About Operating Budget Model
With the Board of Directors' adoption of the Operating Budget Model at the December 1, 2020 meeting, the annual budget process has begun. The purpose of the Operating Budget Model is to ensure that resources are budgeted for those items that have been identified by the Board, staff and community members as providing quality and necessary services to the membership.
Current Status of Budget Development
Each department manager is currently hard at work compiling their proposed budgets for the fiscal year 2021/22 for review by the General Manager and the Controller. The Finance Committee will begin reviewing department budgets in early January 2021. Using the Operating Budget Model as a basis for discussion, Finance Committee members will meet with each department manager to review their proposed budget.
Mandated increases to the Operating Budget, such as the effect of any required wage escalations, adjustments to service contracts, utilities, taxes, and insurance are being included. Also under consideration are modifications to ongoing activities based on the 2020/21 goals set by the Board, such as automating member services, improving community patrol services, expanding communication within Canyon Lake, and implementing projects. These will be considered, and the discussions will, in general, center around the following questions:
- Why should this amount be included in the budget?
- How does the item or service create value for the members, staff, or other stakeholders?
- Does the value of the item or service justify its cost, or is there another reason to include it?
Next Steps
Upon review of the individual department budgets, the Finance Committee will convene in late January 2021 to review any anomalies that have surfaced based on the individual reviews.
The proposed budget is presented to the Board and the community at the Budget Workshop currently scheduled for February 18, 2021. Input from the community will be greatly appreciated. At the Budget Workshop, the Board will discuss the proposed budget with staff, ask questions, listen to Finance Committee members and community member comments, consider the proposed assessments, and provide direction to staff as to how the Board wishes to proceed.
The final budget is presented to the Board of Directors at the March 3, 2021 Open Session Meeting for approval.
