Budget Allocation Discussion FY 2008 and FY 2009

Budget Allocation Budget Allocation DiscussionDiscussion

FY 2008 and FY 2009FY 2008 and FY 2009

Alachua County Board of County Alachua County Board of County CommissionersCommissioners

Office of Management and BudgetOffice of Management and Budget

February 2007February 2007

22

Budget Allocation DiscussionBudget Allocation DiscussionFY08 and FY09FY08 and FY09

Transformation StrategyTransformation Strategy Alachua Excels - Aligning for SuccessAlachua Excels - Aligning for Success 5 Year Budget Projections5 Year Budget Projections Historical Comparisons Historical Comparisons Expenditure IssuesExpenditure Issues Ad Valorem GrowthAd Valorem Growth Revenue DiversificationRevenue Diversification FY08 Budget Planning CalendarFY08 Budget Planning Calendar

Alachua Excels Alachua Excels Transformation StrategyTransformation Strategy

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Alachua Excels – Transformation Alachua Excels – Transformation StrategyStrategy Empower employees and citizens.Empower employees and citizens. Implement technology that serves the Implement technology that serves the

organization.organization. Improve systems of management and Improve systems of management and

accountability.accountability.

Alachua Excels Alachua Excels Aligning for SuccessAligning for Success

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Alachua Excels - Aligning for SuccessAlachua Excels - Aligning for Success Performance management program that will Performance management program that will

serve to align the Commissions strategic plans, serve to align the Commissions strategic plans, the budget and performance measuresthe budget and performance measures

Enables us to better share our corporate story Enables us to better share our corporate story with our citizenswith our citizens

GovMax, Performance Management System GovMax, Performance Management System serves as the technology infrastructure for the serves as the technology infrastructure for the programprogram

Establishes the framework for planning, Establishes the framework for planning, budgeting, reporting, evaluating and decision budgeting, reporting, evaluating and decision makingmaking

Cascades throughout the organization using Cascades throughout the organization using performance measures showing how the performance measures showing how the achievement of employee performance goals achievement of employee performance goals contributes to the achievement of departmental contributes to the achievement of departmental goals and to the achievement of County goalsgoals and to the achievement of County goals

77

Alachua Excels – Aligning for SuccessAlachua Excels – Aligning for Success

Maintaining a Community and Corporate Maintaining a Community and Corporate BalanceBalance

Serve the

customer

Manage Resource

sDevelop Employees

Community Values Operate the

business

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Alachua Excels – Aligning for Alachua Excels – Aligning for SuccessSuccess

Alachua Excels – Mission, Vision, Values

Quality of Life: To enhance and preserve Alachua County’s quality of life by

integrating environmental, economic and social equity principles in County decision

making.

Partnerships: To increase confidence in County government by enhancing citizen participation and forging new partnerships

with public and private organizations.

Excellence in County Government: To excel in all areas by focusing on

performance, accountability, and customer service.

Strategic Plan

Core Service (Focus) Areas

Business Process

Activity

Employee Performance

Commission Goals

Aligning for Success – Performance Management Program: Aligns the Board’s

mission, vision, values and strategic plans to our day-to-day workflow and personal performance. The

program will ensure that the outcomes of our work support identified strategies and goals, and that we are

accountable for our efforts.

Commission Guiding Vision

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Alachua Excels – Aligning for SuccessAlachua Excels – Aligning for Success

Core Service (Focus) Areas

Managed Growth and

Development

Economic Development

Environmental

StewardshipGovernancePublic Safety

Health and

Human

Services

Human Assets

Financial Assets

Infrastructure and Physical Assets

Five Year Budget Five Year Budget ProjectionsProjections

1111


Projections Projections - General - General FundFund

FY07FY07 FY08FY08 FY09FY09 FY10FY10 FY11FY11

RevenuesRevenues 124.43 124.43 MM

138.39 138.39 MM

147.88 147.88 MM

158.11 M158.11 M 169.10 M169.10 M

Expenses, Expenses, Transfers & Transfers & ReservesReserves

124.43 124.43 MM

138.39 138.39 MM

147.88 147.88 MM

158.11 M158.11 M 169.10 M169.10 M

General Assumptions: Ad Valorem increases 8% for FY08 thru FY11 (8.8887 mills)Personal Services 5% for Board of County Commissioners and Constitutional Offices All Financial Policy requirements are met including funding of reserve levels

1212


FY08 and FY09FY08 and FY09Projections – Projections – UnincorporatUnincorporated MSTUed MSTU


RevenuesRevenues 6.12 M6.12 M 6.79 M6.79 M 7.24 M7.24 M 7.70 M7.70 M 8.22 M 8.22 M


6.12 M6.12 M 6.79 M6.79 M 7.24 M7.24 M 7.70 M7.70 M 8.22 M8.22 M

General Assumptions: Ad Valorem increases 8% for FY08 thru FY11 (.4470 mills)Personal Services 5% for Board of County Commissioners and Constitutional Offices All Financial Policy requirements are met including funding of reserve levels

1313


FY08 and FY09FY08 and FY09Projections Projections – Law – Law Enforce. Enforce. MSTUMSTU


RevenuesRevenues 18.18 M18.18 M 19.78 M19.78 M 20.43 M20.43 M 21.52 M21.52 M 22.74 M22.74 M


18.18 M18.18 M 19.78 M19.78 M 20.43 M20.43 M 21.52 M21.52 M 22.74 M22.74 M


1414


FY08 and FY09FY08 and FY09Projections Projections – Fire – Fire Services Services MSTU MSTU (Assessmen(Assessment)t)


RevenuesRevenues 12.70 M12.70 M 14.15 M14.15 M 14.88 M14.88 M 15.66 M15.66 M 16.49 M16.49 M


12.70 M12.70 M 14.15 M14.15 M 14.88 M14.88 M 15.66 M15.66 M 16.49 M16.49 M


1515


5 Year Budget Projections and Assumptions 5 Year Budget Projections and Assumptions Projection includes FY07 thru FY11Projection includes FY07 thru FY11 8% Ad Valorem Revenue Growth8% Ad Valorem Revenue Growth

$7,500,000 General Fund$7,500,000 General Fund $170,000 Unincorporated MSTU$170,000 Unincorporated MSTU $680,000 Law Enforcement MSTU$680,000 Law Enforcement MSTU

5% Personal Services Cost Increase (Board and 5% Personal Services Cost Increase (Board and Constitutional Offices)Constitutional Offices)


1616


5 Year Budget Projections and Assumptions 5 Year Budget Projections and Assumptions 2.5% Increase in Operating (limited line items)2.5% Increase in Operating (limited line items)

$900,000 General Fund$900,000 General Fund $60,000 Unincorporated MSTU$60,000 Unincorporated MSTU $50,000 Law Enforcement MSTU$50,000 Law Enforcement MSTU

5% Increase for Capital Funding Plan5% Increase for Capital Funding Plan $250,000 General Fund$250,000 General Fund $20,000 Unincorporated MSTU$20,000 Unincorporated MSTU

Reserves for Contingency – Policy and Reserves for Contingency – Policy and ReplacementReplacement

$500,000 General Fund (as of February 2007)$500,000 General Fund (as of February 2007) $20,000 Unincorporated MSTU$20,000 Unincorporated MSTU $100,000 Law Enforcement MSTU$100,000 Law Enforcement MSTU

1717


5 Year Budget Projections and Assumptions 5 Year Budget Projections and Assumptions Increase for Community Agency Partnership Increase for Community Agency Partnership

Program AllocationProgram Allocation $90,000 General Fund (1% operating revenues)$90,000 General Fund (1% operating revenues)

20% Increase for most Community 20% Increase for most Community Redevelopment AgenciesRedevelopment Agencies

$1,000,000 General Fund$1,000,000 General Fund Summary of Planned UsesSummary of Planned Uses


Historical Data and Historical Data and ComparisonsComparisons

1919


FY 2007 Adopted Budget - Governmental Expenditures

Sheriff/Jail, $65,313,275.00 , 29%

Court Admin, $2,423,963 , 1%

Clerk of Courts, $294,892 , 0%

Property Appraiser, $4,447,231 , 2%

Public Defender, $196,818 , 0%

Non- Dept, $25,862,183 , 12%

State Attorney, $403,986 , 0%

Supervisor of Elections, $1,672,245 , 1%

Capital Projects, $13,436,034 , 6%

BOCC, $108,077,405 , 49%

2020


FY 2007 Adopted Budget - General Fund Expenditures

Court Admin, $933,150 , 1%Clerk of Courts, $2,364,606 , 2%

Public Defender, $60,137 , 0%

Property Appraiser, $4,447,231 , 4%

Non- Dept, $30,437,617 , 24%

Sheriff/Jail, $41,263,782 , 33%

Supervisor of Elections, $1,672,245 , 1%State Attorney, $137,873 , 0%

BOCC, $43,110,748 , 35%

2121


$69,200,225

$73,903,330$83,060,684

$95,808,619

2004 Actual 2005 Actual 2006 Actual 2007 Adopted

General FundAd Valorem Revenues

2222


$5,919,198 $5,524,827 $5,381,657 $5,328,798

2004 Actual 2005 Actual 2006 Actual 2007 Adopted

General FundIntergovernmental Revenues

2323


Occupational License Fee Revenue

$404,761

$287,013$275,482

$356,422 $354,847

$0

$50,000

$100,000

$150,000

$200,000

$250,000

$300,000

$350,000

$400,000

$450,000

2002 2003 2004 2005 2006

Years

Do

lla

rs

Alachua

2424


Community Redevelopment Agencies FY2007

2525


Community Redevelopment Districts FY2007

2626


Community Redevelopment AgencyCommunity Redevelopment Agency City of Gainesville - 5City of Gainesville - 5thth Ave Ave Anticipated ending date: 2010Anticipated ending date: 2010

2007 payment = $196,486; change from 2007 payment = $196,486; change from 2006 45.43%2006 45.43%


2005 payment = $89,5682005 payment = $89,568

2727


Community Redevelopment AgencyCommunity Redevelopment Agency City of Gainesville - Pleasant StCity of Gainesville - Pleasant St Anticipated ending date: 2019Anticipated ending date: 2019

2007 payment = $38,768; change from 2006 2007 payment = $38,768; change from 2006 20.63% 20.63%

2006 payment = $32,139; change from 2005 2006 payment = $32,139; change from 2005 18.28% 18.28%

2005 payment = $27,1732005 payment = $27,173

2828


Community Redevelopment AgencyCommunity Redevelopment Agency City of Gainesville - DowntownCity of Gainesville - Downtown Anticipated ending date: 2011Anticipated ending date: 2011



2005 payment = $375,7322005 payment = $375,732

2929


Community Redevelopment AgencyCommunity Redevelopment Agency City of Gainesville - Downtown City of Gainesville - Downtown

ExpansionExpansion Anticipated ending date: 2041 Anticipated ending date: 2041



2005 payment = $47,2902005 payment = $47,290

3030


Community Redevelopment AgencyCommunity Redevelopment Agency City of Gainesville - College ParkCity of Gainesville - College Park Anticipated ending date: 2034Anticipated ending date: 2034

2007 payment = $1,436,290; change from 2007 payment = $1,436,290; change from 2006 106.36%2006 106.36%


2005 payment = $540,4072005 payment = $540,407

3131


Community Redevelopment AgencyCommunity Redevelopment Agency City of Gainesville - College Park City of Gainesville - College Park

ExpansionExpansion Anticipated ending date: 2045Anticipated ending date: 2045

2007 payment = $72,0142007 payment = $72,014

3232


Community Redevelopment AgencyCommunity Redevelopment Agency City of Gainesville - EastsideCity of Gainesville - Eastside Anticipated ending date: 2040Anticipated ending date: 2040



2005 payment = $102,2352005 payment = $102,235

3333


Community Redevelopment AgencyCommunity Redevelopment Agency City of HawthorneCity of Hawthorne Anticipated ending date: 2033Anticipated ending date: 2033



2005 payment = $28,4682005 payment = $28,468

3434


Community Redevelopment AgencyCommunity Redevelopment Agency City of High SpringsCity of High Springs Anticipated ending date: 2026Anticipated ending date: 2026



2005 payment = $63,8882005 payment = $63,888

3535


Community Redevelopment AgencyCommunity Redevelopment Agency City of AlachuaCity of Alachua Anticipated ending date: 2027 Anticipated ending date: 2027



2005 payment = $143,8482005 payment = $143,848

Expenditure IssuesExpenditure Issues

3737


Expenditure IssuesExpenditure Issues GASB 45 – Retiree BenefitsGASB 45 – Retiree Benefits Capital Projects ie. Jail; CJSC (additional Capital Projects ie. Jail; CJSC (additional

floor); SOE; EOC expansion; Court floor); SOE; EOC expansion; Court integrated technology; Fairgrounds; integrated technology; Fairgrounds; Animal ServicesAnimal Services

Each project exceeds $1,000,000Each project exceeds $1,000,000 Economic development projectsEconomic development projects Capital project operating costsCapital project operating costs Health and Property Casualty Insurance Health and Property Casualty Insurance

Ad Valorem GrowthAd Valorem Growth

3939


Ad Valorem IssuesAd Valorem Issues Millage and Revenue GeneratingMillage and Revenue Generating Impact from Governor’s proposalsImpact from Governor’s proposals Other Legislative Initiatives Other Legislative Initiatives Anticipate effect for FY09 Anticipate effect for FY09

Are you ready to reverse actions taken for Are you ready to reverse actions taken for FY08 in FY09 (don’t wait to plan)FY08 in FY09 (don’t wait to plan)

4040

FY07 Percent ofMillage Rate Tax Bill

TOTAL COUNTY-WIDE 8.8887 36%

TOTAL SCHOOL DISTRICT 8.5710 35%

TOTAL CITY (example) 4.8509 20%

TOTAL OTHER 2.2735 9%

GRAND TOTAL 24.5841 100%unicorp mills

Percent of Alachua County Property

Example for residential taxpayer in City of Gainesville

Tax Bill for General County Government


MicanopyMicanopy 8.00008.0000

HawthorneHawthorne 6.50006.5000

High SpringsHigh Springs 6.25006.2500

AlachuaAlachua 5. 50005. 5000

WaldoWaldo 5.03145.0314

GainesvilleGainesville 4.85094.8509

ArcherArcher 4.75004.7500

NewberryNewberry 4.45004.4500

UnincorporatedUnincorporated 3.46773.4677

LaCrosseLaCrosse 2.46112.4611


FY07 Millage Rate FY07 Millage Rate ComparisonsComparisons

MunicipalityMunicipality FY07 Millage RateFY07 Millage Rate

FY07 Ad Valorem Revenue FY07 Ad Valorem Revenue (Final Certified Values)(Final Certified Values)

$94,673,000$94,673,000

Growth of 8%Growth of 8% $7,574,000$7,574,000





Taxable Value Taxable Value OptionsOptions

Incremental GrowthIncremental Growth

General CountywideGeneral Countywide $11,503,000$11,503,000

Unincorporated MSTUUnincorporated MSTU $5,209,000$5,209,000

Law Enforcement MSTULaw Enforcement MSTU $5,250,000$5,250,000

Fire Services MSTUFire Services MSTU $5,241,000$5,241,000


FY08 Projected Ad Valorem FY08 Projected Ad Valorem RevenueRevenue

Taxing UnitTaxing Unit Value of 1 MillValue of 1 Mill

4444


What Would Happen if the Governor’s Proposals Pass

Doubling the Homestead Exemption$11 Million Estimated Revenue Loss (based on current millage rate) = Approximately 10% of General Fund Ad Valorem revenues

Tangible Personal Property Tax ($25,000 exempt)$1.2 million estimated revenue loss = Approximately 1.1% of General Fund Ad Valorem revenues

4545


What Would Happen if the Governor’s Proposals Pass

Save Our Homes PortabilityImpact is unknown

Expand Taxable 3% Cap$8.6 million estimated revenue loss = Approximately 9% of General Fund Ad Valorem revenues

46% of Alachua County’s property values are already off the tax rolls

Revenue DiversificationRevenue Diversification

4747


Revenue Diversification OptionsRevenue Diversification Options Immediate OptionsImmediate Options

Local Government Infrastructure Surtax 1 centLocal Government Infrastructure Surtax 1 cent Funds construction and some parks operationsFunds construction and some parks operations

Fuel Tax 1 – 5 centsFuel Tax 1 – 5 cents Funds transportation projectsFunds transportation projects

Impact feesImpact fees Funds capital projects for parks, transportation and fireFunds capital projects for parks, transportation and fire

Tourist tax 4Tourist tax 4thth cent cent Construction of signature projectConstruction of signature project

Fire Services AssessmentFire Services Assessment Funds fire protection servicesFunds fire protection services CST and PST shift to MSTU or General FundCST and PST shift to MSTU or General Fund

4848


Revenue Diversification OptionsRevenue Diversification Options Long Range OptionsLong Range Options

Storm water feesStorm water fees Occupational fees (business tax)Occupational fees (business tax) Assessments for Services (parks, EMS)Assessments for Services (parks, EMS)

4949


Local Option Fuel TaxesLocal Option Fuel Taxes Counties can levy up to 12 cents per Counties can levy up to 12 cents per

gallon from three separate leviesgallon from three separate levies 1 Cent (Ninth Cent Fuel Tax) currently levied1 Cent (Ninth Cent Fuel Tax) currently levied 1-6 Cents (Local Option Fuel Tax) currently 1-6 Cents (Local Option Fuel Tax) currently

leviedlevied 1-5 Cents (21-5 Cents (2ndnd Local Option Fuel Tax) not levied Local Option Fuel Tax) not levied

5050


22ndnd Local Option Fuel Tax (1 – 5 cents) Local Option Fuel Tax (1 – 5 cents) Can be levied by a supermajority vote of Can be levied by a supermajority vote of

the Boardthe Board Proceeds shall be used for transportation Proceeds shall be used for transportation

expenses including construction, expenses including construction, reconstruction and resurfacing of roadsreconstruction and resurfacing of roads

Cannot be used for routine maintenanceCannot be used for routine maintenance Ordinance to levy tax must be adopted by Ordinance to levy tax must be adopted by

June 30 for January 1 effective dateJune 30 for January 1 effective date Estimated revenue for each cent is Estimated revenue for each cent is

$1,100,000 per year (County share $1,100,000 per year (County share $574,000 or 52.15% of collections)$574,000 or 52.15% of collections)

5151


Federal & State Tax is 33.30 cents per gallon

Local option fuel taxes for surrounding counties

Rates as of January 2007

5252


Federal & State Rate 33.30 cents per gallon

Local option fuel taxes for State


5353


Local Government Infrastructure SurtaxLocal Government Infrastructure Surtax .5% or 1.0% on taxable sales transactions.5% or 1.0% on taxable sales transactions Can only be levied by countywide Can only be levied by countywide

referendumreferendum Proceeds can be used to finance, plan and Proceeds can be used to finance, plan and

construct infrastructure or acquire land for construct infrastructure or acquire land for recreation, conservation of natural resourcesrecreation, conservation of natural resources

DOR must receive notice by November 16 DOR must receive notice by November 16 for January 1 effective datefor January 1 effective date

Revenue estimated for each percent is Revenue estimated for each percent is $45,000,000 per year$45,000,000 per year

5454


Local discretionary sales surtax rates (all options) for surrounding counties


5555


Local discretionary sales surtax rates (all options) for State


FY08 Budget Planning FY08 Budget Planning CalendarCalendar

5757


FY08 Budget Planning CalendarFY08 Budget Planning Calendar Draft for Board Approval in March 2007Draft for Board Approval in March 2007 Revenue Discussions in April/May 2007Revenue Discussions in April/May 2007 Legislative Update June 2007Legislative Update June 2007 Tentative Budget Presentation June/July Tentative Budget Presentation June/July

20072007 Special Board Budget Meetings July/August Special Board Budget Meetings July/August

20072007 Public Hearings September 2007Public Hearings September 2007

5858


Fiscal challenges aheadFiscal challenges ahead Federal and State LegislationFederal and State Legislation

Unfunded mandates and changes to shared Unfunded mandates and changes to shared revenuesrevenues

Growth in Ad Valorem revenues will most Growth in Ad Valorem revenues will most likely be limited by Legislative actionlikely be limited by Legislative action

Limited financial participation from Limited financial participation from municipalities for public safety servicesmunicipalities for public safety services

Funding of operating costs related to Funding of operating costs related to capital projectscapital projects

5959


Recommendations Financing Quality of Life Summit

Dedicated to sales tax implementation Following Legislative Session

Additional Revenue Diversification Budget meetings

April/May Awareness of lowering property tax in all

discussions coming before Board ie. Capital projects/developer agreement; program enhancements funded by General Fund

Municipal law enforcement agreements should be in place by May 1

QuestionsQuestions

OMB Internet site OMB Internet site http://http://omb.alachua.fl.usomb.alachua.fl.us//

http://omb.alachua.fl.us/



Documents

Budget Allocation Discussion FY 2008 and FY 2009