FY12 Adopted Operating Budget & Capital Improvement Budget

City of St. Petersburg, Florida – FY 2012 Adopted Fiscal Plan
FY12 BUDGET DEVELOPMENT PROCESS
The City’s budget approval process is defined by state statute, the City Charter, and the
City Code (ordinances). The process also contains additional non-mandated steps, which
are designed to provide the City Council and the general public with opportunities for early
input into budgetary decisions. Each year City Council approves an operating budget and a
capital improvement budget. The adopted capital improvement budget becomes the first
year of a multi-year Capital Improvement Program.
Adoption Process
The City’s fiscal year begins October 1 and ends September 30, as specified by state law.
Florida Statutes further require that budget appropriations occur each year and that each
year’s budget must be balanced. Additionally, there are very specific and detailed rules
known collectively as the “Truth in Millage” or “TRIM.” These rules dictate the approval
process for the budget in general and property taxes in particular. TRIM sets the timetable
for the County Property Appraiser to deliver estimated and certified tax rolls to the taxing
authorities, including the City. It further requires that a tentative millage rate be approved
by the City by a certain date, that the Appraiser mail notices of proposed taxes (TRIM
notices) to all property owners by a certain date, that two public hearings be held within
certain specific time periods, and that the City run newspaper advertisements which follow
exact specifications for wording, size, and placement prior to the final public hearing. The
hearings themselves must be conducted according to a prescribed format and sequence of
Council actions. This process includes the calculation and announcement of a theoretical
“rolled back” millage rate (the rate which would generate the same property tax revenue in
the current year given the updated property valuation). The percentage change in property
tax from the prior year resulting from the proposed millage rate must also be announced.
Finally, the City must document its compliance with the TRIM rules and submit this
documentation to the State for review and approval.
The City Charter and City Code require that the Mayor submit a recommended budget to
City Council by July 1, containing specific information outlined in the Code. The Code
also requires additional supplementary line item detail not contained in the recommended
document, but provided to Council in a separate volume by July 1.
Other major planning processes that may impact the budget include the Comprehensive
Plan, which according to state statute, defines infrastructure requirements and levels of
service. The Comprehensive Plan includes a Capital Improvements Element, which is
updated in conjunction with the Capital Improvement Program and budget. T he City is
required to make an annual report on budg et compliance with the Capital Improvement
Element of the Comprehensive Plan. Beyond the requirements of state statute and the City
Charter, the City adopted a series of fiscal policies that provide guidance in developing the
annual budget. A discussion of these policies, which cover such areas as revenue
forecasting, fund balances, and the issuance of debt, is included in a later section of this
document.
The goals of the City are set forth in the Foster Formula and the Key Strategic Initiatives
for Developing the Budget plans as shown below:
Fiscal Year 2012 A-2 Summary Reports