Page 42 - CITY OF WATAUGA, TEXAS ANNUAL BUDGET PORTRAIT

Sales tax revenues are projected to be $993,000 for FY2025-FY2026. The ¼ cent share
of all local taxable sales are remitted by merchants to the State Comptroller’s Office and
then distributed to the City monthly. This represents approximately 92% of total revenue
for the Economic Development Corporation Fund.

The budget for this fund includes funding for the completion of various economic
development initiatives as guided by the Corporation’s strategic plan that was developed
in FY2019-20 and updated in FY2020-21. Expenditures are budgeted at $704,900. The
ending fund balance is projected to be $3,611,724.

The EDC Capital Fund Budget includes $10,000 in contingency funding for projects that
may be considered for funding for the fiscal year. The projected ending fund balance is
$28,088.

Crime Control and Prevention District Fund

The Watauga Crime Control and Prevention District (WCCPD) was established in March
1996 under Local Government Code Chapter 363 and reauthorized most recently on May
1, 2021, to account for a one-half sales tax to fund officers and purchase additional
equipment and supplies for law enforcement purposes. The fund is administered by a
Board of Directors, which is currently made up of the Mayor and all Council Members.

The sales tax represents 94% of total revenue for the WCCPD. Sales tax revenues
generated from this ½ cent sales tax are projected at $1,986,000, flat with prior year
budget. Total revenues are forecast to be $2,192,000. The FY2025-2026 operating
budget is $2,690,050 which includes $164,800 for equipment and replacement vehicles.
Ending fund balance is projected to be $619,281.

Library Donation Fund

Revenues represent donations made by customers as part of utility bill payment. Funds
are used to purchase additional library supplies such as books, audio and video,
periodicals, and other types of supplies. Projections are based on historical trend of
donations, which have declined in the last several years.

Estimated revenues received by donations for this fund are expected to be $5,000 and
make up approximately 98% of the Library Donation’s fund’s total revenues.
The adopted budget expenditure of $29,000 for capital outlay will leave an estimated
ending fund balance of $41,512.

PEG Fee Fund

This fund was created in FY2017-2018 to comply with SB1087 and to account for a 1%
PEG (public, educational or governmental) fee received from Cable Providers operating

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