Eloy City Council Budget Work Session – May 19, 2025

Councilmember Garcia.

Present.

Councilmember Galindo.

Here.

Mayor Sutton.

I am here.

Thank you.

So at this time, we would like to stand for the Pledge of Allegiance.

And a moment of silence, and I will lead the pledge.

All right, before we get started tonight, I do have a message for council and city staff that are here right now.

At Toltec Elementary School, at time of release, a bomb threat was called in.

The school immediately went into lockdown mode.

And on site, we have four county.

We have four DPS units, five EPD units, and bomb squad from a DPS are on site right now.

There is a patrol presence and drone Delta One has been deployed.

Most or by this time, all the students have been evacuated safely from the school.

The school will now go into a search.

We have school staff and law enforcement will search the grounds, and we still have units from EPD and others patrolling the area as a deterrent.

More if anything else unfolds during this meeting, we will update you as needed.

Thank you.

I would say questions, but I don't have any answers.

So all right.

Any public appearances.

With that, Mr.

Brian Wright will give his budget presentation.

This is more or less a follow-up of what we all went through when we sat with Mr.

Wright in our groups.

He's just gonna update a few items that have changed.

We all know this is a budget and things will change.

It's a very fluid situation.

So we'll keep things moving right along.

Mr.

Wright.

Thank you, Mr.

Mayor, uh members of the council, staff.

Um, tonight what I've done, and I've handed out to everybody at up at the DIS this little thing, this budget outline.

I'm kind of gonna follow the the script.

I'm gonna go over the kind of the key highlights, personnel, some of the operational highlights, but then starting on the um third page where it starts special revenue, you'll see some items highlighted in yellow page numbers.

I'm just gonna follow that script so in your budget book, you can go okay.

I'm gonna say I'm gonna go to page 38, talk about special streets fund, and then if I talk about the any of the uh uh changes they're highlighted in blue, the significant changes, you can turn to that page in the budget book and I'll address those.

So just to give you the kind of the layout of that.

Um at any time, please ask questions.

Uh Mr.

Mayor, what I'll end up doing is when I finish uh like for example I'll start on the streets budget.

When I do that, I'll say and I go through everything, I'll say any questions.

I hear none, then I'll get on to the to the next department.

Thank you.

There's you know, to try to keep things going on.

Um at any time we mentioned uh it's starting maybe right after the special revenue funds.

We're all through with those taking a five to ten minute break because then when we get in the general fund departments, it's about the same number as the the special revenue funds.

So we'll go through that, but um kind of to go through this is uh on the this budget for 2526.

The overall budget is 115 million six hundred and forty-five thousand three hundred and twenty-five dollars.

Yes, that is a large budget.

That's actually a 40 million three hundred and seventy-nine thousand nine and ninety dollars, which is a 53.65 percent increase over last year's budget in 2425, which was just over 75 million.

This budget encompasses a lot.

Uh the general fund is the primary uh driving factor or fund in this, and that budget is about just over 40 million.

Enterprise funds, which is water, sewer, and trash, that's just about 27 million dollars, 27.2.

The special revenue funds, those those are made up of anywhere from our grants to capital projects to impact fees to special funds from court police, those make up about 47 uh 47.9 million.

And then the perpetual care fund, that's our fund that is used for that's right after the cemetery's closed.

We don't receive any more.

That budget's just over 29,000.

So kind of the overall aspect though, it's that's what makes up the 115 million dollar budget right now.

Um when we're looking at um kind of going through and for the audience, um, when we're looking at some of the major revenues when uh presented the revenues, this budget does capture the property tax at 0.9769 per 100 cess evaluation.

So when we go through this, we'll end up looking at, and that'll be come through to council on that that aspect of it when we bring it to council for the uh property tax.

You'll see we've increased solar fees to capture the expense on the in the community development budget.

And what I mean by that is um there's a uh possibility of us having a solar project coming in with the battery facility that's gonna be you know eight hundred to a million dollars, and there's gonna be some plan review fees.

So we've upped our plan review fees by six hundred and fifteen thousand, I believe.

You'll see that in the community developments budget for that same amount because it would be a wash for outsourcing.

So you'll see that um in this budget.

State share revenues, those show the increases that what we've been given right now in projections in our state shared or our population, so our state shared revenue uh does show an increase.

Water and sewer rates, those have 11% increase November 1st, so that's identified in this budget along with sanitation rate.

So with the new holler, those fees are are projected in and uh shown in this budget.

Um part of that 115 million.

We have uh large capital projects.

We have 79 capital projects in this budget, totaling 32 million two hundred and forty-four thousand two hundred and fifty dollars.

So those projects range from water and sewer to streets to some bench replacements, you know, some capital equipment for vehicles and uh a backhoe.

So it's a it's a variety of things, but it encompasses 79 capital projects.

And then also in this budget, we which we've talked about um on numerous occasions.

We're using 16.8 or sorry, 18.6 million dollars of our general fund reserve to complete some capital projects that we have, and that's through ARPA money that we've had in our budget for water and wastewater.

It includes transferring five million from the general fund and establishing its own fund for that economic uh development incentive fund that we've council passed several years ago.

So it's moving it out of the general fund into its own fund, and also about 2.4 million of our general fund reserves to payoff to water loans, two WIFA loans to reduce our um those debts to give us increased capacity for more bond funding.

So that's also encompassed in this budget.

So but after we use 16.8 or 18.6 million, that still leaves us probably at the end of the year an estimated balance of fund balance still uncommitted, about just over 16.2 million.

So that's still a very healthy fund balance, but it's accomplishing things that are vital to this community with water and wastewater expansion in some of the areas.

So it's much needed.

Um kind of going over this.

Um I'm just gonna scroll down a little bit for the audience.

I'm just gonna talk a little bit about our personnel highlights in this budget.

This budget encompasses full-time equivalent, 141.1 full-time equivalent employees.

That's from full-time to the seven council members to part-time staff to up to 30 seasonable employees and part-time employees.

So when we look at everything, it comes out to about 141.1 full-time equivalent employees.

This budget does encompass a um 4% cost of living, a colour effective July 1st upon uh council approval, which is this budget process.

It does move our minimum wage to 1490.

That's just slightly above the projected minimum wage right now, so it gives us some flexibility.

It does establish a the new uh contract that's going to be coming to council for the the magistrate to the for the magistrate judge.

It does encompass a new position in the community development department for a clerical specialist.

So that's included.

It also takes two part-time recreational leaders that we have part-time and converting that into one full-time position.

So that will that's encompassed.

Um it's also uh some one-time payouts of you know, potential retirement that that could be coming up for some employees.

Um Arizona State Retirement that also shows Arizona State retirement going from 12.27 down to 12 percent, and then on public safety retirement, it's it's about a 13% uh that's the normal contribution rate for uh the city what they have to pay for public safety, and then when it comes to our our our medical plans, dental vision life, that's about a two and a half, two to two and a uh three percent increase uh projected in the budget.

So that's kind of the the personnel highlights when we're looking at that.

Um but one of the things I want to kind of go through when we're looking at this budget is you'll see throughout numerous funds some of these these things that I'm just gonna talk about on operational highlights.

You'll see when we get to the general fund, we created a new department, the economic development fund or economic development department.

It's a brand new department.

It used to be under the city manager's budget.

We branched that out.

The CIS is the city manager and the management analyst position out of there, establishing the economic development department.

So you'll see an a decrease in city manager's budget and an increase with this new department.

You also see in the city clerk's budget, there was a um a transfer of a position from the city clerk over to the HR department, so just a movement of some personnel, salary and benefits.

When it comes to the police department, we took a vacant CSO position that was on the books, and they moved it over from field operations to uh the police administration to fund the new support services supervisor position.

So that's part of this budget when you see it.

Uh then also went in the streets department.

We took 10% of the uh equipment operators' salaries and allocated to the sanitation department to help cover the needs for equipment operation out there.

So we're uh to help support the landfill.

And then you'll see in almost everyone's operating budget.

We've we've had we've created a new thing this year for tracking for our audit, and it's uh it's a software subscriptions line, and so we we've taken a lot of uh movement of funds between one category to another.

So you'll see from contract outside professional services up to operating and maintenance.

You'll see that in maybe in the police department.

They used to budget for leases for equipment, contracts, subscriptions out of their equipment line, and that's been moved up into operating and maintenance.

So you'll see some categories with minus 30,000, but another one with a positive 30,000.

It's just moving of funding categories and expense lines from one category to the next.

So you'll see that throughout the operating budget that's being presented.

Um, also in the city manager's budget, one of the things we haven't done since 2006 is uh we're gonna update our emergency response plan.

And so there's a it'll be an increase in uh a line item within that budget for about 133,000 on that.

And then in the community development budget, we're gonna see about 200,000 more added to their care line, and that's to help do more uh cleanup of dilapidated homes and and stuff.

So that's a uh an increase.

Um, and then what mentioned earlier, you'll see in the community development in the contract contractual services uh increase for plan review of outsourcing those uh for plan review about 615,000 because of uh the solar.

So that is just more of a wash on that.

And then when it comes to the general fund, we do have a contingency right now built in about a 1.4 million.

The reason why it's that is it's a lot of it is we're using our interest, our interest revenue.

We're budgeting about 1.3.

So if something falls in our budget revenues aren't coming in, we have a contingency fund healthy enough to sustain those losses without affecting any operations and programs or services.

So we do have a healthy contingency moving forward, and then like I mentioned, uh the debt payoff, but it's uh about 2.4 million, eight hundred and fifty-five thousand will be going to water and one point five million for sewer for those.

So that's kind of the the operational highlight that I just wanted to go through.

And so now what I plan on doing, Mr.

Mayor and members of the council is on that sheet I I gave you.

We're just gonna go ahead and start in your budget books.

I'm gonna say page 38, for example.

We're gonna start in the streets fund, page 38.

So if you turn to page 38, you're gonna see um the streets funds budget.

So in this sense, I will say the streets fund budget is uh 4,403,002.

This is an increase from last fiscal year of 727,430.

The major changes from this year from last year to this year, uh, is you see personnel went down by 37,000.

That's because we moved that 10% from the sanitation or from the streets budget over to the sanitation.

So that's the effect between salary and benefits is that um operating maintenance that went up by 72,000.

The biggest change most notably is we established a contingency fund of about 100,000 dollars.

In case something that comes up, we have a contingency for that.

We also in the contractual services, that increased 25,680, and that's due to more of the contracting of the right-of-way maintenance for the city's right-of-ways and crack ceiling projects.

Utilities went up by $3,500, and that's because just of the costs going up for electricity, postage, communication, uh capital.

That went up the biggest of $750,000, an increase, and that's mainly due to the chip seal on Toltec Road and the numerous projects that will be coming forward to council on the pavement preservation.

So the $750, if you want any a lot of times when it comes to capital, if you refer to the capital improvement section, that's gonna be all the outlining of every individual project that if you want more information on that project.

And then the debt service um went down by 28,000.

This is one that we move funding from one category to the next and got moved up into the uh operating maintenance.

And then the last two repair maintenance for equipment and vehicles, that saw an $11,000 increase, and then the street operations of $53 was decreased because it was reclassified from uh street operations to operating maintenance on on a few lines.

So overall, um, those are the major highlights within that fund by category.

So that's kind of that outline that I just went through, that will be for the rest of the budget per per department or fund on it.

So overall, this the streets fund has a positive 727,430 increase.

So is there any questions on the streets before we go on to the next fund?

All right.

Hearing none, we're gonna go to the streets one time.

That's on page 45.

Um streets one-time fund.

That overall budget is 1,835,000.

Uh this is uh decrease actually from last fiscal year by 90,585.

Um if you then go to page 49 when we talk about significant changes.

Really, the significant change is we completed the sunshine project out of this.

The only capital items that we have budgeted for, um, which is 650,000, is for a uh loader and a paper.

So let me just double check on my notes on that.

But yes, it's for a loader and a paper that equals the 650,000 for the capital.

So if there's a street project that came up that is not identified, this has the capacity of about another 1.1 million of unidentified uses of uh for streets if something came up that's not identified.

If that's the case, then it would be brought to council for uh expenses.

So overall, this this budget, like I said, is one 1,835,000 dollars.

Is there any questions with the streets one time?

Okay, hearing none.

Uh we'll go to the next one, which is the LTAF fund.

LTAF fund is a fund that uh their overall budget is 11,565.

It's a 375 dollar increase over last year.

This this fund here has been on the books for a long time.

This is when we used to get lottery funds for transportation.

So I mean, at some point, we'll if we need it for some senior meals on wheels program, like a donation, you can use it because it's just for transportation that was set up on it.

So it's been sitting there, it's been unedu uh unexpended, but we do have that in case something came up in the future that we just we want to use it for.

But uh truly on this budget, there's really nothing identified for it.

Um that uh on it.

So is there any questions when it comes to the LTAF fund?

Okay.

So if we were to is this a continual fund?

Does it come annually?

We we don't we we don't receive any money.

This is just the only increase we have this on a yearly basis is interest.

So we don't receive any money.

This this money has just been sitting in a fund for the last 10-15 years.

So this $200 is interest from yep.

Okay, thank you.

So if there's no more questions, we'll go to the Capital Projects Fund.

The Capital Projects Fund, the overall budget on page 53 is $3,166,515.

This is actually a decrease from last fiscal year of $519,245.

Um, this is made up of all the capital projects that has been presented to the council, but uh some of the um just uh kind of uh if highlight is you know, if you go to the capital project section, we can go over that if we need to, but a lot of these capital projects are from the the tasers of PD to equipment for the plea vehicles, park benches to some studies to I mean it's a variety of uh capital projects on it.

So uh these have been presented to council about two to three times, and there hasn't been any new capital projects identified since we we took it to council.

So is there any questions with the capital projects fund or is it is uh council good with the what was presented in the past on capital projects okay.

Uh the next one, the economic on page 57, the economic and community development fund.

This one is the the food tax, the two percent.

The uh overall balance or budget on this is two million four hundred and twenty-two thousand three hundred and eighty.

This is an increase from last fiscal year of five hundred and thirty thousand six hundred and thirty dollars.

Um of the uh projects when we look at this project um within the economic um and community development fund, some of the major projects are like the shed road median.

You have the general plan update out of this, we have the economic development plan update and the housing feasibility study.

Those problem projects are identified out of this budget.

So you'll see that's encompassed in the where it says capital projects of 2.4 million.

So this budget does have some unused food tax money, uh, just over probably close to about 800,000.

Uh so uh a project that kind of came forth um from one uh council member Varasca actually was uh maybe utilizing um this fund to do a mural, if I'm not mistaken.

That's correct, along with our um distinguished councilwoman Michelle Tarango.

Um this would be a great uh fund for that type of project.

Uh so it is community-based, it's great use of the food tax money.

So if this is a project that needed the attention to when it if it had to come to council before spending, we would we identify these funds for that.

So this uh is there any questions with the expense or projects coming out of this fund or what it's used for.

Okay, go to the next one.

The next uh fund, these next five funds are all impact fee funds.

Uh you have the first one is the parks impact fee fund.

This one, the budget for the parks impact fee fund is one million eight thousand nine hundred dollars.

This is an increase over last fiscal year of 146,035.

Um, nothing is identified in this uh budget.

The changes within this budget are due to fund balance or growth from collection of impact fees, but at this time there hasn't been anything identified from the parks impact fee because you can only do it for new growth.

You can't do anything for um on impact fees from repair and replacement.

So if we have a project that meets any of these growth uh specifications or guidelines, um we will use some of the impact fees upon spending and identifying that in the you know the council on it.

But at this time, none of our projects have been identified on that for parks.

Is there any questions with parks impact fee?

Okay, hearing none.

The next one, page 65 is the police impact fee.

Um that's 1,040,400.

That's an increase of 13,70 dollars more than the previous fiscal year.

Uh again, just like the the parks, nothing has been identified in this budget for expenses.

But if something a project is uh can use lize police impact fees, we'll we'll identify that in uh in the call ac and bring it forward.

Um any questions of please before we move to water.

Okay, we'll go to page 69 then.

Uh water impact fee fund.

We actually don't have we don't collect water impact fees anymore, water wastewater.

Those we we uh several years ago we went from away from impact fees to capacity fees, so we can spend those on a little have more little um different approach to our uh water and sewer impact fees, but we do still have a balance.

Um we have about 360,450.

That's the budget and the water impact fee.

That increased 11,180 over last year.

That's all due to the interest for that that fund.

Um, nothing has been identified in the budget, however, when we move forward with some of these water projects, we'll probably end up utilizing these water impact fees and and clearing them off the books because we um there are a few projects that we're doing as based upon growth that we're gonna utilize these funds for.

So we'll we'd when we bring that the funding sources to council, we identify those um projects and the funding sources in there.

Um the next one that we'll go to is wastewater.

Um that starts on page 73.

This budget, uh, there's 437,100 in the wastewater impact fee fund.

That increased six eighteen thousand six hundred and twenty dollars over last fiscal year.

Um again, nothing's been truly identified in this budget for a project, but a good use of it as we move forward when we do the expanding of the wastewater line, the new gravity line to 36 because of the capacity we're maxed out.

We can utilize some of these impact fees for that.

That'd be that's due to growth uh that we have.

So we'll be expanding that.

We'll we'll end up using water and wastewater impact fees this year, zeroing them out that uh and off our books.

But the the next one on page 77, that's the street impact fees.

Their overall budget is 1,53,560.

This is an increase over last fiscal year of 158, 175.

Um again, part of the impact fee.

We don't have a project identified utilizing the um impact fees.

However, you know, when we're looking at the streets um out there by ropes, and that we talked about the that could be utilizing a portion of this, a small portion.

We can't use it all, but using a portion of that because that is due to the growth of the rope scenario.

So this would be a we would use a portion to help save some money in that one time or the streets fund, and we'll use some of the street impact fee to help offset that.

But it won't it wouldn't be all of it because you have to take a kind of a percentage of how much the road is as it compares to the overall roads that we have on the impact fees.

So it might be a few, you know, a few thousand dollars on it, but we'll end up utilizing some of it.

Um the next two funds I'm gonna talk about, they relate to the police.

So um on page 81, the police um impound fund, police impound fund.

This actually has a balance now about five thousand five hundred dollars.

Um there's not much in this.

The police department on their impound fees, uh, we have to separate that into its own fund.

So there's about $5,500.

Nothing's really been identified in this budget for that, but if it is identified and spent, the police department has to only be spent on police expenses.

No general no the general government just can't utilize it because uh we think they need we need to buy some has to only be for police expenses.

So they don't have a lot in that fund, but they do have about $5,500.

The next one, which is a police safety fund on page 85, that has a budget of about $6,000.

Um this is another one that um when they get money in from the court, they get it in it uh when it deals with uh some court fines, it gets put into the police uh safety fund, and they only can spend it on some police person or police equipment and and expenses.

So they've utilized these funds over the last several years.

Um as it's as it's shown, like in the police impound fund that they used about $29,000 this last year on variety of expenses.

One of the both this fund and the uh police safety equipment was when we did the uh flock cameras, they utilized some of the these balances in here to help do the flock for the first year.

So those are those are some of the expenses that can be used out of those funds.

Is there any questions, comments on just when it comes to police related special funds on those?

All right, the next one starting on page 90.

We're gonna go to the grants fund.

The grants funds budget is 12,845,430.

This is an increase of five million two hundred and fifty-one thousand eighty dollars more than the previous fiscal year.

Out of this, this fund, um, you'll see um personnel went down about 28,000.

The reason why is what we used to budget for the the individuals out of those uh grants, which is the SRO high to get them.

The people that the our budget, they had a lower salary than what they did in the past.

So the salaries went down based upon uh who's in there.

Um capital-wise, you'll see that it says minus 2.7 million.

That just got rolled into the grants category.

So that that's what um the you'll see the grants category jumping about eight million dollars.

Within the overall category of grants, we have the five million dollar um for Sunland Gin.

That's majority of it.

I also have budgets for any other federal state grants we may get.

I have about a four million dollar capacity.

So if we get it, if we get an opportunity and we apply for something and and we have the budget capacity, that's why it's about 12 million.

We just have the capacity in case a grant comes our way, we have the capacity to to take it and roll with it.

Um within the grants fund it encompasses housing grants, uh, Stone Garden for PD, other governor of highway safety grants, some library grants, airport grants are in here, so it encompasses all our grants.

So it encompasses all our grants.

All of our grants are based up uh has their own budgets within the grants funds, so for tracking purposes.

So the overall budget in the the grants fund is up about five million, but that's encompassing mostly the Sunland Gin project.

So I have a question.

Um so if a grant comes our way that's asking for matching funds or up to a certain amount of matching funds, would would we be able to use this to if uh Mr.

Mayor uh customer Glindo, if if we end up applying for a grant that say, hey, it's a 30% match.

A lot of that time is not gonna happen this fiscal year.

It's not gonna happen in that first 12 months.

I mean, if we got it right now, um, we have already probably did the matching part um with it.

Um, a good one is that like the Cisco Money, no, it wasn't the Ciscomani, it was the um Kelly um Gallego grant uh for that one.

It said, hey, on if you want to apply, there's there could be a 20% match.

Well, by the time we get those federal appropriations, it'll probably be in between fiscal years.

We'll be budgeting for that 30% within that within that uh fiscal year, that next fiscal year.

So if grants come into it, we we look at it honestly.

On grants, I'm not gonna turn away a grant just because we're gonna have to do a 30% match because that means 70% match, we're gonna get free.

And you'll actually see that uh kind of to go off subject.

There was um one of the grants that we had or projects we added in the water fund was solar to the blue tank, and we added it to this because um this is kind of the last go around with some energy tax saving credits.

You gotta get the projects underway this calendar year before those energy tax savings credits go away, and that could be up to 30 to 40 percent.

So if you do a million dollar project, you could get 300 to 400,000 back in from the IRS on energy tax saving credits.

So we added this program to do it because solar projects qualify.

So, hey, let's get back through to 400,000 on a project, but we'll have to spend it, and then we'll put the money back in.

Um I actually sent uh it was part of the weekly update.

Uh last last time of the time before RSM, there we entered into a contract with them to do uh the energy saving tax credits for the three solar projects we did for the water and the two at the wastewater.

They went through and we're gonna get back over.

We know that when they did the calculation, it was over 500,000 on the 4.4 million that we had to pay for.

So these projects, there's some of those that's that uh energy's tax savings credits.

Let's just we'll apply for it, we'll get it back, and you know it's those are good projects to put in when even if they're matching on it.

But that's something that um I know that we don't shy away.

We'll just we'll budget appropriately as we come forward.

So is there any questions with the grants?

Any more.

Okay.

Uh the next one is the the next two are court related, the JCF fund and the court recovery fund.

So on page 94 of the is the JCF fund.

JSS funds overall budget is 58,200.

This actually is a decrease of 16,655,000 over the previous year.

Um the major changes in this um is last year we did some improvements to the court, you know, air conditioning.

Uh, so that that's why you'll see a decrease from last fiscal year to this one.

But overall, anything that the court needs, uh the court comes to the city council saying we need some of the things that might be coming forward.

Hey, we need new security cameras, we need a new you know, scanner.

That's what these funds will be used for.

So that in between that and the court recovery, they can be used on computers, so equipment, um person um not not personnel, but more the like a contract one-time service.

So if there's something that comes up, a study, all out of these funds that are just court related only.

So the like I mentioned, the J SEP fund is 58,200.

Is there any questions when it comes to the JCF uh account?

Uh huh.

Just to confirm, because I think this can I didn't ask on two of the other ones, but this is based off again what the court is getting in from FAIR from citations, because you have to have the citations to be able to get these funds to get that share of that money.

Correct.

Okay.

Yeah.

So you that this fund encompasses like fare and uh a couple other specific uh court related revenues that we get in on an annual basis from them.

Yes.

Any other questions with the JCF?

Okay, then we'll go to the next one, which is uh court is the court recovery fund.

The court recovery fund starts on page 98.

That overall balance is 158,795.

This is a $9,515 increase over the previous fiscal year.

Um this one again, court related, nothing's been identified.

Um, but if there's anything identified, it would come in from here if it's uh court related.

Any questions with the court recovery fund?

Okay.

The next one is the brand new fund that I mentioned earlier, the economic incentive fund.

Um the balance is five million.

Uh it's a five million dollar increase over last fiscal year.

Uh brand new fund.

So this is the we'll transfer the five million.

So this one is just for anything that deals with uh economic incentives.

Um if we do spend anything, it's gotta come to council before beforehand.

Um that the approval of the use of this these funds.

Um, a good one could be like if a developer comes in and the council wants to give them a million dollars for a water line extension.

It goes into that.

So this is uh that that fund that we identified for that.

So is there any questions with the economic development or incentives?

It starts on page uh 102.

I got small and safe funds on 102.

I have smart and safe funds.

Well, you know, that's the the in the budget book that we um presented, the one that was on the online, the the new one, the economic one.

Uh yes, that they yes, they did uh that one got left out, and then I remember when we went through that.

So yeah, I'll I'll follow.

I the this page here is based upon the new budget book with uh that one my fault.

Um so but the economic fund, yes, is that that was left out of that one, but it got put in the the one in the coac and this online one.

But uh is there any questions when it comes to economic development or economic incentive fund?

Okay, if there's not um the next one we will go to is a smart and safe fund.

This is the um I'm trying to go back and see what pay what page do you have on that one, Miss the 102?

Okay.

So that's on page 102.

That budget is 195,310.

This actually budgets about 690,000 less than last fiscal year.

Um, this is the marijuana money that we get twice a year from the state.

Um this last year, one of the expenses that the PD used was the flock camera.

That was the biggest expense out of it.

Um, there's nothing been identified in this budget, however, once we come through um we actually secure the old housing authority building right adjacent to the PD, this fund will use be used to pay back the general fund whenever we buy it for that building.

So the general fund will buy it and we'll just pay it'll get paid back through this fund.

You know, that will be a type of an expense that this fund will be used for in the future.

So any questions with the smart and safety fund.

All right, the next one water allotment fund.

I believe that might be on page 106.

Is that correct on your budget book?

Okay.

Uh that budget is 85,000, 250.

And this one is let me bring it up for you.

This is uh the this fund is actually set up as a cost sharing and water allocation agreement between the landmark uh Muslim trust and the city of Eloy.

It maintains um a designation of water assurance supply the city has to maintain for the planning area.

Um there's no nothing identified in this.

Um if it's it has to be really for the water fund, but uh in the allocation.

So if we don't if we have to ever give this money back because uh the agreement um we're moving away from it or anything, this money has already been set aside, it's not part of the water fund, and it's its own fund for tracking purposes.

So is there any um questions when it comes to this fund?

Because if so, the city manager is really dying to talk about the he loves talking about this fund.

Uh all right, if not, we'll go to the next one, which is the uh I said I'll call the previous city manager.

Um we'll go to the next one, which is the WIFA fund.

That should be on page 110 in your guys' budget book.

Um, this is uh budget for 13 million dollars.

This one is um if the since we're gonna do the 11% rate increase for water and wastewater, we're gonna be looking for um doing capital projects, water wastewater.

So we identify as the WIFA loan, but we can it might be using USDA, you know, GATA, but most of it's gonna probably be a WIFA for these capital projects.

So it's more of a debt obligation fund that we'll be getting some new debt on for tracking purposes.

So will a whole 13 billion million be allocated one, you know, next year.

That's the budget authority.

That's how much debt that we have ability to next year to go up to.

Is there any questions with the the WIFA fund of 13 million?

Okay, the the next three now.

We're gonna get into some enterprise funds, water, wastewater, and sanitation.

So the first one is water.

Uh that's gonna start on page 11.

Um that's the overall budget is 8 million 466,000 ten dollars.

Um, since in your budget books that uh when we first give it out, it's went up by a little over 855,000.

That's because of the transferring in, reallocating the the payoff for the the two water loans.

So that's the difference between the budget book that was given out several weeks ago till now.

Um, some of the major changes when we look at this to go through in the water fund.

Um we had a decrease in personnel of about 26,000.

Uh benefits increase 13,000.

Our operating maintenance um that went up 925,000, 925,000.

Majority of that change is I um is the increase of a contingency fund of 855,000 to pay off the the two loans.

So I put that in contingency for that because it needs to be brought to council for paying that off.

So that's majority of that 925,000.

Um with it, but there's also um this uh operating category went up from higher field supplies to software agreements and moving the enterprise lease expense.

Um it came from the debt service.

So that's what made up the operating maintenance line.

Contractual services went up by 28, 130.

That's due to uh budgeting the uh we last year we forgot the budget for the Pennell um water augmentation authority annual membership due.

So we had to we put that back in the budget, and so that was majority of the cost was about 23,000.

Uh travel and training went up 5,000 due to the cost of continual education uh for water personnel.

Utilities that seen about a $35,000 increase, and that's due to the some higher cost with uh electric costs at pump stations.

But one of those things that uh we're hoping now uh you'll see coming up is and it's in the budget to do the booster station with uh solar.

If that does the debt payment that we the we'll end up saving, you know, annually on our electricity.

So hopefully our electricity this next year in the 2627 budget, we'll see those electricity costs decrease on it.

Um when it comes to capital, we've seen about a 2.3 million dollar increase, and that's due to some major projects.

One, I just mentioned solar at the blue tank, uh pump two or pump station two uh repairs, uh new well at well three, which you guys just heard last council meeting.

Um, and also the housing the the houser water line project.

So actually, I got to fix that instead of housing.

It should be houser water line project.

So I will fix that uh before it goes final on that, and then also some uh expense at the nitrate facility.

So there can be a more complete uh definitions of capital projects being outlined in the capital project section.

Uh the debt service did see a decrease of 53,000, and that's moving the enterprise lease up to the operating maintenance category.

Uh there was an increase in repair and maintenance for equipment and vehicles of 4,500.

That's just due to higher costs of uh for supplies and materials for equipment.

Uh increase in water system of 125,000.

It's primarily due to higher maintenance costs of the city's booster stations and wells.

Additionally, the budget reflects the increased cost for chemicals, valves, and chlorine compared to the previous fiscal year.

In the last one where it says a decrease in street operations at 13, that just was reallocated into the water system uh category.

So overall, this budget in the water fund does account for, like I mentioned at the beginning, the increase for 11% for rate increases that will come November 1st.

Is there any questions when it comes to the water fund outline when it comes to the the categories increases or decreases?

Okay.

The uh the next one we'll go into the wastewater.

That should start on page 121.

Is that correct in your guys' budget book?

The wastewater fund.

The overall budget compared to your budget book to what we have now.

Uh the overall budget is 15 million, 13,435 dollars.

That increase is 1.5 million is because of the payoff of the the two wastewater loans.

So some of the significant changes within the wastewater budget is we have personnel increasing about personnel and benefits increasing $18,000 and then $26,000 for benefits.

We have operational operating maintenance going up $1.4 million, primarily going up because of the setting up a contingency fund to pay the debt of the $1.5 million.

So that's the majority of the increases in the operational side.

Contractual services are increasing $22,000.

That's due to higher costs associated with contractual services for electrical pump, pump rentals, or other professional services that might be needed at the treatment plant.

That's a little higher cost from some of our lift stations and uh the treatment plant, but a lot of the treatment plant.

Um we haven't been on the solar for a year, so we're kind of monitoring it, and as we get a full year, those costs will go down because we'll have that debt payment hitting uh offsetting that.

So those expenses will kind of teeter totter here in the near future on it between categories.

Uh capital capital's going up 5,620,000 over the last fiscal year.

Um, some of the major projects is the uh belt press, um the new gravity line uh from the water main come out from the the uh the treatment plant line replacements.

The biggest cost for that is pretty much the new gravity main coming from the treatment plant out to 11 mile corner.

That's going to be the biggest cost.

I think that budget's just over 7.5 million that we have on the books for it.

We also have increases to repair and maintenance for buildings and grounds of 3,000, and it's due to improvements being made to the building at the treatment plant.

And then lastly, an increase in the water wastewater system operations of 50,854, and that's due to the reallocation of lines that were under the waste of the water system and operating maintenance categories.

So this includes increases of chemical booster systems, mains, and laboratory supplies.

So when you know, and then also we have that debt payoff.

So any questions when it comes to wastewater.

Okay, and hearing none.

Sanitation Fund.

Overall budget is 3,723,765.

This is actually a decrease of 943,710 over the previous budget year.

Majority of that some significant changes, I'll talk about you'll see personnel going up about 42,000.

That's due to that 10% that I talked about, moving it from the streets over.

And that's the same thing with the benefits.

Under the operation and maintenance, that's going up 253,305.

Majority of that change is establishing a contingency of about 234,000.

We have a we've seen an increase in our landfill revenue coming in at the from the just the landfill.

So we're creating this this uh contingency because some of the equipment, if they break, even though we've bought in some new ones, they're still utilizing some older pieces of equipment.

We're establishing that contingency just in case something happens.

Um then also um we're looking at contractual services going up $13,000 eighty dollars, primarily due to consultant fee for monitoring the landfill migration, other potential um operational improvements.

The utilities are increasing about 4,000.

That's due to higher postal rates on utility bills, uh doing billing inserts uh as needed.

So those will we've seen that go up a little bit.

Uh capital's decreasing 1.9 million.

That's due to purchasing the two large pieces of equipment that we did this year.

Those two roughly were close about the the 2.2 million dollar mark.

So those that's the biggest change really within the sanitation budget is the capital coming off.

And then lastly, sanitation services.

That's increasing 680,000, 250, and that's due to the new hauling contract with waste management or barely known as WM.

I keep it's hard for me to always say WM, I always say waste management, so but WM for our residential and commercial.

Any questions with sanitation?

Okay.

Uh we've got three more in these um to the special revenue fund, Mr.

Mayor.

Then we can if you'd like to, we can take a break at that time.

But uh the next one is the cemetery fund.

Uh that will begin on page I think 135 in your budget book.

Um that budget is 414,170.

It the this is an increase of 115,320 over the last fiscal year.

Um within the cemetery fund, uh, some of the major sort of significant changes.

Um personnel went up about 600 and or 6,820, and benefits went up 16,500.

It went up because the they uh they reshuffled some personnel, give them some new experience, and the person that went in a little higher paid than the last person.

So it's just the uh the personnel that was put in there.

Umperated and maintenance, um, saw a decrease of 10,750.

That's due to just reallocation of budget capacity to other lines within the cemetery budget.

Uh we saw an increase in contractual of 26,000, and this is due to removal of old trees and planting new ones as part of the ongoing landscape and maintenance of the cemetery.

Um capital saw an increase of 75,000, and that's due to the purchase of a new backp for the cemetery.

So if you need a better description, we can you always look in the capital improvement fund for that if you need it.

And then the a decrease in transfers to other funds of $6,500.

That's just due to reallocation of where it was uh it's now out of the transfer out category.

And the last couple is repair and maintenance of equipment and vehicles.

That's a decrease of 3,000.

Uh reallocation to uh other lines for budget capacity, and then transfers out that shows an increase of 8,700, and this is the transfer out that we uh we have to transfer out 10% of plot sales, so the budget's 87,000 that we think in revenue.

We transfer 10% out to the perpetual care fund.

So is there any questions when it comes to cemetery?

Okay, hearing on the the next one is the airport fund, page 140.

Airport fund overall budget is 48,000 dollars.

This is an increase of 115, 320 over the previous fiscal year.

Some of the major uh significant changes in this is you'll see a hundred in operating maintenance, a decrease of 155,090.

And this is just due to the reduction of the city's portion of the F for the FFA federal grants uh for this next year.

Um we reallocated some of the funding, but most of it's from the um reduction of the city's portion.

We do show reduction utilities of 5,000.

Um, and this is just based upon current uh electrical spending trends at the airport.

We've seen an increase in capital of 140,000.

This is primarily due to the demo uh that will be due to the demolition of hangar one and the air park specific area plan on it.

So we're we're increasing those for those one-time capital projects.

And then the next two are just category reallocations from repair and maintenance of equipment and vehicles of 25 to repair and increasing that to the maintenance and repairs of grounds.

So it's just putting it into different categories on that.

So overall, the airport fund is actually seeing about a $20,000 decrease over last fiscal year, but the $408,000 encompasses the city's portion of the two capital projects that we have coming up this year, along with the demolition of hanging one and the airpark specific site plan.

Is there any questions with the airport?

Okay, here and then the last one that we'll we'll do, then we can Mr.

Mayor, if you want to take a five to ten minute break, but it's the perpetual care fund that starts on page uh four or one forty-six.

That overall budget is 129,250.

Um, this is only can be used for when there's no more plots, anything sell to help maintain the the land the cemetery.

So this is just the uh amount that uh goes in, it'll be the interest and the transfer from plot sales.

So um at this time there's really no no expenses because we don't have any plans of we still are selling plots, so we're still open for business.

So on that, but before we go on the general fund, Mr.

Mayor, if you want to take a five to ten minute break, then we'll go over the general fund.

All right, we're gonna call this back to order.

Mr.

Wright, please continue.

Okay, Mr.

Mayor, uh, members of the council.

We're gonna so now we're pretty much through with the enterprise funds, special revenue funds.

Um, we're gonna jump into the uh general fund uh the departments.

Uh the first one we're gonna jump into is the city clerk or the city council's budget, and that should start on the your guys' budget book, uh starting on page 161 with that.

Um city council budget is three hundred and twenty thousand eight hundred dollars.

This is an increase over last fiscal year of nine thousand six hundred and twenty dollars.

Um, some of the significant uh changes to this uh department, uh the city council's budget.

Uh one is you'll see that the operating maintenance shows a decrease of 27,000.

That's because we one of the things we did is move the ex uh employee appreciation budget line out of council of 20,000 into the human resources uh department for allocation.

Um the next one is under the community contributions.

You'll see uh 37,400, and this is due to like the funding organizations and a little more money uh into the council contingency this this next year.

So those the 37,000 uh has that on there.

So um last council meeting, you had the community programs, those all have been updated in line items within this.

Um there's no increases, so whatever we had a capacity, let's say 130.

That was the capacity.

We only spent 120.

We moved the the rest of it state and council contingency this year.

So this uh budget uh is uh 320,800 for the council's budget.

Uh is there any questions with the council's budget?

Okay, hearing none, we will go to the next one.

Economic development budget that starts on page 165.

This budget is 353,90.

It was a 353,900 increase over last fiscal year.

This is that brand new department uh that uh McKenzie and the management analysts will be out of, but uh it moves all the categories travel training, outsourcing, anything from the city manager's budget over this one.

So is there any questions with the economic development budget?

So I know McKinsey's really enjoying he'd really love to speak over there if you want it.

No the next budget human resources.

Uh that starts on page 169.

Third budget is 453,550.

This is an increase over last fiscal year of 66, 145.

Um, some of the major significant changes to this is personnel, 33,330 increase.

We mentioned that earlier about moving a position over.

Uh benefits decreased by 7100 because the person that took over for a position when Cindy left, different benefit rates, so the benefits went down based upon those.

Um, under operating maintenance, that was a $53,500 increase.

Um, like I mentioned previous, $20,000 of that was from the transferring for the employee appreciation line over.

Um, and also um it's due to reclassification of some of the subscriptions agreements that uh the HR department has with it, and uh one of the things we'll be moving towards that increases that is um one of uh NeoGov is we're going to our platform we'll be doing some of our adding a a package to it for evaluation.

So that'll be a new subscription agreement that uh uh that's in this category.

But uh then on the contractual services side, a decrease of 13,500, and that's due to reclassifying all subscription agreements um dedicated up to the uh operating maintenance line.

So is there any questions with uh human resources budget?

Okay, hearing none.

City clerk's budget.

City clerk's budget uh starts on page 174.

Um, and that overall budget is 467,010.

This is actually a decrease of 95,425 from last fiscal year.

Uh some of the significant changes.

Personnel was a decrease of 88,000.

This is majority of it.

We also mentioned moving employee, but also the one-time payout um of the retirement of Miss Myers.

Um benefits decrease 26,000, and that's due to the reclassification of one of the employees, operating maintenance, um, increase 55,400.

Uh the reason for this, the primary reason for this is the reclassification of all subscription agreements as previous under the contractual services into the um operating maintenance line.

Um that was majority of the cost because you'll see right below it.

Contractual services was a minus 40,000.

So it's just moving the the funding of the categories to it, and then travel and training.

Um you'll see that uh going up 3,800.

That's for additional training of staff and some other uh costs associated with it.

So is there any questions?

Or any questions on the city clerk budget?

I don't have a question, but I just have a comment that as you were talking about moving personnel to different departments, but you were talking about increasing them.

I was waiting to say, okay, you keep increasing the budgets and moving personnel.

Where's the decrease coming from?

So I'm glad I'm sorry to see it with the city clerk, but I'm happy to see it's balancing out.

The next one is the magistrate court budget.

Uh that starts on page 178 in the council's budget book up there.

Um, the overall budget here is 680,650.

This is an increase of 34,460 over the previous fiscal year.

Some of the significant changes as we that's noted.

Personnel is going up 56,735.

Benefits are actually dropping uh 22,975.

The increase in personnel is primarily due to the new contract with uh the magistrate judge, in additional to the 4% cost of living on it, and then the um operating maintenance is going up by 9,000.

This is due to reallocating budgetary costs for the debt service uh for leasing of their computers and printers, and then you'll see the decrease of 8,800, which was under the the debt service line for that same category.

Any questions with the magistrate court?

Okay, hearing then the next one city manager 182 in uh council's budget book.

Um this is uh city manager's budget is 565,660.

This is a decrease of 125,635 over the previous fiscal year.

Uh some of the notable changes, a decrease in personnel of 138,005, a decrease in benefits of $64,000.

You'll see operating maintenance go up by $45.

Uh, that's due to higher costs for supplies and materials.

You'll see an increase in contractual services of $85,000.

And this is uh what I mentioned earlier, do uh reaching out to a consultant to update the city's emergency response and recovery plan, which was revised last in 2006.

So uh this budget uh reflects that cost in their their overall budget.

Uh you'll see a decrease in travel and training by 5,000.

That was moved over to the economic development, and then you'll see a decrease in utilities of 7700, and that the funding is being moved over to the finance uh to just a consolidate billing and and reporting for phones.

out to a consultant to update the city's emergency response and recovery plan which was revised last in 2006 so uh this budget uh reflects that cost in their their overall budget uh you'll see a decrease in travel and training by five thousand that was moved over to economic development and then you'll see a decrease in utilities of 7700 and that the funding is being moved over to the finance uh to just a consolidate billing and and reporting for phones so any questions with the city manager's budget okay hearing none uh the finance budget uh that starts on page one eighty seven finance budget is one million one hundred and ninety six thousand six forty five this is an increase of 151820 over the previous fiscal year um some of the changes you'll see personnel going up 69,000 benefits going up 15 um one of the things on the personnel it's uh for possible retirement a payout and along with the cost of living of 4% um benefits are going up due to uh adjusting of employee coverages um an operating maintenance an increase of 88000 this is uh part of the reallocation of the subscriptions you'll see that going up 88000 but contractual services going down 6100 um utilities are going up 23850 majority of this is consolidating the phone charges between city managers budget uh community development budget and the increase in electricity costs for the city hall and then lastly capital is going up by 15 and this is just to uh uh increase cost with uh computer replacements and uh some of the subscriptions we have so uh we're bumping that up 15 thousand dollars is there any questions with the finance budget okay hearing none uh legal uh the next one that's legal starts on page one ninety two um their budget is 164845 there's really no increase or decrease from last year's uh fiscal year um if there's uh any any questions with the legal budget yeah I got a question when uh we had the review for uh our council Mr.

Cooper and we gave him that six month review we did not okay uh pay raise for him at that point in time I'm sure he's looking for one is that captured in here or will that be another item uh Mr.

Mayor members of the council it's not um if it's something that uh you want to speak to with the the city manager and you guys uh come up with a number I'll increase this budget by that amount I'll just decrease the contingency in the general fund by that and we'll we'll identify that line item in the budget with that that way if there is a that possibility you have the budget authority within the legal for that well if nobody on council has any objections I would like to put that into the budget just for you know he gets made all right okay Brian when we use outside legal services for different specialty items is that in this area as well or um mayor Sutton uh councilman curtis if it's like the water attorney for example that is actually paid for out of the water budget for it um if they use the city manager has a a line in his budget a little bit for some outside legal but then also does this the legal department has 10 000 I think it is for outside legal if they need to hire somebody so we haven't used much of that outside legal within the general fund most of it's been in the water fund the gamge on that one and burn them but uh I'll just uh give it the city manager will adjust that and then you'll the overall general fund budget will stay the same it's just the contingency fund will show a little decrease why this one will go up a little bit and when that will be noted um when I bring the schedule A through G in the coac what that amount was okay the the next one um which is the debts and contingency um like department or area that starts on page one ninety five now this one uh encompasses our one time payments to like ropes and incentive payments ropes and uh if we have to do any more to uh gold bond um express fuels it's what it captures all of our transfers out to other funds um our lease payment for enterprise for general fund leases contingencies on that so this overall budget um is 24 million eighty four thousand five eight hundred or eight and eighty five dollars so twenty four thousand eighty four thousand eighty five dollars this is an increase of last fiscal year of four thousand

Um our lease payment for enterprise for general fund leases, contingencies on that.

So this overall budget um is 24 million eighty-four thousand five eight hundred or eight and eighty-five dollars.

So twenty-four thousand eighty-four thousand eighty-five dollars.

This is an increase of last fiscal year of four thousand or four million four hundred and thirteen thousand nine hundred and sixty dollars.

Um, some of the major changes within this is you'll see the operating maintenance decreasing three million roughly, but that was actually kind of got reallocated.

Um, the transfers went up because the um five million we used to budget out of here, and now it's being moved as a transfer app.

Um within the operating maintenance, we have that 1.4 million dollar contingency.

We also have a contingency for insurance of 250,000.

We started this several years ago.

That way, if we actually um have a really bad year and we're looking at insurance rates going up 10 15 percent, we're not looking for the general fund.

We're gonna get that money.

The general fund has that, we'll reduce that line to zero, and the part those that money will be reallocated to departments.

So we've been doing that several years, and it's been very helpful to without um you know, looking forward thinking on our insurance.

Um contractual services have decreased 1.3 million, and that's just the um a lot of the incentives uh agreements, debt services increasing 225,000.

That was due to the uh lease program.

Uh that's that's going down, and then lastly, we have the uh transfers out.

Um we're transferring roughly it um 19 million, 19.8 million out to other funds, and those are broken up 850,000 for the capital projects, then economic incentive fund is five million, grants funds about 75,000, then the water funds 2.6 million, sewer funds 11 million, and the sanitation fund is 200,000.

So just to make note, when we do transfer general fund money over, and I'm gonna use a sanitation fund for example, they their positive operating of uh 300,000.

The general fund won't transfer that 200 just to transfer it when they're operating in the black.

So we will transfer what it is up to the like if you want to say the break-even point.

So they're they're operating you know in the black instead of the red on it when it comes to these projects.

So we don't just transfer money over just to give those funds more money, it's only for those project base and up to uh the project amounts, and if the funds are making money, they don't we the general fund won't transfer that whole amount for those projects.

So is there any questions when it comes to the debt and contingency uh fund if you want to call it our department?

Okay, the next one we're gonna jump into community development that should be on page 199 of your budget book.

The community development fund, their budget is 2,243,250.

This is an increase of last fiscal year of 989,095.

Some of the significant changes within this budget, you'll see personnel going up 31,000 and benefits going up 28.

We talked about earlier that one position, the clerical specialist being added, that's gonna be the reflection of this operating maintenance going up 222,750.

We uh mentioned earlier, out of that 222, 200 is then be identified for care.

So that's where the that's the primary difference there, and under contractual services, that's going up 705,000.

Uh you'll see the major reason for that is uh outsourcing plan review services for solar related projects.

So we budgeted that in the revenue side, the expense side reflects that.

So if we that comes in and we do have to do some major outsourcing and plan review, we'll collect the money, then we'll spend the money on it.

So is just a question about is that because we don't have the um expertise needed in-house to be able to approve those plans part, yes.

Part we just don't have the staff.

I mean, with the budget the way it is, we just don't have the money to hire additional staff to take on that workload.

So it's easier to contract it out.

So we don't think that we're gonna continue to have an increase in that workload, not just from solar, but from other projects?

Not right now, not the way it's projected.

Some of it's building uh inspector fees too, just going out and doing the inspections because we only have the one building inspector, so part of that's that as well.

Any more questions with community development?

Okay, we'll jump into starting into the community services department.

Um, first one up is the community services administration, and that one starts on page 208.

Community service administration, their budget is 624,930.

This is an increase of 82,775 dollars over the previous fiscal year.

Um, some of the significant changes personnel is going up 47,000.

Uh that's possible retirement of a personnel and then the cola uh benefits are going up 8400.

Um operating maintenance is going up 7600, and that's due to the move, but uh for the subscription agreement moving it.

Um, and that's going up 5,000 on that subscription, and we're seeing contract services increase 3,500, and this is for some uh uh work contractual work and services for the community services, and then also under the utilities going up 15,680, and that's primarily due to the the water and wastewater rate increase.

So as they budget for all the the watering um for the parks, so that's majority of the cost increase on on that for any of the the watering and parks.

Is there any questions with community services administration?

Yeah, the stuff we do out in the park here, all the festivals and whatnot.

That money comes out of community service, i.e.

Fourth of July.

Uh that would actually uh Mr.

Mayor, the recreation programs when we get on that, yes.

Okay.

Well, the next one we'll jump into starting on page uh 212 park maintenance, park maintenance.

Its budget is 647, 240.

This is an 18,950 increase over the prior year.

Some of the significant changes within this budget is personnel is going up about 16,000, mainly due to cola benefits are going up about 9,000, and that's just changing the health uh benefit coverages.

Uh OM operating maintenance category is actually decreasing 4600.

Um, and that's just based upon current historical spending between with their field supplies and uniforms and other maintenance supplies.

Uh you'll see an increase in repair and maintenance of equipment and vehicles of 33.

And this is just due the reallocation of some costs within that department, and it's coming from the building and maintenance category.

So it's just a fluctuation on that.

So there's really the overall change within this is uh 18,950 over the previous fiscal year.

Here, no questions.

We'll jump into the next one, which is recreation programs.

Uh recreation programs.

Uh their overall budget is 1,5530.

This is actually an increase of $3,175 over the previous fiscal year.

Uh some of the major changes, uh, you'll see personnel actually decreasing 42,740.

Uh, this is primarily due last year.

On my part, there's a little overstatement on the number of vacant personnel.

There's actually two extra um part-time positions in that it shouldn't have been.

So that was there's an overstatement of the number of personnel on it.

And then that's actually when it comes to salary rise.

That's actually a decrease because you're taking two 30 hour employees and making a 140.

So we saw a little bit of decrease in personnel there.

Benefits actually, though, went up 20,000.

Operating maintenance went up 16,000.

Um that's mainly due to associated to uh the cost of like rides, gains, and other services and programs uh for holiday events and uh community activities, and then last the contractual services went up about 9500, and that's uh due to doing a little more concerts in the park and uh other special interest classes.

Yes, Mr.

Mayor.

All right, uh the Eloy 75th, that was on the last budget, right?

Uh yes, that was in uh this fiscal year, yes.

Okay, because I've already been to two meetings on the 250th fourth of July coming up in 2026.

That's gonna be an expensive outlay, not only for the city of Evelow for all the the cities and towns throughout the throughout the country.

So I want to make sure we're right up there.

Do you think we have enough in that for uh or should we put some more yeah?

Yeah, I would I would like to push that up.

I think uh Mr.

Mayor, you know, it I'm not sure if it'll hit this year, you know, 2526, but I think when we talked about it is utilizing that community and economic development fund, the food tax because we have over still eight hundred thousand that hasn't been allocated or spent.

Okay, that'd be a great instead of hitting your general fund operation.

That food tax would be a great is if we have to spend it, we we would we have that to um yeah, because that's gonna be quite an expenditure.

That was twenty-six, would that be in the twenty-six twenty-seven budget because it's July?

Well, you're gonna pay for the July of 26.

Yeah, so it would be plant some of it would be now, and then some of it would be the following.

Right.

That would be four days in the next budget.

Yeah, and so but some of the expenses would happen now, you know, in 2526, and then they would also happen in 2627.

If they happen in 26 2526, utilize your community your community development fund because that that's a community engagement.

That's what the food tax says that's a perfect allocation.

So if there's some of the planning that has to go on before, we can we have that to make those expenses, and then if we need to and identify it in an individual line in the 2627, we can do that like we did the 75th.

Yeah, we want to make sure we're covering on that because this is going to be something we're gonna be proud of in the end.

So if we had like a special line item specifically for the Fourth of July event, could we also like um reach out to some of the uh Eloy supported organizations like the bank like first interstate, the prisons that wanted to donate?

Would it specifically go into this celebration?

Um, Mr.

Mayor, uh Councilmember Glindo.

What we'd end up doing is something like that is we would establish through like the grants, um a donate seven, you know, 250, you know.

I'd create a line and they would donate money in there as a revenue.

That money then is in the grants fund.

Uh, because it's just like the recreation has a donation line, and so we can't, and so they can do that there, then we have an expense that way you can match the revenue coming in and the expense coming out.

So we could end up doing something like that as we move forward with something of that nature, yes.

So if we do have people that do contribute, we can look at setting something up in our grants fund to track those expenses just for that specific event.

Okay.

So the next one we're gonna jump into is the uh library.

The library, uh their budget is two hundred and ninety-six thousand two hundred and sixty dollars.

It's an increase of $8,095 of the previous fiscal year.

Um the only significant change was an increase in personnel due to the cost the colour $7,455.

Everything else wasn't uh it was below our 3,000 reporting.

So there's uh really no significant changes within the library.

Uh moving to the next one, which is facilities.

Uh under the facilities, their overall budget is $107,370.

This is an increase of $38,835 over the previous fiscal year.

Uh some of the significant changes.

Um personnel going up 13 benefits were going up 15.

Operating and maintenance 7500, and this is due to just the rising cost of chemicals, custodial supplies, uniforms.

Uh and the next two um are just three allocation of categories.

And so you'll see one going up 35 and the other one going down by 32.

So there's really no major changes within those.

Any questions with facilities?

Okay, the next one we'll get into uh police administration.

Hold on one second, Brian.

Uh-huh.

Now we're going into the public safety.

Can you fill us in what went on today?

Can you fill us in what went on over at Toltec before we as we're getting into your budget here?

If you can give him one second, Brian, I'd appreciate that.

Good evening, everybody.

Um not sure what you guys are about to speed with.

We did have a uh bomb threat that was called to Toltec Elementary School right after just after around four o'clock this afternoon.

Call was initially made to the Toltec Elementary School directly.

Um at that time uh school administration notified the SRO, Officer Stenson, and also called uh PD dispatch to notify them.

We responded out with our I think three or four units initially.

Wonder was the um commander, the CP commander at that time, and I called me, notified me.

We start getting some mutual aid, sheriff's department, DPS.

They all responded.

Um also DPS EOD, the explosive ordinance uh team came out.

Um so altogether we probably had about 12 to 15 units out there to include the EOD team.

So the crazy part about it was the school evacuation occurred because it it occurred right at release time or close to release time.

So it's kind of like one of those dilemmas.

Do we do we lock the school down with all the parents now arriving at the same time, or do we allow the school to release?

So I made a decision to go ahead and allow release.

I think that was the best thing to do instead of having uh with limited resources at that time to have a problem with trying to maintain parents outside the perimeter, um, plus maintaining kids inside the perimeter.

Um so we made the decision that allowed them to leave.

We secured all the ingress and egress points with law enforcement and uh notified the staff that we were gonna do and had all the kids escorted safely out to the buses and out to the parent pickup.

What's uh good about this school is there's not a lot of walkers as far as students walking home or anything, most of them are being picked up, transported from the location or on a school bus.

Um so it worked out good, got everybody in place, established a command post and good communication, and ultimately got all the staff out.

Um just asked that a couple administrators or people who were well versed in the school grounds, stayed on campus so they could do the walkthrough with EOD and our people.

Um so once everybody was off, we did the walkthrough of the campus.

It took a while, 45 minutes, hour plus to clear the campus.

Um everybody was removed from the campus safely, and we cleared the campus with um no no uh you know devices found or explosives or anything of question found on the campus.

So it was good.

Good mutual aid, great response.

I think we kind of just uh it kind of worked out perfect the time of day.

Um some of the people were uh the Panao County units were on their way back to their homes, coming southbound or eastbound, the I 10, and also with DPS as well to include their EOD.

So kind of just perfect timing.

Everybody's available, and uh we got our drone up right away as well that assisted with some surveillance as well to cover the some of those areas we didn't have bodies to do it with.

Um so yeah, everybody worked well together, great communication with our partners, and uh yeah, everybody got home safe.

So great great uh considering the threat, um great outcome.

Yeah, I guess ended it end of the school day too, was uh was a good thing for everybody.

Yes, but you know, at that point it's a tough decision.

You know, do we go to a lockdown?

I think we're in a lockdown just for a few minutes, uh, but maybe decision it was best just to go ahead and try to facilitate a safety back.

Thank you, Chief.

And thank you, people for us too.

Yes, I know.

No, everybody did a great job.

Uh thank the surrounding our assist on that too.

Yes, thank you.

Everybody did an awesome job.

Chief, will there be additional police visibility there tomorrow?

Yes, I understand there's an event tomorrow evening or after school.

Um, so they requested that if we have extra police presence.

So we will have police presence in the morning uh for drop-off pickup, and then also for the school event.

Thank you, sir.

You're welcome.

Now we'll go over your budget.

Hold on.

All right, Ms.

Mayor.

Um, the next one we'll go into is the police administration.

Um that will start on page of the budget book, so it'll be about uh two thirty three within the the budget book or two thirty-seven, the the new one.

So two.

So the police administration uh the overall budget is one million nine hundred and sixty-one thousand six hundred and fifty-five dollars.

This is an increase of three hundred and eight thousand ten dollars of the previous fiscal year.

Um, some of the significant changes as mentioned previously.

One, when we're looking at personnel and benefits, uh, the majority of that increase in personnel and benefits was moving the uh position over from field operations at CSO over to police administration for the support services supervisor.

Um you'll see a couple categories uh operating maintenance going up 389,675.

That's due to the reallocation of several all most of it coming from the repair maintenance of equipment and vehicles.

That's where they had the subscriptions, so that's majority of it.

Some of the new uh couple of new subscriptions is the flock that's in here to keep it going.

Uh, that's about at 85,000.

Um, you'll also see um we also have the um a couple other subscriptions, those subscription costs are um increasing anywhere from three to five percent.

So we're putting it all in there in one category.

So as we move them forward, it will all be out of there.

Um within contractual services, that's going down 62 uh 6,265 dollars, and that decreases due to again moving it up to the subscription or the operating maintenance for uh the subscriptions, and then travel and training.

Uh that's going up 5400 to accommodate the current rise of training for officers and personnel.

Uh utilities is decreasing 13,800.

Uh, they had the uh Verizon payments for when they made the Verizons out of that for the phones, and that got moved up because of a subscription up to the operating maintenance side of it.

Uh, and then the repair and maintenance of equipment and vehicles of the minus 212,000.

That's just reallocation up to the operating maintenance for all their maintenance charges of subscriptions and uh fees with it.

So overall their budget's increasing 308,000 ten dollars.

Is there any questions with the police administration?

Okay, hearing none.

The next one is uh field operations.

The overall field operations budget is 4,249,090.

This is actually a decrease in the uh from last fiscal year of 26,355.

Um looking at this, the significant changes, the personnel benefits decreasing is due to that moving of the uh CSO position out on it.

Um the operating maintenance, that's going up 42,000 ten dollars, and that's uh due to the reflecting the cost for ammunition for their their uh training and for uh live ammunition the cost.

So those are going up substantial versus last year's budget.

So is there any questions when it comes to field operations?

Okay, hearing none.

Animal control, animal controls budget is 200,000.

It's the same cost as it was last year, no increases.

So uh there's no significant changes within this operational budget.

Any questions on animal control?

No, I just want to make sure because you know we're looking at all our increases for because of cost of living and all that.

And I know county is doing cost of so have those conversations been had with Miss Michaels about any cost increases.

Or were we expecting them to come to us and tell us?

If um Mr.

Mayor, uh Vice Mayor Trango and Chief could probably chime in.

If it went up a five to six percent of their costs, right now they're not reaching their budget capacity of what we're saying is a hundred and twenty-five thousand.

We're they're not reaching that level.

I mean, if it went up a thousand dollars a month, it's not gonna it's not gonna affect the overall budget of this right now.

Well, she wanted to, and we did not receive any word from uh Audra Moichles, the director on any indication there'd be an increase in costs.

Chief, I don't think you guys did either because nothing came my way.

Is there any anything else with uh animal control or I guess I'll just say we're getting our money's worth at what we've spent so far?

I mean, I mean, they're not charging it.

I mean, we pay for two positions, but I guess that's yeah, I think we're ranging sixty-five around seven thousand seventy, three hundred a month.

So I mean, we're barely even reaching ninety-six thousand on an annual basis.

So I think when that study gets completed that Captain Jerome's working on, we'll have a better idea where we need to go and what we need to do.

That was one of the things we're waiting on this year, is just it took it's taken longer than expected.

I know Captain Jerome was about a month trying to fill out the questionnaire that was sent from this agency that was unanticipated.

But once we get that nailed down, we'll have a really a good idea what we need to do moving forward.

But we're continuing with the voucher program.

That was one thing we've been looking at.

Uh Chief Ben Alice and his team are also looking at having the mobile clinic here more often.

I know there are some issues with that in the past just because we only have the one.

There's only like one or two that actually goes around.

I I know you know it's two, right?

Or is it just the one?

So I know that was been hard for them too to get that person out, but sorry.

So is animal control coordinating that mobile unit?

Because I noticed that the last time we did have the mobile unit, I think it was May of last year.

It looked like the PD arranged that mobile unit.

PD's working more actively with animal control to get them out here.

Before I think it was more we relied on them, and they just got busy with all their other stuff going on because they had limited staff too, so we kind of put to the back burner, but Captain Jerome and some of the other staff is working more closely.

We're we're leading our charge more actively than we had in the past.

Good.

I mean, because they agreed to take our contract, and it's obvious.

Um, it's a challenge for them to fulfill their end of the deal.

So yeah, they got a lot going on.

Yeah.

Yeah.

Thank you.

Okay, we have uh just three more departments to go through.

Mr.

Mayor, uh the next one is GIS.

Um GIS, the overall budget is 63,420.

Uh, this is an increase of nine for four thousand nine hundred and ninety dollars and um over previous fiscal year.

Uh the GIS, there's only one significant change, and that's uh thirty, nine hundred dollars to operating maintenance of uh, and that's for additional licensing for the their RGIS program.

So there's really no significant changes besides that one within this budget.

Uh the next one, Mr.

Mayor.

Uh, if there's no uh questions with GIS uh vehicle maintenance, vehicle maintenance.

The overall budget is 277,200.

This is a 12,195 increase over the previous fiscal year.

Some of the only notable change is with the benefits going up 6,720, and that's just adjusted employee benefit recoveries for the medical dental vision.

So is there any questions with the vehicle maintenance?

And the last one, uh, Mr.

Mayor is public works administration.

This budget is 134,140.

This is an increase in uh over last year of 25,255.

The significant changes within this budget.

We have operating maintenance going up about 9,100.

And this is due to getting some new office furniture, you know, with uniforms and higher uh office supply costs, but a lot of is some uh new furniture within the uh for public course administration, and then the other one is 11,000 dollars to utilities, and this is one electricity going up a little bit out there, and also for their Verizon Digital, you know, if they have iPads, there's just the services with those, so they're that with their mobile devices.

So overall, Mr.

Mayor, just kind of doing a little recap.

Um, that's every department um that we went through, all those departments.

Um all those operating budgets I talked about equals 115,645,325.

So besides the the the note to the legal that might affect the contingency, um, if there's anything else made note um between now and June 9th, June 9th is when I'll bring the tentative budget to council.

Uh we'll bring a resolution, it'll have schedules A through G.

Those are the state auditors' forms at that time.

We had the we adopt the general fund by department and then everything else by fund.

Um, once we adopt the tentative budget, we can only that's our maximum that we do.

All we can then go to is to go down upon the final approval adoption of the final budget.

So we do have a couple weeks in case something comes up that we need to modify, but uh until then um we'll do a little cleanup on the the online budget and then make those changes.

So if something comes up, we do have a week or two to get it fixed before we have to have the resolution in schedule A through G to Council.

So at this time, Mr.

Mayor, I'll turn it back over to you.

It is my pleasure presenting it to mayor and council, and if there's any questions, please let me know at that time.

All right, before Brian steps down.

Anybody have any questions, comments, or concerns just a comment.

Um, just want to thank you.

I mean, and I know what goes into budgets, and um you did this pretty much flawless.

Um, I appreciate your dedication to your job and your dedication to the city of Eloy.

Thank you.

Yes, thank you, Brian.

Very well done, and thank you, staff as well from us.

Yeah, it's it's all departments that came into this.

So appreciate everybody's help.

All right, thank you, sir.

Well, I just have a quick comment, Brian.

I want to thank you for making it so easy to read for everybody because I know that I like I'm a visual visual person, so the charts and the maps were very helpful, and I especially like the the back where you put uh all the departments and the significance and their budgets and stuff because it's really easy for me to go back and forth.

So it's probably one of the most enjoyable budget books that I've ever had to read.

So thank you for that.

It was so much easier to understand what was going on.

Thank you.

Thank you.

All right, if I don't have anything else from anybody, I think I thank you for your expedience.

Number one, I think we're gonna call this everybody good.

All right, I'm gonna say adjourned.

Yes, I know.