12 / 159
6
courts and $4.5 million for further development at
Gateway Gardens and Barber Park were also
included in the successful referendum.
The 2016 bond referendum included $10 million for
new transportation enhancements, including $4.5
million for new transit buses, $5.0 million for new
sidewalk and intersection improvements and
$500,000 for renovations to the Galyon Depot.
The 2016 bond referendum also addressed the
community’s need for additional affordable housing
and other unique housing challenges. Voters
approved $25 million for various housing efforts,
including $8 million for a Workforce Housing
Initiative, designed to make housing more
affordable for working families earning income
slightly above poverty designations. Funds to
support affordable multi-family housing, emergency
repair programs, and housing for homeless and
disabled veterans were also included in the Housing
Bond package.
Over the past decade as the City has borrowed
funds for various investments approved by voters,
staff has managed the borrowing schedule to
ensure minimal tax rate adjustments necessary for
debt service.
On April 18 2017, City Council adopted a resolution
directing the City Manager to increase the portion of
the property tax rate dedicated to general obligation
debt service to fund debt service adequately for
bonds approved by the voters in 2008, 2009 and
2016. The Recommended FY 17-18 budget
acknowledges this direction, allocating an additional
1.75 cents (from 8.00 to 9.75 cents) to debt service.
The proposed FY 2018-2027 Capital Improvements
Plan (CIP) totals $1.69 billion in identified projects
and outlines a future financing plan to maintain our
current infrastructure and develop new facilities as
needed.
Over one-third of the entire proposed Capital
Improvements Plan is devoted to our water and
sewer infrastructure. The City continues to plan and
implement a variety of water system improvements
and maintenance efforts using both debt financing
and pay-as-you-go (cash) capital financing. The
proposed CIP includes $650 million in planned
water and sewer utility improvements, including
such major projects as Osborne Wastewater
Treatment Plant capacity upgrades and system
wide sanitary sewer and water line rehabilitation.
The CIP also includes $126 million approved in the
2016 Bond Referenda, including funding for
Housing, Economic Development, Parks and
Recreation and Transportation (transit, sidewalks,
resurfacing) projects.
The recommended budget includes a proposed
water rate increase of 3.75% for customers inside
the city and a rate increase of 1.0% for customers
outside the city. This modest rate increase
translates to about $1.59 per month for the typical
household inside the city and about $1.00 per
month for households outside the city. This rate
increase will ensure the continued financial security
of this vital utility resource, while keeping our
customer rates very competitive when compared to
peer cities throughout the state.
“Achieve exceptional customer service, a diverse
workforce and ensure fiscal stewardship,
transparency and accountability.”
The recommended budget includes an average
3.0% merit increase for all employees, based on
performance evaluation. The recommended budget
also continues the Public Safety Step Program and
includes a 5% increase to all steps within the
program. These recommendations are included
within the total compensation plan developed for the
FY 17-18 budget.
Bloomberg Philanthropies selected the City of
Greensboro to participate in the “What Works City”
program, which is supporting the City’s efforts to
implement an Open Data policy that will make a
variety of city information, statistics and data easier
for the public to access. In addition, we also
continue to make customer service improvements
to our Development Services area to make the
City’s technical review process easier to navigate
and more business friendly.
Property Tax Rate
The FY 17-18 Recommended Budget is balanced
with a proposed tax rate of 63.25 cents per $100
property valuation, the same as the current tax rate
for FY 16-17. In compliance with appropriate state
statues and based on the 2017 county-wide
property revaluation, the City has calculated and
published a “revenue neutral” rate of 61.14 cents.
The tax rate included in the Recommended Budget
is 2.11 cents above the revenue neutral rate.
I very much appreciate the continued dedication our
employees show to the cause of public service. We
are prepared to assist City Council in adopting this
service plan for our city.
Respectfully submitted,
Jim Westmoreland, City Manager
City Manager’s Budget Message