City of Chattanooga Ron Littlefield, Mayor Five -Year Capital Improvements Plan Fiscal Years

6/13/20162 Budget Prioritization Enterprise Industrial Park/Volkswagen Infrastructure/Road Improvements Interceptor Sewer Upgrade New Fire Halls Fleet Replacement Technology Upgrade

6/13/20163 Total Five Year Request Project Name 09/10 Total Request 10/11 Total Request 11/12 Total Request 12/13 Total Request 13/14 Total Request Total General Government & Agencies $ 11,443,641$ 8,625,246$ 922,500$ 850,000$ 805,000 Total Public Works General Fund 23,743,38326,880,50024,724,25025,468,00023,727,000 Total Public Works General ESIP 13,756,0001,000,0005,520,430 1,000,000 Total Appropriation to IDB 15,381, Total Parks & Recreation 8,993,90015,455,5005,138,0001,105,000315,000 Total EAC 2,650,000200,000 Total Police Department 20,914,5001,497,10018,330,550976,600986,600 Total Fire Department 13,689,8811,821,8002,853,3502,146,0003,465,000 Total Information Services 2,100,000850, ,000 Total General Fund $112,673,273 $112,673,273 $56,330,146 $56,330,146 $58,539,080 $58,539,080 $36,866,030 $36,866,030 $31,098,600 $31,098,600 Total Water Quality Fund 2,220,1262,025,0003,775,000 Total Solid Waste Fund 1,245,0006,525,140899,077515,000961,000 Total ISS Construction Trust Fund 17,926, 33412,483,65316,633,65315,533,6530 Total Other Funds $21,391,460 $21,033,793 $21,307,730 $19,823,653 $4,736,000 Total All Funds $134,064,733 $77,363,939 $79,846,810 $56,689,683 $35,834,600

4 PROPOSED FY 2010 ALLOCATION Project Name 09/10 Total Recommended CITY SOURCES EXTERNAL SOURCES Interfund Reallocations Total General Government & Agencies $ 5,246,850 $ 4,755,637 $ 400,000 $91,213 Total Public Works General Fund 7,072,603 3,766,598 3,282,000 24,005 Total Public Works General ESIP 13,556,000 2,500, ,056,000 Total Appropriation to IDB 12,277, Total Parks & Recreation 700, , ,000 - Total EAC Total Police Department 252,000178,55873,442 - Total Fire Department 4,960,100 3,308, ,651,155 Total Information Services 3,600,000 2,100,0001,500,000 - Total General Fund $ 47,665,521$29,087,706$5,755,442 $12,822,373 Total Water Quality Fund Total Solid Waste Fund Total ISS Construction Trust Fund 10,804,000 - Total Other Funds $10,804,000 - Total All Funds $58,469,521 $39,891,706 $5,755,442 $12,822,373

6/13/20165 FY10 MAJOR PROJECTS

6/13/20166 FY10 MAJOR PROJECTS

6/13/20167 FY10 MAJOR PROJECTS cont’d.

6/13/20168 Budget Summary

6/13/20169 FY10 Capital Funding Sources Project Name General Obligation Bonds Economic Development Recovery Bonds Economic Development Gen.F/Debt Service Reserve Other City Sources Interfund Reallocation External Sources Total Funding FY10 Total General Government & Agencies 275, ,056 1,375,581 3,000,000 91, ,000 5,246,850 Total Public Works General Fund 250, ,357,444 2,159, ,005 3,282,000 7,072,603 Total Public Works General ESIP 1,500, ,000, ,056, ,556,000 Total Appropriation to IDB - 6,813, ,000 4,747, , ,277,968 Total Parks & Recreation , , ,000 Total EAC Total Police Department , , ,000 Total Fire Department 3,188, , ,651, ,960,100 Total Information Services 1,500, , , ,500,000 3,600,000 Total General Fund 6,713,945 6,813,000 2,999,500 8,761,261 3,800,000 12,822,373 5,755,442 47,665,521 Total Water Quality Fund Total Solid Waste Fund Total ISS Construction Trust Fund ,804,000 - Total Other Funds ,804,000 - Total All Funds 6,713,945 6,813,000 2,999,500 8,761,261 14,604,000 12,822,3735,755,442 58,469,521

6/13/ FY10 Funding Sources

6/13/ Other City Sources Narcotics Fund500, /2003 Bond Interest300,000 Fleet Lease Program3,000,000 Reappropriation of P413 Funds12,531,000 Reappropriation of P414 Funds267,368 Bond Fund24,005 Total Other City Sources16,622,373

6/13/ External Funding Sources ARRA Grant thru State/Stimulus4,189,000 EPA/US Park Service500,000 State of Tennessee638,000 State of TN TNCare Reserves73,442 Community Development Block Grants355,000 Total External Funding Sources5,755,442

6/13/ Capital Improvements Plan Fiscal Years Project Name 09/10 Total Recommended 10/11 Total Recommended 11/12 Total Recommended 12/13 Total Recommended 13/14 Total Recommended Total General Government & Agencies5,246,8501,165,000922,500850,000805,000 Total Public Works General Fund7,072,60317,505,50017,205,5009,538,00023,727,000 Total Public Works General ESIP13,556,0001,000,0005,520,430 1,000,000 Total IDB NR08 Fund12,277, Total Parks & Recreation700,0004,623,5002,953,0001,105,000315,000 Total EAC0200,000 Total Police Department252,000 Total Fire Department4,960,1001,688,3002,130,0002,146,0002,465,000 Total Information Services3,600,000850, ,000 Total General Fund 47,665,521 27,284,300 30,033,430 20,211,430 29,364,000 Total Water Quality Fund02,025,0003,775,000 Total Solid Waste Fund06,525,140250,000515,000961,000 Total ISS Construction Trust Fund10,804,00011,483,65316,633,65315,533,6530 Total Other Funds 10,804,000 20,033,793 20,658,653 19,823,653 4,736,000 Total All Funds 58,469,521 47,318,093 50,692,083 40,035,083 34,100,000

6/13/ Total General Fund Debt Service 2001 – 2010

6/13/ Outstanding Debt

Page 16 Current Debt Profile The City has traditionally retired its general obligation debt at a rapid rate. The City will retire approximately 33.9% of outstanding debt within 5 years, approximately 62.5% within 10 years and 86.7% within 15 years.

Page 17 Current Debt Profile The following charts and tables are profiles of the City’s self-supporting debt. CDRC Lease and Hotel-Motel Tax Debt

Page 18 Current Debt Profile The following charts and tables are profiles of the City’s enterprise debt.

Current Debt Profile

Unreserved Fund Balance as a % of General Fund Expenditures 6/13/ Positive Benchmark: Aaa 19%; Aa 21%

Unreserved General Fund Balance as a % of General Fund Operating Revenue (Including Transfers In)

Unreserved General Fund Balance as % of General Fund Operating Expenditure (Including Transfers Out)

General Fund Balance as a % of General Fund Operating Revenue (Including Transfers In)

General Fund Balance as % of General Fund Operating Expenditure (Including Transfers Out)

Net GO Debt as % of Assessed Value 6/13/ Positive

Net GO Debt as % of Market Value of Taxable Property

Overall Debt Per Capita

Net Debt Per Capita

Net Debt per Capita as % of Per Capita Personal Income 6/13/ Positive

Net & Overlapping Debt per Capita as % of Per Capita Income

Debt Service Fund as a % of General Fund Expenditure (Excluding Transfers Out) 6/13/ Positive

Debt Service Fund as % of General Fund Operating Expenditures (Including Transfers Out)

Overlapping tax as % of Market value of Taxable Property

ADS ratio is current year revenues available for debt service divided by current year total debt service. Indicates the financial margin to meet total ADS with current revenues available for debt service (a key ratio per Fitch) Fitch benchmark is 1.8 “A” and 2.3 for “AA”. Days cash on hand, another key ratio is 535 days vs. 332 days for “AA” rated systems. Indicates financial flexibility.

Interceptor Sewer Key Ratios Most recent three-year historical average of annual revenues available for debt service divided by respective debt service for the year. This ratio indicates the historical trend in additional debt service coverage.

Interceptor Sewer Key Ratios Current-year revenues available for debt service divided by current-year debt service. This ratio indicates the financial margin to meet current annual debt service with current revenues available for debt service.

Interceptor Sewer Key Ratios Current unrestricted cash and investments plus any restricted cash and investments (if available for general system purposes), divided by operating expenditures minus depreciation, divided by 365. This ratio indicates financial flexibility.

6/13/ Questions & Comments