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Financial and Management Services
VOTERS
Board of Supervisors
County Administrator
Deputy County Administrator
Financial and Management Services
Finance Purchasing
Budget Summary
FY 20 FY 20 FY 21 FY 22 FY 22 FY 22 Change Rec. 22/
EXPENDITURES BY DEPARTMENT
Revised Actual Approved Base + Addenda = Recommended App. 21
Finance $1,023,537 $1,005,966 $1,032,513 $800,595 $20,000 $820,595 $(211,918)
Purchasing $187,089 $183,416 $192,947 $197,855 $- $197,855 $4,908
TOTAL EXPENDITURES $1,210,626 $1,189,382 $1,225,460 $998,450 $20,000 $1,018,450 $(207,010) EXPENDITURES BY CLASSIFICATION
Personal Services $1,036,005 $1,022,338 $1,051,970 $830,960 $- $830,960 $(221,010) Operations & Maintenance $174,482 $166,906 $173,490 $167,490 $20,000 $187,490 $14,000 Capital Outlay $139 $138 $- $- $- $- $- TOTAL EXPENDITURES $1,210,626 $1,189,382 $1,225,460 $998,450 $20,000 $1,018,450 $(207,010)
REVENUE BY CLASSIFICATION
Local Recovered Costs
TOTAL DESIGNATED REVENUE
$70,000 $81,706 $70,000 $70,000
$70,000 $81,706 $70,000 $70,000
$70,000
$70,000
TOTAL UNDESIGNATED REVENUE
TOTAL REVENUES $1,140,626 $1,107,676 $1,155,460 $928,450 $20,000 $948,450 $(207,010)
$1,210,626 $1,189,382 $1,225,460 $998,450 $20,000 $1,018,450 $(207,010)
About
Financial and Management Services (FMS) is responsible for ensuring the integrity of public funds by developing and monitoring compliance with internal controls and financial policies and procedures. The division is responsible for payroll, accounts payable, risk management, and purchasing. FMS also provides County Administration with financial reports and performs billing, collection and customer service for the Public Service Authority (PSA). The division also provides financial services to the Economic Development Authority (EDA), the Metropolitan Planning Organization (MPO), the Montgomery County Joint Tourism program, the New River Valley Emergency Communications Regional Authority (911 Authority), and the MBC Development Corporation.
Finance
The Finance Department maintains accounting records related to the County’s financial system and prepares and distributes monthly expenditure reports. Finance also processes invoices for payment, payroll, and all state, federal and IRS earnings-related forms. In addition, the Finance Department performs billing, collection and customer service functions for the Public Service Authority.
Purchasing
The Purchasing Department assists County departments with purchases of $2,500 or more on an as-needed basis. Formal invitations for bid and requests for proposal are developed, issued and awarded in accordance with the Virginia Public Procurement Act. Purchase orders are issued upon award of the solicitations.
Highlights
• The Finance team received the Government Finance Officers Association’s Certificate of Achievement for
Excellence in Financial Reporting for the 33rd consecutive year. • Administered the CARES Act funding of approximately $18 million for the entire County, including the towns of Blacksburg and Christiansburg. • Assisted with the review and processing of CARES Act grants for small businesses, non-profits, childcare providers, hotels/motels and dining expansion in the towns of Blacksburg and Christiansburg and
Montgomery County. About 300 grants were paid totaling approximately $3.4 million dollars.
Personnel
DEPARTMENT
Finance Purchasing
TOTAL FY 21 Approved FTE
9 2
11 FY 22 Recommended FTE
7 2
9 Change
-2 0 -2
Base Budget Discussion
The base budget is the estimated minimum cost for providing continued services/operations for each division/ department. It is based on the prior year approved budget with adjustments. This budget shows how much it would cost in the next fiscal year to operate the same programs in the current fiscal year. • Base Salary and Fringe Benefit Adjustments – The FY 21 approved budget included a 3% compensation increase that was contained in Special Contingencies. These funds were distributed to County divisions off cycle during the budget year. In addition to the 3% compensation increase added to the base budget, the budget also includes an increase in the unemployment insurance rate from 0.23% to 0.53%. All other fringe benefits rates remain unchanged. • Budget Function is Transferred to County Administration – For FY 22, the budget function is being transferred from the Finance Department to a new department within County Administration. $223,070 and 2 FTE are transferred from the Finance Department to a new Management and Budget department in County Administration. This structural change is made for better operational efficiency.
Addenda & Reductions Discussion
Addenda consist of dollars over and above the base budget target for operating and capital outlay expenses. Recommended addenda items are often funding provided for new initiatives or expanded services but may also include normal cost increases. Addenda reductions may reflect reduced revenue and/or expense needed to equalize revenue shortfalls. • $20,000 is Added for Increased Audit Fees – Additional funding has been added to cover the cost of new reporting requirements by the Auditor of Public Accounts for additional internal control audits, actuarial fee increases, and financial advisor increases. Audit fees have not been increased since FY 2012. This increase will provide the Finance Department with sufficient funding to cover these increased expenses.
