About the Cover In 1559, Spanish Explorer, Don Tristan de Luna de Arellano (shown on cover) landed on the shores of what is now Pensacola, Florida. De Luna’s expedition left from Mexico and found its way to the naturally protected waters of what is now Pensacola Bay. Shortly after establishing the settlement, a hurricane destroyed supplies, eventually causing the Spanish to flee the area and not return until the 1600s. In 1698, Fort San Carlos de Austria became the first permanent settlement in Northwest Florida. Remains of the fort can be found at Pensacola Naval Air Station. Pensacola is proud of its rich heritage, historically significant events and landmarks. To commemorate its 450th anniversary, Pensacola celebrated for 450 days from May 23, 2008 to August 15, 2009. The Juan Sebastian de Elcano (shown on cover) is the third largest “Tall Ship” in the world and was launched on March 5, 1927. She is the official training ship for the Royal Spanish Navy and entrusted with the formation and training of the Spanish Naval Midshipmen. Elcano Captain Francisco Javier Romero and crew sailed into Pensacola June 3, 2009 to help commemorate the 450th Anniversary of the discovery of Pensacola. In addition to the six-day visit by the Elcano, numerous special events were held including art exhibits, heritage walks, historical reenactments, educational programs, a heritage festival and a Spanish food and wine festival. Additionally, a visit from King Juan Carlos I and Queen Sofia of Spain was held in February 2009 to help celebrate the 450th Anniversary of Spanish explorer Don Tristan de Luna’s settlement in Pensacola. Source: www.celebratepensacola.com City of Pensacola, Florida Fiscal Year 2010 Approved Budget APPROVED ANNUAL BUDGET CITY OF PENSACOLA, FLORIDA FOR THE FISCAL YEAR ENDING SEPTEMBER 30, 2010 Michael C. Wiggins, Jewel Cannada-Wynn Mayor FY 2010 CITY COUNCIL Deputy Mayor, District 6 Maren DeWeese, Sam Hall John Jerralds Larry B. Johnson, District 3 District 2 District 5 District 4 Diane Mack Megan B. Pratt Ronald P. Townsend P. C. Wu, Ph.D. At Large At Large District 7 District 1 City of Pensacola, Florida Fiscal Year 2010 Approved Budget CITY ADMINISTRATION ALVIN G. COBY WILLIAM D. WELLS City Manager City Attorney DEPARTMENT DIRECTORS RICHARD BARKER, JR. RUSSELL BEATY (Interim) ERICKA BURNETT Financial Services Fire City Clerk THADDEUS COHEN MELINDA CRAWFORD (Interim) GENE FISCHER Community Development Airport West Florida Public Library DAVID L. FLAHERTY AL GARZA, JR. PAT HUBBARD Parks and Recreation Public Works Housing SUZANNE HUMPHREY CLYDE E. MATHIS JOHN W. MATHIS Civil Service Port of Pensacola Police JERRY MOORE WILLIAM S. NORRISH L. DERRIK OWENS Sanitation Services and Fleet Management Information Services Engineering Management MARY ANN STALCUP DON SUAREZ Human Resources Energy Services FINANCIAL SERVICES DEPARTMENT BUDGET STAFF YVETTE McLELLAN MELINDA MEOLA Budget Manager Sr. Administrative Officer I City of Pensacola, Florida Fiscal Year 2010 Approved Budget Guide for Readers The Fiscal Year 2010 Annual Operating budget for the City of Pensacola, Florida is intended to serve four purposes: The Budget As A Policy Guide As a policy document, the budget indicates what services the City will provide during the twelve-month period beginning October 1, 2009 and why. The Budget Message summarizes the challenges facing Pensacola and how the budget addresses them. The Budget Summary and Revenue Assumptions provide more detail information such as revenue sources and trends and expenditure categories. Within the Appendix, descriptions of all operating funds are provided. The Department budget sections provide major goals and objectives for each department in the City. The Budget As a Financial Plan As a financial plan, the budget outlines how much City services will cost and how they will be funded. The Budget Summary Section provides an overview of the budget, including major revenue and expenditure categories. Within the appendix, there is a discussion of the City’s accounting structure and budgetary policies. The budget document includes appropriations from operating funds for capital improvement purposes. The Capital Improvement Plan is summarized in the beginning half of the budget document. Any operating and maintenance cost impact of completed capital projects is reflected within the Capital Improvement Plan. Information about the City’s bonded debt is summarized within the Appendix section. The Budget As An Operations Guide As an operations guide, the budget indicates how services will be delivered to the community. The Departmental budget sections outline the number of authorized fulltime positions and department appropriations approved by the City Council for the provision of services by each department. An organizational chart is provided to show how the City is structured for efficient and effective work. Also included in the Departmental budget sections are a listing of major revenues which are the responsibility of each respective department. The Budget As A Communications Device The budget is designed to be user friendly with summary information in text, tables and graphs. A glossary of budget terms is included after the Appendix section for your reference. In addition to this reader’s guide, the following table of contents provides a listing of the various topics in the budget document. Finally the budget includes the Budget Message Section which provides the reader with a condensed analysis of the fiscal plans of the City for the upcoming fiscal year. Copies of this document are available for review at all Pensacola/Escambia County libraries. In addition, this document can be accessed through the internet at http://www.cityofpensacola.com. City of Pensacola, Florida Fiscal Year 2010 Approved Budget City of Pensacola Strategic Goals Financially Sound, Sustainable City Government City Government: Trusted and Respected Well-Planned Downtown and Waterfront for the Community's Benefit Responsive, Customer-Oriented City Services Strong, Livable Neighborhoods Pensacola: A Growing City Adopted by Pensacola City Council • October 2003 City of Pensacola, Florida Fiscal Year 2010 Approved Budget The Government Finance Officers Association of the United States and Canada (GFOA) presented a Distinguished Budget Presentation Award to the City of Pensacola, Florida for its annual budget for the fiscal year beginning October 1, 2008. 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. 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 Pensacola, Florida Fiscal Year 2010 Approved Budget TABLE OF CONTENTS PAGE I. BUDGET MESSAGE i – xxi II. BUDGET SUMMARY 1 – 11 III. REVENUE ASSUMPTIONS 12 – 33 IV. FUND BUDGET 34 – 85 V. CAPITAL IMPROVEMENT PLAN 86 – 102 VI. NON-DEPARTMENTAL AGENCY FUNDING 103 – 109 VII. APPROPRIATIONS BY ACTIVITY Airport 110 – 124 City Clerk 125 – 131 City Council 132 – 135 City Manager 136 – 142 Civil Service 143 – 148 Community Development 149 – 168 Energy Services 169 – 182 Engineering 183 – 191 Financial Services 192 – 211 Fire 212 – 226 Housing 227 – 240 Human Resources 241 – 247 Legal 248 – 252 Management Information Services 253 – 263 Parks and Recreation 264 – 303 Police 304 – 325 Port of Pensacola 326 – 334 Public Works 335 – 356 Sanitation Services and Fleet Management 357 – 386 West Florida Public Library 387 – 398 City of Pensacola, Florida Fiscal Year 2010 Approved Budget PAGE VIII. APPENDIX A. Budget Process 399 – 405 B. Basic Information on Property Tax 406 – 409 C. Natural Gas Service Fees and Rate Schedule 410 – 416 D. Solid Waste and Refuse Collection Service Fees 417 – 418 E. Parks & Recreation Fee Schedules 419 – 425 F. Governmental Structure 426 – 430 G. Debt Structure (Outstanding Issues) 431 – 454 H. Investment Policy 455 – 459 I. Financial Planning & Administration Policy 460 – 461 J. Fund Structure (Basis of Accounting) 462 – 464 K. Description of Funds 465 – 467 L. Position Comparison (Last 10 Years) 468 – 469 M. Pay Scale Summary 470 N. Pay Classification Schedule 471 – 479 O. General Information Concerning The City 480 – 487 P. Statistical Section 488 – 506 Q. Classification of Expenditures/Expenses By Account Code 507 – 517 IX. GLOSSARY 518 – 530 Office of the America's First Settlement City Manager Established 1559 Honorable Michael C. Wiggins, Mayor Members of the Pensacola City Council Citizens of Pensacola In accordance with Section 166.241(3) of the Florida Statutes, the fiscal year 2010 (FY 2010) proposed budget is herewith presented for City Council’s consideration. The budget, used for planning, coordinating and scheduling the City’s programs, includes the General Fund, Special Revenue Funds, Debt Service Funds, Capital Projects Funds, Enterprise Funds and Internal Service Funds. The focus of the FY 2010 budget is to continue to offer the core level of services the City has traditionally provided, while keeping in mind the ability of our taxpayers to pay for those services. This has been a most challenging budget complicated by the rapid decline in state and national economic conditions. The budget was compiled against a backdrop of economic turmoil on a national, state and local level not seen since the Great Depression. At the federal level, $819