Developing and proposing a balanced budget for fiscal year 2018 with over a $1 million shortfall in state funding is the biggest challenge that lies ahead in the coming months for Gloucester’s County Administrator Brent Fedors.

Another major project in the coming year will be to complete the county’s Combined Transportation and Utilities Center Study to define the overall scope and recommended construction phasing of a joint vehicle maintenance, warehouse and utility support facility.

According to Fedors, the state is trying to make up for its own budget shortfall by not subsidizing the 2 percent pay increases that were promised to teachers. There is also a $470,000 obligation to match Virginia Retirement System components and health insurance.

“The state budget challenges are being felt at the local level,” he said.

Since taking the county’s top post just over a year ago, Fedors has implemented a new value production strategy, which he said is aimed a...