The URL can be used to link to this page

2017-06-05 - Village Board Committee of the Whole - Agenda Packet2. Special Business A. General Fund Five Year Financial Forecast FY 2018-2022 (Trustee Johnson) (Staff Contact: Scott Anderson) B. Emergency Medical Service and Transportation Fee (Trustee Trilling) (Staff Contact: Mike Baker) C. Stormwater Proforma (Trustee Stein) (Staff Contact: Michael Reynolds) D. Twenty -Year Water Rate Proforma (Trustee Johnson) (Staff Contact: Scott Anderson) 3. Questions From the Audience Questions from the audience are limited to items that are not on the regular agenda. In accordance with Section 2.02.070 of the Municipal Code, discussion on questions from the audience will be limited to 10 minutes and should be limited to concerns or comments regarding issues that are relevant to Village business. All members of the public addressing the Village Board shall maintain proper decorum and refrain from making disrespectful remarks or comments relating to individuals. Speakers shall use every attempt to not be repetitive of points that have been made by others. The Village Board may refer any matter of public comment to the Village Manager, Village staff or an appropriate agency for review. 4. Adjournment The Village Board will make every effort to accommodate all items on the agenda by 10:30 p.m. The Board, does, however, reserve the right to defer consideration of matters to another meeting should the discussion run past 10:30 p.m. The Village of Buffalo Grove, in compliance with the Americans with Disabilities Act, requests that persons with disabilities, who require certain accommodations to allow them to observe and/or participate in this meeting or have questions about the accessibility of the meeting or facilities, contact the ADA Coordinator at 459-2525 to allow the Village to make reasonable accommodations for those persons. 2.A Information Item : General Fund Five Year Financial Forecast FY 2018-2022 ........................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................ Recommendation of Action Staff recommends discussion. The Five -Year Operating Forecast takes a forward look at the Village's General Fund's fund revenues and expenditures. The primary objective of the forecast is to provide the Village Board and related stakeholders with an early financial assessment and identify significant issues that should be addressed in the budget development process. For the purposes of constructing the forecast, operating revenues are measured against operating expenditures without including any prior period fund balance to subsidize revenue. ATTACHMENTS: • General Fund Forecast 18-22 (DOCX) Trustee Liaison Staff Contact Johnson Scott Anderson, Finance Monday, June 5, 2017 Updated: 6/1/2017 3:09 PM Page 1 Packet Pg. 2 2.A.a • 201 1 2022 Village of Buffalo Grove A Financial Assessment of General Fund Revenues and Expenditures Packet Pg. 3 2.A.a The Five -Year Operating Forecast takes a forward look at the Village's General Fund's fund revenues and expenditures. The primary objective of the forecast is to provide the Village Board and related stakeholders with an early financial assessment and identify significant issues that should be addressed in the budget development process. For the purposes of constructing the forecast, operating revenues are measured against operating expenditures without including any prior period fund balance to subsidize revenue. The goals of the forecast are to assess the Village's ability, over the next five years, to maintain current service levels based on projected revenue growth. As part of the analysis to measure future sustainability is ensuring proper funding of reserves is available for vehicles, buildings, storm water infrastructure and technology. The assessment analyzes the capacity to fund capital projects and restore unassigned fund balance reserves to ultimately reach a balance that will cover four and a half months of expenditures (35%). It is important to stress that this forecast is not a budget. It does not dictate expenditure decisions; rather it identifies the need to prioritize allocations of Village resources. The � Ihe ii ntcurit of the Ffvc... Year Opeirafing Forecast its to c sllusctc ureSO su~ce snllll cadoi ns to cumnsuu~c III°ne siropeim funiinIl i for scumvlic s, c 1pfta� 1, tiuslfirasturusctuurcd and maintainuing ireserves. forecast sets the stage for the budget process and aids both staff and the President and Board of Trustees in establishing priorities and allocating resources appropriately. As a governmental entity, changes in strategy that involve service delivery should be slow and methodical. The forecast provides a snapshot of the Village's fiscal health based on numerous assumptions over the next five years. The forecast is a planning tool and should be considered fluid in its construction. As new significant data or trends emerge, the document will be revised, at minimum, on an annual basis. Packet Pg. 4 2.A.a The General Fund is the main operating fund and accounts for the core and support services provided by the Village including public safety (police & fire), public works, community development, and administration. All major discretionary revenues such as property tax, sales tax, income tax, telecommunication, and utility use tax are accounted for within the General Fund. Other revenues sources would include licensing, fees for service, interest income and fines. The Finance Department works with departments responsible for administering the service and/or collecting the associated revenue to develop program revenues. Expenditures assumed in the forecast are based on the current service level or funding required to maintain today's level of recurring service. Final audited 2016 expenditures set the baseline for analysis blended with estimates through the first half of FY 2017. The General Fund is the primary focus of the forecast as it represents about 50 percent of the total Village Budget. The second largest Village Fund is the Water and Sewer Fund accounting for 24 percent of the total budget. A twenty-year funding analysis is completed annually for that enterprise activity. In the absence of any known service level modifications, the forecast assumes the continuation of current service levels and the costs projected over five years. Revenues are estimated based on anticipated growth and do not consider increases in revenues generated by new fees or increases in fees, new development, and/or charges beyond what is prescribed by current ordinance. Packet Pg. 5 2.A.a In the development of a long-term financial forecast, the Village reviews external and internal factors that could impact the either the collection of revenue or the price of acquiring goods or providing services. Evaluating how the regional impact of the national economy (macro) influences the local economy (micro) is an important step in the process. The national economy affects both state and local economies, although this impact varies by jurisdiction and may actually have an inverse effect on a community. Some of the economic indicators the Village uses in the financial analysis include; inflation, stock market returns, employment, housing starts, vehicle sales, interest rates, and manufacturing activity. Inflation —The Consumer Price Index (CPI) commonly referred to as the inflation rate, measures the average price change for a market basket of consumer goods and services. The Bureau of Labor Statistics classifies each expenditure item in the basket into more than 200 categories cataloged into eight major groups. The Consumer Price Index is used as the inflationary factor for specific non -personnel services. As inflation goes up, the cost of goods sold go up, increasing retail sales tax revenue. As prices rise, so will business income tax receipts. Conversely, the Village will have to pay more for goods and services. The most recent (March 2017) Consumer Price Index is at 1.96 percent, Capital projects use the Construction Cost Index which is 4.3 percent (December 2016). Stock Market Returns — Stock market returns are a leading indicator and will change before the economy changes. Approximately 56 percent of all Village pension funds are invested in mutual funds and/or individual stocks. The performance of the stock market is a significant factor in determining the growth of the property tax levy for pensions. When investment performance does not attain the 7 percent annual earnings benchmark, there is additional pressure on the tax levy to make up the difference. Employment — Retail and vehicle sales tend to have inverse relationships with the unemployment rate. Sales tend to move in the opposite direction of the unemployment rate. Chronic unemployment often spills over into the residential real estate market resulting in lost real estate transfer tax revenue. Packet Pg. 6 2.A.a Housing starts - This indicator provides a sense of the overall demand for housing, which can be indicative of local housing activity. Data maintained by local realtor groups is useful in projecting the future of market recoveries. Vehicle sales — Sales and use tax revenues tend to fall with vehicle sales, which are heavily dependent upon both employment and interest rates. However, if increases in new vehicles are expected to reduce the value of used vehicles, the sales and use tax base can actually decline if the depreciation of used vehicles is not equally offset by the value of new vehicles. Interest rates — The interest rate impacts the Village's revenues in several ways. First, investment income will be affected by interest rates. Second, the availability and cost of capital directly affect business expansion and retail purchases. As credit is extended and/or rates are lowered, revolving purchases may increase, thereby increasing development plans and retail sales and, by extension, sales tax, and business licenses revenues. Manufacturing activity — If a Village has a large manufacturing sector, the ISM (Institute of Supply Management Index) becomes a significant factor in revenue analysis and forecasting. Manufacturers respond to the demand for their products by increasing production and building up inventories to meet the demand. The increased production often requires new workers, which lower unemployment figures and can stimulate the local economy. Although national economic indicators do have some trickle -down impact on the Village Budget, there are regional and local economic factors that have a direct influence over revenues and expenditures. Some of those factors that have been considered moving into the next five-year update include; • Impact of the Real Estate Market and Assessed Valuations. Assessed values for taxable property are finally posting positive growth after six years of decline. Lake County properties values grew by 6.72 percent, in FY 2016, representing the largest annual increase since 2005. Cook County grew by 20.9 percent after the triennial property reassessment. That was the largest annual percentage increase since 1989. • State of Illinois Budget Crisis. The State of Illinois continues to function without a budget. Staff continues to monitor legislative discussions that could have a direct financial impact on Village revenues. • Impact of Employer Pension Costs. The tax levies for the three pension systems account for about 40 percent of the property tax levy. Additional pressure on the tax levy to Packet Pg. 7 2.A.a support growing pension costs will impact the ability to increase taxes for core services. The pension funds will continue to rely on a strong equity market to attain its investment actuarial benchmark of 7 percent. • Health Care Inflation. After wages, health care cost are the single largest expenditure category in the fund and the Village continually reviews the structure of the plan to try to limit the amount of growth on an annual basis. The Village is a member of the Intergovernmental Personnel Benefits Cooperative (IPBC). This insurance pool helps to dilute risk and helps to leverage purchasing power. • Commercial/Retail Development. The economy's impact on existing sales tax generators as well as development or redevelopment of Dundee, Milwaukee Road corridors and Lake Cook Corridors. The Village has embarked on a Lake Cook Corridor study to evaluate the opportunities that redevelopment may have on the Village economy. • Infrastructure. The ability to keep pace with the maintenance needs of Village owned assets continues to be a significant financial challenge. Listed below is the five-year update to the General Fund Forecast. The remainder of the report will describe the methodologies used to develop both revenues and expenditures. Packet Pg. 8 2.A.a n nn ou nn nn nn nn iw nn ENEW Property Taxes .................................................................................................................................................. 14,940,027 15,313,528 15,696,366 ......................................................... 16,088,775 16,490,995 1.025 Income & Use Taxes 5,040,000 5,166,000 5,295,150 5,427,529 5,563,217 1.025 State Sales Tax 5,754,794 6,369,890 6,997,288 7,637,233 7,789,978 1.02 .................................................................................................................................................. Home Rule Sales Tax 3,613,540 3,685,811 ......................................................... 3,759,527 3,834,718 3,911,412 1.02 Real Estate Transfer Tax 1,000,000 1,030,000 1,060,900 1,092,727 1,125,509 1.03 ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,, Telecommunications Tax 1,513,000 1,513,000 1,513,000 1,513,000 1,513,000 1.00 Prepared Food and Beverage Tax 746,000 793,380 817,181 841,697 866,948 1.03 .................................................................................................................................................. Utility Tax-Electric/Natural Gas 2,683,000 2,709,830 ......................................................... 2,736,928 2,764,298 2,791,941 1.01 Licenses 291,600 291,600 291,600 291,600 291,600 1.00 ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,, Building Revenue & Fees 1,020,000 1,030,200 1,040,502 1,050,907 1,061,416 1.01 Intergovernmental Revenue -Local 270,956 276,375 281,902 287,540 293,291 1.02 Fines & Fees -Police & Fire 1,700,000 1,700,000 1,700,000 1,700,000 1,700,000 1.00 Storm Water Management Fees ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,, 1,152,000 1,200,000 1,200,000 1,200,000 1,200,000 1.00 Operating Transfers 901,000 901,000 901,000 901,000 901,000 1.00 Miscellaneous Revenue 1,520,414 1,535,618 1,550,974 1,566,484 1,582,148 1.01 ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,, Total Revenues 42,146,331 43,516,231 44,842,319 46,197,507 47,082,455 Annual Increase 3.3% 3.0% 3.0% 1.9% Personal Services 20,295,521 21,107,342 21,951,636 22,829,701 23,742,889 1.04 ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,, Personal Benefits 10,597,685 11,021,592 11,462,456 11,920,954 12,397,793 1.04 Operating Expenses 2,621,368 2,673,795 2,727,271 2,781,817 2,837,453 1.02 ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,, Insurance & Legal Services 1,235,770 1,285,201 1,336,609 1,390,073 1,445,676 1.04 Commodities 450,000 461,250 472,781 484,601 496,716 1.025 ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,, Maintenance & Repairs 2,969,172 3,043,401 3,119,486 3,197,473 3,277,410 1.025 Capital Outlay 446,000 457,150 468,579 480,293 492,301 1.025 ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,, All Other Expenses 450,000 461,250 472,781 484,601 496,716 1.025 Total Expenditures 39,065,516 40,510,982 42,011,599 43,569,513 45,186,953 ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,, Operating Surplus/(Deficit) 3,080,815 3,005,249 2,830,719 2,627,994 1,895,501 ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,, Annuallncrease 3.7% 3.7% 3.7% 3.7% 7 Capital Reserve - Vehicles 800,000 800,000 800,000 800,000 800,000 ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,, Capital Reserve - Facilities 300,000 300,000 300,000 300,000 300,000 Capital Reserve - Technology 100,000 100,000 100,000 100,000 100,000 ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,, Capital Reserve - Storm Water 250,000 250,000 250,000 250,000 250,000 Motor Fuel Tax 722,708 737,162 751,905 766,944 782,282 ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,, Capital Improvement Plan 1,392,568 1,213,158 2,572,000 2,614,100 600,000 Total Transfers 3,565,276 3,400,320 4,773,905 4,831,044 2,832,282 ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,, Total,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,, Fund Surplus/(Deficit) N N O N 00 T_ O N LL r� N v d L O LL R C <O C LL L d LL C 7 LL M G1 C O N O w r N N 00 fA cC d O LL C LL c0 L O C G1 C t v �a zo Packet Pg. 9 2.A.a The forecast provides two levels of analysis. The first level is to show the General Fund's ability to meet day-to-day expenditures. The highlighted row designated as Operating Surplus/ (Deficit) is an indicator of whether anticipated revenues support operating expenditures. In all five years of the forecast, revenues will support current services. This is a measure of short- term sustainability. The second level of the analysis includes transfers for capital projects and infrastructure reserves. Long term sustainability is measured through the Village's ability to invest in infrastructure including funding reserves for vehicles, buildings, equipment, technology, streets (though Motor Fuel Tax), and projects in the Capital Improvement Plan. Commitments to long- term capital programs are identified under "General Fund Transfers — Projected." All projects submitted for inclusion in the FY 2017-2021 have been added to this report. After including these transfers, the total fund surplus at the end of FY 2017 is estimated to be nearly $.04 million. One of the financial indices the bond rating houses (Standard & Poors and Moody's Investor Services) cite as the reason for the current AAA bond rating is the low level of debt. The current budgeting strategy is to try and fully fund capital reserve programs in order to remain on a pay- as-you-go basis of capital asset financing. If reserve amounts are depleted, or inadequately funded, staff will need to consider debt financing for future expenditures. A continued commitment to properly funding capital will require a continued commitment to economic development and building the sales tax base. The General Fund Fund Balance Reserve Policy sets forth a minimum unassigned reserve level of 25 percent of the subsequent year's budget (less capital funding and reserve transfers). Within the adopted Strategic Priorities is a goal of reestablishing a 35 percent threshold by the end of FY 2017. It is important to maintain a strong reserve level for several reasons, (1) it provides more time to react and respond to revenue threats created by economic conditions, (2) it helps to better withstand any unfunded legislative mandates that will create additional expenditure obligations without corresponding revenue, and (3) to fund unforeseen infrastructure/capital asset costs. Spending down of prior period reserve balances allows the Village time to reallocate resources within the budget and restructure service levels to react to the fiscal environment. After drawing down on the balance to respond to emergency conditions, it is important to rebuild Packet Pg. 10 2.A.a those reserves in order to remain flexible to respond to the next threat. Fund balance should never be used to support day-to-day operations. Absent an unforeseen economic crisis, the use of reserves to support operating expenditures represents a budget that is structurally unbalanced. The following chart provides a history of fund balance reserves and includes estimates for the current fiscal year and the five forecasted years using the assumptions in the financial forecast. Unassigned Fund Balance General Fund N $20 0 $15 $10 $5 $0 OHO 01 01 4, O� OHO ti0 OtiN O,� O,D Q� Q!1P Q�p Q�p ,ti0 ,LO ,LO ,ti0 ,LO ,y0 The red line on the graph represents the fund balance policy minimum of 25 percent less pension and capital transfers. In FY 2016, the policy minimum is adjusted to 35 percent to be consistent with Village Strategic Priorities. At the conclusion of the last audited fiscal year (2016) unassigned fund balance represents 34.9 percent of the operating expenses of the FY 2017 Budget. Based upon the five-year analysis, if all capital and reserve transfers are made the 35 percent target will not be attained. Packet Pg. 11 2.A.a Approximately 85 percent of all General Fund revenue is generated from seven revenue sources including property tax, combined sales tax including prepared food and beverage, income and use tax, telecommunications tax, utility (natural gas & electricity) use tax and real estate transfer tax. Almost half of the Village's major revenue sources are elastic. Elastic revenues are those sources that tend to fluctuate with the economy. A balance between elastic and inelastic revenue is desired as a hedge against market volatility. General Fund revenues considered elastic include: sales and use taxes, income taxes, telecommunications tax, real estate transfer tax, building revenue and fees, and investment income. The property tax is an example of a non -elastic source of revenue as collections are stable and predictable. With the tenuous financial condition of the State of Illinois, the Village continues to seek to be less reliant on state -shared revenues (income, base sales, and telecommunication taxes) and align core services with taxes/fees under local home rule control. There are three components to the Village's property tax levy. The first component is the Corporate Levy. This levy helps to fund public safety (police and fire) operations. The growth in the corporate levy is tied to inflation. The second component is the Debt Service Levy. This levy covers the principal and interest payment on outstanding debt issuances. The last component is the special purpose/pension levies. The tax levies for the three pension funds (Police, Firefighters, and IMRF) are calculated by independent actuaries. The levies are structured to cover the normal cost of the pension, an amortized annual amount of the unfunded actuarial liability, and the interest cost on that liability. Unfunded liability grows when actuarial assumptions are not met (interest rate) or when legislative changes (Springfield) are enacted that modifies benefits. Those legislative changes are deemed to be unfunded liabilities. Each year the Village determines its levy amount. Since debt service payments are mandatory as are pension contributions, the amount of control the Village has over the tax levy is limited to the Corporate Levy. Future ability to raise property tax revenue to support General Fund operations is challenging as the corporate levy must compete for tax dollars with pension and debt service levies. In Packet Pg. 12 2.A.a 2003, levies for pensions accounted for 32.1 percent of the tax extension. In the most recent tax year (2016), pensions represent 38 percent of property tax. The chart below shows how property tax dollars are allocated. Debt Service ' - 7 The levy request is then applied to the equalized assessed value of all property within the Village to determine a tax rate. Assuming the same tax levy amount, if the values go up the rate goes down and conversely the rate goes up if the values decline. The total equalized assessed value of property in Buffalo Grove is $1,556,226,496. Over the last ten years, property values have averaged a 3.12 percent annual decline in Cook County and 1.41 percent annual decline in Lake County. Growth in the tax base returned in 2016. The more new properties that are added to the tax base the lower the tax burden on all property owners. Listed below is a history of equalized assessed valuations since 2008. Packet Pg. 13 2.A.a N 2,000 1,800 1,600 1,400 1,200 1,000 800 600 400 200 0 Equalized Assessed Valuation 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Cook County OTotalEAV WLakeCouty Inflation sets the growth baseline for both the base (2%) and home rule sales taxes (2%). Combined, this is the second largest revenue source for the Village. The base sales tax revenue is directly related to the dollar value of sales made within the Village. Home rule sales tax applies to the same transactions as the base sales tax except in the following transactions, food for human consumption off the premises where sold (groceries), prescription and non- prescription medicines and tangible personal property that is titled with an agency of the State of Illinois. The assumption for the five-year analysis is that the retail mix will remain substantially similar to what is present today with the exception of new retailers where development plans are approved. The forecast applied to both base and home rule sales tax produces the following; Packet Pg. 14 2.A.a V) $9,000 VM $8,000 3 $7,000 $6,000 $5,000 $4,000 $3,000 $2,000 $1,000 M ,ti0 .10 ,ti0 ,ti0 .LO �O ,10 .10 .10 ,ti0 .LO ��e �Oz �p2 tie �,L2 ,LO ,LO ,y0 ,y0 ,ti0 N $4,500 c ;A $4,000 3 O $3,500 $3,000 $2,500 $2,000 $1,500 $1,000 $500 $0 L..... 01 p4� O°� ,LO .y0 .LO ,ti0 ,ti0 .LO .LO .y0 ,ti0 tip ,y1� Otis ti Oti0 ti O,yO ti O,y`y O,y'L ti ti tip The Village strives to diversify its retail tax base so that no one sector is overly exposed to economic and/or demand fluctuations. The following chart reflects the Illinois Department of Revenue Standard Industry Codes (SIC) for sales tax remitted to the Village. Packet Pg. 15 2.A.a Agriculture & All Others, 15.63% Drugs & Misi 28.47' NA-,- f^^+. General I.-.-...-...- ... . ......a Stations, 9.90% =ood, 14.94% king and Eating laces, 9.36% Apparel, 0.93% iture & H.H. & adio, 3.19% tuber, Bldge, lware, 14.93% The Illinois income tax is imposed on every individual, corporation, trust, and estate earning or receiving income. The tax is calculated by multiplying net income by a flat rate. The current rate is five percent of net income. The rate reverted to 3.75 percent beginning January 1, 2015, to December 31, 2024. The rate will then reduce to 3.25 percent starting on January 1, 2025. The formula for distribution for local governments was 10 percent of the revenue, allocated on a per capita basis when the rate was 3 percent. When the state rate increased to 5 percent, the increase was not included in the distribution making the effective per capita distribution to municipalities six percent. The Village's unemployment rate as of May 2017 is 4.4 percent. The largest occupation sector is within management, business, and finance at 14.83 percent of the workforce. The forecast accounts for 2.5 percent growth each year through the duration of the forecast. The chart below shows the performance of the income and use tax since FY 2007. Packet Pg. 16 2.A.a $6,000 c 3 $5,000 0 L ~ $4,000 $3,000 $2,000 $1,000 $0 �oN�e �oy�e ,yo This tax (1%) was adopted in 2008 and is levied on the purchase of prepared food for immediate consumption and the sale of liquor. Similar to sales tax, inflationary growth is the central driver of revenue increases with five-year increases projected at two percent annually. 109 establishments charge and remit this tax to the Village. The following chart shows the growth of the revenue since inception. $1,000,000 $900,000 $800,000 $700,000 $600,000 $500,000 $400,000 $300,000 $200,000 Q, Q, el z �A��a tioy� tio�� o�o �oyti �oyti ,�o Packet Pg. 17 2.A.a This tax is levied at 6 percent on all types of telecommunications except for digital subscriber lines (DSL) purchased, used, or sold by a provider of internet service (effective July 1, 2008). The exemption of DSL service has made a significant impact on collections. Recent legislation has also mandated that data packages no longer be bundled with all other telecommunications billing for the sake of taxation. Those services have been exempted. This revenue is down 39 percent from the peak in FY 2007. The forecast calls for no change over the remainder of the plan. $3,000 v c $2,500 0 s ~ $2,000 $1,500 $1,000 $500 $0 (0 y1��a QN5 ti�y� ti��o 1PLy Natural gas and electricity charges are based on consumption and fluctuate with seasonal demands. The Village is charging the highest statutory rate. Growth is projected over the next five years to be one percent annually. Any new growth will be predicated on adding square footage to houses or buildings and offset by more energy efficient construction and mechanical systems. Real estate transfer tax is collected at the rate of $3 per $1,000 of sales consideration. This revenue reached a peak in 2005 at $1.3 million. There has been a recovery in sales since the market reached a bottom in FY 2012. Traditional sales are increasing as well as the number of Packet Pg. 18 2.A.a high -value commercial transactions. One extraordinary commercial transaction occurred in FY 2016 that was valued at $48.5 million. The sale of that stamp represented over 10 percent of the total revenue. Based upon the chart below (provided by Realtor.com), the median days on market is the lowest in the last three years future reflecting a strengthening housing market. Buffalo Grove, IL Real Estate Market Treads o tdn siiru Li„ting Pi i e Median Days on Market Ir L i. lire Pi Ft i Yr 2 `i'r 3 Yr BUtfal o G_dro ra IL Ck Buffalo Grave, IL 1 rrio 80 60 an 2r 0 0' 5 Ln $1,200 c $1,000 0 L ~ $800 $600 $400 $200 $0 ,LO Packet Pg. 19 2.A.a The average annual increase in operating expenditures over the next five years is 3.7 percent. In each of the next five years, wages and benefits account for about 73 percent of all expenditures. The next largest expenditure account group is for maintenance and repairs (7 percent). For FY 2018 the distribution of General Fund expenditures is shown in the table below. 1%-\ 3% 2% Personal Services kg Personal Benefits Operating Expenses IN Insurance & Legal * Commodities Maintenance & Repairs Capital Outlay All Other Expenses U Capital Reserve Transfers Motor Fuel Tax Capital Improvement Plan Wages are anticipated to increase by a factor of 4 percent each year. The wage forecast anticipates the general wage increases plus merit -based pay range adjustments. The forecast does not anticipate any retirement incentives during the period. If one is offered, the forecast will need to be adjusted to reflect the impact of retirements. Over half of the workforce is covered by collective bargaining agreements and the Village has less flexibility when addressing wages with those units in the police and fire departments. Personnel levels have decreased significantly since 2010 as a result of the Village's previous VSI programs combined with reorganization strategies. Full-time staffing is at 212 employees or 11.9 percent less than staffing levels six years ago. It is anticipated that three new positions will be created based on operational needs the forecast and have been added into the calculations beginning in FY 2018. Packet Pg. 20 2.A.a A major initiative in FY 2015 was to establish a pay for performance system that will allow employees to move through their pay ranges. A merit wage pool is included in the FY 2018 Budget and managed by the Human Resources Department. The ability to advance employees through their pay range based upon performance is critical in maintaining an effective and motivated workforce. The largest single expenditure within Personal Benefits is for health insurance. The Village is a member of the Intergovernmental Professional Benefits Cooperative (IPBC). As a member of IPBC, the Village is better able to stabilize medical costs through risk pooling and provide a mechanism to help establish positive cash flow and rebuild reserves. The forecast calls for 4 percent growth each year in premium expenses. The employees' contribution is set at 15 percent of the premium in FY 2018. Continued efforts will be made to maintain costs. A renewed emphasis on wellness programs and evaluating data will be critical in the next few years to help stabilize experience. It is anticipated that there will be a significant amount of plan design challenge to control costs. Those changes may include incentive components for switching plans, elimination of a high -cost hybrid PPO plan, and/or the intuition of a high deductible plan offering. Beginning in FY 2014, employer pension obligations for police and firefighters are classified under Personal Benefits instead of all other expenses and the Illinois Municipal Retirement Fund has been closed. Employer pension costs have been assigned to each operating department budget. The intent of the change was to better represent the true cost of providing a specific service. Employer pension obligations are anticipated to be $6.4 million in 2018 or 14.5 percent of the General Fund Budget. In FY 2016, Moody's Investor Services met with the Village to review financial performance since the final quarter of 2014. Although the Aaa was affirmed, the Village was issued a negative outlook. The negative outlook was driven by external factors including the lack of a State of Illinois Budget and internal factors related to pension funding levels. Moody's did acknowledge that the Village continues to make 100 percent of its statutory contributions and has remitted approximately $1.1 million in excess of actuarially determined levy amounts. The concern that Moody's articulated is that, despite the Village's contributions, unfunded actuarial accrued liabilities (UAAL) are growing. In order to mitigate the growth in the UAAL, the Village will evaluate options to link a supplemental source of revenue to supplement tax levy contributions. Packet Pg. 21 2.A.a Within the Insurance category is the premium paid for general liability and workers' compensation coverage. In FY 2016, the Village moved from Intergovernmental Risk Management Pool (IRMA) for general liability and workers' compensation coverage to a fully insured stand-alone program. The reason for the change was to establish a risk premium structure that is more commensurate with the Village's service profile and asset values. The intent is to move to a fully self -insured model by the end of the five-year forecast. The deductible was raised in FY 2016 from $25,000 to $50,000 due to worker's compensation experience. The forecast assumes growth of 4 percent as recent claims experience will factor into the rolling five-year claims experience modifier. With a change to the fully insured plan, the Village should be able to be a more active partner in the management of workers comp claims and future litigation. The single largest expenditure within the Commodity account group is for purchase of salt for the snow and ice control program. The forecast calls for increases of 2.5 percent per annum. Staff continues to seek innovative ways to reduce commodity costs, such as bulk electric procurement and utilizing centralized purchasing to leverage the Village's buying power. Expenditure growth in this account group is estimated to be 2.5 percent per year. Included in these expenditures are costs related to the maintenance and repair of sidewalks and bike paths, street patching, streetlights, building facilities, vehicles, and parkway trees. Included in these costs are Internal Service Chargebacks for Central Garage and Building Maintenance expenditures. Packet Pg. 22 2.A.a Included in the transfers are $7.3 million for vehicles, technology, storm water, and building reserves over the next five years. If the Village intends to continue with a pay-as-you-go approach to acquiring vehicles and technology infrastructure and repairing facilities, then these transfers must be programmed. It should be noted that the reserve amount for facilities is the bare minimum to address various maintenance needs and does not provide enough funding for major repairs including roof replacements, purchase of mechanical systems and/or functional remodeling. There is $12.13 million in capital projects scheduled for completion during the five-year forecast. The projects are taken from the current Capital Improvement Plan (CIP) and the details of those projects are included in the FY 2017 annual budget. The amount of the transfer does not include all of the costs necessary to address the entire street maintenance program. The Village must continue to look at external debt financing to supplement state shared Motor Fuel Tax revenues. In each of the five years, revenues cover operating expenses and the budgets are anticipated to be in balance. Predicted revenues provide an operational surplus of 6.4 percent. That means that revenues can fall short of budget expectations by up to 6.4 percent without the budget going into deficit for day-to-day functions. After including amounts necessary for reserves and capital, there is a shortfall every year of the forecast. This is anticipated and adjustments can be made to address funding levels. It is important to note that reducing amounts spent on capital should not be viewed as budget cuts (or savings) rather it is a conscious decision to defer spending to future years. The liability still exists. Reserve spending needs to be reviewed in the same light. While efforts will continue to focus on how to deliver the same high level of services at lower unit costs, staff recognizes that revenues will also need to be reviewed. Every opportunity to grow the sales tax base should continue to be considered. Staff must ensure that revenues are Packet Pg. 23 2.A.a reviewed for adequacy (fees), efficiency (collections), and efficacy (diversified). New revenue sources should be researched, discussed, and if warranted, presented to the Village Board for consideration. This report will be used as a guide for the development of the FY 2017 Budget and will help shape the discussion about how the Village adapts to the current and future financial landscape. Staff seeks further input from the Village Board on the operating forecast. Packet Pg. 24 2.B Information Item : Emergency Medical Service and Transportation Fee ........................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................ Recommendation of Action Staff recommends discussion. The proposed fee increases are intended to bring the Village of Buffalo Grove closer to the average charged by the other 122 fire and EMS agencies surveyed in 2016. If the Village Board concurs an ordinance will be prepared and ready for the June 19, 2017 Village Board meeting. ATTACHMENTS: • Ambulance Billing Fee Request rev (PDF) Trustee Liaison Trilling Monday, June 5, 2017 Staff Contact Mike Baker, Fire Updated: 6/1/2017 4:23 PM Page 1 Packet Pg. 25 2.B.a V ILI, NG E 0 F' RUFFAW GROVE, DATE: May 26, 2017 TO: FROM: SUBJECT President Beverly Sussman and Trustees Mike Baker, Fire Chief Proposed Ordinance Revision - Chapter 3.36 Emergency Medical Service and Transportation Fee BACKGROUND On May 16, 2016, the Village Board approved a fee increase for charges associated with the provision of Emergency Medical Services (EMS) by the Buffalo Grove Fire Department. Recently, fire department staff reviewed the Village's billing structure for emergency medical service and transportation fees of 122 area fire and EMS departments in order to determine if the fees are still reflective of a cost recovery approach for such services. Based upon that review, it is recommended that fees for service be adjusted as set forth herein. Following is a breakdown of the proposed increases based on 2016 activity. BLS-R ALS 1-R ALS 2-R BLS-NR ALS 1-NR ALS 2-NR Mileage-R Mileage-NR Tota Projected > MIN $300.00 $400.00 $450.00 $375.00 $450.00 $600.85 $7.00 $7.00 Revenue L MAX $1,800.00 $1,800.00 $2,100.00 $1,800.00 $1,950.00 $2,550.00 $30.00 $30.00 increase can Range $1,500.00 $1,400.00 $1,650.00 $1,425.00 $1,500.00 $1,949.15 $23.00 $23.00 a d Average $719.42 $896.30 $1,052.59 $899.12 $1,107.03 $1,270.43 $13.43 $14.05 d LL m Median $650.00 $800.00 $950.00 $848.21 $1,025.00 $1,175.00 $14.00 $15.00 Mode $800.00 $800.00 $900.00 $800.00 $900.00 $1,200.00 $15.00 $15.00 Current $600.00 $700.00 $900.00 $800.00 $950.00 $1,100.00 $13.50 $13.50 Fees c E Q Proposed $650.00 $800.00 $950.00 1 $850.00 1$1,050.00 1$1,200.00 1 $15.00 $15.00 Assumptions: 2016 gross transport numbers (not actual collections) 2016 Gross 325 1272 22 146 345 10 Mileage 16340 2016 Fees $195,000 $890,400 $19,800 $116,800 $327,750 $11,000 $220,590 $1,781,340 y 2017 Fees $211,250 $1,017,600 $20,900 $124,100 $362,250 $12,000 $245,100 $1,993,200 t Estimated Increase $211,860.00 v 78% Q Collection Ra 1 $165,250.80 Packet Pg. 26 2.B.a As has been the Village's past practice, it is important to affirm that balance billing of residents is not included in this ordinance. If the resident's insurance policy will only reimburse a predetermined amount per a schedule of benefits, all that is collected by the Village is what their insurance carrier reimburses and the resident will not be required to pay any remaining balance. Nonresidents will be balance billed for any amount that is not provided by their insurance carrier, again consistent with past practice. RECOMMENDATION In addition to the requested fee increase to bring the Village of Buffalo Grove closer to the median charged by the other 122 fire and EMS agencies surveyed, it is recommended that the fire department staff perform an analysis every two years and a fee recommendation, if indicated, will be made to the Village Board. ATTACHMENTS Naperville Fire Department 2016 Fee Survey Packet Pg. 27 m N N V w N •L d V ca ca t L) A 0 C d Im El NW L.L U) W W N- LA_ W U) D O N uoi;elaodsueal pue aoinaag le3lpaw f(aua6aaw3 : C9W naa;sanbab aa=l 6uill!8 aoueingWy :;uauayae;;y co N r N r r N N r r N M N r r M N r r N N N N r r N N N r M r N M N w O O Lo O 0C� 0 00 o M 00 0 0 o (o O I- Ln N 3- N O M g q 0 Lq Lo n NMDV cli W 06 Oi M (o N ( N � LON ny J J J J J J J J J J J J J J J J J J J J J J J J J J J J J J J J J J� uaj w Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q m Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q J d m w w C8 U_ ❑ to w O w w } U LU Z W U U U) W C� LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL W❑ LL LL LL LL LL LL LL LL LL LL LL> M Z O Z OZ M LL LL j H 2 0 �,. ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ U ❑ ❑ ❑ ❑ U) ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL - Z LL LL LL LL LL LL LL U) D LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL Kz ❑ Z N N O N r N In r to NNN CK) O h 1l- M M N- M r M- M N M r N N O N N r O N N r O r M r (.0N N O r N (p } ❑ Y O W W Y O Y O J U) J z C7 m Q J J W z Dom'w O J O LL Y w (� d x Y w C�} d x z Y Y Y W W Y J Q❑ coJ J Q Y O J W O Y Q J Y Q J O O J 0 Q Q J J Y z U J ❑ O O D O O❑= O 0 Q M O O Q M 0 0 Y 00Oz JJ0 Y O 0Y J 0 U U U Q»J Q❑ �0Zz❑❑ Q>0 U U U U U LU Y❑ U (n Y 3: Y Y _Z J 0^ 1- I--O 0 co0 O 0 O 0 Lo 0 0 0 O O O O O O O O O 0 O O O O O 0 O 00 CD co 0 O 0 0 o O CD CD v o O N 0 O 0� 0 0 0 0 000 0 0) O o 0 0 0 0 0 0 C:e N M o) � I� (C1 O O (17 0 0 0 O O CO O O cc O O O � 0 N O O C Lr C) � 0 L 0 CL, I,- r O r V r L V of N CD o) vi o) o) N� V o0 r O r o r M O r N C6 of r N 05 d M( r r r r r r LL ❑ ❑ LL LL W ❑ LL LL ❑ LL W .9 � } LL ❑ (n LL❑ LL aY z ❑ LL❑ ❑ LL �d H LL ❑� LL z �C7 �❑ w Z❑ LL� m J J a 2 0 Z -6a ❑-LL' w Y ❑ z D>LL O W❑ Y❑ LL Y ❑LLx0 LL❑ U zY0�zz❑zLL LL Y ULL x❑ CnQ zm�wH0 z LU LL❑LL LLULL Q LL'LL �❑ QLLHO LL❑ D Yy °2fLL ❑ ❑ LL tocm O O 0 H LL❑❑ 0❑❑ W O W �xsC9Q caf cr LL z❑❑ }LLLL LL W LL LL W O U z QLLH LL x �"°':w❑�LLJQQ C3 F Q } W Jx(n�❑ZLLOJ W QzQ H--W W Z JU` o W �Q�»JJ mO W W zJ W LLC7❑��OQ- ZJOZLLLLxQ H O LL z 2 UYHZLL'HLL'HHHLL'U` W� Z J x W J W W LL 2❑ HH Y W U LL'�U) J -- Y zZ(nULL W❑ Q Q m W LL W J OJJ� W w Z W rL(� Q x z Q Q Q Q 0 w w w— u�cn � w l O x x Q w- U U y J Y J O H LL❑ Y z 4.. Q m m m U U U U U U 0 0❑❑ W W W W LL LL U` 2~ J J J 2E 2i 2E 2 co N Z31 a N Y v a 0 ci w Lb •L d v ca L L) A 0 c d Im El W U) W W N- LA_ W U) D O N uoi;elaodsueal pue aoinaag le3lpaw f(aua6aam3 : C9W naa;sanbab aa=l 6uill!8 aoueingWy :;uauayae;;y co N r N r r N N r M N r N r N N N r N N r r N N r (n co co co N r M M m O O Lo Lo O M 19 Lo M O Lo M) O O N O N C3) Lo r O LO 00 M O N O O O O Co O Lo Lfi 0 (6 N r V V LO N N M LSD V N V V 06 V V 1 N (`D LO CA cow ny U) J U) J U) J U) J U) J U) J U) J U) J w J CO J U) J U) J U) J U) J U) J CO J U) J w J 0 J w J U) J 0 J 0 J w J 0 J 0 J� U) J U) J w J U) J w J 0 J w J �! lL! Q m Q Q Q m Q Q Q Q Q Q Q Q Q Q m m Q Q Q Q Q Q Q Q 11J UJ Q Q Q Q Q Q Q to a to z ua� uaz is cs ❑❑❑❑°❑o❑❑❑❑�❑❑❑❑❑❑❑❑❑❑❑❑❑��❑❑❑❑❑❑❑ a U) Cc LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL Z O M U Z O LL z a❑ ❑❑❑❑❑❑o ❑ ❑❑ ❑❑❑❑❑ ❑ ❑❑❑ ❑ ❑❑a.a. ❑❑❑u�❑❑ ❑ ❑❑❑ ❑ LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL U- LLLL 0- LL LL U- K C®5 0 C6 r M N Ln N N N N O Z O W W J w (DQ LLY O �❑ O LL Co QQOYZ W JJ� Of W 0 W i- W U LL) ZY W W U WWJ YQ QJ W 0(. OJ U Oa-OOOOO�00O ❑(J -1 OO U 00LU O O U OJO U O D U OU O wU=: � OQ C Q} LLQLLYz Dz_3Dz - L Q W YQ J 0 g ❑O OO U O O ❑❑ 0❑❑ QOLU ❑YY U g Cn 0 M 0 O 0 0 0 0 0 00 0 0 0 0 0 O O O O N n O O O O O O 0 M 00 O 0 0 0 0 0 O O CO N 0 O 0 O LO It O O N W 00 O O 0 O 0 O 0 O 0 O �f7 0 0 0 0 0 O Cf) O I� r 0 0 0 O 0 0 LC7 O 0 0 Cn O M 0 0 0 0 0 0 CL, co N r LO N Ln 6 LO N � r N� N N (.O r aj r Ln N N N O N N N r M Cl, r- M O V Cfl N O V co M O co N V ❑ ❑ LL LL � LL LL J tz W >O ❑ 0-a ❑ _J W ❑Y c�LL W aU w ❑ ❑U) LL ❑ LL cn❑ ❑ LL uaC z ❑ ❑ LL❑ �LLZ2LLOf C-1 LL C/)LL LL=❑ (ALL �LL �za ❑ LL oa mLLaLL a � w Y LLLLaJLL W LLQ> �O2Q�❑ L=L�� W HCL CL H��wH 2� W=U)❑❑QJLL❑LLLLZ❑2YLL ❑ ❑❑LL W W L"Lts❑J Ca Q JU)❑ QQZ� N c(D0w❑Owaw��~�ww2OQ LL'LL� YLL C�W> W W J}LL W YOLL QLLJJZtu Q w H N LL LL5U- Z❑❑ z w y.C7 z= 0 0 W LL 2 0 Z W O❑ J U` 2 m W O Q U Y O LU❑ W 2 z d 2 Z o J O s�OH=OLLJU)U) U)O- W w WU W ZMOZ2LLZ zUQQ W ZHZO�C1� 20❑Uz e ozoZU O O Mo' LLi Of D Y 00`1Q �JzzO00tu �0 4zzzz0OLLLLLLLLm QQQJCC»0000- R2121nwoc U)>��}�4 a❑JZ-1OtY� QQQmmmm rn N 6 a N Y v a m m N N ci w Lb �L CD L L) A 0 c d Im El W U) W W N- LA_ W U) D O N uoi;elaodsueal pue aoinaag le3lpaw f(aua6aaw3 : C9W naa;sanbab aa=l 6uill!8 aoueingtuv :;uauayae;;y c N M V m� m m M N M't M N N V N V M N N V M M M V N M N N M V LO M N V O O Lq O O 0 0 0 0 (o 0 0 o Co O O V N LSD L. C2 r O M L2 r O C'J C2 r V N O M V M r O (O N r (O M (O r O � LC1 LO of r N N � (O W r I� V � 6 LO 00 CO r O N Ltd ny J J J J J J J J J J J J J J J J J J J J J J J J J J J J J ny J J J uajw¢¢¢¢¢¢¢¢¢¢¢¢¢¢¢¢¢¢¢¢ Lo ¢¢¢¢¢¢¢¢¢IjjW¢¢¢ U C� LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL z LL LL LL LL LL Cc LL LL LL � O � LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL Kz Kt (O O r M r t` r N r M O r N r (o N Cl) V 6) r M N M Ln r 0 r r O ll) r V O r M C� r (O r In �- W Y¢¢❑ m O Z O W U LL W Y Z O Z W W Y❑ W O m W Y Y O W Y¢ U` U)J ❑ Z W Y J J Y O Y O Y O J J J J W Z Y O¢ (7 J ¢ Q Z W U` Y r z Z Y w C D} a Z z �J ¢ Y W LL QQYJ Q ¢ x¢ LLJYJ(�JDUYJ>UUUY(,)❑�J❑UU ¢ O¢ m J p ¢>> O O O ¢ O LL Y¢ m 0= JUJU 0❑_ Cs ❑ ❑ 2E OO H 00 ❑ ❑ J ❑ CS J U U 0 00000000 0 0 0 0 0 0 0 0 0 0000vo0o0o0000000000coo 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 I- 0 000 0 0 r 0 0 0 0 0 LS7 O Cf) O O O O (fl O O O O O V O O 0 0 O O O N O c r 0 0 CL, (o CO O LO 00 V N N V CO co C') (D N O M 00 CO 0 M LO M N LC) V Lo N CO V Co CO N V I-- CO 00 N I� M LC) V O V (0 N� 0 O V o Cl) N V (D N N O V QL LC) I- V r- (o LO ❑ a LL w (�a U) a Q LL FChQ F LL a0ea❑ ° LL,0q LU ❑LL z OQ ❑ cz� �x❑❑ (n Ss LL W > a LL J J J ❑ LL LL Y ° LL Q Q LL Y ❑ LL❑ p LL U oZ$ LL ❑❑ ❑ LL❑ LL U W LL Y LL W ❑ J❑❑ >wLL a LL LL waLLaJLLLL ¢ ¢ ❑ W J❑ ❑ LL LL 0� LL W LL ❑ w_ JUOLL Z O LL LL ¢Fu LL❑ Y U &'" La'zO 2 O Y J �r C3� LLUJ m (n>W ° 0 Y �Y�❑LL>❑zLL U ¢ J w¢ z r� 0 _zXp(n W J O� Z m W LL'❑ OJJJ� W> W W HdZ0 00Z W 0 z0� m J F Z¢ Q Y�� w� Z¢ O ¢ J X LL W w> Q zz J xo z H¢ W� O F w Z J w QZ w J 3: x 0� Y w LL z O LU 2 x D ¢ of_ ¢ H LL p O Q (n L1 2 Q O� 0 z 0 Z} Ex Y m-1 z 2 CX CL 0 o 0 o w LL LL� x x-1 z z O a a of u) u) F- F� 3 3 4 Q m U m N N ci w Lb �L CD L L) A v c d Im El W U) W W N- LA_ W U) D O N uoi;elaodsueal pue aoinaag le3lpaw f(aua6aam3 : C9W naa;sanbab aa=l 6uill!8 aoueingtuv :;uauayae;;y co M LO V V C0 U) M N m m In n m v LO LO M m 0) m O M O LS) Lq 0 0 0 0 O Lo O Lo N O C0 N O? O 0 0 O O to e� d Lo Lo 7 m N N Lo Ln N V Lo (D O� O 4 m 0 (p ,sue c 6 V m N O Co M LO N (D aii c CO V CC N :a M (n w Q Q Q Q Q Q Q Q Q Q Q Q Q Q m Q Q Q W w Q Q Q Q Q wJ Q �❑❑❑❑❑❑❑o❑❑❑❑❑❑Q❑❑<❑❑❑❑ohs❑ c�LLLLLLLLLLLLLLLLLLLLLLLLLL >LLLLZ0 0eaLL a a ❑❑❑❑aaa❑❑❑❑❑❑❑❑❑❑❑ ❑❑❑❑❑ LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL LL a_ LL Q Q Q Q_ C0 '� m M Ln O Ln N N M N M N CgJ M O O a0 C6,p Q J Q Z W Z<Oooz-jz } } 0-1 Y J 3: w W U Z -i JO W Q CO J :::)`LOoomMom00000QQLL O o U U O U o U U U U O O Y J o Zio O U J Ow a z J U O U a a a D D ❑ w z a Y q O o � I- r-000(0000000000 (0 O 0 O 0 O 0 (D cl O 0 O C O C O C O C O C O LL) O C O 0 V L() O ov O CO co q O 000�a Op 0 LO 0 \- m CL` Lo LO LO Lf) co f- ((D LO M U') LO rO r- co (D M O Ln O O N V V LI') h LLI N ❑ LL a � Q N a d❑ LL W Q (J 3t m W z ((/) ( ❑ Z Q E CO 0 LL Leta LD ❑ w LL> w LLLL F O O Y LL Z 11 a D d Z LL 0❑ LL LL J❑ LPL Q LL Z> W Z r Q' r a Q Nf W m a a Q¢ z O❑ LL J� ❑ U 4� Q J i Q �i W J O� d Z -� Q Q— z� W} rCDo�-....Q Lu H LiE j0�..� Q' LL �$. 3 � QJQ Y(nWLL LLz0TDYYY-i20JU�W��UJdU �� L6J W W JODO OQQQQ Q OQOlt� �J N �aCL000 000LL0(n IL<C)�ZOf zW rn CD a� L CU a) CD LL LU N� L.L D U) LU w LL 0L LU U) C) N H z w N� Q w 0 LU LL LU J _J N> L.L LU a z uoi;elaodsueal pue aoinaag le3lpaw f(auorxiom3 : E9W naa;sanbab aa=l 6uill!8 aoueingLuy :;uauayae;;y U c � Lu m �� r rr rr r rr rr rrr r r rrrr rr rr r r r LU Ln 't O M O Ln � (O N (0 � (o M (o O LO t p m Liz Lo co w O a O M Lo Lo m p O V O N O N N p 0 N a N p 0 N 0 N 0 N O N O N O N O N O N O N p 0 N 0 N 0 N O N O N O N p O N O N O N O N p 0 N 0 N M CO N t 00 X) CO I� � m to r N CO � r r V U') N co 7 m CO N N r 0 O 0 O 0 O 0 O U (;.� O O O O O O O O M O O O O O Ln O O O LP M N O a0 CD 0 0 O O N O O O uq M M O O N CO O O n O o CD 0 0 N O Q r o Lo Lo (n 0 a co I- C N N I- N O S LC1 0 0 V L[7 O � L1') O Ln 64 H> H4 � 64 K} 64 fF) 64 VC) 6s L; H4 Zs 6s Ef> .4 64 64 64 fi) 64 64 64 64 CfT ('s Zs LU g�j 00 O O O O O O U M 0 O 0 O a O 0 V M p O o O Ln O O O Ln 'o N O 00 O O O O O O N O O O Lq Lo o O V o o P_ O o O O O O 11.! CO CO O CO Z r O O Ln M o r 6 "i I- N N r. O O r Lo � p O M Ln o Ln O Ln En6-16464 N ❑ Et}£!-T EfJ fR �ff)Efi K3 fA H-1 H30-1 Eli Ei-7�64 tR �£R EA ER Ki M HJ EA q�O O O O O OD LO Ln 0-----0000 O O O N O O p a "- V O O) O 00 O O O 00 O O O O O M L() O LI) Ln O O 0 0 a 0 C0 C, O O O O U Z O O p N 0 O 0 O LC) O O M LC) O CO p O 0 O 0 O 0 of V O n O O O O o O w M o O O O N o p N o Lo r M O LO O LO O O Lo *.6 N❑ f� N M N N N N O O M M N of O N m O M I-Lo {(� 4, N EA 64 64 64 64 fR ER ER EA , Ef> Ef? EA EA EA EA (fT 64 Ef-T 64 ff-} EA � 69 EA , Ef? EA EA � h� 0 0 0 0 0 0 0 o p 0 0 N a 0 0 o 0 0 o o t L, O OpO O p p o O 0 O M� M Lo a 0 a 0 0 0 O 0 0 O 0 O M M p 0 0 N 0 o p 0 p 0 0 O 0 o p LZU 0 In 0 o 0 0 0 o p Cn M p M 0 0 0 In 0 O I� In OLA(OOpop Ln O O (n O O O O o (fl p O N NpInO�I O- 0 0 - (OV - Lnw o O _ a0 p NLiz O Ii O - 00 W a7 SEA r - O V o Ln - o 6) ti fA p - 00 6`). m 6-,Ef>EA� Ln Ln 6064DER H-}H>H> EA K>� EH 64"I fH E9 ER Ci O p O O o a O N N O O o O pp o o O 0 o 0 0 0 0 CD 0 N O o o 0 0 O 0 p 0 (.0 0 o 0 N o o N N o 0 0 0 a 0 0 0 0 0 O Ln O O O 0 M N O Ln O V O O O p O n O O a 0 66 O W O M lf) to O O O In co CV o O m o p O M M O t` o 00 N u co p 0 o Lo (fl o Lb 0 O p Op O CO - 00 p p O 0) o 00 I- 00 o M p N V 00 o L() MIN 00 CO M CO o CO LO h p M N Ln _ EA o _ _ 6) 64 f!) H) H} K3 Ei-, U=, V) � H> d-7 � H) 64 H) 64 Efi H) Ef3 6'-, U=, H> Ef-7 " Efi N 0 O 0 O O O p O o 0 O 0 O O O Ln (fl O O O O O p O M N 0 O 0 O O O 00 O O O M Lf) O O O O a p 0 p O cs O 0 O U Z CD O O p p O p O O LL) N CS o N In O o O 0 Ln O 0 CS In 0 O CA M M O O C7 O O O O) O O p 9 O N O p M _ O o LO O co LO O o 0 LC) 0 O O o a.J N C❑ LL) _- M V M O L r N r- - M - O (O o O 0 _- 00 - CO M m Ln N _ O _ o _ M f� O m l O Co O rl- 1- O o I- O O N T - O P H4 EA EA H>64 ie 64 fR(l>v) v> RE!-?6'9 Ef>ER 364 �64 ff364 v) EA6') H-7 h� c) O O O p O N N 0 O 0 O 0 0 O a (D O O O O D O O O O M I,- (r M 0 0 0 0 0 m 0 O O O M oD O O (A O 0 O 0 O 0 O 0 O 0 a O (di m O O pp pp 6 O (n Ln 0 LO 0 O In V CA O O O L{) O O O O pp M M O LOC) 0 Lj) 0 O 0 O O 0 p M O O N O� O m 6 LC) 6 Lo 0 Ln r- gga ^*d M 0) N N t V V N (0 CA Cr) 00 o W) LO rl M 0p M V V p O O H LS7 O) L() I- N o m CO I` m Ln V _ Ef-3 E!> _ _ Ef> fA fA fA 69 64 ER EA EH EA E!-? E!> K} fA (fi ff3 64 64 Ef-? EJ> Ef-? EA E!> EA EA D 0 0 0 0 o O O O O O O O O O pp N O o 0 a 0 0 O V 0 0 0 0 0 0 O O o O 0 O 0 O N co 0 O 0 O 0 Lo 0 O 0 CO 0 O 0 O 0 O 0 O p p O V r C) 0 6 0 0 0 0 M 0 O o p p N CO O O N 10 O O 0 ('6 0 O Ln 0 O Ln p p 0 Ln N O f- O O O co O V f- M N m LO CO N W u M co f` M V LO V O Co O 00 W N V V M O m u) I� O (D n V� o p V V 1 LC) Ln CO L() CO N LO CO LO M N V �Ef>ffl 64 E!>64 fA H>4REf>flT64EfTE!>Ef? En Ef>64 Ef>64 Ef>64Ef34R Ef>EfT Ef>EfJ EA �64 ❑ a LL o ❑ LL C� a IL w ❑ J Z E r w F ❑ LL UD ❑ a ❑ a w o a m Y ❑ F z Z ❑ a ❑ LL ❑ LL r ❑ LL a U O LL LU ❑ ❑ Y U w ❑❑ a LL LL, LL L Q W Z❑❑ U a LL J Lai 2 ❑ a ❑> O a LL W g ❑ a Q J ❑ = Z LL Y❑ IL❑ J Q Y O (n Q ❑ Z Q H Z Z❑ ❑z 2❑ LL W ❑ (n Z W Y Q m LL COM 0 -9 W w�— LL J J LL Z 2Z❑O WLLQOZ WOWOO W,cO W �Q❑❑w �❑ W> ZD❑=�QC7a W Zm0OJOJ=cn�p❑z�❑OJwLLz�wzJo �D0 OZ (/�OaOZO�UYOz�� C7 W VO�z2 J- W �OmOQ�ZJ=O JQQwQ LHz�HQ�HZHHcn�Qa zQ W J� W W Q HILJJZ2❑�CC —mQ W cDFHQ L6J ❑CD7HJofiraCCOJD LLzQQQUQof=LULU LU n�—u�cn� ❑J Q Q Jzit Q Q Q Q m LUW m m JOOaZ m m m m m W U 2222 U U U U JOOa U U U U (If U [If U❑❑❑❑❑ W W WO�QQ❑ W W ILU m N rn CD a� L CU d CD LL LU N� L.L D U) LU W LL 0L LU U) C) N H z W N� Q W M LU LL LU J _J LU a z uoi;elaodsueal pue aoinaag le3lpaw f(aua6aam3 : E9W naa;sanbab aa=l 6uill!8 aoueingWy :;uauayae;;y U c � } } } } } } Lu m }} } } } } } }}}} } LU Ln 0 0 0 0 M 0 O 0 N 0 (O 0 (D 0 0 M 0 (fl 0 0 (fl o M r rO o 0 0 "0 0 N CDr Ln CD0 V co O M O M O O r (fl O CDr O M 0 �"'• N r O N N O N M N N N r N r N N N r N V N N r N N N r CD N O N N r N co N u7 N N N (O O N N V) N r N N r N N O N N Lid N I� O N N r f9 00 O 0 O 0 O 0 O 0 O 0 O 0 O 0 O 0 N 0 O 0 V O O O O O O M O O n 0 0 0 0 0 0 0 O U ^ N 0 O 0 0 0 0 0 O 0 Lq 0 O 0 O 0 r 0 0 0 0 0 M O a0 O 0 0 O N O r CO r O N M (O O O 6 L6 6 Z^ ❑ � 0 0 0 O I` r L- r O (O 64 H> 64 6-, 6-- A 64 64 64 64 64 64 64 64 64 EA 64 64 Q4 £R 64 6') bG- 6 6'4 64 64 64 64 Lul g�j 0 0 O 0 O 0 O 0 O 0 O 0 O 0 O 0 N 0 O 0 V tT O 0 O 0 O 0 LO O 0 O 0 O 0 O O U N 0 0 0 0 0 0 0 O 0 Ln 0 O 0 O 0 r 0 0 0 0 11.! Z Z Lf) M O Lo (D N f.O r CO O n O f.-: r 0 (O ❑ ❑ 64 Ei-7 64 64 {{} 64 (!-T 64 fR 64 64 69 K3 64 V> co 64 6G H> ❑ 6') m 64 to 64 64 64 EF3 .,) (fO H> q� O O O 0 O 0 O 0 O C)O O O O O C)r 0 0 0 C) O 0 Vc0 0 O 0 O 0 O 0 O N m 0 0 0 0 0 0 0 0 0 0 0 O O O O O O N co 0 Z 0 0 0 0 0 0 O O O O O O O O n r O O U Z O In O 0 L O LO N V LO N O O O O O O U Z Op ao 0 O 66 LO 0 0 0 0 0 O O O M 0O Lf) O N❑ O N In r oc O r r V❑ r N In M r OJ O0 N❑ O O r V fo 00 r CD 0�� 4, Ef> 64 Ef-J 6464 K3 H> 64 H>ER Ef?Ef>Ef>Z-0: Ef>K3 Efl 64 b464 H>69 Ef?69 ElT� 64 e9) h� LZU �-o 0 o 0 0 o 0 0 0 0 0 0 0 0 0 0 0 0 0 v 0 0 r� 0 0 0 0o 0 0 0 coo 0 0 0 0 0 0 0 0 o M v 0 o 0 0 0 0 0 0 0 0 00000 o0000 �I Lo O 0 N 0 O 0 0 O 0 0 M 0 0 LO 0 0 LO 0 O 0 0 Lo fD M N O O N N (o 0 O LO 0 O O O O Lo O � N O Co?) 0 O Lf) no 00 t` N Lo M M r M 0 0 O 0 LO O 0 In r 0 0 r. 0 0 lE 0 � 0 O fM fo L6 P- Lo O LO Q8,} O 1 _ O 6' _ O 601 _ _- O Ift f� V? NM Ef> EfJ _ O Ul _ _ _ _ 0O 3 (O H> 00 63 d> 00 e3 E9 4, 4 fA EH H-} Ef3 E!) 3 Ef3 64 Ef3 ff3 ElT d> Ef3 Ef-J C} 0 O O 0 0 O 0 O 0 0 0 0 0 0 0 0 0 0 00 O 0 O O O O O O O O O O r O 0 0 O 0 O O O O O a0 o 0 0 0 0 0 0 0 0 0 0 0 O 0 O 0 O 0 O 0 O 4.J O c O O O O O m 0 O 0 o 0 0 0 0 L() N 0 LC) 0 U Z O In O 00 O O Lfj N _• M M to O O O O O 00 M- M In M O Ln O LO 0 O 0 0 0 0 O N- O CO co O N N O LO O O M O r ^ N N O N M O ❑ to M (fl r h f9 N M M CO 00 CO M O M N lf) (fl lf) h 69 _ Ef> 6'> 64 _ Ef> _ 64 _ ff> _ F!} _ fA 64 fi> K-> U=, EA _^ Ef> Efl 64 _ Ef> _ cs3 64 _ EH 64 EA 64 _ ff> _ Ef> _ Ef-T 69 H> ea Ea 64 N O 0 0 0 0 0 0 0 0 0 0 0 0 0 r- 0 O O O O O O O L) 0 0 0 0 0 0 00 0 0 O 0 O 0 O 0 0 0 0 0 0 O O U Z O O 0 0 0 0 O 0 O 0 O 0 In t` r 0 N U Z O In O O O O LC7 N r (o M 0 O 0 O 0 O O O U Z O 0 O 00 'n O O Ln O O O O O O O O O O O Lf) r O O m), ❑ 0 0 Lf) W O M O O O O r N r- I� O O o0 M O❑ W O L- O 00 O fT O O I- O O O LO O fo S _ EA _ fA _ E!-T _ b464 fR 64 EtT ZI; �EYl H>� 64 64 ff3 v4 �64 E1> .a H>H-O O O O O O O O 0 O o 0 O 0 O 0 0 O 0 0 O 0 O V O O O M 0 p O O O O 0 p f� h O O 0 O 0 p 0 O 0 0 0 r 0 0 0 0 0 0 0 p 0 p 0 O 0 O 0 O 0 O 0 O (di O a0 Z 0 O 0 O 0 M 0 O N O Lf) O O O r M N O M V 0 Ln O O O Lfj M 0 O (.O O (O N 0 O L(O 0 O r O O (v) co N 0 In 0 O 0 Lo o p 0 p 0 CO 0 O 0 Lf') Lo L, O O co ❑ 00 O n 4) O fo 0 L(O V) 00 00 r- 00 LO LC) (p V 00 (fi 611,14 _ Ef} _ 64 _ {f} _ 64 _- 4!-T 64 H) 64 _ 64 613, 64 _ 64 Q4 K} _ 64 _ Efi Q4 _ 64 64 b4 64 64 _ 64 _ 64 ff? 64 64 64 EA O O U O O O O p O O p p 0 0 00 0 0 0 U 0 O 0 O 0 O 0 O N O O p p O O p I� ) 0 0 0 0 0 0 0 O 0 O 0 O 0 O 0 O CO Z O O O O o O O 0 0 00 o 0 LO 0 «O L() N Z O LO O O O LO Ln N 00 co M 0 0 0 0 O O m V C:) 0 LC) 0 O 0 Lo o O 0 O O O (O N N N N O O LO ❑ 1- 00 r - 00 CN O fb co r- O fT 00 V W V V V (v M LO (v) - V co (fl M N V V V V V r- E� ffl EAR 64�;; m 64 fR 6469 EA EA En Ef-J �� Ef-J� 64 {R 6H fR Ef> EfJ EIJ Ef?f!J ❑ LL ❑ LL LL LL W ❑ ❑ W _❑ LL LiLL LL❑ >-a 0 ❑a (n Of ❑ LL Q ?> ❑ ❑ LL ❑LL Z z =O LL CQ J LL ❑f1 Q❑ LL O UAW' O LL i' p d LL Y Y H Q Y ❑ ❑ LL ❑ LL ❑LL X 0� U Z❑ �aOZ�axSC7Q LL ❑LL❑LL LL QQ �p aLL.�❑ JpYO�❑�ts❑0LL L4f W > LL O W W C O W fr W Of W Z�J�<of F� YaaLL Z W W Z}LL LL ❑CD W LLLL DCKLL>�O W dJOU�LL W'❑QZ}- Of _ F-. 0❑Q�'gY»JOJ �OYC�tnQ— — Yd W>tn>Q❑�-iQ� W � W Q W LLZJOH}Z� MLLZH� O<a0z� C70 W ofU) -j Z W ZZ}O=(nLLHU W W W O�0-1 m2 W w »-1000�� w JJ�Q0D<0 LU (oQawmz�00QQ a W W W W LL LL LL LL LL LL (D (7 0___= 2~ ) J J J J J J J J J:5 2 2 m N to d a� L CU d d LL LU N� L.L D U) LU w LL 0L LU U) C) N H z w N� Q w M LU LL LU J _J LU IL a z uoi;elaodsueal pue aoinaag le3lpaw f(aua6aaw3 : C9W naa;sanbab aa=l 6uill!8 aoueingwy :;uauayae;;y U c � Lu m LU M r M r L" I- LO O LE) M r V V u) (fl O LO r M 0 M (fl Oo � co M h co O O r 0 N iI1 0 N iri O N O N O N 0 N 0 N 0 N m 0 N LO 0 N m 0 N 0 N m 0 N O N O N rn N N O N{ N 0 N 0 N Lf�) 0 N 0 N 0 N 0 N U 0 N O N O N p N Ln N O N r co V r 00 I` r r -.I 0 O 0 Ln 0 0 0 0 0 0 p� p N 0 0 0 L() U 0 O 0 O 0 O U O O O O O O p O 0 0 0 0 0 «1 0 O 0 «1 0 O 0 O 0 O 0 O 0 O O O p p 0r� O N 0 0 a0 r N u) N M EA n EA m t` Z N_ O Z O L(7 LE) O LO N U-) I-- Lf) O N LI) I-- 1� r,: LO r LO L64 Efl Ef} Eli ff} ER El-? E!-) GN9 Ef> (N) Ef) E Eli ff-} ffi ff3 64 f? 64 H-T H) H-? EA EA EA Lul glj O O O 0 O 0 O 0 O 0 o N O 0 O LD U 0 O 0 O 0 O U O O O O O O o 0 O 000 O M O 0 M<7 0 O 0 O 0 O 0 O 0 O 0 O- O O N O O W r- N LO N W^ L<7 f� Z O Mn O Z O Mn Ln r O Mn N Mn M!) L) I: �� M �Ln Ef3 6-1 ;; ;; El-) --64 fR ff3 64 El3 EA EA m H3ka Eli 1) d3 64 tR 9c, 63 69 El3 69 6a 64 K3 EA q� cc O O O O o 0 p 0 00 0) O O O O p O O O O O p O p O O 0 O 0 O 0 0 O O 0 O 0 p O O 0 O 0 O 0 O 0 0 O 0 O p O O p Lf) co O O O O O p O O Ln U z O (n o p (n O M 0 O 0 O p p O 0 O LO O o O N O LO O Mn O LO M O O Mn O O o Mt7 I-- 0 O 0 LO O 0 O 0 o N O CO 66 O N M (O Mn gn *.6 CO r O W r W O I2 r W O O N M r O N M o) r a0 O M LC) O W C0 Co 0 0 r 4, _ Ef-) _ EA _^ EA 69 64 _ {l} _ EH N H-) 64 _ Efl _ Eff EA 69 _ EA _ Ef-) _^ EA 64 _ EfJ _ EA 64 _ EA _ EA _ ff-} 64 _ H-) _ 69 64 _ EA EA 69 69 _ ff-7 h� o o 0 0 0 0 o rn 0 o 0 0 0 0 0 0 0 0 0 0 0 0 0 Cl 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 o p o 0 o O p Cho oLriUpop0006o0�6000OOLO N Z 0 0 0 O O O p 0 In O O n In O OO O O p ui66goop0000� N O LO 0 0 0 0 o O LO LO N (p m r-� M O Oo O CO O N O r N O a0 O m O - ONO r p 69 H) Qf,Ef364 fA U3 ��E!-J E!)EA va Efl Ef3 Q�,;;3 ;ff3 QEl)E9 ?�El>Ef36>, 0 0 O 0 O 0 O 0 O 0 O 0 O 0 0 0 0 0 0 0 0 0 0 0 0 o 0 0 O 0 O 0 0 0 o 0 0 0 0 0 0 0 0 0 0 0 o o 0 o O 0 O 0 O 0 O d�S 0 o 0 0 0 LO o 0 0 0 0 O 0 0 0 O 0 lh O Ln o LO o o o 0 0 o O 0 Ln O O Ln (O V O V V In O M M n LO n 00 p W p (D 0 h 0 o p p In (fl N O O o 0 r ^ o Co N M p p p r ^ o n N 00 p m ti- o In ti CC OO Ln M I- M In h V (O N p � H) El-7 64 eA 64 Q7 64 E1-) VE , Efi H-) H> ER 69 E13 � fA 64 Eli 69 of-> �; HT ef, EA Efi N O O p 0 0 0 0 0 0 co 0 o 0 0 O 0 O 0 0 O 0 0 0 O 0 O 0 O 0 0 o 0 0 o 0 0 0 o 0 0 0 0 0 0 LC) Co O O O O O O E%iO LriU OZ000O o0 pp00p0ZpLnONOO) O o n zoo r N Lf t)O o0 pLnOpOOOOOOO 40 O- 0 N Lr) Cf) OOD - 0 o Am r o W o W T r- m 00 (D o COO o O 0) Ef3 64 Ef} Ef} b4 64 (N ER 6s E�; 6') rEFT rEtJ Ef3 fft El) El) Qa 64 T,; 64 El} Eli EA EA Eli 619 h� o p p p o p o 0 o 0 m 0 o 0 o p o p 0 0 o 0 o 0 0 p 0 p 0 o 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 O 0 L<7 1� U Z O O O N O Ln O 0 00 W o CC O 0 O 0 o p MC7 O O z Z 0 o p LO r O I� N O o p p LC) N o o 0 p OD 0 LE) p O LLj f� 0 M 0 LE) 0 O VM O W 0 n r- M LO LO Co Il o ^ I� lt) n Ln W 0�6 V 7 I� V OJ 69 EA Eli 6G Eli tG GG m F;64 Eli Q4,64 E11 �Eli 6G �7, 64 64 (A EA EA Eli Eli 0 0 0 0 0 0 0 0 0 0 0 0 0 (0 p p 0 0 0 0 0 0 0 0 O 0 p 0 0 0 0 0 0 0 0 0 0 0 0 p 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 LO O O o p 0 0 0 0 Ln U Z O 0 p 0 co O Mn LO LO O Lf) 0 p 0 0 0 0 L6 m m o LO O LO O O0 O) O V V O LO co M I- V Iz- V co CO O LO O r- O OD LO O W p O O V V Co O O) N V M W o u) 0 M o Lf) I- M r- CO I` M Mt) M Ln E� EA Ef} Qa 6G 63 .a64 Eli 64 EA EA Eli CG Eli Eli Eli El) m 6S m EA EfT EA Eli Ef3 Eli flJ 0 d LL W O a ua oYw (7m LL waLL Q LU ¢ o d o� w LL Z LL LL 20 B oLu > aomoLL_ w Y ¢ ow woQa2 H L< W Q0o0 U` a LL x O 0 W d cn O LL z W J W X O O H M a LL Y H Y H LL LL W p LL 0 2 0 U w w W o W j x U) w LL LL LL¢ o w W� J x o- ¢ U- HC�O�— x z x a w J J j O z� m�000of W O 00 W zY of w a w 0—wz J z W 0 ODJOCD>gLL w J Of J m p zwOOHHLU W Jxx ��O¢¢— w�Ll¢d cnw �Z0LU W Y z J z Z H Z D Z D Z a> m Y m Y LL Y J Y a Y¢ J 0 J 0 J Qe Q' Q ¢ W O W W U U J cL x Q Lea 0 00 00 0 D¢ w 0 0 0¢¢¢¢¢¢¢¢¢¢ J J�>> 00 00 U Y 2 2 2 2E 2 2� z z z z z 0 0 0 O O m m m m m m a m of0� of, of0� of cn(n rn m a� L CU d CD LL LU N� L.L D U) LU w LL 0L LU U) C) N H z w r w M LU (Y LL LU J _J LU a z uoi;elaodsueal pue aoinaag le3lpaw f(aua6aam3 : E9W naa;sanbab aa=l 6uill!8 aoueingtuv :;uauayae;;y U c � Lu m r r rrrr rrrr rrr r LU (o o O 0 CO 0 Ln 0 0 (fl M 0 0 cO 0 Ln 0 (fl w o M 0 0 V 0N r 0 0N 0 O 0N CO (O r LO 00 0 LO (DN N N N 0 N o N N N N N O O u7 V 0 O 0 O 0 Lq O 0 O 0 O 0 O 0 O LQ O 0 O 0 O 0 0 0 0 0 0 LO 0 0 0 0 0 0 0 0 0 0 0 0 O O In O p O 0 O C. O O O Ln LU �64 �'�b3 C4 64E!)6464 ff-}Efl b464 K3 Ef364 Ef3 Ef3 Ef3 EH EA 64 ff-}EA 6464 fq fq Eq b3 d 0 O� CO O O O O N O O O O 0 O 0 O 0 CO 0 0 0 0 0 0 0 0 0 0 � CO) 0 0 0 0 0 0 0 C. 0 0 0 0 Ch !r p p O O O O O O O LA 11.! O CO N r 0 O Ln Ln O LO V N r CO N O r Ln 0 0 oi^ N 4i v) 69 Ef36a Ef3 Et} 64 Ef3646461) ER 696469 Ef3 �Ef3 EA 6464 Ef-7 ER 64 b3� b? Eq Eq Eq C� O O Q 000 0 0 0 O O O O p O 0 O 0 O 0 0 C)C)(D 0 � 0 0 C)O 0 0 � C`) d' 00 p In t� O O O O O O �3 O o D Z U Z U Z O 0 O 0 O Ln U Z 0 O 0 O O I O O O Ln Ln Ln O O O O O LO O O O O 0 0 0 0 r N O � O Ln CA er Lfj h O 0 O 0 *.6 CO ❑ ❑ ❑ O V M ❑ Lb _ o N N V N r O N O b> Cn {(� 4, Efl 64 fA EH ER EA 69 EA EA EA 64 EA 64 H) HT N Ef3 60 604 r Eq. �, r Eq. E9 r Eq. r b3 0 0 0 Ln 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 6 O 0 0 0 0 0 0 0 0 0 0 0 O O p 0 0 0 0 ( O O O r❑❑ C Z L Z N 0 00 0 0 C In 0 0 O 0 Ln C 0 o In V V 0 0 0 0 0 0 0 0 0 0 0 7 O O O O N O O LO �I V N N N LO - N -LO No C WLnCz m 69 61 EA 64 fH 64 64 64 64 69 64 N) 64 64 64 64 r b) 4 EF? E9 b) C} O p 0 ll) 0 0 0 0 0 0 0 O Coco 0 o 0 o 0 O 0 p O p O 0 0 0 0 0 O p O O O p C)co,o O O 0 0 0 N O p O p P O p 0 Edb 0 N O O Ln 0 0 0 O 0 to O 0 0 0 O O O Ln O 0 _ e- CA O Llj O Op Lfj N CC) O O p O N n I� O In n N N Co f-- Ln 0 p 0 p 0 p 0 N LO I� N h p N O O N O Ln p p Ln (o p p h h p N In L` N n CA 0p N N �} �! op p p 0 ap EA 6e 69 e4 64 69 fA EA ffi EA ff) 69 EA 6,3, 6s 64 EA 69 EA 64 EA 64 69 b? M 64 b) 64 Eqca �" b3 N O O _ N O O 0 O 0 O O O O O O O O O O O O O O O O O O O O p O O O p O 0 O 0 CA Ll7 0 p O 0 O O O O D Z U ZZ U 0000ONOOM000041 O O U O OI LnO�N❑ lC C C aD VO O O O O 0 LoN �E�q p O 00EA �ElT�E!-T�El-T�� y�g a �'v) E9 0 o C)r Lf7 of o O 0000 0 0 0 0 0 0 o 0 00 C, C, 0 0 o 0 0 p C) O 0 00 o O o C,o 0 0 0 0 M 0 O o O p o O 0 O 0 O o O N U Z U Z co O o O 0 Ln 0 O 0 O O C 0 O 0 O O 0 p Ln 0 p O 0 p 0 Lf7 tC O 0 Cp 0 p 0 0 O Ega ^J Q CV r ❑ ❑ V LO O O O N (O r N O 'Lf)o o Ln Co (V 00 (fl � Ln 00 a � �' 00 000 ^O EA Ef3 U-} Q4 ff3 Ef3 4R ER 61) Ef3 EA EA H, Cf3 _� EA K3 Ef-3 fA Efi 64 EA b? b) 6 b} b) 6s b) p 0 Ln 0 O 0 O 00 Ln O O O O O O O O p O 0 O 0 p O 0 0 0 0 0 0 0 0 0 p O 0 p 0 0 0 O N !r O p p O O O C� O p (O (0 66 O Ln 6 (D CJ N O O O Ln O Ln p p O O O O 0 p Ln N Lf) Ln O Ln O O 1.0 N 0 p O Ln 0 p 0 O N_ Oi O O p p O 0 LC) O 0 O O p Ln M (0 M V W 00 N Ln CO p I� O V W LS% p CO N L!7 V o Cp LC) O O �64 CG 6"6G u) 6s Ga Gq � 64 Ef>� 69 Ef3(f3 Go EAR oa H)64 b3 b3 b3 Eq. Eq Z_ d � c¢ C W Z ❑ LU U LL OfD O0p a ❑ LL ❑Q Z ❑ a O CO a LL ❑❑ za}❑0LLYED0- ❑❑LLB❑ ❑a❑❑ LLaLlllp❑z❑xYwYw LL w JUm}��QQIu❑�❑QZzLL, J a O w Y Q z H p <M Q U OLu wx x w�OarQLaldzw0o r H (D,Q 110 Lu C) m e C9 O x >> Z Y Q 0Q»cnw�-izzz00� U Y Q w— w x❑❑❑ `m y c ua 0o0-P:P vofr)—j aLL�a'JQQwx-- OOOU La as31 m o 3 cncn(ncnU)JU) HH>3:, 1 ��} N C O C� O O V LU NO Z) LU LU LL ry LU LO O N H LU Q LU 0 LU _0� LL LU J _J ry LU a_ z uo!;epodsueal pue ao!naag !MPOV4 A3u9BJGw3 : £9W AW Isenbab 99=1 6u!II!8 aoue!ngwv :;uauayoe;;d O a�i a�i a�i m LU >� O O o O oo O O O O O O O O �O O O O "0 O 00 �o O O O > O > >� O 0 0 o° a,6 0 0 0 C 0 0 0 0 0 0 0 0 0 0 C o 0 o 0 -L6-4 0 0° 0-L6 o°° o .4L6Lo - Lo-t46L6 -4c6 LriticoL6Lri .6L6L6L6 0-cLL6 O 0 z 0 z 0 zz 0 LL! W U > LU U_ LU U_ LU LU > LU U_ LU LU Ict w J� LU w J J w _U w J _U w J J� LU J J w _U w J J J J _U w J J J J J J J O Cl) Q U(n W 0 Q U Q(1) U Cl) QCl) U Q — Q _n— W Q Q _XCUU-- cn(1) Q Q Q Q — co Q UUUUUU — Q — Q — Q — Q — Q — Q U CR Z— pC— Z C7U—U �pp p Z Zp— U p p 0 p p p p W W WZW — LouW LouW W W W-- W W W WZ W W W W W W W W �(npppp(n�p(nmm(n(n(A(npp(n(n(nfn(n(nZ(� W W FM �yU��Uof W W W ofUU�U� W W W of�of W W 0�UUIrafOfafc)Q� W W W W W W C� W 0� W 0�OfG� W W W 0� p W ❑ Z J Q Q W ❑ Z ❑ Z p W p W ❑ Z p W ❑ Z ❑ Z J Q ❑ Z ❑ Z z p W p W ❑ Z ❑ Z ❑ Z ❑ Z p W ❑ Z ❑ Z ❑ Z ❑ Z ❑ Z ❑ Z ❑ Z Q Q� Q Q QLU Q� C3Q 2Q Of QQ Q LU QQ Q 0- IL0- a_ d IL d IL U w Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q �J af W' W W' � W' � � LU � w � 0� a� 0� a� W' af W' w W' Q� 0� Q� 0� w G� — 0� H H H H H H H H H H H W H H H W H H H H H H H H H H H H H U O Z Z Z Z Z Z Z Z Z Z Z Z z z z z z z z z z z z z z z z z z z z z tq 0000000000000000�000000000000000D0 U U U U U U U U U U U U O D U U D lL d d W 2 H O I LL d LL p LL J = Z _ F- ❑ LL p p Z ❑ LL I Z_ LU H = ❑ LL IL LL W >- W LL U ❑ LL Cp0 U LL W U ❑C� LL w � ❑ Y Q O W 2 ❑❑ W LL W J W Y WQLLJz (n ❑ P U LL J 2 p LLL LU =WZ CO Z W Y Q p> LL B ��W W LL J J J LU LLZ LL — ❑z❑O zY❑QOQz��zZ❑pzwp LL o zY C� cn 0 O�w LL O❑ Q❑0 M (nUU) W ❑ �J> w > w zD❑_0 0zLLU(D2Z=W 0 LL Q ��wzmzJOJ=(A�00z}p0JJLLZ�wz-jcA> }C� J— JQQ W Q Z,<O L -QW mQ W ❑ �❑O C c�OaOZO�0YOz��jLL�za �( mo-i0�ZJ=U' � WJ�W z��c��> p LuF--1 z2❑�� C�H�Q>(D ❑( ❑ � J � J F- Z J of Q' T- Q Q W 2 W Q J J❑ O O❑ — LL Z w Q 2 Q 2 Q 2 2 Q� J O O w W W of S W W W w U) W > O§ (n Q w> Q❑ Y J QQQQQQ00000000C�O<1C�000UUUUUUUUUU❑❑❑❑❑ W W W W N C O V O LU No Z) !_!_! LU LL ry LU Lo O (N H Z W LU LU LL W J _J ry W a_ Q Z uo!;epodsueal pue ao!naag !MPOV4 A3u9BJGw3 : £9W AW Isenbab 99=1 6u!II!8 aoue!ngwv :;uauayoe;;d U C�4 C O U O N O a) 6 a) _0 0 c O \ O \ O \ O \ O \ O \ O c 0 c 0 o \ Lo o \ O O o \ O 0 \ O 0 \ O 0 \ O 0 \ O 0 \ O 0 \ O 0 \ O 0 \ O 0 \ O � O o \ O � O o\ \ Lo C) o \ O 0 \ O 0 \ O 0\ \ O 00 1, 9 O I 0000000 Ln Ln o0 Ln CO Lo f— O m O In W .� N Lo O Lf) L Q OOOOOOL.n00CD Ln Lf> Ln Lf> Ln CO Lf) Ln 6 L � O Ln 0-4 f� 4 0 O Ln O L6 O -4 O CO O O� 0 Q z z z z U C uj w W U > w W U O z W W W w W U Z J W> 0 Q w _U > > W W J _U > W > W J J LL J _U > W _U > W J _U > W _U > W J J > W J J J J J J J J pp W J J J W W C/) _U > Q WW co nW n Q U A c�Q U OQco U X cocAQ U qq n Q U Q U Q U U Z QQQZ UUU 7 U - q UZ_U CUZi ❑ WW ZZ❑A❑ZLLJ U_U_ —UJ—J W ❑ Z ❑ Z -- Z ❑❑ W w- Z ❑ w ❑ W ❑ w ❑ W ❑ wOW ❑ ❑ W ❑ W ❑J ❑ W ❑ W ❑JZ❑ W J - U J J _J J- JJ J JJ— J J J >O DoJ n n J co mQ JJ_m mm-UmU W W W W w Ww WWWWW-WWWQ W W W J zUU �F y D' UHUEUU U 0 Q�ofofQ0U ❑ W ❑ W J Q ❑ z ❑ w ❑ W ❑ z U ❑ z ❑ W Z ❑ W ❑ z ❑ W ❑ W ❑ Z ❑ z ❑ W ❑ z ❑ z ❑ z ❑ z ❑ z z ❑ z ❑ Z ❑ Z — Z ❑ Z ❑ Z ❑ Z Z O — U p W QQQw QQQ��Q2 ��❑<¢�a� LL I �¢QQ�QQQQQ � o Q Q0- EL� Q Q Q Q Q Q Q Q LL 0 0- 0 Of 7 Q r z �UUUUUUUUUUUUUUUUUUUUUUU�UUUUODUUUUU w�� QQQQQQQQQQQQQQQQQQQQQQQ�QQQQQQ¢Q¢QQ t� It off W' � � � W' � a�L � a�L � a�L � LfL � LrL 0 Q' CE 0�L CE N 0. � 0�L � a�L � O LQL' r ZZZZZZZZZZZZZZZZZZZZZZZ F- F- F- F- F- F- F- F- F- F-�� r� r� r� r� r L�� ❑"zzzzwzzzzzz r� � r� r� LQL' r U C O O O O O O O O O O O O O O O O O O O O O O O O O O O O 0 O O O O O O ggq eag U U U U U U U U U U U U U U U U U U U U U U U Z U U U U O U U U U U U °fin Q ❑ ❑ Q LL LL w w 0 p ❑ } � LL } ❑ LL LL ❑ �Q ❑ ❑ LL p LL z Q w > LL LL F LL LL XO ZZ c) Z 0 ❑ T❑ Q O� O ❑ LL p Q Y Q Q' ��❑�OY�pYp ❑ W ❑ W p LL 06 0W ❑ ❑> LLO �Oz�QatSC�Q�Z LL O w0 W O W W Q Q Q z� �� J �wQ� W Y Q om❑ p W �a w z} W ❑ W W Q W— J O V O w❑ LL LL Q W LL z — ❑ Q LL = p O`YUcAQE�YQW>c/) Q Y>> w w J O J _w Q J w z W Q W LL W O Z O� z O 0 Q 0 W= Q LL p z 0 a�U) ZW Zz�O J��-i< (nLL�UW LLZHJwQQW0Zowz�o Oaf _j co Hw -1OOOof12 �JOpQO >Lu —1 m<LLJ �Lo) OQQ 0 0000 W WILL] ILL ILL LL LL ILL ILL 01010 2 2 2 2 1=t � J IJ J J J J J 2i 2 2i 2 2i21211E O Ci O LU NO Z) LU LU LL LU D LO O N H Z LU LU LU _0� LL LU J _J ry LU a_ Q Z uo!;epodsueal pue ao!naag !MPOV4 A3u9BJGw3 : £9W AW Isenbab 99=1 6u!II!8 aoue!ngwv :;uauayoe;;d iz LU 0 O C 0Q) O O O O O O C O C o O o O O O O O O O -0 -2 O O C O C O C O m m O \ C 0 O O I 0 0 0 0 0 0 0 O L Q O O O O O O O O O O O O O O 0 0 - 0 0 0 0 0 0 0 O O O O O O O O O O 0 L Q 0 N 0 O 0 O 0 0 0 0 6 0 0 0 0 i O 0 O Ln ti L6 4 L6 Ln v5 L6 f, (9 Ln Lo Lo O (M Lo Ln L6 Ln o6 O ui ui � (O L6 Ln .4 O Z O Z N W Z 111 < U_ > U > � � > w J m � � � Ict❑ J U)QQC/)Q J J w J J QQQCnW J J w W J QQQW J J LU CO J QQ J J Q J QQ J (n w UMQQQW 0 C, J J JCl) LLJ J QW LLJ CO LLJ C/) W J QQ J C(FM}3 ZUU O U — ❑ — ❑ (D Z U — ❑ UUU ___U�--�-- ❑ ❑ ❑ Z 0000 ❑ nUU ❑ ❑ ZU O UUZZ O Q❑EE2E-- J LLJ UUU)c)U) Z) - AUU ❑ ❑ ui LU W- J LU LU LU W- JmWm (� _ U) LU LU co LU �2�m2EmJm LU LU W� Q� LU LU~2E2E LLJ U LU n LLJ n n n n p El El Cn n n 2 w U A w n LLJ W CO W U W O 2 Q Z (n CO(n W CO(n W CO W w U W w -U w W (n W U ❑ ❑ C ❑ ❑ ❑ ❑ ❑ C-)0 ❑ J ❑ ❑ ❑ wof J ❑ C�WY''UJEEEQEw��ofafLJ ❑ 2 ❑ ❑ ❑ - � LLJ ❑ ❑ ❑ J ❑ J J ❑ ❑ zZ Q Z Q W 2E Z Q Z Q Z Q Z Q W g Q Q Z Q Z Q Z Q Q Q Z Q Z Q Z Q Z Q ZaZ Q J w Y Z Q Z Q Z Q Q Q Z Q Q Q Q Q Z Q Z Q Q 2 LLJ LLJ U = LLJ LLJ LLJ 0 w g O z QQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQ O O z Z z Z z w 0 Z Z Z Z Z Z Z Z Z Z Z Z Z Z Z Z Z Z Z Z Z Z Z Z Z Z Z Z Z UCLOOOOO U U U U U 00000000000000000000000000000 U U U U U U U U U U U U U U U U U U U U U U U U U U U U U 0 IL ❑ ❑ d IL LL W LLJ w ❑ 0IL w uj ALL_ ❑ CL �LLJ� ❑ w U ❑ ❑❑ ❑ LLj❑ Cl) OU0 ❑U LLa_❑❑❑ LU ❑�Y LL O ❑ wp Un W ❑ ❑ LLLLLLL❑ �� LL O p ❑ LL at5z� ❑ ❑ LL " LLJ dOzwX (n W w W Y O� =�❑LULL (n Q W W Y YC/) ❑ W p W ❑ � = (DLLJw❑> 0 LL LL W~ 2 UA w p❑ LL_LL_ p❑W W Q W U W' _Z Q J J%W LL ❑OW ❑ 0LJ ❑ O�— = W LLJ J>LJm�000��zLL=O—Lu¢w0� J J O z O w p O O O w z Y LL_ w p W (Y C� ❑ J > U 2 w W J Jp0>2 ❑LU 2 _J m p W U' J w= O Q m w�0 at HH z❑LLJ W �J== ��mmLLJULQOcn X �OQQ — �U W �LL�CL wCn�Of=Y (n W W ZOp JW QY�HzY W==UZQ0 WQ D0=)<W000< Q Q Q Q Q Q Q Q Q a w UY » O O O O U y 0 0 0-�� 2 2 2 z z z z z 0 0 0 0 O CL UL CL UL IL UL 0- ICL 0� Ur S ICE 0r 0r Un Un Un CA Un CA U) C O Ci O c.i LU NO Z) Z) LU LU LL LU LO O N H Z LU LU LU _0� LL LU J _J ry LU a_ Q Z uo!;epodsueal pue ao!naag !MPOV4 A3u9BJGw3 : £9W AW Isenbab 99=1 6u!II!8 aoue!ngwv :;uaLuyoe;;d U >�� o 0 o 0 �� o 0 0 0 0 0 0 0 0 0 0 0 �� o 0 0 0 0 0 0 0 0 0 0 0 \\oo o 0 J 0 "a 0 LO 0 Q 0 LO 0 LO 0 LO 0 I-- 0 LO O LO 0 a 0 CO 0 0 Ln 0 L6 0 .4 0 6 p o p 0 0 O O 'i z Z Z uj W W W W W Q J QQQQU)QQQQ J J J _U > w J J J J J QQQQ(n000 J J J _UU_U_U > w > LUw > > W U U U U 00000000 ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ wwww— Z wwwwwwww Z Z — Z Z J 22 22 — — — _J m _J m _J co J co LU LU LU LUW W W W W W W LU UVUU Z Q Z Q Z Q Z Q W Z Q Z Q Z Q Z Q Z Q Z Q Z Q Z Q W W W W QQQQQQQQQQQQQQQQQ Ozzzzzzzzzzzzzzzzz U CL 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 U U U U U U U U U U U U U U U U U uj 2Q ❑ w W ❑ LLCO LL W ❑❑ ❑0-C)0LLQY LL ❑❑=WY2LL CL LL LU �LL Q Q W ❑ Q Z LL Z LLOLLQ W F- d OQ WUH J O z I"aLa- QLi0 w2 F-F F-� W(1) ❑�w W~ Uc9� H QU Y F- QW— w zZ2 2❑❑❑ 000Ow �� 3: 3: 3: Q Im d V CD E m d L H W U) W W LL lY W U) D CD r 0 N uoi;elaodsueal pue aoinaag le3lpaw f(aua6aam3 : C9W naa;sanbab aa=l 6uill!8 aoueingWy :;uauayae;;y �'cn cn 0 E acma 3 0 > 0o U ) c Q C Q Y a `o P9g 0 CDO 0 oo N 0 O 00 O o 0 0 00 O O 0 O 0 O CDo O 0 0 0 0 O O o O O O O O �t Ln N O Ln O O O l0 o O ui h O In O_ O � O O O 0 0 O O O O O 0 N _� N CO N N 6s 6s (f7 64 Ef3 69 69 64 69 Q!) 69 EA 69 69 f!) 64 6s 64 O O O O a �41 O Ln N 69 m E CD O CD O O LO g�co vlJ N Ffl 0 " Sri 10 o 0 s� 0 0 c � o 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 OO�O O O a) M O O 6s 64 60 LC) 64 M 6s LO 64 It 64 69 69 CO EA M fA N Efl o o � Cj o C o o 0 0 0 0 (D 0 0 0 C) o u o LO C9 W 0 a LL o J 0 LL 2 } p W 2 Hz d LL (n u� z odor LL a � o za o W a w z o � a s U Cl LL w > LL LL W Y J p z W W LLQ>YaZ J LL W 2 o2f0-Lu W aJmOamUa'� LL CC) W aYY tuLLZ Q a M� O YLL0 a QY(n�0C)LL> OZ z W W C�cnOOLL Z 0Za� ink Z W 0w>a0 H— wa0.'sL O W az pL�<Q LL wado Q Z=Q 2 LL H (� a W a' m Z Y JOJ=(�Q�zr0LL H W O ZQ�~m D ZJ� �O�mQ�Y_>> LL Q O W �' W 2> W Z Jw J>Q�0 W Y JL11 QLU LL LU Ir OO Z LL U� Z 2 -j W OJQQ Q�ZJ Ur LuJH W JQ �� 0Y Q Y >(n> ��Oa Cn QO F a' a a' UYZw Q a' J LLHz�¢a'~Z~Y LL Z Q Q U Q a' D W �HQOwcgJaazzz}OJcn L6J 0 J J Z D Q W W O O a 7 W 2 2 2 J 0 0 W W Q Q p J 7 J 0 0 0 of J J w Q J �QQQ I QQ im immmmmmUUU U U U U U 0 W W W W W LL LL LL LL LL U` U` (D 222 Im d V CD E m d L H W U) W W LL lY W U) D CD r 0 N uoi;elaodsueal pue aoinaag le3lpaw f(aua6aam3 : E9W naa;sanbab aa=l 6uill!8 aoueingwy :;uauayae;;y w DNi i i i 0 O 4 u5 p_ f3 2 D H C O O O O 0 0 0 0 0 0 0 C. O 0 O 0 O 0 O C. O CD�d O O L O O �" N ER EA N 64 b4 (Al co EA N fA E13 K3 N ER ef, O O e # O O EA E ca � o •o 0 w.o CD 0 0 0 0 000 0 0 0 00 0 0 000o 0 0 0 0 Oo 0 0 0 0 0(D 0 • M0 O 0 LO 0 LO OU')O O O LO 00 O LO 0000 O LO 0 0 o0 00 0 O Brio N_ O LO ER co 6s 64 LO't Efl ER N Efl M't Ef) EA LO 6s N 6s LO 6s LO 69 I.-M Ef) Efl 't EA EA LO ER w o� o o � � 0 LE Q LL LL w Q Q LL v> r Q a LL LL Q Q! z Q Q W LL LL XO !n Z � O W Y Q � Q LL Q 0 QLL a- LLQ w" O oYe xs o Q o O W' o o¢ LL Q o LL HQLL Q � LL LL W H (nQ LL Q LLQ Q bUQ LL Q LL W O= LLU)QJYL LL J W O LL LL— H J U� O O LL Q Q LL LL Z— 0= LL LL Q LL ? z> J J XQLLYY�LLLL� O O z 0 O 0 O� W Y GC w w W z W W 0— i.�Q>Q' Q J W z O WQ� p G U W z CO LL za O of LLI J m J O O W Z O W W J O� J Of m Of m O LL W Y Y z Q_ � Y z co 0 O Y w Y Lu m H o Q LL Y Y Y Y Y J a �>> Q o Q O O O O z z z 0 0 0 0 0 0 Q Q Q 0 0 J J �-1-1 2 2 2E 2 2E 2 2 a LL LL LL LL Im d c`a t V C d E a+ m d L W (Y U) W W Ll_ li W U) D CD r 0 N uoi;elaodsueal pue aoinaag le3lpaw f(aua6aam3 : E9W naa;sanbab aa=l 6uill!8 aoueingwy :;uauayae;;y m 5 N C D ka PBa Ln � 0 0 0 0 0 C. 0 O O O O O O O O O O O O O P Cp D O O O F gi ch o000 0000 00000 U')omom o o k G I- o �i ccood cP o Z N 69 N 691 O H> N Eg U> L,. Efl 69 N 6H Cl)N 69 EA 64 Z N 69L O) 63, M M f^D O O j W cy g W e} O LO co M �! C 4 NN cV E E Ln o o l: h L i C N 0 0 C14 � C G O O O N O 69 69 69 M O L m O h O Q.tl M O m ,OQ 11 666 6M9 N G G O O O O L(i O O 0 O 0 O O cp O> D O O o eS M 09 C M O LO LO r— 00 In V w N O O> LO M c0 00 H3 EA 69 Ef) EA W d' 6q N i cam 0 moo Q Q 0 0 C p m O o Ooo 0 o k = k O O O N O CS O N N N P N C„ a 6q�� O O 0LO , 0 O 0 O 0 O N LO P oD r 6F3 LO 64 Lo Eq 6F), O O O N M O O e O to O �C1 < p P toll h tl)� h oIC W ~ W � N 0 c ZQ g� o a � W LU +k C U > ,t y IM W z LL �� L O CO, 0� L) 0 Oa �Wa� o CL r a c o -6zp o00 oa o Qx� =LU LL '� Z»JLLz o 0 LL LL LL Q LL � Q�o U LU�0� zUY y tac°�' > o—jom w LU LU LLzzQO w 0Oy 0 > O Y OHaQz LL a O z000 Q x w 0 � moi 04 wQ wQ0� �z00 0 o O YOOa H } X �QDw?000 0 o� , 4 Xcncncnu) u)cncnHH>�Q�� r Q F-O Q uoi;elaodsueal pue aoinaag le3lpaw f(aua6aam3 C9W naa;sanboU aa=l 6uill!8 eoueingwy :;uawyae;;y @ M m N a t d Y v @ a V CD E i H �W/ U) W W U- G. W U) D O O N U 12 c OU a) O) S co w -O ul @ N U) N O O O @ @ @ N O C C{3 7 U O N E N @ 7 L Q @ U) O CD @ U -O U N � 6 @ O @ _O — @ N @ m C) O 3: U) 7 O O a) (%i N @ N N O O C a) U C H rn fA E C1 x U3 O ; U) N 7 2 O @ L U IL,.7 `O a � a) CO @ 0 U iA C _ C 0 N 7 U @ O U) 7 co .. N m >+ OU () a) Q a) 0) U c N N C L O LO @ o a) o 1 U m N U % E CD m U 7 N N a) @ N@ C C L N 0) Q O Z "a O 5 @ >' E LLI o Lr)o o m a a) a) a �3 U) a) o 0 :O @ a 64 T io 'O O LO X a) -o 2 _ a) 4 U 7FDN J rA O -SO [A + C 0 C o U) O 4 c ( O Z O, Q J O- O C O N a) E C O O U w N U C U) Cn C N C O L C O U) 7 (6 U 0 a) C N O U) m Q Z L (0 2 N Z@ O@ Q' a) O C U CD n U t Q. a) X o Of c L6-o 0 D rCo N CO O Cl) coL O C 2) 0) @ U) a 7 U O (DO CC U Z a) O U) fH C O O @ O a) O L U) O+@-' W OO cm O� co N -0 U ER a) C y- O� !E07 O U) a a E9 M a) .� a) 0 m C � n LL o Z a N- L in N a > 7 CO C C O) C m C yN-, m a' T @ C Co N N V) U) U Q N ` N U L 70 ++ O U) ffO E N L 'a � U `@ p E U) U m@ 9) U � U a) of Q U O N 7 C O W O C L j @ N m O co 'O CD TO m N N m Z O W " LL GO p .0 X `) O M m '+� C EA E X co T .�L Q j 'U U) C � + a C) T Q) m y W O U � CO @ W @ y CD Ln 7 o 0> O- 2 O@ C2 Q 6 O i � U) LO (o U a N i (6 a) 0 a) ~ w = a a) C w O O O a� Hi m C`7 O LO _ Cn @ O @� a) N .2 C`') c) O .0 @ _ E U a) N O Q LO W @ Tw .`� @C[.N a) C O Z Q' L C C6w U-3_0 N N UO p N a) H , C 0 C > N of O EA O N 7 U U@ C U C Cl) 'C O N Q p O LO L @ U) C � C C m EH N O L .0 O Ef3 co @@ 0 O 0 Q �7 Q V) .N a7 O O Q Q C O N O O_ C Ef3 U) @ C O N U p) .0 (D m U O@ M a a) U) a) O O Q U) >, T U C (B V) O N- C C C a) w a) E -O N "-' (6 E U)- C @ C EA Ef-T C T U) ff3 O Qj N fA C _U N a) t C cm CCU .J O C N a) O O E w 0 0 a) U O m+C a O O,cO OZN U a) � Z O O ' (6O U U m@ T -o ' "6 UU O U E 7 ) JJJU X O L.7+ j U Q X > X O 2 c 10 N J X X N O- 0 0 0 2 U) 2 m wQZ QUHQ H H CnW W U��N —0�mww HU)zz U) a LL � J 0 LL 2 } p W 2 H d U uU z odor o LL a � o za o W n LL � w z o LL � o LL U Cl LL w> LL L LL Y Q LL � LL LLLLQ>YILZ YCnQUULL> J 2❑ LL2 W U oCfa W LL W J LLQ 0LL0 OOYp )O_O-'LL ay`1 d Z Y LLOZW p Q Z W' H Z> Z LL Z w J 0 O LL 06 Ur Q LL LLO_� Q Q 141LLz �0 0 of i.�W OULL H OD (n� O mw>LLO0LL LL Ofaf o_Z >Y W LLD_Q LL ZOp 2Q LL H C7 o �O_ZY W m JOJ=�O0zrOLL ZJm Do OO W W LU <LLj0 LU Ir O Z LL U� z 2 JC70OJQQwUzQ��m W Q ZJ W JH W JQ O� om OYW< e2Y>>Jw Y W >Cn> JwQo ' Oa UO UYZC�LLHzEQLL~Z~Y Q QU 0-D W �HQOwOzzz}OJcn W'OX Z=J L6J Q0_J LLZ Q U) CO XX Qw wQ CY J 0 Q J Q J Q Z Q D Q Q m w m w m O m O� m m 7 m W U 2 U 2 U 2 U J U 0 0101010 0 0_ W Q W Q W p W J W 7 W J LL 0 LL 0 LL 0� LL LL J U J C7 U` Q 2 2 2 uoi;elaodsueal pue aoinaag le3lpaw f(aua6aam3 E9W naa;sanbab aa=l 6uill!8 eoueingwy :;uauayae;;y m N a d Y v @ a i V C d E i w [Y U) w w U- GY w^� U) D N Z IL W 0 rLU L.L. l.L J _J i w (L Z U N @ O U @ LL N L a) U L nco a) O_ C U a)00 00 O N EH O T C a) U 0 U ZA O = O L E O @ N C ' 6 N LO N LL L @ U O @O -a 'V a) LL LL co3 O 3 C O_ 6S (Da) E L O @ co O + U E N �' N @ m m @ U 5 o U) a 0 LO C co c a-o O) U) (D C)c LO Y Q a) U (Do L Ef? > C �G > LL E @ m Q 3 L o o s m T (n @ N LL a) U o @ U V? w = @ to @ to w o @ @ V) N — T J m C -O L N Q U CL _ Cp .@ C L.. N OO M@ h U) CLQ N N N LL O @ U O LO C) O N C SJ a) O_ N ..-. U U C)a) > C -C Y U ER C a) a) o o m 0 C CL a)a rz a) p C L O L Q a) N E = n U) @ .� C @ @ CCU LLN a) 'C E @ y N Q L \O @ "" Q N a) @ N ` C @ Q Q Q U U) J V J C LL a)) 7 L 2 N C U) @ Q O N @ @ n C LO oN� p @ N w C O `) C O) O EA 3 E @ Y a)s �� N C o U c LLLC) LL W c` a) U @ O 3 N C a) � O V o 0 O@ rLLLLO L 2 O .O w0 @ ` N N C@ O@ E!J f� L M 2cc C C a) z C .. m @ u) + O C U 3 OU = N C O Z to E @ U L Cn N O n O C C o 2 m Ci N @ o N � o E!) Un a) M @ to C 3 LL N @ a i 0 CO CD C C co O T to LO N N X w aoi LL C N C O @ N o X a) N_0 U@ Q -6 o O@� C g aoi m 2)Z O V C @ n n In d) O cn �n ' . c, 0� O N L O� C (n L a) m V@ a Q> OU �O d ? O N 6s N" U U) O r L C 7p O U P C,H N Q V O N @ N •7- @ LO if 7 — I @@ En O� @ M O LQ E O N Q O@ OM L @ >' 0 O L O w a) 0 N 0 N- N C N @ U w L O_ C@ W E 'X C> (i J Ef3 p > O a) > W EFj V) U L C (� (0 C 2 "C C @ L > o C f6 N c, .� coC E O LO CO Ln C a) Z -O O @ L E E o O N > O LO J ER Q L O O O 0 C M O C �p O U o Q Q ,� a c u c c>i c y w c o o@ C° N c o Q ani .0 w 0 r (D @ n o N c» � ai U m LL w @ N �n a) ..-� N @ @ T e» .N N o i' O @ o V) j �n O O N LO a) > N CO N y - a) C O Q@ @ N C O U) a C O C O c a) N ;a m U U a) .0 '\' -O O @ U @ EU J U U U @U () O_ .0 X X O O Q N @ 'i a) a) O X =) O_ .V X N> X@ X " O_ O J U) W W Z U Z U) H LL O 4 Of Z W U Z U W LL W 2 W U I U) Q LL LL W Q Q CL U r Q 0 LL LL Q Q d � QCLLL Q W LL �C Q Q0Z LL fn D O W LLct Q Q LL Q LLLL <LL 0_LLUQJYHQYQ LL LLQ wLLO xs LL Z Q LL0LL W LLQQQLLHLL LL LLYYULLLL HQLL Q ALL W W LL LUH W (nQLLQ W LL QQ Q LL LL Q LLzJOH��O�LL0 LLJU LL— O F LLLL'LL Q Q Z Q LL LL < Q =0_ 0 z> X O O Z O O W Y W W OQ Q J~ i W Qw U W CO O LL' J Y 00 J 0 W LU Z 2i O W ii10�00o_GCwz0—w<LL- J �j J of 00 Ir 0] O LL W H Y Y Z U) 2 Y z CO 0 0 Y LLI Y2 m H V o Q LL 0 Y Y Y Y Y J aLU LJJ Q O O O O w zz000000aaLLaLL0� 0 0 0 >> 0 0 ��0-iQ_3JJ=i-j-1�222222z c� Ir-of uoi;elaodsueal pue aoinaag le3lpaw f(aua6aam3 E9W naa;sanbab aa=l 6uill!8 eoueingtuv :;uauayae;;y Ln m v tm N a d Y v a L V CD E CD L �W/ vJ W W U- G. W U) D CD O N 0 N N 3 m m 3 � N O C Q in U c N W N ° � E >ULO Q H3 Q o j Q (n is O I m O <JS U M b9 N Q LU N V a) E ¢ m z (6 OU N i C 0 O � O E a) E Q a 7 L<7 Ui r E cn C C L LL LL cL M O a- LL X O 0 O a) LL N Z N O a) a) LO N Q LL N O a) Z (,$ O- > N Z6 7 �- U a) C V> L U N m cn U Y J + N E i ffi U E o� .- 0 (D a) O C) J c E t Lo m m q > W Q E6 > O 3 s` Z O = - N O N_ 3 m J a) L o � W y a LU o" R O Q > z c O O a3 Q o 0 .°� to U') O `p ur W y U Q C (fl En a L U N O U p \ L C a) O 7 cn O O L a5 _ 7 N C O a5 y C Q 10 a) -O a) z 0 E as U c N c� a U) h m CZ) Y a) U c U m� N c m O O> a3 O U C N O O Z m Q O m c`7 N QC:) CD>, a 0 7 o V) o CO a) .� C) a) LO a) N ER aS Q El m Q E N M tq w 6q m C _ U a] a m U) s c Q O O a En U) W' — n 0> s w 2 m y k @ c o E m-E U)c a) r a) a o r- U Q co m= oQ m o m cn w Q LU o V U �) C W Z _a -O c a) y C w Q U) a) m C O y O � mO M � N: E cu C .N.� mom" 6 0)a a) a) C N C co Ef} N Q C o to "' o > 0 U 0 C o N y U N N -O N O O -p 0 +�- C .�- a5 .0 C +�. c N ro i a) O i (a d O d c_ N O N 0c'z(D(D amHzHcn2iH I I IZIu�w 0 d LL W 0 U) F- z LL LU D 0� Cl 0 LL 0 0a m LL 0 d a LL 06z Z 00 0p0 Da- LL.QZF 00 02Q QWLL W LL J J} Q OLL OLLLL LL d J W J V W J D J O } W D W' D Q Z Z O Z O W 22(.'J Z�OQLLaO W�ox W �U) U W Y O» H H z Y UxU—O�QQwxz000 W Q�} 0 0 0 U) W ZOO P �UI��Cn U)��PP>��3:I � 2.0 Information Item : Stormwater Proforma ........................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................ Recommendation of Action Staff recommends discussion. Staff will present an update on the status of the Stormwater Fee and provide a discussion on the fund proforma and long-term challenges and financial implications. ATTACHMENTS: • 2017 SWU Fee Pro Forma (DOCX) • 2017 Stormwater Proforma (PDF) Trustee Liaison Stein Monday, June 5, 2017 Staff Contact Michael Reynolds, Public Works Updated: 6/1/2017 11:41 AM Page 1 Packet Pg. 46 2.C.a VU,1AGE OF TO: Dane C. Bragg, Village Manager FROM: Mike Reynolds, Director of Public Works DATE: May 30, 2017 RE: FY 2017 — Stormwater Fund 20 Year Pro Forma Annual Update As part of the 2012 Strategic Planning process, the Village Board directed staff to investigate the feasibility of implementing a Storm Water Utility Fee in Buffalo Grove. Presentations were made at the March 3, 2014, July 20, 2015, and September 24, 2015, Committee of the Whole meetings. The Village Board ratified staff's recommendation to enact a Storm Water Utility Fee on October 19, 2015, and the new fee became effective on January 1, 2016. Base Fee Calculation: Staff proposed a tiered approach based upon a base fee per parcel square footage value. Using the impervious data provided by GIS, the base fee was determined based upon the total parcel square footage of all parcels within the Village that contain impervious surfaces such as buildings, driveways and parking lots, and the funds required to maintain and update the Stormwater system. This resulted in a base fee of $0.006950 per square foot, which is the fee currently in place. Tiered Fee Structure: The fee is applied to all parcels within the village that have impervious surface using a tiered approach. The tiers are as follows: Tier 1 - Single Family Residence Attached & Detached (fixed fee) $0.006950 x Median Lot Size (8,771.66 square footage) = Annual Fee ($60.96) Tier 2 - Multi -Family & Commercial / Industrial / Government/Non-Profit (calculated fee) $0.006950 x Property Square Footage = Annual Fee (varies as calculated) Fiscal year 2016 closed with revenues at 1.1 million, roughly 8.6% under expected revenues. This should balance out in future years since this was the first year for the fund. Other variances include re- classification of certain parcels, variances in the Lake and Cook County property databases, delinquent accounts, and accounts where the correct property owner has yet to be determined. The analysis uses a revenue estimate of 1.2 million dollars through 2036. On the attached financial analysis (Attachment A), staff has presented an estimate of revenues, operating expenses, Capital expenses and Operating Transfers through 2036 (20 years). Revenues include stormwater grant funding (where applicable) and revenue amounts for the Stormwater fee. Operating expenses are those expenses related to the day-to-day activities such as labor, equipment, materials, and other costs associated with system operations. Capital expenses are those amounts spent to repair or improve capital assets and infrastructure. Operating transfers are amounts received Page 1 of 4 Packet Pg. 47 2.C.a from, or paid to the General Fund for expenditures related to Stormwater Fund activities. Ending cash represents the fund balance available for capital projects. At the end of FY 2017, ending cash is anticipated to be $729,000. Those funds are intended to support an enterprise system valued at $.25 billion. A summary of the 20-year fund performance is provided below. Operating costs include 3% increases annually. In order to hold the "Reserve for Infrastructure' line item at $250,000 annually, Capital replacement costs include 4% increases each year to address storm sewer system repairs. While the Stormwater Fund appears to be solid through 2027, any significant unanticipated repairs will deplete the working cash and reserve balances. The Board should consider a rate increase beginning in 2021 to keep the fund solvent. The stormwater system consists of 189 linear miles of stormwater pipe, 11.3 miles of ditches, streams, and creeks, 39 (81 acres) detention/retention basins, 1 lift station, and thousands of structures. Public Works and GIS staff continues to refine the program and inventory the stormwater system assets. Once the inventory is complete and the GIS system has been updated, we will have a much clearer picture of the system and the expected capital replacement requirements. The value of the stormwater assets in the Village's portfolio in today's dollars is approximately $250 million. The service life of the infrastructure can range from 50 years to 100 years. The replacement cost of the entire system at the end of the 20-year study, inflated at 3% per year, is $452 million. The original assumption used for future Stormwater replacements is that the system will have an 80-year life and capital replacement would consist of 25% of the amortized value in any given year. However, we have found that the 25% replacement value is not entirely accurate, particularly when we are trying to combine this work with road and/or watermain projects in any given area. Based upon this, consideration should be given to raising the replacement criteria to 50%. The cost estimate Page 2 of 4 Packet Pg. 48 2.C.a compensates for the improbability that entire sections of the system will be replaced. Estimating the actual asset life at times is more abstract than qualitative. Pipe that is ensconced in stable soil and subjected to consistent Stormwater impacts may have a service life that may double an engineering estimate, and conversely, weak soils, capacity limitations, development, traffic or other external factors may reduce the life by many years. However, as we are discovering with the water system, this 25% ratio may not be the proper replacement target value. Most of the storm sewer systems were installed as part of subdivision development. The following chart shows the pattern of subdivision construction in the Village since 1957. Rcg flnaba y (,'oinnp liannce Since 2003, the Village has been required to comply with the National Pollutant Discharge Elimination System (NPDES) permitting process. These regulations address "point source" and "non -point source" pollution exposures and governs both sanitary and stormwater activities. This program is monitored and enforced by the Illinois Environmental Protection Agency (IEPA). The Village has been and is currently in compliance with these regulations. Among the major changes are additional stormwater water quality monitoring, better filtering, and control of dewatering activities for water main breaks, outdoor storage inspection, and enforcement activities and stronger code requirements for private detention/retention pond inspections and compliance. Page 3 of 4 Packet Pg. 49 2.C.a The NPDES program is intended, among other things, to improve the water quality of lakes and streams within a particular area. The Village has been active in several watershed groups including the Buffalo Creek Clean Water Partnership (BCCWP) and the Des Plaines River Watershed Workgroup (DRWW). The impact of this program and the activities of the various workgroups will have an impact on stormwater management for many years to come. • The inclusion of curb and gutter repairs and replacement as part of the annual street program has allowed for more road construction annually. • An emerging issue for the Village is the existence of small, rear -yard storm sewer systems that were installed with the various developments. These systems, in many cases, were not per code, but were accepted by the Village with the developments and are part of the Village's overall system. Many of these systems are now failing and require replacement with systems meeting current standards. We recently replaced a system on Ronnie Dr. where we replaced approximately 305' of 4" perforated drain tile with 8" ADS pipe, 2 inlets, 3 in -line drains, 9 sump pump connections and related restoration. The cost of this work was $26,000 to complete. We estimate that there are approximately 20 locations where this type of issue exists, all of which need immediate attention. We plan to include a request in the 2018 capital budget to address these issues. • There is an 820' segment of Corrugated Metal Pipe (CMP) where the bottom has completely eroded away in several locations. The pipe runs between St. Mary's Parkway and Buffalo Creek and is located in the rear yards between the residences on Crestview and the apartments on Buffalo Grove Rd. We plan to include a request in the 2018 capital budget to address this issue. • The inclusion of other PW operating expenses related to detention/retention basin maintenance into the plan. • Additionally, staff continues to work with GIS to determine what parcels outside the Village contribute to and benefit from our system and if the fee could possibly be applied to those parcels. Sioi,,friwider Rate Each year staff will review the financial condition of the fund to determine the adequacy of current rates. The rate is set by ordinance with no pre -determined increases and there are no changes recommended with this update. In the future, as the system inventory is solidified and other projects become clearer, a rate increase may be appropriate. Using current assumptions, the fund will remain relatively stable until 2027. The Board should consider rate increases beginning in 2021 and beyond. The impact of infrastructure maintenance costs and the related challenges with the Stormwater Fund is not unique to the Village of Buffalo Grove. All communities to varying degrees are challenged on how to maintain and protect their system assets. A proper rate structure is the first step to ensuring that the fund will have the resources available to maintain the integrity of the system. Page 4 of 4 Packet Pg. 50 (ewaO;Oad aa;emMJ04S : 060 emJO;Oad aa;emMJ04S L�OZ :;uawyae;;y 2.D Information Item : Twenty -Year Water Rate Proforma ........................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................ Recommendation of Action Staff recommends discussion. In FY 2017 the combined Village water and sewer rate was increased by four percent. The intent of the rate is to match the true cost of the system (operating, capital, depreciation, and reserve costs) with the consumption fees assessed to water customers. In determining the adequacy of the rate, the Twenty - Year Water Fund Proforma is updated to provide either a justification for the current rate or a recommendation to modify the water rate ordinance. ATTACHMENTS: • 20 year water proforma - 2017 (DOCX) • 20 year (PDF) Trustee Liaison Johnson Monday, June 5, 2017 Staff Contact Scott Anderson, Finance Updated: 6/1/2017 11:45 AM Page 1 Packet Pg. 52 2.D.a W[IAGE, OF B(JFFAL0 GEROVE TO: Dane C. Bragg, Village Manager FROM: Scott D. Anderson, Finance Director DATE: May 26, 2017 RE: FY 2017 — Water Fund 20 Year Pro Forma Annual Update 11 5Y 'teii'in Status Qpdate In FY 2017, the combined Village water and sewer rate was increased by four percent. The intent of the rate is to match the true cost of the system (operating, capital, depreciation, and reserve costs) with the consumption fees assessed to water customers. In determining the adequacy of the rate, the Twenty -Year Water Fund Proforma is updated to provide either a justification for the current rate or a recommendation to modify the water rate ordinance. A review of the audited 2016 Water Fund performance results in the following; • The cash and investment balance is $2.97 million — an increase of $.3 million. • The fund generated a surplus of $.6 million. The previous year was a deficit of $1 million. • Total gallons billed were 1.24 billion (proforma estimate — 1.31 billion) an increase of 8.2 percent over the previous year. Almost half of the increase was generated during July (40 million gallons). The rate increase in the current year was $.23, increasingthe water rate from $5.69/1,000 gallons to $5.91/1,000 gallons. I . I �aIII.�. ui�r eui°°meui�„u� °tuiuii IIII..IIuis°teal, The Village maintained a water and sewer rate of $1.80/1,000 gallons for a period of twenty-three years (1983-2005). One significant reason leading to this period of rate stability was due to the age of the water and sewer infrastructure. During the peak growth decades of the 1980's and 1990's, developers donated approximately 53 percent of the water and sewer system assets. Through a combination of minimal capital expenses, receipt of building and development fees, coupled with a period of growing water consumption, the Water Fund was able to generate strong cash reserves to allow for a strategy of pay-as-you-go financing for future infrastructure repair. Funding for future infrastructure replacement (funding depreciation) was never a component of the rate structure. Beginning in 2003, a pattern of declining water usage started. In 2002, 1.63 billion gallons of water were billed. In 2016, 1.24 billion gallons were billed, a decrease of 23 percent. There is no expectation that the amount of water billed will reach those levels again absent a significant drought or the addition of heavy industrial uses. The following chart shows the annual gallons billed since 2008. Page 1 of 5 Packet Pg. 53 2.D.a Annual Gallons Billed (in thousands) 1,700,000 1,500,000 1,300,000 % 1,100,000 900,000 o i 700,000 / r 500,000 i 300,000 100,000 2008 2009 2010 2011 2012 2013 2014 2015 2016 Even with the decline, the Water Fund was able to cover its operating expenses and generate a small surplus each year until 2006. A rate recommendation was made to increase the rate by 33 percent to $2.40/1,000 gallons effective January 1, 2007. The increase stabilized the fund but did not start building additional cash reserves for future asset replacement. A second rate increase of 25 percent to $3.00/1,000 was implemented for 2010. Again, the increase helped to ensure that water sales would offset operating expenditures. The next increase was to $4.05/1,000 or 35 percent in FY 2013 and the most recent increase to $5.47/1,000 or 4 percent. The new rates begin the process of developing a fully loaded water rate that will fund operating, capital and infrastructure reserve demands. Consumption is trending higher beginning in FY 2016. Although weather played a factor, the replacement of all water meters in 2016 has generated a plannedincremental increase in billed consumption. It was estimated that the average inefficiencies in metering, due to corrosion in aging meters, was about 2.5 percent. That assumption appears to be accurate. It will be easier to evaluate at the end of FY 2017 as the conversion occurred the first half of 2016. Non -summer months will need to be reviewed year -over -year as there is little fluctuation in demand during non summer months. Factors that continue to impact water usage include weather, conservation, mature landscaping and more efficient appliances. The Village's philosophy on establishing an infrastructure reserve is to cash finance system replacement over the long term. It is estimated in the study that the current fiscal year will close at 1.27 billion gallons billed. The analysis uses an estimate of 1.3 billion gallons and will carry forward through the next 20 years. Although there will be an increase in total consumers over the next two decades, continued conservation efforts could partially counterbalance that growth. eteui°° 1""tuiuiir dIIII'iui°°h inciiieIII During the high growth years of the water system, the Water and Sewer Fund was able to amass a cash balance that allowed for a reserve to address infrastructure maintenance and improvement. Due to the relative age of the system, over a fifteen year span (1993-2007) the only capital expense was $229,527 for the St. Mary's Road water main replacement. Since 2008, $6.3 million in infrastructure repairs and improvements has been spent. That does not include the $6 million in water meter replacement costs. The meter replacement costs were funded through an installment Page 2 of 5 Packet Pg. 54 2.D.a note the will be retired in 2030. In FY 2017, it is anticipated that another $2.1 million will be invested in system infrastructure. On the attached financial analysis, staff has presented a twenty-year estimate of revenues, operating expenses, Capital expenses, and Operating Transfers. Revenues include all building fees and billed amounts for water consumption. Operating expenses are those expenses related to the day-to-day activities such as wholesale water purchase, labor and materials, and energy costs. Capital expenses are those amounts spent to repair or improve capital assets and infrastructure. Operating transfers are amounts paid to reimburse the General Fund for expenditures related to Water Fund activities. Working cash represents 25 percent of operating expenses. Once the working cash balance reaches the 25 percent threshold, remaining funds are then allocated as the 'net reserve' that is available for capital and infrastructure spending. At the end of FY 2017, working cash is anticipated to be $1.3 million and the net reserve is $1.6 million. Those funds support an enterprise system valued at $.5 billion. The following chart shows the impact of the current rate structure (with 4% inflationary increases beginning FY 2017) on the fund's cash position. The Water Fund remains in a precarious financial position for the next few years. Any significant unanticipated repairs will deplete the working cash and reserve balances. There is a cluster of significant capital repairs in FY 2026-2029 that will put the fund in deficit. This is the fifty-year mark of the construction boom in the 1980's. The infrastructure will be near the end of its useful life. The cash flow generated by the current rate structure will continue to support minor system repairs. Any significant capital improvements that address large sections of main and/or replacement of lift stations will likely require another souce of funding. The utility system consists of 181 linear miles of water and sewer main. The value of the water main alone in today's dollars is approximately $200 million. The service life of the infrastructure ranges from 50 years for cast iron main to 75 years for ductile iron. The replacement cost of the entire system (water and sewer main, lift stations) at the end of the 20-year study, inflated at 3% per year, Page 3 of 5 Packet Pg. 55 2.D.a is $700 million. The assumption used for replacing any future water mains is that on any given year where sections of the system have reached the end of their useful life 25% of the system will be replaced. For instance, a water main constructed in 1966 has a replacement cost of about $372,000; we forecasted that $94,000 in repairs would occur in FY 2017. This cost estimate compensates for the improbability that the entire section will be replaced. The estimates reflect rolling replacements where in certain instances only sections are repaired. Another factor for consideration is that the replacement cost includes a curb -to -curb street reconstruction. About 50 percent of that expense will be charged to the Capital Projects Street Fund or the Motor Fuel Tax Fund. Within the straight-line depreciation calculation beginning with the oldest main constructed in 1929, the first replacement should have occurred in 1979. Approximately $18 million in water mains have 'expired' but have not needed to be repaired. Estimating the actual asset life at times is more abstract than qualitative. Pipe that is ensconced in stable soil and subjected to consistent water pressure may have a service life that may double an engineering estimate, and conversely, weak soils or pressure fluctuations may reduce the life by many years. The following chart shows the pattern of construction of water main since 1929. 80,000 60,000 40,000 20,000 0 Water Main Construction in linear feet Ql 00 O N lD 00 O N � lD DO O N � lD 00 O N � lD 00 O N � l0 00 O N � lD lD lD lD I� n n n n W W 00 00 W Q1 Q1 Q1 Q1 Q1 O O O O O � Ol Ol Ol Ol Ol Ol Ol Ol Ol 6l Ol Ol Ol Ol Ol Ol Ol dl M M M O O O O O O rl ri ri ri ri ri ri ri ri ci ci ci ci ci ci ci ci ci ci ri ri N N N N N N During the thirteen years spanning 1983-1996, almost 50% of the water system was constructed. Fortunately, during those years, the more resilient ductile iron was used. The cost of that original installation was paid by developers as specified within development agreements. The age distribution of the water main leads to the cost estimates to replace the system noted in the graph presented below: Projected Infrastructure Replacement $100, 000, 000 ........ ......... ......... ......... ......... ........................................................................ ......... ......... ......... $80,000,000 f, $60,000,000 r $40,000,000 nll/ N $20,000,000 tar,, .... In/a 01,Oil, I'll, , 1 COX O N 0 O o O o m in 0 0 0 0 O O O r, oo rn 0 0 0 Page 4 of 5 Packet Pg. 56 2.D.a Replacement costs begin to ramp up in the 2060s and 2070s as main installed during the peak construction years reaches seventy years of age. Water main is only one component of the delivery system. Other assets include the sanitary sewer main, lift stations, and booster stations. The sanitary sewer mains have roughly the same total mileage as the water main. The service life of the sewer mains should be significantly higher than water mains as they are not subjected to pressure. Since the Village does not treat waste, there are no treatment facilities to fund. For the purpose of the pro forma, the FY 2017-2021 Capital Improvement Plan was added to the calculation. Beyond 2018, a flat amount is budgeted each year to address sanitary sewer system and lift station repairs. ' a i el- f 11 t Each year staff reviews the financial condition of the fund to determine the adequacy of current rates. The rate is set by ordinance to increase in FY 2018 by 4 percent annually. There are no changes recommended with this update. The impact of infrastructure maintenance costs and the related strain on the water and sewer fund is not unique to the Village of Buffalo Grove. All communities to varying degrees are challenged on how to maintain and protect their system assets. A proper rate structure is the first step to ensuring that the fund will have the resources available to maintain the integrity of the system. Staff recommends reviewing the tap on fees for adequacy for 2018. There is the potential for significant redevelopment and the fees need to cover the cost of material and labor to make the connection. This will require an independent analysis from a consulting firm. In the future, in the future, staff will present recommendations to institute a minimum usage for billing. Residents who consume no water still should share fixed costs related to maintaining the enterprise infrastructure. Page 5 of 5 Packet Pg. 57 101C da tez as 4elN ea, 1-A: Gue Ml :t '91 ?OA 0? qua UAL oea IV � N 01 Ln N N O � N N 01 00 n L!1 CD M O O N Ln 01 t--I N � O N N N Ln N N m 00 N p O N M n O M N p N O Cl 0) N M Ln 00 Ln � O N cn CD M N M N N N O 01 N O cn M N M 01 00 e-I � 01 O N ni Ln 00 Ln W M C) N O Ol N N N N P. r` 01 CD cn o cn N N 0 Z M NLLN ` W W Nq � 06 z v Q. W � i C W F s W •� Q 0 p0 m m C 0 O 0 w CD CD 0 tD O 0 tD O Ct lfl C O w CD 0 w O 0 tD O 0 tD O O w a O 00 kO v Ln rl rl 00 00 N O 'i rl rl lO M rl rl Q1 l0 O rl M N 00 n 00 N O a -I N N O O O 01 01 co M rl ni L M M 01 Ln cf Ln 'i 01 01 M 00 00 O 00 00 Ln M M n n a 00 M M tD 0 00 In 0 m a Ln O M Ln c^-I Ln N Ln co a N O Ln Ln c0 r` OD 4- Ln m ro 00 m co lD Ln cN-I co co M oc r` O a N co v c-i O rn LO LO c-i N c-I N c-I 00 O rn C Ian c-i m rlj c-i D1 CO Ln c-I O Ln O O r` N 0 c-i N LD a O M 00 O LD Ln N rn LO LO Ln w M 00 M LO 00 00 O M N LO n n n DO �O O LD Lo a -I O 0) 01 00 Ln a O O N n N O Ol n M Ln Ln Ll1 Ol N O ni 01 M O co M V rn N Ll1 00 00 V N Ln r, V 00 rn r` O Ln tD r` oo O LD V Ln Ln n V Ln 00 OD N 0 Ln m V M M M of 01 N n M O1 r4 N LD N N a -I O Ln LD M LO N a -I 60 M LD a -I O l0 M LA M M M M a ni 01 N ni l0 00 00 M O w ni LD LD O n LO 00 a -I N LO n 01 a L+i O O n O1 O ni o Ln 0 r, o Ln 01 00 r. o Ln O1 00 r2 Ln 01 W r, Ql1 W r` o Ln W r` o Ln 00 r` o Ln oo r, Ln D1 Lb r, o Ln W r, O Ln cn n 00 n O Ln 01 00 DO n O Ln O� 00 00 N n O Ln 0; n 00 n O Ln 01 00 00 N n O Ln 01 r. 00 N O Ln 0m r. 00 n O Ln Ol 00 00 N n O Ln 0n n 00 N O Ln O1 n 00 N CD 0 Ln OD Lo N O OD N al N lD LD c rq 14 Lmn rn rn rn 0 O lD Lo T rn LD In 00 ni N N M N 01 Ln n LO zr N M 00 Ln M O Ln 01 e-I N N Ln' N R N 00 O �O M n O M O O 01 M Ln 00 Lf O LO M M N N N O) M M 01 00 e-I 01 n N' Ln 00 Ln M rn N Ln 0 c-I c0 Ln LD Ln O lD O LND c-I tT r` N c-I M c c-I 0 O m ri Do Do oo OD c-I cD c oo c-I Ln oo O m ri u � � N c O U � O O v v u Q N U1 m LL > N X -0 to = > y N E l6 H C 7 i w Q 7 N U1 C (UN = K O cu LL w *' v v v v X a) D_ r-a0 v i v C L Vl m £ y E E W E E a '^ E v F -0 U y O U C - = 7 UA 3 a pq m U LO a v C ar o o a Q a M o u M o W N c M a m Y W to i6 —_ cc > L C k 41 N +' C i v R N i N L O1 L L > N O N X N v ELbo (UO O LLI U U •f6 O DO `w fp t/1 f6 CLJ In 41 D L= c i1 .. M F 0 F F O F W 00 00 r` iD V L() N p vi to ti oW `a n a 00 01 m � ++ V n Ln t0 ti 06 Ln 00 m c-I O^1 N00 N Ln N Ln L6 ri r-� LO Ln � M CD M O � Ln U) r r. 00 Ln m Ln � M c-I M R O N CDLn n ti r e I Ln Om oo m m C M Ln Ln c w n Ln N � m c-I N oo m m 00 Ln Ln r tD O Ln ccn n M r e-I "1 1l CD-1 � -zzr Ln Ln c-I t0 O Ln �t M cn M c-I e-I 00 C) d N 'T n M M � e-I w ao r, D1 v O Ln a ti ri Ln e-I O 0 O v E 0 ° ° � v c E N L U v O) N *' Ev v i Z L a (ewaOIOad OWN JO;eM aeaA7AIUOM.L : V960 ae9A OZ :Iu8wy3ePV 0 N 00 o N O O '� 01 m N Q1 O O M m N -1 LLnn cN-I to Ln Ln N m o n o O L' o Ln rl ll w 61 rn `^_ r, cl 00 lD 61 O 's n O Ln M oo c-I M m Ln n N H% 00 Cn m O a N Ln m LD � 01 N m o e0 n m Ln l0 w Ln oo n o0 LD W M m N M O CJ O lD [rl c-I m M t r` c-I 01 c-I N I� N C1 00 N LD lD O m I O Ln O O Co Ln M Co oo LD o O Ln _q c-I O Ln m I o oo O O N Ln O co Ln Ln Ln N 00 Ln M N m c Ln O Cl cn lD Ln N c0 c0 n m Q1 o N o" N Ln c-I v o ', oo o Ln n Moo N �o' Ln N r, co Ln l� oo 00 m c-I c-I O ti N N ID 7 LD V n a--1 Ln V Ln � oo r,� Ln Ln � N N M O N Ln m N m M c-I r` r-i 01 1-4 O r,O N 00 e-I LD rl oo N LD M Ln V o oo O O py oo n N Ln n o O 61 LD LD p LD m o 0 0 0 m N N N V1 Ln Ln o Ln Ln O lD O V O Cl O m lc O Ui M m M Lr N c-I M n O 's V O Ln �t n N N oo O n co � M M cn c-I O V O LD V N N Ln m 1p Ln Ln a"I oo n 00 N lD _j LD Ln M p N `� N c-I M ^ m o c-i 'D O n N Ol I� M Ln N c-I N lD Ln N � s N 00 Q1 rl rl Ln m o 0o O O Ln LD o Ln Ln o O o M N M M m o 0 0 0 N oo O o Ln Ln m LD Ln -4 ai O O O O O O c-� O O lD O m O oo N c-I O M o O Ln O Ln O N oo O Ln Ln O n N O O N M l0 V' O N o0 w V M Ln � tD O � c0 (V O I, oo a0 n O M O M o N O m m N o 00 I� e-I ry N O c-I c-i to c-I 'j s 0 O O O n N O O O O O G LNn N oo r, W Ln LLM Ln M oo Ln oo O N O O O I� c-I Co c-I O m M O M m M N O O l O O O Ln Ln Ln O Ln O Ln n r,:, LD LO oo N M M oo O t r, oo LD V Ln Ln Ln O lD Ln c-I Ln n n oo oo r,00 N M O M O N O N n N c-I N M o -1 00 M N N I� O N O N 00 c-I O 0o O O cn oo m N N O N O O O m O M I o o O O rn O LD N c-I M '*I Ln Ln M n m 00 n N I O oc O O O cl Ln M ll� Ln m O co 00 Ln N M m O m O Ln � M m oo rn r` oo O cm m m rn O P m= o O N Ln n Ln a O LD m Ln Ln ci co lD a M oo n OD a oo M r m N N In c-i N O LD c-i 01 Ln 'i I� -- n n M � n LCI N rl LD Ln o c-I O O N Ln m Ln m c-I O o O N 00 ID N N V o O o o O N -* Ln r, M Ln Ln oo O In I, M LD o LD c Clo m r m m M r, m r, M v o m o Ln M m oo oo rP Ln n r; oo o M ri n In cn Ol N o LD Ln O LD v n r, N o Ln 00 oo m M N ati oo 00 oo m I� N N O N ,� O% N o l0 l0 n M N m lD M c-I I, c-i rl M e-I rl L!1 O O n O O N N CO O 1-4 n m N o O c-I LO n M m o m O O 00 ;Zr oo M 1-4 N o -* Ln Ln LD N Ln M m O Ln O O cn m 00 m oo cl Q1 I m M N Ln m m O lD O c-i O Ln N m V M c-i V O r-,O N M Ln lD N M O l O N Ln Ln LD V L,O m m LD V LO n oo m N � oor"n oo M 01 LD 00 lD o N L cy O N Ln -1 a c-I c-Ich I� N e-I lD N N rl L!1 LD O m O O LO c-I LD N oo m c-I 00 o O c-I M m O m o Ln O O cn o m M n m N M Ln Ln n M o O oo I O V O O N r" n N oo Ln w m M N n lD M oo O to O '% rn O Ln N � c-i O 't V m n ^ m O c-i N N n cy O oo Ln V LD V r,00 N N oo LD N oo M 00 n oo M lD M c-I 00 o N c-I Oi N Ln .--i N m c-I I, N N M rl Op -j ' O LA O O LD O LD Ln Co c-I O M O O o0 Ln -;T m O Do O m O O N Ln N N Ln c-I co -* Ln Ln m O -;T M O O O O -tr O m M O `3 N n I m M Ln O o0 00 M lD O m O lIl O Ln O M r-N M n N wW O CD N O m O a N Ln m LD V O Ln oo m M O co LD oo O a n oo N 00 m 0o I� m N N N m N O Ln r O M O n _... N a 01 L`% 0 Ln a c-I 0 Ln a c-I 0 Ln Ln c-I cD O Ln It ri O c-I cD Ln c-i cD 0 Ln ri O Ln Ln c-I CD O Ln m c-I CD O Ln Ln ri m Ln -;T a m N N c-I O O o c LD V o m N N ti m -j a a N m Ln m N c c-I N m c W N o W N -4 c-I M m a Ln oo N O c-I O Ln LD c N O N Co N O N m � oo a r ti m m o w c Ln m a r-� ti m m N N c N co c-I Ln r, c O I, n n ri W m LO 6 a aD a