HomeMy WebLinkAboutAgenda 05-13-2024TOWN OF ITHACA
BUDGET COMMITTEE
Monday, May 13, 2024 - 12:00 p.m.
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AGENDA
• Review and approve meeting minutes from February 12, 2024.
• Review and discuss 2023 Fund Balance and Working Capital.
• Preliminary Discussion - Benefit Assessment Fees for 2025 Budget.
• Preliminary Discussion - Water and Sewer rates.
• Approval and Authorization of a Partial Bond Redemption from Debt Service Fund
Balance.
• Review March Sales Tax and Mortgage Tax Receipts.
• Review April 2024 Interest Earnings and Investments.
• Other Items
New Finance Officer starting June 3rd
Update on City of Ithaca Fire Contract Negotiation
Update on Voluntary Contribution Cornell University
Two potential Ag Easements from Open Space Reserve
Next Meeting: Monday, June 10, 2024 - 12:00 p.m.
1
BUDGET COMMITTEE
Meeting Minutes - February 12, 2024
Committee present: Eric Levine - Chairman, Pam Bleiwas, Rod Howe
Staff present: Donna Shaw, Judy Drake, Marty Mosely, CJ Randall, Joe Slater, Dan Thaete
Meeting was called to order at 12:01 p.m.
AGENDA ITEMS:
Set 2024 Budget Committee meeting dates.
The consensus of the Committee was that meetings will continue to be held at 12:00 p.m. on the
second Monday of the month.
Discuss 2024 Budget Committee priorities.
The committee identified the following topics as priorities for 2024:
- Review Reserve Funds and Accounts.
- 2024/2025 Bond Issue.
- Review Town’s Long-Term Debt and Debt Service Schedules.
- Consideration / Recommendation for the Town's contribution to:
Ithaca Area Economic Development.
- Review / revision of the Town’s Investment Policy and Investing of Town Funds.
- Review / revision of the Town’s Procurement Policy.
- Five-Year Financial Projections 2025 - 2029.
- Property Tax Cap for FY-2025 and recommend 2025 Property Tax Levy.
- Five-Year Capital Improvement Plan 2025 - 2029 and 2025 Capital Budget.
- 2025 Ithaca Town Budget.
Discuss Town's Reserve Funds and Accounts.
The committee reviewed and discussed the report on the Town’s reserve funds and accounts as of
December 31, 2023.
A copy of this report is attached.
Update on Sales Tax Collections in 2024.
- Sales Tax Collections: The Committee reviewed the Sales Tax Collections Report for 2023. Sales
Tax collections are 118% of the amended budget. Sales Tax collections total $4,602,747.37
compared to collections of $4,483,397.51 for 2022, which is an increase of 2.66%.
Update on 2023 Interest Revenue.
Interest earnings totaled $1,298,196.74 in 2023, $642,166.74 over the modified budget. Interest rates
remain strong with NYCLASS earning 5.25%, and the four CD’s ranging from 4.6-5.2%. The 2024 interest
budget was increased to $829,970 with the assumption that interest rates will start to come back down
2
in 2024.
Review and discuss projected fund balance for 2023.
The preliminary fund balances were reviewed and will continue to be reviewed as numbers are
finalized over the coming months. Particular attention will be given to Water and Sewer working
capital as decisions need to be made regarding bonding for capital projects.
Discuss Funding Request from Ithaca Area Economic Development.
The Town had received a funding request from IAED for $500 a year, for five years. The
Committee was supportive of including this request in the 2025 Tentative Budget.
The meeting was adjourned at 1:00 p.m.
Next Meeting: Monday, March, 11, 2024 at 12:00 p.m., Town Hall - Aurora Room or Zoom
General Fund General PT Highway Highway PT
Fund Balance Ending @ 1/1/2023 7,058,438.51 2,311,986.48 688,917.14 4,365,003.30
Add: Revenue & Other Sources 6,385,850.00 2,349,778.24 790,004.52 3,174,934.41
Deduct: Expenses & Other Uses (7,051,121.00) (1,826,712.92) (536,758.00) (3,180,070.96)
Fund Balance Ending @ 12/31/2023 6,393,167.51 2,835,051.80 942,163.66 4,359,866.75
Less: Amount of Additional Fund Balance
Appropriated and Assigned in the
Adopted 2024 Budget - 914 (1,274,516) - - (882,000)
Encumbrances (298,127) (159,206) (319,455)
Less: Reserved Portion of Fund Balance
Non Spendable:
Prepaids - 806 (95,972) (45,901) (7,981) (62,929)
Restricted:
NYSEG LOC - CD
Cemetary Maintenance - 870 (4,739)
Preserve Maintenance Reserve - 870 (43,927)
Land Stewardship - 870 (10,644)
Parks & Open Space - 878 (1,105,808)
Debt Reserve (300,000)
Gen'l Benefit Purposes - 867 (154,000) (77,000) (80,500)
Highway Equipment Reserve (400,000)
Assigned:
Assigned Unappropriated (R Fund)(149,224)
Unassigned Fund Balance 12/31/2023 2,956,211 2,712,151 774,977 2,614,983
2024 Budgeted Operating Expenditures 5,433,064 2,297,442 1,167,423 3,851,548
Target - 40% of 2024 Budgeted Expenditures 2,173,225.60 918,976.80 466,969.20 1,540,619.20
Fund Balance % of Budgeted Expenditures 54.41%118.05%66.38%67.89%
Fund Balance Over 40%782,985.11 1,793,174.00 308,007.46 1,074,363.96
Potential 2024 Uses
Transfer -
Reserve for Capital Road Improvements
Street Light Conversion to LED (206,283.09)
Less NYSEG Rebates 91,308.57
Potential 2025 Uses
-
CIP - Roads (50%)(800,000.00)
Green Building Improvements
668,010.59 1,793,174.00 308,007.46 274,363.96
2023 Fund Balance
Working Capital Sewer Water
2020
Current Assets 3,705,681 5,301,939
Current Liabilities (15,030) (271,769)
Total Working Capital 12/31/2020 3,690,651 5,030,170
Operating Budget 2021 2,727,670 3,558,680
Working Capital % 12/31/2020 135.30%141.35%
2021
Current Assets 3,045,671 3,208,878
Current Liabilities (81,121) (436,361)
Total Working Capital 12/31/2021 2,964,550 2,772,517
Operating Budget 2022 3,368,698 3,660,603
Working Capital % 12/31/2021 88.00%75.74%
2022
Current Assets 3,402,024 2,545,206
Current Liabilities (344,009) (450,252)
Total Working Capital 12/31/2022 3,058,015 2,094,954
Operating Budget 2023 3,064,291 4,945,311
Working Capital % 12/31/2022 99.80%42.36%
2023
Current Assets 3,479,551 3,089,401
Current Liabilities (619,887) (419,750)
Total Working Capital 12/31/2023 2,859,665 2,669,652
Operating Budget 2024 3,452,516 4,397,421
Working Capital % 12/31/2023 82.83%60.71%
ACTUAL ACTUAL Actual ACTUAL ACTUAL BUDGET ESTIMATED
2019 2020 2021 2022 2023 2024 2025
REVENUE:
- ASSESSED SEWER UNITS 7,956.55 7,972.17 8,170.08 7,577.19 7,460.69 7,580.43 8,592.00
- BENEFIT ASSESSMENT/UNIT $45.00 $60.00 $65.00 $75.41 $89.05 $98.56 $110.00
TOTAL REVENUE 358,044.75$ 478,330.20$ 531,055.20$ 571,395.90$ 664,358.00$ 747,164.32$ 945,120.00$
EXPENSE:
PROJECTS (CASH)500,000.00
- BONDED DEBT OBLIGATION
None -$ -$ -$ -$ -$ -$ -$
- TOTAL BONDED DEBT OBLIGATION -$ -$ -$ -$ -$ -$ -$
- S J C DEBT OBLIGATION 365,168.37 467,088.75 469,869.41 553,962.25 661,460.07 657,447.00 660,000.00
- TOTAL S J C PROJECTS -$ -$ -$ -$ -$ -$ -$
TOTAL EXPENSE 365,168.37$ 467,088.75$ 469,869.41$ 553,962.25$ 661,460.07$ 657,447.00$ 1,160,000.00$
EXCESS (SHORTAGE) (7,123.62)$ 4,117.83$ 65,303.62$ 82,737.27$ 85,635.20$ 175,352.52$ (39,527.48)$
% of Expense Covered by Revenue 98.05% 102.41% 113.02% 103.15% 100.44% 113.65% 81.48%
DESCRIPTION
SUMMARY OF ACTUAL & ESTIMATED SEWER BENEFIT ASSESSMENT REVENUE AND RELATED EXPENSE
ACTUAL ACTUAL ACTUAL ACTUAL ACTUAL ACTUAL ESTIMATED
2019 2020 2021 2022 2023 2024 2025
REVENUE:
- ASSESSED WATER UNITS 8,293.81 8,308.11 8,543.89 7,925.69 7,827.42 7,946.30 7,946.30
- BENEFIT ASSESSMENT/UNIT $150.00 $160.00 $165.00 $182.81 $189.59 $189.56 $189.56
TOTAL REVENUE 1,244,071.50$ 1,329,297.60$ 1,409,741.85$ 1,448,895.39$ 1,484,005.00$ 1,506,321.29$ 1,506,300.63$
EXPENSE:
Project Contribution - Cash 290,000.00$ 300,000.00$ 330,000.00$ 532,000.00$
- BONDED DEBT OBLIGATION
Public Improvement Bond - 2004-A 68,299.80$ -$ -$ -$ -$ -$ -$
Public Improvement Bond - 2004-B Refunded Refunded Refunded Refunded Refunded Refunded -
Public Improvement Bond - 2009 96,943.75 94,543.75 Refunded Refunded Refunded Refunded -
Public Improvement Bond - 2011 134,906.25 132,656.25 Refunded Refunded Refunded Refunded Refunded
Public Improvement Bond - 2013 138,618.00 149,555.00 727,787.50 Redeemed Redeemed Redeemed Redeemed
2004-B Refunding Bond - 2014-A 113,293.76 111,293.76 108,293.76 100,284.38 98,206.25 91,068.75 -
Public Improvement Bond - 2014-B 167,513.75 169,033.75 170,473.76 168,193.76 169,156.26 169,855.00 169,280.00
Public Improvement Bond - 2015 168,531.26 165,911.26 167,291.26 167,591.26 165,843.00 169,063.00 171,163.00
Public Improvement Bond - 2018 342,361.60 347,507.00 345,630.00 343,603.50 346,427.50 348,952.50 346,178.50
Public Improvement Bond - 2020-A - - 172,957.00 171,196.00 172,134.00 172,750.00 169,945.00
2009/2011 Refunding Bond - 2020-B - - 218,362.00 220,500.00 227,250.00 223,250.00 129,000.00
- - - - - - -
- - - - - - -
- TOTAL BONDED DEBT OBLIGATION 1,230,468.17$ 1,170,500.77$ 1,910,795.28$ 1,171,368.90$ 1,179,017.01$ 1,174,939.25$ 985,566.50$
TOTAL EXPENSE 1,230,468.17$ 1,170,500.77$ 1,910,795.28$ 1,461,368.90$ 1,479,017.01$ 1,504,939.25$ 1,517,566.50$
EXCESS (SHORTAGE) - CUMULATIVE 357,073.51$ 515,870.34$ 14,816.91$ 2,343.40$ 7,331.39$ 8,713.43$ (2,552.44)$
% of Expense Covered by Revenue 101.11% 113.57% 73.78% 99.15% 100.34% 100.09% 99.26%
SUMMARY OF ACTUAL & ESTIMATED WATER BENEFIT ASSESSMENT REVENUE AND RELATED EXPENSE
TOWN OF ITHACA
DESCRIPTION
Meeting of the Ithaca Town Board
June 10, 2024
TB Resolution 2024 -: Approval and Authorization of a Partial Bond Redemption from
Fund Balance
Whereas, the Town Budget Committee has recommended the Town use $284,000 in available
Debt Service fund balance to redeem the road improvement portion of the Series 2014-B Bonds
prior to maturity, and
Whereas, the road improvement portion of the Series 2014-B Bonds are callable on December
15, 2024 at par, now therefore be it
Resolved, that the Town Supervisor is hereby authorized to use available Debt Service fund
balances as described, and the Finance Officer is authorized to make any necessary budget
adjustments for same, to call the road improvement portion of the Series 2014-B Bonds on
December 15, 2024, and be it further
Resolved, that the Town cause to be filed a Notice of Early Redemption with the Depository
Trust Company and post such Notice on the Electronic Municipal Market Access website of the
Municipal Securities Rulemaking Board.
Moved: Seconded:
Vote:
General Highway Fire
Part-Town Part-Town Protection TOTAL
Liability Month B1120 DB1120 SF1120
Month Collected 1,808,000.00$ 2,092,000.00$ 400,000.00$ 4,300,000.00$ 0.4205 0.4865 0.09 1.0000
January February 152,604.54$ 176,575.62$ 33,762.07$ 362,942.23$
February March 138,233.12$ 159,946.73$ 30,582.55$ 328,762.40$
March April 154,961.64$ 179,302.96$ 34,283.55$ 368,548.15$
April May -$ -$ -$ -$
May June -$ -$ -$ -$
June July -$ -$ -$ -$
July August -$ -$ -$ -$
August September -$ -$ -$ -$
September October -$ -$ -$ -$
October November -$ -$ -$ -$
November December -$ -$ -$ -$
December January -$ -$ -$ -$
TOTAL COLLECTIONS:445,799.30$ 515,825.31$ 98,628.17$ 1,060,252.78$
TOTAL - 2024 BUDGET:1,808,000.00$ 2,092,000.00$ 400,000.00$ 4,300,000.00$
% of 2024 Budget Collected:24.7%24.7%24.7%24.7%
COMPARISON
PERIOD 2021 2022 2023 2024 TO PRIOR YEAR
January 241,976.77$ 349,600.04$ 369,199.97$ 362,942.23$ 98.31%
February 220,287.15 300,462.74 337,692.85 328,762.40 97.36%
March 392,202.28 396,743.39 381,368.08 368,548.15 96.64%
1st Quarter 854,466.20$ 1,046,806.17$ 1,088,260.90$ 1,060,252.78$ 97.43%
April 281,825.36$ 350,840.20$ 342,491.40$ - 0.00%
May 284,332.00 366,126.50 330,916.42 - 0.00%
June 431,611.13 330,348.56 439,575.52 - 0.00%
2nd Quarter 997,768.49$ 1,047,315.26$ 1,112,983.34$ -$ 0.00%
First 6 Months 1,852,234.69$ 2,094,121.43$ 2,201,244.24$ 1,060,252.78$ 48.17%
July 314,638.93$ 384,844.57$ 381,575.33$ - 0.00%
August 312,514.79 358,575.22 371,801.20 - 0.00%
September 472,220.61 458,984.88 500,254.60 0.00%
3rd Quarter 1,099,374.33$ 1,202,404.67$ 1,253,631.13$ -$ 0.00%
First 9 Months 2,951,609.02$ 3,296,526.10$ 3,454,875.37$ 1,060,252.78$ 30.69%
October 292,143.63$ 350,174.18$ 361,449.84$ - 0.00%
November 302,394.38 340,396.99 380,310.91 - 0.00%
December 436,657.63 496,300.24 406,111.25 - 0.00%
4th Quarter 1,031,195.64$ 1,186,871.41$ 1,147,872.00$ - 0.00%
ANNUAL TOTAL 3,982,804.66$ 4,483,397.51$ 4,602,747.37$ 1,060,252.78 23.04%
COMPARISON
TOWN OF ITHACA
SALES TAX COLLECTIONS
For the Year Ending December 31, 2024
2021 - 2024 COMPARISON OF SALES TAX COLLECTIONS
Mortgage Tax Collections
FUNDS JANUARY FEBRUARY MARCH APRIL MAY JUNE JULY AUGUST SEPTEMBER OCTOBER NOVEMBER DECEMBER TOTAL Modified
Budget % of Budget
General Fund 36,461.25$ 62,030.76$ 43,833.18$ 41,330.07$ 183,655.26$ 285,235.00 64.39%
General Part-Town Fund 11,533.53 12,350.55 11,097.57 11,556.90 46,538.55 64,542.00 72.11%
Highway Fund - DA 5,113.68 5,976.20 6,126.39 6,636.41 23,852.68 40,000.00 59.63%
Highway Part-Town Fund - DB 18,366.41 20,261.21 18,763.97 20,953.13 78,344.72 119,023.00 65.82%
Water Fund 12,430.47 17,772.38 16,703.00 15,464.13 62,369.98 79,000.00 78.95%
Sewer Fund 13,699.05 14,047.10 11,037.45 11,591.66 50,375.26 80,000.00 62.97%
Risk Retention Fund 651.74 640.14 745.00 699.09 2,735.97 7,100.00 38.53%
Fire Protection Fund 16,428.86 27,178.49 26,991.55 26,532.47 97,131.37 150,070.00 64.72%
Debt Service Fund 1,432.36 1,617.03 1,776.92 1,807.15 6,633.46 5,000.00 132.67%
TOTAL - Operating Accounts 116,117.35$ 161,873.86$ 137,075.03$ 136,571.01$ -$ -$ -$ -$ -$ -$ -$ -$ 551,637.25$ 829,970.00
2023 Interest Earned 91,107.04$ 114,844.13$ 117,306.87$ 112,778.77$ 113,965.71$ 112,133.49$ 96,431.09$ 118,139.13$ 110,887.82$ 109,323.57$ 105,119.42$ 96,159.70$ 1,298,196.74$
Investment Balance Interest Rate Maturity
Savings 82,166$ 4.00%n/a
CD - 12 Mos.5,200,000 5.10%4/12/2025
CD - 12 Mos.5,106,453 5.20%11/28/2024
CD - 12 Mos.5,078,915 4.80%12/28/2024
CD - 6 Mos.4,055,368 5.20%10/29/2024
NYCLASS 13,074,142 5.21%n/a
TOWN OF ITHACA - INTEREST INCOME FOR FY-2024
Investments
as of 4/30/2024