Caddigan forming budget committee
The Board of County Supervisors will be setting the tax rate in April. Complicating that task is the fact that lawmakers returned to Richmond in January faced a shortfall of nearly $4 Billion over a 2 year period. The net cost of unfunded mandates imposed on Prince William County by federal and state governments is approaching $350 Million annually; $100 Million to the County and $250 Million to schools. We are not in a position to take on any new unfunded mandates and have asked our delegation to allow flexibility to localities. These unfunded mandates cover a variety of services such as correctional and law enforcement services, court services, environmental and planning mandates, at-risk youth and family services, adult protective services, emergency services for the mentally ill and administrative mandates. The County is in the midst of the worst recession we have experienced in many decades. In 2008-2009 the county economy was already suffering through the most severe downturn in the housing market in 17 years. The real estate market eventually froze during the first half of 2008 with prices plummeting and very few sales recorded; most of them in the lowest price ranges. The combination of steeply lowered prices and dramatic volume was in large part due to the rapid rise in foreclosed and distressed properties across the County during the year. The housing sector will adversely impact on County revenues until the cycle runs its course.
In response to the economic conditions last year the County froze salaries, deferred voter-approved roads, parks and library bond projects that are not already underway. Education funding is of great concern. The Commonwealth has already reduced FY 2010 K-12 general funds by almost $800 Million. That reduction has been partially offset by federal stimulus funding. Both state and local revenue problems will be compounded when federal stimulus funding ends in 2011.
Prince William schools will be adding an estimated 3,500 new students this year. Most of that growth results from families purchasing foreclosed properties.
As I stated earlier this will be a difficult year for the Board of Supervisors. I am organizing a budget committee of constituents to review the proposed budget over the next few months and I seek your input. If you are interested in serving as a member of this very important group please contact my office at 703/792-4645 or e-mail me at mcaddigan@pwcgov.org.
