1. Financial Services Department Mission: Promote the City's overall financial stability through sound financial planning and management. We are committed to the highest standards of accountability, accuracy, timeliness, professionalism, and innovation in providing financial services that not only meet but exceed the expectations of those we serve. Olivia Padilla-Jackson, Director May 1, 2013 1

2. Financial Services Department FY14 Major Budget Highlights (Page 53) Total Recommended Budget: $1.7M, a 2% decline Personal Services: $1.5M (90%); Materials and Services: $169,270 Personal Services Budget Change Reflects Reorganization: Created a Budget Division with Budget Manager and Full-Time Budget Analyst (partially funded by eliminating Deputy Director) Eliminated Contracts/AR Supervisor position, moved duties to appropriate divisions, streamlining contracts and procurement Eliminated Alarm Billing position, absorbing duties into existing accounting positions Other changes touched Grants, CDBG, and Ambulance Billing Changes resulted in net savings to General Fund Top 3 Unfunded Needs: Staffing, Training, and Software 2

3. Fiduciary Cost Center, Page 34 Fiduciary Cost Center captures city-wide items including terminal leave payouts (retirees), vacancy savings estimate, certain City utility expenditures, transfers to other funds, and the Ending Fund Balance Personal Services: Other Pay line item of $923,151 includes funding for: 2 Police Officers ($200K) 2 Fire Fighters ($150K) Custodian ($37,458) GIS Database Administrator ($37,020 and other half in Utility Fund) Police Record Technician ($40,165) Compensation Study ($600,000 + $50,000 based on Mayor’s comments) Salary savings budget for General Fund is estimated at $1,500,000 Terminal leave payouts budgeted at $550K based on anticipated retirements Materials and Services: $707,071 Transfers of $1.7M reflects all transfers to appropriate funds, including: $100K to Computer Software Fund for Citywide computer upgrades $200K to Infrastructure Fund for Pavement Preservation $1.1 million to MPEC Fund for the Event Center 3

4. Special Funds: FY14 Recommended Fund NameBFBRevenuesExpenditures & Transfers % Change (vs. FY13) EFB SAD Operations (227)$33,043$56,232$65,558-26%$23,717 Higher Education GRT(263) $3,649,336$2,079,123$1,613,000-16%$4,115,459 RREDC Agency (710)$0$10,000 -9%$0 GRIP (730)$0$301,866 0%$0 HUD – CDBG (375)$0$300,000 -26%$0 Facility Improvement/ Replacement (313) $19,338$123,812$143,150+20%$0 SAD 5 Fund (362)$4,932$0$4,9320%$0 SAD 6 Fund (363)$1,000,667$680,228$581,429-42%$1,099,466 SAD 7 Fund (364)$1,000,667$680,228$1,082,4290%$1,680,895 4

5. Special Funds: FY14 Recommended Fund NameBFBRevenuesExpenditures & Transfers % Change (vs. FY13) EFB SAD 8 Fund (365)$263,918$133,544$132,2880%$265,174 GO Bond Debt Service (401) $2,901,130$3,233,959$3,680,671-4%$2,454,418 2005 GRT Debt Service (424) $123,783$1,693,274$1,751,1380%$65,919 NMFA GRT Refund Loan (425) $1,753$333,589$334,0980%$1,244 HP Debt Service (426)$44,237$415,238$431,664-1%$27,811 High School Debt Service (427) $16,637$422,028$437,473+1%$1,192 5