Random Thoughts: Time No Longer Permits An Optimum Solution

A year ago with inklings that less revenue would be available for the Calvert County FY13 budget, common sense told me it was unrealistic to build the FY13 budget using the same process as previous years (back in the days when the revenue was increasing).

That Calvert County continued using the same process to build the FY13 budget that I disagreed with does not stop me from trying to find a reasonable solution to finalizing the FY13 budget. Time no longer permits an optimum solution.

Time is running out to begin the necessary background work to find an optimum build for FY-14, but not yet to change course targeting improvements for FY-15.

Previous ‘Salami Slicing’ approach (5% cut in FY-11, 5% cut in FY-12, and 3% cut in FY-13) is not Strategic Guidance, but rather a Symptom of taking the wrong approach to building a budget. Though easy for those ‘giving guidance’, the result is unbalanced.

Finding savings from common functions (Transportation, Information Technology, Inventory/Supplies, Procurement) between the school system (Board of Education) and the County Government was not explored, though it should. The quick negative response by the BOE to this earlier suggestion is proof that a bureaucratic reaction occurred instead of an objective analysis.

That the previous education “funding formula” was employed without an agreement for revision means use of Maintenance of Effort (MOE) – same amount of funding per pupil as previous year, is appropriate.

To even consider education funding increases above MOE requires a more detailed understanding of the school budget (much more detail than the school system provided). Time does not permit an optimum solution.

Trying to do prioritizations now is like a parent trying to select a ‘favorite child.” Prioritization should be done during the early stages of a budget build, not at crunch time. Time no longer permits an optimum solution.

Had an alternative process been used to build the FY-13 budget, various options would have been explored to include: Downsizing Plan, Privatization Plan, Out Sourcing Plan, Early Retirement Plan, and others. None of these tools are now available to assist.

It is way too early to even ponder tax rate increases. Too many savings can be found within the current budgeting for both the BOE and County Government.