So, one of the first things the Council does in the budget process is to adopt a Five-Year Forecast.  This document is important for a couple of reasons but chief amongst them is that it gives guidance to staff about what the Council expects in terms of revenue (and by extension the tax rate) for the following couple of years.  This guidance is, in turn, used by the staff to construct the budget.

Inside Basball Alert!!  What follows is quality public policy wonkery!!  I suspect it’s even mostly right!!

As pointed out by Mr. Randolph – The City Council adopted a Policy Statement Monday night that reads in part: 

The Citizens of the City of Manassas receive important, beneficial services from a variety of State, Federal and private agencies.  In addition, many City Departments rely on funding from State, Federal and private agencies. These State,  federal and private agencies are critical partners with the City and Manassas City Public Schools in providing services for our community. When these State, Federal and private agencies terminate programs, services or curtail funding, it cannot be assumed that the City will maintain those programs. The City’s ability to assume the financial reponsibility for State, Federal and privately funded services without significantly impacting other service areas or raising taxes is limited.”
POLICY STATEMENT #P-2012-02 – Prevent Supplanting State, Federal and Private Funds With Local Funds

In an interesting turn of events, the Governor has put forth a budgetary plan that will keep primary education whole and localities were mostly spared.  The folks in Richmond cut some of our Police funds and a few other pots but overall it doesn’t look like things will be that bad…this year.  We’ll still have to make some adjustments but it won’t be wholesale damage.

Next year will likely be somewhat different.  See, the Governor elected to fill the hole in this years budget by spending most/all of next years “stimulus” money in this year.  This is addition to the “stimulus” money that was already budgeted into this years budget.  That leaves an aweful hole next year so we (as a state) have just doubled-down on an economic recovery.  Let us hope that this actually happens or we’re going to be in worse shape.

I am confident that the Council will have a serious philosophical discussion about what not to do and how to save money well in advance of any serious budgetary issues.  As we saw last year, decisive action well in advance of the crisis allows leeway when the dark days arrive.