Page 83 - Honorable Mayor and Members of the City Council

based upon the total delinquent taxes outstanding as of September 30 and the City’s historical success of collections.
Penalty and interest estimates are based on the actual amount received during the past several years.

INCREASES IN PROPERTY TAX REVENUE

Current property tax revenue for 2018-19 is $13,367,483 for an increase of $1,462,483 over the 2017-18 re-estimate of
$11,905,000. Delinquent property tax collections for 2018-19 are $145,500 for an increase of $4,000 over the 2017-18
re-estimate of $141,500. Penalty and interest revenue for 2018-19 is $67,300 for an increase of $5,000 from the 2017-
18 re-estimate of $62,300. Total property tax collections projected for 2018-19 are $13,584,458 for a net increase of
$1,471,483 over the 2017-18 re-estimate of $12,112,975.

FRANCHISE TAXES REVENUE

The City of Benbrook, under the authority granted by the State of Texas, charges local utility companies: Oncor, Atmos
Energy Company, AT&T, and Spectrum (formerly Charter Communications) a franchise tax for the City’s right-of-way.
The City also contracts out the sanitation collection and disposal services and receives a franchise fee from the private
contractor. Franchise holders pay the City a percentage (between three to five percent) based on each utility’s gross
receipts. The 2017-18 re-estimate of $1,593,028 increases by $36,972 to $1,630,000 in 2018-19.

Revenue from the electrical franchise is projected to be $735,000 in 2018-19. Revenue from the natural gas franchise
is projected to be $90,000. Revenue from the telephone franchise is projected to be $175,000. Revenue from the
sanitation franchise is projected to be $350,000. Revenue from the cable television franchise is projected to be
$280,000.

SALES AND OTHER TAXES REVENUE

Revenue from the City’s one-percent share of the Texas sales tax and other taxes is projected to increase by $100,000
in 2018-19. The 2018-19 projection is $2,454,400 and the 2017-18 re-estimate is $2,354,400.

Sales tax collections are anticipated to increase due to the completion of the construction project scheduled for a
portion of Benbrook Boulevard (Highway 377 South) in 2017-18. The inconvenience to drivers and pedestrians caused
by the construction reduced the number of shoppers and decreased the volume of sales for a portion of the year; with
this project completed, sales tax revenue collections are projected to increase.

CITY OF BENBROOK 2018-19 ANNUAL BUDGET
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