The URL can be used to link to this page

Home My WebLink About08-16-2023 2024 Budget Hearing Overview Kick OffCity of South Bend Administration & Finance City of South Bend Administration & Finance 2024 Budget Hearing #1: Budget Overview 2024 Budget August 16, 2023 City of South Bend Administration & Finance Strategic Priorities Strong Neighborhoods Safe Community for Everyone Robust, Sustainable Infrastructure Equitable Access to Opportunity Youth and Workforce Development City of South Bend Administration & Finance Strategic Priorities - CouncilAmerican Rescue Plan Total Award: $58,910,047 Total Allocated: $58,005,000 Total Spent or Committed (as of 8/16/2023): $46,406,251.95 (~79% of total award) City of South Bend Administration & Finance Upcoming Highlights •Full staffing level of officers (252) •Real time crime center operations •Homeless Strategy Implementation •Customer Service Focus •Rebuilding Our Streets 2.0 Plan •Continued Investments in Climate Action Plan •VPA and Neighborhood Capital Projects •Community Initiatives Fully Integrated into VPA with GVI •Adopting Latest Best Practices in Innovation & Technology •PSCDA Projects in 2024 •Major water and sewer capital projects discussed during rates (2023) •Continued cost of living adjustments to attract and retain talent City of South Bend Administration & Finance Budget Takeaways •Inflation has stabilized, prices remain high. •Competitive wages continue to climb faster than revenue received. •Budgeted deficit is not an actual deficit. •Structural deficit makes new, ongoing expenditures unsustainable. •Need to grow into this budget, making cuts wherever possible. •Healthy reserves provide flexibility to navigate this transition. City of South Bend Administration & Finance Financial Overview Proposed 2024 Budget City of South Bend Administration & Finance Cash Reserve Requirements Fund Category 12/31/2023 Projected Cash Balance Cash Reserve Requirement Variance Reserve Requirement Explanation General Plus Funds 92,144,579 69,876,492 22,268,087 50% of annual operating expenses Other Operating Funds 23,691,012 17,953,156 5,737,856 Generally, 25% of annual operating expenses Other Special Revenue Funds 20,808,064 11,353,357 9.454.707 Rainy Day Fund - 3% of total City expenses Capital & Debt Service Funds 58,225,149 30,800,916 27,424,233 Debt service reserves Internal Service Funds 17,831,195 7,244,420 10,586,775 Reserve requirement is for self- insured funds All Other Funds 47,708,334 3,533,585 44,174,749 Grand Total 260,408,333 140,761,926 119,646,407 City of South Bend Administration & Finance Revenues 2020 Actual 2021 Actual 2022 Actual 2023 Adopted Budget 2024 Proposed Budget Property Taxes 80,188,143 87,866,397 88,670,960 91,383,556 94,996,997 Local Income Taxes 36,897,937 35,736,715 31,464,822 32,377,557 35,136,116 Charges for Services 101,247,133 105,060,688 110,825,456 114,555,260 123,481,642 Debt Proceeds 16,244,982 27,792,114 20,602,267 56,973,500 11,928,500 Donations 4,629,063 4,581,762 3,523,560 7,603,000 9,720,560 Fines, Forfeitures, and Fees 1,073,088 662,297 646,218 733,550 744,420 Interest Earnings 2,502,753 1,727,224 4,874,844 3,443,910 3,586,248 Interfund Allocation Reimb 20,960,750 25,124,917 25,996,674 26,659,591 31,507,592 Interfund Transfers In 54,052,369 61,843,919 49,177,864 62,287,807 62,297,371 Intergov./ Grants 10,051,021 40,813,139 39,961,550 4,387,255 4,332,568 Intergov./ Shared Revenues 25,155,512 25,978,557 25,873,341 28,863,886 31,800,200 Licenses & Permits 1,619,205 1,821,899 2,240,128 1,881,225 1,930,707 Other Income 6,340,335 5,414,593 6,362,370 3,107,411 3,108,272 PILOT 6,221,791 6,154,321 6,079,325 6,095,594 6,024,186 Grand Total 367,184,081 430,578,541 416,299,378 440,353,102 420,595,379 City of South Bend Administration & Finance 2024 Proposed Budget 2021 Actual 2022 Actual 2023 Adopted Budget 2024 Proposed Budget 01 Mayor's Office (1,716,896)(2,132,797)(1,036,452)(1,114,306) 02 City Clerk (477,787)(433,836)(453,901)(492,180) 03 Common Council (538,882)(509,239)(607,587)(836,294) 04 Administration & Finance (35,073,661)(52,290,061)(43,629,245)(47,588,191) 05 Legal Department (1,227,132)(1,303,534)(1,604,576)(1,809,768) 06 Public Works (93,949,799)(82,035,216)(142,580,721)(107,531,245) 07 Innovation & Technology (9,183,704)(9,298,919)(10,078,207)(14,204,771) 08 Police Department (42,044,556)(43,031,323)(47,335,169)(51,624,654) 09 Fire Department (35,767,842)(37,766,018)(40,474,070)(44,618,382) 10 Dept of Community Investment (34,246,266)(45,085,414)(28,398,300)(49,029,978) 11 Venues, Parks & Arts (22,403,068)(36,464,143)(37,033,164)(35,379,154) Net Surplus / (Deficit) (276,629,592) (310,350,500) (353,231,392) (354,228,923) City of South Bend Administration & Finance 2024 Proposed Budget Total Revenue (City): 420,550,561 Total Expenditures (City): (447,213,320) Net Surplus/(Deficit): (26,662,759) •Deficit Breakdown: •General Plus Fund Deficit: $18,471,576 •Enterprise Funds Deficit: $8,998,724 City of South Bend Administration & Finance 2024 Proposed Budget •General Plus Fund Deficit: $18,471,576 •$5.5million for streets capital •$6.0 million to cover Parks operations •Subsidizing of various City operations and programs. •$ Increased costs due to inflation and increased salaries and wages •General Plus Fund History: •Stronger than expected revenue •Cost savings (particularly in personnel) General Plus Funds Budget 2021 2022 2023 Budget Actual Budget Actual Budget 6/30/2023 Actual $5.0 Million Deficit $9.9 Million Surplus $6.3 Million Deficit $2.7 Million Surplus $13.1 Million Deficit $2.0 Million Deficit City of South Bend Administration & Finance Personnel Assumptions •Non-bargaining personnel: 3.00% raise •City Residency Incentive: $1,000  $2,000 •Sworn Firefighters: 2.50% raise (per contract) •Teamsters: 2.00% raise (per contract) •City Residency Incentive: $1,000  $2,000 •Sworn Police Officers: 4.50% raise (per contract) City of South Bend Administration & Finance Format of Budget Hearings 2024 Budget City of South Bend Administration & Finance Budget Hearing Schedule Date Time Topic Wednesday, August 16, 2023 5:30 PM 2024 City-Wide Budget Overview Wednesday, August 23, 2023 5:30 PM Police Department & Fire Department Wednesday, August 31, 2023 5:30 PM Venues Parks & Arts Wednesday, September 6, 2023 5:30 PM Council Working Session #1 Wednesday, September 13, 2023 5:30 PM Department of Community Investment Wednesday, September 20, 2023 5:30 PM Public Works Monday, September 25, 2023 5:30PM Public Hearing on 2024 Budget (@ 7:00pm Council Meeting) Thursday, September 28, 2023 5:30 PM Mayor’s Office, Diversity & Inclusion, City Clerk, Common Council Tuesday, October 3, 2023 5:30 PM Public Hearing on 2023 Budget (@ 7:00 pm Council Meeting) Thursday, September 28, 2023 5:30 PM Mayor’s Office, Legal Department, Clerk & Council Thursday, October 3, 2023 5:00 PM Transpo, Budget Wrap-up, and Final Questions City of South Bend Administration & Finance Format of 2024 Budget Packets •Copy of each PowerPoint Presentation •Budget Summary Sheet •Summary of Spending •Line-Level Budget Detail •High-level summary of proposed personnel changes