Kyle City Council and city staff are in the thick of workshops and planning for the upcoming fiscal year 2023-24 budget. The council has held several workshops and special meetings since July in preparation for budget and tax rate adoption in September.
City Manager Bryan Langley presented the proposal at a special meeting July 29 that detailed the budget.
What you need to know
The total revenue for the proposed FY 2023-24 budget is $61.06 million, a $10 million increase from the previous budget. The city's total expenditures are proposed at $69.13 million, also a near-$10 million increase from the previous year.
Of the $61 million in revenue, $18 million of that comes from property taxes, and an additional $17 million comes from sales and use tax. However, there will still be a positive ending fund balance of $22.63 million as the beginning fund balance is $30.41 million.
The proposed tax rate is set at $0.4631 per $100 valuation, which is also the voter-approval tax rate, the highest it can be before it needs to be placed on the ballot for an election. The proposed property tax rate is lower than last year's but could still mean a higher tax bill for residents as appraised property values continue to increase in Hays County.
Langley also highlighted some items of note within the new budget:
- 33 additional full-time positions
- No reduction in city services
- No change in water, wastewater or storm drainage fees
- $100,000 for police staffing study
- 6% merit increases for staff
- $10.5 million to complete the Downtown Master Plan, other downtown improvements
At a special meeting Aug. 10, City Council approved $847,736 worth of amendments to the FY 2023-24 budget, meaning there is an increase in earmarked funds for different needs.
The additional budget items are as follows:
- $89,257 for an animal control officer and related costs
- $117,609 for one code enforcement supervisor and related costs
- $150,000 for the Uber Kyle $3.14 program
- $234,775 for two street maintenance technician positions and related costs
- $256,096 for the director of utilities and related costs
The 2022 budget for the Uber program in Kyle was exceeded for the first time, according to agenda documents, leading to the increase in funds. The program offers rides through Uber for $3.14 with the city subsidizing up to $10 per ride.
Ridership of the program has increased by more than 30% over the past couple of years with a large increase this year compared to last. Ridership for FY 2022 was at 10,268; Ridership for FY 2023 through July is up to 18,921.
The funding will go toward subsidizing more rides throughout the fiscal year.
Animal control calls for service have also increased over the years, by about 15%, leading to the additional officer in the budget.
What they're saying
Data from a survey found that, out of 435 respondents, about 50-60% of them felt satisfied with the city's overall quality of service, cleanliness, safety and education.
However, residents were less than satisfied with the city's public transportation, availability of jobs that pay a living wage and availability of affordable housing, at around 17-30% satisfied.
The biggest areas residents want to see changes in are traffic, housing, restaurants and downtown.
Next steps
The City Council will hold another budget work session Sep. 5, which will be followed by a public hearing. The council will vote on budget and tax rate adoption Sep. 19.
