On August 9th the Kennedale City Council got their first peak at a proposed budget for the fiscal year 2018-19 for all funds of $15,266,742. They will get another crack at it on August 23. {{more: continue …}}
Notes on the budget …
Property values grew significantly in a continued recovery from 2017 with an increase of greater than 8.0% over the prior year tax roll. A tax rate reduction of one cent ($0.01) from $0.7775 to $0.7675 is proposed.
The General Fund budget includes the continued funding of the compensation (salary) adjustments implemented on August 1, 2018 at a cost of $394,087; inclusion of three new firefighter/paramedic positions; and an expected 6.5% increase in employee health insurance costs.
New Programs …
While potential new programs totaling a first year estimated cost of $356,537 were identified by the departments in the preparation of their budgets only $32,682 are included in this proposal. A comprehensive list of proposed new programs that have not been included in the budget will be provided to Council. The following are those new programs that have been included in the proposed budget:
- Three EMT positions in the Fire Department $ 0 (net)
- Software Improvements (HR & City Secretary) $9,493
- Reclassify part-time to full-time (Finance) $23,189
The Water and Sewer Fund rebounded and is expected to end the current year with a working capital balance of at least $1.4 million representing 35% of operating costs for FY 2017-2018. This is larger than the city?s policy objective of 18% to 25%.
However the staff cautioned that part of this is due to
- a number of position vacancies, including the Director?s positon, that have been opened for several months
- delays of some maintenance and repairs as staffing needs are being ascertain
- small number of ?unanticipated or surprise repairs? have occurred with only one major water line break along with minimal well maintenance expenses.
The staff also cautioned changing rates at this time with the final decision with the City of Arlington for the operation of the Kennedale water system has been reached as of yet. A decision may not be reached until this fall.
This budget proposal does include an increase in the monthly storm water fee from the current $3.50 to $4.00 per household
Tax rates ?
To finance
the current budget as presented at total property tax rate of $0.7675 is
requested. This is down a one cent from last year?s property tax rate of
0.7775.
The
proposed budget and resulting tax rate assumes no change in exemptions. There
has been talk of raising the amount currently at $50,000 for senior citizens
(age 65+). That is an issue that would have to be decided by council members.?
Budget adoption timeline …?
- August 9th ? City Council Special Session: Budget Workshop
- August 23 ? City Council Special Session: Budget Workshop
- August 24th ? Publish Notice of Public Hearing on Budget on Sept 7th
- August 31st ? Publish Notice of Property Tax Rates for Sept 7th and 14th
