Page 114 - Honorable Mayor and Members of the City Council

Transfers

No transfers of funds into the General Fund are reflected in the Long Range Financial Forecast except for the transfer
in 2018-19 from the Road Damage Fund to the General Fund. It is the prerogative of the City Council to determine if
and when transfers are made in future years. Transfers are included for the Debt Service Fund from the Stormwater
Utility Fund for the payment of debt service principal and interest related to drainage projects.

EXPENDITURE ASSUMPTIONS

The methodology for determining the level of expenditures throughout the forecast period is basically the same for all
operating funds. Expenditure estimates are developed for each department based on current service levels, with
increases due to inflationary pressures only. All non-recurring capital spending is removed from the forecast and
projected using expert judgment. The only recurring capital outlay reflected in the forecast is the replacement of Police
patrol vehicles each year in the General Fund.

Population Projections

The population projections, based on the 2010 Census counts and data from the North Central Texas Council of
Governments, used for both revenue and expenditure projections in the Long-Range Financial Forecast are provided
below:

2016-17…………………….22,260
2017-18…………………….22,629
2018-19…………………….22,760
2019-20...............................23,000
2020-21…………………….23,100
2021-22…………………….23,400

GENERAL FUND

As previously stated, one of the methods used to project operating expenditures is to develop separate inflation rates
for a variety of line item expenditures. The inflation rate is then applied to the projected expenditures. The flaw in this
approach to forecasting is that expenditures are often forecast before they occur and consequently the ending fund

CITY OF BENBROOK 2018-19 ANNUAL BUDGET
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