|
Alternative Scenarios For Possible Modifications to the FY 2005 -06 Manager's
<br />Recommended Budget
<br />"Manager's Note: The following alternative scenarios reflect the areas that I have identified for progressive cuts to reduce the tax rate increase
<br />penny by penny. The cuts in the first two columns could be considered and not dramatically erode the priorities of capital funding, critical
<br />needs reserve, pay plan, and school current expense. The consideration of cuts to 3 cents or beyond will seriously erode these budget
<br />priorities, in my opinion."
<br />The Manager's Recommended 2005 -06 fiscal year budget proposed a tax rate of 86.8 cents per $100 valuation, reflecting an increase of 9 cents over the
<br />revenue neutral rate of 77.8 cents. The tax rate increase was necessary in order to fund several major budget drivers - increased funding for schools, full
<br />funding of school and County capital in accordance with Option 2 recently adopted by the BOCC, and increased debt service for School and County capital
<br />projects.
<br />Some of the budget drivers have more flexibility than others, meaning that funding could conceivably be phased in over more than one year. The following
<br />budget drivers have some flexibility: increase in the current per pupil appropriation; full funding of School and County recurring capital; employee pay and
<br />benefits; and the reserve fund to address priority funding needs. However, increases related to debt service, medicaid, fuel and utilities obligatory, meaning
<br />that the County is either mandated to pay the expenses or is already experiencing increased costs. The obligatory elements of the Manager's
<br />Recommended 2005 -06 budget increase total $2.9 million ($1.9 million for increased debt service and $1 million for rising costs of Medicaid, fuel and
<br />utilities). The following table offers various ways the Board could conceivably consider decreasing the recommended tax rate increase of 9 cents down to
<br />2. 5 cents (the amount necessary to fund the mandated budget drivers).
<br />Page 2 of 3 potential cuts.xlsscenarios
<br />From 86.8:
<br />From 86.8
<br />From 86:8
<br />From 86.8
<br />From 86.8
<br />From 86.8
<br />Alternative Scenarios for Possible Budget
<br />cents to 85.6
<br />cents to 84:5
<br />cents to 818
<br />cents to 82.8
<br />cents to 81.8
<br />cents to 80.3
<br />Modifications :
<br />cents
<br />cents
<br />cents
<br />cents'
<br />cents
<br />cents
<br />Cent Equivalent
<br />1
<br />2
<br />3
<br />4
<br />5
<br />6,5
<br />Total Budget Cuts for Countyand Schools --
<br />$1,187,580
<br />._.:.
<br />$2,375,160
<br />$3,562,740
<br />.....
<br />$4,750 320
<br />,
<br />$5,937,900
<br />$7,71.9,270;
<br />Menu
<br />Item
<br />Item #
<br />3. Critical Needs Reserve - Manager's Recommended Budget includes $850,000 appropriation for fiscal year 2005 -06 to be combined with $150,000 carry forward from
<br />current fiscal year
<br />3 -a.
<br />Reduce funding for Critical Needs Reserve
<br />$425,000
<br />$425,000
<br />$500,000
<br />$500,000
<br />$700,000
<br />Total Critical Needs Reserve Decreases
<br />$0
<br />$425,000
<br />$425,000
<br />$500,000
<br />$500,000
<br />$700,000
<br />4. Employee Pay and Benefits Plan - Manager's Recommended budget includes $1.5 million for employee pay and benefits (provides for 2.5% COLA effective July 1,
<br />2005, 2.5% in- range, meritorious service awards of $750 and $1,500, $5 increase in County 401(K) contribution)
<br />4 -a.
<br />Delete meritorious services awards
<br />$159,000
<br />$159,000
<br />$159,000
<br />$159,000
<br />4 -b.
<br />Delete 401 (k) plan improvement
<br />$86,320
<br />$86,320
<br />$86,320
<br />$86,320
<br />4 -c.
<br />Reduce In -Range increase to 2%
<br />$76,731
<br />$76,731
<br />°o
<br />0
<br />0
<br />o
<br />4 -d.
<br />Eliminate In -Range increase
<br />$383,654
<br />4 -e.
<br />Reduce COLA increase to 2%
<br />$173,254
<br />$173,254
<br />$173,254
<br />4 -g.
<br />Reduce Employee Pay and Benefits Plan to $395,305
<br />Total Employee Pay and Benefit Decreases
<br />$0
<br />$245,320
<br />$495,305
<br />$495,305
<br />$802,228
<br />$1,100,000
<br />Page 2 of 3 potential cuts.xlsscenarios
<br />
|