Page 12 - Colleyville FY19 Budget

The fiscal year 2019 budget accomplishes a number of priorities, including the
following major areas of focus:

• Proposes the effective tax rate

2018 certified values increased 7.7% in total, compared to 2017 certified values.
The fiscal year 2019 proposed budget includes a proposed tax rate of
$0.3208/$100 of valuation, a $0.013034 reduction from the current $0.333834
tax rate. The tax rate of $0.3208 is the “effective rate”, which means that even
though property values went up, the property tax is lowered in order to collect
the same amount of City taxes from property owners as last year.

• Provides a balanced budget

The fiscal year 2019 proposed budget is a balanced budget, consistent with both
the City’s Charter and state law requirements. Operating expenditures are funded
with operating revenues. Operating funds maintain a fund balance above the 90-
day reserve at all times, as required by the City’s financial policies.

• Demonstrates responsible fiscal management with corporate-like
efficiency

Over the last year, City staff has focused on efficiency and sustainability, saving
nearly $1,000,000 in General Fund operating costs. This effort to reduce
expenditures was about more than just limiting labor costs and saving dollars. It
was an effort to bring corporate-like efficiency to the organization. Our strategy
is to only take in the revenue necessary to provide programs and services, rather
than accept the maximum possible revenue and then decide how to spend it.

One of the largest expenses of any City is personnel needed to carry out the
community’s desired programs and services. The fiscal year 2019 budget
provides a staffing level of 200.5 full-time equivalents (FTEs), 5.5 FTEs less than
in fiscal year 2018. This was largely possible by eliminating layers of management
within the organization and developing a flatter organizational chart. These
staffing efficiencies were all accomplished without any layoffs, but rather through
organic opportunities through vacancies. More importantly, this restructuring is
not a reflection of being in “austerity” mode—quite the opposite is true. It has
provided growth opportunities for staff and has allowed for a more dynamic
environment that is the antithesis of traditional bureaucracy. Ultimately, this has
produced a greater level of responsiveness to citizens and a “can-do”
organizational mentality that is focused on results.

We also absorb costs whenever possible, reallocating dollars to where the need
exists rather than assuming that “the way we’ve always done it” is the best way
to prioritize resources. This year-long efficiency effort bore fruit this summer
when health insurance costs went up seven percent. The City was able to absorb
those cost increases within the existing budget, along with all other typical cost

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