On December 20, 2016, the Parkville Board of Aldermen adopted the fiscal year 2017 budget and 2017-2022 Capital Improvement Program (CIP). The City’s budget, including 15 governmental funds, totals approximately $15.3 million. In addition to the operating budget, the six-year CIP that prioritizes capital projects and establishes a financing strategy for completing each project. The final budget document is available on the City’s website.
The budget is the most significant document that the City prepares each year and is organized to convey the services being delivered to the community in 2017. The Board of Aldermen held a strategic planning session in July 2016 to review community priorities and set organizational goals. The Board identified five critical success factors to achieve the City’s mission: basic services, infrastructure, economic development, parks and finances. The 2017 budget maintains essential services at current levels and directs limited additional resources toward the five critical success factors, of which the 2017 budget focuses on addressing.
Highlights of the 2017 budget include:
- Year-end expense savings in the General Fund primarily due to personnel and legal services savings and CIP projects that were postponed to 2017 will support one-time General Fund expenses including capital outlay and a transfer to the Emergency Reserve Fund.
- The Board has been strategically growing reserves beyond the minimum target of 25 percent in order to prepare for the need to cover special assessment delinquencies for the Brush Creek Drainage and Brink Meyer Road neighborhood improvement districts (NID). In 2017, the Emergency Reserve Fund will see the first balance reduction as intended by the NID financing strategy, developed to help communicate the City’s plan to meet its debt obligation.
- The CIP includes $4.52 million of capital improvements with an operating budget impact of $3.32 million.
- A debt financing strategy of $1 million for an increased street maintenance program to cover 17.5 percent of the street network and help improve the street ratings. Interest and fees will be paid in subsequent years and limited funding will be provided for additional street maintenance over the next five years.
- A debt financing strategy for approximately $1.28 million to jump start the first two phases of the Route 9 improvements from Route 45 to Lakeview Drive before grant money is received in federal fiscal year 2019-2020. The project will be funded by proposed 9 Highway Corridor Community Improvement District revenue and grants from the Missouri Department of Transportation and the Mid-America Regional Council.
- Personnel adjustments included a two percent merit rate increase for employees with a satisfactory rating, an upgrade to the Missouri Local Government Employees Retirement System (LAGERS) and an increase to the entry level pay for police officers. The City saved approximately $58,000 in health insurance costs that will be used for the English Landing Park low water crossing and the park restroom rehabilitation project.
- Reduced Sewer Fund CIP program and a proposed sewer rate increase of ten percent (or $3.08 per month for the average residential household) to allow the Sewer Fund to recover from the numerous unplanned emergency expenses in 2015 and 2016. A public hearing will be held on January 17, 2017, at 7:00 p.m.
In 2016, the City received a Government Finance Officers Association of the United States and Canada (GFOA) Distinguished Budget Presentation Award for the 2016 annual budget. It is the highest form of recognition and the only national awards program in governmental budgeting. Only 29 municipalities statewide received the award in 2015, putting Parkville among the top three percent of its peers for excellence in municipal budgeting.
Mayor Johnston said, “I want to thank the City staff who worked hard to prepare the annual budget that will guide City operations this year. I appreciate the effort of the staff each year to analyze budget recommendations and respond to questions while handling their routine duties.”
The 2017 budget became effective January 1, 2017. The final budget document has been prepared and is available on the City website at http://parkvillemo.gov/download/2017-Final-Budget-Document.pdf.
For more information, please contact Assistant to the City Administrator Tim Blakeslee at Parkville City Hall at (816) 741-7676.