Item 004 - FY27 Proposed and FY28 Planned Budget Presentation — original pdf

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FY 27 Proposed & FY28 Plan Budget Presentation ARR | July 29, 2026 ZWAC 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 • FY27 Proposed Budget including FY28 Planned • Proposed Rate Changes • Fund Summary • Top 10 Budgeted Expense Categories • Capital Improvement Plan 2 Curbside Collection Services TRASH CART CUSTOMERS Commercial 1% Supported by Trash Cart Fees:  Trash Collection Residential 99%  Residential = 213,044 Billed Customers  Commercial = 3,011 Billed Customers Customer Count as of May 2026 3 Curbside Collection Trash Cart Size Distribution: Residential (1) Trash Cart Size Jan 2021 Jan 2022 Jan 2023 Jan 2024 Jan 2025 Small Medium Large Extra-Large 9% 24% 54% 12% 9% 24% 54% 13% 9% 24% 53% 13% 9% 24% 53% 14% 9% 23% 53% 14% (1) Customer Cart Distribution for the same period over multiple fiscal years Trash Cart Size FY 2027 Proposed FY 2028 Planned FY 2029 Forecast FY 2030 Forecast FY 2031 Forecast Small Medium Large Extra-Large 9% 23% 53% 14% 10% 24% 53% 14% 10% 24% 52% 13% 11% 25% 52% 13% 11% 25% 51% 12% Note: Numbers may not add up to 100% due to rounding. 4 Curbside Collection Services BASE FEE CUSTOMERS Supported by Base Customer Fee:  Recycling Collection  Yard Trimming and Organics Collection  Brush/Bulk Collection and Processing  On-Demand HHW Commercial 1% Residential 99%  Residential = 216,249 Actual customer count  Commercial =2,343 Actual customer count Customer Count as of May 2026 5 Curbside Collection Base Fee Customers (1) Fee Jan 2021 Jan 2022 Jan 2023 Jan 2024 Jan 2025 Residential Base 207,125 210,187 212,761 214,967 208,072 YoY Inc/(Dec) Commercial Base YoY Inc/(Dec) 1.7% 2,085 -1.8% (1) Customer Count for the same period over multiple fiscal years 1.5% 2,158 3.5% 1.2% 2,140 -0.8% 1.0% 2,255 5.4% -3.2% 2,157 -4.3% Fee FY 2027 Proposed FY 2028 Planned FY 2029 Forecast FY 2030 Forecast FY 2031 Forecast Growth Total Cust Growth Total Cust Growth Total Cust Growth Total Cust Growth Total Cust Residential Base 2,808 218,792 2,844 221,636 2,881 224,517 2,919 227,436 2,047 229,483 Commercial Base (58) 2,254 (56) 2,198 (55) 2,143 (54) 2,089 (52) 2,037 Note: Numbers may not add up to 100% due to rounding. 6 FY27 Curbside Collection Cost of Service Direct Annual Expenses Indirect Annual Expenses Total Annual Cost of Service Service Provided ($ in millions) $12.4 Residential Recycling $16.1 Composting Collection Brush Collection Bulk Collection Brush Processing On Demand HHW Collection Base Curbside Collection COS Other offsetting Revenue $14.4 $2.5 $4.1 $1.5 $0.4 $38.9 $12.9 $2.6 $3.5 $1.8 $0.2 $33.3 $5.2 Net Cost of Base Curbside Collection Services $28.5 $27.2 $5.0 $7.6 $3.3 $0.6 $72.2 Average Monthly Cost Per Residential Customer $10.73 $10.27 $1.90 $2.88 $1.24 $0.21 $27.23 $1.95 $25.28 Note: Numbers may not add up to 100% due to rounding. 7 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 the Austin service area, including residents in apartment complexes and other multi-family units. Clean Community Fee Customer Count: FY27 Proposed CCF: [ARR Portion Only]  Residential = 462,439 customer count  Commercial = 25,093 customer count  Residential Fee per month = $5.65/month  Commercial Fee per month = $13.15/month Customer Count as of May 2026 8 FY27 Proposed Rate Changes  Residential & Commercial Base Customer Fee Increase: $1.10  Residential Clean Community Fee Increase: $0.20 • Commercial Clean Community Fee Increase: $0.30  Large (64-Gal)- Trash Cart Increase: $0.60 Example of Typical Residential Customer Monthly Bill FY 2026 FY 2027 Change Base Fee Clean Community Fee Large Trash Cart Total Bill-Typical Rate Payer $23.80 $5.45 $12.50 $41.75 $24.90 $5.65 $13.10 $43.65 $1.10 $0.20 $0.60 $1.90 Note: Numbers may not add up to 100% due to rounding. 9 FY27 Proposed Revenue FY 27 Proposed Revenue $152.0 M Other $4.1M Recycling Sales $2.8M Commercial $4.6M Residential $104.6M Clean Community Fee $35.8M Note: Numbers may not add up to 100% due to rounding. 10 FY27 Proposed Fund Summary Snapshot (In Millions) Beginning Balance Total Revenue Total Available Funds Program Requirements Collection Services Remediation Litter Abatement Operations Support Support Services Waste Diversion 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 2024-25 Actual $13.80 $134.55 $134.55 FY 2025-26 Amended $18.04 $145.36 $145.36 FY 2025-26 Estimate $18.04 $144.14 $144.14 FY 2026-27 Proposed $19.10 $152.01 $152.01 FY 2027-28 Planned $14.24 $162.27 $162.27 $56.61 $1.09 $9.62 $10.77 $13.06 $6.59 $97.74 $6.56 $26.43 $130.73 $3.81 $0.42 $18.04 56 $59.59 $0.93 $11.90 $12.76 $15.07 $7.21 $107.45 $8.38 $30.95 $146.78 ($1.43) $57.28 $1.18 $12.16 $13.37 $14.63 $7.00 $105.62 $6.65 $30.80 $143.08 $1.06 $62.04 $1.00 $12.44 $13.92 $15.66 $7.05 $112.12 $9.73 $35.02 $156.87 ($4.86) $63.54 $1.05 $12.73 $14.27 $16.41 $7.10 $115.11 $11.24 $37.80 $164.15 ($1.88) $16.61 46 $19.10 55 $14.24 37 $12.36 31 Note: Numbers may not add up to 100% due to rounding. 11 Proposed FTE  No Proposed FTEs in FY27  1 Transfer FTE from Transportation and Public Works  Four (4) FTE in FY28 Plan  1 – Litter Control  1 – Safety  1 – Customer Service  1 – Safety Store 12 Top 10 Expense Categories: FY27 Proposed Expense Category Personnel (Wages, Overtime, Insurance, Taxes, etc.) Fleet-equip.preventative maint Trf to Resource Recovery CIP Trf to GO Debt Service Central Administrative Support Services - Recycling Processing Services-Landfill Services Transportation-city vehicle fuel Technology Support Services-Dumpster Collection Total FY27 Proposed Budget (in millions) $68.1 $18.7 $13.3 $6.3 $6.2 $5.4 $4.6 $4.5 $2.9 $2.6 $132.6 Percentage of Total FY27 Proposed Budget 43% 12% 8% 4% 4% 3% 3% 3% 2% 2% 85% *Departmentwide Contractuals and Commodities = 15% Note: Numbers may not add up to 100% due to rounding. 13 14 Capital Improvement Plan Subproject by Category Vehicles and Equipment Buildings and Improvements Landfill FM 812 Slope Stability Project Total FY27 Appropriation $12.7 $0.20 $0.43 $13.3 Note: Numbers may not add up to 100% due to rounding. 14 Questions