AGENDA #1

February 27, 2004

Planning Department

Initial Budget Presentation to the Mayor and Town Council

2004-2005

I. Mission Statement

The Planning Department helps the Town Council and the community achieve growth management, neighborhood preservation, affordable housing, economic sustainability, transportation, and environmental protection objectives.  Emphasis is on procedures and processes that are highly participatory and inclusive.

II. Brief Services Description

· Provide support to 10 Council Advisory Boards

· Evaluate and process development applications, and issue permits

· Maintain, administer, and amend Land Use Management Ordinance

· Prepare, maintain and amend Comprehensive Plan

· Prepare annual Capital Improvements Program

· Affordable Housing Initiatives

· Community Development Block Grant Program and Affordable Housing Initiatives

· Transportation Planning

· Prepare for annual annexation

· Provide staff support for Council initiatives (e.g., Lot 2/5 Redevelopment)

III. Departmental Revenue Estimates

REVENUE SOURCE	Actual 2002-2003 Revenues	2003-2004 Budgeted Revenues	Estimated 2003-2004 Revenues	Proposed Revenues For 2004-2005
Grants	$    44,827	$    27,000	0	0
Fees	167,453	241,000	163,500	165,500
Document sales	947	1,000	2,000	1,000
TOTAL	$  213,227	$  269,000	$  165,500	$166,500

Key Budget Issues

Most Planning Department revenues come in the form of development application fees.  The number of large development applications dropped significantly in this fiscal year.  Projections for 2004-05 are highly uncertain, and will vary depending upon economic and market conditions.

IV. Departmental Base Budget Cost Estimates

CATEGORY	2003-2004 Original Budget	Requested 2004-2005 Budget
Personnel	$   910,506	$    927,272
Operations	79,622	81,302
Capital Equipment	0	0
TOTAL	$   990,128	$ 1,008,574

Key Budget Issues

This proposed budget assumes no change in services.

V. Programs Going Well

Although workload levels are very high, all statutory requirements and deadlines continue to be met.  Feedback from citizens about process and information is good.  Development applications continue to undergo thorough evaluation.  Community Development targets are being met.  Affordable housing opportunities are being created.  Enhanced emphasis on design has led to more frequent design workshops involving citizens and design professionals, a relatively new model for Chapel Hill that is producing valuable products.

VI. Programs That Could Be Improved

Because of workload pressures, timeliness of response dropped significantly this year in a number of areas:  responses to requests for information, processing times for development applications and permits, and progress on Council-initiated special projects.  In the most critical workload periods, the gap has been filled by staff members working extra hours.  For example, in one 6-week period last year, we accrued 240 hours of uncompensated extra time worked.  That same overload was recorded in another 6-week period three months later.  A critical and quantifiable component of the reasons for this increased workload is the number of applications for Zoning Compliance Permits:  up from 19 two years ago to 520.

VII. Proposed Additions or Reductions

We request consideration of the addition of a Planner position to the Department for the 2004-05 budget year.  We estimate that the cost of a new position would be approximately $65,000 for the 2004-05 year, accounting for salary, benefits, and equipment.