Page 17 - HaltomCityFY25Budget

have been adjusted to pass cost increase from our wholesaler, the City of Fort Worth, which implemented
a 3.35% increase in water and 2.76% increase sewer cost. The FY 2024-2025 Fee Schedule will list the
proposed rates which will need to be adopted as part of the budget process. The rate structure continues
to meet the industry standards and billing methods. We will continue to work with our consultants for
rate studies to ensure our 5-year outlook accurately assesses the revenue requirements to support both
operations and future Capital Improvement Projects.

Capital Improvements

The process of street replacement is that is complex and time-consuming since it includes extensive design,
engineering, and construction phases. As part of the process, when roads are replaced, the drainage,
water, and sewer infrastructure must also be replaced prior to laying new road surface as we do not build
new streets over 20- to 50-year-old utilities.

The budgeted process also accounts for the equipment purchases used for these projects. While street
equipment can be funded from the General Fund along with regular maintenance cost, larger equipment
purchases are often budgeted in the Capital Project Funds as they directly related to projects. Funding for
all Capital Improvements are managed through transfers from the corresponding fund’s revenues.

Because this is a request of high priority to our citizens, our City Council has committed more to street
replacement/repair than at any time in the past, totaling approximately $176 million in your tax dollars
at work over the next five years. Of the $55.3 of planned projects, the FY 2024-2025 Capital Improvement
Budget has dedicated $44.2 million for the paving, drainage, and water/sewer projects.

Adopted Proposed
Budget Budget Increase/ Change
Capital Project Funds 2024 FY2025 (Decrease) Percent
Street Reconstruction Fund 6,700,000 14,363,000 $7,663,000 114%
Capital Improvement Fund 32,102,128 9,775,128 (22,327,000) -70%
Capital Replacement Fund 900,000 1,239,500 339,500 38%
Street Assessments Fund - - - 0%
Water & Sewer Utility Projects Fund 10,195,000 22,205,000 12,010,000 118%
Water and Sewer Impact Fees Fund 160,000 135,000 (25,000) 0%
Drainage Capital Projects Fund 3,830,000 7,625,000 3,795,000 99%
Total Capital Project Funds $53,887,128 $55,342,628 $1,455,500 3%

BUDGET SUMMARY

Operating expenditures are proposed for FY 2024-2025 total $92.5 million. This total is $420,682 less than
previous fiscal year’s adopted budget.