1. 2007 Budget The County of York Adopted: December 20, 2006

2. 2006 FORECAST …foundation for tomorrow

3. Did we meet our objectives? Completed Courthouse renovation Below budget “Green Building” design 2 nd stage of downtown restructuring Continue 911 Strategic plan implementation ESC under construction CAD system “live” on 10-31-06

4. Introduced “Paid Time Off” (PTO) strategy Initiated Business Continuity Planning program Estimated cost = $250,000 Partially funded with PCCD grant Initiated Government Center facility space study Contracted with NuTec Design Estimated $10 million project Completes “Service Center” consolidation for downtown facilities Did we meet our objectives?

5. Where did we fall short? Operating reserves – 2006 is breakeven Loss of planned revenue INS detainee population below plan due to higher County inmate population Initial payment to DOJ depleted 2005 surplus reserve $4.1 million ($2.0 M up-front / $688,000/Qtr) Did we meet our objectives?

6. Key Personnel additions: Dr. Jerry Anderson – Director – C&Y Created new Labor Relations Director Human Resources Director – to be named Gary Glatfelter – Fleet Manager Detox & Rehab Center project in process Funded with Managed Care Reinvestment dollars Notable Achievements in 2006

7. Implemented newsletter Delivered first “State of the County Address” Settled outstanding INS dispute with the Dept. of Justice $18 million agreement $688,000 per Qtr Notable Achievements in 2006

8. Successfully integrated new electronic voting system technology for York County Compliant with HAVA No major issues with hardware Completed new 288-bed Work Release Facility $12 million project Includes new kitchen and medical facilities Notable Achievements in 2006

9. Welcomed our 1 millionth visitor to the York County Park system Reached 30,000 acres of preserved farmland and open space in York County Implemented Central Booking Center Processed 9,564 ytd $50 Central Booking fee approved Notable Achievements in 2005 Major Milestones Achieved

10. 2006 is “breakeven” year… no surplus expected Spending is projected to be $2 million below budget Offset by lower revenues: Title IV-E funds down $1.0 million INS revenue down $1.8 million PROJECTED 2006 RESULTS

11. C&Y costs projected to be on budget Juvenile placements have leveled off YCNH subsidy stabilized Overtime initiatives are resulting in lower premium costs for 24/7 operations Benefit costs are moderating FAVORABLE TRENDS:

12. 2006 Year End Cash Position No surplus generation Year-end cash balance $3.5 M Reflects DOJ payment TRAN will be necessary to provide gap financing in 2007 Dollars in Thousands $3.5 M

13. The 2007 Budget Maximizing taxpayer services with limited resources….

14. 2007 Budget Objectives Continue 911 Strategic plan Develop strategy for Archives expansion Maximize INS revenue potential Continue Business Continuity planning Establish Costs & Fines Collection initiative Commence Northern Extension of Rail Trail Complete Space Study for Government Center

15. 2007 Budget Process Budget team reviewed 76 individual budget requests Comprising 2,000+ line items Budget team: Barbara Bair, Treasurer Robb Green, Controller Deb Myers, Deputy Controller Initial request included: 58 new positions $1.0 million capital budget $6.0 million of Special Allocation requests Net $9.5 million deficit or 11% tax increase

16. The Bottom Line… 2006 General Fund Budget $149,361,499 Millage Rate = 3.80 4.4% increase Includes Dedicated Library Tax (.1 Mill) 2007 General Fund Preliminary Budget $161,667,791 Expenses up 8.2% $12.3 million Millage Rate = 3.91 2.9% increase Includes Dedicated Library Tax (.1 Mill)

17. General Fund Expense Summary by Sector How Your Tax Dollars Are Utilized... Total General Fund = $161,667,791

18. General Fund Growth Trend Dollars in Thousands General Fund average growth is 7% per year $149,781,088$161,667,791 20062007Incr. +8.2%

19. GOVERNMENT ADMINISTRATION Includes: Support functions Debt service Employee benefits 2007 Budget = $56.7 M Total expenses are up $5.7 million or 11% Dollars in Thousands

20. Government Administration Major impacts: Benefit costs up $4.2 million Retirement Plan contribution up $2 million Health care costs up 7%, or $1.5 million Debt Service up $770,000 new 911 system project cost = $68.0 million Utilities and facility costs up $446,000

21. Government Administration +5% +6% +19% Dollars in Thousands

22. COURT SYSTEM & PUBLIC SAFETY  Includes:  Court & Court related functions  Corrections  Public Safety  2007 Budget = $87.6M  Total expenses are up $7.0 million or 9% Dollars in Thousands

23. Court System & Public Safety Major Impacts: Clerk of Courts operating costs up $180,000 40% increase since 2005 Staffing up 67% since 2003 New Collections Unit Expected to generate additional $460,000 in fines & costs income Prison operations up $3.9 million Includes addition of 175 INS detainees plus new Work Release facility Revenue up $3.8 million (rate & volume) 911 Operations up $1.0 million

24. Court System & Public Safety +2% +10% +29% Dollars in Thousands

25. HUMAN SERVICES Includes: C&Y MH/MR Area Agency on Aging YCNH Veteran’s Affairs 2007 Budget = $9.7 Million Total expenses are down slightly from 2006 Dollars in Thousands

26. Human Services Major Impacts: YCNH subsidy down $100,000 from 2006 level; 2007 subsidy is $2.6 million C&Y costs up $60,000 Title IV-E funding loss of $2.0 million Juvenile placements have leveled off

27. Human Services +3% +1% +0% -1% +6% Dollars in Thousands

28. OTHER EXPENSES Includes: Government Services Planning Commission Farm Land Preservation Rabbittransit YCEDC Library System Discretionary allocations 2007 Budget = $7.6 Million Expenses are down $379,000 or (5%) Dollars in Thousands

29. Other Expenses Major Impacts: Reduced Ag Preservation $900,000 $7.0 Million loan facility to leverage matching state funds Replaces $1.0 Million allocation Library funding up $200,000 Dedicated.1 Mill Library Tax Library will rebate $200,000 to County for CY 2007 Increased YCEDC funding $325,000 for economic development initiatives $375,000 for YCEDC operations $250,000 for KIZ activities $125,000 for Codorus Corridor strategy

30. Other Expenses -16% +2% Dollars in Thousands

31. Millage Rate Distribution Govt Admin$ 56,653,684 1.32 Court System & Public Safety $ 87,664,905 2.05 Human Services$ 9,740,902.22 Other Expenses$ 5,208,300.22 Library Tax$ 2,400,000.10 TOTAL$ 161,667,791 3.91 SECTOR2007 BUDGETMILL RATE Note: Expenses include revenue offsets

32. Tax Rate History County taxes have risen.55 mills since 2003, or 13% Average 3.4% / year Increases per year: 2004- 20055.0% 20064.7% 20072.9% 4.20 4.41 4.62 4.75 3.80 3.91 Equalized Tax Rates Mills

33. Tax Rate Comparison School Taxes County Taxes Municipal Taxes 77% 16% 7% Avg. School Taxes 17.66 mills Avg. County Taxes 3.80 mills Avg. Local Taxes 1.40 mills For every real estate tax dollar paid in York County… 22.86 millsTotal Based on 2006 data

34. Total County Budget  GENERAL FUND  Principal County Operating Budget $147.2 $159.3  Dedicated Library Tax 2.2 2.4  Capital Reserve Fund PROPRIETARY FUND York County Nursing Home 33.3 34.4 911 County Control 6.2 7.4 SPECIAL REVENUE FUND Principal Human Services budget 97.4 106.6 Domestic Relations budget 4.2 4.9 Housing, CDBG & Liquid Fuels budget 8.9 11.2 FIDUCIARY FUND Retirement Fund 6.9 7.6 Tax Claim 16.0 16.0 20062007 TOTAL BUDGET $ 322.3 $ 349.8 Dollars in Millions

35. 2007 Budget In summary…

36. 2007 Budget Highlights Proposed G/F tax increase for 2007 Millage rate increases from 3.80 to 3.91 mills G/F taxes will increase 2.9% Daily rate agreement with INS completed Tax increase largely due to : DOJ settlement costs - $2.7 million Increase in retirement plan ARC - $2.0 million No reserve contribution

37. 2007 Budget Budget available for view 20 days in the Commissioner’s Office Adoption of final budget scheduled for December 20 Commissioner’s comment ?

38. 2007 Budget The County of York