A REPORT TO OUR CITIZENS Fiscal Year 2015
TABLE OF CONTENTS PROFILE OF THE CITY OF SUFFOLK, VIRGINIA PAGE 1 The present City of Suffolk was formed
City Profile and Demographic Information
PAGE 2
Performance Accomplishments and Fiscal Year 2015 Revenues
PAGE 3
Fiscal Year 2015 Expenses and Key Measures
PAGE 4
What’s Next?
January 1, 1974, from the consolidation of the City of Suffolk and the City of Nansemond (formerly Nansemond County). The City is Virginia’s largest city in land area and one of the top fifteen largest cities in land area in the nation with over 400 square miles of land mass and 30 square miles of waterways. The diverse landscape includes a mix of rural, suburban and urban development areas. The City is situated in the western portion of Hampton Roads, Virginia’s coastal plain area, and is bound by the James River to the north, the Cities of Chesapeake and Portsmouth to the east, the State of North Carolina to the south, and the Counties of Southampton and Isle of Wight to the west. The City of Suffolk is one of seven major cities that form the Norfolk-Virginia Beach-Newport News metropolitan area with 1.6 million people. This region is also known as the Hampton Roads area. The City’s government is
DEMOGRAPHIC INFORMATION
organized under the Council-Manager form of government. The governing body, the City Council, is composed of seven members and a Mayor who collectively develop policies for the administration of the City. The Mayor is elected at large and each Council Member is elected by borough in a city-wide election every other year, with terms of office being four years. The City Council appoints a City Manager to act as administrative head of the City. The City Manager serves at the pleasure of City Council and carries out the City Council’s policies and directs business procedures. The City Manager also appoints the directors of all departments. As a full service city, Suffolk provides a broad range of municipal services authorized by statute or charter. These services include education, public safety, highways and streets, parks and recreations, sanitation, health and social services, public improvements, planning and zoning, public utilities, storm water management and general administrative.
FISCAL YEAR
FISCAL YEAR
2014 2015 Population 87,831 89,586 Unemployment Rate 6.0% 5.2% Full-Time Equivalent City Employees 1315 1321 New and Expanding Businesses** 85(a) 64(b) Per Capita Income** $41,749(a) $45,390(b) Median Household Income** $66,085(a) $66,822(b) rd 3 Highest in Region ** Most recent data available for New and Expanding Businesses, Per Capita and Median Household Income is Calendar Years 2013(a) and 2014(b)
HOW ARE WE DOING?
PERFORMANCE REPORT ON ACCOMPLISHMENTS AND KEY MEASURES
The City’s Finances
FISCAL YEAR 2015 ACCOMPLISHMENTS
Revenues an
• Achieved the highly acclaimed and much lauded Triple A (AAA) rating following an upgrade by Standard & Poor’s Ratings Service on the City’s outstanding General Fund Revenue by Source (In Millions) general obligation bonds and long term rating, and also received bond upgrades from Moody’s (Aa2 to Aa1) and Fitch (AA+ to AA+ with a positive outlook). Soon after the close of FY15, achieved a second upgrade to AAA by the Fitch Ratings agency. General Fund Revenue By Source (In Millions) • Achieved a current 3-year combined real estate and FY Ending FY Ending personal property tax collection rate of 99.85%. 06/30/2014 06/30/2015 Revenue by Source: • Initiated and implemented a new police body camera Real Estate and Personal Property Taxes $ 108.3 $ 110.6 program. Other Local Taxes 36.1 39.7 • Implemented Libraries Transforming Communities initiative by hosting Community Conversations in Permits, Fees and Regulatory Licenses 1.0 1.1 different areas of the city with a diverse audience. Fines and forfeitures 0.9 1.0 • Hosted the First Hampton Roads LogistiXGames in Revenue from Use of Money and Property 0.6 0.6 Suffolk. Charges for Services 3.5 3.6 • Received the Award for Outstanding Achievement Miscellaneous 1.2 1.3 in Popular Annual Financial Reporting Revenues from the and Expenditures State Revenue 20.0 19.8 Government Finance Officers Association of the Federal Revenue 5.0 5.0 United States and Canada (GFOA) and also received Transfers In 2.5 3.3 ____ General Fund Revenue by Source (In Millions) FYE 06/30/15 ________________________ a 2015 Silver Award of Distinction from The Academy Total Revenues $ 179.1 $ 186.0 of Interactive and Visual Arts for the City’s Popular Annual Financial Report (PAFR), the first ever report of this nature produced by the City. General Fund Expenditure by Function (In Mil General Fund Safety Revenue By Source (In Millions) training and • Revitalized Child Seat Program, FY Ending FY Ending re-certifying department personnel in installation of General Fund Expenditures by Function (In Millions) 06/30/2014 06/30/2015 Revenue by Source: child safety forPersonal citizens. Realseats Estate and Property Taxes $ 108.3 $ 110.6 FY Ending FY Ending • Conceptualized, and produced the Other Local coordinated Taxes 36.1 First 39.7 06/30/2014 06/30/2015 Expenditures by Function: Permits, Fees and Regulatory Licenses 1.0 1.1 Annual Suffolk Mystery Authors Festival. General Government Administration $ 14.0 $ 14.8 Fines and 0.9 1.0 • Coordinated theforfeitures 2014 National Night Out celebration Revenue from Use of Money and Property 0.6 0.6 Judicial Administration 7.3 7.6 and was Charges awarded the top national honor for our 3.6 for Services 3.5 Public Safety 48.0 49.0 population category marking the third time the Miscellaneous 1.2 City 1.3 Public Works 1.3 0.9 20.0 and 19.8 of SuffolkState hasRevenue been first in the nation (2008, 2009, Health and Welfare 12.9 12.8 Revenue 5.0 has 5.0 2014) andFederal the 9th straight year the City of Suffolk Transfers In 2.5 3.3 Education 49.1 51.1 placed inTotal theRevenues top 5 in the Nation for National Night 186.0 $ 179.1 $ Parks, Recreation and Cultural 7.8 9.0 Out. The City’s financial statements are audited annually by Community Development 7.6 8.6 • Instituted pilot transit routes for Northern Suffolk and General Fund Expenditure by Function (In Millions) FYE 06/30/15 ___________________________ an independent auditor. This audit resulted0.5in a clean1.8 Nondepartmental for connector service between Downtown, Chesapeake Transfers Out - Debt 24.8 26.6 audit opinion for Fiscal Year 2015. and North Suffolk. The latter service also provides a General Fund Expenditures by Function (In Millions) Transfers Out Other 4.6 5.6 critical connection to HRT and transit service for the FY Ending FY Ending Total Expenditures $ 177.9 $ 187.8 HamptonExpenditures Roads region. 06/30/2014 06/30/2015 by Function:
THE CITY’S FINANCES
GENERAL FUND REVENUE BY SOURCE (IN MILLIONS) FYE 06/30/15
The City’s Finances
General Government Administration
$
14.0
What would you like to see reported on this page? Judicial Administration 7.3 Please letPublic us know Safety by contacting the City’s Finance 48.0 Publicat Works Department FinanceEmail@suffolkva.us or 1.3 Health and Welfare 12.9 757-514-7500. Education 49.1 Parks, Recreation and Cultural Community Development Additional information is available Nondepartmental site, www.suffolkva.us. Transfers Out - Debt Transfers Out - Other
at the
$
7.8 City’s7.6 web0.5 24.8 4.6
14.8 7.6 49.0 0.9 12.8 51.1 9.0 8.6 1.8 26.6 5.6
WE WANT TO HEAR FROM YOU
Do you like this report? What other information would you like to see contained in this report? Please The City’s financial statements are audited annuallyat by an let us know by contacting the Finance Department FinanceEmail@suffolkva.us or 757-514-7500. opinion for Fiscal year 2015. Complete financial informati
We want to hear from you
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General Fund Revenue By Source (In Millions) Revenue by Source: Real Estate and Personal Property Taxes Other Local Taxes Permits, Fees and Regulatory Licenses Fines and forfeitures Revenue from Use of Money and Property Charges for Services Miscellaneous State Revenue Federal Revenue Transfers In Total Revenues
FY Ending FY Ending 06/30/2014 06/30/2015 $ 108.3 $ 110.6 36.1 39.7 1.0 1.1 0.9 1.0 0.6 0.6 3.5 3.6 1.2 1.3 20.0 19.8 5.0 5.0 2.5 3.3 $ 179.1 $ 186.0
ues and Expenditures REVENUES AND EXPENDITURES
illions) FYE 06/30/15________________________
ding 2015 110.6 39.7 1.1 1.0 0.6 3.6 1.3 19.8 5.0 3.3 186.0
(In
ding 2015 14.8 7.6 49.0 0.9 12.8 51.1 9.0 8.6 1.8 26.6 5.6 187.8
____
KEY MEASURES
2014 comparison 2015 2014 to projected Projected
Community Indicators
2013 Public Safety Average Police response times to priority 1 calls (in minutes) 5:47 5:42 Did not meet Number of Animal Adoptions 849 894 Exceeded Average fire response times (in minutes) 6:36 6:59 Did not meet Number of Fire/Safety Inspections 818 841 Exceeded General Government Administration Unassigned General Fund Balance Level at/above 12% per city policy 12.6% 14.5% Exceeded Number of Participants in Tax Relief Programs (Elderly/Disabled, and Veterans) 1,905 1,908 Met Real Estate Tax Collection Rate 97.8% 98.1% Exceeded Judicial Administration Circuit Court Number of Civil Cases Closed (numbers reported on the calendar year) 991 1,073 n/a Number of victims and witnesses assisted by Commonwealth's Attorney office 5,740 5,305 Below Public Works Tons of Refuse collected annually 33,463 36,542 Exceeded
GENERALFund FUND Expenditure EXPENDITURE BY General byFUNCTION Function (In Millions) FYE 06/30/15___________________________ 996 (IN MILLIONS) FYE 06/30/15 General Fund Expenditures by Function (In Millions)
FY Ending FY Ending 06/30/2014 06/30/2015 Expenditures by Function: General Government Administration $ 14.0 $ 14.8 Judicial Administration 7.3 7.6 Public Safety 48.0 49.0 Public Works 1.3 0.9 Health and Welfare 12.9 12.8 Education 49.1 51.1 Parks, Recreation and Cultural 7.8 9.0 Community Development 7.6 8.6 Nondepartmental 0.5 1.8 Tons of Recycled Refuse collected 5,408 Transfers Out - Debt 24.8 26.6 Health and Welfare Transfers Out - Other 4.6 5.6 Percent of Children with primary health Millions) FYE 06/30/15___________________________ care provider within two months of Total Expenditures $ 177.9 $ 187.8 enrollment
Student Enrollment (numbers reported on a school year basis)
High School Graduation Rate (Four Year Cohort)
5:48
6:59 851
14.3% 1,939 98.0% n/a 5,464 37,000
5,713
Exceeded
5,500
100% Education
100%
Met
100%
14,476
14,365
n/a
14,383
The City’s financial statements are audited annually by an independent auditor. This audit resulted in a clean audit (numbers reported on a school year basis) 87.2 86.4 n/a 86.2 opinion for Fiscal year 2015. Complete financial information can be found on ourTransportation website at www.suffolkva Ridership
We want to hear from you
Do you like this report? What other information would you like to see contained in this report? Please let us know by contacting the Finance Complete information can be found on our Department financial at FinanceEmail@suffolkva.us website at www.suffolkva.us. 757-514-7500. ly by an independent or auditor. This audit resulted in a clean audit Please see the City’s website at nformation can be found on our website at www.suffolkva www.suffolkva.us for additional information, including the City’s Comprehensive Annualwebsite Financialat Report Please see the City’s www.suffolkva. and additional the City Profile and Statistical Digest. the City’s us for information, including Comprehensive Annual Financial Report and the City Profile and Statistical Digest.
59,012 65,715 Below 71,090 Parks, Recreation and Cultural Library Circulation 310,475 327,446 Exceeded 330,000 Community Development Percent of inspections performed within 2 business days or less (numbers reported on the calendar year) 99% 99% Met 99% New Residential Building Permits (numbers reported on the calendar year) 545 334 Below 338 2014 Economic Development -- Amount of comparison 2015 Capital Investment (In millions) to projected Projected 2013 2014 (numbers reported on the calendar Year) $94.0 $116.0 Exceeded $90.0
Community Outreach Commonwealth Attorney number of community outreach programs attended 71 Police Emergency 911 - Citizen surveys conducted 240 Fire Safety House Presentations 35 Emergency Management - number of training exercises conducted 3 Health Department, number of males participating in pregnancy planning/prevention programs 232
125
Exceeded
128
224 37
Met Met
240 39
7
Exceeded
7
271
Exceeded
274
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WHAT’S NEXT?
OUR COMMITMENT TO SUFFOLK
Suffolk is the fastest growing city in Hampton Roads and is well positioned for continued growth and prosperity. With several positive indicators of growth in 2015, Suffolk continues to attract new business and investment, create jobs, and provide an invigorating economic climate for expansion. I am very excited about the coming successes of 2016 and beyond! ~ Patrick Roberts, City Manager
UPCOMING CAPITAL PROJECTS
The City has adopted a ten year Capital Improvement Plan to cover the needed improvements throughout the city. Some of these improvements include: • New Elementary School • New Middle School • Fire Station 1 Renovations • Public Works Operations and Maintenance Facility • Bennett’s Creek Recreation Center
IT ’S A GOOD TIME TO BE IN SUFFOLK • • • •
Economic Development efforts brought 448 new jobs to Suffolk. New and existing businesses have invested $116 million in creating or expanding business in Suffolk. The real estate tax rate of $1.03 per $100 of assessed value is the 2nd lowest in the region. School enrollment has increased by 7% over the last 10 years.
ABOUT CITIZEN CENTRIC REPORTING
The Association of Government Accountants (AGA) developed guidance on producing Citizen Centric Reporting as a method to demonstrate accountability to residents and answer the question, “Are we better off today than we were last year?” Additional details can be found at the AGA Website: www.agacgfm.org/ citizen/
THE CITY’S ECONOMIC OUTLOOK AND MOVING FORWARD
The City is committed to being responsible stewards of our taxpayer dollars and will continue to address the strategic needs and priorities of the City through the implementation of cost reduction strategies. A good measure of the City’s ability to cope with unexpected financial challenges or emergencies is the ratio of unassigned General Fund balance as a percentage of the budgeted governmental funds expenditures. The target for this ratio is 12%. The City has exceeded this target by 3.3% for FY2015. The Economy of Suffolk is continuing to grow as evidenced by the following trends: • • •
Unemployment is 5.2%, down from 6.0% in the previous year. Median Home sales price is $251,000, up from $247,800 last year. Median Household Income is $66,822, up from $66,085 last year.
As the City continues to attract residents and businesses alike to live, work and play within its boundaries, we are challenged with the negative impacts of the 12 miles of railroad tracks which traverse throughout the community. The increased port activity results in long, slow trains that hold up traffic at railroad crossings and adversely affect businesses and residents along the rail corridor. Working with lawmakers to identify and implement funding solutions to address these impacts will continue to be a priority for City leaders. The Suffolk City Council recently adopted a new vision for the City which sets the course for the City over the next 20 years. Vision 2035 is as follows: Suffolk is a vibrant and fiscally strong community leading the region in advancements in education, comprehensive transportation, public safety and diverse economic growth while continuing to preserve its rural heritage and enhancing its neighborhoods and urban centers. Throughout 430 square miles of rich land and pristine waterways, citizens and tourists treasure the beautiful trails, rivers and open spaces. Residents, visitors and merchants delight in the revitalized downtown featuring cultural, educational and recreational opportunities. Diverse shopping, businesses and entertainment venues abound. A sense of harmony and pride permeates this rare community, where crime is low; where schools are cutting edge; where people and goods move safely and efficiently throughout the City; and where citizens receive valuable services and have opportunities to be engaged. Suffolk is the desired destination of the Hampton Roads Region. The City will achieve this by focusing on the following Priorities: • • • • • • • •
Expanded Economic Development Public Education Leisure, Health, and Wellness Transportation Public Safety Financial Stability Growth Management and Comprehensive Planning Civic Engagement and Responsive Citizen Services
Over the next few months, staff will communicate the Vision and Priorities to the organization, and develop work plans for implementation.
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