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FY12_AdoptedBudget

VIEWS: 130 PAGES: 346

									               y,
 Hanover County, VA
County Administrator’s
Adopted FY12 Budget
              COUNTY OF HANOVER, VIRGINIA
                                            BOARD OF SUPERVISORS

                                               Deborah Winans, Chairman
                                                Mechanicsville District

                                           Aubrey M. Stanley, Vice Chairman
                                                  Beaverdam District

                                                    John E. Gordon, Jr.
                                                    South Anna District

                                                    Charles D. McGhee
                                                      Henry District

                                                    Robert R. Setliff
                                                  Chickahominy District

                                                      G.E. Via, III
                                                     Ashland District

                                                    Elton J. Wade, Sr.
                                                   Cold Harbor District

                                          COUNTY ADMINISTRATION

                                                 Cecil R. Harris, Jr, CPA
                                                  County Administrator

                                                 Joseph P. Casey, CPA
                                              Deputy County Administrator

                                                   Frank W. Harksen
                                              Deputy County Administrator

                                                     James P. Taylor
                                             Assistant County Administrator

                                              COUNTY BUDGET STAFF

                                              Kathleen T. Seay, CPA, CISA
                                      Director of Finance and Management Services

                                                    Shelly H. Wright
                                                 Budget Division Director

                                                    Leslie E. Beasley
                                             Budget and Management Analyst

                                                   Amanda L. Lickey
                                             Budget and Management Analyst




This document was prepared by the Department of Finance and Management Services, County of Hanover, Virginia, Post Office Box
470, Hanover, Virginia, 23069-0470. For additional information, contact the Department of Finance and Management Services at
(804) 365-6015, or e-mail shwright@co.hanover.va.us.




                                                             1
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                3
                                                                    Table of Contents

Board of Supervisors, County
  Administration and Budget Staff Listing ............1                              County Attorney............................................... 90
Hanover County Location Map ..............................2                          Commissioner of the Revenue ......................... 92
Table of Contents ...................................................4               Assessor ........................................................... 94
Vision Statement, Mission Statement and                                              Treasurer .......................................................... 96
  Value Statements ................................................6                 Finance and Management Services .................. 98
Mission Themes .....................................................7                Internal Audit ................................................. 100
How to Use This Document ...................................8                        Information Technology ................................ 102
                                                                                     Registrar ......................................................... 104
OVERVIEW                                                                           Judicial Administration .................................. 106
Overview of FY12 Budget                                                              Courts ............................................................. 107
County Administrator’s Letter ...............................9                       Clerk of the Circuit Court .............................. 110
Initiatives ..............................................................16         Court Services ................................................ 112
FY12 Budget Highlights ......................................19                      Commonwealth’s Attorney ............................ 114
Appendix to Administrator’s Letter .....................20                         Public Safety..................................................... 116
County and Departmental Achievements .............36                                 Sheriff ............................................................ 117
Government Organizational Chart .......................39                            Emergency Communications ......................... 120
History and Description of Government ..............40                               Fire/EMS ........................................................ 122
County Funds Structure and Basis of Budgeting..42                                    Pamunkey Regional Jail ................................. 125
Budget Process .....................................................45               Juvenile Court Services Unit .......................... 126
Fund Summaries                                                                       Community Corrections ................................. 128
  Summary of Revenues and Expenditures                                               Building Inspections ...................................... 129
     for All Funds .................................................48
                                                                                     Animal Control .............................................. 131
  All Funds FY12 Budget ....................................49
                                                                                   Public Works .................................................... 133
  General Fund ....................................................50
                                                                                     Public Works .................................................. 134
  School Funds ....................................................51
                                                                                     Public Works Operations ............................... 136
  Capital Funds ....................................................52
                                                                                     Recycling Service District ............................. 138
  Special Revenue Funds .....................................53
                                                                                     General Services ............................................ 139
  Enterprise Funds ...............................................54
                                                                                   Human Services ............................................... 143
  Internal Service Funds ......................................55
                                                                                     Health Department ......................................... 144
  Fiduciary Funds ................................................56
                                                                                     Social Services ............................................... 146
Five-Year General Fund Financial Plan ..........57
                                                                                     Community Resources ................................... 148
General Fund Expenditures
                                                                                     Tax Relief for the Elderly and Disabled......... 150
  General Fund Departmental Appropriations .....61
                                                                                   Parks, Recreation, and Cultural..................... 151
  Service Level Plan ............................................63
                                                                                     Parks and Recreation ...................................... 152
  FTE Summary Table.........................................67
                                                                                     Pamunkey Regional Library .......................... 154
General Fund Revenues
                                                                                   Community Development ............................... 157
  General Fund Revenue Detail ...........................69
                                                                                     Planning ......................................................... 158
  General Fund Revenue Information..................73
                                                                                     Economic Development ................................. 160
                                                                                     Virginia Cooperative Extension ..................... 162
GENERAL FUND
                                                                                     Soil and Water Conservation District............. 164
Department Descriptions
                                                                                     Community Support ....................................... 166
General Government Administration ...............83
                                                                                   Non-departmental............................................ 171
 Board of Supervisors ........................................84
                                                                                   Debt Management............................................ 173
 County Administrator .......................................86
 Human Resources .............................................88



                                                                               4
                                                                 Table of Contents

OTHER FUNDS                                                                    SUPPLEMENTAL DATA
Other Funds Summary ....................................177                    Budget Policies, Regulations and Directives
Community Services Fund ..............................178                        Budget Directives........................................... 305
Comprehensive Services Fund ........................182                          Budget Policy ................................................. 306
Schools Fund                                                                     Budget Regulations ........................................ 310
  School Fund ....................................................184            Debt Policy..................................................... 314
  Textbook Fund ................................................191              Fund Balance and Net Assets Policy ............. 315
  Food Service Fund ..........................................192                Fund Balance and Net Assets Regulations ..... 317
Economic Development Authority Fund ........193                                Budget Resolutions
Enterprise Funds                                                                 FY2012 Budget Adoption Resolution ............ 321
  Public Utilities Fund .......................................194               FY2012 Budget Appropriation Resolution .... 323
  Airport Fund ...................................................202            2011 Property Tax Rates Resolution.............. 325
Internal Service Fund                                                            Budget Related Ordinances & Resolutions .... 327
  Self- Insurance Fund .......................................204                Five Year CIP Resolution .............................. 329
Fiduciary Funds                                                                  Five Year Financial Plan Resolution .............. 331
  Bell Creek CDA..............................................206                General Obligation Debt Resolution .............. 332
  Lewistown CDA .............................................207               Supplemental Statistics ...................................... 335
CIP                                                                            Additional References ....................................... 337
  Capital Improvements Program ......................209                       Resumes of Certain County Officials ................ 338
  CIP Summary .................................................214             Glossary ............................................................. 339
  CIP by Function and Department
    General Government Administration ..........218
    Judicial Administration ...............................224
    Public Safety ...............................................226
    Public Works ...............................................231
    Parks, Recreation, and Cultural ...................239
    Education ....................................................242
    Airport .........................................................256
    Public Utilities.............................................260




                                                                           5
                      Vision Statement
Hanover – where a family of communities, inspired by its people,
traditions, spirit and history, is the foundation for its future.




                     Mission Statement
The mission of Hanover Government is to provide a superior quality
of life that is defined, encouraged and supported by the community
itself,
    Where government focuses efficiently and effectively on the
     general well-being, education and safety of the people, and
   Where service delivery is based on sound financial
    management practices, and
   Where growth is managed in creative and innovative ways




                      Value Statements
   Commitment to Hanover Vision and Mission
   Open and Responsive Leadership that Promotes Trust
   Effective and Compassionate Government Focused on Citizen
    Needs
   Accountability for Results, Actions and Outcomes
   Mutual Respect that Fosters Civility
   Encouragement of Pride, Dedication and Integrity
   Foster an Environment that Encourages Citizen Participation
    in their Government and Community




                                 6
        Hanover County Strives to Implement a
       Management-Led, Customer-Oriented Focus
Hanover’s Mission Themes of Quality of Life, Sustainability, and Well-being are achieved
through Mission Attributes of Community, Stewardship and Key Services. Under these
attributes are nine Mission Focus Areas as follows:




                                               QUALITY OF LIFE

        STEWARDSHIP                             SUSTAINABILITY                          KEY SERVICES

               Leadership                          WELL-BEING
                                                                                               Education
 -Effective Board of Supervisors and
                                                                                 -Quality Education for All
  Legislative Agenda
                                                                                 -Highly Qualified Workforce
 -Engaged Participation
                                                                                 -Higher Income and Employment
 -Flexibility and Trust
                                                                                 -Great Place to Learn
 -High Performance Organization


               Workforce                                                                    Human Services
 -Recruit and Retain Good People                 COMMUNITY                       -Mental Health Services
 -High Employee Satisfaction                                                     -Low Disease Rates
 -Strong Employee Development                                                    -Social Services Support
 -High Productivity Employees                                                    -Great Volunteers
                                                     Environment
                                         -Managed and Sustainable Growth
                                         -Excellent Waste Management Practices
                Financial                                                                        Safety
                                         -Exceed EPA Requirements
 -Funds Allocated Based on Value Added                                           -Outstanding Safety Services
                                         -Conservation of Resources
 -Low Financing Costs                                                            -Low Crime Rates
 -Maximize Revenue                                                               -Life Saving Fire/EMS
 -Lower Tax Burden for Citizens                                                  -Minimal Costs for Services
                                                Economic Development
                                         -Strategic Business Development
                                         -Lower Tax Burden
                                         -Partnership Incentives
                                         -Enchanced Economic Opportunities



                                                   Civic Engagement
                                         -Comprehensive Planning Process
                                         -Education on Planning Process
                                         -Strong Community Involvement
                                         -Preserve Heritage and Quality




                                                             7
                                 How to Use This Document

The Hanover County budget document is divided into the following five sections:

Overview: This section provides an overview of the budget that includes the County
Administrator’s letter to the Board of Supervisors with an appendix of additional information
and graphs and charts that outline the major functions and categories of expenditures and
revenues. In addition, a history and description of the County, organizational chart, Five-Year
General Fund Financial Plan, the County’s Service Level Plan for the budget year, a staffing
table, and demographics are presented. Use this section to get a brief understanding of the
overall size of the budget and its major components.

General Fund: This section provides a breakdown of the major expenditure categories by
department and function. Each department’s analysis includes a description of the department,
budget highlights, goals and objectives, service levels, and the percentage change between the
prior year adopted budget and the next year’s funding level. The following is a brief example of
a department:
                                         FY10             FY11            FY12         FY11        FY13
      Expenditures                       Actual          Budget          Budget      to FY12       Plan
       Personnel                     $   1,119,834   $   1,139,675   $   1,143,230    0.3%     $   1,157,378
       Operating                           121,265         120,347         111,504   (7.3%)          112,619
      Total Expenditures             $   1,241,099   $   1,260,022   $   1,254,734   (0.4%)    $   1,269,997

      Revenues
       Intergovernmental Revenue     $     271,332   $     268,000   $      80,800 (69.9%) $          82,000
       Other Revenue                       969,767         992,022       1,173,934 18.3%           1,187,997
      Total Revenue                  $   1,241,099   $   1,260,022   $   1,254,734 (0.4%) $        1,269,997

      Generated Revenue Percent              21.8%           20.2%          23.0%                     23.4%
      General Fund Percent                   78.2%           79.8%          77.0%                     76.6%

      Full-time Positions                       19              19             19     0.0%               19
      Part-time Positions                        1               1              1     0.0%                1
      Full-time Equivalents                   19.4            19.4           19.4     0.0%             19.4
     Personnel expenditures include salaries and benefits. Operating expenditures are all other recurring
     expenditures (contractual services, utilities, supplies, etc.). Capital expenditures represent expenditures for
     capital items greater than $5,000 per unit cost (equipment and furniture). The percent change is the change
     between the next year’s budget and the current adopted budget. Full-time positions represent all County
     employees who work 40 hours per week. Other revenue consists of department-generated revenues directly
     charged by that department for services, permits, privilege fees, regulatory licenses, fines and forfeitures,
     recovered costs, and interdepartmental funding.

Other Funds: This section provides information regarding the County’s funds other than the
General Fund and the Capital Improvements Funds, which are detailed in different sections.

CIP: This section provides detailed descriptions for projects in the Five-Year Capital
Improvements Program (CIP).

Supplemental Data: This section provides supplemental appendices to the County budget.
Included in this section are such items as budget directives, financial policies and regulations,
supplemental statistics, and glossary.




                                                         8
BOARD OF SUPERVISORS                                                                         COUNTY ADMINISTRATOR’S OFFICE
DEBORAH B. WINANS, CHAIRMAN                                                                              CECIL R. HARRIS, JR.
MECHANICSVILLE DISTRICT                                                                                COUNTY ADMINISTRATOR
AUBREY M. STANLEY, VICE-CHAIRMAN                                                                            JOSEPH P. CASEY
BEAVERDAM DISTRICT                                                                              DEPUTY COUNTY ADMINISTRATOR
JOHN E. GORDON, JR.                                                                                    FRANK W. HARKSEN, JR.
SOUTH ANNA DISTRICT                                                                             DEPUTY COUNTY ADMINISTRATOR
CHARLES D. MCGHEE                                                                                            JAMES P. TAYLOR
HENRY DISTRICT                                                                                ASSISTANT COUNTY ADMINISTRATOR
ROBERT R. SETLIFF                                    HANOVER COURTHOUSE
CHICKAHOMINY DISTRICT
G. E. “ED” VIA, III
ASHLAND DISTRICT
                                             HANOVER COUNTY                                    P.O. BOX 470, HANOVER, VA 23069
                                                                                                         WWW.CO.HANOVER.VA.US
                                                     ESTABLISHED IN 1720
ELTON J. WADE, SR.                                                                                         PHONE: 804-365-6005
COLD HARBOR DISTRICT                                                                                         FAX: 804-365-6234


                                                       April 13, 2011

             The Honorable Members of the Board of Supervisors
             County of Hanover, Virginia

             Dear Members of the Board:

             As we enter this budget process we are told that the “Great Recession” is over and better times
             are right around the corner. While we all hope this is the case, unfortunately this is not yet true
             for either our County government or for the citizens that you represent and that we serve. We all
             continue to struggle with diminished resources and greater needs. Many people in Hanover
             remain unemployed and many families, after years of making mortgage payments, find they have
             no equity in their home and little money to send their children to college or fund their retirement
             plans. For our County government, we have seen a significant reduction in our workforce,
             though we have been able to maintain our core services by re-aligning staff. This year we will
             continue to focus on sustaining key services while preparing for the future; all within existing
             tax rates. While we do see some positive economic signs, we are not yet ready to declare the
             recession is over.

                                     Challenging Economic Conditions
             We find ourselves facing somewhat mixed economic indicators and possibly a new challenge
             that is different than growing or contracting periods. This challenge is one in which there appears
             to be limited growth in the foreseeable future. This may hinder our ability to invest in the
             community or invest in the employees for the next several years. Our challenge will be to
             leverage any savings to meet inflationary costs, mandated increases and employee investments.

             Mixed Economic Indicators
             In March 2011, we had an unemployment rate of 5.9%. During this recession it has been as high
             as 7.3% in February 2010. The decline to 5.9% does represent over 500 citizens now being
             employed that didn’t have jobs just one year ago. We are fortunate that County business
             employment has been healthier since many of the impacts to our citizens were in businesses that
             they once worked for outside the County.



                                                             9
The monthly local sales tax collection is a good lead indicator of what may be forthcoming in
other economic indicators. Beginning in March 2010, the streak of 19 months in a row of
declines from the preceding year’s month came to end. During this time period, sales tax
collections declined over 11% ($3.0 million) as we continually had to readjust our spending
plans to recognize lower revenues. Between January 2009 and February 2010, average monthly
sales tax collections decreased over $150,000 per month. Since that period, average monthly
sales tax collections are approximately $75,000 higher than the prior year. For FY11 year-to-
date, we have experienced a 7.9% cumulative increase over the prior year; which enables us to
forecast a $1.9 million increase for FY12.



                 1.8
                                                         Sales Tax
                 1.6
                 1.4
                 1.2
      Millions




                 1.0
                 0.8
                 0.6
                 0.4
                 0.2
                 0.0
                            Nov-09




                            Nov-10
                            Aug-09




                            Aug-10
                             Jan-09




                            Oct-09

                            Dec-09




                            Dec-10
                            Feb-09




                             Jul-09

                            Sep-09




                             Jan-10




                            Oct-10
                            Feb-10




                             Jul-10

                            Sep-10




                             Jan-11
                            Feb-11
                            Apr-09

                            Jun-09




                            Apr-10

                            Jun-10
                            Mar-09




                            Mar-10
                            May-09




                            May-10


                                      Below prior year                        Above prior year


In contrast to sales tax, real property revenues have continued to decline. Because real property
revenues are more than five times larger than sales tax, even modest decreases in real property
can offset higher increases in sales tax. As the following graph illustrates, we are forecasting a
2.2% decrease ($2.2 million) in FY12 as new construction has somewhat moderated the decline
in assessments. As a positive indicator, recent reports indicate a 6% decline in the number of
homes for sale and there have been 236 residential building permits year-to-date; 17% higher
than the prior year.


                                                  Real Property
                            $100
                 Millions




                             $98
                             $96
                             $94
                             $92
                             $90
                                   FY09            FY10          FY11      FY11            FY12
                                   Actual          Actual        Budget   Forecast         Budget




                                                            10
For personal property, we are projecting a 1.9% ($419,000) revenue decrease based upon our
preliminary assessment of existing vehicles and continued conservative assumptions for new
vehicle purchases. Prior to the recession, new vehicle purchases averaged 7,000; we are
projecting a number at half that total in FY12.

As with any budget, we are very dependent upon State and Federal support. Since the start of this
recession, the County and Schools have sustained a decline of over $14 million in State and
Federal revenues or 11.0%. As we do so every budget cycle, we first estimate State revenues
primarily based upon the Governor’s budget and make appropriate adjustments as the General
Assembly deliberates.

                                       Budget Summary
We traditionally measure changes in our budget by comparing the total budget for all funds and
the General Fund budget. The total budget for all funds is $391.3 million, a 1.9% increase from
FY11. In addition to operating expenditures, the total budget includes impacts for capital
expenditures, which may vary from year to year depending on projects. While on-going General
Fund revenues are actually 0.3% lower, we have been able to use accumulated savings as well as
Federal recovery funding for one-time needs. As the following graph illustrates our primary
investment is in our employees; representing 67% of the budget.
                                                                             Personnel
                                                                               67%
Expenditures - by Category
  Personnel                          $ 260,548,635
  Operating                              95,397,202
  Capital                                35,331,777
  Total FY12 Expenditures             $391,277,614              Capital                    Operating
                                                              Expenditures                Expenditures
                                                                  9%                         24%

The total General Fund budget is $202.7 million, a 2.1% increase from FY11. We project to
spend about 77% of our money on our priority areas (Education, Public Safety, and Human
Services). The following chart illustrates the uses of the General Fund expenditures by function:
                               FY12 General Fund Expenditures
                                     Human Services
                                         7.9%
                     Public Works
                        4.9%                               Education
                                                             46.6%
                               Public Safety
                                  22.6%

                 Judicial 
              Administration
                  2.2%
                                                                     Parks, Rec and 
                     General                                            Cultural
                   Government                                            2.9%
                      6.6%    Capital Projects 
                                                                      Community 
                              (non‐Education)           Debt Service Development
                                   1.1% Nondepartmental    2.1%         2.4%
                                                 0.7%


                                                  11
For FY12, over $4.0 million is invested in the Capital Improvements Program with a focus on
replacement of vehicles and technology infrastructure. Over the past three years we have
deferred many capital improvements projects and sought to leverage our resources. For
example, the FY12 budget reflects over $260,000 in rental cost savings that have been replaced
with lower debt service for over 31,650 sf of County-owned facilities.
Public Utilities
This self-supporting business unit balances its operational and capital cost with user fees and not
any General Fund dollars. The operating component of the budget is impacted by many expenses
that are uncontrollable in nature (e.g., contractual agreements for the purchase of water) that will
be balanced with user rate increases of 3.0% for water and 2.0% for wastewater. The typical
residential customer’s water/sewer bill would increase by $15 in FY12.
Utility capital planning has been limited to essential projects and Board initiatives.
Consequently, we are recommending no increases in capacity fees. We believe this will position
the County favorably when the economy recovers, especially in regards to the Rt. 33/I-295 area
we have targeted for business development; which is critical to the County’s long-term fiscal
health.


                    How We Have Leveraged Our Resources
We have leveraged workforce talents and funding reserves from good years to make it through
the recessionary period. Now we also need to recognize the next phase of this economic cycle.
This phase is all about sustainability and leveraging resources for continuation of excellence. All
of this can be accomplished while preserving key services within existing tax rates.

Because of the recession, our workforce will be reduced for the third straight year in FY12 with
virtually all County and School divisions having less staff than just a few years ago. We have
utilized the savings from those positions to minimize service level impacts, reducing services
only after careful thought and deliberation with staff, elected officials and the public. These are
just some examples of how leveraging resources for continuation of excellence has benefitted all
of us in quality of life attributes and our priority service levels.

Quality of Life
We were named among the 100 Best Communities for Young People for the third time in 2010.
Our emphasis on providing the best opportunities for our youth is also borne out by
BusinessWeek.com recently naming Ashland as “Virginia’s Best Place to Raise Your Kids”,
followed by Mechanicsville. The most important judges of all, of course, are Hanover’s
residents. In our most recent Citizens Survey, 96% of respondents rated Hanover as an
“excellent” or “good” place to live.

SPQA
Last year we became only the second county government in Virginia to receive a U.S. Senate
Productivity and Quality Award (SPQA). This followed months of hard work by numerous
County departments in illustrating the story of management principles and strategies that help
make Hanover unique and operate at peak performance.




                                                12
Bond Ratings
In January 2011, all three agencies affirmed our Triple AAA bond rating. The bonds were issued
to finance the last of our 2005 Bond Referendum projects. This referendum had the highest voter
approval in the State in 2005; with over 70% approval rates for each of the three questions. Last
year we became the smallest County to earn the Triple AAA bond rating. Our AAA bond ratings
also serve as a strong indicator to prospective businesses of our financial health.

Education
We recently learned that Hanover leads all of Virginia's school districts with 68% of
expenditures directed to classroom instruction. Our school system continues to be among the
highest performing in the state while maintaining among the lowest per-pupil costs (fourth-
lowest per-pupil cost among the 15 school divisions with enrollment greater than 15,000
students).

Public Safety
The Sheriff’s Office recently reported that Hanover has the lowest crime rate in over 35 years.
Fire-EMS’s quick response vehicle program and other initiatives have greatly helped reduce
response times. The National Association of Counties recognized this accomplishment with a
special “Best in Public Safety Category” Achievement Award. Emergency Communications
became only the 14th Emergency Dispatch Center in the world to be internationally accredited as
Fire Dispatch Center.

Just as the schools lead the state in dedicating their resources towards the classroom, the County
also leads the region and all of our neighboring rural counties with the lowest general
government administration costs per capita currently at $85.63 per capita. This reflects our
commitment to leveraging our finite resources into priority and service-related areas (e.g., public
safety and human resources).

          Investing in Resources for Continuation of Excellence
It is so critical for us to recognize that our greatest assets during any economic cycle are our
employees. Yet we haven’t invested in this asset since 2008; the last time we had a merit-based
compensation increase. Therefore, in working closely with Superintendent Stewart Roberson, we
have designed the FY12 budget to accommodate a 2.25% compensation increase as a clear
indicator of investing in resources for continuation of excellence. We believe that it has been
fiscally prudent for us to have gone three years without an increase to employees. I believe the
time has come to not only say thanks to our employees, but to acknowledge their hard work with
a financial reward. In addition, we requested an additional 1.75% compensation increase to
recognize one-third of the workforce required to work increased hours without additional
compensation since 2010. This additional increase recognizes the dedication of these employees
and their willingness to meet the County’s service needs as the workforce has continued to
decrease over the past few years.

As a comparison, 2008-2011 market trends indicate 10% employee compensation increases and
5% inflation increases. While we are conservative during these times to not emulate the market,
we recognize that a modest investment in our great employees helps to retain and reward them
for their contributions.




                                                13
It is through our close relationship with the School Board that we were able to have joint
discussions on such an important topic and I would be remiss if I did not take a moment to
personally thank Superintendent Stewart Roberson. He and I have worked together for 16 years
and we have shared the stage many times in community, business and statewide meetings. We
have a shared goal in serving our respective Boards and the community in providing key services
to citizens and students through a workforce we are grateful to represent.

In the past year the Hanover team of excellence saw many long-serving leaders retire. They were
not only well-recognized names, but many others as well who will be sorely missed. However,
we will all continue to work together to ensure that the customer is served and that the County
continues to aspire to even greater things through investing in resources for continuance of
excellence.

             Preserving Key Services within Existing Tax Rates
We recognize that in this challenging economy, citizens and businesses are strapped to meet their
obligations. You have not raised the real estate tax rate since 2004, and this budget has no tax
rate increase. In addition, there are no fee increases except for the inflationary water and sewer
fee increases in meeting contractual and regulatory requirements. We have also not proposed any
service level reductions; thus we are able to achieve our goal in preserving key services within
existing tax rates.

Our local revenue sources are based predominantly on real and personal property values and, as
we have seen in prior recessions, recovery of these sources will lag behind that of businesses.
Therefore, even if the recession were to end today with job opportunities and business
profitability, it will not be over for local governments until at least FY13.


                                Planning for the Future
As I indicated in the introduction of the budget message, this is a time to focus on sustaining
our core services while planning for the future. This budget has continued to align our
resources to the core services of public safety, education and human services. We have invested
in our employees, while at the same time selectively filling only critical positions as they may
become vacant. We are aligning ourselves for the new reality of a smaller workforce with limited
revenue growth in the near future.

We are focusing on expanding our economic development opportunities. We will extend water
and sewer to the Rt. 33 corridor and hope to continually expand the use of our small business
incubator, which now has seven clients. We continue to work closely with the Greater Richmond
Partnership and other business partnerships to create more work opportunities for our citizens by
attracting new businesses and encouraging the expansion of existing businesses.

Our five-year financial plan continues to keep us well grounded in planning for the future.
Focusing not just on today or next year but on the entire five years ensures Hanover is planning
for the future. Our plan is not a wish list; as it balances all five years with conservative revenue
assumptions and tough, realistic expenditure decisions. Our priorities over the next five years
will be to reinstate targeted frozen positions in service areas that are vulnerable while seeking out



                                                 14
efficiencies from all service areas without raising tax rates. By using this approach, we feel we
will not make promises we cannot keep and, if we must make further reductions, we can do so in
a deliberate manner.
                                      In Conclusion
I continue to feel strongly the future is bright. We have survived the most severe economic
downturn in the last 60 years and have done so in a fashion of teamwork, collaboration and a
focus on sustaining our core services while planning for the future. Will the future be easy?
No, but it will be better and we are committed to making that future something for all
Hanoverians to be proud of.

In closing, I would like to thank the dedicated staffs of the County and School Board who have
worked together for many long hours as a team to establish this financial plan. We will continue
to seek timely economic and fiscal data to best gauge what actions we need to take on behalf of
the County. The appendix that follows this letter provides more in-depth analysis and
departmental summaries.

       Sincerely,



       Cecil R. Harris, Jr.
       County Administrator




                                               15
                                  FY11 Initiatives Update

Following is a status report of the Board of Supervisors’ FY11 Initiatives through May 2011:

   Complete the redistricting process, including the revision of district boundaries and any
    associated changes to precinct boundaries and polling place locations: The Board of
    Supervisors adopted the 2011 Redistricting Plan on May 11, 2011. If approved by the U.S.
    Department of Justice, these local voting districts will be in place for the next 10 years.
   Continue the fiscal reality assessment to determine long range impacts of the recession
    and key service level goals: County staff and elected financial officers (Treasurer and
    Commissioner of the Revenue) continue to meet monthly to review all financial trends.
   Update the subdivision ordinance: This update will assure that the subdivision ordinance
    conforms to all applicable legislative and regulatory requirements. The Board’s Community
    Development Committee is expected to review the draft in May, after which it will be sent to
    the Planning Commission for review.
   Develop strategies that more effectively serve at-risk children served through the
    Comprehensive Services Act in the community: A major part of this initiative is the
    creation of the new Kids’ Interdisciplinary Treatment Team (KITT), a collaborative effort
    between the departments of Social Services, Community Resources and Community
    Services. KITT provides intensive community-based treatment for troubled adolescents and
    reduces the use of expensive and ineffective group homes or hospitals. It is intended to help
    keep families together and help keep children at home and in their communities. Ten
    children are being served so far.
   Explore with the Historic Courthouse Area Committee and the Historical Society the
    possibility of enhanced uses of the ‘old stone jail’ for historic tourism: The Old Stone
    Jail is located at Hanover Courthouse (just south of the historic Courthouse) and dates back
    to about 1840. It has not been used for its original purpose since about 1960 and is currently
    used by the Hanover Historical Society as a place where old artifacts are stored, with limited
    public access. The Board asked the Historical Society and the Historic Courthouse Area
    Committee to consider improvements to stabilize the structure and whether it could be made
    more accessible as a historic tourism feature. The Board accepted recommendations for
    short-term improvements and a plan for historic tourism access to the jail in December.
   Coordinate a long-range water study plan with the Town of Ashland: The State Water
    Control Board has asked all localities to develop local or regional water plans to be reviewed
    and permitted by the Department of Environmental Quality (DEQ). County and Town staff
    have developed a draft and a public hearing could be held in late summer.
   Establish an Urban Development Area that will meet State-mandated higher-density
    requirements: The General Assembly mandated localities to analyze local growth patterns
    and have a plan to designate at least one Urban Development Area (UDA) on the County’s
    Comprehensive Plan. The UDA(s) must be able to accommodate projected County growth
    for at least 10 years and up to 20 years. After staff review the Board determined in March
    that the existing Comprehensive Plan satisfies the UDA requirements.
   Promote a “Buy Local Hanover” campaign to encourage County residents to shop at
    Hanover County stores, restaurants, and other businesses: The County is encouraging
    Hanoverians to spend their money with County businesses by emphasizing the financial
    benefits. This echoes initiatives that have been undertaken by the Town of Ashland and the
    Retail Merchants Association. A joint initiative with the Public School system in the spring
    of 2011 resulted in a very successful receipts program.




                                               16
                                 FY11 Initiatives Update

   Continue to implement energy management strategies and encourage employee
    participation in environmental best practices: Hanover County has undertaken a number
    of steps to conserve energy and protect the environment and these efforts continue. In
    January 2011 the County received its second consecutive “Go Green” Award, given by the
    Virginia Association of Counties and the Virginia Municipal League to localities that
    implement specific environmental policies and practical actions that reduce carbon
    emissions.
   Continue Bond Referendum project construction, including the implementation of the
    new communications system, construction of parks projects, and further development
    of the Black Creek Fire Station: The new communications center and system became
    operational in the fall of 2010. The new concession/restroom facility at Pole Green Park has
    been completed and will be used during the upcoming spring sports season. Athletic field
    lighting at Pole Green and Poor Farm is expected to be completed this year along with a new
    picnic shelter and new multi-purpose fields at Poor Farm. New multi-purpose fields will also
    be constructed at Taylor Park and the parking lot expanded. Construction on the new Black
    Creek Fire Station is nearly complete and a grand opening will be held in June 2011.




                                              17
                                 FY12 Adopted Initiatives

The following initiatives for Fiscal Year 2012 were adopted by the Board of Supervisors on
April 27, 2011:

   Support the High Speed Internet Committee and review recommendations to determine
    local government’s role in enabling high speed internet providers to better provide
    services in underserved areas: The Board of Supervisors appointed a High-Speed Internet
    Committee which is meeting monthly to review the various issues associated with this
    initiative. The Board was updated in April. The committee will make a final report to the
    Board by the end of 2011.

   Conduct the 2011 Citizens Survey: The County will contract with the National Research
    Center, Inc. for a survey that will be mailed to randomly-selected households later this year.
    Answers to standard questions asked on previous surveys will allow the County to
    benchmark against past performance as well as to comparable localities in the U.S. The
    survey will also ask three unique questions.

   Initiate the process of updating the Comprehensive Plan in 2012: This will include
    establishing the timeline and identifying the scope and key issues to be addressed in the 2012
    update. The Comprehensive Plan is updated every 5 years with the last update having
    occurred in 2007.

   Update and reorganize the Zoning Ordinance: This will be the first comprehensive review
    and update of uses in all of the business districts. Goals include simplifying use descriptions
    and where possible adding uses that did not exist when these districts were created; creating a
    mechanism and providing the criteria for non-listed uses; clarifying terms and removing
    repetitive or inconsistent use descriptions that may have developed over time; and adding
    definitions to clarify existing uses and for new uses that are being created.

   Enhance the County’s economic development potential in support of the
    Comprehensive Plan by extending water and wastewater service to the Rt. 33/I-295
    corridor: The notice to proceed with construction was issued in April and clearing has
    begun. Construction is expected to take about two years and the project is currently on time
    and under budget. The 2007 update to the Comprehensive Plan designated this corridor as
    being appropriate for business park development.

   Complete the revision of the Subdivision Ordinance: This initiative began in FY11 and
    will be completed in FY12. Policies will be revised and updated as appropriate to comply
    with State law and complement changes in the zoning ordinance.

   Develop the model for an overall County Strategic Plan: This will include reviewing the
    current vision and mission statements and defining mission focus areas and the process by
    which other strategic plans models would be developed, monitored and updated.




                                                18
                         Hanover County FY12 Adopted Budget
Quick Facts of the FY12 Adopted Budget:
The FY12 adopted budget is $391.3 million, a 1.9% increase over the current year.
The County’s General Fund budget is $202.7 million, a 2.1% increase over the current year.

Highlights of the FY12 Budget:
Revenues
    All property tax rates remain unchanged
    Real Property revenue decrease of $2.2 million or 2.2%
    Personal Property revenue decrease of $419,000 or 1.9%
    Sales tax increase of $1.9 million or 12.8% over FY11 budget. ($0.9M or 6.0% above FY11 forecast)
    Intergovernmental revenues increase $337k or 1.3%

Service Impacts
    Priority Services: Public Safety 1.5%, Education 1.7% and Human Services (1.1%)
    Contributions reduced 3% on average below FY10 and FY11 reductions

Schools
    Average pupil/teacher ratio of 20.6
    State funding increase $1.56M or 2.1% over the current year
    Staffing reduction through attrition in response to lower enrollment (16.7 positions from FY10
       Actual; 12 positions from FY10 Budget)
    Budget includes funding for a 2.25% compensation adjustment

County Staff
    Staffing reduction of 19 positions (more than half of which are due to the Community Services Board
      group home privatization) along with additional frozen positions throughout the organization
    No layoffs and no furloughs
    Budget includes funding for a 2.25% compensation adjustment
    A 1.75% compensation adjustment was included for those employees that increased their work hours
      from 37.5 to 40 hours per week at the beginning of FY11

                                              ALL FUNDS




                                                    19
                      Appendix to County Administrator’s Letter
    While the preceding County Administrator’s Letter is meant to highlight the budget, the following
    supplemental information details the changes in the budget that are not otherwise addressed in the
    proceeding letter. The purpose is to provide a summarized version of the manner in which the County’s
    budget funds are allocated, the sources of such funding, long-term financial planning and other items
    illustrating how the County attempts to provide the services needed and desired by the citizens in an
    efficient and effective manner. The following areas are presented:
          Employee Compensation and Benefits
          General Fund – Revenues by Category
          Expenditures by Function
                 o Public Safety                            o Public Works
                 o Public Schools                           o General Government
                 o Parks, Recreation and Cultural           o Judicial Administration
                 o Human Services                           o Nondepartmental
                 o Community Development
          County and School – Five-Year Capital Improvements Program
          Public Utilities – Operating Budget and Five-Year Capital Improvements Program
          Financial Condition Overview
          Economic Development Update


                    EMPLOYEE COMPENSATION AND BENEFITS
The Board of Supervisors has long recognized that competitive employee compensation is critical to the
County’s success. Recognizing that compensation is only one aspect of a quality work environment, the
County focuses on employee development in addition to the maintenance of competitive compensation and
benefits.

   The FY12 budget includes a 2.25% compensation adjustment. The last compensation increase was in July
    of 2008, and, in response to the economy, the County has held back on increasing compensation since
    then. The County further reduced its personnel related expenses during the same time period by the
    elimination of 36 positions and putting many others on indefinite hold. The FY12 budget compensates
    employees at a rate similar to one provided by our peers in the region within the last year.
   Also included in the FY12 budget is an additional 1.75% pay adjustment for those employees whose hours
    were adjusted from a 37.5 hour work week to a 40 hour work week with no additional compensation as
    part of the FY11 budget process.
   Career ladders have been developed for many positions in the County to recognize the advancing
    achievements of the workforce during their careers with the County. This budget anticipates the
    continuation of this employee program.
   Funding is provided to try to limit any increase, if required, in employee health premiums with a 13%
    increase in the per employee cost paid by the employer.

Self-Insurance Fund ($2.5 million and 8.7% increase): The Self-Insurance Fund provides for health
insurance payments through employer contributions and employee deductions and other post employment
benefit (GASB45) payments. This program serves all County entities, including the Pamunkey Regional Jail
and Pamunkey Regional Library. This budget also includes an opt-out credit in the amount of $400 annually
for employees that do not elect health insurance through the County, and $100,000 for the employee health
and wellness program, of which $50,000 is funded with revenues from our insurance carrier. Due to the over-
funding of the Other Post-Employment Benefits (OPEB) liability in previous years, this budget includes a
suspension of the OPEB credit for the current year’s budget.




                                                     20
                     Appendix to County Administrator’s Letter
The General Fund serves as the primary operating fund from which nearly all County services receive all or
most of their local funding. In addition to specific funding adjustments noted in other sections, the budget is
prepared to accommodate service level changes with many areas of the County’s operation being mandated by
Federal or State law for which budgetary control is always a challenge.




                    GENERAL FUND – REVENUES BY CATEGORY
Available ongoing revenues in the General Fund have resulted in an overall decrease of 0.3% or $584,000
through a combination of mixed revenue indicators. After factoring in one-time funding sources, the General
Fund budget is increasing 2.1% or $4.1 million.

The following revenues have been highlighted to reflect the County’s reliance upon these revenue sources. In
order to align revenues with specific expenditure functions, the revenues related to Schools, Community
Services Board and Public Utilities are addressed under their applicable expenditure by function narratives.

Real Property Taxes ($96.8 million, a $2.2 million and 2.2% decrease): The total value of taxable real
estate in the County decreased to $12.8 billion in January 2011. The 2011 tax base is projected to decrease
1.0% in January 2012 (2.5% decrease from reassessments and 1.5% increase from new construction). This
growth assumption is based upon the sales to assessment ratio for 2010 sales. The margin between sales prices
and assessments has narrowed and results in a lowering of future reassessment estimates. The total revenue
includes $170,000 of incremental revenues generated by the Lewistown CDA, which will be transferred to the
Lewistown CDA fund upon receipt.

Public Service Corporation Taxes ($4.1 million, a $104,000 and 2.5% decrease): This revenue category is
a compilation of businesses that are directly assessed by the State Corporation Commission (SCC) and have
property tax rates, as applicable, that are the same as those classified under real and personal property tax
categories. The decrease is mainly the result of a decreased assessment for generating equipment in 2010.
The Five-Year General Fund Financial Plan assumes a decrease of 4% in years two through five to recognize
the expectation that new investments will likely not keep pace with depreciation.

Personal Property Taxes ($21.9 million, a $419,000 and 1.9% decrease): The decrease in personal
property tax revenue is based upon our preliminary assessment of existing vehicle sales and continued
conservative assumptions for new vehicle purchases. The State’s fixed allotment of $15.0 million for car tax
relief is recognized as non-categorical State revenue. The actual percent relief to be applied to the taxpayer’s
bill is quantified in September of each year with completion of vehicle assessments. The 66% State relief for
2009 decreased to 64% for 2010.



                                                       21
                      Appendix to County Administrator’s Letter

Sales Taxes ($17.0 million, a $1.9 million and 12.8% increase): The current year trend for sales tax is up
from FY10, and is projected to increase 12.8% from FY11 budget (6.0% above the FY11 forecast). Sales Tax
is expected to increase annually by 5.0% to 6.0% throughout the County’s Five-Year Financial Plan. The total
sales tax includes $246,000 incremental sales tax revenue generated by the Lewistown CDA.

State and Federal Revenues ($26.1 million, a $337,000 and 1.3% increase): The State budget assumptions
include the Governor’s amendments to the 2010-2012 biennium budget. Some funding has been restored for
State support of local offices but reductions are still significant in this category of intergovernmental revenue.
Overall, Federal aid is expected to increase only slightly with no significant increases in any particular
category. Non-Categorical State Aid is projected to remain flat.

Charges for Services ($3.5 million, a $74,700 and 2.1% decrease): These revenue accounts include Parks
and Recreation fees and EMS cost recovery fees. Contractual changes in late FY10 have resulted in improved
returns for EMS cost recovery fees. While the FY12 budget anticipates this higher ratio, the financial impact
is tempered by a lower patient transport ratio due to the success of the Department of Fire/EMS’ nationally
recognized Quick Response Vehicle (QRV) program.

Revenue from Use of Money ($0.7 million, a $800,000 and 53.0% decrease): The FY12 budget fully
recognizes the reduction in interest income the County is realizing in FY11. The entire decrease in this
category is attributable to the loss of interest income due to low interest rates.

                                EXPENDITURES BY FUNCTION
The following section of the budget synopsis illustrates all the functions of the County. Under each functional
area are the departmental budgets with the dollar and percentage change in the operating budget noted. A brief
illustration of a department’s budget and operating highlights is presented and more details can be found on
the departmental pages later in the document. Generally, all functional areas of the County are impacted by
the current and projected economic climate. County-wide, departments are dealing with staff reductions, and a
significantly decreased Service Level Plan that mainly addresses equipment replacements without additions.

In the detail that follows, it is noted – particularly in the larger departments – that some of the operational
decrease is attributable to the integration of the Fleet Services Department into the General Fund. Fleet
Services has previously been accounted for as an Internal Service Fund, however, in the FY12 budget, the
County identified cost savings and efficiencies that could be realized should the Fleet Services Department
operate as an entity of the General Fund instead of an Internal Service Fund. As a part of this change,
departments within the General Fund will no longer budget or be billed for the labor component of their fleet
needs. Another associated change is that departments that had been part of the County’s lease program and
were billed a certain amount annually for payment into the Internal Service Fund for the replacement of their
department’s fleet, will not be responsible for that cost in their budget. Instead, vehicle replacement funds will
be budgeted as a pool of funds annually within the General Fund. This all results in some departments
showing decreases in their budgets that are attributable to costs they are no longer responsible for and are
therefore not a true decrease in available funds to the department.

PUBLIC SAFETY
Fire/EMS ($351,800 and 2.5% increase, 0.8% increase in local funding): The FY12 budget still holds
three firefighter positions unfunded with local dollars but Fire/EMS was able to leverage Federal grant funding
to fill the positions. Operationally the budget has remained relativity flat, and the increase stated is based on
the compensation adjustment and the coverage of the increasing health care cost. Included in the Service Level
Plan for FY12 are two vehicles for the administrative fleet. An additional increase in the personnel line items
is the initial projected funding for the premiums associated with the Line of Duty Act coverage. The benefit
was previously funded by the Commonwealth but has been shifted to a local responsibility with no change in



                                                        22
                     Appendix to County Administrator’s Letter
the benefit; totaling $36,000 to cover our volunteer fire and EMS providers and an additional $35,000 for
career staff coverage. The Fire/EMS portion of the capital budget includes $550,000 for the fire engine and
heavy rescue apparatus replacement plan as well as $366,000 for the ambulance replacement plan. Fire/EMS
has seen a 9.5% increase in other revenue sources that can mainly be attributed to the EMS Fee Recovery rate
increase adopted in the FY11 budget process, as well as 8.1% in intergovernmental revenues which is the
aforementioned Federal SAFER grant.

Sheriff’s Office ($345,000 and 1.8% increase): The FY11 budget removed the funding for seven vacant
Sheriff’s Deputy positions; these positions will remain unfunded in FY12. The Sheriff’s Office has a flat
operational budget for FY12 and the increase stated is due to the compensation adjustment and the healthcare
rate increases. This budget does include 27 replacement vehicles at a cost of $660,000 as these vehicles have
generally met their 110,000-mile useful life. There are also funds allocated to replace 20 Mobile Data
Terminals, at a cost of $160,000, most of which are reaching the end of their extended warranty period and
useful life. An FY12 addition to the personnel line items is the initial premium estimate of the cost of the Line
of Duty Act coverage previously funded by the Commonwealth which was shifted to local responsibility. This
funding level covers our sworn hazardous duty career and volunteer staff totaling $51,000.

The Sheriff’s Office also includes the Court Services division (addressed under the Judicial Administration
function). Total funding provided to the Sheriff’s Office, including Court Services, is $20.7 million, a
$330,000 and 1.8% increase.

Emergency Communications ($4,000 and 0.1% decrease; 6.4% increase in local funding): An integral
component in ensuring public safety responsiveness is an effective and properly staffed Emergency
Communications Department. As part of the implementation of a new radio system in FY11, the Radio Shop
was integrated into Emergency Communications from Fleet Services and accounted for in the General Fund.
As we smoothed the transition process into Communications, accounting changes were implemented to better
reflect how repair costs are split between departments causing the fluctuation in local funding. The operational
budget is down based on savings on a major service contract associated with the 911 center, as well as
removing costs that were previously transferred to the Fleet fund. The overall increase in the budget is created
by the proposed compensation and benefits coverage for the employees. Emergency Communications has two
vacant Communications Officer positions that are unfunded but still authorized in the FY12 budget. The
Service Level Plan has provided $9,900 in capital repairs to replace roofs and HVAC systems at the County
tower sites.

Animal Control ($50,000 and 4.9% decrease): The FY12 budget for Animal Control is relatively flat after
accounting for the Fleet related accounting change. The capital line items show a 100% decrease but an
additional supplement of one-time funding in FY11 will keep the department on schedule for replacement
vehicles and other small facility improvements.

Juvenile Court Services Unit (45,000 and 6.6% increase, 7.3% increase in local funding): The budget is
primarily comprised of the cost of housing juvenile offenders who are placed at the Merrimac Juvenile
Detention Center as well as other community programs provided to address accountability, public safety, and
treatment (e.g., case management, probation, electronic monitoring, community service, and treatment
groups). The overall increase can be attributed to an increased per diem bed days rate at Merrimac Juvenile
Detention Center going from $141 to $166 per juvenile per day. The number of secure detention bed days is
not projected to increase substantially, but the increased cost of housing offenders is a $100,000 increase. The
decrease in personnel is due to a locally funded vacant position being eliminated after the district gained an
additional State funded position.

Pamunkey Regional Jail ($9,300 and 0.2% decrease): This budget reflects the per diem costs decreasing to
$50.74 per day ($2.03 or 3.8% decrease) to house inmates as part of the County’s participation in the
Pamunkey Regional Jail Authority (PRJA). While the per diem cost has decreased, the County’s population of



                                                       23
                     Appendix to County Administrator’s Letter
inmates has increased 3.2%. The costs for housing inmates have benefited from the economies of scale of the
larger jail operations as well as the benefits of using available capacity for bed rentals to other governments.

Community Corrections ($8,900 and 2.0% increase, 1.7% increase in local funding): This function is
required to provide community corrections and pre-trial services to those deemed necessary by the judges.
Community Corrections receives a grant from the Department of Criminal Justice Services and during FY10
funding was increased to provide an additional Pre-Trial Investigator position and operational costs associated
with the employee. The majority of the increases reflected can be attributed to the compensation adjustment as
well as covering the increased cost of healthcare.

Building Inspections ($5,600 and 0.4% decrease): The fees charged by this function traditionally provide
the funding for building inspection services. The FY12 budget remained flat in terms of service level ability,
but the decrease in operations can be attributed to the Fleet Services accounting change. The slight increase in
personnel is due to the compensation adjustment and health insurance increase. A vacant Customer Service
Agent position is eliminated in FY12.

PUBLIC SCHOOLS
The County and School staffs continue to enjoy a solid working relationship to ensure that funding is provided
and managed to meet the challenges and opportunities that accompany a successful school community. The
School Board operates the 14th largest division in the Commonwealth, consisting of 25 schools throughout the
County with a projected FY12 enrollment of 18,065 students (19,110 including non-K-12 students). The
School Board is committed to preserving the core values of the Division during this time of economic
recession and enrollment change.

School Operating Budget ($2.8 million and 1.6% increase, 0.4% local decrease): The increase in this
budget is the result of a compensation adjustment for employees, increased employer contributions to health
insurance, and an increase in Virginia Retirement System costs. This budget includes the reduction of
approximately 17 positions from the FY11 actual FTE count through attrition. These reductions coincide with
declining enrollment in recent years independent of the current economic challenges. Additionally, reduced
fuel and energy costs have been achieved as a result of the Schools energy management program.

Textbook Fund Budget ($171,000 and 66.8% increase): This budget contains funding for one full-time
position and temporary part-time positions during the summer, as well as consumable textbook purchases for
elementary students. The budget reflects a substantial increase over previous years to allow the program to
rebuild from the previous reductions. There is no local funding for this program in FY12.

Food Services Budget ($137,000 and 1.9% increase): The Food Services budget is based upon continued
participation of elementary and middle schools in both the National School Breakfast and Lunch Programs.
There will be no price increase for student and adult breakfasts and lunches. There is no local funding for this
program.

School Capital Budget: The $14.5 million capital budget is funded with $2.6 million of cash (including
proffers) and $11.9 million of debt. Funded projects include:

        Beaverdam Renovation                            $3,200,000
        Technology Infrastructure                         $182,000
        Student Information System                        $750,000
        Facilities Renovation                           $3,700,000
        Washington Henry Renovation                     $4,000,000
        Mechanical/Roofing Improvements                 $1,000,000
        Computer Replacement                              $849,000
        School Buses                                      $819,000



                                                       24
                      Appendix to County Administrator’s Letter
PARKS, RECREATION AND CULTURAL
Parks and Recreation ($160,000 and 4.7% decrease, 2.5% decrease in local funding): The decrease in
this budget can mainly be attributed to the Youth Summer Program, where revenue and expenditure forecasts
were adjusted to reflect the new design of the program. The cost of the vehicle lease program is no longer
housed in the department’s budget, which is the only other major operational adjustment. In the personnel
category a Groundskeeper position is unfunded for FY12, in addition to the two positions unfunded in the
FY11 budget. The Service Level Plan provided $23,000 to do carpeting improvements at the Taylor Complex
as well as three concession stand renovations.

Pamunkey Regional Library ($50,000 and 1.8% decrease): The County has benefited greatly as part of this
regional library system that serves four counties. Over 1,174,335 items were circulated in the library, a 14.7%
increase over the prior year.

HUMAN SERVICES
Community Resources ($9,300 and 2.3% increase, 3.2% increase in local funding): This department
continues to serve as the foundation in facilitating and maximizing volunteer and community resources and
anticipates several enhancements that will further strengthen the County’s volunteer program. In addition,
Community Resources provides the administrative oversight to the Comprehensive Services Act Fund.
 Comprehensive Services Act (CSA) ($5,200 and 0.1% increase, 5.0% decrease in local funding):
    This mandated program for at-risk youth is funded from a compilation of relevant factors that include:
    level of care needed, cost and duration of services, and the number of youth served. The FY12 operating
    budget will remain flat from FY11 with only a slight overall increase due primarily to a compensation
    adjustment and increased health insurance costs. While the local share of Medicaid costs is anticipated to
    increase approximately 3% in FY12, the overall budget for mandated expenditures will remain unchanged.
    The increase in State revenue reflects a decision by the County beginning in FY12 to no longer charge a
    prorated share of the State reversion account to the CSA State revenue.

Social Services ($491,500 and 8.7% increase, 15.9% increase in local funding): Social Services is the
primary local agency meeting the social service needs of individuals that arise from a variety of circumstances.
Changes in the FY12 budget are correlated to serving individuals in mandated programs. All of the Federal,
State and/or local service standards have been met or exceeded (e.g., timely application processing of Food
Stamps, Medicaid, and Temporary Assistance for Needy Families – TANF). The increase in local funding is
due to the recognition of reduced State and Federal support.

Health Department ($13,300 and 2.8% decrease): This budget represents the County’s tradition of funding
a 45% share of this State agency budget. The Health Department represents a stand-alone State function for
which the County’s share changes in proportion to State funding of this service. The local budget reduction
anticipates reduced State funding; thereby reducing the local match amount.

Community Services Board (CSB) ($646,000 and 5.8% decrease, 0.5% decrease in local funding): The
total CSB budget is $10.5 million and reflects an overall decrease of 5.8%. The decrease is primarily due to
the privatization of the previously publicly run Group Homes. The decrease in local funding is also due in part
to the removal of local funding for a lease of office space to support the debt service on the purchase of a
building; creating overall savings, but these savings are not truly reflected as the compensation adjustment
caused for a relatively flat transfer from the general fund.

Tax Relief for the Elderly and Disabled ($139,500 and 7.4% decrease): In order to recognize this real
property tax relief in compliance with State accounting standards, the relief component of this program is
illustrated as an expense and the offsetting revenue is recognized under real property tax revenues. This
program is administered by the Commissioner of the Revenue’s Office and the total relief is projected to be
$1.7 million for 1,744 households. Together with the County’s land use program that provides approximately
$5.7 million in tax relief, the County’s total tax relief is over $7.4 million. Enhancements to the relief program



                                                        25
                      Appendix to County Administrator’s Letter
were adopted by the Board of Supervisors in 2007 to increase the eligibility criteria for gross income limit to
$50,000, including the acreage exclusion to ten acres, maximum allowable net worth to $200,000, and
removing the maximum discount that could be received by participants. The primary reason for the budget
decrease is that it appears that this program has reached a majority of the potential qualified population and the
taxable value of real property has decreased, thereby lowering the value of the eligible property.

                                         Growth in the Tax Relief Program


                 2,100,000
                 1,900,000
                 1,700,000
                 1,500,000
                 1,300,000
                 1,100,000
                   900,000
                   700,000
                               FY07       FY08        FY09       FY10        FY11       FY12
                               Actual     Actual      Actual     Actual     Forecast   Budget



COMMUNITY DEVELOPMENT
Economic Development ($51,700 and 5.0% decrease): Economic development is fostered through strategic
planning and creating and maintaining a positive business climate. The decrease in this budget is attributed to
the reduced funding level of the vacant Market Analyst position that will not be filled, although some funding
is provided for professional services to complete some of the tasks previously performed by this position.
Other operational increases are due to budgeting the new building related costs for its first full year. Economic
Development also provides administrative oversight over the following fund:
     Economic Development Authority (EDA) Fund ($7,800 and 3.0% decrease): The EDA issues tax-
        exempt bonds for qualifying projects and partners with local developers in furthering economic
        development goals. The budget consists of fees to partially recover Economic Development costs on
        revenue bonds issued. The decrease can be attributed to bond holders paying down principal on the
        bonds.

Planning Department ($10,300 and 0.5% increase): The overall increase in the budget is due to the
compensation adjustments. The operational budget decreased primarily due to the elimination of the lease
payment to Fleet Services for future vehicles. The operational budget includes funding to restore the Citizen’s
Planning Academy for FY12.

The budgets of the following community development divisions are generally small in scope and require little
administrative oversight of the budget for the two divisions:
    Extension Service ($3,900 and 4.4% decrease): This function represents the County’s share in
       participating in the State extension service (administered by Virginia Tech), which has been a valuable
       resource for our agri-business and residents interested in horticulture, 4-H and various other industry
       related programs. The decrease in local funding of this budget can be attributed to Hanover County’s
       portion of a position not authorized to be filled by Virginia Tech that was removed from the budget.
    Soil and Water Conservation District ($2,955 and 3.0% decrease): This is the County’s share for
       participating in this district, which serves residents in conservation planning and education. The
       reduction in the local contribution will translate into reduced educational outreach.




                                                        26
                     Appendix to County Administrator’s Letter
Community Support ($37,000 and 3.2% decrease): The contributions to various local and regional entities
are classified under community development to reflect their community support intentions. The decrease is
primarily due to lower levels of contribution based on the economic climate.

PUBLIC WORKS
Public Works ($61,600 and 3.5% increase, 6.8% increase in local funding): The Public Works function
continues to be mandated to meet various Federal and State regulations, often with no financial assistance
provided. Beginning in FY12, the Public Works and Cannery budgets are combined in order to streamline
processes. The Cannery function provides a great resource for residents to can their fruits and vegetables and
the cannery schedule remains unchanged from FY11. Beginning with the 2011 season, users will be charged
for the actual cost of cans. The cost of jars will remain unchanged from the 2010 season.

The transportation section of Public Works continues to be challenged to define local responsibilities in the
wake of insufficient funding from the State for their road infrastructure programs. These responsibilities
include developing plans to manage State resources, road proffers, and developer contributions in meeting
traffic impacts from existing and planned development.

For FY12, funding in the amount of $15,000 has been included for automated stormwater facility monitoring
and $4,000 for the MS4 (Municipal Storm Sewer System) permit fee. The application fee is required when
updating the MS4 permit with the Department of Conservation and Recreation. This Phase II permit is
required of all localities with a population over 100,000 and is intended to address stormwater pollution.

In the capital budget, the funding of roadway improvements continues in the amount of $2,100,000 ($300,000
from the General Fund) and $100,000 for regional stormwater implementation. Public Works also provides
administrative oversight over the following divisions:
     Public Works Operations ($36,300 and 1.0% increase): A major function of Public Works
        Operations is the operation of the County’s solid waste disposal and hauling system that includes a
        centralized transfer station available for commercial haulers and six convenience centers available free
        of charge to residents. There were 37,736 tons collected in the County in FY10 with the majority
        hauled to a facility for disposal outside of the County. In addition, recycling services are available at
        every convenience center and transfer station that collects 18,800 tons annually.

        Included in the funding for this division is $74,000 for operational equipment (e.g., roll-off containers
        and compactor systems). Convenience centers will re-open on Wednesdays beginning July 1, 2011
        but will continue to be closed on holidays. Public Works Operations also manages many of the
        County’s easement clearing programs, street signs, and anti-litter initiatives.
            o Recycling Service District ($285 and 0.4% decrease): Recycling Service Districts were
                established by the Board of Supervisors in 2008 in response to petitions from two
                subdivisions. There are now a total of 13 participating subdivisions. The slight decrease
                represents a reduction in the number of recycling bins that will be purchased for resale. The
                rate will remain at $22.80 per year for FY12.

       Airport ($9,000 and 1.3% increase, 1.5% increase in local funding): The County has a fixed-base
        operator (FBO) in a lease agreement managing the Hanover Airport. The local funding supports one
        County employee as well as maintenance and improvements to the airfield and terminal facilities. The
        Airport Fund includes both operating and capital accounts. The FY12 operating budget will remain
        flat, while the slight increase in the capital improvements program is relative to airport improvements.

General Services ($1,930,000 and 97.2% increase): In FY12, the General Services, Fleet Services, and
Facilities Management budgets will be combined under the title of General Services in the Public Works
functional area in order to streamline processes. As a result, Fleet Services will no longer be an Internal
Service Fund and will become part of the General Fund. When considered together, the General Services



                                                       27
                     Appendix to County Administrator’s Letter
Department, including Fleet Services, saw a decrease in funding of 5.4%.       General Services provides a
variety of services, including risk management, ensuring workplace safety guidelines and related training;
copier machine oversight; motor pool fleet management; and mail courier for all internal and outgoing mail.
Facilities Management’s primary function is to manage all County facilities, including repair, maintenance,
and improvements, as well as the County’s telecommunications, HVAC, generator and security systems. Fleet
Services provides a fleet management program of repair and maintenance for County and School vehicles.
The FY12 plan reduces funding for professional services, uniforms and apparel and educational training. The
budget includes capital funding for fleet replacement and a fuel management program. The FY12 budget
eliminates a vacant unfunded Parts/Fuel Coordinator position.


GENERAL GOVERNMENT
The County continues to pride itself on providing high quality and technologically-current services to citizens
in the most efficient and effective manner. This is further supported by the State’s composite of the general
government administration function statewide in which the County’s cost for providing such services is 82.0%
of the statewide per capita average and the lowest percentage in the region. The following summarizes the
operating budgets for these administrative departments:

Board of Supervisors ($32,400 and 6.5% increase): The overall increase is comprised of an operational
decrease and a personnel increase. The decrease in operating is primarily due to reductions in educational
training and advertising as well as various other expenditures in light of the current economy. The audit
contract remains intact while the citizen survey is performed periodically. The personnel increase is due
mainly to increased health insurance costs and a compensation adjustment for the one full-time employee
serving as Executive Assistant and Clerk to the Board. The FY12 budget also continues funding of $20,000
for the additional updating of audio visual equipment in the Boardroom.

County Administrator’s Office ($19,100 and 1.6% increase): Beginning in FY12, the Public Information
Officer function will be merged into the County Administrator’s Office. The County Administrator’s Office
provides supervision and direction to nearly all County-related operations, while also administering to the
general inquiries of residents. The County’s one Public Information Officer (PIO) provides a quarterly
newsletter, website updates and highlights, press releases, cable TV contact and support to the many areas in
which the County’s departments need to communicate with the public. The budget includes the elimination of
a vacant unfunded Administrative Assistant position.

Human Resources (HR) ($20,350 and 2.4% decrease): Human Resources serves prospective employees in
providing access to job-related information and application oversight (over 3,600 applications in FY10) while
providing existing employees with a market-based compensation and benefits package, advancement
opportunities through career ladders, and the training needed to better perform their job duties. The personnel
decrease is mainly due to salary savings and the operating increase is primarily due to increases in
maintenance service contracts and books and subscriptions.

County Attorney’s Office ($23,900 and 2.1% increase): This office provides legal counsel to the Board of
Supervisors, School Board, and nearly all County departments and agencies. This includes ordinance
development, legal representation, and related support in ensuring compliance with policies, laws and
regulations. The personnel increase is due mainly to a compensation adjustment and increased health
insurance costs. The decrease in the operating budget is due primarily to reductions in office supplies and
educational training. The department will also continue with reduced employee hours for one position in
FY12.

Commissioner of the Revenue ($38,600 and 3.1% increase): In addition to many services provided by this
office, two high volume activities include: 177,799 personal property taxpayer accounts valued in 2010 and
10,042 State income tax returns requiring processing assistance. The budget includes the elimination of a



                                                      28
                     Appendix to County Administrator’s Letter
vacant unfunded Customer Service Agent position. This budget also includes funding for new vehicle
registration notices. These notices will serve as a reminder to citizens and potentially reduce the costs
associated with collection efforts. The overall increase is due mainly to a compensation adjustment and
increased health insurance costs.

Assessor ($9,780 and 1.1% increase): The Assessor’s Office is responsible for the appraisal of all real
property in the County and to assure equalization of market value of assessments. Approximately 25,000 tax
parcels were reassessed for 2011 (56% of the County). The office continues to maintain sales to assessment
ratios of approximately 96% while keeping coefficient of dispersion levels (this measures volatility amongst
assessed values) of less than 10%, and few appeals to the Board of Equalization result in valuation changes.
The decrease in operating is due mainly to the removal of the department vehicle lease payment as a result of
the Fleet Services department accounting change.

Treasurer ($23,670 and 1.7% increase): This office attains an almost 100% collection rate on taxes owed
the County and oversees an investment portfolio that has consistently outperformed established investment
return benchmarks. The Commonwealth of Virginia pays the County a commission to handle some basic
DMV transactions, such as vehicle registration renewals or handicapped parking placards, etc. on their behalf.
The overall budget increase is due mainly to a compensation adjustment and increased health insurance costs.
The decrease in operating is primarily due to reductions in printing and binding, postage, and office supplies.

Finance & Management Services ($72,400 and 4.9% decrease): Beginning in FY12, the Purchasing
Department will become a division of Finance & Management Services. Finance & Management Services
provides the resources needed in its Budget Division to support departments, County Administration, and the
Board of Supervisors. In addition, Finance & Management Services also provides support services for payroll,
accounts payable, financial reporting, debt management, and the audit. The Purchasing Division serves as
administrative agent in the procurement of all goods and services above a $5,000 unit cost as well as all
procurement card oversight and disposal of surplus property. The operating decrease is primarily due to
reductions in printing and postage and one-time funding for a cyclical computer network equipment
replacement in FY11. The budget eliminates a vacant unfunded Office Manager position and a vacant funded
Deputy Director of Purchasing position.

Internal Audit ($10,300 and 3.7% decrease): Internal Audit executes a Board Finance Committee approved
Internal Audit Plan. Although standard business practices recommend an audit cycle review every three years,
current resources provide for an audit cycle every seven to ten years. This budget includes funding for a
National Association of Local Government Auditors (NALGA) peer review. The decrease in personnel is
mainly due to salary savings.

Registrar ($17,400 and 5.0% increase): The Registrar’s Office is under the Electoral Board and implements
the election laws of the Commonwealth of Virginia. The increase in operating is primarily due to Service
Level Plan funding in the amount of $39,000 for printing and mailing of new voter cards in compliance with
statutory disclosure requirements. There is reduced funding for fees and miscellaneous charges and there are
further savings from relocating voting machines from leased to County owned storage facilities. This
department continues to streamline processes in order to meet the current economic challenges while meeting
statutory requirements.

Information Technology (IT) ($90,600 and 2.3% increase): In FY12, the Geographic Information System
(GIS) division will be merged into the Information Technology Department. IT’s role in meeting the needs of
departments and related entities is to provide the support and leadership to ensure a 24/7 fully functioning
computer and system environment, with proper security, controls, archives, and contingency plans. GIS
provides a support service to other departments, the citizens, businesses and other interested users of GIS
information. The personnel increase is due mainly to a compensation adjustment and increased health




                                                      29
                      Appendix to County Administrator’s Letter
insurance costs. The operating decrease is primarily due to one-time funding for GIS advertising in FY11 and
the removal of the department vehicle lease payment as a result of the Fleet Services accounting change.


JUDICIAL ADMINISTRATION
Clerk of the Circuit Court ($18,300 and 1.4% increase, 5.8% increase in local funding): The Clerk of the
Circuit Court’s Office performs a variety of support functions for the Circuit Court and legal recordations (e.g.
property, wills). The Clerk’s Office has funding from the State Technology Trust Fund that is held on behalf
of Hanover County. The Clerk’s Office has one vacant Deputy Clerk position that is unfunded for the FY11
and FY12 budget cycle. The overall operational budget has decreased and the Clerk has leveraged remote
access fees to cover maintenance costs for the land records system in FY12, shifting the cost away from the
general fund. The overall increase in the total budget is attributed to the increased cost of healthcare as well as
the compensation adjustment which included a large portion of the staff being eligible to receive the additional
1.75% for the increase in hours effective in FY11.

Commonwealth’s Attorney’s Office ($23,800 and 1.5% decrease, 6.5% increase in local funding): The
services of the Commonwealth’s Attorney are needed almost in direct proportion to law enforcement
personnel deployed arresting and/or charging people with crimes, traffic violations, and referral needs for legal
counsel. The local funding decrease can be attributed to removal of local funding for an Assistant
Commonwealth’s Attorney position that no longer has a State Compensation Board match, as well as cost
savings created by the Office in the area of legal books and subscriptions.

Court Services ($13,000 and 1.0% increase): The security of the courts through bailiffs and serving of
court-related papers (e.g. subpoenas) is performed by this division of the Sheriff’s Office. The increase can be
attributed to the two replacement vehicles in the FY12 Service Level Plan after none were approved in FY11
as a cost saving measure.
The following divisions of judicial administration (totaling $207,000 in funding) represent the County’s
mainly operating contributions to these State-related functions:
      Circuit Court ($15,000 and 16.2% decrease): Decreases can be attributed to operational reductions
         implemented through collaboration between the Judge and County.
      General District Court: ($8,000 and 7.4% decrease): The decrease seen in the departmental budget
         is directly linked to the trends in court appointed attorneys fees that the County has been incurring.
      Juvenile and Domestic Relations Court ($11 and 0.1% increase): The Judge and County have
         worked together to present a flat operational budget.
      Magistrates ($31 and 0.4% increase): This department provides independent review for issuing
         warrants, bail bond hearings, and related incarceration procedures.

The capital budget includes additional funding for the new courts building in the amount of $50.0 million.
Due to the current economic conditions the new courts project has been delayed until FY16.

NONDEPARTMENTAL
This category traditionally appropriates funds for those functions not identified elsewhere and includes debt
service for County obligations, excluding school, airport, and utility obligations, General Fund transfers to
other funds, as well as reserves available for future appropriation. A transfer to the Lewistown CDA for
incremental generated revenues in the amount of $426,000 is included in this budget. Reserve for
contingencies will meet the County’s budget policy at $993,400. The reserve for revenue transfers ($500,000)
enables the County to recognize insurance recoveries, grants, and other revenue adjustments during the fiscal
year (offsetting reserve is also budgeted in the revenue portion of the budget). The reserve for IT
contingencies in FY11 was moved to the CIP in FY12.

Debt Service ($530,800 and 14.2% increase): The County’s debt service is increasing due to the planned
debt issuances for the 2005 bond referendum projects and the purchase of two buildings to eliminate rent



                                                        30
                     Appendix to County Administrator’s Letter
payments for an overall cost savings. The debt issuance schedule meets anticipated cash flow needs of the
capital projects.



                             COUNTY/SCHOOL
                FIVE-YEAR CAPITAL IMPROVEMENTS PROGRAM
The Capital Improvements Program (CIP) is the County’s plan for investing in facilities, equipment, and
vehicles over the next five years and includes those items with a unit cost greater than $50,000. The FY12
capital budget for County and School projects is $18.8 million, which is $8.5 million more than the current
fiscal year. The FY12 budget includes $2,100,000 for road improvements, and $916,000 for Fire/EMS fire
apparatus and ambulances. The General Fund cash transfer for County and School projects is $4.0 million,
$1.7 million and 70.2% increase over prior year, which is primarily attributable to the majority of School CIP
funding being transferred into the School operating category in FY11. Restoring funding in the School CIP
category results in a large percentage increase for FY12. The CIP recognizes the continued accumulation and
utilization of the School and County Savings Plan. This plan is designed to reserve County savings and
proffers for future capital improvement projects that may have been previously debt financed or deferred.


                            PUBLIC UTILITIES
               BUDGET AND CAPITAL IMPROVEMENTS PROGRAM
Public Utilities operates as an enterprise fund, meaning the operations and capital expenditures are funded with
revenues generated from customer user fees and one-time fees paid for capacity. The County’s tax revenues
are not used to support the utilities operations. Rather, the department operates as a self-supporting business,
providing water and wastewater services to a customer base of 20,125 residences and businesses. The Public
Utilities fund pays a recovered cost fee to the General Fund for administrative support provided to its
operations and a service assessment charge for law enforcement, fire protection, and emergency medical
services.

Utility Operating Budget: This $22 million budget is a 1.1% decrease from the previous budget. This
reduction is accomplished by deferring some maintenance and rehabilitation activities, reduced dependence on
Henrico County for wastewater treatment, fewer price increases for non-discretionary expenses, and lower
debt service. A resolution was adopted increasing water and sewer user fees to 3.0% and 2.0% respectively.
The combined residential bill for water and sewer will increase on average $15.36 for the entire year. There
are no increases in miscellaneous fees. The County continues to provide a user fee relief program based upon
the same qualifying criteria as the tax relief program.

Utility Capital Budget: Growth in the Suburban Service Area is below Comprehensive Plan estimates. The
CIP goal is to position Public Utilities to ensure regulatory compliance and meet the needs of its current and
future residential and commercial customers, including extending service to the Route 33 corridor. The $2.8
million CIP budget includes a $1.3 million joint capital payment to the City of Richmond, along with other
water and sewer projects. There is no recommended increase in water or sewer capacity fees.


                           FINANCIAL CONDITION OVERVIEW
In January 2011, Hanover County’s ‘Triple-AAA’ rating status was affirmed by all three national bond rating
agencies. Moody’s Financial Service, Fitch Ratings and Standard & Poor’s all praised Hanover’s financial
management and noted that economic trends are slowly improving. “The AAA ratings reflect the County’s
sizeable tax base, sound and effectively-managed financial position with sound reserve levels and manageable



                                                       31
                     Appendix to County Administrator’s Letter
debt burden,” Moody’s reported. “Moody’s expects Hanover County to continue its conservative budgeting
approach and effective expenditure management to maintain a sound financial position.” “The County’s
financial management is strong, mitigating concerns raised by growth pressures,” reported Fitch Ratings,
which cited the County’s “ample reserves, controlled expenditure growth and conservative out-year financial
planning.” Standard & Poor’s expects “economic development to continue to strengthen the economy further,
as well as the employment and tax bases, while allowing the County to maintain its rural nature.” “The
County’s excellent fiscal policies, as well as adherence to those policies, and overall health of its financial
position provide rating stability,” Standard & Poor’s added. These strong ratings have enabled Hanover
County to receive low interest rates when issuing debt with the most recent bond sale in January 2011
receiving a total interest rate at 4.19%. Proceeds from that bond sale will complete the financing for the Bond
Referendum projects approved by voters in 2005.

The County relies upon a strong fund balance policy, which reserves at least 10.0% minimum (10.6% goal) of
its General Fund revenues (the industry benchmark for a fiscally well-managed local government). When
balances are projected to be above such thresholds, excess balances can be either saved for future years in
which economic conditions warrant using it to mitigate one-time revenue shortfalls or for expenditure
mandates targeted for future capital needs to mitigate debt or other local funding needs. The undesignated
fund balance as of June 2010 was $24.5 million, which represented 12.6% of General Fund revenues. The
fund balance is projected to be favorable on June 30, 2011, after meeting year-end fund balance policy
thresholds and planned needs for the FY12 budget. The Five-Year Financial Plan is balanced each year, and
its reliance on the use of surplus each year reinvested into the subsequent year is at a conservative level that
should be accomplished; therefore compliance with the fund balance policy is expected to be maintained
throughout the next five years.




Beginning in August 2008, the County began to experience revenue reductions primarily in sales tax
collections, personal property taxes and development related fees. By the end of FY09 the economic
slowdown produced lower than budgeted revenue of $8.5 million (4.1%). County management, recognizing
that the recession would impact multiple years, established a $2.1 million new reserve for revenue stabilization
on June 30, 2009. The intent of this new reserve is to provide a source of one time funding to provide
flexibility as the County continues to weather the recession. The FY12 budget includes use of $1.6 million of
the reserve for revenue stabilization.

Our strategies to address recessionary challenges and Hanover’s focus on long-term planning have positioned
the County well to continue to provide high quality services to our citizens. The County Administrator’s
Office recognized the slowdown very early in FY09 and established a new task force to address the decreasing



                                                       32
                     Appendix to County Administrator’s Letter
revenues, entitled the “Fiscal Reality Initiative”. This team, made up of representatives from County
Administration, Finance, Economic Development and the Commissioner of the Revenue offices, meet on a
regular basis to share information on revenue trends, economic information and forecasts, to better anticipate
future revenue streams and to provide the foundation for short-term and multi-year financial planning.

Even through the recent recession, the County remains strong and resilient as demonstrated by the following
indicators of continued economic strength and strong financial condition:
     Virginia historically weathers recessions better than the Country and Hanover weathers in a manner
        similar to Virginia. The County’s unemployment rate of 5.9% in March 2011 is below the State’s
        6.3% and compares favorably to the national rate of 9.2%;
     Because our long-term facility requirements were substantially met with the 2005 referendum projects
        the County is in an envious position of having reduced capital financing and cash funding needs in the
        Five-Year Plan which has provided for enhanced flexibility in financial planning. Recent capacity
        from new schools and additions combined with flat enrollment growth has enabled the schools to
        structure their CIP needs to allow for no new schools, but rather, several substantial renovations. In
        addition the replacement program for seven (7) fire and emergency medical services stations will be
        completed by 2011, finishing all major station projects. In addition, the targeted square footage per
        person has been achieved with the completion of recent library projects. The County has long-term
        solid waste contracts through 2023;
     One of Hanover’s strengths in the current economically challenging times has been our stable real
        estate tax base. The total value of taxable real estate in the County has decreased by only 0.5% for
        calendar year 2010 as the result of a 1.6% decrease from reassessments and 1.1% increase from new
        construction and natural growth. This compares favorably to our neighbors who have seen more
        significant reductions in real estate reassessment;
     Our retail vacancy rate of 5.5% is very low;
     Hanover has added 2.2 million square feet of new business construction since 2006;
     Foreclosures have remained steady and low as compared with other jurisdictions;
     Hanover citizens continue to benefit from high sales tax per capita of $150 in FY10;
     While the average new home sale values are down from $347,400 in 2009 to $272,100 in 2010, the
        average overall home assessment is from $278,200 in 2009 to $262,500 in 2010. The ability of
        existing homeowners to sell their homes at good values and shorter times on the market than regional
        benchmarks recognizes the demand and value that exists for the County’s quality of life and strong
        business environment;
     Schools enrollment growth is expected to decrease by 0.1% in FY12, with a total enrollment of 19,110
        estimated for September 2011.

To assess internally our financial health, the County has traditionally tracked State-published indicators of
fiscal stress and median adjusted gross income. The most recent State report shows that Hanover has the 16th
lowest level of fiscal stress and the 15th highest median adjusted gross income ($47,362). A component of the
fiscal stress index is a locality’s tax rate compared to State-wide averages, with low tax rate jurisdictions
assigned a lower stress as they would appear to have the greater capacity to generate additional revenue.
Hanover has the lowest regional real property tax rate of $0.81 as compared to Henrico’s $0.87, Chesterfield’s
$0.97 and Richmond’s $1.20. The preceding economic highlights are not only very strong indicators of fiscal
health, but also indicative of the traditionally strong indicators that the County has maintained or improved
over many years.

A general indicator of the efficiency with which the County operates is an analysis of comparative per capita
spending in functional areas as prepared by the State’s Auditor of Public Accounts. It shows that only in the
County’s two priority service level areas, public safety and education, is Hanover above the statewide per




                                                      33
                      Appendix to County Administrator’s Letter
capita averages. Education is slightly above (6.2%) the state-wide average demonstrating the two Boards’
commitment to quality education while maintaining efficient delivery of the educational services. Hanover’s
School system received notice from the State Department of Education that it had the 22nd lowest cost per
pupil in the State of Virginia in 2007-09 (per pupil cost excludes debt service and capital costs).

All of our other functional areas are below the Statewide averages for counties. Demonstrating the County’s
emphasis on efficiently providing services, the County’s general government function is at 82.2% of the
statewide average. We are also below our regionally comparative governments of Henrico at 152.9%,
Chesterfield at 95.1%, City of Richmond at 171.8%, Spotsylvania at 65.3%, Stafford at 71.3%, and Albemarle
at 83.4%. While it is not practical to provide an in depth analysis as part of this synopsis, the three areas –
Public Safety, Education and General Administration – represent the two of the Board’s priorities and one
other representative function of local government, respectively. The County’s Community Development
function, while operating at 48.0% below the statewide average, has significantly contributed in recent years to
the quality of life in Hanover County, the diversification of the County’s revenue base, and to the County’s
ability to attain triple AAA bond status.


                        Hanover County - % of Statewide Local Government Expense Per Capita Average
                                              by Function (State Avg. = 100%)
              %
             135

             125

             115

             105

              95
                                                                  `
              85

              75

              65
                     2003      2004        2005           2006         2007         2008   2009        2010


                             Gov't Admin          Public Safety         Human Services     Education




                            ECONOMIC DEVELOPMENT UPDATE
The Board of Supervisors’ adopted Economic Development Strategic Plan encourages and supports the growth
of existing and new businesses. This plan outlines the County’s four major economic development goals:
expansion of the tax base, economic stability, job retention, and job creation. The plan identifies target
industries, utilization of incentives, the establishment of economic development zones for infrastructure
enhancement, and revisions to the County’s development regulations. Six Economic Development Zones
(EDZs) give priority consideration for development of infrastructure and fast track permitting to support new
and expanding industrial and office projects in the County. Selection of the EDZs was based on several
factors: Comprehensive Plan designation, site location, cost to serve the site with infrastructure, the amount of
product currently available for sale, and the level of private sector activity occurring in the area. The County’s
commercial tax base continues to grow through a combination of existing business expansions and new
business attraction. From FY05 through FY10 commercial and industrial development has accounted for
40.0% of the total value of building permits issued in Hanover.




                                                                  34
                     Appendix to County Administrator’s Letter

The Dominion Resources GreenTech Incubator (DRGI) is a partnership Hanover County has with the Virginia
Biotechnology Research Park, the Town of Ashland, and Dominion Resources. The incubator includes both a
domestic incubation program and an international commercialization center. DRGI serves both domestic and
foreign entrepreneurs starting early stage businesses focused on clean, green, alternative energy related
technologies and services. The incubator currently has seven member firms.

Doswell Laminating and Coating is a recent success for Hanover County. Management staff and investment
bankers worked out the purchase of the complete asset including the real estate, facility, and machinery and
tools allowing for the company to continue to operate and save over 30 jobs. Another initiative to promote and
keep business in Hanover County was our front page story in the Winter Edition of the Hanover Review
explaining the positive impact to local businesses as well as priority government services when residents shop
local. The “Live Here, Shop Here” campaign has continually been promoted throughout the year.

Hanover County is regarded as a positive business environment by the business community itself. Over 100
companies were interviewed and 65% rated the overall business climate in Hanover as good or excellent. Over
half of these businesses consider themselves to be growing, with 30% anticipating adding new jobs in the
coming year. Our businesses have rated the quality of the local workforce at 87%, indicating positive business
and employment trends being created for Hanover County. Another positive indicator is that businesses are
continuing to make capital investments, showing that over the past 18 months 28% indicated that overall
investment in their facility had increased, while 34% reported increased investment in equipment.

The County is proud to have four major business parks: Atlee Station, Northlake, Lakeridge Industrial Park,
and the Air Park. Together, these sites have more than 600 acres of zoned property and more than one million
square feet of office and commercial space that are now generating revenue for the County and creating high-
quality employment opportunities for residents. Winding Brook continues to market aggressively to
significant retail and hospitality end users. The increase in leasing activity at the Air Park has been another
positive sign in our overall economic development outlook.

The County continues to position itself well for economic development in the region. The County has the
lowest property tax rate; no business, professional and occupational license tax (BPOL); available commercial
and industrial sites; and water and wastewater capacity. In addition, the County utilizes comprehensive
planning that targets business development for appropriate areas while maintaining a high quality of
residential, forestry, and agricultural uses in other parts of the County.




                                                      35
                  County and Departmental Achievements

Hanover County and several departments were recognized for outstanding achievement in the
last year:

    Hanover County was ranked by America’s Promise Alliance as being among the nation’s
     “100 Best Communities for Young People”. It’s the third time in a row that the County
     has received the recognition; Hanover was among 8 in Virginia. Presented by ING, the 100
     Best designation recognizes communities that make youth a priority by implementing
     programs that help keep children in school and prepare them for college and the 21st
     century workforce. The competition was open to all communities that make children and
     youth a priority, including small towns, large cities, counties and school districts.
    Hanover County has become only the second county government in Virginia to receive a
     U.S. Senate Productivity and Quality Award (SPQA). Hanover is this year’s only
     recipient of the SPQA Certificate for Commitment to Performance Excellence.
     “Recognition at this level is provided to organizations that have demonstrated, through
     their commitment and implementation of effective management principles, notable
     progress in building sound processes,” Virginia SPQA noted in a press release from Bob
     Bowles, Executive Director. A non-profit, all-volunteer organization, Virginia SPQA
     administers the Commonwealth’s version of the national Malcolm Baldrige Program,
     which is used by many top public and private organizations as a proven business model.
     Only 79 private, public and non-profit businesses in Virginia have received the SPQA
     Award, with Chesterfield being the only other County Government to be so recognized.
     Hanover Public Schools was Virginia’s first School Division to receive the SPQA for
     Continuing Excellence. Chesterfield is also the only other county in Virginia to have both
     its County Government and School District receive an SPQA award.
    Fire/EMS won a 2010 National Association of Counties (NACo) Achievement Award
     for a program which has improved response times for EMS calls by more than 8%. The
     same program also was named “Best in Category” by the national association, which
     represents more than 3,000 counties. The program enables Hanover’s EMS paramedics to
     reach stricken patients more quickly by using well-deployed Quick Response Vehicles
     (QRV). Changes in how QRV and other EMS units are deployed have increased efficiency
     without additional personnel or funding. Development of a Quick Response Program was
     a Fiscal Year 2010 Initiative of the Hanover County Board of Supervisors. The award-
     winning entry to NACo was entitled “Next-Generation Emergency Medical Response
     through Data Analysis & Planning.” NACo’s Achievement Awards recognize counties
     for “creative and innovative program development and implementation, efficient
     administrative management of county agencies and responsible government to local
     citizens.” NACo is the only national organization that represents county governments in
     the United States.  
    The Department of Economic Development received a 2010 Virginia Association of
     Counties’ (VACo) Achievement Award for its Dominion Resources GreenTech Incubator
     partnership with the Town of Ashland, Dominion Resources, the Virginia BioTechnology
     Research Park (VBRP) and the Virginia Biosciences Development Center. Opened in
     January, the GreenTech Incubator program aims to develop (‘incubate’) high-technology
     growth companies that will offer innovative products and services in the alternative energy
     field and other clean and green technologies. It also seeks to provide a “soft landing” for
     international green technology companies. VACo’s Achievement Awards program




                                              36
                 County and Departmental Achievements

    recognizes innovative, model county government programs across the State. Only 14
    programs in the Commonwealth won a VACo Achievement Award this year.  
   The International Academies of Emergency Dispatch (IAED) accredited the Hanover
    County Department of Emergency Communications as an Emergency Fire Dispatch Center
    of Excellence. Hanover County is the 14th Emergency Dispatch Center in the world to be
    awarded this highest distinction. The accreditation is the result of the Department’s
    comprehensive implementation and compliance with the Fire Priority Dispatch System and
    associated “20 Points of Excellence.” The “20 Points of Excellence” are standards that
    must be met by agencies before they can receive accreditation; each point must be verified
    through documentation. To receive this Emergency Fire Dispatch Center accreditation, the
    Department had to achieve scores of no lower than 90% in seven categories and a total
    compliance score of at least 95%. As part of the accreditation, Hanover Emergency
    Communications also had to demonstrate that they comply with all standards requiring
    proper system oversight, fire administration controls and quality improvement programs.
    All emergency call-takers had to be properly certified: in Hanover’s case, all
    communications officers get 2 ½ months of classroom training and 8-12 months of on-the-
    job training. This is the Department’s second major accreditation in two years. In 2008,
    the Department became only the 123rd agency in the world to be accredited as an
    Emergency Medical Dispatch (EMD) Center of Excellence by the IAED.
   VACO named Hanover County as one of the 10 recipients of the 2009 Go Green Award.
    The Go Green Initiative is a partnership between the Virginia Association of Counties and
    the Virginia Municipal League that recognizes local governments that have implemented
    practical actions that improve energy efficiency and reduce carbon emissions.
   The Community Services Board was the only local government agency to be recognized as
    a 2010 “Industry Leader” by the National Safety Council. The Department’s employees
    worked 250,529 hours without any time lost to injuries in 2009. The Department is one of
    81 companies nationwide to be honored with the Award, which recognizes the top 5% of
    member companies, units and facilities that meet safety criteria. Nineteen (19) other
    County departments (as well as the County itself) received the Occupational Excellence
    Award bestowed by the National Safety Council.
   Hanover County has received a national award for the excellence of its use of Information
    Technology to improve the delivery of county services. Hanover was ranked first among
    counties with a population of 150,000-249,999 by The Center for Digital Government in
    the Center’s 2010 Digital Counties Survey Awards. The Digital Counties Survey is
    conducted in partnership with NACo each spring. All U.S. counties are invited to
    participate.
   The Virginia Public Library Directors Association recognized the Mechanicsville Library
    as the Outstanding Library Facility. This is awarded for renovations or new
    construction. The Virginia Public Library Directors Association has named the new
    Mechanicsville Library as its Outstanding Facility. Facilities which were either new or
    renovated in 2009 were eligible for the award. Library Director Tom Shepley received the
    award on behalf of the Pamunkey Regional Library at the annual meeting of the Virginia
    Public Library Directors Association at Graves Mountain, VA on April 23. 
   The Department of Public Utilities won numerous awards for meeting regulatory standards.
    The Doswell Water Treatment Plant has received a Gold Award for Excellence in
    Granular Media Filter Water Treatment Plant Performance from the Office of Drinking




                                             37
                 County and Departmental Achievements

    Water of the Virginia Department of Health. This is an annual award and the Doswell
    Water Treatment Plant has received it for the last six years. This award is given to those
    operations which achieve Virginia’s goals for clarification and filtration. The VDH
    regulates water quality standards in the Commonwealth of Virginia. The Ashland and
    Totopotomoy Wastewater Treatment Plants have received NACWA Platinum Peak
    Performance Awards for five or more consecutive years of 100% NPDES permit
    compliance. NPDES (National Pollutant Discharge Elimination System) permits are issued
    by the U.S. Environmental Protection Agency to systems that meet the agency’s
    requirements for protecting water quality. Platinum Awards are given to member agency
    facilities that have received Gold Awards for five or more consecutive years. The Ashland
    WWTP has had 11 consecutive years of perfect compliance and the Totopotomoy WWTP
    has had 5 consecutive years of perfect compliance. The Courthouse Wastewater
    Treatment Plant received a Gold Peak Performance Award and Doswell Wastewater
    Treatment Plant received a Silver Peak Performance Awards from the NACWA. Gold
    Awards honor treatment facilities that have achieved 100% compliance with NPDES
    permit limits for an entire calendar year and Silver awards are given for less than five
    permit excursions in an entire calendar year.
   The Sheriff’s Office received dual re-accreditation awards from the Commission on
    Accreditation for Law Enforcement Agencies (CALEA) and the Virginia Law Enforcement
    Professional Standards Commission (VLEPSC). With these awards, the Sheriff’s Office
    remains one of only 24 law enforcement agencies in Virginia to have earned and
    maintained international designation through CALEA and one of 82 agencies in the
    Commonwealth to have earned and maintained state accreditation through the VLEPSC.
    The Sheriff’s Office also placed second in the National Law Enforcement Challenge
    Award program and won the Virginia Law Enforcement Challenge. The Law Enforcement
    Challenge program promotes professionalism in traffic safety enforcement and encourages
    agencies to share their best practices and programs with other law enforcement agencies
    throughout the nation. Agencies compete with other jurisdictions that have similar-sized
    organizations. The Sheriff’s Office also was accredited by the Virginia Department of
    Criminal Justice Services as a Certified Crime Prevention Community. This is the second
    time the Sheriff’s Office has received this designation. The Sheriff’s Office is one of 13
    Virginia jurisdictions that currently hold this designation.
   Finance and Management Services received a Distinguished Budget Presentation Award
    from the Government Finance Officers Association (GFOA) for the 20th consecutive year
    and the Certificate of Achievement for Excellence in Financial Reporting for its
    Comprehensive Annual Financial Report (CAFR) for the 25th consecutive year.
   County Administration has guided Hanover County to its maintaining its Triple-AAA
    bond rating, the highest possible. In January 2011, Hanover County’s ‘Triple-AAA’ rating
    status was affirmed by all three national bond rating agencies. We have become the
    smallest County, in terms of population, to be rated AAA by all three ratings agencies; the
    next smallest has 170,000 residents. Only 1.2% of county governments in the U.S. have
    three AAA bond ratings. There are now 36 Triple-AAA’s out of 3,034 counties in the U.S.




                                             38
                       Hanover
                       County
                                                                         Citizens of Hanover County




Clerk of the Circuit                                                             Board of                                                                    General Assembly
       Court                                                                    Supervisors                                                                     & Govenor



Commissioner of
   Revenue                                                                   County
                                                                                                                                       County Attorney              Court System
                                                                           Administrator


 Commonwealth
   Attorney
                                                                                                                                        School Board                  Registrar
                        Deputy County         Deputy County          Assistant County      Assistant County
                        Administrator         Administrator           Administrator         Administrator

      Sheriff
                                                                                                                                       Social Services
                                                                                                                                                                          Health
                                                                                                                                           Board
                                                                            Community
                             Assessment         Parks & Recreation                              Animal Control            CSB
                                                                            Resources
    Treasurer
                                                                                                                                        Community
                                                                                                                                                                      Extension
                              Finance &                                                                                                Services Board
                                                                                                                        Economic
                             Management              Planning            Human Services       Building Inspections
                                                                                                                       Development
                               Services
                                                                                                                                         * Pamunkey
                                                                                                                                         Regional Jail
                                                                                                 Emergency
                           General Services       Public Utilities                                                   Human Resources
                                                                                               Communications

                                                                                                                                         Pamunkey
                                                                                                                                       Regional Library
                             Information
                                                   Public Works                                    Fire/EMS
                             Technology

                                                                                                                                          Planning
                                                                                                  Community                              Commission
                             Internal Audit                                                    Corrections & Pre-
                                                                                                 Trial Services
                                                                                                                                       Other Boards &
                                                                                                                                         Authorities




                                                                                                                                       * Regional Board made up of some
                                                                                                                                       Hanover County appointees


                                                                                                39
                     History and Description of Government
History
The County of Hanover, Virginia was formed on November 26, 1720 by the Virginia General Assembly
in “An Act for dividing New Kent County.” It is named for King George I of England, who, at the time
he came to the throne, was Elector of Hannover in Germany. Two of the County’s native sons – Patrick
Henry and Henry Clay – distinguished themselves as orators, patriots, and statesmen in the early history
of this country. Prior to English colonization in the 17th century, the Pamunkey Indians populated this
area. Our northern boundary, the Pamunkey River, carries their name, and they maintain a reservation on
the lower part of the river in neighboring King William County. The Town of Ashland, Virginia, was
incorporated in 1858 and is located within the County. The Town was originally founded as a summer
community by the Richmond, Fredericksburg, and Potomac (R,F&P) Railway.

Demographic and Economic Factors
Located in Central Virginia about 15 miles north of Richmond and 70 miles south of Washington, D.C.,
the County of 471 square miles, or 301,000 acres, lies in the Commonwealth’s Piedmont and Coastal
regions. Approximately 33% of the land in the County is utilized for agricultural and 33% for forestal
purposes. The County is bordered by the Counties of Caroline, King William, New Kent, Henrico,
Goochland, Spotsylvania, and Louisa, and by the Pamunkey (where the North and South Anna Rivers
merge), North Anna, and Chickahominy Rivers. The County’s residential, commercial, and industrial
areas are growing at moderate rates. New residents are attracted to Hanover’s exceptional schools, low
taxes, and low crime rate. The County houses one private college, Randolph-Macon, which was founded
in 1830.

Transportation
Based upon its proximity to Richmond and its rural character, the County has been an attractive location
for businesses relocating or expanding, and for real estate developers interested in the opportunities in
residential markets. The County is primarily served by Interstates 95 and 295, with Interstate 95
connecting the County to the metropolitan Richmond area to the south and providing the passage to
Fredericksburg and Washington, D.C. to the north. Interstate 295 connects the east and west portions of
the County together and represents a “loop” around the metropolitan Richmond area. U.S. Routes 1 and
301 are north/south primary roads: Route 1 runs parallel to I-95 and 301 runs northeastward toward
Annapolis, Maryland. Maintenance of the primary and secondary roads of the County is under the
jurisdiction of the Virginia Department of Transportation. Railroad passenger service is provided by
Amtrak. Air transportation needs are served by the Richmond International Airport (RIC), located in
neighboring Henrico County, while the Hanover County Municipal Airport operates primarily for small
business and personal aircraft.

Tourism
Home of the internationally renowned Hanover Tomato, the County has a rich history and proud heritage.
The landscape is marked by numerous historic sites and homes, including Scotchtown, the Hanover
County Courthouse, and the Hanover Tavern. There are two national battlefields maintained and opened
year round. Over two million visitors annually enjoy the thrills of Kings Dominion, a 630 acre
amusement park featuring over 100 rides and shows. Not only is the County known for its own tourism
sites, but it also is a point of origin from which many of the area’s historical, amusement, and
entertainment options can be visited.

Description of Government
The County is a political subdivision of the Commonwealth of Virginia and currently employs the
traditional Board form of government with a County Administrator. Policies governing the
administration of the County are set by a seven member Board of Supervisors, elected from seven
magisterial districts. A chairman and vice-chairman are selected by the Board on an annual basis from




                                                   40
                      History and Description of Government
among its members. The Board is responsible for formulating policy, directing certain governmental
services, and appointing members of various boards and agencies to implement specific policies or
provide certain services. The body also has responsibility for appointing the County Administrator, who
serves at the pleasure of the Board, implements Board policies, directs business and administrative
procedures, and provides recommendations for various County boards and agency appointments. The
County has taxing powers subject to statewide restrictions and tax limits. The operation of public schools
in the County is vested in a seven member Hanover County School Board, the members of which are
appointed by the Board of Supervisors. The local share of the cost of operating public schools is met with
an appropriation by the Board from the County’s general fund. Operations of the School Board, however,
are independent of the Board of Supervisors and County administration as prescribed by Virginia law. A
Superintendent is appointed by the School Board to administer the operations of the County’s public
schools.
The Town of Ashland provides certain additional levels of service to its residents. The ordinances and
regulations of the County, with certain limitations as prescribed by State law, generally apply to Ashland.
Property in Ashland is subject to both Ashland and County taxation, and Ashland may incur bonded
indebtedness without the approval of the County.




                                                                 Estimated Population (2011) – 100,974
                                                                 Per Capita Income (2008) – $ 43,426
                                                                 Median Age (2000 census) – 37.4
                                                                 Estimated School Enrollment (K-12)
                                                                   (September 2011) – 19,110
                                                                 Unemployment rate (Mar. 2011) – 5.9%




                                                    41
                County Funds Structure and Basis of Budgeting

Basis of Accounting
The County’s accounting records are maintained on a modified accrual basis for the General Fund,
Special Revenue Funds, and Capital Improvement Funds. Under the modified accrual basis of
accounting, revenues are recognized when susceptible to accrual, i.e., as soon as they are both
measurable and available. Revenues from intergovernmental reimbursement grants are recorded
when earned. Other revenues are considered to be available when they are collectible within the
current period or soon enough thereafter to pay liabilities of the current period. For this purpose,
the County considers general property tax and other intergovernmental revenues to be available if
they are collected within 31 days of the end of the current fiscal period, and are due on or before the
last day of the current fiscal period. Expenditures generally are recorded when a liability is
incurred, as under accrual accounting. However, debt service expenditures, as well as expenditures
related to compensated absences and claims and judgments, are recorded only when payment is due.

Funds Accounting
The accounts of the County and its discretely presented component units (Hanover County Public
Schools and the Economic Development Authority) are organized on the basis of funds, each of
which is considered a separate accounting entity. The operations of each fund are accounted for
with a separate set of self-balancing accounts, which comprise assets, liabilities, fund equities,
revenues, and expenditures, or expenses, as appropriate. The various funds are summarized by
governmental or business-type activities in the general purpose financial statements, while
component units are reported in separate columns/rows. The following fund types and account
groups are used by the County:
  A. Governmental Fund Type – Governmental type funds are those through which most
     governmental functions of the County are financed. The acquisition, use, and balances of the
     County’s expendable financial resources and the related liabilities (except those accounted for
     in proprietary funds) are reported through governmental funds. The measurement focus is
     upon determination of changes in financial position, rather than upon net income
     determination. The County’s governmental fund types are:

     General Fund – The general fund is the chief operating fund of the County. All general tax
     revenues and other receipts that are not allocated by law or other contractual agreement to
     another fund are accounted for in this fund. From this fund are paid the general operating
     expenditures, the fixed charges, and the capital improvement costs that are not paid through
     other funds. This fund contains the operating budgets for most traditional local government
     programs such as Public Safety, Parks and Recreation, and Public Works.

     Special Revenue Funds – Special revenue funds account for the proceeds of specific revenue
     sources (other than major capital projects) that are legally restricted to expenditures for
     specified purposes. Special revenue funds consist of the Comprehensive Services and
     Community Services funds of the primary government; the School, Food Service, and
     Textbook Funds of the School Board component unit; and the Economic Development
     Authority Fund.
       1. Comprehensive Services Fund – This fund reflects revenues and expenditures associated
           with providing child-centered, family-focused, and community-based system of services
           for youth with emotional or behavioral problems. Revenues are derived from General
           Fund transfers, state aid, and reimbursements from various insurance programs.




                                                  42
              County Funds Structure and Basis of Budgeting

     2. Community Services Fund – This fund reflects revenues and expenditures associated
        with providing a comprehensive system of community-based mental health, mental
        retardation, and substance abuse services. Revenues are generated primarily from
        General Fund transfers, charges for services, and state and federal aid.

     3. School Fund – The School Fund is the primary operating fund for all education-related
        governmental activities. Revenues come primarily from General Fund transfers and
        state and federal aid.

     4. Food Services Fund – The Food Service Fund accounts for all of the operations of the
        school food services program. Revenues are generated from charges for services and
        state and federal aid.

     5. Textbook Fund – The Textbook Fund provides administration, maintenance, and control
        over all of the textbooks used in the schools. Revenues are derived from General Fund
        transfers and state aid.

     6. Economic Development Authority (EDA) Fund – This fund reflects revenues and
        expenditures associated with the issuance of tax-exempt industrial development revenue
        bonds to qualifying enterprises wishing to utilize that form of financing. Those bonds
        representing limited obligations of the EDA are to be repaid solely from the revenue and
        receipts derived from the projects funded with the proceeds. The debt outstanding does
        not constitute a debt or pledge of the faith and credit of the County or the EDA.

   Capital Improvement Funds – Capital improvement funds are used to account for financial
   resources to be used for the acquisition or construction of major capital facilities other than
   those financed by proprietary funds. The County maintains two capital improvement funds.
     1. County Improvement Fund – This fund controls the financing and construction of most
         non-educational County facilities, such as parks, libraries, and public safety facilities.
         The Board of Supervisors approves these projects through the County’s Capital
         Improvement Program (CIP). Revenue sources for this fund include transfers of local
         tax funding from the General Fund, the issuance of debt, and grants and developer
         contributions (proffers).

     2. School Improvement Fund – This fund controls the financing and construction of local
        educational facilities. Revenue sources consist of local tax funding from the General
        Fund, the issuance of debt, and developer contributions.

B. Proprietary Fund Type – Proprietary funds are used to account for a government’s business-
   type activities. The services provided in these funds are intended to recover all or a significant
   portion of their costs through user fees. The County’s proprietary fund types are:

   Enterprise Funds – Enterprise Funds are used to provide services that are financed and
   operated similarly to those of a private business enterprise. The County has two enterprise
   funds: Public Utilities Fund and Airport Fund.




                                                43
                County Funds Structure and Basis of Budgeting
       1. Public Utilities Fund – This fund accounts for the operation and maintenance of the
          County’s water and sewer system. The County’s Department of Public Utilities operates
          and maintains public water and wastewater systems in the Suburban Service Area, the
          Hanover Courthouse Area and five rural residential subdivisions. Operations and capital
          expenditures are funded with revenues generated from customer user fees and one-time
          fees paid for capacity at the time of connection to the system.

       2. Airport Fund – An Airport Fund was created in February 2007 to account for the
          County’s oversight of the Hanover County Airport. A fixed base operator (FBO)
          handles the day-to-day operations of the airport. Revenues are derived primarily from
          rental income provided by the FBO, state aid, and General Fund transfers.

     Internal Service Fund – An Internal Service Fund is used to account for the costs of operations
     for services provided to other County departments. The County maintains one internal service
     fund.
           Self-Insurance Fund – This fund provides for the fiscal management of the County and
           School Board health insurance premiums. Revenues are generated primarily from
           premiums charged to employees and to departments.

 C. Fiduciary Fund Type – Fiduciary funds are used to report resources that are used to report
    assets held for others and cannot be used to support the locality’s programs. The County has
    five fiduciary funds; however, only the following two are appropriated.
      1. Bell Creek Community Development Authority Fund – This fund is used for the
           collection of revenue to provide for the repayment of the 2003 Special Assessment
           bonds issued for the Bell Creek Community Development Authority.

       2.   Lewistown Commerce Center Community Development Authority Fund – This fund is
            used for the collection of revenue to provide for the repayment of the 2007 Revenue
            bonds issued for the Lewistown Commerce Center Community Development
            Authority.

Basis of Budgeting
In most cases, the County’s budget follows the same basis of accounting used in preparing the
County’s Comprehensive Annual Financial Report (CAFR), which is prepared in accordance with
generally accepted accounting principles (GAAP). Several exceptions should be noted. The budget
document does not include the following funds listed as Fiduciary Funds in the CAFR: the Escrow
Fund, Special Welfare Fund, and the Retiree Medical Benefits trust. Fiduciary funds are used to
account for resources received and held in a fiduciary capacity for the benefit of individuals, private
organizations, or other governments. In addition, budgets for the proprietary funds are adopted in
accordance with GAAP with the exception that the budget recognizes the flow of funds (i.e.,
payment of debt principal is budgeted and depreciation is not budgeted).




                                                  44
                                        Budget Process

The budget is the County’s plan of how to collect and distribute revenues to departments in a
manner that addresses the most critical public needs. Balancing a list of resources to an almost
always longer list of needs is never easy. That is why the County devotes so much time and energy
to the budget process.

In 1989 Hanover County began preparing a Five-Year Financial Plan for the General Fund. The
plan is an integral part of the budget process, forming the basis for determining funding priorities.
Priority is generally given to those items in the prior year’s plan. Departments requesting funding
for items not in the plan must clearly demonstrate what has occurred during the past year to make
the item a priority. Knowing that the items included in the plan are more likely to be funded,
departments plan for their growth and related resource needs five years at a time instead of year-to-
year. All five years of the plan are adopted by the Board of Supervisors, however, only the first
year is appropriated.

The County Administrator, after consultation with department heads, identifies budget objectives
for the upcoming fiscal year. The budget objectives provide policy direction for the formulation of
the County Administrator’s proposed budget, while the County’s budget calendar identifies
important dates throughout budget preparation and adoption. The budget calendar is described in
detail below.

September/October
The Finance Department and County Administrator establish a budget schedule by October 1. Budget
development begins in late September when operating and Capital Improvement Program (CIP)
budget worksheets are made available to all County department and agency heads. Budget training
is held the first week of October with instructions for the upcoming budget process. All budget
requests are due to the Budget Division at the end of October, providing detail as to personnel,
operating and capital requests, including five-year CIP requests, five-year financial plan requests
and performance objectives. Letters are mailed to community organizations to solicit contribution
requests. County and School officials meet to reach consensus of enrollment projections, funding
resources available, CIP needs and operating needs.

November
Budget Division analyzes and compares operating budget, personnel and CIP requests to target
budgets established in the Five-Year General Fund Financial Plan. Budget requests are reviewed
for feasibility and adjustments to personnel are reviewed for cost/benefit justification and relation to
performance objectives. Outside organizations submit contribution requests. The County
Administrator begins meeting with each department head to discuss needs and requested
enhancements. County and School officials continue to meet and agree on a School target.

December
The County Administrator continues to meet with department heads. Preliminary estimates of
revenues are compiled. The Governor presents his Recommended Budget to the General Assembly.
County and School officials agree on target allocation of General Fund resources.

January
The County Administrator adjusts departmental requested budgets and works with Budget Division
staff and County Administrator’s senior staff to prepare a balanced budget for the Five-Year
Financial Plan. The Superintendent presents a recommended budget to the School Board by



                                                  45
                                       Budget Process

January 15 and the School Board approves the budget request, with any enumerated changes, by
February 1. During the second half of the current fiscal year, quarterly financial reports are
prepared by the Department of Finance and presented to the Board of Supervisors. The General
Assembly begins to review the Governor’s budget and applicable changes by the General Assembly
are made in the County’s budget.

February
Budget staff organizes, edits, and compiles the final draft of the County Administrator’s Proposed
Budget. The County Administrator presents the proposed budget to the Board of Supervisors.
Copies are made available to the public and on the County’s website. Summaries of the County
Administrator’s Proposed Budget are distributed to citizens, citizen action groups, businesses,
media and other interested parties.

March
Department workshops are held by selected department heads and County staff to provide the
Supervisors and citizens with an understanding of the proposed budget. Public notices of the
budget summary, CIP, and all rate and user fee changes are published in the local paper, giving the
citizens and other interested parties sufficient notice as to the date, time and place of public
hearings. Based on input from County staff, the Supervisors make any necessary adjustments to the
County Administrator’s Proposed Budget. The Planning Commission also reviews the Five-Year
CIP and issues a resolution for the Board of Supervisors’ consideration.

April
Public hearings are held on the proposed budget and any changes in tax rates or County ordinances.
The Proposed Budget and Five-Year Financial Plan are amended based on updated revenue
projections, applicable General Assembly action and direction from the Board of Supervisors. The
Board adopts a line-item budget, but appropriates by fund and major expenditure category as
defined by the Auditor of Public Accounts. The Board sets tax rates and makes ordinance changes.
The Board also adopts a Five-Year CIP and a Five-Year Financial Plan for the General Fund.
Statutory deadlines for budget adoption are May 1 for the School Board and June 30 for the County.
The County adopts the budget in early April to provide sufficient notice to taxpayers for the first
half real property tax bills due on June 5.

May/June
The adopted budget document is prepared, distributed, and placed on the County’s website.

July
Department and agency heads submit requests to reappropriate unencumbered operating balances
into the subsequent fiscal year. Reappropriations represent goods or services which had been
previously approved in the existing budget but due to time constraints, delay in receipt, etc., these
goods or services were not acquired during the current fiscal year. Requests are reviewed and
adjustments are made. Encumbered items and unencumbered capital balances are reappropriated
for the life of the projects, unless amended by the Board, effective July 1 of each year.

August
The County Administrator recommends to the Board of Supervisors reappropriation of
unencumbered operating balances from the previous fiscal year. Adjustments, if any, are made to
the County Administrator’s recommended reappropriations.



                                                 46
                                                  Hanover County
                                                  Budget Process



                                                          Budget Development
                                                         Worksheets Distributed
           Reappropriations are submitted by                Late September               Budget Training for
             departments and evaluated for                                                  Departments
           approval by County Administration                                              Late September
                         July
                                                                                                Budget Schedule
       Adopted document is prepared and
                                                                                      Finalized with County Administration
                 distributed
                                                                                                    October 1
                 May - June
   Budget and Tax Rates                                                                                     All budget requests
         Adopted                                                                                          due to Budget Division
           April                                                                                               Late October

Public hearings are held on                                                                      Analysis of budget request as compared
operating and capital budget                                                                          to Five-Year Financial Plan
           April                                                                                      November - early December

   Public notices are released and work                                                      County Administrator meets with
sessions are held with interested parties to                                               Department Heads to discuss needs and
     understand the proposed budget                                                              requested enhancements
                  March                                                                           November - December


        Proposed budget is presented                                                          Budget Division and County
        by County Administrator and                                                           Administration work to create
                distributed                                                                      a balanced Five-Year
                 February                                                                            Financial Plan
                                                                                                        January

                      Budget Staff organizes and edits final              School Superintendent presents budget
                       draft of the County Administrators                by January 15 & School Board Approves
                                 Proposed Budget                                      by February 1
                                  early February                                 January - early February




                                                                   47
      Summary of Revenues and Expenditures for All Funds
                                       FY 2010                  FY 2011             FY 2012
                                        Actual                  Budget              Budget
Revenues
  General Property Taxes         $       132,160,472   $          130,517,875   $    128,148,000
  Other Local Taxes                       26,077,331               26,316,000         28,404,000
  Permits, Fees and Licenses               1,857,528                2,413,680          2,051,590
  Fines and Forfeitures                    1,145,091                1,205,100          1,269,100
  Use of Money and Property                1,433,005                2,339,332          1,311,052
  Charges for Services                    63,190,064               63,878,599         66,589,631
  Recovered Costs and Misc                12,778,707               10,755,164         10,301,755
  Intergovernmental                      125,920,817              117,052,323        122,034,461
  Transfers In                                     -                        -                  -
  Long Term Debt                          29,692,902               15,452,000         21,900,000
  Fund Balance                                     -               13,916,904          9,268,025
Total Revenues                   $       394,255,918   $          383,846,977   $    391,277,614

Expenditures
  Salaries and Fringe Benefits   $       253,266,682   $          250,763,342   $    260,548,635
  Operating Expenditures                  59,241,445               74,477,320         70,895,116
  Capital Expenditures                    43,479,322               33,276,850         35,331,777
  Transfers Out                                    -                        -                  -
  Debt Service
    Principal Payments                    16,310,158               16,242,462         15,546,014
    Interest Payments                      7,847,281                9,087,003          8,956,072
Total Expenditures               $       380,144,888   $          383,846,977   $    391,277,614

Estimated Beginning Undesignated Fund Balance - June 30, 2011                   $     65,409,955

Estimated Ending Undesignated Fund Balance - June 30, 2012                      $     56,141,930

Estimated Ending Fund Balance as a Percent of Net Operating Revenues                      14.3%
Estimated Change in Fund Balance                                                         (14.2%)




                                                 48
                                                                       All Funds FY 2012 Budget
                                                                                        Special                            Internal
                                     General            School         Capital          Revenue          Enterprise        Service        Fiduciary    Transfers from        Grand
                                      Fund               Fund           Funds            Funds             Funds            Funds           Funds       Other Funds          Total
                                     FY 2012           FY 2012         FY 2012          FY 2012           FY 2012          FY 2012        FY 2012         FY 2012           FY 2012
                                     Budget            Budget          Budget           Budget            Budget            Budget         Budget         Budget            Budget
Revenues
  General Property Taxes         $ 128,148,000     $           -   $            -   $          -     $          -      $          -   $            -   $            - $ 128,148,000
  Other Local Taxes                 28,404,000                 -                -              -                -                 -                -                -     28,404,000
  Permits, Fees and Licenses         1,522,000                 -          100,000        176,190          253,400                 -                -                -      2,051,590
  Fines and Forfeitures              1,269,100                 -                -              -                -                 -                -                -      1,269,100
  Use of Money and Property            709,000            10,000           25,000         45,000          362,052           160,000                -                -      1,311,052
  Charges for Services               3,532,288         6,403,012        1,065,000      2,909,952       21,761,363        30,918,016                -                -     66,589,631
  Recovered Costs and Misc           4,061,825         2,042,000          200,000        381,500        3,002,430            73,000          541,000                -     10,301,755
  Intergovernmental                 26,054,206        88,235,085        1,500,000      5,971,234          273,936                 -                -                -    122,034,461
  Transfers In                               -        92,610,611        4,052,000      7,371,662          192,889                 -          426,000     (104,653,162)             -
  Long Term Debt                             -                 -       11,900,000              -       10,000,000                 -                -                -     21,900,000
  Fund Balance                       9,035,621           152,404                -         80,000                -                 -                -                -      9,268,025
Total Revenues                   $ 202,736,040     $ 189,453,112   $   18,842,000   $ 16,935,538     $ 35,846,070      $ 31,151,016   $      967,000   $ (104,653,162) $ 391,277,614

Expenditures - by Function
  General Government             $  13,330,395     $           -   $            -   $          -     $          -      $          -   $            -   $            - $ 13,330,395
  Judicial Administration            4,447,514                 -                -              -                -                 -                -                -      4,447,514
  Public Safety                     45,766,085                 -                -              -                -                 -                -                -     45,766,085
  Public Works                       9,866,457                 -                -              -          698,377                 -                -         (192,889)    10,371,945
  Human Services                    16,098,234                 -                -     16,679,348                -                 -                -       (7,371,662)    25,405,920
  Education                         92,610,611       189,453,112                -              -                -                 -                -      (92,610,611)   189,453,112
  Parks, Recreation & Cultural       5,908,499                 -                -              -                -                 -                -                -      5,908,499
  Community Development              4,886,389                 -                -        256,190                -                 -          967,000         (426,000)     5,683,579
  Nondepartmental                    5,769,856                 -                -              -                -                 -                -                -      5,769,856
  Capital Projects                   4,052,000                 -       18,842,000              -                -                 -                -       (4,052,000)    18,842,000
  Public Utilities                           -                 -                -              -       35,147,693                 -                -                -     35,147,693
  Self-Insurance                             -                 -                -              -                -        31,151,016                -                -     31,151,016
Total                            $ 202,736,040     $ 189,453,112   $   18,842,000   $ 16,935,538     $ 35,846,070      $ 31,151,016   $      967,000   $ (104,653,162) $ 391,277,614

Expenditures - by Category
  Salaries and Fringe Benefits   $    62,636,973   $ 151,510,317   $            -   $    8,982,548   $     6,429,006   $ 30,989,791   $            -   $              - $ 260,548,635
  Operating Expenditures              29,901,943      20,929,813                -        7,952,990        10,982,145        161,225          967,000                  -    70,895,116
  Capital Expenditures                 1,271,281       1,396,264       18,842,000                -        13,822,232              -                -                  -    35,331,777
  Transfers Out                      104,653,162               -                -                -                 -              -                -       (104,653,162)            -
  Debt Service
    Principal Payments               2,270,609        10,502,253                -              -        2,773,152                 -                -                -     15,546,014
    Interest Payments                2,002,072         5,114,465                -              -        1,839,535                 -                -                -      8,956,072
Total Expenditures               $ 202,736,040     $ 189,453,112   $   18,842,000   $ 16,935,538     $ 35,846,070      $ 31,151,016   $      967,000   $ (104,653,162) $ 391,277,614

Estimated Beginning Undesignated Fund Balance - June 30, 2011                                                                                                           $    65,409,955

Estimated Ending Undesignated Fund Balance - June 30, 2012                                                                                                              $    56,141,930

Estimated Ending Fund Balance as a Percent of Net Operating Revenues                                                                                                             14.3%
Estimated Change in Fund Balance                                                                                                                                                (14.2%)



                                                                                        49
                                                                              General Fund
                                                                                                        FY 2012 General Fund Revenues
                                     FY 2010            FY 2011             FY 2012
                                      Actual            Budget              Budget               General
                                                                                                 Property                        Other Local
Revenues                                                                                                                           Taxes
                                                                                                  Taxes
  General Property Taxes         $    132,160,472   $     130,517,875   $    128,148,000           63%                              14%
  Other Local Taxes                    26,077,331          26,316,000         28,404,000                                                       All Other
  Permits, Fees and Licenses            1,493,234           1,645,600          1,522,000                                                          6%
  Fines and Forfeitures                 1,145,091           1,205,100          1,269,100
                                                                                                                                                    Inter-
  Use of Money and Property               716,708           1,509,000            709,000                                                         governmental
  Charges for Services                  3,339,301           3,606,953          3,532,288                                                             13%
  Recovered Costs and Misc              3,689,706           3,766,113          4,061,825
  Intergovernmental                    25,914,071          25,717,537         26,054,206                                                Fund Balance
  Fund Balance                          4,245,600           4,343,776          9,035,621                                                    4%
  Transfers In                                  -                   -                  -
Total Revenues                   $    198,781,514   $     198,627,954   $    202,736,040

Expenditures
  Salaries and Fringe Benefits   $     58,199,597   $      59,497,694   $     62,636,973              FY 2012 General Fund Expenditures
  Operating Expenditures               27,233,162          30,462,607         29,901,943
  Capital Expenditures                  1,471,101           1,053,410          1,271,281                                 Debt Service
                                                                                             Transfers Out                   2%
  Transfers Out                        99,982,350         103,872,324        104,653,162                                                        Salaries and
                                                                                                 51%
  Debt Service                                                                                                                                    Fringe
    Principal Payments                  2,155,086           2,192,376          2,270,609                                                         Benefits
                                                                                                                                                   31%
    Interest Payments                     862,523           1,549,543          2,002,072
Total Expenditures               $    189,903,820   $     198,627,954   $    202,736,040

Estimated Beginning Undesignated Fund Balance - June 30, 2011           $     33,529,825
                                                                                                                                    Operating
                                                                                                                Capital            Expenditures
Estimated Ending Undesignated Fund Balance - June 30, 2012              $     24,494,204                      Expenditures            15%
                                                                                                                  1%
Estimated Ending Fund Balance as a Percent of Net Operating Revenues                12.6%
Estimated Change in Fund Balance                                                   (26.9%)




                                                                              50
                                                                           School Funds

                                          School Operating Fund                           School - Textbook Fund                        School - Food Service Fund
                                     FY 2010         FY 2011         FY 2012          FY 2010         FY 2011         FY 2012         FY 2010       FY 2011       FY 2012
                                      Actual         Budget          Budget            Actual         Budget          Budget           Actual       Budget        Budget
Revenues
  General Property Taxes         $           -   $           -   $           -    $           -   $           -   $           -   $         -   $         -   $         -
  Other Local Taxes                          -               -               -                -               -               -             -             -             -
  Permits, Fees and Licenses                 -               -               -                -               -               -             -             -             -
  Fines and Forfeitures                      -               -               -                -               -               -             -             -             -
  Use of Money and Property                  -               -               -            7,801               -               -         9,700        10,000        10,000
  Charges for Services                 618,727         890,000         890,000                -               -               -     5,391,955     5,582,200     5,513,012
  Recovered Costs and Misc           1,253,525       2,107,301       2,022,000                -               -               -        24,645        20,000        20,000
  Intergovernmental                 91,684,749      82,993,050      86,295,224                -         256,211         427,343     1,481,761     1,458,941     1,512,518
  Fund Balance                               -               -               -                -               -               -             -             -       152,404
  Transfers In                      89,229,786      93,017,000      92,610,611                -               -               -             -             -             -
Total Revenues                   $ 182,786,787   $ 179,007,351   $ 181,817,835    $       7,801   $     256,211   $     427,343   $ 6,908,061   $ 7,071,141   $ 7,207,934

Expenditures
  Salaries and Fringe Benefits   $ 149,363,979   $ 142,054,616   $ 147,671,645    $      68,061   $      80,158   $      81,145   $ 3,230,768   $ 3,665,242   $ 3,757,527
  Operating Expenditures            14,105,206      19,122,729      17,595,220            8,762           1,053           4,186     3,163,813     3,375,899     3,330,407
  Capital Expenditures               2,848,910         913,006         934,252          330,839         175,000         342,012        30,061        30,000       120,000
  Transfers Out                              -               -               -                -               -               -             -             -             -
  Debt Service
    Principal Payments              11,932,672      11,303,549      10,502,253                -               -               -             -             -             -
    Interest Payments                5,495,314       5,613,451       5,114,465                -               -               -             -             -             -
Total Expenditures               $ 183,746,081   $ 179,007,351   $ 181,817,835    $     407,662   $     256,211   $     427,343   $ 6,424,642   $ 7,071,141   $ 7,207,934

Estimated Beginning Undesignated Fund Balance - June 30, 2011    $     250,279                                    $ 1,673,928                                 $     763,798

Estimated Ending Undesignated Fund Balance - June 30, 2012       $     250,279                                    $ 1,673,928                                 $     611,394




                                                                                 51
                                                       Capital Funds

                                        County Improvements Fund                             School Improvements Fund
                                     FY 2010          FY 2011           FY 2012          FY 2010          FY 2011          FY 2012
                                      Actual          Budget            Budget            Actual          Budget           Budget
Revenues
  General Property Taxes         $          - $                -    $            -   $          -     $            -   $          -
  Other Local Taxes                         -                  -                 -              -                  -              -
  Permits, Fees and Licenses                -            340,000           100,000              -                  -              -
  Fines and Forfeitures                     -                  -                 -              -                  -              -
  Use of Money and Property             1,136                  -                 -          5,544             94,000         25,000
  Charges for Services                534,451            100,000           300,000        543,437            700,000        765,000
  Recovered Costs and Misc            (45,556)           700,000           200,000              -                  -              -
  Intergovernmental                 1,751,765            500,000         1,500,000              -                  -              -
  Fund Balance                              -             50,000                 -              -                  -              -
  Transfers In                      2,055,778          1,981,000         2,242,000      1,008,000            400,000      1,810,000
  Long Term Debt                   16,357,353                  -                 -     13,335,549          5,452,000     11,900,000
Total Revenues                   $ 20,654,927 $        3,671,000    $    4,342,000   $ 14,892,530     $    6,646,000   $ 14,500,000

Expenditures
  Salaries and Fringe Benefits   $            -   $            -    $            -   $            -   $            -   $            -
  Operating Expenditures                      -                -                 -                -                -                -
  Capital Expenditures               21,183,984        3,671,000         4,342,000        6,703,393        6,646,000       14,500,000
  Transfers Out                               -                -                 -                -                -                -
  Debt Service
    Principal Payments                      -                  -                 -                -                -              -
    Interest Payments                       -                  -                 -                -                -              -
Total Expenditures               $ 21,183,984     $    3,671,000    $    4,342,000   $    6,703,393   $    6,646,000   $ 14,500,000

Estimated Beginning Undesignated Fund Balance - June 30, 2011       $    1,935,022                                     $     119,339

Estimated Ending Undesignated Fund Balance - June 30, 2012          $    1,935,022                                     $     119,339




                                                                   52
                                                                    Special Revenue Funds

                                         Community Services Board                       Comprehensive Services                      Economic Development Authority
                                      FY 2010        FY 2011        FY 2012         FY 2010         FY 2011         FY 2012         FY 2010         FY 2011         FY 2012
                                       Actual        Budget         Budget           Actual         Budget          Budget           Actual         Budget          Budget
Revenues
  General Property Taxes          $          -   $          -   $          -    $         -     $         -     $         -     $           -   $           -   $           -
  Other Local Taxes                          -              -              -              -               -               -                 -               -               -
  Permits, Fees and Licenses                 -              -              -              -               -               -           191,405         184,080         176,190
  Fines and Forfeitures                      -              -              -              -               -               -                 -               -               -
  Use of Money and Property             24,282         19,000         45,000              -               -               -                 -               -               -
  Charges for Services               3,386,803      3,527,792      2,909,952              -               -               -                 -               -               -
  Recovered Costs and Misc             182,885        299,100        299,000        110,448          82,500          82,500                 -               -               -
  Intergovernmental                  2,702,552      2,721,448      2,689,018      2,360,465       3,131,200       3,282,216                 -               -               -
  Fund Balance                               -              -              -              -               -               -                 -          80,000          80,000
  Transfers In                       4,392,501      4,602,538      4,580,671      2,473,795       2,936,767       2,790,991           200,000               -               -
Total Revenues                    $ 10,689,023   $ 11,169,878   $ 10,523,641    $ 4,944,708     $ 6,150,467     $ 6,155,707     $     391,405   $     264,080   $     256,190

Expenditures
  Salaries and Fringe Benefits    $ 8,588,540    $ 9,029,328    $ 8,861,840     $      76,932   $     115,098   $     120,708   $           -   $           -   $           -
  Operating Expenditures            2,010,508      2,118,550      1,661,801         4,867,776       6,035,369       6,034,999         258,422         264,080         256,190
  Capital Expenditures                 22,916         22,000              -                 -               -               -               -               -               -
  Transfers Out                             -              -              -                 -               -               -               -               -               -
  Debt Service
    Principal Payments                       -              -              -              -               -               -                 -               -               -
    Interest Payments                        -              -              -              -               -               -                 -               -               -
Total Expenditures                $ 10,621,964   $ 11,169,878   $ 10,523,641    $ 4,944,708     $ 6,150,467     $ 6,155,707     $     258,422   $     264,080   $     256,190

Estimated Beginning Undesignated Fund Balance - June 30, 2011 $       200,000                                   $     400,000                                   $     393,389

Estimated Ending Undesignated Fund Balance - June 30, 2012      $     200,000                                   $     400,000                                   $     313,389




                                                                                       53
                                                  Enterprise Funds

                                               Public Utilities Fund                                  Airport Fund
                                     FY 2010           FY 2011            FY 2012          FY 2010         FY 2011        FY 2012
                                      Actual           Budget             Budget            Actual         Budget         Budget
Revenues
  General Property Taxes         $          -      $          -       $          -     $       -       $       -      $           -
  Other Local Taxes                         -                 -                  -             -               -                  -
  Permits, Fees and Licenses          172,889           244,000            253,400             -               -                  -
  Long-term Debt                            -        10,000,000         10,000,000             -               -                  -
  Use of Money and Property           350,797           400,000            200,000       170,748         157,332            162,052
  Charges for Services             20,893,840        20,151,725         21,761,363             -               -                  -
  Recovered Costs and Misc          6,329,686         2,377,833          2,932,930         1,245          68,000             69,500
  Intergovernmental                         -                 -                  -        25,454         273,936            273,936
  Fund Balance                              -         8,718,969                  -             -               -                  -
  Transfers In                              -                 -                  -       200,703         190,056            192,889
Total Revenues                   $ 27,747,212      $ 41,892,527       $ 35,147,693     $ 398,150       $ 689,324      $     698,377

Expenditures
  Salaries and Fringe Benefits   $    6,159,074    $    6,326,422     $    6,330,140   $     94,964    $     96,643   $      98,866
  Operating Expenditures              6,039,633        11,107,530         10,925,780         45,288          56,283          56,365
  Capital Expenditures               10,799,434        19,932,007         13,423,064         34,261         392,420         399,168
  Transfers Out                               -                 -                  -              -               -               -
  Debt Service
    Principal Payments              2,222,400         2,685,931          2,712,546             -          60,606             60,606
    Interest Payments               1,404,571         1,840,637          1,756,163        84,873          83,372             83,372
Total Expenditures               $ 26,625,112      $ 41,892,527       $ 35,147,693     $ 259,386       $ 689,324      $     698,377

Estimated Beginning Undesignated Fund Balance - June 30, 2011         $ 22,818,138                                    $     792,554

Estimated Ending Undesignated Fund Balance - June 30, 2012            $ 22,818,138                                    $     792,554




                                                                 54
                                                Internal Service Funds

                                                Fleet Services Fund                             Self-Insurance Fund
                                      FY 2010          FY 2011          FY 2012           FY 2010        FY 2011        FY 2012
                                       Actual          Budget           Budget             Actual        Budget         Budget
Revenues
  General Property Taxes          $            -   $            -   $             -   $          -   $          -   $          -
  Other Local Taxes                            -                -                 -              -              -              -
  Permits, Fees and Licenses                   -                -                 -              -              -              -
  Fines and Forfeitures                        -                -                 -              -              -              -
  Use of Money and Property                    -                -                 -        146,289        150,000        160,000
  Charges for Services                 1,384,625        1,378,055                 -     27,096,925     27,941,874     30,918,016
  Recovered Costs and Misc               299,776          457,317                 -        140,331         72,000         73,000
  Intergovernmental                            -                -                 -              -              -              -
  Fund Balance                                 -          224,159                 -              -        500,000              -
  Transfers In                             8,262          100,213                 -              -              -              -
Total Revenues                    $    1,692,663   $    2,159,744   $             -   $ 27,383,545   $ 28,663,874   $ 31,151,016

Expenditures
  Salaries and Fringe Benefits    $    1,551,061   $    1,392,679   $             -   $ 25,933,704   $ 28,505,462   $ 30,989,791
  Operating Expenditures                 249,103          325,058                 -        104,264        158,412        161,225
  Capital Expenditures                    54,423          442,007                 -              -              -              -
  Transfers Out                                -                -                 -              -              -              -
  Debt Service
    Principal Payments                         -                -                 -              -              -              -
    Interest Payments                          -                -                 -              -              -              -
Total Expenditures                $    1,854,587   $    2,159,744   $             -   $ 26,037,968   $ 28,663,874   $ 31,151,016

Estimated Beginning Undesignated Fund Balance - June 30, 2011       $             -                                 $    2,533,683

Estimated Ending Undesignated Fund Balance - June 30, 2012          $             -                                 $    2,533,683




                                                                 55
                                                      Fiduciary Funds
                                           Bell Creek Community                              Lewistown Community
                                           Development Authority                             Development Authority
                                      FY 2010         FY 2011         FY 2012           FY 2010         FY 2011         FY 2012
                                       Actual         Budget          Budget             Actual         Budget          Budget
Revenues
  General Property Taxes          $           -   $           -   $           -     $           -   $           -   $           -
  Other Local Taxes                           -               -               -                 -               -               -
  Permits, Fees and Licenses                  -               -               -                 -               -               -
  Fines and Forfeitures                       -               -               -                 -               -               -
  Use of Money and Property                   -               -               -                 -               -               -
  Charges for Services                        -               -               -                 -               -               -
  Recovered Costs and Misc              460,449         605,000         405,000           331,568         200,000         136,000
  Intergovernmental                           -               -               -                 -               -               -
  Fund Balance                                -               -               -                 -               -               -
  Transfers In                                -               -               -           421,787         644,750         426,000
Total Revenues                    $     460,449   $     605,000   $     405,000     $     753,355   $     844,750   $     562,000

Expenditures
  Salaries and Fringe Benefits    $           -   $           -   $           -     $           -   $           -   $           -
  Operating Expenditures                443,148         605,000         405,000           712,361         844,750         562,000
  Capital Expenditures                        -               -               -                 -               -               -
  Transfers Out                               -               -               -                 -               -               -
  Debt Service
    Principal Payments                        -               -               -                 -               -               -
    Interest Payments                         -               -               -                 -               -               -
Total Expenditures                $     443,148   $     605,000   $     405,000     $     712,361   $     844,750   $     562,000

Estimated Beginning Undesignated Fund Balance - June 30, 2011     $             -                                   $             -

Estimated Ending Undesignated Fund Balance - June 30, 2012        $             -                                   $             -




                                                             56
                    Five-Year General Fund Financial Plan
                       Fiscal Years 2012 Through 2016
Background
The County began preparing a Five-Year Financial Plan for the General Fund in 1989. The plan
plays a key role in assisting the County in determining funding priorities and balancing the
budget each year. Because the plan is an important planning tool, priority funding is given to
items in the previous year’s adopted plan versus new requests. Departments wishing to fund an
item that is not included in the previous year’s approved plan must be able to demonstrate clearly
what has occurred during the past year to make the item in question a funding priority over items
that had been incorporated in the County’s planning process. The plan helps identify which
areas of the cumulative requests are higher than anticipated, allowing budget staff to focus on
those areas and identify the unanticipated issues.

The plan is also an assurance to our citizens that the County is planning long-term and
financially positioning itself to meet the needs of the future. This is particularly important in a
growing county like Hanover where the service delivery expectations are increasing annually.

When reviewing the plan, it is important to remember that only the first year is adopted and
appropriated by the Board of Supervisors. The remaining years of the plan are based on current
programmatic and financial conditions. The exact dollars or positions in the plan are likely to
change, but, if current needs and conditions remain relatively constant, the overall direction and
emphasis reflected in the plan should remain consistent. The Five-Year General Fund Financial
Plan is adopted by the Board of Supervisors during the budget process and is subject to a public
hearing.


Major Assumptions
Traditionally, great efforts have been spent on the Five-Year General Fund Financial Plan in
illustrating conservative revenue growth and how such revenue growth over current year
projections can be reinvested in the County. As fiscal flexibility is limited in meeting current
service levels, the County is selective in any enhancements of service levels and prioritizes
resources in areas where core services are most being impacted (e.g., staffing of Fire/EMS,
student-teacher ratios including ever-increasing need for special education services, sheriff
patrols). Therefore, some service level enhancements are either staggered, phased-in or deferred
until the County can afford to provide such enhancements, unless a corresponding revenue
increase can be identified. This situation is most represented by the debt funded projects. Prior
to the recession, such projects were staggered to enable revenue and debt affordability models to
be accomplished without a tax rate increase. During this recession period, the same model has
also assisted the County in determining how to appropriately time the final borrowing of
referendum funding, and the deferral of all additional debt funded projects to year five of the
plan to allow time to assess the stability of the economy.

The Five-Year General Fund Financial Plan represents the County’s attempt to quantify the
impacts of future needs matched with a projection of available resources. Each year this plan is
adopted by the Board of Supervisors, thereby indicating to the public the County’s expected tax
rates, operating costs, capital improvements, debt service requirements, school allocations and
service level plans. Generally, the plan seeks to maintain or enhance all current budget
guidelines and the Board’s adopted initiatives.



                                                57
                    Five-Year General Fund Financial Plan
                       Fiscal Years 2012 Through 2016

Overarching Philosophy
The overarching philosophy for this five-year plan is that FY12 will be similar to FY11 with
minimal growth. FY13 will begin what is anticipated to be four years of steady growth at levels
climbing from 2.1% to 4.2% in ongoing revenues. While this growth will be a welcome change
from the declines seen during the recent recession, it will not be nearly the regular growth levels
experienced prior to FY08.

Revenues
General Property Taxes
 Real property tax revenue from the reassessment of existing property is projected to decline
   by 2.5% in calendar year 2012, increase 0.5% in 2013, and increase 2.5% annually thereafter.
 Real property tax revenue growth from the assessment of new construction is projected to be
   1.5% in calendar year 2012, and 2.0% thereafter.
 Maintenance of the adopted $0.81 per $100 assessed value real property tax rate throughout
   the plan.
 Personal property tax revenues are projected to increase 6.7% in FY13, increase 6.6% in
   FY14, and increase 6.4% in FY15 and FY16.

Other Revenues
 Sales tax receipts are projected to increase 6.0% in FY12 over the current FY11 forecast.
   The projection for FY13 anticipates a 7.0% increase, then an increase of 5.0% in FY14
   through FY16.
 The five-year plan does not anticipate funding for any additional positions from the
   Compensation Board over the Governor’s budget. Compensation Board funding in FY13
   through FY16 is projected to increase on average 2.7% per year.
 Permits, privilege fees, and regulatory licenses are projected to increase 7.9% in FY13 with
   the assumption that building permit fees will return to FY11 levels. Then this category is
   budgeted to increase 2.6% in FY14. In FY15, we see an increase of 21.6% with the addition
   of a fee to offset the cost of compliance with state mandated environmental programs. And
   in FY16, the increase is anticipated to again be inflationary at 2.6%.
 Interest on investments is projected to be an interest rate of 0.35% on the County’s short term
   investments and 2.3% on the long term investments for FY12. The investment income is
   budgeted to grow on average at 3.0% annually thereafter.

Expenditures
County-wide
 There are no planned compensation increases in FY13 through FY15. In FY16, a merit
   increase of 2.25% is included.
 Health insurance expenditures for the employer are projected at a 13.0% increase for FY12,
   and then a 9.0% increase for FY13, and a 10.0% increase thereafter. The plan assumes
   employee increases or plan modifications for premium adjustments above the employer’s
   increase in FY12 through FY16.
 Retirement benefit expenditures are based on current information for the Virginia Retirement
   System and its actuarial valuation as of June 30, 2009, and are anticipated to increase in
   FY13 (14.48%, 14.48%, and 15.50%, 15.50%).




                                                58
                    Five-Year General Fund Financial Plan
                       Fiscal Years 2012 Through 2016
   The Five-Year Plan assumes that fifteen (15) of the authorized, unfunded positions are
    reinstated. The plan also includes eight (8) new positions in the five years.
   Base operating expenditures remain flat in FY13, then increase 1.5% in FY14, increase 2.8%
    in FY15, and then increase 3.0% in FY16.
   The tax relief for the elderly and disabled program has appeared to level off in terms of
    participation. Given the decrease in real property values, the value of the property in the
    program decreased proportionately. These two factors resulted in an anticipated decrease in
    tax relief of $139,500 or 7.4% in FY12. Thereafter, the cost of the program begins to rise
    again with the increase in real property values.

School Allocation Plan
 Funding provided to the Schools will increase 1.1% in FY12. Funding from the General
   Fund on-going revenues will continue to increase in FY13 and annually thereafter at the
   same rate as the increase in adjusted on-going General Fund revenues. A decrease shown in
   FY14 results from changes in the “Use of Planned Surpluses” source.
 Debt service funding has been provided for all outstanding school bonds and all proposed
   bond issuances identified in the CIP as a part of the General Fund transfer to the School
   Fund.

Other Allocation Plans
 Funding to the Community Services Board (CSB) is projected to increase by 2.0% in FY13
   and FY14, 2.5% in FY15 and 4.0% in FY16.
 Funding to the Pamunkey Regional Jail is projected to increase 3.0% annually beginning in
   FY13.
 Funding to the Comprehensive Services Fund (CSA) is projected to increase 2.0% from
   FY12 through FY15 and 3.0% in FY16.
 Funding to the Hanover County Airport is projected to decrease 19.1% in FY13, increase
   6.9% in FY14, increase 68.9% in FY15, and decrease 17.7% in FY16. The fluctuation in the
   funding of the Airport is due to the capital improvements portion of the transfer; FY14 has
   the local support of the Airport’s capital at $100,000. Funding fluctuates to best match grant
   funding.
 Throughout this Five-Year Plan, the cyclical computer replacement program continues to be
   funded in an alternative way since being put on hold in FY10. Due to the high cost of the
   traditional replacement program and other priority services competing for the same dollars,
   the County has, instead, funded a pool of money in the Capital Improvements Program to
   replace computers that can no longer be repaired.
 Funding is provided to maintain the five-year Capital Improvements Program and meet basic
   vehicle replacement plans.




                                               59
                                        County of Hanover, Virginia
                                   Five-Year General Fund Financial Plan
                                       Fiscal Years 2012 Through 2016

                                               Year 1          Year 2          Year 3          Year 4          Year 5
                                               FY12            FY13            FY14            FY15            FY16
Revenues:
  General Property Taxes                    $ 128,148,000   $ 130,788,500   $ 135,710,000   $ 142,023,600   $ 149,103,200
  Other Local Taxes                            28,404,000      29,933,000      31,218,000      32,564,000      33,977,000
  Permits, Fees, and Licenses                   1,522,000       1,642,700       1,684,800       2,048,900       2,103,000
  Fines and Forfeitures                         1,269,100       1,269,200       1,270,300       1,272,400       1,274,500
  Revenue from Use of Money                       709,000         722,000         743,000         761,000         779,000
  Charges for Services                          3,532,288       3,599,844       3,635,369       3,708,788       3,784,788
  Recovered Costs                               3,198,825       3,286,828       3,363,786       3,451,298       3,551,297
  Intergovernmental                            26,054,206      25,543,059      25,811,059      26,087,059      26,369,059
  Miscellaneous                                   863,000         970,500         978,500         986,500         994,500
     Subtotal - Ongoing Revenues              193,700,419     197,755,631     204,414,814     212,903,545     221,936,344
  Use of planned surpluses                      9,035,621      11,224,821       5,873,921       5,267,611       5,387,917
     Total Revenues                         $ 202,736,040   $ 208,980,452   $ 210,288,735   $ 218,171,156   $ 227,324,261

Expenditures:
  Salaries and Fringe Benefits              $ 62,636,973    $ 63,517,247    $ 64,146,866    $ 65,292,272    $ 67,290,847
  Operating                                   23,427,782      22,963,571      23,279,573      23,994,223      24,890,727
  Tax Relief for the Elderly and Disabled      1,733,300       1,746,300       1,781,300       1,839,400       1,922,300
  Capital                                      1,271,281       1,520,486       1,783,791       1,994,173       2,716,138
  Service Level Plan                                   -       1,504,920       1,935,021       2,604,545       3,357,779
  Debt Service                                 4,272,681       4,498,641       4,674,904       4,556,386       4,471,589
  CSB Base Allocation Plan                     4,580,671       4,672,300       4,765,700       4,884,800       5,080,200
  CSA Allocation Plan                          2,790,991       2,846,800       2,903,700       2,961,800       3,050,700
  Airport Fund                                   192,889         156,100         166,800         281,700         231,800
  Pamunkey Regional Jail                       4,740,861       4,883,087       5,029,580       5,180,467       5,335,881
  Lewistown CDA                                  426,000         441,500         462,000         485,600         512,200
  County CIP                                   2,242,000       2,511,000       2,511,000       3,285,290       3,423,600
  School Allocation Plan
    School Operating                           76,993,893      79,762,887      78,074,770      82,561,264      85,318,903
    School Debt                                15,616,718      16,280,613      17,078,730      16,412,236      17,884,597
       Subtotal Schools                        92,610,611      96,043,500      95,153,500      98,973,500     103,203,500
    School CIP                                  1,810,000       1,675,000       1,695,000       1,837,000       1,837,000
       Total Schools                           94,420,611      97,718,500      96,848,500     100,810,500     105,040,500

     Total Expenditures                     $ 202,736,040   $ 208,980,452   $ 210,288,735   $ 218,171,156   $ 227,324,261




                                                                60
                      General Fund - Departmental Appropriations
                                                FY10               FY11             FY12        Percent        Dollar
                                                Actual            Budget           Budget       Change         Change
General Government Administration
  Board of Supervisors                      $       495,783   $      496,914   $      529,301     6.5%     $     32,387
  County Administrator                            1,126,412        1,206,654        1,225,769     1.6%           19,115
  Human Resources                                   788,241          854,962          834,613    (2.4%)         (20,349)
  County Attorney                                 1,141,475        1,149,968        1,173,864     2.1%           23,896
  Commissioner of the Revenue                     1,203,419        1,248,337        1,286,925     3.1%           38,588
  Assessor                                          841,913          857,420          867,202     1.1%            9,782
  Treasurer                                       1,295,840        1,365,866        1,389,537     1.7%           23,671
  Finance                                         1,384,938        1,487,391        1,414,960    (4.9%)         (72,431)
  Internal Audit                                    270,935          276,670          266,380    (3.7%)         (10,290)
  Information Technology                          3,954,299        3,884,157        3,974,761     2.3%           90,604
  Registrar                                         314,733          349,652          367,083     5.0%           17,431
  Subtotal, General Government Admin.       $    12,817,989   $   13,177,991   $   13,330,395     1.2%     $    152,404
Judicial Administration
  Circuit Court                                      91,340           92,889           77,795   (16.2%)         (15,094)
  General District Court                            100,146          112,303          103,938    (7.4%)          (8,365)
  Magistrates                                         2,967            2,991            3,002     0.4%               11
  Juvenile & Domestic Relations Court                25,568           22,367           22,398     0.1%               31
  Clerk of the Circuit Court                      1,335,230        1,323,494        1,341,765     1.4%           18,271
  Court Services                                  1,374,991        1,329,221        1,342,382     1.0%           13,161
  Commonwealth's Attorney                         1,494,461        1,580,066        1,556,234    (1.5%)         (23,832)
  Subtotal, Judicial Administration         $     4,424,703   $    4,463,331   $    4,447,514    (0.4%)    $    (15,817)
Public Safety
  Sheriff                                        18,642,695       19,101,924       19,446,935     1.8%          345,011
  Emergency Communications                        3,415,055        3,862,980        3,858,943    (0.1%)          (4,037)
  Fire/EMS                                       13,847,405       13,824,517       14,176,315     2.5%          351,798
  Pamunkey Regional Jail                          3,983,122        4,750,176        4,740,861    (0.2%)          (9,315)
  Juvenile Court Services                           709,199          686,213          731,513     6.6%           45,300
  Community Corrections                             399,805          447,744          456,635     2.0%            8,891
  Building Inspections                            1,445,710        1,392,613        1,386,964    (0.4%)          (5,649)
  Animal Control                                  1,072,456        1,017,920          967,919    (4.9%)         (50,001)
  Subtotal, Public Safety                   $    43,515,445   $   45,084,087   $   45,766,085     1.5%     $    681,998
Public Works
  Public Works                                    1,701,273        1,781,892        1,843,506      3.5%         61,614
  Public Works Operations                         3,716,967        3,793,988        3,830,254      1.0%         36,266
  Recycling Service District                         59,645           74,998           74,713    (0.4%)           (285)
  General Services                                2,053,915        1,990,628        3,925,095     97.2%      1,934,467
  Transfer to Fleet Services Fund                         -          100,213                -   (100.0%)      (100,213)
  Transfer to Airport Fund                          200,703          190,056          192,889      1.5%          2,833
  Subtotal, Public Works                    $     7,732,502   $    7,931,775   $    9,866,457    24.4%     $ 1,934,682
Human Services
  Health                                            499,091          476,900          463,551    (2.8%)       (13,349)
  Social Services                                 5,358,326        5,630,710        6,122,169     8.7%        491,459
  Community Resources                               377,404          398,210          407,552     2.3%          9,342
  Tax Relief for the Elderly and Disabled         1,721,642        1,872,800        1,733,300    (7.4%)      (139,500)
  Transfer to Community Services Fund             4,392,501        4,602,538        4,580,671    (0.5%)       (21,867)
  Transfer to CSA Fund                            2,473,795        2,936,767        2,790,991    (5.0%)      (145,776)
  Subtotal, Human Services                  $    14,822,760   $   15,917,925   $   16,098,234     1.1%     $ 180,309

Education
 Transfer to Education                      $    89,229,786   $   93,017,000   $   92,610,611    (0.4%)    $ (406,389)




                                                         61
                      General Fund - Departmental Appropriations
                                                 FY10                 FY11             FY12         Percent       Dollar
                                                 Actual              Budget           Budget        Change       Change
  Subtotal, Education                      $      89,229,786     $   93,017,000   $   92,610,611    (0.4%)      $ (406,389)
Parks, Rec & Cultural
  Parks and Recreation                              3,336,230         3,396,191        3,236,017     (4.7%)       (160,174)
  Pamunkey Regional Library                         2,740,347         2,722,281        2,672,482     (1.8%)        (49,799)
  Subtotal, Parks, Rec & Cultural          $        6,076,578    $    6,118,472   $    5,908,499     (3.4%)     $ (209,973)
Community Development
  Planning                                         2,182,830          2,147,028        2,157,358      0.5%          10,330
  Economic Development                             1,050,714          1,052,165        1,000,769     (4.9%)        (51,396)
  Transfer to EDA                                    200,000                  -                -      0.0%               -
  Extension Services                                  98,508             89,691           85,715     (4.4%)         (3,976)
  Soil and Water Conservation District               103,500             98,500           95,545     (3.0%)         (2,955)
  Community Support                                1,145,330          1,157,920        1,121,002     (3.2%)        (36,918)
  Transfer to Lewistown CDA                          421,787            644,750          426,000    (33.9%)       (218,750)
  Subtotal, Community Development          $       5,202,670     $    5,190,054   $    4,886,389     (5.9%)     $ (303,665)
Debt Service
  Principal                                        2,155,086          2,192,376        2,270,609      3.6%           78,233
  Interest                                           862,523          1,549,543        2,002,072     29.2%          452,529
  Subtotal, Debt Service                   $       3,017,609     $    3,741,919   $    4,272,681     14.2%      $   530,762
Nondepartmental
  Reserve for Contingencies                                  -          980,400          993,400      1.3%          13,000
  Reserve for Revenue Transfers                              -          500,000          500,000      0.0%               -
  Reserve for IT Contingencies                               -          124,000                -    (100.0%)      (124,000)
  Operational Reserve                                        -                -            3,775     100.0%          3,775
  Subtotal, Nondepartmental                $                 -   $    1,604,400   $    1,497,175     (6.7%)     $ (107,225)
Capital Projects
  County Improvements Fund                         2,055,778         1,981,000        2,242,000       13.2%         261,000
  School Improvements Fund                         1,008,000           400,000        1,810,000      352.5%       1,410,000
  Subtotal,
  Subtotal Capital Projects                $       3,063,778
                                                   3 063 778     $   2 381 000
                                                                     2,381,000    $   4 052 000
                                                                                      4,052,000       70 2%
                                                                                                      70.2%       1,671,000
                                                                                                                $ 1 671 000
TOTAL                                      $     189,903,820     $ 198,627,954    $ 202,736,040       2.1%      $ 4,108,086


Salaries and Fringe Benefits               $     58,198,347 $ 59,497,694 $ 62,636,973                 5.3%      $ 3,139,279
Operating Expenditures                         130,237,180    138,076,850   138,827,786               0.5%          750,936
Capital Outlay                                    1,468,294     1,053,410     1,271,281              20.7%          217,871
                                           $ 189,903,820.00 $ 198,627,954 $ 202,736,040              2.1%       $ 4,108,086



Capital projects are segregated as to function in the Capital Improvements Program section. Operating expenditures includes
all funds transferred from the General Fund to the Schools, Textbook Fund, Community Services Board, Comprehensive
Services, Fleet Services Fund (for FY10 & FY11), Airport Fund, Lewistown Commerce Center CDA, and Capital
Improvements funds. A portion of the transferred funds may have been used to pay for salaries and fringe benefits and capital
outlay in those funds.




                                                           62
                                   FY12 Service Level Plan
                                                     Adopted                     Recurring        Operating/
                                                      FY12          Personnel    Operating         Capital
GENERAL FUND
GENERAL GOVERNMENT ADMINISTRATION
 Board of Supervisors:
  Boardroom AV equipment                                   20,000            -       20,000                    -
   Total Board of Supervisors                              20,000            -       20,000                    -

 Treasurer:
  Customer Service Agent I (CD) increase hours
  .49 to .50                                               10,000       10,000            -                    -
   Total Treasurer                                         10,000       10,000            -                    -

 Registrar:
  New Voter Cards & Postage                                39,000            -            -           39,000
   Total Registrar                                         39,000            -            -           39,000

   Total General Government Admin.               $         69,000   $   10,000   $   20,000   $       39,000

JUDICIAL ADMINISTRATION
 Clerk of the Circuit Court:
  Deputy Clerk Reclassification                             2,478        2,478            -                    -
   Total Clerk of the Circuit Court                         2,478        2,478            -                    -

 Court Services:
  Replacement Vehicles (2)                                 49,984            -            -           49,984
   Total Court Services                                    49,984            -            -           49,984

   Total Judicial Administration                 $         52,462   $    2,478   $        -   $       49,984

PUBLIC SAFETY
 Sheriff:
  Vehicles (27)                                           672,894            -            -          672,894
  MDTs (20)                                               161,600            -            -          161,600
  Reclassification of Account Clerk                         1,695        1,695            -                -
   Total Sheriff                                          836,189        1,695            -          834,494

 Emergency Communications:
  Replace HVAC at Towers                                    3,200            -            -             3,200
  Replace Roofs at Towers                                   6,700            -            -             6,700
  Codeplug lic MCM Radio Shop - Cert                        1,500            -        1,500                 -
   Total Emergency Communications                          11,400            -        1,500             9,900




                                                     63
                                  FY12 Service Level Plan
                                               Adopted                     Recurring        Operating/
                                                FY12          Personnel    Operating         Capital
 Fire/EMS:
  Vehicles (2)                                       48,964            -            -           48,964
   Total Fire/EMS                                    48,964            -            -           48,964

   Total Public Safety                     $        896,553   $    1,695   $    1,500   $      893,358

PUBLIC WORKS
 Public Works:
  Forest Lake Hills Maintenance                       1,000            -        1,000                    -
   Public Works                                       1,000            -        1,000                    -

 Public Works Operations:
  Compactor Systems                                  45,253            -            -           45,253
  Roll Off Containers                                28,396            -            -           28,396
   Public Works Operations                           73,649            -            -           73,649

 General Services:
  HVAC Old Wickham replace 2                         27,000            -            -           27,000
  Improvements - Historic Structures                 10,000            -            -           10,000
  Fire Panels                                         4,800            -            -            4,800
  Paving & Repairs Courthouse Complex                11,500            -            -           11,500
  Fuel Management Program                            88,800            -       88,800                -
   General Services                                 142,100            -       88,800           53,300

   Total Public Works                      $        216,749   $        -   $   89,800   $      126,949

PARKS, RECREATION AND CULTURAL
 Parks and Recreation:
  Taylor Complex carpet                              18,180            -            -           18,180
  Concession Repairs (3)                              5,050            -            -            5,050
   Total Parks and Recreation                        23,230            -            -           23,230

   Total Parks, Recreation & Cultural      $         23,230   $        -   $        -   $       23,230

   TOTAL GENERAL FUND                      $    1,257,994     $   14,173   $ 111,300    $     1,132,521




                                               64
                                    FY12 Service Level Plan
                                                  Adopted                    Recurring   Operating/
                                                   FY12          Personnel   Operating    Capital
PUBLIC UTILITIES FUND
 Customer Service:
  CD Moves for Customer Service Agents                   4,935       4,935           -            -
  Motor Vehicle Equipment - Compact P/U (2)             30,000           -           -       30,000
  Meter Purchases                                      134,196           -           -      134,196
   Total Customer Service                              169,131       4,935           -      164,196

 Utility Support Services:
  Reserve for Retirements/Resignations                  10,000      10,000           -            -
  Vehicle - Jeep Jimmy                                  20,000           -           -       20,000
  Additional Lab Equipment                               7,500           -           -        7,500
   Total Utility Support Services                       37,500      10,000           -       27,500

 Ashland Wastewater Treatment Plant:
  Painting Sludge Container Housing                      9,500           -           -        9,500
  Scum Pumps                                            26,200
                                                             -           -           -       26,200
   Total AWWTP                                          35,700           -           -       35,700

 Operations:
  Lockwood 16" meter module (two yr cycle)               9,000           -           -        9,000
  Replace 10 blow offs                                  20,000           -           -       20,000
  Motor Vehicle Equipment                               30,000           -           -       30,000
   Total Operations                                     59,000           -           -       59,000

 Maintenance:
  Mechumps Creek Lift Station Replacement
  VFD                                                   21,856           -           -       21,856
  Place Holder - Misc. Repairs                          10,000           -           -       10,000
  Beaverdam Lift Station Replacement of 2
  VFD's                                                 17,912           -           -       17,912
  Reserve for Salaries: Utility Technician              59,941      59,941           -            -
  Large Pump Repair Contingency                         25,000           -           -       25,000
  Replace 12" gate valve - Kings Acres Rd. near
  Rt. 1                                                  6,500           -           -         6,500
   Total Maintenance                                   141,209      59,941           -       81,268

 Totopotomoy Wastewater Plant:
  CD Move                                                  400         400           -            -
  Sludge Dumpster track & hoist                         13,000           -           -       13,000
   Total Totopotomoy WWTP                               13,400         400           -       13,000




                                                  65
                              FY12 Service Level Plan
                                                 Adopted                     Recurring       Operating/
                                                  FY12          Personnel    Operating        Capital

Doswell Water Treatment Plant:
 Career Ladder Moves                                    6,793        6,793           -                    -
 Total Doswell Water Treatment Plant                    6,793        6,793           -                    -

Doswell Wastewater Treatment Plant:
 Reserve for Salaries: Career Ladder Moves              3,742        3,742           -                 -
 201 Composite Sampler                                  6,200            -           -             6,200
 Total Doswell WWTP                                     9,942        3,742           -             6,200

 TOTAL PUBLIC UTILITIES FUND                 $        472,675   $   85,811   $       -   $      386,864

 GRAND TOTAL - ALL FUNDS                     $    1,730,669     $   99,984   $ 111,300   $     1,519,385




                                                 66
                                                   FTE Summary Table
                                                                                       FY12
                                FY10             FY11                    FY12       Eliminated             Funded FTE        Total FTE
                               Budget    Funded/Unfunded/Total      Funded/Unfunded Vacancies    Total       Change           Change
General Government
 Board of Supervisors              2.6       2.6     -       2.6        2.6      -          -       2.6       -    0.0%        -       0.0%
 County Administrator*             9.0       8.0    2.0     10.0        8.0     1.0        1.0      9.0       -    0.0%      (1.0)   (10.0%)
 Human Resources                   8.2       9.2     -       9.2        9.2      -          -       9.2       -    0.0%        -       0.0%
 County Attorney                   9.0       9.0     -       9.0        9.0      -          -       9.0       -    0.0%        -       0.0%
 Commissioner of the Revenue      19.4      18.4    1.0     19.4       18.4      -         1.0     18.4       -    0.0%      (1.0)    (5.2%)
 Assessor                         11.8      10.0     -      10.0       10.0      -          -      10.0       -    0.0%        -       0.0%
 Treasurer                        16.0      17.0     -      17.0       17.0      -          -      17.0       -    0.0%        -       0.0%
 Finance & Management Svcs.*      19.6      18.0    1.0     19.0       17.0      -         2.0     17.0     (1.0) (5.6%)     (2.0)   (10.5%)
 Internal Audit                    3.0       3.0     -       3.0        3.0      -          -       3.0       -    0.0%        -       0.0%
 Information Technology*          36.7      34.7    1.0     35.7       34.7     1.0         -      35.7       -    0.0%        -       0.0%
 Registrar                         3.2       3.2     -       3.2        3.2      -          -       3.2       -    0.0%        -       0.0%
 Subtotal                        138.5     133.1    5.0    138.1      132.1     2.0        4.0    134.1     (1.0) (0.8%)     (4.0)    (2.9%)

Judicial Administration
 Courts                            1.0       1.0     -       1.0        1.0      -          -       1.0       -    0.0%        -    0.0%
 Clerk of the Court               18.5      17.5    1.0     18.5       17.5      -         1.0     17.5       -    0.0%      (1.0) (5.4%)
 Court Services                   20.0      20.0     -      20.0       20.0      -          -      20.0       -    0.0%        -    0.0%
 Commonwealth's Attorney          19.5      18.0    1.5     19.5       17.0     2.5         -      19.5     (1.0) (5.6%)       -    0.0%
 Subtotal                         59.0      56.5    2.5     59.0       55.5     2.5        1.0     58.0     (1.0) (1.8%)     (1.0) (1.7%)

Public Safety
 Sheriff                         221.5     214.5    7.0    221.5      214.5     7.0         -     221.5       -    0.0%        -    0.0%
 Emergency Communications         51.4      47.4    4.0     51.4       47.4     2.0        2.0     49.4       -    0.0%      (2.0) (3.9%)
 Fire/EMS                        151.5     146.9    3.0    149.9      150.9      -          -     150.9      4.0   2.7%       1.0 0.7%
 Juvenile Court Services           4.5       4.5     -       4.5        4.5      -          -       4.5       -    0.0%        -    0.0%
 Community Corrections             7.0       7.0     -       7.0        7.0      -          -       7.0       -    0.0%        -    0.0%
 Building Inspections             23.0      19.0    2.0     21.0       18.0     2.0        1.0     20.0     (1.0) (5.3%)     (1.0) (4.8%)
 Animal Control                   15.0      14.0    1.0     15.0       15.0      -          -      15.0      1.0   7.1%        -    0.0%
 Subtotal                        473.9     453.3   17.0    470.3      457.3    11.0        3.0    468.3      4.0   0.9%      (2.0) (0.4%)

Public Works
 Public Works*                    22.3      20.3    2.0     22.3       20.3     2.0         -      22.3       -    0.0%        -    0.0%
 Public Works Operations          39.5      37.4    1.1     38.5       37.4     1.1         -      38.5       -    0.0%        -    0.0%
 General Services*                45.0      34.0    1.0     35.0       33.0     1.0        1.0     34.0     (1.0) (2.9%)     (1.0) (2.9%)
 Airport Fund                      1.0       1.0     -       1.0        1.0      -          -       1.0       -    0.0%        -    0.0%
 Subtotal                        107.8      92.7    4.1     96.8       91.7     4.1        1.0     95.8     (1.0) (1.1%)     (1.0) (1.0%)

Human Services
 Social Services                  57.5      56.5     -      56.5       55.5      -          -      55.5     (1.0) (1.8%)     (1.0) (1.8%)
 Community Resources               5.0       5.0     -       5.0        5.0      -          -       5.0       -    0.0%        -    0.0%
 Community Services Fund         161.9     157.9    2.0    159.9      147.9     2.0       10.0    149.9    (10.0) (6.3%)    (10.0) (6.3%)
 Comprehensive Services Fund       2.0       2.0     -       2.0        2.0      -          -       2.0       -    0.0%        -    0.0%
 Subtotal                        226.4     221.4    2.0    223.4      210.4     2.0       10.0    212.4    (11.0) (5.0%)    (11.0) (4.9%)

Parks, Recreation & Cultural
 Parks and Recreation             49.6      47.8    1.0     48.8       46.8     2.0         -      48.8     (1.0) (2.1%)       -      0.0%
 Subtotal                         49.6      47.8    1.0     48.8       46.8     2.0         -      48.8     (1.0) (2.1%)       -      0.0%

Community Development
 Planning                         26.1      25.1     -      25.1       25.1      -          -      25.1       -    0.0%       -       0.0%
 Economic Development              5.0       5.0     -       5.0        4.0     1.0         -       5.0     (1.0) (20.0%)     -       0.0%
 Subtotal                         31.1      30.1     -      30.1       29.1     1.0         -      30.1     (1.0) (3.3%)      -       0.0%

Public Utilities Fund
 Public Utilities                 95.5      94.5     -      94.5       94.5      -          -      94.5      -     0.0%       -       0.0%
 Subtotal                         95.5      94.5     -      94.5       94.5      -          -      94.5      -     0.0%       -       0.0%

Self-Insurance Fund
 Self-Insurance                    0.5       0.5     -        0.5        0.5     -          -        0.5     -     0.0%       -       0.0%
 Subtotal                          0.5       0.5     -        0.5        0.5     -          -        0.5     -     0.0%       -       0.0%

Total County                   1,182.3   1,129.9   31.6   1,161.5    1,117.9   24.6       19.0   1,142.5   (12.0) (1.1%)    (19.0) (1.6%)



                                                                    67
                                                        FTE Summary Table
                                                                                             FY12
                                   FY10              FY11                      FY12       Eliminated                     Funded FTE           Total FTE
                                  Budget     Funded/Unfunded/Total        Funded/Unfunded Vacancies           Total        Change              Change

Schools
Total Education                    2,677.7    2,544.0          2,544.0     2,532.0         -                 2,532.0     (12.0) (0.5%)    (12.0) (0.5%)

Total County and Schools           3,860.0    3,673.9   31.6   3,705.5     3,649.9       24.6         19.0   3,674.5     (24.0)   0.0%    (31.0) (0.7%)

 The following changes were made in FY11.
                               - Schools discountinued counting Cooperative Education Students as 23.9 FTE's as they were no longer funded.

 *The following changes are being made for FY12.
                               - Public Information Officer is merged with County Administrator.
                               - Purchasing has been merged with Finance & Management Services.
                               - Geographic Information Services (GIS) has been merged with Information Technology.
                               - Cannery has been merged with Public Works.
                               - Facilities Management, General Services, and Fleet Services are merged together as General Services.
                                 Fleet Services is now part of the General Fund and no longer an Internal Service Fund.




                                                                          68
                                       General Fund Revenue Detail
                                      FY10              FY11             FY12        Percent       Dollar
          Type of Revenue             Actual           Budget           Budget       Change        Change

GENERAL PROPERTY TAXES
Real Estate Property Tax          $  99,803,064    $  99,000,000    $  96,775,000        (2.2%) $ (2,225,000)
Public Service Corporation Tax        4,682,269        4,219,000        4,115,000        (2.5%)     (104,000)
Personal Property Tax                21,881,752       22,318,875       21,900,000        (1.9%)     (418,875)
Mobile Home Tax                          30,754           30,000           26,000      (13.3%)        (4,000)
Machinery and Tools Tax               1,555,557        1,489,000        1,630,000         9.5%       141,000
Merchants' Capital Tax                  851,562          907,000          845,000        (6.8%)      (62,000)
Delinquent Taxes                      2,301,148        1,504,000        1,796,000       19.4%        292,000
Penalties and Interest                1,054,366        1,050,000        1,061,000         1.0%        11,000
General Property Taxes            $ 132,160,472    $ 130,517,875    $ 128,148,000       (1.8%) $ (2,369,875)

OTHER LOCAL TAXES
Local Sales and Use Tax           $   15,088,109   $   15,089,000   $   17,025,000     12.8% $ 1,936,000
Sales Tax on Mobile Homes                 30,579           23,000           23,000      0.0%           -
Consumer Utility Tax                   1,725,733        1,784,000        1,850,000      3.7%      66,000
Contractor's Licenses                    330,592          479,000          480,000      0.2%       1,000
Utility Franchise License Tax            700,929          538,000          645,000     19.9%     107,000
Motor Vehicle Licenses                    33,813          110,000                -   (100.0%)   (110,000)
Lodging Tax                              636,792          706,000          711,000      0.7%       5,000
Bank Stock Tax                           425,457          386,000          396,000      2.6%      10,000
Recordation Tax                        1,704,731        1,700,000        1,650,000     (2.9%)    (50,000)
Tax on Wills                              25,947           27,000           24,000    (11.1%)     (3,000)
Communications Tax                     5,374,649        5,474,000        5,600,000      2.3%     126,000
Other Local Taxes                 $   26,077,331   $   26,316,000   $   28,404,000      7.9% $ 2,088,000

PERMITS, FEES, AND LICENSES
Well - Septic Inspection          $        1,900   $        3,000   $        3,000        0.0% $           -
Animal Licenses                          110,528          111,000          108,000       (2.7%)       (3,000)
Planning Permits & Fees                  168,403          250,000          150,000     (40.0%)      (100,000)
Building Permits                         384,945          408,000          415,000        1.7%         7,000
Mechanical Permits                       158,897          174,000          172,000       (1.1%)       (2,000)
Electrical Permits                       134,523          140,000          140,000        0.0%             -
Plumbing Permits                          70,280           74,000           75,000        1.4%         1,000
Septic Tank Permits                        2,744            3,600            3,000     (16.7%)          (600)
Fire Inspection Fees                     148,800          140,000          150,000        7.1%        10,000
Stormwater Management                    154,000          161,000          154,000       (4.3%)       (7,000)
Erosion and Sediment Inspection          158,214          181,000          152,000     (16.0%)       (29,000)
Permits, Fees, and Licenses       $    1,493,234   $    1,645,600   $    1,522,000      (7.5%) $    (123,600)

FINES AND FORFEITURES
Court Fines and Forfeitures       $      709,089   $      742,000   $      750,000      1.1% $        8,000
Interest on Fines                         17,760           13,000           13,000      0.0%              -
Security Alarm Fees                       36,300           45,000           45,000      0.0%              -
Clerk: Criminal Justice Fee                    -                -           65,000    100.0%         65,000
Jail Processing Fee                          108                -                -      0.0%              -
Courtroom Security Fee                   244,493          250,000          245,000     (2.0%)        (5,000)
Court Appointed Atty Fees                 35,808           28,000           29,000      3.6%          1,000
Courthouse Maintenance Fees               88,034          125,000          120,000     (4.0%)        (5,000)
Public Works: E&S Fines                   13,500            2,100            2,100      0.0%              -
 Fines and Forfeitures            $    1,145,091   $    1,205,100   $    1,269,100      5.3% $       64,000

REVENUE FROM USE OF
MONEY & PROPERTY
Interest on Investments           $     472,107    $    1,204,000   $     400,000      (66.8%) $    (804,000)
Rental Income                           240,602           296,000         300,000        1.4%          4,000
Non-Taxable Sales                         3,718             8,000           8,000        0.0%              -
Taxable Sales                               281             1,000           1,000        0.0%              -
 Revenue From Use of Money &
 Property                         $     716,708    $    1,509,000   $     709,000     (53.0%) $     (800,000)



                                                             69
                                        General Fund Revenue Detail
                                        FY10             FY11             FY12        Percent      Dollar
      Type of Revenue                   Actual          Budget           Budget       Change       Change
CHARGES FOR SERVICES
Circuit Court: Excess Fees          $     150,527   $      155,000   $      120,000    (22.6%) $     (35,000)
Circuit Court: Law Library Fees            23,586            8,000           23,500    193.8%         15,500
Clerk of Court: Sheriff Fees                5,567            5,788            5,788       0.0%             -
Transfer Fees                               2,444            3,000            2,500    (16.7%)          (500)
Commonwealth's Attorney Fees                4,583            4,000            8,000    100.0%          4,000
Animal Control: Boarding Fees              18,432           19,000           18,000      (5.3%)       (1,000)
Animal Control: Adoption Fees              17,931           22,000           15,000    (31.8%)        (7,000)
Radio Shop Charges                              -          180,165            8,000    (95.6%)      (172,165)
Landfill: Fees                            501,422          500,000          515,000       3.0%        15,000
Public Works: Fees                              -                -                -       0.0%             -
Landfill: Penalty                             302            1,000            1,000       0.0%             -
Cannery Fees                                5,790            4,000            4,000       0.0%             -
Parks & Rec: Recreation Fees              543,768          693,500          600,000    (13.5%)       (93,500)
Planning: Brown Grove                       7,424           11,500           11,500       0.0%             -
EMS Cost Recovery                       2,045,276        2,000,000        2,200,000     10.0%        200,000
EMS Stand by Ambulance                      1,300                -                -       0.0%             -
E911 Service Fees                          10,948                -                -       0.0%             -
Charges for Services                $   3,339,301   $    3,606,953   $    3,532,288     (2.1%) $     (74,665)

RECOVERED COSTS
Fleet                               $           -   $            -   $       77,400    100.0% $      77,400
General Services                           42,601           77,000           79,000      2.6%         2,000
Pamunkey Regional Jail                    370,826          396,000          404,000      2.0%         8,000
Utility Fund Cost Allocation            1,066,991        1,075,000        1,107,250      3.0%        32,250
Utility Service Assessment                285,494          378,254          397,000      5.0%        18,746
Sheriff Forfeiture State                   13,043                -                -      0.0%             -
Sheriff Forfeiture Federal                 99,694                -                -      0.0%             -
Comm. Atty-Forfeiture-State                 1,476                -                -      0.0%             -
Comm Atty-Forfeiture-Federal                    1                -                -      0.0%             -
Social Services: Bon Secours               37,166           25,660           25,660      0.0%             -
Contributions: GRCCA                      385,206          306,500          311,950      1.8%         5,450
CDA: Lewistown                             24,000           24,720           25,462      3.0%           742
Treasurer - Delinquent Taxes               33,068          120,000           35,000    (70.8%)      (85,000)
Landfill (Recycling)                      255,659          150,000          235,000     56.7%        85,000
Economic Development                      185,905          178,680          170,790     (4.4%)       (7,890)
Community Resources                         5,000            5,000            5,000      0.0%             -
Fire: Instructor Reimbursement             46,436           44,000           44,000      0.0%             -
Fire - Dominion Resources                  25,000           25,000           25,000      0.0%             -
Emergency Communications Regional           5,400                -                -      0.0%             -
Bldg Inspector: Unsafe Bldg                     -                -            5,000    100.0%         5,000
General District Crt:Postage               14,339           14,099           15,000      6.4%           901
Clerk: Copier Charges                       9,726           12,000            9,600    (20.0%)       (2,400)
Public Works                                    -                -                -      0.0%             -
Recycling Service District                 63,222           74,998           74,713     (0.4%)         (285)
Sheriff - DEA                              35,635           42,000           42,000      0.0%             -
Comm. Corr.-Caroline Cty                   23,725           28,000           28,000      0.0%             -
DMV Select                                 41,716            5,050           50,000    890.1%        44,950
Check Enforcement Program                       -                -                -      0.0%             -
Comm. Corr.-Supervision Fee                23,710           26,000           26,000      0.0%             -
Planning - Sign Violations                  1,600            1,500            1,500      0.0%             -
Recovered Costs: Miscellaneous              7,907            4,500            4,500      0.0%             -
Recovered Costs                     $   3,104,546   $    3,013,961   $    3,198,825      6.1% $     184,864




                                                              70
                                         General Fund Revenue Detail
                                        FY10              FY11             FY12         Percent       Dollar
       Type of Revenue                  Actual           Budget           Budget        Change        Change
INTERGOVERNMENTAL REVENUE
NON-CATEGORICAL
STATE AID
Rolling Stock Tax                   $       71,004   $       71,000   $       71,000       0.0%   $          -
Vehicle Rental Tax                         123,249          129,000          133,000       3.1%          4,000
Personal Property State Share           15,002,745       15,002,000       15,002,000       0.0%              -
Non-Categorical State Aid           $   15,196,998   $   15,202,000   $   15,206,000       0.0%   $      4,000
STATE SHARE OF
LOCAL OFFICES
Commonwealth's Attorney             $      798,023   $      783,900   $      806,954       2.9%   $     23,054
Sheriff and Court Services               3,186,095        3,135,000        3,215,187       2.6%         80,187
Commissioner of the Revenue                234,632          216,000          219,151       1.5%          3,151
Treasurer                                  220,852          192,000          193,115       0.6%          1,115
Clerk of Circuit Court                     465,748          494,000          506,053       2.4%         12,053
Registrar                                   53,506           48,667           50,000       2.7%          1,333
State Share of Local Offices        $    4,958,857   $    4,869,567   $    4,990,460       2.5%   $    120,893
CATEGORICAL STATE AID
Social Services                     $    1,249,187 $      1,118,596 $      1,393,495       24.6% $     274,899
Juv. Ct. Serv:Youth & Family                79,229           62,000           62,000        0.0%             -
Planning: DEQ Grant                          7,000                -                -        0.0%             -
Clerk: Library of Virginia                  17,672                -                -        0.0%             -
Planning: Grant                              1,370                -                -        0.0%             -
Planning: COLG                               8,452                -                -        0.0%             -
Clerk: Comp Board Technology                76,133           38,000           38,000        0.0%             -
Emer. Comm.: State Cellular Tax            311,070          318,000          272,000      (14.5%)      (46,000)
Registrar: Voting Machines                       -                -                -        0.0%             -
Comm. Atty: Victim Witness                  87,486           80,000           80,000        0.0%             -
Sheriff: Hwy Safety Traffic Board           49,284           45,000           45,350        0.8%           350
Fire: Dept of Emergency Mgmt               101,789           82,000           50,000      (39.0%)      (32,000)
Fire: Fire Programs                        246,257          226,000          248,625       10.0%        22,625
EMS: Four For Life                          98,759           95,000           95,000        0.0%             -
OMES Lifepak Grant                               -                -                -        0.0%             -
Animal Control:VDOT Sterilization            4,046                -                -        0.0%             -
Juror Reimbursement                          5,100           15,000           10,000      (33.3%)       (5,000)
Landfill : Environmental Quality            15,048           15,000           18,000       20.0%         3,000
Sheriff: Alcohol Beverage Control                -                -                -        0.0%             -
Community Resources: CASA                   37,858           36,000           30,000      (16.7%)       (6,000)
Spay & Neuter Contributions                      -                -                -        0.0%             -
Community Corrections                      327,646          327,646          327,646        0.0%             -
Citizen Corp                                     -                -                -        0.0%             -
Sheriff: DCJS                                2,025           10,000           10,000        0.0%             -
Sheriff: Triad Grant                             -                -                -        0.0%             -
State Reversion Clearing Account          (248,187)        (440,000)        (500,000)       0.0%       (60,000)
 Categorical State Aid              $    2,477,224 $      2,028,242 $      2,180,116        7.5% $     151,874
CATEGORICAL FEDERAL AID
Fire: Homeland Security             $            -   $            -   $            -        0.0% $            -
PILT - US Dept of Interior                   8,179            2,000            2,000        0.0%              -
Sheriff: Criminal Justice                    5,041            8,000            3,600      (55.0%)        (4,400)
Sheriff: DOJ                                43,632                -                -        0.0%              -
Sheriff: Homeland Security                       -                -                -        0.0%              -
Fire: SAFER grant                          337,993          317,000          384,816       21.4%         67,816
Social Services:Health                   2,716,916        3,007,351        2,988,755       (0.6%)       (18,596)
Community Resources: Justice                31,554           20,000           26,000       30.0%          6,000
Sheriff: Justice (LLEBG)                    10,530                -                -        0.0%            -
BAB Debt Serivce Revenue                   127,148          263,377          272,459        3.4%          9,082
Categorical Federal Aid             $    3,280,993   $    3,617,728   $    3,677,630        1.7% $       59,902
TOTAL INTERGOVERNMENTAL $               25,914,071   $   25,717,537   $   26,054,206       1.3%   $    336,669




                                                               71
                                        General Fund Revenue Detail
                                       FY10              FY11             FY12        Percent      Dollar
       Type of Revenue                 Actual           Budget           Budget       Change       Change
MISCELLANEOUS

Sheriff: Project Lifesaver         $        1,765   $       2,652    $       1,000     (62.3%) $     (1,652)
Miscellaneous Refunds                     307,029         143,000          146,000       2.1%         3,000
Worker's Compensation Refunds                 630           9,000            9,000       0.0%             -
Insurance Recoveries                      190,388          29,000           30,000       3.4%         1,000
Sale of Assets                              5,927           5,000          105,000    2000.0%       100,000
Gifts and Donations                        66,588          50,000           50,000       0.0%             -
Reserve for Revenue Transfers                   -         500,000          500,000       0.0%             -
Comm. Res: Winterization Project              480           2,000              500     (75.0%)       (1,500)
Extension Office - Misc Revenue            12,353          11,500           11,500       0.0%             -
School Readiness Program Grant                  -               -           10,000     100.0%        10,000
 Miscellaneous                     $      585,159   $     752,152    $     863,000      14.7% $     110,848

Subtotal                           $ 194,535,914 $ 194,284,178 $ 193,700,419            (0.3%) $    (583,759)

Prior Year Balance                 $    4,245,600   $    4,343,776   $    9,035,621    108.0%   $ 4,691,845

TOTAL                              $ 198,781,514    $ 198,627,954    $ 202,736,040       2.1%   $ 4,108,085




                                       Real Property Tax Rate is $0.81 per $100 of assessed value

                                                Real Property Assessable Base = $13.1 billion

                                                Real Property Tax Generated = $96,775,000

                                                     One Penny Generates $1.2 million




                                                              72
                         General Fund Revenue Information
In order to support the County’s mission of
delivering quality services to the citizens of
                                                                                            Intergovernmental
Hanover County, a great deal of time and                                                           13%
resources are expended to make sure that                                                                                           General
                                                                                                                                   Property
supporting revenues are monitored and projected                                                                                     Taxes
                                                             Other local
in a manner that allows for the most efficient,              sources of                                                              63%
consistent, and cost effective delivery of those              revenue
services. Although the last two years have                      10%
presented significant challenges to the revenue
base, the overall projection for FY12 is positive.
While we can only expect minimal growth at best                              Other local
in most revenue categories, this change appears to                             taxes
                                                                               14%
be significant in comparison to the steep declines
experienced at the national, state, and local levels
since FY10.

Hanover County continues to operate based on                General Property Taxes
conservative revenue assumptions and projections,           As reflected in the above pie chart, the majority of
all the while maintaining the lowest regional real          the County’s General Fund revenue is generated
property tax rate. Overall, home values have                through general property taxes, which refers to
remained strong and fortunately the County has              real property and personal property. The general
experienced only minor to modest increases in               property tax category refers to tax revenues
foreclosure rates since January 2009, particularly          received directly from taxpayers.         In FY12
when compared to national and state levels.                 Hanover expects to receive $128,148,000 in
Hanover’s cumulative property values maintained             general property taxes.
a normal upward trend until FY10, yet collection
rates have reliably remained at over 95% of the             Real Property Tax
levy in the initial fiscal year.
                                                            The Code of Virginia §§ 58.1-3200 through 58.1-
The very factors that lend themselves to revenue            3389, authorizes localities to levy taxes on the
strength and stability in Hanover have further              assessed value of real estate property owned by
translated to savings for taxpayers. Confidence in          businesses, individuals and public service
the County’s diverse tax base and revenue stability         corporations. Real property is defined as land and
are reflected in the AAA bond rating assigned to            improvements, including buildings, and other
Hanover by all three of the major ratings agencies.         structures.
These results have allowed the County access to                                                  County of Hanover, Virginia
some of the most attractive financing rates                                   $120
                                                                                            Real Property Tax - Seven Year Trend

available while maintaining the low tax burden                                $100
citizens have come to expect in Hanover County.
                                                             $ in Millions




                                                                              $80

                                                                              $60
The General Fund is the general operating fund of
                                                                              $40
the County. Revenue for the General Fund is
divided into four major categories:                                           $20

                                                                               $0
                                                                                     2006      2007    2008       2009      2010   2011*    2012*
    1.   General property taxes;
                                                                                                              Fiscal Year
    2.   Other local taxes;
    3.   Other local sources of revenue; and                                                                                               *Forecast
    4.   Intergovernmental.                                 Section 58.1-3201 provides that all general
                                                            reassessments or annual assessments shall be at
                                                            100% of fair market value. The projection of real
                                                            property tax revenue is contingent upon the




                                                       73
                          General Fund Revenue Information
accuracy of estimates of the real property tax base.         County expects to generate $4,115,000, a
In developing these estimates, the County                    $104,000 or 2.5% decrease.            The current
Assessor incorporates a combination of factors,              generating equipment tax rate is $0.55.
including historical trends, the current year’s tax
base, the cumulative effect of parcel                        Personal Property Tax
reassessments, the value of land in the County’s
land use program, and an estimate of new                     Pursuant to the Code of Virginia §§ 58.1-3500
construction during the upcoming year. The                   through 58.1-3536, counties may levy a tax on
Assessor’s Office appraises all real property                tangible personal property. Included in this
annually.                                                    category are such items as motor vehicles, farming
                                                             equipment, and a variety of motorized vehicles,
The Board of Supervisors adopted an ordinance                including boats, aircraft, recreational vehicles,
allowing property tax relief for elderly and                 campers, and trailers. Taxes are levied on 100%
disabled persons. The applicant for tax relief must          of trade-in assessed value, which are based on
be either disabled or not less than 65 years of age          published market guides.       Personal property
and must be the owner of the property for which              projections incorporate historical analysis,
relief is sought. The property must be the sole              estimates of future growth, and information
dwelling of the applicant. The maximum income                regarding tangible property market values.
level is $50,000 and maximum net worth is
$200,000, with no maximum discount.                          In 1999, the State began a phased reduction of
                                                             personal property taxes on the first $20,000 in
Real property taxes are levied in April and are              value of private vehicles. In 2004, the reduction
collected semiannually on June 5th and October 5th.          was held to 70% of the tax eliminated, with the
Supplemental prorated levies are performed                   foregone revenue reimbursed to localities from the
throughout the year for construction occurring               State. In FY07, the State’s reimbursement to
during the year. Collection rates have recently              localities was capped at $950 million. Thus,
averaged 97.6%. The budget includes a county-                Hanover’s payments from the State will be a fixed
wide real property tax rate of $0.81 per $100 of             sum that represents Hanover’s pro rata share of the
assessed value. This rate has remained unchanged             total State reimbursement. The actual percent
since 2007. The County expects to generate                   relief to be applied to the taxpayer’s bill will be
$96,775,000, a $2,225,000 or 2.2% decrease. This             quantified in September each year. The 66% State
total includes $170,000 of incremental revenue               relief for 2009 decreased to 64% for 2010.
generated by the Lewistown CDA, which will be
transferred to the Lewistown CDA Fund upon                   Personal property taxes are estimated to generate
receipt. The estimated decrease for 2011 is a                $36,902,000, a $418,900 or 1.1% decrease. This
3.93% decrease in reassessments and a 1.26%                  includes $15 million of personal property tax paid
growth in new construction. Assumptions for                  to the County from the State. The State’s portion
2012 are 2.5% decrease in reassessments and 1.5%             is classified as non-categorical State aid. The
growth in new construction.                                  current tax rate is $3.57 per $100 of value and is
                                                             collected annually on February 5th of the
Public Service Corporation Taxes                             subsequent year. The rate for airplanes is $0.50
                                                             per $100 assessed value. Assumptions for FY12
Public service corporation taxes are the real estate         are a 2.6% decrease in tax valuations, which
and personal property tax rate for companies                 includes prorations. Hanover County prorates the
whose purpose is to provide utilities for the public.        personal property tax on vehicles (not including
An example is a railroad line or telephone                   boats). The County also has an incentive program
company.        The County receives annual                   to recognize the contributions of fire and rescue
assessments from the State Corporation                       squad volunteers, providing a tax relief of 50% on
Commission (SCC) and Department of Taxation.                 the primary vehicles used by volunteers. In
The County’s real and personal property tax rates            November 2006, the Board of Supervisors
are applied to these assessments and from this the           established a separate classification for disabled




                                                        74
                                                    General Fund Revenue Information
                 veterans, providing 50% tax relief. Finally, in an                   paid in full by the first day of the month
                 effort to determine accurately the value of                          immediately following the due date, and if not
                 vehicles, Hanover County offers a discount for                       paid in full 10% on the total tax amount thereafter.
                 vehicles with high mileage.                                          Interest accumulates at a 10% annual rate.
                                   County of Hanover, Virginia
                             Personal Property Tax - Seven Year Trend
                $45
                                                                                      Other Local Taxes
                $40                                                                   Hanover County also collects substantial revenue
                $35
                                                                                      from local sales tax, which includes a variety of
$ in Millions




                $30
                $25                                                                   local tax revenues independent of general property
                $20                                                                   taxes, such as sales tax and motor vehicle license
                $15
                $10
                                                                                      tax. These other local taxes are projected to
                 $5                                                                   contribute $28,400,000 in FY12 and are the
                 $0
                      2006     2007    2008       2009   2010   2011*   2012*
                                                                                      General Fund’s second largest revenue source.
                                          Fiscal Year

                                                                    * Forecast        Local Sales Tax
                 Machinery and Tools Tax
                                                                                      The largest single item in this category is the local
                 Pursuant to the Code of Virginia § 58.1-3507,                        sales tax. The County receives 1% of the
                 certain machinery and tools, such as those that are                  Commonwealth’s 5% sales tax on all local sales,
                 used for manufacturing, mining, processing,                          which is collected by merchants and remitted
                 radio/television broadcasting, dairy, and laundry                    through the Commonwealth to Hanover. Pursuant
                 or dry cleaning are segregated for local taxation.                   to Virginia Code § 58.1-605, the County then
                 The original cost of the machinery and tools plus                    remits 2.27% of that amount to the town of
                 installation is reported to the Commissioner of the                  Ashland. This revenue began performing below
                 Revenue whereby an assessment ratio of 10% is                        budget beginning in the spring of 2008.
                 applied to determine the assessed value for the tax
                 levy. Machinery and tools taxes are expected to                      Local sales tax revenue is budgeted at $17,000,000
                 generate $1,630,000, a $141,000 or 9.5% increase.                    in FY12, a $1,936,000 or 12.8% increase over the
                                                                                      FY11 budget (5.3% above the FY11 forecast).
                 Merchants’ Capital Tax                                               This includes $246,000 of incremental revenue
                                                                                      generated by the Lewistown CDA. Without the
                 The Code of Virginia §§ 58.1-3509 and 58.1-3510,                     CDA revenue, FY12 increase is 13.8%. FY11
                 provides that localities may impose a local tax on                   forecast is projected to come in above budget at
                 merchants’ capital, which is defined as the                          $16.1M or 7.2% increase from FY10 actual.
                 inventory of stock on hand, daily rental of
                 passenger cars, daily rental property, and all other                 The following is the fiscal year 2010, taxable
                 tangible personal property. The County expects to                    sales, as a percentage of total taxable sales, in the
                 generate $845,000 in revenue from this source, a                     County:
                 $62,000 or 6.8% decrease.                                            Retail Trade                             53.76%
                                                                                      Wholesale Trade                          14.56%
                 Delinquent Taxes                                                     Non-classified                            3.99%
                                                                                      Recreation/Food Services                 12.29%
                 The County considers taxes to be delinquent as of                    Professional Services                     5.26%
                 August 1st of the next fiscal year after the                         Manufacturing                             4.00%
                 assessment of the property.                                          Construction                              3.29%
                                                                                      Other Nonprofessional Services            2.38%
                 Penalties and Interest                                               Agriculture                               0.47%

                 Penalties and interest are charges assessed for
                 paying a bill after the due date. In FY09, penalties
                 were lowered from 10% to 2% if the tax amount is




                                                                                 75
                                                                  General Fund Revenue Information

                                              County of Hanover, Virginia                              all telecommunications services as well as a
                    $19
                                           Local Sales Tax - Seven Year Trend                          uniform 911 fee of $0.75 per line per month.
                    $18
                                                                                                       Satellite television and voice over internet
                                                                                                       telephone service are also subject to the 5% tax.
$ in Millions




                    $17
                                                                                                       The County’s cable company, Comcast/ AT&T
                    $16
                                                                                                       Broadband, continues to pay a 5% franchise fee.
                    $15                                                                                Revenues are collected by the Virginia
                    $14                                                                                Department of Taxation and distributed to
                    $13
                                                                                                       localities on a monthly basis. Hanover County is
                                2006       2007     2008        2009      2010   2011*   2012*         scheduled to receive approximately 1.19% of
                                                           Fiscal Year
                                                                                                       statewide collections. Projected revenue in FY12
                                                                                     * Forecast
                                                                                                       is $5,600,000, a $126,000 or 2.3% increase.
                     Consumer Utility Tax
                                                                                                                                          County of Hanover, Virginia
                     The Code of Virginia § 58.1-3814 authorizes                                                                   Telecommunications Tax1 - Seven Year Trend
                     localities to impose a tax on the consumers of                                                        $5.7

                     public utilities. This tax is applied to all gas and                                                  $5.6




                                                                                                           $ in Millions
                     electric service recipients residing within the                                                       $5.5

                     County, excluding the Town of Ashland, which                                                          $5.4
                     has a separate utility tax for Ashland residents.                                                     $5.3
                     The County collects 20% of the first $15 on utility                                                   $5.2
                     purchases. Consumers pay these taxes on a
                                                                                                                           $5.1
                     monthly basis to their utility companies. Prior to                                                           2006   2007    2008        2009     2010   2011*   2012*
                     January 2007, this tax also applied to all landline                                                                                Fiscal Year

                     and wireless telephone service. Revenue from this                                 1
                                                                                                        Combined Telephone tax, E-911 and Cable Franchise fee                        * Forecast
                     utility tax is expected to generate $1,850,000; a
                     $66,000 or 3.7% increase from FY11.                                               Contractor’s Licenses

                                            County of Hanover, Virginia
                                                                                                       The contractor’s licenses tax is based on prior year
                                       Consumer Utility Tax1 - Seven Year Trend                        gross receipts of every contractor having in excess
                     $1.9                                                                              of $100,000 in gross receipts and having a definite
                                                                                                       place of business in the County, or having no
    $ in Millions




                     $1.8
                                                                                                       definite place of business but residing in the
                                                                                                       County or defined as a contractor by the Code of
                     $1.7
                                                                                                       Virginia. The tax rate is $0.10 per $100 of gross
                                                                                                       receipts. Payment is due on or before March 1 of
                     $1.6
                                                                                                       the license tax year. This tax is projected to
                                                                                                       maintain a level of $480,000 in generated revenue
                     $1.5
                                                                                                       for FY12, a $1,000 or 0.2% increase.
                                  2006       2007    2008        2009     2010   2011*   2012*
                                                            Fiscal Year

                            1                                                       * Forecast         Utility Franchise License Tax
                                Excluding Telephone Service
                                                                                                       The Code of Virginia § 58.1-3731 authorizes
                     Communications Sales and Use Tax                                                  localities to impose a license tax on telephone and
                                                                                                       water companies not to exceed one-half of 1% of
                     Legislation enacted during the 2006 General                                       the gross receipts of the previous year. This tax is
                     Assembly session considerably changed the                                         due by January 31 of the license tax year. This tax
                     manner in which taxes are levied on                                               is projected to generate $645,000 in revenue, a
                     communications services. This new tax, effective                                  $107,000 or 19.9% increase.
                     January 1, 2007, replaced local communications
                     taxes and fees with a uniform 5% tax per month on




                                                                                                  76
                                             General Fund Revenue Information
                 Lodging Tax                                                        Other Local Sources of Revenue

                 The lodging tax is a tax levied on limited-stay                    This category includes six types of revenue
                 facilities, such as any hotel, motel, or travel                    received by the General Fund that are not
                 campground occupied for a period of less than                      considered general-purpose forms of taxation and
                 thirty consecutive days. The tax is 8% of the                      they include the following:
                 charge and includes charges for all services                       1. Permits, privilege fees and regulatory licenses;
                 provided for the space or room as a unit price.                    2. Fines and forfeitures;
                 The tax is projected to generate $711,000 in                       3. Use of money and property;
                 revenue, a $44,000 or 6.6% increase. This entire                   4. Charges for services;
                 revenue source is transmitted to the Greater                       5. Recovered costs; and
                 Richmond Convention Center Authority and forms                     6. Miscellaneous revenue.
                 the basis for a 25% refund for Hanover’s
                 contribution to the Richmond Convention Center.                    Only major sources of revenue are discussed.
                 The refund is recorded under recovered costs.
                                                                                    Permits, Privilege Fees & Regulatory Licenses
                 Bank Stock Tax                                                     Planning Permits and Fees include all land use
                                                                                    application fees and charges for service and
                 The bank stock tax is a tax on the net capital of a                materials such as documents for sale. These fees
                 bank. The tax rate is $0.80 per $100 of net capital                are used to recover a percentage of the costs
                 and is apportioned to the locality based on the                    associated with the processing, review and
                 number of branches located in the locality. The                    advertising of applications as well as the
                 tax is projected to generate $396,000 in revenue, a                inspection of their respective projects. Projected
                 $10,000 or 2.6% increase.                                          revenue in FY12 is $150,000, a $100,000 or 40%
                                                                                    decrease.
                 Recordation Tax
                 Section 58.1-3800 of the Code of Virginia                                                          County of Hanover, Virginia
                                                                                                             Planning Permits & Fees - Seven Year Trend
                 authorizes localities to impose a recordation tax on
                 transactions involving the recording of estates,                                     $450
                                                                                                      $400
                 deeds of trusts, mortgages, leases, contracts and                                    $350
                                                                                     $ in Thousands




                 agreements that are required to be admitted as                                       $300
                 matters of record to the Clerk of the Circuit Court.                                 $250
                                                                                                      $200
                 Amounts are collected by the Clerk of the Circuit                                    $150
                 Court’s Office and are equal to one-third of the                                     $100
                                                                                                       $50
                 amount of the State recordation tax. The tax is                                        $0
                 projected to generate $1,650,000 in revenue, a                                              2006   2007   2008   2009    2010   2011* 2012*
                 $50,000 or 2.9% decrease from the FY11 budget
                 and a 10.0% increase from the FY11 forecast. The                                                           Fiscal Year
                 FY11 forecast has been adjusted down in response                                                                                   * Forecast
                 to a one-time state change in the allocation.                      Building Inspection Fees include building,
                                                                                    mechanical, electrical and plumbing permits. All
                             County of Hanover, Virginia                            of the four permit fees are collected to defray the
                          Recordation Tax - Seven Year Trend
                $3.0                                                                costs of conducting code compliance plan reviews
                $2.5                                                                and field inspections of:
                                                                                     the construction of buildings and structures;
$ in Millions




                $2.0
                $1.5                                                                 mechanical installations such as HVAC, gas
                $1.0                                                                    installations and fire protection systems;
                                                                                     electrical installations and alarm systems; and
                $0.5
                $0.0
                       2006   2007    2008     2009   2010     2011*   2012*
                                                                                     plumbing installations.
                                        Fiscal Year
                                                               * Forecast



                                                                               77
                                                           General Fund Revenue Information
                    These costs also include the associated                                     facilities. Revenue is remitted to the County
                    administrative costs. Projected revenue in FY12 is                          Capital Improvements Fund. A portion of revenue
                    $802,000, a $6,000 or 0.8% increase.                                        is transferred to the General Fund to reimburse
                                                                                                costs associated with one full-time and two part-
                                      County of Hanover, Virginia                               time positions that manage this program. General
                              Building Inspection Fees - Seven Year Trend                       Fund revenue support is projected to decrease in
                 $1,600
                 $1,400
                                                                                                FY12 to $154,000, a $7,000 or 4.3% decrease.
$ in Thousands




                 $1,200
                 $1,000                                                                         At this time it is uncertain how long the County’s
                   $800                                                                         regional program will be able to continue as the
                   $600                                                                         State is proposing new stormwater regulations.
                   $400
                                                                                                Once adopted, Hanover’s regional stormwater
                   $200
                                                                                                program will no longer be approved and will cease
                     $0
                            2006         2007    2008       2009   2010   2011*   2012*         to be a viable option for new development in
                                                   Fiscal Year                                  Hanover.
                 Building   Electrical    Heating/AC   Plumbing

                                                                              * Forecast        Fire inspections fees are charged to businesses that
                                                                                                are required to obtain fire permits. Fees are based
                    The Virginia Erosion and Sediment (E&S) Control                             on occupancy, size and frequency of inspections.
                    Regulations require all new development to obtain                           The fee was established in FY95 to provide
                    a land disturbance permit prior to land disturbance                         adequate personnel to inspect all “High Hazard”
                    activities, such as land clearing or grading. Fees                          businesses annually. Projected revenue in FY12 is
                    are charged to help recover the cost of the                                 $150,000, a $10,000 or 7.1% increase.
                    County’s adherence to State guidelines for
                    inspecting and monitoring construction projects                             Fines and Forfeitures
                    along with providing funds for designing,
                    acquiring and building drainage basins. Fees for                            Fines and forfeitures include revenue received
                    projects, such as single-family housing projects                            primarily as a result of violations of County
                    that are eligible for and “agreement in lieu of a                           criminal ordinances. The Clerk of the Circuit
                    plan,” pay the fees at the time of building permit                          Court assesses fines and forfeitures for violations
                    application. All other projects pay a fee at the                            of County criminal ordinances. The Circuit Court
                    time of plan approval, which is based on the type                           transmits money collected in the General District
                    of project, such as commercial, residential                                 Courts in addition to money collected in the
                    subdivision, general/early land-disturbance, etc.,                          Circuit Courts. Interest is collected on fines that
                    and the amount of area disturbed. Projected                                 are past due.
                    revenue in FY12 is $152,000, a $29,000 or 16.0%
                    decrease.                                                                   Localities are authorized by the Virginia Code to
                                                                                                assess a fee for the maintenance, renovation and
                    The County’s regional Stormwater Program                                    construction of the courthouse. Hanover County
                    provides for the collection of a one-time pro-rata                          Ordinance § 2-71 allows for the collection of this
                    share fee from development based on the amount                              fee. In 2009, the State allowed an additional fee
                    of impervious surface constructed. Fees collected                           to be assessed by localities whose courthouses did
                    are used to construct regional stormwater                                   not meet minimum guidelines established by the
                    management facilities to meet water quality                                 Department of General Services (VA Code §17.1-
                    requirements. Participation in this program is                              281; Hanover County Ordinance § 2-75). Hanover
                    voluntary and property owners have the option of                            County’s Courthouses were deemed non-
                    constructing their own facilities rather than                               compliant allowing us to begin assessing this
                    participating in the County’s regional program.                             additional fee January 1, 2010.
                    Fees are set based on the capital, personnel, and
                    overhead costs incurred in designing, acquiring                             Security alarm fees are collected as a result of the
                    and constructing regional stormwater treatment                              Security Alarm Ordinance that went in effect April




                                                                                           78
                          General Fund Revenue Information
1, 2002. The fees collected are for excessive false          of the Clerk’s fees collected in excess of
alarms during a calendar year, failure to respond to         authorized expenditures are then remitted to the
an alarm activation, failure to apply for a permit           County. The remaining one-third is paid to the
once notified that it is required and other civil            State. In the Governor’s 2008-2010 biennium
penalties.                                                   budget this calculation was reversed and only one-
                                                             third of the fees collected will be remitted to the
Total projected revenue for fines and forfeitures in         County. Excess fees are expected to generate
FY12 is $1,269,000, a $64,000 or 5.3% increase.              $120,000, a $35,000 or 22.6% decrease.

Use of Money and Property                                    Recovered Costs

Revenues from investments are expected to                    Revenues are received from the Pamunkey
produce $400,000, an $800,000 or 66.8%                       Regional Jail and Public Utilities Fund in
decrease. This revenue source is affected by two             exchange for services of County departments such
variables: 1) the amount of cash available for               as information technology, finance, human
investing (cash flow) and 2) the interest rate at the        resources, etc. Projected General Fund revenue
time of investment. The assumptions have been                for FY12 is $404,000, an $8,000 or 2.0% increase
lowered based on actual returns and no expected              and $1,107,000, a $32,500 or 3.0% increase for
significant increase in interest rates for the next          the Jail and Utilities Fund, respectively. In
fiscal year.                                                 addition, a service assessment charge is imposed
                                                             on Public Utilities for law enforcement, fire
Charges for Services                                         protection and emergency medical services.
                                                             Projected revenue is $397,000, an $18,700 or
In March 2005, the County established an EMS                 5.0% increase.
Fee Recovery Program that leverages funding
from Medicare/Medicaid and insurance companies               Due to the Sheriff's Office participation in local
for ambulance transports. Projections are based on           narcotics investigations and state and federal task
the average number of transports and collection              forces, it is eligible to receive funds seized from
rates. Projected revenue for FY12 is $2,200,000, a           narcotics enterprises and applicable criminal
$200,000 or 10.0% increase.                                  endeavors. Asset forfeiture funds received from
                                                             these programs are maintained in an interest
Hanover County Parks and Recreation offers a                 bearing escrow account and can only be expended
variety of educational, active and entertaining              on non-budgeted items with a direct correlation to
programs for both adults and children. Fees vary             law enforcement.
depending on the type of class. The County’s
Youth Summer Program is a supervised recreation              Landfill recycling recovered costs include
program for children. The proposed budget for                proceeds from scrap metal recovery and recycling.
FY12 is $600,000, a $93,500 or 13.5% decrease.               The revenue projection for FY12 is $235,000, a
                                                             $85,000 or 56.7% increase.
Landfill fees are those fees charged at the transfer
station per ton for disposal of solid wastes. The            Fees are paid to the General Fund from the
rate is $50 per ton. Projected revenue for FY12 is           Economic Development Authority (EDA) to offset
$515,000, a $15,000 or 3.0% increase. This                   the County’s economic development costs. Fees
increase recognizes the additional tonnage that is           are based upon debt issuances of the EDA.
being received.                                              Projected recovered costs for FY12 are $170,800,
                                                             a $7,900 or 4.4% decrease.
The Clerk of the Circuit Court’s Office collects
clerk’s fees for every transaction.             The          The County receives an annual refund for its
expenditures     authorized     by      the    State         contribution to the Greater Richmond Convention
Compensation Board are subtracted monthly from               Center Authority. Revenue assumption is based
the Clerk’s fees collected. Historically, two-thirds         on 25% of the lodging tax plus anticipated rebates




                                                        79
                         General Fund Revenue Information
for any revenues exceeding costs. Projected                graph is the non-categorical State aid that is part of
recovered revenue is $312,000, a $5,400 or 1.8%            the “No Car Tax” program mentioned above in the
increase. This includes $10,200 of incremental             personal property tax section.
revenue generated by the Lewistown CDA.
                                                                                              County of Hanover, Virginia
Miscellaneous                                                                              State Revenues - Seven Year Trend
                                                                             $9
                                                                             $8
Miscellaneous revenue represents refunds received




                                                             $ in Millions
                                                                             $7
by departments for administrative charges, such as                           $6
documents sold or copying charges and sale of                                $5
assets, reserve for revenue transfers as well as a                           $4

$50,000 donation to help fund the drug court.                                $3
                                                                             $2
Total projected revenue for FY12 is $863,000 a
                                                                             $1
$110,800 or 14.7% increase. The increase in this                             $0
category can be attributed to the consolidation of                                 2006        2007       2008         2009      2010   2011*   2012*
Fleet Services into the General Fund and the                                 Non-categorical    Categorical
                                                                                                                  Fiscal Year
                                                                                                                 Shared expenses
associated accounting of auction proceeds in this
                                                                                                                                            * Forecast
miscellaneous revenues category.
                                                           Non-categorical State Aid
Intergovernmental
                                                           Non-categorical state aid and State share of local
Intergovernmental revenues provide 13.0% of the            offices are types of shared revenue and tend to be
General Fund budget. State revenue is divided              reasonably predictable; however, in FY09 the
into three categories: 1) State funding for                State eliminated payments to cities and counties
programs that benefit both the County and the              for ABC/Wine taxes. In FY12 the Rolling Stock
State, such as the Sheriff, Treasurer,                     tax is projected to remain at level receipts of
Commonwealth’s Attorney, Commissioner of the               $71,000.
Revenue, Clerk of the Circuit Court and Registrar;
2) Non-categorical State aid which includes                Vehicle Rental taxes are levied on the gross
vehicle rental tax and rolling stock; and 3)               proceeds from the rental of motor vehicles in
Categorical State aid for various County programs,         Virginia.    The additional taxes (4-8%) are
primarily social services. General Fund revenue            collected by the Department of Motor Vehicles
received from the State should reach $7,375,000            and distributed to the County where the daily
(excluding “Car tax” funds).                               rental vehicle was delivered to the customer.
                                                           Projected revenue is $133,000, a $4,000 or 3.1%
In 2008, the General Assembly adopted a                    increase.
biennium budget which included a $50 million
reduction in aid to localities. The reduction has          As mandated by the State in FY01, the State’s
continued into the next biennium budget at a cost          portion of the personal property tax relief program,
of $474,700 in FY11 and an anticipated $500,000            mentioned above, is classified as reimbursement
in FY12. Each city and county has the flexibility          from the State as non-categorical state aid.
to determine how it will implement the reduced             Beginning in FY07, the County receives a pro-rata
funding. Options include (1) take the total                share of $950 million of relief to be distributed
reduction out of one program, (2) reduce multiple          statewide. This tax relief amount is $15,002,000,
state aid programs on a proportional basis or (3)          and this funding will remain constant in future
reimburse the Commonwealth in aggregate their              years.
share of the savings, thereby keeping the state aid
programs at an unreduced level. For budgeting              State Share of Local Offices
purposes, the County chose to maintain the budget
for state revenue and create a contra account in           The State Compensation Board provides funding
categorical state aid. NOTE: Not shown in this             for the various departments with constitutional




                                                      80
                          General Fund Revenue Information
officers to provide for the cost of salaries and             State revenue is $248,600, a $22,600 or 10.0%
benefits and office expenses.        The County              increase.
supplements these funds. These departments
include Commonwealth’s Attorney, Sheriff and                 Community Corrections is required to provide
Court Services, Commissioner of the Revenue,                 community corrections and pre-trial services to
Treasurer and Clerk of the Circuit Court. The                those deemed necessary by the judges. Projected
State Board of Elections provides funding for the            State funding is $327,600 which is level funding
Registrar. Total projected revenue is $4,990,000 a           from the prior year.
$120,900 or 2.5% increase.
                                                             Categorical Federal Aid
Categorical State Aid
                                                             The Social Services Department has multiple
Federal and State categorical grants are earmarked           programs from which it receives federal funding,
for specific uses and are tightly restricted.                including Virginia’s Temporary Assistance for
Funding is generally granted on a project-by-                Needy Families (TANF) Program. The purpose of
project basis.                                               TANF is to provide assistance to needy families so
                                                             that children may be cared for in their own homes
The Social Services Department receives state                or in the homes of relatives and end the
funding for a variety of purposes, including                 dependence of needy parents on government
assistance for needy families. Projected State               benefits by promoting job preparation. Projected
funding is $1,393,500, a $275,000 or 24.6%                   Federal revenue is $2,988,800, a $18,600 or 0.6%
increase.                                                    decrease.

The General Assembly created the Information                 Hanover County was awarded the Staffing for
Technology Trust Fund consisting of revenues                 Adequate Fire & Emergency Response (SAFER)
obtained from an additional $5 recordation and               grant from the Department of Homeland Security
filing fee collected by each circuit court clerk.            in order to fill three positions that were unfunded
The fund is to be used to help circuit court clerks          based on the state of the economy. The grant
obtain office and information technology, preserve           provides 100% of the firefighters salaries and
and maintain court records, improve public access            benefits for fiscal years FY11 and FY12 with the
to court records and to study the design of a                County being responsible for the employee costs
Statewide system of remote access to the clerks’             beginning in FY13. Total projected revenue for
land records. Projected State funding is $38,000,            FY12 is $384,800.
which is flat from the prior year.

The emergency communications State cellular tax
is collected by the State and is applied for annually
through the State Wireless 911 Board. Funding is
used to supplement local salaries as well as the
cost of training and equipment used for wireless
911. Projected State funding is $272,000, a
$46,000 or 14.5% decrease.

The County receives funding from the Virginia
Department of Fire Programs as “Aid to
Localities.” These funds are derived from one
percent of fire-related insurance coverage. The
funding provides the County with the funds to pay
for training of volunteer and career firefighters,
construction of training centers, firefighting
equipment and protective clothing. Projected




                                                        81
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               82
              GENERAL GOVERNMENT ADMINISTRATION
                                      FY10                FY11             FY12         FY11          FY13
                                      Actual             Budget           Budget       to FY12        Plan
Board of Supervisors              $      495,783    $       496,914   $      529,301     6.5%     $      513,773
County Administrator                   1,126,412          1,206,654        1,225,769     1.6%          1,242,438
Human Resources                          788,241            854,962          834,613    (2.4%)           845,359
County Attorney                        1,141,475          1,149,968        1,173,864     2.1%          1,190,250
Commissioner of the Revenue            1,203,419          1,248,337        1,286,925     3.1%          1,304,564
Assessor                                 841,913            857,420          867,202     1.1%            879,292
Treasurer                              1,295,840          1,365,866        1,389,537     1.7%          1,407,160
Finance & Management Services          1,384,938          1,487,391        1,414,960    (4.9%)         1,434,898
Internal Audit                           270,935            276,670          266,380    (3.7%)           270,154
Information Technology                 3,954,299          3,884,157        3,974,761     2.3%          4,025,619
Registrar                                314,733            349,652          367,083     5.0%            330,833
Total Expenditures                $   12,817,989    $    13,177,991   $   13,330,395     1.2%     $   13,444,340

  Personnel                       $   10,980,819    $    11,419,442   $   11,649,869    2.0%      $   11,822,814
  Operating                            1,802,074          1,758,549        1,660,526   (5.6%)          1,621,526
  Capital                                 35,096                  -           20,000   100.0%                  -
Total Expenditures                $   12,817,989    $    13,177,991   $   13,330,395    1.2%      $   13,444,340

Revenues
  Intergovernmental Revenue       $      508,990    $       456,667   $      462,266     1.2%     $      472,000
  Other Revenue                           53,927            122,525           60,000   (51.0%)            60,000
  General Fund Revenue                12,255,072         12,598,799       12,808,129     1.7%         12,912,340
Total Revenue                     $   12,817,989    $    13,177,991   $   13,330,395     1.2%     $   13,444,340

Generated Revenue Percent                    4.4%              4.4%             3.9%                        4.0%
General Fund Percent                        95.6%             95.6%            96.1%                       96.0%

Full-time Positions                          132               132               128    (3.0%)               128
Part-time Positions                           32                 32               32     0.0%                 32
Full-time Equivalents                       138.5             138.1            134.1    (2.9%)             134.1




 *General Services is no longer part of the General Government Summary. Due to the merger of General
 Services, Facilities Management, and Fleet Services in FY12, General Services has been re-stated in the
 Public Works Summary for FY10 and FY11 for comparison purposes.


 Note: In the department pages to follow, the population was updated based on the 2010 Census,
 resulting in an adjusted FY11 Budget per capita figure.




                                                    83
                                 Board of Supervisors

DESCRIPTION

The Board of Supervisors is a seven-member             Auditor, Assessor, members of the School
body elected to four-year terms by registered          Board, Human Services Boards, Pamunkey
voters as representatives of each of the               Regional Library Board and Planning
County’s seven magisterial districts. The              Commissioners, among others. Board
Board of Supervisors has both administrative           meetings are traditionally held the second and
and legislative responsibilities including, but        fourth Wednesday of each month and are open
not limited to, adopting the County budget;            to the general public. The Board provides
levying County taxes; appropriating funds;             residents with open lines of communication
approving and enforcing ordinances; and                with which to voice concerns and suggestions
establishing policies and procedures to                and produces the most cost effective and
efficiently and effectively improve the overall        efficient government services to Hanover
quality of life in Hanover County. In addition,        residents.
the Board appoints the positions of County
Administrator, County Attorney, Internal


BUDGET SUMMARY
                                     FY10                    FY11               FY12           FY11         FY13
Expenditures                         Actual                 Budget             Budget         to FY12       Plan
  Personnel                      $      281,416        $       281,624     $     301,219       7.0%     $    305,691
  Operating                             209,972                215,290           208,082      (3.3%)         208,082
  Capital                                 4,395                      -            20,000      100.0%               -
Total Expenditures               $      495,783        $       496,914     $     529,301       6.5%     $    513,773

Revenues
  General Fund Revenue           $      495,783        $       496,914     $     529,301       6.5%     $    513,773
Total Revenue                    $      495,783        $       496,914     $     529,301       6.5%     $    513,773

Full-time Positions                             1                      1                  1    0.0%                  1
Part-time Positions                             7                      7                  7    0.0%                  7
Full-time Equivalents                         2.6                    2.6                2.6    0.0%                2.6


BUDGET HIGHLIGHTS

In the FY12 budget, the decrease in                        compensation adjustment for the one full-
operating is due primarily to reductions in                time employee serving as Executive
educational training and advertising. The                  Assistant to the Board. The FY12 service
audit contract remains intact while the                    level plan also contains funding of $20,000
citizen survey is performed periodically. The              for the additional updating of audio visual
personnel increase is due mainly to                        equipment in the Boardroom.
increased health insurance costs and a




                                                  84
                                Board of Supervisors

GOALS AND OBJECTIVES

   Provide high quality customer service, prioritize essential services and emphasize a well-
   supported customer service oriented workforce;
   Provide for sound financial operations that emphasize efficiency in the delivery of services,
   stability in tax rates, and a strong program of economic development;
   Assess resident satisfaction with periodic citizen surveys; and
   Provide for planned growth of the County that includes practical initiatives in controlled
   growth as well as a reliable strategy for the provision of necessary infrastructure.


SERVICE LEVELS
                                                   FY10      FY11          FY11       FY12
                                                   Actual
                                                   U    U    Budget
                                                             U        U   Forecast    Budget
                                                                                      U        U




Per capita cost of operating department*            $4.96     $4.92        $4.92       $5.14
Adopt and utilize an Operating, Five-Year
    Capital Improvement, and Five-Year         4/15/2009    4/14/2010     4/14/2010 4/13/2011
    Financial Plan




                                              85
                                  County Administrator

DESCRIPTION

The County Administrator’s Office directs the            laws, policies, and direction provided by the
daily operations of the County Government,               Board.
provides advice and policy recommendations
to the Board of Supervisors, and provides long           Informative communication with the citizens
range planning of government operations.                 and within the organization is a priority for the
The office is also responsible for                       County Administrator’s Office. To that end,
implementing the policies and procedures                 the Public Information Officer (PIO) is
established by the Board of Supervisors. The             responsible for providing timely and accurate
County Administrator’s Office advises and                information on County services, programs and
evaluates department heads and other                     issues to the public through such means as the
personnel consistent with present and future             quarterly newsletter (“The Hanover Review”)
community needs and in conformity with all               and an e-mail distribution list (“Hanover
                                                         Access News”).


BUDGET SUMMARY
                                       FY10                   FY11             FY12           FY11           FY13
Expenditures                           Actual                Budget           Budget         to FY12         Plan
  Personnel                        $    1,027,542        $    1,099,509   $    1,122,879      2.1%     $     1,139,548
  Operating                                98,871               107,145          102,890     (4.0%)            102,890
Total Expenditures                 $    1,126,412        $    1,206,654   $    1,225,769      1.6%     $     1,242,438

Revenues
  General Fund Revenue             $    1,126,412        $    1,206,654   $    1,225,769      1.6%     $     1,242,438
Total Revenue                      $    1,126,412        $    1,206,654   $    1,225,769      1.6%     $     1,242,438

Full-time Positions                               9                  10                  9   (10.0%)                  9
Full-time Equivalents                           9.0                10.0                9.0   (10.0%)                9.0


BUDGET HIGHLIGHTS

Beginning in FY12, the Public Information                areas. The County’s one Public Information
Officer function will be merged into the                 Officer (PIO) provides a quarterly newsletter,
County Administrator’s Office. The County                website updates and highlights, press releases
Administrator’s Office provides supervision              and support to the many areas in which the
and direction to nearly all County-related               County’s departments need to communicate
operations, while also administering to the              with the public. The increase in the personnel
general inquiries of residents. In addition,             expense category is due mainly to a
administrative oversight is provided over the            compensation adjustment and increased health
Board of Supervisor’s budget and activities, as          insurance costs. The decrease in operating is
well as serving as the agent for the Board’s             primarily due to reductions in subsistence-
initiatives, policy-setting goals and other focus        local meal expenses and dues and association




                                                    86
                                County Administrator
memberships. The reduction in full-time                unfunded Administrative Assistant position.
positions is due to the elimination of a vacant


GOALS AND OBJECTIVES

   Provide leadership and direction to staff in conducting the business of the County;
   Provide administrative and managerial support, and professional advice to the Board of
   Supervisors;
   Develop and implement programs, policies, and procedures to ensure the provision of
   effective and efficient government services;
   Present a proposed balanced budget to the Board of Supervisors by the fourth Wednesday in
   February;
   Formulate Board initiatives by July 1 of each year;
   Provide an agenda package to each Board member by the Friday prior to each Board
   meeting;
   Publish “The Hanover Review” four times annually;
   Develop 3 “News Flashes” weekly on the County's website (www.co.hanover.va.us);
   Provide other informational content and photos to the County’s website;
   Prepare or assist in the preparation of press releases for County departments;
   Develop fact sheets for use by County Administration and other departments;
   Gather information and provide other assistance to the County Administration; and
   Send out Hanover Access News Bulletins in a timely fashion.


SERVICE LEVELS
                                                       FY10       FY11         FY11        FY12
                                                       Actual     Budget      Forecast     Budget
Per capita cost of operating department*               $11.28     $11.95       $11.95      $11.91
Size of budget (in millions)                           $379.3     $383.8       $383.8      $391.3
Total number of full time equivalents
                                                   3,860.0        3,705.5      3,705.5     3,674.5
  (includes schools)




                                                  87
                                     Human Resources

DESCRIPTION

The Human Resources Department provides               The Human Resources Department is
support services to County departments,               continuously interested in advancing the
Constitutional offices, the Pamunkey Regional         organization to a higher level. Employees
Jail, and the Pamunkey Regional Library.              continue to view Hanover County as a fair and
Primary areas of responsibility include policy        consistent place to work, as evidenced by the
development and interpretation, recruitment           very few grievances filed. In fact, in the most
and selection, benefits, compensation,                recent employee opinion survey, 97% of
employee relations, training, and performance         participants stated that they were satisfied
management.       The     Human     Resources         working for Hanover County. Similarly, 95%
Department serves as the coordinating office          said that they would recommend Hanover
to ensure fair and consistent application of          County as a place to work to a friend.
County human resources policies in
conformance with federal, state, and local
laws and regulations.

BUDGET SUMMARY
                                     FY10                   FY11               FY12           FY11         FY13
Expenditures                         Actual                Budget             Budget         to FY12       Plan
  Personnel                      $      684,922       $       749,490     $     723,857      (3.4%)    $    734,603
  Operating                             103,320               105,472           110,756       5.0%          110,756
Total Expenditures               $      788,241       $       854,962     $     834,613      (2.4%)    $    845,359

Revenues
  General Fund Revenue           $      788,241       $       854,962     $     834,613      (2.4%)    $    845,359
Total Revenue                    $      788,241       $       854,962     $     834,613      (2.4%)    $    845,359

Full-time Positions                             8                     9                  9    0.0%                  9
Part-time Positions                             2                     2                  2    0.0%                  2
Full-time Equivalents                         8.2                   9.2                9.2    0.0%                9.2

BUDGET HIGHLIGHTS

Human Resources functions to help make                    through employee surveys and other
Hanover County an attractive place to work,               mechanisms,      to   ascertain  employee
for both current employees and prospective                satisfaction.     Human Resources will
employees.     This is done by working                    continue to offer career development
directly with the departments to understand               opportunities to help employees reach their
their needs and help them meet their staffing             personal and professional goals. The
goals.      Human Resources evaluates                     decrease in personnel expenses is mainly
employee compensation and benefits                        due to salary savings and the operating
programs to ensure our competitiveness in                 increase is primarily due to increases in
the region. Human Resources also monitors                 maintenance service contracts and books
the climate of the County workforce,                      and subscriptions.




                                                 88
                                   Human Resources

GOALS AND OBJECTIVES

       Further refine dashboard reporting;
       Implement Stage 2 Wellness initiatives;
       Continue to pursue an Employee Self-Service module (web-based payment
       confirmation);
       Implement SPQA goals and initiatives;
       Develop an HR Strategic Plan.



SERVICE LEVELS
                                                FY10         FY11          FY11          FY12
                                                Actual
                                                U        U   Budget
                                                             U        U   Forecast
                                                                          U          U   Budget
                                                                                         U        U




Per capita cost of operating department         $7.89         $8.47         $8.47         $8.11
Applications received (full-time)               3,130        6,500         4,500         4,500
Positions filled                                 124          250           175            175
Total full-time employees                       1,025        1,080         1,080         1,080
Total part-time employees                        261          290           290            290
Pamunkey Regional Library employees              154          165           165            165
Pamunkey Regional Jail employees                 127          136           136            136
Grievances per 1,000 employees                     -            4             4              4
Number of training classes offered                66           55            75             75




                                           89
                                     County Attorney

DESCRIPTION

The County Attorney’s Office represents the            ordinances and represents the County and its
County in all civil legal matters and is               agencies in litigation. In addition, this office
responsible for providing a full range of legal        supervises work performed by outside legal
services to the Board of Supervisors and all           counsel, maintains and updates the Hanover
Boards, departments, agencies, Constitutional          County Code, responds to resident inquiries
offices, and employees of the County, as well          and drafts or reviews all deeds, leases,
as the School Board and School divisions.              contracts, bonds, and other legal documents.
This office drafts or reviews proposed County

BUDGET SUMMARY
                                     FY10                    FY11               FY12           FY11         FY13
Expenditures                         Actual                 Budget             Budget         to FY12       Plan
  Personnel                      $    1,074,978        $     1,073,447     $    1,103,785      2.8%     $   1,120,171
  Operating                              66,497                 76,521             70,079     (8.4%)           70,079
Total Expenditures               $    1,141,475        $     1,149,968     $    1,173,864      2.1%     $   1,190,250

Revenues
  General Fund Revenue           $    1,141,475        $     1,149,968     $    1,173,864      2.1%     $   1,190,250
Total Revenue                    $    1,141,475        $     1,149,968     $    1,173,864      2.1%     $   1,190,250

General Fund Percent                     100.0%                 100.0%            100.0%                      100.0%

Full-time Positions                             9                      9                  9    0.0%                  9
Full-time Equivalents                         9.0                    9.0                9.0    0.0%                9.0

BUDGET HIGHLIGHTS

This office provides the legal counsel to the              adjustment and increased health insurance
Board of Supervisors, School Board and                     costs. The decrease in the operating budget
nearly all County departments and agencies.                is due primarily to reductions in local
This includes ordinance development, legal                 mileage reimbursement and educational
representation and related support in                      training. The department will also continue
ensuring compliance with policies, laws and                with reduced employee hours for a position
regulations.   The increase in personnel                   in FY12.
expenses is due mainly to a compensation

GOALS AND OBJECTIVES

   Provide prompt and effective legal assistance to all County elected and appointed Boards,
   Constitutional Officers, and all departments.




                                                  90
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               91
                            Commissioner of the Revenue

DESCRIPTION

The Commissioner of the Revenue’s office is             Department of Taxation, the Division assists
divided into three sections: Real Property,             the public in the completion of income tax
Personal Property, and Business Property.               filing forms, processes filings, and performs
The Real Property Division prepares and                 initial audits for accuracy. The Personal
maintains information in the Land Records               Property Division works closely with the
Book and submits final assessments to the               Division of Motor Vehicles for vehicle
Treasurer for tax billing. Duties include               transfers and registrations.
incorporating land transfers and splits into the
tax records, reviewing wills, and preparing             The Business Property Division is responsible
and maintaining land parcel               maps.         for all business taxes, licenses, and associated
Applications for land use tax deferrals and tax         records. Tax categories overseen by this
relief for the elderly and disabled are                 Division include business personal property,
processed and administered by the Real                  machinery and tools, merchant’s capital,
Property Division.       Rollback taxes are             transient occupancy, and contractor’s business
calculated and billed by this Division when             licenses. The Division works with businesses
changes in land use or zoning occur.                    to ensure they are knowledgeable of tax
                                                        ordinances and assists them with compliance
The Personal Property Division prepares                 and related issues.
information for the Personal Property Tax
Book by assessing all vehicles, boats,                  The Commissioner of the Revenue is a
motorcycles, trailers, airplanes, and mobile            Constitutional Officer and is locally elected
homes. In cooperation with the Virginia                 every four years.


BUDGET SUMMARY
                                      FY10                   FY11             FY12         FY11            FY13
Expenditures                          Actual                Budget           Budget       to FY12          Plan
  Personnel                       $    1,100,324        $    1,136,833   $    1,188,170     4.5%    $      1,205,809
  Operating                              103,094               111,504           98,755   (11.4%)             98,755
Total Expenditures                $    1,203,419        $    1,248,337   $    1,286,925     3.1%    $      1,304,564

Revenues
  Intergovernmental Revenue       $      234,632        $      216,000   $      219,151    1.5%     $        224,000
  General Fund Revenue                   968,786             1,032,337        1,067,774    3.4%            1,080,564
Total Revenue                     $    1,203,419        $    1,248,337   $    1,286,925    3.1%     $      1,304,564

Generated Revenue Percent                  19.5%                17.3%            17.0%                        17.2%
General Fund Percent                       80.5%                82.7%            83.0%                        82.8%

Full-time Positions                          19                     19              18    (5.3%)                   18
Part-time Positions                            1                     1                1    0.0%                      1
Full-time Equivalents                       19.4                  19.4             18.4   (5.2%)                  18.4




                                                   92
                            Commissioner of the Revenue

BUDGET HIGHLIGHTS

In addition to many services provided by             professional services, office supplies, and
this office, two high volume activities              small capital outlay. The overall increase is
include: 177,799 personal property taxpayer          due mainly to a compensation adjustment
items valued in 2010 and approximately               and increased health insurance costs. The
10,042 State income tax returns requiring            full-time position decrease is due to the
processing assistance. The operating                 elimination of a vacant unfunded Customer
decrease is due primarily to reductions in           Service Agent position in FY12.

GOALS AND OBJECTIVES

   Issue business licenses by March 1;
   Update files for real estate transfers and wills by March 1;
   Process tax relief applications for the elderly and disabled by March 1 (1st half) and June 30
   (2nd half);
   Process land use applications by November 1 and February 1;
   Assess real estate taxes and complete the Land Book by April 1;
   Process and audit State income taxes by June 1;
   Prorate and assess all personal property classes by December 31;
   Monitor sales tax revenues monthly and prepare monthly reports to track changes/trends;
   Assess and administer local option taxes on a monthly basis; and
   Improve services offered on the Commissioner of the Revenue website.

SERVICE LEVELS
                                                   FY10        FY11          FY11        FY12
                                                   Actual      Budget       Forecast     Budget
Per capita cost of operating department             $12.05      $12.36        $12.36      $12.51
Accounts in personal property file                 82,211      89,979        86,518      82,500
Real estate transfers                               2,874       2,351         2,260       3,000
Review of will disbursements                         325         300           300         300
Land use applications                                127         143           124         125
Land use parcels                                    3,273       3,681         3,505       3,275
Tax relief applications                             1,772       1,788         1,625       1,800
Tax relief applications qualified                   1,641       1,728         1,677       1,675
State income tax returns processed                  7,757       9,360         9,115       8,000
Estimated tax forms processed                       1,201       2,002         1,925       1,500

ASSESSED VALUE OF TAXABLE PROPERTY
                                                                           Public
 Calendar         Real       Personal     Machinery      Merchants’       Service
   Year           Estate     Property      & Tools        Capital        Companies       Total
   2008        $12,135.8     $1,454.8       $41.9          $48.2          $591.7       $14,272.4
   2009          13,159.9     1,275.8        42.9           48.4            643.7       15,170.7
   2010          13,091.9     1,234.4        46.1           47.3            628.5       15,048.2
Dollars in Millions




                                              93
                                           Assessor

DESCRIPTION

The Assessor’s Office is responsible for the            by the statutes of the Commonwealth of
appraisal of all real property for ad valorem           Virginia. Included in the valuation of all real
tax purposes. In this capacity, the Assessor            property are reassessments, property splits,
evaluates all real estate to assure equalization        consolidations, transfers of real estate, zoning
of market value. The scope of the Assessor’s            changes, new subdivisions, and new
authority and the responsibility is controlled          construction.


BUDGET SUMMARY
                                      FY10                   FY11            FY12         FY11             FY13
Expenditures                          Actual                Budget          Budget       to FY12           Plan
  Personnel                       $      769,833        $     778,092   $      814,418     4.7%     $       826,508
  Operating                               72,080               79,328           52,784   (33.5%)             52,784
Total Expenditures                $      841,913        $     857,420   $      867,202     1.1%     $       879,292

Revenues
  General Fund Revenue            $      841,913        $     857,420   $      867,202     1.1%     $       879,292
Total Revenue                     $      841,913        $     857,420   $      867,202     1.1%     $       879,292

Full-time Positions                          11                    10               10     0.0%                    10
Part-time Positions                            1                    -                -     0.0%                      -
Full-time Equivalents                       11.8                 10.0             10.0     0.0%                   10.0


BUDGET HIGHLIGHTS

The Assessor’s Office is responsible for the            dispersion levels (this measures volatility
appraisal of all real property in the County. In        amongst assessed values) of less than 10%,
this capacity the Assessor evaluates all real           and few appeals to the Board of Equalization
estate to assure equalization of market value.          resulting in valuation changes. The decrease
Approximately 25,000 tax parcels have been              in operating is due mainly to the removal of
reassessed for 2011 (56% of the County).                the department vehicle lease payment as a
Despite this workload, the office has                   result of the Fleet Services department moving
maintained sales to assessment ratios of                from an internal service fund to become a part
96-98% while keeping coefficient of                     of the General Fund.




                                                   94
                                          Assessor

GOALS AND OBJECTIVES

   Maintain and enhance the Computer Assisted Mass Appraisal System to further streamline
   functions of the Office;
   Provide accurate information to the public by maintaining all assessment files, computer
   data, and sales books;
   Appraise new construction within 30 days of completion; and
   Complete 100% of all assigned assessments effective for January 1.


SERVICE LEVELS
                                                     FY10     FY11      FY11      FY12
                                                     Actual   Budget   Forecast   Budget
Per capita cost of operating department               $8.43    $8.49     $8.49     $8.43
Real estate property assessed as of January 1        100%     100%      100%      100%
Coefficient of Dispersion Levels <10%                8.44%    <10%      <10%      <10%
Successful Appeals <1% of total assessed              <1%      <1%      <1%        <1%
 value
Board of Equalization adjustments <0.5% of           <0.5%    <0.5%    <0.5%       <0.5%
 total assessed value
Sales to assessment ratios >90% of total         93.75%       >90%      >90%       >90%
 assessed value
Percent of appraisal staff with professional          50%      50%      50%         50%
 designations
Estimated taxable parcels of land                    43,615   44,000   44,500      44,300
Estimated non-taxable parcels of land                 846      850      850         924
Estimated new lots                                    377      500      350         350
Percent of appraisal staff with state license        100%     100%     100%        100%




                                                95
                                        Treasurer

DESCRIPTION

The Treasurer is a Constitutional Officer who         management of a delinquent collection
is elected every four years by the citizens of        program. The Treasurer is responsible for the
Hanover County. The Treasurer is charged              safeguarding of receipts and managing the
with collecting taxes and other revenue of the        County’s investment program and banking
County. Tax collection involves the billing           relationships.
and collection of current receivables and the

BUDGET SUMMARY

                                     FY10                  FY11             FY12         FY11           FY13
Expenditures                         Actual               Budget           Budget       to FY12         Plan
  Personnel                      $    1,083,544       $    1,147,070   $    1,187,112    3.5%     $     1,204,735
  Operating                             212,296              218,796          202,425   (7.5%)            202,425
Total Expenditures               $    1,295,840       $    1,365,866   $    1,389,537    1.7%     $     1,407,160

Revenues
  Intergovernmental Revenue      $      220,852       $      192,000   $      193,115     0.6%    $       197,000
  Other Revenue                          53,927              122,525           60,000   (51.0%)            60,000
  General Fund Revenue                1,021,062            1,051,341        1,136,422     8.1%          1,150,160
Total Revenue                    $    1,295,840       $    1,365,866   $    1,389,537     1.7%    $     1,407,160

Generated Revenue Percent                21.2%                23.0%            18.2%                       18.3%
General Fund Percent                     78.8%                77.0%            81.8%                       81.7%
Full-time Positions                         15                    15               15    0.0%                   15
Part-time Positions                         15                    17               17    0.0%                   17
Full-time Equivalents                      16.0                 17.0             17.0    0.0%                  17.0

BUDGET HIGHLIGHTS

For many years now, this office has attained          on their behalf. The commission is split
an almost 100% collection rate on taxes owed          evenly between the two offices.            The
the County within one year of the due date.           Treasurer’s Office continues its efforts to
Additionally, the Treasurer oversees an               effectively serve citizens through the use of
investment portfolio that has consistently            technology. Online services are offered that
outperformed established investment return            allow citizens to view the details of their tax
benchmarks. Beginning in May 2008, the                payment billing anytime, day or night. These
Treasurer and Commissioner of the Revenue             services also allow citizens to make tax
offices opened a joint DMV Select Office.             payments online and sign-up for electronic
The Commonwealth of Virginia pays the                 billing. The decrease in operating is due
County a commission to handle some basic              primarily to reductions in printing and
transactions, such as vehicle registration            binding, postage, and office supplies.
renewals or handicapped parking placards, etc.



                                                 96
                                             Treasurer

GOALS AND OBJECTIVES

     Maintain core services;
     Provide excellent customer service to citizens, businesses, and internal departments;
     Prepare accurate and timely reconciliations (bank within 30 days, tax within 45 days);
     Maintain an on-line tax inquiry and payment system;
     Maintain high collection rates; and
     Participate in the Virginia Department of Taxation Pilot Program.


SERVICE LEVELS
                                                        FY10         FY11          FY11         FY12
                                                        Actual       Budget       Forecast      Budget
Per capita cost of operating department                 $12.98       $13.53        $13.53       $13.50
Tax collected in fiscal year                            96.6%        97.0%         95.0%        95.0%


PROPERTY TAX LEVIES AND COLLECTIONS


            General      Collected within the Fiscal                          Tax Collections to Date
        Property Taxes        Year of the Levy
        Levied for the                                   Collections in
          Fiscal Year                     Percentage      Subsequent                          Percentage
FY                       Amount            of Levy           Years            Amount           of Levy
06     $117,153,995 $113,003,453           96.5%          $3,797,003      $116,800,456          99.7%
07      128,606,341 123,943,881            96.4%           3,659,346       127,603,227          99.2%
08      139,951,410 134,776,945            96.3%           2,996,605       137,773,550          98.4%
09      146,731,880 140,814,064            96.0%           2,497,000       143,311,064          97.7%
10      142,757,714 137,896,486            96.6%                   -       137,896,486          96.6%

Source: CAFR Schedule www.co.hanover.va.us/finance/cafr10.htm




                                                   97
                         Finance & Management Services

DESCRIPTION

The Finance and Management Services                    The Accounting Division coordinates the
Department is responsible for providing the            annual audit and prepares the audited fiscal
financial management of the County. The                year financial reports. In addition, Accounting
Accounting, Budget and Purchasing Divisions            oversees the operations function which
ensure that ongoing processes for controlling          provides the support services for payroll,
fiscal    and       administrative   operations        accounts payable, financial reporting, debt
throughout the County are properly designed            management and audit. The Budget Division
and functioning. Finance and Management                provides support to the County Administrator
Services provides accurate and useful                  and the Board of Supervisors in the
information concerning the County’s financial          development and deployment of the annual
position, including the budget, five-year plan,        budget and five-year plan.         The Budget
and financial statements to County and School          Division also supports all County departments
Board departments in a timely manner. The              and agencies year round in implementing
Department also tracks and compiles relevant           financial policies and procedures. The
local economic data as well as comparative             Purchasing Division has the responsibility of
peer statistics. This data is presented in             centralized procurement of all goods and
various formats including credit rating                services above a $5,000 unit cost as well as all
presentations, the most recent of which                procurement card oversight.
resulted in a triple AAA bond rating.


BUDGET SUMMARY
                                    FY10                 FY11              FY12         FY11         FY13
Expenditures                        Actual              Budget            Budget       to FY12       Plan
  Personnel                     $    1,314,560     $      1,402,133   $    1,343,051    (4.2%)   $    1,362,989
  Operating                             70,377               85,258           71,909   (15.7%)           71,909
Total Expenditures              $    1,384,938     $      1,487,391   $    1,414,960    (4.9%)   $    1,434,898

Revenues
  General Fund Revenue          $    1,384,938     $      1,487,391   $    1,414,960   (4.9%)    $    1,434,898
Total Revenue                   $    1,384,938     $      1,487,391   $    1,414,960   (4.9%)    $    1,434,898

General Fund Percent                    100.0%               100.0%          100.0%                       100.0%

Full-time Positions                        19                    19               17   (10.5%)                17
Part-time Positions                          1                    -                -     0.0%                  -
Full-time Equivalents                     19.6                 19.0             17.0   (10.5%)              17.0

BUDGET HIGHLIGHTS

Beginning in FY12, the Purchasing and                  To represent the true annual changes, the
Finance Departments will be merged into the            expenses of both departments have been
Finance & Management Services Department.              restated together for FY10 and FY11. The




                                                  98
                         Finance & Management Services
operating decrease is primarily due to                 vacant unfunded Office Manager position and
reductions in maintenance service contracts,           a vacant Deputy Director of Purchasing
print shop, and postage. The reduction in full-        position.
time positions is due to the elimination of a


GOALS AND OBJECTIVES

   Provide superior service delivery through sound financial management practices.
   Identify all sources of revenue and develop an equitable blend to ensure financial stability
   Provide accurate and useful information concerning the County’s financial position,
   including the budget, five-year plan, and financial statements
   Ensure that ongoing processes for controlling fiscal and administrative operations throughout
   the County are properly designed and functioning
   Ensure appropriate reserves and plan debt financing to fund capital infrastructure, while
   limiting the County’s debt burden and maintaining or improving the bond ratings
   Consistently add value through the innovative use of information and technology.

SERVICE LEVELS

                                                       FY10        FY11       FY11        FY12
                                                       Actual      Budget    Forecast     Budget
Per capita cost of operating department                $13.87      $14.73     $14.73      $13.75
Bids, Proposals, and Quotes Issued                      93          100        90           90

General Fund Revenue –
Actual as a % of Budgeted Amount              FY08 – 98.5% FY09 – 91.9% FY10 – 97.4%
General Bonded Debt Per Capita                FY08 – 1,393 FY09 – 1,452 FY10 – 1,555
GFOA Award-
       CAFR                                   Received award each fiscal year since 1985.
       Budget Document                        Received award each fiscal year since 1989.
Purchase Card Usage                           Averaging 470 transactions per month.

MUNICIPAL BOND RATING FOR HANOVER COUNTY

        Fiscal Year       Moody's          S&P                  Fitch
           2001            Aa1              AA                  AA+
           2002            Aa1              AA                  AA+
           2003            Aa1              AA                  AA+
           2004            Aa1              AA                  AA+
           2005            Aa1              AA                  AA+
           2006            Aa1             AA+                  AAA
           2007            Aa1             AA+                  AAA
           2008            Aa1             AAA                  AAA
           2009            Aa1             AAA                  AAA
           2010           AAA              AAA                  AAA




                                                  99
                                      Internal Audit

DESCRIPTION

The Internal Audit Department conducts                effectively, and in compliance with applicable
performance, financial and compliance audits          laws and regulations. The Internal Audit
of County, School Board, Regional Library             Department develops an audit plan based on
and Regional Jail activities. Audit results and       risk assessments and resources available to
recommendations are reported to the                   provide internal audit services for all areas of
respective Boards, Finance Committee,                 the County. The Internal Audit Department
Administration and the agency reviewed. The           also maintains the County’s Fraud, Waste and
Internal Auditors work closely with the Board         Abuse Hotline. The annual Internal Audit
and Administration to ensure the County               plan is approved by the Finance Committee of
provides quality service to the public through        the Board of Supervisors.
functions that are performed efficiently,

BUDGET SUMMARY
                                     FY10                 FY11               FY12           FY11         FY13
Expenditures                         Actual              Budget             Budget         to FY12       Plan
  Personnel                      $      262,820     $       266,109     $     254,210      (4.5%)    $    257,984
  Operating                               8,115              10,561            12,170      15.2%           12,170
Total Expenditures               $      270,935     $       276,670     $     266,380      (3.7%)    $    270,154

Revenues
  General Fund Revenue           $      270,935     $       276,670     $     266,380      (3.7%)    $    270,154
Total Revenue                    $      270,935     $       276,670     $     266,380      (3.7%)    $    270,154

Full-time Positions                             3                   3                  3    0.0%                  3
Full-time Equivalents                         3.0                 3.0                3.0    0.0%                3.0

BUDGET HIGHLIGHTS

Previous audits have identified performance           all of FY11. In response to this vacancy, the
recommendations that have resulted in                 department revised its FY11 Internal Audit
business      opportunities     and    position       Plan to reflect the percentage reduction in
reclassifications for several departments. The        available resources. The result can be seen in
Internal Audit Department has maximized its           the service level change from budget to
own resources to assist with County-wide              forecast, which reduced the number of audits
training in the areas of Fraud and Ethics. This       performed and consequently extended the
budget includes funding for a National                average audit cycle. Service Levels for FY12
Association of Local Government Auditors              are based on the assumption that the existing
(NALGA) peer review and the personnel                 vacancy will continue for some portion of
expense decrease is mainly due to salary              FY12. The department will update its forecast
savings.                                              accordingly when the Internal Auditor
                                                      position is filled.
The salary savings is the result of a full-time
internal auditor position that was unfilled for




                                                100
                                      Internal Audit

GOALS AND OBJECTIVES

       Develop, implement and execute an annual Internal Audit Plan adopted by the Board of
       Supervisors;
       Evaluate risk environments and systems of internal controls;
       Follow up on prior internal audit recommendations and provide departmental assistance;
       Perform special projects to support Board initiatives and assist County Administration;
       Coordinate regional and external audit services;
       Meet Internal Audit Performance Measurement goals; and
       Meet Generally Accepted Auditing Standards for:
           o planning, conducting and reporting on work performed and
           o continuing professional education.




SERVICE LEVELS
                                                       FY10       FY11       FY11      FY12
                                                       Actual     Budget    Forecast   Budget
Per capita cost of operating department                 $2.71      $2.74      $2.74     $2.59
Number of internal audits performed                      28         27         16        18
Average Internal Audit cycle (years)                     7.2         7        10.9      10.9
% of Audit Universe audited to date                     57%        64%       60%        62%




                                             101
                               Information Technology

DESCRIPTION

The Information Technology Department is a          system     and    technological     needs    of
support organization that is vital to the           departments and related entities is to continue
mission of Hanover County Government. The           to provide the support and leadership, where
department endeavors to attain the highest          applicable, in ensuring a 24/7 fully
levels of technical proficiency, maintain           functioning     computer       and      system
secure available systems, and assure data           environment, with proper security, controls,
integrity. Department services are focused on       archives and contingency plans.
implementing, operating, and maintaining
County computer systems, as well as a wide          The GIS division is responsible for
area network which provides access to the           maintaining, developing, and distributing
County’s central computer systems and               geographic related data sets and applications.
various state systems. The County’s major           The GIS program provides service and
systems include email, website, financial           support to public safety, community
management, payroll, tax assessment and             development, and other County agency
billing, computer aided dispatch, public safety     operations.     GIS is also supporting the
records management, utility billing, building       redistricting effort and spatial data/reporting
permits, plan tracking, and code enforcement.       analysis.
Information Technology’s role in meeting the

BUDGET SUMMARY
                                     FY10               FY11             FY12         FY11            FY13
Expenditures                         Actual            Budget           Budget       to FY12          Plan
  Personnel                      $    3,201,685   $     3,307,003   $    3,425,899    3.6%     $      3,476,757
  Operating                             721,914           577,154          548,862   (4.9%)             548,862
  Capital                                30,701                 -                -    0.0%                    -
Total Expenditures               $    3,954,299   $     3,884,157   $    3,974,761    2.3%     $      4,025,619

Revenues
  General Fund Revenue           $    3,954,299   $     3,884,157   $    3,974,761    2.3%     $      4,025,619
Total Revenue                    $    3,954,299   $     3,884,157   $    3,974,761    2.3%     $      4,025,619

General Fund Percent                     100.0%            100.0%          100.0%                       100.0%

Full-time Positions                         35                34               34     0.0%                    34
Part-time Positions                           2                 2                2    0.0%                      2
Full-time Equivalents                      36.7              35.7             35.7    0.0%                   35.7

BUDGET HIGHLIGHTS

In FY12, the Geographic Information System          of the GIS Division have been restated with
(GIS) division will be merged into the              Information Technology’s budget for FY10
Information Technology department. To best          and FY11 although they were originally
represent the true annual changes, the              budgeted as a separate department. The
expenses and matching General Fund Revenue          personnel expense increase is due primarily to




                                              102
                               Information Technology
a compensation adjustment and increased              of the department vehicle lease payment as a
health insurance costs.       The operating          result of the Fleet Services department moving
decrease is primarily due to one-time funding        from an internal service fund to become a part
for GIS advertising in FY11 and the removal          of the general fund.

GOALS AND OBJECTIVES

   Attracting, developing and retaining highly competent staff;
   Cultivating an environment where innovation and strategic planning are encouraged;
   Integrating technology through communication, training, and support;
   Implementing innovative technologies to meet Hanover County government goals;
   Operating secure, robust, and reliable systems;
   Maintain address, street centerline, tax parcel, zoning, public utility, planimetric, and related
   data layers; and,
   Enhancing use of GIS technology to provide more accurate and timely information to the
   public and County staff.

SERVICE LEVELS
                                                      FY10        FY11         FY11        FY12
                                                      Actual      Budget      Forecast     Budget
Per capita cost of operating department                $39.60      $38.47       $38.47      $38.63
Personal computers and network stations                1,064       1,100        1,097       1,100
Network Connections-workstations/printers              1,233       1,232        1,232       1,232
Network Connections-facilities                           48          50           54          55
Network Accounts*                                      1,794       1,934        2,233       2,235
Total Supported Servers & Systems**                     103          86           97          98
        Physical Servers                                 63          58           52          52
        Virtual Servers                                  40          36           45          46
   % of Server Virtualization                          38%         42%          46%         47%
Server Applications and Services Supported              113         113          114         116
County web site hits - monthly average               274,970     320,000      290,000     300,000
County web site visits - monthly average              66,894      47,000       67,000      70,000
Data Loss due to Intrusions/Viruses                  Zero loss   Zero loss    Zero loss   Zero loss
Maintain address database                               470         475          450         450
Maintain tax parcel database                           1,159       1,200        1,000       1,000
Maintain street centerline database                      93         250          100         125
Building Permits Reviewed                               316         450          275         300
Public access to GIS data (internet site monthly     450,000     600,000      500,000     500,000
transactions)
Public access to GIS data (internet site monthly      50,000       70,000      55,000       55,000
queries)

 * In FY11 the County added the Fire/EMS Volunteers as network users.
** In FY11 ITD changed the way it accounts for servers/systems to account for the utilization of
   server virtualization in the County.




                                               103
                                         Registrar

DESCRIPTION

The Registrar’s Office is under the Electoral          applications and to maintain records of such
Board and implements the election laws of the          residents pursuant to State Law. The Electoral
Commonwealth of Virginia. The Electoral                Board accepts Candidate Contributions
Board is a three member Board appointed by             Reports from candidates who run for positions
the Circuit Court to administer the election           within the County. These reports are
laws and other regulations promulgated by the          maintained for public inspection along with
State Board of Elections. The Electoral Board          other election records from previous elections.
also appoints the General Registrar, over 200          The Electoral Board also supervises the
election officials and voting machine                  elections to verify compliance with the law
custodians. Primary functions of the Registrar         and verifies the results to the State Board of
are to accept statewide voter registration             Elections.


BUDGET SUMMARY
                                    FY10                  FY11               FY12           FY11         FY13
Expenditures                        Actual               Budget             Budget         to FY12       Plan
  Personnel                     $     179,195      $        178,132     $     185,269       4.0%     $    188,019
  Operating                           135,538               171,520           181,814       6.0%          142,814
Total Expenditures              $     314,733      $        349,652     $     367,083       5.0%     $    330,833

Revenues
  Intergovernmental Revenue     $      53,506      $         48,667     $      50,000       2.7%     $     51,000
  General Fund Revenue                261,227               300,985           317,083       5.3%          279,833
Total Revenue                   $     314,733      $        349,652     $     367,083       5.0%     $    330,833

Generated Revenue Percent                17.0%                13.9%             13.6%                       15.4%
General Fund Percent                     83.0%                86.1%             86.4%                       84.6%

Full-time Positions                            3                    3                  3    0.0%                  3
Part-time Positions                            3                    3                  3    0.0%                  3
Full-time Equivalents                        3.2                  3.2                3.2    0.0%                3.2


BUDGET HIGHLIGHTS

The increase in operating is primarily due to          further savings from relocating voting
service level plan funding in the amount of            machines from leased to County owned
$39,000 for printing and mailing of new voter          storage facilities. The increase in personnel
cards in compliance with statutory disclosure          expenses is due primarily to a compensation
requirements. There is reduced funding for             adjustment and increased health insurance
fees and miscellaneous charges and there are           costs.




                                               104
                                          Registrar

GOALS AND OBJECTIVES

   Continue to enter 100% of transactions on the State’s computer system within seven days;
   Make adjustments as needed to respond to the approved redistricting plan;
   Continue to monitor refinements in the Virginia Election and Registration Information
   System (VERIS); and
   Adjust staffing to compensate for increased workload.


SERVICE LEVELS
                                                      FY10     FY11      FY11      FY12
                                                      Actual   Budget   Forecast   Budget
Per capita cost of operating department                $3.15    $3.46     $3.46     $3.57
Registered Voters:
 Number of registered voters                          68,294   69,300    68,449    69,300
 Voting age population                                73,202   83,000    82,300    83,000
 Percent of population                                93.0%    69.5%     68.7%     69.5%
 Percent of eligible voters                           73.3%    83.5%     83.2%     83.5%
Voter Turnout:
 Number of voters                                     35,677   27,750    35,000    27,750
 Percent of registered voters                         52.0%    40.0%     51.1%     40.0%
 Percent of eligible voters                           49.0%    33.4%     45.9%     33.4%




                                             105
                         JUDICIAL ADMINISTRATION
                                      FY10            FY11           FY12         FY11         FY13
                                      Actual         Budget         Budget       to FY12       Plan
Circuit Court                     $      91,340 $        92,889 $       77,795   (16.2%)   $      78,585
General District Court                  100,146         112,303        103,938    (7.4%)         103,938
Magistrates                               2,967           2,991          3,002     0.4%            3,002
Juvenile and Domestic Relations          25,568          22,367         22,398     0.1%           22,398
Clerk of Circuit Court                1,335,230       1,323,494      1,341,765     1.4%        1,359,454
Court Services                        1,374,991       1,329,221      1,342,382     1.0%        1,310,084
Commonwealth's Attorney               1,494,461       1,580,066      1,556,234    (1.5%)       1,578,359
Total Expenditures                $   4,424,703 $     4,463,331 $    4,447,514    (0.4%)   $   4,455,820

  Personnel                       $   3,800,185 $     3,929,119 $    3,926,635    (0.1%)   $   3,984,925
  Operating                             513,981         534,212        470,895   (11.9%)         470,895
  Capital                               110,537               -         49,984   100.0%                -
Total Expenditures                $   4,424,703 $     4,463,331 $    4,447,514    (0.4%)   $   4,455,820

Revenues
 Intergovernmental Revenue        $   1,432,490 $     1,410,900 $    1,441,007    2.1%     $   1,467,000
 Other Revenue                          482,796         478,887        453,388   (5.3%)          459,788
 General Fund Revenue                 2,509,417       2,573,544      2,553,119   (0.8%)        2,529,032
Total Revenue                     $   4,424,703 $     4,463,331 $    4,447,514   (0.4%)    $   4,455,820

Generated Revenue Percent                 43.3%          42.3%          42.6%                     43.2%
General Fund Percent                      56.7%          57.7%          57.4%                     56.8%

Full-time Positions                         56             56               55   (1.8%)                 55
Part-time Positions                         16             16               16    0.0%                  16
Full-time Equivalents                      59.0           59.0            58.0   (1.7%)               58.0




   Note: In the department pages to follow, the population was updated based on the 2010
   Census, resulting in an adjusted FY11 Budget per capita figure.




                                               106
                                                 Courts

DESCRIPTION

The Courts system is made up of the Circuit              warrant of arrest should be issued.      In
Court, General District Court, Magistrate, and           addition, the Magistrate conducts bail bond
Juvenile and Domestic Relations Court. The               hearings, commits offenders to jail, and
Circuit Court of Hanover is a trial court of             releases prisoners from jail.
general jurisdiction which has authority to try
both civil and criminal cases. The Supreme               The Circuit Court appoints the following: jury
Court of Virginia establishes the rules of               commissioners,     grand     jurors,   special
practice and procedures for the Circuit Court.           policemen, Board of Zoning Appeals,
The Circuit Court Judge is appointed to an               Electoral Board, Courthouse Committee,
eight year term by the General Assembly. The             Commissioner of Chancery, Marriage
Circuit Court has appellate jurisdiction over            Commissioners, and others as provided by the
all appeals from the General District Court              Code of Virginia.
and Juvenile and Domestic Relations Court.
These cases are heard from the beginning as              The Circuit Court is responsible for the law
though there had been no prior trial. A final            library. The law library (at the request of the
judgment of the Circuit Court may be                     Hanover Bar) contains legal information
appealed to the Virginia Court of Appeals or             which may be of interest to local lawyers.
the Supreme Court of Virginia, depending on
the nature of the case.                                  The Courts receive direct funding from the
                                                         Commonwealth, in addition to funds
One of the principal functions of the                    appropriated by the County. Revenues
Magistrate is to provide an independent                  recorded in the General Fund from the Courts
review of complaints from Sheriff’s Deputies             represent fines, forfeitures, and excess fees
and citizens of the County. These complaints             from the Circuit Court.
form the basis for determining whether a

Budget Summary
                                                  Circuit Court

                                  FY10                  FY11               FY12            FY11        FY13
Expenditures                      Actual               Budget             Budget         to FY12       Plan
  Personnel                   $      53,500       $         51,519    $      53,249        3.4%    $     54,039
  Operating                          37,840                 41,370           24,546      (40.7%)         24,546
Total Expenditures            $      91,340       $         92,889    $      77,795      (16.2%)   $     78,585

Revenues
  General Fund Revenue        $      91,340       $         92,889    $      77,795      (16.2%)   $     78,585
Total Revenue                 $      91,340       $         92,889    $      77,795      (16.2%)   $     78,585

General Fund Percent                 100.0%                 100.0%           100.0%                      100.0%

Full-time Positions                          1                    1                  1    0.0%                  1
Full-time Equivalents                      1.0                  1.0                1.0    0.0%                1.0




                                                      107
                                                Courts

                                              General District Court

                                    FY10                      FY11                 FY12              FY11                FY13
Expenditures                        Actual                   Budget               Budget           to FY12               Plan
  Operating                 $         100,146        $         112,303     $           103,938     (7.4%)        $           103,938
Total Expenditures          $         100,146        $         112,303     $           103,938     (7.4%)        $           103,938

Revenues
  Other Revenue             $          14,339        $          14,099     $            15,000      6.4%         $            15,000
  General Fund Revenue                 85,807                   98,204                  88,938     (9.4%)                     88,938
Total Revenue               $         100,146        $         112,303     $           103,938     (7.4%)        $           103,938

Generated Revenue Percent               14.3%                    12.6%                   14.4%                                 14.4%
General Fund Percent                    85.7%                    87.4%                   85.6%                                 85.6%




                                                             Magistrates

                                     FY10                      FY11                    FY12                FY11                FY13
Expenditures                         Actual                    Budget                  Budget            to FY12               Plan
  Operating                     $            2,967       $            2,991       $            3,002      0.4%           $          3,002
Total Expenditures              $            2,967       $            2,991       $            3,002      0.4%           $          3,002

Revenues
  General Fund Revenue          $            2,967       $            2,991       $            3,002      0.4%           $          3,002
Total Revenue                   $            2,967       $            2,991       $            3,002      0.4%           $          3,002

General Fund Percent                     100.0%                       100.0%               100.0%                                   100.0%




                                      Juvenile & Domestic Relations Court

                                    FY10                      FY11                     FY12              FY11                FY13
Expenditures                        Actual                   Budget                   Budget           to FY12               Plan
  Operating                 $           25,568       $           22,367       $          22,398         0.1%         $         22,398
Total Expenditures          $           25,568       $           22,367       $          22,398         0.1%         $         22,398

Revenues
  General Fund Revenue      $           25,568       $           22,367       $          22,398         0.1%         $         22,398
Total Revenue               $           25,568       $           22,367       $          22,398         0.1%         $         22,398




                                                         108
                                           Courts

BUDGET HIGHLIGHTS

The County has contributed $207,000 to these     the trends in court appointed attorneys fees
state related functions within the judicial      that the County has been incurring.
administration division, with expenditures
primarily representing operating expenditures    Magistrates – The overall increase can be
and two full-time positions.                     attributed to inflationary adjustments made by
                                                 the County.
Circuit Court – Decreases can be attributed to
operational adjustments, implemented as cost     Juvenile and Domestic Relations Court – The
savings measures through collaboration           increase in the budget can be attributed to
between the Judge and County.                    inflationary operational costs, otherwise the
                                                 Judge and County have worked together to
General District Court – The decrease seen in    present a flat operational budget.
the departmental budget is directly linked to


GOALS AND OBJECTIVES

•   Maintain file of drug offenders with suspended licenses;
•   Maintain collections percentage at 75%;
•   Set up receivables for cases within 24 hours; and
•   Send out payment request notices within two days of court.


SERVICE LEVELS
                                                 FY10        FY11         FY11       FY12
                                                 Actual      Budget      Forecast    Budget
Per capita cost of operating Courts              $2.57       $2.32        $2.32      $2.22




                                              109
                                   Clerk of the Circuit Court

DESCRIPTION

The Circuit Court Clerk’s Office was created                Probate: The Clerk’s Office has the
by the Virginia constitution and is headed by               responsibility for admitting wills to probate,
an elected Circuit Court Clerk. Its four                    qualifying executors and administrators, and
primary responsibilities are maintenance of                 maintaining copies of fiduciary accounting
public records pertaining to real estate,                   records.
probate, the court system, and collection of
fines, costs, taxes, and fees. The Clerk’s                  Court system: The Clerk’s Office maintains
Office also performs many other duties such                 the official court records for civil and criminal
as administering oaths to law enforcement and               cases and the Court’s dockets. It issues
government officials, qualifying ministers to               subpoenas and summons and prepares records
perform weddings, storing election records,                 for cases that are appealed to appellate courts.
jury coordination, and issuing marriage                     Deputy clerks staff courtrooms while court is
licenses and concealed handgun permits.                     in session and draft over 2,300 criminal court
                                                            orders annually.
Maintenance of public records: The Clerk’s
Office is a repository for copies of documents              Collection of fees, court costs, fines, and
pertaining to real estate such as deeds, plats,             taxes: The Clerk’s Office collects several
and deeds of trust. The Clerk’s Office also                 million dollars annually that are transferred to
maintains judgments, financing statements,                  state and local governments. It also collects
wills, and court orders. These records are                  clerk’s fees on most transactions.
indexed and are available to the public for
examination.

BUDGET SUMMARY
                                            FY10                FY11               FY12              FY11              FY13
Expenditures                                Actual              Budget             Budget          to FY12             Plan
  Personnel                             $    1,144,241      $    1,146,404     $     1,191,579       3.9%      $       1,209,268
  Operating                                    190,989             177,090             150,186     (15.2%)               150,186
Total Expenditures                      $    1,335,230      $    1,323,494     $     1,341,765       1.4%      $       1,359,454

Revenues
  Intergovernmental Revenue             $      546,981      $      547,000     $       554,053       1.3%      $         564,000
  Other Revenue                                222,381             214,788             193,388     (10.0%)               199,788
  General Fund Revenue                         565,868             561,706             594,324       5.8%                595,666
Total Revenue                           $    1,335,230      $    1,323,494     $     1,341,765       1.4%      $       1,359,454

Generated Revenue Percent                         57.6%               57.6%              55.7%                            56.2%
General Fund Percent                              42.4%               42.4%              44.3%                            43.8%

Full-time Positions                                   18                18                  17      (5.6%)                     17
Part-time Positions                                     8                 8                   8      0.0%                        8
Full-time Equivalents                                18.5              18.5                17.5     (5.4%)                    17.5

Note: While the functions and services provided by the Circuit Court Clerk’s Office generate more revenue than
reported, only Excess Fee revenue and those revenues provided by the State to help fund the operations of the Office
are reflected.

                                                        110
                              Clerk of the Circuit Court


BUDGET HIGHLIGHTS

The Clerk of the Circuit Court’s Office           budget has decreased and the Clerk has
performs a variety of support functions for the   leveraged remote access fees to cover
Circuit Court and legal recordations (e.g.,       maintenance costs for the land records system
property, wills). The Clerk’s Office has          in FY12, shifting the cost away from the
funding from the State Technology Trust Fund      general fund. The overall increase in the total
that is held on behalf of Hanover County. The     budget is attributed to the compensation
Clerk’s Office has one vacant Deputy Clerk        adjustment and the increased cost of
position that is unfunded for the FY11 and        healthcare.
FY12 budget years. The overall operational


GOALS AND OBJECTIVES

•   Continue work on digital imaging system by implementing a system of long term support and
    maintenance;
•   Continue process of verifying and correcting backfiled converted data in the digital imaging
    system; and
•   Secure sufficient staff to fully process historically neglected tasks such as evidence
    destruction.


SERVICE LEVELS
                                                  FY10        FY11         FY11        FY12
                                                  Actual      Budget      Forecast     Budget
Per capita cost of operating department           $13.37      $13.11       $13.11      $13.04
Land records recorded                             17,164      21,000       16,500      18,000
Wills probated/Administrators appointed            367          340          350         350
Marriage Licenses issued                           514          550          550         550
Notary public appointments processed               387          450          390         390
Judgments docketed                                3,740       3,400        3,800       3,600
Criminal cases                                    2,485       2,150         2,350       2,350
Civil cases filed                                 1,125        1,200        1,150       1,200
Concealed weapon permits issued                    840          700          800         700




                                              111
                                         Court Services

DESCRIPTION

The Court Services Division of the Sheriff’s            Judges.     In addition, the Court Services
Office is responsible for the security of the           Division performs the “paper process”
judiciary in Hanover County, its officers,              services of the Courts and Sheriff’s Office.
visitors, and prisoners. This includes the              This includes delivery of all warrants, DMV
General District Court, the Juvenile and                notices, subpoenas/ summons, jury notices,
Domestic Relations Court, and the Circuit               bills of complaint, detinue actions, levies and
Court. The Court Services Division provides             other notices. The final major component of
court security for multiple courtrooms each             this Division is the safe and efficient
day of the week. Court Services helps insure            transportation of prisoners between the courts
security and maintains order of courtrooms              and other destinations, including the
prior to and during all court sessions as well as       transportation of those persons remanded by
responding to and executing orders of the               the court for mental health evaluation.


BUDGET SUMMARY
                                        FY10                FY11              FY12           FY11           FY13
Expenditures                            Actual              Budget            Budget       to FY12          Plan
  Personnel                         $     1,168,037     $     1,224,462   $    1,191,395   (2.7%)    $      1,209,081
  Operating                                  96,417             104,759          101,003   (3.6%)             101,003
  Capital                                   110,537                   -           49,984   100.0%                   -
Total Expenditures                  $     1,374,991     $     1,329,221   $    1,342,382    1.0%     $      1,310,084

Revenues
  Other Revenue                     $       244,600     $       250,000   $      245,000   (2.0%)    $        245,000
  General Fund Revenue                    1,130,390           1,079,221        1,097,382    1.7%            1,065,084
Total Revenue                       $     1,374,991     $     1,329,221   $    1,342,382    1.0%     $      1,310,084

Generated Revenue Percent                     17.8%               18.8%           18.3%                        18.7%
General Fund Percent                          82.2%               81.2%           81.7%                        81.3%

Full-time Positions                               19                19               19     0.0%                    19
Part-time Positions                                 4                 4                4    0.0%                      4
Full-time Equivalents                            20.0              20.0             20.0    0.0%                   20.0

BUDGET HIGHLIGHTS

 The security of the courts through bailiffs and          frozen or eliminated. The increase in the total
 serving of court-related papers (e.g., subpoenas) is     budget can be linked to the capital line items
 performed by this division of the Sheriff’s Office.      where two replacement vehicles were funded in
 The decrease in personnel expenditures can be            the FY12 service level plan after none were
 attributed to natural attrition and retirements          approved in FY11 as a cost savings measure.
 causing shifts in base salaries; no positions were




                                                    112
                                                                                Court Services


         SERVICE LEVELS
                                                                                         FY10          FY11                   FY11                 FY12
                                                                                         Actual        Budget                Forecast              Budget
         Per capita cost of operating department                                         $13.77        $13.16                 $13.16               $13.05


         Each General District Court case utilizes three deputies, each Juvenile and Domestic Court case
         utilizes two deputies, and each Circuit Court case uses four deputies.


             Papers Processed                                                                                       Court Hours
40,000                                                                                       20,000
30,000                                                                                       15,000
20,000                                                                                       10,000
10,000                                                                                        5,000
    0                                                                                            -
         2000
                2001
                       2002
                               2003
                                      2004
                                             2005
                                                    2006
                                                           2007
                                                                  2008
                                                                         2009
                                                                                2010




                                                                                                      2000

                                                                                                             2001

                                                                                                                    2002

                                                                                                                           2003

                                                                                                                                  2004

                                                                                                                                         2005

                                                                                                                                                2006

                                                                                                                                                       2007

                                                                                                                                                              2008

                                                                                                                                                                     2009

                                                                                                                                                                            2010
                                                                    Prisoner Transports
                       2,000

                       1,500

                       1,000

                              500

                                0
                                      1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010




         GOALS AND OBJECTIVES

         •      Maintain a safe and secure environment in the County’s Courts;
         •      Facilitate the expeditious service of civil papers; and
         •      Conduct secure prisoner transports to and from Court appearances.




                                                                                       113
                              Commonwealth’s Attorney

DESCRIPTION

The Commonwealth’s Attorney is an elected         Courts. The Commonwealth’s Attorney is
Constitutional Officer serving a four-year term   also charged with prosecuting asset forfeiture
of office. This Office is responsible for         matters, and collecting delinquent fines and
providing Hanover County and the                  court costs. Legal advice is provided to all
Commonwealth of Virginia with legal               local and state law-enforcement agencies and
representation in the prosecution of criminal     their officers investigating matters in Hanover
and traffic violations in the Circuit, General    County.
District, and Juvenile and Domestic Relations


BUDGET SUMMARY
                                     FY10             FY11             FY12          FY11            FY13
Expenditures                         Actual           Budget          Budget        to FY12          Plan
  Personnel                      $    1,434,406 $      1,506,734 $      1,490,412    (1.1%)   $      1,512,537
  Operating                              60,055           73,332 $         65,822   (10.2%)             65,822
Total Expenditures               $    1,494,461 $      1,580,066 $      1,556,234    (1.5%)   $      1,578,359

Revenues
  Intergovernmental Revenue      $      885,50 9 $       863,900 $        886,954    2.7%     $        903,000
  Other Revenue                           1,47 6               -                -    0.0%                    -
  General Fund Revenue                  607,475          716,166          669,280   (6.5%)             675,359
T otal Revenue                   $    1,494,461 $      1,580,066 $      1,556,234   (1.5%)    $      1,578,359

Generated Revenue Percent                 59.4%            54.7%           57.0%                        57.2%
General Fund Percent                      40.6%            45.3%           43.0%                        42.8%

Full-time Positions                          18               18               18    0.0%                     18
P art-time Positions                          4                4                4    0.0%                      4
Full-time Equivalents                      19.5             19.5             19.5    0.0%                   19.5



BUDGET HIGHLIGHTS

The services of the Commonwealth’s                   removal of local funding for an Assistant
Attorney are needed almost in direct                 Commonwealth’s Attorney position that no
proportion to law enforcement personnel              longer has a State Compensation Board
deployed arresting and/or charging people            match, as well as cost savings created by the
with crimes, traffic violations, as well as          Office in the area of legal books and
referral needs for legal counsel. The local          subscriptions.
funding decrease can be attributed to




                                              114
                             Commonwealth’s Attorney


GOALS AND OBJECTIVES

•   Augment successful prosecution of all matters in courts through the increased use of
    technology;
•   Seek appropriate punishment to deter criminal activity;
•   Aggressively prosecute crimes victimizing children, including internet predators and cases
    involving sexual assault;
•   Provide extensive training and advice to local law-enforcement departments, including
    annual legal legislative updates, academy instruction, and in-service training;
•   Participate with County departments, schools, citizens groups and other organizations to
    conduct education on issues related to public safety and courts;
•   Supervise and monitor the aggressive collection of delinquent fines and court costs for all
    courts;
•   Maximize funding, technology, and programs designed to increase professionalism, job
    performance, and efficiency;
•   Continue the office’s ability to respond quickly to law enforcement, while maintaining our
    current ratio of attorneys to law enforcement at 1:37; and
•   Continue cooperation between office and law enforcement agencies.


SERVICE LEVELS

                                                FY10         FY11         FY11        FY12
                                                Actual       Budget      Forecast     Budget
Per capita cost of operating department         $14.97       $15.65        $15.65     $15.12
Population served per attorney                  13,250       13,500       13,500      12,500
Law enforcement served per attorney               35           37           37          37




                                             115
                                    PUBLIC SAFETY
                                     FY10            FY11            FY12         FY11         FY13
                                     Actual         Budget          Budget       to FY12       Plan
Sheriff                         $   18,642,695 $    19,101,924 $    19,446,935     1.8%    $   18,800,694
Emergency Communications             3,415,055       3,862,980       3,858,943    (0.1%)        3,897,523
Fire/EMS                            13,847,405      13,824,517      14,176,315     2.5%        14,215,140
Pamunkey Regional Jail               3,983,122       4,750,176       4,740,861    (0.2%)        4,883,087
Juvenile Court Services                709,199         686,213         731,513     6.6%           734,518
Community Corrections                  399,805         447,744         456,635     2.0%           462,723
Building Inspections                 1,445,710       1,392,613       1,386,964    (0.4%)        1,406,022
Animal Control                       1,072,456       1,017,920         967,919    (4.9%)          978,981
Total Expenditures              $   43,515,445 $    45,084,087 $    45,766,085     1.5%    $   45,378,688

 Personnel                      $   31,028,987 $    31,843,336 $    32,980,885     3.6%    $   33,344,620
 Operating                          11,296,387      12,314,188      11,891,842    (3.4%)       12,034,068
 Capital                             1,190,071         926,563         893,358    (3.6%)                -
Total Expenditures              $   43,515,445 $    45,084,087 $    45,766,085     1.5%    $   45,378,688

Revenues
  Intergovernmental Revenue     $    4,792,867 $     4,625,646 $     4,714,224    1.9%     $    4,435,600
  Other Revenue                      3,294,734       3,491,917       3,527,500    1.0%          3,556,300
  General Fund Revenue              35,427,845      36,966,524      37,524,361    1.5%         37,386,788
Total Revenue                   $   43,515,445 $    45,084,087 $    45,766,085    1.5%     $   45,378,688

Generated Revenue Percent                18.6%           18.0%           18.0%                      17.6%
General Fund Percent                     81.4%           82.0%           82.0%                      82.4%

Full-time Positions                        461             459             456    (0.7%)             456
Part-time Positions                         48              46              46     0.0%                46
Full-time Equivalents                    473.9           470.3           468.3    (0.4%)            468.3




Note: In the department pages to follow, the population was updated based on the 2010
Census, resulting in an adjusted FY11 Budget per capita figure.




                                              116
                                            Sheriff

DESCRIPTION

Law enforcement in the County is provided by       combats drug related activities, and conducts
the Sheriff's Office. The Sheriff is an elected    criminal investigations. Under each unit there
Constitutional Officer serving a four-year term    are many specialized teams that provide
of office. This Office is divided into three       service to the County, including the Accident
sections: Administrative Support Operations,       Investigation Team, Canine Unit, High Risk
Investigative Operations, and Uniform Patrol       Entry Team, Hostage Negotiation Team,
Operations. Each unit is responsible for           Search and Rescue, and Underwater Forensic
various areas of law enforcement. The Sheriff      Team. The Sheriff is also responsible for
provides preventive patrol through community       courthouse security and the processing of civil
policing, responds to calls for service, arrests   court papers which is reflected under the
suspected offenders, promotes traffic safety,      Court Services section.


BUDGET SUMMARY
                                      FY10             FY11             FY12         FY11             FY13
Expenditures                          Actual          Budget           Budget       to FY12           Plan
  Personnel                       $   15,424,517 $    15,714,191 $     16,198,657     3.1%     $      16,386,910
  Operating                            2,336,064       2,561,508        2,413,784    (5.8%)            2,413,784
  Capital                                882,113         826,225          834,494     1.0%                     -
Total Expenditures                $   18,642,695 $    19,101,924 $     19,446,935     1.8%     $      18,800,694
                                                                                                        (345,011)
Revenues
 Intergovernmental Revenue        $    3,286,077 $     3,198,000 $      3,274,137     2.4%     $       3,372,600
 Other Revenue                            37,400          44,652           43,000    (3.7%)               43,000
  General Fund Revenue                15,319,218      15,859,272       16,129,798     1.7%            15,385,094
Total Revenue                     $   18,642,695 $    19,101,924 $     19,446,935     1.8%     $      18,800,694

Generated Revenue Percent                  17.8%           17.0%            17.1%                          18.2%
General Fund Percent                       82.2%           83.0%            82.9%                          81.8%

Full-time Positions                          220             220              220     0.0%                  220
Part-time Positions                            2               3                3     0.0%                     3
Full-time Equivalents                      221.5           221.5            221.5     0.0%                 221.5


BUDGET HIGHLIGHTS

The FY11 budget removed the funding for            adjustment and healthcare rate increases. An
seven vacant Sheriff’s Deputy positions; these     additional increase to the personnel
positions remain unfunded in the FY12              expenditures is a reserve to pay the cost of the
budget. The Sheriff’s Office has a flat            Line of Duty Act coverage which was shifted
operational budget for FY12 and the increase       from state to local responsibility; the sum
stated is due to the 2.25% compensation            covers our sworn hazardous duty career and




                                               117
                                                      Sheriff

volunteer staff totaling $51,000. This budget                 Terminals, at a cost of $160,000, most of
does include 27 replacement vehicles at a cost                which are reaching the end of their extended
of $660,000 as these vehicles have generally                  warranty period and useful life
met their 110,000-mile useful life. There are
also funds allocated to replace 20 Mobile Data

GOALS AND OBJECTIVES

•     The Hanover County Sheriff’s Office seeks to have a Safe Community through the delivery
      of high quality services;
•     The Hanover County Sheriff’s Office seeks to hire and retain skilled professionals dedicated
      to the Community;
•     The Hanover County Sheriff’s Office strives to maintain efficient internal operations; and
•     The Hanover County Sheriff’s Office will be fiscally responsible with tax payer money.

SERVICE LEVELS
                                                                    CY10          CY11      CY11       CY12
                                                                   Actual        Budget    Forecast   Budget
Per capita cost of operating department (fiscal yr)                $186.68       $189.18   $189.18    $188.99
Total incidents                                                    40,968        50,483     50,483    51,997
Cases per investigator                                              79.9          82.3       82.2      84.6
Average response time Priority 1 calls (minutes)                    8.56          8.21       8.56      8.56
Number of funded authorized sworn officers per                      20.3          19.3       19.3      18.7
10,000 people

The following table reflects reported crimes and clearances by calendar year:
                        20071                   20082                 2009                             2010
               Crimes       Clearance     Crimes Clearance Crimes Clearance                      Crimes Clearance
 Murder           0              2           1          1          0          0                     1       1
 Rape             6              6          10          9          6          6                    10       7
 Robbery         22              8           9         11          9          5                     7       5
 Aggr.
 Assault         24             18          18         17         25         22                    33           27
 Burglary        109            52         114         67        110         57                    128           80
 Larceny         907           386         991        453        876        466                    761          329
 Auto Theft       39            15          48         16         57         16                     63           32
 Arson            7              5           7          6          4          4                     1            0
 TOTAL          1,114          492        1,198       580       1,087       576                   1,004         481
1
 The murders cleared in 2007 were based on incidents that occurred in 2003 &
2006
2
    3 of the 11 robberies cleared in 2008 were incidents that occurred in 2007




                                                          118
                      Sheriff




         Crime Rate Per 1,000 in Population
6,000
5,000
4,000
3,000                                               2009
2,000                                               2010
1,000
    -
        Hanover   Henrico   Chesterfield Richmond




                        119
                             Emergency Communications

DESCRIPTION

The Emergency Communications Department             modern technology, such as a ten channel 800
serves as the 911 answering point and               Mhz trunked radio system, enhanced wireline
emergency dispatch center for Hanover               and wireless 911 systems, a state of the art
County and the Town of Ashland. These               computer aided dispatch system, CAD
services, as well as many other support             mapping, digital recording systems, and other
activities, are provided to citizens and the        vital communications equipment.
various public safety and public service
agencies and departments on a 24/7 basis.           As part of the implementation of a new radio
The Department is able to provide these             system in FY11, the Radio Shop was
services with well trained professional             integrated into Emergency Communications
Communications Officers and the use of              from Fleet Services.

BUDGET SUMMARY
                                      FY10               FY11           FY12         FY11           FY13
Expenditures                          Actual            Budget         Budget       to FY12         Plan
  Personnel                       $    2,847,795 $       3,238,110 $    3,265,692    0.9%     $     3,314,172
  Operating                              496,453           624,870        583,351   (6.6%)            583,351
  Capital                                 70,806                 -          9,900   100.0%                  -
Total Expenditures                $    3,415,055 $       3,862,980 $    3,858,943   (0.1%)    $     3,897,523
                                                                                                        4,037
Revenues
 Intergovernmental Revenue        $      311,070 $         318,000 $      272,000   (14.5%)   $       272,000
 Other Revenue                            36,300           225,165         53,000   (76.5%)            53,000
  General Fund Revenue                 3,067,685         3,319,815      3,533,943     6.4%          3,572,523
Total Revenue                     $    3,415,055 $       3,862,980 $    3,858,943    (0.1%)   $     3,897,523

Generated Revenue Percent                  10.2%             14.1%           8.4%                       8.3%
General Fund Percent                       89.8%             85.9%          91.6%                      91.7%

Full-time Positions                          49                49             47    (4.1%)                   47
Part-time Positions                          26                26             26     0.0%                    26
Full-time Equivalents                       51.4              51.4           49.4   (3.9%)                 49.4

BUDGET HIGHLIGHTS

The operational budget is down based on                Communications Officer positions that are
savings on a major service contract                    unfunded but still authorized in the FY12
associated with the 911 center, as well as             budget. The increase in personnel expenses
removing costs that were previously                    is due to a compensation adjustment and
transferred to the Fleet fund as that function         increased health insurance costs.      The
consolidates into General Services in FY12             Service Level Plan has provided $9,900 in
and ceases to be an internal service fund.             capital repairs to replace roofs and HVAC
Emergency Communications has two vacant                systems at the County tower sites.




                                                 120
                             Emergency Communications

GOALS AND OBJECTIVES

•   Answer 99% of all incoming 911 calls in 10 seconds or less (2 rings or less);
•   Dispatch 90% of all Fire, EMS, Animal Control and Law enforcement priority 1 calls in 60
    seconds or less from call entry;
•   Maintain a 90% employee retention rate and maintain a core group of well-trained,
    experienced communications officers, supervisors, managers and administrators;
•   Maintain a 90% customer satisfaction rate by ensuring the department provides its required
    services to the citizens and the user agencies in a timely, efficient, effective and professional
    manner;
•   Assure the Hanover County Security Alarm Ordinance is administered in a proper and
    efficient manner;
•   Maintain a 90% accuracy rate when handling emergency medical dispatch related calls;
•   Ensure that all vital and critical systems and equipment remain up and operational 95% of the
    time to assure the emergency communications, law enforcement and public safety personnel
    that they have the tools and equipment readily available to them 24/7 to allow them to
    perform their duties in an efficient, timely and professional manner;
•   Continually research, evaluate, and pursue equipment, technology, facilities, services and
    systems that will enhance the emergency communications operation and provide the
    emergency communications officers and field personnel the tools and technology they need
    to perform their duties in a safe, efficient and timely manner; and
•   Continue to increase the skills, knowledge and service levels of our Communications
    Officers, Supervisors and Administrative staff.


SERVICE LEVELS

                                                    FY10         FY11          FY11         FY12
                                                    Actual      Budget        Forecast      Budget
Per capita cost of operating department             $34.20       $38.26        $38.26       $37.50
Number of Non-911 telephone calls received         157,290      157,435       159,500      160,000
Number of Wireless 911 calls received              26,310       27,820         22,400       28,900
Number of Wire Line 911 calls received             21,975       20,407         16,640      16,000
Number of Public Safety Incidents received         79,584       74,358         74,358       78,000
Number of dispatch consoles                           5            5             8            8
Number of call taker consoles                         5            5              4           4




                                                121
                                             Fire/EMS

DESCRIPTION

The Department provides fire and                          include stairwells and exits. The probable
emergency medical services to the citizens                location of any special needs person is
of Hanover County, utilizing a combination                identified as well as the location of any fire
system of both paid and volunteer staff.                  extinguishers and electric panel boxes.
Hanover County currently utilizes the                     Gathering this information allows for the
support of approximately 600 volunteer                    emergency response personnel to most
personnel. Fire responsibilities include fire             effectively and efficiently respond to an
suppression,            code         inspections,         emergency situation if one is to arise at that
investigations,        hazardous        materials         particular location.
coordination and response and training.
Emergency Medical Services (EMS)                          Hanover County Fire-EMS provides a
responsibilities focus on providing the                   regional academy for career staff and
highest level of care and expertise in                    volunteer members that includes over 300
managing basic and advanced life support                  hours of basic training to become an entry
levels to critically ill or injured patients.             level Fire-EMS provider. The department
                                                          also offers dual enrollment college courses
Services are provided out of twelve                       in conjunction with J. Sergeant Reynolds
combination fire companies: Ashland                       Community College for EMT-Paramedic,
(Company 1), Beaverdam (2), Black Creek                   EMT-Basic, Firefighter Level 1, and
(12), Chickahominy (10), Doswell (4), East                Firefighter Level 2 towards an associate’s
Hanover (3), Farrington (11), Hanover                     and bachelor’s degree. The dual enrollment
Courthouse (5), Henry (6), Mechanicsville                 program also includes Firefighter 1,
(7), Montpelier (8), and Rockville (9); and               Firefighter 2, and EMT-Basic in Hanover
four volunteer rescue squads: Ashcake,                    County high schools during the school year.
Ashland, Eastern Hanover, and Western                     Departmental staff also coordinates all the
Hanover; and four combination rescue                      career and volunteer in-service training to
squads: Ashcake (13), Ashland (16), Eastern               maintain updates and certification levels in
Hanover (14), and Western Hanover (15).                   all service areas.

Staff is also responsible for the maintenance             Hanover County Fire-EMS uses schools and
of buildings and equipment that is                        other community functions as an outlet to
designated to Hanover County Fire-EMS. In                 promote fire prevention and preparedness.
addition to responding to calls for service,              All Fire and Rescue companies participate in
staff performs daily maintenance on                       prevention programs. Firefighters also
apparatus, and all household duties                       participate in a Book Buddy program with
including building maintenance and                        Hanover County schools where they serve as
cleaning. The upkeep of each station’s                    mentors to students in the county.
grounds and landscaping is also performed
by company staff. Training is conducted on                In preparation for large scale disasters, the
a daily basis to include pre-planning                     department continues to review policies and
emergency response strategies of businesses,              procedures to ensure adequate response
and residential neighborhoods in response                 capability to mitigate any size event. The
districts. During the pre-planning process                staff participates in numerous regional
fire personnel map out a building’s layout to             exercises, and a regional grant program to




                                                    122
                                          Fire/EMS

prepare Hanover County and the Richmond               department also participated in a full scale
area for any type of natural disaster or              operational readiness exercise with the
terrorist event. The Staff is working with            North Anna nuclear power station under the
local partners and businesses to increase our         direction of the Nuclear Regulatory
response capabilities without putting a               Commission and received an “Exceptional”
financial strain on the County. The                   rating with no deficiencies noted.

BUDGET SUMMARY
                                      FY10              FY11            FY12         FY11            FY13
Expenditures                          Actual           Budget          Budget       to FY12          Plan
  Personnel                       $   10,126,000 $     10,219,468 $    10,875,004     6.4%    $      10,962,793
  Operating                            3,608,052        3,556,569       3,252,347    (8.6%)           3,252,347
  Capital                                113,353           48,480          48,964     1.0%                    -
Total Expenditures                $   13,847,405 $     13,824,517 $    14,176,315     2.5%    $      14,215,140

Revenues
 Intergovernmental Revenue        $      784,799 $        720,000 $       778,441    8.1%     $         401,000
 Other Revenue                         2,265,512        2,209,000       2,419,000    9.5%             2,418,000
  General Fund Revenue                10,797,094       10,895,517      10,978,874    0.8%            11,396,140
Total Revenue                     $   13,847,405 $     13,824,517 $    14,176,315    2.5%     $      14,215,140

Generated Revenue Percent                  22.0%            21.2%           22.6%                         19.8%
General Fund Percent                       78.0%            78.8%           77.4%                         80.2%

Full-time Positions                          144              143             143    0.0%                  143
Part-time Positions                           17               16              16    0.0%                    16
Full-time Equivalents                      151.5            149.9           150.9    0.7%                 150.9

BUDGET HIGHLIGHTS

The FY12 budget still holds three firefighter      Included in the service level plan for FY12 are
positions unfunded with local dollars but Fire     two vehicles for the administrative fleet. The
EMS was able to leverage Federal grant             Fire/EMS portion of the capital improvements
funding to fill the positions. Operationally the   plan budget includes $500,000 for the fire
budget has remained relativity flat, and the       engine and heavy rescue apparatus
increase stated is based on the compensation       replacement plan as well as $366,000 for the
adjustment and increasing health care costs.       ambulance replacement plan. Fire/EMS has
An additional increase in the personnel            seen a 9.5% increase in other revenue sources
expense category is a reserve for the Line of      that can mainly be attributed to the EMS Fee
Duty Act coverage totaling $36,000 to cover        Recovery rate increase adopted in the FY11
our volunteer fire and EMS providers and an        budget process, as well as 8.1% in
additional $35,000 for career staff, as this       intergovernmental revenues which is the
responsibility has been shifted from the           aforementioned Federal SAFER grant.
Commonwealth to a local responsibility.




                                                123
                                          Fire/EMS

GOALS AND OBJECTIVES

•   Respond to life threatening calls in less than 9 minutes on 80% of calls; respond in less than
    13 minutes to emergency, non-life threatening calls on 80% of calls, and respond to all other
    calls in less than 16 minutes on 80% of calls;
•   Respond, within the urban service district, with Fire apparatus capable of flowing designated
    fire flows at an initial alarm of fire less than 9 minutes 80% of the time. Areas outside the
    urban service district Hanover Fire/EMS will place the first arriving Fire apparatus capable
    of flowing water less than 15 minutes 90% of the time;
•   Respond a minimum of 16 trained firefighters to an initial alarm of fire less than 9 minutes
    80% of the time, and a minimum of 8 additional firefighters 90% of the time for a subsequent
    alarm on the same assignment;
•   Conduct fire prevention programs for at least 10,000 citizens;
•   Fire Inspectors/Investigators to conduct a fire prevention inspection on 100% of the
    identified commercial structures annually; and
•   Hazardous materials inspector to conduct 60 fuel tank removal/installation inspections
    annually.


SERVICE LEVELS
                                                               FY10       FY11       FY11        FY12
                                                              Actual     Budget     Forecast    Budget
Per capita cost of operating department                       $138.66    $137.26    $142.06     $137.77
Respond to 80% Priority 1 calls in less than 9 minutes        83.3%      84.2%       82.7%      82.7%
Respond to 80% Priority 2 calls in less than 13 minutes       91.0%      88.3%       89.2%      89.2%
Respond to 80% Priority 3 calls in less than 16 minutes       87.9%      88.5%       91.6%      91.6%
Respond to 80% of urban fire calls in less than 9 minutes     81.7%      82.1%       78.2%      78.2%
Respond to 80% of non-urban fire calls in less than 15
minutes                                                       86.4%       89.6%      90.7%      90.7%




                                               124
                               Pamunkey Regional Jail

DESCRIPTION

The Pamunkey Regional Jail Authority                     general purpose beds, a 16 bed work release
(PRJA) operates a regional jail for the                  center, a 6 bed infirmary, and 12 special
Counties of Hanover and Caroline, and the                management beds.          Hanover County is
Town of Ashland, which began operations in               charged a per diem prisoner fee by the Jail
1998; beds are also rented to other                      sufficient to pay its operating and debt service
governments when capacity is available. The              costs.
facility contains 437 beds, consisting of 403

BUDGET SUMMARY
                                        FY10                  FY11                  FY12              FY11         FY13
Expenditures                            Actual               Budget                Budget            to FY12       Plan
  Operating                        $     3,983,122 $           4,750,176             4,740,861       (0.2%)    $   4,883,087
Total Expenditures                 $     3,983,122 $           4,750,176 $           4,740,861       (0.2%)    $   4,883,087

Revenues
  General Fund Revenue             $     3,983,122 $           4,750,176 $           4,740,861       (0.2%)    $   4,883,087
Total Revenue                      $     3,983,122 $           4,750,176 $           4,740,861       (0.2%)    $   4,883,087

Generated Revenue Percent                      0.0%                  0.0%                     0.0%                     0.0%
General Fund Percent                         100.0%                100.0%                   100.0%                   100.0%

BUDGET HIGHLIGHTS

The operating costs are used to house                       $50.74 per day, 3.8% decrease. While the
inmates as part of the County’s participation               per diem cost has decreased 3.8%, the
in the Pamunkey Regional Jail Authority                     County’s population of inmates has
(PRJA). This budget reflects the per diem                   increased 3.2%.
costs decreasing from $52.77 per day to

GOALS AND OBJECTIVES

•   Maintain a high level of service to member jurisdictions;
•   Provide staff the needed training to ensure a safe work environment;
•   Provide inmates with quality medical care and a safe living environment; and
•   Maintain American Correctional Association accreditation and Department of Corrections
    certification through staff development while adhering to facility policy and procedures.

SERVICE LEVELS                           Average Hanover Inmate
                                               Population
                             350
                             300
                             250
                             200
                             150
                             100
                              50
                               0
                                   1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

                                                    125
                             Juvenile Court Services Unit

DESCRIPTION

The Juvenile Court Services Unit (JCSU) is            during any level of detention. Domestic cases
responsible for providing intake, probation,          (custody, spousal and child support, spousal
case management, psychological services and           abuse and child visitation) are also prepared
social investigations. The intake officer has         for the Court by the intake officer. The JCSU
the authority, based on the definitions in the        provides probation supervision as ordered by
Code of Virginia, to divert relatively minor          the court.
cases and first offenders (Children in Need of
Services, Children in Need of Supervision,            The length of probation is determined by the
and Delinquent) from the court system to              JCSU with judicial approval and said time
programs and services operated by the JCSU            period is dependent on the juvenile’s
or outside the Unit. The intake officer also          adjustment and compliance with court ordered
processes all requests for juvenile criminal          requirements. Programs provided to juveniles
charges that are directed to the court for            and their parents include electronic
adjudication. The intake officer has the ability      monitoring, anger management, group
to issue detention orders for juveniles who are       counseling, law related education, community
charged with a class 1 misdemeanor or felony          improvement, community service work,
and who pose a threat to the safety of                parent to parent, parent orientation and stop
themselves or others. There are four levels of        thief. The JCSU provides funding for
detention: secure detention, non-secure               intensive in-home counseling services for
(shelter care), electronic monitoring and house       probationers and their families when
arrest. The JCSU monitors all juveniles               appropriate.


BUDGET
SUMMARY
                                    FY10                 FY11            FY12           FY11         FY13
Expenditures                        Actual               Budget         Budget         to FY12       Plan
 Personnel                      $      239,161 $           254,535 $      202,442      (20.5%)   $    205,447
 Operating                             470,038             431,678        529,071       22.6%         529,071
Total Expenditures              $      709,199 $           686,213 $      731,513       6.6%     $    734,518

Revenues
 Intergovernmental Revenue      $       79,229 $            62,000 $       62,000       0.0%     $     62,000
 General Fund Revenue                  629,970             624,213        669,513       7.3%          672,518
Total Revenue                   $      709,199 $           686,213 $      731,513       6.6%     $    734,518

Generated Revenue Percent                11.2%                9.0%           8.5%                        8.4%
General Fund Percent                     88.8%               91.0%          91.5%                       91.6%

Full-time Positions                            4                    4              4    0.0%                  4
Part-time Positions                            1                    1              1    0.0%                  1
Full-time Equivalents                        4.5                  4.5            4.5    0.0%                4.5




                                                   126
                            Juvenile Court Services Unit


BUDGET HIGHLIGHTS

The budget is primarily comprised of the               shifting from $141 to $166 per juvenile per
cost of housing juvenile offenders who are             day. The number of secure detention bed
placed at the Merrimac Juvenile Detention              days is not projected to increase
Center as well as other community programs             substantially, but the increased cost of
provided to address accountability, public             housing offenders is expected to cost
safety,    and     treatment    (e.g.,    case         $100,000.      The decrease in personnel
management,         probation,      electronic         expenditures is due to a locally funded
monitoring, community service, and                     vacant position being eliminated after the
treatment groups). The overall increase can            district gained an additional State funded
be attributed to a higher per diem bed days            position.
rate at Merrimac Juvenile Detention Center

GOALS AND OBJECTIVES
• Increase the number of cases placed in less restrictive detention through electronic
  monitoring and outreach;
• Enhance supervision of moderate and high risk juvenile offenders before the court;
• Continue to provide anger management groups for juveniles;
• Increase assessment and service referrals for youthful, first offenders;
• Increase community service opportunities for juvenile offenders;
• Continue to provide shoplifters program for first time offenders; and
• Increase referral of first time offenders to law related education classes.

SERVICE LEVELS
                                                   FY10         FY11         FY11        FY12
                                                   Actual       Budget      Forecast     Budget
Per capita cost of operating department            $7.10         $6.80       $6.80        $7.11
Program Participation:
 Community Service                                  260           210          207         234
 Intensive Probation                                 16            15           19          15
 Stop Thief!                                         88            63           47          68
 Truancy Project                                     99            61           70          75
 Anger Management                                    73            50           52          62
 Intensive In-home Counseling                       10             9            8           5
 Number of electronic monitoring cases              103           70           95          80
Total caseload (delinquent and domestic)           2,388         2,378        2,129       2,000
 Total delinquent                                  1,204          908          776         650
 Total diverted                                     185           160          173         130




                                                 127
                               Community Corrections

DESCRIPTION

The Community Corrections Program assists            adult offenders. The department is designed
the Courts in Hanover and Caroline Counties          to provide an alternative to incarceration while
by providing supervision and investigation of        maintaining public safety.

BUDGET SUMMARY
                                  FY10              FY11              FY12            FY11         FY13
Expenditures                      Actual            Budget           Budget          to FY12       Plan
  Personnel                   $      344,858 $          402,726 $       410,131        1.8%    $    416,219
  Operating                           54,611             45,018          46,504        3.3%          46,504
  Capital                                336                  -               -        0.0%               -
Total Expenditures            $      399,805 $          447,744 $       456,635        2.0%    $    462,723

Revenues
  Intergovernmental Revenue   $      327,646 $          327,646 $       327,646       0.0%     $    328,000
  Other Revenue                       52,122             56,500          56,500       0.0%           62,600
  General Fund Revenue                20,037             63,598          72,489       14.0%          72,123
Total Revenue                 $      399,805 $          447,744 $       456,635       2.0%     $    462,723

Generated Revenue Percent                 95.0%           85.8%           84.1%                         84.4%
General Fund Percent                       5.0%           14.2%           15.9%                         15.6%

Full-time Positions                          7                 7                7      0.0%                 7
Full-time Equivalents                      7.0               7.0              7.0      0.0%               7.0

BUDGET HIGHLIGHTS

This function is required to provide                    Investigator position and operational costs
community corrections and pre-trial services            associated with the employee. The majority
to those deemed necessary by the judges.                of the increases reflected can be attributed to
Community Corrections receives a grant                  the compensation adjustment for employees
from the Department of Criminal Justice                 as well as covering the increased cost of
Services and during FY10 funding was                    healthcare.
increased to provide an additional Pre-Trial

GOALS AND OBJECTIVES

•   Protect the community by providing effective supervision to offenders and defendants;
•   Provide the local courts with an alternative to incarceration; and
•   Offer a variety of resources and services to assist with treatment needs.

SERVICE LEVELS
                                                    FY10            FY11             FY11      FY12
                                                    Actual          Budget          Forecast   Budget
Per capita cost of operating department             $4.00            $4.43           $4.43      $4.44




                                                  128
                                     Building Inspections

 DESCRIPTION

 The Building Inspections Office is                      residential construction and proffered
 responsible for enforcement of the Virginia             conditions for residential construction. The
 Uniform Statewide Building Code to protect              Building Inspections Office also provides a
 the health, safety and welfare of the citizens          central payment center and cashiering
 of Hanover County.         Traditionally this           services for the fees charged and collected
 enforcement role has been focused on new                by      the     community       development
 construction and the renovation and                     departments. A continuing focus of the
 rehabilitation of existing buildings. The               department is customer service and the use
 Building Inspections Office has expanded its            of new technologies, as evidenced by the
 duties to include enforcement of the                    expansion of the Interactive Voice response
 Property Maintenance Code in addition to its            telephone system and the continuing
 traditional role. The Property Maintenance              development and implementation of online
 Code provides the minimum standards for                 services such as online inspection
 the maintenance of existing buildings and               scheduling and permit tracking. Permanent
 structures to promote their continued healthy           records of these activities are maintained
 use and usability. Additionally, the Building           and available in the Building Inspector’s
 Inspections Office enforces erosion and                 Office.
 sediment control regulations relating to


 BUDGET SUMMARY
                                      FY10                FY11           FY12          FY11         FY13
Expenditures                          Actual             Budget         Budget        to FY12       Plan
  Personnel                      $    1,342,263 $         1,280,610 $     1,283,767    0.2%     $   1,302,825
  Operating                             103,446             112,003 $       103,197   (7.9%)          103,197
Total Expenditures               $    1,445,710 $         1,392,613 $     1,386,964   (0.4%)    $   1,406,022

Revenues
 Other Revenue                   $      753,289 $           802,600 $       813,000    1.3%     $     830,700
 General Fund Revenue                   692,421             590,013         573,964   (2.7%)          575,322
Total Revenue                    $    1,445,710 $         1,392,613 $     1,386,964   (0.4%)    $   1,406,022

Generated Revenue Percent                 52.1%              57.6%           58.6%                      59.1%
General Fund Percent                      47.9%              42.4%           41.4%                      40.9%

Full-time Positions                          22                 21              20    (4.8%)                 20
Part-time Positions                            2                  -               -    0.0%                   -
Full-time Equivalents                       23.0               21.0            20.0   (4.8%)               20.0




                                                   129
                                   Building Inspections

BUDGET HIGHLIGHTS

The fees charged by this function                       addition of Fleet Services to the General
traditionally provide the funding for                   Fund. The decrease in full-time equivalent
building inspection services. The FY12                  positions is an unfunded vacant customer
budget remained flat in terms of service                service agent position that will be
level ability, but the decrease can be                  eliminated.
attributed to the efficiencies created with the

GOALS AND OBJECTIVES

•   Continue cooperative training program within the region to promote enforcement uniformity
    and customer satisfaction;
•   Process residential building permit applications within two weeks and commercial
    applications within 30 days;
•   Utilize user fees to pay for departmental operating costs; and
•   Continue our focus on customer service and new technology to better serve the needs of the
    community.

SERVICE LEVELS
                                                    FY10         FY11         FY11       FY12
                                                    Actual       Budget      Forecast    Budget
Per capita cost of operating department             $14.48       $13.79       $13.79     $13.48
Commercial plan reviews:
 Number of plans reviewed                               439        725         459        440
 Average number of days to review                        8         15          10         10
Pre-application plan reviews:
 Number of plans reviewed                               9           4            8          6
 Average number of days to review                       17         40           30         30
Residential plan reviews:
 Number of plans reviewed                           1,025         1,000       1,076       1,050
 Average number of days to review                    2.0           5.0         3.0         3.0
Inspections:
 Number of inspections per day                          81         130          86         83
 Number of inspections per inspector                    13          14          14         14
 Number of days from requested to                        1           1           1          1
 completed inspection




                                                  130
                                       Animal Control

DESCRIPTION

Hanover County Animal Control is                     include: coordinating information for missing
responsible for providing for the public safety      animals, placement of unwanted animals,
and health of the community by enforcing             specialized care and security of impounded
both county and state animal laws. Hanover           animals, assisting citizens and visitors with
County Animal Control directly assists all           various animal related problems, quarantine
other local and state public safety, health and      and preparation for testing of animals
law enforcement agencies to protect and serve        involved with possible exposure to rabies and
the citizens of Hanover County, their pets and       collection of fees associated with various
livestock, while promoting humane care and           facility and departmental functions. The
treatment of all animals within the County.          Pound Facility currently has 145 kennels with
The Animal Pound Facility functions also             an average daily capacity of ninety percent.


BUDGET SUMMARY

                                       FY10             FY11             FY12         FY11           FY13
Expenditures                           Actual           Budget          Budget       to FY12         Plan
  Personnel                        $      704,393 $         733,696 $     745,192      1.6%   $       756,254
  Operating                               244,601           232,366       222,727     (4.1%)          222,727
  Capital                                 123,463            51,858             -    (100.0%)               -
Total Expenditures                 $    1,072,456 $       1,017,920 $     967,919     (4.9%) $        978,981

Revenues
  Intergovernmental Revenue        $        4,046 $               - $           -     0.0%     $            -
  Other Revenue                           150,110           154,000       143,000    (7.1%)           149,000
  General Fund Revenue                    918,299           863,920       824,919    (4.5%)           829,981
Total Revenue                      $    1,072,456 $       1,017,920 $     967,919    (4.9%)    $      978,981

Generated Revenue Percent                   14.4%            15.1%          14.8%                       15.2%
General Fund Percent                        85.6%            84.9%          85.2%                       84.8%

Full-time Positions                           15               15              15     0.0%                    15
Full-time Equivalents                        15.0             15.0            15.0    0.0%                  15.0

BUDGET HIGHLIGHTS

The FY12 budget for Animal Control is                   Services moving to the General Fund. The
relativity flat; the operational budget is flat         capital line items also show a 100%
in terms of service level impacts to the                decrease but an FY11 midyear budget
department but does show a decrease based               amendment provided for those requested
on the cost of labor being removed from the             funds.
vehicle maintenance line as a result of Fleet




                                                  131
                                     Animal Control

GOALS AND OBJECTIVES

•   Increase citizen and pet participation in County Rabies Vaccination Clinics;
•   Increase dog license sales and compliance;
•   Expand community and school system education programs;
•   Improve compliance and administration of animal sterilization program; and
•   Improve Animal Control Employee in-service training and education.


SERVICE LEVELS
                                                 FY10         FY11          FY11      FY12
                                                 Actual       Budget       Forecast   Budget
Per capita cost of operating department          $10.74       $10.08        $10.08     $9.41
Animal Control Service Calls                     10,396       13,000        8,500     9,000
Total Animals Handled                             6,507        7,000         7,500     8,000
Total Animals Redeemed to Owner or placed         1,440        3,000         2,000     3,000
Licensed dogs                                    19,327       18,000        20,000    19,000
Animal Attack reports                              422          550           500       550
Positive rabies exposure reports                    26           30            25        30
Summons/Warrants issued                          1,136          800           800       800
Lost and found reports                            1,232        1,000        1,200     1,200




                                              132
                                    PUBLIC WORKS
                                    FY10                FY11           FY12         FY11         FY13
                                    Actual             Budget         Budget       to FY12       Plan
Public Works                    $    1,701,273 $        1,781,892 $    1,843,506    3.5%     $   1,866,980
Public Works Operations              3,716,967          3,793,988      3,830,254    1.0%         3,783,163
Recycling Service District              59,645             74,998         74,713   (0.4%)           78,000
General Services                     2,053,915          1,990,628      3,925,095   97.2%         3,704,106
Total Expenditures              $    7,531,799 $        7,641,506 $    9,673,568   26.6%     $   9,432,249

  Personnel                     $    4,234,357 $        4,050,560 $    5,685,488    40.4%    $   5,769,891
  Operating                          3,236,070          3,528,499      3,703,371     5.0%        3,662,358
  Capital                               61,372             62,447        284,709   355.9%                -
Total Expenditures              $    7,531,799 $        7,641,506 $    9,673,568    26.6%    $   9,432,249

Revenues
  Intergovernmental Revenue     $       15,048 $           15,000 $       18,000   20.0%     $      18,000
  Other Revenue                      1,125,698          1,072,100      1,138,100    6.2%         1,077,200
  General Fund Revenue               6,391,053          6,554,406      8,517,468   30.0%         8,337,049
Total Revenue                   $    7,531,799 $        7,641,506 $    9,673,568   26.6%     $   9,432,249

Generated Revenue Percent                15.1%             14.2%          12.0%                     11.6%
General Fund Percent                     84.9%             85.8%          88.0%                     88.4%

Full-time Positions                        67                59               84   42.4%                 84
Part-time Positions                         26               24               24    0.0%                 24
Full-time Equivalents                     77.8              69.8            94.8   35.8%                94.8




   *General Services, Facilities Management, and Fleet Services merged in FY12.




   Note: In the department pages to follow, the population was updated based on the 2010
   Census, resulting in an adjusted FY11 Budget per capita figure.




                                                 133
                                       Public Works

DESCRIPTION

The Department of Public Works' (DPW)                   inspects subdivision roads, administers the
responsibilities include assisting with the             flood plain ordinance, and manages
planning, design and construction of capital            underground storage tanks for County
projects within the County not related to               facilities. DPW provides input to the Virginia
Public     Schools    or   Public     Utilities,        Department of Transportation (VDOT)
administration of the State mandated                    regarding transportation projects being
Chesapeake Bay, Floodplain and Erosion and              managed by VDOT and manages the
Sediment Control programs, implementation               planning, design and construction of County
of the County’s regional stormwater quality             road projects. The Cannery (located two
program, oversight responsibility over solid            miles east of Ashland on Route 54) is a
waste disposal, refuse collection and                   facility that enables the people of Hanover and
recycling, management of airport operations             surrounding areas to use equipment and
and facilities, and management of the cannery.          technical expertise in the canning of food.
DPW reviews subdivision and site plans,

BUDGET SUMMARY
                                     FY10                 FY11              FY12         FY11         FY13
Expenditures                         Actual              Budget            Budget       to FY12       Plan
  Personnel                      $    1,549,246    $       1,560,512   $    1,648,589     5.6%    $   1,673,063
  Operating                             149,794              221,380          194,917   (12.0%)         193,917
  Capital                                 2,233                    -                -     0.0%                -
Total Expenditures               $    1,701,273    $       1,781,892   $    1,843,506     3.5%    $   1,866,980

Revenues
  Other Revenue                  $      325,714    $         344,100   $      308,100   (10.5%)   $     307,200
  General Fund Revenue                1,375,559            1,437,792        1,535,406     6.8%        1,559,780
Total Revenue                    $    1,701,273    $       1,781,892   $    1,843,506     3.5%    $   1,866,980

Generated Revenue Percent                 19.1%                19.3%           16.7%                      16.5%
General Fund Percent                      80.9%                80.7%           83.3%                      83.5%

Full-time Positions                         19                   19               19     0.0%                  19
Part-time Positions                           8                    8                8    0.0%                   8
Full-time Equivalents                      22.3                 22.3             22.3    0.0%                22.3



BUDGET HIGHLIGHTS

Beginning in FY12, the Cannery department                actual cost of cans. The cost of jars remains
will be combined with Public Works. To                   unchanged from the 2010 season. In this
represent the true annual changes, the                   budget funding has been included for
Cannery expenses for FY10 and FY11 have                  automated stormwater facility monitoring
been restated with the Public Works                      ($15,000) and the MS4 permit fee ($4,000).
Department expenses. Beginning with the                  The application fee is required when
2011 season, users will be charged for the               updating the MS4 (Municipal Storm Sewer




                                                  134
                                      Public Works
System) permit with the Department of                address stormwater pollution. Funding for
Conservation and Recreation. This Phase II           drainage easement maintenance will remain
permit is required of all localities with a          unchanged from FY11.
population over 100,000 and is intended to

GOALS AND OBJECTIVES

   Provide construction management for assigned County projects;
   Review 100% of erosion and sediment control plans and utility plans within 14 days;
   Review 95% of building permits within four days;
   Review 100% of construction plans within three weeks of receipt from the Planning
   Department;
   Respond to 100% of all drainage complaints within five days; and
   Operate the Cannery to meet citizen needs.


SERVICE LEVELS
                                                FY10          FY11        FY11        FY12
                                                Actual        Budget     Forecast     Budget
Per capita cost of operating department         $17.04         $17.65     $17.65      $17.92
Number of erosion control and utility plans      46             35         45           35
submitted
Number of site plans reviewed                       187         49          175        147
Number of subdivision construction plans             49          6           40         40
reviewed
Number of subdivision plats reviewed                 49          6           50         50
Number of drainage complaints                       197         200         200        200
Number of building permits submitted:
 - residential                                       462        237         475        237
 - commercial                                         95         60         250         60
Septic Tank Pump-out letters sent                   4,000      4,000       3,000      4,000
Cannery items processed (can and jars)              9,636      7,000       5,424      6,000
Cannery patrons                                      144        150         144        150




                                              135
                               Public Works Operations

DESCRIPTION

Public Works Operations provides for solid           Leaves and grass are accepted at the
waste disposal and recycling for Hanover             Courthouse and Elmont Convenience Centers.
citizens. The County has six manned                  Brush is chipped and sold as mulch or fuel
convenience centers throughout the County            chips, used at schools/parks, and given away
that accept solid waste and numerous                 to the public. The agency operates the 301
recyclables using hook lift trucks. Staff either     Transfer Station and Yard Waste Composting
sells the recovered materials or they are            Facility. Solid waste is loaded into contractor
processed through outside contractors. DPW           trailers and hauled to a private landfill. Public
transports the mixed and corrugated paper to         Works Operations is also responsible for street
market. Yard waste, leaves, and grass are            sign installation, stormwater drainage
accepted at the Mechanicsville Convenience           easement maintenance and litter control.
Center and the Route 301 Transfer Station.

BUDGET SUMMARY

                                      FY10               FY11              FY12         FY11             FY13
Expenditures                          Actual            Budget            Budget       to FY12           Plan
  Personnel                       $    1,773,053   $     1,660,460    $    1,788,976     7.7%     $      1,815,534
  Operating                            1,884,932         2,084,581         1,967,629    (5.6%)           1,967,629
  Capital                                 58,982            48,947            73,649    50.5%                    -
Total Expenditures                $    3,716,967   $     3,793,988    $    3,830,254     1.0%     $      3,783,163

Revenues
  Intergovernmental Revenue       $       15,048   $        15,000    $       18,000    20.0%     $         18,000
  Other Revenue                          757,383           651,000           751,000    15.4%              766,000
  General Fund Revenue                 2,944,536         3,127,988         3,061,254    (2.1%)           2,999,163
Total Revenue                     $    3,716,967   $     3,793,988    $    3,830,254     1.0%     $      3,783,163

Generated Revenue Percent                  20.8%             17.6%             20.1%                        20.7%
General Fund Percent                       79.2%             82.4%             79.9%                        79.3%
Full-time Positions                          33                  32               32     0.0%                    32
Part-time Positions                          16                  14               14     0.0%                    14
Full-time Equivalents                       39.5               38.5             38.5     0.0%                   38.5



BUDGET HIGHLIGHTS

Included in the FY12 service level plan for            Recycling Service District. The operating
this division is $73,649 for operational               decrease is due mainly to the removal of the
equipment (e.g. roll off containers and                department vehicle lease payment as a result
compactor systems) and $10,000 to address              of the Fleet Services department moving
drainage issues. This department also                  from an internal service fund to become a
monitors the curbside recycling programs               part of the general fund.
for a total of thirteen subdivisions in the




                                               136
                             Public Works Operations

GOALS AND OBJECTIVES

   Maintain solid waste disposal services within resources;
   Maintain street sign maintenance services;
   Maintain drainage easement maintenance at the highest level within the resources available;
   Maintain compost program; and
   Maintain litter and special waste programs within resources.


SERVICE LEVELS
                                                FY10         FY11          FY11        FY12
                                                Actual
                                                U            Budget
                                                             U            Forecast
                                                                          U            Budget
                                                                                       U




Per capita cost of operating department         $37.22        $37.57       $37.57      $37.22
MSW Tonnage received at convenience
centers:
    Private                                      9,900           10,000       10,000       10,000
    Public                                      27,800           30,000       27,500       28,600
MSW Pulls from Convenience Center                3,403            3,500        3,400        3,450
Number of tons recycled                         18,000           18,000       18,000       18,000
Drainage maintenance requests - DPW crews         111              150          150          150
Street Signs                                      128              200          200          200




                                             137
                               Recycling Service District

DESCRIPTION

The Board of Supervisors established                     After a public meeting, owners of at least
Recycling Service Districts for the residents of         eighty percent of the lots in each subdivision
the Ashcreek and Milestone subdivisions on               signed a petition requesting that a district be
January 23, 2008. There are now thirteen (13)            established.
subdivisions under one united Service District.
                                                         The pro-rata cost of the service is established
This authorization was in response to petitions          annually and added to the real estate tax bill
for establishment of service districts for the           for all lots within the subdivisions. Services
purpose of funding every other week curbside             are provided through an agreement between
recycling service for plastic and glass bottles,         the County and Central Virginia Waste
metal cans and paper from these communities.             Management Authority (CVWMA).


BUDGET SUMMARY
                                     FY10                   FY11             FY12        FY11          FY13
Expenditures                         Actual                Budget           Budget      to FY12        Plan
  Operating                      $       59,645      $         74,998   $      74,713    (0.4%)    $       78,000
Total Expenditures               $       59,645      $         74,998   $      74,713    (0.4%)    $       78,000

Revenues
  Other Revenue                  $       63,222      $         74,998   $      74,713    (0.4%)    $       78,000
Total Revenue                    $       63,222      $         74,998   $      74,713    (0.4%)    $       78,000



BUDGET HIGHLIGHTS

In FY12 the rate will remain flat from FY11 at           The fee will be included on the real property
$22.80 per lot located in the following                  tax bills. While the addition of approximately
subdivisions for the purpose of funding                  78 homes in the Knollwood subdivision will
recycling services: Ashcreek, Atlee Ridge,               increase the revenue received from the
Castlewood, Craney Island Farms, Deer                    subdivisions, revenue is down from FY11 in
Valley, Hickory Ridge, Kings Charter,                    operating due to a reduction in the number of
Knollwood, Madison Springs, Milestone,                   recycling bins the county purchases for resale.
Reardon’s Ridge, Royal Glen, and Somerset.


GOALS AND OBJECTIVES

   Maintain support for citizen requests to establish Recycling Service District.




                                                   138
                                     General Services

DESCRIPTION

The General Services Department includes the           This Division provides fleet management
Facilities Management, Fleet Services, and             services including vehicle registrations,
Safety/Risk Management Divisions.                      preparing      vehicle     and       equipment
                                                       specifications, vehicle acquisition and
Facilities Management is responsible for               disposal,     vehicle    replacement,      and
property management, maintenance and                   maintaining vehicle history records.
renovation of all non-school, County-owned
facilities. This consists of the overall               Risk Management enhances safety practices
responsibility for the planning, budgeting, and        for all County employees, assists departments
operations of a preventative maintenance               with determining compliance with Federal
program, in-house repairs, and alterations of          OSHA requirements, and assists in managing
the buildings and related mechanical,                  the County insurance program. This Division
electrical, and plumbing systems. This                 assists with administering the County’s
Division provides support and management               Vehicle Safety Policy and assists departments
services for the County and School telephone           with application of the provisions of the
system, and administers the County’s                   Hanover Safety manual.
Facilities and Energy Management policies.
                                                       The Department also includes mail room and
Fleet    Services     provides      preventive         print shop services, primarily within the
maintenance and repair service for County and          Facilities Division. The mail room provides
School vehicles and motorized equipment and            departments with internal and U.S. Mail
administers the Fleet Management Policy.               service.


BUDGET SUMMARY
                                    FY10                FY11               FY12         FY11         FY13
Expenditures                        Actual             Budget             Budget       to FY12       Plan
  Personnel                     $      912,058    $       829,588     $    2,247,923    171.0%   $   2,281,294
  Operating                          1,141,699          1,147,540          1,466,112     27.8%       1,422,812
  Capital                                  158             13,500            211,060   1463.4%               -
Total Expenditures              $    2,053,915    $     1,990,628     $    3,925,095     97.2%   $   3,704,106

  Other Revenue                 $       42,601    $        77,000     $       79,000    2.6%                 -
  General Fund Revenue               2,011,314          1,913,628          3,846,095   101.0%        3,704,106
Total Revenue                   $    2,053,915    $     1,990,628     $    3,925,095    97.2%    $   3,704,106

Generated Revenue Percent                 2.1%               3.9%              2.0%                      0.0%
General Fund Percent                     97.9%              96.1%             98.0%                    100.0%

Full-time Positions                        15                     8              33    312.5%                33
Part-time Positions                          2                    2                2    0.0%                   2
Full-time Equivalents                     16.0                  9.0             34.0   277.8%               34.0

*Above table includes Fleet Fund FY10 Actual and FY11 Budget data.




                                                 139
                                        General Services

BUDGET HIGHLIGHTS

Beginning      in   FY12,     the    Facilities          decrease in funding of 5.4% from its
Management, Fleet Services, and General                  comparative parts in FY11.
Services departments will be merged together
to form one General Services Department. As              “Other Revenue” represents costs recovered
a result, Fleet Services will no longer be an            from other departments for telephone, print
internal service fund and will become part of            shop, and motor pool usage. The personnel
the General Fund. The Fleet Services prior               expense increase is due primarily to a
year revenues and expenses are shown below               compensation adjustment and increased health
for purposes of providing perspective on the             insurance costs. The FY12 budget eliminates
true impact on the combined budgets. When                a vacant unfunded Parts/Fuel Coordinator
considered together, the General Services                position.
Department as defined in FY12 saw a


FLEET SERVICES
                                     FY10           FY11            FY12             FY11         FY13
Expenditures                         Actual        Budget          Budget           to FY12       Plan
 Personnel                        $ 1,551,061 $ 1,392,679 $                     -    0.0%     $              -
 Operating                            249,103     325,058                       -    0.0%                    -
 Capital                               54,423     442,007                       -    0.0%                    -
Total Expenditures                $ 1,854,587 $ 2,159,744 $                     -    0.0%     $              -

Revenues
 Charges for Services             $ 1,384,625 $ 1,378,055 $                     -    0.0%     $              -
 Recovered Costs                      276,256     265,502                       -    0.0%                    -
 Miscellaneous Revenue                 23,520     141,815                       -    0.0%                    -
 Prior Year Balance                         -     224,159                       -    0.0%                    -
 Reserve for Revenue                        -      50,000                       -    0.0%                    -
 Transfer from General Fund             8,262     100,213                       -    0.0%                    -
Total Revenue                     $ 1,692,663 $ 2,159,744 $                     -    0.0%     $              -

Generated Revenue Percent                99.5%            95.4%             -                        0.0%
General Fund Percent                      0.5%             4.6%             -                        0.0%

Full-time Positions                         29                26            -        0.0%                -
Full-time Equivalents                     29.0              26.0            -        0.0%                -

*Fleet Services becomes part of the General Fund in FY12.




                                                   140
                                    General Services

GOALS AND OBJECTIVES

   Respond to all facilities emergency calls in 3 hours or less;
   Complete facilities preventive work requests within five days of issue;
   Review facilities open work orders weekly to prioritize workload;
   Identify and perform energy saving projects that are in line with the Board’s Energy
   Initiative;
   Maintain County and School fleets in a safe and cost effective manner;
   Use best practices to keep abreast of changing vehicle technology to provide improving
   customer service;
   Assist customers with fleet needs and promote effective fleet management through fleet best
   management practices;
   Improve safety and reduce losses by providing safety training, and increasing safety
   awareness through the use of departmental safety teams; and
   Administer the County’s property, liability, and motor vehicle insurance programs.


SERVICE LEVELS
                                                     FY10         FY11        FY11        FY12
                                                     Actual
                                                     U           Budget
                                                                 U           Forecast
                                                                             U           Budget
                                                                                         U




Per capita cost of operating department              $20.57       $19.71      $19.71      $38.14
Square Feet Maintained                              576,886      576,886     594,936     615,636

Vehicles Maintained
  School Buses                                            311         305         305         305
  Public Safety                                           442         450         450         450
  Other                                                   390         400         400         400
  Special purpose equipment                                77          80          80          80
  Total                                                  1,220       1,235       1,235       1,235


Number of safety audits performed                         40          40          40          40




                                            141
This Page Intentionally Left Blank




               142
                              HUMAN SERVICES

                                  FY10               FY11             FY12         FY11         FY13
                                  Actual            Budget           Budget       to FY12       Plan
Health                        $      499,091 $         476,900   $      463,551   (2.8%)    $     463,551
Social Services                    5,358,326         5,630,710        6,122,169    8.7%         5,787,714
Community Resources                  377,404           398,210          407,552    2.3%           413,021
Tax Relief                         1,721,642         1,872,800        1,733,300   (7.4%)        1,746,300
Total Expenditures            $    7,956,464 $       8,378,620   $    8,726,572    4.2%     $   8,410,586

  Personnel                   $    3,547,548 $       3,644,713 $      3,776,126     3.6%   $    3,848,473
  Operating                        4,408,916         4,707,907        4,950,446     5.2%        4,562,113
  Capital                                  -            26,000                -   (100.0%)              -
Total Expenditures            $    7,956,464 $       8,378,620 $      8,726,572     4.2%   $    8,410,586

Revenues
  Intergovernmental Revenue   $    4,035,514 $       4,181,947 $      4,438,250    6.1%     $   4,170,000
  Other Revenue                       42,646            32,660           31,160   (4.6%)           32,000
  General Fund Revenue             3,878,303         4,164,013        4,257,162    2.2%         4,208,586
Total Revenue                 $    7,956,464 $       8,378,620 $      8,726,572    4.2%     $   8,410,586

Generated Revenue Percent             51.3%             50.3%            51.2%                     50.0%
General Fund Percent                  48.7%             49.7%            48.8%                     50.0%

Full-time Positions                     62                  61               60   (1.6%)                 60
Part-time Positions                      12                 12               12    0.0%                  12
Full-time Equivalents                  62.5               61.5             60.5   (1.6%)               60.5




                                              143
                                   Health Department

DESCRIPTION

The Hanover Health Department is part of the        emergency preparedness and environmental
Virginia     Department      of    Health's         services that are preventive in nature, and
Chickahominy Health District. The District          collaborates with other agencies, health care
encompasses the Counties of Charles City,           providers and local communities to address
Goochland, Hanover, and New Kent. Funding           public health issues and to provide public
is predominantly through a cooperative              health leadership, guidance, education and
agreement with the Commonwealth of                  consultation to the community.          These
Virginia in which Hanover pays 45% of the           services are detailed in the local cooperative
Health Department's budget. The Hanover             agreement and in the Virginia Department of
Health Department       provides medical,           Health's Healthy Virginians 2010 Plan.


BUDGET SUMMARY
                                    FY10                FY11             FY12        FY11            FY13
Expenditures                        Actual             Budget           Budget      to FY12          Plan
  Operating                    $      499,091   $         476,900   $     463,551    (2.8%)   $       463,551
Total Expenditures             $      499,091   $         476,900   $     463,551    (2.8%)   $       463,551

Revenues
  General Fund Revenue         $      499,091   $         476,900   $     463,551    (2.8%)   $       463,551
Total Revenue                  $      499,091   $         476,900   $     463,551    (2.8%)   $       463,551



BUDGET HIGHLIGHTS

The Health Department represents a stand-           share rises in proportion to State funding of
alone State function for which the County’s         this service.


GOALS AND OBJECTIVES

   Promote a healthy environment through education and enforcement of environmental
   regulations with two food safety inspections annually, the turn over of Authorized Onsite
   Soil Evaluator (AOSE) packets within ten business days, and the standardization of
   environmental health training;
   Assist individual Hanover citizens in maintaining optimal health with safety net services;
   Improve services with Assure Continuous Quality Improvement training for all staff
   members and with program statistics monitoring;
   Promote a healthy lifestyle through community education about important public health
   topics;
   Provide clinical care in certain program areas (maternity care, family planning, sexually
   transmitted diseases);




                                              144
                                 Health Department

   Prepare staff, community partners and volunteers to respond to emergencies by revising and
   updating emergency plans, and training on those plans;
   Reduce the incidences of communicable diseases; and
   Monitor the public’s health through epidemiologic surveillance. In addition, provide
   epidemiologic investigation and response to outbreaks of disease.


SERVICE LEVELS
                                               FY10        FY11         FY11        FY12
                                               Actual      Budget      Forecast     Budget
Communicable disease visits/investigations       429        400          400         425
Pediatric visits                                   -         15            5           5
Family planning visits                           687        750          750         800
Maternity                                        281        280          280         280
WIC participation                                795        750          775         900
Immunization visits                             9,454       350          350         450
Septic system repair applications                 55         60           60          60
Septic system new applications                   158        120          150         150
Well applications                                150        160          160         150
Restaurant inspection visits                     560        560          560         560
Temporary event inspections                       87         50           75          80
District's State Budget Contribution          $569,116    $566,562     $566,562    $620,378




                                             145
                                     Social Services

DESCRIPTION

The Department of Social Services provides a          nursing home care, and low-income parents
comprehensive array of service and benefit            who cannot afford child care while they work.
programs to County citizens.           Benefit        Other major programs include energy
Programs include Medicaid, Supplemental               assistance, information and referral for
Nutrition Assistance Program (formerly                housing, food, utilities and medication
referred to as the Food Stamp Program), and           assistance.    The Department's mission is
Temporary Assistance for Needy Families.              Helping Others Promoting Empowerment
Social Services programs include child and            (HOPE).      Its values are to: recognize
adult protection, foster care, employment,            strengths; respond to needs; be service-
child day care, and prevention.         These         oriented, innovative and creative; and be a
programs assist Hanover’s residents in                strong community partner. The Department
achieving self-sufficiency, well-being and            continues to work in partnership with other
safety for their families and themselves. The         County agencies as part of the emergency
Department provides temporary crisis help to          response team, strategic planning teams for
the traditional poor, the “new” poor who do           safe community and human services, and
not make a living wage, the elderly who need          other collaborative county efforts.


BUDGET SUMMARY
                                   FY10                FY11            FY12         FY11         FY13
Expenditures                       Actual             Budget          Budget       to FY12       Plan
  Personnel                    $    3,195,050 $         3,287,501 $    3,407,713    3.7%  $      3,474,591
  Operating                         2,163,277           2,317,209      2,714,456   17.1%         2,313,123
  Capital                                   -              26,000              - (100.0%)                -
Total Expenditures             $    5,358,326 $         5,630,710 $    6,122,169    8.7%  $      5,787,714

Revenues
  Intergovernmental Revenue    $    3,966,103 $         4,125,947 $    4,382,250    6.2%     $   4,114,000
  Other Revenue                        37,166              25,660         25,660   0.0%             26,000
  General Fund Revenue              1,355,057           1,479,103      1,714,259   15.9%         1,647,714
Total Revenue                  $    5,358,326 $         5,630,710 $    6,122,169    8.7%     $   5,787,714

Generated Revenue Percent               74.7%              73.7%           72.0%                      71.5%
General Fund Percent                    25.3%              26.3%           28.0%                      28.5%

Full-time Positions                       57                   56             55   (1.8%)                 55
Part-time Positions                        12                  12             12    0.0%                  12
Full-time Equivalents                    57.5                56.5           55.5   (1.8%)               55.5




                                                146
                                       Social Services

BUDGET HIGHLIGHTS

Social Services is the primary local agency         Federal, State and/or local service standards
meeting the social service needs of individuals     have been met or exceeded (e.g., application
that arise from a variety of circumstances and      processing times of the Supplemental
who are being impacted dramatically by the          Nutrition Assistance Program - SNAP,
downturn in the economy. Changes in the             Medicaid, and Temporary Assistance for
FY12 budget are correlated to serving               Needy Families – TANF).
individuals in mandated programs. All of the


GOALS AND OBJECTIVES

    Promote safety, stability, and well-being (including independence and personal
    responsibility) for children, families and adults;
    Expand services and resources by maximizing all revenue and community sources; and
    Provide excellent customer service by developing public trust.


SERVICE LEVELS
                                                  FY10       FY11          FY11        FY12
                                                  Actual     Budget       Forecast     Budget
Per capita cost of operating department           $53.66     $55.76        $55.76      $59.50
Continuous Quality Improvement and
Customer Service:
   Eligibility application processing
   compliance with all standards                   99%        99%          99%          99%
   Front desk telephone calls                     24,089     29,659       25,293       26,558
   Lobby traffic                                  15,377     18,793       16,146       16,953
Abuse cases (child and adult) investigated/
assessed:                                          311        335           327          343
Public Assistance recipients:
   Supplemental Nutrition Assistance
   Program                                        7,427      8,262         7,798        8,188
   Medicaid                                       7,567      8,293         8,324        9,156
   Temporary Assistance for Needy
   Families                                        961        992          1,009        1,059
   Energy Assistance                              3,536      4,684         3,713        3,899
Child Welfare recipients:
   Child Day Care                                  331        417           348          365
   Foster Care                                      39         48            41           43
   Foster Care Prevention                           29         26            29           29
Adult Services recipients:                         189        154           198          208




                                              147
                                Community Resources

DESCRIPTION

The mission of the Department of Community               volunteer work crews to either provide
Resources is to promote Hanover's people,                temporary      heat-saving     measures     in
traditions, and spirit by mobilizing volunteers          preparation of the winter months or address
and maximizing available resources to address            home repair needs not otherwise eligible for
community needs. To support this mission,                existing community services/programs. 3)
the Department works with citizens,                      Youth Services which includes the Hanover
government departments and local non-profit              Youth Service Council, a group of middle and
agencies to assist in finding resources to               high school students dedicated to planning and
address individual needs and community                   implementing service projects and promoting
needs. The Department administers the                    youth service in the community such as
following primary programs. 1) The Hanover               through the annual Global Youth Service Day
Court Appointed Special Advocate (CASA)                  activities. 4) Hanover's Promise, through
Program, which utilizes trained community                which the business, faith-based, civic, and
volunteers to advocate for abused and                    human service communities work together to
neglected children involved in the Juvenile              help assure that the County's youth have
Court system. 2) The Winterization Program               access to the "five promises" they need to
and the Volunteer Home Repair Referral                   succeed. The Department also oversees the
Program, serving the County's elderly, low-              County's Comprehensive Services Act (CSA)
income families, and persons with disabilities.          Office.
Both programs use donated materials and


BUDGET SUMMARY
                                    FY10                   FY11           FY12           FY11         FY13
Expenditures                        Actual                Budget         Budget         to FY12       Plan
  Personnel                     $     352,498 $             357,212 $       368,413      3.1%     $    373,882
  Operating                            24,906                40,998          39,139     (4.5%)          39,139
Total Expenditures              $     377,404 $             398,210 $       407,552      2.3%     $    413,021

Revenues
  Intergovernmental Revenue     $      69,412 $              56,000 $        56,000       0.0%    $     56,000
  Other Revenue                         5,480                 7,000           5,500     (21.4%)          6,000
  General Fund Revenue                302,512               335,210         346,052       3.2%         351,021
Total Revenue                   $     377,404 $             398,210 $       407,552       2.3%    $    413,021

Generated Revenue Percent                19.8%                 15.8%          15.1%                       15.0%
General Fund Percent                     80.2%                 84.2%          84.9%                       85.0%

Full-time Positions                            5                     5              5    0.0%                  5
Full-time Equivalents                        5.0                   5.0            5.0    0.0%                5.0




                                                   148
                                Community Resources

BUDGET HIGHLIGHTS

This department continues to serve as the             Comprehensive Services Act Fund. The
foundation in facilitating and maximizing             personnel expense increase is due mainly to
volunteer and community resources and                 a compensation adjustment and increased
anticipates several changes in a continued            health insurance costs. The operating
effort to meet the needs of the County. In            decrease is due primarily to reductions in
addition, Community Resources provides                maintenance      service   contracts   and
the administrative oversight to the                   educational training.


GOALS AND OBJECTIVES

   Participate in the implementation of the goals and strategies approved in the Hanover Human
   Services Plan, specifically related to specialized transportation and early childhood services;
   Determine and implement strategies to best meet the Department’s mission of mobilizing
   community resources to address community needs;
   Continue to administer the Court Appointed Special Advocate Program for abused and
   neglected children;
   Continue to provide Winterization and Home Repair services to eligible residents;
   Continue to promote youth service by meeting targets for HYSC and expanding participation
   in GYSD; and
   Continue to support county-wide volunteer engagement and provide volunteer appreciation
   and recognition.

SERVICE LEVELS
                                                  FY10          FY11           FY11         FY12
                                                  Actual
                                                  U         U   Budget
                                                                U         U   Forecast
                                                                              U         U   Budget
                                                                                            U         U




Per capita cost of operating department            $3.78          $3.94         $3.94         $3.96
Estimated volunteer hours reported               404,080        255,000       255,000       270,000
Hanover –specific Volunteer Opportunities
                                                      239           265           255           255
posted through on-line system
Volunteer profiles for Hanover residents on
                                                      825           900           900           900
on-line system
Homes served through Winterization
                                                      73            60            66            70
Program
Home repair projects completed                     21              30           30            30
HYSC Projects                                      39              30           30            35
HYSC Service Hours                                1,406           750          1,250         1,500
Number of CASA volunteers                          18              20           12            15
Number of children served through CASA             36              35           30            35
Grant funds/donations received                   $80,282        $47,500       $65,000       $60,000




                                              149
                     Tax Relief for the Elderly and Disabled

DESCRIPTION

The tax relief program is authorized by the           acres of land.      Currently, the County
Board of Supervisors to provide a discount on         maximum income level is $50,000 and the
tax bills to elderly or permanently disabled          maximum net worth is $200,000. An
residents meeting certain income and net              application or renewal affidavit is required to
worth thresholds. The discount applies to the         be submitted to the Commissioner of the
taxes on the value of the house and up to ten         Revenue’s Office each year.


BUDGET SUMMARY

                                       FY10               FY11              FY12          FY11          FY13
Expenditures                           Actual            Budget            Budget        to FY12        Plan
  Operating                        $    1,721,642   $     1,872,800   $     1,733,300     (7.4%)   $    1,746,300
Total Expenditures                 $    1,721,642   $     1,872,800   $     1,733,300     (7.4%)   $    1,746,300

Revenues
  General Fund Revenue             $    1,721,642   $     1,872,800   $     1,733,300     (7.4%)   $    1,746,300
Total Revenue                      $    1,721,642   $     1,872,800   $     1,733,300     (7.4%)   $    1,746,300



BUDGET HIGHLIGHTS

Enhancements to the relief program were               by participants. The primary reasons for the
adopted by the Board of Supervisors in                budget decrease are that it appears that this
October 2007 to increase the eligibility criteria     program has reached a majority of the
for gross income limit to $50,000, including          potential qualified population and the taxable
the acreage exclusion to ten acres, maximum           value of real property has decreased, thereby
allowable net worth to $200,000, and removed          lowering the value of the eligible property.
the maximum discount that could be received
                                 Growth in the Tax Relief Program


      2,100,000
      1,900,000
      1,700,000
      1,500,000
      1,300,000
      1,100,000
        900,000
        700,000
                      FY07         FY08         FY09         FY10          FY11          FY12
                      Actual       Actual       Actual       Actual       Forecast      Budget




                                                150
                 PARKS, RECREATION AND CULTURAL
                                    FY10              FY11            FY12           FY11        FY13
                                    Actual           Budget           Budget       to FY12       Plan
Parks and Recreation                 3,336,230        3,396,191        3,236,017   (4.7%)        3,245,114
Pamunkey Regional Library            2,740,347        2,722,281        2,672,482   (1.8%)        2,712,200
Total Expenditures              $    6,076,578   $    6,118,472   $    5,908,499   (3.4%)    $   5,957,314

  Personnel                          2,088,892        2,133,933        2,177,633     2.0%        2,209,960
  Operating                          3,920,133        3,946,139        3,707,636    (6.0%)       3,747,354
  Capital                               67,553           38,400           23,230   (39.5%)               -
Total Expenditures              $    6,076,578   $    6,118,472   $    5,908,499    (3.4%)   $   5,957,314

Revenues
  Other Revenue                 $      543,768   $      693,500   $      600,000   (13.5%)   $     646,056
  General Fund Revenue               5,532,809        5,424,972        5,308,499    (2.1%)       5,311,258
Total Revenue                   $    6,076,578   $    6,118,472   $    5,908,499    (3.4%)   $   5,957,314

Generated Revenue Percent                 8.9%           11.3%            10.2%                     10.8%
General Fund Percent                     91.1%           88.7%            89.8%                     89.2%

Full-time Positions                        34                34               34    0.0%                  34
Part-time Positions                       104              103              103     0.0%                 103
Full-time Equivalents                     49.6             48.8             48.8    0.0%                48.8




Note: In the department pages to follow, the population was updated based on the 2010
Census, resulting in an adjusted FY11 Budget per capita figure.




                                             151
                                  Parks and Recreation

DESCRIPTION

The Parks and Recreation Department                    safe, healthy and strategically placed
provides and promotes leisure services to the          resources and leisure services of the highest
citizens of Hanover County. The Department             quality. These resources and services are
specifically offers, or is involved with, passive      diversely funded, accessible and affordable. It
park activities, maintenance of County                 is also part of our vision that the Parks and
grounds, educational/hobby programs, senior            Recreation Department plays a key leadership
citizens activities, youth programs, athletic          role in providing for and improving the quality
leagues, bus tours and special events. It is our       of life while conserving and protecting
mission to promote, advocate and provide the           natural, cultural and historic resources. The
highest quality parks and recreation resources         Parks and Recreation Advisory Commission
and leisure services. Our vision is to provide,        serves as a liaison between the citizens and the
through a comprehensive delivery system,               Board of Supervisors.

BUDGET SUMMARY
                                       FY10                FY11             FY12           FY11           FY13
Expenditures                           Actual              Budget           Budget       to FY12          Plan
  Personnel                        $    2,088,892      $    2,133,933   $    2,177,633     2.0%    $      2,209,960
  Operating                             1,179,786           1,223,858        1,035,154   (15.4%)          1,035,154
  Capital                                  67,553              38,400           23,230   (39.5%)                  -
Total Expenditures                 $    3,336,230      $    3,396,191   $    3,236,017    (4.7%)   $      3,245,114
                                                                                                            160,174
Revenues
  Other Revenue                    $      543,768      $      693,500   $      600,000   (13.5%)   $        646,056
  General Fund Revenue                  2,792,462           2,702,691        2,636,017    (2.5%)          2,599,058
Total Revenue                      $    3,336,230      $    3,396,191   $    3,236,017    (4.7%)   $      3,245,114

Generated Revenue Percent                   16.3%              20.4%            18.5%                        19.9%
General Fund Percent                        83.7%              79.6%            81.5%                        80.1%

Full-time Positions                              34               34               34     0.0%                     34
Part-time Positions                             104              103              103     0.0%                    103
Full-time Equivalents                           49.6             48.8             48.8    0.0%                   48.8



BUDGET HIGHLIGHTS
The decrease in the budget can mainly be               provided     $23,000     to  do    carpeting
attributed to the Youth Summer Program,                improvements at the Taylor Complex as well
where revenue and expenditure forecasts were           as three concession stand renovations. The
adjusted to reflect the new design of the              department was the recipient of a onetime
program. In the personnel category a vacant            budget amendment in FY11 that was able to
groundskeeper position unfunded for FY12, in           assist with filling lagging one time capital
addition to the two positions unfunded in the          needs that have not been funded over the past
FY11 budget. The Service Level Plan                    few years due to fiscal constraints.




                                                   152
                                     Parks and Recreation

GOALS AND OBJECTIVES

       Promote, advocate and provide the highest quality park and recreational resources and
        leisure services;
       Provide a balance of recreational programs and facilities to meet the present and planned
        population needs of Hanover County;
       Preserve, maintain and further enhance public grounds, areas of scenic beauty and areas
        of historic significance;
       Encourage the use of existing recreational and scenic areas;
       Complete updating the Parks Master Plan, designed to integrate park site plans therefore
        ensuring that facilities are not needlessly duplicated or geographically unbalanced,
        analyze and provide recommendations for improvements to the County recreation
        facilities, guide future development of acquired property for parks and recreation
        facilities, ascertain the community’s opinions regarding the condition of existing
        facilities, and provide a management plan that describes relevant development costs and
        funding strategies;
       Complete the construction of Bond Referendum improvements to Courthouse Park,
        Hanover Wayside Park, Pole Green Park and Poor Farm Park;
       Design, bid and construct Bond Referendum improvements to Montpelier Park (Phase II)
        and Taylor Park;
       Work with Planning Department, Martin Marietta and various historic-based
        organizations in the planning and development of additional park acreage at North Anna
        Battlefield Park;
       Resolve all facility use issues associated with Doswell Park and complete improvements
        to walking trails and parking lot;
       Continue enhancements to services provided to the general public including on-line
        registration and increased hours of operation at both Pole Green Community Center and
        Montpelier Community Center;
       Complete minor facility improvements to the existing administrative offices at Taylor
        Complex and at Montpelier Community Center.

SERVICE LEVELS                                              FY10     FY11         FY11       FY12
                                                            Actual   Budget      Forecast    Budget
Per capita cost of operating department                     $33.41   $36.28       $36.28     $31.45
Hanover parks                                                10        11          11          11
Boat ramps                                                    4         4           4           4
% of time sites mowed within 10 days                        98%       95%         94%         94%
% of time all athletic fields are inspected monthly         100%      100%        100%        100%
% of time sites are mowed within 10 working
days (March 15 – November 1)                               99%          99%         99%         98%
FTE’s per 1,000 population – maintenance                   .168         .170        .170        .166
FTE’s per 1,000 population – recreation                    .135         .135        .135        .138
Park visitation total                                   1,302,255    1,400,000   1,400,000   1,420,000




                                                      153
                             Pamunkey Regional Library

DESCRIPTION

The Pamunkey Regional Library is a political       providing places for people to interact with
subdivision of the Commonwealth of Virginia,       others.
governed by a 10 member Board of Trustees
appointed by the Board of Supervisors of the       The Library offers programs for all ages, such
participating counties (four are appointed by      as storytimes, book groups, the Bookmobile,
Hanover), which provides public library            movies, author visits, teen stuff, workshops
service to Hanover County through six              and lectures, senior center visits and concerts.
libraries and the Bookmobile. The mission of       Citizens may borrow from more than 369,400
the Library is to enhance the quality of life in   items for free, reserve a meeting room,
our communities by providing access to             connect on our wi-fi network for free, use a
information,     promoting     reading      and    high-speed computer or join a summer reading
enjoyment, nurturing life-long learning, and       program.


LIBRARY DESCRIPTIONS

Hanover’s public service outlets are as follows:

1. The Richard S. Gillis, Jr. Ashland Branch Library, 201 S. Railroad Avenue, Ashland, a
   10,000 square foot library with 42,000 volumes, open 60 hours a week with a circulation of
   326,885 in 2010.
2. The Atlee Branch Library, 9161 Atlee Road, Mechanicsville, a 10,000 square foot library
   with 50,000 volumes, open 60 hours a week with a circulation of 229,722 in 2010. The
   bookmobile delivery and library collections are located in the building.
3. The Hanover Courthouse Library, Hanover Courthouse, 7527 Library Drive, Hanover, a
   3,000 square foot public service area library with 25,000 volumes, open 60 hours a week
   with a circulation of 50,088 in 2010. The Library's administrative headquarters are also
   located in the building.
4. The Mechanicsville Branch, 7461 Sherwood Crossing Place, Mechanicsville, a 16,000 square
   foot library with 35,000 volumes, open 60 hours a week with a circulation of 420,519 in
   2010.
5. The Lois Wickham Jones/Montpelier Library, 17205 Sycamore Tavern Lane, Montpelier, a
   2,500 square foot library with 10,000 volumes, open 40 hours a week with a circulation of
   63,662 in 2010.
6. The Rockville Branch Library, 16600 Pouncey Tract Road, Rockville, a 3,600 square foot
   library with 18,000 volumes open 60 hours a week with a circulation of 63,593 in 2010.
7. The Bookmobile stops throughout the County on Tuesday and Thursday with a circulation of
   18,251 in 2010.
8. The Library provides weekly service to Pamunkey Regional Jail with a circulation of 1,645
   in 2010.




                                               154
                                Pamunkey Regional Library

BUDGET SUMMARY
                                           FY10              FY11                FY12          FY11            FY13
Expenditures                               Actual            Budget             Budget       to FY12           Plan
  Operating                           $     2,740,347    $    2,722,281     $    2,672,482     (1.8%)   $      2,712,200
Total Expenditures                    $     2,740,347    $    2,722,281     $    2,672,482     (1.8%)   $      2,712,200

Revenues
  General Fund Revenue                $     2,740,347    $    2,722,281     $    2,672,482     (1.8%)   $      2,712,200
Total Revenue                         $     2,740,347    $    2,722,281     $    2,672,482     (1.8%)   $      2,712,200

Generated Revenue Percent                        0.0%                0.0%            0.0%                          0.0%
General Fund Percent                           100.0%              100.0%          100.0%                        100.0%

BUDGET HIGHLIGHTS

The County has benefited greatly as part of this          per square feet of library space per person in the
regional library system that serves four counties.        County.      With the replacement of the
Over one million items were circulated in the             Mechanicsville Library the County’s ratio is 0.43.
Hanover libraries, a 14% increase over the prior
year. The County and the Pamunkey Regional
Library often refer to the goal to have a ratio of 0.6


GOALS AND OBJECTIVES

   Provide convenient access to library materials and the Internet to all Hanover citizens;
   Provide web access to the library catalog and electronic databases;
   Maintain a collection of 3 volumes per capita;
   Continue to work to have 0.6 square feet of library space per capita; and
   Increase membership and attendance at library programs.

SERVICE LEVELS
                                                          FY10         FY11          FY11          FY12
                                                          Actual      Budget        Forecast       Budget
Per capita cost of operating Library                      $27.44       $26.96        $26.96        $25.97
Active cardholders                                        46,388       53,000        55,000        57,250
Attendance at library programs                            29,126       35,500        35,500        35,500
Internet workstations – hours used                       114,945       73,000       125,000       135,000
References questions answered                            295,810      220,000       220,000       225,000
Average number of daily website hits                       1,393        1,500         1,500         1,650
Library visits per capita                                  5.17         5.25          5.25          5.25




                                                     155
                            Pamunkey Regional Library




                                        FY10 Statistics
   Pamunkey Regional Library                               Statewide Average
Circulation per capita                  10.04     Circulation per capita                   8.06
Holdings per capita                      2.69     Holdings per capita                      4.18
Holdings turnover rate                   3.73     Holdings turnover rate                   2.18
Total expenditure per capita           $34.75     Total expenditure per capita           $33.46
Local expenditure per capita           $27.63     Local expenditure per capita           $23.00
Local expenditure per circulation       $3.10     Local expenditure per circulation       $4.49
Total expenditure per circulation       $3.46     Total expenditure per circulation       $4.90
% of total expenditure for materials     19%      % of total expenditure for materials     15%
Visits per capita                        5.45     Visits per capita                        5.44




                                                156
                         COMMUNITY DEVELOPMENT
                                      FY10           FY11            FY12         FY11         FY13
                                      Actual         Budget         Budget       to FY12       Plan
Planning                          $   2,182,830 $     2,147,028 $    2,157,358    0.5%     $   2,246,815
Economic Development                  1,050,714       1,052,165      1,000,769   (4.9%)        1,007,539
Virginia Cooperative Extension           98,508          89,691         85,715   (4.4%)           85,715
Soil & Water Conservation Distric       103,500          98,500         95,545   (3.0%)           95,545
Community Support                     1,145,330       1,157,920      1,121,002   (3.2%)        1,109,502
Total Expenditures                $   4,580,883 $     4,545,304 $    4,460,389   (1.9%)    $   4,545,116

  Personnel                      $    2,517,560 $     2,476,591 $    2,440,337   (1.5%)    $   2,536,564
  Operating                           2,059,658       2,068,713      2,020,052   (2.4%)        2,008,552
  Capital                                 3,665               -              -    0.0%                 -
Total Expenditures               $    4,580,883 $     4,545,304 $    4,460,389   (1.9%)    $   4,545,116

Revenues
  Other Revenue                         374,085         451,680        343,790   (23.9%)         441,500
  General Fund Revenue                4,206,798       4,093,624      4,116,599     0.6%        4,103,616
Total Revenue                    $    4,580,883 $     4,545,304 $    4,460,389    (1.9%)   $   4,545,116

Full-time Positions                         29             28              28     0.0%                  28
Part-time Positions                         22             22              22     0.0%                  22
Full-time Equivalents                      31.1           30.1            30.1    0.0%                30.1




   Note: In the department pages to follow, the population was updated based on the 2010
   Census, resulting in an adjusted FY11 Budget per capita figure.




                                               157
                                          Planning

DESCRIPTION

Planning aids the Board of Supervisors,           management. It is also responsible for the
Planning        Commission,          Historical   preparation     of    ordinances,    ordinance
Commission, Architectural Review Board,           amendments, procedures and forms for the
Board of Zoning Appeals, and other                Department, and the ongoing advance
designated committees in establishing and         planning activity for the County, including the
implementing development policies for the         comprehensive          plan       amendments,
County. Proposals for changes in plans,           demographics, and regional issues.         The
ordinances, land use, and the division of land    Current Section is responsible for the
are reviewed with Federal, State, and local       acceptance, review, and disposition of all
agencies for consistency with applicable          land-use and subdivision applications,
regulations and policies. The staff also          exclusive of variances. The Development
disseminates policy information to the Board,     Review Section is responsible for the
Planning Commission, Architectural Review         acceptance, review, tracking, and coordination
Board, other boards and committees, and the       of County response to, and approval of site
public. The revenue is received primarily         plan and subdivision applications.         The
from planning permits and fees.                   Zoning Section is responsible for the
                                                  administration and enforcement of the Zoning
The Planning Department is made up of four        Ordinance to include review and approval of
sections. The Administration Section of the       building permits, as well as processing
Planning Department is responsible for overall    variances and appeals.


BUDGET SUMMARY

                                     FY10           FY11              FY12          FY11            FY13
Expenditures                         Actual         Budget           Budget        to FY12          Plan
  Personnel                      $    1,998,762 $     1,948,364 $     1,984,273      1.8%    $      2,073,730
  Operating                             180,403         198,664         173,085    (12.9%)            173,085
  Capital                                 3,665               -               -      0.0%                   -
Total Expenditures               $    2,182,830 $     2,147,028 $     2,157,358      0.5%    $      2,246,815

Revenues
  Other Revenue                  $      175,827 $       261,500 $       161,500    (38.2%)   $        262,000
  General Fund Revenue                2,007,003       1,885,528       1,995,858      5.9%           1,984,815
Total Revenue                    $    2,182,830 $     2,147,028 $     2,157,358      0.5%    $      2,246,815

Generated Revenue Percent                  8.1%           12.2%            7.5%                        11.7%
General Fund Percent                      91.9%           87.8%           92.5%                        88.3%

Full-time Positions                         24              23               23     0.0%                     23
Part-time Positions                         22              22               22     0.0%                     22
Full-time Equivalents                      26.1            25.1             25.1    0.0%                   25.1




                                              158
                                            Planning

BUDGET HIGHLIGHTS

The overall decreases in the operating                elimination of the lease payment to Fleet
budget are due to savings initiatives enacted         Services for future vehicles. The operational
by the County. The decrease in the FY12               budget includes funding to restore the
budget can mainly be attributed to the                Citizen’s Planning Academy for FY12.


GOALS AND OBJECTIVES

•   Continue the timely processing of applications:
           o Process Economic Development cases within 60 days;
           o Process site plan applications in less than 30 days and subdivisions in less than 45
               days.
•   Continue public education efforts:
           o Sponsor the Citizen's Planning Academy and the Youth Planning Academy;
           o Continue to participate in the Virginia Citizen's Planning Association; and
           o Make presentations to civic and community organizations.
•   Continue improvements to customer service:
           o Provide for educational and training opportunities for staff;
           o Continue training specific to customer service;
           o Complete and implement departmental procedures manual; and
           o Continue quarterly development community meetings.


SERVICE LEVELS

                                                  FY10          FY11         FY11        FY12
                                                  Actual        Budget      Forecast     Budget
Per capita cost of operating department           $21.86        $21.26       $21.26      $20.97
Processing times:
  Economic development cases                          60          60           60          60
  Residential zoning cases                            115         120          120         120
  Other zoning cases                                  100         100          100         100
  Site plan applications                              30          30           30          30
  Building permits                                    10          10           10          10
Average number of days to:
  Respond to code violation reports                   2           2            2            2
  Resolve violation once report is issued             30          28           28           30




                                                159
                               Economic Development

DESCRIPTION

The Economic Development Department                Department is to provide an expanding tax
provides services designed to attract, retain,     base and employment opportunities for
and facilitate expansion of high quality           Hanover citizens, while improving the overall
business and industry resulting in a stable,       standard of living. Economic Development
diverse local economy and an improved              assists existing businesses in the County with
standard of living for the citizens of the         expansion, relocation (within the County), and
County. The County is becoming an                  retention issues, and recruits new businesses
increasingly important part of the diverse and     that may be interested in relocation,
growing Richmond metropolitan economy.             expansion, or consolidation to the County
Based upon economic forecasts, the County          from both domestic and international markets.
should continue to maintain above average          The Department also works to designate
employment rates, per capita income, and           additional areas of the Comprehensive Plan
growth.      The main objective of the             for business development.


BUDGET SUMMARY
                                    FY10             FY11              FY12           FY11          FY13
Expenditures                        Actual           Budget           Budget         to FY12        Plan
  Personnel                     $      518,797 $         528,227 $       456,064     (13.7%)   $      462,834
  Operating                            531,917           523,938         544,705       4.0%           544,705
Total Expenditures              $    1,050,714 $       1,052,165 $     1,000,769      (4.9%)   $    1,007,539

Revenues
  Other Revenue                 $      185,905 $         178,680 $       170,790     (4.4%)    $      168,000
  General Fund Revenue                 864,809           873,485         829,979     (5.0%)           839,539
Total Revenue                   $    1,050,714 $       1,052,165 $     1,000,769     (4.9%)    $    1,007,539

Generated Revenue Percent                17.7%             17.0%           17.1%                       16.7%
General Fund Percent                     82.3%             83.0%           82.9%                       83.3%

Full-time Positions                            5                5                5    0.0%                   5
Full-time Equivalents                        5.0              5.0              5.0    0.0%                 5.0




BUDGET HIGHLIGHTS

The overall decrease in this budget can be              services related to the website and other duties
attributed to the Marketing Analyst position            the open position would otherwise perform.
being unfunded for FY12. As part of the overall         The remainder of the operational increase is due
increase in the operational budget, a small             to a full year of budgeting maintenance and
portion of what would be spent on the position          utility costs of the purchased office space in
has been allocated for some professional                Rutland Commons.




                                               160
                                   Economic Development

GOALS AND OBJECTIVES

   •   Implement the Business First – Hanover business retention and expansion program;
   •   Maintain and enhance programs and services to support the retention and expansion of existing
       businesses;
   •   Encourage new investment projects (new business attraction and existing business expansion) by
       providing site location assistance information and permit review and approval assistance;
   •   Market Hanover as a business location;
   •   Network in professional real estate community;
   •   Host an annual “Business Appreciation Week” event;
   •   Publish a quarterly newsletter for distribution to all County businesses;
   •   Maintain a business resource center;
   •   Maintain a database of available sites and buildings and an economic development internet site;
       and
   •   Maintain a database of existing and prospective businesses.


SERVICE LEVELS

                                           FY10          FY11         FY11        FY12
                                           Actual        Budget      Forecast     Budget
Per capita cost of operating department    $10.52        $10.42       $10.42       $9.73
Business prospects serviced                  40            65           45          50
Information inquiries                       150           250          165         135
Existing business visits                    121           100          125         100

Lodging Available (Hotel Rooms)
                                            2007          2008        2009         2010      2011*
Town of Ashland                             1,012         1,012       1,177      1,117       1,117
County (excluding Town)                      519           572         649          780       850

Source: RMCVB
* Projected




                                             161
                            Virginia Cooperative Extension

DESCRIPTION

The Hanover Unit of the Virginia Cooperative      assessment, and youth development and
Extension is one of 107 units across the          programming. The unit receives partial
Commonwealth bringing the resources of the        funding from the U. S. Department of
two Land Grant Universities of Virginia Tech      Agriculture and the Commonwealth. Staff
and Virginia State to their local communities.    and volunteers utilize telephone contacts,
Cooperative Extension provides research-          print, video, computer media, hands-on
based information to residents in the areas of    workshops, office visits and lab testing to
agriculture, horticulture, community resource     provide services throughout the county.
development, disaster management and


BUDGET SUMMARY
                                    FY10              FY11              FY12         FY11             FY13
Expenditures                        Actual            Budget           Budget       to FY12           Plan
  Operating                     $       98,508 $          89,691 $         85,715    (4.4%)    $        85,715
Total Expenditures              $       98,508 $          89,691 $         85,715    (4.4%)    $        85,715

Revenues
  Other Revenue                 $       12,353 $          11,500 $         11,500     0.0%     $        11,500
 General Fund Revenue           $       86,155 $          78,191 $         74,215    (5.1%)    $        74,215
Total Revenue                   $       98,508 $          89,691 $         85,715    (4.4%)    $        85,715

Generated Revenue Percent                12.5%             12.8%            13.4%                        13.4%
General Fund Percent                     87.5%             87.2%            86.6%                        86.6%


BUDGET HIGHLIGHTS

This function represents the County’s share          other industry related programs. The
in participating in the Virginia Cooperative         decrease in local funding of this budget can
Extension Services (administered by                  be attributed to Hanover County’s portion of
Virginia Tech), which has been a valuable            a position, not authorized to fill by Virginia
resource for our agri-business and residents         Tech, which was removed from the budget.
interested in horticulture, 4-H, and various


GOALS AND OBJECTIVES

•   Provide systematic recruitment and training of volunteers on civil rights compliance, risk
    management, organization, delivery modes, policies and fiscal management;
•   Collaborate with other organizations for reaching underserved audiences and seek outside
    funding;




                                               162
                               Virginia Cooperative Extension

•   Continue to offer programs reflecting the interests, needs and demographics of current
    Hanover County residents and prepare to adapt to indicated trends;
•   Health, nutrition, fitness will be an interdisciplinary initiative across all three program areas;
•   Prepare for federal Civil Rights Audit.

SERVICE LEVELS

                                                          FY10     FY11        FY11         FY12
                                                          Actual   Budget     Forecast      Budget
Per capita cost of operating department                    $0.99    $0.89       $0.89        $0.83
Telephonic and electronic citizen contact                 12,000   18,000      19,000       20,000
Newsletter and mailing citizen contact                     5,200    6,000       6,000        4,000
Volunteer members                                           400      450         450          475
Volunteer contacts                                        30,000   33,000      33,000       36,000
Volunteer hours                                           35,000   36,000      36,000       37,000
4-H Youth Participants                                     1,500    1,600       1,600        1,700

This information does not include services produced
through the media including print and local broadcast
stations.




                                                        163
                       Soil and Water Conservation District

DESCRIPTION

The Soil and Water Conservation District of          planning and assistance with conservation
Hanover and Caroline County (SWCD) is a              programs. The District administers the
subdivision of State government responsible          Virginia Best Management Practices Cost
under State law for conservation work within         Share Program and the Virginia Tax Credit
its boundaries. The activities are governed by       Program. This program provides financial and
a six member Board of Directors of which             technical   assistance    to     install  best
four members are elected and two members             management practices on agricultural land to
are appointed by Virginia's Division of Soil         reduce non-point source pollution and
and Water Conservation. The District                 improve water quality. The District is funded
maintains an office in Hanover and is staffed        with     monies     appropriated      by   the
by four employees. The Soil and Water                Commonwealth, the U.S. Environmental
Conservation District is designed to assist          Protection Agency, and Hanover and Caroline
County landowners with conservation                  Counties.


BUDGET SUMMARY
                                       FY10              FY11             FY12         FY11            FY13
Expenditures                           Actual            Budget          Budget       to FY12          Plan
  Operating                        $     103,500 $           98,500 $        95,545    (3.0%)   $        95,545
Total Expenditures                 $     103,500 $           98,500 $        95,545    (3.0%)   $        95,545

Revenues
  General Fund Revenue             $     103,500 $           98,500 $        95,545    (3.0%)   $        95,545
Total Revenue                      $     103,500 $           98,500 $        95,545    (3.0%)   $        95,545




BUDGET HIGHLIGHTS

This is the County’s share for participating in         The reduction in the local contribution will
this district, which serves residents in                translate into reduced educational outreach.
conservation   planning     and      education.

GOALS AND OBJECTIVES

   •   Continue to locally administer the Virginia Best Management Practices (BMP) Cost-
       share and Tax Credit Program in order to provide financial assistance to local landowners
       and operators for proper installation of conservation practices;
   •   Continue to bring landowners into compliance with USDA Farm Bill regulations through
       conservation planning and implementation of BMPs using federal programs such as the
       Environmental Quality Incentive Program (EQIP), Continuous Conservation Reserve
       Program (CCRP), and the Conservation Reserve Enhancement Programs (CREP);




                                                  164
                     Soil and Water Conservation District

   •   Continue to assist local citizens with the on-farm resource planning through the
       development of Chesapeake Bay Act Soil and Water Quality Conservation Plans and
       installation of riparian buffers on the land to reduce erosion and improve water quality;
   •   Continue to promote conservation no-tillage planting techniques and residue management
       through the District's Seeder Program;
   •   Continue to assist the Department of Public Works with the tracking of biosolids
       applications and CBPA tracts, plans, and plan revisions;
   •   Continue to administer the Ag Stewardship Act by investigating and resolving complaints
       against agricultural producers;
   •   Continue to assist the County with the development and implementation of TMDLs (total
       maximum daily loads) for locally impaired streams and basin-wide tributary strategies
       initiatives for the York and James Rivers;
   •   Continue to provide assistance to urban and suburban landowners for water quality
       problems, drainage problems, erosion and sediment control problems, and other natural
       resource problems as referred by the County;
   •   Actively promote flood hazard awareness, perform inspections and maintenance, and
       maintain a current and executable emergency action plan for dam Site 52-B in Hanover
       County;
   •   Continue to provide conservation education through such youth and adult programs as the
       Envirothon Competition, Ag Day, Conservation Awards Programs, Quarterly
       Newsletters, Website development, Conservation Camp, career days, Youth Scholarship
       Opportunities, Bayscapes Workshops, Scout Programs (Soil and Water Conservation
       Merit Badge), and conservation workshops/topics of interest as requested; and
   •   Manage fiscal and administrative operations of the District to comply with regulations
       and directives.


SERVICE LEVELS

The SWCD works with agricultural                   The Virginia BMP Cost-share program
landowners to verify if farms are in               funding will be used to assist landowners in
compliance with State and local ordinances of      Hanover and Caroline Counties with
the Chesapeake Bay Preservation Act. SWCD          implementing best management practices that
provides a minimum of 30 Soil and Water            reduce erosion and improve water quality on
Quality Conservation plans to landowners           agricultural land. Education is provided on
each year to document riparian buffer              conservation and natural resource issues in the
information and assist with nutrient               schools systems through an annual agriculture
management, erosion control measures, and          day for third graders, an Envirothon
pesticide management. SWCD provides                competition, Youth Conservation Camp for 9-
Hanover County Department of Public Works          12 graders, and college scholarships for a
with a current database and GIS information        graduating senior at each county high school
generated through the identification and           in the field of conservation.
tracking of these CBPA agricultural tracts,
plans, and biosolids applications.




                                             165
                                  Community Support

DESCRIPTION

The County recognizes the benefit obtained by     is pleased to provide a share of the operation
its citizens from the agencies listed below and   of these agencies.

BUDGET SUMMARY
                                     FY10              FY11             FY12         FY11          FY13
Expenditures                         Actual           B udget          Budget       to FY12        Plan
  Operat ing                     $    1,145,330   $    1,157,920   $    1,121,002   (3.2%)    $    1,109,502
Total Expendit ures              $    1,145,330   $    1,157,920   $    1,121,002   (3.2%)    $    1,109,502

R evenues
  General Fund Revenue           $    1,145,330   $    1,157,920   $    1,121,002   (3.2%)    $    1,109,502
Total Revenue                    $    1,145,330   $    1,157,920   $    1,121,002   (3.2%)    $    1,109,502




BUDGET HIGHLIGHTS

The FY12 budget for Community Support             Greater Richmond Convention Center
reflects a general decrease in contributions of   Authority is based upon a projected increase
3% due to the current economic climate. The       in lodging tax receipts.
slight increase (1.0%) in the funding to the


GOALS AND OBJECTIVES

To continue to honor regional and local funding agreements that recognize the County’s share of
participation.


SERVICE LEVELS

The County appropriated funds for the following agencies. Note that during the course of a
fiscal year additional contributions may be appropriated.




                                              166
                             Community Support
                                                    FY10             FY11            FY12
Organization                                       Adopted          Adopted        Proposed
American Red Cross                             $        6,400   $        5,760 $         5,500
Beaverdam Heritage Days                                 4,000            3,600           2,500
Capital Area Training Consortium                        5,000            5,000           5,000
Central Virginia Health Planning                        2,400                 -              -
Council On Aging                                        4,080                 -              -
CulturalWorks                                          12,800           11,520          10,500
FeedMore                                                4,000            3,600           3,600
Greater Richmond Convention Cntr Authority            763,198          706,000         711,000
Greater Works Comm. Dev. Corp.                          2,000            1,800               -
Hanover Adult Center                                    4,000            3,600           3,000
Hanover Safe Place                                      6,400            5,760           5,500
Hanover Tavern Foundation                              12,400           11,160          10,500
Historic Polegreen Church Foundation                    1,600            1,440           1,350
Homeward                                                4,000            3,600           3,500
J. Sergeant Reynolds Community College                 97,381           93,891          93,891
Jamestown 4H Educational Center                         2,000            1,800           1,500
Leadership Metro Richmond                                 800              720               -
Maymont Foundation                                     10,400            9,360           9,000
Operation Hope                                         15,000                 -              -
Parson's Cause Foundation                               2,400            2,160           2,000
Read Center                                             3,600            3,240           3,175
Regional Taxicab Program (GRTC)                         1,000              900             850
Richmond Metro Convention & Visitors Bureau           152,128          154,182         147,530
Richmond Regional Planning District Comm               59,280           59,047          59,656
Richmond Sports Backers                                 5,600            5,040           5,000
RideFinders                                             2,000            1,800               -
Science Museum of VA                                   10,400            9,360           8,800
Scotchtown                                              4,400            3,960           3,800
Senior Connections                                     22,934           20,640          20,000
St. Joseph's Villa                                      3,200            2,880           2,800
VCU School of Engineering                              25,000           25,000               -
Virginians For High Speed Rail                          1,000              900             850
Western Hanover Committee for Aging                       200              200             200
                                               $    1,251,001   $    1,157,920 $     1,121,002




                                         167
                                     Community Support
American Red Cross – Provides free transportation to Hanover County Residents to life-sustaining
medical appointments. From July 1, 2009 – October 31, 2010, nearly 100 Hanover County residents were
served.

Beaverdam Heritage Days – Nonprofit organization founded in 1996 for the purpose of broadening our
understanding of the history, culture and contributions of various groups in the founding of the Town of
Beaverdam. The foundation has received an antique collection contingent upon it providing suitable
housing that would permit public access to the collection. Plans are to build a replica old store designated
as a Pop’s Country Store Heritage Museum and Learning Center in Beaverdam.

Capital Region Workforce Partnership (Capital Area Training Consortium) – Provides job training and
employment assistance services to all residents of Hanover.

Central Virginia Health Planning Agency – Plans for medical services and facilities; collecting,
analyzing, and disseminating health care data and information; and advocating for the health needs of
Hanover County residents.

Council on Aging – Provides services for the senior population including a health fair, health screenings,
and health counseling.

CultureWorks – Formally the Arts Council of Richmond. Consolidates and provides funding for the arts
and cultural organizations in the Richmond metropolitan area. Direct benefits to the County include
operational support for the Barksdale Theatre, Richmond Symphony’s Musical Ambassadors Program,
Theatre IV performances, and Virginia Opera’s In-School Touring. Hanover County residents account
for an estimated 33% of the population served by the Consortium.

FeedMore – Provides hot meals to seniors and homebound residents. FeedMore, Inc. is the umbrella
organization that brings together Meals on Wheels, Central Virginia Food Bank, and the Community
Kitchen. Funding will help acquire and distribute food to those in need.

Greater Richmond Convention Center Authority – The Authority is funded through the lodging tax
generated in each participating locality. The amount appropriated totals 100% of this tax in Hanover.

Greater Works Community Development Corp – Operates The Pharmacy Connection (TPC), which is
a program to help uninsured persons obtain cost-free prescriptions for chronic medications.

Hanover Adult Center – The agency provides affordable, supportive adult day services to older adults
and their families who face long–term care decisions.

Hanover Habitat for Humanity – Building and selling affordable homes in Hanover County. The
contribution offset the associated fees and utility connection for building homes in Hanover County.

Hanover Safe Place (Domestic and Sexual Violence Program) – Provides a 24 hour hotline, crisis
intervention, safety planning, emergency shelter, hospital accompaniment, court advocacy, case
management and support groups for victims. The program offers workshops on domestic and sexual
violence, agency services and volunteer opportunities to the public.

Hanover Tavern Foundation – Hanover Tavern offers visitors cultural experiences, educational
programming, a restaurant, professional theatre, and a venue for special events.




                                                   168
                                    Community Support
Historic Polegreen Church Foundation – Provides educational programs based on the theme of the
Polegreen Church site and the struggle for civil and religious freedom.

Homeward – Regional homeless services coordinating organization for Hanover, Richmond, Henrico,
and Chesterfield.

J. Sargeant Reynolds Community College – Hanover pays approximately 15% of the College’s
operating and capital costs. Capital costs support infrastructure development in support of new facilities
and to upgrade existing infrastructure as needed. Other contributors are the counties of Goochland,
Henrico, Louisa, Powhatan, and the City of Richmond.

Jamestown 4-H Center – The Center provides camping, environmental education, and leadership
training to youth and adult volunteers.

Leadership Metro Richmond – LMR’s Leadership Quest. This contribution is to offset the costs of
the training provided to Hanover employees.

Maymont Foundation – Hanover funds the Foundation along with the other localities in the region.
These funds allow Maymont to provide admission-free cultural and educational opportunities to Hanover
students and citizens.

Operation Hope – Operation Hope is a citizen organized and led project to create, fund, and build all-
access playgrounds at Pole Green and Poor Farm Parks. Hanover County agreed to match local
contributions for playgrounds at Pole Green and Poor Farm parks.

Parson’s Cause Foundation – (Hanover County Historical Society) Promotes Hanover County’s role in
American history by performing reenactments throughout Hanover County.

Read Center –Provides and supports literacy services to Hanover County residents who meet the entry
requirements.

Regional Taxicab Program – Implements programs and improves services for taxicab customers.

Richmond Metropolitan Convention and Visitors Bureau - The Bureau is designed to promote the
metropolitan Richmond area (including Hanover) as an attractive vacation spot, convention place, and
motion picture filming location. Specifically for Hanover, this includes promotional inducement with
Kings Dominion, familiarization tours of horse racing farms, Scotchtown, battlefields, shuttle service
from County hotels to Richmond conventions, radio station advertising highlighting Hanover attractions,
and coordinating all feature films, commercial production, and television shooting in Hanover.

Richmond Regional Planning District Commission – Represents the Counties of Hanover, Charles
City, Chesterfield, Goochland, Henrico, New Kent, Powhatan, the Town of Ashland, and the City of
Richmond. Funding is based on $.57 per capita.

Richmond Sports Backers – To support efforts to attract sports tourists and generate media exposure for
the region through sporting evens.

RideFinders – Serves Hanover as the region’s ridesharing agency.

Science Museum of Virginia – Provides educational resources and exhibits focusing on the sciences.




                                                  169
                                    Community Support
Scotchtown – The birthplace of Patrick Henry. Provides tours and special events for the public.

Senior Connections - An agency for people age sixty and older living in Planning District 15 (includes
Hanover) under the jurisdiction of the Older Americans Act.

St. Joseph’s Villa – Flagler Home provides temporary housing and support to families who have
experienced the crisis of homelessness.

VCU School of Engineering – These funds recognize the important impact of the School to the
Richmond metropolitan area and support the School’s growth and success by providing capital support to
the Monroe Park Campus addition project. Hanover’s commitment will end in fiscal year 2011.

Virginians for High Speed Rail – Nonprofit organization that advocates for the improvement and
expansion of rail service in Virginia.

Western Hanover Committee for the Aging – Provides nourishing meals, programs, and
companionship for senior citizens in Western Hanover County.




                                                  170
                                    Non-departmental

DESCRIPTION

Non-departmental is com prised of General           Improvement Fund and School Im provement
Fund transfers to other funds and appropriated      Fund receive capital funds from the General
reserves. The County' s General Fund                Fund. The Lewistow n Commerce Center
provides transfers to the various other funds to    Community Development Authority (CDA)
supplement revenue coll ected by these funds.       receives the transfer of its generated revenue.
The School Fund, Textbook Fund,                     In addition, contingency funds for unexpected
Comprehensive Services (CSB) Fund,                  budgetary needs are included in this area. For
Community Services (CSA) Fund, and the              further information on transfers to other funds,
Airport Fund receive operating and capital          refer to the funds appli cable sections of this
funds from the General Fund. The County             budget document.


BUDGET HIGHLIGHTS

Beginning in FY12, Fleet Serv ices will be          efficiencies, we are no w recognizing residual
merged into the Genera l Services Department        and other operational adjustm ent savings in
along with Facilities Management and General        the Operational Reserv e. The Reserve for
Services. Fleet Services will no lo nger be an      Contingencies is increasi ng, as it is a ratio of
Internal Service Fund and will become part of       the budget and the overall budget is
the General Fund.                                   increasing.

As a result of unfunding a number of positions
and     identifying other organizational


GOALS AND OBJECTIVES

   Provide necessary operating and capital funding from the General Fund as approved by the
    Board of Supervisors;
   Provide sufficient reserves for contingencies of at least 0.5 % of total general revenues less
    General Fund capital transfers to ensure unexpected budgetary needs are satisfied; and
   Comply with all debt payment schedules and covenants contained in debt agreements.




                                                 171
                                   Non-departmental

BUDGET SUMMARY

                                   FY10           FY11               FY12           FY11        FY13
                                   Actual         Budget             Budget       to FY12       Plan
School Funds
  School Fund                 $    89,229,786 $       93,017,000 $   92,610,611   (0.4%)    $   95,326,148
  Textbook Fund                             -                  -              -    0.0%            717,352
  Subtotal, School Fund            89,229,786         93,017,000     92,610,611   (0.4%)        96,043,500

Other Funds
 Community Services Fund            4,392,501          4,602,538      4,580,671 (0.5%)           4,672,300
 Comprehensive Services Fund        2,473,795          2,936,767      2,790,991 (5.0%)           2,846,800
 Fleet Services                             -            100,213              - (100.0%)                 0
 Airport                              200,703            190,056        192,889   1.5%             156,100
 Economic Development Authority       200,000                  -              -   0.0%                   -
 Lewistown CDA                        421,787            644,750        426,000 (33.9%)            426,000
 Subtotal, Other Funds              7,688,787          8,474,324      7,990,551 (5.7%)           8,101,200

Capital Funds
  County Improvements Fund          2,055,778          1,981,000      2,242,000    13.2%         2,511,000
  School Improvements Fund          1,008,000            400,000      1,810,000   352.5%         2,725,000
Subtotal, Capital Transfers         3,063,778          2,381,000      4,052,000   70.2%          5,236,000

Total Transfers               $    99,982,350 $ 103,872,324 $ 104,653,162          0.8%     $ 109,380,700

Reserves
 Reserve for Contingencies                  -       980,400       993,400   1.3%       1,018,700
 Reserve for Revenue Transfers              -       500,000       500,000   0.0%         500,000
 Reserve for IT Contingencies               -       124,000             - (100.0%)             0
 Compensation Savings                       -             -             -   0.0%               -
 Operational Reserve                        -             -         3,775 100.0%         (32,608)
Total Nondepartmental          $   99,982,350 $ 105,476,724 $ 106,150,337   0.6%   $ 110,866,792




                                                172
                                   Debt Management

DESCRIPTION

Debt service is an expense to the County for      2.5% of its assessed value of taxable real and
principal and interest payments on financing      personal property. Debt secured solely by the
mechanisms,      which    include:   general      revenues generated by the system for which
obligation bonds, revenue bonds, lease-           the bonds were issued may be issued in any
purchase arrangements and loans from the          amount without a public referendum.
Virginia Department of Education Literary
Loan Fund.                                        As of June 30, 2010, the County had total
                                                  bonded debt outstanding of $197.8 million.
The Constitution of Virginia and the Virginia     Of this amount, $163 million comprises debt
Public Finance Act provide the county with        backed by the full faith and credit of the
authority to issue general obligation debt        County. The remainder of the County’s debt
secured solely by the pledge of its full faith    represents bonds secured by specified revenue
and credit. The issuance of general obligation    sources (i.e., revenue bonds and obligations
bonds must have been approved by public           under capital leases).
referendum, unless such bonds are issued to
certain     State     authorities.  In     the    The County’s commitment to established debt
Commonwealth of Virginia, there is no             and financial management policies has
statutory limitation on the amount of general     enabled the County to achieve AAA bond
obligation debt the County may incur. It          ratings from all three rating agencies: Fitch
should be noted that the County is restricted     Ratings, Standard & Poor’s, and Moody’s
by its own policies to borrowing no more than     Investors Services.


DEBT MANAGEMENT

The process of debt funding begins with the       means of financing. The debt service of the
Five-Year Capital Improvements Program            CIP is designed to have minimal impact on the
(CIP). The Board of Supervisors is not only       General Fund balance and not produce wide
approving which projects are to be funded in      fluctuations of annual debt service
which year, but the Board also approves a         requirements.


BUDGET SUMMARY

                                   FY10               FY11           FY12          FY11        FY13
                                   Actual            Budget         Budget       to FY12       Plan
Debt Service
  Principal                    $    2,155,086 $       2,192,376 $    2,270,609    3.6%         2,541,464
  Interest                            862,523         1,549,543      2,002,072   29.2%         1,957,177
Total Debt Service             $    3,017,609 $       3,741,919 $    4,272,681   14.2%     $   4,498,641




                                               173
                                  Debt Management

DEBT RATIO POLICIES

In an effort to maintain fiscal restraint and      general government expenditures (10%); and
control, the Board of Supervisors has              debt per capita income ($5,000).           The
established guidelines for each of the             following graphs illustrate the County’s actual
following debt ratios: debt per capita ($1,900     and projected compliance with the debt
growing by 2% annually beginning FY2008);          policy:
debt to assessed value (2.5%); debt service to




                                             174
Debt Management




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               176
                                      OTHER FUNDS
                                             FY10              FY11             FY12              FY11
                                             Actual           Budget           Budget            to FY12
Community Services Fund                 $    10,621,964 $      11,169,878 $     10,523,641         (5.8%)
Comprehensive Services Fund                   4,944,708         6,150,467        6,155,707          0.1%
Hanover County Public Schools               190,578,385       186,334,703      189,453,112          1.7%
Economic Development Authority Fund             258,422           264,080          256,190         (3.0%)
Public Utilities Fund                        26,625,112        41,892,527       35,147,693        (16.1%)
Airport Fund                                    259,386           689,324          698,377          1.3%
Self-Insurance Fund                          26,037,968        28,663,874       31,151,016          8.7%
Fleet Services Fund*                          1,854,587         2,159,744                -       (100.0%)
Bell Creek CDA                                  443,148           605,000          405,000        (33.1%)
Lewistown CDA                                   712,361           844,750          562,000        (33.5%)
Total Expenditures                      $   262,336,041 $     278,774,347 $    274,352,736         (1.6%)

 Personnel                              $   195,067,084 $     191,267,648 $    197,911,662         3.5%
 Operating                                   32,008,283        44,012,713       40,993,172        (6.9%)
 Operating Capital                              349,526           544,524          522,675        (4.0%)
 Debt Service                                21,139,830        21,587,546       20,229,405        (6.3%)
 Capital Improvements                        13,771,318        21,361,916       14,695,822       (31.2%)
Total Expenditures                      $   262,336,041 $     278,774,347 $    274,352,736        (1.6%)

Revenues
 Non-General Fund Revenue               $   167,307,788 $     177,283,023 $    173,751,574        (2.0%)
 General Fund Revenue                        96,926,834       101,491,324      100,601,162        (0.9%)
Total Revenue                           $   264,234,622 $     278,774,347 $    274,352,736        (1.6%)

Generated Revenue Percent                            63.3%         63.6%             63.3%
General Fund Percent                                 36.7%         36.4%             36.7%

Full-time Positions**                                   230           228                218      (4.4%)
Part-time Positions**                                    83            82                  80     (2.4%)
Full-time Equivalents**                               260.4         258.4               248.4     (3.9%)



        *Fleet Services moved to General Fund in FY12.

       **Excludes Schools. See School Board Adopted FY12 Budget http://hcps2.hanover.k12.va.us
       for FTE summary.




                                               177
                                  Community Services Fund

DESCRIPTION

Hanover County’s Community Services Board                  Psychosocial Rehabilitation Services
(CSB) Administration provides the leadership,              This service provides employment related support
direction, and support to all agency programs in           and training during the day to adults with a serious
the areas of Board relations, management,                  mental illness.
strategic planning, finance, budgeting, personnel,
payroll, purchasing, centralized management                Residential Services
information system, Department of Behavioral               The Residential Services program provides
Health and Developmental Services reporting,               residential support to persons with a mental
building maintenance, centralized accounts                 illness, including rent subsidies, case management,
payable and receivable systems, and vehicle                independent living skills training, and in-home
management.                                                supports. The goal is to assist to live at the highest
                                                           possible level of independence.
Mental Health and Substance Abuse Services
Emergency Services                                         Intensive Community Treatment (ICT)
Emergency or Crisis Services provides 24-hour              This service is provided by a team of clinicians,
immediate care to persons suffering from a mental          case managers, a nurse, and psychiatrist. This
health or substance abuse related emergency.               team provides comprehensive, community-based
Specific       activities       include       suicide      psychiatric treatment, rehabilitation, and support
prevention/intervention, Temporary Detention               to adults with serious mental illness who have
Order evaluations and management, assistance to            severe functional impairments and who have not
law enforcement on mental health related                   responded well to traditional outpatient mental
emergencies, training with law enforcement on              health care. The target population also includes
mental health related issues, critical incident stress     individuals with serious mental illness and
debriefings, and pre-admission screening of                substance abuse problems.        Services include
residents and jail inmates for admittance into state       assessments, case management, counseling, crisis
and local psychiatric facilities.                          intervention,    individualized    supports,  and
                                                           instruction in meeting daily living needs,
Outpatient Services                                        advocacy, family support, and education.
Outpatient mental health and substance abuse
services include individual family and group               Prevention Services and Community Education
counseling, psychiatric services, psychiatric              Prevention services are those services that attempt
nursing and medication management, state                   to prevent the development of mental health
hospital liaison and discharge planning.                   and/or substance abuse problems from occurring
Populations served include adults with a serious           or to intervene in those problems at an early
mental illness, emotionally disturbed children and         enough point as to prevent them from getting
their families, sexually or physically abused              worse. Services generally focus on providing
children, adults and adolescents addicted or               education and intervention services to children and
abusing substances, and Pamunkey Regional Jail             adults seen as being “at risk” for the development
inmates.                                                   of problems.       Specific services include the
                                                           provision     of    specialized    mental    health
Local Inpatient and Detoxification Services                consultation, group services to students and their
Local Inpatient Services provides short-term               families in the Hanover Head Start Program,
inpatient stabilization for adults with a serious          parent consultations and education, and support
mental illness and in-patient detoxification               and skill building for teenage parents.
services for adults addicted to alcohol or other
substances.




                                                     178
                                 Community Services Fund
Intellectual Disability Services                          individuals who require extra assistance to be
Case Management                                           employed in competitive jobs and to maintain their
Case managers work with persons of all ages with          jobs in the community. Job coaches work with
intellectual disabilities, helping individuals and        employers, employees, co-workers, and families to
families link with programs and services, helping         assist and support the individuals in learning all
coordinate the services to avoid duplication of           aspects of the jobs, to make physical
effort, monitoring the quality of the services, and       accommodations for disabilities, if necessary, and
working with the individuals and families to be           to support the individuals in maintaining
able to negotiate within the services system more         employment.
independently.

Day and Health Rehabilitation                             Supported Living
This day program provides community based                 A community residential team works with adults
training in adult daily living skills for adults with     living independently in the community to link
intellectual disabilities who either choose not to        them with services and programs, coordinate
work or are unable to do so. Each staff person            services to avoid duplication of effort, monitor the
works with a small group of individuals,                  quality of the services, and to help the individuals
supervising them in the community to increase             learn to be able to negotiate service systems more
their skills in such areas as self care,                  independently.
communication, mobility, and community
integration. At the same time, by being in the            VHDA Voucher Program
community and by working with community                   The CSB currently receives housing certificates
businesses and activities, each team increases the        and vouchers from the Virginia Housing
awareness of Hanover’s citizens about persons             Development Authority, which are used to
with intellectual disabilities.                           subsidize rent throughout the County for
                                                          individuals who are CSB clients and who are
Employment Programs                                       trying to live independently. Community
CSB offers both center based and community                residential counselors provide supervision and
based employment training programs. Our center            training for these individuals and others who are
based employment training opportunities includes          living independently.
Hanover Industries and Hanover Recycling.
Individuals in Hanover Industries conduct work in
light assembly and bulk mailings for a variety of
community businesses. Individuals are assisted
with improvement in work, social, and self help
skills.    Individuals employed in Hanover
Recycling develop skills through the sorting and
processing of paper and e-waste products for
recycling.

CSB’s      community    based  employment
opportunities are implemented through the
Supported Employment team. Job assessment,
training, and follow along are provided to




                                                    179
                               Community Services Fund

BUDGET SUMMARY
                                     FY10               FY11             FY12         FY11
Expenditures                         Actual            Budget           Budget       to FY12
  Personnel                      $    8,588,540   $     9,029,328   $    8,861,840     (1.9%)
  Operating                           2,010,508         2,118,550        1,661,801    (21.6%)
  Capital                                22,916            22,000                -   (100.0%)
Total Expenditures               $   10,621,964   $    11,169,878   $   10,523,641     (5.8%)

Revenues
  Use of Money and Property      $       24,282   $        19,000   $       45,000   136.8%
  Charges for Services                3,386,803         3,527,792        2,909,952   (17.5%)
  Recovered Costs                       151,244           192,000          180,000    (6.3%)
  Categorical State Aid               2,163,704         2,190,916        2,221,865     1.4%
  Categorical Federal Aid               538,848           530,532          467,153   (11.9%)
  Other Revenue                          31,641            32,100           44,000    37.1%
  Reserve for Revenue                         -            75,000           75,000     0.0%
  Transfer from General Fund          4,392,501         4,602,538        4,580,671    (0.5%)
Total Revenue                    $   10,689,023   $    11,169,878   $   10,523,641    (5.8%)

Generated Revenue Percent                 58.9%             58.8%            56.5%
General Fund Percent                      41.1%             41.2%            43.5%

Full-time Positions                        133               131              121     (7.6%)
Part-time Positions                         82                81               81      0.0%
Full-time Equivalents                     161.9             159.9            149.9    (6.3%)

BUDGET HIGHLIGHTS

The total CSB budget is $10.5 million and           part to the removal of local funding for the
reflects an overall decrease of 5.8%. The           lease on two offices to support the debt
decrease is primarily due to the privatization      service on the purchase of a building; creating
of the previously publicly run Group Homes.         overall savings.
The decrease in local funding is also due in


GOALS AND OBJECTIVES
  To improve program effectiveness and services to consumers;
  To improve finance and technology; and
  To improve our efficiency and service delivery.




                                              180
                             Community Services Fund

SERVICE LEVELS

                                            FY10     FY11      FY11      FY12
                                            Actual   Budget   Forecast   Budget
                                            Served   Served    Served    Served
Mental Health Services
  Acute Psychiatric or Inpatient Services     32       30        30        30
  Outpatient Services                        806     1,175      800       800
  Assertive Community Treatment               56       60        55        55
  Case Management Services                   606      800       600       600
  Day Treatment                               16       12        15        15
  Rehabilitation                              78       65        75        75
  Supportive Residential Services             22       15        20        20
Intellectual Disability Services
  Case Management Services                   222      320       250       250
  Rehabilitation                              49       50        40        40
  Sheltered Employment                        22       32        22        22
  Individual Supported Employment             73      100        75        75
  Supportive Residential Services             30       30        30        30
Substance Abuse Services
  Acute Psychiatric or Inpatient Services      6       15        10        10
  Outpatient Services                        284      300       300       300
  Case Management Services                   135       50       150       150
  Intensive Residential Services              25       25        25        25
Emergency Services
  Emergency Services                         480     1,500      500       500
  Assessment and Evaluation Services         225      110       200       200




                                            181
                           Comprehensive Services Fund

DESCRIPTION

The Comprehensive Services Act (CSA) was                        Assistance Fund or Non-educational
passed by the 1992 General Assembly to                          Placements of Handicapped Children;
develop a method to improve services for
youth with emotional or behavioral problems                 c. Children for whom foster care
and to control the escalating costs of                         services, as defined by Section 63.2-
residential care to state and local governments.               905, are being provided to prevent
The intent of the legislation was to create a                  foster care placements, and children
collaborative system of services and funding                   placed through parental agreements,
that is child-centered, family-focused, and                    entrusted to local social service
community-based.                                               agencies by their parents or guardians
                                                               or committed to the agencies by any
The statute requires the establishment of a                    court of competent jurisdiction for
management team that is appointed by the                       purposes of placement in suitable
County Board of Supervisors. The Hanover                       family homes, child-caring institutions,
Community Policy and Management Team                           residential facilities or independent
include the department head (or designee)                      living arrangements, as authorized by
from the Court Services Unit, Hanover Public                   Section 63.2-900;
Schools, Social Services, and the Community
Services Board.      In addition, a private                 d. Children placed by a juvenile and
provider and community representative are                      domestic relations court in accordance
included. The Act mandates that priority be                    with the provisions of Section 16.1-
given to expenditures for services as follows:                 286 in a private or locally operated
                                                               public facility or non-residential
   a. “Children placed for purposes of                         program, or in a community or facility-
      special education in approved private                    based treatment program in accordance
      school      educational    programs,                     with the provisions of subsections B or
      previously funded by the Department                      C of Section 16.1-284.1; and,
      of Education through private tuition
      assistance;                                           e. Children committed to the Department
                                                               of Juvenile Justice and placed by it in a
   b. Children with disabilities placed by                     private home or in a public or private
      local social services agencies or the                    facility in accordance with Section 66-
      Department of Juvenile Justice in                        14.”
      private residential facilities or across
      jurisdictional lines in private, special           Children for whom access to funds and
      education day schools, if the                      services is mandated are those defined by a, b,
      individualized education program                   and c above. Children for whom access to
      indicates such school is the appropriate           funds and services is not mandated but is
      placement while living in foster homes             “protected” through a limited amount of pool
      or child-caring facilities, previously             funds are those defined by (d) and (e) above.
      funded by the Department of
      Education through the Interagency




                                                   182
                            Comprehensive Services Fund

BUDGET SUMMARY
                                      FY10                   FY11             FY12           FY11         FY13
Expenditures                          Actual                Budget           Budget         to FY12       Plan
  Personnel                       $       76,932 $              115,098 $       120,708      4.9%     $     122,500
  Operating                            4,867,776              6,035,369       6,034,999     (0.0%)        6,089,016
                                  $    4,944,708 $            6,150,467 $     6,155,707      0.1%     $   6,211,516

Revenues
  Recovered Costs                 $      110,448 $               82,500 $        82,500      0.0%     $      82,500
  Categorical State Aid                2,360,465              3,131,200       3,282,216      4.8%         3,282,216
  Transfer from General Fund           2,473,795              2,936,767       2,790,991     (5.0%)        2,846,800
Total Revenue                     $    4,944,708 $            6,150,467 $     6,155,707      0.1%     $   6,211,516

Generated Revenue Percent                  50.0%                  52.3%           54.7%                       54.2%
General Fund Percent                       50.0%                  47.7%           45.3%                       45.8%
Full-time Positions                              2                     2                2    0.0%                  2
Full-time Equivalents                          2.0                   2.0              2.0    0.0%                2.0

BUDGET HIGHLIGHTS

The FY12 operating budget will remain flat                 the local share of Medicaid costs is anticipated
from FY11 with only a slight overall increase              to increase approximately 3% in FY12, the
due primarily to a compensation adjustment                 overall budget for mandated expenditures will
and increased health insurance costs. While                remain flat.

GOALS AND OBJECTIVES

   To ensure compliance with the Comprehensive Services Act;
   To continue to provide a high level of services to children mandated through the CSA;
   To continue cost containment and monitoring of CSA funds through the Utilization Review
   Process;
   To recover CSA expenditures by actively pursuing reimbursements, including Medicaid,
   parental co-pay/child support, SSI, and Title IV-E, as appropriate.

SERVICE LEVELS
                                                   FY10       FY11       FY11       FY12
                                                   Actual    Budget    Forecast    Budget
Number of children served                           121        142        130        130
Total expenditures (Mandated & Non-mandated)    $4,692,470 $5,823,024 $5,500,000 $5,920,177
Average cost per child                            $38,781    $41,007    $42,308    $45,540
Medicaid funding - total paid                   $1,074,505 $1,000,000 $1,000,000 $1,000,000
Medicaid funding - local share                   $183,412   $287,017   $202,800   $208,884
Total recoveries                                 $126,169    $82,500    $82,500    $82,500
Parental co-pay received                           $4,529     $3,000     $3,000     $3,500




                                                     183
                          Hanover County Public Schools

DESCRIPTION

Hanover County Public Schools’ mission is            responsibilities of each are outlined as
for a student-centered, community-driven             follows:
school division that assures a quality               Instructional Leadership is responsible for:
education for success in a changing world.           accreditation, accountability and performance
The Hanover County School Board is charged           measurement,       curriculum    development,
with the responsibility to preserve and              instructional       programming,       student
enhance public education in Hanover. The             classification and academic requirements,
seven member body is appointed to four-year          guidance,       library/media,      textbooks,
terms by the Board of Supervisors of Hanover         instructional materials, development of the
County.      The chief administrator and             school calendar, summer school, long-range
executive officer appointed by the School            planning, evaluation and reporting.
Board is School Superintendent Dr. Stewart
D. Roberson.                                         Business and Operations is responsible for:
                                                     management of funds, budget planning,
Hanover County Public Schools is the largest         annual operating budget, financial operations,
school division in the Commonwealth to have          purchasing, vendor relations, accounting,
100% of the schools achieve Adequate Yearly          payroll,     grants/gifts/bequests,    business
Progress under the No Child Left Behind Act.         partnerships, risk management, food services,
This was achieved while maintaining one of           and technology services, capital facility
the lowest pupil costs in the State. The quality     planning and budgeting, maintenance,
of the school system has produced many               custodial services, facility usage, and records
accolades for Hanover’s students and teachers        management.
over the past year. Among them is the fact
that Hanover County Public Schools is among          Human Resources is responsible for:
the first in Virginia to receive SACS/CASI           recruiting, staffing, staff development and
accreditation in 2005. The division was also         evaluation, personnel policies and goals,
the first to undergo the reaccreditation process     board/staff communication, student health
in 2010.                                             services, personnel records, ethics, hiring,
                                                     appointments,       transfers,   resignations,
Hanover County Public Schools also                   conditions of employment, compensation,
participated in the School Efficiency Review         fringe benefits, and compliance with state and
program sponsored by the Virginia                    federal programs for OSHA, FMLA and
Department of Planning and Budget during             ADA.
the 2010-11 school year.
                                                     Administration and Communication is
In an effort to effectively align with its           responsible for: administrative services for
mission statement, Hanover County Public             the Superintendent and School Board,
Schools is divided into four central                 community and media relations, pupil
departmental   areas    of   responsibility:         transportation, School Board relations,
Instructional Leadership; Business and               legislative services, school security and safety
Operations;   Human      Resources;     and          policy development, division Web site
Administration and Communication. The                content, TV99 and publications.




                                               184
                            Hanover County Public Schools

BUDGET SUMMARY

                                  FY10                FY11            FY12        FY11
Expenditures                      Actual             Budget          Budget      to FY12
  Personnel                    $ 152,662,808   $ 145,802,016     $ 151,510,317     3.9%
  Operating                       17,277,781      22,497,681        20,929,813    (7.0%)
  Capital                          3,209,810       1,118,006         1,396,264    24.9%
  Debt Service                    17,427,986      16,917,000        15,616,718    (7.7%)
Total Expenditures             $ 190,578,385   $ 186,334,703     $ 189,453,112     1.7%

Revenues
  Non-General Fund Revenue     $ 100,472,863   $  93,317,703     $  96,842,501     3.8%
  General Fund Revenue            89,229,786      93,017,000        92,610,611    (0.4%)
Total Revenue                  $ 189,702,649   $ 186,334,703     $ 189,453,112     1.7%

Generated Revenue Percent              53.0%             50.1%           51.1%
General Fund Percent                   47.0%             49.9%           48.9%

BUDGET HIGHLIGHTS

The FY12 Budget reflects the input of                   2) Employer contributions to health
School Board members, School staff, and                    insurance increased by 13% from the
parent and professional organizational                     prior fiscal year.
representatives working together as a budget            3) The division will continue to
advisory focus group to propose a budget                   contribute the employee’s payment
that maximized resources.                                  to the Virginia Retirement System.
                                                        4) Staffing reductions in response to
The budget does contain funding provided                   projected enrollment loss.
by the Federal Jobs Education Bill. Specific            5) Reductions in energy costs.
budget highlights include:

   1) A 2.25% compensation adjustment.
      This is the first compensation
      adjustment since FY09.




                                               185
                         Hanover County Public Schools

GOALS AND OBJECTIVES

   To provide the highest quality education and appropriate support for each student while
   meeting and exceeding state, national and international standards;
   To manage the influences of prevailing enrollment trends;
   To incorporate the fiscal requirements and leadership focus for the implementation of the
   mandated No Child Left Behind Act;
   To employ and retain highly qualified staff for all positions; and
   To increase family involvement and community partnerships.


SCHOOL FUNDS SUMMARY

Hanover County Public Schools operates four separate funds; the General Fund, the School
Textbook Fund, the School Food Service Fund and the School Capital Improvements Fund.
Complete detail of all funds can be found in the Superintendent’s Approved FY11-12 Budget,
which can be accessed on the School’s website at http://hcps2.hanover.k12.va.us. Following are
summaries for the School Fund, the Textbook Fund, and the Food Service Fund.




                                             186
                            Hanover County Public Schools
SCHOOL FUND REVENUE
                                            FY10              FY11              FY12          Percent
Charges for Services                        Actual           Budget            Budget         Change
  Tuition Payments                      $      419,357   $      590,000    $       590,000     0.0%
  Drivers Ed Fees                              140,250          200,000            200,000     0.0%
  Student Parking Fees                          59,120          100,000            100,000     0.0%
Charges for Services                    $      618,727   $      890,000    $       890,000     0.0%
Recovered Costs
  Miscellaneous Refunds                 $      617,719   $      760,000    $       750,000    (1.3%)
  Payments-Other Agencies                       19,102           28,880            153,000    429.8%
Recovered Costs                         $      636,821   $      788,880    $       903,000    14.5%
Intergovernmental
State Aid
  Basic Aid                             $   49,489,291   $   42,515,468    $     43,588,496    2.5%
  Vocational Education - SOQ                   813,189          773,371             769,133    (0.5%)
  Special Education-SOQ                      5,573,052        5,816,175           5,784,305    (0.5%)
  Gifted and Talented-SOQ                      487,913          476,736             474,123    (0.5%)
  Remedial Education                           368,645          349,606             347,690    (0.5%)
  Fringe Benefits                            5,323,674        4,280,026           5,067,853     18.4%
  Other Non-Categorical State Aid            3,059,160        2,150,986           2,794,196     29.9%
  Sales Tax                                 16,217,685       16,187,285          17,440,194     7.7%
  Textbook                                           -          300,405                   -   (100.0%)
  Foster Home Children                         159,425          170,790             195,464     14.4%
  General Adult Education                       11,351            9,450               9,450     0.0%
  Career and Technical                          80,077           52,785              80,077     51.7%
  Federal Stimulus Funds                     2,118,178        1,980,127                   -   (100.0%)
  Other Categorical                            504,418          182,645             255,111     39.7%
  Subtotal State Aid                    $   84,206,058   $   75,245,855    $     76,806,092     2.1%
Federal Aid
  Drug Free Schools Grant                       31,595                -                   -     0.0%
  Carl Perkins Grant                           148,604          166,209             166,000    (0.1%)
  Preschool Grants                              27,503           84,571              84,000    (0.7%)
  Basic Skills-Adult                            55,127           40,000              45,000     12.5%
  Federal Stimulus Funds - Title VI B        1,622,772        1,891,117                   -   (100.0%)
  Title I                                      543,748          625,000             625,000     0.0%
  Title II                                     303,394          397,582             397,000    (0.1%)
  Medicaid Reimbursement                        44,836          200,000             200,000     0.0%
  Title VI-B Flow Thru                       3,236,712        3,246,157           3,246,000    (0.0%)
   Federal Jobs Education Bill                       -                -           3,449,573    100.0%
  Enhancing Edu thru Technology                 11,048                -                   -     0.0%
  Title III Immigrant & Youth Grant             24,200                -                   -     0.0%
  Head Start                                   841,260          936,559             936,559     0.0%
  Other Federal Funds                          587,892          335,000             340,000     1.5%
  Subtotal Federal Aid                  $    7,478,691   $    7,922,195    $      9,489,132     19.8%
Intergovernmental                       $   91,684,749   $   83,168,050    $     86,295,224     3.8%
Miscellaneous
 Miscellaneous Revenue                         616,704        1,143,421           1,119,000    (2.1%)
Miscellaneous                           $      616,704   $    1,143,421    $      1,119,000    (2.1%)

Interfund Transfers-In
  Transfers from General Fund           $   89,229,786   $    93,017,000   $     92,610,611    (0.4%)
Interfund Transfers-In                  $   89,229,786   $   93,017,000    $     92,610,611    (0.4%)
Use of Prior Year Balance
 Fund Balance                           $          -     $           -     $            -     100.0%

Total                                   $ 182,786,787    $ 179,007,351     $   181,817,835     1.6%




                                                187
                       Hanover County Public Schools
SCHOOL FUND EXPENDITURES

                               FY10                FY11             FY12         FY11
                               Actual             Budget           Budget       to FY12
General Support
Expenditures
  Personnel                $    8,738,645   $      9,024,141   $    9,366,590    3.8%
  Operating                       674,589            818,476          824,491    0.7%
  Capital                          31,533            113,869          110,369   (3.1%)
Total Expenditures         $    9,444,767   $      9,956,486   $   10,301,450    3.5%

Pupil Transportation
  Personnel                $    6,034,995   $      6,089,753   $    6,361,116     4.5%
  Operating                     2,221,425          2,982,357        2,251,069   (24.5%)
  Capital                         716,036                  -                -     0.0%
Total Expenditures         $    8,972,456   $      9,072,110   $    8,612,185    (5.1%)

Operations and Maintenance
  Personnel                $    6,447,447   $      6,236,422   $    6,462,237    3.6%
  Operating                     5,450,015          6,700,382        6,228,567   (7.0%)
  Capital                          73,107             37,000           61,883   67.3%
Total Expenditures         $   11,970,569   $     12,973,804   $   12,752,687   (1.7%)

Instruction
  Personnel                $ 127,951,805    $ 120,512,340      $ 125,280,584     4.0%
  Operating                    5,350,978        8,180,531          7,853,473    (4.0%)
  Capital                      1,257,822          439,780            436,280    (0.8%)
Total Expenditures         $ 134,560,605    $ 129,132,651      $ 133,570,337     3.4%

Facilities
  Personnel                $      191,087   $       191,960    $     201,118     4.8%
  Operating                       408,199           440,983          437,620    (0.8%)
  Capital                         770,412           322,357          325,720     1.0%
Total Expenditures         $    1,369,698   $       955,300    $     964,458     1.0%

Other Use of Funds
  Operating                $   17,427,986   $     16,917,000   $   15,616,718   (7.7%)
Total Expenditures         $   17,427,986   $     16,917,000   $   15,616,718   (7.7%)

School Fund, Grand Total   $ 183,746,081    $ 179,007,351      $ 181,817,835     1.6%




                                            188
                          Hanover County Public Schools
SCHOOL FUND

DESCRIPTION

The General Fund is the main operating fund             complete custodial services         to   schools
from the School Division and is comprised of            throughout the division.
six components; General Support, Pupil
Transportation, Operations and Maintenance,             Instruction
Instruction, Facilities and Other Use of Funds.         Instruction is comprised of three levels of
                                                        education: elementary, middle, and high
General Support                                         school education. The fifteen elementary
General Support includes the Executive                  schools are Battlefield Park, Beaverdam, Cold
Board, Superintendent, Administration and               Harbor, Cool Spring, Elmont, Henry Clay,
Communications, Finance, Budget and Risk                John M. Gandy, Kersey Creek, Laurel
Management,        Purchasing,     Information          Meadow, Mechanicsville, Pearson's Corner,
Technology, Human Resources, Health                     Pole Green, Rural Point, South Anna, and
Services, Psychological Services, and                   Washington-Henry. The four middle schools
Speech/Audiology Services, and provides an              include Chickahominy, Liberty, Oak Knoll,
oversight and support function to all the               and Stonewall Jackson, and the four high
schools and school related programs in the              schools are Atlee, Hanover, Lee-Davis, and
County. The mission is to coordinate its                Patrick Henry. The division also provides an
educational and support services to provide an          alternative learning opportunity at The
environment in which all children have an               Georgetown School as well as a Career and
opportunity to learn.                                   Technical education curriculum at The
                                                        Hanover Center for Trades and Technology.
Pupil Transportation
The School Transportation Program plays a               Facilities
vital role in the education process in the              Facilities oversees all construction and facility
County. In addition to providing safe and               planning activities and is responsible for the
effective transportation to and from school,            acquisition and placement of temporary
buses also transport students to extra                  classrooms.
curricular activities such as educational field
trips, band and choral concerts, and sporting           Other Use of Funds
events.                                                 Debt service costs comprise this portion of the
                                                        General Fund. Debt service includes the
Operations and Maintenance                              payment of principal, interest, and debt
Building Services provides technical and                handling charges on Virginia Public School
maintenance support to enable all facilities to         Authority bonds, State Literary Fund loans,
remain in full and efficient operation.                 and obligations under capital leases.
Services provided on a daily basis by the staff
include installation, repairs and/or work in the
following areas: carpentry, doors and locks,
alarms and security systems, heating
ventilation, and air conditioning, electrical,
plumbing, painting, welding, roof repairs,
grounds, refrigeration, kitchen equipment, and
many other miscellaneous tasks. Additionally,
the Custodial Services Department provides



                                                  189
                           Hanover County Public Schools

BUDGET SUMMARY

                                   FY10                FY11             FY12         FY11
Expenditures                       Actual             Budget           Budget       to FY12
  Personnel                    $ 149,363,979    $ 142,054,616      $ 147,671,645     4.0%
  Operating Expenditures          14,105,206       19,122,729         17,595,220    (8.0%)
  Capital Expenditures             2,848,910          913,006            934,252     2.3%
  Debt Service
    Principal                     11,932,672       11,303,549         10,502,253    (7.1%)
    Interest                       5,495,314        5,613,451          5,114,465    (8.9%)
Total Expenditures             $ 183,746,081    $ 179,007,351      $ 181,817,835     1.6%

Revenues
  Charges for Services         $      618,727   $        890,000   $      890,000     0.0%
  Recovered Costs                     636,821            788,880          903,000    14.5%
  Non-Categorical State Aid        67,471,243         60,561,140       59,082,061    (2.4%)
  Categorical State Aid               517,130            388,547          283,837   (26.9%)
  Sales Tax                        16,217,685         16,187,285       17,440,194     7.7%
  Categorical Federal Aid           7,478,691          5,856,078        9,489,132    62.0%
  Prior Year Balance
  Miscellaneous                      616,704        1,318,421          1,119,000    (15.1%)
  Transfer from General Fund      89,229,786       93,017,000         92,610,611     (0.4%)
  Use of Fund Balance                      -                -                  -      0.0%
Total Revenue                  $ 182,786,787    $ 179,007,351      $ 181,817,835      1.6%




                                                190
                          Hanover County Public Schools

TEXTBOOK FUND

DESCRIPTION

The Textbook Fund provides administration,            Revenue is received from the State and
maintenance, and control over all of the              miscellaneous sources, such as the sale of
textbooks used in the schools. The                    used textbooks and damaged book
Division’s policy is to issue the books at no         recoveries. Fund balances from one year are
cost to the students during the school year.          carried forward to the following year.


BUDGET SUMMARY

School-Textbook Fund
                                   FY10                FY11            FY12          FY11
Expenditures                       Actual             Budget          Budget        to FY12
  Personnel                    $       68,061   $        80,158   $      81,145      1.2%
  Operating                             8,762             1,053           4,186     297.5%
  Capital                             330,839           175,000         342,012     95.4%
Total Expenditures             $      407,662   $       256,211   $     427,343     66.8%

Revenues
  Use of Money and Property    $        7,801   $             -   $           -       0.0%
  Categorical State Aid                     -           256,211         427,343      66.8%
Total Revenue                  $        7,801   $       256,211   $     427,343      66.8%




                                                191
                         Hanover County Public Schools

FOOD SERVICE FUND

DESCRIPTION

The Food Service Fund accounts for all of            provides subsidized meals to eligible
the operations of the school food services           students at reduced or no cost. An a la carte
program.     The elementary and middle               food service program is available at the high
schools participate in the National School           schools.
Breakfast and Lunch Program, which


BUDGET SUMMARY

School - Food Service Fund
                                  FY10                FY11             FY12          FY11
Expenditures                      Actual             Budget           Budget        to FY12
  Personnel                   $    3,230,768   $      3,665,242   $    3,757,527      2.5%
  Operating                        3,163,813          3,375,899        3,330,407     (1.3%)
  Capital                             30,061             30,000          120,000     300.0%
Total Expenditures            $    6,424,642   $      7,071,141   $    7,207,934      1.9%

Revenues
  Use of Money and Property   $        9,700   $         10,000   $       10,000      0.0%
  Charges for Services             5,391,955          5,582,200        5,513,012     (1.2%)
  Categorical State Aid               64,001             57,000           58,800      3.2%
  Categorical Federal Aid          1,417,760          1,401,941        1,453,718      3.7%
  Miscellaneous                       24,645             20,000           20,000      0.0%
  Prior Year's Fund Balance                -                  -          152,404     100.0%
Total Revenue                 $    6,908,061   $      7,071,141   $    7,207,934      1.9%




                                               192
                     Economic Development Authority Fund

DESCRIPTION

The Hanover County Economic Development             on July 28, 2004. The EDA is empowered to,
Authority (EDA) consists of seven members           among other things, acquire, construct,
appointed by their respective Board member          improve, maintain, equip, own, lease, and
from each magisterial district in the County.       dispose of various types of facilities, including
The Industrial Development Authority was            facilities for use by the County, and to finance
created by an ordinance adopted by the Board        the same by issuance of revenue bonds.
of Supervisors on August 30, 1967, and is a         Though the powers of the EDA are
political subdivision of the Commonwealth of        legislatively broad, Hanover's EDA has
Virginia, but has no taxing authority. The          primarily been used for the purpose of
General Assembly amended the Code in 2004           considering industrial revenue bond requests
to allow the governing body of any                  and assisting the County in lease revenue
jurisdiction to change the name of its              bonds. Revenue is generated from a
Industrial Development Authority to an              management fee of 1/10 of 1% of all
Economic Development Authority.          The        outstanding debt issued after 1996 from
Board of Supervisors made the name change           inducement resolutions approved by the EDA.

BUDGET SUMMARY

                                     FY10               FY11             FY12          FY11
Expenditures                         Actual            Budget           Budget        to FY12
  Operating                      $     258,422   $        264,080   $      256,190     (3.0%)
Total Expenditures               $     258,422   $        264,080   $      256,190     (3.0%)

Revenues
  Permits, Fees and Regulatory   $     191,405   $        184,080   $      176,190     (4.3%)
  Prior Year Balance                    71,463             80,000           80,000      0.0%
  Transfer from General Fund           200,000                  -                -      0.0%
Total Revenue                    $     462,868   $        264,080   $      256,190     (3.0%)
                                                                    $        7,890
Generated Revenue Percent                56.8%             100.0%           100.0%
General Fund Percent                     43.2%               0.0%             0.0%

BUDGET HIGHLIGHTS

The FY12 budget includes the pass through           Fund. Revenues are down slightly because the
funds that are used to support the Economic         outstanding debt upon which the EDA collects
Development Department in the General               fees has decreased.

GOALS AND OBJECTIVES
The EDA intends to promptly service industrial revenue bond requests and, after a thorough
study, make timely recommendations to the Board of Supervisors for their consideration.




                                              193
                                  Public Utilities Fund
DESCRIPTION

The County’s Department of Public Utilities owns,       participating in regional approaches to providing
operates and maintains public water and                 water and wastewater services. These activities
wastewater systems in the Suburban Service Area,        are accomplished with 94.5 full-time employees.
the Hanover Courthouse Area and five rural
residential    subdivisions   (collectively,   the
“System”). The Suburban Service Area is the             MISSION
crescent shaped area north of the Chickahominy          The Mission of the Department of Public Utilities
River, generally between and along Route 1 to the       is “to provide water and wastewater services that,
west and Creighton Road to the east, including the      within regulatory guidelines, meet or exceed our
Town of Ashland, the Doswell area, and the Route        customers’ needs and expectations for safety,
33 area adjacent to Henrico County. The County          quality and quantity; to provide these services at a
provides utility service to approximately 20,125        competitive price and in a fair and equitable and
water customers and 18,367 wastewater                   environmentally responsible manner, and to
customers.                                              provide     opportunities    for   personal     and
                                                        professional development for employees at all
The County operates the System as a self-               levels of the department.”
supporting enterprise fund, the Utility Enterprise
Fund, whereby the operations and capital
expenditures are funded with revenues generated         EXISTING FACILITIES & SERVICE AREA
from customer user fees and one-time fees paid for      The County’s water system consists of eleven
capacity at the time of connection to the System.       potable water wells, two surface water treatment
County General Fund tax dollars are not used to         plants, seven water pumping stations and eight
fund the operating or capital expenses of the           storage facilities. The water transmission and
System. The Utility Enterprise Fund reimburses          distribution system is comprised of approximately
the County’s General Fund for direct services           389 miles of waterline ranging in size from 2 to 30
provided to support the Department of Public            inches in diameter. The Doswell Water Treatment
Utilities and also pays a service assessment charge     Plant, rated at 4 million gallons per day (mgd),
to the General Fund in lieu of taxes for indirect       was constructed in 1974 and upgraded and
Public Safety and Fire EMS Services. The Board          expanded in 1991. The South Anna Water
of Supervisors establishes and revises both water       Treatment Plant is rated at 2.0 mgd and was
and wastewater rates and fees as well as adopts the     constructed in the early 1960’s. The South Anna
annual operating and capital improvements plan          plant is currently not in service and would require
budgets.                                                rehabilitation and upgrades to return it to service.
                                                        Additional water supplies are provided by long-
The Department develops its overall operations,         term contracts with City of Richmond and Henrico
maintenance and capital construction plans for the      County, which serve the Suburban Service Area
System in support of Hanover’s Comprehensive            and the Route 33 area, respectively. In the Route
Plan which ensures operational reliability and          33 area, the County provides water service to
adequate capacity. In addition, the utility capital     Tyson Foods and a limited number of residential
needs are also impacted by compliance with local,       and commercial customers via a water purchase
State and Federal regulations. The Department of        agreement with Henrico County. The County also
Public Utilities operates the System with County        has an interconnection with the Henrico County
personnel and maintains the System with both            system along Route 1 at the Chickahominy River,
County and private contractor personnel. The            which is not routinely utilized. Rural Systems
Department reads meters, prepares bills and             operated by the County include Georgetown,
maintains customer accounts. The Department’s           Dianne Ridge, Oak Hill Estates, Strawhorn,
activities extend to providing assistance to other      Sinclair Manor, and Courthouse.
utility purveyors within the County, supporting
economic       development      initiatives,   and




                                                  194
                                  Public Utilities Fund
The County’s wastewater system consists of four        methodology for calculating the cost of capacity
wastewater treatment plants and thirty-eight           reserved for Hanover County.
wastewater pumping stations. The wastewater            On July 1, 1994, the County entered into a
collection system is comprised of approximately        contract with the City of Richmond, which
362 miles of sewer line. The Doswell Wastewater        established a long-term potable water supply for
Treatment Plant, rated at 1.0 mgd, serves the          the Suburban Service Area. The term of the
Doswell area and was placed in service in 1975.        Richmond contract is through June 30, 2035, and
Ashland is served by the 2.0 mgd Ashland               continues thereafter until terminated by either the
Wastewater Treatment Plant, which was placed in        City Manager of Richmond by giving fifteen years
service in 1992. The Hanover Courthouse area is        written notice (such notice may not be given
served by the 0.08 mgd Courthouse Wastewater           earlier than July 1, 2025), or the County
Treatment Plant, which has a 1978 in-service date.     Administrator by giving ten years notice (such
The Totopotomoy Wastewater Treatment Plant is          notice may not be given earlier than July 1, 2020),
rated at 5.0 mgd, was placed in service in             unless a shorter time for notice is mutually agreed
September 2004 and serves a portion of the             upon. The County’s current available capacity
Suburban Service Area. The majority of                 from Richmond is 20 mgd and the final capacity
wastewater generated in the Suburban Service           purchase occurred in 2010.
Area is pumped from Hanover’s Beaverdam Creek
Wastewater Pump Station (5.4 mgd average
capacity) to Henrico County’s Strawberry Hill          WASTEWATER TREATMENT CONTRACT
Wastewater Pump Station for conveyance to and          While the County treats a portion of the
treatment by Henrico’s wastewater treatment            wastewater it collects, since 1979 it has also
plant.                                                 purchased wastewater treatment services from
                                                       Henrico County. On April 10, 1995, the two
                                                       counties entered a new wastewater agreement,
WATER SUPPLY CONTRACTS                                 which provides long-term wastewater treatment
The County has purchased water from Henrico            for the Suburban Service Area. The term of the
County since 1974. This water supply currently         contract is through June 30, 2014, and continues
provides water for Hanover’s Route 33 service          thereafter until terminated by mutual agreement by
area. On April 10, 1995, the County negotiated a       the two counties in writing. The new agreement
new agreement with Henrico County to purchase          increased the capacity from 3.69 mgd to 5.4 mgd,
up to 0.775 mgd. The term of the Henrico water         which is based upon a 90-day rolling average.
contract is through June 30, 2014, and continues       Wastewater is conveyed to Henrico County’s
thereafter until terminated by either the County       Strawberry Hill Pump Station from Hanover’s
Manager of Henrico or the County Administrator         Beaverdam Creek Pump Station via a 20” force
of Hanover, upon giving the other party ten years      main.
written notice. On December 16, 2006 the Board
of Supervisors approved the first Amendment to
the Henrico Contract to revise and upgrade the




                                                 195
                               Public Utilities Fund
BUDGET SUMMARY
                                   FY10                   FY11            FY12           FY11
Expenditures                       Actual                Budget          Budget        to FY12
 Personnel                     $    6,159,074 $            6,326,422 $     6,330,140    0.1%
 Operating                          6,039,633             11,107,530      10,925,779   (1.6%)
 Operating Capital                    344,877                494,524         472,675   (4.4%)
 Reserve for Construction                   -                      -      10,178,108   100.0%
 Debt Service
    Principal                       2,222,400              2,685,931       2,712,546     1.0%
    Interest                        1,404,571              1,840,637       1,756,163    (4.6%)
 Capital Improvements              10,454,557             19,437,483       2,772,281   (85.7%)
Total Expenditures             $   26,625,112 $           41,892,527 $    35,147,693   (16.1%)

Revenues
 Permits, Fees, and Licenses   $      172,889 $              244,000 $       253,400     3.9%
 Use of Money and Property            350,797                400,000         200,000    (50.0%)
 Charges for Services              20,893,840             20,151,725      21,761,363     8.0%
 Miscellaneous Revenue                120,852                138,000         175,000     26.8%
 Recovered Costs                      267,509                239,833         257,930     7.5%
 Non Operating Revenue              2,731,762              2,000,000       2,500,000     25.0%
 Other Revenue                      3,193,109                      -               -     0.0%
 Prior Year Balance                         -              8,718,969               -   (100.0%)
 Long-term debt                             -             10,000,000      10,000,000     0.0%
 Capital Grants                        16,454                      -               -     0.0%
Total Revenue                  $   27,747,212 $           41,892,527 $    35,147,693    (16.1%)

Generated Revenue Percent              99.9%                  55.3%           71.5%

Full-time Positions                           94                 94              94     0.0%
Part-time Positions                            1                  1               1     0.0%
Full-time Equivalents                       94.5               94.5            94.5     0.0%




                                                   196
                                  Public Utilities Fund
LARGEST CUSTOMERS

The following table provides annual data on the County’s ten largest   water customers for the fiscal year
ended June 30, 2010:
                                                         Water           Water % of Total
                                                        Usage*          Revenue Revenue
Bear Island Paper Company, L.P.                           462,336      $ 935,643    8.26%
Tyson Food                                                279,102      $ 208,768    1.84%
Kings Dominion                                            122,426      $ 271,484    2.40%
Doswell Limited Partnership                                89,911      $ 185,779    1.64%
Hanover Medical Park                                       44,360      $ 142,726    1.26%
Randolph - Macon College                                   22,802      $ 102,533    0.91%
Aqua Virginia                                              19,716      $ 75,505     0.67%
Covenant Woods                                             16,672      $ 62,313     0.55%
Hanover Crossing Apartments                                10,248      $ 42,694     0.38%
Caroline County                                            10,144      $ 42,774     0.38%
Total                                                   1,077,717      $ 2,070,219 18.28%

*in 1,000 gallons

The ten largest water customers together represent about 18.28% of total water operating and non-
operating revenues, with the largest customer representing approximately 8.26% of that total.

The following table provides annual data on the County’s ten largest wastewater customers for the fiscal
year ended June 30, 2010:
                                                     Wastewater Wastewater % of Total
                                                       Usage*          Revenue       Revenue
Kings Dominion                                            104,348 $         437,679      3.40%
Hanover Medical Park                                       42,103 $         209,565      1.63%
Randolph - Macon College                                   19,899 $         113,889      0.89%
Covenant Woods                                             11,882 $          61,350      0.48%
Hanover Crossing Apartments                                10,248 $          54,812      0.43%
Doswell All American Plaza                                  8,980 $          43,306      0.34%
Richfood                                                    8,334 $          40,257      0.31%
Leadbetter, Inc                                             8,112 $          39,327      0.31%
Mill Trace Apartments                                       8,020 $          47,243      0.37%
Ramada Inn/Super 8                                          7,553 $          36,570      0.28%
Total                                                     229,479 $       1,083,998      8.43%


*in 1,000 gallons

The ten largest wastewater customers together represent about 8.43% of total operating and non-operating
wastewater revenues with the largest customer representing approximately 3.40% of that total. Water and
wastewater usage by a specific customer may not be equal based upon the specific needs for each service.




                                                  197
                                     Public Utilities Fund
FINANCIAL AND BUDGETARY                                    provided by other County departments to support
PROCEDURES                                                 the Department of Public Utilities. In addition,
The Director of Public Utilities is responsible for        although the Department is a part of the County
budgeting, accounting, procurement, billing,               government and thus tax exempt, the County’s
collection activities, capital construction and            General Fund also charges a service charge to the
financial and strategic planning for the System.           utility as a payment in lieu of taxes to recover
Mr. Frank W. Harksen, Jr. has served as the                costs associated with services provided by the
Director of Public Utilities since January 1999.           Sheriff’s Office and Public Safety Department,
On January 13, 2011 it was announced that Mr.              which are not a part of the calculated allocated
Harksen would be appointed Deputy County                   payment.
Administrator effective March 1, 2011. Mr.
Harksen succeeds John H. Hodges who retired in             The system is divided into four service routes and
December 2010.                                             most customers are billed bi-monthly. Bills are
                                                           due and payable upon receipt by the customer,
The operating budget and the Capital                       with a past due notice mailed if the bill remains
Improvement Plan for the System are updated and            unpaid 30 days after the billing date. If payment is
presented annually to the County Administrator in          not made in accordance with the past due notice,
December and the Board of Supervisors in March.            the County Code requires that utility service be
Approval usually occurs in April.                          disconnected. A $40 fee is assessed to all
                                                           accounts where service has been discontinued due
In support of the County’s Comprehensive Plan              to nonpayment and a 10% late penalty fee is
and the Voluntary Settlement Agreement with the            charged for all past due accounts. The County’s
Town of Ashland (which provided for annexation             annual losses from uncollected accounts have been
of certain territory and the merger of the Ashland         less than 1% of total billings since 1990.
and County water and wastewater systems), the
Department of Public Utilities plans, implements           RATES, FEES, AND CHARGES
and funds improvements to make water and                   The principal sources of revenue for the Utilities
wastewater capacity available to an expansion area         Enterprise Fund are user fees and capacity fees.
and areas within the Town of Ashland sometime              The user fee is a monthly or bi-monthly charge
during the five year period after an area comes in         comprised of a base charge by meter size, levied
to phase, typically toward the end of the five year        regardless of usage, and a commodity charge that
period. When the County does make capacity                 is typically based upon metered water
available to an area, it is normally to a single point     consumption. The capacity fee is a one-time
within or near the area. The County does not               charge for each new connection to the water and
make water and wastewater service available to             wastewater systems. Capacity fees are based on
every parcel in an area when an area is in phase.          the size of the water meter necessary to serve the
The intent of the plan is that the Department make         new customer. In setting these fees, the goal is to
water and wastewater treatment capacity available          cover projected operating, maintenance, general
so that every lot within the Suburban Service Area         improvement, and rehabilitation costs with user
could be serviced by public water and wastewater           fees. The projected capacity related capital
if a property owner desired to extend public water         improvement costs and the costs to support the
and/or wastewater to their property.                       Comprehensive Plan and Voluntary Settlement
                                                           Agreement are funded with capacity fees. This
The self-supporting Utility Enterprise Fund, which         practice generally allows growth in use of the
is funded by utility ratepayers, reimburses the            County’s services to pay for the costs of increasing
County’s General Fund through a calculated                 the System capacity and expanding service
allocated payment for services such as                     territory. This rate structure applies to both water
procurement, finance, information technology,              and wastewater services.
human resources, administration and legal that are




                                                     198
                                  Public Utilities Fund
Rate Structure

Water - Base Charges by Meter Size                      FY11        FY12
5/8 inch & 3/4 inch                                       $8.37        $8.62
1 inch                                                    20.98        21.61
1 1/2 inch                                                41.84        43.10
2 inch                                                    66.94        68.95
3 inch                                                   133.89       137.91
4 inch                                                   209.20       215.48
6 inch                                                   418.40       430.95

Water - Residential                                     FY11        FY12
Base charge by meter size (table above)
Consumption charge as follows:
 0 to 4,000 gallons, per 1,000 gallons                     $1.33        $1.37
 4,001 to 15,000 gallons, per 1,000 gallons                 4.05         4.17
 15,001 and above, per 1,000 gallons                        5.28         5.44

Water - Commercial Schedule I Rates                     FY11        FY12
Base charge by meter size (table above)
Consumption charge as follows:
 0 to15,000 gallons, per 1,000 gallons                     $3.59        $3.70
 15,001 to 1,000,000 gallons, per 1,000 gallons             4.05         4.17
 Above 1,000,000 gallons, per 1,000 gallons                 2.25         2.32
 Separate irrigation meter, per 1,000 gallons               4.99         5.14

Water - Commercial Schedule II Rates                    FY11        FY12
Base charge                                              $128.74      $132.60
Consumption charge as follows:
 All usage, per 1,000 gallons                               2.10           2.16
 Peak Use Fee, per 1,000 gallons greater than 150% of
 previous fiscal year average                               1.29           1.33

Water - Commercial Schedule III Rates                   FY11        FY12
Base Charge                                              $12,874      $13,260
Consumption charge as follows:
 All usage, per 1,000 gallons                               1.71           1.76
 Peak Use Fee, per 1,000 gallons greater than 150% of
 previous fiscal year average                               1.29           1.33

Wastewater - Base charges by meter size                 FY11       FY12
5/8 inch                                                  $19.06      $19.44
3/4 inch                                                   19.06        19.44
1 inch                                                     19.06        19.44
1 1/2 inch                                                 19.06        19.44
2 inch                                                     95.31        97.22
3 inch                                                     95.31        97.22
4 inch                                                     95.31        97.22
6 inch                                                     95.31        97.22




                                                  199
                                    Public Utilities Fund
Wastewater - Residential                                         FY11               FY12
Base charge by meter size (table above)
Consumption charge as follows:
  0 to 4,000 gallons, per 1,000 gallons                               $5.12                $5.22
  4,001 and above, per 1,000 gallons                                   6.43                 6.56
Flat Rate Wastewater                                                  90.80                90.80

Wastewater - Commercial Schedule I Rates                           FY11              FY12
Base charge by meter size (table above)
Consumption charge as follows:
 0 to 50,000 gallons, per 1,000 gallons                               $5.96                $6.08
 Above 50,000, per 1,000 gallons                                       4.77                 4.87

Wastewater - Commercial Schedule II Rates                          FY11              FY12
Base charge                                                       $1,191.48          $1,215.31
Consumption charge as follows:
 All usage, per 1,000 gallons                                           3.93                4.01
 Peak Use Fee (per 1,000 gallons greater than 150% of
 previous fiscal year average)                                          1.19                1.21

Capacity Fees

Capacity fees are the fees charged to customers when initially connected to the County's system. The
detailed fee schedule is listed below.

Residential Water

In FY11 single and multi-family units are charged $5,161 for a standard connection. There will be no
increase in the per unit fee for a standard connection in FY12.

Commercial, Industrial, and Public Facilities Water               FY11               FY12
All capacity fees for these entities are based on meter size
5/8 inch                                                              $5,161              $5,161
1 inch                                                                12,903              12,903
1 1/2 inch                                                            25,806              25,806
2 inch                                                                41,290              41,290
3 inch                                                                82,579              82,579
4 inch                                                               129,030             129,030
6 inch                                                               258,061             258,061
8 inch                                                               412,897             412,897




                                                     200
                                    Public Utilities Fund
Residential Wastewater

In FY11 single and multi-family units are charged $7,838 for a standard connection. There will be no
increase in the per unit fee for a standard connection in FY12.

Commercial, Industrial, and Public Facilities                         FY11          FY12
All capacity fees for these entities are based on meter size
5/8 inch                                                                $7,838             $7,838
1 inch                                                                  19,593             19,593
1 1/2 inch                                                              39,187             39,187
2 inch                                                                  62,699             62,699
3 inch                                                                 125,399            125,399
4 inch                                                                 195,935            195,935
6 inch                                                                 391,870            391,870
8 inch                                                                 626,992            626,992

OBJECTIVES

        Provide reliable water and wastewater service in accordance with all applicable regulatory
        requirements;
        Maintain fiscal integrity to provide for system growth, adequate maintenance, and replacement of
        capital to ensure quality service, system reliability and to control future costs;
        Emphasize continuing education to maintain staff competency ensuring EPA regulatory
        compliance;
        Continue implementing Capital Improvement Plan, meeting customer capacity needs,
        Comprehensive Plan requirements and economic development; and
        Receive NACWA (National Association of Clean Water Agencies) Peak Performance Awards.


SERVICE LEVELS                            FY10           FY11           FY11     FY12
                                          Actual        Budget        Forecast   Budget
Water customers                           20,125        20,020         20,129    20,330
Wastewater customers                      18,367        18,118         18,359    18,543
Customer calls                            19,865        34,902         39,071    39,500
Plans reviewed                               358           600            500       500

Water distributed (mgd)                     8.70               8.30      8.21      8.30
Wastewater collected (mgd)                  6.93               7.01      6.94      7.01
Miles of water line maintained               387               390      393        393
Miles of sewer line maintained               360               363      367        367




                                                     201
                                      Airport Fund

DESCRIPTION

The Hanover County Airport is a 232 acre               runway, non-precision landing system, and
facility strategically located between Ashland         with the services provided by a contracted
and Richmond, and is easily accessible to              operator, the airport is able to accommodate
Interstate 95 for multimodal transportation.           corporate aircraft and the upscale businesses
The airport is a reliever airport within the           which they represent. Services at the facility
Richmond Metropolitan Service Area and also            include flight instruction, aircraft fueling,
provides a significant economic benefit to the         aircraft charters, repairs, rentals, and aircraft
County. The facility has a 5,400 x 100 foot            storage.



BUDGET SUMMARY
                                     FY10                  FY11               FY12           FY11
Expenditures                         Actual               Budget             Budget         to FY12
  Personnel                      $      94,964      $         96,643     $      98,866       2.3%
  Operating                             45,288                56,283            56,365       0.1%
  Operating Capital                      4,649                50,000            50,000       0.0%
  Debt Service
    Principal                                -                60,606            60,606       0.0%
    Interest                            84,873                83,372            83,372       0.0%
  Capital Improvements                  29,612               342,420           349,168       2.0%
Total Expenditures               $     259,386      $        689,324     $     698,377       1.3%

Revenues
  Use of Money and Property      $     170,748 $             157,332     $     162,052       3.0%
  Miscellaneous Revenue                  1,245                18,000            19,500       8.3%
  Categorical State Aid                 26,718               273,936           273,936       0.0%
  Categorical Federal Aid               (1,264)                    -                 -       0.0%
  Reserve for Revenue                        -                50,000            50,000       0.0%
  Transfer from General Fund           200,703               190,056           192,889       1.5%
Total Revenue                    $     398,150 $             689,324     $     698,377       1.3%

Generated Revenue Percent                 0.0%                 72.4%             72.4%
General Fund Percent                      0.0%                 27.6%             27.6%

Full-time Positions                             1                    1                  1    0.0%
Full-time Equivalents                         1.0                  1.0                1.0    0.0%




                                                 202
                                       Airport Fund

BUDGET HIGHLIGHTS

In FY07 an airport enterprise fund was                approximately $40,000 per year in aircraft
created to track the revenue, debt service,           personal property tax.
operating and capital transactions for this
activity. The FY12 operating budget and               The stipends for the two Board members on
capital improvements program will remain              the Airport Board were relocated to the
relatively flat from FY11. The local funding          Board of Supervisors’ budget in FY09.
supports one County employee as well as
maintenance and improvements to the                   The last of the hangar improvements was
airfield and terminal facilities. This budget         completed in January 2008 with this project
also includes maintenance of airfield                 serving as a great example of a public-
lighting and educational training. When               private     partnership     together     with
available, State funds are invested into this         State/Federal grants in developing a facility
function, reducing the local burden of                that can better serve everyone from residents
funding such operations. The capital budget           enjoying their smaller aircraft to the
provides local funding in the amount of               increased convenience of the business
$75,232 to leverage State and Federal                 community.
grants. The General Fund collects


GOALS AND OBJECTIVES

   Continue the removal of obstructions to accommodate safe operations;
   Protect air space;
   Begin land acquisition for East side development;
   Maintain 60 day turn around time between invoice and revenue recovery for all grants and
   capital projects.


SERVICE LEVELS
                                       FY10         FY11         FY11         FY12
                                       Actual      Budget      Forecast      Budget
 Number of based aircraft               138          135          138          138
 Aircraft hanger spaces                  54           54           54           54
 Aircraft tie down spaces                56           56           56           56
 Corporate Hangars                  14,800 sq/ft 14,800 sq/ft 14,800 sq/ft 14,800 sq/ft
 Gallons of fuel sold                 164,895      152,278      152,278      140,705




                                                203
                                   Self-Insurance Fund

DESCRIPTION

The Self-Insurance Fund provides for fiscal             The revenue for the fund comes primarily
management of the County and School Board               from employer contributions, employee
health insurance costs. The employer’s share            deductions, and investment income. The
of health insurance costs and retiree healthcare        County’s share is $7,086 for each participating
liability costs are budgeted in departmental            employee. Each employee has a deduction
budgets, but this internal service fund serves          based on the level of coverage selected in the
in the payment of claims, accounting for                program. The fund earns interest on cash
employee health insurance deductions, and               balances. There are currently 3,187 budgeted
providing adequate reserves to mitigate                 plan participants.
increases in claims beyond those anticipated.


BUDGET SUMMARY

                                   FY10                   FY11               FY12           FY11
Expenditures                       Actual                Budget             Budget         to FY12
  Personnel                    $    25,933,704     $     28,505,462     $   30,989,791      8.7%
  Operating                            104,264              158,412            161,225      1.8%
Total Expenditures             $    26,037,968     $     28,663,874     $   31,151,016      8.7%

Revenues
  Use of Money and Property    $       146,289     $        150,000     $      160,000       6.7%
  Employee                           8,108,351            8,527,994          8,605,000        0.9%
  Employer                          18,167,592           19,413,880         22,313,016       14.9%
  OPEB                                 820,982                    -                  -        0.0%
  Other                                140,331               72,000             73,000        1.4%
  Fund Balance                               -              500,000                  -     (100.0%)
Total Revenue                  $    27,383,545     $     28,663,874     $   31,151,016        8.7%

Part-time Positions                           1                     1                  1    0.0%
Full-time Equivalents                       0.5                   0.5                0.5    0.0%


BUDGET HIGHLIGHTS

The increase in FY12 expenses is based on               one year deferment. Employee premiums will
market trend increases in health care claims            be established in the spring time frame.
and the funding of a joint County and School            Employer health insurance costs will increase
health and wellness program. There is no                to $7,086 for each full-time participating
additional liability requirement anticipated in         employee.
FY12; therefore, the FY12 budget proposes a




                                                  204
                                    Self-Insurance Fund
                                          Five-Year Financial Plan
                                             FY2012 - FY2016

                                  FY12            FY13               FY14           FY15          FY16
Expenditures                     Budget           Plan               Plan           Plan          Plan
 Personnel                   $    30,989,791 $     33,857,172 $      36,616,271 $   39,808,827 $ 43,335,375
 Operating                           161,225          162,225           163,225        164,225      165,225
Total Expenditures           $    31,151,016 $     34,019,397 $      36,779,496 $   39,973,052 $ 43,500,600

Revenues
 Use of Money and Property   $       160,000 $        161,600 $         163,216 $      164,848 $    166,496
 Employee                          8,605,000        8,863,150         9,129,045      9,311,626    9,497,860
 Employer                         22,313,016       24,321,187        26,753,306     29,696,170   32,962,749
 OPEB                                      -          600,000           660,000        726,000      798,600
 Other                                73,000           73,460            73,929         74,408       74,896
Total Revenue                $    31,151,016 $     34,019,397 $      36,779,496 $   39,973,052 $ 43,500,600




                                                   205
               Bell Creek Community Development Authority

DESCRIPTION

The Bell Creek Community Development                   $15,980,000. The bonds were issued to
Authority was created in 2002 and consists of          finance the acquisition and construction of
325 acres of land within the County. The               roads and road improvements, water and
property    encompasses        a    mixed-use          sanitary sewer improvements, storm water
development and is expected to provide                 management improvements and certain other
commercial development with retail space               infrastructure improvements. The Board of
including a shopping center known as “The              Supervisors, at the request of the Bell Creek
Shoppes at Bell Creek”, a light industrial park,       Community Development Authority, adopted
and a residential development on 167 acres             a special assessment levy on all residential,
known as “The Bluffs at Bell Creek.”                   retail, commercial and light industrial
                                                       properties within the authority to repay the
The Bell Creek Community Development                   bonds. As of June 2010, $12,056,000 of the
Special Assessment Bonds were issued in                bonds has been repaid, reducing the
2003 in the total principal amount of                  outstanding debt to $3,924,000.


BUDGET SUMMARY

                                   FY10                  FY11             FY12          FY11
Expenditures                       Actual               Budget           Budget        to FY12
  Operating                    $       443,148     $       605,000   $     405,000     (33.1%)
Total Expenditures             $       443,148     $       605,000   $     405,000     (33.1%)

Revenues
  Recovered Costs              $       460,449     $       605,000   $     405,000     (33.1%)
Total Revenue                  $       460,449     $       605,000   $     405,000     (33.1%)




                                                 206
              Lewistown Community Development Authority

DESCRIPTION

The      Lewistown      Commerce        Center          Pursuant to the terms of a Special Assessment
Community Development Authority was                     Agreement between the County, the
created in 2006 and consists of 186.5 acres of          Authority, and the Developers, the 2007
land within the County. The property is part            Bonds will be payable from (1) a Special Real
of a business complex that is expected to               Property Tax, equal to $0.10 per $100 of the
provide commercial and retail spaces,                   assessed or assessable value of taxable real
recreation and tourism facilities and other             and leasehold property, respectively, within
amenities that are expected to be developed in          the District, beginning with calendar year
phases by different entities. The overall               2008, (2) Incremental Tax Revenues
development has been named Winding Brook.               consisting of specified percentages of
                                                        incremental real and personal property, hotel
The Lewistown Community Development                     occupancy, and the County’s portion of sales
Authority Revenue Bonds were issued in 2007             tax revenues collected beginning in 2007 over
in the total principal amount of $37,675,000.           and above 2006 collections within the District,
The bonds were issued to finance the                    and (3) Special Assessments imposed and
acquisition of certain land and the                     collected by the County, if necessary, at the
construction     of    certain   infrastructure         request of the Authority on taxable real
improvements.                                           property within the District, in that order.
                                                        Special assessments were imposed in fiscal
                                                        year 2010.


BUDGET SUMMARY

                                   FY10                   FY11             FY12           FY11
Expenditures                       Actual                Budget           Budget         to FY12
  Operating                    $      712,361     $         844,750   $      562,000     (33.5%)
Total Expenditures             $      712,361     $         844,750   $      562,000     (33.5%)

Revenues
  Recovered Costs              $      331,568     $         200,000   $      136,000     (32.0%)
  Transfer from General Fund          421,787               644,750          426,000     (33.9%)
Total Revenue                  $      753,355     $         844,750   $      562,000     (33.5%)




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               208
                         Capital Improvements Program

Process
The Capital Improvements Program (CIP) is the County's plan for expenditures on facilities,
equipment, and vehicles over the next five fiscal years. Capital improvements are separated from
the annual operating budget because they include any proposed public construction, acquisition
of land, buildings and accessory equipment, or vehicles or equipment with a unit cost greater
than $50,000. The Code of Virginia provides that a CIP be prepared to carry out policies adopted
through the Comprehensive Plan. The CIP performs this function by outlining anticipated
County projects by year, by cost and by recommended funding source. The Comprehensive Plan
includes the Community Facilities Plan, which along with the CIP provides for capital
improvements necessitated by growth for a twenty year period. Hanover County has maintained
compliance with capital outlay programs as stated in Section 15.2-2239 of the Code of Virginia
as follows:

       "Local planning commissions to prepare and submit annually capital
       improvement programs to governing body or official charged with preparation of
       budget. -- A local planning commission may, and at the direction of the
       governing body shall, prepare and revise annually a capital improvement
       program based on the comprehensive plan of the locality for a period not to
       exceed the ensuing five years. The commission shall submit the program annually
       to the governing body, or to the chief administrative officer or other official
       charged with preparation of the budget for the locality, at such time as it or he
       shall direct.

       The capital improvement program shall include the commission's
       recommendations, and estimates of cost of the facilities, including any road
       improvement and any transportation improvement the locality chooses to include
       in its capital improvement plan and as provided for in the comprehensive plan,
       and the means of financing them, to be undertaken in the ensuing fiscal year and
       in a period not to exceed the next four years, as the basis of the capital budget for
       the locality. In the preparation of its capital budget recommendations, the
       commission shall consult with the chief administrative officer or other executive
       head of the government of the locality, the heads of departments and interested
       citizens and organizations and shall hold such public hearings as it deems
       necessary."

The purpose of having a CIP is to assess the County's existing condition and identify needs
which must be addressed to accomplish planning goals. A principal goal is to provide for the
orderly and timed development of land consistent with the County's ability to provide services in
accordance with the Comprehensive Plan.

The CIP sets forth needs and priorities to coordinate development of County facilities with
anticipated revenues, growth and the community's ability to pay. By saying where public
schools, water or sewer lines, drainage, and other improvements should be constructed, the
County can encourage development in appropriate areas. "Appropriate" is used here to mean
consistent with adopted policies. This makes the CIP a key document in influencing and
managing growth. The CIP is also an important tool in insuring efficient use of limited financial




                                               209
                         Capital Improvements Program

resources. By reviewing anticipated revenues with anticipated capital needs, priorities can be
established to insure that essential public services can be continued and improved without
interruption.

The CIP process is used to establish priorities between competing needs: 1) The County
Departments recommend individual projects based on their needs assessment; 2) The Finance
Department and County Administrator's office reviews and recommends proposals based on an
assessment of community needs and financial resources available; 3) The Planning Commission
reviews the recommendations and provides input to the Board of Supervisors; 4) The Board of
Supervisors acts on the recommendations from public hearings, the County staff and the
Planning Commission.


Financing
The Five-Year Financial Plan forecasts the anticipated expenditures, approximate timing, and
source of funding for each project. The adoption of the CIP does not appropriate funds nor
commit the Board to any expenditure in fiscal years two through five whereas fiscal year one is
appropriated in conjunction with the Adopted Budget. The relationship between the CIP and the
operating budget is carefully considered during the operating budget process. The CIP has three
direct impacts on the operating budget: 1) Any projects funded with general fund resources must
be evaluated with other needs for the competing resources for that year, 2) Any project funded
with long term debt financing, must be in compliance with the debt policy and must anticipate
the impact of the repayment of debt service on current and future years budgets, and 3)
Implementation costs such as staffing and operating costs should be formulated. The following
are the current CIP funding sources available to the County:

General Fund: Direct payments from the County's operating revenue.

General Obligation (GO) Bonds: Payments from the proceeds of the sale of General Obligation
(GO) Bonds. These bonds must be approved by a general referendum of voters of the County,
with the exception of Virginia Public School Authority (VPSA) bonds and State Literary Loans.
GO bonds pledge the full faith and credit of the County for their repayment. VPSA bonds and
State Literary Loans can only be issued for the financing of public school projects.

Revenue Bonds: Payments from the proceeds of the sale of Revenue Bonds. These bonds
pledge the revenue generating potential of a facility or utility system.

State and Federal Grants: Payments from the State and Federal Government to provide facilities
promoted by the State and Federal agencies.

Developer Contributions: Payments from private developers to provide community facilities.
These donations are usually as a result of development, proffers and/or recovered cost.

Proffers: Cash proffers are the result of rezoning whereas rezoning and development of
properties for residential or commercial use result in increased population or demand and a
commensurate increase in the need for capital improvements.




                                             210
                          Capital Improvements Program

Public Utility Capacity Fees: Fees associated with new water and sewer connections to obtain
capacity in the utility system.

Public Utility User Fees: There may be certain utility projects which benefit the existing utility
customer for which user fee charges are the appropriate funding source of the utility project.

Savings Plan: The County established a savings plan to mitigate the need for debt financing of
school and/or County capital improvements. The savings plan is based upon designation of year-
end General Fund surpluses, anticipated current fiscal year surpluses, cash proffers, grants,
proffers and/or investment income earned.

Stormwater Fees: The stormwater management program is funded by pro-rata fees charged to
developers to fund appropriate stormwater management projects as a result of such development.


New Facility Construction Cost Guide

Elementary, Middle and High Schools:
The County utilizes the Marshall Swift Valuation Index to provide square foot costs for new
facilities. The Marshall Swift index is recognized nationally in evaluating construction costs
based upon class and type of construction. The class component of the buildings define how well
the building is constructed, with "A" being the best structurally built. Class A is a description of
the quality and design of the building's exterior and interior. The square foot cost of a building is
calculated using class and type with the cost adjusted by the local index multiplier and current
multiplier. The local index multiplier adjusts for the variability in construction costs by region in
the country and the current multiplier adjusts for inflation since class and type components were
last valued. Therefore, the adjusted square foot cost represents a current square foot cost for the
facility.

All schools in Hanover are excellent class A constructions. The schools have fireproof structural
steel frames with reinforced concrete or masonry floors and roofs. The exterior walls are
constructed of stone, brick, metal, glass, and are highly ornamental. The interior finish is made
of plaster, glazed finishes, enamel, carpet, and vinyl. These types of schools have the best
classroom lighting, cabling systems, and plumbing, including an elevator for high schools.

Marshall Swift Valuation Index
Schools                       Elementary                  Middle              High
Square foot cost                 $237.43                 $226.51           $242.35
Local Multiplier                    0.95                    0.95              0.95
Current Multiplier                  1.05                    1.05              1.05
Adj. Sq. ft. Cost                $236.84                 $225.94           $242.35




                                                211
                          Capital Improvements Program

Libraries
The libraries are good class A buildings. The libraries have masonry or concrete exterior walls
and wood or steel roofs. The floors are made of concrete slab on grade. The exterior walls are
made of special architecture metal and glass, face brick, stone, and concrete. The interior finish
is constructed from the best plaster, carpeting, vinyl, and equipped with a kitchenette. Libraries
have high-level lighting, audio-visual wiring, and good plumbing.

Marshall Swift Valuation Index
 Libraries
 Square foot cost              $222.29
 Local Multiplier               0.95
 Current Multiplier              1.03
 Adj. Sq. ft. Cost                 $217.51


Fire Stations and Rescue Squads:
The fire stations and rescue squads are good class A buildings. The buildings have masonry or
ornamental block concrete exterior walls; wood or steel roofs and floor structures or concrete
slab on grade for the floors. The interior finish has an office, classroom, kitchenette, drywall and
acoustic tile. In these buildings there is good lighting, adequate plumbing, and restrooms.

Marshall Swift Valuation Index
 Fire Stations & Rescue Squads
 Square foot cost              $225.46
 Local Multiplier                0.95
 Current Multiplier               1.03
 Adj. Sq. ft. Cost              $220.61

Sample Capital Improvement

Functional Area:       The functional area is a group of related activities aimed at accomplishing
                       a major service or regulatory program for which a locality is responsible.
                       Examples of functions are Judicial Administration, Public Safety, and
                       Health and Welfare. This is located at the top of the form in the title box.


Department:            The "Department" denotes the County (or School) department that has
                       oversight responsibility for the capital improvement. If applicable, other
                       departments will provide their services to ensure that the capital
                       improvement meets all specifications, laws and budgetary controls.

Project:               Denotes the project name.




                                                212
                       Capital Improvements Program

Location:           The physical address of where the capital improvement is to be located.
                    Countywide is used for location if the capital improvement is not
                    physically set (e.g. equipment) or maintained in one location.

Description/
Justification:      A brief description outlines the capital improvement and will contain the
                    reasons behind the capital improvement and other pertinent information.
                    Included in the description, if applicable, are the number of acres required,
                    square feet of structure desired, feasibility studies, and design work status.
                    For construction projects, a cost/sq. ft. will be provided and adjusted for
                    inflation and contingency.

Timetable:          This is the date(s) anticipated that the capital improvement will be
                    acquired or completed. If construction of a capital improvement is
                    required, the estimated starting and ending dates are noted. Request for
                    Bid (RFB) or Requests for Proposals (RFP) with a vendor are required,
                    with an appropriate contract awarded, in completing a capital
                    improvement. This is not provided for all projects.


Operating Impact:   Operating impact will describe what effect, if any, the capital
                    improvement will have on the operating budget.                 Impacts are
                    salaries/fringe benefits, operating and/or capital outlay. Only incremental
                    impacts are shown in subsequent years as growth of base impacts are
                    correlated to growth rates in Five-Year Financial Plan assumptions. Debt
                    service impacts are shown in the Five-Year Financial Plan and the
                    Indebtedness Section of the Budget document. Any reduced expenditures
                    or increased revenues are also noted, if applicable. Generally, if the
                    impact is less than $5,000 it will be noted as $0 as base operating budget
                    would be expected to absorb such costs.

Funding Uses:       Funding uses represent, by fiscal year, the capital improvement
                    expenditures and the classification of such expenditures. Classifications
                    are segregated as follows: professional, land, construction, EDP
                    equipment, vehicles, and other. Total costs are rounded to the nearest
                    $1000.




                                             213
                                                                        CAPITAL IMPROVEMENTS PROGRAM


                                                                                                                                                      General           Long-Term            Cash               Other
                                                     FY12           FY13           FY14            FY15           FY16             Grand Total        Funds                Debt             Proffers           Sources

GENERAL GOVERNMENT ADMINISTRATION
 Information Technology:
  Technology Infrastructure       $                   675,000 $       700,000 $      700,000 $       700,000 $       725,000 $         3,500,000 $     3,500,000 $                  -   $              -   $             -
  Data Center Maintenance                              61,000               -              -               -               -              61,000          61,000                    -                  -                 -
  Enterprise Licenses                                       -         215,000        205,000         212,000         215,000             847,000         847,000                    -                  -                 -
  Computer Replacement Program                        100,000         100,000        100,000         100,000         100,000             500,000         500,000                    -                  -                 -
  Storage Area Network                                      -               -              -          80,000          80,000             160,000         160,000                    -                  -                 -
    Total                         $                   836,000 $     1,015,000 $    1,005,000 $     1,092,000 $     1,120,000 $         5,068,000 $     5,068,000 $                  -   $              -   $             -

     Category Total                              $   836,000    $ 1,015,000    $ 1,005,000     $ 1,092,000    $    1,120,000   $      5,068,000   $ 5,068,000       $               -   $              -   $             -

JUDICIAL ADMINISTRATION
 Courts:
  New Courts Building                            $          -   $          -   $           -   $          -   $   50,000,000 $        50,000,000 $              -   $     50,000,000 $                 - $               -
    Total                                        $          -   $          -   $           -   $          -   $   50,000,000 $        50,000,000 $              -   $     50,000,000 $                 - $               -

     Category Total                              $          -   $          -   $           -   $          -   $   50,000,000   $     50,000,000   $             -   $    50,000,000     $              -   $             -

PUBLIC SAFETY
  Public Safety Training Center                  $          -   $          -   $           -   $          -   $     4,000,000 $        4,000,000 $              -   $      4,000,000 $                 -   $             -
    Total                                        $          -   $          -   $           -   $          -   $    4,000,000 $        4,000,000 $               -   $     4,000,000 $                  -   $             -

 Sheriff:
  Vaughn-Bradley Building Improvements           $     80,000 $            -   $           -   $          -   $            -   $         80,000 $        80,000 $                   -   $              -   $             -
    Total                                        $     80,000 $            -   $           -   $          -   $            -   $         80,000 $        80,000 $                   -   $              -   $             -

 Fire/EMS:
  Fire Engine & Heavy Squad Replacement          $    550,000 $       650,000 $      650,000   $   1,177,290 $     1,212,600 $         4,239,890 $     4,239,890 $                  -   $              -   $             -
  Ambulance Replacement                               366,000         376,000        386,000         396,000         406,000           1,930,000       1,930,000                    -                  -                 -
    Total                                        $    916,000 $     1,026,000 $    1,036,000   $   1,573,290 $     1,618,600 $         6,169,890 $     6,169,890 $                  -   $              -   $             -

     Category Total                              $   996,000    $ 1,026,000    $ 1,036,000     $ 1,573,290    $    5,618,600   $     10,249,890   $ 6,249,890       $     4,000,000     $              -   $             -
PUBLIC WORKS
 Public Works:
  Road Improvements                              $   2,100,000 $    1,660,000 $    1,670,000   $   1,650,000 $     1,750,000 $         8,830,000 $     1,740,000 $                  -   $    1,590,000 $        5,500,000
     Subtotal                                    $   2,100,000 $    1,660,000 $    1,670,000   $   1,650,000 $     1,750,000 $         8,830,000 $     1,740,000 $                  -   $    1,590,000 $        5,500,000

   Regional Stormwater Implementation            $    100,000 $            -   $           -   $          -   $            -   $        100,000 $               -   $               -   $              -   $     100,000
     Subtotal                                    $    100,000 $            -   $           -   $          -   $            -   $        100,000 $               -   $               -   $              -   $     100,000

  Solid Waste Services:
   Solid Waste Equipment Replacement             $    110,000 $      120,000 $      120,000    $    100,000 $        100,000 $          550,000 $       550,000 $                   -   $              -   $             -
   Transfer Station Scales and Building                     -              -              -               -           90,000             90,000          90,000                     -                  -                 -
      Subtotal                                   $    110,000 $      120,000 $      120,000    $    100,000 $        190,000 $          640,000 $       640,000 $                   -   $              -   $             -

     Total                                       $   2,310,000 $    1,780,000 $    1,790,000   $   1,750,000 $     1,940,000 $         9,570,000 $     2,380,000 $                  -   $    1,590,000 $        5,600,000

 General Services
  Vaughn-Bradley Building HVAC                   $          -   $          -   $           -   $    125,000 $              - $          125,000 $       125,000                     -                  -                 -
  Elevator Cylinder Replacement (Wickham Bldg)              -              -               -         75,000                -             75,000          75,000                     -                  -                 -
  Ashland Library Roof Replacement                          -              -               -              -           75,000             75,000          75,000                     -                  -                 -
    Total                                        $          -   $          -   $           -   $    200,000 $         75,000 $          275,000 $       275,000 $                   -   $              -   $             -

     Category Total                              $ 2,310,000    $ 1,780,000    $ 1,790,000     $ 1,950,000    $    2,015,000   $      9,845,000   $ 2,655,000       $               -   $ 1,590,000        $ 5,600,000

PARKS, RECREATION AND CULTURAL
 Parks and Recreation:
  Future Park Improvements                       $          -   $          -   $           -   $          -   $    7,000,000 $         7,000,000 $              -   $      7,000,000 $                 -   $             -
    Total                                        $          -   $          -   $           -   $          -   $    7,000,000 $         7,000,000 $              -   $      7,000,000 $                 -   $             -

  Library:
   Atlee Branch Library                          $          -   $          -   $           -   $          -   $    8,000,000 $         8,000,000 $              -   $      8,000,000 $                 -   $             -
     Total                                       $          -   $          -   $           -   $          -   $    8,000,000 $         8,000,000 $              -   $      8,000,000 $                 -   $             -

     Category Total                              $          -   $          -   $           -   $          -   $   15,000,000   $     15,000,000   $             -   $    15,000,000     $              -   $             -
NON-DEPARTMENTAL
 Reserve for Revenue Transfers
  Reserve for Revenue Transfer                   $    200,000 $      200,000 $       200,000 $      200,000 $       200,000 $          1,000,000 $              -   $               -   $              -   $ 1,000,000
    Total                                        $   200,000 $       200,000 $       200,000 $     200,000 $        200,000 $          1,000,000 $              -   $               -   $              -   $ 1,000,000
    Category Total                               $   200,000 $      200,000 $       200,000 $      200,000 $        200,000 $         1,000,000 $               -   $               -   $              -   $ 1,000,000

Total County Improvements Fund                   $ 4,342,000    $ 4,021,000    $ 4,031,000     $ 4,815,290    $   73,953,600   $     91,162,890   $ 13,972,890      $    69,000,000     $ 1,590,000        $ 6,600,000




                                                                                                          214
                                                                          CAPITAL IMPROVEMENTS PROGRAM


                                                                                                                                                       General           Long-Term            Cash             Other
                                                       FY12           FY13           FY14           FY15            FY16             Grand Total       Funds                Debt             Proffers         Sources

EDUCATION
 School Board:
  Facilities Improvements                          $  3,700,000 $ 3,000,000 $        3,000,000 $ 3,000,000 $         3,000,000 $        15,700,000 $            - $        15,700,000 $               - $              -
  Computer Replacement                                  849,000    1,461,001         1,056,500    1,071,000          1,102,000           5,539,501      3,374,501                   -         2,140,000           25,000
  School Buses                                          819,000    1,043,999         1,483,500    1,611,000          1,580,000           6,537,499      4,547,499                   -         1,790,000          200,000
  Technology Infrastructure                             182,000            -                 -            -                  -             182,000        182,000                   -                 -                -
  Mechanical and Roofing Improvements                 1,000,000            -                 -            -                  -           1,000,000              -           1,000,000                 -                -
  Tech & Career Facilities                                    -    8,600,000                 -            -                  -           8,600,000              -           8,600,000                 -                -
  Beaverdam ES Renovations                            3,200,000            -           900,000    8,900,000                  -          13,000,000              -          13,000,000                 -                -
  Elmont Elementary School                                    -      450,000                 -            -                  -             450,000              -             450,000                 -                -
  High School Athletic Facilities                             -            -                 -      500,000                  -             500,000              -             500,000                 -                -
  Facility Renovations: Henry Clay Elementary                 -            -                 -            -         14,120,000          14,120,000              -          14,120,000                 -                -
  Safety and Security Improvements                            -    1,000,000                 -            -                  -           1,000,000              -           1,000,000                 -                -
  Student Information System                            750,000            -                 -            -                  -             750,000        750,000                   -                 -                -
  Washington-Henry Elementary School                  4,000,000            -                 -   10,200,000                  -          14,200,000              -          14,200,000                 -                -
    Total Education                                $ 14,500,000 $ 15,555,000 $       6,440,000 $ 25,282,000 $       19,802,000 $        81,579,000 $    8,854,000 $        68,570,000 $       3,930,000 $        225,000

Total County Improvements Fund & Education         $ 18,842,000    $ 19,576,000   $ 10,471,000   $ 30,097,290   $   93,755,600   $ 172,741,890       $ 22,826,890    $ 137,570,000       $ 5,520,000        $ 6,825,000

AIRPORT
 Airport:

   Airport Improvements                                 349,168            -          535,000    9,410,000            500,000           10,794,168       320,232                     -                  -      10,473,936
   Airport Land Acquisition                                   -    1,950,000                -            -                  -            1,950,000        39,000                     -                  -       1,911,000
   Terminal Building Improvement                              -            -                -      275,000                  -              275,000        55,000                     -                  -         220,000
     Total Airport                                 $    349,168 $ 1,950,000 $         535,000 $ 9,685,000 $           500,000 $        13,019,168 $      414,232 $                   -   $              -   $ 12,604,936

PUBLIC UTILITIES
 Water Source and Distribution Projects:
  Hanover-Richmond Water Contract                      1,254,781      3,358,256      5,273,553      8,135,060        7,335,090          25,356,740 $             -   $     13,305,760 $                 -   $ 12,050,980
  Waterline Replacement                                   50,000         50,000         50,000         50,000           50,000             250,000               -                  -                   -        250,000
  Water Tank Rehabilitation                                    -        250,000              -        100,000          330,000             680,000               -                  -                   -        680,000
  Sliding Hill Rd to Countryside Lane Waterline          262,500              -              -              -                -             262,500               -                  -                   -        262,500
  Water Treatment Plant Rehabilitation                    50,000              -         50,000         50,000           50,000             200,000               -                  -                   -        200,000
  Shady Grove Waterline                                  154,000              -              -              -                -             154,000               -                  -                   -        154,000
  New Ashcake Road Waterline                              60,000              -              -              -          322,000             382,000               -                  -                   -        382,000
  Rt. 30 Waterline Interconnect and Valving               73,000              -              -              -                -              73,000               -                  -                   -         73,000
  Walnut Grove Waterline                                  81,000        297,000              -              -                -             378,000               -                  -                   -        378,000
  Atlee Station Road Waterline Interconnect               72,000              -              -              -                -              72,000               -                  -                   -         72,000
  Doswell Water Treatment Plant Sludge Collector               -         70,000              -              -                -              70,000               -                  -                   -         70,000
  Lockwood Pump Station Improvements                           -              -        391,000      1,390,000                -           1,781,000               -                  -                   -      1,781,000
  Meadowbridge Road Waterline                                  -              -        172,000        701,000                -             873,000               -            873,000                   -              -
  South Anna WTP Upgrade                                       -              -              -              -        1,600,000           1,600,000               -                  -                   -      1,600,000
  Brooking Way from Shannon Court                        120,000              -              -              -                -             120,000               -                  -                   -        120,000
  Cedar Lane Waterline Improvements                            -              -              -        530,000                -             530,000               -                  -                   -        530,000
  Chamberlayne Road Waterline Improvements                     -              -              -              -        1,200,000           1,200,000               -                  -                   -      1,200,000
  Cold Harbor Road Waterline Improvments                       -              -              -        191,000          854,000           1,045,000               -          1,045,000                   -              -
  Grassy Swamp Water Storage Tank & Booster Sta                -              -              -              -          697,000             697,000               -            697,000                   -              -
  Race Course Street Waterline Improvements                    -              -         65,400              -                -              65,400               -                  -                   -         65,400
  I-95 Wateline Crossing at Long Road                          -              -              -              -          141,000             141,000               -                  -                   -        141,000
  Rt. 360 Waterline Improvements                               -              -              -         90,800          475,000             565,800               -            565,800                   -              -
  Rt. 360 at Bell Creek Rd Waterline Improvments               -              -              -        282,000                -             282,000               -                  -                   -        282,000
  Rt. 1 Waterline Improvements                                 -              -              -        105,000          272,000             377,000               -                  -                   -        377,000
 Wastewater Collection and Treatment Projects:
  Sanitary Sewer and Facility Rehabilitation             50,000          50,000         50,000         50,000           50,000             250,000               -                  -                   -        250,000
   Wastewater Treatment Plant Rehabiliation              50,000          50,000         50,000         50,000           50,000             250,000               -                  -                   -        250,000
  Beaverdam WWTP Pump Station                                 -          61,000        437,000              -                -             498,000               -                  -                   -        498,000
  Washington Highway Sewerline Rehabiliation            300,000               -              -              -                -             300,000               -                  -                   -        300,000
  Ashland WWTPt Alkalinity Feed System                   25,000         100,000              -              -                -             125,000               -                  -                   -        125,000
  Totopotomoy WWTP Expansion                                  -       2,000,000              -              -        2,300,000           4,300,000               -          4,300,000                   -              -
  Totopotomoy WWTP Plant Nutrient Removal Imp                 -               -      5,000,000      5,000,000        5,000,000          15,000,000               -          7,500,000                   -      7,500,000
  Ashland Sewerline Rehabilitation - Area 1                   -               -        191,000              -                -             191,000               -                  -                   -        191,000
  Ashland Sewerline Rehabilitation - Area 2                   -               -              -        448,000                -             448,000               -                  -                   -        448,000
  Ashland Sewerline Rehabilitation - Area 3                   -               -              -              -          201,500             201,500               -                  -                   -        201,500
  Country Club Hills Pump Station                             -         111,000              -              -                -             111,000               -                  -                   -        111,000
  Doswell WWTP Equalization Tank Rehabilatation               -               -        250,000              -                -             250,000               -                  -                   -        250,000
  Henry Street Sewerline Rehabilation                         -         150,000              -      1,300,000                -           1,450,000               -          1,300,000                   -        150,000
  North Doswell Sewerage Improvements                         -               -              -              -        3,605,000           3,605,000               -                  -                   -      3,605,000
  Diane Ridge Water Treatment Plant                           -          39,000              -        102,000                -             141,000               -                  -                   -        141,000
  Rt. 360 Sanitary Sewerline Rehab                            -               -              -        137,000                -             137,000               -                  -                   -        137,000
 Other Projects:
  Vehicle Replacement                                170,000          -                      -              -                -            170,000                -                 -                    -         170,000
  Vacuum Excavator                                         -          -                      -         81,000                -             81,000                -                 -                    -          81,000
    Total Public Utilities                      $ 2,772,281 $ 6,586,256           $ 11,979,953   $ 18,792,860 $     24,532,590   $     64,663,940 $              -   $    29,586,560     $              -   $ 35,077,380



GRAND TOTAL                                        $ 21,963,449    $ 28,112,256   $ 22,985,953   $ 58,575,150   $ 118,788,190    $ 250,424,998       $ 23,241,122    $ 167,156,560       $ 5,520,000        $ 54,507,316




                                                                                                            215
                                                    CAPITAL IMPROVEMENTS PROGRAM

                                                    FY12           FY13            FY14           FY15           FY16            Grand Total
SUMMARY OF FUNDING SOURCES:
  GENERAL FUND:
   School Improvements Fund                     $    1,810,000 $    1,675,000 $     1,695,000 $    1,837,000 $     1,837,000 $        8,854,000
   County Improvements Fund                          2,242,000      2,511,000       2,511,000      3,285,290       3,423,600         13,972,890
   Airport Fund                                         75,232         39,000          45,000        155,000         100,000            414,232
   Utility Fund                                              -              -               -              -               -                  -
   TOTAL GENERAL FUND                           $    4,127,232 $    4,225,000 $     4,251,000 $    5,277,290 $     5,360,600 $       23,241,122

 LONG-TERM DEBT:
  School Improvements Fund                      $   11,900,000 $   13,050,000 $     3,900,000 $   22,600,000 $    17,120,000 $       68,570,000
  County Improvements Fund                                   -              -               -              -      69,000,000         69,000,000
  Airport Fund                                               -              -               -              -               -                  -
  Public Utilities Fund                              1,517,281      3,679,128       5,308,776      9,380,330      10,493,545         30,379,060
  TOTAL DEBT FUNDING                            $   13,417,281 $   16,729,128 $     9,208,776 $   31,980,330 $    96,613,545 $      167,949,060

 PROFFERS:
  School Improvements Fund                      $      765,000 $      780,000 $       795,000 $      795,000 $       795,000 $        3,930,000
  County Non-Road Proffers                                   -              -               -              -               -                  -
  County Road Proffers                                 300,000        310,000         320,000        330,000         330,000          1,590,000
  Airport Fund                                               -              -               -              -               -                  -
  Utility Fund                                               -              -               -              -               -                  -
  TOTAL PROFFERS                                $    1,065,000 $    1,090,000 $     1,115,000 $    1,125,000 $     1,125,000 $        5,520,000

 OTHER SOURCES:
  School Improvements Fund                      $       25,000 $       50,000 $        50,000 $       50,000 $        50,000 $          225,000
  County Improvements Fund                           1,800,000      1,200,000       1,200,000      1,200,000       1,200,000          6,600,000
  Airport Fund                                         273,936      1,911,000         490,000      9,530,000         400,000         12,604,936
  Public Utilities Fund                              1,255,000      2,907,128       6,671,177      9,412,530      14,039,045         34,284,880
  TOTAL OTHER SOURCES                           $    3,353,936 $    6,068,128 $     8,411,177 $   20,192,530 $    15,689,045 $       53,714,816

  TOTAL FUNDING SOURCES                         $   21,963,449 $   28,112,256 $    22,985,953 $   58,575,150 $   118,788,190 $      250,424,998

 SUMMARY BY FUNCTION:

  General Government Administration             $      836,000 $    1,015,000 $     1,005,000 $    1,092,000 $     1,120,000 $       5,068,000
  Judicial Administration                                    -              -               -              -      50,000,000        50,000,000
  Public Safety                                        996,000      1,026,000       1,036,000      1,573,290       5,618,600        10,249,890
  Public Works                                       2,310,000      1,780,000       1,790,000      1,950,000       2,015,000         9,845,000
  Parks, Recreation and Cultural                             -              -               -              -      15,000,000        15,000,000
  Non-Departmental                                     200,000        200,000         200,000        200,000         200,000         1,000,000
  Education                                         14,500,000     15,555,000       6,440,000     25,282,000      19,802,000        81,579,000
  Airport                                              349,168      1,950,000         535,000      9,685,000         500,000        13,019,168
  Public Utilities                                   2,772,281      6,586,256      11,979,953     18,792,860      24,532,590        64,663,940
 TOTAL BY YEAR                                  $   21,963,449 $   28,112,256 $    22,985,953 $   58,575,150 $   118,788,190      $250,424,998

 Summary by Fund:
  School Improvements Fund                      $   14,500,000 $   15,555,000 $     6,440,000 $   25,282,000 $    19,802,000 $      81,579,000
  County Improvements Fund                           4,342,000      4,021,000       4,031,000      4,815,290      73,953,600        91,162,890
  Airport Fund                                         349,168      1,950,000         535,000      9,685,000         500,000        13,019,168
  Public Utilities Fund                              2,772,281      6,586,256      11,979,953     18,792,860      24,532,590        64,663,940
                                                $   21,963,449 $   28,112,256 $    22,985,953 $   58,575,150 $   118,788,190      $250,424,998

 FUNDING ANALYSIS:
 General Funded % of County/School Projects                22%            21%             40%            17%             6%                13%
 Proffer Funded % of County/School Projects                 6%             6%             11%             4%             1%                 3%
 Other Sources Funded % of County/School Proj              10%             6%             12%             4%             1%                 4%
  Total Non-Debt Funding %                                 37%            33%             63%            25%             8%                20%
  Total Debt Funding %                                     63%            67%             37%            75%            92%                80%


 FUNDING SOURCES
  COUNTY IMPROVEMENTS FUND
   General Fund                                 $    2,242,000 $    2,511,000 $     2,511,000 $    3,285,290 $     3,423,600 $       13,972,890
   Long-Term Debt                                            -              -               -              -      69,000,000         69,000,000
   Cash Proffers                                       300,000        310,000         320,000        330,000         330,000          1,590,000
   Other Sources                                     1,800,000      1,200,000       1,200,000      1,200,000       1,200,000          6,600,000
     Total Capital Improvements Fund            $    4,342,000 $    4,021,000 $     4,031,000 $    4,815,290 $    73,953,600 $       91,162,890




                                                                                  216
                                             CAPITAL IMPROVEMENTS PROGRAM

                                             FY12            FY13            FY14             FY15            FY16              Grand Total

  SCHOOL IMPROVEMENTS FUND
   General Fund                          $    1,810,000 $     1,675,000 $     1,695,000 $      1,837,000 $     1,837,000 $           8,854,000
   Long-Term Debt                            11,900,000      13,050,000       3,900,000       22,600,000      17,120,000            68,570,000
   Cash Proffers                                765,000         780,000         795,000          795,000         795,000             3,930,000
   Other Sources                                 25,000          50,000          50,000           50,000          50,000               225,000
     Total School Improvements Fund      $   14,500,000 $    15,555,000 $     6,440,000 $     25,282,000 $    19,802,000 $          81,579,000

  AIRPORT FUND
   General Fund                          $      75,232 $         39,000 $          45,000 $      155,000 $       100,000 $             414,232
   Long-Term Debt                                    -                -                 -              -               -                     -
   Cash Proffers                                     -                -                 -              -               -                     -
   Other Sources                               273,936        1,911,000           490,000      9,530,000         400,000            12,604,936
     Total Airport Fund                  $     349,168 $      1,950,000 $         535,000 $    9,685,000 $       500,000 $          13,019,168

  UTILITY FUND
   General Funds                         $            - $             - $             - $              - $             - $                   -
   Long-Term Debt                             1,517,281       3,679,128       5,308,776        9,380,330      10,493,545            30,379,060
   Cash Proffers                                      -               -               -                -               -                     -
   Other Sources                              1,255,000       2,907,128       6,671,177        9,412,530      14,039,045            34,284,880
     Total Public Utilities Fund         $    2,772,281 $     6,586,256 $    11,979,953 $     18,792,860 $    24,532,590 $          64,663,940

 TOTAL CAPITAL IMPROVEMENTS FUNDS
  General Funds                          $    4,127,232 $     4,225,000 $     4,251,000 $      5,277,290 $      5,360,600 $         23,241,122
  Long-Term Debt                             13,417,281      16,729,128       9,208,776       31,980,330       96,613,545          167,949,060
  Cash Proffers                               1,065,000       1,090,000       1,115,000        1,125,000        1,125,000            5,520,000
  Other Sources                               3,353,936       6,068,128       8,411,177       20,192,530       15,689,045           53,714,816
     Total Capital Improvements Fund     $   21,963,449 $    28,112,256 $    22,985,953 $     58,575,150 $    118,788,190 $        250,424,998

 DETAIL OF OTHER SOURCES
 County Improvements Fund
  Reserve for Revenue                    $      200,000 $       200,000 $       200,000 $        200,000 $       200,000 $           1,000,000
  Recovered Cost                                500,000               -               -                -               -               500,000
  State Revenue                               1,000,000       1,000,000       1,000,000        1,000,000       1,000,000             5,000,000
  Prior Year Fund Balance                             -               -               -                -               -                     -
  Stormwater Fees                               100,000               -               -                -               -               100,000
     Total Other Sources                 $    1,800,000 $     1,200,000 $     1,200,000 $      1,200,000 $     1,200,000 $           6,600,000

  School Improvements Fund
   Interest Income                       $      25,000 $        50,000 $          50,000 $       50,000 $         50,000 $            225,000
   State Revenue                                     -               -                 -              -                -                    -
   Fund Balance                                      -               -                 -              -                -                    -
      Total Other Sources                $      25,000 $        50,000 $          50,000 $       50,000 $         50,000 $            225,000

  Airport Fund
   State Revenue                         $     273,936 $         58,500 $          15,000 $      505,000 $       400,000 $           1,252,436
   Federal Revenue                                   -        1,852,500           475,000      9,025,000                            11,352,500
      Total Other Sources                $     273,936 $      1,911,000 $         490,000 $    9,530,000 $       400,000    $       12,604,936

  Public Utilities Fund
   Capacity Fees                         $      355,000 $     2,037,128 $     3,464,777 $      5,562,530 $     9,207,545 $          20,626,980
   User Fees                                    900,000         870,000       3,206,400        3,850,000       4,831,500            13,657,900
   State Grants                                       -               -               -                -               -                     -
      Total Other Sources                $    1,255,000 $     2,907,128 $     6,671,177 $      9,412,530 $    14,039,045 $          34,284,880

School Improvement Fund - Fund Balance
  School Savings Plan

                                             FY12            FY13            FY14             FY15            FY16
 Beginning Balance                       $            - $     7,658,546 $      8,678,302 $      (428,569) $   18,483,908
  Sources                                    14,304,546      15,519,756        6,448,129      25,352,477      19,909,926
  Uses                                        6,646,000      14,500,000      15,555,000        6,440,000      25,282,000
 Net Change                                   7,658,546       1,019,756       (9,106,871)     18,912,477      (5,372,074)
 Ending Balance                          $    7,658,546 $     8,678,302 $       (428,569) $   18,483,908 $    13,111,834

County Improvement Fund - Fund Balance
 County Savings Plan

                                             FY12            FY13            FY14             FY15            FY16
 Beginning Balance                       $     (175,236) $      416,152 $       890,167 $      1,330,440 $     2,584,024
  Sources                                     3,062,388       3,216,015       3,271,273        4,104,584       4,277,178
  Uses                                        2,471,000       2,742,000       2,831,000        2,851,000       3,645,290
 Net Change                                     591,388         474,015         440,273        1,253,584         631,888
 Ending Balance                          $      416,152 $       890,167 $     1,330,440 $      2,584,024 $     3,215,912




                                                                            217
                        General Government Administration
The Hanover County Government Complex is comprised of ten buildings: Wickham Building &
Annex, Circuit Court, General District Court, Pamunkey Regional Library (Courthouse Branch),
Vaughan-Bradley Public Safety Building, Facilities Management, Administration Building,
Building Inspector/Modular Building, Department of Finance and Internal Audit, New Public
Safety Building.

The Administration Building houses the Board of Supervisors meeting room and the offices for
the following general government administrative functions: County Administrator, County
Attorney, Public Utilities, Building Inspector, Public Works and the Planning Department. The
Wickham Building houses the Commissioner of Revenue, Treasurer, Information Technology,
General Services, Registrar, Purchasing and the Department of Human Resources. Offices for
certain other functions are also housed in the Wickham and Wickham Annex Buildings.




                                            218
                          GENERAL GOVERNMENT ADMINISTRATION




Department:       Information Technology

Project:          Technology Infrastructure

Location:         Wickham Building

Description:      Technology Infrastructure includes the County's Wide Area Network (WAN), Central
                  Computers & Servers, and security methods. This infrastructure includes all County systems
                  such as the financial, email, tax and real estate assessment, human resources, and the data
                  storage systems. These upgrades are necessary to run all central servers and network
                  equipment. Upgrade cycles are 5 years for WAN equipment and 3 years for Central
                  Computers. In FY10, ITD transitioned to a 4-5 year replacement cycle for Servers. The
                  upgrades are required for technologychanges, system enhancements, growth, and new systems.
                  The WAN provides connectivity for all County computers & servers plus 10 State of Virginia
                  computer systems. Three AS/400 (iSeries) Central Computers are designated for Public
                  Safety, Administrative, & Testing Systems.

Useful Life:      Varies based on specific server or network equipment



Timetable:        Major purchases during the next five years include: FY13, 14 AS/400 System Upgrades.
                  Core Infrastructure upgrades, and catching up on replacement cycles from delays in FY10 &
                  FY11 are shown in FY12 & FY13. FY13,14,& 15 as level funding years with a small
                  increase in FY16. Funding increases are to provide greater services and prepare for
                  conversion to server based applications from the AS/400 platform

Operating Impact: $0

                       FY12           FY13           FY14           FY15           FY16           Totals
Funding Sources
 General Fund     $    675,000    $   700,000    $    700,000   $    700,000   $    725,000    $ 3,500,000
Total Sources     $    675,000    $   700,000    $    700,000   $    700,000   $    725,000    $ 3,500,000

Funding Uses
 Equipment        $    675,000    $   700,000    $    700,000   $    700,000   $    725,000    $ 3,500,000
Total Uses        $    675,000    $   700,000    $    700,000   $    700,000   $    725,000    $ 3,500,000




                                                      219
                            GENERAL GOVERNMENT ADMINISTRATION




Department:       Information Technology

Project:          Data Center Maintenance

Location:         Wickham Building

Description:      These upgrades are mandatory for the County's Data Center to be able to handle the projected
                  growth of technology. The Data Center allows for secure information storage and allows for
                  upgrades in environmental management all of which help to prevent loss. Without these
                  modifications, all technology growth and expansion will be severely impaired. Continual
                  improvements to facilities to allow moderate growth and mitigate major risks to the County's
                  data center. Inadequate power, HVAC, vulnerable backup power generation, outdated UPS,
                  and water leaks are all threats to providing IT computing and data resources to critical all
                  critical business operations of the County.

Useful Life:      5 years



Timetable:        Begin renovations summer 2010 complete project by June 2012.




Operating Impact: $0

                       FY12           FY13            FY14            FY15          FY16           Totals
Funding Sources
 General Fund     $      61,000   $            - $              - $          - $            - $       61,000
Total Sources     $      61,000   $            - $              - $          - $            - $       61,000

Funding Uses
 Equipment        $      61,000   $            - $              - $          - $            - $       61,000
Total Uses        $      61,000   $            - $              - $          - $            - $       61,000




                                                        220
                           GENERAL GOVERNMENT ADMINISTRATION




Department:       Information Technology

Project:          Enterprise Software

Location:         Wickham Building

Description:      The County utilizes a number of enterprise software agreements to keep and maintain systems
                  up to-date and provide users with updates to extend functionality and correct known problems
                  or issues. The Microsoft Enterprise Agreement is one example that provides software
                  licensing and product access for all County computers. Servers, desktops, laptops, and other
                  device operating systems are funded and maintained through the enterprise agreement.
                  Employees are licensed to use the latest versions of Microsoft productivity tools, including
                  Office 2007, SharePoint 2007, and many other products. Administrative costs are greatly
                  reduced through the use of the enterprise license agreements. Licenses do not have to be
                  purchased with new computers and the managementof licenses is simplified and very efficient.
                  Users have access to vendor issued patches and updates to their systems without the need to re-
                  purchase software or pay vendors on a time and materials basis to correct problems or enhance
                  systems.

Useful Life:      Varies



Timetable:        Perform yearly upgrades, contained to each fiscal year




Operating         $0

                       FY12             FY13          FY14            FY15            FY16            Totals
Funding Sources
 General Fund     $            - $      215,000   $    205,000    $    212,000    $    215,000    $    847,000
Total Sources     $            - $      215,000   $    205,000    $    212,000    $    215,000    $    847,000

Funding Uses
 Equipment        $            - $      215,000   $    205,000    $    212,000    $    215,000    $    847,000
Total Uses        $            - $      215,000   $    205,000    $    212,000    $    215,000    $    847,000




                                                        221
                           GENERAL GOVERNMENT ADMINISTRATION




Department:       Information Technology

Project:          Computer Replacement

Location:         All County Facilities

Description:      The County utilizes industry best practices to maintain a reliable infrastructure for technology
                  users by replacing aging computers before they result in costly outages and repair services.
                  Impacts to citizens, employee productivity, increased support calls, and widespread outages to

Useful Life:      Varies



Timetable:        Perform yearly upgrades, contained to each fiscal year




Operating Impact: $0

                       FY12           FY13              FY14          FY15             FY16            Totals
Funding Sources
 General Fund     $    100,000    $       100,000   $   100,000   $    100,000     $    100,000    $    500,000
Total Sources     $    100,000    $       100,000   $   100,000   $    100,000     $    100,000    $    500,000

Funding Uses
 Equipment        $    100,000    $       100,000   $   100,000   $    100,000    $     100,000    $    500,000
Total Uses        $    100,000    $       100,000   $   100,000   $    100,000    $     100,000    $    500,000




                                                         222
                           GENERAL GOVERNMENT ADMINISTRATION




Department:       Information Technology

Project:          Storage Area Network

Location:         All County Facilities

Description:      This is the enhancement and annual maintenance of a mass disc storage drive that is being

                  build in a fashion where is will be expandable for future technology growth. The Storage area

                  network will increase our ability to use low cost storage devices and prepare us as we move

                  away from the AS/400's, move toward centralized computing. The maintenance is for a

                  storage network that was purchased under a grant funded program in FY12.

Useful Life:      Varies



Timetable:        Maintenance funding associated with Storage Area Network, will be completed within
                  respective fiscal year

Operating         Major purchase in FY12 of new SAN, associated maintenance funding below

                      FY12            FY13           FY14            FY15            FY16           Totals
Funding Sources
 General Fund     $            - $            - $             - $      80,000    $     80,000   $    160,000
Total Sources     $            - $            - $             - $      80,000    $     80,000   $    160,000

Funding Uses
 Equipment        $            - $            - $             - $      80,000    $     80,000   $    160,000
Total Uses        $            - $            - $             - $      80,000    $     80,000   $    160,000




                                                       223
                                 Judicial Administration
The Judicial Administration functions are performed at the Circuit Court (B) and General
District Court Buildings (C) and the offices for the following judicial administration functions:
Circuit Court, General District Court, Magistrate, Juvenile and Domestic Relations Court, Clerk
of the Circuit Court, Commonwealth Attorney and Court Services.




                                              224
                                       JUDICIAL ADMINISTRATION




Department:         Courts: Circuit, General District, & Juvenial and Domestic Relations

Project:            New Courts Building

Location:           County Government Complex

Description:        In response to the Board Initiative regarding facility space needs and meetings with Judges, the
                    Commonwealth's Attorney and the Clerk of Circuit Court, a plan address the needs of the court
                    system was developed. As a result of a space utilization assessment, it has been determined
                    that the County Courts are in need of expanded facilities to address current and future needs.
                    The new courts facility will provide a facility that is more secure, and energy efficient as well
                    as providing adequate workspace for employees to operate the courts system on a daily basis.

Useful Life:        50 years



Timetable:          Design completed in FY09 with construction to begin in FY16 and completed within 18
                    months.

Operating Impact: Impacts include additional utlities, and staffing to run this larger building, and will be
                    addressed in the next 5 year plan at the completion of the project.

                        FY12             FY13            FY14            FY15             FY16           Totals
Funding Sources
 Debt Financing     $            - $              - $             - $             - $ 50,000,000      $ 50,000,000
Total Sources       $            - $              - $             - $             - $ 50,000,000      $ 50,000,000

Funding Uses
 Construction       $            - $              - $             - $             - $ 50,000,000      $ 50,000,000
Total Uses          $            - $              - $             - $             - $ 50,000,000      $ 50,000,000




                                                          225
                                                    Public Safety
The existing Public Safety Functions include the Sheriff, Emergency Communications, Community Corrections,
Juvenile Court Services, and Building Inspector’s Office located at the Hanover County Government Complex. In
addition, the County provides facilities for the Animal Shelter and Emergency Medical Services Training Center at
the Taylor House Complex (A). Fire and Emergency Medical Services administration are located at the Hanover
Courthouse Station and Fire Training Center (B). The twelve fire stations are: Ashland Co. #1 (C), Beaverdam Co.
#2 (D), Black Creek Co. #12 (N), Chickahominy Co. #10 (L), Doswell Co. #4 (F), East Hanover Co. #3 (E),
Farrington Co. #11 (M), Hanover Courthouse Co. #5 (G), Henry Co. #6 (H), Mechanicsville Co. #7 (I), Montpelier
Co. #8 (J), and Rockville Co. #9 (K). The six rescue squads are: Ashland (O), Ashcake (P), East Hanover (Q), and
West Hanover (R). The County participates in the Pamunkey Regional Jail (S).

New facilities in CIP: Ashland Fire Station (T), Black Creek Fire Station (U), Farrington Fire Station (V).




                                                        226
                                               PUBLIC SAFETY




Department:           All Public Safety Departments

Project:              Joint Public Safety Training Center

Location:             Hanover County

Description:          Currently separate public safety training facilities are maintained by law enforcement and fire

                      ems. The proposed joint training center follows the model of regional neighbors and combines

                      the training functions allowing sharing of space and equipment for the most efficient approach

                      possible. The center will be located on property already owned by the County and will utilize

                      much of the equipment and training aids already in place.

Useful Life:          20 years



Timetable:            Aritechture and Engineering begin in late 2015, then begin construction in FY16 after that
                      process is complete.


Operating Impact:     None with this portion of the project, true operating impact will happen at the completion of
                      the project outside of this 5 year window

                           FY12           FY13              FY14          FY15            FY16            Totals
Funding Sources
 Debt Financing       $            - $             - $             - $             - $ 4,000,000      $ 4,000,000
Total Sources         $            - $             - $             - $             - $ 4,000,000      $ 4,000,000

Funding Uses
 Professional Services $           - $             - $             - $             - $ 500,000            500,000
 Construction                      -               -               -               -   3,500,000        3,500,000
Total Uses             $           - $             - $             - $             - $ 4,000,000      $ 4,000,000




                                                         227
                                             PUBLIC SAFETY




Department:        Sheriff's Office

Project:           Vaughn Bradley Building Improvements: Generator Upgrade

Location:          Vaughn Bradley Building

Description:       Currently the emergencygenerator is wired to provide power to the third level of the Vaughn-
                   Bradley Building where Emergency Communications was previously located. This project
                   funds the upgrade electrical system for a generator which in case of a power failure would
                   operate areas of the building that are imperative to the functionality of the Sheriff's Office
                   during an emergency.

Useful Life:       25 years



Timetable:         Begin upgrades in July of 2011




Operating Impact   $0

                        FY12              FY13         FY14           FY15            FY16            Totals
Funding Sources
 General Funds     $      80,000      $          - $           - $             - $             - $      80,000
Total Sources      $      80,000      $          - $           - $             - $             - $      80,000

Funding Uses
 Equipment         $      80,000      $          - $           - $             - $             - $      80,000
Total Uses         $      80,000      $          - $           - $             - $             - $      80,000




                                                       228
                                              PUBLIC SAFETY




Department:       Fire/EMS

Project:          Fire Engine and Heavy Squad Replacement

Location:         Fire Stations in Hanover County

Description:      The County operates a fleet of 21 engines, five (5) tankers, three (3) ladder trucks and
                  miscellaneous air utility vehicles, brush trucks, heavy duty squad trucks, first responder all
                  purpose vehicles and a mobile command unit. The current replacement plan envisions a 10
                  year useful life for engines, a 15 year useful life for ladder trucks, and a 15 year useful life for
                  tankers. To maintain this plan it is necessary to replace two engines per year within the five
                  year plan. The engines in this rotation are the first line engines for fire and medical response
                  from the County fire stations. They have a capacity of 750 gallons of water, 2,000 gallon per
                  minute pump, 2,000 feet of assorted hose, breathing apparatus and the capability of
                  transporting six fire fighters to emergency scenes. This plan will not expand the current fleet
                  of fire engines beyond the 21 currently in operation.

Useful Life:      The current replacement plan envisions a 10 year useful life for engines, a 15 year useful life
                  for ladder trucks, and a 15 year useful life for tankers.

Timetable:        The number of fire trucks replaced each year is dependent on funding and the type of appratus.
                  The projected delevery date is 270 days from the purchase date.
Operating         No direct impact to operational costs because the fleet is not being expanded, one for one
Impact:           replacement.

                      FY12             FY13             FY14             FY15             FY16            Totals
Funding Sources
 General Fund     $     550,000    $    650,000     $    650,000     $ 1,177,290     $ 1,212,600      $ 4,239,890
Total Sources     $     550,000    $    650,000     $    650,000     $ 1,177,290     $ 1,212,600      $ 4,239,890

Funding Uses
 Equipment        $     550,000    $    650,000     $    650,000     $ 1,177,290      $ 1,212,600     $ 4,239,890
Total Uses        $     550,000    $    650,000     $    650,000     $ 1,177,290      $ 1,212,600     $ 4,239,890




                                                          229
                                              PUBLIC SAFETY




Department:         Fire/EMS

Project:            Ambulance Replacement

Location:           Fire Stations in Hanover County

Description:        Hanover County currently operates 21 ambulances from 13 stations. The fleet will remain at
                    21 ambulances. Ambulances are chosen for replacement based on estimated costs to maintain,
                    mileage, age, and number of previous chassis applied to the ambulance. All ambulances will
                    be outfitted to advanced life support standards; funding in this line provides all hard and soft
                    equipment. Expected useful life is 15 years with proper maintenance.

Useful Life:        15 years



Timetable:          Two ambulances per year


Operating Impact: No direct impact to operational costs because the fleet is not being expanded, one for one
                    replacement.

                        FY12            FY13             FY14            FY15            FY16           Totals
Funding Sources
 General Fund       $    366,000    $     376,000    $    386,000    $    396,000    $    406,000    $ 1,930,000
Total Sources       $    366,000    $     376,000    $    386,000    $    396,000    $    406,000    $ 1,930,000

Funding Uses
 Equipment          $    366,000    $     376,000    $    386,000    $    396,000    $    406,000    $ 1,930,000
Total Uses          $    366,000    $     376,000    $    386,000    $    396,000    $    406,000    $ 1,930,000




                                                         230
                                          Public Works
The Public Works function facilities include the Public Works and Facilities Management offices in the
Administration Building at the Hanover County Government Complex (A). In addition, this function also
includes the Hanover County Airport (I), and the County Transfer Station (B) and its six Solid Waste
convenience centers: Beaverdam (C), Doswell (D), Elmont (E), Mechanicsville (F), Montpelier (G),
Route 301 (H). The County Garage is located on Lewistown Road (J).




                                                 231
                                              PUBLIC WORKS




Department:          Public Works

Project:             Roadway Improvements

Location:            Hanover County

Description:         The intent of this project is to improve traffic operations and highway capacity or construct

                     new roadways on an as needed basis as determined by the Board of Supervisors. The funds

                     will also be used to meet matching fund requirements for specific road projects and to help

                     offset unforeseen construction cost increases on current and future road projects

Useful Life:         10-15 years



Timetable:           FY12


Operating Impact     $0

                          FY12           FY13            FY14            FY15            FY16            Totals
Funding Sources
 General Fund          $ 300,000     $   350,000 $ 350,000 $ 320,000 $ 420,000 $ 1,740,000
 Cash Proffers             300,000       310,000     320,000     330,000     330,000   1,590,000
 Other                     500,000              -           -           -           -    500,000
 Categorical State Aid   1,000,000     1,000,000   1,000,000   1,000,000   1,000,000   5,000,000
Total Sources          $ 2,100,000   $ 1,660,000 $ 1,670,000 $ 1,650,000 $ 1,750,000 $ 8,830,000

Funding Uses
 Construction          $ 1,365,000   $ 1,079,000     $ 1,085,500     $ 1,072,500     $ 1,137,500     $   5,739,500
 Professional Services     315,000       249,000         250,500         247,500         262,500     $   1,324,500
 Land                      420,000       332,000         334,000         330,000         350,000     $   1,766,000
Total Uses             $ 2,100,000   $ 1,660,000     $ 1,670,000     $ 1,650,000     $ 1,750,000     $   8,830,000




                                                        232
                                               PUBLIC WORKS




Department:           Public Works

Project:              Stormwater Implementations

Location:             Suburban Service Area

Description:          The County’s stormwater program provides for the collection of a one-time pro-rata share fee
                      from development based on the amount of impervious surface. Fees collected are used to
                      construct regional stormwater management ponds to meet water quality requirements instead
                      of requiring on-site Best Management Practices. Participation in the County’s program is
                      voluntary. The fee models that support the program are based upon the capital and oversight
                      costs incurred in designing, acquiring and building drainage basins. The revenue is remitted to
                      the Capital Improvements Fund, which then transfers a portion to the General Fund reimburse
                      two part-time positions plus overhead. Due to proposed changes to the State’s Stormwater
                      Management Regulations the County’s regional stormwater program may no longer be able
                      provide credits for development starting in FY13.

                      If continued, State approval of the modified program will need to be obtained prior to the
                      County being in a position to collect pro-rata fees.

Useful Life:          Not applicable



Timetable:            Engineering second generation regional program



Operating Impact      $0
                           FY12            FY13           FY14            FY15            FY16           Totals
Funding Sources
 Stormwater Fees      $    100,000     $           - $             - $             - $             - $     100,000
Total Sources         $    100,000     $           - $             - $             - $             - $     100,000

Funding Uses
 Professional Services $   100,000     $           - $             - $             - $             - $     100,000
Total Uses             $   100,000     $           - $             - $             - $             - $     100,000




                                                         233
                                              PUBLIC WORKS




Department:        Public Works Operations

Project:           Solid Waste Equipment Replacement

Location:          301 Transfer Station

Description:       The project will purchase replacement equipment to handle solid waste at the County Transfer
                   Stations. This project is necessary to maintain a viable flee of solid waste handling equipment.
                   Aging Equipment will be taken out of service and replaced with modern, reliable equipment.
                   Acquisition of new equipment will provide for more efficient operation with less maintenance
                   and repair downtime. Upon replacement the current rubber tire loader and Roll-Off Trucks will
                   be used as back-up equipment. The following equipment is expected to be replaced or serve at
                   a reduced capacity during the next five years: rubber tire loader, roll-off trucks, road tractor,
                   transfer trailers, and low-boy trailer.

Useful Life:       10 years



Timetable:         FY12-(Once chassis) FY13-(Road tractor conversion) FY14-Wheeled tire loader) FY15-
                   (Farm Tractor) FY16-(Roll-off trailer)


Operating Impact   $0

                        FY12            FY13             FY14              FY15          FY16            Totals
Funding Sources
 General Funds     $     110,000    $     120,000    $       120,000   $   100,000   $    100,000    $    550,000
Total Sources      $     110,000    $     120,000    $       120,000   $   100,000   $    100,000    $    550,000

Funding Uses
 Equipment         $     110,000    $     120,000    $       120,000   $   100,000   $    100,000    $    550,000
Total Uses         $     110,000    $     120,000    $       120,000   $   100,000   $    100,000    $    550,000




                                                         234
                                             PUBLIC WORKS




Department:        Public Works Operations

Project:           Transfer Station Scales and Building

Location:          301 Transfer Station

Description:       Second set of scales and employee shed for in and out flow at the Rt. 301 Transfer Station.

                   This project will ensure sufficient capacity to accommodate public and private users of the

                   County Transfer Station beginning in 2015.

Useful Life:       15 years



Timetable:         Begin construction in FY16


Operating Impact   $0

                        FY12          FY13            FY14            FY15          FY16            Totals
Funding Sources
 General Funds     $           - $              - $             - $          - $       90,000   $     90,000
Total Sources      $           - $              - $             - $          - $       90,000   $     90,000

Funding Uses
 Equipment         $           - $              - $             - $          - $       90,000   $     90,000
Total Uses         $           - $              - $             - $          - $       90,000   $     90,000




                                                      235
                                            PUBLIC WORKS




Department:        General Services

Project:           Vaughn Bradley Building Chiller Replacement

Location:          Vaughn Bradley Building

Description:       Existing chiller is near twenty year life cycle in FY12 and will be ready for replacement in the
                   slated year. The chiller is properly maintained to extend its life and parts are repaired as
                   necessary to extend the life of the entire unit. Chiller has operated in 24-7 environment and in
                   less than favorable location, in a mechanical room in conjunction with boilers with very
                   limited space. The chiller provides AC for the entire building and will provide more reliable
                   and energy efficient cooling methods.

Useful Life:       20 years



Timetable:         Fall FY15 Purchase and Install


Operating Impact   $0

                        FY12           FY13             FY14            FY15            FY16            Totals
Funding Sources
 General Funds     $            - $             - $             - $      125,000    $            - $     125,000
Total Sources      $            - $             - $             - $      125,000    $            - $     125,000

Funding Uses
 Equipment         $            - $             - $             - $      100,000    $            - $     100,000
 Construction                   -               -               -         25,000                 -        25,000
Total Uses         $            - $             - $             - $      125,000    $            - $     125,000




                                                      236
                                             PUBLIC WORKS




Department:        General Services

Project:           Elevator Cylinder Replacement

Location:          Wickham Building

Description:       There is one elevator located in the Wickham building and it being operational in necessary for
                   our compliance with the American's with Disablity Act. The elevator cylinder is beyond it's life
                   expectancy, but is still funcational and regularly monitered and maintained. If the unit were to
                   fail an annual pressure test it will be shut down until replaced.

Useful Life:       25 years +/- 10 years depending on environment and initial installation.



Timetable:         Fall of FY15


Operating Impact   $0

                        FY12            FY13            FY14             FY15              FY16         Totals
Funding Sources
 General Funds     $              - $            - $             - $       75,000      $          - $     75,000
Total Sources      $              - $            - $             - $       75,000      $          - $     75,000

Funding Uses
 Equipment         $              - $            - $             - $       75,000      $          - $     75,000
Total Uses         $              - $            - $             - $       75,000      $          - $     75,000




                                                       237
                                            PUBLIC WORKS




Department:        General Services

Project:           Roof Replacement Project

Location:          Ashland Library

Description:       The Ashland Library roof was installed in the Fall of 1997, with a fifteen year warranty. This
                   roof has been properly maintained and has been patched several times to extend the overall life
                   of the roof. The goal is to replace the roof near its warranty life after an evaluation is
                   completed this will set up funding for replacement in 2017

Useful Life:       20 years



Timetable:         Perform evaluation services in FY16 then plan to replace roof at its 20 year life cycle


Operating Impact   $0

                        FY12           FY13            FY14            FY15             FY16            Totals
Funding Sources
 General Funds     $            - $             - $             - $             - $       75,000    $        75,000
Total Sources      $            - $             - $             - $             - $       75,000    $        75,000

Funding Uses
 Construction      $            - $             - $             - $             - $       75,000    $        75,000
Total Uses         $            - $             - $             - $             - $       75,000    $        75,000




                                                      238
                            Parks, Recreation and Cultural
Parks, Recreation and Cultural Facilities include the services provided by the Parks and
Recreation Department located at the Taylor Complex (A) and the Pamunkey Regional Library
located at the Hanover County Government Complex (B). Existing Parks include Courthouse
Park (C), Hanover Wayside (D), Pole Green (E), Poor Farm (F), North Anna Battlefield Park
(G), Cold Harbor Battlefield Park (H), Cold Harbor Ruritan Park (M), Beaverdam Creek
Battlefield Park (N), Rockville Community Park (O), Gains Mill Battlefield Park (Q), Selwyn
Brooks Park (R), and Washington Lacy Park (S). Libraries include Ashland (I), Atlee (L),
Hanover Courthouse (B), Mechanicsville (J), and Rockville (K).




                                           239
                              PARKS, RECREATION AND CULTURAL




Department:        Parks and Recreation

Project:           Future Park Improvements

Location:          Various Parks

Description:       The Parks & Recreation Department, as detailed in their 2010 Comprehensive Facilities
                   Master Plan, has a number of park facilities and improvements that have been identified for
                   Years 6-10 (FY 15 -FY 19) of this 20-year plan. The most notable of these projects that
                   would necessitate funding in FY 16 include construction of a new community center and two
                   additional softball fields at Pole Green Park, new park construction at Little River and
                   Winding Brook Parks, and additional athletic lighting at Courthouse Park. These projects will
                   assist in meeting the recreational needs of citizens in Hanover County as expressed in the
                   Facilities Master Plan.

Useful Life:       Varies with project



Timetable:         Will analyze and begin projects based on funding, relevance to Parks Master Plan, as well as
                   community feedback.

Operating Impact   Operating costs will be addressed in a future five year plan, but depending on the final scope
                   of the project could inculde staffing, and field maintence costs.

                       FY12              FY13           FY14            FY15           FY16           Totals
Funding Sources
 Debt Financing    $            - $             - $              - $             - $ 7,000,000    $ 7,000,000
Total Sources      $            - $             - $              - $             - $ 7,000,000    $ 7,000,000

Funding Uses
 Construction      $            - $             - $              - $             - $ 7,000,000    $ 7,000,000
Total Uses         $            - $             - $              - $             - $ 7,000,000    $ 7,000,000




                                                       240
                                 PARKS, RECREATION AND CULTURAL



Department:          Pamunkey Regional Library

Project:             Atlee Branch Library

Location:            Rutland Proffer Site

Description:         A 25,000 square foot library to replace the 10,000 square foot storefront library and 3,000
                     square feet of space for the Library's Technical Services and Mobile Services Departments.
                     The lease of the storefront will expire in 2011. The additional space is needed to provide
                     contemporary library services to customers. In Hanover County, based on the standard of .6
                     square foot per person and a population of 96,992 (Weldon Cooper Center, 2007 estimate,
                     final), the library needs 58,195 square feet of space. Currently, the library has 50,200 square
                     feet of space. A new Atlee branch library with a total of 25,000 square feet will add 12,000
                     square feet of space. This would allow the library to meet the space standard with room for a
                     small amount of growth, until the county’s population exceeds approximately 104,000.


                     While there is a space standard, it is important to understand the impact space has on the
                     library’s ability to meet other standards that allow us to serve customers. The library has 65%
                     of the state average volumes per capita--we don't have room for more. In some locations there
                     is no space to add public computers to serve the public’s need. The library also tries to have
                     space for customers to be able to stay and use other library services and materials, and many
                     customers do spend extended periods of time where appropriate space is available.



Useful Life:         35 years



Timetable:           Begin construction in FY16; with a build out time of 18 months


Operating Impact     Staff and Operating Costs will be shifted from the current operations of the leased building,
                     this is not a new facility.

                          FY12              FY13         FY14            FY15            FY16            Totals
Funding Sources
 Debt Financing      $            - $              - $            - $             - $ 8,000,000      $ 8,000,000
Total Sources        $            - $              - $            - $             - $ 8,000,000      $ 8,000,000

Funding Uses
 Library Construction
 and Upfit            $           - $              - $            - $             - $ 8,000,000      $ 8,000,000
Total Uses            $           - $              - $            - $             - $ 8,000,000      $ 8,000,000




                                                         241
                                       Education

The Education facilities for the Hanover County Public Schools include the School Board (A)
where all administrative functions are performed and the School Bus Garage (B). There are
twenty-four schools in the County including fifteen elementary schools: Battlefield (C),
Beaverdam (D), Cold Harbor (E), Cool Spring (F), Elmont (G), Gandy (H), Henry Clay (I),
Kersey Creek (W), Mechanicsville (J), Pearson’s Corner (K), Rural Point (L), South Anna (M),
Washington-Henry (N), Pole Green (O) and Laurel Meadows (X); four middle schools:
Chickahominy (P), Liberty (Q), Stonewall Jackson (R), and Oak Knoll (S); four high schools:
Atlee (T), Lee-Davis (U), Patrick Henry (V), and Hanover (W); one trade school: Hanover
Center for Trades & Technology (Y).




                                            242
                                                  EDUCATION




Department:              Hanover County Public Schools

Project:                 Facility Renovations

Location:                Beaverdam

                         As a result of the 2005 Facilities Renovation Study a wholistic renovation of Beaverdam
Description:             Elementary School is planned. The renovation will include exterior windows, carpet/tile
                         replacement, new marker boards, lighting, HVAC, energy management and other items.

                         April 2012 - Solicit A/E Proposals
Timetable:
                         2015 - Project Complete




Operating Impact:        $0


                              FY12              FY13              FY14           FY15            FY16             Totals
Funding Sources
 Debt - VPSA             $    3,200,000   $            -     $     900,000   $   8,900,000   $          -     $   13,000,000
Total Funding Sources    $    3,200,000   $                - $     900,000   $   8,900,000   $              - $   13,000,000
Funding Uses
 Professional Services   $      900,000   $                - $     900,000 $             - $                - $    1,800,000
 Construction                 2,300,000                    -             -       8,900,000                  -     11,200,000
Total Funding Uses       $    3,200,000   $                - $     900,000   $   8,900,000   $              - $   13,000,000




                                                            243
                                                   EDUCATION




Department:             Hanover County Public Schools

Project:                Technical & Career Facilities

Location:               Patrick Henry High School and Atlee High School



                        As a result of the Option F plan in the 1999 study, additions and renovations are planned at Lee Davis,
Description:            Patrick Henry and Atlee high schools. Renovations and additions are slated for the program expansion
                        at the two remaining high school facilities. School personnel recommend this project. This project
                        was included in previous CIP submitted to the County.

                        March 2012 - Design completed for Patrick Henry and Atlee
Timetable:              July 2012 - Construction starts at Patrick Henry and Atlee
                        August 2013 - Additions and renovations complete at both sites


Operating Impact:
                        $0


                             FY12           FY13              FY14          FY15             FY16               Totals
Funding Sources
 Debt - VPSA            $            - $ 8,600,000      $            - $             - $             - $            8,600,000
Total Funding Sources   $            - $ 8,600,000      $            - $             - $             - $            8,600,000
Funding Uses
 Construction           $            - $ 8,600,000      $            - $             - $             - $            8,600,000
Total Funding Uses      $            - $ 8,600,000      $            - $             - $             - $            8,600,000




                                                        244
                                                EDUCATION




Department:             Hanover County Public Schools

Project:                Computer Replacement

Location:               All Schools

                        This request provides for a phased replacement of computer units at various facilities. Provisions
Description:
                        are also made for Specialty Center equipment replacement cycle.

Timetable:              Annual purchase of computers and related hardware




Operating Impact:       $0


                             FY12            FY13            FY14            FY15             FY16            Totals
Funding Sources
 County Transfer        $     439,000    $    681,001    $    731,500    $    746,000     $    777,000    $    3,374,501
 Cash Proffers                385,000         780,000         325,000         325,000          325,000         2,140,000
 Interest Income               25,000             -               -               -                -              25,000
Total Funding Sources   $     849,000    $   1,461,001   $   1,056,500   $   1,071,000    $   1,102,000   $    5,539,501
Funding Uses
 Equipment              $     849,000    $   1,461,001   $   1,056,500   $   1,071,000    $   1,102,000   $    5,539,501
Total Funding Uses      $     849,000    $   1,461,001   $   1,056,500   $   1,071,000    $   1,102,000   $    5,539,501




                                                     245
                                                   EDUCATION




Department:             Hanover County Public Schools

Project:                Elmont - Public Utilties

Location:               Elmont Elementary School

                        Extend water lines to serve Elmont Elementary School. This will provide public water to the
Description:
                        school as well as closure of the well.

                        April 2013 - Solicit A/E Proposals
Timetable:
                        August 2013 - Project Complete




Operating Impact:       $500 per year beginning in FY14 for water bills


                            FY12             FY13              FY14             FY15             FY16             Totals
Funding Sources
 Debt - VPSA            $          -     $     450,000     $          -     $          -     $          -     $     450,000
Total Funding Sources   $              - $     450,000     $              - $              - $              - $     450,000
Funding Uses
 Construction           $              - $     450,000     $              - $              - $              - $     450,000
Total Funding Uses      $              - $     450,000     $              - $              - $              - $     450,000




                                                     246
                                                         EDUCATION




Department:             Hanover County Public Schools

Project:                Facilities Improvement

Location:               School facilities constructed prior to 2000




Description:            During the 1998 -99 school year, all facilities constructed prior to Pole Green Elementary School were surveyed to
                        determine infrastructure system needs and/or improvements. The work will be prioritized and improvements will
                        occur annually. School Division personnel recommend this project. Project was included in previous CIP
                        submitted to County.

Timetable:              On-going

Operating Impact:       $0


                              FY12                FY13                FY14             FY15               FY16               Totals
Funding Sources
 Debt - VPSA            $      3,700,000    $      3,000,000    $     3,000,000   $     3,000,000   $      3,000,000   $      15,700,000
Total Funding Sources   $      3,700,000    $      3,000,000    $     3,000,000   $     3,000,000   $      3,000,000   $      15,700,000
Funding Uses
 Construction           $      3,700,000    $      3,000,000    $     3,000,000   $     3,000,000   $      3,000,000   $      15,700,000
Total Funding Uses      $      3,700,000    $      3,000,000    $     3,000,000   $     3,000,000   $      3,000,000   $      15,700,000




                                                            247
                                                            EDUCATION




Department:              Hanover County Public Schools

Project:                 Facility Renovations

Location:                Henry Clay

                         As a result of the 2005 Facilities Renovation Study a wholistic renovation of Henry Clay Elementary School is
Description:             planned. The renovation will include exterior windows, carpet/tile replacement, new marker boards, lighting,
                         HVAC, energy management and other items.

Timetable:               April 2016 - Solicit A/E Proposals


Operating Impact:        $0

                              FY12               FY13               FY14               FY15               FY16              Totals

Funding Sources
 Debt - VPSA             $           -       $          -       $          -       $          -       $    14,120,000   $     14,120,000

Total Funding Sources    $               -   $              -   $              -   $              -   $    14,120,000   $     14,120,000

Funding Uses
 Professional Services   $               -   $              -   $              -   $              -   $     1,000,000   $      1,000,000
 Construction                            -                  -                  -                  -        13,120,000         13,120,000

Total Funding Uses       $               -   $              -   $              -   $              -   $    14,120,000   $     14,120,000




                                                                    248
                                                 EDUCATION




Department:              High School Athletic Facilities

Project:                 County High Schools


Location:
                         Funds for improvements and/or upgrades to the athletic facilities and the four high schools.

                         Fiscal Year 2014-15
Timetable:




Operating Impact:        $0




                              FY12             FY13             FY14             FY15           FY16             Totals
Funding Sources
 Debt - VPSA             $           -     $          -     $          -     $    500,000   $          -     $      500,000
Total Funding Sources    $               - $              - $              - $    500,000   $              - $      500,000
Funding Uses
 Professional Services   $               - $              - $              - $    100,000   $              - $      100,000
 Construction                            -                -                -      400,000                  - $      400,000
Total Funding Uses       $               - $              - $              - $    500,000   $              - $      500,000




                                                      249
                                                 EDUCATION




Department:             Hanover County Public Schools

Project:                Mechanical /Roofing Improvements

Location:               School facilities constructed prior to 2000




                        During the 1998-99 school year, all facilities constructed prior to Pole Green Elementary School
Description:            were surveyed to determine infrastructure systems needs and/or improvements. The
                        mechanical/roofing was part of the original study and part of the Facilities Improvement line item
                        in the CIP. It was determined that this area of repair justified a separate CIP category and focus.
                        The work will be prioritized and improvements will occur annually.

Timetable:              On-going




Operating Impact:       $0


                             FY12            FY13             FY14           FY15             FY16             Totals
Funding Sources
 Debt - VPSA            $    1,000,000   $             - $            - $             - $              - $      1,000,000
Total Funding Sources   $    1,000,000   $             - $            - $             - $              - $      1,000,000
Funding Uses
 Construction           $    1,000,000   $             - $            - $             - $              - $      1,000,000
Total Funding Uses      $    1,000,000   $             - $            - $             - $              - $      1,000,000




                                                     250
                                               EDUCATION




Department:              Hanover County Public Schools

Project:                 Safety and Security Improvements

Location:                County Schools


Description:
                         This project will provide additional monitoring and safety devices at targeted County schools.

Timetable:               November 2011 - Solicit A/E proposals

Operating Impact:        $0

                              FY12             FY13             FY14             FY15             FY16             Totals

Funding Sources
 Debt - VPSA             $           -     $   1,000,000    $          -     $          -     $          -     $   1,000,000

Total Funding Sources    $               - $   1,000,000    $              - $              - $              - $   1,000,000

Funding Uses
 Professional Services   $           -     $    500,000     $          -     $          -     $          -     $     500,000
 Equipment                           -          500,000
                                                500 000                -                -                -           500 000
                                                                                                                     500,000

Total Funding Uses       $               - $   1,000,000    $              - $              - $              - $   1,000,000




                                                      251
                                               EDUCATION




Department:             Hanover County Public Schools

Project:                School Buses

Location:               Transportation

                        Annually, school buses need to be purchased on a replacement schedule to
                        minimize the number of buses over 12 years old in the fleet. Further,
Description:
                        additional buses need to be purchased for growth in enrollment, special needs
                        and out of service units.

Timetable:              Annual Purchases




Operating Impact:       $0


                             FY12            FY13             FY14            FY15            FY16            Totals
Funding Sources
 County Transfer        $ 439,000        $    993,999     $    963,500    $   1,091,000   $   1,060,000   $   4,547,499
 Cash Proffers            380,000                 -            470,000          470,000         470,000       1,790,000
 Interest Income              -                50,000           50,000           50,000          50,000         200,000
Total Funding Sources   $ 819,000        $   1,043,999    $   1,483,500   $   1,611,000   $   1,580,000   $   6,537,499
Funding Uses
 Vehicles               $ 819,000        $   1,043,999    $   1,483,500   $   1,611,000   $   1,580,000   $   6,537,499
Total Funding Uses      $ 819,000        $   1,043,999    $   1,483,500   $   1,611,000   $   1,580,000   $   6,537,499




                                                    252
                                                 EDUCATION




Department:              Hanover County Public Schools

Project:                 Student Information System

Location:                Central Office

                         The district's current system is outdated and inefficient. A new system will allow the district to
Description:
                         better manage data and meet State reporting requirements.

Timetable:               November 2011 - Solicit A/E proposals



Operating Impact:        $0


                              FY12            FY13              FY14             FY15             FY16             Totals

Funding Sources
 County Transfer         $     750,000    $          -     $           -     $          -     $          -     $     750,000

Total Funding Sources    $     750,000    $              - $               - $              - $              - $     750,000

Funding Uses
 Professional Services   $     750,000    $          -     $           -     $          -     $          -     $     750,000

Total Funding Uses       $     750,000    $              - $               - $              - $              - $     750,000




                                                          253
                                              EDUCATION




Department:             Hanover County Public Schools

Project:                Technology Infrastructure

Location:               All Schools

                        Where necessary the technolgy infrastructure will be replaced in the schools. This upgrade
Description:
                        includes cabling and associated electronics.


Timetable:              June 2012: Improvements complete




Operating Impact:       $0


                             FY12          FY13               FY14             FY15             FY16             Totals
Funding Sources
 County Transfer        $    182,000   $            -     $          -     $          -     $          -           182,000
Total Funding Sources   $    182,000   $                - $              - $              - $              - $     182,000
Funding Uses
 Construction           $    182,000   $                - $              - $              - $              - $     182,000
Total Funding Uses      $    182,000   $                - $              - $              - $              - $     182,000




                                                        254
                                                   EDUCATION




Department:              Hanover County Public Schools

Project:                 Facility Renovations: Washington-Henry Elementary School

Location:                Washington-Henry Elementary School




Description:             As a result of the 2005 Facilities Renovation Study a wholistic renovation of Washington Henry
                         Elementary School is planned. The renovation will include exterior windows, carpet/tile replacement,
                         new marker boards, lighting, HVAC, energy management and other items.

                         April 2012 - Solicit A/E proposals
Timetable:
                         August 2016 - Project complete




Operating Impact:        $0


                              FY12            FY13              FY14             FY15             FY16             Totals
Funding Sources
 Debt - VPSA                  4,000,000              -                 -         10,200,000              -     $   14,200,000
Total Funding Sources    $ 4,000,000      $              - $               - $   10,200,000   $              - $   14,200,000
Funding Uses
 Construction            $ 3,000,000      $              - $               - $   10,200,000 $                - $   13,200,000
 Professional Services     1,000,000                     -                 -              -                  -      1,000,000
Total Funding Uses       $ 4,000,000      $              - $               - $   10,200,000   $              - $   14,200,000




                                                          255
                                       Hanover County Airport

The Hanover County Airport facilities include the County Airport (A) located at 11152 Airpark Rd.




                                                    256
                                               PUBLIC WORKS




Department:         Airport

Project:            Airport Improvements

Location:           Hanover County Airport, 11152 Airpark Road, Ashland VA 23005

Description:        Funding initiative to be used towards the construction of projects identified in the Airport
                    Master Plan.

Useful Life:        Varies based on projects



Timetable:          Projects will be initiated as sufficient funding is accumulated and/or grant funds become
                    available.             FY12 Obstruction Removal; FY14 East side apron expansion-design;
                    FY15 East side apron expansion-construction


Operating Impact    $0

                         FY12           FY13           FY14            FY15           FY16            Totals
Funding Sources
 General Fund       $     75,232 $               - $     45,000    $   100,000    $    100,000 $ 320,232
 State VDOA Grant        273,936                 -       15,000        285,000         400,000      973,936
 FAA Grant                      -                -      475,000      9,025,000                -   9,500,000
Total Sources       $    349,168 $               - $    535,000    $ 9,410,000    $    500,000 $ 10,794,168

Funding Uses
 Other Facility
                    $    349,168    $            - $           - $             - $     500,000    $    849,168
 Improvements
 Services                       -                -      535,000     600,000                   -   1,135,000
 Construction                   -                -             -  8,810,000                   -  17,620,000
Total Uses          $    349,168 $               - $    535,000 $ 9,410,000       $    500,000 $ 10,794,168




                                                       257
                                             PUBLIC WORKS




Department:         Airport

Project:            Land Acquisition

Location:           Hanover County Airport, 11152 Airpark Road, Ashland VA 23005

Description:        The 2000 Airport Master Plan indicates the need to purchase 58 acres of land and aviation
                    easements to the South and East of the runway to meet FAA Airport Safety Criteria. Purchase
                    of this land or easement is required to remove airport space obstructions and complete East
                    side expansion. The County will give priority for acquisition of required land when it is on the
                    market.

Useful Life:        Not applicable



Timetable:          FY12 - FY14 Purchase of land or easements




Operating Impact    $0

                         FY12           FY13             FY14            FY15            FY16           Totals
Funding Sources
 General Fund       $            - $    39,000       $           - $             - $              - $    39,000
 State VDOA Grant                -      58,500                   -               -                -      58,500
 FAA Grant                       -   1,852,500                   -               -                -   1,852,500
Total Sources       $            - $ 1,950,000       $           - $             - $              - $ 1,950,000

Funding Uses
 Land               $            - $ 1,950,000       $           -                 $              - $ 3,900,000
Total Uses          $            - $ 1,950,000       $           - $             - $              - $ 1,950,000




                                                         258
                                              PUBLIC WORKS




Department:         Airport

Project:            Terminal Building Improvements

Location:           Hanover County Airport, 11152 Airpark Road, Ashland VA 23005

Description:        The 2000 Airport Master Plan envisions a new Terminal Building to service the East side
                    terminal area. The terminal building will service all areas of aviation including flight training,
                    maintenance and customer/passenger waiting areas. A feasibility study will identify
                    requirements including square footage plus the amount of funding by the Virginia Department
                    of Aviation. Design will include the architectural, structural, and civil design of the building
                    and will establish the engineers cost estimate to construct. A preliminary construction cost
                    estimate is $2.2 million dollars.

Useful Life:        25 Years



Timetable:          FY15 Feasibility Study and Design of Terminal Building. Terminal Building construction


                    anticipated in FY17-FY18

Operating Impact    $0

                         FY12            FY13            FY14             FY15            FY16            Totals
Funding Sources
 General Fund       $            - $              - $             - $       55,000    $            - $       55,000
 State VDOA Grant                -                -               -        220,000                 -        220,000
Total Sources       $            - $              - $             - $      275,000    $            - $      275,000

Funding Uses
 Professional
 Services           $            - $              - $             - $      275,000    $            - $      275,000
Total Uses          $            - $              - $             - $      275,000    $            - $      275,000




                                                        259
                                       PUBLIC UTILITIES

The Public Utilities Department is located at the Hanover County Complex on Rt. 301. Capital
improvements (e.g., water/sewer lines) are shown with a map, if applicable. Refer to the description of
the Public Utilities Department in the operating budget document for a comprehensive overview of the
utility system.




                                                  260
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Brooking Way Waterline Improvements

Location:          Along Brooking Way from Shannonwood Court to Cold Harbor Road

Description:       This project provides for the FY12 design and construction of approximately 500' of 12"
                   waterline extension from its terminus on Brooking Way near Shannonwood Court to Cold
                   Harbor Road. This project will improve water distribution and fire flow in this area, as well as
                   transmission capacity to the Creighton Road Water Tank and eastern end of DPU's water system.

Timetable:         Design and Construction (FY12)




                        FY12              FY13           FY14           FY15            FY16            Totals
Funding Sources
User Fees          $         -        $          -   $          -   $          -    $          -    $         -
Capacity Fees            120,000                 -              -              -               -          120,000
Long Term Debt               -                   -              -              -               -              -
Total Sources      $     120,000      $          -   $          -   $          -    $          -    $     120,000

Funding Uses
Professional       $      20,000      $          -   $          -   $          -    $          -    $      20,000
Land                         -                   -              -              -               -              -
Construction             100,000                 -              -              -               -          100,000
Total Uses         $     120,000      $          -   $          -   $          -    $          -    $     120,000




                                                         261
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Cedar Lane Waterline Improvements

Location:          Along Cedar Lane from Cedarlea Parkway to Route 1

Description:       This project provides for the FY15 design and easement acquisition and FY17 construction of
                   approximately 8,600' of 16" waterline from Cedarlea along Cedar Lane to Route 1. This
                   waterline project provides improved water distribution service for both domestic service and fire
                   suppression use along Cedar Lane and will support the Cedar Lane-Winns Church Road-Route
                   33 waterline project.

Timetable:         Design and Easement Acquisition (FY15)




                        FY12              FY13           FY14           FY15             FY16            Totals
Funding Sources
User Fees          $           -      $          -   $          -   $         -      $          -    $        -
Capacity Fees                  -                 -              -             -                 -             -
Long Term Debt                 -                 -              -         530,000               -         530,000
Total Sources      $           -      $          -   $          -   $     530,000    $          -    $    530,000

Funding Uses
Professional       $           -      $          -   $          -   $     265,000    $          -    $    265,000
Land                           -                 -              -         265,000               -         265,000
Construction                   -                 -              -             -                 -             -
Total Uses         $           -      $          -   $          -   $     530,000    $          -    $    530,000




                                                         262
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Chamberlayne Road Waterline Improvements

Location:          Along Chamberlayne Road from Shady Grove Road to Crown Colony Parkway (FMP W34)

Description:       This project provides for the FY10 design and easement acquisition and FY16 construction of
                   4,530' of 24" and 339' of 16" waterline from Shady Grove Road to Crown Colony Parkway
                   along Chamberlayne Road during FY16. This waterline improvement provides increased
                   transmission capacity to the planned Garnett/Ashcake Road Water Storage Tank and Pump
                   Station while maintaining pressure for domestic service and fire suppression use in the
                   Chamberlayne Road and New Ashcake Road areas.

Timetable:         Construction (FY16)




                        FY12              FY13           FY14           FY15           FY16            Totals
Funding Sources
User Fees          $           -      $          -   $          -   $          -   $         -     $         -
Capacity Fees                  -                 -              -              -       1,200,000       1,200,000
Long Term Debt                 -                 -              -              -             -               -
Total Sources      $           -      $          -   $          -   $          -   $   1,200,000   $   1,200,000

Funding Uses
Professional       $           -      $          -   $          -   $          -   $         -     $         -
Land                           -                 -              -              -             -               -
Construction                   -                 -              -              -       1,200,000       1,200,000
Total Uses         $           -      $          -   $          -   $          -   $   1,200,000   $   1,200,000




                                                         263
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Cold Harbor Road Waterline Improvements

Location:          Along Cold Harbor Road from Mary Esther Lane to Bonniefield Drive

Description:       This project provides for the FY15 design and easement acquisition and FY16 construction of
                   approximately 4,200' of 16" waterline along Cold Harbor Road from Mary Esther Lane to
                   Bonniefield Drive near Cold Harbor Estates. This project will improve water distribution and
                   fire flow in this area, as well as transmission capacity to the Creighton Road Water Tank and
                   eastern end of DPU's water system.

Timetable:         Design and Easement Acquisition (FY15); Construction (FY16)




                        FY12              FY13           FY14           FY15           FY16           Totals
Funding Sources
User Fees          $           -      $          -   $          -   $        -     $        -     $         -
Capacity Fees                  -                 -              -            -              -               -
Long Term Debt                 -                 -              -        191,000        854,000       1,045,000
Total Sources      $           -      $          -   $          -   $    191,000   $    854,000   $   1,045,000

Funding Uses
Professional       $           -      $          -   $          -   $    106,000   $        -     $     106,000
Land                           -                 -              -         85,000            -            85,000
Construction                   -                 -              -            -          854,000         854,000
Total Uses         $           -      $          -   $          -   $    191,000   $    854,000   $   1,045,000




                                                         264
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Grassy Swamp Water Storage Tank and Booster Station

Location:          Intersection of Cedar Lane and Karen Drive (FMP W93 & W94)

Description:       This project provides for the FY16 design and FY18 construction of a 1 MG water storage tank
                   and a 3 MGD pump station to be located near the intersection of Cedar Lane and Karen Drive.
                   This project provides water storage to the southwestern portions of the SSA and is needed to
                   provide adequate system pressures and fire flows in the far western portions of the growth area.

Timetable:         Design (FY16)




                       FY12               FY13           FY14           FY15            FY16            Totals
Funding Sources
User Fees          $          -       $          -   $          -   $          -    $        -      $         -
Capacity Fees                 -                  -              -              -             -                -
Long Term Debt                -                  -              -              -         697,000          697,000
Total Sources      $          -       $          -   $          -   $          -    $    697,000    $     697,000

Funding Uses
Professional       $          -       $          -   $          -   $          -    $    697,000    $     697,000
Land                          -                  -              -              -             -                -
Construction                  -                  -              -              -             -                -
Total Uses         $          -       $          -   $          -   $          -    $    697,000    $     697,000




                                                         265
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Hanover-Richmond Joint Capital Contract Payment

Description:       This project provides for water resource development to serve the Suburban Service Area via a
                   water transmission pipeline from the City of Richmond. Included in this project is $25,356,740
                   over five years for jointly funded capital improvements in the City.

Timetable:         Annual Joint Capital Costs



                        FY12              FY13          FY14            FY15            FY16            Totals
Funding Sources
User Fees          $         -        $       -     $         -     $         -     $         -     $        -
Capacity Fees                -          1,679,128       2,636,777       4,067,530       3,667,545     12,050,980
Long Term Debt         1,254,781        1,679,128       2,636,776       4,067,530       3,667,545     13,305,760
Total Sources      $   1,254,781      $ 3,358,256   $   5,273,553   $   8,135,060   $   7,335,090   $ 25,356,740

Funding Uses
Professional       $         -        $       -     $         -     $         -     $         -     $        -
Land                         -                -               -               -               -              -
Construction                 -                -               -               -               -              -
Joint Capital          1,254,781        3,358,256       5,273,553       8,135,060       7,335,090     25,356,740
Total Uses         $   1,254,781      $ 3,358,256   $   5,273,553   $   8,135,060   $   7,335,090   $ 25,356,740




                                                        266
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           I-95 Waterline Crossing at Long Road

Location:          From Ashcake Road across I-95 to Long Road and from Long Road to Harley Club Drive (FMP
                   W38 - Modified Phase 1)

Description:       This project provides for the FY16 design and easement acquisition and FY18 construction of
                   approximately 1,200' of 20" waterline extending from the northern end of the existing 12"
                   waterline on Ashcake Road across I-95 to Long Road where the waterline will be stubbed
                   toward Ashland and a 12" waterline extended approximately 750' to tie to the existing 12"
                   waterline in Harley Club Drive. This waterline will provide increased domestic water supply
                   and fire protection to the Ashland pressure zone to meet projected demands.

Timetable:         Design and Easement Acquisition (FY16)




                        FY12              FY13           FY14           FY15           FY16           Totals
Funding Sources
User Fees          $           -      $          -   $          -   $          -   $        -     $        -
Capacity Fees                  -                 -              -              -        141,000        141,000
Long Term Debt                 -                 -              -              -            -              -
Total Sources      $           -      $          -   $          -   $          -   $    141,000   $    141,000

Funding Uses
Professional       $           -      $          -   $          -   $          -   $     70,500   $     70,500
Land                           -                 -              -              -         70,500         70,500
Construction                   -                 -              -              -            -              -
Total Uses         $           -      $          -   $          -   $          -   $    141,000   $    141,000




                                                         267
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Lockwood Pump Station Improvements

Location:          Lockwood Pump Station on Richfood Road (FMP W53)
Description:       This project provides additional pumping capacity at the Lockwood Water Pump Station. The
                   FY14-FY15 improvements will increase pumping capacity from 15 MGD to 20 MGD.
Timetable:         Design (FY14); Construction (FY15)




                        FY12              FY13           FY14           FY15            FY16           Totals
Funding Sources
User Fees          $           -      $          -   $        -     $         -     $          -   $         -
Capacity Fees                  -                 -        391,000       1,390,000              -       1,781,000
Long Term Debt                 -                 -            -               -                -             -
Total Sources      $           -      $          -   $    391,000   $   1,390,000   $          -   $   1,781,000

Funding Uses
Professional       $           -      $          -   $    391,000   $         -     $          -   $     391,000
Land                           -                 -            -               -                -             -
Construction                   -                 -            -         1,390,000              -       1,390,000
Total Uses         $           -      $          -   $    391,000   $   1,390,000   $          -   $   1,781,000




                                                         268
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Meadowbridge Road Waterline Improvements

Location:          Along Meadowbridge Road from the Memorial Regional Medical Center entrance to Shady
                   Grove Road (FMP W77)

Description:       This project provides for the FY14 design and easement acquisition and FY15 construction of
                   2,800' of 16" waterline from the east entrance of Memorial Regional Medical Center to Shady
                   Grove Road. This waterline will provide increased water supply to the Mechanicsville area to
                   meet projected demands.

Timetable:         Design and Easement Acquisition (FY14); Construction (FY15)




                        FY12              FY13           FY14           FY15           FY16           Totals
Funding Sources
User Fees          $           -      $          -   $        -     $        -     $          -   $        -
Capacity Fees                  -                 -            -              -                -            -
Long Term Debt                 -                 -        172,000        701,000              -        873,000
Total Sources      $           -      $          -   $    172,000   $    701,000   $          -   $    873,000

Funding Uses
Professional       $           -      $          -   $     86,000   $        -     $          -   $     86,000
Land                           -                 -         86,000            -                -         86,000
Construction                   -                 -            -          701,000              -        701,000
Total Uses         $           -      $          -   $    172,000   $    701,000   $          -   $    873,000




                                                         269
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           New Ashcake Road Waterline Improvements

Location:          Along New Ashcake Road from Linderwood Drive to Sliding Hill Road (FMP W14)

Description:       This project provides for the FY16 design and easement acquisition and FY18 construction of
                   approximately 5,000' of 24" waterline along New Ashcake Road from Linderwood Drive (end of
                   the existing 20") to the vicinity of the intersection of New Ashcake and Sliding Hill Roads,
                   where it will tie to the existing 24" waterline. This waterline improvement provides increased
                   transmission capacity to the planned Garnett/Ashcake Road Water Storage Tank and Pump
                   Station while maintaining pressure for domestic service and fire suppression use along New
                   Ah k R d
Timetable:         Design and Easement Acquisition (FY16)




                        FY12              FY13           FY14           FY15           FY16           Totals
Funding Sources
User Fees          $           -      $          -   $          -   $          -   $        -     $         -
Capacity Fees                  -                 -              -              -        322,000         322,000
Long Term Debt                 -                 -              -              -            -               -
Total Sources      $           -      $          -   $          -   $          -   $    322,000   $     322,000

Funding Uses
Professional       $           -      $          -   $          -   $          -   $    161,000   $     161,000
Land                           -                 -              -              -        161,000         161,000
Construction                   -                 -              -              -            -               -
Total Uses         $           -      $          -   $          -   $          -   $    322,000   $     322,000




                                                         270
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Route 360 Waterline Improvements

Location:          Along Route 360 from near Vanguard Drive to Walnut Grove Road (FMP W86)

Description:       This project provides for the FY15 design and easement acquisition and FY16 construction of
                   2,500' of 12" waterline on Route 360 to the intersection of Route 360 and Walnut Grove Road.
                   This project will provide improved water distribution service for both domestic and fire
                   suppression use through Route 360 and the Walnut Grove Road areas.

Timetable:         Design and Easement Acquisition (FY15); Construction (FY16)




                        FY12              FY13           FY14           FY15          FY16           Totals
Funding Sources
User Fees          $           -      $          -   $          -   $       -     $        -     $        -
Capacity Fees                  -                 -              -           -              -              -
Long Term Debt                 -                 -              -        90,800        475,000        565,800
Total Sources      $           -      $          -   $          -   $    90,800   $    475,000   $    565,800

Funding Uses
Professional       $           -      $          -   $          -   $    45,400   $        -     $     45,400
Land                           -                 -              -        45,400            -           45,400
Construction                   -                 -              -           -          475,000        475,000
Total Uses         $           -      $          -   $          -   $    90,800   $    475,000   $    565,800




                                                         271
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Route 1 Waterline Improvements

Location:          Along Route 1 from VA Warehousing to Chandler Lane
Description:       This project provides for the FY15 design and easement acquisition and FY16 construction of
                   1,600' of 12" waterline along Route 1 from VA Warehousing to Chandler Lane. This project
                   will provide improved water distribution service for both domestic and fire suppression use
                   along Route 1.

Timetable:         Design and Easement Acquisition (FY15); Construction (FY16)




                        FY12              FY13           FY14           FY15           FY16           Totals
Funding Sources
User Fees          $           -      $          -   $          -   $        -     $        -     $        -
Capacity Fees                  -                 -              -        105,000        272,000        377,000
Long Term Debt                 -                 -              -            -              -              -
Total Sources      $           -      $          -   $          -   $    105,000   $    272,000   $    377,000

Funding Uses
Professional       $           -      $          -   $          -   $     25,000   $        -     $     25,000
Land                           -                 -              -         80,000            -           80,000
Construction                   -                 -              -            -          272,000        272,000
Total Uses         $           -      $          -   $          -   $    105,000   $    272,000   $    377,000




                                                         272
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Shady Grove Road Waterline Improvements

Location:          Along Shady Grove Road from Kelley Drive to Mountain Lily Lane (FMP W11)

Description:       This project provides for the FY11 design and easement acquisition and FY12 construction of
                   600' of 16" waterline on Shady Grove Road from Kelley Drive to Mountain Lily Lane. This
                   project provides an interconnection and allows distribution to the eastern portion of the
                   Lockwood Pressure Zone.

Timetable:         Construction (FY12)




                        FY12              FY13           FY14           FY15           FY16           Totals
Funding Sources
User Fees          $         -        $          -   $          -   $          -   $          -   $        -
Capacity Fees            154,000                 -              -              -              -        154,000
Long Term Debt               -                   -              -              -              -            -
Total Sources      $     154,000      $          -   $          -   $          -   $          -   $    154,000

Funding Uses
Professional       $         -        $          -   $          -   $          -   $          -   $        -
Land                         -                   -              -              -              -            -
Construction             154,000                 -              -              -              -        154,000
Total Uses         $     154,000      $          -   $          -   $          -   $          -   $    154,000




                                                         273
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Sliding Hill Road Waterline Improvements

Location:          Along Sliding Hill Road from the end of the current VDOT road improvement to Countryside
                   Lane (FMP W19 Modified Phase 1)

Description:       This project provides for FY11 design and easement acquisition and FY12 construction of 1,050'
                   of 20" waterline along Sliding Hill Road from the end of the current VDOT road improvement
                   project to Countryside Lane. This project is necessary in order to utilize the existing 20"
                   waterline in Sliding Hill Road, improve system reliability, prepare for the future
                   Garnett/Ashcake Road Water Storage Tank and Pump Station, and provide additional
                   transmission capacity for future CIP projects in this area.

Timetable:         Construction (FY12)




                        FY12              FY13           FY14           FY15           FY16           Totals
Funding Sources
User Fees          $         -        $          -   $          -   $          -   $          -   $         -
Capacity Fees                -                   -              -              -              -             -
Long Term Debt           262,500                 -              -              -              -         262,500
Total Sources      $     262,500      $          -   $          -   $          -   $          -   $     262,500

Funding Uses
Professional       $         -        $          -   $          -   $          -   $          -   $         -
Land                         -                   -              -              -              -             -
Construction             262,500                 -              -              -              -         262,500
Total Uses         $     262,500      $          -   $          -   $          -   $          -   $     262,500




                                                         274
                                              PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Walnut Grove Waterline Improvements

Location:          Along Walnut Grove Road from Route 360 to Old Calvary Drive (FMP W16)

Description:       This project provides for the FY12 design and easement acquisition and FY13 construction of
                   1,700' of 12" waterline from its terminus on Walnut Grove Road near Battlefield Park
                   Elementary School, across Route 360 to Old Calvary Drive. This project is required to improve
                   fire flow in the Battlefield Park Elementary School and Battlefield Green Subdivision areas.

Timetable:         Design and Easement Acquisition (FY12); Construction (FY13)




                        FY12              FY13           FY14           FY15           FY16           Totals
Funding Sources
User Fees          $         -        $        -     $          -   $          -   $          -   $        -
Capacity Fees             81,000           297,000              -              -              -        378,000
Long Term Debt               -                 -                -              -              -            -
Total Sources      $      81,000      $    297,000   $          -   $          -   $          -   $    378,000

Funding Uses
Professional       $      45,000      $        -     $          -   $          -   $          -   $     45,000
Land                      36,000               -                -              -              -         36,000
Construction                 -             297,000              -              -              -        297,000
Total Uses         $      81,000      $    297,000   $          -   $          -   $          -   $    378,000




                                                         275
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Beaverdam Wastewater Pump Station Improvements

Location:          Beaverdam Wastewater Pump Station

Description:       This project was deferred from FY11 and includes all construction costs to install corrosion and
                   odor control facilities at the Beaverdam Pump Station. Project based on the July 2007 study
                   conducted by O'Brien and Gere - the most cost effective solution is to install the ECO2
                   (Superoxygenation) with onsite generation of oxygen.

Timetable:         Design (FY13); Construction (FY14)




                        FY12              FY13          FY14            FY15            FY16            Totals
Funding Sources
User Fees          $           -      $       -     $        -      $          -    $          -    $         -
Capacity Fees                  -           61,000        437,000               -               -          498,000
Long Term Debt                 -              -              -                 -               -              -
Total Sources      $           -      $    61,000   $    437,000    $          -    $          -    $     498,000

Funding Uses
Professional       $           -      $    61,000   $        -      $          -    $          -    $      61,000
Land                           -              -              -                 -               -              -
Construction                   -              -          437,000               -               -          437,000
Total Uses         $           -      $    61,000   $    437,000    $          -    $          -    $     498,000




                                                        276
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           North Doswell Sewerage Improvements

Location:          Pump station in the vicinity of the Doswell Water Treatment Plant access road off of Rt. 30.
                   Force main to extend from pump station along the Doswell Water Treatment Plant access road
                   and discharge to a proposed extension of the existing gravity sewer (FMP S92 FM, S91 PS, S90
                   GS)
Description:       This project provides for the FY09 design, FY10 easement acquisition and FY16 construction
                   of a .9 MGD pump station, 2,300' of 10" force main, and 4,400' of 18" gravity trunk sewer. The
                   pump station is to be north of Rt. 30 in the vicinity of where the Doswell Water Treatment Plant
                   access road crosses an unnamed creek with the force main heading south and then east to an
                   extension of the existing gravity sewer. A gravity trunk sewer will extend approximately 4,000'
                   from the pump station up the unnamed creek and then parallel to Doswell Road to just east of I-
                   95. The project provides service to the Doswell area generally north of Rt. 30 to just east of
                   where I-95 crosses Doswell Road.

Timetable:         Construction (FY16)




                        FY12              FY13           FY14           FY15            FY16            Totals
Funding Sources
User Fees          $           -      $          -   $          -   $          -    $         -     $         -
Capacity Fees                  -                 -              -              -        3,605,000       3,605,000
Long Term Debt                 -                 -              -              -              -               -
Total Sources      $           -      $          -   $          -   $          -    $   3,605,000   $   3,605,000

Funding Uses
Professional       $           -      $          -   $          -   $          -    $         -     $         -
Land                           -                 -              -              -              -               -
Construction                   -                 -              -              -        3,605,000       3,605,000
Total Uses         $           -      $          -   $          -   $          -    $   3,605,000   $   3,605,000




                                                         277
                                               PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Totopotomoy Wastewater Treatment Plant Expansion

Location:          Totopotomoy Wastewater Treatment Plant

Description:       This project provides for the phased in expansion of the Totopotomoy Wastewater Treatment
                   Plant from 7 MGD to 10 MGD. Expansion related upgrades include 2 BTF units, blowers,
                   additional UV disinfection units, effluent pumps, supplemental carbon addition, influent screen
                   and other related items. It is anticipated that the first phase will include the upgrade of the
                   blowers.
Timetable:         Construction (FY13-FY16)




                        FY12              FY13            FY14           FY15           FY16            Totals
Funding Sources
User Fees          $           -      $         -     $          -   $          -   $         -     $         -
Capacity Fees                  -                -                -              -             -               -
Long Term Debt                 -          2,000,000              -              -       2,300,000       4,300,000
Total Sources      $           -      $   2,000,000   $          -   $          -   $   2,300,000   $   4,300,000

Funding Uses
Professional       $           -      $         -     $          -   $          -   $         -     $         -
Land                           -                -                -              -             -               -
Construction                   -          2,000,000              -              -       2,300,000       4,300,000
Total Uses         $           -      $   2,000,000   $          -   $          -   $   2,300,000   $   4,300,000




                                                          278
                                              PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Dianne Ridge Water Treatment

Location:          Dianne Ridge Subdivision

Description:       This project was deferred from FY11 and provides funding for treatment of the well water for
                   removal of gross alpha should levels increase beyond Maximum Contaminant Level.
                   Historically the well water has been in compliance with EPA/VDH regulations but levels have
                   been increasing over the years.

Timetable:         Design (FY13); Construction (FY15)




                        FY12              FY13          FY14           FY15           FY16           Totals
Funding Sources
User Fees          $           -      $    39,000   $          -   $    102,000   $          -   $    141,000
Capacity Fees                  -              -                -            -                -            -
Long Term Debt                 -              -                -            -                -            -
Total Sources      $           -      $    39,000   $          -   $    102,000   $          -   $    141,000

Funding Uses
Professional       $           -      $    39,000   $          -   $        -     $          -   $     39,000
Land                           -              -                -            -                -            -
Construction                   -              -                -        102,000              -        102,000
Total Uses         $           -      $    39,000   $          -   $    102,000   $          -   $    141,000




                                                        279
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Atlee Station Road Waterline Interconnect Near Beechwood Farms

Location:          Along Atlee Station Road near Beechwood Farms

Description:       This project provides for the FY12 design and construction of approximately 200' of 8"
                   waterline to interconnect the existing 6" waterline along the south side of Atlee Station Road
                   with the existing 16" waterline along the north side to improve water distribution, fire
                   suppression, and reliability of water service.
Timetable:         Design and Construction (FY12)




                        FY12              FY13           FY14           FY15           FY16           Totals
Funding Sources
User Fees          $      72,000      $          -   $          -   $          -   $          -   $      72,000
Capacity Fees                -                   -              -              -              -             -
Long Term Debt               -                   -              -              -              -             -
Total Sources      $      72,000      $          -   $          -   $          -   $          -   $      72,000

Funding Uses
Professional       $       8,000      $          -   $          -   $          -   $          -   $       8,000
Land                         -                   -              -              -              -             -
Construction              64,000                 -              -              -              -          64,000
Total Uses         $      72,000      $          -   $          -   $          -   $          -   $      72,000




                                                         280
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           New Ashcake Road Waterline Interconnect at Pearson's Corner Elementary School

Location:          Along New Ashcake Road at Pearson's Corner Elementary School

Description:       This project provides for the FY12 design and construction of approximately 110' of 8"
                   waterline to interconnect the existing 6" waterline along the north side of New Ashcake Road
                   with the existing 20" waterline on the south side to improve water distribution, fire suppression,
                   and reliability of service.
Timetable:         Design and Construction (FY12)




                        FY12              FY13           FY14            FY15            FY16             Totals
Funding Sources
User Fees          $      60,000      $          -   $          -    $          -    $          -     $      60,000
Capacity Fees                -                   -              -               -               -               -
Long Term Debt               -                   -              -               -               -               -
Total Sources      $      60,000      $          -   $          -    $          -    $          -     $      60,000

Funding Uses
Professional       $       7,000      $          -   $          -    $          -    $          -     $       7,000
Land                         -                   -              -               -               -               -
Construction              53,000                 -              -               -               -            53,000
Total Uses         $      60,000      $          -   $          -    $          -    $          -     $      60,000




                                                         281
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Route 30 Waterline Interconnect and Valving

Location:          Along Route 30 at Doswell Road

Description:       This projects provides for the FY12 design and construction of approximately 100' of 12"
                   waterline to interconnect the existing 8" waterline along the south side of Route 30 with the
                   existing 12" waterline on the Kings Dominion Dormitory site and to add two 18" valves to the
                   existing 18" waterline on the north side of Route 30 near the intersection of Route 30 and
                   Doswell Road to improve water distribution, fire suppression, and reliability of water service.

Timetable:         Design and Construction (FY12)




                        FY12              FY13           FY14           FY15           FY16            Totals
Funding Sources
User Fees          $      73,000      $          -   $          -   $          -   $          -    $      73,000
Capacity Fees                -                   -              -              -              -              -
Long Term Debt               -                   -              -              -              -              -
Total Sources      $      73,000      $          -   $          -   $          -   $          -    $      73,000

Funding Uses
Professional       $       8,000      $          -   $          -   $          -   $          -    $       8,000
Land                         -                   -              -              -              -              -
Construction              65,000                 -              -              -              -           65,000
Total Uses         $      73,000      $          -   $          -   $          -   $          -    $      73,000




                                                         282
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Route 360 at Bell Creek Road Waterline Improvements

Location:          Across and along Route 360 at Bell Creek Road and Hanover Village Shopping Center
Description:       This project provides for the FY15 design and construction of approximately 550' of 12"
                   waterline across and parallel to Route 360 within the limits of the proposed VDOT road
                   widening project. This project provides improved water distribution service for both domestic
                   service and fire suppression along Mechanicsville Turnpike (i.e. Rt. 360).

Timetable:         Design and Construction (FY15)




                        FY12              FY13           FY14           FY15           FY16           Totals
Funding Sources
User Fees          $           -      $          -   $          -   $    282,000   $          -   $    282,000
Capacity Fees                  -                 -              -            -                -            -
Long Term Debt                 -                 -              -            -                -            -
Total Sources      $           -      $          -   $          -   $    282,000   $          -   $    282,000

Funding Uses
Professional       $           -      $          -   $          -   $     22,000   $          -   $     22,000
Land                           -                 -              -            -                -            -
Construction                   -                 -              -        260,000              -        260,000
Total Uses         $           -      $          -   $          -   $    282,000   $          -   $    282,000




                                                         283
                                              PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Doswell Water Treatment Plant Sludge Collector Drive

Location:          Doswell Water Treatment Plant

Description:       FY13 replacement of the existing sludge collector drive in basin #3 of the Doswell Water
                   Treatment Plant that is approaching the end of its 20 year useful life (2011). This unit is critical
                   to the plant and capacity will be reduced by 1/3 if it fails.


Timetable:         FY13




                        FY12              FY13           FY14             FY15             FY16            Totals
Funding Sources
User Fees          $           -      $    70,000    $          -     $          -     $          -    $      70,000
Capacity Fees                  -              -                 -                -                -              -
Long Term Debt                 -              -                 -                -                -              -
Total Sources      $           -      $    70,000    $          -     $          -     $          -    $      70,000

Funding Uses
Professional       $           -      $       -      $          -     $          -     $          -    $         -
Land                           -              -                 -                -                -              -
Equipment                      -           70,000               -                -                -           70,000
Construction                   -              -                 -                -                -              -
Total Uses         $           -      $    70,000    $          -     $          -     $          -    $      70,000




                                                         284
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Race Course Street Waterline Improvements

Location:          Along Race Course Street between Duncan Street and South Center Street

Description:       This project provides for the FY14 design and construction of replacing 450' of 4" cast iron
                   waterline between Duncan Street and South Center Street with new 4" PVC as the existing line
                   has exceeded its service life. This project will improve water quality and pressure along this
                   portion of Race Course Street.
Timetable:         Design and Construction (FY14)




                        FY12              FY13           FY14           FY15           FY16           Totals
Funding Sources
User Fees          $           -      $          -   $    65,400    $          -   $          -   $      65,400
Capacity Fees                  -                 -           -                 -              -             -
Long Term Debt                 -                 -           -                 -              -             -
Total Sources      $           -      $          -   $    65,400    $          -   $          -   $      65,400

Funding Uses
Professional       $           -      $          -   $     17,000   $          -   $          -   $      17,000
Land                           -                 -            -                -              -             -
Equipment                      -                 -            -                -              -             -
Construction                   -                 -         48,400              -              -          48,400
Total Uses         $           -      $          -   $     65,400   $          -   $          -   $      65,400




                                                         285
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           South Anna Water Treatment Plant Upgrade

Location:          South Anna Water Treatment Plant

Description:       The South Anna Water Treatment Plant was taken out of service in 1999 because it was neither
                   cost effective to have it in service, nor was it equipped to meet all VDH regulatory requirements.
                   This project will include design and construction necessary to upgrade the water treatment plant
                   to current VDH standards at its existing capacity of 2.0 MGD.

Timetable:         Design and Construction (FY16)




                        FY12              FY13           FY14            FY15            FY16             Totals
Funding Sources
User Fees          $           -      $          -   $          -    $          -    $   1,600,000    $   1,600,000
Capacity Fees                  -                 -              -               -              -                -
Long Term Debt                 -                 -              -               -              -                -
Total Sources      $           -      $          -   $          -    $          -    $   1,600,000    $   1,600,000

Funding Uses
Professional       $           -      $          -   $          -    $          -    $     165,000    $     165,000
Land                           -                 -              -               -              -                -
Construction                   -                 -              -               -        1,435,000        1,435,000
Total Uses         $           -      $          -   $          -    $          -    $   1,600,000    $   1,600,000




                                                         286
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Waterline Replacement

Location:          Suburban Service Area and Rural Systems

Description:       This project provides for the replacement of aged and undersized waterlines in various streets
                   within the Suburban Service Area and Rural Systems.

Timetable:         Design and Construction (FY12-FY16)



                        FY12              FY13           FY14           FY15           FY16            Totals
Funding Sources
User Fees          $      50,000      $    50,000    $    50,000    $    50,000    $     50,000    $    250,000
Capacity Fees                -                -              -              -               -               -
Long Term Debt               -                -              -              -               -               -
Total Sources      $      50,000      $    50,000    $    50,000    $    50,000    $     50,000    $    250,000

Funding Uses
Professional       $      6,250.0     $    6,250.0   $    6,250.0   $    6,250.0   $     6,250.0   $    31,250.0
Land                          -                -              -              -               -               -
Construction              43,750           43,750         43,750         43,750          43,750         218,750
Total Uses         $      50,000      $    50,000    $    50,000    $    50,000    $     50,000    $    250,000




                                                         287
                                              PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Water Tank Rehabilitation

Location:          Suburban Service Area and Rural Systems

Description:       This project provides for the continuing funding of rehabilitating existing water storage tanks
                   throughout the Suburban Service Area and Rural Systems. Specific and planned repairs are
                   scheduled for the following tanks: Rural Tank Sites (Georgetown, Dianne Ridge, Wickham)
                   FY13; Oakhill Hydro and Storage Tank FY15; Jackson Avenue Elevated Storage Tank FY16;
                   Pamunkey Regional Jail Tank FY17.


Timetable:         Design and Construction (FY12-FY16)




                        FY12              FY13           FY14           FY15           FY16            Totals
Funding Sources
User Fees          $           -      $    250,000   $          -   $    100,000   $     330,000   $     680,000
Capacity Fees                  -               -                -            -               -               -
Long Term Debt                 -               -                -            -               -               -
Total Sources      $           -      $    250,000   $          -   $    100,000   $     330,000   $     680,000

Funding Uses
Professional       $           -      $     25,000   $          -   $     10,000   $      30,000   $      65,000
Land                           -               -                -            -               -               -
Construction                   -           225,000              -         90,000         300,000         615,000
Total Uses         $           -      $    250,000   $          -   $    100,000   $     330,000   $     680,000




                                                         288
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Water Treatment Plant Rehabilitation

Location:          Doswell Water Treatment Plant

Description:       This project provides for the continuing funding of rehabilitating various equipment, structural
                   components and process enhancements at the Doswell Water Treatment Plant.

Timetable:         Design and Construction (FY12-FY16)




                        FY12              FY13            FY14          FY15            FY16            Totals
Funding Sources
User Fees          $      50,000      $          -   $     50,000   $      50,000   $      50,000   $     200,000
Capacity Fees                -                   -            -               -               -               -
Long Term Debt               -                   -            -               -               -               -
Total Sources      $      50,000      $          -   $     50,000   $      50,000   $      50,000   $     200,000

Funding Uses
Professional       $       6,250      $          -   $      6,250   $       6,250   $       6,250   $      25,000
Land                         -                   -            -               -               -               -
Construction              43,750                 -         43,750          43,750          43,750         175,000
Total Uses         $      50,000      $          -   $     50,000   $      50,000   $      50,000   $     200,000




                                                          289
                                              PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Ashland Wastewater Treatment Plant Alkalinity Feed System

Location:          Ashland Wastewater Treatment Plant

Description:       This project provides for adding an alkalinity feed system to the orbal Aerator at the Ashland
                   Wastewater Treatment Plant, including a tank, mixer, 3 feed pumps, tubing, electrical feeds and
                   other related items. The alkalinity feed system allows for better control of the pH and is a safer
                   method of application than adding chemicals by hand.

Timetable:         Design (FY12) & Construction (FY13)




                        FY12              FY13           FY14            FY15            FY16             Totals
Funding Sources
User Fees          $      25,000      $    100,000   $          -    $          -    $          -     $    125,000
Capacity Fees                -                 -                -               -               -              -
Long Term Debt               -                 -                -               -               -              -
Total Sources      $      25,000      $    100,000   $          -    $          -    $          -     $    125,000

Funding Uses
Professional       $      25,000      $        -     $          -    $          -    $          -     $     25,000
Land                         -                 -                -               -               -              -
Construction                 -             100,000              -               -               -          100,000
Total Uses         $      25,000      $    100,000   $          -    $          -    $          -     $    125,000




                                                         290
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Ashland Sewerline Rehabilitation - Area 1

Location:          Ashland Wastewater Treatment Plant drainage basin

Description:       Perform sewerline rehabilitation within the Ashland Wastewater Treatment Plant drainage basin.
                   This project consists of lining approximately 400' of pipe, installing approximately ten point
                   repair liners and repairing/sealing 50 lateral connections. These repairs are needed to correct
                   structural defects in the sewer pipes and reduce the volume of inflow and infiltration to the
                   sanitary sewer system.

Timetable:         Design and Construction (FY14)




                        FY12              FY13           FY14           FY15           FY16            Totals
Funding Sources
User Fees          $           -      $          -   $    191,000   $          -   $          -    $     191,000
Capacity Fees                  -                 -            -                -              -              -
Long Term Debt                 -                 -            -                -              -              -
Total Sources      $           -      $          -   $    191,000   $          -   $          -    $     191,000

Funding Uses
Professional       $           -      $          -   $     27,500   $          -   $          -    $      27,500
Land                           -                 -            -                -              -              -
Construction                   -                 -        163,500              -              -          163,500
Total Uses         $           -      $          -   $    191,000   $          -   $          -    $     191,000




                                                         291
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Ashland Sewerline Rehabilitation - Area 2

Location:          Ashland Wastewater Treatment Plant drainage basin

Description:       Perform sewerline rehabilitation within the Ashland Wastewater Treatment Plant drainage basin.
                   This project consists of lining approximately 2,500' of pipe, installing approximately five point
                   repair liners and repairing/sealing 40 lateral connections. These repairs are needed to correct
                   structural defects in sewer pipes, remove and prevent root intrusion and reduce the volume of
                   inflow and infiltration to the sanitary sewer system.

Timetable:         Design and Construction (FY15)




                        FY12              FY13           FY14           FY15             FY16            Totals
Funding Sources
User Fees          $           -      $          -   $          -   $     448,000    $          -    $    448,000
Capacity Fees                  -                 -              -             -                 -             -
Long Term Debt                 -                 -              -             -                 -             -
Total Sources      $           -      $          -   $          -   $     448,000    $          -    $    448,000

Funding Uses
Professional       $           -      $          -   $          -   $      56,000    $          -    $     56,000
Land                           -                 -              -             -                 -             -
Construction                   -                 -              -         392,000               -         392,000
Total Uses         $           -      $          -   $          -   $     448,000    $          -    $    448,000




                                                         292
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Ashland Sewerline Rehabilitation - Area 3

Location:          Ashland Wastewater Treatment Plant drainage basin

Description:       Perform sewerline rehabilitation within the Ashland Wastewater Treatment Plant drainage basin.
                   This project consists of replacing approximately 350' of pipe, lining approximately 400' of pipe
                   and repairing/sealing 15 lateral connections. These repairs are needed to correct structural
                   defects in the sewer pipes and reduce the volume of inflow and infiltration to the sanitary sewer
                   system.
Timetable:         Design and Construction (FY16)




                        FY12              FY13           FY14           FY15             FY16            Totals
Funding Sources
User Fees          $           -      $          -   $          -   $          -    $     201,500    $    201,500
Capacity Fees                  -                 -              -              -              -               -
Long Term Debt                 -                 -              -              -              -               -
Total Sources      $           -      $          -   $          -   $          -    $     201,500    $    201,500

Funding Uses
Professional       $           -      $          -   $          -   $          -     $     29,000    $     29,000
Land                           -                 -              -              -              -               -
Construction                   -                 -              -              -          172,500         172,500
Total Uses         $           -      $          -   $          -   $          -    $     201,500    $    201,500




                                                         293
                                              PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Country Club Hills Pump Station #1 Rehabilitation

Location:          Country Club Hills Pump Station #1 off Country Club Drive

Description:       Replacement of station piping, valving, pumps, complete rail system, fencing and landscaping.

Timetable:         Design & Construction (FY13)




                        FY12              FY13           FY14           FY15            FY16            Totals
Funding Sources
User Fees          $           -      $    111,000   $          -   $          -    $          -    $    111,000
Capacity Fees                  -               -                -              -               -             -
Long Term Debt                 -               -                -              -               -             -
Total Sources      $           -      $    111,000   $          -   $          -    $          -    $    111,000

Funding Uses
Professional       $           -      $     15,000   $          -   $          -    $          -    $     15,000
Land                           -               -                -              -               -             -
Construction                   -            96,000              -              -               -          96,000
Total Uses         $           -      $    111,000   $          -   $          -    $          -    $    111,000




                                                         294
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Doswell Wastewater Treatment Plant Equalization Tank Rehabilitation

Location:          Doswell Wastewater Treatment Plant

Description:       This project consists of the FY14 rehabilitation and recoating of the two steel equalization tanks
                   at the wastewater treatment plant. This includes cleaning, complete recoating of the interiors
                   and spot repair and recoating of the exteriors.

Timetable:         Design & Construction (FY14)




                        FY12              FY13           FY14            FY15            FY16             Totals
Funding Sources
User Fees          $           -      $          -   $    250,000    $          -    $          -     $    250,000
Capacity Fees                  -                 -            -                 -               -              -
Long Term Debt                 -                 -            -                 -               -              -
Total Sources      $           -      $          -   $    250,000    $          -    $          -     $    250,000

Funding Uses
Professional       $           -      $          -   $     50,000    $          -    $          -     $     50,000
Land                           -                 -            -                 -               -              -
Construction                   -                 -        200,000               -               -          200,000
Total Uses         $           -      $          -   $    250,000    $          -    $          -     $    250,000




                                                         295
                                              PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Henry Street Sewerline Rehabilitation

Location:          Along Henry Street from College Avenue to Archie Cannon Drive

Description:       This project provides for the rehabilitation and replacement of the Henry Street sewer main,
                   which is one of the main trunk lines through the Town and into the Ashland Wastewater
                   Treatment Plant. This main is approximately 4,500' in length and ranges from 19" to 24" in
                   diameter.
Timetable:         Design (FY13) & Construction (FY15)




                        FY12              FY13           FY14           FY15            FY16           Totals
Funding Sources
User Fees          $           -      $    150,000   $          -   $         -     $          -   $     150,000
Capacity Fees                  -               -                -             -                -             -
Long Term Debt                 -               -                -       1,300,000              -       1,300,000
Total Sources      $           -      $    150,000   $          -   $   1,300,000   $          -   $   1,450,000

Funding Uses
Professional       $           -      $    150,000   $          -   $         -     $          -   $     150,000
Land                           -               -                -             -                -             -
Construction                   -               -                -       1,300,000              -       1,300,000
Total Uses         $           -      $    150,000   $          -   $   1,300,000   $          -   $   1,450,000



                                                         296
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Route 360 Sanitary Sewerline Rehabilitation

Location:          Along Route 360 at Bell Creek Road

Description:       This project provides for design and construction of approximately 1,100' of sanitary sewer
                   rehabilitation along Route 360 in conjunction with the proposed VDOT project to widen Route
                   360 from I-295 to just east of Lee Davis Road. This rehabilitation is proposed as the existing
                   pipe will be in the through lanes of eastbound Route 360 once the road project is complete and
                   its future accessibility will be very limited.

Timetable:         Construction (FY15)




                        FY12              FY13           FY14           FY15           FY16           Totals
Funding Sources
User Fees          $           -      $          -   $          -   $    137,000   $          -   $     137,000
Capacity Fees                  -                 -              -            -                -             -
Long Term Debt                 -                 -              -            -                -             -
Total Sources      $           -      $          -   $          -   $    137,000   $          -   $     137,000

Funding Uses
Professional       $           -      $          -   $          -   $        -     $          -   $         -
Land                           -                 -              -            -                -             -
Construction                   -                 -              -        137,000              -         137,000
Total Uses         $           -      $          -   $          -   $    137,000   $          -   $     137,000




                                                         297
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Totopotomoy Wastewater Treatment Plant Nutrient Removal Improvements

Location:          Totopotomoy Wastewater Treatment Plant

Description:       The U.S. Environmental Protection Agency has established limits for the discharge of nutrients
                   by wastewater treatment plants as well as other sources into tributaries of the Chesapeake Bay.
                   The new limits established but the EPA are more stringent than those established by Virginia in
                   2005, and recently proposed by Virginia as updated limits. Ultimately major improvements will
                   be required for the Ashland, Doswell and Totopotomoy Wastewater Treatment Plants and these
                   improvements can be sequenced. The upgrade of the Totopotomoy Plant allows the
                   improvement to the other plants be deferred until approximately 2020. The improvements to the
                   Totopotomoy Plant primarily consist of the addition of effluent filters and a supplemental
                   carbon storage and feed system.

Timetable:         Construction (FY14-FY16)




                        FY12              FY13           FY14            FY15            FY16            Totals
Funding Sources
User Fees          $           -      $          -   $   2,500,000   $   2,500,000   $   2,500,000   $  7,500,000
Capacity Fees                  -                 -             -               -               -              -
Long Term Debt                 -                 -       2,500,000       2,500,000       2,500,000      7,500,000
Total Sources      $           -      $          -   $   5,000,000   $   5,000,000   $   5,000,000   $ 15,000,000

Funding Uses
Professional       $           -      $          -   $         -     $         -     $         -     $        -
Land                           -                 -             -               -               -              -
Construction                   -                 -       5,000,000       5,000,000       5,000,000     15,000,000
Total Uses         $           -      $          -   $   5,000,000   $   5,000,000   $   5,000,000   $ 15,000,000




                                                         298
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Sanitary Sewer and Facility Rehabilitation

Location:          Suburban and Courthouse Systems

Description:       This project provides for minor sanitary sewer and facility rehabilitation and improvements that
                   become necessary in order to maintain wastewater infrastructure.

Timetable:         Design and Construction (FY12-FY16)



                        FY12              FY13          FY14            FY15            FY16            Totals
Funding Sources
User Fees          $      50,000      $    50,000   $      50,000   $      50,000   $      50,000   $     250,000
Capacity Fees                -                -               -               -               -               -
Long Term Debt               -                -               -               -               -               -
Total Sources      $      50,000      $    50,000   $      50,000   $      50,000   $      50,000   $     250,000

Funding Uses
Professional       $       6,250      $     6,250   $       6,250   $       6,250   $       6,250   $      31,250
Land                         -                -               -               -               -               -
Construction              43,750           43,750          43,750          43,750          43,750         218,750
Total Uses         $      50,000      $    50,000   $      50,000   $      50,000   $      50,000   $     250,000




                                                        299
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Washington Highway Sewerline Rehabilitation

Location:          Along Washington Highway between College Avenue and Arbor Oak Drive

Description:       This project provides for the FY12 rehabilitation of approximately 2,100 linear feet of sewerline
                   and manholes along Washington Highway between College Avenue and Arbor Oak Drive.

Timetable:         Design & Construction (FY12)




                        FY12              FY13           FY14           FY15             FY16            Totals
Funding Sources
User Fees          $     300,000      $          -   $          -   $          -     $          -    $    300,000
Capacity Fees                -                   -              -              -                -             -
Long Term Debt               -                   -              -              -                -             -
Total Sources      $     300,000      $          -   $          -   $          -     $          -    $    300,000

Funding Uses
Professional       $      30,000      $          -   $          -   $          -     $          -    $     30,000
Land                         -                   -              -              -                -             -
Construction             270,000                 -              -              -                -         270,000
Total Uses         $     300,000      $          -   $          -   $          -     $          -    $    300,000




                                                         300
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Wastewater Treatment Plant Rehabilitation

Location:          Ashland, Doswell, Courthouse and Totopotomoy Wastewater Treatment Plants

Description:       This project provides for the continuing funding of rehabilitating existing wastewater treatment
                   plants (Ashland, Doswell, Courthouse and Totopotomoy).

Timetable:         Design & Construction (FY12-FY16)




                        FY12              FY13          FY14            FY15            FY16            Totals
Funding Sources
User Fees          $      50,000      $    50,000   $     50,000    $      50,000   $      50,000   $     250,000
Capacity Fees                -                -              -                -               -               -
Long Term Debt               -                -              -                -               -               -
Total Sources      $      50,000      $    50,000   $     50,000    $      50,000   $      50,000   $     250,000

Funding Uses
Professional       $       6,250      $     6,250   $      6,250    $       6,250   $       6,250   $      31,250
Land                         -                -              -                -               -               -
Construction              43,750           43,750         43,750           43,750          43,750         218,750
Total Uses         $      50,000      $    50,000   $     50,000    $      50,000   $      50,000   $     250,000




                                                        301
                                             PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Vacuum Excavator

Location:          N/A

Description:       FY15 replacement of vacuum excavator originally purchased in 2001.

Timetable:         FY15



                         FY12             FY13           FY14           FY15            FY16           Totals
Funding Sources
User Fees          $            -     $          -   $          -   $    81,000   $            -   $     81,000
Capacity Fees                   -                -              -           -                  -            -
Long Term Debt                  -                -              -           -                  -            -
Total Sources      $            -     $          -   $          -   $    81,000   $            -   $     81,000

Funding Uses
Professional       $            -     $          -   $          -   $       -     $            -   $        -
Land                            -                -              -           -                  -            -
Construction                    -                -              -           -                  -            -
Vacuum Excavator                -                -              -        81,000                -         81,000
Total Uses         $            -     $          -   $          -   $    81,000   $            -   $     81,000




                                                         302
                                              PUBLIC UTILITIES

Functional Area:   Public Utilities

Project:           Vehicle Replacement

Location:          N/A

Description:       FY12 - Replace sewer inspection CCTV van which was purchased in 1996. At the time of
                   replacement it will be 15 years old with a projected 90,000 to 100,000 miles.

Timetable:         Purchase Vehicles (FY12)



                         FY12             FY13           FY14           FY15           FY16           Totals
Funding Sources
User Fees          $      170,000     $          -   $          -   $          -   $          -   $    170,000
Capacity Fees                 -                  -              -              -              -            -
Long Term Debt                -                  -              -              -              -            -
Total Sources      $      170,000     $          -   $          -   $          -   $          -   $    170,000

Funding Uses
Professional       $          -       $          -   $          -   $          -   $          -   $        -
Land                          -                  -              -              -              -            -
Construction                  -                  -              -              -              -            -
Vehicles                  170,000                -              -              -              -        170,000
Total Uses         $      170,000     $          -   $          -   $          -   $          -   $    170,000




                                                         303
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               304
                                   Budget Directives
In September, all County department and agency heads are requested by the Director of Finance
to submit operating and capital improvement budget in accordance to the following guidelines:

1.     Operating Budget

       a)     Provide detailed descriptions of each line item request, highlighting any changes
              that have caused a fluctuation in amounts from one year to another. Detailed
              descriptions include, for example, listing of all memberships, dues, continuing
              education, professional service contracts and maintenance contracts.

       b)     Provide documentation for any requests for additional personnel or position
              changes, including detailed operating and capital costs incurred as a result of the
              additional personnel or position change, and an organizational chart indicating
              where this position is classified in relation to the department.

       c)     Provide a detailed justification of capital items greater than $5,000 unit cost
              submitted in the budget, including capital item name, whether capital item is a
              replacement or an addition, unit cost of capital item, and quantity of each item.

       d)     Verify all departmental positions, both vacant and filled, and proposed
              compensation as provided by the Finance department.

       e)     Departments charged with the oversight of the calculation and/or collection of
              revenue (tax, service fee, grant, etc.), must provide a detailed analysis of both
              demand factors and rates are formulated to calculate such revenue.

2.     Capital Budget

       a)     Submit justification and description of any major capital expenditure ($50,000 or
              more) complete with an analysis of impact on the operating budget for the
              following five years.

       b)     Provide documentation of any non-local funding (e.g. debt proceeds, grants, etc.)
              to be used to fund the capital project.

       c)     Construction projects must be supported with common attributes, such as square
              footage, and cost per square foot, and acreage.

3.     Five-Year Financial Plan

       a)     Submit justification and description of any service level change, additional
              personnel, position changes, or capital items for the following five fiscal years.

       b)     Provide documentation of any non-local funding for the Service Level Plan.




                                              305
                                          Budget Policy

  I.   Background
       A.    This policy prescribes procedures and requirements of the budget formulation
             process, including the adoption of the Five-Year Financial Plan and the Capital
             Improvements Program (CIP).
       B.    This budget policy also prescribes procedures and requirements of the budget
             management process.
 II.   Budget Calendar
       A.    The following guidelines will be used in establishing the annual budget calendar:

             1.     The proposed operating budget, Capital Improvements Program, and Five-
                    year Financial Plan will be presented by the fourth Wednesday in
                    February.
             2.     Informational budget sessions and workshops will be presented between
                    presentation of proposed budget and adoption of the budget, with special
                    meetings held by the Board if necessary.
             3.     The public hearing will generally be held by the first Wednesday in April
                    with consideration of the public hearing not being held the week of spring
                    break for the schools.
             4.     The budget shall be adopted in accordance with applicable statutes.

       B.    Budget Board meeting dates will be established as part of the Board of Supervisors’
             Meeting Schedule.
III.   Budget Guidelines
       A.    The overall objective of the budget is to provide a balanced financial plan in total
             and by fund that adheres to the County’s mission statement, long range strategic
             plans and/or current initiatives.
             A balanced budget is a budget with total expenditures equal to total revenues,
             including use of fund balance.
       B.    Initiatives that are presented to the Board of Supervisors should ensure compliance
             with the mission statement.
       C.    Annual recurring budget guidelines shall be focused in certain areas, with additional
             guidelines and/or objectives formulated, if applicable, by the County Administrator
             in the formulation of the proposed budget.

             1.     Priority service levels

                    a.      Education: Provide a funding plan for the Hanover County Schools
                            that maintains favorable student -teacher ratios, provides appropriate
                            instructional materials and provides appropriate capital infrastructure
                            to limit overcrowding.
                    b.      Public Safety: Provide staffing and equipment, for law enforcement
                            and public safety departments to ensure that desired standards can be
                            achieved and maintained in an effective and efficient manner.


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            2.     Sound financial management practices

                   a.      Mitigate the tax rate burden upon the citizens and dependency upon
                           the real property tax rate through provision of service delivery in the
                           most efficient and effective manner while maximizing opportunities
                           for additional revenues from non-local tax sources (e.g., State
                           revenues) and diversification of local revenue sources.
                   b.      Prepare and adopt Five-Year Financial Plans and Five-Year Capital
                           Improvements Program to describe funding sources and anticipated
                           expenditures for operating and capital needs.
                   c.      Provide recommendations which include recurring revenue to meet
                           recurring expenses.
                   d.      Ensure adequate reserves, limits on the County’s debt burden, and
                           maintenance or improvement of the County’s bond ratings.
                   e.      Include general obligation bond funding only if any required
                           referendum is anticipated to be supported by the community.

            3.     Employee Compensation

                   a.      Provide adequate employee compensation including consideration of
                           pay for performance increases, salary benchmark adjustments, if
                           applicable, and a comprehensive benefits plan.
                   b.      Ensure that compensation and benefits provided will be market
                           sensitive and enable the County and School system to attract and
                           retain outstanding employees.

            4.     Public Utilities

                   a.      Operate a water and wastewater system as a self-supporting
                           enterprise fund that provides high quality and reliable service
                           delivery to customers, including the development of a capital
                           improvement program.
                   b.      Limit user and/or capacity fee rate increases to that which is needed
                           to ensure long-term viability of the system.
IV.   Five-Year Capital Improvements Program
      A.    The Capital Improvements Program is a plan for capital expenditures and a means of
            planning for funding facilities, equipment, and vehicles with a unit cost greater than
            $50,000 during the next five fiscal years.
      B.    General governmental projects will be funded by General Fund revenues (i.e. "pay
            as you go funding"). In general at least 10% of the total five-year general
            government portion of the Capital Improvements Program should be funded by non-
            debt sources (e.g., General Fund, proffers and grants) over the five-year period.



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       C.      In designing a school capital improvement program, formulation of the Capital
               Improvements Program will illustrate that no individual school is over capacity by
               10% for more than three consecutive years without consideration of attendance
               boundary adjustments or other appropriate measures.
 V.    Five-Year Financial Plan
       A.      The plan will identify all major budget assumptions, including the anticipated
               collection of revenues, use of fund balance, expenditures, future operating costs of
               capital improvements, and proposed changes in service levels and fees.
       B.      The plan will clearly describe proposed service levels and the means to finance such
               service levels over the five-year period.
       C.      Compliance with debt and fund balance polices shall be maintained for each year of
               the plan.
       D.      Reserve for contingencies will be appropriated in the General Fund at an amount
               equal to at least 0.5% of the General Fund budget, net of capital improvement
               transfer.
       E.      Financial plans enable the funds subject to such plans to be managed to maintain
               financial stability over the long-term by identifying current trends and future
               challenges; identifying the most appropriate mix of funding sources; analyzing debt
               options and timing to minimize borrowing costs; encouraging strong fiscal and
               operational management; and encouraging consistency and financial integrity.
VI.    Public Utilities
       A.      The costs associated with providing water and wastewater service shall be allocated
               between service types, uniform for similar types and classes of customers, and
               separate rates shall be established for each service type to avoid subsidies between
               services and match costs to the benefits derived by the ratepayer.
       B.      Rates will be established using a generally accepted rate setting methodology that
               would include analysis of revenue requirements, cost of services, rate design and
               rate implementation impact.
       C.      Utility projects, including debt service as applicable, will be funded by capacity fees
               as it pertains to increased capacity and improvements for new customers and by user
               fees in the maintenance and rehabilitation of the overall system for the existing
               customer.
VII.   Budget Adoption
       A.      The budget adoption resolutions include approval for the reappropriation of all
               encumbered balances and capital project unencumbered balances at fiscal year-end.
       B.      All related ordinance changes and other budgetary issues requiring Board of
               Supervisors approval will be presented to the Board for consideration with the
               proposed budget adoption.
       C.      The Adopted Budget Document will be forwarded to the GFOA and other interested
               parties within 90 days of budget adoption for the Distinguished Budget Award
               program.



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VIII.   Budget Amendments
        A.     Budget authorization levels are classified in three tiers for all non-education funds as
               follows:

               1.     Department Heads are authorized to transfer up to $2,000 per month within
                      their departmental budget categories of personnel, operating or capital.
               2.     The County Administrator is authorized to:

                      a.      Transfer within departmental budget categories of personnel,
                              operating and capital.
                      b.      Transfer up to $25,000 per month between departmental budget
                              categories and/or departments and related capital project.
                      c.      Transfer up to $25,000 per topic or issue for any revenue change
                              (e.g., insurance recoveries, grants and gifts).
                      d.      Transfer reserve for contingencies to departmental and/or capital
                              budgets up to $5,000 per topic or issue involving need for such
                              reserve funding.

               3.     Approval of the Board is needed for all other transfers, including those
                      transfers that increase the County’s total appropriated budget.

        B.     Any transfer that increases the total revenues for any of the education funds shall
               require the approval of the Board of Supervisors following approval by the School
               Board.
        C.     All transfers requiring Board approval that have been initiated from the Community
               Services Board or Social Services Board must have prior approval by the
               appropriate Board, unless otherwise prescribed by the County Administrator.
        D.     Public hearings and associated notice for budget amendments will be conducted in
               accordance with applicable statutes.
 IX.    Reappropriation of Balances
        A.     Unencumbered funds for capital projects and encumbered funds, both operating and
               capital, are reappropriated annually by the Board of Supervisors during the budget
               approval process.
        B.     Except for those funds reappropriated by the Board, appropriations lapse on June 30.
        C.     A review of capital projects will be conducted at year end to determine the necessity
               for reappropriated funds. Those which are determined to be unnecessary will be
               transferred to other uses, as determined by the County Administrator.




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                           Budget Regulations

1.   Budget Objectives and Calendar
     a)    The County Administrator will identify proposed budget objectives and
           establish a budget schedule in conformance with County policy.
     b)    The budget objectives will provide policy direction for the formulation of the
           County Administrator's proposed budget and the budget calendar will
           identify important dates throughout the budget preparation and adoption
           period.
     c)    The following issues shall be considered in the development of budget
           objectives:
           i)     Adoption of budget, five-year financial plan and five-year capital
                  improvements program.
           ii)    Funding of school target methodology whereby the allocation of
                  General Fund monies for the education function corresponds to the
                  growth of on-going revenues (excluding revenues tied directly to a
                  general government service) and supported by defined objectives
                  (e.g., merit increases, inflation, enrollment growth, student-teacher
                  ratios).
           iii)   Anticipated property tax rate levels.
           iv)    Provision of adequate employee compensation including pay for
                  performance increases for County and School employees and salary
                  benchmark adjustments that will be market sensitive in ensuring the
                  County and School system retain and attract outstanding employees.
           v)     Compliance with financial policies and maintenance or enhancement
                  of bond ratings.
           vi)    Anticipated Public Utility rate levels and self-supporting nature of
                  Enterprise Funds.
     d)    The following items will be considered in conjunction with the budget
           preparation and adoption process unless it has been determined that the
           issues must be considered in a more expedited manner.
           i)     Ordinance changes involving fee/rate changes:
                  a)      Consideration should be given for the establishment of new
                          fees directly associated with a service provided and the
                          review of existing fees to ensure fees recover an acceptable
                          portion of the expenses associated with the service.
                  b)      Fees and programs should be reviewed to determine the
                          availability of alternative revenue sources to diversify the
                          County’s revenues and reduce the dependence on any one
                          revenue to fund the County’s budget.
           ii)    New positions or changes to existing positions.
           iii)   Requests for a bond referendum.




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                            Budget Regulations

           iv)    Reimbursement and debt authorization resolutions for any proposed
                  debt issuance to finance capital projects.
     e)    Recovered costs of the General Fund will include an appropriation equal to
           100% from the most recent cost allocation plan for services provided by the
           General Fund to the Enterprise Funds inflated to the appropriate budget year
           and with a matching expenditure appropriation made in the Enterprise
           Funds.


2.   Five Year Capital Improvements Program (CIP)
     a)    The operating impact of proposed capital projects, including personnel,
           operating expenditures, capital outlay and debt service, as applicable, will be
           identified in the CIP document and considered in preparing the Five Year
           Financial Plan for the General Fund.
     b)    In order to best position the County for future capital improvement needs,
           land acquisition of suitable sites will be considered, when feasible, at least
           two years prior to the construction period.
3.   Five Year Financial Plan
     a)    All on-going programs will be funded with on-going revenues, when
           possible. When such a funding source is not available, future on-going
           revenues and/or a corresponding decrease in another on-going expenditure
           will be identified in the Five-Year Financial Plan to properly fund the
           progra