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Plain City rolls out first five‑year General Fund forecast; advisor says balances look strong
Summary
Plain City presented its first five‑year General Fund forecast on Feb. 5, 2025, showing stable and increasing ending balances, a recommendation to update forecasts every six months, and model assumptions that include a 7% annual income‑tax growth and 3% annual operational cost increases.
Plain City officials introduced the Village’s first five‑year General Fund forecast at a joint Council and Personnel & Finance, CIP Committee meeting on Feb. 5, 2025, and the Village financial advisor said the outlook shows stable, growing ending balances.
The forecasting tool, presented by David Conley, the Village’s financial advisor, analyzes each General Fund revenue and expenditure line and is designed to be updated every six months. “Very few villages in the state utilize forecasts such as this,” Conley said, praising the Village’s proactive approach.
Why it matters: the forecast is intended to guide decisions about staffing, services and capital spending as Plain City grows. Conley and Director of Finance Renee’ Sonnett told Council the model covers the 1.0% portion of the Village’s 1.5% income tax that supports the General Fund; the remaining 0.5% is reserved for capital expenditures and is not included in this forecast.
Details from the presentation: Conley said the model uses a conservative 7% projected annual increase in income‑tax revenue and assumes the operational budget will rise about 3% per year. The draft includes a projected addition of about 1.5 staff positions per year beginning in 2025; Conley noted wage and staffing assumptions can be edited in future iterations. Sonnett provided three years of annual percentage increases in income‑tax receipts at Council’s request.
Conley said the Village’s current revenue mix is heavily concentrated in income tax and described the forecasting tool as adaptable to other funds. He recommended staff add statistical assumptions (population and household growth, and other model inputs) to the forecast’s notes so readers can evaluate methodology.
On financial strength, Conley told Council the Village is “in its strongest and healthiest financial position in its history,” and said rating agencies view the use of a forecasting tool favorably. He added staff is pursuing options to restructure the Village’s pool bond to shorten the repayment period by roughly seven years, which staff said would benefit taxpayers.
Council actions during the meeting were limited to routine approvals: Council approved the meeting agenda and the Jan. 27, 2025 minutes by voice vote; the Personnel & Finance, CIP Committee approved its agenda and the Nov. 18, 2024 minutes. The meeting adjourned at 7:23 p.m.
Next steps: staff will finalize the forecast document with explanatory notes and update the tool on a regular schedule; Council asked that the Village draft a taxation policy to guide future revenue decisions.
