Page 39 - WestworthVillageFY23AdoptedBudget

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DEBT SERVICE FUND

Debt Service revenue is allocating a portion of the city’s assessed ad valorem tax, along with
transfers from the Water and Hawks Creek Golf Club enterprise funds. The Debt Service fund
makes the annual payment for city-issued debt.

Debt Service expense includes principal and interest payments for city-issued debt. This
includes certificate of obligation and general obligation refunding bonds. In fiscal year 2022
the city refunded the 2013 certificate of obligation and saved the taxpayers approximately
$30,000 annually. The city continues to contemplate issuing additional debt in future years to
fund drainage infrastructure and street improvements.

Debt Service Fund Overview

Goals and Objectives:
Goal: Maintain a fiscally conservative approach to financing the needs of the city
1. Objective: Maintain a low tax supported debt per capita
2. Objective: Maintain reserves to 40% of total yearly debt

Performance Indicators:

Goal Indicator FY 2019 Actual FY 2020 Actual FY 2021 Actual FY 2022 FY 2023
Projected
1 Tax Supported Debt Per $292 $279 $306 $307 $302
Capita
2 Reserves to Debt (EOY) 23% 25% 44% 40% 45%

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