FYE 14 Budget prelim - City of Norman

CITY OF NORMANWESTWOOD PARK FUNDBUDGETHIGHLIGHTSBackgroundPrior to FYE 10, Westwood Park Fund was an Enterprise Fund established to account forthe resources used to operate an 18-hole municipal golf course and swimming pool. Beginning inFYE 10, the Westwood Park Fund was classified as a Special Revenue Fund instead of anEnterprise Fund due to a change in City course of action regarding Westwood golf and pooloperations.The Norman Municipal Authority (NMA) was created in 1965 for the purpose of issuingrevenue bonds for the construction of the 18-hole municipal golf course and swimming pool. Theoriginal bonds were retired as of July 1, 1993. A bond issue of $2,315,000 was issued in May 2002to fund renovations to the golf course approved by Council NMA in the Westwood Master Plan.Revenue from the Park Capital Improvement portion of the Room Tax was pledged to secure thebonded debt, and these revenues are transferred to the Westwood Fund to pay annual debt service.A five-year financial forecast is found in this section. The purpose of a five-year forecast isto project existing conditions into the future, given certain assumptions, in order to determine futurefinancial viability, to identify financial strengths and weaknesses, and to provide a base for remedialor supportive financial policy.FYE 14 BudgetStatement of Revenues and ExpendituresProjected FYE 14 fee revenues have been reduced 1.6% from the FYE 13 budget.Revenues for Westwood Swimming Pool have been estimated based on actual year-to-date receiptsin FYE 13. Revenues for Westwood Golf Course are estimated based on actual current experiencein green fees.FYE 14 operating expenditures have been increased 2.7% from the FYE 13 budget.Projections for the swimming pool are based upon line-item analysis. Cost allocation charges forcentrally provided services have previously been calculated at 5% of revenues; however, thesecharges (approximately $56,000 per year) will not be assessed. Debt service expenditures continueon the revenue bonds sold in FYE 02. Revenues from the park and recreation portion of theTransient Guest Room Tax ($204,209 in FYE 13) will be used as a revenue source to the WestwoodFund for the purpose of paying debt service costs. Beginning in FYE 08 the Golf Cart fleet will bereplaced on a revolving basis. Council approved the use of Capital Funds to replace the Golf Cartfleet and one piece of equipment for the next five years. All line items have been reviewed onmultiple occasions by department staff, Finance Department staff and the City Manager.ANNUAL BUDGET80