FY2020 Budget

Other Major Revenues

Other major revenue sources for the Town include the Utility Franchise Tax, the Wake County Fire Tax and Video Programming Fees:

o Utility Franchise Tax is projected to generate $1,640,000, which is 2% growth over estimated Fiscal Year 2019 revenues and 4.6% of total General Fund Revenues. Utility Franchise is relatively static, illustrative of continued population growth and economic conditions for natural and electric sales tax increases, while offsetting declines experienced statewide with telecommunications revenues resulting from fewer landlines. o The Wake County Fire Tax projected revenues of $854,500 represent the Town of Morrisville’s cost share allocation from Wake County for fire protection and mutual aid and remain static for Fiscal Year 2020. This resource remains subject to potential change in the future. o Video Programming revenues of $693,700 reflect no growth over estimated Fiscal Year 2019 projections and is approximately 2% of total revenues. This resource reflects the change in consumer market from cable TV to streaming services. Development Services Permits and Fees (Planning, Engineering and Building Inspections) remain strong, and have been increased 3.6% over Fiscal Year 2019 estimates based on assumptions resulting from strong permitting activity in commercial development, while recognizing a slowing trend in residential permits. This budget estimate remains more conservative than other revenue estimates due to the unpredictability of construction activity. Recent statutory authority restricts the usage of inspections fees strictly for the activities required to provide inspection services. Staff is working to meet reporting requirements defined by the Local Government Commission beginning with the Fiscal Year 2019 audit. Parks and Recreation Programs and Facility Revenues are projected to remain comparable to Fiscal Year 2019 and are influenced by MAFC’s partial year closure in FY 2019 and planned for FY 2020. A comprehensive review and evaluation of existing and projected growth (and related increased expenditures) from a renovated and reopened MAFC facility is underway during the facility closure and will more directly impact Fiscal Year 2021 budget preparation.

Other intergovernmental revenues (Powell Bill, Beer & Wine, Rental Vehicle and Solid Waste Disposal) remain comparable to current year budget estimates.

User Fees

The Town assesses a variety of User Fees for Town services including administration fees, inspection permits, police alarm fees, fire department services, and permit fees. During the Fiscal Year 2020 budget development process, departments evaluated fee structures and rates for market comparability, value for services provided, and cost recovery, where appropriate. Changes in these fees for service have been recommended and are illustrated in the User Fee Schedule included in the budget document.

Moderate changes to some development fees are proposed in the user fee schedule. An annual update to the parkland payment in lieu (Multi-Family) per unit rate is also included.

Parks and Recreation fees reflected in the budget are reviewed regularly and are periodically adjusted for market rate fluctuations outside of the annual budget review cycle.

19