FY 2020-21 Budget Workshop (July 29)

1. BUDGET WORKSHOPS – DAY 3
Hotel Tax Fund and Outside Agencies
July 29, 2020
City of College Station

2. ✓ Hotel Tax Overview
✓ City Departments
✓ Hotel Tax Capital
✓ Hotel Tax Agencies
✓ General Fund Agencies
✓ Proposed Property Tax Rate Discussion
AGENDA – BUDGET WORKSHOPS – DAY 3
THE GENERAL FUND

3. HOTEL TAX FUND
City of College Station

4. 4
HOTEL TAX FUNDS
HOT Revenue is budgeted 73% below FY20
budgeted revenue
• FY20 Projected to be ($2.6M) below budget or (44%)
• FY21 Forecasted to be down another ($1.7M) or (52%)
• Revenue was up 6% pre-COVID-19
$113,595 in deferments to date
Revenue reduction not anticipated
to pick up until FY23
HOT Tax Revenues
'- 0
1,500,000
3,000,000
4,500,000
6,000,000
FY18 FY19 FY20 FY21 *FY22 *FY23 *FY24 *FY25

5. 5
HOT FUNDED CITY DEPARTMENTS
• Experience Bryan College Station
brought in-house under Economic
Development and will focus on
tourism.
• TAMU Preferred Access Payment
anticipated to be higher for FY20 and
FY21.
• Administration is HOT Tax collection for
Hotels and Short Term Rentals

6. • Separate from EBCS
• Dissolving Corporation
• Assets & Liabilities
• Continue Tourism Efforts
• Framework of CS Tourism
• Sales & Servicing
• Marketing
• Partnerships
• Implement
• Realignment
UNITING TOURISM WITH ECONOMIC DEVELOPMENT
Separation
Establish
City
Framework
Implement

7. 7
EBCS/CITY TOURISM FUNCTION
Function FY 20 EBCS FY 21COCS
Personnel Costs $ 970,080 $ 727,223
Marketing/Sales Servicing 1,413,263 1,295,799
Other Costs 299,343 196,978
Grants 669,114 1,100,000
Grand Total $ 3,351,800 $ 3,320,000

8. 8
HOT CAPITAL PROJECTS
• Design is progressing for the Texas Independence Ballpark at Midtown
• Construction has been delayed until at least FY23
• Elimination of Veteran’s Park Phase II

9. 9
HOTEL TAX FUND FIVE YEAR FORECAST(000's)
FY20 YEE FY21 FY22 FY23 FY24 FY25
Beginning Fund Balance
Assigned & Unassigned
$ 17,762 $ 16,193 $ 12,155 $ 9,138 $ 1,622 $ 1,064
Revenues 3,438 1,996 3,800 4,815 5,339 5,585
4,429City Tourism Operations 1,557 4,411 4,476 4,642 5,060
Outside Agencies 3,018 462 471 480 490 500
Capital Projects 6
427
250
894
900
1,035
6,605
770
0
765
0
761Preferred Access
Total Expenditures 5,008 6,035 6,817 12,331 5,897 6,321
Surplus/(Deficit)
$
(1,569)
$
(4,038)
$
(3,017)
$
(7,515)
$ (558) $ (736)
Assigned Fund Balance 11,630 6,630 6,630 0 0 0
Ending Unassigned Fund Balance $ 4,563 $ 5,525
$
2,508
$ 1,622 $ 1,064 $ 328

10. 10
Easterwood Advertising – not funded for FY21
Arts Council Affiliate Funding– decrease 10%
B/CS Chamber of Commerce – decrease 10%
Veterans Memorial – decrease 10%
HOT AGENCY FUNDING
Outside agencies reduction 10% reduction from last year

11. 11
Outside agencies reduction 5% reduction from last year
GENERAL FUND AGENCIES
Health District – 10% increase from FY20 budgeted level of $434,572
Aggieland Humane – decrease 5% to $248,520
Art’s Council – general fund – decrease 5% to $33,250
BVEDC – submission = $350,000
Lions Club – decrease 5% to $16,625
Appraisal District – submission (estimated) $415,193
Keep Brazos Beautiful (Solid Waste) – decrease 5%

12. QUESTIONS / DISCUSSION / DIRECTION
City of College Station

13. PROPOSED TAX RATES
Rates above are stated cents per $100 assessed valuation
Property Values 1 cent = approx. $800,000
Current Rate Change Proposed FY21
Debt Service Fund 22.1444 (0.5000) 21.6444
General Fund 31.3174 0.5000 31.8174
53.4618 0.0000 53.4618
No New Revenue Rate TBD
Voter Approval Rate TBD
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14. THE END!
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