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HomeMy WebLinkAboutAgenda CC 03.14.2017 WorkshopNotice of M eeting of the Governing B ody of the City of Georgetown, Texas M arch 14 , 2 0 1 7 The Ge orgetown City Council will meet on March 1 4, 2017 at 3:00 PM at City Co uncil Chambers, 101 E. 7th St., Geo rgeto wn, Texas The City o f Georgetown is committed to co mpliance with the Americans with Disabilities Act (ADA). If you re quire assistance in participating at a public meeting due to a disability, as defined under the ADA, reasonable assistance, adaptations, or ac c ommo datio ns will be provided upo n request. P lease contact the City Se c retary's Office, at least three (3 ) days prio r to the scheduled meeting date, at (512) 930- 3652 o r City Hall at 113 East 8th Street fo r additional information; TTY use rs ro ute through Relay Texas at 7 11. Policy De ve lopme nt/Re vie w Workshop - A Forwarded fro m the General Government and Finance Advisory Bo ard (GGAF): Workshop discussion of the City’s annual year-end external audit and Co mprehensive Annual Financial Report (CAFR) for the fiscal year ended September 30, 20 16 -- Leigh Wallace, Finance Dire c to r B Discussion o f the City’s Quarterly Financial Report, which includes the Investment Reports for the City o f Georgetown, Georgeto wn Transpo rtation Enhancement Corpo ratio n (GTEC), and the Geo rgeto wn Economic Developme nt Corpo ration (GEDCO) for the quarter ended December 31, 2 01 6 -- Leigh Wallace, Finance Dire c to r. C Prese ntation of the FY2018 Budget P rocess and proposed Worksho p Calendar -- P aul Diaz, Budget Manager D Discussion regarding the Georgeto wn Transpo rtation Advisory Board ac ting as the committee that will review the City of Georgetown’s Pavement Management Program -- Octavio A. Garza, P.E. C.P.M, Public Works Director E Prese ntation and discussion of the 2 01 7 Transit Service Plan Name Brand Development and Open Ho use Preparation -- Nat Waggo ner, Transportation Analyst, P MP®, AICP, Keith Hutc hinson, Public Communication Manager Exe cutive Se ssion In compliance with the Open Meetings Ac t, Chapter 551, Government Co de , Verno n's Texas Codes, Annotate d, the items listed below will be discussed in closed session and are subject to action in the regular se ssio n. F Se c . 55 1.0 71 : Consul tati on wi th Atto rney - Advice from attorney about pending or contemplated litigatio n and other matte rs on which the attorney has a duty to advise the City Co uncil, including agenda items Se c . 55 1.0 72 - Del i berati on Regardi ng Real Property - Inne r Loo p P roject - Inner Peac e P arcels 1 ,2,3,4 & 5 (Inner Loop @ FM 14 60 ) Se c . 55 1.0 74 : Personnel Matter s - City Manager, City Attorney, City Secretary and Municipal Judge: Co nsideration of the Page 1 of 135 appointment, employment, evaluatio n, reassignment, duties, discipline, o r dismissal - City Secretary Performance Evaluatio n Adjournme nt Ce rtificate of Posting I, Shelley No wling, City S ecretary for the C ity of Geo rgeto wn, Texas , do hereby c ertify that this Notic e o f Meeting was posted at City Hall, 113 E. 8th Street, a p lac e read ily acc es s ib le to the general pub lic at all times , o n the _____ day of _________________, 2017, at __________, and remained so p o s ted for at leas t 72 c o ntinuo us ho urs p receding the s cheduled time of s aid meeting. __________________________________ Shelley No wling, City S ecretary Page 2 of 135 City of Georgetown, Texas City Council Workshop March 14, 2017 SUBJECT: Forwarded from the General Government and Finance Advisory Board (GGAF): Workshop discussion o f the City’s annual year-end e xternal audit and Comprehensive Annual Financial Report (CAFR) for the fiscal year ended September 30, 2016 -- Leigh Wallace, Finance Director ITEM SUMMARY: P resentation of the final Comprehensive Annual Financial Re port fo r the Fiscal Year Ended September 30 , 2016. The City’s exte rnal auditor, Adam McCane, CPA, with the firm o f Weaver and Tidwell, LLP will also discuss the results of the auditors’ independent audit, compliance with auditing standards, testing over internal c ontrols and fraud risk assessme nt. COMMENTS: Acceptance of this report is included on the c onsent Co uncil agenda. The full CAFR document is attached to the conse nt item. FINANCIAL IMPACT: N/A SUBMITTED BY: Leigh Wallace, Finance Director - SP ATTACHMENT S: Description CAFR Presentation 2016 Page 3 of 135 FY2016 Annual Budget ‘ COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE YEAR ENDED SEPTEMBER 30, 2016 Page 4 of 135 FY2016 Annual Budget ‘ Background & Terms •CAFR -Comprehensive Annual Financial Report •GAAP -Generally Accepted Accounting Principals Rules and standards by which all financial reporting is presented and prepared Not the same as budgetary accounting •GASB -Governmental Accounting Standards Board The oversight body for accounting standards for governmental entities Page 5 of 135 FY2016 Annual Budget ‘ REPORTING REQUIREMENT AND AUDIENCE •Demonstrates fiduciary accountability to citizens, bondholders and granting agencies •Required by state law, City Charter and bond covenants Prepare statements and supplemental information Conduct annual audit •Primary audience is technical, not “average person” Governmental accounting professionals, bond rating analysts, etc. Used to evaluate credit worthiness, economic stability, financial standing Page 6 of 135 FY2016 Annual Budget ‘ Independent Audit •Performed by outside independent audit firm •Selected by Council •Conducted in compliance with Government Auditing Standards •Provides assurance of accurate reporting and financial integrity •Compliance with policies Page 7 of 135 FY2016 Annual Budget ‘ CONTENTS Page 8 of 135 FY2016 Annual Budget ‘ Summary Statement of Net Position (in thousands) 2016 2015 Current and other assets $192,229 $154,266 Capital assets 803,414 740,618 Total assets $995,643 $894,884 Deferred outflows of resources 15,585 $8,049 Total assets and deferred outflows $1,011,228 $902,933 Long-term liabilities 270,572 $223,915 Other liabilities 46,033 38,612 Total liabilities $316,605 $262,527 Net position: Net Investment in capital assets $631,529 $568,265 Restricted 4,958 3,958 Unrestricted 58,135 68,183 Total net position $694,622 $640,406 Total Primary Government Page 9 of 135 FY2016 Annual Budget ‘ Summary Statement of Activities (in thousands) 2016 2015 Revenues: Governmental $83,252 $81,210 Business-Type 143,963 121,554 Total Revenues $227,215 $202,764 Expenses: Governmental 70,171 60,997 Business-Type 102,828 98,226 Total Expenses $172,999 $159,223 Change in net assets 54,216 43,541 Net Assets - Beginning 640,406 590,677 Restatement - 6,188 Net Assets - Ending $694,622 $640,406 Total Primary Govt Page 10 of 135 FY2016 Annual Budget ‘ Modified Approach to Street Assets •Modified Approach adopted in 2005 for streets infrastructure •Option for reporting the condition of the infrastructure instead of depreciating the infrastructure Provide accountability to maintain streets •Council adopted a pavement condition index (PCI) of “85” to maintain the streets in “good” condition Reviewed every 3 years Reviewed in 2014 -current condition rated at 87.5 Page 11 of 135 FY2016 Annual Budget ‘ Comments from External Auditor Adam McCane, CPA Weaver and Tidwell, LLP Page 12 of 135 FY2016 Annual Budget ‘ Audit Summary •Unmodified opinion on the financial statements •Unmodified opinion on internal control and federal awards •New accounting standard implementation •Results of internal control procedures •Required communications •Other items Page 13 of 135 FY2016 Annual Budget ‘ Comprehensive Annual Financial Report For the year ended September 30, 2016 Final document will be available at: City Hall https://finance.georgetown.org/financial-transparency/ Page 14 of 135 City of Georgetown, Texas City Council Workshop March 14, 2017 SUBJECT: Discussion of the City’s Quarterly Financial Report, which includes the Investment Re ports fo r the City of Georgetown, Georgetown Transpo rtation Enhancement Corporatio n (GTEC), and the Georgetown Eco nomic Development Corpo ratio n (GEDCO) for the quarter ended December 31, 20 16 -- Leigh Wallace, Finance Director. ITEM SUMMARY: The Quarterly Financial Report to Counc il is attached. An e xe c utive summary is included to highlight variances with regards to the re venues and an overview of the inve stment portfolio as of December 3 1, 2 01 6. The FY 20 17 CIP Roll Forward Amendment will be reflected in the Second Quarter Report. Major variances in the General Fund compared to the same period last year are re lated to reo rganization of the City departments and a change in timing of transfers to the Inte rnal Service Funds. Staff c ontinue to monito r ove rtime in Fire and EMS regularly. Investment ac tivity for the quarter is primarily the maturity and purchasing of CDs. Bo nd balances will be used in the coming months to fund related capital projects. COMMENTS: Valley View, L.L.C., has prepare d the attached investment reports. The investment ac tivity and strategies describe d in the inve stment report are in compliance with the City’s Investment Polic y and state law. This report me e ts the quarte rly reporting requireme nts mandated by the Public Funds Investment Act. FINANCIAL IMPACT: N/A SUBMITTED BY: Leigh Wallace, Finance Director - SP ATTACHMENT S: Description P res entation Quarterly Financ ial R ep o rt Page 15 of 135 FY2017 Annual Budget Fiscal Year 2017 Q1 Financial Report for the Quarter Ended December 31, 2016Page 16 of 135 FY2017 Annual Budget General Fund •Sales tax collections up 15.7% compared to same period last year •Property tax collections at 50% for the year; remainder come in January •Other revenue (ROI, fees) up 9% due to growth •Expenditures on track for the quarter; accounting change in ISFs compared to prior year Page 17 of 135 FY2017 Annual Budget Major Enterprise •Electric Revenue up 4.2% •Water Revenue up 9% •Hotel Occupancy Tax up 45.7% –Sheraton open •Airport Revenue up 16.4% Page 18 of 135 FY2017 Annual Budget CIP Highlights •Southwest Bypass •Cedar Breaks Elevated Storage Tank •Mays Street •New development for Electric infrastructure •Garey Park and San Gabriel Park Page 19 of 135 FY2017 Annual Budget Investment Highlights 9/30/2016 12/30/2016 Change Total Book Value 123,230,402$ 121,424,358$ (1,806,044)$ Average Yield 0.46%0.56%0.10% 9/30/2016 12/30/2016 Change Total Book Value 26,395,630$ 26,843,346$ 447,716$ Average Yield 0.53%0.63%0.10% 9/30/2016 12/30/2016 Change Total Book Value 9,518,021$ 5,360,186$ (4,157,835)$ Average Yield 0.38%0.56%0.18% CITY GTEC GEDCO Page 20 of 135 Q1 2017 F®ÄƒÄ‘®ƒ½ R›ÖÊÙ㠃ė IÄò›ÝãÛÄã R›ÖÊÙã FÊÙ QçƒÙã›Ù Eė›— D›‘›Ã›Ù χυ, φτυϊ Page 21 of 135 FINANCIAL REPORT AND INVESTMENT REPORT For the Quarter Ended December 31, 2016 Table of Contents Executive Summary .................................................................................................................................... 1-4 General Fund Schedule ................................................................................................................................. 5 Electric Fund Schedule .................................................................................................................................. 6 Water & Rural Water Fund Schedule ............................................................................................................ 7 Council Discretionary Fund Schedule ............................................................................................................ 8 Convention & Visitors Bureau Fund Schedule ............................................................................................... 9 Airport Fund Schedule ................................................................................................................................. 10 Georgetown Transportation Enhancement Corporation Fund Schedule .................................................... 11 Georgetown Economic Development Corporation Fund Schedule ............................................................. 12 Quarterly Investment Report - City ........................................................................................................ 13-27 Quarterly Investment Report - GTEC ...................................................................................................... 28-33 Quarterly Investment Report - GEDCO ................................................................................................... 34-39 Grant Applications ....................................................................................................................................... 40 Capital Improvement Projects ................................................................................................................ 41-46 Long-term Commitments and Other Unfunded Liabilities ..................................................................... 47-48 Page 22 of 135 EXECUTIVE SUMMARY FOR THE QUARTER ENDED December 31, 2016 I. Quarterly Financial Analysis General Fund Revenues: General Fund revenues collected for the first quarter of fiscal year 2017 are stronger than the prior year with a 6.3% increase. The total revenue collected year to date (YTD) for the General Fund is $14.5 million. Sales tax revenues continue to be higher than projected. General Fund sales tax revenues for the first quarter of fiscal year 2017 are 15.7% ahead of the first quarter of fiscal year 2016. The sales tax collections through December totaled $1.0 million, or 8% of budget. The growth in sales tax is primarily driven by increases in our core sectors of retail trade, food, and information, which are positively impacted by population growth. Property tax revenues are typically received during the first two quarters of the fiscal year, with the majority of the taxes being received in December and January. The amount of revenue is based on the assessed value and is estimated using the County Assessor’s data. Any deviations from estimates in this revenue stream are typically related to new construction and delinquency rates. Property tax revenues for the first quarter of 2017 are up 3.3%, or $0.2 million, from the first quarter of 2016. Our collection rate as of December 2016 is 49.3% compared to 51.1% last December. The City collects a 4 – 5% franchise fee on electric, natural gas, cable, and non-cellular telephone revenues provided by entities other than the City. The City has collected $0.7 million through the first quarter of 2017, which is a 7.3% increase from the first quarter of 2016. Franchise fees are typically collected on a quarterly basis and the timing of payments can vary. The City also collects a 3% franchise fee and a 7% return on investment (ROI) fee from City owned utilities, which totaled $0.7 million and $1.9 million respectively, through the first quarter of the fiscal year. Franchise fee and ROI collections are up 3.5% over this time last year. Environmental services revenues are up 5.4% from the first quarter of 2016. This increase is related to the growth in the customer base. Development related revenue is up 20.8% over the prior year. Year to date development applications are down 0.06% from last year. Overall, General Fund primary revenues were strong in the first quarter of fiscal year 2017 and are higher than the prior year. 0 20 40 60 80 100 120 Oc t No v De c Ja n Fe b Ma r Ap r Ma y Ju n Ju l Au g Se p Number of Building Permits 2013 2014 2015 2016 2017 Source: MyPermitNow $400,000 $500,000 $600,000 $700,000 $800,000 $900,000 $1,000,000 $1,100,000 $1,200,000 Oc t No v De c Ja n Fe b Ma r Ap r Ma y Ju n Ju l Au g Se p Sales Tax Revenue 2013 2014 2015 2016 2017 Source: Texas Comptroller of Public 1Page 23 of 135 General Fund Expenditures: General Fund operating expenditures for the first quarter of fiscal year 2017 are 48.0% lower than the same period the prior year due to an accounting change to the frequency of the internal service fund transfers. Transfers are made monthly to smooth out the impact over the year, instead of lump sum at the beginning of the year. Each Division is on pace compared to budget for the first quarter. Total salaries and benefit expenditures through the first quarter were $7.7 million or 23.9.8% of budget. An additional $5.4 million, or 24.6% of budget, was spent on operations. Overall, personnel costs are higher than first quarter 2016 due to the merit increases that went into effect February 2016, as well as increases in Fire overtime. Administration Services includes City Manager’s Office, City Council, City Secretary, Planning and social service funding. Total expenditures for the first quarter were $1.8 million or 32.2% of budget Community Services and Finance provides resources for developing downtown, as well as resources for Parks and Recreation, Convention and Visitors Bureau (CVB), Library, Public Communications and Municipal Court. Year to date expenditures are $2.4 million or 23.5% of budget. The Georgetown Utility System Division includes Environmental Services, Inspections, Public Works and Streets. Environmental Services manages the contract for solid waste collections. Total expenditures through the first quarter were $1.7 million or 18.6% of budget. Total expenditures for Public Safety through the first quarter are 24.9% of budget for a total of $3.6 million. City management, finance and fire staff continue to monitor Fire and EMS overtime every two weeks. Overall General Fund expenditures are within budget and projection. As planned in the budget, General Fund expenditures are slightly higher than revenue, leading to a minor decrease in fund balance. The fund balance is projected to be $8.5 million, covering the 90 day contingency reserve and the Economic Uncertainty Reserve. Utility Revenues: Electric revenue through the first quarter of 2017 is up 4.2% compared to the prior year’s first quarter. Other revenues are up 35.2% from the prior year due to the city collecting reimbursements from developers related to new infrastructure. Total water revenue is up from the prior year by 9.0%. Other water sales are up 42.3% through the first quarter which is largely due to an increase in impact fees for new development in the Western District. Total wastewater revenue is up 17.6% for fiscal year 2017 compared to last year. Wastewater revenues are up 8.0% which is largely due to an increase in impact fees for new development in the Western District. Utility revenues are significantly impacted by growth and weather conditions. The improved economic conditions and housing market continue to positively impact growth-related revenues. Staff will monitor these trends over the upcoming months. Other Revenues: Hotel Occupancy Tax revenue is $205,550, an increase of 45.7% from the prior year due to the Sheraton Hotel. Airport revenue is up 16.4% from the prior year, due to fuel sales and leases. II. Investments The investment activity and strategies described in this report are in compliance with the Public Funds Investment Act (PFIA), City’s investment policy, and generally accepted accounting principles. Activity for the first quarter of fiscal year 2017 includes the maturing of financial institution deposits (CD’s), the purchase of new CD’s, and transfers to favorable money market accounts. Interest rates for money market accounts increased toward the end of the calendar year. 2Page 24 of 135 The Investment Reports for the quarter ended December 31, 2016 and the supporting schedules are attached. Valley View Consulting, L.L.C., has prepared the attached investment reports. A component of our investment advisory services contract includes Valley View preparing the quarterly investment reports on behalf of the City. A summary of the investment balances at December 31, 2016 compared to the prior quarter is shown below for the City as well as Georgetown Transportation Enhancement Corporation (GTEC) and Georgetown Economic Development Corporation (GEDCO). CITY GTEC GEDCO 9/30/16 12/31/16 9/30/16 12/31/16 9/30/16 12/31/16 Total cash and investments $123,230,402 $121,424,358 $26,395,630 $26,843,346 $9,518,021 $5,360,186 Average Yield 0.46% 0.53% 0.60% 0.63% 0.38% 0.56% The City’s strategy continues to be matching maturities with cash flow needs, while focusing on the investment policy’s long range goals. The City’s investment strategy is to “ladder” or stagger maturities, thus minimizing erratic interest rate fluctuations. City portfolio balances have increased in the last few years in direct correlation to the increase in contingency reserves and debt proceeds issued for future capital improvement projects. The City’s investment portfolio includes bank deposits, local government investment pool balances, money market accounts and financial institution deposits. All of these investments carry insurance or an implied backing from the Federal Government. The collateral on all City investments is monitored at least monthly to ensure the financial institutions carry minimum collateral of 102% of market value of the City’s investments. Currently the City does not own any securities due to the market conditions for these types of investments. Once the City begins purchasing securities, the investment officers will obtain from a reliable source the current credit rating for each held investment that has a PFIA-required minimum rating. All securities held by financial institutions as collateral on behalf of the City were reviewed and met PFIA-minimum rating criteria. The City continues its banking fee reduction strategy by retaining higher daily balances at the City’s depository bank. These balances earn credit against the fees charged by the bank versus earning interest on these balances. An analysis has been performed verifying that this method is maximizing earnings by negating fees. The City's investment program is conducted to accomplish the objectives of safety, liquidity, public trust, and yield. It is also the objective of the City to diversify its investments to eliminate the risk of loss resulting from over concentration of assets in a specific maturity, a specific issuer or a specific class of investments. It is the intent of the City to invest its funds to maturity. III. Capital Projects The projects in the Capital Improvement Program (CIP) consist of infrastructure and related construction and do not include small capital items such as furniture, equipment, and vehicle maintenance. Maintenance-type projects are not capitalized as a fixed asset and are usually cash funded. Therefore, they are considered operational in nature and are included in the departmental operating budget. A year-to-date budget status for each of the approved projects is included in the quarterly report, including the following: DOWNTOWN & COMMUNITY SERVICES Grace Heritage Center Restoration: As the historic downtown continues to grow, Grace Heritage Center is emerging as a key landmark and component of the Downtown District. Since the circa 1881 building was donated to the City of Georgetown in 1995 and moved to its current site, the City has performed preventative maintenance, but has not undertaken a comprehensive approach to the restoration of the structure. City Council has approved contracting with G. Creek Construction, partnering 3Page 25 of 135 with ARCHITEXAS for a Design/Build contract for the restoration of Grace Heritage Center. The City is recently kicked off design and plan to complete the Restoration Summer 2017. PARKS San Gabriel Park Improvements: A master plan for improvements to San Gabriel Park was completed in 2015. The master plan proposed the improvements be completed in phases due to the high usage and the many events that take place in the park. The contract for Phase 1 construction has been awarded to Weststar Construction in Georgetown in the amount of $2.5 Million. Construction is expected to begin in March 2017 with completion in early 2018. Design on Phase 2 is expected to begin late this summer. Phase 1 improvements include spring restoration, pavilions, road realignment, play areas, restrooms, signage and parking. Garey Park: In 2004, Mr. and Mrs. Jack Garey announced they would donate their 525 acre ranch and $5 million to the City of Georgetown for a public park. In 2008, the citizens passed a parks bond with $10 million dedicated for the construction of Garey Park. A master plan was completed in 2005 that set the stage for how the park would be developed. The scope of the project was reduced due to the available budget of $13.5 million. The project was rebid in early 2017 and is within budget. The bids will be presented to City Council in February 2017 for approval. Construction is expected to begin in April 2017 with a Spring 2018 completion. TRANSPORTATION Southwest Bypass: Construction is approximately 60% complete project wide. Substructures of South San Gabriel bridges are approximately 95% complete. Beam delivery and set for both structures is due in March. Approaching subgrade level throughout the project. ELECTRIC New development continues to exceed expectations in the first quarter with additional residential, multifamily, and business projects in progress. WATER The Berry Creek Interceptor design is 50% complete and the easement acquisition is in progress. Construction should start in September 2017. The Stonehedge and Westinghouse lift station project bid went to the Board and Council in November. Construction started in January 2017 and is scheduled for completion September 2017. The Pecan Branch wastewater treatment plant bid opening is on March 28th with construction scheduled to start June 2017. The Shell Road and CR 255 water main designs are 50% complete and easement acquisitions are in progress. Construction is estimated to start Summer 2017. The Domel water treatment plant design is 90% complete. Construction is estimated to start August 2017. 4Page 26 of 135 YEAR-END YEAR-END APPROVED December-16 YEAR TO DATE YEAR-END VARIANCE % VARIANCE BUDGET W/ENCUMB W/ENCUMB PROJECTION FAV(UNFAV)FAV(UNFAV) BEGINNING BALANCE 9,956,779 9,956,779 - - REVENUES Property Tax 12,475,000 5,119,843 6,148,721 12,475,000 - - Sales Tax 12,818,683 978,382 1,030,530 12,818,683 - - Sanitation Revenue 7,181,300 581,770 1,764,976 7,181,300 - - Transfer In - ROI & Other 8,505,241 518,836 1,944,573 8,505,241 - - Franchise Fees 5,142,035 230,639 786,897 5,142,035 - - Development and Permit Fees 2,307,991 256,306 596,246 2,307,991 - - Parks and Rec Fees 1,402,306 58,078 278,602 1,402,306 - - All Other Revenue 4,344,818 550,828 1,478,096 4,344,818 - - Administrative Charges 1,886,221 158,330 474,990 1,886,221 - - Total Revenues 56,063,595 8,453,013 14,503,630 56,063,595 - - EXPENSES Administrative Services 1,552,320 168,997 378,646 1,552,320 - - Animal Services 918,594 104,590 268,656 918,594 - - Arts & Culture 74,385 4,018 31,627 74,385 - - City Council 156,044 7,328 27,928 156,044 - - City Secretary 657,852 56,954 134,813 657,852 - - Code Enforcement 407,773 31,182 64,371 407,773 - - Environmental Services 5,879,717 501,890 1,004,583 5,879,717 - - Fire Emergency Services 10,046,095 1,153,463 2,439,220 10,046,095 - - Fire Support Services 2,418,984 293,099 657,671 2,418,984 - - General Gov't Contracts 3,353,753 253,730 1,300,524 3,353,753 - - Inspections 1,167,339 121,114 233,633 1,167,339 - - Library 2,419,829 259,688 627,672 2,419,829 - - Municipal Court 564,620 60,943 136,742 564,620 - - Parks 2,312,359 229,561 540,383 2,312,359 - - Parks Admin 484,592 51,113 128,931 484,592 - - Planning 1,182,736 107,368 232,714 1,182,736 - - Police Admin 2,105,056 192,644 547,021 2,105,056 - - Police Operations 11,176,291 1,332,179 2,757,742 11,176,291 - - Public Communications 387,333 35,602 86,904 387,333 - - Public Works 701,748 65,789 110,762 701,748 - - Rec Programs 1,439,699 78,267 269,801 1,439,699 - - Recreation 2,422,487 250,871 577,731 2,422,487 - - Streets 3,806,498 324,276 1,364,968 3,806,498 - - Tennis Center 431,262 39,130 96,965 431,262 - - Transfers 1,444,716 1,156,004 1,177,088 1,444,716 - - Total Non-Operating Expenditures 57,512,081 6,879,870 15,195,991 57,512,081 - - EXCESS (DEFICIENCY) OF TOTAL REVENUE OVER TOTAL REQUIREMENTS (1,448,486)1,573,143 (692,361)(1,448,486)- - ENDING BALANCE 8,508,294 8,508,294 - - CONTINGENCY 8,000,000 8,000,000 ECONOMIC STABILITY RESERVE 500,000 500,000 General Fund Year End Projection to Approved as of December 2016 5 Page 27 of 135 YEAR-END YEAR-END APPROVED 16-DEC YEAR TO DATE YEAR-END VARIANCE % VARIANCE BUDGET W/ENCUMB W/ENCUMB PROJECTION FAV(UNFAV)FAV(UNFAV) BEGINNING BALANCE 6,436,145 6,436,145 - - OPERATING REVENUE Electric Revenue 65,018,216 4,363,489 14,433,460 65,018,216 - - Other Revenue 1,745,000 364,100 738,516 1,745,000 - - Interest 18,100 1,688 4,658 18,100 - - Total Operating Revenue 66,781,316 4,729,277 15,176,634 66,781,316 - - OPERATING EXPENDITURES CRR Credits (1,500,000) (872,894) (1,539,077) (1,500,000) - - Georgetown Utility Systems 16,754,453 1,471,484 4,102,786 16,754,453 - - CIP 5,232,000 1,634,218 4,666,087 5,232,000 - - Purchased Power 38,000,000 4,120,204 8,611,546 38,000,000 - - Transfer Out-ROI 5,234,145 342,284 1,251,721 5,234,145 - - Transfer Out-SRF 60,000 60,000 60,000 60,000 - - Transfer Out-Fleet 71,500 71,500 71,500 71,500 - - Total Operating Expenditures 63,852,098 6,826,796 17,224,563 63,852,098 - - TOTAL NET OPERATIONS 2,929,218 (2,097,519) (2,047,929) 2,929,218 - - NON-OPERATING REVENUE Bond Proceeds 3,750,000 - - 3,750,000 - - Total Non-Operating Revenue 3,750,000 - - 3,750,000 - - NON-OPERATING EXPENDITURES Debt Issuance Cost 15,000 (518) (518) 15,000 - - Debt Service 3,464,271 681 163 3,464,271 - - Total Non-Operating Expenditures 3,479,271 163 (355) 3,479,271 - - TOTAL NET NON-OPERATIONS 270,729 (163) 355 270,729 - - EXCESS (DEFICIENCY) OF TOTAL REVENUE OVER TOTAL REQUIREMENTS 3,199,947 (2,097,682) (2,047,574) 3,199,947 - - ENDING BALANCE 9,636,092 9,636,092 - - Electric Fund Year End Projection to Approved as of December 2016 6 Page 28 of 135 YEAR-END YEAR-END APPROVED 16-DEC YEAR TO DATE YEAR-END VARIANCE % VARIANCE BUDGET W/ENCUMB W/ENCUMB PROJECTION FAV(UNFAV)FAV(UNFAV) BEGINNING BALANCE 24,911,799 24,911,799 - - OPERATING REVENUE Water Utility Revenue 26,700,000 1,718,235 6,432,918 26,700,000 - - Wastewater Utility Revenue 10,733,475 858,060 2,607,269 10,733,475 - - Capital Recovery Fee 4,767,300 762,032 2,601,271 4,767,300 - - Other Revenue 3,747,088 410,124 915,270 3,747,088 - - Irrigation Utility Revenue 225,000 8,198 46,529 225,000 - - Interest 199,975 20,143 54,511 199,975 - - Raw Water Revenue 178,500 14,106 31,744 178,500 - - Transfer In, Debt 115,839 - - 115,839 - - Total Operating Revenue 46,667,177 3,790,898 12,689,512 46,667,177 - - OPERATING EXPENDITURES Transfer Out, Fleet/Joint Service 290,750 99,396 134,188 290,750 - - Transfer Out, General 425,000 - - 425,000 - - Transfer Out, ROI 2,604,339 150,535 628,062 2,604,339 - - Water Administration 16,715,932 1,128,474 5,988,051 16,715,932 - - Water Distribution 2,209,230 220,657 563,818 2,209,230 - - Water Plant Management 2,379,631 125,325 840,744 2,379,631 - - Wastewater Distribution 737,700 36,687 160,288 737,700 - - Wastewater Plant Management 2,430,507 184,012 1,178,048 2,430,507 - - Irrigation 205,472 9,822 33,533 205,472 - - Water Operations 3,713,479 408,034 830,677 3,713,479 - - Total Operating Expenditures 31,712,040 2,362,943 10,357,409 31,712,040 - - TOTAL NET OPERATIONS 14,955,137 1,427,955 2,332,103 14,955,137 - - NON-OPERATING REVENUE Bond Proceeds 20,000,000 - - 20,000,000 - - Special Improvement Fees 205,000 - - 205,000 - - Total Non-Operating Revenue 20,205,000 - - 20,205,000 - - NON-OPERATING EXPENDITURES CIP 90 46,727,000 736,003 5,616,976 46,727,000 - - CIP 91 - 1,302,541 1,305,594 - Debt Service 5,182,487 587 (369) 5,182,487 - - Total Non-Operating Expenditures 51,909,487 2,039,131 6,922,201 51,909,487 - - TOTAL NET NON-OPERATIONS (31,704,487) (2,039,131) (6,922,201) (31,704,487) - - EXCESS (DEFICIENCY) OF TOTAL REVENUE OVER TOTAL REQUIREMENTS (16,749,350) (611,176) (4,590,098) (16,749,350) - - ENDING BALANCE 8,162,449 8,162,449 - - Water Services Fund Year End Projection to Approved as of December 2016 7 Page 29 of 135 YEAR-END YEAR-END APPROVED DECEMBER-16 YEAR TO DATE YEAR-END VARIANCE % VARIANCE BUDGET W/ENCUMB W/ENCUMB PROJECTION FAV(UNFAV)FAV(UNFAV) BEGINNING BALANCE 185,045 185,045 0 NA REVENUE Interest 0 192 275 0 0 NA Total Revenue 0 192 275 0 0 NA TRANSFERS IN Transfer In, General Fund 750,000 750,000 750,000 750,000 0 NA Total Transfers In 750,000 750,000 750,000 750,000 0 NA TRANSFERS OUT Transfer Out, GCP 0 0 0 0 0 NA Transfer Out, Joint Services 0 0 0 0 0 NA Transfer Out, General Fund 0 0 0 0 0 NA Total Transfers Out 0 0 0 0 0 NA EXCESS (DEFICIENCY) OF TOTAL REVENUE OVER TOTAL REQUIREMENTS 750,000 750,192 750,275 750,000 0 NA ENDING BALANCE 935,045 935,045 0 NA Council Discretionary Fund Year End Projection to Approved as of December 2016 8 Page 30 of 135 YEAR-END YEAR-END APPROVED DECEMBER-16 YEAR TO DATE YEAR-END VARIANCE % VARIANCE BUDGET W/ENCUMB W/ENCUMB PROJECTION FAV(UNFAV)FAV(UNFAV) BEGINNING BALANCE 578,306 578,306 0 NA REVENUES Hotel/Motel Occupancy Tax Revenues 1,260,000 101,447 205,550 1,260,000 0 NA Poppy Festival 125,000 5,140 5,359 125,000 0 NA Interest 1,500 92 283 1,500 0 NA Other 8,000 4,174 8,102 8,000 0 NA Total Revenues 1,394,500 110,853 219,294 1,394,500 0 NA EXPENDITURES Personnel 359,570 42,583 81,231 359,570 0 NA Operations 498,506 21,390 209,294 498,506 0 NA Poppy Festival 103,700 0 (224)103,700 0 NA Transfer to General Fund 10,200 10,200 10,200 10,200 0 NA Transfer to Fleet 5,655 471 1,413 5,655 0 NA Transfer to Information Technology 42,436 3,536 10,608 42,436 0 NA Transfer to Facilities 51,535 4,295 12,885 51,535 0 NA Total Expenditures 1,071,602 82,475 325,407 1,071,602 0 NA EXCESS (DEFICIENCY) OF TOTAL REVENUE OVER TOTAL REQUIREMENTS 322,898 28,378 (106,113)322,898 0 NA ENDING BALANCE 901,204 901,204 0 NA CONTINGENCY 200,000 200,000 Convention & Visitors Bureau Fund Year End Projection to Approved as of December 2016 9 Page 31 of 135 YEAR-END YEAR-END APPROVED DEC-16 YEAR TO DATE YEAR-END VARIANCE % VARIANCE BUDGET W/ENCUMB W/ENCUMB PROJECTION FAV(UNFAV) FAV(UNFAV) BEGINNING BALANCE 43,849$ 43,849$ -$ 0.0% OPERATING REVENUE Fuel and Terminal Sales 2,720,928 187,641 601,157 2,720,928 0 0.0% Leases and Rentals 767,990 64,434 194,063 767,990 0 0.0% Interest and Other 66,075 2,181 6,247 66,075 0 0.0% Total Operating Revenue 3,554,993 254,256 801,466 3,554,993 0 0.0% OPERATING EXPENDITURES Personnel 388,781 36,397 74,523 388,781 0 0.0% Operations-Fuel 2,296,928 0 2,200,414 2,296,928 0 0.0% Operations-Non Fuel 657,086 74,545 199,040 657,086 0 0.0% Transfers Out 25,000 0 0 25,000 0 0.0% Debt Service 143,768 0 (0)143,768 0 0.0% Total Operating Expenditures 3,511,563 110,943 2,473,977 3,511,563 0 0.0% TOTAL NET OPERATIONS 43,430 143,313 (1,672,511)43,430 0 0.0% NON-OPERATING REVENUE Grants 35,000 0 0 35,000 0 0.0% Total Non-Operating Revenue 35,000 0 0 35,000 0 0.0% NON-OPERATING EXPENDITURES One Time 0 0 0 0 0 NA Runway Lights 0 0 0 0 0 NA Fuel Farm 0 0 0 0 0 NA Software 0 0 0 0 0 NA Total Non-Operating Expenditures 0 0 0 0 0 NA TOTAL NET NON-OPERATIONS 35,000 0 0 35,000 0 0.0% EXCESS (DEFICIENCY) OF TOTAL REVENUE OVER TOTAL REQUIREMENTS 78,430$ 143,313$ (1,672,511)$ 78,430$ -$ 0.0% ENDING BALANCE 122,279 122,279 0 0.0% Airport Operations Fund Year End Projection to Approved as of December 2016 10Page 32 of 135 YEAR-END YEAR-END APPROVED DEC-16 YEAR TO DATE YEAR-END VARIANCE % VARIANCE BUDGET W/ENCUMB W/ENCUMB PROJECTION FAV(UNFAV) FAV(UNFAV) BEGINNING BALANCE 5,262,150 5,262,150 0 0.0% OPERATING REVENUE Sales Tax 5,875,000 455,289 478,466 5,875,000 0 0.0% Public Improve. District Assessments 553,201 0 0 553,201 0 0.0% Interest 50,000 7,467 24,820 50,000 0 0.0% Interlocal Agreement 2,905,356 0 0 2,905,356 0 0.0% Miscellaneous 0 0 7,539 0 0 0.0% Total Operating Revenue 9,383,557 462,756 510,825 9,383,557 0 0.0% OPERATING EXPENDITURES Administrative Support 330,895 69,926 82,350 330,895 0 0.0% Total Operating Expenditures 330,895 69,926 82,350 330,895 0 0.0% TOTAL NET OPERATIONS 9,052,662 392,830 428,475 9,052,662 0 0.0% NON-OPERATING REVENUE Debt Proceeds 1,850,000 0 0 1,850,000 0 0.0% TxDOT Refund 0 223,873 223,873 223,873 223,873 NA Total Non-Operating Revenue 1,850,000 223,873 223,873 2,073,873 223,873 12.1% NON-OPERATING EXPENDITURES Debt Service 3,414,754 0 (710) 3,414,754 0 0.0% SH 29 to RM 2243 SW Bypass 0 620 893 893 (893) NA SW Inner Loop 29 to SW Bypass 0 0 8 8 (8) NA SW Bypass 2243 to IH35 0 14,276 18,989 18,989 (18,989) NA Rivery-Extension Williams Dr to NW Blvd 4,000,000 3,215 12,870 4,000,000 0 0.0% Pecan Center Dr to Airport Rd (FY15) 1,850,000 0 579,710 1,850,000 0 0.0% Mays St (FY15) 3,500,000 0 31,574 3,500,000 0 0.0% Available for Projects TBD 1,468,750 0 0 1,468,750 0 0.0% Total Non-Operating Expenditures 14,233,504 18,110 643,334 14,253,394 (19,890) (0.1%) TOTAL NET NON-OPERATIONS (12,383,504) 205,763 (419,461) (12,179,521) 203,983 1.6% EXCESS (DEFICIENCY) OF TOTAL REVENUE OVER TOTAL REQUIREMENTS (3,330,842) 598,593 9,014 (3,126,859) 203,983 6.1% ENDING BALANCE 1,931,308 2,135,291 203,983 10.6% RESERVED ENDING BALANCE 1,619,550 Georgetown Transportation Enhancement Corporation Fund Year End Projection to Approved as of December 2016 11Page 33 of 135 YEAR-END YEAR-END APPROVED DECEMBER-16 YEAR TO DATE YEAR-END VARIANCE % VARIANCE BUDGET W/ENCUMB W/ENCUMB PROJECTION FAV(UNFAV)FAV(UNFAV) BEGINNING BALANCE 5,015,684 5,015,684 0 NA OPERATING REVENUES Sales Tax 1,468,750 113,823 119,617 1,468,750 0 NA Interest 10,400 2,453 6,833 10,400 0 NA Miscellaneous Revenue 60,321 10,302 10,302 60,321 0 NA Lease Revenue (Grape Creek)48,000 4,000 12,000 48,000 0 NA Total Operating Revenues 1,587,471 130,578 148,752 1,587,471 0 NA OPERATING EXPENDITURES Debt Service 115,839 0 0 115,839 0 NA Principal Reduction 100,000 0 0 100,000 0 NA Interest Expense 111,463 0 0 111,463 0 NA Bond Issuance Costs 0 0 (114)0 0 NA Joint Services Allocation 197,722 16,477 49,431 197,722 0 NA Supplies 300 140 140 300 0 NA Special Services 7,500 0 33 7,500 0 NA Travel & Training 1,500 0 0 1,500 0 NA Promotional & Marketing Program 81,000 15,224 15,224 81,000 0 NA Miscellaneous Expense 10,321 0 10,302 10,321 0 NA Total Operating Expenditures 625,645 31,841 75,016 625,645 0 NA TOTAL NET OPERATIONS 961,826 98,737 73,736 961,826 0 NA NON-OPERATING EXPENDITURES Catalyst 24,000 0 0 24,000 0 NA DisperSol 60,000 0 0 60,000 0 NA Economic Development Projects -Undetermined 5,370,322 0 0 5,370,322 0 NA Radix 50,000 0 0 50,000 0 NA Tasus 6,000 0 0 6,000 0 NA Texas Life Sciences 100,000 0 0 100,000 0 NA Total Non-Operating Expenditures 5,610,322 0 0 5,610,322 0 NA TOTAL NET NON-OPERATIONS (5,610,322)0 0 (5,610,322)0 NA EXCESS (DEFICIENCY) OF TOTAL REVENUE OVER TOTAL REQUIREMENTS (4,648,496)98,737 73,736 (4,648,496)0 NA ENDING BALANCE 367,188 367,188 0 NA RESERVED ENDING BALANCE 367,188 367,188 Georgetown Economic Development Corporation Fund Year End Projection to Approved as of December 2016 12 Page 34 of 135 13Page 35 of 135 Summary Quarter End Results by Investment Category: Asset Type Ave. Yield Book Value Market Value Book Value Market Value Demand Accounts 0.30% 18,173,961$ 18,173,961 16,449,917$ 16,449,917$ NOW/MMA 0.66% 5,349,353 5,349,353 7,359,194 7,359,194 Pools 0.48% 69,025,556 69,025,556 71,903,578 71,903,578 CDs/Securities 0.91% 30,681,533 30,681,533 25,711,669 25,711,669 Totals 123,230,402$ 123,230,402$ 121,424,358$ 121,424,358$ Quarter End Average Yield (1)Fiscal Year-to-Date Average Yield (2) Total Portfolio 0.56%Total Portfolio 0.56% Rolling Three Mo. Treas. Yield 0.43%Rolling Three Mo. Treas. Yield 0.43% Rolling Six Mo. Treas. Yield 0.50%Rolling Six Mo. Treas. Yield 0.50% Quarterly TexPool Yield 0.46% 12,507$ Interest income provided in separate report.12,507$ September 30, 2016 December 31, 2016 (1) Average Yield calculated using quarter end report yields and adjusted book values and does not reflect a total return analysis or account for advisory fees. (2) Fiscal Year-to-Date Average Yields calculated using quarter end report yields and adjusted book values and does not reflect a total return analysis or account for advisory fees. Quarterly Bank Fees Offset Year-to-date Bank Fees Offset Valley View Consulting, L.L.C. 14Page 36 of 135 Economic Overview 12/31/2016 The Federal Open Market Committee (FOMC) raised the Fed Funds target range to 0.50% - 0.75% (actual Fed Funds currently trading +/-65 bps). The FOMC also projected the possibility of three additional increases during 2017. Third Quarter US GDP revised up to 3.5%. Other economic data recorded mixed results. December Non Farm Payroll Employment provided 156.000 new jobs. The US Stock markets recorded record highs. Treasury yields peaked and settled slightly lower. When available, CD and Taxable Municipal yields generally exceed government securities. The banks' reactions to recent market movements will determine if MMAs and CDs continue to be attractive. 0 250 500 750 1,000 1,250 1,500 1,750 2,000 2,250 2,500 S&P 500 0.00 0.50 1.00 1.50 2.00 2.50 3.00 Treasury Yield Curves December 31, 2015 September 30, 2016 December 31, 2016 0.00 0.50 1.00 1.50 2.00 2.50 3.00 3.50 4.00 4.50 5.00 5.50 US Treasury Historical Yields - Since 2006 Six Month T-Bill Two Year T-Note Ten Year T-Note 0.00 0.50 1.00 1.50 2.00 2.50 3.00 US Treasury Historical Yields - Since Nov 2015 Six Month T-Bill Two Year T-Note Ten Year T-Note Valley View Consulting, L.L.C.15Page 37 of 135 City - Investment Holdings Coupon/ Maturity Settlement Face Amount/ Book Market Market Life Description Ratings Discount Date Date Par Value Value Price Value (Day) Yield JPMorgan Chase Cash (3)0.30% 01/01/17 12/31/16 16,449,917$ 16,449,917$ 1.00 16,449,917$ 1 0.30% Southside Bank MMA 0.60% 01/01/17 12/31/16 922,886 922,886 1.00 922,886 1 0.60% Green Bank MMA 0.67% 01/01/17 12/31/16 6,436,308 6,436,308 1.00 6,436,308 1 0.67% TexPool AAAm 0.46% 01/01/17 12/31/16 14,730,016 14,730,016 1.00 14,730,016 1 0.46% TexSTAR AAAm 0.48% 01/01/17 12/31/16 57,173,562 57,173,562 1.00 57,173,562 1 0.48% BTH Bank CDARS 0.90% 02/02/17 02/05/15 1,525,965 1,525,965 100.00 1,525,965 33 0.90% LegacyTexas Bank CD 0.83% 04/13/17 05/23/16 2,009,753 2,009,753 100.00 2,009,753 103 0.83% LegacyTexas Bank CD 0.83% 04/13/17 05/23/16 4,019,506 4,019,506 100.00 4,019,506 103 0.83% Lubbock National Bank CD 0.95% 07/03/17 05/23/16 3,016,750 3,016,750 100.00 3,016,750 184 0.95% Lubbock National Bank CD 0.95% 07/03/17 05/23/16 2,513,958 2,513,958 100.00 2,513,958 184 0.95% Lubbock National Bank CD 0.95% 07/03/17 05/23/16 3,016,750 3,016,750 100.00 3,016,750 184 0.95% LegacyTexas Bank CD 0.95% 08/18/17 06/23/16 3,024,849 3,024,849 100.00 3,024,849 230 0.95% Lubbock National Bank CD 1.00% 10/02/17 05/23/16 2,011,756 2,011,756 100.00 2,011,756 275 1.00% Green Bank CD 0.81% 11/03/17 11/03/16 1,521,089 1,521,089 100.00 1,521,089 307 0.81% Southside Bank CD 0.92% 11/17/17 11/18/16 3,051,294 3,051,294 100.00 3,051,294 321 0.92% 121,424,358$ 121,424,358$ 121,424,358$410.56% (1) (2) December 31, 2016 (2) Weighted average yield to maturity - The weighted average yield to maturity is based on adjusted book value, realized and unrealized gains/losses and investment ad visory fees are not considered. The yield for the reporting month is used for bank accounts, pools, and money market funds. (1) Weighted average life - For purposes of calculating weighted average life, bank accounts, pools and money market funds are assumed to have an one day maturity. (3) Earnings Credit - The City's depository accounts provide an earnings credit on balances which is used to offset bank fees. Valley View Consulting, L.L.C.16Page 38 of 135 0–6 Months 85% 6–12 Months 15% Current Quarter Maturities $0 $20,000,000 $40,000,000 $60,000,000 $80,000,000 $100,000,000 $120,000,000 $140,000,000 $160,000,000 03/31/16 06/30/16 09/30/16 12/31/16 Portfolio Balances Money Market Local Depository TexSTAR TexPool Certificate of Deposit 166174166 102 69 90 73 75 109104 123 156163 97108 87 51 67 49 41 0 50 100 150 200 # o f D a y s Weighted Average to Maturity JPMorgan Chase 14%Southside Bank 3% Green Bank 7% TexPool 12% TexSTAR 47% LegacyTexas Bank 7% Lubbock National Bank 9% BTH Bank 1% Portfolio Holdings by Issuer Valley View Consulting, L.L.C.17Page 39 of 135 City - Book and Market Value Comparison Coupon/ Maturity Face Amount/Purchases/ Sales/Adjust/ Face Amount/ Description Discount Date Par Value Book Value Adjustments Call/Maturity Par Value Book Value JPMorgan Chase Cash 0.30% 01/01/17 18,173,961$ 18,173,961$ –$ (1,724,044)$ 16,449,917$ 16,449,917$ Southside Bank MMA 0.60% 01/01/17 921,588 921,588 1,298 922,886 922,886 Green Bank MMA 0.67% 01/01/17 4,427,765 4,427,765 2,008,543 6,436,308 6,436,308 TexPool 0.46% 01/01/17 4,341,802 4,341,802 10,388,214 14,730,016 14,730,016 TexSTAR 0.48% 01/01/17 64,683,754 64,683,754 (7,510,192) 57,173,562 57,173,562 BTH Bank CDARS 0.80%11/03/16 1,519,989 1,519,989 (1,519,989)– – BTH Bank CDARS 0.85%11/17/16 3,047,956 3,047,956 (3,047,956)– – LegacyTexas Bank CD 0.60%12/07/16 5,022,592 5,022,592 (5,022,592)– – BTH Bank CDARS 0.90%02/02/17 1,522,507 1,522,507 3,458 1,525,965 1,525,965 LegacyTexas Bank CD 0.83%04/13/17 2,005,600 2,005,600 4,153 2,009,753 2,009,753 LegacyTexas Bank CD 0.83%04/13/17 4,011,200 4,011,200 8,306 4,019,506 4,019,506 Lubbock National Bank CD 0.95%07/03/17 3,009,616 3,009,616 7,134 3,016,750 3,016,750 Lubbock National Bank CD 0.95%07/03/17 2,508,013 2,508,013 5,945 2,513,958 2,513,958 Lubbock National Bank CD 0.95%07/03/17 3,009,616 3,009,616 7,134 3,016,750 3,016,750 LegacyTexas Bank CD 0.95%08/18/17 3,017,696 3,017,696 7,153 3,024,849 3,024,849 Lubbock National Bank CD 1.00%10/02/17 2,006,748 2,006,748 5,007 2,011,756 2,011,756 Green Bank CD 0.81%11/03/17 – – 1,521,089 1,521,089 1,521,089 Southside Bank CD 0.92%11/17/17 – – 3,051,294 3,051,294 3,051,294 TOTAL 123,230,402$ 123,230,402$ 17,018,729$ (18,824,773)$ 121,424,358$ 121,424,358$ September 30, 2016 December 31, 2016 Valley View Consulting, L.L.C.18Page 40 of 135 City - Allocation Investment Total Consolidated 2013 GO- Parks/Public Safety 2014 CO- Downtown Parks 2014 GO 2014 Revenue Electric 2014 Revenue Water WW 2014A Revenue Water JPMorgan Chase Cash 16,449,917$ 16,449,917$ –$ –$ –$ –$ –$ –$ Southside Bank MMA 922,886 922,886 Green Bank MMA 6,436,308 6,436,308 TexPool 14,730,016 14,730,016 TexSTAR 57,173,562 1,659,919 2,882,969 548,791 315,959 649,785 6,473,502 – BTH Bank CDARS 02/02/17 1,525,965 1,525,965 LegacyTexas Bank CD 04/13/17 2,009,753 LegacyTexas Bank CD 04/13/17 4,019,506 Lubbock National Bank CD 07/03/17 3,016,750 3,016,750 Lubbock National Bank CD 07/03/17 2,513,958 Lubbock National Bank CD 07/03/17 3,016,750 LegacyTexas Bank CD 08/18/17 3,024,849 3,024,849 Lubbock National Bank CD 10/02/17 2,011,756 Green Bank CD 11/03/17 1,521,089 1,521,089 Southside Bank CD 11/17/17 3,051,294 3,051,294 Totals 121,424,358$ 52,338,992$ 2,882,969$ 548,791$ 315,959$ 649,785$ 6,473,502$ –$ Book and Market Value December 31, 2016 Valley View Consulting, L.L.C. 19Page 41 of 135 City - Allocation JPMorgan Chase Cash Southside Bank MMA Green Bank MMA TexPool TexSTAR BTH Bank CDARS 02/02/17 LegacyTexas Bank CD 04/13/17 LegacyTexas Bank CD 04/13/17 Lubbock National Bank CD 07/03/17 Lubbock National Bank CD 07/03/17 Lubbock National Bank CD 07/03/17 LegacyTexas Bank CD 08/18/17 Lubbock National Bank CD 10/02/17 Green Bank CD 11/03/17 Southside Bank CD 11/17/17 Totals Book and Market Value December 31, 2016 (Continued) Debt Service Police Restricted Seizure Utility Debt Service 2015 CO- Airport 2015 CO- Parks/Streets/ Vehicles 2015 CO- Stormwater 2015 CO-Tax Facilities 2015 CO- Water –$ –$ –$ –$ –$ –$ –$ –$ 3,059,374 1,393 67,860 29,701 1,036,236 1,423,411 1,161,347 13,802 3,059,374$ 1,393$ 67,860$ 29,701$ 1,036,236$ 1,423,411$ 1,161,347$ 13,802$ Valley View Consulting, L.L.C. 20Page 42 of 135 City - Allocation JPMorgan Chase Cash Southside Bank MMA Green Bank MMA TexPool TexSTAR BTH Bank CDARS 02/02/17 LegacyTexas Bank CD 04/13/17 LegacyTexas Bank CD 04/13/17 Lubbock National Bank CD 07/03/17 Lubbock National Bank CD 07/03/17 Lubbock National Bank CD 07/03/17 LegacyTexas Bank CD 08/18/17 Lubbock National Bank CD 10/02/17 Green Bank CD 11/03/17 Southside Bank CD 11/17/17 Totals Book and Market Value December 31, 2016 (Continued) 2015 GO- Roads 2015A GO- Roads 2015A GO- Parks 2015 Revenue Electric 2015 Revenue Water WW 2016 CO- Rivery TIRZ 2016 CO- Streets/ Facilities/ Equip 2016 GO Bonds –$ –$ –$ –$ –$ –$ –$ –$ 4,314,070 6,973,394 1,708,453 1,678,464 6,234,786 4,143 2,716,078 4,019,506 3,016,750 2,011,756 4,314,070$ 6,973,394$ 1,708,453$ 1,678,464$ 6,234,786$ 4,143$ 2,716,078$ 9,048,011$ Valley View Consulting, L.L.C. 21Page 43 of 135 City - Allocation JPMorgan Chase Cash Southside Bank MMA Green Bank MMA TexPool TexSTAR BTH Bank CDARS 02/02/17 LegacyTexas Bank CD 04/13/17 LegacyTexas Bank CD 04/13/17 Lubbock National Bank CD 07/03/17 Lubbock National Bank CD 07/03/17 Lubbock National Bank CD 07/03/17 LegacyTexas Bank CD 08/18/17 Lubbock National Bank CD 10/02/17 Green Bank CD 11/03/17 Southside Bank CD 11/17/17 Totals Book and Market Value December 31, 2016 (Continued) 2016 GO- Parks 2016 GO- Roads 2016 Revenue Electric 2016 Revenue Water/WW Garey Park Donation –$ –$ –$ –$ –$ 3,010,602 1,012,598 1,799,823 3,383,151 5,013,953 2,009,753 2,513,958 3,010,602$ 1,012,598$ 1,799,823$ 7,906,862$ 5,013,953$ Valley View Consulting, L.L.C. 22Page 44 of 135 City - Allocation Investment Total Consolidated 2013 GO- Parks/Public Safety 2014 CO- Downtown Parks 2014 GO 2014 Revenue Electric 2014 Revenue Water WW Debt Service JPMorgan Chase Cash 18,173,961$ 18,173,961$ –$ –$ –$ –$ –$ –$ Southside Bank MMA 921,588 921,588 Green Bank MMA 4,427,765 4,427,765 TexPool 4,341,802 4,341,802 TexSTAR 64,683,754 6,858,523 3,691,623 548,184 325,766 1,769,391 6,480,246 2,882,913 BTH Bank CDARS 11/03/16 1,519,989 1,519,989 BTH Bank CDARS 11/17/16 3,047,956 3,047,956 LegacyTexas Bank CD 12/07/16 5,022,592 BTH Bank CDARS 02/02/17 1,522,507 1,522,507 LegacyTexas Bank CD 04/13/17 2,005,600 LegacyTexas Bank CD 04/13/17 4,011,200 Lubbock National Bank CD 07/03/17 3,009,616 3,009,616 Lubbock National Bank CD 07/03/17 2,508,013 Lubbock National Bank CD 07/03/17 3,009,616 LegacyTexas Bank CD 08/18/17 3,017,696 3,017,696 Lubbock National Bank CD 10/02/17 2,006,748 Totals 123,230,402$ 46,841,403$ 3,691,623$ 548,184$ 325,766$ 1,769,391$ 6,480,246$ 2,882,913$ September 30, 2016 Book and Market Value Valley View Consulting, L.L.C. 23Page 45 of 135 City - Allocation JPMorgan Chase Cash Southside Bank MMA Green Bank MMA TexPool TexSTAR BTH Bank CDARS 11/03/16 BTH Bank CDARS 11/17/16 LegacyTexas Bank CD 12/07/16 BTH Bank CDARS 02/02/17 LegacyTexas Bank CD 04/13/17 LegacyTexas Bank CD 04/13/17 Lubbock National Bank CD 07/03/17 Lubbock National Bank CD 07/03/17 Lubbock National Bank CD 07/03/17 LegacyTexas Bank CD 08/18/17 Lubbock National Bank CD 10/02/17 Totals September 30, 2016 Book and Market Value (Continued) Police Restricted Seizure Utility Debt Service 2015 CO- Airport 2015 CO- Parks/Streets/ Vehicles 2015 CO- Stormwater 2015 CO-Tax Facilities 2015 CO- Water 2015 GO- Roads –$ –$ –$ –$ –$ –$ –$ –$ 1,391 67,785 29,668 1,402,167 1,421,837 3,009,702 13,787 4,309,300 1,391$ 67,785$ 29,668$ 1,402,167$ 1,421,837$ 3,009,702$ 13,787$ 4,309,300$ Valley View Consulting, L.L.C. 24Page 46 of 135 City - Allocation JPMorgan Chase Cash Southside Bank MMA Green Bank MMA TexPool TexSTAR BTH Bank CDARS 11/03/16 BTH Bank CDARS 11/17/16 LegacyTexas Bank CD 12/07/16 BTH Bank CDARS 02/02/17 LegacyTexas Bank CD 04/13/17 LegacyTexas Bank CD 04/13/17 Lubbock National Bank CD 07/03/17 Lubbock National Bank CD 07/03/17 Lubbock National Bank CD 07/03/17 LegacyTexas Bank CD 08/18/17 Lubbock National Bank CD 10/02/17 Totals September 30, 2016 Book and Market Value (Continued) 2015A GO- Roads 2015A GO- Parks 2015 Revenue Electric 2015 Revenue Water WW 2016 CO- Rivery TIRZ 2016 CO- Streets/ Facilities/ Equip 2016 GO Bonds 2016 GO- Parks –$ –$ –$ –$ –$ –$ –$ –$ 2,288,599 1,706,564 2,010,907 7,077,152 1,715,640 2,839,203 3,007,273 5,022,592 4,011,200 3,009,616 2,006,748 7,311,191$ 1,706,564$ 2,010,907$ 7,077,152$ 1,715,640$ 2,839,203$ 9,027,564$ 3,007,273$ Valley View Consulting, L.L.C. 25Page 47 of 135 City - Allocation JPMorgan Chase Cash Southside Bank MMA Green Bank MMA TexPool TexSTAR BTH Bank CDARS 11/03/16 BTH Bank CDARS 11/17/16 LegacyTexas Bank CD 12/07/16 BTH Bank CDARS 02/02/17 LegacyTexas Bank CD 04/13/17 LegacyTexas Bank CD 04/13/17 Lubbock National Bank CD 07/03/17 Lubbock National Bank CD 07/03/17 Lubbock National Bank CD 07/03/17 LegacyTexas Bank CD 08/18/17 Lubbock National Bank CD 10/02/17 Totals September 30, 2016 Book and Market Value (Continued) 2016 GO- Roads 2016 Revenue Electric 2016 Revenue Water/WW Garey Park Donation –$ –$ –$ –$ 1,011,479 1,797,833 3,408,411 5,008,409 2,005,600 2,508,013 1,011,479$ 1,797,833$ 7,922,024$ 5,008,409$ Valley View Consulting, L.L.C. 26Page 48 of 135 Valley View Consulting, L.L.C. 0.00 1.00 2.00 3.00 4.00 5.00 6.00 City of Georgetown Historical Yields Georgetown TexPool Rolling 3 mo T-Bill Rolling 6 mo T-Bill Rolling 12 mo T-Bill 27Page 49 of 135 28Page 50 of 135 Summary Quarter End Results by Investment Category: Asset Type Ave. Yield Book Value Market Value Book Value Market Value Pools 0.38% 15,794,940$ 15,794,940$ 19,766,782$ 19,766,782$ CDs/Securities 0.99% 10,600,691 10,600,691 7,076,564 7,076,564 Totals 26,395,630$ 26,395,630$ 26,843,346$ 26,843,346$ Quarter End Average Yield (1)Fiscal Year-to-Date Average Yield (2) Total Portfolio 0.63%Total Portfolio 0.63% Rolling Three Mo. Treas. Yield 0.43%Rolling Three Mo. Treas. Yield 0.43% Rolling Six Mo. Treas. Yield 0.50%Rolling Six Mo. Treas. Yield 0.50% Quarterly TexPool Yield 0.46% Interest data provided in separate report. September 30, 2016 December 31, 2016 (1) Average Yield calculated using quarter end report yields and adjusted book values and does not reflect a total return analysis or account for advisory fees. (2) Fiscal Year-to-Date Average Yields calculated using quarter end report yields and adjusted book values and does not reflect a total return analysis or account for advisory fees. Valley View Consulting, L.L.C. 29Page 51 of 135 Economic Overview 12/31/2016 The Federal Open Market Committee (FOMC) raised the Fed Funds target range to 0.50% - 0.75% (actual Fed Funds currently trading +/-65 bps). The FOMC also projected the possibility of three additional increases during 2017. Third Quarter US GDP revised up to 3.5%. Other economic data recorded mixed results. December Non Farm Payroll Employment provided 156.000 new jobs. The US Stock markets recorded record highs. Treasury yields peaked and settled slightly lower. When available, CD and Taxable Municipal yields generally exceed government securities. The banks' reactions to recent market movements will determine if MMAs and CDs continue to be attractive. 0 250 500 750 1,000 1,250 1,500 1,750 2,000 2,250 2,500 S&P 500 0.00 0.50 1.00 1.50 2.00 2.50 3.00 Treasury Yield Curves December 31, 2015 September 30, 2016 December 31, 2016 0.00 0.50 1.00 1.50 2.00 2.50 3.00 3.50 4.00 4.50 5.00 5.50 US Treasury Historical Yields - Since 2006 Six Month T-Bill Two Year T-Note Ten Year T-Note 0.00 0.50 1.00 1.50 2.00 2.50 3.00 US Treasury Historical Yields - Since Nov 2015 Six Month T-Bill Two Year T-Note Ten Year T-Note Valley View Consulting, L.L.C.30Page 52 of 135 Investment Holdings Coupon/Maturity Settlement Face Amount/Book Market Market Life Description Ratings Discount Date Date Par Value Value Price Value (Day)Yield TexPool AAAm 0.46% 01/01/17 12/31/16 8,955,458$ 8,955,458$ 1.00 8,955,458$ 1 0.46% TexSTAR AAAm 0.48% 01/01/17 12/31/16 7,263,392 7,263,392 1.00 7,263,392 1 0.48% Green Bank MMA 0.67% 01/01/17 12/31/16 3,547,931 3,547,931 1.00 3,547,931 1 0.67% Lubbock National Bank CD 0.95% 07/03/17 05/23/16 4,022,333 4,022,333 100.00 4,022,333 184 0.95% Lubbock National Bank CD 1.05% 08/18/17 08/18/16 3,054,232 3,054,232 100.00 3,054,232 230 1.05% 26,843,346$ 26,843,346$ 26,843,346$ 54 0.63% (1) (2) December 31, 2016 (1) Weighted average life - For purposes of calculating weighted average life, bank accounts, pools and money market funds are assumed to have an one day maturity. (2) Weighted average yield to maturity - The weighted average yield to maturity is based on adjusted book value, realized and unrealized gains/losses and investment advisory fees are not considered. The yield for the reporting month is used for bank accounts, pools, and money market funds. Valley View Consulting, L.L.C.31Page 53 of 135 Pools 74% CDs/Securities 26% GTEC PORTFOLIO COMPOSITION $0 $5,000,000 $10,000,000 $15,000,000 $20,000,000 $25,000,000 $30,000,000 3/31/16 6/30/16 9/30/16 12/31/16 GTEC PORTFOLIO BALANCES CD TexPool TexSTAR Valley View Consulting, L.L.C. 32Page 54 of 135 Book Value Comparison Coupon/Maturity Face Amount/Purchases/Sales/Adjust/Face Amount/ Description Discount Date Par Value Book Value Adjustments Call/Maturity Par Value Book Value TexPool 0.46% 01/01/17 7,461,126$ 7,461,126$ 1,494,332$ –$ 8,955,458$ 8,955,458$ TexSTAR 0.48% 01/01/17 8,333,813 8,333,813 (1,070,421) 7,263,392 7,263,392 Green Bank MMA 0.67% 01/01/17 – – 3,547,931 3,547,931 3,547,931 LegacyTexas Bank CD 0.60% 12/07/16 1,506,778 1,506,778 (1,506,778)– – RBank CD 0.80% 12/30/16 2,034,842 2,034,842 (2,034,842)– – Lubbock National Bank CD 0.95% 07/03/17 4,012,821 4,012,821 9,512 4,022,333 4,022,333 Lubbock National Bank CD 1.05% 08/18/17 3,046,250 3,046,250 7,981 3,054,232 3,054,232 TOTAL 26,395,630$ 26,395,630$ 5,059,756$ (4,612,041)$ 26,843,346$ 26,843,346$ Market Value Comparison Coupon/Maturity Face Amount/Qtr to Qtr Face Amount/ Description Discount Date Par Value Market Value Change Par Value Market Value TexPool 0.46% 01/01/17 7,461,126$ 7,461,126$ 1,494,332$ 8,955,458$ 8,955,458$ TexSTAR 0.48% 01/01/17 8,333,813 8,333,813 (1,070,421) 7,263,392 7,263,392 Green Bank MMA 0.67% 01/01/17 – – 3,547,931 3,547,931 3,547,931 LegacyTexas Bank CD 0.60% 12/07/16 1,506,778 1,506,778 (1,506,778)– – RBank CD 0.80% 12/30/16 2,034,842 2,034,842 (2,034,842)– – Lubbock National Bank CD 0.95% 07/03/17 4,012,821 4,012,821 9,512 4,022,333 4,022,333 Lubbock National Bank CD 1.05% 08/18/17 3,046,250 3,046,250 7,981 3,054,232 3,054,232 TOTAL 26,395,630$ 26,395,630$ 447,716$ 26,843,346$ 26,843,346$ September 30, 2016 December 31, 2016 September 30, 2016 December 31, 2016 Valley View Consulting, L.L.C.33Page 55 of 135 34Page 56 of 135 Summary Quarter End Results by Investment Category: Asset Type Ave. Yield Book Value Market Value Book Value Market Value MMA 0.67% 2,002,599$ 2,002,599$ 2,005,534$ 2,005,534$ Pools 0.49% 7,515,422 7,515,422 3,354,651 3,354,651 9,518,021$ 9,518,021$ 5,360,186$ 5,360,186$ Quarter End Average Yield (1)Fiscal Year-to-Date Average Yield (2) Total Portfolio 0.56%Total Portfolio 0.56% Rolling Three Mo. Treas. Yield 0.43%Rolling Three Mo. Treas. Yield 0.43% Rolling Six Mo. Treas. Yield 0.50%Rolling Six Mo. Treas. Yield 0.50% Quarterly TexPool Yield 0.46% Interest income provided in separate report. September 30, 2016 December 31, 2016 (1) Average Yield calculated using quarter end report yields and adjusted book values and does not reflect a total return analysis or account for advisory fees. (2) Fiscal Year-to-Date Average Yields calculated using quarter end report yields and adjusted book values and does not reflect a total return analysis or account for advisory fees. Valley View Consulting, L.L.C. 35Page 57 of 135 Economic Overview 12/31/2016 The Federal Open Market Committee (FOMC) raised the Fed Funds target range to 0.50% - 0.75% (actual Fed Funds currently trading +/-65 bps). The FOMC also projected the possibility of three additional increases during 2017. Third Quarter US GDP revised up to 3.5%. Other economic data recorded mixed results. December Non Farm Payroll Employment provided 156.000 new jobs. The US Stock markets recorded record highs. Treasury yields peaked and settled slightly lower. When available, CD and Taxable Municipal yields generally exceed government securities. The banks' reactions to recent market movements will determine if MMAs and CDs continue to be attractive. 0 250 500 750 1,000 1,250 1,500 1,750 2,000 2,250 2,500 S&P 500 0.00 0.50 1.00 1.50 2.00 2.50 3.00 Treasury Yield Curves December 31, 2015 September 30, 2016 December 31, 2016 0.00 0.50 1.00 1.50 2.00 2.50 3.00 3.50 4.00 4.50 5.00 5.50 US Treasury Historical Yields - Since 2006 Six Month T-Bill Two Year T-Note Ten Year T-Note 0.00 0.50 1.00 1.50 2.00 2.50 3.00 US Treasury Historical Yields - Since Nov 2015 Six Month T-Bill Two Year T-Note Ten Year T-Note Valley View Consulting, L.L.C.36Page 58 of 135 Investment Holdings Coupon/Maturity Settlement Face Amount/Book Market Market Life Description Ratings Discount Date Date Par Value Value Price Value (Day)Yield Green Bank MMA 0.67% 01/01/17 12/31/16 2,005,534$ 2,005,534$ 1.00 2,005,534$ 1 0.67% TexasDAILY AAAm 0.50% 01/01/17 12/31/16 2,011,789 2,011,789 1.00 2,011,789 1 0.50% TexSTAR AAAm 0.48% 01/01/17 12/31/16 1,342,863 1,342,863 1.00 1,342,863 1 0.48% 5,360,186$ 5,360,186$ 5,360,186$ 1 0.56% (1) (2) December 31, 2016 (1) Weighted average life - For purposes of calculating weighted average life, bank accounts, pools and money market funds are assumed to have an one day maturity. (2) Weighted average yield to maturity - The weighted average yield to maturity is based on adjusted book value, realized and unrealized gains/losses and investment advisory fees are not considered. The yield for the reporting month is used for bank accounts, pools, and money market funds. Valley View Consulting, L.L.C.37Page 59 of 135 MMA 37% Pools 63% GEDCO PORTFOLIO COMPOSITION $0 $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 $6,000,000 $7,000,000 $8,000,000 $9,000,000 $10,000,000 03/31/16 06/30/16 09/30/16 12/31/16 GEDCO PORTFOLIO BALANCES TexasDAILY TexSTAR Money Market Valley View Consulting, L.L.C. 38Page 60 of 135 Book Value Comparison Coupon/Maturity Face Amount/Purchases/Sales/Adjust/Face Amount/ Description Discount Date Par Value Book Value Adjustments Call/Maturity Par Value Book Value Green Bank MMA 0.67% 01/01/17 2,002,599$ 2,002,599$ 2,935$ –$ 2,005,534$ 2,005,534$ TexasDAILY 0.50% 01/01/17 2,009,403 2,009,403 2,386 2,011,789 2,011,789 TexSTAR 0.48% 01/01/17 5,506,019 5,506,019 (4,163,157) 1,342,863 1,342,863 TOTAL 9,518,021$ 9,518,021$ 5,321$ (4,163,157)$ 5,360,186$ 5,360,186$ Market Value Comparison Qtr to Qtr Change Green Bank MMA 0.67% 01/01/17 2,002,599$ 2,002,599$ 2,935$ 2,005,534$ 2,005,534$ TexasDAILY 0.50% 01/01/17 2,009,403 2,009,403 2,386 2,011,789 2,011,789 TexSTAR 0.48% 01/01/17 5,506,019 5,506,019 (4,163,157) 1,342,863 1,342,863 TOTAL 9,518,021$ 9,518,021$ (4,157,835)$ 5,360,186$ 5,360,186$ September 30, 2016 December 31, 2016 September 30, 2016 December 31, 2016 Valley View Consulting, L.L.C.39Page 61 of 135 Grant Description Grantor Grant Amount Match Status Fire Fire Extinguisher Training System Firehouse Subs Public Safety Foundation 10,332$ -$ Application Approved CITY OF GEORGETOWN GRANT APPLICATIONS as of December 31, 2016 40 Page 62 of 135 2016/17 Year to Date Year to Date Project Budget Expenditures Encumbrances Balance General Government CIP Public Safety & Facilities 6CR Public Safety Facility -$ 161,790$ (143,870)$ (17,919)$ 6DP Fire Station ESD 300,000 - - 300,000 6EW Transfer Station / Landfill - 29,140 (29,140) - 7AD Communications - 11,951 (11,951) - 9BE Preventative Maintenance - 47,115 (47,115) - Public Safety & Facilities Subtotal 300,000 249,995 (232,076) 282,081 Parks CIP Bonds 1DN Access to Rtw to Gov Srv -$ 9,118$ (9,118)$ -$ 1DO Austin Ave @ 5th St Light - 44 - (44) 1DP 8th St Church to Myrtle - 29,459 (29,417) (42) 1DX SH29 to Leander Rd SW - 6,466 (6,466) - 6CP San Gabriel Park Improvements 1,000,000 17,580 (17,580) 1,000,000 6DE SG Bank Stabilization - 24,970 (2,910) (22,060) 6DM VFW Park - 274,252 (274,252) - 6DO Garey Park 13,500,000 12,396 (11,902) 13,499,506 6ED Grace Heritage Rehab 140,000 - - 140,000 6ES ADA Facilities 150,000 - 6,895 143,105 6ET ADA Parks 150,000 - 190,284 (40,284) 9AU University Sidewalks - 73,865 (73,865) - YYY Radio Replacement, Parks 64,333 - - 64,333 WWW Sidewalks 453,000 - - 453,000 Parks CIP Bonds Subtotal 15,457,333 448,150 (228,331) 15,237,514 Parks CIP 6DB McMaster Park - 9,675 (9,675) - 6EH Village Park - - 53,232 (53,232) Parks CIP Subtotal - 9,675 43,556 (53,232) Downtown & Community Service 6EJ Parking Facility Study / Design - 21,869 (21,869) - 6EK Former PD Renovation - 144 (144) - 6EM Downtown West 6,693,883 - - 6,693,883 46P Sheraton @ the Summit - 2,346,138 - (2,346,138) Downtown & Community Service Subtotal 6,693,883 2,368,151 (22,013) 4,347,745 Total General Government CIP 22,451,216$ 3,075,971$ (438,864)$ 19,814,108$ Transportation Services CIP Streets / Transportation 1BZ 971 @ Austin Ave.-$ 101,614$ (101,614)$ -$ 1CC FM 1460 - 1,713 (1,713) - 1CE Street Maintenance 906,000 - - 906,000 1CF Street Overlay/Microsurfacing 300,000 - - 300,000 1CN Sealant 100,000 716 (716) 100,000 1CS DB Wood Bridge - 6,792 (13,477) 6,685 1CU Cutler Process 819,000 8,198 (8,198) 819,000 1DI SW Bypass / WR Parkway - 4,047,511 (4,047,447) (64) 1DJ Chip Seal 1,200,000 - - 1,200,000 1DK Southeast Inner Loop - 26,675 - (26,675) 1DL Austin Avenue Bridge - 39,613 150,718 (190,331) 1DN Access RTW to GOV SRV - 40,690 23,129 (63,819) 1DX SH29 to Leander Rd - 40 - (40) 41 Page 63 of 135 2016/17 Year to Date Year to Date Project Budget Expenditures Encumbrances Balance 1DO Austin Avenue at 5th St Light - 5,076 (5,076) - 1DR PH 1 Signal and Curb Ramps - 38,990 (38,990) - 5AL Curb and Gutter 623,000 84,571 789,869 (251,440) 9AU University Sidewalks - - - - Streets / Transportation Subtotal 3,948,000 4,402,200 (3,253,516) 2,799,316 Sidewalks / Transportation 1DT 10th St (Main- Rock)94,000$ -$ -$ 94,000$ 1DW 11th St Main-Rock)151,000 - - 151,000 1DP 8th St (Church - Myrtle 37,000 - - 37,000 1DU 8th St (MLK - Rock)84,000 - - 84,000 1DQ Austin Ave. (9th-University)178,000 - - 178,000 ZZZ Austin Ave. ( SH29- FM2243)70,000 - - 70,000 1DV Chruch St ( 8th -9th)105,000 - - 105,000 XXX Old Town Northeast 960,000 - - 960,000 1DR Ph 1 Signal & Curb Ramps 500,000 - - 500,000 Sidewalks / Transportation Subtotal 2,179,000 - - 2,179,000 CDBG / Transportation 9AU University Sidewalks -$ 46,555$ (466)$ (46,089)$ VVV Scenic Dr Sidewalks 135,500 - - 135,500 CDBG / Transportation Subtotal 135,500 46,555 (466) 89,411 42 Page 64 of 135 2016/17 Year to Date Year to Date Project Budget Expenditures Encumbrances Balance Stormwater 1BE Maple Street Culverts - - - - 2BV Tin Barn/ 17th & Austin Ave - - - - 1BF San Gabriel Park Bank Erosion - - - - 5AU Stormwater Inventory - - - - 1BH Oak Tree Drive Bridge - - - - 1BU Streets Rehabilitation - - - - 1BV Ranch Road Storm sewer - - - - 1CP 2012 Streets Rehab - - - - 1CS DB Wood Bridge - - - - 5AG Railroad Drainage - - - - 5AK Curbs & Gutters - - - - 5AL Curb & Gutter 500,000 7,100 175,850 317,050 5AM Curb & Sidewalks - - - - 5AO Stormwater Infrastructure 200,000 - - 200,000 5AT Smith Branch Buy-Outs - - - - 5AW Regional Flood Study - 881 (881) - 6DE SG Bank Stabilization - - - - 5AP John Thomas & Gabriel View - - - - 1AM 2004 Street Rehab - - - - 1CJ Austin Ave Sidewalks - - - - 5AV W. 4th Street - - - - 1CZ MS4 Permits - - - - AAB 18th & Hutto Drainage 100,000 - - 100,000 AAC 2nd & Rock Pond 50,000 - - 50,000 AAD Serenada Culvert Improvements 50,000 - - 50,000 AAE Village PID Inlet 75,000 - - 75,000 Stormwater Subtotal 975,000 7,981 174,969 792,050 Airport 6VA Airport Master Plan - - - - 6VB Parallel Taxiway & Runway Lights - - - - 6VC AJS draining improvements - - - - 6VD Runway 18-36 Lights - - - - 6VE Fuel Farm - - - - 6VF Software Specialized - - - - Airport Subtotal - - - - Total Transportation Services CIP 975,000$ 7,981$ 174,969$ 792,050$ NOTES: [a]Individual projects may go over budget as long as total expenditures for all CIP projects are within the department's total budget. Water Services CIP WW Line Upgrades: 2CH Cedar Breaks EST - - - - 3B0 EARZ Ph. 8 - - - - 3CG EARZ 2013-14 - - - - 3CJ Berry Creek Interceptor 12,000,000 50,926 (50,926) 12,000,000 5QZ Snead Dr.- - - - 6CR Public Safety Facility - - - - 3BZ Wastewater - Street Rehab 136,000 - - 136,000 AAK San Gabriel Belt Press 2,207,000 - - 2,207,000 3CN Park LS & FM 3,982,000 - - 3,982,000 WW Line Upgrades Subtotal 18,325,000 50,926 (50,926) 18,325,000 43 Page 65 of 135 2016/17 Year to Date Year to Date Project Budget Expenditures Encumbrances Balance WW Edwards Aquifer Compliance: 3AN EARZ Testing - - - - 3B0 EARZ Ph. 8 - - - - 3CG EARZ 2013-14 - - - - 3CH Odor Control Study - LS - - - - 3CK EARZ 2014-15 750,000 25,393 - 724,607 3CL EARZ 2015-2016 750,000 5,252 657,710 87,038 WW Edwards Aquifer Compliance Subtotal 1,500,000 30,645 657,710 811,645 WW Lift stations & Force Mains 3CC Lift Station Upgrades 550,000 - - 550,000 3CD Stonehedge LS & FM - 28 (28) - 3CE Westinghouse LS & FM - 45,568 2,079,260 (2,124,828) [a] 3CI Austin Custom Molds LS Decommission - - - - WW Lift stations & Force Mains Subtotal 550,000 45,596 2,079,232 (1,574,828) WW Treatment Plant 3CA Pecan Branch WWTP 7,948,000 62,070 (62,070) 7,948,000 WW Treatment Plant Subtotal 7,948,000 62,070 (62,070) 7,948,000 Water CIP 1BU Streets Rehabilitation - - - - 1DE Williams Dr @ Jim Hogg Rd - 524 (524) - 2BR LWTP Expansion Ph. III - - - - 2BW Westside Facility - 272,425 12,457 (284,882) [a] 2BZ West Loop (H-1B) PH 1 2,119,000 - - 2,119,000 2CE Rabbit Hill EST - 389,597 (389,597) - 2CH Cedar Breaks EST - 1,161,244 (1,161,244) - 2CI Shell Rd. Water Line - 1,500 (1,500) - 2CJ Meter Issue - 74,960 - (74,960) [a] 2CK Daniels Mountain GST - 2,478 2,478 (4,956) [a] 2CL Park WTP Pump Station - - - - 2CM SW Bypass Waterline - - - - 2CP Sun City Elevated Storage 3,050,000 - 300,000 2,750,000 2CR Sunny Slope Water Line 125,000 20,000 - 105,000 2CS WD Interim Water Master Plan 125,000 - - 125,000 2BU Water - Street Rehabilitation 330,000 - - 330,000 2BN Southlake WTP 1,000,000 - - 1,000,000 2CQ Water Tank Rehab 480,000 - 80,000 400,000 AAF Leander Interconnect 575,000 - - 575,000 AAH LWTP Raw Water Intake 600,000 - - 600,000 AAI Sequoia Ground Storage Tank 2,500,000 - - 2,500,000 AAJ Domel PS Improvements 4,500,000 - - 4,500,000 2JE CR 255 (WD 14-2)3,000,000 - 20,000 2,980,000 Water CIP Subtotal 18,404,000 1,922,727 (1,137,929) 17,619,202 AMI/CIS-Water 42G AMI Upgrade - - - - 2CG Asset Management - - - - Water/AMI/CIS Subtotal - - - - Total Water Services CIP 46,727,000$ 2,111,964$ 1,486,017$ 43,129,019$ NOTES: [a]Individual projects may go over budget as long as total expenditures for all CIP projects are within the department's total budget. 44 Page 66 of 135 2016/17 Year to Date Year to Date Project Budget Expenditures Encumbrances Balance GTEC CIP 1CA SW Bypass Leander to I35 -$ -$ -$ -$ 1CC FM 1460 Widening -$ -$ -$ -$ 51A Economic Development Projects 1,468,750$ -$ -$ 1,468,750$ 5QC Southwest Bypass -$ 893$ -$ (893)$ [a] 5QG SE1: Inner LP / SH130 -$ -$ -$ -$ 5QW Wolf Ranch Pkwy Extension -$ -$ -$ -$ 5QY NB Frontage Rd 2338 to Lakeway -$ -$ -$ -$ 5QX Northwest Boulevard Bridge -$ 11,414$ (11,414)$ -$ 5QZ Snead Drive -$ -$ -$ -$ 5RB ROW - FM 1460 -$ -$ -$ -$ 5RC Williams Dr. Gateway -$ -$ -$ -$ 5RF Rivery Road (Convention Center Prj..)-$ -$ -$ -$ 5RI Mays Street (S. Georgetown TIRZ)3,500,000$ 1,842,904$ (1,811,310)$ 3,468,406$ 5RJ IH 35 / Hwy 29 Intersection Improvements -$ -$ -$ -$ 5RM Rivery Ext (Williams Dr. - Nwest Blvd.)4,000,000$ 25,750$ (6,000)$ 3,980,250$ 5RN Pecan Center Dr. / Airport Rd.1,850,000$ 169,100$ 410,610$ 1,270,290$ 5RO Southwest Bypass - Laubach -$ 19,235$ -$ (19,235)$ [a] 5RP Rivery TIA Improvements -$ 48,309$ (48,309)$ -$ 5RQ Rabbit Hill -$ 43,754$ (43,754)$ -$ Total GTEC CIP 10,818,750$ 2,161,358$ (1,510,177)$ 10,167,569$ Notes: [a]Individual projects may go over budget as long as total expenditures for all CIP projects are within the department's total budget. 45 Page 67 of 135 2016/17 Year to Date Year to Date Project Budget Expenditures Encumbrances Balance Electric CIP Electric CIP 9-0580-90-139 17th Street Rehab 50,000 - - 50,000 9-0580-90-140 7th Street Rehab 200,000 - - 200,000 9-0580-90-141 Downtown OH Rehab 500,000 - - 500,000 9-0580-90-142 Downtown West 970,000 - - 970,000 9-0580-90-143 Shell Road Feeders 450,000 - - 450,000 9-0580-90-144 Sidewalk Pole Relocation 50,000 - - 50,000 9-0580-90-145 Sidewalks South College 50,000 - - 50,000 9-0580-90-146 Southwest Bypass Feeder 300,000 - - 300,000 9-0580-90-147 Westh 10th Street Rehab 98,000 - - 98,000 9-0580-90-148 Westh 11th Street Rehab 200,000 - - 200,000 9-0580-90-300 Electrical System Improvement - 366,426 245,592 (612,018) [a] 9-0580-90-310 Power Quality Improvements 80,000 8 - 79,992 9-0580-90-320 Sectionalization Improvements 50,000 - - 50,000 9-0580-90-330 Pole Improvements - 1,632 - (1,632) [a] 9-0580-90-331 Pole Inspections 50,000 - - 50,000 9-0580-90-340 Major Device Replacement - - - - 9-0580-90-350 Relocation Projects Reimbursements - 13,459 - (13,459) [a] 9-0580-90-400 Electrical System Expansion - - - - 9-0580-90-410 New Development Projects 1,200,000 820,108 1,237,481 (857,589) [a] 9-0580-90-420 Reimbursements New Development - - - - 9-0580-90-430 Street Lighting 88,000 721 3,000 84,279 9-0580-90-500 Consultant Engineering 150,000 15,161 181,839 (47,000) [a] 9-0580-90-510 System Mapping Support - - 80,000 (80,000) [a] 9-0585-90-003 Electric Substations - - - - 9-0585-90-021 Communication Equipment - - - - 9-0585-90-022 General Engineering - - - - Electric CIP Subtotal 4,486,000 1,217,515 1,747,912 1,520,573 T&D 9-0585-90-003 Electric Substations - 17,526 (15,974) (1,553) [a] 9-0585-90-021 Communication Equipment 295,000 89,456 45,264 160,280 T&D Subtotal 295,000 106,982 29,290 158,728 CIS 9-0580-91-105 CIS System - 12,285 1,288,406 (1,300,691) [a] CIS Subtotal - 12,285 1,288,406 (1,300,691) Total Electric CIP 4,781,000$ 1,336,782$ 3,065,608$ 378,609$ 46 Page 68 of 135 Unfunded Liability & Commitments Description Financial Impact/Notes Status 9/30/16 Status Updates - 12/31/16 Cemetery Special Revenue Fund City owns several cemeteries including Independent Order of Odd Fellows (IOOF) and is obligated to maintain facilities, primarily mowing. Currently no perpetual fees to plot owners. Currently cemetery operations are self-funded through plot sales of approximately $50K per year. The cemetery is managed through Parks Administration. In 2015, Council elected to reserve $75,000 annually for future costs associated with maintaining the property. The General Fund will make this transfer in 2016 and 2017. Current plot sales are used to offset maintenance costs. As of 9/30/15, the Cemetery SRF had an ending fund balance of $314k. Projected FY2016 ending balance of $400K, with $250K in perpetual reserve. Approved FY2017 expenditure of $150K to add Columbarium service. As of 9/30/2016 the ending balance in the fund increased from $314K to $401K. An update on the Columbarium service will be provided during the Parks Budget Workshop. Self-Insurance Internal Service Fund Established in 2014 to provide and manage employee health insurance. Includes both employee contributions (premiums) and City contributions through the annual budget. Costs are allocated through the budget to the ISF based on employees within each fund. The ISF is overseen by HR and Finance, with annual plan elements determined by the Employee Benefit Committee. City Council approved two levels of reserve in the Fiscal and Budgetary Policies on April 26, 2016. Initial plan was to build reserve fund over 3 to 5 year period and draw from other City sources if necessary. FY2016 projected fund balance is $2.6M. This fund balance is significantly higher than originally forecasted, and is due partially to lower medical claims as well as returning all unused budget allocations for health insurance into the fund. In FY2017 the IBNR reserve is fully funded at 10% of expenses, and the Rate Stabilization reserve is fully funded at 20% of expenses. As of 9/30/2016 the ending balance in the fund increased from $2.2M to $2.4M. The City switched its dental plan to self-insured for 2017. Staff will bring forward a mid-year budget amendment to the Self-Insurance fund to realize the savings. There will be no impact to ending balance. Unfunded Actuarial Accrued Liability (UAAL) Recognizes the outstanding liability for the City’s employee retirement plan through TMRS. The City contributes monthly to fund the UAAL, based on an annual percentage of payroll. Actual % of payroll costs is recognized within each fund. The UAAL is provided by TMRS and lags one year. As of 12/30/14, the UAAL was $17.4M and is considered 83.3% funded. The City will amortize any UAAL over a period not to exceed the amortization period used by the TMRS actuary. The City may amortize its UAAL more quickly by making contributions to TMRS in excess of the rate specified by TMRS. The 2017 TMRS contribution rate is 12.56%. As of 12/30/15, the UAAL was $20.9M and is considered 82.2% funded. Other Post Employee Benefits (OPEB) While the City has no obligation to offer additional retiree benefits, retirees are eligible to participate in the City’s health insurance program. That ability represents a subsidy that impacts health insurance costs to the City. Retirees pay their monthly premiums to the ISF who in turn processes their health insurance claims. This is an actuarial calculation based on current and future employees on future City health insurance costs, and has numerous and complex factors in its calculation. Retirees pay their own premiums, and thus the liability is considered “pay as you go”. With additional employees being added, potential future retiree impacts increase. The 2015 current net OPEB liability is $786,700, which is an increase of $159,670 over the prior year. The 2016 current net OPEB liability is $972,576 which is an increase of $185,876 over the prior year. Compensated Absence Future costs associated with benefits such as vacation, and sick leave for City employees. Compensated Absence is accrued annually to each proprietary fund type on a GAAP basis and accounted for on the balance sheet of each fund. For governmental funds (and for budgetary basis), the expense is recognized when due and payable. in 2015, total citywide Comp Absence is $5.8M, of that $4.9M is considered unfunded in the Gen Fund. Employee payouts are on a “pay as you go” basis. $30K is budgeted annually to offset the costs of employee benefit payout. In 2016, total citywide compensated absence is $6.4M, of that $5.4M is considered unfunded in the General Fund. The City's Fiscal and Budgetary Policy state the payout reserve will equal 15% of the liability in the Governmental Funds. The FY 2018 budget process should consider increasing the $30,000 payout reserve for the Governmental Funds to be in compliance with the policy. Rate Stabilization Reserve Intended to mitigate potential rate impacts due to increased fuel costs or other external factors. The RSR is maintained within the Electric Fund and is projected to be $4.5M in FY2017. Potentially, a similar reserve could be developed for the Water Fund. Used to defer or minimize the future cost increases or other impacts related to power costs. Monitored and adjusted monthly as needed through the Power Cost Adjustment (PCA). The Electric Fund experienced higher than usual purchased power costs in FY 2016. Staff and Council took action to amend the FY 2016 budget and FY 2017 budget to maintain $4,775,000 in cash reserves for Contingency. Cash reserves for Rate Stabilization will need to be built back up. The Electric Fund will procure a new rate study in FY 2018 to determine a new rate stabilization target. Airport Maintenance Fund on-going maintenance of the Airport grounds, runways and taxi ways. Terminal and Tower included in Facilities ISF. An Airport Master Plan will be developed over the next year to address long term capital maintenance project prioritization. A plan was developed to increase revenues towards a self- supporting fund status within 3- 5 years. Early assessments indicated the self-supporting status may occur within 3 years. FY 2017 approved budget shows fund breaking even. As of 9/30/2016 the ending balance in the fund is $310K, a marked improvement from prior years negative balances. December 31, 2016 CITY OF GEORGETOWN Long-term Commitments, Reservations, and Other Unfunded Liabilities 47 Page 69 of 135 Unfunded Liability & Commitments Description Financial Impact/Notes Status 9/30/16 Status Updates - 12/31/16 Americans with Disabilities Act (ADA) Compliance Needs Federally mandated standards for accessibility to public buildings, parks, sidewalks. As facilities are built or repurposed, meeting ADA compliance will be included in Project Costs. Funding for program expansion will be needed (General Fund sources). The City has an adopted policy, as required by Federal Law, that it will make reasonable accommodations and modifications to ensure that people with disabilities have an equal opportunity to enjoy its programs, services, and activities. The City does not maintain a reserve for these modifications. The City completed facilities, sidewalks and parks assessments. A three year funding plan has been prepared for Parks and Facilities and year one was funded in the 2017 Budget. Training for ADA Board liaisons is funded in the FY 2017 budget. Fiscal year 2016 accomplishments include yearlong review of Plan with Advisory Board, training of 16 City Department ADA Liaisons and 45 City Staff, accessibility improvements to six facilities, three parks and more than 36 individual pedestrian network projects. Work scheduled for Fiscal Year 2017 include nine facilities, five parks and 12 individual pedestrian network projects. Fiscal 2017 activities will also include recommendations for data collection/organization evaluation, scoping, and completing self-assessments for other Transition Plan elements as funding is available and review of the Effective Communication Plan element. Park Equipment Maintenance & Replacement Addresses useful life of equipment type assets in parks, ensuring maintenance and public safety. Over the past 5 years, funding for Park Maintenance and Replacement has increased. $200K transfer from General Fund included in FY2017 budget. Staff has listed all assets & developed replacement schedule funded by the General Fund, soon to be on EAM. Includes equipment not directly in a Facility, such as benches, trail lighting, playground equipment, restrooms, and signage. Playground equipment replacement at McMaster’s Park and VFW Park is scheduled for the next few months. Additionally, an outdoor aquatics slide is planned for replacement prior to the upcoming pool season. Several other parks will have site furnishings and water fountain updates in the coming months. Emergency Medical Service Special Revenue Fund 2014/15 Annual Budget assumed EMS Program to be operationally active by June 2015 with revenues to offset operating and capital costs. Operating deficit would be funded internally until capital costs were recovered in 5 years. Additional resource requirements are currently being evaluated to ensure response times are met and revenue is recovered. FY2017 budget includes 3 FF/Paramedics to mitigate overtime for the 4th TRV, and half of a position to monitor the revenue collection contract. Operations began in fall 2015 and staff is monitoring call volume, revenues and collections. Capital has been expended, including TRV and equipment, 9 new paramedics hired. The City switched billing vendors in fall of 2016 to maximize revenue collections. As of fiscal year end 2016, the fund balance is $(826,180), a decrease from 2015 ending balance of $(704,823). With the lag in revenue collections, staff estimate it will take several years to bring the fund back into balance after the start-up capital expenditures. Sidewalk Maintenance Funding plan for repairing and maintaining existing City sidewalks. FY2017 budget includes spending of $2.6M from approved 2015 Bond Proposition for new sidewalk construction. Currently, new sidewalks are built as development occurs. Repairs are funded as needed or if funding is available, when major roads are repaired. Useful life of a sidewalk is estimated at 40 to 50 years. The largest revenue source comes from the City’s General Fund. Annual funding for sidewalk construction and maintenance is approximately $75,000. In FY 2016, the City completed capital improvements at 36 sites, totaling $558K. FY 2017 includes 12 Sidewalk design and construction of 12 capital improvements totaling $2M. Major Technology Replacement City uses ISF for capital replacement of equipment. Major software (and related implementation) is funded as needed through the annual budget. CIS billing to be replaced in 2016, funded by utility funds. Financial System and Human Resource System selection consultant funding included in the FY2017 budget. Funding for acquisition of the new Enterprise Resource Planning system(s) will be considered in the FY 2018 budget process. Current system replacements are funded when actually purchased, with costs allocated if applicable. Revised cost allocation model that captures replacement costs approved for the FY2017 budget, with a three year phase in approach to true cost. The FY 2016 and FY 2017 Electric and Water fund budgets were amended to split the cost of the CIS system between the funds. The remaining costs of the project will be funded with debt instead of cash. Staff and consultants are currently performing a business process review for HR and Finance that will inform the ERP software selection. Estimated costs for buying and implementing the ERP will be included in the Proposed Budget. Radio Equipment Replacement Communication system consisting of 500 on-body and in-vehicle radios for Police, Fire, and GUS.Replacement radios are compatible with newer technology. Current model no longer supported in 2018. Staff proposed 3 year replacement schedule for FY2017-2019, $500K per year. Phase I approved in FY2017 and led by new Emergency Management Coordinator. Staff will provide an update on this year's purchasing during the budget workshops. 48 Page 70 of 135 City of Georgetown, Texas City Council Workshop Marc h 14, 2017 SUBJECT: P resentation of the FY2 01 8 Budget Process and propo sed Workshop Calendar -- P aul Diaz, Budget Manager ITEM SUMMARY: P resentation regarding the FY2018 P roposed Budget Development Calendar. COMMENTS This was presented to the General Government & Finance Advisory Board on Octo be r 26 , 20 16 and was approved 5-0 . FINANCIAL IMPACT: N/A SUBMITTED BY: P aul Diaz, Budget Manager - SP ATTACHMENT S: Description Bud get Pro ces s P res entation Page 71 of 135 FY2018 Annual Budget FY2018 Budget Process Paul Diaz Budget Manager Page 72 of 135 FY2018 Annual Budget Budget Approach Page 73 of 135 FY2018 Annual Budget Council Focus Areas •Culture –Georgetown is a truly diverse, vibrant, inclusive, and socially dynamic city where everyone has the opportunity to participate in, and benefit from, our economic, political, and social activities •Employee –Our outstanding and innovative City Employees work diligently to bring the Vision of Council to life and deliver exceptional services to our customers while exemplifying our Core Values •Internal Process –Our policies and procedures are easy to understand, and consistently and professionally applied. Our internal processes are effective, efficient, fair, inventive, and transparent, and make us a desired destination for residents and businesses •Customer –Anyone interacting with the City will have such a positive experience that they will tell everyone about it •Financial –To maintain a fiscal environment conducive to attaining the goals of the City Page 74 of 135 FY2018 Annual Budget Topics to Cover Page 75 of 135 FY2018 Annual Budget Calendar •April 11th –Public Safety •April 25th –Parks CIP (Garey, San Gabriel) •May 9 th –Compensation and Benefits •May 23 rd –Public Works and Street Maintenance •June 13th –Utilities CIP Page 76 of 135 FY2018 Annual Budget Calendar •June 13th –Facilities CIP •June 27th –Revenue Forecast, Operations Impact, and Staffing •June 27th –Utility Operations •July 11th & July 12th –City Council Work Sessions –July 12th is a special meeting (Wednesday) Page 77 of 135 FY2018 Annual Budget Calendar •July 25th –City Manager’s Proposed Budget and Five Year CIP •August 8th –Public hearing on the Tax Rate •August 15th –Special Meeting: Public hearing on the Tax Rate •August 22nd –1st Reading on Tax Rate & Budget •September 12th –2nd Reading on Tax Rate & Budget Page 78 of 135 FY2018 Annual Budget Questions and Direction from Council Page 79 of 135 City of Georgetown, Texas City Council Workshop March 14, 2017 SUBJECT: Discussion regarding the Georgetown Transportation Advisory Board acting as the c ommittee that will review the City of Georgetown’s P ave ment Management Program -- Octavio A. Garza, P.E. C.P.M, Public Wo rks Director ITEM SUMMARY: City Management has requested staff to work with the Geo rgeto wn Transpo rtation Advisory Bo ard in a comprehe nsive review of the City’s P avement Management P rogram. This process is expected to enco mpass the ne xt three meetings and will assist the Board in identifying process improvements and make recommendations to the City Council based o n the ir review and findings, as applicable. Over the next three meetings the program review will consist of various topics, including, but no t limited to, the following: program history; project selection process; pavement deterioration curve s; pavement maintenance me tho ds; technical specific atio ns; reco mmended funding leve ls; deferred maintenance; etc. FINANCIAL IMPACT: NA SUBMITTED BY: Octavio Garza, PE, CP M ATTACHMENT S: Description P avement Management Program Review Committee Presentatio n Page 80 of 135 City of Georgetown Agenda Review history Proposed Scope Review Committee Structure Schedule 2017 Street Maintenance Program Pavement Management Program Review Page 81 of 135 City of Georgetown Pavement Management Program Review •Summer 2016 -City Council requests review of the City’s pavement management program during budget discussions •Winter 2016 -GUS reorganized Transportation Services and creates Public Works Department •January 2017 –Public Works Director hired Page 82 of 135 City of Georgetown Pavement Management Program Review Proposed Scope: 1.Historical approach to managing the city’s most expensive asset 2.Pavement deterioration curves 3.Soils 4.Project selection 5.Technical specifications 6.Pavement maintenance and rehabilitation methods 7.Funding levels 8.Deferred maintenance Page 83 of 135 City of Georgetown Pavement Management Program Review Committee •March 2017 Staff recommends the following GTAB Board Members to serve on the review committee: Steve Johnston Mark Allen Ron Bindas Donna Courtney Troy Hellmann John Marler Sheila Mills Doug Noble •Committee meets prior to regular GTAB meeting Page 84 of 135 Schedule: •GTAB –March 10, 2017 Committee recommendation to City Council •City Council –March 14, 2017 Review GTAB recommendation •GTAB –April 14, 2017 Staff update on items 1-5 1.History 2.Deterioration curves 3.Soils 4.Project selection 5.Technical specifications •GTAB –May 12, 2017 Staff update on items 6-8 6. Maintenance and rehabilitation methods 7. Funding levels 8. Deferred maintenance •GTAB –June 9, 2017 GTAB recommendation •City Council –June 13, 2017 Review GTAB recommendation •GTAB –July 14, 2017 If needed •City Council –July 25, 2017 If needed City of GeorgetownPage 85 of 135 Street Maintenance Program 2017 Hot-In-Place Recycling $1,200,000 City of GeorgetownPage 86 of 135 Street Maintenance Program 2017 Double Coarse Chip Seal $800,000 City of GeorgetownPage 87 of 135 City of Georgetown Questions Thank You Page 88 of 135 City of Georgetown, Texas City Council Workshop March 14, 2017 SUBJECT: P resentation and discussio n of the 2017 Transit Se rvice P lan Name Brand Develo pment and Open House Preparation -- Nat Waggoner, Transpo rtation Analyst, PMP®, AICP, Keith Hutchinson, Public Communicatio n Manager ITEM SUMMARY: In February 20 17 , staff provided Co uncil a summary of ac tions taken since Septe mber and an overview o f tasks remaining in the 2017 Transit Pro ject P lan. The attached prese ntation will provide Co uncil an update o n the development of a name for the system and preparation for an open house o n March 21 st, from 4-7pm at the Geo rgeto wn Library. STAF F RECOMMENDATION: Recommend staff co ntinue major tasks including branding, fare policy development and public involvement and request staff provide an update to Co uncil on 3/28/2017. FINANCIAL IMPACT: n/a SUBMITTED BY: Nat Waggoner, PMP, AICP ATTACHMENT S: Description P res entation Page 89 of 135 Transit Service Plan Georgetown Transit Service Council Update March 14, 2017 Page 90 of 135 Transit Service Plan Agenda ●March 21st Open House Purpose and Preparation ●Branding/Naming ●Next Steps Page 91 of 135 Transit Service Plan Page 92 of 135 Transit Service Plan Public Transportation Implementation Committee Pilot Program Census Urbanized Area Capital Metro Service Expansion Policy Council Adopts Budget Strategic Goal Completed Transit Feasibility Study Council Decision on Transit Transit Development Process 2008 201620152014 Population: 45k Population: 57k 2009 Recommends Fixed Route 2010 No Fed $ for Operations Fed $ for Operations •Study Evaluated: •Demographics •Income •Population Density •Car Ownership •Public Surveys •Interviews •Land Use •Existing Demand Response Page 93 of 135 Transit Service Plan Implementation Timeline Dec 18, '16 Jan 15, '17 Feb 12, '17 Mar 12, '17 Apr 9, '17 May 7, '17 Jun 4, '17 Jul 2, '17 Jul 30, '17 Design and Construction Thu 12/15/16 -Mon 6/5/17 Brand Development Wed 12/21/16 -Tue 4/11/17 Public Involvement Plan Tue 1/17/17 -Fri 4/28/17 Fare Management Wed 1/25/17 -Tue 4/11/17 Launch Communication Plan Tue 4/18/17 -Tue 8/22/17 Opening Tue 6/6/17 -Mon 8/21/17 Council Workshop on Fare Management, Name/Brand Tue 3/28/17 City Council Workshop on Name/Brand Development, PM#1 Tue 3/14/17 Council Considers Approval of Project Plan Tue 4/11/17 Grand Opening Mon 8/21/17 Today Public Meeting#1 Thr 3/21/17 Page 94 of 135 Transit Service Plan Service Starting Route Departs Transfer Center Arrives Transfer Center Layover at Transfer Center Paired Route Departs Transfer Center Arrives Transfer Center Layover at Transfer Center Route 1 :30 :55 5 minutes Route 2 :00 :25 5 minutes Route 3 :30 :55 5 minutes Route 4 :00 :25 5 minutes Route Hours of Operation Weekday 1 6:30 am to 6:30 pm 2 7:00 am to 7:00 pm 3 6:30 am to 6:30 pm 4 7:00 am to 7:00 pm Route Hours of Operation Saturday 1 8:00 am to 6:00 pm 2 8:30 am to 6:30 pm 3 8:00 am to 6:00 pm 4 8:30 am to 6:30 pmPage 95 of 135 Transit Service Plan Public Input Survey Conducted by the Georgetown Health Foundation ●Survey distributed by Georgetown Health Foundation The Georgetown Project Collaborative for Youth & Children SE Georgetown Community Council Georgetown Fellowship of Churches (GFOC) ●Results of the focused survey will be shared with the broader public at the 3/21 Open House ●Feedback from the 3/21 Open House will be shared with Council 3/28 Page 96 of 135 Transit Service Plan Transit Working Group Fare and Ridership Policy Development •Basis includes recommendations from the Transit Development Plan (TDP) Current Demand Response Fare Fare Box Recovery estimates from Financial Plan •Peer City Comparisons: Round Rock Victoria City of Austin San Marcos •Consideration for future fare revisions (YR 2) based on actual ridership and desired revenue recovery Page 97 of 135 Transit Service Plan Fare Rate Day Pass (unlimited) $2.00 All Day Passes valid for unlimited rides on the date of purchase Paratransit (each way) $2.00 A shared-ride paratransit service for qualified people with disabilities that mirrors regular bus service. Monthly (unlimited) $30.00 Reduced Fare Day Pass Seniors, 65 and over with a Medicare ID $1.00 Disability (qualified through Capital Metro) $1.00 Veterans and Active Military $1.00 Students with ID, 12 & Up $1.00 Accompanied children 0-12, with Full Fare Rider FREE DRAFT Fare Schedule and Ridership Policy Page 98 of 135 Transit Service Plan Next Steps ●3/21 Public Meeting Name and Branding Fare, Ridership Routes/Stops ●3/28 Workshop with Council Final Name and Branding Review Feedback from Public Meeting ●4/11 Workshop and Regular Agenda Item with Council Consider adopting Transit Plan Page 99 of 135 Transit Service Plan Questions and Guidance Nat Waggoner, PMP, AICP Transportation Analyst (512) 930-8171 Page 100 of 135 Transit Service Plan Transit System Naming and Branding There’s a lot riding on the name. Key Sources: •Creating the Perfect Name, third edition, Catchword Branding, 2014. http://catchwordbranding.com/wp-content/uploads/2016/03/CW_NamingGuide_100914.pdf •The Art of Naming, fourth edition, Zinzin, 2017. http://www.zinzin.com/guides/zinzin-naming-guide.pdf Page 101 of 135 Transit Service Plan The challenge •“Everything you do or ever will do begins with your name. That's why it's vital to get the name right.” The Art of Naming Page 102 of 135 Transit Service Plan Types of names Descriptive Describes goods or services offered Products •PayPal •The Dollar Store •Toys R Us •Virtual Wallet •3 Day Blinds Transit systems •Round Rock Transit •SMTX The Bus (San Marcos) •McAllen Express Transit •Big Blue Bus (Santa Monica) Page 103 of 135 Transit Service Plan Types of names Invented Poetic, foreign words, made-up words Products •Coca-Cola •Exxon •Google •Hulu •Kodak •Twitter Transit systems •The T (Fort Worth) Page 104 of 135 Transit Service Plan Types of names Experiential Alludes to benefits of product indirectly. Most popular type of name. Products •Amazon •Caterpillar •Facebook •Fitbit •Oracle Transit systems •IndyGO (Indiananpolis) •CityGO (Salina, KS) •DART (Dallas) •VIA (San Antonio) Page 105 of 135 Transit Service Plan Dart: defined •to move swiftly •projectile thrown at a target Via: defined •by way of •route or road in Spanish Page 106 of 135 Transit Service Plan Page 107 of 135 Transit Service Plan Types of names Evocative Metaphorical, connotative, mythical. Products •Apple •Hulu •Oreo •Starbucks •Yahoo Transit systems •ART (Asheville, NC) Page 108 of 135 Transit Service Plan ART Asheville Redefines Transit Page 109 of 135 Transit Service Plan The naming process: city staff team Marketing group •James Foutz •Keith Hutchinson •Eric Lashley •Judie Mattocks •Michelle Meaux, Cap Metro •Sally Miculek •Rachael Pattillo •Ed Polasek •Holly Pryor •Sam Sargent, Cap Metro •Matt Synatschk •Beth Wade •Nat Waggoner Management group •David Morgan •Laurie Brewer •Jim Briggs •Wayne Reed •Jack Daly •Octavio Garza Page 110 of 135 Transit Service Plan The naming process Created strategic brief on Feb. 8 (Marketing group) •What are we naming? •Uses of name for marketing •Competition •Identify customers •How are we distinct in field? •What should the name communicate? •How should the name feel? •Legal or language issues •Archetypal brand fit •URL or domain name Page 111 of 135 Transit Service Plan Strategic brief 1. What are we naming? (present, future) •Bus system in Georgetown with four routes •Other forms of transport—bikes, walking, •More routes •Rail •Rideshare •Mobility Page 112 of 135 Transit Service Plan Strategic brief 2. How will we use the name? (present, future) •On side of each bus •Brochures •Rack cards •Signs •Media •Website •Sidewalk •Link all the programs to one identity Page 113 of 135 Transit Service Plan Strategic brief 3. What is the competition to the transit system? (present, future) •Private vehicles •Georgetown Taxi and Limo, Ace Taxi, 10/10 Taxi, Hison Cab •Uber, Lyft •Car2go, Zipcar, other careshare services •Bikeshare •Faith in Action Caregivers •Nonprofit providers •School buses •CARTS Page 114 of 135 Transit Service Plan Strategic brief 4. Who are the customers for the transit system? (present, future) •People who don’t have cars •Seniors •Unattended minors •Persons with disabilities •School children •Those on limited or fixed income who can’t afford Uber or Lyft •Nightlife entertainment goers •Environmentally-conscious people •Non drivers •Working people, esp. retail and hotels Page 115 of 135 Transit Service Plan Strategic brief 5. How are we distinct in our field? (present, future) •Unusual for city of our size to have a transit system •Downtown is a retail and leisure center •Arts district •Hub by downtown •We import more daytime workers than we export •Poppies •Poppy organized transit or POT •Most Beautiful Town Square in Texas Page 116 of 135 Transit Service Plan Strategic brief 6. What should the name communicate? •Reliability •Freedom •Accessibility •Simplicity •Trustworthiness •Comfort •Safety •Community •Mobility •Friendliness •Eco-friendly and low environmental impact •Good value •Efficiency or movement Page 117 of 135 Transit Service Plan Strategic brief 7. How should the name feel? •Community •Upbeat, peppy •Hometown •Stability •Relaxed •Established, urbane •Classiness, classic •Historic •Chisholm Trail •Monument Café •Pride Page 118 of 135 Transit Service Plan Strategic brief 8. Legal or language issues to consider? •Word in other languages •Other uses of name 9. URL or domain name considerations? •name.georgetown.org is likely URL for website Page 119 of 135 Transit Service Plan Strategic brief 10. Does the name fit Georgetown’s archetypal brand? •Georgetown’s archetypal brand is Innocent (like Dove soap, Cotton, Sweet Leaf Tea) Page 120 of 135 Transit Service Plan The naming process Generate, winnow, and select names •Marketing group name generation •Management group input •Marketing group creates list of top names •Select final 3 •Feb. 8 -15 •Feb. 22 •Feb. 22 -28 •March 1 Page 121 of 135 Transit Service Plan The naming process o Started with 120 names. o Marketing and Management groups narrow to 3 names. Page 122 of 135 Transit Service Plan Proposed transit system names Full name, brand name, logo Full name: Capital Metropolitan Transportation Authority Brand name: Capital Metro Cap Metro Metro Page 123 of 135 Transit Service Plan Proposed transit system names Full names Georgetown Link Georgetown Connect Go Georgetown Page 124 of 135 Transit Service Plan Geo Greek word for Earth Sustainability tie-in, 100% renewable energy Geo geography > movement across space Proposed transit system names Page 125 of 135 Transit Service Plan Geo. abbreviation for George Proposed transit system names Geo. Washington Glasscock, Jr.Geo. Washington Glasscock, Sr. Page 126 of 135 Transit Service Plan Proposed transit system names Brand names Page 127 of 135 Transit Service Plan Geo.Link Georgetown Link Brand name: Full name: Page 128 of 135 Transit Service Plan Geo.Connect Georgetown Connect Brand name: Full name: Page 129 of 135 Transit Service Plan GoGeo. Go Georgetown Brand name: Full name: Page 130 of 135 Transit Service Plan The naming process Selection of name •Present names to City Council •City Council selection •Open house •March 14 •March 21 Page 131 of 135 Transit Service Plan The naming process 5. Logo and branding •Work with marketing and design firm to create logo and brand for name •March 15-30 Page 132 of 135 Transit Service Plan Proposed transit system names Geo.Link Geo.Connect GoGeo. Page 133 of 135 Transit Service Plan Questions and Guidance Nat Waggoner, PMP, AICP Transportation Analyst (512) 930-8171 Page 134 of 135 City of Georgetown, Texas City Council Workshop March 14, 2017 SUBJECT: Sec. 551.071: Consul tati on w i th Attorney - Advice from attorney about pending o r co ntemplated litigation and other matters o n which the attorney has a duty to advise the City Council, including agenda items Sec. 551.072 - De l i berati o n Regardi ng Real P ro perty - Inner Loop Proje c t - Inner P eace Parcels 1,2,3,4 & 5 (Inner Loop @ FM 1460) Sec. 551.074: Personnel Matters - City Manager, City Attorney, City Sec re tary and Municipal Judge: Consideratio n of the appointment, employme nt, evaluation, reassignment, duties, discipline, or dismissal - City Secretary Perfo rmance Evaluation ITEM SUMMARY: FINANCIAL IMPACT: NA SUBMITTED BY: Shelley Nowling, City Secretary Page 135 of 135