Mayor Jim Newberry gave the Urban County Council a small preview of his proposed fiscal year 2008 budget today during a council and administration retreat.
Many of the items Newberry wants to fund are things that have already been discussed with the council:
• Hiring a chief information officer to oversee the city’s computer systems.
• Creating a Department of Environmental Quality to oversee the city’s solid waste functions, sanitary sewer and storm sewer systems and air quality.
• Hiring a facilitator to conduct a community visioning process.
• Trying to address the deferred maintenance in the city’s parks system.
Newberry said he was currently in the process of holding one-on-one meetings with council members to begin adding their priorities to the budget.
The proposed budget will be completed next week so it can be printed, he said.
Newberry’s budget address is scheduled for 3 p.m. April 10.
Councilwoman Linda Gorton asked if Newberry’s budget included any “big surprises.”
One year, former Mayor Teresa Isaac balanced the city’s budget by including a health tax. Last year, Isaac wanted to balance the budget by taking $4 million from the city’s rainy-day fund.
“The big surprises don’t go well with the council,” Gorton said. “They create big problems.”
At this time, the budget does not include any new taxes, Newberry said.
But Newberry was quick to add that council members will be notified if the administration uncovers something in the next week which necessitates a new tax.
Newberry said that following the budget hearings he had with division directors, the difference between the revenue projections and money requested by city departments was $50 million.
Overall, the administration is trying to take a realistic view of the projected fund balance, he said.
The city has traditionally budgeted conservative revenue projections and revenues have typically exceeded the projections by millions of dollars. The surplus for fiscal year 2006, which ended in June, was nearly $17.8 million.
Along with a more realistic view of the fund balance, the administration will come up with some sort of a deficit plan with items earmarked to be cut in case revenues don’t come in as projected, Newberry said.
There will also be a surplus spending plan if revenues are higher than anticipated, he said. “It’s an art, not a science.”
Newberry added that he was also inclined to push the budget process toward a “more transparent environment” in the future by possibly televising the hearings on GTV-3, the city’s cable channel.
In addition to the brief budget overview, the council and Newberry’s administration discussed the successes and challenges during the first 82 or so days and set priorities for the next 90 days.
Things cited as successes in the first three months include:
• Better collaboration and communication between the administration and council.
• Building respect and trust among council members, as well as with the administration.
• Efficient council meetings.
• Improved relationships with the community, General Assembly and the city’s Congressional delegation.
• Hope and excitement for the future.
The administration’s goals over the next 90 days will be to:
• Complete the budget.
• Complete the implementation of the first phase of the city’s new financial and human resources software system.
• Complete negotiations with the Environmental Protection Agency regarding violations of the Clean Water Act and begin to implement a corrective action plan.
• Begin to implement a management audit, including a reorganization plan and a performance measurement system.
• Begin work on a community vision process.
• Address funding issues in the police and firefighters' pension system.
- Michelle Ku
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