Budget Presentation 2015 Moving South Bend Forward We know what we - PDF document

Budget Presentation 2015

Moving South Bend Forward

“We know what we must do, and we increasingly know how to do it. We know how to come together and how to tear down barriers. We know how to focus on what matters most. We know what it means to work extraordinarily hard for a common purpose.” —Mayor Pete Buttigieg

Expanding our economy and creating jobs remains a top priority.

The design of streets and corridors has a major economic impact.

It’s been a year of progress on addressing the challenge of vacant and abandoned houses.

We take resident listening seriously.

Three Key Elements of City Government • Make Basics of Life Easy • Offer Cost-Effective, Good Government • Create an Environment Where Everyone Can Thrive

Incentives spur development—and help make South Bend’s economic progress possible.

City government must be nimble, streamlined, and strong to deliver on the expectations of residents.

We must continue to adjust to new economic realities. Change in Gross AV for all Indiana Counties 125% Indexed to 2007 120% Between 2007 and 2014. BPP GAV Real GAV increased by 18%; Real GAV 115% Statewide increased by 5% eliminatio n of the 110% inventory tax in 2007 105% Between the 2008 ‐ 09 and 2011 ‐ 12 tax years, AV 100% growth stagnated due the In the 2013 effects of the National reassessment, Recession. 95% Assessed Values decreased by 1.3% statewide The General reassessment in 90% 2006 ‐ 07 captured growth in In the 6 year period between market value from 1999 to 1999 and 2005, market values 2005 (a 6 ‐ year time period). increased by 20%. In the 6 ‐ year period between 2007 and 2013; 85% market values increased by 0.6$ 80% 2006 2007 2008 2009 2010 2011 2012 2013 2014 Pay Year

The Circuit Breaker hurts local governments. • The 25 cities with the highest circuit breaker tax impact have losses ranging from 25% to 50% of their levy. • These losses have been increasing each year and will continue to grow over time. Growth in assessed values simply do not keep pace with growth in levies.

Differential Impacts of the Circuit Breaker Credit on Municipalities Throughout the State High Gary Median Population: 12K Localized Issues High Concern Muncie Percentage of Property Taxes Lost to Circuit Breaker Beech Grove South Bend Elwood Anderson Indianapolis Median CB Loss = 10% Benton Fishers Morgan Bloomington Good Condition Rural; Low Tax Low Low High County Population (Log Scale) Population Population

By the Numbers • 2014 Amended Budget: $367,473,261 • 2015 Budget: $311,402,793

City of South Bend ‐ 2015 Proposed Expenditure Summary 4% 9% 13% General & Administrative 24% Public Safety Economic Development Utilities Neighborhoods Internal Service Funds 30% 20%

City of South Bend Full ‐ Time Employees 1350 1300 Total Number of Employees 1250 1200 1150 1100 1050 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fiscal Year

2015 Budget Priorities • Neighborhood Improvements • Smart Streets • Public Safety

2015 Budget Priorities • Vacant and Abandoned initiative • Technology and Innovation • South Bend 150

The city administration’s success depends largely on our ability to fund, organize, retain, and equip a successful professional organization.

Partnerships are Necessary

“We’re building a safe, well-connected community where everyone can thrive.” —Mayor Pete Buttigieg

We’re moving forward—fueled by our City’s accelerating comeback.

Budget Presentation 2015