Okaloosa County BOCC — September 3, 2015 — September 3, 2015 Transmittal Letter — reading text

in the Sheriff’s budget over last year’s allocation will generate an additional $1,430,000 for the Sheriff to use as he chooses. In addition to the proposed $1.43M increase recommended by the County Administrator, the Board also approved a one-time allocation of $500,000 from BP Settlement dollars for capital purchases. Collectively, the two sources represent an increase of $1.93M for the Sheriff’s budget for FY 2015-2016. (The Board also discussed allocating an additional $100,000 for the Sheriff for use during Spring Break 2016; however, the source of this funding is undecided at this time and will likely be made through a budget amendment after October 1, 2015). Special Revenue and Enterprise Funds Tourist Development Department: Overall, the Tourist Development Fund continues to be healthy after another year of significant growth. For the FY 2015-2016 proposed budget, we anticipate continued growth as revenues are projected to total $45,459,814 or an increase of $10,542,314 from last year. The proposed spending plan for next year again includes marketing and promotional activities geared toward promoting the Emerald Coast as well as remodeling/new construction projects along the tourism corridor. Department of Airports: The County owns and maintains three airports: Destin-Fort Walton Beach Airport, Destin Executive Airport, and Bob Sikes Airport. The main hub of commercial activity of the County’s three airport system continues to be Destin-Fort Walton Beach Airport. Revenues across the County’s system of airports have remained relatively flat in recent years as competition for air carrier service intensifies and the number of catriers shrinks. While we again anticipate modest to no growth in our main sources of revenue (passenger facility charges and customer facility charges), the proposed budget does reflect a $5,449,141 increase in revenue for next year due mostly to major capital projects previously planned with State and Federal assistance. Water and Sewer Department: The Water and Sewer Department provides potable water and sanitary sewer service to a number of franchise areas throughout the County exclusive of those served by municipal utilities. The proposed FY 2015-2016 budget reflects a 7% increase in revenue for next year, or an estimated increase of $4,336,447. Due to a recent Water and Sewer Revenue Bond issuance, the County realized significant savings which will allow the advancement of needed capital improvements. In addition, we are able to defer planned rate increases for next year and possibly the following year. Solid Waste and Recycling Division: The Solid Waste/Recycling Division of Public Works manages contracted services for the collection and disposal of solid waste within the County’s north and south franchise areas. In addition, the Division is responsible for the management of four closed landfills, three of which remain in active remediation. The proposed FY 2015-2016 budget reflects a 4.7% increase in revenue for next year, or an estimated increase of $400,000. Of note for next year, the County will be soliciting for solid waste services through a Request for Proposals. Depending on the outcome of this solicitation and subsequent award, we anticipate additional savings may be offered to our solid waste customers. Summary Having now completed department level reviews and a series of five public workshops, the proposed FY 2015-2016 budget reflects a detailed analysis of the County’s budgetary needs and priorities for the coming fiscal year. With guidance from the Board throughout this process, staff has addressed pressing organizational needs including: public safety, vehicles/equipment, capital improvements, finance/administration, Federal/State Mandates, and manpower shortages. The proposed budget accomplishes many of these objections while still maintaining Okaloosa County’s status as the lowest aggregate millage in the State. This overall comprehensive effort will culminate in two public hearings to formally adopt the final budget; September 3, 2015 in Crestview and the final hearing on September 15, 2015 in Shalimar. Respectfully Supmif g Okalooga County Administrator