City of Tempe Annual Budget July 1, 2008 through June 30, 2009 July 1, 2008 through June 30, 2009 Annual Budget FY 2008/09 Charles W. Meyer City Manager Jerry Hart Financial Services Manager Cecilia Velasco-Robles Tom Mikesell Deputy Financial Services Manager Lead Budget & Finance Analyst Mark Day Adam Williams Senior Budget & Finance Analyst Senior Budget & Finance Analyst Anita Erspamer Executive Assistant About the cover: Illustration by Mike Gushock. The Metro Light Rail going over the lighted Tempe Town Lake. ii Tempe Mayor & City Council Hugh Hallman Mayor Hut Hutson P. Ben Arredondo Vice Mayor Council Member Barbara Carter Shana Ellis Council Member Council Member Mark Mitchell Onnie Shekerjian Council Member Council Member iii iv Table of Contents Introduction Budget Award ..........................................................................................................................vii City of Tempe Mission Statement ............................................................................................ix Organizational Chart................................................................................................................xi Budget Message......................................................................................................................1 Budget Summaries Budget Summaries Contents................................................................................................... 9 Budget Policies ........................................................................................................................10 Fund Summary ........................................................................................................................14 Total Financial Program ...........................................................................................................15 Financial Program Summary ...................................................................................................16 Financial Program Summary for Revenues and Expenditures/Expenses ...............................17 Budget Process Flowchart.......................................................................................................18 Budget Process Summary .......................................................................................................19 Components of Total Financial Program .................................................................................21 General Governmental and Enterprise Funds: Ten Year Fund Balance Trends .....................22 Strategic Issues Management/Budgeting ................................................................................25 Council Committees and Strategic Issues ...............................................................................26 Capital Budget Capital Budget Overview .................................................................................................27 Relationship Between Operating and Capital Budgets ....................................................31 Capital Improvements Project Map .................................................................................38 Capital Budget Strategic Focus .......................................................................................39 Capital Improvements Program Summary ......................................................................40 Capital Improvements Program Source of Funds ...........................................................41 Capital Improvements Program Changes in Fund Balances ...........................................42 Capital Improvements Program Project Listings and Descriptions ..................................43 Capital Budget and Debt Policy Statements ....................................................................85 Legal Bond Debt Limits ...................................................................................................86 Long Term Debt Summary ...............................................................................................87 Capital Budget, Debt Service, and Property Tax Rate: Ten Year Historical Trends .........88 Property Taxes .................................................................................................................89 Citywide Overview ...................................................................................................................90 Program Budget Program Budget at a Glance ...........................................................................................91 Per Capita Expenditures by Program ..............................................................................92 Program by Fund Summary ............................................................................................93 Program by Department Summary ..................................................................................94 Impact of Total Budget on Residents .......................................................................................95 Personnel Summary: Ten Year History ...................................................................................96 Comprehensive Financial Plan Comprehensive Financial Plan Contents ................................................................................97 Comprehensive Financial Plan Overview ................................................................................98 Forecast Methodology .............................................................................................................100 Forecast and Major Revenue Assumptions .............................................................................101 Financial Overview ..................................................................................................................103 Major Expenditure Assumptions and Economic Outlook .........................................................104 General Fund...........................................................................................................................106 Transit Fund ............................................................................................................................108 Performing Arts Fund...............................................................................................................110 Transportation Funds ..............................................................................................................112 Enterprise Funds .....................................................................................................................114 v Rio Salado and Community Facilities District Funds ...............................................................120 Financial Action Plan ...............................................................................................................122 Revenue Information Revenue Information Contents ................................................................................................125 Total Revenue..........................................................................................................................126 Total Revenue by Source ........................................................................................................127 Components of Total Revenue ................................................................................................128 Comparative Operating Revenue by Major Source and Fund ................................................129 General Governmental Revenue: Ten Year Historical Trends ................................................132 Special Revenue: Ten Year Historical Trends .........................................................................142 Enterprise Revenue: Ten Year Historical Trends ....................................................................147 Performance Budget Performance Budget Contents ................................................................................................151 Performance Budget Summary ...............................................................................................152 Per Capita Performance Budget..............................................................................................153 Performance Benchmarking ....................................................................................................154 Organizational Chart................................................................................................................155 Departments Mayor and Council ...........................................................................................................156 City Manager ...................................................................................................................158 Internal Audit ....................................................................................................................159 Diversity Program ............................................................................................................160 Community Relations ......................................................................................................162 City Clerk .........................................................................................................................167 City Court .........................................................................................................................168 Human Resources ...........................................................................................................170