HomeMy WebLinkAboutFebruary 13 2013 Minutes of Budget Work Session24Q
A Budget Work Session of the Frederick County Board of Supervisors- and Frederick
County School Board was held on Wednesday, February 13, 2013 at 6:00 P.M., in the Board of
Supervisors' Meeting Roam, County Administration Building, i 07 North Kent Street,
Winchester, Virginia.
PRESENT
Chairman Richard C. Shickle; Charles S. DeHaven, Jr.; Bill M. Ewing; Christopher E.
Collins; Gene E. Fisher; and Gary A. Lofton.
ABSENT
Gainesboro District Seat (Vacant }.
CALL TO ORDER
Chairman Shickle called the work session to order.
County Administrator John R. Riley, Jr. provided a summary of the General Fund FY
2014 proposed budget to date. The budget priorities are:
- Salary increases far current employees to improve morale, retention, and employee
recruitment;
- Evaluation of employee salary scales . to ensure sufficient compensation and
adequateness;
- Evaluation of employee benefits to assure consistency, fiscal prudence, and market
trends;
- Provision of responsible stewardship of county funds to ensure that our citizens
receive the best possible services for funds expended; and
- Ensure a highly trained public safety program to provide efficient services and
protection of county citizens.
He noted the FY 2014 proposed budget of $133,024,407 assumes the use of fund balance in the
amount of $4.3 million and projected new revenues of $5.8 million. He went on to say this
budget originally included requests for five new positions, but it did not seem to be feasible to
fund these positions as part of this budget. Administrator Riley provided a brief overview of �
employee benefits and changes to the benefits package. He noted the changes in benefits means �
the 9.5 %gap between public and private sector employees will increase as benefits decrease thus
resulting in low attraction and retention for public employees. Administrator Riley stated this �
budget is a challenge, but we would like to meet this challenge. He asked the Board to consider
the use of fund balance and noted there is no tax increase proposed as part of this budget.
Supervisor Lofton asked about the 9.5% gap.
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Board of Supervisors Budget Work Session of 02/13/13
241
Administrator Riley responded generally the public sector's benefits are richer than the
private sector; however, reducing these benefits is creating a competitive gap.
Supervisor Lofton stated that he doubted the standard was relevant here.
Supervisor DeHaven stated the PTO proposal made great strides, but it seems
extraordinarily generous compared to the private sector.
Vice - Chairman Ewing stated he would be okay utilizing fund balance with the same
conditions as used in prior years regarding payback.
Chairman Shickle asked about the goals far tonight.
Administrator Riley advised staff was seeking feedback on the approach. On the funding
side there was no tax increase proposed and the possibility of using an additional $1 million in
fund balance {i.e. $4.3 million to $5.3 million). On the expenditure side, the priority is increased
salaries, evaluation of employee benefits, and a restructuring of that program to make the budget
work.
Chairman Shickle stated the general consensus is benefits will have to change.
Administrator Riley stated if the board wants a sustainable workforce then the employees
need a salary increase. He noted there would be changes to the benefits structure.
Supervisor Lofton stated he would like to evaluate the total employee compensation and
benefits package so it can be incorporated into this process. He would like to look at the gap
locally between the private and public sector. He concluded by saying he was looking for parity.
Finance Director Shiffler advised that staff had talked about hiring an outside consultant
to look at salary scales.
other.
Supervisor Lofton responded he did not want to short change one at the expense of the
Administrator Riley noted that b0% of the workforce is public safety, so it is difficult to
find comparable positions in the private sector.
Chairman Shickle advised he would like to get conf rmation regarding the tax increase or
increased use of fund balance.
Supervisor DeHaven stated he did not support a tax increase, but was open- to some
approach to the use and replacement of fund balance. He went on to say he might possibly
consider increasing the use of fund balance to $5.3 million. He noted other issues have to be
addressed and he was concerned about the delay in capital issues and public safety. He
Minute Book Dumber 38
Board of Supervisors Budget Work Session of 02/13/13
242
concluded by saying 2% was the maximum salary increase he would support, but noted an effort �
should be made to address that issue.
Vice - Chairman Ewing stated he did not support increasing taxes. He thought it would bed
okay to use fund balance at $S.3 million. He concluded by saying he would be watching the
percentage of any salary increases because those need to be kept low.
Supervisor Fisher stated capital issues needed to be dealt with now.
Supervisor Collins stated he did not disagree with the earlier comments and the direction
in which staff was going was fine. He concluded by saying we are seeing what waiting is doing
to us and we need to come up with along -term strategy to address some of these issues.
Supervisor Lofton stated he appreciated the effort staff put into the presentation and
it featured no tax increases. He went on to say he was hearing real horror stories about the
economy. He concluded by saying he could support an increased amount of fund balance
funding.
Chairman Shickle asked Administrator Riley to let the Board know if or when
reaches an impasse on the budget.
The next budget work session will be held on Wednesday, Februaxy 27, 2013 beginning
at 6:00 p.m.
Upon a motion by Vice - Chairman Ewing, seconded by Supervisor DeHaven, the work)
session was adjourned at 6:45 p.m.
Richard C. Shickle o R. iley, r.
Chairman, Board of Supervisors erk, Board of Supervisors
Minutes Prepared By;
Jay E, bb
Deputy Clerk, Board of Supervisors
Mi►�ute Bo°k Num�rer 38
Board niSupervisors Budget Work Session of 02113113