May 8, 2012

MEMO TO: Mayor Schools and Board of Commissioners

FROM: Frank A. Rush, Jr., Town Manager

SUBJECT: Presentation – FY 12-13 Recommended Budget

The FY 12-13 Recommended Budget is complete and will be formally presented to the Board and the public at the May 8, 2012 regular meeting. In an effort to better educate the Board and the public about the Town’s budget, I will make a detailed presentation summarizing the FY 12-13 Recommended Budget, and will provide handouts for the public at the May 8 meeting.

I have attached a copy of the “Budget Message”, which provides a comprehensive discussion of the issues associated with the FY 12-13 budget. A “Quick Summary”, “All Funds (Summary)”, “General Fund Budget Summary”, and other materials are also attached. The full budget document will be provided to you under separate cover.

The total FY 12-13 Recommended Budget is $8,894,427, a $134,250, or 1.5% increase from the adopted FY 11-12 budget. The proposed General Fund tax rate for FY 12-13 is 11.5 cents per $100 of assessed value, which is the same rate as FY 11-12. The proposed tax rates for the beach nourishment special districts are 4.5 cents for oceanfront and inlet-front property owners, and 1.5 cents for all other property owners, and these are also identical to FY 11-12. The recommended annual solid waste fee is $200 per developed property, which is a $10 increase. The FY 12-13 Recommended Budget does not rely on the use of General Fund balance to balance the budget.

We have tentatively scheduled two special budget meetings to review and discuss the Recommended Budget. The first one is tentatively scheduled for Tuesday, May 22 at 6:00 pm, and the second, which includes the legally required public hearing, is tentatively scheduled for Tuesday, June 5 at 6:00 pm. If these dates and times are not acceptable and/or additional meetings are necessary, we can adjust to fit the Board’s schedule.

I am hopeful that the Board will formally approve the FY 12-13 budget at your regularly scheduled meeting on Tuesday, June 12 at 7:00 pm.

I look forward to reviewing the Recommended Budget with you in the coming weeks.