Revenue Overview FY 2015 Proposed Budget - Arlingtonva
Revenue Overview FY 2015 Proposed Budget
County Board Work Session – February 27, 2014
Recent Board Inquiries • Regional Tax Advertisement and Budget Schedules • State Budget & General Assembly Actions
2
Regional Tax Advertisement & Budget Schedule CY 2013 Tax Rates
Arlington County
$0.993 - base $0.013 -stormwater
Residential Assessment Change 2013-2014 6.13%
Total Assessment Base Change
5.79%
$0.125 - commercial only
CY 2014 Tax Rates Proposed $0.993 – base & advertised $0.013 -stormwater
$1.038 -base
4.80%
3.56%
$1.038 – base
City of Falls Church
$1.305 - base
6.73%
6.77%
Not available Proposes budget on March 10
Fairfax County
City of Fairfax
$0.125 - commercial only $1.04 -base $0.02 - stormwater
7.06%
5.77%
Loudoun County
$1.085 - base $0.0225 - stormwater $0.001 - pest control $0.015 - leaf collection
May 1 April 28
April 29
$0.125 - commercial only Not available Proposes budget in March
Not available
Not available
$1.181 -base $0.0727 -fire $0.0025 – moth control
7.5%
2.5%
$1.126 –base $0.0693 -fire $0.0025 – moth control
April 29
$1.205 – base
8.68%
8.30%
$1.1553 – base (proposed)
April 2
$0.055 - commercial only
Prince William County
April 22
$0.125 - commercial only
City of Alexandria
$1.085 - base $0.020 - stormwater $0.001 -pest control $0.015 -leaf collection
FY 2015 Budget Adoption Date
Not available
3
Jurisdiction Tax Rate Comparison Total Rate Applied to Residential Properties $1.40 $1.305
$1.30
$1.256 $1.198
$1.205
$1.20
$1.155 $1.121 $1.123
$1.10 $1.006 $1.006
$1.060
$1.038 $1.038
$1.00 $0.90 $0.80 $0.70 $0.60 $0.50 Arlington
Alexandria
Fairfax County
CY 2013 Adopted
Fairfax City
Falls Church
Loudoun
Prince William
CY 2014 Proposed/Advertised
4
State Revenue Proposed Budget • State revenue up from FY 2014 adopted ($4.2 million / 6.5%) – Highway aid up $1.6 million in line with state estimates – Comp Board increases based on Governor’s proposed budget ($99k) • Deputy Sheriff, Deputy Court Clerks, & Assistant Commonwealth Attorneys – Two new grants in Mental Health/Intellectual Disability – Commuter Assistance increases due to early notification of grant funds
General Assembly Action • Adjustments to FY 2015 estimates will be recommended by County Manager at 3rd Quarter Review – Compensation Board – HB 599 Law Enforcement Aid – E-911
5
State Budget • February 26: Completed action on budget bills & put them into conference • March 8 or 9: Conferees expected to complete budget, followed by the vote • March 8: Session scheduled to adjourn sine die • April 7: Last day for Governor’s action on legislation • April 23: Reconvened Session • July 1: Effective date of enacted legislation
6
State Tax Revenue Generated in Arlington (FY 2012) $800.0 $700.0 $600.0
$699.3
($ millions)
$500.0 $400.0 $300.0 $200.0 $182.7
$100.0 $0.0
Revenue Generated for State
Revenue Returned to Arlington
Revenue generated for the state does not include tax revenue related to car rentals ($7.8 million generated), corporate income (no measures available), and motor vehicles (vehicle sales and use tax, vehicle gas tax, vehicle license fees, vehicle license plate fees, and vehicle title registration fees).
7
General Fund Revenue By Source
License, Permits & Fees, 1% Charges for Services, 5%
Local Taxes, 85%
State, 6%
Misc., 2% Federal, 1%
8
Local Tax Revenue by Source (General Fund)
RE Detached & Townhouse, 25%
RE Commercial, 21%
RE Apartments, 13%
RE Condominium, 9%
PP Bus. Tangible, 4%
Meals, 4% Utility Tax, 1%
PP Vehicle, 8% BPOL, 6%
Other, 2%
Transient Occ., 2% Sales, 4% Communication, 1%
9
FY 2014 to FY 2015 Proposed Revenue Changes Revenue Source
Real Estate
FY 2014 Adopted
FY 2015 Proposed
(millions)
(millions)
$ Change (millions)
% Change
$603.0
$643.7
$40.6
6.7%
Personal Property
106.5
108.7
2.2
2.0%
Business License
60.5
59.5
(1.0)
-1.7%
Sales
40.9
40.0
(0.9)
-2.2%
Meals
34.7
36.8
2.1
6.1%
Transient Occupancy
21.8
21.8
0.0
0.0%
Other Taxes
37.8
37.4
(0.4)
-0.9%
$905.2
$947.9
$42.7
4.7%
Charges for Service
51.2
53.9
2.8
5.4%
Fines, Interest, Rents
12.9
15.4
14.2
-8.1%
State
64.9
69.1
4.2
6.5%
Federal
14.5
15.2
0.7
4.8%
(existing rate: $0.993)
Total Taxes
Total revenue excludes prior year fund balances carried over.
10
Tax & Fee Changes in Proposed Budget • Tax Rates – Real Estate Tax Rate – proposed budget includes the base tax rate of $0.993/$100 of assessed value – The advertised base tax rate is $0.993 – no change from CY 2013
No Change Recommended – Stormwater Tax Rate – $0.013/$100 (of assessed value) – Commercial Transportation Tax Rate – $0.125/$100 – Personal Property & Business Tangible Tax – $5.00/$100 – Business License Tax Rates – no changes to various rates – Business Improvement Districts – proposed budget assumes flat tax rates for all BIDs; fully funds the proposed business plan for each. 11
Tax & Fee Changes (Continued) • Fees – ART bus fares to be consistent with WMATA – Increase various Park & Recreation fees – Increase accident report, criminal history check, & police report verification fees for Police to $10 per request – Increase household solid waste rate $6.96 from $293.76 to $300.72 • Advertised rate of $313.80 ($20.04 annual increase) in order to consider expanding service and allowance for contract rates currently being negotiated
– New Dept. of Human Services fee for nursing case management on a sliding scale in line with CSB fees. 85% of clients would pay $13 per month or less. • Revenue not included in base budget.
• Other Funds – Utilities Fund - Water/sewer rate increases $0.43 per thousand gallons to $13.04. Corresponds to an estimated annual increase of $30.10 per household annually, assuming 70,000 gallons of water consumption.
12
Tax & Fee Burden on Average Household Summary of Residential Taxes and Fees Average Homeowner Impact
CY 2010
CY 2011
CY 2012
CY 2013
CY 2014 (FY 2015) Proposed
Average Assmt Tax Rate (Inc. Sanitary Dist)
503,200
510,200
519,400
524,700
$552,700
$0.958
$0.958
$0.971
$1.006
$1.006
Real Estate Tax
$4,821
$4,888
$5,043
$5,278
$5,560
Personal Property*
273
322
368
410
459
Annual Decal Fee*
66
66
66
66
66
Refuse Fee
344
326
294
294
301
Water / Sewer Service
822
853
883
883
913
Residential Utility Tax
72
72
72
72
72
Total Residential Tax & Fees
$6,398
$6,527
$6,726
$7,003
$7,371
Percent Change
5.7%
2.0%
3.0%
4.1%
5.3%
Dollar Change
$347
$129
$199
$277
$368
* For two car household
13
Real Estate Assessment Information
14
Average Single Family Home Assessment CY 2005 – CY 2014 $600,000 $541,800 $537,500
$550,000
$552,700 $530,800 $520,100 $503,200
$510,200
$519,400
CY 2011
CY 2012
$524,700
$500,000 $458,200
$450,000
$400,000
$350,000
$300,000
$250,000 CY 2005
CY 2006
CY 2007
CY 2008
CY 2009
CY 2010
CY 2013
CY 2014
15
1977 1978 1979 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
$'s Billions
Total Commercial versus Total Residential Real Estate Tax Base Value 1977 to 2014 $35
$30
$25
$20
$15
$10
$5
$Commercial RE Residential RE
16
Assessment Base Percent Change Residential vs. Commercial 1995-2014 (year-over-year percent change) 30%
Commercial
Residential
Total Growth
25% 20% 15% 10% 5% 0% -5% -10% -15%
CY '95 CY '96 CY '97 CY '98 CY '99 CY '00 CY '01 CY '02 CY '03 CY '04 CY '05 CY '06 CY '07 CY '08 CY '09 CY '10 CY '11 CY '12 CY'13 CY'14
Commercial
-2.3% 3.6%
3.8%
5.5%
6.7%
7.5%
Residential
1.9%
0.4%
0.6%
0.0%
3.1%
6.3% 10.8% 21.9% 20.4% 17.2% 25.2% 22.9% 2.4%
0.9% -1.1% -2.5% 1.7%
1.3%
1.0%
6.1%
Total Growth -0.1% 1.9%
2.2%
2.7%
4.9%
6.9% 10.0% 15.7% 16.5% 12.3% 18.9% 19.8% 7.2%
5.9%
7.3%
2.0%
5.8%
9.3%
9.7% 12.3% 6.5% 11.0% 15.3% 14.5% 12.5% 2.5% -11.3% 12.6% 14.3% 2.9% 0.5% -6.6% 6.4%
5.4%
17
General Fund Comparative Tax Burden Residential vs. Commercial Tax Base 65.0%
59%
60.0%
60%
56% 55.0%
50.0%
58%
53%
55% 54%
57% 54%
52%
50% 49% 49%
48% 45.0%
46%
47% 42%
44% 40.0%
51% 51%
41%
45% 46%
43%
40%
35.0%
CY CY CY CY CY CY CY CY CY CY CY CY CY 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Residential
Commercial
If we include the Stormwater Fund and Transportation Fund, the percentages for tax burden would shift: Commercial 51%; Residential 49%
18
Personal Property Tax Revenue FY 2011 – FY 2015 Business Tangible
Vehicles
$120.0 $106.50
$108.65
$35.24
$35.20
$33.50
$71.72
$71.30
$75.15
$61.28
$65.72
FY 2011
FY 2012
FY 2013
FY 2014 Adopted
FY 2015 Proposed
$100.93
$ Millions
$100.0 $80.0
$106.96
$95.25
$33.97
$35.21
$60.0 $40.0 $20.0 $-
19
Average Vehicle Value CY 2008 - CY 2014 $10,000
$9,284 $8,842
$9,000 $8,000
$8,421 $7,905
$7,735 $7,218
$7,264
2009
2010
$7,000 $6,000 $5,000 $4,000 $3,000 $2,000 $1,000 $0 2008
2011
2012
2013
2014 projected
20
Proposed Formula for Allocation of State Relief Monies Clean fuel vehicles & Vehicles Equipped to Transport the Physically Disabled •
100% exemption on first $3,000 of value
•
50% exemption on value from $3,001 – $20,000
•
No exemption on value over $20,000
Conventional fuel vehicles •
100% exemption on first $3,000 of value
•
Balance of remaining subsidy provided to conventional fuel value from $3,001 to $20,000
•
Current assumption is that 27% exemption will be available for this portion of vehicle value
21
Regional Personal Property CY 2013 Tax Rate Comparison 5.5
Arlington & Loudoun base assessments on the average loan value, which is 10% lower than the average trade-in value, resulting lower "effective" tax rates
$5.00
$5.00
$4.84
5 $4.50
$4.57
4.5
$4.20 $3.78
4
$3.70
3.5 3 Arlington
City of City of Falls Alexandria Church
Fairfax County
Loudoun
Prince William
22
Business, Professional, Occupational License Tax (BPOL) $65
$61.9
$61.3 $60.5
$60.5
$ millions
$60
$59.5
$55
$50
$45
$40
FY 2011
FY 2012
FY 2013
FY 2014 Adopted
FY 2015 Proposed
23
FY 2013 BPOL by Month $35,000,000 52.6%
% of Revenue Received for Fiscal year $30,000,000
$25,000,000 33.5% $20,000,000
$15,000,000
$10,000,000
$5,000,000
4.9% 0.2%
0.9%
0.3%
0.5%
0.1%
0.3%
4.2% 1.5%
1.0%
$-
24
Sales Tax, Meals Tax, & Transient Occupancy Tax Revenue $45.0 $40.9
$39.4
$40.0
$ Millions
$35.0
$40.0
$38.6
$36.8
$36.9
$34.7
$34.7
$33.4 $31.4
$30.0 $25.0
$21.8
$22.3
$21.8
$21.8
$21.8
$20.0 $15.0 $10.0 FY 2011
FY 2012
Sales
FY 2013
Meals
FY 2014 Adopted
FY 2015 Proposed
Transient 25
Changing Trend in Sales Tax Revenue 0.2 FY 2012 – 10 months positive / 2 months negative
FY 2013 – 9 months positive / 3 months negative
0.15
0.1 12 month moving average
0.05
0
-0.05
-0.1
26
Other Tax Revenue FY 2014 Adopted
FY 2015 Proposed
($ millions)
($ millions)
Utility Tax
$11.7
Communications Tax
(millions)
% Change
$11.8
$0.1
1%
$7.8
$7.5
($0.3)
(4%)
Recordation Tax
$6.0
$6.0
Flat
0%
Car Rental Tax
$5.40
$5.35
($0.05)
(1%)
Cigarette Tax
$3.2
$3.0
($0.2)
(6%)
Revenue Source
$ Change
27
Non-Tax Revenue • Charges for Services (up $2.8 million / 5% increase) • Parking meter revenue down 4% • Increased revenue from Commuter Store & Arlington Transit reflects new and expanded ART bus routes and increased fares • Recreational program fee income • Reimbursements from City of Falls Church • Reflects increase in refuse rate from $293.76 to $300.72
• Fines, Interest, Rents (down $1.3 million / 8% decline) • Parking tickets decrease $1.6 million based on recent actual receipts • Fines revenue increases $0.2 million based on recent actual receipts
• Licenses, Permits, Fees (>$0.1 million / 1% increase) • Motor vehicle license fees ($100,000) • Highway Permits related to use of public right of way ($70,000) 28
Federal Revenue • Federal revenue increases 5% ($0.7 million). – CSBG, CDBG, & HUD/HOME grants expected to decrease 5% – Addition of a new Bureau of Justice Assistance grant for a Drug Court Coordinator ($112,402) – New Community Oriented Policing Services (COPS) grant ($245,669)
29
Revenue Overview FY 2015 Proposed Budget
County Board Work Session – February 27, 2014
County Board Work Session – February 27, 2014
Recent Board Inquiries • Regional Tax Advertisement and Budget Schedules • State Budget & General Assembly Actions
2
Regional Tax Advertisement & Budget Schedule CY 2013 Tax Rates
Arlington County
$0.993 - base $0.013 -stormwater
Residential Assessment Change 2013-2014 6.13%
Total Assessment Base Change
5.79%
$0.125 - commercial only
CY 2014 Tax Rates Proposed $0.993 – base & advertised $0.013 -stormwater
$1.038 -base
4.80%
3.56%
$1.038 – base
City of Falls Church
$1.305 - base
6.73%
6.77%
Not available Proposes budget on March 10
Fairfax County
City of Fairfax
$0.125 - commercial only $1.04 -base $0.02 - stormwater
7.06%
5.77%
Loudoun County
$1.085 - base $0.0225 - stormwater $0.001 - pest control $0.015 - leaf collection
May 1 April 28
April 29
$0.125 - commercial only Not available Proposes budget in March
Not available
Not available
$1.181 -base $0.0727 -fire $0.0025 – moth control
7.5%
2.5%
$1.126 –base $0.0693 -fire $0.0025 – moth control
April 29
$1.205 – base
8.68%
8.30%
$1.1553 – base (proposed)
April 2
$0.055 - commercial only
Prince William County
April 22
$0.125 - commercial only
City of Alexandria
$1.085 - base $0.020 - stormwater $0.001 -pest control $0.015 -leaf collection
FY 2015 Budget Adoption Date
Not available
3
Jurisdiction Tax Rate Comparison Total Rate Applied to Residential Properties $1.40 $1.305
$1.30
$1.256 $1.198
$1.205
$1.20
$1.155 $1.121 $1.123
$1.10 $1.006 $1.006
$1.060
$1.038 $1.038
$1.00 $0.90 $0.80 $0.70 $0.60 $0.50 Arlington
Alexandria
Fairfax County
CY 2013 Adopted
Fairfax City
Falls Church
Loudoun
Prince William
CY 2014 Proposed/Advertised
4
State Revenue Proposed Budget • State revenue up from FY 2014 adopted ($4.2 million / 6.5%) – Highway aid up $1.6 million in line with state estimates – Comp Board increases based on Governor’s proposed budget ($99k) • Deputy Sheriff, Deputy Court Clerks, & Assistant Commonwealth Attorneys – Two new grants in Mental Health/Intellectual Disability – Commuter Assistance increases due to early notification of grant funds
General Assembly Action • Adjustments to FY 2015 estimates will be recommended by County Manager at 3rd Quarter Review – Compensation Board – HB 599 Law Enforcement Aid – E-911
5
State Budget • February 26: Completed action on budget bills & put them into conference • March 8 or 9: Conferees expected to complete budget, followed by the vote • March 8: Session scheduled to adjourn sine die • April 7: Last day for Governor’s action on legislation • April 23: Reconvened Session • July 1: Effective date of enacted legislation
6
State Tax Revenue Generated in Arlington (FY 2012) $800.0 $700.0 $600.0
$699.3
($ millions)
$500.0 $400.0 $300.0 $200.0 $182.7
$100.0 $0.0
Revenue Generated for State
Revenue Returned to Arlington
Revenue generated for the state does not include tax revenue related to car rentals ($7.8 million generated), corporate income (no measures available), and motor vehicles (vehicle sales and use tax, vehicle gas tax, vehicle license fees, vehicle license plate fees, and vehicle title registration fees).
7
General Fund Revenue By Source
License, Permits & Fees, 1% Charges for Services, 5%
Local Taxes, 85%
State, 6%
Misc., 2% Federal, 1%
8
Local Tax Revenue by Source (General Fund)
RE Detached & Townhouse, 25%
RE Commercial, 21%
RE Apartments, 13%
RE Condominium, 9%
PP Bus. Tangible, 4%
Meals, 4% Utility Tax, 1%
PP Vehicle, 8% BPOL, 6%
Other, 2%
Transient Occ., 2% Sales, 4% Communication, 1%
9
FY 2014 to FY 2015 Proposed Revenue Changes Revenue Source
Real Estate
FY 2014 Adopted
FY 2015 Proposed
(millions)
(millions)
$ Change (millions)
% Change
$603.0
$643.7
$40.6
6.7%
Personal Property
106.5
108.7
2.2
2.0%
Business License
60.5
59.5
(1.0)
-1.7%
Sales
40.9
40.0
(0.9)
-2.2%
Meals
34.7
36.8
2.1
6.1%
Transient Occupancy
21.8
21.8
0.0
0.0%
Other Taxes
37.8
37.4
(0.4)
-0.9%
$905.2
$947.9
$42.7
4.7%
Charges for Service
51.2
53.9
2.8
5.4%
Fines, Interest, Rents
12.9
15.4
14.2
-8.1%
State
64.9
69.1
4.2
6.5%
Federal
14.5
15.2
0.7
4.8%
(existing rate: $0.993)
Total Taxes
Total revenue excludes prior year fund balances carried over.
10
Tax & Fee Changes in Proposed Budget • Tax Rates – Real Estate Tax Rate – proposed budget includes the base tax rate of $0.993/$100 of assessed value – The advertised base tax rate is $0.993 – no change from CY 2013
No Change Recommended – Stormwater Tax Rate – $0.013/$100 (of assessed value) – Commercial Transportation Tax Rate – $0.125/$100 – Personal Property & Business Tangible Tax – $5.00/$100 – Business License Tax Rates – no changes to various rates – Business Improvement Districts – proposed budget assumes flat tax rates for all BIDs; fully funds the proposed business plan for each. 11
Tax & Fee Changes (Continued) • Fees – ART bus fares to be consistent with WMATA – Increase various Park & Recreation fees – Increase accident report, criminal history check, & police report verification fees for Police to $10 per request – Increase household solid waste rate $6.96 from $293.76 to $300.72 • Advertised rate of $313.80 ($20.04 annual increase) in order to consider expanding service and allowance for contract rates currently being negotiated
– New Dept. of Human Services fee for nursing case management on a sliding scale in line with CSB fees. 85% of clients would pay $13 per month or less. • Revenue not included in base budget.
• Other Funds – Utilities Fund - Water/sewer rate increases $0.43 per thousand gallons to $13.04. Corresponds to an estimated annual increase of $30.10 per household annually, assuming 70,000 gallons of water consumption.
12
Tax & Fee Burden on Average Household Summary of Residential Taxes and Fees Average Homeowner Impact
CY 2010
CY 2011
CY 2012
CY 2013
CY 2014 (FY 2015) Proposed
Average Assmt Tax Rate (Inc. Sanitary Dist)
503,200
510,200
519,400
524,700
$552,700
$0.958
$0.958
$0.971
$1.006
$1.006
Real Estate Tax
$4,821
$4,888
$5,043
$5,278
$5,560
Personal Property*
273
322
368
410
459
Annual Decal Fee*
66
66
66
66
66
Refuse Fee
344
326
294
294
301
Water / Sewer Service
822
853
883
883
913
Residential Utility Tax
72
72
72
72
72
Total Residential Tax & Fees
$6,398
$6,527
$6,726
$7,003
$7,371
Percent Change
5.7%
2.0%
3.0%
4.1%
5.3%
Dollar Change
$347
$129
$199
$277
$368
* For two car household
13
Real Estate Assessment Information
14
Average Single Family Home Assessment CY 2005 – CY 2014 $600,000 $541,800 $537,500
$550,000
$552,700 $530,800 $520,100 $503,200
$510,200
$519,400
CY 2011
CY 2012
$524,700
$500,000 $458,200
$450,000
$400,000
$350,000
$300,000
$250,000 CY 2005
CY 2006
CY 2007
CY 2008
CY 2009
CY 2010
CY 2013
CY 2014
15
1977 1978 1979 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
$'s Billions
Total Commercial versus Total Residential Real Estate Tax Base Value 1977 to 2014 $35
$30
$25
$20
$15
$10
$5
$Commercial RE Residential RE
16
Assessment Base Percent Change Residential vs. Commercial 1995-2014 (year-over-year percent change) 30%
Commercial
Residential
Total Growth
25% 20% 15% 10% 5% 0% -5% -10% -15%
CY '95 CY '96 CY '97 CY '98 CY '99 CY '00 CY '01 CY '02 CY '03 CY '04 CY '05 CY '06 CY '07 CY '08 CY '09 CY '10 CY '11 CY '12 CY'13 CY'14
Commercial
-2.3% 3.6%
3.8%
5.5%
6.7%
7.5%
Residential
1.9%
0.4%
0.6%
0.0%
3.1%
6.3% 10.8% 21.9% 20.4% 17.2% 25.2% 22.9% 2.4%
0.9% -1.1% -2.5% 1.7%
1.3%
1.0%
6.1%
Total Growth -0.1% 1.9%
2.2%
2.7%
4.9%
6.9% 10.0% 15.7% 16.5% 12.3% 18.9% 19.8% 7.2%
5.9%
7.3%
2.0%
5.8%
9.3%
9.7% 12.3% 6.5% 11.0% 15.3% 14.5% 12.5% 2.5% -11.3% 12.6% 14.3% 2.9% 0.5% -6.6% 6.4%
5.4%
17
General Fund Comparative Tax Burden Residential vs. Commercial Tax Base 65.0%
59%
60.0%
60%
56% 55.0%
50.0%
58%
53%
55% 54%
57% 54%
52%
50% 49% 49%
48% 45.0%
46%
47% 42%
44% 40.0%
51% 51%
41%
45% 46%
43%
40%
35.0%
CY CY CY CY CY CY CY CY CY CY CY CY CY 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Residential
Commercial
If we include the Stormwater Fund and Transportation Fund, the percentages for tax burden would shift: Commercial 51%; Residential 49%
18
Personal Property Tax Revenue FY 2011 – FY 2015 Business Tangible
Vehicles
$120.0 $106.50
$108.65
$35.24
$35.20
$33.50
$71.72
$71.30
$75.15
$61.28
$65.72
FY 2011
FY 2012
FY 2013
FY 2014 Adopted
FY 2015 Proposed
$100.93
$ Millions
$100.0 $80.0
$106.96
$95.25
$33.97
$35.21
$60.0 $40.0 $20.0 $-
19
Average Vehicle Value CY 2008 - CY 2014 $10,000
$9,284 $8,842
$9,000 $8,000
$8,421 $7,905
$7,735 $7,218
$7,264
2009
2010
$7,000 $6,000 $5,000 $4,000 $3,000 $2,000 $1,000 $0 2008
2011
2012
2013
2014 projected
20
Proposed Formula for Allocation of State Relief Monies Clean fuel vehicles & Vehicles Equipped to Transport the Physically Disabled •
100% exemption on first $3,000 of value
•
50% exemption on value from $3,001 – $20,000
•
No exemption on value over $20,000
Conventional fuel vehicles •
100% exemption on first $3,000 of value
•
Balance of remaining subsidy provided to conventional fuel value from $3,001 to $20,000
•
Current assumption is that 27% exemption will be available for this portion of vehicle value
21
Regional Personal Property CY 2013 Tax Rate Comparison 5.5
Arlington & Loudoun base assessments on the average loan value, which is 10% lower than the average trade-in value, resulting lower "effective" tax rates
$5.00
$5.00
$4.84
5 $4.50
$4.57
4.5
$4.20 $3.78
4
$3.70
3.5 3 Arlington
City of City of Falls Alexandria Church
Fairfax County
Loudoun
Prince William
22
Business, Professional, Occupational License Tax (BPOL) $65
$61.9
$61.3 $60.5
$60.5
$ millions
$60
$59.5
$55
$50
$45
$40
FY 2011
FY 2012
FY 2013
FY 2014 Adopted
FY 2015 Proposed
23
FY 2013 BPOL by Month $35,000,000 52.6%
% of Revenue Received for Fiscal year $30,000,000
$25,000,000 33.5% $20,000,000
$15,000,000
$10,000,000
$5,000,000
4.9% 0.2%
0.9%
0.3%
0.5%
0.1%
0.3%
4.2% 1.5%
1.0%
$-
24
Sales Tax, Meals Tax, & Transient Occupancy Tax Revenue $45.0 $40.9
$39.4
$40.0
$ Millions
$35.0
$40.0
$38.6
$36.8
$36.9
$34.7
$34.7
$33.4 $31.4
$30.0 $25.0
$21.8
$22.3
$21.8
$21.8
$21.8
$20.0 $15.0 $10.0 FY 2011
FY 2012
Sales
FY 2013
Meals
FY 2014 Adopted
FY 2015 Proposed
Transient 25
Changing Trend in Sales Tax Revenue 0.2 FY 2012 – 10 months positive / 2 months negative
FY 2013 – 9 months positive / 3 months negative
0.15
0.1 12 month moving average
0.05
0
-0.05
-0.1
26
Other Tax Revenue FY 2014 Adopted
FY 2015 Proposed
($ millions)
($ millions)
Utility Tax
$11.7
Communications Tax
(millions)
% Change
$11.8
$0.1
1%
$7.8
$7.5
($0.3)
(4%)
Recordation Tax
$6.0
$6.0
Flat
0%
Car Rental Tax
$5.40
$5.35
($0.05)
(1%)
Cigarette Tax
$3.2
$3.0
($0.2)
(6%)
Revenue Source
$ Change
27
Non-Tax Revenue • Charges for Services (up $2.8 million / 5% increase) • Parking meter revenue down 4% • Increased revenue from Commuter Store & Arlington Transit reflects new and expanded ART bus routes and increased fares • Recreational program fee income • Reimbursements from City of Falls Church • Reflects increase in refuse rate from $293.76 to $300.72
• Fines, Interest, Rents (down $1.3 million / 8% decline) • Parking tickets decrease $1.6 million based on recent actual receipts • Fines revenue increases $0.2 million based on recent actual receipts
• Licenses, Permits, Fees (>$0.1 million / 1% increase) • Motor vehicle license fees ($100,000) • Highway Permits related to use of public right of way ($70,000) 28
Federal Revenue • Federal revenue increases 5% ($0.7 million). – CSBG, CDBG, & HUD/HOME grants expected to decrease 5% – Addition of a new Bureau of Justice Assistance grant for a Drug Court Coordinator ($112,402) – New Community Oriented Policing Services (COPS) grant ($245,669)
29
Revenue Overview FY 2015 Proposed Budget
County Board Work Session – February 27, 2014
