08-27-02 Personnel & Finance - Laserfiche WebLink

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z--z -a L City of South Bend 2003 Budget-Executive Summary • Fiscally responsible balanced budget-Proactive cost containment • Able to fully fund essential services with less severe measures than many other governmental entities • 2003 Revenues expected to increase by 5.4%or$3 million • EMS fees expected to decline by$250,000 due to loss of St.Joe Med Center contract and reallocation of county contract • General fund expenditures increased by 0.7% 0%increase for supplies 1.5%increase for other services • Significant insurance increases-(2003 Total Cost: $8 million) Self insurance projected to increase by 13%(2001 worst year ever) Liability reserve fund projected to increase by 20% Property insurance - increase- 85% Workers comp 25%increase • Fair compensation for employees Note: City pensions, unlike 401 k's, are guaranteed and have costs assumed by the city • Personnel increases: 5.3%-Police 2.8%-Firefighters 4.0%-Teamsters • Personnel cost reductions due to attrition: 29 net full-time positions eliminated Streets/Traffic &Lighting 5 Water Works 8 Wastewater/Sewers 4 Solid Waste 7 Parks 6 Century Center 1 Police 1 Econ. Dev. 1 (4 positions added: Moths, Palais,Legal, Communications Center)-!r4. • Along with cities throughout Indiana and due to past Fire &Police pension laws, South Bend will continue to be faced with funding short falls for Fire&Police pensions. Impact expected in 2004/2005 and beyond. • Waste water fund has operating deficit and needs rate increase • EDIT& COIT revenues expected to be lower than past years due to impact from recession • Balancing 2004/2005 will be much more difficult due to overall economic issues,reduction in available federal&state funds, escalating medical,pension, &liability costs, court- ordered changes in property tax reassessment and tax restructuring.