Budget Highlights Public Information Meeting 2/22/12 $ 81.8 million

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Budget Highlights

Public Information Meeting 2/22/12

$ 81.8 million

Fiscal Year 2012/13

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FY 2012/13 Balanced Budget

“Stays the course” and “follows the financial plan”

we established several years ago and continues our history of:

Maintaining healthy cash reserves Significant General Fund levy growth

available Conservative spending Stable revenue streams Strong fiscal planning and adherence to

fiscal policies

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As part of that plan we continue to seek the proper “balance” in three key areas:

Recognizing the need for human resources and operating budgets to grow as the City grows. Must preserve the high quality of services our Citizens have grown to expect.

VS.

Sustaining FROZEN operating budgets long term (6 years). May lose sight of being responsive to needs of the City.

Funding an aggressive CIP program needed to support our growing community with quality amenities, and as a result, accepting that we may have a higher Debt Levy Rate and Debt Margin Ratio than comparable Cities

VS.

Picking an arbitrary Debt Levy Rate or Debt Margin Ratio to live within……that may not allow the growth needed to maintain/upgrade our existing infrastructure or satisfy our future needs as a growing community

Making difficult decisions of increasing revenues through taxes and user fees “incrementally” to “pay as you go” as our costs increase

VS.

Deferring or holding off on raising fees and taxes and later having to “spike” the rates to balance the budget

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We recommend a balance within those three key areas by:

1) Continuing our conservative spending:

We recognize the need in several areas to add personnel and increase corresponding operating costs as the City continues to grow,

But find it prudent to wait for the outcome of Governor’s Commercial Property Tax Rollback proposal and potential capping of future growth from property tax revenue - Link

Impact: Most operating budgets continue to be frozen, but adequately

fund all current City services and public safety operations

Recommend deferring the Fire Chief’s staffing plan to future years

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Property Tax Legislation Major Points of Impact for Cities

Introduces property tax exemption for commercial and industrial property

Establishes 40% rollback for commercial and industrial property phased in at 5% per year for 8 years

Provides for commercial property tax backfill

Establishes property tax limitations for local governments on all property classes based on Consumer Price Index

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Property Tax LegislationBudget Impact:

Fiscal Year Exemption & Rollback Backfill needed with no growth

(Not guaranteed 100% of backfill needed)

FY 14/15 15% exempt, 95% rollback $631,212

FY 15/16 15% exempt, 90% rollback $933,622

FY 16/17 15% exempt, 85% rollback $1,236,033





FY 21/22 No exemption, 60% rollback $2,550,804

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Recommended balance of three key areas continued:

2) Funding Aggressive CIP Program previously discussed:

Supports our growing community’s infrastructure needs (New and existing Roads, Stormwater improvements,

Sewer expansion)

Maintains and enhances our City’s Cultural and Recreation amenities (FMAS exhibits, Parks, Recreation Trails, Golf improvements etc.)

Impact: Maintains Debt Levy Rate at $5.00 per $1,000 assessed

taxable valuation

Maintains legal Debt Margin Ratio at approximately 75%

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Recommended balance of three key areas continued:

3) Lastly, continuing our practice of “raising revenues incrementally” to “ pay as we go” as our annual costs increase:

User Fees: Recommend “planned” incremental increases in several Enterprise Funds’ user

fees: 3% Garbage, $.20 Sewer, $.35 Stormwater . The increased user fees will continue to

allow those operations to be self-sufficient and are primarily project driven.

Property Taxes: Staff recommends lowering current levy rate $.10, from $12.60 to $12.50. However, despite the levy rate reduction, taxes on residential property will

increase: 4.58% increase in the state mandated rollback on residential property (48.53%

to 50.75%); and 1.8% average increase in assessed valuations city wide.

Net of the reduction in the levy rate, we will still benefit from $1.2 million of additional taxes needed to support current City operations.

Bettendorf continues to realize Excellent Growth in our tax base which allows greater flexibility for budget priorities. Gross values increased $109.5M or 4%. ($84.9M new construction, $24.6M re-valuations by Co Assessor)

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Fiscal Year 2012/13Where the City’s money comes from:

Property taxes31%

TIF revenues3.00%

Other city taxes11.75%

Licenses & permits0.99%Use of money

1.24%

Intergovernmental7.24%

Charges for services23.99%

Special as-sessments

0.04%

Miscellaneous2.97%

Bond proceeds15.55%

Other financing sources1.88%

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Fiscal Year 2012/13Where the City’s money goes:

Public Safety13.94%Public

Works4.99%

Debt Service13.37%

Culture & Recreation

5.99%

Community & Economic

Develop-ment3.10%

General Government5.26%

Capital Projects20.50%

Business Type/Enterprises32.84%

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Budget Highlights - FY 2012/13 Balanced Budget:

Bettendorf is one of a few Iowa cities with it’s general fund levy rate significantly below $8.10. Allows 32.4% levy growth equating to $4.53 million of potential property taxes

FY 11/12 FY 12/13

General Fund $5.49661 $5.47886

Health Insurance 1.11887 1.00056

Liability Insurance

.31872 .33719

Police & Fire Pension

.66580 .68339

Debt Service 5.00 5.00

New Levy Rate $12.60 $12.50

1) $.10 REDUCTION in the City’s Levy Rate: $12.50

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Annual Property Tax Impact:

Residential Increase/Decrease @ 12.60

Increase/Decrease @ 12.50 Difference

$100,000 Assessed Value

+$28.00 ($2.33 per month)

+$23.41 ($1.95 per month)

$4.59$0.38 per month

$162,235 Assessed Value (Median)

+$45.42($3.78 per month)

+$37.67 ($3.14 per month)

$7.75$0.65 per month

$250,000 Assessed Value

+$69.99 ($5.83 per month)

+$57.79 ($4.82 per month)

$12.20$1.02 per month

Commercial Increase/Decrease @ 12.60

Increase/Decrease@ 12.50

Difference

$253,510 Assessed Value (Median) No Change -$25.35

(-$2.11 per month)$25.35

($2.11 per month)

$500,000 Assessed Value No Change -$50.00

(-$4.67 per month)$50.00

($4.67 per month)

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Taxes Current YearHow We Compare to Other Cities?In order by Levy Rate of all Iowa cities with populations over 20,000, plus Clive

CensusTaxable Value for

FY 12/13Taxable Value

per Capita

Total Proposed

Levy

Proposed General Fund

LevyUrbandale 39,463 2,267,842,686$ 57,468$ 9.62$ 7.17$ Clive 15,447 1,130,282,183$ 73,172$ 9.97$ 7.14$ Ames 58,965 2,239,846,934$ 37,986$ 10.72$ 5.83$ Dubuque 57,637 2,106,760,803$ 36,552$ 10.78$ 8.10$ Ankeny 45,582 2,077,447,740$ 45,576$ 11.18$ 7.03$ West Des Moines 56,609 3,760,753,897$ 66,434$ 12.05$ 8.10$ Cedar Falls 39,260 1,401,199,407$ 35,690$ 12.20$ 8.10$ Bettendorf 33,217 1,788,749,827$ 53,850$ 12.50$ 5.48$ Mason City (FY 11/12 Levy Rates) 28,079 1,008,218,704$ 35,907$ 13.57$ 8.10$ Marion 34,768 1,227,370,278$ 35,302$ 13.62$ 8.10$ Marshalltown (FY 11/12 Levy Rates) 27,552 775,799,102$ 28,158$ 14.51$ 8.10$ Burlington 25,663 656,817,649$ 25,594$ 15.02$ 8.10$ Cedar Rapids 126,326 5,687,145,890$ 45,020$ 15.22$ 8.10$ Clinton (FY 11/12 Levy Rates) 26,885 943,456,170$ 35,092$ 15.33$ 8.10$ Muscatine 22,886 781,443,576$ 34,145$ 15.77$ 8.10$ Sioux City 82,684 2,318,090,072$ 28,036$ 16.51$ 8.10$ Des Moines (FY 11/12 Levy Rates) 203,433 6,440,220,679$ 31,658$ 16.58$ 8.10$ Davenport 99,685 3,947,966,201$ 39,604$ 16.78$ 8.10$ Iowa City 67,862 2,946,951,863$ 43,426$ 17.84$ 8.10$ Council Bluffs (FY 11/12 Levy Rates) 62,230 2,349,585,815$ 37,756$ 17.85$ 8.10$ Waterloo (FY 11/12 Levy Rates) 68,406 2,290,335,896$ 33,482$ 18.53$ 8.10$ Fort Dodge (FY 11/12 Levy Rates) 25,206 624,130,482$ 24,761$ 19.93$ 8.10$ Ottumwa (FY 11/12 Levy Rates) 25,023 622,356,319$ 24,871$ 20.03$ 8.10$ Average of 23 Cities 55,342 2,147,511,834$ 39,545$ 14.61$ 7.76$

(1) At 5.48, Bettendorf's General Fund levy rate is the lowest among the sample. *Source: Iowa Department of Management - Local Budget Division

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2. Provides funding for all existing City services:

Maintains stable operating budgets. Largest increases resulting from utilities and fuel related costs. Continues close monitoring of over-time

Defers Fire Chief’s staffing plan and eliminates 1 FT Grant Administrator position through a retirement

Continued commitment towards Code Enforcement Program and rental inspections: $115,000

Funds salary study for non-union employees: $20,000

Funds wage increases for all union and non-union employees

FY 2012/13 Budget Highlights

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Union Settlements

Bargaining Unit FY 12/13

Fire 2.75% COLA

Police 3% COLA.25% Deferred

AFSCME - General 3.25% COLA

AFSCME - Library 3.25% COLA

Non-Union Employees 3.25% COLA

Funds third year of four year contracts with all of our bargaining units

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FY 2012/13 Budget Highlights:3) Projects Major Revenues to remain Stable

Revenue source: FY 07/08 FY 08/09 FY 09/10 FY 10/11FY 11/12

Projected FY 12/13

Property taxes 16,763,147 18,384,425 19,267,371 19,829,519 20,802,329 22,024,091

Charges for Services 11,837,342 13,139,508 14,460,857 15,468,962 16,002,459 16,857,932 Local Option Sales Tax (Census) 4,375,125 4,183,906 4,123,192 4,379,062 4,610,000 4,656,100

Road Use Tax (Census) 2,678,338 2,590,668 2,724,484 2,981,875 3,140,000 3,209,000

Gaming 2,076,120 1,912,972 1,684,304 1,658,400 1,620,000 1,670,000

Interest Earnings 1,792,190 1,484,476 935,570 583,842 848,663 868,280

Hotel/Motel Tax 879,403 774,409 781,543 803,119 805,000 805,000

Building Permits 468,244 364,989 547,500 503,290 577,000 577,000

Utility Tax 684,244 747,401 755,748 707,752 748,317 750,000

Cable Franchise 392,338 368,246 374,172 379,885 380,000 380,000

Total Major Revenues 45,119,476 47,387,665 49,043,048 50,695,706 52,933,768 55,197,403

Total All Revenues Net of Bond Proceeds, Other Financing Sources and Intergovernmental 46,701,691 49,590,088 51,498,057 53,452,285 54,224,405 56,133,542

10 Major Revenues as a % of All Revenues 96.61% 95.56% 95.23% 94.84% 97.62% 98.33%

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Building Permit HistorySummary of Building Permits Issued by the City of Bettendorf

CalendarYear Number Value Number Value2011 3,294 $81,802,346 (b) 108 $34,107,9432010 2,951 $58,148,406 115 $28,361,9802009 2,700 $58,504,974 77 $21,057,1982008 3,095 $43,946,075 96 $24,200,9962007 3,420 $78,686,737 134 $37,831,5732006 3,680 $100,236,047 (a) 154 $34,873,9282005 3,717 $66,134,674 194 $41,928,3192004 3,397 $68,651,169 146 $30,265,1512003 3,247 $57,729,471 120 $25,087,0802002 2,980 $71,998,617 85 $19,495,4812001 3,392 $40,678,917 144 $26,184,0822000 3,487 $45,339,525 143 $24,158,5461999 3,740 $44,998,573 158 $26,947,091

(a) The signif icant increase in value of total permits from 2005 to 2006 w as due to construction of the Isle of Capri Hotel; the Clarissa Cook Hospice House; the ORA Medical Facility; the Glen shopping center; Hy-Vee grocery store; Logan Contractor Supply building; Armstrong Elementary School; the Crow Ridge Plaza retail facility; The Fountains Senior Living complex; and Southeast National Bank

(b) Taxes on value of permits issued in 2011 w ill be collectible in FY 13/14.

All PermitsNew Single-Family Attached &

Detached Homes

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FY 2012/13 Budget Proposes:4) All Major Fund Balances to remain stable

City of BettendorfFund Balance History, Major FundsFiscal year 2012/13 Budget Review

FundFY 07/08 Actual

FY 08/09 Actual

FY 09/10 Actual

FY 10/11 Actual

FY 11/12 Projected

FY 12/13 Projected

General 5,100,358 5,240,760 5,267,035 5,358,631 5,359,407 5,359,779

% of expenditures 26.25% 26.95% 26.09% 26.49% 25.82% 24.87%

Road Use 814,360 290,135 365,996 382,553 383,807 388,503

% of expenditures 25.06% 6.80% 10.87% 10.57% 11.19% 11.08%

Gaming 2,285,361 2,252,195 681,544 85,692 103,954 314,564

Sales Tax 2,960,922 2,428,645 638,608 923,114 268,875 141,318

Vehicle 1,420,612 931,210 726,276 885,395 1,133,318 832,962

Electronic Equipment 1,101,573 825,177 769,568 675,351 600,759 570,419

Health Insurance 977,293 980,367 987,458 948,792 948,792 948,792

Risk Management 612,146 612,224 627,788 630,737 630,737 630,737

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FY 2012/13 Budget Highlights:

5) Health Insurance – Continued aggressive management of

our Health Insurance Fund. Recommend renewal with Wellmark with 6%

increase in “total projected maximum costs” vs. 11% national

History of health claims: 8 year average increase 4.17% (National average 11%)

Increase Specific Stop Loss from $50K to $70K Ample cash reserves in excess of $1 million are

available to fund claims up to maximum aggregate attachment point (125% of expected claims)

Health Committee continues to meet regularly to monitor our existing health care plan

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FY 2012/13 Budget Highlights:6) Liability Insurance – Total Liability Insurance up $89,736 or 14.15%.

Workers Compensation Fees up: $39,851 or 10%

Increased Mod rate from 1.13 to 1.20 due to Actual Losses exceeding Expected losses in each of last 3 three years AND our last “good” year of actual losses dropped off – 2008

Striving to manage our Work Comp insurance costs although…..

Continue to have increased wages 7% to 21% State of Iowa published rate increases on

various job classifications

Third year of equity refund on Property Insurance from ICAP dropped off: $35,430

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FY 2012/13 Budget Highlights: 7) Gaming Revenue - $1.670 million

$1.464 million allocated to supplement operating budgets for:

Enterprise Funds - $888,688 down from $1,047,663 current year

Road Use Fund (salt) - $250,000 Economic Development - $205,702 Other Funds - $120,000

If not for Gaming Revenue, user fees would be significantly higher or property taxes would be needed to supplement budgets.

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8) Community Improvement Program 2012 Construction Season: $15.2 million

$2.15 million: 2nd Phase of Tanglefoot, 18th Street to Greenbrier: 3 lanes with 10’ separated recreation trail on north side, preliminary work on phase III$1.075 million: 1st Phase of Hopewell Ave paving, Middle Rd to east line of Century Heights to 18th addition.$1.85 million: Utica Ridge Road: Spruce Hills Dr to Tanglefoot Lane – 5 lane $1.68 million: Various separated trails: Along Middle Rd from Devils Glen to Duck Creek ($742,000 Federal Funding) and along Devils Glen Rd east side from Middle Rd to Devils Glen park and start of phase II north of Middle Rd to Crow Creek Park$1.5 million: Sealcoat Replacements including 25th Street – Oak to Glen; Cody – 25th to 26th Street; Elm Street from 35th Street 700 feet east to bike trail to overlook$1.445 million: 29th Street: Maplecrest Drive to Tanglefoot Lane$965,000: Various Street Overlays $685,000: Various Undesignated Street Reconstruction$565,000: Various Sidewalks

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Community Improvement Program 2012 Construction Season: $15.2 million

$500,000: Street patching throughout the City$500,000: Recreation Trails along Crow Creek from Devils Glen to Field Sike; Highway 67 at Crow Creek to east City limits at Harbor Dr $455,000: Annual Funding for Parks Projects ($160,000 Grants)$375,000: Various Traffic Projects $300,000: Various Alley improvements $250,000: I-80 Water main extension $200,000: Forrest Grove sealcoat replacement, Phase I west City Limits to Eagle Ridge – 4 lane

$200,000: Sealcoat Rural Roads$150,000: Façade Program and relocation program at I-74$338,000: Various city-wide projects including salt dome roof replacement

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Enterprise Fund Projects: $2.39 million $1.085 million Palmer Hills Golf Course

Improvements: Double Row Irrigation System, tee box, sand trap and cart path improvements, and practice range renovation

$1.3 million FMAS: Exhibit Renovation ($756,000 grants and fund raising)

$5,000 Splash Landing: Lift (ADA compliance)

Community Improvement Program continued

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Capital Equipment Funds $1,568,856 of new/replacement Vehicles

including: $517,356: Replace Fire Engine/Pumper $330,000: Sewer VACON & 4x4 1 ton pick-up

w/crane & utility box $225,000: 5 police Squad Cars/SUVs and 1

special Ops SUV $164,500: 2 4x4 ¾ ton pick-up and single axle

dump truck -PW $150,000: Recycling, Rear load packer $142,000: Line Painter, Tractor, 4x4 mower, 4x4

¾ tone Pick-up w/plow, 4x2 ½ ton pick-up - Parks

$40,000: Stormwater, 4x4 1 ton Pick-up w/Crane and utility box

Funds $140,340 of new/replacement Electronic Equipment

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FY 2012/13 Budget Highlights:9) User Fees -

Garbage Fee - 3% 4/1/12 Storm water fee - $.35 increase per ERU – 4/1/12 Sewer Fee - $.20 per 100 cubic feet of flow – 4/1/12 LFC – no increase Palmer Hills –$249 partial season pass through

7/1/12. No fee increases Splash Landing – small increase in pool rental fees &

swim lessons Family Museum – small increase to comprehensive

pre-school Transit fares – no increase Park & Recreation fees – introduction of $10 bus/snack

fee for Playground Program, $5 increase for coach pitch baseball & softball, $11 increase for the Day Camp program

Continue to adjust user fees, when appropriate, to offset increases in the cost of programs.

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Proposed Solid Waste Fee Increase 3%

City of BettendorfFY 2012/13 Budget ReviewGarbage Fees

SizeCurrent

Monthly Fee Annualized

Monthly fee

beginning 4/1/2012

Monthly Increase Annualized

Annual Increase

Monthly fee beginning

4/01/2013


4/01/2014


4/01/2015


4/01/2016


4/01/2017

Percentage increase 3.00% 3.00% 3.00% 3.00% 3.00% 3.00%

32 gallon/twice per mo 6.20 74.40 6.39 0.19 76.68 2.28 6.58 6.78 6.98 7.19 7.41

32 gallon 9.29 111.48 9.57 0.28 114.84 3.36 9.86 10.15 10.46 10.77 11.09

65 gallon 12.38 148.56 12.75 0.37 153.00 4.44 13.13 13.53 13.93 14.35 14.78

95 gallon 15.48 185.76 15.94 0.46 191.28 5.52 16.42 16.91 17.42 17.94 18.48

Continue 3% increases each April 1 to balance revenues and expenditures – BREAKEVEN Increased cost of vehicle replacements and shorter life Increased cost of labor Increased tonnage at landfill – largely bulky waste and e-

waste

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Proposed Storm Water Fee Increase $0.35 per ERU

Current Rates

Rates beginning 4/1/2012 Increase

Beginning 4/01/2013

Beginning 4/01/2014

Beginning 4/01/2015

Beginning 4/01/2016

Beginning 4/01/2017

Rate Increase 0.35 0.35 0.35 0.35 0.35 3%

Rate per ERU 2.00 2.35 0.35 2.70 3.05 3.40 3.75 3.86

Monthly Cost per Average ERU of 1.25 2.50 2.94 0.44 3.38 3.81 4.25 4.69 4.83

Annual Cost per Average ERU of 1.25 30.00 35.25 5.28 40.50 45.75 51.00 56.25 57.90

Fee increases are primarily project driven. See CIP for details.

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$7.77 million Storm Water Projects thru FY 16/17:

$1.76 million: Stafford Creek Bank Stabilization 18th to Crow Creek Rd, Tanglefoot – Maplecrest

$1.8 million: Council priorities to be determined $1.52 million: Small Storm Sewers, Sewer

Linings & Intake Repair $786,000 : Hopewell Creek Detention at school $706,000: Duck Creek Stabilization, various phases $490,000: Greenway Creek Stabilization, Terrace Park

Dr to Tanglefoot Lane (Two Phases) $160,000: 25th Street Culvert Extension $548,928: Small stormwater projects

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Proposed Sewer Fee Increase $0.20 per 100 cu. Ft.

Current Rates

Rates Beginning 4/1/2012 Increase

Beginning 4/01/2013

Beginning 4/01/2014

Beginning 4/01/2015

Beginning 4/01/2016

Beginning 4/01/2017

Rate Increase 0.20 0.20 0.20 0.20 3% 3%

Rate per 100 cu.ft. 1.68 1.88 0.20 2.08 2.28 2.48 2.59 2.67Monthly Cost of Average Usage (7.33 cu.ft. per month) 12.31 13.78 1.47 15.25 16.71 18.18 18.98 19.57

Annual Cost of Average Usage 147.77 165.36 17.64 182.96 200.55 218.14 227.82 234.85

Fee increases are primarily project driven. See CIP for details.

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$8.295 million Sewer Utility Projects thru FY 16/17:

• $5.2 million: I-80 sewer interceptor sewer from Forrest Grove to Indiana, lift station and pumps

• $1.34 million: Infiltration/Inflow analysis and city-wide improvements

• $720,000: Chimney Seals, Manhole rehabilitation, sewer televising, pipe lining

• $425,000: Hopewell Interceptor• $310,000: various sewer improvements• $300,000: Brookview Heights sewer extension

• $350,000: Annual debt service payment on Bettendorf’s share of equalization basin in Davenport effective FY 16/17

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Annual Impact of Taxes & Fee Changes in FY 12/13 Budget:

Residential @ 12.50

Median Value: $162,235

Residential @ 12.60


Small Business @ 12.50


Small Business @ 12.60


City’s Portion of Property Tax +$37.67 +$45.42 -$25.35 No Change

Sewer Fees$1.88 per unit ($0.20 increase)

+$17.64(22 units/quarter)




Storm Water Fees $2.35 per ERU ($0.35 increase)

+$5.28(1.25 ERU)

+$5.28(1.25 ERU)

+$51.87(12.35 ERU)

+$51.87(12.35 ERU)

Solid Waste Fees $12.75 per month (3% increase)(Based on 65 gal. Cart)

+$4.44 +$4.44 NA NA

Total Increase +$65.03 (+$5.42 per Month)

+$72.78 (+$6.07 per Month)

+$72.12 (+$6.01 per month)

+$97.47(+$8.12 per month)

Total Annual Cost of Services $1,345 $1,352 $3,969 $3,994

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$1,271 $1,292 $1,296 $1,345

$1,431 $1,446 $1,483 $1,487

$1,630 $1,671$1,766 $1,791

$1,866 $1,875

$1,999

Clive Dubuque Urbandale Bettendorf Ames Cedar Falls Marion West Des Moines

Burlington Cedar Rapids

Ankeny Davenport Muscatine Sioux City Iowa City

Annual Cost Comparison of $162,235 ResidenceIncluding City Property Taxes, Solid Waste Fees, Sewer Fees & Storm Water Fees*

Storm

Sewer

Solid Waste

Property Tax

*Assumptions: Bettendorf median home value of $162,235, 65 gallon or comparable garbage cart, sewer usage of 7.33 units per month (733 cu. ft.), and a Storm Water ERU of 1.25. The cities of Ames, Ankeny & Urbandale use private companies for trash collection. For those cities the cost above reflects rates provided by Waste Management of Iowa. --Prepared by Bettendorf finance staff with FY 12/13 proposed tax levies and the best available data from city websites and billing departments as of 2/21/2012.

Accomplishments for 11/12 Maintained a balance budget – every fund ended the year

in the black-6/30/11 Maintained Aa1 Bond Rating. Faye’s Field: Completed Tanglefoot widening project: Phase I completed (Devils Glen to 18th St.) Forest Grove Park: Land Acquisition/Design Recreation/Separated Trails – City-wide expansion. Plan

for multi-use trail for Middle Road (Devil’s Glen to Duck Creek & Middle Rd. to Devils Glen Park)

I-74 Bridge continued progress: Property acquisition, strategy for downtown businesses

National Recognition: “Great Place to Live” by CNN Money.com “Voice of the People” awards from National Citizens Survey & ICMA

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Major Budget Initiatives - FY 2012/13 1) Review City Vision/Community Vision 2) Review Fund Equity Balances across all funds 3) I/80 Middle Road Infrastructure and Development -

discussion 4) Review Debt Practices: Debt Levy Rate and Debt

Margin Ratio 5) Final review of proposed 5-year CIP Program &

authorization to proceed with issuance of:

$11 million G.O. bonds for CIP $700,000 General Corporate bonds for various

park improvements 6) Downtown City Incentive for Private Investment 7) Fire Staffing Plan: Discussion 8) Review funding support for all Enterprise Funds

and proposed increase in user fees. Replace irrigation system at Palmer Hills.

9) Governor’s proposal on Commercial Property Tax Rollback and limiting property tax growth

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Budget Initiatives continued: 10) Sewer utility – Impact of waste water treatment

plant improvements and timing of proposed equalization basin, INI Program

11) Review mandated increases in Police/Fire Pension and IPERS contributions

12) Review & establish Road Use Salt Budget. Update on liquid application program in current year.

13) Review proposed renewal for Health & Liability Insurance

14) Review City-wide recreation/separated trail plan 15) Review vehicle, electronic equipment and other

miscellaneous capital equipment purchases 16) Establish the Levy Rate: Review impact of

Administrative recommendation to reduce the current levy rate $ .10, from $12.60 down to $12.50 per $1,000 taxable value

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Final Outstanding Budget Issue:Maintain levy rate at current $12.60 per $1,000 taxable value OR reduce $.10 to $12.50

$.10 levy rate: $176,000

Fund one FirefighterHelp fund a “Downtown Improvement Fund”

along with allocations from gaming and sales tax revenue

Lower levy rate from $12.60 to $12.50 (property tax relief)

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Quote from Moody’s Investors Service April 2011 –

“The assignment of the City’s Aa1 rating reflects the city’s sound financial operations supported by solid reserves and significant revenue flexibility.

City finances are expected to remain healthy due to the existence of solid cash reserves, management’s adherence to a formal General Fund balance policy, and significant operating margin within the tax rate limit. Financial operations have consistently remained sound as the city’s General Fund has posted annual surpluses over the past ten years.”

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Questions and

Answers

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City of BettendorfProperty Taxes Generated from all Property Types2012/13 Budget

SOURCES OF NEW TAX $ FY 2011/12 TAX FY 2012/13 TAX TAX

BY PROPERTY TYPE ASSESSED TAXABLE DOLLARS** ASSESSED TAXABLE DOLLARS** INCREASE

VALUE VALUE* 12.60000 VALUE VALUE* 12.50000 (DECREASE)

Residential existing 2,295,440,702 1,112,718,414 14,032,458 2,336,583,282 1,184,758,888 14,821,177 788,719

Residential new 0 0 0 51,932,520 26,356,689 329,459 329,459

Residential expired TIF 0 0 0 209,302 106,225 797 797

Commercial existing 466,519,335 466,519,335 6,220,942 448,039,195 448,039,195 5,943,288 (277,654)

Commercial new 0 0 0 24,872,690 24,872,690 310,909 310,909

Commercial expired TIF 0 0 0 1,684,661 1,684,661 12,635 12,635

Industrial existing 26,141,962 26,141,962 388,143 25,799,692 25,799,692 381,250 (6,893)

Industrial new 0 0 0 246,350 246,350 3,079 3,079

Industrial expired TIF 0 0 0 5,979,796 5,979,796 44,848 44,848

Public Utility 14,671,227 14,671,227 184,857 15,976,961 15,976,961 199,712 14,855

Less Military exemption (4,148,478) (4,148,478) (52,271) (4,063,286) (4,063,286) (50,791) 1,480

TOTAL* 2,798,624,748 1,615,902,460 20,774,129 2,907,261,163 1,729,757,860 21,996,362 1,222,233

Ag land & buildings 6,382,570 4,404,936 13,231 7,248,670 4,170,963 12,529 (700)

TOTAL* 2,805,007,318 1,620,307,396 20,787,360 2,914,509,833 1,733,928,823 22,008,891 1,221,533

$701.727 or 57% of additional tax dollars come from NEW construction or expired TIF's coming back on the tax rolls.

*Taxable values do not include TIF Increment. Uses of New Tax Dollars:**Tax dollars includeTIF increment for Debt Service. Debt Service $529,908

Rollback on residential FY 12/13 = 50.7518% up from 48.5299% General Fund wage increases

Rollback on commercial FY 13/13 = 100% same as FY 11/12 (COLA, Deferred, Merit, Steps) $404,886

Employee Benefits (Health, Pension, IPERS) $166,548

Liability Insurance $68,237

General operating expenditures (largely fuel) $51,954Total $1,221,533

41

Expenditures by category FY 11/12 FY 12/13 Percent change

Salaries & benefits 22,148,468$ 22,865,505$ 3.24%

Operating expenditures 21,647,524$ 21,887,562$ 1.11%

Capital expenditures 17,785,412$ 15,190,562$ -14.59%

Debt service 10,634,415$ 10,848,913$ 2.02%

Total net of transfers 72,215,819$ 70,792,542$ -1.97%

Transfers out 12,053,165$ 10,711,319$ -11.13%

Total City Budget 84,268,984$ 81,503,861$ -3.28%

Budget Summary FY 12/13

42

City of Bettendorf, IowaFY 2012/13 Assessed Valuations

vs.Taxable Valuationsby Property Type

100%Assessed Percent Taxable PercentValuation of Total Valuation of Total

Residential Property $2,388,725,104 81.85% $1,211,221,801 69.69%

Industrial Property 32,025,838 1.10% 32,025,838 1.84%

Commercial Property 474,596,546 16.26% 474,596,546 27.31%

Public Utilities 15,976,961 0.55% 15,976,961 0.92%

Agricultural Land & Buildings 7,248,670 0.25% 4,170,963 0.24%

Total Valuations $2,918,573,119 100.00% $1,737,992,109 100.00%

Less Military Exemptions 0 4,063,286

Total Net Valuation $2,918,573,119 $1,733,928,823

TIF Increment Values(for Debt Service levy only):

Downtown TIF $46,345,560

Duck Creek $18,494,526

Fields Development $2,254,240

GRAFCO $0

Greystone $454,880

L3 Properties $0

NEPCO District $0

Olympic Steel $2,778,818

Spruce Hi l ls(Trinity) $4,549,748

Total TIF $74,877,772

43

2011/12 Budget 2012/13 Budget

Levy per $1,000 of Levy per $1,000 of Change in

Fund Collections Assessed Valuation Collections Assessed Valuation Collection $

General Fund* $8,881,986 $5.49661 $9,477,101 $5.47886 $595,115

Tort Liabi l i ty $515,020 $0.31872 $583,257 $0.33719 $68,237

Trust & Agency:

Employee Health Ins. $1,807,978 $1.11887 $1,730,727 $1.00056 ($77,251)

Pol ice & Fire Pension $1,075,871 $0.66580 $1,182,099 $0.68339 $106,228

Total Trust & Agency $2,883,849 $1.78467 $2,912,826 $1.68395 $28,977

Debt Service* $8,493,270 $5.00000 $9,023,178 $5.00000 $529,908

Total Levy Rate $20,774,125 $12.60000 $21,996,362 $12.50000 ($0.10000)

Agricul tural Land Levy Rate $13,231 $3.00375 $12,529 $3.00375 ($703)

Grand Total $20,787,356 $22,008,891 $1,221,534

City of Bettendorf, IowaProperty Tax Levy by Fund

FY 2012/2013 Budget

44

City of BettendorfProperty Tax Levy Impact on 100 Residential PropertiesFY 2011/12 vs FY 2012/13

1/1/10 City 1/1/11 CityAssessed Value 48.5299% Taxes at Assessed Value 50.7518% Taxes at

School Collectible Rollback 12.60000 Collectible Rollback 12.50000 Tax $ Tax %Parcel # name District FY 2011/12 Applied FY 11/12 FY 2012/13 Applied FY 12/13 Inc (Dec) Inc (Dec)

842701101 mccutcheon BE 138,798 67,359 788 138,578 70,331 819 31 3.92%841503129 gettert PV 172,440 83,685 993 178,250 90,465 1,070 77 7.74%84295411511 denker BE 149,590 72,596 854 151,810 77,046 902 49 5.72%842151104 johnson BE 159,590 77,449 915 162,070 82,253 968 53 5.77%841637286 ploehn BE 110,800 53,771 616 113,790 57,750 661 45 7.28%841501305 degreve PV 187,710 91,095 1,087 198,840 100,915 1,201 114 10.50%84294921611 mansholt BE 129,420 62,807 730 136,410 69,231 805 74 10.20%842149301 ibarra BE 117,810 57,173 659 118,130 59,953 689 30 4.48%842735408 ulloa BE 122,810 59,600 690 127,790 64,856 750 60 8.73%842934201 lampe BE 351,580 170,621 2,089 364,570 185,026 2,252 163 7.83%842944111101 mcguirt BE 165,870 80,497 953 173,360 87,983 1,039 86 9.02%841451201 christians PV 301,330 146,235 1,781 308,430 156,534 1,896 115 6.43%842103117 carlson BE 114,750 55,688 641 116,890 59,324 681 40 6.30%842946123081 bruce BE 172,000 83,471 991 180,900 91,810 1,087 96 9.73%842255219 voelliger PV 264,240 128,235 1,555 269,110 136,578 1,647 92 5.91%841633141 uhde BE 132,800 64,448 751 137,450 69,758 811 60 8.05%841707815 piper BE 136,070 66,035 771 139,910 71,007 827 56 7.27%84285210507 green BE 101,840 49,423 562 102,360 51,950 589 27 4.83%841619302 kvach BE 150,420 72,999 859 154,700 78,513 921 62 7.23%8429191B61 mayne BE 191,860 93,109 1,112 202,170 102,605 1,222 110 9.88%841551360 hunt PV 130,678 63,418 738 134,298 68,159 791 53 7.24%841049206 vale PV 198,620 96,390 1,153 203,850 103,458 1,233 79 6.87%841755216 cowherd BE 90,790 44,060 494 92,480 46,935 526 32 6.48%841607215 raab BE 203,650 98,831 1,184 207,650 105,386 1,257 73 6.13%8416351A1 parker BE 116,410 56,494 651 117,800 59,786 687 36 5.53%841723515 reinhold BE 166,878 80,986 959 171,228 86,901 1,026 66 6.91%842007213 marinaccio BE 138,320 67,127 785 140,370 71,240 830 45 5.76%841723214 holstrom BE 165,840 80,482 953 168,000 85,263 1,005 52 5.48%851835230 mcclurg PV 278,380 135,098 1,641 280,340 142,278 1,718 77 4.68%84282711404 allison BE 82,808 40,187 445 36,860 18,707 173 (272) -61.10%841653230 otero BE 117,128 56,842 655 120,298 61,053 703 47 7.24%841545896 parkin PV 94,490 45,856 517 98,870 50,178 567 50 9.66%842251216 anhault PV 219,330 106,441 1,280 222,980 113,166 1,354 74 5.77%842253330 behan PV 232,990 113,070 1,364 237,000 120,282 1,443 79 5.82%84281710302 hampton BE 119,748 58,114 671 123,578 62,718 723 52 7.78%84293510605 thomas BE 144,430 70,092 822 149,890 76,072 890 68 8.30%841651123 mortiboy BE 151,060 73,309 863 153,230 77,767 911 49 5.67%842805104 nickles BE 196,900 95,555 1,143 206,840 104,975 1,252 109 9.51%841419215 bloomer PV 240,850 116,884 1,412 245,040 124,362 1,494 82 5.83%

2012/132011/12

45



841635194 zukowski BE 115,980 56,285 648 119,400 60,598 697 49 7.52%842701103 hoenig BE 105,100 51,005 582 108,440 55,035 627 46 7.87%842945202 boland BE 114,948 55,784 642 117,708 59,739 686 44 6.91%8429202D11 mook BE 195,470 94,861 1,134 208,600 105,868 1,263 129 11.34%841017610 adamson PV 296,918 144,094 1,754 303,168 153,863 1,863 108 6.17%840923107 borden BE 324,860 157,654 1,925 333,620 169,318 2,056 131 6.78%842924102 fleming BE 129,910 63,045 733 134,780 68,403 794 61 8.34%842908304 dean BE 111,700 54,208 622 114,260 57,989 664 42 6.81%842836207 jensen BE 192,380 93,362 1,115 196,580 99,768 1,186 71 6.39%8421491A5 stoebner BE 106,728 51,795 592 110,788 56,227 642 51 8.57%842853215 nelson BE 68,978 33,475 361 67,568 34,292 368 7 2.04%842843118 deere BE 71,698 34,795 377 73,828 37,469 408 30 8.07%842855205 tinker BE 42,990 20,863 202 41,790 21,209 204 3 1.35%8416072B9 mcneely BE 165,390 80,264 950 167,900 85,212 1,005 54 5.72%841503126 byorum PV 163,820 79,502 941 169,490 86,019 1,015 74 7.87%841633224 lepley BE 117,140 56,848 655 118,520 60,151 691 36 5.51%842801302 mosley BE 109,778 53,275 610 113,850 57,781 662 51 8.44%842201116 leonard BE 143,280 69,534 815 149,570 75,909 888 73 8.99%841707105 bonde BE 190,288 92,347 1,102 197,238 100,102 1,191 88 8.00%841633456 pope BE 112,868 54,775 629 114,498 58,110 666 37 5.83%842824104071 malone BE 98,550 47,826 542 102,050 51,792 587 45 8.36%841549140 angerer BE 113,538 55,100 633 116,428 59,089 678 45 7.08%842023533 teagarden BE 205,350 99,656 1,195 214,090 108,655 1,298 103 8.62%841249102 engel PV 259,358 125,866 1,525 264,168 134,070 1,615 90 5.93%841303211 stewart PV 339,390 164,706 2,014 344,560 174,870 2,125 111 5.51%841651262 elkins BE 126,160 61,225 710 129,350 65,647 760 50 6.99%840955712 lewis BE 255,270 123,882 1,500 259,710 131,807 1,587 87 5.81%842007303 scherz BE 118,960 57,731 666 121,620 61,724 711 45 6.70%841545892 cline PV 95,650 46,419 524 99,370 50,432 570 46 8.78%8409538104 meilenhausen BE 134,128 65,092 759 135,818 68,930 801 42 5.53%841755233 pelo BE 97,430 47,283 535 99,890 50,696 573 38 7.19%842844104 betts BE 79,020 38,348 422 80,770 40,992 452 30 7.04%8414353011 webster PV 201,600 97,836 1,172 205,080 104,082 1,240 69 5.87%841139322 nutt PV 323,100 156,800 1,915 368,860 187,203 2,279 365 19.06%842009108 scholbrock BE 131,260 63,700 742 135,510 68,774 799 58 7.76%841637149 mathias BE 116,110 56,348 649 119,190 60,491 696 47 7.19%841551353 gonzalez PV 138,448 67,189 785 140,628 71,371 832 46 5.86%841619253 johnson BE 122,790 59,590 690 126,530 64,216 742 52 7.59%842928112 silver BE 217,988 105,789 1,272 223,288 113,323 1,356 84 6.61%

2012/132011/12

46



841623153 said PV 147,550 71,606 841 151,240 76,757 899 58 6.86%841651412 rankin BE 150,540 73,057 859 160,540 81,477 958 98 11.45%841435303 assadi PV 195,080 94,672 1,132 199,820 101,412 1,207 75 6.65%842201148 plett BE 123,078 59,730 691 126,078 63,987 739 48 6.90%841549256 meenakshi PV 137,730 66,840 781 140,000 71,053 828 46 5.95%841503504 stecker PV 229,880 111,561 1,345 233,870 118,693 1,423 78 5.84%842007304 donnelly BE 127,300 61,779 717 130,700 66,333 769 51 7.14%841333413 tallman PV 191,680 93,022 1,111 193,390 98,149 1,166 55 4.97%841633328 helfrich BE 142,370 69,092 809 143,690 72,925 851 41 5.13%8412491081 weerts PV 328,720 159,527 1,949 344,410 174,794 2,124 175 9.00%842151201 chambers BE 147,950 71,800 844 151,190 76,732 899 55 6.51%841601401 gallagher PV 212,890 103,315 1,241 216,370 109,812 1,312 71 5.75%841449101 hutchinson PV 306,540 148,764 1,813 308,630 156,635 1,897 84 4.63%842135135 lemons BE 106,888 51,873 592 108,068 54,846 625 32 5.48%841601429 kilstrom BE 254,560 123,538 1,495 258,260 131,072 1,578 82 5.50%841433107 barnes PV 318,060 154,354 1,884 327,000 165,958 2,014 130 6.91%841601517 delugish BE 268,420 130,264 1,580 271,270 137,674 1,660 80 5.07%8416072C4 vandyke BE 159,310 77,313 913 160,920 81,670 960 47 5.17%842023530 sakalosky BE 224,110 108,760 1,309 229,180 116,313 1,393 84 6.42%84211940J naumann BE 155,410 75,420 889 160,710 81,563 959 70 7.84%841533879 schlicht BE 111,150 53,941 619 116,570 59,161 679 60 9.76%841601505 endresen BE 235,146 114,116 1,377 240,456 122,036 1,465 88 6.40%

Sample Total 16,789,714 8,148,031 96,554 17,206,988 8,732,856 103,098 6,544 6.78%

City-wide average on existing residential properties from 1/1/11 tax rolls 2,295,440,702 1,112,718,414 14,032,458 2,336,583,282 1,184,758,888 14,821,177 788,719 5.62%

2012/132011/12

47

City of BettendorfProperty Tax Levy Impact on 27 Commercial PropertiesFY 2011/12 vs. FY 2012/13

1/1/10 City 1/1/11 CityAssessed Value 100.0000% Taxes Assessed Value 100.0000% Taxes

Collectible Rollback 12.60000 Collectible Rollback 12.50000 Tax $ Tax %FY 2011/12 Applied 2011/12 FY 2012/13 Applied 2012/13 Inc (Dec) Inc (Dec)

Hy-Vee, Middle and Devils Glen. (New const. 2006) 11,434,230 11,434,230 144,071 11,434,230 11,434,230 142,928 (1,143) -0.79%Bridge Mart 556,520 556,520 7,012 556,520 556,520 6,957 (56) -0.79%Chateau Knoll 13,327,650 13,327,650 167,928 13,327,650 13,327,650 166,596 (1,333) -0.79%Jumers 3,708,970 3,708,970 46,733 3,708,970 3,708,970 46,362 (371) -0.79%Northwest Bank 3,052,970 3,052,970 38,467 3,052,970 3,052,970 38,162 (305) -0.79%American Bank & Trust, 1855 Middle Rd. 856,100 856,100 10,787 856,100 856,100 10,701 (86) -0.79%Mel Foster Co. 2102 Spruce Hills. (Int. Remodel 2006) 3,831,970 3,831,970 48,283 3,831,970 3,831,970 47,900 (383) -0.79%Byrum 361,420 361,420 4,554 361,420 361,420 4,518 (36) -0.79%Old Chicago 993,300 993,300 12,516 993,300 993,300 12,416 (99) -0.79%Dr. TLC Healthcare 454,810 454,810 5,731 352,580 352,580 4,407 (1,323) -23.09%Bettendorf Muffler 78,780 78,780 993 78,780 78,780 985 (8) -0.79%Trattoria Tiramisu 290,790 290,790 3,664 290,790 290,790 3,635 (29) -0.79%Steve's Mirror 249,730 249,730 3,147 249,730 249,730 3,122 (25) -0.79%McDonalds, 2960 State St. 747,290 747,290 9,416 747,290 747,290 9,341 (75) -0.79%Twin Bridges 823,980 823,980 10,382 823,980 823,980 10,300 (82) -0.79%Happy Joe's 693,500 693,500 8,738 693,500 693,500 8,669 (69) -0.79%US Bank, 3120 Middle Rd. 1,179,600 1,179,600 14,863 1,179,600 1,179,600 14,745 (118) -0.79%Lincoln Health Care, 865 Lincoln Rd. (Int. Remodel 2005) 5,342,790 5,342,790 67,319 5,342,790 5,342,790 66,785 (534) -0.79%Su Casa 287,980 287,980 3,629 287,980 287,980 3,600 (29) -0.79%HyVee 2,958,490 2,958,490 37,277 2,958,490 2,958,490 36,981 (296) -0.79%Nelson Bros. Property, 940 Lincoln Rd. (Furnace 2006) 535,530 535,530 6,748 535,530 535,530 6,694 (54) -0.79%Ascentra C.U. 1710 Grant St. (Int. Remodel 2006) 1,065,520 1,065,520 13,426 1,065,520 1,065,520 13,319 (107) -0.79%Bettendorf Vet. Hosp 519,600 519,600 6,547 519,600 519,600 6,495 (52) -0.79%K&K Hardware. (Int. Remodel 2006) 1,099,210 1,099,210 13,850 1,099,210 1,099,210 13,740 (110) -0.79%Ultimate Fitness 428,690 428,690 5,401 428,690 428,690 5,359 (43) -0.79%FirstCIty Mortgage 370,470 370,470 4,668 377,200 377,200 4,715 47 1.01%Tanglewood LLC, 4250 Middle Rd 928,670 928,670 11,701 954,160 954,160 11,927 226 1.93%Apartment Buildings 747,930 747,930 9,424 747,930 747,930 9,349 (75) -0.79%

SAMPLE TOTAL 56,926,490 56,926,490 717,274 56,856,480 56,856,480 710,706 (6,568) -0.92%City-wide average on existing commercial properties from 1/1/11 Tax rolls 466,519,335 466,519,335 6,220,942 448,039,195 448,039,195 5,943,288 (277,654) -4.46%

2012/132011/12

48

Taxable vs. Assessed Values20 Year Percentage Comparison (Existing values only)

49

Impact of State Mandated Rollback, Residential vs. Commercial PropertyTwenty Year % Comparison (Existing values only - includes no new construction since 1/1/90)Residential Property: 1.92% average annual taxable growth

Cumulative % change Taxable value on Cumulative % changeCertified Fiscal Year 100% assessed on 100% assessments existing residential taxable assessments

Assessed Property Taxes 100% assessed value on existing since 1/1/90 (no new construction Rollback since 1/1/90Values Collectible Residential residential since 1/1/90 Existing Residential since 1/1/90) Percentage Existing Residential

1/1/11 FY 2012/13 2,390,957,030 1,271,832,012 119.69% 645,477,639 50.75% 40.32%1/1/10 FY 2011/12 2,297,881,930 1,249,460,955 115.82% 606,363,402 48.53% 31.81%1/1/09 FY 2010/11 2,258,845,950 1,247,253,773 115.44% 585,079,261 46.91% 27.19%1/1/08 FY 2009/10 2,199,402,020 1,240,369,026 114.25% 565,484,239 45.59% 22.93%1/1/07 FY 2008/09 2,142,522,560 1,234,043,378 113.16% 543,970,023 44.08% 18.25%1/1/06 FY 2007/08 1,921,741,462 1,138,826,167 96.71% 518,844,646 45.56% 12.79%1/1/05 FY 2006/07 1,851,303,035 1,139,587,536 96.84% 524,164,683 46.00% 13.94%1/1/04 FY 2005/06 1,802,353,610 1,137,132,043 96.42% 545,416,287 47.96% 18.56%1/1/03 FY 2004/05 1,655,100,277 1,062,836,093 83.59% 515,005,731 48.46% 11.95%1/1/02 FY 2003/04 1,510,474,260 989,740,089 70.96% 508,601,699 51.39% 10.56%1/1/01 FY 2002/03 1,466,869,955 985,690,079 70.26% 509,282,407 51.67% 10.71%1/1/00 FY 2001/02 1,300,890,182 900,377,215 55.52% 506,598,141 56.27% 10.13%1/1/99 FY 2000/01 1,257,209,063 895,854,020 54.74% 491,398,326 54.85% 6.82%1/1/98 FY 1999/00 1,132,752,657 825,978,021 42.67% 466,503,300 56.48% 1.41%1/1/97 FY 1998/99 1,101,578,914 822,642,784 42.10% 451,704,926 54.91% (1.81%)1/1/96 FY 1997/98 1,013,029,476 772,605,755 33.45% 454,511,604 58.83% (1.20%)1/1/95 FY 1996/97 991,901,474 773,567,785 33.62% 458,880,410 59.32% (0.25%)1/1/94 FY 1995/96 880,176,451 710,528,993 22.73% 479,607,070 67.50% 4.26%1/1/93 FY 1994/95 845,232,209 711,197,705 22.85% 483,898,918 68.04% 5.19%1/1/92 FY 1993/94 720,003,808 638,545,937 10.30% 464,222,896 72.70% 0.91%1/1/91 FY 1992/93 678,563,569 638,207,492 10.24% 466,274,394 73.06% 1.36%1/1/90 FY 1991/92 587,712,132 578,929,322 460,017,239 79.46%

Commercial Property: 3.31% average annual taxable growthCumulative % change Taxable value on Cumulative % change

Certified Fiscal Year 100% assessed on 100% assessments existing commercial taxable assessmentsAssessed Property Taxes 100% assessed value on existing since 1/1/90 (no new construction Rollback since 1/1/90

Values Collectible Commercial commercial since 1/1/90Existing Commercial since 1/1/90) Percentage Existing Commercial1/1/11 FY 2012/13 541,471,470 268,474,400 68.43% 268,474,400 100.00% 69.52%1/1/10 FY 2011/12 535,078,920 279,675,899 75.46% 279,675,899 100.00% 76.59%1/1/09 FY 2010/11 534,473,860 291,060,961 82.60% 291,060,961 100.00% 83.78%1/1/08 FY 2009/10 545,421,460 306,358,844 92.20% 306,358,844 100.00% 93.44%1/1/07 FY 2008/09 535,220,670 291,890,475 83.12% 291,890,475 100.00% 84.30%1/1/06 FY 2007/08 456,010,880 266,601,798 67.26% 266,601,798 100.00% 68.33%1/1/05 FY 2006/07 402,093,800 267,015,681 67.52% 264,748,451 99.15% 67.16%1/1/04 FY 2005/06 391,126,833 268,515,701 68.46% 268,515,701 100.00% 69.54%1/1/03 FY 2004/05 382,722,840 260,144,636 63.21% 258,211,762 99.26% 63.04%1/1/02 FY 2003/04 341,228,078 234,921,189 47.38% 234,921,189 100.00% 48.33%1/1/01 FY 2002/03 341,161,515 238,910,040 49.88% 233,582,585 97.77% 47.49%1/1/00 FY 2001/02 336,779,515 239,386,272 50.18% 239,386,272 100.00% 51.15%1/1/99 FY 2000/01 323,187,921 231,846,154 45.45% 228,994,447 98.77% 44.59%1/1/98 FY 1999/00 296,526,983 218,062,371 36.80% 218,062,371 100.00% 37.69%1/1/97 FY 1998/99 247,821,390 204,022,878 28.00% 203,410,809 99.70% 28.43%1/1/96 FY 1997/98 239,447,226 203,520,370 27.68% 202,909,809 99.70% 28.12%1/1/95 FY 1996/97 241,340,861 206,440,659 29.51% 200,226,795 96.99% 26.42%1/1/94 FY 1995/96 214,245,464 185,453,450 16.35% 184,730,181 99.61% 16.64%1/1/93 FY 1994/95 215,596,896 188,043,781 17.97% 187,348,019 99.63% 18.29%1/1/92 FY 1993/94 183,071,271 165,233,285 3.66% 164,588,875 99.61% 3.92%1/1/91 FY 1992/93 171,593,987 162,765,927 2.11% 161,903,268 99.47% 2.23%1/1/90 FY 1991/92 159,396,984 159,396,984 158,376,843 99.36%

50

City of Bett endorfProperty Tax Levy ComparisonFY 11/12 vs. FY 12/13

City of Bett endorf/Bett endorf School District: FY 11/12 +(-)Projected FY 12/13

$ change on $162,235

residential


commercial

Scott County 5.32759 (0.06403) 5.26356 14 (32)

Emergency Management Agency 1.05000 (0.01200) 1.03800 3 (6)

Bettendorf Schools 15.00244 - 15.00244 54 -

Area IX 1.01724 - 1.01724 4 -

City of Bettendorf 12.60000 (0.10000) 12.50000 38 (50)

County Assessor 0.28110 - 0.28110 1 -

Other 0.06891 - 0.06891 - -

Total 35.34728 (0.17603) 35.17125 114 (88)

Tax on residential assessed value of $162,235 2,612 114 2,725

Tax on commercial assessed value of $500,000 17,674 (88) 17,586

City of Bett endorf/Pleasant Valley School District: FY 11/12 +(-)Projected FY 12/13


residential


commercial

Scott County 5.32759 (0.06403) 5.26356 14 (32)

Emergency Management Agency 1.05000 (0.01200) 1.03800 3 (6)

Pleasant Valley Schools 14.73829 - 14.73829 53 -

Area IX 1.01724 - 1.01724 4 -

City of Bettendorf 12.60000 (0.10000) 12.50000 38 (50)

County Assessor 0.28110 - 0.28110 1 -

Other 0.06891 - 0.06891 - -

Total 35.08313 (0.17603) 34.90710 113 (88)

Tax on residential assessed value of $162,235 2,592 113 2,705

Tax on commercial assessed value of $500,000 17,542 (88) 17,454

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City, School District, Tax RateBettendorf Median

Residential Assessed Value of $162,235

Commercial Assessed Value of $500,000

City of Bettendorf, Bettendorf School District, $35.34728 per $1,000 value

$2,612 $17,674

City of Davenport, Davenport School District, $40.29606 per $1,000 value

$2,977 $20,148

City of Moline, School District #40, Moline Township code #1, $8.8458 per $100 value

$4,341 $14,743

City of Rock Island, School District #41, South Rock Island township code #2, $9.5842 per $100

value$4,704 $15,974

Iowa: Rollback on residential property: 48.5299% Rollback on commercial property: 100% Homestead exemption on residential property $4,850 subtracted from taxable value.Illinois: Residential property assessed at 1/3 total value. Commercial property assessed at 1/3 total value. Homestead exemption on residential property, up to $5,000 subtracted from 1/3 assessed value.

and Metro transit.

Property Tax Comparisonfor January 1, 2010 assessed valuations (current year)

The property tax comparison above reflects that the City of Bettendorf offers the most affordable property taxes on residential property in the Quad city area. City of Bettendorf taxes on commercial property remain competitive.

Township codes include taxes for the county, township, city, airport authority, Blackhawk College

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LEVY RATE COMPARISONCERTIFIED LEVIES PER $ 1,000 VALUATION

Fiscal Year City School County Assessor Area IX Other Total Levy

City of Bettendorf/Bettendorf Schools:

2011/12* $12.60000 $15.00244 $6.37759 $0.28110 $1.01724 $0.06891 $35.34728

City of Davenport/Davenport Schools:

2011/12* $15.53000 $17.05061 $6.37759 $0.25171 $1.01724 $0.06891 $40.29606

*FY 12/13 rates are not yet available for all taxing authorities. Davenport has proposed a city levy of $16.78 for FY 12/13. Bettendorf is proposing to reduce the city's levy to $12.50 for FY 12/13.

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FY 2008/09 FY 2009/10 FY 2010/11 FY 2011/12 FY 2012/13 PercentSource Actual Actual Actual Estimate Budget of total

Property Taxes 18,384,425 19,267,371 19,829,519 20,802,329 22,024,091 31.35%

TIF Revenues 3,377,334 3,499,290 3,097,551 2,327,340 2,105,610 3.00%

Other Ci ty Taxes 7,999,085 7,732,033 7,936,429 8,171,877 8,257,090 11.75%

Licenses & Permits 448,101 701,073 646,148 723,160 692,810 0.99%

Use of Money 1,484,476 935,570 583,842 848,663 868,280 1.24%

Intergovernmenta l 5,257,224 5,976,283 6,529,080 6,557,970 5,087,845 7.24%

Charges for Services 13,139,508 14,460,857 15,468,962 16,002,459 16,857,932 23.99%

Specia l Assessments 12,163 15,578 28,273 31,434 31,200 0.04%

Miscel laneous 2,154,328 2,161,805 2,326,889 2,177,143 2,087,529 2.97%

Other fi nancing sources 1,204,935 2,234,551 1,230,068 576,422 1,321,000 1.88%

Bond Proceeds 13,733,339 21,859,613 16,568,909 11,873,000 10,925,000 15.55%

Total Revenues 67,194,918 78,844,024 74,245,670 70,091,797 70,258,387 100.00%

Total Net of Bond Proceeds 53,461,579 56,984,411 57,676,761 58,218,797 59,333,387

Bond Proceeds 13,733,339 21,859,613 16,568,909 11,873,000 10,925,000

City of BettendorfTotal Revenue by Source

All Funds, net of TransfersFY 2012/13 Budget

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55

City of Bettendorf, IowaExpenditures by Fund, net of Transfers

FY 2012/13 BudgetFY 2008/09 FY 2009/10 FY 2010/11 FY 2011/12 FY 2012/13 From 11/12 Estimate

Fund Actual Actual Actual Estimate Budget % Change $ Change

General Fund, Including: 16,739,762 17,890,655 17,966,065 18,318,312 19,100,087 4.27% 781,775 --Economic Development* 0 0 185,446 199,176 204,678 2.76% 5,502 --City Beautification* 0 0 80,578 80,572 85,000 5.50% 4,428 --4th of July Celebration* 0 0 67,549 66,425 66,421 (0.01%) (4)Road Use Tax, Including: 4,259,091 3,359,143 3,498,577 3,467,039 3,516,096 1.41% 49,057 --City Tree Planting* 0 0 11,937 9,750 9,750 0.00% 0HUD Section 8 429,441 450,410 421,320 474,277 438,656 (7.51%) (35,621)Economic Development* 179,023 174,205 0 0 0 0Bettendorf Fund 30,984 2,691 456,738 102,324 0 (100.00%) (102,324)Subdivision deposits 25,469 16,253 0 0 0 0Chaplain's Petty Cash 2,533 5,633 322 7,500 7,500 0.00% 0City Drug/Seizure 0 0 8,772 3,500 3,500 0.00% 0Federal Drug/Seizure 6,014 6,192 6,072 40,000 5,000 (87.50%) (35,000)Police & Fire Pension Excess 108 0 0 0 0 0Library Open Access 11,104 21,029 45,156 31,455 31,000 (1.45%) (455)Interlibrary Loan 2,564 2,254 1,164 3,000 3,000 0.00% 0Enrich Iowa 19,647 27,405 14,332 6,500 6,500 0.00% 0Kakert Estate 10,995 14,288 668 1,000 1,000 0.00% 0Library Gift Fund 46,742 84,937 76,460 61,775 58,500 (5.30%) (3,275)LeClair Bequest 55,718 0 0 0 0 0City Tree Planting Program* 14,913 9,247 0 0 0 0City Beautification* 79,486 76,909 0 0 0 04th of July Celebration* 57,112 65,763 0 0 0 0TIF Districts 2,613,585 2,109,702 3,049,226 956,622 989,993 3.49% 33,371Mississippi River Flood*/Jump St 153,856 43,525 3,359 0 0 0Total Special Revenue Funds 7,998,385 6,469,586 7,582,166 5,154,992 5,060,745 (1.83%) (94,247)Debt Service Fund 6,503,779 6,921,818 15,418,231 8,857,530 9,164,861 3.47% 307,331Capital Projects 19,357,433 22,115,302 17,231,833 16,255,112 13,093,854 (19.45%) (3,161,258)Vehicle Replacement 1,244,817 776,210 490,284 423,577 1,048,856 147.62% 625,279Electronic Equipment 157,843 39,034 49,689 137,840 76,740 (44.33%) (61,100)Geo Thuenen Dr. Overpass 0 0 44,818 45,000 0 (100.00%) (45,000)Total Capital Funds 20,760,093 22,930,546 17,816,624 16,861,529 14,219,450 (15.67%) (2,642,079)Sewer Utility 2,972,940 3,192,293 3,325,945 3,522,667 3,671,358 4.22% 148,691Recycling/Solid Waste Management 1,778,849 1,783,049 1,880,968 2,017,476 1,989,121 (1.41%) (28,355)Family Museum for Arts & Science 1,923,179 1,968,583 2,010,997 1,877,972 1,836,614 (2.20%) (41,358)Palmer Hills Golf Course 1,224,823 1,240,257 1,175,793 1,158,887 1,222,528 5.49% 63,641Life Fitness Center 857,346 834,539 871,768 875,947 873,543 (0.27%) (2,404)Aquatic Center 488,897 477,550 498,547 585,055 513,957 (12.15%) (71,098)Stormwater Utility 617,222 760,076 734,417 919,695 959,079 4.28% 39,384Transit 1,246,024 1,491,525 1,937,962 1,932,257 1,913,811 (0.95%) (18,446)QC Watefront Convention Center 2,129,540 3,469,379 4,025,949 4,113,749 4,069,258 (1.08%) (44,491)Total Enterprise Funds 13,238,820 15,217,251 16,462,346 17,003,705 17,049,269 0.27% 45,564Employee Health Insurance 2,541,496 2,826,770 2,781,560 2,871,570 3,005,134 4.65% 133,564Risk Management 858,324 760,745 757,176 808,031 897,767 11.11% 89,736Information Services 567,000 586,409 622,332 709,578 675,926 (4.74%) (33,652)Municipal Garage 1,412,938 1,359,178 1,626,138 1,630,572 1,619,303 (0.69%) (11,269)Total Internal Service Funds 5,379,758 5,533,102 5,787,206 6,019,751 6,198,130 2.96% 178,379Total net of Transfers 70,620,597 74,962,958 81,032,638 72,215,819 70,792,542 (1.97%) (1,423,277)Total net of Transfers, Economic Development, Debt Service, Capital Funds and QCWCC 41,048,162 41,467,010 43,586,388 42,183,835 43,134,295 2.25% 950,460

*In order to comply with GASB 54 beginning July 1, 2010 some special revenue funds have been reclassified and

incorporated into other funds. Economic Development, City Beautification, 4th of July and Mississippi Flood funds

were incorporated into the General Fund. The City Trees Fund is now included in the Road Use Fund.

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57

City of Bettendorf, IowaAssessed and Taxable Valuations, All Property Types

Fiscal Years 2003/04 through 2012/13Assessed Taxable Percent of Assessed Taxable Percent of

Property Type Value Value Assessed Value Value Assessed

FY 2003/04 FY 2004/05

Residential 1,508,179,680 773,898,748 51.31% 1,652,161,490 799,053,188 48.36%

Commercial 274,969,629 274,969,629 100.00% 338,690,940 335,897,927 99.18%

Industrial 17,287,710 17,287,710 100.00% 13,400,078 13,400,078 100.00%

Machinery & Equipment 4,505,732 4,505,732 100.00% 0 0 0.00%

Public Utility 17,670,824 17,670,824 100.00% 15,445,981 15,445,981 100.00%

Less Military Exemptions 0 (4,574,440) N/A 0 (4,517,028) N/A

Total 1,822,613,575 1,083,758,203 59.46% 2,019,698,489 1,159,280,146 57.40%

Agricultural 5,878,051 5,878,051 100.00% 4,700,968 4,700,968 100.00%

FY 2005/06 FY 2006/07

Residential 1,798,988,393 861,119,222 47.87% 1,851,303,035 849,673,860 45.8960%

Commercial 341,209,113 341,209,113 100.00% 347,801,087 344,386,888 99.02%

Industrial 13,455,769 13,455,769 100.00% 14,809,173 14,809,173 100.00%

Machinery & Equipment 0 0 0.00% 0 0 0.00%

Public Utility 15,613,994 15,613,994 100.00% 15,077,966 15,076,278 99.99%


Total 2,169,267,269 1,226,940,334 56.56% 2,228,991,261 1,219,548,730 54.71%

Agricultural 4,529,273 4,529,273 100.00% 4,459,440 4,459,440 100.00%

FY 2007/08 FY 2008/09

Residential 1,921,741,462 875,453,849 45.5552% 2,138,636,766 940,544,456 43.9787%

Commercial 351,218,507 351,218,507 100.00% 430,585,395 429,146,718 99.67%

Industrial 20,010,233 20,010,233 100.00% 20,661,813 20,661,813 100.00%


Public Utility 14,536,012 14,536,012 100.00% 14,365,946 14,364,871 99.99%


Total 2,307,506,214 1,256,829,365 54.47% 2,604,249,920 1,400,436,964 53.78%

Agricultural 4,437,370 4,437,370 100.00% 4,692,920 4,228,430 90.10%

FY 2009/10 FY 2010/11

Residential 2,199,236,152 1,002,526,162 45.5852% 2,255,170,983 1,055,936,169 46.8229%

Commercial 441,241,852 441,241,852 100.00% 443,808,680 443,808,680 100.00%

Industrial 16,391,700 16,391,700 100.00% 21,782,851 21,782,851 100.00%


Public Utility 14,034,322 14,034,322 100.00% 14,232,920 14,232,920 100.00%


Total 2,670,904,026 1,469,948,330 55.04% 2,734,995,434 1,531,563,066 56.00%

Agricultural 4,727,390 4,436,980 93.86% 6,407,620 4,246,425 66.27%

FY 2011/12 FY 2012/13

Residential 2,295,440,702 1,112,718,414 48.4752% 2,388,725,104 1,211,221,801 50.7058%

Commercial 466,519,335 466,519,335 100.00% 474,596,546 474,596,546 100.00%

Industrial 26,141,962 26,141,962 100.00% 32,025,838 32,025,838 100.00%


Public Utility 14,671,227 14,671,227 100.00% 15,976,961 15,976,961 100.00%


Total 2,802,773,226 1,615,853,384 57.65% 2,911,324,449 1,729,757,860 59.41%

Agricultural 6,382,570 4,404,936 69.02% 7,248,670 4,170,963 57.54%

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Budget Highlights Public Information Meeting 2/22/12 $ 81.8 million

Documents

property classes

key areas

future years

future needs

debt margin ratio

arbitrary debt levy

higher debt levy rate

recommended balance