Page 50 - Saginaw FY22 Adopted Annual Budget

CITY OF SAGINAW
5-YEAR FUND SUMMARY
Explanation of Variances

Note 1 - 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 2 - The $94,496 surplus in the Debt Service Fund is due to higher than anticipated property tax collections. The $209,687
surplus in Capital Projects Fund reflects unspent tax note proceeds. The $47,410 deficit in the CCPD Fund was for the replacement of
patrol vehicles. The $419,046 surplus the Drainage Fund is due to the delay of the East Cement Creek Drainage project. The suprlus
of $111,139 surplus in the Street Maintenance Fund relfects the delay of the Burlington Road project. The $104,520 surplus in the
Donations Fund reflects increased donations for the Train & Grain Festival, the delay of the Beautification Plan update and savings in
the Ardent Mills mural. The $124,952 surplus in the General Escrow Fund reflects a developer contribution for future improvements to
Old Decatur Road. There was a $219,222 surplus in the Enterprise Escrow Fund due to the collection of water impact fees that will be
used for eligible projects in future years. The planned $1,409,093 surplus in the Enterprise Fund is due to the delay of several budgeted
projects: projects to prevent 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 3 - The $1,352,274 surplus in the General Fund is due to strong sales tax, buidling fee, and utility franchise fee collections. Cost
saving measures were taken to manage the impact of COVID-19 on City operations. The General Fund also received federal CARES
Act funding through Tarrant County to offset increased exepnditures resulting from the pandemic. The $24,570 deficit in the Debt
Service Fund is for the cost to issue Certificates of Obligations and lower than budgeted property tax collections due to increased
exemptions granted by Tarrant Appraisal District. The $15,816,246 increase in the Capital Projects Fund is due to the issuance of
Certificated of Obligation for future capital projects partially offset by expenditures for the Bailey Boswell Road and Overpass project.
The $39,817 surplus in the CCPD Fund is due to strong sales tax collections. The $172,472 drawdown in the Street Maintenance Fund
is for the East McLeroy curb and gutter project, the completion of Knowles Drive conceptual plan, and the reconstruction of Anderson
Street. The $77,575 surplus in the Donations Fund is due to donations exceeding planned expenditures for both Parks and Library.
Many library programs were cancelled or modified due to the pandemic. The $29,359 surplus in the General Escrow Fund is due to the
transfer from the General Fund for future equipment replacement. There $150,494 increase in the Enterprise Escrow Fund is due the
collection of water impact fees that will be used for eligible projects in future years. The $1,514,420 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.

Note 4 - The $1,371,950 budgeted deficit in the General Fund is for one time capital and land purchases and partial funding for the
Bailey Boswell Overpass project. The planned Debt Service Fund drawdown of $103,835 is to mitigate the impact of the 2020 issuance
of certificates of obligation on the tax rate. The $527,675 deficit in the Capital Projects Fund reflects the use of previously issued bonds
for the Bailey Boswell Overpass project, design and construction of the Central Fire Station, design of Old Decatur Road north, Knowles
Drive, intersection improvements and a traffic signal at Knowles and Bailey Boswell offset by the sale of 2021 General Obligation
Bonds. The $231,435 surplus in the CCPD Fund reflects strong sales tax collections and a one time sales tax audit adjustment. The
$526,915 surplus in the Drainage Utility Fund reflects the delay of the East Cement Creek Drainage project. The $124,410 surplus in
the Street Maintenance Fund reflects strong sales tax collections and a one time sales tax audit adjustment, as well as, the delay of
several street maintenance projects due to staffing shortages. There is a $52,360 deficit in the Donations Fund is due to the use of
previous donations for parking and lighting improvements at Willow Creek Park and public art. The respective boards will make
recommendations on future use of these donations. The budgeted surplus in the General Escrow Fund is due the establishment of a
health insurance rate stabilization escrow and developer escrows for future projects. The is drawdown in the Enterprise Escrow Fund is
for funding of the Saginaw Boulevard 16" water line phase 2. The $446,965 surplus in the Enterprise Fund is due to stronger that
budgeted water sales.

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