Page 301 - City of Westlake FY20 Budget

Section 7 Debt Service Funds
Debt Service Fund 300 Overview

This Debt Service Fund is used to manage payments on all general government related debt
except for property tax supported debt which is paid through Fund 301. Town Council and staff are
dedicated to a conservative pattern of debt issuance that ensures property tax rates remain among the
lowest in the region and attractive to prospective businesses and residents.

Recognizing long-term debt is usually a more expensive financing method, alternative financing sources
are explored before debt is issued. When debt is issued, it will be used to acquire major assets with
expected lives which equal or exceed the average life of the debt issue. Transfers from 4B Economic
Development Fund and the General Fund comprise the bulk of this debt service fund revenues.

The following series have been moved to Fund 301 to be covered by property tax revenues as these bonds
are tax supported.
• In FY11/12 the series 2011 Certificates of Obligation debt payment for the improvements to street
infrastructure.
• In FY17/18 the series 2013 refunding debt payments (originally series 2008 noted below) for the
Westlake Academy Arts and Sciences building.
• In FY19/20 a partial amount of series 2013 Certificates of Obligation debt payment for the
expansion construction at Westlake Academy.

Revenues and Other Sources
• Total Transfers In are budgeted to be $1,988,489
• This represents a 17% decrease of $417,412 from prior year estimated.
o Due to a partial amount of series 2013 CO being moved to fund 301 as noted above.

Expenditures and Other Uses
• Expenditures and Other Sources are budgeted to be $1,988,489;
• This represents a 17% decrease of $417,412 from prior year estimated.
o Bank service charges are budgeted to remain flat at $2,730
o Debt service expenditures are budgeted to be $1,985,759; a 17% decrease of $417,412
from prior year estimated due to a partial amount of series 2013 CO being moved to
fund 301 as noted above.

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