Page 105 - FY 2021-22 ADOPTED BUDGET

drainage projects are planned over the nest few years all being paid for out of the Stormwater and Drainage fund.
The Stormwater Fund is funded through Stormwater Utility Fees. The following capital asset purchases are planned
over the next few years:

FY 2025-26 Dump Truck

FY 2025-26 Four Patrol Vehicles

Sufficient funds are available in the Asset Replacement fund to purchase these vehicles.

One major project that was completed in FY 2020-21 was the construction of the Clearfork Emergency Access
Bridge. This project was fully funded as a “Pay-As-You-Go” project out of the Capital Projects Fund.

The Asset Replacement fund and Capital Projects fund are both “Pay-As-You-Go” funds and budgeted on a project
basis and not by fiscal year. Future capital purchases have minimul effect on the General Fund.

LONG-RANGE FINANCIAL FORECAST

BACKGROUND OF FINANCIAL FORECASTING IN BENBROOK

Benbrook initiated the City's long-range financial forecasting process in 1979 in conjunction with the first of several
bond issues. The first long-range financial forecast provided comprehensive General Fund revenue and expenditure
projections but did not analyze the financial condition of the City's other funds. Subsequent forecasts were
expanded to include the City's Debt Service Fund. The current forecast includes the General Fund and the Debt
Service Fund. Capital Projects Funds (Capital Improvement Projects, Special Assessment, Capital Asset
Replacement) are not addressed in the City's forecast since repayment of bonds takes place through the City's Debt
Service Fund. Grant Funds and Other Funds (TIF, Core Value, Stormwater Utility, Police Narcotics, HMOT, and EDC)

are not reflected in the Long-Range Financial Forecast. A separate Capital Improvements Report, required by City
Charter to be issued in December of each year, addresses possible Capital Projects Fund expenditures. All of these
documents stress the need for long-range financial planning and each document is used as a tool in planning the
budget.

The forecast included in the 2025-26 Budget follows the basic pattern of the previous forecasts. Some sections
have been expanded or revised to include the most pertinent and recent information. The current forecast has
been prepared to provide the following benefits to City leaders:

1) The forecast can be used by the City Council in orchestrating policy decisions with long-term implications.

2) The long-range forecast can serve as an aid to both elected and administrative officials in anticipating future
fiscal problems, so that strategies can be developed, and action implemented as soon as possible to correct

or counteract these potential difficulties.

3) The financial forecast can assist the City Manager as well as City departments in operational planning.

90