It has been a challenging year with the financial changes by state legislators, mandates from the Department of Ecology (DOE), and challenging opportunities facing Long Beach.
In December 2016, we adopted the 2017 budget for Long Beach. This budget reflected total revenue of approximately $8,231,525 and expenditures of about $7,559,776. The following shows where we stand in most funds for the remainder of the year:
Law Enforcement Fund: Budgeted $989,989, and to date we have spent 80.31 percent of the fund with a remainder of $194,939.
Capital Projects Fund: Budgeted $447,118 with projected expenses of $417,722. Currently we have spent 105.64 percent with a negative of $25,210.
Fire Department Equipment: Funded at $36,237 with projected expenses of zero.
Streets Fund: Budgeted at $212,238, with projected expenses of $318,211. This shows a negative of $318,211. However, we are reimbursed from the State Department of Transportation for street paving/maintenance and new street lighting with LED lights. This will balance out the fund.
Lodging Tax: Funded at $878,165. We have spent 73.98 percent, with a balance of $228,485.
Water Operations: Funded at $1,782,516 with expenses of $1,333,992.
Sewer Operations: Budgeted $938,698. We have spent 87.64 percent with a remainder of $115,992.
Storm Water: Funded at $285,637, and we have spent 59.28 percent with a remainder of $116,325.
We are now entering the budget process for 2018. We have workshops scheduled in November and I highly encourage citizens to attend. Below is the initial budget workshop schedule. If more are needed, they will be scheduled.
Nov 13: Water & Sewer
Nov 14: Storm Water & Streets
Nov 15: B&O and Lodging Tax
Nov 17: Budget available to the public
Nov 20: Set property tax rate and preliminary budget hearing
Nov 21: Law Enforcement and current expenses
Each year the mayor and city administrator work on the preliminary budget, with input from all department heads. We hold workshops to evaluate and discuss each fund in detail with public input. Requests for expenditures are evaluated, and some are approved and others denied. During this process items are prioritized, with consideration for public safety, community services, and meeting all federal and state regulatory requirements and with dollars available. It is important to note certain funds cannot be used except within that specific department (i.e., Water Department, Sewer). The General Fund is the most diverse fund. Most departments receive money from this fund to be used for expenses such as building inspections, code enforcement, planning, financial administration, courts, training, fire department and more.
As with every household or business, the price of goods and services seems to increase every year. Within the city, we pay more for certain projects since we are required to pay prevailing wages. I assure you that, as the mayor and the city council, we fully understand the impact to the public. We are part of the public as well and must pay the same fees/rates that are approved by the council. We spend many hours working on the budget to provide vital services to our community at the most reasonable rate.
I look forward to seeing you at the workshops!
As we work on the budget, we must pay close attention to our debt level. Currently our city has 15 outstanding loans/bonds. These loans/bonds were initiated from 1985 to present, and the longest running loan will be paid off in 2050. The following schedule depicts the information on all loans/bonds:
Type Start End 2018 Payment Balance
Sewer Bond 1985 2025 $11,486 $78,699
Sewer Refinance 2002 2021 $30,775 $89,075
Waste Water Upgrade 2003 2022 $30,188 $121,601
New Water Holding Tank 2002 2018 $69,614 $0
Waste Water Upgrade 2003 2020 $10,594 $20,880
Waste Water Phase 1 2004 2023 $16,880 $75,961
Waste Water Phase 2 2004 2023 $17,631 $86,821
Waste Water Phase 3 2006 2026 $133,685 $957,281
Emergency Dam Repair 2007 2026 $7,923 $59,490
New Water Plant Design 2010 2028 $31,263 $334,160
New Water Plant 2012 2012 2037 $101,354 $3,392,764
Bingo Building 2002 2021 $9,709 $28,551
Veterans Field 2010 2020 $41,017 $71,826
Storm Water 2013 2023 $66,187 $288,663
Stanley Field 2017 2023 $19,477 $97,386
Sewer (Waste Water Department) will pay $208,979 in 2018 towards their debt.
Water Department will pay $240,930 in 2018 towards their debit.
Total debt payments for the City in 2018 are $597,786.
Total Principal Payments after 2018: $4,592,127
Total Interest Payments after 2018: $1,173,246
Total Debt after 2018: $5,765,373
The holiday season is coming fast and winter is now upon us. I just want to remind everyone to be safe. The holiday season is always a special time of year. It is also a time of year we must be vigilant and are vulnerable to theft and other holiday crimes. Just a few tips: Do not leave packages or valuables on the seat of your vehicle. If you must leave these in your vehicle, lock them in the trunk or put them out of sight. When approaching or leaving your vehicle, be aware of your surroundings. If you must use an Automated Teller Machine (ATM) choose one that is located at a financial institution, in a mall or well lighted area. Protect your pin number and never give it to anyone. If traveling by vehicle, make sure you have water, warm clothing/blankets, and let a friend or family member know your schedule. Be aware of your surroundings and do not hesitate to call the police if you have any suspicious situations.