Page 20 - Hurst FY19 Approved Budget

Alternative Funding Sources

Each department evaluates service fees on an annual basis, and they are adjusted when
necessary. The city also considers alternative funding opportunities and applies for state
and federal grant funding each year. Grant funds received by the city generally average
$300,000 per year. In 2017-2018, total grant revenue generated was approximately
$1,324,854. Grant programs included a Mental Health Coordinator, the Tarrant County
Auto Theft Task Force, and Highway 10 landscaping. Grant proceeds vary from year-to-
year and grants for fiscal year 2018-2019 are expected to fall within traditional levels
and will primarily fund infrastructure and public safety needs.

Major Operating Funds

The 2018-2019 primary operational and debt service budgets listed in the table below
total $74,701,127, which represents a 0.99% increase from the previous year.

Fund Budget 2017-2018 Budget 2018-2019 % Change
General Fund $35,975,355 $37,045,966 2.98%
Debt Service Fund 3,225,276 3,226,086 0.03%
CS Half-Cent Sales Tax Fund 5,391,416 5,657,288 4.93%
Enterprise Fund 22,977,402 23,178,124 0.87%
AC Half-Cent Sales Tax Fund 5,948,874 5,593,633 -5.97%
Total $73,518,313 $74,701,127 0.99%

General Fund

City leadership will continue to addresses challenges that impact the City’s
General Fund. With the exception of economic recessions, sales tax has continued
to be a strong revenue source for Hurst. However, recent activity in the region has
begun cannibalizing local sales tax dollars and the City has a regional mall with
anchors struggling in the new economic environment. In spite of positive signs
in the regional economy, the City Council is concerned about recent local trends
and continues to budget a sales tax reserve to protect the City from economic and
market driven changes in sales tax. The reserve was carried forward in the FY 2018-
2019 budget. Recent economic news regarding closures of Toys ‘R’ Us and Babies
‘R’ Us are having an impact upon sales tax while the future of Sears continues to
be a concern and may require use of our budgeted sales tax reserve. If the reserve
is not utilized in the FY 2018-2019 budget, the City will transfer the reserve to the
Special Projects Fund for future capital projects. Under the visionary leadership of
our City Council, staff has been active in the business community recruiting private
partners for new developments and rehab of existing commercial properties. In

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