Budget Workshops Notes For 2006-7 Budget

On July 11 and 12th, the City Commission conducted its annual Budget Workshops for the upcoming budget year of 2006-7, which begins October 1, 2006. The City Manager presented to the Commission a balanced budget for review. The Commission made modification to several areas, but essentially allowed the budget to remain the same, with no increase in the property tax rate.

Several elected officials tried to find ways to reduce expenditures, to try and reduce the property tax rate, though this was not accomplished. This was due to the demand of services, and an inability to collectively agree on what services could be cut. However, new proposals to increase significant spending were mostly defeated, including a $110,000 expense to fund the Lauderhill Choir, and providing part time employees with insurance benefits ($25,000 est.), both by Commissioner Benson. One cent of property taxes raises about $20,000.

Another major discussion was on the addition of 3 more firefighters ($210,000), beyond the 12 already budgeted. The additional 12 firefighters were to accommodate the newly annexed areas, for which coverage is required, and taxes received from these areas are available to pay for it. At this time, the extra firefighters decision was deferred until the 6 month budget review, and dependent on the addition of the firestation on 31st Ave. from Broward County.

It was expressed, both by Commissioner Holness and Mayor Kaplan, that there were serious concerns of revenues in the near future, and that the city needed to more closely examine where future budget constraints can be found. This is due to softness of the economy, the effect there would be on the value of property, and limitations of the public to see additional taxes. Several areas were identified, and may be considered to be cut in subsequent years without strong support of the public to pay more taxes for such programs. Essentially, a standard was being created to look only to add or continue those programs which would be significantly self-supporting.

The budget includes continuing the implementation of new capital improvements which were voted upon for the GO Bond in 2005. In fact, it was encouraged that to the maximum extent possible, the improvements should be accelerated to avoid future cost increases in construction. Also, many of the budget requests from neighborhoods, as to funding programs, were included. This information was gathered at our pre-budget workshops that were held earlier this year.

Now that the workshop has been completed, the City Manager will revise next years budget from comments from the Commission and Mayor, along with update in information subsequently received, and will present for passage by the Commission at the Budget Hearings in September. This passage requires two readings, which will be September 11th and 25th. Both readings must be identical, and therefore any changes must be done no later than at the first reading. However, such changes , even at the first reading, are uncommon. It has been the policy to try to resolve any budget matter issues before the first reading occurs.