Danville officials approved the town budget and capital improvement project (CIP) for the 2013-14 fiscal year earlier this week. After four public study sessions, the budget reflects that Danville continues to gradually recover from the economic recession.
"The Council spent a lot of time talking about how town has fared in light of the recession. They concluded that, as we head into 13-14 things have rebounded to a point where they're at or approaching pre-2008 levels in terms of our revenues," Town Manager Joe Calabrigo said.
The 2013-14 budget, which runs from July 1, 2013 through June 20, 2014, maintains "appropriate reserves" but forecasts slow revenue growth over the next ten years. Calabrigo added that the Town Council remains cautious about expenditures because it doesn't expect to experience a large amount of growth, or resulting property and sales taxes, in the future.
Still, operating revenues for the 2013-14 budget are up from the previous year at $30.69 million, a 0.6 percent increase. Total expenditures approved for the 2013-14 budget are slightly changed from the draft budget, totaling $26.97 million or a 2.8 percent decrease from the previous year and a $950,000 change from the draft.
The town will see the largest expenditure increase in its asset replacement budget up 22.7 percent which includes replacing computers , IT equipment and police cars, among other things. Calabrigo said the Council made approximately $5,000 in changes between the draft and final budgets.
Service delivery costs are expected to increase and increased workload and service demands will result in longer delivery and response times, the budget summary stated. Contracted services such as the County Sheriff, utilities and capital replacement are among the items affected.
The town does not expect to make major cuts to service and instead made note of its lack of pensions and contract policy for many services as sustainable. Although revenues are projected to increase by 8.9 percent by the 2022/23 fiscal year to $33.42 million, Calabrigo noted at an early study session that Danville will be more dependent on capital reserves.
"Priorities that have been identified in terms of what our town government is here to do are consistent with past years. Public safety is at the top of the list and having a well maintained community," Calabrigo said. "The Council wants to provide a broad range or recreation and enrichment activities for all segments of the population."
To that end, the Town Council requested that officials conduct a feasibility study to assess adding additional bocce ball courts at Sycamore Valley Park. Although no money was added to the 2013-14 capital improvement plan budget, which provides for larger town projects, staff will present a report t councilmembers at a special meeting on June 11.
Councilmembers added an additional project to the CIP list, which would allow for a feasibility study on building electric vehicle charging stations at several town facilities. CIP funding would allow town officials to study where the stations would be most appropriate, but does not fund construction.
The largest of this year's 39 CIPs is a pavement management program funded at $3 million, $1 million more than the town has ever previously allocated. The total CIP budget is $5.4 million.
"We have 154 miles of streets to maintain and have to devote as much money as they can to pavement overlays and slurry seals," Calabrigo noted. "
The town also has a backlog of $6.2 worth of appropriations for to-be-completed projects. Calabrigo noted $1.2 million left of a federal grant that will be used to repave lanes on Camino Tassajara.
Town officials will continue to monitor revenues and expenditures very closely with updates through the fiscal year, Calabrigo said.
"As we look forward 10 years in to the future, especially relative to other agencies, the town is till on very solid financial ground," he said.