Page 49 - Saginaw FY20 Annual Budget

CITY OF SAGINAW
5-YEAR FUND SUMMARY
2019 - 2020
Explanation of Variances

Note 1 - The $899,323 surplus in the General Fund is due to increased collections for building permits, construction inspection fees,
electric provider franchise fees, increased property tax collections due to increased property values, and a savings in gasoline
expense. There was a planned draw down of fund balance in the Debt Service Fund in addition to debt issuance costs for a bond
refunding. The $2,232,560 deficit in Capital Projects represents the use of bond funds issued in the previous year for the Bailey
Boswell Road project. Planned developer contributions towards future road work contributes to the $647,002 surplus in the General
Escrow Fund. The deficit in the Water/Wastewater Escrow Fund is due to collections of impact fees from previous years being used to
fund the SE 24" trunk main and the Saginaw Boulevard Phase 1 water line.

Note 2 - The $955,543 surplus in the General Fund is due to increased sales tax and the delay of an economic development incentive
loan. There was a planned drawdown ($153,288) of fund balance in the Debt Service Fund. The $2,030,900 surplus in Capital Projects
Fund is due to the issuance bonds and the construction delay for the Bailey Boswell Road project. One time capital purchases are
funded with previous collections in the CCPD Fund, resulting in a deficit of $69,881. The $559,198 surplus in Drainage Utility reflects
the $1 per month fee increase. Fund balances in future years will be used for drainage construction projects. The $168,378 surplus in
the Street Maintenance Fund is due to increased sales tax and the delay of several street maintenance projects.The $298,180 increase
in the Water/Wastewater Escrow Fund is due to increased collection of water impact fees as a result of increased construction activity.

Note 3 - The $49,193 deficit in the General Fund is for one time capital purchases. There was a planned drawdown of fund balance in
the Debt Service Fund. The $5,389,206 deficit in Capital Projects Fund is due to use of previously issued bonds for the construction of
the Bailey Boswell Road project. The $515,747 surplus in Drainage Utility reflects actual collections. The fund balance in future years
will be used for drainage construction projects. There was a surplus in the Street Maintenance Fund due to delay of the Burlington Road
project. The $324,578 surplus in the General Escrow Fund is due to a developer contribution for the future improvements to Old
Decatur Road, increased hotel/motel tax revenue, and unusually high year for insurance claims. The $232,839 deficit in the
Water/Wastewater Escrow Fund is a result of using previously collected water impact fees for the South Hampshire 16" waterline and
the Saginaw Boulevard 12" water line phase 2 projects. The $505,349 surplus in the Enterprise Fund is due to strong water sales
throughout the spring and summer, higher than average sewer surcharge revenue, and the delay of several planned capital projects.

Note 4 - The $1,529,830 planned, deficit in the General Fund was for one time capital purchase and projects including the replacement
of the Fire Department's self contained breathing apparatus, a Fire rescue vehicle, expenses related to a charter election, and the City
match for Project Dream Play, an all abilities playground. The $96,000 surplus in the Debt Service Fund was due to higher than
anticipated property tax collections. The $628,300 deficit in the Capital Projects Fund is planned expenses for the Bailey Boswell
Overpass project being funded with previously issued bonds. The $109,940 deficit in the CCPD Fund was for the replacement of four
patrol vehicles. The planned draw down in the Drainage Fund is due to the East Cement Creek Drainage design. The $35,855 surplus
in the General Escrow Fund is due to continuing strong hotel/motel tax collections. There was a $160,885 surplus in the Enterprise
Escrow Fund due to the collection of water impact fees due to new construction that will be used for eligible projects in future years.
The planned $142,270 drawdown of the Enterprise Fund is for capital projects to remedy inflow and infiltration of the wastewater
system, design for the Saginaw Boulevard 16" water line phase 2, the construction of the Fairmont sewer rehabilitation phase 1, and the
relocation of utilities along FM 156 in preparation of the Texas Department of Transportation road project.
Note 5 - The $729,080 budgeted deficit in the General Fund is for one time capital purchases and projects including the replacement
the city-wide telephone system, phase 3a of the American with Disabilities Act assessment of City facilities, Fire Department dispatch
equipment and replacement of cardiac monitors and defbrilators, replacement of room dividers at the Recreation Center, and
replacemet of an outdoor emergency warning signal. The $4,600,390 deficit in the Capital Projects Fund is for the Bailey Boswell
Overpass project being funded with previously issued bonds. The $82,795 deficit in the CCPD Fund is for the replacement of three
patrol vehicles. The $992,660 deficit in the Drainage Utility Fund is due to the beginning of construciton of the East Cement Creek
Drainage project. The planned drawdown in the Street Maintenance Fund is for the reconstruction of Burlington Road and railroad
crossing improvements. There is an expected $96,620 surplus in the Donations Fund with donations exceeding planned expenditures
for both Parks and Library. The respective boards will make recommendations on future use of these donations. The budgeted surplus
in the General Escrow Fund is due to continued high hotel/motel tax collections as well as the transfer from the General Fund for future
equipment replacement. There is an expected drawdown in the Enterprise Escrow Fund due to funding for the Saginaw Boulevard 16"
water line pahse 2 from previous year's impact fee collections. The planned drawdown of the Enterprise Fund is for capital projects to
remedy inflow and infiltration of the wastewater system, FM 156 utility relocations, construction of the Fairmont sewer rehabilitation
phase 1, and the relocation of utilities along the BNSF train tracks.

49