1. Budget Work Session Fiscal Year 2020
“The only thing worse than being blind is having sight but no vision.”
Helen Keller

2. GENERAL FUND Projected Beginning Balance $ 2,500,000
Projected Revenues $ 25,298,355
Projected Expenditures $(25,446,569)
Projected Fund Balance $ 2,351,786

3. GENERAL FUND - REVENUE
Staff has projected sales tax revenue to increase by 4%. The City is projected to experience the same stable sales & use tax growth.
The General Fund has maintained a healthy reserve averaging 13% in the current fiscal year 2019.
New housing starts plan to exceed previous fiscal years.
The General Fund is the City’s primary operating fund and the source of day-to- day operations.
The General Fund is significantly reliant on sales tax revenues for operations.
It is used to account for all activities except those legally required to be accounted for in other funds.

4. PROJECTED SALES TAX REVENUE
FY 14 $ 9,160,774
FY 15 $ 9,708,037
FY 16 $ 9,926,248
FY 17 $10,149,750
FY $10,699,594
FY 19 $11,300,000 (Projected YTD as of 5/8/2019)
FY 20 $11,755,000 (Proposed FY20 budget)
ACTUAL AMOUNT $ 587,485

5. GENERAL FUND - EXPENDITURES

6. GENERAL FUND EXPENDITURES CHANGES
FY Operational budget changes include amendment to City Attorney contract, an additional School Resource Officer, and (3) new firefighters due to new SAFER grant.
Step increases for all eligible employees including both the Police and Fire Departments.
Fraternal Order of Police employees will receive a 1% COLA on July 1, 2019 and an additional 1% COLA on January 1, 2020.
Health plan decreased by 15% which is a costs savings of $126k.
Pension Funds (No Change) - Oklahoma Municipal Retirement Fund (11.79%), Police (13%), and Fire (14%).
Financing the City’s operations.

7. GENERAL RESERVE FUND Projected Beginning Balance $ 60,000
The General Reserve Fund was established by Resolution Original funding was deposited from other funds for maintenance of city facilities, infrastructure, and other capital purchases.
Ordinance No was approved on July 15, to levy a tax of (5%) on the rental of hotel and motel rooms within the City limits. All taxes collected shall be deposited into the City’s General Fund.
The City Council shall determine on a yearly basis the use of the room tax funds.
Projected Beginning Balance $ 60,000
Projected Revenues $ 80,310
Projected Expenditures $ (19,500)
Projected Fund Balance $ 120,810

8. Reference budget pg. 98 for expenditure detail.
IMPOUND FEE FUND
Impound fee of $100 was established on May 8, (Ordinance No. 1102).
Funds are restricted for dispatch, jail, records clerks, training, and enforcement of traffic safety.
Reference budget pg. 98 for expenditure detail.
Projected Beginning Balance $ 35,000
Projected Revenues $ 26,225
Projected Expenditures $( 14,500)
Projected Fund Balance $ 46,725

9. PARK IMPROVEMENT FUND Projected Beginning Balance $ 60,000
The Park Improvement Fund is used to account for the revenue received from business licenses ($15 per license) required by Ordinance; $20 fines/bonds collected; and park fees from subdivisions.
Funds are restricted for improvements to and development of the park system.
Projected Beginning Balance $ 60,000
Projected Revenues $ 79,260
Projected Expenditures $ (74,500)
Projected Fund Balance $ 64,760

10. PARK IMPROVEMENT FUND PROJECTS
$6,500 Miscellaneous items
$6,500 Park signage for Wild Horse Park
$15,000 Landscaping & sprinkler lines for Town Center
$12,000 Swing set at Elliott Park
$9,500 Fountain at Wild Horse Park
$25,000 Master Trail Plan
Total Projects: $74,500

11. ALCOHOL ENFORCEMENT FUND
On June 4, 2013, Ordinance No established the Alcohol Enforcement Fund to account for $50 of each alcohol-related fine.
Funds are used to enforce laws relating to juvenile access to alcohol and other intoxicating substances.
Reference budget pg for expenditure detail.
Projected Beginning Balance $ 7,000
Projected Revenues $ 3,030
Projected Expenditures $( 7,000)
Projected Fund Balance $ 3,030

12. LIBRARY FUND Projected Beginning Balance $ 20,000
The Library Fund is used to account for restricted state grant agreements and fines generated as a result of overdue library materials.
Funds are used for library operations, local programs, and capital purchases.
Projected Beginning Balance $ 20,000
Projected Revenues $ 16,320
Projected Expenditures $( 15,000)
Projected Fund Balance $ 21,320

13. TRAFFIC ENFORCEMENT FUND
Projected Beginning Balance $ 65,000
Projected Revenues $ 60,310
Projected Expenditures $(24,000)
Projected Fund Balance $101,310
In 2006, Ordinance No established the Traffic Fund, amended by Ordinance No. 1146, April 18, 2017.
Any person convicted in a traffic offense shall pay the court $20 as a separate fee.
Funds are for the sole purpose of the purchase of police equipment, specialized training of law enforcement officers and programs to enforce state and local traffic laws.
Reference budget pg. 124 for expenditure detail.

14. EMPLOYEE FLEX SPENDING FUND
The City offers its employees a Flexible Spending Program, which is allowable under Internal Revenue Code, Section 125.
The program allows employees to deposit a portion of their pre-tax income into the account maintained for health care expenditures.
Projected Beginning Balance $ 7,000
Projected Revenues $ 4,000
Projected Expenditures $( 4,000)
Projected Fund Balance $ 7,000

15. PARK & RECREATION DONATION FUND
Projected Beginning Balance $ 25,000
Projected Revenues $ 45,210
Projected Expenditures $(17,000)
Projected Fund Balance $ 53,210
The Parks & Recreation Donation Fund is used to account for specified donations that are restricted for the use of park and recreational events/projects.

16. POLICE TECHNOLOGY FEE FUND
The Police Technology Fee of $25 per citation is used to account for electronic fingerprinting, E- ticketing solutions, computers and wireless connection costs for police vehicles and ongoing technology maintenance.
Ordinance No was established on April 18, (legislative restriction).
Reference budget pg. 139 for expenditure detail.
Projected Beginning Balance $ 50,000
Projected Revenues $ 72,350
Projected Expenditures $(111,700)
Projected Ending Balance $ 10,650

17. STREET & DRAINAGE FUND Projected Beginning Balance $ 980,000
The Street/Drainage Improvement Fund is a special revenue fund used to account for the proceeds of specified revenue sources that are restricted or committed to expenditures for street projects and repair.
Projected Beginning Balance $ ,000
Projected Revenues $ ,120
Projected Expenditures $( 334,816)
Projected Fund Balance $ ,304
Street & Drainage Projects included in the FY20 budget:
$15,000 engineering on streets/drainage
$60,000 contractual services
$56,770 remaining Curtis Park street project
$27,046 ROW/utility relocation on State Highway 152
$116,000 signalization at corner of East Plantation & Mustang Road
$10,000 residential speed tables
$50,000 – (2) City welcome signs

18. PERSONAL SERVICE (10% PUBLIC SAFETY PERSONNEL) FUND
Mustang citizens voted on August 23, to extend the 4th penny sales tax for a 13-year period.
The Personal Service Fund collects 10% of the 4th penny sales tax which is restricted for personnel costs associated to public safety.
Projected Beginning Balance $ 80,100
Projected Revenues $ 296,000
Projected Expenditures $(296,100)
Projected Fund Balance $ ,000

19. POLICE NARCOTICS ENFORCEMENT FUND
The Police Narcotics Enforcement Fund is used to account for fines and fees restricted for the sole purpose of funding equipment and drug testing kits, education, training and scientific development of police personnel and canine development.
Ordinance No was established on April 3, 2018 to remit monies collected ($100 drug analysis fee for possession of controlled dangerous substance) to the Police Narcotics Enforcement Fund.
Reference budget pg. 155 for expenditure detail.
Projected Beginning Balance $ 9,000
Projected Revenues $ 14,030
Projected Expenditures $ ( 5,000)
Projected Fund Balance $ 18,030

20. JUVENILE FUND Projected Beginning Balance $ 10,000
Juvenile fines are restricted for local programs which address problems of juvenile crimes; costs of prosecution; detention, administrative costs related to local programs that address juvenile crime.
Resolution No established March 5, 2019.
Reference budget pg for expenditure detail.
Projected Beginning Balance $ ,000
Projected Revenues $ ,000
Projected Expenditures $ ( 9,000)
Projected Fund Balance $ ,000

21. In State law, this fund is referred to as the Sinking Fund.
DEBT SERVICE FUND
The City Debt Service Fund is used to account for ad valorem taxes levied for use in retiring general obligation bonds, court- assessed judgments, and their related interest and fiscal agent fees.
In State law, this fund is referred to as the Sinking Fund.
The General Obligation Bonds funded the Ball Field $1.550M and Town Center Expansion $2,050M projects.
Projected Beginning Balance $ 200,000
Projected Revenues $ 317,020
Projected Expenditures $(298,520)
Projected Fund Balance $ 218,500

22. LIMITED PURPOSE FUND - CAPITAL
The Limited Purpose Fund is a capital project fund used to purchase capital outlay, including the acquisition or construction of capital facilities, or other capital assets.
The restricted 3rd penny sales tax collected in excess of debt payments are restricted for sanitary sewer facility, water systems, and capital projects (Ordinance No. 532).
Resolution amended to read ‘10% of sales tax revenue received in excess of $800,000 per month’.
Projected Beginning Balance $ 1,300,000
Projected Revenues $ 1,688,050
Projected Expenditures $(1,410,088)
Projected Fund Balance $ 1,577,962

23. LIMITED PURPOSE FUND – CAPITAL OUTLAY SPENDING
City Council- Audio/Video upgrade ($22,531);
City Management – desktop computer ($1,800), Activation of Online Application Tracking & Onboarding System for Human Resources ($2,000);
Library – (15) Dell OptiPlex computers ($5,470), bill/coin acceptor ($3,065), (2) laptop computers ($1,040);
Parks and Recreation – 15 seat passenger van for seniors ($29,700), upgrades to rock wall new floor and repaint ($7,500), cardio and weight room equipment ($7,000), security alarm system ($9,500), curtain dividers between gym & pads behind basketball goals ($4,500), upgrade to Wild Horse Park restrooms ($20,000), lighting of football ($150,000);
Town Center – new lighting in entrance and Senior Center area ($5,600), new HVAC units ($40,000), painting of banquet hall ($9,990), painting of arch and sign on ($2,400);
Ball Complex – (2) shade structure for Sports Complex ($20,000), utility cart ($12,000), security light repair for Softball Complex ($10,000);

24. LIMITED PURPOSE FUND – CAPITAL OUTLAY SPENDING (Cont’d)
Aquatic Center – Restroom improvements ($5,000), Aquatic Field Study ($12,750), painting of water play structures ($2,500), replace buckets of play feature ($2,400), floatable item in beachfront ($12,000);
Community Development – Incode Community Development Software ($66,875), (2) Desktop computers for inspectors ($2,718);
Police – replace AC rooftop unit ($44,000), camera replacement project ($40,000), records file storage ($25,000), Windows 7 to 10 conversion ($11,450), lease-purchase payment ($77,290), 2019 lease-purchase payment ($38,010);
Animal Welfare – (2) upgrade Windows 7 computers ($700), tranquilizer gun, charger, and projectiles ($1,350);
Fire – (13) replacement of SCBA’s pack ($77,389), (30) replacement of cylinders ($36,330), (24) replacement of masks ($6,864), (2) replacement of RIT bags ($6,166), 2019 lease-purchase interest payment ($64,700);

25. LIMITED PURPOSE FUND – CAPITAL OUTLAY SPENDING (Cont’d)
Streets – concrete panel replacement ($30,000, as needed), additional sidewalks ($20,000), asphalt overlays ($120,000, as needed);
Water – water meters ($20,000), replace flooring at the Public Works Offices ($22,500);
Sewer – Lift Station 4 upgrades ($300,000)
TOTAL CAPITAL REQUEST: $1,410,088

26. Projects funded by the 2017 construction note:
2017 SERIES NOTE
July 11, 2017, the City issued the Utility System and Sales Tax Revenue Note, Series in the amount of $11,615,000.
Projects funded by the construction note:
Public Safety – Emergency Operation Center (construction), upgrade dispatch system, public safety vehicles & equipment, and Animal Shelter
Road & Streets – SW 89th Street widening (partial funding), Sara Road widening, and overlay residential streets
Quality of Life – Town Center Expansion (partial funding), splash pad, (2) soccer field lighting, and Mustang Market Place
Projected Beginning Balance $ ,000
Projected Revenues $ 1,050,000
Projected Expenditures $(1,002,420)
Projected Fund Balance $ ,580

27. 90% CAPITAL EXCESS (4TH PENNY)
Mustang citizens voted on August 23, 2016 to extend the 4th penny sales tax for a 13-year period.
The 90% Capital Excess Fund collects the 90% allocation of revenues after the & 2017 debt service payments.
The 4th penny excess is restricted for early pay off of debt.
Projected Beginning Balance $ ,000
Projected Revenues $ ,000
Projected Expenditures $ ( )
Projected Fund Balance $ 1,339,880

28. 2016 SERIES NOTE Projected Beginning Balance $ 405,000
In October 2016, the City issued the Utility System and Sales Tax Revenue Note, Series in the amount of $13.385m.
The following projects are funded with the 2016 Notes:
Public Safety – Design of the Emergency Operation Center
Infrastructure – WWTP Phases C&D
Road & Streets – SW 89th Street Widening (partial)
Quality of Life – All Inclusive Playground & Town Center Expansion (partial)
Projected Beginning Balance $ ,000
Projected Revenues $ 1,193,000
Projected Expenditures $( 1,185,810)
Projected Fund Balance $ ,190

29. S. Mustang Road – widening
2014B SERIES NOTE
In December 2014, the City issued the Series 2014B and pledged the net utility revenues and four cents of sales tax.
The 2014B Note of $7,985,000, with Branch Banking and Trust Company (BB&T).
Projects Included:
S. Mustang Road – widening
WWTP – Phases A&B
Raw Water Quality
Projected Beginning Balance $ ,000
Projected Revenues $ 1,143,000
Projected Expenditures $ (1,140,325)
Projected Fund Balance $ ,675

30. MUSTANG IMPROVEMENT AUTHORITY
The Mustang Improvement Authority (MIA) was created June 4, 1963 to finance, develop and operate the water, sewer and solid waste activities.
These activities are financed primarily by user charges and similar to the private sector.
This fund accounts for activities of the public trust in providing water, wastewater, sanitation, and recycling to the public.
Projected Beginning Balance $ 3,000,000
2014B Restricted Carryover $ 3,080,740
2016 Restricted Carryover $ 4,963,651
2017 Restricted Carryover $ 9,804,867
Projected Revenues $ 21,896,459
Projected Expenditures $(21,896,459)
2014B Construction Loan Projects $( 3,080,740)
2016 Construction Loan Projects $( 4,963,651)
2017 Construction Loan Projects $( 9,804,867)
Projected Ending Fund Balance $ 3,000,000

31. MUSTANG IMPROVEMENT AUTHORITY - REVENUES

32. MUSTANG IMPROVEMENT AUTHORITY - EXPENDITURES

33. RISK MANAGEMENT FUND Projected Beginning Balance $ 525,000
 The Internal Service Fund (Worker’s Compensation Fund) is used to account for self- insured worker’s compensation claims.
Projected Beginning Balance $ ,000
Projected Revenues $ ,500
Projected Expenditures $ (201,000)
Projected Fund Balance $ ,500

34. MIA Reserve Fund Projected Beginning Balance $ 430,000
The MIA Reserve Fund is used for maintenance, infrastructure, and capital purchases for the enterprise funds. On an annual basis 33 1/3% of the connection fees will be appropriated for operating and maintaining utility systems, and 66 2/3% of connection fees for expanding and upgrading water and sewer utilities.
Ordinance No added $4.50 per month for each utility account for capital improvements to water and wastewater facility and line maintenance and construction.
Projected Beginning Balance $ 430,000
Projected Revenues $ 443,000
Projected Expenditures $ (260,250)
Projected Ending Fund Balance $ 612,750
FY 2020 Water & Sewer Capital Projects:
$150,000 Rockwell water tank
$ 22,500 Sewer line root control
$ 10,000 Sewer camera work
$ 7,750 Annual service on (10) generators
$ 50,000 Inframark maintenance caps
$ 20,000 Engineering fees on water & sewer projects

35. Sewer Impact Fund Projected Beginning Balance $1,070,000
The Sewer Infrastructure Impact Fund is used to account for fees established per house top to developers.
Funds are used to pay the Series Clean Water SRF Note to OWRB dated June 8, 2009, maturity date May 15, and future indebtedness.
Projected Beginning Balance $1,070,000
Projected Revenues $ 530,000
Projected Expenditures $( 679,400)
Projected Ending Fund Balance $ 920,600