FY2023 Adopted Operating and Capital Budget

FY2023 Adopted Budget Fund Budgets

Consolidated Budget Overview Housing Initiatives Fund increased $1.1 million or 17.8%. The increase stems from additional recordation tax and payment in-lieu revenues. These sources are driven by the housing market that continues to grow in Frederick County. This will help provide additional funding for housing initiative programs. Opioid Abatement Fund is new for FY2023. As settlements are received from major pharmaceutical distributors, this fund will track the income and uses of those funds. Debt Service-General Government Fund increased $4.9 million or 8.1%. The increase is related to a large bond issuance in the fall of 2021. The Parks Acquisition/Development increased $8.6 million. This fund is directly related to the funding of capital projects and fluctuates from year to year based on capital projects in the Capital Budget. In FY23, significant funds are provided for the Old National Pike District Park and the Rose Hill Manor Park Carriage Museum. The Impact Fees/School Mitigation and School Construction funds saw decreases over the prior year. These funds are directly related to the funding of capital projects and fluctuate from year to year based on capital projects in the Capital Budget. Enterprise Funds: All enterprise funds are consistent with the FY2022 adopted budget. Although divisional requests were funded and the countywide compensation and classification study affected some of the enterprise funds, these increases were offset by decreases in other accounts/funds. No significant program was removed and any reduced expenses were related to the normal timing and fluctuation of accounts. Internal Service Funds: The Fleet Services Fund increased 5.9%. The increase is related to the replacement of vehicles/equipment, as well as an increase in depreciation expense. The Voice Services Fund is consistent with the FY2022 adopted budget. The Worker s Compensation Fund is decreasing from the prior year primarily due to a change in funding methodology. BY ACCOUNT CATEGORY: Provided below is an overview of changes to each account category. More detail on account categories by fund can be found in the detail segment of the Fund Budget section. Funding/Revenue: Property and Income Taxes are the County s main revenue sources. Although no change to the property tax rate is reflected in the adopted budget, revenue associated with the tax is budgeted at a 7.0% increase. Housing growth and assessments continue to increase at a moderate pace and bolster the property tax projections. The County continues to be a desirable place to live facilitating an increase in housing values and providing a market for the development pipeline already approved. The Economic Development Loan Fund is no longer an active fund. All other special revenue funds are consistent with the FY2022 adopted budget.

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