Preparing for the city of Kyle’s future, City Council held a special meeting on March 24 for its first budget retreat to discuss present and future needs.

Kyle City Manager Scott Sellers and Director of Finance Perwez A. Moheet went over the 2017-18 fiscal year and 2018-19 projections.

Preliminary estimates without being reviewed by the appraisal district or tax collector shows $1.4 million will be brought in from the $0.5416 tax rate as well as a 8-10 percent increase sales tax and utility customer fees revenue.

Citizens may also see an $0.84 increase in solid waste and recycling service rates, and a $7.08 average monthly rate increase for inside city residential customers wastewater service rates to help pay for the new wastewater treatment plant.

Sellers said that he was disappointed the initial construction estimate of the water treatment plant was blown by nearly $9 million. Sellers said the city initially set aside for $17 million for the plant’s construction. However, new estimates show that the construction will now cost $26 million. Sellers said that city may be able to bring the cost down to $24 million and will look into getting the estimate reviewed by a third party, which could cost the city $20,000-25,000.

While the budget is not set in stone, with the current needs of the city, Sellers said the projected 2018-19 fiscal year budget will bring in $2.5 million of revenue; however, the projected expenditure will be $10 million.

“The budget in July will be vastly different,” Sellers said. “CIP [capital improvement plan] is the biggest issue. We have been going back and forth for a while, but a lot of are projects are really imminent this year.”

In the meeting, Sellers also presented the preliminary results of the Kyle Community Survey. According to Sellers, 600 Kyle residents 16 years and older participated in the community survey that lasted from mid-February to mid-March.

A quick glance at the survey showed 80 percent of residents thought Kyle needed more street maintenance and repairs; 54 percent wanted Kyle to be a destination city; 51 percent of residents thought the property tax was just right, and 69 percent said Kyle’s government was actively responding to citizen’s concerns and input.

Council and city staff will use this information as the budget for the 2018-19 fiscal year is formed. The line budget will be sent to council on July 23. They will receive the certified value fees from the Hays Central Appraisal District in mid-July and have the second budget retreat on July 28.