2021 Budget Plan

Executive Summary

City of Akron, Ohio

Dan Horrigan, Mayor

Prepared by the Department of Finance

March 1, 2021
 2021 Budget
Assumptions

Revenue

1. Income tax revenues to increase by 2%.

2. Local government fund revenues to remain stable.

3. Property tax revenues to increase 10%.

4. No increase in Water or Sewer service rates for 2021.

5. Gas tax revenue to remain stable.

Expenditure

1. The budget includes an estimated 3% cost-of-living wage increase for 2021. Due to the
2021 calendar, there will be a 53rd pay period.

2. The charge for health care costs will remain stable.

3. The City will hire a class of Firefighter/medics in the Fall of 2021.

4. The City is investing in technology with the implementation of Workday a new

Financial/HR/Payroll system and rolling out Microsoft Office 365.

5. The City will utilize the remaining $7.3M in CARES Act funding.

1
 2021 Budget
Categories

Budget Categories to Banner Account Types

Wages/Benefits
61 – Labor: Includes wages for full-time, part-time, temporary, and seasonal staff, overtime,
longevity payment, and uniform allowance.

62 – Fringe Benefits: Includes health benefits, unemployment, Workers’ Compensation,

Medicare, pension, and retirement payouts.

Other
70 – Direct Expenditures: Discretionary items including supplies, postage, contractual services,
maintenance, computer equipment, travel, salt purchases, and etc.

71 – Income Tax Refunds: Exclusively Income tax, JEDD tax refunds, and tax sharing payments.

72 – Utilities: Gas, Electric, Steam and Tipping fees are the majority of the expenses.

73 – Debt Service: Payments for debt issuance including: principal, interest, and issuance expense.

74 – Insurance: Payments for vehicle, property, and other insurance.

75 – State/County Charges: Real estate taxes, Auditor of State fees, election, and Summit
County Auditor Fee.

76 – Rentals and Leases: Equipment and property lease and lease purchase payments.

78 – Capital Outlay: Payments for items with a unit cost in excess of $7,500 with a useful life
more than five years and includes items such as: equipment, streets, highways, sewer, water
mains, vehicles, trucks, and accessories.

80 – Interfund Transfers: Payments primarily to reimburse internal service funds for services
provided including: Motor Equipment, Communications, Information Technology, and
Engineering. Subsidy payments, advances along with the City share of grant matching funds are
recorded as interfund.

Outlay
The budget has been prepared to conform to the budget structure in the new Workday software.
The former Outlay category has been eliminated and the Capital Outlay account type is being
budgeted in the Other category.

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 General Fund
Cash Balance, Revenue, Expense, and Ending Cash
(2019-2020 Actual and 2021 Budget)

2019 2020 2021

Actual Actual Budget

Cash Balance, January 1 $9,884,991 $9,894,705 $27,989,469

Revenue

Taxes, Assessments and JEDD $114,941,644 $114,113,303 $118,802,850

Intergovernmental Revenue 11,265,376 10,495,610 10,724,000
Charges for Services 33,388,536 33,812,209 33,133,300
License and Fees 2,819,775 2,815,255 2,868,110
Miscellaneous Revenues 7,220,636 15,674,575 6,244,900

Total Revenue $169,635,967 $176,910,952 $171,773,160

Expense

Labor $78,498,930 $70,664,103 $83,107,740

Fringe Benefits 40,838,181 37,359,388 40,978,930
Current Expenditures - Other 23,469,919 21,494,619 22,457,120
Income Tax Refunds/Tax Sharing 0 0 50,000
Utilities Expenses 4,304,167 6,131,735 4,473,900
Debt Service 234,872 275,408 125,250
Insurance 567,893 785,936 821,540
State/County Charges 1,156,591 1,289,546 1,100,120
Rentals and Leases 1,165,756 1,082,750 1,546,320
Capital Outlay 108,118 0 7,500
Interfund Service Charges 19,281,826 19,732,703 17,879,720

Total Expense $169,626,253 $158,816,188 $172,548,140

Cash Balance, December 31 $9,894,705 $27,989,469 $27,214,489

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 General Fund
2021 Budget
Revenue by Major Source

4%
2%

20%
Taxes, Assessments and JEDD

Intergovernmental Revenue

Charges for Services

6%
Miscellaneous Revenues

68%

Expense by Category

10%

1%

3%
Labor Fringe Benefits

Current Expenditures - Other Utilities Expenses

13% 48%

State/County Charges Rentals and Leases

Interfund Service Charges

Other Expense accounts for less than 1%

of expense are not included in this chart.

24%

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 All Funds
Gross Revenue - by Fund
Fund - Title 2019 Actual 2020 Actual 2021 Budget

1000-GENERAL FUND $169,635,967 $176,910,952 $171,773,160

2000-INCOME TAX COLLECTION 9,316,216 5,597,419 5,535,960
2005-EMERGENCY MEDICAL SERVICE 20,527,719 16,965,155 20,836,280
2010-SPECIAL ASSESSMENT BOND PAYMENT 30,860,158 30,024,821 29,999,590
2015-POLICE PENSION-LIABILITY 800,081 797,206 897,080
2020-FIRE PENSION-LIABILITY 800,081 797,206 897,080
2025-INCOME TAX CAPITAL IMPROVEMENT (DW) 42,915,211 41,185,776 43,240,070
2030-STREET & HIGHWAY MAINTENANCE 10,385,728 10,957,118 12,366,020
2080-COMMUNITY DEVELOPMENT (DW) 9,611,983 7,840,810 11,087,120
2095-COMMUNITY ENVIRONMENT GRANTS (DW) 1,057,578 908,503 4,338,770
2127-A.M.A.T.S. 1,663,229 1,626,442 1,635,860
2146-H.O.M.E. PROGRAM (DW) 2,061,551 1,483,042 1,369,630
2195-TAX EQUIVALENCY (DW) 17,582,394 16,991,737 17,637,620
2200-SPECIAL REVENUE LOANS 14,519 5,559 6,370
2240-JOINT ECONOMIC DEVELOPMENT DISTRICT (DW) 18,624,682 18,971,721 16,956,300
2255-AKRON MUNICIPAL COURT INFORMATION SYSTEM 231,785 163,079 159,070
2295-POLICE GRANTS 806,373 1,293,367 3,174,670
2305-SAFETY PROGRAMS 5,009,680 2,106,971 6,645,000
2320-EQUIPMENT & FACILITIES OPERATING (DW) 4,518,592 7,250,914 1,113,950
2330-VARIOUS PURPOSE FUNDING (DW) 2,593,934 31,735,625 1,709,260
2340-DEPOSITS 370,621 2,230,520 406,390
2355-COMMUNITY LEARNING CENTERS (DW) 21,116,153 18,937,312 20,862,790
2360-POLICE, FIRE, ROAD INCOME TAX 16,363,605 16,304,529 16,630,500
2365-GENERAL GRANTS 0 49,277 1,250,000
3000-GENERAL BOND PAYMENT 1,657,559 1,582,478 1,860,450
4060-STREETS (DW) 11,857,359 17,392,321 19,314,320
4150-INFORMATION TECH. AND IMPROVE. 0 2,500,000 750,000
4160-PARKS AND RECREATION (DW) 913,904 500,694 4,623,000
4165-PUBLIC FACILITIES AND IMPROVEMENTS (DW) 5,853,114 1,322,323 5,625,450
4170-PUBLIC PARKING (DW) 0 0 1,685,000
4175-ECONOMIC DEVELOPMENT (DW) 360,514 1,530,929 1,706,370
5000-WATER 38,676,669 40,745,614 39,995,830
5005-SEWER 109,965,116 104,012,516 118,040,020
5010-OIL & GAS 118,856 55,464 56,020
5015-GOLF COURSE 1,474,621 1,550,663 2,061,890
5020-AIRPORT 1,178,604 1,697,433 1,644,240
5030-OFF-STREET PARKING 4,381,593 4,165,543 4,153,170
6000-MOTOR EQUIPMENT 8,431,542 8,319,573 8,186,030
6005-LIABILITY SELF-INSURANCE 39,220,471 41,601,708 41,213,870
6007-WORKERS' COMPENSATION RESERVE 2,473,461 5,480,380 2,544,520
6009-SELF-INSURANCE SETTLEMENT 0 0 0
6015-TELEPHONE SYSTEM ROTARY 677,049 726,697 733,880
6025-ENGINEERING 6,088,875 5,758,342 5,807,660
6030-DATA PROCESSING 2,916,458 4,827,852 3,928,550
7000-CLAIRE MERRIX TENNIS TRUST 0 0 0
7003-HOLOCAUST MEMORIAL 4,590 69,525 0
7010-UNCLAIMED MONIES 30,536 300 69,530
7020-POLICE/FIRE BENEFICIARY SCHOLARSHIP 400 370,140 300
7025-POLICE PROPERTY MONETARY EVIDENCE 574,024 0 353,910

Grand Total $623,723,155 $655,345,556 $654,882,550

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 All Funds
Gross Expense - by Fund
Fund - Title 2019 Actual 2020 Actual 2021 Budget

1000-GENERAL FUND $169,626,253 $158,816,187 $172,548,140

2000-INCOME TAX COLLECTION 5,787,284 5,624,452 6,379,080
2005-EMERGENCY MEDICAL SERVICE 19,889,096 16,673,877 21,432,420
2010-SPECIAL ASSESSMENT BOND PAYMENT 31,229,114 30,503,438 32,030,380
2015-POLICE PENSION-LIABILITY 776,536 366,958 1,374,300
2020-FIRE PENSION-LIABILITY 776,536 366,958 1,374,300
2025-INCOME TAX CAPITAL IMPROVEMENT (DW) 42,973,576 40,469,121 44,245,820
2030-STREET & HIGHWAY MAINTENANCE 9,426,718 10,295,832 13,715,820
2080-COMMUNITY DEVELOPMENT (DW) 9,440,757 7,764,638 11,869,850
2095-COMMUNITY ENVIRONMENT GRANTS (DW) 981,682 879,742 4,147,100
2127-A.M.A.T.S. 1,462,660 1,683,946 1,951,450
2146-H.O.M.E. PROGRAM (DW) 2,041,097 1,365,182 1,507,920
2195-TAX EQUIVALENCY (DW) 15,956,469 14,759,780 18,731,570
2200-SPECIAL REVENUE LOANS 51,539 7,166 10,000
2240-JOINT ECONOMIC DEVELOPMENT DISTRICT (DW) 17,078,702 17,373,900 19,231,860
2255-AKRON MUNICIPAL COURT INFORMATION SYSTEM 172,900 281,051 883,540
2295-POLICE GRANTS 773,359 1,315,534 3,102,890
2305-SAFETY PROGRAMS 4,619,296 2,487,529 4,419,420
2320-EQUIPMENT & FACILITIES OPERATING (DW) 4,934,614 7,380,125 1,210,000
2330-VARIOUS PURPOSE FUNDING (DW) 908,093 23,161,800 9,800,960
2340-DEPOSITS 896,161 472,016 1,500,000
2355-COMMUNITY LEARNING CENTERS (DW) 22,683,109 20,322,409 24,076,000
2360-POLICE, FIRE, ROAD INCOME TAX 14,530,998 7,934,558 24,555,170
2365-GENERAL GRANTS 0 0 1,294,360
3000-GENERAL BOND PAYMENT 1,595,728 1,585,642 1,650,110
4060-STREETS (DW) 9,933,345 20,006,523 19,277,760
4150-INFORMATION TECH. AND IMPROVE. 131,582 2,076,815 1,206,000
4160-PARKS AND RECREATION (DW) 456,958 815,713 5,155,000
4165-PUBLIC FACILITIES AND IMPROVEMENTS (DW) 4,820,539 2,351,120 5,728,000
4170-PUBLIC PARKING (DW) 28,474 436,310 2,235,000
4175-ECONOMIC DEVELOPMENT (DW) 2,138,486 2,313,521 1,588,410
5000-WATER 40,484,973 36,858,558 42,148,560
5005-SEWER 98,093,744 109,415,233 118,500,270
5010-OIL & GAS 36,747 96,626 115,890
5015-GOLF COURSE 1,464,698 1,535,543 2,085,090
5020-AIRPORT 1,491,437 1,721,440 1,645,650
5030-OFF-STREET PARKING 4,209,267 4,183,711 4,387,910
6000-MOTOR EQUIPMENT 8,973,147 8,273,823 8,222,400
6005-LIABILITY SELF-INSURANCE 39,152,140 39,805,397 39,859,530
6007-WORKERS' COMPENSATION RESERVE 2,896,367 2,726,556 3,276,750
6009-SELF-INSURANCE SETTLEMENT 0 0 15,000
6015-TELEPHONE SYSTEM ROTARY 830,732 610,282 631,830
6025-ENGINEERING 5,992,139 5,184,045 4,563,700
6030-DATA PROCESSING 2,720,143 4,477,989 4,948,130
7000-CLAIRE MERRIX TENNIS TRUST 0 0 500
7003-HOLOCAUST MEMORIAL 27,919 0 0
7010-UNCLAIMED MONIES 51,380 64,865 67,000
7020-POLICE/FIRE BENEFICIARY SCHOLARSHIP 0 0 2,000
7025-POLICE PROPERTY MONETARY EVIDENCE 269,088 83,683 500,000

Grand Total $602,815,582 $614,929,594 $689,202,840

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 Full-time Employees
Total vs. General Fund

2,000

1,900
1,941

1,800
1,821 1,836 1,832
1,811
1,700

1,600

1,500

1,400

1,300

1,200

1,154.90 1,176.45
1,100
1,132.45
1,090.43 1,092.08
1,000

900

800
2017 2018 2019 2020 2021 BUDGET
TOTAL CITY EMPLOYEES GENERAL FUND EMPLOYEES