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February 18 2015 Minutes of Budget Work Session with Finance Com201 A Budget Work Session of the Frederick County Board of Supervisors and Finance Committee was held on Wednesday, February 18, 2015 at 8:00 A.M., in the First Floor Conference Room, 107 North Kent Street, Winchester, Virginia. PRESENT Chairman Richard C. Shickle; Vice- Chairman Charles S. DeHaven, Jr.; Christopher E. Collins; Gene E. Fisher; Robert A. Hess; Gary A. Lofton; and Robert W. Wells. OTHERS PRESENT Finance Committee members Bill M. Ewing, Angela Rudolph, and Judith McCann - Slaughter; Roderick B. Williams, Interim- County Administrator; Kris C. Tierney, Assistant County Administrator; Jay E. Tibbs, Deputy County Administrator; Commissioner of the Revenue Ellen Murphy; Treasurer C. William Orndoff, Jr.; Finance Director Cheryl B. Shiffler; Assistant Finance Director Sharon Kibler; Budget Analyst Jennifer Place; Fire Chief Dennis Linaburg; Superintendent of Schools David Sovine; Executive Director of Finance for Frederick County Public Schools Lisa Frye; Frederick County School Board Chairman Ben Waterman; Frederick County School Board Vice - Chairman Dr. John Lamanna; Frederick County School Board member Peggy Clark; and Ann White, Operations and Business Manager, Handley Regional Library. CALL TO ORDER Chairman Shickle called the work session to order.. Finance Director Shiffler reviewed the five funding scenarios. She noted that scenarios A, B, and C reflected a revenue neutral tax rate of $0.56. Scenario D reflected the current tax rate of $0.585, which resulted in a tax increase of $0.025. Scenario E reflected a $0.05 tax increase. She noted the proposed list of budget cuts were based on Scenario A. She went on onto say that all positions and capital requests were eliminated under scenario A. She advised if the Board chose scenario B or C then the level of cuts would be more. If scenarios D or E were selected the amount of cuts would be reduced. She concluded by saying the Board had the option of increasing or decreasing the amount of fund balance used to balance the budget. Supervisor Hess asked if department heads would have some flexibility regarding where to apply the cuts needed for scenario A. Finance Director Shiffler responded yes. Minute Book Number 40 Board of Supervisors Budget Work Session with Finance Committee on 02 /18 /15 202. Chairman Shickle polled the Board and Finance Committee regarding a scenario to advertise: Vice - Chairman DeHaven — Scenario A with additional fund balance. Mrs. McCann- Slaughter — Scenario A. Supervisor Fisher — Scenario D with $4.3 million from fund balance. Mrs. Rudolph — Scenario D with $4.3 million from fund balance Supervisor Lofton — Scenario A. Mr. Ewing — Scenario A. Supervisor Collins — Scenario A with additional fund balance. Supervisor Wells — Scenario A. Commissioner Murphy — Scenario D. Treasurer Qrndoff — Deferred. Supervisor Hess — Scenario A with additional fund balance. Chairman Shickle stated Scenario A was selected, but there was interest in utilizing additional fund balance. He asked for further discussion on this topic. Supervisor Collins suggested utilizing and additional $3 million. Supervisor Wells stated he would like to not use additional fund balance unless it was necessary. He believed it should be more of a security blanket and not used to splurge. Supervisor Lofton. stated he could agree to an additional $3 million, if needed. Mr. Ewing stated he could support up to an additional $3 million, based on need. Supervisor Hess stated he was okay with using an additional $3 million. Supervisor DeHaven stated he was initially thinking of an additional $4.3 with a requirement that the first $4.3 be replaced, but not the second. He went on to say that he was okay with an additional $3 million. The majority consensus was to utilize up to an additional $3 million from fund balance. Finance Director Shiffler asked if there was additional information the Board and committee would like to have for next week's work session. Supervisor Fisher stated he was concerned about Fire and Rescue issues and how the chief s service plan would be implemented. Vice - Chairman DeHaven asked the fire chief to show one time and recurring costs associated with the requested positions. Minute Book Number 40 Board of Supervisors Budget Work Session with Finance Committee on 02118/15 203 Mr. Ewing stated he would like to see the additional fund balance funding be used for public safety issues and possible budget reductions passed on by the state. (Supervisor Collins left the meeting at 8:30 A.M.) Supervisor Lofton stated he would like to see fire and rescue and sheriff's costs, salary survey, and a list of fees that are being increased. The next budget work session will be held on Wednesday, February 25, 2011 at 5:00 P.M. There being no further business, the work session adjourned at 8:35A.M. Richard C. Shiekle Chairman, Board of Supervisors Roderick B. Williams Interim Clerk, Board of Supervisors Minutes Prepared By: —! Jay E f Ti s Deputy Clerk, Board of Supervisors Minute Book Number 40 Board of Supervisors Budget Work Session with Finance Committee on 02118/15