2011 budget summary - St. Louis County

You will notice that some fund groups in the table above increase or decrease more than is typical. These includethe Health Fund, which decreases $6.5 million or 10.7%. This is due to the elimination of one-time fundingincluded in the 2010 budget for targeted capital investments that will increase efficiency and reduce futureoperating costs. An investment of $2.0 million was used to begin the design process for a new health campus inNorth County. Another investment of $5.8 million funded the renovation and purchase of equipment for a newanimal shelter facility that will consolidate two existing shelters. These decreases are offset by $1.3 million addedto the budget for debt service on bonds issued to fund construction of the health campus.The Recommended Budget for Special Revenue Funds decreases $38.1 million or 54%. The majority of thisdecrease is due to the fact that the 2010 budget includes an appropriation of $35 million for grants approved by theChildren’s Services Fund Board. A grant appropriation is not included in the 2011 Recommended Budget, as itwill be brought forth by the Children’s Services Fund Board for the Council’s consideration after they review grantproposals and make funding recommendations.The Debt Service Fund recommended appropriation decreases $1.8 million or 11.9%. In 2009, we were able to usefund balance to retire one bond issue early and save County taxpayers more than $450,000 in interest costs.Finally, the Recommended Budget for the Public Mass Transit Fund decreases by $1.6 million or 4.1% because ofdecreased collections from the quarter-cent transportation sales tax. All funds received from this sales tax aredistributed to Metro. This budget does not recommend appropriations for the new half-cent sales tax implementedearlier this year. These funds will be appropriated upon your approval of the annual contract with Metro whichthey will submit for consideration during the first half of 2011.In conclusion, this is the third year in a row in which decreasing revenues have forced us to make difficult budgetdecisions and streamline operations to preserve services while living within our means. We are again forced toextend an employee wage freeze for another year, defer preventative maintenance and repair of our facilities, andstretch our existing workforce further. The Recommended Budget for the fiscal year beginning January 1, 2011provides the funding required to deliver essential services to our citizens while avoiding layoffs, furloughs, and payreductions. It also sets aside enough unappropriated fund balances to safeguard our bond rating and provideflexibility should emergency funding be required during the course of the fiscal year. I will continue to monitorrevenues and expenditures closely during 2011 and take any necessary corrective action to preserve St. LouisCounty’s financial health.Respectfully submitted,Charlie A. DooleyCounty Executive- 12 -