2008 Adopted Budget with Comparison to 2007 Adopted Budget (pdf)

REVENUES

Ad Valorem Tax Revenue – The amount of money received from property taxes. By Florida law EFR is not allowed to budget less than 95% of this total. In 2008 we are budgeting 100%.
 
Federal Grant – Funds received from federal grants.
 
State Share Revenue – Education incentive funding received from a State Fire Marshal Trust Fund that is passed on to applicable employees holding certain degrees. 
 
State Grant Revenue – Funds received from state grants.
 
EMS Standby – Funds received from local agencies for emergency standby services.
 
Public Safety Classes – Funds received from CPR and related course instruction.
 
Inspection Fees – Funds received for inspection fees and related Prevention services.
 
Operating Interest  – Interest earnings on cash and investments.
 
Ambulance Bay Rent – Funds received from Lee County EMS for common area maintenance.
 
Other Miscellaneous Revenue – Administrative fees for union dues and child support; workers compensation reimbursements; fees for public information requests; reimbursements for prior year expenses, etc.

EXPENDITURES

Personnel Services
 
Regular Salaries – Wages paid based on customary compensation.
 
Other Salaries – Compensation paid for EMS Stand-by; Safety Watch; BLS Instructors
 
Overtime – Compensation paid for hours worked beyond normal shifts.
 
Special Pay – Compensation paid for Education (see State Share Revenue above); working on holidays; longevity; and Paramedic Incentive
 
Social Security, Medicare & Unemployment –Taxes and fees paid to the State and Federal government.
 
Retirement – Funds contributed to employee retirement programs.
 
Life, Health Insurance – Cost of funding employee medical insurance.
 
Workers Compensation – Cost of providing workers compensation insurance.

Operating Expenditures
 
Professional Services – Cost for annual physicals; Legal Services; Medical Director; etc.
 
Accounting and Auditing – Cost of auditing an accounting services.
 
Travel/Accom/Per Diem – Cost for travel, lodging and meals, both in town and out of town.
 
Communications – Cost of pagers; cellular phones; telephones; radios; shipping and postage.
 
Utilities – Electric, water, waste disposal, etc.
 
Rental Leases – Storage rent
 
Insurance Coverage – Insurance cost such as motor vehicle; general liability; property; bonds; accident/spec risk; etc. 
 
Repair and Maintenance – Cost to maintain vehicles; equipment; facilities; etc. 
 
Printing – Cost of outsourced printing.
 
Promotional Activities – Cost of providing general merchandise; open houses; dedications; etc.
 
Other Current Charges and Obligations – Cost of legal advertising; bank charges; required licenses; etc. 
 
Office Supplies – General office supplies.
 
Operating Supplies – Uniforms; personal protective equipment; medical supplies; prevention/education materials; CERT supplies; fuel; CPR supplies; uniforms, station supplies; small tools; batteries; chemicals; etc. 
 
Publications/Memberships/ Training Classes – Memberships in professional and community organizations; training classes; contracted training; education reimbursement; text books; manuals; subscriptions; etc. 
 
Contingency – amounts budgeted for unforeseen expenses.
 
Capital Outlay – Equipment that has a value of $1,000 and a life expectancy of three years or more such as computers; equipment; vehicles; facilities; etc.
 
Other Financing Sources and Uses
 
Compensation for loss of capital assets – to record the loss of an asset that is incurred when an asset with book value is disposed without adequate salvage value.
 
Proceeds from sale of capital assets – funds received when assets are sold.
 
Interfund Transfer – amounts that are budgeted to be transferred to the Capital Improvement Fund to support the Capital Improvement Program. (Asset replacement)
 
Capital Contributions – used to record the market value of those assets donated to EFR.
 
Fund Balance – Beginning – The estimated amount of fund balance for the year preceding the budget year.
 
Fund Balance – Ending  – The estimated amount of fund balance for the budget year.

2007-2008 Budget

The following is the Adopted Budget for Estero Fire Rescue for the budget year beginning on October 1, 2007 and ending September 30, 2008.

Highlights and Analysis

The Highlights of Estero Fire Rescue’s (EFR) proposed budget is designed to identify improvements in services and significant expenditures. The Analysis is designed to identify material and significant changes from the prior year budget and the issues related to those changes. Explanations of variances greater than 20% AND $10,000 have been provided.

HIGHLIGHTS

General Fund Income

·  Propose 2.00 mils will increase Ad Valorem by $2.9M

·  Propose 1.8421 mils (roll-back rate) will increase Ad Valorem by $1.8M

·  Propose 1.7868 mils (roll-back rate less 3%) will increase Ad Valorem by $1.5M

General Fund Expenditures

·  No additional positions

·  Continue to improve emergency response through the installation of four (4) additional mobile computers in emergency response vehicles at an estimated cost of $19,970 ($12,305 carried over from prior year).

·  Replace four (4) existing computers that have reached the end of their life expectancy at an estimated cost of $7,800.

·  Contribute $150,000 towards the construction of an emergency signal at Coconut Point Station.

·  Purchase equipment for emergency traffic preemption for an estimated cost of $20,000.

·  New vehicles are budgeted at a cost of approximately $290,000 including 4 support vehicles totaling $133,000 and a rescue vehicle for approximately $157,000.  The rescue vehicle was budgeted in the prior year but due to a delay in receiving the vehicle, the budget was carried over to the current proposed budget.

·  Significant emergency equipment budgeted is a cardiac monitor for approximately $15,000.

·  Significant repairs and facility maintenance is painting station 3 for approximately $15,000 and upgrade 2 stoves from electric to LPG for approximately $20,000.

Capital Projects Fund

·  Continue the process of constructing an administrative office building to improve the overall operation of the organization.  Budget of $4,908,648 has been included for an overall estimated project cost of $5,391,509. 

·  Additionally, management will be researching the purchase of land in the east section of the district.

Impact Fee Fund

Continue annual debt service of approximately $1,245,944; this includes additional debt of $4M.

ANALYSIS

The following conclusions are based on a comparison of currently proposed budget compared to the prior year budgeted amount. Specific explanations have been provided for those variances exceeding 20% and $10,000.

General Fund Income

Interest earnings budget has been increased to reflect the rise in interest rates and the volume of dollars which EFR receives and maintains in investment accounts due to establishing reserves. Historically, management budgeted very conservatively based on lower fund balances, however, now that fund balances are rising, management has elected to budget less conservatively at 50% of the actual current year projection at September 30, 2007. Interest earnings are budgeted conservatively in the year earned and budgeted as fund balance carryover in the subsequent year. 

General Fund Expenditures

Personal Services

Personnel costs are budgeted at $8,598,560 representing 74.3% of the total General Fund operating budget excluding reserve amounts. Typically personal costs represent at least 80% of service providers overall operating costs, however, the General Fund capital budget is more significant this year compared to previous years due to managements need to accelerate the implementation of a capital improvement program.  The personal services budget provides funding for 69 current positions.  The significant reason for the increase of $1,104,000 is due to negotiating a new three year bargaining unit contract with an approximate increase of $500,000; the surplus in the firefighters retirement plan has been spent and therefore we are now budgeting to pay the full actuarial recommended contribution amount of 18% versus the 10% that we have been paying; a decrease of $166,000 budgeted for workers compensation insurance; and an increase in the budget for the health plan.  The self insured health plan estimated maximum exposure actually decreased by 3.8% for the upcoming plan year.  However, the budgeted increase represents the disparity in the prior budget year and the prior premium period.  The new plan year is now aligned to the fiscal year so budget can be prepared more accurately. 

Capital Outlay

Budget includes $930,000 for the Administration Building or purchase of land in the east section of the district.  This amount could be available if the 2.00 mil is adopted.  If the roll back rate of 1.8421 mil is adopted, the available budget for these expenditures decreases to approximately $75,000 and is eliminated if the 1.7868 mil is adopted.  However, a loan has been obtained for the construction of the administration building and a portion of the loan has been left at a variable rate.  This was done in the event other funds are available, the full amount of the loan will not have to be drawn down.

Other Financing Sources (Uses)

A transfer in the amount of $700,000 is budgeted to support the Capital Improvement Program, however, due to budget constraints, only the necessary asset replacement purchases would be considered and less priority items would be delayed.  The Capital Improvement Program was designed during the implementation of the 5 Year Plan.

Fund Balance

Fund Balance will be determined by the millage rate adopted by the Board.  However, each budget presented represents compliance with the Undesignated Fund Balance and Reserve Policy adopted in 2007.