HomeMy Public PortalAboutTOL PR 2012-03-14 FY13 budget
Town of Leesburg
News Release
For Immediate Release
Leesburg Town Council Adopts Long Range Financial Plan
Unanimously adopted FY 2013 Budget is first step in implementation of plan
Leesburg, VA (March 14, 2012) – On Tuesday, March 13, 2012, the Leesburg Town Council
adopted both a new long-range financial plan extending through Fiscal Year 2025 and the Fiscal
Year 2013 Budget. The long-range financial plan is based on a 12-year forecast of Town
revenues and expenditures, and is focused on minimizing the impact of future debt service
payments on real estate taxes. With the unanimous adoption of the FY 2013, the Council began
the implementation of the new long-range financial plan.
“In the FY 2013 Budget, the Council made several significant changes to implement the long-
range financial plan,” explained John Wells, Leesburg’s Town Manager. “Most importantly,
they created a Debt Service Reserve fund. By looking at our projected revenues and
expenditures over the next 12 years, we know that we will see a significant increase in debt
service payments in FY 2017. Over the next four years, any excess funds at the end of each
fiscal year, once our obligations to the other reserve funds are met, will go into the new Debt
Service Reserve fund. Beginning in FY 2017, we will use these accumulated funds to cover the
increase in the debt service payments, rather than raise the real estate tax rate.”
“Over the last several years, the Council made some very difficult budget decisions, aimed at
reducing annual budget’s reliance on leftover funds from the previous year to balance,” Wells
continued. “Beginning with the FY 2011 Budget, the Town no longer uses carryover funds to
balance the budget. Creation of the Debt Service Reserve fund would not have been possible if
we still relied on excess funds from the previous year to cover the current year’s expenditures.”
The newly-adopted FY 2013 Budget and the FY 2013-2017 Capital Improvements Program is
available for download from the Town’s website at www.leesburgva.gov/budget.
Contact:
Norm Butts
Finance Director
nbutts@leesburgva.gov
703-771-2720
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