Item 4_FY25 ARR Budget Presentation — original pdf

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FY 2025 Proposed Budget Presentation July 22, 2024 April 14, 2021 2 Presentation Topics • Curbside Collection Services Overview • Curbside Services Cost of Service • Curbside Collection Customers • Trash Cart Distribution • Clean Community Fee Overview • Clean Community Fee Customers • FY25 Proposed Budget including FY26 Planned • Proposed Rate Changes • Fund Summary • Top 10 Budgeted Expense Categories • Capital Improvement Plan Curbside Collection Services • Supported by Trash Cart Fees (as of May 2024) • Trash Collection  Residential = 215,101 carts billed  Commercial = 3,020 carts billed Trash Carts Billed 3 Commercial, 1% Residential, 99% Curbside Collection Trash Cart Size Distribution: Residential 4 Trash Cart Size Jan 2020 Jan 2021 Jan 2022 Jan 2023 Jan 2024 Small Medium Large Extra-Large Small Medium Large Extra-Large 10% 24% 54% 12% 9% 24% 53% 14% 9% 24% 54% 12% 10% 24% 52% 14% Note: Numbers may not add up to 100% due to rounding. 9% 24% 54% 13% 10% 25% 52% 13% 9% 24% 53% 13% 11% 25% 51% 13% 9% 24% 53% 14% 11% 26% 51% 12% Trash Cart Size FY 2025 Proposed FY 2026 Planned FY 2027 Forecast FY 2028 Forecast FY 2029 Forecast Curbside Collection Services • Supported by Base Customer Fee (as of May 2024) • Recycling Collection • Yard Trimming and Organics Collection • Brush Collection and Processing Base Customers • Bulk Collection Residential = 215,944 customers Commercial = 2,187 customers Residential, 99% 5 Commercial, 1% Base Fee Customers 6 Residential Base Commercial Base Jan 2020 Jan 2021 Jan 2022 Jan 2023 Jan 2024 203,753 207,125 210,187 212,761 215,944 2,124 2,085 2,158 2,140 2,187 FY 2025 Proposed FY 2026 Planned FY 2027 Forecast FY 2028 Forecast FY 2029 Forecast Growth Growth Growth Growth Growth Total Cust. Total Cust. Total Cust. Total Cust. Total Cust. 3,934 218,901 3,524 222,425 3,492 225,917 3,479 229,396 3,464 232,860 (56) 2,199 (55) 2,144 (54) 2,090 (52) 2,038 (51) 1,987 Residential Base Commercial Base FY25 Curbside Collection Cost of Service Direct Annual Expenses Indirect Annual Expenses Total Annual Cost of Service Service Provided Residential Recycling Composting Collection Brush Collection Bulk Collection Brush Processing Base Curbside Collection COS Other offsetting Revenue Trash Collection Cost of Service Other Offsetting Revenue $14.2 $12.6 $2.6 $3.8 $1.3 $34.5 $19.8 ($ in millions) $10.2 $11.5 $2.0 $2.8 $1.3 $27.8 $4.8 $15.6 $0.6 Net Cost of Base Curbside Collection Services Net Cost of Curbside Trash Collection Service $24.4 $24.1 $4.6 $6.5 $2.6 $62.2 $35.4 7 Average Monthly Cost Per Residential Customer $9.21 $9.09 $1.72 $2.47 $0.98 $23.46 $1.82 $21.65 $13.34 $0.22 $13.12 8 Clean Community Fee Purpose • Clean Community Fee established by ordinance to provide litter and nuisance abatement, street cleaning, household hazardous waste disposal, and the implementation and enforcement of the URO • Billed to all residential and commercial customers in Austin service area, including residents in apartment complexes and other multi-family units • Clean Community Fee Customer Count (as of May 2024)  Residential = 449,901 customers  Commercial = 25,386 customers • Residential Fee +$0.45/month = $5.45/month • Commercial Fee No Change/month = $14.65/month 9 FY25 Proposed Rate Changes • Residential Base Customer Fee Increase: $1.45 • Residential Clean Community Fee Increase: $0.45 • Large Trash Cart Increase: $0.60 • Example of Typical Residential Customer Monthly Bill Clean Community Fee Base Fee Large Trash Cart Total Bill FY 2024 FY 2025 Change $5.00 $20.45 $10.90 $36.35 $5.45 $21.90 $11.50 $38.85 $0.45 $1.45 $0.60 $2.50 Proposed Revenue 10 Recycling Sales $2.7 M Other $3.3 M FY25 Proposed Revenue $134.5M Commercial $3.1 M Clean Community Fee $34.3 M Residential $91.1 M 11 FY25 Proposed Fund Summary Snapshot (in Millions) Beginning Balance Total Revenue Total Available Funds Program Requirements Collection Services Support Services Litter Abatement Operations Support Waste Diversion Remediation Total Program Requirements Total Other Requirements Total Transfers Out Total Requirements Excess (Deficiency) of Total Revenue Over Total Requirements Adjustment to GAAP Ending Balance Days of Operating Reserve FY 2022-23 Actual $18.27 $132.62 $150.89 FY 2023-24 Estimate $11.38 $125.01 $136.39 FY 2023-24 Amended $9.86 $124.72 $134.58 FY 2024-25 Proposed $10.46 $134.56 $145.02 FY 2025-26 Planned $10.55 $144.16 $154.71 $72.08 $11.38 $9.56 $8.29 $6.53 $1.29 $109.13 $2.65 $28.68 $140.46 ($7.84) $0.94 $11.38 32 $54.57 $11.02 $10.19 $10.23 $6.75 $1.08 $93.84 $5.01 $27.09 $125.94 ($0.93) $0.00 $10.46 31 $52.13 $11.97 $10.83 $10.03 $7.80 $1.17 $93.93 $5.10 $27.09 $126.12 ($1.40) $0.00 $8.47 30 $54.74 $13.44 $11.42 $11.24 $7.82 $1.21 $99.87 $6.99 $27.60 $134.46 $0.10 $0.00 $10.55 29 $57.19 $14.02 $11.95 $11.78 $8.35 $1.20 $104.49 $6.68 $32.94 $144.11 $0.05 $0.00 $10.60 28 FY25 Proposed FTE 12 Position Title FTE Proposed Unit Environmental Prgm Specialist Environmental Prgm Specialist Program Manager I Austin Rsc Recovery Crew Ldr Austin Rsc Recovery Operator Inventory Planner I IT Application Developer Human Resources Specialist Administrative Specialist Total FTE 1 1 1 1 1 1 1 1 1 9 On Call HHW On Call HHW Reuse Warehouse Reuse Warehouse Reuse Warehouse Carts GIS HR HR/Finance Top 10 FY25 Proposed Expense Categories Expense Category FY25 Proposed Budget (in millions) Percentage of Total FY25 Proposed Budget 13 Personnel (Wages, Overtime, Insurance, Taxes, etc.) Preventative Maintenance and Repairs on ARR Fleet Capital Spending – Vehicles, Equipment and Facilities Citywide Allocation for Support Services and IT Recycling Processing Contracts Fuel for ARR fleet Landfill Disposal Contract Payment for Debt-Financed Capital Items Billing System Support Dumpster Contracts $59.3 $14.5 $11.7 $7.8 $5.2 $4.5 $4.3 $3.5 $2.3 $1.7 44% 11% 9% 6% 4% 3% 3% 3% 2% 1% Total $114.8 86%* *Departmentwide Contractuals and Commodities 14% Capital Improvement Plan 14 Subproject by Category FY25 Appropriation Light-, Medium-, and Heavy-Duty Equipment and Vehicles $10,700,000 Vehicles and Equipment Buildings and Improvements Reuse Warehouse & Hornsby Bend Landfills FM 812 Landfill Slope Stability Total $465,000 $520,000 $11,685,000 Questions 15