2020 Comprehensive Annual Financial Report

The City of Greensboro’s total budget for the 2020-21 fiscal year has been approved for $602.4 million. The budgeted property tax rate remains the same at 66.25 cents per $100 property value. The City’s last property tax increase was a year ago for the fiscal year 2019-20 budget with an increase of three cents from 63.25 to 66.25 cents per $100 property value, primarily to support debt service. Water and sewer rates will remain the same for FY 2020-21, with a rate increase of 4.5% projected for FY 2021-22. Residents still maintain one of the lowest water and sewer rates in North Carolina. The budget also includes a $2.50 per household fee allowing the City to continue its recycling program. B. Long-Term Financial Planning As of June 30, 2020, the City has $43,785,000 in authorized (2016) and unissued general obligation bonds in the following functional areas to fund various governmental projects. We anticipate phasing the issuance of these bonds over the next five years in accordance with Greensboro’s capital improvement program, Council’s strategic priorities and the economic outlook, and as current bonds mature: Economic Development $14,635,000 Parks and Recreational Facilities 12,595,000 Transportation 9,955,000 Housing 6,600,000 The City continues to use a construction-draw note program to fund significant capital improvements with conversion to permanent financing typically within two to three years. This includes an $85 million note, issued in June 2020, for the water and sewer improvements for 2020-2022 capital projects. The $90.4 million project for the Steven Tanger Center for the Performing Arts (Tanger Center), with seating capacity of approximately 3,000, is located in downtown Greensboro and was completed in March 2020. The project was funded by a public/private partnership with $43.4 million in public funds provided by the City and $41.8 million in private funds raised by the Community Foundation of Greater Greensboro and approximately $5.2 million in other contributions. The facility, designed as a multi-use venue with diverse programming for all ages, is estimated to attract 300,000 patrons annually, extending educational opportunities for families through exposure to high quality performances in a local setting. Donor pledges towards funding of the project exceeded $40 million, including a single private pledge of $7.5 million from Steven Tanger, granting naming rights for the facility. Inside the Tanger Center are large lobbies, grand stairs, multiple elevators, pre-functionary spaces, a patio overlooking Lebauer Park and an expansive backstage working space to support the largest Broadway and traveling performing arts shows. The Tanger Center includes a first class performance line array sound system, an electronic acoustical enhancement sound system for symphonic events, and an LED lighting stage plot to bring the latest in technological enhancements to the state-of-the-art facility. The City plans to pay the debt service associated with such financing from a portion of the County’s hotel/motel occupancy tax revenues, facility fees and parking-related revenues. Although the new facility is completed, opening has been delayed due to pandemic restrictions imposed by the state.

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