20220330-001b: DSD FY23-27 Financial Forecast — original pdf

Backup

Fiscal Year 2023 – 2027 Financial Forecast Environmental Commission March 30, 2022 Presentation Overview • Development Services • Budget Process • Funding Sources • Revenue Outlook • Fee Methodology • Proposed Operating Budget • Forecasts and Measures Department and Budget Process Development Services Mission: To support a vibrant community through responsible development. Goal/ Indicator Conduct timely plan reviews and inspections Percent of DSD controlled activities on-time Protect and renew Austin’s tree canopy Percentage of Austin’s total land area covered by the tree canopy 425 Full-Time Employees 36 Temporary Employees Properly steward financial resources Percent of operating expenses held in reserve Fiscal Year 2021 Budget: $64.2M Provide excellent customer service Percentage of customers reporting satisfied or very satisfied on Customer Satisfaction Poll Development Services Office of the Director • Equity & Inclusion • Executive functions Customer & Employee Experience • Customer Experience • Finance • Human Resources • • Stakeholder & Community Engagement Information Technology Building Plan Review • Austin Center for Events • Building Plan Review Land Development Review Construction & Environmental Inspections • Community Tree Preservation • Land Use Review • Public Projects Review • Regulatory Policy & Administration • Transportation & General Permit Review • Building Inspections • Environmental Inspections • Gen. Permit, Telecom & Excvtn Inspections • Site & Subdivision Inspections Budget Process • Required by City Charter • Ensures proper spending and monitoring of taxes and fees paid by public Budget Kick-off January 2022 Budget Engagement Mar – Apr 2022 Budget Public Hearings August 2022 Budget Development Jan – Mar 2022 Budget Submitted May 2022 Budget Adoption August 2022 Funding Sources, Revenue & Fee Methodology Funding Sources FY 2022 Forecast $69.62M FY 2023 Forecast $69.59M $9.81 General Fund $7.35 Other $23.55 Development Fees $28.91 Building Safety $9.27 General Fund $6.27 Other $24.81 Development Fees $29.23 Building Safety Revenue Outlook Five-Year Revenue Forecast 3.5% 3.2% $72.03 3.3% $74.32 3.4% $76.76 $79.35 $84.00 $78.00 $72.00 $66.00 $60.00 $54.00 $69.35 $69.62 $69.59 0.4% FY21 0.0% FY22 Actuals FY20 4.0% 3.5% 3.0% 2.5% 2.0% 1.5% 1.0% 0.5% 0.0% -0.5% FY23 FY24 FY25 Revenue Growth in % FY26 FY27 Forecast Five-Year Forecast Program FY19 FY21 FY22 FY23 FY24 FY25 FY26 FY27 Building Safety $27.16M $27.22M $30.24M $28.91M $29.23M $30.11M $31.01M $31.95M $32.90M Development Fees $24.95M $20.92M $23.19M $23.55M $24.81M $25.91M $26.82M $27.83M $28.95M Other General Fund $5.36M $5.81M $6.88M $7.35M $6.27M $6.46M $6.65M $6.85M $7.06M $16.55M $7.54M $9.03M $9.81M $9.27M $9.55M $9.83M $10.13M $10.43M % Change -17% 13% 0% 0% 4% 3% 3% 3% Total $74.02M $61.49M $69.35M $69.62M $69.59M $72.03M $74.32M $76.76M $79.35M Fee Methodology Regulations Resources Resources required to administer regulations $$$ Factors Factors involved with individual fee calculations Annual Proposed BUDGET Annual Projected VOLUME Estimated Required TIME $ Proposed Fees Computation of individual fees Year-end FY21, Proposed Operating Budget, Forecasts and Measures Year-end 2021 Reserve Balance $18.50 $28.69 $28.69 FY21 Actual FY22 Budget FY22 Forecast Growth % FY21 to FY22 Budget FY21 to FY22 Forecast Revenue Building Safety Development Fees Other Licenses/Permits General Government Charges Underground Storage Permits Interest Other Revenue Transfers (General Fund) Expense Program Requirements Other Requirements Transfers Out Total (unfavorable)/favorable Ending Reserve Balance Sub-total Sub-total $30.24 $22.05 $1.53 $5.28 $1.14 $0.05 $0.02 $9.03 $69.35 $51.03 $0.67 $7.45 $59.15 $10.20 $28.69 $28.91 $23.55 $0.82 $4.93 $0.84 $0.36 $0.74 $9.81 $69.95 $61.00 $1.31 $11.61 $73.92 ($3.97) $24.72 $28.91 $23.55 $0.82 $4.93 $0.84 $0.03 $0.74 $9.81 $69.62 $58.85 $1.31 $11.61 $71.77 ($2.15) $26.54 -4% 7% -46% -7% -26% 581% 3183% 9% 1% 20% 96% 56% 25% -4% 7% -46% -7% -26% -53% 3183% 9% 0% 15% 96% 56% 21% -139% -121% -14% -8% Proposed Operating Budget Fiscal Year 2023 (by Category) Down $0.5M from FY22 $73.4 Million* Down $0.5M from FY22 Personnel Contractuals  Citywide Cost Allocations/ Admin Support 475 Full-Time Employees 22 Temporary Employees Baseline Cost Drivers  Citywide Cost of Living Adjustments  One-Time Payout and Stipend Budget Reductions  Expense Budget Temporary Personnel & Overtime - $286K + $704K + $1.1M - $385K - $1.9M - $1.4M - $677K - $18K + $449K + $127K Vacancy Savings Contractuals Commodities Expense Refunds Non-CIP Capital Non-CIP Capital Transfers Commodities Expense Refunds Personnel Contractuals Commodities Expense Refunds Non-CIP Capital Transfers $51.4M $19.5M $1.3M ($3.2M) $530K $3.8M 70% 26% 2% -4% 1% 5% *12% of DSD budget funded through general fund (telecom, fee waivers, forestry program) Five Year Forecast FY22 Budget FY23 FY24 FY25 FY26 FY27 FY22 Forecast Beginning Balance $22.8M $28.7M $26.5M $22.7M $22.7M $22.7M $22.7M Revenues Expenses $70.0M $73.9M $69.6M $69.6M $72.0M $74.3M $76.8M $79.3M $71.8M $73.4M $72.0M $74.3M $76.8M $79.3M Excess (Deficiency) ($3.9M) ($2.1M) ($3.8M) $0.0M $0.0M $0.0M $0.0M Ending Balance $18.8M $26.5M $22.7M $22.7M $22.7M $22.7M $22.7M FTE 475 475 475 475 475 475 475 Key Performance Indicators Goal/ Indicator FY2021 Conduct timely plan reviews and inspections Percent of DSD controlled activities on-time Protect and renew Austin’s tree canopy Percentage of Austin’s total land area covered by the tree canopy Properly steward financial resources Percent of operating expenses held in reserve Provide excellent customer service Percentage of customers reporting satisfied or very satisfied on Customer Satisfaction Poll Forecast: Target: 86% 90% Forecast: 31.2% Target: 30.8%* Forecast: Target: Actual: Target: 35% 50% 48% 46% Thank you!