Summary
To: Finance Board
From: Ashley L. A. Bernal
Date: 7/16/2020
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Subject:
Title
Discussion of Preliminary Maximum Millage (MMP)
Summary:
As part of the Truth-in-Millage process (TRIM), the Town of Belleair is required to set a maximum millage levy in the month of July. This is a not-to-exceed millage rate that is included in the TRIM notices that are mailed to property owners in the town before the final budget is approved. Summarized below is a high-level summary of current revenue and expenditure expectations received from the General Fund departments. A more in-depth description of each program is provided in the attached narrative.
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Body
Previous Commission Action: N/A
Background/Problem Discussion: Staff has prepared preliminary assumptions for the upcoming fiscal year, which includes revenue and expenditure expectations. The 2020-21 Fiscal Year will be the third year of the programmatic budgeting transition, which is also aligning with the ongoing Strategic Planning process.
Preliminary Budget for 2020-21
After reviewing expenditure and revenue forecasts, the General Fund is currently at a deficit of almost $173,000. At a high-level summary, here are the contractual increases that are responsible for a portion of this deficit:
* $31,100 - Largo Fire contract increase
* $12,000 - Personnel health increases
* $48,000 - Cost of living adjustments
* $73,000 - Merit increases
* $60,500 - General Liability insurance increase
In addition to these increases in expenditure lines, some revenues are experiencing a large decrease as a direct impact of COVID-19. The two accounts experiencing the largest decrease are the State Revenue Sharing account, experiencing a reduction of $32,700, and Sales Tax, experiencing a reduction of $79,770. It is important to note that both of these reductions are temporary and are expected to resume a normal baseline in the following year.
However, Ad Valor...
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