Page 156 - CityofHaltomFY24Budget

City Of Haltom City Annual Budget, Fy2024 Supplemental Information
Budget Concepts
Balanced Budget. The City shall prepare a budget for each fund and each program within the fund.
The budget should be balanced with current revenues equal to or greater than current expenditures.
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and recovering costs through fees. Reserves above the required levels are available for one-time
expenditures. Non-essential services that cannot generate revenues to support some or all of
operations may be reduced or eliminated. Tax increases will be considered only in the event that
the above strategies fail to address essential service levels that cannot be reduced.
Planning. The City shall prepare a proposed itemized budget for each operational fund annually.
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budget process will be performance-based and focused on goals, objectives and performance
indicators.
Revenue Projection. Projections of revenues will be realistic and based upon historical trends
coupled with current economic conditions. Current operating revenue, coupled with available
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succeeding years. The estimates for outlying years are reviewed annually and revised as needed.
Expenditures/Expenses. Increases in proposed spending must be supported with new revenues
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capital plant and equipment.
The City will pay for all current expenditures with current revenues. The City will avoid budgetary
procedures that balance current expenditures at the expense of meeting future years’ expenses,
such as postponing expenditures or accruing future year’s revenues. Fund balances in excess of
policy minimums may be used for capital outlays or one-time expenditures.
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bond proceeds will be developed in accordance with the use of proceeds covenant in the bond
ordinance.
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succeeding years. The estimates for outlying years are reviewed annually and revised as needed.
City Of Haltom City Annual Budget, Fy2024 Supplemental Information
Budget Assumptions and Short-Term Polices
The objective of this budget is to preserve current service levels while seeking opportunities to
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assumptions include:
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values according to the appraised value by Tarrant County Appraisal District. There has
been little population growth in the City since 2000 and new home development has been
modest at best.
Sales Tax. It can be expected that sales tax collections will be moderate to above average
x for the next year and return to historical growth rates thereafter.
x Utilities. Growth in revenues from utility operations will come primarily from increased rates.
Expense growth must be restrained as the City seeks to maintain a competitive position in
Northeast Tarrant County. Cost increases from Fort Worth Water will continue to be passed
directly through to the customers.
x Realistic projections of revenues and expenditures. Conservative projections help ensure
that adequate resources will always be available to meet budgeted obligations. Projections
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statutory changes.
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Frequent but moderate increases are preferable to infrequent but large rate increases.
x Maintain or enhance target fund balances. This strategy is essential to the preservation
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Sewer Fund and Drainage Fund.
x Salary Adjustments. Annual salary adjustments will be made for all employees when
resources are available to retain and motivate employees. Market study will be conducted
periodically, and salary schedule will be revised accordingly.
Fund Balance/Operating Position Concepts
Required Reserves. The City will maintain an unallocated fund balance (cash and investments)
to be used for unanticipated emergencies of at least 20 percent of the expenditure budgets of the
major operating funds (General, Water & Sewer, Drainage Funds). These monies will be used to
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and assist in maintaining an investment-grade bond rating. All other funds are expected to maintain
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requirements. These loans will be on a short-term basis.