Powerpoint Proposed FY23-24 Operating Budget and 2023 Tax Rate Ordinances

1. ADMINISTRATION AND
FINANCE
Presented by:
Robert Galindo
Finance Director
FY 2023-24 OPERATING BUDGET
AND 2023 PROPERTY TAX RATE
ITEM # 5
AUGUST 28, 2023

2. PROPOSED 2023 AD VALOREM TAX RATE
(PER $100 VALUE)
2
PROPOSED TAX RATE $0.370980
NO NEW REVENUE TAX RATE $0.370980
VOTER APPROVAL RATE $0.471021

3. PROPOSED 2023 AD VALOREM TAX RATE
(PER $100 IN VALUE)
3
Property Tax
FY 2022
Rate
FY 2023
Rate
(Proposed)
Rate
Reduction
Percent
Change
M&O (Operations) Rate $0.326051 $0.311741 -$0.014310 -4.4%
I&S (Debt Service) Rate $0.062000 $0.059239 -$0.002761 -4.5%
Total Tax Rate $0.388051 $0.370980 -$0.017071 -4.4%

4. SUMMARY OF PROPOSED GENERAL FUND
BUDGET FY 2023-2024
4
FY 2023-2024
Beginning Fund Balance $ 8,406,314
Operating Revenues $12,445,155
Departmental Allocations -12,391,761
Remaining Funds Available $ 53,394
Projected Fund Balance $8,459,708

5. PROPOSED UTILITY FUND BUDGET FY2023-24
5
FY 2023-2024
Beginning Fund Balance $1,639,241
Revenues $6,124,007
Operating Expenses - 6,113,511
Working Capital $10,496
Projected Fund Balance $1,649,737

6. OTHER GOVERNMENTAL FUNDS PROPOSED BUDGET FY2023-24
6
Funding Summary
Comprehensive
Plan
Street
Maintenance
Capital Projects Capital
Replacement
Projected Fund Balance
10/1/23
$ 353,890 $ 560,789 (3) $14,638,468 $ 613,487
Revenues/Transfers $ 25,000 (2) $ 868,811 $ 25,000 (5) $ 60,000
Expenditures (1)-$ 50,000 -$1,000,000 (4)-$ 25,000 (6) -$ 25,816
Projected Ending Balance
9/30/24
$ 353,890 $ 429,600 $14,638,468 $ 647,671
1) Community grant program
2) Street Maintenance estimated dedicated ½ cent sales tax revenue
3) 2021 Taxable bond proceeds of $13,250,000 are included in balance
4) Olmos Basin Cleanup $25,000
5) Transfers from General Fund of $60,000 for future ambulance
6) Body worn camera system first year lease payment

7. POLICY ANALYSIS
The City Charter requires the City Manager to prepare a
budget to cover all proposed expenditures of the City for the
succeeding year. The budget must be prepared in conformity
with state law and a vote to approve is required.
A record vote to set the tax rate is required by Chapter 26
of the Tax Code.
Local Government Code 102.007 requires a separate vote
be made to ratify the property tax revenue increase in the
budget.
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8. ACTION REQUIRED
 Approve Ordinances in the following order with record vote:
1. Proposed FY 2023-2024 Budget
2. Proposed 2023 Ad Valorem Tax Rate – Motion must be made in the
following form:
“I move that the property tax rate be decreased by the adoption of a tax
rate of $0.370980 per $100 valuation, which is a decrease of 4.4% in the
tax rate with the M&O Rate being $0.311741 and the I&S Rate being
$0.059239.”
3. Ratifying the increase in Property Tax Revenue reflected in the FY 2023-
2024 Budget 8