Fmw 17 point plan fiscal & budget analysis blue print

Foster, McCollum, White & Associates

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FMW Restructuring Plan Fiscal & Budget Analysis Blue print Net Assets by Component – Last 11 years (Accrual Basis of Accounting)

Primary Government 2012 2011 2010 2009 2008

Invested in Capital Assets, net of related debt $1,851,247,679.00 $1,147,949,388.00 $1,499,565,300.00 $1,330,298,586.00 $1,302,206,273.00

Restricted assets $535,759,198.00 $413,459,055.00 $378,192,962.00 $490,008,158.00 $462,796,154.00

Unrestricted assets (deficit) -$2,758,980,782.00 -$1,590,416,800.00 -$1,612,643,641.00 -$920,223,470.00 -$501,465,925.00 Total primary government (all fund

balances) net assets (value of all assets to pay all debts if forced to

liquidate) -$371,973,905.00 -$29,008,357.00 $265,114,621.00 $900,083,274.00 $1,263,536,502.00 Increase (decrease) in net assets

value in dollars ($342,965,548.00) ($294,122,978.00) ($634,968,653.00) ($363,453,228.00) ($476,648,131.00)

Percentage of increase (decrease) in net assets value (92.20%) (1013.92%) (239.51%) (40.38%) (37.72%)

Primary Government 2007 2006 2005 2004 2003 2002 Invested in Capital Assets, net

of related debt $1,742,686,643.00 $1,517,118,440.00 $1,612,754,945.00 $1,486,537,030.00 $1,571,977,629.00 $1,552,455,158.00

Restricted assets $424,355,600.00 $414,872,412.00 $318,267,522.00 $284,287,288.00 $233,914,742.00 $171,281,980.00 Unrestricted assets (deficit) -$426,857,610.00 -$230,936,220.00 -$305,524,319.00 -$31,633,279.00 $215,420,153.00 $259,717,089.00

Total primary government (all fund balances) net assets

(value of all assets to pay all debts if forced to liquidate) $1,740,184,633.00 $1,701,054,632.00 $1,625,498,148.00 $1,739,191,039.00 $2,021,312,524.00 $1,983,454,227.00

Increase (decrease) in net assets value in dollars $39,130,001.00 $75,556,484.00 ($113,692,891.00) ($282,121,485.00) $37,858,297.00 $0.00 Percentage of increase

(decrease) in net assets value 2.25% 4.44% (6.99%) (16.22%) 1.87%


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Primary Government Annual Average Trend

Invested in Capital Assets, net of related debt $1,510,436,097.36

Restricted assets $375,199,551.91

Unrestricted assets (deficit) ($718,504,073.09) Total primary government (all fund balances) net assets (value of all assets to pay all debts if forced to liquidate)

Increase (decrease) in net assets value in dollars ($214,129,830.18) Percentage of increase (decrease) in net assets value


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Financial Trends – Changes in Net Assets, Last 11 years (Accrual Basis of Accounting)

Primary Government 2012 2011 2010 2009 2008

General Fund Agencies Expenses ( Public Protection, Public Works, Health, Recreation, Economic Development,

Education Workforce Development, Housing Supply, Physical Environment, Trans portation Facilitation,

Development and Management & Interest on Long-Term Debt)- Actual $1,591,887,270.00 $1,664,573,829.00 $1,731,088,554.00 $1,882,760,656.00 $1,822,392,858.00

Enterprise Agencies (DWSD, DDOT, Municipal Parking, Airport, Housing) Expenses - Actual $1,053,291,161.00 $1,092,405,056.00 $1,006,405,056.00 $1,025,915,310.00 $1,020,407,636.00

Total Detroit Government Expenses - Actual $2,645,178,431.00 $2,756,978,885.00 $2,737,493,610.00 $2,908,675,966.00 $2,842,800,494.00

General Fund Agencies Revenues - Fee for services, grants and contributions $660,832,564.00 $715,836,258.00 $701,141,034.00 $729,593,756.00 $720,832,672.00

General Fund Tax Revenues $865,455,603.00 $950,117,733.00 $928,941,204.00 $1,004,255,503.00 $1,052,885,670.00

General Fund Investment Earnings $8,366,960.00 $8,606,985.00 $8,832,971.00 $7,056,295.00 $19,189,619.00

General Fund miscellaneous revenues $2,578,822.00 $3,595,798.00 $6,618,964.00 $9,273,309.00 $13,586,014.00

General Fund Gain (loss) on dis posal (sale) of capital assets $0.00 -$528,568.00 -$27,775.00 -$5,204,095.00 -$278,706.00

General Fund S pecial items $0.00 -$9,865,937.00 $49,980,314.00 $0.00 $0.00

General Fund Transfers -$87,675,853.00 -$73,390,635.00 -$74,579,168.00 -$73,992,223.00 -$101,438,533.00

Total General Fund Net Revenues $1,449,558,096.00 $1,594,371,634.00 $1,620,907,544.00 $1,670,982,545.00 $1,704,776,736.00

Enterprise Agencies Revenues - Fee for services, grants and contributions $915,594,971.00 $870,422,699.00 $816,868,701.00 $819,913,588.00 $807,039,468.00

Enterprise Agencies Investment earnings (loss) -$152,915,970.00 $9,837,046.00 -$42,428,588.00 $25,458,070.00 $58,176,113.00

Enterprise Agencies miscellaneous revenues (expenses) $2,299,933.00 $6,310,694.00 $788,385.00 -$8,435,836.00 -$3,990,512.00

Enterprise Agencies Gain (loss) on disposal (sale) of capital assets $0.00 -$91,476,801.00 $0.00 $0.00 $0.00

Enterprise Agencies Special items $0.00 $0.00 $0.00 -$36,900,173.00 -$141,962,894.00

Enterprise Agencies Transfers $87,675,853.00 $73,390,635.00 $74,579,168.00 $73,992,223.00 $101,438,533.00

Total Enterprise Agencies Net Revenues $852,654,787.00 $868,484,273.00 $849,807,666.00 $874,027,872.00 $820,700,708.00

Total Detroit Government Revenues - Actual $2,302,212,883.00 $2,462,855,907.00 $2,470,715,210.00 $2,545,010,417.00 $2,525,477,444.00

Total General Fund Agencies Surplus (Deficit) ($142,329,174.00) ($70,202,195.00) ($110,181,010.00) ($211,778,111.00) ($117,616,122.00)

Total Enterprise Agencies Surplus (Deficit) ($200,636,374.00) ($223,920,783.00) ($156,597,390.00) ($151,887,438.00) ($199,706,928.00)

Total City of Detroit Net Surplus (Deficit) ($342,965,548.00) ($294,122,978.00) ($266,778,400.00) ($363,665,549.00) ($317,323,050.00)


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Primary Government 2007 2006 2005 2004 2003 2002

General Fund Agencies Expenses ( Public Protection, Public Works, Health, Recreation, Economic

Development, Education Workforce Development, Housing Supply, Physical Environment,

Trans portation Facilitation, Development and Management & Interest on Long -Term Debt)-

Actual $1,705,401,917.00 $1,792,857,914.00 $1,931,233,247.00 $1,956,233,247.00 $1,810,574,440.00 $1,699,004,185.00

Enterprise Agencies (DWSD, DDOT, Municipal Parking, Airport, Housing) Expenses - Actual $982,611,018.00 $806,330,459.00 $621,857,340.00 $617,441,215.00 $808,328,139.00 $772,352,152.00

Total Detroit Government Expenses - Actual $2,688,012,935.00 $2,599,188,373.00 $2,553,090,587.00 $2,573,674,462.00 $2,618,902,579.00 $2,471,356,337.00

General Fund Agencies Revenues - Fee for services, grants and contributions $768,586,960.00 $677,517,431.00 $789,722,422.00 $749,387,091.00 $672,198,675.00 $732,948,381.00

General Fund Tax Revenues $1,070,028,944.00 $1,127,036,339.00 $1,023,857,944.00 $1,028,879,068.00 $1,061,279,508.00 $1,083,016,233.00

General Fund Investment Earnings $24,075,811.00 $18,396,691.00 $14,464,802.00 $4,500,270.00 $5,690,589.00 $18,146,740.00

General Fund miscellaneous revenues $37,634,868.00 $22,780,845.00 $9,984,374.00 $13,624,695.00 $7,758,701.00 $21,179,610.00

General Fund Gain (loss) on dis posal (sale) of capital assets -$31,728.00 -$308,855.00 -$3,551,036.00 -$451,750.00 $6,753,937.00 $0.00

General Fund S pecial items $0.00 $0.00 $0.00 $0.00 $132,000,000.00 $0.00

General Fund Transfers -$71,720,196.00 -$35,227,632.00 -$89,585,306.00 -$77,108,036.00 -$79,275,808.00 -$85,569,251.00

Total General Fund Net Revenues $1,828,574,659.00 $1,810,194,819.00 $1,744,893,200.00 $1,718,831,338.00 $1,806,405,602.00 $1,769,721,713.00

Enterprise Agencies Revenues - Fee for services, grants and contributions $756,499,009.00 $761,278,893.00 $589,264,170.00 $587,447,846.00 $748,627,642.00 $701,440,037.00

Enterprise Agencies Investment earnings (loss) $0.00 $39,193,811.00 $22,808,775.00 $12,516,207.00 $18,645,400.00 $28,789,163.00

Enterprise Agencies miscellaneous revenues (expenses) $69,331,846.00 $2,879,273.00 -$6,850,110.00 $3,812,743.00 $4,488,833.00 $3,509,544.00

Enterprise Agencies Gain (loss) on disposal (sale) of capital assets $1,017,226.00 $25,970,429.00 $0.00 $0.00 -$682,409.00 $0.00

Enterprise Agencies Special items $0.00 $0.00 $0.00 $0.00 $0.00 $0.00

Enterprise Agencies Transfers $71,720,196.00 $35,227,632.00 $89,585,306.00 $77,108,036.00 $79,275,808.00 $85,569,251.00

Total Enterprise Agencies Net Revenues $898,568,277.00 $864,550,038.00 $694,808,141.00 $680,884,832.00 $850,355,274.00 $819,307,995.00

Total Detroit Government Revenues - Actual $2,727,142,936.00 $2,674,744,857.00 $2,439,701,341.00 $2,399,716,170.00 $2,656,760,876.00 $2,589,029,708.00

Total General Fund Agencies Surplus (Deficit) $123,172,742.00 $17,336,905.00 ($186,340,047.00) ($237,401,909.00) ($4,168,838.00) $70,717,528.00

Total Enterprise Agencies Surplus (Deficit) ($84,042,741.00) $58,219,579.00 $72,950,801.00 $63,443,617.00 $42,027,135.00 $46,955,843.00

Total City of Detroit Net Surplus (Deficit) $39,130,001.00 $75,556,484.00 ($113,389,246.00) ($173,958,292.00) $37,858,297.00 $117,673,371.00


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Primary Government Annual Average Trend

General Fund Agencies Expenses ( Public Protection, Public Works, Health, Recreation, Economic Development, Education Workforce Development, Housing Supply, Physical Environment, Transportation Facilitation, Development and Management & Interest on Long-

Term Debt)- Actual $1,780,728,010.64

Enterprise Agencies (DWSD, DDOT, Municipal Parking, Airport, Housing) Expenses - Actual $891,576,776.55

Total Detroit Government Revenues - Actual $2,672,304,787.18

General Fund Agencies Revenues - Fee for services, grants and contributions $719,872,476.73

General Fund Tax Revenues $1,017,795,795.36

General Fund Investment Earnings $12,484,339.36

General Fund miscellaneous revenues $13,510,545.45

General Fund Gain (loss) on disposal (sale) of capital assets ($329,870.55)

General Fund Special items $15,646,761.55

General Fund Transfers ($77,232,967.36)

Total General Fund Net Revenues $1,701,747,080.55

Enterprise Agencies Revenues - Fee for services, grants and contributions $761,308,820.36

Enterprise Agencies Investment earnings (loss) $1,825,457.00

Enterprise Agencies miscellaneous revenues (expenses) $6,740,435.73

Enterprise Agencies Gain (loss) on disposal (sale) of capital assets ($5,924,686.82)

Enterprise Agencies Special items ($16,260,278.82)

Enterprise Agencies Transfers $77,232,967.36

Total Enterprise Agencies Net Revenues $824,922,714.82

Total Detroit Government Expenses - Actual $2,526,669,795.36

Total General Fund Agencies Surplus (Deficit) ($78,980,930.09)

Total Enterprise Agencies Surplus (Deficit) ($66,654,061.73)

Total City of Detroit Net Surplus (Deficit) ($145,634,991.82)


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General Fund tax Revenue Categories and changes in net revenues, Last 11 years (Accrual Basis of Accounting)

General Fund Tax Revenues by category 2012 2011 2010 2009 2008

Property Taxes $216,931,618.00 $235,857,331.00 $218,008,102.00 $231,428,726.00 $225,602,203.00

Municipal Income tax $233,035,540.00 $228,303,884.00 $216,522,405.00 $240,824,363.00 $276,485,035.00

Utility Users' tax $39,828,340.00 $44,640,365.00 $44,190,132.00 $49,900,471.00 $51,590,794.00

Wagering tax $181,574,627.00 $177,046,311.00 $183,466,226.00 $172,912,862.00 $186,277,275.00

State Hotel & Liquor tax $0.00 $0.00 $2,969,380.00 $17,367,715.00 $16,220,140.00

Other Taxes and Assessments $16,528,509.00 $17,373,679.00 $15,404,967.00 $12,878,272.00 $13,283,748.00

State Shared Taxes (Revenue Sharing) $173,292,222.00 $239,342,109.00 $239,047,211.00 $268,246,565.00 $272,569,363.00

Interest & penalties on taxes $4,264,747.00 $7,554,054.00 $9,332,781.00 $10,696,529.00 $10,857,112.00

General Fund Tax Revenues $865,455,603.00 $950,117,733.00 $928,941,204.00 $1,004,255,503.00 $1,052,885,670.00

Increase (decrease) in general fund tax revenue in dollars ($84,662,130.00) $21,176,529.00 ($75,314,299.00) ($48,630,167.00) ($17,143,274.00)

Percentage of increase (decrease) in general fund tax revenue (-9.78%) 2.23% (-8.11%) (-4.84%) (-1.63%)

2012 2011 2010 2009 2008

Annual Average Trend - 2002 to 2012 General Fund tax revenues total $1,027,475,768.11 $938,018,041.30 $1,056,404,901.13 $1,063,854,815.14 $1,065,683,006.00

Actual General Fund Tax Revenues $865,455,603.00 $950,117,733.00 $928,941,204.00 $1,004,255,503.00 $1,052,885,670.00

Increase (decrease) in actual general fund tax revenue versus historic average trend for

general fund tax revenues in dollars ($162,020,165.11) $12,099,691.70 ($127,463,697.13) ($59,599,312.14) ($12,797,336.00)

Percentage of increase (decrease) in actual general fund tax revenue versus historic

average trend for general fund tax revenues (-15.77%) 1.29% (-12.07%) (-5.60%) (-1.20%)


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General Fund Tax Revenues by category 2007 2006 2005 2004 2003 2002

Property Taxes $241,428,477.00 $243,621,932.00 $239,507,939.00 $253,880,972.00 $221,338,662.00 $235,867,542.00

Municipal Income tax $278,309,191.00 $284,111,220.00 $282,501,875.00 $290,614,837.00 $310,935,044.00 $323,515,510.00

Utility Users' tax $53,768,977.00 $122,824,621.00 $52,939,839.00 $47,422,918.00 $55,526,093.00 $52,105,772.00

Wagering tax $179,763,570.00 $156,588,917.00 $137,970,347.00 $116,145,598.00 $111,341,292.00 $109,461,713.00

State Hotel & Liquor tax $17,579,292.00 $16,287,676.00 $16,310,767.00 $16,217,263.00 $16,217,213.00 $0.00

Other Taxes and Assessments $16,201,899.00 $13,602,597.00 $0.00 $4,337,425.00 $17,553,911.00 $17,518,357.00

State Shared Taxes (Revenue Sharing) $272,635,060.00 $280,818,221.00 $282,914,217.00 $286,479,535.00 $319,055,457.00 $333,763,510.00

Interest & penalties on taxes $10,342,478.00 $9,181,155.00 $11,712,960.00 $13,780,520.00 $9,311,836.00 $10,783,829.00

General Fund Tax Revenues $1,070,028,944.00 $1,127,036,339.00 $1,023,857,944.00 $1,028,879,068.00 $1,061,279,508.00 $1,083,016,233.00

Increase (decrease) in general fund tax revenue in dollars ($57,007,395.00) $103,178,395.00 ($5,021,124.00) ($32,400,440.00) -$21,736,725.00 $0.00

Percentage of increase (decrease) in general fund tax revenue (-5.33%) 9.15% (-0.49%) (-3.15%) -2.05%

2007 2006 2005

Annual Average Trend - 2002 to 2012 General Fund tax revenues total $1,064,813,818.40 $1,049,258,188.25 $1,057,724,936.33

Actual General Fund Tax Revenues $1,070,028,944.00 $1,127,036,339.00 $1,023,857,944.00

Increase (decrease) in actual general fund tax revenue versus historic

average trend for general fund tax revenues in dollars $5,215,125.60 $77,778,150.75 ($33,866,992.33)

Percentage of increase (decrease) in actual general fund tax revenue

versus historic average trend for general fund tax revenues 0.49% 7.41% (-3.20%)


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General Fund Tax Revenues by category Annual Average Trend

Property Taxes $233,043,045.82

Municipal Income tax $269,559,900.36

Utility Users' tax $55,885,302.00

Wagering tax $155,686,248.91

State Hotel & Liquor tax $10,833,586.00

Other Taxes and Assessments $13,153,033.09

State Shared Taxes (Revenue Sharing) $269,833,042.73

Interest & penalties on taxes $9,801,636.45

General Fund Tax Revenues $1,017,795,795.36

Increase (decrease) in general fund tax revenue in dollars

Percentage of increase (decrease) in general fund tax revenue

Annual Average Trend

Annual Average Trend - 2002 to 2012 General Fund tax revenues total $1,017,795,795.36

Actual General Fund Tax Revenues $865,455,603.00

Increase (decrease) in actual general fund tax revenue versus historic average trend for general fund tax revenues in dollars ($152,340,192.36)

Percentage of increase (decrease) in actual general fund tax revenue versus historic average trend for general fund tax revenues -14.97%


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City of Detroit Revenue and Expense changes year to year, Last 11 years (Accrual Basis of Accounting)

Fiscal Year 2012 2011 2010 2009 2008

Total Detroit Government Expenses - Actual $2,645,178,431.00 $2,756,978,885.00 $2,737,493,610.00 $2,908,675,966.00 $2,842,800,494.00

Increase (decrease) in actual expenses ($111,800,454.00) $19,485,275.00 ($171,182,356.00) $65,875,472.00 $154,787,559.00

Percentage Increase (decrease) in actual expenses -4.23% 0.71% -6.25% 2.26% 5.44%

Total Detroit Government Revenues - Actual $2,302,212,883.00 $2,462,855,907.00 $2,470,715,210.00 $2,545,010,417.00 $2,525,477,444.00

Increase (decrease) in actual revenues ($160,643,024.00) ($7,859,303.00) ($74,295,207.00) $19,532,973.00 ($201,665,492.00)

Percentage Increase (decrease) in actual

revenues -6.98% -0.32% -3.01% 0.77% -7.99%

Fiscal Year 2007 2006 2005 2004 2003 2002

Total Detroit Government Expenses - Actual $2,688,012,935.00 $2,599,188,373.00 $2,553,090,587.00 $2,573,674,462.00 $2,618,902,579.00 $2,471,356,337.00

Increase (decrease) in actual expenses $88,824,562.00 $46,097,786.00 ($20,583,875.00) ($45,228,117.00) $147,546,242.00 $0.00


expenses 3.30% 1.77% -0.81% -1.76% 5.63%

Total Detroit Government Revenues - Actual $2,727,142,936.00 $2,674,744,857.00 $2,439,701,341.00 $2,399,716,170.00 $2,656,760,876.00 $2,589,029,708.00

Increase (decrease) in actual revenues $52,398,079.00 $235,043,516.00 $39,985,171.00 ($257,044,706.00) $67,731,168.00 $0.00


revenues 1.92% 8.79% 1.64% -10.71% 2.55%


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FMW 17 Point Plan Operational Budget for 1st 4 years of implementation

FMW Fiscal budget for Detroit - Revised Revenue & Expense

Projections

2013 fiscal year base budget

expense projection

Adjustments to department

budgets

Total 2013

projection fiscal year base budget

expense

Total 2014


expense

Total 2015


expense

Total 2016


expense Notes

Primary Government

General Fund Agencies Expenses -

Police Department $339,593,842.00 $140,000,000.00 $479,593,842.00 $527,553,226.20 $580,308,548.82 $638,339,403.70

Department budget growth of 10% annually to fund police

service expansion and replacement of personnel


Fire Department $159,954,156.00 $42,000,000.00 $201,954,156.00 $222,149,571.60 $244,364,528.76 $268,800,981.64

Department budget growth of 10% annually to fund Fire & EMS service expansion and

replacement of personnel


Public Works Department $101,246,334.00 $21,099,514.00 $122,345,848.00 $134,580,432.80 $148,038,476.08 $162,842,323.69

Department budget growth of 10% annually to fund

infrastructure investment in roads, garbage pick-up and quality of life services and replacement of personnel


Recreation Department $12,268,611.00 $13,000,000.00 $25,268,611.00 $27,795,472.10 $30,575,019.31 $33,632,521.24

Department budget growth of 10% annually to fund recreation

center expansion, equipment investment and replacement of

personnel


Planning and Development $45,989,612.00

$45,989,612.00 $50,588,573.20 $55,647,430.52 $61,212,173.57

Department budget growth of 5% annually to fund staff hiring

to help increase economic development opportunities


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General Fund Agencies Expenses - Human Resources $8,007,953.00 $8,000,000.00 $16,007,953.00 $16,808,350.65 $17,648,768.18 $18,531,206.59

Department budget growth of 5% annually to fund staff to help

speed hiring process and risk management program

implementation to reduce liability cost


Law Department $8,631,938.00 $2,000,000.00 $10,631,938.00 $11,163,534.90 $11,721,711.65 $12,307,797.23

Department budget growth of 5% annually to fund staff to help speed internal legal services and

risk management program implementation to reduce

liability cost


Budget Department $2,023,517.00 $8,000,000.00 $10,023,517.00 $10,524,692.85 $11,050,927.49 $11,603,473.87

Department budget growth of 5% annually to fund budgeting

operation upgrades


Mayor's Office $3,953,534.00

$3,953,534.00 $3,953,534.00 $4,151,210.70 $4,358,771.24

Budget growth rate of 5% in year two and three projected

General Fund Agencies Expenses - City Council $8,296,003.00

$8,296,003.00 $8,296,003.00 $8,710,803.15 $9,146,343.31

Budget growth rate of 5% in year two and three projected


Elections Commission $5,092,776.00

$5,092,776.00 $5,856,692.40 $6,735,196.26 $7,745,475.70

Investment of 15% annually to improve Detroit's election

operations


City Clerk $2,070,070.00

$2,070,070.00 $2,380,580.50 $2,737,667.58 $3,148,317.71

Investment of 15% annually to improve Detroit's election

operations


Auditor General $2,942,305.00

$2,942,305.00 $3,383,650.75 $3,891,198.36 $4,474,878.12

Budget growth rate of 15% annually to improve compliance

and monitoring efforts of this department


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Inspector General $592,292.00

$592,292.00 $681,135.80 $783,306.17 $900,802.10

Budget growth rate of 15% annually to improve compliance

and monitoring efforts of this department


36th District Court $31,033,117.00

$31,033,117.00 $32,584,772.85 $34,214,011.49 $35,924,712.07

Annual 5% increase tied to technology improvements and

customer service training


Component Agencies $57,649,723.00

$57,649,723.00 $60,532,209.15 $60,532,209.15 $60,532,209.15

General Fund Agencies Expenses - Debt Service $74,426,582.00

$74,426,582.00 $89,311,898.40 $107,174,278.08 $128,609,133.70

Increase debt service payments on remaining bond/obligation debt by 20% annually to arrest

principal at accelerated rate


Board of Zoning Appeals $606,566.00

$606,566.00 $636,894.30 $668,739.02 $702,175.97 General Fund Agencies Expenses -

Ombudsman $592,292.00

$592,292.00 $621,906.60 $653,001.93 $685,652.03

Enterprise Agencies - Municipal Parking $19,214,738.00

$19,214,738.00 $20,175,474.90 $21,184,248.65 $22,243,461.08

Department budget growth of 5% annually to fund parking

operation upgrades

Enterprise Agencies - Building

Safety & Engineering $23,135,868.00 $7,000,000.00 $30,135,868.00 $31,642,661.40 $33,224,794.47 $34,886,034.19

Department budget growth of 5% annually to fund BS&E

operation upgrades

Total Detroit Government Revenues

- Actual $907,321,829.00 $241,099,514.00 $1,148,421,343.00 $1,261,221,268.35 $1,384,016,075.81 $1,520,627,847.87


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13 | P a g e

2013 fiscal year

base budget

revenue

projection

Adjustments to

department

(Revenue estimate

reduced by 15%)

Total 2013

projection fiscal

year base budget

revenue

Total 2014

projection fiscal

year base budget

revenue

Total 2015

projection fiscal

year base budget

revenue

Total 2016

projection fiscal

year base budget

revenue Notes

General Fund Agencies Revenues -

Fee for services, grants and contributions $653,620,982.30 $555,577,834.96 $555,577,834.96 $694,472,293.69 $798,643,137.75 $918,439,608.41

Projected growth rate of 25% in year two and 15% after based on expanded EMS services, Fire fee

for services, special event coverage fees and increased

permitting fees

General Fund Tax Revenues $843,699,540.00 $717,144,609.00 $717,144,609.00 $645,430,148.10 $645,430,148.10 $645,430,148.10

Projecting a 15% decline in FY13 and 10% decline in FY14. Projecting stabilization by FY15

with implementation of operational upgrades (public safety, recreation, BSE, etc.)

General Fund Investment Earnings $7,388,982.00 $6,280,634.70 $6,280,634.70 $6,280,634.70 $6,280,634.70 $6,280,634.70 No growth projected

General Fund miscellaneous revenues $718,743.20 $610,931.72 $610,931.72 $610,931.72 $610,931.72 $610,931.72 No growth projected

General Fund Gain (loss) on disposal

(sale) of capital assets (fast track sales of non-functional assets-one

time) $0.00 $50,000,000.00 $50,000,000.00 $25,000,000.00 $17,500,000.00 $12,250,000.00

Expedited sale of city owned land and unused equipment and

facilities with a projected revenue decline rate of 50% in FY14 and 30% in FY15 & 16

General Fund Special items 1 (public safety millage - 10 year) $0.00 $64,829,411.44 $64,829,411.44 $58,346,470.29 $55,429,146.78 $55,429,146.78

Legislative amendment to Prop A & Headlee required, will be

applied to police, fire & EMS as direct appropriation only

General Fund Special items 2 (New

Revenue Stream - Lottery Tax

Capture plan - 5 to 10 ) $0.00 $20,000,000.00 $20,000,000.00 $23,000,000.00 $26,450,000.00 $30,417,500.00

new dedicated revenue stream for Detroit


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14 | P a g e

General Fund Special items 3 (One

time State Capital

Equipment/planning) $0.00 $30,000,000.00 $30,000,000.00 $10,000,000.00 $0.00 $0.00

State financial assistance tied to funding capital equipment

purchases

General Fund Transfers $0.00 $0.00 $0.00 $0.00 $0.00 $0.00

Agencies that required subsidy will be off shored into authorities

Total General Fund Net Revenues $1,505,428,247.50 $1,444,443,421.81 $1,444,443,421.81 $1,463,140,478.51 $1,550,343,999.05 $1,668,857,969.71 Enterprise Agencies Revenues - Fee

for services, grants and

contributions $47,301,652.00 $0.00 $47,301,652.00 $52,031,817.20 $57,234,998.92 $62,958,498.81

10% projected revenue growth rate for BSE & Parking

Enterprise Agencies Investment

earnings (loss) (average trend projection) $1,825,457.00 $0.00 $1,825,457.00 $1,825,457.00 $1,825,457.00 $1,825,457.00 No growth projected

Enterprise Agencies miscellaneous

revenues (expenses) (average trend

projection) $6,740,435.73 $0.00 $6,740,435.73 $6,740,435.73 $6,740,435.73 $6,740,435.73 No growth projected

Enterprise Agencies Gain (loss) on

disposal (sale) of capital assets

(average trend projection) ($5,924,686.82) $0.00 ($5,924,686.82) -$2,962,343.41 -$1,481,171.70 -$740,585.85

Decline in net loss on activities by 50% annually starting in

FY14

Enterprise Agencies Special items

(average trend projection) ($16,260,278.82) $0.00 ($16,260,278.82) -$8,130,139.41 -$4,065,069.70 -$2,032,534.85

Decline in net loss on activities by 50% annually starting in

FY15

Enterprise Agencies Transfers $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 Total Enterprise Agencies Net

Revenues $33,682,579.09 $0.00 $33,682,579.09 $49,505,227.11 $60,254,650.24 $68,751,270.83 Total Detroit Government Expenses

- Actual $1,539,110,826.59 $1,444,443,421.81 $1,478,126,000.90 $1,512,645,705.62 $1,610,598,649.28 $1,737,609,240.54

4 years of annual surpluses will equal

Total City of Detroit Governmental

Activity Net Surplus (Deficit)

$329,704,657.90 $251,424,437.27 $226,582,573.47 $216,981,392.68 $1,024,693,061.32


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15 | P a g e

Debt, Obligations and negative long term cash events – Listing (FMW Restructured Fiscal Fiduciary

Obligations for City of Detroit primary government) 2013 Projected Debt & Obligation Individual Listing

General Fund Obligation Bonds $957,128,278.00

Municipal Parking Dept. Revenue Anticipation Bonds $10,260,578.00

General Fund Agencies Revenue Anticipation Bonds $123,598,217.00

Detroit Restructuring bond proceeds debt $0.00

Pension Obligation Certificates (Total for remaining general fund and enterprise agencies) $1,180,285,236.00

General fund notes payable $89,391,000.00

General fund loans payable (including DDA loan to City) $34,207,217.00

Hedging Derivatives net additional debt (general fund and enterprise agencies combined) $625,983,668.00

Municipal Parking Dept. other long term liabilities $12,083,744.00

General fund accrued liabilities for pollution, remediation, accrued compensated absences, worker's

compensation and claims and lawsuits $210,333,970.00

Component Agencies Other liabilities $41,368,205.00

Component Agencies Long Term Debt Obligations $203,702,403.00

Wayne Count estimated charge-backs/recoveries payments for uncollected delinquent taxes $84,000,000.00

Interagency fund balance and activity (loans and debts owed from department to department) $309,464,869.00

Parking fund annual bond debt payment requirement payment shortfall $215,231.00

Post Employment benefits unfunded liability $4,409,370,510.41

Pension unfunded liability $493,404,870.47

2011 Pension contribution increase due to higher actuarial cost considerations $0.00

Police & Fire Retirement System missed 2011 contribution payment for 2011 fiscal year $0.00

Detroit Regional Convention Facility Authority Settlement $0.00

Total City of Detroit Current Obligation principal $8,784,797,996.88


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16 | P a g e

Debt, Obligations and negative long term cash events – Listing (FMW Restructured

Fiscal Fiduciary Obligations for City of Detroit primary government) 2013 Projected Debt & Obligation Individual Listing

General Obligation Bond interest $499,839,089.00

General Fund Revenue Anticipation Bond interest $34,827,499.00

Municipal Parking Revenue Bond interest $2,190,869.00

Other principal debt interest $0.00

Municipal Parking Hedging Derivatives Net $0.00

POC General Fund interest $408,015,746.00

Total City of Detroit Current Obligation interest $944,873,203.00

2013 Projected Debt & Obligation Individual Listing

Total City of Detroit Current Obligation (Principal & interest) $9,729,671,199.88


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17 | P a g e

Debt, Obligations and negative long term cash events – Listing (FMW

Restructured Fiscal Fiduciary Obligations for City of Detroit

primary government) 2013 Projected Debt & Obligation Individual Listing Percentage of Total City of Detroit obligations - 2013 fiscal year

Total Bond & Loan related debt principal $3,020,854,194.00 31.05%

Total Bond & Loan related debt interest $944,873,203.00 9.71%

Total Bond & Loan related debt principal and interest combined $3,965,727,397.00 40.76%

2013 Projected Debt & Obligation Individual Listing Percentage of Total City of Detroit obligations - 2013 fiscal year

Total long term obligations (non bond or employee) related debt principal $467,488,322.00 4.80%

Total long term obligations (non bond or employee) related debt interest $0.00 0.00%

Total long term obligations (non bond or employee) related debt principal and

interest combined $467,488,322.00 4.80%


Total Miscellaneous (non bond or employee) related debt principal $393,680,100.00 4.05%

Total Miscellaneous (non bond or employee) related debt interest $0.00 0.00%

Total Miscellaneous (non bond or employee) related debt principal and

interest combined $393,680,100.00 4.05%


Total Employee & Post Employee expense related debt principal $4,902,775,380.88 50.39%

Total long term obligations (non bond or employee) related debt interest $0.00 0.00%

Total long term obligations (non bond or employee) related debt principal and

interest combined $4,902,775,380.88 50.39%

Debt, Obligations and negative long term cash events – Listing

(FMW Restructured Fiscal Fiduciary Obligations for City of Detroit primary government) 2013-2014 FMW City of Detroit Revised Budget

Revenue Total $1,478,126,000.90

Annual minimum LTDO Payments for Detroit (current debt load) $590,796,003.00

Obligation payments as percentage of actual (projected) revenues 39.97%


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18 | P a g e

Debt, Obligations and negative long term cash events – Listing (FMW Restructured Fiscal Fiduciary

Obligations for former City of Detroit Agencies – Authority model) 2013 Projected Debt & Obligation Individual Listing

Sewage Dept. Revenue Anticipation Bonds $2,863,856,075.00

Water Dept. Revenue Anticipation Bonds $2,556,395,000.00

Detroit Public Lighting Authority Debt Principal Amount (paid for with City Utility tax proceeds and

City pledged other funds if tax doesn't cover shortfall) $160,000,000.00

State of Michigan Drinking Water Revolving Loan Fund total outstanding loan balance Sewage Department $508,236,265.00

State of Michigan Drinking Water Revolving Loan Fund total outstanding loan balance Water

Department $22,953,761.00

Sewage Dept. other long term liabilities $67,752,675.00

Water Dept. other long term liabilities $20,046,811.00

DDOT other long term liabilities $94,550,778.00

Other Enterprise Agencies long term liabilities $284,373.00

D-DOT Bonds 6,271,722.00

Sewage fund annual bond debt payment requirement payment shortfall $0.00

Water fund annual bond debt payment requirement payment shortfall $0.00

D-DOT Default on employee benefit obligations for 2011 fiscal year $0.00

Post Employment benefits unfunded liability $1,308,915,717.59

Pension unfunded liability $146,466,573.53

Pension Obligation Certificates (Total for Off shored Public Sector Authority enterprise agencies) $271,619,764.00

Hedging Derivatives net additional debt (general fund and enterprise agencies combined) $144,059,717.00

GE Capital Public Finance Inc Capital Lease (DDOT buses) remaining balance $12,678,358.00

Total City of Detroit Non Fiduciary Departments Current Obligation principal $8,184,087,590.12


_______________________________________________________________________

19 | P a g e

Debt, Obligations and negative long term cash events – Listing (FMW Restructured

Fiscal Fiduciary Obligations for former City of Detroit Agencies – Authority model) 2012 CAFR - Debt & Obligations Individual Listing

Water Fund Revenue Anticipation Bond interest $2,257,016,669.00

Sewage Fund Revenue Anticipation Bond interest $2,452,968,814.00

POC Water Fund interest $30,792,410.00

POC Sewage Fund interest $27,173,612.00

POC D-DOT Fund interest $35,932,007.00

GE Capital Public Finance Inc Capital Lease (DDOT buses) interest $941,308.00

D-DOT Revenue Anticipation Bond interest $999,323.00

Detroit Public Lighting Authority Debt Interest (Projected via City analysis) $80,000,000.00

Total City of Detroit Non Fiduciary Departments Current Obligation interest $4,885,824,143.00

2012 CAFR - Debt & Obligations Individual Listing

Total City of Detroit Non Fiduciary Departments Current Obligation (Principal & interest) $13,069,911,733.12

FMW Revised Debt Service/Obligation Annual Payment

2013 Fiscal year

Projected Amount

2012 CAFR Report for

2013 fiscal year- Total

Amount

FMW Restructuring

annual obligation

payment savings

Annual minimum Debt Service contribution to meet minimum payment obligation Remaining Agencies only $216,656,803.00 $596,073,066.00 ($379,416,263.00)

Annual minimum Pension Plan Contribution Remaining

Agencies only $90,460,423.00 $177,460,423.00 ($87,000,000.00)

Annual minimum Post Employment Benefit Contribution

Remaining Agencies only $283,678,777.00 $355,236,173.00 ($71,557,396.00)

Annual minimum Long Term Debt & Obligation Payments

for Detroit $590,796,003.00 $1,128,769,662.00 ($537,973,659.00)

Date post:	22-Jul-2015
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Fmw 17 point plan fiscal & budget analysis blue print

Economy & Finance