Page 19 - Pantego FY22 Operating Budget

September 13, 2021

Honorable Mayor and Members of the Pantego Town Council:

In accordance with the Texas Local Government Code, the Proposed Annual Operating Budget for
fiscal year beginning October 1, 2021, and ending September 30, 2022, is hereby presented. The
proposed Budget presents, in financial terms, is the plan for accomplishment of the delivery of municipal
services during the forthcoming fiscal year. The Budget is a funding mechanism and represents one of
the most significant policy decisions the Town Council makes – how to allocate resources.

Preparation of this document requires a comparison of the anticipated revenues with adopted programs
and priorities, service demands or prior project commitments. While the proposed Budget does not fund
all departmental supplemental requests, the proposed Budget has been formulated by reflecting the
following core values:

- Remaining fiscally sound;
- Providing exceptional governmental services;
- Effectively allocating resources to meet citizen needs; and
- Valuing our employees.

This past year was a period of financial uncertainty in the Town’s economy. Overall occupancy rates in
commercial spaces appear to have remained consistent and property valuations continued to grow
modestly. However, the COVID-19 pandemic made budgeting, which is already a complex endeavor, even
more challenging. With the continued rise in the spread of the virus it was expected that sales taxes would
face some headwinds. Although that did occur in the earlier months our diverse tax base proved to be
more resilient and thus outperformed other areas of the Metroplex, State and Nation. Despite continued
uncertainty surrounding the virus things have seemed to stabilize and provide enough evidence to suggest
our sales tax receipts should remain consistent. Therefore, we are comfortable in raising our projections
beyond the ultra-conservative projections we budgeted for last Fiscal Year.

However, the Town does continue to face challenges as it moves forward. Therefore, the Town
utilizes a strategic planning process that enables the organization to work daily to accomplish
community short and long-term goals and objectives. The plan and policies that enable us to reach
these financial and non-financial goals and objectives include the following areas of concentration:

- Maintaining financial sustainability;
- Maintaining and enhancing the quality, vitality, and attractiveness of the community;

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