over $5.7 million is programmed over the next five years for the purchase of additional open space around the City. The funding sources are the Open Space impact fee and the County Open Space Sales tax.

Trail Construction - $2.6 million are programmed over the next five years for construction of the bike/hike trail that will circle the City upon completion. The funding source is Colorado Lottery funds.

Golf Course Improvements – Course improvements at the three golf courses are programmed at $2.1 million over the five-year period, with $890,000 at the Olde Course, $534,000 at the Mariana Butte Course, and $726,000 at the Cattail Creek Course. The funding source is Golf Enterprise revenues.

City of Loveland 20-3 Budget 2005 Capital Improvement Plan Old Fairgrounds – Demolition of some of the structures is planned for 2005 at a cost of $100,000 funded by TABOR funds. Renovation of the Old Fairgrounds is projected at $4.25 million in 2008. The funding source in General Fund revenues.

Youth Complex/Centennial Park Renovation – As part of the Youth Sports Park addition on the East side of Loveland, renovations are also being done to Centennial Park. Specific components being renovated include: fencing, sports field lighting, restrooms, concession, sports storage, dugouts and backstops, spectator seating, warm-up areas and improvements to the irrigation system. In 2005, $1.56 million is added to complete the funding for the project, with $1.3 million from Parks and Recreation CEFs and $260,000 from the Park Improvement Fund.

Infrastructure Projects Street Construction – $30.4 million is programmed over the next five years for construction and renovation of the City streets. The funding sources are the Streets CEFs and General Fund revenues.

Storm Water System Improvements- $7.6 million in storm water improvements is programmed over the five-year period. The funding source is Storm Water Enterprise revenues.

Storm Water Quality - $200,000 over the five-year period is programmed for the new storm water quality program to meet increasing storm water quality regulations. The funding source is Storm Water Enterprise revenues.

Oversizing - $2.9 million is programmed to reimburse development for oversizing the storm drainage system in new developments. The funding source is storm water impact fees.

Water Delivery Projects - $10.9 million in various water delivery projects, including main extensions and oversizing is programmed over the five-year period. The funding source is Water Enterprise revenues and water impact fees.

Water Treatment Plant Improvements – The 2005 cost is $4.9 million, with a total of $10.4 million of projected costs over the next five-year period. Both operating revenues and SIF fees fund the projects. This is an annual program to keep the treatment plant current with demand technology improvements and EPA/State mandated compliance with water quality regulations.

Wastewater Main Improvements - $2.4 million is programmed for wastewater main improvements. The funding source is Wastewater Enterprise revenues and impact fees.

Wastewater Treatment Plant Improvements – This is an ongoing program resulting from new EPA mandates for water quality and anticipated growth. Costs for 2005 are $3.8 million, with a total of $11.4 million of projected costs over the next five-year period. Both operating revenues and SIF fees fund the projects.

Power Distribution Projects - $34.8 million over the five-year period is programmed for various power distribution projects. The funding source is Power Enterprise revenues and impact fees.

City of Loveland 20-4 Budget 2005 Capital Improvement Plan Operating Impacts For most of the capital plan, particularly in the Enterprise Funds, the operating impacts are incremental due to additional miles of trails, water lines or power lines. For these projects, and for the Facility Maintenance projects, the operating expenses may go down since they are replacing old lines or equipment, increasing the reliability, and decreasing annual maintenance required. Due to the replacement schedule budget savings in total may not be achieved due to the aging of infrastructure not being replaced and experiencing increased maintenance costs.

The major operating impacts are to the General Fund, due to additional staffing and maintenance of the new facilities. These impacts are shown in the chart below.

Project 2005 2006 2007 2008 2009 Service Center - - - 125,000 - Rec. Cntr. Exp. - - - - 250,000 Yth. Complex - 387,000 252,000 - - Mehaffey Park - - - 420,000 - Total - $387,000 $252,000 $545,000 $250,000

For more detail on the capital projects, see each individual fund capital plan, on the pages that follow.

City of Loveland 20-5 Budget 2005 Capital Improvement Plan Capital Projects Fund Revenues Description 2005 2006 2007 2008 2009 Transfer from CEF - General Govt. - - 104,000 3,954,000 - Transfer From CEF - Streets 3,757,640 3,865,700 3,986,000 4,106,000 4,230,000 Transfer From CEF - Parks 500,000 - - - - Transfer From CEF - Recreation 800,000 - - - - Transfer From Park Imp. Fund 260,000 - - - - Transfer from Internal Services 110,000 60,000 210,000 - - Transfer from Solid Waste - - - 1,534,500 - Transfer from Storm Water - - - 511,500 - Transfer From General Fund 3,160,500 4,967,900 8,663,500 3,073,000 3,863,500 Federal and State Grants - - 350,000 150,080 - Total Revenue 8,588,140 8,893,600 13,313,500 13,329,080 8,093,500

Appropriations Description 2005 2006 2007 2008 2009 Phone Switch Upgrade - 250,000 - - - Server Replacement 60,000 60,000 60,000 60,000 60,000 Fiber Backbone Upgrade - 20,000 20,000 20,000 20,000 MIS-AS-400 Computer Upgrade 100,000 - - - 100,000 Egovernment Expansion - 40,000 40,000 40,000 40,000 MIS-Network Switchgear Rplcmt. 50,000 - 150,000 - - Subtotal Executive 210,000 370,000 270,000 120,000 220,000

Replace Rialto Theater Seats - - 75,000 - - New Audio Console at Rialto - - - 25,000 -

Subtotal Cultural Services - - 75,000 25,000 -

Impmt. to Fire Training Grounds - - 200,000 34,000 23,500 Laptops/MDTs - 65,000 38,000 - - Squad 1 Replacement - 275,000 - - - Engine 4 Replacement - 675,000 - - - Replace 2 cost-plus utility trucks - 10,000 - - - Replace a cost-plus Van - 7,000 - - - Replace Engine 5 - - 375,000 - - Replace 3 Cost-plus vehicles - - 24,000 - - Replace a cost-plus Jeep - - - 7,000 - Engine 2 Replacement - - - - 725,000 Replace Rescue 3 275,000 - - - - Total Fire & Rescue 275,000 1,032,000 637,000 41,000 748,500

Video camera and sound equipment 4,230 - - - - Upgrade equip. in video room 20,770 - - - - Total City Manager 25,000 - - - -

City of Loveland 20-6 Budget 2005 Capital Improvement Plan Appropriations Description 2005 2006 2007 2008 2009 Service Center Phase III - - 104,000 6,000,000 - Facility Roof Projects 200,000 50,000 165,000 - - Facilities Bld. Maintenance Projects 208,000 995,000 599,000 427,000 145,000 Facility Carpet Replacement 80,000 27,000 110,000 - - MOC renovation - - 500,000 - - Street Construction 5,757,640 5,866,900 6,336,000 6,256,080 6,230,000 Equipment Replacement 46,500 140,000 240,000 - - Replace 1987 Dump Truck - C/P - 137,700 - - - Dump Truck w/ Plow/deicer 126,000 - - - - Subtotal Public Works 6,418,140 7,216,600 8,054,000 12,683,080 6,375,000

Police/Court Lease payment - - - - - New Firing Range - - - - 550,000 New SWAT Van - 50,000 - - - GPS Tracking System - - 7,500 - - Subtotal Police - 50,000 7,500 - 550,000

Parks Youth Complex/Centennial Park 1,560,000 - - 450,000 - Office Equipment - 25,000 20,000 10,000 - Recreation Facilities - - - - 100,000 New Park - - - - 100,000 Raw Water Irrigation Analysis - 200,000 - - - Old Fairground Renovation 100,000 - 4,250,000 - - Subtotal Parks 1,660,000 225,000 4,270,000 460,000 200,000

Total General Fund 8,588,140 8,893,600 13,313,500 13,329,080 8,093,500

City of Loveland 20-7 Budget 2005 Capital Improvement Plan CAPITAL PROJECTS FUND Projects for 2005 include: Funding for major maintenance at City facilities ($488,000). Included in this funding is the replacement of the Chilson Center roof ($200,000), replacement of three roof top air conditioning/heating units (RTU) at the Chilson Center ($28,000), replace carpet at Municipal Building and Library ($80,000), furniture for anticipated projects ($40,000), and Phase II and III of fuel island upgrade at Vehicle Maintenance ($140,000). Funding for a computer server; switch gear replacement; and a MIS I-Series (formerly known as the AS-400) computer upgrade ($210,000). The street construction program is budgeted at $5.75 million in 2005. Major projects include signal system interconnects, improvements and widening of Crossroads Boulevard from Rocky Mtn. Avenue to I-25; widening Taft Avenue from the Big Thompson River to Gard Place; and improvements and widening Rocky Mountain Avenue from E. 29th Street to Crossroads Boulevard. Funding for Youth Sports Complex/Centennial Park Renovation ($1,560,000). Funding to replace a truck, Rescue 3, in the Fire & Rescue Department ($275,000). Funding for the demolition of structures at the Old Fairgrounds site. Major projects in the out–years include renovations to the Old Fairgrounds site, the design and construction of the Phase III addition to the Service Center to house the Streets Division, Solid Waste Division, Traffic Division, Project Engineering and Storm Water Division, and the equipment associated with these operations, and the street construction program.

City of Loveland 20-8 Budget 2005 Capital Improvement Plan Internal Service Fleet Fund Revenues Description 2005 2006 2007 2008 2009 Fund Balance - Fleet 5,022,610 5,431,560 4,653,920 4,866,760 5,103,160 Vehicle Replacment Charges 713,500 734,910 756,960 779,670 803,060 Total Revenue 5,736,110 6,166,470 5,410,880 5,646,430 5,906,220

Appropriations Description 2005 2006 2007 2008 2009 Fleet Services Vehicle Replacement 228,000 1,436,000 394,000 533,000 626,500 Transfer to Water & Power 70,010 70,010 84,020 5,850 13,540 Transfer to Storm Water 6,540 6,540 66,100 4,420 1,040 Total Fleet Fund 304,550 1,512,550 544,120 543,270 641,080

Ending Balance 5,431,560 4,653,920 4,866,760 5,103,160 5,265,140

Internal Service Fund Revenues Description 2005 2006 2007 2008 2009 Fund Balance 383,400 273,400 213,400 3,400 3,400

Appropriations Description 2005 2006 2007 2008 2009 Transfer to Fund 2 110,000 60,000 210,000 - -

Total Appropriations 110,000 60,000 210,000 - -

Ending Balance 273,400 213,400 3,400 3,400 3,400

INTERNAL SERVICE FLEET FUND The Fleet Replacement Fund, managed by the Finance Department, provides for the annual replacement of vehicles when they have outlived their useful life. Funding is provided by an internal service charge to all the departments based on the anticipated replacement cost and remaining life of the vehicles in the fleet. Beginning in 1999, Fleet Management for the utilities was transferred to the Utility Accounting Division and the utilities no longer pay replacement charges into the fund. Vehicle replacement is included in the utilities capital program. Transfers from the fleet fund to the utilities are to return balances paid to the fleet fund prior to the utilities taking over management of their fleet. The Solid Waste Enterprise Fund, and the Golf Enterprise Fund have followed the utilities model and are no longer paying replacement charges into the fund.

City of Loveland 20-9 Budget 2005 Capital Improvement Plan Capital Expansion Fee Fund Summary Revenues Description 2005 2006 2007 2008 2009 CEF Fees 9,622,440 9,396,660 9,681,020 9,973,980 10,275,790 CEF Interest 780,540 1,004,280 1,137,220 1,073,320 952,740 Fund Balance 25,837,100 29,542,440 33,782,700 33,396,670 28,317,450 Total Revenue 36,240,080 39,943,380 44,600,940 44,443,970 39,545,980

Appropriations Description 2005 2006 2007 2008 2009 Street Projects 3,817,640 3,927,800 4,050,270 4,172,520 4,298,850 Park Projects 2,880,000 2,232,880 7,050,000 8,000,000 3,280,000 General Govt Projects - - 104,000 3,954,000 - Total CEFs 6,697,640 6,160,680 11,204,270 16,126,520 7,578,850

Ending Balance 29,542,440 33,782,700 33,396,670 28,317,450 31,967,130

CAPITAL EXPANSION FEE FUND The Capital Expansion Fee (CEF) Fund is the funding source for new facilities or infrastructure that is the result of growth in the community. Revenues are from fees charged to new development and are restricted to use for new facilities and infrastructure, which add to the City capacity. Projects to enhance service levels are not eligible for funding from these fees. The City currently has CEF fees for Streets, Parks, Recreation, Trails, Fire, Law Enforcement, the Library, the Museum, and General Government.

The Utility Enterprise Funds also include revenues from “impact” fees. These are the System Impact Fee (SIF) in the Water, Wastewater, and Storm Water funds, and the Plant Impact Fee (PIF) in the Power Fund. Projects funded by these fees are included in the Enterprise Capital Plans.

City of Loveland 20-10 Budget 2005 Capital Improvement Plan CEF Fund - Streets Revenues Description 2005 2006 2007 2008 2009 Street CEF Fund Balance 1,937,260 2,579,950 3,302,530 4,071,180 4,892,280 Street CEF 4,402,210 4,534,280 4,670,310 4,810,420 4,954,730 Interest 58,120 116,100 148,610 183,200 220,150 Total Revenue 6,397,590 7,230,330 8,121,450 9,064,800 10,067,160

Appropriations Description 2005 2006 2007 2008 2009 Street Widening Projects Trfr to Fund 2 -Street Project 3,757,640 3,865,700 3,986,000 4,106,000 4,230,000 Engineering 60,000 62,100 64,270 66,520 68,850 Subtotal Street Widening 3,817,640 3,927,800 4,050,270 4,172,520 4,298,850

Total Streets 3,817,640 3,927,800 4,050,270 4,172,520 4,298,850

Ending Street CEF Balance 2,579,950 3,302,530 4,071,180 4,892,280 5,768,310

STREET CEFS CAPITAL PLAN City Council approved the 2020 Transportation Master Plan in 2000. The CEF funding for street projects is the cost of the projects attributable to growth. The CEF funds are transferred to the Capital Projects Fund, where they are combined with State and Federal grants and General Fund revenue to fully fund all the projects.

City of Loveland 20-11 Budget 2005 Capital Improvement Plan CEF Fund - Parks/Recreation/Trails Revenues Description 2005 2006 2007 2008 2009 Parks CEF Fund Balance 4,770,160 5,286,410 4,946,990 689,500 1,989,100 Recreation CEF Fund Balance 6,588,600 6,862,570 7,812,520 8,114,040 1,648,380 Trails CEF Fund Balance 311,340 136,840 229,920 28,540 123,970 Open Space Fund Balance 286,200 35,100 - 99,730 55,540 Parks Interest 146,250 237,890 222,610 31,030 89,510 Recreation Interest 198,970 205,880 234,380 243,420 49,450 Trails Interest 10,000 4,110 6,900 860 3,720 Open Space Interest 8,900 1,050 - 2,990 1,670 Parks CEF 1,700,000 1,522,690 1,569,900 1,618,570 1,668,740 Recreation CEF 875,000 744,070 767,140 790,920 815,440 Trails CEF 115,500 88,970 91,720 94,570 97,500 Open Space CEF 190,000 96,730 99,730 102,820 106,010 Total Revenue 15,200,920 15,222,310 15,981,810 11,816,990 6,649,030

Appropriations Description 2005 2006 2007 2008 2009 Trfr to Capital Project Fund 1,300,000 - - - - New Park Equipment - 550,000 50,000 250,000 30,000 Jayhawker Ponds Aug. 150,000 - - - - Mehaffey Park - 550,000 6,000,000 - - Kroh Park Phase II - - - 100,000 900,000 Park Land Acquisition 600,000 - - - - Park Land Development - 1,000,000 - - 1,250,000 Trails 300,000 - 300,000 - 200,000 Recreation Center Expansion - - 700,000 7,500,000 - Rec. Facility/Pool/Exp & Imp - - - - 900,000 Open Lands Acq/Restoration 450,000 132,880 - 150,000 - Project Management 80,000 - - - - Total Parks 2,880,000 2,232,880 7,050,000 8,000,000 3,280,000

Ending Park Balance 5,286,410 4,946,990 689,500 1,989,100 1,567,350 Ending Recreation Balance 6,862,570 7,812,520 8,114,040 1,648,380 1,613,270 Ending Trails Balance 136,840 229,920 28,540 123,970 25,190 Ending Open Space Balance 35,100 - 99,730 55,540 163,220

City of Loveland 20-12 Budget 2005 Capital Improvement Plan PARKS AND RECREATION CAPITAL PLAN The demand for additional Parks and Recreation facilities continues to grow as the City’s population continues to increase. Construction of new facilities is dependent on the City’s ability to fund the operations and maintenance of these facilities in the operating budget, therefore the spacing of projects within this plan.

Major projects for 2005 include: Funding for the Centennial Park renovation as part of the Youth Sports Complex ($1,300,000 is transferred to the Capital Projects Fund). Funding for additional parkland acquisition should land become available ($600,000). Water augmentation to the Jayhawker Pond ($150,000). Land acquisition and construction of the trail system ($300,000). Funding for the purchase of open space should land become available ($450,000).

Major projects in the “out years” include: Development of Mehaffey Park to come on line in 2008 with a projected operating impact of $420,000. The expansion of the Hatfield-Chilson Recreation Center to meet demand and growth in the community, funded by Recreation CEFs. Operations due to the expansion are projected to begin in 2009 with an operation impact of $250,000. Expansion and improvement of the recreation facility pool. Operations are to begin in 2010 at a cost of $135,000. Significant expansion of Kroh Park to come on line in 2010 with an operating impact of $84,000. Additional park land and open space as land and willing sellers become available.

City of Loveland 20-13 Budget 2005 Capital Improvement Plan Other CEF Funds Revenues Description 2005 2006 2007 2008 2009 Fire CEF Fund Balance 1,919,380 2,621,660 3,364,350 4,149,240 4,978,200 Law Enf. CEF Fund Balance 1,002,530 1,317,020 1,649,470 2,000,680 2,371,480 Library CEF Fund Balance 2,081,750 2,517,520 2,977,570 3,462,960 3,974,790 Museum CEF Fund Balance 2,087,050 2,452,330 2,837,650 3,243,880 3,671,930 Gen Govt CEF Fund Balance 4,852,830 5,733,040 6,661,700 7,536,920 4,611,780 Fire Interest 57,580 78,650 100,930 124,480 149,350 Law Enforcement Interest 30,080 39,510 49,480 60,020 71,140 Library Interest 62,450 75,530 89,330 103,890 119,240 Museum Interest 62,610 73,570 85,130 97,320 110,160 General Government Interest 145,580 171,990 199,850 226,110 138,350 Fire CEF 644,700 664,040 683,960 704,480 725,610 Law Enforcement CEF 284,410 292,940 301,730 310,780 320,100 Library CEF 373,320 384,520 396,060 407,940 420,180 Museum CEF 302,670 311,750 321,100 330,730 340,650 General Government CEF 734,630 756,670 779,370 802,750 826,830 Total Revenue 14,641,570 17,490,740 20,497,680 23,562,180 22,829,790

Appropriations Description 2005 2006 2007 2008 2009 Transfer to Cap Proj Fund - - 104,000 3,954,000 - Subtotal Transfers - - 104,000 3,954,000 -

Total Other CEFs - - 104,000 3,954,000 -

Ending Fire Balance 2,621,660 3,364,350 4,149,240 4,978,200 5,853,160 Ending Law Enf. Balance 1,317,020 1,649,470 2,000,680 2,371,480 2,762,720 Ending Library Balance 2,517,520 2,977,570 3,462,960 3,974,790 4,514,210 Ending Museum Balance 2,452,330 2,837,650 3,243,880 3,671,930 4,122,740 Ending Gen Govt Balance 5,733,040 6,661,700 7,536,920 4,611,780 5,576,960

OTHER CEF CAPITAL PLAN In 2006, design costs for Phase III of the Service Center addition are programmed with construction in 2007. The addition will house the personnel and equipment for the Solid Waste Utility, the Storm Water Utility, Traffic, Project Engineering, and the Street Maintenance Division. A portion of the cost of the project will be provided by the Solid Waste Enterprise and the Storm Water Enterprise with the balance from General Government CEFs. The operational impact in 2008 is projected at $125,000.

City of Loveland 20-14 Budget 2005 Capital Improvement Plan Park Improvement Fund

Resources Description 2005 2006 2007 2008 2009 Fund Balance 1,140,870 1,015,550 1,079,260 1,205,910 1,336,580 User Fees 50,450 43,240 44,270 44,490 44,820 Interest 34,230 30,470 32,380 36,180 40,100 Donations 100,000 100,000 100,000 100,000 - Total Revenue 1,325,550 1,189,260 1,255,910 1,386,580 1,421,500

Appropriations Description 2005 2006 2007 2008 2009 Facility Improvments/Repair 50,000 110,000 50,000 50,000 50,000 North Lake Train Repair/Rplmt - - - - 55,000

Youth Sports Complex -Transfer to Capital Projects Fund 260,000 - - - -

Total Park Improvments 310,000 110,000 50,000 50,000 105,000

Ending Balance 1,015,550 1,079,260 1,205,910 1,336,580 1,316,500

PARKS IMPROVEMENT FUND This fund’s revenues come from interest earnings on the fund balance and proceeds from park shelter reservations. These funds are used to improve and renovate facilities in parks constructed prior to 1989.

Major projects for 2005 include: Funding for facility improvements and repair ($50,000). Funding from the McWhinney donation and from County UGA fees for the Centennial Park renovation (a transfer to the Capital Projects Fund for $260,000).

City of Loveland 20-15 Budget 2005 Capital Improvement Plan Conservation Trust Fund Revenues Description 2005 2006 2007 2008 2009 Fund Balance 2,171,820 1,361,970 1,414,830 1,692,270 1,923,040 Lottery Proceeds 425,000 430,000 435,000 440,000 445,000 Interest 65,150 40,860 42,440 50,770 57,690 Total Revenue 2,661,970 1,832,830 1,892,270 2,183,040 2,425,730

Appropriations Description 2005 2006 2007 2008 2009 Trail Design and Construction 1,300,000 418,000 200,000 260,000 400,000 Total Conservation Trust 1,300,000 418,000 200,000 260,000 400,000

Ending Balance 1,361,970 1,414,830 1,692,270 1,923,040 2,025,730

CONSERVATION TRUST FUND Revenues for the Conservation Trust Fund are from Colorado Lottery proceeds. The revenues are used to fund land purchases and construction costs of the hike/bike trail that will circle the City upon completion, with connections to the Fort Collins and Berthoud trail systems. Interest generated by the lottery proceeds is used to fund maintenance of the trails that have been built to date.

City of Loveland 20-16 Budget 2005 Capital Improvement Plan Open Space Sales Tax Fund Revenues Description 2005 2006 2007 2008 2009 Fund Balance 2,728,300 2,356,010 2,669,170 2,513,790 2,876,130 Sales Tax Proceeds 1,212,860 1,242,480 1,264,540 1,286,930 1,309,670 Interest 81,850 70,680 80,080 75,410 86,280 Total Revenue 4,023,010 3,669,170 4,013,790 3,876,130 4,272,080

Appropriations Description 2005 2006 2007 2008 2009 Morey Augmentation 117,000 - - - - Sauer Renovation - 500,000 - - - Land Acquisition 1,550,000 500,000 1,500,000 1,000,000 1,000,000 Total Open Space 1,667,000 1,000,000 1,500,000 1,000,000 1,000,000

Ending Balance 2,356,010 2,669,170 2,513,790 2,876,130 3,272,080

OPEN SPACE The Open Space Fund revenues are from the City’s share of a .25 cent County sales tax levied for the purpose of purchasing land for open space. The City actively pursues the acquisition of open space under a “willing seller–willing buyer” philosophy.

City of Loveland 20-17 Budget 2005 Capital Improvement Plan Golf Enterprise Fund Revenues Description 2005 2006 2007 2008 2009 Golf Revenues 687,850 519,650 533,700 1,395,850 1,056,600 Fund Balance 1,119,410 969,610 969,610 969,610 969,610 Total Revenue 1,807,260 1,489,260 1,503,310 2,365,460 2,026,210

Appropriations Description 2005 2006 2007 2008 2009 Golf Admin & Support Equipment Replacement 12,000 - - - - Subtotal Golf Admin & Support 12,000 - - - - Olde Course Equipment Replacement 33,750 33,750 123,700 65,000 102,000 Club House & Shop Bld. Imp. 202,000 - - - Course Improvements - 295,000 100,000 10,000 100,000 Subtotal Olde Course 235,750 328,750 223,700 75,000 202,000 Mariana Butte Equipment Replacement 68,900 68,900 - 69,800 53,200 Water Purchase 420,000 110,000 100,000 110,000 - Course Improvements - - - 193,000 37,500 Maintenance Bld. & Clubhouse Imp. - - - 750,000 600,000 Subtotal Mariana Butte 488,900 178,900 100,000 1,122,800 690,700 Cattail Creek Course Improvments 101,000 - 200,000 150,000 75,000 Equipment Replacement - 12,000 10,000 48,050 88,900 Subtotal Cattail Creek 101,000 12,000 210,000 198,050 163,900 Total Golf 837,650 519,650 533,700 1,395,850 1,056,600

Ending Balance 969,610 969,610 969,610 969,610 969,610

GOLF ENTERPRISE FUND Major projects for 2005 include: Funding for improvements to the Olde Course Maintenance Building ($202,000). Funding to continue the equipment replacement program for all three golf courses ($114,550). Funding for improvements to the Cattail Creek Golf Course ($101,000). Funding to purchase water for the Mariana Butte Golf Course ($420,000).

Major projects in the future include improvements to all three golf courses, and improvements to the Mariana Butte Clubhouse and maintenance building.

City of Loveland 20-18 Budget 2005 Capital Improvement Plan StormWater Enterprise Fund Revenues Description 2005 2006 2007 2008 2009 Fund Balance 1,390,260 1,069,720 1,131,730 950,980 233,450 Operating Revenues 1,613,210 1,866,580 1,855,800 1,612,240 1,953,440 SIF Fees 498,000 513,000 529,000 546,000 562,000 SIF Interest 17,250 22,240 21,820 20,770 20,480 Total Revenue 3,518,720 3,471,540 3,538,350 3,129,990 2,769,370

Appropriations Description 2005 2006 2007 2008 2009 Engineering Design 175,000 250,000 270,000 24,500 235,000 Construction Projects 1,594,080 1,351,850 1,104,900 1,198,050 1,491,290 Equipment Replacement 12,500 155,060 602,530 550,460 428,890 Storm Water Quality 40,000 40,000 40,000 40,000 40,000 Transfer to Capital Projects Fund - - - 511,500 -

Total General Projects 1,821,580 1,796,910 2,017,430 2,324,510 2,195,180

Oversizing 627,420 542,900 569,940 572,030 574,190 Total SIF Projects 627,420 542,900 569,940 572,030 574,190

Total Storm Water 2,449,000 2,339,810 2,587,370 2,896,540 2,769,370

Ending Balance 1,069,720 1,131,730 950,980 233,450 -

STORM WATER ENTERPRISE FUND Major projects for 2005 include: Design and construction of storm water improvement projects ($1,773,880). Funding for oversizing and main extensions ($627,420). Funding for equipment replacement ($64,000). Funding for the Storm Water Quality Program ($40,000).

City of Loveland 20-19 Budget 2005 Capital Improvement Plan Water Enterprise Fund Revenues Description 2005 2006 2007 2008 2009 Fund Balance 16,837,990 7,772,320 3,089,720 2,437,370 2,667,120 SIF Fees 2,459,500 2,579,470 2,741,630 2,940,460 3,153,730 SIF Interest 216,450 146,490 113,180 198,490 317,790 Total Resources 19,513,940 10,498,280 5,944,530 5,576,320 6,138,640

Appropriations Description 2005 2006 2007 2008 2009 Water Meter Purchase & Installation 35,000 35,000 35,000 35,000 35,000 Right of Way Relocation 30,000 30,900 31,830 32,780 33,770 Emergency Water line Repair 50,000 51,500 53,050 54,640 56,280 Galvanized Water Line Replacement 40,000 41,200 42,440 43,710 45,020 29th Street Pump Station 200,000 - - - - S. 22nd & Colorado Water Line Replc. - - 31,830 - 292,630 Jill Drive Water Line Replacement - - - 273,180 - 29th Street WL Corrosion Study - 61,800 - - - 4 MG 29th Street Tank Painting - - 275,830 - - N Concrete Water Tank Demolition 200,000 - - - - Vulnerability Assessment Improvements 120,000 221,450 - - - Water Line Replacement Program 206,000 424,360 819,550 1,035,470 Namaqua Hills Pump Station Upgrade - - - 273,180 - 20" WL Rehab Study (WTP to W Vault) - - 70,020 - - 29th St. Water Tank Supply Line - - 212,180 - - Francis Drive WL Replacement - - 63,650 - - Morning Drive Flowmeters - - 79,570 - - Transmission & Distribution Projects 283,690 112,980 63,320 187,610 112,190 Water Treatment Plant Improvements 1,736,700 647,390 615,150 243,500 342,080 Equipment Replacement 64,620 111,230 88,890 143,210 53,140 Total General Projects 2,760,010 1,519,450 2,087,120 2,106,360 2,005,580

Windy Gap Firming Project 1,030,300 1,414,910 - - - Downstream Storage 3,000,000 - - - - Water Court Transfer Costs 170,000 77,900 20,000 50,000 30,000 Sampling Plan for Green Ridge Glade Res. 15,000 - - - - Boyd Lake 16" Wtr Line Dsgn & Const 100,000 453,200 - - - Cty Rd 24E 16" Wtr Line Dsgn & Const - 77,250 360,710 - - 29th Street pump Station Improvements 200,000 - - - - Mariana Butte to P1 Zone/Arkins 216,000 - - - - Granite Waterline Addition - - - - 281,380 Water Main Extensions & Oversizing 941,880 620,390 623,990 627,720 631,550 Subtotal Water Resource SIF 5,673,180 2,643,650 1,004,700 677,720 942,930

Water Treatment Plant Improvements 3,208,430 3,142,460 309,250 15,850 147,890 Subtotal Water Treatment Plant SIF 3,208,430 3,142,460 309,250 15,850 147,890

Contractor Meter Purchases SIF 100,000 103,000 106,090 109,270 112,550 Total SIF Projects 8,981,610 5,889,110 1,420,040 802,840 1,203,370 Total Water 11,741,620 7,408,560 3,507,160 2,909,200 3,208,950 Ending Balance 7,772,320 3,089,720 2,437,370 2,667,120 2,929,690

City of Loveland 20-20 Budget 2005 Capital Improvement Plan WATER ENTERPRISE FUND Major projects for 2005 include: Funding for improvements to the water treatment plant. This is an annual program to keep the treatment plant current with demand technology improvements and EPA/State mandated compliance with water quality regulations. The 2005 cost is $4.9 million. Completion of a 4.5 million gallon treated water storage tank. Continued funding for infrastructure on the east side to meet development demand. Demolition of the North Concrete Water Tank. Funding for downstream storage ($3,000,000). Funding for the Windy Gap Firming Project ($1,030,300).

City of Loveland 20-21 Budget 2005 Capital Improvement Plan Wastewater Enterprise Fund Revenues Description 2005 2006 2007 2008 2009 Fund Balance 2,680,430 1,596,210 3,105,970 3,053,380 2,384,550 Operating Revenues 1,539,560 1,594,190 1,628,630 1,138,140 1,122,410 SIF Fees 2,355,000 2,468,500 1,839,800 1,958,500 2,058,100 SIF Interest 84,940 - 42,340 82,720 109,260 Total Revenue 6,659,930 5,658,900 6,616,740 6,232,740 5,674,320

Appropriations Description 2005 2006 2007 2008 2009 Treatment Plant Improvement 576,350 1,014,010 1,370,690 1,342,480 1,504,990 Equipment Replacement 81,450 105,700 86,060 84,900 76,770 Subtotal Treatment Plant 657,800 1,119,710 1,456,750 1,427,380 1,581,760

Right of Way Utility Relocate 50,000 51,500 53,050 54,640 56,280 Barberry Place Lift Station Abdn. - - - 273,180 - Fairgrounds/Namaqua Interceptor - 329,600 42,440 382,450 - Boyd Lake Interceptor Rehab. - - 583,500 54,640 562,750 South Horseshoe Lift Station 55,000 - - - - Inflow/Infiltration Study 100,000 - - - - CMOM Sanitary Sewer Sys Imp. - - 106,090 43,710 56,280 Waste Water Main Imp 159,690 61,480 152,800 101,830 414,400 Subtotal Main Improvements 364,690 442,580 937,880 910,450 1,089,710 Total General Projects 1,022,490 1,562,290 2,394,630 2,337,830 2,671,470

Boyd Lake Interceptor Rehab. - - 74,260 764,910 56,280 South Horseshoe Lift Station 495,000 - - - - Carlyle Phase 4 - 41,200 350,100 - - Waste Water Main Improvement 293,880 296,700 306,020 293,950 341,790 Treatment Plant Improvement 3,252,350 652,740 438,350 451,500 788,250 Total SIF Projects 4,041,230 990,640 1,168,730 1,510,360 1,186,320

Total Waste Water 5,063,720 2,552,930 3,563,360 3,848,190 3,857,790 Ending Balance 1,596,210 3,105,970 3,053,380 2,384,550 1,816,530

WASTEWATER ENTERPRISE FUND Major projects for 2005 include: Funding for improvements and expansion of the wastewater treatment plant. This is an ongoing program resulting from new EPA mandates for water quality and anticipated growth. The 2005 cost is $3.8 million. Continued funding for infrastructure on the east side of town to meet development demand. Funding for the design and construction of Wastewater Treatment Plant odor control projects.

City of Loveland 20-22 Budget 2005 Capital Improvement Plan Power Enterprise Fund Revenues Description 2005 2006 2007 2008 2009 Fund Balance 8,895,750 8,922,010 5,117,770 4,167,760 2,861,650 Operating Revenues 5,143,910 1,616,140 4,437,040 4,631,730 4,836,470 PIF Fees 1,212,000 1,237,940 1,264,430 1,291,490 1,319,130 PIF Interest 60,000 88,250 101,930 105,080 80,760 Total Revenue 15,311,660 11,864,340 10,921,170 10,196,060 9,098,010

Appropriations Description 2005 2006 2007 2008 2009 Hydro Generation 5,000 56,650 74,880 5,460 202,590 Overhead Distribution Lines 50,000 51,500 53,050 54,640 56,280 Underground Distribution Lines 84,400 86,930 89,540 92,230 94,990 Meter Purchase/Install/Upgrade 140,000 144,200 148,530 152,980 157,570 Transformer Purchase & Install 45,000 46,350 57,740 49,170 50,650 Substation 122,600 84,100 83,320 39,180 35,630 Overhead Svc Install/Upgrade 30,000 30,900 31,830 32,780 33,770 Underground Svc Install/Upgrade 375,000 386,250 397,840 409,770 422,070 Temporary Service Install 75,000 77,250 79,570 81,960 84,410 Customer Aid to Construction 2,000,000 2,060,000 2,121,800 2,185,450 2,251,020 Other System Improvements 660,000 1,504,090 1,088,370 1,566,680 1,416,210 URD Sections 50,000 51,500 53,040 54,640 56,280 Street Lights/Cust.Request/Misc. Proj. 130,000 65,920 184,970 190,510 214,230 Street Lights/Development Driven 300,000 309,000 318,270 327,820 337,650 Equipment 104,880 209,200 140,340 208,260 257,990 Public Work Projects 815,070 - 300,500 - - Subtotal General Projects 4,986,950 5,163,840 5,223,590 5,451,530 5,671,340

Substation PIF Projects 500,000 1,067,730 999,370 1,336,520 1,313,250 Feeder PIF Projects 902,700 515,000 530,450 546,360 562,760 Subtotal PIF Projects 1,402,700 1,582,730 1,529,820 1,882,880 1,876,010

Total Power 6,389,650 6,746,570 6,753,410 7,334,410 7,547,350 Ending Balance 8,922,010 5,117,770 4,167,760 2,861,650 1,550,660

City of Loveland 20-23 Budget 2005 Capital Improvement Plan POWER ENTERPRISE FUND Major projects for 2005 include: Purchasing a spare substation transformer, so should there be a problem with one of the existing 10 transformers, we will have a replacement. Within a few years, as the electrical load on the system continues to increase, this transformer will be put in service and then another spare transformer will be purchased. Converting a portion of Circuit 411 from overhead to underground along Taft Avenue from 10th Street to just south of 8th Street. This project is being done to accommodate a road widening project that the Public Works Department is doing. Relocate Circuit 1014 on Rocky Mountain Avenue from County Road 20 to Crossroads Boulevard. This project is being done to accommodate a road widening project that is being completed by the Public Works Department. Converting a portion of Circuit 611 from overhead to underground just north of the intersection of Highway 34 and Boyd Lake Avenue. This project is being done to accommodate a road widening project by the Public Works Department on Boyd Lake Avenue. Extending Circuit 411 along Southwest 14th Street from Katie Drive to County Road 21. This project is needed to serve the Dakota Glen Subdivision that is being constructed in this area. Several miscellaneous substation projects will be done including replacing transformer temperature monitors, upgrading load tap changer controls, and replacing station batteries.

City of Loveland 20-24 Budget 2005 APPENDIX

enior Advisory Board

S The Board serves as coordinating agency for senior services and activities and maintains communications with local, state, and federal government agencies concerning senior citizens. The Board also assists the senior citizens in the Loveland area to live full and interesting lives, so that they might continue to contribute, participate and share in the life of the community. Additionally, the board’s responsibilities include (1) to serve as coordinating agency for senior services and activities; (2) to assess, publicize and support present senior services and activities in the community; (3) to investigate and evaluate requests for new senior citizen services and activities; (4) to plan, initiate, develop and encourage new senior citizen programs as need is indicated; and (5) to establish and maintain communications with local, state and federal government agencies concerning senior citizens. Appendix GLOSSARY OF TERMS Accrual Basis of Accounting: The method of accounting under which debits and credits are recorded at the time they are incurred as opposed to when cash is actually received or spent. For example, in accrual accounting, revenue which was earned in December, but not collected until January, is recorded as revenue in December. ADA: Americans with Disabilities Act. Adjudication: The act or process of reaching settlement judicially. Amendment One (TABOR): An amendment to the Colorado State Constitution that limits revenues and expenditures to the inflation rate, measured by the Denver–Boulder Consumer Price Index, Urban Area (CPI–U), and growth (defined as new construction) of the jurisdiction in the prior year. All new or increased taxes must be voted on by the public. Also, it establishes mandatory emergency reserves. Appropriation: A legal authorization made by the City Council to make expenditures and incur obligations for specific purposes. Appropriation Ordinance: An ordinance by means of which appropriations are given legal effect. It is the method by which the expenditure side of the annual budget is enacted into law by the City Council. Assessed Valuation: A valuation set upon real estate or other property by the county assessor to establish a basis for levying taxes. It is equal to 7.96% of market value for residential property and 29% for commercial and industrial property. Bond: A form of borrowing money for major capital projects, such as buildings and streets. The city obligates itself to repay the principal at a stated rate of interest over a stated period of time. Budget: A financial plan of estimated expenditures and the means of financing them for a stated period of time. Upon approval by the City Council the budget appropriation ordinance is the legal basis for expenditures in the budget year. Capital Outlay: An item that costs $2,500 or more and is expected to last one year or longer. Examples include vehicles, carpet and equipment. Capital Expansion Fee (CEF): An assessment on new development to contribute to providing new infrastructure necessitated by population growth. Capital Improvements: Expenditures related to the acquisition, expansion or rehabilitation of an element of the city’s physical structure, sometimes referred to as infrastructure. Examples include buildings, streets, bridges, parks and utility systems. Capital Improvement Plan: An annually updated plan of capital expenditures for public facilities, infrastructure and major fixed assets with estimated costs, sources of funding and timing of projects over a five–year period. Capital Project: Expenditure for equipment, machinery, facilities, or infrastructure that will provide long–term service or other public benefits. Carryover: Amount of money remaining at the end of the preceding year and available in the current budget year through an ordinance commonly called the rollover ordinance. CDBG: Community Development Block Grant. CFAC: Citizens’ Finance Advisory Commission. CIRSA: Colorado Intergovernmental Risk Sharing Agency. CEF: Capital Expansion Fee (see definition above). CMP: Comprehensive Master Plan. The Master Plan is the official document that serves as the long range, comprehensive policy guide to the day-to-day decisions about the future development of the City of Loveland. Community Survey: Written or telephone survey performed annually to determine citizens’ overall satisfaction with community services.

City of Loveland 21-1 Budget 2005 Appendix Contractual Services: Expenses that are usually incurred by entering into a formal agreement or contract with another party. Expenses included in this category can include insurance, repairs or professional services. Debt Service: Principal and interest due on long–term debt such as loans, notes and bonds incurred by the City. Department: Major unit of organization in the City. Depreciation: Expiration in the service life of fixed assets because of wear and tear, deterioration, action of physical elements, inadequacy or obsolescence. Division: Sub–unit of a department. DUI: Driving Under the Influence (of alcohol or other drugs). EOC: Emergency Operations Center. Encumbrance: Obligations in the form of purchase orders or contracts which are chargeable to an appropriation and for which a part of the appropriation is reserved. Obligations cease to be encumbrances when paid or when the actual liability is set up. Enterprise Fund: Funds that are self–supporting through user fees. Examples include water, golf, solid waste and power. By the TABOR amendment these funds can not have more than 10% of their budget subsidized by taxes. EPA: Environmental Protection Agency. ESP: Extra Special People. A service provided by the City that provides transportation to persons who are elderly, handicapped and/or low–income. Under the ADA, this service is now called Paratransit service. Expenditure: Payment for goods or services, including operating expenses that require the current or future use of net current assets, debt and capital outlays. Note that an encumbrance is not an expenditure, but reserves funds to be expended. FAA: Federal Aviation Administration. Fiduciary Fund: A fund used to account for activity of the City as a trustee over funds allotted to meet a current or future financial obligation, usually on an actuarially sound basis. Example: Pension funds. Fiscal Year: The twelve–month period to which the operating budget applies. This is January 1 to December 31 for the City of Loveland. Fixed Assets: Assets of long–term character that are intended to continue to be held or used, such as land, buildings, machinery and other equipment. FTE: Full–time equivalent. The hourly equivalent of a full–time employee. An FTE can be made up of either one full–time employee or two or more part–time employees whose total hours equal 40 per week. Fund: Accounting entity with a self–balancing set of accounts, which is segregated from other funds, to carry on specific activities or attain certain objectives. Fund Balance: On–hand available cash balances which are realized in prior fiscal years less current liabilities and are available for designation as a funding source for a future budget year. General Fund: A central fund into which most of the City’s tax and unrestricted revenues are budgeted to support basic municipal services, public safety and administrative activities of the City; financed mainly by sales tax and property tax. GIS: Geographic Information System. GIS is a specialized information system for capturing, storing, querying, analyzing, and displaying geographic data. Geographic data describes both the location and the characteristics of features or objects on the earth’s surface. That ability makes GIS more than just maps; they are smart maps that can do everything from environmental analysis to site location for a new video store. GPS: Global Position System. A GPS is a navigational system which allows the individual to find where they are in the world.

City of Loveland 21-2 Budget 2005 Appendix Grant: A contribution made from either the private sector to the City or by one governmental unit to another. The contribution is usually made to support a specified program, function or project. Home Rule: A limited grant of discretion from the State of Colorado to Loveland, concerning either the organization of functions or the raising of revenue. Loveland became a home rule city in May of 1996. Intergovernmental Revenue: Amounts of money received from federal, state and other governmental bodies. Internal Services Fund: Activities which provide support services to other City departments. Example: Accounting. Intra–City Charges: Items counted both as revenue and expense in two separate funds, which the revenue is received only once from an outside source. It usually occurs because one fund provides a service to another fund. Level of Service: Transportation Level of Service (LOS) is based on a ratio of current or anticipated volumes of traffic at peak hours and trip generation along the street divided by the capacity of the street. The City of Loveland has adopted Level A for local roads, Level B for Collectors and Level C for other areas with a few exceptions. When service level falls below LOS C, movements become more restricted and delays may occur during peak periods. Lease–Purchase Agreement: Financial arrangement which permits the City to pay for the use of equipment or machinery over a period of time through a lease and to purchase it at the end of that time. LHPAC: Loveland High Plains Art Council. LRFPD: Loveland Rural Fire Protection District. Mill Levy: Rate by which assessed valuation is multiplied to determine property tax. A mill is 1/10 of one cent or $1.00 of tax for each $1,000 of assessed valuation. MIS: Management Information Systems. MIS provides innovative information technology and services that are reliable, accessible, and cost effective for the City of Loveland staff and citizens. Modified Accrual: Under Modified Accrual Accounting revenues are recorded when they are measurable and available. Expenses are recorded when they are incurred. This differs from the full accrual method where revenues are recorded when received and expenses recorded when the expense is paid for. Net City Budget: Total City operating and capital budget net of transfers among funds, and internal service charges. This amount represents a close approximation of projected spending. Operating Budget: The portion of the budget that pertains to daily operations providing basic governmental services. The operating budget contains appropriations for such expenditures as personal services, supplies and materials. Paratransit Service: Door to door transportation services for people who due to health or disability can not use fixed route transportation services. PIF: Plant Investment Fee. (See definition below.) PILT: Payment in lieu of tax. An estimate of the amount of taxes that would be chargeable to a utility if owned privately. PRPA: Platte River Power Authority. Personal Services: Salaries, wages, benefits and other related costs of employees. Plant Investment Fee (PIF): Charges made on new development to contribute to financing utility facilities to meet the needs of increased population. Applies to Loveland Water and Power. This fee is similar in nature to a Capital Expansion Fee. Projection: Estimation of future revenues and expenditures based on past trends, current economic conditions and financial forecasts. Property Tax: Annual charge to owners of real property, based on assessed valuation and the mill levy.

City of Loveland 21-3 Budget 2005 Appendix Reserve: Funds set aside in the current and past years for the purpose of paying for capital needs, providing for obligations and liabilities, and meeting emergency needs. Reserve Fund Balance: The portion of a fund’s balance that is legally restricted for a specific purpose and is, therefore, not available for general appropriation. Resources: Total amounts available for appropriation, consisting of estimated beginning funds on hand plus anticipated revenues. Revenues: Funds that the government receives as income such as tax payments, user fees, charges, special assessments, fines, grants and interest income to support the services provided. Risk Management: As organized attempt to protect a government’s assets against accidental loss in the most economical manner, and programs to minimize worker injury and supervisory actions to limit City liability. RSF: Retail Sales Fee. A fee collected by the merchant for developer or sub-unit of government such as a Metropolitan District to fund the cost of infrastructure and other approved expenses. SCADA: Supervisory Controlled and Data Acquisition System. Self–Insurance: Establishment of a sum of money sufficient to pay anticipated claims. Used as a planning process to control costs and coverage in lieu of paying premiums to insurance companies. SIF: System Impact Fee. (See definition below.) Service Center: A complex of buildings located at First Street and Wilson Avenue that house the City’s electric and water utilities and provides warehousing, vehicle maintenance and other service facilities. Services Rendered: Charges made to a fund for support services provided by another fund. Special Assessment: A compulsory levy made against certain properties to defray part or all of the cost of a specific improvement or service deemed to primarily benefit those properties. Special Improvement Districts: A district composed of property owners who have agreed to join together to complete and pay for the cost of public improvements. Special Revenue Funds: A fund used to account for the proceeds of specific revenues that are legally restricted to be spent for specific purposes. Example: Capital Expansion Fees. Supplemental Requests: Programs and services that departments would like or have added (in priority order) over their target budget, or if revenue is received is greater that anticipated. System Impact Fee (SIF): Impact fees on new development that contribute to financing utility facilities to meet the needs of increased population. Applies to the Water, Wastewater and Storm Water utilities. TABOR (Tax Payers’ Bill of Rights): Refers to an amendment to State constitution which put in place several restrictions to state and local government. The most significant limits are the requirement for all tax rate increases to be by a vote of approval, and creating revenue limits a government must abide by, refunding all revenue over the limit unless given voter approval otherwise. Transfers: Amounts distributed from one fund to finance activities in another fund. Transfers are shown as an expenditure in the originating fund and a revenue in the receiving fund. Unreserved Fund Balance: The portion of a fund’s balance that is not restricted for a specific purpose and is available for general appropriation. User Fee: Charge to the benefiting party for the direct receipt of a public service. VAC: Visual Arts Commission. The Visual Arts Commission, a seven-member volunteer citizens' committee, oversees the city's art acquisitions/donations and site selection. WAPA: Western Area Power Authority.

City of Loveland 21-4 Budget 2005