Annual Budget Fiscal Year 2018 City of Prescott, Arizona Annual Budget Fiscal Year 2018 July 1, 2017 – June 30, 2018 City Council Harry Oberg, Mayor Billie Orr Greg Lazzell Jean Wilcox Jim Lamerson Steve Sischka Steve Blair Administrative Staff Michael Lamar City Manager Mark Woodfill Finance Director Lars Johnson Budget Manager Table of Contents Budget Award ........................................................................................................................................ 1 City Manager's Budget Message ......................................................................................................... 2 City Leadership and Community Overview ........................................................................................ 4 Mayor and City Council ...................................................................................................................... 5 Community Profile ............................................................................................................................ 12 City of Prescott Demographics ......................................................................................................... 16 Organizational Structure, Goals, and Policies ................................................................................. 20 Organizational Values ...................................................................................................................... 21 City Organizational Chart ................................................................................................................. 22 Employees by Department and Ten-Year Trend ............................................................................. 23 Budget Policy ................................................................................................................................... 24 Debt Policy ....................................................................................................................................... 28 Investment Policy ............................................................................................................................. 31 Budget Preparation Process Overview ............................................................................................ 35 Budget Preparation Calendar ..................................................................................................... 37 Budget Basis and Budget Amendments ..................................................................................... 38 Fund Summaries ................................................................................................................................. 40 Fund Structure .................................................................................................................................. 42 Overall City Budget Summary .......................................................................................................... 45 General Fund ................................................................................................................................... 50 Special Revenue Funds ................................................................................................................... 57 Debt Service Fund ............................................................................................................................ 63 Enterprise Funds .............................................................................................................................. 64 Internal Service Funds ..................................................................................................................... 78 City Debt Summary .......................................................................................................................... 80 Department Operational Plans ........................................................................................................... 84 Department Operational Plans Overview ......................................................................................... 86 City Expenditure Budget by Department and Fund ......................................................................... 88 City Expenditure Budget by Department and Category ................................................................... 89 Airport ............................................................................................................................................... 90 Budget and Finance ......................................................................................................................... 94 City Clerk ........................................................................................................................................ 103 City Council .................................................................................................................................... 107 City Court ........................................................................................................................................ 110 City Manager .................................................................................................................................. 115 Community Development ............................................................................................................... 132 Fire ................................................................................................................................................. 141 Legal ............................................................................................................................................... 155 City of Prescott, Arizona Annual Budget FY2018 Table of Contents Library ............................................................................................................................................. 159 Police .............................................................................................................................................. 167 Public Works................................................................................................................................... 179 Recreation Services ....................................................................................................................... 201 Regional Communications ............................................................................................................. 216 Capital Budget ................................................................................................................................... 220 Capital Budget Overview ................................................................................................................ 222 Capital Budget Categories and Funding Sources .......................................................................... 224 Capital Budget Listing .................................................................................................................... 225 Capital Budget and Project Descriptions ........................................................................................ 228 Five-Year Capital Improvement Plan Summary ............................................................................. 266 Appendix ............................................................................................................................................ 270 Budget Resolutions ........................................................................................................................ 272 Auditor General Schedules ............................................................................................................ 276 Authorized Position Listing ............................................................................................................. 288 Authorized Pay Grade Ranges....................................................................................................... 296 Glossary of Terms .......................................................................................................................... 297 City of Prescott, Arizona Annual Budget FY2018 Budget Award The Government Finance Officers Association of the United States and Canada (GFOA) presented a Distinguished Budget Presentation Award to the City of Prescott, Arizona for its annual budget for the fiscal year beginning July 1, 2016 (FY2017). In order to receive this award, a governmental unit must publish a budget document that meets program criteria as a policy document, as an operations guide, as a financial plan, and as a communications device. This award is valid for a period of one year only. We believe our current budget continues to conform to program requirements, and we are submitting it to GFOA to determine its eligibility for another award. City of Prescott, Arizona 1 Annual Budget FY2018 City Manager’s Budget Message Dear Citizens and Council – For the creation of the Fiscal Year 2018 (FY18) budget I determined several priorities to focus on that would drive the budget process and reflect the desires of the Council. They are the following: 1. Implement the Council’s Strategic Plan 2. Continue to work on innovation and efficiency in city operations 3. Start moving the city to a budgeting for outcomes model 4. Address the city’s Public Safety Personnel Retirement System (PSPRS) unfunded liability and the increasing burden on the General Fund 5. Continue the market-based compensation