FY2016 Adopted Budget Highlights
Total Budget: Strategic, Sustainable, Creative; Balanced in All Respects
•
The FY2016 Total Budget for the City of Charlotte is balanced at $2.12 billion, an increase of
1.0% above FY2015 (includes Operating & Capital for General Fund and Enterprise funds)
General
Debt/Interest,
$113.5 , 5.4%
FY2016 Adopted Budget
Net of Transfers
(in $ millions)
Storm Water
Utility, $80.9 ,
3.8%
Aviation, $442.8
, 20.9%
Charlotte Area
Transit System,
$522.8 , 24.7%
All Other, $76.1 ,
3.6%
General
Community
Investment Plan,
$62.2 , 2.9%
General Fund,
$521.0 , 24.6%
Charlotte Water,
$300.5 , 14.2%
General Fund Budget: Everyone Shares in Meeting the Challenges of a Balanced Budget in
Response to $21.7 Million Revenue Gap Resulting From External Factors
•
The FY2016 General Fund budget is $520.96 million (net of transfers) an increase of 1.02%
over the prior year – balanced in multiple ways:
o
General Fund Service & Expense Reductions = $6.78 million and
100.75 positions cut, for example:
−
−
−
−
Reduction in hours for the CharMeck 311 service (closed weekends & holidays)
Reduction in Code Enforcement
Reduction in mowing of street rights-of-way
Elimination of non-essential vacant positions
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o
Tax Rate Adjustments (tax rate change from 46.87¢ in FY2015 to 47.87¢ in
FY2016);
− Property tax rate increase of 1.00¢ per $100 of assessed valuation
− Reduction of the $47 annual Single Family Residential Solid Waste Fee to $25,
increase to the Multi-Family Solid Waste fee from $24 to $25, and implementation
of a Solid Waste Small Business fee of $250 per year
− Transfer 0.41¢ of Property Tax Rate from Debt Service Fund to the General Fund
o
Regulatory User Fee Rates Reduce General Fund Subsidy from 16.7%
to 7.6% = $1.3 million additional revenue
Community Investment Plan: Protects Today and Invests in Our Future
•
Capital Budgets continue to support all specifically identified projects and makes no changes to
the Community Investment Plan adopted by the Council and partially funded by voterapproved bonds in 2014.
•
The FY2016-FY2020 five year General Community Investment Plan totals to $749.2 million,
comprised of the following categories:
o Housing and Neighborhood Development: $218.6 million
o Transportation: $343.5 million
o Economic Development: $60.5 million
o Environmental Services: $16.5 million
o Facility Investments: $110.1 million
•
The General Community Investment Plan is supported by the approved FY2014 bond
referendum and two proposed bond referenda in 2016 and 2018. A fourth bond referendum in
2020 will be reflected in future five-year Community Investment Plans beginning in FY2017.
Enterprise Funds’ Operating Budgets: Balanced With Self-Sustaining Revenues
•
Aviation = Additional 49 positions to keep up with service complexity and customer demand
•
CATS = Additional 5,000 revenue service hours; Adds 35 project positions for maintenance,
acceptance start-up, and testing of the new rail cars for the Blue Line Extension
•
Storm Water Services = Revision to 4-tier rate methodology to continue addressing backlog
o 61% of Storm Water residential customers will see no change to monthly bill
•
Charlotte Water = Rate methodology changes to eliminate the Tier 1 subsidy and respond to
changing economic and regulatory conditions
o Typical water and sewer bill increases by $1.55 per month
Employee Compensation: Invests in Employees; Pay Plan Reduced Below Benchmark
Average
•
Budget has been cut to include a reduced Pay Plan to assist in recruitment and retention;
Benchmark average for FY2016 is 3.0%, but funded at lower rate:
o 0.75% Public Safety market adjustment,
o 2.5% or 5.0% Public Safety step adjustment based on rank and current step,
o 1.5% Broadband merit budget (for all other general employees)
o Adjust salaries of 88 employees who are below 60% of the Area Median
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Total Tax & Fees Impact: Remains a Strong Value to the Community
o
A $10.71 annual increase (89¢ per month) for property owners at 50th percentile home
value ($141,100); includes property tax adjustments, residential solid waste fee reduction,
and changes to water & sewer and storm water rates.
City of Charlotte taxes & fees – 50th
percentile home value
Property taxes on $141,100 home
Solid Waste fee (Residential)
Water & Sewer (Average user rate)
Storm Water (Average user rate)
Total Annual
Total Monthly
Prior Year
FY2015
$661.34
$47.00
$682.80
$97.56
$1,488.70
$124.06
FY2016
Budget
$675.45
$25.00
$701.40
$97.56
$1,499.41
$124.95
$ Change
$14.11
($22.00)
$18.60
$0.00
$10.71
$0.89
%
Change
2.1%
(46.8%)
2.7%
0.0%
0.7%
0.7%
How can I learn more?
Information on the City budget can be found at:
http://charmeck.org/city/charlotte/Budget
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