As reported on the Town's
website and in
The Cary News, Morrisville's FY13 $24.4M budget was finalized on June 26th. By a vote of 5-2 (Council Member Diehl and I voted against the spending plan) the Council adopted a
12% year-over-year spending increase.
I've received a number of questions regarding both the budget process and the product. Among them:
Q: What happened to the $5M fund balance surplus?
A: The amount above council policy was
$700k, not $5M. By unanimous council approval, the overage (and then some) was appropriated in FY12 as follows:
- $500k to previously deferred road maintenance. $384k (about one penny of our FY12 property taxes) was spent on Crabtree Crossing Pkwy. The balance was spent on Slater Rd.
- $150k to fund vehicle replacements
- $100k to fund a traffic signal at Morrisville-Carpenter Rd and Town Hall Dr.
Q: Does the $500k in additional road maintenance zero out the deferred list?
A: No. Our roads are beginning to show their age and current road maintenance needs are about $3M. As roads are repaired, new ones are added to the deficient list. The unfunded need will remain at $2.9M yearly until additional revenue is identified.
Q: Why don't you ask for transportation impact fees?
A: I have. More than once. The State Legislature believes that Cary, Apex, Holly Springs and Fuquay should have this authoirty but Morrisville should not. Without authority from the Legislature, we cannot impose this fee.
Q: What happened to your idea to budget for transportation grant "matching funds" as promised during your 2009 campaign?
A: The amount staff recommended for the coming FY was $100k. Assuming an 80%/20% split, $100k of local funds would have given us the green light to apply for $500k in transportation grants. The amount was not included as part of the 12% increase.
Q: What happened to your Transportation Task Force and can I serve on the committee?
A: The Task Force was not funded. I am now looking at creating the group privately and will get back to you.
Q: Did the Town Council really approve $78k for a sidewalk in
Cary?
A: Yes, by a vote of 5-2.
Q: How many new police and firefighters will be added in the coming year:
A: Police = 0 additional personnel. Fire Dept = 3 additional personnel.
Q: How much of our savings account will be needed for expenses in the coming year?
A: In order to balance the 12% spending increase without raising taxes, the Council consensus was to use $800k - about 3% of the budget - of our fund balance. The amount left in savings for the coming fiscal year remains within the council's policy.
Q: What happens next year?
A: Based on current projections, here's the answer:
Q: What will happen now to the bond projects?
A: 2 questions will appear on our November ballot: $14.3M for road improvements, $5.7M for Parks/Rec.
Q: Will the bond projects, if passed, require a tax increase?
A: That depends on the will of the Town Council. In the coming fiscal year the town will spend more than it takes in. The Council can elect to take that same approach in subsequent years until our savings is depleted. They can also cut current expenses equivalent to the amount of annual debt payment. One council member has suggested dismantling our current professional fire department, staffing instead with volunteers 75% of the time, in order to avoid a property tax increase. Or the elected officials can raise taxes.
Q: How does Morrisville compare with other Wake municipalities:
A: We offer the 2nd lowest property tax rate in the county. Cary is lower, but they bill residents $168/year for trash collection. We offer the service as part of municipal operations with no additional charge to residents.
Q: What's next?
A: While I voted against this budget, I intend to support the plan as adopted. However, I will continue to advocate for a stronger fiscal position in the coming years. Until there is agreement on overall Town priorities among elected officials, a culture of austerity must be adopted by all in our community.
Morrisville Community Park
