BOARD OF COUNTY COMMISSIONERS FY11 Budget Workshop May 18, 2010

FY10 GENERAL FUND BUDGET SUMMARIES 2

Summary of FY10 Adopted General Fund Budget Dollars in Millions % of Total % of Total without Mandated Payments and Reserves BSO Regional Services %52.5% Property Appraiser %1.9% Supervisor of Elections %1.4% County Agencies %44.0% Planning Council1.00.1% Legislative Delegation % Tax Increment Payments % Mandated Health Payments % Mandated DJJ Payments6.80.7% Mandated Judicial Costs1.80.2% Transfer to Debt0.60.1% Reserves % TOTAL$ % 3

FY10 Adopted Budget County General Fund Agencies Dollars in Millions % of Total Human Services* % Libraries % Parks % Facilities Maintenance % Transfer to Transit % Other Agencies % TOTAL % 4 * Excluding Mandated Health Payments

Facilities Maintenance Division Budget Allocation 5

FY 11 PROPOSED BUDGETS BSO & SUPERVISOR OF ELECTIONS 6

BSO General Fund Budget Summary ($ in Millions) FY09 Actual FY10 Budget FY11 Proposed FY10-11 Percent Change Admin & Support Services % Detention & Community Control % Regional Law Enforcement % Regional Fire % % 7

BSO Admin & Support Services – FTEs ($ in millions) 8 FY09 ACTUAL FY10 BUDGET FY11 PROPOSED FY10-11 PERCENT CHANGENOTES Personal Services % 30 positions eliminated, FRS rate increase Operating Expenses % Restores operating expenses funded with 1X surplus funds in FY 10 Capital Expense % Defers most capital expenses another year TOTAL$58.9$55.1$ %

BSO Detention & Community Control 1,747 FTEs ($ in millions) 9 FY09 ACTUAL FY10 BUDGET FY11 PROPOSED FY10-11 PERCENT CHANGENOTES Personal Services % 121 positions eliminated (closes D tower at Rein & Hollywood booking facility, eliminates JAC staffing), converts 245 detention deputies to technician positions, restores crime lab (AFIS section), reduced overtime, FRS rate increase Operating Expenses % Assumes 4500 inmates for food and health care compared to 5190 in FY10. Associated reductions compensate for restoring operating expenses funded with 1X surplus funds in FY 10 Capital Expense %Defers most capital expenses another year Transfers/Reserves % TOTAL$228.8$222.7$ %

Broward County Jail Average Daily Population by Month 10

BSO Regional Law Enforcement - 1,146.6 FTEs ($ in Millions) FY09 ACTUAL FY10 BUDGET FY11 PROPOSED FY10-11 PERCENT CHANGENOTES Personal Services % 24 positions eliminated, restores crime lab, eliminated attrition, FRS rate increase, eliminates furloughs, annualizes raises Operating Expenses % Increased self insurance cost due to use of one time surplus funds in FY10 Capital Expense %Defers most capital expenses another year Transfers/Reserves %Reduces OPEB allocation TOTAL$130.8$125.5$ % 11

BSO Regional Fire – 123 FTEs ($ in Millions) FY09 ACTUAL FY10 BUDGET FY11 PROPOSED FY10-11 PERCENT CHANGENOTES Personal Services % 10 positions eliminated in air/sea unit, FRS rate increase Operating Expenses % Capital Expense %Defers most capital expenses another year Transfers/Reserves % TOTAL$23.4$22.6$ % 12

SUPERVISOR OF ELECTIONS BUDGET - 72 FTEs ($ In Millions) FY09 ACTUAL FY10 BUDGET FY11 PROPOSED FY10-11 PERCENT CHANGENOTES Admin Operations % Reduced operating expenses, shifted more equipment maintenance costs to elections Aug/Nov Election % Increased printing due to expected turnout, greater share of equipment maintenance costs and new unemployment costs Municipal Elections %Fully reimbursed by Cities TOTAL$16.2$11.4$ % 13

FY12 OUTLOOK AND FY11 PROPERTY TAX SCENARIOS 14

FY12 Outlook Continued decline in tax roll Up to $6B estimated State Budget Gap due to depletion of Stimulus Funds Dramatic proposed increases to FRS Rates due to unfunded liability Continued health insurance cost pressures BSO cost deferrals Potential increase in jail population 15

Multi-Year Taxable Value Forecasts FY % FY % FY % FY15-.5% 16 Source: March Florida Revenue Estimating Conference

FY11 Property Taxes Same Rate for Operating & Capital ($ in Millions) FY10FY11 $ DIFFERENCE % CHANGE General Fund % General Capital % G.O. Debt % Total % 17

FY11 Property Taxes Rolled-Back Rate for Operating & Capital ($ in Millions) FY10FY11 $ DIFFERENCE % CHANGE General Fund % General Capital % G.O. Debt % Total % 18

FY11 PROPERTY TAX SCENARIOS – RESIDENTIAL PROPERTIES 19 FY09FY10FY 11 SCENARIOS % of Residential Parcels Taxable Value Actual Taxes % of Residential Parcels Taxable Value Actual Taxes % of Residential Parcels Taxable Value* Same Rate Rolled-Back Rate Homestead With "Save Our Homes" Differential49%$109,980$53839%$110,000$53829%$114,000$557$667 Dollar Change FY10 to FY11 $20$129 Homestead Without "Save Our Homes" Differential13%$209,000$1,02223%$155,000$75834%$122,000$596$714 Dollar Change FY10 to FY11 -$161-$44 Without Homestead38%$219,000$1,07138%$175,000$85637%$147,000$719$860 Dollar Change FY10 to FY11 -$137$4 *Homestead properties with a "Save our Homes" Differential will experience a maximum 2.7% increase in "assessed" value prior to the deduction of exemptions per State Statute. The scenarios for all other residential properties are based on a 16% decline in assessed/taxable value.

Summary of Cuts Needed in Various Millage Scenarios (assuming proportionate cuts) SAME RATE CUT 13.8% BELOW ADOPTED BUDGET ROLLED-BACK RATE CUT 1% BELOW ADOPTED BUDGET BSO$91.9M*$37.4M County Agencies$54.7M$9.0M Property Appraiser **Minimum of $4.1M **Minimum of $2.2M Supervisor of Elections$2.0M$.5M 20 *Amount as shown in BSO budget document. Includes reductions to compensate for cost increases and current year cost deferrals of $32.9M and a 1% cut below this year’s budget of $4.5M **Budget will be submitted 6/1/10. Cost increases unknown at this time. Cost deferral of $2.1M in FY10.

COUNTY AGENCY REDUCTIONS 21

Rolled-Back Rate - $9M (2.5%) Same Rate -$ 54.7M (15.1%) Same Rate Plus BSO’s Shortfall -$109.2M (30.1%) 22 FY11 County Agency Reduction Scenarios

County Agency Budget Comparison FY07 – FY10 23 FY07FY10 PERCENT CHANGE POSITIONS ELIMINATED Human Services*$84.5$ % -115 Libraries$70.9$ % -294 Parks$38.4$ % -140 Facilities Maintenance* *$32.4$ % -37 Transfer to Transit$39.1$ % -136 Other Agencies$158.4$ % -412 TOTAL$423.7$ % -1,134 *Excluding Mandated Health Payments **Includes utilities

RESERVES 24

Recommended General Fund Reserve for Emergencies/Cash Flow Approach Establish reserve 10% of Budget Allocate any amount above this level to an account to be utilized over a three year period to assist with tax relief 25

Recommended General Fund Reserve for Emergencies/Cash Flow Approach (cont’d) For example, if general fund totals $950 million in FY 11 Establish emergency reserves at $95M (currently $109M) Utilize $14M over three year period Provides $4.7M relief in FY11 $4.7M impact will need to be addressed in FY14 26

NEXT STEPS 27

Continue Staff Analysis of Constitutional Officer Proposed Budgets & County Agency Reduction Options Individual Budget Briefing Meetings with Commissioners on June 10 th and 11 th Budget Workshop to Review Administration’s Recommendations on June 22nd 28