SURVEY RESULTS AND FISCAL UPDATE (February 10, 2010) Board Goals Workshop SURVEY RESULTS AND FISCAL UPDATE (February 10, 2010)

What’s On People’s Minds 2002 (population growth 20,000+, unemployment rate 4.6%, leader in growth) Population Growth Growth and its impact on the environment Congestion on Roads 2009 (population growth -8,600, unemployment rate 13.8%; leader in foreclosures) Economy Jobs Efficiency of Government

Citizen Survey Random (from postal data) Countywide (including cities) 34% response rate, which is considered very good

Positive Indicators 72% rate overall quality of life “good” or “excellent” (78% in 2002) A majority of responses in “good” or “excellent” category Road congestion much reduced from 2002 (ease of car travel improved) Volunteerism and Use of Recycling up from 2002

Negative Indicators Rating for employment opportunities has significantly declined Poll respondents say job growth too slow Respondents demonstrated only mild trust in government (lower than in 2002, although local government rated higher than state and federal)

Areas of Possible Concern to Monitor Benchmarks About half of responses similar to or above benchmarks in other communities; about half are below (community characteristics and services) Characteristics receiving lowest ratings Employment opportunities Ease of bus travel Availability of affordable quality child care Services receiving lowest ratings Land use, planning and zoning Code enforcement Economic Development Key Drivers Sheriff’s Services Drinking Water Emergency preparedness

Customized Questions Governance Communications 66% can find needed information (25% no opinion) Maintain or reduce services Highways, roads, bridges – 84% Public safety – 83% Community Services – 79% Environmental Resource Protection – 67% Transit – 66% Growth Management – 60% Colonial Boulevard toll expressway Strongly or somewhat support – 40% Somewhat or strongly oppose – 46% Don’t know – 14%

Open-Ended Question Three Areas for Cutbacks Reduce government and spending – 31% Roads/Infrastructure – 22% Housing and Human Services – 13% No cuts/preserve services – 13% Preservation of natural areas – 11% Fire and emergency services – 10% Growth Management – 10% Sheriff/Public Safety – 10% Code enforcement – 10% Schools/education – 10%

Advisory Groups Response to customized questions mirrored that of citizen survey Cutbacks to consider Most responses Fire district efficiencies/consolidation Landscaping Lee Grows Smart Growth

Carefully Managing Budget We have carefully and conservatively budgeted for spending and revenues (33% of the year completed). Spending through the 1st third of 2009-10 (Oct.-Jan.) was 27.2% of operating budgeted amounts ($117.5 million of $432.1 million). Revenues through the 1st third of 2009-10 were 32% of operating budgeted amounts ($99.9 million of $312.5 million). We have intentionally not further used reserves, other than the operating subsidies.

Carefully Managing Budget Current revenue projections indicate revenues are coming in as budgeted, and maybe just slightly to the positive. Property tax revenues ↑ Sales tax ↑ Solid waste ↑ Water/sewer ↑ Toll revenues ↓

Fund Balances ($ million) General Fund 10-1-08 274.7 10-1-09 278.2 10-1-10 217.9* (budgeted) 10-1-11 157.6* (projected) 10-1-12 97.3* (projected) *Assumes level reserve usage of $60.3 million per year.

Fund Balances ($ million) General Fund Designations (@10-1-09) OPEB 25.0 Econ. Dev. 23.4 Econ. Incentive 1.5 Community Corrections 10.0 Advances to other funds 18.3 Remaining Revolving Road Loan 10.8 Remaining Road Grant 6.7 TOTAL 95.7

Fund Balances ($ million) General Fund (less designations) 10-1-08 167.8 10-1-09 182.5 10-1-10 122.2* (budgeted) 10-1-11 61.9* (projected) 10-1-12 1.6* (projected) *Assumes level reserve usage of $60.3 million per year.

Fund Balances ($ million) Unincorporated MSTU Fund 10-1-08 93.6 10-1-09 19.8* 10-1-10 8.7 (budgeted) 10-1-11 0.0** (projected) 10-1-12 0.0** (projected) *Net of Stadium loan ($75 million). **Assumes stabilization at $0.

Fund Balances ($ million) Library Fund 10-1-09 71.5 10-1-09 47.1* 10-1-10 38.1 (budgeted) 10-1-11 15.6** (projected) 10-1-12 5.9 (projected) *After final costs for NW Regional and initial costs ($6.7 m) for Fort Myers. **After final costs ($13.3 million) for Fort Myers.

Tax Rate Reductions General Fund* 2008 3.6506* 2007 3.5216 mills 2008 3.6506* 2007 3.5216 mills 2006 3.9332 mills 2005 4.2612 mills 2001 4.4751 mills to 4.3277 mills Capital Improvement Fund* 2008 0.0 mills* 2007 0.5124 mills to 0.4536 mills Unincorporated MSTU 2008 0.8398 mills 2007 0.9300 mills 2006 1.2114 mills to 1.0028 mills (rollback rate) Library 2009 0.2844 mills 2008 0.3792 mills 2007 0.4085 mills (below rollback rate) 2005 0.9630 mills to 0.6055 mills All Hazards 2008 0.0733 mills to 0.0693 mills *Now a combined general fund tax rate

Effects of Tax Cap Legislation

We Continue to Cut Have 404 fewer positions (equating to $20 million annual savings): Current – Holding 80 vacant 09-10 Budget – Deleted 99 08-09 Budget – Deleted 197 07-08 Budget – Deleted 28 “Deletions” through a combination of attrition, early retirement, and layoffs. Current 2,460 employees about the same as in 2004-05. Continued suspension of salary adjustments, and sick-leave buyback and bonus programs. Significant reductions in operational costs, including vehicles, energy, leases, travel, supplies, and memberships. Some adjustments to hours and frequency of certain services. Energy costs have been reduced from $17.6 million to $14.2 million in last two years. Saved $9 million over five years with new ITG contract. Saved nearly $1 million in leases, with more to go. Saved nearly $1 million in travel costs.

Further Cutbacks Continuing to refine operational costs and service levels (tiers) Health care costs Phase-in greater employee share over next three years Some premium adjustments Minor plan design changes Potential Furlough Days To correspond with existing holidays and low demand times County would close these days (except for essential services) Good Friday (April 2) Rosh Hashanah (Sep. 9) Week between Christmas and New Years (Dec. 27, 28, 29)

Goals Workshop QUESTIONS?