Gibbs shared her priorities for Conroe’s finance department with Community Impact and how she plans to maintain transparency and accountability, and the strategies she’ll use to ensure the city’s financial health remains strong amid growth and rising costs.
What experience do you have that helps you in this role?
When I think about my experience, I see it as more than just my professional work; my educational background has been a big part of it too. I’ve built a solid foundation for the CFO role in Conroe with a master’s in public administration, a [master’s of business administration], and a bachelor’s in accounting and finance. ...
I have over 12 years of experience in accounting and finance, with more than nine years specifically in governmental accounting. In my previous roles as a controller and assistant finance director, I was heavily involved in planning, organizing, and managing the finance department’s activities. ... I also bring a strong auditing background, having worked as a senior auditor for various governmental organizations, ensuring compliance with financial regulations and managing audits. ...
I’ve had the opportunity to collaborate with upper management, including city managers, assistant city managers, councils, and finance directors, providing them with the financial insights they need for informed decision-making. ...
I’m really excited to bring all of this experience and my commitment to public service to the city of Conroe. I look forward to helping navigate its financial challenges and supporting its growth initiatives.
What are your top financial priorities in your first year as Conroe’s CFO?
In my first year as CFO of Conroe, these are a few top financial priorities I want to set up. ... My top priority will be focusing on staff development and team building. I want to prioritize training and professional development to make sure our staff is equipped to tackle the financial complexities of our city. ...
Next, I’m committed to enhancing financial transparency. It’s really important to me that we provide clear and accessible financial reports to the City Council and the community. ...
Another priority for my first year is budget optimization. I plan to conduct a thorough review of the city’s budget to pinpoint areas where we can optimize expenditures without sacrificing essential services. ...
I also want to focus on revenue enhancement. This means identifying new revenue streams and improving existing ones, like grants and partnerships. Working with local businesses and community organizations can lead to innovative funding solutions that support our city projects. ... I’ll prioritize long-term financial planning. Establishing a long-term financial plan is crucial. This involves forecasting our future financial needs and potential challenges, so we can proactively address any issues before they come up. I want to create a financial strategy that supports sustainable growth for Conroe.
How do you approach creating and balancing a city budget?
When it comes to creating and balancing a city budget, ... first, understanding community needs is essential. I start by engaging with department heads, city officials, and community stakeholders to get a clear picture of their needs and priorities. ...
Next, I rely on data-driven analysis. I analyze historical spending patterns and revenue sources to make informed projections about future revenues and expenditures. ...
Setting priorities is also crucial. I work closely with department leaders to establish priorities based on what the community needs, the resources we have, and our strategic objectives. This ensures that we allocate our funds effectively.
Balancing the budget is where it gets a bit tricky. I focus on aligning our expenditures with projected revenues while also identifying potential areas for cost savings. This might involve evaluating existing programs, looking for efficiencies, and exploring new revenue streams like grants or partnerships.
Once the budget is in place, I believe in continuous monitoring and adjustments. I regularly track our performance against the budget, allowing us to make necessary changes in response to any shifts in circumstances. ...
Finally, I prioritize community engagement and transparency throughout the entire process. I think it’s important to involve the community in budget discussions, as this builds trust and accountability. Providing clear and accessible information about budget decisions is key to maintaining public confidence.
How will you ensure taxpayer dollars are used efficiently?
Accountability and transparency are foundational. I believe in making financial decisions with the best interests of taxpayers in mind. ...
Next, data-driven decision-making is crucial. I plan to utilize data analysis to track expenditures and identify areas where we can improve efficiency. Implementing financial management systems that provide real-time data will help us make informed decisions about how we allocate our resources.
Regular audits and financial reviews will also be a priority. These processes are essential for ensuring compliance with regulations and identifying any inefficiencies or discrepancies in spending. ...
Community engagement is key as well. ... I plan to host public forums and provide accessible information on how taxpayer dollars are being spent, encouraging feedback and input from residents.
Lastly, I’m committed to a culture of continuous improvement. ...
How do you measure the overall financial health of a city?
First up is the budget surplus or deficit. It’s essential to assess whether the city is operating within its means. ...
Next, I look at the fund balance. ... It’s important to know how much cushion we have.
Debt ratios are also crucial. I monitor the city’s debt-to-income ratio and debt service coverage ratio to understand how sustainable our debt levels are. This helps us ensure we’re not overextending ourselves financially.
Revenue diversification is something I pay close attention to as well. Analyzing the variety of revenue sources ensures that we’re not overly reliant on a single source, which protects us from fluctuations in any one area.
I also conduct a comprehensive financial analysis. This includes budgeting, forecasting future revenues and expenditures, and performing trend analysis over multiple years. ...
Lastly, I evaluate long-term sustainability. This means considering factors like economic growth, demographic trends, and potential future liabilities. I want to ensure that we’re not just focused on short-term results but also [on] planning.
How will you work with City Council and department heads on budget decisions?
I want to emphasize collaboration. By working together, we can make sure that all perspectives are considered, leading to well-rounded financial decisions. Open communication is key. I’ll foster open lines of communication with both the City Council and department heads, making sure I’m approachable and encouraging dialogue about budget priorities, challenges, and opportunities.
Regular meetings and updates will also be part of my approach. I plan to hold regular meetings and budget workshops throughout the budget cycle. ...
A data-driven approach is essential too. ... By presenting clear financial reports and forecasts, we can make informed decisions that are grounded in evidence and aligned with the city’s strategic goals.
I’ll also actively seek feedback from both the City Council and department heads throughout the budgeting process. Incorporating their insights will not only enhance our budget but also foster a sense of ownership and accountability among everyone involved.
Finally, we all share the same goal: to support the community and enhance the city’s financial health. By aligning our efforts and maintaining open communication, we can create a budget that reflects our priorities and meets the needs of Conroe’s residents.
How do you plan to communicate the city’s financial outlook to residents?
First and foremost, I’m committed to transparency. I want to make sure residents have clear and transparent financial information so they can understand the city’s financial health and outlook.
To reach residents effectively, I’ll use multiple communication channels. This includes the city website, social media, and newsletters. ...
I also understand that financial reports can be complex. That’s why I’ll work on presenting this information clearly and understandably. I plan to use visuals like charts and graphs to illustrate trends and highlight key points.
Regular updates are important too. I’ll provide consistent updates on the city’s financial outlook, especially during budget season. This way, residents will be informed about how taxpayer dollars are being utilized and any changes in our financial forecasts. ... My goal is to ensure that residents are well-informed about the city’s financial outlook. I want to foster a sense of community involvement and build trust in the financial management of Conroe.
With an increase to payroll costs, how can Conroe keep its finances sustainable without raising taxes?
I understand the challenge. I recognize that payroll costs are a significant part of the city’s budget and keeping them under control is essential for maintaining our fiscal health.
One effective strategy is to assess and optimize staffing levels. This means doing a thorough review of our current staffing needs to make sure we have the right number of employees in each department. ...
Next, we should look for ways to improve operational efficiency across departments. This might involve streamlining processes, using technology to automate routine tasks, and investing in training to boost employee productivity. ...
Exploring alternative revenue sources is another important avenue. We can seek out grants, build partnerships with local businesses, or generate revenue through city-sponsored events and programs. ...
Finally, developing a long-term financial strategy is critical. This means forecasting potential increases in payroll costs and planning to ensure we stay within our financial means.
What are the considerations when balancing major water and sewer projects with the city’s growing debt load?
I understand the importance of these projects. Maintaining and upgrading our water and sewer infrastructure is crucial for public health, environmental sustainability, and the overall quality of life in Conroe. ...
The first step is to take a close look at the city’s existing debt levels and our capacity for additional borrowing. This helps us understand the implications of taking on new debt for these projects.
Prioritizing projects is also essential. We need to prioritize water and sewer projects based on urgency, potential impact, and how well they align with community needs. ...
Exploring funding strategies is another important factor. I’d look into various options to finance these projects while keeping our debt levels in check. This might include grants and state or federal funding, ... public-private partnerships, ... , [and] incremental financing. ... Finally, long-term planning is crucial. We need to develop a long-term financial strategy that incorporates anticipated infrastructure needs and outlines a clear debt management plan. This way, we can strategically plan for future projects while ensuring we don’t overextend our debt capacity.
How can the city prioritize capital projects if and when funding is limited?
I know that limited funding creates tough choices about which projects to pursue. We need a strategic approach to invest in projects that offer the greatest benefit to the community.
Next, I’d establish clear criteria for prioritization. Here are some key factors I’d consider: public safety and health, ... regulatory compliance, ... economic impact, ... [and] cost-benefit analysis. ... Engaging stakeholders is also vital. I’d involve city officials, department heads, and community members in the prioritization process to gather input on project needs and priorities. ...
Data-driven decision-making is crucial too. I’d leverage data and analysis to make informed decisions. Using tools like GIS mapping to assess infrastructure conditions and project impacts can help us identify high-priority projects based on factual needs.
I’d also advocate for a phased implementation approach. This means breaking larger projects into manageable phases. ...
Finally, I’d establish a regular review process.
What financial strategies will you use to manage the city’s costs and opportunities of rapid growth?
I recognize that rapid growth brings both challenges and opportunities. While it can lead to increased demand for services and infrastructure, it also gives us a chance to enhance Conroe’s economic landscape.
To manage these challenges effectively, I’ll implement comprehensive financial planning that aligns with our growth objectives. This means developing a long-term financial strategy that anticipates the needs tied to our growing population and business activity.
For cost management, I’ll focus on a few key strategies, [including] prioritizing infrastructure investments ... [and] streamlining operations. ... On the flip side, I’ll also focus on leveraging the economic opportunities that come with growth. This includes attracting new businesses ... [and] encouraging mixed-use developments. ... Finally, I’ll prioritize long-term sustainability and fiscal responsibility.
What do you see as Conroe’s biggest financial risks in the next three to five years, and how will you prepare for them?
Here are some key areas to consider when I think about the biggest financial risks that Conroe might face in the next three to five years:
- Water and Sewer CIP Projects: The capital improvement projects for our water and sewer systems are crucial. If we don’t manage these effectively, we could face significant service disruptions or increased costs down the line.
- Hyatt Regency Hotel: The financial performance of the Hyatt Regency Hotel will be important. If it doesn’t meet expectations, it could impact our projected revenue, increasing costs and debt payments.
- Rising debt levels: As debt levels rise, it can strain our budget and limit our ability to invest in essential services and infrastructure. We need to be proactive about managing our debt.
- Infrastructure Maintenance: Keeping up with infrastructure maintenance is vital. If we neglect this, we could end up facing costly repairs or even safety risks, which can also affect our community’s overall quality of life.
- Potential increased taxes and fees: There’s always the challenge of potential increases in taxes and fees, which can create pushback from residents. We need to find a way to balance funding needs with community support.
- Bond ratings from S&P Global and Moody’s: Our bond ratings can significantly impact our borrowing costs. Maintaining a good relationship with rating agencies and ensuring our financial health is crucial to keeping our ratings strong.
- Economic uncertainty: Economic fluctuations can impact our revenue, especially if there's a downturn. We need to prepare for potential declines in sales tax or property tax revenue.
- Workforce challenges: As we grow, attracting and retaining skilled employees can be a risk. We need to ensure we offer competitive salaries and benefits to keep our workforce strong.
- Adopt a long-term strategic plan: We need a strategic plan that balances fiscal responsibility with growth initiatives. This will help us navigate challenges while still pursuing opportunities.
- Enhance financial forecasting: By improving our financial forecasting, we can better anticipate potential shortfalls and adjust our budgets accordingly.
- Diversify revenue streams: Exploring alternative revenue sources, like grants or partnerships, can help reduce our reliance on traditional revenue streams.
- Establish a reserve fund: Building up a reserve fund can provide a safety net during economic downturns and unexpected financial challenges.
- Invest in Technology: Utilizing technology for smart infrastructure management can lead to cost savings and improved efficiency in our operations.
As the CFO of Conroe, I’d like to take a moment to share an important message to not only with our residents but also among all city departments:
I believe in the importance of transparency. If something doesn’t seem clear or you have questions about [the] financial information about the city, please don’t hesitate to reach out. It’s always more constructive to ask than to make assumptions. It’s essential to recognize that our city operates as a cohesive unit. Collaboration among all departments is vital for our success. By working together, sharing insights, and supporting one another, we can ensure that Conroe remains a thriving community. ... My door is always open for discussions, and I look forward to engaging with all of you to help ensure a prosperous future for our city.
