Approved FY 2011-12 Budget
Dear Councilmembers and Citizens of the City of Prattville,
The document that I presented to you prior to the August 30th work session and the revision I offer to you tonight has more actual information in it than any budget document delivered to date. I, Doug Moseley and Lisa Thrash have put together this package in a new format, which should allow you to make a more informed decision.
This budget is based on the 1-cent sales tax increase being extended through September 2012. That extension, coupled with an aggressive retirement offering, and my three T’s (time, tools, talent) that I have asked of each of you, will lower our personnel costs while continuing to provide the level of services that our citizens have come to expect from us. I have also begun to form enterprise fund accounts, which in time can help us to build a reserve fund and provide quality and dependable Wastewater and Sanitation Departments.
Inside this budget, I have included a few capital projects. In the past, those types of projects have traditionally been financed. My approach is vastly different from the previous administration in that we will not fund capital projects until such a time as the revenue has been received and we can pay cash.
Over the 7 months that I have been Mayor, I have reduced personnel costs by $1.5 million. I have renegotiated contracts, saving the City approximately $500,000. With proper management, I see more savings in our immediate future. Our previous budgets have never included holiday pay. Our 2011 budget included furloughs. This FY 2011-2012 budget shows the cost of holiday pay and furloughs should not be an option. I am submitting several benefit options that have a potential to save the City hundreds of thousands in the coming year.
I need to reassure each of you that every penny of our 1-cent sales tax increase has been used to pay our debt service. We have collected $1,387,376.60 from the one-penny tax increase and we have paid $1,692,971.90 toward our bond issues since May 1st. When I took office, the City of Prattville owed over $2,600,000 in accounts payable. The City’s accounts payable balance has been reduced to $600,000.
Ever since we rescinded the budget 11 months ago, I believe we have made history by reducing our expenses, tightening our belts, and streamlining our departments, all while continuing to successfully provide services. I know of no other administration to come so far in so little time. With your consideration and support of this budget package and the sales tax extension, we would only need to reduce personnel through natural attrition, further reduction of programs would be minimal and the quality of services should not be affected.
In the past, I have made it clear to the Council and the previous administration that the budget format was not a preferred type. I have been able to make minor changes keeping disruption within our departments to a minimum. Whereas this budget is still not my preferred format, I will continue to look for an improved layout for next year’s submission.
Proper management is needed now! Proper management of this service-oriented company will build a reserve and cut costs. This budget is to serve as a fiscal guide. With proper management, this guide will provide our city the public safety and public service it so richly deserves. This budget is the best solution for the restrictions we have before us.
Bill Gillespie, Jr.
Approved FY2011-2012 Budget
|Budget Presentation||General Fund - Debt Service Fund, Wastewater Enterprise Fund & Sanitation Enterprise Fund (8.8MB)|