2016 Budget in Brief

City of Bainbridge Island

Overview

2016 Highlights

Funding the City’s Operations

The City’s General Fund

The City’s Share … What We Do

Learn More About the City’s Finances

Bainbridge Island is located within the Central Puget Sound Basin, linked to the west to the Kitsap Peninsula at Agate Passage and to the east by a ferry to the city of Seattle. The City was incorporated in 1947 as the City of Winslow. In 1991, the remainder of the island was annexed to form the City of Bainbridge Island.

Once home to the world’s largest sawmill, over the years, water-related industry on the island has diminished. Bainbridge Island is now a residential community with an active central business district, along with some small commercial/light industrial centers. As a result, many island residents commute for employment, primarily to Seattle via ferry. On the island, employment relies on a mixture of small retail, manufacturing, health care, and government. Tourism is also an important component of the community and economy.

First post office…………………………………………………………………1858 First school………………………………………………………………………..1860 Population (2015)…………………………………………………………23,390 Population rank among Washington cities…………………….43 Miles of shoreline…………………………………………………………………53 Total area in square miles……………………………………………………28 Average temperature (August)……………………………77°F/ 55°F Average temperature (February)………………………..49°F/ 35°F Average annual precipitation (inches)…………………………….54 Miles of City-owned paved roads……………………………………140 Miles of City-owned gravel roads……………………………………..12 Vehicles registered to Island residents……………………..18,000 Vessels registered to Island residents…………………………3,443 Total assessed valuation (2015)………....……….$5,708,210,319 Retail sales tax…………………………………………….……..……………8.7% City full-time equivalent employees…………..……………..108.15

Overview

The City has implemented Priority Based Budgeting

(PBB), a comparison of community values to the jurisdiction’s programs and services. PBB helps the City and the community identify key City Council and community goals; evaluate the connection of City programs and services to these goals; and engage in strategic decision-making regarding funding and service level for city programs and services.

City Council discussions, staff input and consultant review identified six strategic priorities for the City of Bainbridge Island. The initial review of the City’s information through the PBB lens resulted in a list of over 300 community programs and over 100 governance programs, from bike lane sweeping to parking enforcement to responding to public records requests. PBB matches all programs against the results above and assigns costs and prioritization at a program level.

Priority Based Budgeting

2016 Highlights

WYATT WAY reconstruction (From Madison to Lovell)

Capacity improvements to the intersection of Madison and Wyatt. Complete sidewalk and bicycle facilities on both sides of the street from Madison to Lovell. Reconstruct roadway surfacing and drainage.

Estimated Construction Cost: $2,100,000

WING POINT WAY non-motorized and utility work (From Ferncliff to Park)

Reconstruct roadway surfacing and drainage. Provide sidewalk on the downhill side and shoulders on the uphill side. Water and sewer utility repairs will also be made.

Estimated Construction Cost: $3,381,000

WATERFRONT PARK facility upgrade (phase 1 improvements)

Renovate and repair elements of the City’s Waterfront Park.

Estimated Construction Cost: $1,416,000

SR305 – OLYMPIC DRIVE non-motorized improvement (phase 1, from Harbor Drive to Winslow Way)

Provides improvements for pedestrians and cyclists along heavily trafficked roadway from ferry dock through the intersection of Winslow Way and Highway 305/Olympic Drive.

Estimated Construction Cost: $824,000

CITY DOCK facility improvement (replace existing dock)

Replace the Waterfront Park City Dock and expand the boat ramp.

Estimated Construction Cost: $1,847,000

PUBLIC SAFETY FACILITY

Replace and relocate Police Station and Municipal Court. The new public safety facility will provide adequate space for current and future departmental needs.

Estimated Construction Cost: TBD

SOUND TO OLYMPICS TRAIL (phases 2 and 4, from Winslow Way to High School Road)

Design of Sound to Olympic Trail and study of branch trails. Includes construction of separated pathway from Winslow Way to the existing Ravine Creek non-motorized bridge and continuing to High School Road.

Estimated Construction Cost: $2,250,000

COMPREHENSIVE PLAN update

Set for completion in 2016, the City is updating its Comprehensive Plan in accordance with the Washington State Growth Management Act. A Comprehensive Plan establishes a community’s vision for growth and the features it wishes to preserve over the next 20 years. Plan elements include land use, environment, economy, transportation, housing, water resources, utilities, capital facilities, human services, and culture.

Funding the City’s Operations

JAN

MAY/JUN

JUL/AUG

SEPT

OCT/NOV

NOV/DEC

FEB/MAR

JAN-DEC

City Council formulates goals and priorities for the coming year.

Capital Improvement Plan development and

staff budget discussions with

Council begin. Departments develop budget

requests. The City Manager & Finance Director prepare a citywide budget. The Proposed Budget

is delivered to City Council with key

assumptions regarding revenue, expenses &

capital projects. Council reviews the

Proposed Budget. Public hearings are

held for citizen input, property tax rate is set & utility fees are discussed.

The City Council adopts the budget.

The City publishes the final budget document.

The Adopted Budget is monitored &

amended as necessary throughout the

budget year.

EXECUTIVE establishes direction for the City

organization as a whole, functioning as a coordination and

communications hub. The department provides four areas of service: City Management, Legal,

City Clerk, and Human

Resources. $2,870,923

PUBLIC WORKS plans, designs, constructs, operates & maintains public

improvements, facilities & equipment owned by the City and the public. The department is comprised of three divisions: Administration,

Engineering (incl. Water Resources),

Operations & Maintenance. $6,835,172

FINANCE & ADMINISTRATIVE SERVICES provides financial and

technology services, cashiering, utility billing & web information to citizens as well as central support to the City’s five operating departments. The department has three primary functions: Accounting,

Budget, and Information Technology.

$1,931,061

MUNICIPAL COURT provides a local forum for fair, accessible and timely

resolution of alleged violations of Washington State statutes and

Bainbridge Island municipal ordinances

that occur on the Island. $564,200

CITY COUNCIL is the legislative and policy-making body of the government. City

Council members are the elected representatives of the citizens of Bainbridge

Island. The Council represents the public interest in developing public policy,

establishes City goals and priorities, and

adopts the City budget. $115,900

PLANNING & COMMUNITY DEVELOPMENT implements the community’s vision as represented in

the Comprehensive Plan through planning and building permit

review, environmental stewardship and code compliance. Service areas

include Current/Long-Range Planning, Development Engineering,

Building Services, and Code

Compliance. $2,612,005

PUBLIC SAFETY for the city is provided by the Police Department. The

department is comprised of four divisions: Administration, Patrol,

Investigations & Marine. $4,166,421

GENERAL GOVERNMENT is a non-staffed department that functions as a

centralized service unit to pay for citywide costs (incl. debt service) on

behalf of all of the departments. This is administered by Finance and

Administrative Services. $3,638,306

2016 Operating Expenditures by Department

Total Revenues $30,094,801

Tax Supported Revenues

$22,813,601

Utility Revenues $7,281,200

Water, $1,257,200

Sewer, $3,998,000

Storm & Surface Water,

$2,026,000

General Fund, $16,121,797

Street Fund, $3,038,976

B&DS Fund, $2,097,329

Other Tax Fund,

$8,293,110Water Fund,

$1,436,876

Sewer Fund, $5,115,726

SSWM Fund,

$2,472,568

Total Expenditures $38,576,382

General, $15,874,901

Streets, $1,310,000 Building &

Development Services,

$1,320,000

Special Revenue,

$2,160,000

Bond, $677,700

Capital & Lid Construction,

$1,471,000

Revenues (incl. operating transfers)

2016 Adopted

2015 Adopted

2014 Adopted

General Fund $15,874,901 $15,214,250 $15,070,146

Street Fund $2,836,888 $3,723,000 $2,468,541

B&DS Fund $2,136,960 $2,075,000 $2,250,157

Other Tax Fund $7,795,484 $11,728,068 $9,658,141

Water Fund $1,284,700 $1,260,700 $1,021,883

Sewer Fund $3,998,000 $4,029,000 $8,001,918

SSWM Fund $2,026,000 $2,030,000 $2,429,339

TOTALS $ 35,952,933 40,060,018 40,900,125

Expenditures 2016 Adopted

2015 Adopted

2014 Adopted

General Fund $16,121,797 $12,225,739 $11,946,734

Street Fund $3,038,976 $3,417,122 $3,057,930

B&DS Fund $2,097,329 $2,027,855 $2,129,062

Other Tax Fund $8,293,110 $9,891,017 $8,333,995

Water Fund $1,436,876 $2,022,670 $1,381,716

Sewer Fund $5,115,726 $4,806,339 $8,403,063

SSWM Fund $2,472,568 $2,151,902 $2,789,627

TOTALS $ 38,576,382 36,542,644 38,042,127

$0 $10,000,000 $20,000,000 $30,000,000 $40,000,000

2014

2015

2016

Expenditures Revenues

Total General Fund Revenues $15,874,901

Total 2016 Resources (incl. fund balance)

$26,767,771

The City’s General Fund

Where does the City’s money come from?

♦ Taxes – property, sales and utility

♦ Licenses & Permits – building and business

♦ Intergovernmental – liquor profits, liquor tax, grants and vessel registration

♦ Charges for Goods & Services ♦ Fines & Forfeits – fines from

law enforcement related activities

♦ Interest income, rents, etc.

Property Taxes44%

Sales & Use Tax

23%

B&O Tax and Penalties

3%

Utility & Other Taxes

20%

Fees & Service Charges

7%

Miscellaneous3%

Total General Fund Expenditures $12,984,959

Where does the City’s money go?

♦ Personnel – police officers, court personnel and general government functions

♦ Professional & Community Services –provides for specialized services not performed by City staff, as well as support to local community organizations

♦ Intergovernmental – pays for services such as CENCOM dispatch, emergency preparedness and fire flow

♦ Capital Equipment – public safety vehicles and technology infrastructure

♦ All other expenses include items such as utilities, staff training, postage & phone costs, and planned major maintenance of general government facilities

Total 2016 Uses (incl. fund balance & transfers) $26,767,771

Personnel61%

Supplies3%

Professional Services

9%

Community Services4%

Other Services & Charges10%

Insurance2%

Intergovernmental Services

6%

Capital Equipment3%

Capital Projects1%

Debt Service1%

Property Tax

The City’s Share of …

BI School District

$0.30

State Schools

$0.22

County

$0.11

Fire $0.12

City $0.13

Parks $0.08

Other $0.04

The single largest revenue source for the City of Bainbridge Island is property tax paid by owners of island property. The 2016 budget includes a total of $7,052,500 plus an additional $607,700 in dedicated property tax to pay debt service related to voter-approved bonds. The City receives less than 13 cents of every dollar of property tax paid by Islanders.

Transportation $0.09

State/County Admin $0.02

WA State $0.76

Criminal Justice $0.02

City $0.10

Communications $0.01

Sales Tax The retail sales tax rate within the City of Bainbridge Island is 8.7% on taxable items. Similar to the property tax, the revenue is divided among various jurisdictions for various purposes. The City receives about 10 cents from every dollar of sales tax paid on the Island.

3,700 linear feet of open conveyance ditched

884 sewage pump stations inspected

…And What We Do

400 public records requests

160 contracts & agreements reviewed

65 ordinances & resolutions reviewed 53 councilmanic

packets produced

489 agenda items processed

44 press releases picked-up by media

447 city programs

2,500 Nixle subscribers

566 City Manager Update subscribers

5% of data stored in cloud-based

data storage

52.5 days to fill a position

7,000 accounts payable invoices processed

3,200 business licenses issued

Obtained GFOA Certificate of Achievement for Excellence in

Financial Reporting

4,550 utility customers

225 GIS-related map & data requests

2,500 hearings held

702 building plans reviewed

4,250 building site inspections

240 code compliance service requests

200 current planning permits completed

14,000 public safety service calls

2,000 police reports

1,156 hours of overhead vegetation control

280 cubic yards of street waste removed during roadway sweeping

1.47 miles completed towards C40 non-motorized improvements

1,090 hours of roadside mowing

148 vehicles & equipment

maintained 812 scheduled

water plant inspections

263 culverts cleaned

53 board & commission applications

processed

Learn More About The City’s Finances

BUDGET DOCUMENT

State Budget Law requires cities to adopt a balanced budget setting the legal authority to spend. The City of Bainbridge Island adopts a Biennial Budget (budget for two years) every other year. The current Adopted Biennial Budget is for the period January 1, 2015 through December 31, 2016. The Budget Document is over 300 pages long and provides extensive details of the City’s operations including revenues and expenditures by department and program.

http://www.bainbridgewa.gov/675/2015-2016-Adopted-Budget

COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR) The City prepares a CAFR in accordance with standards established by the Government Accounting Standards Board and Government Finance Officers Association. The CAFR is a 100 page document showing the City’s assets and liabilities at the end of a fiscal year, as well as the revenues received and expenditures made during that fiscal year. Ten year statistical information is also available in the CAFR.

http://www.bainbridgewa.gov/205/Annual-State-Audit-Financial -Statements

ANNUAL AUDIT The City of Bainbridge Island is audited each year by the Washington State Auditor’s Office. The purpose of this audit is to “assure users of governmental financial statements; that those statements are fairly presented,” and to provide users with “an independent basis for relying upon management’s assertions concerning the government’s financial position, results of operations and cash flows.” The audit is a thorough process, in which a member of the auditor’s office spends 6-8 weeks at City Hall inspecting records, interviewing staff and observing and evaluating the City’s financial processes.

OpenGov – FINANCIAL TRANSPARENCY PORTAL The City of Bainbridge Island is committed to financial transparency. In this spirit, the City has developed the Financial Transparency Portal to give residents a transparent view of how their funds are invested in the delivery of outstanding public programs and services. Powered by OpenGov, this tool provides user-friendly access to the City’s financial data with the ability to see the City’s current budget and 4 prior years of revenues and expenses. To learn how to use the tool, review the OpenGov How-To Guide (http://www.bainbridgewa.gov/DocumentCenter/View/5321), or use the Help Menu within the tool for further explanation.

https://bainbridgeislandwa.opengov.com

Doug Schulze, City Manager dschulze@bainbridgewa.gov

(206) 842-2545

Ellen Schroer, Finance Director eschroer@bainbridgewa.gov

(206) 780-8668

Bainbridge Island City Hall 280 Madison Avenue N.

Bainbridge Island, WA 98110 Phone: (206) 842-7633

VISION Preserve and enhance the special character of the

Island through stewardship and response to the

community’s needs by conducting transparent

operations, implementing responsible public policy,

and fostering community engagement.

C ●

O ●

B ●

I

ollaboration

wnership of organizational success

uild trust at all levels

nnovative practices