Budget Presentation 2015 Moving South Bend Forward We know what we - - PDF document

2015 Budget Presentation

Moving South Bend Forward

“We know what we must do, and we increasingly know how to do it. We know how to come together and how to tear down barriers. We know how to focus on what matters most. We know what it means to work extraordinarily hard for a common purpose.” —Mayor Pete Buttigieg

Expanding our economy and creating jobs remains a top priority.

The design of streets and corridors has a major economic impact.

It’s been a year of progress on addressing the challenge of vacant and abandoned houses.

We take resident listening seriously.

Three Key Elements of City Government

• Make Basics of Life Easy
• Offer Cost-Effective, Good Government
• Create an Environment Where Everyone

Can Thrive

Incentives spur development—and help make South Bend’s economic progress possible.

City government must be nimble, streamlined, and strong to deliver on the expectations of residents.

We must continue to adjust to new economic realities.

80% 85% 90% 95% 100% 105% 110% 115% 120% 125% 2006 2007 2008 2009 2010 2011 2012 2013 2014 Pay Year

Change in Gross AV for all Indiana Counties

Indexed to 2007

Real GAV

The General reassessment in 2006‐07 captured growth in market value from 1999 to 2005 (a 6‐year time period). Between the 2008‐09 and 2011‐12 tax years, AV growth stagnated due the effects of the National Recession. In the 2013 reassessment, Assessed Values decreased by 1.3% statewide In the 6 year period between 1999 and 2005, market values increased by 20%. In the 6‐year period between 2007 and 2013; market values increased by 0.6$ Between 2007 and

• 2014. BPP GAV

increased by 18%; Real GAV increased by 5% Statewide eliminatio n of the inventory tax in 2007

The Circuit Breaker hurts local governments.

• The 25 cities with the highest circuit breaker tax impact

have losses ranging from 25% to 50% of their levy.

• These losses have been increasing each year and will

continue to grow over time. Growth in assessed values simply do not keep pace with growth in levies.

Differential Impacts of the Circuit Breaker Credit

• n Municipalities Throughout the State

Percentage of Property Taxes Lost to Circuit Breaker High Low County Population (Log Scale) High Population Low Population

Localized Issues Rural; Low Tax Good Condition

Gary Muncie South Bend Beech Grove Indianapolis Elwood Anderson Fishers Bloomington Median CB Loss = 10% Median Population: 12K

High Concern

Morgan Benton

By the Numbers

• 2014 Amended Budget: $367,473,261
• 2015 Budget: $311,402,793

4% 24% 20% 30% 13% 9% City of South Bend ‐ 2015 Proposed Expenditure Summary

General & Administrative Public Safety Economic Development Utilities Neighborhoods Internal Service Funds

1050 1100 1150 1200 1250 1300 1350 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Total Number of Employees Fiscal Year

City of South Bend Full‐Time Employees

2015 Budget Priorities

• Neighborhood Improvements
• Smart Streets
• Public Safety

2015 Budget Priorities

• Vacant and Abandoned initiative
• Technology and Innovation
• South Bend 150

The city administration’s success depends largely on our ability to fund, organize, retain, and equip a successful professional organization.

Partnerships are Necessary

“We’re building a safe, well-connected community where everyone can thrive.” —Mayor Pete Buttigieg

We’re moving forward—fueled by our City’s accelerating comeback.

2015 Budget Presentation