HomeMy WebLinkAbout032806 Resource Management PlanResource Management Plan
Resource Management Plan
March 28, 2006
Overview:
Overview:
Objectives Used to Frame Resource
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Decisions
Barriers to Achieving Those Objectives
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Recommended Strategies
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Base Budget vsAbove the Base
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Capital Improvement Program
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Workshops and Public Hearings
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2
Objectives to Frame Resource Decisions:
Objectives to Frame Resource Decisions:
Maintain and be able to sustain current
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community services
Reduce real estate tax rate
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Adequately compensate employees
?
Meet existing commitments/agreements
?
Save remaining debt for strategic projects
?
3
Barriers:
Barriers:
Rising cost for fuel, utilities, steel, asphalt,
?
and concrete
Increasing demand for City services
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BRAC requirements
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State’s continued under-funding of their
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employees and programs
Increasing pension and health care costs
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Existing revenue dedications to Schools,
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resort programs, SandbridgeTIF, ARP,
recreation centers
4
Recommended Strategies:
Recommended Strategies:
Fund BRAC requirements BEFORE the
1.
City/School Revenue Sharing Formula
Declare $9 million of SandbridgeTIF unneeded
2.
to sustain the sand replenishment program
and reduce the real estate tax surcharge to 6¢
The $9 million in General Fund Balance would be split
?
between the City and Schools CIP
Reduce dedicated real estate funding streams
3.
Agriculture Reserve Program from 1¢to 0.9¢
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Recreation Centers from 3.8¢to 3.7¢
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Outdoor Initiative from 0.7¢to 0.5¢
?
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Recommended Strategies :
Recommended Strategies :
(cont.)
(cont.)
Any reductions in funding needed are taken
4.
in the CIP in each of the 6 years to protect
current services
Cut the real estate tax rate from current
5.
$1.0239 to 99¢
Total reduction of 23¢over 3 years
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Add new programs and staff ONLY where
6.
previously authorized or where new
revenues are available
6
Base Budget:
Base Budget:
Real estate tax revenue held to FY 2006
?
amount for BOTH years of the biennium
$59.3 million in year 1 and $119.6 million in
–
year 2 is “above the base”
Base Real Estate tax rate is 86¢in Year 1 and
–
76¢in Year 2
All other revenues grow by 6.1% or $67
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million in year 1 and by an additional $30
million in year 2
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Base Budget :
Base Budget :
(cont.)
(cont.)
Included in the “Base”are:
?
Once a week trash collection and twice a month
–
recycling
Police, Fire, and EMS services
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5 recreation centers
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11 libraries and 1 bookmobile
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Maintenance of 3,486 miles of roadways
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Staffing for 88 schools
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Programs for disadvantaged residents
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Mowing of roads and parks
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Maintenance of 3,027 miles of water and sewer pipe
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Court and jail services
–
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Base Budget :
Base Budget :
(cont.)
(cont.)
Not in the Base, but inthe Biennial Budget
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Local BRAC funding
–
Increases in compensation for City and
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School employees
Existing commitments
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Opening new facilities
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Restoring roadway landscape services
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City funding for prenatal care for indigent
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mothers
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Biennial Budget:
Biennial Budget:
FY 2006-07FY 2007-08
Revenues
Real Estate & Personal Property$ 591.2$ 663.2
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Other Local Revenues440.9456.2
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State483.1488.3
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Federal106.9108.0
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Non-local Revenues17.018.8
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Total Revenues$ 1,639.1$ 1,734.5
Appropriations
Personnel$ 1,027.5$ 1,093.0
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Operations & CIP pay-as-you-go476.1485.9
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City and School Debt Service124.2136.2
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City General Reserves18.427.6
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Reduction to School Budget-7.1-8.2
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Total Appropriations$ 1,639.1$ 1,734.5
Biennial Budget :
Biennial Budget :
(cont.)
(cont.)
Items not included in the Biennial Budget:
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Additional staff for public safety departments
–
Additional pay-as-you-go funding for a local transportation
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program
Security system for the Contemporary Arts Center
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Full funding for the operation and maintenance of historic homes
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Funding for redevelopment programs
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An after school program for autistic children
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Increase books and materials for libraries
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Funding for the Minority Business Council Education and
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Awareness Program
Additional staff to address increasing demand for vector control
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services on public property
Increase cost for maintenance of infrastructure
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School Budget:
School Budget:
Reduction to School Board adopted Budget
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& CIP
Reduction in the real estate tax rate from $1.0239
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to 99¢
BRAC funding before the application of the
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City/School Revenue Sharing Formula
Reduction in pay-as-you-go funding to CIP and its
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replacement with General Fund Balance
Elimination of a new project to replace one of
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the City’s oldest high schools
Local contribution to School Operating
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Budget is $161 million over required level
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Capital Improvement Program:
Capital Improvement Program:
The Capital Improvement Program was
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significantly impacted by
increased construction costs
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by the need to sustain the FY 2006 real estate
–
tax rate over the six year program
There is a $29.5 million reduction in the
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Capital Budget from FY 2006 to FY 2007
Use of debt remains unchanged from
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current CIP
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Capital Improvement Program :
Capital Improvement Program :
(cont.)
(cont.)
Years 1 –6
Revenues
Local Revenue$ 238.4
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State Revenue224.7
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Bonds/Lease Purchase369.4
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Utility Revenues & Bonds189.6
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Fund Balance73.5
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Other Revenues15.2
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Total Revenues$ 1,110.8
Appropriations
City General Improvements469.0
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BRAC Compliance90.0
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School Improvements358.3
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Utility Improvements193.5
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Total Appropriations$ 1,110.8
Capital Improvement Program :
Capital Improvement Program :
(cont.)
(cont.)
To offset the loss of pay-as-you-go funding
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and the increases in construction costs the
following projects are eliminated:
Blackwaterand Chesapeake Beach Fire and
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Rescue Stations
Various replacement technology projects
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Aquarium Elevated Crosswalk
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Town Center Pedestrian Bridge
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Leroy Drive Facility Replacement
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Fourth Police Precinct
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Capital Improvement Program :
Capital Improvement Program :
(cont.)
(cont.)
New projects added:
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Oceana and Interfacility Traffic Area
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Conformity and Acquisition
Access Road for the new Elementary
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School in Bayside
SandbridgeBeach Access Improvement
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and Sand Management
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Conclusion:
Conclusion:
We were able to reduce the real estate tax rate
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BRAC costs, VRS, and Fuel raised the cost of
–
government by over 5¢on the Real Estate Tax Rate
We were able to maintain current services to
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the community
We were able to provide compensation to all
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employees
We avoided use of debt, thereby saving the
?
remaining capacity for strategic projects
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Workshops and Public Hearings:
Workshops and Public Hearings:
April 11Workshop
th
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April 18Workshop
th
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April 20Workshop (3pm at the Convention Center)
th
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April 20Public Hearing(6:30pm at Bayside High School)
th
?
April 25Workshop
th
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April 25Public Hearing(6pm in Council Chambers)
th
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May 3Reconciliation Workshop (3pm in Council
rd
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Conference Room)
May 9Vote on the Resource Management Plan
th
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