City Commission Work Session on Budget - 8/30 at 8:30 a.m.

It may not be the ideal way to start a Monday morning, but you may want to check out the discussion on the Capital Improvements Program and the city's five year financial projections. You can click the title for a link to the back up - I pulled out some items that I thought were important.

I always jump to the assumptions. This is from the five year financial projection - the second part of the back-up. The cuts proposed this year - including all of the labor concessions - are included in this forecast. Per the above, staff is predicting a further reduction in revenue from property taxes - reflecting lower property values - of 15% next fiscal year, 0% change the next and then 3% increases in the next two years. Has anyone done an analysis of the increase in the number of properties that are falling below $50,000 that carry a full Homestead Exemption and therefore pay no property tax? Given this increasing phenomenon, I would expect more than a 15% decrease for the next taxing year. I have no faith in the 0% or the two 3% increases in property values predicted for the last two years of the five year projection.  What are we doing - other than the Park of Commerce - to diversify our tax base?  And, as pointed out before, the Park of Commerce is not an immediate economic panacea, will take significant money for improvements and its success or failure will be realized past the horizon of these projections.
If you really want to shed some tears for future commissions, city staff and residents, check out this summary page, complete with a dire graphic representation of the city's financial position. Where is the money going to come from to eliminate these negative numbers? Say good-bye to any reserves.

The first part of the back-up material is the Capital Improvements Program budget for the next five years. Not only does this need to be approved through the budget process by the City Commission, but it should be reviewed by the Planning and Zoning Board and included in the Comprehensive Plan - and ultimately approved by the City Commission as an amendment to the Comprehensive Plan.
By the way, our Comprehensive Plan is still in "limbo". Also, if Amendment 4 passes, the city would also have to vote on the Capital Improvement Program budget since it would be a change to the Comprehensive Plan. If you have any idea how this could possibly be done on a ballot, I would like to know.