The budget meeting started with a positive note and maintained that positivity throughout. Hard to believe we have been experiencing over 14 months of COVID discussion, and the Town has not seen a diminishment in our services and a small percentage of needs for the reserve funds. And as is typical with a Town as fortunate as Yountville, the Council mostly got in the weeds about minor items because we are fortunate to have the Town staff we do and the foresight from previous Councils. So on that one, I will bullet point many of the important factors for the budget fiscal year 2021/2022. And as Councilmember Knight reported, “… the report is delightful.”
Revenue Accounts: The fiscal year 2021/2022 TOT is budgeted at $5.250m, with this current fiscal year coming in. at $4.25m. Property tax has been adjusted up. Sales Tax has been adjusted up.
Budget tightening measures include no contributions to the OPEB (Other Post-employment Benefits)(medical) and PERS UALL (PERS Unaccured liability) accounts, employees forgoing the cost of living increase.
Reserves: $2.8 m earmarked for the Yountville Elementary school property purchase, emergency reserve Fund 4 with a balance of $2.04 m, revenue stabilization Fund 5 with a balance of $1.855 m. The Town had originally budgeted $800,000 to be pulled from the reserve funds due to COVID and now see a need for a total of only $350,000 for the current fiscal year into the fiscal year 2021/2022. As per policy of previous Council, Fund 4 is to be at 20% of General Fund expenditures and Fund 5 is to be 25% of expected TOT revenue.
Many other municipalities were already contending with concerns about funding retiree benefits and medical and pensions before COVID hit. Not Yountville; they are in a strong position. They will not be making discretionary payments into the funds because the Town is well into the level they need to be. They have two trust funds set up, gaining considerable interest in paying into these funds. The trust for OPEB (which pays fees for current retirees’ medical and fund future retirees medical) generated more than $850,000 this fiscal year with a balance of $5.5 m. The trust for PERS UAL (funding retiree pension costs) had interest earnings of over $460,000 with a trust balance of $2.75 m.
There are two Debt service funds, both of which have been refinanced, saving the Town over $1.5 m. Fund 54 is a yearly payment of $542,000, and Fund 55 is a yearly payment of $349,000.
Planning Department noted that they have budgeted $50,000 for a State required Housing Element update in the next fiscal year, and a $65,000 grant has already been applied for to more than cover this expense.
We like to end on a positive note: Town Manager Steve Rogers noted that for the first time in his tenure, the property tax would be covering the expense of our law enforcement contract of over $1.195 m.
One Public Comment was made during the Parks and Recreation presentation from Pam Reeves, asking for a budget line item to be returned for a Town public pool. The Council previously had over $90,000 set aside for a pool, and Ms. Reeves wanted to have that considered, again.
The meeting was about 2 hours and 13 mins so be sure to watch the details and, more importantly, check out the online budget details thru OpenGov on the Town website. There are explanations and accomplishments, highlights, and budget numbers, and past fiscal year numbers.