Minutes 04/25/2006 - Laserfiche WebLink

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April 25. 2006 Background: . On March 21,2006, the City Manager presented the Proposed FY 2006-2007 Operating Budget to City Council. Through the process of several City Council work sessions and public hearings held on March 28th, April 11th and April 18th, 2006, minor revisions to the Operating Budget will be incorporated and distributed to City Council along with revised Operating Budget ordinance. Changes to be reflected in the Operating Budget ordinance will be identified as an attachment. Discussion: . The FY 2006-2007 Operating Budget also reduces the City's real estate tax rate by six cents from $1.44 to $1.36 per $100 of assessed valuation. This combined with the increase of real estate value assessments from last year will lead to a generation of more revenue to cover Operating and Capital Budget expenses. . $498,247,722 is required for the operation of City Government during the fiscal year beginning July 1, 2006 and ending June 30, 2007. . The new Classification and Pay Plan for City employees encompasses a five percent general wage increase for full-time employees; decompression using the formula that was employed by the City of Portsmouth in 2002; and adjustments for certain jobs according to market survey. The general wage increase is to be given in two parts: 2.5 percent on January 1, 2006, and 2.5 percent on July 1, 2006. . This Budget increases stormwater utilitv fees by increasing the equivalent residential unit (ERU) rate for residential and non-residential accounts from $4.50 to $5.00 per ERU. This shall be applicable to all bills rendered after July 1, 2006. . The Proposed Operating Budget increases solid waste collection fees from $19 to $22 per month per dwelling unit. . Sec 38-83 of the Code of Virginia relating to Meter rates for water supplied is amended by this Operating Budget in the following manner: '" Water supplied to customers within corporate limits of City are increased from $3.15 to $3.38 per one thousand gallons or from $2.3565 to $2.5286 per one hundred cubic feet of water supplied. '" Rates for water passing through meters, customers of the City of Chesapeake who are served by Portsmouth and whose rates are not set by contract are increased from $4.725 to $5.07 per one thousand gallons or from $3.5348 to $3.7929 per one hundred cubic feet of water supplied. '" For the first three million gallons of water per day supplied during a billing period for all water through meters to the City of Chesapeake pursuant to contract, fees charged to the City of Chesapeake are increased from $4.725 per one thousand gallons or from $3.5348 to $3.7929 per one hundred cubic feet of water supplied. For the amount of water supplied in excess of three million gallons of water per day, fees charged are increased from $3.78 to $4.056 per one thousand gallons or from $2.8278 to $3.0343 per one hundred cubic feet of water supplied. '" For all water passing through the meters of Suffolk pursuant to contract, the fee paid by the City of Suffolk is increased from $2.8913 to $3.1024 per one thousand gallons or from $2.1630 to $2.3209 per one hundred cubic feet of water supplied. . Section 38-117 of the Code of Virginia relating to sewaQe disposal rates are amended by this Operating Budget in the following manner: '" Charges for the disposal of sewage discharged into the city system are increased from $2.42 to $2.65 per one thousand gallons or from $1.81 to $1.9825 per one hundred cubic feet. The minimum charge for such service is increased from $2.10 to $2.30 per month. '" Charges for sewer service for dwelling units in premises with unmetered water connections are increased from $8.61 to $13.25 per month. . These actions will contribute to all six of City Council's Vision Principles for the City of Portsmouth. . Financial Impact: By law, the operating budget must be balanced with estimated revenues and other funding sources equaling appropriations. The Proposed Operating Budget for fiscal year 2007 complies with this law.