FY2011 Budget Forum

February 13, 2010

Goals

• Inform about City Budget

• Engage on your values and priorities

• Gather your in-put

• Respond to your questions

• Listen to your comments

Budget Calendar• Thurs. Feb 18 -- Second forum • Tue. March 2 -- School Board Budget• Mon. March 8 – Manager Budget

Recommendations• Town hall meetings

– Saturday, March 20– Saturday, April 10

• Budget public hearings– Monday, March 22– Monday, April 12– Monday, April 26 (Budget Adoption)

Send Comments to: budget@fallschurchva.gov

The “Gap”

Revenues 57,553,000

Expenditures 66,465,000

Gap (8,912,000)

Assumes: no tax or fee increases, no pay increases, FY2010 reductions carry forward

Real estate tax only solution results in a tax rate of $1.37

Revenue Sources

Sales Taxes13%

Business Licenses

4%

Charges4%

Transfers3%

Investments.8%

Property Taxes56%

Other6%

Capital9%

State & Federal5%

Components of the “GAP”

4,475,342

2,212,411

623,747

875,000

$725,500

$0

$1,000,000

$2,000,000

$3,000,000

$4,000,000

$5,000,000

$6,000,000

$7,000,000

$8,000,000

$9,000,000

$10,000,000

1

Pension Cost

Sales Tax

All other Revenues

Court Ruling on Water Fund

Property Assessments

FY11 Budget Scenarios

FY2010 Budget

No Change in RE Rate

$0.10 Increase

$0.15Increase

$0.20Increase

$0.25Increase

$0.30Increase

$ 66,465,000 $ -8,912,000 -5,894,000 -4,394,000 -2,894,000 -1,394,000 0

Median Homeowner

Tax bill $ 6,289 6,876 7,170 7,464 7,758 8,052

$0.01 change in RE tax rate = $300,000 in revenue

$0.01 change in RE tax rate = $60 increase for average homeowner

$1.07 = current city RE Tax Rate

NoVA Real Estate Tax Rates

2008 2009 2010

Manassas Park 1.140 1.240 1.650

Leesburg 1.155 1.320 1.440

Manassas 1.015 1.050 1.370

Herndon 1.130 1.160 1.300

Vienna 1.086 1.120 1.268

Loudoun 0.975 1.140 1.245

Prince William 0.838 0.970 1.212

Falls Church 1.010 1.030 1.070

Fairfax County 0.890 0.920 1.040

City of Fairfax 0.720 0.790 0.935

Alexandria 0.830 0.845 0.887

Arlington 0.819 0.848 0.878

Expenditures

Schools44%

Community Development

3%Public Safety

13%

Judicial3%

General Government

10%

Public Works8%

Housing & Human Services

4%

Rec & Parks7%

Debt Service8%

General Government Budget Trends

7,000,000

9,000,000

11,000,000

13,000,000

15,000,000

17,000,000

19,000,000

21,000,000

23,000,000

2006 2007 2008 2009 2010

Personnel Other Operating

FY10 Total Budget: $4.3 million below FY08 (-6%)

General Government Reductions

• Employee Compensation– Employee Benefits

• Re-organization

• Lines of Service

Values and Priorities

10:30 Table Top Discussion– Seek consensus on top values/priorities

10:55 Individual “voting”

11:05 Budget Process – Next Steps

11:10 Public Comment and Questions

-- starting with Table Reports

Noon Adjourn

Budget Calendar• Feb 18 - Second forum • Feb School Board Budget• Mar 8 – Manager’s Budget Recommendations• Town hall meetings

– Saturday, March 20– Saturday, April 10

• Budget public hearings– Monday, March 22– Monday, April 12– Monday, April 26 (Budget Adoption)

Send Comments to: budget@fallschurchva.gov