fy 2019 budget highlights - nashville, tennessee...fy15 fy16 fy17 fy18 fy19 1,892 1,968 2,087 2,210...
TRANSCRIPT
Talia Lomax-O’dneal Director of Finance
FY 2019 BUDGET HIGHLIGHTS
Metropolitan Government of Nashville and Davidson County Department of Finance Mayor David Briley
WHERE ARE WE NOW? – FY 2018
• $34 million estimated revenue shortfall
• $26 million property tax
• $8 million BEP & all other
• $20.6 million in FY 2018 supplemental appropriations
• Fund balance below 5%
• Partial offset from targeted savings
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance 2
LOOKING AHEAD
• No tax increase
• Revenue growth returning to normal (sales & property)
• Decline in other revenue sources (BEP & Hall Income Tax)
• No increase in pension costs
• $2 million for August & November elections
• Department budgets maintained at current funding
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance 3
RECOMMENDED BUDGET
$2,231,700,200
0.996% increase over FY2018
($22,010,100)
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance 4
TOTAL BUDGET GROWTH
1,400
1,600
1,800
2,000
2,200
2,400
FY15 FY16 FY17 FY18 FY19
1,892 1,968
2,087
2,210 2,232
Budget amounts taken from Substitute Budget Ordinances as approved by Metro Council
Amounts in millions
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance 5
WHERE THE MONEY COMES FROM
Property Taxes 46.6%
Local Option Sales Tax 19.7%
Grants & Contributions
18.7%
All Other Revenues 14.6%
Fund Balance Appropriated
0.4%
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance 6
TOTAL PROJECTED REVENUE GROWTH $87.8 MILLION
• Property Taxes - $15 million
• Local Option Sales Tax ‐ $25 million
• Grants and Contributions ‐ $3.6 million net decrease
• All Other ‐ $51.4 million • Contingent upon $38 million in public property sales &
securing on-street parking vendor
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance 7
BUDGETED REVENUE GROWTH BY FISCAL YEAR
Amounts in millions
0
30
60
90
120
150
FY15 FY16 FY17 FY18 FY19
51.9
75.2
121.5 119.1
87.8
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance 8
PROPERTY TAX TRENDS
800
850
900
950
1,000
1,050
1,100
FY15 FY16 FY17 FY18 FY19
933 939 972
1,021
1,036
Amounts in millions
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance 9
MAJOR CITY/COUNTY FY2018 PROPERTY TAX RATES
$3.15
$5.04 $4.58
$7.38
$3.89 $4.56
$0.00
$2.00
$4.00
$6.00
$8.00
$10.00
NashvilleDavidson
ChattanoogaHamilton
KnoxvilleKnox
MemphisShelby
MurfreesboroRutherford
FranklinWilliamson
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance 10
SALES TAX TRENDS
0
100
200
300
400
500
FY15 FY16 FY17 FY18 FY19
325 361
388 413 438
Amounts in millions
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance 11
RECOMMENDED USE OF FUND BALANCE
Fund Appropriated for use in FY19
Budget
Estimated June 30, 2018 Balance as a
Percent of FY19 Budget
OPERATING FUNDS:
GSD* General Fund $8,350,000 4.0%
USD** General Fund $500,000 4.0%
Schools Fund $0 3.4%
DEBT SERVICE FUNDS:
GSD* Debt Service Fund $0 3.5%
USD** Debt Service Fund $0 2.3%
Schools Debt Service Fund $550,000 5.1%
*GSD - General Services District **USD - Urban Services District
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance 12
BUDGETED FUND BALANCE
0
20
40
60
80
100
120
FY15 FY16 FY17 FY18 FY19
72.5 73.9 71.9 75.2
9.4
Amounts in millions
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance
*$65.8 million less fund balance used in FY 2019
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UNENCUMBERED FUND BALANCE Amounts in millions
50
70
90
110
130
150
170
FY15 CAFR FY16 CAFR FY17 CAFR FY18 Est.
154.8 158.0
112.0
85.2
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance
GENERAL FUND SUPPLEMENTAL APPROPRIATIONS
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance
Amounts in millions
0
10
20
30
FY15 FY16 FY17 FY18
4.3
14.5
23.2 20.6
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NET RESOURCES AVAILABLE $22 MILLION
• $87.8 million – Revenue Growth
• $65.8 million – Reduction in Available Fund Balance _________________________________________________________________________________________________________________________________________________________
• $22 million – Net Resources Available
Key Drivers - Current year revenues collections expected to be down and supplemental appropriations
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance 16
WHERE THE MONEY GOES
General Government 11%
Public Safety 21%
Other 2%
Health & Social Services
4%
Recreation & Culture 4%
Infrastructure & Transportation
5%
Education 40%
Debt Service 13%
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance 17
WHERE THE MONEY GOES $ 22 MILLION
• Metro Employees & Pensioners - $10.7 million (GSD/USD)
• Schools - $5 million
• General Hospital- $11.1 million over FY18 budget of $35M
• Debt Service - $11.7 million (principal and interest)
• Other Operations (net) - $16.5 million savings* * This amount includes departmental targeted savings of $11.5M
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance 18
PUBLIC EDUCATION
$103,823,200 • $9.4 million increase • 10% over FY18 • Debt service
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance
$884,299,700 • $5 million increase • 0.57% over FY18 • Employee raises
MNPS Operating Budget
MNPS Debt Service Budget
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PUBLIC EDUCATION LOCAL FUNDING
FY2018
FY2019
GROWTH
PROPERTY TAXES $357,958,400 $362,854,400 $4,896,000
SALES TAXES $273,573,500 $294,161,500 $20,588,000
OTHER REVENUE $13,355,300 $20,732,200 $7,376,900
PROPERTY SALE $0 $13,000,000 $13,000,000
FUND BALANCE $20,459,900 $550,000 ($19,909,900)
TOTAL $665,347,100 $691,298,100 $25,951,000
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance
SCHOOLS OPERATING & DEBT SERVICE
633.3 674.0 720.4 746.4 790.1 810.0 843.3 879.3 884.3
32.4 42.6
53.6 69.6 76.4 78.0 84.4 94.4 103.8
665.8 716.7
774.0 816.0 866.4 888.0
927.7 973.7 988.1
0
200
400
600
800
1000
1200
FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19
Operating Debt Service
Amounts in millions
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance 21
AFFORDABLE HOUSING & HOMELESS SERVICES
$10,000,000 Barnes Fund for
Affordable Housing*
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance
$450,000 Housing Incentive Pilot
Program
*Subject to sale of public property
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METRO EMPLOYEES
$8.5 million* • One-year pay plan
• Increments for eligible employees (effective increment date)
• 2.5% for open range increases (effective July 1)
• No increase in employee health insurance cost
*GSD/USD and subsidized accounts and internal service funds
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance 23
METRO PENSIONERS
$2.2 million
• Pensioner health benefit increase primarily due to anticipated increase in number of pensioners
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance 24
HEALTH & HOSPITALS
• $46.1million - General Hospital
• $3.5 million - Bordeaux Nursing Home • Funds contract with Signature
• $2 million - Knowles Assisted Living Facility • Funds contract with Anthem Care
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance 25
ADDITIONAL BUDGET HIGHLIGHTS
• Metro Facility Openings
• Smith Springs Community Center
• Madison Community Center
• Family Justice Center
• Public Works Improvements
• Funding for additional services in newly annexed USD areas
• Support for Small Chambers of Commerce
• $25,000 each for Black, Hispanic, Latino, & LGBT Chambers
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance 26
ADDITIONAL BUDGET HIGHLIGHTS (CONTINUED)
• $250,000 for Youth Violence Initiatives
• $400,000 for Coordinated Pre-K Initiative
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance 27
ANNUAL DEBT REPORT
As required by BL2014-696, the Annual Debt Report will be
emailed to Metro Council members today
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance 28
Mayor David Briley Metropolitan Government of Nashville and Davidson County Department of Finance
Legislation to Track with FY 2019 Operating Budget
Operating Budget Ordinance Fire Marshal Fee Ordinance
Tax Levy Ordinance Urban Council Resolution
Pay Plan Resolutions Soil Conservation District Resolution
Property Tax Relief Ordinance
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FOR MORE INFORMATION VISIT THE CITIZENS’ GUIDE TO THE METRO BUDGET
Nashville.gov/citizens_budget
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