Okaloosa County BOCC — 2013 meeting #1123 (date undetermined) — Policy Memo - Apr 13 — reading text

County Administrator's Office State of Florida MEMORANDUM TO: Honorable Board of County Commissioners FROM: James urry, County Administrator SUBJECT: Fiscal P Formulation for Fiscal Year 2014 Budget DATE: April 9, 2013 OBJECTIVE: To ascertain the fiscal policies of the Board of County Commissioners for direction in the planning and development of the Fiscal Year 2014 budget, including a five-year capital spending plan. ANALYSIS: This policy paper is presented to the Board to provide the necessary information with which to formulate fiscal policy and to provide direction for the County Administrator and the budget staff on a number of policy issues and budgeting assumptions. It is the topic of discussion for the Budget Policy Workshop scheduled for 6:00 p.m., Tuesday, April 9, 2013, in the Commission Chambers at the Water & Sewer Administrative Building in Fort Walton Beach and is provided in advance to allow sufficient time to study. Attached, as part of this paper, is a set of economic, demographic and resultant revenue assumptions with related historical information. Also attached is a discussion of pertinent policy issues that will affect preparation of the Fiscal Year 2014 budget. The purpose of the workshop discussion is for the Board to reach consensus on the policies and assumptions upon which the budget will be based. This formulation is not necessarily binding but rather provides guidelines to be used by staff for initial budget preparation. If, however, the Board’s ultimate policy objectives can be built into the budget from the beginning, the entire budget process will be more effective. For the sixth consecutive year, the major factor for the Fiscal Year 2014 budget will be balancing the General Fund. While there are signs of an economic rebound, staff is still anticipating another year of significant revenue shortfalls in meeting the needs of those departments and agencies that are funded from General Fund revenues. Without any revenue enhancements, Fiscal Year 2014 will likely require further reductions to the County's General Fund services. Okaloosa County Administration Building 1804 Lewis Turner Blvd., Suite 400 Fort Walton Beach, FL 32547 (850) 651-7515 ¢ FAX: (850) 651-7551 e-mail: jcurry@co.okaloosa.fl.us The attached Budget Policy Document and associated policy recommendations attempts to take these issues into consideration. However, until the full extent of budgetary requirements have been identified and associated revenue estimates are completed, we will remain poised to take further steps to the extent necessary. Staff will continue to monitor this issue closely and prepare recommendations for the Board’s consideration accordingly. We plan to distribute policy information to department heads immediately in order to give them sufficient time to plan and prepare their proposals. FISCAL IMPACT: The adopted budget policies will serve as a framework for the consideration of all soending and Ad Valorem taxation issues for Fiscal Year 2014. The five-year capital spending element, coupled with this incorporation of policy, allows us to transform Okaloosa County's budget into a planning and policy document. RECOMMENDATION: That the Board of County Commissioners discusses and adopts budget policies and assumptions to guide our organization through the Fiscal Year 2014 budget process. Attachment CC: Constitutional Officers Department Directors