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February 26 2014 Minutes of Budget Work Session with Finance Com- -I 244 A Budget Work Session of the Frederick County Board of Supervisors and Finance Committee was held on Wednesday, February 26, 2014, at 5:15 P.M., in the Board of Supervisors' Meeting Room, 107 North Kent Street, Winchester, Virginia. PRESENT Chairman Richard C. Shickle; Vice- Chairman Charles S. DeHaven, Jr.; Gene E. Fisher; Christopher E. Collins; Gary A, Lofton; Robert A. Hess; and Robert W. Wells. OTHERS PRESENT Finance Committee members Angela Rudolph and Judith McCann - Slaughter; John R. Riley, Jr., County Administrator; Kris C. Tierney, Assistant County Administrator; Jay E. Tibbs, Deputy County Administrator; Commissioner of the Revenue Ellen Murphy; Txeasurer C. William Qrndoff, Jr.; Finance Director Cheryl B. Shiffler; Assistant Finance Director Sharon Kibler; Budget Analyst Jennifer Place; Human Resources Director Paula Nofsinger; County Attorney Rod Williams; Director of Planning and Development Eric Lawrence; and Executive Director of Finance for Frederick County Public Schools Lisa Frye. CALL TO ORDER Chairman Shickle called the work session to order. He then turned the presentation over to Administrator Riley. Administrator Riley began by noting the following information: - The estimated right - sizing is not reflected in any budget amount. - The salary survey information is not yet available. - The scenarios reflect an estimated equivalent salaxy increase for county employees, based on that proposed by the school system. - The additional General Fund Revenue presented reflects increases from prior scenarios. The increases in property and local taxes are in agreement with projections by the Commissioner of the Revenue. - Any unbudgeted windfall amount will close to fund balance at June 30, 2014. He stated he would review the four proposed funding scenarios. He noted all scenarios would fund the schools' $4.3 million for VRS and full -day kindergarten. Administrator Riley then reviewed the four proposed scenarios: - Scenario A -- Level tax rate. Under this scenario, the County faces proposed cuts in the amount of $7.1 million with no salaxy increases. The schools would have no cut list and there would be an allowance of $300,000 for salary increases. Minute Book Number 39 Board of Supervisors Budget Work Session with Finance Committee on 02/26/14 G4�; - Scenario B —Real estate tax increase of 3 cents. Under this scenario, the County would see the cuts submitted for Scenario A and $967,500 available for proposed salary increases. The schools would have no cut list and there would be $1.6 million for salary increases. There would be a windfall from the real estate tax increase of $1,125,000. - Scenario C —Real estate tax increase of b cents. Under this scenario, the County would see the proposed cuts in Scenario A reduced by $375,000 and $1.2 million available for a proposed salary increase. The schools would have no cut list and $29 million for salary increases. There would be a windfall from the real estate tax increase of $2,250,000. - Scenario D --- Real estate tax increase of 9 cents. Under this scenario, the County would see the proposed cuts in Scenario A reduced by $1,702,500 and $1.2 million for a proposed salary increase. The schools would have no cut list and $4.2 million for salary increases. There wauld be a windfall from the real estate tax increase of $3,375,000. Supervisor Fisher asked if the Fire and Rescue issues had been addressed. Administrator Riley responded the issue had been funded and addressed. He went on to say staff would attempt to work with Frederick County Public Schools regarding parity and equality of salaries. He went on to say it appears staff could craft , a budget without any resolution to the budget deliberations in Richrriond, but if something major happened then we would have to come back and reopen the process. Vice - Chairman DeHaven stated he appreciated the work staff did an this. There being no further discussion, the work session was adjourned at 5:26 P.M. ��.��� Richard C. Shickle Chairman., Board of Supervisors J h iley, Jr. rk, Board of Supervisors Minutes Prepared By: _ F Jay E Ti s Deputy Clerk, Board of Supervisors Minute Book Number 39 Board of Supervisors Budget Work Session with Rinan¢e Committee on 02/26/14