montgomery county government: organizational and fiscal structure
DESCRIPTION
Montgomery County Government: Organizational and Fiscal Structure. Jennifer Hughes, Director Office of Management and Budget October 15, 2012 www.montgomerycountymd.gov/omb. Oversight and Accountability. Internal Audit (Executive Branch) - PowerPoint PPT PresentationTRANSCRIPT
Montgomery County Government: Organizational
and Fiscal Structure
Jennifer Hughes, DirectorOffice of Management and Budget
October 15, 2012www.montgomerycountymd.gov/omb
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Oversight and Accountability
• Internal Audit (Executive Branch)• Annual Audit of Financial Statements by an Independent Auditor
(Executive Branch)• CountyStat (Executive Branch)• Inspector General (Legislative Branch)• County Council & Committees (Legislative Branch)• Office of Legislative Oversight (Legislative Branch)• P-Card Monitoring and Reviews (Executive Branch - DOF)• Media• Elections and Referenda
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Major Differences Between the CIP and the Operating Budget
CIP• 6 year budget
• Approved biennially
• Infrastructure (roads & buildings)
• Long-life
• Often debt-financed
• Majority of spending is for sitework and construction
Operating Budget• 1 fiscal year
• Approved annually
• Programs and services
• Expenses typically ongoing
• Typically funded with current revenues
• Majority of spending is for staffing costs
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Budget Process Key Facts• The County Executive develops and recommends budget proposals; the Council
authorizes expenditures and sets tax rates.
• Annual 6-year Public Services Plan, Operating Budget, and Capital Budget, and biennial 6-year Capital Improvements Plan.
• Capital budget submitted to Council by January 15th; proposed Operating Budget by March 15th.
• Aggregate budget cannot grow more than CPI-U Washington-Baltimore without a minimum of six Council votes.
• Executive veto or reduction of items in Council approved budget.
• 1990 Charter amendment limit on property tax revenues. Charter Limit exceeded four times: FY03-05 and FY09. As of 2008 Charter amendment, 9 council votes are required to exceed the Charter Limit.
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Summary: Operating Budget Process
• Sept-December: MCG departments prepare submissions• December/January: Agencies submit budgets to County
Executive/Council• December – March: OMB reviews submissions and
makes recommendations to County Executive• March 15: County Executive transmits budget to the
County Council• Early April: County Council public hearings• April – May: County Council/Committees review budgets• By June 1: County Council approves budget
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FY13 ALL AGENCIES / ALL FUNDS
Net Transfers $7.50.2%
Prior Year Reserves $400.57.8%Fines &
Miscellaneous $245.6 4.8%
Intergovernmental $926.4 18.1%
Charges for Services $344.66.8%
Other Taxes $305.4 6.0%
Transfer & Recordation Tax
$141.0 2.8%
Income Tax $1,263.6 24.7%
Property Tax $1,471.6 28.8%
WHERE THE MONEY COMES FROMTOTAL APPROVED RESOURCES - $5,106.2 (million)
Non-Agency Uses $7.9 0.2%
County Government
$2,003.4 39.2%
M-NCPPC $124.5 2.4%
Reserves $381.5 7.5%Montgomery
College $290.5 5.7%
Montgomery County Public Schools
$2,298.4 45.0%
WHERE THE MONEY GOES *TOTAL APPROVED USES OF FUNDS - $5,106.2 (million)
*This total covers the full Operating Budget, and funds to the CIP, Debt Service, and Reserves. Of this amount $4,612,253,211 is approved in the Operating Budget.
Non-Departmental $259.0 5.6%
P ublic Safety $571.8 12.4%
Health & Human Services $252.35.5%
Transportation $190.6 4.1%
Libraries, Culture & Recreation
$67.6 1.5%
General Government$283.9 6.1%
Debt Service $307.6 6.7%
Environment $127.6 2.8%
M-NCP P C* $124.0 2.7%
Montgomery College$267.9 5.8%
Montgomery CountyP ublic Schools
$2,160.0 46.8%
OPERATING BUDGET FY13 EXPENDITURES BY FUNCTION
TAX SUPPORTED EXPENDITURES - $4,020.5 (million)
Non-Departmental $239.05.9% Montgomery College
$218.8 5.4%
Montgomery County Public Schools
$2,028.9 50.5%
Public Safety $568.0 14.1%
Health & Human Services $181.7 4.5%
Environment $1.5 0.1%
Libraries, Culture, &Recreation
$57.3 1.4%
General Government $164.5 4.1%
Debt Service $298.8 7.4%
Transportation $155.0 3.9%
M-NCPPC * $107.0 2.7%
TOTAL EXPENDITURES - $4,612.3 (million)
*Total M-NCPPC includes $4.8 million debt service.
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FY13 Tax SupportedExpenditures by Function
Tax Supported Expenditures Only Appropriation% of Total Cum % Workyears
1. MCPS 2,028,871,395$ 50.5% 50.5% 19,750.7 2. Public Safety 544,918,326$ 13.6% 64.0% 3,701.8 3. Debt Service 298,792,040$ 7.4% 71.4% - 4. College 218,786,599$ 5.4% 76.9% 1,711.1 5. Health and Human Services 181,733,135$ 4.5% 81.4% 1,117.1 7. Transportation 154,983,035$ 3.9% 85.3% 1,023.0 8. General Government & Other Functions 281,962,379$ 7.0% 92.3% 965.7 9. M-NCPPC (Park and Planning) 107,043,155$ 2.7% 94.9% 799.0 10. Retiree Health Insurance 134,482,024$ 3.3% 98.3% - 11. Libraries, Culture, & Recreation 57,342,437$ 1.4% 99.7% 686.7 12. Community Dev. and Housing 10,051,497$ 0.3% 100.0% 66.9 13. Environment 1,510,982$ 0.0% 100.0% 11.5
4,020,477,004$ 29,835.1
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Revenue Volatility: Income Taxes$ in Millions
8.2%11.0%
21.1%
2.1%0.0%
-19.3%
-0.3%
18.1%
3.0%
-25.0%
-20.0%
-15.0%
-10.0%
-5.0%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 Est. FY13 Est.
FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 Est. FY13 Est.Income Tax $940.9 $1,044.6 $1,265.4 $1,291.3 $1,291.7 $1,042.1 $1,039.2 $1,227.1 $1,264.0
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Revenue Volatility: Transfer & Recordation Taxes$ in Millions
133.7145.5
106.9
80.464.8
77.1 71.8 74.2 80.787.696.2
72.754.7
42.4 42.857.7
45.355.9
221.3
241.7
179.6
135.1
107.2120.0
129.5119.5
136.6
$0.0
$50.0
$100.0
$150.0
$200.0
$250.0
FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 Est. FY13 Est.
Transfer TaxRecordation TaxTotal
FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12
Est. FY13
Est.
Transfer $133.7 $145.5 $106.9 $ 80.4 $ 64.8 $ 77.1 $ 71.8 $ 74.2 $ 80.7
Recordation $ 87.6 $ 96.2 $ 72.7 $ 54.7 $ 42.4 $ 42.8 $ 57.7 $ 45.3 $ 55.9
Total $221.3 $241.7 $179.6 $135.1 $107.2 $120.0 $129.5 $119.5 $136.6
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FY13 FY08-13FY08 FY12 Approved FY12-13 Average
Tax Supported Budgets Approved* Approved* Budget* % Change % ChangeMontgomery County Government $1,248,525,220 $1,175,833,680 $1,264,964,241 7.6% 0.3%Montgomery County Public Schools $1,836,100,947 $1,950,909,291 $2,028,871,395 4.0% 2.0%Montgomery College $196,811,472 $218,004,776 $218,786,599 0.4% 2.1%Md National Park & Planning Commission $101,892,900 $99,017,030 $103,678,655 4.7% 0.3%
Subtotal Tax Supported Agency Expenditures $3,383,330,539 $3,443,764,777 $3,616,300,890 5.0% 1.3%
Debt Service $239,480,290 $291,574,070 $298,792,040 2.5% 4.5%
Total Tax Supported Expenditures $3,622,810,829 $3,735,338,847 $3,915,092,930 4.8% 1.6%
FY08 to FY13 Operating Budget Agency Rate of Growth*
* Excluding funds for pre-funding retiree health insurance. The FY13 County Government tax supported appropriation includes a total contribution of $102.0 million, including contributions of $58.9 million on behalf of Montgomery County Public Schools and $1.8 million on behalf of Montgomery College. The Park & Planning Commission tax supported appropriation includes a contribution of $3,364,500.