Aldermen are expected to give final approval to a $5 million budget for 2018-19 at their Tuesday, June 19, board meeting.
The board gave preliminary approval to the spending plan at the June 5 board meeting after amending the budget to include an $11,000 line item for the history museum and genealogy center.
The budget shows anticipated general fund revenue of $4,795,043 and expenditures of $5,023,495, leaving a general fund deficit of $228,000, which includes the annual transfer of $120,000 from the general fund to the contingency fund.
Officials say existing cash reserves will offset the deficit so the budget is in effect balanced.
The budget shows that the city has a $1.5 million contingency fund; $859,000 in CID fund balances; and $3 million in the sewer district fund.
The spending plan includes $3.15 million to pay the city’s 47 full-time employees; $250,000 for street improvements; and $588,000 to meet the city’s $6.1 million in debt obligations.
Spending includes $100,000 to replace the Integram Drive culvert and $350,000 for Candlewick Lane improvement.
The city also will spend $55,000 to help fund the school district resource officer and $20,000 to operate the Iron Horse Rodeo.
The city also expects to spend $1.3 million to operate the city water department and $3.9 million to operate and complete repairs on the sewer system.
There are no employee pay raises in the budget, but the city anticipates that after Prop P, which voters approved in April and goes into effect in October, it will receive about $240,000 annually and budgeted $120,000 this year, which would allow pay increases for police officers to go into effect in January 2019.
“While the city’s financial position in general is stable, there is a recognized need for new revenue sources to fund streets, sidewalks and other transportation projects, and to fund park maintenance and improvements,” City Administrator Steve Roth’s budget message concluded.
“This is expected to be a discussion point for the city going forward,” he said.
The new spending plan will go into effect July 1 and extend through June 30, 2019.