2012 Borough budget process begins

MAT-SU— Tuesday night, Acting Borough Manager Elizabeth Gray gave an overview of the Matanuska-Susitna Borough Manager’s proposed budget for 2012. The proposal aims to maintain services to the public while minimizing the effects of the mill levy.

The Matanuska-Susitna Borough Assembly will likely make amendments to the budget. Lowering the mill rate or tax levy is always a priority. A mill levy is the number of dollars a taxpayer must pay for every $1,000 of assessed value on property. The proposed comprehensive budget of $378.9 million includes a slight increase in funding for the school district. The school district budget makes up 74 percent of the overall budget.

Click on player on upper right to hear Acting Manager Elizabeth Gray begin her overview.

View the pdf of the presentation here: Proposed 2012 Budget Overview

Among the demographic highlights for the MAT-SU: average assessed values on homes has fallen slightly from last year. Assessed valuation of construction has risen over last year. The MAT-SU population grew 50 percent in the past decade to 88,995 in the 2010 U.S. Census.

The workforce remains lean with one full time employee per 332 residents at the MAT-SU Borough versus one full time employee per 107 residents in Anchorage.

A proposed mill rate of 10.063 reflects a fractional increase in the Areawide and Non-areawide funds. A 0.107 increase in the Areawide mill levy is proposed due to voter approved debt for school building upgrades. The Areawide fund pays for services in the Borough and cities such as emergency medical response. A 0.02 increase is proposed for the Non-Areawide mill levy. The Non-Areawide fund pays for services outside of cities such as libraries and Animal Care. The proposed mill rate is below the tax revenue cap.

The sound Borough finances helped improve the Borough’s bond ratings this year. Standard & Poor upgraded the Borough’s rating to AA+, and Fitch to AA.  Finance Director Tammy Clayton said the new bond ratings saved taxpayers nearly $1.9 million recently when new bonds for school repairs were sold at a better rate.

The budget process began this week with Borough directors giving presentations on departments to Assembly members. More department overviews continue during a work session in the Assembly chambers on April 26,  at 10 am, including the presentation of the School District budget.

The first public hearings on the Borough budget are May 4 and May 5 at 6 pm at the Central MAT-SU Public Safety Building at 101 W. Swanson Ave. in Wasilla.

May 10 and May 12  at 6 p.m. are scheduled for budget deliberations in Palmer at the Borough building, Assembly chambers.

A link to the full budget is on the front of the Borough web site at www.matsugov.us

For more information call Public Affairs Director Patty Sullivan at 355-0103 This email address is being protected from spambots. You need JavaScript enabled to view it. or Acting Borough Manager Elizabeth Gray at 745-9687.