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HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 10/12/2021 - 2022 RECOMMENDED BUDGET - WORK SESSION #3DATE: STAFF: October 12, 2021 Kelly DiMartino, Interim City Manager Travis Storin, Chief Finance Officer Lawrence Pollack, Budget Director WORK SESSION ITEM City Council SUBJECT FOR DISCUSSION 2022 Recommended Budget - Work Session #3. EXECUTIVE SUMMARY This item has been amended to include the presentation slides. The purpose of this work session is to review the 2022 Recommended Budget that was delive red to Council and the City Clerk on September 1, 2021 pursuant to provisions of Article V, Section 2 of the City Charter. This discussion is a continuation of the overall budget discussion and Outcome review items discussed at the September 14 and September 28 Work Sessions. Two Public Hearings to gather input from the community about the 2022 Budget have also been completed. The Recommended Budget is aligned with the City’s adopted 2020 Strategic Plan, the new Council Priorities and community priorities. At the October 12, 2021 Work Session, staff will be looking for guidance on the changes to the City Manager’s Recommended Budget that Council would like to have incorporated into First Reading on November 2. GENERAL DIRECTION SOUGHT AND SPECIFIC QUESTIONS TO BE ANSWERED 1. Which offers does Council have interest in including in First Reading of the 2022 Budget, including preferred funding sources? 2. What clarifying questions does Council have on any of the Offers in the seven Outcomes discussed in the previous budget work sessions? BACKGROUND / DISCUSSION Budgeting for Outcomes (BFO) Process Status The 2021 budget process would typically have been a ‘revision year’, which is when the second year of the City’s two-year, or biennial, budget would be revised. However, the City’s budgeting process was significantly impacted by the global pandemic. It was determined that modifications would need to be made to the processes for both 2020 and 2021, due to the significant unknowns about impacts to our community. In response, in 2020 Council approved Ordinance No. 067 to suspend the City Code to allow the adoption of a one -year budget and temporarily revise the City’s budgeting process. For 2022 the primary impact of these modifications is that Council will again ado pt a one-year budget instead of the traditional two-year (biennial) budget. Thereafter, the City will return to a two-year budget for the 2023-2024 fiscal period. Unlike in the modified process last year, the BFO Teams of City staff members were successful ly invoked this year, and that added significant value to the process and the recommendations made by the executive team. Also, public engagement for the 2022 Recommended Budget resumed as it normally did prior to the pandemic. Initial feedback received in May and June helped inform the decisions for the recommended budget, and the remaining inputs through September will be shared with Council as final decisions are being made for the adopted 2022 Budget. October 12, 2021 Page 2 Key components of our budgeting process continued this cycle, including budget requests based on the programs and services provided to the community, a key aspect of Budgeting for Outcomes. These budget requests specify direct linkage to at least one strategic objective in the City’s adopted 2020 Strategi c Plan, as well as performance measures directly related to the proposed program or service. These three integrated components of program/service level offers, linkage to strategic objectives, and inclusion of performance metrics are an important part of the City’s ongoing organizational performance management process and executive review. Another important modification this year was to also focus on the newly elected Council’s adopted priorities. These were included in the executive conversations and several offers to support those priorities were created and recommended for funding. Public Engagement Update The City’s Communications and Public Information Office was able to begin public engagement in May, returning to the extended duration of gathering community input on the 2022 Budget from May through September, as it was prior to the onset of the pandemic. (Attachment 1) Changes to Offers originally included in the City Manager’s Recommended Budget • Based on Council dialogue during the previous 202 2 Budget work sessions on September 14 and 28, staff heard requests for funding several various offers, some at a scalable level. Staff has reviewed this guidance and proposes the corresponding offers be grouped into the following categories: 1. Offers to include for First Reading with specific funding source recommendations Outcome Offer Number & Title Funding Source(s)Ongoing One-Time ENV 1.28 - Utilties : Water 1.0 FTE - Contractual Specialist Water Conservation 501-Water Fund: Ongoing Revenue 86 T&M 20.6 - Parking Structure Security Upgrades 100-General Fund: ARPA ($446k) 294-Parking Services Fund: Reserves ($32k)478 C&R 55.14 - Lincoln Center - Sustainable Performance Hall Lighting *273-Cultural Services Fund: Reserves 175 86 653 * = New Staff Recommendation (in alignment with increased Climate Action efforts) October 12, 2021 Page 3 2. Offers to include for First Reading funded by options available to Council (to be reviewed during the work session) Outcome Offer Number & Title Funding Source(s)Ongoing One-Time C&R 35.8 - Library Park Irrigation Replacement - Enhanced General Fund Reserves / ARPA 100 C&R 35.9 - Rolland Moore Park Improvements - Enhanced *General Fund Reserves / ARPA 1000 NLSH 40.7 - Large Diameter Tree Pruning Enhanced Funding Increased General Fund Revenue 100 ENV 48.14 - 1.0 FTE Construction and Demolition Waste Increased General Fund Revenue 100 SAFE 53.2 - RESTORE West Nile Virus Program Community Outreach, Education, and Data Collection *Increased General Fund Revenue 23 HPG 7.11 - City Facility Exterior Lighting: Dark Sky Assessment and Conversion *General Fund Reserves / ARPA 100 ENV X.X - Additional Funding for Air Quality *Increased General Fund Revenue 215 T&M 9.9 - RESTORE - Street Sweeping - ARPA Funded **Increased General Fund Revenue 49 SAFE X.X - Add Back 1 Household Hazardous Waste Day Supported by City Staff Increased General Fund Revenue 150 ENV / T&M 1.16 and 13.8 - Enhanced Climate Action ***Increased General Fund Revenue and Light & Power 299 936 1200 * = Scaled Down or Partial Recommendation ** = Remove ARPA Funding Increased General Fund Revenue 837 General Fund Reserves / ARPA 1200 Light & Power Fund Revenue 99 *** = Based on Offer 1.16 being 'scaled up' $99k (an increase to an already funded Offer), and Offer 13.8 (previously unfunded) being 'scaled down' to $200k from $396k and funded 3. Offers of interest to Council – More discussion needed Outcome Offer Number & Title Funding Source(s)Ongoing One-Time ENV 1.22 - Utilities: 1.0 FTE - Environmental Regulatory Affairs Technician TBD 93 T&M 11.13 - Neighborhood Traffic Mitigation Program Expansion *TBD 130 SAFE 43.4 - 1.0 FTE - Parks Ranger TBD 86 SAFE / HPG X.X - All Unfunded Offers for Police and Legal Services (Offers 18.20 / 18.21 / 66.2 / 18.19 / 18.24 / 18.13) **TBD 1,606 ENV X.X - Stream Restoration Design for 2023 Construction **TBD TBD ENV X.X - Soil Amendments Improvements / Compliance **TBD TBD 1,915 0 * = Scaled Down or Partial Recommendation ** = Further Discussion and Guidance Needed • Additionally, the following administrative changes are proposed: o The eligibility criteria for the American Rescue Plan Act (ARPA) were defined after the release of the 2022 Recommended Budget. This accounting change will consolidate ARPA related expenditures into the General Fund. As such, offers originally proposed to be expensed in other City governmental funds will be expensed in the General Fund for 2022 and future years. o The 2022 Budget for the Downtown Development Authority (DDA) was approved by its Board of Directors on September 9, 2021. ‘Offer 61.1 – Downtown Development Authority Operating and Capital Budget’ has been updated to reflect the final DDA 2022 Budget, as approved by the Board. Council Budget Meetings This work session concludes a series of work sessions scheduled in September and October to discuss the proposed 2022 Budget, and will include Council discussion regarding overall priorities, policy issues and guidance on what changes Council wants included in First Reading of the 2022 Budget. Council is scheduled to consider budget adoption on the following dates: October 12, 2021 Page 4 Meeting Date Topic November 2, 2021 Regular Meeting First Reading of the 2022 Budget and the 2022 Appropriation Ordinance November 16, 2021 Regular Meeting Second Reading of the 2022 Budget and the 2022 Appropriation Ordinance ATTACHMENTS 1. 2022 Budget Engagement Summary (PDF) 2. Powerpoint Presentation (PDF) Communications & Public Involvement 215 N. Mason St. PO Box 580 Fort Collins, CO 80522 970.416.2209 fcgov.com MEMORANDUM DATE: October 6, 2021 TO: Mayor and City Councilmembers THROUGH: Kelly DiMartino, Interim City Manager Tyler Marr, Assistant City Manager FROM: Amanda King, Communications & Public Involvement Director RE: 2022 Budget Engagement Summary Attached is the 2022 Budget Engagement Summary report. A memo with consolidated letters and emails with budget feedback will be delivered in next Tuesday’s Read Before packet. ATTACHMENT 1 2022 Budget Engagement Summary Community Engagement Strategy: Due to this year’s off-cycle, one-year budget, staff pursued a public engagement process designed to inform both the 2022 Budget and the pending Strategic Plan update. Engagement took place mid- April through September, and also included administering the Community Survey in the spring, so that data would be available for budget offer evaluation. The engagement plan aimed to inform the community of the budget process and to involve community members in prioritizing strategic outcomes, objectives and trade-offs reflected in the Recommended Budget. In addition, engagement methods aimed to either confirm or identify changes to community priorities and values from the 2020 Strategic Plan, particularly in light of the pandemic and ongoing community recovery. Continued health and safety best practices required engagement efforts be held primarily online. Methods:  Animated Budget 101 videos in English/Spanish  Dual language online forums, presentations and listening sessions  OurCity project page with online engagement activities in both English/Spanish  Website and social media promotion  Public Hearings  Community Survey Participation:  OurCity: o 2,400 total page visits o 1,700 aware visitors, 846 informed visitors, 183 engaged o 112 survey responses o 161 ideas submitted  Social Media: o Facebook 63,500+ reached (double the 2021 engagement) o Twitter 32,000+ impressions o YouTube 450+ views o Total social media reach & impressions (all platforms): 153,500+ Feedback Summary - What we Heard: OurCity Poll & Survey Results:  Do the seven strategic outcomes identified in the City’s strategic plan generally resonate with you as priorities for the City? o Yes – 90.2% o No – 9.8%  Has the COVID-19 pandemic shifted these priorities for you? o Yes – 22% o No – 78% Objectives that should be prioritized in the 2022 Budget in each Outcome Area:  Neighborhood Livability & Social Health o 1.1 Improve and increase availability and choice of quality housing that is affordable to a broad range of income levels. o 1.9 Create and maintain a safe, healthy and resilient urban forest. o 1.2 Collaborate with other agencies to address poverty issues and other identified high-priority human service needs, and to make homelessness rare, short-lived and non-recurring.  Culture & Recreation o 2.2 Address critical park, recreation equipment and trail lifecycle and maintenance needs and continue the planned buildout of the system. o 2.5 Ensure safety and welfare in City parks, natural areas, trails, and cultural and recreation facilities for visitors and employees. o 2.4 Identify criteria, process and funding options to refresh neighborhood and community parks.  Economic Health o 4.1 Intensify efforts to improve resilience and to meet 2030 climate, energy and 100% renewable electricity goals. o 4.6 Sustain and improve the health of the Cache la Poudre River and all watersheds within the city. o 4.2 Improve indoor and outdoor air quality.  Environmental Health o 4.1 Intensify efforts to improve resilience and to meet 2030 climate, energy and 100% renewable electricity goals. o 4.4 Provide a reliable, high-quality water supply. o 4.6 Sustain and improve the health of the Cache la Poudre River and all watersheds within the city.  Safe Community o 5.6 Protect mission-critical physical and virtual infrastructure, in addition to privacy data, against increasing cybersecurity threats. o 5.1 Improve overall community safety while continuing to increase the level of public trust and willingness to use emergency services. o 5.7 Reduce incidents of, and impacts from, disruptive and unwanted behaviors with creative approaches that balance compassion and consequences.  Transportation & Mobility o 6.3 Ensure equitable access to and expansion of all sustainable modes of travel, with emphasis on growing transit ridership. o 6.2 Manage traffic congestion and improve high-priority intersections for all users. o 6.1 Improve safety for people using all modes of travel. o 6.7 Manage safety, congestion and quality of life impacts from train operations in Fort Collins.  High Performing Government o 7.6 Utilize technology, data, metrics and process improvements to innovate, guide decisions and enhance service delivery. o 7.7 Address long-term projected gap between available revenue and what is required to meet known and emerging needs. o 7.4 Attract, retain, engage, develop and reward a diverse and competitive workforce to meet the needs of the community now and in the future. OurCity Themes: Of the ideas for funding submitted on the OurCity platform, the majority were around Transportation & Mobility, with a focus on expanded transit and bicycling opportunities, and Neighborhood Livability & Social Health, with a focus on housing and homelessness services. Other common themes across OurCity and social media comments include:  Maintaining and enhancing park, recreation and trail amenities  Enhancing air quality monitoring  Supporting local businesses and economic recovery Community Survey:  Top 3 outcome areas to be prioritized: o NLSH o Environment o Transportation  Which outcomes should have more funding/effort o NLSH (60%) o Transportation (55%)  Open question – top 3 themes (what’s the most important thing the City should be focusing on and why) o Affordable housing and cost of living o Traffic o Mobility Full Community Survey results memo from Aug. 12, 2021: https://citydocs.fcgov.com/?cmd=convert&vid=218&docid=3524781&dt=MAIL+PACKET Attachments:  Submitted ideas & supporting 2022 Offers  Letters to City Council  Full text submitted comments Ideas & Supporting Offers Below are service ideas submitted on OurCity, grouped by common themes, and the 2022 BFO Offers that support those ideas. 1. Air Quality a. Remove 4 way stops b. The City should use the money it gets from the State Severance Tax and the Federal Mineral Leasing fund for regional air quality monitoring c. Air quality/climate change. Need to go beyond monitoring air quality. Need short and long term plan to combat these threats to life quality. d. We need continuous air quality monitoring e. 2022 Offers i. 48.3 Air Quality ii. 48.4 Climate Commitment iii. 48.13 Local and Regional Air Quality Monitoring - Improved AQ Priority & Regionalism 2. Bikes a. Bike park i. Prioritize the citizen requested bike park in n. old town so all can access great mountain biking without driving. Other cities are leading. ii. Given Fort Collins' reputation as a bike friendly city, I recommend a bike oriented recreation park (similar to Valmont in Boulder). b. More bike lanes & trails in north & NE part of the city i. Add safer bike trails in the northern part of the city ii. Connect North East Fort Collins to trail network iii. Connect North East Fort Collins to bike lane + sidewalk network iv. 2022 Offers 1. 13.1 FC Moves Mobility Management 2. 13.5 CCIP - Bicycle Infrastructure 3. 13.9 Fort Collins Travel Survey 4. 41.1 Recreational Trail Development c. The times I feel the least safe in Fort Collins is when I'm walking or biking and an angry motorist threatens me. 3. Development a. Match Planning Staffing with Growth and Development Pressure b. We need Environmental Preservation buildings codes c. Historic Surveys need to be funded d. Recycle or reuse buildings rather than throwing them away e. 2022 Offers i. 22.12 1.0 FTE Zoning Department (Conversion of Part-Time Zoning Admin Support to 1.0 FTE Classified Business Support) ii. 22.13 1.0 FTE Contractual - Planning Technician - ARPA Funded iii. 22.18 1.0 FTE Business Support Conversion of Contractual to Classified - Development Review 4. Economic Health a. Penalize conglomerates who hold commercial real estate vacant for longer than 2 years (esp. along College Ave). 5. Homelessness and Social Well-being a. Housing first model and Shelter for all i. Create a city based system for assisting the homeless ii. Needs based assistance iii. Resources for the homeless, and police officer accountability towards civilians iv. Better support for homeless population v. Homeless community needs the ability to have a safe area during this covid pandemic. Places to stay 24/7 in safety. vi. 2022 Offers 1. 22.2 Long-Range Planning 2. 47.1 Social Sustainability Leadership/Housing & Homelessness 3. 47.2 Human Service Programs & Affordable Housing 4. 47.3 Homelessness Initiatives - Continuing Support 5. 47.4 CCIP - Affordable Housing Capital Fund 6. 47.5 Homelessness Position and Outreach Fort Collins Funding 7. 47.6 Housing Strategic Plan Implementation and Housing Manager 8. 47.13 Homelessness Initiatives Increase - ARPA Funded 9. 47.14 Future 24/7 Shelter Engagement Support b. Food security i. 2022 Offers 1. 47.2 Human Service Programs & Affordable Housing 6. Housing a. More Multifamily/Apartment housing b. Create zoning rules and set aside land for tiny home communities + tiny homes as ADUs for infill along primary transit corridors c. Remove Single-Family Zoning d. Find creative solutions that provide increased density throughout town, not just downtown and around CSU e. 2022 Offers i. 10.12 Mobile Home Park Livability Code Enforcement ii. 22.2 Long-Range Planning iii. 22.14 Land Use Code Updates - Phase 2 iv. 48.11 Innovate Fort Collins Challenge – Housing/Climate Nexus - ARPA Funded 7. Local Business Support a. We need to be supporting our local businesses more than we support businesses from outside our borders b. NoCo Market online c. 2022 Offers i. 22.11 Expanded Technical Assistance for Small Business - ARPA Funded ii. 49.4 Business & Workforce Support iii. 49.8 1.0 FTE Contractual Conversion to Classified - Minority Business Specialist iv. 49.9 Economic Health Strategic Plan - ARPA Funded 8. Nature in the City a. Use Northern Colorado Wildlife Center to improve habitats in the city 9. Parks and Recreation a. Break down natural areas/parks/other dept silos to deliver outdoor recreation plan desired by citizens that includes more nearby trail miles b. Education and licensing for wilderness access c. More pickle Ball courts! There are so many new players, and empty tennis courts that can be converted! d. Plant More Trees e. How many people know about the Museo? 10. Transportation a. Train issues i. Train Overpasses & Quiet Zones along Timberline ii. Overpasses or underpasses (or something) for the trains running through town so they don't have to stop traffic and blare their horns b. Tell us how much of our tax money goes towards paying for parking that often sits vacant c. Public transportation i. Transfort/buses 1. On transfort routes that have lighter usage why not replace the big buses with smaller shuttle style vehicles. 2. No Buses With an Hour Wait 3. Expanded Bus Service Outside of Regular Commute Times 4. Please expand public transportation. The increase in population and traffic make it a necessity. The more convenient the more usage. 5. 2022 Offers a. 19.3 Dial-A-Ride b. 19.4 Poudre Express Regional Transit Service Partnership from Greeley to Fort Collins c. 19.10 RESTORE: Transfort Service Level - ARPA FTA Funded ii. Support incentives for reducing traffic on I25. Commuter rail along front range and fewer 1 passenger cars. This is also air quality issue iii. Remove Free Parking iv. Incentivize "Walkable/Bikeable" Communities / Economic areas v. Create a Light Rail plan that can easily connect Fort Collins to other Urban Centers vi. We need "streetcar commercial districts"... even if our streetcar is no longer a city-wide form off transportation d. Road safety i. Protected Bike Lanes ii. More Roundabouts... Fewer Signals iii. Harmony Road overpass for bikes iv. Please more speed bumps approaching and in front of every school for children's' safety. v. Change the snowplow priority to make sure that bike routes are plowed in the winter. vi. Canyon/Whitcomb Road Fix vii. Providing safe route to biking trails from SE FoCo locations. There isn’t a safe way to connect to the bike trail system currently. viii. Close the street in front of City Park Pool and add a drop-off area as recommended by City staff and the City Park Tomorrow Design Workshop ix. 2022 Offers 1. 9.6 Snow and Ice Removal Level of Service 2. 13.3 Active Modes 3. 21.16 CCIP - Siphon Bike / Pedestrian Overpass 11. Waste Reduction a. Cleaning up/reducing waste including composting b. Make it easier to compost waste c. Leverage things like "Trash Tag" to help incentivize citizens to keep areas clean. d. 2022 Offers i. 48.2 Waste Reduction & Recycling ii. 48.5 Municipal Sustainability iii. 48.6 Timberline Recycling Center iv. 48.11 Innovate Fort Collins Challenge – Housing/Climate Nexus - ARPA Funded 12. Water Conservation a. North East Fort Collins cannot access XIP grant - please partner with ELCO + FCLWD + Northern Water to expand this program to homeowners. b. We need to be more aggressive about water conservation. c. 2022 Offers i. 1.27 Utilities: Water Conservation ii. 1.29 Utilities: Water Conservation Xeriscape Incentive Program for HOAs and Commercial Properties iii. 1.31 Utilities: Water - Meters Operation and Maintenance iv. 1.34 Utilities: Water - Meter Capital – Ongoing 2022 Budget ReviewCity Council Work Session – October 12, 2021ATTACHMENT 2 22021 Council Budget MeetingsSeptember 14thWork Session• Culture and Recreation• Economic Health• Environmental Health• Transportation and MobilitySeptember 28thWork Session• Neighborhood Livability and Social Health• Safe Community• High Performing GovernmentSeptember 21stCouncil Meeting• Budget Public Hearing #1 of 2October 12thWork Session• Budget Public Hearing #2 of 2October 5thCouncil Meeting• General Discussion – Final Council DirectionNovember 2ndCouncil Meeting• First ReadingNovember 16thCouncil Meeting• Second ReadingWe are here 3Public Engagement Summary•Methods:–Two public hearings–Three online forums–Online surveys, idea generators & engagement activities–Social media & digital –More accessible information viaoBudget-in-Briefs at www.fcgov.com/budgetoBudget 101 videos at ourcity.fcgov.com/2022budget–Community Survey•Participation:–2,400 page visits to ourcity.fcgov.com/2022budgeto112 survey responseso161 funding/service ideas submitted–153,500 social media reachNew Budget in Brief–Published in Spanish and English–24 pages–Available in hard copy–www.fcgov.com/budget 4Public Engagement Summary•Asked community about specific budget items, community priorities, pandemic/recovery impacts•Due to off-cycle budget, engagement designed to inform both the 2022 Budget and 2022 Strategic Plan update•Common response themes:–Expand transit and bicycling opportunities–Address housing cost/availability & invest in homelessness services–Maintain and enhance park, recreation & trail amenities–Increase air quality monitoring–Support local businesses & economic recovery 5Summary of Council Requested Follow UpsWork Session Date # of Council Requests8/31/2021 59/14/2021 169/28/2021 11Total 32Thursday Packet Date # of Requests Addressed9/9/2021 59/23/2021 69/30/2021 610/7/2021 15Total 32 6ARPA Funded Offers – Ongoing CostsWhile funding expected ongoing expenses with the one-time nature of ARPA is not sustainable, there will be a significant consideration in the 2023-24 Budget where the remaining ARPA money is expected to fund budget requests associated with the Recovery Plan.Outcome Offer Number Offer Name Offer TotalHPG 7.22 RESTORE:  Two Part‐time Hourly Facility Maintenance Helpers ‐ ARPA Funded 55,075$              SAFE 18.18 5.0 FTE ‐ Mental Health Response Team build out; 1 Sergeant and 4 Officers ‐ ARPA Funded 809,170              NLSH 22.13 1.0 FTE Contractual ‐ City Planner ‐ ARPA Funded 81,258                HPG 32.6 Expanded Community Outreach and Engagement ‐ ARPA Funded 55,000                C&R 34.21 Increased Funding for the Reduced Fee Scholarship Program ‐ ARPA Funded 100,000              HPG 44.4 Diversity, Equity & Inclusion (DEI) Office ‐ Professional Services Increase ‐ ARPA Funded 25,000                HPG 44.6 Language Access Services for City Council Meetings and High Priority Civic Engagement Events ‐ ARPA Funded 34,560                NLSH 47.12 Affordable Housing Fee Credit Fund ‐ ARPA Funded 350,000              NLSH 47.13 Homelessness Initiatives Increase ‐ ARPA Funded 201,000              NLSH 47.9 Human Service Program Increase ‐ ARPA Funded 150,000              C&R 55.12 1.0 FTE Contractual ‐ Cultural Services Community Programs Manager with Program Support ‐ ARPA Funded 169,575              C&R 55.13 Cultural Services Access Fund for Low‐Income Residents ‐ ARPA Funded 185,000              SAFE 57.6 Municipal Court Services‐Mental Health, Addiction, and Teen Diversion Services ‐ ARPA Funded 75,000                HPG 65.2 RESTORE: Operational Budget for General Legal Services ‐ ARPA Funded 20,420                2,311,058$         7ARPA Funded Offers – One-Time CostsOutcome Offer Number Offer Name Offer TotalHPG 7.25 Facility Restroom and Common Area Additional Cleaning ‐ ARPA Funded270,000$           NLSH 10.8 Eviction Legal Fund ‐ ARPA Funded220,000              T&M 20.3 Parking Structure Critical and Preventative Repairs ‐ Enhanced ‐ ARPA Funded 745,400              NLSH 22.10 Electronic Plan Review Implementation and Licensing ‐ ARPA Funded 75,000                NLSH 22.11 Expanded Technical Assistance for Small Business ‐ ARPA Funded 30,000                NLSH 47.8 Childcare System Support ‐ ARPA Funded170,000              ENV 48.11 Innovate Fort Collins Challenge – Housing/Climate Nexus ‐ ARPA Funded 100,000              ECON 49.9 Economic Health Strategic Plan ‐ ARPA Funded 100,000              1,710,400$         8Additional Offers of Interest by Council 9Additional Offers of Interest by Council•City Council has expressed interest in finding a way to fund several initiatives that were not included in the 2022 City Manager’s Recommended Budget•Staff has reviewed these requests comprehensively and organized them into three categoriesA. Offers to include for 1stReading with specific funding source recommendationsB. Offers to include for 1stReading funded by options available to CouncilC. Offers of interest to Council – More discussion needed 10A) Offers to include for 1st Reading with specific funding sourcesOutcome Offer Number & Title Funding Source(s) Ongoing One‐TimeENV1.28 ‐ Utilties : Water 1.0 FTE ‐ Contractual Specialist Water Conservation501‐Water Fund: Ongoing Revenue 86T&M 20.6 ‐ Parking Structure Security Upgrades100‐General Fund: ARPA ($446k)294‐Parking Services Fund: Reserves ($32k)478C&R55.14 ‐ Lincoln Center ‐ Sustainable Performance Hall Lighting *273‐Cultural Services Fund: Reserves 17586 653* = New Staff Recommendation (in alignment with increased Climate Action efforts)All values in 1,000s 11B) Offers to include for 1st Reading funded by options available to CouncilAll values in 1,000sOutcome Offer Number & Title Funding Source(s) Ongoing One‐TimeC&R 35.8 ‐ Library Park Irrigation Replacement ‐ Enhanced General Fund Reserves / ARPA 100C&R 35.9 ‐ Rolland Moore Park Improvements ‐ Enhanced *General Fund Reserves / ARPA 1000NLSH 40.7 ‐ Large Diameter Tree Pruning Enhanced Funding Increased General Fund Revenue 100ENV 48.14 ‐ 1.0 FTE Construction and Demolition Waste Increased General Fund Revenue 100SAFE53.2 ‐ RESTORE West Nile Virus Program Community Outreach, Education, and Data Collection *Increased General Fund Revenue 23HPG7.11 ‐ City Facility Exterior Lighting: Dark Sky Assessment and Conversion *General Fund Reserves / ARPA 100ENV X.X ‐ Additional Funding for Air Quality *Increased General Fund Revenue 215T&M 9.9 ‐ RESTORE ‐ Street Sweeping ‐ ARPA Funded **Increased General Fund Revenue 49SAFEX.X ‐ Add Back 1 Household Hazardous Waste Day Supported by City StaffIncreased General Fund Revenue & Stormwater 180ENV / T&M 1.16 and 13.8 ‐ Enhanced Climate Action ***Increased General Fund Revenue and Light & Power 299966 1200* = Scaled Down or Partial Recommendation** = Remove ARPA FundingIncreased General Fund Revenue 787General Fund Reserves / ARPA 1200Stormwater Fund Revenue 80Light & Power Fund Revenue 99*** = Based on Offer 1.16 being 'scaled up' $99k (an increase to an already funded Offer), and Offer 13.8 (previously unfunded) being 'scaled down' to $200k from $396k and funded 12C) Offers of interest to Council – More information neededAll values in 1,000sOutcome Offer Number & Title Funding Source(s) Ongoing One‐TimeENV1.22 ‐ Utilities: 1.0 FTE ‐ Environmental Regulatory Affairs TechnicianTBD 93T&M 11.13 ‐ Neighborhood Traffic MiƟgaƟon Program Expansion *TBD 130SAFE 43.4 ‐ 1.0 FTE ‐ Parks Ranger TBD 86SAFE / HPGX.X ‐ All Unfunded Offers for Police and Legal Services (Offers 18.20 / 18.21 / 66.2 / 18.19 / 18.24 / 18.13) **TBD 1,606ENV X.X ‐ Stream Restoration Design for 2023 Construction **TBD TBDENV X.X ‐ Soil Amendments Improvements / Compliance **TBD TBD1,915 0* = Scaled Down or Partial Recommendation** = Further Discussion and Guidance Needed Existing Air Quality Related Offers13• Funds 4.0 FTE for Air Quality Division• Supports existing indoor and outdoor air quality programs• Additional low-cost particle sensors• Updated web data to support regional displays• Targets spatial representation of impacts from wildfires• $200K from Environmental Protection Agency (EPA)• Indoor air quality and energy efficiency focus• Targets Environmental Justice communitiesOffer 48.3: Air Quality ($451,785)Offer 48.13 : Local and regional air quality monitoring ($35K)EPA Grant: Indoor Air Quality and Energy Efficiency ($0) Additional AQ Options14• Flexibility in objectives and priorities• Informed by additional community engagement• Scope and cost TBD• Anticipated to only partially fund regional efforts• May require additional funding (e.g., grants or other partners)Option 1: AQ Monitoring Fund ($100-$400K)Option 2: Air Toxics Monitoring Study ($418K)Option 3: AQ Education and Outreach Coordinator ($115K)• Fully funded 2-year study• Aligned with community requests• Monitoring scope already developed (CSU, City and State)• Large City investment for research effort, may inform ongoing monitoring needs• Improved AQ messaging and outreach• Increase connections with community partners• Aligns with regional needs• Anticipated as ongoing needStaff Recommendation: $100K from Option 1 + Option 3Total = $215K Existing HHW Resources and Options15• Typical HHW is accepted at Larimer County residents for free, such as:• Paint• Lawn chemicals• Automotive fluids• Batteries• Cleaners• Much more…• Also includes a “Drop N’ Swap” to encourage reuseLarimer County Household Hazardous Waste ProgramTimberline Recycling CenterHard to Recycle Materials Yard open 5 days/week• Accepts at No Charge:• Paint• Antifreeze•Oil• Batteries• Other materials ($5 gate fee), e.g., electronicsAdditional Options• Paint Stewardship and Recycling (6 locations)• Automotive Fluids accepted most auto shops• City’s A-Z recycling tool: https://www.fcgov.com/a-zRecent utility bill insert sent to over 40,000 households Incorporating a HHW Event 16• Continued support, funding, and promotion of TRC ABOP program at $20,000 to allow residents year-round options.• Continued exploration of partnership opportunities with Larimer County to promote other options for the community.Maintain Existing Options Incorporate Hosting 1 HHW Event in 2022• Gives residents opportunity to drop off all of their household hazardous waste at one central location on a Saturday. • Restores a popular event to the community.• Cost $180,000 for Contractor Support, Staff and Disposal Costs.• Needed funding of Offer 1.22 (ERA Technician) to open up staff capacity to support event and address increasing environmental compliance needs at $93,000. Climate Action17City Manager’s Recommended Budget• 45 offers advance climate action • Multiple outcome areas • Impact of reducing GHG emissions by ~2.7%Investments and Actions Beyond Budget• Partnerships, e.g., Platte River, CC4CA, etc.• Policies, e.g., building and land use codes• Community-led initiatives Additional Opportunities to Advance Goals• Council Priority and OCF Implementation Additional Offers Recommended18• Expands an existing City brand• Focus on travel demand management (TDM)• Includes $$ for staff, consulting, programming• Note scaled offer• Fully restores Energy Services funding to pre-pandemic levels • Program marketing• Customer incentives • 1-time LED fixture conversion of 47 house lights in Performance Hall• Reduce energy costs, energy use, and GHG emissionsOffer 13.8: Shift Your Ride Travel Options Program ($200K)Offer 1.16: Energy Services -Full RESTORE (+$99K)Offer 55.14: Lincoln Center –Efficient Hall Lighting ($174K)Additional recommendations for climate investments = $473K and additional 0.2% impact 19Funding Options 20Available Funding•The executive team convened to discuss all available funding options•Recommended funding includes:Funding Source ($ values in millions) Ongoing One-Time1. Increasing the 2022 Sales Tax revenue forecast 2.3M*2. General Fund Reserves (from 2021 underspend) Up to $17M3. Potentially unused previously appropriated 2021 ARPA 1.7M4. Additional 2022 ARPA via Revenue Replacement eligibility TBD* Of the $2.3M, the General Fund portion would be $1.85M 21Why is this Funding Available Now?1. Increasing the 2022 Sales Tax revenue forecast• 2022 year-to-date revenue intake unprecedently greater than budgeted2. General Fund Reserves (from 2021 underspend)• Future anticipated reserves not historically used in the budget3. Potentially unused, previously appropriated 2021 ARPA• In advance of the Recovery Plan, applications to utilize the appropriated $4.3M are estimated at $2.6M, leaving $1.7M available under that appropriation 4. Additional 2022 ARPA via Revenue Replacement eligibility• The plan to use $4.3 in 2021 / $4.1 in 2022 was initial recommendation; primarily saving the majority for the 2023-24 Budget to resource the Recovery Plan•These non-traditional funding sources are all available to Council•Not considered available at the time for use in the Recommended Budget 22$ 130.8 $ 147.5 $ 151.8 $ 139.9 $ 152.6 $ 152.6 - 20.0 40.0 60.0 80.0 100.0 120.0 140.0 160.0 180.0As of March (2021 Budget)As of May(2021 4+8)As of Oct 5(2021 8+4)Sales/Use Tax Forecasts Throughout 2021(in millions)20212022$154.9Revising 2022 Revenue Budget to “reset” to 2% growth, incorporating 2021’s favorable development, could add $2.3MOption 1 : Re-baseline 2022 Revenue Forecast -OngoingFunding based on Year-to-Date Actual Results & New 8-4 Analysis 23Option 2: Increase 2022 Reserves -1-Time Funding based on 2021 Underspend and New 8+4 Analysis•Historic practice is to not use anticipated current‐year reserve increases in the subsequent year’s budget•i.e., 2022’s budget would only use “known, in‐the‐bank” reserves from 2020•Current‐year reserve generation would apply to the 2023‐2024 BFO Cycle•BLT recommended $4.0M of 2020 year‐end General Fund reserves in the 2022 budget•In the case of 2022, BLT applied approximately $1.3M of anticipated 2021 reserve generation•2021 Budget predicted $56.2M of year‐end General Fund reserves; excluding ARPA, current projections amount to $73.5. City of Fort Collins$28.1M Total Allocation from ARPA State and Local Fiscal Recovery FundCouncil Approved Ordinance No. 079, 2021$4.3M for short-term, immediate needs• Development of Fort Collins Recovery Plan• Application for these funds available•Option 3: Anticipate using approximately $2.6M in 2021Council Approval of Fort Collins Recovery Plan, December 2021~$19.8M for long-term recovery and resilience• Remaining funds tied to the recovery plan• 2023 - 2024City Manager’s Recommended Budget 2022~$4M for mid-term response and recovery• Identified opportunities to utilize ARPA funding source• Recommendation to BLT•Option 4: Able to close 2022 gaps under revenue recovery eligibilityOptions 3 & 4 – increased use of ARPA -1-Time Funding based on 2021 Usage and 2022 Availability 25Questions for City Council1. Which offers does Council have interest in including in 1streading of the 2022 Budget, including preferred funding sources?2. What clarifying questions does City Council have on any of the Offers in the seven Outcomes discussed in the previous budget work sessions? 262021 Council Budget MeetingsSeptember 14thWork Session• Culture and Recreation• Economic Health• Environmental Health• Transportation and MobilitySeptember 28thWork Session• Neighborhood Livability and Social Health• Safe Community• High Performing GovernmentSeptember 21stCouncil Meeting• Budget Public Hearing #1 of 2October 12thWork Session• Budget Public Hearing #2 of 2October 5thCouncil Meeting• General Discussion – Final Council DirectionNovember 2ndCouncil Meeting• First ReadingNovember 16thCouncil Meeting• Second ReadingWe are here