Florida Institute of Government at Florida State University FSASE Certification Project

1. Florida Institute of Government at Florida State UniversityFSASE Certification Project FCEP Level I – Budget Development for Elections Office4 Hour Course Randy Singh Assistant County Administrator, Orange County Bill Cowles Supervisor of Elections, Orange County May 2017

2. Presentation Outline • County Facts • Budget Development Process • County Budget Overview • Financial Planning • TRIM Notice • Summary

3. Presentation Outline • County Facts • Budget Development Process • County Budget Overview • Summary

4. County Facts • 5th Largest County in Florida • Population ~ 1.3 Million • 89% Under 65 Years Old • 66 Million Visitors in 2015 • $109 Billion Taxable Value • Disney – Largest Taxpayer • Value of $8.6 Billion • Employs 74,000 Locally

5. County Facts How Large is the County’s Budget ?

6. County Facts Overall budget is $3.7 billion - Greater than Bahamas, Bermuda, Greenland, Fiji, and many more.

7. County Facts What is the County’s largest revenue source? What is the State’s largest revenue source?

8. County Facts How much do you pay in gas tax per gallon of fuel?

9. County Facts How much do you pay in gas tax per gallon of fuel? Gas 49 centsDiesel 56 cents Federal 18.4 24.4 State 24.9 24.9 Local 6 7

10. County Facts Population Unincorporated 813,421 64% Orlando 271,752 21% Others 195,214 15%

11. County Facts 13 Cities in Orange County 13

12. Presentation Outline • County Facts • Budget Development Process • County Budget Overview • Summary

13. Budget Development Role of : Mayor Commissioners Staff Citizens

14. Budget Development Role of Mayor: Prepare and submit a balanced budget to the BCC

15. Budget Development Role of Commissioners: Discuss and approve the annual budget

16. Budget Development Role of Staff: Prepare a detailed budget based on the Mayor’s guidelines and priorities

17. Budget Development Role of Citizens: • Communicate with District Commissioners • Communicate with county staff • Participate on Advisory Boards

18. Office of Management & Budget OMB’s Principal Duties • County Annual Budget • Budget Amendments • Revenue Forecasting • Long-term Financial Planning • Operating Process • CIP Process • Grants Process

19. Office of Management & Budget OMB’s Principal Duties • Budget Monitoring • Financial Reports • Fee Studies • Audits

20. Presentation Outline • County Facts • Budget Development Process • County Budget Overview • Financial Planning • TRIM Notice • Summary

21. Class Exercise Simple Budget Exercise

22. Budget Overview • So what is a Budget?

23. Budget Overview • The Budget is a financial Plan • The budget serves as the primary tool for allocating financial resources to programs and services. • Policy making tool, • Management tool, • Financial tool, • Communication tool • Local and State Must be balanced • Federal is not

24. What is Financial Planning? A strategic approach to understand and address your financial situation both short and long-term

25. What is Financial Planning? • Short-Term = 1 year - Annual Budget • Long-Term usually 5 years

26. Why Plan? • It’s your financial GPS • To know what you can afford now and later (financial sustainability) • To establish budget guidelines

27. What it is not It is not Accounting

28. Accounting vs. Financial Planning • Accounting: • After the fact recording and reporting of financial events • Assets – Liabilities = Owners Equity • A strict science based on established guidelines and principles

29. Accounting vs. Financial Planning • Financial Planning: • Forward looking – before the financial event • Part science and part Art • (Art – based on prudent financial principles and judgment)

30. Accounting vs. Financial Planning • Financial Planning: • Revenues – Expenditures = Surplus / Deficit • Revenues – Expenditures + - P = Trouble or Not • Assets – Liabilities = Owners Equity

31. Accounting vs. Financial Planning • Financial Planning: • Rev – Exp+- P = Trouble or Not • Where P = Politics

32. Accounting vs. Financial Planning • Politics: • Increase Taxes • Increase Fees • Cut or Add Programs • Public Safety • Unions • Term Limits • Elections • Legislators • Lobbyists

33. What does it do? • Plan for stable service delivery during economic fluctuations • Examine long-term impact of current proposals • Identify and react to trends before it becomes a crisis • Calculate a measured response to economic and other changes

34. How to Plan? • Understand your environment: • Social (education, crime rates, unemployment, etc.) • Political/legislative (local, state & feds) • Geographical (location) • Seasonal (PST) • Infrastructure (condition) • Economic and Financial (global & local, CPI, etc.)

35. Forecasting • Historical Trends • Most Recent 3 Years • Industry Patterns • Legislation • Global & Local Economy Economic Indicators

36. Presentation Outline • County Facts • Budget Development Process • Budget Overview • Summary

37. Economic Environment • Uncertain times • Slow economic growth • Unemployment • Legislative impacts • Tax revenue erosion

38. Budget Process 1Economic Indicators 11 Budget Amendment 2Priorities/Guidelines 10 Budget Document 3 Department Requests 9 Adopted Budget 4 County Mayor, County Administrator & Staff Meetings 8 Public Hearings 5 Proposed Budget Developed 7 BCC Changes & TRIM Notice 6 BCC Worksessions

39. Budget Overview • Where does our money comes from?

40. Orange County Revenues $3.7 Billion

41. Budget Overview • Where does our money go?

42. Adopted FY 2016-17 Budget

43. Adopted FY 2016-17 Budget Public Safety Sheriff Corrections Fire

44. Adopted FY 2016-17 Budget Non-Public Safety BCC Departments Constitutional Officers Outside Agencies Other

45. County Staffing Levels 15% Population Growth

46. Presentation Outline • County Facts • Budget Development Process • County Budget Overview • TRIM Notice • Summary

47. Class Exercise Understanding Your Trim Notice

48. Property Tax Terms Market Value Just Value Assessed Value Save our Homes (JV –AV) Exemptions Taxable Value MSTU TRIM

49. Unincorporated TRIM Notice

50. Incorporated TRIM Notice