Minutes 03/21/2005 - Laserfiche WebLink

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March 21. 2005 We are also continuing to make progress on reducing funding from the General Fund to support other funds such as Information Technology, Golf, Waste Management, Risk Management and Insurance Fund, Health Insurance Fund and others. By reducing the General Fund support of those other funds, we strengthen the General Fund and increase our ability to maintain a sound fund balance, while continuing to keep the other funds whole. Compliance with our CIP debt limitation policy is a critical goal. We have constrained our capital requests and are recommending a FY06 CIP of $29.8 million, of which $10.3 million is City bond funding in keeping with that policy. Though we have been unable to fund all recommended requests, maintaining our debt limitation policy enables us to keep our capital spending in line with debt affordability. The budget includes a recommended one-cent reduction in the real estate tax rate, from $1.45 per $100 of assessed value to $1.44. This represents a one-cent "rollback" in keeping with City Council's commitment last year when it increased the real estate tax rate from $1.42 to $1.45. It is City Council's goal to continue a one- cent rollback each year for the next three budget years. City Council is also concerned that real estate be fairly and equitably assessed throughout the City, and that real estate be assessed as close to market value of property as is feasible. In keeping with this concern, it is the intent of the Council to conduct a real estate assessment study in the coming fiscal year. IMPROVING THE CITY'S ECONOMIC PROSPERITY The proposed operating budget includes partial funding to support the beginning of multi-year phase-in implementation of the Comprehensive Plan. Specifically, we are including funds for the Downtown Master Plan, Waterfront Hot Spots Development Study, Downtown Parking Strategy and Downtown Rezoning Plan. In addition, these budgets support some economic development projects that are having a major impact on the City. The Pinners Point connector is a vital transportation link that will allow the ongoing enhancement of the City as a world-class maritime center. Construction by APM Terminals of Virginia Inc. (also known as the "Maersk project") of a major new cargo terminal on their 557-acre site will further enhance the City's status as a world-class maritime center. The completion of the Pinners Point connector is an essential transportation element to the terminal's operation. City funding for neighborhood improvements related to the terminal's development will be included in the FY07 budget. As a continuing means of supporting the strengthening of education within the city, the new Portsmouth campus of Tidewater Community College will be constructed as an element of the Victory Crossing Business Park. The City will support the campus development by funding the necessary infrastructure to support the buildings that will make up the campus. Partial funding for the infrastructure is included in the FY06 CIP. To support the business park and college campus, the City, in collaboration with VDOT, will also bring about the improvement of the section of Victory Boulevard between Cavalier Boulevard and Greenwood Drive. That project will be initiated in FY06. As a means to bring about the Council's Vision of restoring retail to the Midtown corridor, the former Mid-City Shopping Center has been acquired and is in the process of demolition. In addition, certain elements of infrastructure will be funded to bring this initiative to fruition.