CBJ’s budget follows the fiscal year, beginning on July 1st and ending on June 30th. The City Manager is responsible for preparing the annual budget, which is submitted to the Assembly for review and adoption.
Follow Along with the City Budget
During this multi-week budget process through April and May, we’ll post an update after each Assembly Finance Committee meeting on what happened and what’s coming up at the next meeting.
Here’s what happened at the April 12 Assembly Finance Committee meeting:
City staff presented a list of ideas and options for how to reduce the budget. (Remember: Staff has proposed filling a $1.9 million revenue shortfall by taking $1.4 million from savings and coming up with $500,000 in efficiencies or reductions). Some of the ideas and options stem from the Priority Driven Budget (PDB) process, which allowed community members to rank 44 CBJ services and programs into three categories — Highly Desirable, Desirable, and Less Desirable.
From the PDB process, staff identified Juneau-Douglas City Museum, Mt. Jumbo Gym, Eagle Valley Center and the Jensen-Olson Arboretum as programs for possible elimination. Keep in mind, these lists are just ideas; they are not decisions. Possible program scaling — again stemming from the PDB process — include public use at Treadwell Arena and some Parks & Recreation landscaping.
City staff also identified efficiencies as possible ways to reduce the budget. These derive from conversations with management; not the PDB process. They include some position reductions, like a Community Service Officer, a Capital Improvement Projects manager, a Community Development planning review position and a Parks & Recreation community outreach position. Some of these are currently vacant or will become vacant.
All of these possible ideas for reducing the budget total about $750,000. These ideas were a jumping off point for Assembly Finance Committee discussion.
In other Assembly Finance happenings, the committee approved the Docks & Harbors and Airport budgets, and the Marine Passenger Fee Recommendations. The committee put the Aquatics Board budget and the Capital Improvement Projects budget on the “Pending” list, which means these items will be taken up at a later date. Also, staff announced it reached an agreement with the MEBA labor union, which affects the budget.
And here’s what’s coming up at the April 19 Finance Committee meeting:
The committee will likely continue its discussions on possible ways to reduce the budget.
The body will hear a presentation from Eaglecrest on its budget, and will also hear from Juneau Economic Development Council, Travel Juneau and the Downtown Business Association.
The agenda will include an updated resolution for changes to the Capital Improvement Projects list, and information will be provided on funding one-time cost increases to the budget due to employee contract negotiations.
City staff gave a presentation and talked about what’s going on with CBJ’s tax revenue, which makes up 90 percent of the general government budget. CBJ gets revenue from five taxes – property, sales, hotel, tobacco and liquor. Sales, hotel, liquor, and tobacco have all gone down. CBJ is starting to see an economic slowdown from the effects of the state’s fiscal downsizing.
The Juneau School District also presented its budget.
And here’s what’s coming up at April 12 Finance Committee:
CBJ staff will lay out options to help balance the budget – how to make up $500,000 of the $1.9 million revenue shortfall. Options include spending reductions or one time funding options. The Priority Driven Budget process, which allowed community members to prioritize CBJ services and programs, will play a role in determining possible reductions.
The Finance Committee is scheduled to take action on the Capital Improvement Projects budget and on the City Manager’s Marine Passenger Fee Recommendations. That’s a list of recommendations for how to spend $5 million (of $12 million) that CBJ gets in marine passenger fees.
The Finance Committee will hear presentations from heads of Airport, Docks & Harbors and Aquatics Board.
We’re about to start the budget process. Here’s what you need to know:
The City Manager’s preliminary budget totals about $331 million. That includes about $87 million for the Juneau School District, roughly $91 million for Bartlett Regional Hospital, and about $29 million for capital improvement projects. The rest goes to general government departments and other enterprise organizations.
Going into this budget cycle, we need to address a $1.9 million revenue shortfall to get to a sustainable budget. A sustainable budget is when operating costs equal revenues.
City staff is proposing to take $1.4 million from savings (we’d still have about $9 million left in savings) and to come up with $500,000 in efficiencies or reductions. ThePriority Driven Budgetprocess, which allowed community members to prioritize CBJ services and programs, will factor into these decisions.
Keep in mind that there are still a lot of moving pieces, like the State of Alaska’s budget and pending requests from various agencies and organizations for more money. The budget hole could initially get bigger.
In addition to the information on this page, here are some other places where you can learn more about the CBJ budget
Assembly Finance Committee – On this page, you’ll find the AFC’s up-to-date calendar, adopted legislation, and an archive of agendas and minutes. Scroll down to see the AFC’s upcoming meeting dates, agendas, and minutes.
Adopted CBJ Budgets – Want to dive deeper into the CBJ budget? Here you can see the full-detail current and past year adopted budgets.
Priority Driven Budget (PDB) – Learn about the PDB process here, the CBJ’s community input model for the current-year budget
Provide Direct Feedback – In addition to attending AFC meetings, which are open to the public, you can ask questions and give comments directly to the CBJ Manager’s office and your Assembly members.
The budget process
City Manager Rorie Watt will present the preliminary budget for fiscal year 2018 on April 5 during a Special Juneau Assembly meeting at 5:30 p.m., followed by an Assembly Finance Committee meeting in Assembly Chambers. The preliminary budget includes the CBJ operating budget, the Juneau School District general operating budget, capital improvement projects, and the property tax mill levy rate.
The CBJ operating budget includes general government and enterprise organizations. General government includes departments like Juneau Police Department, Capital City Fire/Rescue and Parks & Recreation. Enterprise organizations are Bartlett Regional Hospital, Juneau International Airport, Docks & Harbors and Water & Sewer.
From April to mid-May, the Juneau Assembly Finance Committee analyzes the City Manager’s preliminary budget and holds a series of public meetings to identify specific concerns through conversations with residents, advocates, and city agencies.
Following the preliminary budget presentation on April 5, Assembly Finance Committee meetings will be held on April 12, April 19, April 26, May 3, May 10, and May 17. Meetings start at 5:30 p.m. in Assembly Chambers (unless otherwise noted).
The public can comment on the CBJ operating budget, the Juneau School District general operating budget, capital improvement projects, and the property tax mill levy rate at a public hearing during a Special Juneau Assembly Meeting on April 26 at 5 p.m.
The Finance Committee is scheduled to make a preliminary decision on the Juneau School District budget funding during a Special Juneau Assembly Meeting on April 26 at 5:00 p.m. Then, the Juneau Assembly plans to adopt the Juneau School District general operating budget at a Special Juneau Assembly Meeting on May 17.
In accordance with CBJ Charter Section 13.6 (b), the Assembly must determine the amount to be made available from local sources for school purposes by May 31.
Remaining Budget Adoption
The Juneau Assembly is scheduled to adopt the CBJ operating budget, capital improvement projects, and the property tax mill levy rate during a Regular Assembly Meeting on June 5.