Page 85 - FY 24 Budget Forecast at Adoption.xlsx

FY 2023-24 Five-Year Operating Fund Outlook

Debt Service Fund

FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29

Revenues
Property Tax 3,795,465 3,504,236 3,295,700 5,309,775 5,300,388
Other Revenue 57,040 58,752 60,514 62,330 64,199
Total Revenue $3,852,505 $3,562,988 $3,356,214 $5,372,104 $4,928,914

Expenditures
Services & other - - - - -
Debt Service 2,390,700 2,120,050 1,897,650 1,901,125 1,901,125
Future Anticipated 1,420,817 1,420,817 1,420,817 3,031,076 3,031,126
needs
Total Expenditures $3,811,517 $3,540,867 $3,318,467 $4,932,201 $4,932,251

Variance $40,988 $22,121 $37,747 $439,903 $(3,338)

Five-Year Outlook Notes:

 Based upon the current debt obligations, the FY 2023-24 debt payment is $3,175,775, which will continue
to drop annually to $601,800 in FY 2034-35 — a decrease of $2,573,975.
 The City is anticipating issuing $15M in debt during FY 2023-24 which is an estimated annual cost of
$1,420,817. The issuance will be done mid-year so only a partial payment will be made in FY 2023-24. The
total annual debt payment is anticipated to be $3,996,592.
 The total property tax rate is assumed to remain at the same $0.31200/100 adopted in FY 2023-24 and to
grow at 2 percent as a result of new growth from development. The rate is reviewed and adopted annually
by the Keller City Council in accordance with state law.
 The City anticipates issuing $17M for Whitley Road Reconstruction in FY 2027-28 with an estimated annual
cost of $1,610,259. With the proposed debt issuances and current debt obligations declining, the FY 2027-
28 annual payment is estimated to be $4,932,201 or an increase from FY 2023-24 of $935,609.
 This increase is anticipated to continue thru FY 2029-30 and staff will work on ways to mitigate the impact.
The City anticipates using fund balance to help offset the initial increase of debt service costs. The City may
also consider alternative debt payment terms that better layer the proposed debt with the current debt
structure to better match current annual debt payments. In addition, the City may delay the issuance of
the Whitley Road Reconstruction debt based upon the effectiveness of FY 2022-23 Whitley Overlay
project.

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