Over 80% of the Collectivité budget devoted to operations
The budget was approved by the majority vote during a plenary session on Saturday, April 15; the opposition formed by the Alliance for Justice, Hope, and Prosperity led by Louis Mussington (absent at the territorial council for health reasons) abstained, and Alain Richardson of En Marche Vers le Progrès voted against it.
141 MILLION € FOR OPERATIONS
♦ operating costs
80% of the Collectivité budget is allocated to operations, or a total of €141.67 million. These operating costs have risen by 3.5% compared to 2016, primarily due to increases of 12% in personnel expenses, 10% in general expenses, and 10% in other daily management expenses; these three areas represent two-thirds of operating costs.
Personnel expenses amount to €44 million, or 4 million more than in 2016 and 10 million more than in 2014. Last year, they had already increased by 7.4%. Last January, the prior majority had supplemented this area by one million, bringing it to 40 million, notably to allow for "regularization of social costs, revision of employee compensation, and recruitment connected to opening new educational establishments." In 2017, there are 917 positions. Compared to 783 in 2013 (+17% in four years).
General expenses (water, electricity, office supplies, maintenance products for schools, parking structures, etc.) amount to €23.98 million. Slightly over one million is devoted to financing the professional training program. School transportation expenses total €1.8 million, and costs connected to cleaning services and collection of household waste, technological services, and maintenance of sporting equipment total over €6.5 million.
The other daily management expenses correspond to operations of middle and high schools (€2.7 million), the fire department (€2.6 million), the tourist office (€2.1 million), the Bethany Home retirement facility (€2.4 million), and the CTOS school lunch program (€8.5 million).
♦ Operating revenues
60% of operating revenues are guaranteed by taxes, which represent a total of €85.25 million in 2017. Revenues from collection of income and business taxes are estimated at €12.5 million and €6 million, respectively; those from the TGCA at €17.2 million and the tourist tax at €2.9 million.
36.27 MILLION € IN INVESTMENT
The budget for the investment sector is set at €36.27 million; in 2016, it was €63.58 million due to a report of a negative implementation balance of €24.69 million. Not including this report, the budget is practically the same.
Over half of revenues come from subsidies, including €5.9 million from the State-Collectivité development contract and €4.5 million from the ERDF (European funds). The new majority also wished to levy €9.8 million on operating revenues to "support economic development."
Among the main projects included in this year’s budget: the creation of a one-stop shop/local mission, security of educational institutions, hydraulic management of the Savane sector, fiber optic work in schools, the restoration and renovation of Fort Louis, road works, pursuit of renovation works and public lighting.
This preliminary budget was prepared over the course of several weeks by Collectivité technicians under the former term. The new majority led by Daniel Gibbs, however, provided certain modifications in order to finance some short-term measures that were promised during the electoral campaign. "Therefore, €1.62 million in investment and €935,880 in operations will be devoted to the implementation of promised projects. These re-allocations will, specifically, finance the three major audits that should lead to reforms of the fiscal, financial, and institutional systems in the coming months," commented President Daniel Gibbs. And he ensured that he will present "a true combat budget" for 2018. He announced that he will present the budget priorities in November and will propose a 2018 budget in December.
