DRAFT

FY2016 Preliminary Budget

Item # 36
July 16, 2015

Todays Presentation
2

FY16 budget update:

Ad Valorem Update
Revenues/Expenditures
Spend Down Plan Update
Key Projects

Request Governing Board approval of

proposed millage rates for certification
to property appraisers

Budget Review Timeline

3

December 11 presented preliminary FY16

budget to Governing Board
January 15 submit preliminary FY16 budget
March 1 Legislative review comments due
Outcome of legislative review is basis for tentative
budget submission on August 1

July 16 FY16 GB budget update & millage rate

approval

Updated Ad Valorem Estimates (in Millions)

Revenue Category

FY16
FY16
Preliminary Updated

Variance

Baseline

262.4 $

263.0 $

0.6

New Construction

2.8 $

3.9 $

1.1

Total

265.2 $

266.9 $

1.7

Value Adjustment Board Taxroll Impacts

Prior Year Taxable

Value Certification

Tax Base
(In Billions)

Miami-Dade
(In Billions)

July 2014 (FY15)

741.023 $

212.615

July 2015 (FY16)

733.051 $

206.697

Change (in Billions)

(7.972) $

(5.918)

Baseline Ad Valorem Revenues

6

SFWMD FY Taxable Value Changes

760,000,000,000

-$7.9B
740,000,000,000

720,000,000,000

700,000,000,000

-$8.7B
680,000,000,000

-$11.2B

-$8.6B

660,000,000,000

640,000,000,000

620,000,000,000

600,000,000,000
FY12

FY12
Revised

FY13

FY13
Revised

FY14

FY14
Revised

FY15

FY15
Revised

Ad Valorem Trend

FY12
Baseline Revenue
Change in
Baseline
New Construction
Total

FY13

FY14

FY15

FY16
Certified

270.7

270.7

268.1

266.6

265.9

(4.7)

(3.5)

(3.5)

(2.9)

N/A

2.1

2.0

2.8

3.9

270.7

268.1

266.6

265.9

266.9

Baseline Ad Valorem Revenues

8

AdValoremImpacts
285.0
280.0
275.0
270.0
265.0

ACTUAL/FY16UPDATED
W/OUTPYVAB

260.0

W/OUTRS

255.0
250.0
245.0
240.0
FY12

FY13

FY14

FY15

FY16

Options for Balancing the FY16 Budget

9

Revise spend down & use funds to balance FY16

GB delay, reprioritize, cancel spend down projects
Alter RS funding model & direct recurring $ to
baseline needs
Redirect recurring funding from $50M C&SF
refurbishment and backfill with reserves
GB could eliminate all funding for dispersed water
management/water farming except state approps
GB could eliminate all local cooperative project
funding except state approps

FY16 Budget Update

10

FY16 Tentative Budget

11

FY16 Tentative Revenues $753,816,288

AdValoremTax
$266,942,829
35%

BudgetedAdValorem
FundBalances
$180,922,583
24%

AgPrivTax
$10,950,000
1%

BudgetedNonAdValorem
FundBalances
$49,399,808
7%
FeesandOther
$52,117,787
7%
InvestmentEarnings
$3,650,000
1%

StateSources
$181,567,018
24%
LocalSources
$866,158
0%

FederalSources
$7,400,105
1%

Ad Valorem Tax Revenue Trend

12

600.0

553.0

549.4
525.2

500.0

459.9
399.0

400.0

270.7

300.0

268.1

266.6

265.9

266.9

FY13

FY14

FY15

FY16

200.0

100.0

0.0
FY07

FY08

FY09

FY10

FY11

FY12

FY16 Ad Valorem Budget Status

FY16PreliminaryBudgetAdValRecurringDeficit
Changes/ReductionsbetweenJanuaryandJune
LandManagement
OperationsSupport
Recurringneedsfundedfromonetimebalances
ShiftPicayuneO&MtoDistrictFunding

8.7
(6.3)
2.0
2.7
7.9
0.8

ShiftPicayuneRestorationProjecttoDistrictFunding
RevisedAdValoremRecurringDeficit

0.3
16.1

LessRedirectofPYNewConstructionfromRS
BaselineRevenueChange
FY16NewConstruction
RevisedAdValoremRecurringDeficit

(4.5)
(0.6)
(3.7)
7.3

FY16 State Appropriations Funding $126.9M

14

Restoration Strategies: $32.0M

STA1-W Expansion #1 $25.4M
G-341 & Conveyance Features $6.6M

CERP/Northern Everglades: $49.8M

C-44 STA & Pump Station $40.0M
C-43 West Storage Reservoir $9.8M

FY16 State Appropriations Funding $126.9M

15

Kissimmee Restoration $20.0M

Land Management $3.85M
Alligator Alley Tolls $7.0M
Dispersed Water Mgt $5.0M
Debt Service $6.9M
C-43 Reservoir $2M
IRL Operations $350K

FY16 Tentative Budget

16

FY16 Tentative Expenditures $753,816,288

Water Supply
$18,884,684
2%

Internal Service Funds

$37,569,507
5%

Land Stewardship
$53,223,206
7%

Mission Support
$36,819,671
5%
Modeling & Scientific
Support
$13,655,415
2%

Restoration
$371,607,884
49%

Operations &
Maintenance
$202,593,768
27%

Regulation
$19,462,153
3%

10-Year FTE/Funded Positions Trend

2000

1933
1784

1808

1828

-403

1842

1647

1620

1588
1530

1530

FY15

FY16

1500

1000

500

0
FY07

FY08

FY09

FY10

FY11

FY12

FY13

FY14

FY16 Everglades Ad Valorem Recurring Costs

18

FY16 Tentative Budget Ad Valorem Revenue Sources:

Ag Tax
Alligator Alley
Interest Earnings
Ad Valorem Property Taxes

$ 88.0
10.9
1.0
1.0
75.1

ECP Ad Valorem
General Ad Valorem
Okeechobee Basin Ad Valorem
FY16 Tentative Budget Summary of Everglades Recurring Ad Valorem
Budget
Debt Service
Northern & Southern Everglades

35.4
28.0
11.7

$ 88.0
35.2
50.9

Storm Water Treatment Areas O&M, Exotics, Monitoring, Science, Regulatory

31.8

CERP Planning, O&M, Exotics, Monitoring, Science

10.7

Lake Okeechobee

5.7

Kissimmee River Restoration

2.3

Estuaries

0.4

Caloosahatchee & St. Lucie Estuaries

1.9

FY16 O&M Capital Refurbishment

Key Projects
S-5A Refurbishment/Automation Construction $9.6M
North Shore Path Command/Control & Automation
Construction $7.4M
IT Shelters Construction $4.1M
S-46 Construction $3.7M
C-4 Canal Bank Improvements Construction $3.5M
G-123/S-34 Refurbishment Construction $2.9M
SCADA System Replacement Project $2.0M
Engineering Design $2.0M
S-13 Repower $1.2M

19

FY16 Key Restoration Projects

Restoration Strategies $75.4M
Restoration Strategies Project
STA1-W Expansion #1
G-341 & Conveyance Features
G-716 (S-375) Structure Expansion
Lainhart & Masten Conveyance
S-5AS Divide Structure
L-8 Divide Structure
MECCA Replacement Features
Science Plan Projects and Program
Support
Source Control Projects

20

State Funding
$
25,704,660
$
6,600,000
$
2,713,565
$
1,646,075
$
103,918
$
103,918
$
100,000

District Cash
$ 20,241,827
$ 727,385
$ 1,777,108
$ 296,546
$ 244,114
$ 267,487
$ 4,835,891

$
$
$
$
$
$
$

Total FY16
45,946,487
7,327,385
4,490,673
1,942,621
348,032
371,405
4,935,891

$
$

$ 8,976,635 $
$ 1,037,230 $

8,976,635
1,037,230

36,972,136 $ 38,404,223 $

75,376,359

FY16 Restoration Strategies Total $

FY16 Key Restoration/Resource Projects

21

C-44 STA - $45.6M

Lakeside Ranch STA - $12.7M
Picayune Strand - $9.3M
L-31E Flowway - $1.8M
Lake O BMAP Planning - $1.0M
C-43 West Storage Reservoir - $27.7M
Lake Hicpochee - $12.7M
Kissimmee Restoration - $38.6M
Ten Mile Creek - $7.0M
C-111 South Dade - $20.0M
Cooperative Funding Program - $9.0M

Dispersed Water Management

22

FundingSources
AdValorem
FederalGrant(NRCSWetlandsReservePgm)
LakeOkeechobeeTrustFund
Balanceof2014StateAppropriation1622B
2015StateAppropriation1616
TotalFundingAvailable
DispersedWaterManagementProjects
NicodemusSlough
NorthernEvergladesPaymentforEnvironmentalServices
PublicLandsProjects
Monitoring/CapitalEquipment
FloridaRanchlandsEnvironmentalServicesProgram
WaterFarmingSLE

CumulativeCashSurplus/Shortage

FY16
FY17
44,255
2,843,357
955,180
3,500,000
5,000,000
12,342,792
FY16
FY17
2,512,683 2,576,063
620,479 1,562,637
3,581,357
220,000
355,810
180,931
520,288
7,500
7,598,116 4,539,631
4,744,675

205,045

FY18

FY19

FY20FY25

FY18
2,641,345
1,562,637
220,000
210,000

FY19
FY20FY25
2,708,585
8,102,658
1,562,637
7,364,026
270,000
20,000
210,000
1,250,000

4,633,982

4,751,222

16,736,684

(4,428,937) (9,180,159) (25,916,843)

GrandTotal
44,255
2,843,357
955,180
3,500,000
5,000,000
12,342,792
Total
18,541,334
12,672,414
4,311,357
2,206,741
520,288
7,500
38,259,635

New Works Costs

23

NewWorksCosts
FY16
10,039,553
1,796,205
11,835,758

FY17
10,952,438
2,088,094
13,040,532

FY18
12,722,480
1,969,309
14,691,789

FY19
13,481,330
2,228,968
15,710,298

FY20
18,361,744
2,997,288
21,359,032

AnnualUSACEReimbursementRevenue
PicayuneAnnualUSACEReimbursementRevenue
AnnualUSACEReimbursementRevenueTOTAL

2,647,952
375,954
3,023,906

2,666,925
546,340
3,213,265

3,327,827
494,925
3,822,752

3,665,289
549,147
4,214,436

4,052,256
853,112
4,905,368

AnnualNetImpacttoSFWMD

8,811,852

9,827,267 10,869,037 11,495,862 16,453,664

NewWorksTotal
PicayuneNewWorks
NewWorksGrandTotal

RedirectionofPicayuneCoststoDistrictMillage
PicayuneNewWorksCosts
PicayuneRestorationProjectStaff

FY16
1,137,026
339,666

FY17
1,485,475
339,666

FY18
1,280,243
339,666

FY19
1,539,902
339,666

FY20
2,426,309
339,666

ExpenditureShift

1,476,692

1,825,141

1,619,909

1,879,568

2,765,975

375,954

546,340

494,925

549,147

853,112

1,100,738

1,278,801

1,124,984

1,330,421

1,912,863

PicayuneAnnualUSACEReimbursementRevenue
AnnualNetImpacttoDistrictwideMillage

Spend Down Plan Update

AdValoremFundBalance
Hurricane/EmergencyReserve
RestorationStrategies
EvergladesRestoration
CaloosahatcheeWatershed
LakeOkeechobeeRestoration
Cooperative/LocalAgreements
O&MOperations
RecurringAdValoremDeficit
KissimmeeRiverRestoration
CentralFloridaWatershedInitiative
TaxCollector&PropertyAppraiserFees
BigCypressBasinFundBalance
IRL/St.LucieRestoration
LandManagement
PerformanceMeritBonus
BudgetStabilization

FY2016
$60,015,738
$35,875,956
$22,824,386
$10,696,224
$10,159,255
$9,015,000
$7,328,300
$7,289,279
$4,548,404
$3,144,500
$2,716,308
$1,837,427
$550,000
$220,000
$4,700,000

FY2017
$25,100,000
$45,000
$75,000

FY2018

FY2019

FY2020

Total
$60,015,738
$105,861,391
$22,909,386
$10,771,224
$10,159,255
$9,035,000
$7,328,300
$7,289,279
$4,548,404
$3,144,500
$2,716,308
$10,842,402
$700,000
$220,000

$22,983,526
$20,000

$21,901,909
$20,000

$2,251,244
$150,000

$2,251,244

$2,251,244

$2,251,244

$3,897,477

$3,897,477

$3,897,475

$3,897,476

$15,589,905

$20,000

AdValoremTotal
RestrictedFundBalance
Mitigation Lakebelt/Wetland
EvergladesRestoration
DispersedWaterManagement
KissimmeeRiverRestoration
InternalServiceFunds(HealthInsurance&SelfInsurance)
LandManagement(LeaseRevenue)
IRL/St.LucieRestoration
NonSpendable(InventoryReserves)
(blank)
COPSInterest
RestrictedTotal

$180,920,777

$31,538,721

$29,152,247

$28,070,628

$6,148,720

$271,131,092

$26,609,336
$12,636,303
$4,455,180
$2,389,778
$1,700,931
$1,451,014
$159,072

$6,299,126
$651,219

$6,299,126
$113,201

$6,299,126
$113,201

$6,299,126
$113,201

$2,902,131
$1,733,651
$17,433

$2,902,131
$1,733,651

$2,902,131
$1,733,651

$2,902,131
$1,733,651

$49,401,614

$236,950
$11,840,510

$11,048,109

$11,048,109

$11,048,109

$51,805,841
$13,627,126
$4,455,180
$2,389,778
$13,309,454
$8,385,616
$176,505
$0
$0
$236,950
$94,386,450

GrandTotalSpendDownPlan

$230,322,391

$43,379,231

$40,200,356

$39,118,737

$17,196,829

$365,517,542

SFWMD Ad Valorem Spend Down Plan

(Millions of $)
140
120.9
120

100

80

60

40
28.1
31.5
20

29.1

6.1
0
FY16

FY17

FY18

FY19

FY20

Options for Balancing the FY16 Budget

26

Revise spend down & use funds to balance FY16

GB delay, reprioritize, cancel spend down projects
Alter RS funding model & direct recurring $ to
baseline needs
Redirect recurring funding from $50M C&SF
refurbishment and backfill with reserves
GB could eliminate all funding for dispersed water
management/water farming except state approps
GB could eliminate all local cooperative project
funding except state approps

FY16 Decision Points/Guidance

27

Balancing FY16 with $7.3M fund balance

Modification of Spend Down Plan
Modification of Restoration Strategies funding
model
Dispersed Water Management funded from state
appropriations
District to pay for Picayune O&M/project costs

Proposed Millage Rates

Current Rolled Back Rate Calculations

Millage Rate
District-wide
Okeechobee Basin
Everglades
Construction Project
Total Okeechobee
Basin

FY15
Adopted
0.1577
0.1717

% Change Change from

FY16
FY15
from Rolled
Rolled
Adopted
Back
Back
Recommended
0.1459
0.1459
0.00%
-0.0118
0.1586
0.1586
0.00%
-0.0131

0.0548

0.0506

0.0506

0.00%

-0.0042

0.3842

0.3551

0.3551

N/A

-0.0291

District-wide

0.1577

0.1459

0.1459

0.00%

-0.0118

Big Cypress Basin

Total Big Cypress
Basin

0.1520

0.1429

0.1429

0.00%

-0.0091

0.3097

0.2888

0.2888

N/A

-0.0209

Staff Recommendation
Adopt rolled back millage rates for certification to
county appraisers for Truth in Millage compliance
purposes:
District-at-large 0.1459 mills (0.00% above rolled back rate)
Okeechobee Basin 0.1586 mills (0.00% above rolled back rate)
Everglades Construction Project 0.0506 mills (0.00% above
rolled back rate)
Big Cypress Basin 0.1429 mills (0.00% above rolled back rate)

Budget Review Timeline

30

July 16 FY16 GB budget update & millage rate

approval
August 1 submit tentative FY16 budget
August 25 Big Cypress Basin millage rate and
budget finalized
September 10 public hearing to adopt tentative
millage rates, budget & ag privilege taxroll
September 22 public hearing to adopt final
millage rates & budget

Thank You