caroline county 2010-11 budget 1 presentation to the caroline county board of supervisors february...

Caroline County 2010-11 Budget 1

Caroline County 2010-11 Budget

Presentation to the Caroline County Board of Supervisors

February 23, 2010


All-America City Recipient


Still Growing, Despite the Economy 2009 population – 28,245 2008 population – 27,942 2000 Census – 22,121 2010 Census activity underway. Kickoff

was held Tuesday, February 16 at Food Lion Plaza in Bowling Green


We’re Still Growing (cont)….. Unemployment is 9.6 percent. Only City of Fredericksburg is higher. Record number of people utilizing the

Department of Social Services.


And Just When You Thought It Couldn’t Get Any Worse….. State has to make up a $2 Billion

shortfall. Governor Kaine proposed a “Caboose

Budget” that contains $514,842 worth of reductions for Caroline County.

The “Caboose Budget” joins with Governor McDonnell’s Budget for General Assembly consideration.


Couldn’t Get Any Worse (cont) Recordation Taxes projected to be

down 42 percent or approximately $140,000

Reductions in reimbursements from the Comp Board for Constitutional Offices - $415,586

Reductions in Grant Reimbursements - $83,135


Couldn’t Get Any Worse (cont.)

Reductions in Electoral Board reimbursements - $8,000

Forcing Localities to pick up costs for DMV data related to personal property - $5,000

Discussions are that reductions could be even worse than what is on the table.


Dealing with Now and Then…. Revenue shortfall in current year’s budget

could reach $300,000 – tied to Caboose Budget.

Last year, County government reduced all budgets 15 percent, except for Public Education; Filled only necessary positions; restructured capital program; and employees took six furlough days.

Downsized employee base by six positions.


Rebuilding Fund Balance

Good strategy from 2000-2004. Housing industry never met

projections beginning in 2005. General Fund loaned the Utility

Fund $5 million. Fund Balance has not recovered.


County’s Debt Amount…..

$27,054,606 – General Fund $33,650,994 – Public Schools $20,723,800 – Utility Fund $ 3,281,477 – Dawn $ 6,000,000 – Revenue Anticipation Note

for cash flow. Proposed budget pays back $6,646,013 in

debt retirement.


Uncertain County Revenue Picture…..

Collection of Permits, Fees and Licenses – Down $190,000.

Revenue from Use of Money and Property – Down $85,000.

Recovered Costs – Down $185,000.


Uncertain Revenue Picture (cont.)…… Real property tax rate proposed to

stay the same at $0.53 x $100. Reassessment underway that costs

the County $200,000. Budget proposed on the BOS

equalizing the tax rate in line with property reappraisal.


Uncertain Revenue Picture (cont.)……. Dominion Power project – additional

$600,000 in Public Corporation taxes. Proposed is a five percent increase in

user rates for utility customers that would generate $320,000 for the Utility Fund.

Utility Debt will continue to be paid by the General Fund.


Increased Fixed Costs…..

Matching premium payments for employee health insurance - $121,000.

Picking up contributions to retirement and life insurance - $165,000.

Increases in General Property expenses with more buildings on line.


Increased Fixed Costs (cont.)….. Increases to Regional Correctional

Institutions - $217,605. Proposal is $100,000 less than

requested by the institutions.


Proposed Reductions to Meet Revenue Shortfalls…….

Decrease personnel costs through attrition, reductions in force and across-the-board salary reductions - $995,000 in savings.

This includes a reduction of 14 full-time positions.


Proposed Reductions to Meet Revenue Shortfall (cont.)…… Across-the-board salary reductions

would include one percent for those employees making $40,000 or less; and two percent for those employees making over $40,000.

Other reductions include:1. Contributions to outside agencies -

$57,500.


Proposed Reductions to Meet Revenue Shortfalls (cont.)…..2. Elimination of Summer Jobs

Program - $10,000 savings.3. Closing of the Cannery - $17,000

savings.4. Reduction to County Health

Department - $27,000 savings.


Proposed Reductions to Meet Revenue Shortfalls (cont.)…..5. Reducing hours at certain Solid

Waste Convenience sites - $95,000 savings.


Revamped Capital Program….

General Fund Projects Repairs to Knuckleboom Truck -

$60,000. Repairs to Fire Engine for Port

Royal - $60,000. Roof replacement at Public Works

Building - $13,000.


Revamped Capital Program (cont.)……. Victory Park - $75,000.

Utility Fund Projects Rappahannock River Permitting -

$462,500. Interim Water Plan - $554,500. Expansion of Wastewater Treatment

Plant - $2 million.


Revamped Capital Program (cont.)……

Utility Equipment - $140,000.


Efficiencies in Fire and Rescue…… Proposed Budget relieves volunteer

companies from using their own money to fund operations.

Some financial functions moved directly under the Chief’s supervision.

Volunteer funds directed to companies answering the most calls.


2010-11 Budget Summary

Overall Budget - $89,188,378 – 4.3 percent more than FY 2010.

Operating Budget - $85,956,378 – 0.5 percent more than FY 2010.

General Fund Budget - $34,565,856 – 0.3 percent less than FY 2010.


Education……

Proposed local share is $10,900,000 - $442,281 less than FY 2010.

Composite Index requires Caroline County to fund at least $10,600,000.

School Board Budget presentation scheduled for March 9.


General Fund Transfers…..

Debt Retirement - $1,889,904 Social Services - $407,073 Public School Division - $10,900,000 Comprehensive Services Act -

$405,356 Dedicated Revenue from Personal

Property Tax - $1,574,999


Human Resources….

Budget funds 173 full-time and 60 part-time employees. This is 13 fewer full-time positions than in FY 2010.

Proposal to establish County Attorney as an employee rather than a contracted service.


Public Utilities…….

Operations will continue to be self-supporting with this Budget proposal.

County receives approximately $20,000 per month to provide water to Lake Caroline.

Also restored is $62,000 to provide water and sewer to VDOT rest stop on I-95.


Conclusion

County now realizing the financial nightmare of the state and financial scenes.

Deep reductions in revenue are off-set by deep cuts in personnel and salary reductions.

Takes staffing back to near 2006-07 levels.


Conclusion (cont.)…..

General Assembly actions will likely not make financial conditions any better, but could make them worse.

Budget proposals could be moved up before July 1 in order to make up $300,000 shortfall in this year’s Budget.


Thanks!

To Fran Hatcher, Director of Finance, for putting the Budget document together.


Questions and Comments!

caroline county 2010-11 budget 1 presentation to the caroline county board of supervisors february...

Documents

proposed budget

county government

caboose budget joins

governor mcdonnells

current years budget

utility fund

general fund

bowling green slide