Proposed Preliminary

Budget for 2017

2017 Proposed Budget

BUDGET POLICY
• Balance expenditures with current year revenues.
• Fund Balance Policy – Maintain a minimum of 10%
- 20% in reserve.
• Transfer surplus Fund Balance to Capital Reserve
Fund for potential operating deficits and Future
Projects.
2017 Proposed Budget

Overview
Fund Balances
• Projecting approximately $780K increase in General Fund
Balance by end of 2016.
• Propose to fully fund the 2017 Road Improvement Reserves
and Capital Equipment Reserve in the General Fund in the
amount of $667K.
• Retain $3M General Fund Balance – 22% of proposed 2017
General Fund Expenditures.

2017 Proposed Budget

GENERAL FUND BALANCES
2009-2017
$5,500,000

$5,000,000

Transferred to Capital Reserve
General Fund Balance

$4,500,000

$4,000,000

$1,300,000

$3,500,000

$2,000,000
$1,100,000

$1,700,000
$780,000

$1,200,000

$3,000,000
$393,000
$2,500,000

$2,000,000
$3,208,795

$1,500,000
$2,521,209

$2,783,971

$2,995,701

$3,250,627

$3,000,723

$3,000,787

$2,929,007

$1,000,000

$500,000

$2010 Actual

2011 Actual

2012 Actual

2013 Actual

2014 Actual

2015 Actual 2016 Projected 2017 Budget

2017 Proposed Budget

REVENUE COMPONENTS
GENERAL FUND - 2017
Business Taxes
25%

Grants
4%

Other
8%

Transfer Taxes
5%
Permits
4%
R E Taxes
15%

Earned Income
Tax
39%
TOTAL: $14,320,840

2017 Proposed Budget

GENERAL FUND REVENUE COMPARISON
2016-2017
2016 Budget

2017 Budget

Percent Change

Tax
Revenues

$ 10,977,100

$ 11,733,900

6.89%

Non-Tax
Revenues

2,116,750

2,192,400

3.57%

Interfund
Transfers

311,350

394,540

26.72%

$ 13,405,200

$ 14,320,840

6.83%

Total Revenues

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2017 Proposed Budget

2017 BUDGET PROJECTIONS
GENERAL FUND REVENUES

• Real-estate Tax Rate maintained at 1.49 mills
• Same rate since 2006
• Retain Homestead Exclusion of $30,000
– Over 75% of Residential Property Owners Participate
– $320,000 in Annual Tax Relief

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2017 Proposed Budget

GENERAL FUND REVENUES
MAJOR COMPONENTS
• Earned Income Tax – Budgeted with an 3.08%

increase from 2016 budget, consistent with actual
collections for 2015 and 2016.
– EIT budgeted with an allocation of $310K to Fire Protection Fund and
$140K to Recreation Fund.

• Real Estate Tax Revenues - Budgeted with a 29%

increase resulting from re-allocating Debt Service Fund
millage to General Fund.
• Interfund Transfer Revenues – Budgeted with a
26% increase based on Capital Reserve reimbursement
for replacement capital equipment items.

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2017 Proposed Budget

EXPENSE COMPONENTS
GENERAL FUND – 2017
Public Works
16%

Administration
11%

Building/
Zoning
7%

Police
53%

TOTAL: $14,300,680

Finance
7%

Pension
7%

2017 Proposed Budget

GENERAL FUND EXPENSE COMPARISON
2016-2017
2016 Budget
Personnel
Expenditures

$ 10,276,450

2017 Budget

Percent Change

$10,461,470

1.80%

2,201,900

2,255,340

2.43%

926,850

1,583,870

70.88%

$ 13,405,200

$ 14,300,680

6.68%

* Includes pension MMO’s

Non-Personnel
Expenditures
Interfund
Transfers
Total Expenditures

10

2017 Proposed Budget

2017 GENERAL FUND EXPENDITURES
MAJOR COMPONENTS

• Salaries/Wages –
– Non-Uniformed Employees’ increase to be determined by
Board of Supervisors.
– Career Firefighters’ increase to be determined by pending
Arbitration decision.
– Uniformed Police increase to be determined by terms of
pending collective bargaining agreement.

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2017 Proposed Budget

2017 GENERAL FUND EXPENDITURES
MAJOR COMPONENTS
• Medical and Rx Premiums – Budgeted based on
Annual Premium increase of 4.95%, per Delaware
Valley Health Trust projection.
• Workers Compensation Insurance – Budgeted at a
4% rate increase based on Delaware Valley Workers
Compensation Trust rate projections.

12

2017 Proposed Budget

Transfers to Capital Reserves
• Road Replacement Plan - total annual transfer included in
the 2017 Budget.

• 10-Year Equipment Replacement Plan - total calculated
transfer included in 2017 Budget.

• HVAC Equipment Replacement - $15,000/year included
in 2017 Budget.

• Bond Refinancing Savings - savings from bond
refinancing to be transferred to Capital Reserve Fund in 2017
and 2018.

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2017 Proposed Budget

General Fund Summary
• Total Revenues, net of interfund transfers, are
$13,926,300, an increase of 6.36% over 2016.
• Total Expenses, net of interfund transfers, are
$12,100,190, an increase of 3% over 2016.

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2017 Proposed Budget

Major Capital Expenditures
• Replacement Equipment
– Vehicles – 3 Police, 1 Dump Truck, 1 Fire Truck
– Computer Equipment – 20 PC’s, Police Server project
– Equipment – 1 Plow, 1 Tractor

• New Capital Equipment/Projects
– County Radio Purchase Program- Year 2 of 5
– Fencing around Great Lawn at CRC
– Planning/Zoning technology upgrades
– Spring Valley Hockey Court Rebuild

15

2017 Proposed Budget

Major Capital Expenditures (con’t)
• Curb/Sidewalk/Road Program
– Street Resurfacing - $690K
– Curb and Sidewalk - $438K

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2017 Proposed Budget

OTHER FUNDS






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Fire Protection (04) – Balanced.
Parks (05) – Balanced.
Basin Maintenance (06) – Balanced through transfer from Designated
Reserves.
Street Light (07) – Balanced.
Recreation Center (08) – $202K deficit - To be balanced utilizing transfer
of fund balance from General (01) and Park (05) funds.
Debt Service (23) – $246K deficit – Due to payment of annual debt
payment from fund balance.
Capital Reserve (30) – $1M deficit – Offset by use of designated and
undesignated capital reserve funds.

2017 Proposed Budget

OTHER FUNDS
• Park Development (31) – $115K Surplus based on
projected developer contributions.

• Liquid Fuels (35) – Balanced.
• Environmental Fund (93) – Balanced.
• Shade Tree (94) – $3K Surplus based on projected
donations.

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2017 Proposed Budget

THANK YOU