Somerville Budget Overview Mayor Joseph A. Curtatone June 12, 2017 - - PowerPoint PPT Presentation
F Y 1 8 Somerville Budget Overview Mayor Joseph A. Curtatone June 12, 2017 Serving Somerville Together A near level- service budget focused on Budgeting strategically with an eye to the future Keeping our schools on a path of success
Mayor Joseph A. Curtatone June 12, 2017
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Budgeting strategically with an eye to the future Keeping our schools on a path of success
Serving Somerville Together
Strengthening core services to enhance our quality of life Meeting community needs and responding to community priorities
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A near level-service budget focused on…
FY2018 Appropriations
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Total Municipal Appropriation State Assessments Total Operating Budget
FY18 General Fund Budget
$233M $15.8M $217.2M
4.79% increase over FY2017
29% 18% 17% 12% 9% 6% 4% 2% 2% 1%
School Department Public Safety Pension & Fringe Public Works General Government State Assessments Debt Service Culture & Recreation Other Overlay Reserve 4
Year-over-Year Growth FY17-FY18
$0k $500k $1.0M $1.5M $2.0M $2.5M $3.0M $3.5M
FY18 Levy Limit = $143M
$664k under limit
FY2018 Revenue by Source
Property Taxes 61% State Revenue 21% Licenses & Permits 6% Excise Taxes 4% Other Financing Sources 3% Fines and Forfeits 3% All Other Revenue Sources 2%
Property Taxes State Revenue Licenses and Permits Excise Taxes Other Financing Sources Fines and Forfeits Fees PILOT Payments Miscellaneous Recurring Penalties and Interest
Changes in FY18:
highs
Planning for Greater Self- Reliance
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State aid down 39% since 2002 Growing local revenues help address the loss
$57M $34.6M
Historical New Growth Review
9 0.0 0.5 1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 5.0 Millions
*FY18 Projected
Projected New Growth Contributors for FY18: ASQ Block 11 (Retail) ASQ Block 6 (Mixed Use) ASQ Block 5A (Hotel/Res/Retail) $2.9M
$192k $280k $820k $1.3M $0.0 $0.2 $0.4 $0.6 $0.8 $1.0 $1.2 $1.4 $1.6 FY12 FY13 FY14 FY15 FY16 FY17 FY18 (Est) Millions
PILOT Payments Increasing
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Other Revenues & Excise Trends
$604k $947k $0.0 $0.2 $0.4 $0.6 $0.8 $1.0 Millions
Hotel/Motel Excise Revenue
$1.1M $2.0M $0.0 $0.5 $1.0 $1.5 $2.0 $2.5 Millions
Meals Tax Revenue
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FY18 Building Permit Projection
$2M $1.3M $0.5M $1.8M $3.9M $- $1 $2 $3 $4 $5 $6 $7 $8 $9 $10
Projected Building Permit Revenue FY18 ASQ Block 8 USQ Block D2.3 USQ Block D2.2 Medium Projects >$50k Small Projects <$50k (In millions of dollars)
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Board Action Needed on Parking Meter Receipts
parking meter receipts to reduce the tax levy, which reduces tax growth.
Act now designates meter receipts as general fund revenue.
asked to vote to accept three statutes, which will collectively allow the existing practice.
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Photo Flickr Joey Zanotti http://bit.ly/2rhSW3h 14
Maintaining Historic Level of Investment in Our Schools
Readiness and Pre-K, including Head Start
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Priorities in FY18:
Investing in our Human Capital
avoid:
institutional knowledge
planning for anticipated union contract agreements
Municipal Compensation Advisory Board (MCAB) approved salary adjustments
Recruiting and retaining high-quality, diverse staff
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Funding Preventive Maintenance Now to Save on Costs Later
increase to invest in and maintain City vehicles
Ground increase to maintain our parks, schools, very old buildings and community spaces
Preventive maintenance pays for itself and more in improved asset longevity and decreased repair costs.
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Funding Community Priorities
Field Maintenance
use and demand, double the funding for field maintenance.
Workforce Development
workforce development plan
fabrication lab manager
culinary entrepreneurship
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Expanding Access to Knowledge and Learning
will allow the Libraries to offer services and programming that residents value.
materials funding will go to traditional, digital and innovative resources.
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Minimal New City Positions
3.125 New Positions
Coordinator
(added 5 hours per week to position)
Budget Neutral Staff Changes
We’ve also combined positions and transitioned existing positions to meet our needs with no budget impact. Our new tax
example.
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GLX High School Citywide & Union Sq. Infrastructure Other Capital Projects
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And we are on our way, despite challenges
23 SomerVision: Baseline set in 2010, adopted in 2012
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Our highest bond rating ever A growing commercial tax base
Together, we’ve kept our finances strong and sound
Growing stabilization funds Addressing long-term liabilities
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GLX Stabilization Fund:
the Green Line Extension.
fund.
Facility Construction & Renovation Fund:
High School Renovation.
permit revenue.
Our stabilization funds are growing, which ultimately helps keep our borrowing costs down. In this budget, we propose several significant contributions to our reserves.
26 GLX Fund:
House school sale.
proposed.
contributions. Facility Construction & Renovation Fund (intended for SHS):
building permit revenue.
proposed. Water and Sewer Stabilization Fund:
proposed.
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Somerville: $2,737
One of the Lowest Spending per Capita in State
(General Fund FY17)
Cambridge: $5,066
Based on 2016 ACS population estimates and published 2017 city budgets.
Boston: $3,415
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Highest Residential Exemption in Commonwealth
Through the support
Aldermen, our resident property
$2,747 in FY17. That’s $229 per month.
We’re Keeping Our Residential Tax Rate Lower
6.49 11.67 16.58
2 4 6 8 10 12 14 16 18
Residential Tax Rate FY17
Our rate is lower than most, plus most don’t have residential exemptions
Source: Dept of Revenue 2017 Community Comparison Spreadsheet A Determined Community
The Community City Government
Thank you
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