ThisWeek CW 07/14/2011
Canal Winchester City Council unanimously approved a $13.3-million 2012 budget last week that includes a $5.7-million general fund.
Details were discussed at a finance committee meeting and public hearing about the proposal prior to council’s July 5 meeting.
For fiscal year 2012, the anticipated beginning balance for Jan. 1, 2012 is $10,428,644; total revenues are anticipated to be $12,903,730 for the year and total budgeted expenses are expected to be $13,306,099, resulting in an end-of-year balance of $10,026,275.
“This is a guideline, right?” committee member Rick Deeds asked. “So is there any reason we shouldn’t be aggressive with our revenue and conservative with spending?”
City finance director Nanisa Osborn said revenues are aggressive and cannot be modified as easily as expenses can.
“I’d say we are being aggressive with our revenue figures,” she said. “My guess is we’re going to lose $180,000 from state government; the estate tax has gone down some and it will go away totally in 2013.
“We met with the county auditor and adjusted (revenue) down again. Income tax is where we thought it would be and so far, seems stable,” Osborn said.
She said the opening of Diley Ridge Medical center has “in many ways” offset the loss of a Waste Management Inc. transfer station in Canal Winchester, “but the doctors’ incomes haven’t yet because they practice in multiple jurisdictions so it’s been harder to get filings correct.”
Committee member Steve Donahue asked if money were allocated to update the sound system used at Town Hall and if the public tennis court construction at the high school will be completed with 2011 funds or included in the 2012 budget.
“We don’t just have a volume issue (with the sound system) but also a recording issue,” Osborn said. “There is money in there to do a full upgrade, if we need to. Dollars are set aside in ‘lands and buildings,’ which are unspecified for this type of thing — because you never know what might come up.
“We have to use 2011 money to make the (tennis court) contract happen because of timing. I anticipate we’ll bid this in September with construction in October or November.”
The budget line item for personal services under leisure time activities, which pays for employees at the community center and those who do park maintenance, among other things, rose from $125,000 to $329,000 between the current fiscal year and the 2012 estimations.
“We moved people from the street department’s budget to the parks department because they’re actually doing park work,” Osborn said. “In addition, the expenses for the community center are moving out of its own separate budget line to become part of the general fund because that is where it belongs now that we’re a city.
“Things that are not self-sustaining should be in the general fund, however, things like streets are required to have their own separate funds, by law,” she explained.
Osborn estimates that revenue will be $390,000 in 2011, but due to property value adjustments, only $365,000 in 2012.
The finance committee also approved an amendment to the current 2011 budget that will be sent to city council for a vote. The amendment provides an additional $500 for office supplies for the anticipated hiring of a new economic development director, and an additional $10,000 to cover health care benefits for the clerk of courts.
The next finance committee meeting is scheduled for 6 p.m., Aug.1, at Town Hall, 10 N. High St.