MARCH 31, 1988
"WORLD'S LARGEST RESORT CITY"
ci,ry coUNCIL
MAYOR ROBERT G. JONES, A, @,g@
VICE MAYOR MEYERA E OBERNDORF, A, L.,g@
A@ERT W BALKO, B,@,h
JOHN A. BAUM, BI-k..,- @,h
ROBERT E FENTPESS, Vi,i.i@ B@.,h B-@,h
HAROLD HEISCHOBER, A@ L,,,,
BARBARA M HENLEY, P.@g, @,,.gh
RF,BA S M,CLANAN, Pi@,,. A@@@ B,@,h
JOHN D MO@, K,.,@ill, B,-gh
N@C7Y K PARKER, A@ L,,g,
JOHN L PEIZRY, B@,,id, @.,h 281 CITY HALL BUILDING
MUNICIPAL CENTER
AUB-@ I --, J.., C,,, M.-@ CITY COUNCIL AGENDA VIRGINIA BEACH, VIRGINIA 23456-WO2
@.. .@ A-- (804) 427-4303
-@H, CMCI@. C.11 C@
MARCH 31, 1988
ITEM I. FOrd4AL SESSION: - Conference Room - 4:00 P.M.
VIRGINIA B&KCH CITY COTJNCIL
A. CALL TO ORDER - Mayor Robert G. Jones
B. READING OF MAYOR'S CALL TO SPFCTAL SESSION
C. ROLL CALL OF CITY COUNCIL
D. 1988-1989 FISCAL YEAR OPERATING BUDGET
CITY MANAGER'S PRESENTATION
E. ADJOLMNKENT
M I N U T E S
VIRGINIA BEACH CITY COUNCIL
Virginia Beach, Virginia
March 31, 1988
The SPECIAL SESSION of the VIRGINIA BFACH CITY COUNCIL was called to order by
Mayor Robert G. Jones in the Council Chambers, City Hall Building, on Monday,
March 31, 1988, at 4:00 P.M-
Council Members Present:
Albert W. Balko, John A. Baum, Robert E. Fentress,
Harold Heischober, Barbara M. Henley, Mayor Robert G.
Jones, Reba S. McClanan, Nancy K. Parker and John L.
Perry
Council Members Absent:
John D. Moss (ENTERED: 4:04 P.M.)
Vice Mayor Meyera E. Oberndorf (ENTERED: 4:03 P.M.)
- 2 -
Item I.B. ITEM # 29094
The MAYOR'S LETTER stating the purpose of the SPECIAL SESSION was read by
Mayor Robert G. Jones:
" In accordance with City Code Section 2-21 and by
the authority vested in me, I hereby call a SPECIAL
SESSION of the VIRGINIA BFACH CITY COUNCIL in the
Council Chambers, City Hall Building, on Thursday,
March 31, 1988, at 4:00 P.M. for the purpose of the
City Manager's Presentation of the FY 1988-1989
OPERATING BUDGET.
s/Robert G. Jones
Mayor
ROBERT G. JONES MUNICIPAL CENTER
MAYOR VIRGINIA BEACH, VIRGINIA 23456-9002
(804) 427-4581
E'ebruary 22, 1988
HONORABLE MEMBERS OF CITY COUNCIL
In accordance with City Code Section 2-21 and by the
authority vested in me, I hereby call a SPECIAL SESSION of the
VIRGINIA BEACH CITY COUNCIL in the Council Chambers, City Hall
Building, on Thursday, i4arch 31, 1988, at 4:00 P.M. for the purpose
of the City Manager's Presentation of the FY 1988-1989 OPERATING
BUDGET.
Respectfully,
fZob.@-t
,@a .r
RGJ/bh
cc: Aubrey V. Watts, Jr., City llanager
J. Dale Binison, City Attorney
'luth Hod,es Smith, CMC/AAE, City Clerk
Pam Lingle, Director of Public Information
Virginia Beach City Council Rece-,ved i@Totice
Councilman Albert W. Balko
Councilman John A. Baum
Councilman RoberL E. Fentress
Councilman Harold Hei-schober
Councilwoman Barbara i@,. henley
Councilwoman Reba S. 'fcclanan
Councilp.an John D. !',loss
Vice ilayor Meyera E. Oberndorf
Councilwoinan Nancy K. Parker
Councilman John L. Perry
- 3 -
Item I.D. ITEM # 29095
1988-1989 FISCAL YEAR OPERATING BUDGET
CITY MANAGER'S PRESENTATION
The City Manager offered for. consideration the YY 1988-89 PROPOSED OPERATING
BUDGET, totaling $527,979,856. The Budget increase from FY 1987-88 to FY
1988-89 is 9.08%. In the past 22 years, in only one year (FY 1977-78) has the
annual percentage change been smaller. That particular year, State funds
offset approximately $4-MILLION in aid to Dependent Children.
The Governor's Budget included numerous mandates without appropriate funding
while the potential relief provided by the Geieral Assembly is welcome, it came
too late to be fully useful this year to the School Board or in the formulation
of the City Manager's recommendation. Consequently, the City Manager
recommended the full request of the School Board. The level of communication
was greatly improved between City Staff and the School Administration.
The City has continued to address Charter Bond requirements, pay-as-you-go
financing, as well as the Referendum Related programs. Funds are included to
complete the design of the Judicial Genter. The approach of the YY 1988-89
PROPOSED OPERATING BUDGET was to focus carefully.
The General City Departments Budget's increase was only 3.8%; however, overall
important goals were advanced and several new initiatives enacted. The City
Manager recommended the addition of selected positions and funding for
continued improvements in such areas as: Transportation, Planning, Engineering,
Stormwater Management, Compliance with Federal Hazardous Materials and
Installation. In the Fire Department, an additional Fire Inspector has been
included and an 11-man manpower squad to meet Personnel needs. Within the
Police Department, 34 Positions are being recommended, including 9 positions
for the DARE Program to combat Drug Abuse and three positions for a new
dedicated Rural Patrol. High Priority has continued to be placed on Police
Patrol and more positions have been added for this function than any other
activity of Government. With regard to Human Services, additional City funds of
$100,000 are provided in the Cooperative Health Budget to match state
initiatives, after school and summer day programs for children and teens are
expanded to better meet concerns associated with Latch-Key Children.
Dean Block, Assistant City Manager for Analysis and Evaluation, presented the
FINANCIAL SUMMARY of the FY 1988-89 PROPOSED OPERATING BUDGET.
1. The budget is balanced on a current revenue -
current expense basis.
2. No real estate tax rate increase is recommended
except that authorized in the November 1987
referendum and previously approved by City Council.
3. A total Budget increase of 9.08%, which includes an
increase of only 3.8% for City Departments.
4. A recommended $.05 per pack increase in the
cigarette tax to provide improvements in key
services.
5. Provision of $1.3-Yiillion for completion of funding
of design work on the Judicial Center.
6. Full funding of the $224.7-Million School request
including the opening of three new Centers for
Effective Learning, Salem Elementary and Salem
Junior High Schools.
7. Continuation of the commitments made to Road,
School, Recreation Center and other infrastructure
improvements, including pay-as-you-go financing and
related costs.
- 4 -
Item I.D. ITEM 29095 (Continued)
1988-1989 FISCAL YEAR OPERATING BUDGET
CITY MANAGER'S PRESENTATION
Percent
Revenue Summary Proposed of Total
General Property Taxes $ 179,569,714 34.0
Other Local Taxes 96,280,410 18.2
Other Local Sources 72,228,118 13.7
From the Commonwealth 172,846,988 32.8
From the Federal Government 7,054,626 1.3
Total $ 527,979,856 100.0
-----------
Percent
Appropriation Summary Proposed of Total
School Operations $ 224,714,052 42.6
City Operations 197,449,324 37.4
Capital Improvement Program 20,282,708 3.8
Debt Service (City & Schools) 42,936,234 8.1
Self-Supporting:
@later & Sewer Operations 29,695,650 5.6
Water & Sewer Debt Service 12,901,888 2.5
Total $ 527,979,856 100.0
Funding by Major Category
Increase
1987-1988 1988-1989 Proposed
Original Proposed Over
Budget Budget Original
School:
Operations: $199,895,774 $ 224,714,052 12.4
CIP Projects 3,282,76o 2,105,900 (35.8)
Debt Service 12,624,954 15,156,320 20.1
Total $215,803,488 $ 241,976,272 .1
------------
City:
Operations $190,158-014 $ 197,449,324 3.8
CIP Projects 12,502,199 16,176,808 29.4
Debt Service 24,713,575 27,779,914 12.4
Total $227,373,788 $ 241,4o6,04@ 6.2
Vlater & Sewer:
Operations $ 26,636,823 $ 29,695,650 11.5
CIP Projects 2,000,000 2,000,000 0.0
Debt Service 12,217,416 12,901,888 5.6
Total $40,853,699 $ 44,597,538 .2
Total (All) $484,030,975 $ 527,979,856 9.1
------- -- ----- ----- ----
Positions:
Schools 6,059.0 6,419.0 5.9
City (FTE) 4,727.2 4,844.1 2.5
Total 10,786.2 11,263.1 4.4
- 5 -
Item I.D. ITEM # 29095 (Continued)
1988-1989 FISCAL YEAR OPERATING BUDGET
CITY MANAGER'S PRESENTATION
Analysis of Budget Increase
Proposed FY 88/89 Budget: $527,979,856
Less: Original FY 87/88 Budget: $484,030,975
% of Total
Increase
Total Increase $43,948,881 100.0%
less: Increase in School Operating Budget 24,818,278 (56-5)
1,
Less: Increases in Referendum-Related
Appropriations 6,156,406 (14-0)
Less: Net Increase in Other Debt Service and
Capital Projects 2,623,520 ( 6.0)
Less: Increase in Water & Sewer Fund
Operations 3,059,367 ( 6.9)
Remaining for All Other Departments 7,291,310 (16.6)
FY 1988-89 FY 1987-88
Proposed Budget Original Budget Difference % Change
All Other
Departments $197,449,324 $190,150,014 $7,291,310 3.8
6
Item I.E.
ADJOURMIENT ITEM 29096
Upon moti-on by Councilman Heischober, and BY ACCLAMATION, City Council
ADJOURNED the Meeting at 4:40 P.M-
@ w,-
Beverly 0. Hooks
Chief Deputy City Clerk
@uth Hodge-s Smith, CMC bert (f.
City Clerk lyor
City of VI-rginia Beach
Virginia
March 31, 1988