Title
Approval of the Fiscal Year 06-07 and 07-08 Budgets (B)
Explanation
The City of Gainesville follows a two-year budget cycle and the CRA Board is being asked to approve the Advisory Board recommendations for the Fiscal Year 06-07 and Fiscal Year 07-08 budget. A copy of the budget is attached for review.
It is difficult to project the increment from year to year. There has been significant growth in the tax increment over the past few years, but it is difficult to project how that growth rate will change over the coming years. As a rule of thumb, staff projects increment at a conservative 5% growth rate annually. Once the actual increment is determined in December additional funds are budgeted during the amendatory budget process. It should also be noted the project funds can be moved from one category to another if the CRA decides to shift its priorities.
Based on the current increment and personnel numbers staff recommends the CRA move to a new funding formula for the next two years. All operating expenses will be split among the areas as follows: College Park University Heights 45%; Downtown 33%; Fifth Avenue Pleasant Street 11%; Eastside 11%. This breakdown is a reflection of the percentage of the total increment generated by the area.
The budget has been reviewed by the Advisory Boards and their recommendations have been included in the budget as presented.
Payroll - At this time staff is recommending no changes to the current personnel strategy.
Operating Expenses- Operating expenses have been increased slightly across the board, based on actual expenses over the past two years.
Project Funds- Project funds are broken into two categories, CRA-wide and individual CRA areas. The CRA wide projects are those projects that cut across more than one CRA area. The Advisory Boards recommend the following project funding:
CRA-Wide Maintenance- College Park University Heights, Downtown and the Fifth Avenue Pleas...
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