Page 24 - HaltomCityFY26Budget

City Of Haltom City Adopted Budget, FY2026 Budget Overview

Major Sources Of Revenues

Major sources of revenue are taxes, licenses and charges for operating services, and bond issues for capital
improvement funds.

Taxes and Franchise include property tax, sales and use taxes, and franchise fees. Property tax estimates are
based on current property values, new construction, and the adopted tax rate. Estimates for sales and use
taxes are adjusted according to the economic locally and nationally. A more prudent and strategic approach
to fiscal planning is necessary when possibly facing economic uncertainties, particularly a recession. Property taxes
are budgeted on values of properties determined by the Tarrant County Appraisal District, the City’s tax rate,
and the expected collection rate. New growth and the increased values from new developments adds to
the City’s property values and will continue to increase revenues while allowing tax rate reductions in this
formula. Franchise taxes have been adjusted based on laws affecting telecommunications in past years.

Licenses & Permits, Charges for Services, Fines, and Fees include licenses, permits, charges for services,
and fines. Trend analysis and known new development projects are used to project the charges for services.

Intergovernmental revenues are grants from other governmental entities. The City receives grants for
Streets, Police, Fire, Drainage, Parks, and Library.

Other revenues are donations, interest income, and other miscellaneous revenues.

Transfers are transactions between funds. Transfers include administrative fees, fleet service fees, debt
service payments, and billing fees.

Bond Proceed are a way to raise funds for major capital projects and infrastructure improvements. Although
bond revenues show in the year they are received, repayment expenses can carry for multiple years.