Berks County Proposed FY2008 Budget County Commissioners Meeting November 15, 2007

Berks County FY2008 Budget Presentation Budget Schedule Budget Overview Budget Initiatives Budget Execution Risks and Future Challenges Tax and Budget Summary Budget Projections Questions and Commentary

Berks County Proposed FY08 Budget Budget Schedule November 15, 2007 Present Proposed FY08 Budget December 18, 2007 Adopt Final FY08 Budget Public Review –County Commissioners’ Office –Budget Office –County Website

Berks County Proposed FY08 Budget Bottom Line The budget utilizes the existing tax mills Operating revenue and expenditures equal $460M Tax revenue is projected at $125M The budget is balanced, expenditures match revenues, so we are not deficit spending No fund balance is used to balance the budget Unreserved/undesignated fund balance is projected at $83M or 18% of total operating expenditures

Berks County Proposed FY08 Budget Initiatives Community Corrections Prison expansion Ag Land and open space preservation Financial software conversion 911/EMA consolidation and relocation 911 Infrastructure upgrade – New bond issue to cover user radios Park expansion - Antietam & Haycreek Not for profits: –Historical Society –Humane Society/Animal Rescue –Literacy Council Reading Area Community College

Berks County Proposed FY08 Budget Other Capital Projects Funded by tax dollars or grants: Voice over IP Courts – Jury Pool Software Antietam Acquisition Antietam Dam Repair Haycreek Trail Restoration Gruber Wagon Works Adaptive Recreation Area

Berks County Proposed FY08 Budget Personnel/Staffing 21 New Positions = $628k Community Corrections 16 Court - DJ’s Offc. Support 2 Court Reporters 1 DRO – Conference Officer/PT OS 2 18 Eliminated Positions = $344k Facilities & Maint.- Seasonal PT 2 Courts – Video Arraign. Master 1 DRO Detective 1 DRO Temp position 1 Career Link Older Americans – part time 12 Recycling Coordinator 1 Extended Temp Positions Clerk Court OS to

Berks County Proposed FY08 Budget 2008 Execution Risks Crime impacts on: Prison population – 1,213 Children placements in CYS Juvenile placements in JPO and YDC Court costs Operational risks: Pension investment performance – ARC Pmt Employee health New employees RiverPlace costs Park expansion – Antietam operating costs

Berks County Proposed FY08 Budget Future Challenges and Decisions –Prison expansion/ Community Corrections - addt’l operating costs –Addt’l Debt service - $36M Open Space/Ag Pres. - $1.8M per yr in 2010 –New $50M bond Issue for 911system – Annual debt service = $3.8M per yr in 2010 – assumes County pays for end user radios - $24.4M ?? –Service levels for Prison/CYS/YDC/JPO –Tax growth - Assessed value versus inflation –Federal and State budget cuts –Non-tax revenue growth – few options

Berks County Proposed FY08 Budget Budget Process Successes Level of analysis Commitment to cost effectiveness Detail request from departments Communication between all fiscal departments Budget Office/Purchasing work hand in hand –Professional Fees, Contracts, Supplies, Equipment, etc –Departments work off of actuals rather than budget Future Challenge: continue to develop good data, departments understand analysis and cause and effect of revenue and spending patterns

Financial Overview

Comments and Questions