1. WHAT IS “HOME RULE”?

2. State Expenditure Limitation
Arizona Constitution
State Expenditure Limitation
(Base Limit set in , adjusted annually for population & inflation)
A.R.S. § Created Options:

3. State Expenditure Limitation
Arizona Constitution
State Expenditure Limitation
(Base Limit set in , adjusted annually for population & inflation)
A.R.S. § Created Options:
Alternative Expenditure Limitation (Home Rule)
Permanent Base Adjustment (Auditor General Approval)
One-Time Override (City Council Resolution)
Requires citizens vote every four years or reverts to State Expenditure Limitation
Requires citizens vote to increase State Expenditure Limitation and must be done in even years
Requires citizens vote and can be done in May, 2019

4. State Expenditure Limitation
Arizona Constitution
State Expenditure Limitation
(Base Limit set in , adjusted annually for population & inflation)
A.R.S. § Created Options:
Alternative Expenditure Limitation (Home Rule)
Permanent Base Adjustment (Auditor General Approval)
One-Time Override (City Council Resolution)
Requires citizens vote every four years or reverts to State Expenditure Limitation
Requires citizens vote to increase State Expenditure Limitation and must be done in even years
Requires citizens vote and can be done in May, 2019

5. State Expenditure Limitation
Arizona Constitution
State Expenditure Limitation
(Base Limit set in , adjusted annually for population & inflation)
A.R.S. § Created Options:
Alternative Expenditure Limitation (Home Rule)
Permanent Base Adjustment (Auditor General Approval)
One-Time Override (City Council Resolution)
Requires citizens vote every four years or reverts to State Expenditure Limitation
Requires citizens vote to increase State Expenditure Limitation and must be done in even years
Requires citizens vote and can be done in May, 2019

6. Publicly Available Sources
City of Sedona
Publicly Available Sources
Comprehensive Annual Financial Reports
Tentative Budget
Estimated Amounts To Be Expended

7. “Effect” of the 2014 Voter
Approval of Home Rule

8. With 2% Population Growth Since 2000
2017 Est.
10,397
2000
10,168
2014
10,281

9. General Fund Expenses FY 2012/13 - FY 2018/19
City of Sedona
General Fund Expenses FY 2012/13 - FY 2018/19
Millions
“Home Rule”
Audited Actual
Estimated Actual
Tentative Budget
+90%

10. Personnel Expenses FY 2012/13 - FY 2018/19
City of Sedona
Personnel Expenses FY 2012/13 - FY 2018/19
Millions
“Home Rule”
Audited Actual
Estimated Actual
Tentative Budget
+63%

11. Full-Time Equivalent Employees FY 2012/13 - FY 2018/19
City of Sedona
Full-Time Equivalent Employees FY 2012/13 - FY 2018/19
“Home Rule”
Audited Actual
Estimated Actual
Tentative Budget
+20%

12. Bed Tax Collected vs Chamber Received
City of Sedona
Bed Tax Collected vs Chamber Received
FY 2012/13 - FY 2018/19
Millions
“Home Rule”
Audited Actual
Estimated Actual
Tentative Budget
Chamber Funded
3.0% City Bed Tax
Chamber received 0%
3.5% City Bed Tax
Chamber received 55%

13. Alternative Expenditure Limitation vs State Expenditure Limitation
City of Sedona
Alternative Expenditure Limitation vs State Expenditure Limitation
FY 2016/17 - FY 2019/20
$(Millions)
Fiscal Year
Actual
Est. Actual
Budget
Estimate
Personnel Expenses
$10.7
$12.1
$13.2
$13.3
Supplies and Services
9.6
10.7
11.8
Capital & Debt Service
6.7
6.8
6.6
5.7
Capital Improvements
5.5
8.4
13.0
15.8
Internal Charges -
1.6
1.7
Contingencies
1.2
Alternative Expenditure Limitation (Home Rule)
$32.5
$39.7
$47.5
$49.5
State Expenditure Limitation
$27.1
$23.2
$21.9
$24.3

14. Alternative Expenditure Limitation
City of Sedona
Alternative Expenditure Limitation
FY 2019/20 - FY 2022/23
Millions
Home Rule Fails
Home Rule Passes

15. State Expenditure Limitation
Arizona Constitution
State Expenditure Limitation
(Base Limit set in , adjusted annually for population & inflation)
A.R.S. § Created Options:
Alternative Expenditure Limitation (Home Rule)
Permanent Base Adjustment (Auditor General Approval)
One-Time Override (City Council Resolution)
Requires citizens vote every four years or reverts to State Expenditure Limitation
Requires citizens vote to increase State Expenditure Limitation and must be done in even years
Requires citizens vote and can be done in May, 2019

16. FY 2019-20 State-Imposed Expenditure Limitation
City of Sedona
FY State-Imposed Expenditure Limitation
Current Limitation
Millions
Population
Inflation
Projected
Estimated
Total
Base Limit
Factor
Limitation
Exclusions
Current
$2.96
1.50
3.04
$13.50
$10.80
$24.30

17. FY 2019-20 State-Imposed Expenditure Limitation
City of Sedona
FY State-Imposed Expenditure Limitation
Permanent Base Adjustment (PBA)
Millions
Population
Inflation
Projected
Estimated
Total
Base Limit
Factor
Limitation
Exclusions
Current
$2.96
1.50
3.04
$13.50
$10.80
$24.30
PBA
$2.58
$11.70 $

18. FY 2019-20 State-Imposed Expenditure Limitation
City of Sedona
FY State-Imposed Expenditure Limitation
New Limitation
Millions
Population
Inflation
Projected
Estimated
Total
Base Limit
Factor
Limitation
Exclusions
Current
$2.96
1.50
3.04
$13.50
$10.80
$24.30
PBA
$2.58
$11.70 $
New
$5.54
$25.20
$36.00

19. Alternative Expenditure Limitation
City of Sedona
Alternative Expenditure Limitation
FY 2019/20 - FY 2022/23
Millions
Home Rule Fails
Home Rule Passes
Permanent Base Adjustment Passes

20. City of Sedona
Expenditure Levels
Millions
Home Rule Passes

21. Elections Calendar
Home Rule /28/18
Permanent Base Adjustment /06/18
One-Time Override /19/19
Permanent Base Adjustment /24/20

22. Calendars 01/01/18 01/01/19 01/01/20 01/01/21 CY 2018 CY 2019 CY 2020
07/01/18
07/07/19
07/01/20
07/01/21 FY FY FY

23. Calendars 01/01/18 01/01/19 01/01/20 01/01/21 CY 2018 CY 2019 CY 2020
07/01/18
07/07/19
07/01/20
07/01/21 FY FY FY

24. Calendars 01/01/18 01/01/19 01/01/20 01/01/21 CY 2018 CY 2019 CY 2020
07/01/18
07/07/19
07/01/20
07/01/21 FY FY FY
08/28/18
11/06/18
05/19/19
08/24/20 FY
Home Rule
Vote FY
Permanent
Base Adjust.
Vote FY
One-Time
Override
Vote FY
Permanent
Base Adjust.
Vote

25. Timetable Date Days Task 06/05 154 Proposal to Auditor General
06/ Approval from Auditor General
07/ Petition to Secretary of State
09/ Voter Pamphlet
10/ Initiative Ballot
11/ Election Day

26. State Expenditure Limitation
Arizona Constitution
State Expenditure Limitation
(Base Limit set in , adjusted annually for population & inflation)
A.R.S. § Created Options:
Alternative Expenditure Limitation (Home Rule)
Permanent Base Adjustment (Auditor General Approval)
One-Time Override (City Council Resolution)
Requires citizens vote every four years or reverts to State Expenditure Limitation
Requires citizens vote to increase State Expenditure Limitation and must be done in even years
Requires citizens vote and can be done in May, 2019