Thursday, May 2, 2024
While final approval awaits, Gatesville City Manager Scott Albert has submitted a budget preview to the Gatesville City Council that requests a budget of $21,934,977 for the 2024 fiscal year - a 25% increase from the city's $16,412,014 budget for 2023.
"If I were sitting in your shoes I'd say, 'OK, how are we going to pay for this?'" Albert told the council. He then presented a detailed list of areas in which the city is expecting additional revenues. This includes:
* $3,679,967 in grants and American Recovery Plan funds
* $309,568 in sale tax
* $261,373 in property tax
* $170,522 in interfund transfers
* $335,947 in water sales
* $319,414 in sewer charges
* $342,281 for sanitation
* $31,366 for municipal franchise fees, which reflects a 6% change in rates.
The total anticipated additional revenues are $5,450,438.
Grants are expected to help cover the cost of the Lovers Lane project currently underway, work on water plant lagoons, the drainage master plan and two water plant clarifiers. These grants total $3,679,967.
In a presentation to the council, Albert said sales tax revenues budgeted for the 2024 fiscal year were increased by 12% compared to the previous year, which amounts to $2.9 million ($2.6 million was budgeted for the 2023 fiscal year).
"This adjustment was made since current year collections have exceeded the estimated budget numbers by 13.8%," Albert said.
From October 2022 through June 2023, sales tax revenues have risen from 5% to 19% each month compared to the previous fiscal year.
The latest certified property appraisal roll for the city shows property values of $532,448,691, which is a 13% increase for the previous year. A memo to the council states that "the new taxable value from property and improvements added to the city's tax roll is $7,945,140. The city anticipates receiving $261,373 more in property tax proceeds.
Interfund transfers will involve moving money from the water and sewer funds to the city's general fund.
"These transfers are made with the purpose of covering 50% of operating expenses related to administration, fleet services, as well as salaries of the civic center manager and eclipse coordinator."
Cheri Shepherd, who previously served as the director of the city's Convention and Visitors Bureau before she retired earlier this year, has been hired as the city's eclipse coordinator. Gatesville has been identified as a prime viewing location for the April 8, 2024, eclipse, which is expected to bring a substantial number of tourists into the community. Shepherd will help to oversee the city's plans regarding the eclipse.
Morgan Smart was hired as the civic center manager and was expected to start July 20.
Albert noted that in the preliminary budget plan, expenses exceed revenues by $111,123, but told the council, "We'll have that worked out by the time we bring a budget to you on the 25th (of July)."
