March 7, 2012
Mayor’s Report to Council for FY ending 12/31/2011
Economic conditions have stabilized for the village during fiscal year 2011. While income tax revenues remained relatively stable and our annual carry over from year to year has leveled out and we increased our carry-over reserves from the previous year. The village was able to implement a cost of living increase for our employees for the 1st time in 3 years.
In the coming year, the village administration will continue to work closely with council to focus on the following 3 areas:
1) Resolving long term revenue and/or service delivery expectations
2) Safety issues from police and fire coming from manpower and coverage issues
3) Community growth issues arising from oil/shale potential and regional growth in general
It has become increasingly apparent that it is necessary to consider how the village may increase revenues in order to continue supporting the level of services expected by residents. This may have less to do with the short term economic downturn than with the changing demographics within the village:
· Village HR related costs are rising every year with cost of living and health care and pension costs increasing, but we have predominately flat revenues. HR expense continues to be one of the significant budget line items. This expense (966,222 in 2010 vs. 969,700, is an increase of less than one half of a percent.) Salaries and benefits account for more than 48% of the village’s operating revenue. Benefits total more than 30% of salary expense.
· Capital improvements and special projects are getting squeezed out of the budget
· Examples of finding revenue opportunities include the NCPD who established a relationship with EMSD for some additional services that will generate some revenue for the PD and will meet their needs. NCFD and EMS generates significant revenue from their EMS response runs and is a real revenue generator to support fire/EMS operations
Safety issues with NCPD and Fire/EMS are similar in that it’s related to maintaining adequate manpower to service the needs of the village. NCPD will receive some additional revenue from EMSD services, and is challenged by complaints during fall and spring. Muskingum University has formed their own Police Force, so campus related calls should diminish over time. The number of EMS/Fire calls has stabilized , but still average almost 3 calls/day by an all-volunteer department. Pressures are increasing to keep and recruit more volunteers to meet village needs.
Finally there are some significant issues on the horizon with our community growth. Oil/Shale drilling and extraction will be impacting our region soon. There are both positive and less positive elements of that come with this prospect. Being proactive about the impact can make it positive from all angles. The community will be engaging some long term planning next fall so that we can identify areas of focus. Additionally, the village will be focusing on the planning long term improvements to accommodate growth:
a. An emergency water connection with Muskingum County.
b. Extension of sewer services outside village to protect the watershed and generate revenue.
c. Water line maintenance and service efficiency.
d. Systems to support financial operations and reporting requirements.
Housing issues continue to be a matter of concern for the residential community. Several properties that appear to be out of compliance were brought into compliance thanks to the efforts of our Police, Zoning enforcements, and Village Magistrate Scott Eickelberger.
The village is fortunate to have a dedicated group of volunteers leading and participating in community initiatives. Not only does this include our fire/EMS services, but other volunteers in a variety of boards and service groups. Some volunteers have been serving in leadership capacities for a number of years. It will be important to consider “succession planning” for those who have done their share and wish to move on. It will be important that community leadership explore ways to insure that a new generation is engaged and active in the affairs on the village.
Last year’s annual report focused on some measurable goals for the upcoming year. In reviewing results for the past year, some success was realized in measuring and improving these goals. (Please see notes on goals/priorities on the following pages.) Future success benefits from village leadership’s ability to use these goals again next year to help identify opportunities for further improvement. Staff engagement in planning and implementing priorities is critical.
While each organization enjoys a high standard in its own right, it is the interplay of these elements that distinguishes New Concord from many communities and in the end contributes significantly to each entity’s respective mission. Each of these three key entities (New Concord Community, Muskingum University, and East Muskingum School District) has a clear and inseparable responsibility in continuing to make this a positive place to live, work, play and go to school.
This is the 24rd annual report produced in this format. Each department report highlights key accomplishments from the previous year. Over the years, I have been proud to be associated with our community. That pride is shared with all who call New Concord their hometown.
Greg Adams
Mayor
March 1, 2012
