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City of EUSTIS FLORIDA

BRIGHTER TOMORROW TOGETHER

PEOPLE · PLACES · POSSIBILITIES

VIBRANT COMMUNITY

SUSTAINABLE GROWTH

FISCAL RESPONSIBILITY

QUALITY SERVICES

STRONG PARTNERSHIPS

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CITY OF EUSTIS FISCAL YEAR 2026/27 APPROVED ANNUAL BUDGET

CITY COMMISSION

Mayor Emily A. Lee

Vice-Mayor Gary Ashcraft

Commissioners Michael L. Holland Willie Hawkins George Asbate

City Attorney Taylor Tremel

CITY OF EUSTIS FISCAL YEAR 2026/27 APPROVED ANNUAL BUDGET

Interim City Manager Rick Gierok

Deputy City Manager Miranda Burrowes

Finance Director Lori Carr

Development Services Director Alicia Thomas

Human Resources Director Karen Crouch

Police Chief Craig Capri

Fire Chief Shawn Kelleher

Engineering & Capital Projects Director Rick Gierok

Public Services Director Gregory Dobbins

Library Services Director Ann Ivey

Parks & Recreation Director Sam Brinson

Economic Development Director Mike Bishop

City Clerk Christine Halloran

CITY OFFICIALS

Taylor Tremel City Attorney

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TABLE OF CONTENTS

INTRODUCTION

• City Manager’s Transmittal Letter
• City Profile
• City Demographics
• City Vision, Mission & Core Values

STRATEGIC GOALS & STRATEGIES

• Strategic Goals Creation Process
• Priorities & Challenges
• Short-Term Financial Plan
• Long-Range Financial Plan
• Performance Measures and Budget Trends

BUDGET-IN-BRIEF

• Adopted Budget Summary
• Budget Calendar
• Budget Overview
• The Changes Between Proposed and Projected Budget
• Budget Summary by Fund
• City Funds & Affiliated Departments
• Citywide Organizational Chart
• City Department – Fund Relationship

GENERAL FUND

• Revenue & Expenditures Summary
• City Commission
• City Manager
• Finance Department
• City Attorney
• Development Services
• Human Resources
• Police Department
• Fire Department
• Public Works
• Library Department
• Parks and Recreation
• Contingency, Insurance, Grants, & Fund Transfers
• Sales Tax Capital Projects Fund

SPECIAL REVENUE FUNDS

• Special Revenue Fund Summary
• Library Contribution Fund
• Police Training Fund
• Law Enforcement Trust Fund

• Street Improvement Fund
• Community Redevelopment Trust Fund
• Building Services Fund
• Stormwater Utility Revenue Fund

ENTERPRISE FUNDS

• Revenue & Expenditure Summary
• Water & Sewer Fund – Utilities
• Water & Sewer Fund – Water
• Water & Sewer Fund – Wastewater
• Contingency, Insurance, Grants, & Fund Transfers
• Reclaimed Water Project Fund
• Water & Sewer R&R Fund
• Utility Grant Fund

TRUST & AGENCY FUNDS

• Trust & Agency Fund Summary
• Fire Prevention Capital Trust Fund
• Greenwood Cemetery Trust Fund
• Police Pension Fund
• Fire Pension Fund
• Parks & Recreation Capital Trust Fund
• Law Enforcement Capital Trust Fund
• Water Impact Trust Fund
• Sewer Impact Trust Fund
• Economic Development Trust Fund
• Library Capital Expansion Trust Fund
• Fiscal Year 2026-27 Capital Improvement Plan by Fund
• Glossary of Budget Terms
• Finance Staff

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INTRODUCTION

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P.O. Drawer 68 · Eustis, Florida 32727-0068 · (352) 483-5430

September 24, 2026

Honorable Mayor and City Commissioners:

I am delighted to introduce the Adopted Annual Budget for the fiscal year beginning on October 1, 2026, and ending September 30, 2027. This budget is based on my understanding of the Commission's top priorities and the level of service required to fulfill the community's needs. This document represents the culmination of the annual budget process, commencing in February and ending with the final adoption on September 24, 2026. The budget is fully compliant with the mandates of the City Charter, relevant Florida Statutes, the City's Financial Policies, and is aligned with the goals and objectives outlined in the City's Strategic Plan.

Eustis remains a vibrant and thriving community that residents and businesses can take pride in. The City's fiscal health continues to be strong and stable. The Commission has exercised fiscal restraint and implemented expenditure plans that are within the City's available revenue streams. Over the past several years, Eustis has consistently adopted balanced budgets, adhering to the City's definition of a balanced budget, wherein total recurring revenues meet or exceed total recurring expenditures, practicing responsible financial practices.

The expenditure budget of $73,650,102 (Proposed Budget Summary, page 78) includes the acquisition of public safety vehicles, water and sewer projects, street resurfacing as well as funding for the police and fire pensions. There are several major projects slated for FY 2026/27. The most significant projects in the FY 2026/27 budget are the ground water storage tank in the Water/Sewer Utility, the replacement of the City's Enterprise Resource Planning software system, the Lake Willie dock expansion and the CRA / Downtown Implementation Plan. The build-out of the new facility to house the Building Department and Fire Administration is budgeted in the Capital Improvement Plan. The Public Utilities Department has budgeted equipment for the sewer and water divisions, as well as repairs, upgrades and replacements for pumps, lift stations, water lines and meters. On-going city-wide street resurfacing and sidewalk maintenance is budgeted to preserve the existing infrastructure.

The City continues to experience steady growth, with an increase in population from 23,407 in 2021 to an estimated 24,734 as of April 1, 2026. The increase of 1,327 represents a 5.67% growth in population. The data is prepared by the University of Florida, Bureau of Economic and Business Research.

Figure 1:

CITY OF EUSTIS, FL POPULATION

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According to the State of Florida Long-Range Financial Outlook, prepared by the Legislative Budget Commission for Fiscal Years 2027-2029, while the economy was relatively stable in Fiscal Year 2024-25, a less certain economic environment exists from this point forward. Economic pressures are still evident in the reduction of household savings, the heightened use of consumer credit, and persistently elevated inflation. The predominant risks to the new economic forecast are to the downside. The new forecast was decidedly weaker in the near term, especially in sectors dependent upon significant consumer debt such as residential construction, existing home sales, and motor vehicle sales. Florida's proposed Amendment 3 would significantly restructure the state's economic landscape by introducing a major property tax overhaul, raising homestead exemptions, and placing strict caps on local government spending. Its implementation would create a mix of tax relief and local government funding challenges. Despite the challenging and unstable economic environment, the City did achieve economic growth during the most recent period.

Revenue and expense estimates in this budget are based on historical trends with last year's actuals also being considered. In FY 2026/27 total revenue estimate is $68,777,995 increased by $1,165,424 (Proposed Budget Summary, page 78) in comparison with the previous year of $67,612,571. The total expenditure estimate for FY 2026/27 is $73,650,102 increased by $5,213,739 (Proposed Budget Summary, page 78), in comparison with the previous year's adopted budget of $68,436,363.

The anticipated available fund balance for the General Fund at the end of FY 2026/27 is projected to be $8,879,519 (General Fund Summary, page 122). This is in addition to the required reserves of $7,668,372 (General Fund Summary, page 122). The budgeted expenditures in the General Fund exceed budgeted revenues by $1,222,023. This is primarily due to one-time project costs budgeted in FY 2026/27, as well as increased operating and personnel costs. The total transfers from the Water and Sewer Revenue Fund to other funds are $5,363,800 which is $130,000 more than FY 2025/26 (Water and Sewer Fund, page 282).

According to the Lake County Property Appraiser's Preliminary Tax Roll for year 2026, new construction in the Eustis economy resulted in an increase in taxable value of $52,334,487, in comparison with prior year's increase of $35,744,964, a 46.4% increase. The current year gross taxable property value of $1,956,638,802, reflects an increase of 6.92% over prior year final gross taxable value from prior year of $1,830,024,307.

This letter serves as an executive summary of the proposed budget with a review and analysis of the following:

• ●Revenue sources and assumptions with approved millage rate and comparisons
• ●Estimated fund balances and reserves
• ●Anticipated increases in expenditures
• ●Personnel changes
• ●General Fund Budget Analysis (Fund 001)
• ●Street Improvement Fund Budget Analysis (Fund 013)
• ●Water and Sewer Fund Budget Analysis (Fund 040)
• ●Stormwater Fund Budget Analysis (Fund 049)
• ●Additional Points of Interest
• ●Year-End Significant Events and Accomplishments

Revenue Sources and Assumptions

The City of Eustis has 24 separate funds with various sources of revenue. This budget is based on

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the current millage rate of 7.3898 per $1,000 taxable valuation. The adopted millage rate is the same millage rate as Budget Year 2025/26. The 7.3898 millage rate exceeds the roll-back rate of 7.1106 and was advertised as a 3.92% tax increase. A home with the taxable value of $150,000 and a rolled-back rate of 7.1106 would equate to a savings of $41.88 annually, or $3.49 per month compared to the adopted millage rate of 7.3898. In accordance with the City's financial policies, tax revenues are budgeted at a 95% collection rate.

The City of Eustis proposed millage rate compared to the rest of Lake County is as follows:

Table 1:

* Does not include debt service millage

The Lake County General Fund millage rate for FY2026/27 is 5.0254, which is the same rate as prior year's millage rate.

City Revenues

'Total City revenue includes all funding sources and is projected at $68,777,995 (Budget Summary, page 78). The City's primary revenue sources are derived from Charges for Services, which include income from Water and Sewer Service Charges, Stormwater fees, and Ad Valorem or Property Taxes. Figure 2 provides the breakdown by type for all projected revenues received by the City.

Figure 2:

FY 2026/27 - Total City Budgeted Revenue - $68,777,994

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City Expenditures and Fund Reserves

Total City expenditures are budgeted at $73,650,102. The City's expenditures are broken down into various categories, each serving a distinct purpose to enhance the community's well-being (Budget Summary, page 78).

Figure 3:

FY 2026/27 Total City Budgeted Expenditures - $73,650,102

Total City fund balances are budgeted at $122,420,429. Figure 4 provides information on budgeted reserves by fund (Budget Summary, page 78).

Figure 4:

FY 2026/27 – Total City Budgeted Year End Reserves by Fund - $122,420,429

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The estimated beginning fund balance of all 24 City funds for FY 2026/27 is budgeted at $127,292,537. Budgeted revenue is $68,777,995 and budgeted expenditures are $73,650,102. This results in a total City budgeted ending fund balance of $122,420,429. Of that amount $84,087,170 is dedicated by law or policy as reserves, leaving a remaining available undesignated fund balance of $40,308,057. (Budget Summary, page 78). This allows for a healthy fund balance, as well as ample funding for upcoming utility infrastructure needs as identified in the Capital Improvement Plan. The Capital Improvement Plan for FY 2027/2031 is included in the Capital Improvement Section at the end of this budget book.

Fund Balances and Reserves

The C i ty 's financial policies call for a targeted reserve amount for its various funds. The target amounts and currently available amounts for the various funds are as follows:

Table 2: Fund Balances & Reserves

Anticipated Increases in Expenditures

This year the budget includes the following notable cost increases:

• ●Cost of Living Adjustments of 5% for all employees, reflecting a total salary increase of $829,129 (Salary & Benefits Increase/Decrease, page 8). This increase is necessary to retain

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employees and reduce the cost of employee turnover.

• ●A $1,000 flat pay increase is included to retain employees and remain competitive. This pay was calculated for full-time City employees. This results in a total salary increase in FY 2026/27 of $263,000 (Salary & Benefits Increase/Decrease, page 8).
• ●FICA payments increased by $83,548 (Salary & Benefits Increase/Decrease, page 14).
• ●Police, Fire, FRS and City pension contributions decreased by $17,304, (Salary & Benefits Increase/Decrease, page 8).
• ●Health and life insurance costs increased by 2.9% or $146,698 (Salary & Benefits Increase/Decrease, page 8).
• ●The General Liability / Workers Comp. / Property Insurance costs increased by 8.1% City-wide for a total insurance premium of $1,008,000 (General Fund Expenditures, page 125)
• ●The total amount of the Capital Improvement Plan for FY 2026/27 is $17,395,385. The some of the most significant project in the FY 2026/27 budget is the Ground Storage Tank in the Water Department at a cost of $1,700,000. The replacement of the City's Enterprise Resource Planning software system is budgeted in the General Fund in the Finance Department for $600,000 and the remainder is budgeted in the Water/Sewer Utility for $850,000. The Lake Willie Dock Expansion project has been budgeted at a cost of $700,000, however the City will receive $350,000 from Florida State Appropriations to offset the cost. The build-out for the Fire Administration and the Building Department is budgeted in the Sales Tax Fund for $320,000 and Building Department for $320,000. The City strives to maintain a robust street maintenance program, guaranteeing well-maintained roads and rights-of way for the benefit of its residents and visitors and ensuring safe and efficient transportation throughout the community. The City has been awarded a CDBG -MIT grant through the State of Florida Department of Commerce in the amount of approximately $1.5 million for road resurfacing. The Stormwater Utility Fund supports projects that enhance and expand stormwater infrastructure. These projects include the construction of new stormwater facilities, maintenance of existing systems and implementation of stormwater best management practices. The Community Redevelopment Fund has budgeted $500,000 each over the next three years for the Downtown Implementation Plan. The City of Eustis is moving forward with a commission-adopted Downtown Master Plan to revitalize the city center and expand the waterfront. The actionable blueprint includes redeveloping the former Waterman Hospital site into a mixed-use district, upgrading Ferran Park, and adding multi-modal trails, boat slips, and streetscape improvements. Other significant projects include City-wide street resurfacing and sidewalk maintenance within the community redevelopment area, design and construction for cemetery improvements, various Parks and Recreation projects, and other Water and Sewer Renewal and Replacement projects.
• ●The City strives to be a competitive employer in the region with regards to both salaries and benefits. With this goal in mind, the City continually reviews all compensation and internal and external equity decisions. Any pay increase/decrease for the Fire and Police departments must be negotiated by the respective union contract.

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Table 3: Salary & Benefits Increase / Decrease

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Personnel Changes

The following chart summarizes full-time personnel changes over the last five years: Table 4:

Personnel Changes for Last Five Years

As the City continues to grow, some City departments have planned to expand City services in FY 2026/27. Four new full-time positions have been budgeted, as well as three positions were eliminated:

1. Police Department – Deputy Police Chief – new position
2. Fire Department – three new Firefighters – new positions
3. Finance Department – Accounting Specialist – position eliminated
4. Events Department – Events Coordinator – position eliminated
5. Parks Department – Deputy Aquatics Manager – position eliminated

A total of 274 full-time positions and 55 part-time positions have been budgeted in FY 2026/27.

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General Fund Budget Analysis

The General Fund budget (Fund 001) is based on a beginning fund balance of $17,769,915. Total General Fund expenditures of $31,418,905 and restricted and reserved amounts of $7,668,372 leave a remaining available balance of $8,879,519, and a total fund balance of $16,547,891 at the end of FY 2026/27 (General Fund Summary, page 122). Total expenditures include allocations to General Government $6,582,745, Public Safety $15,072,742, Physical Environment $1,994,214, Culture & Recreation $3,577,523 and Non-departmental expenditures $4,191,682. Non-departmental expenditures include fund transfers $2,007,682, contingency funds $280,000, and insurance $1,008,000 (General Fund Expenditures, page 125).

Budgeted operating expenditures exceed budgeted operating revenues. This leads to the use of Fund Balance for some capital projects in the General Fund, resulting in a balanced budget. A transfer of $2,730,000 is received from the Water and Sewer Fund for administrative costs. Approximately 47.97% of the General Fund's expenditures are budgeted for Public Safety to fund the Police and Fire Department operations.

Total General Fund revenues are anticipated to be $30,196,882 (General Fund Summary, page 122). Figure 5 below shows the revenue source breakdown for the General Fund. Of all the General Fund revenues, the most significant amount of revenue comes from current and delinquent ad valorem taxes and is budgeted at $14,036,211 (46.48%), followed by Utility Taxes of $3,751,000 (12.42%) and Intergovernmental revenue at $3,109,654 (10.30%). Other General Fund revenues are provided by Fund Transfers of $3,274,429 (10.84%), Franchise Fees of $2,365,000 (7.83%) Miscellaneous revenues of $1,686,500 (5.59%), and Charges for Governmental Services of $1,339,088 (4.43%) The remaining revenue is comprised of Fines and Forfeitures ($573,000 at 1.90%), and Licenses and Permits ($62,000 at 0.21%).

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Figure 5:

FY 2026/27 General Fund Budgeted Revenue - $30,196,882 Where Do City General Fund Revenues Come From?

Figure 6 below portrays the General Fund revenue trend over the last five years.

Figure 6:

Five-Year General Fund Revenue Trend FY 2021/22 to FY 2026/27 Revenue

General Fund expenditures are anticipated to be $31,418,905 (General Fund Summary, page 125). See Figure 7 below for expenditure breakdown for the General Fund. The most substantial allocation of expenditures in the General Fund is for Public Safety (47.97%), followed by General Government (20.95%) which includes salaries for City employees and all operational expenses. Other General Fund expenditures are for Other Financing Uses (13.34%) which include City contingencies, liability

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insurance, union negotiations implementation, unemployment compensation, and related expenses, Culture and Recreation (11.39%) and Physical Environment (6.35%) of General Fund budgeted expenditures.

Figure 7:

FY 2026/27 General Fund Budgeted Expenditures - $31,418,906 What are General Fund Expenditures?

Figure 8:

Five-Year General Fund Expenditure Trend FY 2021/22 to FY 2026/27 Expenditures

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Figure 9 illustrates how General Fund revenues are spent, based on the summary figures found in the Budget Overview Section.

Figure 9:

FY 2026/27 General Fund Budgeted Expenditures $31,418,905 Where will General Fund Revenue Will be Spent?

Street Improvement Fund Budget Analysis

The Street Improvement Fund (Fund 013) includes 21 employees. Revenues are received from various sources. The major funding source is the Local Option Gas Tax. The revenues have increased incrementally over the past several years due to a change in the distribution formula. The total revenue of this fund is $2,348,000 (Street Improvement Summary, page 243) or 5.4% higher than the estimated FY 2025/26 revenue. This does include $58,000 for streetlight reimbursement from the CRA, a General Fund transfer of $1,000,000, and a Stormwater Fund transfer of $260,000 (Street Improvement Summary, page 243).

Total expenditures for the Street Improvement Fund are $2,772,243. Budgeted expenditures exceed budgeted revenue by $424,243 and an ending budgeted fund balance of ($147,629), (Street Improvement Summary, page 243). A healthy balance continued for several years. However, critical projects have been budgeted, which have reduced the fund balance. Traditionally, transfers from the General Fund have supported the Street Improvement Fund.

The Street Improvement Fund expenditures continue to grow year over year. FY2026/27 has capital projects budgeted for sidewalks, street resealing, pavement reflectivity and other projects

The Street Improvement Fund provides the following services:

• Public land maintenance of parks and other City-owned properties - 1,000+ acres
• ➢ Streetlighting and traffic signals, approximately 12+ square miles
• Tree trimming and replacement services
• Maintenance and repair of 100+ miles of roadway and 35+ miles of sidewalks

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Water and Wastewater Fund Budget Analysis

The Water and Sewer Fund (Fund 040) has a total revenue budget of $15,475,000 with a projected beginning fund balance of $24,279,855. The budget includes total expenses of $18,424,904 as well as the required 90-day operating reserves of $4,041,009, leaving a remaining fund balance of $21,329,951 (Water & Wastewater Summary, page 280). This will allow the City to continue with on-going capital improvement and infrastructure needs. Revenue sources include water and wastewater sales, reclaimed water sales, and water and sewer sales to RedTail and Sorrento Springs. The fund has operating expenses of $12,217,104 and non-operating expenses of $6,207,800 which includes capital items, inter-fund transfers, general liability and property insurance, and debt service (Water & Wastewater Expenses, page 282).

The Water and Sewer Fund includes the Director of Public Works for Utilities, the Water Superintendent, Utility Supervisor and several utility operators and maintenance workers. There are 23 positions in Water, 22 in Wastewater, and 23 in Utility Administration which includes Customer Service and meter reading services.

During FY 2024/25 the City contracted for a new five-year rate study. The impact fee portion was completed in FY2025/26, and the new rates are in effect, as of January 1, 2026. The study water and sewer rates section will be available soon and will be implemented once approved by the City Commission. It is imperative that the City maintains sufficient rates to cover normal operations, renewal and replacement of infrastructure needs, adequate expansion of the system to accommodate growth, and protection to bondholders to make necessary debt payments. A 2.5% increase in the water and wastewater rates went into effect in August 2026, based on historical data. The new rates may be adjusted upon the results of the rate study.

According to the FY2025 Annual Comprehensive Financial Report, the City's Water and Wastewater Utility provides the following services:

• Water service to approximately 12,820 customers, supplying over 3.20 million gallons of water per day
• Maintenance and repair of 188+ miles of water main
• Maintenance and repair of 121 miles of sanitary sewer lines
• Over 12,820 units served for various services
• Average daily flow of 3.2 million gallons

Stormwater Fund Budget Analysis

Stormwater utility fees provide the major source of funding for the Stormwater Utility Fund. Other minimal revenue sources include interest earnings. The estimated beginning fund balance is ($255,783). Budgeted revenue for FY 2026/27 is $934,000. Operating expenditures are budgeted at $1,362,602, leaving a fund balance ($684,385). The fund is required to have a required reserve of $473,238 (Stormwater Summary, page 272).

The Stormwater Fund includes four full-time employees and is responsible for street sweeping and drainage maintenance. The Stormwater Fund transfers $260,000 to the Street Improvement Fund and $81,500 to General Fund for a total of interfund transfers of $341,500 (Stormwater Summary, page 272).

The stormwater rates have been evaluated, along with the rate study for the impact fees. It had been over a decade since stormwater rates have increased. The new monthly rates are $8 for residential (an increase from $6) and $16 for commercial consumers (an increase from $12).

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Additional Points of Interest

The budget includes several programs that the City maintains by policy for the benefit of the public and the enhancement of the City's image. Revenues for these services do not necessarily cover costs and do require an annual commitment to continue. Major examples are as follows:

1. Economic Development Incubator:

• a)The UCF/Eustis Business Incubator agreement has been renewed for a second three-year term from 2026 through 2029. The program provides aspiring and young businesses with entrepreneur development services that were envisioned when the City, Mega Workplace, and the County partnered to establish the program. The Incubator framework facilitates valuable networking prospects, host events, and conduct workshops aimed at cultivating robust business relationships and fostering a supportive entrepreneurial ecosystem. The UCF/Eustis Business Incubator allows the City's Economic Development Department to provide customized assistance to aspiring entrepreneurs, startups, and emerging businesses, which results in the creation of new jobs and economic growth.
• The UCF Business Incubator is expected to continue generating measurable economic benefits for the City of Eustis and Lake County by:
• Supporting startup and early-stage companies.
• Assisting existing businesses with expansion and growth.
• Creating and retaining jobs.
• Increasing private-sector investment.
• Strengthening the local entrepreneurial ecosystem.
• Encouraging graduates of the program to remain in Eustis and Lake County after completing incubation services.
• b)Under the proposed funding structure, the City of Eustis will contribute $42,500 annually toward the operation of the incubator program. Lake County will provide an annual contribution of $127,500 through a separate interlocal funding agreement, resulting in total municipal annual funding of $170,000. UCF will apply $90,000 in unspent funds toward the operation of the UCF Business Incubator - Eustis during the term of this agreement with the City of Eustis in the amount of $30,000 per year for three years. The total municipal and UCF annual funding for the UCF/Business incubator is $200,000.

2. Greenwood Cemetery:

• a)The City completed cemetery improvements, which included design and construction of landscaping and grounds beautification in FY 2025/26.
• b)Annual revenues are budgeted at $21,850 (Greenwood Cemetery, page 331).
• c)The current required reserve balance is $268,685.
• d)The General Fund's annual operating expenditure for the cemetery is $11,000.
• e)Discussion has been underway to update the ordinance and the by-laws, which entail revisions to the fee structure and introduce a revenue source for perpetual care. Due to the growth of the cemetery, perpetual care funds will ensure adequate resources are available to maintain the grounds, walkways and memorial markers.

3. Community Events:

• a)a) The budget includes $1,249,194 (CM Events & Tourism Expenditures, page 136) in expenditures for a wide array of City events, festivals, activities, and celebrations, which

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will attract visitors and help provide economic stimulation within the City. The City funds most of all events with a small amount raised by sponsors.

• b)b) Several City departments, including Fire, Police, Parks and Recreation, and Public Works incur the time and overtime costs for these events which are absorbed into the respective departmental budgets.

4. Parks & Recreation:

• a)a) The annual operating budget for the department is $2,264,454 (Parks & Recreation Expenditures, page 211). Capital outlay for Parks and Recreation is $412,000 in the General Fund with an additional capital outlay of $75,000 in the Capital Improvement Projects budget in the Sales Tax Capital Projects Fund (Capital Projects Parks & Recreation, page 342).

5. Additional information can be found on the City's website: https://www.eustis.org/ and the City's Facebook page: https://www.facebook.com/CityofEustis.

The Fiscal Year 2025/26 Significant Events and Accomplishments

It is projected that General Fund expenditures for FY 2025/26 will be under budget. A significant amount of savings is attributed to position vacancies. Additionally, each department has limited their expenditures as much as possible. Other major accomplishments include the following:

1. Elected Commissioner Emily A. Lee to serve as Mayor and elected Commissioner Gary Ashcraft to serve as Vice Mayor for the City of Eustis. The Mayor and Vice-Mayor are elected at the first regular City Commission meeting in January each year.
2. Released a custom smartphone application by the Eustis Police Department. This app will serve as an innovative way for the police department to connect with Eustis residents and visitors, providing information quickly and efficiently to anyone with a smartphone.
3. Achieved the Distinguished Budget Award from the Government Finance Officers Association (GFOA) for the FY 2025/26 Budget, maintaining this recognition for eleven consecutive years.
4. Completed the City's annual audit with no management comments from the auditors; applied for the Certificate of Achievement for Excellence in Financial Reporting from the GFOA the 37th consecutive year, based on the audit for the fiscal year ending September 30, 2025.
5. Worked to secure reimbursement from FEMA and the State of Florida for costs associated with debris removal and damage sustained by Hurricane Milton by the Finance Department and successfully closed out project.
6. Installed playground pieces at Elizabeth Circle Park
7. Installed new playground pieces for Carver Park
8. Installed new playground pieces at Sunset Island Park
9. Renovated Sunset Island Park basketball court
10. Renovation made to the Elizabeth Circle Park tennis court
11. Installed new A/C in the Garden Room
12. Installed new A/C at Women's Club
13. Audio equipment installed in Women's Club
14. Installed new basketball goals at the Curtwright School Gymnasium
15. Installed new lights in the Women's Club parking lot
16. Renovated the Parks & Recreation Program Room

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17. Made a small improvement to Carver Park Softball fields
18. Added a Christmas Parade to the Winterfest Holiday event
19. Added a 30-foot Christmas Tree and decorations to Carver Park
20. Implemented Movies in The Park at Ferran Park
21. Resurfaced Eustis Aquatics Facility Pool
22. Sandblasted and painted pavilions at Corey Rolle, Carver Park, Cardinal Cove, and Sunset Island Park.
23. Painted guard rails at Sunset Island Park
24. Improvements made to Gnann-Thompson Dog Park for dog training
25. Interior improvements made to the Bandshell at Ferran Park
26. Increased attendance at both Trunk or Treat and Winterfest Holiday Events
27. Experienced a 50% increase in participation in the Teen Summer Camp program
28. Added 3 CDL bus drivers to the Teen Zone and Fun Zone Programs
29. Maintained full ALS service within Eustis City limits and maintained the City's ISO rating by the Fire Department
30. Migration to the Lake County Sheriff's Office for their CAD by the Information Technology Department
31. Completed the CISA audit with the Department of Homeland Security by Information Technology and implemented a significant number of recommendations
32. Installed and upgraded Police computers and infrastructure to prepare for the updated dispatch software.
33. Switched Police over to a new cellular provider which saves cost and adds priority cellular bandwidth and satellite communication redundancy, which was completed in FY2025/26.
34. Enhanced the City's communications program by refocusing weekly e-blast content on City news, community events, road closures, construction updates, and public notifications; launching a digital newsletter; implementing website accessibility enhancements; and establishing in-house drone photography and videography capabilities.
35. Strengthened event planning and operational management by developing standardized event planning documentation, implementing project-based financial tracking in collaboration with the Finance Department, and improving cross-departmental coordination and standardized procedures for City-sponsored and permitted events.
36. Implemented strategic marketing campaigns for City-produced events through targeted advertising, branding, and theme-driven promotions to increase community awareness, engagement, and attendance.
37. Enhanced the First Friday event series by strengthening event branding, themed programming, and interactive activities, creating more immersive community experiences that contributed to increased attendance and engagement.
38. Produced the annual Light Up Eustis celebration, which featured the City's official holiday tree lighting, seasonal entertainment, and family activities in historic downtown. Based on Placer.ai data, estimated attendance increased from approximately 6,300 in 2024 to 8,600 in 2025.
39. The Events & Communications Department successfully produced the 124th Annual Georgefest celebration, held February 21–28, 2026. As the longest continuously running celebration of George Washington's Birthday in the United States, the weeklong festival featured carnival rides, more than 100 vendors, family activities, a community parade, and nationally recognized entertainment, including Will Moseley, Mac McAnally, and Allen Stone.

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40. The Events & Communications Department coordinated the annual Hometown Celebration on July 3, 2026, as Eustis' community celebration of America's 250th anniversary. The event featured an expanded Family Fun Zone, live entertainment by the 789s and hometown country artist Michael Ray, a performance by the Tampa Bay Water Ski Team, and an enhanced fireworks display over Lake Eustis in celebration of the national milestone. Based on Placer.ai data, attendance nearly tripled from approximately 6,500 attendees in 2025 to an estimated 17,200 attendees in 2026.
41. Completed the Development Services Department's transition from its previous software platform to GovWell, providing a more user-friendly and robust system for Development Services operations. The Business Tax Receipt process, Building Permitting, and Planning modules have all been successfully implemented and are fully operational. As part of this modernization effort, customers can now conveniently submit payments online by credit card, eliminating the need to visit City Hall in person. Fire Department is also using the GovWell software system, and the new system has been well received by both staff and the public.
42. Continued to develop and update written informational materials, brochures, and pamphlets to better educate residents, applicants, and developers on Development Services processes and requirements. These resources provide guidance on topics including annexation, future land use designations, development standards, and other procedures administered by the Development Services Department, improving transparency and customer service.
43. Completed several large projects by the Public Works Department, including street resurfacing, completion of a significant number of City sidewalks, began the Pavement Condition Index Plan, began the Stormwater Master Plan, CR44 Forcemain Bypass construction, Coordination and utility relocation for the FDOT SR 19 safety project, completed the Greenwood Cemetery improvements to name a few.
44. Library exterior painting was completed.
45. Grant awarded and design plan created for library expansion.
46. Additional projects for the upcoming year include, but are not limited to, the Coolidge Street and seven blocks utility and road project which ultimately will include stormwater improvements, sidewalks, lighting, and sewer and water upgrades to include fire protection. Other projects include an extension of the City's reclaimed water distribution system, nearing completion of the eastern water treatment plant high service pump and well upgrades, continued sewer Inflow and Infiltration study, continued lift station generator installations, ongoing promotion of the City via community festivals and events, and continued evaluation of operational efficiency and fiscal stability measures.
47. Fire Department updated all computers used in fire apparatus to improve situational awareness.

Based on Commission input at several budget workshops, staff have revised the budget accordingly and incorporated final revenue and expenditure estimates. The FY 2026/27 budget provides the basis for all activities throughout the year in accordance with the direction of the City Commission to make the City of Eustis the best possible place to live, work, and play.

I want to express my appreciation and thank the City Commission and the staff for all the hard work and commitment to creating the financial plan for the next fiscal year. I look forward to working with the City Commission to implement the FY 2026/27 City of Eustis Budget on behalf of our citizens. Thank you to all the dedicated employees of the City and the citizens that we serve. Respectfully submitted,

Respectfully submitted,

Rick Gierok, Interim City Manager

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City of Eustis

Nestled in the heart of Central Florida, the City of Eustis has an enchanting charm that captures the hearts of residents and visitors alike. With its rich history, picturesque landscapes, and vibrant community spirit, Eustis is a shining gem in the Sunshine State. Let's embark on a journey to uncover the essence and allure of this captivating City.

A Glimpse into History:

Founded in 1883, Eustis boasts a heritage that spans over a century. The City’s historical significance is evident through its well-preserved Victorian-era architecture, charming Main Street, and the delightful Ferran Park overlooking serene Lake Eustis. As you stroll through the City’s quaint streets, you will feel transported to a bygone era, one where the past seamlessly intertwines with the present. As you delve deeper into Eustis’ history, you will uncover fascinating landmarks and historical treasures. The Alice McClelland Memorial Bandshell in Ferran Park stands as a testament to the City’s commitment to preserving its cultural heritage. The Clifford House stands as a stunning example of Queen Anne’s architecture. This charming historic home is not only a representation of the past but also a testament to the enduring beauty of Eustis.

Lakeside Paradise:

Nature lovers and water enthusiasts will find a haven in Eustis. The City's unique location amidst a chain of picturesque lakes allows residents and visitors to indulge in an array of recreational activities. Lake Eustis is not the only jewel in Eustis' crown. The City's residents enjoy access to several other nearby lakes, including Lake Harris and Lake Woodward, providing endless opportunities for watersports, leisurely boating, and gorgeous sunsets. Lake Dora, connected to Lake Eustis by the Dora Canal, is renowned for its scenic beauty and is a popular destination for boaters and wildlife enthusiasts alike.

Outdoor Recreation Haven:

From boating and fishing to paddleboarding and lakeside picnics, Lake Eustis and its neighboring water bodies offer endless possibilities for outdoor adventures. Beyond the beautiful lake, Eustis offers ample opportunities for outdoor recreation. The City's numerous parks, such as Ferran Park and Sunset Island Park, are perfect for picnics, jogging, and enjoying the great outdoors.

A Hub of Arts and Culture:

Eustis prides itself on being a Central Florida hub of arts and culture. The historic Bay Street Players Theatre, a local treasure, stages captivating productions that draw theater enthusiasts from near and far. The City also hosts art galleries, live music performances, and cultural events showcasing the creative talents of local artists.

Community Festivals and Events:

Eustis is alive with a year-round calendar of community festivals and events that celebrate its unique culture and spirit. Georgefest, the longest running annual George Washington Birthday Celebration in the world, draws thousands of visitors with its parade, carnival rides, live entertainment and delectable food offerings. The Eustis First Friday Street Party, held monthly, transforms the historic downtown into a lively celebration of music, art and local businesses.

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Several of the City's major annual events are:

Georgefest: Georgefest is the highlight of Eustis' annual event calendar. Held in honor of George Washington, this weeklong festival takes place in February. It features a wide range of activities, including a parade, live music performances, a carnival, food vendors, arts and crafts exhibits, and a spectacular fireworks display. Georgefest is a beloved tradition that draws visitors from all over the region.

Eustis Fall Festival: In the fall, Eustis hosts a delightful Fall Festival that typically includes family-friendly activities like pumpkin decorating, hayrides, games and costume contest. It is a perfect way to celebrate the fall season and create lasting memories with loved ones.

Light-up Eustis: Light-up Eustis is a festive event that ushers in the holiday season with joy and merriment. Usually held in December, it features an appearance by Santa Claus himself, spreading holiday cheer to all who attend.

Eustis Independence Day: Eustis knows how to celebrate the nation's birthday with enthusiasm and patriotism. The 4th of July celebration in Eustis is a beloved annual event that draws residents and visitors alike for a day of fun, parade, family activities, fireworks and community spirit.

Diverse Dining Scene:

Eustis' culinary scene reflects its vibrant community. From charming cafes and family-owned eateries to trendy restaurants with lakeside views, foodies will find a delightful array of options to choose from. Whether you're in the mood for Southern comfort food, fresh seafood, or international flavors, Eustis' dining establishments cater to every palate.

Education and Learning:

Eustis takes pride in its commitment to education and fostering a love of learning. The City is served by several excellent schools and educational institutions, providing a nurturing environment for students to thrive. Lake Technical College offers a diverse range of vocational programs, providing individuals with valuable skills for the job market. Nearby, Lake-Sumter State College, the University of Central Florida, Rollins College, Stetson University, St. Leo College, Nova Southeastern University, Beacon College and Embry-Riddle Aeronautical University provide options for continued education.

The City has established a collaborative business incubator project with Lake County, The University of Central Florida and MEGA Properties. This allows the City to extend assistance to emerging businesses, startups, and entrepreneurs, fostering the creation of new jobs and promoting economic expansion within the City. The incubator framework facilitates valuable networking prospects, host events, and conduct workshops aimed at cultivating robust business relationships and fostering a supportive entrepreneurial ecosystem. The operation of the incubator is facilitated by the University of Central Florida Research Foundation (UCFRF), which plays a significant role in its administration.

Progressive Growth and Development:

Eustis cherishes its heritage, but it also looks toward the future with a vision for growth and progress while maintaining its unique charm. City government and community leaders work hand in hand to ensure sustainable development that respects the natural beauty and historical significance of the area. Eustis boasts a dynamic business community that supports local entrepreneurs and encourages economic growth. The City's welcoming business environment and strong sense of community make it an attractive destination for startups and established ventures alike. The City has recently completed the Eustis Downtown Master Plan, which provides a road map and vision

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for a dynamic future for the downtown district. The Downtown Master Plan is a comprehensive update to the 2008 Downtown Plan and is a collective vision for a vibrant and interconnected City Center that reflects the dreams and aspirations of its residents.

The City of Eustis supports a diverse and growing economy that includes manufacturing, agribusiness and agricultural technology, transportation and logistics, professional services, retail, hospitality, and small business. The City continues to work closely with Lake Economic Area Development (LEAD), Lake County, the UCF Business Incubation Program, and other regional partners to support business recruitment, retention, entrepreneurship, and workforce development. Economic development efforts also include implementation of the Downtown Master Plan, continued investment within the Community Redevelopment Area, support for redevelopment and infill opportunities, and efforts to attract new commercial and employment-generating investment. Eustis continues to build on its historic downtown, waterfront, available industrial property, and strategic Central Florida location while preserving the character and quality of life that distinguish the family-friendly community.

Thriving Community Spirit:

One of Eustis' most distinctive features is its strong sense of community. The warmth and fellowship among its residents create a welcoming atmosphere for newcomers and a true sense of belonging for long-time locals. The City's calendar is filled with exciting community events, from lively festivals to art shows and farmers' markets, bringing neighbors together and fostering lasting connections. Eustis residents have a strong sense of volunteerism and community service. From assisting in local charity events to participating in cleanup drives, residents actively contribute to the betterment of their City. This spirit of giving back creates a close-knit community that cares deeply for its neighbors and surroundings.

Today, Eustis is a friendly hometown covering approximately 12.6 square miles, a community for families, and a destination for arts and culture reflecting its motto of Culture, Opportunity, and Vitality.

City Services:

Eustis is dedicated to delivering municipal services of the highest quality in the most financially prudent and customer friendly manner. The City partners with several community-oriented organizations such as the Lake Eustis Area Chamber of Commerce, Lake Community Foundation, Bay Street Players, Trout Lake Nature Center and Lake Eustis Sailing Club to facilitate a wide variety of activities for residents, visitors, and businesses.

City Transportation:

A vital network of highways, including US 441, I-4, I-75, and the Florida Turnpike, are easily accessible. Eustis is minutes away from Leesburg Regional Airport and an hour from Orlando International Airport. The City's leadership is also committed to taking full advantage of the natural attributes of Eustis by incorporating transportation plans to link the neighborhoods and downtown in a usable, convenient, and sustainable manner.

City Achievements and Recognitions:

In 2026, the City was awarded the Distinguished Budget Presentation Award. Eustis proudly continued its 12-year streak of receiving the Distinguished Budget Presentation Award. This honor showcased the City's excellence in financial planning and budgeting, exemplifying its prudent approach to resource management.

In 2024, the City was awarded the Certificate of Achievement for Excellence in Financial Reporting for the 37th consecutive year. The City has applied for the Award for FY 2024/25.

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City Population:

Eustis is home to a diverse and dynamic population that embraces residents from all walks of life. From young families to retirees, professionals to artists, Eustis attracts individuals seeking a place where a small-town feel coexists with modern amenities. As the City's charm becomes increasingly well known, more individuals and families are drawn to call Eustis their home. Currently, Eustis supports a population of more than 24,734 residents, with a median age of 42.70 years as well as median household income of $65,373. The City of Eustis has been a proven leader in setting the standards in quality of life for its residents and visitors, not only in Lake County, but also in the State of Florida. The residents of Eustis are proud of their special City with its many examples of dedicated work by countless volunteers, boards and staff who devote their time and talents to making this town one that is abundant in charm, history, culture, and promise for the future.

A Place to Call Home:

As the sun sets over the shimmering waters of Lake Eustis, the essence of Eustis reveals itself as a place where community and growth unite in perfect harmony. The residents' deep connection to their City, their commitment to preserving its history and their vision for an inspiring future make Eustis a City like no other. Ultimately, what sets Eustis apart is the feeling of home it evokes in both residents and visitors. The friendly smiles, warm greetings, and genuine sense of belonging make Eustis a place where people are not just part of a community but part of a family. This charming gem in the Sunshine State is more than a City, it is a treasure trove of history, culture, and heartwarming experiences, making it a truly special place to call home.

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Table 5:

Last Ten Years Education

Year Population (3) % Increase Consumer Price Index (1) Eustis School Information Enrollment (2) and Grading (4),(6)

Eustis County % of City Medican Age (5) Eustis Heights Enrollment Eustis Elementary Eustis Elementary Middle Eustis High

2016-17 20,880 335,396 6.20% 1.30 40.80 4,645 C B C C

2014-15 19,432 315,690 6.26% 0.33 42.00 4,725 C C B B

2015-16 20,127 325,875 6.28% 0.70 41.80 4,663 C C C C

2017-18 21,083 346,017 6.10% 1.30 40.40 4,413 C B C C

2018-19 22,368 367,118 5.80% 2.00 41.40 3,529 C C C C

2019-20 23,189 377,516 5.69% 1.40 40.50 3,480 C C C C

2020-21 23,407 380,381 6.19% 7.50 40.75 3,652 C C C C

2021-22 23,595 390,290 6.05% 7.50 40.75 3,869 C C C C

2022-23 23,918 410,026 5.83% 4.90 40.80 4,025 B B C B

2023-24 24,180 433,331 5.58% 4.10 40.90 4,021 C C C C

2024-25 24,477 445,000 5.50% 2.90 43.70 3,702 D C C C

2025-26 24,734 445,324 5.55% 2.6 42.70 2,692* C C C B

* Lake Tech College omitted, data is no longer tracked

1. Source www.usinflationalcalculator.com
2. Source Lake County School Board, Tavares, Florida (www.lake.kl2.fl.us - Dept of Growth Panning- Incl Lake Tech)
3. Source US Census Bureau and Office of Economic & Demographic Research
4. Source Florida Dept of Education
5. Source US Bureau of Labor Statistics (https://data.census.gov/table)
6. Source Florida Department of Education www.fldoe.org/accountability/accountability-reporting/school-grades/

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Table 6:

Demographic and Economic Statistics Last Ten Years

Last Ten Years

Per Capita Income(1)

Year Florida Lake Orange Seminole Sumter Marion Volusia

2012-13 41,012 34,442 26,300 29,628 34,670 23,557 26,140

2013-14 28,734 26,703 27,399 32,001 32,935 23,689 25,510

2014-15 29,888 26,454 29,005 32,664 36,296 23,187 27,207

2015-16 30,492 27,603 29,060 33,748 32,703 23,891 27,781

2016-17 31,119 28,322 30,300 35,127 33,879 26,341 28,388

2017-18 31,927 28,374 30,371 35,848 34,047 26,099 29,622

2018-19 32,887 30,277 31,433 37,370 39,187 27,033 29,623

2019-20 32,848 29,426 31,409 41,428 35,879 26,990 29,859

2020-21 33,850 33,638 32,205 40,800 36,780 27,025 29,620

2021-22 34,950 33,899 32,750 40,950 37,890 27,550 30,200

2022-23 35,216 33,968 33,498 41,100 39,922 28,969 32,231

2023-24 40,278 36,280 41,019 44,616 46,897 30,717 36,803

2024-25 41,902 36,657 40,911 42,560 43,844 32,688 37,071

2025-26 43,582 41,153 42,106 45,713 51,300 35,538 40,361

Median Household Income(2)

2015-16 53,336 54,285 54,690 65,319 58,128 41,957 48,331

2016-17 54,184 53,509 56,430 66,799 56,378 45,795 48,915

2017-18 54,852 53,589 59,650 68,693 54,872 45,384 51,274

2018-19 56,467 53,040 63,461 70,190 60,287 49,576 53,766

2019-20 57,703 55,792 61,416 70,297 59,618 46,587 52,407

2020-21 57,890 56,184 61,750 70,350 60,120 47,240 52,890

2021-22 59,780 58,350 63,600 71,560 61,860 49,460 54,770

2022-23 61,777 60,013 65,784 73,002 63,223 50,808 56,786

2023-24 69,303 67,559 72,324 80,550 73,391 54,190 64,857

2024-25 73,311 70,730 79,053 80,547 74,715 58,606 66,273

2025-26 77,735 76,617 82,152 85,403 78,807 64,410 71,508

Year Florida Lake Orange Seminole Sumter Marion Volusia

(1) source US Census Bureau https://data.census.gov/all?q=per%20capita%20income

(2) source US Census Bureau https://www.census.gov/programs-surveys/ces.html

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Table 7:

Demographic and Economic Statistics Last Ten Years

*Data for Cost of Living is one year behind

% Population Growth Rate Lake and Surrounding Counties (2)

(1) Source: https://fred.stlouisfed.org/

(2) World Population Review https://worldpopulationreview.com/us-counties/florida/

(3) https://www.fldoe.org/core/fileparse.php/7507/urlt/fpli.pdf

Table 8:

Top 10 Principal Taxpayers

Current and Nine Years Ago Fiscal Year Ending September 30th (Source: Lake County Property Appraisers Office)

Total Taxable Value of Real Property $821,891,967

Property

$1,831,981,923

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City of Eustis Map

City of Eustis

City's Vision

Eustis is a vibrant lakefront community with a well-integrated local economy strengthened by creativity and innovation.

It is a community that respects and honors its history and its rich natural environment. It provides residents, workers, and visitors a friendly, welcoming sense of place.

City's Mission

Create a superior quality of life by engaging and partnering with the community to provide financially prudent and customer-friendly services.

City's Core Values:

Eustis Spirit

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STRATEGIC PLANS

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Strategic Plan Development Process

The City of Eustis' strategic plan is a long-term vision of where the City wants to be in the future, as well as the steps it will take to get there. The strategic plan serves as the roadmap in prioritizing objectives, priorities, resources, goals and actions for department operations and projects. The strategic plan also looks at important metrics and key performance indicators to ensure the City is on the path to continued success.

• Core Mission Statement – the strategic plan foundation and reflects City objectives.
• Vision Statement – based on the City's mission, the statement articulates future goals and outcomes; the vision statement is an anchor point for the City's strategic plan.
• Core Values – part of the strategic foundation – the values are the beliefs that guide the conduct, activities and goals of the City.
• Strategic Priorities – City priorities that are most likely to guarantee the City's strategic plan execution.
• Goals & Strategies – all shareholders - City Commission, community, citizens, City departments and employees need to be involved in the strategic planning process. The entire process should be very transparent. The City's website constantly has updated information about City Commission meetings that are open to the public.
• Actions & Accountability – every goal should have a project owner and should be measurable. The use of key performance indicators will assist in evaluating City priorities and goals directly. SWOT analysis (strengths, weaknesses, opportunities, and threats) is a framework used to evaluate an organization's position and helps develop strategic planning for targeted goals and actions.

Figure 11:

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Priorities, Goals, Strategies and Actions

Strategic Priorities:

Five strategic priorities have been identified to guide the City's operations as we strive to maintain the City as a safe, clean, and functional community.

City departments are the key areas that review industry standards and apply best practices to determine high-quality service levels. City departments develop performance measurements aligning with the City's strategic initiatives, mission, vision, core values, and established goals. The standards and the City's core principles are the basis for the performance measures included in the budget.

Strategic priorities include:

1. Competent and Effective Government

An effective local government is aware of residents' needs and provides the services residents want. This can be achieved by managing the price of government and introducing innovative business practices, using management, using new technology, hiring quality employees and leveraging partnerships to save resources.

Key Areas:

Economic Development

▶ City Management

▶ Human Resources

▶ Finance

▶ Information Technology

▶ Business Partnership

Parks & Recreation

▶ Public Utilities

Community Engagement

2. Safe Community

Ensuring the public's safety continues to be among the City's highest priorities. To accomplish this, the City hires and trains quality first responders and looks for innovative ways to improve the delivery of public safety and emergency services.

Key Areas:

▶ Public Safety, Police & Fire

▶ Public Works Transportation

Community Engagement

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3. Planned and Secure Future

Securing the City of Eustis' future involves strengthening the City's financial condition by implementing strong organizational management strategies. This places priority on ensuring an adequate water supply for the benefit of current and future residents.

Key Areas:

Economic Development

▶ Development Services

▶ Public Works Environmental Compliance

4. Developed and Functional Infrastructure

With the growth of residential and commercial development comes the challenge of higher demand for quality streets, utilities, and parks. The City's priority is constructing and maintaining a high-quality public infrastructure.

Key Areas:

▶ Public Works Transportation

▶ Public Works Street Improvement

▶ Public Works Utilities and Water & Sewer Lines

Capital Improvement Plan

5. High-Quality Lifestyle

The City will continue to make Eustis a place to live, work, play, and raise kids. It will continue to provide diverse activities and amenities in a safe and well-maintained environment while supporting local businesses and promoting the health and wellness of the community.

Key Areas:

▶ Development Services

Economic Development

Events & Communication

Parks & Recreation

▶ Library

▶ Public Works Transportation

► Public Works Street Improvement

▶ Public Safety, Police & Fire

Community Engagement

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Strategic Goals

Goal #1: To be a beautiful, livable City with a vibrant lakefront identity Strategic Priorities

To Ensure a Competent and Effective Government

To Provide a Safe Community

To Plan for a Secure Future

To Develop and Maintain a Functional Infrastructure

To Provide a High-Quality Lifestyle

Strategies

1. Increase mobility throughout the City with well-maintained streets, sidewalks, bikeways, and multi-use trails.

• The City is working on street resurfacing along Autumn Lane, Buttercup Court, Cotton Court, East Moonlight Lane, Gables Drive, Painted Post Court, Stardust, Victoria Lane, and Moonlight Lane
• The City is working on street resealing along Glover St, Pinkney St, Gould St, Danvers St, Kensington St, Reddick St, E Woodward Ave, W Dixie Ave, Hollywood Ave, Virginia Ave and Others.
• Installation of sidewalks for new construction projects continues to be required per the Land Development Regulations; Little Oaks Apartment complex to the school crossing, Morin Street, Golflink Avenue, South Center Street, Elizabeth Circle, and South Mary Street
• Development Services continues to encourage developers to include multi-use amenities and elements into new subdivisions and developments, as required in the Land Development Regulations and Comprehensive Plan.
• The City Commission approved an interlocal agreement with Lake County, Tavares, and Umatilla to work cooperatively on the North Lake Trail. The City has budgeted $50,000 in the FY 2024/25 budget for its portion of a feasibility study. The feasibility study will be underway this fiscal year 2025-26.

2. Develop and maintain attractive City entries and gateways.

• Support the resilience and sustainability of existing Eustis businesses. The Downtown Business Growth and Economic Sustainability Grant Program offers five incentive options to help increase foot traffic for shop owners in the central business district.
• Diversify the tax base to enhance economic strength. A Target Industry Study was conducted with a matching grant from the Economic Development Administration (EDA), an office within the United States Department of Commerce. Identified five industry categories that can thrive in the City and diversify the tax base. The implementation strategies are managed by the Economic Development Department.
• Facilitate pivotal, responsible development and redevelopment. The Economic Development Department is working with the developer community to promote development opportunities in the City, including the former Waterman Hospital Site and the CRA.
• The City offers a Gateway Corridor (Façade) Improvement matching grant program administered by the Economic Development Department.
• Downtown Master Plan Implementation. Completed in May 2025, the Downtown Master Plan has moved to the implantation phase. Commission workshops were held to identify priorities

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and establish projects to develop the waterfront, enhance public engagement and facilitate business and economic growth. The Economic Development Department is responsible for specific tasks.

• Facilitating City’s Future Growth Needs. As Eustis continues to grow, the City needs to build or acquire additional buildings and property to meet the growing needs of the community. The Economic Development Department evaluates potential land and building purchases through a comprehensive process that aligns with Florida Statutes and best practices for municipal real estate acquisition. This process emphasizes thorough due diligence to ensure responsible use of public funds and that the acquisition serves a legitimate public purpose. Two buildings or land parcels were evaluated in FY 25/26, one was purchased.
• The City has joined “America in Bloom,” a nationwide organization that places emphasis on enhancing community vitality and beautification by incorporating landscaping and floral elements in streets and parks. The organization also celebrates local heritage, educates citizens about Florida Friendly Landscaping and Urban Forestry, and promotes various environmental initiatives.
• This year, Eustis in Bloom
• A Christmas tree decoration contest with local school grades
• A community planting event for the local Clifford House Museum gardens
• ➢ A Veterans Memorial construction at our city owned cemetery.
• And began a partnership to revamp the Community garden in Cardinal Cove
• The City has been working with FDOT on improved landscape maintenance at the US 441 and SR 19 interchange along the SR 19 corridor.

3. Improve and enhance parks and recreation opportunities.

• The Parks and Recreation Department would like to implement a Parks & Recreation Master Plan for the City of Eustis.
• The Parks and Recreation department aims to continue enhancing the park's aesthetics and facilities.
• The Parks & Recreation Department would like to acquire land to expand and provide recreational areas to a growing city where there are no parks within an adequate distance.
• The Parks & Recreation Department would like to increase its departmental staff to ensure adequate coverage of programs, events, and maintenance.
• Expand the adult programming to include sports such as kickball and pickleball, as well as social events for adults.

4. Community engagement through Events and Communications.

• Promote City-produced events through strategic marketing, branding, digital communications, and community partnerships to enhance quality of life, support local businesses, and strengthen community pride. Signature events include Georgefest, Hometown Celebration, Light UP Eustis, First Fridays, and other community celebrations.
• Coordinate City-sponsored and permitted events through effective planning, communication, and interdepartmental collaboration to enhance community engagement and operational efficiency.
• Expand public engagement through strategic communications, event promotion, photography, videography, social media, and other digital communication initiatives that inform, engage, and connect the community.

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• ➢ Enhance recreational, cultural, educational, and entertainment opportunities that contribute to a vibrant, welcoming community for residents and visitors.
• The City has experienced a surge of popular events featuring the Police Chief, including "Cookies with a Cop," "Bike Ride with the Eustis Police Chief," the "Tour de Force," "Cleanup with a Cop," "Citizens Police Academy," "Pins with the Police," "Eustis Police Department Youth Boxing program," "Pizza with the Police," and "Hurricane Pet Preparedness" events throughout the year. These events have garnered significant attention within the City and are set to continue into the upcoming year.
• The library continues to collect citizen feedback through our programming comment cards which allows us to improve and offer programs they request. In addition, we continue to expand our marketing to be inclusive to all citizens.
• Parks & Recreation will continue to offer its annual programs as well as one new “teen specific” program and one new special event for families to attract new City park participants.
• The City has organized several events to engage the community and introduce the public to City staff, including public safety.
• The City works with a local promoter to bring the Outdoor Music & Comedy Show to Ferran Park on an annual basis.

5. Reduce, resolve, and prevent crime.

• ➢ Enhance community policing through increased foot patrols, neighborhood watch programs, and community engagement events.
• ➢ Collaborate with local schools and Lake County School Board to develop programs that promote youth empowerment, mentorship, and education as proactive measures against crime.
• Strengthen partnerships with local businesses and implement security measures such as cameras, alarm systems and employee training to prevent theft, burglary, and other criminal activities.
• Conduct regular community reach outs and workshops to educate residents about crime prevention techniques, personal safety, and how to be proactive in safeguarding their neighborhoods.
• Implement social programs that address the root causes of crime, such as poverty, unemployment and substance abuse by providing job training, counseling services, and rehabilitation programs.
• Deploy bicycle program – Patrol Commander.
• Use Data-Driven Approach - CID and Patrol Commander:
• Target high crime areas and times
• Target high crash locations and times
• Target areas of citizen concern - crime and traffic
• ➢ Collaborate with local social services agencies to provide resources and support for at-risk individuals and families, including access to mental health services, housing assistance, and substance abuse treatment.
• Increase the presence of law enforcement in high-crime areas through targeted patrols and strategic deployment strategies.
• Continue partnership with LCSO (Lake County Sheriff's Office) through an assignment of one of our officers to SIB (Special Investigation Branch).

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• Have an officer work with Development Services to provide Crime Prevention Through Environmental Design (CPTED) input to new businesses and residential construction.
• Work more closely with HOA's.
• Continue partnership with Crime Line in solving crimes.

6. Improve the quality of life

• Address homelessness.
• Partner with merchants, churches, and social service agencies.
• ➢ Enhance community partnerships.
• ➢ Enhance neighborhood watch efforts by increasing participation.
• ➢ Collaborate with business merchants and citizens to make use of existing electronic surveillance video systems.
• ➤ Conduct resident surveys after calls for service.
• Integrate updated technology.
• Install camera systems for real-time monitoring:
• High-crime areas
• Business districts
• Install lightening detection devices at Ferran Park/Aquatics Center, Sunset Island Park, and Carver Park to improve safety during rainy seasons.

7. Collaborate with the Community Traffic Safety Team (CTST) of Lake County.

• The Police Department continues to assist in street crossing during City events and has installed a message board on Bay Street to remind drivers to yield to pedestrians.
• Address transportation problems throughout the City and work with the County to address larger transportation issues
• The City's involvement has resulted in improvements to North Grove Street, SR 19 and the downtown corridor planning
• Continued implementation of the School Speed Zone Traffic Cameras
• Public Works continues to maintain and construct new sidewalks FY 2025/26 projects include:
• The FDOT project to install flashing beacons for a pedestrian crossing at Magnolia Avenue and add raised intersections and produce a pedestrian friendly roadway for both Bay Street and Grove Street was completed in FY 2026

8. Protect the natural environment and preserve clean air and water resources using economically sound principles.

• The Wetland Hybrid Treatment Plant has removed 1,105 pounds of phosphates and 46,908 pounds of nitrates since the plant became operational.
• The Water Department continues the expansion of its reclaimed water distribution system to facilitate conservation and reuse within the community.
• Coolidge Street Water and Sewer Main Expansion has been completed. The second phase will include water and sewer on five side streets between Coolidge and Wall and Stormwater and Roadway construction throughout the project extensions. The second phase is currently under construction.
• ➢ Development Services continues to review development projects for consistency with Land

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Development Regulations that promote preservation of the natural environment to the maximum extent possible.

9. Maintain the character and charm of Eustis.

• ➢ Development Services is actively evaluating new development projects to ensure they align with the City's overall building design and improved standards.
• Development Services will maintain its requirement for new subdivisions and developments to incorporate pedestrian amenities, in accordance with the Land Development Regulations and Comprehensive Plan

10. Focus on the City's development and beautification.

• Development Services staff will ensure that all new development projects incorporate landscaping features, including flowering plants, shrubs, and trees that enhance the property's visual appeal and overall aesthetics.

11. Encourage residential and commercial redevelopment in the Community Redevelopment Area (CRA) with incentives and other initiatives.

• The City has implemented processes to streamline the approval of development plans.
• The City upgraded its CRA programs to better facilitate and encourage redevelopment and business sustainability within the district. The maximum reimbursement for Gateway Corridor Improvement Grant program was increased from $6,000 to $7,500. Additionally, Commission created the Downtown Business Growth and Economic Sustainability Grant Program to increase foot traffic for downtown businesses. It provides grants from $500 - $3,000 to support block-level events and activities that will attract customers.
• The CRA Board includes two advisory members to incorporate broader community input. In collaboration with the Lake Community Action Agency, the CRA has entered into an agreement to provide a residential rehabilitation program to repair and improve the condition of eligible homes within the CRA. The funding for this program is $130,000. It focuses on enhancing energy efficiency and safety through various other repairs and improvements.
• The CRA has 4 development agreements. The property value has increased well above the $210,000 purchase price in 2022. That has resulted in a significant increase in the tax values of the origin properties.

Actions

1. Develop and maintain attractive City entries and gateways creating civic identity.

• In FY 2025/26, the City's Public Works Department continues to improve the irrigation for the islands down the middle of SR-19 and landscaped them with trees and plant life.

2. The Parks and Recreation Department will renovate the Lake Willie Boardwalk, using composite wood that will last for decades.

3. The Parks and Recreation Department will have the Corey Rolle Field turf renovated with laser grade leveling.

4. The Eustis Memorial Public Library continues to expand programming opportunities for citizens of Eustis. This year they took over the management of the Clifford House Historical Museum and is planning future programming for all ages. They continue collaborating with City and community partners such as Trout Lake Nature Center, the local IFAS extension office and local businesses to promote year-long recreational and learning opportunities.

• Additional library activities include updating the web page and adding online resources, including business, Florida Newspaper Archive, local history, and access to governmental, educational, and recreational programs.

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• The Public Library continued to partner with other City departments and the community to bring safe programming to the citizens of Eustis. These include the Central Florida Zoo, Gatorland, the Fire Department and Police Department.

5. Continue implementing the Pedestrian and Bicycle Master Plan, especially the trail component.

• The City is in contact with Trout Lake Nature Center (TLNC) and is continuing to explore options for a trail from downtown Eustis to TLNC.
• The City Commission approved an interlocal agreement with Lake County, Tavares, and Umatilla to work cooperatively on the North Lake Trail. Additionally, the City has budgeted $50,000 for the City portion of a feasibility study. The feasibility study will be underway FY 2025/26
• Construct a trail system with connections to the County trail systems.
• Work constructively with future developers to redevelop catalyst sites identified in the Downtown Master Plan.
• The City continues to be a member of the nationwide association America-in-Bloom. As part of the Eustis in Bloom initiative, sidewalks and flower gardens were added to the Clifford House, creating a pleasant and walkable attraction for the visitors of the historic home and Citrus Museum.
• Work with FDOT to install another traffic light signal on Bay Street at either the Magnolia Avenue or Macdonald Avenue intersection.

6. Complete the Palmetto Plaza Market Place funding and construction.

• Enhancements to Palmetto Plaza are part of the CRA review process. The Palmetto Plaza hardscape project is a part of the CIP 2025/29 plan. A public input meeting has been held, and comments are incorporated into the plan.

7. Continue to invest in infrastructure improvements.

• The Capital Improvement Plan has annual allocations for street paving, sidewalks, and water and sewer line upgrades.
• The CROM Tank replacement and design
• The CR44 force main bypass is under design
• Crossing flashing lights safety installation.
• Various heavy equipment and pickup truck replacements.
• Coolidge and the seven blocks road, sidewalks, stormwater, water and sewer main upgrades
• Sorrento Pines West 12" waterline.
• Many water, wastewater, stormwater, and street projects are underway or completed, including, Eastern Water Treatment Plant Well and High Service Pump Reliability Upgrade Reclaim Lake Willy dock repair, continued sewer Inflow and Infiltration study, continued design for new lift station generator installations and many more.
• The City utilities administration building construction is complete

8. Improve the maintenance and appearance of City properties and facilities.

• The Engineering Department has completed building a GIS database for the City's cemetery and a MUTCD street sign repair and replacement plan.

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• Landscaping designs for the Greenwood Cemetery Project, to include updating and beautifying the grounds, will be under construction in FY2025/26. Plans include a new cremation tranquility garden and walking path, estate plots, and several new columbarium niches.
• The Clifford House Museum has been going through several updates, and beautification efforts were completed in FY 2024/25.
• Construction of Phase Two of the Clifford House Project includes a curving, paved walkway through gardens of native and perennial plants with small identification signs naming each variety of vegetation along the way is complete. The windmill has been repaired.

GOAL #2: To Expand the Local Economy

Strategic Priorities

To Ensure a Competent and Effective Government

To Provide a Safe Community

To Plan for a Secure Future

To Develop and Maintain a Functional Infrastructure

Strategies

1. Evaluate and implement local actions to encourage business expansion and growth, including providing infrastructure.

• In collaboration with the Economic Development Administration, the City conducted a business incubator feasibility study to assess the entrepreneurial landscape of Lake County. The report provides ten recommendations that are being implemented and monitored.
• The UCF/Eustis Business Incubator opened in August of 2023 to provide programs and services to startup and scalable businesses. It is housed in the MEGA Workspace building, which offers low-cost office space and business amenities, e.g. conference room availability.
• Ensure that regulations and processes are business-friendly by analyzing and evaluating the potential impact existing and proposed regulations, requirements, and ordinances will have on new and current businesses.
• Evaluation and Appraisal Report and recommended updates to the City's Comprehensive Plan completed and adopted in FY 2025/26.
• Improvements to the business tax receipt process were implemented with the move to GovWell from Edmunds systems.
• Streamline development review and business-friendly process with the GovWell system by offering online applications, payment, electronic-only reviews, and applicant self-access to review comments as they are rendered.

2. Ensure that Eustis builds a reputation as a business and industry-friendly environment where companies choose to locate.

• CRA Plan focuses on creating an environment that supports private investment.
• Manage CRA Developer Agreements:
• Lake Investment Ventures
• North Central Place, LLC

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• Hometown Properties Inc
• 1701 East Orange Avenue, LLC
• Business retention program – Approximately 45 visits from business senior managers to discuss Eustis' business environment as it relates to company success.
• ➢ Development Incentives – Continue to evaluate existing incentives and review industry Best Practice models.
• ➢ Use of City-owned property for economic activity:
• City gym / El Marie
• Development of CR 44 property
• Continually promote Gateway Corridor Grant Program
• Entered Professional Services Agreement with MIG to develop a Downtown Master Plan
• Develop a Boat Tour Operator Franchise agreement for Lake Eustis
• Develop a Seaplane Tour Operator Franchise agreement for Lake Eustis
• Police Department:
• In FY 2025/26, the City will continue to work with the Lake County School Board to provide public school safety services effectively
• Fire Department:
• FY 2025/26 has proposed an increase in service to the public by adding an additional Fire Captain of Life Safety

3. Increase the number of people living and working in Eustis.

Maintain efforts to streamline the development process in order to attract builders and investors.

Collaborate with real estate professionals, prospective commercial and residential developers, retailers, and restaurant owners to actively promote the city.

Enhance the efficiency of the development process to draw builders and investors to the City.

Projects with completed Pre-Construction Meeting

• Chelsea Square Station – 73 lots
• ➤ Connors Cove – 62 units
• Eustis Oaks Apartments – 48 units
• Evergreen Apartments – 15 units
• Grand Island Subdivision – 40 lots
• Horizon Heights Townhomes – 32 units
• Huddle Place Townhomes – 40 units
• Lake Lincoln Lookout – 18 lots (final plat)
• Pine Meadows Reserve Phase 1A and 1B – 338 lots
• Sagers Cove – 5 lots
• Yardley Build-to-Rent (Taylor Morrison) – 213 units

Planned & Under Review

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• Angler's Pointe – Modification & Development Agreement
• Angler’s Pointe – Modification & Development Agreement
• Bates Avenue Duplexes 10 units
• Countryside Cove (last contact 08/06/2024) – 9 lots
• Doris Park Landing – 18 lots and 230 units
• Forest Glenn Townhomes – 97 lots
• Grand Island Crossings – 84 lots
• Grove at Pine Meadows – 60 lots
• Harborside Landing – 59 lots and 216 units
• NorthShore Townhomes (54 units)
• Palmetto Pointe – 158 lots (still needs to be annexed)
• Tealwood Estates – 61 units (PSP approved 10/23/2025)
• Zurique Townhomes – 22 units
• Curtwright
• Eustis H.S.
• Lake County EMS/Ambulance Station
• Barr Dental Office Expansion
• David Walker Drive Self-Storage
• Dutch Bros. (Completed)
• Main Street Urgent Care
• Niragi Plaza
• Novack Self-Storage
• Orlando Health Emergency Room
• Porter Building Addition
• Shamrock Animal Hospital
• Trinity Family Medical Clinic
• 7-Eleven at 15939 US Hwy 441
• AutoZone Warehouse Expansion (Hwy 441)
• Dairy Queen
• Easy Street Leasing Flex Space
• Huddle Place Commercial
• Idlewild Commercial Building
• Patriot Commerce Park
• Publix Rebuild (SR 19)
• Seminole Power Sports North
• Seminole Power Sports North

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Modifications

• Parking Lot Expansion at 1701 E Orange Ave
• Storage Depot (Minor)
• Eustis BTR #4
• Pine Meadows Reserve
• Development Services will continue collaborating with the Economic Development Division to enhance its focus on economic growth and business-friendly practices, including support for economic development initiatives and incentive programs.

4. Diversify and expand the commercial/industrial tax base.

• All eight lots in Cobb Commerce Park are in various stages of development. Multiple buildings have been completed. Several others are under construction or have been approved for construction.
• Over the past several years, new commercial development has occurred along US Hwy 441, N SR 19, and other areas of the City; plans for retail centers on US 441 have been submitted; interest in Eustis for new development has increased.
• Development Services will continue to work with the Economic Development Department to become more economic development-focused and business-friendly.

5. Expand post-secondary educational opportunities within the City.

• Coordinate and partner with Lake Technical College/Center for Advanced Manufacturing:
• Lake Technical College opened the Center for Advanced Manufacturing.
• The UCF/Eustis Business Incubator opened in August of 2023 to provide programs and services to startup businesses. It is housed in the MEGA Workplace building, which offers low-cost office space and business amenities, e.g. conference room availability.
• The City donated 8 acres of land to Lake Sumter State College for the establishment of a new CDL and Utility Line Worker Training Facility. A preliminary Site Plan has been developed.

6. Develop eco-tourism.

• Develop partnerships with local businesses to provide goods and services at City events.
• Partner with Trout Lake Nature Center.
• Connect to a more extensive area trail system.
• Add guided kayak tours of local waters.
• Extend the watercraft rentals franchise agreement.
• Provide Planning/Feasibility Study trails application to MPO.
• The City Commission approved an interlocal agreement with Lake County, Tavares, and Umatilla to work cooperatively on the North Lake Trail. In addition, the City budgeted $50,000 in FY 2024/25 for the City's portion of a feasibility study.
• ➢ Collaborate with Lake County TDC to identify potential joint efforts to attract tourists to downtown Eustis.

7. Support economic development throughout the entire City, as opposed to creating area specific incentives.

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• Development Services will work with the Economic Development Division to become more development focused and business friendly.

9. Support education initiatives that promote job growth.

• Support local K-12 school programs.
• Support Lake Technical College.
• Partner with Lake County's Office of Economic Development and Workforce Development.
• The City has members on the EHS Construction Academy Advisors Board.
• The City is working with Lake Technical College to expand job training opportunities.
• Lake Sumter State College CDL and line worker training facility.

Actions

1. Develop criteria for identifying critical existing businesses and continue meeting regularly with those businesses to determine how the City can support their growth and expansion.
2. The City Manager and Economic Development Director meet regularly with Business leaders and prospective businesses to identify and address needs.
2. Promote economic development incentives on the City's website and social media.
3. The Public Relations Manager continues these efforts and re-designed the City's website.
3. The City has renewed its Community Redevelopment Agency in the Downtown area for another term.
4. The CRA Review Committee continues to review and collect input on CRA projects and initiatives.
5. The CRA Review Committee evaluates the effectiveness of incentive programs and adjusts as necessary. All incentive programs must show a return on investment to the taxpayer; otherwise, the program must be considered a grant.
4. Identify and market City-owned properties for development of both commercial and residential properties.
5. The City will solicit and accept bids on specific residential parcels.

5 Continue strengthening the City's brand identity by promoting Eustis as the Gateway to the Harris Chain of Lakes while showcasing its historic downtown, waterfront, signature events, parks, and community experiences through coordinated branding and communications.

• Support fishing tournaments and waterfront recreation that promote tourism and economic activity while showcasing Lake Eustis and the Harris Chain of Lakes..
• Support activation of the City's waterfront through recreational programming, community events, and partnerships that expand public access to Lake Eustis, including watercraft rental opportunities.
• Support recreational programming and special events that activate the City's waterfront and promote Lake Eustis and the Harris Chain of Lakes.

GOAL #3: To Provide Quality, Cost-effective Public Services.

Strategic Priorities

To Ensure Competent and Effective Government

✿ To Plan for a Secure Future

To Develop and Maintain Functional Infrastructure

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Strategies

1. Maintain the financial viability of the City.

• City Manager's Office:
• Conduct a City-wide Strategic Plan study for the next decade of the City of Eustis' development and begin implementation in FY 2025/26

Finance Department:

• The proposed budget for FY 2026/27 balances recurring revenues and recurring expenditures in the General Fund. The City maintains over $11 million in the reserves over and above the 90-day operating amount.
• A water and sewer rate study began by an independent consultant in FY 2023/24. The results were available in September 2025, and it is anticipated the resulting rates will be implemented as of July 1, 2026. The study also includes an analysis of the City's utility system
• The study also includes stormwater and impact fees. Stormwater rates have remained unchanged for over a decade
• The City's millage rate had not increased since 2013, however the commission voted to reduce the millage rate for FY2026 by lowering the rate to 7.3898 from 7.510 in prior years. The proposed millage rate for FY2027 will remain 7.3898.

Police Department:

• Purchase hybrid police vehicles:

Fire Department

• 53% higher fuel efficiency
• ed eight years/80,000 miles
• Purchase five new vehicles a year, 7-year rotation of the fl
• Build a new police department or public safety complex
• ■ Meet or exceed current building codes and stand
• Energy efficient, possibly solar powered
• ■ Design for the future for at least 50 years
• Intent to use as the City's Emergency Operations Center
• Purchase NFPA compliant fire apparatus
• Purchase an additional fire pumper to maintain a 5-year replacement plan
• Build time for fire apparatus is about 4 years which requires advanced planning for the ordering of units
• Maintain ISO points by maintaining sufficient fire apparatus to cover when front line units are unavailable due to servicing
• Update rescue equipment to keep up with NFPA standards and requirements
• To build a third fire station
• 'I'he building would have an emergency operations center and room for administration
• Currently there is a budget line item for the project slated in the FY 2027/28 budget

2. Maximize the effective use of technology.

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• Allocate annual funding for the IT computer replacement program.
• Keep the Disaster Recovery Program (DRP) updated to quickly respond to unplanned incidents such as natural disasters, power outages, cyber-attacks, and other disruptive events.
• ➢ Conduct frequent penetration testing.
• The City has budgeted for new Enterprise Resource Planning software citywide.
• Public Works has acquired new scanning and printing equipment allowing them to print various size signs, banners, and blueprints for other City departments.
• Online Recreation software to allow online registrations for Parks programs, rentals booking, and online payments has been implemented.
• The Public Library will continue to partner with Lake County for Internet access and mobile printing for the public, offer 3-D printing capabilities, and online early literacy stations. The Library offers tech tutoring, a coloring table and a puzzle program.
• The Fire Department will continue to pursue and enhance coordination of Fire Services with Mt. Dora, Tavares, and Lake County, complete via Auto-Aid.
• The Fire Department plans to enhance fire services by increasing the ability to service the City by providing a fire response unit 24/7.
• The Fire Department will continue working towards an ISO 1 score, potentially saving taxpayers on their insurance premiums.

3. Develop, adopt and implement a master plan for the repair, replacement and expansion of public utilities and facilities.

• Public Works/Public Utilities Department:
• The City acquires new water meter reading equipment annually which requires fewer resources for data collection
• Expand Sewer Projects:
• New Water and Wastewater Master Plans have been completed, and projects have been added to the Capital Improvement Plan
• The City is building a GIS model to detail all City utility systems
• The City is now receiving wastewater flow from the Umatilla Sewer Project (estimated 140,000 gallons per day)
• The Infiltration and Inflow project has substantially reduced the volume of non-permitted flow to the wastewater plant
• The Bates Avenue WWTP expansion has been completed and placed into operation.
• Expansion of the City's reclaimed water system:
• The City acquires new reclaimed meter reading equipment annually which requires fewer resources for data collection
• Water and sewer services will be provided to new subdivisions, apartment complexes, and commercial buildings
• Install sewer and water systems in Rosenwald Gardens area, between Wall Street and Coolidge Road. The project is in the Capital Improvement Plan and will begin in FY 2025/26.
• Continue galvanized line replacement programs:

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• The City plans to replace old cast iron pipes from the Galvanized Pipe Replacement Plan
• Public Utilities Department has budgeted several galvanized line projects: Magnolia Avenue, Lakewood and Edgewood, and Jefferis Court.
• Continue Infiltration studies and line replacements / repairs.
• Update the Pavement Condition Index Plan; additional data will include subsurface and striping condition.
• Continue to follow and implement projects as determined by the Pavement Condition Index Plan.
• Upgrade City intersection signalization.
• Continue to expand sidewalks as proposed in the Eustis Mobility Plan.
• Update the Master Stormwater Plan.
• Continue projects as identified in the Eustis Stormwater Master Plan.
• Evaluate alternative uses for the sale of reclaimed water resources in addition to irrigation.
• Evaluate the long-term viability of City buildings and facilities and develop strategies to address deficiencies.
• Evaluate benefits and options for an Interlocal Service Boundary Agreement with Lake County and adjacent jurisdictions.
• Evaluate options and benefits regarding utility service expansion in the eastern service area (Heathrow/Sorrento).
• Parks & Recreation Department:
• Improve the Palmetto Point Park Multipurpose field for usage
• Reinstitute swimming lessons for the public
• Implement a Parks and Recreation Board

4. Provide opportunities for effective, timely public input on City programs and activities.

• The policies of the City Commission mandate that every action item must be included in the agenda, ensuring that the public is informed and provided with a chance to provide comments.
• The City holds two public hearings in September regarding the proposed annual budget.

5. Recruit & retain quality employees.

• The Human Resources Department developed a competitive compensation/benefits plan to recruit and retain quality employees that will place total compensation and benefits, including pension, vacation, and sick days, in the top quartile of a weighted average of the private and public sectors in the labor market area.
• The City has supplemented the annual cost-of-living adjustment (COLA) with an increase of $1,000 of flat pay. This is specifically designed to mitigate compression concerns that arise when both minimum wage adjustments and current employee wages are simultaneously increased.

6. Continuously improve, diversify, and expand public communication and input.

• Economic Development added a new Community Redevelopment Coordinator position to assist with the CRA.

Actions

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1. Continue to update park and recreation user fees.

• ➢ Allow the Aquatic Center to operate year-round.
• The Parks and Recreation Department evaluates user fees annually and adjusts accordingly.
• Updated rental and program fees to continue rental facilities upgrades and improvements to the programs.
• Add non-residential fees to differentiate non-resident and resident fees.
• Provide camp/program scholarships to qualifying City residents.

2. Continue to pursue coordination of Public Safety services within the region.

• The Fire and Police Chief both work closely with the County and adjacent cities to enhance communication and coordination efforts.
• The City and the County have established a partnership to enhance coordination, communication, and efficiency using public safety radios.

3. Review and evaluate long-term options for infrastructure funding and the use of the local sales tax.

• The annual Capital Improvement Plan is utilized by Public Works to evaluate the infrastructure needs and funding strategies for both the short and long term. The priority of these assessments is determined by considering the level of risk involved, availability of funds and other various factors.

4. Evaluate the long-term viability of City buildings and facilities and develop strategies to address deficiencies.

• In FY 2025/26, Public Works completed several City facilities improvement projects, replaced garage doors at PW, painted the Cemetery admin. Building, Cardinal Barn. Sealed and painted lines in 4 parking lots.

5. Implement plans to keep the library on the “cutting edge” of technology.

• The public library, in partnership with the county, recently updated all patron computers and continues to increase its e-book inventory and add technology that improves access to all library services, including enhanced apps and databases. The Library offers Wonder Books, which read along books along with children, a literacy station as well as learning/gaming Ipad for literacy.
• In continued partnership with Lake County, provide internet access, scanning, printing, faxing, and mobile printing for the public. The library maintains a comprehensive volume of online resources, including electronic books and audio books for the people it serves.

6. Develop a competitive compensation/benefits plan to recruit and retain quality employees that will place total compensation and benefits in the top quartile of a weighted average of the private and the public sector in the labor market area.

• Amendment 2, approved by Florida voters in November 2020, mandates a gradual rise in the State's minimum wage to $15 over a six-year period. The City Commission established a plan to meet the September 30, 2026, deadline. This plan involves annual salary increases for employees and 5% COLA adjustments to the minimum and maximum pay ranges for each pay category until October 1, 2026.
• To address the increasing minimum wage mandate, the Human Resources Department has revamped the annual assessment and evaluation form, integrating measurable objectives and numerical performance metrics. In FY 2025/26 City administration has made the decision to grant merit wage increases beyond the standard cost-of-living adjustment (COLA) raise. The supplementary increase of $1,000 flat pay is specifically designed to mitigate

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compression concerns that may arise when both the minimum wage adjustments and the current employee wages are simultaneously increased.

7. Continue to improve the City's economic development approaches.

• Continue to develop Economic Development programs and incentives to help attract new businesses and support the growth and expansion of existing businesses. This, combined with the City's entrepreneur development efforts through the UCF/Eustis Business Incubator, supports ongoing job creation, diversifies the local economy, keeps unemployment low, generates new taxes to pay for governments services, and enhances the City's overall quality of life.

8. Facilitate public relations programs that establish and maintain a positive image of the City.

• Maintain and expand public relations and communication strategies that provide timely, accurate, and accessible information to residents, businesses, employees, media, and other stakeholders; strengthen public trust; support informed decision-making; and promote positive engagement with the City.

9. Continue to pursue grants to support City projects, initiatives, and activities.

• Identify and apply for grant opportunities that can fill funding gaps and/or supplement the funding needed to complete projects, initiatives, and activities undertaken by the City.

Priorities and Challenges

Priorities

• The Finance Department of the City of Eustis is dedicated to developing a budget that aligns with the GFOA Budget Award criteria, showcasing the City's commitment to adhering to industry-leading practices in budget management. The department has identified the need to evaluate the City's current financial software system to enhance its financial operations and transparency. The evaluation process will begin with a thorough review of the existing software system to determine if there are capabilities that are being under-utilized. Advancing technology within the Finance Department will improve efficiency and effectiveness in financial processes, enabling the department to better serve other City departments and residents.
• In FY 2023/24, the City contracted with an independent consultant to conduct a thorough review of water, sewer, stormwater and other related utility rates. The City's most current rate study was conducted in-house and is outdated when taking into consideration the high inflation rates experienced during the last couple of years. The study aims to determine revised rates for water, sewer, stormwater, and impact fees. Fees need to be implemented that will generate sufficient revenue to support the City's essential utility operations. By ensuring an appropriate and sustainable revenue stream, the City can effectively maintain and enhance utility services for the benefit of the City's residents. The results of the study were available in September 2025, and it is anticipated that the new rates will be implementants in FY2025/26.
• The City Manager's Office is working on a new strategic plan for the City. This is critical for the City as it continues to grow and develop. A new plan will allow the City to build on its investments and growth to capitalize on future opportunities. Strategic planning is an organizational management activity that sets priorities, focuses energy and resources, strengthens operations, ensures that employees are working toward common goals, establishes consensus regarding intended outcomes, and assesses and adjusts the City's

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direction in response to an ever-changing environment.

• The Public Works Department began construction on the Coolidge utility, roads, stormwater, sewer, and watermain project. This is a multi-phase project that will include engineering/expansion of the Rosenwald Roads – including Coolidge St from Bates Ave to Getford Ave and the reconstruction of the east/west roadways from Wall St to Getford St within these limits. The final project will include stormwater improvements, sidewalks, lighting, new sewer upgrades, and a new watermain construction to include fire protection.
• The Public Works Department has contracted with an independent consultant for a Stormwater Master Plan. The plan will outline and plan capital projects for the City for the next two decades.
• The Community Redevelopment Agency offers several programs including gateway improvement grants to encourage faced improvements that help spur additional development and business investments in the City of Eustis.
• Implement the Economic Development Marketing Plan to promote Eustis's business advantages to attract capital investment, business operations, and corporate expansion, ultimately stimulating economic growth and prosperity.
• Economic Development Strategic Priorities
• Implementation of the Downtown Master Plan
• Strengthen business sustainably and growth in central business district
• Promote entrepreneur development through the business incubator
• Connect small business with resource support partners
• Implement economic development marketing plan
• Continue to execute CRA Redevelopment Plan
• Promote incentive programs: Gateway Grants, Downtown Business Growth and Economic Sustainability Grant Program
• ➢ Meet with existing business owners to identify concerns and challenges
• Attract new business diversification by pursuing target industries
• Work with workforce partners to attract, retain, and develop a broad base of creative and diverse talent
• Assist residential and commercial development
• Strengthen relationships with economic development partners and stakeholders

Challenges:

• Based on U.S. Bureau of Labor Statistics data, the consumer price index remains a significant concern for the economy during FY 2025/26. As of July 2026, the overall increase in consumer price index reached 2.6%. While slightly lower than last year's 2.90% increase, rising prices in essential commodities such as food, gas, and energy have resulted in higher prices for goods and services for the City.
• The influx of newcomers drawn to Eustis has increased housing demand resulting in pressure on the City's housing market. Affordable housing is a concern, as some residents and newcomers face challenges finding suitable housing options within their budgets. City leaders are exploring creative solutions to address this issue and strive to ensure that Eustis remains a place where everyone can find an affordable home.
• Another challenge facing the City is striking a delicate balance between growth and preservation of the City's historical heritage. While there is a growing need for development and revitalization, progress must be evaluated and approached cautiously to preserve the

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City's Victorian-era architecture, historic landmarks, and small-town charm that make Eustis so special. City leaders, in collaboration with the community, are actively engaged in planning to accommodate growth while safeguarding the City's unique identity.

• The City’s economy largely relies on tourism, small business and agriculture. However, City leaders recognize the importance of diversifying the economy to create a more stable and sustainable future. Attracting new industries and job opportunities is a priority, as it ensures that Eustis remains resilient in the face of economic fluctuations and provides its residents with diverse career prospects. As Eustis experiences growth, ensuring well-maintained infrastructure and efficient transportation systems becomes imperative. The City continually tries to improve roadways, public transportation, and walkability to support the City’s evolving needs and enhance the overall quality of life for residents.
• With its stunning lakes and natural beauty, Eustis is deeply connected to its environment. Residents value the City's natural resources and endeavor to preserve these resources for future generations. Challenges such as water quality, conservation efforts and environmental sustainability require continuous attention and proactive measures. Eustis residents, local organizations, and City officials actively participate in initiatives to protect and enhance the City's ecological treasures.

Strategic Plan Summary

The Strategic Plan outlines City goals aimed at enhancing the overall quality of life and community well-being of the City. These goals encompass a wide range of areas, including urban development, public safety, community engagement, environmental preservation, and infrastructure maintenance and improvements. Each goal is supported by strategies, priorities and specific actions aimed at achieving the desired goals. The strategic plan demonstrates the City's commitment to various aspects of community well-being and development. Each goal is supported by a set of strategies and actions that highlight financial allocations, collaborative efforts, and dedication to creating a better environment for its residents.

In summary, the City of Eustis possesses a dynamic strategic plan, realistic goals, and a budget encompassing the required funding to execute the plan effectively. The City benefits from a dedicated and competent staff who are enthusiastic about serving the community and maintaining a high standard of service in all City operations.

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City of Eustis Short-Term and Long-Term Financial Plans City of Eustis Short-Term Financial Plan

Short-term financial planning is a critical aspect of managing the finances of the City. It involves carefully analyzing and allocating resources over a relatively short time frame, typically one to three years. Effective short-term financial planning helps ensure that the City can meet its immediate financial obligations, maintain essential services, and respond to unforeseen challenges or opportunities.

Following are key elements of the City's short-term financial planning:

• Budgeting: The cornerstone of short-term financial planning is the City budget. The budget outlines the expected revenues and expenses for the upcoming fiscal year. This process involves estimating tax revenue, grants, fees, and other income sources and projecting expenditures for various City departments and services. The budget is realistic and aligns with the City's strategic priorities.
• Cash Flow Management: The City manages its cash flow effectively to cover day-to-day expenses, such as payroll, utilities, and debt service. A cash flow analysis helps identify periods of surplus and potential shortfalls, allowing the City to appropriately adjust its spending or invest excess funds.
• Emergency Funds: Short-term financial planning includes provisions for contingencies. These funds are set aside to address unforeseen events, such as natural disasters, economic downturns, or public health crises. Setting these funds aside can help the City respond promptly to emergencies and maintain critical services without resorting to drastic measures like layoffs or service cuts.
• Revenue Diversification: Short-term planning involves diversifying revenue streams, such as increasing fees for certain services, pursuing grants, or implementing new taxes or user charges while considering the impact on residents and businesses.
• Cost Control: Short-term planning involves identifying areas where cost savings can be made without sacrificing service quality. This can include renegotiating contracts, optimizing staffing levels, and exploring opportunities for shared services with neighboring cities.
• Reserve Policies: The City has policies that dictate the amount and use of reserves. Short-term financial planning incorporates this policy to maintain fiscal responsibility and accountability.

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• Transparency and Accountability: The City engages the community and clarifies the short-term financial planning process. Public input, financial reporting, and regular updates on the City's financial health help build trust and accountability.
• Review and Adjust: Short-term financial planning is dynamic. City management regularly reviews the budget and financial performance and adjusts as necessary to ensure the City remains on track to meet its goals and obligations.

Short-term financial planning is an ongoing and dynamic process that plays a vital role in the City's fiscal health, carefully managing budgets, cash flow, reserves, and debt while remaining adaptable to changing circumstances. The short-term financial plan acts as a stepping-stone that helps the City progress towards its long-term vision, where it can ensure its financial stability and ability to provide essential services to its residents.

City of Eustis Long - Range Financial Plan

Long-range financial planning is an essential component of effective governance for the City. A Long-Range Financial Plan (LRFP) gives the City the chance to conduct a Strengths, Weaknesses, Opportunities and Threats (SWOT) financial analysis. The SWOT process can help evaluate potential opportunities and risks and help the City to operate more proactively and efficiently.

Long-term financial planning relates to strategic planning, developing financial policies, capital improvement planning, and budgeting. Each criteria fulfills a different combination of planning purposes.

The LRFP for FY 2026/27 through FY 2030/31 provides projections for the City's revenues, expenditures, and resulting fund balance for a comprehensive five-year planning period. It is important to note that the LRFP does not aim to predict the future with certainty, but rather to raise awareness about potential financial challenges and opportunities that the City may encounter.

Through financial planning and forecasting, the LRFP offers valuable insights into the City's future financial capacity. This enables the development of strategic approaches to achieve long-term sustainability while considering the objectives of City services and addressing financial challenges.

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The LRFP acts as a tool to inform and guide the City's decision-making processes with regards to financial management and operational planning. Ultimately, long-range planning empowers City leaders to create a vision for the future and work towards realizing it through strategic actions and collaborative efforts with stakeholders.

The connection between the City's long-term financial plan and departmental performance measurements is crucial for effective governance, strategic planning, and overall community well-being. Departmental performance measurements serve as a bridge between the City's short-term and long-term goals. It helps ensure that the day-to-day activities of departments are aligned with the broader vision of the City. This enhances accountability, transparency, and resource allocation while facilitating continuous improvement and progress toward both immediate and future objectives. This connection will be reviewed more closely in the Departmental Performance Measures section. Long-Term Financial Goal encompass a more extended period, often five to ten years or more, and are aligned with the City's overall vision and mission.

Key Steps in the City's Long-Range Financial Planning Process:

Vision and Goal Identification

Identifying the City's long-range financial goals involves the process of determining the broad and overarching financial aspirations the City intends to achieve over an extended period. These goals provide a clear direction and framework for the City's financial planning efforts, shaping its overall financial strategies and priorities.

Goal identification is the process of determining specific objectives and targets that need to be accomplished within the financial plan period. These goals are derived from the City's strategic priorities and are aligned with the vision statement. They provide a roadmap for financial decision-making and resource allocation.

In summary, the City’s long-range financial vision and goal identification involves defining a compelling vision statement that represents the desired future financial state of the City. This process sets the foundation for developing a comprehensive and strategic long-range financial plan that supports the City’s overall objectives and contributes to its financial sustainability.

Long-Range Objectives Identification

The City's long-range financial objectives identification process involves defining specific, measurable, and achievable financial goals and targets that the City aims to accomplish within the planning period. It focuses on identifying the desired outcomes and results that the City seeks to achieve to ensure financial stability, sustainability, and effective resource allocation.

During the phase of identifying the objectives, the City examines its financial priorities and considers various factors, such as economic conditions, revenue projections, expenditure needs, infrastructure requirements, and community needs. It considers both short-term and long-term financial goals, aligning them with the City's overall vision, mission, and strategic priorities.

Problem Identification

The City’s long-range financial problem identification involves the systematic process of identifying and recognizing financial challenges, issues, and areas of concern that need to be addressed within the planning period. The process identifies obstacles and potential risks that may hinder the City’s ability to achieve its long-term financial goals and objectives.

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During the problem identification phase, the City examines its current financial position, assesses future financial needs, and considers external factors such as economic trends and community expectations. Then, the City considers the vision, mission, and strategic priorities to align the financial goals with the overall objectives of the City.

Alternatives Research

Alternative research for a long-range financial plan involves exploring different options, approaches, and strategies to address the financial challenges and opportunities that the City may face in the future. It aims to provide a comprehensive understanding of alternative paths and potential solutions to changes in the financial planning process.

The process of alternative research begins with identifying the key financial factors and variables that are critical to the City's financial well-being. This may include revenue sources, expenditure patterns, debt management, economic trends, funding opportunities, and other relevant financial indicators.

Once these factors are identified, research is conducted to explore alternative scenarios, strategies or policies that can impact the City's financial outlook. This research may involve studying best practices from other cities, analyzing case studies, conducting financial modeling, and reviewing relevant literature and reports.

Data Analysis & Evaluation

The City's long-range financial data analysis and evaluation involve systematic examination and assessment of financial data to understand the current financial position of the City and evaluate progress towards the long-term financial goals and objectives.

During the evaluation phase, the analyzed financial data is compared against established financial targets, benchmarks, or metrics. This evaluation helps identify areas of financial strength, weaknesses and areas that require attention or improvement.

Long-Range Plan Approval

The City’s long-range financial approval is the process through which the proposed financial plan for the City’s long-term future is reviewed, evaluated and officially accepted by the City Commission. The approval stage is a crucial step in ensuring that the financial plan aligns with the City’s goals, policies, and regulatory frameworks.

Program Development

The City’s long-range financial program development involves the process of formulating and designing specific initiatives, projects, and strategies that will be implemented to achieve the financial goals outlined in the long-range financial plan.

During this phase City officials, City departments, and City residents collaborate to identify and prioritize programs and activities that will contribute to the financial well-being and sustainability of the City over the planning period.

Initiative Development & Implementation

The City's long-range financial initiative development and implementation involve the identification, planning, implementation, and ongoing management of specific projects, programs and activities while looking at achieving the financial objectives outlined in the long-term financial plan.

Initiative development starts by identifying the key areas or opportunities for improvement within the City's financial framework. This may include revenue enhancement initiatives, cost-

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saving measures, efficiency improvements, capital investments, debt management strategies or other financial considerations.

During the operation phase, the identified initiatives are implemented. This involves allocating the necessary resources, such as funds, personnel and technology, to execute the planned activities. Clear communication channels and coordination are established to ensure smooth implementation and collaboration among different departments.

Operations Monitoring

The City’s long-range financial plan’s operations monitoring refers to the ongoing assessment and over-sight of the financial activities and performance of the City to ensure adherence to the goals and strategies outlined in the long-range financial plan.

Operations monitoring involves regular tracking and analysis of various financial indicators, such as revenue generation, expenditure management, debt levels, cash flow, and financial reserves. This allows City officials to evaluate the effectiveness and progress of the long-range financial plan.

During the monitoring process, financial data and reports are collected, reviewed and compared to predetermined targets and benchmarks. Key performance indicators are established to measure the success of the financial plan initiatives and to assess the overall financial health of the City.

Figure 12:

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City of Eustis - Eight Major Long-Range Goals:

1. Strategic Plan Update: In March of 2024, Willdan Financial Services, a consultant on the Strategic Plan presented findings and recommendations to the City, following months of study and interviews. The planning initiative falls under the Competent and Effective Government Priority, specifically Goal #3 Strategic Priority 1, as outlined in the City's Strategic Plan - Maintain the Financial Viability of the City.

In April 2025, the City Commission adopted the Eustis Downtown Master Plan which provides a road map and vision for a dynamic future for the downtown district. In addition to updating the 2008 Downtown Plan, this effort included conceptualizing the future of the former Waterman Hospital Site, a 4.8-acre redevelopment opportunity in the heart of Eustis.

The adoption and implementation of an updated strategic plan offer numerous benefits for the City and its residents:

• ➢ Clear Vision and Direction: A well-crafted strategic plan provides a clear vision for the City's future and outlines specific goals and objectives. This ensures that all City departments and stakeholders are working toward common outcomes.
• Effective Resource Allocation: The strategic plan helps prioritize initiatives and allocate resources efficiently. By identifying key priorities, the City can direct funding, staff, and other resources to areas that will have the greatest impact on achieving its goals.
• Enhanced Accountability: With defined goals and performance indicators, the strategic plan creates a framework for accountability. City officials and departments can be held responsible for progress toward established objectives, fostering a culture of transparency, and results-oriented governance.
• Improved Decision-Making: The strategic plan serves as a decision-making guide for City leaders. When faced with choices about policies, projects, or investments, City leaders can refer to the strategic plan to ensure that their choices align with the City's long-term vision and objectives.
• Community Engagement: The development of the strategic plan involves input from residents and stakeholders. This engagement fosters a sense of community ownership and ensures that the plan reflects the needs and goals of the residents it serves.
• Efficiency and Effectiveness: By focusing on strategic priorities, the City can streamline its operations and eliminate redundant or low-priority activities. This leads to greater efficiency in delivering services to residents.
• Innovation and Adaptability: The strategic plan encourages innovation by setting the stage for exploring new approaches and technologies to address emerging challenges. It also allows the City to adapt to changing circumstances and unforeseen events while remaining aligned with its long-term goals.
• Measurable Progress: The strategic plan includes performance metrics and benchmarks, enabling the City to track its progress over time. This data-driven approach allows for evidence-based decision-making and ensures that resources are allocated where they are most needed.
• Enhanced Financial Management: The strategic plan can guide budgeting and financial planning, ensuring that resources are allocated to initiatives that directly

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• Resilience and Sustainability: The strategic plan can incorporate resilience and sustainability goals, helping the City prepare for and mitigate the impacts of environmental and economic challenges.
• Community Well-Being: A well-executed strategic plan aims to improve the overall well-being of the community. It enhances services, infrastructure, and quality of life for residents, making the City a more desirable place to live, work, and invest.
• Competitive Advantage: Implementing a strategic plan can give the City a competitive advantage by identifying unique strengths and opportunities for growth. This can attract businesses, tourism, and investment to the area.

support the City's strategic plan.

An updated strategic plan is a valuable tool for guiding the City's growth and development. It ensures that resources are used effectively, decisions are aligned with long-term goals, and the residents' needs are met. Ultimately, it contributes to a thriving and sustainable City that benefits both current and future generations of residents.

2. Water & Sewer Rate Study: The City contracted for an updated utility rate study and an impact fee study in FY 2024/25. The results of the impact fee study were presented to the commission in September 2025 by an independent consulting company and provided an unbiased assessment of the City's current revenues, expenditures, and capital projects as they relate to City new development. The new impact fees went into effect January 1, 2026, for Law Enforcement Impact Fees, Fire Impact Fees, Library Impact Fees, Parks and Recreation Impact Fees and Water and Wastewater Impact Fees. The consultant has been given direction to determine whether the City's utility operating revenues are sufficient to cover expenses, operations and maintenance costs, upcoming replacements, expansions, debt service, etc. The new water and sewer rate recommendations will be presented in the FY2025/26. This consulting effort aligns with the Competent and Effective Government Priority, Goal #3 Strategic Priority 1 of the City's Strategic Plan - Maintain the Financial Viability of the City.

Conducting a comprehensive study on water and wastewater rates can bring several significant benefits to the City and its residents:

• Financial Sustainability: A rate study ensures that the City's utilities are financially self-sustaining. By accurately assessing the costs of providing these essential services, the City can set rates that cover operational expenses, maintenance, and necessary infrastructure investments. This financial stability reduces the burden on the City's General Fund and ensures the long-term viability and sustainability of the utilities.
• Equitable Billing: A rate study helps establish a fair and equitable billing structures. It considers factors such as consumption patterns, customer categories (residential, commercial, industrial), and affordability considerations. This ensures that customers are billed fairly based on their usage.
• Compliance and Quality: Ensuring that water and wastewater rates cover operational costs is essential for meeting regulatory compliance and maintaining water quality standards. Adequate funding allows the City to invest in advanced treatment processes and maintain the highest water quality for residents.
• Predictable Budgeting: Accurate rate setting provides predictability for the City's budgeting process. It enables the City to anticipate revenue streams, plan for future

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expenses and capital investments, and make informed financial decisions.

• Creditworthiness: Maintaining stable and self-sustaining water and wastewater utilities enhances the City's creditworthiness. This can lead to lower borrowing costs for infrastructure projects and reflects positively on the City's financial management practices.
• Customer Satisfaction: Fair and reasonable rates contribute to customer satisfaction. When customers see that their bills reflect the true cost of service delivery and necessary improvements, they are more likely to have confidence in the City's management of these essential utilities.
• Long-Term Planning: A rate study provides a foundation for long-term financial planning. It enables the City to assess the impact of rate adjustments on future budgets, allowing for proactive financial management and strategic decision-making.

3. Stormwater Rate Study: The water and sewer rate study also included evaluating rates for the stormwater utility. The rates remained unchanged for over a decade. The utility was unsustainable at the old rates. A rate increase was needed for the City to meet its annual revenue requirements, support the Capital Improvements Plan projects, and align with national utility rates and local Lake County rates. In April 2026, the City Commission approved Resolution 2026-36 to increase Stormwater Utility Fees. The residential stormwater utility rate increased to $8.00 per month (from $6 per month), while the commercial rate increased to $16.00 per month (from $12.00 per month). The planning for an increase aligns with the Competent and Effective Government Priority, specifically Goal #3 Strategic Priority 1 of the City's Strategic Plan - Maintain the Financial Viability of the City.

A stormwater rate study can yield numerous benefits for the City, its residents, and the environment:

• Funding for Stormwater Management: A rate study ensures that the City has a dedicated and sustainable source of funding for stormwater management. This funding is crucial for maintaining and improving stormwater infrastructure, such as drainage systems, culverts, and retention ponds.
• Flood Prevention: A properly managed stormwater system helps prevent flooding in residential and commercial areas. By investing in stormwater infrastructure through adequate rates, the City can reduce the risk of property damage and enhance public safety during heavy rainfall events.
• Water Quality Improvement: Stormwater carries pollutants from streets, parking lots, and other surfaces into natural water bodies. Adequate funding allows the City to implement stormwater management practices that improve water quality by reducing pollutants, protecting aquatic ecosystems, and ensuring compliance with environmental regulations.
• Erosion Control: Stormwater rate revenue can be used to implement erosion control measures along water bodies and construction sites. This helps prevent soil erosion, sedimentation, and the degradation of water bodies and natural habitats.
• Public Health and Safety: Effective stormwater management contributes to public health by minimizing waterborne diseases and preventing accidents associated with flooding. A well-maintained stormwater system also reduces the risk of waterborne illnesses.

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• Environmental Conservation: Adequate funding supports the preservation of natural habitats and ecosystems within the City. It allows for the restoration of wetlands, the protection of aquatic biodiversity, and the conservation of green spaces.
• Economic Growth: Effective stormwater management can reduce property damage and business disruptions caused by flooding, thus fostering economic growth and attracting new investments to the City.

4. Coolidge Streets Roads and Stormwater

a. Coolidge and 7 Side Streets Road and Stormwater: In FY 2025/26, the City began the construction of the Coolidge and 7 Side Streets Road and Stormwater expansion project. This project will be funded by the Sales Tax Fund and by grants obtained through State Appropriations, Lake County Public Works and Small Cities CDBG.

The expansion of the road and stormwater system will provide a desirable infrastructure for development in the Rosenwald Garden area. The road and stormwater system design will provide lighting and sidewalks to an area that has been neglected. This project aligns with the Competent and Effective Government Priority, specifically Goal #3 Strategic Priority 3 of the City's Strategic Plan - Develop, adopt, and implement master plans for the repair, replacement and expansion of public utilities and facilities.

The expansion and improvement of Coolidge and 7 side streets offers several significant benefits to both the City and its residents. This expansion project is a strategic investment in the City's infrastructure. The project will bring in development for work force housing. Here are some key advantages:

• Increased Connectivity: The Coolidge Street project will allow for connectivity to areas in Rosenwald Gardens that was previously nonexistent. This is a critical step in providing housing in an area that may have been overlooked due to the lack of roadways.
• Environmental Protection: Stormwater management systems are designed not only to prevent flooding, but also to remove pollutants, protect waterbodies, capture rainfall to replenish groundwater, and prevent damage to property and wildlife habitat.
• Improved Water Quality: Stormwater systems capture and treat the water that falls on pavement, buildings, and other impermeable surfaces. The runoff flows quickly and can pick up trash, chemicals, silt and other pollutants.
• Compliance with Regulations: Regulatory agencies impose strict standards on stormwater systems. As this area develops the expansion ensures that Eustis remains in compliance with all relevant environmental regulations. Avoiding violations and associated fines is critical for the City's on-going compliance and exhibits fiscal and regulatory responsibility.
• Infrastructure Resilience: The Coolidge and 7 side street stormwater expansion enhances the resilience of the City's stormwater management infrastructure. It ensures that the system can withstand the challenges posed by future growth and major rain events. A reliable stormwater management system is essential in preventing flooding of roads and properties.
• Support for Economic Development: New roads, stormwater, sidewalks, and street-

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lights will increase development in this area. Spurring residential development requires these elements to create a welcoming and safe environment.

• Long-Term Cost Savings: While there are upfront costs associated with the expansion of the road and stormwater, it is an investment in the City's long-term financial sustainability. By proactively addressing the need for increased sewer and water system capacity, the City can avoid more significant and costly repairs and malfunctions in the future.
• Community Well-Being: By providing roads for emergency services and sidewalks for pedestrians, the project will increase the safety and well-being of our citizens. The expansion contributes to the overall quality of life for Eustis residents by providing residents with a project that will promote a high standard of living.
• Planning for Future Growth: With the expansion of the Coolidge and 7 Side Streets Road and Stormwater, the City is promoting development in the Rosenwald Garden area. By installing roads and stormwater, the City has demonstrated forward-thinking urban planning and infrastructure development.

The expansion of the Coolidge and 7 Side Streets Road and Stormwater represent a proactive and forward-looking investment in the City's infrastructure, environment, and community well-being. It supports growth, protects the environment, ensures regulatory compliance, and contributes to the long-term financial stability of the City. This reflects Eustis' commitment to responsible urban development and environmental stewardship.

b. Coolidge Side Streets Sewer & Water Expansion: In FY 2025/26, the City will complete the construction of the Coolidge Side Streets Sewer and Water Expansion project. This project will be funded by the Utility R&R Fund, the Sewer and Water Impact Fee Funds. Additionally, staff have applied for FDEP Funding.

The expansion of the sewer and water system will provide utilities for future growth in the Rosenwald Garden area. The new sewer system will eliminate septic tanks for future development and allow for septic to sewer projects on existing homes. The water system will allow for growth and fire flow on in an area that could not support the demand. This project aligns with the Competent and Effective Government Priority, specifically Goal #3 Strategic Priority 3 of the City's Strategic Plan - Develop, adopt, and implement master plans for the repair, replacement and expansion of public utilities and facilities.

The expansion of the Coolidge Side Streets Sewer and Water Expansion offers several significant benefits to both the City and its residents. This expansion project is a strategic investment in the City's infrastructure and environmental stewardship. Here are some key advantages:

• Increased Sewer and Water System Capacity: The Coolidge Side Streets Sewer and Water expansion will increase the City's sewer and water system capacity. This is crucial for growth in this area. The expansion ensures that the City can handle this increased demand and support continued growth and development.
• Environmental Protection: Sewer systems are vital for safeguarding the environment and public health. Expanding the sewer system lowers the number of septic tanks being installed and allows for septic to sewer conversions.
• Improved Water Quality: The reduction in septic tank installations will improve water quality in local rivers, lakes, and groundwater. This benefits not only Eustis residents

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but also the broader community by preserving the ecological balance and the quality of water resources.

• Compliance with Regulations: Regulatory agencies impose strict standards on wastewater systems. The Coolidge Side Streets Sewer expansion ensures that Eustis remains in compliance with all relevant environmental regulations. Avoiding violations and associated fines is critical for the City's on-going compliance and exhibits fiscal and regulatory responsibility.
• Infrastructure Resilience: The Coolidge Side Streets Sewer & Water expansion enhances the resilience of the City's sewer and water infrastructure. It ensures that the system can withstand the challenges posed by future growth and fire flows. A reliable sewer and water system is essential for maintaining a high level of service to our citizens.
• Support for Economic Development: A well-functioning sewer and water system is essential for economic development. The Coolidge Side Streets Sewer and Water Expansion facilitate economic growth by ensuring these services are readily available for future housing.
• Long-Term Cost Savings: While there are upfront costs associated with the expansion of the sewer and water system, it is an investment in the City's long-term financial sustainability. By proactively addressing the need for increased sewer and water system capacity, the City can avoid more significant and costly repairs and malfunctions in the future.
• Community Well-Being: Reliable sewer and water services are fundamental to public health and well-being. The sewer and water expansion contributes to the overall quality of life for Eustis residents by providing clean and safe drinking water, increased fire flows and reliable sewer collection services. It ensures that residents can continue to enjoy a high standard of living.
• Planning for Future Growth: With the expansion of the Coolidge Side Streets Sewer and Water Systems, the City is positioning itself for sustainable growth. By anticipating and addressing the sewer collection and potable water needs of a growing population, the City has demonstrated forward-thinking urban planning and infrastructure development.

The expansion of the Coolidge Side Streets Sewer & Water represents one phase of a proactive and forward-looking investment in the City's infrastructure, environment, and community well-being. It supports growth, protects the environment, ensures regulatory compliance, and contributes to the long-term financial stability of the City.

5. Downtown Land Sale or Loan Refinance: In FY 2019/20, the City obtained a five-year balloon loan for three parcels located in the downtown area through the City's CRA. The intention was to develop a new business market area comprising of a food court, shopping center, hotel, and lakeview apartments. The City is currently in negotiations with potential developers. FY 2024/25 marks the fifth and final year of the loan term. The City paid off the balloon loan in September 2025, refinanced the loan in October 2025 and continue to negotiate with developers. This project falls under the Competent and Effective Government Priority, specifically Goal #1 Strategic Priority 9 of the City's Strategic Plan - Maintain the character and charm of Eustis.

Land loan refinancing is a financial strategy that City employed to refinance the existing loan. An advance agreement from the General Fund to the CRA Fund was drafted and

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approved by the City Commission. Favorable outcomes of refinancing resulted in:

• Monthly Payments Remained Unchanged: Refinancing with the same favorable lower loan amount over a longer term not only save money over the life of the loan but also result in reduced monthly payments. This can free up cash flow for other expenses or investments.
• Improved Loan Terms: The City can use land loan refinancing to modify loan terms. The City can opted for a longer loan term to pay off the debt to reduce monthly payments.
• Access to Equity: If the value of the land has increased since the original loan was secured, the City may be able to tap into the land's equity. This can provide funds for other investments, or property improvements.
• Improved Credit Rating: Successful refinancing of the land loan with better terms can have a positive impact on the City's credit rating. This can lead to improved credit scores and better access to credit in the future.

The sale of the land or refinancing of the loan should be approached with careful consideration and a clear understanding of the potential benefits and costs involved.

6. Impact Fees Rate Study: Impact fees were reviewed by the consultant conducting the water and wastewater rate study. Impact fees haven't been reviewed for the past two decades. In FY 2024/25, City staff presented to the commission the recommended new impact fees based on the results of the study and were approved by the commission. A comprehensive impact fee study was crucial undertaking for the City and has far-reaching implications for both the City and the community it serves. Here are some benefits considered regarding the City's impact fee study:

• Revenue Generation: The primary objective of an impact fee study is to assess and quantify the impact of new developments on the City's infrastructure and services. Ultimately, the fees that developers should pay to mitigate these impacts can be validated. This generates revenue that can be used to fund future expansion related infrastructure projects and maintain service levels.
• Infrastructure Investment: Impact fees are typically earmarked for specific purposes, such as expansion of roads, utilities, parks, or public facilities. A rate study helps identify the infrastructure needs arising from population growth and new developments, ensuring that the City can accommodate its expanding population effectively.
• Economic Analysis: A rate study includes an economic analysis to ensure that the impact fees being charged are in line with new development activity. This analysis considers factors like housing affordability, economic competitiveness, and market dynamics.
• Public Input: Community engagement is a crucial component of the rate study process. Public hearings, meetings, and feedback allow residents, developers, and stakeholders to express their views and concerns. This input can assist in shaping the study's recommendations.
• Planning for Growth: An impact fee study is inherently forward-looking. It considers projected growth patterns and population increases to ensure that infrastructure is

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in place timely to accommodate future needs.

• Financial Sustainability: By accurately assessing the costs associated with growth, a rate study contributes to the financial sustainability of the City. It prevents the burden of new infrastructure costs from falling solely on existing residents and taxpayers.
• Long-Term Planning: Impact fee studies are part of the City's long-term planning efforts. This study will help the City prepare for growth in an organized and sustainable manner.
• Economic Development: Balanced and reasonable impact fees can encourage responsible and sustainable development, which can attract businesses and promote economic growth.

The City’s impact fee study has significant implications for growth, infrastructure investment and financial sustainability. When conducted comprehensively and transparently, it serves as a valuable tool for both City officials and the community as they plan for and manage the impacts of growth and development.

7. Public Safety Complex Construction: Constructing a new Fire Station is in the City's Capital Improvement Plan for FY 2025/26, with a budget of $390,000 for architecture, engineering and site development. The construction will require financing. This project falls under the Safe Community Priority, specifically Goal #1.
8. Building Department and Emergency Operations Center: The City of Eustis purchase a building adjacent to City Hall in May 2026. The intention is to house the Building Services Department and provide space for the Emergency Operations Center. The staff has outgrown the office space at City Hall and the available property nearby provided a solution to a number of issues.
9. Downtown Development: The City represents a strategic approach to revitalize the urban core, ensuring it remains vibrant, economically thriving and culturally rich. The goal is to blend historic preservation with modern enhancements, aiming to attract businesses, residents, and increase tourism. The City plans to achieve this with infrastructure upgrades, enhancing recreational spaces and promoting arts and cultural events. The City is focused on transforming the downtown area into a bustling hub of activity which includes new restaurants, parking spaces, hotels, apartment complexes and Ferran Park upgrades.

Downtown development will bring several significant benefits to both the City and its residents:

• Economic Revitalization: Attracting new businesses, supporting local entrepreneurs and creating a mixed-use space that promotes economic growth.
• Historical Preservation: Maintaining and restoring historical buildings to preserve the City's heritage while blending in modern amenities.
• Infrastructure Upgrades: Improving roads, public transportation options and parking facilities to make the downtown area more accessible.
• Green Spaces and Recreational Areas: Improving Ferran Park, surrounding plazas and pedestrian zones increases the quality of life and attract more residents and visitors.
• Cultural Initiatives: Encouraging the development of arts, music and cultural events

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or venues, such as theaters, galleries and festivals resulting in new residents and businesses.

• Safety and Cleanliness: Ensuring that downtown areas are safe, well-lit and clean, making them welcome and appealing to all.
• Housing Development: Promoting the development of urban living spaces, such as condos or apartments, making the downtown area livelier outside of regular business hours.
• Community Engagement: Creating spaces and events that encourage community gatherings, discussions and interactions.
• ➢ Streetscape Improvements: Beautifying streets with landscaping.

Long-Term Financial Plan Summary

In summary, the LRFP involves consolidating all components of the plan and ensuring continued alignment with the City's priorities. It serves as a roadmap for financial decision-making and resource allocation. By following the plan, the City can proactively address financial risks, seize opportunities and work towards achieving its long-term financial objectives, ultimately contributing to the well-being and prosperity of the community.

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Table 9:

City of Eustis Outstanding Governmental and Business Activities Long-Term Debt as of September 30, 2025

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Figure 13:

City of Eustis Outstanding Governmental Activities Debt - $13,276,895 As of September 30, 2025

Revenue Bonds and Notes Payable ■ Total OPEB Obligation

Net Pension Liability ■ SBITA Liability ■ Compensated Absences ■ Lease Liability

Figure 14:

City of Eustis Outstanding Business Activities Debt - $9,154,501 As of September 30, 2025

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City of Eustis Debt to Income Ratio and Borrowing Capacity

Debt-to-income (DTI) ratio is a financial metric that compares the amount of debt the City has compared to its overall income. It provides an indication of the City's financial health and its ability to manage and repay its debt obligations based on its income sources.

A higher DTI indicates a larger amount of debt relative to income, which can be a sign of financial strain and potential challenges in meeting debt repayment requirements. Conversely, a lower DTI ratio indicates a healthier financial position with a more manageable level of debt compared to income.

The City’s DTI ratio is an important consideration for lenders, investors, and credit rating agencies when evaluating the City’s creditworthiness and financial stability. A lower DTI ratio helps when evaluating the City’s borrowing capacity and its ability to take on additional debt for capital projects or infrastructure improvements.

Maintaining a healthy DTI ratio is crucial for the City's long-term financial sustainability. It ensures that the City can meet its debt obligations while continuing to provide essential services and invest in its growth and development. Monitoring and managing the City's DTI ratio is essential for prudent financial planning and responsible fiscal management.

The City of Eustis Community Redevelopment Agency held a five-year loan with a balloon payment due September 2025. The loan was paid off in September and refinanced in October 2025. The outstanding balance at the end of FY2025 is zero, however the refinanced balance will be reported in the FY2026 Annual Comprehensive Financial Report.

See Table 11 for the City's debt obligation as of September 30, 2025. The revenue is from the FY2025 Annual Comprehensive Financial Report (ACFR), MDA section.

DTI = (Total Overall Debt Service / Total Annual Revenue FY) *100 (7,047,710 / 48,698,650) *100 = 14.47%

The City’s present Debt-to-Income (DTI) ratio is 14.47% and falls well below the City’s policy of a DTI range of 28-36%. This range is considered healthy and financially sound.

Borrowing capacity refers to the maximum amount the City can borrow to finance various projects, initiatives, or infrastructure improvements. It represents the available financial resources that the City can utilize for debt to invest in its development and continue to meet its financial obligations.

The borrowing capacity of the City is determined by several factors, including its financial stability, revenue sources, existing debt obligations, creditworthiness and legal constraints. It is typically evaluated based on various financial ratios and guidelines set by regulatory bodies or financial institutions.

A higher borrowing capacity indicates that the City can access more funds for capital investments or public projects. This enables the City to undertake essential infrastructure improvements, fund public services, stimulate economic growth or address urgent community needs. Proper financial planning, debt management strategies, and monitoring of the City's financial health are crucial to maintaining a healthy borrowing capacity and ensuring the City's long-term financial well-being.

The City currently has a borrowing capacity of $3,558,875, equivalent to $355,887 per year for the upcoming ten-year period. This borrowing capacity is determined using the formula:

Borrowing Capacity = (Total Annual Revenue * Debt-to-Income Ratio) - Total Annual debt Service.

Based on the City's financials (ACFR) for FY 2024/25, with a total revenue of $48,698,650, a

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Debt-to-Income Ratio of 14.47%, and a total borrowed debt service amount paid in FY 2025 amounting to $3,488,835, the calculation is as follows:

((48,698,650 x 14.47%) - 3,488,835) = $3,558,875 which is then divided by ten years to arrive at $355,887 per year. This borrowing capacity can provide the City with the means to secure funding for future capital projects during the FY 2027/31 timeframe.

Table 10

Annual Debt Service on Existing Loans (Principal Only)

FY 2027/31

Debt Description Interest Rate Loan Number Fiscal Year Ending September 30

SRF Loan - 2016 1.290% 350300 15,903 16,300 16,707 17,124 17,551 83,584

SRF Loan - 2016 1.390% 350302 271,615 278,778 286,129 293,675 301,420 1,431,617

Bond Series 2016 3.210% 242870 380,000 395,000 410,000 430,000 445,000 2,060,000

CRA Loan - 2026 2.875% 134,203 138,113 142,136 146,277 150,538 711,268

Total 801,721 828,191 854,972 887,076 914,509 4,286,469

Table 11

2027 2028 2029 2030 2031 Total

Debt Service to Maturity - as of September 30, 2025

Business-Type Activities State Revolving Loans

Revenue Bonds - 2016

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Table 12:

Long Term Debt Purpose and Obligations as of 9/30/2025

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City of Eustis Performance Management and Budget Trends

The City of Eustis seeks opportunities to promote operational excellence and set performance measurement goals. Successful performance measures are driven by local needs and designed to closely align with the City's vision, mission, core values, priorities, goals and strategic plan actions.

Operational excellence leads to reduced operating costs and increased workplace productivity. It also creates an organizational culture that allows the City to support and improve valuable services for our community and achieve long-term sustainable goals and growth. The City identifies performance measurement as an essential component of the budgeting process. It supports the research on performance measurement provided by the City's Finance Department, assuring financial statements are prepared in accordance with GAAP (Generally Accepted Accounting Principles), which plays a vital role in the development of performance measurement in the public sector overall. The systematic approach to performance management helps improve the City's daily decision-making effectiveness and efficiency.

Performance measurement is thoroughly integrated into the City's budgetary process to be effective. The natural relationship between performance measurement and budgeting can be briefly summarized as follows:

City of Eustis

The short-term goals are crucial in the City's strategic plan and the City's performance measurement system framework. These short-term objectives provide actionable, measurable targets that can be achieved in the near future, ensuring that the City is continuously moving forward and building momentum. In essence, while the strategic plan paints the big picture of where the City wants to be in the future, short-term goals provide a checklist of immediate actions to help get there. The effective execution of these short-term goals ensures that the City stays on track, making consistent progress towards realizing its strategic vision.

• Use of strategic planning to identify its broad organizational objectives, which it then translates into specific goals and objectives (City of Eustis Strategic Plan, including Priorities, Strategic Goals and Strategies).
• Framing budgetary decisions based on results and outcomes that are directly linked to these specific goals and objectives (Annual City Budget Historical Data).
• Comparison of actual and projected results and outcomes and use of this analysis to identify any needed adjustments (Annual Budgeting Process
• Uses performance measures to monitor actual results and outcomes

The performance management system framework reflects the practices by which performance management can be achieved. Continuous integration of these practices into the core operations of the City enables performance management to produce long-lasting benefits. The core practices within the framework must be supported by leadership to sustain a culture of performance excellence.

The four components of a performance management system are defined as:

• Results and Standards: Where does the City want to be? City management's commitment to a quality culture that aligns performance management practices with the City's mission, vision and core values. The City regularly considers customer feedback and is transparent about the performance between leadership and staff. A strong community strategic plan has clear priorities, goals, strategies, and actions.

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• Measurement: How will we know if the City has met its goals? Performance measurement is generally defined as regular measurement of outcomes and results, generating reliable data on the effectiveness and efficiency of programs. A community strategic plan requires measurement management to monitor performance progress.
• Monitoring and Communicating Progress: How is the City doing? The City monitors the process to identify weaknesses and strengths and may recalibrate a departmental approach to make it more successful, to improve the efficiency and accountability of the communication of the budget and, most importantly, demonstrate and quantify the effectiveness of communication. The City monitors, plans, documents progress and communicates with the community to monitor performance progress.
• Quality Improvement: How can we improve the City? The City monitors the quality of systematic and continuous actions that lead to measurable improvement in City services. The assist with establishing a program or process to manage change and achieve quality improvement in public service policies, programs or infrastructure based on performance standards, measures, and reports. The City may need to shift course based on monitoring progress.
• Performance analysis targets the evaluation of the annual performance. It provides support for establishing control loops to influence operations on the one hand and to optimize processes in the long run on the other. Performance analysis can help to review departmental contributions towards a project or assignment that was prioritized by strategic plan.

Figure 15:

City of Eustis Performance Management System Framework

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Developing Performance Measures:

• Revenue Growth – City-wide (Annual Comprehensive Financial Report)
• Net Position (ACFR) – City-wide (Annual Comprehensive Financial Report)
• Number of Employees (Annual Comprehensive Financial Report)
• Number of customers requesting service (Annual Comprehensive Financial Report)

Output Measures:

• Number of permit applications reviewed (City Manager Letter information)
• Police and fire reports filed (City Manager Letter information)
• Increase in new business (Development Services report)

Outcome Measures:

• Standardized testing scores (Demographic Data)
• Change in criminal activity (Sheriff's Office Reports)
• Miles of streets maintained (Public Works Reports)
• Numbers of utility accounts served (Public Works Reports)

Efficiency Measures:

• Youth and sport activity data (City Manager Letter information)
• After school programs (City Manager Letter information)
• Cultural services and events (Parks & Recreation reports)
• Employment applications and new recruitment (City Manager Letter information)

Active integration of performance measures consistently throughout the budget process is important in determining real budget figures, communication effects and assurance of appropriate and fiscally responsible spending of taxpayers' dollars.

Budget Trends and City Financial Performance Analysis

Multi-year budget trend analysis is a tool that projects what future budgets might look like based on current appropriation and revenue trends and anticipated economic growth over the analysis period. This analysis contains many assumptions therefore, even a minor change in any of the assumptions can make a significant difference to the surplus/deficit trend. If the estimated and projected assumptions contained in the analysis do not materialize, the projections should be adjusted accordingly.

Comparing the budget of fiscal years 2023 through 2027, current trends are analyzed and forecasted through the fiscal year ending September 30, 2027.

Key assumptions include:

• Water and sewer services revenue growth 2.5% annually, however the results of the rate study may change this assumption
• ➤ Other revenues growth 3% annually
• Revenues from fines & forfeitures will remain flat
• COLA adjustment 5% for all full-time employees

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• Flat pay of $1,000 to every current full-time employee in FY 2026/27.
• Operating cost increase of 5% annually due to inflation, services and commodities increase.

The table below is a summary of City of Eustis budget trends for the last five fiscal years.

City Financial Performance Analysis

Table 13:

City of Eustis Budget Trends

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City Financial Performance Analysis Figure 16

BUDGET TRENDS FY2023 THROUGH FY2027

The financial performance analysis of the City covers a span of five years, with the estimated and projected data for FY 2026/27. The analysis reveals that the City of Eustis has historically experienced consistent growth in revenue and total fund balance, except for FY2026 Budget Year. There is a projected increase in FY2027 Fund Balance of $5,601,981 for the City overall. The expenditures exceeded the revenues in the General Fund, Special Revenue Funds and Enterprise Funds, however Sales Tax Fund and the Trust and Agency funds revenues exceeded expenditures for two reasons. The Sales Tax Fund has budgeted fewer projects for FY2027 after completely several large infrastructure projects in FY2026, and the Trust and Agency Funds budgeted significant investment returns on pension assets. The City has adopted the same millage rate for property tax revenue for FY2027, after adopting the adjusted rolled back rate in FY2026.

Looking ahead, the budgeted revenues have increased by $1,165,423 from FY2025/26 to FY2026/27 and expenditures have increased by $5,213,739 for the same period. Ad valorem tax revenue increased by $838,333 due to property tax value assessments increasing. The increase in expenditures can be attributed to inflation, the 5% cost of living allowance plus $1,000 flat increase in salaries for employees, in addition to pension costs. There has been an increase in demand for services and a significant project in the Enterprise Funds, a ground Water Storage Tank. A new Enterprise Resource Planning software system that will be used citywide has been budgeted, and although the cost is sizable the need for a higher level of performance makes this an unavoidable expenditure. These performance measures are City-wide and align with Goal #3 of the City's strategic plan, which aims to provide quality, competent, and cost-effective governmental public services.

Revenue growth for FY2024/25 and FY 2025/26 grew slower, and expenditures were reduced in FY 2024/25 due to fewer capital projects budgeted. This is indicative of the economic and political uncertainty and the City Commission desire to provide taxpayer relief to residents.

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City staff strive to maintain the desired level of service and complete needed capital projects. The FY2024/25 budget reported a refinancing of the debt in the CRA fund, which is a non-recurring event that inflated the revenues and expenditures for that year and was not budgeted in FY2025/26. Other than FY 2025/26, the fund balance has consistently trended upwards, indicating a healthy financial position for the City. This growth can be primarily attributed to City development and the construction of new subdivisions; however, FY2025/26 experienced a slowdown in new construction. This information was provided by the Lake County Property Appraiser.

The trend has been positive revenue growth which signifies a healthy and prosperous economy, leading to various benefits such as increased job opportunities, higher wages, and additional funding for government projects and services. FY 2026/27 budget year is an opportunity to reevaluate projects and priorities going forward. The City's business activities typically generate higher revenue due to charges for water and sewer services which, in turn, are used for continued maintenance and expansion of the City's utility infrastructure.

The financial performance chart and budget trends of the City demonstrate that revenue growth tends to outpace expenditure growth, except for years with significant capital projects and slower revenue growth. Overall, the City's financial performance and revenue growth demonstrate a competent managerial approach in addressing the City's needs and effectively navigating the challenges posed by the current economic situation.

Table 14:

Measures by Department FY 2026/27 Summary Analysis

City Departmental Performance Analysis

Departmental performance analysis was measured using four years of data, covering FY 2024 and FY 2025 actual data, estimating FY 2026 and using the FY 2027 budget as projected data for departmental performance measures. Performance effectiveness measurements are

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based on citizen surveys, departmental statistical data and a summary of departmental performance programs presented at the end of each department's section in the budget.

When comparing the actual data from FY 2024 to FY 2025, the overall departmental performance decreased 2.9%. However, the performance measures show an increase of 3.5% the following year. The total projected departmental performance for FY 2027 reports an increase of 4.0%, which is trending upwards. The HR department estimates fewer applications and interviews in FY2026; however, the department projects an increase for FY2027. The Public Works Street Maintenance had fewer lengths of street resurfaced and resealed between FY2024 and FY2025 but anticipates an increase in projected FY2027. The Building Services Department experienced a 27.1% increase in inspections, single family home and commercial building permits issued. The Police Department has reported fewer 911 service calls and a decrease in the number of arrests between FY2024 and FY2025. The Library experienced a decline in the volume of collections and the number of items circulated, however there was a significant increase in the number of adult and youth participants in library events. Development Services reported a 45.7% increase in services, specifically in annexations, and new Business Tax Applications.

The best consistent performance was the Parks & Recreation Department. The swimming pool was reopened after a closure in FY2025 due to major repairs. The Youth Programs continue to serve children and increase participation year over year. The Senior Programs, which include breakfast and yoga classes.

Looking ahead to projected FY 2027, Fire, Parks & Recreation, Development Services, and Human Resources are expected to demonstrate optimistic increases in services. Other departments such as Police, Library, Code Enforcement, Finance and Purchasing, Human Resources, Public Utility Services and Public Works Services also show a slight increase in services.

The economy's steady inflation rate has contributed to an increase in estimated services levels as the City of Eustis is recovering from economic stagnation. The current economic outlook is positive, and it is anticipated that we continue to see positive changes for the City.

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BUDGET-IN-BRIEF

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Table 15:

All Funds Budget Summary

Fiscal Year 2026/27

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Table 16:

Budget Process Calendar FY 2026/27

* City Commission Involvement

** Requirement of State Law under TRIM City Commission involvement

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The Fiscal Year Budget October 1, 2026 - September 30, 2027

Budget Overview

The City of Eustis Budget serves as much more than just a financial plan. It also meets four essential purposes:

Policy Document

The City’s Adopted Budget informs the reader about the City of Eustis and the policies that guide the prioritization of spending of resources. The City Manager’s Budget Message provides a condensed analysis of the City’s budget, highlighting the central issues in developing the budget as well as establishing the goals for the upcoming fiscal year. The City’s budget includes City-wide financial and programmatic policies and goals that address long-term financial issues, as well as short-term operational policies that direct the development of the annual budget. The budget provides information about the services the City will provide for the fiscal year beginning October 1, 2026, and ending on September 30, 2027. The City of Eustis has a well-structured process focused on evaluating the entire spectrum of its financial policies. This assessment is carried out under guidance of the City’s management team, who play a crucial role in ensuring that these policies not only maintain their current relevance but also align them with the ever-evolving mandates and regulations that govern them.

Financial Plan

The City's budget demonstrates the financial plan of the City, detailing the costs associated with providing City services and how the services will be funded. The Budget Summaries provide the reader with an at-a-glance view of all appropriated funds' revenue sources and expenditures/expenses by program, object category and fund. The budget explains the underlying assumptions for revenue estimates and analyzes significant revenue trends. In addition, projected beginning and ending fund balances are shown for the fiscal year, indicating the anticipated changes in fund balances from one year to the next.

Operations Guide

The budget provides detailed information on how the City and its departments are organized. Within the departmental sections, information is provided about the activities, services, and functions that are carried out by each department to support the overall goals and objectives of the City Commission. An organization chart is included as well as authorized positions, budget highlights, and budgetary appropriations.

Communications Device

The budget provides summary information to assist with understanding revenue sources and planned fiscal spending that supports the City's established goals and objectives. Included in the budget document is a table of contents and a glossary to help the reader locate information and to understand the terminology used throughout the document. Charts, graphs, and tables are strategically used to provide a visual demonstration of the narrative presented. The City Manager's Budget Message provided at the beginning of the budget document provides a condensed analysis of the financial plans for FY 2026/27 for the City of Eustis.

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Budget Process

Budgetary Basis

The budget for the governmental funds is adopted on a modified accrual basis consistent with Generally Accepted Accounting Principles (GAAP). The budget for the enterprise funds is adopted on a non-GAAP accrual basis to reflect the budget versus actual information related to “operations and maintenance” as defined in bond covenants. This is identical to the basis of accounting used in the Annual Comprehensive Financial Report (ACFR).

The foundation of the modified accrual basis of budgeting closely mirrors the basis of accounting, establishing a parallel framework that guides financial management and reporting in the public sector. The alignment between these two concepts is crucial for ensuring transparency, accuracy and consistency in budgeting and financial reporting practices. Underlying this alignment is the emphasis on distinguishing between short-term operational activities and longer-term capital investments. The modified accrual basis of budgeting, like the basis of accounting, seeks to strike a balance between addressing immediate financial needs and capturing the broader financial impact of capital projects and long-term obligations. By mirroring the basis of accounting, the modified accrual basis of budgeting ensures that budgeting decisions are reflective of the financial reality and can be compared to actual financial outcomes reported in financial statements.

The modified accrual basis of accounting is followed by all Governmental and Agency fund types. Under the modified accrual basis, expenditures other than un-matured interest on general long-term debt are recognized at the time the liabilities are incurred, if measurable. Revenues are recognized in the accounting period when they become measurable and available. Revenues that are susceptible to accrual are as follows:

• Federal and State Shared Revenues
• Federal and State Grants
• Interest Income
• Rental of Assets and Charges for Services
• Franchise Fees and Utility Taxes

Proprietary and Pension Trust funds are maintained on an accrual basis with revenues being recognized when earned and expenses recognized when incurred.

Budget Decision-Making Process:

The City’s budget decisions play a pivotal role in shaping the trajectory of the City’s growth, development, and overall well-being. These decisions are integral to allocating financial resources efficiently and effectively, ensuring that the City can achieve its organizational and community goals. The process of making budget decisions is carefully structured to support these goals and promote the betterment of both the City and the residents it serves.

• Goal Identification: The goal identification process begins with identifying the City's goals and priorities. These may include enhancing public services, improving infrastructure, fostering economic development, ensuring public safety, and preserving the environment, among others.
• Budget Development: City departments collaborate to create budget proposals aligned with the identified City's Strategic Plan goals. These proposals outline resource needs, program costs, and potential impact on the community.
• Prioritization: The proposed budgets are reviewed and evaluated by City management, department heads, and the City Commission. Prioritization occurs based on alignment with the City's objectives and community needs.
• Resource Allocation: The available financial resources are allocated to various departments and programs based on established priorities. Trade-offs are considered, as funding one initiative might mean reducing resources for another one.
• Public Input: The City encourages public participation and transparency by having public

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hearings to discuss the budget. Public hearings provide the opportunity for residents to voice their preferences and concerns.

• Refinement and Approval: Budget proposals are refined based on stakeholder input and discussions. The final budget is then presented to the City Commission for approval.

Budgetary Support for Organizational and Community Goals:

The City budget serves as a financial blueprint that supports both the City's goals and the broader goals of City residents. It outlines how financial resources will be allocated to various programs, services, and initiatives to achieve specific outcomes. The budget plays a crucial role in supporting both organizational and community goals:

• Alignment: Budget decisions are closely tied to the City's strategic goals and priorities. Funds are allocated to programs and initiatives that directly contribute to achieving these goals.
• Resource Allocation: The budget provides the necessary financial resources for essential services such as public safety, roads and streets, parks and recreation, infrastructure maintenance, and more. Allocating resources to these areas enhances the quality of life for residents and supports community growth and development.
• Strategic Initiatives: The City sets aside resources for strategic initiatives that address specific challenges or opportunities within the community. This could include economic development projects, environmental sustainability efforts and community engagement programs.
• Innovation: The budget can fund innovation and technological advancements, allowing the City to stay competitive and provide modern services to its residents. Investment in innovative technologies, digital platforms, and improved communication channels enhances efficiency and accessibility.
• Safety and Security: Adequate funding for public safety, emergency response services and disaster preparedness ensures the safety and security of the City and enhances the sense of well-being for our residents.
• Equity and Social Services: Budget decisions also play a role in promoting equity and inclusion. Funds can be allocated to support underserved populations, improve access to resources and address disparities within the community.
• Accountability and Reporting: The budget establishes a framework for accountability as expenditures are tracked and measured against expected outcomes. Transparent reporting ensures that the City can assess how resources are being utilized to support their priorities.

The process of making budget decisions is a vital component of governance that directly impacts the well-being of both the City and the residents it serves. By aligning resources with organizational goals, prioritizing community needs, and fostering transparency and public engagement, the City can effectively allocate funds to support a thriving and sustainable community.

Budget Procedures

Florida Statute Sec. 166.241 requires that municipalities establish a fiscal year beginning October 1 and ending September 30. In accordance with the Charter of the City of Eustis, the City Manager shall prepare and recommend to the City Commission a budget for the next succeeding fiscal year. The City of Eustis' annual budget is a public policy process resulting in a fiscal plan for the allocation of the City's resources to achieve results in specific programs. The Finance Department coordinates the budget process, which begins in February and ends in September. This process combines financial forecasting and fiscal strategizing to identify challenges, opportunities, causes of fiscal imbalances, and the development of a long-term financial plan that ensures fiscal sustainability. The process is designed to identify service need requirements, develop strategies to meet those needs, provide available resources, and allocate appropriations to execute a plan to meet the service needs requirements in alignment with City Commission goals and objectives.

The budget is prepared keeping in mind the operational requirements and capital outlays needed to provide for the needs and growth of the City, providing anticipated sources and amounts of

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revenue as well as expenditures. The City's goal is to live within its means by keeping ongoing operating costs at or below anticipated operating revenues. A recurring challenge that faces the City is the ability to provide sufficient funding for responsible operations and maintenance of the services provided and to hire and retain an excellent workforce through a competitive employee compensation package. As the General Fund provides funding for primary governmental services, special attention is paid to this fund. The main financial resource for this fund is Ad Valorem taxes, derived from property taxes based on property values throughout the City. The City strives to diversify its revenue base, whenever possible. The Water and Sewer Utility Fund is an enterprise fund and operates similarly to a business. The legally enacted budget for this fund is developed to provide funding sources for anticipated operation and capital needs.

Budget Adoption

The City’s budget is adopted by each fund at the object level through resolutions at public hearings held during the first and last scheduled City Commission meeting each September. Upon final adoption, the budget is in effect for the following fiscal year, with the amounts stated in the adopted budget being appropriated to the objects and purposes named within the budget document.

Public participation in the budget process is encouraged. Prior to adoption, the City Commission holds several public budget workshops to review the entire proposed budget and includes major issues, programs, and capital projects to be included in the adopted budget. In addition to the workshops, there are two public hearings in which residents can question the City Commission on the budget. The scheduled times and locations of these meetings are advertised in accordance with Florida Statutes.

Budget Amendments

Amendments that change the total original budget appropriation in any given fund are presented to the City Commission for consideration and approval. Appropriations that are re-allocated within a fund and do not change the original budget appropriation may be approved by the City Manager. The classification detail at which expenditures may not legally exceed appropriations is at the total fund level.

Balanced Budget

A balanced budget is a budget in which revenues are equal to expenditures so that there is no budget deficit or surplus. The concept of a balanced budget applies to any organization that generates operating revenues and incurs operating expenses. Although the term balanced budget points towards a breakeven between surpluses and deficits, it can also be a budget that posts a surplus but not a deficit. Therefore, revenues may be greater than expenses in a balanced budget, but not vice versa.

Preparing a balanced budget helps the City avoid excessive spending and allows it to focus resources on areas and services that require them the most. Achieving a budget surplus can provide funds for emergencies or if the City wishes to increase spending during a recession without having to borrow.

Truth-In-Millage (TRIM) Requirements

Chapters 200 and 218 F.S. detail the Truth in Millage (TRIM) requirements and require the adoption of the millage rate and budget resolution by separate votes. The process begins with the County Property Appraiser certifying the taxable property values to the City, which are then used as a basis for determining the millage rate for the upcoming year. The resolutions for the adoption of the tentative millage rate and budget, and the final millage rate and budget, are ultimately certified to the Florida Department of Revenue.

In accordance with TRIM requirements, two public hearings are held, one to adopt a tentative millage rate and budget and one to adopt a final millage rate and budget. The first, or “tentative”, hearing is advertised on the “Notice of Proposed Property Taxes” (TRIM notice) mailed to City property owners from the County Property Appraiser’s office. This first hearing adopts a tentative millage rate and tentative budget. The final TRIM hearing is advertised in a newspaper of general

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circulation in Lake County. Both public hearings allow the public to speak to the City Commission and ask questions about the tentative and final millage rate and budget. The final TRIM hearing must be held prior to October 1.

The City’s FY 2026/27 Budget Calendar provides condensed information regarding specific actions and deadlines regarding the budget process that are required to meet all State and City budget adoption requirements.

Budget Document Organization

The budget document is organized in the following sequential parts:

• Table of Contents
• City Manager's Message - Letter of Transmittal
• This section includes the City Manager's message to the City Commission describing the budget as presented and factors that were considered in the preparation of the budget
• City of Eustis Profile
• This section introduces the reader to the City of Eustis, FL. Included is a map detailing the location of Eustis, FL
• Vision, Mission, Core Values, & Strategic Plan
• This section outlines the City's Vision, Mission Statement, Core Values, Strategies, and Goals for its future direction
• Ad Valorem Millage Ranking
• This section demonstrates the City of Eustis millage position among the other municipalities in the County
• City-wide Organization Chart and Authorized Personnel Comparison
• This section depicts the City's reporting structure and distribution of its human resource assets
• Budget-in-Brief Section
• This section provides the reader with information helpful for understanding the City's process of developing the annual budget. Included are narratives about the budget process, fund types and basis of budgeting, revenue sources and trends, and financial policies. Also included is a section devoted to the City's debt position listing its outstanding debt issues, debt service funding sources, and overall debt policy
• Budget Calendar
• This calendar provides key dates and events throughout the course of the budget development cycle
• ➢ All Funds Budget Summary
• This section provides the budgeted revenue, expense, and fund balance scenarios for all the City's funds
• Expenditures – Departmental Details
• Department budgets support the goals and objectives established by the City Commission. Each departmental section provides detailed personal services, operating expenditures, and capital outlay by departmental division line items. The capital outlay schedule includes both additional new items as well as replacement items

➢ Glossary

• This section defines technical terms related to finance and accounting, as well as non-financial terms related to the City

Financial Structure

A fund is a fiscal and accounting entity with a self-balancing set of accounts recording cash and other financial resources, together with all expenditures and related liabilities and residual equities, or balances, and changes therein that are segregated for carrying on specific activities or attaining certain objectives in accordance with special regulations, restrictions, or limitations. Appropriated funds are segregated by governmental, enterprise and fiduciary funds. Governmental funds are used to account for most of the City's tax-supported activities. Enterprise funds are used by the City to account for revenue sources derived from fees charged to third parties to provide for ongoing operating and capital needs (typically City utilities). The City has fiduciary

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funds which are not budgeted because these resources are not available for the City to use. The City acts as a trustee and cannot use these funds to support the City's own programs. These funds are held in trust for employee future pension plan payouts.

Governmental-Type Funds

The City's Governmental funds consist of the General Fund, Special Revenue Funds, and Capital Projects Funds.

General Fund

The General Fund is the general operating fund of the City. It is used to account for all financial resources, except those required to be accounted for in another fund. Resources include taxes, franchise fees, State and local shared revenues, grants, fees, fines and forfeitures, charges for services, and miscellaneous revenues. Services provided using these revenue sources in the General Fund include general government administration, public safety, physical environment and transportation, and culture and recreation.

Special Revenue Funds

Special revenue funds are appropriated for specific revenue sources that are legally or administratively restricted to expenditures for specified purposes. The following are the major special revenue funds the City of Eustis appropriates:

• Street Improvement Fund – Accounts for revenue received from motor fuel gas taxes. All expenditures within the fund go toward maintaining the City's streets and rights-of-ways.
• Community Redevelopment Trust Fund – Accounts for the revenue received by City's special taxing district identified in the Community Redevelopment District. All expenditures must occur within this geographically defined area.
• Building Services Fund – Accounts for revenues generated by construction permit fees and expenditures resulting from enforcement of the Florida Building Code.
• Stormwater Utility Revenue Fund – Accounts for user fees and other revenues related to stormwater charges. The fund is responsible for funding the operation, construction, and maintenance of the City's stormwater system, system planning, and system management.

Capital Projects Funds

The City's Capital Improvement Plan (CIP) contains all the individual capital projects, equipment purchases, and major studies needed for the City, in conjunction with construction, completion schedules and financing plans. The CIP provides a working blueprint for maintaining, improving and expanding the City's infrastructure.

The capital project funds are utilized to account for major capital acquisition and construction activity separately from ongoing operating and maintenance activities. This helps to avoid distortions in financial trend information that occurs when capital and operating activities are mixed. Project funding process starts with departmental CIP requests to the City Manager and Finance Department.

The City Manager, Finance Department and City Department Heads review requested projects individually. Prioritization of projects is based on community needs, departmental performance, workload capacity, current economic conditions, funding sources and availability by linking strategic plans with the City's fiscal capacity. Approval of the CIP is made by the City Commission with two City Commission CIP hearings.

The CIP includes the following elements:

• Estimated Overall Cost of Each Project
• Estimated Operational & Maintenance Cost for Each Project
• Estimated Project Timelines
• Total Revenues from Each Project

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• Funding Sources Project Prioritization

Some of the major projects included in the FY 2027/31 CIP are:

• EFD Station #3 $3,000,000 Over 1 Yr
• Debt Service 2016 Bonds - Sewer $2,758,400 Over 5 Yrs
• Street Resurfacing $2,390,000 Over 5 Yrs
• EPD Vehicle Replacements $1,800,000 Over 5 Yrs
• ➢ Water Ground Storage Tank $1,700,000 Over 1 Yr
• Building Improvements $1,619,000 Over 5 Yrs
• EPD Axon BodyCam/Taser Renewal $1,600,000 Over 5 Yrs
• ➤ Sewer CR 44 Force Main, Phase II $1,600,000 Over 1 Yr
• Sewer Process & Clarification Tank Rehab $1,520,000 Over 2 Yrs
• CRA Downtown Implementation Plan $1,500,000 Over 3 Ys
• New Lift Station Generators $1,290,000 Over 5 Yrs
• Heathrow WTP Ground Storage Tank $1,160,000 Over 2 Yrs
• Water Meter Rebuild & Replace Program $1,140,000 Over 5 Yrs
• EFD Engine for New Fire Station $1,000,000 Over 1 Yr
• Sewer Infiltration & Intrusion $950,000 Over 5 Yrs
• ➢ Water Pine Meadows Main Replace $900,000 Over 2 Yrs
• WCS ERP System $850,000 Over 1 Yr
• Bates Ave. Plant Generator Overhaul $800,000 Over 1 Yr
• Master Lift Station Upgrade $800,000 Over 1 Yr
• Lift Station 7 Expansion $800,000 Over 1 Yr
• Lake Willie Dock Expansion $700,000 Over 1 Yr
• New Water Meter Service Sets $690,000 Over 5 Yrs
• Engineering / Adm Building Build-Out $660,000 Over 1 Yr
• Sewer Tertiary Filter $660,000 Over 2 Yrs
• Security Cameras $610,000 Over 5 Yrs
• ➢ Water Magnolia Ave. Galv. Main $600,000 Over 2 Yrs
• Finance ERP System $600,000 Over 1 Yr
• Lift Station Submersible Pumps $575,000 Over 5 Yrs
• Lift Station 5 Upgrades $550,000 Over 1 Yr
• ➤ Sewer Camera Vehicle $525,000 Over 1 Yr
• Sewer Harper's Alley $520,000 Over 2 Yrs
• Sidewalk Project $520,000 Over 5 Yrs
• America In Bloom Beautification $515,000 Over 5 Yrs
• EPD Bearcat Tactical Vehicle $500,000 Over 1 Yr
• EPD Construction of EOC $500,000 Over 1 Yr

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Sales Tax Capital Projects Fund

This fund accounts for the capital expenditures of the one-cent infrastructure sales tax to be incurred over a period of five years. Each project is presented along with the amount to be expended each year and the method of paying for those expenditures.

Proprietary Funds

The City uses proprietary funds to account for its business-type activities. The City has several proprietary funds. These proprietary funds include fees or charges on external users for use of the services provided.

• Water and Wastewater Revenue Fund – This fund accounts for user fees and other revenues related to the operation of the City's utility system. Fees are charged to the users for services to fund the ongoing operating and capital needs of water, sewer, and reclaimed water services provided.
• Reclaimed Water Project Fund – This fund accounts for reclaimed water projects that are used for irrigation and other uses to supplement the City's water supply. Funding is derived from inter-fund transfers from the Water and Sewer Revenue Fund.
• Water and Wastewater Renewal and Replacement Fund – This fund covers anticipated expenses for major repairs of the City's utility facilities as well as replacement of related equipment. Funding is derived from inter-fund transfers from the Water and Sewer Revenue Fund.

FY 2026/27 Budget Development

This section describes the major sources of revenues and expenditures, along with trends utilized in developing the FY 2026/27 Adopted Budget. The City maintains a balanced budget approach in compliance with Sec. 166.029 F. S. in which available revenues from taxation and other sources, including balances brought forward from prior fiscal years, must equal the total appropriations for expenditures and reserves. The General Fund, special revenue, and capital projects funds' limited revenue sources for expenditures have been allocated with projected available resources to maintain a balanced budget with limited reliance on fund balance reserves, in accordance with existing City policy.

Financial Forecasting

Financial forecasting plays a pivotal role in budgeting for the City and has significant implications for both short-term and long-term financial planning.

Revenue and Expenditures Forecasting Impact:

• Revenue Forecasts: Accurate revenue forecasting provides the foundation for development of the City's budget. The City relies on this forecast to estimate the funds available for spending. Overestimating revenue can lead to budget deficits, while underestimating can result in unspent funds.
• Expenditure Forecasts: Projections of future expenditures help allocate resources effectively. The City must estimate the costs of maintaining essential services, personnel salaries, debt service payments and other expenses. Overestimating expenditures can lead to budget surpluses, but it may also result in underfunding important services.

Short-Term Budget Impact:

• Balancing Act: Revenue and expenditure forecasts guide City officials in crafting a balanced budget. By comparing anticipated income to projected expenses, the City can identify any budget gaps or surpluses that need addressing.
• Program and Service Funding: Forecasts influence funding decisions for various programs and services. If revenues are expected to increase, the City may allocate more resources to improve infrastructure, expand services, or address community needs. Conversely, revenue shortfalls may necessitate re-prioritization or expenditure cuts.

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• Emergency Preparedness: Accurate forecasts help the City set aside funding for emergencies and other unexpected events. This funding can be crucial for addressing unforeseen challenges without destabilizing the budget.

Long-Term Planning Impact:

• Debt Management: Revenue forecasts help form debt management strategies. The City must ensure it can meet debt service obligations over the long term without straining resources or affecting essential services.
• Infrastructure Investment: Long-term planning often includes capital improvement projects, such as road maintenance, utility system upgrades and public facility construction. Revenue projections help determine the feasibility of these projects and whether they can be financed without overextending the City's financial resources.
• Economic Development: Forecasts influence decisions related to economic development initiatives. The City may set aside resources for incentives, infrastructure improvements, or workforce development programs to attract businesses and foster economic growth.

Implications for Future Budgets and Operations:

• Historical Data Analysis: Over time, comparing actual revenue and expenditure data to initial forecasts provides valuable insight. The City can refine its forecasting methods and adjust budget priorities as needed based on past performance.
• Flexibility: Accurate forecasts enable the City to adapt to changing circumstances. Whether responding to economic downturns, natural disasters or shifts in community needs, the City can use forecasts to make informed adjustments to future budgets and operations.
• Public Trust: Transparent and well-informed budgeting processes, supported by reliable forecasts, build public trust. Residents expect fiscal responsibility and accountability in City governance.

The following areas were considered when developing the five-year financial forecast:

• The City's current year-end estimates.
• ➢ Trends in revenue sources and spending based on historical data.
• Analysis of the City's General Fund revenues, expenditures, current taxable valuation and projected future valuation based on anticipated new development and/or land-use changes.
• An analysis of financial policies related to funding reserves.

Current and projected economic conditions in the local vicinity and anticipated legal changes

To make accurate predictions, several key assumptions were considered. These assumptions help City management estimate revenue streams and plan for effective budget management.

Below is a breakdown of assumptions used for forecasting the following revenue sources:

• Ad Valorem Taxes:
• ■ Property Values: Forecasts rely on assessments from the County Property Appraiser’s Office of property values in the City. Assumptions are made about how property values may change considering factors such as inflation, economic trends, real estate market conditions, annexation and new construction
• Tax Rate Stability: The City has used the assumption that property tax rates will remain relatively stable over time. Significant changes in tax rates could impact revenue projections
• ■ A conservative revenue growth rate of 3% was integrated, to ensure the fiscal stability and sustainability of City's finances. This growth rate considers potential economic conditions and various factors influencing revenue generation

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➤ Utility Taxes:

One-Half-Cent Sales Taxes:

Franchise Fees:

Water and Sewer Sales:

• Utility Usage: Assumptions regarding the level of utility usage by residents and businesses take into consideration historical consumption patterns, population growth, and current and potential economic conditions
• Rate Structures: Changes in utility rate structures, including increases or decreases in rates, are factored into revenue forecasts
• ■ A conservative revenue growth rate of 3% was assumed to ensure the fiscal stability and sustainability of the City's finances. This growth rate considers the current and potential economic conditions and various factors influencing revenue generation
• Economic Trends: The assumptions for sales tax revenue are closely tied to the overall economic health of the City. Assumptions are made regarding economic growth, consumer spending and retail sales trends
• ■ Legislative Changes: Changes in sales tax rates or regulations at the State level can impact local revenue forecasts
• ■ A conservative revenue growth rate of 3% was assumed to ensure the fiscal stability and sustainability of the City's finances. This growth rate considers the current and potential economic conditions and various factors influencing revenue generation
• Franchise Agreements: Assumptions depend on existing franchise agreements with utility companies, cable providers, or other entities operating within the City. Assumptions about fee structures and collection rates are made accordingly
• Business Activity: Changes in the number of businesses operating within the City and their level of activity can affect franchise fee revenues
• ■ A conservative revenue growth rate of 2% was assumed to ensure the fiscal stability and sustainability of the City's finances. This growth rate considers the current and potential economic conditions and various factors influencing revenue generation
• Usage Patterns: Assumptions about water and sewer usage are based on historical data, seasonal variations, and expected changes in consumption due to factors like population growth and weather conditions. A 4% yearly growth in estimated revenue for water and sewer sales in FY 2027/31 was applied, considering the current growth of the City the development of pending new subdivisions
• Rate Adjustments: Forecasts consider potential rate adjustments for water and sewer services, which can impact revenue generation. Currently, the City is in the process of conducting a study on water and sewer rates. In the upcoming fiscal year, the existing revenue figures will be updated to reflect the data from the rate study

See the example below: City-wide Major Revenue Sources of $1 Million or more:

Table 17:

Revenue Forecast FY 2027-31

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Taxes

Ad Valorem Taxes - General Fund

Ad Valorem taxes are budgeted at $14,036,211 (General Fund Revenue, page 123) and are collected by the Lake County Tax Collector's office. Most of the tax collections occur from November through March. Tax bills are mailed in November, coming due March 31, with a sliding discount rate for early payment beginning in November. Collections are calculated by multiplying the City's adopted millage rate for every $1,000 of taxable property value. The City's millage rate is adopted by City Commission each budget year, with the established rate predicated upon desired revenue generated (within statutory limitations) based on the gross taxable value of real and personal property as certified by the County Property Appraiser. The proposed millage rate for FY 2026/27 is 7.3898.

Eustis is included in the Orlando Metropolitan Statistical Area, one of the fastest-growing areas in the nation. Additionally, City leadership has instituted further pro-growth measures such as development incentives, impact fee waiver programs, annexations, and business recruitment strategies; as well as marketing, community engagement, livability, and tourism events. These factors have assisted in producing an average annual taxable value increase for the last four years. The City will explore any combination of efficiency/cost reduction measures, enhancements in other revenue streams, and continued pro-growth policy to maintain long-term financial health. Additionally, the City will continue to benefit from its exceptional climate, geography, small-town charm, and inclusion in a rapidly growing metro area, which will contribute to healthy growth in the tax base for decades to come. Due to current City development and rapid population increase, a 2% annual growth assumption is used.

Franchise Fees, Telecommunication, and other Public Service Taxes - General Fund

Franchise fees are budgeted at $2,365,000 (General Fund Revenue, page 123) and utility service taxes are budgeted at $3,751,000 (General Fund Revenue, page 123). They are collected from customers by public service providers and remitted to the City monthly except for the Communication Services Tax (CST), which was budgeted at $660,000 (General Fund Revenue, page 123). This is a tax on the purchase of electricity, metered natural gas, and water service. The CST is remitted by telecom providers to the Florida Department of Revenue (State) which then distributes collections to local governments with a one-month lag. Budgeting for franchise fees and utility service taxes is calculated by reviewing historical trends along with any information on rate or customer base changes. All franchise fees and utility service axes are based on a percentage of service cost. Electricity is by far the biggest generator of utility tax and franchise fee revenue with 90

telecommunications coming in second. This revenue stream has increased nominally from the prior year, and it is based primarily on utility rate changes. Due to current economic stagnation a 2% annual growth assumption is used. Expansion of the customer base will be a nominal factor until the City undergoes further boundary growth, infill development, and annexation in the coming years.

Licenses and Permits:

General Fund

Business license revenue is budgeted in the General Fund at $35,000 (General Fund Revenue, page 123), based on recent trends and anticipated business activity in the City. Annual renewals account for the bulk of this revenue. Building and construction permits, now accounted for in a separate Building Services Fund, are budgeted at $1,303,200 (Special Revenue Summary, page 264), based on historical trends and projects anticipated for next year.

Intergovernmental Revenue: Grants, State and Local Shared Revenues, and Payments from Other Local Units

General Fund

The budget for half-cent sales tax and municipal revenue sharing is based on estimates provided by the State and is distributed by the State derived through calculations based on sales tax revenue and population. Local Government Half-Cent Sales Tax is budgeted at $1,587,136 (General Fund Revenue, page 123). It is distributed by the State based on equally weighted factors of adjusted municipal population, derived municipal sales tax collections, and the City's ability to raise revenue. The FY 2026/27 Adopted Budget includes a slight decrease in Half-Cent Sales Tax revenues due to state legislative actions cutting commercial lease taxes and broader economic flattening. Revenue from State Revenue Sharing is budgeted at $1,244,018. Intergovernmental Revenue is based on historical trends and the current economic situation and is derived from mobile home license taxes, alcohol beverage license taxes, county occupational licenses, payments in lieu of taxes (PILOT), among other sources. Intergovernmental Revenues are budgeted at $278,500 in the General Fund (General Fund Revenue, page 123). The City attempts to secure grant funding to supplement its limited resources whenever possible. This revenue is unknown and is based on grant awards, therefore any grants are budgeted upon grant award and acceptance. Total FY 2026/27 Intergovernmental Revenues are budgeted at $3,109,654 (General Fund Revenue, page 123).

Charges for Services: Utility Charges for Services

General Fund, Stormwater Utility Fund and Water & Sewer Utility Revenue Fund

The General Fund's Charges for Services is budgeted at $1,341,288 (General Fund Revenue, page 124), and includes lien searches, garbage billing, false fire alarm charges, and various library and parks and recreation service charges.

Stormwater revenue is budgeted at $934,000 (Stormwater Revenue, page 272). On April 16, 2026, the City Commission approved a residential rate increase from $6.00 to $8.00 per month and a non-residential/Commercial increase from $12.00 to $16.00 per month. Due to limited new development or land use changes, a minimal increase has been budgeted. Charges for water, sewer, and reclaimed water service are budgeted using base charges combined with a tiered rate based upon consumption. Together with connection fees for new accounts, these charges are budgeted at $14,605,000 (Water & Wastewater Revenue, page 281). Given current economic conditions, high inflation and financial insecurities, the City Commission authorized a rate study to determine if the fees and rates charged generate enough revenue to fund operations, maintenance, replacement, debt service, and capital improvements. In FY 2025/26 the City Commission hired a rate consultant to conduct this study. Once the consultant has determined sufficient, competitive rates the City will determine future rates to be set. The irrigation and reclaimed water components of the revenue stream can fluctuate significantly based on seasonal wet or dry cycles as well as the disruption of lawn maintenance routines caused by hurricanes and vegetative debris accumulation. Total budgeted revenues for the utility are $15,475,000 (Water & Wastewater Revenue, page 281). A 4% annual revenue growth assumption has been used for the preparation of the budget. 91

Other Charges for Services:

General Fund

Revenues generated from Parks and Recreation activities are budgeted at $296,000 (General Fund Revenue, page 124. These revenues are generated by the Parks and Recreation division based on planned programs, classes, and events for the upcoming year. The revenue generated from the Eustis Memorial Public Library is budgeted at $10,200 (General Fund Revenue, page 124).

Fines & Forfeitures:

General Fund

Various fines and forfeitures are conservatively budgeted at $573,000 (General Fund Revenue, page 124) and are based on historical trends. The City has budgeted an additional $360,000 for FY2027 for school zone speed cameras. Court fines and code violations comprise most of the fines levied. Conservative estimates are the best method for budgeting this revenue as the amount collected from year to year fluctuates significantly and does not follow a defined trend.

Miscellaneous Revenues:

General Fund, Various Special Revenue Funds, and Water & Sewer Utility Revenue Fund

Interest earnings are conservatively budgeted within the applicable funds. Interest rates are somewhat higher as the economy improves; however, this source will continue to be categorized as a minor revenue with high volatility. The City has more recently begun investing in higher yield investments as opposed to traditional bank investments. These investments adhere to the City's Investment Policy and allow the City to receive higher interest earnings. This budgeted revenue is based on projected cash and investment balances and anticipated interest rates. Rents of space on water towers from wireless communications companies for use of water towers as a cellular phone tower transmission area are based on existing contract values. All General Fund miscellaneous revenues are conservatively budgeted at $1,686,500 (General Fund Revenue, page 124).

Other Financing Sources:

General Fund, Various Special Revenue Funds, and Water & Sewer Utility Revenue Fund

There are other revenues in the budget that are not exchange-based transactions. These include transactions such as interfund transfers and utilization of fund balance. Interfund transfers are transfers from one fund to another to provide funding to offset costs incurred in another fund or, in the case of the Water and Sewer Utility Revenue Fund, to pay the General Fund for a return on investment and overhead costs. Appropriation of fund balance as a revenue reflects the increase or decrease on the reliance of fund balance as a revenue source to balance revenues against expenditures for a given year and ensure a balanced budget. The interfund transfer from the Water & Sewer Utility Fund to the General Fund is budgeted at $2,730,000 (General Fund Revenue, page 124).

Expenditures

For FY 2026/27, the City budgeted a 5% salary COLA increase of $829,129 (Salary & Benefits Increase/Decrease, page 8) in addition to a $1,000 flat pay increase of $263,000 (Salary & Benefits Increase/Decrease, page 8) for all existing full-time employees. This equates to a total increase in salary, FICA, and benefit costs of $1,352,404 City-wide (Salary & Benefits Increase/Decrease, page 8). This is an investment in the City's future to ensure the attraction and retention of quality employees for years to come.

Public safety pensions are anticipated to decrease modestly in FY 2026/27 by approximately $17,304 or .62% in comparison with last year. Police pension increase by $142,824 and Fire pension decreased by $160,128. Also, general liability, worker's compensation, and property insurance increased by in the General Fund by $75,839 or 8.1% (General Fund Expenditures, page 125) and increased in the Enterprise Fund by $47,026 or 7.7% (Enterprise Fund Expenditures, page 282). Operating supplies and services are budgeted based on necessity with the escalated 2.60%

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Consumer Price Index taken into consideration (Table 5, page 23). There has been an increase in expenditures for capital improvement projects in FY 2026/27, especially in the Water & Sewer Replacement & Renewal Fund which has budgeted $1,700,000 for a Ground Storage Tank and $1,160,000 for a Lift Station Generator. The detailed expenditures related to operating costs are reflected in the individual department pages by fund.

The City is required to fund the CRA for the increase in Tax Increment Funding each year as mandated by State of Florida CRA Statutes. The estimated transfer will be $999,682 (Community Redevelopment Summary, page 254), based on taxable values as provided by the Lake County Property Appraiser's Office.

Financial Policies

This section describes the major financial policies that affect the City's long-term financial planning and budgeting processes. The City's financial policies serve to match spending needs with available resources. The annual budget is prepared as a balanced budget, with total revenues and other financing sources equaling total expenditures/expenses and other financing uses for each fund. Any shortfalls of current revenue sources matched against anticipated expenditures are supplemented with a reduction in the existing fund balance.

The use of fund balance to balance a fund's budget makes a fund balance reserve policy an important planning and budgeting tool. Large-scale capital project spending needs and fluctuating interest rates make debt management a closely watched financial policy issue. Investing the City's financial resources so that the funds' values keep pace with rising costs is aggressively administered.

Operating Policies:

The City will develop and maintain accounting and budgetary control systems to adequately safeguard the assets being held in public trust.

The City will limit current expenditures to match against currently anticipated revenues. The City will avoid balancing current operating expenditures with borrowed revenues.

The City will provide for adequate maintenance of capital, plant, and equipment and for their orderly replacement.

The City will balance its budget year so that each fund's budgeted revenues equal the budgeted expenditures. The utilization of the existing fund balance as a revenue source to meet current needs will be minimized as much as possible.

Revenue Policies:

The City shall maintain, as permitted by State law, a diversified revenue base to offset the effects of short-term fluctuations in any one revenue source and reduce reliance on any one revenue source.

This City shall estimate its annual revenues as part of the budgetary process through a conservative, objective, and analytical process. It will review and evaluate new revenue sources to fund operating expenditures consistently with the City Commission's goals and objectives.

The City shall establish all user charges and fees to recover all or a portion of the cost of providing a service. The City shall review user fees/charges periodically to ensure they are fair and equitable to all users.

The City shall transfer a portion of the budgeted operating revenue from the Water and Sewer Utility Revenue Fund to the General Fund as a return on the City's investment in the utility infrastructure and for administrative purposes.

Fund Balance Policy

The City has established a Fund Balance Policy in accordance with Governmental Accounting Standards Board Statement No. 54, Fund Balance Reporting and Governmental Fund Type Definitions as adopted in Resolution 11-2292. Fund Balances have been designated as non-

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spendable, restricted, committed, assigned, or unassigned. Actual fund balances and classifications are reported annually in the City's Annual Comprehensive Financial Report (ACFR). Resolution 2026-48 was adopted establishing a Fund Balance Reserve Policy and Resolution 2026-49 was adopted establishing a Committed Reserve Fund Balance for emergencies or unforeseen events, millage rate stabilization, strategic plan/CIP projects and grant match.

Per policy, a 90-day reserve balance for the General Fund is calculated as the amount of budgeted operating expenses, excluding debt service, capital outlay, and transfers out. This reserve may be used to cover short-term cash flow variations, economic downturns, and emergencies.

Fund balance reserves for the Water & Sewer Utility Revenue Fund are calculated as 90 days of budgeted water and sewer operating expenses. This reserve will be used to cover short-term cash flow variations, economic downturns, contingencies, and emergencies.

The projected fund balance for budgetary purposes will be calculated using the actual fund balance from the prior year's ACFR, current year estimates, and a projection of what the budgeted fund balance would be if the current year estimated expenditures are considered.

Investment Policy

The City will comply with all applicable Florida Statutes guiding investment policies of local governments and the current Investment Policy of the City of Eustis.

The investment objectives are: 1) protection of the City's funds 2) liquidity to meet operating requirements, 3) maximize investment return while minimizing investment risk, and 4) setting procedures to control risks and diversify investments.

Authorized investment instruments are detailed in the policy document and consist of an array of conservative instruments including government-backed securities, certain bankers' acceptances, commercial paper, and CD and savings accounts in U.S. banks.

Capital Planning & Budget

Capital Planning refers to the process of identifying and prioritizing the City's capital needs to determine which capital projects should be funded in the capital budget based on funding availability. City-wide planning is guided by the City's Strategic Plan and City Mission, Vision, and Core Values. These plans provide long-term direction for the growth and development of the City.

The City's budget has two primary components: operating and capital. The City Commission holds one public hearing on the proposed budgets and one public hearing on the final budgets.

The CIP budget funds major improvements to City facilities and infrastructure and is based on the first year of capital needs in the five-year period of FY 2027-2031. The CIP Budget also includes anticipated operating costs associated with significant capital maintenance and improvements.

The purpose of the CIP is to systematically plan, schedule and finance capital projects to ensure cost-effectiveness as well as conformance with established policies and required mandates. The CIP is a five-year plan organized into the same functional groupings used for the operating budget. The CIP reflects a balance between capital replacement projects that repair, replace, or enhance existing facilities, equipment, or infrastructure; and capital facility projects that significantly expand or add to the City's existing fixed assets.

Construction projects and capital purchases of $5,000 or more are included in the CIP. Minor capital outlays of less than $5,000 are included in the regular operating budget. The CIP differentiates the financing of high-cost long-lived physical improvements from low-cost “consumable” equipment and repairs. The CIP is revised annually and guides the City’s investments in public facilities and infrastructure during a five-year time horizon.

The CIP budget is comprised of various funds: General Fund, Sales Tax Capital Projects Fund, Street Improvements Fund, Community Redevelopment Fund, Stormwater Fund, various utility funds, and impact fees funds. The CIP budget includes different funding sources such as bonds (debt), grants, cash, transfers from other funds as well as other smaller sources of funding.

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The impact of capital projects affects current and future operating budgets as they result in either an increase or decrease in maintenance costs or provide capacity for new future programs/projects. The operating impact of capital projects is analyzed and taken into consideration during the CIP prioritization process. Estimated new revenues and operational efficiency savings associated with projects are also taken into consideration. The cost of operating new or expanded facilities or infrastructure is included in the operating budget, beginning in the fiscal year the asset becomes operational. Debt service payments on any debt issued for capital projects are also included in the applicable operating budget. CIP items may be funded through debt financing or current revenues while operating budget items are recurring in nature and should only be financed by recurring revenues.

Figure 17:

City Budget Planning Process Hierarchy

Capital Projects Operating Budget Impact

The CIP budget accounts for financial resources related to the acquisition, construction or expansion of major capital facilities and/or equipment. A capital project is generally non-recurring in nature and may include the purchase of land, site development, engineering and design fees, construction, and equipment. Capital projects produce assets with useful lives longer than one year.

Operating costs associated with implementation of projects are a fundamental part of the CIP. Once the project is complete, the operating costs then become a recurring cost in the operating budget. Capital projects can have a major impact on maintenance, utilities, other contractual services, 95

operating supplies costs. They can also have an impact on insurance and debt service. In recent years, due to fiscal constraints, the City has focused the CIP budget on maintaining existing infrastructure, such as roads and building maintenance projects. Typically, these types of recurring capital projects have only maintenance as a recurring impact on the operating budget.

One exception is information technology projects. These projects necessitate ongoing funding for systematic replacement of information and communication systems, as well as ongoing operating impacts that may include maintenance costs and software support.

New construction or major improvements generally require additional operating expenditures such as electricity, building insurance, or general maintenance. The following chart shows the estimated impact of operating costs for FY 2026/27 capital projects. They may represent positive or negative impacts on operating costs.

The total operating costs for capital projects in the FY 2026/27 budget are $143,200. Significant CIP operating costs for the most significant projects are as follows:

Table 18:

City of Eustis Significant Operating Expenditures FY 2026/27 - FY 2030/31 for Projects

City of Eustis Total Capital Projects - FY 2026/27 - FY 2030/31

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The analysis of the total capital projects operating costs impact highlights the need for strategic decision-making that ties in with short-term objectives and long-term sustainability. Thoroughly examining the financial impacts of capital projects on the operating budget underscores the importance of responsible allocation to avoid potential strains on daily operations. This assessment empowers the City's decision-makers to make well-informed decisions that are in line with the City's strategic objectives while ensuring the continuous delivery of vital services to the community.

Debt

Regarding Long-term debt, the City will make timely payments for all debt outstanding. It will strive to maintain an underlying issuer's credit rating of no less than Aa3 (dependent on the credit rating agency). General Obligation Bonds may be issued as prescribed by law. Revenue Bonds or Notes may be used to fund major capital purchases or construction projects, but such financing shall be no more than 30 years. The City will not issue long-term debt to refinance current operations. Refinancing will be considered when it is economically beneficial to do so. The City has been unable to sell three Downtown parcels for a reasonable price, and in FY2026 the City refinance the CRA balloon loan, issued in 2020.

Regarding short-term debt/leases, debt for less than five-year periods shall be avoided, unless a debt mechanism is in place that provides decreased costs of issuance. Leases or lease purchases are allowed when the total costs of the lease and maintenance are less than the total costs of the purchase and maintenance or if there are other special factors to be considered.

Interfund loans are also permitted unless otherwise prohibited by law. In such cases when interfund loans are made, interest will be paid to the loaning fund equal to the interest it would have received under the normal investment performance of the City's cash management program.

The City currently has two State Revolving Fund Loan issues, a Water and Sewer Revenue Bond, a Community Development Bank Note, a Water & Sewer Bank Note, and both a loan and a lease for fire equipment:

State Revolving Fund Loans 350300 and 350302 - These loan agreements with the Florida Department of Environmental Protection are secured by water and sewer revenue. The original loan amounts totaled $5,557,247 and were used for wastewater plant upgrades in compliance with Environmental Protection Agency nitrification regulations. The interest rates range from 1.28% to 1.46%, and both loans extend through FY2031/32. Debt service payments are being made from the City's Sewer Impact Trust Fund. The remaining balance for notes payable SRF 350300 and 350302, at the end of FY 2025 was $2,122,710. The bond rating is at the lowest risk investments: AAA by Standard & Poor's.

Series 2016 Water & Sewer Utility Revenue Bond – This issue of $8,184,691 provides funding for the City's Water and Sewer Capital Improvement Plan Implemented in October of 2016. It is secured by utility system revenues with an interest rate of 3.21% and has a maturity date of October 2036. Debt service payments are being made from the City's Water and Sewer Revenue Fund. The principal balance at the end of FY2025 was $4,925,000 with an unamortized bond premium balance of $323,646. The bond rating is at the lowest risk investments, AAA by Standard & Poor's.

CRA Loan 2020 – In September of FY 2020, the City’s Community Redevelopment Trust Fund secured financing of $3,000,000 with USB Bank for the purchase of three large lots in Downtown Eustis. The five-year financing balloon loan is at a fixed interest rate of 2.875%. Principal balance at the end of FY 2025 was zero. The balloon payment was due in September 2025 and was repaid. The bond was refinanced in October 2026.

Legal Debt Limits

The City of Eustis currently has no legal debt limitations imposed on its ability to borrow funds.

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Capital Improvement Policy

The City develops a five-year capital improvement plan every year. The plan is updated each year during the annual budget process and is incorporated into the City's Comprehensive Plan.

In the development of the Capital Improvement Plan, the City will review the operational impact of each project.

Capital Asset Policy

Purchased and constructed capital assets are reported at cost or estimated historical cost. Capital assets include property, plant, equipment, and infrastructure assets (e.g., roads, bridges, sidewalks) and similar items. They are reported in the applicable governmental or business-type activities columns in the government-wide financial statements. Property, plant, and equipment with an initial, individual cost equal to or exceeding $5,000 with useful lives of over one year are recorded as capital assets. Roads, bridges, and sidewalks are capitalized when their initial costs equal or exceed $25,000 and they have an estimated useful life of more than one year. Subscription Based Information Technology Agreements (SBITA) or software with an initial cost of equal to or exceeding $50,000 are capital assets. Capital assets are recorded at historical or estimated historical costs. Donated capital assets are recorded at the acquisition value at the date of donation. Significant outlays for capital assets and improvements are capitalized as projects are constructed. Interest incurred during the construction phase of capital assets of major business-type activities is included as part of the capitalized cost of the assets constructed. Capital asset purchases are recorded as capital outlay expenditures at the fund level in the year of acquisition.

Property, plant, and equipment are depreciated using the straight-line method over the following estimated useful lives:

Expenditures for repairs and maintenance are expensed when incurred. Additions, major repairs or replacements that increase the useful life of the asset are capitalized.

The City complies with the standards established by the Governmental Accounting Standards Board Statement (GASB) Statement 34 and all subsequent pronouncements set forth by GASB regarding Capital Asset Accounting.

Fund Balance Changes Between FY 2026/27 Projected and Proposed Budgets

Table 19 demonstrates the differences in fund balances between Projected and Proposed budgets major and nonmajor funds in aggregate.

The total revenue decreased between FY 2026/27 by 3.42%, and the total expense decreased by 11.91%. The total change in fund balance is $7,159,415 or 5.87% fund balance increase.

Personnel Services projected expenditures for all funds is increased by 5% COLA and $1,000 flat pay to all existing full-time employees. Fringe benefits and pensions are increased as well.

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Table 19:

Changes Between Proposed and Projected FY 2026/27

Fund No. Fund Name Estimated

Beginning Fund Balance FY 27 Revenue Proposed FY26 Revenue Projected Change in Revenue Change %

006 Library Contribution 32,815 1,850 2,100 (250) -11.9%

010 Sales Tax Revenue (22,354) 3,676,668 6,412,719 (2,736,051) -42.7%

011 Law Enforcement Education 44,725 66,500 62,700 3,800 6.1%

012 Police Forfeiture 108,460 108,400 120,000 (11,600) -9.7%

013 Street Improvement 276,614 2,348,000 2,228,000 120,000 5.4%

014 Community Redevelopment 543,320 1,848,625 1,788,376 60,249 3.4%

018 General Government Grants 7,370 360,000 3,779,805 (3,419,805) -90.5%

020 Building Services 140,202 1,398,200 1,266,200 132,000 10.4%

049 Stormwater Utility Revenue (255,783) 934,000 934,000 - 0.0%

040 Water & Sewer Revenue 24,279,855 15,475,000 15,573,000 (98,000) -0.6%

041 Reclaimed Water Projects 180,140 5,000 5,900 (900) -15.3%

042 Water & Sewer R&R 18,240,173 2,305,000 2,550,000 (245,000) -9.6%

059 Fire Prevent. Capacity Exp. Trust 280,040 424,900 44,400 380,500 857.0%

060 Greenwood Cemetery Trust 257,835 21,850 21,850 - 0.0%

061 Police Pension 32,806,129 3,725,000 3,725,000 - 0.0%

062 Fire Pension 19,898,574 3,170,000 3,170,000 - 0.0%

063 Parks & Rec Capacity Exp. Trust 369,633 619,670 108,000 511,670 473.8%

064 Law Enforce. Capacity Exp. Trust 555,566 248,800 53,000 195,800 369.4%

065 Water Impact Trust 5,639,199 365,700 215,000 150,700 70.1%

066 Sewer Impact Trust 5,968,731 1,384,300 915,800 468,500 51.2%

068 Economic Development Trust - - - - 0.0%

069 Library Capacity Exp. Trust 171,378 93,650 50,000 43,650 87.3%

TOTAL 127,292,537 68,777,995 71,213,376 (2,435,382) -3.42%

001 General Fund 17,769,915 30,196,882 28,187,526 2,009,355 7.1%

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Table 19: Changes Between Proposed and Projected FY 2026/27 (Continued)

001 General Fund: $1,689,960 or 10.2% fund balance increase.

The proposed ad valorem taxes were $840,000 higher than projected, as well as slightly higher proposed other revenue sources. The expenditures were relatively unchanged, resulting in an increase in the change in fund balance.

006 Library Contribution Fund: $50 or 0.2% fund balance decrease.

The revenues and expenditures for the Library Contribution Fund have remained largely unchanged from proposed to projected budget.

010 Sales Tax Revenue Capital Project Fund: $3,849,716 or 339.4% fund balance increase.

Sales tax revenue has decreased from the prior year by a projected $2,736,051 due to grant revenue in FY2026 that is not anticipated to be received in FY2027. Capital projects expenditures in FY2026 were projected to be higher by $6,585,767 due to FY2025 projects that are expected to be carried over and completed in FY2026.

011 Law Enforcement Education Fund: $33,800 or 47.5% fund balance increase.

Police fine revenue is projected to increase by $3,800 or 6.1% over projected year. There is an expenditure decrease of $30,000 for police automation equipment.

012 Police Forfeiture Fund: $48,400 or 22.30% fund balance increase.

Federal forfeiture revenue has decreased by $11,600 from projected to proposed and the capital

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equipment expenditures have decreased by $60,000 from FY2026 projected to FY2027 proposed 013 Street Improvement Fund: $856,244 or 580.0% fund balance increase.

Revenue increased by $120,000 due to an increase in transfers from other funds or 5.4%. Local Option Gas Tax was budgeted slightly less for proposed FY2027. The capital projects decreased from projected FY2026 to proposed FY2027 by $736,244, due to fewer planned projects.

020 Building Services Fund: $2,587,484 or 5424.1% fund balance decrease.

The revenue is budgeted to increase by $132,000, or 10.4%. The expenditures projected for FY2026 were greater than proposed for FY2027 by $2,455,484 or 154.8% because the Building Department purchased a new building to house the Building Services Department in FY2026. The staff had outgrown the office space in City Hall and an opportunity to acquire a building adjacent to City Hall became available.

042 Water & Sewer Renew & Replace Fund: $2,134,368 or 10.0% fund balance decrease.

Total revenue has been budgeted to decrease by $98,000. Expenditures projected for FY2026 are $2,036,368 greater than proposed FY2027, due in part to a lift station expansion project and force main project.

049 Stormwater Utility Revenue Fund: $556,640 or 81.3% fund balance increase.

Proposed revenues are budgeted to remain unchanged; expenditures are budgeted to decrease by $556,640 or 40.9%. The budgeted capital projects decreased, however there is a budgeted increase of transfer of funds to Street Improvement Funds.

059 Fire Prevention Capital Trust Fund: $48,000 or 15.2% fund balance increase.

The revenues are expected to increase by $380,500 due to the Commission Approved increase in impact fees in FY2026. Capital projects for bunker gear and projects at Fire Station #3 are proposed in FY2027.

062 Fire Pension Trust Fund: fund balance remains unchanged.

The Fire Pension Trust is funded by City and member contributions, fire insurance premium tax, investment returns and interest earnings. The expenses are pension benefits and administrative charges. The proposed and projected budget has remained unchanged.

063 Parks & Recreation Capacity Expansion Trust Fund: $68,839 or 16.7% fund balance increase.

The revenues are expected to increase by $511,670 due to the Commission Approved increase in impact fees in FY2026 and a State appropriation grant. Capital projects have increased by $522,500 for a Park Program Room Expansion, Lake Willie Dock Expansion and a Park's Master Plan.

064 Law Enforcement Capacity Expansion: $326,700 or 115.9% fund balance decrease.

The revenues are expected to increase by $195,800 due to the Commission Approved increase in impact fees in FY2026. Capital projects include $500,000 for Police construction of the Emergency Operations Center.

065 Water Impact Trust: $448,163 or 8.3% fund balance increase.

The revenues are expected to increase by $215,000 due to the Commission Approved increase in impact fees in FY2026. Several capital improvement projects were completed in FY 2026. Fewer capital projects are budgeted in FY2027 resulting in decrease of $712,206 in expenditures.

069 Library Capacity Expansion Trust Fund: $270,350 or 346.7% fund balance decrease.

The revenues are expected to increase by $43,650 or 87.3% due to the Commission Approved increase in impact fees in FY2026. FY2027 projected expenditures increase by $314,000 or 91.5% due to the Library – Phase I Expansion project.

Proposed Budgeted Revenue by Fund

Figure 18 below illustrates the budgeted revenue distribution for the FY 2026/27 budget across all funds. The largest share of the City's revenue, constituting 43.90%, comes from the General Fund. The Water & Sewer Revenue Fund accounts for the second highest revenue source at 22.50%. The third-ranking fund in terms of revenue is the Sales Tax Fund contributing 5.23% to the City's total

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funds. The Community Redevelopment Fund comprises 2.69% of budgeted revenue, while the Police and Fire pension Funds make up 5.42% and 4.61%, respectively, of budgeted revenue. The remaining 15.65% of budgeted revenue is distributed among Special Revenue Funds and Trust and Agency Funds.

Figure 18:

Proposed Budgeted Revenue by Fund FY 2026/27 - $68,777,995

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Proposed Budgeted Expenditures by Fund

Figure 19 below illustrates the budgeted expenditure distribution for the FY 2026/27 budget across all funds. The largest share of the City's expenditures, constituting 42.66%, is in the General Fund. The Water & Sewer Revenue Fund has the second-highest number of expenditures at 25.02%. Next, in terms of expenditures, is the Sales Tax Revenue Fund at 3.42% of the City's total expenditures. The remaining 28.90% of the City expenditures is distributed among Special Revenue Funds and Trust and Agency Funds.

Figure 19:

Proposed Budget Estimated Expenditures by Fund FY 2026/27 - $73,650,102

Revenue and Expenditure Trends

Figure 20 below illustrates the budgeted revenue and expenditures trends for the last five years.

Revenue Trends: The revenue trend line illustrates the City's income from various sources, such as taxes (property, sales, income), fees (permits, licenses, fines), grants, and any other inflow of funds. It allows City officials, stakeholders, and residents to track how revenue has evolved over time.

Expense Trends: The expense trend line represents the City's expenditures, including operational costs, salaries, debt service, infrastructure investments, and other spending categories. It provides insights into how the City allocates its resources.

The City revenue and expense trend chart serves as a valuable tool for monitoring and analyzing the City's financial health, performance, and sustainability.

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Figure 20: Five-Year City Budgeted and FY 2026/27 Budgeted Revenue and Expenditure Trends

104

Figure 21:

Proposed Budget Fund Balance by Fund FY 2026/27 - $122,420,429

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BUDGET SUMMARY Fiscal Year 2026/27 THE PROPOSED OPERATING BUDGET EXPENDITURES OF THE CITY OF EUSTIS, FL ARE 7.6% LESS THAN LAST YEAR'S TOTAL OPERATING EXPENDITURES

THE TENTATIVE, ADOPTED, AND/OR FINAL BUDGETS ARE ON FILE IN THE OFFICE OF THE ABOVE REFERENCED TAXING AUTHORITY AS A PUBLIC RECORD.

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Figure 22:

Proposed Budget Funds FY 2026/27: Revenues vs. Expenditures Total Revenues - $68,777,995

Total Expenditures - $73,650,102

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Funds Summary by Spending Component FY 2026/27

Total Expenditures

$29,162,159$22,898,469$8,746,750$1,088,600$11,754,124$73,650,102

108

Figure 23:

Proposed Budget Funds FY 2026/27: Expenditures by Spending Component Total Expenditures - $73,650,102

Total Employees: 329

109

Figure 24:

Proposed Budget Special Revenue Funds FY 2026/27: Revenues vs. Expenditures Total Revenues - $7,065,575

Special Revenue Funds Revenues

Total Expenditures - $8,169,993

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Figure 25:

Proposed Budget Enterprise Funds FY 2026/27: Revenue vs. Expenditures Total Revenues - $17,785,000

Enterprise Funds Revenues

Total Expenditures - $26,055,904

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Figure 26:

Proposed Budget Trust & Agency Funds FY 2026/27: Revenue vs. Expenditures Total Revenues - $10,053,870

Trust & Agency Funds Revenues

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City Funds and Affiliated Departments Fiscal Year 2026/27

GENERAL FUND - 001

Administration: City Commission – 511 City Manager – 512 Finance – 513 City Attorney – 514 Human Resources – 516 Development Services – 515 Police - 521 Fire – 522 Public Works (Fleet/Facilities) – 541 | 517 Library – 571 Parks & Recreation – 572 Non-Departmental – 581

SALES TAX CAPITAL PROJECTS FUND – 010 – Capital Projects

Capital Projects/Equipment – Various Departments – 512|513|515|521|522|541|517|571|572

LIBRARY CONTRIBUTION FUND – 006 – Special Revenue

Library - 571

LAW ENFORCEMENT EDUCATION FUND – 011 – Special Revenue

Police – 521

POLICE FORFEITURE FUND – 012 – Special Revenue

Police – 521

STREET IMPROVEMENT FUND – 013 – Special Revenue

Public Works (Transportation) – 541

GRANTS FUND – 018 - Special Revenue

Non-Departmental – 581

COMMUNITY REDEVELOPMENT TRUST FUND – 014 – Special Revenue

City Manager – 512

Capital Projects – Various Departments – 512 | 517 | 552 | 541

BUILDING SERVICES FUND – 020 – Special Revenue

Development Services – 515

STORMWATER UTILITY REVENUE FUND – 049 – Special Revenue

Public Works (Stormwater) – 538

Capital Projects/Equipment – Stormwater 538

WATER & SEWER REVENUE FUND – 040 – Enterprise

Public Utilities – 536 Water – 533 Wastewater – 535

Non-Departmental – 536

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City Funds and Affiliated Departments (Continued)

RECLAIMED WATER PROJECT FUND - 041 - Enterprise

Capital Projects – Reclaimed Water - 533|535

WATER & SEWER RENEWAL & REPLACEMENT FUND – 042 – Enterprise Capital Projects/Equipment – Public Utilities, Water, Sewer – 536 | 533 | 535 GRANT FUND – UTILITIES – 048 – Enterprise

Capital Projects/Equipment – Public Utilities, Water, Sewer – 536 | 533 | 535

FIRE PREVENTION CAPACITY EXPANSION TRUST FUND – 059 – Trust & Agency Capital Projects/Equipment – Fire – 522

GREENWOOD CEMETERY TRUST FUND – 060 – Trust & Agency

Public Works – 517

POLICE PENSION FUND – 061 – Trust & Agency

Police & Finance – 513|521

FIRE PENSION FUND – 062 – Trust & Agency

Fire & Finance – 513 | 522

PARKS & RECREATION CAPACITY EXPANSION TRUST FUND – 063 – Trust & Agency Capital Projects/Equipment – Parks & Recreation – 572

LAW ENFORCEMENT CAPACITY EXPANSION TRUST FUND – 064 – Trust & Agency

Capital Projects/Equipment – Police – 521 WATER IMPACT TRUST FUND – 065 – Trust & Agency Capital Projects/Equipment – Water – 533 SEWER IMPACT TRUST FUND – 066 – Trust & Agency Capital Projects/Equipment – Wastewater – 535 ECONOMIC DEVELOPMENT TRUST FUND – 068 – Trust & Agency City Manager – 512 | 552 SECURITY EXPANSION TRUST FUND – 069 – Trust & Agency

LIBRARY CAPACITY EXPANSION TRUST FUND – 069 – Trust & Agency Library – 572

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Organizational Chart

115

Figure 28:

City Department - Fund Relationship

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Department Units Descriptions, Goals, and Objectives

Administration:

City Commission - A City Commission is a form of government in which individual officials are elected to represent the citizens of the community. The City Commission is responsible for providing legislative direction for the City to operate and govern. The City Commission consists of five Commission seats and Commissioners are elected to four-year terms with elections held in even-numbered years. The elected officials are part of the City's Strategic Plan Goal #3, to provide quality, cost-effective public services.

City Manager Office - The City Manager is the Chief Executive Officer of the City and provides centralized direction and leadership for the effective administration and operations of all City services as directed by the City Commission. The City Manager annually prepares and submits a balanced budget to the City Commission that is in adherence with the policy goals and objectives established by the City Commission. Events & Tourism is a part of the City Manager's office and provides cultural and entertainment venues which help increase the City's regional profile. In support of the City Strategic Plan Goal #3, to provide quality, cost-effective public services, the City Manager's Office also responds to public record requests, performs public relations duties with the public and media, and prepares City Commission agendas and minutes.

City Clerk Office – The City Clerk provides quality services to the public. These services include maintaining and ensuring control of all official City documents and the preservation of historical records, attesting the mayor's signature and assuring compliance with Florida's Public Records and Sunshine Laws. As a qualifying officer of City elections, the City Clerk works closely with candidates for City Commission. Under the direction of the City Manager, the City Clerk advertises, notices, and records all meetings of the City Commission and serves as record's custodian and election coordinator.

Human Resources Department – Human Resources recruits, interviews, tests, screens, and hires all City employees. They also ensure compliance with all Federal and State Laws and administration of the City's personnel rules and regulations. Human Resources also handles labor relations matters, worker's compensation issues, and records management functions. They also regularly conduct pay and job classification studies to ensure internal and external equity. Additionally, the Department manages the City's orientation and employee recognition programs and develops and implements employee training programs relating to customer service, supervisor training, and safety. In support of the City Strategic Plan Goal #3, to provide quality, cost-effective public services, the Human Resources Department monitors employee compensation and benefits packages and compares them with the local public and private sector labor markets, ensuring the recruiting and retaining of quality employees.

Finance Department – Finance develops and implements financial and accounting policies and procedures. The Department also provides and maintains a sound accounting system for protecting the City's assets by recording and reporting financial transactions in accordance with generally accepted accounting principles, Government Accounting Standards Board Pronouncements and other legally mandated standards. The Finance Department prepares the City's Annual Financial Report which is audited by a Certified Public Accounting firm. The Finance Department assists the City Manager in the preparation, implementation and monitoring of the City's annual budget and five-year Capital Improvement Plan. The Department's services are related to the City Strategic Plan Goal #3, to provide quality, cost-effective public services: annual financial report, annual budgeting, millage rate information, investments, accounts payable, accounts receivable (excluding utilities), payroll, grant writing, debt service compliance, compliance with State & Federal laws, monitoring and recording all fiscal activities. The City's Information Technology Department is included in the Finance Department. This Department oversees all the City's hardware and software, IT related programs and services, cybersecurity, HelpDesk and many other IT related functions. The services provided by this Department are related to the City Strategic Plan Goal #3, to provide quality, cost-effective public services.

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Department Units Descriptions, Goals and Objectives (Continuation)

Economic Development Department – This Department creates strategies and programs that aim to diversify the City's tax base, to promote private/public partnerships, and support the future growth of the City. The Economic Development Department cultivates enterprise and opportunity in the City. This Department includes the Community Redevelopment Agency (CRA). The activities and programs offered within the CRA are administered by the CRA Board. The Board is a seven-member board created by the City. The Board is comprised of the five City Commissioners and two other individuals appointed by the City. The CRA is responsible for developing and implementing the CRA Plan that addresses the unique needs of the targeted area. The Plan includes the overall goals for redevelopment in the area and identifies the types of projects planned within the CRA.

Development Services Department – This Department provides centralized development related services for the City. The Department is involved in a variety of land use-oriented special projects that are of benefit to the community. These include economic development, building services, new construction, City improvements, annexations, housing regulations, historic preservation and many other services. These services are related to the City Strategic Plan Goal #2, to expand the local economy.

Police Department – The Police Department is responsible for the enforcement of Federal and State laws as well as City Ordinances. The Department also carries out criminal, fraud, narcotics, and crime scene investigations. The Department also addresses areas of community concern. The Department provides certified school crossing guards for the safety of children enroute to school. The Department maintains all reporting requirements using local and State agency databases and ensures transfer of reports to the State Attorney's Office and the Courts. The Department's mission includes the pursuit of excellence in providing professional, courteous, fair and equitable law enforcement services, to ensure crime prevention, and to protect the rights of citizens and visitors of the City. The Department's goal is to increase visibility, create positive interaction, and improve communication within the Community. This goal provides support to the City's Strategic Plan Goal #3 which is to provide quality, cost effective public services. This Department also includes the Code Enforcement division.

Fire Department – The Fire Department exists to protect the lives and property of residents and visitors within the City. The Department provides 24-hour availability in response to calls for service for fire suppression relating to structures, vehicles, and wild land (brush) fires. In addition, the Department provides 24-hour response to all emergency and non-emergency medical calls for service within the City, including all traffic crashes with injuries. The Fire Department also reviews building site and fire suppression plans in accordance with State Law and City Ordinance and conducts annual fire inspections of businesses within the City. The Fire Department is responsible for Emergency Services and works closely with the Florida State Emergency Management Department (FDEM). The Fire Department provides expertise, programs and services to help City departments prepare for, respond to, recover from, and mitigate against natural disasters and other emergencies affecting the City. The services of this Department support the City's Strategic Plan Goal #1 to be a beautiful, livable City, and in support of Goal #3, to provide quality, cost-effective public services. The Fire Department will continue to benefit the residents of Eustis by providing quality service for personal safety and property protection while at the same time saving money on property insurance costs.

Public Works Department – Public Works is responsible for the maintenance of the City's infrastructure and assets, maintaining safety and quality of life for residents and visitors. On the General Fund side, the Department handles the maintenance of City facilities, custodial vehicles, upkeep of parks and open spaces, and administration of the cemetery. On the Streets and Transportation side, the Department manages public land, easements, street lighting and control, street maintenance, construction, tree management and landscaping. On the Stormwater side, the Department handles maintenance of all City storm and drainage infrastructure including inlets, swales, ponds and pipes.

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Department Units Descriptions, Goals and Objectives (Continuation)

Public Works Department (Continued) – Regarding City utilities, the Department handles administration, drafting, engineering, and project management in support of Water & Sewer enterprises. These services are in support of the City's Strategic Plan Goal #1, to be a beautiful, livable City with a vibrant lakefront identity, and in support of Goal #3, to provide quality, cost-effective public services. The Public Works Department will continue to strive to maintain high quality with regards to the continuing repair, implementation, and maintenance of infrastructure and assets within the City. Environmental Control also falls within the Public Works Department.

Parks & Recreation Department – This Department offers a wide variety of organized recreational programs and activities for people of all ages. The Department has several sites and facilities throughout the City for both passive and active recreational activities. The Department offers programs, team sports leagues, and other classes for health, wellness, and quality of life for City residents. The Department oversees eleven City parks and oversees the aquatic center which offers swim teams use of the pool, swim lessons, fitness programs, and lifeguard lessons. The Department also runs the rental program for City facilities for private use. The services of this Department support the City's Strategic Plan Goal #1, to be a beautiful, livable City with a vibrant lake-front identity; and Goal #3 to provide quality, cost-effective public services. The Department aims to provide diversity in recreational opportunities that are inclusive of all age groups, cultural backgrounds, and economic status, to continue development of recreational facilities by developing a high quality, diversified recreation system that provides for all ages and interest groups, to enhance neighborhood resources and facilities equitably across the City, and to make the City a better place to live, work, and play by strengthening community image and sense of home and promote positive experiences through parks and recreation.

Eustis Memorial Library – The library provides the community with a high-quality public library. The library provides access to information resources, facilities and staff and services that respond to the pursuit of knowledge, education, lifelong learning, cultural enrichment and recreational reading and listening. The library provides services to the City as directed by the City Commission. The library is a department within the City overseen by the City Manager and has a Board of Trustees. The Board of Trustees are appointed by the City Commission to advise on matters of policy/procedure. Library services support City Strategic Plan Goal #3.

The objectives of the library include providing access to information resources and book availability, focusing on the contribution to the education of the community with free quality programs and instruction; encouraging an environment of innovation and positivity allowing patrons to creatively launch ideas; improving user access to library print and computer-based material by maintaining and upgrading computers, software, and digital collections; promoting community ownership of the library as a personal resource by employing quality individuals with excellent customer service skills and continuing to improve building features to provide a welcoming environment to residents of the community.

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GENERAL FUND

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122

Fund Type General Fund Proنىte

General Fund

General Fund | Governmental Revenue Major Fund % Change Proposed/ Projected

Account DESCRIPTION Actual FY 23-24 Actual FY 24-25 Adopted FY 25-26 Projected FY 25-26 Proposed FY 26-27

311 PROPERTY TAXES

311-01-00 GENERAL PROPERTY TAXES 10,680,930 11,938,921 12,896,877 12,896,877 13,736,211 6.81%

311-02-00 DELINQUENT TAXES 297,118 375,300 275,000 275,000 300,000 9.09%

Subtotal 10,978,047 12,314,220 13,171,877 13,171,877 14,036,211 6.56%

313 FRANCHISE FEES

313-10-00 DUKE ENERGY 1,692,189 1,877,730 1,800,000 1,800,000 1,900,000 5.56%

313-11-00 SUMTER ELECTRIC 40,540 69,763 42,000 42,000 60,000 42.86%

313-40-00 TECO PEOPLES GAS 60,318 81,453 65,000 65,000 75,000 15.38%

314-11-00 SUMTER ELECTRIC 50,130 44,916 55,000 55,000 50,000 -9.09%

313-70-01 WASTE MANAGEMENT COMM. 171,308 197,318 185,200 185,200 200,000 7.99%

Subtotal 2,076,004 2,347,121 2,207,200 2,207,200 2,365,000 7.15%

314-315 UTILITY TAXES

314-10-00 DUKE ENERGY 2,135,679 2,452,774 2,200,000 2,200,000 2,500,000 13.64%

321-20-00 PENALITY 202 14 1,000 1,000 500 -50.00%

314-40-00 TECO PEOPLES GAS 60,655 57,240 60,000 60,000 59,000 -1.67%

314-44-00 OTHER UTILITY TAXES 28,919 18,950 43,000 43,000 43,000 0.00%

315-10-00 TELECOM. SHARED 630,586 650,947 656,000 656,000 660,000 0.61%

Subtotal 3,342,270 3,661,974 3,454,000 3,454,000 3,751,000 8.60%

316-329 LICENSES & PERMITS

321-10-00 LICENSE CHARGES 80,722 28,734 50,000 50,000 35,000 -30.00%

331-20-02 BYRNE JAGD-R7078 GAS MASK 7,150 - - - - 0.00%

322-00-00 BUILDING & RELATED PERMITS 2,932 - 3,000 3,000 - -100.00%

322-10-00 BUILDING - 1,292 - - - 0.00%

329-60-00 FIRE REVENUE FEE 1,840 12,688 2,000 2,000 25,000 1150.00%

Subtotal 86,766 43,447 57,500 57,500 62,000 7.83%

331-339 INTERGOVERNMENTAL

331-20-01 BYRNE JAGD-75025 GAS MASK 4,060 - 6,000 6,000 - -100.00%

341-347 CHARGES FOR SERVICES

341-90-04 LIEN SEARCH 30,118 28,688 30,000 30,000 30,000 0.00%

334-20-06 AR-15 REBUILD 8c090 3,947 - - - - 0.00%

334-20-30 PEDISTRIAN & BICYCLE SAFE 1,603 4,111 - - - 0.00%

334-40-00 FEMA HURR IRMA FY16 & 17 36,257 - - - - 0.00%

334-50-00 STATE GRANT-HURRICANE IAN 65,891 - - - - 0.00%

334-60-01 FEMA HURRICANE HELENE - 17,710 - - - 0.00%

335-10-12 STATE REVENUE SHARE 1,009,548 1,027,752 1,255,984 1,255,984 1,244,018 -0.95%

335-10-14 MOBILE HOME LICENSE 11,840 13,157 12,000 12,000 12,000 0.00%

335-10-15 ALCOHOL BEVERAGE LICENSE 18,739 22,886 20,000 20,000 25,000 25.00%

335-10-18 0.5 CENT SALES TAX 1,719,870 1,699,886 1,645,514 1,645,514 1,587,136 -3.58%

335-20-10 FIREFIGHTER SUPP. COM. 9,235 5,895 9,500 9,500 9,500 0.00%

337-50-00 INCUBATOR - - - - 75,000 100.00%

338-70-00 COUNTY LIBRARY FUNDING 121,695 120,834 122,000 122,000 122,000 0.00%

338-70-01 COUNTY LIBRARY INTERNET 8,100 8,100 13,700 13,700 15,000 9.49%

339-21-00 HOUSING AUTHORITY - (20,006) - - 20,000 100.00%

Subtotal 3,023,367 2,900,316 3,084,698 3,084,698 3,109,654 0.81%

341-90-11 DEVELOPMENT SERVICES PLAN 36,611 54,382 45,000 45,000 40,000 -11.11%

341-90-43 GARBAGE BILLING 53,753 53,413 55,000 55,000 55,000 0.00%

342-10-00 SERVICE CHARGES 4,115 3,349 4,500 4,500 4,500 0.00%

342-10-01 FALSE ALARMS 5,265 - - - - 0.00%

342-10-03 RESOURCE OFFICERS 301,143 311,614 569,784 569,784 659,888 15.81%

342-20-21 LAKE COUNTY EMS 150,535 168,033 175,000 175,000 175,000 0.00%

342-20-22 HYDRANT MAIN 5,167 - - - - 0.00%

342-20-40 FIRE INSPECTION 41,134 42,123 50,000 50,000 50,000 0.00%

343-80-10 CEMETERY OPEN AND CLOSE 14,350 22,230 16,000 16,000 16,000 0.00%

343-80-20 PERPETUAL CARE - 300 - - 2,500 100.00%

344-00-00 UMATILLA STREET SERVICE 500 1,500 - - - 0.00%

347-10-01 LIBRARY USER FEES 150 7,510 200 200 200 0.00%

347-10-02 PASSPORT FEES 6,610 3,898 10,000 10,000 6,000 -40.00%

347-10-21 LIBRARY BOOK SALES 3,431 2,772 4,000 4,000 4,000 0.00%

313-70-00 WASTE MANAGEMENT 111,650 120,858 115,000 115,000 130,000 13.04%

314-30-00 CITY WATER 436,302 437,147 440,000 440,000 439,000 -0.23%

321-30-00 BTR/APPLICATION FEES 1,070 720 1,500 1,500 1,500 0.00%

331-20-06 OPERATION SLOW DOWN 5,431 (10) - - - 0.00%

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Fund Type

General Fund

General Fund | Governmental Revenue Major Fund % Change Proposed/ Projected

Account DESCRIPTION Actual FY 23-24 Actual FY 24-25 Adopted FY 25-26 Projected FY 25-26 Proposed FY 26-27

347-20-03 ONLINE PROGRAMS - - - - - 0.00%

347-50-03 LAKEVIEW ROOM 4,227 1,870 3,000 3,000 3,000 0.00%

347-50-04 SENIOR SERVICES 3,430 (115) - - - 0.00%

347-50-05 COMMUNITY SERVICES 86,358 74,608 80,000 80,000 80,000 0.00%

347-50-07 GARDEN ROOM 7,347 8,220 6,000 6,000 7,500 25.00%

347-50-08 FERRAN PARK 1,973 820 2,000 2,000 1,000 -50.00%

347-50-09 WOMAN'S CLUB 34,689 22,751 30,000 30,000 32,000 6.67%

347-50-10 FIELD RENTALS 1,382 3,027 1,500 1,500 1,500 0.00%

Subtotal 961,568 975,587 1,241,984 1,241,984 1,339,088 1,339,088 7.82%

351-359 FINES & FORFEITURES

351-10-01 SCHOOL SPEED ZONE FINES 24,675 12,328 - - 360,000 100.00%

352-10-00 LIBRARY LATE BOOK FINES 7,606 - 7,000 7,000 7,000 0.00%

354-10-00 LOCAL ORDINANCE 377,935 207,555 275,000 275,000 200,000 -27.27%

359-10-00 FORFEITURES 2,225 5,525 3,000 3,000 6,000 100.00%

359-11-00 POLICE FORFEITURES 3,588 10,394 - - - 0.00%

Subtotal 416,099 235,802 285,000 285,000 285,000 573,000 101.05%

361-369

388 & 399 MISCELLANEOUS

361-10-00 INTEREST 946,804 875,802 950,000 950,000 900,000 -5.26%

361-30-00 NET INC (DEC) (2,862) (4,885) - - - 0.00%

362-00-01 LEASE INCOME 25,859 9,448 - - - 0.00%

362-05-00 MARIES PIZZARIA - - - - 18,000 100.00%

362-10-00 AT&T CINGULAR LEASE 51,698 54,283 52,500 52,500 52,500 0.00%

362-20-00 VERIZON LEASE 44,595 46,379 47,000 47,000 47,000 0.00%

362-30-00 WIN1 MINISTRIES LEASE 32,900 39,517 48,000 48,000 48,000 0.00%

362-40-00 LAKE COMMUNITY ACTION AGENCY - - - - 30,000 100.00%

362-50-00 LAKE EUSTIS CHAMBER - - - - 7,000 100.00%

362-70-00 LEASE CHARGE POINT - 4,222 - - 500 100.00%

364-10-00 CEMETERY LOT 32,200 45,280 40,000 40,000 40,000 0.00%

364-30-00 SALE OF FIXED ASSETS 3,000 29,023 5,000 5,000 5,000 0.00%

366-10-00 DONATIONS 500 - 500 500 - -100.00%

366-20-00 COUNTY AID - - - - 127,500 100.00%

369-20-00 INSURANCE CLAIMS - - 5,000 5,000 5,000 0.00%

369-30-00 OTHER MISCELLANEOUS 196,467 172,809 100,000 100,000 75,000 -25.00%

369-30-02 STREET PARTY 81,218 162,953 100,000 100,000 120,000 20.00%

369-30-03 AMAZING RACE 5,835 12,095 20,000 20,000 35,000 75.00%

369-30-05 AMERICA IN BLOOM - 15,000 - - - 0.00%

369-30-20 REIMB. BUILDING SERVICES 94,166 - 100,000 100,000 100,000 0.00%

369-40-00 EV CHARGE STATION FEES 392 - - - - 0.00%

369-41-00 PURCHASING CARDS 17,687 18,253 20,000 20,000 25,000 25.00%

369-45-00 TRYON CLEAR VIEW GROUP - - - - - 0.00%

369-90-00 CANCEL PRIOR YEAR EXPEND. 6,670 93 2,500 2,500 1,000 -60.00%

381 FUND TRANSFERS

381-14-00 TRANSFER FROM CRA - - 275,814 275,814 334,729 21.36%

381-20-00 TRANSFER FROM BLDG. FUND - 115,056 174,753 174,753 115,000 -34.19%

381-40-00 TRANSFER FROM W&S 2,300,000 2,300,000 2,600,000 2,600,000 2,730,000 5.00%

381-49-00 TRANSFER FROM STORMWATER - - 74,000 74,000 81,500 10.14%

381-59-00 TRANSFER FROM FIRE IMPACT 1,048 800 - - - 0.00%

381-60-00 TRANSFER FROM GREENW. CEMET. 4,950 544 11,000 11,000 11,000 0.00%

381-61-00 TRANSFER FROM POLICE FUND - - 1,100 1,100 1,100 0.00%

381-62-00 TRANSFER FROM FIRE FUND - - 1,100 1,100 1,100 0.00%

381-63-00 TRANSFER FROM P&R 2,487 2,500 - - - 0.00%

381-64-00 TRANSFER FROM LAW ENFORCM. 985 465 - - - 0.00%

381-65-00 TRANSFER FROM WATER IMPACT 6,449 3,000 - - - 0.00%

351-10-00 POLICE FINES 70 - - - - 0.00%

347-20-01 ANNUAL SPORTS ACTIVITIES 163,594 160,700 150,000 150,000 165,000 10.00%

347-20-02 SWIMMING POOL RECEIPTS 5,686 3,895 10,000 10,000 6,000 -40.00%

399-99-99 POLICE SECURITY DETAIL 66,097 60,246 57,000 57,000 50,000 -12.28%

Subtotal 1,603,225 1,540,518 1,547,500 1,547,500 1,547,500 1,686,500 8.98%

381-66-00 TRANSFER FROM SEWER IMPACT 16,006 8,000 - - - 0.00%

381-69-00 TRANSFER FROM LIBRARY IMPACT 1,216 1,000 - - - 0.00%

Subtotal 2,333,141 2,431,365 3,137,767 3,137,767 3,274,429 4.36%

TOTAL REVENUE 24,820,487 26,450,352 28,187,526 28,187,526 30,196,882 7.13%

124

125

DEPARTMENT DESCRIPTION

A City Commission is a form of municipal government in which individual officials are elected to represent the citizens of the community. The governing board is called a commission and is responsible for providing legislative direction for the city to operate and govern. An odd number of commissioners are elected to prevent a stalemate in the voting process.

The City of Eustis has a council-manager form of government. The Commission consists of five Commission seats and commissioners are elected to four-year terms with elections held in even-numbered years. The elections are nonpartisan in nature. Elections for seats 3, 4, and 5 are held during presidential election years. Commission terms begin in January following the election year. The Commission forms and directs the policies of the City government to achieve goals in the interests of the residents of the City of Eustis.

126

127

Function Department Program

General Government City Commission Legislative

511 1100

Account DESCRIPTION Actual FY 23-24 Actual FY 24-25 Adopted FY 25-26 Projected FY 25-26 Proposed FY 26-27

PERSONNEL SERVICES

511-10-12 Executive Salaries 41,738 46,357 48,331 48,331 57,847

511-10-16 Christmas Bonus - - - - 500

511-10-21 FICA Taxes 3,078 3,451 3,697 3,697 4,425

511-10-23 Life & Health Insurance - 22,938 29,039 29,039 29,928

Subtotal 44,815 72,746 81,067 81,067 92,701

OPERATING

511-30-40 Travel & Per Diem 22,880 27,849 38,800 38,800 37,300

511-30-42 Transp/Postage 2 1 - - -

511-30-47 Printing & Binding 236 - 600 600 300

511-30-48 Promotional Activities 6,897 3,296 3,650 7,862 5,000

511-30-49 Other Current Charges 155 365 850 850 850

511-30-51 Office Supplies 139 120 150 150 150

511-30-52 Operating Supplies - 3,015 1,500 1,500 1,500

511-30-54 Books, Pub, Subscriptions 1,412 1,376 5,950 5,950 7,700

Subtotal 31,720 36,023 51,500 55,712 52,800

CAPITAL OUTLAY

512-60-64 Machinery & Equipment - - 30,000 30,000 -

Subtotal - - 30,000 30,000 -

Non-Operating Expenditures

511-82-10 Other Grants & Aid/Private Org. - 6,900 22,500 19,600 153,800

Subtotal - 6,900 22,500 19,600 153,800

PROGRAM TOTAL 76,535 115,668 185,067 186,379 299,301

128

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129

CITY MANAGER

DEPARTMENT DESCRIPTION

The City Manager is the Chief Executive Officer of the City and provides centralized direction and leadership for the effective administration and operations of all municipal services as directed by the City Commission. The City Manager prepares and submits to the Commission a balanced plan of municipal services in adherence to the policy goals and objectives established by the Commission. The City Manager oversees all City utilities and enforces all laws, ordinances, and regulations relative to the promotion of public health and welfare of the community. Under the direction of the City Manager, the City Clerk advertises, notices, and records all meetings of the Commission and serves as records custodian and election coordinator. The Economic Development Office cultivates enterprise and opportunity in the City, and the Events & Tourism Office provides cultural and entertainment venues which increase the City's regional profile.

130

Function Department Summary

Program Title Budget by Program FTE Positions PTE Positions

• 1200 Administration $ 655,099 3

1200 Administration $ 655,099 3 0

• 1210 City Clerk 298,591 2

1210 City Clerk 298,591 2 0

• 1220 Economic Development 326,390 2
• 1240 Events/Communications 1,249,194 5

1220 Economic Development 326,390 2 0

• 1250 Historical Museum 0 0

1240 Events/Communications 1,249,194 5 2

1250 Historical Museum $ 0 0 0

Department Total $ 2,529,275 12 2

• Department Total $ 2,529,275 12

Personnel Services 1,178,270 1,341,391 1,527,209 1,490,709 1,362,001 -8.63%

Operating Expenses 794,243 888,630 1,127,575 1,290,835 1,137,274 -11.90%

Subtotal 1,972,513 2,230,021 2,654,784 2,781,544 2,499,275 -10.15%

Capital Outlay 201,832 25,248 - - - 0.00%

Non-Operating Expenditure - 7,000 4,000 7,000 30,000 100.00%

Department Total 2,174,345 2,262,269 2,658,784 2,788,544 2,529,275 -9.30%

General Government City Manager Administration

512 Programs | Capital | Positions

Budget by FTE PTE

Summary by Category Actual FY 23-24 Actual FY 24-25 Adopted FY 25-26 Projected FY 25-26 Proposed FY 26-27 % Change Proposed/ Projected

131

• Events Assistant 2 1 2 1 1
• CRA Coordinator - - - 1 1
• Total 9 11 12 13 12

Included

132

Function Department Program

General Government City Manager Administration

PERSONNEL SERVICES

512-10-12 Regular Salaries & Wages 245,400 387,953 396,234 367,234 449,271

512-10-16 Christmas Bonus 200 300 300 300 300

512-10-21 FICA Taxes 17,445 28,150 30,373 30,373 34,430

512-10-23 Life & Health Insurance 25,396 41,288 43,559 43,559 44,892

512-10-24 General Employee Retirement 15,089 23,096 23,804 23,804 26,986

Subtotal 303,531 480,787 494,769 465,769 556,379

512-30-34 Other Contractual Services 1,726 7,235 2,000 46,700 -

512-30-40 Travel & Per Diem 13,609 13,133 23,340 23,340 23,340

512-30-41 Communication Services 1,074 1,351 2,000 2,000 1,000

512-30-42 Transportation & Postage 1 4 100 100 -

512-30-46 Repair & Maintenance 1,547 2,156 2,500 3,100 1,500

512-30-47 Printing & Binding 103 - 100 100 100

512-30-48 Promotional Activities 2,650 1,539 3,100 3,100 1,800

512-30-51 Office Supplies 2,344 2,025 3,200 3,200 -

512-30-52 Operating Supplies 1,122 6,460 1,000 3,400 5,000

512-30-54 Books, Pub, Subscriptions 1,216 2,270 3,480 3,480 3,480

512 1200

Account DESCRIPTION Actual FY 23-24 Actual FY 24-25 Adopted FY 25-26 Projected FY 25-26 Proposed FY 26-27

512-10-14 Overtime - - 500 500 500

OPERATING

512-30-31 Professional Service 68,187 50,000 60,000 129,320 60,000

512-30-56 Vehicle Repair & Maintenance - - - - 2,500

Subtotal 93,580 86,173 100,820 217,840 98,720

162,553 - - - -

Subtotal 162,553 - - - -

PROGRAM TOTAL 559,663 566,960 595,589 683,609 655,099

CAPITAL OUTLAY

133

Function Department Program

General Government City Manager City Clerk

512 1210

PERSONNEL SERVICES

512-10-12 Regular Salaries & Wages 88,909 99,120 163,948 146,718 172,519

512-10-13 Other Salary & Wages 36,349 35,804 6,000 16,000 -

512-10-14 Overtime 171 - 500 500 500

512-10-16 Christmas Bonus 200 200 300 300 200

512-10-21 FICA Taxes 9,584 10,143 1,306 13,006 13,259

512-10-23 Life & Health Insurance 12,190 13,763 29,039 25,130 29,928

512-10-24 General Employee Retirement 5,425 5,947 9,867 9,307 10,381

512-30-34 Other Contractual Services 19,383 47,431 57,155 57,155 61,417

512-30-40 Travel & Per Diem 2,049 3,100 - 3,200 2,807

512-30-42 Transportation & Postage 67 115 200 200 200

512-30-46 Repair & Maintenance - 208 400 400 400

512-30-47 Printing & Binding - - 100 100 -

512-30-49 Other Current Charges 20,274 17,923 21,000 21,000 4,500

512-30-51 Office Supplies 168 15 800 800 1,010

512-30-52 Operating Supplies 470 650 - - -

512-30-54 Books, Pub, Subscriptions 285 461 600 600 620

Account DESCRIPTION Actual FY 23-24 Actual FY 24-25 Adopted FY 25-26 Projected FY 25-26 Proposed FY 26-27

Subtotal 152,828 164,977 210,961 210,961 226,787

OPERATING

512-30-55 Employee Study Expense 1,500 - 5,750 2,550 850

Subtotal 44,196 69,902 86,005 86,005 71,804

PROGRAM TOTAL 197,024 234,879 296,966 296,966 298,591

134

Function Department Program

General Government City Manager Economic Development

512 1220

PERSONNEL SERVICES

512-10-12 Regular Salaries & Wages 310,552 183,091 195,777 195,777 65,600

512-10-16 Christmas Bonus 500 300 200 200 50

512-10-21 FICA Taxes 24,119 14,664 14,992 14,992 5,022

512-10-23 Life & Health Insurance 57,902 34,406 29,039 29,039 7,482

512-10-24 General Employee Retirement 44,151 35,273 11,747 11,747 3,936

Subtotal 446,429 277,418 251,755 251,755 82,090

512-30-34 Other Contractual Services - 19,680 - - 175,000

512-30-40 Travel & Per Diem 1,358 3,179 1,500 1,500 500

512-30-41 Communication Services 2,610 1,880 750 750 600

512-30-42 Transportation & Postage 11 1 400 400 -

512-30-44 Rental & Leases 1,800 - - - -

512-30-47 Printing & Binding 55 - 2,000 2,000 1,000

512-30-48 Promotional Activities 14,572 2,642 5,000 5,000 5,000

512-30-51 Office Supplies 1,476 911 1,500 1,500 1,500

512-30-52 Operating Supplies 2,781 1,068 1,000 1,000 1,000

512-30-54 Books, Pub, Subscriptions 1,541 - 200 200 4,700

512-60-64 Machinery & Equipment - - - - -

Subtotal - - - - -

Account DESCRIPTION Actual FY 23-24 Actual FY 24-25 Adopted FY 25-26 Projected FY 25-26 Proposed FY 26-27

512-10-14 Overtime 9,205 9,684 - - -

OPERATING

512-30-31 Professional Service 8,327 (7,996) 25,000 25,000 25,000

512-30-55 Employee Study Expense - - - - -

Subtotal 34,530 21,365 37,350 37,350 214,300

512-95-01 Marketing/Promotions/Advert. - - - - -

512-95-03 Economic Develop. Initiative - 7,000 - 3,000 30,000

512-95-09 Community Relations - - - - -

Subtotal - 7,000 - 3,000 30,000

PROGRAM TOTAL 480,960 305,783 289,105 292,105 326,390

CAPITAL OUTLAY

NON-OPERATING EXPENDITURES

135

Function Department Program

General Government City Manager Events & Tourism

512 1240

PERSONNEL SERVICES

512-10-12 Regular Salaries & Wages 186,073 289,331 377,817 370,317 345,200

512-10-14 Overtime 15,138 11,715 15,000 15,000 15,000

512-10-16 Christmas Bonus 400 600 600 600 500

512-10-21 FICA Taxes 14,683 23,146 31,014 31,014 28,512

512-10-23 Life & Health Insurance 44,697 69,960 87,117 87,117 74,820

512-10-24 General Employee Retirement 12,008 18,048 23,569 23,569 20,712

Subtotal 275,482 418,209 547,118 539,618 496,744

OPERATING

512-30-34 Other Contractual Services 274,137 295,748 245,500 375,500 253,000

512-30-40 Travel & Per Diem 4,537 7,697 11,250 11,250 9,500

512-30-41 Communication Services 763 1,827 5,700 5,700 7,700

512-30-42 Transportation & Postage 334 418 1,000 1,000 500

512-30-44 Rental & Leases 196,984 198,882 256,500 148,240 233,000

512-30-46 Repair & Maintenance 853 3,183 1,500 1,500 17,500

512-30-47 Printing & Binding - 4,473 11,500 11,500 8,500

512-30-48 Promotional Activities 86,098 124,393 137,000 117,000 114,500

512-30-51 Office Supplies 2,964 1,617 5,000 5,000 3,000

512-30-52 Operating Supplies 8,899 45,392 82,000 82,000 78,100

512-30-54 Books, Pub, Subscriptions 8,022 7,644 15,850 15,850 13,850

512-30-55 Employee Study Expense - 3,227 1,200 5,700 6,800

CAPITAL OUTLAY

Account DESCRIPTION Actual FY 23-24 Actual FY 24-25 Adopted FY 25-26 Projected FY 25-26 Proposed FY 26-27

512-10-13 Other Salary & Wages 2,483 5,410 12,000 12,000 12,000

512-30-31 Professional Services - 15,914 41,000 81,000 5,000

512-30-56 Vehicle Repair & Maintenance 132 773 1,500 1,500 1,500

512-60-64 Machinery & Equipment 39,279 25,248 - - -

Subtotal 39,279 25,248 - - -

512-95-01 Marketing/Promotion/Adver - - 2,000 2,000 -

512-95-03 Community Relations - - 2,000 2,000 -

Subtotal - - 4,000 4,000 -

PROGRAM TOTAL 898,485 1,154,646 1,367,618 1,406,358 1,249,194

Subtotal 583,724 711,189 816,500 862,740 752,450

NON-OPERATING EXPENDITURES

136

Function Department Program

General Government City Manager Historical Museum

512 1250

PERSONNEL SERVICES

512-10-14 Overtime - - 6,000 6,000 -

512-10-21 FICA Taxes - - 1,607 1,607 -

512-10-24 General Employee Retirement Subtotal - - - - -

512-30-34 Other Contractual Services 11,976 - 19,000 19,000 -

512-30-40 Travel & Per Diem - - 750 750 -

512-30-41 Communication Services 1,175 - 2,100 2,100 -

512-30-42 Transportation & Postage - - 250 250 -

512-30-44 Rental & Leases 6,152 - 17,000 17,000 -

512-30-46 Repair & Maintenance 5,415 - 21,500 21,500 -

512-30-47 Printing & Binding - - 1,200 1,200 -

512-30-48 Promotional Activities 2,497 - 12,000 12,000 -

512-30-51 Office Supplies 1,150 - 1,000 1,000 -

512-30-52 Operating Supplies 9,225 - 10,000 10,000 -

Account DESCRIPTION Actual FY 23-24 Actual FY 24-25 Adopted FY 25-26 Projected FY 25-26 Proposed FY 26-27

512-10-13 Other Salary & Wages - - 15,000 15,000 -

OPERATING

512-30-31 Professional Service - - - - -

512-30-54 Books, Pub, Subscriptions 623 - 2,100 2,100 -

Subtotal 38,213 - 86,900 86,900 -

PROGRAM TOTAL 38,213 - 109,507 109,507 -

137

DEPARTMENT DESCRIPTION

The Finance Department is responsible for the daily oversight of the City's finances, budget, treasury management, and internal controls. Department services include tax and revenue collection, accounts payable and payroll processing, accounting, and reporting, purchasing and procurement, budget preparation, and administration.

The Finance Department also handles the administration of the City's computer communications and data networks. Within the City's Water and Sewer enterprise, the Department also runs the monthly billing of the City's utilities and solid waste services and collects amounts due from customers. Finance Customer Service also provides account start and shut-off services as well as monthly meter readings.

139

Function Department Summary

Program Title Budget by Program FTE Positions PTE Positions

1300 Financial Services Admin. $ 1,038,048 8 -

1350 Information Technology 806,138 4 -

General Government Finance Administration

513 Programs Capital Positions

1360 Purchasing 335,428 3 -

Department Total $ 2,179,615 15 -

Capital Request

1350 Computer Equipment $ 5,000

Personnel Services 1,054,372 1,364,307 1,551,021 1,551,021 1,553,134 0.14%

Operating Expenses 332,801 468,775 567,530 600,230 621,481 3.54%

Subtotal 1,387,173 1,833,082 2,118,551 2,151,251 2,174,615 1.09%

Capital Outlay 8,484 11,000 34,200 9,304 5,000 -46.26%

Department Total 1,395,656 1,844,082 2,152,751 2,160,555 2,179,615 0.88%

Total $ 5,000

Summary by Category Actual FY 23-24 Actual FY 24-25 Adopted FY 25-26 Projected FY 25-26 Proposed FY 26-27 % Change Proposed/ Projected

140

141

Function Department Program

General Government Finance Financial Services

513 1300

PERSONNEL SERVICES

513-10-12 Regular Salaries & Wages 511,594 615,267 664,442 664,442 634,998

513-10-16 Christmas Bonus 700 800 1,000 1,000 800

513-10-21 FICA Taxes 36,604 44,648 50,906 50,906 48,639

513-10-23 Life & Health Insurance 85,330 103,219 130,676 130,676 119,712

513-10-24 General Employee Retirement Subtotal 30,510 43,888 39,237 39,237 38,100

664,848 807,822 886,261 886,261 886,261 842,248

OPERATING

513-30-34 Other Contractual Services 5,649 39,584 - - -

513-30-40 Travel & Per Diem 2,122 3,810 16,500 4,500 12,300

513-30-41 Communication Services 560 993 1,500 1,500 1,600

513-30-42 Transportation & Postage 7,709 3,624 7,000 7,000 8,200

513-30-43 Utilities 61,829 58,594 53,300 53,300 56,000

513-30-46 Repair & Maintenance 32,494 29,045 44,500 67,500 45,500

513-30-47 Printing & Binding 6,310 5,521 5,400 5,400 5,000

513-30-49 Other Current Charges - - - - 1,000

513-30-51 Office Supplies 6,546 4,619 5,000 5,000 6,000

513-30-52 Operating Supplies - - 1,500 4,500 500

513-30-54 Books, Pub, Subscriptions 1,505 2,015 2,900 2,900 -

513-30-55 Employee Study Expense 1,165 7,873 15,305 10,305 13,500

CAPITAL OUTLAY

513-60-64 Machinery & Equipment 7,183 - - 500 -

Account DESCRIPTION Actual FY 23-24 Actual FY 24-25 Adopted FY 25-26 Projected FY 25-26 Proposed FY 26-27

513-10-14 Overtime 111 - - - -

513-30-32 Accounting & Auditing Fees 37,731 43,900 50,100 46,100 46,200

513-60-95 SBITA - 6,000 5,200 1,000 -

Subtotal 7,183 6,000 5,200 1,500 -

PROGRAM TOTAL 835,650 1,013,401 1,094,466 1,095,766 1,038,048

Subtotal 163,620 199,578 203,005 208,005 195,800

142

Function Department Program

General Government Finance Information Technology

513 1350

PERSONNEL SERVICES

513-10-14 Overtime - - - - -

513-10-16 Christmas Bonus 200 200 400 400 400

513-10-21 FICA Taxes 10,877 14,544 20,291 20,291 22,067

513-10-23 Life & Health Insurance 31,491 45,875 58,078 58,078 59,856

513-10-24 General Employee Retirement Subtotal 9,786 12,499 15,891 15,891 17,283

513-30-34 Other Contractual Services 30,295 69,000 112,600 141,600 164,800

513-30-40 Travel & Per Diem 633 1,374 5,000 3,000 2,500

513-30-41 Communication Services 26,392 28,990 23,400 27,900 24,400

513-30-46 Repair & Maintenance 100,936 152,593 194,400 199,100 208,881

513-30-51 Office Supplies 861 2,498 6,325 4,325 6,200

513-30-52 Operating Supplies - - 5,000 300 500

513-30-54 Books, Pub, Subscriptions 300 300 700 700 700

513-30-55 Employee Study Expense 250 2,485 4,000 2,200 4,000

513-30-56 Vehicle Repairs & Maintenance Subtotal 162 1,226 1,500 1,500 1,500

CAPITAL OUTLAY

Account DESCRIPTION Actual FY 23-24 Actual FY 24-25 Adopted FY 25-26 Projected FY 25-26 Proposed FY 26-27

513-10-12 Regular Salaries & Wages 157,821 208,503 264,845 264,845 288,052

210,174 281,621 359,505 359,505 359,505 387,657

OPERATING

513-60-64 Machinery & Equipment Subtotal - 5,000 29,000 7,804 5,000

- 5,000 29,000 7,804 5,000

PROGRAM TOTAL 370,004 545,087 741,430 747,933 806,138

159,830 258,466 352,925 380,625 413,481

143

Function Department Program

General Government Finance Purchasing

513 1360