48 | F I N A N C I A L H E A L T H
1.
MILLAGE RATE REDUCTION AND BUDGET
Both the City’ s millage rate, which is the rate of tax per $ 1,000 of taxable property value, and the City’ s overall debt dropped in 2017.
In October, the City Council adopted a budget of $ 509,993,494 for Fiscal Year, 2017-18 with a total millage rate of $ 6.4000 per $ 1,000 of assessed value; a decrease of $. 1000 or 1.54 percent. This budget maintains current levels of service, infrastructure, equipment, facilities, services and programs. It also addresses maintenance issues that had to be deferred during the recession. It commits $ 2 million for deferred maintenance and vehicle replacement, mainly in the Police, Civic Center and Parks & Recreation departments.
The goal of the City Manager’ s Office’ s was to improve the City’ s budget process in FY 2016 / 17. The revised process provides a much greater level of detail, tracks changes by footnoting all significant changes year over year and inserts trendline data. City Council received the City Manager’ s recommended budget prior to July 1st allowing sufficient time for the Council and the public to review the proposed budget. Through the FY 2017 / 18 budget process, staff consolidated fiscal policies that guide financial action ranging from debt issuance to budget development. An element of the fiscal policies is the City’ s five-year Capital Improvement Plan( CIP), which consolidates all capital expenditures from departments into a single document. To facilitate more comprehensive fiscal planning, the CIP review was held in the Spring, which allowed incorporation of operating impacts into the proposed budget.
The City Council is provided quarterly reports on the financial status of the organization including a detail of revenue receipts and expenditures.
Prior to preparation of the budget, staff requested guidance from the City Council regarding anticipated expenditure levels. Achieving the Council’ s objectives of zero or a reduction in the millage rate, enhancing services where needed and continuing to reduce debt required discipline and sacrifice. In Fiscal Year 2017 / 18, the City Council achieved the three directed objectives including reducing the millage rate.
During the Great Recession, every municipality in Florida was faced with difficult choices, including impacting service levels( reducing employees) and infrastructure( repairs and maintenance.) At the time, Port St. Lucie’ s City Council chose a combination of cuts. As a major initiative of the Fiscal Year 2017 / 18 budget, staff increased the amount of funds allocated toward capital. Also, staff recommended, and the City Council approved, the 10- year sidewalk and road resurfacing master plans.
All financial indicators project that the City of Port St. Lucie’ s government is financially sound. The City Council has made decisions in the budget that have increased service levels in areas such as investing in capital and establishing a set aside of funds for future debt reduction while reducing the City’ s property tax rate.
PROPERTY VALUATION GRAPH-25.79%
2009
-13.99%
2010
-4.43%
2011
-2.18%
2012
1.17 %
2013
5.35 %
2014
6.91 %
2015
9.18 %
2016
11.06 %
2017
2.5 5 7.5 10 MILLION MILLION MILLION MILLION
SUMMARY OF BUDGETED POSITIONS
1,237.49 FY 08 / 09
1,077.19 1,050.44
1,015.16
987.76
980.42
FY 13 / 14 FY 14 / 15 FY 15 / 16 FY 16 / 17 FY 17 / 18
CITY OF PORT ST. LUCIE MILLAGE RATES
GENERAL OPERATING CROSSTOWN ROAD PROGRAM
FY 13 / 14
1 MIL 2 MIL 3 MIL 4 MIL 5 MIL 6 MIL
FY 14 / 15
FY 15 / 16
FY 16 / 17
FY 17 / 18