Page 13 - Hurst Adopted FY22 Budget

APPROVED FISCAL YEAR 2022 BUDGET

however, the county covered operational expenses only keeping the conference center at a
“break-even” financial position. With shuttered operations, and limited revenue potential
during the vaccination site the conference center had significant lost revenue. We will focus on
restoring lost revenue of the conference center as it returns to pre-pandemic operations
along with all other city services.

Major Fund Summary
The 2021 – 2022 primary operational and debt service budgets listed in the table below total
$77,767,707, which represents a 7.39 percent increase from the previous year. The increase is
due to the restoration of services to pre-pandemic levels.

FY 2020-2021 FY 2021-2022
FUND BUDGET BUDGET % CHANGE
GENERAL FUND $36,327,774 $37,935,080 4.42%
DEBT SERVICE FUND 3,944,435 3,619,015 -8.25%
CS HALF-CENT SALES TAX FUND 4,193,767 4,915,771 17.21%
ENTERPRISE FUND 23,603,255 26,472,477 12.16%
AC HALF-CENT SALES TAX FUND 5,566,615 4,991,710 -10.32%
TOTAL $73,635,846 $77,934,093 5.83%

General Fund
To meet the budget priorities established above, the General Fund budget had an increase of
4.24 percent which is an increase of about one percent compared to the last pre-pandemic
budget in FY 2019. The increase is primarily driven by restoration of services and programs to
pre-pandemic levels, including the wage adjustments outlined above. General Fund operations
are primarily funded through property and sales tax revenues which account for almost 70
percent of the total budget. Both property and sales tax revenues are budgeted to increase by
approximately $900,000. The tax rate remains the same as the prior year with revenue increases
resulting from shifting revenue dedicated to debt service in the prior year to maintenance and

operations in the current year. Additionally, a modest increase in property values overall,
especially increases in residential values, propped up losses in commercial values. The increase
in budgeted sales tax revenue remains conservative based upon a budget contingency of
approximately 10 percent of general fund sales tax revenue. Actual revenue in the prior year
exceeded budget expectations as Federal stimulus and recovery efforts offset the significant
losses that were anticipated. Current trends support the increase in sales tax revenue while
maintaining our sales tax revenue contingency.

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