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FY22 YEAR END PRELIMINARY PRESENTATIONSubtitle FY 2022 PRELIMINARY YEAR END PRESENTATION 2022 PRELIMINARY CASH REVENUE REVIEW 2022 2021 DIFFERENCE OVER (UNDER) Real Estate 25,894,581.13 26,423,694.28 (529,113.15) Personal Property 10,740,500.34 9,006,625.73 1,733,874.61 Mobile Home & Barns 229,382.10 230,101.90 (719.80) Machinery & Tools 1,809,294.03 1,636,568.47 172,725.56 Merchant's Capital 372,105.94 418,562.78 (46,456.84) Public Service Corp-Real Estate 2,682,562.25 3,373,756.15 (691,193.90) Public Service Corp-Personal Property 372,648.43 794,111.48 (421,463.05) Meals Tax 1,433,981.97 808,528.71 625,453.26 Transient Occupancy Tax 12,426.45 - 12,426.45 TOTALS 43,547,482.64 42,691,949.50 855,533.14 MAJOR REVENUE SOURCES-CASH COMPARISON 2021 COMPARED TO 2022 2022 ACTUAL 2022 BUDGET PERCENTAGE OF BUDGET COLLECTED Real Estate 25,894,581.13 25,459,247.00 1.02 Personal Property 10,740,500.34 9,358,867.00 1.15 Mobile Home & Barns 229,382.10 229,311.00 1.00 Machinery & Tools 1,809,294.03 1,699,430.00 1.06 Merchant's Capital 372,105.94 317,336.00 1.17 Public Service Corp-Real Estate 2,682,562.25 2,256,901.00 1.19 Public Service Corp-Personal Property 372,648.43 434,120.00 0.86 Meals Tax 1,433,981.97 1,160,000.00 1.24 TOTALS 43,535,056.19 40,915,212.00 MAJOR REVENUE SOURCES-ACTUAL COMPARED WITH BUDGET 2022 2022 PRELIMINARY CASH EXPENDITURE VS REVENUE REVIEW TOTAL REVENUE TOTAL EXPENSE General Fund 75,160,099.71 71,835,982.27 Water & Sewer Fund 2,919,565.08 3,865,432.00 Landfill Fund 6,000,227.03 5,657,038.92 ARPA Obligations Government Services 10,000,000.00 Government Services enables us to cover: Broadband Infrastructure 6,515,000.00 Volunteer Fire and Rescue Grant 1,000,000.00 Horseshoe Road Water Extension 873,000.00 Robin Court Water System Improvement 965,382.00 FY2023 Budget Obligations-Not Yet Earmarked 646,618.00 Premium Pay Bonus-County Employees 642,182.90 Vaccine Incentive-County Employees 324,784.78 Vaccine Incentive-Fire & Rescue Volunteers 81,500.00 Hazard Pay Bonus-Volunteers 62,286.35 FY2023 Budget Obligations-Not Yet Earmarked 166,914.00 Amount Not Yet Designated 445,368.97 TOAL ARPA FUNDING 11,723,037.00 Pittsylvania County ARPA Funding Obligations ECONOMIC IMPACTS ➢Salaries and Benefits are up 7% over last year ➢High turnover rate for employment and struggling to find qualified applicants to fill open positions ➢The VRS rate increased 13.4% over last year ➢Fuel costs have increased 95% ➢Reassessment cost is $150K more than FY2023 budgeted ➢Reassessment not due to be complete until January 24 –no new revenues from the reassessment until FY2025 ➢Construction Costs have increased, and supply chain issues slow anticipated completion dates ➢Cost of Borrowing has increased ➢No NEW funds budgeted for economic development incentives ➢Major construction projects are on the horizon What can help with these impacts? ➢Building Permits for construction continue to be up –we are up 67 permits over this same time period last year ➢Building Permits are being worked back to 2019 by the reassessment contractor and the 4,800 discovered buildings are also being worked ➢Collection efforts are occurring in various departments to ensure the County is receiving all income Contingency Fund BUDGET Reassessment 500,000.00 BJA Bulletproof Vests 9,875.00 Voting Equipment 150,000.00 Circuit Court Clerk Position+Benefits 48,934.00 (Base Salary-33,500) EMS Supplements ($15 to $25 per call)77,500.00 Volunteer Contribution 121,000.00 Ringgold Rail Trail Bridge Grant Match 75,000.00 TOTAL 982,309.00 GRANTS/CONTINGENCIES SINCE BUDGET County Administrator Search Grant Local Match 5,000.00 Body Cameras Local Match 141,880.85 Reassessment Contract 113,000.00 Dam Design and Engineering Local Match 34,300.00 AMOUNT SHORT 294,180.85 CONTINGENCY/GRANT LOCAL MATCH-2023 •Definition -Unassigned Fund Balance is the residual classification for the government’s general fund and includes all spendable amounts not contained in other classifications. •Our current financial policy governs the amount needed to remain in unassigned fund balance. The policy currently states: •An Unassigned General Fund Balance should not be less than 20%of the average actual General Fund Expenditures for the preceding three fiscal years to address natural and manmade disasters and to offset budget fluctuations. •Based on the last 3 fiscal years, our balance should be above $14.2 million. What is Unassigned Fund Balance Fund Balance* *Fund Balance totals are a snapshot in time at 6-30 each year.These balances are higher than at any other time during the year because year-end occurs just after a tax due date. Much of the funds above the minimum balance have already been obligated for the next fiscal year. Next Steps ➢August 16, 2022 –Public Hearing will be held for the Board to approve FY2022 budget amendments ➢September 20, 2022 –Public Hearing will be held for the Board to approve FY2023 budget amendments ➢July 19, 2022 –September 30, 2022 –Preparation for annual FY2022 audit by Finance ➢Week of October 3 –7, 2022 –Final FY2022 audit fieldwork performed by RFC ➢December 20, 2022 -Presentation of Annual Financial Statements by RFC