2023c ABC Board Minutes - Laserfiche WebLink

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it ORANGE COUNTY ABC BOARD—AGENDA FORM Meeting Date: June 20,2023 Agenda Item 8 Regular Session X Closed Session_ Presenter/Information Contact: Ron McCoy Subject: Draft BUDGET for Fiscal Year 2024 Attachment(s): j 1. Attachment General Manager's Budget Message 2. Attachment Annual Budget(Draft) 3. Attachment Budget Ordinance (Draft) Summary/Explanations: Sales - i While sales have been expected to ease from the pandemic-elevated levels of the past year, the introduction of new stores in Southern Village and Mebane has piqued consumer interest. LBD sales were greatly suppressed during the pandemic era with the closure of bars and restaurants. While these sales rebounded in FY 2023, we anticipate that they will subside in FY 2024. For FY 2024, store sales are projected to increase 2.37% while LBD/commercial sales are expected to decline by-10.13%. Total sales are projected to increase by 0.31%. Payroll Payroll-related expenses are anticipated to remain elevated. With the completion of the two stores in the previous years, operational expenses are expected to ease somewhat with decreases in store expenses and maintenance costs. I Wages are projected to increase by 6.74% while taxes are expected to rise by 6.36% and retirement costs by 7.15%. Group health insurance is expected to increase by 6.76%. While the retiree actuarial calculation for FY 2024 is to be determined, for budgetary purposes, it is estimated to increase by 23.05%. Total payroll-related expenses are projected to increase by 7.30%. I i Operational Expenses I I With the completion of the two new stores in the previous year, store and office expenses are expected to decline. Store expenses are decreased -7.91%while office expenses are decreased by -17.86%. In anticipation of the upcoming annual state conference,board expenses have been increased by 23.19%. Employee travel expenses have been adjusted accordingly,up $2,000 (133.33%). i i Page 1 of 6 pages