Page 93 - Hurst FY19 Approved Budget

BUDGETARY

FINANCIAL POLICY GUIDELINES

Numerous financial policy guidelines are followed for the fiscal management of the City
and enable the City to maintain financial stability. They are reviewed annually. The
policies are long standing and provide guidelines for current decision-making processes
and future plans. Some of the most significant guidelines pertaining to the budget are
as follows:

OPERATING BUDGET POLICIES

Balanced Budget
The Budget should be balanced with revenues being equal to or greater than current
expenditures/expenses using the following strategies in order of priority: improve
productivity, shift the service or payment burden away from the city, improve revenues,
create new service fees or raise existing fees based on the cost of services, reduce or
eliminate programs, use fund balances, if available, increase property taxes, and lastly,
reduce or eliminate services.

The 2018-2019 budget was balanced primarily due to conservative expenditure
budgeting combined with growth in both property tax revenue. The following revenue
sources are major contributors to balancing the budget and will provide savings to the
General Fund in associated expenses.

• Community Services Half Cent Sales Tax Fund will provide savings of
$4,328,485
• Anti-Crime Half Cent Sales Tax Fund will provide a savings of $5,593,663

These sources are examples of a “service or payment burden being shifted away from
the City” since an estimated 75% of the half percent sales tax revenues are collected
from consumers who shop in Hurst but live outside the City. Expenditures continue to
be conservatively estimated with every dollar backed by written justification.

General and Administrative Charges
The General Fund is compensated by the Enterprise Fund, Fleet Service Fund, Anti-
Crime Fund, Half Cent Sales Tax Fund, Storm Water Management Fund, Hurst Conference
Center Fund and Commercial Vehicle Inspection Fund for the general and administrative
services provided such as management, finance and personnel, as well as the use of City

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