Page 31 - Southlake FY23 Budget

TRAnSmITTAL LETTER

Community Enhancement and
Development Corporation cedc expenditure highlights

In May 2015, Southlake voters overwhelmingly Fund item expenditure
approved the reallocation of a portion of the
CCPD half-cent sales tax for the purpose of 5% cost of
constructing and operating a recreation center Pay adjustment living base pay
through the Community Enhancement and adjustment
Development Corporation (CEDC). The CCPD
half-cent sales tax was reduced to a one-eighth Personnel
cent tax and the remaining three-eighths was Health insurance 9.4% rate
reallocated to address recreational and economic increase
development needs for the city, as permitted by
State law, through the CEDC. Programs Coordinator, $61,237
Rentals (1.0 FTE)
The corporation funding is used to supplement
the operating expenses for The Marq Southlake Transfer to CEDC
not recovered with facility and program fees. Transfer Replacement Fund $1,125,000
The funds also pay debt service on bonds used
to construct the facility. A portion of the funds is
also used for economic development initiatives.
cedc equipment replAcement Fund
Sales tax collections for the district began expenditure highlights
in October 2015. A seven-member board of Fund item expenditure
directors works with the City Council to oversee
the budget.
Capital Capital replacement per $414,713
The CEDC operating fund highlights are shown as schedule
follows:

Revenue highlights. For FY 2023, $11,353,750 in total revenue is anticipated for this fund. This represents a
projected increase of 27.5% for the CEDC operating budget.

Expenditure highlights. Total operating expenses for the CEDC are estimated at $5,442,174. Transfers for the
indirect charge, CEDC Replacement Fund and debt service total $5,401,356. The ending fund balance is projected at
$12,863,743. The CEDC Board of Directors approved the budget on July 26, 2022.

Highlights of planned expenditures for the CEDC operating fund are shown below:

Personnel. The CEDC budget includes resources needed to manage and operate both Legends Hall and Champions
Club at The Marq. This fund will cover its portion of employee pay adjustments and the increases in benefit costs as
described in the General Fund portion of this letter. Total personnel costs for FY 2023 are $3,156,239.

Operations. Operating expenses for The Marq and economic development initiatives are proposed for FY 2023 at
$2,285,935. Costs include standard expenses like utilities and supplies, and marketing and promotional materials.

Capital. The proposed budget shows no capital expenses in the operating budget. The CEDC Replacement Fund will
provide dollars for capital purchases as recommended in the replacement plan.

30 FY 2023 City of Southlake | BUDGET BOOK
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