Comprehensive Annual Financial Report FY 2016

The budget serves as the foundation for the City’s financial planning and control. Annually, the City Manager presents a proposed budget to Council for review as well as to the citizens of Greensboro for questions and/or concerns. North Carolina General Statutes require all governmental units to adopt a balanced budget by July 1 of each year for all funds for which a budget is required. Activities of the General Fund, Special Revenue Funds (except for Grant Project Funds), Debt Service Fund, and Proprietary Funds are included in the annual appropriated budget. Project-length financial plans are adopted for Grant and Capital Projects Funds. The City Manager may make transfers of appropriations within funds and department heads may make transfers of appropriations within a department. Transfers of appropriations between funds, however, require approval by the City Council. Budget-to-actual comparisons are provided in this report for each individual governmental fund for which an appropriated annual budget has been adopted. Budgetary control is facilitated by the use of a personnel/payroll data system that requires every position, including applicable fringe benefits, be budgeted. Also, the North Carolina General Statutes require an encumbrance system and a finance officer’s “preaudit” certification that budgeted funds are available prior to the placement of all purchase orders, contracts and electronic payments. Outstanding purchase orders and contracts are reported as a restriction of fund balance at June 30, 2016 in the category “Stabilization by State Statute.” The appropriated budget is prepared by fund, function (e.g., public safety), and department (e.g., police). A budgetary comparison for the General Fund is presented beginning on page 12 as part of the Basic Financial Statements. Detailed budget to actual comparisons for other funds with annual and project-length budgets are presented in the supplementary information subsection of this report, which starts on page 68. COUNCIL BUDGET PRIORITIES Four strategic goals are the primary focus of funding within the City’s budget:  Economic Development and Job Creation – The City’s approach to economic development focused on promoting job creation, facilitating private business and expansion, utilizing community development grants, bonds and other resources to advance economic development and infrastructure development, and providing enhanced access to City contracting opportunities. The Economic Development Fund is supported by a one-half cent property tax levy that generates approximately $1.3 million per year. In FY 14-15, the City revised its Minority and Women’s Business Enterprise (MWBE) program with a new coordinator and staff. In FY 15-16, the program advanced the City’s goals of promoting an inclusive bidding process and in FY 16-17 it will conduct a disparity study update to assess the effectiveness of the City’s efforts to achieve MWBE goals and make recommendations for program improvements. The FY 15-16 and FY16-17 budgets include funding for the Gateway Corridor, renamed Gate City Boulevard (formerly High Point Road/West Lee Street), the Union Square Campus and the Renaissance Center project, which will bring economic revitalization and a new grocery store co-op to the Phillips Avenue area. The Recommended Budget also includes continued support for various economic development and cultural partners such as the Greensboro Community Development Fund, East Market Street Development Corporation, Chamber of Commerce, Triad Stage, the 17 Days Arts and Cultural Festival, and the National Folk Festival.  Public Safety – Closely aligned with the City’s economic development strategic goal is the organization’s desire to promote public safety and reduce crime. A safe community is a critical component of an economically vibrant community. During fiscal years 2014-15 and 2015-16, City Council authorized 12 total additional fire fighter positions. The Recommended FY 16-17 budget adds six more positions. These 18 total new positions will increase the manpower availability on all Fire Department ladder companies to the recommended four positions per shift. The Reedy Fork Fire Station opened in September 2015. This station serves the already developed Reedy Fork area and provides fire and rescue coverage for future residential and commercial development in the area. During the FY 14-15 year, the Chief of Police established six strategies to transform the Police Department into a national model for exceptional policing. Among the most significant strategies implemented in 2016 are Neighborhood-Oriented Policing and revisions to training for recruits in the 100th Police Academy. Instruction provided to recruits focuses heavily on interpersonal communication skills, problem solving and the use of technology to prevent and solve crimes. Police, Libraries and Parks and Recreation continue their collaboration to provide

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