Page 53 - PowerPoint Presentation

GENERAL FUND OVERVIEW

The General Fund is the Town’s principal operating fund. It is supported by sales and use taxes,
property (ad valorem) taxes, planning and development fees, and other revenues. These revenues
may be used for a variety of purposes as determined by the Town Council. The General Fund budget
accounts for core Town services such as fire and emergency services, planning and development,
public works, finance, and administrative oversight.

REVENUES
Budgeted at $10,788,545. This is a slight decrease of $14,836 from prior year revised.

The largest revenue source in the General Fund is general sales and use tax revenues which is budgeted
to be $4.5M and represents 42% of the General Fund’s total revenues and sources. This remained flat
when compared to prior year revised, based on slow economic recovery and ongoing impact of COVID-
19.

The second largest revenue source is from building permits and fees charged for development
activities which are budgeted to be $2.567M, comprising 24% of the General Fund’s total revenues
and sources. This reflects a 37% increase of $697K when compared to prior year revised. This increase
is based on continued growth and planned development projects this upcoming fiscal year.

The third relatively largest revenue source in the proposed General Fund budget is property tax (or ad
valorem) revenues. The Maintenance and Operations (M&O) portion of the rate is budgeted to be
$1.7M, comprising 16% of the General Fund total revenues and sources. This reflects a 15% decrease
of $297K when compared to prior year revised, expected due to the decrease of the M&O rate this
year.

Lastly, the final revenue category reflected in the chart below is for All Other Revenue at 18%. This
category contains the second and final expected distribution of funds from the federal government’s
American Rescue Plan Act (ARPA). With the first distribution ($200K) expected before the current fiscal
year end, and the $211,733 included in the proposed budget, this ARPA revenue use is limited to
expenditures in four statutory categories:

• Support of public health expenditures and negative economic impacts caused by the pandemic
• Revenue replacement for specific governmental services relative to the pandemic
• Investments in water, sewer, and broadband infrastructure
• Premium pay for essential workers

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