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HomeMy WebLinkAboutPackets - Council Packets (1953)         AGENDA ORO VALLEY TOWN COUNCIL BUDGET STUDY SESSION May 5, 2025 ORO VALLEY COUNCIL CHAMBERS 11000 N. LA CAÑADA DRIVE        BUDGET STUDY SESSION AT OR AFTER 6:00 PM   CALL TO ORDER   ROLL CALL   BUDGET STUDY SESSION AGENDA   1.PRESENTATION AND DISCUSSION OF THE FY 25/26 TOWN MANAGER'S RECOMMENDED BUDGET   ADJOURNMENT     POSTED: 5/2/25 at 11:00 a.m. by sa When possible, a packet of agenda materials as listed above is available for public inspection at least 24 hours prior to the Council meeting in the office of the Town Clerk between the hours of 8:00 a.m. – 5:00 p.m. The Town of Oro Valley complies with the Americans with Disabilities Act (ADA). If any person with a disability needs any type of accommodation, please notify the Town Clerk’s Office at least five days prior to the Council meeting at 229-4700. INSTRUCTIONS TO IN-PERSON SPEAKERS Members of the public may be allowed to speak on posted items on the agenda at the discretion of the Mayor. If you wish to address the Town Council on any item(s) on this agenda, please complete a blue speaker card located on the Agenda table at the back of the room and give it to the Town Clerk. Please indicate on the blue speaker card which item number and topic you wish to speak on. Please step forward to the podium when the Mayor calls on you to address the Council. 1. For the record, please state your name and whether or not you are a Town resident. 2. Speak only on the issue currently being discussed by Council. You will only be allowed to address the Council one time regarding the topic being discussed. 3. Please limit your comments to 3 minutes. 4. During Call to Audience, you may address the Council on any matter that is not on the agenda. 5. Any member of the public speaking must speak in a courteous and respectful manner to those present. Thank you for your cooperation.    CC-5991   1. Town Council Budget Study Session Meeting Date:05/05/2025   Submitted By:Mike Standish, Town Clerk's Office Department:Finance Information SUBJECT: PRESENTATION AND DISCUSSION OF THE FY 25/26 TOWN MANAGER'S RECOMMENDED BUDGET EXECUTIVE SUMMARY: N/A FISCAL IMPACT: N/A Attachments FY 25/26 TMRB  Staff Presentation  RECOMMENDED BUDGET TOWN MANAGER’S FY 2025/26 Town of Oro Valley Town Manager’s Recommended Fiscal Year 2025/26 Budget Table of Contents Financial Overview Budget Message ................................................................. i Estimated Fund Balance Report ................................... 1 Fund Balances ..................................................................... 2 Expenditure Schedule by Fund ..................................... 3 Budget Summary by Fund General Fund ................................................................. 4 Community Center Fund ........................................... 5 Highway Fund ............................................................... 6 Seizures & Forfeitures ................................................ 7 Municipal Debt Service Fund .................................. 8 Capital Fund ................................................................... 9 Grants & Contributions Fund ................................... 10 Townwide Roadway Development Impact Fee Fund ...................................................... 11 PAG/RTA Fund .............................................................. 12 Parks & Recreation Impact Fee Fund ................... 13 Police Impact Fee Fund ............................................. 14 Recreation In Lieu Fee Fund .................................... 15 Benefit Self Insurance Fund ..................................... 16 Water Utility Fund ........................................................ 17 Water Resource and System Development Impact Fee Fund ......................... 18 Stormwater Utility Fund ............................................ 19 Revenue Summary ............................................................ 20 Revenue Schedule by Fund ........................................... 21 Capital Expenditures by Fund ........................................ 28 Non-Departmental Expenditures ................................. 30 Summary of FTE Changes ............................................... 31 Operating Expenditures Clerk ....................................................................................... 32 Community and Economic Development ............... 33 Council .................................................................................. 39 Court ...................................................................................... 40 Finance .................................................................................. 41 Human Resources ............................................................. 42 Information Technology ................................................ 43 Legal ....................................................................................... 44 Town Manager’s Office .................................................. 45 Parks and Recreation ....................................................... 48 Police ..................................................................................... 54 Public Works ....................................................................... 55 Water Utility ........................................................................ 62 Debt Debt Service ......................................................................... 67 Transfers Interfund Transfers ........................................................... 73 Capital Improvement Program (CIP) Capital Improvement Program Overview ................. 74 10-Year Proposed CIP ...................................................... 77 CIP Project Descriptions .................................................. 86 i    April 28, 2025 I am proud to present the Town of Oro Valley balanced budget for Fiscal Year 2025/2026 (FY 25/26). This budget totals $147.1 million, representing a decrease of $3.7 million, or 2.5 percent less than the adopted FY 24/25 budget of $150.8 million. The General Fund budget totals $53.9 million, a 1.5% increase from the FY 24/25 budget of $53.1 million. Town Council Strategic Plan priorities are reflected in the recommended budget for FY 25/26. The budget process involves the prudent allocation of resources across Town operations to improve the high service levels Oro Valley residents expect in order to live, work, play and prosper in our community. The proposed budget reflects a strategy of fiscal conservatism in the face of anticipated financial headwinds. Driven by reductions in state revenue, slowing development, stagnant sales tax growth, and a five-year forecast indicating potential financial difficulties, the budget prioritizes maintaining core services while implementing significant cost-saving measures. Despite unavoidable increases in areas like utilities and debt service related to essential water infrastructure projects, the overall strategy aims to mitigate the impact of declining revenue and ensure long-term financial stability.   Total Town-wide budget appropriation of $147,146,661, this is a $3,688,592 or 2.5% decrease from the FY 24/25 adopted budget.   Personnel FTEs A slight decrease in overall Full-Time Equivalent (FTE) personnel, with only one new police officer position and several reclassifications, including part-time to full-time transitions in Transit and Police, offset by the elimination of two temporary project manager roles.  Overall decrease of 1.42 FTEs  Only one new FTE - Police Officer  Elimination of two temporary CIP Project Manager positions  Reclassifications of part-time to full-time in Transit, Police  Various reclassifications (no impact on total FTEs) Personnel Expenditures Personnel expenditures are projected to grow modestly, factoring in police step increases and a 3% pay increase, while anticipating savings from retirements and turnover, as well as reduced medical insurance enrollment.  General Fund personnel increase of 0.6%, Town-wide increase of 0.8% ii     Assuming police steps and 3% pay increase  Seeing retirements and turnover in FY 24/25, resulting in projected savings for the FY 25/26 recommended budget  Decrease in medical insurance enrollment. More employees opting for high-deductible plan over PPO. O&M Operation and Maintenance (O&M) spending largely held flat, with General Fund increases driven by unavoidable utility, insurance, and vehicle replacement reserve costs, balanced against reductions in areas like professional services and travel; other increases are tied to revenue-generating programs and inflationary pressures.  Departments instructed to keep O&M flat to FY 24/25. Many departments reduced O&M.  General Fund increase in O&M of 2.5%, Water increase of 3.2%  The Community Center Fund experienced an increase of $734,895 (12.2%) in O&M expenses, primarily due to the following: o $306,485 increase in golf contractor operating costs o $176,000 allocated for minor assets, including:  $60,000 for utility vehicles  $45,000 for mower awnings  $30,000 for fence repair  $16,000 for replacement pool chlorinators  $10,000 for new furniture in the golf entryway  $18,000 for facility fitness equipment and other minor items o $78,000 increase in credit card fees (on customer payments) o $58,500 increase in janitorial and sanitation supplies o $57,000 increase in building repair and maintenance costs o $8,000 increase for termite treatments o $5,000 increase for tennis and pickleball court washing  General Fund O&M - Largest Reductions: o Outside professional services decreased by $120,000 o Minor assets and equipment decreased by $74,000 o Travel and training expenses decreased by $68,000 o Gasoline costs decreased by $62,000  General Fund O&M - Largest Increases (Largely Unavoidable): o Utilities increased by $185,000 o Insurance costs increased by $99,000 o Vehicle replacement reserves increased by $95,000 iii    o Other increases are related to programs with associated revenues (parks programs, golf contractor, credit card fees) o Other increases are from cost inflation in software licenses and subscriptions, supplies, telecommunications. Capital Capital project expenditures are substantially reduced in FY 25/26 following significant FY 24/25 projects, including the elevator upgrade, Town Court expansion and various water infrastructure improvements.  Capital Fund reduction in capital of $2.9 million or 31%, Town wide reduction of $7.1 million  Major CIP projects include Northwest Recharge, Recovery and Delivery System (NWRRDS) $24.7 million, vehicle replacements $3.3 million (offset with grant funding of $937,000), pavement preservation $3.1 million, pond at Vistoso Nature Preserve $2 million, Community Center parking lot resurface $950,000, completion of Town Court building expansion $800,000  Water system projects continue to be a large part of total capital representing about 59% of the recommended CIP budget for FY 25/26. The NWRRDS project is expected to be completed in FY 25/26. Debt Service  The issuance of $17.09 million in debt for Water infrastructure projects ($6.08 million bonds, $11.01 million WIFA loan) will increase debt service in the Water funds by $1.2 million in FY 25/26. FY 25/26 Town Wide Operating Expenditures (Public Works includes Water)   iv     Parks & Rec. Change $1,094,637 Parks & Rec General Fund $ 271,515 Personnel 74,060 O&M 197,455 Natural gas & electricity 109,000 Water & sewage 54,985 Contract personnel services 30,000 Special events 26,400 Minor Assets 25,000 Net miscellaneous operating 15,960 Travel & training (6,890) Building repair & maintenance (27,000) Outside professional services (30,000) Parks & Rec Community Center Fund $ 823,122 Personnel 88,227 O&M 734,895 Golf contractor 368,845 Outside professional services 103,550 Building repair & maintenance 57,000 Minor assets/equipment 163,500 Field supplies 41,500 Property tax 500 v    CONCLUSION This Recommended Budget document is a direct reflection of the efforts and many hours contributed by staff from all Town departments, as well as input from the Town Council and residents. There was significant cross- departmental collaboration that occurred to work towards building a Recommended Budget that strives to meet community and organizational needs, while also bearing in mind the resource challenges we face. It is this exceptional collaboration and effort from our staff and the support of our Executive Leadership Team that have assisted me in putting together a Recommended Budget that hopefully reflects the desires and expectations of the Town Council and Oro Valley community. I especially want to recognize my budget team for their extraordinary work and countless hours in preparing the budget: Senior Budget Analyst Christopher Hutchison, Deputy Finance Director Wendy Gomez, Chief Financial Officer David Gephart, Deputy Town Manager Chris Cornelison and Assistant to the Town Manager Karl Shaddock. Respectfully submitted,  Jeff Wilkins Town Manager Beginning Fund Balance Revenue TransfersIn Personnel O&M Capital Debt Service Contingency Total Budget Appropriation TransfersOut Ending Fund Balance General Fund18,933,292 57,373,584 - 36,726,168 14,951,551 211,000 - 2,000,000 53,888,719 7,288,279 17,129,877 Special Revenue FundsCommunity Center Fund2,825,030 11,192,213 - 1,310,810 6,738,334 2,748,700 229,060 500,000 11,526,904 1,716,268 1,274,070 Highway Fund1,421,774 4,623,169 2,000,000 1,359,886 1,317,935 4,790,000 - 200,000 7,667,821 - 577,122 Seizures & Forfeitures 342,860 40,000 - - 100,000 - - 282,860 382,860 - 282,860 Debt Service Fund91,502 126,504 3,918,566 - 10,000 - 4,013,070 100,000 4,123,070 - 113,502 Capital Project FundsCapital Fund16,868,939 1,538,926 5,000,000 - - 6,417,864 - 2,000,000 8,417,864 2,234,200 14,755,801 Grants & Contributions17,815 1,689,950 361,950 - 771,500 1,171,000 - 100,000 2,042,500 - 127,215 TWDIF Fund3,225,739 588,915 - - 4,287 746,945 - 300,000 1,051,232 - 3,063,422 PAG/RTA Fund447,141 79,156 - - 80,000 75,000 - 120,000 275,000 - 371,297 Parks & Rec Impact Fee Fund 393,909 382,897 - - 2,001 - - 185,000 187,001 - 774,805 Police Impact Fee Fund164,209 107,596 - - 572 - - 50,000 50,572 38,765 232,468 Rec In Lieu Fee Fund18,776 800 - - - - - 18,216 18,216 - 19,576 Internal Service FundsBenefit Self Insurance Fund 3,412,422 4,673,870 - - 4,673,870 - - 500,000 5,173,870 - 3,412,422 Enterprise FundsWater Utility Fund10,253,871 22,088,000 - 4,028,142 11,551,775 2,175,000 3,890,977 500,000 22,145,894 9,883,004 812,973 WRSDIF Fund16,623,156 1,112,782 9,880,000 - 181,144 25,964,494 804,494 500,000 27,450,132 - 665,806 Stormwater Utility Fund1,211,645 1,786,200 - 1,017,251 444,755 1,033,000 - 250,000 2,745,006 - 502,839 76,252,079 107,404,562 21,160,516 44,442,257 40,827,724 45,333,003 8,937,601 7,606,076 147,146,661 21,160,516 44,116,056 Total Budget Appropriation Fund Balance ReportFY 2025/26 RECOMMENDED BUDGET1 - Per Town budgetary and financial policy 1-1-4.0, the budget shall include contingency appropriation to provide for unanticipated increases in service delivery costs, emergencies, and needs that may arise through the fiscal year. The contingency appropriation, except Seizures and Forfeitures Funds, may only be expended upon Town Council approval. 2 - The total budget appropriation excludes transfers out and does not include non-cash outlays for depreciation or amortization. $147,146,661SOURCESUSES 3 - The ending fund balance excludes contingency reserves. 1232Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget1 Special Capital Internal General Revenue Project Service Debt Service Fund Funds Water Stormwater Funds Funds Fund Total Beginning Fund Balance 18,933,292$ 4,589,664$ 26,877,027$ 1,211,645$ 21,136,528$ 3,412,422$ 91,502$ 76,252,079$ Revenues Taxes 28,497,187$ 3,972,920$ -$ -$-$ -$ -$ 32,470,106$ Licenses and Permits 2,116,123 30,000 - -- - - 2,146,123 Fines 68,680 - - -- - - 68,680 Water Sales - - 18,511,000 -- - - 18,511,000 Charges for Services 3,015,068 7,159,243 3,457,000 1,527,000 35,156 - - 15,193,467 State Shared Revenue 20,041,513 4,491,669 - -- - - 24,533,182 Intergovernmental 2,320,362 - - -- - - 2,320,362 Grants 466,851 - - 239,200 1,152,950 - 14,504 1,873,505 Seizures & Forfeitures - 20,000 - -- - - 20,000 Impact Fees - -937,782 -958,408 - - 1,896,190 Interest Income 637,500 141,500 275,000 20,000 611,800 - 32,000 1,717,800 Miscellaneous 210,300 40,050 20,000 -1,629,926 4,673,870 80,000 6,654,146 Total Revenues 57,373,584 15,855,382 23,200,782 1,786,200 4,388,240 4,673,870 126,504 107,404,562 Transfers In - 2,000,000 9,880,000 -5,361,950 - 3,918,566 21,160,516 Total Sources 57,373,584$ 17,855,382$ 33,080,782$ 1,786,200$ 9,750,190$ 4,673,870$ 4,045,070$ 128,565,078$ Expenditures Town Council 216,158$ -$ -$ -$-$ -$ -$ 216,158$ Town Manager's Office 1,758,846 - - -- - - 1,758,846 Clerk 460,959 - - -- - - 460,959 Human Resources 748,324 - - -- - - 748,324 Finance 894,727 - - -- - - 894,727 Information Technology 6,043,216 - - -- - - 6,043,216 Legal 1,203,959 - - -- - - 1,203,959 Town Court 1,088,980 - - -- - - 1,088,980 Non-Departmental 2,960,504 - - -656,860 4,673,870 10,000 8,301,234 Capital Projects 138,000 7,638,700 28,139,494 983,000 2,897,967 - - 39,797,161 Comm. & Economic Dev. 4,308,694 - - -- - - 4,308,694 Parks and Recreation 4,984,011 8,049,144 - -2,263,542 - - 15,296,697 Police 20,503,583 100,000 - -665,250 - - 21,268,833 Public Works 6,578,758 2,577,821 - 1,512,006 2,785,550 - - 13,454,135 Water Utility - - 15,761,061 -- - - 15,761,061 Debt Service - 229,060 4,695,471 -- - 4,013,070 8,937,601 Contingency Reserve 2,000,000 982,860 1,000,000 250,000 2,773,216 500,000 100,000 7,606,076 Total Budget 53,888,719$ 19,577,585$ 49,596,026$ 2,745,006$ 12,042,385$ 5,173,870$ 4,123,070$ 147,146,661$ Transfers Out 7,288,279 1,716,268 9,883,004 -2,272,965 - - 21,160,516 Total Uses 61,176,998 21,293,853 59,479,030 2,745,006 14,315,350 5,173,870 4,123,070 168,307,177 Sources Over/(Under) Uses (3,803,414) (3,438,471) (26,398,248) (958,806) (4,565,160) (500,000) (78,000) (39,742,100) Ending Fund Balance 15,129,877$ 1,151,192$ 478,779$ 252,839$ 16,571,368$ 2,912,422$ 13,502$ 36,509,980$ Ending Fund Balance 17,129,877$ 2,134,052$ 1,478,779$ 502,839$ 19,344,584$ 3,412,422$ 113,502$ 44,116,056$ (1)Includes use of contingency reserves (2)Does not include use of contingency reserves Fund Balances Enterprise Funds (1) (2) Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 2 FY 2023 FY 2024 FY 2025 FY 2026 % Fund/Department Actual Actual Budget Budget to Budget General Fund Clerk 428,729 403,496 564,954 460,959 -18.4% Community & Economic Development 3,148,683 3,548,853 4,289,037 4,308,694 0.5% Council 197,987 184,698 241,102 216,158 -10.3% Finance 888,629 825,859 867,767 894,727 3.1% Non Departmental 3,173,309 4,635,814 3,048,603 3,098,504 1.6% Human Resources 545,050 632,584 764,005 748,324 -2.1% Information Technology 4,513,489 5,117,021 6,022,838 6,043,216 0.3% Legal 1,030,534 1,071,067 1,175,969 1,203,959 2.4% Parks and Recreation 3,858,974 4,464,202 4,782,096 4,984,011 4.2% Police 19,768,568 20,170,048 20,220,736 20,503,583 1.4% Public Works 5,889,330 6,535,148 6,944,467 6,578,758 -5.3% Town Court 965,089 985,129 1,123,551 1,088,980 -3.1% Town Manager's Office 1,354,290 1,596,585 1,742,926 1,758,846 0.9% Subtotal 45,762,660 50,170,505 51,788,051 51,888,719 0.2% Special Revenue Funds Community Center Fund 8,336,242 8,964,043 9,231,683 11,026,904 19.4% Highway User Revenue Fund 4,662,246 6,215,406 8,096,303 7,467,821 -7.8% Seizures & Forfeitures Funds 61,953 44,983 100,000 100,000 0.0% Subtotal 13,060,441 15,224,433 17,427,986 18,594,725 6.7% Debt Service Funds Municipal Debt Service Fund 4,037,583 4,037,583 4,030,354 4,023,070 -0.2% Subtotal 4,037,583 4,037,583 4,030,354 4,023,070 -0.2% Capital Project Funds Capital Fund 19,047,284 18,579,704 9,327,757 6,417,864 -31.2% Grants & Contributions Fund 2,286,422 2,155,712 6,685,100 1,942,500 0.0% Roadway Impact Fee Fund 4,175 1,157 100,000 751,232 651.2% PAG/RTA Fund 700,195 471,950 50,000 155,000 210.0% Parks and Recreation Impact Fee Fund 1,948 600,540 - 2,001 100.0% Police Impact Fee Fund 557 154 - 572 100.0% Subtotal 22,040,581 21,809,218 16,162,857 9,269,169 -42.7% Enterprise Funds Water Utility 14,932,772 14,311,300 20,367,610 21,645,894 6.3% Water Resources Dev. Impact Fee 2,946,082 11,226,516 26,703,135 26,950,132 0.9% Stormwater Utility 1,771,621 1,487,716 2,179,604 2,495,006 14.5% Subtotal 19,650,474 27,025,532 49,250,349 51,091,032 3.7% Internal Service Funds Benefit Self Insurance 4,526,575 3,747,088 4,746,753 4,673,870 -1.5% Subtotal 4,526,575 3,747,088 4,746,753 4,673,870 -1.5% Total Expenditures - All Funds 109,078,314$ 122,014,357$ 143,406,350$ 139,540,585$ -2.7% Note: Does not include depreciation, amortization, interfund transfers or contingency amounts Expenditure Schedule by Fund Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 3 Fiscal Year 2025/26 General Fund Fund Summary FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($) Budget (%) Revenues and Other Sources Local Taxes 28,708,825 26,902,686 28,497,187 (211,638) -0.7% Licenses and Permits 1,673,022 1,641,750 2,116,123 443,101 26.5% Federal Grants 509,415 498,171 375,000 (134,415) -26.4% State Grants 150,567 74,566 91,851 (58,716) -39.0% State Shared Revenues 20,432,937 20,556,368 20,041,513 (391,424) -1.9% Intergovernmental 1,981,555 2,141,306 2,320,362 338,807 17.1% Charges for Services 2,966,467 3,059,420 3,015,068 48,601 1.6% Fines 55,000 68,000 68,680 13,680 24.9% Interest Income 400,000 750,000 637,500 237,500 59.4% Miscellaneous 229,000 717,680 210,300 (18,700) -8.2% Total 57,106,788$ 56,409,947$ 57,373,584$ 266,796$ 0.5% Expenditures and Other Uses Personnel 36,516,772 35,507,892 36,726,168 209,396 0.6% Operations & Maintenance 14,590,879 14,380,325 14,951,551 360,672 2.5% Capital Outlay 680,400 516,600 211,000 (469,400) -69.0% Transfer to Capital Fund 7,139,787 7,139,787 5,000,000 (2,139,787) -30.0% Transfer to Grants Fund 125,375 125,375 127,750 2,375 1.9% Transfer to Debt Service Fund 2,138,179 1,888,179 2,160,529 22,350 1.0% Total 61,191,392$ 59,558,158$ 59,176,998$ (2,014,394)$ -3.3% Increase/(Decrease) (4,084,604)$ (3,148,211)$ (1,803,414)$ Beginning Fund Balance 18,933,292 Ending Fund Balance 17,129,877 Reserve (30% of Expenditures)15,566,616 Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 4 Fiscal Year 2025/26 Community Center Fund Fund Summary FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($) Budget (%) Revenues and Other Sources Local Sales Tax 3,879,440 3,859,524 3,972,920 93,480 2.4% Charges for Services 6,626,727 7,153,710 7,159,243 532,516 8.0% Interest Income 16,682 7,000 22,500 5,818 34.9% Miscellaneous 162,550 164,862 37,550 (125,000) -76.9% Total 10,685,399$ 11,185,096$ 11,192,213$ 506,813$ 4.7% Expenditures and Other Uses Personnel 1,222,583 1,217,540 1,310,810 88,227 7.2% Operations & Maintenance 6,003,439 5,621,074 6,738,334 734,895 12.2% Debt Service 213,161 210,684 229,060 15,899 7.5% Capital Outlay 1,792,500 1,408,737 2,748,700 956,200 53.3% Transfer to Debt Service Fund 1,717,149 1,717,149 1,716,268 (881) -0.1% Total 10,948,832$ 10,175,184$ 12,743,172$ 1,794,340$ 16.4% Increase/(Decrease)(263,433)$ 1,009,912$ (1,550,959)$ Beginning Fund Balance 2,825,030$ Ending Fund Balance 1,274,070$ Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 5 Fiscal Year 2025/26 Highway Fund Fund Summary FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($) Budget (%) Revenues and Other Sources Licenses and Permits 25,000 37,000 30,000 5,000 20.0% State Shared Revenues 4,283,146 4,288,907 4,491,669 208,523 4.9% Interest Income 150,000 100,000 99,000 (51,000) -34.0% Miscellaneous 3,000 3,231 2,500 (500) -16.7% Transfer from Capital Fund 4,000,000 4,000,000 2,000,000 (2,000,000) -50.0% Total 8,461,146$ 8,429,138$ 6,623,169$ (1,837,977)$ -21.7% Expenditures and Other Uses Personnel 1,333,798 1,322,820 1,359,886 26,088 2.0% Operations & Maintenance 1,281,505 1,256,505 1,317,935 36,430 2.8% Capital Outlay 5,481,000 5,034,086 4,790,000 (691,000) -12.6% Total 8,096,303$ 7,613,411$ 7,467,821$ (628,482)$ -7.8% Increase/(Decrease)364,843$ 815,727$ (844,652)$ Beginning Fund Balance 1,421,774$ Ending Fund Balance 577,122$ Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 6 Fiscal Year 2025/26 Seizures & Forfeitures Fund Fund Summary FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($) Budget (%) Revenues and Other Sources Seizures and Forfeitures 100,000 5,000 20,000 (80,000) -80.0% Interest Income 5,000 20,000 20,000 15,000 300.0% Total 105,000$ 25,000$ 40,000$ (65,000)$ -61.9% Expenditures and Other Uses Operations & Maintenance 100,000 35,000 100,000 - 0.0% Total 100,000$ 35,000$ 100,000$ -$ 0.0% Increase/(Decrease)5,000$ (10,000)$ (60,000)$ Beginning Fund Balance 342,860$ Ending Fund Balance 282,860$ Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 7 Fiscal Year 2025/26 Municipal Debt Service Fund Fund Summary FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($) Budget (%) Revenues and Other Sources Federal Subsidy 19,975 19,975 14,504 (5,471) -27.4% Interest Income 135,000 35,000 32,000 (103,000) -76.3% Miscellaneous 100,000 90,000 80,000 (20,000) -20.0% Transfer from General Fund 2,138,179 1,888,179 2,160,529 22,350 1.0% Transfer from Police Impact Fee Fund 42,718 42,718 38,765 (3,953) -9.3% Transfer from Comm Center Fund 1,717,149 1,717,149 1,716,268 (881) -0.1% Transfer from Water Utility Fund 2,333 2,333 3,004 671 28.8% Total 4,155,354$ 3,795,354$ 4,045,070$ (110,284)$ -2.7% Expenditures and Other Uses Operations & Maintenance 10,000 9,500 10,000 - 0.0% Debt Service 4,020,354 4,020,354 4,013,070 (7,284) -0.2% Total 4,030,354$ 4,029,854$ 4,023,070$ (7,284)$ -0.2% Increase/(Decrease) 125,000$ (234,500)$ 22,000$ Beginning Fund Balance 91,502$ Ending Fund Balance 113,502$ Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 8 Fiscal Year 2025/26 Capital Fund Fund Summary FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($) Budget (%) Revenues and Other Sources State Grants 1,000,000 1,000,000 - (1,000,000) -100.0% Interest Income 348,382 500,000 470,000 121,618 34.9% Miscellaneous 115,000 60,800 40,000 (75,000) -65.2% Vehicle Reserves 933,490 933,490 1,028,926 95,436 10.2% Transfer from General Fund 7,139,787 7,139,787 5,000,000 (2,139,787) -30.0% Total 9,536,659$ 9,634,077$ 6,538,926$ (2,997,733)$ -31.4% Expenditures and Other Uses Operations & Maintenance - 166,836 - - 0.0% Capital Outlay 9,327,757 5,101,501 6,417,864 (2,909,893) -31.2% Transfer to Grants Fund 2,174,530 174,530 234,200 (1,940,330) -89.2% Transfer to Highway Fund 4,000,000 4,000,000 2,000,000 (2,000,000) -50.0% Total 15,502,287$ 9,442,867$ 8,652,064$ (6,850,223)$ -44.2% Increase/(Decrease) (5,965,628)$ 191,210$ (2,113,138)$ Beginning Fund Balance 16,868,939 Ending Fund Balance 14,755,801$ Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 9 Fiscal Year 2025/26 Grants & Contributions Fund Fund Summary FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($) Budget (%) Revenues and Other Sources Federal Grants 3,209,195 767,195 1,019,550 (2,189,645) -68.2% State Grants 853,400 203,400 103,400 (750,000) -87.9% Interest Income 25,000 6,000 6,000 (19,000) -76.0% Miscellaneous 526,000 - 561,000 35,000 6.7% Transfer from General Fund 125,375 125,375 127,750 2,375 1.9% Transfer from Capital Fund 2,174,530 - 234,200 (1,940,330) -89.2% Total 6,913,500$ 1,101,970$ 2,051,900$ (4,861,600)$ -70.3% Expenditures and Other Uses Operations & Maintenance 670,950 205,950 771,500 100,550 15.0% Capital Outlay 6,014,150 692,650 1,171,000 (4,843,150) -80.5% Total 6,685,100$ 898,600$ 1,942,500$ (4,742,600)$ -70.9% Increase/(Decrease)228,400$ 203,370$ 109,400$ Beginning Fund Balance 17,815$ Ending Fund Balance 127,215$ Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 10 Fiscal Year 2025/26 Townwide Roadway Development Impact Fee Fund Fund Summary FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($) Budget (%) Revenues and Other Sources Impact Fees 230,027 592,971 488,915 258,888 112.5% Interest Income 38,000 95,000 100,000 62,000 163.2% Total 268,027$ 687,971$ 588,915$ 320,888$ 119.7% Expenditures and Other Uses Operations & Maintenance - 6,429 4,287 4,287 0.0% Capital Outlay 100,000 6,500 746,945 646,945 646.9% Total 100,000$ 12,929$ 751,232$ 651,232$ 651.2% Increase/(Decrease) 168,027$ 675,042$ (162,317)$ Beginning Fund Balance 3,225,739$ Ending Fund Balance 3,063,422$ Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 11 Fiscal Year 2025/26 PAG/RTA Fund Fund Summary FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($) Budget (%) Revenues and Other Sources State Grants 17,000 17,000 30,000 13,000 76.5% Charges for Services 28,125 35,156 35,156 7,031 25.0% Interest Income 50,000 14,500 14,000 (36,000) -72.0% Total 95,125$ 66,656$ 79,156$ (15,969)$ -16.8% Expenditures and Other Uses Operations & Maintenance - 50,000 80,000 80,000 0.0% Capital Outlay 50,000 - 75,000 25,000 50.0% Total 50,000$ 50,000$ 155,000$ 105,000$ 210.0% Increase/(Decrease) 45,125 16,656 (75,844) Beginning Fund Balance 447,141$ Ending Fund Balance 371,297$ Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 12 Fiscal Year 2025/26 Parks and Recreation Impact Fee Fund Fund Summary FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($) Budget (%) Revenues and Other Sources Impact Fees 160,464 200,612 364,897 204,433 127.4% Interest Income 15,000 11,000 18,000 3,000 20.0% Total 175,464$ 211,612$ 382,897$ 207,433$ 118.2% Expenditures and Other Uses Operations & Maintenance - 3,000 2,001 2,001 0.0% Total -$ 3,000$ 2,001$ 2,001$ 0.0% Increase/(Decrease) 175,464$ 208,612$ 380,896$ Beginning Fund Balance 393,909$ Ending Fund Balance 774,805$ Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 13 Fiscal Year 2025/26 Police Impact Fee Fund Fund Summary FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($) Budget (%) Revenues and Other Sources Impact Fees 44,035 132,227 104,596 60,561 137.5% Interest Income 350 2,500 3,000 2,650 757.1% Total 44,385$ 134,727$ 107,596$ 63,211$ 142.4% Expenditures and Other Uses Operations & Maintenance - 857 572 572 0.0% Transfer to Debt Service Fund 42,718 42,718 38,765 (3,953) -9.3% Total 42,718$ 43,575$ 39,337$ (3,381)$ -7.9% Increase/(Decrease) 1,667$ 91,152$ 68,259$ Beginning Fund Balance 164,209$ Ending Fund Balance 232,468$ Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 14 Fiscal Year 2025/26 Recreation In Lieu Fee Fund Fund Summary FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($) Budget (%) Revenues and Other Sources Interest Income 500 800 800 300 60.0% Total 500$ 800$ 800$ 300$ 60.0% Expenditures and Other Uses Capital Outlay - - - - 0.0% Total -$ -$ -$ -$ 0.0% Increase/(Decrease) 500$ 800$ 800$ Beginning Fund Balance 18,776 Ending Fund Balance 19,576$ Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 15 Fiscal Year 2025/26 Benefit Self Insurance Fund Fund Summary FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($) Budget (%) Revenues and Other Sources Self Ins Premiums - Employer 3,500,853 3,319,151 3,418,725 (82,128) -2.3% Self Ins Premiums - Employee 676,368 613,186 631,582 (44,786) -6.6% COBRA Premiums 67,401 31,593 32,541 (34,860) -51.7% Retiree Premiums 59,170 34,238 35,265 (23,905) -40.4% Interest Income 50,000 120,000 120,000 70,000 140.0% Miscellaneous 392,961 425,564 435,757 42,796 10.9% Total 4,746,753$ 4,543,732$ 4,673,870$ (72,883)$ -1.5% Expenditures and Other Uses Outside Professional Services 1,080,561 973,123 1,099,067 18,506 1.7% Wellness Program 173,000 69,000 69,000 (104,000) -60.1% Claim Settlement 3,493,192 3,493,192 3,505,803 12,611 0.4% Total 4,746,753$ 4,535,315$ 4,673,870$ (72,883)$ -1.5% Increase/(Decrease) - 8,417 -$ Beginning Fund Balance 3,412,422$ Ending Fund Balance 3,412,422$ Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 16 Fiscal Year 2025/26 Water Utility Fund Fund Summary FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($) Budget (%) Revenues and Other Sources Charges for Services 3,424,000 3,427,168 3,457,000 33,000 1.0% Interest Income 100,000 300,000 100,000 - 0.0% Miscellaneous - 48,000 20,000 20,000 0.0% Water Sales 18,000,000 17,781,054 18,511,000 511,000 2.8% Bond Proceeds - 2,433,820 - Loan Proceeds 8,000,000 4,807,200 - (8,000,000) -100.0% Total 29,524,000$ 28,797,242$ 22,088,000$ (7,436,000)$ -25.2% Expenses and Other Uses Personnel 3,992,428 3,739,348 4,028,142 35,714 0.9% Operations & Maintenance 11,198,284 11,222,017 11,551,775 353,491 3.2% Capital Outlay 1,785,330 1,581,058 2,175,000 389,670 21.8% Debt Service 3,391,568 3,391,568 3,890,977 499,409 14.7% Transfer to Debt Service Fund 2,333 2,333 3,004 671 28.8% Transfer to Impact Fee Fund 6,860,000 8,000,000 9,880,000 3,020,000 44.0% Cash Total * 27,229,943$ 27,936,324$ 31,528,898$ 4,298,955$ 15.8% Increase/(Decrease)2,294,057$ 860,918$ (9,440,898)$ Beginning Fund Balance 10,253,871 Ending Fund Balance 812,973$ * Total expenses less non-cash outlays for depreciation & amortization Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 17 Fiscal Year 2025/26 Water Resource and System Development Impact Fee Fund Fund Summary FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($) Budget (%) Revenues and Other Sources Federal Grants 1,638,383 1,788,383 - (1,638,383) -100.0% Impact Fees 1,270,841 1,190,590 937,782 (333,059) -26.2% Interest Income 275,000 300,000 175,000 (100,000) -36.4% Bond Proceeds - 3,650,730 - - 0.0% Loan Proceeds 12,000,000 7,210,800 - (12,000,000) -100.0% Transfer From Water Utility Fund 6,860,000 8,000,000 9,880,000 3,020,000 44.0% Total 22,044,224$ 22,140,503$ 10,992,782$ (11,051,442)$ -50.1% Expenditures and Other Uses Operations & Maintenance 162,000 222,734 181,144 19,144 11.8% Debt Service 55,711 55,711 804,494 748,783 1344.0% Capital Outlay 26,485,424 17,670,930 25,964,494 (520,930) -2.0% Total 26,703,135$ 17,949,375$ 26,950,132$ 246,997$ 0.9% Increase/(Decrease) (4,658,911)$ 4,191,128$ (15,957,350)$ Beginning Fund Balance 16,623,156$ Ending Fund Balance 665,806$ Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 18 Fiscal Year 2025/26 Stormwater Utility Fund Fund Summary FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($) Budget (%) Revenues and Other Sources Federal Grants 210,000 - 239,200 - 13.9% Charges for Services 1,518,500 1,527,949 1,527,000 8,500 0.6% Interest Income 19,000 40,000 20,000 1,000 5.3% Total 1,747,500$ 1,567,949$ 1,786,200$ 38,700$ 2.2% Expenses and Other Uses Personnel 1,018,770 965,603 1,017,251 (1,519) -0.1% Operations & Maintenance 425,834 384,543 444,755 18,921 4.4% Capital Outlay 735,000 70,000 1,033,000 298,000 40.5% Cash Total * 2,179,604$ 1,420,146$ 2,495,006$ 315,402$ 14.5% Increase/(Decrease) (432,104)$ 147,803$ (708,806)$ Beginning Fund Balance 1,211,645 Ending Fund Balance 502,839$ * Total expenses less non-cash outlays for depreciation & amortization Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 19 Revenue for FY 25/26 is forecasted to total $107,404,562. In comparison to the FY 24/25 budget, revenue is projected to decrease by approximately $24.0 million, or 18.3%. This decrease is primarily attributable to the Water Utility budgeted debt issuance totaling $20 million in FY 24/25 to fund water infrastructure projects, as well as due to grants. Forecasting revenues remains challenging due to significant uncertainties in the national economy. Consequently, projections are conservative yet strive for maximum accuracy. Nationally, despite signs of cooling inflation, the economy faces slowing growth and substantial policy uncertainty, although a U.S. recession is not anticipated. Arizona's economy is also projected to gradually decelerate in the coming year, influenced by slowing population growth, elevated interest rates, and sluggish national growth; however, job and income growth are still expected to outperform the nation. This economic outlook suggests modest growth in consumer spending-related revenues for FY 25/26. However, local sales tax revenues are forecasted to decrease by approximately $149,000, or 0.5%, compared to FY 24/25 due to declining residential development. While residential development is expected to taper off, commercial development is projected to increase in the upcoming fiscal year based on the expected timing of known projects. Overall, state shared revenues are anticipated to decrease approximately $339,000 or 1.9% compared to the prior fiscal year. State shared income tax revenues are expected to decrease 6.5%, state sales tax revenues are expected to increase 2%, highway user fund revenues are forecasted to increase by 4.9%, and vehicle license tax is expected to increase 5% over the prior year. The decrease in state shared income tax revenues is due to implementation of the 2.5% individual flat tax and growth is not expected until fiscal year 2026/27 at the earliest. Depending on the revenue source, estimates are based on susceptibility to economic factors, current performance, economic drivers and indicators, information received from State reports and other sources. Refer to the Revenue Schedule by Fund for detailed changes in revenue from year to year. Revenue Summary Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 20 Revenue Schedule by Fund Actual Actual Adopted Forecast Adopted % Major Revenue Accounts FY 2023 FY 2024 FY 2025 FY 2025 FY 2026 to Budget General Fund Local Sales Tax: Local Sales Tax 27,213,164 26,779,181 27,993,025 26,243,039 27,844,136 -0.5% Cable Franchise Fees 763,311 715,334 715,800 659,647 653,051 -8.8% Total Local Sales Tax 27,976,475 27,494,515 28,708,825 26,902,686 28,497,187 -0.7% License & Permit Fees: Business Licenses & Permits 206,005 206,918 200,200 220,000 255,000 27.4% Residential Building Permits 1,085,416 1,326,813 951,806 946,970 908,066 -4.6% Commercial Building Permits 1,042,431 398,687 360,856 285,000 750,077 107.9% Sign Permits 25,557 17,389 20,020 16,000 13,260 -33.8% Special Inspection Fees 12,936 11,290 10,010 6,780 6,120 -38.9% Grading Permit Fees 115,994 29,275 25,025 70,000 76,500 205.7% Road Permits - - - - - 0.0% Floodplain Use Permits 7,030 34,410 25,025 32,000 35,700 42.7% Fire Permits & Fees 147,644 97,721 80,080 65,000 71,400 -10.8% Total License & Permit Fees 2,643,013 2,122,503 1,673,022 1,641,750 2,116,123 26.5% Federal Grants: DEA Overtime Reimbursement 21,992 5,765 41,415 25,000 42,000 1.4% Miscellaneous Federal Grants 146,300 36,208 - 30,000 30,000 0.0% HIDTA (416) - - - - 0.0% HIDTA-DEA 116,200 97,611 40,000 80,000 - -100.0% GOHS 80,339 68,822 48,000 100,000 88,000 83.3% Homeland Security 214,844 88,387 380,000 263,171 215,000 -43.4% Total Federal Grants 579,259 296,794 509,415 498,171 375,000 -26.4% State Grants: School Resource Officers - 66,566 75,567 69,758 71,851 -4.9% Misc State Grants 74,267 84,912 75,000 4,808 20,000 -73.3% Total State Grants 74,267 151,478 150,567 74,566 91,851 -39.0% State/County Shared: State Income 9,082,721 12,779,482 10,276,631 10,276,631 9,612,969 -6.5% State Sales 7,077,517 7,281,900 7,300,876 7,347,547 7,446,894 2.0% Vehicle License Tax 2,421,489 2,438,980 2,520,803 2,642,901 2,646,824 5.0% Smart & Safe 271,786 285,138 334,627 289,289 334,826 0.1% Opioid Settlement 116,120 - - - - 0.0% Total State/County Shared 18,969,633 22,785,500 20,432,937 20,556,368 20,041,513 -1.9% Other Intergovernmental: School Resource Officers 65,000 90,301 90,000 249,751 409,502 355.0% RTA Reimbursements 1,778,249 1,930,657 1,886,000 1,886,000 1,904,860 1.0% PCLD Reimbursements 14,272 6,183 5,555 5,555 6,000 8.0% Total Other Intergovernmental 1,857,521 2,027,141 1,981,555 2,141,306 2,320,362 17.1% Charges for Services: Court Costs 132,872 115,352 135,000 115,000 115,000 -14.8% Public Defender Fees - - - - - 0.0% Zoning & Subdivision Fees 80,064 60,141 65,000 55,000 55,000 -15.4% User Fees - Swimming Pool 437,575 519,719 512,340 503,251 509,500 -0.6% User Fees - Fields & Courts 173,685 172,559 193,000 206,000 208,000 7.8% User Fees - Miscellaneous 231,893 235,844 151,000 255,210 261,250 73.0% Copy Services - - - - - 0.0% General Government Other 700 500 300 1,000 1,200 300.0% Police Report Copying 7,052 7,801 7,100 5,000 6,000 -15.5% Police Other 14,442 8,204 5,000 6,000 6,000 20.0% Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 21 Revenue Schedule by Fund Actual Actual Adopted Forecast Adopted % Major Revenue Accounts FY 2023 FY 2024 FY 2025 FY 2025 FY 2026 to Budget Engineer Plan Review Fees 25,765 38,428 27,000 35,000 35,000 29.6% Farebox (1,407) (230) - (100) - 0.0% Administrative Services 1,648,966 1,653,935 1,701,759 1,701,759 1,641,348 -3.5% Real Property Rental Income 107,195 123,081 105,980 130,460 130,960 23.6% Maps 200 70 100 110 110 10.0% Impound Processing 17,850 16,650 15,000 13,000 13,000 -13.3% Pawn Slips 300 300 300 300 300 0.0% Police Fingerprinting 9,970 10,115 9,600 11,000 11,000 14.6% Concession Sales 279 253 300 200 200 -33.3% Public Record Request Fees 1,679 1,328 1,400 1,200 1,200 -14.3% Court Security Fee 20,000 20,000 20,000 20,000 20,000 0.0% Public Art In Lieu Fees - - 16,288 - - -100.0% Merchandise Sales - 9 - 30 - 0.0% Total Charges for Services 2,909,080 2,984,059 2,966,467 3,059,420 3,015,068 1.6% Fines: Fines 84,454 61,640 55,000 68,000 68,680 24.9% Total Fines 84,454 61,640 55,000 68,000 68,680 24.9% Interest Income: Interest - Investments 283,263 716,939 400,000 750,000 637,500 59.4% Total Interest Income 283,263 716,939 400,000 750,000 637,500 59.4% Miscellaneous: Donations 1,641,102 5,122 - 12,580 - 0.0% Miscellaneous 343,107 315,421 20,000 485,000 20,000 0.0% Special Events 7,225 39,178 4,000 15,000 10,000 150.0% Insurance Recoveries - 16,106 - 25,000 - 0.0% In-Lieu Income 238,318 218,611 200,000 180,000 180,000 -10.0% Sale of Assets 16,924 219 5,000 100 300 -94.0% Total Miscellaneous 2,246,676 594,658 229,000 717,680 210,300 -8.2% TOTAL GENERAL FUND 57,623,641 59,235,226 57,106,788 56,409,947 57,373,584 0.5% Highway Fund License & Permit Fees: Road Permits 27,565 25,869 25,000 37,000 30,000 20.0% Total License & Permit Fees 27,565 25,869 25,000 37,000 30,000 20.0% State/County Shared: Highway User 4,129,268 4,221,036 4,283,146 4,288,907 4,491,669 4.9% Total State/County Shared 4,129,268 4,221,036 4,283,146 4,288,907 4,491,669 4.9% Interest Income: Interest - Investments 174,391 185,013 150,000 100,000 99,000 -34.0% Total Interest Income 174,391 185,013 150,000 100,000 99,000 -34.0% Miscellaneous: Miscellaneous 5,925 766 2,000 1,500 1,000 -50.0% Insurance Recoveries 1,881 13,949 1,000 1,731 1,500 50.0% Total Miscellaneous 7,806 14,715 3,000 3,231 2,500 -16.7% TOTAL HIGHWAY FUND 4,339,030 4,446,633 4,461,146 4,429,138 4,623,169 3.6% Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 22 Revenue Schedule by Fund Actual Actual Adopted Forecast Adopted % Major Revenue Accounts FY 2023 FY 2024 FY 2025 FY 2025 FY 2026 to Budget Grants & Contributions Fund Federal Grants: GOHS 14,034 12,791 174,000 10,000 25,000 -85.6% Miscellaneous Federal Grants 3,631,034 2,096,836 2,792,695 514,695 994,550 -64.4% Homeland Security 50,000 20,000 242,500 242,500 --100.0% Total Federal Grants 3,695,068 2,129,627 3,209,195 767,195 1,019,550 -68.2% State Grants: Miscellaneous State Grants 19,867 6,050 753,400 103,400 3,400 -99.5% Opioid Settlement -33,631 100,000 35,000 100,000 0.0% Total State Grants 19,867 39,681 853,400 138,400 103,400 -87.9% Interest Income: Interest - Investments 53,863 24,514 25,000 6,000 6,000 -76.0% Total Interest Income 53,863 24,514 25,000 6,000 6,000 -76.0% Miscellaneous: Donations --26,000 -61,000 134.6% Miscellaneous --500,000 -500,000 0.0% Total Miscellaneous --526,000 -561,000 6.7% TOTAL GRANTS & CONTRIBUTIONS FUND 3,768,798 2,193,822 4,613,595 911,595 1,689,950 -63.4% Seizures & Forfeitures Funds Interest Income: Interest - Investments 8,105 15,969 5,000 20,000 20,000 300.0% Total Interest Income 8,105 15,969 5,000 20,000 20,000 300.0% Miscellaneous: Forfeitures 46,177 129,883 100,000 5,000 20,000 -80.0% Total Miscellaneous 46,177 129,883 100,000 5,000 20,000 -80.0% TOTAL SEIZURES & FORFEITURES FUNDS 54,282 145,852 105,000 25,000 40,000 -61.9% Community Center Fund Local Sales Tax: Local Sales Tax 3,713,654 3,803,267 3,879,440 3,859,524 3,972,920 2.4% Total Local Sales Tax 3,713,654 3,803,267 3,879,440 3,859,524 3,972,920 2.4% Charges for Services: User Fees - Daily Drop-In 57,289 83,829 76,000 74,142 75,625 -0.5% User Fees - Member Dues 732,111 904,710 832,038 971,000 990,420 19.0% User Fees - Recreation Programs 397,573 377,302 388,850 375,000 382,500 -1.6% Rental Income 116,827 84,693 89,164 85,498 85,498 -4.1% Concession Sales 103 145 100 120 122 22.0% Management Contract Revenues 4,996,327 6,037,684 5,240,575 5,647,950 5,625,078 7.3% Total Charges for Services 6,300,230 7,488,363 6,626,727 7,153,710 7,159,243 8.0% Interest Income: Interest - Investments 50,784 23,640 16,682 3,000 22,500 34.9% Total Interest Income 50,784 23,640 16,682 3,000 22,500 34.9% Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 23 Revenue Schedule by Fund Actual Actual Adopted Forecast Adopted % Major Revenue Accounts FY 2023 FY 2024 FY 2025 FY 2025 FY 2026 to Budget Miscellaneous: Miscellaneous 159,050 159,050 159,050 159,050 34,050 -78.6% Special Events 3,000 3,500 3,500 3,500 3,500 0.0% Sale of Assets 11,293 1,518 - 118 - 0.0% Insurance Recoveries - - - 2,194 - 0.0% Total Miscellaneous 173,343 164,068 162,550 164,862 37,550 -76.9% TOTAL COMMUNITY CENTER FUND 10,238,011 11,479,338 10,685,399 11,181,096 11,192,213 4.7% Municipal Debt Service Fund Interest Income: Interest - Investments 141,360 66,529 135,000 35,000 32,000 -76.3% Total Interest Income 141,360 66,529 135,000 35,000 32,000 -76.3% Federal Grants: Miscellaneous Grants 13,976 25,649 19,975 19,975 14,504 -27.4% Total Federal Grants 13,976 25,649 19,975 19,975 14,504 -27.4% Miscellaneous: Miscellaneous 93,082 94,980 100,000 90,000 80,000 -20.0% Total Miscellaneous 93,082 94,980 100,000 90,000 80,000 -20.0% TOTAL MUNICIPAL DEBT SERVICE FUND 248,418 187,158 254,975 144,975 126,504 -50.4% Townwide Roadway Development Impact Fee Fund Impact Fees: Residential Impact Fees 157,020 285,520 223,820 438,930 456,020 103.7% Commercial Impact Fees 67,317 19,226 6,207 154,041 32,895 430.0% Total Impact Fees 224,337 304,746 230,027 592,971 488,915 112.5% Interest Income: Interest - Investments 19,946 69,997 38,000 95,000 100,000 163.2% Total Interest Income 19,946 69,997 38,000 95,000 100,000 163.2% TOTAL ROADWAY IMPACT FEE FUND 244,283 374,743 268,027 687,971 588,915 119.7% PAG/RTA Fund State Grants: PAG Reimbursements 5,000 - - - 30,000 0.0% RTA Reimbursements 566,239 22,042 17,000 17,000 - -100.0% Total State Grants 571,239 22,042 17,000 17,000 30,000 76.5% Interest Income: Interest - Investments 7,489 24,616 50,000 14,500 14,000 -72.0% Total Interest Income 7,489 24,616 50,000 14,500 14,000 -72.0% Charges for Services: Real Property Rental Income 28,711 35,156 28,125 35,156 35,156 25.0% Total Charges for Services 28,711 35,156 28,125 35,156 35,156 25.0% TOTAL PAG/RTA FUND 607,439 81,814 95,125 66,656 79,156 -16.8% Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 24 Revenue Schedule by Fund Actual Actual Adopted Forecast Adopted % Major Revenue Accounts FY 2023 FY 2024 FY 2025 FY 2025 FY 2026 to Budget Parks & Recreation Development Impact Fee Fund Impact Fees: Residential Impact Fees 122,590 88,536 158,042 150,784 356,618 125.6% Commercial Impact Fees 20,647 13,918 2,422 49,828 8,279 241.8% Total Impact Fees 143,237 102,454 160,464 200,612 364,897 127.4% Interest Income: Interest - Investments 5,578 12,558 15,000 11,000 18,000 20.0% Total Interest Income 5,578 12,558 15,000 11,000 18,000 20.0% TOTAL PARKS IMPACT FEE FUND 148,815 115,012 175,464 211,612 382,897 118.2% Police Development Impact Fee Fund Impact Fees: Residential Impact Fees 33,664 49,242 42,389 90,810 95,561 125.4% Commercial Impact Fees 17,970 5,111 1,646 41,417 9,035 448.9% Total Impact Fees 51,634 54,353 44,035 132,227 104,596 137.5% Interest Income: Interest - Investments 246 989 350 2,500 3,000 757.1% Total Interest Income 246 989 350 2,500 3,000 757.1% TOTAL POLICE IMPACT FEE FUND 51,880 55,342 44,385 134,727 107,596 142.4% Capital Fund State Grants: Misc State Grants --1,000,000 1,000,000 --100.0% RTA Reimbursements -420,000 --- 0.0% Total State Grants -420,000 1,000,000 1,000,000 --100.0% Other Intergovernmental: RTA Reimbursements - 44,000 - - - 0.0% Total Other Intergovernmental - 44,000 - - - 0.0% Interest Income: Interest - Investments 467,728 716,598 348,382 500,000 470,000 34.9% Total Interest Income 467,728 716,598 348,382 500,000 470,000 34.9% Miscellaneous: Vehicle Reserves 820,008 892,540 933,490 933,490 1,028,926 10.2% Insurance Recoveries 51,229 131,977 15,000 40,000 20,000 33.3% Sale of Assets 113,204 71,733 100,000 20,000 20,000 -80.0% Miscellaneous 2,486 35 -800 -0.0% Total Miscellaneous 986,927 1,096,285 1,048,490 994,290 1,068,926 1.9% TOTAL CAPITAL FUND 1,454,655 2,276,883 2,396,872 2,494,290 1,538,926 -35.8% Benefit Self Insurance Fund Interest Income: Interest - Investments 30,234 99,180 50,000 120,000 120,000 140.0% Total Interest Income 30,234 99,180 50,000 120,000 120,000 140.0% Miscellaneous: Self Insurance Premiums - Employer 2,823,798 3,083,844 3,500,853 3,319,151 3,418,725 -2.3% Self Insurance Premiums - Employee 679,145 589,062 676,368 613,186 631,582 -6.6% COBRA Premiums 65,133 50,919 67,401 31,593 32,541 -51.7% Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 25 Revenue Schedule by Fund Actual Actual Adopted Forecast Adopted % Major Revenue Accounts FY 2023 FY 2024 FY 2025 FY 2025 FY 2026 to Budget Retiree Premiums 49,601 51,043 59,170 34,238 35,265 -40.4% Miscellaneous 893,033 397,338 392,961 425,564 435,757 10.9% Total Miscellaneous 4,510,710 4,172,206 4,696,753 4,423,733 4,553,870 -3.0% TOTAL BENEFIT SELF INSURANCE FUND 4,540,944 4,271,386 4,746,753 4,543,733 4,673,870 -1.5% Water Utility Fund Water Sales: Residential Water Sales 10,552,884 11,658,979 13,100,000 12,914,014 13,600,000 3.8% Commercial Water Sales 1,034,275 1,101,693 1,170,000 1,194,098 1,200,000 2.6% Irrigation Water Sales 1,381,212 1,908,499 2,069,000 2,095,922 2,130,000 2.9% Turf Related Water Sales 1,232,238 1,420,013 1,412,000 1,420,000 1,420,000 0.6% Construction Water Sales 339,074 163,718 249,000 157,020 161,000 -35.3% Total Water Sales 14,539,683 16,252,902 18,000,000 17,781,054 18,511,000 2.8% Charges for Services: Engineer Plan Review Fees 2,837 5,688 3,000 3,000 3,000 0.0% Construction Inspection Fees 6,475 4,665 5,000 6,000 4,000 -20.0% Misc Service Revenue 29,095 59,502 25,000 10,000 10,000 -60.0% Backflow-Install Permit Fee 2,405 4,365 3,000 3,000 3,000 0.0% Sewer Fees 388,768 396,914 400,000 400,000 400,000 0.0% Late Fees 90,296 107,338 100,000 108,000 120,000 20.0% NSF Fees 3,741 6,979 5,000 9,000 9,000 80.0% Rain Sensors - 8 - - - 0.0% Meter Income 61,998 73,691 50,000 41,000 45,000 -10.0% New Service Establish Fees 75,495 66,990 75,000 67,000 65,000 -13.3% Reconnect Fees 9,715 51,865 40,000 55,000 50,000 25.0% Groundwater Preservation Fee 2,256,987 2,391,910 2,600,000 2,580,000 2,600,000 0.0% Backflow Fees - - - 27,168 30,000 0.0% Other 124,198 118,560 118,000 118,000 118,000 0.0% Total Charges for Services 3,052,010 3,288,475 3,424,000 3,427,168 3,457,000 1.0% Interest Income: Interest - Investments 107,411 373,269 100,000 300,000 100,000 0.0% Total Interest Income 107,411 373,269 100,000 300,000 100,000 0.0% Miscellaneous: Miscellaneous 121,930 20,270 - 43,000 20,000 0.0% Insurance Recoveries 9,102 5,881 - 5,000 - 0.0% Sale of Assets 11,000 12,600 - - - 0.0% Total Miscellaneous 142,032 38,751 - 48,000 20,000 0.0% Other Financing Sources: Loan Proceeds - - 8,000,000 4,807,200 - -100.0% Bond Proceeds - - - 2,433,820 - 0.0% Total Other Financing Sources - - 8,000,000 7,241,020 - -100.0% TOTAL WATER UTILITY FUND 17,841,136 19,953,397 29,524,000 28,797,242 22,088,000 -25.2% Water Resources Development Impact Fee Fund Impact Fees: Residential Impact Fees 1,576,047 1,629,123 1,092,177 887,550 830,310 -24.0% Commercial Impact Fees 242,336 738,282 178,664 303,040 107,472 -39.8% Total Impact Fees 1,818,383 2,367,405 1,270,841 1,190,590 937,782 -26.2% Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 26 Revenue Schedule by Fund Actual Actual Adopted Forecast Adopted % Major Revenue Accounts FY 2023 FY 2024 FY 2025 FY 2025 FY 2026 to Budget Federal Grants Misc Federal Grants - - 1,638,383 1,638,383 - -100.0% Total Federal Grants - - 1,638,383 1,638,383 - -100.0% Interest Income: Interest - Investments 172,178 451,850 275,000 300,000 175,000 -36.4% Total Interest Income 172,178 451,850 275,000 300,000 175,000 -36.4% Other Financing Sources: Loan Proceeds - - 12,000,000 7,210,800 - -100.0% Bond Proceeds - - - 3,650,730 - 0.0% Total Other Financing Sources - - 12,000,000 10,861,530 - -100.0% TOTAL WRSDIF FUND 1,990,561 2,819,255 15,184,224 13,990,503 1,112,782 -92.7% Stormwater Utility Fund Federal Grants: Miscellaneous Federal Grants - - 210,000 - 239,200 13.9% Total Federal Grants - - 210,000 - 239,200 13.9% Charges for Services: Late Fees 310 1,256 1,500 - 1,500 0.0% Stormwater Utility Fee 1,477,096 1,520,962 1,517,000 1,527,949 1,525,500 0.6% Total Charges for Services 1,477,406 1,522,218 1,518,500 1,527,949 1,527,000 0.6% Interest Income: Interest - Investments 11,683 29,206 19,000 40,000 20,000 5.3% Total Interest Income 11,683 29,206 19,000 40,000 20,000 5.3% Miscellaneous: Miscellaneous - 21 - - - 0.0% Total Miscellaneous - 21 - - - 0.0% TOTAL STORMWATER UTILITY FUND 1,489,089 1,551,445 1,747,500 1,567,949 1,786,200 2.2% Recreation In Lieu Fee Fund Interest Income: Interest - Investments 91 841 500 800 800 60.0% Total Interest Income 91 841 500 800 800 60.0% TOTAL REC IN LIEU FEE FUND 91 841 500 800 800 60.0% TOTAL REVENUE - ALL FUNDS 104,641,073$ 109,188,147 131,409,753 125,597,234 107,404,562$ -18.3% Note: Does not include interfund transfers or carry-forward balances Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 27 Fund FY25/26 Recommended Budget Operating/ CIP Department GENERAL FUND 3D Scene Scanner (Police)138,000 CIP DG for drainage channel near field 6 at Naranja Park 48,000 Operating Public Works Equipment Major Rehabilitation 25,000 Operating Public Works TOTAL GENERAL FUND 211,000$ COMMUNITY CENTER FUND 36 Hole - Greenmaster Mowers Replacement - TriFlex 3300 Hydraulic (Greens Unit) 2@$60K 120,000 CIP 36 Hole - South Pump Station 510,000 CIP Artificial Turf Installation at Community Center Entrance 150,000 CIP Community Center Parking Lot Resurface 950,000 CIP CRC ADA Exterior Restroom 325,000 CIP CRC Exterior Stucco Repair and Painting 190,500 CIP Equipment Replacement (Golf Maintenance) - Reelmaster Mower 105,000 CIP Pusch Ridge Tennis Bleachers and ADA Accessibility 198,200 CIP Vistoso Trails Nature Preserve Site Improvements 200,000 CIP TOTAL COMMUNITY CENTER FUND 2,748,700$ HIGHWAY FUND Public Works Operations Laydown Yard (Electricity)50,000 CIP La Cañada Bridge Deck Repair (Northbound)50,000 CIP La Cañada Cobo Improvement 100,000 CIP Lambert Lane MUP (La Cholla to Wild Creek Dr)350,000 CIP Pavement Preservation - Roadways 3,090,000 Operating/CIP Public Works Shannon Road Improvements 400,000 CIP Traffic Signal at Tangerine Rd / Mussette Dr 750,000 CIP TOTAL HIGHWAY FUND 4,790,000$ CAPITAL FUND 680 Fuel Station Renovation 449,550 CIP Annual Sidewalk Program 100,000 CIP Capacity for unplanned vehicle accidents/losses 50,000 Operating Non-Dept. Fuel Management Software (Gasboy Replacement)70,000 CIP Pavement Preservation - Non Roadways 115,000 CIP Police Facility Programming 397,750 CIP Police vehicle for new officer posiiton 96,000 CIP Steam Pump Ranch Farmer's Market Structure Upgrade 263,542 CIP Town Court Expansion 800,000 CIP Vehicle Replacement Program 2,076,022 CIP Vistoso Trails Nature Preserve Pond 2,000,000 CIP TOTAL CAPITAL FUND 6,417,864$ GRANTS & CONTRIBUTIONS Transit Vehicles 1,171,000 Operating/CIP Public Works TOTAL GRANTS & CONTRIBUTIONS 1,171,000$ TWDIF FUND Rancho Vistoso & Woodburne Intersection 746,945 CIP TOTAL TWDIF FUND 746,945$ PAG/RTA FUND Summer Youth Transportation Art Program (Summer of 2025)75,000 Operating Public Works TOTAL PAG/RTA FUND 75,000$ Capital Expenditures by Fund Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 28 Fund FY25/26 Recommended Budget Operating/ CIP Department Capital Expenditures by Fund WATER UTILITY FUND Booster Station HP Tank Replacement 170,000 CIP Booster Station Rehabilitation 370,000 CIP Control Systems - SCADA 325,000 CIP Reclaimed Facility Booster Rehabilitation 320,000 CIP Reservoir Rehabilitation 200,000 CIP Vehicle Replacement Program 75,000 Operating/CIP Water Utility Water Meters- New Connections 325,000 CIP Well HP Tank Replacement 170,000 CIP Well Rehabilitation 220,000 CIP TOTAL WATER UTILITY FUND 2,175,000$ WRSDIF FUND La Posada Well Equipping 671,000 CIP NWRRDS (Independent) Booster Station at Partnered Reservoir 4,500,000 CIP NWRRDS (Independent) D-Zone main from Twin Peaks Booster 14,000,000 CIP NWRRDS (Partnered) Pipeline Construction - Transmission Main 4,000,000 CIP NWRRDS (Partnered) Reservoir Construction 1,000,000 CIP NWRRDS (Partnered) Well Equipping, TRICO power to sites 1,200,000 CIP Steam Pump Well Equipping 593,494 CIP TOTAL WRSDIF FUND 25,964,494$ STORMWATER UTILITY FUND General Infrastructure Maintenance 50,000 Operating Public Works Oro Valley Drive Drainage and Pavement Improvement 300,000 CIP Sierra Wash at Via Glover Culvert and Apron Rehabilitation 318,000 CIP Sierra Wash at Via Mandarina Drainage Improvements 365,000 CIP TOTAL STORMWATER UTILITY FUND 1,033,000$ TOTAL TOWN CAPITAL OUTLAY 45,333,003$ Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 29 General Fund Capital Project Funds Benefit Self Insurance Fund Municipal Debt Service Fund Total OPERATIONS & MAINTENANCE Admin building office supplies 25,000 - - - 25,000 ADOR Tax Modernization Fee 38,742 - - - 38,742 Amazon Prime membership 1,500 - - - 1,500 Annexation Expenses 10,000 - - - 10,000 Arbitrage rebate and trustee services - - - 10,000 10,000 Backflow testing; flag cleaning and repair 1,000 - - - 1,000 Benefit Self Insurance Costs - - 4,673,870 - 4,673,870 Boards and commissions training 5,000 - - - 5,000 Budget Capacity for unforeseen Grants/Donations - 500,000 - - 500,000 Coronado K-8 Sports Fields 10,000 - - - 10,000 County services - custody of prisoners 175,000 - - - 175,000 General Liability and Property Insurance 1,084,334 - - - 1,084,334 Health Clinic Costs 160,686 - - - 160,686 Impact Fee study - 6,860 6,860 Innovest Annual Billing/Retirement Plan Consulting 25,000 - - - 25,000 Municipal Firefighters Cancer Reimbursement 123,000 - - - 123,000 Natural Gas/Electricity - Admin blg. & Health Clinic 60,000 - - - 60,000 Non-Enterprise Fund Vehicle Reserves 1,028,926 - - - 1,028,926 Opiod settlement funded eligible expenditures - 100,000 100,000 Pima County Recorder 316 - - - 316 PPEP Crew Services 25,000 - - - 25,000 Regional Partnerships - Chamber 60,000 - - - 60,000 Regional Partnerships - Children's Museum OV 60,000 - - - 60,000 SESAC and ASCAP Music Licenses 2,000 - - - 2,000 Shredding services (General Admin and Police)4,000 - - - 4,000 Special Events - Promotional items and sponsorships 5,000 - - - 5,000 Sponsorship of Annual Business Summit with Chamber 3,000 - - - 3,000 UA Center for Innovation 30,000 - - - 30,000 Water and Sewage - Admin Bldg. & Health Clinic 8,000 - - - 8,000 Bank Fees/Charges 15,000 - - - 15,000 Total Operations & Maintenance 2,960,504$ 606,860$ 4,673,870$ 10,000$ 8,251,234$ CAPITAL OUTLAY Capacity for unplanned vehicle accidents/losses - 50,000 - - 50,000 Total Capital Outlay -$ 50,000$ -$ -$ 50,000$ DEBT SERVICE Principal Payments Aquatic Center Bond Principal - General Fund - - - 205,000 205,000 CREBS Principal - - - 160,000 160,000 Series 2015 Refunding Principal - General Fund (67%)- - - 301,500 301,500 Series 2016 Energy Eff. Bond Community Center Fund - - - 150,000 150,000 Series 2017 (2007) Refunding - General Fund - - - 133,692 133,692 Series 2018 (total principal payment)- - - 132,750 132,750 Series 2021 P&R principal - - - 750,000 750,000 Series 2021 Pension Obligation Bonds principal - - - 970,000 970,000 Interest Payments Aquatic Center Bond Interest - General Fund - - - 19,631 19,631 CREBS Interest - - - 26,370 26,370 Series 2015 Refunding Interest - General Fund - - - 2,879 2,879 Series 2016 Energy Efficiency Project Bonds - - - 22,968 22,968 Series 2017 Refunding - Interest - General Fund - - - 4,953 4,953 Series 2018 (25%)- - - 38,765 38,765 Series 2021 P&R - - - 793,300 793,300 Series 2021 Pension Obligation Bonds - - - 301,262 301,262 Total Debt Service -$ -$ -$ 4,013,070$ 4,013,070$ Total Non-Departmental Expenditures 2,960,504$ 656,860$ 4,673,870$ 4,023,070$ 12,314,304$ Non-Departmental Expenditures 2025/2026 Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 30 FY 2024/25 Adopted FTEs 424.97 CLERK PUBLIC WORKS - ADMINISTRATION Senior Office Specilaist 1.00 CIP Project Manager (2.00) Town Clerk Specialist (1.00) - PUBLIC WORKS - FLEET AND FACILITIES MAINTENANCE Fleet Attendant (1.00) COMMUNITY AND ECONOMIC DEVELOPMENT Fleet Maintenance Mechanic III 1.00 Management Analyst (1.00) - Destination Marketing Manager 1.00 Senior Office Assistant (1.00) PUBLIC WORKS - TRANSIT Office Specialist 1.00 Transit Specialist (0.65) Business Strategies Coordinator (1.00) Fleet Maintenance Machanic I 1.00 Economic Development Program Manager 1.00 Transit Driver Full-time 2.00 - Transit Driver Part-time (3.00) (0.65) TOWN COURT Judicial Assistant 0.47 WATER UTILITY Customer Service Supervisor (1.00) Water Utility Analyst 1.00 PARKS AND RECREATION - AQUATICS Civil Engineering Technician (1.00) Assistant Aquatics manager 1.00 Senior Engineering Associate 1.00 Senior Office Specialist (1.00) - - POLICE Office Assistant (1.25) Office Specialist 1.00 Police Officer 1.00 Net FTE Change All Departments (1.43) 0.75 FY 2025/26 Recommended FTEs 423.55 FTE Changes from Prior Fiscal Year by Department/Division Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 31 Department Budgets | Clerk CLERK Significant Changes The decrease in Personnel is due to staff turnover and partially offset by a market adjustment for eligible employees. The decrease in Operations & Maintenance is due to costs related to primary and general elections held in the prior year. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE) 3.96 4.48 4.48 - % of Towns FTEs 1.06% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change General Fund 403,496 564,954 460,959 (103,995) Total Expenditures 403,496 564,954 460,959 (103,995) 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 386,676 468,204 437,009 (31,195) Operations & Maintenance 16,820 96,750 23,950 (72,800) Total Expenditures 403,496 564,954 460,959 (103,995) Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 32   Department Budgets | Community & Economic Development (CED) COMMUNITY & ECONOMIC DEVELOPMENT (CED) 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Division Actual Adopted Proposed Change Administration 373,457 373,635 394,958 21,323 Permitting 1,152,923 1,201,922 1,222,937 21,015 Planning 983,721 1,094,269 1,067,548 (26,721) Inspection and Compliance 735,590 813,731 787,437 (26,294) Economic Development 303,162 805,480 835,814 30,334 Total 3,548,853 4,289,037 4,308,694 19,657 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE) 29.26 29.26 29.26 - % of Towns FTEs 6.91% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change General Fund 3,548,853 4,289,037 4,308,694 19,657 Total Expenditures 3,548,853 4,289,037 4,308,694 19,657 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 2,918,587 3,196,068 3,224,164 28,096 Operations & Maintenance 630,266 1,092,969 1,084,530 (8,439) Total Expenditures 3,548,853 4,289,037 4,308,694 19,657 Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 33   Department Budgets | Community & Economic Development (CED) CED - Administration Significant Changes  The increase in Personnel is due to a FY 2025/26 market adjustment for eligible employees partially offset by benefit election changes. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE) 3.00 3.00 3.00 - % of Towns FTEs 0.71% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change General Fund 373,457 373,635 394,958 21,323 Total Expenditures 373,457 373,635 394,958 21,323 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 349,258 363,235 384,258 21,023 Operations & Maintenance 24,199 10,400 10,700 300 Total Expenditures 373,457 373,635 394,958 21,323 Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 34   Department Budgets | Community & Economic Development (CED) CED - Permitting Significant Changes  The increase in Personnel is due to a FY 2025/26 market adjustment for eligible employees partially offset by benefit election changes. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE) 9.48 9.48 9.48 - % of Towns FTEs 2.24% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change General Fund 1,152,923 1,201,922 1,222,937 21,015 Total Expenditures 1,152,923 1,201,922 1,222,937 21,015 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 1,003,972 1,069,567 1,090,732 21,165 Operations & Maintenance 148,951 132,355 132,205 (150) Total Expenditures 1,152,923 1,201,922 1,222,937 21,015 Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 35   Department Budgets | Community & Economic Development (CED) CED - Planning Significant Changes  The increase in Personnel is due to a FY 2025/26 market adjustment for eligible employees partially offset by benefit election changes.  The decrease in Operations & Maintenance is due to lower spending on one-time General Plan-related items, including external consulting, postage, marketing, and supplies. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE) 8.78 8.78 8.78 - % of Towns FTEs 2.07% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change General Fund 983,721 1,094,269 1,067,548 (26,721) Total Expenditures 983,721 1,094,269 1,067,548 (26,721) 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 735,906 880,440 889,808 9,368 Operations & Maintenance 247,815 213,829 177,740 (36,089) Total Expenditures 983,721 1,094,269 1,067,548 (26,721) Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 36   Department Budgets | Community & Economic Development (CED) CED – Inspection & Compliance Significant Changes  The decrease in Personnel is from staff turnover and benefit election changes, partially offset by a FY 2025/26 market adjustment for eligible employees. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE) 7.00 7.00 7.00 - % of Towns FTEs 1.65% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change General Fund 735,590 813,731 787,437 (26,294) Total Expenditures 735,590 813,731 787,437 (26,294) 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Budget Budget Change Personnel 728,024 767,437 741,143 (26,294) Operations & Maintenance 7,566 46,294 46,294 - Total Expenditures 735,590 813,731 787,437 (26,294) Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 37   Department Budgets | Community & Economic Development (CED) CED – Economic Development Significant Changes  The increase in Personnel is due to a FY 2025/26 market adjustment for eligible employees.  A net increase in O&M resulted from new expenditures for a marketing study, art repair/maintenance, and increased SAACA partnership funding, partially offset by reductions in public art tours and tournament fees. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE) 1.00 1.00 1.00 - % of Towns FTEs 0.24% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change General Fund 303,162 805,480 835,814 30,334 Total Expenditures 303,162 805,480 835,814 30,334 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 101,427 115,389 118,223 2,834 Operations & Maintenance 201,735 690,091 717,591 27,500 Total Expenditures 303,162 805,480 835,814 30,334 Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 38 Department Budgets | Council COUNCIL Significant Changes The increase in Personnel is due to an increase in workers’ compensation rates. The decrease in Operations & Maintenance is primarily due to one-time special event costs for the Town of Oro Valley 50th anniversary in the prior year. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE) 7.00 7.00 7.00 - % of Towns FTEs 1.65% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change General Fund 184,698 241,102 216,158 (24,944) Total Expenditures 184,698 241,102 216,158 (24,944) 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 78,841 78,830 78,858 28 Operations & Maintenance 105,857 162,272 137,300 (24,972) Total Expenditures 184,698 241,102 216,158 (24,944) Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 39   Department Budgets | Town Court TOWN COURT Significant Changes  The increase of 0.47 FTE is from transitioning a temporary contract O&M employee to a part-time, Town- employed Judicial Assistant.  The net decrease in Personnel costs during is the result of the shift of a full-time Deputy Court Administrator to a contract position, partially offset by market adjustments; conversely, Operations & Maintenance costs increased as Town-employed personnel expenses moved to contracted services, with a minor decrease in equipment maintenance. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE) 9.46 9.48 9.95 0.47 % of Towns FTEs 2.35% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change General Fund 985,129 1,123,551 1,088,980 (34,571) Total Expenditures 985,129 1,123,551 1,088,980 (34,571) 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 739,473 898,601 811,506 (87,095) Operations & Maintenance 245,656 224,950 277,474 52,524 Total Expenditures 985,129 1,123,551 1,088,980 (34,571) Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 40 Department Budgets | Finance FINANCE Significant Changes  The increase in Personnel is due to a FY 2025/26 market adjustment for eligible employees.  The O&M decrease is mainly attributed to reduced travel and training, memberships, subscriptions, and one- time audit services. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE) 6.20 6.20 6.20 - % of Towns FTEs 1.46% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change General Fund 825,859 867,767 894,727 26,960 Total Expenditures 825,859 867,767 894,727 26,960 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 757,439 804,462 833,557 29,095 Operations & Maintenance 68,420 63,305 61,170 (2,135) Total Expenditures 825,859 867,767 894,727 26,960 Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 41   Department Budgets | Human Resources  HUMAN RESOURCES Significant Changes  The increase in Personnel is due to a FY 2025/26 market adjustment for eligible employees.  O&M decreased overall due to reduced travel and training, and professional services, though this was partially offset by increases to the tuition reimbursement program for Town employees. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE)5.00 5.00 5.00 - % of Towns FTEs 1.18% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change General Fund 632,584 764,005 748,324 (15,681) Total Expenditures 632,584 764,005 748,324 (15,681) 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 552,135 595,754 609,023 13,269 Operations & Maintenance 80,450 168,251 139,301 (28,950) Total Expenditures 632,584 764,005 748,324 (15,681) Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 42   Department Budgets | Information Technology INFORMATION TECHNOLOGY 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE)15.80 15.80 15.80 - % of Towns FTEs 3.73% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change General Fund 5,621,264 6,022,838 6,043,216 20,378 Total Expenditures 5,621,264 6,022,838 6,043,216 20,378 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 1,819,916 1,920,488 1,940,866 20,378 Operations & Maintenance 3,801,348 4,102,350 4,102,350 - Total Expenditures 5,621,264 6,022,838 6,043,216 20,378 Significant Changes  The increase in Personnel is due to a FY 2025/26 market adjustment for eligible employees. Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 43   Department Budgets | Legal LEGAL 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE) 7.00 7.00 7.00 - % of Towns FTEs 1.65% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change General Fund 1,071,067 1,175,969 1,203,959 27,990 Total Expenditures 1,071,067 1,175,969 1,203,959 27,990 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 959,213 1,007,029 1,032,584 25,555 Operations & Maintenance 111,855 168,940 171,375 2,435 Total Expenditures 1,071,067 1,175,969 1,203,959 27,990 Significant Changes  The increase in Personnel is due to a FY 2025/26 market adjustment for eligible employees. Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 44   Department Budgets | Town Manager’s Office  TOWN MANAGER’S OFFICE   2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Division Actual Adopted Proposed Change Administration 1,070,163 1,195,205 1,209,329 14,124 Communications 526,423 547,721 549,517 1,796 Total 1,596,585 1,742,926 1,758,846 15,920 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE)12.38 12.38 12.38 - % of Towns FTEs 2.92% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change General Fund 1,596,585 1,742,926 1,758,846 15,920 Total Expenditures 1,596,585 1,742,926 1,758,846 15,920 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 1,439,758 1,565,797 1,598,004 32,207 Operations & Maintenance 156,827 177,129 160,842 (16,287) Total Expenditures 1,596,585 1,742,926 1,758,846 15,920 Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 45 Department Budgets | Town Manager’s Office TOWN MANAGER’S OFFICE - ADMINISTRATION Significant Changes The increase in personnel costs is due to a FY 2025/26 market adjustment for eligible employees. The decrease in Operations & Maintenance is primarily due to reductions in travel & training. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE)8.38 8.38 8.38 - % of Towns FTEs 1.98% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change General Fund 1,070,163 1,195,205 1,209,329 14,124 Total Expenditures 1,070,163 1,195,205 1,209,329 14,124 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 1,030,953 1,133,078 1,154,758 21,680 Operations & Maintenance 39,209 62,127 54,571 (7,556) Total Expenditures 1,070,163 1,195,205 1,209,329 14,124 Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 46   Department Budgets | Town Manager’s Office  TOWN MANAGER’S OFFICE - COMMUNICATIONS Significant Changes  The increase in personnel costs is due to a FY 2025/26 market adjustment for eligible employees.  The decrease in Operations & Maintenance is due to reductions in marketing and travel and training 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE)4.00 4.00 4.00 - % of Towns FTEs 0.94% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change General Fund 526,423 547,721 549,517 1,796 Total Expenditures 526,423 547,721 549,517 1,796 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 408,805 432,719 443,246 10,527 Operations & Maintenance 117,618 115,002 106,271 (8,731) Total Expenditures 526,423 547,721 549,517 1,796 Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 47   Department Budgets | Parks and Recreation  PARKS and RECREATION 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Division Actual Adopted Proposed Change Administration 454,228 542,359 481,531 (60,828) Parks Management 1,740,954 1,898,069 1,950,254 52,185 Recreation and Culture 799,930 731,487 810,814 79,327 Aquatics 1,469,090 1,610,181 1,741,412 131,231 Community Center 7,466,202 7,498,683 8,278,204 779,521 Total 11,930,404 12,280,779 13,262,215 981,436 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE) 68.86 69.06 69.06 - % of Towns FTEs 16.30% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change General Fund 4,464,202 4,782,096 4,984,011 201,915 Community Center Fund 7,466,202 7,498,683 8,278,204 779,521 Total Expenditures 11,930,404 12,280,779 13,262,215 981,436 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 3,784,929 4,119,479 4,281,766 162,287 Operations & Maintenance 7,720,605 7,771,039 8,703,389 932,350 Capital Outlay 227,751 177,100 48,000 (129,100) Debt Service 197,119 213,161 229,060 15,899 Total Expenditures 11,930,404 12,280,779 13,262,215 981,436 Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 48   Department Budgets | Parks and Recreation  PARKS and RECREATION – ADMINISTRATION Significant Changes  Personnel costs increased in FY 2025/26 due to market adjustments, though this was moderated by decreases in employee benefit elections.  The decrease in Operations & Maintenance is due to the transfer of credit card fee budgeting to Aquatics and reduction in spending on the trails master plan as it is finishing up. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE)3.00 3.00 3.00 - % of Towns FTEs 0.71% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change General Fund 454,228 542,359 481,531 (60,828) Total Expenditures 454,228 542,359 481,531 (60,828) 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 337,502 409,774 411,636 1,862 Operations & Maintenance 116,726 132,585 69,895 (62,690) Total Expenditures 454,228 542,359 481,531 (60,828) Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 49   Department Budgets | Parks and Recreation  PARKS and RECREATION – PARKS MANAGEMENT Significant Changes  The net decrease in Personnel is due to reductions in special pay (based on actual trends) and benefit election changes, partially offset by a FY 2025/26 market adjustment for eligible employees.  The increase in Operations & Maintenance is due to greater costs for water and sewage, natural gas and electricity.  The capital outlay in FY 2025/26 is costs to construct a drainage channel near field 6 at Naranja Park. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE) 13.92 13.92 13.92 - % of Towns FTEs 3.29% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change General Fund 1,740,954 1,898,069 1,950,254 52,185 Total Expenditures 1,740,954 1,898,069 1,950,254 52,185 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 797,980 900,554 891,954 (8,600) Operations & Maintenance 876,549 904,915 1,010,300 105,385 Capital Outlay 66,425 92,600 48,000 (44,600) Total Expenditures 1,740,954 1,898,069 1,950,254 52,185 Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 50   Department Budgets | Parks and Recreation  PARKS and RECREATION – RECREATION & CULTURE Significant Changes  The increase in Personnel is due to a FY 2025/26 market adjustment for eligible employees.  The increase in Operations & Maintenance is due to special events, contracted personnel, and targets for the archery range. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE) 6.67 6.67 6.67 - % of Towns FTEs 1.57% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change General Fund 799,930 731,487 810,814 79,327 Total Expenditures 799,930 731,487 810,814 79,327 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 422,058 435,487 449,414 13,927 Operations & Maintenance 377,872 283,500 361,400 77,900 Capital - 12,500 - (12,500) Total Expenditures 799,930 731,487 810,814 79,327 Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 51   Department Budgets | Parks and Recreation  PARKS and RECREATION – AQUATICS Significant Changes  The increase in Personnel is due to a FY 2025/26 market adjustment for eligible employees as well as market pay adjustments for seasonal lifeguards and facility attendants.  The increase in Operations & Maintenance is due to natural gas and electricity, new gate for maintenance access, new entry/exit gate, replacement of the front entry glass windows to the Aquatic Center, replacement of pool chlorinators, and timing pads for competition. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE) 22.24 22.44 22.44 - % of Towns FTEs 5.28% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change General Fund 1,469,090 1,610,181 1,741,412 131,231 Total Expenditures 1,469,090 1,610,181 1,741,412 131,231 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 1,010,406 1,151,081 1,217,952 66,871 Operations & Maintenance 458,684 446,600 523,460 76,860 Capital Outlay - 12,500 - (12,500) Total Expenditures 1,469,090 1,610,181 1,741,412 131,231 Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 52   Department Budgets | Parks and Recreation  PARKS and RECREATION - COMMUNITY CENTER Significant Changes  The increase in personnel costs is primarily due to a FY 2025/26 market adjustment for eligible employees as well as market pay adjustments for part-time seasonal positions.  The primary increase in O&M is due to contracted golf operations, offset by related revenues, with additional increases from building repairs, credit card fees, and equipment replacements.  Debt service covers capital leases for fitness and golf equipment, with the increase specifically due to golf cart leases. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE) 23.03 23.03 23.03 - % of Towns FTEs 5.44% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change Community Center Fund 7,466,202 7,498,683 8,278,204 779,521 Total Expenditures 7,466,202 7,498,683 8,278,204 779,521 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures and Other Financing Uses by Type Actual Adopted Proposed Change Personnel 1,216,983 1,222,583 1,310,810 88,227 Operations & Maintenance 5,890,774 6,003,439 6,738,334 734,895 Capital Outlay 161,326 59,500 - (59,500) Debt Service 197,119 213,161 229,060 15,899 Total Expenditures 7,466,202 7,498,683 8,278,204 779,521 Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 53 Department Budgets | Police POLICE Significant Changes A net increase of 0.75 FTE positions is attributable to the creation of a new police officer position, the elimination of a part-time office assistant position, and the reclassification of a part-time office assistant position to full-time status. The increase in Personnel costs is primarily driven by specialized pay categories (assignment, holiday, and on-call), as market and step adjustments were balanced out by savings from retirements and staff turnover in FY 2024/25. Increased O&M is primarily due to rises in water, gas, and electricity costs, funding of the National Night Out event (cost impact will be offset by revenues), and equipment for a new officer position. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE) 139.73 139.73 140.48 0.75 % of Towns FTEs 33.17% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change General Fund 19,147,662 20,220,736 20,503,583 282,847 Grants & Contributions Fund 75,432 562,450 171,500 (390,950) Seizures & Forfeitures Fund 44,983 100,000 100,000 - Total Expenditures 19,268,076 20,883,186 20,775,083 (108,103) 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 17,819,793 18,771,576 19,046,763 275,187 Operations & Maintenance 1,448,437 1,628,110 1,728,320 100,210 Capital Outlay - 483,500 - (483,500) Total Expenditures 19,268,230 20,883,186 20,775,083 (108,103) Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 54   Department Budgets | Public Works  PUBLIC WORKS 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Division Actual Adopted Proposed Change Administration 1,965,380 1,905,658 1,679,373 (226,285) Fleet & Facilities Maintenance 3,150,316 2,902,633 2,685,891 (216,742) Transportation Engineering 4,189,316 5,023,303 5,009,321 (13,982) Street & Drainage Maintenance 760,818 1,137,000 838,500 (298,500) Stormwater 1,487,716 1,514,604 1,511,692 (2,912) Transit 2,692,607 3,008,826 3,384,494 375,668 Total 14,246,154 15,492,024 15,109,271 (382,753) 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE)79.11 79.11 76.48 (2.63) % of Towns FTEs 18.06% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change General Fund 6,535,148 6,944,467 6,578,758 (365,709) Capital Fund 278,321 - - - Grants & Contributions Fund 994,835 872,650 1,171,000 298,350 Highway Fund 4,900,866 6,110,303 5,797,821 (312,482) PAG/RTA Fund 49,268 50,000 50,000 - Stormwater Utility Fund 1,487,716 1,514,604 1,511,692 (2,912) Total 14,246,154 15,492,024 15,109,271 (382,753) 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 6,309,763 6,665,635 6,520,015 (145,620) Operations & Maintenance 4,317,943 4,194,939 4,253,256 58,317 Capital Outlay 3,618,448 4,631,450 4,336,000 (295,450) Total Expenditures 14,246,154 15,492,024 15,109,271 (382,753) Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 55   Department Budgets | Public Works  PUBLIC WORKS - ADMINISTRATION Significant Changes  Personnel costs decreased due to the elimination of two temporary CIP project manager positions, partially offset by FY 2025/26 market adjustments for eligible employees.  The increase in Operations & Maintenance is primarily due to outside professional services. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE) 15.75 15.75 13.75 (2.00) % of Towns FTEs 3.25% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change General Fund 1,687,059 1,905,658 1,679,373 (226,285) Capital Fund 278,321 - - - Total Expenditures 1,965,380 1,905,658 1,679,373 (226,285) 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 1,749,295 1,799,158 1,563,623 (235,535) Operations & Maintenance 216,085 106,500 115,750 9,250 Total Expenditures 1,965,380 1,905,658 1,679,373 (226,285) Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 56 Department Budgets | Public Works PUBLIC WORKS – FLEET & FACILITY MANAGEMENT Significant Changes The increase in Personnel is due to a FY 2025/26 market adjustment for eligible employees partially offset by decreases in employee benefit elections. The decrease in Operations & Maintenance is due to gasoline, outside professional services, and supplies. Capital Outlay consists of funding for rehabilitation of equipment. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE)10.00 10.00 10.00 - % of Towns FTEs 2.36% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change General Fund 3,150,316 2,902,633 2,685,891 (216,742) Total Expenditures 3,150,316 2,902,633 2,685,891 (216,742) 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 740,497 827,683 833,341 5,658 Operations & Maintenance 2,364,940 1,937,950 1,827,550 (110,400) Capital Outlay 44,879 137,000 25,000 (112,000) Total Expenditures 3,150,316 2,902,633 2,685,891 (216,742) Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 57   Department Budgets | Public Works  PUBLIC WORKS – TRANSPORTATION ENGINEERING Significant Changes  The increase in Personnel is due to a FY 2025/26 market adjustment for eligible employees.  The increase in Operations & Maintenance is due to a new bridge maintenance program and outside professional services.  Capital Outlay consists of the annual pavement preservation program. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE) 12.00 12.00 12.00 - % of Towns FTEs 2.83% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change Highway Fund 4,140,048 4,973,303 4,959,321 (13,982) PAG/RTA Fund 49,268 50,000 50,000 - Total Expenditures 4,189,316 5,023,303 5,009,321 (13,982) 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 1,241,700 1,333,798 1,359,886 26,088 Operations & Maintenance 465,553 514,505 559,435 44,930 Capital Outlay 2,482,063 3,175,000 3,090,000 (85,000) Total Expenditures 4,189,316 5,023,303 5,009,321 (13,982) Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 58   Department Budgets | Public Works  PUBLIC WORKS – STREET & DRAINAGE MAINTENANCE Significant Changes  The increase in Operations & Maintenance is due to ROW cleanup services, and street maintenance. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE) - - - - % of Towns FTEs 0.00% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change Highway Fund 760,818 1,137,000 838,500 (298,500) Total Expenditures 760,818 1,137,000 838,500 (298,500) 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Operations & Maintenance 664,147 767,000 838,500 71,500 Capital Outlay 96,671 370,000 - (370,000) Total Expenditures 760,818 1,137,000 838,500 (298,500) Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 59   Department Budgets | Public Works  PUBLIC WORKS – STORMWATER UTILITY Significant Changes  The decrease in Personnel is due to staff turnover, though this was partially offset by a FY 2025/26 market adjustment for eligible employees.  The increase in Operations & Maintenance in FY26 is due to reclassifying general culvert cleaning costs from Capital to O&M, a result of the Town's capitalization policy change raising the threshold for capital to $25,000. This is partially offset by reduced travel and training expenses.  Capital outlay relates to general drainage infrastructure maintenance. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE) 9.73 9.73 9.73 - % of Towns FTEs 2.30% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change Stormwater Fund 1,487,716 1,514,604 1,511,692 (2,912) Total Expenditures 1,487,716 1,514,604 1,511,692 (2,912) 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 975,585 1,018,770 1,017,251 (1,519) Operations & Maintenance 512,131 425,834 444,441 18,607 Capital Outlay - 70,000 50,000 (20,000) Total Expenditures 1,487,716 1,514,604 1,511,692 (2,912) Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 60   Department Budgets | Public Works  PUBLIC WORKS – TRANSIT SERVICES Significant Changes  A net reduction of 0.63 full-time equivalent (FTE) positions is attributable to the reclassification of a part-time transit specialist to a full-time Fleet Maintenance Mechanic I (+0.36 FTE), and the reorganization of part-time driver positions to increase full-time driver positions by 2.00 FTE.  The increase in Personnel is due to a FY 2025/26 market adjustment for eligible employees and corrected budgeted workers compensation rates.  The increase in Operations & Maintenance is due to transit fleet repair and maintenance.  Capital outlay is for transit bus replacements, 80% funded by ADOT grants, and includes carryover from FY 2024/25 for delayed bus deliveries. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE) 31.63 31.63 31.00 (0.63) % of Towns FTEs 7.32% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change General Fund 1,697,772 2,136,176 2,213,494 77,318 Grants & Contributions Fund 994,835 872,650 1,171,000 298,350 Total Expenditures 2,692,607 3,008,826 3,384,494 375,668 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 1,602,686 1,686,226 1,745,914 59,688 Operations & Maintenance 95,087 443,150 467,580 24,430 Capital Outlay 994,835 879,450 1,171,000 291,550 Total Expenditures 2,692,607 3,008,826 3,384,494 375,668 Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 61 Department Budgets | Water Utility WATER UTILITY 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Division Actual Adopted Proposed Change Administration 2,930,431 2,994,092 3,000,756 6,664 Engineering and Planning 5,832,784 6,443,518 6,706,111 262,593 Operations 5,103,246 6,205,548 6,270,529 64,981 WRSDIF 162,548 162,000 181,144 19,144 Total 14,029,009 15,805,158 16,158,540 353,382 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE) 40.48 40.48 40.48 - % of Towns FTEs 9.56% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change Water Utility fund 13,866,461 15,643,158 15,977,396 334,238 WRSDIF Fund 162,548 162,000 181,144 19,144 Total Expenditures 14,029,009 15,805,158 16,158,540 353,382 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 3,616,586 3,992,428 4,028,142 35,714 Operations & Maintenance 10,202,526 11,360,284 11,730,398 370,114 Capital Outlay 209,896 452,446 400,000 (52,446) Total Expenditures 14,029,009 15,805,158 16,158,540 353,382 Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 62   Department Budgets | Water Utility  WATER UTILITY – ADMINISTRATION Significant Changes  The increase in Personnel is due to a FY 2025/26 market adjustment for eligible employees.  The net decrease in Operations & Maintenance is primarily due to the reduction of one-time SCADA upgrades from the prior year, partially offset by increased credit card fees and postage. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE)9.48 9.48 9.48 - % of Towns FTEs 2.24% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change Water Utility Fund 2,930,431 2,994,092 3,000,756 6,664 Total Expenditures 2,930,431 2,994,092 3,000,756 6,664 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures and Other Financing Uses by Type Actual Adopted Proposed Change Personnel 781,925 827,795 855,566 27,771 Operations & Maintenance 2,148,506 2,166,297 2,145,190 (21,107) Total Expenditures 2,930,431 2,994,092 3,000,756 6,664 Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 63   Department Budgets | Water Utility  WATER UTILITY – ENGINEERING and PLANNING Significant Changes  The net decrease in Personnel is due to staff turnover partially offset by a FY 2025/26 market adjustment for eligible employees.  The increase in Operations & Maintenance is due to CAP water delivery charges and on-call outside engineering services. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE)6.00 6.00 6.00 - % of Towns FTEs 1.42% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change Water Utility Fund 5,832,784 6,443,518 6,706,111 262,593 Total Expenditures 5,832,784 6,443,518 6,706,111 262,593 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 699,633 742,351 699,066 (43,285) Operations & Maintenance 5,133,151 5,701,167 6,007,045 305,878 Total Expenditures 5,832,784 6,443,518 6,706,111 262,593 Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 64   Department Budgets | Water Utility  WATER UTILITY – OPERATIONS Significant Changes  The increase in Personnel is due to a FY 2025/26 market adjustment for eligible employees and an increase in overtime.  The increase in Operations & Maintenance is related to equipment repair and maintenance and electricity for pumping.  Capital Outlay consists of new service meters and meter replacements, and the replacement of one truck. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE)25.00 25.00 25.00 - % of Towns FTEs 5.90% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change Water Utility Fund 5,103,246 6,205,548 6,270,529 64,981 Total Expenditures 5,103,246 6,205,548 6,270,529 64,981 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Personnel 2,135,028 2,422,282 2,473,510 51,228 Operations & Maintenance 2,758,322 3,330,820 3,397,019 66,199 Capital Outlay 209,896 452,446 400,000 (52,446) Total Expenditures 5,103,246 6,205,548 6,270,529 64,981 Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 65   Department Budgets | Water Utility  WATER UTILITY – WRSDIF Significant Changes  The increase in Operations and Maintenance is due to an ongoing impact fee study and a slight increase in CAP water charges. 2023/24 2024/25 2025/26 2024/25 To 2025/26 Personnel Summary Actual Adopted Proposed Change Full-time Equivalents (FTE)- - - - % of Towns FTEs 0.00% 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Fund Actual Adopted Proposed Change WRSDIF Fund 162,548 162,000 181,144 19,144 Total Expenditures 162,548 162,000 181,144 19,144 2023/24 2024/25 2025/26 2024/25 To 2025/26 Expenditures by Type Actual Adopted Proposed Change Operations & Maintenance 162,548 162,000 181,144 19,144 Total Expenditures 162,548 162,000 181,144 19,144 Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 66   Debt Service  Debt Service The Town of Oro Valley occasionally issues debt to provide funding for the construction of capital projects. The Town has adopted financial policies on debt capacity that set guidelines for issuing debt and provide guidance in the timing and structuring of long-term debt commitments. The general policy of the Town is to fund capital projects with new, dedicated streams of revenue or voter-approved debt. Non-voter-approved debt may be utilized when a dedicated revenue source other than general revenue can be identified to pay debt service expenditures. The Town currently uses Excise Tax Revenue Bonds, Water Project Revenue Bonds, Clean Renewable Energy Bonds, and programs offered by the state as funding mechanisms for capital projects. The recommended FY25/26 budget includes outstanding debt by type as follows: Outstanding Principal at 6/30/2025: $67,321,843 Excise Tax Supported Bonds - 38,056,154 4,013,070 Water Revenue supported Loans - 28,866,396 4,695,469 Leases and Financed Purchases - 399,293 238,012 Total - Town Debt - 67,321,843 8,946,552 New Issuance Proposed in FY 25/26 Outstanding Debt at 6/30/2025 FY25/26 Principal and Interest Payments Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 67 Debt Service Forecasted annual principal and interest payments on the Town’s current outstanding debt through maturity Description of Debt Types – and Principal and Interest Payments through Maturity Excise Tax Revenue Bonds Excise Tax Revenue Bonds are issued by the Town for the purpose of financing the construction or acquisition of capital improvement projects. These bonds may be issued without voter approval. The Town of Oro Valley has issued excise tax revenue bonds for the construction and improvement of water facilities, parks and recreation amenities, the acquisition of land and construction of buildings to support Town services. In 2010, the Town issued Clean Renewable Energy Bonds in the amount of $2.4 million to finance the construction of solar panel covered parking structures in the parking lot of Town hall. The debt service is paid through a combination of energy savings, electricity rebates from Tucson Electric Power Company, and a 55% interest subsidy from the U.S. Treasury Department. In 2021, the Town issued pension obligation bonds to pay down an unfunded liability in the public safety pension retirement system (PSPRS). Repayment of the debt is pledged with excise sales tax, state shared revenue and other permit and fee revenues. Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 68   Debt Service  Water Revenue Supported Bonds Water revenue bonds include bonds issued by the Town, pledging water revenues, and issued by the Town, pledging Town excise tax but are repaid with water revenues. The previously issued obligations financed improvements to the Town’s reclaimed and potable water systems. Water project revenue bonds may be issued without voter approval. Water Infrastructure Finance Authority Loans (WIFA) WIFA is a state agency that helps communities build and improve their water systems by offering financial aid and loans at low interest rates. WIFA has the ability to assist smaller to medium-sized communities in pooling their bond issues to help lower the costs of issuing debt. They also have monies set aside to help secure the debt and allow the bonds to be issued at the lowest interest rate possible. WIFA’s charge is specifically with water and wastewater projects. In 2007, the Town received a $4.6 million WIFA loan for infrastructure expansion of the reclaimed water system in the Town. In 2009, the Town received a $2.3 million WIFA loan to finance existing water system infrastructure improvements. The 2007 and 2009 WIFA loans were refunded with the issuance of the 2021 Senior Lien Water Refunding Series. In 2014, the Town received a $4.7 million WIFA loan to finance meter replacements. In 2025, the Town received a $12,018,000 WIFA loan with $1,012,500 in forgivable principal to fund the construction of a booster station and 7 miles of water transmission main, including a 4,000 AF/Yr. capacity booster station. Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 69 Debt Service Lease and Financed Purchases The Town has lease and financed purchase agreements for the financing of fitness equipment, golf carts, and printers. Debt Limit The Arizona Constitution limits the Town’s bonded debt capacity (outstanding principal) to a certain percentage of the Town’s secondary assessed valuation for General Obligation (G.O.) bonds. The Constitution states that for general municipal purposes, the Town cannot incur a debt exceeding 6% of the assessed valuation of taxable property. Additional bonds amounting to 20% of the assessed valuation of taxable property can be issued for water, lighting and sewer projects, and for the acquisition and development of land for open space preserves, parks, playgrounds and recreational facilities. The Town’s current bond holdings do not include G.O. bonds and, therefore, are not subject to the debt limitation. Oro Valley’s Bond Rating Both Oro Valley's Excise Tax Revenue Bonds and Water Revenue Bonds hold a strong AA rating from S&P Global Ratings and Fitch Ratings. This top-tier designation reflects the agencies' confidence in the Town's financial management and its positive economic outlook, signifying a very strong ability to meet future debt obligations. Favorable bond ratings enable Oro Valley to secure financing for voter-approved capital projects, such as new parks and water infrastructure, at advantageous interest rates. This translates to significant cost savings for taxpayers. High bond ratings elevate the desirability of Oro Valley's bonds in the investment marketplace, thereby increasing their value for existing bondholders. Rating Rating Agency Excise Tax Revenue Obligations AA+ S&P Global Ratings Water Revenue Bonds AA Fitch Ratings Debt Management The issuance of debt commits the Town to a significant, long-term recurring cost; therefore, each new debt issuance must be heavily scrutinized to ensure the Town’s ability to repay the debt. Debt service payments are contractual obligations that take legal precedence over most other Town expenditures. Heavy debt levels may consume a significant portion of an entity’s ongoing revenues and could impact an entity’s ability to provide services to citizens and residents, especially during economic downturns and revenue declines. When feasible, the Town may utilize cash reserves to fund a project, versus the issuance of debt. The Town’s financial policies on debt issuance and management also emphasize minimal borrowing costs and affordability of future debt service obligations Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 70   Debt Service  Debt Repayment Forecast Summary The information below summarizes the total outstanding principal and interest on current Town debt obligations for the next twenty years. A measure of a community’s financial soundness is its bond rating. The Town continues to maintain very strong coverage of debt service which contributes to the favorable bond ratings received from Standard & Poor’s Investors Service. Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 71   Debt Service  FY Excise Tax Revenue Bonds Water Supported Bonds Water Supported WIFA Loans Leases and Financed Purchases Total 2026 4,013,070 3,835,118 860,351 238,012 8,946,552 2027 3,697,070 3,686,923 1,168,814 160,698 8,713,505 2028 3,541,843 2,061,865 1,168,566 12,800 6,785,074 2029 3,150,700 1,759,224 1,168,311 6,078,235 2030 3,143,574 1,383,931 797,305 5,324,810 2031 3,143,401 1,265,475 797,305 5,206,181 2032 3,143,370 1,265,342 797,305 5,206,017 2033 2,973,085 1,264,781 797,305 5,035,171 2034 2,976,073 1,264,523 797,305 5,037,901 2035 2,799,668 759,009 797,305 4,355,982 2036 2,795,896 797,305 3,593,201 2037 2,798,399 797,305 3,595,704 2038 2,796,957 797,305 3,594,262 2039 2,791,821 797,305 3,589,126 2040 1,535,600 797,305 2,332,905 2041 1,533,900 797,305 2,331,205 2042 1,530,000 797,305 2,327,305 2043 797,305 797,305 2044 797,305 797,305 2045 797,305 797,305 48,364,427 18,546,191 14,731,006 411,511 84,445,050 Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 72 Fund IN OUT GENERAL FUND To Capital Fund - CIP - 5,000,000 To Grants & Contributions Fund - 127,750 To Debt Service Fund - Debt Service - 2,160,529 TOTAL GENERAL FUND - 7,288,279 DEBT SERVICE FUND From General Fund - Debt Service 2,160,529 - From Police Impact Fee Fund - 2018 PD Evidence 38,765 - From Community Center Fund - 2021 P&R Bonds 1,543,300 - From Community Center Fund - 2016 Energy Efficiency Bonds 172,968 From Water Utility Fund - 2010 Clean Renewable Energy Bonds 3,004 - TOTAL DEBT SERVICE FUND 3,918,566 - SPECIAL REVENUE FUNDS COMMUNITY CENTER FUND To Debt Service Fund - 2021 P&R Bonds - 1,543,300 To Debt Service Fund - 2016 Energy Efficiency Bonds - 172,968 HIGHWAY FUND From Capital Fund - CIP 2,000,000 - TOTAL SPECIAL REVENUE FUNDS 2,000,000 1,716,268 CAPITAL PROJECT FUNDS CAPITAL FUND From General Fund 5,000,000 - To Highway Fund - 2,000,000 To Grants & Contributions Fund - 234,200 GRANTS & CONTRIBUTIONS FUND From General Fund 127,750 - From Capital Fund - CIP 234,200 - POLICE IMPACT FEE FUND To Debt Service Fund - 38,765 TOTAL CAPITAL PROJECT FUNDS 5,361,950 2,272,965 ENTERPRISE FUNDS WATER UTILITY FUND To WRSDIF Fund - NWRRDS CIP - 9,880,000 To Debt Service Fund - 2010 Clean Renewable Energy Bonds - 3,004 WRSDIF FUND From Water Utility Fund - NWRRDS CIP 9,880,000 - TOTAL ENTERPRISE FUNDS 9,880,000 9,883,004 TOTAL ALL FUNDS 21,160,516 21,160,516 Interfund Transfers 2025/2026 Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 73   Capital Improvement Program | Program Overview Capital Improvement Program (CIP) Overview Providing infrastructure is a primary function of local governments. Maintaining public safety, Town services, parks and recreation facilities, adequate transportation systems, and the community’s quality of life are all heavily dependent on how the Town handles infrastructure issues. The Capital Improvement Program (CIP) is a comprehensive, ten-year plan of capital projects that will support the continued growth and development of the town. The CIP is used in implementing the General Plan and supporting the Town’s adopted Strategic Plan by developing a prioritized schedule of short-range and long-range community capital needs, evaluating projects, and analyzing the community’s ability and willingness to pay for them in the most cost- effective way. The Town uses the CIP as its method in determining future infrastructure requirements and planning the financing of facilities and equipment to maintain the service levels provided to town citizens. The Town identifies capital projects as those which:  Cost $50,000 or more;  Have an expected useful life of five or more years; and  Becomes, or preserves, an asset of the Town Although facility repair and maintenance, as well as fleet replacements, do not meet the definition of a capital project, they are a significant expense for the Town, and thus are included in the CIP for planning purposes. The Town uses the Capital Improvement Program as an avenue of communication to the public. Through the CIP document, residents and businesses are provided with an accurate and concise view of the Town’s long-term direction for capital investment and the Town’s need for stable revenue sources to fund large multi-year capital projects. CIP projects funded in FY 2025/26 total $45,559,003. The table below shows this breakdown by fund: Fund Amount General Fund $437,000 Community Center Fund $2,748,700 Highway Fund $4,890,000 Capital Fund $6,367,864 Grants Fund $1,171,500 PAG/RTA $75,000 Roadway Impact Fee Fund $746,945 Water Utility Fund $2,175,000 Water Impact Fee/ GPF $25,964,494 Stormwater Utility Fund $983,000 Total All Funds $45,559,003 Please refer to the comprehensive ten-year CIP schedules and the project descriptions for additional detail on all projects. Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 74 Capital Improvement Program | Program Overview Capital Improvement Program Summary Fund 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31- 2034/35 Total General Fund 437,000$ 478,000$ 472,000$ 488,000$ 504,000$ 2,031,000$ 4,410,000$ Community Center Fund 2,748,700 565,000 1,165,000 1,125,000 3,530,000 3,015,000 12,148,700 Highway Fund 4,890,000 6,391,800 5,527,500 5,284,315 3,204,000 18,863,000 44,160,615 Capital Fund 6,367,864 3,283,500 3,929,800 2,969,500 3,976,000 18,014,000 38,540,664 Grants Fund 1,171,000 586,000 604,000 623,000 642,000 3,519,000 7,145,000 PAG/RTA 75,000 12,000,000 12,075,000 25,000,000 49,468,000 98,618,000 Roadway Impact Fee Fund 746,945 500,000 2,700,000 750,000 1,000,000 5,696,945 Parks Impact Fee Fund 250,000 - 250,000 Water Utility Fund 2,175,000 2,050,000 2,790,000 2,660,000 1,700,000 6,680,000 18,055,000 Water Impact Fee/ GPF 25,964,494 - 25,964,494 Stormwater Utility Fund 983,000 679,000 3,950,000 350,000 365,000 2,590,000 8,917,000 Total 45,559,003$ 14,033,300$ 31,188,300$ 28,274,815$ 39,671,000$ 105,180,000$ 263,906,418$ Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 75   Capital Improvement Program | Program Overview CIP Carryover from FY 2024/25 Adopted The following projects were budgeted in FY 2024/25 but are not expected to be completed in FY 2024/25. The amount for each project below is the estimated remaining budget needs in FY 2025/26 are included in the CIP project totals. Some of the carryover projects may be adjusted downward prior to the final budget adoption as work continues to progress through the end of FY 2024/25. Category Project Carryover Source Projected Carryover Amount Total FY25/26 Project Budget Parks & Recreation Equipment Replacement (Golf Maintenance ) - Reelmaster Community Center Fund 105,000 105,000 Pusch Ridge Tennis Bleachers and ADA Accessibility Community Center Fund 198,200 198,200 Steam Pump Ranch Farmer's Market Structure Upgrade Capital Fund 263,542 263,542 Total Parks & Recreation Carryover 566,742$ 566,742$ Public Facilities, Vehicles & Equipment 680 Fuel Station Renovation Capital Fund 449,550 449,550 Fuel Management Software (Gasboy Replacement) Capital Fund 70,000 70,000 Town Court Expansion Capital Fund 800,000 800,000 Vehicle Replacement Program Capital Fund, Grants Fund 1,456,022 3,322,022 Total Public Facilities, Vehicles & Equipment Carryover 2,775,572$ 4,641,572$ Public Safety Police Facility Programming Capital Fund 397,750 397,750 Total Public Safety Carryover 397,750$ 397,750$ Stormwater Oro Valley Drive Drainage and Pavement Improvement Stormwater Utility Fund 300,000 300,000 Sierra Wash at Via Mandarina Drainage Improvements Stormwater Utility Fund 365,000 365,000 665,000$ 665,000$ Streets/Roads Rancho Vistoso & Woodburne Intersection Roadway Impact Fee Fund 96,945 746,945 Shannon Road Improvements Highway Fund 400,000 400,000 Total Streets/Roads Carryover 496,945$ 1,146,945$ Water System La Posada Well Equipping Water Impact Fee/ GPF 371,000 671,000 NWRRDS (Independent) D-Zone Main from Twin Peaks Booster to Shannon Rd. Booster Water Impact Fee/ GPF 4,000,000 4,000,000 NWRRDS (Partnered) Pipeline Construction - Transmission Main Water Impact Fee/ GPF 4,000,000 4,000,000 Reclaimed Facility Booster Rehabilitation Water Utility Fund 320,000 320,000 Steam Pump Well Water Impact Fee/ GPF 443,494 593,494 Total Water System Carryover 9,134,494$ 9,584,494$ Grand Total 14,036,503$ 17,002,503$ Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 76  Capital Improvement Plan | Projects by Category CIP Project Listing by Category* Denotes a project with carryforward funding from the prior yearFunding Source 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 2031/32 2032/33 2033/34 2034/3510-Year Total5,012,242 1,642,000 3,187,800 1,988,000 4,805,000 3,330,000 1,733,000 890,000 505,000 4,300,000 27,393,04236 Hole - Canada #16 Lake Dredging Community Center Fund - - - - 90,000 - - - - - 90,00036 Hole - Ditch Witch - Trencher Community Center Fund - - - - - - 65,000 - - - 65,00036 Hole - Greenmaster Mowers Replacement - Reelmaster 5510D (Fairway Unit)Community Center Fund - 115,000 - 125,000 - 135,000 - 145,000 - - 520,00036 Hole - Greenmaster Mowers Replacement - TriFlex 3300 Hydraulic (Greens Unit) 2@$60KCommunity Center Fund 120,000 - 130,000 - 140,000 - 150,000 - - - 540,00036 Hole - John Deere 5510 Tractor with Backhoe - Wash Repair, irrigation mainlinesCommunity Center Fund - - - - - - - - 100,000 - 100,00036 Hole - Kubota MX5200 - Tractor (Spread Fert & Aerify Fairways)Community Center Fund - - - - - - - - 100,000 - 100,00036 Hole - Procore 648 (Greens Aerifier) Community Center Fund - - - - - 100,000 - 110,000 - - 210,00036 Hole - South Pump Station Community Center Fund 510,000 - - - - - - - - - 510,00036 Hole - Toro 3500D (Sidewinder) Mowing Green SurroundsCommunity Center Fund - - - 75,000 - - - - - - 75,00036 Hole - Toro 4500D Rough Mowing Units Community Center Fund - - - - - 135,000 - - 145,000 - 280,00036 Hole - Toro Multi Pro 5800 - Chemical Spray ApplicationsCommunity Center Fund - - - - - - 90,000 - - - 90,00036 Hole - Toro Workman HDX - Heavy Duty for Hauling Equipment, Pull Top Dresser.Community Center Fund - - - - - - - 60,000 60,000 - 120,000Artificial Turf Installation at Community Center EntranceCommunity Center Fund 150,000 - - - - - - - - - 150,000Community Center Audio System Upgrade Community Center Fund - - - 100,000 - - - - - - 100,000Community Center Exterior Stucco Repair and Painting Community Center Fund 190,500 - - - - - - - - - 190,500Community Center Flat Roof Surface ReplacementCommunity Center Fund - 200,000 - 200,000 - 200,000 - 200,000 - 200,0001,000,000Community Center Parking Lot Resurface Community Center Fund 950,000 - - - - - - - - - 950,000CRC ADA Exterior Restroom Community Center Fund 325,000 - - - - - - - - - 325,000Parks & RecreationTown of Oro Valley FY 2025/26 Town Manager's Recommended Budget77 Capital Improvement Plan | Projects by Category CIP Project Listing by Category*Denotes a project with carryforward fundingfrom the prior yearFunding Source 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 2031/32 2032/33 2033/34 2034/3510-YearTotalParks & Recreation (continued)CRC Fitness Exterior Window Replacement Community Center Fund - - - - - 100,000 - - - - 100,000CRC Parking Lot ExpansionCommunity Center Fund - - - - 3,200,000 - - - - - 3,200,000CRC Pool Deck and Equipment Renovation Community Center Fund - - 100,000 - - - - - - - 100,000Equipment Replacement (Golf Maintenance) - Reelmaster Mower*Community Center Fund 105,000 - - - - - - - - - 105,000Golf Maintenance - Parking Lot Reconstruction Community Center Fund - - - - - - 300,000 - - - 300,000Golf Maintenance Facility Siding Replacement and Exterior PaintingCommunity Center Fund - - 100,000 - - - - - - - 100,000Improved Landscape and Gathering Area at Aquatic CenterCapital Fund- 330,000 - - - - - - - - 330,000James D. Kriegh Park - Egleston Road Connection Parking lotCapital Fund- 60,000 750,000 - - - - - - - 810,000James D. Kriegh Park - North Area ImprovementsCapital Fund- - - 78,000 975,000 - - - - - 1,053,000James D. Kriegh Park - North Parking Lot ImprovementsCapital Fund- 375,000 - - - - - - - - 375,000James D. Kriegh Park - Racquetball/Basketball Court ConversionCapital Fund- - 22,800 285,000 250,000 - - - - - 557,800James D. Kriegh Park Field Lighting Capital Fund- - - - - 2,000,000 - - - - 2,050,000MUP Big Wash Trailhead ImprovementsParks&Rec Impact Fee Fund- - 250,000 - - - - - - - 250,000Naranja Park Fields 7 & 8Capital Fund- - - - - - - - - 4,000,0004,000,000OVAC Diving Board and Dive Block ReplacementCapital Fund- - - - - - 136,000 - - - 136,000OVAC Olympic Pool Heater Replacement Capital Fund- - - 500,000 - - - - - - 500,000OVAC Pool ReplasteringCapital Fund- 200,000 - - - - - - - - 200,000OVAC Pump Room Upgrades - Phase Two Capital Fund- 112,000 - - - - - - - - 112,000Pavement Preservation - CRCCommunity Center Fund - 50,000 60,000 - - - - - - - 110,000Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget78  Capital Improvement Plan | Projects by Category CIP Project Listing by Category* Denotes a project with carryforward funding from the prior yearFunding Source 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 2031/32 2032/33 2033/34 2034/3510-Year TotalParks & Recreation (continued)Pusch Ridge Additional Tennis Court Community Center Fund - - - 300,000 - - - - - - 300,000Pusch Ridge Golf - Toro 4500D Rough Mowing UnitsCommunity Center Fund - - - 125,000 - - - - - - 125,000Pusch Ridge Golf Course Pavement PreservationCommunity Center Fund - - 275,000 - - - - - - - 275,000Pusch Ridge Tennis Bleachers and ADA Accessibility*Community Center Fund 198,200 - - - - - - - - - 198,200Pusch Ridge Tennis Court Lighting ReplacementCommunity Center Fund - - 300,000 - - - - - - - 300,000Pusch Ridge Tennis Court Resurfacing Community Center Fund - - - - - 120,000 - - - 120,000Riverfront Park - Field Lighting Replacement Capital Fund- - 1,000,000 - - - - - - - 1,000,000Riverfront Park - Parking Lot Expansion Capital Fund- - - - - 60,000 750,000 - - - 810,000Riverfront Park - Playground Renovation Capital Fund- - - - - 500,000 - - - - 500,000Riverfront Park - ramada over sports courts Capital Fund- - - - - - 22,000 275,000 - - 297,000Steam Pump Ranch Farmer's Market Structure Upgrade*Capital Fund263,542 - - - - - - - - - 263,542Vistoso Trails Nature Preserve Pond Capital Fund2,000,000 - - - - - - - - - 2,000,000Vistoso Trails Nature Preserve Site ImprovementsCommunity Center Fund 200,000 200,000 200,000 200,000 100,000 100,000 100,000 100,000 100,000 100,0001,400,0005,090,572 3,270,500 3,099,000 3,147,500 3,601,000 2,955,000 3,018,500 3,099,500 3,084,500 3,170,500 33,536,572680 Fuel Station Renovation*Capital Fund449,550 - - - - - - - - - 449,550680 Maintenance Yard Back-up Generator Capital Fund- - - 50,000 500,000 - - - - - 550,000Annual Sidewalk ProgramCapital Fund100,000 25,000 25,000 25,000 25,000 25,000 25,000 25,000 25,000 25,000325,000Equipment Replacement ProgramCapital Fund- 260,500 368,000 418,500 403,000 204,000 178,500 178,500 178,500 178,5002,368,000Facility Maintenance ProgramGeneral Fund299,000 308,000 318,000 328,000 338,000 349,000 360,000 371,000 383,000 395,0003,449,000Public Facilities, Vehicles & EquipmentTown of Oro Valley FY 2025/26 Town Manager's Recommended Budget79  Capital Improvement Plan | Projects by Category CIP Project Listing by Category* Denotes a project with carryforward funding from the prior yearFunding Source 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 2031/32 2032/33 2033/34 2034/3510-Year TotalFuel Management Software (Gasboy Replacement)*Capital Fund 70,000 - - - - - - - - - 70,000MOC Water and Transit flat roof surface replacementCapital Fund - - 70,000 - - - - - - - 70,000Network Storage Capital Fund - - 50,000 - - 50,000 - - - - 100,000Phone System Refresh Capital Fund - - - - - - - 100,000 - - 100,000Public Works Operations Laydown Yard (Electricity)Highway Fund50,000 150,000 - - - - - - - - 200,000Server OS RefreshCapital Fund- 60,000 - - - - 60,000 - - - 120,000Town Court Expansion*Capital Fund800,000- - - - - - - - 800,000Town Hall Admin Building A, Remodel I&T area Capital Fund- 335,000 - - 115,000 - - - - - 450,000Town Hall, Building A, Elevator System ModernizationCapital Fund- - 75,000 - - - - - - - 75,000Vehicle Replacement Program*Capital FundWater Utility FundGrants Fund3,322,022 2,132,000 2,193,000 2,326,000 2,220,000 2,327,000 2,395,000 2,425,000 2,498,000 2,572,00024,410,022Public Safety631,750 170,000 154,000 160,000 166,000 173,0001,454,7503D Scene ScannerGeneral Fund138,000 - - - - - - - - - 138,000Drone as First Responder Program General Fund- 170,000 154,000 160,000 166,000 173,000 - - - - 823,000Police Facility Programming*Capital Fund397,750 - - - - - - - - - 397,750Police Vehicle for New Officer Position Capital Fund96,000 - - - - - - - - - 96,000Stormwater983,000 679,000 3,950,000 350,000 365,000 680,000 460,000 400,000 300,000 750,000 8,917,000Canada Golf Course Driange Improvements Stormwater Utility Fund - - - - - - - 250,000 - - 250,000Carmack Wash at Shadow Mountian Estates Stormwater Utility Fund - - - - - - - - - 750,000750,000Conquistador Golf Course Driange ImprovementsStormwater Utility Fund - - - - - - - 150,000 - - 150,000Public Facilities, Vehicles & Equipment (continued)Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget80 Capital Improvement Plan | Projects by Category CIP Project Listing by Category*Denotes a project with carryforward fundingfrom the prior yearFunding Source 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 2031/32 2032/33 2033/34 2034/3510-YearTotalStormwater (continued)Gravel Pit Wash at Tangerine Road Culvert Stormwater Utility Fund - - - - - 380,000 - - - - 380,000Highland Wash (Grant Funding Required) Stormwater Utility Fund - 400,000 3,800,000- - - - - 4,200,000Highlands Wash at Monterra RidgeStormwater Utility Fund - - - - - - 460,000 - - - 460,000Highlands Wash at Tangerine Road Culvert Stormwater Utility Fund - - - - 365,000 - - - - - 365,000Mutterer's ConstructionStormwater Utility Fund - - 150,000 350,000 - - - - - - 500,000Naranja Park Drainage Improvements Stormwater Utility Fund - - - - - - - - 300,000 - 300,000Oro Valley Drive Drainage and Pavement Improvement*Stormwater Utility Fund 300,000 - - - - - - - - - 300,000PomegranateStormwater Utility Fund - 279,000 - - - - - - - - 279,000Sierra Wash at Glover Rd Infrastructure Repair & Rehabilitation Stormwater Utility Fund 318,000 - - - - - - - - - 318,000Sierra Wash at Via Mandarina Drainage Improvements*Stormwater Utility Fund 365,000 - - - - 300,000 - - - - 665,000Streets/Roads5,776,945 6,361,800 18,147,500 20,179,315 29,074,000 30,340,000 15,448,000 9,258,000 11,404,000 3,481,000 149,470,560(RTA) Lambert Lane Widening - Thornydale Rd to Rancho Sonora Dr (Town Contribution of $1M)PAG/RTA FundRoadway Impact Fee Fund- - - - 25,000,000 27,000,000 - - - - 52,000,000(RTA) Shannon Road Widening - Lambert Lane to Tangerine Road (Town Contribution of $1M)PAG/RTA FundRoadway Impact Fee Fund- - 12,000,000 13,000,000 - - - - - - 25,000,000Annual Bridge Maintenance Program Highway Fund100,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000550,000First Ave. Mill & Overlay (CDO Bridge to Tangerine Rd.)Highway Fund- - 1,695,000 - - - - - - - 1,695,000Illuminated Street SignsHighway Fund- - 60,500 62,315 - - - - - - 122,815La Cañada Bridge Deck Repair (Northbound) Highway Fund50,000 1,657,800 - - - - - - - - 1,707,800La Cañada Cobo ImprovementHighway Fund100,000- - - - - - - - 100,000Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget81  Capital Improvement Plan | Projects by Category CIP Project Listing by Category* Denotes a project with carryforward funding from the prior yearFunding Source 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 2031/32 2032/33 2033/34 2034/3510-Year TotalStreets/Roads (continued)La Cañada Drive Phase III (Naranja Dr. to Tangerine Rd.)Highway Fund - 678,000 - - - - - - - - 678,000La Canada Traffic Signal - Street Improvements (near Leman Academy)Highway Fund - - 600,000 - - - - - - - 600,000Lambert Lane MUP (La Cholla to Wild Creek Dr)Highway Fund 350,000 - - - - - - - - 350,000Linda Vista Blvd Safety (Calle Buena Vista to Oracle Rd)PAG/RTA- - - - - - - - 3,121,000 - 3,121,000Moore Rd La Cholla Blvd IntersectionRoadway Impact Fee Fund- - 500,000 1,700,000 - - - - - - 2,200,000Moore Road Widen (La Cholla Blvd to La Cañada Drive)PAG/RTA- - - - - - 9,417,000 - - - 9,417,000Naranja Dr. Widening ( La Cholla Bl. to 1st Ave.) PAG/RTA- - - - - - - - 3,394,000 - 3,394,000Oracle Rd & Rams Field IntersectionRoadway Impact Fee Fund- - - - 750,000 - - - - - 750,000Palisades Road Widening (1st Ave to 1 mile east)PAG/RTA- - - - - - - 5,886,000 - - 5,886,000Pavement Preservation - Non Roadways Capital Fund115,000 120,000 120,000 120,000 120,000 120,000 120,000 120,000 120,000 120,0001,195,000Pavement Preservation - Roadways Highway Fund 3,090,000 3,106,000 3,122,000 3,138,000 3,154,000 3,170,000 3,186,000 3,202,000 3,219,000 3,236,00031,623,000Rancho Vistoso & Woodburne Intersection*Roadway Impact Fee Fund746,945 - - - - - - - - - 746,945Rancho Vistoso Bridge Deck Repair over Highway Fund- 750,000 - - - - - - - - 750,000RV Blvd Mill/Overlay - Honey Bee Wash Bridge to Green Tree Drive Highway Fund- - - 2,034,000 - - - - - - 2,034,000RV Blvd Mill/Overlay (Moore Rd to Tangerine Rd)PAG/RTA- - - - - - - - 1,500,000 - 1,500,000Shannon Road Improvements*Highway Fund400,000 - - - - - - - - - 400,000Summer Youth Transportation Art Program (Summer of 2025)PAG/RTA75,000 - - 75,000 - - 75,000 - - 75,000300,000Tangerine Road Mill/Overlay (La Cañada Dr. to Oracle Rd.)Highway Fund- - - - - - 2,600,000 - - - 2,600,000Traffic Signal at Tangerine Rd / Mussette Dr Highway Fund750,000 - - - - - - - - - 750,000Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget82  Capital Improvement Plan | Projects by Category CIP Project Listing by Category* Denotes a project with carryforward funding from the prior yearFunding Source 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 2031/32 2032/33 2033/34 2034/3510-Year TotalWater System28,064,494 1,910,000 2,650,000 2,450,000 1,660,000 1,160,000 1,160,000 1,360,000 1,360,000 1,360,000 42,814,494Booster Station HP Tank Replacement Water Utility Fund 170,000 170,000 170,000 170,000 170,000 170,000 170,000 170,000 170,000 170,0001,700,000Booster Station Rehabilitation Water Utility Fund 370,000 500,000 1,240,000 740,000 250,000 50,000 50,000 250,000 250,000 250,0003,950,000Control Systems - SCADA Water Utility Fund 325,000 500,000 500,000 500,000 500,000 200,000 200,000 200,000 200,000 200,0003,325,000La Posada Well Equipping* Water Impact Fee/ GPF 671,000 - - - - - - - - - 671,000NWRRDS (Independent) Booster Station at Partnered ReservoirWater Impact Fee/ GPF 4,500,000 - - - - - - - - - 4,500,000NWRRDS (Independent) D-Zone Main from Twin Peaks Booster to Shannon Rd. BoosterWater Impact Fee/ GPF 14,000,000 - - - - - - - - - 14,000,000NWRRDS (Partnered) Pipeline Construction - Transmission Main*Water Impact Fee/ GPF 4,000,000 - - - - - - - - - 4,000,000NWRRDS (Partnered) Reservoir Construction Water Impact Fee/ GPF 1,000,000 - - - - - - - - - 1,000,000NWRRDS (Partnered) Well Equipping, TRICO power to sitesWater Impact Fee/ GPF 1,200,000 - - - - - - - - - 1,200,000Reclaimed Facility Booster Rehabilitation* Water Utility Fund 320,000 - - - - - - - - - 320,000Reservoir RehabilitationWater Utility Fund 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,0002,000,000Steam Pump Well*Water Impact Fee/ GPF 593,494 - - - - - - - - - 593,494Water Meters- New Connections (based on 210 meters per year)Water Utility Fund 325,000 150,000 150,000 150,000 150,000 150,000 150,000 150,000 150,000 150,0001,675,000Well HP Tank ReplacementWater Utility Fund 170,000 170,000 170,000 170,000 170,000 170,000 170,000 170,000 170,000 170,0001,700,000Well RehabilitationWater Utility Fund 220,000 220,000 220,000 520,000 220,000 220,000 220,000 220,000 220,000 220,0002,500,000Grand Total45,559,003 14,033,300 31,188,300 28,274,815 39,671,000 38,638,000 21,819,500 15,007,500 16,653,500 13,061,500 263,906,418Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget83 Capital Improvement Plan | Contingent Projects by Category The following projects were identified through the Capital Improvement Plan process but excluded from the CIP as they currently do not have a dedicated funding source and/or defined scope. Contingent CIP Project Listing by CategoryFunding Source 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 2031/32 2032/33 2033/34 2034/3510-YearTotalParks & Recreation350,000 200,000 2,129,999 1,750,000 1,500,000 894,000 550,000 3,000,000 3,100,000 1,500,000 14,973,999Naranja Park Shade Capital Fund 250,000 - - - - - - - - - 250,000Pusch Ridge Golf - Hole #1 Drainage & BeautificationCommunity Center Fund 100,000 - - - - - - - - - 100,000Naranja Park Entry Site Improvements Capital Fund- 200,000 - - - - - - - - 200,000ADA Pathway Pusch View CDO River Park Highway Fund- - 99,999 - - - - - - - 99,999Naranja Park Maintenance FacilityCapital Fund- - 1,200,000 - - - - - - - 1,200,000Naranja Park Pickleball Courts (2) and Shade StructureCapital Fund- - 330,000 - - - - - - - 330,000Naranja Park RamadasCapital Fund- - 500,000 - - - - - - - 500,000MUP - Phase III – Alignment (CDO wash to James D. Kriegh Park)Capital Fund- - - 1,500,000 - - - - - - 1,500,000Naranja Park Basketball CourtsCapital Fund- - - 250,000 - - - - - - 250,000Proctor/Lieber House RenovationCapital Fund- - - - 1,500,000 - - - - - 1,500,000CRC Renovation and ConstructionCommunity Center Fund - - - - - 600,000 - 3,000,000 3,000,0006,600,000Naranja Park Archery Range - Paved Parking, Lights, LandscapeCapital Fund- - - - - 44,000 550,000 - - - 594,000Naranja Park Skate Park expansion Park Capital Fund- - - - - 250,000 - - - - 250,000Steam Pump Ranch - New Northern Entry by Panhandle Stables/Event SpaceCapital Fund- - - - - - - - 100,000 1,500,0001,600,000Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget84 Capital Improvement Plan | Contingent Projects by Category Contingent CIP Project Listing by CategoryFunding Source 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 2031/32 2032/33 2033/34 2034/3510-YearTotal613,000 1,789,500 110,000 50,000 615,0003,177,500MOC Perimeter Fence & Entry Gate Capital Fund- 450,000 - - - - - - - - 450,000Transit Maintenance FacilityCapital FundGrants Fund- 163,000 1,564,500 - - - - - - - 1,727,500CEDPW Building D File Room to Conference Room RenovationCapital Fund- - 20,000 110,000 - - - - - - 130,000MOC DecommissioningCapital Fund- - 50,000 - - - - - - - 50,000Public Works Operations Laydown Yard (Sewer & Water)Highway Fund- - 155,000 - - - - - - - 155,000Administration Building Efficiency Renovation Capital Fund- - - - 50,000 500,000 - - - - 550,000Town Hall, ADA compliant sidewalk connection to La CanadaCapital Fund- - - - - 115,000 - - - - 115,000Public Safety18,000,000 18,040,000 375,00036,415,000Future Police StationCapital Fund- 18,000,000 18,000,000 - - - - - - - 36,000,000PD Main Town Hall, Building F Remodel Capital Fund- - 40,000 375,000 - - - - - - 415,000Streets/Roads6,791,016 1,658,0008,449,016First Avenue Bridge Deck RepairHighway Fund- 2,662,000 - - - - - - - - 2,662,000Rancho Vistoso Blvd Bridge Deck Repair (East & Westbound Over Big Wash)Highway Fund- 4,079,016 - - - - - - - - 4,079,016Tangerine Rd. Bridge Deck Repair over Big WashHighway Fund- 50,000 1,658,000 - - - - - - - 1,708,000Grand Total350,000 25,604,016 23,617,499 2,235,000 1,550,000 1,509,000 550,000 3,000,000 3,100,000 1,500,000 63,015,515Public Facilities, Vehicles & EquipmentTown of Oro Valley FY 2025/26 Town Manager's Recommended Budget85 CIP Project Descriptions Parks & Recreation PROJECT TITLE:36 Hole - Greenmaster Mowers Replacement - TriFlex 3300 Hydraulic FY 25/26 PROJECT BUDGET: $120,000 PRIMARY FUNDING: Community Center Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated PROJECT TITLE: 36 Hole - South Pump Station FY 25/26 PROJECT BUDGET: $510,000 PRIMARY FUNDING: Community Center Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated PROJECT TITLE: Artificial Turf Installation at Community Center Entrance FY 25/26 PROJECT BUDGET: $150,000 PRIMARY FUNDING: Community Center Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: Estiamted savings of $2,000 in labor and $2,000 in water PROJECT TITLE: Community Center Exterior Stucco Repair and Painting FY 25/26 PROJECT BUDGET: $190,500 PRIMARY FUNDING: Community Center Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: Savings of $1,500 in maintenance costs Patch and paint aging exterior stucco to prevent water and vermin intrusion and halting further deterioration The following are detailed descriptions of all of the recommended CIP projects for Fiscal Year 2025/26. Discussion includes potential operating impact to the Town (if known and identifiable at this time) as well as indicating any additional funding the Town will receive to complete the project. This is for lifecycle replacement of two 2015 Triflex Mowers. Replacing the CRC's grass entrance lawn (approx. 7,800 sq ft) with durable artificial turf. This will create a safer, year-round space for youth programs, while saving significant water and maintenance costs. This project will replace the aging south pump station at hole #16, which is visibly failing. We will demolish the existing structure and concrete slab, pour a new slab, and install a modern pump station. This will ensure the irrigation system's reliability, preventing watering disruptions and maintaining turf health. Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 86 CIP Project Descriptions PROJECT TITLE:Community Center Parking Lot Resurface FY 25/26 PROJECT BUDGET: $950,000 PRIMARY FUNDING: Community Center Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated PROJECT TITLE: CRC ADA Exterior Restroom FY 25/26 PROJECT BUDGET: $325,000 PRIMARY FUNDING: Community Center Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated PROJECT TITLE: Equipment Replacement (Golf Maintenance) - Reelmaster Mower FY 25/26 PROJECT BUDGET: $105,000 PRIMARY FUNDING: Community Center Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated PROJECT TITLE: Pusch Ridge Tennis Bleachers and ADA Accessibility FY 25/26 PROJECT BUDGET: $198,200 PRIMARY FUNDING: General Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated Replacement of Reelmaster mower which is past it's useful life and has a worn pump, worn hoses, high oil consumption, and needs a total reel and roller replacement. This project will replace the demolished, unsafe bleachers at the Pusch Ridge Tennis Facility with new, properly anchored bleachers on a cement slab. We will also add ADA-compliant pathways and a shade structure to enhance accessibility and comfort. This project will convert the former jacuzzi area into two ADA-compliant outdoor restrooms, addressing the need for accessible facilities for tennis/pickleball court users, especially when the indoor facility is closed. This project consists of removing and replacing the existing deteriorated asphalt pavement. Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 87 CIP Project Descriptions PROJECT TITLE:Steam Pump Ranch Farmer's Market Structure Upgrade FY 25/26 PROJECT BUDGET: $263,542 PRIMARY FUNDING: Capital Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated PROJECT TITLE: Vistoso Trails Nature Preserve Pond FY 25/26 PROJECT BUDGET: $2,000,000 PRIMARY FUNDING: Capital Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: PROJECT TITLE: Vistoso Trails Nature Preserve Site Improvements FY 25/26 PROJECT BUDGET: $200,000 PRIMARY FUNDING: Community Center Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: Approx $100k operating and maintenance cost annually Vistoso Trails Nature Preserve continued site improvements per the Master Plan Replacement of the damaged and demolished former shade structure structure used by the Heirloom Farmer's Market on the property. The FY 25/26 budget will complete the project, including installation of a misting system, utilizing carryover funds. Resurface and fill 2.5 acre pond at Vistoso Trails Nature Preserve. Includes treatment of pond edge and enclosure of mechanical equipment. Approx, $105,000 ($90,000 for yearly water and $15,000 for pond maintenance) Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 88 CIP Project Descriptions Public Facilities, Vehicles & Equipment PROJECT TITLE:680 Fuel Station Renovation FY 25/26 PROJECT BUDGET: $449,550 PRIMARY FUNDING:Capital Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: PROJECT TITLE: Annual Sidewalk Program FY 25/26 PROJECT BUDGET: $100,000 PRIMARY FUNDING: Capital Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: PROJECT TITLE: Facility Maintenance Program FY 25/26 PROJECT BUDGET: $299,000 PRIMARY FUNDING: General Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: No changes in operating costs anticipated Maintenance and rehabilitation of Town owned facilities. Annual repair and maintenance of Town owned facilities and assets are crucial to maintain and extend the useful life of the asset Design and construct a modern fuel station at 680 Calle Concordia which will improve efficiencies at the station Unknown at this time Town staff personnel inspect and evaluate existing sidewalk conditions throughout the town and contract all necessary repairs to contractors. None anticipated Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 89 CIP Project Descriptions PROJECT TITLE:Fuel Management Software (Gasboy Replacement) FY 25/26 PROJECT BUDGET: $70,000 PRIMARY FUNDING: Capital Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: Reduced maintenance costs PROJECT TITLE: Public Works Operations Laydown Yard (Electricity) FY 25/26 PROJECT BUDGET: $50,000 PRIMARY FUNDING: Highway Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: Unknown at this time PROJECT TITLE: Town Court Expansion FY 25/26 PROJECT BUDGET: $800,000 PRIMARY FUNDING: Capital Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: $6,500 - Minimal utility and maintenance cost increases with expanded building PROJECT TITLE:Vehicle Replacement Program FY 25/26 PROJECT BUDGET: $3,322,022 PRIMARY FUNDING: Capital Fund - $2,076,022 ADDITIONAL FUNDING: ADOT Grants - $1,171,000 Water Utility Fund - $75,000 PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: Reduced maintenance costs as aging vehicles are replaced Town Court building expansion to accommodate needs. The FY 25/26 budget will complete the project utilizing carryover funds. Annual replacement of vehicles across Town departments. Replacement of aging fleet helps control vehicle repair and maintenance costs. Vehicle reserves are set aside annually to fund replacements. Replace current Gasboy system with current technology to ensure that fueling continues to be served from 680 location This project will develop design plans for electrical, HVAC, plumbing, and interior office space at the Operations Laydown Yard building on N. La Cholla Blvd. Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 90 CIP Project Descriptions Public Safety PROJECT TITLE:3D Scene Scanner FY 25/26 PROJECT BUDGET: $138,000 PRIMARY FUNDING:General Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: $6,000 decreased software licensing cost PROJECT TITLE: Police Facility Programming FY 25/26 PROJECT BUDGET: $397,750 PRIMARY FUNDING: Capital Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated PROJECT TITLE: Police Vehicle for New Officer Position FY 25/26 PROJECT BUDGET: $96,000 PRIMARY FUNDING: Capital Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: Normal vehicle maintenance This project will involve consulting experts to design solutions for the police facilities. This follows a space needs assessment to ensure officers have a more efficient and effective workspace. Purchase and outfitting of a truck for a new Wellness Officer position. This project will upgrade to the Leica RTC360 3D scanner, a modern tool for precise and efficient crime scene documentation, replacing the slow and outdated FARO scanner to improve prosecution outcomes and reduce staff time. Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 91 CIP Project Descriptions Stormwater PROJECT TITLE:Oro Valley Drive Drainage and Pavement Improvement FY 25/26 PROJECT BUDGET: $300,000 PRIMARY FUNDING: Stormwater Utility Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: $3,500 O&M PROJECT TITLE: Sierra Wash at Glover Rd Infrastructure Repair & Rehabilitation FY 25/26 PROJECT BUDGET: $318,000 PRIMARY FUNDING: Federal FEMA grant $238,500 (estimated) ADDITIONAL FUNDING: Stormwater Utility fees (matching funds) PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated PROJECT TITLE: Sierra Wash at Via Mandarina Drainage Improvements FY 25/26 PROJECT BUDGET: $365,000 PRIMARY FUNDING: Federal FEMA grant $210,000 (estimated) ADDITIONAL FUNDING: Stormwater Utility fees (matching funds) PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated Drainage and pavement improvements to address standing water and storm runoff at Oro Valley Drive and the associated unnamed public drainageway. Improvements to the outlet apron protecting the box culvert and roadway from potential failure. The Stormwater Utility has submitted a federal Hazard Mitigation Grant Program application under FEMA. Repair and rehabilitation to Glover Road's culvert over Sierra Wash to mitigate the erosion and risk of structural undermining. This culvert is experiencing erosion due to natural channel downcutting, exposing and undermining the culvert's outlet cutoff wall. The Stormwater Utility has applied to a FEMA grant that will cover 75% of the project costs, with the remaining 25% funded by Stormwater Utility revenues. Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 92 CIP Project Descriptions Streets/Roads PROJECT TITLE:Annual Bridge Maintenance Program FY 25/26 PROJECT BUDGET: $100,000 PRIMARY FUNDING:Highway Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: $50,000 reduced O&M costs PROJECT TITLE: La Cañada Bridge Deck Repair (Northbound) FY 25/26 PROJECT BUDGET: $50,000 PRIMARY FUNDING: Highway Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated PROJECT TITLE: La Cañada Cobo Improvement FY 25/26 PROJECT BUDGET: $100,000 PRIMARY FUNDING: Highway Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated PROJECT TITLE: Lambert Lane MUP (La Cholla to Wild Creek Dr) FY 25/26 PROJECT BUDGET: $350,000 PRIMARY FUNDING: Highway Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated This program will focus on addressing nonstructural issues related to Town bridges identified in the latest report from the Arizona Department of Transportation (ADOT). The bridge deck has delaminated and needs major repair. The project consists of building a dedicated right turn lane on N. Placita el Cobo Drive and on La Cañada Drive into N. Placita El Cobo Drive. This project consists of designing and constructing a 10-foot-wide asphalt multi-use path south of Lambert Lane from La Cholla Blvd to Wild Creek Dr. Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 93 CIP Project Descriptions PROJECT TITLE:Pavement Preservation - Non Roadways FY 25/26 PROJECT BUDGET: $115,000 PRIMARY FUNDING: Capital Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: PROJECT TITLE: Pavement Preservation - Roadways FY 25/26 PROJECT BUDGET: $3,090,000 PRIMARY FUNDING: Highway Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: PROJECT TITLE: Rancho Vistoso & Woodburne Intersection FY 25/26 PROJECT BUDGET: $746,945 PRIMARY FUNDING: Roadway Impact Fee Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: Unknown at this time PROJECT TITLE: Shannon Road Improvements FY 25/26 PROJECT BUDGET: $400,000 PRIMARY FUNDING: Highway Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated This project will build a temporary local roadway and multi-use path from Naranja Drive to Tangerine Road to improve access and pedestrian safety until the full arterial upgrade is completed as part of a future planned wideningin the RTA Next Plan. Maintaining adequate funding for this program prevents future costly roadway reconstruction and rehabilitation Reconstruction of the Rancho Vistoso & Woodburne Intersection. The intersection is identified in the Town's Infrastructure Improvement Plan (IIP) as one of the projects used to determine growth development fee rates. As such, it is eligible to receive its share of collected development impact fees. Annual pavement preservation for non-roadway assets. Cost effective asphalt surface treatments will be applied to the Town's parking lots and multi-use paths to preserve and extend the service life. Maintaining adequate funding for this program prevents future costly reconstruction and rehabilitation Perform annual roadway treatments per the Town's pavement preservation and management program. Enhances and improves the roadway system Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 94 CIP Project Descriptions PROJECT TITLE:Summer Youth Transportation Art Program (Summer of 2025) FY 25/26 PROJECT BUDGET: $75,000 PRIMARY FUNDING: PAG/RTA Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated PROJECT TITLE: Traffic Signal at Tangerine Rd / Mussette Dr FY 25/26 PROJECT BUDGET: $750,000 PRIMARY FUNDING: Highway Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated This project consists of designing and installing a traffic signal at Tangerine Road and Mussette Drive. This project, will utilize PAG Highway User Revenue Funds, to design and construct public art with the Town's right-of-ways by local youth. The project is normally administered by the SAACA in coordination with the Public Works staff. Artwork, signage or landscaping projects may be eligible. The students’ concepts and techniques are aimed at humanizing the roadway system, enhancing urban gateway features, and helping define the unique identity of their respective communities. Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 95 CIP Project Descriptions Water System PROJECT TITLE:Booster Station HP Tank Replacement FY 25/26 PROJECT BUDGET: $170,000 PRIMARY FUNDING: Water Utility Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated PROJECT TITLE: Booster Station Rehabilitation FY 25/26 PROJECT BUDGET: $370,000 PRIMARY FUNDING: Water Utility Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated PROJECT TITLE: Control Systems - SCADA FY 25/26 PROJECT BUDGET: $325,000 PRIMARY FUNDING: Water Utility Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated PROJECT TITLE: La Posada Well Equipping FY 25/26 PROJECT BUDGET: $671,000 PRIMARY FUNDING: Water Impact Fee Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated Replacement of 5,000 gallon tank to meet all American Society of Mechanical Engineers (ASME) certification and standards Rehabilitate select booster stations to return the boosters to optimum operational efficiency and maintain system reliability Instrumentation replacement due to aging infrastructure that is not compatible with newer Supervisory Control and Data Acquisition (SCADA) equipment Complete the equipping at the La Posada development at First Avenue and Lambert Lane. This project will replace lost well capacity, maintain healthy groundwater capacity during periods of increased summer demand and system redundancy in the event of a CAP water outage. Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 96 CIP Project Descriptions PROJECT TITLE:NWRRDS (Independent) Booster Station at Partnered Reservoir FY 25/26 PROJECT BUDGET: $4,500,000 PRIMARY FUNDING: Water Impact Fee Fund ADDITIONAL FUNDING: Groundwater Preservation Fees PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: Unknown at this time PROJECT TITLE: NWRRDS (Independent) D-Zone Main from Twin Peaks Booster to Shannon Rd. Booster FY 25/26 PROJECT BUDGET: $14,000,000 PRIMARY FUNDING: Water Impact Fee Fund ADDITIONAL FUNDING: Groundwater Preservation Fees PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: Unknown at this time PROJECT TITLE: NWRRDS (Partnered) Pipeline Construction - Transmission Main FY 25/26 PROJECT BUDGET: $4,000,000 PRIMARY FUNDING: Water Impact Fee Fund ADDITIONAL FUNDING: Groundwater Preservation Fees PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated PROJECT TITLE: NWRRDS (Partnered) Reservoir Construction FY 25/26 PROJECT BUDGET: $1,000,000 PRIMARY FUNDING: Water Impact Fee Fund ADDITIONAL FUNDING: Groundwater Preservation Fees PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated This project consists of the construction of a booster station having a 4,000 acre-foot per year capacity that will pump recovered CAP water from the Partnered NWRRDS reservoir located near Lambert and Twin Peaks road to the Shannon Rd. Reservoir located near Shannon Rd. and Naranja Rd. Construction of a water transmission main having a 4,000 acre-foot per year capacity that will deliver recovered CAP water from the Independent NWRRDS booster station at the partnered reservoir to the NWRRDS Independent Shannon Rd. Reservoir located near Shannon Rd. and Lambert Ln. This project consists of the construction of a water transmission main having a 4,000 acre-foot per year capacity that will deliver recovered CAP water from the Independent NWRRDS booster station to the Independent NWRRDS reservoir located near Naranja and Shannon Rd. Partnered forebay reservoir construction to supply recovered CAP water to the NWRRDS booster station. Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 97 CIP Project Descriptions PROJECT TITLE:NWRRDS (Partnered) Well Equipping, TRICO power to sites and associated tasks FY 25/26 PROJECT BUDGET: $1,200,000 PRIMARY FUNDING: Water Impact Fee Fund ADDITIONAL FUNDING: Groundwater Preservation Fees PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated PROJECT TITLE: Reclaimed Facility Booster Rehabilitation FY 25/26 PROJECT BUDGET: $320,000 PRIMARY FUNDING: Water Utility Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated PROJECT TITLE: Reservoir Rehabilitation FY 25/26 PROJECT BUDGET: $200,000 PRIMARY FUNDING: Water Utility Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated PROJECT TITLE: Steam Pump Well FY 25/26 PROJECT BUDGET: $593,494 PRIMARY FUNDING: Water Impact Fee Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated Equip two partnered CAP water recovery wells with vertical turbine line shaft pumps and motors. Work also includes instrumentation and control as well as power to both sites. Annual reservoir rehabilitation program Well equipping and system tie-in for replacement of retiring well Engineering will begin the process of evaluating new more efficient booster pumps, motors, and maintenance on the facilities suction and discharge piping. Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 98 CIP Project Descriptions PROJECT TITLE:Water Meters- New Connections (based on 210 meters per year) FY 25/26 PROJECT BUDGET: $325,000 PRIMARY FUNDING: Water Utility Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated PROJECT TITLE: Well HP Tank Replacement FY 25/26 PROJECT BUDGET: $170,000 PRIMARY FUNDING: Water Utility Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated PROJECT TITLE: Well Rehabilitation FY 25/26 PROJECT BUDGET: $220,000 PRIMARY FUNDING: Water Utility Fund ADDITIONAL FUNDING: N/A PROJECT DESCRIPTION: ANNUAL OPERATING IMPACT: None anticipated Well HP Tank Replacement of 5000 gallon tank to meet all ASME certifications and standards Purchase meters for new water system connections Remove existing pumping unit, rehabilitate the existing well casing and install new pumping unit Town of Oro Valley FY 2025/26 Town Manager's Recommended Budget 99 Town Manager’s Recommended Budget Operations Budget Study Session May 5, 2025 1 Five – Year Forecast FY 24/25 Forecast FY 25/26 Forecast FY 26/27 Forecast FY 27/28 Forecast FY 28/29 Forecast FY 29/30 Forecast CAPITAL FUND Revenue 2,396,872 1,428,361 1,498,873 1,469,847 1,460,738 1,460,917 Transfers In 7,139,787 6,586,855 2,409,162 1,631,107 2,639,802 2,052,351 Inflows 9,536,659 8,015,215 3,908,036 3,100,954 4,100,541 3,513,268 O&M 61,403 61,703 62,012 62,330 62,658 62,658 Capital 8,316,569 1,730,000 8,383,500 4,029,800 3,069,500 4,076,000 Transfers Out 6,174,530 2,113,600 4,117,008 3,120,518 3,124,134 1,127,858 Outflows 14,552,502 3,905,303 12,562,520 7,212,649 6,256,292 5,266,516 Beginning Fund Balance 16,677,730 11,661,887 15,771,799 7,117,315 3,005,620 849,869 Ending Fund Balance 11,661,887 15,771,799 7,117,315 3,005,620 849,869 (903,380) 2 FY 25/26 Recommended Budget - $147.1 Million Capital 31% Personnel 30% O&M 28% Debt Service 6 % Contingency 5% Administrative Services 20% Public Safety 17% Public Works 16% Parks & Recreation 13% Water 34% 3 $150.8M vs. $147.1M – 2.4% Decrease Comparison to Current Year Adopted Budget $44.1 $39.2 $52.5 $7.7 $7.4 $44.4 $40.8 $45.3 $8.9 $7.6 $0 $10 $20 $30 $40 $50 $60 Personnel O&M Capital Debt Service Contingency FY 2024/25 Budget FY 2025/26 Budget Millions0.8%4.2% 2.4% -13.6% 16.4% 4 FY26 Personnel Recommended budget includes Police step increases from current MOU and 3% increases for other eligible non-sworn personnel PSPRS excess payment budgeted at $1,714,655 Medical insurance premiums flat Includes one additional police officer ACTUAL ADOPTED PROPOSED FY 2024/25 ADOPTED TO FY 2025/26 PROPOSED FY 2023/24 FY 2024/25 FY 2025/26 CHANGE TOTAL FULL-TIME POSITION FTE 355.00 355.00 358.00 3.00 TOTAL PART-TIME POSITION FTE 69.24 69.97 65.55 (4.42) TOTAL TOWNWIDE POSITION FTE 424.24 424.97 423.55 (1.42) Townwide FTEs for FY26 - Manager's Recommended Budget 5 FY26 O&M Drivers Departments directed to keep O&M flat Increases to O&M largely attributable to inflationary factors outside of Town control like: utility-rate increases property and casualty insurance credit card fees software license renewals CAP water charges 6 Fund Balance Report – FY2026 Recommended Budget Beginning Fund Balance Revenue Transfers In Personnel O&M Capital Debt Service Contingency Total Budget Appropriation Transfers Out Ending Fund Balance General Fund 18,933,292 57,373,584 - 36,726,168 14,951,551 211,000 - 2,000,000 53,888,719 7,288,279 17,129,877 Special Revenue Funds Community Center Fund 2,825,030 11,192,213 - 1,310,810 6,738,334 2,748,700 229,060 500,000 11,526,904 1,716,268 1,274,070 Highway Fund 1,421,774 4,623,169 2,000,000 1,359,886 1,317,935 4,790,000 - 200,000 7,667,821 - 577,122 Seizures & Forfeitures 342,860 40,000 - - 100,000 - - 282,860 382,860 - 282,860 Debt Service Fund 91,502 126,504 3,918,566 - 10,000 - 4,013,070 100,000 4,123,070 - 113,502 Capital Project Funds Capital Fund 16,868,939 1,538,926 5,000,000 - - 6,417,864 - 2,000,000 8,417,864 2,234,200 14,755,801 Grants & Contributions 17,815 1,689,950 361,950 - 771,500 1,171,000 - 100,000 2,042,500 - 127,215 TWDIF Fund 3,225,739 588,915 - - 4,287 746,945 - 300,000 1,051,232 - 3,063,422 PAG/RTA Fund 447,141 79,156 - - 80,000 75,000 - 120,000 275,000 - 371,297 Parks & Rec Impact Fee Fund 393,909 382,897 - - 2,001 - - 185,000 187,001 - 774,805 Police Impact Fee Fund 164,209 107,596 - - 572 - - 50,000 50,572 38,765 232,468 Rec In Lieu Fee Fund 18,776 800 - - - - - 18,216 18,216 - 19,576 Internal Service Funds Benefit Self Insurance Fund 3,412,422 4,673,870 - - 4,673,870 - - 500,000 5,173,870 - 3,412,422 Enterprise Funds Water Utility Fund 10,253,871 22,088,000 - 4,028,142 11,551,775 2,175,000 3,890,977 500,000 22,145,894 9,883,004 812,973 WRSDIF Fund 16,623,156 1,112,782 9,880,000 - 181,144 25,964,494 804,494 500,000 27,450,132 - 665,806 Stormwater Utility Fund 1,211,645 1,786,200 - 1,017,251 444,755 1,033,000 - 250,000 2,745,006 - 502,839 76,252,079 107,404,562 21,160,516 44,442,257 40,827,724 45,333,003 8,937,601 7,606,076 147,146,661 21,160,516 44,116,056 SOURCES USES 7 FY26 Townwide Revenues - $107,404,562 8 General Fund FY 25/26 Recommended Budget 9 General Fund 10 General Fund – Revenues, Expenditures and Fund Balance 11 Local Sales Tax Trend $20 $22 $24 $26 $28 $30 $32 Jul-20Aug-20Sep-20Oct-20Nov-20Dec-20Jan-21Feb-21Mar-21Apr-21May-21Jun-21Jul-21Aug-21Sep-21Oct-21Nov-21Dec-21Jan-22Feb-22Mar-22Apr-22May-22Jun-22Jul '22 Aug '22 Sep '22 Oct '22 Nov '22 Dec '22 Jan '23 Feb '23 Mar '23 Apr '23 May '23 Jun '23Jul '23 Aug '23 Sep '23 Oct '23 Nov '23 Dec '23 Jan '24 Feb '24 Mar '24 Apr '24 May '24 Jun '24Jul '24 Aug '24 Sep '24 Oct '24 Nov '24 Dec '24 Jan '25 Feb '25Local Sales Tax 12 Month Rolling in Millions FY 21/22 FY 22/23 FY 23/24 FY 20/21 FY 24/25 YTD 12 Local Sales Tax Trend - $2 $4 $6 $8 $10 $12 $14 Jul-20Aug-20Sep-20Oct-20Nov-20Dec-20Jan-21Feb-21Mar-21Apr-21May-21Jun-21Jul-21Aug-21Sep-21Oct-21Nov-21Dec-21Jan-22Feb-22Mar-22Apr-22May-22Jun-22Jul '22 Aug '22 Sep '22 Oct '22 Nov '22 Dec '22 Jan '23 Feb '23 Mar '23 Apr '23 May '23 Jun '23Jul '23 Aug '23 Sep '23 Oct '23 Nov '23 Dec '23 Jan '24 Feb '24 Mar '24 Apr '24 May '24 Jun '24Jul '24 Aug '24 Sep '24 Oct '24 Nov '24 Dec '24 Jan '25 Feb '25Retail Utilities Contracting Restaurant & Bar Remote Seller Hotel 12 Month Rolling in Millions 13 State Shared Income Tax Increased Share from 15% to 18%. Rate reduction To 2.5% -2.98% $5.9 $6.6 $6.2 $9.1 $12.8 $10.3 $9.6 $10.3 $10.8 $11.4 $11.9 2020 Actual 2021 Actual 2022 Actual 2023 Actual 2024 Actual 2025 Forecast 2026 Forecast 2027 Forecast 2028 Forecast 2029 Forecast 2030 Forecast Rate reduction to 2.5% flat tax 14 Police Department FY 25/26 Budget Recommendations 15 FY25/26 Department Budgets FY 24/25 Adopted FY 25/25 Recommended Variance Personnel $18,771,576 $19,046,763 $275,187 O&M 1,628,110 1,728,320 100,210 Capital 483,500 -(483,500) Total $20,883,222 $20,775,083 $(108,103) Police Department 16 Administration Division FY25/26 Police Department Budget New Pre-Academy Program Increase in Health & Wellness participation 17 Field Services Division FY25/26 Police Department Budget Scene Lights for UAS Program Urban SDK 18 Support Services Division FY25/26 Police Department Budget Upcoming Radio Changes Task Force Assignments 19 Revenue FY25/26 Police Department Budget Current fiscal revenue - $1 million. Funding items include: SRO Reimbursements - $650,000 (18 mon) Smart & Safe Funds - $285,000 Stonegarden Grant - $220,000 Performance Protocol - $125,000 GOHS Grants - $93,000 Opioid Settlements - $82,000 20 Conclusion FY25/26 Police Department Budget Oro Valley is the safest community ranked: #1 U.S. retirement towns determined by GoBankingRates #1 in Arizona by Safewise #3 in Arizona by Living AmberBlog #4 in Arizona by New Home Source Triple Accreditation Award Law Enforcement Operations Emergency Communications Center Property & Evidence 21 Oro Valley Town Court FY 25/26 Budget Recommendations 22 Town Court Major Accomplishments FY FY24/25 Completed the first three phases of Court Remodel within allocated budget Maintained a high level of service to Court Users during the construction project Goals for FY25/26: Complete all phases of the Court Remodel by November 2025 within allocated budget Maintained a high level of service to Court Users during the construction project 23 Town Court FY 24/25 Adopted FY 25/26 Recommended Variance Personnel $898,601 $811,506 $(87,095) O&M 224,950 277,474 52,524 Total $1,123,551 $1,088,980 $(34,571) 24 Parks & Recreation FY 25/26 Budget Recommendations 25 Parks & Recreation - Divisions FY 24/25 Adopted FY 25/26 Recommended Variance Administration $542,359 $542,359 $(60,828) Parks Management 1,898,069 1,950,254 52,185 Recreation & Culture 731,487 810,814 79,327 Aquatics 1,610,181 1,741,412 131,231 Community Center 7,498,683 8,278,204 779,521 Total $12,280,779 $13,262,215 $981,436 26 Parks & Recreation FY 24/25 Adopted FY 25/26 Recommended Variance Personnel $4,119,479 $4,281,766 $162,287 O&M 7,771,039 8,703,389 932,350 Capital 177,100 48,000 (129,100) Debt Service 213,161 229,060 15,899 Total $12,280,779 $13,262,215 $981,436 27 Community Center - Indigo Golf FY 24/25 Adopted FY 25/26 Recommended Variance Personnel $1,839,522 $1,992,268 $152,746 Food & Beverage 701,378 751,271 49,893 O&M 2,640,332 2,806,538 166,206 Equipment Leases 162,661 178,560 15,899 Total $5,343,893 $5,728,637 $384,744 28 Public Works FY 25/26 Budget Recommendations 29 Public Works - Divisions FY 24/25 Adopted FY 25/26 Recommended Variance Administration $1,906,658 $1,679,373 $(226,285) Fleet & Facilities Maintenance 2,902,633 2,685,891 (216,742) Transportation Engineering 5,023,303 5,009,321 (13,982) Street & Drainage Maintenance 1,137,000 838,500 (298,500) Stormwater 1,517,604 1,511,692 (2,912) Transit 3,008,826 3,384,494 375,668 Total $15,492,024 $15,109,271 $(382,753) 30 Public Works FY 24/25 Adopted FY 25/26 Recommended Variance Personnel $6,665,635 $6,520,015 $(145,620) O&M 4,194,939 4,253,256 58,317 Capital 4,631,450 4,336,000 (295,450) Total $15,492,024 $15,109,271 $(382,753) 31 Community and Economic Development Department FY 25/26 Budget Recommendations 32 CED - Divisions FY 24/25 Adopted FY 25/26 Recommended Variance Administration $373,635 $394,958 $21,323 Permitting 1,201,922 1,222,937 21,015 Planning 1,094,269 1,067,548 (26,721) Inspection and Compliance 813,731 787,437 (26,294) Economic Development 805,480 835,814 30,334 Total $4,289,037 $4,308,694 $19,657 33 Community and Economic Development (CED) FY 24/25 Adopted FY 25/26 Recommended Variance Personnel $3,196,068 $3,224,164 $28,096 O&M 1,092,969 1,084,530 (8,439) Total $4,289,037 $4,308,694 $19,657 34 Town Administration FY 25/26 Budget Recommendations 35 Administration Departments/Functions Town Manager’s Office Town Council Town Clerk Finance Legal Services Human Resources Information Technology Non- departmental 36 Highlights of Budget Changes Personnel – 1.4% Increase Compensation adjustments Operations & Maintenance – 2.9% decrease Elections costs Reductions in Travel & Training Reductions in Outside Professional Services Reduction in Minor Assets Increased Telecommunication Costs Increased Software Costs 37 Budget Comparison by Category FY 24/25 Adopted FY 25/26 Recommended Variance % Variance Personnel $6,440,564 $6,529,901 $89,337 1.4% O&M 4,938,997 4,796,288 (142,709)-2.9% Total $11,379,561 $11,326,189 $(53,372) -0.5% 38 Budget Comparison - Administrative Departments FY 24/25 Adopted FY 25/26 Recommended Variance % Variance Town Clerk $564,954 $460,959 $(103,995)-34.5% Finance 867,767 894,727 26,960 3.1% Human Resources 764,005 748,324 (15,681)-2.1% Information Technology 6,022,838 6,043,216 20,378 0.3% Town Manager’s Office 1,742,926 1,758,846 15,920 0.9% Town Council 241,102 216,158 (24,944)-10.3% Legal Services 1,175,969 1,203,959 27,990 2.4% Total $11,379,561 $11,326,189 $(53,372)-0.5% 39 Non-departmental Budget highlights Children’s Museum - $60,000 Greater Oro Valley Chamber of Commerce - $60,000 UA Center for Innovation - $30,000 General Liability and Property Insurance - $1,084,334 General Fund Vehicle Allocation - $1,028,926 40 Budget Comparison – Non-departmental and Other Uses FY 24/25 Adopted FY 25/26 Recommended Variance % Variance Non-departmental 2,721,603 2,960,504 238,901 8.8% Contingency 1,314,787 2,000,000 685,213 52.1% Transfers out 9,403,341 7,228,279 (2,115,062)-22.5% 41 General Fund Transfers Fund IN OUT GENERAL FUND To Capital Fund - CIP - 5,000,000 To Grants & Contributions Fund - 127,750 To Debt Service Fund - Debt Service - 2,160,529 TOTAL GENERAL FUND - 7,288,279 Interfund Transfers 2025/2026 42 Community Center Fund FY 25/26 Recommended Budget 43 Community Center Fund FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($)Budget (%) Revenues and Other Sources Local Sales Tax 3,879,440 3,859,524 3,972,920 93,480 2.4% Charges for Services 6,626,727 7,153,710 7,159,243 532,516 8.0% Interest Income 16,682 7,000 22,500 5,818 34.9% Miscellaneous 162,550 164,862 37,550 (125,000) -76.9% Total 10,685,399$ 11,185,096$ 11,192,213$ 506,813$ 4.7% Expenditures and Other Uses Personnel 1,222,583 1,217,540 1,310,810 88,227 7.2% Operations & Maintenance 6,003,439 5,621,074 6,738,334 734,895 12.2% Debt Service 213,161 210,684 229,060 15,899 7.5% Capital Outlay 1,792,500 1,408,737 2,748,700 956,200 53.3% Transfer to Debt Service Fund 1,717,149 1,717,149 1,716,268 (881) -0.1% Total 10,948,832$ 10,175,184$ 12,743,172$ 1,794,340$ 16.4% Increase/(Decrease)(263,433)$ 1,009,912$ (1,550,959)$ Beginning Fund Balance 2,825,030$ Ending Fund Balance 1,274,070$ 44 Highway Fund FY 25/26 Recommended Budget 45 Highway Fund FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($)Budget (%) Revenues and Other Sources Licenses and Permits 25,000 37,000 30,000 5,000 20.0% State Shared Revenues 4,283,146 4,288,907 4,491,669 208,523 4.9% Interest Income 150,000 100,000 99,000 (51,000) -34.0% Miscellaneous 3,000 3,231 2,500 (500) -16.7% Transfer from Capital Fund 4,000,000 4,000,000 2,000,000 (2,000,000) -50.0% Total 8,461,146$ 8,429,138$ 6,623,169$ (1,837,977)$ -21.7% Expenditures and Other Uses Personnel 1,333,798 1,322,820 1,359,886 26,088 2.0% Operations & Maintenance 1,281,505 1,256,505 1,317,935 36,430 2.8% Capital Outlay 5,481,000 5,034,086 4,790,000 (691,000) -12.6% Total 8,096,303$ 7,613,411$ 7,467,821$ (628,482)$ -7.8% Increase/(Decrease)364,843$ 815,727$ (844,652)$ Beginning Fund Balance 1,421,774$ Ending Fund Balance 577,122$ 46 Seizures & Forfeitures Fund FY 25/26 Recommended Budget 47 Seizures & Forfeitures Fund FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($)Budget (%) Revenues and Other Sources Seizures and Forfeitures 100,000 5,000 20,000 (80,000) -80.0% Interest Income 5,000 20,000 20,000 15,000 300.0% Total 105,000$ 25,000$ 40,000$ (65,000)$ -61.9% Expenditures and Other Uses Operations & Maintenance 100,000 35,000 100,000 - 0.0% Total 100,000$ 35,000$ 100,000$ -$ 0.0% Increase/(Decrease)5,000$ (10,000)$ (60,000)$ Beginning Fund Balance 342,860$ Ending Fund Balance 282,860$ 48 Debt Service Fund FY 25/26 Recommended Budget 49 Debt Service Fund FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($)Budget (%) Revenues and Other Sources Federal Subsidy 19,975 19,975 14,504 (5,471) -27.4% Interest Income 135,000 35,000 32,000 (103,000) -76.3% Miscellaneous 100,000 90,000 80,000 (20,000) -20.0% Transfer from General Fund 2,138,179 1,888,179 2,160,529 22,350 1.0% Transfer from Police Impact Fee Fund 42,718 42,718 38,765 (3,953) -9.3% Transfer from Comm Center Fund 1,717,149 1,717,149 1,716,268 (881) -0.1% Transfer from Water Utility Fund 2,333 2,333 3,004 671 28.8% Total 4,155,354$ 3,795,354$ 4,045,070$ (110,284)$ -2.7% Expenditures and Other Uses Operations & Maintenance 10,000 9,500 10,000 - 0.0% Debt Service 4,020,354 4,020,354 4,013,070 (7,284) -0.2% Total 4,030,354$ 4,029,854$ 4,023,070$ (7,284)$ -0.2% Increase/(Decrease)125,000$ (234,500)$ 22,000$ Beginning Fund Balance 91,502$ Ending Fund Balance 113,502$ 50 Capital Fund FY 25/26 Recommended Budget 51 Capital Fund FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($)Budget (%) Revenues and Other Sources State Grants 1,000,000 1,000,000 - (1,000,000) -100.0% Interest Income 348,382 500,000 470,000 121,618 34.9% Miscellaneous 115,000 60,800 40,000 (75,000) -65.2% Vehicle Reserves 933,490 933,490 1,028,926 95,436 10.2% Transfer from General Fund 7,139,787 7,139,787 5,000,000 (2,139,787) -30.0% Total 9,536,659$ 9,634,077$ 6,538,926$ (2,997,733)$ -31.4% Expenditures and Other Uses Operations & Maintenance - 166,836 - - 0.0% Capital Outlay 9,327,757 5,101,501 6,417,864 (2,909,893) -31.2% Transfer to Grants Fund 2,174,530 174,530 234,200 (1,940,330) -89.2% Transfer to Highway Fund 4,000,000 4,000,000 2,000,000 (2,000,000) -50.0% Total 15,502,287$ 9,442,867$ 8,652,064$ (6,850,223)$ -44.2% Increase/(Decrease)(5,965,628)$ 191,210$ (2,113,138)$ Beginning Fund Balance 16,868,939 Ending Fund Balance 14,755,801$ 52 Grants & Contributions Fund FY 25/26 Recommended Budget 53 Grants & Contributions Fund FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($)Budget (%) Revenues and Other Sources Federal Grants 3,209,195 767,195 1,019,550 (2,189,645) -68.2% State Grants 853,400 203,400 103,400 (750,000) -87.9% Interest Income 25,000 6,000 6,000 (19,000) -76.0% Miscellaneous 526,000 - 561,000 35,000 6.7% Transfer from General Fund 125,375 125,375 127,750 2,375 1.9% Transfer from Capital Fund 2,174,530 - 234,200 (1,940,330) -89.2% Total 6,913,500$ 1,101,970$ 2,051,900$ (4,861,600)$ -70.3% Expenditures and Other Uses Operations & Maintenance 670,950 205,950 771,500 100,550 15.0% Capital Outlay 6,014,150 692,650 1,171,000 (4,843,150) -80.5% Total 6,685,100$ 898,600$ 1,942,500$ (4,742,600)$ -70.9% Increase/(Decrease)228,400$ 203,370$ 109,400$ Beginning Fund Balance 17,815$ Ending Fund Balance 127,215$ 54 PAG/RTA Fund FY 25/26 Recommended Budget 55 PAG/RTA Fund FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($)Budget (%) Revenues and Other Sources State Grants 17,000 17,000 30,000 13,000 76.5% Charges for Services 28,125 35,156 35,156 7,031 25.0% Interest Income 50,000 14,500 14,000 (36,000) -72.0% Total 95,125$ 66,656$ 79,156$ (15,969)$ -16.8% Expenditures and Other Uses Operations & Maintenance - 50,000 80,000 80,000 0.0% Capital Outlay 50,000 - 75,000 25,000 50.0% Total 50,000$ 50,000$ 155,000$ 105,000$ 210.0% Increase/(Decrease)45,125 16,656 (75,844) Beginning Fund Balance 447,141$ Ending Fund Balance 371,297$ 56 Townwide Roadway Development Impact Fee Fund FY 25/26 Recommended Budget 57 Townwide Roadway Development Impact Fee Fund FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($)Budget (%) Revenues and Other Sources Impact Fees 230,027 592,971 488,915 258,888 112.5% Interest Income 38,000 95,000 100,000 62,000 163.2% Total 268,027$ 687,971$ 588,915$ 320,888$ 119.7% Expenditures and Other Uses Operations & Maintenance - 6,429 4,287 4,287 0.0% Capital Outlay 100,000 6,500 746,945 646,945 646.9% Total 100,000$ 12,929$ 751,232$ 651,232$ 651.2% Increase/(Decrease)168,027$ 675,042$ (162,317)$ Beginning Fund Balance 3,225,739$ Ending Fund Balance 3,063,422$ 58 Parks and Recreation Impact Fee Fund FY 25/26 Recommended Budget 59 Parks & Recreation Impact Fee Fund FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($)Budget (%) Revenues and Other Sources Impact Fees 160,464 200,612 364,897 204,433 127.4% Interest Income 15,000 11,000 18,000 3,000 20.0% Total 175,464$ 211,612$ 382,897$ 207,433$ 118.2% Expenditures and Other Uses Operations & Maintenance - 3,000 2,001 2,001 0.0% Total -$ 3,000$ 2,001$ 2,001$ 0.0% Increase/(Decrease)175,464$ 208,612$ 380,896$ Beginning Fund Balance 393,909$ Ending Fund Balance 774,805$ 60 Police Impact Fee Fund FY 25/26 Recommended Budget 61 Police Impact Fee Fund FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($)Budget (%) Revenues and Other Sources Impact Fees 44,035 132,227 104,596 60,561 137.5% Interest Income 350 2,500 3,000 2,650 757.1% Total 44,385$ 134,727$ 107,596$ 63,211$ 142.4% Expenditures and Other Uses Operations & Maintenance - 857 572 572 0.0% Transfer to Debt Service Fund 42,718 42,718 38,765 (3,953) -9.3% Total 42,718$ 43,575$ 39,337$ (3,381)$ -7.9% Increase/(Decrease)1,667$ 91,152$ 68,259$ Beginning Fund Balance 164,209$ Ending Fund Balance 232,468$ 62 Recreation In Lieu Fee Fund FY 25/26 Recommended Budget 63 Recreation in Lieu Fee Fund FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($)Budget (%) Revenues and Other Sources Interest Income 500 800 800 300 60.0% Total 500$ 800$ 800$ 300$ 60.0% Expenditures and Other Uses Capital Outlay - - - - 0.0% Total -$ -$ -$ -$ 0.0% Increase/(Decrease)500$ 800$ 800$ Beginning Fund Balance 18,776 Ending Fund Balance 19,576$ 64 Benefit Self Insurance Fund FY 25/26 Recommended Budget 65 Benefit Self Insurance Fund 66 Oro Valley Water Utility FY 25/26 Recommended Budget 67 Water Utility FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($)Budget (%) Revenues and Other Sources Charges for Services 3,424,000 3,427,168 3,457,000 33,000 1.0% Interest Income 100,000 300,000 100,000 - 0.0% Miscellaneous - 48,000 20,000 20,000 0.0% Water Sales 18,000,000 17,781,054 18,511,000 511,000 2.8% Bond Proceeds - 2,433,820 - Loan Proceeds 8,000,000 4,807,200 - (8,000,000) -100.0% Total 29,524,000$ 28,797,242$ 22,088,000$ (7,436,000)$ -25.2% Expenses and Other Uses Personnel 3,992,428 3,739,348 4,028,142 35,714 0.9% Operations & Maintenance 11,198,284 11,222,017 11,551,775 353,491 3.2% Capital Outlay 1,785,330 1,581,058 2,175,000 389,670 21.8% Debt Service 3,391,568 3,391,568 3,890,977 499,409 14.7% Transfer to Debt Service Fund 2,333 2,333 3,004 671 28.8% Transfer to Impact Fee Fund 6,860,000 8,000,000 9,880,000 3,020,000 44.0% Cash Total *27,229,943$ 27,936,324$ 31,528,898$ 4,298,955$ 15.8% Increase/(Decrease)2,294,057$ 860,918$ (9,440,898)$ Beginning Fund Balance 10,253,871 Ending Fund Balance 812,973$ 68 FY25/26 Department Budgets FY 24/25 Adopted FY 25/26 Recommended Variance Personnel $3,992,428 $4,028,142 $35,714 O&M* 11,198,284 11,551,775 353,491 Capital 1,785,330 2,175,000 389,670 Debt Service 3,393,901 3,893,981 500,080 Other Financing Uses 6,860,000 9,880,000 3,020,000 Total $27,229,943 $31,528,898 $4,298,955 Water Utility * amount excludes depreciation and amortization 69 Water Impact Fee Fund (WRSDIF) FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($)Budget (%) Revenues and Other Sources Federal Grants 1,638,383 1,788,383 - (1,638,383) -100.0% Impact Fees 1,270,841 1,190,590 937,782 (333,059) -26.2% Interest Income 275,000 300,000 175,000 (100,000) -36.4% Bond Proceeds - 3,650,730 - - 0.0% Loan Proceeds 12,000,000 7,210,800 - (12,000,000) -100.0% Transfer From Water Utility Fund 6,860,000 8,000,000 9,880,000 3,020,000 44.0% Total 22,044,224$ 22,140,503$ 10,992,782$ (11,051,442)$ -50.1% Expenditures and Other Uses Operations & Maintenance 162,000 222,734 181,144 19,144 11.8% Debt Service 55,711 55,711 804,494 748,783 1344.0% Capital Outlay 26,485,424 17,670,930 25,964,494 (520,930) -2.0% Total 26,703,135$ 17,949,375$ 26,950,132$ 246,997$ 0.9% Increase/(Decrease)(4,658,911)$ 4,191,128$ (15,957,350)$ Beginning Fund Balance 16,623,156$ Ending Fund Balance 665,806$ 70 Oro Valley Stormwater Utility FY 25/26 Recommended Budget 71 Stormwater Utility FY 2025 FY 2025 FY 2026 Variance with Variance with Budget Projected Budget Budget ($)Budget (%) Revenues and Other Sources Federal Grants 210,000 - 239,200 - 13.9% Charges for Services 1,518,500 1,527,949 1,527,000 8,500 0.6% Interest Income 19,000 40,000 20,000 1,000 5.3% Total 1,747,500$ 1,567,949$ 1,786,200$ 38,700$ 2.2% Expenses and Other Uses Personnel 1,018,770 965,603 1,017,251 (1,519) -0.1% Operations & Maintenance 425,834 384,543 444,755 18,921 4.4% Capital Outlay 735,000 70,000 1,033,000 298,000 40.5% Cash Total *2,179,604$ 1,420,146$ 2,495,006$ 315,402$ 14.5% Increase/(Decrease)(432,104)$ 147,803$ (708,806)$ Beginning Fund Balance 1,211,645 Ending Fund Balance 502,839$ 72 Summary Townwide & General Fund Budget Parameters 1 new police officer is only addition to FTEs Flat O&M budget, except for budget drivers such as utilities, insurance, etc. General Fund meets 30% fund balance reserve policy Townwide budget significant CIP project is NWRRDS Budget is structurally balanced 73