The overview
Barring resources dedicated to the new municipal complex, the proposed FY 2024-25 budget does not allocate funds to any new programs, Finance Director Vonda Ragsdale said.
"The new city hall and fixing the roads, with the current projects, are our priority right now because we took out bonds for those," Ragsdale said.
At the meeting, Ragsdale said the city was in good financial standing overall, noting the general fund had climbed from roughly $5 million in FY 2018-19 to a projected $12 million at the end of this fiscal year.
According to city documents, officials project a budget surplus of about $1.3 million.
By the numbers
Revenues from property taxes will increase from previous years, but sales tax revenues are expected to remain the same, according to city documents.
Other key figures regarding property tax revenue include the following:
- Officials proposed a property tax rate of $0.1786 per $100 valuation, which is the same as FY 2023-24.
- 1.75% more revenue will come from property taxes than last year, due to an increase in the estimated taxable property value in the city.
- The average taxable residence is valued at $2 million this year, as opposed to $1.8 million in 2023.
Additionally, the proposed budget accounts for a 4% increase in city staff salaries and 10% increase in cost for more medical benefits.Another detail
The current road projects are funded through the 2021 voter-approved street maintenance sales tax, a 0.5% fee applied to all taxable purchases made in the city, according to the city’s website. The tax will need to be reapproved in May to remain in effect.
Prior to the tax, the city had no dedicated revenue system in place to consistently fund road maintenance, according to previous Community Impact reporting.
Looking ahead
The new proposed budget will be adopted by council on Sept. 17, according to the city schedule.
Until then, City Council will review presentations of the budget and hear public comments at each meeting.
