Page 439 - Microsoft Word - FY 2021 tax info sheet

iv. Reduce or defer non‐essential repair and maintenance expenses. Examples –
vehicles, communications, office equipment, machinery and buildings. Repair and
maintenance of essential non‐working equipment is permitted, subject to approval
by the City Manager.
d. Improvement in Economic Conditions. When the estimated annual revenue equals or
exceeds the budget projections for 3 consecutive months, and economic indicators are
anticipated to continue to improve, initiate Level I.

3. Level III: The estimated annual revenue is below budget projections for 9 consecutive months,
or is below budget projections by more than 6% for 6 consecutive months. Current economic
conditions and indicators are anticipated to continue or possibly worsen.
a. Expenditures:
i. Prepare for implementation of a Reduction in Force Plan.
ii. Implement a compensation freeze.
iii. Identify overtime expenses that may likely be reduced.
iv. Reduce external program funding.
v. Eliminate or defer pending capital improvement projects.
vi. Consider deferring payments to City‐owned utilities – water and wastewater
services.
b. Revenues:
i. Recommend property tax increase.
ii. Recommend water and/or wastewater rate increase.
iii. Recommend new revenues, or increases in current fees.
iv. Recommend use of available fund balance.
c. Service Level Impacts:
i. Significant reductions in service levels.
ii. Evaluate and/or recommend a reduction in hours of operation at all facilities.
iii. Essential programs and services will be evaluated for reductions.
iv. Reduce energy costs through reduction in hours of operations.
d. Improvement in Economic Conditions. When the estimated annual revenue equals or
exceeds the budget projections for 3 consecutive months, and economic indicators are
anticipated to continue to improve, initiate Level II.

4. Level IV: The estimated annual revenue is below budget projections for 12 consecutive months,
or is below budget projections by more than 6% for 9 consecutive months. Current economic
conditions and indicators are anticipated to continue and are likely to worsen.
a. Expenditures:
i. Implement Reduction in Force Plan (reduce employee personnel costs, including an
employee furlough plan for time off without pay and/or four‐day work weeks,
laying off of personnel, etc).
ii. Consider other cost reduction strategies.
iii. Reduce departmental budgets by a fixed percentage or dollar amount.
iv. Eliminate external program funding.
v. Reduce and/or eliminate overtime expenses throughout departments.
b. Revenues:
i. Implement property tax rate increase.
ii. Implement water and wastewater rate increase.
iii. Increase user fees.
iv. Implement use of available fund balance.
c. Service Level Impacts:
i. Reduce hours of operations of all facilities.

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