Page 383 - FortWorthFY23AdoptedBudget

Revenue Policy

C. Property Tax Revenues/Tax Burden

The City shall endeavor to reduce its reliance on property tax revenues by revenue
diversification, implementation of user fees, and economic development. The City
shall also strive to minimize the property tax burden on Fort Worth citizens.

D. Enterprise Funds User Fees

It is the intention of the City that all utilities and enterprise funds be self-supporting.
As a result, utility rates and user fees shall be set at levels sufficient to cover operating
expenses, meet debt obligations, provide additional funding for capital
improvements, and provide adequate levels of working capital. The City shall seek
to eliminate all forms of subsidization to enterprise funds from the General Fund.

E. Administrative Services Charges

The City shall establish a method to annually determine the administrative services
charges due the General Fund from other funds for overhead and staff support.
Where appropriate, governmental and proprietary funds shall reimburse the General
Fund for direct services rendered.

F. Revenue Estimates for Budgeting

In order to maintain a stable level of services, the City shall use a conservative,
objective, and, analytical approach when preparing revenue estimates. The process
shall include analysis of probable economic changes and their impacts on revenues,
historical collection rates, and trends in revenues. This approach should reduce the
likelihood of actual revenues falling short of budget estimates during the year and
should avoid mid-year service reductions.

G. Revenue Collection and Administration

The City shall maintain high collection rates for all revenues by keeping the revenue
system as simple as possible in order to facilitate payment. In addition, since revenue
should exceed the cost of producing it, the City shall strive to control and reduce
administrative costs. The City shall pursue, to the full extent allowed by state law,
all delinquent taxpayers and others overdue in payments to the City.

H. Write-Off of Uncollectible Accounts

The City shall monitor payments due to the City (accounts receivable) and
periodically write-off accounts where collection efforts have been exhausted and/or
collection efforts are not feasible or cost-effective.
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