Page 522 - Hurst FY19 Approved Budget

of its street, drainage, water and wastewater systems while remaining in-line with the
goals of the City’s multi-year financial forecast, which is included in the appendix of this
document. All Certificate of Obligation projects currently funded are discussed in the
Street Bond Fund, Drainage Bond Fund, Water and Sewer Bond Fund, Half-Cent Sales
Tax Fund and Other Funding Sources sections on pages 373 to 383. The descriptions
included on these pages provide the reader with a detailed explanation of each funded
project.

Revenue Bonds

In the past, the City has issued Revenue Bonds backed by sales taxes restricted to the Half-
Cent Community Services Fund. The funding associated with these type revenue bonds
has been exhausted and most Community Services projects are now being completed
on a pay-as-you-go basis utilizing sales tax proceeds. The City has also issued combined
tax and revenue Certificates of Obligation in the past and all such proceeds are being
carried in the Water and Sewer Bond Fund. Certificates of Obligation, in general, can be
issued by the City at a lower cost than Revenue Bond issuance. As such, the City does
not have immediate plans to issue Revenue Bonds in the near future. However, financial
plans continue to be updated regarding the City’s Transforming Hurst initiative and
revenue bonds as well as all other funding opportunities are being considered. Please
note that associated debt service schedules can be found in the Enterprise Fund and
Other Funds sections of this document.

Alternate Funding Sources

The City of Hurst performs projects on a pay-as-you-go basis when possible. Pay-as-
you-go funding is provided largely through special revenue funds. The City has legally
created special revenue funds to account for the collection of sales taxes, hotel/motel
occupancy taxes, court technology and security fees, commercial vehicle, peg fee and
park donations. The City adopted storm water drainage fees in 2009, which are available
to fund future capital projects. Other special revenue used for project purposes includes
grant revenue and escrow funds. Each project manager within the City is responsible
for identifying grant dollars for project completion and other needs. Aside from sales
taxes, the most often used alternative funding source is the Special Projects Fund. At
the end of each fiscal year, a certain percentage of budget savings from the General
and/or Enterprise Funds are transferred to the Special Projects Fund through the City
Manager’s ordained authority. Through Council and City Manager approval, projects are
subsequently created utilizing Special Projects Fund reserves.

Projects Totals by Funding Category

A comprehensive listing of all capital requests and the justifications for projects from
the respective departments of the City are available in a separate document entitled,

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