Page 8 - City of Bedford FY21 Budget

October 1, 2020

Honorable Mayor, Council Members, and Bedford Community Members –

I respectfully submit to you the Annual Operating Budget for Fiscal Year (FY) 2020-2021 for the
City of Bedford. The adopted budget presents the annual financial plan and allocation of public
resources for the coming year. It was developed with a focus on achieving the City Council’s goals

and providing excellent services to the residents of Bedford.

The total adopted budget for FY 2020-2021, including capital purchases, debt service
commitments, Street Improvement Economic Development Corporation’s maintenance projects,
and transfers between funds, is $78,997,340. This represents an increase of $246,930, or 0.3
percent when compared to the FY 2019-2020 amended budget. Initially, the proposed budget
presented a decrease of $2,389,722, or 3 percent, due to the elimination of one-time expenditures,
as well as the turnover of tenured personnel, combined with increased tax revenue. However, the
proposed budgetary decline presented an opportunity for the City Council to recognize savings in
addition to allocating funds in support of key focus areas.

The FY 2020-2021 Budget highlights include:

• Identified Cost Savings
The budget identifies approximately $482,460 in cost savings from switching to a new
medical insurance provider with cheaper premiums, as well as freezing some full-time
positions for the year.

• Division Reallocations
The budget also includes funding $401,988 for 5.5 full-time-equivalents (FTE), that
provide administrative support for the general government function. They consist of 3
FTEs located in the Facilities Maintenance Division, and 3.5 FTEs located within the
Finance Division of the Administrative Services Department. Although they supported the
general government function, these FTEs were previously funded by the Water and Sewer
Fund. Therefore, the City Council determined it was in the best interest of the City to move
the positions to the General Fund where it is most appropriately funded.

• 2% Pay Grade Adjustments
The budget includes an across-the-board adjustment of 2% for all eligible employees,
including adjusting the pay grades for Public Safety personnel by the same percentage. The
budgetary impact of the compensation increase is $400,377.

2000 Forest Ridge Drive – Bedford, Texas 76021 – (817) 952-2100 – www.bedfordtx.gov
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