GAINESVILLE Citizens Budget MAGISTERIAL DISTRICT Committee - PowerPoint PPT Presentation

GAINESVILLE Citizens Budget MAGISTERIAL DISTRICT Committee

GUIDANCE TO THE BUDGET COMMITTEE SUPERVISOR PETE CANDLAND ¡ Reduce the footprint of County government in the lives of County taxpayers. § Identify programs that are no not core services required to be provided by County government and that should be defunded; and § Propose spending cuts to the remaining programs to reach a tax rate of $1.174 and achieve a Flat Tax Bill Budget for FY 2014; and § Propose a Flat Tax Bill Budget that enhances core government services of public safety, quality education of our children, and a community infrastructure that enhances the overall quality of life for residents. ¡ Produce a Flat Tax Bill Budget that is sustainable across all years of the Five Year Plan, both for revenue and spending. 12/10/12 2

BUDGET COMMITTEE MEMBERS ¡ Vito Losardo, Chairman (Gainesville District) ¡ Don Metzger (Gainesville District) ¡ Mike High (Gainesville District) ¡ Mac Haddow (Gainesville District) ¡ Al Alborn (Coles District) ¡ Janelle Anderson (Coles District) ¡ Scott Abell (Gainesville District) ¡ Steve Merkli (Gainesville District) ¡ John Gray (Occoquan District) 12/10/12 3

SPENDING CAP TARGETS FLAT TAX BILL BUDGET Tax R Rate FY 2 2014 Five Y Year P Plan ($1.174) ($1 4) County Impact $9,147,408 $98,700,000 Schools Impact $12,003,192 $129,500,000 TOTAL IMPACT $21,151,000 $228,200,000 12/10/12 4

ENDORSED BY RECOMMENDED GAINESVILLE MAGISTERIAL DISTRICT TAXPAYER SAVINGS CITIZENS BUDGET COMMITTEE 12/10/12 5

GENERAL REVENUE/GENERAL FUND BUDGET VARIANCES ($ e expressed FY 2 2007 FY 2 2008 FY 2 2009 FY 2 2010 FY 2 2011 FY 2 2012 in m millions) General Fund $43.9 M $29.7 M $35.7 M $32.7 M $27.9 M $18.7 M Turnback - $ General Observations • The General Revenue/General Fund Budget Variances (“Taxpayer Over- Payments”) are used to fund the process known as the annual Carry Over Budget in August of each year. • The Carry Over Budget is outside of the rigorous scrutiny of the FY budget process undertaken by the BOCS at the beginning of each Fiscal Year. • The average “Budget Variance” for past 3 years: $26.4 Million 12/10/12 6

GENERAL FUND TURNBACK BY AGENCY ¡ The PWC Office of Management and Budget (OMB) has provided a document detailing Agency Turnbacks (Taxpayer over-collections) for the past five years, adjusted for “transfers out and mark to market revenue.” ¡ This proposal uses as a baseline the 3-year average Turnback for each Agency/Function to achieve the Taxpayer Savings (with some specific exclusions). 12/10/12 7

THE GUIDING PRINCIPLE Propose a Flat Tax Bill Budget that enhances core government services of public safety, quality education of our children, and a community infrastructure that enhances the overall quality of life for residents. 12/10/12 8

AGENCY EXCLUSIONS FROM TAXPAYER SAVINGS RECOMMENDATIONS AG AGENCY TURNBACK F FUNDING A AVG FOR 3 3 Y YEAR ARS COUNTY ATTORNEY $59,654 FIRE AND RESCUE $2,861,667 LIBRARY $156,678 POLICE $1,219,028 PUBLIC SAFETY $687,229 COMMUNICATIONS TOTAL EXCLUSIONS $4,984,256 12/10/12 9

THREE YEAR AVERAGE AGENCY TURNBACK SAVINGS AG AGENCY TURNBACK F FUNDING A AVG FOR 3 3 Y YEAR ARS TOTAL AGENCY SAVINGS $27,255,231 AGENCY EXCLUSIONS $4,984,256 TOTAL NET SAVINGS $22,270,975 12/10/12 10

EXAMPLES OF AGENCY TURNBACK AVERAGE THREE-YEAR SAVINGS Ag Agency Sa Savi vings gs Ag Agency Savi Sa vings gs Clerk of Court $225,797 Non-Departmental Activities $5,729,897 Commonwealth Attorney $464,882 Office of Executive $294,565 Management Community Services $1,273,140 Office on Aging $306,114 Cooperative Extension $116,014 Planning $339,355 Services Criminal Justice Services $171,250 Public Health $481,683 Dept. of Information 2,613,209 Public Works $2,369,565 Technology Registrar $165,665 Economic Development $308,719 Sheriff’s Office $455,988 Finance $741,710 Social Services $1,987,095 General District Court $569,648 Transportation $259,410 General Revenue Transfers $3,405,843 Office of Mgt. & Budget $4,961 Juvenile Court Service Unit 55,588 12/10/12 11

CHAIRMAN STEWART’S FLAT TAX BILL PROPOSAL The Gainesville District Budget Committee accepts Chairman Stewart’s Proposed Flat Tax Bill Budget and the Program Cuts contained in that proposal: Stewart Proposed Cuts: $9,654,148 12/10/12 12

GAINESVILLE BUDGET COMMITTEE PROPOSED TAXPAYER SAVINGS (IN ADDITION TO CHAIRMAN STEWART’S PROPOSED CUTS) Agency Ag Sa Savi vings gs Ag Agency Savi Sa vings gs Dept. of Information $560,000 Literacy Volunteers of $25,970 Technology (over 3 years) ($1.4 million total) America Community Partners (33% $770,584 Reduce Area Agency on $200,000 $200, 000 Cut) Aging Information Hylton Center for $400,000 Community Relations – $500, $500,000 000 Performing Arts (33% Cut) Communications/Reduce Quarterly Newsletters to Human Rights Office $553,712 Annual Report (Est.) Eliminate Supervisor $150, $150,000 000 Community Services $1,027,812 Monthly Videos/ Supported Employment Promotional Budgets (Est.) Reduce General Fund $1,800,000 Subsidy for Land Community Services $752,812 Development Sheltered Employment Reduce Graphic Arts and $300,000 Eliminate Community $2 $27, 7,169 69 Print Shop by $300,000 Survey Eliminate New Deputy $212,600 TOTAL AL S SAVINGS $7, $7,280, 280,659 659 County Executive Position 12/10/12 13

TAXPAYER SAVINGS FROM SPENDING CUTS IN FY 2014 Source o of S Savings Am Amount Recommended Taxpayer $22,335,137 Savings From Agency Turnbacks County Program Spending $7, $7,280, 280,659 659 Cuts Chairman Stewart $9,654,148 Proposed Spending Cuts TOTAL AL S SAVINGS $39, $39,269, 269,944 944 12/10/12 14

FLAT TAX BILL FY 2014 BUDGET PROFILE REVENUE D DESCRIPTION AM AMOUNT COMBINED FLAT TAX BILL REVENUE $21,151,000 ON COUNTY AN AND SCHOOL BUDGETS RECOMMENDED TAXPAYER SAVINGS $22,335,137 COUNTY PROGRAM SPENDING CUTS $7, 7,280, 280,659 659 CHAIRMAN STEWART PROPOSED $9,654,148 SPENDING CUTS NET REVENUE AVAILABLE $18,118,944 12/10/12 15

POTENTIAL PROGRAM INVESTMENTS PROGRAM AM D DESCRIPTION FUNDING R REQUIRED FUND EMPLOYEE ANNUAL 2% COMPENSATION FOR $9,000,000 PAY PLAN ADJUSTMENTS (est.) REDUCTION IN BPOL TAX $5,000,000 FUND FULLER HEIGHTS PARK; OCCOQUAN $1,252,209 RIVERFRONT PARK; CATHARPIN PARK; POTOMAC HERITAGE NATIONAL SCENIC TRAIL FUND ELECTIONS REGISTRAR REQUEST $350,000 FUND 10 ADDITIONAL POLICE OFFICERS $1,000,000 TOTAL $16,602,209 $1,516,735 REMAINING REVENUE 12/10/12 16

REPROGRAMMING OF FUNCTIONS ¡ Decommission Audit ¡ Create Office of Services Department (6 Taxpayer Advocate positions plus outside § Reports directly to BOCS contractor) § Completely independent of County Executive THE TRANSFER OF THE AUDIT SERVICES DEPARTMENT TO THE OFFICE OF THE TAXPAYER ADVOCATE IS BUDGET NEUTRAL – IT INVOLVES A CHANGE OF MISSION TO FOCUS ON SPENDING SAVINGS IN COUNTY AGENCIES. 12/10/12 17

ENDORSED BY BUDGETING MODEL GAINESVILLE MAGISTERIAL DISTRICT CITIZENS RECOMMENDATIONS BUDGET COMMITTEE 12/10/12 18

REFORM COUNTY PROGRAM AUDIT PLAN ¡ Maintain adherence to excellent five-year budget process. ¡ Require program spending audits on a staggered three-year cycle for all County programs. ¡ Sunset program authorizations on all County programs every five years (on staggered review schedule) ¡ Appointment of Citizen Audit Advisory Committee one appointment by each Supervisor) 12/10/12 19

REFORMING CARRY OVER PROCESS ¡ Retain funding for encumbered “Traditional Carry Over” contract commitments. ¡ Require any legitimate budgeting need to be presented and justified at the beginning of the FY in the context of all other budget priorities. ¡ Eliminate the “Budget $5 and Spend $4” budgeting model used to generate Agency Turnbacks for Carry Over Budgets. ¡ Require CXO to implement best business practice reviews and report to BOCS on Agencies failing to meet budget targets. 12/10/12 20

ENDORSED BY SCHOOL FUNDING GAINESVILLE MAGISTERIAL DISTRICT CITIZENS RECOMMENDATIONS BUDGET COMMITTEE 12/10/12 21

REFORMING THE SCHOOL FUNDING REVENUE SHARING AGREEMENT ¡ The current Revenue Sharing Agreement between the BOCS and the PWC School Board provides no incentives for efficient use of taxpayer funds: § The BOCS has no oversight authority in the current Agreement; and § The School Board spending is driven by the automatic 56.75% of revenues rather than the actual funding needs of the School Board. ¡ The current Revenue Sharing Agreement imposes a hidden and unjustified cost increase on all needed materials, equipment, and service delivery costs. 12/10/12 22

PRINCE WILLIAM COUNTY POLICE CRUISER Estimated Base Cost: $35,000 The tax revenue needed for each $1.00 in PWC purchasing power = $2.312 Base cost: $35,000 Tax revenue needed to buy Police Cruiser: $35,000 x $2.312 = $80,920 12/10/12 23

PRINCE WILLIAM COUNTY VOTING MACHINES Estimated Base Cost: $4,000 per unit The tax revenue needed for each $1.00 in PWC purchasing power = $2.312 Base cost: $4,000 per Voting Machine Tax revenue needed to buy a single Voting Machine: $4,000 x $2.312 = $9,248 12/10/12 24