HomeMy WebLinkAboutFY06 Adopted Budget
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
TOWN OF FOUNTAIN HILLS, ARIZONA
MISSION STATEMENT
The Town of Fountain Hills’ purpose
is to serve the best interests of the community by:
providing for its safety and well-being;
respecting its special, small-town character and quality of life;
providing superior public services;
sustaining the public trust through open and responsive government;
and maintaining the stewardship and preservation of its
financial and natural resources.
Town of Fountain Hills
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Town of Fountain Hills
Fiscal Year 2005-2006 Budget
Town Manager
Citizens of the
Town of Fountain Hills
Mayor
and
Town Council
Parks and
Recreation
Commission
McDowell
Mountain
Preservation
Commission
Board of
Adjustment
Planning and
Zoning
Commission
Town AttorneyTown Prosecutor Town Magistrate
Law
Enforcement
Finance and
Administration
Parks &
Recreation and
Community Center
Public Works,
Planning,
Building Safety,
Streets
Community
Center Advisory
Commission
Fire Department
Fountain Hills Town Council
Mayor Wally Nichols
Vice Mayor Jay Schlum
Councilmember Mike Archambault
Councilmember John Kavanagh
Councilmember Edwin Kehe
Councilmember Keith McMahan
In Memory of Vice Mayor Kathleen Nicola
Management Staff
Timothy G. Pickering, CEcD, ICMA-CM, Town Manager
Department Directors
Julie Ghetti, MPA, CPA, CGFM, Finance Director
Ted Armbruster, Town Magistrate
Mark Mayer, Director of Parks, Recreation, and Community Center
John Kleinheinz, Sheriff Captain
Thomas Ward, Director of Public Works, Building Safety and Planning
Mark Zimmerman, Fire Chief
Town of Fountain Hills
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
FOUNTAIN HILLS TOWN COUNCIL
2005-2006
Wallace J. Nichols was elected Mayor of Fountain Hills in May
2003. Mr. Nichols has served in highly regarded positions
throughout his career; such as Executive Director for
WorldatWork (formerly ACA), Managing Director for Nichols
& Wharton, Inc., Senior Vice-President Human Resources at
Premark International, Inc., Vice-President of Compensation &
Benefits for Dart & Kraft International, Inc. and Director of
Compensation & Benefits for CPC International, Inc. He was
educated at Tufts University, earning a Bachelor’s degree in
Economics, and is an alumnus of the Harvard Business School.
He has served the community as an elected officer/Chairman of
the Fountain Hills Sanitary District, Los Arcos Multipurpose
Facilities District Board of Directors, Scottsdale Boys & Girls
Club Board of Directors, Fountain Hills Boys & Girls Club
Advisory Chairman, Chairman of the Fountain Hills Community
Center Advisory Commission, and on the Citizens
Committee/Community Benefits Committee Board. Other local
affiliations include the Noon Kiwanis, Fountain Hills Chamber
of Commerce, Friend of the Fountain Hills Community Theater,
Senior Center, Civic Association, Library Association,
Republican Club, Fountain Hills Historical Society, McDowell
Park Association, and the Four Peaks Community Church.
Vice Mayor (past)
Kathleen Connelly Nicola
Mayor
Wally Nichols
A long-time Arizona resident, Vice Mayor Kathleen Connelly
Nicola moved to Lake Havasu City in June 1967 and her family
settled in Fountain Hills in 1989. Kathleen passed away
suddenly on May 19, 2005.
Kathleen earned a Bachelor of Science degree in Justice Studies
from the College of Public Programs at Arizona State
University. Kathleen graduated from the Arizona School of Real
Estate & Business, and made a career change in the summer of
2000 to become a licensed real estate salesperson. Her license
currently hangs with John Hall & Associates in Scottsdale.
Kathleen was a member of the Fountain Hills Chamber of
Commerce and the Scottsdale Association of Realtors.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
Councilman Mike Archambault moved to Fountain Hills from
Columbus, Ohio in 1972. He built one of the first homes in
Fountain Hills and was among the first 10 families to live here.
In 1981, he started Fountain Hills Wood Whims, Inc., a custom
cabinet shop that currently employs fifteen craftsmen. Mike and
his crew have been providing custom cabinets for Valley
builders for more than 20 years.
Mike has been involved in community services since he moved
here in 1972. He ran annual “Secret Santa” programs, bringing
toys to children and helping with food donations for needy
families, served as a Cub Scout and Boy Scout leader, and a
Leader for Order of the Arrow, graduating fourteen Eagle
Scouts. Mike also helped with the drive to bring the first health
clinic to Fountain Hills in 1977. He served on the Church of the
Ascension Committee, and with the help of volunteers, Mike
built the Church’s rectory. He also helped construct the original
town library (now the Fountain Hills Theatre) with the
Contractors Association, and assisted in building the Sunset
Kiwanis clubhouse. He also served the community as President
of the Fountain Hills Youth Association, and as a member of the
Sunset Kiwanis.
John Kavanagh is a ten-year resident of Fountain Hills who is a
professor of criminal justice at Scottsdale Community College
and Director of the college’s Administration of Justice Studies
Program. Prior to teaching at Scottsdale Community College,
John taught at Arizona State University and spent 20 years as a
police officer with the Port Authority of New York and New
Jersey Police.
John Kavanagh has a B.A. in Sociology from NYU, an M.A. in
Public Administration from St. John’s University (Queens, New
York), and a Ph.D. in Criminal Justice from Rutgers University.
He also belongs to professional associations, such as the
American Society of Criminology and the Arizona Criminal
Justice Educators Association.
John Kavanagh is serving or has served with the following town
groups: Parks and Recreation Commission, Community Center
Advisory Committee, Vision 2000 Planning Committee, School
Board Calendar Committee, Youth Basketball League, Veterans
Memorial Sitting Committee, the Knights of Columbus, Civic
Association, and the American Legion.
Councilmember
John Kavanagh
Councilmember
Mike Archambault
Town of Fountain Hills
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
Ed Kehe was awarded the degrees of Bachelor of Arts with
honors by Albion College (MI) and Master of Science by the
University of Illinois. In addition he earned sixty post-degree
graduate credits and certificates in administration and
directorships.
His career spanned thirty-three years in public secondary
education, teaching mathematics, physical education, and
coaching interscholastic sports. Ed retired in 1984 from White
Plains (NY) High School after fourteen years as Director of
Athletics. He served leadership roles at the local level, statewide,
and nationally in both his professional and private life.
Ed and wife Dolores moved to Fountain Hills in 1995. He
volunteers with Home Delivered Meals; was a hospitality usher
at Church of the Ascension; worked for the passage of the
original mountain bond issue; serves on the boards of the
McDowell Park Association and the Golden Eagle Foundation;
is a member of Noon Hour Kiwanis, Senior Activity Center,
Civic Association, Republican Club, River of Time Museum; as
well as a friend of the Community Theater and Chamber of
Commerce.
Keith McMahan moved to Arizona in 1971 as an advertising
writer with Lorne Pratt Enterprises, Inc., the ad agency for
McCulloch Properties until 1991 when he formed his own
company, McMahan and Company Advertising Agency.
Keith has been actively involved in community projects and
organizations since he came to Fountain Hills. He was the
advertising and tourism chairman for the Chamber of
Commerce for nine years as well as serving on their Board of
Directors for three years. In 1997, he was honored as the
"Business Person of the Year" by the Chamber of Commerce.
He served as an elected member of the Fountain Hills School
Board from 1986 to 1990. For nine years, he was on the Road
District Joint Powers Board; chairman in 1978. He is
presently a contributing member of several organizations: the
Fountain Hills Civic Association, the Fountain Hills
Republican Club, and the Fountain Hills Historical Society
Board of Directors.
Councilmember
Keith McMahan
Councilmember
Ed Kehe
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
Jay Schlum moved to Fountain Hills 27 years ago and he
attended Coronado High School in Scottsdale. After
graduation he attended Northern Arizona University where he
studied Business Management and Public Speaking. After
college, he returned to Fountain Hills and is currently
employed by Qwest Communications where he manages
business development for the company.
Jay has been active in the Fountain Hills community - he
served as a Fountain Hills Planning and Zoning
Commissioner, PTA vice president and is actively involved
with the local Community Theater. Jay volunteers and
performs in productions. He has also served on the advisory
committee for the Boys and Girls Club of Fountain Hills.
Presently Jay is the president of the Shepherd of the Hills
Lutheran Church and a coach with the Fountain Hills Little
League.
Vice Mayor
Jay Schlum
Town of Fountain Hills
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
DEMOGRAPHICS
The Town of Fountain Hills is a planned, family-oriented community established in 1970 by
McCulloch Properties (now MCO Properties, Inc.). Prior to 1970 the area was a cattle ranch
and was part of one of the largest land and cattle holdings in Arizona. It was purchased by
Robert McCulloch in the late 1960s and designed by Charles Wood, Jr. (designer of
Disneyland in southern California). The centerpiece of Fountain Hills is one of the world's
tallest man-made fountains, a focal point that attracts thousands of visitors each year.
Located on 11,340 acres of land, and bordering northeast Scottsdale, Fountain Hills is
surrounded by the 3,500-foot McDowell Mountains on the west, the Fort McDowell Indian
Reservation on the east, the Salt River Indian Reservation on the south and by the McDowell
Mountain Regional Park on the north. Elevation is 1,520 feet at the fountain, 3,000 feet on
Golden Eagle Boulevard, and is 500 feet above Phoenix.
Over the past thirteen years Fountain Hills has grown from 10,190 residents to a town of over
22,000 in 2004. The Maricopa Association of Governments (MAG) estimates that the
population of Fountain Hills will continue to grow to near 25,000 by 2010. Although the rate
of growth has slowed due to the national economy the Town continues to attract residents who
are building large custom homes to take advantage of the scenic vistas surrounding our
mountain community.
The Town offers a range of living styles, from small community subdivisions to a number of
large custom homes. Fountain Hills also offers recreational, cultural and retirement
programs that address the needs and lifestyles of active families and adults. The community
consists of primarily residential property with a total of 11,700 acres. Of the total available
land 8,706 acres are developable, 460 acres are zoned commercial or industrial
(approximately 5%) and 3,600 acres are reserved as open space (30%).
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
Government and Organization
The Town of Fountain Hills is an Arizona Municipal Corporation, acting as a general law
Town as prescribed in the Arizona Revised statutes. The Town was incorporated on
December 5, 1989 with the governmental and administrative affairs of the Town operating
under the Council-Manager form of government. The Town Council is responsible, among
other things, for the adoption of local ordinances, budget adoption, the development of
citizen advisory committees and hiring the Town Manager. The Town Manager is
responsible for implementation of the policies of the Town Council and administering the
Town’s operations through five department directors and approximately 81.5 employees.
The Magistrate, Town Attorney and Town Prosecutor are under the direction of the Town
Council.
Fountain Hills Community Center
Town of Fountain Hills
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
Assessed Valuation of Major Taxpayers
Population Land Use (2002)(%)
1990 U.S. Census 10,190 Residential 27%
1995 Interim Census 14,146 Undeveloped/Agricultural 37%
2000 U.S. Census 20,235 Public/Open Space 34%
2005 MAG Estimate
1 23,700 Industrial/Commercial 2%
Maricopa Association of Governments
DEMOGRAPHICS
As % of Town's
2004/05 Total Secondary
Assessed Assessed
Taxpayer Type of Property Valuation Valuation
Qwest Corp Telecommunications 3,365,809 0.96%
Chapparal City Water Company Water Utility 3,066,000 0.88%
Fountain Hills Village LLC Nursing Home 1,822,567 0.52%
Kimco Barclay Fountain Hills Shopping Center 1,724,863 0.49%
MCO Properties Industrial 1,655,056 0.47%
Cox Communications Communications 1,507,740 0.43%
Target Corporation Shopping Center 1,441,438 0.41%
EN LLC Residential 1,347,042 0.39%
Fountain Vista Properties LLC Commercial 986,365 0.28%
Adero Canyon LLC Residential 834,777 0.24%
$ 17,751,657 5.08%
Source: Treasurer of Maricopa County
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
MAJOR EMPLOYERS
Town of Fountain Hills, Arizona
Approximate
Employer Product/Service Employment
Fountain Hills Unified School District No. 98 Education 250
Monks Construction Construction 150
Safeway Food Stores Grocery Store 95
MCO Properties, Inc. Property Management 85
Town of Fountain Hills Government 75
Basha’s Grocery Store 70
Sun Ridge Canyon Golf Course Golf Course 70
Fountain Hills Concrete Mfg. Ready-Mixed Concrete 50
Golf International Golf Course 50
Eagle Mountain Golf Course Golf Course 40
Source: The 2004 Arizona Industrial Directory; Greater Phoenix Chamber of
Commerce; Community Profiles Arizona Department of Commerce; and an individual
employer survey.
Employers
Residents of the Town can find employment in neighboring Scottsdale, the Fort McDowell
Indian Community, or the municipalities that make up the greater Phoenix metropolitan area.
POPULATION STATISTICS
Town of Maricopa State of
Years Fountain Hills County Arizona
2005 Estimate* 23,700* 3,524,175 5,832,150
2000 Census 20,235 3,072,149 5,130,632
1995 Special Census 14,146 2,551,765 4,228,900
1990 Census 10,190 2,122,101 3,665,339
_____________________
* Estimated population as of July 1, 2005
Source: U.S. Census Bureau.
Town of Fountain Hills
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
UNEMPLOYMENT AVERAGES
Town of Maricopa State of United
Years Fountain Hills County Arizona States
2004 2.2% 4.0% 4.8% 5.5%
2003 2.7 4.9 5.6 5.6
2002 3.1 5.6 6.2 6.0
2001 2.2 3.9 4.7 4.8
2000 1.4 2.6 3.9 4.0
Source: Arizona Department of Economic Security, Research Administration.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
Table of Contents
Budget Overview ▬▬▬▬▬▬
Budget Transmittal Message 1
Council Goals 2
Fiscal Year 2004-2005 Financial Accomplishments 4
Budget Process 9
Financial Policies 15
Budget Schedule 27
Budget Summary ▬▬▬▬▬▬
All Funds Revenue and Expenditure Summary 29
General Fund Revenues 45
General Fund Expenditure Summary 54
Department Budgets ▬▬▬▬▬▬
Town Council 55
Administration 59
Operational & Community Support 67
Information Technology 71
Public Works 77
Building Safety 87
Streets 93
Planning 101
Parks and Recreation 107
Parks 115
Community Center 127
Public Safety
Law Enforcement 133
Fire Department 137
Municipal Court 141
Schedules/Summaries ▬▬▬▬▬▬
Special Revenue Funds 147
Debt Retirement 151
Development Fees 157
Capital Projects 163
Summary of Tax Levy and Tax Rate Information 165
Schedule of Fountain Hills Assessed Valuation 166
Schedule of Authorized Positions 167
Succession Plan 171
Glossary 177
Appendix ▬▬▬▬▬▬
Personnel Requests A
Community Requests B
20 Year Financial Overview C
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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FISCAL YEAR 2005-06 BUDGET TRANSMITTAL MESSAGE
To the Honorable Mayor and Town Council:
I am pleased to submit the FY05-06 Operating Budget and Twenty-Year Financial Overview and
proposed Capital Improvement Program for the Town of Fountain Hills. This budget is balanced
and designed to convey to the public a budget message that articulates priorities and issues for the
upcoming fiscal year.
The budget also
highlights any issues
facing the staff in
developing the budget,
and short-term
financial and
operational policies
that were instrumental
in guiding the
development of the
annual budget. The
total budget, including
all funds, is estimated
at $26.7 million
($2.4M or 8.1% less than FY04-05), with projected revenues of $25.2 million (excluding
transfers). Expenditures will exceed revenues this fiscal year due to proposed capital projects.
The primary reason for the decrease from the prior year is construction of a new Town Hall in
FY04-05. Of the total budget, $15.8 million will be used to finance the operations of the Town,
that is, the General Fund.
The budget could not be prepared without considering the condition of the regional, state and
national economies, as well as legislative decisions that affect local governments. What happens
at these levels affects both the revenue that Fountain Hills receives and the services we provide.
Construction (both residential and commercial) and retail activity, contribute approximately
$3.2M (20.5%) of the Town’s operating funds in the General Fund. As construction activity
declines, and roughly one-fifth the associated revenues cease to be generated, the Town will be
forced to find alternate sources of revenue to sustain existing community services and programs.
In addition to concerns from the revenue side of the budget picture, there are also concerns over
the increased cost of doing business. The Town is a service organization with over 18% of its
operating costs in personnel. This, the price of insurance, health care, and additional personnel in
priority areas has a significant effect on the cost of Town services. Balancing the desire to
provide top quality services and higher operating costs will be the Town’s challenge for years to
come.
State shared revenue estimates indicate that the economy is showing signs of a recovery.
Therefore, the FY05-06 budget is based on more optimistic economic forecasts than the Town
has seen since FY01-02; however, the optimism is guarded. The Town is past a historic period of
expansion; its economy is maturing and moving to a slower – and more sustainable – level of
EXPENDITURES BY FUND
Capital Projects
5%
Development
Fees
5%
Excise Tax
7%
Special Revenue
Fund
7%
HURF Fund
9%
Debt Service
9%
General Fund
59%
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 2 -
growth. The projected improvements in the Town’s revenues and savings carried over from the
current fiscal year will allow Fountain Hills to meet its most pressing needs for the 05/06 fiscal
year, mainly maintenance projects that were delayed due to the Budget Reduction Plan that was
implemented in FY02-03. However, with the amount of overdue capital improvement projects,
mainly roads as highlighted in the Capital Improvement Plan, longer-term forecasts show the
Town’s needs will outpace revenues in the next few years. Given the unsettled nature of the
economy, it is
difficult to project
revenues two or
more years into
the future with
any degree of
certainty. The
forecasts serve as
an early warning
that the Town
must continue to
exercise restraint
in its long-range
fiscal planning.
Town Council’s FY 2005-2006 Prioritized Goals
The Town is proposing a conservative balanced budget that includes appropriations for the goals
and priorities established by the Town Council. Annually, the Fountain Hills Town Council
attends a retreat with staff to identify key issues facing the Town to determine goals and
objectives for the following year. The Town Manager and staff then meet to prepare an
implementation plan to be incorporated into the FY05-06 budget.
Develop the workplan
Prioritize goals and objectives
Identify the priorities
Council
Retreat
REVENUE SOURCES
Property Tax
5%
Fines, Licenses,
Permits
9%
Revenue Sharing
18%
Street Fund
(HURF)
8%
Local Sales Tax
34%
Special Revenue
6%
Debt Service
2%
Capital Projects
18%
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 3 -
Following are the six (6) prioritized goals for FY 2005-2006 that were established by the
Fountain Hills Town Council at its Goal-Setting Retreat held on January 21, 2005.
Objectives:
Annex State Trust Land before the issuance of building permits
Ensure development pays its own way
Develop State Trust Land consistent with existing densities and uses
Gain citizen acceptance of state land annexation
Have a united Council
Objectives:
Provide accurate and timely information that keeps the public well informed on
important government issues, services, and programs
Provide an appropriate structure and recommendations for the establishment of a
grant-writing program
Objectives:
To develop a strategic plan that is:
Inclusive (Citizen Driven)
Simple to understand and to the point
Financially responsible
Can be realistically implemented
Objectives:
Establish the need for new park lands
Determine public and user group long term needs
Provide recommendations to Council, including funding sources
Educate citizenry regarding national park standards
Goal: In an active and timely manner, participate in the planning and annexation of the
State Trust Land
Goal: Develop a public information program and grant writing program
Goal: Facilitate and complete the Town’s citizen driven Strategic Planning Process
Goal: Explore opportunities for meeting the community’s expanding need for additional
parks and amenities
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 4 -
Objectives:
Provide an outlet for the exchange of information and the discussion and resolution
of commonly held issues and other matters of importance to the Town of Fountain
Hills and its neighboring jurisdictions
Objectives:
Documentation of the Town’s economic development plans and activities
Continue to interface with and participate in local and regional economic
development agencies and their activities aimed at promoting economic growth and
development
Upon adoption of the Town Council goals specific work-plans are developed in each of the
operating divisions to ensure that Fountain Hills residents can monitor the improvement in Town
services and the achievement of the Council’s goals. The matrix below indicates which
departments/divisions are responsible for the implementation of FY2005-06 goals and objectives
and shows the relationship between the activities performed by the operating divisions and the
effect on operating budgets reported in the division budget summaries.
Goal Planning Manager Parks/Recreation Estimated FY05-
06 Costs
Annex State Trust Land √ $80,000
PIO/Grant Program √ $97,100
Strategic Plan Process √ $87,000
Parks/Amenities √ (existing staff)
Intergovernmental
Relations Program
√ $0
Business
Relations/Retention
√ $0
Fiscal Year 2004-2005 Goals, Accomplishments & Activities
The FY04-05 goal activities are as follows:
Worked with the water company to assure water supply for future development; prepared
water analysis for impact of annexation of state trust land
Developed a succession plan to identify key and at risk positions for future staffing
needs; the plan was finalized and includes plans for existing staff with an interest and
qualifications to move into key positions
Goal: Develop and carry-out an intergovernmental relations and cooperation program
with neighboring communities
Goal: Continue enhancing business relations and retention
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 5 -
Developed a strategic plan process that included citizen input as to the vision for the
future of Fountain Hills. The final strategic plan will be presented to the Town Council
in December 2005
Worked with neighboring fire departments on mutual aid agreements
Budget Highlights
As in years past, the main focus of the proposed budget is the General Fund, the Town’s largest
fund, which supports basic services. Developing the proposed budget required making choices to
achieve a budget that balances the available resources with the Council goals, while maintaining a
level of service that enhances the quality of life in Fountain Hills. In developing the proposed
budget, Town staff followed a zero-based approach, leading to a focused review of services
delivered by the Town, increased scrutiny of expenditures, and prioritization of programs to be
funded using limited resources. Additionally, the Town will focus on funding one-time capital
projects with one-time revenue sources, such as construction funds and excess revenues in the
General Fund. Operating costs should be funded with stable and reliable revenue sources.
Under the proposed budget, overall General Fund revenues grew by 10% over the FY04-05
budget, primarily due to an increase in State Shared Revenues (10%) and revenues from
construction related activity (30%). Expenditures are projected to increase 6% over last years’
budget, primarily in repairs and maintenance as the Town strives to catch up on projects that were
delayed due to the Budget Reduction Plan in FY02-03.
Key initiatives of the proposed FY05-06 budget include the following - a more detailed analysis
of all the Town’s revenues and expenditures is included in the budget summary and department
sections.
Greater Capital Investment - A significant component of the proposed budget is the Capital
Improvement Plan Budget, which includes funding for public buildings, parks, streets and
other major infrastructure projects. The FY05-06 budget includes funding for:
• Complete construction of Civic Center Phase II project (Town Hall)
• Eagles Nest trailhead restroom construction, Adero Canyon trailhead design
• Construction of a splash park at Fountain Park
• Construction of a skate park at Desert Vista Neighborhood Park
• New ramadas for Fountain Park
• Replacement of street sweeper to satisfy County dust control recommendation
• Desert Vista Neighborhood Park improvements (perimeter sidewalks, enhanced parking,
upgrade off lease facility)
• Four Peaks Neighborhood Park improvements including backstops, dugouts for ballfields
Initiated process to annex 1,300 acres of state trust
land that borders Fountain Hills. Having the land
within the Town boundaries will ensure that future
development will be consistent with the Town’s
general plan and add approximately 10% more land
within Fountain Hills borders
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 6 -
• Entrance monument sign near Palisades Blvd. and Eagle Mountain Parkway
• Public access modifications for citizens with disabilities
• Traffic signal at Saguaro and El Lago Boulevards
• Approximately $2.1M in major road improvements
• Design of climbing lane west on Shea Boulevard to Palisades
• Design sidewalk near Fountain Hills Middle School
• Paving project on Colony Drive to Desert Vista alley
• Improved signage for key business areas
• Additional median maintenance
Facilitate and complete the Town’s citizen driven Strategic Planning Process - The
FY2005-06 budget includes the appropriation of funds to support the services of a
professional facilitator to complete the Town’s first strategic plan since incorporation in
1989. The strategic planning process was started in FY2004-05 and will identify key issues
facing the long-term future of the Town and impact on future budgets. The process includes
two Town Halls, a planning retreat, focus groups, and a professional survey with the final
report expected to be delivered to the public in November 2005 and Town Council approval
in December, 2005. Funds in the amount of $87,000 can be found in the Administration
Department budget.
Developing a public information program to support the Council goal and improving the
maintenance and customer service at two parks will also be accomplished.
Maintenance of the Reserve Fund - The proposed budget continues the practice of setting
aside a reserve equal to
30% of the General Fund
budget to ensure that the
Town can provide basic
services in the event of
major emergencies. This
reserve is also very
important in retaining the
Town’s AA3 bond
ratings. Reserves in
excess of the fund balance
policy are transferred to
the Capital Projects fund
for future appropriation
by the Council.
Fund Balance & Reserves
General Fund
$2,500,000
$3,500,000
$4,500,000
$5,500,000
$6,500,000
$7,500,000
$8,500,000
97-98 98-99 99-00 00-01 01-02 02-03 03-04 04-05 05-06
Fiscal Years
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 7 -
Recommendation for One-Time Revenues
The proposed FY05-06 budget for all funds includes capital expenditures in the amount of $4.1M
funded by development fees, general fund transfer, and excise taxes (see page 39). Non-recurring
revenues (construction sales tax, building permit and subdivision fees and development fees), are
contributing $3.2 million to the FY05-06 budget, which allow the Town to budget for one-time
capital expenditures. However, these revenues should not be depended upon for operating
expenditures. These non-renewable funds are opportunities to purchase land or buildings,
improve Town owned properties, provide matching funds for grants, equipment purchases,
economic development activities and other capital projects as determined by the Town Council.
While the Town continues to receive sales tax and permit revenue from construction activity, any
residual balance in the General Fund should be transferred to the Capital Projects fund. The
accumulated resources would provide funding for capital projects that the Town Council would
approve during the next budget cycle. The FY05-06 budget includes a transfer of the excess
revenues over expenditures from FY04-05 to the Capital Projects Fund and leaves a fund balance
for future capital projects as construction related revenue declines.
A Debt of Gratitude
I would like to offer my special thanks to the Fountain Hills Mayor, Town Council members, and
the numerous commission members for their many hours of volunteer service without which the
Town could not function in the fine manner that it has over the years. This volunteer core of
more than 200 citizens offers Town staff a vast bank of knowledge about subjects that contribute
not only to planning for the present, but also for the future of Fountain Hills.
I would also like to thank the Town of Fountain Hills department directors for their patience and
great effort in preparing their departmental budgets. The directors and their staff endured several
sessions with me in justifying their programs, developing cost estimates, and answering my many
questions. My appreciation also goes to Julie Ghetti, for her professional and financial talents in
preparing this year’s budget; also to Joan McIntosh and Nancy Knihnisky for their tireless
assistance with this project. The staff’s efforts have resulted in a balanced budget, which
achieves the Council’s current goals, and assists in future planning towards the vision of Fountain
Hills.
Respectfully submitted,
Timothy G. Pickering, CEcD, ICMA-CM
Town Manager
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 8 -
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Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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BUDGET PROCESS
Mission of the Budget Process
Communication and involvement with citizens and other stakeholders is stressed. The broad
nature of the budget mission allows issues to be addressed that have limited the success of
budgeting in the past. Apathy is a serious illness of government; it is in the best interests of
government to have involved stakeholders.
The term stakeholder refers to anyone affected by or who has a stake in government. This term
stakeholder includes, but is not limited to: citizens, customers, elected officials, management,
employees and their representatives, businesses, vendors, other governments, and the media. It is
vital that the budget processes include diverse stakeholders.
Each year, using a modified zero-based budgeting process, the Town of Fountain Hills budget is
developed from the Town Council’s priorities by the Finance Department with the individual
departments and the Town Manager. Meetings with each department, the Town Manager and the
Finance Department are held during the month of March. After these meetings are completed, a
proposed balanced budget is prepared for submittal to the full Town Council and public in May.
Control of each legally adopted annual budget is at the department level; the Town Manager may
at any time transfer any unencumbered appropriation balance or portion thereof between general
classifications of expenditure (line items) within a department. The items are reduced by a like
amount. At the request of the Town Manager the Council may transfer any unencumbered
appropriation balance or portion thereof between one department to another.
Pursuant to Arizona Revised Statutes, “No expenditure shall be made for a purpose not included
in such budget..”. Thus a Contingency line item is included within the General Fund to
accommodate most unplanned expenditures. The other option in amending the budget, according
to state law, is for the Council to declare an emergency and then transfer the monies from one line
item or department to another. In essence, any approved Council transfers do amend the budget
although the budget is never reprinted. All transfers are reflected on the following year’s legal
schedules as required by the Auditor General’s Office.
Recommended Budget Practices
The Town of Fountain Hills budget process is designed to meet citizens’ needs for information
and input; decision makers’ needs for information and advice from citizens on their desired blend
of services; and the time line set by the State of Arizona through Arizona Budget Law.
The Town of Fountain Hills budget process incorporates the recommended practices promulgated
by the National Advisory Council on State and Local Budgeting (NACSLB). Concurrently,
Town staff applies diligent effort into improving the process, decisions and outcomes with each
new budget year. The NACSLB’s practices encourages governments to consider the longer
consequences of actions to ensure that impacts of budget decisions are understood over a multi-
year planning horizon and to assess whether program and service levels can be sustained.
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Budget Definition
All cities and towns in Arizona are required to adopt an annual budget. State law dictates that
fiscal years begin on July 1 and end on June 30. Certain parts of the budget document such as
summaries of revenues and expenditures showing two years of spending history are required by
State law.
A good budget process is characterized by several essential features:
• Incorporates a long-term perspective
• Establishes linkages to broad goals
• Focuses budget decisions on results and outcomes
• Involves and promotes effective communication with stakeholders
• Provides incentives to government management and employees
These key characteristics of good budgeting make clear that the budget process is not simply an
exercise in balancing revenues and expenditures one year at a time, but is strategic in nature,
encompassing a multi-year financial and operating plan that allocates resources on the basis of
identified goals. A good budget process moves beyond the traditional concept of line-item
expenditure control, providing incentives and flexibility to managers that can lead to improved
program efficiency and effectiveness.
Principles and Elements of the Budget Process
The budget process consists of four broad principles that stem from the definition and mission
previously described. These principles encompass many functions that spread across a
governmental organization. They reflect the fact that development of a balanced budget is a
political and managerial process that also has financial and technical dimensions. Each of the
principles of the budget process incorporates components or elements that represent achievable
results. These elements help translate the guiding principles into action components. Individual
budgetary practices are derived from these elements. The principles and elements provide a
structure to categorize budgetary practices.
1) Establish broad goals to guide government decision-making – a government should have
broad goals that provide overall direction for the government and serve as a basis for
decision-making.
a) Assess community needs, priorities, challenges and opportunities.
b) Identify opportunities and challenges for governmental services, capital assets,
and management
c) Develop and disseminate broad goals
2) Develop approaches to achieve goals – a government should have specific policies, plans,
programs, and management strategies to define how it will achieve its long-term goals.
a) Adopt financial policies
b) Develop programmatic, operating, and capital policies and plans
c) Develop programs and services that are consistent with policies and plans
d) Develop management strategies
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3) Develop a budget consistent with approaches to achieve goals – a financial plan and
budget that moves toward achievement of goals, within the constraints of available
resources, should be prepared and adopted.
a) Develop a process for preparing and adopting a budget
b) Develop and evaluate financial options
c) Make choices necessary to adopt a budget
4) Evaluate performance and make adjustments – program and financial performance should
be continually evaluated, and adjustments made, to encourage progress toward achieving
goals.
a) Monitor, measure, and evaluate performance
b) Make adjustments as needed
When does the “budget season” start?
The budget process typically begins in January when the Finance Department begins to review
current levels of service, Council goals and objectives as identified at the annual Council retreat,
proposed capital improvements, and financial forecasts.
In reality, the budget process for the Town is actually an ongoing process. Throughout the fiscal
year, citizens and staff submit suggestions for new services, regulations, funding sources, and
improved service delivery, as well as concerns to the Town Council and commissions for
discussion, study, and/or implementation. Advisory boards and commissions develop plans for
new or enhanced programs to be included in the following year’s budget proposal.
Implementing, Monitoring, and Amending the Budget
A budget is an annual planning tool - it identifies the Town’s work plan and matches the
financial, material, and human resources available with the requirements to complete the work
plan. It includes information about the organization and identifies the Council policy that
directed the budget preparation. Although a budget is often discussed as a financial document,
the financial portion means very little without the policy and administrative information that
explains what the organization intends to do with the financial resources.
In July, the Town staff begins the process of implementing the newly adopted budget and is
accountable for budgetary control throughout the fiscal year. Revenue and expenditure patterns
are examined, compared to budget plans, and corrective action, if necessary, is taken during the
fiscal year. Town management is provided with a monthly budget and activity report; the Town
Council is provided a summary budget report at the end of each quarter disclosing actual revenue,
expenditure, and fund balance performance as compared to the budget.
The Town of Fountain Hills budget is adopted at a department level and the Capital Improvement
Plan is adopted at a project level.
Budgetary and Accounting Basis
The budget is prepared on a modified accrual basis of accounting for all fund types. This means
that expenditures are recorded when the related fund liability is incurred, and revenues are
recognized only when they are measurable and available. In all cases, when goods and services
are not received by year-end, the encumbrances lapse. It also means certain transactions are
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recognized in the budget on a basis other than Generally Accepted Accounting Principles
(GAAP), which is the basis used to prepare the Town’s Comprehensive Annual Financial Report
(CAFR). The major differences between the budgetary and GAAP basis are:
• Certain revenues, expenditures and transfers are not included on the budget basis, but are
accrued and reported on the GAAP basis. For example, increases or decreases in
compensated absences are not reported for budget basis purposes, but are presented as
revenues or expenditures on the GAAP basis.
• Depreciation is not budgeted as an expenditure in budgetary accounting
• Capital outlay is an expenditure in budgetary accounting and an asset in GAAP
• Certain debt service principal and interest payments are accounted for as expenses in the
General Fund for budget basis purposes, but are reported as expenses in the Debt Service
Fund on the GAAP basis.
All actual amounts in the budget document are shown on the budgetary basis to facilitate
meaningful comparisons.
What funds are included in this budget?
The accounts of the Town are organized on the basis of funds or account groups, each of which is
considered a separate accounting entity. Government resources are allocated to and accounted for
in individual funds based on the purposes for which they are to be spent and the means by which
spending activities are controlled. The Town of Fountain Hills appropriates all funds in its
budget process:
General Fund – revenues and expenditures to carry out basic governmental activities such as
police and fire, recreation, planning, legal services, administrative services, etc. (non-restricted).
Special Revenue Funds – revenues derived from specific taxes or other earmarked revenue
sources, usually required by statute or ordinance to finance particular activities. Highway User
Revenue Fund (HURF) and grants are examples of special revenue funds (restricted by statute).
Excise Tax Revenue Funds – designated for bond payments for mountains, Civic Center phase II
project, and downtown development (restricted by legislative action).
Debt Service Funds – established to account for the accumulation of resources for, and the
payment of, general long-term debt principal and interest. Municipal Property Corporation
(MPC) and Community Facilities District (CFD) funds are included within the debt service funds.
Capital Projects Funds – to account for the purchase or construction of major capital facilities,
such as the new Civic Center Phase II project, park and major road improvements.
Operating and Capital Budget Relationship
Included within the annual budget is a Five Year Capital Improvement Plan, presented on
a budget basis. Capital project budget funding sources are matched with budgeted
expenditures. Governmental accounting procedures require adequate budget to pay for
an entire contract to be available and appropriated in the period in which a contract is
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entered; therefore, expenditures are presented on a budget basis as opposed to cash flow
basis. For example, a 180 day construction contract entered into in May of fiscal year
one would have cash expenditures from May of fiscal year one through October of fiscal
year two, however, the entire budget for this contract must be appropriated in fiscal year
one, the year in which the contract was entered; any unspent funds at fiscal year-end are
carried forward and budgeted again in year two.
When can a citizen have input into the budget process?
Town staff welcomes comments and suggestions throughout the year. The final opportunity
occurs in May when the Town Council holds a public hearing on the proposed budget as
recommended through the budget hearings. This is the last opportunity to increase the budget for
the next fiscal year. Once the tentative budget is adopted, line items can only be decreased prior
to the budget’s final adoption.
Many revenue estimates must be made based on assumptions regarding general economic
conditions. For example, development related revenues (building permits, construction sales
taxes, etc.) are all based on assumptions regarding development forecasts for Fountain Hills
during the coming year. State shared revenue estimates are provided by the League of Arizona
Cities and Towns. Revenue estimates are conservative to avoid setting expenditure budgets that
will not be supported by actual revenues.
Can the budget be amended once it is adopted?
During the fiscal year, the Town Manager may transfer appropriations between line items within
a department.
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TOWN OF FOUNTAIN HILLS FINANCIAL POLICIES
The principles of sound financial management establish the framework for overall fiscal planning
and management. The principles set forth guidelines for both current activities and long range
planning. Following these principles will enhance the Town’s financial health as well as its
image and credibility with its citizens, the public in general, bond rating agencies and investors.
The policies will be reviewed annually to assure the highest standards of fiscal management.
Policy changes will be needed as the Town continues to grow and becomes more diverse and
complex in the services it provides, as well as the organization under which it operates to provide
these services to its citizens. The Town Manager and staff have the primary role of reviewing
and providing guidance in the financial area to the Town Council.
The overall financial goals underlying these principles are:
1. Fiscal Conservatism: to ensure that the Town is at all times in a solid financial condition,
defined as:
a) cash solvency – the ability to pay bills
b) budgetary solvency – the ability to balance the budget
c) long run solvency – the ability to pay future costs
d) service level solvency – the ability to provide needed and desired services
e) adhering to the highest accounting and management practices as set by the
Government Finance Officers’ Association standards for financial reporting and
budgeting, by the Governmental Standards Board and other professional
standards
2. To maintain an Aa3 or better bond rating in the financial community to assure the Town
taxpayers that the Town government is well managed and financially sound.
3. To have the ability to withstand local and regional economic fluctuations, to adjust to
changes in the service requirements of our community, and to respond to changes in
Federal and State priorities and funding as they affect the Town’s residents.
4. To deliver quality services in an affordable, efficient and cost-effective basis providing
full value for each tax dollar.
FUND BALANCE POLICY
Fund balance is defined as the cumulative difference of all revenues and expenditures, also
considered the difference between fund assets and fund liabilities, known as fund equity. Fund
balance is an important indicator of the Town’s financial position and adequate reserves must be
maintained to allow the Town to continue providing services to the community during periods of
economic downturns and/or unexpected emergencies or requirements.
The level of Fund Balance is related to the degree of uncertainty that the Town faces. A prudent
level of financial resources is necessary to protect against the need to reduce service levels or
raise taxes and fees due to temporary revenue shortfalls or unpredicted one-time expenditures.
With the Town dependency upon State Shared Income and State Sales Tax revenues for one third
of the General Fund budget there is increased opportunity for fluctuation. Additionally, a
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significant portion of Town revenue is received from sales taxes – both state shared and local -
which are sensitive to fluctuations in the economy. Therefore, the level of reserves needs to be
sufficient to ensure stability in on-going government operations during a slowdown in the
economy or legislative changes to the revenue sharing formula.
Other objectives that influence the size of the fund balance are:
a) preserving or improving the Aa3 bond rating
b) maintaining a positive trend to historical fund balances
c) maintaining a rating equal to or better than surrounding communities
d) maintaining ratios consistent with desired outcomes of ten key ratios of financial
condition (Government Finance Review, Dec. 1993) – Appendix A
General Fund
The Town fund balance consists of three (3) components, defined below. In order to satisfy the
objective of maintaining a bond rating equal to or better than surrounding peer communities a
fund balance of at least 30% of revenues is recommended. The three components added together
will help achieve the 30% goal.
Definitions:
Undesignated unreserved fund balance – available expendable financial resources that are not the
object of tentative management plans. Also defined as residual balance after revenues,
expenditures and reserved/designated fund balance and available for future year appropriation.
Designated unreserved fund balance – management’s intended use of otherwise available
expendable financial resources reflecting actual plans submitted by the Town Manager and
approved by the Town Council. An example would be funds set aside for future capital
purchases, land acquisition, construction projects, equipment replacement, etc.
Reserved fund balance – the portion of the Town funds that are not available for appropriation.
Guidelines:
In order to achieve the objectives of this policy, and to maintain sufficient working capital and a
comfortable margin of safety to address emergencies and unexpected declines in revenue without
borrowing, the following guidelines shall be adhered to by the Town Manager, staff and Town
Council:
Undesignated unreserved fund balance – designated for unanticipated expenditure or loss of
revenue, the Town of Fountain Hills' undesignated unreserved fund balance in the General Fund
at the end of any fiscal year will be equal to no less than 30 days of annual operating expenditures
for the upcoming fiscal year. This contingency will provide for the temporary financing of an
unforeseen nature for that year. Expenditures for these emergency or unforeseen appropriations
can only be undertaken with Town Manager approval and only if funds are not available in the
department requesting the contingency funding. Expenditures exceeding $20,000 will require
Council approval. This contingency will expire at the end of each fiscal year and any unused
balance will be included with the funds available for appropriation in the following fiscal year.
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Designated unreserved fund – the Town will maintain a designated unreserved fund balance in
the General Fund of a minimum ten percent (10%) of the average actual General Fund revenues
for the preceding five fiscal years. These reserves will be designated for “pay-as-you-go” capital
replacement expenditures, equipment replacement, capital projects, prepay existing Town debt, or
any other expenditure that is non-recurring in nature. The 10% is the minimum and is based on
the Property and Equipment Replacement Schedule, which may be increased to accelerate
accumulation funds for a large capital expenditure. To the extent these reserves are expended,
additional funds necessary to restore this additional ten percent (10%) amount will be provided in
at least approximately equal contributions during the five fiscal years following the fiscal year in
which the event occurred. The designated General Fund Balance can only be authorized for
expenditure upon recommendation of the Town Manager and vote of the Town Council.
Reserved Fund Balance – the Town will maintain a reserved fund balance in the General Fund of
20% of the average actual General Fund revenues for the preceding five fiscal years, indicating
stable fiscal policies. The maintenance of this fiscal balance is a particularly important factor
considered by credit rating agencies in their evaluation of the credit worthiness of the Town. It is
of primary importance that the Town’s credit rating be protected.
During the annual budget process the Town Manager will estimate the surplus or deficit for the
current year and prepare a projection of the year-end undesignated general fund balance. Such
projection will include an analysis of trends in fund balance levels on an historical and future
projection basis.
Funds in excess of the fund balance goal will be retained in the undesignated unreserved General
Fund Balance, and may be considered to supplement "pay as you go” capital outlay expenditures,
or may be used to prepay existing Town debt. These funds may not be used to establish or
support costs that are recurring in nature.
This policy will be reviewed by the Town Manager every three years following adoption or
sooner at the direction of the Town Council.
Special Revenue Funds
The Highway User Revenue Fund (HURF) is a restricted fund and depends upon State Shared
Revenues for over 90% of annual revenues. This fund may only be used for street and highway
purposes. The combined undesignated unreserved, designated unreserved and reserved Fund
Balance will be based on the minimum requirement as specified in the Property and Equipment
Replacement Schedule. The schedule will be reviewed on an annual basis to determine the
required amount to be set aside as designated unreserved Fund Balance.
The Excise Tax (.4% of Local Sales Tax) Fund is a restricted fund dedicated to Downtown
Development and Land Preservation. The combined undesignated unreserved, designated
unreserved and reserved Fund Balance will be no less than the annual debt service payment for
Land Preservation and prior year available funds for Downtown Development.
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Debt Service Funds
The Debt Service Fund is established for the payment of principal and interest on bonded
indebtedness. Revenues are derived from a property tax levy, pledged excise taxes, municipal
property lease payments and shared revenues. Revenues are received in amounts sufficient to pay
the annual debt service payment, therefore, the undesignated unreserved, designated unreserved
and reserved Fund Balance will be no less than the annual debt service payment due on July 1 of
the new fiscal year.
Capital Project Funds
The Capital Project Funds includes accumulated Development Fees that are assessed on new
construction for the purpose of funding growth. These funds are restricted to growth-related
capital expenditures. The undesignated unreserved, designated unreserved and reserved fund
balance will be established each fiscal year during the budget process depending on planned
expenditures but cannot exceed accumulated revenues. The Development Fees must be expended
within six years of collection or refunded to the taxpayer.
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FINANCIAL PLANNING
Fiscal planning refers to the process of identifying resources and allocating those resources
among competing purposes. The primary vehicle for this planning is the preparation, monitoring
and analyses of the Town’s budget. It is increasingly important to monitor the performance of the
programs competing to receive funding.
1. The Town Manager shall submit to the Town Council a proposed annual budget, with
their recommendations, and shall execute the budget as finally adopted, pursuant to
Section 15.1-602 of the Arizona Revised Statues, as amended. The Town will budget
revenues and expenditures on the basis of a fiscal year which begins July 1 and ends on
the following June 30. The Town Council will adopt the budget no later than June 30.
2. The Town will prepare a budget in accordance with the guidelines established by the
Government Finance Officers Association in its Distinguished Budget Award Program.
The proposed budget will contain the following:
a) Revenue estimates by major category, by major fund;
b) Expenditure estimates by department levels and major expenditure category, by
major fund;
c) Estimated fund balance by major fund;
d) Debt service by issue detailing principal and interest amounts by fund.
e) Proposed personnel staffing levels;
f) A detailed schedule of capital projects, including a capital improvement program;
g) Any additional information, data, or analysis requested of management by the
Town Council.
3. The operating budget will be based on the principle that current operating expenditures,
including debt service, will be funded with current revenues creating a balanced budget.
The Town will not balance the current budget at the expense of meeting future years’
expenditures; for example accruing future years' revenues or rolling over short-term debt
to avoid planned debt retirement.
4. Ongoing operating costs should be supported by ongoing, stable revenue sources. This
protects the Town from fluctuating service levels, and avoids crises when one-time
revenues are reduced or removed. Revenues from growth or development should be
targeted to costs related to development, or invested in improvements that will benefit
future residents or make future service provision efficient.
5. The Town Manager will provide an estimate of the Town's revenues annually for each
fiscal year. The estimates of special (grant, excise tax, etc.) revenues and interfund
transfers will also be provided by the Town Manager.
6. The budget will fully appropriate the resources needed for authorized regular staffing. At
no time shall the number of regular full-time employees on the payroll exceed the total
number of full-time positions authorized by the Town Council. All personnel actions
shall be in conformance with applicable federal and state law and all Town ordinances
and policies.
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7. The Town Manager shall provide annually a budget preparation schedule outlining the
preparation timelines for the proposed budget. Budget packages for the preparation of
the budget, including forms and instructions, shall be distributed to Town departments in
a timely manner for the department’s completion. Department Directors shall prepare
and return their budget proposals to the Administration Department, as required in the
budget preparation schedule.
8. Performance measurement indicators will be integrated into the budget process as
appropriate.
9. Alternatives for improving the efficiency and effectiveness of the Town's programs and
the productivity of its employees will be considered during the budget process.
Duplication of services and inefficiency in service delivery should be eliminated
wherever they are identified.
10. Department Directors are required to monitor revenues and control expenditures to
prevent exceeding their total departmental expenditure budget. It is the responsibility of
these department directors to immediately notify the Town Manager of any exceptional
circumstances that could result in a departmental expenditure budget to be exceeded.
11. A quarterly report on the status of the General Fund budget and trends will be prepared
within 60 days of the end of each quarter by the Administration Department. In addition,
the quarterly report shall include revenue and expenditure projections through the end of
the fiscal year.
12. If a deficit is projected during any fiscal year, the Town will take steps to reduce
expenditures, increase revenues or, if a deficit is caused by an emergency, consider using
the undesignated unreserved General Fund Balance, to the extent necessary to ensure a
balanced budget at the close of the fiscal year. The Town Manager may institute a
cessation during the fiscal year on hirings, promotions, transfers, and capital equipment
purchases. Such action will not be taken arbitrarily and without knowledge and support
of the Town Council.
EXPENDITURE CONTROL
Management must ensure compliance with the legally adopted budget. In addition, purchases and
expenditures must comply with legal requirements.
1. Expenditures will be controlled by an annual budget at the departmental level. The Town
Council shall adopt appropriations through the budget process. Written procedures will
be maintained for administrative approval and processing of certain budget transfers
within funds.
2. The Town will maintain a purchasing system that provides needed materials in a timely
manner to avoid interruptions in the delivery of services. All purchases shall be made in
accordance with the Town's purchasing policies, guidelines and procedures and
applicable state and federal laws. The Town will endeavor to obtain supplies, equipment
and services as economically as possible.
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3. Expenditures will be controlled through appropriate internal controls and procedures in
processing invoices for payment.
4. The Town shall pay applicable contractor invoices in accordance with the requirements
of Arizona Revised Statues 34-221.
5. The State of Arizona sets a limit on the expenditures of local jurisdictions. The Town
will comply with these expenditure limitations and will submit an audited expenditure
limitation report, audited financial statements, and audited reconciliation report as
defined by the Uniform Expenditure Reporting System (A.R.S. Section 41-1279.07) to
the State Auditor General each year.
6. Assets will be capitalized at $10,000 and will be recorded in the Town of Fountain Hills
Summary of General Fixed Assets.
REVENUES AND COLLECTIONS
All government employees are considered stewards of public funds. In order to provide funding
for service delivery, the Town must have reliable revenue sources. These diverse revenues must
be collected equitably, timely, and efficiently.
1. The Town's goal is a General Fund revenue base that is equally balanced between sales
taxes, state shared revenues, property tax, service fees and other revenue sources.
2. The Town will strive for a diversified and stable revenue base to shelter it from economic
changes or short-term fluctuations and in any one revenue source by doing the following:
a) Establishing new charges and fees as needed and as permitted by law at
reasonable levels.
b) Pursuing legislative change, when necessary, to permit changes or establishment
of user charges and fees.
c) Aggressively collecting all revenues, late penalties, outstanding taxes owed and
related interest as authorized by the Arizona Revised Statues.
3. The Town will monitor all taxes to insure they are equitably administered and collections
are timely and accurate. Fees and charges should be based on benefits and/or privileges
granted by the Town, or based on costs of a particular service.
4. The Town should pursue intergovernmental aid for those programs and activities that
address a recognized need and are consistent with the Town's long-range objectives. Any
decision to pursue intergovernmental aid should include the consideration of the
following:
a) Present and future funding requirements.
b) Cost of administering the funds.
c) Costs associated with special conditions or regulations attached to the grant
award.
5. The Town will attempt to recover all allowable costs--both direct and indirect--associated
with the administration and implementation of programs funded through
intergovernmental aid. In the case of the School District, the Town may determine to
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recover less than full cost of services provided. In the case of State and Federally
mandated programs, the Town will attempt to obtain full funding for the service from the
governmental entity requiring the service be provided. Allowable costs will be
determined based upon a “Cost Allocation Study” prepared periodically.
USER FEE COST RECOVERY
User fees and charges are payments for voluntarily purchased, publicly provided services that
benefit specific individuals. The Town relies on user fees and charges to supplement other
revenue sources in order to provide public services.
1. The Town may establish user fees and charges for certain services provided to users
receiving a specific benefit.
2. User fees and charges will be established to recover as much as possible the direct and
indirect costs of the program or service, unless the percentage of full cost recovery has
been mandated by specific action of the Town Council. It is recognized that occasionally
competing policy objectives may result in reduced user fees and charges that recover a
smaller portion of service costs.
3. Periodically, the Town will recalculate the full costs of activities supported by user fees
to identify the impact of inflation and other attendant costs.
DEBT POLICY
The purpose of this debt policy is to provide for the preservation and enhancement of the Town’s
bond ratings, the maintenance of adequate debt service reserves, compliance with debt instrument
covenants and provisions and required disclosures to investors, underwriters and rating agencies.
The overall debt management policy of the Town of Fountain Hills is to ensure that financial
resources are adequate in any general economic situation to not preclude the Town’s ability to
pay its debt when due.
These policies are meant to supplement the legal framework of public debt laws provided by the
Arizona Constitution, State Statutes, Federal tax laws and the Town’s current bond resolutions
and covenants. The Arizona Constitution limits a city or town’s bonded debt capacity
(outstanding principal) to certain percentages of the Town’s secondary assessed valuation by the
type of project to be constructed. There is a limit of 20% of secondary assessed valuation for
projects involving water, sewer, artificial lighting, parks, open space, and recreational facility
improvements. There is a limit of 6% of secondary assessed valuation for any other general-
purpose project.
General
1. The Town will use current revenues to pay for short-term capital projects, repair and
maintenance items and will reserve long-term debt for capital improvements with useful
lives of ten (10) years or more. The Town will not use long-term debt to fund current
governmental operations and will manage its cash in a fashion that will prevent any
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borrowing to meet working capital needs. However, exclusive reliance upon pay-as-you-
go funds for capital improvements requires existing residents to pay for improvements
that will benefit new residents who relocate to the area after the expenditure is made.
Financing capital projects with debt provides for an “intergenerational equity”, as the
actual users of the capital asset pay for its cost over time, rather than one group of users
paying in advance for the costs of the asset. Where there is a benefit to all future
residents, debt financing should be given consideration
2. To increase its reliance on current revenue to finance its capital improvements, and
promote a “pay-as-you-go” philosophy, the Town will appropriate each year a percentage
of current revenues to maintain a minimum 10% of average actual General Fund
revenues for the preceding five fiscal years in the Designated Unreserved Fund.
Capital Improvement Plan
1. As part of the budget process each year the Town will prepare a capital spending plan
that provides a detailed summary of specific capital projects for the five fiscal years
subsequent to the fiscal year presented. The plan will include the name of the project,
project schedule, capital cost by fiscal year and a recommended specific funding source.
The five year capital improvement plan will be developed within the constraints of the
Town’s ability to finance the plan.
2. The Town Manager and Department Directors will develop formal ranking criteria that
will be used in the evaluation of all capital projects. The program ranking criteria will
give greatest weight to those projects which protect the health and safety of its citizens.
Pay-as-you-go project financing shall be given the highest priority. Capital
improvements that must rely upon debt financing shall be accorded a lower priority and
projects with a useful life of less than five years shall not be eligible for inclusion in bond
issues.
3. Lease purchase financing shall only be undertaken when the project is considered
essential to the efficient operation of the Town or to remove expenditures that would
exceed the State imposed expenditure limitation. The Town Manager or designee shall
determine that pay-as-you-go expenditures do not cause the state imposed expenditure
limitation to be exceeded in any fiscal year.
4. All capital project requests will be accompanied by a description of the sources of
funding to cover project costs. Where borrowing is recommended, a dedicated source of
funds to cover debt service requirements must be identified. All capital project requests
will be required to identify any impact the project may have on future operating costs of
the Town. The Town will seek grants to finance capital improvements and will favor
those projects which are likely to receive grant money.
5. All capital project appropriations and amendments to the capital improvement plan must
be approved by the Town Council.
6. The capital plan will include all equipment and facilities with a useful life of greater than
ten years and a cost greater than $50,000. Debt financing shall not exceed the useful life
of the infrastructure improvement or asset.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 24 -
Financing Alternatives
1. Financing alternatives are listed below but are not limited to:
a) Grants
b) Developer Contributions
c) General Obligation Bond – requires voter approval, supported by an ad valorem
(property) tax
d) Revenue Bonds – repaid with revenue stream (HURF, revenue generated by
project)
e) Municipal Property Corporation Bonds – repaid with a dedicated revenue source
f) CFD or Special District Bonds – supported by an ad valorem property tax
g) Capital Leases – repaid within operating budget
h) Commercial Paper (CP) or Bond Anticipation Notes (BAN) with terms less than
two years
2. Town Debt Service costs (GO, Revenue Bonds, MPC, Leases) shall not exceed 20% of
the Town’s operating revenue in order to control fixed costs and ensure expenditure
flexibility. Improvement District (ID), Community Facility District (CFD) and Special
District debt service is not included in this calculation because it is paid by district
property owners and is not an obligation of the general citizenry. Separate criteria have
been established and included within the Town’s CFD policy.
3. In accordance with requirements of the State of Arizona Constitution, total bonded debt
will not exceed the 20% limitation and 6% limitation of the total secondary assessed
valuation of taxable property in the Town.
4. The Town shall comply with all U.S. Internal Revenue Service arbitrage rebate
requirements for bonded indebtedness.
5. Where applicable, the Town will structure General Obligation bond issues to create level
debt service payments over the life of the issue. The goal will be to strive for a debt
repayment schedule to be no more than fifteen (15) years; at no time will the debt exceed
twenty-five (25) years.
6. Refunding bonds will be measured against a standard of the net present value debt service
savings exceeding 3% of the principal amount of the bonds being refunded, or if savings
exceed $750,000, or for the purposes of modifying restrictive covenants or to modify the
existing debt structure to the benefit of the Town. Refinancings undertaken for other
reasons should proceed only when the advantages have been clearly shown in a
cost/benefit analysis of the transaction.
7. The Town will seek to maintain and, if possible, improve the current bond rating in order
to minimize borrowing costs and preserve access to credit.
8. An analysis showing how a new issue combined with current debt impacts the Town’s
debt capacity and conformance with Town debt policies will accompany every future
bond issue proposal. The debt capacity analysis should reflect a positive trend and
include:
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 25 -
a) percent of debt outstanding as a percent of the legal debt limit
b) measures of the tax and revenue base
c) evaluation of trends relating to expenditures and fund balance
d) debt service as a percentage of assessed valuation
e) measures of debt burden on the community
f) tax-exempt market factors affecting interest costs
g) debt ratios
9. Municipal Property Corporation and contractual debt, which is non-voter approved, will
be utilized only when a dedicated revenue source (e.g. excise taxes) can be identified to
pay debt service expenses. The project to be financed will generate net positive revenues
(i.e., the additional revenues generated by the project will be greater than the debt service
requirements).
10. The Town’s privilege tax to debt service goal will be a ratio of at least 3.5:1 to ensure the
Town’s ability to pay for long term debt from this elastic revenue source.
Issuance of Obligations
1. The Town shall select the underwriter and the paying agent/registrar for each debt
issuance based on competitive bid. The underwriter must be a firm domiciled in Arizona
with an office in the Phoenix area and a record of prior working relationships.
2. The request for proposals process will be designed to select the service providers that
offer the Town the best combination of expertise and price. The Town is not required to
select the firm offering the lowest price, but a report must be prepared by the Town
Manager providing justification to the Town Council for a recommendation when other
than the lowest bidder is chosen. The review of all proposals submitted shall be the
responsibility of the Town Manager.
3. The Town of Fountain Hills will use competitive sales as the primary means of selling
new General Obligation or Revenue bonds that are repaid through ad valorem (property)
taxes. Negotiated sales will be permitted for all other debt issues when it is expected to
result in a lower true interest cost than would a competitive sale of that same date and
structure or there is evidence of volatile market conditions, complex security features, or
another overriding factor.
4. The Town Manager or designee and Town Attorney will coordinate their activities to
ensure that all securities are issued in the most efficient and cost-effective manner and in
compliance with the Town’s governing statutes and regulations. The Manager and the
Town Attorney shall consult and jointly select the bond counsel for a bond issue. The
Town Attorney will review all documents related to the issuance of securities by the
jurisdiction.
5. The Town will seek a rating on all new issues which are being sold in the public market if
economically feasible.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 26 -
6. The Town will report on an annual basis all financial information and/or notices of
material events to the rating agencies and Nationally-Recognized Municipal Securities
Information Repositories (NRMSIR’s). The annual report will include but not be limited
to the Town’s annual Comprehensive Annual Financial Report (CAFR).
7. The Town will require any institution or individual investing monies as an agent for the
Town to do so in a manner consistent and in compliance with the Town’s adopted
Investment Policy.
8. The Town will provide detailed draw schedules for any project to be funded with
borrowed monies. The Town will invest the proceeds or direct a trustee to invest the
proceeds of all borrowings in a manner that will ensure the availability of funds as
described in the draw schedules.
9. The Town acknowledges the responsibilities of the underwriting community and pledges
to make all reasonable efforts to assist underwriters in their efforts to comply with SEC
Rule 15c2-12 and MSRB Rule G-36.
The Town of Fountain Hills’ capital improvement program ranking criteria will give greatest
weight to those projects, which protect the health and safety of it’s citizens. Pay-as-you-go
project financing shall be given the highest priority. Capital improvements that must rely upon
debt financing shall be accorded a lower priority. All capital project requests will be
accompanied by a description of the sources of funding to cover project costs. Where borrowing
is recommended, the source of funds to cover debt service requirements must be identified. All
capital project requests will be required to identify any impact the project may have on future
operating costs of the Town.
Department Directors will submit a detailed description of the useful life of capital projects
submitted in conjunction with the preparation of the Town’s CIP. Projects with a useful life of
less than ten years shall not be eligible for inclusion in bond issues. The Manager shall
incorporate an estimate of the useful life of proposal capital improvements in developing an
amortization schedule for each bond issue. If a short-lived asset or project (less than ten years) is
included in a bond issue, then the bond amortization schedule shall be adjusted to reflect the
asset’s rapid depreciation. At no time shall the amortization exceed the life of the asset.
How do I get more information?
All requests for public information in the Town of Fountain Hills are handled by the Town
Clerk’s office. Please call (480) 837-2003 or visit the Town’s website www.fh.az.gov and click
on the Accounting Department icon.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 27 -
Budget Schedule (Fiscal Year 2005-2006)
January 21 Council Goal-Setting, Dept Directors retreat, budget priorities
identified
Monday, February 14 Accounting submits summary of estimated FYE 04-05 revenue,
expenditures and fund balances to Town Manager, Department
Directors
Department Directors provide accounting with new staffing
requests for FY05-06
Wednesday, Feb. 16 Accounting provides department directors with FY05-06 wage and
benefits budget line items
Departments submit baseline budget justification sheets to
Accounting
Feb. 22 – March 4 Fiscal year 2005-2006 revenue projections are prepared by
Accounting and reviewed with Town Manager
Friday, Feb. 25 Department directors submit proposed justification sheets for
FY06 budget to Accounting (base budget plus supplemental
requests)
Friday, March 4 Written department verbiage for budget document due to
Accounting (electronic format - Word)
Tuesday, March 8 Director Retreat
March 7–March 25 Staff and Town Manager meet to review justifications and
decisions made for requested expenditures
Department Directors make changes to verbiage to reflect changes
Monday, April 4 Completed draft budget document submitted to Town Manager
April 4 – April 15 Review of draft budget document by Town Manager
April 18 – April 28 Document revised by Accounting, prepared for copying
April 29 Council receives copy of draft budget
Thursday, May 5 Overview of budget and tentative adoption of maximum
Tuesday, May 17 Budget work study
May 18, May 25 Publish tentative budget in newspaper
Thursday, June 2 Adopt final budget
Thursday, July 7 Adopt tax levy
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 29 -
FY2005-06 REVENUE AND EXPENDITURE SUMMARY
This section provides a broad overview of the resources and expenditures included in the FY05-
06 budget. Information is presented for general, special revenue, debt service and capital project
funds. General funds, which receive special attention by the citizens, are of particular importance
to our residents as they provide for most basic services such as public safety (police and fire),
parks, planning and zoning and the community center. Special revenue funds (HURF and grants)
are restricted to specific uses. Proposed capital projects are included within the departmental
budgets; projects in progress are included in the capital projects funds.
The FY05-06 budgeted revenues total $28,476,296; the general fund portion of $15,856,164 is
approximately 55% of the total. Special revenue funds such as Highway User Revenue,
Proposition 202, Local Transportation and other grants represent another 19% of the budget.
Debt service and capital project funds represent the remaining 7% and 18%, respectively, of the
total budget.
ALL FUNDS REVENUE SUMMARY
The FY05-06 budgeted expenditures total $26,587,132, which includes transfers; the general fund
portion of $15,756,336 is approximately 59% of the total. Highway User Revenue Fund (streets
and highways) represents 9% of the total Town budget, other special revenue funds represent
14% of the budget, debt service is 9% and capital projects that are under construction represent
9% of the total.
Projected expenditures are almost $2.5 million less than the FY04-05 budget; the decrease is due
to completion of several major capital expenditures in FY05. The largest project was phase II of
the Civic Center complex, which includes a new municipal building to house law enforcement,
municipal court, public works, parks and recreation, and the administrative offices. The Town
has been leasing the existing premises at an annual operating cost of approximately $600,000 in
rent and utilities. Town Hall will relocate to the new building around the first of FY05-06, which
will result in significant savings to the taxpayers of Fountain Hills. Additionally, the budget
provides for $1.4 million of unanticipated grant funds in the event an opportunity is presented that
provides funding for additional capital or one-time expenditures.
The table below provides a comparison of the FY05-06 budget to the FY04-05 adopted budget.
Actual expenditures for the 03-04 fiscal year are also included.
FY 2001-2002 FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Actual Budget Estimate Proposed
Source of Revenues
TOTAL GENERAL FUND REVENUES $14,088,326 $13,370,240 $13,643,823 $14,209,907 $14,854,127 $15,856,164
TOTAL SPECIAL REVENUE FUNDS $3,373,437 $3,289,921 $2,910,234 $4,434,705 $3,112,611 $5,445,654
TOTAL DEBT SERVICE FUNDS $2,605,487 $2,225,902 $2,648,360 $2,471,200 $2,471,500 $2,061,650
TOTAL DEVELOPMENT FEES $690,724 $604,658 $855,641 $1,199,641 $1,451,160 $1,356,876
TOTAL CAPITAL PROJECTS FUND $13,826,973 $2,189,660 $1,121,960 $5,954,800 $6,157,196 $3,746,952
TOTAL ALL FUNDS $34,584,947 $21,680,381 $21,180,018 $28,270,253 $28,046,594 $28,467,296
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 30 -
ALL FUNDS EXPENDITURE SUMMARY
General Fund Budget Overview
The General Fund supports core services and is the largest fund with the greatest potential for
revenue fluctuations. Revenues from taxes, license and permit fees, and charges for services
provide resources to fund programs and services delivered by the Town. In the aftermath of an
economic downturn, the revenues forecasted in this proposed budget reflect a guarded optimism,
tempered by the reality that the local, state and national economies are complex and uncertain.
The proposed budget is based on projections that are conservative and based on the expectation
that the local and national economy will continue at a normal pace.
Total General
Fund revenues are
expected to
increase about 6%
over FY04-05
actual revenues,
providing
$15,856,164 in
FY05-06
compared to
$14,854,127 in
FY04-05. Charts
and descriptions
of the major
revenue sources
with a ten-year
history for the
Town of Fountain
Hills are shown in
the budget
summary section.
FY 2001-2002 FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Actual Budget Estimate Proposed
TOTAL GENERAL FUND $15,062,061 $11,680,585 $11,310,262 $13,887,023 $12,262,179 $15,756,336
TOTAL SPECIAL REVENUE FUNDS $2,636,353 $1,940,188 $2,218,760 $4,985,006 $2,991,429 $6,003,312
TOTAL DEBT SERVICE FUNDS $2,132,503 $2,411,280 $2,379,634 $2,417,700 $2,373,330 $2,239,950
TOTAL DEVELOPMENT FEES $266,454 $21,105 $214,199 $1,281,123 $1,235,123 $1,290,035
CAPITAL PROJECTS FUND
TOTAL CAPITAL PROJECTS FUND $13,750,000 $362,500 $565,590 $6,511,170 $6,303,670 $1,297,500
TOTAL ALL FUNDS $33,847,371 $16,415,657 $16,688,445 $29,082,021 $25,165,731 $26,587,132
Licenses and
Permits
11%
Fines &
Forfeitures
1%
Community
Center
1%
Miscellaneous
2%Shared Revenues
31%
Local Sales Tax
52%
Charges for
Services
2%
Sources of Funds - General Fund
where the money comes from
Total General Fund Available - $15,856,164
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 31 -
As the previous chart shows, the Town’s general fund resources rely heavily upon sales tax and
state shared revenues (83% of total revenue), much the same as many other cities and towns in
Arizona. These sources of revenue are not controlled by the Town and are therefore subject to
upward and downward cycles of the economy as well as annual legislative appropriations.
Additionally, these revenues are distributed to cities and towns based on each municipalities
portion of the population compared to the entire state. As other municipalities that have abundant
available land for development continue to grow in population the cities and towns that have
fixed borders will represent a smaller percentage of the total, that is, Fountain Hills could lose a
proportionate share of state revenues. The Town will focus efforts on alternative revenue options
that will diversify resources and provide a more financially stable future to facilitate the multi-
year and capital improvement planning. For fiscal year 2005-2006, state shared revenues in the
General Fund are projected to increase by $404,759, or 8.8 %, from the fiscal year 2004-2005
estimate of $4,570,400, primarily from state sales tax and income tax.
The largest source of revenue for the general fund is the undesignated portion of the local sales
tax ($7.9M at 2.2%) and is projected to increase 9.4% over fiscal year 2004-2005. The chart on
the left presents the
top three sales tax
categories, a majority
in the retail activity.
(The dedicated
portion (0.4%) of the
tax rate is restricted to
non-general fund
activities, specifically
debt service payments
for mountain bond
and Civic Center
Phase II bonds.) Of
the approximately $8 million in local sales tax 44% is derived from retail sales activity. Another
major component of local sales tax collections has historically been due to construction related
activity ($1.8 million), although residential construction permit activity in Fountain Hills is
projected to begin declining over the next few years as the Town approaches build-out.
Projections for FY05-06 reflect the increased value of the large custom homes on the remaining
lots, leading to higher than expected building permit and sales tax revenue.
The proposed general fund expenditures for FY05-06 are $15,756,336. The largest increase is
within the Community Center and due to the debt payment for the building included in the
General Fund for the first time. The general fund includes thirteen (13) divisional budgets, an
increase of two over prior fiscal years. A new organizational unit, “Operational and Community
Support”, now accounts for expenditures previously included within the Administration
department (non-departmental and overhead expenditures such as rent, utilities, liability
insurance, legal and professional fees, tax rebates, etc.). The Administration department budget
retains Town Manager, Town Clerk, Finance, and Human Resource functions. Another new
division is the Senior Services, a new service of the Town government that had previously been
provided by a non profit organization in Fountain Hills.
Top Three Sales Tax Categories
Construction
Transportation/Utilities
Wholesale/Retail
$0
$1,000,000
$2,000,000
$3,000,000
$4,000,000
$5,000,000
$6,000,000
$7,000,000
$8,000,000
2001-02 2002-03 2003-04 2004-05* 2005-06*
Actual Actual Actual Projected Projected
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 32 -
Salaries and Benefits
Most Town employees’
salaries and benefits are
funded through the general
fund (the exceptions are
Street division and
Downtown Development
staff who are funded with
restricted revenues).
Salaries include wages,
overtime, vacation and
merit pay. An allowance of
4.5% is available for pay for
performance merit
increases. Employee
benefits include health
insurance, employer taxes,
disability and worker
compensation insurance,
and employer match
retirement contributions. Vision insurance for employees has been reinstated in this budget at the
request of the employee services committee. The total salaries and benefits proposed for fiscal
year 2005-2006 is $4.9 million, or 18.3% of the budget. There are only two full time positions
being recommended; the following are the proposed increases in staff and associated costs that
are included within the FY05-06 budget:
Half Time Requests
Position Request Departmental Budget Budgetary
Impact
Recreation Interns (2) new hire (PT) Recreation $14,150
Intern (part time) new hire Administration $10,900
Planning Technician new hire (PT) Planning & Zoning $18,500
Court Clerk part-time Municipal Court $15,067
Administrative Clerk reclass to FT Administration $26,000
Operations Worker reclass to FT Community Center $15,300
Full-Time Requests
Public Information Officer/
Grant Writer* new hire Administration $65,200
Park Operations Lead new hire Four Peaks Park $47,900
*reclassified to Assistant Town Manager/Public Information Officer by the Town Council during
the budget hearings. If approved, authorized positions will increase from 77 to 81.5 but still 30%
less than the FY01-02 level of 115 FTE’s.
Contractual Services
The Town contracts with outside professionals for recreational programs, consulting and legal
fees, outside auditing services, engineering/inspection fees, and contributions to special programs.
Two major contracts included in this category are: 1) Police protection (Maricopa County
Sheriff’s Office at $1,835,044) and 2) Fire protection and emergency medical services
($2,615,988), currently under contract with Rural Metro Corporation.
Uses of Funds - General Fund
where the money goes
Transfers (In)/Out
5%Operational/Com
munity Support
18%
Town C oun ci l
1%
Municipal Court
2%
Fire Department
17%
Law Enforcement
12%
Parks, Recreation,
Community
Center, Senior
Services
17%
Public Works,
Planning, Bldg
Safety
17%
Information
Technology
2%
Administration
8%
Total General Fund Budget - $15,756,336
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 33 -
Contractual services also include contributions that the Town makes to social and community
benefit programs based on requests from the organizations. Total funding proposed for FY05-06
is $335,000 and is described in the Operational and Community Support budget.
Repairs and Maintenance
Repairs and maintenance include annual landscape maintenance contracts, equipment and vehicle
repairs, and facilities maintenance (janitorial, building maintenance, etc.). Maintenance of the
Town’s 121 acres of parks, as well as medians, dams, and washes is solicited through a bid
process to obtain the most competitive price for the Town.
Supplies and Services
Supplies and services include operational costs such as rent, electricity, utilities, insurance, etc.
for Town Hall and other Town-owned buildings. The Town owns the Kiwanis building, two fire
stations, the Library/Museum, the Community Center, a vehicle maintenance garage, and the
Community Theater building. The Town leases three buildings to house Town Hall, Municipal
Court, and Building Safety. Other items in this category are office supplies, gas and oil, postage,
travel, and communications.
Training Program: It is often mentioned during exit interviews that potential for career growth
with the Town is poor because of inadequate training dollars. Lack of proper training can lead to
turnover. We are implementing a Succession Plan this year, which will provide opportunities for
employees to have career growth within the Town, but it will also necessitate more training
dollars to be successful for both the employee and the Town.
Employee training has always been important; however, in reviewing past year’s budgets it
becomes evident that, due to tight fiscal times, training dollars have not been sufficient enough to
allow the necessary continuing education for our employees. For example, the Insurance Service
Organization (ISO) Report that grades our building department affects insurance rates. This
report states the amount of expenditures for training needs to equal at least 2% of the annual
operating budget for all building-department-related activities. The Town’s score in this area was
3.92 points out of a possible maximum 13.30 points. We need to do better. Insurers can use this
grading to grant premium credits for buildings constructed under strictly enforced codes.
Communities with good enforcement can expect commensurate reductions in property-insurance
rates. In the budget, Building Safety training will equal 2% of the total division budget.
When Council members are elected into office, they bring with them totally different ideas and
procedures. Without Council training, the Town would have seven members trying to
accomplish the same task in seven different ways. That is a good definition of chaos. There is a
need for conformity and compliance with regulations that training provides. This year’s budget
reflects $15,000 for Council training. This figure includes the Council Retreat, National League
of Cities Conference, as well as funding for Council members to attend various workshops,
seminars, MAG, legislative events, town halls, etc.
The need for proper training is never ending. The Town must have a training program that
refreshes the knowledge of previous training – it is ongoing. A proper training program builds
better communication skills, develops hidden talent, ensures consistent quality, provides greater
focus and produces more effective/productive efforts. It should ensure that each employee’s
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 34 -
training is focused on what that employee needs to know to do his or her job and advance on their
career path.
Training is a small investment with an outstanding return. Consequently, you will see .058% of
the total 2005-06 general fund budget for training. In comparison, last budget year .054% was
budgeted, and in 2003-04, .042% was budgeted.
Capital Projects
Proposed capital projects are described in the Capital Improvement Budget:
• Civic Center Phase II project (Town-owned municipal building)
• Eagles Nest trailhead restroom construction
• Adero Canyon trailhead design
• Replacement of street sweeper to satisfy County dust control recommendation
• Desert Vista Neighborhood Park improvements including the skate park, enhanced
parking, perimeter sidewalks
• Four Peaks Neighborhood Park improvements
• Public access modifications for citizens with disabilities
• Traffic signal at Saguaro and El Lago Boulevards
• Approximately $1M in major road improvements
Special Revenue Funds
In addition to the general fund, Fountain Hills maintains several other funds that are established
for specific purposes. Within the special revenue funds is the Highway Users Revenue Fund
(HURF), the resources of which are restricted for street and highway purposes (cost of right-of-
way acquisition, construction, reconstruction, maintenance, repairs, roadside development of
town roads, and payment of the interest and principal on highway and street bonds). Another
HURF revenue source is the Local Transportation Assistance Fund (LTAF), which is generated
by the State lottery and restricted for street and transportation purposes.
Within the special revenue fund is the excise tax special revenue, which accounts for revenue
received as the dedicated portion of the local sales tax (0.4%). The tax collections are deposited
to this fund for mountain bonds (0.2%), Civic Center phase II bonds (0.1%), and downtown
development (0.1%) purposes as determined by the Council.
Grants are utilized whenever possible to supplement the Town’s general fund and are designated
for the specific purchases for which they are awarded. This budget includes an appropriation for
the possibility for grants that may be awarded in fiscal year 2005-2006, as follows:
Furniture, Fixtures and Equipment (FF&E) – Donations were received from the community for
furniture, fixtures and equipment at the new Community Center. Any unspent funds are carried
over to the subsequent year.
Federal Emergency Management Agency (FEMA) – If awarded, this federal grant would pay for
repairs to sections of Town roads that sustained damage from the past winter flooding.
Undesignated Grant Revenue – This is an appropriation in the event the Town receives
unanticipated grant funding, including proceeds from the Proposition 202 initiative.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 35 -
Debt Service Funds
Total debt service revenues for fiscal year 2005-2006 is $3,527,829 including secondary property
taxes for voter approved bonds, transfers from Highway User Revenue Fund to pay for road
improvements, and excise taxes to pay for Municipal Property Corporation (MPC) debt
(mountain bonds and Civic Center phase II).
Capital Project Funds
New capital project requests are proposed from development fees, such as a skate park, spray
park, trailhead development, veterans memorial, and two new traffic signals. A summary of the
project, development fee costs and accounts are:
Project Name Estimated Cost Development Fee Account
Adero Canyon and Eagles Nest Trails $129,800 Open Space
Desert Vista Phase III $425,500 Parks & Recreation
Fountain Park Ramadas $138,200 Parks & Recreation
Veterans Memorial $40,000 Parks & Recreation
Civic Center Phase II $16,848 Law Enforcement
Civic Center Phase II $244,687 General Government
Street Improvements $295,000 Streets
TOTAL $1,290,035
The development fees fund is a restricted fund and may only be spent with council approval.
Additionally, expenditures from this fund are also restricted by Ordinances 00-21 through 00-26
which state that the expenditures cannot be “appropriated for funding maintenance or repair of
public facilities nor operational or personnel expenses associated with the provision of the public
facility”. However, appropriations can be made by the council for financing public facilities and
public facility expenditures, and capital expenditures related to maintaining the level of service
standards for existing town residents (streets).
Transfers
The FY05-06 budget includes a transfer of $861,344, which includes $500,000 to the street fund
and $361,344 to the capital projects fund to furnish the new Town Hall. Additionally, the
residual revenues over expenditures from FY04-05 will be transferred to the capital projects fund
for appropriation in future years when construction revenue declines.
Reserves
In May 2003, the Town Council adopted a formal fund balance policy appropriating funds as
designated reserves for future capital expenditures, a contingency fund for unanticipated
expenditures and/or revenue shortfalls, and an undesignated reserve fund. An important
component of the reserve funds is an amount set aside that is not available for appropriation but
will be maintained at a level that will satisfy the public and financial community regarding the
fiscal stability of the Town, referred to as undesignated reserves. This proposed budget exceeds
the policy requirement with a projected general fund balance for June 30, 2006 at $6.4 million
(the Town’s historic high), providing $2.6M to be transferred to the Capital Projects Fund. A
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 36 -
contingency amount of $75,000 is included in non-departmental for minor unforeseen
expenditures.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 37 -
All Funds Revenue Summary
FY 2001-2002 FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Actual Budget Estimate Proposed
Source of Revenues
GENERAL FUND
Intergovernmental
State Sales Tax $1,559,318 $1,582,535 $1,702,374 $1,747,300 $1,795,000 $1,914,315
Fire Insurance Premium Tax $0 $207,244 $143,396 $88,000 $88,000 $92,400
Shared Income Tax $2,110,536 $2,153,635 $1,824,577 $1,862,500 $1,862,500 $2,126,144
Vehicle License Tax $667,570 $797,344 $819,497 $824,900 $824,900 $842,300
Total Intergovernmental $4,337,424 $4,740,758 $4,489,845 $4,522,700 $4,570,400 $4,975,159
Taxes
Property Tax $1,355,318 $0 ($2,108) $0 $0 $0
Local Sales Tax $4,355,701 $5,051,871 $6,543,988 $7,249,767 $7,249,767 $7,932,000
Franchise Tax $130,694 $152,542 $126,362 $150,000 $125,000 $160,000
Total Taxes $5,841,713 $5,204,413 $6,668,242 $7,399,767 $7,374,767 $8,092,000
Charges for Services
Parks & Rec User Fees $175,376 $146,734 $146,334 $181,800 $161,550 $193,000
Senior Services Fees $0 $0 $0 $0 $0 $104,050
Encroachment Permit Fee $185,431 $107,267 $68,359 $50,000 $70,000 $25,000
Subdivision Fees $36,854 $28,378 $21,415 $15,000 $19,500 $21,400
Total Charges for Services $397,661 $282,379 $236,109 $246,800 $251,050 $343,450
Licenses and Permits
Animal License Fees $24,779 $25,335 $32,547 $34,500 $33,000 $32,675
Business License Fees $87,394 $99,004 $103,372 $95,540 $114,000 $111,040
Building Permit Fees $997,239 $1,007,036 $1,343,551 $1,197,500 $1,750,000 $1,564,000
Rezoning/Variance Fees $27,327 $32,560 $25,773 $15,850 $66,000 $21,450
Improvement Plan Review Fee $29,040 $37,545 $21,353 $15,000 $30,000 $21,000
Total Licenses and Permits $1,165,779 $1,201,480 $1,526,596 $1,358,390 $1,993,000 $1,750,165
Fines and Forfeitures
Court Fines $256,774 $195,091 $192,158 $234,250 $221,790 $236,240
JCEF/CCEF Revenue $8,831 $0 $583 $0 $0 $0
Total Fines and Forefeitures $265,605 $195,091 $192,741 $234,250 $221,790 $236,240
Community Center
Rental Fees $71,057 $132,003 $179,248 $179,300 $146,927 $161,527
Bar Sales/Commission $41,290 $61,027 $39,091 $55,700 $28,193 $52,148
Total Community Center $112,347 $193,030 $218,339 $235,000 $175,120 $213,675
Miscellaneous
Leases $36,556 $56,741 $63,456 $63,000 $63,000 $65,475
Donations $12,760 $10,000 $0 $0 $0 $0
Interest on Investments $188,681 ($53,214) $73,005 $100,000 $125,000 $130,000
Miscellaneous $1,729,801 $147,262 $175,490 $50,000 $80,000 $50,000
Total Miscellaneous $1,967,798 $160,789 $311,951 $213,000 $268,000 $245,475
Transfer from County $0 $0 $0
Transfer from Development Fees $0 $137,300 $0
Transfer from MPC (BNY)$0 $1,255,000 $0
TOTAL GENERAL FUND REVENUES $14,088,326 $13,370,240 $13,643,823 $14,209,907 $14,854,127 $15,856,164
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 38 -
All Funds Revenue Summary – continued
FY 2001-2002 FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Actual Budget Estimate Proposed
Source of Revenues
SPECIAL REVENUE FUNDS
Highway Users Revenue Funds
Local Transportation (LTAF) $114,861 $115,691 $115,339 $113,700 $113,700 $113,700
Highway Users $1,254,817 $1,310,997 $1,400,448 $1,390,900 $1,460,500 $1,598,850
In Lieu Payments $7,648 $298 $3,701 $1,500 $6,500 $4,500
Interest $37,422 $31,775 $28,597 $19,000 $5,000 $8,000
Miscellaneous $0 $7,410 $0 $1,000 $35,000 $1,000
Transfers $588,079 $0 $500,000
Total Highway Users Revenue Fund $2,002,827 $1,466,170 $1,548,085 $1,526,100 $1,620,700 $2,226,050
Excise Tax Special Revenue
Mountain Bonds $804,959 $1,084,814 $909,846 $666,570 $681,070 $745,089
Civic Center MPC $0 $0 $0 $350,000 $350,000 $360,545
Downtown Development $271,065 $358,978 $297,414 $329,535 $329,535 $360,545
Total Excise Tax Special Revenue $1,076,024 $1,443,792 $1,207,260 $1,346,105 $1,360,605 $1,466,179
Court Special Revenue
Court Enhancement Fund $0 $118,747 $51,288 $70,000 $23,300 $23,300
Total Court Special Revenue $0 $118,747 $51,288 $70,000 $23,300 $23,300
Community Center FF&E
Donations $174,000 $117,200 $0 $0 $0 $0
Total Community Center FF&E $174,000 $117,200 $0 $0 $0 $0
Grants
FEMA $84,769 $0 $67,500 $0 $50,000
AZ Dept of Transportation $0 $0 $0 $0 $175,000
Proposition 202 $0 $75,000 $50,000 $55,000 $0
LTAF II $28,601 $0 $53,006 $68,125
Miscellaneous Grants $120,586 $59,244 $0 $1,375,000 $0 $1,437,000
Total Grants $120,586 $144,013 $103,601 $1,492,500 $108,006 $1,730,125
TOTAL SPECIAL REVENUE FUNDS $3,373,437 $3,289,921 $2,910,234 $4,434,705 $3,112,611 $5,445,654
DEBT SERVICE FUNDS
General Obligation Bonds
Secondary Property Tax $1,341,025 $1,447,580 $1,564,923 $1,450,000 $1,450,000 $1,150,000
Interest $953 $179 $0 $1,000 $1,300 $1,400
Total General Obligation Bonds $1,341,978 $1,447,759 $1,564,923 $1,451,000 $1,451,300 $1,151,400
HURF Street Paving Transfers $135,861 $126,000 $124,417 $124,000 $124,000 $110,500
Eagle Mountain CFD $715,494 $262,641 $577,585 $513,000 $513,000 $405,600
Community Center MPC $407,634 $385,022 $377,813 $375,500 $375,500 $387,000
Cottonwoods Maintenance District $0 $0 $0 $3,200 $3,200 $3,300
Cottonwoods Improvement District $4,520 $4,480 $3,622 $4,500 $4,500 $3,850
TOTAL DEBT SERVICE FUNDS $2,605,487 $2,225,902 $2,648,360 $2,471,200 $2,471,500 $2,061,650
DEVELOPMENT FEES
Law Enforcement Development Fees $10,843 $6,573 $9,814 $11,742 $16,600 $12,082
Street Department Development Fees $144,761 $96,705 $139,990 $154,475 $199,500 $260,740
Parks & Recreation Development Fees $176,759 $192,463 $268,018 $410,480 $474,060 $425,880
Open Space Development Fees $198,023 $212,684 $296,402 $456,948 $527,400 $482,608
General Government Development Fees $160,338 $96,234 $141,417 $165,996 $233,600 $175,566
TOTAL DEVELOPMENT FEES $690,724 $604,658 $855,641 $1,199,641 $1,451,160 $1,356,876
CAPITAL PROJECTS FUND
Miscellaneous $0 $21,700 $30,000 $25,000
Local Sls Tax - CIP $0 $120,340 $528,225 $528,225 $528,225
Community Center MPC $0 $0 $0 $0
Civic Center Phase II Bonds $0 $0 $3,500,000 $3,783,896 $0
LWCF Proceeds $0 $0 $237,300 $237,300 $0
Transfers $13,826,973 $2,189,660 $979,920 $1,371,775 $1,577,775 $3,193,727
Mountain Bonds $0 $0 $0 $0 $0
Library Museum -$0$0$0
Developer Contributions - $317,500 $0 $0
TOTAL CAPITAL PROJECTS FUND $13,826,973 $2,189,660 $1,121,960 $5,954,800 $6,157,196 $3,746,952
TOTAL ALL FUNDS $34,584,947 $21,680,381 $21,180,018 $28,270,253 $28,046,594 $28,467,296
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 39 -
All Funds Expenditures
FY 2001-2002 FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Actual Budget Estimate Proposed
Fund/Department
GENERAL FUND
Community Center $1,023,873 $570,926 $383,579 $435,997 $437,196 $871,824
Municipal Court $337,469 $278,915 $296,272 $340,850 $329,953 $362,275
Town Council $102,491 $66,272 $77,106 $60,010 $55,885 $110,663
Administration $1,378,657 $1,378,657 $845,142 $1,241,885 $1,000,244 $1,209,308
Information Technology $213,318 $119,130 $137,225 $166,231 $153,276 $361,455
Planning & Zoning $347,581 $272,798 $212,541 $398,480 $375,467 $742,240
Building Safety $524,116 $379,879 $548,472 $494,930 $504,765 $652,845
Public Works $1,181,919 $942,589 $932,423 $1,193,235 $1,149,929 $1,361,804
Recreation $740,576 $620,751 $462,726 $534,745 $504,198 $597,714
Parks $812,452 $719,690 $633,717 $767,095 $761,797 $1,071,960
Senior Services $0 $0 $0 $0 $0 $174,400
Law Enforcement $2,607,125 $2,440,402 $1,708,052 $1,796,670 $1,796,186 $1,903,894
Fire Department $1,819,291 $2,324,935 $2,342,412 $2,481,751 $2,473,731 $2,698,593
Operational&Community Support $1,552,170 $1,684,296 $1,809,642 $2,984,392 $1,728,800 $2,701,017
Contingency $1,346,023 $29,539 $10,704 $50,000 $50,000 $75,000
Transfers (In)/Out to CIP $1,075,000 ($152,375) $910,250 $940,752 $940,752 $861,344
TOTAL GENERAL FUND $15,062,061 $11,680,585 $11,310,262 $13,887,023 $12,262,179 $15,756,336
SPECIAL REVENUE FUNDS
Highway Users $2,011,832 $1,278,353 $1,400,343 $1,700,962 $1,593,906 $2,387,403
AZ Commission on the Arts $2,500 $2,500 $2,500 $0 $0 $0
FEMA Grant $0 $0 $0 $75,000 $0 $50,000
ADOT Grant $0 $0 $0 $0 $0 $175,000
Community Center FF&E $51,706 $51,924 $28,634 $180,770 $15,000 $40,000
Court Special Revenue (CCEF) $0 $0 $0 $100,000 $60,000 $30,000
Proposition 202 $0 $0 $65,320 $50,000 $64,692 $0
LTAF II - RPTA $0 $0 $28,601 $0 $53,006 $68,125
Miscellaneous Grants $0 $0 $0 $1,375,000 $0 $1,437,000
Total Special Revenue $2,066,038 $1,332,777 $1,525,398 $3,481,732 $1,786,604 $4,187,528
Excise Tax Special Revenue
Mountain Bonds $520,315 $607,411 $637,061 $617,532 $617,532 $645,102
MPC - Civic Center Phase II $0 $0 $0 $350,000 $255,480 $270,000
Downtown Development $50,000 $0 $56,302 $535,742 $331,813 $900,681
Total Excise Tax Special Revenue $570,315 $607,411 $693,363 $1,503,274 $1,204,825 $1,815,783
TOTAL SPECIAL REVENUE FUNDS $2,636,353 $1,940,188 $2,218,760 $4,985,006 $2,991,429 $6,003,312
DEBT SERVICE FUNDS
General Obligation Bonds
Bond Payment - GO $338,220 $349,690 $359,239 $355,000 $355,000 $360,000
Bond Payment - Lakeside $142,000 $137,500 $132,250 $132,500 $132,500 $125,000
Bond Payment - Library/Museum $397,075 $382,975 $368,425 $390,000 $390,000 $399,000
Bond Payment - Mtn Preserve GO $402,000 $513,200 $500,400 $520,000 $520,000 $499,000
Total General Obligation Bonds $1,279,295 $1,383,365 $1,360,314 $1,397,500 $1,397,500 $1,383,000
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 40 -
All Funds Expenditures – continued
FY 2001-2002 FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Actual Budget Estimate Proposed
Fund/Department
Special Districts/MPC Debt Service:
Bond Payment - HURF $135,861 $126,223 $122,533 $124,000 $124,000 $110,500
Bond Payment - Cottonwoods ID. $3,821 $4,245 $4,160 $4,500 $4,500 $3,850
MPC - Community Center $392,000 $385,022 $377,813 $375,500 $375,500 $387,000
Eagle Mountain CFD $321,526 $512,425 $514,814 $513,000 $471,830 $355,600
Total Special District Debt Service $853,208 $1,027,915 $1,019,320 $1,020,200 $975,830 $856,950
TOTAL DEBT SERVICE FUNDS $2,132,503 $2,411,280 $2,379,634 $2,417,700 $2,373,330 $2,239,950
DEVELOPMENT FEES
Law Enforcement Development Fees $0 $0 $0 $40,068 $40,068 $16,848
Street Department Development Fees $0 $7,000 $201,150 $365,000 $319,000 $295,000
Parks & Recreation Development Fees $80,954 $0 $0 $356,000 $356,000 $603,700
Open Space Development Fees $0 $14,105 $13,049 $129,100 $129,100 $129,800
General Government Development Fees $185,500 $0 $0 $390,955 $390,955 $244,687
TOTAL DEVELOPMENT FEES $266,454 $21,105 $214,199 $1,281,123 $1,235,123 $1,290,035
CAPITAL PROJECTS FUND
Civic Center Phase II $0 $362,500 $520,590 $5,421,700 $5,402,000 $956,500
Parks & Recreation $0 $45,000 $771,970 $901,670 $206,000
Streets $0 $0 $0 $0 $135,000
Capital Contingency $13,750,000 $0 $0 $317,500 $0 $0
TOTAL CAPITAL PROJECTS FUND $13,750,000 $362,500 $565,590 $6,511,170 $6,303,670 $1,297,500
TOTAL ALL FUNDS $33,847,371 $16,415,657 $16,688,445 $29,082,021 $25,165,731 $26,587,132
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 41 -
Budgeted Expenditure by Account Code – All Funds
Gen Fund Special Revenue Development Debt Capital TOTAL % of
TOTALS Funds Fees Service Projects ALL FUNDS Total
5200 Wages $3,312,173 $39,375 $0 $3,807,785 14.3%
5201 FICA $75,503 $580 $0 $82,783 0.3%
5202 Unemployment Insurance $5,763 $49 $0 $6,536 0.0%
5203 Employee's Health Insurance $357,193 $3,548 $0 $426,975 1.6%
5204 Employee's Life Insurance $10,122 $142 $0 $11,810 0.0%
5205 Employee's Dental Insurance $40,577 $362 $0 $47,743 0.2%
5206 Employee's Eye Insurance $2,448 $23 $0 $2,911 0.0%
5207 Worker's Compensation Insurance $52,462 $121 $0 $88,981 0.3%
5208 Employee's Retirement Fund $319,052 $4,331 $0 $373,570 1.4%
5209 Recruitment Costs $0 $0 $0 $0 0.0%
5211 Disability Insurance $14,536 $197 $0 $17,014 0.1%
Total Wages & Salaries $4,189,827 $48,729 $0 $0 $4,866,106 18.3%
5901 Accounting Fees $15,025 $0 $0 $20,400 0.1%
5902 Professional Fees $288,910 $40,000 $0 $338,910 1.3%
5903 Legal Fees $352,660 $0 $0 $361,910 1.4%
5906 Jail/Prisoner Fees $36,575 $0 $0 $36,575 0.1%
5908 Engineering Fees $196,525 $0 $0 $196,525 0.7%
5907 Rabies & Animal Control $32,275 $0 $0 $32,275 0.0%
5915 Elections Expense $25,000 $0 $0 $25,000 0.1%
5920 Intergovernmental Agreements $4,500 $0 $0 $4,500 0.0%
5929 Special Programs - RPTA $22,708 $68,125 $0 $90,833 0.3%
5930 Special Programs - Chamber $0 $0 $0 $0 0.0%
5932 Special Programs $62,754 $0 $0 $62,754 0.2%
5933 Youth And Teens $10,940 $0 $0 $10,940 0.0%
5935 Sports Activities $52,945 $0 $0 $52,945 0.2%
5936 Spec.Programs-Constituent Comm $39,100 $0 $0 $39,100 0.1%
5939 Boys & Girls Club $160,000 $0 $0 $160,000 0.6%
5940 Senior $83,650 $0 $0 $83,650 0.3%
5941 McDowell Mtn Preservation $24,000 $0 $0 $24,000 0.1%
5945 FH Theater $50,000 $0 $0 $50,000 0.2%
5947 Tourism $125,000 $0 $0 $125,000 0.5%
5950 Sheriff's Contract $1,835,044 $0 $0 $1,835,044 6.9%
5955 Rural Metro Contract $2,615,988 $0 $0 $2,615,988 9.8%
5980 Sales Tax Rebates $877,750 $51,469 $0 $929,219 3.5%
Total Contract Services $6,911,349 $159,594 $0 $0 $0 $7,095,568 26.7%
6400 Vehicle Repairs & Maintenance $56,980 $0 $0 $90,980 0.3%
6402 Road Repair & Maintenance $0 $50,000 $0 $196,150 0.7%
6403 Equipment Rental $3,500 $0 $0 $4,000 0.0%
6404 Building Repairs & Maintenance $130,650 $0 $0 $134,150 0.5%
6405 Office Equip. Repairs & Maint.$108,695 $0 $0 $109,195 0.4%
6406 Major Road Improvements $0 $0 $0 $1,142,931 4.3%
6410 Field Preparation/Maintenance $112,500 $0 $0 $112,500 0.4%
6415 Mowing/Landscape Maintenance $422,710 $0 $0 $422,710 1.6%
6420 DAM/WASH MAINTENANCE $166,645 $0 $0 $166,645 0.6%
Total Repairs & Maintenance $1,001,680 $50,000 $0 $0 $0 $2,379,261 8.9%
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 42 -
Budgeted Expenditure by Account Code – All Funds – continued
Gen Fund Special Revenue Development Debt Capital TOTAL % of
TOTALS HURF Funds Fees Service Projects ALL FUNDS Total
6501 Advertising/Signage $58,000 $0 $0 $58,300 0.2%
6505 Conferences $45,340 $5,075 $0 $53,670 0.2%
6507 Continuing Education $41,880 $450 $0 $46,085 0.2%
6508 Dues & Publications $61,600 $600 $0 $67,375 0.3%
6509 Dues - GPEC $0 $0 $0 $0 0.0%
6511 Electricity Expense $304,775 $0 $0 $334,775 1.3%
6514 Gas & Oil Expense $58,655 $0 $0 $87,585 0.3%
6517 Liability Insurance $221,382 $0 $0 $338,382 1.3%
6520 Office Supplies $77,405 $300 $0 $79,205 0.3%
6525 Tools, Shop Supplies $4,950 $0 $0 $9,950 0.0%
6526 Firefighting Equipment $700 $0 $0 $700 0.0%
6529 Postage $28,700 $0 $0 $28,700 0.1%
6530 Bar Supplies $14,300 $0 $0 $14,300 0.1%
6531 Printing $30,600 $2,000 $0 $33,100 0.1%
6534 Rent Expense $659,000 $0 $0 $659,000 2.5%
6537 Communication Expense $99,974 $0 $0 $105,406 0.4%
6546 Water/Sewer $121,300 $0 $0 $124,500 0.5%
6548 Travel Expense $6,350 $660 $0 $7,110 0.0%
6549 Uniforms $12,385 $0 $0 $20,385 0.1%
6550 Weapons and Ammunition $0 $0 $0 $0 0.0%
6560 Bank Charges $11,500 $0 $0 $11,500 0.0%
6650 CCEF Expenditures $0 $0 $0 $0 0.0%
Total Supplies & Services $1,858,796 $9,085 $0 $0 $0 $2,080,028 7.8%
$0
8010 Capital Outlay - Vehicles $55,000 $175,000 $0 $265,000 1.0%
8020 Capital Outlay - Furn & Equip.$80,000 $30,000 $0 $110,000 0.4%
8025 Capital Outlay - Computers $44,500 $0 $0 $44,500 0.2%
8026 Capital Outlay - Software $35,540 $0 $0 $35,540 0.1%
8090 Capital Expend. - Improvements $256,300 $830,000 $1,290,035 $1,297,500 $3,673,835 13.8%
Total Capital/Contingency $471,340 $1,035,000 $1,290,035 $0 $1,297,500 $4,128,875 15.5%
9000 Debt Service $0 $876,500 $0 $2,239,950 $3,226,950 12.1%
9090 Transfers $1,248,344 $0 $1,298,344 4.9%
9999 Contingency $75,000 $1,437,000 $0 $1,512,000 5.7%
Total Debt/Transfers $1,794,684 $3,348,500 $1,290,035 $2,239,950 $1,297,500 $10,166,169 38.2%
GRAND TOTAL $15,756,336 $3,615,908 $1,290,035 $2,239,950 $1,297,500 $26,587,132 100.0%
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 43 -
General Fund Revenues and Expenditures Summary
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
REVENUES
3010 State Sales Tax 1,582,535 1,702,374 1,747,300 1,795,000 1,914,315
3015 Fire Insurance Premium Tax 207,244 143,396 88,000 88,000 92,400
3020 State Income Tax 2,153,635 1,824,577 1,862,500 1,862,500 2,126,144
3030 Vehicle License Tax 797,344 819,497 824,900 824,900 842,300
3205 Local Sales Tax 5,051,871 6,543,988 7,249,767 7,249,767 7,932,000
3210 Business License Fees 99,004 103,372 95,540 114,000 111,040
3220 Building Permits 1,007,036 1,343,551 1,197,500 1,750,000 1,564,000
3225 Animal License Fees 25,335 32,547 34,500 33,000 32,675
3230 Court Fines & Fees 195,091 192,158 234,250 221,790 236,240
3240 Rezoning/Variance/Special Use 32,560 25,773 15,850 66,000 21,450
3242 Improvement Plan Review Fee 37,545 21,353 15,000 30,000 21,000
3244 Encroachment Permit Fees 107,267 68,359 50,000 70,000 25,000
3250 Subdivision Fees 28,378 21,415 15,000 19,500 21,400
3260 Franchise Fees 152,542 126,362 150,000 125,000 160,000
3270 Parks & Recreation User Fees 146,734 146,334 181,800 161,550 193,000
3272 Senior Services Fees 0 0 0 0 104,050
3280 Rental 132,003 179,248 179,300 146,927 161,527
3282 Bar Sales/Commission 61,027 39,091 55,700 28,193 52,148
3285 Cellular Lease Payment 56,741 63,456 63,000 63,000 65,475
3290 Interest/Investment Income (53,214) 73,005 100,000 125,000 130,000
3295 Donations 10,000 0 0 0 0
3299 Miscellaneous 147,262 175,490 50,000 80,000 50,000
TOTAL CURRENT REVENUE $11,977,942 $13,643,823 $14,209,907 $14,854,127 $15,856,164
020 Mayor and Town Council 66,272 77,106 60,010 55,885 110,663
050 Administration 1,378,657 845,142 1,241,885 1,000,244 1,209,308
050 Information Technology 119,130 137,225 166,231 153,276 361,455
060 Building Safety 379,879 548,472 494,930 504,765 652,845
061 Public Works 942,589 932,423 1,193,235 1,149,929 1,361,804
080 Planning and Zoning 272,798 212,541 398,480 375,467 742,240
081 Recreation 620,751 462,726 534,745 504,198 597,714
081 Parks 719,690 633,717 767,095 761,797 1,071,960
095 Community Center 570,926 383,579 435,997 437,196 871,824
096 Senior Center 0 0 0 0 174,400
090 Law Enforcement 2,440,402 1,708,052 1,796,670 1,796,186 1,903,894
092 Fire Department 2,324,935 2,342,412 2,481,751 2,473,731 2,698,593
040 Municipal Court 278,915 296,272 340,850 329,953 362,275
999 Operational & Community Support 1,684,296 1,809,642 2,984,392 1,728,800 2,701,017
999 Non Departmental 29,539 10,704 50,000 50,000 75,000
9090 Previously Approved Capital Projects (152,375) 910,250 940,752 940,752 861,344
TOTAL EXPENDITURES $11,676,405 $11,310,262 $13,887,023 $12,262,179 $15,756,336
EXCESS OF REVENUES OVER/
(UNDER) EXPENDITURES 301,537 2,333,561 322,884 2,591,948 99,828
Transfer to CIP $0 $0 $0 ($2,570,848) ($99,828)
Fund Balance Beginning of Year $3,736,325 $4,037,862 $5,375,399 $6,371,423 $6,392,523
Ending Fund Balance $4,037,862 $6,371,423 $5,698,283 $6,392,523 $6,392,523
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 44 -
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Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 45 -
General Fund Revenues
General fund operating revenues are estimated at $15,856,164 for FY05-06. The following charts
will summarize operating revenues by major source, as well as provide a ten-year history. The
following charts highlight the trends, account codes, restrictions on usage, major influences, and
assumptions for the FY05-06 estimate.
Licenses and
Permits
11%
Fines &
Forfeitures
1%
Community
Center
1%
Miscellaneous
2%Shared Revenues
31%
Local Sales Tax
52%
Charges for
Services
2%
Sources of Funds - General Fund
where the money comes from
Total General Fund Available - $15,856,164
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 46 -
State Shared Sales Tax
$0
$200,000
$400,000
$600,000
$800,000
$1,000,000
$1,200,000
$1,400,000
$1,600,000
$1,800,000
$2,000,000
1996-97 1997-98 1998-99 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05
(est.)
2005-06
(est.)
STATE SHARED SALES TAX
FY1997 through FY2006
Percent
Restrictions Fiscal Year Amount Change
1996-97 $998,459 20.3%
1
1997-98 $1,054,548 5.6%
1998-99 $1,130,422 7.2%
1999-00 $1,242,559 9.9%
2000-01 $1,320,401 6.3%
2001-02 $1,559,318 18.1%
1
2002-03 $1,582,535 1.5%
2003-04 $1,702,374 7.6%
2004-05 (est.) $1,795,000 5.4%
Account: 3010 2005-06 (est.) $1,914,315 6.6%
1 Increase as a result of mid-decade census population growth
Assumptions
The State assesses a 6.3% sales tax, of which cities and towns share in the collections based on the relation of its
population to the total population of all incorporated cities and towns using the 2000 census figures (Fountain Hills
represents .005% of the state total). The FY 2005-2006 revenue projection is based on the State's Joint Legislative
Budget Committee forecast for Sales and Use Tax for the State of Arizona.
Major Influences: Construction Activity, Retail Sales, Population and Economy
No restrictions on usage. Must be expended for public
purposes.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 47 -
State Income Tax
$0
$500,000
$1,000,000
$1,500,000
$2,000,000
$2,500,000
1996-97 1997-98 1998-99 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05
(est.)
2005-06
(est.)
STATE SHARED INCOME TAX
FY1997 through FY2006
Percent
Restrictions Fiscal Year Amount Change
1996-97 $1,071,161 39.8%
1
1997-98 $1,210,113 13.0%
1998-99 $1,412,702 16.7%
1999-00 $1,567,610 11.0%
2000-01 $1,688,004 7.7%
2001-02 $2,110,536 25.0%
1
2002-03 $2,153,635 2.0%
2003-04 $1,826,315 -15.2%
Account: 3020 2004-05 (est.) $1,862,500 2.0%
1 Increase as a result of mid-decade census population growth 2005-06 (est.) $2,126,144 14.2%
Assumptions
A 1972 citizen's initiative gave the cities and towns a percentage share of the state income tax, officially called urban
revenue sharing; Arizona cities and towns receive 15% of the State's income tax collections. This state shared
revenue is distributed to cities and towns based on the relation of their population to the total population of all
incorporated cities and towns in the state according to the latest census. Amounts distributed are based on actual
income tax collections from two years prior to the fiscal year in which the Town receives the funds. The projection
for FY2005-2006 is provided by the League of Arizona Cities and Towns and based on the projections prepared by
the State's Joint Legislative Budget Committee (JLBC).
Major Influences: Personal Income, Corporate Net Profits, Population and State Policy
No restrictions on usage. Must be expended for public
purposes.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 48 -
Vehicle License Tax
Percent
Restrictions Fiscal Year Amount Change
1996-97 $378,103 38.4%
1997-98 $403,775 6.8%
1998-99 $476,430 18.0%
1999-00 $524,796 10.2%
2000-01 $576,264 9.8%
2001-02 $667,570 15.8%
2002-03 $797,344 19.4%
2003-04 $819,497 2.8%
2004-05 (est.) $824,900 0.7%
Account: 3030 2005-06 (est.) $842,299 2.1%
Assumptions
Approximately 20% of the revenues collected for the licensing of motor vehicles is distributed to incorporated cities
and towns. The Town receives its share of the vehicle license tax collections based on its population in relation to the
total incorporated population of the county (0.7%). The remainder of the revenues collected are shared by schools,
counties, and the state. The fiscal year 2005-2006 estimate is based on receiving 0.7% of the mid-point between
Maricopa County's most likely ($127,876,968) and pessimistic ($112,779,909) projection.
Major Influences: Automobile sales, Population, and State Policy
No restrictions on usage. Must be expended for public
purposes.
$0
$100,000
$200,000
$300,000
$400,000
$500,000
$600,000
$700,000
$800,000
$900,000
1996-97 1997-98 1998-99 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05
(est.)
2005-06
(est.)
VEHICLE LICENSE TAX
FY1997 through FY2006
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 49 -
Local Sales Tax
Percent
Restrictions Fiscal Year Amount Change
1996-97 $2,664,923 65.5%
1997-98 $2,920,084 9.6%
1998-99 $3,394,152 16.2%
1999-00 $4,087,514 20.4%
2000-01 $4,923,174 20.4%
1
2001-02 $4,355,701 -11.5%
2002-03 $5,051,871 16.0%
1
2003-04 $7,733,643 53.1%
2004-05 (est.) $9,571,666 23.8%
2005-06 (est.) $9,902,388 3.5%
Account: 3205
1 Rate increase
Assumptions
The local sales tax rate in Fountain Hills is 2.6% - total receipts are estimated to be $9,902,388; 2.2% is available for
general public purpose ($7,931,984). The remaining .4% is dedicated to bond payments (0.3%) $1,081,634 and
downtown development (0.1%) $360,545. Residential rental and advertising tax receipts are reserved for capital
projects and are estimated to provide $528,225. Construction related sales tax activity provides 21% of local sales tax
revenue. Projected projects for FY05-06 consists of multi-family development at Firerock, Summit, Enclave and
Fountain Mist (130 units). Retail activity represents 43% of the total, compared to 40% in the prior year, a result of
additional retail development at Four Peaks Plaza. Transportation/utilities provide 12% of the total receipts.
Major Influences: Economy, Construction Activity, Retail Sales, Public Policy
Of the total proceeds from the 2.6% tax rate 0.2% of the revenue is
restricted for repayment of mountain bonds purchased through the
Municipal Property Corporation (MPC), 0.1% for civic center bond
payments and 0.1% for Downtown Development. Excess proceeds
are not restricted but must be expended for public purpose.
$0
$1,000,000
$2,000,000
$3,000,000
$4,000,000
$5,000,000
$6,000,000
$7,000,000
$8,000,000
$9,000,000
$10,000,000
1996-97 1997-98 1998-99 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05
(est.)
2005-06
(est.)
LOCAL SALES TAX
FY1997 through FY2006
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 50 -
Fines and Forfeitures
Percent
Restrictions Fiscal Year Amount Change
1996-97 $209,485 -0.9%
1997-98 $208,900 -0.3%
1998-99 $259,453 24.2%
1999-00 $293,910 13.3%
2000-01 $310,359 5.6%
2001-02 $265,605 -14.4%
2002-03 $195,091 -26.5%
2003-04 $192,158 -1.5%
Account: 3230 2004-05 (est.) $221,790 15.4%
2005-06 (est.) $236,240 6.5%
Assumptions
Magistrate Court fines come from traffic violations and other fines paid for the violation of municipal ordinances.
The decline in fines and forfeitures beginning in fiscal year 2001-2002 is related to the elimination of duplicate law
enforcement within the Town. The estimate for FY2005-2006 is based on maintaining the same level of traffic
enforcement activity.
Major Influences: Population, Enforcement, Public Policy
No restrictions on usage. Must be expended for public purpose.
$0
$50,000
$100,000
$150,000
$200,000
$250,000
$300,000
$350,000
1996-97 1997-98 1998-99 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05
(est.)
2005-06
(est.)
FINES & FORFEITURES
FY1997 through FY2006
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 51 -
Building Related Fees
Percent
Restrictions Fiscal Year Amount Change
1996-97 $1,759,326 4.2%
1997-98 $1,912,468 8.7%
1998-99 $2,433,602 27.2%
1999-00 $2,547,521 4.7%
2000-01 $2,127,305 -16.5%
2001-02 $1,275,891 -40.0%
2002-03 $1,213,553 -4.9%
2003-04 $1,461,030 20.4%
2004-05 (est.) $1,675,000 14.6%
Accounts: 3220-3250 2005-06 (est.) $1,652,830 -1.3%
Assumptions
Revenues from this source include the fees collected from building permits, rezoning, improvement plan, encroachment
and subdivision plans. The sharp decline from 2001 is due to the decrease in production home building. The remaining
lots will have custom homes with higher than average valuations. The estimates for FY2005-06 are based on construction
activity provided by local engineering firms, the local developer and planning staff. The projected number of permits for
next fiscal year is 140 single family (180 last fiscal year), 230 multi-family units (213 last fiscal year), and 6 commercial
projects (19 last fiscal year).
Major Influences: Population, Economy, Development, Public Policy
No restrictions on usage. Must be expended for public purpose.
$0
$500,000
$1,000,000
$1,500,000
$2,000,000
$2,500,000
$3,000,000
1996-97 1997-98 1998-99 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05
(est.)
2005-06
(est.)
BUILDING RELATED FEES
FY1997 through FY2006
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 52 -
License Fees
Percent
Restrictions Fiscal Year Amount Change
1996-97 $70,038 13.7%
1997-98 $81,125 15.8%
1998-99 $90,717 11.8%
1999-00 $100,134 10.4%
2000-01 $115,681 15.5%
2001-02 $112,173 -3.0%
2002-03 $124,292 10.8%
2003-04 $135,919 9.4%
Accounts: 3210, 3225 2004-05 (est.) $137,000 0.8%
2005-06 (est.) $143,715 4.9%
Assumptions
License fees are derived from a license tax on professions, occupations, businesses and animals within the Town. The
license fee is used primarily as a means of regulating businesses and animal control within the community. The
estimate for FY2005-2006 is based on 2,537 active business licenses and 2,804 animal licenses.
Major Influences: Economy, Enforcement
No restrictions on usage. Must be expended for public
purpose.
$0
$20,000
$40,000
$60,000
$80,000
$100,000
$120,000
$140,000
1996-97 1997-98 1998-99 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05
(est.)
LICENSE FEES
FY1997 through FY2006
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 53 -
Charges for Services
Percent
Restrictions Fiscal Year Amount Change
1996-97 $150,209 111.7%
1997-98 $656,283 336.9%
1998-99 $479,633 -26.9%
1999-00 $267,835 -44.2%
2000-01 $211,800 -20.9%
2001-02 $324,300 53.1%
2002-03 $341,479 5.3%
2003-04 (est.) $428,129 25.4%
Accounts: 3270, 3280, 3282, 3285 2004-05 (est.) $399,670 -6.6%
2005-06 (est.) $472,150 18.1%
Assumptions
Charges for services are collected from users of Town facilities (parks, community center) or programs (recreation). In
September 2001 a new Community Center opened providing a venue for weddings, banquets, civic meetings, etc. The
increase in FY2003-2004 reflects the new rates that were implemented by the Council in April 2003. The projection
for FY2006 was calculated based on the number of facility bookings that have been received and a factor for growth.
During FY1997-98 the master developer in Fountain Hills transferred Fountain Park to the Town which included a
monetary contribution for two years ($700,000); that subsidy expired in FY1999-00. Additional service charges are
collected from cellular providers for use of town property for their towers.
Major Influences: Population, Internal Policy on Rates
No restrictions on usage. Must be expended for public purpose.
$0
$100,000
$200,000
$300,000
$400,000
$500,000
$600,000
$700,000
96-97 97-98 98-99 99-00 2000-01 2001-02 2002-03 2003-04 2004-05
(est.)
2005-06
(est.)
CHARGES FOR SERVICES
FY1997 through FY2006
Recreation Comm. Center
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 54 -
General Fund Expenditure Summary
TOWN OF FOUNTAIN HILLS 2005-06 GENERAL FUND EXPENDITURE SUMMARY
Salaries Contract Repairs & Supplies Capital
Department & Benefits Services Maintenance & Services Outlay Total
Mayor and Town Council $39,763 $0 $0 $63,900 $0 $103,663
Administration $945,900 $126,398 $10,500 $126,510 $0 $1,209,308
Information Technology $0 $39,700 $78,895 $82,820 $160,040 $361,455
Law Enforcement $0 $1,903,894 $0 $0 $0 $1,903,894
Fire Department $0 $2,615,988 $33,700 $48,905 $0 $2,698,593
Municipal Court $337,820 $6,300 $1,200 $16,955 $0 $362,275
Parks & Recreation $692,940 $171,059 $337,750 $256,625 $211,300 $1,669,674
Community Center $357,324 $550 $16,300 $110,650 $387,000 $871,824
Senior Services $64,600 $91,650 $7,500 $10,650 $0 $174,400
Public Works $605,870 $187,025 $447,185 $91,724 $30,000 $1,361,804
Building Safety $560,500 $39,150 $2,200 $25,995 $25,000 $652,845
Planning & Zoning $585,110 $119,000 $800 $37,330 $0 $742,240
Contingency $50,000
Previously Approved Capital $861,344 $861,344
GENERAL FUND TOTALS $4,189,827 $5,300,714 $936,030 $872,064 $1,674,684 $13,023,319
% of General Fund 32.2% 40.7% 7.2% 6.7% 12.9% 100.0%
Uses of Funds - General Fund
where the money goes
Transfers (In)/Out
5%Operational/Com
munity Support
18%
Town C oun ci l
1%
Municipal Court
2%
Fire Department
17%
Law Enforcement
12%
Parks, Recreation,
Community
Center, Senior
Services
17%
Public Works,
Planning, Bldg
Safety
17%
Information
Technology
2%
Administration
8%
Total General Fund Budget - $15,756,336
Town of Fountain Hills
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
Town Council
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 55 -
Fountain Hills Town Council
Mayor Wally Nichols
Vice Mayor Jay Schlum
Councilmember Mike Archambault
Councilmember John Kavanagh
Councilmember Edwin Kehe
Councilmember Keith McMahan
Councilmember Jay Schlum
In Memory of Vice Mayor Kathleen Connelly Nicola
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 56 -
Town Council
Mission Statement ▬▬▬▬▬▬
Expenditures appearing in this section support the goals and objectives of the Mayor and Town
Council. These include maximizing public access to Council meetings, providing funding for
municipal elections, enhancing constituent communication, compensating and equipping the
Mayor and Town Council with the tools necessary to do their jobs; and promoting
communication and awareness of the Mayor, Town Council, and the Town with other
municipalities.
Salaries and Benefits $39,763
This category of expenditures includes the salary and related taxes for the Mayor and Council
members. The Mayor and Town Council have not increased their rate of pay since June 2000.
Contract Services $7,000
Included in this line item is an appropriation for miscellaneous consulting projects that the
Council may want to consider. In the past the Council has requested the services of an outside
consultant to conduct evaluations, this budget includes funding for such projects.
Supplies and Services $63,900
Elections for the Mayor and some Council members are held bi-annually with an average cost of
approximately $25,000. FY05-06 is an election year, therefore, an appropriation has been
included for the cost of both a primary and general election.
This category of expenditures also provides funding to purchase commemorative items for the
Mayor and Council to share with visiting dignitaries and promote Fountain Hills at the annual
Arizona League of Cities and Towns conference. An amount of $10,000 has been included this
year to fund participation in the Town’s strong cities celebration and the new Civic Center Phase
II grand opening.
During January of each fiscal year, the Council attends a goal setting and strategic planning
retreat to give them an opportunity to focus on issues such as budget priorities, economic
development, and council relations. The Council would like to attend other related opportunities
throughout the year such as League of Arizona Cities and Towns functions, Maricopa Association
of Government (MAG) workshops, National League of Cities conference, legislative events, and
seminars. The estimated cost for these events is $9,000.
Monies are also included for travel reimbursement, communications, publications, ads/notices,
printing, portraits, and miscellaneous office items.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 57 -
Summary Expenditures – Town Council
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Budget
SALARIES & BENEFITS $39,381 $39,387 $39,560 $39,685 $39,763
CONTRACTUAL SERVICES $0 $0 $0 $0 $7,000
REPAIRS & MAINTENANCE $0 $0 $0 $0 $0
SUPPLIES & SERVICES $26,891 $37,720 $20,450 $16,200 $63,900
CAPITAL EXPENDITURES $0 $0 $0 $0 $0
TOTAL EXPENDITURES $66,272 $77,106 $60,010 $55,885 $110,663
TOWN COUNCIL
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
SALARIES & BENEFITS
Wages 36,000 36,000 36,000 36,000 36,000
Employer Taxes 3,381 3,387 3,560 3,685 3,763
TOTAL $39,381 $39,387 $39,560 $39,685 $39,763
CONTRACT SERVICES
Professional Services 0 0 0 0 7,000
TOTAL $0 $0 $0 $0 $7,000
SUPPLIES & SERVICES:
Election Expense 24,483 23,328 0 0 25,000
Advertising 0 3,541 8,000 6,500 20,000
Conferences 0 198 2,500 1,500 9,000
Continuing Education 0 5,667 6,000 6,000 6,000
Office Supplies/Portraits 1,434 4,099 2,200 1,200 2,200
Printing 0 431 300 300 1,000
Communications 533 0 200 200 200
Travel 441 457 1,250 500 500
TOTAL $26,891 $37,720 $20,450 $16,200 $63,900
TOTAL EXPENDITURES $66,272 $77,106 $60,010 $55,885 $110,663
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 58 -
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Town of Fountain Hills
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
Administration
Information Technology
Operations and Community Support
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 59 -
Administration
Facilities Finances Human
Resources
Information
Technology
Finance
and
Administration
Town Clerk
Mission Statement
The Administration Department is dedicated to serving the citizens of Fountain Hills by
providing accurate and current information on Council legislation and administrative actions;
supporting the Town of Fountain Hills and its departments; providing for the delivery of
comprehensive financial services to internal and external customers; protecting the integrity of
Town assets; maintaining Town facilities; and delivering the finest municipal services to ensure
the highest quality of life for Fountain Hills residents.
Department Description
There are three divisions within the Administration Department that provide administrative
services for the Town government – Administration, Information Technology and Operational
and Community Support. The Administration division includes expenses of the Town Clerk,
Town Manager, Finance and Human Resources. Information Technology includes expenses
relating to computers, network, software, telephone and public information (Channel 11 and
web). The Operational Support division was created for FY05-06 to segregate the non-
departmental expenditures that had previously been included with the Administration Department
budget. This division accounts for expenses that apply to all functions of the Town government
such as legal fees, annual financial audit, facilities maintenance and utilities, liability insurance,
sales tax refunds and community benefit programs.
Performance Standards
• Issue business licenses within 5 working days
• Provide public access to Town Council legislation and insure the preservation of
legal documents
• Conduct elections in accordance with current state law and facilitate the public's
ability to vote
• Update the Town Code to reflect legislation enacted by the Council
• Maintain the Town’s “Certificate of Achievement for Excellence in Financial
Reporting”
• Maintain the Town’s “Distinguished Budget Presentation Award”
• Maintain the Town’s current Aa3 bond rating
• Provide facility management program that is fiscally responsible
• Provide a comprehensive personnel program based on merit principles
administered in compliance with applicable local, state, and federal laws
• Administer and coordinate all employee-related programs and benefits
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 60 -
Management Indicators
2003-2004 2004-2005 2005-2006
Actual Estimated Estimated
Number of resolutions processed 67 70 65
Number of ordinances processed 20 11 10
New business licenses 576 629 650
Business license renewals 1,465 1,492 1,550
Adopt-A-Street commercial/residential 59/56 65/59 60/59
Certificate of Achievement for Excellence in
Financial Reporting Award 7th year 8th year 9th year
Distinguished Budget Presentation Award 2nd year 3rd year 4th year
Sales tax recovered $131,962 $31,059 $24,000
Insurance claims managed 13 12 10
Bond rating Aa3 Aa3 Aa3
Fiscal Year 2004-2005 Accomplishments
• Initiated a strategic planning process with citizen involvement
• Reviewed five-year financial and capital improvement plan (CIP)
• Constructed Phase II of Civic Center (new Town Hall)
• Enhanced Town website by providing email updates for job postings, news releases, etc.
• Converted council packet material to electronic format
• Initiated review of development fee schedule
• Prepared council policy on commissions and committees
• Developed initial Succession Plan identifying key positions
• Revised and issued new employee manual
• Formed Public Safety Advisory Committee
Fiscal Year 2005-2006 Objectives
• Develop a public information and grant writing program
• Complete 5 year strategic plan for the Town
• Develop and achieve an intergovernmental relations and cooperation program with
neighboring communities
• Complete steps four and five of the Succession Plan – Demand and Supply; design a
Succession Management Plan form for completion by key positions
• Develop an operational contingency plan for fire service
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 61 -
Summary Expenditures – Administration (includes Information Technology)
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Budget
SALARIES & BENEFITS $940,398 $681,289 $935,900 $768,744 $945,900
CONTRACTUAL SERVICES $70,188 $93,707 $202,020 $132,750 $166,098
REPAIRS & MAINTENANCE $47,280 $57,947 $60,850 $59,050 $89,395
SUPPLIES & SERVICES $132,186 $134,971 $193,220 $176,850 $209,330
CAPITAL EXPENDITURES $150,668 $14,452 $16,126 $16,126 $157,540
TOTAL EXPENDITURES $1,340,721 $982,367 $1,408,116 $1,153,520 $1,568,263
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 62 -
Authorized Personnel
Salaries and Benefits $945,900
The proposed budget recommends an increase of 1.50 full-time equivalent positions, 2.50
positions lower than FY02-03 and only $10,000 more than the FY04-05 budget. The proposed
positions are the addition of an Assistant Town Manager (full-time) and converting a half time
clerical position to full time.
A public information/grant writing program is necessary to meet the council goals for a
comprehensive public information and grant program. These two programs could not be
completed with existing staff due to the amount of time required to meet the goal and the
expertise needed. At the request of the Town Council the recommended Public Information
Officer position was reclassified to Assistant Town Manager who will have the public
information responsibility.
Position – Title 2002-2003 2003-2004 2004-2005 2005-2006
Authorized Authorized Authorized Proposed
FTE FTE FTE FTE
Administration
Town Manager 1.00 1.00 1.00 1.00
Assistant Town Manager 0.00 0.00 0.00 1.00
Undesignated Position 2.00 0.00 0.00 0.00
Director of Admin/Town Clerk 1.00 0.00 0.00 0.00
Finance Director 1.00 1.00 1.00 1.00
Town Clerk 0.00 1.00 1.00 1.00
I. T. Administrator 1.00 0.00 0.00 0.00
I. T. Intern 0.50 0.50 0.50 0.00
Accountant 0.00 0.00 1.00 1.00
Accounting/H.R.Clerk 1.00 1.00 0.00 0.00
Accounting Clerk 0.00 0.00 1.00 1.00
Administrative Intern 1.00 0.00 0.00 0.50
Exec.Asst to Town Mgr/Council 1.00 1.00 1.00 1.00
Executive Assistant 1.00 0.00 0.00 0.00
Human Resources Administrator 1.00 1.00 1.00 1.00
I. T. Coordinator 1.00 1.00 1.00 1.00
Administrative Assistant 1.00 0.00 0.00 0.00
Facilities Supervisor 1.00 1.00 1.00 1.00
Facilities Maintenance Tech 0.00 0.00 1.00 1.00
Maintenance/Custodial Worker 1.00 1.00 0.50 0.50
Custodian 2.00 1.50 1.00 1.00
Customer Service Rep. 1.00 1.50 1.00 0.50
Administrative Clerk 0.00 0.00 0.50 1.00
Receptionist 0.00 0.00 0.00 0.50
Authorized FTE 18.50 12.50 13.50 15.00
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 63 -
In addition to regularly assigned duties for the Town Manager, Town Clerk, Finance, and back up
receptionist, the part-time administrative clerk has been providing increased support to the
administrative staff. Due to an additional demand for support services in manning the greeting
and reception station in the new Town Hall, as well as support for the Assistant Town Manager,
the additional hours are requested. The justifications for these positions are included in Appendix
A.
Contract Services $126,398
These funds provide for contracts with outside vendors who provide specialized functions for the
Town in the areas of sales tax auditing and project consultants as directed by the Town Council,
such as the strategic plan. The proposed budget includes the following:
annual cost of the contract with the sales tax auditor $24,000
transcription and payroll service $16,710
completion of the strategic plan $61,000
Also included under contract services is an intergovernmental agreement with Maricopa County
Human Services to provide two transportation service programs to the community with funding
provided by a grant from RPTA (Regional Public Transportation Authority). The special
transportation service program provides free medical, social and employment trips for eligible
residents (seniors, disabled, and low income) at an annual cost of $26,568. The shuttle program
is a town-wide public transit program available free of charge to all residents at an annual cost of
$64,264. These programs are currently funded 75% by proceeds from LTAF (Lottery) and 25%
matching funds from the General Fund. The LTAF funding is dependent upon sales of lottery
tickets within the state reaching $23M, proceeds after that are distributed to cities and towns
through RPTA to be used for transportation related expenses.
Repairs and Maintenance $10,500
This section of the budget funds vehicle maintenance for the departments three vehicles, as well
as maintenance on two Xerox copiers.
Supplies and Services $126,510
This category of expenditures for the Administration Department includes routine operating costs
associated with the Town Clerk, Town Manager, Finance and Human Resources functions. A
summary of proposed expenses is listed below:
Conferences for town manager, town clerk, finance director:
AZ League of Cities and Towns Conf. $ 6,500
International/AZ City Manager Association $ 4,000
Election Official workshop, clerk academy $ 750
Finance Officers Association conference $ 500
Education/Training for staff
staff tuition reimbursement $ 2,000
HR seminars/speakers $ 2,000
miscellaneous seminars $ 1,850
certification/continuing education $ 1,450
director off-site retreat $ 5,000
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 64 -
Dues/Publications
League of Arizona Cities/Towns $ 9,500
Greater Phoenix Economic Council $ 8,300
Maricopa Association of Governments $ 4,500
Professional memberships $ 3,000
West Group, Innovative Group $ 2,950
International/Arizona City Manager Assoc $ 1,500
Government Finance Officers Assoc. $ 1,015
Miscellaneous periodicals $ 1,700
Office Supplies
copy paper, supplies $ 5,200
general office supplies (calendars, toner) $ 7,200
staff holiday party $ 4,500
employee recognition awards $ 4,700
meeting refreshments (water, coffee) $ 2,000
dog tags, budget supplies $ 2,100
Printing
budget, annual report $ 2,900
letterhead/envelopes with new address $ 2,500
checks, business cards with new address $ 1,800
Communications
newsletters, strategic plan survey, Town Hall invitations $28,995
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 65 -
* Includes Information Technology wages and benefits.
ADMINISTRATION
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
SALARIES & BENEFITS:
Wages 757,212 563,634 751,200 637,061 769,700
FICA 16,267 10,477 20,100 14,600 17,500
Unemployment Insurance 733 814 1,200 1,212 1,200
Employee's Health Insurance 59,384 37,637 56,100 35,869 59,900
Employee's Life Insurance 587 1,360 2,100 1,676 2,400
Employee's Dental Insurance 6,668 5,355 7,400 5,070 7,400
Employee's Eye Insurance 669 0 0 0 500
Worker's Compensation Insurance 5,696 5,115 8,600 6,709 8,600
Employee's Retirement Fund 77,558 54,997 71,100 64,235 75,200
Recruitment Costs 13,446 0 15,000 0 0
Disability Insurance 2,178 1,900 3,100 2,312 3,500
TOTAL $940,398 $681,289 $935,900 $768,744 $945,900
CONTRACT SERVICES
Professional/Outside Services 45,436 49,900 97,920 90,900 101,710
Public Transit /RPTA 11,436 26,772 61,750 15,000 22,708
Civil Defense 1,502 1,523 1,850 1,850 1,980
TOTAL $630,622 $78,196 $161,520 $107,750 $126,398
REPAIRS & MAINTENANCE:
Vehicle Maintenance 1,406 1,163 2,500 2,500 2,500
Office Equipment Repairs 12,601 8,808 10,800 9,000 8,000
TOTAL $14,007 $9,970 $13,300 $11,500 $10,500
SUPPLIES & SERVICES:
Conferences 4,482 10,874 12,250 12,000 11,750
Education/Training 1,362 10,409 22,300 18,800 12,300
Dues & Publications 20,223 28,404 47,665 31,350 33,515
Gas & Oil 2,280 2,440 5,700 3,000 3,550
Office Supplies 22,585 15,150 15,700 20,000 25,700
Printing 3,659 4,255 4,950 4,500 7,200
Communications 0 0 20,000 20,000 28,995
Travel 3,449 3,893 2,100 2,100 2,100
Uniforms 1,635 262 500 500 1,400
TOTAL $59,675 $75,687 $131,165 $112,250 $126,510
TOTAL EXPENDITURES $1,644,702 $845,142 $1,241,885 $1,000,244 $1,209,308
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Operational & Community Support Division
This is a new division for FY05-06 that includes expenses previously included within the
Administration Department that are applicable to all functions of the Town government. The
types of expenses included within this division are overhead type costs and represents 18% of the
General Fund budget.
Contract Services $1,648,635
These funds provide for contracts with outside vendors who provide specialized functions for the
Town that are applicable to all departments.
Accounting Fees and Professional/Outside Services $15,025
The Town is required by law to have an annual audit conducted by an independent auditor at the
end of each fiscal year. The FY04-05 audit will be conducted in September, 2005, with a report
to the Council in mid-October.
Legal Fees
Legal fees include the services of the town attorney, town prosecutor, and specialized legal
services, if required, for bond transactions, employment issues, tax claims or other unanticipated
legal services. The FY05-06 budget contains the following estimated legal fees:
Town attorney $184,500
Town prosecutor $110,000
Sales tax refund claim $ 50,000
Public defender, unanticipated legal costs, etc. $ 6,360
Total $350,860
Operations/Community Support
Contract
Services
59%Repairs/Mainten
ance
2%
Capital
2%
Supplies/Services
37%
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 68 -
Community Benefit and Special Programs
Each fiscal year the Town of Fountain Hills receives requests from various community
organizations to support their organizations by including funding in the proposed budget. The
requests received for FY05-06 and the amounts are as follows: (individual requests are located in
Appendix B.)
Boys & Girls Club of Scottsdale (capital) $ 85,000
Boys & Girls Club of Scottsdale (operating) $ 75,000
Fountain Hills Community Theater $ 50,000
Fountain Hills Tourism Bureau $125,000
Total Requests $335,000
Sales Tax Rebates/Refunds $877,750
In July 2001, the Town Council entered into an economic development agreement with the Shea
Retail Center providing Target stores with a rebate of 50% of the local sales tax collected and
paid to the Town by the merchants doing business within the center. The terms of the agreement
provide for an amount not to exceed $989,000 or ten years, whichever comes first. The estimated
payment included in the FY05-06 budget is approximately $283,000, assuming that the local tax
rate remains at 2.6%. If the rate remains the same, it is estimated that the rebate will be paid in
full by FY06-07.
The Town has received requests from two taxpayers for refunds of local sales taxes previously
paid. The claims were rejected by the Town and have been appealed by the taxpayers. A budget
appropriation has been included in the event that the Town is not successful in the appeal.
The FY05-06 proposed budget also includes a refund of $50,000 to the Eagle Mountain
Community Facilities District for administrative fees that the Town charged to the District in
FY02-03. The community homeowners association has requested that these fees be refunded to
the District.
Repairs and Maintenance $65,650
This section of the budget funds maintenance for all overhead expenditures dealing with
maintaining and operating town-owned facilities. Budgeted amounts are based on an estimate of
what the costs will be in the new Town hall and includes an additional $20,000 in one-time costs
associated with the move from the leased facility to the new building. The following is a
breakdown of the costs:
HVAC (Heating, Ventilation and Air Conditioning) $15,000
Moving Costs (close-out, move in) $20,000
Chillers maintenance and inspections $ 5,350
Waste Collection $ 2,650
Cleaning Supplies $ 5,000
Electrical, plumbing, fuel station repairs $11,650
Kiwanis, Theater maintenance $ 2,000
Fire Stations maintenance $ 2,000
Maintenance/Repair Supplies (Home Depot, Paul’s, etc) $ 2,000
These costs assume that routine maintenance will be continue to done by in house staff and
outside service calls will be done only when technical service is required.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 69 -
Supplies and Services $1,011,732
This category of expenditures includes all routine operating costs associated with the Town
governmental functions. Operational & Community Support serves all other departments in the
areas of public notices, public facility utilities and/or rent, and liability insurance costs. The most
significant portion of supplies and services is an appropriation for rent in the current leased
building. The Town anticipates the move into the new Town hall prior to July 1, 2005; however,
in the event of unforeseen circumstances that may delay the move, this budget includes funding
for several months rent ($659,000). These costs were a major determining factor in making the
decision to construct a new municipal building that will save the taxpayers significant money
over the long-term.
Advertising
The annual cost of placing meeting notices, the annual budget, resolutions, and ordinances in the
local newspaper, includes costs associated with employee recognition and service awards. The
following is a breakdown of the costs:
Public notices, resolutions etc. $2,500
Employment ads $1,000
Recognition and service awards: $6,950
Miscellaneous promotional items, notices $1,500
Electricity/Water/Sewer
FY05-06 utility costs for Town-owned buildings are anticipated to reduce significantly with the
move to the new building ($145,200 last fiscal year). The following is a breakdown of the costs:
Town Hall $48,000
Kiwanis Building $ 900
Library/Museum $27,800
Liability Insurance $221, 382
The Town of Fountain Hills is a member of the Arizona Municipal Risk Retention Pool
(AMRRP), which provides municipal insurance to most Arizona cities and towns. The limit for
basic coverage is $2,000,000 per occurrence on a claims-made basis with excess coverage in the
amount of $8,000,000 is included in the premium. The anticipated increase in insurance includes
coverage for land use liability, liquor liability (for the community center), commuting coverage
and deductibles. The Town’s coverage maintains a $10,000 per occurrence deductible. There is
$20,000 included within this line item in the event two claims are made and the Pool settles on
behalf of the Town, as well as $5,000 for additional endorsements for any equipment added.
Capital Outlay $45,000
The FY05-06 budget includes a capital request to make ADA (Americans with Disabilities Act)
modifications to the two fire stations owned by the Town.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 70 -
OPERATIONAL & COMMUNITY SUPPORT
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
CONTRACT SERVICES
Accounting Fees 11,665 13,040 17,500 15,000 15,025
Legal Fees 446,474 360,794 330,700 330,700 350,860
Boys & Girls Club 20,000 130,000 150,000 145,000 160,000
Senior Center Services 10,000 40,000 55,000 55,000 0
Community Benefits/Theater 0 15,000 40,000 40,000 50,000
Tourism 65,489 50,677 75,500 75,500 125,000
Sales Tax Rebates 77,824 309,385 837,650 375,000 877,750
TOTAL $631,452 $918,896 $1,506,350 $1,036,200 $1,578,635
REPAIRS & MAINTENANCE:
Building Repairs & Maintenance 72,990 51,397 57,700 45,000 65,650
TOTAL $72,990 $51,397 $57,700 $45,000 $65,650
SUPPLIES & SERVICES:
Advertising 5,638 6,353 14,500 8,000 11,950
Electricity 139,648 157,190 138,350 145,200 76,700
Liability Insurance 421,811 253,996 318,610 203,400 221,382
Postage 16,951 15,258 25,600 16,000 28,700
Rent Expense 371,178 385,421 895,570 250,000 659,000
Water/Sewer 22,801 18,419 24,362 22,500 9,300
Bank Charges 1,828 2,712 3,350 2,500 4,700
TOTAL $979,854 $839,349 $1,420,342 $647,600 $1,011,732
CAPITAL EXPENDITURES
Capital Outlay - Improvements 0 0 0 0 45,000
TOTAL CAPITAL EXPENDITURES $0 $0 $0 $0 $45,000
TOTAL EXPENDITURES $1,684,296 $1,809,642 $2,984,392 $1,728,800 $2,701,017
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 71 -
Information Technology Division
Mission Statement
The mission of the Information Technology Division is to work in partnership with the Town
staff, facilitating their use of computing, telephone, and network technologies. The division also
endeavors to provide excellent information technology, internal and external customer support,
and resources to enable and encourage staff to effectively use technology to achieve town-wide
missions and strategic goals.
Division Description
Information Technology (I/T Division) functions are incorporated within the Administration
Department but the appropriation is shown separately to highlight the total investment in
technology. Responsibilities include all aspects of Information Technology: computers, the
Internet, town website, local and wide-area networks, inter-networking, voice and data
communications systems, and cablecast technologies (Channel 11). All hardware and software
requests in this section are based on departmental requests.
Performance Standards
• Coordinate and implement technology related purchases and processes Town-wide.
• Enhance the functionality of the Information Technology division.
• Expand and enhance internal training programs.
• Act as technology consultant and coordinator for Town departments to aid in
identification, selection, and implementation of technology driven or assisted needs.
• Develop enterprise-wide technology architecture to drive standards that enable
information sharing and maximize return on technology investments.
• Provide strategic I/T services and serve as an enabler to improve the delivery of Town
services and improve the efficiency, productivity, and financial performance of Town
operations.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 72 -
Management Indicators
Fiscal Year 2004-2005 Accomplishments ▬▬▬▬▬▬
• Creation of Public Information Group, also known as PIG, with representatives from each
department responsible for revolutionizing the Town’s Website, Intranet, and
Government Access Channel 11.
• Assisted Clerk’s Office with institution of electronic council packets.
• Increased network reliability thru the implementation of redundant power backup systems
on all segments of data network.
• Installation of Fountain Park and Civic Center Phase II Webcams for live viewing on
Town’s website.
• Coordinated Microsoft Excel training class at Community Center for all Town staff.
Fiscal Year 2004-2005 Objectives ▬▬▬▬▬▬
• Respond to HelpDesk requests within 60 minutes.
• Work cooperatively with Public Information Group to enhance functionality and
appearance of Town website, intranet and increased programming on Channel 11.
• Relocate Town’s Data and Voice networks to new municipal building with minimal
downtime and impact on government services.
• Upgrade aging servers with lost cost, high performance servers
Salaries and Benefits
The I/T division currently has one Information Technology Coordinator. The position is
appropriated within the Administration Department. There are no new positions for information
technology in the upcoming fiscal year.
FY 2003
Actuals
FY 2004
Actuals
FY 2005
Actuals
FY 2006
Estimates
Training Programs Offered N/A 13 14 3
Documented service
requests 703 680 828 850
Average time to resolve
HelpDesk requests 48 Hours 4 Hours 1.5 Hours 1 Hour
Video Conference
Meetings/Interviews N/A N/A 15 20
Channel 11 requests 153 162 N/A N/A
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 73 -
Contract Services $39,700
An amount of $2,000 is included in this budget for an outside contractor to assist with the
modifications to the town servers and the website, if necessary, due to the move. Also included
under contract services is the annual appropriation for the costs associated with videotaping Town
Council meetings ($11,700). A new funding request of $26,000 is included for the preparation of
six newsletters that will be printed and distributed to the community as part of the implementation
of the public information program. The newsletters will be a valuable tool that the Public
Information Office can use to provide the public with accurate information from the Town to its
citizens.
Repairs and Maintenance $78,895
This expenditure line item includes required maintenance and service on all Town-owned
computer hardware and software. It includes annual software maintenance agreements and pay-
per-call service calls for the various programs. The proposed repairs and maintenance budget is a
significant increase over the prior year ($31,345) due to unanticipated costs related to moving the
equipment from the leased premises to the new Town hall. The cost by department is as follows:
Information Technology Division
Repairs & Maintenance FY 2005-2006
Information
Technology
All computer repairs, maintenance contracts for hardware
and software support
$23,000
Support for servers (12) (RAID arrays) $6,500
Scheduled server replacement (2 servers) $7,000
LCD Monitor Replacements (15) $5,625
Virus protection maintenance (83 users) $3,320
Public Information Group $2,500
Parks & Rec /
Community Ctr
Software support for program registration and facility
booking program
$ 9,250
Street Division Pavement and fleet vehicle maintenance software support $ 4,900
Public Works Intersection software upgrade $ 1,000
Fire Dept Replace (6) Desktop computers, laser printer $9,600
Firehouse annual support $700
Planning &
Zoning
AutoCAD Upgrade, Maintenance $5,500
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 74 -
Supplies and Services $82,820
A new appropriation of $2,600 is included in education/training for the Assistant Town Manager
and I/T staff to attend an Arizona City/County Management Association conference. Additional
funding is proposed for the Assistant Manager and I/T staff to take professional
development/certification courses that will enhance the level of service to the public and the staff.
An additional $2,800 is included to provide computer program training (Excel, Powerpoint, etc.)
for the town staff.
Under dues/publications the Town pays a subscription service to ASU and Qwest for the Internet
connection at an annual amount of $7,000, as well as $6,400 for the annual subscription to the
code enforcement software.
The I/T division is responsible for all costs associated with telecommunications, networking, and
telephone service. The monthly line charges through Qwest, ASU (internet), Muzak, and others
comprise the majority of this category at approximately $53,350. Channel 11 equipment and
filming supplies are included at a cost of $2,500.
Capital Expenditures 157,540
The move to the new building provides an opportune time to upgrade the Town’s older copiers
and printers. Proposed in the FY05-06 budget is the following new equipment and computers:
Replace two (2) Xerox copiers with digital copiers $80,000
Laptops for Council and staff for new Council chambers (10) $15,000
Laser printers (3) $ 9,000
Podium presentation PC $ 2,500
New server for P&R online registration program $ 3,500
New CAD (Planning and Zoning) workstations (2) $ 9,000
Desktop Computer for Assistant Manager, intern $ 3,000
Software requirements for all the departments include the following:
Digital signature software (new) $ 5,000
On-line Class Registration Software (new) $25,000
Internet Webcam (2) – parks $ 3,000
Blackberry Enterprise Server $ 2,000
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 75 -
*Informational Technology wages and benefits included within Administration
Department budget.
INFORMATION TECHNOLOGY
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
CONTRACT SERVICES Actual Actual Budget Estimate Proposed
Professional/Outside Services 0 2,875 1,000 1,000 2,000
Constituent Communications 11,815 12,637 39,500 24,000 37,700
TOTAL $11,815 $15,512 $40,500 $25,000 $39,700
REPAIRS & MAINTENANCE:
Computer Repairs & Maintenance 33,273 47,977 47,550 47,550 78,895
TOTAL $33,273 $47,977 $47,550 $47,550 $78,895
SUPPLIES & SERVICES:
Conferences 0 0 0 0 2,600
Education/Training 900 4,450 5,000 3,000 4,600
Dues & Publications 9,741 7,430 7,090 16,900 13,490
Office Supplies 4,928 1,141 1,000 1,200 4,280
Printing 0 0 0 0 2,000
Communications 56,943 46,262 48,965 43,500 55,850
TOTAL $72,511 $59,284 $62,055 $64,600 $82,820
CAPITAL EXPENDITURES
Capital Outlay - Equipment 0 0 0 0 80,000
Capital Outlay - Computers 1,531 3,989 7,500 7,500 42,000
Capital Outlay - Software 0 10,463 8,626 8,626 35,540
Capital Outlay - Communications 0 0 0 0
TOTAL CAPITAL EXPENDITURES $1,531 $14,452 $16,126 $16,126 $157,540
TOTAL EXPENDITURES $119,130 $137,225 $166,231 $153,276 $358,955
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Town of Fountain Hills
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
Public Works
Building Safety
Planning
Streets
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 77 -
Public Works
EngineeringOpen Space
Management Street Maintenance
Public Works
Planning
and
Code Enforcement
Building Safety
Mission Statement
The Public Works Department’s mission is to express and enhance the beauty, value, and quality
of the environment by operating and maintaining public grounds, dams, medians, natural washes
and open space, as well as protecting the health, safety, and well being of the public by assuring
properly designed and constructed infrastructure, correct property transfers, quality mapping, and
excellent customer service.
Department Description
The Open Space and Engineering Divisions are responsible for the operation and maintenance of
Town-owned wash parcels, open space, dams, public grounds and median landscaping. The
department is responsible for six ADWR jurisdictional dams and numerous smaller dams. The
department maintains landscaping at all Town-owned buildings and facilities (except public
parks), including Town Hall, Community Center/Library, two fire stations, Community Theatre
buildings, and the street yard.
Engineering processes, reviews, permits and inspects encroachment permits, including
subdivision plans, “off-site” improvement plans and utility cuts. Engineering supports Building
Safety by reviewing and inspecting site work plans for building permits. Engineering also
supports the Planning Division by technical review of area specific plans, rezonings, preliminary
plats, special use permits and other land use matters. Public Works is responsible for all right-of-
way capital projects including streets, traffic, drainage and landscaping, and it provides technical
support for park and building projects. It provides project planning, design and drafting (or
design contract management and plan review), construction inspection and contract
administration. The division also handles all street related construction maintenance contracts,
including their design, layout and inspection.
2004-2005 ACCOMPLISHMENTS
• Submitted the Stormwater Management Plan to ADEQ and EPA for municipal
stormwater discharges.
• Continued the wash management program at various locations where fire hazards
existed.
• Reviewed site plans for building permits, subdivision preliminary plats and condo
replats.
• Reviewed, permitted and inspected utility permit requests.
• Reviewed and processed easement and right-of-way abandonments and acquisitions.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 78 -
• Inspected (or liaison for) major projects including:
The Villas @ Firerock
Balera Development
Town Center Crossing Condos
Eagles Nest Infrastructure
The Enclave
New traffic signal at Fountain Hills Boulevard and El Lago Boulevard
All street maintenance projects in the northwest portion of Town (over
18 miles).
2005-06 OBJECTIVES:
• Fulfill the first six requirements of the Stormwater Management Plan as required by the
Arizona Department of Environmental Quality (ADEQ) and Environmental Protection
Agency (EPA).
• Provide wash management at urgent and moderate fire hazard areas in coordination with
the Fire Department requests.
• Assist the McDowell Mountain Preservation Commission (MMPC) with trailhead design
in Adero Canyon.
• Provide capital project planning, design and construction consistent with the budget.
• Continue street major maintenance work (see Street Section).
PERFORMANCE STANDARDS:
• Provide single family residence reviews within 20 working days
• Provide a high level of median maintenance, recognizing that medians are a very
important element of the “first impression” people have of Fountain Hills
• Inspect all dams quarterly (State inspection annually)
• Provide a customer friendly environment for citizen and developer access to services
• Provide technical input to the Town Council and advisory commissions as requested
• Assist Planning & Zoning with technical support of the annexation process of State Trust
Land
Management Indicators 2003-04 2004-05 2005-06
Actual Estimates Projected
Engineering Plan review time (1st submittal) goal
• Single family residence: 20 working days 90% 90% 90%
• Commercial: 15 working days 90% 90% 90%
• Subdivision: 20 working days 90% 90% 90%
• Utility: 5 working days 90% 90% 90%
• Easement abandonments: 35 working days 80% 80% 80%
• Number of dams inspected 6 6 6
Town owned maintained property 1528 acres 1529 acres 1529 acres
Wash management program 33.1 acres 51.4 acres 28.5 acres
Note: Acres can vary depending on density of vegetation
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 79 -
Schedule of Authorized Positions
Position – Title
Authorized FTE’s Proposed
2002-2003 2003-2004 2004-2005 2005-2006
Public Works
Public Works Director 1.00 1.00 1.00 1.00
Town Engineer 1.00 1.00 1.00 1.00
Senior Civil Engineer 1.00 1.00 1.00 0
Civil Engineer 1.00 1.00 1.00 2.00
Senior Civil Engineer Inspector 0 0 1.00 1.00
Civil Engineer Inspector 2.00 1.00 1.00 1.00
Executive Assistant 1.00 1.00 1.00 1.00
Administrative Assistant 1.00 0 0 0
Open Space & Landscape Spec. 1.00 1.00 1.00 1.00
Authorized FTE 9.00 7.00 8.00 8.00
Salaries and Benefits $605,870
There are currently 8 full-time positions in the Public Works Department and no requests for
additional personnel in FY05-06. Two positions that were previously in this division have been
transferred to the Planning and Zoning division budget (Computer Aided Drafting operator and
technician) and is reflected in the decrease of salaries and benefits from the prior year estimate.
Contract Services $187,025
The Public Works department regularly contracts with design professionals (traffic engineers,
land surveyors, architects and landscape architects) for services. These contracts provide
disciplines and special expertise that are not available among the Town’s regular staff; provide
technical manpower for major projects; and can provide a reserve of technical manpower during
overflow time periods.
There are three Federal-aid grant projects that will begin the design process this upcoming year.
They consist of a climbing lane on westbound Shea from Fountain Hills Boulevard to Palisades,
sidewalks from the Middle School to Four Peaks School and alley paving from Colony Drive to
Desert Vista Drive. The estimated cost for design fees for these projects is $110,000.
Summary Expenditures - Public Works
FY 2002-2003 FY 2002-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Budget
SALARIES & BENEFITS $653,944 $558,794 $719,110 $671,019 $605,870
CONTRACTUAL SERVICES $28,575 $41,787 $59,500 $69,500 $187,025
REPAIRS & MAINTENANCE $185,781 $263,053 $333,000 $334,400 $447,185
SUPPLIES & SERVICES $74,290 $68,789 $81,625 $75,010 $91,724
CAPITAL EXPENDITURES $18,269 $0 $0 $0 $30,000
TOTAL EXPENDITURES $960,857 $932,423 $1,193,235 $1,149,929 $1,361,804
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 80 -
Other anticipated projects are:
• Civil Engineer - Stormwater Management Plan - $8,000
• Surveying Services - Northbound right turn lane on Palisades @ Westridge Village and for
annual concrete and asphalt surveying - $5,000.
• Traffic Engineer - Design signal. Three potential intersections are being considered (warrant
studies are needed). $40,000
• Civil engineering for Eagles Nest (2 parcels) $17,025
• Contribution to floodplain management, appraisals and mylar scanning - $4,500
Repairs and Maintenance: $447,185
Vehicle Repairs and Maintenance $3,430
The division has six assigned vehicles; one for the department director, two for engineering
inspectors, one for the open space and landscape specialist, and two for field work and also pool
vehicles for all Town staff.
Median Landscape Maintenance $277,110
This line item increased 38% over the prior fiscal year as a result of an increase in median
maintenance (see map on page 77). Staff believes that two full-time crews are necessary to
maintain our medians and town-owned property; the crews are provided by the annual landscape
contract.
The request for median landscape maintenance covers:
• Spraying pre-emergent (surflan) and post-emergent (roundup) twice a year $20,000
• Mowing, aeration, fertilizer and application $23,812
• Landscape maintenance-4000 hours $193,490
• Palm tree trimming $10,700
• Tree trimming-50 trees $2,550
• Scalp, vacuum, dispose of clippings, mulch, overseed $4,242
• Annual backflow assembly inspection and repairs (required by law) $1,400
• Fountain maintenance/supplies - this work is done in-house and includes chlorine, algaecide,
shock treatment, pump/motor maintenance and cleaning bronze statues $8,916
• Irrigation maintenance supplies - this work is done in house and includes valves, clocks,
heads, pipes, etc. $2,000
• Major repair at the Shea/Palisades water feature $10,000
Dam/Wash Maintenance $166,645
The item includes fire hazard, drainage control, trash and dumping removal in the wash and
preservation areas. It also includes maintenance of items required at the six Town-owned
jurisdictional dams. Most of this budget amount will be expended for urgent fire hazard removal
areas during next fall, winter, and spring. Due to increased rainfall amounts this year, a sense of
urgency does exist for this item (see map at end of this division). Total open space, including
washes and dams is 1442 acres.
The request for dam and wash maintenance includes:
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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• Bridge inspections performed by ADOT on box culverts and CMP’s and the removal of
sediment and vegetation $3,000
• Dam inspections by ADWR and the required cleanup and maintenance $7,000
• Wash maintenance: To prevent any drainage problems and for fire protection, we propose to
work in 7 washes: Ashbrook Wash (Saguaro to El Pueblo), Cereus Wash (Saguaro to Shea),
Cereus Inlet (Saguaro to Firebrick), Fountain Channel (El Lago to Kiwanis), Colony Wash
(Kiwanis to west side at inlet), Colony Wash (east side at outlet), Bristol Wash at Sierra
Madre (north side at inlet to south side at outlet). Total area is 28.5 acres. $122,645
• After the cutting and removal of debris from the washes, a post-emergent spray is applied to
prevent re-growth of vegetation not indigenous to the area. The spraying and labor is
estimated at $12,000
• Re-vegetation of native plant material (seed) is applied - done in-house. Cost of the seed is
estimated at $1,000
• North Heights Dam conversion to Native Desert $20,000
SUPPLIES AND SERVICES $91,724
This category of expenditures includes advertising and/or public notices, conferences and training
for staff, dues and publications, office supplies, tool and shop supplies, printing, communication
expenses, travel expenses and uniforms. The electricity and water costs ($71,800) is for the
irrigation of medians, fountains and other Town-owned properties. The increase in the
water/sewer over the prior years is due to the acquisition of additional medians and water
features.
CAPITAL OUTLAY $30,000
Included in the FY05-06 budget and capital improvement plan is a replacement vehicle
for the Public Works department. This vehicle is being replaced according to the Town’s
equipment replacement schedule.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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PUBLIC WORKS
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
SALARIES & BENEFITS:
Wages 512,668 443,205 560,200 524,801 472,400
FICA 7,086 6,140 8,190 7,400 6,900
Unemployment Insurance 402 412 480 507 530
Employee's Health Insurance 62,159 46,685 70,250 56,400 55,120
Employee's Life Insurance 536 1,213 1,780 1,537 1,610
Employee's Dental Insurance 7,080 5,883 7,920 6,533 5,780
Employee's Eye Insurance 607 0 0 0 360
Worker's Compensation Insurance 4,769 4,396 5,970 7,000 8,840
Employee's Retirement Fund 56,393 48,733 61,630 57,728 51,970
Recruitment Costs 0 0 0 6,584 0
Disability Insurance 2,243 2,127 2,690 2,529 2,360
TOTAL $653,944 $558,794 $719,110 $671,019 $605,870
CONTRACT SERVICES
Contractual Services 0 20,390 2,000 2,000 2,500
Engineering Fees 28,575 21,397 57,500 67,500 184,525
TOTAL $28,575 $41,787 $59,500 $69,500 $187,025
REPAIRS & MAINTENANCE:
Vehicle Repair & Maint. 3,023 4,321 3,000 4,400 3,430
Mowing/Landscape Maintenance 139,516 126,257 200,000 200,000 277,110
Wash Maintenance 43,242 132,474 130,000 130,000 166,645
TOTAL $185,781 $263,053 $333,000 $334,400 $447,185
SUPPLIES & SERVICES:
Advertising 19 1,842 2,000 1,250 1,250
Conferences 0 145 500 500 1,500
Education/Training 35 1,725 2,200 1,100 1,160
Dues & Publications 937 1,018 1,300 1,700 1,885
Electricity 9,725 9,628 11,500 11,500 12,000
Gas & Oil 4,610 6,026 7,500 5,000 5,570
Office Supplies 3,889 4,884 5,000 3,700 2,500
Tools, Shop Supplies 315 154 500 500 500
Printing 144 724 1,000 500 1,000
Communications Expense 2,929 2,630 3,500 2,500 3,324
Water/Sewer 50,308 38,611 45,000 45,000 59,800
Travel 0 50 100 200 100
Uniforms 1,343 1,317 1,525 1,525 1,135
Bank Charges 35 35 0 35 0
TOTAL $74,290 $68,789 $81,625 $75,010 $91,724
CAPITAL EXPENDITURES
Capital Outlay - Vehicles 18,269 0 0 0 30,000
TOTAL CAPITAL EXPENDITURES $18,269 $0 $0 $0 $30,000
TOTAL EXPENDITURES $942,589 $932,423 $1,193,235 $1,149,929 $1,361,804
Town of Fountain Hills
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Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Building Safety Division
Mission Statement
The Building Safety division of the Public Works Department is dedicated to providing the
highest quality construction permitting; plan review and building inspection services in a
responsive and friendly manner.
Division Description
The Building Safety Division processes applications for permits to construct homes, commercial
buildings, fences, pools, and any other structures. The division serves as a receiving and
processing center for internal review of these plans. The division’s review and inspection staff
includes a building official, two certified residential plans examiner, three certified building
inspectors and three permit technicians to assure compliance with the adopted building codes of
the Town. The Building Safety Division also issues numerous reports concerning building
activity to other public agencies.
The Building Safety Division anticipates that it will process over 1,100 building permit
applications and perform inspections at approximately 750 building sites in fiscal year 2005-
2006. Most of the division’s activity will be concentrated in the developing portions of Firerock
Country Club, Crestview, Eagle’s Nest and Town Center. The division expects the same levels of
construction inspection activity due to on-going construction projects that have been permitted in
fiscal year 2003-2004 (650 active and open permits), and new residential and commercial projects
permitted early in fiscal year 2004-2005.
2004-2005 Accomplishments
Projected from figures based on first nine months of fiscal year 2004-2005, the Building Safety
Division accomplished the following:
• Reviewed 876 building plans and permit applications.
• Performed 8,732 commercial and residential building inspections.
• Provided technical assistance in the construction of the Civic Center Phase II, Eagle’s Nest
Public Facilities and Federal ADA assessment of Town owned facilities.
• Maintained an automated building permit system to better enhance customer service and
reduce paperwork.
2005-2006 Objectives
• Provide 200 training hours for plans examiners, building inspectors and building permit
technicians
• Maintain high workplace safety standards in the field and in the office
• Continue to educate the community about new Building Codes and Energy Conservation
Codes
Performance Standards
• Perform first review plan reviews within 20 working days, and subsequent plan reviews in 10
working days
• Identify all plan review concerns in the first review
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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• Perform all requested inspections within 24 hours
• Provide a customer friendly environment for citizens to access the services of the division
and process the needed applications
Management Indicators
2003-2004
Actual
2004-2005
Estimated*
2005-2006
Estimated
Building Permit Activity
• Single-family 143 160 140
• Multi-family 48 288 Units 230 Units
• Commercial 11 20 6
• Pools, Fences, Additions and
Remodels
726 620 713
Building Counter Activity 850 880 1012
On-site Inspection 6,985 9,839 11,315
Number of training hours
* Estimated, based on actual figures from the first three quarters.
Summary Expenditures - Building Safety
Schedule of Authorized Positions
Position – Title
Authorized FTE’s Proposed
2002-2003 2003-2004 2004-2005 2005-2006
Building Safety
Chief Building Official 1.00 1.00 1.00 1.00
Plans Examiner 2.00 2.00 2.00 2.00
Building Inspector 1.00 2.00 2.00 2.00
Building Permit Technician 2.00 2.00 3.00 3.00
Senior Building Inspector 2.00 0 0 1.00
Authorized FTE 8.00 7.00 9.00 9.00
FY 2002-2003 FY 2002-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Budget
SALARIES & BENEFITS $337,056 $458,952 $456,500 $445,365 $560,500
CONTRACTUAL SERVICES $27,629 $66,586 $15,000 $40,000 $39,150
REPAIRS & MAINTENANCE $1,384 $2,030 $1,800 $1,000 $2,200
SUPPLIES & SERVICES $13,811 $20,903 $21,630 $18,400 $25,995
CAPITAL EXPENDITURES $0 $0 $0 $0 $25,000
TOTAL EXPENDITURES $379,879 $548,472 $494,930 $504,765 $652,845
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Salaries and Benefits $560,300
The increase from 8 FTE’s to 9 reflects the re-instatement of the Senior Building Inspector
position that has been vacant since FY02-03. This position was approved during mid-FY04-05
by the Town Council in order to improve the level of expertise required for the new, larger
custom homes and commercial development that the Town is experiencing.
Contractual Services $39,150
When commercial building plans are submitted for review, or when the residential plan check or
inspection load exceeds the division’s ability to maintain its turn-around goals, outside consulting
firms are utilized. During FY04-05 the Town had to utilize consultant services exceeding
expectations in order to perform building inspections. As the Town approaches build-out the
need for full time inspectors will diminish, therefore, short-term solutions through consulting fees
makes economical sense.
Repairs and Maintenance $2,200
This division currently maintains four vehicles that are approaching 10 years of age. A
replacement policy was prepared that continually phases in new vehicles according to age and/or
mileage of the vehicle. With the schedule, there is one new vehicle being proposed for
replacement in FY05-06.
Supplies and Services $25,995
Funds are included for advertising or posting notices, professional dues and publications for the
inspectors, gas and oil, office supplies, printing, communication expenses, travel and uniforms.
The proposed budget includes an increase of 91% for conferences and education/training to
obtain further certifications and training for the inspectors.
Capital Outlay $25,000
According to the Town replacement schedule the Building Safety Division will replace a 1995
Ford pickup that is used by the inspectors.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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BUILDING SAFETY
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
SALARIES & BENEFITS:
Wages 266,119 354,637 345,400 347,384 428,000
FICA 3,724 4,843 5,000 5,037 6,200
Unemployment Insurance 455 609 400 641 600
Employee's Health Insurance 29,712 48,362 55,200 41,339 61,500
Employee's Life Insurance 312 945 1,100 1,034 1,500
Employee's Dental Insurance 3,787 6,229 6,500 5,455 7,200
Employee's Eye Insurance 288 0 0 0 400
Worker's Compensation Insurance 2,306 2,898 3,200 4,922 5,900
Employee's Retirement Fund 29,273 39,000 38,000 38,212 47,100
Disability Insurance 1,080 1,428 1,700 1,341 2,100
TOTAL $337,056 $458,952 $456,500 $445,365 $560,500
CONTRACT SERVICES
Professional Fees 27,629 66,586 15,000 40,000 39,150
TOTAL $27,629 $66,586 $15,000 $40,000 $39,150
REPAIRS & MAINTENANCE:
Vehicle Maintenance 1,384 2,030 1,800 1,000 2,200
TOTAL $1,384 $2,030 $1,800 $1,000 $2,200
SUPPLIES & SERVICES:
Advertising 1,549 1,046 1,000 1,000 500
Conferences 129 524 1,000 1,000 1,825
Education/Training 950 2,073 5,000 4,000 7,770
Dues & Publications 3,099 1,099 2,200 1,000 2,850
Gas & Oil 2,491 4,658 4,680 5,600 6,200
Office Supplies 860 1,588 1,000 1,000 1,000
Tools, Shop Supplies 0 100 300 300 300
Printing 859 2,295 1,500 1,000 1,800
Communications Expense 2,852 5,929 3,300 2,000 2,500
Travel 63 413 300 1,000 250
Uniforms 948 1,180 1,350 500 1,000
Bank Charges 10 0 0 0 0
TOTAL $13,811 $20,903 $21,630 $18,400 $25,995
CAPITAL EXPENDITURES
Capital Outlay - Vehicles 0 0 0 0 25,000
TOTAL CAPITAL EXPENDITURES $0 $0 $0 $0 $25,000
TOTAL EXPENDITURES $379,879 $548,472 $494,930 $504,765 $652,845
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Street Division (Highway User Revenue Fund)
STREET FUND SUMMARY
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
REVENUE:
LTAF 115,691 115,339 113,700 113,700 113,700
Highway User 1,310,997 1,400,448 1,390,900 1,460,500 1,598,850
Charges for Svcs/In Lieu Pmts 31,775 28,597 19,000 5,000 8,000
Interest 298 3,701 1,500 6,500 4,500
Misc. Income 7,410 0 1,000 35,000 1,000
Transfer from General Fund 0 0 0 0 500,000
TOTAL CURRENT REVENUE $1,466,170 $1,548,085 $1,526,100 $1,620,700 $2,226,050
EXPENDITURES:
Salaries and Benefits 613,036 492,691 575,511 498,906 627,550
Contractual Services 0 3,500 3,500 3,500 24,625
Repairs and Maintenance 340,540 578,698 653,200 665,950 1,327,581
Supplies and Services 194,991 191,084 199,500 180,550 212,147
Capital Outlay 2,585 10,374 130,000 125,000 35,000
Debt Retirement 126,000 123,996 120,000 120,000 160,500
TOTAL CURRENT EXPENDITURES $1,277,153 $1,400,343 $1,681,711 $1,593,906 $2,387,403
EXCESS OF REVENUES OVER/
(UNDER) EXPENDITURES 189,017 147,743 (155,611) 26,794 (161,353)
Fund Balance Beginning of Year $0 $0 $0 $147,743 $174,536
Ending Fund Balance $189,017 $147,743 ($155,611) $174,536 $13,183
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 92 -
Highway User Revenue (Street) Fund
Percent
Restrictions Fiscal Year Amount Change
1996-97 $1,017,600 24.3%
1997-98 $996,805 -2.0%
1998-99 $1,082,173 8.6%
1999-00 $1,136,051 5.0%
2000-01 $1,171,463 3.1%
2001-02 $1,369,677 16.9%
2002-03 $1,426,688 4.2%
2003-04 $1,515,787 6.2%
Accounts: 3040, 3050 2004-05 (est.) $1,574,200 3.9%
2005-06 (est.) $1,712,550 8.8%
Assumptions
Cities and towns receive 27.5% of fuel tax and transportation related fees collected by the state based on population
and county of origin of gasoline sales. The increases in HURF allocations in FY 1997 and 2002 were the result of
the 1995 and 2000 census population growth. The estimate for FY2006 is based on projections from Arizona
Department of Transportation. The Local Transportation Assistance Fund (LTAF) comes from lottery proceeds and
is distributed to cities and towns based on population as a percentage of all incorporated cities and towns.
Major Influences: Gasoline sales, Population, Economy and State Policy
There is a State constitutional restriction on the use of these funds
which requires that these funds be used solely for street and
highway purposes. Payment of principal and interest on highway
and street bonds are an approved use.
$0
$200,000
$400,000
$600,000
$800,000
$1,000,000
$1,200,000
$1,400,000
$1,600,000
$1,800,000
1996-97 1997-98 1998-99 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05
(est.)
2005-06
(est.)
HIGHWAY USER REVENUES
FY1997 through FY2006
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 93 -
Street Division
Mission Statement:
The Street Division is dedicated to quality customer service by operating, preserving and
maintaining Town-owned roadways and traffic control systems safely and efficiently.
Division Description:
The HURF (Highway User Revenue Fund) pays for Street Division personnel and contract work
for street repairs, operations, maintenance and improvements. Major Street Division staff
responsibilities include crack sealing, asphalt patching, signing, traffic signals, brush removal,
storm debris clean up, street sweeping, and street related emergency responses. The Division
provides vehicle maintenance services for the entire Town fleet, and traffic barricading for Town
approved and sponsored special events. Contracted tasks include construction and renovation of
streets, sidewalks, drainage facilities and traffic signals. Contracted major street maintenance
items include concrete curb replacement, asphalt reconstruction, asphalt overlays, slurry seal and
emulsion seal.
Performance Standards:
• Gutter sweep all streets quarterly, with full width sweeping annually. Gutter sweep all
arterial streets and commercial area collector streets monthly. Under the requirements of
the Storm Water Management Plan, street sweeping occurs on a daily basis.
• Respond to a pothole complaints within 24-hours of notification.
• Respond to missing or damaged street signage within 24-hours of notification.
• Perform routine maintenance of all Town fleet vehicles to minimize major repair “down-
time”.
Management Indicators: 2003-04 2004-05 2005-06
Actual Projected Estimated
Miles of streets swept
Slurry Seal 21.4 miles 15.6 miles 27.2 miles
Microsurfacing 2.7 miles 2.9 miles
Emulsion Seal Applications 10.5 miles 9.8 miles 0 miles
Striping Applied 22 miles 28.1 miles 30 miles
2004-2005 Accomplishments:
Major projects and accomplishments included:
• Constructed New Traffic Signal at Fountain Hills Boulevard and El Lago Boulevard.
• Completed design of traffic signal at Saguaro Boulevard and El Lago Boulevard
intersection
• Completed the Town-wide evaluation of all streets relative to asphalt conditions.
• Barricading and street closures for all special events (500 man-hours total for 4 special
events).
• Crack sealing in the northwest quadrant of Town (approximately 18 miles of streets).
• Street patching in Town-wide areas - 180 tons of asphalt.
• Performed 680 man-hours on major projects such as drainage on Saguaro at Kingstree,
bull nose on Saguaro at El Lago, spillway at Saguaro at Kingstree, Shea Blvd overlook
beautification).
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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• Microsurfaced 2.7 miles of streets.
• Slurry sealed 15.6 miles of streets
• Emulsion sealed 9.8 miles of streets.
2005-06 Objectives:
• Construct traffic signal at Saguaro Boulevard and El Lago Boulevard intersection
• Prepare streets in the northeast area of Town for pavement maintenance activities
• Update the street maintenance program for addressing annual, 5, 10, and 20-year
pavement maintenance needs
• Create fleet maintenance program to minimize vehicle down time and provide long term
vehicle needs analysis
• Retrofit two traffic signals to LED signal heads for cost savings, increased reliability, and
improved visibility
• Retrofit 5 existing street intersection locations for ADA accessibility compliance
• Implement Storm Water Management Plan actions with the installation of 700 STORM
drainage marker discs
• Purchase new PM-10 street sweeper as required by Maricopa County Dust Control
Standards
Summary Expenditures - Streets
Schedule of Authorized Positions
Position – Title
Authorized FTE’s Proposed
2002-2003 2003-2004 2004-2005 2005-2006
Street
Assistant Public Works Director 0 0 0 1.00
Street Superintendent 1.00 1.00 1.00 1.00
Street Maintenance Supervisor 0 1.00 1.00 0
Fleet Mechanic 1.00 1.00 1.00 1.00
Fleet Equipment Mechanic 1.00 1.00 0 0
Street Maintenance Tech 9.00 7.00 6.00 6.00
Equipment Operator 2.00 2.00 2.00 2.00
Authorized FTE 14.00 13.00 11.00 11.00
FY 2002-2003 FY 2002-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Budget
SALARIES & BENEFITS $613,036 $492,691 $575,511 $498,907 $627,550
CONTRACTUAL SERVICES $0 $3,500 $3,500 $12,750 $24,625
REPAIRS & MAINTENANCE $340,540 $578,698 $653,200 $665,950 $1,327,581
SUPPLIES & SERVICES $194,991 $191,084 $199,500 $180,550 $212,147
CAPITAL EXPENDITURES $128,585 $134,370 $250,000 $245,000 $195,500
TOTAL EXPENDITURES $1,277,153 $1,400,343 $1,681,711 $1,603,157 $2,387,403
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 95 -
Salaries and Benefits $627,550
There are no new positions requested within the Street Division for FY05-06; the division
currently has 11 full-time regular employees including the street superintendent, mechanic,
operators and technicians. However, the proposed budget includes the salary and benefits of the
Assistant Public Works Director that had previously been included in the Public Works division.
The Assistant Public Works Director’s primary responsibilities are related to streets.
Contract Services $24,625
Accounting (auditor) and Town Attorney legal fees are annually prorated to the Street Fund for a
combined cost of $14,625. Additionally, under contract services, the Town is requesting
consultant services to conduct an update of street segment ratings in order to maintain an accurate
pavement management program; $10,000 is included for this service.
Repairs and Maintenance $1,327,581
Continued preventative maintenance activities, which prolong pavement life expectancy, reduce
the necessity for costly road reconstruction projects. Over 50% of the streets in Fountain Hills
are over twenty years old, which is the normal life expectancy of asphalt without regular
maintenance. Maintenance operations over the past few years have lagged due to budget
constraints, however, the proposed budget includes an increase of 124% over the prior year actual
costs ($632,931) in order to bring the roads back up to acceptable standards. These maintenance
projects are possible with the transfer of $500,000 from the general fund and represent a good
investment in Town streets.
Under Major Road Improvements line item the following significant projects are planned (total
$1,142,931):
• $668,809 - Slurry Seal will be applied in the northeastern area of Town
• $213,422 - is budgeted for Microsurfacing, which is planned for two locations - Saguaro
Boulevard (Palisades Boulevard to Fountain Hills Boulevard) and Fountain Hills
Boulevard (Saguaro Boulevard to Palisades Boulevard). See street maintenance map for
exact locations.
• $35,400 - Thermoplastic striping will be applied to all streets being re-surfaced
• $38,800 - Concrete curb repairs, handicap ramps and aprons will be installed
• $4,000 - Traffic-calming project
• $20,000 - Stormwater management plan implementation activities will take place
• $40,000 – Drainage project at Ruskin and Kipling
An additional $146,150 is budgeted under road repair and maintenance; the division is planning
on retrofitting existing traffic signals Light Emitting Diode (LED) signal heads, maintaining
twelve traffic signals and two school flasher locations. The signal retrofit will enhance safety,
reduce electricity consumption, and to increase reliability. Two such retrofits are planned for this
fiscal year. Town street signs are being continually replaced and upgraded through the ongoing
sign maintenance program.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 96 -
Arterial roadways, such as Palisades, Fountain Hills, Saguaro and Shea make up 12% of the total
network system. These road sections should receive priorities and added maintenance activities
when considering street maintenance. These arterials carry the largest amount of traffic on a
daily basis (approximately 65,000 vehicles per day, combined) and therefore, deteriorate the
fastest. Major road construction costs on these arterials is expensive and have the largest impact
on the traveling public during construction. The condition of a Town’s arterial streets is often
times seen as an overall condition of the Town. In addition, properly maintained streets help
reduce liability for the Town.
Data for the Town-wide street maintenance study has been gathered. Staff continuously performs
quality assurance checks on the data collected and works to update the data set to reflect actual
current conditions. Continued funding and major maintenance activities is vital to keep the
Town’s streets in acceptable condition and to keep major road reconstruction projects to a
minimum.
Other repairs and maintenance line items include $34,000 for vehicle repairs and maintenance.
The department maintains six maintenance vehicles as well as heavy-duty road equipment such as
tractors, backhoes, dump trucks and sweepers.
Supplies and Services $212,147
Major items include $30,000 for electricity for the traffic signals and $28,930 gas and oil
expenses for the division fleet. This item also includes advertising, education and training, dues
and publications, office supplies and printing, tool and shop supplies. The FY05-06 budget also
includes costs for the division’s proportionate share of general liability and property insurance.
Capital Outlay $195,500
There are two capital items proposed for this budget year - a lift boom ($35,000) and replacement
street sweeper ($225,000). Both of the Town’s existing street sweepers are considered outdated
by today’s industry standards. Maricopa County Dust Control has encouraged all municipalities
to purchase new PM-10 sweepers. The Town has applied for a Federal grant through Maricopa
Debt Retirement $110,500
The voter-approved street paving bonds of 1991 are paid from highway user revenues. The
annual payment is transferred from HURF to the debt service fund.
Association of Governments (MAG) and is
considered as a first alternate to receive funding in
the amount of $200,000. The balance of the cost of
the sweeper is included as a transfer to the Special
Revenue fund in this division budget. If grant
funding is not available the sweeper will be
postponed to the following fiscal year.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 98 -
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 99 -
STREET DEPARTMENT
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
SALARIES & BENEFITS:
Wages 460,424 375,213 424,247 362,746 456,238
FICA 7,078 5,485 6,220 5,260 6,700
Unemployment Insurance 557 599 531 753 724
Employee's Health Insurance 59,030 40,762 59,427 47,774 66,234
Employee's Life Insurance 713 1,107 1,346 1,107 1,546
Employee's Dental Insurance 7,237 4,644 6,527 5,108 6,804
Employee's Eye Insurance 709 0 0 0 440
Worker's Compensation Insurance 24,316 21,018 28,510 34,500 36,398
Employee's Retirement Fund 51,133 42,083 46,667 39,902 50,186
Disability Insurance 1,838 1,780 2,036 1,757 2,281
TOTAL $613,036 $492,691 $575,511 $498,907 $627,550
CONTRACT SERVICES
Accounting Fees 0 3,500 3,500 3,500 5,375
Professional Fees 0 0 0 0 10,000
Legal Fees 1,200 4,000 9,250 9,250 9,250
TOTAL $0 $3,500 $3,500 $12,750 $24,625
REPAIRS & MAINTENANCE:
Vehicle/Equipment Rep/Maint. 30,772 34,339 38,000 32,000 34,000
Road Repair/Maintenance 94,144 120,748 120,200 120,200 146,150
Equipment Rental 0 0 500 500 500
Building Repairs/Maint. 2,916 3,922 4,000 3,000 3,500
Office Equipment Rep/Maint. 496 9 500 250 500
Major Road Improvements 212,212 419,680 490,000 510,000 1,142,931
TOTAL $340,540 $578,698 $653,200 $665,950 $1,327,581
SUPPLIES & SERVICES:
Advertising 0 480 300 300 300
Conferences 0 0 500 0 3,255
Education/Training 368 344 1,800 1,800 3,755
Dues & Publications 5,402 3,639 4,600 4,600 5,175
Electricity 23,153 26,889 28,000 28,800 30,000
Gas & Oil 13,979 15,073 18,700 22,100 28,930
Liability Insurance 121,812 117,000 117,000 96,600 117,000
Office Supplies 1,208 1,168 1,200 1,500 1,500
Tools, Shop Supplies 7,862 7,604 5,500 7,500 5,000
Printing 41 82 300 300 500
Communication Expense 6,971 6,496 7,500 5,000 5,432
Water/Sewer 4,396 3,114 5,000 2,950 3,200
Travel 0 24 100 100 100
Uniforms 9,800 9,170 9,000 9,000 8,000
TOTAL $194,991 $191,084 $199,500 $180,550 $212,147
CAPITAL EXPENDITURES
Capital Equipment - Vehicles 0 0 120,000 115,000 35,000
Capital Outlay - Equipment 2,585 3,374 10,000 10,000 0
Capital Outlay - Software 0 7,000 0 0 0
Capital Outlay - Improvements 0 0 0 0 0
Debt Retirement 126,000 123,996 120,000 120,000 110,500
Transfer Out 0 0 0 0 50,000
TOTAL CAPITAL EXPENDITURES $128,585 $134,370 $250,000 $245,000 $195,500
TOTAL EXPENDITURES $1,277,153 $1,400,343 $1,681,711 $1,603,157 $2,387,403
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Planning Division
Mission Statement
The Planning and Zoning Division is dedicated to enhancing the quality of life in Fountain Hills
through innovative planning techniques and providing excellent customer service in a
professional and timely manner.
Division Description
The Planning and Zoning Division administers the Town of Fountain Hills’ planning, code
enforcement and economic development programs. Planning functions include the processing of
applications for General Plan amendments, area specific plans, special use permits, rezonings,
subdivisions, variances, and other land use related requests. Code enforcement responds to
citizen concerns and provides proactive services with the goal of eliminating blight and
improving the appearance of business and residential areas to enhance property values and
maintain the quality of life within the Town. Economic development programs provide support
to existing businesses and seek to attract new economic opportunities to the Town. CAD
Services provides internal and external customers with maps and geographic information and
research.
The division provides staff support to the Town Council, the Planning and Zoning Commission,
and the Board of Adjustment. Staff represents the Town at intergovernmental meetings,
Maricopa Association of Governments committees, boards and special interest associations, and
neighborhood groups.
Performance Standards
Perform first review plan checks within 20 working days and subsequent plan reviews in
10 working days
Respond to all citizen inquiries within the same working day
Keep the Town Council, Planning and Zoning Commission, Board of Adjustment and
other commissions informed of new legislation and legal rulings pertaining to land use
matters
Provide educational opportunities to members of the Town Council, Planning and Zoning
Commission, and Board of Adjustment on pertinent and evolving land use matters
Ensure that Council approved ordinances are enforced
Encourage the development of economic opportunities
Maintain open and constructive relationships with Town businesses and economic
organizations to foster public / private partnerships for the betterment of the Town
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Management Indicators
2003-2004
Actual
2004-2005
Estimated
2005-2006
Projected
Special Use Permits 6 6 6
Temporary Use Permits 15 12 12
Cut/Fill Waivers 2 2 4
Subdivisions w/improvements 19 24 22
Replats 3 6 8
Administrative Use Permits 9 8 8
Variances 1 2 3
Comprehensive Sign Plans 3 9 8
Concept Plans 18 20 20
Plan of Development 0 1 1
Zoning Text Amendments 3 2 3
Re-zoning 1 1 2
General Plan Amendments 1 1 1
Annexations 1 0 0
2004-2005 Accomplishments
In the first ten months of fiscal year 2004-2005, the Planning & Zoning Division accomplished
the following:
• Processed Final Plats for The Enclave, Colony Wash Condominiums and Palatial Estates
• Reviewed permit applications for the new Town Hall, Holiday Inn, Kern Plaza, Eagles Nest,
Summit at Crestview, CopperWynd expansion, and Village at Town Center
• Sponsored two planning interns from Arizona State University
• Processed to approval, regulation changes dealing with monument signage, loading and
unloading space requirements and requirements for driveways
• Investigated and completed 665 code violation complaints in the first 8 months of the FY
• Downtown Economic Development Coordinator created demographic information package
for distribution to potential new businesses
• Contract awarded to WLB Group for the design of Avenue of the Fountains Enhancement
Project
2005-2006 Objectives
• Begin construction of the Avenue of the Fountains Plan
• Work with the State Land Department on the planning and future annexation of the State
Trust land parcel north of Town
• Process development proposals and building permit applications in a thorough and timely
manner
• Process text amendments to the Town’s Zoning and Subdivision Ordinances to clarify
policies and remove grammatical and typographical errors
• Continue to enforce Town ordinances and policies to maintain the Town’s quality of life,
provide safe living conditions, and protect the environment and preserve resources
• Develop business retention programs and policies to support existing businesses within the
Town
• Identify attractive development sites and develop economic development programs and
policies to attract businesses and industries to the Town
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 103 -
• Provide staff educational opportunities to best serve the community with the highest level of
expertise in the planning, code enforcement and economic development fields
Summary Expenditures - Planning & Zoning
Schedule of Authorized Positions
Position – Title
Authorized FTE’s Proposed
2002-2003 2003-2004 2004-2005 2005-2006
Planning & Zoning
Director 1.00 0 0 0
P & Z Administrator 0 1.00 1.00 1.00
Senior Planner 2.00 1.00 1.00 1.00
Planner 1.00 1.00 1.00 1.00
Eng. Tech/CAD Operator 1.00 1.00 1.00 1.00
Drafting/CAD Technician 1.00 1.00 1.00 1.00
Executive Assistant 1.00 0 0 0
Planning Technician 0 0 0 .50
Planning Assistant 1.00 1.00 1.00 1.00
Economic Downtown Dev. Coor 0 1.00 1.00 1.00
Code Enforcement Officer 0 3.00 2.00 3.00
Authorized FTE 8.00 10.00 9.00 10.50
Salaries and Benefits $585,110
Two positions that were previously in Public Works budget have been transferred to this division
budget due to a reorganization of supervisor duties – the CAD (Computer Aided Drafting)
operator and technician. Additionally, during the budget hearings the Town Council requested
that a third officer be hired to enhance the enforcement hours. This is reflected in the 68%
increase in salaries and benefits for this division.
The division is also requesting the addition of a part-time Planning Technician in FY05/06. This
position would improve the ability to review building plans in a timely manner and provide better
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Budget
SALARIES & BENEFITS $256,296 $171,457 $347,780 $329,717 $585,110
CONTRACTUAL SERVICES $0 $27,950 $25,000 $25,000 $119,000
REPAIRS & MAINTENANCE $298 $12 $1,000 $1,000 $800
SUPPLIES & SERVICES $16,204 $13,122 $24,700 $19,750 $37,330
CAPITAL EXPENDITURES $0 $0 $0 $0 $0
TOTAL EXPENDITURES $272,798 $212,541 $398,480 $375,467 $742,240
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 104 -
customer service when planners are not available. With a part time Planning Technician on staff,
the other planners would be able to devote more of their time to complex planning projects and
reduce the turn around time for the projects they are responsible for reviewing. Justification and
the job description are included in Appendix A.
Contractual Service $119,000
There is a significant increase in this category of expenditures for FY05-06 due to the following
one-time expenses:
• outside services will be contracted to perform a needs analysis to determine Geographical
Information Systems (GIS) requirements $15,000
• an aerial ortho-photo flight of the Town (the last low level flight was in March 2001)
$20,000
• an Attorney that specializes in water issues will be asked to provide advice regarding
State Trust Land water matters pending with the Corporation Commission $20,880
• funds for the preparation of a General Plan Amendment that would be necessary in
conjunction with the annexation of the adjacent State Trust Land $40,000
• funds have been allocated to pay for the Town’s proportionate share of expenses
associated with the 2005 Census $23,100
Repairs and Maintenance $800
This line item includes regular service and maintenance for two Code Enforcement vehicles.
Supplies and Services $37,330
Funds are included for advertising, including signage and posting of notices and agendas, dues and
publications for the planners, gas and oil, travel and uniforms. The increase in conferences is for the
planners to attend a national APA conference in San Antonio and the code enforcement officers to
attend conferences in Prescott, AZ and Orlando, FL. The increase in office supplies is due to the
transfer of the CAD operators to this division including their plotter supplies.
The printing line item increased by $7,200 to include the cost of printing the General Plan
Amendment that is scheduled to be completed in FY05-06.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 105 -
PLANNING & ZONING
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
SALARIES & BENEFITS:
Wages 206,771 137,015 275,200 265,970 452,400
FICA 4,812 1,984 3,890 3,857 7,690
Unemployment Insurance 325 231 300 471 670
Employee's Health Insurance 21,264 11,711 31,840 24,287 60,080
Employee's Life Insurance 207 402 860 736 1,560
Employee's Dental Insurance 2,177 1,508 3,700 2,755 7,370
Employee's Eye Insurance 247 0 0 0 400
Worker's Compensation Insurance 380 301 1,470 1,307 4,860
Employee's Retirement Fund 19,373 15,072 29,240 29,257 47,880
Recruitment Costs 0 2,623 0 0
Disability Insurance 740 611 1,280 1,077 2,200
TOTAL $256,296 $171,457 $347,780 $329,717 $585,110
Professional Fees 0 27,950 25,000 25,000 119,000
TOTAL $0 $27,950 $25,000 $25,000 $119,000
REPAIRS & MAINTENANCE:
Vehicle Repairs & Maintenance 298 12 1,000 1,000 800
TOTAL $298 $12 $1,000 $1,000 $800
SUPPLIES & SERVICES:
Advertising/Signage 6,479 3,393 6,500 2,500 2,700
Conferences 0 908 3,700 5,200 7,315
Education/Training 806 2,486 2,450 1,000 3,500
Dues & Publications 3,403 2,442 2,550 3,000 2,700
Gas & Oil 777 779 2,500 1,150 2,315
Office Supplies 1,778 2,254 2,000 1,500 5,600
Printing 2,397 536 2,800 2,800 10,000
Communication 362 127 1,500 1,500 2,200
Travel 165 77 200 600 500
Uniforms 0 120 500 500 500
Bank Charges 37 0 0 0 0
TOTAL $16,204 $13,122 $24,700 $19,750 $37,330
CAPITAL EXPENDITURES
Capital Expenditures - Vehicles 0 0 0 0 0
TOTAL CAPITAL EXPENDITURES $0 $0 $0 $0 $0
TOTAL EXPENDITURES $272,798 $212,541 $398,480 $375,467 $742,240
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Town of Fountain Hills
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
Parks, Recreation,
Community Center, and
Senior Services
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 107 -
Parks, Recreation, Senior Services and Community Center
Parks Senior Services
Parks and
Recreation
Community
Center
Mission Statement
The mission of the Fountain Hills Parks and Recreation Department is to enhance the quality of
life by providing and maintaining safe, available, and accessible parks and recreation services that
will meet the intellectual, social cultural, and leisure needs of all residents.
Department Description
The Parks and Recreation Department is responsible for providing safe and accessible recreation
services for all age groups. Parks and Recreation services include senior programs, adult and
youth sports, pre-school programs, cultural programs, teen services, outdoor programs, special
events, special interest classes, adult education classes, and after school programs. In 2002, the
department also assumed the responsibility for management of the Community Center.
Performance Standards
• Increase participation through unique marketing techniques
• Increase the department’s volunteer base and continue to explore and use creative
methods to recognize volunteers
• Provide Little League Baseball, Soccer Club, Pop Warner Football and Cheerleading
with assistance to help ensure the success of their respective organizations
• Solicit special event sponsorship by community organizations and businesses
Management Indicators
2003-2004 2004-2005 2005-2006
Actual Estimated Projected
Recreation
• Special Events 4 5 8
• Adult and Youth Sports Activities/
Number of Courses Offered 12/88 13/119 13/125
• Special Interest Programs/
Number of Courses Offered 11/126 11/105 10/135
• Youth and Teen Programs/
Number of Courses Offered 5/31 7/35 10/40
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 108 -
• Youth Sports Organizations
Affiliated w/ Parks and Recreation 4 4 4
• Volunteer Hours (estimated) 4,000 4,000 4,000
Administrative Support
Youth Sports Organizations & Schools – Facility Bookings
• Little League Baseball 532 524 520
• PONY League Baseball 89 100 110
• Soccer Club 351 365 380
• Pop Warner Football 108 80 85
• Fountain Hills High School 409 390 420
• Fountain Hills Middle School 14 20 20
• Fountain Hills Montessori School 4 15 10
Total 1,507 1,494 1,545
Parks and Recreation Revenue
2003-2004 2004-2005 2005-2006
Actual Estimated Projected
• Recreation Programs $ 125,344 $ 141,950 $ 171,500
• Facility Rentals $ 17,140 $ 16,600 $ 18,000
• Picnic Ramada Reservations $ 3,850 $ 3,000 $ 3,500
Total $ 146,334 $ 161,550 $ 193,000
Fiscal Year 2004-2005 Accomplishments
• Continued to work with the McDowell Mountain Preservation Commission regarding the
design work for the planned permanent trailhead into the McDowell Mountain Preserve
• Continued the positive relationship between the Town and the Fountain Hills School
District to jointly utilize school facilities for various programs in return for the District’s
use of park facilities. Accordingly, the Intergovernmental Agreement was approved by
the Town and School District and is effective until April 2007
• Continued sponsorship of St. Patrick’s Day, Eggstravaganza, and the Fantastic Fall
Festival events
• Presented a Concerts in the Park series featuring four bands in the new amphitheater at
Fountain Park
• The Mayor’s Youth Council volunteered over 1,500 hours last year, which resulted in
twenty-five members receiving the President’s Volunteer Service Award; this equates to
over $7,700 in volunteer labor contributed to the community
• Continued to provide expanded opportunities to utilize park facilities by the local youth
sports organizations, which include Little League Baseball, Soccer Club, and Pop Warner
Football and Cheerleading
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 109 -
• Entered the second year of a partnership with the Phoenix Suns Jr. Suns / Jr. Mercury to
enhance our Youth Basketball program
• Ongoing training and certification for all Parks and Recreation Staff in CPR and First
Aid, as well as on the Automatic External Defibrillators
• Coordinated the Town’s Annual September 11th Memorial at the Community Center
• Coordinated with the Fountain Hills Rotary Clubs on the Groundbreaking Ceremony for
the Rotary Centennial Splash Pad at Fountain Park
Fiscal Year 2005-2006 Objectives
• Transition Senior Services program to Town division and maintain the same level of
service to the seniors
• Provide excellent customer service including information referral, quality programs, and
easy registration
• Provide staff support to all events and activities scheduled at all town parks
• Work closely with Fountain Hills Unified School District to assist with scheduling and
maintenance of facilities utilized by the Parks and Recreation department
• Identify new recreation and leisure education programs to be offered in 2006-2007
Recreation and Senior Services Programs
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Budget
SALARIES & BENEFITS $440,348 $347,285 $379,260 $377,298 $474,780
CONTRACTUAL SERVICES $142,189 $91,266 $124,635 $99,000 $241,709
REPAIRS & MAINTENANCE $2,866 $1,727 $2,050 $2,150 $9,650
SUPPLIES & SERVICES $18,063 $22,449 $28,800 $25,750 $45,975
CAPITAL EXPENDITURES $17,857 $0 $0 $0 $0
TOTAL EXPENDITURES $621,323 $462,726 $534,745 $504,198 $772,114
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 110 -
Authorized Personnel
Schedule of Authorized Positions
Authorized FTE’s Proposed
2002-2003 2003-2004 2004-2005 2005-2006
Parks & Recreation
Position – Title
Parks & Rec/Comm Ctr Dir. 1.00 .50 .50 0.50
Parks Supervisor 1.00 1.00 1.00 1.00
Recreation Supervisor 1.00 1.00 1.00 1.00
Rec. Program Coordinator 3.00 2.00 2.00 2.00
Groundskeeper 1.00 1.00 1.00 2.00
Recreation Intern 0 0 0 .50
Park Operations Lead 3.00 2.00 2.00 3.00
Recreation Assistant 4.00 4.00 4.00 4.00
Recreation Aide 0 0 1.00 1.00
Executive Assistant 1.00 1.00 1.00 1.00
Administrative Assistant 1.00 0 0 0
Receptionist 0 .50 .50 .50
Authorized FTE 16.00 13.00 14.00 16.50
Salaries and Benefits $410,180
The recreation division is requesting restoration of the internship program that was eliminated
during the FY2002-03 budget reduction program (2 interns equal to ½ time FTE). The parks
division is requesting a new park operations lead for Four Peaks Neighborhood Park (described in
that division budget). The internship program offers senior university students who are
competing a degree in parks and recreation an opportunity to gain college credit as well as
experience in their program of study. It also allows the Town of Fountain Hills to supplement
recreational staff without the long-term costs of hiring full time staff. The students also bring a
fresh perspective and new ideas for programs. The justification is included in Appendix A.
Contract Services $150,059
Contract service includes recreation programs such as special interest programs and events, sports
activities, youth and teen programs as well as the quarterly newsletter. Special programs in the
amount of $60,774 includes:
Concerts in the Park series $12,860
Fountain Park, splash pad, Strong Cities, Sept. 11 $22,000
supplies and instruction for art classes $10,400
adult education courses with an estimated 125 participants $2,000
adult dance class instruction $2,400
dog obedience instruction class $2,080
fitness classes instruction $2,320
hiking leader $940
language lessons instruction $1,680
bridge games $790
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 111 -
Tai Chi $1,345
Kartchner Caverns trips $1,960
The youth and teen programs line item of $10,940 is broken down as follows:
Fantastic Fall Festival $2,650
Party in the Park $2,050
Unique for Youth $1,840
art class supplies $580
dance class instructor $560
Homecoming Tailgate Party $250
Kids Create $400
Kiddie Rhythmics $600
Midnight Madness support $250
Mayor’s Youth Council supplies $850
Youth Town Hall. $910
The sports activities line item of $52,945 is broken down as follows:
youth basketball referees and supplies $12,545
senior softball tournament umpires and supplies for 50 teams $8,705
adult softball umpires and supplies for 40 teams $7,125
turkey trot supplies with 800 participants $5,705
youth and adult tennis instructors $5,110
gymnastics instructor $4,560
golf instructors for 140 participants $3,645
adult basketball referees and supplies for 12 teams $1,250
karate instructor $720
senior softball supplies for 38 teams $1,335
youth volleyball coach and supplies for 60 participants $1,800
youth sports competition supplies $445
Each program was analyzed comparing expenses, including overhead versus fees, to ensure at
least a break-even program.
The Town of Fountain Hills quarterly newsletter is prepared and budgeted for within the Parks
and Recreation department. Each issue is 16 pages and mailed to every resident in Town at a cost
of $6,000 each edition.
Repairs and Maintenance $2,150
This refers to expenses relating to the department’s 15-passenger van and an administrative
vehicle, as well as maintenance and repair to office equipment.
Supplies and Services $35,325
This category includes advertising, conferences, continuing education, dues and publications, gas
and oil, office supplies, printing, communications, travel, and uniforms. The increase in
conference costs is to allow for the Director to attend the annual National Parks and Recreation
Association’s Business Institute for Revenue Development and Management in Wheeling, West
Virginia.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 112 -
The new line item appropriations for electricity and water/sewer will cover the costs of the
trailhead restroom facility at Eagle’s Nest.
St. Patricks Day 2005 Eggstravaganza 2005
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 113 -
The Town Council approved a recommendation to integrate the Senior Services into the Town
government during the final budget adoption in June, 2005. A division budget was estimated but
the line item details will be finalized during the first half of the fiscal year.
RECREATION DIVISION
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
SALARIES & BENEFITS:
Wages 360,493 286,802 309,200 309,346 334,400
FICA 10,629 8,809 10,100 10,397 11,600
Unemployment Insurance 600 824 800 955 1,000
Employee's Health Insurance 30,487 21,306 27,200 23,706 28,100
Employee's Life Insurance 321 571 600 672 800
Employee's Dental Insurance 3,036 2,151 2,900 2,249 2,400
Employee's Eye Insurance 349 0 0 0 200
Worker's Compensation Insurance 3,372 2,939 3,260 4,400 5,580
Employee's Retirement Fund 29,871 22,958 24,100 24,613 25,000
Recruitment Costs 0 0 0 0 0
Disability Insurance 1,189 926 1,100 960 1,100
TOTAL $440,348 $347,285 $379,260 $377,298 $410,180
CONTRACT SERVICES
Special Programs 39,686 18,804 32,995 27,500 60,774
Youth and Teen Programs 22,267 6,231 18,950 8,000 10,940
Sports Activities 42,559 40,309 48,690 40,000 52,945
Constituent Communications 37,104 25,208 23,000 23,000 24,000
McDowell Mtn Preservation 572 713 1,000 500 1,400
TOTAL $142,189 $91,266 $124,635 $99,000 $150,059
REPAIRS & MAINTENANCE:
Vehicle Maintenance & Repair 891 24 250 350 350
Office Equipment Maintenance 1,975 1,703 1,800 1,800 1,800
TOTAL $2,866 $1,727 $2,050 $2,150 $2,150
SUPPLIES & SERVICES:
Advertising 811 1,213 3,300 3,000 3,300
Conferences 1,115 2,847 2,400 3,800 5,900
Education/Training 629 1,910 2,900 1,000 2,100
Dues & Publications 1,460 1,400 1,200 1,200 1,300
Electricity 0 0 0 0 4,125
Gas & Oil 740 548 1,500 750 800
Office Supplies 5,223 5,893 7,000 5,500 5,900
Printing 2,933 1,002 2,000 2,000 2,000
Communications 2,779 2,651 2,900 2,900 3,500
Water/Sewer 0 0 0 0 800
Travel 123 347 500 500 500
Uniforms 2,140 3,156 3,000 3,000 3,000
Bank Charges 111 1,482 2,100 2,100 2,100
TOTAL $18,063 $22,449 $28,800 $25,750 $35,325
CAPITAL EXPENDITURES
Capital Outlay - Equipment 17,857 0 0 0 0
TOTAL CAPITAL EXPENDITURES $17,857 $0 $0 $0 $0
TOTAL EXPENDITURES $621,323 $462,726 $534,745 $504,198 $597,714
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 114 -
SENIOR SERVICES
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
SALARIES & BENEFITS:
Wages 0 0 0 0 59,650
FICA 0 0 0 0 4,580
Unemployment Insurance 0 0 0 0 140
Worker's Compensation Insurance 0 0 0 0 230
TOTAL $0 $0 $0 $0 $64,600
CONTRACT SERVICES:
Professional Fees 0 0 0 0 8,000
Program Fees 0 0 0 0 83,650
TOTAL $0 $0 $0 $0 $91,650
REPAIRS & MAINTENANCE:
Equipment Repair 0 0 0 0 7,500
TOTAL $0 $0 $0 $0 $7,500
SUPPLIES & SERVICES:
Advertising 0 0 0 0 1,500
Conferences 0 0 0 0 550
Education/Training 0 0 0 0 550
Dues & Publications 0 0 0 0 250
Office Supplies 0 0 0 0 6,000
Printing 0 0 0 0 1,100
Communications Expense 0 0 0 0 200
Travel 0 0 0 0 500
TOTAL $0 $0 $0 $0 $10,650
CAPITAL EXPENDITURES
Capital Outlay - Improvements 0 0 0 0 0
TOTAL $0 $0 $0 $0 $0
TOTAL EXPENDITURES $0 $0 $0 $0 $174,400
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 115 -
Parks
Desert Vista
Neighborhood
Park
Fountain Park
Parks
Four Peaks
Neighborhood
Park
Four Peaks
Neighborhood
Park
Mission Statement
The park staff is dedicated to maintaining over 114 acres of park land throughout the Fountain
Hills park system to department standards by professionally maintaining and operating each
park’s facilities and amenities enhancing the beauty, value, quality of the park’s environment; and
continuing to provide quality recreation opportunities, safe and clean parks, and superior park
beautification.
Park Descriptions
Each of the four parks in the Town’s system is in a different stage of development based on
master plans that were developed specific to each park. The Parks and Recreation Commission
and Town Council have reviewed and approved these master plans, which included public input
during their planning. Additionally, the Master Plans for Desert Vista Neighborhood Park,
Fountain Park, and Four Peaks Neighborhood Park will be updated during this fiscal year.
Desert Vista Neighborhood Park
Desert Vista Neighborhood Park is an all turf 12-acre park located between Desert Vista and
Tower Drives, south of Tioga Drive. The Town acquired this site on May 21, 1998, from MCO
Properties, Inc. The Town, in cooperation with the Fountain Hills Sanitary District, is using the
12-acre site for effluent water disposal. However, the Town has fenced 3.5 acres that is used as
an off-leash recreational facility and uses the remainder of the park for soccer and open field play.
During FY04-05 a consultant and the Parks and Recreation Commission recommended this park
as the location for construction of the Skate Park. Additionally, a local dog owners group,
Fountain Hills “ADOG” (Association of Dog Owners) has been raising funds to contribute to the
off leash recreational park in order for lights to be installed. The lighting will extend the number
of hours that users will be able to utilize the park, particularly during the summer months when it
cools off after sundown. The lights and installation will be partially paid for with the donation,
the maintenance and electricity are included within the park’s operating budget.
Fountain Park
Fountain Park is a 62-acre passive recreation facility and home of the Town’s world famous
fountain, which is the signature park of the community. The park was built in 1970 and includes
33 acres of turf, a 29-acre million gallon effluent lake, pump house station, dam, 18-hole disc golf
course, restroom/control building, two children’s playground, three ramadas with picnic tables
and grills, and two parking lots. The Town acquired the park on May 1, 1997, from MCO
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 116 -
Properties, Inc., and approximately nine months later, the Parks and Recreation Commission
developed a new park master plan. The revised plan includes approximately 7,200 linear feet of
walkways complete with lighting, five picnic ramadas with tables and barbecue grills, one
restroom/control building, two parking lots with over 130 parking spaces, a tot lot and a
playground. Additional amenities include a veterans’ memorial and an outdoor performance pad.
Several park improvement projects were made during fiscal year 2000-2001 including the
replacement of the lake liner, construction and installation of injection wells, and the completion
of Phase I Improvements.
Four Peaks Neighborhood Park
Four Peaks Neighborhood Park is a 14-acre recreation facility adjacent to Four Peaks Elementary
School. The Parks and Recreation department acquired approximately 9.9 acres of land from the
School District in May 2001, bringing the total acreage of the park to 14 acres. The Parks and
Recreation Department has maintained this land over the last several years and will continue to
maintain the property in the future. The park currently includes a lighted soccer field with
seating, a multi-purpose field with lights, one Little League field, one baseball field, two lighted
tennis courts, two lighted basketball courts, two children’s playgrounds, a restroom/control
building, one ramada with a grill, and parking for 20 vehicles.
Golden Eagle Park
Golden Eagle Park is a 25-acre active recreation facility adjacent to Fountain Hills High School.
The park includes four multi-purpose lighted ball fields with covered dugouts and seating for 550
spectators, four lighted tennis courts with a shaded waiting area, two lighted basketball courts
with bleachers, two lighted sand volleyball courts with a shower tower, a shaded tot lot, a shaded
children’s playgrounds with a shaded seat wall, a 2,500 square foot restroom/control building,
three parking lots with a total of 223 parking spaces, three picnic Ramadas with grills, one
pedestrian foot bridge, eight chilled drinking fountains, a horse shoe pit, two open turf areas, a
large equipment storage yard, and over one mile of sidewalks and concrete pathways. Golden
Eagle Park is the first park to complete all phases of capital improvements.
Performance Standards
Fountain Hills Park System
(Fountain Park, Desert Vista Neighborhood Park, Four Peaks Neighborhood Park, and Golden
Eagle Park)
• Provide safe and clean facilities daily
• Secure restroom/control buildings and park entry gates daily
• Prepare and line all ball fields for scheduled activities
• Maintain athletic facilities at standards acceptable for all scheduled sports activities
• Maintain safe and beautiful green turf
• Maintain an accident free work place
• Provide excellent customer service
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Management Indicators – Parks
2003-2004 2004-2005 2005-2006
Actual Estimated Projected
Grounds Maintenance
Mowing Frequency 50 weeks 42 weeks 42 weeks
Aeration 4 x annually 2 x annually 2 x annually
2 x in-house
Post Emergence Spraying 3 x annually In house 2 x annually
Pre Emergence Spraying 2 x annually In house 2 x annually
Park Facility Bookings
Desert Vista Neighborhood Park 70 78 80
Fountain Park 75 85 90
Four Peaks Neighborhood Park 445 465 480
Golden Eagle Park 1,875 1,880 1,900
Total: 2,465 2,508 2,550
Fiscal Year 2004 – 2005 Accomplishments - Parks
Fountain Hills Park System
• Maintained our high standards of maintenance for all park amenities and facilities
• Posted new signage throughout the park system
• Installed several new memorial park benches and trees at several parks
• Provided support services and field preparation for various Fountain Hills organizations,
such as, the Chamber of Commerce, Ministerial Association, Little League, the Soccer
Club, Pop Warner Football, the Senior Softball program, and the Men’s League
• Provided support services and field preparation to High School, Middle School, and Four
Peaks Elementary School personnel and associated sports teams
• Upgraded turf and field conditions at all parks
• Completed Fountain Park Phase II Improvements that included the amphitheater,
Kiwanis Ramada, a tot lot playground, and a standard size playground
Desert Vista Neighborhood Park
• Installed three Palo Brea trees and new drip system at the Off-Leash Recreational Facility
• Prepared and lined the turf for soccer games and practices
• Backfilled low areas of the park
• Relocated the fence at the Off-Leash Recreational Facility to expand the passive pet area
Fountain Park
• Continued the St. Patrick’s Day annual tradition of dyeing the fountain green
• Repaired two aeration pumps for better circulation of oxygen into the fountain lake
• Continued to repair the irrigation system for 100% automatic clock operation
• Initiated soils testing throughout the park in order to improve the appearance of the turf
• Completed Phase II Improvements
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 118 -
Four Peaks Neighborhood Park
• Reconditioned the Little League field
• Installed new park signage
• Revamped the west ball field to increase field availability for youth sports
Golden Eagle Park
• Replaced gate and isolation valves throughout the park
• Worked with SunRidge Canyon to repair and maintain the required level of pump
pressure to ensure effective pump operations
• Reconditioned Field #1 with new sod and stabilizer
• Re-lamped ball field lighting on Field #2
Fiscal Year 2005-2006 Objectives (Parks)
Fountain Hills Park System
• Explore opportunities for meeting the community’s expanding need for additional parks
and amenities
• Eliminate turf weeds and weeds on dirt slopes and open areas
• Level low and uneven turf areas throughout each park
• Maintain high staff visibility and provide friendly help for park patrons
Desert Vista Neighborhood Park
• Install additional benches and trees
• Work with ADOG to continue safe and clean operations of the Off-Leash Recreational
Facility
• Improve turf and field conditions at the Off-Leash Recreational Facility
Fountain Park
• Continue to monitor the migratory bird population at the lake
• Major clean up of pump house building and yard to address risk management concerns
• Improve turf conditioning and appearance where needed
• Maintain irrigation clocks at a higher level to achieve better auto-run times
Four Peaks Neighborhood Park
• Meet with neighborhood watch groups to discuss issues
• Streamline maintenance operations as a result of staff reductions
• Work with Fountain Hills Little League to revamp the concession stand
Golden Eagle Park
• Maintain park amenities, courts, ball fields, landscaping, and building with a high level of
service
• Continue to provide excellent field preparation for scheduled sports activities
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 119 -
Parks
Salaries and Benefits $282,760
The proposed FY05-06 budget includes two additional staff for the parks, one position which was
approved by the Town Council during the FY04-05 budget for Golden Eagle Park but added to
the schedule of authorized positions for FY05-06. The new request is for a lead operations
worker at Four Peaks Park, which was eliminated during the FY 02-03 budget cuts. Currently
one staff person divides his time between Desert Vista and Fountain Park. When construction of
the splash pad at Fountain Park and a skate park at Desert Vista Park is completed there will be
additional maintenance and supervision required, which is more than one staff person can
manage. Having an additional lead worker will allow one person to focus on Fountain Park and
the new worker will divide time between Four Peaks and Desert Vista Parks. The justification for
this particular position is in Appendix A. The parks system also includes a park supervisor, two
parks operations supervisors, and one parks operations worker. Although the staff members are
assigned to a specific park, they share responsibilities for all parks and perform their duties
wherever necessary. The following is the proposed salary and benefit costs broken down by park:
Desert Vista Neighborhood Park $ 0
Fountain Park $ 61,900
Four Peaks Neighborhood Park $ 14,340*
Golden Eagle Park $206,520
*hired in fourth quarter of FY05-06
Contract Services $21,000
There are plans to update the Park Master Plans for all parks (except Golden Eagle Park) to revise
the plans to reflect the park elements that have changed (for example, the skate park at Desert
Vista). The following is a breakdown by department of the associated costs:
Desert Vista Neighborhood Park $6,000
Four Peaks Neighborhood Park $6,000
Fountain Park $9,000
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Budget
SALARIES & BENEFITS $235,519 $206,576 $225,430 $230,482 $282,760
CONTRACTUAL SERVICES $0 $6,975 $18,000 $2,000 $21,000
REPAIRS & MAINTENANCE $291,005 $257,128 $313,550 $321,200 $335,600
SUPPLIES & SERVICES $178,167 $163,038 $210,115 $208,115 $221,300
CAPITAL EXPENDITURES $15,000 $0 $0 $0 $211,300
TOTAL EXPENDITURES $719,690 $633,717 $767,095 $761,797 $1,071,960
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 120 -
Repairs and Maintenance $335,600
These expenses relate to the daily maintenance of the park, as well as renting power tools and
small equipment to perform park maintenance repairs. The major component to this category is
the Annual Landscape Contract, which accounts for most of the expenditures for this category.
The Annual Landscape Contract was re-bid during fiscal year 2004-2005 and will be renewed on
an annual basis for up to four additional years. We are in the first year of renewal for the Annual
Landscape Contract. However, with the completion of the Fountain Park Phase II Improvements,
Landscaping Section will require a modest increase in the Annual Landscape Contract.
Additionally, the annual landscape contract is adjusted annually to include the Consumer Price
Index increase.
Desert Vista Neighborhood Park Total: $ 42,600
Fountain Park Total: $138,000
Four Peaks Neighborhood Park Total: $ 62,000
Golden Eagle Park Total: $ 93,000
Desert Vista Neighborhood Park has $42,600 budgeted for repairs and maintenance, primarily
mowing and landscaping work in the amount of $31,600. This line item consists of mowing 42
times, equaling $18,500; irrigation technician at $2,000; herbicide spraying at $2,100, and over-
seeding the park at $9,000. The remaining $11,000 is for field preparation at $10,000 and rentals
of equipment at $1,000.
Fountain Park’s budget of $138,000 for repairs and maintenance consists of equipment repairs at
$10,000 to replace or repair valves on the “world famous” fountain. Field and park maintenance
line item at $48,500 consists of liquid fertilizer $5,000, acid supplies $5,000, granular fertilizer
$11,000, irrigation repairs $6,000, hydroseeding $5,000, concrete pads $2,000, trees $2,500,
memorial benches $5,000, a new aluminum flat bottom boat with electric motor $4,000, water
fowl removal $3,000, and $2,000 for vehicle maintenance and repairs. Also included is $9,000
for building repairs, and $500 for rentals.
Fountain Park’s mowing and landscaping line item of $68,000 breaks down as follows: Mowing
42 times at $23,000; landscape maintenance $5,000; irrigation tech $3,000; pesticide spraying
$5,000; tree trimming $6,000; and over-seeding and scalping at $26,000.
Four Peaks Neighborhood Park budget of $62,000 consists mainly of two line items, $24,000 for
field preparation and $20,000 for mowing and landscape maintenance. The $25,000 field
preparation consists of $5,000 for lighting repairs, $2,000 stabilizer and paint, $3,000 fertilizer,
$2,000 irrigation repairs, $1,000 herbicides, $2,000 Rye and Bermuda seed, windscreens $8,000.
The mowing and landscaping $20,000 line item breaks down as 42 mows, totaling $11,000;
$1,600 for tree trimming, $1,000 for mulch, and $4,000 for over-seeding. Also included is
$20,500 for building repairs (includes costs associated with wrought iron fence on the north
soccer field, a shade structure at the tennis courts, and bench as the tennis courts), $500 for
equipment rentals, and $1,000 for vehicle maintenance/repairs.
Golden Eagle Park’s request of $93,000 consists of $24,500 for building repairs and maintenance
which includes $6,300 for fence repairs, $7,000 to resurface the basketball courts, $3,700 for
HVAC repairs, $4,500 to slurry seal and stripe the parking lots, $3,000 for a water feature.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 121 -
$30,000 is budgeted under line item “Field Preparation and Maintenance”, as follows: $3,000 for
stabilizer, $7,000 lighting repairs, $5,000 fertilizer, $2,000 mulch, $4,000 irrigation, $2,500
chemicals, $3,000 rye seed, $3,500 for field marking paint. While $26,000 is budgeted under
“Mowing and Landscape Maintenance” as follows: $13,000 for 42 mowings, $8,000 for
trimming, $2,000 irrigation laborer, and $3,000 for scalping. $11,000 is for vehicle
maintenance/repairs, and $1,500 for equipment rentals.
Supplies and Services $221,300
Expenses in this category pertain to the daily operations of the park and include costs for
electricity, water, sewer, trash pick-up, associated operational signage, and miscellaneous tools
and supplies. The major portion of this category consists of the electricity required to operate the
fountain pumps. Also included are expenditures associated with continuing education and
conferences for park staff to keep current with certifications.
Desert Vista Neighborhood Park Total: $ 6,650
Fountain Park Total: $123,800
Four Peaks Neighborhood Park Total: $ 37,050
Golden Eagle Park Total: $ 53,800
Fountain Park includes supplies and services of $123,800, which includes $104,000 for electricity
to operate the fountain pumps, ramadas, parking lot lights, and control building. The remaining
$19,800 includes $14,500 for water and sewer, $1,700 for gas and oil, and all other associated
line items equal $1,000 or less. Four Peaks Neighborhood Park supplies and services costs of
$37,050 include electricity at $14,000 for lights, and water and sewer costs $20,000 for irrigation.
Golden Eagle Park costs of $53,800 include electricity at $32,000 for lighting the ball fields,
tennis courts, parking lots, area lighting, and the control building. The remaining $23,800 is
accounted for in line items for gas and oil at $4,500, tools and shop supplies at $2,200, water and
sewer at $7,900, uniforms at $3,200, and communication expense at $1,300. All other associated
line items equal $1,000 or less.
Capital Improvement Projects $211,300
Each park budget includes a request for capital expenditures, which are also included in the Five
Year Capital Improvement Plan. The specific park and project are as follows:
Desert Vista Neighborhood Park off leash recreational area $ 52,000
(net cost $32,000 with donation from ADOG for lighting)
Fountain Park splash pad sidewalk, landscaping, irrigation $ 30,000
Four Peaks Neighborhood Park $106,000
(field and concession stand upgrades for ADA)
Golden Eagle Park $ 43,300
(Department of Justice ADA compliance repairs)
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 122 -
DESERT VISTA PARK
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
CONTRACT SERVICES:
Engineering/Design Fees 0 0 6,000 0 6,000
TOTAL 0 0 6,000 0 6,000
REPAIRS & MAINTENANCE:
Equipment Rental 54 1,782 1,200 600 1,000
Field Preparation/Maintenance 4,740 9,036 10,800 9,800 10,000
Mowing/Landscape Maintenance 32,614 24,145 30,000 29,000 31,600
TOTAL $37,408 $34,963 $42,000 $39,400 $42,600
SUPPLIES & SERVICES:
Advertising 0 0 300 200 200
Electricity 3,851 2,279 4,000 3,000 5,300
Tools/Shop Supplies 392 116 250 150 250
Water/Sewer 490 546 600 600 900
TOTAL $4,734 $2,941 $5,150 $3,950 $6,650
CAPITAL EXPENDITURES
Capital Outlay - Park Improvements 0 0 0 0 32,000
TOTAL $0 $0 $0 $0 $32,000
TOTAL EXPENDITURES $42,142 $37,904 $53,150 $43,350 $87,250
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 123 -
FOUNTAIN PARK
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
SALARIES & BENEFITS:
Wages 37,981 38,941 42,600 39,866 43,300
FICA 495 504 630 578 640
Unemployment Insurance 39 55 50 71 70
Employee's Health Insurance 7,011 7,250 8,490 8,074 9,460
Employee's Life Insurance 53 117 130 126 150
Employee's Dental Insurance 883 934 980 971 1,060
Employee's Eye Insurance 64 0 0 0 70
Worker's Compensation Insurance 1,025 1,175 1,450 1,858 2,160
Employee's Retirement Fund 4,801 4,284 4,690 4,385 4,770
Disability Insurance 143 167 200 186 220
TOTAL $52,495 $53,426 $59,220 $56,115 $61,900
CONTRACT SERVICES:
Consultant Fees 0 6,975 6,000 2,000 9,000
TOTAL $0 $6,975 $6,000 $2,000 $9,000
REPAIRS & MAINTENANCE:
Vehicle Maintenance/Repair 357 1,599 1,200 2,700 2,000
Equipment Rental 199 48 500 250 500
Building Repairs/Maintenance 3,026 8,367 6,000 6,000 9,000
Equipment Repair 25,199 3,824 12,000 10,000 10,000
Field and Park Maintenance 38,928 25,253 49,950 49,950 48,500
Mowing/Landscape Maintenance 67,439 62,006 67,000 67,000 68,000
TOTAL $135,149 $101,096 $136,650 $135,900 $138,000
SUPPLIES & SERVICES:
Advertising 0 623 500 400 0
Conferences 75 0 240 240 250
Education/Training 80 130 600 450 500
Dues & Publications 145 120 100 100 100
Electricity 74,365 66,225 104,000 101,000 104,000
Gas and Oil 1,286 1,510 1,700 1,300 1,700
Office Supplies 303 6 200 200 200
Tools, Shop Supplies 1,058 1,103 500 1,500 1,000
Printing 195 3 300 100 300
Communications Expense 500 526 600 350 350
Water 7,416 8,643 8,700 12,000 14,500
Travel 0 0 0 0 0
Uniforms 788 835 900 900 900
TOTAL $86,211 $79,725 $118,340 $118,540 $123,800
CAPITAL EXPENDITURES
Capital Outlay - Improvements 15,000 0 0 0 30,000
TOTAL $15,000 $0 $0 $0 $30,000
TOTAL EXPENDITURES $288,855 $241,222 $320,210 $312,555 $362,700
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 124 -
FOUR PEAKS NEIGHBORHOOD PARK
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
SALARIES & BENEFITS:
Wages 25,016 0 0 0 9,800
FICA 863 0 0 0 160
Unemployment Insurance 74 0 0 0 70
Employee's Health Insurance 4,113 0 0 0 2,370
Employee's Life Insurance 26 0 0 0 30
Employee's Dental Insurance 391 0 0 0 270
Employee's Eye Insurance 74 0 0 0 20
Worker's Compensation Insurance 530 0 0 0 490
Employee's Retirement Fund 1,821 0 0 0 1,080
Disability Insurance 75 0 0 0 50
TOTAL $32,984 $0 $0 $0 $14,340
CONTRACT SERVICES:
Engineering/Design Fees 0 0 6,000 0 6,000
TOTAL 0 0 6,000 0 6,000
REPAIRS & MAINTENANCE:
Vehicle Maintenance/Repair 1,277 305 1,000 1,400 1,000
Equipment Rental 108 33 700 100 500
Building Repairs/Maintenance 5,024 4,755 5,000 17,000 16,500
Field Preparation/Maintenance 16,318 14,360 16,000 12,000 24,000
Mowing/Landscape Maintenance 18,437 17,872 16,800 16,800 20,000
TOTAL $41,164 $37,325 $39,500 $47,300 $62,000
SUPPLIES & SERVICES:
Advertising 0 0 100 150 800
Conferences 75 0 0 0 0
Education/Training 0 440 0 0 200
Dues and Publications 70 0 0 0 100
Electricity 14,341 11,258 14,000 13,200 14,000
Gas and Oil 570 321 300 600 600
Office Supplies 151 0 0 0 100
Tools, Shop Supplies 979 598 700 900 700
Printing 0 0 0 0 100
Communication Expense 313 0 0 0 100
Water/Sewer 18,775 16,602 19,300 18,400 20,000
Travel 0 0 0 0 0
Uniforms 938 0 0 0 350
TOTAL $36,212 $29,219 $34,400 $33,250 $37,050
CAPITAL EXPENDITURES
Park Improvements 0 0 0 0 106,000
TOTAL $0 $0 $0 $0 $106,000
TOTAL EXPENDITURES $110,359 $66,544 $79,900 $80,550 $225,390
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 125 -
GOLDEN EAGLE PARK
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
SALARIES & BENEFITS:
Wages 113,610 117,699 126,100 132,407 156,000
FICA 1,567 1,632 1,850 1,920 2,290
Unemployment Insurance 118 161 140 264 260
Employee's Health Insurance 16,521 14,501 16,980 16,400 18,920
Employee's Life Insurance 158 346 400 415 530
Employee's Dental Insurance 1,686 1,782 1,880 2,000 2,510
Employee's Eye Insurance 168 0 0 0 120
Worker's Compensation Insurance 3,231 3,553 4,380 5,787 7,950
Employee's Retirement Fund 12,497 12,939 13,870 14,565 17,160
Disability Insurance 484 538 610 609 780
TOTAL $150,040 $153,149 $166,210 $174,367 $206,520
REPAIRS & MAINTENANCE:
Vehicle Maintenance/Repair 9,502 7,106 9,000 8,000 11,000
Equipment Rental 830 991 1,100 1,600 1,500
Building Repairs/Maintenance 19,350 19,527 31,200 37,000 24,500
Field Preparation/Maintenance 23,482 31,465 30,100 30,000 30,000
Mowing/Landscape Maintenance 24,120 24,656 24,000 22,000 26,000
TOTAL $77,284 $83,745 $95,400 $98,600 $93,000
SUPPLIES & SERVICES:
Advertising 0 0 300 300 100
Conferences 180 173 800 800 1,100
Education/Training 240 904 900 1,100 1,000
Dues and Publications 385 310 250 300 300
Electricity 35,233 32,635 31,500 31,500 32,000
Gas and Oil 3,461 4,366 4,500 4,500 4,500
Office Supplies 198 0 175 75 100
Tools, Shop Supplies 1,865 2,853 1,800 2,200 2,200
Printing 135 0 0 0 100
Communication Expense 1,509 1,528 1,700 1,000 1,300
Water/Sewer 5,236 6,237 7,800 7,400 7,900
Travel 0 0 0 0 0
Uniforms 2,567 2,146 2,500 3,200 3,200
TOTAL $51,009 $51,151 $52,225 $52,375 $53,800
CAPITAL EXPENDITURES
Park Equipment 0 0 0 0 0
Park Improvements 0 0 0 0 43,300
TOTAL $0 $0 $0 $0 $43,300
TOTAL EXPENDITURES $278,334 $288,046 $313,835 $325,342 $396,620
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Community Center
Parks and
Recreation
Community
Center
Mission Statement
Like the trademark fountain that stands at the heart of the community, so too does the Community
Center. Its mission is to enhance the quality of life for Fountain Hills’ citizens by providing a
gathering place for civic, non-profit and community events, promoting the arts, and developing a
conference and convention trade. The Community Center shall be “All that is Fountain Hills”.
Department Description
The Fountain Hills Community Center provides rental space for recreational, civic, senior
activities, educational, commercial, and personal events that require meeting, banquet, seminar,
classroom or exhibit space. The Center staff works with clients to ensure that meeting rooms and
other areas are clean, properly set, and prepared for their use. License agreements ensure that
users comply with the policies and procedures as adopted by the Town.
Goals and Objectives
The Fountain Hills Community Center is dedicated to service the residents and community
groups of Fountain Hills in the manner and spirit established by the former Community Center.
A variety of amenities and spaces combined with a very affordable rate structure provide
residents with increased opportunities for personal and local non-profit use. The Center will
continue to make community and resident usage a number one priority.
Additionally, the department will incorporate the following goals and objectives previously
established:
maintain a safe and accessible facility
satisfy client’s requirements
maximize facility usage
bring additional revenues into Fountain Hills
The Center will provide a positive economic stimulus to the Town by scheduling and booking as
many outside groups as possible while continuing to meet the needs of the Fountain Hills
community.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 128 -
Performance Standards
• The Center shall meet with clients, obtain all necessary event information, discuss rental
fees and obtain a signed license agreement within ten working days
• Clients shall be furnished a detailed scale drawing of their event showing the set. The
drawing requires client approval before the event set-up begins
• All events shall be properly supervised with Center personnel readily available to assist
with clients’ needs
• Outstanding billings for events are to be processed in a prompt manner within ten days of
the events
• Continue to coordinate activities for the Senior Activity Center, Recreation Division, and
Town related functions and activities
Management Indicators
2003-2004 2004-2005 2005-2006
Actual Estimated Projected
Events/Activities 1,800 3,864 4,250
Attendance 76,500 93,000 102,300
Revenues $195,000 $194,000 $213,675
Fiscal year 2004-2005 Accomplishments
The Fountain Hills Community Center has accomplished the following:
• utilized volunteer staff that not only oversees the front desk but also has creates several
community activities: the Holiday Celebration and tree decorating, “Munch and Music”,
“Summer Serendipity”, and entered the Chamber of Commerce Thanksgiving Day
Parade
• Completed several maintenance upgrades to the building in accordance with the
Department of Justice’s ADA compliance recommendations
• Successfully transitioned the Senior Activity Center from Town Hall to the Community
Center
• Redesigned a logo for the Community Center that was used on business cards, letterhead,
envelopes, brochures, and flyers
• Added an extra storage area in the gated parking area
Fiscal Year 2005-2006 Objectives
• Continue serving as the location of choice for many service club meetings, civic
functions, and major community social, fundraising, and Chamber events
• The Center is working on making the facility one of the premier wedding destinations in
the valley by exposing the public to a facility through a marketing campaign that includes
bridal exhibitions and trade shows, hosting bridal consultant meetings, and other venues
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 129 -
• Change the existing booking system to a more effective system that will save time and
allow staff to focus more energy on creating in-house events with more of a focus on
customer service and help to cut operational costs
• Work with Town staff, the Cultural Council, and an architectural firm to finish off the
Plaza Circle making it an extension of the Center in order to enhance its use for special
events. This will allow us to generate additional revenues for the Center
• Extend liquor license to include the Courtyard area
Salaries and Benefits $357,324
Included within the Community Center budget is a request to reclassify one of the part-time
Operations Workers to full-time. At the beginning of FY04-05 the Fountain Hills Senior Center
relocated to the Community Center providing a first class facility to run senior programs. The
senior programs run five days a week and each program requires setting up and taking down of
equipment such as tables, chairs, video and audio equipment, etc. which has increased staff time
by 33%. The senior programs require approximately 8 hours of set up and take down time during
the daytime hours, which requires approximately 40 hours per week for one person. This is in
addition to the set ups and take downs required for the groups and organizations that rent the
facility on a regular basis.
Additionally, one of the Operations Workers transferred to the Parks system, creating an open
part-time position. Staff did not fill the position but instead reorganized the existing staff hours to
eliminate the need to hire a new employee; this resulted in increased hours for the existing part-
time Operations Worker. The justification for reclassifying this position is included in Appendix
A.
Contract Services $550
Contract services include costs associated with event security; including $550 to contract with the
Maricopa County Sheriffs Office to provide security at Community Center events where liquor is
served.
Repairs and Maintenance $16,300
This category includes the costs for normal repair and maintenance of the facility, equipment
rental such as sound or lighting systems, and normal office equipment repair and maintenance.
Though certain pieces of equipment are under warranty, it is anticipated that some repairs will be
required.
Supplies and Services $110,650
This category includes the Center printing budget, which is used for all brochures, flyers,
promotional, and trade show materials. Also included are office supplies for daily operations,
dues and publications, and conferences. The largest line item in this category is electricity at
$56,650 to run the building. Liquor sales are also a significant part of the overall revenues and
supplies costs at $14,300. The Center’s margins are lower than private commercial centers
allowing lower prices to be charged. This is an advantage in holding major events at the Center.
Lastly, supplies and materials for outreach programs are also included under the office supply
line item. These programs include the Homecoming Celebration, Holiday Party, Summer
Serendipity, and the Spring Volunteer Reception.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 130 -
Capital Outlay/Debt Service
New to this division’s budget is the annual debt service payment for the Municipal Property
Corporation bonds that were sold in 2000 to finance the cost of the Community Center. In prior
years the debt payment was made from residual bond proceeds.
Fountain Hills Community Center
Summary Expenditures – Community Center
Authorized Personnel
Schedule of Authorized Positions
Authorized FTE’s Proposed
2002-2003 2003-2004 2004-2005 2005-2006
Community Center
Parks & Rec/Comm Ctr Dir. 1.00 .50 .50 0.50
Comm Ctr Supervisor 1.00 1.00 1.00 1.00
Comm Ctr Operations Sup. 1.00 1.00 1.00 1.00
Administrative Assistant 1.00 1.00 1.00 1.00
Operations Support Worker 1.00 1.50 1.50 1.50
Operations Support Assistant 0 0 0 .50
Custodian 1.00 1.00 1.00 1.00
Volunteer Coordinator .50 0.50 0.50 0.50
Authorized FTE 6.50 6.50 6.50 7.00
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Budget
SALARIES & BENEFITS $287,858 $272,451 $321,017 $318,246 $357,324
CONTRACTUAL SERVICES $1,040 $1,180 $550 $500 $550
REPAIRS & MAINTENANCE $10,637 $11,807 $11,900 $16,500 $16,300
SUPPLIES & SERVICES $85,902 $98,141 $102,530 $101,950 $110,650
CAPITAL EXPENDITURES $0 $0 $0 $0 $387,000
TOTAL EXPENDITURES $385,437 $383,579 $435,997 $437,196 $871,824
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 131 -
COMMUNITY CENTER FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
SALARIES & BENEFITS
Wages 238,347 229,452 263,488 257,752 279,323
FICA 9,061 8,490 9,980 9,654 9,430
Unemployment Insurance 496 544 639 663 823
Employee's Health Insurance 12,722 12,543 14,858 15,344 28,623
Employee's Life Insurance 176 435 447 490 652
Employee's Dental Insurance 1,375 1,467 1,565 1,602 3,007
Employee's Eye Insurance 153 0 0 0 188
Worker's Compensation Insurance 1,593 1,638 5,120 3,773 7,062
Employee's Retirement Fund 16,282 16,145 18,129 22,921 21,252
Recruitment Costs 0 0 0 0 0
Disability Insurance 609 660 791 747 966
Bartender Services 7,046 1,076 6,000 5,300 6,000
TOTAL 287,858 272,451 321,017 318,246 357,324
CONTRACT SERVICES
Professional Services 1,040 1,180 550 500 550
TOTAL $1,040 $1,180 $550 $500 $550
REPAIRS & MAINTENANCE:
Building Repairs & Maintenance 9,572 10,378 10,700 15,000 15,000
Office Repairs/Maintenance 1,065 1,429 1,200 1,500 1,300
TOTAL $10,637 $11,807 $11,900 $16,500 $16,300
SUPPLIES & SERVICES:
Advertising 3,173 10,356 9,680 9,600 15,200
Conferences 0 0 400 1,400 1,650
Education/Training 450 105 500 500 600
Dues/Publications 1,795 924 650 800 800
Electricity 43,449 53,440 55,000 55,000 56,650
Office Supplies 7,638 5,878 7,000 5,700 6,300
Bar Supplies 20,727 12,543 14,000 15,000 14,300
Printing 351 2,487 1,500 1,500 1,500
Communications Expense 1,031 1,383 1,300 1,300 1,350
Water/Sewer 7,017 8,623 9,800 8,500 9,000
Travel 189 0 200 50 200
Uniforms 0 1,065 800 800 900
Bank Charges 82 1,336 1,700 1,800 2,200
TOTAL $85,902 $98,141 $102,530 $101,950 $110,650
CAPITAL EXPENDITURES
Capital - Furniture/Equipment 0 0 0 0 0
Debt Service 0 0 0 0 387,000
TOTAL $0 $0 $0 $0 $387,000
TOTAL EXPENDITURES $385,437 $383,579 $435,997 $437,196 $871,824
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Town of Fountain Hills
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
Public Safety
Law Enforcement
Fire Department
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 133 -
Law Enforcement
Mission Statement
The Maricopa County Sheriff's Office, in partnership with our citizens and contract cities, will
enforce state laws, deter criminal activity, protect life and property, maintain order, and operate a
safe, constitutional jail system.
Through innovative leadership and dedication to providing quality services, the Sheriff's Office
will maximize the use of its resources to provide the highest quality service, which will aid in
improving the quality of life for the citizens of Maricopa County.
The office is also dedicated to providing a caring and supportive environment for our employees
because they are the backbone of the system and have a need for continued growth and
development through education and training. Each employee will have opportunities for career
development, professional growth, and a challenging work environment.
Employee creativity and innovations are encouraged for improving the effectiveness of the
Office. Employees will be provided the same concern, respect, and caring attitude within the
Office, that they are expected to share when contacting the citizens of Maricopa County
Department Description
Law enforcement services are provided to our residents through contract services from the
Maricopa County Sheriff’s Office (MCSO). The office enforces State and local laws as well as
addressing “quality of life” issues such as crime prevention, traffic safety, drug enforcement,
youth services, special events, barking dogs, and community services.
Performance Standards ▬▬▬▬▬▬
• All department members will support the principles of community based policing
• The public will be treated with courtesy and respect by all members of the Sheriff’s Office
• Members of the Sheriff’s Office will not engage in racial profiling
• All certified personnel will meet, or exceed, state training standards (AZ-POST) as a means
of reducing liability
Public Safety
Fire Department Law
Enforcement
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 134 -
Management Indicators
2002 2003 2004
Actual Actual Actual
Crimes Part I* 443 387 594
Crimes Part II** 410 713 618
Traffic accidents 212 233 347
Driving under the influence (DUI) 46 60 63
*Part I Crimes – Homicide, Sex Assault, Robbery, Aggravated Assault, Residential/Business Burglaries, Auto
Burglaries, Auto Theft, Theft, Arson.
**Part II Crimes – All other crimes, except Part I crimes and traffic violations.
Fiscal Year 2004-2005 Accomplishments ▬▬▬▬▬▬
In the first nine months of the fiscal year, the Maricopa County Sheriff’s Office accomplished the
following:
• Introduced new youth service activity in conjunction with the Boys & Girls Club of
Fountain Hills Smart Program Friday nights
• Sponsor and present a wide variety of youth service activities including Stranger-Danger,
Teen Court, youth camp and Midnight Madness
• Promoted crime prevention through a wide variety of community programs including
public service articles on crime resistance techniques, vacation watches, and bicycle
patrols
• Continued several new programs including VIN etching, Watch Your Car Program, and
the RUOK (elderly welfare check system)
Fiscal Year 2005-2006 Objectives ▬▬▬▬▬▬
• Decrease the number of Part I Crimes by increasing patrol coverage during peak times of
occurrence with both marked patrol vehicles and unmarked vehicles as necessary
• Increase traffic enforcement and awareness with higher visibility during peak traffic
times to reduce traffic accidents
• Promote public visibility, accessibility, and community relations through clearly marked
cars and high profile uniformed personnel
• The primary objective of the Maricopa County Sheriff’s Office for this upcoming fiscal
year is to continue to provide the Town with quality law enforcement services at an
affordable price
• Continue to promote effective communications between the Town and Sheriff’s Office
• Sponsor, participate or present youth oriented community service programs during the
upcoming fiscal year including, but not limited to, bike safety inspections and
registration, and child restraint inspections
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 135 -
Summary Expenditures – Law Enforcement
Authorized Personnel
Authorized FTE’s Proposed
2002-2003 2003-2004 2004-2005 2005-2006
Law Enforcement
Pub. Safety Dir/Town Marshal 1.00 0 0 0
Emergency Mgmt Coordinator 0 1.00 0 0
Sergeant 3.00 0 0 0
Deputy Marshal 8.00 0 0 0
Dispatcher 7.00 0 0 0
Administrative Assistant 1.00 0 0 0
Authorized FTE 20.00 1.00 0 0
Contract Services $1,903,894
The Town of Fountain Hills contracts with the Maricopa County Sheriff’s Office for law
enforcement services. The contract amount is $1,835,044, or an increase of 6% over the previous
fiscal year. This contract provides for 25 law enforcement officers for the Town of Fountain
Hills (3.5 beats) at a ratio of more than one officer per 1,000 residents and provides for a school
resource officer requested by the Fountain Hills School District. The Town’s cost for law
enforcement services has dropped significantly (23% or over $573,400) since FY02-03 and
excellent service levels have been maintained. In a separate agreement with Maricopa County
Office of Management and Budget, prisoners are transported to the Maricopa County jail and the
Town is charged a per diem fee, estimated at $36,575. The Town also contracts with Maricopa
County Animal Care and Control Services for animal control and shelter services in the amount
of $32,275.
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Budget
SALARIES & BENEFITS $896,570 $36,757 $0 $0 $0
CONTRACTUAL SERVICES $1,499,336 $1,669,726 $1,796,670 $1,796,186 $1,903,894
REPAIRS & MAINTENANCE $7,193 $287 $0 $0 $0
SUPPLIES & SERVICES $37,239 $1,282 $0 $0 $0
CAPITAL EXPENDITURES $36,994 $0 $0 $0 $0
TOTAL EXPENDITURES $2,477,332 $1,708,052 $1,796,670 $1,796,186 $1,903,894
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 136 -
LAW ENFORCEMENT
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
SALARIES & BENEFITS:
TOTAL $896,570 $36,757 $0 $0 $0
CONTRACT SERVICES
Jail/Prisoner Fees 36,930 38,896 38,000 35,000 36,575
Rabies/Animal Control 0 32,442 28,200 30,716 32,275
Sheriff's Contract 1,462,406 1,598,388 1,730,470 1,730,470 1,835,044
TOTAL $1,499,336 $1,669,726 $1,796,670 $1,796,186 $1,903,894
REPAIRS & MAINTENANCE:
TOTAL $7,193 $287 $0 $0 $0
SUPPLIES & SERVICES:
TOTAL $37,239 $1,282 $0 $0 $0
CAPITAL EXPENDITURES
TOTAL CAPITAL EXPENDITURES $36,994 $0 $0 $0 $0
TOTAL EXPENDITURES $2,477,332 $1,708,052 $1,796,670 $1,796,186 $1,903,894
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 137 -
Fire Department
Mission Statement
The mission of the Fire department is to preserve life and property through fire prevention,
education, suppression, and emergency medical services, while maintaining the highest level of
training, professionalism, and dedication to customer service.
Department Description
Fire fighting and emergency medical services are provided to the residents through a unique
combination of municipally owned equipment and facilities operated by contract personnel from
the Rural Metro Corporation.
The fire department is responsible for prevention and suppression of structural and wild land fires
within the town limits. The fire department also provides inspections, emergency medical
services, emergency transport, hazardous material handling, and takes the lead role in emergency
response to natural disasters. In conjunction with its primary role, the fire department provides a
wide range of auxiliary community services such as public education, snake removal, a fire
support program, and a youth-oriented explorer post.
Performance Standards
• Response time of 5 minutes or less to the scene of fire and medical calls at least 90% of
the time.
• Provide a minimum of 240 hours of training to each individual assigned to Fountain Hills
per year.
• Inspect and test all fire hydrants in Fountain Hills on an annual basis.
Emergency
Medical Fire Protection
Fire Department
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 138 -
Management Indicators ▬▬▬▬▬▬
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY2005-06
Actual Actual Projected Projected
Emergency response time 2min 46sec 3min 33 sec 3min 30 sec 4 min
EMS response time 2min 38sec 3min 28 sec 3min 35 sec 4 min
Percentage of EMS calls 48% 53% 54% 53%
Emergency calls 1,367 1,494 1,470 1,480
Non-emergency service call 1,318 1,343 1,290 1,300
Construction inspections/
safety surveys 1,682 1,556 1,530 1,500
Fiscal Year 2004-2005 Accomplishments
• Assisted the Town Manager in preparing mutual aid agreements with neighboring
communities.
• Completed the upgrades of the self-contained breathing apparatus to meet the new
National Fire Protection Association (NFPA) standards.
• Maintained a response goal of less then four minutes for all emergency calls.
Fiscal Year 2004-2005 Objectives
• Assist Facilities Maintenance with the remodel and ADA upgrades to both fire stations.
• Begin to prepare a Hazard Risk Assessment analysis.
• Maintain or improve upon a 4-minute response time for all emergency calls.
Summary Expenditures – Fire Department
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Budget
SALARIES & BENEFITS $0 $0 $0 $0 $0
CONTRACTUAL SERVICES $2,275,672 $2,283,480 $2,395,131 $2,395,131 $2,615,988
REPAIRS & MAINTENANCE $24,513 $34,022 $31,500 $31,500 $33,700
SUPPLIES & SERVICES $24,749 $24,910 $55,120 $47,100 $48,905
CAPITAL EXPENDITURES $0 $0 $0 $0 $0
TOTAL EXPENDITURES $2,324,935 $2,342,412 $2,481,751 $2,473,731 $2,698,593
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 139 -
Contract Services $2,615,988
This represents the amount of the Town’s fire protection and emergency medical services
contract with Rural Metro Corporation.
Repairs and Maintenance $33,700
This refers to expenses relating to the department’s fleet of fire equipment for field operations as
well as maintenance and repair of office equipment for administrative activities. Fleet expenses
include tires, brakes, batteries, and vehicle parts essential to keeping equipment in operating
order. Office equipment includes service contracts on existing copiers, printers, and computer
equipment. Tires are budgeted at $8,500, repairs at $24,200, and $1,000 for miscellaneous
expenses.
Supplies and Services $48,905
Expenses in this category pertain to daily operations of the department and range from fuel costs
to fire fighting tools, office supplies, specialized training, printing, and publications. Items in this
category are outside of the parameters of the Rural Metro contract and represent expenses
specifically for Fountain Hills. Gas is the largest line item within this category at $33,420. An
amount of $13,525 for fire fighting equipment will be purchased by the Town, including a gas
detector unit ($3,500), Holmatro upgrades, $2,300 for hose, and $2,450 for nozzles.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 140 -
FIRE DEPARTMENT
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
CONTRACT SERVICES
Rural Metro Contract 2,275,672 2,283,480 2,395,131 2,395,131 2,615,988
TOTAL $2,275,672 $2,283,480 $2,395,131 $2,395,131 $2,615,988
REPAIRS & MAINTENANCE:
Vehicle Repairs & Maintenance 24,513 34,022 31,500 31,500 33,700
Office Equipment Repairs/Maintenance 0 0 0 0
TOTAL $24,513 $34,022 $31,500 $31,500 $33,700
SUPPLIES & SERVICES:
Dues & Publications 563 620 700 700 760
Gas & Oil 15,245 18,990 33,520 26,000 33,420
Office Supplies 8,942 400 1,900 1,900 700
Fire Fighting Equipment 0 4,900 18,500 18,500 13,525
Printing 0 0 500 0 500
TOTAL $24,749 $24,910 $55,120 $47,100 $48,905
TOTAL EXPENDITURES $2,324,935 $2,342,412 $2,481,751 $2,473,731 $2,698,593
Town of Fountain Hills
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
Municipal Court
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 141 -
Municipal Court
Misdemeanor
and Traffic
Violations
Domestic
Violence Orders
Local Juvenile
Violations
Municipal Court
Mission Statement ▬▬▬▬▬▬
The Fountain Hills Municipal Court is committed to professionally serving the citizens of
Fountain Hills by administering justice in a fair, efficient, and respectful manner, so as to enhance
public trust and community confidence in our court system.
Department Description ▬▬▬▬▬▬
The Fountain Hills Municipal Court is the judicial branch of the Fountain Hills government. The
court has jurisdiction over civil traffic, criminal traffic, and criminal misdemeanor offenses and
violations of our town codes and ordinances. The Municipal Court judge also presides over some
juvenile violations and has authority to issue search warrants, orders of protection, and
injunctions against harassment.
As part of the Arizona State Court System, the Fountain Hills Municipal Court is subject to the
authority and administrative supervision of the Arizona Supreme Court. The court has legal
obligations and reporting responsibilities to the State, as well as to the Town of Fountain Hills.
The court must comply with constantly changing federal, state, and local laws and administrative
rules, including those relating to crimes and criminal procedure, victims rights, domestic
violence, driving under the influence, record keeping, ADA, minimum accounting standards, and
judicial ethics. Decisions regarding the overall function of the court are the sole responsibility of
the presiding judge who also has exclusive supervisory authority over all court personnel.
Performance Standards ▬▬▬▬▬▬
• Adjudicate 95% of all civil traffic cases within 60 days.
• Adjudicate 80% of criminal and criminal traffic cases within 60 days and 95% within 120
days.
• Maintain a fair and impartial environment to resolve legal disputes.
• Respond to incoming mail requests within 24 hours.
• Issue warrants for failure to appear within two business days.
• Keep written procedures current with changes in laws and rules.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 142 -
Management Indicators ▬▬▬▬▬▬
FY 2002-2003
Actual
FY 2003-2004
Actual
FY 2004-2005
Estimated
FY 2005-2006
Projected
Cases filed 3,135 3,538 3,352 3,500
Cases terminated 3,309 4,000 3,600 3,800
Hearings held 803 813 1,050 1,100
Civil traffic cases closed
within 60 days
92% 95% 95% 95%
Criminal/criminal traffic
cases closed within 60 days
80% 85% 85% 85%
Criminal/criminal traffic
cases closed within 120
days
95% 95% 95% 95%
Fiscal Year 2004–2005 Accomplishments ▬▬▬▬▬▬
• The Court has begun participation in the State’s new centralized collection program called
“FARE” (Fines, Fees and Restitution) for enhancing the Court’s enforcement and collection
efforts
• The Court has successfully implemented videoconferencing for certain proceedings involving
incarcerated defendants, providing a safer, more efficient, and less-costly alternative to in-
person proceedings
• Cooperatively working with the Civic Center Phase II architectural design team, the Court
obtained the required Maricopa County Superior Court approval of the building plans for the
new Fountain Hills Municipal Court facility
• The Fountain Hills Community Teen Court was successfully inaugurated last school year and
reconvened this year as the result of the Court’s partnership with the Fountain Hills High
School, the Maricopa County Juvenile Court, and the Maricopa County Sheriff’s Office
• The Presiding Judge and/or the Court Administrator attended all Limited Jurisdiction
Presiding Judges Meetings, to keep the Court current with ever changing laws and updated on
best practices and procedures
• The entire Court staff completed at least 16 hours of mandatory continuing education
• The Court continued to participate in the Tax Intercept Program that intercepts and collects
state income tax refunds of defendants with financial obligations to the Court
• The Court continued to be utilized by the Supreme Court’s Administrative Office of the
Courts (AOC) as a model court for training new AOC employees on the administrative
practices and customer service in a smaller community court
Fiscal Year 2005-2006 Objectives ▬▬▬▬▬▬
• Continue the review, updating and implementation of existing and new Court policies and
procedures
• Enhance court order enforcement and collection processes, including implementation of
FARE
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 143 -
• Pursue the partnership opportunity with the Maricopa County Mental Health Court for
utilizing their resources and programs for Fountain Hills cases
• Expand the Court’s website with enhanced public access to Court information and services.
Summary Expenditures – Municipal Court
Schedule of Authorized Positions
Authorized FTE’s Proposed
2002-2003 2003-2004 2004-2005 2005-2006
Court
Presiding Judge 1.00 1.00 1.00 1.00
Court Administrator 1.00 1.00 1.00 1.00
Senior Court Clerk 0 0 1.00 1.00
Court Collections Clerk 1.00 0 0 0
Court Clerk 3.00 3.00 2.00 2.50
Authorized FTE 6.00 5.00 5.00 5.50
Salaries and Benefits $337,820
With recent and anticipated program additions, the Court is re-evaluating the workload
requirements for the next fiscal year, and have proposed a part-time position in the event that the
workload increases significantly. The proposed FY05-06 budget includes this position funded by
the General Fund as a half-time FTE.
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Budget
SALARIES & BENEFITS $259,064 $274,783 $316,050 $308,951 $337,820
CONTRACTUAL SERVICES $7,800 $4,170 $8,500 $8,000 $6,300
REPAIRS & MAINTENANCE $1,126 $813 $1,200 $1,000 $1,200
SUPPLIES & SERVICES $19,756 $12,930 $16,600 $12,002 $16,955
CAPITAL EXPENDITURES $0 $0 $0 $0 $0
TOTAL EXPENDITURES $287,746 $292,696 $342,350 $329,953 $362,275
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 144 -
Contract Services $6,300
This category includes required interpreting services other than day-to-day Spanish, which is
provided by court staff, and the services of pro tem judges when the presiding judge is
unavailable. The court also has a contract for $4,500 with the Supreme Court for the use and
maintenance of the Arizona Court Automation Program (ACAP).
Repairs and Maintenance $1,200
This supports routine service and annual maintenance of office equipment.
Supplies and Services $16,955
This line item includes funding to support advertising and signage, $3,500 for the presiding judge
and court staff to attend mandatory continuing education conferences as required by the Arizona
Supreme Court, court-related association dues, fees for publications, updated Arizona statutes and
court rules, and necessary directory subscriptions. Also included in this item is funding for office
supplies and printing, which have increased due to costs of new stationery and supplies for the
new court facility.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 145 -
MUNICIPAL COURT
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
SALARIES & BENEFITS
Wages 205,809 220,620 253,200 248,087 265,200
FICA 2,917 3,124 3,700 3,550 4,750
Unemployment Insurance 243 266 250 325 400
Employee's Health Insurance 21,761 21,751 25,470 24,222 33,120
Employee's Life Insurance 251 643 820 794 890
Employee's Dental Insurance 2,343 2,740 3,010 2,849 3,580
Employee's Eye Insurance 175 0 0 0 190
Worker's Compensation Insurance 387 388 530 700 790
Employee's Retirement Fund 22,639 24,254 27,850 27,290 27,640
Recruitment Costs 1,704 0 0
Disability Insurance 835 997 1,220 1,134 1,260
TOTAL $259,064 $274,783 $316,050 $308,951 $337,820
CONTRACT SERVICES
Accounting Fees 0 0 2,000 2,000 0
Interpreters/Pro-Tem Judge 4,800 1,170 2,000 1,500 1,800
Intergovernmental Agreements 3,000 3,000 4,500 4,500 4,500
TOTAL $7,800 $4,170 $8,500 $8,000 $6,300
REPAIRS & MAINTENANCE:
Office Equipment Repairs 1,126 813 1,200 1,000 1,200
TOTAL $1,126 $813 $1,200 $1,000 $1,200
SUPPLIES & SERVICES:
Advertising/Signage 0 0 400 100 500
Conferences 1,460 1,409 1,900 1,000 1,900
Education/Training 25 940 1,400 800 1,600
Fees & Publications 3,138 3,276 3,500 3,500 3,550
Office Supplies 1,771 3,514 3,000 3,000 4,000
Printing 1,574 1,467 1,600 500 2,000
Communication Expense 302 38 0 102 105
Travel 55 225 800 500 800
Bank Charges 2,599 2,062 2,500 2,500 2,500
TOTAL $19,756 $12,930 $16,600 $12,002 $16,955
CAPITAL EXPENDITURES
Capital Outlay - Furniture/Equipment 0 0 0 0 0
TOTAL CAPITAL EXPENDITURES $0 $0 $0 $0 $0
TOTAL EXPENDITURES $287,746 $292,696 $342,350 $329,953 $362,275
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 146 -
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Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Special Revenue Fund – Grants
Special Revenue Fund – Community Center -Furniture, Fixtures & Equipment (FF&E)
This budget includes carryover funds from community donations to be used for the Community
Center. Included is $10,000 for design fees associated with hiring an architectural firm to help
develop plans for the Community Center Courtyard area and a miscellaneous amount for
unforeseen expenditures in the amount of $30,000.
SPECIAL REVENUE FUND FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Community Center Furniture, Fixtur Actual Actual Budget Estimate Proposed
REVENUE:
Contributions 117,200 0 0 0 0
TOTAL CURRENT REVENUE $117,200 $0 $0 $0 $0
Contract Services 0 0 0 0 10,000
Repairs & Maintenance 13,433 4,094 15,000 8,846 0
Supplies & Services 10,615 5,677 15,000 6,154 0
Capital Expenditures 27,876 18,863 150,770 0 30,000
TOTAL EXPENDITURES $51,924 $28,634 $180,770 $15,000 $40,000
EXCESS OF REVENUES OVER/
(UNDER) EXPENDITURES 65,276 (28,634) (180,770) (15,000) (40,000)
Fund Balance Beginning of Year $122,294 $187,570 $180,770 $158,936 $143,937
Ending Fund Balance $187,570 $158,936 $0 $143,937 $103,937
SPECIAL REVENUE FUND FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
REVENUE:
FEMA 84,769 0 67,500 0 50,000
Proposition 202 0 75,000 50,000 55,000 0
LTAF Revenue 0 28,601 0 53,006 68,125
Undesignated Grant Revenue 59,244 0 1,375,000 0 1,437,000
ADOT 0 0 0 0 175,000
TOTAL CURRENT REVENUE $144,012 $103,601 $1,492,500 $108,006 $1,730,125
FEMA 67,530 17,227 75,000 0 50,000
Proposition 202 0 65,320 50,000 64,692 0
LTAF-RPTA 0 28,601 0 53,006 68,125
Undesignated Grant Expenditure 59,244 0 1,375,000 0 1,437,000
ADOT - Street Sweeper 0 0 0 0 225,000
Transfer from General Fund 0 0 (7,500)0 0
Transfer from HURF 0 0 0 0 (50,000)
TOTAL EXPENDITURES & TRANSFERS $126,774 $111,148 $1,492,500 $117,698 $1,730,125
EXCESS OF REVENUES OVER/
(UNDER) EXPENDITURES 17,239 (7,547)0 (9,692) 0
Fund Balance Beginning of Year $0 $17,239 $0 $9,692 $0
Ending Fund Balance $17,239 $9,692 $0 $0 $0
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 148 -
Excise (Sales )Tax – Special Revenue – Municipal Property Corporation Debt Service
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
EXCISE TAX (SALES) REVENUE:
Revenue:
Mountain Bonds (.2%) 1,076,934 892,241 659,070 659,070 721,089
Civic Center Phase II Bonds (.1%) 0 350,000 350,000 360,545
Interest 7,880 17,605 7,500 22,000 24,000
TOTAL REVENUES $1,084,814 $909,846 $1,016,570 $1,031,070 $1,105,634
EXPENDITURES:
MPC Debt Service
Mountain Bond Payment 607,411 637,061 595,000 595,000 606,500
Civic Center Phase II Bonds (.1%) 0 0 350,000 255,480 270,000
Sales Tax Rebate 0 0 22,532 22,532 38,602
TOTAL EXPENDITURES $607,411 $637,061 $967,532 $873,012 $915,102
EXCESS OF REVENUES OVER/
(UNDER) EXPENDITURES 477,402 272,785 49,038 158,058 190,532
Fund Balance Beginning of Year $719,577 $1,196,980 $1,098,387 $1,469,765 $1,627,823
Ending Fund Balance $1,196,980 $1,469,765 $1,147,425 $1,627,823 $1,818,355
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 149 -
Excise Tax – Special Revenue – Downtown Development
EXCISE TAX (SALES) SPECIAL REVENUE
Downtown Development FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
REVENUES:
Downtown Development (.1%) 358,978 297,414 329,535 329,535 360,545
TOTAL REVENUES $358,978 $297,414 $329,535 $329,535 $360,545
EXPENDITURES:
SALARIES & BENEFITS:
Wages 0 8,798 37,500 38,877 39,375
FICA 0 128 413 541 580
Unemployment Insurance 0 41 36 65 49
Employee's Health Insurance 0 472 6,367 3,028 3,548
Employee's Life Insurance 0 19 95 125 142
Employee's Dental Insurance 0 53 738 330 362
Employee's Eye Insurance 0 0 0 0 23
Worker's Compensation Insurance 0 16 90 135 121
Employee's Retirement Fund 0 968 3,094 4,277 4,331
Recruitment Costs 0 475 0 0 0
Disability Insurance 0 30 135 185 197
TOTAL SALARIES/BENEFITS $0 $11,000 $48,467 $47,563 $48,729
CONTRACT SERVICES
Professional Fees 0 0 40,500 40,500 30,000
Engineering Fees 0 32,674 25,000 25,000
Sales Tax Rebate 0 11,600 11,600 11,600 12,867
TOTAL CONTRACT SERVICES $0 $44,274 $77,100 $77,100 $42,867
SUPPLIES & SERVICES
Advertising/Signage 0 289 0 100 0
Conferences 0 399 5,025 2,500 5,075
Education/Training 0 0 500 150 450
Dues/Publications 0 188 850 600 600
Office Supplies 0 69 300 300 300
Printing 0 31 2,000 2,000 2,000
Travel 0 52 1,500 1,500 660
TOTAL $0 $1,028 $10,175 $7,150 $9,085
CAPITAL EXPENDITURES
Capital Projects Fund 0 0 400,000 200,000 800,000
TOTAL CAPITAL EXPENDITURES $0 $0 $400,000 $200,000 $800,000
TOTAL EXPENDITURES $0 $56,302 $535,742 $331,813 $900,681
EXCESS OF REVENUES OVER/
(UNDER) EXPENDITURES $358,978 $241,112 ($206,207) ($2,278) ($540,136)
Fund Balance Beginning of Year $432,813 $791,791 $1,004,809 $1,032,903 $1,030,625
Ending Fund Balance $791,791 $1,032,903 $798,602 $1,030,625 $490,489
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 150 -
Downtown Development
Salaries and Benefits $48,729
The Town downtown economic development coordinator salary and benefits are partially funded
by the dedicated 0.01% of local sales tax. The coordinator dedicates 75% of the time with a focus
on developing the downtown area; the remainder of the time will be spent on promoting
economic development for the community as a whole.
Contractual Service $42,867
The proposed budget includes the services of a professional firm to provide a fantastic
holiday/anniversary lighting display in the downtown area. The contract for repair, erection,
dismantling, and storage of the Town-owned holiday lighting displays is estimated to be $30,000.
The 0.01% of the local sales tax rebate is also included within this division budget.
Supplies and Services $9,085
The downtown economic development coordinator is planning to attend three major conferences
in the upcoming fiscal year - the national International Economic Development (IEDC)
conference in Chicago in the fall of 2005, the Arizona Economic Development Association
conferences (fall and spring) for $1,075, and the International Conference of Shopping Centers
for $800. Memberships in Arizona Association for Economic Development, International
Economic Development Council, and associated publications will cost $850.
Capital Expenditures $800,000
The capital request is for funding of Phase I along the north side of Avenue of the Fountains for
an estimated $200,000. It is anticipated that the construction along the avenue will consist of
shade structures, benches and trash receptacles, sidewalk resurfacing, upgraded landscape
materials, low-level street lighting and pedestrian crossings at a cost of approximately $600,000.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 151 -
Debt Retirement
The Debt Service Fund provides for the payment of interest, principal, and related costs on General
Obligation (GO) Bonds, Highway User Revenue Fund bonds and Municipal Property Corporation
(MPC) Revenue bonds. There are three General Obligation bond issues outstanding that were
approved by the voters for specific purposes. The first GO bond issue in 1991 (refunded in 1995)
was to pave roads that remained unpaved at the time of incorporation. Additional GO bonds issued
in 1999 and 2000 were for the construction of a library/museum and community center. Bonds
issued in 2001 were for the purchase of mountain preservation land in the McDowell mountains.
Total General Obligation bond principal and interest payments for fiscal year 2005-2006 are
$1,375,000 and will be paid through a levy of Town property. The Summary/Schedules section
includes an itemization of the outstanding debt as of June 30, 2005.
The HURF Bond principal and interest payment is $110,500 for fiscal year 2005-2006 and will be
paid from HURF revenues received during the year. The Eagle Mountain Community Facilities
District debt payments are levied on the property owners within the district. These obligations are
paid by the Fountain Hills property owners using secondary property taxes, less any credits, carry-
forward and/or interest earnings. The annual Municipal Property Corporation debt service for the
Community Center are transferred from the General Fund and included within the Community
Center budget. The annual Mountain Bond MPC debt service is included as an expenditure in the
Excise Sales Tax – Mountain Bond Fund. Below is the schedule of Debt Service payments required
for next fiscal year.
The annual property tax levy is based on the total amount required for the payment (with adjustments
for carry-forward, delinquencies, etc.) divided by the total assessed valuation for the Town of
Fountain Hills. The Town’s secondary assessed property valuation for fiscal year 2005-2006 is
estimated to be $375,183,181 for the upcoming year and the estimated levy is $0.30 per $100 of
assessed value.
Issue Principal Interest
GO $275,000 $85,000
Lakeside $75,000 $50,000
HURF $85,000 $25,500
Cottonwoods $3,228 $700
Library/Museum $225,000 $162,425
Eagle Mtn $160,000 $301,850
MPC Comm. Center $175,000 $212,000
Mtn Bonds (GO) $250,000 $249,000
MPC - Mtn Bonds $300,000 $306,500
MPC - Civic Ctr Ph I $125,000 $145,000
TOTAL $1,673,228 $1,537,975
TOTAL DEBT SERVICE - TOWN OF F.H. 05-06
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 152 -
Debt Retirement – HURF/GO Bonds
DEBT RETIREMENT - HURF/GO BONDS
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
REVENUE:
Property Tax Revenue:
General Obligation Bonds 1,447,580 1,564,923 1,450,000 1,450,000 1,150,000
Other Debt Retirement Issues:
HURF Street Paving Transfers 126,000 124,417 124,000 124,000 110,500
Cottonwoods Improvement District 4,480 3,622 4,500 4,500 3,850
MPC - Community Center 385,022 377,813 375,500 375,500 387,000
Interest Earnings 179 1,000 1,300 1,400
TOTAL REVENUES $1,963,261 $2,070,775 $1,955,000 $1,955,300 $1,652,750
EXPENDITURES:
General Obligation Bonds:
Bond Payment - GO 349,690 359,239 355,000 355,000 360,000
Bond Payment - Lakeside 137,500 132,250 132,500 132,500 125,000
Bond Payment - Library/Museum 382,975 368,425 390,000 390,000 399,000
Bond Payment - Mtn Bonds GO 513,200 500,400 520,000 520,000 499,000
Special Districts/MPC Debt Service:
MPC - Community Center 385,022 377,813 375,500 375,500 387,000
Bond Payment - HURF 126,223 122,533 124,000 124,000 110,500
Bond Payment - Cottonwoods Impr. Dist. 4,245 4,160 4,500 4,500 3,850
TOTAL EXPENDITURES $1,898,855 $1,864,820 $1,901,500 $1,901,500 $1,884,350
EXCESS OF REVENUES OVER/
(UNDER) EXPENDITURES 64,406 205,955 53,500 53,800 (231,600)
Fund Balance Beginning of Year ($34,841) $29,565 ($134,841) $235,520 $289,320
Ending Fund Balance $29,565 $235,520 ($81,341) $289,320 $57,720
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 153 -
Computation of Legal Debt Margin – Fiscal Year 2005-2006
The Arizona Constitution provides that the general obligation bonded indebtedness for a
municipality for general municipal purposes may not exceed six percent (6%) of the secondary
assessed valuation of the taxable property in that city or town. In addition to the six percent
limitation for general municipal purpose bonds, municipalities may issue general obligation
bonds up to an additional twenty percent (20%) of the secondary assessed valuation for supplying
water, artificial light, or sewers, and for the acquisition and development of land for open space
preserves, parks, playgrounds and recreational facilities.
Direct Bonded Debt, Legal Limitation and Unused Borrowing Capacity
Debt limit - 6% of
secondary net assessed
valuation $22,510,991
Debt limit - 20% of
secondary net assessed
valuation $75,036,636
Less Direct Bonded Debt ($4,735,000)Less Direct Bonded Debt ($6,375,000)
Unused 6% Borrowing
Capacity $17,775,991
Unused 20% Borrowing
Capacity $68,661,636
Water, Sewer, Light, Parks, Open Space
and Recreational Facility BoardsGeneral Municipal Purpose Bonds
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 154 -
Schedule of Outstanding Debt (As of June 30, 2005)
Bond Purpose Date of Interest Date of Original Principal Principal Amount Outstanding
Type of Issue Bond Issue Rate Maturity Amount Amount Retired Refunded Principal
GO Refunding 11/1/1995 5.30 7/1/2010 $2,455,000 $925,000 $1,255,000 $275,000
GO Library/Museum 6/1/2000 5.50 7/1/2014 $3,700,000 $975,000 $1,675,000 $1,050,000
GO Land Acq-Lake 8/1/1999 5.10 7/1/2014 $1,400,000 $425,000 $500,000 $475,000
GO Mtn. Bonds 12/1/2001 4.90 7/1/2020 $6,000,000 $925,000 $3,425,000 $1,650,000
GO Refunding 6/1/2005 4.00 7/1/2019 $7,225,000 $0 $0 $7,225,000
TOTAL $24,310,000 $4,325,000 $9,310,000 $10,675,000
Rev Refunding 8/1/1998 4.63 7/1/2010 $1,075,000 $535,000 $0 $540,000
Rev Comm. Center 7/1/2000 5.40 7/1/2020 $4,680,000 $775,000 $2,475,000 $1,430,000
Rev Mtn. Bonds 12/1/2001 4.70 7/1/2021 $7,750,000 $1,100,000 $3,910,000 $2,740,000
Rev Civic Center 12/1/2004 4.50 7/1/2019 $3,645,000 $170,000 $0 $3,475,000
Rev Refunding 6/1/2005 4.15 7/1/2019 $5,330,000 $0 $0 $5,330,000
TOTAL $23,680,000 $2,780,000 $7,385,000 $13,515,000
SA Eagle Mtn-A 6/1/1996 6.50 7/1/2021 $4,435,000 $410,000 $0 $4,025,000
SA Eagle Mtn-B 6/1/1996 7.25 7/1/2021 $470,000 $40,000 $0 $430,000
SA Improvmnts 6/16/1999 5.25 7/1/2009 $32,276 $19,365 $0 $12,911
TOTAL $4,937,276 $469,365 $0 $4,467,911
GRAND TOTAL $52,927,276 $7,574,365 $16,695,000 $28,657,911
GO General Obligation Bonds
Rev Revenue Bonds
SA Special Assessment Bonds
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 155 -
Eagle Mountain Community Facilities District
FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
REVENUE:
Property Tax Revenue $458,288 $574,193 $513,000 $513,000 $353,600
Town of Fountain Hills Reimbursement $0 $0 $0 $0 $50,000
Investment Earnings ($195,647) $3,391 $0 $0 $2,000
TOTAL REVENUES $262,641 $577,585 $513,000 $513,000 $405,600
EXPENDITURES:
Debt Service $316,526 $459,814 $455,500 $456,830 $330,600
Administrative Fees $50,000 $50,000 $52,500 $6,600 $20,000
Trustee Fees $5,000 $5,000 $5,000 $5,000 $5,000
TOTAL EXPENDITURES $371,526 $514,814 $513,000 $468,430 $355,600
EXCESS OF REVENUES OVER/
(UNDER) EXPENDITURES ($108,885) $62,771 $0 $44,570 $50,000
Fund Balance Beginning of Year $307,645 $198,760 $261,530 $261,530 $306,100
Ending Fund Balance $198,760 $261,530 $261,530 $306,100 $356,100
EAGLE MOUNTAIN COMMUNITY FACILITIES DISTRICT
Annual Statement of Estimates of Expenses
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 156 -
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Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 157 -
Development Fees
Assumptions
Major Influences: Development
$176,759
$339,000
$462,170
$424,880
$198,023
$212,843
$377,400
$514,522
$473,008
$160,338
$139,800
$190,594
$175,216
$192,667 $96,087
$0 $200,000 $400,000 $600,000 $800,000 $1,000,000 $1,200,000 $1,400,000 $1,600,000
2001-2002
2002-2003
2003-2004
2004-2005
2005-2006
Law Enforcement Streets - SF Streets - MF Parks & Recreation Open Space General Government
Percent
Restrictions Fiscal Year Amount Change
2000-01 $8,960
2001-02 $103,530 1055.5%
2002-03 $604,658 484.0%
2003-04 $998,975 65.2%
2004-05 (est.) $1,375,544 37.7%
2005-06 (est.) $1,268,126 -7.8%
Accounts: 802 - 819
There is a State constitutional restriction on the use of these funds
which requires that these funds be used solely for infrastructure
expansion required by new development. The Development Fund is a
restricted fund and may only be appropriated for the particular purpose
for which they were imposed. The projection for FY2006 is based on
information provided by local engineering firms, developers and
planning staff estimates of construction activity.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 158 -
Development Fee Expenditures
In November 2000, the Town Council of Fountain Hills passed Ordinance 00-21 to establish and
impose development fees on new residential permits to offset the costs associated with growth.
The development fee accounts are restricted and may only be spent for the particular public
facility for which they were imposed. Each year during the budget process, the Town of Fountain
Hills will identify the projects anticipated to be funded in whole or in part with development fees.
For fiscal year 2005-2006, the following schedule is presented for Council consideration and
itemizes the proposed development fee expenditures based on available balance in each account
as of June 30, 2005.
Law Open General
Enforcement Street Parks Space Government TOTALS
Balance 6/3/2001 $960 $13,742 $33,900 $37,740 $13,987 $100,329
FY 2001-2002 Revenues $10,887 $144,761 $176,759 $198,023 $160,338 $690,768
FY 2001-2002 Expenditures $0 $0 ($80,954)$0 ($185,500) ($266,454)
FY 2002-2003 Revenues $6,573 $96,705 $192,463 $212,684 $96,234 $604,659
FY 2002-2003 Expenditures 0 ($7,000)$0 ($14,105)$0 ($21,105)
FY 2003-2004 Revenues $9,814 $139,990 $268,018 $296,402 $141,417 $855,641
FY 2003-2004 Expenditures $0 ($201,150)$0 ($13,049)$0 ($214,199)
FY 2004-2005 Revenues $16,600 $199,500 $474,060 $527,400 $233,600 $1,451,160
FY 2004-2005 Expenditures ($40,068) ($319,000) ($356,000) ($129,100) ($390,955) ($1,235,123)
FY 2005-2006 Revenues $12,082 $260,740 $425,880 $482,608 $175,566 $1,356,876
FY 2005-2006 Expenditures1 ($16,848) ($295,000) ($603,700) ($129,800) ($244,687) ($1,290,035)
FY 2005-2006 Ending Bal. $0 $33,288 $530,426 $1,468,803 $0 $2,032,517
1Fiscal year 2005-2006 proposed projects
There are several capital projects proposed to be funded from development fees, the specific
projects are listed below (descriptions of each project are included in the Capital Improvement
Plan):
Streets
Left turn lane at Saguaro/Monterey $ 40,000
Sidewalks $ 55,000
Traffic signal at Saguaro/El Lago $200,000
Parks
Veterans Memorial Park contribution $ 40,000
Ramadas for Fountain Park $138,200
Phase III Desert Vista Neighborhood Park $425,500
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 159 -
Open Space
Eagles Nest Trailhead $ 28,800
Adero Canyon Trailhead $101,000
General Government and Law Enforcement
Civic Center Phase II completion $261,535
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 160 -
Development Fees – Law Enforcement
Development Fees – Parks and Recreation
DEVELOPMENT FEES
LAW ENFORCEMENT FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
REVENUES:
Law Enforcement Development Fees 6,550 9,676 11,392 16,200 12,032
Interest 23 138 350 400 50
TOTAL REVENUES 6,573 9,814 11,742 16,600 12,082
EXPENDITURES:
Transfer to CIP 0 0 40,068 40,068 16,848
TOTAL EXPENDITURES $0 $0 $40,068 $40,068 $16,848
EXCESS OF REVENUES OVER/ 6,573 9,814 (28,326) (23,468) (4,766)
(UNDER) EXPENDITURES
Fund Balance Beginning of Year $11,847 $18,420 $28,326 $28,234 $4,766
Ending Fund Balance $18,420 $28,234 $0 $4,766 $0
DEVELOPMENT FEES
PARKS & RECREATION FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
REVENUES:
P & R Department Development Fees 192,100 263,320 402,280 465,560 424,880
Interest 363 4,698 8,200 8,500 1,000
TOTAL REVENUES $192,463 $268,018 $410,480 $474,060 $425,880
EXPENDITURES:
CAPITAL EXPENDITURES
Fountain Park Spray Park 0 0 125,000 125,000 0
Skate Park 0 0 206,000 206,000 0
Veteran's Memorial 0 0 25,000 25,000 40,000
Fountain Park Picnic Ramadas 0 0 0 0 138,200
Desert Vista Phase III 0 0 0 0 425,500
Previously Approved Projects 0 0 0 0 0
TOTAL EXPENDITURES $0 $0 $356,000 $356,000 $603,700
EXCESS OF REVENUES OVER/ $192,463 $268,018 $54,480 $118,060 ($177,820)
(UNDER) EXPENDITURES
Fund Balance Beginning of Year $129,705 $322,168 $599,698 $590,186 $708,246
Ending Fund Balance $322,168 $590,186 $654,178 $708,246 $530,426
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 161 -
Development Fees – Streets
Development Fees – Open Space
DEVELOPMENT FEES
STREETS FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
REVENUES:
Street Department Development Fees 96,512 138,608 149,475 195,000 160,240
Developer Contribution 0 0 0 0 100,000
Interest 193 1,382 5,000 4,500 500
TOTAL REVENUE 96,705 139,990 154,475 199,500 260,740
CAPITAL EXPENDITURES
FH Blvd/El Lago Signal 7,000 83,088 85,000 123,100 0
Shea Widening (MCDOT) 0 118,062 0 0 0
Shea/Saguaro Left Turn Lane 0 0 30,000 0 0
Saguaro/Monterey Turn Lanes 0 0 40,000 0 40,000
Shea Signal (Eagle Mtn/Palisades) 0 0 20,000 0 0
Shea Bike Lanes 0 0 10,000 160,900 0
Drainage Ruskin/Kipling 0 0 40,000 0 0
Sidewalks 0 0 55,000 0 55,000
Saguaro/El Lago Signal 0 0 85,000 35,000 200,000
TOTAL EXPENDITURES $7,000 $201,150 $365,000 $319,000 $295,000
EXCESS OF REVENUES OVER/ $89,705 ($61,160) ($210,525) ($119,500) ($34,260)
(UNDER) EXPENDITURES
Fund Balance Beginning of Year $158,503 $248,208 $212,821 $187,048 $67,548
Ending Fund Balance $248,208 $187,048 $2,296 $67,548 $33,288
DEVELOPMENT FEES
OPEN SPACE FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
REVENUES:
Open Space Development Fees 212,276 290,598 447,848 518,300 473,008
Interest 408 5,804 9,100 9,100 9,600
TOTAL REVENUES $212,684 $296,402 $456,948 $527,400 $482,608
EXPENDITURES:
CAPITAL EXPENDITURES
Capital Outlay - Trailhead Restroom 0 0 75,000 75,000 28,800
Capital Outlay-Trailhead Development 14,105 13,049 54,100 54,100 101,000
TOTAL EXPENDITURES $14,105 $13,049 $129,100 $129,100 $129,800
EXCESS OF REVENUES OVER/ $198,579 $283,353 $327,848 $398,300 $352,808
(UNDER) EXPENDITURES
Fund Balance Beginning of Year $235,763 $434,342 $810,842 $717,695 $1,115,995
Ending Fund Balance $434,342 $717,695 $1,138,690 $1,115,995 $1,468,803
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 162 -
Development Fees – General Government
DEVELOPMENT FEES
GENERAL GOVERNMENT FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
REVENUES:
General Government Development Fees 96,087 139,621 165,896 230,000 175,216
Interest 147 1,796 100 3,600 350
TOTAL REVENUE 96,234 141,417 165,996 233,600 175,566
EXPENDITURES:
CAPITAL EXPENDITURES
Capital Project - Civic Center 0 0 390,955 390,955 244,687
Capital Outlay 0 0 0 0
TOTAL EXPENDITURES 0 0 390,955 390,955 244,687
EXCESS OF REVENUES OVER/ $96,234 $141,417 ($224,959) ($157,355) ($69,121)
(UNDER) EXPENDITURES
Fund Balance Beginning of Year ($11,175) $85,059 $224,959 $226,476 $69,121
Ending Fund Balance $85,059 $226,476 $0 $69,121 ($0)
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 163 -
Capital Projects Fund (projects that have been previously approved)
During the FY2004-05 budget process, several capital projects were approved by the Town
Council and are currently under construction. The first project is completion of Civic Center
phase II, which began construction in September, 2004. Because the Town currently rents space
at an annual rate of $600,000 including maintenance, taxes, and rent, this project is expected to
save the Town more than $30 million over thirty years. The new facility will serve as the
municipal offices for law enforcement, planning and zoning, parks and recreation, senior center,
administrative offices, and the court. Bonds sold for the project by the Town of Fountain Hills
Municipal Property Corporation provided $3.8 million towards the project as well as general
government and law enforcement development fees in the amount of $431,023. Projects that are
not complete prior to the end of any fiscal year must be re-budgeted the following year, such as
the new Town Hall. FY05-06 includes $956,500 in the capital budget to be provided by
development fees ($261,535), funds carried forward from FY04-05 ($333,621) and a transfer
from the General Fund in the amount of $361,344. The expenditures are broken down as follows:
Parking canopies $392,000
Pave east parking lot $300,000
Balance on construction contract $224,023
Balance on Kitchell contract $ 21,300
Signage $ 14,000
External amenities (trash, mats) $ 3,200
Kohler $ 2,000
The second project is the skate park for $206,000 that will be constructed at Desert Vista
Neighborhood Park, with groundbreaking expected during the first quarter of FY05-06.
Street projects that were previously approved but scheduled for completion in FY05-06 are the
turn pocket at Saguaro and Monterey Boulevards, sidewalks on Saguaro and Kingstree
Boulevards and a drainage project on Ruskin and Kipling for a total of $135,000.
General Fund Balance Transfer for Capital
During FY04-05 revenues exceeded expenditures by $2,570,848 due to controlled expenditures
and better than anticipated revenues. It is proposed that this amount be transferred from the
General Fund to the Capital Projects to be available for funding future projects when constructed
related revenues decline. The Town’s beginning General Fund balance is $6.4 million, which
meets the Town’s fund balance policy reserve level and brings it back to historic levels. While
the Town is benefiting from one time construction related revenues it makes sense to use them for
one time capital costs and maintaining the fund balance.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 164 -
CAPITAL PROJECTS FY 2002-2003 FY 2003-2004 FY 2004-2005 FY 2004-2005 FY 2005-2006
Actual Actual Budget Estimate Proposed
Beginning Fund Balance $0 $0 $601,370 $556,370 $409,896
Revenues:
Development Fee Transfers:
General Government 0 0 390,955 390,955 244,687
Law Enforcement 0 0 40,068 40,068 16,848
Parks & Recreation 0 69,670 0 206,000
Other Revenue Sources:
Sales Tax - CIP 0 120,340 528,225 528,225 528,225
Grants 0 0 237,300 237,300 0
Proceeds from sale of assets 0 21,700 0 0 0
Bond Proceeds 0 0 3,500,000 3,783,896 0
Developer Contributions 0 0 317,500 0 0
Interest on Bonds 0 0 0 30,000 25,000
Transfers:
General Fund - Fountain Park 0 510,000 0 0 0
General Fund - Civic Center II 0 400,250 940,752 940,752 361,344
General Fund Balance Transfer for Capital 0 0 0 2,570,848
TOTAL REVENUES 0 1,121,960 5,954,800 6,157,196 3,746,952
EXPENDITURES:
Civic Center Phase II 0 520,590 5,421,700 5,402,000 956,500
Parks & Recreation 0 45,000 771,970 901,670 206,000
Streets 0 0 317,500 0 135,000
TOTAL EXPENDITURES 0 565,590 6,511,170 6,303,670 1,297,500
EXCESS OF REVENUES OVER/
(UNDER) EXPENDITURES $0 $556,370 ($556,370) ($146,474) $2,449,452
Fund Balance Beginning of Year $0 $0 $556,370 $556,370 $409,896
Ending Fund Balance $0 $556,370 $0 $409,896 $2,859,348
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Summary of Tax Levy and Tax Rate Information
TOWN OF FOUNTAIN HILLS, ARIZONA
Summary of Tax Levy and Tax Rate Information
Fiscal Year 2005-06
2004-05 2005-06
FISCAL YEAR FISCAL YEAR
1.Maximum allowable primary property tax levy.
A.R.S. §42-17051(A).$0$0
2.Amount received from primary property taxation in the
2003-04 fiscal year in excess of the sum of that year's
maximum allowable primary property tax levy.
A.R.S. §42-17102(A)(18).$0
3. Property tax levy amounts
A. Primary property taxes $0$0
B. Secondary property taxes 1,450,000 1,112,000
C. Total property tax levy amounts $ 1,450,000 $ 1,112,000
4. Property taxes collected*
A. Primary property taxes
(1) 2004-05 levy $0
(2) Prior years’ levy
(3) Total primary property taxes $0
B. Secondary property taxes
(1) 2004-05 levy $ 1,450,000
(2) Prior years’ levy
(3) Total secondary property taxes $ 1,450,000
C. Total property taxes collected $ 1,450,000
5. Property tax rates
A. City/Town tax rate
(1) Primary property tax rate 0.0000 0.0000
(2) Secondary property tax rate 0.4021 0.3021
(3) Total city/town tax rate 0.4021 0.3021
B. Special assessment district tax rates
Secondary property tax rates - As of the date the proposed budget was prepared, the
town was operating two (2) special assessment districts for which secondary property
taxes are levied. For information pertaining to these special assessment districts and
their tax rates, please contact the town.
*Includes actual property taxes collected as of the date the proposed budget was prepared plus estimated property
tax collections for the remainder of the fiscal year.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Tax % %
Year Primary Change Secondary Change
1995 $94,188,635 $100,161,566
1996 $100,649,833 6.9% $103,944,051 3.8%
1997 $112,285,569 11.6% $116,333,406 11.9%
1998 $133,721,181 19.1% $146,943,730 26.3%
1999 $160,963,931 20.4% $174,760,640 18.9%
2000 $190,102,361 18.1% $212,415,476 21.5%
2001 $220,229,137 15.8% $238,714,537 12.4%
2002 $247,151,729 12.2% $270,602,866 13.4%
2003 $282,800,857 14.4% $323,385,230 19.5%
2004 $319,213,464 12.9% $349,398,334 8.0%
2005 $350,557,588 9.8% $375,183,181 7.4%
TOWN OF FOUNTAIN HILLS ASSESSED VALUATION
1995 - 2005
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Schedule of Authorized Positions ▬▬▬▬▬▬
Position – Title 2002-2003 2003-2004 2004-2005 2005-2006
Authorized Authorized Authorized Proposed
FTE FTE FTE FTE
Court
Presiding Judge 1.00 1.00 1.00 1.00
Court Administrator 1.00 1.00 1.00 1.00
Senior Court Clerk 0.00 0.00 1.00 1.00
Court Collections Clerk 1.00 0.00 0.00 0.00
Court Clerk 3.00 3.00 2.00 2.50
Authorized FTE 6.00 5.00 5.00 5.50
Administration
Town Manager 1.00 1.00 1.00 1.00
Undesignated Position 2.00 0.00 0.00 0.00
Director of Admin/Town Clerk 1.00 0.00 0.00 0.00
Finance Director 1.00 1.00 1.00 1.00
Town Clerk 0.00 1.00 1.00 1.00
Assistant Town Manager 0.00 0.00 0.00 1.00
I. T. Administrator 1.00 0.00 0.00 0.00
I. T. Intern 0.50 0.50 0.50 0.00
Accountant 0.00 0.00 1.00 1.00
Accounting/H.R.Clerk 1.00 1.00 0.00 0.00
Accounting Clerk 0.00 0.00 1.00 1.00
Administrative Intern 1.00 0.00 0.00 0.50
Exec.Asst to Town Mgr/Council 1.00 1.00 1.00 1.00
Executive Assistant 1.00 0.00 0.00 0.00
Human Resources Administrator 1.00 1.00 1.00 1.00
I. T. Coordinator 1.00 1.00 1.00 1.00
Administrative Assistant 1.00 0.00 0.00 0.00
Facilities Supervisor 1.00 1.00 1.00 1.00
Facilities Maintenance Tech 0.00 0.00 1.00 1.00
Maintenance/Custodial Worker 1.00 1.00 0.50 0.50
Custodian 2.00 1.50 1.00 1.00
Customer Service Rep.1.00 1.50 1.00 0.50
Administrative Clerk 0.00 0.00 0.50 1.00
Receptionist 0.00 0.00 0.00 0.50
Authorized FTE 18.50 12.50 13.50 15.00
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Schedule of Authorized Positions ▬▬▬▬▬▬
Position – Title 2002-2003 2003-2004 2004-2005 2005-2006
Authorized Authorized Authorized Proposed
FTE FTE FTE FTE
Building Safety
Chief Building Official 1.00 1.00 1.00 1.00
Plans Examiner 2.00 2.00 2.00 2.00
Building Inspector 1.00 2.00 2.00 2.00
Building Permit Technician 2.00 2.00 3.00 3.00
Senior Building Inspector 2.00 0.00 1.00 1.00
Authorized FTE 8.00 7.00 9.00 9.00
Public Works
Public Works Director 1.00 1.00 1.00 1.00
Town Engineer 1.00 1.00 1.00 1.00
Senior Civil Engineer 1.00 1.00 1.00 0.00
Civil Engineer 1.00 1.00 1.00 2.00
Senior Civil Engineer Inspector 0.00 0.00 1.00 1.00
Civil Engineer Inspector 2.00 1.00 1.00 1.00
Executive Assistant 1.00 1.00 1.00 1.00
Administrative Assistant 1.00 0.00 0.00 0.00
Open Space & Landscape Spec. 1.00 1.00 1.00 1.00
Authorized FTE 9.00 7.00 8.00 8.00
Street
Assistant Public Works Director 0.00 0.00 0.00 1.00
Street Superintendent 1.00 1.00 1.00 1.00
Street Maintenance Supervisor 0.00 1.00 1.00 0.00
Fleet Mechanic 1.00 1.00 1.00 1.00
Fleet Equipment Mechanic 1.00 1.00 0.00 0.00
Street Maintenance Tech 9.00 7.00 6.00 6.00
Equipment Operator 2.00 2.00 2.00 2.00
Authorized FTE 14.00 13.00 11.00 11.00
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Schedule of Authorized Positions ▬▬▬▬▬▬
Position – Title 2002-2003 2003-2004 2004-2005 2005-2006
Authorized Authorized Authorized Proposed
FTE FTE FTE FTE
Planning & Zoning
Director 1.00 0.00 0.00 0.00
P & Z Administrator 0.00 1.00 1.00 1.00
Senior Planner 2.00 1.00 1.00 1.00
Planner 1.00 1.00 1.00 1.00
Eng. Tech/CAD Operator 1.00 1.00 1.00 1.00
Drafting/CAD Technician 1.00 1.00 1.00 1.00
Executive Assistant 1.00 0.00 0.00 0.00
Planning Technician 0.00 0.00 0.00 0.50
Planning Assistant 1.00 1.00 1.00 1.00
Economic Downtown Dev. Coor 0.00 1.00 1.00 1.00
Code Enforcement Officer 0.00 3.00 2.00 3.00
Authorized FTE 8.00 10.00 9.00 10.5
Parks & Recreation
Parks & Rec/Comm Ctr Dir. 1.00 0.50 0.50 0.50
Parks Supervisor 1.00 1.00 1.00 1.00
Recreation Supervisor 1.00 1.00 1.00 1.00
Rec. Program Coordinator 3.00 2.00 2.00 2.00
Groundskeeper 1.00 1.00 2.00 2.00
Recreation Intern 0.00 0.00 0.00 0.50
Park Operations Lead 3.00 2.00 2.00 3.00
Recreation Assistant 4.00 4.00 4.00 4.00
Recreation Aide 0.00 0.00 1.00 1.00
Executive Assistant 1.00 1.00 1.00 1.00
Administrative Assistant 1.00 0.00 0.00 0.00
Receptionist 0.00 0.50 0.50 0.50
Authorized FTE 16.00 13.00 15.00 16.50
Law Enforcement
Pub. Safety Dir/Town Marshal 1.00 0.00 0.00 0.00
Emergency Mgmt Coord 0.00 1.00 0.00 0.00
Sergeant 3.00 0.00 0.00 0.00
Deputy Marshal 8.00 0.00 0.00 0.00
Dispatcher 7.00 0.00 0.00 0.00
Administrative Assistant 1.00 0.00 0.00 0.00
Authorized FTE 20.00 1.00 0.00 0.00
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Schedule of Authorized Positions ▬▬▬▬▬▬
Pay Plan ▬▬▬▬▬▬
The Town Council last adopted the pay plan for the Town of Fountain Hills in June 2004. It is
imperative that the salary ranges for each position be updated on a regular basis to remain
competitive in the market. Consequently, the Human Resources division has surveyed the salary
ranges from competing towns and cities for like positions. The information from those surveys
has resulted in the proposed pay plan for the 2005-06 fiscal year that will be presented at a future
date as was done last year.
Explanation of the Pay Plan ▬▬▬▬▬▬
1. All Town positions, except that of town manager and presiding judge, are classified and
covered in the pay plan.
2. Persons shall be recruited into the municipal service at the appropriate salary within that
position, according to experience and/or market demand.
3. Advancement within the salary range shall be obtained on the basis of merit.
4. Human Resources recommends incremental increases based on the performance
evaluation written by the employee’s Supervisor. The Town Manager is authorized to
place the salary of each employee at a rate of pay within the salary range for the position
title to which said employee is assigned. The rates of pay so established for various
employees shall be effective at the time of review.
5. Increases may be granted after six months of service and annually thereafter.
6. The town manager shall make whatever administrative regulations, not inconsistent with
the plan or the ordinances of the Town of Fountain Hills, he/she deems necessary, for the
effective administration of the plan.
7. Employees in section 1 are exempt and are not eligible for any overtime compensation.
Employees in sections 2 and 3 are hourly non-exempt and therefore entitled to overtime
compensation.
8. The pay plan shall be reviewed annually.
9. The minimum and maximum rates and the ranges constituting the salary range of a
position title shall supersede any previously adopted for said title.
2002-2003 2003-2004 2004-2005 2005-2006
Authorized Authorized Authorized Proposed
Position – Title FTE FTE FTE FTE
Community Center
Parks & Rec/Comm Ctr Dir. 1.00 0.50 0.50 0.50
Comm Ctr Supervisor 1.00 1.00 1.00 1.00
Comm Ctr Operations Sup. 1.00 1.00 1.00 1.00
Administrative Assistant 1.00 1.00 1.00 1.00
Operations Support Worker 1.00 1.50 1.50 1.50
Operations Support Assistant 0.00 0.00 0.00 0.50
Custodian 1.00 1.00 1.00 1.00
Volunteer Coordinator 0.50 0.50 0.50 0.50
Authorized FTE 6.50 6.50 6.50 7.00
Total Authorized FTE 106.00 75.00 77.00 81.50
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Town of Fountain Hills - Succession Plan – 2005 ▬▬▬▬▬▬
Objective: To develop Town of Fountain Hills’ employees as well as recruit for fundamental
(key) positions ensuring the Town has a pool of diverse, qualified individuals
Succession planning has been defined as “A process designed to ensure the continued effective
performance of an organization by making provision for the development of and replacement of
key people over time. Succession planning is generally considered to be a strategy of work force
planning.”
What does a succession plan do and why is it needed?
• Ensures that employees are prepared and trained for the job and responsibilities of the
future.
• Provides growth opportunities that help motivate and retain current employees. It shifts
the idea from job progression to job expansion.
• Allows for the transfer of knowledge from key people in the organization to their
successors using techniques such as mentoring and on-the-job training.
• Reduces stress on the new incumbent by making him/her better prepared to fill the role.
• Reduces workload of other team members who normally would have to pick up the duties
until the new incumbent is up-to-speed.
• Reduces the manager’s time spent in assisting new incumbent becoming proficient.
• With an increasingly mobile workforce, steps need to be taken to insure the timely and
competent replacement of positions.
With the ever-changing workforce, succession plans are needed to survive in today’s global
environment. It’s a regular review of existing staff, predicted turnover (voluntary and
involuntary), retirements and extended absences, promotions or transfers, new hires, total need,
and estimated gap. When a key employee suddenly leaves or becomes incapacitated, it can be
crippling to an organization. With the employee goes key knowledge. The knowledge of an
organization exists not in documents and databases, but in the collective mind of the organization
– in the heads of people. A succession plan, then, is a type of knowledge sharing.
Succession planning is a systems approach to identifying and developing future supervisors,
managers and executives. Succession plans provide for continuity of operation in an
organization. Ideally, but not always, the successor is groomed with the knowledge necessary to
take over.
Implementing succession planning systems must be integrated and directly linked, defined, and
developed in tandem with organization mission, purpose, goals, objectives, and expected
outcomes.
In preparation of implementing a succession plan for The Town of Fountain Hills, Human
Resources conducted several meetings with a committee consisting of Department Directors to
identify key and “at risk” positions. It was quickly realized that in a small organization, the
retention of key managers is even more crucial because the organization’s small size means there
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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are likely to be few “surplus” managers available should someone leave. The consensus of this
committee was that all members of management, as well as one-person divisions, are key or “at
risk” positions. The group’s goal is to ensure that the Town of Fountain Hills has viable internal
choices for each executive and/or director-level position that may come open in the next three to
five years.
The first step in developing the Town’s future leaders was to identify the existing talent pool.
Extensive discussions regarding each department’s leadership status were undertaken.
Individuals were identified as having leadership potential, and consideration was given to the
Town’s need for diversity and technical expertise. The committee considered not only domain
knowledge and technical expertise, but also a whole range of leadership skills including
personality, temperament, empathy, charisma, decision-making ability and judgment. Getting the
right fit is of the utmost importance. An interest survey for essential positions was also
distributed to all Town staff.
Once the participant pool was identified, the Committee recognized that in order to have viable
internal candidates, managers need to personally contribute to the development of the Town’s
future leaders. Management members will meet with candidates to discuss developmental needs
and opportunities. It will be stressed that the employee’s development does not guarantee
promotion, but is intended to assist them in developing the skills to be a marketable candidate in
the event of a vacancy at a higher level of management. Primary development responsibilities are
as follows: Town Manager develops Department Directors, Department Directors develop
Assistant Directors or Division Heads, Assistant Directors develop Division Heads, Division
Heads develop others reporting to them. It is essential to devise a critical path analysis so that
candidates can get the personal development they need to make them ready for a promotion and
the new responsibilities. This will be accomplished by enhancing the leadership skills of selected
personnel through mentoring and coaching, preparing them for taking on the Town’s current and
future organizational initiatives, enhancing communications at all levels throughout the Town,
and facilitating individual development planning.
Once the development activity has started to occur, it is important that key managers meet with
those under their direct supervision during and after development activities to assess their
progress. It is important to create additional goals and learning plans, as well as provide both
positive and constructive feedback to them as they work toward their objectives.
Although retention and leadership development programs are important, it’s still a good idea to
have a strong recruiting component in our workforce plan. The Town of Fountain Hills is
committed to recruiting people that have the skill not just to do their current job, but also the
potential to do the job at least one level above them. This process has already begun with the
hiring of an Assistant Public Works Director, a second Civil Engineering Inspector, and intense
cross training of current personnel in areas of their interest and the Town’s future needs.
However, at risk positions remain, such as Town Manager, Finance Director and I/T Coordinator.
These positions are at immediate risk because of their functions and technical expertise within the
organization. The Town has begun to address these “at risk” positions in the following manner:
• With Council’s approval, an accounting clerk was hired in 2004. The addition of the
accounting clerk has freed up the necessary time to allow the accountant to receive
training, coaching, and continuing education in the responsibilities of the Finance
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Fiscal Year 2005-2006 Budget
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Director. Although this process is well underway, it will be ongoing for a considerable
amount of time.
• Should the I/T Coordinator position become vacant, a temporary contract person will be
necessary until a replacement can be hired.
• Because we have been successful in hiring and/or providing additional training and
continuing education for personnel that directly support the Directors, (i.e. Assistant
Public Works Director, Accountant, Recreation Supervisor) the Directors have been
allowed the flexibility to fill in for the Town Manager on an interim basis should that
position become vacant. Again, although this process is underway, in order to be
successful, it must be a long-term process.
In conclusion, in today’s fast-changing, dynamic public sector world, leadership development is
more critical than ever before. While many towns and cities have recognized this need over the
years, few have sustained a method for developing and retaining leaders. Leadership
development is not a new concept, but it is a continuing challenge to the public sector. The Town
of Fountain Hills is meeting this challenge. It has to provide the men and women today who can
run it tomorrow. The Succession Plan will be a visible and positive tool in that endeavor.
Finally, and most importantly, succession plans should not be static and left to gather dust. As
the Town grows it is crucial that the plan evolves alongside it to reflect, for example, any change
in strategic direction or market position.
It is the Town’s goal to review the Succession Plan every two years.
Upon approval, communication will be made with all Town staff regarding implementation of the
Plan.
As the Town Council and Town Manager set out ambitious plans to improve services, the Town
faces enormous challenges recruiting and retaining staff to implement. The workforce is aging.
Retirements will increase over the next few years. Finding qualified candidates may be difficult
in a wide range of occupations - engineering to name one. These issues provide many challenges
for Town staff. They may need to redesign departments, modify existing classification patterns,
or it may require new and innovative approaches to recruiting qualified candidates.
It is the responsibility of the Town Council to determine the mission of our organization and
provide the resources to hire the number of employees needed for services offered. It is the
staff’s responsibility to classify those positions and facilitate the recruitment and selection of
qualified candidates to perform the work. The purpose of this report is to outline a succession
plan process that eliminates or reduces the chances of the organization being crippled by the loss
of an individual.
Planning Steps
1. Scope: It is important that the first step in a succession plan identify a
manageable scope for the project. It should be something that can be accomplished within a
reasonable period of time. The scope could involve the following:
• Issue: Problems with a particular title or occupation. It could have short-term and long-
term implications, such as recruiting for certain titles.
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Fiscal Year 2005-2006 Budget
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• Initiative: A special initiative as part of a strategic plan or operational plan. The Town
may set a particular goal or objective that will be met by the initiative.
• Organization: This may mean the organization as a whole, department or division.
2. Context: The outcome of this step is to have a clear idea of where the Town is
headed and to understand the impact of external factors on planning the scope. The questions to
be considered in understanding the context of the planning effort require thoughtful reflection on
the direction that the Town of Fountain Hills is taking, the changing culture of the organization,
and its strengths and weaknesses.
3. Work: In this step, Town staff needs to clearly identify the functions to be
staffed within the chosen scope and context identified. The focus will be on the functions, not the
people doing them. To determine the desired future functions within their departments,
managers will take into consideration the timing of the potential changes and be proactive to
allow the necessary actions to be accomplished in the required time frames.
4. Demand: Having identified the future functions that will need to be staffed, the
next step is to focus on the type and number of personnel that will be required to perform the
functions. Focus should be on:
• The knowledge, skills, abilities, and personal characteristics or competencies
staff must have to be successful in performing each of the functions or positions;
and
• The number of staff needed with the knowledge, skills and abilities or
competencies set.
When the analysis on the type and number of personnel that will be needed to perform the
functions is complete, some modification in expectations and capabilities may be needed.
5. Supply: This step in the planning process directs the managers to profile their
workforce and determine what the supply of available workers will be within their departments.
At this point, determining the supply assumes no hiring to replace the employees who leave. The
supply is internal only. Managers will determine which employees now work within their
departments and calculate the attrition rate. Past attrition may not be an accurate predictor of
future attrition; however, it is one variable Town staff will use to help determine the future supply
of employees necessary to provide the needed knowledge, skills and abilities for our organization.
6. Gaps: In this step a comparison of the expected staffing needs against the
projected internal supply and focus on identifying if there are any gaps. The gaps will be in the
following areas:
• Excess staff performing obsolete or declining functions, or functions likely to be
outsourced.
• Inadequate supply of qualified people for positions in titles that will likely remain
the same.
• Inadequate supply of people with needed skillsets for positions that may require
further classification action.
Whether there is a gap for each title and, if so, the extent of the gap needs to be identified. The
first part of this step involves identifying where candidates will come from for the titles or
positions being considered. In the Demand step, titles to accomplish the new or modified
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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functions are identified, but not where the qualified candidates would could from. In the Supply
step, the workforce is characterized, but not evaluated, in terms of whether current employees
will meet the supply needs of the agency for the titles in the new or revised functions. In the gap
analysis, the issues regarding where to recruit to find the necessary employees are addressed. The
managers conduct a gap analysis by comparing the internal supply of employees with the
demand. Frank discussions need to take place regarding what staff will no longer be needed.
7. Priority: This step is a matter of prioritizing staffing gaps in terms of the biggest
impact on the success of the organization, department, division, etc. It is a process that must
include the direct input and agreement from the Town Manager and Council. The questions that
follow need meaningful communication between the Town Manager and Council and the
management staff.
• Which staffing gaps can be handled in a routine way with a minimum
commitment of resources?
• Of the remaining staffing needs, what is the benefit of addressing each?
• What would be the impact of not addressing each?
• Based on the benefits and impact identified above, what is the relative priority of
each of the needs?
8. Solutions: In this step, potential solutions are developed to meet the staffing
needs on the priority list. Solutions typically fall in the broad categories of:
• Position classification actions, including redefining titles and special salary
treatments.
• Recruitment/selection strategies to find and hire recent graduates or qualified
candidates from other public or private sectors.
• Retention strategies to encourage employees to stay with the Town.
• Staff development strategies to prepare employees for specific positions.
• Organizational intervention such as reorganization.
• Knowledge transfer strategies to capture the knowledge of experienced employees
before they leave the Town (cross training).
By making provision for the development of employees to be qualified for fundamental positions
that become vacant over time, the Town will continue to provide uninterrupted quality services to
its customers. By cultivating talent from within the Town of Fountain Hills through planned
development activities, those positions identified as critical to successfully providing core
services and meeting the mission and goals of the Town can be more readily filled with internal
talent.
In summary, the succession plan is a management and planning tool to ensure a ready supply of
internal talent for fundamental positions at all times. The Town of Fountain Hills is firmly
committed to promotion from within, when qualified talent is available, for fundamental
positions. However, the intent of the succession plan is not meant to eliminate the use of
competitive internal and external recruitment and testing processes. The Town is also firmly
committed to helping employees, regardless of race, age, gender, national original or disability, to
develop their potential so they are prepared and qualified to assume positions in line with
individual career goals and organizational requirements.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Succession planning ensures that there are highly qualified people in all positions, not just today,
but tomorrow, next year, and five years from now. Succession planning establishes a process that
recruits employees, develops their skills and abilities, and prepares them for advancement, all
while retaining them to ensure a return on the Town’s training investment. Succession planning
involves understanding the Town’s long term goals and objectives, identifying the workforce’s
development needs, and determining workforce trends and predictions
In the past, succession planning typically targeted only key leadership positions. In today’s
organizations, it is important to include key positions in a variety of job categories.
With good succession planning, employees are ready for new leadership roles as the need arises,
and when someone leaves, a current employee is ready to step up to the plate. In addition,
succession planning can help develop a diverse workforce, by enabling decision makers to look at
the future make-up of the organization as a whole.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Glossary ▬▬▬▬▬▬
Accrual Basis
A basis of accounting in which transactions are recognized at the time they are incurred, as
opposed to when cash is received or sent.
Actual vs. Budgeted
Difference between the amounts projected (budgeted) in revenues or expenditures at the
beginning of the fiscal year and the actual receipts or expenses, which are incurred by the end of
the fiscal year.
Adoption
Formal action by the Town Council, which sets the spending limits for the fiscal years.
Appropriation
Specific amount of monies authorized by the Council for the purpose of incurring obligations and
acquiring goods and services.
Assessed Valuation
A value set upon real and personal property by the County Assessor for the purpose of levying
property taxes.
Base Budget
The ongoing expense for personnel, contractual services, commodities, and the replacement of
equipment to maintain service levels previously established by the Council.
Bond
A municipality will issue this debt instrument and agree to repay the face amount of the bond on
the designated maturity date. Bonds are primarily used to finance capital projects.
• General Obligation (GO) Bond
This type of bond is secured by the full faith, credit, and taxing power of the
municipality.
• Revenue Bond
This type of bond is secured by the revenues from a specific source such as gas taxes
or water revenues.
Budget
Financial plan of estimated expenditures and anticipated resources adopted for a specific period
of time outlining a plan for achieving council goals and objectives.
Budgetary Basis
The method used to determine when revenues and expenditures are recognized for budgetary
purposes.
Capital Budget
The appropriation of bonds or operating revenue for improvements to city facilities that may
include buildings, streets, and parks.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
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Carry Over
Year-end savings that can be carried forward to cover any one-time expenses such as supplies,
equipment, or special contracts.
Cash Basis
A basis of accounting in which transactions are recognized only when cash amounts are increased
or decreased.
Contingency/Reserve
An amount set aside as available, with Council approval, to cover unforeseen expenditures,
emergency expenditures, or revenue short falls.
Debt Ratio
Total debt divided by total assets.
Debt Service
Principal and interest payments on outstanding bonds.
Estimated Revenue
The amount of projected revenue to be collected during the fiscal year.
Expenditure
Represents a decrease in fund resources.
Expenditure Limitation
An amendment to the Arizona State Constitution that limits annual expenditures of all
municipalities. The Economic Estimates Commission, based on population growth and inflation
sets the limit. All municipalities have the option of Home Rule where the voters approve a four-
year expenditure limit based on revenues received.
Fiscal Year
Any period of twelve consecutive months establishing the beginning and the ending of financial
transactions. For the Town of Fountain Hills, this period begins July 1 and ends June 30.
Full-Time Equivalent Position (FTE)
A position converted to the decimal equivalent of a full-time position based on 2,080 hours per
year. For example, a part-time typist working for 20 hours per week would be equivalent to a 0.5
FTE.
Fund
A fiscal and accounting entity with a self-balancing set of accounts recording cash and other
financial resources.
Fund Balance
A balance or carry over that occurs when actual revenues exceed budgeted revenues and/or when
actual expenditures are less than budgeted expenditures.
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Fiscal Year 2005-2006 Budget
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General Fund
The fund used to measure all financial transactions of the municipality except those required by
law or agreement to be accounted for in another fund.
Highway Users Revenue Bond
Proceeds used solely for street and highway purposes and require voter authorization. Bonds are
payable from highway user revenue up to 50% of total received for the past twelve month period
(stipulated by state law).
Highway Users Revenue Fund (HURF)
This revenue source consists of state taxes collected on gasoline, vehicle licenses, and a number
of other additional transportation related fees. These funds must be used for street and highway
purposes.
Infrastructure
Facilities that support the continuance and growth of a community. Examples include roads,
water lines, sewers, public buildings, and parks.
Intergovernmental Revenue
Federal and state grants and other forms of revenue (e.g. state sales tax, state income tax, gasoline
tax, motor vehicle license).
Long Term Debt
Debt with a maturity of more than one year after date of issuance.
Management Indicators
A measurable means of evaluating impact of budget on achieving stated objectives.
Modified Accrual Basis of Accounting
Basis of accounting according to which; a) revenues are recognized in the accounting period in which
they become available and measurable, and b) expenditures are recognized in the accounting period in
which the fund liability is incurred, if measurable, except for un-matured interest on general long-
term debt and certain similar accrued obligations, which should be recognized when due.
Municipal Property Corporation (MPC) Bond
Bonds that are backed by the excise taxes of the Town including local sales tax, franchise tax,
state shared sales tax, and auto lieu tax. The MPC is a non-profit corporation established for the
purpose of issuing debt to purchase municipal facilities, which it leases to the Town.
Objectives
A measurable output that an organization strives to achieve within a designated time frame. The
achievement of the objective advances an organization toward a corresponding goal.
Operating Budget
Day-to-day costs of delivering city services.
Town of Fountain Hills
Fiscal Year 2005-2006 Budget
- 180 -
Performance Indicators
Measurement of service performance indicators that reflect amount of money spent on services
and the resulting outcomes at a specific level of services provided.
Property Tax
The total property tax levied by a municipality. Arizona’s municipal property tax system is
divided into a primary and secondary rate.
Primary Tax
Arizona statute limits the primary property tax levy amount and municipalities may use this tax
for any purpose.
Secondary Rate
Arizona statute does not limit the secondary tax levy amount and municipalities may only use this
levy to retire the principal and interest or redemption charges on bond debt.
Resources
Total amounts available for appropriation including estimated revenues, bond/loan proceeds, fund
transfers, and beginning fund balances.
Revenue
Financial resources received from taxes, user charges, and other levels of government.
State-Shared Revenue
Includes the Town’s portion of state sales tax revenues, state income tax receipts, motor vehicle
in-lieu taxes.
Tax Levy
The total amount of the general property taxes collected for purposes specified in the Tax Levy
Ordinance.
Tax Rate
The amount of tax levied for each $100 of assessed valuation.
Transfer
Movement of resources between two funds. Example: An interfund transfer would include the
transfer of operating resources from the General Fund to the Street Fund.
APPENDIX A
REPORT TO
FOUNTAIN HILLS TOWN COUNCIL
Proposed
COMMUNITY RELATIONS
COORDINATOR,
GRANT WRITING
AND
INTERGOVERNMENTAL
RELATIONS PROGRAM
Prepared by
Timothy G. Pickering, Town Manager
April 29, 2005
Report to Council Page 1 of 8 April 29, 2005
Executive Summary
Establishment of a Public Information and Grant Writing Program was one of six goals set by the
Town Council for FY2005-06 to ensure that information is communicated to the public in a
professional, understandable, succinct, comprehensive, timely and factual manner via numerous
channels of communication.
One key to achieving this goal is placing a communications officer on staff. The primary
responsibility of this position would be to foster understanding between the Town of Fountain
Hills and its citizens and neighboring communities. The Council is empowered to make
decisions in the best interests of the populace and a well-informed citizenry could communicate
their desires, questions and concerns to council members more effectively.
Additionally, a communications officer can assist in achieving another of the Council’s goals,
that of improving our intergovernmental relations. Communicating with other towns’
communications officers and coordinating meetings between jurisdictions would be valuable.
The importance and value of this position lies in providing the public and the media with a
readily accessible, single point of contact who is skilled at managing the flow of information
in order to project a positive view of our Town.
The Compass and Other Communication Duties
Presently, a primary source of Town information is the Compass newsletter, mailed to all
residents four times a year. The Parks and Recreation Department’s executive assistant
currently has the responsibility of gathering, writing, editing, and formatting the Compass.
Increasing publication frequency of the Compass to six issues per year would facilitate ‘getting
the message out’ about services, programs, town-related issues, ‘hot topics’, new regulations,
and Public Service Announcement in a timelier manner. However, the aforementioned executive
assistant would be hard pressed to publish more frequently due to numerous other
responsibilities and complexity of issues to be communicated.
If a communications officer existed at the present time, information regarding zoning and height
issues, property rights, West Nile virus and its implications for Fountain Hills, the County
Attorney’s program on how to counteract identification theft, the concern about the danger of the
upcoming fire season, employee hirings and resignations, and progress being made on Town
projects (such as the Skate Park, Splash Pad, Avenue of the Fountains, and the new Town Hall)
could be communicated to our citizens more effectively. Currently the Town staff struggles with
providing this information to our residents. The flow of public information deserves full-time
attention.
Media Contact
The Fountain Hills Times, the Arizona Republic, the Scottsdale Tribune, 101 North magazine,
KFHX Radio, Cox Cable, area television stations, and all other forms of local/state/national
media could benefit from a designated point of contact for information.
Report to Council Page 2 of 8 April 29, 2005
News Releases are currently prepared by the Town Manager for distribution to The Fountain
Hills Times, Arizona Republic, Scottsdale Tribune, and Take 5, a new publication in Fountain
Hills. Requests for information by the media are frequently considered “urgent.” This diverts the
Town Manager’s attention away from meetings, issues, and projects crucial to the Town in order
to accommodate the requests of reporters for interviews or to prepare press releases.
Developing a strong, positive, working relationship with various media personnel is imperative.
Getting the Town’s message known to potential residents, lenders, vendors, visitors, builders,
developers, etc., strengthens the appeal of the Town for all. All press releases, media alerts, and
media contacts would be prepared by a communications officer to timely provide essential
information and avoid possible misunderstandings.
Existing Communication Responsibilities
Under the existing staffing scenario in the Town, communications tasks are distributed
throughout the organization per the following examples:
• Designing and printing posters for recreation events (e.g., Concerts in the Park) is done by
Recreation staff
• Our Administrative Clerk is responsible for communicating with Univision, the Spanish TV
channel
• Information Technology decides programming for Channel 11
• Town Manager interfaces with media contacts
• Director of Public Works handles communications dealing with matters such as West Nile
Virus and flood management
• Public Service Announcements on matters such as ID theft are handled by Sheriff’s
Department
• The Executive Assistant to the Town Manager drafts press releases
The addition of a communications officer will free up the existing staff, allowing them to focus
on their primary duties, and provide a resource for them when they require communications
assistance.
Not having a point person on staff who is available to handle the media when the Town Manager
is not in his office has, on more than one occasion, created undue stress on Town staff due to the
dogged nature of media contacts. A case in point involved a reporter who contacted the Town
Manager’s office with questions when the Town Manager was attending a meeting in Phoenix.
Before the Town Manager could communicate to his staff via his assistant, the reporter contacted
a member of the staff and represented that he had license from the Town Manager to
communicate directly with that staff member. This led to inaccuracies in the story and
unnecessary pressure on the staff member.
It is logical to assign the responsibility for media communication to a staff member when the
Town Manager is absent. However, due to the limited size of Town staff, their present workload
and lack of expertise in communications, it is not feasible to give that additional responsibility to
a current staff member.
Report to Council Page 3 of 8 April 29, 2005
The staff responds to approximately 20 media requests for information per month. For example,
we respond to emails and phone calls from reporters with deadlines, produce press releases, send
media clippings to advisory commissions, and even handle visits from television reporters, such
as a recent visit from Univision, the Spanish TV station doing a feature story on the fountain.
The Town also unfortunately misses opportunities because we lack appropriate personnel to send
to sessions, such as a recent grant writing session provided by the City of Scottsdale and
municipal league.
The Town could be much more proactive in marketing the Town’s services and amenities with a
communications officer.
Improving Channel 11
Channel 11 is a valuable communications tool that is presently underutilized. A communications
officer could assume the responsibility for:
• Creating in-house programs to run on Channel 11, e.g., mini-documentaries or interviews
on the planning and zoning process, code enforcement, fire safety, etc
• Evaluating and making recommendations to Information Technology (IT) staff for
upgrades to Channel 11 and the Town website
• Completing the Channel 11 intergovernmental agreement paperwork
Difficult Times and Emergencies
Complex and difficult times occur in all municipalities. Fountain Hills has experienced some of
these: the state land issue, budget cuts, lay-offs, employee resignations, fire service issues,
lawsuits, etc. A professional communications officer would be indispensable in getting correct
information to the right people, at the right time, and in a meaningful manner. A good example
would be the concern over holiday decorations that evolved late last year. Town staff was not in
a position to handle the speed in which stories were circulating. A better informed citizenry
would have been less troubled.
Other issues that have occurred in the past wherein failure to communicate with the public
caused confusion were funding of the new Town Hall, tax bill education, and truck hauling
routes. Furthermore, annexation of the State Trust Land will require a tremendous amount of
communication with our citizens. Without a steady flow of information, residents will not be
familiar with the intricacy of issues surrounding this important Town issue.
In the event a full-blown emergency situation ever evolves in the Town, a communications
officer would be indispensable. This position would be responsible for rapidly communicating
information to Town residents about the nature of the emergency and providing instructions or
procedures that could ultimately affect their safety and/or health. Developing, maintaining and
monitoring a crisis communication plan would be the responsibility of this position.
Report to Council Page 4 of 8 April 29, 2005
Establishing a Grant Writing Program
The communications officer could make recommendations for the establishment of a grant
writing program. Some of the skills required by a communications officer and a grant writer are
similar. When communications responsibilities are less demanding, grant writing could be
accomplished by the communications officer. The communications officer could appropriately
structure, oversee and coordinate the program, as well as contribute to the decision-making
process regarding the value of potential grant applications, ensuring that possible strings attached
are properly investigated.
Potential Mission and Scope of Responsibilities
Mission
To present the Town of Fountain Hills as a unique, quality community; provide honest,
timely, accurate information; and develop opportunities for citizen participation in local
government.
Community Outreach Programs
1. Citizen Leadership Institute
2. Volunteer of the Year
Publications
1. Town Newsletter – published bi-monthly
2. New Resident Packets – delivered through building inspectors, Town events and
available at Town Hall
3. News Releases
4. Town Manager’s Update – submit information, prepare when needed
5. Town Scorecard
6. Promotional Publications
a. Brochures
b. Flyers
c. Targeted, issue-driven publications or packets
d. Media kits
e. Postcards
f. Posters
g. Door hangars
h. Banners
i. Bookmarks
j. Invitations
k. Time capsules
7. Communication Plan
8. Special Event Planning Guide
9. Graphics Standards Manual
Report to Council Page 5 of 8 April 29, 2005
10. Media Relations Policy Guide
11. Publication and Graphic Design Assistance
Electronic Communications
1. Website – Work with IT and departments to redesign.
2. Cable Channel 11
Grant and Award Applications
1. Arizona Commission on the Arts grants
2. Youth program grants
3. Various award applications on behalf of the Town, Town officials and employees,
and Fountain Hills citizens
Government Relations
1. Coordinating meetings with other jurisdictions
2. Monitoring legislation that will have an impact on the Town, such as the recent
cable bill
3. Learning about issues in other jurisdictions from their communications officers
Special Events
1. State of the Town Reception
2. League of Cities booth
3. Other conference booths & displays
4. International visitors
5. Groundbreakings
6. Dedications
7. Town anniversaries
8. Special informational campaigns & events
9. Town Hall grand opening
Upcoming Policy Research & Development Projects
1. Publication style manual
2. Graphics standards guide
3. Logo usage
4. Website policies
5. Cable Ch. 11 policies
Media Relations
1. Develop and maintain working relationships
2. Respond to formal public information requests
3. Respond to media inquiries
4. Write & issue news releases, articles
5. Maintain media contact list
6. Write columns for Town Manager
7. Support reporters at Town Council meetings
8. Orientation and tours for new reporters
Report to Council Page 6 of 8 April 29, 2005
Town Council Support
1. Community outreach programs & events
2. Committee support and meeting reports
3. Research and special reports
4. Speaking points
5. Proclamations
6. Maintain current biographical information
7. Photography – Coordinate new individual and group photos after each election,
archive, distribute copies to members and media
8. Award applications for members
9. Media relations
Other Services
1. Strategic communications planning for Town initiatives
2. Photography
3. Citizen inquiry responses
4. Division equipment research and purchasing
5. Volunteer coordination
Professional Development
The Town of Fountain Hills supports employees’ efforts to “sharpen the saw” by
participating in professional development opportunities that expand job knowledge and
skills. In addition to college, university and specialized skill classes, the communications
officer is encouraged to join and actively participate in such professional organizations
as:
1. City/County Communications and Marketing Association (3CMA)
2. Arizona City/County Management Association (ACMA)
3. International City/County Management Association (ICMA)
4. American Society of Public Administration (ASPA)
Attached as Appendix A is an example of information that could be prepared by a
communications officer to keep our citizens up-to-date on the operation of the Town.
Furthermore, our tax structure could be explained more thoroughly to our citizenry.
Measures of Success
The success of this position would be determined by:
• Increasing the number of press releases issued by the Town
• Measuring increased programming on Channel 11
• Following up with media when errors occur
• Increasing the number of articles covering important Town issues or events
• Establishing and implementing a grant writing program
Report to Council Page 7 of 8 April 29, 2005
Comparison to Arizona Cities of Similar Size
In the 2000 Census, Fountain Hills’ population was approximately 20,235. At that time, eleven
other cities in Arizona were in the 18,000 to
35,000 population range. Of these Town’s, 82%
currently have Public Information or
Communications Officers (See Fig.1).
Rapidly growing Queen Creek, a town
populated by 4,316 people according to the
2000 Census, now estimates their population to
be around 19,000. Queen Creek has had a PIO
since 1998, then a half-time position. Of note,
the present PIO currently has a 3.5 FTEs in the
communications department.
As our Town continues to grow in population,
services and amenities, becoming even more attractive to new businesses and an increasingly
popular destination for visitors, the need to manage the flow of information to the public will
become increasingly more critical as more and more media channels are requesting information.
Summary
In summary:
• We need a point person to ensure information is consistently, accurately and quickly
disseminated to the public
• Channel 11 needs to provide more information to our public, particularly for parents who do
not have time for other mediums.
• The frequency and types of media coverage on Fountain Hills continues to escalate, taking an
increasing amount of the Town Manager’s time away from the business of running the Town.
• Current workloads and limited staff preclude assigning this responsibility to a current staff
member, either as a permanent duty or on an “acting” basis when the Town Manager is out of
the office.
• Efficiency of the staff will greatly increase as the Public Works Director, Parks and
Recreation Director, Recreation Supervisor, Finance officer, Town Manager, Parks and
Recreation executive assistant, administrative clerk, and IT coordinator are freed up to focus
on their primary responsibilities.
• Is it important to develop a grant program in order to capture all available dollars to benefit
the Town
• “Hot topics” need to be addressed immediately.
• Our budget is balanced and able to absorb the cost of the additional staff member. In fact,
Administration salary and benefits increased $10K over last year’s budget.
• If a communications position is added, the Town’s administration department would still be
3-1/2 positions less than three years ago.
Fig. 1
Communications
Town/City Population* Officer on Staff
Goodyear 18,911 Yes
Kingman 20,069 No
Nogales 20,878 Yes
Prescott Valley 23,535 Yes
Casa Grande 25,224 No
Surprise 30,848 Yes
Apache Junction 31,814 Yes
Oro Valley 31,934 Yes
Bullhead City 33,769 Yes
Prescott 33,938 Yes
Avondale 35,883 Yes
*2000 Census
Report to Council Page 8 of 8 April 29, 2005
APPENDIX A
D:\Budget\Budget 5.doc
TOWN OF FOUNTAIN HILLS
PUBLIC WORKS DEPARTMENT
MEMO
TO: Tim Pickering, Town Manager
DT: February 12, 2005
FR: Tom Ward, Director of Public Works
RE: Additional Staff
P&Z Division
Attached is the request for a part time planning technician to improve building permit review
time and provide better customer service.
The first question we always ask is why don’t we simply cross-train the existing staff to perform
this task? If you look at the attached workload and how it continues to increase, other staff do
not have the time for this work. Secondly, I agree with Richard that a consultant would not be
cost effective, but beyond that, consultants tend to perform one function and don‘t care to
multitask, especially at the front counter. Our thought is a person that is possibly retired or took
early retirement and is looking for part time work as a supplement to their income and does not
need benefits and a health care program. This person might also be a student in need of extra
income on a part time basis. Training in this capacity should be minimal and they would have
plenty of staff available if they had questions during the learning curve.
The comment on employee retention is very important when we consider all we have endured
over the last 18 months. Staff always has to play catch-up if they get sick or take vacation time.
With this additional help the small tasks should get completed in their absence and counter
service is maintained without overtaxing other staff members.
At this time we cannot estimate how long this position will be necessary. We plan to cross-train
existing staff to perform these tasks as well, so that in the future when workloads decrease we
would phase out this position when appropriate.
Therefore, I am recommending a part time planning technician for the Planning & Zoning
division. Estimated annual cost: $15,000 to $20,000 (no benefits—approximately 1000
hours/year). Job description to follow.
Att.
C: Richard Turner
Joan McIntosh
Julie Ghetti
D:\Budget\Budget 6.doc Page 1 of 2
TOWN OF FOUNTAIN HILLS
OFFICE OF PLANNING AND ZONING
INTER OFFICE MEMO
TO: Tom Ward, Director of Public Works
DT: February 1, 2005
FR: Richard Turner, Planning and Zoning
Administrator
RE: Request to Consider Additional
Planning Staffing
Please consider this more of a topic for discussion than an actual request. I put it in these terms
since I don’t feel comfortable asking for additional help, having only been here one month.
However, the budget process is upon us and in the time that I have been here, I have noticed that
both of the Planners are extremely busy and frequently fall behind in their work. I have also
become aware of some work situation dynamics that support the idea of adding a part-time planning
technician to the division staff.
A significant part of the planner’s job responsibilities is plan review prior to the issuance of a
building permit. Fully 40% of the planners combined work time is spent on this function. While
a lot of this work is complex and requires the careful attention of a professional planner, there are
also many permits that do not. Last year, approximately 33% of all building permits issued were
for pools and fences. An employee could perform reviews of this type with a lower skill level
than a seasoned planner.
In 2002, the Building Safety Division issued 780 building permits. In 2003, the number of
permits increased 9% to 847. Last year, the number went up to 889 for a 5% increase over the
previous year. While these numbers are not substantial, they do indicate a recent upward trend in
activity. As you know, an increase in building permit activity translates to an increase in plan
review activity by the planners.
I recall that you recently commented that you had received a lot of complaints over the last 6-
months, many of which dealt with the length of time it was taking to get plans reviewed by the
department.
I would like to suggest that we consider hiring a part-time (20 hours per week) planning
technician to do plan review and help with counter coverage. Creating and filling this position
would have the following advantages:
1. This employee would review most, if not all of the simplest building permits for zoning
compliance, which would reduce our turn around time for plan review.
2. With a planning tech taking on a significant amount of the plan review function, (1040
out of total of 1664 hours), the other planners in the section would be able to spend more
time on more complex projects and provide improved customer service.
D:\Budget\Budget 6.doc Page 2 of 2
3. A planning tech would improve our ability to provide adequate service at the front
counter, particularly over the lunch hour.
4. A planning tech would help us in the event we are short staffed in the future due to
vacations, illness or position vacancy.
I am hopeful that a better solution to this workload issue will come out of upcoming process
discussion. However, I didn’t want to miss the opportunity to present this type of a solution,
especially given the timing of the preparation of the budget.
I am available to review this idea at your convenience.
RT/jeb
TOWN OF FOUNTAIN HILLS
OFFICE OF
INTER OFFICE MEMO
TO: Tim Pickering, Town Manager
DATE: April 8, 2005
FR: Don Clark, Parks Supervisor and
Mark Mayer, Director
RE: Parks Division Staff Request
Justification for Fiscal Year
2005-2006
The Parks Division is requesting to fill one position, a Parks Operation Lead, that was
eliminated during the budget cutbacks during Fiscal Year 2002-2003. The expenditures
for the salary and benefits would be budgeted under Four Peaks Neighborhood Park as
this position will maintain Four Peaks Neighborhood Park and Desert Vista
Neighborhood Parks.
This position is needed because Little League is increasing its usage and will upgrade
fields at Four Peaks Neighborhood Park. Additionally, the future spray pad and
amenities constructed as part of Phase II Improvements require the Fountain Park Parks
Operation Lead to focus entirely on Fountain Park. In past years, this position has
managed both Fountain Park and Desert Vista Neighborhood Park. Finally, adding a
Parks Operation Lead would allow for adequate supervision at the skate park facility that
will be constructed at Desert Vista Neighborhood Park during Fiscal Year 2005-2006.
This person also would be able to focus on maintenance and operational needs at this
facility.
The Parks Division is planning to fill the Parks Operation Lead position the beginning of
the fourth quarter during Fiscal Year 2005-2006, at which time the skate park should be
completed.
The Parks Division is dedicated to professionally maintain the Fountain Hills parks
system. By supporting the request to add a Parks Operations Lead position to the
Department, staff will be able to have the Park Operations Lead at Fountain Park focus
on the additional maintenance and operations duties. Providing the Parks Division with
one more qualified staff member will significantly enhance our ability to provide safe,
quality recreation facilities throughout the Fountain Hills park system.
APPENDIX B
APPENDIX C
TOWN OF FOUNTAIN HILLS
TWENTY YEAR FINANCIAL
OVERVIEW
June 14, 2005
(To be revised after completion of strategic plan December 2005)
Prepared by:
Julie A. Ghetti, MPA, CPA, CGFM
Timothy G. Pickering, CEcD, CM
D:\Budget\Budget 11.doc ii
TWENTY YEAR FINANCIAL OVERVIEW
Fiscal Years 2006 - 2025
Introduction
Since incorporation the Town has enjoyed riding a wave of economic prosperity due to the
explosive growth of the mid to late 1990’s. The Town took advantage of the building boom and
paved streets, built four new parks and a new Community Center/Library Museum, preserved
354 acres of open space, and provided many services to enhance the quality of life of the citizens
of Fountain Hills. However, the ride ended with the economic slump of the early 2000’s that has
forced many cities and towns across the country to re-evaluate their financial future.
The financial future for Fountain Hills through FY2025 continues to be cautiously optimistic,
with a heavy reliance on construction related revenues (construction sales tax, building permit
fees) and state shared revenues. The projection for the next eight years provides sufficient
resources to fund
the current level of
ongoing operations
without spending
down the reserve
balance but includes
one-time revenue
sources. The
revenue projections
are based on another
five years of
moderate growth in
residential and
commercial
construction
activity. However,
by FY2013 the
Town will have
much less inventory
of vacant land that
can generate sales tax revenue; additional revenue sources will need to be identified as
construction revenue declines. Additionally, the projection assumes that Fountain Hills will lose
share of state revenues to other surrounding communities that are experiencing explosive growth,
beginning in FY2006-07 (the first year after the next mid-decade census).
20 YEAR GENERAL FUND REVENUE/EXPENDITURE PROJECTION
$5,000,000
$10,000,000
$15,000,000
$20,000,000
$25,000,000
$30,000,000
$35,000,000
TO TAL PRO JEC TED EXPENDITURES TO TAL REVENUE (w/tru st l and)TOTAL REVENUE (w/o trust land)
FY06-07 to FY09-10 FY10-11 to FY14-15 FY15-16 to FY19-20 FY20-21 to FY24-25
D:\Budget\Budget 11.doc iii
Projects included in the CIP form the basis for appropriations in the annual budget and will affect
the Town’s budget process ten to twenty years into the future. In order for the Town to prevent
the deterioration of community infrastructure, continue to enhance the quality of life, and
provide needed services to the citizens it is necessary for the government to identify the
resources that will fund capital improvements each year. Finalization of the capital improvement
plan will be completed through the strategic planning process.
Summary
Staff has prepared this report as part of an annual review process and as a blueprint for future
capital budgeting and to assist residents to understand financial implications as part of the
Town’s strategic plan. The plan is flexible to allow the public’s input through the strategic
planning process, which may provide additional recommendations for other capital priorities or
eliminate some projects. As the table below indicates if all proposed capital projects and the
associated operating costs are approved, the cumulative shortfall is ($59M) over the 20-year
period including annexation of the state trust land.
What are Capital Improvements?
Capital improvements are the “bricks and mortar” of the Town – streets, dams, bridges, parks
and parks buildings, one-time acquisitions of equipment over $10,000, including municipal
facilities such as the new Town Hall. Projects in the CIP generally cost more than $10,000 and
have a projected minimum life span of five (5) years.
Financial Plan
A financial trend analysis combines budgetary and financial information with economic and
demographic data to create a series of local government indicators that can be used to monitor
changes in the Town’s financial condition. The challenge is for the Town to absorb, within
SUMMARY OF CAPITAL PROJECT FINANCING
FY06-10 FY11-15 FY16-20 FY21-25
Fund Balance Financing Potential $5.6 $6.5 ($4.7) ($33.7)
Surplus Revenues & Expenditures $12.3 $5.3 ($9.3) ($27.5)
ExciseTax Revenue $8.9 $12.1 $13.5 $15.1
Development Fee Revenue $3.8 $3.1 $1.6 $0.9
HURF Revenue $4.0 $5.0 $5.0 $5.0
Less CIP Expenditures ($38.2) ($40.1) ($33.8) ($13.0)
Operating Cost increases from Capital Projects ($0.3) ($2.3) ($5.6) ($6.1)
CIP Funding Deficit including State Land ($3.9) ($10.3) ($33.3) ($59.3)
Remove State Land Revenue/Project $0.0 ($10.1) $8.6 ($6.3)
CIP Funding Deficit without State Land ($3.9) ($20.4) ($24.7) ($65.7)
(in millions)
D:\Budget\Budget 11.doc iv
available financial resources, increasing operational costs associated with an ever-increasing
population but also include funding for capital projects.
Projecting revenues and expenditures over a twenty-year period is part science and part art – the
further out the projection, the less reliable the estimate.
The revenue forecast assumes the following:
• The local sales tax rate remains at 2.6% over the twenty year period
• Future year revenue forecasts are based on statistical analysis and historical trends, taking
into account a drop in revenue sharing from decreased population growth
• Revenues are based on “most likely” scenario
• The legislature will not reduce or eliminate state revenue sharing
• The residential and commercial activity will continue at a moderate pace until buildout
• Reserved fund balance is excluded as available resources
• One time revenues (construction related) are included as available resources
• The development fees are projected using the current rate
The projection of operating expenditures over the next twenty years assumes the following:
• An average inflation factor of 5% for each fiscal year
• No increase in level of services for FY2006 through FY2025
• The Target tax rebate is eliminated in FY07-08
• The forecast does not incorporate unanticipated policy changes or adjustments in
spending priorities
• The capital project figures are based on current dollars
• Community Center bond payments are eliminated in FY20-21
• One time costs incurred in FY05-06 are removed before applying inflation factor
Many capital improvements and purchases of large pieces of equipment will be included in the
operating budget on a “pay-as-you-go” basis. In our analysis recurring large equipment
replacement expenses for new heavy equipment, street sweepers, and continuing costs such as
street asphalt overlay are included in the capital projects budget. The operating budget is for
costs associated with providing ongoing services such as police and fire protection, building
inspection, parks and recreation activities, and street maintenance. Ongoing costs are tied to
ongoing revenues (i.e., sales tax, user fees, intergovernmental revenues).
This first draft of the capital improvement plan includes costs for long-term capital projects,
which add to the capital assets or infrastructure of the Town. These include new facilities, land,
major infrastructure improvements on streets, etc. and include prioritization of which projects
will be decided as part of the strategic plan process. Almost all potential projects include options
from the first Town Hall are included in this report. The projects are usually financed on a long-
term basis with revenue sources such as development fees, grants and intergovernmental sources.
The Town has adopted a policy that considers pay-as-you-go financing to be the primary source
of funding capital projects when possible.
D:\Budget\Budget 11.doc v
Financial and planning considerations help staff identify projects that should be included in the
annual CIP, and how those projects will be integrated into the Town’s annual budgeting process.
Capital projects should support Council goals and the strategic plan objectives and be consistent
with the Town’s General Plan. It should also prevent the deterioration of the Town’s existing
infrastructure and protect its investment in parks, streets, and municipal buildings. Capital
projects should provide all geographic areas of the Town with comparable quality and types of
services.
Financial Resources
In the past, operating revenue has been used to fund one-time projects, such as the Community
Center. In the future, this revenue source will be in the form of a cash transfer from the General
Fund of any surplus over operating costs to the Capital Projects fund for future projects.
The Excise Taxes (Local Sales Tax) are primarily used for general operating costs (2.2%).
However, the remaining .4% is dedicated to specific purposes:
Mountain bond debt payment (.2%)
Civic center bond debt payment (.1%)
Downtown development costs (.1%)
Development fees are collected from construction permits and are limited to specific projects for
which they were created. These funds are categorized as General Government, Streets, Parks &
Recreation, Law Enforcement and Open Space. The chart below highlights the decline in
building permit activity over the next twenty years.
20 YEAR PROJECTED DEVELOPMENT FEES
$0
$200,000
$400,000
$600,000
$800,000
$1,000,000
$1,200,000
$1,400,000
Total w/o State Trust Land Total w/ State Trust Land
FY06-07 to FY09-10 FY10-11 to FY14-15 FY15-16 to FY19-20 FY20-21 to FY24-25
D:\Budget\Budget 11.doc vi
Bonds are issued in several forms. State law requires voters to authorize general obligation and
revenue bonds by election. State law also authorizes other forms of debt to be issued without
voter approval. These alternate financing sources include Municipal Property Corporation
(MPC) bonds.
Grants are available for various types of projects through different sources and governmental
agencies. If capital grants are included in the budget as a funding source, the project will not
proceed until the grant is awarded. A grant-funded project may also require Town matching
funds, which should also be clearly stated in the project description.
The twenty-year financial summary below (20 Year Capital Improvement Plan Resources and
Expenses) summarizes the financing potential available, sources of revenue, proposed capital
projects and the remaining capital projects balance (which is cumulative). Available HURF
(Highway User Revenue Fund) resources are based on the average expenditures for major road
maintenance within the streets budget.
As the Town approaches buildout the available resources from construction related activity will
begin to decline in FY08-09 with a deficit projected for FY14-15. If the state trust land is
annexed into Fountain Hills the Town construction related revenue will prolong the deficit until
FY18-19. The mountain bond payments will be eliminated in FY16-17 and Civic Center bond
FY06-10 FY11-15 FY16-20 FY21-25
General Fund
Gen Govt Capital Financing Potential from Fund Balance $2.8 $0.0 $4.1 ($8.8)
Remaining Capital Projects Balance $0.0 $4.1 ($8.8) ($36.7)
Add State Trust Land Revenue $0.0 $10.1 $12.4 $6.3
New Capital Projects Balance $0.0 $14.2 $3.6 ($30.4)
Excise Tax Fund
Mountain Bonds Fin Potential $0.1 $1.0 $2.2 $7.5
Remaining Balance $1.0 $2.2 $7.5 $13.7
Civic Center Bonds Fin Potential $0.2 $0.3 $0.7 $1.6
Remaining Balance $0.3 $0.7 $1.6 $4.7
Downtown Development Fin Potential $0.5 $0.5 $2.9 $5.6
Remaining Capital Projects Balance $0.5 $2.9 $5.6 $8.7
Development Fees
Parks & Rec Financing Potential $0.5 $0.0 ($19.4) ($37.9)
Remaining Capital Projects Balance $0.0 ($19.4) ($37.9) ($37.6)
Open Space Financing Potential $1.5 $0.3 $0.5 $1.1
Remaining Capital Projects Balance $0.3 $0.5 $1.1 $1.4
Streets and Highways (HURF)
Street Capital Financing Potential $0.0 ($5.8) ($8.1) ($9.1)
Remaining Capital Projects Balance ($5.8) ($8.1) ($9.1) ($13.8)
TOTAL ($3.6) ($7.0) ($27.7) ($53.2)
D:\Budget\Budget 11.doc vii
payments will be eliminated in FY19-20. These bond payments are funded from local sales tax
revenues that were dedicated by the Council for this specific purpose.
Improving The Long Term Financial Picture
The following options to improve the scenario above will be presented for consideration
following adoption of the strategic plan:
1. Eliminate major capital projects - this solution, although easily accomplished,
would have a cumulative negative impact on the Town infrastructure. This
could create a significant future financial burden for Fountain Hills’ citizens
as well as increased liability with insufficient maintenance. Fountain Hills has
a reputation of one of the “World’s Ten Best Places to Live” and that should
be valued. Prioritizing capital projects will be determined during the strategic
plan process.
2. A review of the current development fee structure is being performed to align
the cost of the capital projects with the resources. This will be repeated every
five years.
3. Revenue enhancements – additional sources of revenue (other than issuing
debt) are a primary property tax, liquor license permit fees, updating the
planning and zoning fees, revising the license fees, etc.
Once the strategic plan is adopted, this report will be updated to reflect the citizen’s priorities
and long-term solutions will need to be considered at that time. Council approval of this 20-year
financial and capital improvement plan at that time does not appropriate the proposed capital
projects; however, the plan does demonstrate to the public the Town’s commitment to financial
planning for the future.
D:\Budget\Budget 11.doc viii
Project Cost Summary by Category FY06-10 FY11-15 FY16-20 FY21-25 20 Year Total
Downtown Improvements $4,655,000 $0 $0 $0 $4,655,000
Equipment $1,058,000 $970,000 $1,580,000 $753,000 $4,361,000
Facilities $1,000,000 $6,550,000 $5,250,000 $3,000,000 $15,800,000
Open Space $2,600,000 $1,000,000 $0 $3,600,000 $3,600,000
Parks $5,963,220 $18,000,000 $19,000,000 $0 $42,963,220
Street Improvements $18,028,234 $8,065,213 $5,922,194 $9,275,899 $41,291,540
Traffic Signals $820,000 $0 $0 $0 $820,000
Total Project Costs $34,124,454 $34,585,213 $31,752,194 $16,628,899 $113,490,760
Operating Cost Summary by Catergory FY06-10 FY11-15 FY16-20 FY21-25 20 Year Total
Downtown Improvements $0 $0 $0 $0 $0
Equipment $0 $227,000 $295,000 $295,000 $817,000
Facilities $0 $831,000 $2,205,000 $2,205,000 $5,241,000
Open Space $94,000 $175,000 $175,000 $175,000 $619,000
Parks $186,000 $1,031,000 $2,890,000 $3,345,000 $7,452,000
Street Improvements $0 $0 $0 $0 $0
Traffic Signals $47,412 $79,020 $79,020 $79,020 $284,472
Total Operating Costs $327,412 $2,343,020 $5,644,020 $6,099,020 $14,413,472
Total Cost Summary FY06-10 FY11-15 FY16-20 FY21-25 20 Year Total
Downtown Improvements $4,655,000 $0 $0 $0 $4,655,000
Equipment $1,058,000 $1,197,000 $1,875,000 $1,048,000 $5,178,000
Facilities $1,000,000 $7,381,000 $7,455,000 $5,205,000 $21,041,000
Open Space $2,694,000 $1,175,000 $175,000 $3,775,000 $4,219,000
Parks $6,149,220 $19,031,000 $21,890,000 $3,345,000 $50,415,220
Street Improvements $18,028,234 $8,065,213 $5,922,194 $9,275,899 $41,291,540
Traffic Signals $867,412 $79,020 $79,020 $79,020 $1,104,472
Capital Improvements Grand Total $34,451,866 $36,928,233 $37,396,214 $22,727,919 $127,904,232
D:\Budget\Budget 11.doc ix
FY06-10 FY11-15 FY16-20 FY20-25 20 Year Total
Project Name
Upgrade Avenue of the Fountains Electrical - east end $0.1 $0.0 $0.0 $0.0 $0.1
Upgrade Waterfalls $0.0 $0.0 $0.0 $0.0 $0.0
Civic Center II Landscape $0.0 $0.0 $0.0 $0.0 $0.0
Town Center Design $0.0 $0.0 $0.0 $0.0 $0.0
Avenue of Fountains improvements $4.5 $0.0 $0.0 $0.0 $4.5
Avenue of the Fountains Improvements $4.7 $0.0 $0.0 $0.0 $4.7
Trailhead Restrooms - Eagles Nest $0.0 $0.0 $0.0 $0.0 $0.0
McDowell Mountain Central Trailhead - Adero Canyon $2.6 $0.0 $0.0 $0.0 $2.6
Trail Connectivity Plan $0.0 $1.0 $0.0 $0.0 $1.0
Open Space Projects $2.6 $1.0 $0.0 $0.0 $3.6
Shea Blvd. Truck climbing and bike lanes $0.3 $0.0 $0.0 $0.0 $0.3
Westridge right turn lane $0.0 $0.0 $0.0 $0.0 $0.0
Saguaro Blvd dirt alley paving $0.1 $0.0 $0.0 $0.0 $0.1
Guardrail modifications $0.0 $0.0 $0.0 $0.0 $0.0
Shea Blvd. Palisades to Saguaro Blvd. $1.9 $0.0 $0.0 $0.0 $1.9
Shea Boulevard Improvements $2.3 $0.0 $0.0 $0.0 $2.3
Fountain Hills Blvd Fayette Dr sidewalks $0.2 $0.0 $0.0 $0.0 $0.2
Town wide sidewalk program $0.2 $0.3 $0.3 $0.3 $1.1
Sidewalk programs $0.4 $0.3 $0.3 $0.3 $1.3
Pavement management program $10.8 $2.9 $2.2 $3.1 $19.1
Palisades medians-Fountain Hills Blvd east to existing $0.4 $0.0 $0.0 $0.0 $0.4
Saguaro Blvd left turn pockets $0.0 $0.0 $0.0 $0.0 $0.0
La Montana medians $0.1 $0.0 $0.0 $0.0 $0.1
Palisades & Vista Dr intersection reconfiguration $0.0 $0.2 $0.0 $0.0 $0.2
Palisades & Sunburst Drive intersection reconfiguration $0.0 $0.2 $0.0 $0.0 $0.2
Palisades Blvd at Fountain Hills Blvd turn lanes $0.0 $0.3 $0.0 $0.0 $0.3
Palisades Boulevard Improvements $0.5 $0.7 $0.0 $0.0 $1.2
Fountain Hills Blvd road widening $3.0 $1.4 $0.0 $0.0 $4.4
Fountain Hills Blvd medians $0.0 $0.0 $0.3 $0.0 $0.3
Fountain Hills Boulevard Improvements $3.0 $1.4 $0.3 $0.0 $4.6
Saguaro Blvd & Trevino Dr intersection reconfiguration $0.0 $0.0 $0.3 $0.0 $0.3
Saguaro Blvd & Monterey Dr right turn improvements $0.0 $0.0 $0.2 $0.0 $0.2
Saguaro Blvd service road elimination $0.6 $0.2 $0.0 $0.0 $0.7
Saguaro Blvd & Avenue of the Fountains intersection impro $0.0 $0.2 $0.0 $0.0 $0.2
Saguaro Blvd & Grande Blvd medians $0.0 $0.4 $0.0 $0.0 $0.4
Saguaro Blvd median improvement at Fountain Hills Blvd $0.0 $0.1 $0.0 $0.0 $0.1
Saguaro Boulevard Improvements $0.6 $0.8 $0.5 $0.0 $1.9
Shea Blvd direct acces flyover to Palisades Blvd $0.0 $0.0 $0.0 $1.7 $1.7
Shea Blvd direct access flyover from Saguaro Blvd $0.0 $0.0 $0.0 $1.7 $1.7
Shea Boulevard Access Flyover $0.0 $0.0 $0.0 $3.4 $3.4
Ruskin & Kipling Drainage Improvements $0.0 $0.0 $0.0 $0.0 $0.0
Saguaro Blvd Drainage Improvements $0.1 $0.0 $0.0 $0.0 $0.1
Del Cambre Drainage Improvements $0.1 $0.0 $0.0 $0.0 $0.1
Fountain Hills Blvd at Oxford Wash Drainage Improvement $0.3 $0.0 $0.0 $0.0 $0.3
Firebrick Drive and Laser Drain Culvert $0.1 $0.0 $0.0 $0.0 $0.1
Drainage Improvements $0.5 $0.0 $0.0 $0.0 $0.5
Ashbrook Wash Crossing Improvements $0.0 $0.9 $1.3 $0.4 $2.5
Balboa Wash Crossing Improvements $0.0 $0.4 $0.0 $0.0 $0.4
Hesperus Wash Crossing Improvements $0.0 $0.1 $0.0 $0.2 $0.3
Oxford Wash Crossing Improvements $0.0 $0.3 $0.3 $0.0 $0.6
Caliente Wash Crossing Improvements $0.0 $0.3 $0.3 $0.0 $0.6
Arrow Wash Crossing Improvements $0.0 $0.0 $0.2 $0.0 $0.2
Colony Wash Crossing Improvements $0.0 $0.0 $0.2 $0.1 $0.3
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Fountain Channel Crossing Improvements $0.0 $0.0 $0.3 $0.0 $0.3
Ironwood Wash Crossing Improvements $0.0 $0.0 $0.1 $0.0 $0.1
Malta Wash Crossing Improvements $0.0 $0.0 $0.0 $0.5 $0.5
Emerald Wash Crossing Improvements $0.0 $0.0 $0.0 $0.1 $0.1
Kingstree Wash Crossing Improvements $0.0 $0.0 $0.0 $0.0 $0.0
Cypress Point Wash Crossing Improvements $0.0 $0.0 $0.0 $0.3 $0.3
Jacklin Wash Crossing Improvements $0.0 $0.0 $0.0 $0.2 $0.2
Escalente Wash Crossing Improvements $0.0 $0.0 $0.0 $0.3 $0.3
Legend Wash Crossing Improvements $0.0 $0.0 $0.0 $0.5 $0.5
Civic Center Phase II $0.0 $0.0 $0.0 $0.0 $0.0
Wash Crossing Improvements $0.0 $1.9 $2.6 $2.5 $7.0
Street Yard Building $0.9 $0.0 $0.0 $0.0 $0.9
Fire Station Upgrades $0.0 $0.0 $0.0 $0.0 $0.0
Senior Center $0.0 $1.5 $0.0 $0.0 $1.5
Police Station $0.0 $0.0 $0.0 $3.0 $3.0
Municipal Software $0.1 $0.0 $0.0 $0.0 $0.1
Document Preparation/Reproduction $0.0 $0.0 $0.1 $0.0 $0.1
Performing Arts Building $0.0 $0.0 $5.0 $0.0 $5.0
Parking Garage $0.0 $1.8 $0.0 $0.0 $1.8
Public Aquatic and Fitness Facility $0.0 $2.5 $0.0 $0.0 $2.5
Maintenance Facility $0.0 $0.8 $0.0 $0.0 $0.8
Storage Building $0.0 $0.0 $0.2 $0.0 $0.2
Fountain Park Picnic Ramadas $0.0 $0.0 $0.0 $0.0 $0.0
Four Peaks Neighborhood Parks Ball Diamond Improvemen $0.0 $0.0 $0.0 $0.0 $0.0
Fountain Park Splash Pad Landscaping $0.0 $0.0 $0.0 $0.0 $0.0
Desert Vista Neighborhood Park Phase II $0.0 $0.0 $0.0 $0.0 $0.0
Desert Vista Neighborhood Park - Skate Park $0.0 $0.0 $0.0 $0.0 $0.0
Municipal Facilities $1.0 $6.6 $5.3 $3.0 $15.8
Desert Vista Neighborhood Park Phase III $0.6 $0.0 $0.0 $0.0 $0.6
Four Peaks Neighborhood Park Phase II $0.7 $0.0 $0.0 $0.0 $0.7
Desert Vista Neighborhood Park Phase IV $1.2 $0.0 $0.0 $0.0 $1.2
Four Peaks Neighborhood Park Phase III $1.2 $0.0 $0.0 $0.0 $1.2
Fountain Park Phase III $1.8 $0.0 $0.0 $0.0 $1.8
Fountain Park Phase IV $0.4 $0.0 $0.0 $0.0 $0.4
Kiwanis Park Improvements $0.0 $0.0 $1.0 $0.0 $1.0
Park Improvements $6.0 $0.0 $1.0 $0.0 $7.0
Acquisition and development of one of two neighborhood pa $0.0 $9.0 $0.0 $0.0 $9.0
Neighborhood or Community Park in the State land $0.0 $0.0 $18.0 $0.0 $18.0
Acquisition and development of one of two neighborhood pa $0.0 $9.0 $0.0 $0.0 $9.0
Golden Eagle Park Improvements $0.0 $0.0 $0.0 $0.0 $0.0
Acquisition of New Parks $0.0 $18.0 $18.0 $0.0 $36.0
Fountain Hills & El Lago Blvd $0.0 $0.0 $0.0 $0.0 $0.0
Saguaro Blvd and El Lago Blvd $0.0 $0.0 $0.0 $0.0 $0.0
Palisades Blvd & Sunridge Drive $0.2 $0.0 $0.0 $0.0 $0.2
Palisades Blvd & Eagle Ridge Drive/Palomino Blvd $0.2 $0.0 $0.0 $0.0 $0.2
Fountain Hills & Glenbrook Blvd $0.2 $0.0 $0.0 $0.0 $0.2
Avenue of the Fountains & La Montana $0.2 $0.0 $0.0 $0.0 $0.2
Traffic Signals $0.8 $0.0 $0.0 $0.0 $0.8
Streets Division heavy equipment $0.2 $0.7 $0.2 $0.5 $1.6
Street Division vehicles $0.1 $0.0 $0.1 $0.1 $0.3
Parks vehicles $0.1 $0.0 $0.1 $0.1 $0.3
Public Works vehicles $0.1 $0.0 $0.1 $0.1 $0.3
Building Safety vehicles $0.1 $0.0 $0.1 $0.0 $0.2
Administration vehicles $0.0 $0.1 $0.0 $0.0 $0.1
Planning & Zoning vehicles $0.0 $0.1 $0.0 $0.1 $0.1
Fire Truck - Pumper $0.5 $0.1 $1.0 $0.0 $1.6
Vehicles/Heavy Equipment $1.1 $1.0 $1.6 $0.8 $4.4
Total Estimated Capital Project Costs $34.1 $34.6 $31.8 $13.0 $113.5