Page 62 - CITY OF AZLE, TEXAS

New construction building permit revenue is estimated at $950,000 in FY 2022-23, which is an
increase of $550,000 over the initially anticipated amount for FY 2021-22. This increase is
attributed to the rapid rise in the number of buildable residential lots available and various
commercial construction projects in the City.

Total Intergovernmental revenue is estimated at $1,974,000 in FY 2022-23, which is an
increase of $1,169,000 (145%) over FY 2021-22. The majority of this increase is attributable to
a grant in the amount of $1,160,000 from Tarrant County Emergency Services District No. 1 to
replace two ambulances in the City’s vehicle fleet.

General Fund revenue will be supplemented by $1,088,093 in transfers from other funds. The
majority of these transfers will cover costs associated with the administration of other funds that
are accounted for in the General Fund, such as the Utility Fund and Stormwater Fund. In
addition, $110,000 of the total transfer is from the Golf Course Fund and will continue the
process of paying down an outstanding advance in the amount of $342,616. With few
exceptions, all other sources of General Fund revenue are expected to remain fairly level.

Trend analysis played a part in estimating the revenue for the FY 2022-23 budget year in the
General Fund and several underlying assumptions were used to help staff analyze revenue
trends. The two biggest single sources of revenue in the General Fund are property taxes and
sales taxes and the trends and assumptions on these two sources were discussed above.

EXPENDITURES

The General Fund expenditure budget for FY 2022-23, as amended and approved by the City
Council, is $16,498,476. This is an increase of $2,324,405 (16.4%) over the adopted FY 2021-
22 budget and will maintain or improve current service and staffing levels. $1,160,000 (49.9%)
of this increase is attributable to the grant-funded purchases of the two ambulances mentioned
above. Other factors driving this increase include the planned drawdown of fund balance for
capital items such as vehicles, equipment purchases for the Street Department, and partial
funding ($66,000) for an update to the City’s comprehensive land use master plan and
thoroughfare plan with the remainder of the cost to be covered by the Municipal Development
District. New positions in this budget include a Marketing Specialist (partially funded by the

City of Azle FY 2022-2023 Budget 51