Page 19 - Saginaw FY20 Annual Budget

collections for FY 2018/2019. Unemployment in the area remains low and in general
economic trends are optimistic but with a cautious outlook. The largest influence on the
City’s budget is the large increase in property valuation. Property values for the City of
Saginaw increased an average of 15%. The increase in property values means the City
can collect the same amount of property tax revenue as last year but at a lower rate. With
the adopted rate of 45.9 cents the average homeowner will pay $804.34 in property taxes
which is $52.73 higher than last year. The Dallas/Fort Worth area’s real estate market
continues to see high demand with a tight inventory. The City of Saginaw continues to
see new housing starts which adds to our tax base.

The main attractions of Saginaw are location, land availability, easy freeway access, good
schools, low tax rates, and the general quality of life. Alliance Airport, Meacham Airport,
Eagle Mountain Lake, the United States Currency Plant, Texas Motor Speedway and the
Fort Worth Stockyards are all within fourteen miles of Saginaw’s city limits.

With the City’s continued growth and increasing expectations of our citizens, the
challenges the City faces this year include maintaining a competitive compensation plan
for employees, increased staffing for public safety, maintaining current facilities,
maintaining current service levels and completing infrastructure improvements. The City
is currently in the process of evaluating capital projects for a future bond election. The
key budget issues are:

 Adopt a tax rate that allows us to meet current service expectations, as well as,
meet voter approved debt service requirements.

 Provide a full year of funding for the Texas Municipal Retirement System
contribution rate increase (from 6% to 7%) that began January 1, 2019.

 Retain and recruit quality employees in all departments: The City’s most valuable
asset is its employees. Approximately 12% of our employees have been with the
City twenty years or more and are eligible for retirement under the City’s retirement
plan. Another 11% have been with the City a minimum of fifteen years and will be
eligible for retirement in five years or less. A considerable amount of knowledge
about the City, its history and operations will be lost. It is extremely important that
the City continue to offer competitive salary and benefits in order to hire and retain
quality employees. A 3% salary adjustment is funded for all pay grades. Funding
is also provided for a tuition reimbursement program and an employee recognition
event.

 Provide funding for needed public safety improvements. Funding is included for
the transition from the Tarrant County Fire Alarm Center to the City of Fort Worth.
The consolidation of fire dispatch communications will increase efficiency and
enhance service levels. Two Police Officers and one Jailer is added. The Jailer
will enable Police Officers to spend more time patrolling the City and less time on
jail administration. An additional Firefighter position is added, as well as, an
Emergency Management Coordinator. The Emergency Management Coordinator

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