Town of Riverdale Park, Maryland Office of Finance Services TO: - - PDF document

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Town of Riverdale Park, Maryland Office of Finance Services TO: - - PDF document

Town of Riverdale Park, Maryland Office of Finance Services TO: John N. Lestitian FROM: Paul Smith, Director of Finance and Employee Services Gentry Jones, Finance Manager DATE: January 3, 2020 RE: FY2021 Budget Priorities, Guidelines,


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Town of Riverdale Park, Maryland

Office of Finance Services

TO: John N. Lestitian FROM: Paul Smith, Director of Finance and Employee Services Gentry Jones, Finance Manager DATE: January 3, 2020 RE: FY2021 Budget – Priorities, Guidelines, Challenges, and Opportunities Action Requested: Staff seek an opportunity to present information at the January 6th Legislative Meeting. Specifically, staff seek to present information as part of the FY2021 Budget development process. No formal action is requested. Background: The Office of Finance Services has implemented a participatory process for the development of the annual proposed budget. Central to this process are the twelve (12) public meetings at which aspects of the budget process are presented. At the January 6th, meeting staff will present information and seek input from the Mayor and Council and members of the public. The presentation will cover the following topics:

  • Budget Priorities: Determining foundational funding priorities is essential to building a

balanced budget. The staff team will present a short list of priorities and seek input for additional priorities at this stage in the budget development process.

  • Budget Guidelines: The staff team utilizes the Government Finance Officers Association

Distinguish Budget Presentation Award guidelines. The staff team will provide a brief overview

  • f the guidelines.
  • Budget Challenges: It is important to have a solid understanding of the challenges the Town
  • faces. Staff will present information on challenges that include the planning for Capital

Improvement Projects, Capital Acquisitions, and Debt Service (current and future).

  • Budget Opportunities: The Town has and continues to explore opportunities to reposition the

Town’s operations and the corresponding finances. Staff will present high-level information on potential opportunities. Members of the budget committee will be present to respond to questions. c. Leadership Team Keith Robinson, Program Specialist II file

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FY2021 Budget Discussion

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Discussion Points

  • Budget Priorities
  • Budget Guidelines
  • Budget Challenges
  • Budget Opportunities

FY2021 Budget

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Staff Budget Priorities

  • Delivery of Services to Town Residents
  • Retirement Plan
  • Equipment Purchases/Upgrades
  • Vehicle Replacements
  • Future funding for CIP
  • Other

Budget Priorities

FY2021

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  • Staff utilizes the Government Finance Officers Association (GFOA)

Distinguished Budget Presentation Award Guidelines

  • Main criteria includes:
  • Financial Structure, Policy and Process
  • Financial Summaries
  • Capital and Debt
  • Departmental Information
  • Document-wide Criteria

Budget Guidelines

FY2021

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  • Funding and Planning for CIP expenditures
  • Funding Capital Acquisitions
  • Funding New Projects
  • Debt Service

Budget Challenges

FY2021

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  • Combined annual debt service payment decreased from $537,730 to

$464,368

Budget Challenges

Debt Service (Current & Future) FY2021

Institution Origination Maturity Date Interest Rate Principal Balance as of July 1, 2019 PNC Bank 05/29/12 05/30/26 3.00% $1,954,395 Maryland CDA 30-Year 10/01/13 05/01/31 3.78% $782,900 Maryland CDA 15-Year 10/01/13 05/01/28 5.085% $567,000

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  • Real Property Tax
  • Speed Camera Revenue
  • Permit Revenue
  • Tangible Revenue

Budget Opportunities

FY2021

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Budget Opportunities

Unreliable Revenue Sources: Real Property Tax FY2021

$3,612,108.00 $3,865,153.00 $4,100,000.00 $4,296,850.00 $3,697,707.29 $3,830,015.92 $4,304,209.90 $4,149,099.92 $3,200,000.00 $3,400,000.00 $3,600,000.00 $3,800,000.00 $4,000,000.00 $4,200,000.00 $4,400,000.00 FY2017 FY2018 FY2019 FY2020** Projected Revenue Actual Revenue

This chart above shows projected Personal Property Tax vs Personal Property Tax actually received. **FY2020 – reflects revenue received as of 12/31/2019. Does not yet take into account Calvert Track.

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Budget Opportunities

Unreliable Revenue Sources: Speed Camera Revenue FY2021

$700,855.94 $385,968.70 $588,490.00 $106,192.07 $400,000.00 $670,543.00 $510,203.00 $222,000.00 $- $100,000.00 $200,000.00 $300,000.00 $400,000.00 $500,000.00 $600,000.00 $700,000.00 $800,000.00 FY2017 FY2018 FY2019 **FY2020 Speed Camera Projected Speed Camera

*This chart above displays Speed Camera Revenue vs Projected Speed Camera

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Budget Opportunities

Unreliable Revenue Sources: Permit Revenue FY2021

$50,494.12 $204,563.84 $88,767.10 $20,502.85 $12,500.00 $60,000.00 $60,000.00 $60,000.00 $- $50,000.00 $100,000.00 $150,000.00 $200,000.00 $250,000.00 FY2017 FY2018 FY2019 FY2020 Permit Revenue Projected Permit Revenue

*This chart above reflects Permit Revenue Vs Projected Permit Revenue

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Budget Opportunities

Tangible Personal Property Revenue FY2021

$231,866.57 $422,467.00 $466,472.06 $101,582.64 $101,120.44 $- $- $50,000.00 $100,000.00 $150,000.00 $200,000.00 $250,000.00 $300,000.00 $350,000.00 $400,000.00 $450,000.00 $500,000.00 FY2017 FY2018 FY2019 Tangible Property Revenue Tangible Property Write Off

*This chart above reflects Tangible Personal Property Revenue

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Questions / Comments