2021 FINANCE: STAYING ON TRACK

2021 Operational Budget

West Chester’s operational budget is focused on a commitment to fiscal responsibility and deploying resources to those services and projects that demonstrate value to taxpayers.

The 2021 operational budget includes $48.1 million of expenditures, a 5% decrease from 2020 and is within available resources.

“West Chester operates in a budget-to-need environment, rather than budget based on the amount of money we have,” said Township Finance Director Ken Keim. “With this approach, the Township has been able to build carryover that offers future confidence in resources and prepare for larger expenses or emergencies that may come down the road.”

The operational budget includes 10 primary funds - the General Fund, Police Fund, Fire & EMS Fund, and Roads Funds. These are the largest of the funds that make up the operational budget.

In 2021, more than $33 million will be invested in police and fire services for the community. This accounts for 69% of the overall operational budget. Voter support of police and fire levies in November 2020 made it possible to continue this commitment to public safety.

About $20 million is budgeted for personnel across all of these funds with about $15 million assigned to contract personnel (police, fire, emergency dispatch and roads).

Approximately $2.3 million is budgeted from Roads Funds for infrastructure improvements in 2021, including culverts, curbs, and paving on Township roads.

The General Fund includes expenses from general government services like administration, human resources, finance and IT; as well as Community Development, Parks, and Community Services.

The operational budget, however, doesn’t tell the entire story of West Chester’s financial condition. Not identified in the operational budget are TIF (Tax Increment Financing) Funds. For the past 20plus years, West Chester has benefitted from economic development success and the resulting TIF Funds. In 2021 more than $8.4 million in Township projects will be funded through TIF with no direct financial impact to residential property owners.

In 2021, TIF budget includes the completion of landscape work at the new DDI and an additional $1 million in TIF will go toward the street lighting districts in the Union Centre area, extending lighting to Cincinnati-Dayton Road.

Some 2021 projects funded with TIF:

•$500,000 for the Olde West Chester Pocket Park on Station Road at Cincinnati-Dayton Road

•$300,000 to replace the deck on the Muhlhauser Barn

•$250,000 to improve the entrance to the Township Safety Services building

•$250,000 to extend a West Chester Road water main for improved fire service to the area

What is an Operational Budget?

Townships are different from cities in several ways. One is that a formal budget is not approved by the governing board. The operational budget is presented each January, but is not formally approved by the Board of Trustees. Permanent Appropriations serve as the Township’s official “budget,” but it is a very basic accounting of available resources rather than expenses. The operational budget is a detailed illustration of expected expenditures assigned to specific budget priorities, which the Board of Trustees set. Expenses greater than $7,500 are approved individually by trustees at regular meetings.