ECONOMIC VITALITY AND DIVERSITY SUMMARY
Economic Vitality and Diversity Overview ...... 54 Business Inclusion and Advancement ...... 55 Downtown Winston-Salem Business Improvement District ...... 57 Off-Street Parking ...... 59 Public Assembly Facilities Winston-Salem Fairgrounds...... 62 The Benton ...... 65 Bowman Gray Stadium ...... 67 Downtown Ballpark...... 69 Economic Vitality and Diversity Community Grants ...... 70 Economic Vitality and Diversity Non-Departmental ...... 71 Economic Vitality and Diversity Capital Projects ...... 72
53 ECONOMIC VITALITY AND DIVERSITY
STRATEGIC FOCUS AREA MISSION
Economic vitality and diversity requires a healthy local economy that serves all segments of the population and provides the monetary resources necessary to support the community. This includes sustaining a tax base sufficient to fund community services, providing members of the community with sufficient wages, and providing capital for community development.
STRATEGIC FOCUS AREA OBJECTIVES
- Recruit and Retain Employers - Promote Downtown Revitalization - Promote Commercial Development in Economically Disadvantaged Areas - Enhance Skills of Workforce - Develop and Redevelop Commercial/Industrial Parks/Sites - Assist Small Businesses
STRATEGIC FOCUS AREA CATEGORIES
Business Inclusion and Advancement, Public Assembly Facilities (Winston-Salem Fairgrounds, Bowman Gray Stadium, Carolina Classic Fair, Downtown Ballpark, The Benton), Off-Street Parking, Community Grants, Capital Projects
STRATEGIC FOCUS AREA TOTAL BUDGET
$20,649,660
STRATEGIC FOCUS AREA PRIORITIES
Short Term Priorities 1) Continue to partner in development of the Whitaker Park business site 2) Recruit small business (<100 employees) and foster an entrepreneurial atmosphere 3) Partner with workforce development training initiatives 4) Evaluate current economic development policies regarding non-capital investments
Mid Term Priorities 5) Identify infrastructure needs to enhance economic development activity 6) Develop travel and tourism promotion strategies 7) Evaluate the use of land banking for commercial development 8) Seek out regional cooperation on economic development initiatives 9) Engage Forsyth County Commission and Winston-Salem/Forsyth County School Board in policy discussions regarding economic vitality 10) Promote internship opportunities 11) Evaluate project-based lending programs 12) Assist with downtown retail, commercial recruitment, and redevelopment projects
54 BUSINESS INCLUSION AND ADVANCEMENT
MISSION STATEMENT
The mission of the Office of Business Inclusion and Advancement is to promote economic vitality and opportunity for all citizens of Winston-Salem by attracting, creating and retaining jobs, and augmenting the tax base. Through engagement, collaboration and education, Business Inclusion and Advancement increases opportunities for local companies and minority- and woman-owned firms’ interests in doing business with the City.
PROGRAM DESCRIPTIONS
Business Development: Monitors and promotes business and economic development opportunities throughout the city, utilizing a series of interrelated programs to provide concentrated assistance to targeted areas and groups. Programs include Revitalizing Urban Commercial Areas (RUCA), Commercial Revitalization of Blighted Areas (CRBA), Small Business Loan, and Building Rehabilitation Programs.
Economic Self-Sufficiency/Small Business Loan Program: Provides loans to new and existing small businesses to assist in start-up or expansion. Offers a small business training program and a business plan contest to assist local entrepreneurs to successfully plan, open, and operate a business venture.
Minority and Women-Owned Business Enterprises (M/WBE): Assists minority and women-owned business enterprises in providing goods and services to the City. In addition, the program provides workshops and seminars for minority- and women-owned businesses and assistance with the resolution of problems and complaints relating to payment and/or contract violations.
EXPENDITURES AND REVENUES SUMMARY
EXPENDITURES BY PROGRAM Actual Budget Proposed Percent General Fund FY 19-20 FY 20-21 FY 21-22 Change Business Development $531,107 $589,520 $599,740 1.7% Minority/Women Owned Business Enterprises 195,475 248,900 235,610 -5.3% Subtotal $726,582 $838,420 $835,350 -0.4%
Special Revenue Funds Economic Self-Sufficiency/Small Business Loans $213,934 $178,500 $172,500 -3.4% Subtotal $213,934 $178,500 $172,500 -3.4%
Total Expenditures by Program $940,516 $1,016,920 $1,007,850 -0.9%
RESOURCES BY TYPE General Fund Licenses and Permits $4,230 $4,160 $3,440 -17.3% Other General Fund Revenues 722,352 834,260 831,910 -0.3% Subtotal $726,582 $838,420 $835,350 -0.4%
55 RESOURCES BY TYPE - Continued Actual Budget Proposed Percent Special Revenue Funds FY 19-20 FY 20-21 FY 21-22 Change Community Development Block Grant (CDBG) $196,676 $46,500 $75,690 62.8% CDBG Program Income 61,169 132,000 96,810 -26.7% Interest Income 16,287 0 0 N/A Subtotal $274,133 $178,500 $172,500 -3.4%
Total Resources by Type $1,000,715 $1,016,920 $1,007,850 -0.9%
Addition to Fund Balance $60,199 $0 $0 N/A
POSITION SUMMARY
Amended Amended Proposed POSITIONS FY 19-20 FY 20-21 FY 21-22 Change Full-Time 9 6 6 0
PERFORMANCE MEASURES AND SERVICE TRENDS
Actual Estimated Projected FY 19-20 FY 20-21 FY 21-22 Workload New M/WBE vendors on City database 118 50 55 Construction site visits 32 20 30 M/WBE community outreach 33 28 34 Small Business Support: Small businesses assisted 330 335 345 Small business loans considered 3 2 6 Small business community outreach 29 25 32 M/WBE businesses assisted 436 375 450
56 DOWNTOWN WINSTON-SALEM BUSINESS IMPROVEMENT DISTRICT
PROGRAM DESCRIPTIONS
Downtown Winston-Salem Business Improvement District (BID): Created in November 2013, the Downtown Winston-Salem Business Improvement District provides an enhanced level of service within a defined area downtown and is funded from a dedicated property tax rate of 9₵ per $100 of value. The Downtown Winston- Salem Partnership currently provides services within the district according to five primary areas: cleaner environment, increased safety and security, stronger marketing and promotion, accelerated development, and enhanced physical appearance. The Downtown Winston-Salem Business Improvement District Advisory Committee, an eleven-member committee made up of various stakeholders within the district, provides oversight of the implementation of these services.
EXPENDITURES AND REVENUES SUMMARY
Actual Budget Proposed Percent EXPENDITURES BY TYPE FY 19-20 FY 20-21 FY 21-22 Change Downtown Winston-Salem Partnership $592,490 $633,890 $596,470 -5.9% Other Expenses 4,096 24,050 24,250 0.8% Transfer to Parking Capital Projects Fund 50,000 50,000 0 -100.0%
Total Expenditures by Type $646,586 $707,940 $620,720 -12.3%
RESOURCES BY TYPE Property Taxes $585,232 $657,940 $590,230 -10.3% Investment Income 449 0 0 N/A Fund Balance Appropriation 0 50,000 30,490 -39.0%
Total Resources by Type $585,681 $707,940 $620,720 -12.3%
Addition to Fund Balance $60,905 $0 $0 N/A
PERFORMANCE MEASURES AND SERVICE TRENDS
Actual Estimated Projected
FY 19-20 FY 20-21 FY 21-22 Workload/Service Demand Bags of litter removed Pounds of litter (45 pounds per bag) Leaf and litter vacuum hours Back pack (blower) hours Pressure washing hours Graffiti Removal hours
57 BUDGET HIGHLIGHTS
- For FY 2021-22, the Downtown Winston-Salem Business Improvement District Advisory Committee has recommended a tax rate of $0.09 per $100 of valuation to fund the enhanced services and programs within the district. The rate would be assessed on real and personal property, including registered motor vehicles.
- The below table shows the proposed budget for each service area:
Service Area Adopted Budget Percent of Total Cleaner Environment/Safety and Security $395,000 63.6% Stronger Marketing and Promotion 108,100 17.4% Accelerated Development 18,545 3.0% Enhanced Physical Appearance 61,825 10.0% Administration 13,000 2.1% Property Tax Collections 4,250 0.7% Contingency 20,000 3.2% Total $620,720
- The proposed budget includes a decrease in property tax revenue compared to last year. This is due to a number of revaluation appeals that are currently ongoing or anticipated by the Forsyth County Tax Office.
- For the last three years, the Downtown Business Improvement District has transferred $50,000 to the Parking Capital Projects fund to cover the District’s share of lighting, painting, and security improvements to the Sixth-Cherry-Trade Parking Deck. This transfer has been removed for the FY 2021-22 proposed budget as last year represented the final scheduled payment and this work has been completed.
- Below is a map of the Downtown Winston-Salem Business Improvement District boundaries:
58 OFF-STREET PARKING
MISSION STATEMENT
The mission of the Off-Street Parking program is to provide an ample supply of safe, convenient, and clean off- street parking spaces at a competitive price, which meets the needs of the central business district.
PROGRAM DESCRIPTIONS
Operates two parking decks and four parking lots throughout the downtown area. These facilities account for almost 2,500 off-street parking spaces.
EXPENDITURES AND REVENUES SUMMARY
Actual Budget Proposed Percent EXPENDITURES BY PROGRAM FY 19-20 FY 20-21 FY 21-22 Change Parking Administration $387,578 $493,270 $495,330 0.4% Sixth-Cherry-Trade Deck 335,654 445,380 485,370 9.0% Fourth and Church Deck 910,116 937,740 420,680 -55.1% Parking Lots 52,010 69,690 73,510 5.5%
Total Expenditures by Program $1,685,358 $1,946,080 $1,474,890 -24.2%
RESOURCES BY TYPE Parking Services $707,994 $700,000 $690,000 -1.4% Miscellaneous Revenue 4,400 0 0 N/A Forsyth County 249,114 413,810 40,340 -90.3% Interest Income 21,497 0 0 N/A Transfer from General Fund 0 0 744,550 N/A Fund Balance Appropriation 0 832,270 0 -100.0%
Total Resources by Type $983,005 $1,946,080 $1,474,890 -24.2%
POSITION SUMMARY
Amended Amended Proposed POSITIONS FY 19-20 FY 20-21 FY 21-22 Change Full-Time 13 13 13 0 Part-Time (FTE’s) 2.5 2.5 2.5 0
PERFORMANCE MEASURES AND SERVICE TRENDS
Actual Estimated Projected
FY 19-20 FY 20-21 FY 21-22 Effectiveness Achieve an occupancy rate of 75% for monthly leased spaces 96% 85% 85% Workload Number of hourly patrons 61,600 21,000 30,000
59 BUDGET HIGHLIGHTS
- Expenditures for the Fourth and Church Deck and revenues from Forsyth County are both reduced for FY 2021-22 as a result of the debt on the deck being paid off during the prior fiscal year. With the reduction of this cost (approximately $525,000 budget-to-budget impact), the calculation of the County’s share of revenue shifted from the County’s ad valorem tax on the parcel to 50% of the deck’s operating deficit.
- The proposed budget restores the general fund subsidy to the off-street parking fund. While parking fund reserves were able to cover the operating deficit the last two fiscal years, adding back the subsidy was necessary to maintain the long-term stability of the fund.
- The following table provides budgeted FY 2021-22 revenues and expenditures by facility. Expenditures include an allocation of parking administration costs based on the number of spaces in each facility.
Net Income/ Revenues Expenditures (Loss) Parking Lots $105,000 $116,130 ($11,130) Sixth-Cherry-Trade 245,000 632,190 (387,190) Fourth and Church 340,000 726,570 (386,570) Total $690,000 $1,474,890 ($784,890)
* The deficit at Fourth and Church Deck is shared with the county ($40,340).
FY 2020-21 Year-End Outlook
- The following table provides budgeted and estimated FY 2020-21 revenues and expenditures.
Budgeted Estimated FY 20-21 FY 20-21 Operating Revenues $700,000 $390,356 Operating Expenditures 1,195,580 903,888 Operating Income ($495,810) ($513,532) Capital Outlay (0) (31,000) Capital Contributions 50,000 50,000 Debt and Lease Expenses (750,500) (755,606) Forsyth County Contribution 413,810 375,200 Investment Income 0 5,990 Transfer from General Fund 0 0 Net Income/(Loss) ($782,270) ($888,186)
Long-Range Financial Outlook
The chart below provides the outlook for the parking fund cash reserves. It adjusts the general fund subsidy in outlying years to keep the fund balanced at year-end. The outlook includes capital project expenditures.
60 BUDGET HIGHLIGHTS - Continued
Parking Fund Reserves $2.50
$2.00
$1.50
Millions $1.00
$0.50
$0.00 FY 17-18 FY 18-19 FY 19-20 FY 20-21 FY 21-22 FY 22-23 FY 23-24 FY 24-25 FY 25-26 Actual Actual Actual Estimated Projected Projected Projected Projected Projected
The following chart shows the history and a long-range projection of the general fund subsidy to the parking fund.
General Fund Subsidy to the Parking Fund $1,400
$1,200 ------Actual ------
$1,000 Estimated
$800 ----- Projected ----
$600 Thousands
$400
$200
$0 FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26
61 WINSTON-SALEM FAIRGROUNDS
MISSION STATEMENT
The mission of the Winston-Salem Fairgrounds is to plan, promote, and produce the annual Carolina Classic Fair and to enhance the quality of life of citizens by providing year-round facilities for agricultural, fraternal, educational, social, and entertainment activities and events without taxpayer expense.
PROGRAM DESCRIPTIONS
Carolina Classic Fair: Plans, promotes, and produces the annual Carolina Classic Fair.
Non-Fair Events and Maintenance: Operates a 3,600-seat Annex for public ice skating, minor league professional ice hockey, basketball games, and trade shows. Operates 30,000 square foot Education Building and 7,500 square foot Bolton Home and Garden Building for trade shows, banquets, community events, and other rentals. Operates a year-round Farmers Market at the Fairgrounds (each Saturday). Provides for maintenance of the Winston-Salem Fairgrounds and associated facilities.
Fairgrounds Administration: Provides for administrative functions for all events including planning, staffing, accounting, marketing, and general event coordination.
EXPENDITURES AND REVENUES SUMMARY
Actual Budget Proposed Percent EXPENDITURES BY PROGRAM FY 19-20 FY 20-21 FY 21-22 Change Carolina Classic Fair $2,061,653 $1,968,890 $1,990,070 1.1% Non-Fair Events and Maintenance 1,252,547 930,860 979,430 5.2% Administration 968,545 968,660 967,170 -0.2% Transfer to Bowman Gray Stadium Fund 280,000 72,640 76,820 5.8% Subtotal $4,562,745 $3,941,050 $4,013,490 1.8%
Debt and Lease Expense $212,819 $118,480 $122,140 3.1%
Total Expenditures by Program $4,775,565 $4,059,530 $4,135,630 1.9%
RESOURCES BY TYPE Fair Admissions $1,163,057 $971,250 $971,250 0% Other Fair Revenues 1,499,496 1,139,400 1,139,400 0% Parking Services 369,375 262,500 262,500 0% Non-Fair Revenues 1,072,129 659,310 642,110 -2.6% Interest Income 34,759 0 0 N/A Transfer from Occupancy Tax Fund 75,000 37,500 75,000 100.0% Transfer from General Fund 0 0 1,045,370 N/A Fund Balance Appropriation 561,749 989,570 0 -100.0%
Total Resources by Type $4,775,565 $4,059,530 $4,135,630 1.9%
62 POSITION SUMMARY
Amended Amended Proposed POSITIONS FY 19-20 FY 20-21 FY 21-22 Change Full-Time 9 9 9 0 Part-Time (FTE’s) 22.8 22.8 22.8 0
PERFORMANCE MEASURES AND SERVICE TRENDS
Actual Estimated Projected FY 19-20 FY 20-21 FY 21-22 Effectiveness Fair operating revenue to operating expense ratio 1.50 0 1.46 Efficiency Revenue per Fair attendee (total attendance) $10.61 $0 $11.00 Cost per Fair attendee (total attendance) $6.58 $0 $7.50 Workload Total Fair attendance 292,321 0 275,000 Non-Fair events attendance 166,912 215,000 175,000
BUDGET HIGHLIGHTS
- On May 17, 2021, the Public Assembly Facilities Commission approved a resolution recommending to the Mayor and the City Council the adoption of the FY 2021-22 budget for the Winston-Salem Fairgrounds, The Benton, Bowman Gray Stadium, and the Downtown Ballpark.
- Overall expenses increased by $76,100 (1.9%). Operating expenses assume non-fair events will resume but with reduced capacity due to the COVID-19 pandemic. Operating expenses for the Carolina Classic Fair assume the event will take place as scheduled but with reduced attendance due to the pandemic.
- Total revenues increased by $20,300 (0.7%). Non-fair event revenue remains low to reflect lower capacity at events taking place in the first quarter of FY 2021-22. Revenues for the Carolina Classic Fair remain approximately 25% lower than the FY 19-20 budget, assuming a decrease in fair attendance due to the COVID-19 pandemic.
- There is a net increase for debt and lease expenses of $3,660 for the Fairgrounds. Lease payments have been added for the replacement of a crew cab pickup ($15,300), hockey scoreboard and scoring system ($12,500), and a paint cart for the ice rink ($2,550).
- The proposed budget includes a subsidy of $76,820, to be transferred to the Bowman Gray Stadium Fund. During the Covid-19 pandemic, the Winston-Salem Fairgrounds fund utilized fund balance reserves to cover ongoing expenses. Since those reserves have been depleted, the proposed budget also includes a $1,045,370 transfer from the general fund to balance the budget.
63 BUDGET HIGHLIGHTS - Continued
FY 2020-21 Year-End Outlook
- The following table provides estimated year-end revenues and expenditures for the Winston-Salem Fairgrounds operations. Budgeted Estimated FY 20-21 FY 20-21 Operating Revenues $3,032,460 $605,591 Operating Expenditures (3,868,410) (2,228,534) Operating Income/(Loss) ($835,950) ($1,622,943) Interest Income 0 1,314 Debt and Lease Expense (118,480) (127,882) Transfer to Bowman Gray Stadium Fund (72,640) (72,640) Transfer from Occupancy Tax Fund 37,500 0 Net Profit/(Loss) ($989,570) ($1,822,151)
Long-Range Financial Outlook
- The following chart provides a fund balance projection for the Winston-Salem Fairgrounds fund.
Winston-Salem Fairgrounds Reserves
$3.00 $1.83 $1.93 $1.93 $1.98 $2.00 $1.40 Millions $1.00
$0.00
-$1.00 -$0.38
-$2.00 -$1.34 -$2.14 -$3.00 -$3.01 -$4.00 -$3.89 -$5.00 Actual Actual Actual Actual Actual Estimated Budgeted Projected Projected Projected FY 2016 FY 2017 FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 FY 2023 FY 2024 FY 2025
64 THE BENTON
MISSION STATEMENT
The mission of The Benton is to provide a state-of-the-art, professionally managed convention and civic facility to attract out-of-town visitors that will provide economic benefits to the community and to enhance the social well- being of our citizens by providing a facility for social, educational, fraternal, and entertainment activities and events.
PROGRAM DESCRIPTION
Under a contract with Hospitality Ventures Management Group, operates a 105,000-square foot public assembly facility that hosts conventions, meetings, banquets, and trade shows. Works with Visit Winston-Salem and hotel sales staffs to develop sales proposals, present bids to prospective clients, and develop sales strategies and marketing plans.
EXPENDITURES AND REVENUES SUMMARY
Actual Budget Proposed Percent EXPENDITURES BY PROGRAM FY 19-20 FY 20-21 FY 21-22 Change The Benton $778,023 $1,220,360 $1,418,580 16.2%
Total Expenditures by Program $778,023 $1,220,360 $1,418,580 16.2%
RESOURCES BY TYPE Transfer from Occupancy Tax Fund $300,000 $240,390 $300,000 24.8% Transfer from General Fund 541,690 979,970 1,118,580 14.1% Miscellaneous Revenue 10,538 0 0 N/A
Total Resources by Type $852,228 $1,220,360 $1,418,580 16.2%
Addition to Fund Balance $74,205 $0 $0 N/A
PERFORMANCE MEASURES AND SERVICE TRENDS
Actual Budgeted Estimated Projected FY 19-20 FY 20-21 FY 20-21 FY 21-22 Effectiveness Percent of available days that are booked 58.9% 68.5% 0.06% 56.2% Actual operating loss as a percent of budgeted loss 91.6% 100.0% 107.6% 100.0% Workload Total number of events 207 175 13 198 Total usage days 215 250 22 205 Total attendance 71,631 65,210 3,516 50,589 Available days for booking 365 365 365 365 *Performance measures in FY 2019-20 and FY 2020-21 were affected by the shutdown of The Benton for the COVID-19 pandemic.
65 BUDGET HIGHLIGHTS
- In June 2016, Hospitality Ventures Management Group (HVMG) assumed the management agreement for The Benton as part of the sale of the Downtown Marriott and Embassy Suites hotels. While HVMG took over the day-to-day operations of the convention center, the City continues to be responsible for covering all operating losses for the convention center under the current agreement.
- The proposed FY 2021-22 budget reflects the impact of the COVID-19 pandemic on the operation at The Benton, with operating revenues decreasing by 13.1% and operating expenses decreasing by 3.5%. The budgeted operating loss is increased by 20.2%. The City’s contribution covers the operating loss, management fee, and other expenses (e.g., property insurance) and totals $1,418,580 for FY 2021-22. The contribution from the occupancy tax fund is increased to $300,000, and general fund support for The Benton totals $1,118,580 for FY 2021-22, an increase of 14.1% from FY 2020-21.
- Under the agreement with HVMG, the City provides $250,000 annually for capital needs. The City will finance these expenditures over five years through the North Carolina Municipal Leasing Corporation, with the general fund covering the annual lease payment of $50,000. The FY 2021-22 capital contribution is included in the proposed budget for the following: mechanical equipment ($110,000), replacement of tables and banquet equipment ($90,000), and contingency ($50,000).
FY 2020-21 Year-End Outlook
- The following table provides estimated year-end revenues and expenditures for The Benton Fund.
Budgeted Estimated FY 20-21 FY 20-21 Operating Income/(Loss) ($932,710) ($977,546) Non-Operating Expenses Management Fee $176,970 $176,970 Property Insurance 35,770 42,658 Miscellaneous Expenses 74,910 116,507 Loss Before Transfers ($1,220,360) ($1,313,681) Transfer from Occupancy Tax Fund $240,390 $0 Transfer from General Fund 979,970 1,313,681
Note: Debt service on funds borrowed for renovations at The Benton is not included in the budget information above. The FY 2021-22 debt service payment of $2,085,784 is included in the debt service fund budget. Total outstanding debt as of June 30, 2022 will be $16,775,000.
66 BOWMAN GRAY STADIUM
MISSION STATEMENT
Bowman Gray Stadium provides a public assembly facility that offers entertainment and sporting events for the citizens of Winston-Salem, Forsyth County, the Piedmont Triad, and northwest North Carolina.
PROGRAM DESCRIPTIONS
Operates an open-air stadium (capacity of 17,500) with a quarter mile asphalt race track equipped to handle spectator events including auto racing, football games, band competitions, concerts, and other mass spectator events.
EXPENDITURES AND REVENUES SUMMARY
Actual Budget Proposed Percent EXPENDITURES BY PROGRAM FY 19-20 FY 20-21 FY 21-22 Change Bowman Gray Stadium Operations $501,800 $307,440 $360,370 17.2%
Total Expenditures by Program $501,800 $307,440 $360,370 17.2%
RESOURCES BY TYPE Parking Services $39,841 $0 $0 N/A Concessions 73,001 52,250 90,000 72.2% Video Board Advertising 4,000 8,000 8,000 0% Winston-Salem State University 56,561 61,000 61,000 0% Rentals 88,914 110,000 121,000 10.0% Other/Miscellaneous 8,363 3,550 3,550 0% Transfer from Winston-Salem Fairgrounds Fund 280,000 72,640 76,820 5.8%
Total Resources by Type $550,680 $307,440 $360,370 17.2%
Addition to Fund Balance $48,880 $0 $0 N/A
BUDGET HIGHLIGHTS
- The proposed FY 2021-22 budget for Bowman Gray Stadium assumes a normal season for 2021 NASCAR racing and Winston Salem State University (WSSU) Football, with some reductions in attendance or reduced capacity limits due to the COVID-19 pandemic. NASCAR racing is estimated to return to normal capacity for the 2022 season scheduled in the spring.
Overall, the budget for Bowman Gray Stadium reflects a net loss of $76,820, to be covered via a transfer from the Winston-Salem Fairgrounds Fund.
67 BUDGET HIGHLIGHTS – Continued
FY 2020-21 Year-End Outlook
- The following table provides estimated year-end revenues and expenditures for Bowman Gray Stadium.
Budgeted Estimated FY 20-21 FY 20-21 Operating Revenues $234,800 $91,809 Operating Expenditures (284,920) (274,246) Operating Income/(Loss) ($50,120) ($182,437) Debt and Lease Expense (22,520) (18,186) Transfer from W-S Fairgrounds Fund 72,640 72,640 Net Profit/(Loss) $0 ($127,983)
68 DOWNTOWN BALLPARK
PROGRAM DESCRIPTION
Accounts for the principal and interest payments required to pay off debt financings approved to purchase the land and construct the new downtown ballpark (i.e. BB&T Ballpark)
Resources include lease payments from the baseball team owners group, baseball ticket surcharges, and the incremental property tax revenue generated from the new development.
EXPENDITURES AND REVENUES SUMMARY
Actual Budget Proposed Percent EXPENDITURES BY PROGRAM FY 19-20 FY 20-21 FY 21-22 Change Downtown Ballpark $1,862,972 $1,581,510 $1,390,400 -12.1%
Total Expenditures by Program $1,862,972 $1,581,510 $1,390,400 -12.1%
RESOURCES BY TYPE Lease Payments $865,600 $1,638,100 $858,030 -47.6% Ticket Surcharge 175,000 175,000 0 -100.0% Transfer from Debt Service Fund 0 0 532,370 N/A Fund Balance Appropriation 822,372 0 0 N/A
Total Resources by Type $1,862,972 $1,813,100 $1,390,400 -23.3%
Addition to Fund Balance $0 $231,590 $0 -100.0%
BUDGET HIGHLIGHTS
- Under the financing arrangement for the downtown ballpark, the City issued debt to pay off the lien and become the sole owner of the ballpark. Principal and interest payments for debt issued by the City are covered through lease payments made by the team ownership. Changes to the lease agreement during FY 20-21 would eliminate ticket surcharges (-$175,000) and reduce the annual lease payment from the team ownership (-$780,070). For FY 21-22, the DASH owners group will pay the City $858,030 in leases and payments-in-lieu of taxes. The lease payments would increase annually over the course of the 25- year agreement.
The proposed FY 21-22 budget also includes a decrease in debt expenses of $195,750 (-12.6%). Based on the projected revenues and expenses, the proposed budget includes a subsidy of $532,370, which would be transferred from the City’s debt service fund.
69 ECONOMIC VITALITY AND DIVERSITY COMMUNITY GRANTS
The City of Winston-Salem provides annual operating or capital support to community agencies that meet the legal requirements for receiving public funds, as stipulated in North Carolina General Statute §159-40 and for carrying out a public purpose consistent with North Carolina General Statute §160A-209. Moreover, to meet City requirements for funding, community arts and innovation agencies must meet certain specific organizational characteristics, as follows: • Non-profit, incorporated status, with at least two years of audited financial records and IRS 990 forms; • Sound organizational management with a well-rounded board of directors, governing under a set of written by-laws, as required under the articles of incorporation; • Broad-based support, city-wide; and • Policy of non-discrimination by race, sex, age, religion, color, creed, national origin, ethnicity, sexual orientation, gender identity or expression, handicap, familial status, political affiliation, or disability, in terms of the service provided and employment offered.
The community agencies below are supported with funding from the General Fund and Occupancy Tax.
COMMUNITY GRANTEE AGENCIES
Budget Requested Proposed Percent EXPENDITURES BY AGENCY FY 20-21 FY 21-22 FY 21-22 Change Arts Council $217,360 $250,000 $217,360 0% Center for Creative Economy 25,000 35,000 25,000 0% Kaleideum 172,360 175,000 172,360 0% National Black Theatre Festival 115,000 122,000 115,000 0% Old Salem 197,710 200,000 197,710 0% Piedmont Triad Film Commission 35,000 35,000 35,000 0% RiverRun International Film Festival 42,400 42,400 42,400 0% Agile City Winston-Salem1 20,000 0 0 -100.0%
Total Expenditures by Agency $824,830 $859,400 $804,830 -2.0%
1 Formerly Venture Café Winston-Salem Note: A full list of all community grantee agencies can be found in the City Manager’s message.
70 ECONOMIC VITALITY AND DIVERSITY NON-DEPARTMENTAL
Listed below are the adopted appropriations related to the Economic Vitality and Diversity strategic focus area that are not included in any of the program budgets in this section of the document.
EXPENDITURES Actual Budget Proposed Percent General Fund FY 19-20 FY 20-21 FY 21-22 Change Transfer to Economic Development Loan Fund $0 $0 $183,350 N/A Transfer to Economic Development Project Fund 2,897,310 3,037,580 2,955,630 -2.7% Transfer to Convention Center Fund 541,690 979,970 1,118,580 14.1% Transfer to Grants Fund -1,875 0 0 N/A Poverty Reduction Initiative 120,000 40,000 40,000 0% Subtotal $3,557,125 $4,057,550 $4,297,560 5.9%
Other Funds General Government Grants Fund $232,747 $0 $0 N/A Economic Development Grants Fund 102,848 0 55,000 N/A Economic Development Loan Fund 35,456 4,000,000 183,350 -95.4% Economic Development Project Fund 2,659,727 3,037,580 2,955,630 -2.7% Occupancy Tax Fund 980,304 663,000 880,110 32.7% Subtotal $4,011,081 $7,700,580 $4,074,090 -47.1%
Total Expenditures $7,568,206 $11,758,130 $8,371,650 -28.8%
RESOURCES General Fund Other General Fund Revenues $3,557,125 $4,057,550 $4,297,560 5.9% Subtotal $3,557,125 $4,057,550 $4,297,560 5.9%
Other Funds Loan Repayments $6,744,632 $0 $0 N/A Investment Income 134,666 0 0 N/A Miscellaneous Revenue 69,516 0 0 N/A Occupancy Tax 754,826 663,000 700,000 5.6% North Carolina Department of Transportation 15,983 0 0 N/A Sale of Real Estate 113,733 0 0 N/A Contributions 25,225 0 0 N/A Transfer from General Fund 2,894,123 3,037,580 3,138,980 3.3% Transfer from Occupancy Tax Fund 55,000 0 55,000 N/A Fund Balance Appropriations: Economic Development Loan Fund 0 4,000,000 0 N/A Occupancy Tax Fund 220,044 0 180,110 N/A Subtotal $11,027,746 $7,700,580 $4,074,090 -47.1%
Total Resources $14,584,871 $11,758,130 $8,371,650 -28.8%
71 ECONOMIC VITALITY AND DIVERSITY CAPITAL PROJECTS
Listed below are the adopted capital projects for the Economic Vitality and Diversity strategic focus area.
Proposed EXPENDITURES FY 21-22 Off-Street Parking Parking Deck Renovations $250,000
Entertainment The Benton Capital Renovations (Annual Contribution) $250,000
Total Expenditures $500,000
FUNDING SOURCES Other North Carolina Municipal Leasing Corporation $500,000
Total Funding Sources $500,000
72