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      • CAREFREE: Raftelis Rebuttal Report - 7/24/20
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  • LETTERS FROM READERS #2
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  • TOWN MEETING AGENDA
    • Workshop to discuss Fiscal Year 2023-2024 budget 5/25/23
    • Workshop to discuss Fiscal Year 2023-2024 budget
    • Carefree Meeting Agenda: 4/4/23
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    • Carefree Meeting Agenda: Council visioning workshop 2/3/23
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    • Carefree Meeting Agenda: 10/25/22 >
      • 10/4/22 Town Meeting Pics and Slides
      • Carefree Meeting Agenda: Council visioning workshop
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    • 2/9/21 CAREFREE UTILITIES COMMUNITY FACILITIES DISTRICT
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    • Carefree Meeting Agenda: 12/1/20
    • 11/18/20 Swearing In and Strategic Meeting
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    • 10/13/20 STRATEGIC PLANNING WORKSHOP
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                                                 Carefree Truth
                           Issue #639, April 27, 2018


The budget revenue/expense overview was presented on April 17th. The line item budget, which contains the details behind the revenue/expense summaries, was presented on April 24th.   Gary Neiss told the Council members, "As promised, you received, about a week ago, the line item budget.  So, this is the best figures we know of as of today."  The Council members had that time to review the line items before the meeting on the 24th.


Councilman Stephen Hatcher asked why the budget went from the $6.5 million range to $8.55 million for fiscal year (FY) 2018/19.  Mr. Neiss explained that the difference is planned capital projects.  Some of that revenue will be taken from the general reserve fund and $900,000 will come from the restricted Highway User Revenue Fund (HURF) to support the capital projects.  Mr. Hatcher then asked what guarantee the Town has for the repayment of the loan to the Carefree Water Company (CWC).  Mr. Neiss explained that the payout agreement was made many years ago.  The Town loaned the CWC $3.2 million, interest free, to make needed improvements, with an 8 year payout period.  The CWC has paid off the bonds and will begin repaying the Town $414,000 annually in 2019.  The base rate in the water bill has a certain amount dedicated to the debt load.  Part of that debt was the loan from the Town.


Councilman Mike Farrar asked if the $200,000 line item was included in case the Town was able to attain grants.  Mr. Neiss said it's been a historical placeholder in case the Town qualifies for grants.  In the past, Carefree got grants of around $100,000 to upgrade the fire radios and for breathing apparatus.  If there is not a line item in the budget, Carefree couldn't receive grants.  Mr. Farrar said that last year $10,000 was budgeted for info/technology but it was not spent.  He asked if the Town anticipated a technology investment this year.  Mr. Neiss replied that hardware and software upgrades are needed and some licensing agreements are coming due for renewal.


Mr. Farrar said that although the number was nominal, there was a big percentage increase in the Public Defender's contract.  Mr. Neiss said the numbers came from the court, based on trends.  Part of the increase is due to Carefree's participation  in the Veteran's Court program.  The Public Defender fee might cross pollinate that.  Mr. Farrar asked why the attorney's fee went from $5,000 to $50,000.  Mr. Neiss explained that there might be legal costs associated if the Carefree customers serviced by the Cave Creek Water Company were moved over to the Carefree Water Company.  Mayor Peterson added that if certain things occur, they would look to get that money back.



Mr. Hatcher asked if the Town applies for grants.  Mr. Neiss said, "Absolutely".  The Town looks for grants and has been very successful in the past.  Carefree got a $250,000 street sweeper for $10,000.  They look for grants to supplement the needs.  Vice Mayor John Crane cited the bike lanes as the best example of that.  Mr. Hatcher noted that the budget is very detailed for each department and asked how they arrive at those numbers.  Mr. Neiss explained that those are real numbers based on the exact costs to run each department.  They look at the needs of each department for the upcoming FY, factor in inflation, then adjust the numbers.  Town Accountant Jim Keen added that the budget is usually accurate to within 5%.  Mr. Hatcher said, "Great".


Councilman Gene Orrico asked why there was a $5,000 jump in the budget for the Planning and Zoning department.  Mr. Neiss replied that software upgrades are needed and license agreements are due for renewal.  Expensive ink jet cartridges need to be replaced.  The zoning map is outdated; district changes made in the last 10 years have not been captured.  Mr. Hatcher noticed that the WIFA loan associated with the CWC was separate from the loan on the Council chambers building.



Mr. Farrar questioned how the numbers were arrived at for a 30% increase in revenue.  Mr. Neiss explained that the first payment will be made by the CWC, and the cost recovery model is increasing for the special events.  Vice Mayor Crane pointed out to Mr. Farrar that $1 million would be taken from reserves for capital projects, and that it was a line item on the revenues page.  Mr. Farrar thanked him and agreed that was the big amount that accounted for the jump.



Mr. Hatcher asked if the liability policy covered all who work or volunteer at Town events.  Gary confirmed that it does.  Mayor Peterson added that it applies to Town sponsored events only, and not to private events held on town property.

https://vimeo.com/266434849


Lyn Hitchon


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