[Archived] Alexandria City Manager Releases Proposed Fy 2002 Operating And Capital Budgets

City Press Release


	City of Alexandria, Virginia Office of the City Manager Alexandria City Hall 301 King Street, Suite 3500 Alexandria, Virginia 22314-3211 www.alexandriava.gov Telephone: 703.838.4300 Fax : 703.838.6343

MEDIA ADVISORY

FOR IMMEDIATE RELEASE: WEDNESDAY, MARCH 14, 2001
CONTACT: MARK JINKS, ASSISTANT CITY MANAGER
FISCAL AND FINANCIAL AFFAIRS (703) 838-4966

ALEXANDRIA CITY MANAGER RELEASES
PROPOSED FY 2002 OPERATING AND CAPITAL BUDGETS

Alexandria City Manager Philip Sunderland presented his proposed FY 2002 Operating and Capital budgets to the Alexandria City Council Tuesday night. The total proposed Operating Budget is $429.4 million from all funding sources (an 8.3% increase over FY 2001), with $349.9 million attributed to the General Fund budget ( local funding sources) representing a 9.1% increase from FY 2001. The proposed six-year (FY 2002-2007) Capital Improvement Program budget is $296.9 million from all sources and $197.3 million from local funding, an increase of 26% in local funding over FY 2001. The proposed budget recommends no increase in the present real property tax rate of $1.11 per $100 of assessed value.

The General Fund- supported operating Budget is funded by projected revenues of $346.4 million and the use of $3.5 million of fund balance, with 47% of the revenues ($163.6 million) coming from real property taxes, and 14 % from personal property taxes including $19.9 million in reimbursements from the state for the car tax. The remaining revenue comes from sales, business, meals and license taxes and non-tax sources, e.g., fees, charges, donations.

The Capital Improvement Program (CIP) budget is funded through a combination of cash capital contributions and other sources totaling $104.3 million (53% of the CIP) in “pay-as-you-go” funding, and the remaining $93 million will be bond financed.

This budget reflects the City’s strong fiscal condition as demonstrated by the AAA/Aaa ratings the City received from both of the major bond rating agencies last summer, and the strong economy in Alexandria. The City’s employment base continues to grow, the tax base increased by $1.3 billion and the 3,449 home sales in 2000 reflect the City’s strong housing market. While the rate of growth in Alexandria and the region has been exceptional the last two years, there does appear to be a slowdown in the rate of growth, but Alexandria is well positioned to handle a slowdown. The major budget initiatives include the following:

Education and Children:

Full funding of the $108.4 million Schools’ operating budget request (a $9.6 million or 9.7% increase above the current year), including a 3% COLA and merit increase, and $93.8 million for the Schools’ Capital budget (a $36.2 million or 63% increase above the current year). This fully funds the capital budget with the exception of $20.9 proposed for elementary school expansion in FY 2005. The inclusion of these projects will be addressed when, and if, future enrollment data support a need for expanded facilities.
Expanding, by 150 additional children, the City’s day care fee program ($1 million in federal and state match).
An additional $50,000 for the Arlandria Health clinic.
$100,000 for a Youth Fund to support innovative activities to promote and enhance positive youth development.

Public Safety and Public Infrastructure

A new Emergency Medical Service unit (eight paramedic personnel and an ambulance for $543,300) to address the significant expansion of the City’s residential and worker populations.
City funding of $328,600 to continue the Domestic Violence Intervention Program, operated in the Police Department, when the grant expires this year.
Public infrastructure measures including correcting sewer problems in older neighborhoods ($2.4 million over six years), reconstruct and replace deteriorating storm sewers( $2.8 million over six years), phase two repair and renovation of Market Square
($2.4 million) and remediation of structural problems at the Public Safety Center ($5.1
million.

Land Use Planning and Development

The addition of five new positions to the Planning and Zoning Department to support neighborhood planning activities and expand use of the City’s geographical information system (GIS)- ($446,000).
A total of eight new positions to expand and improve construction review and inspection efforts in light of several major projects, the Patent and Trademark Office, the build-out of Cameron Station and Potomac Yard. Four positions are allocated to the Department of Transportation and Environmental Services and four positions to Code Enforcement ($406,500).

Traffic and Neighborhood Quality of Life

$400,000 over six years for traffic calming initiatives in several neighborhoods and $850,000 over six years for improving and enhancing pedestrian safety (pedestrian signal heads, redesign of heavily traveled intersections and school crossing access points).
Permanent funding for the Gridlock Reduction Intervention Program ($263,200).
A new Neighborhood Partnership Program to provide small grants (up to $5,000) for small neighborhood improvement projects ($50,000).
Recreation and Leisure Services

Almost $500,000 in operating monies to fund additional staff and equipment for the Beatley and Burke library facilities, $1.25 million to expand the Duncan Library and $250,000 to replace the Library’s outdated automated catalog system.
$191,500 to improve maintenance of parks and open spaces, the waterfront and the recently acquired Union Station, and $240,000 over six years to improve the City’s roadway medians and entryways.
$1.3 million in previous and new funding to renovate and expand the Jerome “Buddy” Ford Nature Center at Ramsay Elementary School

Environment

$3.2 million in previous and new funding for remediation of the groundwater contamination at the Oronoco Street Outfall.
Capital funds over the next six years to address combined sewer overflow issues ($2.8 million) and restoration of yet to be identified environmentally sensitive areas ($300,000).

Employees

A 3% cost of living for City employees, a merit increase for all eligible employees, and an increase in the amount the City pays for health insurance to compensate for higher costs.

Affordable Housing

No new funding as the City Manager’s Task Force on Affordable Housing will be recommending initiatives by the end of the year and any new initiatives are expected to be funded from the City’s existing Housing Trust Fund.

State Budget

Reductions in state revenue appear likely, and the budget includes a $750,000 contingent reserve to help address impacts on Alexandria.

Budget Work Sessions

The City Council will hold a series of public work sessions and a public hearing on the proposed Capital and Operating budgets between now and budget adoption on May 7. The work sessions are held in the City Council Workroom and the Public Hearing and Budget Adoption are held in the City Council Chamber, unless otherwise noted. Both rooms are on the second floor of City Hall.

Tuesday, March 20, 7:30 p.m. Work Session
Thursday, March 29, 7:30 p.m. Work Session with the School Board at the Beatley Central Library, 5005 Duke Street
Tuesday, April 17, 4:30 p.m. to 10:30 p.m. Public Hearing
Thursday, April 19, 7:30 p.m. Work Session
Wednesday, April 25, 7:30 p.m. Work Session
Monday, May 7, 6:30 p.m. Work Session and 7:30 p.m. Budget Adoption

Additional information on the proposed budget is available on the City’s web site at http://ci.alexandria.va.us.

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