Transmittal Letter. February 12, Mr. Chairman and Members of the Board: Transmittal Letter

Transcription

1 Transmittal Letter February 12, 2013 Mr. Chairman and Members of the Board: On behalf of Prince William County government staff, I am pleased to deliver the Prince William County Executive s Proposed FY 2014 Budget and accompanying five year budget plan. Fiscally, the proposed budget implements the Board of County Supervisor s policy guidance and works to achieve the community s vision and strategic goals. Legally, it fulfills the statutory requirements and my administrative responsibilities under the County Executive form of government to present a balanced budget for your consideration. The Proposed FY 2014 Budget and Five Year Budget Plan provide resources to allow Prince William County to progress toward the community s vision: Prince William County is a community of choice with a strong, diverse economic base, where families and individuals choose to live and work and businesses choose to locate. It also focuses on the stated strategic goals as established in the adopted : Economic Development - The County will provide a robust, diverse economy with more quality jobs and an expanded commercial tax base. Education - The County will provide an educational environment rich in opportunities to increase educational attainment for workforce readiness, post-secondary education, and lifelong learning. Human Services - The County will provide human services to individuals and families most at risk, through innovative and effective leveraging of state and federal funds and community partnerships. Public Safety - The County will maintain safe neighborhoods and business areas and provide prompt response to emergencies. Transportation - The County will provide a multi-modal transportation network that supports County and regional connectivity. ii

2 There is data that shows that Prince William County is a community of choice where people choose to live and businesses choose to locate. This includes: Our population has grown by 48% from and families are choosing Prince William as evidenced by the growth in our school population of 2,500 students annually. Businesses are choosing to locate in Prince William; at-place employment grew by 48% since 2000 (7% alone during the Recession) and targeted employment (high paying jobs) increased even more by 61% with over 15% growth during the Recession. Wages have grown by 50% since 2000 and 11% over the Recession, with the highest wage increases in targeted areas such as: Finance/Insurance, Manufacturing, Company Management, Real Estate and Information Technology. For the third year in a row, Prince William County ranked as one of the 100 best places in the nation for young people. Our citizens give us high marks in the most recent biennial survey; 90% say quality of life meets expectations, 85% say government is trusted to do the right thing, and 90% believe the County is effective and efficient. The County has demonstrated strong financial management, having consistently the lowest tax bills in Northern Virginia by a wide margin, the lowest tax burden, and the lowest employees per capita and conservative budget growth - less than 1% per year over the last seven years. The County enjoys three AAA bond ratings which have saved the community over $32 million in debt costs and the Government Finance Officers Association (GFOA) points to the County s adoption of a five year budget as a best practice that should be emulated by all local governments in the nation. But there is more to be done. Citizens want the County to address core services such as Schools and Public Safety but they also express their desire for those amenities that set us apart and make this a real community of choice - parks, cultural venues and libraries. Our citizens tell us they are concerned about: continued congestion on our roads and transit, the need for more public safety resources to meet a growing and changing population, the need to build more schools to ensure every student a seat and the concern about class size, the need to serve our at-risk, fragile residents, and the need to invest in quality of life infrastructure. But as is the case every budget year, being a community of choice requires that the community make choices regarding what they say they want in terms of services and amenities balanced with what they are willing to pay for these services. It is these choices that will impact Prince William s future and impact our ability to continue to attract targeted economic development. The discussion about what makes Prince William a Community of Choice and what the community is willing to pay for that began early in the budget process this year. Immediately after the FY 2013 Budget was adopted in April, the Board of County Supervisors directed staff to look at the revenue impacts of changes to the adopted five year budget plan tax policy and to identify unmet critical needs. In response to the Board s directive, staff provided revenue scenarios ranging from a 0% (flat average residential tax bill) policy to a 5% per year average residential tax bill policy. In order to facilitate discussion in the community on tax and service policy, staff also grouped all budget activities into categories based on their strategic priority, whether they are mandated by the federal or state government, or whether they were more optional services. Staff also provided to the Board a list of Critical Unmet Needs in both capital and operating based on current Board policy and five year budget plan goals. Agencies also provided cost estimates of critical unmet needs over the life of the five year budget plan. Once this information was provided to the Board in September 2012, the Office of Management and Budget (OMB) opened the online community forum for comments and questions. Community interest has been very high, with over 250 comments and questions from individuals and budget committees asking for information or identifying choices - both additions and reductions. We anticipate the interest to continue until Board adoption of the FY 2014 Budget and five year budget plan. PROPOSED Proposed FY FY 2014 BUDGET Budget iii

3 This phase of budget development culminated in the December 2012 policy guidance from the Board - to prepare a proposed FY 2014 budget and five year budget plan with the 4% annual revenue increase anticipated by the current five year budget plan; and to provide potential changes to that budget to reach a 3%, 2% and 1% annual revenue increase across the five year budget plan. Proposed FY 2014 Budget Summary The Proposed FY 2014 Budget and five year budget plan implements the Board s adopted budget and policy guidance found in the: adopted, adopted County/School revenue agreement, adopted five year budget, and adopted Principles of Sound Financial Management. This budget proposal addresses the Board s strategic priorities of public safety, schools and roads while also addressing more recent and pressing issues such as recent incidents of school violence, the long lines during Presidential voting, mandates on services for the intellectually disabled and the desire to do more to provide recreational activities for our young people. This proposed budget is based on the adopted budget guidance provided to the County Executive to make recommendations based on the adopted five year plan tax policy of a 4% average residential tax bill growth. However, this proposed budget also provides enough flexibility on the County side of the budget to reduce that tax bill to an average 3% residential growth or to address unmet needs not identified in the five year budget. Revenues Prince William County continues to see improvements in the economy coming out of the Recession. These improvements in many cases are better than in Virginia or the nation. Housing values continue to recover. We were projecting 3.5% growth in assessments but are realizing a 4.7% increase. This means the value of our resident s homes is recovering from the Recession. Commercial values are increasing. We were projecting a 2% growth in assessments but are realizing a 5% increase meaning that commercial properties are also growing in value. Apartments continue to increase; a 5% projected assessment growth is actually coming in at 12.7% growth. Sales tax revenue continues to be strong, showing its 35th month of continual growth. The projection was for 2.5% growth that is actually up 4.5%. Personal property revenue growth is 7.6% vs. the projected 3.9%. The revenue growth in non-residential categories takes the burden off homeowners, providing additional revenue to meet service demands but at a lower tax bill growth. Efficiencies and Service Level Reductions Each year the organization reviews activities in search of savings through either efficiencies or service level reductions. Efficiencies may result from: The use of non-county revenue to supplant County funds; The use of community partners, contracts or volunteers instead of County staff; Time-saving or resource-saving technology improvements; and/or Service level reductions in areas where service demand has decreased, or a decision has been made to stop providing certain services. Once identified, these efficiencies and service level reductions are vetted and a decision is made as to which should be included in the proposed budget based on the choices identified by the community. The Proposed FY 2014 Budget iv

4 and Five Year Budget Plan include efficiencies and service level reductions in all four functional areas of Prince William County s organization. The details can be found in the agency pages; highlights are as follows: One time five year plan savings in FY 14 totaling $6.2 million Ongoing base budget savings totaling $9.2 million Ongoing five year plan savings totaling $1.5 million Total Ongoing Saving Per Year in the Five Year Plan = $10.7 million Community Investments The Proposed FY 2014 Budget and Five Year Budget Plan include community investments in all four functional areas of the organization. The details can be found in the agency pages; some highlights are as follows: Public Safety - proposals include: o Ten Police Officers for the staffing plan. o Fifteen Police Officers to fully staff the Middle School Resource Officer program which places an officer in every County middle school. o Continuation of the Central District Station project and the Bacon Race Fire Station. o A 24-hour Advanced Life Support unit stationed in the western part of the county. o A 24-hour ladder track stationed in the eastern part of the County. o A Community Corrections Study to conduct a needs assessment for the expansion of the Adult Detention Center. Community Development - proposals include: o Upgrading the field maintenance for all the Middle School fields used by the community - 70 fields in all. o Operating cost for four proffered fields at Orchard Bridge in the Brentsville District. o Part time materials librarian to begin the materials acquisition for the Montclair and Gainesville Libraries. o Continuation of the Montclair and Gainesville Library capital projects as well as Fuller Heights Park and Catharpin Park. o Continuation of the 2006 road bond projects - Route 1 northern segment and Rollins Ford Road. General Government - proposals include: o Voter Registrar increased staffing and the first year of a three year program to replace voting equipment at a total cost of $1.5 million. Human Services - proposals include: o Case management staff to address Virginia settlement with the United States Department of Justice requiring additional services to intellectually disabled residents. o Staffing in Social Services for Child Protective Services and Adult Protective Services investigations to address increased cases and required standards. Community Partners You will find a more robust community partners section in this budget, outlining the mission of each partner receiving County funds along with their performance measures. An annual review of each partner s financial statements is performed to ensure that they comply with the Board s policies and that they are properly categorized in the budget - donation, pass-through, membership, etc. It is our intent to continue to expand the information provided on all community partners in the coming years. PROPOSED Proposed FY FY 2014 BUDGET Budget v

5 Proposed FY Five Year Budget Plan Summary County policy states that no additions shall be included in the annual budget that cannot be afforded throughout the life of the five year budget plan, and the five year budget plan must be balanced in all five years. Major components of the five year budget plan include capital improvements (described above), staffing plans and compensation adjustments. CIP The general fund appropriations for capital throughout the life of the five year plan total $42.2 million in cash investment and $250.1 million in debt service. Employee Compensation Adjustments The proposed five year budget plan maintains the compensation adjustments adopted with the FY Five Year Budget Plan - a 2% market adjustment in FY 14, FY 16 and FY 18, and a 3% pay-for-performance increase in FY 15 and FY 17. Conclusion Through the County s the community has identified the initiatives they believe will take us towards our vision of being a Community of Choice - we choose to invest in high quality jobs and a robust tax base to relieve the burden on residential property owners; we choose to provide and promote quality lifelong education so that our community is prepared for economic opportunities; we choose to protect our most vulnerable residents and promote self-sufficiency; we choose to maintain our safe community; and we choose to enhance our multi-modal transportation network. These choices guided the development of the Proposed FY 2014 Budget and Five Year Budget Plan. Our staff remains committed to our vision to do the right thing for our customers and the community every time. History shows that when this organization works together with the Board and the community to make tough decisions, our combined efforts move us toward our adopted vision. The most recent Community Survey showed that county residents appreciate the efforts to keep their tax burden the lowest in the region while providing exceptional customer service. That has been a guiding principle in producing this recommended budget for your consideration. I would be remiss if I failed to thank the OMB and agency staff for their tireless efforts to produce this budget in keeping with the Board s and community s choices. As an organization, we look forward to working with the Board and the community over the coming year and providing whatever support is requested. Sincerely, Melissa S. Peacor County Executive vi

6 ning in Prince William County recognized the value of strategic planning in the early 1990 s as the Board of County Supervisors looked for a way to achieve the results identified in the County s first Commission on the Future Report (the first Future Report). The Commission on the Future, established in 1989, created a 20 year vision for the County rich with opportunities for growth and desired community assets. In 1992 the Board of County Supervisors adopted the , identifying specific goals, outcomes and strategies for that four year period. That first Plan, and each subsequent Plan, covered a four year period tied to the Board s term of office. The County codified strategic planning in 1994 with the adoption of the Principles of Sound Financial Management: Sec. 2-1(1). Strategic plan for government services. The strategic plan is adopted by the board to provide policy guidance for service delivery and resource allocation during its term. Annually the board shall update the strategic plan. Periodically the county executive shall report to the board on accomplishment of prior period strategic plan objectives. The strategic plan shall define: a. The mission statement for county government; b. Major goals for the county; c. Strategies to achieve the goals; and d. Objectives for performance. The strategic plan goals, strategies and objectives shall guide resource decisions in the county s operating and capital budgets. The first Plan ( ) provided an organizational mission statement and five goal areas: The mission of PWC Government is to provide the necessary services to protect the health, safety, welfare and environment of citizens consistent with the community s values and priorities. This mission is accomplished by encouraging citizen input and involvement, preserving the County s fiscal stability, producing effective and efficient government programs, managing the County s resources, planning for the future, and representing citizens needs and desires to other levels of government. Goal Areas: Economic Development, Transportation, Public Safety, Human Services and Government Structure The Plan retained the mission statement and modified the goal areas. Quality Growth was added to the Economic Development goal, Government Structure was changed to Effective Government, and Education was added. The Plan added a vision statement and modified the mission statement: Prince William County is a premier community where we treasure our past and the promise of our future. We are diverse and dynamic, with a thriving economy where citizens and businesses grow and succeed together. We are a global technology leader for the 21 st century. The mission of PWC Government is to provide the necessary services to protect the health, safety, welfare, cultural resources and environment of citizens and businesses consistent with the community s values, priorities and fiscal capacity. This mission is accomplished by encouraging citizen input and involvement, preserving the County s fiscal stability, producing effective and efficient government programs, managing the County s resources, planning for the future, and representing citizens needs and desires to other levels of government. The adopted goal areas included Economic Development, Education, Human Services, Public Safety and Transportation. PROPOSED Proposed FY FY 2014 BUDGET Budget vii

7 The Plan retained the vision and mission statement, and added Community Development as a goal area. Additionally, prior to adoption, the fiscal impacts of individual strategies were analyzed to ensure the Plan s affordability. The Plan, developed during the recent recession, recognized the need to refocus on critical needs, and again modified the goal areas. Economic Development and Transportation were merged and Community Development was dropped. Language was added to each of the goal areas providing parameters aligned with our new fiscal reality. Development of the This sixth Prince William County is based upon the 2030 goals of the County s Comprehensive Plan and the second Future Report, both of which provide perspectives on where the community should be in The Comprehensive Plan goals relate to the physical makeup of the community and the infrastructure necessary to support that, while the second Future Report addresses social and civic, as well as physical, goals. This plan does not anticipate that the goals of the Comprehensive Plan or the second Future Report can be achieved during this four year period. The is one of six plans that will build upon each other to achieve those long term goals Comprehensive Plan Future Report This community driven process required extensive and intensive commitment by a twenty member taskforce appointed by the Board and given two tasks. First, review the goals of the Comprehensive Plan and the Future Report and recommend strategic areas of focus. Next, identify key community outcomes and strategies for each goal statement. The resulting focuses on measurable outcomes for the next four years, and sets the groundwork for subsequent planning efforts, to ultimately achieve the long term goals set out in the County s Comprehensive Plan and second Future Report. The includes the following vision, goals and outcomes: Prince William County will be a community of choice with a strong, diverse economic base, where individuals and families choose to live and businesses choose to locate. Economic Development - The County will provide a robust, diverse economy with more quality jobs and an expanded commercial tax base. By 2016 the total at-place employment will increase from 111,000 to 118,000. By 2016 the cumulative number of new targeted jobs associated with new County businesses will be 1,200. By 2016 the cumulative number of new targeted jobs associated with existing County businesses will be 480. By 2016 the cumulative value of capital investment associated with new and expansion projects will be $800,000,000. By 2016 the cumulative value of capital investment in targeted redevelopment areas will be $8,000,000. viii

8 Education - The County will provide an educational environment rich in opportunities to increase educational attainment for workforce readiness, post-secondary education, and lifelong learning. By 2016 the high school graduation rate will increase from 88% to 90%. By 2016 the percentage of students scoring at an advanced Standards of Learning (SOL) level in each subject area will increase from 25% to 50%. By 2016 the percentage of graduates passing one or more advanced exam (Advanced Placement, International Baccalaureate, or Cambridge) will increase from 31% to 40%. By 2016 the percentage of graduates with a Governors, Career and Technical Education, Advanced Mathematics and Technology, or Civic Seal will increase from 46% to 65%. By 2016 the number of dual enrollment (PWCS/NVCC) students will increase to more than the baseline of 301. By 2016 the ratio of National Board Certified Teachers to students will increase from 1:701 to 1:500. By 2016 the percentage of accredited schools will be 100%, even with changes in the accreditation standards. By 2016 the average elementary school classroom size will decrease to less than the baseline of 23.2 students per classroom. By 2016 the average middle school classroom size will decrease to less than the baseline of 30.7 students per classroom. By 2016 the average high school classroom size will decrease to less than the baseline of 29.7 students per classroom. Human Services - The County will provide human services to individuals and families most at risk, through innovative and effective leveraging of state and federal funds and community partnerships. By 2016 the number of people hospitalized in state-funded psychiatric beds will not exceed the baseline of 175 per 100,000 population. By 2016 the percentage of foster children finding permanent placements will increase from 34% to 38%. By 2016 the percentage of TANF (Temporary Assistance for Needy Families) participants engaged in work activities will increase from 49% to 51%. By 2016 the percentage of recurring cases of child abuse and neglect will decrease from 1.15% to 1.00%. By 2016 the percentage of recurring cases of adult abuse and neglect will decrease from 7.3% to 5.0%. By 2016 the point-in-time homeless count will decrease from 467 to 327. By 2016 the percentage of Area Agency on Aging clients reporting that services allowed them to remain in their homes, based on an expanded client base, will be maintained at or above the baseline of 98%. By 2016 the percentage of special education secondary students no longer in school who are employed within one year of leaving school will increase to more than the baseline of 45.5%. By 2016 the percentage of mentally ill and/or substance abusing youth placed in residential placements, returning to the community within 9 months, will increase from 57% to 66%. By 2016 day support and training placements for individuals with autism will increase from 79 to 175. By 2016 the number of clients served by community partners and contractual agreements will increase from 52,645 to 55,328. PROPOSED Proposed FY FY 2014 BUDGET Budget ix

9 By 2016 the number of volunteer hours provided to support the activities of human services agencies will increase from 25,150 to 28,279. Public Safety - The County will maintain safe neighborhoods and business areas and provide prompt response to emergencies. Through 2016 the Part 1 crime rate will remain within the lowest third of the communities in the COG region. Through 2016 the Part 1 crime closure rates will remain higher than the national averages for suburban communities. Through 2016 the juvenile reconviction rate will remain at or below the baseline of 23.3%. Through 2016 the adult reconviction rate will remain at or below the baseline of 28.2%. Through 2016 the percentage of positive responses to the statement, I feel safe in my neighborhood, will remain at or above the baseline of 93%. Through 2016 the percentage of positive responses to the statement, I feel safe when I visit commercial areas, will remain at or above the baseline of 93%. Through 2016 the percentage of positive responses to the statement, Firefighting services are prompt and reliable, will remain at or above the baseline of 98%. Through 2016 the percentage of positive responses to the statement, Emergency Medical Services staff is skilled and reliable, will remain at or above the baseline of 97%. Through 2016 the average Police emergency response time will remain at or below the baseline of 7 minutes. By 2016 the percentage of emergency incident responses to all fire and rescue emergencies in 4 minutes or less will increase from 48% to 49%. By 2016 the percentage of fire suppression units on-scene for fire emergencies in 4 minutes or less will increase from 39% to 40%. By 2016 the percentage of Basic Life Support (BLS) responses to all fire and rescue emergencies in 4 minutes or less will increase from 48% to 49%. By 2016 the percentage of Advanced Life Support (ALS) responses to all ALS emergencies in 8 minutes or less will increase from 84% to 86%. By 2016 the number of fire-related injuries per 100,000 population will decrease from 10 to 9. Through 2016 the number of civilian fire-related deaths will remain at or below the baseline of 1. Transportation - The County will provide a multi-modal transportation network that supports County and regional connectivity. By 2016 the number of multi-modal rider trips, to include OmniRide, VRE, slugging, carpooling and vanpooling, will increase from 8.72 million to 9.16 million. Through 2016 the percentage of positive response to the statement, I can easily get around Prince William County by car, will remain at or above the baseline of 84%. By 2016 the percentage of 2006 Road Bond projects either completed or under construction will increase from 54% to 92%. x

10 By 2016, 15 cumulative miles of pedestrian trails and sidewalks will be constructed and added to the County s Comprehensive Plan roads. By 2016, the percentage of County residents telecommuting will increase from 22% to 23%, as defined and reported by the Metropolitan Washington Council of Government State of the Commute Survey. Progress toward the overarching goals and the related community outcomes, as well as the status of the various strategies, will be reported to the community on an annual basis. The status of the outcomes will be used to determine whether resource adjustments should be made through the annual budget process. PROPOSED Proposed FY FY 2014 BUDGET Budget xi

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