first selectman’s 2021-2022 budget presentation
TRANSCRIPT
First Selectman’s2021-2022
Budget PresentationJanuary 2021
Outline of Presentation
1. COVID-19 Impact2. BET Guidelines3. Capital Budget4. Operating Budget 5. Headcount6. Summary
COVID-19: Vaccine Scheduling Options1
2
3
COVID-19 Impact: Total Cases and Deaths
As of January 22, 2021:
3,121 Total cases (confirmed + probable)79 Total deaths (confirmed + probable)
COVID-19 Impact: Town Hall Visitor Count
70% reduction in average daily visitors
COVID-19 Impact: Daily Website Views
92% growth in average daily website visitors
COVID-19 Impact: Visitors vs. Website
COVID-19 Impact: Griffith E. Harris Golf Course
COVID-19 Impact: Building Permit Activity
The Town never stopped inspecting or issuing building permits.
COVID-19 Impact: Business Community
• State of CT had record year of entrepreneurship, Chamber had 70 businesses sign-up for membership, many of them new businesses.
• While COVID created incredible challenges for businesses in town, it did not stop new businesses from starting up.
COVID-19 Impact: Business Community
• Restaurant sector openings and closures. Importance of outdoor dining, marketing, and curbside pickup.
• Businesses focused on home goods and lifestyle brands doing well.
• Second floor beauty – hair/massage/nail salons – business off as much as 50%.
COVID-19 Impact: Greenwich Unemployment Rate
BET Guidelines
BET Guidelines - Highlights• The impact of COVID-19 during the FY22 budget
cycle is unclear.
• Residents have experienced financial uncertainty due to COVID-19, with some suffering job furloughs, losses, or reduced compensation.
• Identifying opportunities for the potential reduction in personnel and related costs.
BET Guidelines - Highlights• The BET recognizes the burden on Greenwich
families in these times.
• The Town and the BOE/Schools must continue to offer services that make Greenwich the best place to live, raise a family, start a business, or retire.
BET Guidelines - Highlights• Mill rate increase of 1.67%
• Based on continuation of current operations, expected labor settlements, and a modified capital plan
• Capital Projects $55 million
• Estimated Budget Increases, without benefits:• 3.38% for BOE• 1.24% for Town
Capital Budget
• Governed by Article 2. Section 21 of Town Charter
• Capital improvements substantially affect the fiscal vitality and quality of life in Greenwich.
• Capital improvements require careful, long-term planning and budgeting so that unforeseen financial emergencies do not curtail planned maintenance and necessary replacement.
Capital Overview
• Departments submitted 15-Year Capital Plan• Hard focus on years 1-5
• Reviewed list of projects deferred in FY21• $38.978M was moved to future years
• First Selectman reviewed projects:• Priority on maintaining existing assets• Moved vital projects forward for funding
Capital Budget Process
$18M - EGCC$10M - GHS Soil$8M - WMS Soil
$25M - JC School$11M - RSBP$10M - GHS Soil
$17M - Hamill Rink$9M - HVAC - BOE$4M - GHS Soil
$26M - OG School$23M - HVAC - BOE$4M - GHS Soil
$41M - GHS School$25M - RV School$10M - Roofs BOE
1Maintenance
2Replacement
3 Upgrade
4Discretionary
5New Project
5 Capital Categories
5 Capital Categories1. Maintenance = preserving, keeping in good condition
2. Replacement = takes the place of, or substituted similar
3. Upgrade = higher standard, improve
4. Discretionary = optional, open to choice
5. New Project = not existing before
Maintenance
Replacement
UpgradeDiscretionary
New Project
• Town’s capital plan includes:
• Continuing to build on work and focus that started in 2016; funding for Cybersecurity Program ($1.3M) • Coordination continues with Town Hall, BOE, Libraries,
and Nathaniel Witherell meeting with Cybersecurity Task Force
• Soil Remediation Projects• Greenwich High School ($10M)• Western Middle School Fields ($8M)
FY22 Capital Budget
• Phase I completed
• Phase II Public Meeting at 6pm on January 27, 2021
• Public Comment period open through February 27, 2021
• 3 years of funding, totaling $24M
GHS Soil Remediation
Eastern Greenwich Civic Center
• Construction costs: $18M
• M.I. and Preliminary Site Plan approval in November, 2020
• Expected to bid by October 1st, 2021
• $1.4M provides permanent solution for the station located on King Street bordering Griff Harris Golf Course.
• This has been discussed since FY16.
GEMS Station 4
Roger Sherman Baldwin Park
Roger Sherman Baldwin Park
Roger Sherman Baldwin Park
Roger Sherman Baldwin Park
Roger Sherman Baldwin Park
Roger Sherman Baldwin Park
Roger Sherman Baldwin Park
Roger Sherman Baldwin Park
Roger Sherman Baldwin Park
• FY22 = $1.25M for design: • Relocation of P&R• Improvements to Park
• FY23 = $11.2M for construction of park and relocation of facilities
• $950K for design and construction plans
• $17M for construction in FY24
Dorothy Hamill Rink Facility
$18M - EGCC$10M - GHS Soil$8M - WMS Soil
$25M - JC School$11M - RSBP$10M - GHS Soil
$17M - Hamill Rink$9M - HVAC - BOE$4M - GHS Soil
$26M - OG School$23M - HVAC - BOE$4M - GHS Soil
$41M - GHS School$25M - RV School$10M - Roofs BOE
Capital Debt Service Impact
100% of FY22 50% of FY23
50% of FY22
100% of FY22 100% of FY2350% of FY24
100% of FY22 100% of FY23100% of FY2450% of FY25
100% of FY22 100% of FY23100% of FY24100% of FY2550% of FY26
50% of FY22 100% of FY23100% of FY24100% of FY25100% of FY2650% of FY27
DEBT SERVICE PAYMENTS
• Review at least 5 years of projects, not just FY22• Avoid shifting projects to outer years, without rebalancing plan• Remember $38.978M was moved to future years
• Town made several changes to reflect choices:• Prior capital plan showed $5.5M for new ferry boat, decided to
repower existing fleet for $1.05M• Level funded paving and highway maintenance projects• Shifted several projects to reduce capital request
• 15-year budget may be overstated, clarity on scope of projects will reduce total 15-year budget, as well as projected debt service:
Future Capital Review & Planning
1. FY22, rethink projects if rebuild? $762,000 2. FY23-26 avoidance? $18,453,000 3. FY34 $102M for new school
Potential Cost Avoidance: Central MS
1. FY23-26 avoidance? $5,879,000Can these projects be avoided if building is renovated?
Potential Cost Avoidance: Julian Curtiss
1. FY23-26 avoidance? $9,279,000Can these projects be avoided if building is renovated?
Potential Cost Avoidance: Old Greenwich
Operating Budget
Category FY20-21 FY21-22 $ Change % Change
Town Services 118,808,293 120,863,198 2,054,905 1.73
Education 163,364,192 169,846,597 6,482,405 3.97
Fixed Charges 115,208,768 108,939,790 (6,268,978) (5.44)
Total Operating 397,381,253 399,649,585 2,268,332 0.57
Capital 51,000,000 51,000,000 0 0.00
Total 448,381,253 450,649,585 2,268,332 0.51
FY22 Budget Summary - Expense
Category FY20-21 FY21-22 $ Change % Change
Health Care 53,548,000 58,894,000 5,346,000 9.98Health Care - Employee Premium 0 *(6,900,000) (6,900,000) N/AOPEB 3,450,000 3,836,000 386,000 11.19Pension Contribution 28,031,000 30,387,000 2,356,000 8.40Risk Fund 3,000,000 2,350,000 (650,000) (21.67)Nathaniel Witherell 1,500,000 1,500,000 - 0.00School Lunch 220,000 150,000 (70,000) (31.82)NW & School Lunch - Prior Yr Losses 4,100,000 1,520,000 (2,580,000) (62.93)Insurance 4,159,300 5,059,100 899,800 21.63Other Fixed Charges 17,200,468 *12,143,690 (5,056,778) (29.40)
Total 115,208,768 108,939,790 (6,268,978) (5.44)
FY22 Budget Summary - Fixed Charges
*Employee healthcare premium and bond premium amortization (other fixed charges) have been reclassified from a revenue to a reduction in expense.
Nathaniel Witherell• Maintains funding of $1.5M
• First Selectman issued RFP #7568 for Management Services for TNW in October 2020
• 9 response received in December 2020
• RFP based on BET reports issued in 2017 & 2019• Committee currently reviewing proposals• Recommendations expected Spring 2021
Nathaniel Witherell
• TNW Management is working on:• Improving operational efficiencies
• Vendor reviews • Instilling managerial discipline
• OT management• Evaluating right organizational structure
• Revenue development• Diversification of services
Category FY20-21 FY21-22 $ Change % Change
Use of Fund Balance 15,000,000 15,000,000 - 0.00Transfer - Fund Bal 4,100,000 1,520,000 (2,580,000) N/AUse of Capital Non-Rec 0 3,000,000 3,000,000 N/AState and Federal Aid 32,400 2,009,974 1,977,574 6,103.63Transfer - Other Funds 9,401,981 9,837,000 435,019 4.63All Others 37,560,989 *27,808,727 (9,752,262) (25.96)Property Taxes 382,285,883 391,473,884 9,188,001 2.40Total 448,381,253 450,649,585 2,268,332 0.51
FY22 Budget Summary - Revenue
*Employee healthcare premium and bond premium amortization (other fixed charges) have been reclassified from a revenue to a reduction in expense.
Headcount
Category FY20-21 FY21-22 Change
Town General Fund 907.41 899.26 (8.15)
BOE General Fund 1,388.79 1,379.49 (9.30)
Town Other Funds 301.40 301.40 0.00
BOE Other Funds 92.75 92.80 0.05
Total 2,690.35 2,672.95 (17.40)
FY22 Headcount Change
Full Time Equivalents = part-time, seasonal, and full-time positions
FY22 Headcount ChangeTown Full-Time Positions Eliminated:
• 1.0 Internal Auditor Manager (salary to outside auditor)
• 1.0 Administrative Staff Assistant I (Tax Assessor)
• 2.0 Legal Assistant I & Town Attorney III
• 1.0 Administrative Staff Assistant II (Inland/Wetland)
• 1.0 General Services Director, Police
• 2.0 Uniformed Police Officers
FY22 Headcount ChangeTown Part-Time Positions Eliminated:
• 0.71 Procurement Specialist (Purchasing)• 0.15 Professional Temp (Tax Collector)• 0.71 Admin Staff Asst (Land Use)
Town Part-Time Positions Add:• 0.71 Environment Affairs Admin
• Net impact of FTE = Reduction of 0.29• 0.71 Economic Development Director (OFS Budget)
• Focus on business recruitment and retention
Summary
• Budget increase of 0.51%• Includes $88.8M of general fund capital
• Mill Rate increase 11.590 to 11.793 (1.75%)
• Taxpayer with a $1M assessed home value will have a $203 increase in property taxes
Budget Summary
• Operating Budget = continuation of services, with reduced headcount
• Capital Budget = getting projects done that are important to the community
• Mill Rate = respecting impact on tax payers in the current economic environment
Budget Summary
First Selectman’s2021-2022
Budget PresentationJanuary 2021